The Austin City Council on Thursday made no decision on an airport contract for a passenger lounge amid concerns over the representation of disadvantaged business owners in the recommended agreement.
Representatives of the minority-owned business partnering with the second place bidder raised concerns that the group recommended for the contract had overestimated the involvement of disadvantaged businesses in their bid to create a shared use lounge at Austin-Bergstrom International Airport.
The council withdrew the contract item instead of awarding it to MAG USA, the top bidder in the contract to build a lounge in an area of the airport that previously housed administrative offices. No date was specified as to when the contract might come before the council again.
The second place bidder, Airport Dimensions, had shown a much higher participation by its minority-owned partner TES than MAG USA, according to a bid scoring sheet.
However, MAG USA promised nearly a guaranteed annual fee to the airport almost twice as large as Airport Dimensions' offer.
Both MAG USA and Airport Dimensions are subsidiaries of companies based in the United Kingdom.
The city is seeking developers for a shared-use lounge near Gate 16 in the Barbara Jordan Terminal. For a fee, customers would have access to their fill of food and drink, as well as other amenities such as meeting space and charging stations.
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