KCMO receives financial plans from four KCI Terminal RFQ/P proposers
The City of Kansas City, Missouri, is continuing to move forward through the established procurement process. Recent steps include hearing presentations from all four competing proposers on Monday, Aug. 14, 2017. The selection committee has been analyzing and discussing those proposals during multiple meetings, as well as updating residents and the full City Council during public meetings.
The four proposers competing to build a new KCI terminal have submitted answers to the questions asked by the selection committee. These answers will help provide an apple-to-apples comparison of the financial plans.
The selection committee will meet again Friday, Aug. 18 for a third session to analyze the submitted proposals.
Separately, the Airport & Finance and Government Committee approved a citizen petition initiative requesting a November vote to build a new terminal. Last week this committee passed out two other versions of potential ballot language. These three versions are now before the full City Council for a decision.
The City previously received financial plans from the four proposers who had responded to the Request for Qualifications and Proposals to build a single terminal at Kansas City International Airport. The Aug. 10, 2017 4 p.m. deadline was second of the current RFQ/P process, which is being administered by the city’s Procurement Division of the General Services Department.
The RFQ/P requests a financing plan that would paid for by airport revenue, with no funds coming from the City’s general fund. The City will continue to own and operate the airport.
August 10, 2017 Airport & Finance and Governance Joint Committee meeting:
Review the August 8, 2017 presentation to the City Council about selection committee’s process.
July 27, 2017:
The City of Kansas City, Missouri, received four proposals to build a single terminal at Kansas City International Airport. The July 27 4 p.m. deadline was the first of two for the current RFQ/P process, which is being administered by the city’s Procurement Division of the General Services Department. The proposers, in alphabetical order, are: Burns & McDonnell KCI Hometown Team, Edgemoor Infrastructure & Real Estate LLC, JLL (Jones Lang LaSalle Midwest LLC), and KCI Partnership LLC (AECOM Capital).
Airport Terminal Development Proposal Selection Committee
The selection committee has six voting members:
- Troy Schulte, City Manager
- Jolie Justus, City Council, Airport Committee Chairperson
- Jermaine Reed, City Council, Transportation & Infrastructure Chairperson
- Pat Klein, Aviation Director
- John Green, Aviation Department, Chief Financial Officer
- Phil Muncy, Deputy Director of Aviation for Planning and Engineering
Non-voting attendees include industry experts, the City’s finance and legal teams, outside counsel, and city council members.
Request for Qualifications/Proposals
The City has issued Addendum No. 2 to the original Request for Qualifications/Proposals (RFQ/P) – Design, Construct and Private Financing of KCI. This addendum specifies an extended timeline, answers questions that have been posed and updates several other areas in the original RFQ/P.
City Manager Troy Schulte has opened the solicitation process for qualified companies interested in designing, building and privately financing a single terminal at Kansas City International Airport.
The City will continue to own and operate the airport.
The RFQ/P asks for proposals that:
- Design, build and privately finance a 750,000 square foot terminal
- Provides at least 6,500 spot parking garage
- Includes 35 gates, but is expandable to 42 gates
- Reflects the design approved by airlines a year ago
- Reflects the financing approved by airlines
- Utilizes local construction workers
- Pays prevailing wages
- Meets or exceeds the City’s MBE/WBE goals as well as workforce development or job training for local workers
- Ensures the City retains ownership and operation of the airport
- Includes 1% of the cost dedicated to the arts
A privately financed airport terminal idea is believed to be the first-of-its kind in the nation. An innovative model, the airport would receive financing through private investment, paid for by airport usage fees, with no funds coming from the City’s general fund, taxes, or existing bonds. The company selected would develop the design at their own risk.
The RFQ/P was due on July 27, 2017 by 4 p.m. CST. Proposers will have additional time, until Thursday, Aug. 10, 2017, to submit financing details. Companies submitting proposals should be prepared to present a formal presentation to the selection committee in Kansas City, Mo.. The best proposal will be selected after reviewing all of the proposals.
The winning bidder will still have to develop a Memorandum of Understanding (MOU) with the City — a process that allows both parties to continue their due diligence prior to a public vote. Even during this process, the City will conduct public meetings to provide updates and answer questions.
For quotes from Schulte, Mayor Sly James, Councilwoman Jolie Justus and Councilman Jermaine Reed, see the original news release.
Previously the City had displayed a Memorandum of Understanding (MOU) and a Frequently Asked Questions (FAQ) related specifically to the Burns and McDonnell proposal to design, build and privately finance a new single terminal at Kansas City International Airport (KCI).
The City has now opened up a Request for Qualifications/Proposals (RFQ/P) process to solicit bids from any qualified company. Because the City has opened a competitive bidding process, it has removed the MOU and FAQ specific to the Burns & McDonnell proposal.
Airport Committee Timeline and Presentations:
On May 12, 2017, Mayor Sly James, with City Manager Troy Schulte and a wide range of supporters, laid out an innovative proposal for financing and development of a new, single terminal at Kansas City International Airport.
Stating that “now is not the time,” Mayor Sly James announced on May 3, 2016 that conversation of a new airport terminal would be paused. The decision is based on outreach which revealed that less than 40% of residents think moving forward with a new terminal paid for by the airlines is a good idea. No proposal regarding the airport will go on a ballot in 2016. Read the blog post from the Mayor to learn more.
“What are TSA thoughts on a single checkpoint versus current conditions and how can we have some assurances our security wait times won’t be longer than they are now?” This has been a question posed recently and has been addressed by the Transportation Security Administration (TSA). Read the response from the Federal Security Director in Missouri.
- Airport Committee presentation from the Aviation Dept. (Jan. 26, 2017)
- Airport Committee presentation from the Aviation Dept. (Oct. 16, 2016)
- Airport Committee presentation from the Aviation Dept. (Aug. 18, 2016)
- Airport Committee presentation from the Aviation Dept. (July 21, 2016)
- Airport Committee presentation from the Aviation Dept. (June 23, 2016)
On April, 26, 2016, the Leadership Committee presented its final recommendation to the City Council Committee of the Whole for consideration.
The airlines, in collaboration with the City and Aviation Department, have invested considerable time, money, and effort in evaluating and recommending the most cost-efficient, customer friendly, future-oriented terminal concept feasible for both the passengers and airlines serving KCI.
A committee has been established to discuss the future of Kansas City International Airport (KCI). It meets every other Tuesday in City Hall. See also the Airport Terminal Advisory Group, which issued its final report last year.
April 12, 2016 meeting:
March 15, 2016 meeting:
Feb. 23, 2016 meeting:
Feb. 16, 2016 meeting:
- KCI Terminal Area Capital Improvements Program Necessary to Maintain Status Quo presentation
- View the meeting
Feb. 2, 2016 meeting:
- Major Renovation Evaluation for Kansas City International Airport presentation
- Review of the Crawford Alternative Design (CAD) by AvAirPros
- View the meeting
Jan. 26, 2016 meeting:
- Aviation Presentation – Overview of Financial Operations
- Aviation Presentation – Overview of Exhibit “K” Process
- View the meeting
Dec. 15, 2015 meeting: