HomeMy WebLinkAbout2020-04-27 20-141 Order
04/27/202020-141
04/27/2020
20-141
Airport
Order
001-001
Title, Order
Authorizing Execution of a Construction & Development Agreement with C&L Aerospace Holdings, LLC. at
Bangor International Airport (BGR).
This Order will authorize the City Manager to execute a construction and development agreement between the the City
of Bangor and C&L Aerospace, in the amount of $3,548,004 for the expansion of aircraft maintenance facilities at the
airport. This Order will also rescind Council Order 16-348, adopted on September 12, 2016, which authorized a previous
construction agreement between the Parties. Through this original agreement, the City obtained an Economic
Development Administration (EDA) grant of $1,243,004 which was to be used for this expansion. Included in the
original agreement, the City agreed to fund $310,000 of the required matching funds for specific parts of the project
and C&L agreed to fund the balance of the matching grant amount of $1,243,004. As the Project did not move forward
at that that time, this agreement was not executed.
As part of the original expansion, C&L had also requested to build an expansion of their office complex. As part of this
request, the City would fund the construction cost, of approximately $2,305,000, and C&L would reimburse the City
through lease payments. This project also did not move forward. C&L has since purchased a building and land
(previously Spectacular Events Center) for purposes of expanding their aircraft interior shop. With this recent change,
C&L requests not to move forward with the office expansion and is requesting to use the funds originally requested for
this project towards the EDA grant project of expansion of maintenance shop space at the airport to accommodate a
growing need for aircraft maintenance services.
Through this new construction and development agreement, the total estimated expansion cost is $3,548,004. Funding
for this project are the EDA grant funds of $1,243,004 and $2,305,000 in Airport funds which will be recouped through
lease payments by C&L. In no event shall the City’s total financial obligation for the project exceed a maximum of
$2,305,000.
Airport Committee
04/27/2020
Recommend for passage
Staff recommends approval.
New Business
04/27/202020-141
CITY OF BANGOR ORDER
04/27/2020
20-141
Tremble
Authorizing Execution of a Construction & Development Agreement with C&L Aerospace Holdings, LLC. at
Bangor International Airport (BGR).
WHEREAS, the City of Bangor, Maine is the owner of an airport located in Bangor, County of Penobscot, State
of Maine, commonly known as Bangor International Airport; and
WHEREAS, C&L Aerospace Holdings, LLC. currently operates a maintenance, repair and overhaul shop (MRO)
facility at BGR; and
WHEREAS, C&L Aerospace Holdings, LLC. continues to expand at the Bangor facility requiring them to seek
additional maintenance shop space and office space to accommodate a growing need for aircraft maintenance
services; and
WHEREAS, The City has agreed to fund this expansion and C&L Aerospace will reimburse the City through
lease payments; and
WHEREAS, This Order shall also rescind Order 16-348, which originally obligated the City to provide $310,000
towards the required matching funds, and as the Project did not move forward at that that time, these funds
were not expended.
NOW, THEREFORE, BE IT ORDERED BY THE CITY COUNCIL OF THE CITY OF
BANGOR,
That Catherine M. Conlow, City Manager, is hereby authorized on behalf of the City of Bangor to execute the
agreement with C&L Aerospace Holdings, LLC. for the construction of expanded shop space at Bangor
International Airport. The City's contribution shall not exceed $2,305,000. The agreement shall be in final
form as approved by the City Legal.
Be it Further Ordered that,
Council Order 16-348 is hereby rescinded.
IN CITY COUNCIL
APRIL 27,2020
CO 20-141
MOTION MADE AND SECONDED FOR PASSAGE
VOTE: 9-0
COUNCILORS VOTING YES: FOURNIER,HAWES,NICHOLS,OKAFOR, SCHAEFER, SPRAGUE, SUPICA,
TREMBLE,DAVITT
COUNCILORS VOTING NO: NONE
PASSED
CITY CLERK