Decision on $4m LAX PR contracts postponed

The fate of a trio of communications-related contracts awarded by the Los Angeles International Airport worth nearly $4 million combined is still up in the air following a City Council decision to postpone a vote on them.

The fate of a trio of communications-related contracts awarded by the Los Angeles International Airport worth nearly $4 million combined is still up in the air following a City Council decision to postpone a vote on them.

The council is investigating whether the agreements violate a seven-year-old executive order barring PR-related contracts, according to the Los Angeles Daily News. Former Mayor James Hahn issued the order in 2005 to ban all outside PR contracts after private firms were accused of overbilling the Department of Water and Power.

Until the council finds out if that order is still in effect, it can't discuss the future of these contracts, the council said. It will schedule a special meeting to deal with the executive directive issue at a later date.

At stake is a contract awarded to the Phelps Group worth more than $1.6 million for public education and communication services. Los Angeles World Airports, which oversees LAX, wants to launch an effort that will inform various stakeholder groups about modernization projects, as well as future critical infrastructure and facility upgrade projects.

The other contracts are $1.5 million in work assigned to AdEase for media buying, and one worth up to $690,000 awarded to Nothing Films for video production services.

Los Angeles City Councilmen Dennis Zine and Bill Rosendahl had questioned whether the contracts should stand, saying it appears they weren't awarded after a competitive and transparent bidding process, according to the Los Angeles Times.

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