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HomeMy WebLinkAbout2003-10-16 - Agendas - Final • AGENDA FOR THE AIRPORT BOARD MEETING October 16, 2003 1 :30 p.m, Airport Conference Room • 1 . Welcome, Chairman Charles Wallace, 2. Minutes of the September 11 , 2003 meeting. 3. Receiving of Reports. A. Charles Wallace, Chairman. B. Ray Boudreaux, Director. C. James Nicholson, Financial Coordinator. D. Louise Powers, T-Hangar Report. E. Construction Report, Wayne Jones. F. Maintenance Report, Ray Boudreaux. 4. Old Business. • 5. New Business. A. "Aviation Maintenance Professionals" (AMP) Lease Amendment for aircraft rental. Action : To amend permitted use. B. Ozark Military Museum Sign. Action: Approval of sign. C. New Vision Media Group Ministries and the Argroup, LLC. (Lease Data Sheet attached). Action: Approval of concert. D. Security of Museum Displays. Action: 6. Other Business. A. Items from the Airport Board. B. Items from the Public. 7. Discussion Items. 8. Adjourn. • MINUTES FOR THE AIRPORT BOARD MEETING September 11, 2003 MEMBERS PRESENT: Charles Wallace, Rick McKinney, Frank Sperandeo, Dave Bowman, Otto Loewer, Bob Nickle MEMBERS ABSENT: Mike Andrews STAFF PRESENT: Ray Boudreaux, James Nicholson, Louise Powers OTHERS PRESENT: David Hollman-Flying Investments; Terry Collier-tenant; Wayne Jones-McClelland Engineers; Judy Hammond-Arkansas Air Museum; AdamWallworth- NWA Times; Leonard McCandless-Ozark Military Museum; Dan Craft-Morning News; Chris Cheadle-Peg/FGC TV; Cherie Boudreaux-citizen ITEM -#1 : Welcome, Chairman Charles Wallace. Welcomed all attending and announced he was changing the agenda line up as some of the members will have to leave. He reflected on September l 1 'h, to remember those who had lost their lives, those • closest to them, and those doing wherever they could to help. ITEM #6: New Business. A. Self Serve System Brief. C. Wallace explained a pilot would be able to fuel his own aircraft without having to go through the FBO for fueling. It was approved at the last meeting for a not-to-exceed amount of $25,000. J. Nicholson said staff had attended the bid opening. The bid was to supply and install the tank and the dispensing unit. There were three bidders. Crusen Equipment of Little Rock had the low bid of $32,384.83. R. Boudreaux said the Airport will apply for assistance from the Arkansas State Aeronautics Commission. The State has expressed an interest in assisting in a 50/50 grant. The pad will be additional and the work will be done in-house. A motion to approve the award of the bid to Crusen for $32,384.83 for the self serve fueling system, provided the State Aeronautics approves the grant, and to approve applying for the State Aeronautics grant was made by-Dave Bowman and seconded by Frank Sperandeo. The motion carried. B. New Lease Action : 1 . Executive Air Lease. R. Boudreaux referred to the Lease Data Sheet in the agenda, saying this company is a 135 charter company. They have a King Air and a Navajo. They also have a contract with the U. of A. to fly their planes. They will house their aircraft in the FBO hangar and pay hangar rent. The one year lease for office space • in the terminal has that rent waived for one -year. They have eight pilots. A motion to approve the lease was made by Rick McKinney and seconded by Dave Bowman. The motion carried. 1 r - • 2. AR Group Lease. R. Boudreaux said they would like to rent the four offices at the north end of the terminal for several of their related businesses and also rent the old car wash building and the land around it for their Agricat business. They will fence the area. T. Johnson explained they would use the offices north of the restaurant for the restaurant's office, they waterproofing business and for their publishing business. They believed their additional businesses on the airport would increase traffic to the restaurant. R. Boudreaux stated the Agricat business is a nationwide company and AR Group is a main distributor for them. They will do the financing for the tractors and will also do financing for aircraft. F. Sperandeo expressed his concerns that approving the lease was not following the Airport Board's mission to lease to aviation