HomeMy WebLinkAboutResolution 3386-07-2006DALLAS RESOLUTION NO
FORT WORTH RESOLUTION NO 3386-07 2006
A CONCURRENT RESOLUTION OF THE CITY COUNCILS OF
THE CITIES OF DALLAS AND FORT WORTH, TEXAS (1) APPROVING
THE JUNE 15, 2006 JOINT STATEMENT AMONG THE CITY OF
DALLAS CITY OF FORT WORTH SOUTHWEST AIRLINES
AMERICAN AIRLINES AND DFW INTERNATIONAL AIRPORT (THE
'PARTIES') TO RESOLVE THE 'WRIGHT AMENDMENT" ISSUES, (2)
AUTHORIZING THE EXECUTION OF A CONTRACT BETWEEN THE
PARTIES INCORPORATING THE TERMS OF THE JUNE 15 2006
JOINT STATEMENT AND (3) REQUESTING THE UNITED STATES
CONGRESS TO INCORPORATE THE TERMS OF THE JUNE 15 2006
JOINT STATEMENT IN ANY LEGISLATION ENACTED BY CONGRESS
REGARDING THE WRIGHT AMENDMENT
WHEREAS the Cities of Daflas and Fort Worth Texas (the `Cities') jointly own
the Dallas/Fort Worth International Airport ("DFW") which is operated for and on behalf
of the Cities by a Joint Airport Board (the `Board') pursuant to the terms provisions and
requirements of a certain `Contract and Agreement" between the Cities and pursuant to
the terms provisions and requirements of the 1968 Regional Airport Concurrent Bond
Ordinance (as amended and supplemented the 1968 Ordinance') and
WHEREAS pursuant to the 1968 Ordinance and various ordinances
supplemental thereto (the 1968 Ordinance and the supplemental ordinances being
referred to herein collectively as the `Outstanding Ordinances') the Cities heretofore
issued and there are currently outstanding Joint Revenue Bonds of the Cities the
proceeds of which were used to construct, improve enlarge and equip DFW and
WHEREAS the Cities each own and operate other airports that provide various
aviation and air carrier services in the Dallas/Fort Worth metropolitan area and
WHEREAS the Outstanding Ordinances set forth certain provisions relating to
other airports owned by the Cities which airports by their nature may be potentially
competitive with the operation of DFW including the covenants to take certain actions
as may be necessary appropriate and legally permissible to limit certificated air carrier
services at such airports and
WHEREAS subsequent to the adoption of the 1968 Ordinance including the
covenants contained therein regarding competition with DFW by other airports owned
by the Cities the Congress of the United States passed and enacted the Airline
Deregulation Act of 1978 pursuant to which provisions restricting permitted flight
destinations by commercial air carriers were eliminated and
Resolution No. 3386-07-2006
WHEREAS in February 1980 the Congress enacted Section 29 of the
International Air Transportation Competition Act of 1979 commonly referred to as the
Love Field Amendment" or `Wright Amendment" and declared it to be consistent with
the public convenience and necessity to limit air carrier service out of Dallas Love Field
Airport ("Love Field") (i) to any interstate destination in an aircraft having a passenger
capacity of 56 seats or less (the `Commuter Aircraft Exception') or on charter flights not
exceeding 10 per month and (ii) to points within Texas and the four states adjacent to
Texas (Louisiana Arkansas Oklahoma and New Mexico) m aircraft of any size subject
to certain restrictions on through service or ticketing and
WHEREAS in 1997 Congress passed an amendment to the Wright
Amendment, commonly referred to as the Shelby Amendment, that (i) expanded the
adjacent-state rule of the Wright Amendment to allow aircraft of any size to fly to three
additional states (Kansas Alabama and Mississippi) and (ii) provided that aircraft
weighing not more than 300 000 pounds that is reconfigured to accommodate 56 or
fewer passenger would comply with the Commuter Aircraft Exception of the Wright
Amendment and such aircraft could fly to and from Love Field to any interstate
destination and
WHEREAS in 2005 Congress again passed an amendment to the Wright
Amendment which expanded the adjacent-state rule to add the state of Missouri
thereby allowing aircraft of any size to fly to and from Love Field to any point within
Texas Alabama Arkansas Kansas Louisiana Mississippi Missouri Oklahoma and
New Mexico subject to certain restrictions on through service or ticketing and
WHEREAS certain Congressional leaders have introduced legislation to either
repeal or further modify the restrictions of the Wright Amendment, which could impact
air capacity and air service in the North Central Texas region and
WHEREAS certain Members of Congress informed the Cities that it would be
preferable for the Cities to present a local solution for addressing airport capacity and
air service needs in the North Central Texas region and particularly in the Dallas/ Fort
Worth metropolitan area prior to any further action being taken by Congress that would
directly impact such aviation services in the region and
Resolution No. 3386-07 2006
WHEREAS in response to various pending and proposed Congressional actions
that would further affect, modify or repeal the Wright Amendment, the City Councils of
Dallas and Fort Worth on March 8 2006 and March 7 2006 respectively passed a
Concurrent Resolution (identified as Dallas Resolution No 06-0870 and Fort Worth
