LOVE FIELD MODERNIZATION EVOLUTION June 8, 2016
WRIGHT AMENDMENT MCI STL ELP ABQ LBB AM A MAF OKC DAL TUL LIT JAN BHM SAT AUS HOUIIAH MSY Passed in 1979 to protect DFW Airport Could only fly within Texas and four neighboring states Updates to Amendment in 1997 and 2005 added states 2
WRIGHT AMENDMENT REFORM ACT OF 2006 Based on local 5-Party Agreement City of Dallas, City of Ft Worth, American Airlines, Southwest Airlines, DFW International Airport Required City of Dallas and Southwest Airlines to collaborate on the modernization of DAL Flight restrictions phased out over 8 years, fully repealed in 2014 No international flights No marketing of Love Field and no efforts to bring commercial service to any airport other than DFW Demolition of existing terminal of 32 gates Construct new terminal capped at 20 gates, no hardstanding 3
LOCAL GOVERNMENT CORPORATION Municipal or County Corporate Entity Chapter 431 of the Texas Transportation Code sets specific guidelines for the creation and operation of LGCs within the State of Texas These entities are formed specifically to promote and develop transportation facilities and systems. Allows for Public-Private Partnerships and Innovative Financing U.S. states have increasingly turned to public-private partnership (P3) delivery models that include project risk transfer, efficient and integrated delivery of design, construction and maintenance project components 4
LOVE FIELD MODERNIZATION PROGRAM Created to accommodate the expected increase in traffic as a result of the release of the Wright Amendment on Oct. 13, 2014, which allows nonstop flights from Love Field across the U.S LFMP is a joint effort by the City of Dallas and Southwest Airlines to expand and transform Dallas Love Field Airport into a convenient, modern airport for travelers. Construction Manager at Risk project delivery method (CM@Risk) 5
LOVE FIELD MODERNIZATION PROGRAM Original LFMP and Program Development Agreement (PDA) excluded additional Parking Passenger forecasts developed in 2008 projected 6 million enplanements would occur in 2017/2018 Existing 7,000 public parking spaces was projected to be adequate until 2017/2018 6
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PRE AND POST WRIGHT AMD 11
FREE TO ROAM 12
AIRPORT ENPLANEMENTS SPIKE POST WRIGHT AMENDMENT 66% 13
INCREASED ENPLANEMENTS 14
INCREASED PARKING DEMAND 2014 Holiday travel resulting in all Garages, Valet and adjacent parking lots at capacity 15
ORIGINAL LFMP AND PROGRAM DEVELOPMENT AGREEMENT (PDA)..excluded additional Parking Passenger forecasts developed in 2008 projected 6 million enplanements would occur in 2017/2018 Existing 7,000 public parking spaces was projected to be adequate until 2017/2018 16
NEW PARKING REQUIREMENTS Peak travel times have resulted in parking shortage 2014 Holiday travel resulting in all Garages, Valet and adjacent parking lots at capacity Based on current projections, Love Field will have additional parking requirements: 2015: approximately 1,000 spaces 2017: approximately 2,400 spaces 2020: approximately 3,500 4,000 spaces 17
PARKING GARAGE PROJECT DELIVERY OPTION1 DBB Traditional Way Design Procurement/Contracting: 6 Months Design: 12 Months Construction Procurement/Contracting: 6 Months Construction: 24 Months Total time: 4+ years
PARKING GARAGE PROJECT DELIVERY OPTION 2 LFMP-II continuation of CM@R method Design Procurement/Contracting: 1 Month Design: 10-12 Months Construction Procurement/Contracting: 1 Month (3 Different Times) Construction: 20-24 Months Total time: 3 years
DBB VS. CM@R? 20
RECOMMENDATION: OPTION 2 LFMP-II - CM@R Most efficient delivery method based on: Schedule compression Cost control Types of funding Efficient use of existing Teams Control of design Construction will be bid upon completion of Design 21 Approximately 80% of total cost of project MWDBE opportunities
LFMP-II LEGAL DOCUMENTS Requires modifications / amendments to key documents Program Development Agreement Use and Lease Agreement Building Lease Modification Coordinated by City of Dallas and Southwest Airlines Attorneys Mutually Negotiated Agreement Council authorization Aviation Capital Funds General Aviation Revenue Bonds 22
LFMP II EFFORTS BEGIN Immediately begin conceptual design January 2015 Program Definition Document: Determine parking requirements Identify phasing and additional parking availability Identify cost and schedule Enabling projects: Field surveys, utility relocations Monitor monthly passenger enplanements and vehicular parking data Recommendation to Council 23 Spring 2015 Garage size, cost and features
PARKING GARAGE C CONCEPTUAL DRAWINGS 24
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PARKING GARAGE C RELATIONSHIP TO NEW TERMINAL 28
CONSTRUCTION SCHEDULE February 2016 - Excavation Starts October 2017 - Occupy Levels B2, B1 & Level 1 (approx. 1744 spaces) October 2018 - Occupy Levels 2-7 (approx. 3321 spaces) 29
LFMP SUCCESS STORY: BUILD GREAT TEAMS Success due to strong airline-airport partnership and team Day-to-Day: Program Management Team Decision-Makers: Steering Committee Take advantage of organizational experience and expertise Southwest: Experience, Airline operations, adaptability, urgency, built for speed City: Experience, Airport operations, concessions, City of Dallas process Both parties act like owners and have a single visionary purpose Carefully assess strengths and weaknesses Seek balance (and compromise!) Delivery method (CM@Risk) 44
Lana.Furra@dallascityhall.com THANK YOU!