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HomeMy WebLinkAbout186-92 RESOLUTIONRESOLUTION NO. 186-92 A RESOLUTION AUTHORIZING THE AIRPORT TO CONTINUE OPERATION AI 1992 AIR CARRIER RENTAL RATES FOR THE YEAR 1993. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council hereby authorizes the airport to continue operating at 1992 air carrier rental rates for the year 1993. A copy of the Airport Board minutes is attached hereto marked Exhibit "A" and made a part hereof. PASSED AND APPROVED this 15th day of December , 1992. ATTEST: By. Sherry 1... Thomas, City Clerk APPROVED: By: y`-'1' Fred Hanna, Mayor MEMBERS PRESENT: MEMBERS ABSENT: STAFF PRESENT: OTHERS PRESENT: MINUTES AIRPORT BOARD MEETING NOVEMBER 5, 1992 ERNEST LANCASTER, LEO YANDA, RICK McKINNEY, HARLIN TIFFEE BOB WALDREN DALE FREDERICK, KELLY JOHNSON, JOHN COX, I.OUISE POWERS TONY CHRISTEE, DEBORAH ROBINSON, RON BUMPASS LANCASTER: Called the meeting to order at 1:00 p.m. in the Conference Room at the Park Inn. TIFFEE: YANDA: LANCASTER: FREDERICK: ITEM #2, APPROVAL OF OCTOBER 1, 1992 MINUTES Made a motion to accept the minutes as written. Seconded the motion. Motion carried. ITEM #3, REQUEST FROM TONY CHRISTEE (ADD SHEET) TO INSTALI. AN OUTDOOR ADVERTISING BOX Mr. Christee is requesting to place an outdoor d isplay stand at the airport for his publication. A previous request from the ADD SHEET was before the Airport Board on June 11, 1992. As there was no representative from the ADD SHEET at the meeting to answer questions from the Board, the Board voted to deny the request. S taled the office had another request this last week from a religious group to place literature at the airport and the office has been researching how t hese requests are being handled at other airports. Mentioned a Supreme Court ruling on soliciting and d istributing religious literature in terminals and recommended giving staff more time to research the ruling and what regulations airports can put in place, and asked if this could be placed on the agenda in December? 1 EXHIBIT A CHRISTEE: • LANCASTER: Explained the company was 22 years old and has 16 publications, and was bringing this request on the behalf of 120 clients in the Fayetteville/Springdale area. The publication is distributed free of charge containing just advertisements, no articles. Stated they do have indoor racks which could hold several different publications. He mentioned they had just been working with the University of Arkansas. They had been handing out the publications and had been asked to stop. Said the University did not want stands, but found they could not prevent them from being placed there and stands have been installed in some buildings. Mr. Christee suggested a probationary period of six months at the airport. Asked if there were any other displays similar to this request in the terminal and would like to see a picture of the display? TIFFEE: Asked if the airport would be charging a fee for the display? FREDERICK: Stated the car rentals have displays on their counters for credit card applications, and would be looking at different ways the displays, if allowed, could be regulated. McKINNEY: Asked that the existing racks also be considered. Made a motion to table Item #3 until the next meeting to give staff time to research the ruling and make a recommendation. TIFFEE: Seconded the motion. LANCASTER: Motion carried. ITEM #4, RECOMMENDATION FROM STAFF TO NOT INCREASE THE AIRLINES RENTAL RATES FOR 1993. FREDERICK: Slated with the airport's projected revenues of $100,000 over cost of 0 & M for 1993, the staff felt it would be a vote of good gesture to not ask for an increase at this time. JOHNSON: Presented several publications showing the trends in airlines, losing money, layoffs, bankruptcies and quoted an American Airline executive: "Cut 2 TIFFEE: flights and make no money, raise rates and make no money". Slated the office makes inquiries of other airports of what rates they are charging. Said the airport has just agreed to a bankruptcy settlement with Metro, Inc., dba American Eagle, for $10,000 which is about half of what they owed the airport. The Airport is required to keep 10% of the 0 & M (operations and maintenance) budget in reserve balance and we have that in the proposed budget. Stated there is the possibility of new airline service next year, and also explained the rate negotiations two years ago for the airlines and the airlines rental rate structure. Explained their lease expires in 1996, but rates are set each year. The airlines' revenues will increase as they are picking up additional rental space (new gate area). Expressed concerns about what the car rentals would think about not making any increase in airlines' rates. FREDERICK: Explained that in the airline negotiations two years ago the airlines had noticed through the airport's cost centers the car rentals rates were low and asked they be adjusted. Stated that was what the airport had just done, tried to bring the car rentals up to industry standards. YANDA: McKINNEY: LANCASTER: TIFFEE: Made a motion to accept the airport staff's recommendation to not increase the airlines rental rates for 1993. Seconded the motion. Motion carried. ADDITIONAL INFORMATION/DRAFT LETTER REGARDING RADAR INSTALLATION DELAYS Suggested copying the letter to all our Congressmen and Representatives, including Tim Hutchinson, and to the Little Rock people. YANDA: Suggested a copy be sent to Bill Clinton. Made a motion to approve sending the letter to the FAA Administrator and others mentioned. McKINNEY: Seconded the motion. 3 LANCASTER: Motion carried. Meeting adjourned. Rick McKinney 4 Date