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File #: 23-1160    Version: 1
Type: Resolution Status: Adopted
File created: 8/27/2023 In control: Business, Arts, Workforce, Climate & Aviation Services Committee
On agenda: 9/18/2023 Final action: 9/25/2023
Title: A resolution approving a proposed Twelfth Amendment between the City and County of Denver and United Airlines, Inc. concerning rates and charges for currently and newly leased space at Denver International Airport. Amends a lease agreement with United Airlines, Inc. for rates and charges by documenting all space currently leased by United and defining the parameters of newly leased space at Denver International Airport in Council District 11. No change to lease duration (XC 2X000/ PLANE-202264055). The last regularly scheduled Council meeting within the 30-day review period is on 10-9-2023. The Committee approved filing this item at its meeting on 9-6-2023. Council member Alvidrez called this item out at the 9-18-2023 meeting for a one-week postponement to 9-25-2023.
Indexes: Melissa Mata
Attachments: 1. RR23-1160_DEN_Request for Ordinance - United Airlines 12th Amendment, 2. 23-1160 Contract_United Airlines, Inc. - 202264055, 3. 23-1160 Filed Resolution_United Airlines, Inc., 4. 23-1160 Filed Resolution_United Airlines, Inc., 5. 23-1160 - signed

Contract Request Template (Contracts; IGAs; Leases)

 

Date Submitted:9-04-2023

 

Requesting Agency: Denver International Airport

                               Division:

 

Subject Matter Expert Name: George Karayiannakis
Email Address:
George.Karayiannakis@flydenver.com <mailto:George.Karayiannakis@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 Twelfth Amendment between the City and County of Denver and United Airlines, Inc. concerning rates and charges for currently and newly leased space at Denver International Airport.

Amends a lease agreement with United Airlines, Inc. for rates and charges by documenting all space currently leased by United and defining the parameters of newly leased space at Denver International Airport in Council District 11. No change to lease duration (XC 2X000/ PLANE-202264055). The last regularly scheduled Council meeting within the 30-day review period is on 10-9-2023. The Committee approved filing this item at its meeting on 9-6-2023. Council member Alvidrez called this item out at the 9-18-2023 meeting for a one-week postponement to 9-25-2023.

body

 

Affected Council District(s) or citywide?

Council District 11

 

Contract Control Number:

PLANE-202264055

 

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

United Airlines, Inc.

 

Type and Scope of services to be performed:


This 12th Amendment to the United Airlines, Inc. (United) Use and Lease Agreement is for the following purposes:
1) to document all space currently leased by United. Today, United leases approximately 1.4 million sf of space to support their operation as the largest carrier at DEN.
2) Define new leased support space, approximately 30,000 sf in the B East Expansion at Denver International Airport (DEN), and
3) Define the parameters of United’s Gate of the Future project in Concourses A and B.  This project will renovate the original gate hold rooms and public circulation areas and improve the overall customer experience at DEN.  This project will include new gate furnishings, podiums, carpet, and other finishes.  United is currently leasing approximately 450,000 sf of space on B Concourse and approximately 117,000 sf of space on A Concourse

This is a revenue contract.  United is charged based on rates and charges of the airport, determined each year.

 

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?

Amendment

 

Was this contractor selected by competitive process or sole source?

NO
                     

For New contracts

Term of initial contract:

 

Options for Renewal:

                     How many renewals (i.e. up to 2 renewals)?

                     Term of any renewals (i.e. 1 year each):

 

Cost of initial contract term:

 

Cost of any renewals:

 

Total contract value council is approving if all renewals exercised:

 

For Amendments/Renewals Extensions:

Is this a change to cost/pricing; length of term; terms unrelated to time or price (List all that apply)

Terms unrelated to time or price

This 12th Amendment to the United Airlines, Inc. (United) Use and Lease Agreement is for the following purposes:
1) to document all space currently leased by United. Today, United leases approximately 1.4 million sf of space to support their operation as the largest carrier at DEN.
2) Define new leased support space, approximately 30,000 sf in the B East Expansion at Denver International Airport (DEN), and
3) Define the parameters of United’s Gate of the Future project in Concourses A and B.  This project will renovate the original gate hold rooms and public circulation areas and improve the overall customer experience at DEN.  This project will include new gate furnishings, podiums, carpet, and other finishes.  United is currently leasing approximately 450,000 sf of space on B Concourse and approximately 117,000 sf of space on A Concourse

 

If length changing

What was the length of the term of the original contract?

 

What is the length of the extension/renewal?

 

What is the revised total term of the contract?

 

If cost changing

What was the original value of the entire contract prior to this proposed change?

 

What is the value of the proposed change?

 

What is the new/revised total value including change?

 

If terms changing

Describe the change and the reason for it (i.e. compliance with state law, different way of doing business etc.)