businesses and that the grounds area would look like a used car lot. B. Nickle said he considered the existing car wash building an eye sore now and unattractive. Brand new equipment that is bright and shinny will be an improvement. T. Johnson said they plan to repaint the building. The only vehicles will be trade-ins not earlier than 1999. They will also have people flying in to visit their Agricat business. O. Loewer stated he saw this as a grey zone, it is a family owned business, several businesses, supporting the local community. Their businesses will feed off each other, and will create activity on the airport. He said when we rent to non-aviation businesses, we want to make sure the rent is comparative to aviation related businesses. A motion to approve the lease was made by Rick McKinney and • seconded by Frank Sperandeo. The motion carried. R. Boudreaux mentioned the restaurant's Expo had gone well and said their vendors had been high quality. 3. Blackman Auctions Lease. R. Boudreaux said the City's Fleet Department had approached the Airport for a location. They will auction some of the City's equipment and equipment from other municipalities. We probably will get $3,000. The location would be the last two rows of the parking lot and along the grass. It would last 15 days, with 5 days to set up. Approving the lease would be in the spirit of being in partnership with the City. There would be a clean up clause in the lease. A motion to approve the lease was made by Rick McKinney and seconded by Dave Bowman. The motion carried. C. New FBO Hangar Tenants. 1 . COENCO Inc. KA 90. R. Boudreaux explained that this item and the next item did not require a vote, but were informational items to inform the Board of new tenants in the FBO hangar. 2. Executive Air, KA 200. New tenant in the FBO hangar. ITEM #2 : Minutes of the July 10, 2003 meeting. • A motion to approve the minutes was made by Rick McKinney and seconded by Dave Bowman. The motion carried. 2 f • . • ITEM #3 : Minutes of the August 14, 2003 meeting. A motion to approve the minutes was made by Dave Bowman and • - seconded by Frank Sperandeo. The motion carried. ITEM #4: Receiving of Reports. A. Charles Wallace, Chairman. Explained the Airport Board had been working hard on the revisions of the Airport's Minimum Standards, which are the rules businesses on the Airport must comply. Once all the revisions have been completed, they will be published for review. Copies may be picked up in the Airport Administration Office. A public meeting will be held and finally it will go to the City Council for approval. B. Ray Boudreaux, Director. R. Boudreaux told of the FAA Certification Inspection and some runway markings that were to be corrected and enhanced. Those will be fixed shortly. The first Airshow 2004 planning meeting will be next Tuesday. He told of attending the Arkansas Economic Development Council meeting and a trip report is in the agenda packet. Bids were opened for the taxiway extension for the Forest Service, the bid was under the engineers' estimate. W. Jones stated the bid was 6% under budget. R. Boudreaux stated a meeting is scheduled for Friday to discuss the final design of the U. of A. hangar. C. James Nicholson, Financial Coordinator. J. Nicholson discussed the charts in the • agenda. Operations are up because of the June Airshow. Fuel sales shows a 23% growth over the last 12 months. The FBO began its 3'd year on August ls`. Troy was able to buy fuel before the fuel went up and just bought fuel again after it went down. He stated we have been able to keep our fuel prices at the low end of the prices being charged by area airports. He expressed "Thanks" to our Airport folks that bum turbine fuel. O. Lower commented that color on the charts added a lot in presentation. He suggested adding to the charts, how the last 12 months compared to the previous 12 months. F. Sperandeo said a good marketing plan was needed to draw in the transient customers, suggesting that to be competitive the Airport needed creative financing. R. McKinney stated some airport tenants were not buying fuel here. J. Nicholson explained the Airport Budget is going through the preliminary review at City