Council committee hears American Airlines base revitalization update, bond plan up to $500 million

Tulsa International Airport officials and representatives from American Airlines presented a multi-year plan to revitalize the airline’s maintenance base in Tulsa and described a related city resolution to allow trustees of the Tulsa Municipal Airport Trust to issue revenue bonds in an aggregate principal amount not to exceed $500,000,000 for the “American Airlines Inc. Project.” Alexis Higgins, chief executive officer of Tulsa International Airport, told the committee American is “our largest tenant” and that the company “provide[s] critical air service to Tulsa” and is a decades‑long employer in the city.

The presentation explained that American’s overhaul program addresses aging infrastructure across a 3,300,000‑square‑foot maintenance campus spread over about 246 acres and 22 buildings. Mike Long, a project manager in American’s corporate real estate department, described completed work and future investments, saying the airline’s board previously authorized $369,000,000 for property improvements and that roughly $208,000,000 has been spent to date. Long said the remainder of the program is expected to be spent through the end of 2027 to maintain operations that support the airline’s system.

Committee members were briefed on a city resolution that would: authorize issuance and sale of trustees’ revenue bonds for the project in an amount not to exceed $500,000,000; approve execution of a second amendment to an amended and restated sublease between the trustees and American Airlines dated Feb. 15, 2022; and approve waiver of competitive bidding and an emergency clause. Council members were reminded that waiving competitive bidding and the emergency clause require supermajority votes under city and state rules.

The revamp program presented by American described extensive work on building systems (electrical distribution, fire water, roofing and boilers), mechanical systems (cooling towers and engine maintenance equipment), and shop modernization. Long said the maintenance operation in Tulsa performs heavy maintenance—engine and structural work, interior modifications and wheel and brake overhauls—and that the property’s infrastructure “had evolved over many decades,” leaving capital needs across several categories.

Council members asked about why the competitive‑bidding waiver was included in the resolution. City staff explained that the Tulsa Municipal Airport Trust (TMAT) has two procurement options: a published competitive process (with public notices) or an open solicitation to the entire market that, under TMAT’s practice, is sometimes used in place of a formal competitive bid publication. Committee members also asked about local job counts; Long said American employs roughly 5,000 people in Tulsa and described three off‑site facilities (a wheel and brake center, Hangar 80 and a composite repair center) in addition to the main base.

No formal vote was recorded at the committee meeting; the resolution was described as “on for the second” reading and will return to the council with the request for the emergency clause and bidding waivers. Committee members and staff flagged the supermajority thresholds required by council rules and discussed the timeline for council action.

If approved at council, the resolution would permit the trustees of the Tulsa Municipal Airport Trust to issue the revenue bonds and execute the sublease amendment. The committee did not adopt any final action at the meeting; the resolution will proceed through the council’s normal second‑reading and adoption steps with required supermajority votes.