Minutes Airport 10 24 05
DUBUQUE REGIONAL AIRPORT
COMMISSION MEETING
Monday,
October 24, 2005
4:00 p.m.
Dubuque Regional Airport
Dubuque Jet Center Conference Room
PRESENT: Teri Goodman, Mike Santillo, Doug Brotherton, and Steve Accinelli.
ABSENT: None.
STAFF: Andrew Perry, Gordy Vetsch, Peggy Dickson and Todd Dalsing
GUESTS: Dan Nicholson (City Council), Mike Dymterko (Coffman Assoc), Dave Heiar
(City of Dubuque) Rick Dickinson and Kimberly Ahrens (GDDC)
01. APPROVAL OF MINUTES
Steve Accinelli moved to approve the minutes of August 1, 2005 Commission
meeting. Doug Brothertoni seconded the motion. AYES: All. NAYS: None.
OLD BUSINESS:
01. REVIEW OF AIRPORT STATISTICS
Andy asked if anyone had any questions regarding the statistics. Steve Accinelli
noted the hangars had a 90% occupancy since 8 of the old wooden t's had been
torn down. There was a correction noted to the FBO statistics. There was a
remark that Jet fuel was down compared to last year, but 2004 was election year
with all the campaign traffic.
02. CIP BUDGET FY07
The CIP budget meeting with the City Manager was discussed. After some
dialogue, the Commission asked that a meeting be set up between Mike Van
Milligen, Teri Goodmann and Steve Accinelli. Andy was directed to provide the
information to the City Manager regarding the process for the release of airport
property to City control for the area the occupied by the Naval Reserve. Steve
Accinelli asked for a maintenance schedule to be established for all airport
buildings. Andy said this information was being put into the GIS system by the
Operations Staff but progress has been slow with staff limitations. There was some
discussion about an ongoing project each year that deals with the maintenance of
all airport buildings.
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October 24, 2005 Meeting
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NEW BUSINESS:
01. ADDENDUM FAA AIRWAY FACILTIY SECTOR LEASE
The FAA has downsized its employees in Dubuque to one person. Their current
lease expired on September 30, 2005 and they have requested a six month
extension to develop a proposal to remodel the space over the winter months
reducing the square footage to one person. Staff will negotiate a new lease with a
reduction in square footage. Steve Accinelli moved to approve a six month
extension. The motion was seconded by Doug Brotherton. AYES: All. NAYS:
None.
02. HERTZ APPROVAL OF LEASE ASSIGNMENT
Hertz Corporation, owned by Ford Motor Company, has been sold and a change
of ownership assignment has been requested. Tim O'Brien has reviewed and
approved the lease assignment. Steve Accinelli moved to approve the assignment
to CCMG Holding, Inc. This motion was seconded by Doug Brotherton. AYES:
All. NAYS: None.
03. SET 2007 PARKING PERMIT RATES
The Commission was asked if they wished to increase the cost of the long-term
parking permits for 2007. After a brief discussion the Commission took no action
leaving the 2006 parking rates in place.
04. MODIFY THE FY06 EQUIPMENT BUDGET (GROUND SUPPORT EQUPMENT)
The Commission reviewed the scenario that was discussed with the City Manager
to help defray airline revenue losses through the purchase of ground equipment
that could be utilized by multiple carriers. A new de-ice vehicle was approved by
the City Council which the FAA will fund @ 95% of the cost. Teri Goodmann said
she wanted to thank the Council for supporting the Airport Commission's efforts to
retain and enhance air service during these hard economic times in the airline
industry. Steve Accinelli moved to request Council approve the acquisition ground
equipment and fund it by postponing the Jet A truck that was budgeted in FY06.
This motion was seconded by Doug Brotherton. AYES: All. NAYS: None.
05. FY 07 OPERATING AND MAINTENACEIIMPROVEMENT BUDGET:
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The Commission received the proposed budget, Andy Perry advised the
Commission that some minor modifications would probably still be made. Some
items called out were; Supplies and Services have increased 35.57% mainly due
the aviation and other fuel costs. Capital outlay has increased 7.69% and debt
service has decreased. There are some decreased revenues with FAA, TSA
downsizing and the demolition of 8 wood t-hangars. There is a 29.6% FBO
revenue increase mainly due to the higher cost of fuel, and a 2% decrease in
parking based on 05 actual. The Commission agreed to send the operating and
maintenance budget to the City.
