a five star parking proposal for indianapolis international
TRANSCRIPT
Request For InformationMarch 26, 2008
ATLANTA • BOSTON • CHICAGO • CINCINNATI • CLEVELAND • COLumBuS • DENVER • JACkSONVILLE • LAS VEGAS LOS ANGELES • LOuISVILLE • mILwAukEE • NEw JERSEY • NEw ORLEANS • NEwpORT (kY) • NEw YORk • OAkLAND ORLANDO • pHILADELpHIA • SAN DIEGO • SAN FRANCISCO • SEATTLE • SHREVEpORT • SpRINGFIELD • TAmpA • TuLSA
A Five Star Parking Proposal for
IndIanapolIs InternatIonal aIrport parkIng system
5 stars...the international symbol of excellence, of quality, and meticulous attention to detail.
Five Star Parking is re-defining the very concept of parking management.
515 South Flower Street
Suite 3200
Los Angeles, CA 90071
(213) 627-8211
www.FiveStarParking.com
A Five Star Parking Proposal for
INDIANAPOLIS INTERNATIONAL
AIRPORT PARKING SYSTEM
JUNE 00, 2009
MARCH 26, 2010
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March 26, 2010
Mr. Jerry Wise
Treasurer
Indianapolis Airport Authority
7800 Col. H. Weir Cook Memorial Drive, Suite 100
Indianapolis, IN. 46241
Dear Mr. Wise:
I would like to express my appreciation to you for giving Five Star Parking the opportunity to
submit a response to this Request for Information for the Parking System at Indianapolis
International Airport. Five Star Parking has been providing professional parking management
services at airports for more than 28 years, and have always viewed ourselves not only as those
airports’ parking contractor, but their partner as well, providing the highest level of customer
service and stringent revenue controls. We sincerely hope to have the opportunity to extend that
type of partnership to the Indianapolis Airport Authority.
When choosing a professional management company for the Indianapolis International Airport
Parking System, the airport must determine the management qualities that would best fit the
needs of the overall operation, and the company that has the ability to provide stellar customer
service to the public. We believe that our proposal demonstrates we encompass those qualities
that will best suit the needs of Indianapolis International Airport.
Our proposal highlights the strengths of our company:
Qualifications: Our “family” of parking companies’ more than fifty year overall history, coupled
with our more than twenty eight years as a contractor at airports, is both unprecedented and a
testament to our strength, integrity and unique qualifications.
Approach to Providing Required Services: The overall management structure contained in our
proposal is drawn from our years of experience, both at our airport contracts and various other
operations nationwide, and do not simply meet the standards set by the Indianapolis Airport
Authority, but clearly exceed them. Our effective internal programs and lean corporate structure
Letter of Introduction
Executive Summary
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allow us to pass through to the Indianapolis Airport Authority significant savings, which are
reflected in our proposed costs.
Financial Strength: Five Star Parking’s significant financial standing is a key component in any
contract with public agencies, assuring fiscal security and longevity.
Ownership Approach to Parking Facility Management: We are the only parking management
company that also owns and builds a significant portfolio of parking structures throughout the
country; as such, our approach to the management of parking facilities is based on years of
experience as a property owner, which is a unique attribute among parking management
companies.
Items Not Contemplated in the RFI: As a privately held company, we are able to “think outside
the box” and can propose items to the Indianapolis Airport Authority that will both enhance the
airport’s image and level of service to the public, and may generate additional untapped
revenues. With our involvement in the competitive off-airport market across the country, we
have clear understanding of what factors determine the selection of the parking services of
choice for airport patrons. We will bring this experience to Indianapolis International Airport.
We are committed to the use of proven technology to reduce costs and to enhance the parking
experience of your patrons.
Finally, we would like to take this opportunity to pledge our steadfast assurance to the
Indianapolis Airport Authority that Five Star Parking, including its owners, managers and staff,
will always provide services and perform our duties under the terms of the contract in only the
utmost transparent manner, adhering to our long-standing dedication to ethics in public
contracting.
We look forward to showcasing the exemplary service that has defined our company name for
more than 28 years. Please consider Five Star Parking as the favorable match for the
Indianapolis International Airport Parking System.
Sincerely,
D. Scott Hutchison
Senior Vice President
Five Star Parking
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A. Company Profile
B. Background / Experience
C. Qualifications
D. Proposed Contract Structure
Table of Contents
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1.) Name and contact information (address, phone, fax, and email) for the individual who will
act as the respondent’s principle contact throughout the RFI process and description of the
individual members of the respondent’ team with experience related to the objectives of the
Authority as described in the RFI.
Five Star Parking
515 South Flower Street Suite 3200
Los Angeles, CA 90071
D. Scott Hutchison
Senior Vice President
213-784-3011 Office
213-784-3012 Fax
801-870-9648 Cell
We are firmly committed to providing the Indianapolis Airport Authority (IAA) with the highest
possible level of professional service. This means first and foremost being responsive to the
needs of the IAA. It is our belief that those needs will be best met through our professional
management and operation of the facilities. We will do this by providing the IAA with:
Excellent customer service
Strong revenue control
Professional managers and supervisors
Well-trained personnel
Clean, safe and aesthetic parking facilities
Strict adherence to approved budgets and staffing plans
Logical and fare Incentive Program
Accurate revenue collection and accountability
Safety in the workplace
Company Profile
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These goals are complex and challenging, but entirely attainable. With experienced and
motivated managers, we hope to build a long-term partnership with IAA, and develop a parking
system program that will be the envy of airports everywhere. The long-term key to operational
success can be found in the fundamental operating practices that we utilize in our various airport
parking operations, with improvements and modifications tailored to the unique attributes of
Indianapolis International Airport (IIA). A combination of the time-tested fundamentals we have
developed, along with specific modifications, will result in a successful parking and shuttle
operation.
Management Structure
Five Star Parking will provide IIA with a proven management structure that combines the
rigidity required for proper revenue accountability with the flexibility needed to respond to the
dynamic daily demands of an airport parking service. Our structure will provide IAA with a
complete staff of proven professionals at a corporate level in disciplines ranging from accounting
to human resources. We will provide policies developed throughout our over 50 years of parking
management history. However, we understand the need to manage in the real world of daily
parking, and as such empower our General Manager with the ability to operate in accordance to
daily operational needs. All variances to established policy must be noted in summary and detail
and are subject to review from both senior management and our independent audit department.
Managers and Supervisors
The role of managers and supervisors in any Five Star Parking operation is considered vital and
key in the success of providing outstanding customer service to both our internal and external
customers on a daily basis. These individuals usually serve as the key point of contact for
patrons, subordinates, upper management and administrators of the facility. Their ability to
handle real-time issues by using good judgment, along with an ability to follow procedure, is
tantamount to having a well run operation. A comprehensive development plan to ensure that
the individuals in this position have and continue to gain the necessary leadership skills for
success is therefore mandatory.
Our Management and Supervisory Guidance include Manager’s Training, which is a
comprehensive training program that we require all management and supervisory personnel to
complete within six months of their employment. The program is an eight hour, off site
classroom style training session, that focuses on developing core competencies for managers.
Some of the topics covered include learning how to manage others, conflict resolution, effective
discipline, leading and motivating employees, safety training, managing diversity and customer
service.
In addition to the Manager’s Training, managers and supervisors will receive on-going, on the
job training, to learn the various facets of the parking operation. The supervisors will be trained
in on all aspects of the operations and receive specific training in key frontline job functions such
as cashiering. In addition, the Facility Manager will conduct regularly scheduled meetings with
the management and supervisory staff to allow an open dialog to discuss issues, questions,
concerns and challenges that may be hampering the operation or their development. Our goal is
to foster an open environment that allows the development and internal growth of employees at
every level of the organization.
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Managers and Supervisors will also receive a bi-annual performance review. This review
program discusses overall performance in key areas, noting commendable actions as well as
areas for improvement. A plan of action will be agreed upon regarding any areas noted as
needing improvement, and a course of action will be implemented to resolve any perceived
deficiencies. Benchmarks are established based on these reviews, and improvements are tracked
and rewarded through the incentive program and merit increases.
We value input from management in all areas, including their performance. Therefore, we
require all managers and supervisors to complete a self assessment. The self assessment allows
an individual to critique his/her own performance. The self assessment is structured around core
competencies that are required of our staff, and each core competency is assigned a value. They
must evaluate themselves based on the core competencies outlined in the self assessment. The
individual’s immediate supervisor reviews the self-evaluation and incorporates the feedback
from the assessment into the performance review. This shared approach encourages ownership
of the development plan that is derived from performance review
Each of our executive and management personnel that will be working with the IAA is a proven
professional in the airport parking and transportation industry. We clearly understand that
experience is held by individuals, not just by companies, and as such we have aggressively
sought out and have hired some of our industries most talented and experienced transportation
and parking professionals. Following we will introduce the corporate and management team that
will be working with IAA.
