A Guidebook for Airport-Airline Consortiums (2014) / Chapter Skim
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Pages 10-13
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From page 10... ...
10 Once consensus has been achieved among the stakeholders that the feasibility of an airline consortium should be examined and funds have been authorized for a feasibility study, a qualified consultant should be selected to perform a feasibility study. Before the consultant can properly perform the feasibility study, the consortium sponsor should advise the consultant of the following: • Purpose of the consortium • Preliminary scope of the consortium • Proposed membership of the consortium • Objectives of the consortium • Any known constraints or obstacles The feasibility study will include a number of tasks, including the following: • Preparation of a business plan • Preparation of a preliminary capital budget, if applicable • Preparation of a capital-funding plan, if applicable • Description of the documents to be developed to implement the consortium Depending on the specific circumstances for the proposed consortium, the feasibility study may also include data gathering and analysis regarding potential efficiencies and cost savings that may be gained by the consortium.
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From page 11... ...
Feasibility Study 11 If bond funding is being considered, the City and/or its designated bond issuance agency or their legal counsel should also be consulted. If it is determined that airport funds will be used for capital development, or any other purpose associated with the consortium, the financial stakeholders should be consulted very early in the process to allow sufficient time for approvals and documentation.
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From page 12... ...
12 A Guidebook for Airport-Airline Consortiums 2. Oakland Fuel Facilities Corporation.
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From page 13... ...
Feasibility Study 13 that the consortium model would produce estimated annual savings of approximately $4.7 million or 19%, compared with the same scope of services administered by LAWA. The estimated savings resulted from the projected reduction of administrative overhead costs, the estimated reduction in labor cost rates, and recommended adjustments in staffing levels.
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