Lance Lyttle. Chief Operating Officer Houston Airport System

Transcription

1 June 19, 2014

2 Lance Lyttle Chief Operating Officer Houston Airport System

3 George Bush Intercontinental Airport (IAH) & William P. Hobby Airport (HOU)

4 Guiding Principles IAH and HOU Concessions Program Focused on Customer Service Enhance Competition for Food Service and Retail Increase Variety Create Win-Win Business Terms Develop a more defined sense of place Consider existing food service concessions in order to create a comprehensive concession master plan

5 Guiding Principles IAH Right-size offerings in areas of IAH Terminals where growth is occurring/will occur Add concession space where available Minimize impact of Mickey Leland International Terminal (MLIT) projects on IAH concessionaires Ensure adequate support space for concessionaires, including commissaries for food service operators

6 Guiding Principles HOU Provide outstanding concessions in HOU West Expansion, including a concierge service Add first-class duty free shopping to HOU Increase specialty retail variety Add automated retail units Expand the retail merchandise unit (RMU) program by adding locations to the West Expansion

7 Certain Terminal C-North concession locations will be impacted early by MLIT projects earlier in the term of the agreements. These locations will be considered temporary with no minimum investment required Concession locations in Terminal D will be impacted by MLIT projects later in the term of the agreements. These locations will require the full investment required in the RFP however a buy out provision by HAS will be provided

8 Justina Mann Chief Procurement Officer Houston Airport System

9 Supplier Registration Advertisement Cone of Silence RFP Process Procurement Timeline

10 Questions?

11 Presented by: Jason A. McLemore Deputy Assistant Director Houston Airport System Office of Business Opportunity

12 The Houston Airport System s (HAS) Office of Business Opportunity is committed to creating a level playing field on which: DBEs, ACDBEs and M/W/S/PDBEs can participate in an environment without barriers Ensures non-discrimination Provides the tools necessary to compete successfully on contracts within the Houston Airport System

13 To promote the utilization of Disadvantaged Business Enterprises (DBE) in Department of Transportation (DOT) Federal Aviation Administration (FAA) financially-assisted contracts. Utilization of Minority and Women, Small (SBE) and Persons with Disabilities Business Enterprises (M/W/S/PDBEs) in City of Houston funded contracts. To improve access to HAS contract opportunities for M/W/S/ACDBE companies. To ensure compliance with local, state, and federal mandates.

14 A joint venture is an association of an Airport Concessionaire Disadvantaged Business Enterprise ACDBE(s) firm and one or more other firms to carry out a single, forprofit business enterprise, for which the parties combine their property, capital, efforts, skills and knowledge, and in which the ACDBE(s) is responsible for a distinct, clearly defined portion of the work of the contract and whose shares in the capital contribution, control, management, risks, and profits of the joint venture are commensurate with its ownership interest.

15 A business structure set forth in a signed written agreement that clearly and specifically defines the participation of each party in the contribution of property, capital, efforts, skills and knowledge.

16 The joint venture should operate in accordance with a written agreement. Identification of the participants Identification of the business enterprise Term of the Agreement Capital Contributions Management of the Business Administrative Matters Dissolution

17 JV agreement and information submitted for review. Verification ACDBE participants certification status (ACDBE must be certified in the type of work assigned in the JV agreement) Review agreement and other documentation. Identify claimed ACDBE ownership %. Review amount and source of capital contributions of the ACDBE(s).

18 Review ACDBE participation in control of the joint venture business. Review ACDBE participation in management of the joint venture. Review ACDBE participation in risks and profits of the joint venture. Review ACDBE portion of the work. Approve/Deny

19 Capital Contribution Should be proportional and clearly specified in the JV agreement Control Each JV partner should assume full responsibility for executing each element of the work assigned to it. Management The ACDBE participant must share in the overall & day-to-day management of the JV. Risks Each must share in the risks in proportion to their ownership interest. Profits - Each must also share in the profits in proportion to the ownership interest.

20 Terms comparable to market conditions Evidence by a promissory note Note secured by assets outside of the JV ACDBE invests at least 10% - 20% of its own resources or through a third party The term is no longer than the term of the JV Contract

21 Individuals must be ACDBE certified prior to Joint Venture be creating. To obtain ACDBE certification please contact the Office of Business Opportunity Certification Hotline at

22 George Bush Intercontinental Airport & William P. Hobby Airport

23 4 News/Convenience locations 2 Specialty Retail locations 1 Duty Free location 3 Automated Retail locations

24 4 News/Convenience locations 4 Specialty Retail locations 6 Retail Merchandise Unit locations

25 7 News/Convenience locations 11 Specialty Retail locations

26 7 News/Convenience locations 10 Specialty Retail locations 6 Automated Retail locations

27 3 Specialty Retail locations 4 Duty Free/Duty Paid locations

28 16 Food and Beverage locations 8 QSR locations 4 Casual Dining locations 2 Bar with food locations 1 Specialty Coffee location 1 Frozen Treat / Snack

29 16 Food and Beverage locations 8 QSR locations 3 Casual Dining locations 2 Bar with food locations 2 Specialty Coffee location 1 Frozen Treat / Snack

30 6 Specialty Coffee locations

31 Questions?

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33 International enplaned passengers (millions) International traffic has more than quadrupled since Terminal D opened Historical Forecast 2003: Terminal E opens 2005: Central FIS opens 1990: Terminal D opens Fiscal years ending June 30

34 Emirates Airline (Dubai) Singapore Airlines (Moscow-Singapore) Qatar Airways (Doha) 2010 VivaAerobus (Monterrey) Lufthansa A380 (Frankfurt) Air China (Beijing), Turkish (Istanbul) 2014 Korean (Seoul), Scandinavian (Stavanger), second A380

35 IAH offers service to 33 countries on 5 continents Asia 4 destinations Canada 5 destinations U.S. 120 destinations Mexico 27 destinations Central America 10 destinations Caribbean 6 destinations Europe 8 destinations Middle East 2 destinations New routes since economic crisis Beijing Doha Edmonton Istanbul Lagos Montreal Moscow Rio de Janeiro Munich Seoul Stavanger begins Aug 20 South America 7 destinations Africa 1 destination

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37 Mickey Leland International Terminal 15 international widebody gates (including 4 A380)

38 Central concession cores Welcoming Interactive Mixed use Vibrant Sense of place Performing stage San Francisco Terminal 3 San Francisco Terminal 3 Los Angeles Tom Bradley International Terminal Dallas/Ft. Worth Terminal D

39 On April 24, HAS presented plans for a new Mickey Leland International Terminal (MLIT) Sufficient capacity for today and tomorrow Functional, intuitive, passenger-friendly Aesthetically appealing Sense of place with local Houston feel Modern bathrooms, clubrooms, and concessions Technology-enabled Affordable

40 The project is in partnership with United Airlines, which will build a new Terminal B North Pier United s Scope HAS s Scope

41 Mickey Leland Terminal Video

42 Questions?