EXECUTIVE TEAM
Mr. David Damus is our Chief Executive Officer, and oversees and is
ultimately responsible for the healthy management and growth of the
company. Unlike the CEO’s of some larger, publicly traded parking
companies, he is actively and “hands-on” involved in many of the day-to-
day aspects of the company, including direct interaction with General
Managers and regular dealings with clients at many of our contracts,
including our airport contracts. This style of management has allowed
Mr. Damus to gain a direct understanding of the complexities of airport
parking services, and has given him the ability to forge close personal
relationships with airport staff at such entities as Los Angeles World
Airports and The Port Authority of New and New Jersey, to name a few.
Mr. D. Scott Hutchison is our Senior Vice President, and will be our
designated account executive for IIA. Mr. Hutchison will be directly
responsible for the transition of the operations from the exiting parking
management firm. With Mr. Hutchison, the IIA will be gaining one of
the truly professional airport parking and transportation service
executives. For more than 23 of his 31 years in the parking/transportation
industry, Scott has been involved in the airport industry. As Scott has
been the parking manager at both the Salt Lake City International Airport
and the Phoenix Sky Harbor International Airport, he has the on-the-
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ground experience in the dynamic airport services that allow him to plan for the success of his
operations.
During his career as an airport parking/transportation executive, Scott has been responsible for
airport parking and shuttle services in nearly every airport market type. Scott has overseen the
parking and/or shuttle services for airports such as Los Angeles International Airport, San
Francisco International Airport, Denver International Airport, Ontario International Airport,
Oakland International Airport, John Wayne International, Salt Lake City International, Phoenix
Sky Harbor International Airport, Long Beach Airport, Boise Air Terminal, Oklahoma City’s
Will Rogers World Airport, Wichita Mid Continent Airport and the Port Authority of NYNJ
Airports.
His experience in combined parking and shuttle operations include the Denver International
Airport where the parking service collected more than $100 million in annual revenues, while the
shuttle service carried more than 5 million passengers a year. Other airports with combined
services include Ontario International Airport, Boise Air Terminal and Oklahoma City’s Will
Rogers World Airport. In every airport that Scott is responsible for he stresses customer service,
revenue integrity and employee safety. In his career, Scott has developed programs in each of
these airports that have become industry standards. Scott is a member or affiliate member of the
following organizations: AAAE, ACI-NA, and IPI where he currently serves on the Board of
Advisors and NPA where he is a member of the Board of Directors.
Mr. Gary Gower is the Senior Vice President and CFO of Five Star
Parking. Gary has over 20 years of financial experience in the parking
industry. Gary is responsible for oversees accounting, auditing, payroll,
financing, and reporting functions. Prior to joining Five Star Parking Gary
was Director of Fleet Services (Treasury) for ABM Industries and Vice
President & Assistant Secretary for Ampco System Parking. Gary also has
served as Ampco’s Controller, Chief Financial Officer and Vice
President/Regional Manager of the Southern California region. Prior to his
tenure at ABM, Gary was a Senior Property Manager at Cushman and
Wakefield and he worked at the Atlantic Richfield Company where he had
numerous financial roles including oversight of a major real estate subsidiary. Gary brings
extensive expertise in mergers and acquisitions, public and private financings, and corporate
governance and regulatory compliance issues. Gower has a Bachelor of Business Administration
(BBA) with an Accounting Major, Peter Drucker
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Ms. Venishia Price is our Vice President of Human Resources, and has
more than eleven years experience in the Parking Industry. Ms. Price
provides human resource support and oversight for contracts at such
airports as McCarran International Airport, Oakland International Airport,
Newark Liberty International Airport, LaGuardia International Airport
and JFK International Airport. Ms. Price's key areas of focus are
employee/labor relations, recruitment/succession planning, organizational
development, and conflict resolution and labor law/contract compliance.
Mr. Cary Burnett is our Airport Region Operations Manager. A proven
veteran of the airport parking industry of more than 21 years, Mr. Burnett
has worked in virtually all capacities and has a thorough understanding of
airport parking operations. Most recently Cary was the parking General
Manager for the Salt Lake City International Airport (SLC). During his
tenure with SLC, Cary worked closely with the airport in the development
of new parking facilities. He was a key member of airport staff that
selected a new Parking and Revenue Control System (PARCS), and
oversaw installation of the system which introduced new exit products to
airport patrons. He worked closely with staff in promoting and marketing
the express parking functions which have significantly eased the payment and exit process while
reducing overall staffing costs. Cary has oversight of other airport parking operations such as the
Oakland International Airport and McCarran International Airport Valet parking. Mr. Burnett
will provide a dependable resource that our General Manager will be able to rely on for
immediate support. Cary is a member of ACI-NA, AAAE and IPI.
Mr. William Francis serves as Vice President of Revenue Controls and
Internal Auditing for Five Star Parking. Bill is well known in the parking
industry through his previous role as department head for the Parking
Operations Consulting Group for Walker Parking Consultants. In his role
with Walker he managed its consulting and auditing services for Walker
offices nationwide including Los Angeles, Philadelphia, Chicago, and
Houston. Bill is a highly regarded expert in parking operation audits,
parking operation analysis, RFP consulting, due diligence studies, and
financial feasibility studies.
Previous to his prior position with Walker Parking Consultants where he had been for the last 12
years, Bill operated his own auditing and consulting company, William Francis & Associates.
Bill had also served with International Parking Design as Director of its operations consulting
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practice. Bill has a Degree in Political Science from California State University Long Beach,
and a Master’s Degree in Public Administration from the University of Southern California.
The following identifies our local and off-site management duties and responsibilities, by
individual position, as they relate to our airport operations.
Senior Vice President
Reports directly to FSP CEO and designated IIA Management, is the contract executive with
overall responsibility of providing contract compliance and oversight. This position will be
responsible for the smooth transition to the new operator. This position will meet regularly with
IIA staff to ensure that FSP is providing the very best service. This position will monitor daily
operationally trends and prepare detailed responses to all internal operational and accounting
audits. Copies of all responses will be provided to IIA. This position will select and train a
venue specific General Manager and ensure that this position has complete understanding of
venue and corporate policies, practices and procedures.
Vice President Revenue Controls and Auditing
Reports directly to FSP CFO, is responsible for management and oversight of on-site and
corporate audit of parking revenues and collection practices. This position will also administer
our independent third party “Secret Shopper Program.” Submits reports on audit and secret
shopper program directly to CFO with copies to assigned executives and clients.
Airport Region Operations Manager
Reports directly to FSP SVP and provides operational support to airport operations. This position
will make regular visits to each airport, not less than monthly unless otherwise directed by
airport staff. Working with the SVP, this position will monitor daily operationally trends and
prepare detailed responses to all internal operational and accounting audits. Copies of all
responses will be provided to IIA. This position will train the selected venue specific General
Manager and ensure that this position has complete understanding of venue and corporate
policies, practices and procedures. This position will develop other staff desiring to move into
management positions.
Facility Manager (FM)
Reports directly to FSP Airport Regional Manager and works an assigned shift compatible with
key Airport management staff. This position is the most senior on-site position with overall
responsibility for the successful operations of the parking and shuttle service. This person is the
point of contact with the Airport for all contractual, administrative and operational issues. This
position will have full authority to act in behalf of the company in all matters relating the
selection of and performance of sub-contractors and is the company’s senior on-site
representative in issues relating to labor. This position is responsible for providing a safe and
harassment free environment for all employees, sub-contractors and customers.
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Deputy Facility Manager
Reports directly to the Facility Manager. This position works a shift opposite of the FM and is
the empowered to act on behalf of the company in making daily operational decisions. This
position will ensure that all required parking positions are properly staffed and that all employees
are wearing the proper uniform for the assigned shift. This position is responsible for the smooth
flow of traffic into, out of and within all parking facilities for the assigned shift. This position is
responsible for providing a safe and harassment free environment for all employees, sub-
contractors and customers.
Auditing & Administrative Clerk
Reports directly to the Facility Manager and Deputy Facility Manager, and will assist in the
duties of all Human Resource matters. This position will assist in the preparation of all daily,
weekly, monthly and annual revenue reports and will oversee the auditing of all shifts and ensure
that Pre-Audits, Primary Audits and spot and surprise audits are being performed. This position
will prepare daily, weekly and monthly audit reports.
