On June 27, 2016, the City Council approved Automobile Rental Concessions and Leases with five car rental concessionaires, one of which was DTG Operations, Inc.   DTG Operations, Inc. operates at the Airport as Thrifty Car Rental and Dollar Rent A Car.  The Concessions and  Leases became effective July 1, 2016 and continue through June 30, 2021.   DTG Operations, Inc. desires to sell all of its assets and assign and transfer its Concession and Lease to Overland West, Inc. DBA Thrifty Car Rental and Dollar Car Rental.  Overland West, Inc. intends to continue DTG Operation Inc.'s dual branded car rental operations at the Airport and assume all interests in the Concession and Lease.  The Asset Purchase Agreement between the two companies was implemented on July 31, 2017.   This Assignment and Transfer conveys all rights and interests of DTG Operations, Inc.'s Airport Car Rental Concession and Lease to Overland West, Inc. DBA Thrifty Car Rental and Dollar Car Rental.  A copy of the Assignment and Transfer is on file in the City Clerk's Office.  Overland West, Inc. presently operates at the Airport as Hertz Car Rental, and will continue this concession as a separate concession operation from the Dollar/Thrifty concession.

The City Council may:

• Approve the Assignment and Transfer of DTG Operation Inc.'s Concession and Lease to Overland West, Inc. DBA Thrifty Car Rental and Dollar Car Rental; or
• Not approve the Assignment and Transfer of DTG Operation Inc.'s Concession and Lease to Overland West, Inc. DBA Thrifty Car Rental and Dollar Car Rental.

 

There will be no financial impact to the City or Airport with this Assignment and Transfer.  The name of the concessionaire is the only change under this transaction.  All other terms and conditions of the Concession and Lease will remain unchanged.  A condition of approval of the Assignment and Transfer is that all fees and charges accrued by Lewis Transportation Group, LLC and due prior to December 1, 2013 are to be paid in full.  DTG Operations, Inc. will be responsible for all fees and charges incurred beginning December 1, 2013 through the end of the Concession and Lease.  There will be no financial impact to the City or Airport with this Assignment and Transfer.  The name of the concessionaire is the only change under this transaction.  All other terms and conditions of the Concession and Lease will remain unchanged.  A condition of approval of the Assignment and Transfer is that all fees and charges accrued by Lewis Transportation Group, LLC and due prior to December 1, 2013 be paid in full.  DTG Operations, Inc. will be responsible for all fees and charges incurred beginning December 1, 2013 through the end of the Concession and Lease.  There will be no financial impact to the City or Airport with this Assignment and Transfer.  The name of the concessionaire is the only change under this transaction.  All other terms and conditions of the Concession and Lease will remain unchanged.  A condition of approval of the Assignment and Transfer is that all fees and charges accrued by Lewis Transportation Group, LLC and due prior to December 1, 2013 be paid in full.  DTG Operations, Inc. will be responsible for all fees and charges incurred beginning December 1, 2013 through the end of the Concession and Lease.  There will be no financial impact to the City or Airport with this Assignment and Transfer.  The name of the concessionaire is the only change under this transaction.  All other terms and conditions of the Concession and Lease will remain unchanged.  A condition of approval of the Assignment and Transfer is that all fees and charges accrued by Lewis Transportation Group, LLC and due prior to December 1, 2013 be paid in full.  DTG Operations, Inc. will be responsible for all fees and charges incurred beginning December 1, 2013 through the end of the Concession and Lease.  There will be no financial impact to the City or Airport with this Assignment and Transfer.  The name of the concessionaire is the only change under this transaction.  All other terms and conditions of the Concession and Lease will remain unchanged.  A condition of approval of the Assignment and Transfer is that all fees and charges accrued by Lewis Transportation Group, LLC and due prior to December 1, 2013 be paid in full.  DTG Operations, Inc. will be responsible for all fees and charges incurred beginning December 1, 2013 through the end of the Concession and Lease. 
There will be no financial impact to the City or Airport with this Assignment and Transfer.  The name of the concessionaire is the only change under this transaction.  All other terms and conditions of the Concession and Lease will remain unchanged.  A condition of approval of the Assignment and Transfer is that all fees and charges accrued by Lewis Transportation Group, LLC and due prior to December 1, 2013 be paid in full.  DTG Operations, Inc. will be responsible for all fees and charges incurred beginning December 1, 2013 through the end of the Concession and Lease. Staff believes that if there is any financial impact to the City or Airport with this Assignment and Transfer it would likely be positive, due to past experience with Overland West, Inc.  The name of the Concessionaire is the only change under this Assignment and Transfer.  All other terms and conditions of the Concession and Lease will remain unchanged and will transfer to Overland West, Inc.  A condition of approval of the Assignment and Transfer is that all fees and charges accrued by DTG Operations, Inc. prior to the sale's closing date be paid in full.  Overland West, Inc. will be responsible for all fees and charges incurred beginning with the closing date of the sale through the end of the term of the Concession and Lease.

Staff recommends that City Council approve the Assignment and Transfer of the Automobile Concession and Lease from DTG Operations, Inc. to Overland West, Inc. DBA Thrifty Car Rental and Dollar Car Rental.