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[00:00:01]

RECONVENED FROM ITS EXECUTIVE SESSION. NO OFFICIAL ACTION WAS TAKEN. WE'LL NOW ADJOURN OUR A SESSION AND WE'LL MOVE IMMEDIATELY TO OUR SPECIAL SESSION SCHEDULED FOR 11:00. THE TIME IS 11:05.

MADAM CLERK, COULD YOU READ THE ROLL.

>> CLERK: MAYOR, WE HAVE A QUORUM. >> MAYOR NIRENBERG: ALL RIGHT. WELCOME, EVERYONE. WE HAVE ONE ITEM ON TODAY'S BRIEFING ON THE TERMINAL DEVELOPMENT PLAN. ERIK.

>> WALSH: TODAY'S SPECIAL SESSION IS AN EXCITING ONE, AIRPORT CONCESSIONS.

YOU WILL HEAR FROM THE STAFF OUR RECOMMENDATIONS FOR NEW RESTAURANTS, BARS AND STORES TO ENHANCE THE CUSTOMER EXPERIENCE AT SAN ANTONIO INTERNATIONAL.

THIS IS A POST-SOLICITATION SO JUST TO REMIND YOU THAT DURING THE PRE-SOLICITATION, ONE OF THE BIG ASPECTS OF THE CONVERSATION THE COUNCIL HAD THAT WE TOOK INTO CONSIDERATION AND INCLUSION IN THE SOLICITATION WAS TO ENSURE THAT THE AIRPORT CONCESSIONS FEATURED LOCAL CONCEPTS THAT REFLECT THE FLAVOR OF OUR COMMUNITY.

SO WE'RE EXCITED TO SHARE WITH YOU A NUMBER OF RECOMMENDATIONS TODAY OF WELL-KNOWN LOCAL RESTAURANTS AND RETAIL STORES THAT ARE READY TO MAKE AN INVESTMENT IN OUR AIRPORT. THE CONCESSION PACKAGES YOU WILL HEAR ABOUT HERE IN A LITTLE BIT INCLUDE LOCAL RESTAURATEURS AND RETAILERS WHO HAVE AN EQUITY SHARE IN THE PROPOSALS. SO IN OTHER WORDS THEY HAVE A SKIN IN THE GAME AND WILL BENEFIT DIRECTLY FROM THE IMPROVED PROGRAM AND CONCESSIONS OUT AT THE AIRPORT. IT WILL ALSO DELIVER OUR GOAL TO ENSUREUR THAT THE AIRPORT IS CREATING OPPORTUNITIES FOR LOCAL BUSINESSES TO GROW, WHICH WAS A BIG PART OF THE COUNCIL CONVERSATION WHEN WE HAD THAT EARLIER IN THE YEAR. WE ALSO ARE ACHIEVING INCREASING REVENUE TO THE AIRPORT WHICH ENHANCES THE OFFERINGS -- AVAILABLE TO OUR OTHER 11 MILLION PASSENGERS THAT GO THROUGH S.A.T. WE ARE GOING TO WALK THROUGH THE PROPOSAL, BUT BEFORE -- JESUS, JESUS WILL GIVE THE PRESENTATION, BUT BEFORE JESUS, I WANTED JEFF TO OPEN US UP AND SHARE SOME OF THE RECENT GOOD NEWS AND RECENT WE'VE GOT SOME GREAT PICTURES AND REALLY EXCITED ABOUT THE POTENTIAL FOR ADDITIONAL OFFERINGS FOR OUR CUSTOMERS. JEFF?

>> COYLE: THANKS, ERIK. I'LL BE VERY QUICK, MAYOR AND COUNCIL, I JUST WANTED TO SHARE SPECIFICALLY ON THE AIR SERVICE FRONT. EVERYBODY LOVES NON-STOPS AND NEW FLIGHTS SO I WANTED TO GIVE YOU A COUPLE OF RECENT WINS.

WE ARE UP TO 45 NON-STOPS FROM SAN ANTONIO. NEXT SLIDE, PLEASE.

AND JUST IN THE COMING WEEKS WE'LL BE ADDING SEVERAL NEW FLIGHTS THAT WE'VE ALREADY ANNOUNCED, SO YOU ARE AWARE OF THESE, BUT JUST TO MAKE SURE WE'RE SIGNALING THEIR LAUNCHES. DELTA WILL BE LAUNCHING ITS SERVICE TO BOSTON NEXT WEEK.

VELARES IS GOING TO BEGIN FLYING TO MONTERREY. AND, OF COURSE, WE ARE WAITING ANXIOUSLY ANY DAY FROM I WANT TO POINT OUT FOUR DIFFERENT AIRLINES SERVING FOUR NEW ROUTES, AND THE MONTERREY/GUADALAHARA ARE EACH SERVED BY THE OTHER CARRIER.

YOU HEAR JESUS TALK OFTEN ABOUT COMPETITION. HE HAS REALLY CREATED AN ENVIRONMENT OF COMPETITION AND THIS IS ALWAYS TO THE BENEFIT OF THE CONSUMERS WHEN YOU HAVE NEW MARKETS BEING ADDED. I ALSO WANTED TO POINT OUT, WE OFTEN TALK ABOUT NEW FLIGHTS, NEW ROUTES, BUT LARGER PLANES AND INCREASED FREQUENCY IS ALSO VERY IMPORTANT AT THE AIRPORT. WHEN YOU HAVE ONE NON-STOP A DAY TO NASHVILLE VERSUS SIX, YOU OFTEN FIND BETTER PRICING, CERTAINLY BETTER TIME SCHEDULES, AND SO ALL OF THAT FREQUENCY AND -- AND ROUTES ADDS UP TO WHAT WE CALL CAPACITY, WHICH IS BASICALLY THE TOTAL NUMBER OF SEATS FLYING OUT OF

[00:05:04]

SAN ANTONIO ON A GIVEN DAY. AND I WANTED TO SHOW YOU THE TRENDS HERE IN TEXAS.

YEAR OVER YEAR, SAN ANTONIO IS UP 6.4% IN TERMS OF TOTAL SEATS FLYING OUT OF OUR AIRPORT. THAT'S SECOND ONLY TO DFW IN DALLAS.

AND OBVIOUSLY WE OFTEN COMPARE OURSELVES TO THE AIRPORT IN AUSTIN AND YOU SEE THE DIFFERENCE IN THEIR CAPACITY OVER THE PAST YEAR. THEY ARE DOWN 5.5% WHILE WE'RE UP 6.5. ON THE RIGHT ARE THE 30 MEDIUM AIR HUBS.

WE'RE NINTH IN TERMS OF YEAR OVER YEAR CAPACITY GROWTH. AND THE STARS NEXT TO THE AIRPORT NAMES THERE ARE THE ONLY AIRPORTS AMONG THAT BUNCH THAT ARE EXCEEDING 2019 PASSENGER LEVELS. SO WE'RE ONE OF I THINK 12 OF THE 30 THAT ARE -- HAVE FAR EXCEEDED WHERE WE WERE PRE-PANDEMIC. NEXT SLIDE, PLEASE.

WE NOW HAVE MORE SEATS GOING TO MEXICO THAN ANY OTHER MEDIUM HUB IN THE COUNTRY BY A LONG SHOT. AND THAT INCLUDES HOUSTON HOBBY, WHICH IS WHERE SOUTHWEST AIRLINES FLIES MOST OF ITS MEXICAN TRAFFIC FROM HOUSTON HOBBY.

WE'RE FAR ABOVE THAT. ALTHOUGH AUSTIN IS NO LONGER A MEDIUM HUB WE'VE ADDED THEM AND YOU CAN SEE HOW MUCH MORE MEXICAN TRAFFIC WE ARE SERVING.

THAT'S BEEN A KEY STRATEGY FOR THE AIRPORT TEAM. THE BIG THING WE OFTEN HERE IS FRANKLY WHEN PEOPLE COMPARE US TO AUSTIN THAT IT'S CHEAPER TO FLY OUT OF AUSTIN. THAT THE FARES THAT WE PAY MAKE IT WORTH DRIVING UP THE ROAD. WE WOULD ARGUE AND SO WILL THE DATA ARGUE THAT'S NO LONGER THE CASE N2020 THERE WAS ABOUT A $40 GAP IN THE AVERAGE FARE BETWEEN S.A.T.

AND AUSTIN. THAT GAP IS CLOSED TO TWO DOLLARS ON AVERAGE.

WE'RE PROUD OF A THAT AND IT SPEAKS TO THE RESULTS OF THE COMPETITION JESUS AND HIS TEAM ARE FOSTERING AT THE AIRPORT. NEXT SLIDE.

FINALLY I THINK YOU GUYS HAVE SHEDDER BY NOW, BUT I CAN'T MISS THE OPPORTUNITY TO BRAG ON HIM, OUR AIRPORT DIRECTOR JESUS SAENZ HAS BEEN NAMED [INAUDIBLE] OF THE YEAR. WE'RE REALLY, REALLY PROUD OF JESUS.

VERY WELL DESERVED. [APPLAUSE] SO WITH THAT, I'M GOING TO TURN IT OVER TO THE AIRPORT DIRECTOR, JESUS SAENZ. [APPLAUSE]

>> THANK YOU, MAYOR AND COUNCIL. GOOD TO BE WITH YOU HERE TODAY. I WAS A LITTLE SURPRISED AND HUMBLED AND HONORED BY IT BUT IT DOESN'T HAPPEN WITH ONE PERSON. COUNCILMEMBER PELÁEZ WILL GET MAD AT ME FOR SAYING THIS BUT IT IS ABOUT THE 400-PLUS PEOPLE THAT WORK AT THAT AIRPORT THAT MAKE IT HAPPEN. EXCITED TO PRESENT TO YOU TODAY. IT'S A LONG TIME COMING. IT'S COLLECTIVE EFFORT OF PEOPLE WORKING TOGETHER TOWARDS A COMMON CAUSE. THE GRATITUDE SHOULD GO TO EACH OF THOSE EMPLOYEES OUT THERE MAKING IT HAPPEN EVERY DAY.

TODAY WE'RE GOING TO TALK ABOUT TWO BIG THINGS. THE TERMINAL DEVELOPMENT PROGRAM AND A HIGH-PROFILE SOLICITATION. IF YOU CAN BRING THAT SLIDE UP. THANK YOU. REALLY IMPORTANT FOR WHAT WE'RE DOING AT THE AIRPORT, MAYOR HAS ALWAYS SAID THIS IS A BIG TRANSFORMATION.

WE'VE GOT DEVELOPMENT GOING ON, WE'VE GOT WORK HAPPENING IN THE PARKING GARAGES SO A LOT OF GOOD WORK AND EFFORT THAT HAPPENS WITH EVERYTHING WE'RE DOING.

HENCE WE'VE RECEIVED A LOT OF AWARDS FOR THE WORK THAT'S BEING DONE.

WE'LL TALK TO YOU ABOUT THE TERMINAL DEVELOPMENT PROGRAM UPDATE.

I'LL JUST GIVE YOU A COUPLE SLIDES OF UPDATES ON THAT. AND THEN WE'LL GET INTO A HIGH-PROFILE SOLICITATION BRIEFING ON CONCESSIONS. I KNOW IT'S SOMETHING WE'VE BEEN WANTING TO MAKE HAPPEN FOR SOME TIME SO WE WILL COVER THAT AND VERY INDEPTH AS WE GO THROUGH THE EFFORTS TODAY. THE TDP CONTINUES TO MOVE FORWARD, EXCITING NEWS ON OCTOBER 28TH, WE RECEIVED THE FULL APPROVAL.

SO NOT ONLY FROM THE ENVIRONMENTAL BUT WHAT WE CALL THE FONZI.

THE FAA ISSUES FINDING OF NO SIGNIFICANT IMPACT.

CALENDARS. WE'VE GOT A COUPLE MORE THINGS WE WANT TO TALK ABOUT THE FAA AND HOPEFULLY BY THE END OF THIS WEEK, EARLY NEXT WEEK YOU ARE GOING TO SEE A LOCK HOLD ON YOUR CALENDAR FOR THE GROUND BREAKING OF THE BRAND-NEW TERMINAL COMPLEX AS WE BEGIN TO MOVE FORWARD WITH THAT. WE'RE GOING TO START TO PUT SHOVELS IN THE GROUND. LOOKING FORWARD TO THAT IN THE MONTH OF DECEMBER.

[00:10:02]

AS RELATES TO THE GROUND LOAD FACILITY, THAT CONTINUES.

THE R.O.N. IS REMAIN OVERNIGHT. YOU SEE IN JEFF'S PRESENTATION THE INCREASE THAT WE HAVE. I CAN TELL YOU AS WE PREPARE FOR THE SUMMER AND AS WE PREPARE FOR SPRING BREAK, AS WE PREPARE FOR FINAL FOUR, THE VALERO TEXAS OPEN AND BRING THAT INTO THANKSGIVING AND CHRISTMAS THIS YEAR.

HISTORICALLY WE WERE DOING 10, 12,000 SEATS PER DAY. YOU DOUBLE THAT PASSENGERS ARRIVING AND DEPARTING, YOU ARE LOOKING AT 22,000, 24,000 PER DAY.

I'M HAPPY TO TELL YOU THAT THANKSGIVING IN A FEW WEEKS FROM NOW, WE HAVE OVER 23,000 SEATS IN THE SYSTEM. THAT'S GOING TO TAKE US CLOSE TO 40 TO 46,000 PASSENGERS IN ONE DAY AT SAN ANTONIO INTERNATIONAL AIRPORT.

WE CONTINUE TO MOVE FORWARD AND LOOKING TOWARDS THE BREAKING OF THE 11 MILLION PASSENGER BARRIER AT THE END OF THIS YEAR. SO WITH THAT BEING SAID, THE CONSTRUCTION HAS GOT TO COMMENCE, IF NOT FOR THIS, LOOKING AT THE NUMBER OF AIRPORT, WE NEED THE GROUND LOAD FACILITY AS QUICKLY AS POSSIBLE.

REMAINS ON TRACK TO OPEN IN OCTOBER OF 2025. WE BROUGHT TO YOU THE PRE-SOLICITATION, THE PARKING STRUCTURE AND GROUND TRANSPORTATION CENTER.

HAPPY TO TELL YOU WE HAD 66 FIRMS THERE THAT DAY SO A LOT OF EXCITEMENT.