Operation Supervisor
Reports directly to the Facility Manager, and will cover all shifts that will provide coverage for
day or evening shifts not covered by either the FM or DFM. This position will ensure that all
required positions are properly staffed and that all employees are wearing the proper uniform for
the assigned shift. This position is responsible for the smooth flow of traffic into, out of and
within all parking facilities for the assigned shift. This position is responsible for providing a safe
and harassment free environment for all employees, sub-contractors and customers during their
assigned shift. This position will assist the FM to ensure that all audits are done for each shift.
This position will assist the FM to ensure that all proper maintenance is being done on each
shuttle vehicle.
Inventory
Reports to the senior personnel on the evening shift when clocking in to work and to the senior
personnel on the day shift when clocking out. During the “graveyard” hours in absence of other
management or supervision, this position is the senior person on site. However, as the Parking
Lead, this position will not be responsible for shift report review, cashier check in and checkout,
or shift audits; these tasks will be the responsibility of the management or supervisory personnel
prior to or immediately following the shift. As Inventory, this position is responsible for the
accurate collection of vehicle inventory data and the review of such data. This position will assist
in keeping the parking area clean and free of any garbage.
Cashier/Attendant
Reports directly to the senior personnel of their assigned shift. This position works multiple
shifts 24 hours each day of the week. This position is responsible for the courteous greeting of
customers and the accurate processing of parking transactions. This position is also responsible
in assisting customers using the cashier-less pay in lane services.
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Shuttle Drivers
Report directly to the senior personnel of their assigned shift. This position works multiple shifts
24 hours each day of the week. This position is responsible for the courteous greeting and safe
transportation of customers to and from the parking areas. This position will ensure that the
shuttle vehicle is kept clean and free of debris at all times and is operated in a safe and friendly
manner. Any shuttle service or maintenance items will be reported to the supervisor as soon as
they are noticed. This position will also assist in the security and cleanliness of the parking areas,
by observing for any suspicious or unsafe practices and for debris that need to be taken care of.
Shuttle Maintenance
Reports directly to the shuttle supervisor for their assigned shift. This posit ion will maintain and
track the repairs and service of all shuttle and service vehicles. This position will do all light
maintenance onsite consisting of oil changes, tire changes, light bulbs and the cleaning of
vehicles. This position will also assist in the maintenance and up keep of the revenue control and
the snow removal and ice melt placement.
Valet Attendant
This position will report directly to the parking supervisor for their assigned shift. This position
will provide the customer with a safe and fast drop off and return of their vehicle. This position
will ensure that the customers vehicle is kept in a safe and damage free manner.
Customer Service
This position will report directly to the parking supervisor for their assigned shift. This position
will assist the customer in locating their vehicle. They will assist those customers in the garage
areas that need a ride to the terminal. They will assist the customer in battery assists, tire
inflations or any other service that needs to be provided. This position will patrol the parking lots
in the golf cart and remove trash and debris.
Facility Maintenance
This position will report directly to the Operations Supervisor. This position will ensure that all
areas of the parking, shuttle and taxi are clean and free of debris and trash. They will ensure that
all areas are free and clear of snow and ice.
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2.) A description of the respondent’s technical and practical experience which demonstrates the
respondent’s ability to advance the objectives of the Authority.
Background and Experience
Over the past 28 years, Five Star Parking has become industry leaders, responsible for nearly
$500 million in annual receipts. Established in 1982, we currently employ a staff of nearly 5,500
employees nationwide, and manage a full spectrum of parking and shuttle venues including
airports, mixed-use developments, municipal parking facilities, convention centers, office
buildings, shopping centers, entertainment facilities, and museums, along with providing parking
management services for special events.
We have established management procedures and revenue controls that are currently used
nationwide at major parking operations, including airports. Our growth is a result of the
collective strength and experience of the principals, working together with managers who
respond creatively to problems and challenges. This team approach has created a company
unparalleled in today’s parking industry.
Five Star Parking is part of the L&R Group of companies which includes Joes Auto Parks,
Network Parking, Wally Park and System Parking. We are a privately held, third-generation
family business; this is a unique qualification among the larger national parking operators (the
majority of whom are publicly-traded companies), allowing the Airport Authority staff immediate
communication, service, and consultation with our principals. Our ability to professionally
manage large-scale parking operations stems from our longevity and experience in the parking
industry, coupled with a historical company emphasis on contracting with public entities. This
experience translates to an intimate familiarity with the operating requirements of large-scale,
publicly-owned parking facilities such as airports.
At our inception, we set out to provide a high degree of service to the airport parking industry.
Throughout the years, we have consistently exceeded the exacting demands of dynamic parking
services in many of the nation’s busiest airports. We have developed strict procedures that
maximize the collection of parking revenues, coupled with transparent accounting procedures
that provide full disclosure of revenue collections and reconciliations. We strive to accomplish
the entire revenue collection and deposit process in a manner that provides a safe environment
Background / Experience
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for our employees, with procedures that protect the integrity of our company and the revenue of
our clients. We have been able to successfully integrate our historical fiscal procedures with the
proven success and creativity of some of the industry’s most experienced parking professionals.
The result is an airport parking service provider that is not just on the leading edge, but is leading
the way to the future of airport parking.
The ability to successfully and professionally operate some of the nation’s largest airport parking
operations can be attributed to our longevity and experience in the parking industry. Over the
years, entities from coast to coast have consistently awarded, and re-awarded to us, the
management contracts for some of the largest airport parking operations in the country. We have
provided parking management services for such diverse public agencies as the City and County
of Los Angeles, Ontario International Airport, the Federal Government, the Port Authority of
NY&NJ, the City of Philadelphia, the State of California, the City and County of San Francisco,
the City and County of San Diego, the City of San Jose, and the City of Oakland, Clark County
Las Vegas Nevada.
At all of these contracts we provided labor, management, supervision, training, uniforms, equipment,
maintenance, material and supplies, and performed all the necessary requirements to run a smooth,
efficient, customer service oriented and professional parking operation. Our responsibilities consisted
of, among other things, collecting parking revenues and assisting customers with quick and accurate
transactions resulting in easy exiting from the airport parking facilities. At several of our Airport
contracts we have assisted the Airport in transitioning from one parking revenue equipment provider to
another.
Our success as a company is not new; an example of our longevity in the industry can be seen in
the fact that we have been a service contractor with the Port of New York and New Jersey since
1984, and remain their longest standing service provider under contract. Throughout, we have
always been considered a partner in solving operational problems, while providing the highest
level of service to the Port’s airports and patrons. Indeed, in 2006 we were recognized with the
“Best Performance by a Port Authority Contractor for Customer Care” award for our operations
at JFK. The kind of service that prompts such high recognition is the direct result of our
professional management working in true concert with the goals of our clients.
As a testimony to the integrity of our company and to our commitment to use our financial strength to
meet the needs of our clients, in the aftermath of the tragedy of September 11, 2001, when the Port
Authority of New York & New Jersey’s administrative structure (which was housed in the towers) was
decimated, Five Star Parking carried the burden of operational costs for more than five (5) months,
accruing receivables of nearly $10,000,000 to help the Port Authority of New York and New Jersey
reconstruct its accounting department. Five Star Parking’s ownership spared no expense in keeping the
gates to the New York Airports open for business in our country’s dire time of crisis. Indeed, for more
than a quarter of a century we have never failed to meet a financial obligation to any of our clients,
public or private.
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3.) Operations and management – provide (i) list of all airports at which the respondent has on-
airport operations, including a brief description of the scope of services in which the respondent
engages and (ii) examples to demonstrate capabilities in managing and operating airport parking
facilities or parking facilities in general, including description of service level metrics used to
demonstrate delivery of outstanding customer service levels.
Below please find information documenting our airport parking experience. As a note of interest,
in December of 2009 Five Star Parking has just been awarded the parking management
operations for both the Washington Dulles Airport and the Reagan National Airport. Also
through our parent company we operate Wallypark off airport parking operations at the
Philadelphia International Airport, Atlanta International Airport, Denver International Airport,
Seattle International Airport and the Los Angeles International Airport.
