AIRPORT DIRECTOR APPLY BY FEBRUARY 12, 2016

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1 SFO AIRPORT DIRECTOR APPLY BY FEBRUARY 12, 2016 Recruitment Services Provided by Ralph Andersen & Associates

2 A RARE AND INCREDIBLE OPPORTUNITY The pending retirement of long-tenured and highly respected Airport Director John L. Martin, in June 2016, has created this exceptional career opportunity. At the San Francisco International Airport (SFO) the seventh largest airport in the United States, based on passenger count the new Director will oversee a robust enterprise business operation with a budget in excess of $971 million supported by more than 1,500 Airport Commission employees. Top candidates will have a career history that demonstrates outstanding leadership skills and the ability to determine ongoing infrastructure demands; understand the financial structure of a residual rate setting airport; engage the community; and attract, expand, and secure other non-airline revenue. Importantly, this highly accomplished individual will also be strategic and well prepared to address a major capital program and related funding mechanisms. This top executive will also have the rare ability to oversee the exciting future for San Francisco International Airport and continue SFO s vision of Reaching for Number 1. SAN FRANCISCO INTERNATIONAL AIRPORT San Francisco International Airport is a world-class, award-winning airport approaching nearly 50 million guests this year. SFO offers non-stop flights to 39 international cities on 33 international carriers. The Bay Area s largest airport also connects non-stop with 77 U.S. cities on 14 domestic airlines. The Airport, an enterprise department of the City and County of San Francisco, accounts for $6.3 billion in business activity and supports nearly 36,400 direct jobs with more than 500 tenants. SFO has an aggressive expansion plan in place and recently embarked on the renovation of Terminal 1, the largest project in the Airport s 10-year, $4.8 billion Capital Improvement Plan. For further information about SFO, review the Strategic Plan at or visit GOVERNING STRUCTURE San Francisco is the only city in California that is also a county. Its governing powers are vested in an eleven-member Board of Supervisors elected by district, with each serving a four-year term. The Mayor the chief executive of the city is elected by the voters for a four-year term, as are the City Assessor, Treasurer, City Attorney, Public Defender, District Attorney, and Sheriff. Mayor Edwin M. Lee was elected in 2011 as the 43nd Mayor for the City and County of San Francisco. He was recently re-elected (November 2015) for his second four-year term. The San Francisco Airport Commission is the oversight body for SFO. The Airport Commission is a policy body of five members, each appointed to four-year renewable terms by the Mayor of San Francisco. The Airport Commission has jurisdiction over the construction, management, supervision, maintenance, extension, operation, use, and control of all Airport property. It sets policies and approves contracts and other major Airport initiatives. The Commission is prohibited by Charter from involving itself in the day-to-day operation of the Airport. That function is vested in the Airport Director as the chief executive officer of the enterprise department. The Mayor appoints the Airport Director from nominees determined by the Airport Commission to have executive, administrative, and technical qualifications. The Airport Director serves at the pleasure of the Airport Commission. SFO is owned and operated by the City and County of San Francisco but located approximately 14 miles south, in neighboring San Mateo County. The Airport operates under and complies with federal, state, and local law and regulations. The Federal Aviation Administration, a branch of the Federal Department of Transportation, is the primary regulatory agency. Additionally, the Airport, as part of San Francisco City and County government, is also subject to the San Francisco Charter and Municipal Codes. SFO s mission is to provide an exceptional airport in service to communities, as well as a commitment to redefining air travel.

3 THE IDEAL CANDIDATE The Ideal Candidate for Airport Director will be a strong leader, entrepreneurial and creative in nature, and also able to empower staff to do what they do best which is do their job well, have pride of ownership, and celebrate their contributions and success on behalf of SFO. Additional personal attributes and characteristics strongly desired in this accomplished professional will include being a: Visionary and forward-looking executive, open to new ideas and ways to approach airport business and operations; Person respected for business acumen, honesty, integrity, and compassion; Strong and bold leader who embraces partnering, collaboration, innovation, and transparency; Promoter of continuous improvement especially in Safety and Security; and Manager willing to be cutting edge with technology, passenger services, and security and safety initiatives. Additionally, the Ideal Candidate for Airport Director will embrace the current vision for SFO and have a passion for: Continuing to revolutionize the passenger experience through an extensive capital program and long-term Airport Development Plan; Continuing to be an industry leader in safety and security; Delivering exceptional business performance; Overseeing an exceptional airport in service to Bay Area communities; Providing business opportunities for local and diverse businesses; and Providing an exceptional place to work for employees. The Airport Director will also have a dedication and willingness to: Promote and ensure creative approaches to enhance the passengers experience; Have an unwavering commitment to fair and open air service competition; Fully engage in the partnering approach for the Airport s capital program; Achieve SFO s bold goal of attaining, within five years, net zero energy and zero waste on capital projects and carbon neutrality; and Ensure that all 35,000 Airport workers are properly trained (e.g., safety, customer service) and treated with dignity and respect. In summary, the next Airport Director of SFO will be a skilled professional able to manage this complex organization, oversee staff, and offer significant contributions and, at the same time, be true to the Core Values of SFO (see Insert).

