City councilors will vote on a resolution later this month approving the incurring of indebtedness by the trustees of the Tulsa Municipal Airport Trust for up to $375 million for improvements to American Airlines maintenance base.
The funds will be used to finance, refinance and reimburse the costs of the work.
The resolution was mistakenly placed on Wednesday night’s council agenda but was pulled prior to the meeting.
“This authorizes them to go out to market and to actually sell the bonds,” said Kian Kamas, the city’s chief of economic development.
The bonds are not an indebtedness of the state of Oklahoma or the city of Tulsa, nor are they secured by airport revenue, according to information provided to the City Council on Wednesday morning.
American announced in February that it planned to spend $550 million on new improvements at its Tech Ops-Tulsa maintenance facility.
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The airline provided councilors with a list of more than 20 initial projects totaling $234.6 million that will be funded through the sale of revenue bonds. They include work on hangars, water and sewer line replacement, the reroofing of the facilities maintenance building, and replacement of the base’s fire system alarm.
“The fact that they are investing in excess of $200 million in the base I think really signals that they are committed to being here,” Kamas said. “It is one of the few places that they are investing in in their entire global operations because they recognize the importance of the maintenance base and the work that is done in Tulsa.”
American moved its maintenance facility from LaGuardia Airport in New York to Tulsa in 1946. Spanning more than 240 acres, with 22 buildings on the main base, it is the largest commercial aviation maintenance center in the world.
Kamas said the city is proud of the partnership it has established with American and that it is glad to be able to work with the airline to maintain its strong presence in Tulsa.
“I think they know and understand that the success of Tulsa equates to the success of American Airlines long term,” Kamas said. “It has been a long couple of months of work trying to figure out how we help them move forward, but we are excited to finally be at this point.”
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Gallery: A look inside the largest aircraft maintenance facility in the world
Photos: A look inside the largest aircraft maintenance facility in the world
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work continues on a Boeing 777 at the American Airlines hangar repair base at Tulsa International Airport on March 11.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
John Douglas works on an engine at the American Airlines hangar repair base engine repair building at Tulsa International Airport in March.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work continues on a Boeing 737 at the American Airlines repair base at Tulsa International Airport on March 11.
The American Airlines hangar repair base engine repair building at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
John Douglas works on an engine at the American Airlines hangar repair base engine repair building at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
The American Airlines hangar repair base engine repair building at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Craig Sully talks about the work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Maurice Mayes cleaning a Boeing 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Workers perform maintenance on a Boeing 737 at the American Airlines hangar at Tulsa International Airport in March.
John Douglas works on an engine at the American Airlines hangar repair base engine repair building at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
The American Airlines hangar repair base engine repair building at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Employees work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport on March 11.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Airliner engines await work at American Airlines’ maintenance base at Tulsa International Airport.
Samuel Ganawah works on a 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
The American Airlines hangar repair base engine repair building at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Part of the tail of an American Airlines jet sticks out of the hangar at Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
A look at engine repair at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
A look at engine repair at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 737 at the American Airlines Hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines Hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
A look at the American Airlines Composite Repair Center in Tulsa, Oklahoma, March 11, 2020.
Bill Epperson talks about flight controls at the American Airlines Composite Repair Center in Tulsa, Oklahoma, March 11, 2020.
Work on a 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
A look inside the American Airlines Composite Repair Center in Tulsa, Oklahoma, March 11, 2020.
A look inside the American Airlines Composite Repair Center in Tulsa, Oklahoma, March 11, 2020.
A look at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Lonnie Sickles cleaning a Boeing 737 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Don Lake (left) and Tom Schlabaugh work on a Ray Dome at the American Airlines Composite Repair Center in Tulsa, Oklahoma, March 11, 2020.
A look at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
Work on a Boeing 777 at the American Airlines hangar repair base at the Tulsa International Airport in Tulsa, Oklahoma, March 11, 2020.
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