THAT IS A SBEDA PROJECT SO WE'RE EXCITING ON MAKING THOSE MERGERS HAPPEN BETWEEN THE PRIMES AND THE SUBS TO WORK TOGETHER AND CREATE ADDITIONAL ECONOMIC IMPACT AND JOBS. THE SOLICITATION DOCUMENTATION WILL BE RELEASING ON TOMORROW. THAT COVERS OUR TDP BRIEFING.

NOW I WANT TO GO OVER THE POST-SOLICITATION BRIEFING ON THE CONCESSIONS PACKAGE.

THERE'S A TOTAL OF THREE PACKAGES THAT WERE ISSUED. TWO OF THOSE WERE FOOD AND BEVERAGE AND ONE WAS RETAIL. SO YOU SEE PACKAGE 1 AND 2 AND THEN PACKAGE 3.

THOSE LOCATIONS ARE VARIOUS THROUGHOUT TERMINALS A AND B AND I WILL SHOW YOU IN VERY HIGH-LEVEL OVERVIEW WITH SOME RENDERINGS OF WHAT THOSE PROPOSALS AND WHAT THOSE RECOMMENDATIONS ARE SO YOU CAN SEE THAT AS WE BRING THAT FORWARD FOR YOUR APPROVAL TO COUNCIL. IT WILL BE BOTH PRE AND POST SECURITY.

TODAY WE HAVE SOME OFFERINGS BUT WE WANT TO TRANSFORM SOME OF THOSE OFFERINGS ON THE PRE-SIDE AND ON THE POST-SIDE. THIS DOES NOT INCLUDE THE CONCEPTS AWARDED IN 2009 SUCH AS SMOKE SHACK, WHATABURGER OR STARBUCKS IN TERMINAL B. WHY ARE WE DOING THIS? OBVIOUSLY AS WE WENT THROUGH THE PROCESS OF SOLICITATION, WE WANTED TO FOCUS ON KEY BULLETS.

AND WE REALLY WANT TO SHOWCASE SAN ANTONIO AND THE WEALTH OF THE FOOD SCENE THAT WE HAVE IN THE CITY OF SAN ANTONIO. YOU ALL WERE ADAMANT, REQUESTED 25, NO, WE WANT 40%. YOU'LL BE EXCITED TO HEAR THE NEW PERCENTAGE WITH THE DIFFERENT FOOD AND BEVERAGE AND PERCENTAGE OF LOCAL PARTICIPATION THAT WE WILL RECEIVE. WE WANTED TO PROVE THAT WE CAN ACHIEVE AN EXCEPTIONAL EXPERIENCE FOR OUR VISITORS BECAUSE AS YOU ARRIVE AND DEPART OUT OF OUR AIRPORT, IT'S THE FIRST AND LAST THING YOU SEE FOR OUR CITY.

WE WANT TO OPTIMIZE AS IT IS WE'RE AN ENTERPRISE FUND, WE'RE SELF-SUFFICIENT, WE WANT TO MAKE CERTAIN WE CONTINUE TO INCREASE OUR NON-AERONAUTICAL REVENUES AS WELL. OF COURSE WE WANT TO MEET OR EXCEED OUR AIRPORT CONCESSION DISADVANTAGED BUSINESS ENTERPRISE GOALS, ACDBE GOALS.

THE SCORING COMMITTEE AND EVALUATION COMMITTEE, I DON'T KNOW IF EVERYBODY IS HERE TODAY, BUT WE HAD TWO ASSISTANT CITY MANAGERS, JEFF COIL AND LORI HOUSTON WERE INVOLVED IN IT. RETIRED GENERAL ANGIE SELENA, CEO OF THE GIRL SCOUTS OF AMERICA, NOW THE CHAIR OF THE AIRPORT DEVELOPMENT COMMITTEE.

THANK YOU FOR APPOINTING HER TO THAT NEW ROLE. MARSHA HANDLER, WHO IS ONE OF THE -- IF NOT THE ONLY OWNER OF OIL HERE IN THE STATE OF TEXAS AND MAYBE EVERYWHERE, BUT SHE IS A MOVER AND SHAKER AND EXCITED TO HAVE HERE.

SHE'S PART OF THE AIRPORT ADVISORY COMMISSION LED BY MARK FESSLER AND WE'VE GOT SOME AIRPORT ADVISERS. WE CONTINUE TO INVITE THEM TO BE PARTICIPATORY IN THE

[00:15:07]

DECISIONS. THE LAST PERSON WAS KAREN ELLIS.

I DON'T KNOW IF YOU KNOW THIS, BUT KAREN HAS MOVED ON.

SO PROUD OF HER. SHE IS NOW AN ASSISTANT GENERAL MANAGER AT ATLANTA HEARTS FIELD, THE LARGEST AIRPORT IN THE WORLD SO SHE HAS MOVED ON TO A LARGER ROLE AND GLAD FOR HER PROMOTION. WE'RE GOING TO MISS HER, BUT SHE'S STILL A SPURS FAN. ALASKA I MESSED WITH HER LAST NIGHT ABOUT IT.

WE STARTED THIS IN OCTOBER 11, WE DID THE PRE-SOLICITATION LATE LAST YEAR. 27TH WE RELEASED, ON 8TH WE RECEIVED THREE FIRMS. 3RD OF MAY WE SCORED THOSE PROPOSALS. DECIDED ON TWO SPECIFIC FIRMS. THE INTERVIEWS WERE PERFORMED FOR BOTH AND THE EVALUATION COMMITTEE RECOMMENDED FOR PACKAGE 2 WITH A RECOMMENDATION TO REBID FOR PACKAGE 1 AND I'LL TALK ABOUT THAT A LITTLE MORE IN A MINUTE.

AND THEN TODAY WE COME TO YOU ON A POST-SOLICITATION BRIEFING WITH THE TARGET COUNCIL DATE OF NOVEMBER 21 TO BRING THIS TO COUNCIL FOR CLOSING.

A LOT OF INFORMATION WHEN YOU LOOK AT THE INITIAL SCORING MATRIX.

WE SAW SOME OF THE AND SSPS PROPOSALS WERE STRONG, THE EVALUATION TEAMS THOUGHT BOTH OFFERED A NICE BLEND OF LOCAL AND NATIONAL BRANDS.

THE EVALUATION COMMITTEE LIKED THE CONCEPTS. WITH THE OTHER SELECTED VENDOR, AIR STAR, BUT IT DIDN'T HAVE AS MUCH INFORMATION OR VALUE AS HOST AND SSP. FOR THAT REASON MANY OF THE MEMBERS OF THE COMMITTEE FELT IT WAS IMPORTANT THAT WE PERFORM THE INTERVIEWS ON THE TWO STRONGEST ONES AND MOVE FORWARD WITH HOST AND SSP. AFTER WE WENT THROUGH THE INTERVIEW PROCESS, WE HAVE A LOT OF NOTES ON THIS INFORMATION SO I'LL TRY AND GIVE YOU JUST THE HIVE LEVELS. -- HIGH LEVELS.

WE INDICATED HOW WELL BOTH FIRMS DID WITH THE PROPOSALS.

THE EVALUATION COMMITTEE FOUND A STRONG WINNER DURING THE INTERVIEW PORTION OF THE SELECTION PROCESS AND YOU CAN SEE BY THE SEPARATION AND THE SCORING WHEN WE DID THE INTERVIEW PROCESS, ONE FINALIZING JUST AT 95.33 AND SSP FINALIZING AT 53.80.

THE REPRESENTATION OF THE LOCAL SHE WAS WAS PHENOMENAL BY HOST AND A DIRECT REFLECTION WHAT WE WERE LOOKING FOR WHEN WE CAME AND BROUGHT THE PRE-SOLICITATION TO YOU ALL TO TALK ABOUT WHAT DO WE WANT THAT TO REPRESENT.

I'M REALLY THE BENEFACTOR TODAY OF BEING ABLE TO TELL YOU WHO THESE INDIVIDUALS ARE, WHAT THEY ARE ABOUT, WHAT THEY'VE ACCOMPLISHED AND WHO THEY ARE.

I'D LIKE FOR THEM TO STAND UP AS WE GO THROUGH THE PROCESS, AS WE GO THROUGH THIS SELECTION EFFORT AND TELL YOU WHY WE'VE GONE THROUGH THE HOST PROCESS.

BUT BEFORE WE DO THAT, ON PACKAGE 1, AS WE MENTIONED, OUR RECOMMENDATION IS TO REBID ON THAT PACKAGE. AND THE REASONING FOR THAT REBID IS FROM OUR PERSPECTIVE FOR A NUMBER OF REASONS WHICH INCLUDE TERMINAL B, THE SMALL BUSINESS CENTER ACROSS THE TICKET COUNTERS IN TERMINAL A AND LA GLORIA IN TERMINAL

A -- I'M SORRY, YES, IN THE LA. >> REPORTER: I CAN'T TERMINAL. YOU SEE THE REBID PACKAGE FOR A TOTAL OF CLOSE TO 13,000 SQUARE FEET. BECAUSE WE HAVE ALREADY BEEN THROUGH THE PROCESS, WE BELIEVE WE CAN REBID AND EVALUATE THE BOTH PACKAGES TO HOST, HOWEVER, IF NOT FOR THE FACT WE SEVERAL IMPOSED A REQUIREMENT NO ONE FIRM COULD GET BOAST PACKAGES. THE PURPOSE OF THIS -- BOTH PACKAGES. THE PURPOSE WAS TO CAN ACCOMPLISH THAT GOAL. THIS IS A UNIQUE SITUATION AND IT IS OUR RECOMMENDATION THAT WE REBID THE PACKAGE AS SOON AS POSSIBLE AND ALLOW EVERYONE TO PARTICIPATE.

WE GIVE YOU THAT RECOMMENDATION AS WE WENT THROUGH THE SELECTION PROCESS BECAUSE OF THE SEPARATION THAT WAS THERE, WE DIDN'T FEEL WE SHOULD AWARD THE SECOND PACKAGE, PACKAGE 3, TO THE RESPONDENT THAT HAD THE LOWER SCORE.

WE JUST FELT WE NEEDED TO MOVE FORWARD AND REBID. THAT'S OUR RECOMMENDATION.

WE CAN DISCUSS THAT UPON COMPLETION. I'LL SHOW YOU NOW THE DECISIONS THAT WE HAVE MADE WITH REGARDS TO WHERE EVERYONE WILL GO IN THE

[00:20:02]

PACKAGE 2 PROCESS. SO THERE'S A TOTAL OF SEVEN IN HERE, AND THIS PACKAGE IS FOR CLOSE TO 12,000 SQUARE FEET. HEAVY FOCUS IN TERMINAL A.

HOST WAS REPRESENTED LOCALLY BY FIVE CHEFS AND/OR OWNERS AND THEY ARE ALL WILLING AND EAGER TO GET INTO THE S.A.T. CONCESSIONS PROGRAM. A WELL-BALANCED MIX OF CATEGORIES, CHICKEN, TEX-MEX, MEXICAN, HEALTHY COMFORT, AND WHO DOESN'T LOVE PIZZA. MULTIPLE OPTIONS FOR OUR PASSENGERS, QUICK SERVE HAVINGS SIT-DOWN RESTAURANTS AND BARS. WE'VE EVEN GOT AN ASIAN CONCEPT THAT EVERYONE LOVES AND LOCAL CONCEPTS. YOU ASKED FOR 40 AND WE HAVE A REPRESENTATION OF 70%. I'D LIKE TO TAKE A LITTLE TIME TO TELL YOU WHO THESE INDIVIDUALS ARE. I'LL START WITH THIS IS A HOST TRUE FLAVORS CONCEPT.

ANTHONY WITH HOST IS HERE. THANK YOU FOR BEING HERE. BUT IT'S LED BY OUR VERY OWN CHEF JOHNNY. AND IT'S CREATED ESPECIALLY FOR THE AIRPORT.

YOU COULD FEEL THE SENSE WHEN WE WENT THROUGH THE INTERVIEW PROCESS, HE PUT A LOT OF HARD WORK, AND IF YOU KNOW CHEF JOHNNY, I'VE SEEN HIM AT TIMES AT 4:30 AT THE AIRPORT MAKING HIS FOOD. THAT'S A REPRESENTATION OF WHAT HIS TEAM IS ABOUT AND HOW HARD HE WORKS FOR THE CITY. HIS CONCEPTS WOULD BE IN THE NEW GROUND LOAD FACILITY THAT YOU SEE IN TERMINAL A. IT'S A CONCEPT THAT WILL OFFER DOMESTIC AND INTERNATIONAL TRAVELERS A TASTE OF TRUE MEXICAN CUISINE. GUESTS CAN DINE IN AND ENJOY HIS AWARD WINNING MARGARITAS OR GRAB A COUPLE TACOS TO GO. HE WILL ALSO HAVE THE HORSESHOE TEQUILA BAR AND SATELLITE BAR. HIGHLIGHTING TEQUILA WILL BE A GREAT STOP FOR THOSE AT THE END OF THE TERMINAL THAT WANT A QUICK DRINK BEFORE BOARD THEIR FLIGHT. THE CONCEPT WILL INCLUDE SNACKS, SANDWICHES AND SALADS AVAILABLE AT THE BAR FOR TAKE ON THE GO. A LITTLE ABOUT WHO THIS GENTLEMAN IS, HE FOUNDED IN 1994 TRUE FLAVORS, A FAMILY-RUN COMPANY DEDICATED TO CULINARY DEDICATION. OUTSTANDING CUSTOMER SERVICE IN PROMOTING THE CELEBRATION OF FOOD, CULTURE AND HERITAGE. HIS RESTAURANTS HAVE BEEN BELOVED DESTINATIONS SINCE 2012 AND CREATING EXCITING SAN ANTONIO-BASED RESTAURANTS INCLUDING LA GLORIA, CASA CANTINA. HIS RESTAURANTS ARE KNOWN FOR EXCITING MEXICAN INSPIRED FOOD AND BEVERAGES SELECTIONS AND PERFECTLY HIGHLIGHT QUALITY, HIGH VOLUME DINING IN ITS VENUES. AT S.A.T., AT THE FROST BANK CENTER, AND ARENA WITH CAPACITY FOR 19,000 GUESTS. THIS JOINT VENTURE PARTNERSHIP WITH HOST GIVES HIM -- GIVES HOST 65% TRUE FLARES WITH AN A CDB PARTICIPATION OF 35%. WHERE OUR GOAL WAS 26%. NEXT I DON'T KNOW IF CHEF NICOLE IS HERE YET. THERE YOU ARE. YES, PLEASE.

CHEF NICOLE LA, SHE HAS SPACES IN FREIGHT CHICKEN AND PANDA STRESS IN TERMINAL A. EVEN A HONK FROM THE FIRE DEPARTMENT.