Oakland International Airport
Alma Pena
Parking & Shuttle Superintendant
9532 Earhart Road, Bldg L107, Suite 101
Oakland, CA. 94621
510-563-3241
Five Star Parking has managed the Airport parking operations at Oakland International Airport
since 2001. We were just rewarded for our hard work with a new contract. This facility operates
24 hours per day, 7 days per week, with a total of 8,482 parking stalls and process approximately
1.5 million transactions per year. We provide long term, short term and premier parking and
recently added a marketing component to the operation. We oversee the revenue collection,
billing, and auditing and customer service. We currently employ about 77 employees (58 Full-
Time, 19 Part Time) including Management, Supervisors, Audit Clerks, Cashiers, Valets and
Maintenance Personnel. We generate gross annual revenues of $33,000,000
Qualifications
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John F. Kennedy International Airport (JFK)
Vincent Vesce
Manager, Airport Access Programs
Aviation Department
225Park Avenue South 9th floor
New York, NY. 10003-1604
212-435-3729
We have been under contract to manage the parking operations at JFK since 1984; this is an
unprecedented feat in our industry that has made us the Port Authority of New York and New
Jersey’s longest standing vendor under contract. JFK is a 24 hour, 7 days per week operation,
with 14,000 total parking spaces and over 4 million annual transactions. We opened a valet
operation at JFK in September of 2007. This was a “ground up” project, were we were involved
with all aspects of conceptual pre-planning, bidding, construction, IT, hiring, scheduling and
implementation of the operations. The Port Authority looked to us for our expertise in both
revenue control specific to valet operations, and the integration of the operations into the general
scope of work for the entire airport parking contract. This project required involvement of
“specialists” from Five Star Parking who interfaced with both Port Authority staff and third-
party vendors with gross annual revenues of $75,000,000 and an operating budget of $9,500,000.
Newark Liberty International Airport (EWR)
Vincent Vesce
Manager, Airport Access Programs
Aviation Department
225Park Avenue South 9th floor
New York, NY. 10003-1604
212-435-3729
Five Star Parking has been under contract to manage the parking operations at EWR since 2002.
EWR is a 24 hour, 7 days per week operation, with 252 part and full time staff managing 21,000
total parking spaces and nearly 4.3 million annual transactions. We have been working with
ParkTrak of Spokane, WA, in the development and installation of a valet ticketing, tracking and
revenue control system for the valet operations at EWR. The system uses a handheld LPR to
capture the patron’s license plate. Handheld LPR is used for inventory and vehicle location
documentation. Barcode tickets are read upon return for fee calculation. Also, we are in the
middle of an ongoing project to change-out of the parking revenue control equipment from
ASCOM to Federal APD. The schedule calls for an individual lot by lot implementation that
includes installation over a period of three years. There are numerous regular meetings with both
Port Authority staff and third-party vendors, which include scheduling, construction, reporting,
auditing and troubleshooting. We collect annual revenues of $110,000,000 and have an operating
budget of $12,000,000.
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LaGuardia International Airport
Vincent Vesce
Manager, Airport Access Programs
Aviation Department
225Park Avenue South 9th floor
New York, NY. 10003-1604
212-435-3729
We have been under contract to manage the parking operations since 1989. This is a 24 hour
7day a week operation employing managers, supervisors, cashiering and customer service
consisting of part and full time staff of 137 employees managing 7,500 spaces consisting of
multiple parking garages and surface lots for both the public and employees. We are responsible
for the collection and accounting of all revenues, which generates gross annual revenues of
$50,000,000 at La Guardia International Airport.
McCarran International Airport
Dan Busch
Airport Parking Manager
5757 Wayne Newton Blvd
Las Vegas, NV. 89119
702-261-5707
Five Star Parking has managed the parking valet parking operation at McCarran International
Airport since 1999 with a staff of 17 full time, 1 part time, including one manager, assistant
manager and shift supervisor. We not only provide valet service, but work in conjunction with
Universal Parking Resources, in providing a wide range of vehicle services we have operated the
valet parking service twenty-four hours a day, seven days a week since the inception of the
contract. The hours of operation are 24 hours a day, 365 day per year. Currently, the valet
parking operation handles 8,000 to 10,000 vehicles per month on average. The carwash facility
experiences fluctuations in volume due to seasonal changes and weather. We have however, on
certain months, handled over 1,000 carwash services. We generate gross annual revenues of
$4,000,000.
Los Angeles International Airport (LAX)
Kim Ellis
Chief Landside Operations Division
7301 World Way West, First Floor
Los Angeles, CA. 90054
310-646-8425
We were under contract to manage the parking operations at LAX from 1992 to 1994, and again
from 1998 to 2007. LAX was a 24 hour, 7 days per week operation with 27,100 total parking
spaces and over 7 million annual transactions. We collected, audited and deposited revenue from
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daily, monthly and valet operations, which were made up of 2 valet operations, 9 parking
structures and 5 parking lots. As in any airport operation, we used computerized revenue control
(Cubic Western), and accepted credit & debit cards. Annual gross revenues were over
$75,000,000, with an operating budget of $23,000,000. We were responsible for the recruitment,
hiring, training & scheduling of over 500 full and part time employees, which included Traffic
Directors, Cashiers, Inventory Personnel, Relief Personnel, Audit Clerks, Supervisors and
Managers. We worked hand in hand with both Los Angeles World Airport (LAWA) and
Teamsters Local 911 on a daily basis. While at LAX, we subcontracted both our Security Guard
Services and our Porter Services.
Ontario International Airport
Kim Ellis
Chief Landside Operations Division
7301 World Way West, First Floor
Los Angeles, CA. 90054
310-646-8425
We were under contract to manage the parking and shuttle operations at Ontario International
Airport from August 1998 thru December 2001. ONT was a 24 hour, 7 days per week operation
were we collected, audited and deposited revenue from daily and monthly parking operations
along with staying on a stringent budget for both the parking and shuttle operations. We
accounted for annual gross revenues of $18,000,000. We were responsible for the recruitment,
hiring, training & scheduling of over 200 full and part time employees, which included Traffic
Directors, Cashiers, Shuttle Drivers, Inventory Personnel, Relief Personnel, Audit Clerks,
Supervisors and Managers.
Standard Operating Procedures
Below we have given a brief narrative of items that are in our Standard Operating Procedures
Manual, that give our employees the capabilities in operating a first class level operation.
We currently manage and maintain first-class public parking operations at airports across the
country. We therefore understand the paramount importance of customer service, both in terms
of providing a positive parking experience for the traveling public, and enhancing the image of
our airport clients.
In order to meet and exceed IIA’s (and our own) expectations for achievement of a high level of
customer service, we will implement at IIA some of the customer service programs that have
proven to be so successful at some of our other airport operations, and have led to such
achievements as winning the “Best Customer Service Award” by a Port Authority of New York
and New Jersey contractor for our John F. Kennedy International Airport operations. The
customer service programs that we have developed, and will continue to develop, focus on:
★ The need to service the “internal” and “external” customers
★ Teamwork
★ Communication
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★ Process improvement
★ Overall enhancement of customer service skills
★ Appearance
★ Accountability
★ Understanding policies, procedures, incentives, disciplinary action, etc.
The following is a brief outline of some of the benefits that have already been realized due to the
implementation of these programs at some of our airport operations:
★ Research has shown that if people don’t recall, review, or work with what they’ve learned
on a given day within 24 hours, they will forget 50-80% of it. Delivering customer
service training every six months has allowed employees to learn, use and retain
information
★ Reduction of costly mistakes - the ability to deliver outstanding customer service has
proven to reduce complaints and the amount of monetary compensation asked for by
customers
★ Employees relate and communicate with each other in relation to customer encounters
and have created stronger team unity
★ Performance increases on internal and external performance evaluations, especially
during the month(s) following training sessions
★ Increased positive customer feedback through complimentary letters and phone calls
★ In some individual cases, employees have taken the training beyond job application and
changed their overall behavior and attitude
★ Employees have been able to gain the customers’ support for unpopular policies, by
understanding why they are needed and sympathizing with the customer when they have
to be implemented.
★ Continuous training has created leverage when unacceptable employee behavior must be
acted upon
★ Continuous training has allowed us to base incentive programs on performance and pin
point positive behaviors that were a direct result of the training program
★ Employees surmount difficult situations by skillful, active listening. This is a skill learned
specifically through training programs
We have always focused on the quality and effectiveness of our management, operational and
administrative plans for providing superior customer service, while exceeding customer
expectations and providing a lasting positive parking experience.
We are therefore committed to hiring, and more importantly, retaining quality individuals who
exemplify the utmost in customer service and operational efficiency.
We strive to hire, train, review and reward employees in an orchestrated effort to ensure that
there are no surprises. All employees are kept abreast of management expectations and on where
efforts must be made to improve performance. We believe that great customer service can be
realized through treating our employees the way we would like our employees to treat our
customers.
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This basic philosophy is ingrained in our company’s culture and has aided us greatly in our
ability to provide outstanding Customer Service. The basis of our “Strive for Customer Service
Excellence” Program consists of 5 (“five”) principles:
Clearly Defined Customer Service Standards
Motivated and Sensitive Managers
Carefully-hired personnel who become long-term employees satisfied with the
terms and conditions of their employment
A carefully structured and consistently presented training program developed to
meet the specific demands of the contract
Reward and recognition systems that reinforce customer service standards.
Personnel policies such as employee duties, qualifications, recruitment, hiring, pay scale,
training evaluation, advancement and dismissal.
