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POI to manage ports’ parking lot
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Posted on Mar 24 2005
A private company will take over the management of parking facilities at the Saipan airport and seaport starting April 1—a move that could generate $100,000 annual revenues for the Commonwealth Ports Authority.
CPA executive director Carlos Salas said the ports authority had selected Pacific Oriental Inc. among the four companies that submitted proposals for the privatization project, based on the firm’s price quotation and experience in airport and seaport operations.
According to Salas, Pacific Oriental submitted a quotation that was well within the compensation limits set by CPA: 60,000 for the Saipan International Airport parking area and $30,000 for the Port of Saipan parking space.
Under its one-year contract with CPA, Pacific Oriental will provide personnel who will be manning the parking booths at both ports.
Earlier, Salas reported that CPA could earn an estimated $62,000 from the privatization of parking facilities at the airport and $38,000 at the seaport.
He explained that since CPA started charging for parking in 2002, the airport and seaport earned annual average revenues of $122,610 and $68,671, respectively.
But while the facilities generated combined revenues of over $190,000 every year, their operation cost CPA over $215,000, including personnel and maintenance expenses; hence, an average net loss of over $26,000 every year.
Aside from this loss, Salas said CPA could no longer continue under the arrangement where airport employees, including ports police officers, were temporarily assigned to work at the booths on a rotation basis.
Salas said the employees working at the booths would be sent back to their original posts once Pacific Oriental takes over the parking facilities.
