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Home My WebLink About2010-08-12 Minutesw r FAYETTEVILLE EXECUTIVE AIRPORT BOARD MEETING • August 12, 2010 MEMBERS PRESENT: Bob Nickle, Otto Loewer, David Hollman, Janice Stanesic, Richard Greene, Tim McCarley MEMBERS ABSENT: Vaughn DeCoster STAFF PRESENT: Ray Boudreaux, James Nicholson, Louise Powers OTHERS PRESENT: Kristin Baciuska-Loomacres; Wayne Jones -McClelland Engineers; MaryKathryn Floyd and David Floyd -Million Air Fayetteville; Warren Jones -Arkansas Air Museum; Terry Gulley-Transportation/City; Skip Descant -NW Ark. Times ITEM #1: Welcome -Chairman. ITEM #2: Approval of the June 10, 2010 Airport Board Minutes. A motion to approve the minutes was made by Janice Stanesic and seconded by Tim McCarley. The motion carried. ITEM #3: Receiving of Reports. A. Director Boudreaux, report on Airport activity. Reported the flight activity was down by 7% and the fuel sales were down 9%. Suggested fuel sales may pick up after school starts. • Announced that MaryKathryn Floyd is now the General Manager for Million Air Fayetteville, and wished her well. Blaise Sharkey took a position, within Million Air, in New York. The 16 RSA project is progressing. He apologized to the TV audience for any inconvenience to those traveling the roadways during this project. We filled some T -Hangars and lost more T -Hangar tenants. We are now renting the hangars for storage, and will rent with the first month free if renting for one year. Introduced Kristin Baciuska of Loomacres. Loomacres was hired, through submitted proposals to conduct an Environmental Assessment Study. They have rented office space in the terminal to handle their mid -west business. Kristin Baciuska: Said their company is conducting wildlife assessments at this airport, and others in this area. The study is FAA funded. The objective is to locate any wildlife species within five miles of the airport, post the wildlife data, doing field work for twelve months, submit the report to the FAA, then develop a management plan. Everything is food for something bigger. Stated this airfield is immaculate, which you don't see very often, and was amazed how great staff takes care of the airfield. Ray asked Kristin to come back and report to the Board in three or four months. Ray continued with his report: Said the computer failed on the self serve fuel farm and about 1,000 gallons went uncharged, it showed on the register but was not charged. The FBO received the military fueling contract and the military inspected the FBO fuel farm and some work is required. The City requires three bids. We have applied to the State Aeronautics for a 90/10 grant, with the FBO agreeing to split the 10%. The military fuel contract will hopefully increase • our operations and fuel sales. The City agreed to refinance the loan to the Airport for the two corporate hangars, which reduced the rent to the tenants, SkyVenture and Million Air. The refinancing didn't hurt us and helped the tenants. He thanked the City Council, Budget Department for their support. Executive Aviation moved their charter service to Springdale, and 1 • David Powell their partner, bought the FBO in Springdale. We will miss their operations here. On August 19`h we will be conducting the FAA required Airport Table Top Emergency Drill, which will involve Fire, Police, EMS, County, and others. Rick Johnson of the Washington County Emergency Management will conduct the drill, so Ray can take part in the drill. The Airport has received an FAA template for a new Emergency Plan. B. Financial Coordinator James Nicholson report on FBO and Budget. James displayed the agenda charts on the screen. Stated this year the operations are 9% behind, although there has been a stable fuel increase in July and a lot of flying the last few months. Aircraft companies report that recovery is slow and will take about three years to clear out the aircraft for sale. The fuel sales will reflect in our budget/revenues for 2011, and the next few years. C. Louise Powers report on T -Hangars. We have rented a few hangars and lost a few tenants, and currently have three single engine hangars and two twin hangars for rent. D. Wayne Jones, McClelland Engineers, report on construction projects. Reported the traffic on the relocated highway was like a race track for a while and received assistance from the Police. Had a meeting with Standard Register and addressed their concerns about their entrance/exit, and fencing. The project is 51% complete. There was additional cost in the easement to Spurlock, but that was offset with reduced cost of the crushed stone for Highway 71. Target date for completion is October 121h. Mrs. Paschel does not want to sell, prefers having fencing as a traffic barrier, probably with reinforced wood. The plan will have to be submitted