HomeMy WebLinkAbout2006-09-13 MinutesMINUTES OF THE FAYETTEVILLE AIRPORT BOARD MEETING
September 13, 2006
• MEMBERS PRESENT: Bob Nickle, Otto Loewer, Janice Stanesic, David Hollman, Richard
Greene, Dave Bowman
MEMBERS ABSENT: Vaughn DeCoster
STAFF PRESENT: Ray Boudreaux, James Nicholson, Louise Powers
OTHERS PRESENT: Cherie Boudreaux -citizen, Wayne Jones -McClelland Engineers, Thea
Daniel -Rose of Sharon, Terry Collier -citizen, Kathy Moore and Mark Frankum-SkyVentures
Aviation, Frank Burggraf-former Airport Board Member, Susannah Patton- NW Ark. Times,
Tyron Ryan — Government Channel TV
ITEM #1: Welcome and Agenda Review — Chairman Bob Nickle. Welcomed all and invited
comments on the agenda items. T. Collier reminded everyone of the FAA Safety Meeting next
Monday at the Airport. Chairman Nickle said Julie Netherton, FAA Certification Inspector is on
site and conducting the annual certification inspection.
ITEM #2: Minutes of the August 10, 2006 meeting.
A motion to approve the minutes was made by Dave Bowman and seconded by Richard
Greene. The motion carried.
• ITEM #3: Receiving of Reports.
A. Bob Nickle, Chairman. Reconized Frank Burggraf in the audience; former Board Member
with a long interest in the Airport. Director Boudreaux answering Chairman Nickle said all
permits are in for the bike event at the airport. They will pay $5,000 base rent and $500 clean up
deposit. Several restaurateurs have looked at the terminal with no commitments.
B. Ray Boudreaux, Director. Reviewed his monthly report, calling attention that Drake Field
was the second busiest airport in the state again this month. He thanked SkyVenture and Million
Air for increasing the operation numbers. Told that the Forest Service had used the east ramp
last month; they use jet and AvGas and it takes 2,000 gallons to fill up. Million Air and
SkyVentures each had their Grand Openings. The parking lot resurfacing contract is on the City
Council's consent agenda. The Aviation Tech Center is moving out of their facility at the end of
the month, moving to NWACC's new Fayetteville campus.
C. James Nicholson, Financial Coordinator. Operations are ahead of all previous months,
and predict will exceed when the airlines were here. Fuel sales have increased every month.
The usual 20/80 break on the fuel sales changed with additional AvGas sales. Chairman Nickle
noted that Million Air sold twice as much AvGas as the self -serve. Million Air will be here one
year in September. J. Nicholson said he had added another column in the Financial Report:
Draft 2007 Budget. He reported the projected year-end was tracking close to the budget. When
the airlines left it was predicted the airport funds would last five years and we have gone beyond
that with some reserve funds remaining. Director Boudreaux said he and James had met with the
Mayor and the new CFO at the City and discussed the airport's situation, cost allocations and the
• airport's objectives. O. Loewer said you can `spend money', we have and we have something to
show, our operations are an indication.
D. Louise Powers, T -Hangar Report. We have one twin hangar vacant, we have worked
through the waiting list for twins and working one the single engine waiting list. All others are
rented. O. Loewer suggested posting the availability of space on the website, it may take a while
but people will get used to looking there. He suggested using the website for promoting the
airport, look at linkages to other airport businesses and theirs to ours, helps keep the public
• informed, use the charts to promote the airport, declare victory. Chairman Nickle suggested
using the Advertising and Promoting Commission to promote the airport as one of the gateways
to Fayetteville.
E. Construction Report. W. Jones reported the construction company is replacing the odd
shaped slabs, fifty to sixty joints are sealed, top soil has been placed around the perimeter, and
fencing is scheduled for next week. We will have Don Harris, FAA Project Manager come for
the inspection. Design is under way for the corporate hangars. Communication has already
started on the changes for the Master Plan. There will be seven large plan sheets, including the
Airport Layout Plan (ALP). This will be submitted to the FAA and City for approval. When
completed there will be twenty-five sets delivered to the Airport, for distribution throughout the
City and one CD. Director Boudreaux reported he had another client interested in building a
hangar on the west side ramp.