Resolution No 3319-03-2006) requesting members of the United States Congress to
refrain from taking any action regarding or making any further amendments to the
Wright Amendment in order to allow the Cities an opportunity to work towards a local
solution for addressing airport capacity and air service in the North Central Texas
region and to present a mutually agreed upon plan to the Congress for its
consideration and
WHEREAS the City of Dallas pursuant to Resolution No 06-0997 adopted April
6 2006 commissioned an .Impact Analysis/Master Plan Update for Love Field by DMJM
Aviation Inc. to provide updated information and analysis as to aircraft noise air
quality traffic impact, and economic impact at Love Field if the Wright Amendment were
repeated or substantially modified and
WHEREAS the Love Field Impact Analysis/Master Plan Update prepared by
DMJM Aviation Inc and GRA, Inc. found that, in the absence of the Wright
Amendment, the overall impacts of operating 20 gates at Love Field under a No Wright
Amendment scenario are the most comparable to the environmental thresholds agreed
to and established in the 2001 Master Plan/Impact Analysis 32 Gate scenario with the
Wright Amendment in place and
WHEREAS after investigation and analysis of the available facts and giving due
consideration to the economic environmental and personal welfare and interests of
their respective residents the general public and the holders of DFW Airport Joint
Revenue Bonds the Cities conferred deliberated and agreed to a local solution
regarding the Wright Amendment and related matters that best serves such interests
given the likelihood that Congress could take action to repeal or substantially modify the
Wright Amendment; and
WHEREAS the local solution was agreed to by the City of Dallas City of Fort
Worth Southwest Airlines American Airlines and DFW International Airport (the
'Parties') as evidenced by the Joint Statement Among the Parties to Resolve the
'Wright Amendment" Issues executed June 15 2006 (the Joint Statement")
Resolution No. 3386-07 2006
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCILS OF THE
CITIES OF DALLAS AND FORT WORTH ACTING CONCURRENTLY
Section 1 That the Joint Statement attached hereto as Exhibit A is hereby approved
Section 2 That following approval as to form by the Dallas City Attorney and
approval as to form and legality by the Fort Worth City Attorney the respective City
Managers of the cities of Dallas and Fort Worth are hereby authorized to sign a contract
between the Parties incorporating the terms of Exhibit A.
Section 3 That any legislation enacted by the Congress of the United States
affecting or modifying the Wright Amendment, shall incorporate and implement the
provisions and spirit of the Joint Statement set forth in Exhibit A.
Section 4 That anything set forth in this Resolution the Joint Statement, and the
contract authorized hereby incorporating the terms of Exhibit A that requires the
expenditure of public funds or the creation of any monetary obligation by either of the
cities be strictly subject to the appropriation of funds for such purposes or the provisions
for the payment of such obligation through issuance of legally permissible bonds or
other debt obligations
Section 5 That nothing set forth in this Resolution the Joint Statement, or the
contract authorized herein shall require the cities of Dallas or Fort Worth or the DFW
Airport Board to take any action that would result in (i) the loss of eligibility for future
Federal airport grants for either city or the DFW Airport Board or (ii) FAA disapproval of
any Passenger Facility Charge Application for either city or the DFW Airport Board or
(iii) either city or the DFW Airport Board being found to be in non-compliance with its
existing obligations under Federal aviation law
Section 6 That the Resolution shall take effect only from and after passage by both
the City Councils of Dallas and Fort Worth
Resolution No. 3386-07 2006
Adopted this 11th day of July 2006
ATTEST ~.:~, ~
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ity Secretary
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APPROVED AS TO FORM AND LEGALITY
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City Attorney
APPROVED
CITY COUNCIL
JUL 1 1 2006
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City Secretary of the
City of Fort Worth, Texas
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION Approved on 7/11/2006 Resolution No 3386-07 2006
DATE Tuesday July 11 2006
LOG NAME. 12WRIGHT REFERENCE NO C-21559
SUBJECT
Adopt Concurrent Resolution of the City Councils of the Cities of Dallas and Fort Worth Texas and
Authorize Execution of Contract among The City of Dallas The City of Fort Worth Southwest
Airlines Co American Airlines Inc and DFW International Airport Board Incorporating the
Substance of the Terms of the June 15 2006 Joint Statement between the Parties to Resolve the
'Wright Amendment" Issues
RECOMMENDATfON
It is recommended that the City Council
Adopt a concurrent resolution of the City Councils of the cities of Dallas and Fort Worth Texas.
