Long Beach, CA
File #: 21-0844    Version: 1 Name: LBA - Refund to JetBlue Airways of rent overpayment D5
Type: Agenda Item Status: Approved
File created: 8/2/2021 In control: City Council
On agenda: 8/24/2021 Final action: 8/24/2021
Title: Recommendation to authorize the Airport Department to process a refund in the amount of $128,239 to JetBlue Airways Corporation, for overpayment of airline landing and rental fees at 4100 East Donald Douglas Way at the Long Beach Airport. (District 5)
Sponsors: Long Beach Airport
Attachments: 1. 082421-C-15sr.pdf

TITLE

Recommendation to authorize the Airport Department to process a refund in the amount of $128,239 to JetBlue Airways Corporation, for overpayment of airline landing and rental fees at 4100 East Donald Douglas Way at the Long Beach Airport.  (District 5)

 

DISCUSSION

On October 16, 2020, JetBlue Airways Corporation (JetBlue) ended commercial flight operations at the Long Beach Airport (Airport).  JetBlue operated as a commercial air carrier and a tenant at the Airport.  Following their departure, JetBlue continued to send payments for airline landing and rental fees electronically for several months after they vacated the property.  The last payment was received in March 2021, upon which a reconciliation was completed resulting in JetBlue’s overpayment of $128,239.

 

In accordance with Long Beach Municipal Code Section 3.48.040, refunds exceeding $10,000 must be approved by the City Attorney and City Council.  Authorization to process the refund is requested on behalf of the applicant.

 

This matter was reviewed by Principal Deputy City Attorney Gary J. Anderson on July 27, 2021 and by Budget Analysis Officer Greg Sorensen on August 3, 2021.

 

TIMING CONSIDERATIONS

City Council action is requested on August 24, 2021, to process the refund in a timely manner.

 

FISCAL IMPACT

The total refund to JetBlue is $128,239.  Sufficient funds are budgeted in the Airport Fund Group in the Airport Department.  This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities.  There is no local job impact associated with this recommendation.

 

SUGGESTED ACTION

Approve recommendation.

 

Respectfully Submitted,

CYNTHIA GUIDRY

DIRECTOR, LONG BEACH AIRPORT

 

 

 

APPROVED:

 

THOMAS B. MODICA

CITY MANAGER