WHICH WAS CREATED TO PAY HOMAGE TO BLACK WOMAN WHO WOULD SELL THEIR FAMOUS FRIED CHICKEN TO TRAIN PASSENGERS TRAVELING THROUGH DURING THE CIVIL CAR.

IN ADDITION TO USING A DRY BATTER, THE ESTABLISHMENT WILL HAVE FRIED CHICKEN TENDERS, MAC AND CHEESE AND SEASONED FRIES. SHE WILL ALSO HAVE REPRESENTATION IN PANDA EXPRESS FROM SAN ANTONIO TO SEOUL.

EXCITING TO SEE THE CONCEPT FOR ITS STEADFAST QUALITY AND FOOD.

EXCITED ABOUT THE PANDA EXPRESS IN TERMINAL A. A LITTLE ABOUT HER, SHE'S A JAMES BEARD NOMINATED FOR BEST CHEF TEXAS IN 2023. CHEF NICOLE LA BLACK TRAINED AT THE CULINARY INSTITUTE OF AMERICA AT THE SAN ANTONIO CAMPUS AFTER SERVING TEN YEARS IN THE U.S. ARMY. ORIGINALLY FROM JAMAICA AND INSPIRED BY THE PEOPLE AND FOOD THERE, CHEF BLACK HAS BROADENED SAN ANTONIO'S DINING HORIZONS WITH BOLD

[00:25:01]

FLAVORS AND CARIBBEAN CULINARY TRADITIONS. WITH HER RESTAURANTS THE JERK SHACK AND FREIGHT FRIED CHICK. NICOLA MASSEY WILL HAVE 65% OWNERSHIP BY HMS HOST AND 20% BY TRUE FLAVORS AND 10% INESS WORLD. THANK YOU, NICOLA. AND HER HUSBAND, THANK YOU FOR BEING HERE. ADDITIONALLY, CHEF JEFF AND ALLISON, CO-OWNERS OF SOUTHERLY HOSPITALITY GROUP. YOU KNOW THAT FROM THE PEARL.

THANK YOU SO MUCH FOR BEING HERE TODAY. SOUTHERLY FINE FOODS IS A FULL-SERVICE RESTAURANT AND BAR. THEY WILL BE IN TERMINAL B AS YOU SEE ON THAT HIGH NORTHWEST CORNER. SOUTHERLY WILL NOW GO INTO THAT AREA. SOUTHERLY FIND FOODS IS ON EVERY BEST LIST IN SAN ANTONIO AND FOR GOOD REASON. THE RESTAURANT IS SERVING UP SOUTHERN FAVORITES IN AN ELEVATED YET COMFORTABLE OPTIONS WITH PIMIENTO CHEESE, CHICKEN QUESO AND CHICKEN TENDERS. TRAVELERS WILL BOAST ABOUT THEIR AUTHENTIC SOUTHERLY EXPERIENCE, A STRONG BAR PROGRAM WITH THEIR FAMOUS BEERS ROUNDS OUT THE OFFERINGS MAKING IT A PERFECT PLACE TO STOP AND RELAX BEFORE THE FLIGHT. A LITTLE ABOUT THE CHEF AND HIS WIFE, THEY CO-FOUNDED SOUTHERLY FINE FOODS AND BREWERY IN SAN ANTONIO. THE SOUTHERLY CONCEPTS IS A MODERN TAKE ON TEXAS. CROSS-CULTURE, CUISINE INFLUENCED BY CLASS CAM HONORS BEING CHOSEN TO SHOWCASE HAS TALENTS AT THE JAMES BEARD HOUSE IN NEW YORK. WITH TWO DECADES OF EXPERIENCE, ALLISON LEADS THE BACK OF THE HOUSE OPERATIONS AND ADMINISTRATIVE PROCEDURES FOR THE GROWING RESTAURANT. SOUTHERLY BREWING COMPANY WILL HAVE 65% OWNER HIP BY HMS HOST, 25% BY TRUE FLAVORS, AND 10% OWNERSHIP BY THE AMB OPERATIONS.

YOU THINK THAT WOULD BE IT. CHEF JASON AND CHRIS TALL -- YES, THANK YOU FOR BEING HERE TODAY. IN THE SPACE OF THE TREY PETE'S REREI CAN'T ALSO IN TERMINAL A, THEY FEATURE THE TUSCAN PIZZA FROM BREAKFAST WRAPS TO A SLEW OF FLAT BREAD PIZZAS, ADVENTUREOUS FLAVORS, SALADS AND SANDWICHES.

IT WAS FOUND UNDERSTAND 2001 AND PROVEN -- TRUE BROTHERS BARBECUE MARKET, CHEF DADY GOES BEYOND THE ROLE OF RESTAURANT OWNER AND EXECUTIVE CHEF BY APPLYING FAMILIAL VALUES TO CREATE TIGHT-KNIT BONDS WITH TEAM AND RESIDENTS OF SAN ANTONIO AMONG HIS MANY ACCOLADES BEING NAMED BEST CHEF IN SAN ANTONIO AND 40 UNDER 40 RISING STAR IN THE SAN ANTONIO BUSINESS JOURNAL.

KRYSTAL, 65% OWNERSHIP BY HMS HOLY GHOST, OWNERSHIP BY CHEF JOHNNY HERNANDEZ OF TRUE FLAVORS, 10% BY THE DADY PREMIER CATERING. I PROMISE I'M GETTING CLOSE TO THE END. CERTAINLY NOT LAST AND NOT LEAST, CHEF ELIZABETH JOHNSON, THANK YOU FOR BEING HERE. PHARM TABLE AND APOTHECARY KITCHEN LOCATED IN SOUTH TOWN SAN ANTONIO WILL FEATURE BAKERY LORRAINE AND WHAT'S BREWING WITH LOCALLY SOURCED AND GLOBALLY INSPIRED FOOD, CHEF ELIZABETH'S JOHNSON'S INTENT ON GIVING HEALTHY OPTIONS ON THE GO.

THE SAN ANTONIO INTERNATIONAL AIRPORT LOCATION WILL ALSO OFFER DELICIOUS PASTRIES. TRAVELERS CAN GRAB COFFEE FROM WHAT'S BREWING.

ELIZABETH JOHNSON'S RICH BACKGROUND REFLECTS COMPLIMENTARY PHILOSOPHIES AS HER RESTAURANT AT THE JAMES BEARD FOUNDATION REFERRED TO JOHNSON AS A

[00:30:01]

FOOD AS A MEDICINE GUN. JOHNSON'S EXTENSIVE STUDIES AND TRAVELS HAVE CULMINATED IN A DREAM TO BRING HEALTHY AND GLOBAL FOOD PRACTICES TO THE GUESTS OF HER TABLE.

SHE WAS A LATIN CUISINE SPECIALIST AT THE CULINARY INSTITUTE OF AMERICA IN SAN ANTONIO FROM 2008 TO 2014 AND HAS BEEN FEATURED IN MANY MEDIA SPOTS INCLUDING "THE WALL STREET JOURNAL" AS A MAY HAVE BEEN SAN ANTONIAN, SHE HAS COME TO APPRECIATE ATE AND HONOR THE REGION'S HERITAGE FOODS AND LEARNED TO COMBINE HER UNIQUE KNOWLEDGE WITH THE TASTE OF HER HOME. NOW THAT I'VE MADE YOU HUNGRY, I'LL SHOW YOU ALL THE DIFFERENT CONCEPTS THEY HAVE INCLUDED AND THEN SHOW YOU THE RENDERINGS OF WHERE THEY WILL GO IN EACH OF THE AREAS THEY HAVE PROVIDED TO US.

ON THE LEFT YOU SEE CHEF JOHNNY MERCADO'S WHICH YOU SAW EARLIER.

FREIGHT CHICKEN FROM CHEF NICOLA AND WHAT SHE WOULD DO WITH REGARDS TO THE WONDERFUL TASTE SHE PUTS ON CHICKEN. THERE YOU SEE PHARM TABLE.

CHEF ELIZABETH AND WHAT SHE CAN DO WITH GRAB AND GO OFFERINGS OFFERED IN TERMINAL A. AND A BRAND NEW PIZZA OFFERING.

I DON'T KNOW THAT YOU DOES TO PUT IN THAT PIZZA, BUT MAN IT IS GOOD WHEN IT COMES OUT. ALONG WITH OTHER GRAB AND GO OPTIONS WITH A FOCUS ON THE BREAKFAST MENUS AS WELL. ON THE LEFT YOU'VE GOT CHEF JOHNNY AND WHAT HE'S GOING TO DO FOR THE HORSESHOE TEQUILA BARS AND HIS OWN CONCEPT HE WANTS TO DO IN THAT MARKET AREA DOWN BY THE GROUND LOAD FACILITY. TERMINAL B, REPLACING WHAT'S THERE TODAY, SOUTHERLY, WHICH IS A VERY RENOWNED RESTAURANT HERE AT THE PEARL, WILL GO INTO TERMINAL B AND REPLACE NOT ONLY THE BAR AREA BUT A SIT-DOWN THAT'S GOING TO GIVE A REFLECTION WHAT THE TRUE FEELING OF GASTRONOMY IN THE CITY OF SAN ANTONIO. THIS IS WHAT YOU WILL SEE. AS YOU MENTIONED TO YOU, WE'LL BE COORDINATING EFFORTS WITH YOUR APPROVAL TO CONNECT NOT ONLY WHAT HAPPENS WITH THE GROUND LOAD FACILITY AND THE BRAND-NEW OPENING OF THAT INSIDE OUR TERMINAL A CONCEPT. THIS IS CHEF JOHNNY'S RENDITION OF WHAT IT WILL LOOK LIKE. EXCITED TO SEE WHAT THAT'S GOING TO TURN INTO.

AS WE MENTIONED IN TERMINAL B, SOUTHERLY WILL HAVE THE FINAL FOOD AND BREWERY, IS A QUICK 24/7 GRAB AND GO. SOMETIMES TRAVELERS WERE TO GET SOMETHING QUICK, SIT DOWN AND CHAT. WE'LL HAVE BOTH OPTIONS AS WE MOVE FORWARD.

EXCITING IN TERMINAL A, THE HORSESHOE TEQUILA BAR. ANOTHER CHEF JOHNNY RENDITION OF WHAT HE'S GOT WITH LA GLORIA AND ALL THE OTHER MANY THINGS HE'S DONE AT THE AIRPORTS. A NEW EXTERIOR RENDERING OF A BAR WITH GRAB AND GO AS WELL AT THE FAR END OF TERMINAL A IN CASE SOMEONE DECIDES I DIDN'T GET ANYTHING AND I WANT TO GET SOMETHING BEFORE I LEAVE. WE'RE NOT JUST PUTTING CONCESSIONS IN A CENTRAL FOOD COURT AREA, WE'RE MAKING IT AVAILABLE FOR OTHERS TO EXPAND AND CREATE DIFFERENT OFFICES. PHARM TABLE, AN INCREDIBLE HEALTHY OPTION WE ALWAYS TALK ABOUT AT THE AIRPORT AS AN EMPLOYEE, ERIK ALWAYS ASKS WHAT'S YOUR WORK SCHEDULE. I WORK FIVE AND REMOTE TWO.

SO THE ONLY DAYS I'M NOT THERE IS MOST OF THE TIME SATURDAY AND SUNDAY, BUT WE EAT AT THE AIRPORT A LOT AND WE'RE SOMETIMES LOOKING FOR A HEALTHY OPTION.

PHARM TABLE BRINGS THAT WITH THE CONSENTS THEY BRING TO US.

-- CONCEPTS THEY BRING TO US. VISITORS AND PASSENGERS ARE ASKING FOR THAT HEALTHY OPTION. SO LOOKING FORWARD TO THAT.

FREIGHT CHICKEN, IF YOU HAVEN'T BEEN TO THE PEARL AND TASTED THE FREIGHT CHICKEN, IT'S AMAZING. LOOKING FORWARD TO BRINGING THAT CHICKEN OPTION INSIDE TERMINAL A TO OFFER TO ALL OF OUR PASSENGERS THERE. AND THEN THE LAST ONE IS PANDA EXPRESS, ALSO OWNED AND OPERATED THROUGH HOST WITH CHEF NICOLA IS GOING TO BE PANDA EXPRESS. I'VE GOT SOME YOUNG DAUGHTERS AND THERE ISN'T A DAY GOES BY, WHAT ARE WE GOING TO EAT, PANDA EXPRESS. IT'S SOMETHING PEOPLE LOVE TO GRAB AND GO, YOU CAN GO IN AND GRAB SOMETHING QUICK AND GO.

AND IT IS A MONEY-MAKING MACHINE IN EVERYTHING THAT HAPPENS IN AIRPORTS AS YOU WILL HEAR FROM THEM. IST FINAL CONCEPT, TREY PIZZARIA.

[00:35:04]

A LOT OF COLORS AND DESIGNS IN LINE WITH THE CITY OF SAN ANTONIO BRINGING THAT COLOR TEXTURE BUT NOT ONLY THAT BRINGING A NEW OFFERING FOR TRUE PIZZA THAT WILL BE OFFERED ALONG WITH OTHER GAB AND GO OPTIONS. THERE'S A LOT OF INFORMATION THAT I DIDN'T GIVE YOU THAT I COULD SHARE WITH YOU, BUT A LOT OF ONLINE ORDERING.

A LOT OF WORK THAT WE CAN DO, AS YOU SEE SOME OF THOSE SCREENS WITH TREY PIZZARIA SO YOU CAN PUT IN YOUR INFORMATION AND YOU ARE NOT WAITING LONG PERIODS, WE WANT TO MOVE AS EFFICIENTLY AS POSSIBLE. A LOT OF THAT PRESENTED TO US WHEN MAKING THE SELECTION FOR THE FINAL DECISIONS THAT WE MADE.

IT'S ACBD JOINT PARTNERSHIP WITH 35%, HMS HOST I'VE TALKED TO YOU EXTENSIVELY ABOUT EACH OF THESE INDIVIDUALS.

WHAT A BEAUTIFUL CROSS-REPRESENTATION OF THE CITY OF SAN ANTONIO.

WE'RE EXCITED FOR SELECTING THEM. 70% IS THE LOCAL CONCEPTS EXPERIENCE TEAM. THE COHESIVE PACKS OF THE EATERIES HIGHLIGHT SA'S FOOD SCENE. ON THE FINANCE 2 MILLION AND CHANGE.

THE REVENUES OVERLAPS LAPSE. THE HOST GOAL WAS 35%. THAT GIVES THOSE TWO PACKAGES FOR THE FOOD. I'LL COVER THE RETAIL. TRY NOT TO BE AS EXTENSIVE.

