With Big Events Come Inevitable Special-event FBO Fees

With the New England Patriots and the Seattle Seahawks winning their respective NFL conference championships yesterday, the stage is now set for Super Bowl LX, which is scheduled to take place in the San Francisco Bay Area on Sunday, February 8.

The big game is once again expected to attract scores of private aircraft, which will likely face the now-standard special event fees some service providers impose on arrival—not just for the game itself but also the ancillary events in the preceding days. In anticipation of the increased traffic, the FAA has imposed regulations for private operators, with a slot system in place at 17 airports (two of which carry only avgas) in the region. It warned that slot reservations will be required for arrivals and departures during the peak period at those locations, even for “drop-and-go” scenarios.

The imposition of special event fees, particularly at the chain FBOs, is a relatively recent but pervasive development. Sporting events such as the F1 Grand Prix, Kentucky Derby, major golf tournaments, or even regular-season NFL games in some cities can engender the special fees, sparking concern among aircraft operators. “Within NBAA’s Business Aviation Management Committee, special event fees have become a growing topic of discussion as operators share a wide range of experiences and concerns,” said Jamie Muñoz, a committee member and general manager of the Galaxy FBO at Dallas Addison Airport (KADS). “The consistency, transparency, and predictability of these fees are increasingly being raised as areas worth continued dialogue.”

Certainly, typical market forces such as supply and demand are in play, as aircraft operators vie for parking at prime facilities in close proximity to Levi’s Stadium in Santa Clara or downtown San Francisco. At those fields, ground space will be at a premium during Super Bowl week, and those service providers will look to capitalize on that situation on the assumption that well-heeled customers will pay extra for the convenience and time savings those locations will provide, in lieu of having to drive up to an hour and a half to their aircraft. Yet, some FBO operators will certainly face additional expenditures as they look to handle the crush of what will be the busiest period they will see in years at those locations.

“We’re committed to maintaining exceptional service levels even during extreme peak event periods,” Rick Elieson, Signature’s senior v-p of guest experience, told AIN. “Event fees help to defray the cost associated with the additional staffing and equipment relocations.”

Elieson noted that his company is committed to being transparent about the special event fee costs, publishing them well in advance on its website. Signature posted a chart detailing the additional fees at its four FBOs in the area. At Norman Y. Mineta San Jose International (KSJC) Airport, they range from $18,785 for an ultra-long-range business jet, down to $3,675 for a single-engine turboprop such as a Piper M700. At San Francisco International (KSFO) and Oakland San Francisco Bay (KOAK) airports, they will charge between $12,805 and $2,500 for those aircraft, while at Hayward Executive (KHWD) Airport, the costs range from $5,655 down to $1,080. The company—which operates the world’s largest FBO network—will not impose any additional fees on piston-engined airplanes at any of those locations.

Atlantic Aviation, which has three facilities among the 17 slot-restricted airports, is only charging special event fees at KSJC, with a cost calculator built into the FBO’s webpage. According to the site, there will be a $33,480 event fee for Bombardier Global 7500s arriving that weekend, plus a $3,348 facility fee (the latter waived with a fuel minimum uplift), down to $4,210 for a Daher TBM single-engine turboprop (plus waivable facility fee). Unlike its rival Signature, Atlantic is assessing even light-piston operators a base $400 event fee.

At sparsely utilized Moffett Field (KNUQ), the total event fee is $15,000, regardless of size, but there are also landing, ramp, and remain overnight (RON) fees, which do vary by aircraft size.

Many other FBOs on the 17 airports will charge event fees during the mandated slot period, but their imposition can vary even among competitors on the same field.