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The Salt Lake City Department of Airports said Wednesday that it will temporarily take over and operate general aviation services, such as fueling, maintenance and hangar rental, at its South Valley Regional Airport in West Jordan.
That came a day after a meeting with about 100 pilots who are upset that the city is ending a contract for those services at the regional airport with Leading Edge Aviation.
Leading Edge says the city is being a bit too greedy in what it seeks in a new 20-year contract, and wants the firm to invest more than it can afford in new facilities.
The city says it needs a contractor who is willing to provide more hangars for growth, but Leading Edge was the only company to bid for the new 20-year lease. The city said it will issue a new request for proposals next week.
Airport spokeswoman Nancy Volmer issued a statement saying the airports department "has decided to self operate the facility in the interim until another provider is selected" for a long-term contract.
"Airport personnel will be providing some of the services at South Valley Regional and other services may be contracted out. Our goal is to provide a seamless transition as we move forward in the solicitation process."
The airport also said, "Moving forward, we will be looking for the right service provider in order to meet the future needs of the Salt Lake City Department of Airports, South Valley Regional Airport tenants and customers."
It added, "We are confident that this is the best direction to take and look forward to working together with the tenants and customers at South Valley Aviation during the transition period.
Before Leading Edge took over operations at South Valley Regional, six of the seven previous contractors there went bankrupt. Pilots said the company vastly improved services during its five years of operations, and still managed to make ends meet. Without the firm, they worry about the future of the airport.
The contract with Leading Edge expires on May 15, although its president has said he may bid again for the long-term contract — with hopes that the city may offer more reasonable terms.
However, the city has said it also needs better terms than Leading Edge offered as the city subsidizes the airport by about $1 million a year.