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Latest airport stumble on concession business

Why can't LAX put out a bid without some kind of controversy? This time, it involves a South Korean company that was on the verge of being dropped as a contender for a duty-free concession contract - until it was magically given a second chance by Major Villaraigosa during his recent trip to Asia. Other bidders are furious - they point out that Lotte Duty Free did not play by the original rules (it didn't attend a mandatory pre-bid meeting), so why should it be given special consideration? From the Daily Breeze:

Airport officials then took the unusual step of scheduling a second pre-bid meeting set for Tuesday, opening the competition to Lotte Duty Free and other retailers interested in running LAX's duty-free shops under a 10-year lease. "Our role is to promote competition and the city attorney constantly reminds us of that," said Steve Martin, chief operating officer of Los Angeles World Airports, the city agency that operates LAX. "We set out early in the process to expand the number of people who might propose," Martin said. "We don't intend to reduce the number of people playing in the game."

[CUT]

The airport has solicited bids and proposals for 871 projects since the start of 2009, according to records posted by the city's Business Assistance Virtual Network, a website devoted to helping contractors find work in Los Angeles. A second meeting or tour was held for only 10 small projects, such as replacing lights at LAX, salvage work at the shuttered Palmdale Regional Airport or pest control at LA/Ontario International and Van Nuys airports, which are also operated by the city of Los Angeles.

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