FBO RFP Process Request for Proposal: Lake Cumberland Regional Airport, Somerset, Kentucky. The Somerset- Pulaski County Airport Board, manager of the Lake Cumberland Regional Airport, is requesting proposals from qualified Fixed Base Operators to locate at the airport. Currently, the Airport Board is operating the FBO which consists of providing fuel sales and aircraft parking. The RFP requests an FBO with services that include fuel sales, airport operation, possible aircraft maintenance, flight training, aircraft rental, and any other specialty operations. The airport has a 5,800 foot runway and currently has scheduled passenger air service which started in December 2008. Interested firms should contact Ron Swartz at 606-678-4554 or by email at lcra@newwavecomm.net for a full RFP document. In addition, the full RFP document can be found on the Airport s website: www.lakecumberlandairport.com. Innovative proposals will be considered. All proposal must be received by April 9, 2009 1
FBO Request for Proposal Lake Cumberland Regional Airport 1. Lake Cumberland Regional Airport Description a. Physical Facilities: Lake Cumberland Regional Airport is a BII designated Airport and has one runway, Runway 5-23 is a 5,800 foot long by 100 foot wide runway. Both Runway ends are equipped with a four-light Precision Approach Path Indicator (PAPI) system. The Runway also has Medium Intensity Runway-Edge Lighting (MIRL) and Runway End Identifier Lights (REIL). The Airport just installed an ILS which was commissioned for use January 15, 2009. The Airport also has a state of the art airline terminal building, two aircraft apron areas consisting of over 63,400 square yards of asphalt, a fuel system that includes both 100LL and Jet A fuel, approximately 6,230 square yards of auto parking, 13 T-hangars and 10 conventional hangars. b. Aircraft Activity: The Airport is used by 33 based aircraft, along with a number of itinerant corporate jet and military aircraft including helicopters. On December 27, 2008 Air Azul began commuter air service to Nashville with 4 round trip flights per week. The flights are expected to increase to 14 round trips per week in the first quarter of 2009. c. Community Setting: Lake Cumberland Regional Airport is a public use facility located approximately three miles south of the city of Somerset on Airport Road. The airport sits in a rural area surrounded by farmland and rural residences. The Airport is non-towered, and is attended by airport management agents from 7am to Dusk. Tourism is the area s number one industry and Lake Cumberland is the main visitor attraction. Each year, over 8 million visitors come to the area, primarily to enjoy the water recreation provided by the Lake and its surrounding campgrounds and lodges. 2. FBO Services Requested a. Fueling Services: The selected FBO must be capable of providing fueling service to general aviation and scheduled commuter aircraft. Both Jet A and 100 LL are offered at the airport. The FBO must have personnel trained in accordance with National Fire Protection Association (NFPA) and FAA recommended certifications including Part 139. b. Ramp and Tie Down Administration: The selected FBO will be required to manage the Airport s ramps and collect tie-down fees. These fees for itinerant traffic will go to the FBO under a published schedule. c. Aircraft Maintenance: The selected FBO should be able to provide aircraft maintenance or at least be able to sub-contract those services for Lake Cumberland Regional Airport. Major power plant and airframe service is desired. d. Flight Training: An optional service desired by the Airport Board includes flight training. The selected FBO is encouraged to offer this service to increase flight activity, fuel sales, and aircraft maintenance. 2
e. Aircraft Rental: An optional service desired by the Airport Board includes aircraft rentals. This would be facilitated if the FBO had aircraft available for flight training that could also be rented. f. Avionics Sales: An optional service desired by the Airport Board includes aircraft avionics sales. g. Other Services: Other services desired by the Airport Board include the sale of pilot and aircraft supplies. This would include items such as sectional charts, headphones, FAA published materials, etc. 3. Proposed Terms Major terms of any FBO agreement should include the following items: a. Lease/Rental Rates: Monthly rental rates for the FBO building (approximately 1,700sf) and hangar (approximately 5600sf) would be $550. b. Monthly FBO Fee $200.00 (Minimum Standards Document) c. Fuel Flowage Fees: These fees are negotiable, depending upon the equipment operated by the FBO as follows: 1. Trucks and Fuel Farm supplied by Airport Board: Jet A $0.40 per gallon flowage fee 100 LL $0.28 per gallon flowage fee 2. Without Fuel Trucks Supplied and Maintained Fuel Flowage Fees Negotiable (Fuel Trucks may be purchased from Airport Board) d. Lease/Agreement Term 3 years renewable with Board approval for 2 additional 3 year terms 4. Selection Process This is a one-step, qualifications based, selection process as authorized within this request. An evaluation committee shall select, in order of preference and based on the criteria established, a ranking of firms in order of preference. The ranking of firms will be based on demonstrated competence and qualifications. Fees, prices, and any other cost information may be considered in the RFP process. The committee may begin price negotiations with the top-ranked firm or at their discretion, request interviews for a short list of top-ranked firms. If a short list is selected, interviews of the top selected firms will be conducted and then negotiations may commence for a contract with the highest rated firm for the required services. The negotiations shall include consideration of compensation and other contract terms and conditions determined to be fair and reasonable. If a satisfactory contract cannot be negotiated with the highest rated firm at a 3
price or on other contract terms, negotiations shall be formally terminated. Negotiations would then be started with the next highest rated firm, in sequence, until an agreement is reached or a determination is made to reject. All copies of any submissions in response to this request shall be considered the property of the Somerset-Pulaski County Airport Board and shall not be returned to the bidder. Qualifications: This is a request to submit a proposal based on qualifications and experience in providing FBO services. Firms that have had success in providing these services for cities are strongly encouraged to submit proposals. The Somerset-Pulaski County Airport Board reserves the right to waive any formality in any proposed guaranty, to reject any and all submissions and to negotiate with the top-ranked firm or firms to such extent as may be necessary. No Submission may be withdrawn for a period of one hundred twenty (120) days after the scheduled closing time for the receipt of their submission. There will be no pre-submission meeting. Additional Qualifications and experience: Capitalization of FBO Ability to financially support the operation, pay for fuel loads in advance, etc. A financial statement will be required to be submitted with the RFP for this contract. Demonstrated ability to perform tasks outlined in Services Requested. Record of similar programs. Specialized or appropriate expertise. Qualifications/resumes of specific individuals of personnel. Quality of references. Other factors that may be appropriate for the project Timeline Week of March 1, 2009 Qualification Solicitation advertised March 20, 2009 Deadline for the submittal of questions April 9, 2009 Deadline for submittal of qualifications May 1, 2009 Company Selection Anticipated Date Other Considerations: Qualification packages will be opened publicly at the Airport Board Office on April 10, 2009 at 10:00 AM. The main purpose of the opening is to reveal the name(s) of the proposal company(s), not to serve as a forum for determining the low bidder(s). 4
The contract shall be awarded within 90 days of the closing date to the firm who is determined in writing to be most advantageous to the Airport Board. All prices must be held firm for a minimum of 90 days from the date of the opening. The submissions, summaries, and tabulations shall not be open for public inspection until after receipt of a fully executed contract. The Airport Board reserves the right to waive technicalities, to reject any or all submissions, or any portion thereof, to advertise for new qualifications or to abandon the process, if in the best interest of the Board. FBOs must provide references to the Airport Board upon request. FBO references may be checked to verify their ability to perform the contract requirements, the quality of work and the ability to meet obligations. 5