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Home My WebLink AboutArcher Aviation, Inc. - Letter of Intent - Regarding Partici F�� NGo� 2000 Main Street, Huntington Beach,CA `w 92648 • City of Huntington Beach 9 g APPROVED 7-0 �CFcoUNTY File #: 25-903 MEETING DATE: 11/18/2025 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Travis Hopkins, City Manager VIA: Travis Hopkins, City Manager PREPARED BY: Marissa Sur, Assistant City Manager Subject: Authorize the City Manager to Execute the Letter of Intent between City of Huntington Beach and Archer Aviation, Inc. Regarding Participation in the Federal Integration Pilot Program (iPP) for eVTOL Statement of Issue: Archer Aviation, Inc. (Archer) reached out to the City to explore a public-private partnership to pursue participation in the Federal Integration Pilot Program (iPP) for eVTOL. An executed Letter of Intent is required in order for the City to partner with Archer on this project. Financial Impact: Not applicable. Recommended Action: Authorize the City Manager to execute the Letter of Intent between the City of Huntington Beach and Archer Aviation, Inc. Regarding Participation in the Federal Integration Pilot Program (iPP) for eVTOL. Alternative Action(s): Do not approve the recommended action and direct staff accordingly. Analysis: Archer Aviation (Archer) has reached out to the City of Huntington Beach to explore a public-private partnership to pursue participation in the iPP. At the November 4, 2025, City Council meeting, representatives from Archer provided a study session regarding this program and the anticipated benefits to the City. If the City Council is interested in pursuing this partnership, the City must enter into an agreement with Archer (Letter of Intent) outlining the purpose, collaboration, exclusivity, non- binding commitment and term of the agreement. Should the Council agree to execute this Letter of Intent, the City and Archer will work to identify sites, engage stakeholders and develop application materials required by the U.S. Department of City of Huntington Beach Page 1 of 2 Printed on 11/12/2025 powered by LegistarTM 104 File #: 25-903 MEETING DATE: 11/18/2025 Transportation. Environmental Status: Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project. Strategic Plan Goal: Non Applicable -Administrative Item For details, visit www.huntingtonbeachca.gov/strategicplan. Attachment(s): 1. Letter of Intent City of Huntington Beach Page 2 of 2 Printed on 11/12/2025 powered by Legistarm^ 105 LETTER OF INTENT BETWEEN THE CITY OF HUNTINGTON BEACH AND ARCHER AVIATION, INC. The Letter of Intent("LOI") is made and entered into this 18th day of November , 2025 ("Effective Date"), by and between the City of Huntington Beach, a California municipal corporation ("City"), and Archer Aviation, Inc. ("Archer") regarding participation in the Federal Integration Pilot Program ("iPP") for eVTOL. This LOI sets for the mutual understanding between the City and Archer collectively referred to as ("Parties"), with respect to their intent to collaborate on the upcoming application to the federal Integration.Pilot Program for electric Vertical Takeoff and Landing ("eVTOL") 1. PURPOSE The purpose of this LOI is to memorialize the Parties' shared interest in forming a public- private partnership to pursue participation in the iPP,with the goal of advancing safe, quiet, and zero-emission eVTOL operations that connect Huntington Beach, Orange County to the 2028 Olympic and Paralympic Games via Archer's planned air-taxi network. 2. COLLABORATION good faith to jointlyprepare and submit a complete application The Parties intend to work in p p P pp to the iPP by the announced deadline of December 11,2025, and to coordinate closely on planning, outreach, and stakeholder engagement as necessary to strengthen the application. 3. EXCLUSIVITY The City intends to exclusively support Archer Aviation as its lead private partner for this application.Archer intends to name the City of Huntington Beach as its lead municipal partner in the initial submission to the iPP. 4. NON-BINDING COMMITMENT This LOI reflects the Parties' good faith intentions but does not create any binding legal obligation, financial liability, or commitment by either Party. It is understood that no liability,risk, or cost is anticipated to be borne by the City as a result of its participation in the development or submission of the iPP application. 5. TERM This LOI shall remain in effect through the submission of the iPP application,unless otherwise agreed in writing by both Parties. 