We are committed to staffing IIA with only the most professional personnel. We will make
every effort to maintain the existing workforce. We will do so by affording every employee an
opportunity to continue their employment with us provided they pass all pre-employment
screening and background checks.
We will also fill vacancies by recruiting personnel from the community, local colleges, agencies
and referrals. In addition and when necessary, we host job fairs and advertise with applicable
local media outlets, take part in local job fairs, use employment agencies and takes part in web
based job board postings.
In an effort to ensure that IIA is staffed with qualified personnel, every candidate will be
required to successfully complete our hiring process. Every applicant, regardless of the position,
is required to sign a background check release form. All acceptable applicants will be
interviewed by a Five Star Parking manager and potential candidates will undergo a drug
screening and background check.
Employee Screening –
The results of the Drug Screening are often received within 48 hours of submission, and if the
results meet our criteria, we will then complete the background check. The background check
includes a review of criminal history, previous employment, education, references, and credit
history for management personnel. A review of the Department of Motor Vehicle record, Social
Security and Criminal record is conducted for both management and front line personnel.
Following is a listing of our screening program, along with estimated turnaround times:
Social Security Review – All Employee
o Turnaround Time: Same Day
Credit Report – Management
o Turnaround Time: Same Day
Criminal History – All Employees
o Turnaround Time: 24-48 hours
Department of Motor Vehicle Records – DMV – All Employees
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o Turnaround Time: 24-48 hours
Employment Reference Verification – All Employees
o Turnaround Time: 24-72 hours
Education Verification – Management and Supervisor
o Turnaround Time: 24-72 hours
Drug Screening – All Employees
o Turnaround Time: 48-72 hours
o
Pay Scale –
At Five Star Parking we provide employees with the level of compensation commensurate with
the position the employee holds and the market in which they work. In addition to wages, we
believe that employees should be provided access to benefits which ensure that we maintain a
strong core of reliable employees.
Employee Training –
Once an applicant is hired, they take part in a 3-day training and orientation program which
consists of the following criterion:
Introduction to FSP
Qualities Needed
Job Classification and Duty
Equipment and Procedure
Policies and Operational Guidelines
On the Job Training – On-Site Tour
Applicable Location Rules
Motivation, Ethics, Integrity
Customer Service
o Based on Standards for Attitude, Appearance, Knowledge and Safety
o Interpersonal Skills
Exam
A candidate’s success will determine the level of their position in the operation. We would
implement this same recruiting, hiring, and initial training practice at IIA and will easily be able
to adjust this current format to one deemed appropriate for the needs of the IIA. Additionally
please note that all of our employees in either a Supervisory or Managerial position are required
to participate in at least three leadership seminars annually.
Once the new hire training is completed, all employees will take part in our annual training
program as outlined below, and subject to date fluctuations based on contract start date (for a
more detailed description of each program, please refer to the Training Manual contained in the
attachments):
January (Customer Service Training) All employees (two hours)
February (Quality of Life Seminar) Non-mandatory and open to all employees
March (Leadership Training) Managers and Key Supervisory Personal
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June (Driver Safety) Mandatory for select Managerial and Supervisory employees but
open to anyone as a Quality of Life Seminar offering
July (Customer Care Training) All employees (two hours)
August (Quality of Life Seminar) Non-mandatory and open to all employees
September (Safety & Sexual Harassment) Managers/Supervisors - Safety and Sexual
Harassment (two hours)
October (Quality of Life Seminar) Non-mandatory and open to all employees
December (Leadership Refresher) Managers/Supervisors- Leadership Refresher (two hours)
It is also important to note that we will at all times work in coordination with IIA, to ensure that
all training timing and content of materials presented reflect their goals, expectations and needs.
Employee Evaluation –
The on-site Human Resource Manager (HRM) will have the responsibility of ensuring that
performance evaluations are conducted for the employees. All non-supervisory employees will
be evaluated based on the core competencies required to successfully complete their job. If an
employee is deficient in any area, the employee’s immediate supervisor will complete a
performance improvement plan to allow the employee to improve his/her skill set by completing
tasks and activities that target the area that needs improvement. The employee will be coached
by a supervisor and given set guidelines for improvement.
Progressive Disciplinary Policies
Our programs are designed to have all levels of employees involved; if cashiers and traffic
agents do well, supervisors do well. However, if an employee fails to meet our expectations,
he/she will be subject to our disciplinary process. We have a progressive disciplinary process
that allows employees to address unsatisfactory behavior, actions and performance. This is
achieved by allowing the employee an opportunity, initially through coaching and counseling,
progressing through the following steps of the disciplinary process:
Verbal warning with counseling/retraining.
Written warning with counseling/retraining.
Suspension with counseling/retraining upon return to work.
Termination.
We make every effort to rehabilitate employees through our counseling and retraining. We
document a number of offenses in our Employee Handbook that lead to immediate termination
without the use of progressive discipline, counseling or retraining. We have an “open-door”
policy and any employee at any level is able to bring a concern directly to Human Resources or
to an applicable manager. There is also an “800” number that employees can call if they wish to
anonymously report what they believe to be an issue. In any review or evaluation process, the
individual being reviewed or evaluated is encouraged to convey any thoughts about said process
in writing.
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There are some infractions that may result in immediate termination. We have listed below some
of the infractions that may warrant immediate termination.
1. Theft or ticket manipulation.
2. Willful damage of company, patron or airport property.
3. Use of or being under the influence of alcohol while on duty.
4. Use of or being under the influence of illegal drugs while on duty.
5. Any physical or abusive verbal altercations.
6. An accumulation of warnings (i.e., more than 3) for any rule infraction, including
excessive absenteeism, tardiness, insubordination, poor attitude, inefficient job
performance, or being out of uniform.
We believe that with thorough screening of applicants, attentive job training and open lines of
communication between management and personnel, the need for formal disciplinary action can be
greatly reduced. Although our discipline measures may seem stern, they are designed to help
employees develop into parking professionals, who will deliver a high level of service to the public.
Promotions
In regards to promotions, our philosophy has always been to provide our employees
advancement opportunities with salary and benefits commensurate with an employee’s skills and
experience. It is our practice to first promote from the ranks of our employees, which we feel
contributes to our extraordinarily low turnover rate and stable work force.
“Equal Employment Opportunity Policy”
Five Star Parking is committed to a policy of equal employment opportunity for its applicants
and employees. Employment decisions shall comply with all applicable laws prohibiting
discrimination in employment on any protected basis (such as race, color, creed, sex, religion,
marital status, age, national origin, mental or physical disability or any other protected basis),
including Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act
of 1967, the Immigration and Nationality Act and applicable state laws.
“Sexual Harassment Policy”
Five Star Parking is committed to providing a work environment that is free of unlawful
discrimination and harassment. In keeping with this commitment, the company maintains a strict
policy prohibiting all unlawful harassment, including sexual harassment or harassment based on
race, color, creed, age, disability, religion, sexual orientation, or any other characteristics protected
under state or federal law. This policy applies to all agents and employees of the company,
including all managers, supervisors and non-supervisory employees. Furthermore, it prohibits
unlawful harassment in any form, including, but not limited to, the following:
VERBAL CONDUCT such as epithets, derogatory comments, slurs or
unwanted sexual advances, invitations or comments.
VISUAL CONDUCT such as derogatory sexual posters, cartoons, drawings
or gestures.
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PHYSICAL CONDUCT such as assault, blocking normal movement, or
interference with work directed at you because of your sex or other protected
basis.
THREATS AND DEMANDS to submit to sexual requests in order to keep
your job or avoid some other loss, and offers of job benefits in return for
sexual favors.
RETALIATION for having reported the harassment.
This policy applies to all phases of the employment relationship, including recruitment, testing,
hiring, upgrading, promotion, demotion, transfer, layoff, termination, rates of pay, benefits and
selection for training.
Any employee who believes he or she has been harassed by a co-worker, supervisor, customer or
agent of the employer should immediately report the facts of the incident or incidents and the names
of the individuals involved to their immediate manager or supervisor, or to the human resources
department, so that complaints may be resolved. Employees wishing to report a claim to the
corporate offices should call and request to speak directly to the human resources department.
The company will promptly investigate all claims and take appropriate corrective action, without
retaliation. All reports of harassment will be kept confidential to the extent permitted by law. A
company representative will advise all parties concerned of the results of the investigation.
All harassment claims of any nature are forwarded to the Vice President and Director of Human
Resource.