4 Operation of an Airport The new Director should be skilled in managing operations of a world class international airport. Knowledge of how airports operate with high levels of safety and security, customer experience, and managing many stakeholders whose collective employees outnumber airport staff and are not directly under airport control, is vital. Airline Relationships There is a careful balance in maintaining strong collaborative relationships with SFO s major airlines and smaller airlines, whose interests are maintaining their market share and growing profitably, with good levels of customer service for SFO customers, while also retaining an important priority that SFO remain competitive to allow any number of airlines to provide competition and grow their service. So while good relationships are needed, the proprietary rights of the Airport must be protected. CHALLENGES AND OPPORTUNITIES SFO is a high performing organization and building on this foundation will be the legacy of the new Airport Director. The Airport has always followed a practice of financing, owning, and controlling all airport facilities (including hotel, rental car center, executive aircraft terminal, terminals, etc.) in order to maximize financial returns, operational control, and efficient use of limited land. The Airport intends to continue this philosophy and has no interest in pursuing public-private partnerships (P3), or similar approaches. Being a complex and dynamic international airport with a large capital program on the horizon, this sets the stage for an exciting future ahead for the new Director. Eight potential challenges, in order of priority, have been identified as key for the new Airport Director: Culture and Leadership Under current leadership, SFO has developed a strong culture and organization, focused on consensus and collaboration, with the passenger experience as a top priority. SFO s next leader needs to carry forward this culture of collaboration and continue to focus on the Airport s success. Also, because of the large construction program, maintaining this culture of collaboration provides significant cost savings and allows the Airport to be very competitive in the marketplace among contractors and vendors. Capital Plan and Implementation SFO has a $4.8 billion 10-year capital plan. The Airport is in the process of completing its long-term Airport Development Plan to address growth and demand over the next 20 years. These potential projects cover landside, airfield, terminals, airport support, and utilities. The plan is essential to add needed gate and landside capacity, to keep the airport competitive for future growth, and to provide a high level of customer service. The new Director needs to have specific experience in delivering major capital programs, and an understanding of how a changing environment with different levels of demand and new industry trends will continuously change the plan, all the while keeping the airport financially strong. Plans are taking shape for a 350-room Grand Hyatt hotel, a rebuilt Terminal 1 with more departure gates, and a 4-foot wall along the bay to hold back predicted rising sea levels from climate change. Financing the Enterprise The new Director needs to have a good understanding of airport finances, capital funding, working with rating agencies, and maintaining a strong bond rating. Working with the City government to develop the budget for an enterprise department is also critical. Relationships with City Hall The Airport is a department of the City and County of San Francisco, and the new Airport Director needs to understand and be adept at working with the Airport Commission, Mayor, Board of Supervisors, and the City bureaucracy to achieve the City s goals for the Airport, while dealing with attempts to politically influence the Airport from many directions under changed Airport leadership. Having good political skills, and knowing what resources to bring on board to assist with these relationships, is very important. Competitive candidates should have firsthand knowledge or experience in negotiating and managing the expectations or demands with its major tenants. Federal Agency Interactions SFO operates under a series of complex safety and security regulations imposed by a number of Federal agencies, including FAA, TSA, and CBP (Customs and Border Patrol). The new Director needs to understand what is required to meet these complex regulations, while also maintaining good relationships with all of these agencies and will be expected to institute effective advocacy at the Federal level to keep SFO at the forefront in implementing new technologies early and in obtaining appropriate staffing levels for passenger screening. The approach of one team One SFO Team put in place by the current Director has guided how SFO partners and works with the different agencies. These agencies in turn have fully supported this approach for a successful working relationship. Community Relationships In addition to working well with the City and Airport stakeholders, having experience in effectively working with surrounding communities is important. Working through issues of importance with the communities, including noise, land use, and tax issues, will allow the airport to be a good neighbor and secure needed cooperation and support from community leaders when necessary.

5 COMPENSATION The annual salary range for the Airport Director is $222,524 to $328,796. Appointments above this range may be considered for a top candidate. For further discussion, inquiries on compensation should be directed to the Search Firm of Ralph Andersen & Associates. Moving and relocation may be available for the selected candidate. For additional benefits information please see the comprehensive listing at QUALIFYING EXPERIENCE AND EDUCATION Experience Airport management experience is highly desired by the Airport Commission. In addition to those individuals with highly desired airport management experience, other highly qualified individuals are also encouraged to submit credentials for consideration. Suitability and match for this executive position will be evaluated based on a variety of factors including submitted materials, career history, and accomplishments. Additionally, with this desire to consider a broad field of candidates, it is expected that candidates may be summarized, presented, and submitted in two broad areas of career expertise: (1) airport executives (highly desired); and (2) those with experience running a major public enterprise. Strong leadership, fiscal acumen, and political skills are key to being successful. Education A Bachelor s degree is required. Advanced degree may be a plus combined with applicable experience. APPOINTMENT TYPE This is an exempt position within the City and County of San Francisco s civil service system. The Airport Director is the administrative head of the SFO organization, an enterprise department of the City. Since 1981, SFO has had only two Airport Directors, demonstrating a stable, effective and proactive organization. TO BE CONSIDERED This is a confidential process and will be handled accordingly throughout the various stages of the process. References will not be contacted until mutual interest has been established. This position will be considered open until a final selection is made. Candidates must apply by February 12, Electronic submittals to are strongly preferred and should include the following: Compelling cover letter; Comprehensive resume; and Current salary. Only the most highly qualified candidates will be invited for an interview with the Airport Commission. Interviews by the Commission will be conducted in early-to-mid March Top contenders (typically three) will be forwarded to Mayor Lee for a final decision and selection during late March. Detailed backgrounds and an offer are anticipated during April. Ideally, the new Airport Director will join SFO during June to allow for a smooth transition with Director Martin with the potential of at least two weeks of overlap. Confidential inquiries and questions regarding this career opportunity should be directed to Ms. Heather Renschler, Project Director, Ralph Andersen & Associates at (916) San Francisco International Airport is an Equal Opportunity Employer

6 SAN FRANCISCO INTERNATIONAL AIRPORT Core Values Safety and Security is our first priority We are one team We treat everyone with respect We communicate fully and help one another We strive to be the best We are innovative We are open to new ideas We are committed to SFO being a great place to work for all employees We are each responsible for the Airport s success We take pride in SFO and in our accomplishments

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