The City of Lee's Summit - File #: BILL NO. 20-16

• File #: BILL NO. 20-16
• Type: Ordinance - Committee
• Status: Agenda Ready
• File created: 11/14/2019
• In control: City Council - Regular Session
• On agenda: 1/14/2020
• Title: An Ordinance authorizing the execution of a Corporate Aircraft Association preferred FBO agreement by and between the City of Lee's Summit, Missouri and the Corporate Aircraft Association to offer preferred pricing discounts on Jet-A fuel to CAA members. (BOAC 12/9/19 & F&BC 1/13/20)

Date	Action By	Action	Result
1/14/2020	City Council - Regular Session	for second reading	Pass
1/14/2020	City Council - Regular Session	adopted and numbered	Pass
1/13/2020	Finance and Budget Committee	recommended for approval	Pass
12/9/2019	Board of Aeronautic Commissioners	recommended for approval	Pass

Title

An Ordinance authorizing the execution of a Corporate Aircraft Association preferred FBO agreement by and between the City of Lee's Summit, Missouri and the Corporate Aircraft Association to offer preferred pricing discounts on Jet-A fuel to CAA members. (BOAC 12/9/19 & F&BC 1/13/20)

...Body

Issues/Request:

An Ordinance authorizing the execution of a Corporate Aircraft Association preferred FBO agreement “Exhibit A” by and between the City of Lee's Summit, Missouri and the Corporate Aircraft Association to offer preferred pricing discounts "Exhibit B" on Jet-A fuel to CAA members.

Key Issues

· The Airport operates as an enterprise fund generating revenue through hangar rental, fuel sales, ground leases, and charges for services.
· Fuel pricing and discounts are a consideration by customers when choosing an airport.
· The agreement is for a period of three (3) years.
· This agreement only provides preferred pricing discounts for CAA members.
· The only cost associated with this agreement is the discount provided to CAA members on Jet-A sales.
· If the Airport determines that the agreement is not financially beneficial to the Airport, the Airport can cancel the agreement.

Proposed Council Motion:
FIRST READING: I move for second reading of an Ordinance authorizing the execution of a Corporate Aircraft Association preferred FBO agreement by and between the City of Lee's Summit, Missouri and the Corporate Aircraft Association to offer preferred pricing discounts on Jet-A fuel to CAA members.

SECOND READING: I move for adoption of an Ordinance authorizing the execution of a Corporate Aircraft Association preferred FBO agreement by and between the City of Lee's Summit, Missouri and the Corporate Aircraft Association to offer preferred pricing discounts on Jet-A fuel to CAA members.

Background:

The Airport operates as an enterprise fund and generates revenue through hangar rental, fuel sales and ground leases. The current fuel discounts structure ...