HomeMy WebLinkAboutMINUTES - 08062013 - C.14RECOMMENDATION(S):
APPROVE and AUTHORIZE the Director of Airports, or designee, to execute an amendment to the Fuel Supply
Agreement between the County and Air Petro Corporation under which the County purchases aviation fuel for resale
to tenants and other aviation users at the Byron Airport, Byron area.
FISCAL IMPACT:
There is no negative impact on the General Fund. Fuel is purchased by the Airport with funds from the Airport
Enterprise Fund. The Airport then sells the fuel to Byron tenants and other aviation users. Proceeds from the Airport’s
sale of aviation fuel are used to replenish the Airport Enterprise Fund.
BACKGROUND:
In December 2008, the County entered into a Fuel Services Agreement with Air Petro. As part of the Fuel Services
Agreement, the County entered into a “branding” agreement under which it was agreed that only Chevron aviation
fuel would be sold at Byron Airport. As of June 1, 2013, Chevron no longer sells aviation fuel.
With the departure of Chevron from the aviation fuel market, the Airport
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 08/06/2013 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I Supervisor
Candace Andersen, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Karen Mitchoff, District IV
Supervisor
Federal D. Glover, District V
Supervisor
Contact: Beth Lee, (925)
646-5722
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board
of Supervisors on the date shown.
ATTESTED: August 6, 2013
David Twa, County Administrator and Clerk of the Board of Supervisors
By: June McHuen, Deputy
cc:
C. 14
To:Board of Supervisors
From:Keith Freitas, Airports Director
Date:August 6, 2013
Contra
Costa
County
Subject:Approval of an Amendment to the Fuel Supply Agreement between the County and Air Petro Corporation for the
Sale of Aviation Fuel at the Byron Airport
BACKGROUND: (CONT'D)
was given a choice between two other brands of aviation fuel. Airport staff chose Phillips 66 based on its industry
brand recognition and the ability of pilots who are members of the Experimental Aircraft Association Young Eagles
to obtain discounts on Phillips 66 fuel by using their Phillips 66 credit card.
The Fuel Services Agreement is being amended to reflect (i) that Air Petro has been acquired by World Fuel Services
and that fuel will be supplied to the Airport by either Air Petro or World Fuel Services, and (ii) a new branding
agreement under which Phillip 66 aviation fuel, and not Chevron aviation fuel, will be sold at Byron Airport. The
amendment requires World Fuel Services to bear the expense of removing all Chevron signage and advertising
material from Byron Airport and installing signage and advertising material showing the Phillips 66 brand name.
To avoid an interruption in the sale of aviation fuel at Byron Airport, the Airport has been purchasing and reselling
Phillips 66 from World Fuel Services/Air Petro since June 1, 2013, the date of Chevron’s exit from the aviation fuel
market. Airport staff is requesting that the amended Fuel Services Agreement be approved as of June 1, 2013.
CONSEQUENCE OF NEGATIVE ACTION:
If the amended Fuel Services Agreement is not approved, the Airport will no longer be able to sell Philips 66 aviation
fuel and there will be a disruption of aviation fuel services at the Byron Airport.
CHILDREN'S IMPACT STATEMENT:
Not Applicable