A San Luis Obispo company has signed a deal with the city of Paso Robles to be the full-service fuel operator at Paso Robles Municipal Airport.
Aviation Consultants Inc. has secured a three-year lease with an option to renew for up to 10 years at the airport’s existing jet center building for $8,500 monthly, or $102,000 annually, according to the city.
Last year, the firm was chosen as the business to continue fuel services that local businessman David Weyrich left behind when his Paso Robles Jet Center was evicted that April. Weyrich was nixed for not paying the lease and for having poor reliability.
In December, the Paso Robles City Council unanimously approved ACI’s business proposal to take over the operations on a regular basis. The parties then entered lease negotiations.
The council approved those terms at its June 7 meeting.
ACI also provides aircraft management and private jet charters at San Luis Obispo County Regional Airport, where it broke ground on a $10 million multiphase corporate jet center in 2010.
The move into Paso Robles is an expansion for the company with 65 employees, three of whom will staff the new location.
As part of the deal, the city will fund maintenance projects that had been deferred to the 18,000-square-foot jet center building. The project includes fixing the building’s siding and balcony railings, exterior paint and sprucing up the parking area and landscape. The city will also pay $150,000 to repair the self-service fuel island.
ACI will pay for new carpet, paint, window treatments, audio/visual installations and furnishings.
The agreement also provides for three- and four-year renewal terms to re-evaluate lease market rates and determine what rent adjustments may be appropriate, according to city documents.
“We feel that this airport’s potential has not been maximized during the past few years and we look forward to making it a vibrant resource that contributes to both airport users, and the entire Paso Robles community,” company President Bill Borgsmiller said in a statement.
The firm will also “take on the full rental liability of the facility,” according to the city.
ACI wants to sublease parts of the center to other commercial tenants such as a flight school or aircraft maintenance provider.
The move aligns with City Council goals to further develop the municipal airport and improve and expand its general aviation, commercial and visitor services.
The airport, off Highway 46 East, serves private pilots and emergency services. It doesn’t accommodate commercial flights.