THIS IS A SCHEDULE OF WHAT WE HAD IN THE RETAIL PACKAGES.

WE DID THIS VERY SIMILAR IN OCTOBER 11TH WE PUT OUT THE PRE-SOLICITATION.

OCTOBER 27TH WE DID THE RELEASE OF THE SOLICITATION DOCUMENTS.

ON MARCH 8TH WE RECEIVED THREE PROPOSALS. IN JUNE THE EVALUATION COMMITTEE MET AND SCORED THE THREE RESPONDENTS. THE RECOMMENDATION MADE NEGOTIATIONS AND THEN WE INITIATED THOSE NEGOTIATIONS WITH A POST-SOLICITATION BRIEFING TODAY WITH YOU ALL. FOR A COUNCIL DATE OF NOVEMBER 21ST AS WELL.

THE INITIAL SCORING MATRIX ON THAT, AS YOU CAN SEE, THREE RESPONDENTS, VERY CLOSE AS WELL ON THE INFORMATION THAT WE RECEIVED.

EVERYTHING THAT WAS BROUGHT TO US WAS GOOD, BUT WE REALLY FELT LIKE PARODIES AND HUDSONS SEPARATED THEMSELVES BUT WE FELT IT IMPORTANT TO BRING EVERYONE IN. EVERYONE WENT FORWARD FOR THE INTERVIEW PROCESS.

WE MADE THE DECISION FOR PARADIES LAGARDERE AND THEY HAD A SCORE OF 89.0.

I'M GOING TO GIVE YOU THE REASONINGS WITH REGARDS TO EACH OF THOSE ESTABLISHMENTS. IN THAT FINAL RETAIL PACKAGE.

A TOTAL OF 8,217 SQUARE FEET. A TOTAL OF SEVEN PACKAGES.

THIS DOESN'T HAPPEN WITH A GOOD PARTNERSHIP. GREG PARADIES IS HERE.

THANK FOR BEING HERE. BEEN IN A LONG PARTNERSHIP WITH HIM.

IF YOU WANT TO HEAR FROM ANY OF THEM, THEY'VE BEEN VERY INVOLVED.

AFTER THIS I'LL LET THEM TALK A LITTLE ABOUT THEIR PARTICIPATION.

BUT THE BULL BITES CONCEPT AND THE PARTNERSHIP BETWEEN WHAT HAPPENS WITH CARINO CORE 'TIS AND PARADIES HAS BEEN OVERWHELMING. IF YOU HAVEN'T LOOKED AT THAT MARKET AND SOME OF THE NEW CONCEPTS THEY HAVE STARTED WITH REGARDS TO A SELF-SERVICE KIOSK AND ABILITY FOR PASSENGERS TO MOVE QUICKLY, IT'S TRANSFORMED THE WAY PEOPLE GRAB A BOTTLE OF WATER AND CHIPS.

THEY PARTNERED WITH PARADIES ENSURING LOCAL SAN ANTONIO BRANDS, WHATABURGER, THE SPURS STORE. I KNOW BOSS BAGELS, MAYOR, IS YOUR FAVORITE PLACE TO GO. AND ARE MORE CELEBRATED. PASSION FOR FOOD, BEVERAGE AND RETAIL BROUGHT HER BACK TO HER ROOTS IN SAN ANTONIO, COMMITTED TO ENHANCING HER HOMETOWN RICH CULINARY TAPESTRY. BULL BITES TO LEARN AND UNDERSTAND THE TRAVELER. MS. CORTEZ'S DEEP KNOWLEDGE OF SAN ANTONIO UNIQUELY POSITIONS HER TO ARRIVE AS A KEY PLAYER IN THE PROPOSED PACKAGE AND ACBDE

[00:40:01]

PARTICIPATION OF 26%. THANK YOU SO MUCH FOR BEING HERE.

I KNOW SHE IS HERE AS WELL. IF YOU COULD PLEASE STAND. THANK YOU SO SHE FOR BEING HERE. SO YOU WILL SEE SOME OF THOSE CONCEPTS IN EACH OF THESE EFFORTS. ANOTHER ONE IS UNIVISION. IT IS AN INTERNATIONALLY RECOGNIZED SPANISH LANGUAGE SAN ANTONIO, TEXAS. ORIGINALLY NAMED SPANISH INTERNATIONAL NETWORK SCENE, IT AIMED TO PROVIDE SPANISH LANGUAGE PROGRAM TO GO HISPANIC AUDIENCE AUDIO]. GLAD TO BRING THAT CONCEPT BACK TO SAN ANTONIO.

THE 210 EXCHANGE AND A ODE TO THE -- A FRESH TRAVEL RETAIL COMPONENT DESIGNED FOR FLEXIBILITY AND FLARE. IT OPTIMIZES SPACE AND MAXIMIZES TRANSACTIONS AND REVENUE. 210 EXCHANGE FEATURES GRAPHICS AND MURAL TREATMENTS EXPRESSING THE HISTORIC NEIGHBORHOOD NAMED AFTER WILLIAM, THE FIRST KING OF RUSSIA. MILITARYMILITARY CITY USA IS A SPECIALTY RETAIL STORE WHICH HONORS THOSE WHO SERVE TO PROTECT AMERICA'S WAY OF LIFE.

SAN ANTONIO IS HOME TO JOINT BASE SAN ANTONIO WHICH HAS FOUR PRIMARY LOCATIONS, FORT SAM HOUSTON, LACKLAND AND RANDOLPH AIR FORCE BASE. ALSO HOME TO THE DEPARTMENT OF DEFENSE'S LARGEST MEDICAL CENTER AT FORT FORT SAM HOUSTON AND THE HISTORIC QUADRANGLE AND MUSEUM. AND USAA'S HEADQUARTERS FOR MILITARY AND FAMILY MEMBERS.

MILITARY CITY USA IS A TRAVEL ESSENTIAL OUTPOST THAT COMMEMORATES THE MILITARY'S ESTEEMED PRESENCE IN SAN ANTONIO. PARADIES IS MAKING A SIGNIFICANT IMPACT WITH THE TREAT OUR TROOPS PROGRAM ENABLING GUESTS TO SUPPORT MEN AND WOMEN WITH ESSENTIALS AND SMALL LUXURIES.

THE PASSENGERS CAN PURCHASE ITEMS WITHIN THE STORE AND PARADIES ARE DISEASE WILL DONATE TO THE LOCAL USO GROUP AT OUR AIRPORT. CORE AND REASONABLE APPAREL FOR ADULT AND YOUTH, ADULT AND YOUTH CORE TS AND ADULT AND YOUTH HOODIES.

ALONG WITH MANY OTHER DIFFERENT FASHIONS WILL BE AVAILABLE ALONG WITH TOTES.

EXCITED ABOUT MILITARY CITY USA AND TRANSFORMING WHAT THAT WILL LOOK LIKE THERE IN TERMINAL B. FELIZ MODERN PRICES CONNECTIONS WITH FRIENDS, FAMILY AND COMMUNITY THROUGH ART, HUMOR, ENTERTAINMENT AND LIFE'S MILESTONES.

EMPHASIZES THE IMPORTANCE OF SUPPORTING LOCAL BUSINESSES AND ARTISTS.

IT BRIDGES THE STRESS DIVIDE WITH TRAVELERS SO THEY CAN BOND WITH THOSE PEOPLE WHO ARE MOST IMPORTANT IN THEIR LIVES AND CELEBRATE NEW ALLIANCES.

FOUNDED BY MARIO AND GINGER DIAZ, WHO I BELIEVE ARE HERE AS WELL.

THANK YOU FOR BEING HERE. THEY BRING A LONGS HISTORY OF HEART AND -- LONG HISTORY OF ART AND DESIGN. BRINGS DAZZLE TO THE EYE, PAPER GOODS, GREETING CARDS AND OTHER ELEMENTS THAT FOSTER CONNECTION. THEY ALSO FEATURE LOCAL ARTISTS LIKE ANALI DIEGO, KELLY O'CONNOR AND MORE. THE CONFLUENCE MARKET CELEBRATES THE NATURAL DIVERSITY AND INTERACTIVE EDUCATIONAL OPPORTUNITIES OFFERED AT CONFLUENCE PARK. A PROJECT OF THE SAN ANTONIO RIVER FOUNDATION ESTABLISHED IN 2018, CONFLUENCE PARK IS A NATIONALLY RECOGNIZED DESTINATION THAT BRINGS VISITORS, ART AND CULTURE, NATIVE ECOLOGY AND RECREATIONAL OPPORTUNITIES ALONG THE BANKS OF THE SAN ANTONIO RIVER. LOCAL ARTISANS AND PRODUCTS INCLUDE HOLA EXPRESS COFFEE, ALAMO CITY POPCORN, WILLIAM KRIS VENUES AND WISER FROM FREDERICKSBURG. THE LAST ONE IS PRICKLY PEAR PROVISIONS.

THEY CELEBRATE THAT FLOWERRY CACTUS PLANT YIELDING HONEY AND FLAVORFUL FRUIT.

[00:45:03]

A VIBRANT TRAVEL DESTINATION CONCEIVED FOR CONVENIENCE, FLEXIBILITY.

FROM READING MATERIALS TO FRESH TO GO SNACKS AND TRAVEL ACCESSORIES AND PLETHORA OF LOCALLY CRAFTED GIFTS AND GOURMET ITEMS. PRICKLY PEAR PROVISIONS HAS EVERYTHING TRAVELERS WILL NEED TO DESIRE TO TRANSFORM YOUR JOURNEY INTO AN UNFORGETTABLE EXCURSION. TEAMS FROM THE SAN ANTONIO SPURS, SAN ANTONIO SC, THE LONGHORNS, AGGIES, UTSA, BARBACO APPAREL, SAN ANTONIO'S OFFICIALLY UNOFFICIAL T-SHIRT COMPANY. PLUS TOYS, GIFTS AND SOUVENIERS.

ALSO AN EXCITING ADDITION FOR TRAVELERS WITH THE ULTIMATE KENS OF A CURRENCY EXCHANGE OPERATION AS WELL. THE LAST PIECE THAT I DIDN'T TALK TOO MUCH ABOUT WITH THE I STORE. WE ALWAYS HAVE PEOPLE THAT WANT THE ELECTRONICS.

WE HAVE A LOT OF MOVEMENT IN TERMINAL B SO EXCITED TO OFFER THAT AS WELL.

THE FELIZ MODERN LOCATED IN THE PEARL, A RENDERING OF WHAT IT WILL LOOK LIKE AT THE AIRPORT AS IT EXISTS TODAY. PRICKLY PEAR PROVISIONS, A QUICK GRAB AND GO FOR RETAIL ON OPTIONS THERE AVAILABLE. MILITARY CITY USA, A TRADEMARK THAT WE HAVE WITH THE CITY OF SAN ANTONIO, EXCITED TO MAKE THAT TRANSITION AND ABOUT THE PARTNERSHIP WITH PARADIES. THANK YOU, GREG, FOR MAKING THAT HAPPEN. THE 210 EXCHANGE, IT IS ALL ABOUT THE 210.

WE'RE EXCITED ABOUT AND WANT TO CONTINUE TO SUPPORT THAT. AS YOU COME INTO OUR AIRPORT, YOU KNOW YOU ARE IN SAN ANTONIO. UNIVISION, A VERY WELL RECOGNIZED NOT ONLY NATIONALLY BUT GLOBALLY FOR WHAT IT IS WITH REGARDS TO SPANISH TELEVISION AND WHAT IT MEANS TO -- IT BEING STARTED IN SAN ANTONIO, TEXAS. DOCTORS THE CONFLUENCE MARKET WILL BE DOWN DOWN THERE AS WELL WITH A PLETHORA OF MATERIALS AND CONCEPTS AVAILABLE.

LASTLY AS I TALKED ABOUT THE TECHNOLOGY PIECE, ALL OF THE I-STORE COMPONENTS THAT WE ALL NEED. SOME DIFFERENT CHOCOLATES, THE HILL COUNTRY WINE, DIFFERENT T-SHIRTS AND DIFFERENT ARTIFACTS THAT CAN BE PURCHASED THERE AT THE AIRPORT. BIG SHOUT OUT TO CAREEN IN A CORTEZ AND WHAT SHE MEANS ON THE PARTNERSHIP WITH PARADIES ARE DISEASE. THANK YOU SO MUCH FOR ALL THAT YOU DO. LOCAL CONCEPT, 70% LOCAL AS WELL.

YOU ASKED FOR 40, WE TOOK IT ALL THE WAY TO 70 WHICH IS PHENOMENAL.

PROVEN EXPERTISE IN SHOWCASING THE ARRAY OF RETAIL OPTIONS.

A MINIMUM ANNUAL GUARANTEE OF 2.6 WITH REVENUES -- REVENUES OVER 10 MILLION AT 29.6 MILLION. ACDBE GOAL OF 26% AND THE PARADIES GOAL SET AT 26% AS WELL SO THEY MEET THE GOAL. THAT COMPLETES THE PRESENTATION ON THE CONCESSIONS AND TERMINAL B PRESENTATION. THANK YOU FOR GIVING US THE OPPORTUNITY TO SPEAK TO YOU TODAY. IT IS A VERY IMPORTANT ELEMENT TO OUR AIRPORT. THANK YOU MUCH, MAYOR AND COUNCIL.

>> MAYOR NIRENBERG: THANK YOU, JESUS. THIS ITEM IS FOR BRIEFING BUT I WANT TO CONGRATULATE YOU AND THE ENTIRE TEAM. I'M REALLY IMPRESSED BY WHAT I'VE SEEN TODAY. AS WE WERE GETTING SPREADING FOR THESE CONCESSION AGREEMENTS, KIND OF PARALLEL ON THE CONSTRUCTION ON THE TERMINAL, WHICH IS LIFTING THE ROOF ON THE EXPECTATIONS WE HAVE FOR THE AIRPORT IN GENERAL.

IT WAS DIFFICULT TO IMAGINE WHAT THAT WOULD LOOK LIKE AND TRANSLATE TO FROM THE CONCESSION SPACE, ESPECIALLY WITH REGARD TO LOCAL BECAUSE LOCAL COMPONENTS ALWAYS SEEM TO BE A BIT ILLUSIVE, HOW DO WE TRANSLATE LOCAL BRANDS TO INTERNATIONAL AND INTERNATIONAL AUDIENCE, BUT I THINK YOU GUYS HIT THIS OUT OF THE PARK.

