LA City Council approves $5B contract to fast-track LAX upgrades, boost small businesses, prepare for the 2028 Olympics

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Global Industry News

LA City Council approves $5B contract to fast-track LAX upgrades, boost small businesses, prepare for the 2028 Olympics

Airports

Marqueece Harris-Dawson, LA City Council President | LAcity.gov

By Sky Industry News

Feb 27, 2025

Los Angeles World Airports (LAWA) has announced the approval of a $5 billion Design-Build and Construction Services Multiple Award Task Order Contract (MATOC). This initiative aims to streamline infrastructure upgrades at Los Angeles International Airport (LAX), expand opportunities for small businesses, and prepare for the 2028 Olympics. The announcement was made in a February 19 press release.

According to the LAWA release, the five-year contract includes 13 first-time prime contractors and sets the highest-ever subcontracting requirements at LAWA. This ensures that small, local, and diverse businesses have greater access to contracts and job opportunities in airport modernization projects.

By establishing a pool of pre-qualified contractors, LAWA’s MATOC eliminates repetitive qualification processes. This allows projects to move forward more quickly while supporting thousands of jobs and enhancing LAX facilities for travelers and the local economy.

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

"This is about our commitment to investing in LA small businesses and LA families," said Los Angeles Mayor Karen Bass in the press release. "We are leading the way in how investment in infrastructure means investing in people, too."

According to its website, Los Angeles World Airports is the governing body that oversees the management, operation, and development of Los Angeles International Airport (LAX) and Van Nuys Airport (VNY). As a department of the City of Los Angeles, LAWA is responsible for implementing major infrastructure projects, enhancing airport facilities, and ensuring efficient, safe, and sustainable air travel. With a focus on innovation, economic growth, and community engagement, LAWA plays a key role in shaping the region’s aviation future while supporting local businesses and job creation.