
With NBAA’s annual convention serving as the nexus of the U.S. business aviation industry, it provides an excellent opportunity for the Corporate Aircraft Association (CAA) to meet with its members and FBO partners. The organization, founded in the mid-1990s to find favorable hotel rates for corporate aircraft flight crews, has come a long way since then. With FBOs encroaching on its discount hotel-rate model, the organization’s founders instead began negotiating directly with them to offer fuel discounts for its members and, in 1997, the fuel program was launched.
Today, CAA lists nearly 9,000 individual Part 91 aircraft up to BBJs on its member rolls and has grown from approximately 25 participating FBOs in the early 2000s to 10 times that number. The plan is simple. FBOs wishing to join the program present their bid of what they will pledge to offer the group’s members, who will then vote whether to accept that location as the CAA-preferred vendor at that airport for a three-year term. Such an offer involves discounted fuel pricing to the CAA members. “If they bid a dollar into-plane fee, the fuel price can go from raw fuel plus taxes [of] $2.50 a gallon to $6.50, but the into-plane fee will always be a dollar on top of that for three years,” said Robert Bordes, the association’s president. That results in reduced costs of up to $2 per gallon in many cases. Some FBOs add further incentives to sweeten their offers, such as free overnight parking for members or complimentary lavatory service.