I LOVE EVERYTHING I'VE SEEN IN TERMS OF THE RETAIL SPACE AND THE F AND B.

I THINK THIS PRESENTS IN A WAY THAT SHOWCASES LOCAL BRANDS IN A WAY THAT MAKES PEOPLE WANT TO EXPLORE MORE. I THINK YOU GUYS HAVE DONE A FANTASTIC JOB.

WE'VE GOT ONLY WINNERS HERE IN WHAT WE'VE SEEN IN THESE PAGES AND I'M EXCITED TO SEE HOW TRAVELERS WILL RESPOND TO THESE THINGS. I THINK IT'S GOING TO BE GREAT AND SETS THE STAGE FOR MORE TO COME AS WE BUILD OUT THE REST OF THIS AIRPORT.

[00:50:04]

CONGRATULATIONS. LOOKING FORWARD TO GETTING THIS DONE AND, AGAIN, TODAY IS BRIEFING ONLY, BUT GREAT PREVIEW SO CONGRATULATIONS, JESUS AND TO BOTH OF THE TEAMS WE'VE SEEN HERE TODAY. WE'LL START WITH COUNCIL DISCUSSION.

COUNCILMEMBER CABELLO HAVRDA. >> HAVRDA: THANK YOU, MAYOR. THANK YOU FOR THE PRESENTATION AND CONGRATULATIONS, JESUS, ON THE HONOR, BEST AIRPORT DIRECTOR IN THE UNIVERSE, IS THAT WHAT IT WAS? [LAUGHTER] BUT THANK YOU.

THIS IS REALLY EXCITING. I CAN'T OVERSTATE HOW MUCH WE'VE LOOKED FORWARD TO LOCAL CONCEPTS AND YOU CAN'T GET MORE LOCAL THAN THIS. BUT ALSO THE QUALITY OF IT.

THIS IS SUPER EXCITING TO MOVE FORWARD. I'M GOING TO START TRAVELING MORE JUST TO EAT AT THE AIRPORT. NOBODY HAS EVER SAID THAT BEFORE SO I THINK THAT'S REALLY SAYING SOMETHING ABOUT OUR CITY.

MY THANKS TO THE EVALUATION COMMITTEE. IT'S A TESTAMENT TO THE HARD WORK AND VISION AND THE FUTURE OF OUR AIRPORT AND OUR CITY.

CONGRATULATIONS TO BOTH GROUPS. I WILL NOT ONLY EAT AT THE AIRPORT, I'M GOING TO SHOP AT MUCH MORE QUALITY SHOPS. I'M INTERESTED IN BEING EFFICIENT IN PROVIDING THE BEST QUALITY. THANK YOU FOR THE RECOMMENDATION. I'D LIKE TO SEE US MOVE FORWARD WITH DIRECTLY AWARDING THE SECOND PACKAGE WITHOUT THE UNNECESSARY STEP OF A SECOND RFP.

I THINK A SECOND RFP WAS NEVER PART OF THE ORIGINAL ASK AND WE WANT TO GET THIS GOING. TO GET STRAIGHT TO IT AND FOR OUR CITY FOR THE PEOPLE NOT ONLY SAN ANTONIANS BUT, OF COURSE, OUR VISITORS THAT ARE COMING HERE.

I HAVE A QUESTION FOR ANDY. DOES GOING STRAIGHT TO AN AWARD INSTEAD OF AN

ADDITIONAL RFP VIOLATE ANY ORDINANCE OR LAW? >> SEGOVIA: COUNCILWOMAN, STATE LAW AND OUR PROCESS GIVES THE COUNCIL A LOT OF DISCRETION IN TERMS OF AWARDING SO THE ANSWER IT DOES NOT VIOLATE ANY STATE STATUTE OR ORDINANCE.

WE MAKE IT CLEAR MATERIALS IN OUR PRESENTATION ABSOLUTELY COUNCIL HAS

DISCRETION SO WOULDN'T BE A VIOLATION OF THAT EITHER. >> HAVRDA: AKIN TO THAT, DOES GOING STRAIGHT TO AWARD INSTEAD OF AN ADDITIONAL RFP VIOLATE ANY OF THE -- OR

COMPROMISE ANY OF THE INTEGRITY OF THIS PROCESS? >> SEGOVIA: THERE'S A COUPLE ASSUMPTIONS BEFORE I ANSWER THAT. THE KEY ONE IS AS YOU NOTED, THE SOLICITATION WAS ISSUED WITH THE EXPECTATION THAT BOTH PACKAGES WOULD BE AWARDED AT THE SAME TIME. THERE WAS NO ANTICIPATION OF A SECOND ONE.

WE INSTITUTED THAT RULE TO INCREASE COMPETITION AND THE EXPECTATION WOULD BE THAT THERE WOULD BE AT LEAST TWO, IF NOT MORE SOLICITATIONS THAT MET CERTAIN STANDARDS IN TERMS OF QUALITY, IN TERMS OF SERVICE, BUSINESS TERMS, ET CETERA. THAT WAS NOT THE RESULT OF THIS SOLICITATION.

SO GIVEN THOSE AS ASSUMPTIONS, NO. >> HAVRDA: I'M PROUD TO HAVE BEEN AN ADVOCATE FOR THE WORK THAT JEFF, JESUS, AND THE TEAM HAVE BEEN DOING. I DON'T SEE THE NEED TO STAND ON SOME PERCEIVED BOX THAT NEEDS TO BE CHECKED. WE'RE ALL REALLY EXCITED ABOUT THESE CONCEPTS AND I THINK IN ORDER TO PROVIDE GREAT SERVICE AND QUALITY AND LITERALLY SAN ANTONIO FLAVOR TO OUR LOCALS AND OUR VISITORS, I THINK THIS IS THE ROUTE WE SHOULD GO.

YOU KNOW, OF COURSE I'M EAGER TO HEAR WHAT MY COLLEAGUES SAY BUT IN THE ALTERNATIVE THE ONLY OTHER OPTION I THINK I WOULD LIKE US TO SKIP STRAIGHT TO IT. THIS IS A MAJOR WIN FOR ALL OF US. IT'S ALSO A BIG RESPONSIBILITY AND I THINK GOING THE OPTION I PROPOSE IS THE BEST THING FOR OUR CITY.

SO MANY PEOPLE COME TO OUR CITY AND THE FIRST TASTE THEY GET THE GOING TO BE WHAT WE HAVE TO OFFER. FOR THOSE LEAVING SAN ANTONIO YOU'LL MAKE THEM WANT TO COME BACK. THIS IS THE EXCITING PART OF GROWTH.

WE HAVE SO MANY GROWING PAINS IN OUR CITY FOR SO MANY REASONS, ESPECIALLY AT THE AIRPORT. BUT THIS IS REALLY CAUSE FOR CELEBRATION.

SO I'M EXCITED. THANK YOU. THANKS, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER CABELLO HAVRDA.

COUNCILMEMBER KAUR. >> KAUR: THANK YOU, MAYOR. I GET TO TALK ABOUT MY FAVORITE THINGS TODAY: FLYING, FOOD, AND SHOPPING. AND WHAT'S EVEN MORE EXCITING IS I THINK EVERY SINGLE ONE OF THESE CHEFS HAS A RESTAURANT IN DISTRICT 1 AND A LOT OF THE RETAIL PROVIDERS HAVE LOCATIONS IN DISTRICT 1 IS TOO SO I FEEL LIKE THE MOST BLESSED COUNCILMEMBER UP HERE. I'M PROUD OF THE WORK YOU PUT IN. IT'S YOUR WORK THAT'S BEING REPRESENTED AND WHAT'S

[00:55:03]

REALLY COOL IS YOU GUYS GET EQUITY IN THIS PROJECT. SO, ONE OF COURSE THAT MEANS OF COURSE YOU'RE GOING TO OWN IT BECAUSE IT IS YOURS BUT ALSO YOU GET THE BENEFIT BECAUSE I KNOW F&B IN THE WORLD IS NOT ALWAYS AS EASY AS IT SEEMS, RIGHT, CHEF JOHNNY? I'M EXCITED TO SEE THESE PACKAGES COME THROUGH.

I FLY TERMINAL B SO I GET TO GET SOME JALAPENO CORNBREAD. IF I WERE MY MOM AND GOT TO THE AIRPORT TWO HOURS EARLY, I WOULD GO TO TERMINAL A AND GET TACOS AND CHICKEN.

I'M REALLY, REALLY EXCITED. EVERY TIME I SEE JEFF, I'M LIKE, HOW'S IT GOING? I'M REALLY EXCITED THAT YOU GUYS ARE BEING PRESENTED WITH THIS TODAY OR THAT'S THE RECOMMENDATION BEING PUT FORWARD. AND THEN ON THE RETAIL SIDE, YOU KNOW, I LOVE FELIZ MODERN. WE HIGHLIGHT YOU IN OUR SMALL BUSINESS GUIDE SO WE'RE EXCITED ABOUT THE PACKAGE.

AND CHEF NIKOLA AND CORNELIUS WAS GRADUATES OF OUR PROGRAM RUN BY LAUNCH SA. I THINK WE ALSO HAVE A MENTOR AND PART OF YOUR TEAM THAT WAS PART OF LAUNCH SA. THESE ARE CITY-FUNDED PROJECTS YOU GUYS ARE NOW GETTING TO BE IN THE LIMELIGHT AND BE THE FIRST THING THAT PEOPLE SEE WHEN THEY COME INTO OUR CITY. TRULY A REPRESENTATION OF THE CITY OF GASTRONOMY, THE CULTURE THAT WE HAVE IN OUR COMMUNITY AS WELL. I'M REALLY GRATEFUL FOR THE RECOMMENDATIONS AND I THINK WE HAVE SOME ROCK STAR TEAMS ALREADY PUT TOGETHER AND I WOULD LIKE TO SEE, ERIK, THAT YOU ALL GET THE ABILITY TO KIND OF MOVE FORWARD AND WITHOUT ACTUALLY GOING THROUGH ADDITIONAL RFP AND SEE IF WE CAN'T REVAMP TERMINAL B. FRANKLY, THAT FOOD COURT NEEDS SOME LOVE.

IF WE CAN PUSH THAT FORWARD WITHOUT GOING THROUGH THAT, I THINK THAT'S THE WAY WE

SHOULD GO. THANKS, MAYOR. >> MAYOR NIRENBERG: THANK

YOU, COUNCILMEMBER KAUR. COUNCILMEMBER COURAGE. >> COURAGE: THANK YOU, MAYOR. I WANT TO THANK AND CONGRATULATE EVERYBODY FROM BOTH TEAMS THAT PUT THESE PACKAGES TOGETHER. YOU KNOW, THE AIRPORT IS SOMETHING FOR THE ENTIRE REGION AND WHAT YOU'RE DOING BY BEING LOCAL FLAVOR ADDS TO THE ABILITY FOR PEOPLE TO COME AND REALLY ENJOY SAN ANTONIO.

I DON'T THINK ANYONE LIKES TO SIT AROUND THE AIRPORT FOR TWO OR THREE HOURS BUT IF YOU DO, YOU WANT TO HAVE A COMFORTABLE PLACE TO EAT OR TO BUY PRODUCTS THAT ARE GOING TO HELP YOU IN YOUR TRAVEL. I THINK BOTH ORGANIZATIONS ARE OFFERING THAT IN THESE TWO PACKAGES. I JUST HAD A COUPLE OF QUESTIONS. SLIDES 17 THROUGH 32 TALKED ABOUT PACKAGE NO. 2.

AND I UNDERSTAND THAT THE MINIMUM GUARANTEE -- AND, JESUS, YOU CAN PROBABLY LET US KNOW ABOUT THESE. THE MINIMUM GUARANTEE ON PACKAGE NO. 2 FOR THE RESTAURANT BUSINESS IS $2.4 MILLION ANNUALLY. THAT'S THE MINIMUM THEY SAID THEY WILL PROVIDE TO THE CITY. OVER THE TEN-YEAR PERIOD WE'RE LOOKING AT $24.8 MILLION . YOU HAD A VERY DETAILED LOOK AT THAT PROPOSAL, DIDN'T YOU? DID YOU ACTUALLY GET A CHANCE TO SIT DOWN AND SAMPLE ANY OF THE FOODS? DID THEY BRING ANYTHING OUT

TO THE TABLE FOR YOU? >> SAENZ: YES, SIR. ABSOLUTELY.

>> COURAGE: WELL, THAT'S GOOD. >> SAENZ: BUT I WASN'T ALONE. THERE WERE OTHERS HELPING ME.

>> COURAGE: OKAY. GOOD. AND SO, YOU KNOW, I THINK THAT LOOKS LIKE A VERY GOOD PROPOSAL. THERE WERE TWO ACTUAL PROPOSALS THAT YOU FINALIZED. DID THEY BOTH BRING SAMPLES

AND SIT DOWN AND TALK ABOUT DETAILS? >> SAENZ: THEY DID.

>> COURAGE: SO YOU GAVE IT A TASTE TEST. I LIKE THAT.

AND THEN ON PAGES 33 THROUGH 46 YOU GO INTO DETAIL ABOUT THE OTHER PACKAGE, WHICH IS MORE RETAIL ORIENTED. AND AGAIN HERE WE ARE LOOKING AT A GUARANTEE OF $2.67 MILLION A YEAR IN RETURN TO THE CITY. AND THEN 29.6 OVER TEN YEARS. THAT'S TERRIFIC. THAT'S A REALLY GOOD AMOUNT OF RETURN. HOW DO THOSE COMPARE PREVIOUSLY FOR THE SIMILAR

SLOTS THAT THEY WERE TAKING? >> SAENZ: IT'S AN ENORMOUS CHANGE.

WE DID A FULL REPRESENTATION SPACE BY SPACE ON THE NUMBER OF PERCENTAGE BASED ON WHAT WAS PROPOSED VERSUS WHAT OUR PERFORMANCE IS TODAY. WE ALSO HAVE TO TAKE INTO CONSIDERATION THE FORECAST NUMBERS OF THE INCREASED TRAVELER NUMBERS THAT WE HAVE AS WELL. BUT ON AVERAGE, IT'S ANYWHERE FROM 5 TO 10%

[01:00:04]

INCREASE, SIR, OF WHAT WE'VE DONE PREVIOUSLY. THOSE NUMBERS, YOU SEE THE MAG AND OVER THE TERM THERE'S NOTHING TO STATE THEY CAN'T OVERPERFORM THAT

EITHER. EXCITED ABOUT THE FUTURE. >> COURAGE: OKAY.

