Consent 1.B.
City Council Regular Business Meeting
- Meeting Date:
- 09/28/2026
- TITLE
- Billings Airport Securities in Lieu Agreement
- PRESENTED BY:
- Jeff Roach
- Department:
- Airport
Presentation:
No
Legal Review:
No
Project Number:
N/A
RECOMMENDATION
Airport staff recommends City Council approve the new attached contract agreement between Martel Construction, First Western Trust Bank, and the City of Billings-Billings Logan International Airport. This agreement will place a retainage percentage of funds in a third party location until the completion of the Terminal Ticketing and Baggage Claim project.
EXECUTIVE SUMMARY
This contract agreement will place retainage funds in the amount of 5% of each payment into a secure account with First Western Trust Bank until the completion of the Terminal Ticketing and Baggage Claim project. Both Martel and the Billings Logan International Airport will be named on this account, but neither entity will be able to withdraw funds from this account without the consent of City Council. Any interest accrued in this account will become income for Martel upon the completion of the project. Retainage funds encourage successful completion of the project by the construction contractor.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
Billings Logan International Airport entered into a contract with Martel originally on September 22, 2025, to work on the Terminal Ticketing and Baggage Claim remodel project. This project is expected to take two years to complete.
FISCAL EFFECTS
There are no fiscal requirements in consenting to this agreement.
STAKEHOLDERS
ALTERNATIVES
City Council may;
- Approve the Martel contract agreement or;
- Reject the agreement and provide further direction to staff.