Los Angeles

Board of Airport Commissioners

March 21, 2024 Resolution #8

Agenda Item 8

8. RESOLUTION NO. - Amendments to certain In-Terminal Concession Agreements with Areas USA LAX LLC, Crews Hospitality LLC, DN/Dakota JME, Host International Inc., and Hudson Group: To extend their respective terms thru June 30, 2029 and require certain refurbishments be completed within the first year of the extended term, covering concessions in Terminals 4, 5, 7 and 8 at Los Angeles International Airport\nPURPOSE: Staff request approval to amend the In-Terminal Concession Agreements in Terminals 4, 5, 7 and 8 at Los Angeles International Airport to extend their respective terms by four (4) years from June 30, 2025, to June 30, 2029. Extending said agreements will postpone replacement of all concession locations in those facilities until after the 2026 FIFA World Cup and 2028 Summer Olympic and Paralympic Games. Deferring the concession program redevelopment will provide guests access to consistent offerings that would otherwise be impacted if the concession program was redeveloped during that period.\nRECOMMENDATIONS: Adoption of the Report requesting that the Board of Airport Commissioners determine that this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Article III, Class 1 (18)(c) of the Los Angeles City CEQA Guidelines; find that use of competitive bidding for four (4)-year extensions to the In-Terminal Concession Agreements in Terminals 4, 5, 7 and 8 would be undesirable and impractical under Section 10.15 (a)(10) of the City of Los Angeles Administrative Code and Section 371 (e)(10) of the Los Angeles City Charter; approve the Amendments to the In-Terminal Concession Agreements, listed in Attachment 1 to the staff report; and authorize the Chief Executive Officer, or designee, to execute said Amendments to the In-Terminal Concession Agreements, listed in Attachment 1 to the staff report, after approval as to form by the City Attorney and approval by the Los Angeles City Council. (David Jones)\n08 Report