The Commission discussed an improvement level for the position of marketing
manager. Throughout the business forums a fundamental need for a more
consistent marketing strategy. This stems from a lack of personnel resources.
The Commission asked about the cost outside of salary, Andy told the
Commission that it would cost about $4,000 to set up computer, desk other
items. The Commission unanimously approved the request for this position.
The Commission then discussed the reclassification of the stenographer position
that Peggy Dickson holds. When she retires in the FY07 budget this
classification no longer exists. Her role now consists over overseeing various
programs: Passenger Facility Charges, Disadvantages Business Enterprise and
Airport Improvement Program, and budget related areas. The Commission
supported the change based on work done and asked that it not wait until the
FY07 budget goes into effect. Steve Accinelli moved the Commission's support
of the reclassification and the position is to be reviewed and reclassified and
directed Andy to get with Human Resources and move that process along. This
motion was seconded by Doug Brotherton. AYES: All. NAYS: None.
The Commission also discussed other areas such as obstruction mitigation with
cutting some trees in violation of Part 77. Also discussed were several items
related to operational equipment or building changes. The Commission said that
the consensus was to send the improvement level budget be turned into City
Hall.
06. AIRPORT MANAGER'S REPORT:
&... Set Strateqic Session Dates:
The Manager was looking for some common dates to reschedule the strategic
session dates with Sid Scott. The Commission set November 15 and December
15, 2005.
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B. Marketinq Update 1-888 Number
An idea from the marketing group was a number business travelers use when
airfares discrepancies are found. This phone will be in American Eagle's office
who will respond in four hours to find the lowest possible price from Dubuque.
This will be installed in November. Marketing money will be used keeping more
business travel in Dubuque with competitive pricing.
C. Construction Update
The Commission was told the SRE building was well underway as they could
observe across the road. The box hangars are moving along, and the self fueler
will arrive somewhat later than anticipated. A set of the old wood t-hangars are
being demolished in conjunction with the construction of the new box hangars.
D. Set Commission Meetinq Dates
With holidays falling in both the November and December regular meetings the
Commission discussed various dates they could reschedule that met all calendars.
It was finally decided that the Nov/December meetings would be combined and be
held on December 15, 2005.
E. De-Ice Vehicle:
Specifications for the vehicle have been submitted to the FAA for review, upon
approval they will be ready to start the bidding process, possibly at the next
meeting.
07. CORRESPONDENCE:
There was no discussion on the correspondence.
08. PUBLIC INPUT
None.
09. COFFMAN INDUSTRIAL PARK PRESENTATION
Mike Dymetrko spoke about multitude of airports in the Midwest with business
parks on the airport. Most commercial airports have some type of commercial land
use. He explained that land not needed for aviation is used to boost the bottom
line. Airports would be derelict to do nothing when they have a possible source of
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revenue. Businesses that locate on airports normally have nothing to do with
aviation. Land lease rates vary depending upon the infrastructure available. With
no infrastructure you can look at 4 ~ on up. Major access such as rail and
improved property could run from 12 to 20~.
The benefit to potential business to use a land lease rather than purchase property
is that they have the ability to reduce up front costs. Some problems associated
with the land lease is the reversion clauses in these leases make the banks
nervous. However, long-term leases typically reassure the banks.
Dave Heiar talked about competition for tenants. Mike Dymetrko said that any
tenants in Dubuque would not likely be looking for the same thing. The Airport did
not have enough land for a large business and had little infrastructure in place and
buildings that have to revert to the airport in time. Rick Dickinson said he had little
concern about the same tenant base but his concern was the visible area and
design of buildings. Teri Goodmann told him she had seen the design and the
Commission approved the buildings. Andy said the airport had some covenants in
development and the Commission has approval on the building design. There will
be plantings around the buildings as construction and weather permits. Rick
Dickinson said IIW had looked at a cost estimate to bring out utilities and it would
take a major anchor to support this construction. Mike Dymetrko said the airport
did not have that amount of land available at this time.
Some suggestions were that information on the Airport Business Park be placed
on the airport web page and to post the rates.
Doug Brotherton moved to adjourn the meeting. This motion was seconded by
Mike Santillo. AYES: All. NAYS: None. Meeting adjourned at 6:18 p.m.
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