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PUBLIC NOTICE New Passenger Facility Charge Application and Amendments to Existing Applications
Los Angeles International Airport April 30, 2019 Pursuant to Section 158.24 of Title 14 Code of Federal Regulations Part 158, the City of Los Angeles, acting through its Department of Airports or Los Angeles World Airports (LAWA), hereby provides public notice of its intention to submit a new Passenger Facility Charge (PFC) application to the Federal Aviation Administration (FAA) as well as amendments to three existing PFC applications. The following information is included in this Public Notice: 1. Description and justification of the projects; 2. PFC level, proposed charge effective date, estimated charge expiration date, and
estimated total PFC revenue; and, 3. Name and contact information of the LAWA staff person to whom comments should
be sent. Additional description of the new PFC application as well as amendments to three existing PFC applications is provided in the attachment to this Public Notice. NEW PFC APPLICATION LAWA intends to apply for PFC funding for three projects under a new PFC application: • Midfield Satellite Concourse – Phase One: $950,000,000 in PFC bond capital,
$5,960,000 in PFC pay-as-you-go, and $794,040,000 in PFC bond financing and interest
• Inglewood High School Soundproofing: $22,000,000
• PFC Application Development: $250,000 PFC LEVEL, PROPOSED CHARGE EFFECTIVE DATE, ESTIMATED CHARGE EXPIRATION DATE, AND ESTIMATED TOTAL PFC REVENUE PFC level: $4.50 per eligible enplaned passenger Charge effective date for the application: January 1, 2029 Estimated charge expiration date for the application: July 1, 2038 Estimated total PFC revenue to be collected under application: $1,772,250,000
Public Notice – PFC April 30, 2019 Page 2 of 2
PROPOSED AMENDMENTS TO 11-08-C-01-LAX, 13-09-C-00-LAX, AND 15-11-U-00-LAX The existing PFC applications 11-08-C-01-LAX Lennox Schools Soundproofing Program, 13-09-C-00-LAX Inglewood Unified School District Soundproofing Program, and 15-11-U-00-LAX Lennox Schools Soundproofing Program (future Sites) are all currently approved at the $3.00 level. Between June 1, 2024 and January 1, 2025, PFC collections at LAX are scheduled to drop from the existing $4.50 level to the $3.00 level. LAWA intends to amend all three of these applications to maintain the $4.50 collection level. LAWA does not intend to make any other changes to these existing PFC applications under these amendments. All comments on PFC application activities described in this Notice should be sent by May 31, 2019 to: [email protected] or Attention: Zina Cheng Los Angeles World Airports Grants, PFC, & CFC Administration 1 World Way, 2nd Floor Los Angeles, CA 90045 424-646-5479
New PFC Application and Amendments to 11-08-C-01-LAX, 13-09-C-00-LAX, and 15-11-U-00-LAXLos Angeles World AirportsLos Angeles International Airport
Notice and Opportunity for Public CommentApril 30, 2019
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Overview
Los Angeles World Airports (LAWA) intends to submit a new PFC application to theFederal Aviation Administration (FAA) and amendments to existing PFC Applications 11-08-C-01-LAX, 13-09-C-00-LAX, and 15-11-U-00-LAX
New PFC Application for three projects: Midfield Satellite Concourse – Phase One,Inglewood High School Soundproofing, and PFC Application Development PFC level: $4.50 per eligible enplaned passenger for all projects Estimated charge effective date for the application: January 1, 2029 Estimated charge expiration date for the application: July 1, 2038 Estimated total PFC revenue to be collected under application: $1,772,250,000
Proposed amendments to existing PFC applications are simply to increase the PFC levelfrom $3.00 to $4.50 Between June 1, 2024 and January 1, 2025, PFC collections at LAX are scheduled to drop from the
existing $4.50 level to the $3.00 level Proposed amendments would maintain PFC collections at a consistent $4.50 level through
expiration
1
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Notice to Air Carriers
In accordance with Section 158.24 of 14 CFR Part 158, these materials constitute thewritten notice and opportunity for public comment on the proposed amendment andinclude: PFC level, estimated total PFC revenue to be collected, proposed charge effective date, estimated
charge expiration date, and estimated total PFC revenue for the project and the application asamended
Name and contact for the person within the public agency to whom the comments should be sent A description and brief justification of the projects
Public comments may be submitted through May 31, 2019
