Fee confusion delays eateries at JWA's new Terminal C
When John Wayne Airport unveils a $543 million airport expansion Nov. 14, passengers expecting to feast on new food options will instead face major hunger pains.
A majority of restaurants slated for the new Terminal C - including an Anaheim Ducks-themed bar - won't be ready when airport officials debut the multi-million project. Starbucks and one food stand will be open but others won't come on board until mid-December.
The delay is being blamed on previously undisclosed fees tenants must pay to the Transportation Corridor Agencies, according to food vendors and county officials. Carl's Jr., for example, had to pony up an extra $80,000 for the toll road agency before it could start construction, chain spokeswoman Beth Mansfield said.
Any airport expansion triggers development fees for the TCA because the project benefits from the San Joaquin Hills toll road. The fees, along with tolls, pay off bonds used to fund the road's construction. The dispute centers on how the fees were calculated.
Food vendors and county officials say the agency is charging tenants for public space they're not leasing.
"This is nuts," said Supervisor John Moorlach, whose district includes the airport. "This is not fair taxation."
Some tenants, including Carl's Jr. and airport food vendor HMS Host International, discovered the additional fee when they applied for building permits.
"Obviously it was an unanticipated cost," HMS Host spokeswoman Susan Goyette said.
HMS Host is responsible for bringing in most new restaurants to Terminal C, including Zov's, Jerry's Wood-Fired Dogs, Pei Wei, Pinkberry and Anaheim Ducks Breakaway Bar & Grill.
The company paid fees so it could move forward with construction. However, HMS Host filed an appeal with the TCA over its total charge. According to the TCA, HMS paid nearly $362,000 in "common area" fees.
Caterina's Candies and Carl's Jr. have also filed an appeal with the toll agency.
TCA spokeswoman Lori Olin said there should be no surprises about how the agency calculates its fees.
"During the last two years, TCA was in constant contact with John Wayne Airport and the County of Orange and offered to further communicate regarding development fees to possible tenants," she said. Ultimately, she added, it is the "airport's responsibility to relay" the fee structure to tenants.
Airport spokeswoman Jenny Wedge said TerminalC will open as planned Nov. 14 even though it's not completely finished.
Terminal C is the centerpiece of the Airport Improvement Program, which includes added parking and new terminal facilities.
