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Recommendation to authorize City Manager to execute an agreement between the Long Beach Airport and the Boeing Company for the use of Boeing’s Lot D as overflow airport parking on an as-needed basis; and increase appropriations in the Airport Enterprise Fund (EF 320) in the Airport Department (AP) by $112,000. (District 5)
DISCUSSION
Beginning in the year 2000, the Long Beach Airport (Airport) started experiencing a parking shortage for passengers and tenants. As an interim solution, the Airport leased Lot D from the Boeing Company (Boeing) in 2002 for use as long term remote parking. This lot resolved the parking shortage, but was not a permanent solution, as Boeing was clear in its intention to sell or develop the property in the future. Subsequently, the Airport built another on-site parking structure, sized to handle daily needs.
The new parking structure, completed in July 2011, was designed to accommodate the regular parking needs of the Airport, assuring that the garage will meet debt service requirements. Most Airports in the U.S. have access to remote overflow parking facilities that are only activated on an as-needed basis. In response to holiday demands, the Airport has negotiated an agreement with Boeing to continue using Lot D on an as-needed daily basis, at a rental rate of $570 per day. In anticipation of the sale or development of Lot D by Boeing, the Airport will work with Long Beach City College to reinstitute an agreement for the use of Veterans Stadium for peak overflow parking.
It is estimated that Lot D would potentially be activated for a maximum of 41 days per year. This represents 10 days during the Thanksgiving holiday period, 21 days over the Christmas and New Year holidays, and 10 additional days during the period of the agreement. Assuming 70 percent occupancy of the estimated 500 parking spaces over these 41 days, parking revenue will be approximately $160,000. Expenses for shuttles and gate attendants will tota...
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