HomeMy WebLinkAbout2016-09-13 Airport Committee Minutes
City of Bangor - Airport Committee
rd
City Council Chambers 3 Floor
September 13, 2016
Committee Meeting Minutes
The following City Councilors were in attendance: Airport Committee Chair Joseph Baldacci,
Councilors Nelson Durgin, David Nealley, Gibran Graham, Joseph Perry, Benjamin Sprague, and
Sarah Nichols. Also in attendance was City Manager Cathy Conlow, Airport Director Tony Caruso
and Marketing Manager Risteen Bahr.
Agenda and Discussion:
1.) Rent-A-Wreck of Bangor: Off-site car rental agreement.
Director Caruso introduced the following item for Airport Committee review and
approval. This is a request for approval of an agreement with Rent-A-Wreck of
Bangor to provide rental cars to Bangor International Airport passengers from its
off-airport location. This agreement outlines the procedures, parameters, and
payment arrangements for off-airport rentals. This agreement is similar to the off-
site agreement with Enterprise. In exchange for the right and opportunity to
operate an off-airport rental operation, Rent-A-Wreck will pay the airport 7.5% of
gross rental revenues derived from airport activities. This will be a 5 year
agreement with Rent-A-Wreck.
Motion to accept Staff recommendation – Councilor Durgin, seconded by Councilor
Nichols.
Motion accepted and recommended to City Council for approval.
2.) Maine Highlands lease renewal.
Director Caruso introduced the following item for Airport Committee review and approval.
This is a lease renewal request with Maine Highlands. Maine Highlands is part of the
Maine Tourism Marketing Partnership Program (MTMPP) which develops and implements
programs designed to stimulate and expand the travel industry within Maine's tourism
regions. It is also intended to strengthen the State's image by coordinating the
promotional efforts of the private sector with those of the Office of Tourism.
The lease includes the following terms: Maine Highlands will lease approximately 203 sf
of office space in the General Aviation terminal at a rate of $235 per month including
utility costs; the term of the lease is for one year and includes two (2) one-year
renewals.
Motion to accept Staff recommendation – Councilor Durgin, seconded by Councilor
Nealley.
Motion accepted and recommended for City Council approval.
3.) Airport statistics – July & August (if available) 2016.
Marketing Director Bahr – reviewed and discussed the domestic passenger statistics. For
July and August 2016, we had our best months, with both being shaded in yellow! For
the month, July was up 4.39% and August was up 3.38%. Increased capacity
contributed to this increase, having an increase of 5% more seats. Increased LGA
service from United Airlines has helped our figures. Airline load factors are excellent,
specifically for August. The figures indicate aircraft are full or oversold. This information
is used for airline proposals for additional service.
Councilor Graham – offered positive comments; asked question as to what is helping
attribute to the increase.
Marketing Director Bahr commented that BGR had a new route with Newark
service and add’l LGA service.
Councilor Graham – follow up question related to utilizing this information.
Marketing Director Bahr commented that we already have some preliminary info
on travelers, but our Leakage study will help identify even more info.
Councilor Nealley offered positive comments; remarked that it is good to see that new
routes have high load factors; more local customers seem to be using BGR.
Marketing Director Bahr, replied that the Leakage study will address some of the
items discussed but she suspects the percentage of leakage to other airports is
lower than when the previous study was done.
Committee Chair Baldacci asked about the operational statistics and fuel margins.
Director Caruso replied that it really depends upon the business segment.
Currently BGR is just under doubling the fuel sales from this period last year,
primarily driven by MIL/DOD fuel sales. BGR can meet the full needs of
customers such as the recent IAF flights.
Chair Baldacci asked to review the Operational statistics for the Committee.
Director Caruso review the July figures, were YTD BGR is up 5%, AUG was
trending in the same fashion and Retail sales is a bright spot.
4.) Airport construction update:
AIP #70 - Gate 3 passenger boarding bridge and hold room expansion
Director Caruso review the current AIP project and provided several pictures
illustrating the progress. Progress is going well and we anticipate opening this
new gate area by the end of OCT, with the new jetbridge arriving and will be
installed by DEC. Director Caruso reminded the audience that with this Federal
project, 90% is paid through the Federal government, 5% is paid through State
funds, and the final 5% is paid through airport funds.
Meeting adjourned at 5:45pm.