Parking Facilities –
As part of our comprehensive management of parking and shuttle operations, we put particular
emphasis on maintaining attractive, clean and well-lit facilities. We believe that the appearance
of a parking facility is a reflection of the entire operation. Airport parking facilities are the first
and last impression the traveler receives. Clean roadways and parking areas are representative of
a well-maintained and well-managed operation. We therefore maintain an image which
complements the facility. We will carefully scrutinize all areas for potential hazards such as grease
spots, puddles, defective lighting or uneven surfaces. Any such hazardous conditions will be
reported immediately to IAA. All employees will be instructed to keep their immediate work
areas clean and free of debris at all times.
Budgets and Staffing Plans –
We place the same emphasis on managing the expenditure of operational funds as we do on the
proper collection of parking revenues. As a management firm, our obligation is to always act on
behalf and in the best interest of our client. We are committed to the use of programs such as an
automated payroll system to manage the operational funds entrusted to our use. All expenditures
require the approval of our Facility Manager. All expenses are tracked on a monthly basis by
budget line item, with a comparative report submitted to our Senior Vice President and IAA.
The foundation for our expense reporting process is an approved operating budget.
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Our budgets are detailed expense categories such as payroll and related expenses, employee
benefits, contract services, utilities, operational and administrative materials and supplies. Our
internal accounting process is robust enough to allow the nomenclature and organization of our
budget line item to meet the specific requirements of various clients.
Each of our budgets are built on a logical process that will allow our local managers, working in
concert with the designated airport staff, to build operating budgets that can be easily reviewed
and approved. Before any operating budget is submitted for approval, it is carefully reviewed,
with assumptions and reasoning tested by our corporate accounting team, and finally approved
by our Senior Vice President.
Whenever possible, we use fixed contractual rates for services. Our agreements with service
providers allow for the accurate budgeting of items such as armored car service, trash removal,
insurance costs and janitorial services. Other line items are developed using given calculations.
These items vary greatly from parking ticket stock, uniforms and vehicle maintenance. Finally,
there are a few line items that can vary in cost such as utilities and operating supplies. In
budgeting for such line items, we rely on previous trends and our actual experience at similar
operations. It is important to note that in the presentation of our budget, worksheets and
justification are given for all budgeted line items.
While the collection, deposit and reconciliation of parking revenues is the primary concern for
the parking service management company, we clearly understand that without a properly staffed
operation, the revenues may be collected haphazardly and customer service will quickly
deteriorate. Further, since employee payroll and related expenses are the largest cost burdens in
an operation, over staffing must also be avoided. A proper staffing schedule is designed to meet
the operational needs of the parking service, while being fiscally responsible to the client;
furthermore, our staffing schedules are used to drive the logic behind our proposed operating
budgets. Variances for seasonal adjustments are made as needed by our local management.
Safety –
We realize that training is perhaps the most key element for providing a punctual, professional
and safe work environment. Our training program starts with safety. Our employees are taught
to be mindful of their safety and that of their fellow workers and customers at all times. Safety
must never be sacrificed for schedule adherence or customer convenience. Without exception,
judgment must be exercised and safety must be preserved. Our comprehensive training program
is comprised of the following components:
An understanding of the mission/goal and how it applies to the service provided
Understanding the principles of total quality and safety
Operation of fire extinguishers and safety equipment
ADA rules & regulations
Knowledge of the work environment & surrounding areas
Dealing with and recovering from a power outage
Communicating effectively on the radio and phone
Report writing
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What to do if injured in the workplace
Public relations and development of polite behavior
After hiring, our training program will be carefully coordinated to ensure that all IAA
requirements are also met. The recurrent training program will be based on the same principles
as outlined above.
Revenue Collections
It is the primary responsibility of any professional parking services company to collect and
properly account for all parking revenues. Whatever the source, all revenue attributed to the
parking service must be collected, deposited and reconciled. Revenues must be balanced by
employee, by shift, by day, by week, by month and by year. Reconciliation will include revenue,
whether collected in cash, credit card or check. In collecting and accounting for parking
revenues, we have developed our policies and procedures to meet the following criteria:
Collect and deposit all parking revenues, safeguarding the revenue while protecting the
well being of our employees
Use accepted accounting practices that are open and accessible to audit oversight in order
to protect the reputation of our client, our employees and our company
Each of our collection and accounting practices are developed to meet these expectations. The
same requirements are used in all revenue accountability positions, from cashiers to the General
Manager. These requirements will help ensure the accountability of our employees, and that we
meet our obligations to our clients. In principle, each established procedure must provide an
accurate method of fee calculation and include proper documentation. It must also provide a safe
and accountable method of transferring collected revenues in preparation for deposit.
Unlike credit cards or checks, cash transactions do not have an inherent trail. Our procedures
have been developed to fully document the acceptance of cash revenue from the customer to the
cashier to the bank. All of our cashier procedures meet our stated expectations of protecting the
revenue and employee while insuring the integrity of the company.
With Parking Access and Revenue Control Systems (PARCS), there are now more options than
ever available to patrons in how to pay for parking. However, from a parking management
perspective we still collect revenue in three basic methods; cash, check and credit card. In
principle, each procedure must provide an accurate method of fee calculation and include proper
documentation. It must also provide a safe and accountable method of transferring collected
revenues in preparation for deposit. The acceptance of credit card has grown throughout the
industry to were approximately seventy five percent of every dollar spent is with a credit card.
Each credit card accepted will be verified with the credit card server and the PARCS to ensure
that they are accurate; the credit card will only be charged for the amount of the actual
transaction.
Whenever it is feasible to do so, we make every effort to maximize the use of the PARCS; we
use internal revenue recording procedures and a third party revenue reporting system that allows
our executive and management team to closely monitor the revenue and transaction data of the
airport. This reporting system requires our Facility Manager to aggressively track both
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transaction and revenue trends. The system will also alert our Senior Vice President, National
Audit Manager and Airport Regional Manager of any transaction or revenue anomalies. In order
to track parking transactions and reconcile revenues we will use the following reports:
Cashier Shift Report
With the PARCS used at IIA this report is used to document all exception transactions and to
balance cash deposits with the automated cash deposit system.
Daily Revenue Report
The daily revenue report is generated after the close of the business day for the previous day’s
transactions. This report will reconcile all parking transactions reported from the PARCS, from
both manned and un-manned exit lanes, with the total cash deposit reported from the automated
cash deposit system and the credit card batch report.
Weekly Activity Report
This report is a weekly consolidation of the daily revenue reports.
Monthly Revenue Report
This report is a monthly consolidation of weekly revenue reports. It is initially used to balance all
daily revenue reports with the PARCS. This report is also used to reconcile both cash and credit
card deposits to the designated bank accounts. This report will also show monthly trends from
month to month and month to year so that comparisons can be made to the same month the
previous years.
Exception Transactions
In a dynamic parking service there are often transactions that require special processing. These
transactions are referred to as Exception Transactions. While some Exception Transactions must
be handled by an authorized supervisor/manager, other Exception Transactions can be processed
directly by the cashier. However, our procedures require that every Exception Transaction is
recorded in the shifts Exception Record. Further, all Exception Transactions will be reviewed by
an audit clerk.
Lost Tickets
When the customer approaches the cashier and states that they have a lost ticket, the cashier
starts a lost ticket form which requires the customer to provide their name address and telephone
number, the customer is also asked for any flight itinerary that can provide information on their
arrival. The vehicles license plate information is called into the office to verify the plate to the
daily inventory. The fee is then calculated based upon the flight information and the vehicle
inventory information and the customer is released. If there is no flight information and the
vehicle does not show on the daily vehicle inventory the customer will be charged the maximum
daily rate. The customer can return their receipt and lost ticket for a refund should the ticket be
found.
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Cashier Banks and Cash Monitoring
Where ever possible, Five Star Parking prefers to operate in an environment where revenue
handling is limited to as few individuals as possible. For this reason we have adopted the use of
automatic safes. An automatic safe, provided by any number of armored car services, limits the
access to collected parking revenues to the cashier who collects it. No other access is allowed. As
we proposed the use of an automated safe at the IIA, as the parking management service provider
our cash handling procedures will include the use of this safe.
At the start of each shift each cashier is issued an operating bank of at least $100 that is counted
and verified by the cashier and manager/supervisor. Both employees endorse the cashier shift
report, verifying the accuracy of the bank. As a cashier collects $100 over the bank, the bank is
returned to the manager/supervisor. Once the starting bank has been returned, the cashier is
required to make frequent cash drops during the shift in order to keep the level of cash on hand
to the amount required to operate the shift. Cash drops are made by each individual cashier into
the automatic safe. For each drop the cashier is required to enter an employee specific ID code
into safe to activate the process. Once activated, the cashier places a stack of bills on the safe’s
scanner, which then counts the bills and deposits the bills into a bill cartridge within the safe.