AND WITH PACKAGE NO. 1, WHICH WAS ON PAGES 16 THROUGH 18, THERE WERE BIDDERS AGAIN AND WE HAVE A RECOMMENDATION FROM YOUR STAFF NOT TO ACCEPT A BID AND TO GO OUT AND REBID ON THIS. CAN YOU EXPLAIN WHY?

>> SAENZ: SO AS I MENTIONED, WE SELF-IMPOSED FOR, IN THE SPIRIT OF COMPETITION AT THE AIRPORT, AS YOU MENTION WITH REGARDS TO THE FINANCIAL PERSPECTIVE OF WHAT WE'RE DOING. WE WANT COMPETITION BECAUSE THE MORE COMPETITION, AS JEFF ILLUSTRATED, IS WHAT WE HAVE BEEN ABLE TO DO WITH THE CARRIERS AS WELL.

THE MORE AND MORE WE CREATE THAT COMPETITION THE BETTER IT IS FOR US, THE CONSUMERS AND FOR THE PEOPLE THAT ARE OPERATING OUT OF SAN ANTONIO INTERNATIONAL AIRPORT.

ALL THE GROWTH, EVERYONE DOES BETTER AND PERFORMS BETTER.

WE DID THAT WITH REGARDS TO THE FOOD AND BEVERAGE -- NOT NECESSARILY TO THE RETAIL.

WE ONLY HAD ONE PACKAGE. BUT ON THAT SPECIFIC FOOD PACKAGE WE WANTED TO CREATE THAT COMPETITION. SO THE SOLICITATION REFLECTED THAT ONE RESPONDENT COULD NOT RECEIVE BOTH. AND THAT IS WHY WE'RE MAKING

THE RECOMMENDATION THE WAY WE HAVE, SIR. >> COURAGE: BUT YOU

INVITED THEM TO BID ON BOTH, IS THAT CORRECT? >> SAENZ: ABSOLUTELY.

EACH OF THE RESPONDENTS WERE ABLE TO PROVIDE THEIR INFORMATION FOR EACH OF THE PACKAGES AND ALSO LET US KNOW WHICH ONE THAT THEY PREFERRED AS THEY WENT

THROUGH THE PROCESS. >> COURAGE: OKAY. THEY ALSO LET YOU KNOW A

PREFERENCE? >> SAENZ: YES, SIR. >> COURAGE: WITH PACKAGE NO. 1, DID YOU GET INTO THE SAME SECONDARY MEETING, GO INTO DETAIL, HAVE THEM BRING FOOD OUT TO BE TESTED? DID THEY TELL YOU WHAT PRODUCT THEY WOULD PUT IN WHAT SLOT? BECAUSE I THINK THERE ARE EIGHT DIFFERENT SLOTS THAT

WERE MENTIONED BETWEEN BOTH A AND B. >> SAENZ: BOTH DONE FAIR

AND EQUITABLE THE SAME WAY. >> COURAGE: OKAY. AND WHAT IS THE MAG THAT WAS

PROJECTED AS A RETURN IN PACKAGE NO. 1? >> SAENZ: I DON'T HAVE THAT NUMBER OFF THE TOP OF MY HEAD BUT WE CAN GET IT HERE SHORTLY FOR YOU,

COUNCIL MEMBER. >> COURAGE: I THINK THAT WOULD BE IMPORTANT FOR US TO KNOW MORE ABOUT. A COUPLE OF COUNCIL MEMBERS HAVE SAID MAYBE WE DON'T HAVE TO GO AHEAD AND STICK WITH OUR ORIGINAL PROPOSAL AND IF WE'RE GOING TO CHANGE WHAT WE PUBLISHED AS A SET OF GUIDELINES -- AND IT WOULD BE INTERESTING TO KNOW WHAT'S THE DIFFERENCE IN VALUE OR WHAT'S THE ADDITIONAL VALUE WE RECEIVE

FOR THAT. >> MICHAEL GARNIER, ASSISTANT DIRECTOR OF FINANCE FOR THE AIRPORT. THE MAG THAT WE SHOW FOR PACKAGE 1 IS ABOUT $1.1 MILLION. THAT'S THE MINIMUM ANNUAL GUARANTEE.

SO REVENUE IS BASED ON SALES AND SALES SHOW THAT THEY WOULD INCREASE ABOUT 40% IN PACKAGE 1. SO REVENUE, WE STILL NEED TO NEGOTIATE THE DEAL SO WE WOULD HAVE TO LOOK AT THE PERCENTAGES. RIGHT NOW WE'RE SHOWING THE PERCENTAGES SLIGHTLY LOWER ON THE INITIAL FOR WHAT THEY'VE PROJECTED THAN WE'RE GETTING RIGHT NOW. BUT OVERALL, GROSS RETURN TO THE AIRPORT WOULD BE MORE.

>> COURAGE: OKAY. THAT'S A LITTLE BIT LESS. HOW MANY SPACES WERE THERE

IN PACKAGE NO. 2 THAT THEY WOULD BE TAKING ON? >> IN PACKAGE 2, THE ONE

ISSUED TO HOST? SEVEN. >> COURAGE: HOW MANY

SPACES WOULD THEY BE FILLING? >> SAENZ: SEVEN.

>> COURAGE: AND PACKAGE NO. 1 WOULD HAVE EIGHT SPACES BUT WE WOULD ONLY

BEING MAKING NOT EVEN HALF AS MUCH MONEY? >> SAENZ: THAT'S CORRECT.

>> COURAGE: WHY IS THAT? ARE THEY SMALLER SPACES? >> SAENZ: SOME MAY BE SMALLER SPACES AND THE OFFERINGS THEY SELECT. WE DON'T DECIDE WHAT THEY PUT IN THOSE LOCATIONS. THAT'S FOR THEM TO DETERMINE.

>> COURAGE: WELL, IT'S SIGNIFICANTLY LESS FOR NOT THAT MANY DIFFERENT NUMBER OF SPACES. IN FACT, LESS MONEY FOR MORE SPACES, WHICH I THINK MAYBE MAKES A GOOD POINT ABOUT WHY WE SHOULD GO OUT AND REBID THIS.

IF THE BIDDER RECEIVED THEIR PREFERENCE AND THAT'S THE ONE THAT THEY WON, THIS GIVES THEM A SECOND CHANCE AND ANYONE ELSE TO MAYBE, YOU KNOW, BEAT THAT BID.

BRING IN MORE MONEY TO THE CITY AND PUT OUT ADDITIONAL PRODUCTS.

[01:05:02]

SO, THAT WOULD BE SOMETHING I WOULD LIKE TO SEE THE CITY EXPLORE.

THE ORIGINAL RECOMMENDATION TO REBID COULD BRING US MORE MONEY BECAUSE WE HAVE TO PAY OFF THIS AIRPORT DEBT AND PART OF THE ABILITY TO PAY THAT OFF IS COMING FROM THE MAXIMUM RETURN WE CAN GET FROM THESE SPACES THAT WE HAVE AVAILABLE TO GET OUT TO CONCESSIONAIRES. I SUPPORT YOUR ORIGINAL RECOMMENDATION.

>> SAENZ: THANK YOU, SIR. >> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER COURAGE.

COUNCILMEMBER ALDERETE GAVITO. >> GAVITO: THANK YOU, MAYOR. JESUS, CONGRATULATIONS ON YOUR AWARD.

THAT'S A HUGE ACCOMPLISHMENT. I'M REALLY GLAD TO SEE THIS NEW TERMINAL DEVELOPMENT MOVING ALONG AND I LOOK FORWARD TO THE RIBBON CUTTING IN DECEMBER. SO, YEAH, THIS PRESENTATION MADE ME HUNGRY AND READY TO SHOP TOO. CONGRATULATIONS TO ALL OF Y'ALL FOR -- AND THANK YOU FOR PUTTING YOUR BEST FOOT FORWARD FOR OUR AIRPORT BECAUSE IT IS GOING TO GO A LONG WAY. I LOVED THE TREAT OUR TROOPS --S IT'S CALLED? DETAIL FOR THE PACKAGE. I THINK SO MANY PEOPLE WANT TO GIVE BACK AND MAKING IT EASIER FOR THEM TO IS REALLY --. AND I LOVE THAT, YOU KNOW, BOTH THE RESTAURANT AND RETAIL REALLY HIGHLIGHT THE LOCAL FEEL. JESUS, THANK YOU TO YOU AND YOUR TEAM FOR MAKING SURE WE EXCEEDED THE LOCAL MARK THAT WE HAD SUGGESTED.

REALLY QUICK, I DID HAVE A QUESTION ON THE REBIDDING PROCESS.

SO FOR THE REBIDDING PROCESS FOR PACKAGE 1, WHAT TIMELINE WOULD THAT BE IF WE WERE TO

PUSH IT OUT FOR A REBID? >> SAENZ: AS WE WERE FINALIZING AND PREPARING THIS PRESENTATION FOR YOU ALL, WE STARTED TO LOOK AT HOW LONG IT WOULD TAKE US.

BEST-CASE SCENARIO, FIVE, SIX MONTHS. WORST-CASE SCENARIO IS SEVEN TO EIGHT MONTHS. SOMEWHERE IN THAT TIME-FRAME IS WHAT I WOULD RECOMMEND TO

YOU. >> GAVITO: JUST SO I'M CLEAR, THIS IS JUST PUSHING THE RESET BUTTON ON THAT SPECIFIC PACKAGE ONLY. AND ANYBODY CAN BID ON IT

AND WE GO FROM THERE? >> SAENZ: THAT IS CORRECT. I DON'T WANT TO CALL IT A CUT AND PASTE BUT WE ALREADY LET THE SOLICITATION GO. IT'S NOT GOING TO TAKE US LONG, IT'S A MATTER OF GETTING IT OUT. WE HAVE TO MAKE A COUPLE OF CHANGES TO THE PACKAGE AS IT RELATES TO THE LANGUAGE. WE'RE NOT GOING TO GO CHANGE ANY LOCATIONS BECAUSE IT WILL STILL REMAIN PACKAGE 1 AS IT IS TODAY.

>> GAVITO: GOT IT. FOR ME, WHAT WE'VE BUILT HERE TODAY AND ESPECIALLY WITH THE AMAZING SELECTION THAT WE'VE MADE HERE TODAY, WE WANT TO MAKE SURE WE GET THIS RIGHT SO I'M ALL FOR US REBIDDING AND MAKING SURE THAT WE GET IT RIGHT.

THANK YOU, MAYOR. >> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER ALDERETE

GAVITO. COUNCILMEMBER ROCHA GARCIA. >> GARCIA: THANK YOU, MAYOR. FIRST OF ALL, I'M JUST SO PROUD TO BE ABLE TO SAY THAT WE HAVE THIS CALIBER BIDDING ON THIS TODAY. AND JUST AN INCREDIBLE JUST ALL AROUND. I'M SO, SO, SO PROUD TO BE ABLE TO SAY THAT SAN ANTONIO IS MY HOMETOWN AND THAT YOU ALL ARE A PART OF IT. I APPRECIATE ALL OF THE EFFORT THAT YOU PUT IN. I WILL HOLD IT AGAINST YOU THAT I DIDN'T GET TO TRY THE SAMPLES. BUT I HAVE BEEN TO ALL OF YOUR RESTAURANTS AND I ALWAYS HAVE A FAVORITE AND I ALWAYS SEND PEOPLE OVER. IT'S CRITICAL THAT WE DO SOMETHING LIKE THIS BECAUSE WE'RE A CITY OF GASTRONOMY AND PEOPLE DON'T REALIZE THAT ABOUT SAN ANTONIO. BEING ON THE BOARD OF SAN ANTONIO, I KNOW THAT WE ARE A CITY OF GASTRONOMY AND I KNOW WE HAVE AN INCREDIBLE FOOD SCENE BUT OTHERS DON'T.

AND SO A LOT OF THE THINGS THAT I FEEL THAT YOU ALL PUT TOGETHER ON THAT PACKAGE JUST EXEMPLIFY THE SPIRIT OF SAN ANTONIO. EVERY ONE OF YOU DO SUCH A GOOD JOB OF CURATING THE ENTIRE EXPERIENCE. I'M TALKING ABOUT THE HISTORY OF THE FOOD YOU BRING TO THE TABLE. LITERALLY FROM FARM TO FORK, THE CONCEPT THAT YOU ALL CARRY, JUST THE BRIDGING OF EVERY SINGLE CULTURE THAT WE REPRESENT IN SAN ANTONIO, TO ME IS APPARENT AND THIS GIVES ANOTHER TESTAMENT TO WHY SAN ANTONIO IS SO SPECIAL. THANK YOU FOR DOING THAT.

I DO THINK THAT'S A CREATIVE ELEMENT OF SELLING OUR CITY. IT'S TELLING THE STORY.

AND SO WHAT BETTER WAY TO DO IT AROUND THE FOOD TABLE. SO I APPRECIATE YOU ALL.

AND THEN FOR THE RETAIL PACKAGE. I THINK YOU DID AN INCREDIBLE JOB ALSO. I'M A FAN OF FELIZ MODERN. I SPEND A LOT OF MONEY WHEN IT COMES TO BIRTHDAYS AND CHRISTMAS. SO JUST WHAT AN INCREDIBLE

[01:10:06]

OPPORTUNITY AS WELL. MY KID HAS SO MANY SHIRTS FROM THERE AND SO I JUST LOVE THE FACT THAT YOU ALL CAN SHOWCASE SAN ANTONIO'S CULTURE IN A MEANINGFUL WAY, RIGHT? AND SO PEOPLE LEAVE AWAY WANTING TO TAKE SOMETHING FROM SAN ANTONIO TO THEIR CHILDREN OR TO THEIR FAMILY MEMBERS, ESPECIALLY WITH SO MANY TOURISTS COMING IN. YOU ALL JUST HIT IT OUT OF THE BALLPARK IN EVERYTHING YOU ALL HAVE IN YOUR STORES. CONGRATULATIONS. SO EXCITED.

I HOPE YOU'LL GET TO SELL KATARINA'S BOOKS THERE. SHE HAS A BOOK COMING UP EARLY QUARTER 1 THAT WILL BE READY AND SO I'M EXCITED ABOUT THAT.

WHAT AN INCREDIBLE WAY TO SHOWCASE SAN ANTONIO ALL AROUND.

TODAY I THINK THAT WE ARE JUST INCREDIBLY HUMBLED, RIGHT, BY THE LEVEL OF TALENT THAT WE HAVE ACROSS OUR CITY. AND, JESUS, THANK YOU SO MUCH FOR ORGANIZING EVERYTHING AND FOR EVERYTHING THAT YOU'VE DONE.

