'The public is the loser': Arizona houseboat owners say 'no-bid' management company has failed to maintain their marina — despite reportedly raking in hundreds of millions

Contractor raking in the cash

Aramark, a Philadelphia-based company, operates Wahweap Marina, including its docks, boat rentals, gas station, restaurants, lodging and all the restrooms within, per the broadcaster. The company also operates Bullfrog Marina, at the northern end of the lake, and most of its services. Both marinas are part of the Glen Canyon National Recreational Area, which is governed by the National Park Service (NPS).

Hundreds of millions of dollars have flowed Aramark’s way. Fox 13 reports it obtained and verified documents from boaters that show, from fiscal years 2014 to 2023, the company received $684 million in gross revenue — money paid by the leisuring public — from its Lake Powell contracts. In addition, the NPS has paid Aramark around $100 million since 2018 for structures it has built, such as docks, parking lots and employee dorms.

But here’s one number that might startle regular visitors: 1969. According to Fox 13, citing public records, that’s the last year the NPS issued a bid for its Wahweap and Bullfrog Marina contracts. Aramark took over after purchasing the company that held those contracts in 1989. The NPS has been extending the deals annually.

“It’s a form of no-bid contract,” Charles Tiefer, a professor emeritus of the University of Baltimore School of Law, told Fox 13. “Since they’re not afraid of losing the contract, their incentive is to maximize their profits.”

A company has little reason to improve its performance if it knows it’s going to be retained every year.

“The public is the loser when there’s no competition,” Tiefer said.

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The cost of stagnant services

The broadcaster reports it received a statement from Aramark Destinations, the division of the company that’s responsible for the Lake Powell contracts, which said in part: “Our commitment to high standards ensures a memorable experience for all.”

But regular visitors, like Handley, claim to have experienced subpar standards. On top of the maintenance issues, there may be a staffing shortage as well. Handley told the broadcaster it recently took days for her to reach Aramark employees at Wahweap Marina to update her credit card information because nobody answered the phone.

“NPS needs to hold Aramark more accountable,” she said. “And not just to slip holders or houseboat owners but to the general taxpaying public.”

Michelle Kerns, NPS’s superintendent for Glen Canyon, told Fox 13 new requests for bids are in the works, but she didn’t specify when they would materialize.

“We have capacity issues, quite frankly, in our Washington office to get to all of these contracts that need to be renewed annually,” she said.

In the meantime, houseboaters like Handley continue to pay their dues — which she says includes $1,100 per month for a slip fee and $464 annually, plus boat registration fees with the state and a national park pass to enter and exit the marina free of charge.

“It just feels like we’re not getting any of the things we ask for in return,” Handley said.

Here’s the full statement Fox 13 says it received from Aramark Destinations: “We work closely under contract with the National Park Service to ensure the best experiences for guests during every visit to Glen Canyon National Recreation Area, where we’ve provided hospitality and recreational services for nearly 40 years. We encourage guests to share feedback through various channels, including in-person at our marina offices, via our website, or through customer service hotlines. All feedback is promptly reviewed and addressed to ensure visitor satisfaction and continuous improvement of our services. Our commitment to high standards ensures a memorable experience for all, and we are excited to welcome visitors during the heavy summer travel season.”