CITY COUNCIL STAFF REPORT
DATE: March 11, 2026 CONSENT CALENDAR
SUBJECT: APPROVE THE FUNDING OF TWO CAPITAL IMPROVEMENT
PROJECTS FROM MEASURE J FUNDS FOR THE PALM SPRINGS
INTERNATIONAL AIRPORT
FROM: Scott C. Stiles, City Manager
BY: Department of Aviation
SUMMARY:
This action will approve the funding of two capital improvement projects from Measure J funds in an amount not to exceed $1,500,000 for the Palm Springs International Airport (Airport).
RECOMMENDATION:
1. Approve the funding of two capital improvement projects from Measure J funds in an amount not to exceed $1,500,000 for the Palm Springs International Airport.
2. Authorize the City Manager or designee to execute all necessary documents.
BUSINESS PRINCIPAL DISCLOSURE:
N/A.
BACKGROUND:
On September 17, 2025, the Airport Commission voted unanimously (15-0) in favor to recommend to the Measure J Oversight Commission the approval of funding for two Airport capital improvement projects with Measure J funds in an amount not to exceed $1,500,000 as depicted below in Figure 2.
Proposed Projects Estimated Cost
Terminal Seating and Charging Tables $500,000
Federal Inspection Station (FIS) $1,000,000
Total Estimated Cost $1,500,000
Figure 2
City Council Staff Report
March 11, 2026 -- Page 2
Approve the Funding of Two Capital Improvement Projects from Measure J Funds On October 16, 2025, the Measure J Oversight Commission voted unanimously (6-0) in favor to recommend to the City Council the approval of two Airport capital improvement projects from Measure J funds in an amount not to exceed $1,500,000 for the Airport.
STAFF ANALYSIS:
As part of the ongoing efforts to enhance the Airport’s facilities and services, staff is recommending the funding of the two Airport capital improvement projects with Measure J funds. The two proposed Airport capital improvement projects are vital for the enhancement of the overall Airport passenger experience.
Terminal Seating and Charging Tables
Adding terminal seating and charging tables to the Airport’s Bono Concourse will enhance passenger comfort, convenience, satisfaction, and efficiency. The proposed investment of $500,000 will create a more enjoyable and stress-free travel experience for the passengers. Airport staff are in the process of reviewing several options for terminal seating and charging tables which can be procured through a cooperative purchase agreement. The final options will be presented to the Airport Commission for their recommendation. The project is estimated to be completed in the fourth quarter of 2026.
Federal Inspection Station (FIS)
Airport staff and Visit Greater Palm Springs (VGPS) collaborated with the Airport’s On- Call Planning Consultant, InterVISTAS Consulting USA LLC, to conduct the following:
A two-phased FIS feasibility study was conducted in 2023 and 2024:
Phase 1 was focused on preparing five case studies that were appropriate comparators to the Airport.
Phase 2 provided a business case which included the following:
oA market analysis of passenger trends and airline growth at the Airport. oThe economic impact of a FIS facility at the Airport, including job creation and regional economic growth.
oInitial facility sizing and site alternatives.
oA scope and capability analysis focused on the ability of the airfield to accommodate larger aircraft.
oFinancial considerations and high-level pro-forma evaluating potential FIS user fees.
oAn environmental compliance assessment.
oA strategy for obtaining approvals for CBP officers at the Airport for commercial City Council Staff Report
March 11, 2026 -- Page 3
Approve the Funding of Two Capital Improvement Projects from Measure J Funds flights.
Following completion of the feasibility study, a CBP Engagement Plan was undertaken in 2025 to support the effort to secure CBP approval and resources through the Reimbursable Services Program (RSP) and the User Fee Airport Program to support expanded international operations and a future state-of-the-art FIS facility. The following was conducted for the CBP Engagement Plan:
Outreach to air carriers alongside VGPS and prepared a nominal flight schedule with aircraft types and passenger volumes.
Developed an initial staffing plan from the nominal flight schedule as well as explored additional opportunities to maximize CBP resource utilization. Obtained non-binding letters of commitment from two airlines currently operating at the Airport with strong verbal interest expressed from additional carriers. Written endorsements were obtained from:
oThe Mayor of Palm Springs
oVisit Greater Palm Springs
oThe Cities of:
La Quinta
Palm Desert
Cathedral City
Rancho Mirage
Indio
Indian Wells
Desert Hot Springs
Congressional support obtained from:
oAssemblymember Jeff Gonzalez
oAssemblymember Greg Wallis
oRepresentative Ken Calvert
oRepresentative Raul Ruiz
Held a briefing on the Airport’s proposed international plan with Andrew H.
Douglas, Acting Director for CBP’s Los Angeles Field Office (DFO) on September 24, 2025. The nominal flight schedule and initial presumed staffing needs were shared with the CBP. The CBP expressed appreciation for being involved at this early stage as well as support for next steps.
Before re-engaging the CBP Director of Field Operations (DFO) with a formal request, City Council Staff Report
March 11, 2026 -- Page 4
Approve the Funding of Two Capital Improvement Projects from Measure J Funds the Airport conducted an additional detailed demand validation and facility assessment exercise to strengthen the credibility and precision of the forthcoming CBP submission.
The more detailed facility assessment will be coupled with an updated site assessment to determine the optimal location for the FIS facility.
The Airport staff will seek formal approval from the CBP to staff an auxiliary FIS facility with CBP officers. Completion of the auxiliary FIS facility is estimated to be completed in summer 2027. The auxiliary FIS facility will support international operations while the primary FIS facility is being constructed. Completion of the primary FIS facility is estimated to be completed in 2032.
Adding a Federal Inspection Station (FIS) will increase the Airport’s ability to receive international flights directly from other countries, enhancing global connectivity and expanding access to international destinations. The Airport will invest $8.5 million from its Passenger Facility Charges (PFCs) fund, along with the proposed $1 million to support the establishment of the FIS. The $1 million allocation will fund one year of salaries and benefits for Customs and Border Protection officers, as well as the equipment necessary to stand up the FIS. This strategic investment is expected to attract international airlines and new routes, increase passenger traffic, strengthen airline partnerships, enhance the Airport’s visibility, and support regional economic growth by facilitating tourism and business travel.
In February 2026, a scheduled meeting with CBP was canceled due to the government shutdown, Communication with the CBP will remain suspended until the shutdown ends.
ENVIRONMENTAL ASSESSMENT:
The requested City Council action is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. The requested action is to approve contracts for the above-mentioned services, and is exempt from CEQA pursuant to Section 15378(b), in that a “Project” does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
ALIGNMENT WITH STRATEGIC PLANNING:
Approval of this action supports the City of Palm Springs’ Strategic Plan Broad Goals of Infrastructure and Facilities, and it also supports the Airport’s 2025-2029 Strategic Plan’s Strategic Priorities for Operational Excellence and Infrastructure.
FISCAL IMPACT:
City Council Staff Report
March 11, 2026 -- Page 5
Approve the Funding of Two Capital Improvement Projects from Measure J Funds In the event that the Airport’s formal request to the CBP to staff an auxiliary FIS facility isn’t approved or the City Council doesn’t approve the FIS Project, $1 million of the Measure J Funds could be reallocated upon the recommendation of approval from the Airport Commission and Measure J Oversight Commission, and approval from the City Council.
REVIEWED BY:
Executive Director of Aviation: Harry Barrett, Jr.
Director of Finance and Treasurer: Kristopher J. Mooney City Attorney: Geremy Holm
City Manager: Scott Stiles
ATTACHMENTS:
None.