to the FAA for approval. E. Museum reports. Warren Jones reported having attended the air event at Oskosh. Thanked Richard Greene for purchasing four large fans for the hangar. On August 2151 the Museum will have the performers from the Rogers Little Theater performing the songs from South Pacific, • with a social hour at 6:00, a dinner at 7:00 music at 8:00, and at 9:00 there will be DJ music with music from that period. The cost for the dinner/musical is $75.00 per person. You can pick up tickets from Lou in the terminal or at the Museum. This Saturday the EAA will conduct the Young Eagles program at the Rogers Airport. Saturday the "99's", a women's organization of pilots will have a fly -in at the airport and they are flying in from all over the State. The 99's painted the compass rose on the airport ramp about five years ago. Mentioned he has a daughter that is a pilot and the FBO's new employee, Whitney, is a pilot, and have invited them to attend. We want to encourage young women to become involved in aviation. In school presentations we use MaryKathryn, FBO General Manager, as a role model to what students can do in aviation. We have had leaks in the Museum's sprinkler system. Cost is $5,600 for labor, parts, and installation, and we will be applying for a grant. ITEM #4: Old Business. A. Update: Hangar Loan Refinance. Item has already been discussed, but referred to the Loan Amortization page in the agenda. B. Update: Budget 2011. Referred to the charts in the agenda, and noted items that relate to the monthly report: Rents, Leases, Aviation Fuel, Flowage fees, FBO and Miscellaneous which is a one time fee, (i.e. Bendix's Temporary Use of the ramp). Rent is down $4,000, terminal rent down $8,000, based on losing several tenants. Aviation fuel and Flowage fees are down because volume sales have diminished. Answering why the utilities were up, repairs were made to the HVAC system and it now functions as designed, providing proper temperature to each room. • Prior to that we needed heat we turned it on, needed air we turned it on, now it is constantly on 365 days. Otto said we were looking at the wrong numbers, should check the BTU's, the bills have the energy usage. Regarding other items in the proposed budget, we have been asked to take over the utilities for the ARFF building. Our budget projections for 2011 show a $70,000 01 i • deficient. We have lowered the personnel cost, by not replacing Leon. Thanked Terry of the City's Transportation Department for providing personnel and equipment assistance for some mowing and weed eating. Ray said we are doing all we can to save money. Chairman Nickle said we did not budget revenue for the big hangar, if we can find a tenant that will be additional revenue. Losing Leon, we paid out lump sum of about $20,000 for benefits when he left the City. That was not budgeted. A motion to approve sending the Airport's budget to the City Council was made by Otto Loewer and seconded by David Hollman. The motion carried. C. Update: SkyVenture Renewal. The Airport submitted a new lease to SkyVenture and they had turned it over to their attorney for review. ITEM #5: New Business. A. A Fare to Remember Renewal. The Airport recently had a meeting with Paul and Jayn Parenti and Bob Nickle and they would like to renew their lease with new provisions. The Airport did not agree with their proposal. Their catering business is off, less business, they are behind on the Base Rent, and behind on the percentage rent. They feel they are being hit double paying the airport for off-site events as they pay a fee for the off site locations (i.e. Town Center). We propose they pay 20% each month to catch up the Base Rent, consider the 10% as part of their remodeling of the event room, the new lease would be for one year, and if they don't catch up by the end of the year, then everyone calls it quits. They are getting calls for events in January and February and can't commit until they have an agreement with the Airport. Said we built in some incentives in the lease. A motion to approve the lease was made by Tim McCarley and seconded by David Hollman. The motion carried. B. Fuel Farm Repair. Previously discussed. C. Set a Planning Meeting with the major partners on the Airport. The major businesses on the airport are: Million Air, SkyVenture Aviation, AMP Devol Aviation, Wings Avionics and the City. We all need to make pro -active decisions to help keep all going, sit down and discuss how to survive the economic turn -down. All agree on Thursday, August 26`h at 3:30 p.m. in the Airport Terminal Conference Room. ITEM #6: Other Business. A. Items from the Public. None. B. Items from the Airport Board. Tim McCarley reminded everyone of the memorial on Sunday at 4:00 at George's for Windy Austin. David Hallman, Secretary • AT 3:00 p.m. 7 Y . 1v io Date