F. Maintenance Report. Director Boudreaux reviewed his agenda report, commenting staff
had been working getting ready for the FAA Certification Inspection. The Inspector is here and
will be checking over the airport facilities and paperwork for the next few days.
Chairman Nickle and the Airport Board set October 25`h' at 1:30 pm for the next Strategic
Planning Meeting, and October 111h at 1:30 pm for the next Airport Board Meeting. One
item to be discussed at the Strategic Planning Meeting will the Board's involvement and position
in the Air Show. O. Loewer mentioned considering at some planning meeting, the Airport's
Mission Statement, take a look at marketing the airport, where we've come in five years and
positioning ourselves for the next step.
• ITEM #4: Old Business.
A. Airport Master Plan.
A motion to approve the Master Plan with the needed wordsmithing and filling in the
operations numbers for the past five years was made by Dave Bowman, and seconded by
David Hollman. The motion carried.
B. Airport Budget for 2007.
A motion to approve and forward the 2007 budget to the City Council for approval was
made by Otto Loewer and seconded by Janice Stanesic. The motion carried.
ITEM #5: New Business.
A. Fuel Flowage Fee Ordinanace. Director Boudreaux explained the flowage fee shown in the
Fayetteville City Ordinance is six cents. We negotiated 10 cents in Million Air's lease. The
Ordinance needs to be brought up to date and he proposed increasing it to eleven cents, which
would increase the budget by $5,000.00. Discussion followed whether that one cent would
increase the fuel price, Million Air's expectations according to the lease and the Airport's good
intentions, whether the $5,000 would create ill -will, and needing to be more sensitive. Director
Boudreaux stated that in the meeting with the Mayor and the CEO, they expect us to raise rents
and prices to meet the budget. Chairman Nickle said he had reviewed the operations for the last
• two years, the electrical bill expense has increased 25%, salaries are up 9% over last year, some
up these costs have to be passed along. The paper work needs to be cleaned up for the
Ordinance.
A motion to change the Ordinance to show a flowage fee of ten cents, with the Airport
Board's understanding that it needs to be raised later, was made by Richard Greene, and
seconded by Dave Bowman. The motion carried, with one Board Member abstaining.
is Director Boudreaux presented a request to change the pricing formula for the Self -Serve fuel to
increase the profit margin. Chairman Nickle related the formula had been in place since the self -
serve was installed and last year we voted to give Ray permission for an adjustment, the formula
does not recognize the true cost. An adjustment would allow the formula to cover the cost of
maintenance. M. Frankum stated the reason that SkyVenture chose to locate at FYV was the
option of buying fuel from Million Air or the self -serve. He offered the opinion that changing
the formula would impact the price they pay at Million Air.
A motion to table changing the pricing formula for the self -serve fuel was made by Richard
Greene and seconded by David Hollman. The motion carried.
B. T -Hangar Rent Adjustment. Director presented a request to increase the rent on the T -
Hangars beginning January 1, 2007. The approximate increase for each would be about $20.00.
Chairman Nickle related the cost to maintain the T -Hangars needs to be addressed, maintenance
of doors and roof, installing new light fixtures cost twice what was originally planned, and the
increase in electricity cost. Increasing the cost by the CPI does not reflect the cost to operate, it
has gone up more than the CPI.
A motion to accept the increase as defined in the
report, effective
January 1, 2007, was
made by Otto Loewer and
seconded by Richard
Greene.
• R. Greene commented that it is the responsibility of the Board to maintain and upgrade the
facility, we can't let things go because it will hurt someone's feelings, we have to continue to be
viable.
The motion carried.
C. New Lease for terminal space: Rose of Sharon. Director Boudreaux said Thea Daniel,
owner of Rose of Sharon has asked the item to be pulled this month. She will come back another
time before the Board. T. Daniel said she is an event florist, does weddings, grand openings and
needs a place to meet clients and to do some floral arrangements, it would not be a walk in store.
ITEM #6: Other Business.
A. Items from the Public. W. Jones said all proposed costs from the Master Plan have been
forwarded to Don Harris (FAA Project Manager, Fort Worth) and he has put them into the
system with the dollar amounts. Director Boudreaux said the estimated cost to move the runway
is $4,000,000, this is a safety item for the north end of the runway.
B. Items from the Board. None.
adjourned at 3:23 pm.
0
Dave Bowman,
/- 8�-L)L
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