The cashier is given a detailed drop report which verifies the number and value of bills. At the
conclusion of the shift the manager/supervisor will cause the automatic safe to generate a shift
drop record. This record will correspond to the number of drop detail reports generated for each
cashier. The manager/supervisor uses this report to prepare a daily deposit report. The safe can
only be accessed by the armored car service. Once in the safe, the armored car service insures
the safety of the cash.
The use of this technology creates a clear trail of cash custody and provides a much safer
working environment for parking employees.
Pre-Audits
Are conducted by the shift supervisor responsible for closing out a cashier shift. The pre-audit
includes a review of all required paperwork to insure that applicable employee information,
required gate counts and exception transactions are properly recorded. The shift supervisor will
also make sure that drop receipts produced by the automated cash deposit system are properly
secured to the correct shift report.
Primary Audits
Are preformed under the direction of the Facility Manager, The auditor will review all exception
transactions and shift reports preparation for completeness. Each shift will be fully audited by a
member of our audit staff, comparing stated cash and credit card transactions with the PARCS
generated reports. Each auditor will prepare a detailed report of the audit findings which is
forwarded to the Facility Manager and IAA.
Each supervisor will be responsible to conduct random booth audits and surprise audits of
cashiers and inventory control audits of the inventory attendants.
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Secondary Audits
Are performed semi-annually by our National Audit Manager. These on-site audits allow us to
insure that established policies are being followed at the site level. Each audit will review a
randomly selected, complete day of transactions and revenue. These audits will also include a
site inspection with the Facility Manager. The findings of the secondary audit are submitted to
both our Senior Vice President and IAA staff. Our Senior Vice President will schedule a time
with IAA staff to review the findings and develop a plan to correct any found deficiencies.
Independent Audits
Five Star Parking will have an annual audit of our IIA operations performed by an independent
CPA firm.
Perform routine maintenance of the Parking Lot Revenue control equipment.
The performance of regular preventative revenue control maintenance is a key to ensuring that
IAA gets the full life out of the current equipment. With regular maintenance we can ensure that
the down time of equipment will not impact the service provided to the customers.
We will have all supervisory staff member trained on the functions and preventative measures
needed for this system. We will also have at least one member of our maintenance staff factory
trained on how to do daily, weekly and monthly preventative maintenance on the equipment.
This maintenance will include at a minimum the following:
Replacement of broken gate arms
Loading of tickets
Replacing ink ribbons
Installation of spare print heads
Weekly cleaning of paper dust
Cleaning of reading sections
Magnetic swipe cleaning.
We will notify IAA staff of any major repair items with the revenue control system. Every six
months and at a yearly interval our maintenance staff can assist IAA staff to do an in depth
cleaning and rebuilding of each printing and reading unit and replace o-rings and any other worn
items.
Removal of improperly or abandoned vehicles.
As part of our start up procedures we will determine a time period satisfactory with IAA and
implement an RFP for the removal and sales of abandoned vehicles with a local vehicle recovery
company. When a vehicle is determined to be abandoned, the sub-contractor will be contacted
and they will issue two certified letters to the registered owner and the lien holder. If the owner
or lien holder responds they will be charged the parking fees plus all recovery fees of the sub-
contractor. If there is no reply the sub-contractor will follow all state and local municipal laws in
petitioning the state DMV for a new title and the vehicle will be sold at auction. Depending on
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the condition of the vehicle, IAA will receive the parking fees owed and a percentage of the
excess. This percentage would be set at the time of the RFP with IAA and the sub-contractor.
License plate inventory
Vehicle inventory control is a foundational requirement to a successful parking service. A
significant portion of parking revenue at major airport parking services is generated by vehicles
staying multiple days in the parking facilities. Additionally, customers need to know that where
they have left their vehicle is a reasonably secure facility. Inventory control procedures are
designed to protect both the parking revenue and the parking customers.
A primary consideration in inventory control is providing a secure perimeter to each parking
facility. A secure perimeter consists of entrance and exit areas using gate arms long enough to
prohibit circumvention of a vehicle. When possible all exit and entrance lanes should be
monitored to ensure the proper function of the access barrier equipment. Broken gate arms
should be promptly replaced and redundant lanes should be physically barricaded in time of low
traffic flow. The facility perimeter should be designed with vehicle containment in mind. The
fencing, bollards, landscaping or other containment devises should be placed close enough to
each other to ensure that vehicles cannot slip between any two devises. The perimeter of each
parking facility will be inspected daily to ensure that no breaches have been created. Entrance
and exist lanes will be inspected each shift.
With the physical configuration of each parking facility properly secured, our next step in
inventory control is a daily physical count of vehicles. This count is performed daily during the
early morning hours when traffic is slowest. Daily car counts are used independent of the
PARCS to establish the accuracy of automated counts and LPI counts. Car counts will use a
calculation using all beginning tickets, closing tickets, physical counts and vehicles exiting the
facility. Using this calculation the physical car count should closely match the automated car
count generated by the PARCS.
An active LPI system is also used to control overnight vehicle inventory. With this system Five
Star Parking, will enter vehicle license plate data and vehicle location information in to LPI
devices. The LPI system will generate a LPI count which should closely match the physical
vehicle count and the automated vehicle count. The LPI information is also used as a customer
service and management tool. At IAA, an LPI system is used to control vehicle exits and to
assess the appropriate parking charges.
A final component of vehicle inventory control is our established cashier procedures. Cashiers
are the final impediment to any vehicle being improperly removed from a parking facility. Our
procedures require our cashiers and supervisors to establish the identity of any customer
removing a vehicle from parking facility without an accepted exist mechanisms such as a parking
ticket.
At Five Star Parking we clearly understand the importance of stringent vehicle inventory
controls. We have honed our operating policies and practices to provide our clients and
customers the best parking facility integrity. We will accurately count all vehicles in all parking
facilities each night. Such inventory will be utilized for calculation of lost ticket parking fees, to
assist patrons in locating vehicles, to identify lost or stolen vehicles, and as a management tool to
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track parking patterns and lot utilization. To accomplish this task, Five Star Parking’s inventory
attendants will utilize predetermined routes through each of the parking facilities starting at the
most effective scheduled time. The accuracy of this information is critical to the efficiency and
use of the revenue control system, and will be reviewed by the LPI Manager.
Facility Maintenance
At Five Star Parking we take pride in the facility that we present to our customers. It is perhaps the most important “tangible” part of their experience. The facility also instills pride of ownership in our employees; and a pleasant work environment enhances productivity. It is also our goal to identify and conduct necessary maintenance, and suggest investments in the facility that can eliminate or delay the need for costly long-term capital improvements.
Teamwork
Our facility maintenance team will be led by the Facility Manager. We require our Facility Manager to perform daily facility reviews with a complete facility inspection at least weekly. Each employee is trained to be responsible for the physical condition of their assigned work environment. As our FM and Assistant FM will walk the entire parking facility during their assigned shift, each cashier is responsible for the cleanliness of their assigned booth and traffic lane. Together, working in close coordination with IAA staff, Five Star Parking employees will insure that parking areas and exit lanes are kept clean of debris and are safe for use by our customers and employees. Further, our FM shall work with representatives of IAA, coordinate a team effort of our internal employees, and integrate our efforts with sub-contractors such as maintenance, Janitorial and snow removal.
Preventative Maintenance
Investments in preventative maintenance can delay, or eliminate the costly need for capital
investments. For example, sealing of concrete can protect it from water damage. Cleaning and
removal of corrosive chemicals such as oil from premises will also prevent breakdown of the
parking structures and concrete on exposed surface lots.
Routine Maintenance
Execution of routine procedures presents a facility that instills confidence in customers and pride
in ownership of employees. While many of the responsibilities are currently handled by IAA
staff, our local management will be willing to participate in the coordination of the following
efforts in order to attain our objectives:
• Janitorial and cleaning tasks on daily, weekly, monthly, quarterly and annual schedules
• Landscaping services to maintain an excellent atmosphere and impression of facilities
• Maintenance and upgrades of equipment such as PARCS etc.
• Physical plant maintenance such as potholes, concrete cracks etc.
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Vehicle Assistance
Five Star Parking offers an array of amenities designed to provide benefits to customers. These
programs are added opportunities for IIA to increase consumer awareness in the marketplace.
Below are several ideas that Five Star Parking can tailor to the specific needs of the airport:
Vehicle Jump Starting: Each customer service vehicle will have a battery jump start
unit on board for assisting customers with jump starts.
Emergency Tire Inflation: Each customer service vehicle will have an air pump unit to
inflate tires for customers and they will have a floor jack and star tire wrench.
Vehicle Location Assistance: If a customer can’t find their vehicle, we will drive them
through the lot to help locate the vehicle.
