Title
Through the Fence Agreement with Dillon Aero, Inc. at Phoenix Deer Valley Airport (Ordinance S-47189)
Description
Request to authorize the City Manager, or his designee, to enter a Through the Fence (TTF) agreement with Dillon Aero, Inc. (Dillon) to provide access from Dillon's hangar facility to Phoenix Deer Valley Airport (DVT).
Report
Summary
On or about Sept. 11, 2020, Dillon purchased a hangar facility from Honeywell Inc. The hangar facility is located off DVT property at 1510 W. Deer Valley Road. The hangar facility is connected to DVT via an existing taxi lane. The TTF agreement will provide access for Dillon-owned and leased aircraft to DVT for aircraft operations.
Contract Term
The term of the TTF agreement will be for 30 years. The agreement is non-transferable and will terminate if Dillon sells the hangar facility.
Financial Impact
Revenue from the TTF agreement is $27.53 per month for each of Dillon’s aircraft stationed at the hangar facility. The rate is based on the rate for uncovered tie-down aircraft storage at DVT and will be adjusted annually according to the Consumer Price Index. Dillon will also pay the current fuel flowage rate of $0.11 per gallon.
Concurrence/Previous Council Action
This item was recommended for approval by the Phoenix Aviation Advisory Board on Nov. 19, 2020 and the Transportation, Infrastructure and Innovation Subcommittee on Dec. 2, 2020.
Location
Adjacent to Phoenix Deer Valley Airport located at 702 W. Deer Valley Road
Council District: 1
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Aviation Department.