Hall. He stated we need to take a hard look at the Capital Projects, if we really want to prolong the solvency of the Airport Fund. Some of the projections have changed as we bought the hood for the grill at the restaurant and need. to, buy a forklift. We had to borrow a forklift to load 12 pallets of aluminum wheels on a charter. They bought 600 to 700 gallons each trip. He spoke of the line item for the-control tower cost. We haven't had to begin paying the Airport share. R. Boudreaux stated we were concerned, and had contacted to contract tower people and they said the FAA is still paying them and had not authorized them to start collecting from us. Our share would be 70% of the cost to operate the tower. The formula is based on several things including different types of operations, GA, military operations, airline operations, and charter operations. J. Nicholson reported the Airport has had several new tenants since the budget was submitted and those tenants will increase the Airport's • revenue. R. Boudreaux said the Capital Improvement Project's Plan is just a plan, the projects have to be voted on before they actually happen. 3 r • D. Louise Powers, T-Hangar Report. All the T-Hangars and storage units are rented. We have four to five on each list for the T-Hangars, several for the storage units, and two for the 60' x 60' hangar. We had about 20 that overnighted in the FBO hangar, and have six long term tenants, and the charter service has two planes in the FBO hangar. E. Construction Report, Wayne Jones. The bids for the new project at the north end of the terminal ramp came in $54.00 short of the budget. The pre-construction conference is scheduled for next week and work will begin on the next Monday. Plans for the U. of A. hangar are ready for the final review and will be ready to advertise next week. Following that, design work will continue on the 60' x 60' hangars. Funding level will decide whether to build one or two. F. Maintenance Report, Ray Boudreaux. August was a major grass growing month. Staff also worked on getting the restaurant area ready. Today they are working on the roof. ITEM #7: Other Business. A. Items from the Airport Board. F. Sperandeo shared a newspaper article that had been mailed to him of an airport in a similar situation as Fayetteville Municipal Airport. B. Items from the Public. L. McCandless said the Ozark Military Museum had opened up and was going good. They are looking for more items to be donated. R. Boudreaux said they had presented a design for a sign and it was under review. J. Hammond • reported the Air Museum had two bus loads of tourist, they had rode the Arkansas Missouri train. She reported they are working with the Aviatior's Grill and the small planes hanging from the ceiling are on loan to them from the Air Musuem. The date for the Airfest 2004 has been set for June 19'h and 20`h and asked for volunteers. She reported she would be attending the ICAS Convention to view different air show acts and they are already signing up acts for next year. ITEM #8: Discussion Items. C. Wallace said he would communicate with the Board to set the date for the Strategic Planning Meeting. R. Boudreaux reported that Judy Hammond's job had changed. She had come to work at the Air Museum as almost a volunteer. She has been at the Museum for one year and has now been named a full-time director with and annual salary and benefits. She is doing an excellent job. C. Wallace asked Terry Collier to pass along the word about the work on the Airport's Minimum Standards. Meeting Adjourned at 3:23. • Dave Bowman, Secretary Date 4 f 1 FAYETTEVILLE AIRPORT ADMINISTRATION OFFICE �HE CITY OF FAYETTEVILLE. ARKANSAS Z i MONTHLY REPORT Director, Aviation and Economic Development Fayetteville, Arkansas September 2003 In August the FAA representative from the Fort Worth office of the FAA conducted their certification inspection of Fayetteville Municipal Airport, Drake Field. Two discrepancies were documented both relating to the runway paint markings recently completed during the runway rejuvenation project. The contractor corrected both discrepancies in September by covering the yellow lines where they were painted over the white runway markings. We also put black paint around the hold markings so that the yellow was easier to see. The certification letter listed several suggestions that we also implemented. We sent along a copy of the new fire department training CD that gives new firefighters orientation of the runways and taxiways and teaches them what the markings mean. Terry Lawson did a great job putting the program together. I attended the Arkansas Airport Operators Association Conference in Eureka Springs. A trip report of the conference is attached to this monthly report. The highlight of the conference was the decision of the Arkansas Department of Aeronautics to pay the entire 10% match for AIP projects. We had • applied for a 5% match to our Forest Service project, but as a result of the decision, we were given the entire 10% match which was an additional $68,484.00. We opened bids for the self serve fuel system to be installed on the east side of the airport. The system will have a 1000 gallon tank with dispensing system and credit card reader so that customers can pull up and pump their own fuel. We have applied for a 50/50 State grant for the purchase and installation of the system. The state will not have an October meeting, but has told us that the application is in accordance with State guidance and fundable. A committee was formed by the Airport Board to research the possibility of including a motor fuel tank along with the new self serve Avgas tank. Some of our tenants continue to use the lower octane fuel and would like to have the fuel available at the airport. The staff is looking into the possibility of installing the tank and what the cost might be to provide the service. We opened-proposals for the Hay Lease on the airport properties. The new contractor will start the operation in October. The U of A Hangar project is finally advertised and the bid opening scheduled for October 23 at 2:00. Hopefully we will start construction this fall. We held a Preconstruction Conference for the USDA Forest Service Fire Base Project. FAA, • USDA, NICE, APAC, all of the subcontractors and Airport Staff were in attendance. The project ground breaking could occur in mid October. We will schedule a ceremony later. . 4500 SOUTH SCHOOL AVENUE. SUITE F • AIRPORT TERMINAL BUILDING • FAYETTEVILLE. AR 72701 PHONE 50 1 -718-7640 Exc. 5 • FAX 50 1 -718-7646 s+ 1 • Monthly Report September 2003 Page Two We continue to meet with the other City Directors and the City Budget Office on the 2004 budget. We are under the target budget for the airport. The Economic Development budget is over target because we have included some additional marketing funds to be used to market the Airport and the City. We don't know if they will be approved. The core/non-core meetings continue as well. With decreasing sales tax revenue, the City finds itself in a stressful time thus the many meetings to insure that we are only budgeting necessary spending. Arkansas Aviation Technology Center. will terminate the lease on their second building effective October 1 , 2002. More than a year ago, they had petitioned the airport to reduce their lease amount which was approved. They will store the equipment in a storage container next to the building. This in no way implies that the school is having difficulty. They are doing well and their numbers are increasing. They have not needed the building for a long time. This will allow more flexibility for the airport. We have potential clients for the building and will continue to lease to Flying Investments for storage of their Falcon 20 aircraft. The contractor has started the project to pave the grass areas north of the terminal and to thus widen Taxiway B to 50 feet. This project will complete the widening of Taxiway system except for the portion of Taxiway B north of Taxiway D. The widening was done to accommodate the Forest • Service aircraft. I will attend the annual National Business Aviation Association Convention in Orlando October 5 through 9. We have borrowed the booth from the Town Center and have printed brochures and have ordered marketing pens to pass out to the attendees. We are hoping to generate some business for Fayetteville by our attendance. The convention is very expensive but hopefully will result in some good contacts. Next year we will partner with the Arkansas Department of Economic Development to attend and save some money. Alderman Don Marr came out to the airport for a tour and briefing on what's happening. I think he was surprised with the activity and improvements. The Airport Board met for two strategic planning sessions to work the Minimum Standards rewrite. We completed "the ieview and should be able to receive public comment sometime this month. It will be presented to the City Council for final approval following the comment period and final acceptance by the Airport Board. Respe fully Submitted, • Ray M. Boudreaux Director • FAYETTEVILLE THE CITY OF FAYETTEVILLE. ARKANSAS DAN COODY. MAYOR TRIP REPORT TO: Mayor Coody Directors FROM: Ray M. Boudreaux DATE: September 14, 15 & 16, 2003 LOCATION: Best Western Inn of the Ozarks Eureka Springs, AR SUBJECT: Arkansas Airport Operators Association (AAOA) Conference I attended the 2003 Arkansas Airport Operators Association 10`" Annual Conference in Eureka Springs. The highlight of the conference was the presentation by Lt. Governor Winthrop • Rockefeller. He was the luncheon speaker on day two of the conference. As a user of aviation, and the owner of an airport, and the FBO manager, he was very aware of the impact of aviation to a community. He commented that for every $ 1 .00 invested in airports there is a return of $6.70 in economic impact. He said that Air Shows are bigger than NASCAR. Then he got onto the State education issue. Between 1998 and 2003 the University system graduated 1 ,193 physical education majors and only one physics graduate. Interestingly though, the Arkansas student-to-teacher is the best in the Nation at 11 to 1 . He talked the remainder of his time on the education issue, but in the end praised the aviation industry of Arkansas for its forward thinking and the progress made in the last 20 years. The opening of the conference was supposed to be the Mayor of Eureka. She was busy and sent Lynn Berry, one of her department heads: She came later and again welcomed the conference to Eureka. The first presentation was by Tim Ernst, photographer. He prepared slide to music presentations on Arkansas Waterfalls and the Buffalo River. Very Interesting. Aviation and Economic Development Department 4500 South School, Suite F Fayetteville, Arkansas 72701 • (479) 718-7642 Ray M. Boudreaux, Director rboudreaux@ci.fayetteville.ar.us • The Arkansas Department of Aeronautics Commission Meeting was before lunch. I have attached their agenda for your information. Our request for $68,484.00 was approved to match the AIP project for the Forest Service taxiway extension and ramp. The Commission approved $790,929 in grants at the meeting. Later in the meeting, the Commission revised the match required of general aviation airports. Instead of 5% State and 5% local for FAA AIP Grants, the State now pays the entire 10% match for qualifying AIP projects. We received another $68,484.00 for the Forest Service project. I have also attached the new state grant specifications as changed at the meeting. After lunch, Mark Stodola, Esq. talked about legal issues that affect airports in Arkansas. I will forward the package to the City Attorney for information and his action as necessary. The most interesting was the fact that all publicly owned airports shall be exempt from ad valorem tax to the same extent as all other public owned property used for public purposes. The FAA roundtable was several FAA officials and each talked in his area of expertise. They asked that the FY2005 project listing be in their Dallas office NLT March 1 , 2004. The approval criteria has changed slightly and the projects must now be complete in 2 years without special approval. Project must be a good project that satisfies an aviation need, it must be ready to put the funds to work and the airport must be committed to the project and want it. Ed Agnew, FAA, opened the meeting on Tuesday. The steady recovery of the airlines since the 9/11 atrocity is now documented. Grants are at the largest level in many years, many to fix security and safety concerns. The AR/OK office processed 142 grants in the FY 03, 60 in Arkansas for $32MM. • Unfortunately, end of year funding is drying up as all grants are being fully expended. They are still not allowing security systems for GA (general aviation) airports, but fencing/gates are still OK for security and wildlife. He is convinced that GA airport security requirements are coming. There will probably be two or three mandatory guidelines and many that are highly recommended. It will be expensive. David Olive talked about "What's New in Washington." He opened with this: "The FAA is considering banning passengers on all domestic and international flights" (a joke). The talk got better. The Aviation Reauthorization Bill has not yet passed due to the contract tower conflict. The Tower Controllers' AFLCIO union is fighting hard to have the FAA stop contracting out for the smaller airport towers. The fight has resulted in letters from both sides to representatives with resolution of the problem not in the foreseeable future. Without a reauthorization bill, funding for all FAA functions could be in jeopardy . TSA was meeting the same dates as the conference and David Olive reported that the TSA could enact new security requirements for GA airports and require the States to design the controls and fund the installation. He attended several TSA meetings and has evaluated the agency as totally dysfunctional. Aviation and Economic Development Department 45011 South School, Suite F Fayetteville, Arkansas 72701 • (479) 718-7642 Ray M. Boudreaux, Director rboudreaux&i.fayetteville.ar.us r • Prentiss Andrews of the FAA Air Traffic Division talked about Airspace Studies and the requirements for Form 7460- 1 . The form must be completed on all structures over 200 feet or within 20,000 feet of the runway or exceeding the 100/1 slope or on the airport property. The review always includes a public comment period. A hazard to air navigation is: A significant, substantial, adverse impact on a potential aviation activity. The final presentation was by Jerry Henderson and Rick Hamm of the TSA. They reiterated that the GA rules would be released by the end of September. -Will be by categories of airports -Will include mandatory steps and recommended steps -Cargo companies will be included -Charters with more than 61 seats or more than 100,000 lbs gross weight -Mostly common sense procedures His final comment was that TSA requirements may, or may not, come with cash and if the States are required to plan and enact procedures, there is a real possibility that there will be a fund shortfall. It was a good conference that we will plan to attend next year. • Respectfully submitted, Ray . Boudreaux, D' for Aviation and Econo c or Aviation and Economic Development Department 4500 South School, Suite F Fayetteville, Arkansas 72701 • (479) 718-7642 Ray M. Boudreaux, Director rboudreaux&i.fayetteville.ar.us DEPARTMENT OF AERONAUTICS AERONAUTICS COMMSSION MEETING AGENDA SEPTEMBER 15, 2003 CALL TO ORDER CHAIRMAN SPARKS / - VISITORS AND GUESTS (/1 MINUTES OF THE AUGUST 13, 2003 MEETING III (/3 . FINANCIAL REPORT • U W REQUESTS FOR STATE AIRPORT AID DIRECTOR'S REPORT/PRESENTATIONS 4� NEW BUSINESS/GRANT PROGRAM 7. OLD BUSINESS 8. ADJOURN JK/cb l • J DEPARTMENT OF AERONAUTICS • FINANCIAL REPORT REPORT FOR SEPTEMBER 1 , 2003 AUGUST YEAR AUGUST YEAR 2002 TO DATE 2003 TO DATE SPECIAL REVENUEISALES TAX CREDITED TO AERONAUTICS 230,745.68 518,215.38 . 393,461 .35 715,990.15 USE TAX (ACT 924 OF 1997) USE TAX DISTRIBUTION TO AERONAUTICS25,152.95 767,587.31 80,903. 16 236,900.49 TOTALS 2559898.63 1 ,2859802.69 474,364.51 952,890.64 BALANCE AS OF SEPTEMBER 1 , 2003 11 ,429,693.32 • GRANTS PAID AUGUST 2003 503,706.87 111571752.09 OUTSTANDING GRANTS AS OF SEPTEMBER 1 , 2003 51372,842.31 STATEAIRPORTAID 49592,952.58 FEDERAL AID 779,889.73 TOTAL 5,3729842.31 APPROPRIATION STATUS SPECIAL REVENUE APPR. (ACT 8 of 2003) 81000,000.00 YEAR TO DATE PAID 1 ,157,752.09 AMOUNT AVAILABLE Id 61842,247.91 TODAY'S REQUEST FOR STATE AIRPORT AID: NEW REQUEST FOR SEPTEMBER 2003 790,929.47 In AMENDMENTS TO GRANTS 0.00 �Ov TOTAL 790,929.47 X IRSCAL YEAR ENDS i 6/30/2004 • NEW REQUESTS FOR STATE AIRPORT AID VALNUT RIDGE — Request $4,200.00 to prepare Environmental Assessment for 2ext nsion of Runway 4. (Total cost of project is $84,000.00) (AIP) ST MEMPHIS — Request $22, 144.00 for re-grading of runway and taxiway shoulders to meet FAA requirements, seal coat for parallel taxiway, stub taxiways and a portion of apron and purchase of a pavement sweeper. (Total cost of project is $y1421875.00) (AIP) SPRINGDALE — Request $4,790.00 for revenue investigation section, update of the Height Zoning Ordinance and Noise Overlay Areas of the Master Plan. (Total cost of p Ject is $95,800.00) (AIP) RKADELPHIA — Request $3,250.00 to purchase 12.5 acres of property adjoining the north end of the runway to increase safety in the runway protection zone. (Total cost of ;A' ect is $652000.00) (AIP) YETTEVILLE — Request $68,484.00 to construct taxiway "A" extension. (Total cost ofp ject-is $ 1 ,369,692.22) (AEP) ORTHWEST ARKANSAS REGIONAL — Request $ 147,517.94 for construction of a snow removal equipment building, security information signage, security fencing, and • cost associated with the construction of terminal building. (Total cost of project is ,950,358.88) (AIP) ORTHWEST ARKANSAS REGIONAL — Request $ 138,888.50 for construction of a eneral Aviation Taxi lane. (Total cost of project is $2,777,777.00) (AEP) ORTHWEST ARKANSAS REGIONAL — Request $ 10,000.00 for crack sealing of approximately one-half of airport's runway pavement. (Total cost of project is $20,000.00) (50-50%) quest $53,409.03 for construction of hangar for local Agricultural otal cost of project is $ 106,818.06) ($50-50%) PRT SRT SMITH — Request $4,090.00 to purchase and install new beacon. (Total cost of project is $8,180.00) (50-50%) SOUTHERN ARKANSAS TECH (Camden Campus) — Request $2,000.00 for SOUTHERN Maintenance Scholarship. (Total cost of project is $2,0000) (No Match) i SOUTHERN ARKANSAS TECH (Texarkana Campus) — Request $2,000.00 for ation Maintenance Scholarship. (Total cost of project is $2,000.00) (No Match) 1UPe Two I N S ELLVILLE — Request $6,863.00 to replaces roof on T-Hangar. (Total cost of proj ct is $ 13,727.00) (50-50%) J NDON — Request $5, 100.00 to repair �f on maintenance hangar. (Total cost of proj t is $ 10,200.00) (50-50%) \� TORTHTON — Request $98,343.00 to repair and seal runway, taxiway, and apron. of project is $ 109,270.00) (90- 10%) Request $ 144,850.00 to overlay and re-mark runway, taxiway and apron al cost of project is $ 160,950.00) (90-10%) ITTLE ROCK — Request $75,000.00 for Phase III of West General Aviation drainage project. (Total cost of project is $ 100,000.00) (75-25%) • FAYETTEVILLE THE CITY OF FAYETTEVILLE, ARKANSAS - DAN COODY, MAYOR 1500 School Ave., SUlte F Fayetteville, AR 72701 178.718.75/2 AVIATION AND ECONOMIC DEVELOPMENT RAY M. BOUDREAUX, DIRECTOR TO: Airport Advisory Board Members THRU : Ray M. Boudreaux, Director FROM: James Nicholson, Financial Coordinator DATE: October 15, 2003 SUBJECT: FBO Report Tower Operations Graph: Below is a graph which depicts monthly aircraft operations as counted by the Fayetteville Municipal Airport ATC Tower. This graph compares monthly totals of aircraft operations since January 2002. OPERATIONS - CUMULATIVE 2002 / 2003 N 35 TI E 30 ❑ 2002 0 255 M 2003 i` 20 15 10 5 & O FBO Fuel Sales: As can be seen in the graph below, fuel sales volume continues a trend of growth over 2002. The September sales level is approximately 97% of the FBO's monthly average volume for the past 12 months of 28,250 gallons. Volume sales have increased 12 . 1 % over the same 12 month period, (Oct-Sept) in the year previous. FUEL 5ALE5 - CUMULATIVE 2002 / 2003 o 350 a i 300 ❑ 2002 0 250 2o 2003 200 150 0 5 I 0 • �Pa ��o bra ca- �P{ �� �s r� ��e �� �� o,�o • Local Area Data : Retail fuel prices in the local area remained steady in September following increases in August. In September, Fayetteville reduced prices $.06 & .08 for JetA and 100LL respectively, corresponding to reduced wholesale costs. Following is a comparison of regional retail fuel prices as of 10/15/03/03: Regional Jet Center (XNA) Avgas: 3.08 Jet-A: 2.70 Pinnacle Air (ASG) 2.61 2.47 Beaver Lake (Rogers) 2.78 2.47 Hughes Aviation (Bentonville) 2.70 (SS-2.35) 2. 