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Kansas City-based engineering firm Burns & McDonnell has submitted a proposal to design, build and finance a new single terminal at Kansas City International Airport under P3 scheme.

City of Kansas will partner with Burns & McDonnell, which will lead a team of private investors, such as Americo Life, Inc.  to privately finance the project. This privately funded terminal proposal is believed to be a first of its kind in the nation. 

Part of the proposal is that the firm would get an exclusive arrangement with the city to provide the design and come up with a guaranteed maximum price. This would lead to other firms not having access to make their own offer, nor would the city request bids, which has araised some controversy. 

The project is estimated to cost about US$1 billion. Through the innovative financing model, the airport would receive financing through private investments, paid for by airport usage fees, with no funds coming from the city’s general fund, new taxes, or existing bonds.

Mayor Sly James, Kansas City, Missouri, said:

“From day one, any discussion of a new airport terminal, in my mind, required leadership from the business community. The proposal outlined today is just that. This is the kind of innovative thinking that Kansas City should be proud of.”

Ray Kowalik, Chairman and CEO, Burns & McDonnell, said:

“Burns & McDonnell is committed to investing in the city we all love and provide a creative Kansas City solution to a Kansas City challenge. Burns & McDonnell is the largest engineering consulting firm in Missouri and we have significant airport design and construction experience. This is what we do. And we are delighted to have the opportunity to bring this expertise in our home town.”

Greg Hamilton, Vice President of Investments at Americo Life, Inc.

“Our company has been in this community for generations and the future of our City is very important to us. We look forward to next steps in assisting Burns & McDonnell in assembling the required private funding. We anticipate that we will be part of a large group that will help promote the new terminal project to the voting public.”