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HomeMy WebLinkAbout01-16-2002Airport Advisory Board MinUtes for January 16, 2002 Page Airport Advisory Board Members City of Aubum Staff Rodger Campbell Don Rottle Bud Buchanan Bill Peloza Joe DeJoie Paul Krauss, Planning Director John Anderson Anderson, Airport Manager Carolyn Brown, Secretary Chairman Rodger Campbell called the meeting to order at 7:30 am in Room 1 of the Auburn City Hall. All board members were in attendance. Planning Director Krauss introduced Bill Peloza as the new member of the Airport Advisory Board. He is replacing Stan Brown. An Airport Advisory board meeting is being schedule February 20, 2002 as an evening / night meeting and will include an invitation to tenants. The approximate time of the meeting will be from 5:30 pm until 7:00 pm. Airport Manager Anderson brought up the topic of traffic pattern change and stated that there has been some response to the survey the City mailed out. The responses will enable open dialog at the meeting. The board members will get a packet with copies of any comments received from tenants. The next item on the agenda was the issue of the helicopter operations. Airport Manager Anderson will contact Dave Wunch from Seattle and the chief pilots from the two helicopter schools. Staff would like to work out some type of agreement between fixed wing and rotorcraft. Space will be reduced when the new hangars at north end are built. The Auburn Flight Service (AFS) Fuel Discount Agreement has been under discussion between Planning Director Krauss, Airport Manager Anderson, and Jamelle Garcia. Several years ago Jamelle met with Airport staff regarding privatizing fuel. Over the last five years the City accounting costs were more then what was received from fuel markup. The City and AFS are now renegotiating the agreement. The Airport will go back to a percentage increase over wholesale price and Planning Director Krauss and Airport Manager Anderson will meet with finance regarding the numbers. This will be figured on a one-year basis and then be reevaluated. April 25, 2002 is the expiration date of current agreement. Planning Director Krauss will come back to the February meeting with an agreement. Jamelle Garcia gave the background on the past agreement. He did go to the City Council with his options. Also, at that time the City needed to replace the fuel tanks at the Airport. The current economic environment is a concern at this time. Also, insurance costs have gone up dramatically. The business is continuing to grow and AFS wants to make a profit on the college so the money earned can be reinvested in the business. Planning Director Krauss asked Jamelle to come up with information to present a proposal to finance. Board member Bud Buchanan asked whether AFS could take over the whole fuel system and then pay the City. Planning Director Krauss said that option was discussed some years ago and it was found that the fee the City would receive would not be enough revenue to run the airport. The fuel sales are the major source of revenue for the Airport. The City makes about $60,000 a year net from fuel sales. Paul stated that as hangars are built, fuel sales Airport Advisory Board Minutes for January 16, 2002 Page 2 should go up. The City has to do all the accounting and billing, and thus spends the revenue on staffing and maintenance and improvements. AFS pays the City about $3500 a year. Even with projection of sales it still comes back to the City loosing money if someone takes over the fuel operation. The ground leases will increase activity and hence, increase fuel sales. Board member Bill Peloza said the proposal by AFS could be used to recommend a higher price for the fuel. Planning Director Krauss will bring additional information back to the February meeting. Jamelle also volunteered the use of a room at the flight school to have a lunch meeting with City staff regarding the new contract. __ Airport Manager Anderson will check the meeting schedule for Planning Director Krauss and come back to the February meeting with information regarding new Airport Advisory Board Meeting day and time. Airport Manager Anderson gave a status report on Private Hanger Construction. One hangar owner wanted to be up and running in January. But the 9-11 episode added on to his completion time by 60 days. One tenant is currently paying for bare ground and because of high water tables is unable to start construction. This is the Vandenburg site, north of the airport office. Gary Bolster another private hangar owner will be paying in March. There is one more potential group for a lease and 3 others that Airport Manager Anderson is talking to that appear to be interested. John Gallo stated that the hangar rent being asked appears to be high. Airport Manager Anderson said Vandenburg is doing something similar at Payne field and that field is asking more. The City is currently looking at a 50-year lease with the land the hangars are built on. Inflation is calculated every 5 years. Regarding the GPS Approach Airport Manager Anderson stated he sent a letter to the FAA last week. Everyone, including the Mayor and the City Council, wants to know what is going on regarding the safety of the Airport. Planning Director Krauss is still considering talking to the State Legislature regarding this issue. Airport Manager Anderson has a letter dated March 1983 asking for an instrument approach. Airport Manager Anderson talked to the FAA about the RFR communication and the FAA said currently it is a funding issue. Auburn at this time is number 13 on the list for installation. Airport Manager Anderson said the Auburn Airport has good reception and a site for the building.' Item 8 on the agenda is the FAA and the drainage Issue at the Airport. Planning Director Krauss reiterated the background on this issue. The current drainage infrastructure was built with under FAg, directives. The netting placed on the ponds to discourage the geese and ducks was an experiment. Historically flooding was a problem at the north end of the Airport and this attracted birds. The old City of Auburn sewer lagoons are now gone, and so is the lake of standing water. Now the FAA is withdrawing the permit they gave the Airport two years ago and want the ponds off the Master Plan before