The struggle to build a new single-terminal airport in Kansas City has seen one scandal after the next and tonight our tax fighter friends raise some important questions and even more interesting dox appearing FIRST for the consideration of our blog community.
Here's the news with the most important part highlighted . . .
CFRG: It's all about control! // Airline lease agreement manual attached.
We encourage every member of the City Council to read the attached manual published by the Transportation Research Board. It goes into great detail about the structure and negotiation of Airport / Airline Rental Agreements. CFRG warned early on the main purpose of pushing for a new terminal was so the airlines could negotiate a new agreement. Under the current “compensatory” agreement, the airlines are under contract for 30 years. Under the new “residual" agreements, the term is 5 years. Which means if the airlines aren’t satisfied with the airport after 5 years, they can walk away and leave Kansas City taxpayers with a $3-4 billion dollar debt.
“with...the advent of a new Airline Agreement concept called the "Residual Airline Agreement" vs. the old Compensatory Airline Agreement that airports have used in the past. The Compensatory Airline Agreement held the airport liable if the airline went broke, could not pay or went out of business. The Compensatory Airline Agreement was more costly because operating cost were elevated to cover up and down years because of length of the agreement i.e. 30 yrs. The new Residual Airline Agreement is negotiated on a much shorter term i.e. 5 years and then renegotiated based on current cost of the airport operations taking into account current enplaned passenger, concessions, etc. Approximately 45% of the major airports now operate under the Residual Airline Agreement. “
The real danger is turning over total control of our airport to the airlines. If the new agreement is not properly negotiated by professionals, the airlines will be able to decide who gets to expand facilities and or routes, who gets to fly in and out of Kansas City and so on. The city loses control of the airport.
It is critical Kansas City gets the proper professionals to negotiate any new agreement with the airlines. We could end up like Denver. Their project went from $1.5 billion to over $5 billion. The major airlines took control after the smaller, low fare operators were squeezed out because of rising rental costs. The majors could then charge higher fees for tickets, etc.
The remodel plan is looking better every day.
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You decide . . .
Time for a new vote. Council has changed the deal too many times. Broken the original terms.
ReplyDeleteWhat KC voted on is now indecipherable.
???????
DeleteWe need a new airport.
Again and again, THAT is what voters approved overwhelmingly. The only thing that needs to happen in that construction must start SOON.
"Indecipherable".
ReplyDeleteSo the plan is working perfectly so far.
There can never be any accountability for an indecipherable "project".
How can you tell when it's done, how well, and how much it should cost when no one ever knew in the first place.
KCMO=World Class.
Third World.
Cfrg raises a good point. This is basically an issue of privatization and no one realizes it. You have the taxpayers handing over a resource worth billions of dollars without even knowing it to companies that are already worth billions. The next outrage that you'll hear is that there's going to be another governing Authority other than Aviation. That's to pass the cost on to City Hall I.E. the taxpayers without anyone knowing the difference. They say that we voted for it but really the only thing that KC approved was the demolition of the old Airport. This isn't just a bait-and-switch, it's one of the biggest robberies ever committed against Kansas City. Thank you to these "tax Fighters" for pointing it out.
ReplyDeleteOr it’s a back door way of sLIE getting his buddies at burned and McDouche the airport
ReplyDeleteDon't worry everybody I'm sure that will have this all figured out by 2033 when we finally start building the new airport.
Delete^^^^^^^^ Lulz.
ReplyDelete"If the new agreement is not properly negotiated by professionals, the airlines will be able to decide who gets to expand facilities and or routes"
ReplyDeleteVery unlikely anyone will find professionals in KCMO based on the way the project has gone so far.
8:12 star putting up some parking garages at terminal A and do almost whatever the hell else you want to do to that terminal during construction.
ReplyDeleteNOT at the site of former terminal A, ON TOP of terminal A
ReplyDeletetwo rectangles, not covering the central parking & not perpendicular to the entrance.
ReplyDeletethat can eventually bulldoze potions, all , or none of the existing terminal at the upper level
ReplyDeletewecutkc.com/services/concrete-wall-sawing/
ReplyDelete