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File #: 23-1937    Version: 1
Type: Resolution Status: Adopted
File created: 12/8/2023 In control: Business, Arts, Workforce, Climate & Aviation Services Committee
On agenda: 1/2/2024 Final action: 1/2/2024
Title: A resolution approving a proposed Agreement between the City and County of Denver and 21 Air LLC concerning a use and lease agreement for rates and charges for air cargo services at Denver International Airport. Approves a Use and Lease agreement with 21 Air LLC for rates and charges and through 2-28-2028 for air cargo services at Denver International Airport, in Council District 11. PLANE-202369682. The last regularly scheduled Council meeting within the 30-day review period is on 1-22-2024. The Committee approved filing this item at its meeting on 12-20-2023.
Indexes: Melissa Mata
Attachments: 1. RR23-1937_DEN_21AIRLLC_7Dec23, 2. 23-1937 Contract_21 Air LLC - 202369682, 3. 23-1937 Filed Resolution_21 Air LLC, 4. 23-1937 Filed Resolution_21 Air LLC, 5. 23-1937_signed

Contract Request Template (Contracts; IGAs; Leases)

 

Date Submitted: 12-18-2023

 

Requesting Agency: DEN

                               Division:

 

Subject Matter Expert Name: Kevin Forgett
Email Address: Kevin.forgett@flydenver.com
Phone Number:

 

Item Title & Description:

(Do not delete the following instructions)

These appear on the Council meeting agenda. Initially, the requesting agency will enter a 2-3 sentence description. Upon bill filling, the City Attorney’s Office should enter the title above the description (the title should be in bold font).

 

Both the title and description must be entered between the red “title” and “body” below.  Do not at any time delete the red “title” or “body” markers from this template.

title

A resolution approving a proposed Agreement between the City and County of Denver and 21 Air LLC concerning a use and lease agreement for rates and charges for air cargo services at Denver International Airport.

Approves a Use and Lease agreement with 21 Air LLC for rates and charges and through 2-28-2028 for air cargo services at Denver International Airport, in Council District 11. PLANE-202369682. The last regularly scheduled Council meeting within the 30-day review period is on 1-22-2024. The Committee approved filing this item at its meeting on 12-20-2023.

body

 

Affected Council District(s) or citywide?

Council District 11

Contract Control Number:

PLANE-202369682

Vendor/Contractor Name (including any “DBA”):

21 Air LLC

Type and Scope of services to be performed:

This request is for a non-competitive agreement between 21 Air LLC and Denver International Airport (DEN). 21 Air LLC is operating as an affiliate cargo airline at DEN.  They do not lease any space but use the leased space of their host cargo airline.  Airline Rates and Charges apply. 

Airline rates and charges are established on “cost recovery” concepts whereby the annual cost of operating DEN forms the basis for the rate, fee, or charge assessed to the airlines. The Airport recalculates airline rates and charges each year based on its operating budget, debt service, amortization and projected aviation activity levels and reconciled at year-end based on actuals “true-up.” The airline/airport use and lease agreement specifies the types of costs that are used to calculate airline rates and charges. Examples of rates and charges include landing fee (fee for every time a plane lands on the runway), Terminal Complex rental rate (Per square foot rate to lease space in the Terminal (e.g., office, holdroom, ticketing)), concourse ramp, fee to recover the cost of leasing the ramp area associated with a gate, Automatic Guideway Transportation System (Passenger fee to use the train system between the terminal and concourses).”

Location (if applicable):

 

WBE/MBE/DBE goals that were applied, if applicable (construction, design, Airport concession contracts):

N/A

Are WBE/MBE/DBE goals met (if applicable)?

N/A

Is the contract new/a renewal/extension or amendment?

New

Was this contractor selected by competitive process or sole source?

Sole source

For New contracts

 

Contract Amount (A)

Rates & Charges

 

Contract Term

 09/01/2023-2/28/2028