they will approve it. Per Planning Director Krauss, the FAA is reneging on their permit and says if anything happens it will be the City's fault. Planning Director Krauss is sending aletter to the FAA stating they cannot pull their permit. The FAA does not want any benefit to be received by properties off the Airport grounds. The City storm water utility paid the Airport for the easement for their ponds. Regarding the lawsuit with Kassel Construction, Planning Director Krauss said the suit has been settled short of arbitration. Two of the hangars Kassel worked on are still leaking. But these will be repaired by Kassel. Airport Advisory Board Minutes for January 16, 2002 Page 3 Planning Director Krauss said the bond issue for the hangar project was filled before project was finished, and there is $70,000 left over and that will be used to replace the existing canvas doors. This year's budget has some money set aside for the canvas doors. The money was reinvested in the airport, since the Airport is an enterprise fund. Planning Director Krauss discussed another lawsuit that was filed against the City. The company involved is Michelle's Trucking that had a contract to do dirt and pavement work at the Airport. The trucking company had to shut down the project because of the weather and they left their equipment over the winter. The next spring Michelle's-Trucking Company wanted the City to pay 'rent' of the equipment left of $100,000. Planning Director Krauss staff is working with the attorneys. Jamelle Garcia asked about the $3 a month every tenant is paying for security. Has the current security company been fired? Airport Manager Anderson said no but everything has been forwarded to the City Attorney. Airport Manager Anderson stated he could find no provision for a 30-day notice for firing. Airport Manager Anderson said he has another company ready to go as soon as the first company is fired. They will be a little more expensive, however. There was discussion on qualifications and what is required for a security company to be in business. It was asked if tenants could form their own security group. Jamelle Garcia said this has been talked about in the past and use volunteers from the airport tenants. Airport Manager Anderson was asked about the status of the Master Plan and he said it was close to completion, but waiting for ALP. About the hangar doors, Airport Manager Anderson said $10,000 is in the budget for hangar doors, and appears, based on an estimate; this will do all the doors on the northern side. There is $70,000 in reserve for hangars especially the one that leaks badly. In April or May staff will put out the bid for any big projects. The question of repaving was raised and per Airport Manager Anderson it will depend on the grants received. Airport Manager Anderson stated the Airport has purchased a crack auger to drag behind a truck. It seems that when the weather is good the City street department is very busy and cannot work the Airport into the schedule. So with the purchase of the crack auger, the Airport staff will be fixing and resealing the cracks. Also, Airport Manager Anderson said he contacting a rental place to rent a truck and sweep it more often. This will keep the runways clean and then tenants can clean out their hangars. Chairman Rodger Campbell asked why the City stopped sweeping the Airport? Airport Manager Anderson said it was a hit and miss proposition, when Streets and Parks departments were busy the Airport did not get swept. Chairman Campbell asked why do we duplicate equipment? Airport Manager Anderson said the Airport is an Enterprise fund, has to pay for everything that is fixed at the Airport. Airport Manager Anderson said also, the Airport has someone doing community service working right now. Board member Joe DeJoie asked how many months away from Master Plan approval? Also asked about the paving and if it is not in the budget then how far away will the actual project take place? Airport Manager Anderson said the paving project would be about $1.5 million. Board member DeJoie said he has read about a government program to provide funding for general aviation. Would it be possible to apply for that for the paving project? Airport Manager Anderson said the program is still in committee at the Federal level. Board member Don Rottle asked about the hangar doors and what kind will they be. Airport Manager Anderson said the Airport would like to put doors on all hangars. Some of the doors are canvas now. Jamelle Garcia discussed his business and said rentals and mechanical are down, but the college is holding its own. Airport Manager Anderson said the Airport also lost some money. Airplane fuel is Airport Advisory Board Minutes for January 16, 2002 Page 4 now at $2.31 a gallon. According to the last survey from the Bremerton Airport, the Auburn Airport is close to the bottom on price. Board member Bill Peloza asked if it was possible to get a monthly finance report of Airport finances? And if so, would like to have it mailed with agenda. It would be best if it could show an income line and expense line, and also line items. Airport Manager Anderson said he will see what he can do, but it might be quarterly instead of monthly. Board member Peloza then asked if it is possible to get a monthly operational .report? Airport Manager Anderson if it is a quarterly report it will probably give a better picture. But he will look into what can be put together. Airport Manager Anderson said the Airport doesn't have an actual aircraft count, but-goes by fuel sales. Board member DeJoie asked if the Super Unicom can count calls. Airport Manager Anderson answered no. Board member Peloza asked why people leave the airport? Airport Manager Anderson said there are numerous reasons. Board member Bud BUchanan asked if the mechanism on the hangar doors is still good and are they worth repairing? Airport Manager Anderson answered yes. The next meeting will be a night meeting and will be advertised by a mailing or in the bill. Hopefully a number of tenants will turnout. The Airport Advisory Board would like to see meetings being held regardless of items on the agenda. Do not like to see them cancelled even if there is no agenda. There should be at least one item each month so the meeting can 'be held. Adjourned at 9:05