Airline certifications of agreement and disagreement should be sent to:Zina Cheng Finance & Budget [email protected] Los Angeles World Airports(424) 646-5479 One World Way
Los Angeles, CA 90009
2
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Midfield Satellite Concourse – Phase 1Project Description
Bradley West Gateway: Bump out of Bradley West Concourse (BWC) to connect topassenger tunnel to Midfield Satellite Concourse (MSC)
MSC Passenger Tunnel: Secure and sterile passenger connector between BWC and MSC
MSC Utilidor Tunnel: Service tunnel for baggage conveyance between BWC and MSC, MEPconnections, and hot and chilled water lines from Central Utility Plant
MSC Building: 5 level building containing all typical concourse functions Capacity to accommodate at 12 widebodies or 15 narrowbodies simultaneously Swing gates, able to accommodate domestic and international departing and arriving flights
Ramp Control Tower: No PFC funding
Taxilanes, Aprons, and Utilities: No PFC funding
Baggage Optimization Project: New baggage make-up facility located northwest of BWCand underground baggage tunnel system
Site Preparation and Enabling Projects: Demolition and relocation of facilities on MSC site
3
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Midfield Satellite Concourse – Phase 1Project Aerial as of Spring 2019
4
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Midfield Satellite Concourse – Phase 1Project Illustration
5
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Midfield Satellite Concourse – Phase 1Project Justification
6
Midfield Satellite Concourse – Phase 1 will reduce current and anticipated congestion and delay of international flights by providing additional gate capacity to accommodate increasing number of passengers
Over the last five years, since 2013, overall enplaned passengers at LAX have increased at an average annual growth rate of 5.7% Growth in international enplanements has
outpaced domestic enplanements at LAX International enplanements have increased
at an average rate of 8.0% Domestic enplanements have increased at
an average rate of 4.8%
Swing gates can also accommodate domestic demand
8.9 9.6
Calendar Year
35.3
2013 2017
10.4
2014 2015 2016 2018
30.0
33.3
29.0
37.540.6
42.5 44.0
24.4 25.7 27.1
11.5 12.5
30.9
13.1
5.7%
Domestic International
LAX Enplaned Passengers (in millions)
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Inglewood High School SoundproofingProject Description and Justification
Design and construction of soundproofing of various classrooms and other eligibleeducational facilities at Inglewood High School
Project components include: Replacement of exterior doors and windows, wall and roof sealing, ceiling upgrades, and heating,
ventilation, and air conditioning upgrades Hazardous materials abatement Temporary classrooms while the soundproofing work occurs in permeant classrooms Environmental documents, design, program management, A&E fees, permitting and licensing,
construction management, and other associated soft costs
Project will mitigate the effects of aircraft noise on Inglewood High School
7
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
PFC Application Development
Consulting services related to the preparation of this PFC Application, including: Application timeline Air carrier notification letter Air carrier and public consultation materials Drafts and a final application Notice to air carriers of PFC approvals
Projects in the this PFC application meet the requirements and objectives of approvedPFC projects and funding the cost of preparation of the PFC application with PFCrevenues helps reduce operating costs and increases the LAWA’s overall funding capacity
8
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Estimated Total PFC Revenue
9
(in thousands) Total PFC PFC Pay-go PFC Bonds
PFC Bond Financing
and Interest
Midfield Satellite Concourse – Phase One $1,750,000 $5,960 $950,000 $794,040
Inglewood High School Soundproofing $22,000 $22,000 $- $-
PFC Application Development $250 $250 $- $-
Total PFC $1,772,250 $28,210 $950,000 $794,040
Notice and Opportunity for Public CommentNew PFC Application and AmendmentsApril 30, 2019
Proposed Amendments
PFC Application ProjectImpose
Authority Use Authority
11-08-C-01-LAX Lennox Schools Soundproofing $27,800,572 $27,800,572
Lennox Schools Soundproofing (Future Sites) $3,115,155 $-
13-09-C-00-LAX Inglewood USD Soundproofing $44,378,659 $44,378,659
15-11-U-00-LAX Lennox Schools Soundproofing (Future Sites) $- $3,115,155
10
Existing PFC Applications 11-08-C-01-LAX, 13-09-C-00-LAX, and 15-11-U-00-LAX arecurrently approved at the $3.00 PFC Level
The collection level would be amended and increased to $4.50 PFC Level for all threeapplications
No changes to project scope, cost, justification, or objective are proposed under theseamendments