. Approving the June 15 2006 Joint Statement among the City of Dallas City of Fort Worth Southwest
Airlines American Airlines and DFW International Airport (the 'Parties') to resolve the 'Wright Amendment"
issues,
. Authorize execution of Contract incorporating the terms of the June 15 2006 Joint Statement; and
. Requesting the United States Congress to incorporate the terms of the June 15 2006 Joint Statement in
any legislation enacted by Congress regarding the Wright Amendment; and
2. Authorize execution of the Contract among The City of Dallas, The City of Fort Worth Southwest
Airlines Co American Airlines, Inc and DFW International Airport Board Incorporating the substance of
the terms of the June 15 2006 Joint Statement between the Parties to Resolve the 'Wright Amendment"
Issues (the Contract)
DISCUSSION
In response to various pending and proposed Congressional actions that would affect, modify or repeal the
Wright Amendment, the City Councils of Dallas and Fort Worth passed a Concurrent Resolution (City of
Fort Worth Resolution no 3319-03-2006 adopted March 7 2006) requesting that Congress refrain from
taking any action regarding the Wright Amendment in order to give interested parties an opportunity to work
toward a local solution for addressing airport issues in the region Following significant investigation
analysis and dialogue on June 15 2006 the Cities of Fort Worth and Dallas Southwest Airlines American
Airlines and the Dallas/Fort Worth International Airport Board signed a joint statement outlining the local
solution agreed to by each of those five parties (the Joint Statement") and subsequently drafted a
'Contract" incorporating the terms of the Joint Statement.
The attached concurrent resolution approves the Joint Statement, authorizes execution of the Contract, and
requests the United States Congress to incorporate the terms of the Joint Statement in future legislation
regarding the Wright Amendment.
Logname 12WRIGHT Page 1 of 3
The attached contract memorializes the local solution outlined in the Joint Statement.
The basic terms of the Contract are as follows
Immediately allow airlines serving Dallas Love Field (Love Field) to offer through ticketing between Love
Field and any destination (including international destinations) through any point in Texas New Mexico
Oklahoma, Kansas Arkansas, Louisiana, Mississippi Missouri and Alabama.
Eliminate all remaining restrictions on service from Love Field after eight years from the enactment of
legislation
Allow non-stop international commercial passenger service exclusively at Dallas/Fort Worth
International Airport (DFW)
Reduce the number of gates available for passenger air service at Love Field from 32 to 20
Further Dallas will
negotiate a voluntary noise curfew at Love Field between 11 p m and 6 a.m
redevelop Love Field within eight years and
increase landing fees and/or rental rates
Cities will jointly oppose efforts to initiate commercial passenger air service at any area airport other
than DFW for eight years.
Cities will ask Congress to enact legislation to implement this Contract.
If Southwest Airlines operates from other airports within an 80 mile radius of Love Field before 2025
then for every such gate at other airports it will relinquish an equivalent number of gates at Love Field up to
eight gates
If American Airlines operates from other airports within an 80 mile radius of Love Field (other than DFW)
before 2025 then for every such gate it will relinquish an equivalent number of gates at Love Field up to
one and one-half gates.
If Congress passes legislation that is inconsistent with the Parties agreement, Southwest Airlines and
American Airlines agree to abide by this agreement, or if pursuant to such legislation either commences
non-stop flights to or from Love Field to a state not currently allowed under the Wright Amendment, they
agree to relinquish eight gates and one and one-half gates respectively
If Congress does not enact legislation by December 31 2006 the Contract is null and void unless all
parties agree to extend this Contract.
FISCAL INFORMATION/CERTIFICATION
The Finance Director certifies that this action will have no material effect on City funds
TO FundlAccount/Centers
FROM Fund/AccountlCenters
Submitted for City Manager's Office by Marc Ott (6122)
0
Originating Department Head. David Yett (7623)
Marcia use (7607)
Additional Information Contact: Benita Harper (7615}
Logname 12WRIGHT Page 2 of 3
Peter Vaky (7601)
Logname 12WRIGHT Page 3 of 3