LOS ANGELES — The Los Angeles City Council Wednesday signed off on $5 billion in contracts for design-build and construction services at LAX, advancing efforts to improve the airport ahead of major global events coming to the region.

What You Need To Know

  • The LA City Council signed off on $5 billion in contracts for design-build and construction services at LAX

  • Airport officials said they have 31 prime contractors, 13 of which are first-time prime contractors with LAWA

  • The five-year initiative aims to expand opportunities for diverse, small and local businesses while streamlining the procurement process for upcoming projects

  • Mayor Karen Bass said the MATOC shows their commitment to investing in LA small businesses and families

In a 11-0 vote, council members approved the Los Angeles World Airports' latest Multiple Award Task Order Contract, also known as MATOC. Funds will cover 51 contractual agreements for pre-qualified contractors that will aid the airport with forthcoming projects under LAWA's Capital Improvement Program.

Council members Ysabel Jurado, Traci Park, Curren Price and Hugo Soto- Martinez were absent during the vote.

Airport officials said they have 31 prime contractors, 13 of which are first-time prime contractors with LAWA. Through MATOC, the pool of 31 contractors will be in a better position to pursue some of the 51 contracts identified by LAWA.

The five-year initiative aims to expand opportunities for diverse, small  and local businesses while streamlining the procurement process for upcoming projects. Officials said 20 of these projects are expected to begin later this year.

Funding for these contracts is coming from revenue generated by LAWA, as it is a proprietary department similar to the Los Angeles Department of Water and Power.

"With major events on the horizon, this program ensures LAX is equipped to handle increased demand, benefiting travelers, businesses and the local economy alike," Council President Marqueece Harris-Dawson said in a statement.

Councilwoman Park, whose 11th District encompasses LAX, said the MATOC is a "major win" for the city.

"As we gear up for the 2028 Olympic and Paralympic Games, it's this kind of forward-thinking investment that will cement Los Angeles as a global leader in smart, innovative infrastructure with the added benefit of new contracting and employment opportunities throughout our city," Park said in a statement.

LAWA designed its MATOC with three contract award levels based on a company's contracting size, implementing higher business enterprise goals and providing small firms with contract capacity equal to that of larger firms.

LAWA also followed similar standards for size classification used by the United States Small Businesses Administration.

"This is a win for LAWA because it gives us the ability to execute our audacious plans for the city and the airport ahead of 2028, and a victory for all Angelenos because LAX will be ready for the Olympics," LAWA CEO John Ackerman said in a statement.

Mayor Karen Bass said the MATOC shows their commitment to investing in LA small businesses and families.

"We are leading the way in how investment in infrastructure means investing in people, too," Bass added.

Tim Coffey, president and CEO of TEC Constructors & Engineers, one of the awarded firms, said the contract gave them an opportunity for the first time in 26 years at LAWA to serve as a "Prime General Contractor."

He said the MATOC gives small businesses a "seat at the table."