AND JEFF COYLE. I KNOW LORI WAS ON THE SELECTION COMMITTEE AS WELL.

I KNOW THAT THEY'RE NOT ALL HERE SO PLEASE RELAY OUR THANKS TO THEM.

I LOVE TO EAT AND I LOVE TO SHOP. IT'S KIND OF LIKE DR. KAUR WAS SAYING EARLIER. SO TO ME THIS IS SOMETHING THAT I LOOK FORWARD TO WHEN I TRAVEL AND I LOOK AT AN AIRPORT AND I DON'T WANT THE SAME PREPACKAGED GOODS.

AND SO IT'S IMPORTANT FOR ME TO JUST REMIND THEM, AND ESPECIALLY FOR THE BUSINESS TRAVELER, WHEN THEY COME TO SAN ANTONIO, THEY USUALLY COME BY THEMSELVES.

BUT FOR THEM TO TAKE AWAY THAT LAST EXPERIENCE AT THE AIRPORT AND JUST REMIND THEM THAT MAYBE THEY SHOULD COME BACK WITH THEIR FAMILY, LIKE THAT'S ANOTHER ADDED LEVEL OF SELLING THE TOURISM ASPECT OF SAN ANTONIO. AGAIN, INCREDIBLE JOB.

I THINK THE RECOMMENDATIONS ARE GREAT. I WOULD BE IN FAVOR OF EXPEDITING THE BIDDING PROCESS FOR THE NEXT GO-AROUND.

I DON'T KNOW IF THERE'S ANYTHING SOONER THAT CAN BE DONE THAN FIVE MONTHS BUT I FIND IT REALLY HARD ARE INVOLVED WITH. BUT WE'LL TRY. I DO WANT TO RECOGNIZE AND THANK COUNCILMAN COURAGE FOR BRINGING UP THE MAG. THANK YOU FOR ASKING THAT VERY IMPORTANT QUESTION. AND SO BECAUSE OF THAT I WOULD LOVE TO HAVE AN OPPORTUNITY TO LEARN MORE ABOUT THE ELEMENTS THAT GO INTO THAT DECISION AND THE DIFFERENCES, ET CETERA. THOSE ARE ALL MY COMMENTS. AGAIN, THANK YOU SO MUCH.

INCREDIBLY PROUD. THANK YOU, MAYOR. >> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER ROCHA GARCIA. COUNCILMEMBER PELAEZ.

>> PELAEZ: THANKS. EXCELLENT PRESENTATION. I REMEMBER IT WASN'T TOO LONG AGO -- AND IT WAS WAY BEFORE YOUR TIME, JESUS -- WHEN OUR AIRPORT, GOING IN AND OUT OF OUR AIRPORT WAS A STRESSFUL AND DISMAL EXPERIENCE.

AND WE WERE NO DIFFERENT THAN ANY OTHER AIRPORT IN THE UNITED STATES.

THEY ALL WERE TERRIBLE. THEY WERE AIRPLANE-FOCUSED AND NOT PEOPLE-FOCUSED.

I USED TO SAY THEY WERE LIKE GREYHOUND STATIONS FOR AIRPLANES.

REALLY STRESSFUL AND COLD . WHEN IT CAME TO DINING, DINING AT THE AIRPORT WAS ADDING INSULT TO INJURY. DO YOU REMEMBER THE FOOD WAS UNHEALTHY, IT WAS OVERPRICED AND IT WAS LIKE THE LAST RESORT, RIGHT? I MEAN, IT WAS SMARTER TO SHOW UP NOT HUNGRY AND, YOU KNOW, OR AT THE VERY LEAST WITH SNACKS THAN EATING AT AN AIRPORT. I'M JUST SO GRATEFUL, JESUS, FOR YOUR TEAM FOR HELPING US CHANGE ALL THAT. I THINK OUR AIRPORT IS NO LONGER JUST A TRANSIT HUB.

AND TODAY WITH WHAT WE'RE TALKING ABOUT, I HOPE THE PUBLIC REALIZES THAT WHAT WE'RE TRYING TO ACCOMPLISH HERE IS CREATING A MICROCOSM OF SAN ANTONIO'S LOCAL COMMERCE. A PLACE THAT IS AESTHETICALLY BEAUTIFUL AND SPEAKS TO THE SOUL OF THE CITY. ALSO, IT'S A MICROCOSM OF OUR CULINARY OFFERINGS, WHICH MILLIONS OF PEOPLE TRAVEL ACROSS THE WORLD TO EXPERIENCE. AND THE FACT THAT THEY'RE GOING TO BE EXPERIENCING IT HERE THE MINUTE THEY STEP OFF THE AIRPLANE IS REALLY IMPORTANT.

WE WANT THAT WOW FACTOR AND FOR THEM TO REALIZE THEY'RE IN A SPECIAL PLACE, RIGHT, SO THAT WHEN THEY GO VISIT ELIZABETH'S RESTAURANT, THEY'LL SAY I HAVE NEVER EXPERIENCED ANYTHING LIKE THIS. OR, JASON, YOUR PIZZA WITH YOUR TOP SECRET INGREDIENTS THAT MAKE IT AMAZING. YOU KNOW, I WANT THEM SAYING TO PEOPLE, YOU KNOW, BACK HOME, HEY. AND THAT AIRPORT WAS PRETTY COOL. AND I ASSUME THAT THE CHALLENGE FOR CHEFS IS BEING ABLE TO DUPLICATE THE RECIPES IN YOUR HOME RESTAURANTS AT THE AIRPORT

[01:15:05]

IN THOSE SMALL SPACES, THOSE LIMITED FACILITIES THERE. BUT I'VE SEEN EACH AND EVERY ONE OF YOU OPERATE IN DIFFERENT ENVIRONMENTS AND, YOU KNOW, I'VE ALWAYS WALKED AWAY AMAZED, HAVING WATCHED EACH AND EVERY ONE OF YOU. JEFF, YOU'RE ONE OF THE CHAMPS OF THIS.

YOU GUYS ARE CULINARY WARRIORS. YOU'RE NOT JUST EXCELLENT CHEFS. I'VE SEEN YOU AT COMPETITIONS.

I'VE SEEN YOU WORK IN YOUR KITCHENS. YOU HAVE A REPUTATION FOR DELIVERING EXCELLENT FOOD, REALLY WARM SERVICE BUT ALSO BEING ABLE TO PUT TOGETHER SOME AMAZING THINGS WITH SHORT TIMELINES IN SHORT SPACES.

I HAVE ALL THE FAITH IN THE WORLD THAT THIS IS THE RIGHT TEAM FOR THIS JOB.

AND IF ANYBODY WANTS TO SEE AMAZING FOOD SERVED IN TIGHT SPACES, JUST GO VISIT THE JERK SHACK. NINIKOLAI, YOU'RE AMAZING . WE HAVE AN OPPORTUNITY HERE TO REALLY SPEAK TO NOT JUST THE PUBLIC BUT THE 10-PLUS MILLION PEOPLE WHO VISIT US EVERY YEAR ABOUT THE AUTHENTICITY AND DNA THAT MAKE SAN ANTONIO VERY, VERY SPECIAL. I THINK YOU'RE HITTING ALL THE RIGHT NOTES AND YOU UNDERSTOOD THE ASSIGNMENT, JESUS, CONGRATULATIONS. AS FAR AS REBIDDING THIS, I WANT TO MAKE SURE. PARADIES, YOU'RE HERE. YOU HEARD THERE ARE SOME FOLKS SAY THAT IT BE DONE QUICKLY AT BREAKNECK SPEEDS. IS THAT SOMETHING YOU COULD RESPOND TO? I KNOW BOTH OF THESE COMPANIES ARE BIG, BIG COMPANIES AND TURNING ON A DIME MIGHT BE HARD. ARE YOU GUYS READY TO GO?

>> GOOD AFTERNOON. FIRST OF ALL, I WILL RESPOND TO YOUR QUESTION.

GREG PARADIES, CEO OF PARADIES LAGARDERE. IT'S BEEN A GREAT PARTNERSHIP. A BIG SHOUT OUT, ANOTHER ONE TO JESUS.

I HAVE BEEN IN THE INDUSTRY 37 YEARS AND THERE'S NOT A FINER AIRPORT DIRECTOR THAN JESUS AND HE'S TRANSFORMED THE EXPERIENCE OF THE AIRPORT, WHICH IN TURN HAS REALLY HELPED US, OUR PARTNERSHIP CONTINUE BECAUSE WE ARE VERY CUSTOMER FOCUSED. TO ANSWER YOUR QUESTION AS FAR AS TURNING AROUND, WE HAVE ALREADY DONE A LOT OF PREWORK, AS OUR COMPETITORS HAVE AS WELL.

BECAUSE OF THAT, THE TURNAROUND IS VERY QUICK AS FAR AS HOW LONG WE NEED TO RESPOND OR ANOTHER NEEDS TO RESPOND TO THIS OTHER PACKAGE 1, IF IT'S REBID.

SO, JESUS, I'M NOT SURE IF YOUR TIME-FRAME WAS FIVE MONTHS AGO FROM TODAY TO THE FINAL APPROVAL HERE, WHICH MAKES SENSE. BUT AS FAR AS SUBMISSION, FROM A CONCESSIONAIRE'S STANDPOINT, WE CAN SUBMIT WITHIN SEVERAL WEEKS.

ONCE WE GET THE PROPOSAL, I BELIEVE, JESUS, YOU MENTIONED TALKING AND MAKING SURE THAT PACKAGE IS VIABLE, NOT JUST A WINNING PACKAGE FOR THE CONCESSIONAIRE BUT MORE IMPORTANTLY, THE TRAVELERS AND YOU GUYS FROM A FINANCIAL STANDPOINT AS WELL. I WOULD SAY SEVERAL WEEKS, DEPENDING ON THE CHANGES OF

THE PACKAGE. >> JUST TO ADD ON TO THAT. SO OUR TEAM IS PUT TOGETHER.

WE'RE ABOUT 90% DONE. THE REASON WHY WE DIDN'T PROPOSE WHAT WE HAD PUT TOGETHER INITIALLY IS BECAUSE IT JUST DIDN'T PENCIL THE WAY THE RFP WAS WRITTEN. AND SO I WOULD NEVER PUT SMALL BUSINESSES AT RISK.

AND SO WE DECIDED NOT TO PROPOSE FOOD AND BEVERAGE. BUT IF AN RFP IS RELEASED, WE WILL BE ABLE TO PUT THAT TOGETHER QUICKLY, A COUPLE OF WEEKS.

>> PELAEZ: AND HMS IS BEHIND YOU. SINCE IT'S AN RFP, THEY'LL HAVE ALL THE OPPORTUNITY TO BID AS WELL. HMS, ARE YOU GUYS READY TO

GO? IT IS A BREAKNECK SPEED -- >>

>> PELAEZ: IT'S TOO BUSY? I JUST WANT TO MAKE SURE YOU'RE COMFORTABLE.

WE'RE TALKING ABOUT MONTHS, NOT HALF A YEAR OR A YEAR OUT.

>> TH THANK YOU, COUNCIL MEMBER. YES, WE ARE HONORED AND HUMBLED TO BE HERE TODAY. AS YOU SEE, I HAVE A GREAT TEAM HERE BEHIND ME.

THE RULE PUT IN THERE, YOU KNOW, WE BID. I THINK EVERYONE WOULD SAY WE WOULD BE SELECTED AT THIS POINT BUT THERE WAS A RULE THAT SAID YOU CAN'T WIN TWO.

WE HAVE DIFFERENT EQUITY PARTNERS IN DIFFERENT SPACES SO WE CREATED OUR OWN NATURAL COMPETITION. YEAH, WE WOULD REBID. I THINK SOME OF THE COMPANIES DIDN'T BID THE FIRST TIME. THEY SAID IT DIDN'T PENCIL, SO WHAT WOULD MAKE SENSE FOR IT TO PENCIL THE NEXT TIME. FOR US IT PENCILED.

THE MAG WAS LOWER AND IN FOUR YEARS THAT TRAFFIC IS GOING TO SHIFT TO A NEW TERMINAL. WHEN THAT TRAFFIC SHIFTS YOU WILL GET LESS REVENUE BECAUSE THE TRAFFIC WILL BE DISPERSED BETWEEN THAT TERMINAL B.

[01:20:01]

OUR MAG IS UP THERE AND THAT IT'S GOING TO TAKE A TURN WHEN THE TERMINAL SHIFTS.

>> PELAEZ: THANK YOU SO MUCH. I SEE JOHNNY UP THERE.

I HAVE NO QUESTIONS OTHER THAN THANKS FOR LEADING THIS TEAM.

YOU WOULD HAVE WON A MICHELIN STAR A LONG TIME AGO IF YOU WOULD HAVE TAKEN MY ADVICE OF SERVING DINO-SHAPED CHICKEN. JESUS, EVERYTHING YOU GUYS HAVE DONE SO FAR IS EXCELLENT AND YOU EXCEED MY EXPECTATIONS.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER PELAEZ. COUNCILWOMAN VIAGRAN.

>> VIAGRAN: THANK YOU. I WANT TO ADDRESS THE NO. 49 FIRST BEFORE WE MOVE FORWARD. BECAUSE I WANT TO MAKE IT CLEAR FOR THIS COUNCILWOMAN AND I WILL BE TALKING TO MY COUNCIL COLLEAGUES. I AM NOT ABOUT A BREAKNECK SPEED IF WE ARE GOING TO DO THIS RIGHT. THIS WILL TAKE, I IMAGINE, THE EIGHT MONTHS TO A YEAR THAT THIS ONE HAS TAKEN. BECAUSE MY PLAN IS TO BE HERE. MY PLAN IS TO OPEN AN AIRPORT THAT PEOPLE LOVE TO GO TO AND THAT REPRESENTS THE CITY OF GASTRONOMY. SO I'M PUTTING MY VISIT SAN ANTONIO HAT ON. SO AS WHAT IS PRESENTED HERE ON SLIDE 49, I HAVE A HUGE PROBLEM WITH THE EVALUATION COMMITTEE RIGHT NOW. BECAUSE IF WE ARE GOING TO COME BACK ON NOVEMBER 21ST, AWARD THIS TO HOST AND PARADIES AND SAY, OH, WE'RE GOING TO BREAKNECK SPEED THIS, WE ARE NOT GOING TO DO THAT.

THAT IS NOT GETTING IT RIGHT. THAT IS NOT HAVING THE QUALITY AIRPORT THAT MY EXPECTATIONS ARE. SO IF WE'RE GOING TO DO THIS, COUNCIL, BUCKLE UP FOR A YEAR BECAUSE THAT'S MY EXPECTATION.