Local Towing Company Contacts: We will have a list of towing companies that we
have contacted and negotiated special pricing for IIA customers. The customer can then
choose which company they want to respond.
Operating, maintaining, and managing shuttle bus systems.
Due to the dynamics of airport shuttle services, there should always be an assigned supervisor
making sure that operational commitments to IIA, its patrons and employees are met by Five Star
Parking. While our Shuttle Supervisors will be based in the operations facility, they will be
primarily assigned to be in the field monitoring the shuttle service. It is expected that our Shuttle
Supervisors will spend much of their assigned shift on the terminal curb. Our Shift A Shuttle
Supervisor will be responsible for the fueling and cleaning of each shuttle daily. Our Shuttle
Supervisors will oversee all drivers and bus maintenance. To ensure that the shuttles are
maintained properly, a daily log sheet will be filled out for each vehicle. These log sheets will
help to ensure that the proper maintenance is done at appropriate times.
As part of our commitment to safety we highly recommend installing Drive Cam units in all
vehicles. The Drive Cam units will be mounted on the wind shield behind the rear view mirror
and will capture sights and sound inside and outside the vehicle. Any exceptional forces such as
braking, swerving or collision will trigger the unit to save critical sounds of audio and video
immediately after the event has occurred. These events are downloaded to the manager’s
desktop, and enable the manager to coach the drivers according to our Policies and Procedures.
Furthermore, the system will capture all accidents; it has been proven that there has been a
decrease in insurance costs when Drive Cam units have been installed.
Drive Cam also offers a Driver Risk Management program on behalf of its clients. This program
is designed to maximize the success of the Drive Cam program, as well as management of
solutions and data analysis. Some additional features of the DriveCam system include:
Increases operator and passenger safety
Enables manager to track driver compliance
Allows manager to counsel drivers on driver behavior
Provides real-time recording of all events
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Panic button located on bottom of camera and will allow driver to capture incidents if
necessary
Reviews events on a daily basis and delivers timely feedback regarding driver behavior
DriveCam system provides weekly and monthly reports detailing driver performance
Reduces insurance cost
All of the shuttle drivers and the supervisors and maintenance staff will be fully trained on the
use of the lift gate system on the exiting ADA van and on the new shuttle buses when they
arrive. The ADA vans will be put on line during the busiest traffic times. One way that we can
better serve the customer is to have a phone number and email address on the parking web page
that will allow the customer to notify us of their departure and arrival to ensure that ADA Shuttle
is in service to assist them.
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4.) Specific thoughts on how the respondent can add value through a concession, lease, management
or operating agreement involving the parking assets. Please highlight the key elements of the
arrangement that would maximize value for the Authority while at the same time meeting the
Authority’s objectives and offering high-quality service to the Authority’s customers. As part of your
response, please discuss your relevant experience, the benefits and considerations of various
management structure(s) and the key lessons learned on precedent transactions.
As one member of the L & R Group of Companies, Five Star Parking is uniquely able to provide
parking management service in a variety of different methods of operation. While the method of
operations may be different, our commitment to providing only the highest level of customer
satisfaction along with unyielding revenue controls procedures remains the same. Typically, the
type of management methodology is designed to meet the needs of the owner. By using a
professional parking company to manage airport parking services, airports are able to benefit
from established operating standards and reduced operating costs. In nearly all airport parking
services, payroll is the single greatest operating expense. Typically, employees of private
operators receive less in compensation and benefits than employees of established governmental
agencies. However, it is also clearly established that employees significantly undercompensated
will often not provide the high level of customer satisfaction that airport patrons have a right to
expect. In determining the method of management agreement to be used, each airport must
weigh the obligation of control with the potential of increased net profits.
Management Agreements
Working in a typical management agreement structure the airport will reimburse all direct
operating costs and pay a management fee to the professional parking service provider for
managing a parking service. While the exact items to be reimbursed vary with each contract, it
generally holds true that the less risk required by the operator the smaller the management fee.
For example, in many management contracts the cost of insurance and such payroll related
expenses as workers compensation are fully reimbursable. As the company has no risk with the
possible inflation of these costs, the management fee may be simply enough to cover corporate
overhead and profit. However, because of the difficulty in justifying the costs of these items,
Proposed Contract Structure
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particularly where most parking management firms enjoy a degree of self coverage, many
airports include the costs of this type expense in the management fee. Here a parking
management firm will have to build the inherent risk of fluctuating costs into the management
fee. The parking will include the risk in the fee, yet will reap the benefit of less than anticipated
loses or increases in premium costs. A management agreement provides the highest level of
product control for a property. As the operating costs in this type of agreement are reimbursable
the property owner has the right to dictate levels of staffing and further wage and benefits for the
parking operator’s employees.
A second type of management contract is an hourly billable agreement. With an hourly billable
agreement the parking service provider is compensated for the employee hours used to provide
the service. With this type of contract a provider will establish a set hourly billing rate.
Sometimes the same billing rate is used for all employees while other agreement provide for
billing rates by employee classification. Again there are numerous methods to apply hour billing
rates. In some contract a parking service provider is required to pay the entire cost of the
operation through the employee hourly billing rate. However, in most contracts there are
established reimbursable operating expenses while the hourly billing rate is used to cover all
employee payroll and related expenses.
Concession Agreements
Once a standard of parking management agreements, concession agreements are used less
frequently in the industry. With a typical concession agreement the parking service management
provider will retain an agreed upon percentage of gross parking revenues to cover the costs of
parking service. Often, the percentage of revenue includes a minimum annual guarantee (MAG)
of parking revenue that will be paid to the owner. With a concession agreement an airport is able
to rely on a set income from the parking service, but begins to lose the ability to dictate the level
of service. While both the owner and the parking service management firm benefit from
increased revenues, only the parking operator reaps the benefit of reduced operating costs.
Effectively, the less parking employees are paid the more profit a parking management provider
will make. Airports that still use concession agreements are required to build in minimum
staffing criteria and established minimum employee compensation levels if they choose to
maintain a significant level of customer service.
Lease Agreements
Historically, lease agreements for airport parking have been limited to smaller airports lacking
the resources of developing a parking product. In such cases, airports would look to parking
service management companies to provide the needed improvements in exchange for a lease
with sufficient term to offset the capital expenditure. Recently, municipalities, including
airports, have revisited leasing as a means to create a definitive revenue stream which is used to
offset debt burden and create a more favorable bond structure. In recent months cities such as
Los Angeles and San Francisco and airports such as Chicago Midway and LAX have considered
the privatization or long term lease of parking services. Because of the financial commitment
required to enter into such arrangements, most parking service providers enter into partnerships
with financial backers.
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Because of the significant history our company has in the parking industry, L & R’s Five Star
Parking has a wealth of experience in providing parking management in all of the methods of
operation heretofore detailed. Currently, our airport management contracts are management
agreements; both management fee and hourly billing, and a concession agreement. Since 1984
Five Star Parking has provided parking management services to the Port of New York and New
Jersey under an hourly billing method of a management contract. We continue to provide
parking management services to the Port of Oakland for the Oakland International Airport as a
reimbursable expense with management fee type of agreement. Our valet parking service at
McCarran International Airport in Las Vegas is pure concession agreement where we provide all
of the operational support and remit and set percent of gross parking revenue to the airport.
Unlike many other parking companies, the L & R Group invests in the development,
construction and management of parking services. In such cases where we are building facilities
of our own, we look internally for project funding. However, over the years we have been able to
participate in the development of parking facilities with other parties. In such cases we have been
successful in securing external sources of capital financing. With the recent interest in long term
leases and the “privatization” of parking facilities we have found even new financing sources.
While traditional financial institutions have become very risk adverse, we have been fortunate to
establish relationships with institutional infrastructure funds. These funds have been provided
significantly more resources than projects and are looking at parking as a new arena for
investment. It is significant to note that while many of these funds consider municipal parking
facilities as a real estate rather than infrastructure and therefore outside of the scope of their
mandate, the same does not hold true for airport parking facilities. Several of the infrastructure
funds that we deal with clearly consider airport parking facilities as required infrastructure,
falling clearly within their funds investment mandate.
The L & R Group of Companies’ Five Star Parking is a nationally established parking
management firm which has continually provided management services at some our nation’s
busiest parking environments since 1984. We have proven to provide a high level of customer
service while working within every type of operating agreement. We appreciate the opportunity
of being considered as a partner with the airport. Our lean corporate structure enables us to
respond to the needs of our clients varying operational needs in timely manner. Because of our
commitment to invest into the parking industry by developing and building parking facilities of
our own, we have been able to establish a proven track record with institutional investors that
look forward to opportunities to work with us. We look forward to the opportunity to meet with
the staff of the Indianapolis International Airport to discuss ways that we can create a mutually
beneficial partnership.