Q:
I was looking at the revenue from the Consolidated Facility Charge (CFC) at McCarran Airport and the number did not make sense to me. For fiscal year 2013 (July 1, 2012-June 30, 2013), the CFC brought in $36,166,000. At $3.75 per day, that is 9,644,267 rental car days. If an average rental is five days (probably less) that is 1,928,853 car rentals. With 11 companies in the Rent-A-Car center and 365 days per year, that works out to 480 rentals each day at each rental car company or 20 rentals per hour per company.
That just does not sound right. Any insight into the CFC totals? Also, is there any reason why we still have to pay that when the original purpose of the fee was to finance the building and facilities? That has to be paid off by now.
A:
You might indeed think that, but …
McCarran International Airport spokeswoman Christine Crews responds, "There were more than 1,595,000 rental contracts executed at the center in [fiscal year] 2013 and the average rental period was 4.71 days." She goes on to say that the CFC only accounted for $28.3 million of the gross at the McCarran Rent-A-Car Center, with the remaining $7.9 million brought in by the rental of space in the facility. "Of that revenue, only a portion goes toward repayment of the capital costs of the facility (over a 30-year amortization, which started in 2007). The McCarran Rent-A-Car Center is a self-sustaining enterprise, so the majority of that revenue goes to pay for the annual operating and maintenance costs of the facility."
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