36 Siloam Springs (City-run) 2.35 (sS-1 .99) 2.25 Fayetteville Municipal 2.49 2.26 Regional Jet Center provides discounts on Jet-A; . 10 @ 500 gals+, .20 @ 1 ,000 gals + Fayetteville offers discounts for cash sale and quantity discounts on jet fuel . The Graph below illustrates wholesale fuel price fluctuation since January 15}, 2003. We saw a decrease in September after high prices in August. Prices appear to be on the increase again in October. Wholesale Fuel Price Trend sox • 25% 'x Lhg Jct A lox —x Lhg 100LL 15% r u YJx u 5% u � 5x — d aox — — — — .15x - -2ox E Week 2005 FYV Fuel Ops Facts: Average monthly fuel sales: 28,250 gals September 2003 fuel sales: 21 ,627 Jet . 78.6% 5.865 Avgas - 21 .4% 27,492 Total Jet-A sold to FYV-based customers in September: 12,929 - 59.7% Jet-A sold to transient aircraft customers in September: 81698 - 40.3% • Avgas sold to FYV- based customers in September: 21975 - 50.7% Avgas sold to transient aircraft customers in September: 21890 - 49.3% f � • City of Fayetteville Arkansas Airport - Drake Field Operating Statement - Airport Board For the Month Ending: 09/30/03 2002 2003 2003 2003 2004 Actual Budgeted Actual YTD Pdctd Yr End Budget Operating'Revenue Rents & Leases 2879035 336,350 258,490 358,068 370,200 Aviation Fuel 499,471 11100,000 461 ,180 7059647 853,000 Miscellaneous 16,461 35,000 21 ,621 26,472 22,500 Total Operating Revenue: 802,967 11471 ,350 7419291 1 ,090, 187 1 ,245,700 Operating Expenses Personnel 312,807 361 ,612 253,332 337,776 370,802 Materials & Supplies 12,464 44,590 31 ,929 53,750 39,450 Aviation Fuel Purchases 320,641 630,000 331 ,969 476,204 522,000 Services & Charges 179,982 266,392 173,252 176,059 248,059 Cost Allocation to General Fund 1449612 144,612 108,459 1449612 144,612 Maintenance 48,874 550610 49,921 52,928 63,710 Operating Capital / Equipment 250206 - 41999 18,203 71500 ATC Tower Costs 1920500 1929500 195,000 Total Operating Expense 1 ,044,586 11695,316 9539861 19452,032 1 ,591 ,133 • Change In Fund Balance (241 ,619) (223,966) (212,570) (361 ,845) (3451433) from Operations • City of Fayetteville Arkansas Page 2 Airport - Drake Field Airport Fund Statement - Airport Board For the Month Ending: 09/30/03 Beginning Funds Available - 01 /01/2003 21474,359 Airport Fund Revenue YTD Projected YE Est 2004 Interest on Investments 61 ,457 79,996 459000 Non-Op Miscellaneous 90332 91334 - Total Fund Revenue 70,789 89,330 45,000 Airport Fund Expense 2003 2004 Capital Project Expense / Grant Matching YTD Projected @ Completion Projected AIP #29 - Pavement Rehab 69989 21 ,989 AIP #30 - Taxiway A Extension Design 29095 51836 AIP #31 - Taxiway A Ext. Construction Hangar Rehabilitation 27,495 36,493 - Corp Ramp Pavement 330,072 330,372 - -FBO Hangar 518,792 518,792 - Executive Hangar 2@ 60x60 18,200 300,000 - East-side Self-serve 100LL - 17,967 10 Bay T-Hangar - 100,000 • UA Hangar - AIP #32 - Taxiway A Ext. Phase II Executive Hangar 2@ 60x60 258,100 100 x 200 Corporate Hangar Roof Maintenance 200000 New Airport Entrance 100,000 Debt Service - - Total of Project Expense - Airport Fund 9030643 1 ,231 ,449 478,100 Income Less Expense (832,854) (1 ,142,119) (433,100) Change In Fund Balance from Operations (212,570) (3619845) (345,433) Ending Funds Available 9/30/2003 11428,935 Est. 970,395 191 ,862 Outside Grant Funds Contributed YTD Projected YE State 595,231 743,162 Federal 163,517 1 ,787,864 US Forest 33,250 8879098 Total: 791 ,998 3,418,124 T T T • LEASE DATA SHEET TENANT: New Vision Media Group Ministries and the Argroup, LLC • ADDRESS: 4500 S. School St Fayetteville, AR 72701 PHONE: 479.582.5355 PROPERTY LEASED: The Agricat Lot Leased by Argroup and unused area of the Terminal lobby. USE OF PROPERTY: Concert BEGINNING DATE: October 25, 2003 TERM OF LEASE: October 25 with a day before to set up and a day after to tear down. OPTION TO EXTEND: N/A • RENTAL FEES: $ 1 ,000.00 SPECIAL CONSIDERATIONS: N/A DESCRIPTION: One time outdoor concert to be held in the Agricat lot with a few displays in the Terminal lobby. Argroup will be hosting the event and will use the activity to bring additional business to their restaurant. The group expects less than 1000 people. RECOMMENDATION: Staff recommends approval.