6. NEXT STEPS Upon mutual execution of this LOI, the Parties will begin work to identify sites, engage stakeholders, and develop the application materials required by the U.S. Department of Transportation. ARCHER AVIATION, INC. CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California By: —Z6/1/ print name ity Manager ITS: (circle one) Chairman/President/Vice President APPROVED AS TO FORM: AND (A/ City Attorney By: Date print name RECEIV AND FILE: ITS: (circle one) Secretary/Chief Financial Officer/Asst. Secretary—Treasurer Xtvit6 City lerk Date 61/4/.2(p COUNTERPART 6. NEXT STEPS Upon mutual execution of this LOI, the Parties will begin work to identify sites, engage stakeholders, and develop the application materials required by the U.S. Department of Transportation. ARCHER AVIATION, INC. CITY OF HUNTINGTON BEACH, a municipal corporation of the State of PrelA California By: Priya Gupta A/r2)(4---- print name ity Manager ITS: F1wid,,,lt VP&Acting CFO APPROVED AS TO FORM: AND (At ()V-• Crex ilf+ City Attorney By: Date Eric Lentell print name RECEIVE AND FILE: ITS: Chief Legal&Strategy Officer City Clerk Date COUNTERPART SUPPLEMENTAL COMMUNICATION From: drynerson@earthlink.net Meetinj Date: 11/18/25 To: 5uoolementalcomm(alsurfcity-hb.orq;CITY COUNCIL(INCL.CMO STAFF,. Subject: Agenda Item 25-903 and Mr.Gates Date: Friday,November 14,2025 12:36:45 PM Agenda Item No. 11 (25-903) City Council- have questions and comments about one of your recent actions, as well as an item on today's agenda. I will start with the item on today's agenda: the partnership with Archer Aviation for electric VTOL aircraft. While Mr.Twining did ask some relevant questions,what struck me was the lack of questions on topics relevant to the issue. Here are some of the questions I think you should have asked, and did not-questions that I believe deserve answers before any decision is made: Questions: 1. The proposed aircraft is not yet FAA certified. What is the time frame for certification? 2. The noise level mentioned for the aircraft is at cruise,which would be at 1500- 1600'. What is the noise level during take-off and landing? 3. Archer asserts much less maintenance than helicopters. That makes sense for the electric motors vs. gas turbines. But what about all the rotational components and the tilting mechanisms? We have recently seen how inadequate maintenance has led to a significant accident here in HB. (Military aircraft require 3-4 hours of maintenance for every hour of flight time.) What is the expected ratio for these aircraft? 4. Exactly what does "host of operations" entail, since that is what HB is being requested to support? What costs are expected of HB? What is the benefit to HB? 5. HB is in the take-off and landing paths for two airports-both Long Beach and Orange County. What is the de-conflicting protocol to ensure that these VTOL aircraft are not interfering with both commercial and general aviation for both of those airports? 6. Archer mentioned that the aircraft can glide, but made no mention of the glide ratio. What is the glide ratio for the aircraft? 7. According to the documentation,the City would be the lead applicant? What does that entail in terms of staff effort and cost? Who gets the grant-the city or Archer? Archer says they have done a lot of the leg work -what exactly have they done and what remains to be done? What is the risk to the city as the applicant lead? 8. Who is on the hook for damages and liability should there be an accident? In my opinion, all those questions deserve answers before any decision is made regarding this proposed agreement and application. V Changing gears, I think it's appropriate to discuss the council's apparent decision to rehire Michael Gates. Mr. Gates portrays that he left his employment at the DoJ voluntarily, but recent reporting is that he was actually fired "for cause",with that cause being the creation of a hostile work environment—specifically demeaning and derogatory comments about female staffers. Given the history at HB,wherein the city had to pay out significant sums of money over ageism complaints, it would appear that Mr. Gates has no learning curve. Your decision to rehire someone with an extremely troubling past from an HR perspective is exposing the city to additional potential legal actions and consequent penalties. Mr. Gate's history will make it nearly impossible to defend the city in the event such issues recur. I urge you to reconsider his hiring. Should you not do so, I believe that you also expose yourselves to a contributory negligence finding in the event of legal action. Sincerely, David Rynerson Huntington Beach From: Paula Schaefer To: CITY COUNCIL(INCL.CMG STAFF)5uoolementalcommesurfdty-hb.ora;city.manaaeresurfcity-hb.orq Subject: 11/18 Agenda Item 25-903 Date: Monday,November 17,2025 2:17:09 PM Based upon the presentation made by Archer at the prior City Council meeting, it was apparent that the City Council had already met with Archer to discuss this Letter of Intent. If Archer is one of the 5 entities selected for this program, I would hope that the City Council would work closely with adjoining cities and the County of Orange to ensure the safety of the proposed services offered by Archer. Paula A. Schaefer