COUNCIL COMMUNICATION
TO: Honorable Mayor and Council
FROM: Kip Turner, Airport Manager
SUBJECT:Title
Discussion and Action: Presentation on Airport Lease Audit Executive Summary Prepared by Aeroplex Group Partners (Kip Turner)
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FUNDING SOURCE:
N/A
PURPOSE:
To present the Airport Lease Audit Executive Summary prepared by Aeroplex Group Partners (AGP).
BACKGROUND:
The Airport Lease Audit examined the existing lease structures, service obligations, and compliance with Federal Aviation Administration (FAA) guidance. The independent auditor reviewed each commercial lease on the Airport to ensure the City is complying with FAA expectations in commercial leases. The auditor provides an opinion of its findings while identifying opportunities to improve consistency, transparency, and economic nondiscrimination in airport leasing practices, and strengthening long-term asset management and financial performance of the Airport Enterprise Fund.
COMMUNITY IMPACT:
Implementation of the Airport Lease Audit recommendations will strengthen the long-term sustainability, safety, and economic viability of the Lake Havasu City Municipal Airport.
FISCAL IMPACT:
Implementation of these recommendations is expected to improve long-term revenue stability through market-based lease structures and encourage private reinvestment in airport facilities.
ATTACHMENTS:
Executive Summary
SUGGESTED MOTION:Recommended.action
None.