BECAUSE I EXPECT VISIT SAN ANTONIO TO BE INVOLVED. I EXPECT -- I WANT TO SEE IF WE CAN GET SOMEONE FROM JAMES BEARD TO GIVE US TIME. I'VE GOT TWO CHEFS ON THE HOST COMMITTEE. CHEF NICOLE, ARE YOU HERE, AND CHEF BALLFOUR? YOU WERE INVITED TO THE MICHELIN AWARDS CEREMONY. THAT IS AMAZING.

TO ASK US AND THEN ASK THE AIRPORT TO TURN THIS AROUND IN FIVE MONTHS IS NOT FAIR.

SO I WOULD REALLY LIKE THIS CITY TO SEE IF WE CAN REALLY LOOK AT HOW WE CAN GET THIS DONE WITH THE WAY THAT WE PUT IT FORWARD WITH THE TEAM THAT SCORED, YOU KNOW, WHAT WAS IT? ALMOST 50 MORE POINTS THAN THE TEAM OUT OF VIRGINIA.

WE NEED TO HAVE THAT CONVERSATION. IF WE CAN'T GET IT DONE, COME BACK AND TELL US THAT, ERIK, AND WE'LL PUT THIS OUT.

BUT IT WILL TAKE ANOTHER YEAR BECAUSE THIS IS JUST -- WE'VE GOT TOO MUCH.

WE HAVE WORKED TOO HARD AT THIS AIRPORT TO JUST MAKE THIS AT A BREAKNECK SPEED AND SAY THAT WE'VE GOT THE SAME QUALITY THAT YOU GUYS HAVE PRESENTED FORWARD WITH THAT. I SENT OUT WITH JESUS AND THE MANY MEETINGS WE HAD THAT I WANTED SAN ANTONIO OPTIONS. THAT I WANTED SAN ANTONIO SOLUTIONS. SO WHEN HE BROUGHT THIS RETAIL AND HE BROUGHT THIS FOOD AND BEVERAGE OPTION, I WAS VERY EXCITED. I, LIKE EVERYONE ELSE, THOUGHT WE WOULD GET MORE PARTICIPATION. WE DIDN'T.

AND, YOU KNOW, THE RFP, IF WE EVEN SPEND $500 TO REISSUE THIS RFP TO GET IT DONE IN FIVE MONTHS, IT JUST DOES NOT SIT WELL WITH ME. SO THAT'S WHERE I SIT WITH THAT. I DO WANT TO THANK YOU ALL FOR IT.

IN TERMS OF THE CITY OF GASTRONOMY, WHAT WE'RE PLANNING TO DO, WE KNOW WHAT SORT OF HUB WE ARE. WE KNOW HOW WE HAVE TO MAKE THIS FLAVOR, BECAUSE A LOT OF OUR FRIENDS UP FROM THE VALLEY DRIVE UP HERE TO GET HERE AND TO TAKE FLIGHTS.

UNTIL WE GET THAT FLIGHT, JEFF, FROM THE VALLEY TO SAN ANTONIO.

AND WE WANT TO MAKE SURE THAT WHEN THEY'RE HERE, IF IT'S JUST FOR A LITTLE WHILE, THAT THEY GET THAT SAN ANTONIO EXPERIENCE. I THINK WHAT YOU GUYS BOTH OFFER IS THAT. THAT SAN ANTONIO EXPERIENCE. IS THAT ABILITY TO BE IN THE CITY WITHOUT HAVING TO LEAVE THE AIRPORT. THE RETAIL, LIKE I'M JUST SO EXCITED ABOUT THE RETAIL. I GOT THESE EARRINGS AT DIWALI AT A FAIR.

IT WOULD BE SO GREAT FOR THEM TO WALK IN AND GET THOSE OPTIONS THERE.

AND RETAIL, I AM DEPENDING ON YOU THAT IF THOSE KIDS HAVE $5 LEFT OR $10 LEFT, THEY'RE SPENDING IT AT ONE OF THOSE STORES. AND I FEEL LIKE THE CONCEPTS YOU BROUGHT FORWARD, THAT'S GOING TO HAPPEN. AND I THINK THAT I'M REALLY EXCITED TODAY. I KNOW WE WANTED TO HAVE COMPETITION -- AND I

[01:25:04]

UNDERSTAND SELF-IMPOSED -- BUT I REALLY WOULD, ERIK, LIKE TO SEE YOU AND THE TEAM, SEE IF YOU COULD BRING US SOMETHING ON THE 21ST THAT SAYS HERE'S A SOLUTION THAT MEETS WHAT WE NEED AND WE DON'T HAVE TO TAKE ANOTHER YEAR TO GET THIS RIGHT BUT WE NEED TO GET THIS RIGHT. THANK Y'ALL SO MUCH FOR BEING HERE. I'M EXCITED. I THINK YOU HAVE DONE A GOOD JOB BUT I AM JUST -- IF WE'RE GOING TO DO THIS RIGHT, YOU CAN'T TELL ME THAT WHAT TOOK FROM OCTOBER 2023 TO NOVEMBER WE CAN DO IN FIVE MONTHS AND GET THE QUALITY WE HAVE. IT SOUNDS LIKE BOTH OF Y'ALL WOULD NEED TIME AND IT WOULDN'T BE FAIR IF WE TRIED TO RUSH THIS PROCESS. I'M LOOKING FORWARD TO GETTING SOME ANSWERS AND SOLUTIONS FROM YOU, ERIK. THANK YOU.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER VIAGRAN. COUNCILMEMBER

MCKEE-RODRIGUEZ. >> MCKEE-RODRIGUEZ: THANK YOU, MAYOR.

AND THANK YOU FOR THE PRESENTATION. CONGRATULATIONS AUDIO] I KNOW THIS WAS A VERY LONG PROCESS. I KNOW IT'S A LOT OF WORK THAT GOES INTO RESPONDING TO A SOLICITATION LIKE THIS AND SO THAT IS TO BE COMMENDED.

I KNOW IT TAKES A LOT OF STAFF HOURS TO THANK YOU TO EVERYONE WHO PLAYED A ROLE IN BOTH CREATING THE SOLICITATION AS WELL AS RESPONDING TO IT.

I'LL ECHO TWO DIFFERENT SENTIMENTS. ONE IS, HMM.

WHATEVER PROCESS WE TAKE I WANT TO BE FAIR AND I WANT IT TO FOLLOW BEST PRACTICES.

AND SO IF THAT MEANS THAT WE GO OUT FOR ANOTHER RFP, I DON'T KNOW THAT IT MAKES SENSE TO BE A HASTY ONE. THE SECOND PART OF THAT THOUGH IS I WOULD PREFER THAT IF WE FEEL LIKE WE'RE JUST GOING TO END AT ONE RESULT AND WE'RE DOING -- ISSUING ANOTHER SOLICITATION FOR THE APPEARANCE OF IT, I DON'T KNOW THAT I'M NECESSARILY COMFORTABLE WITH THAT. AND SO I'LL LEAVE ERIK WITH

THAT FEEDBACK. THANK YOU. >> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER MCKEE-RODRIGUEZ. COUNCILMEMBER CASTILLO.

>> CASTILLO: THANK YOU, MAYOR. THANK YOU.

I'M SO COLD. THANK YOU, JEFF AND JESUS FOR THE PRESENTATION.

AND, AGAIN, CONGRATULATIONS TO JESUS FOR BEING RECOGNIZED AS AVIATION DIRECTOR. THANK YOU FOR MAKING SAN ANTONIO LOOK GOOD AND TO YOUR ENTIRE TEAM FOR THAT GREAT WORK. IN TERMS OF THIS PROCESS, I JUST WANT TO COMMEND ALL THE FOLKS THAT HAVE BEEN CONSIDERED.

THESE ARE GREAT CONCEPTS. AS SOMEONE WHO WORKED IN THE HOSPITALITY INDUSTRY, IN MARKET SQUARE PARTICULAR, I KNOW WHAT TOURISTS ARE LOOKING FOR WHEN THEY SAY, OH, MARKET SQUARE IS ABOUT TO CLOSE, CAN I ORDER NOW, RUN TO MARKET SQUARE, COME BACK? BECAUSE MY FLIGHT IS GOING TO LEAVE OR MY TAXI IS GOING TO PICK ME UP. JUST SEEING THE OVERALL CONCEPTS THAT HAVE BEEN PULLED TOGETHER, I KNOW IT'S WHAT TOURISTS COME TO SAN ANTONIO TO LOOK FOR.

IT WILL GET THEM TO COME BACK. AND I'M REALLY EXCITED TO SEE ALL THE CHEFS THAT HAVE BEEN SELECTED AND THE RESTAURANTS.

THERE'S RESTAURANTS THAT I NOW NEED TO TRY. AND I'M ALSO VERY HUNGRY, LIKE MY COLLEAGUES, BASED OFF OF THE PRESENTATION. IN TERMS OF NEXT STEPS, I WOULD BE COMFORTABLE WITH WHAT STAFF IS RECOMMENDING ON THIS ITEM.

BUT ULTIMATELY I KNOW WHAT'S BEEN SELECTED IS WHAT TOURISTS COME TO SAN ANTONIO TO LOOK FOR IN TERMS OF SHOPPING AND EATING AND IT'S JUST EXCITING TO SEE THAT REFLECTED IN OUR AIRPORT. WHEN WE ALL GO TO AIRPORTS, WE WALK AWAY WITH A THOUGHT THAT AM I GOING TO WAIT UNTIL I LEAVE THE AIRPORT OR IF I'M GOING TO TRY IT.

I'M EAGER TO SEE ALL THE LOCAL CONCEPTS THAT HAVE BEEN SELECTED.

THOSE ARE ALL MY COMMENTS. THANK YOU FOR LOWERING THE AIR.

I FELT IT IMMEDIATELY. >> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER CASTILLO.

COUNCILMEMBER WHYTE. >> WHYTE: THANKS, MAYOR. I JUST WANT TO SAY THANK YOU TO JESUS AND HIS TEAM FOR ALL OF THE GREAT WORK. THIS IS EXCITING.

WE'VE GOT GREAT OPTIONS COMING FOR US IN THE AIRPORT.

YOU KNOW, WE ALWAYS SAY IT'S IMPORTANT FOR GREAT CITIES TO HAVE GREAT AIRPORTS, AND WE ARE CERTAINLY MOVING IN THAT DIRECTION. THANK YOU TO HOST, PARADIES , EVERYBODY OUT THERE THAT HAS PUT IN, APPLIED TO BE IN THE AIRPORT.

PUT FORTH THEIR PROPOSALS. THE MORE PROPOSALS WE GET, TO ME THE BETTER.

COMPETITION MAKES US ALL BETTER. I APPRECIATE ALL OF THAT AND I'M LOOKING FORWARD TO SEEING WHAT OUR AIRPORT LOOKS LIKE HERE IN THE

COMING YEARS. THANKS. >> MAYOR NIRENBERG: THANK

YOU, COUNCILMEMBER WHYTE. COUNCILMEMBER COURAGE. >> COURAGE: THANK YOU.

I WAS DOING A LITTLE MORE LOOKING AND, JESUS, YOU CAN TELL ME.

THESE TWO PACKAGES ALMOST HAVE THE EXACT SAME AMOUNT OF SQUARE FOOTAGE, RIGHT? AND THEY BOTH HAVE ABOUT THE SAME NUMBER OF SPACES TO BE DEVELOPED.

[01:30:01]

IS THAT CORRECT? >> SAENZ: THAT IS CORRECT. THEY'RE PRETTY CLOSE.

>> COURAGE: WHAT DO YOU THINK WAS THE DIFFERENTIAL BETWEEN THE $1.1 MILLION THAT ONE PACKAGE WAS OFFERING AS A RETURN TO US AND ANOTHER BEING ALMOST

$2.5 MILLION? >> SAENZ: IT GOES BACK TO WHAT YOU'RE PUTTING IN THOSE LOCATIONS, COUNCIL MEMBER. YOU KNOW, SOME MAY OFFER A FULL SIT-DOWN RESTAURANT.

THOSE AREAS VARY. TERMINAL B AND TERMINAL A TODAY ARE PRETTY CLOSE AND EVEN ON TRAFFIC. WE HAVE A LOT OF WORK TO DO AS WE MOVE FORWARD TO THE FUTURE AND WHAT THAT'S GOING TO TRANSITION, SOME OF THOSE FORECAST NUMBERS THEY PUT TOGETHER WILL VARY AS WE MOVE FORWARD. THEY MAY CREATE SOME OF THAT VARIATION. BOTH OF THOSE ELEMENTS, THE AMOUNT OF TRAFFIC MOVING THERE AND, TWO, WHAT ARE YOU SPECIFICALLY USING THE SPACE FOR AND WHAT TYPE OF PRODUCT

ARE YOU OFFERING. BECAUSE THEY VARY. >> COURAGE: OKAY.

WELL, YOU KNOW, I REALLY BELIEVE YOUR INITIAL IDEA OF HAVING COMPETITION BY NOT GRANTING BOTH AT ONCE SHOULD MAYBE GIVE US A BETTER RETURN.

I HOPE THAT, YOU KNOW, WE DO PUT OUT THIS RESOLICITATION. I HOPE IT MOVES A LOT FASTER THAN A YEAR. I HOPE IT MOVES FASTER THAN SIX MONTHS BUT I'LL DEFER TO MY OTHER COUNCILWOMAN WHO WANTS TO MAKE SURE THAT IT MAKES SENSE AND IT OFFERS THE BEST THAT WE CAN. AS I SAID, I'LL STILL BE SUPPORTING THAT.

I THINK IT'S THE RIGHT BUSINESS DECISION TO BE MAKING.

>> SAENZ: THANK YOU. >> MAYOR NIRENBERG: THANK YOU, COUNCILMEMBER COURAGE.

ANY FURTHER DISCUSSION ON THIS ITEM? AND, ERIK, I THINK WHAT YOU'RE HEARING FROM US IS THAT WHATEVER FORM THIS TAKES, IT TAKES NO LONGER THAN IT NEEDS TO BUT LONG ENOUGH TO MAKE THE RIGHT DECISION.

WITH THAT, I THINK WE ARE AT THE END OF OUR SPECIAL SESSION AT 12:37 P.M. ON THE 7TH OF NOVEMBER, 2024. WE ARE ADJOURNED. AND WE DO HAVE A 2:00 ZONING MEETING.

* This transcript was compiled from uncorrected Closed Captioning.