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Pages 18-20

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From page 18...
... 18 3.1 Specific Strategies Contracting of services or outsourcing refers to the delegation of operations from the public sector to a private entity that specializes in the operation, maintenance, or management of that activity.
From page 19...
... 19 3.2.1 Maintenance Contracts Subcontracting with private companies for all types of services is routine for U.S. airports, including maintenance services (e.g., terminal cleaning, window cleaning)
From page 20...
... 20 • Accesses private sector expertise for specialized functions • Applies private sector techniques to accelerate project delivery and reduce construction costs for capital improvements • If applicable, uses private agents for commercial development 3.4.2 Advantages The main advantages provided by service contracts include: • Provides potential to cut costs and optimize efficiency • Retains airport oversight of contracts to ensure compliance with airport goals • Reduces airport costs for employee salaries and benefits as well as post retirement expenses and liability (pension, medical, etc.) • Involves low implementation risk and complexity • Allows airport management to focus on core and strategic issues • Maintains airport owner control over land uses and facilities Airlines view contracting of services as a viable option towards a broader goal, such as lower costs or more efficiency at an airport.

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