Loading...
HomeMy WebLinkAbout2013-01-15 Airport Committee Minutes Meeting Agenda City of Bangor Airport Committee Meeting City Council Chambers rd 3 Floor January 15, 2013 @ 6:00 PM Formatted: Font: 12 pt April 17, 2012 5:00 PM The following City Councilors were in attendance: Charlie Longo, and Pat Blanchette, James Gallant, David Nealley, and Ben Sprague.. The following City staff was also in attendance, Interim Airport Director, Anthony Caruso and Marketing Manager Risteen Bahr. and Risteen Bahr, Marketing Manager. Also in attendance was City Manager Cathy Conlow and City Solicitor Norman Heitmann. Cathy Conlow, City Manager was also in attendance. Councilor Formatted: Indent: Left: 2", First line: 0.5" Longo opened the meeting. Formatted: Font: 12 pt Agenda: 1. Accept and Appropriate AIP Grant #57: Canal Fill Wildlife Abatement projectIndustry Update/Overview Formatted: Centered, Indent: Left: 2", First line: 0.5" The Airport is requesting authorization to accept and appropriate a grant in the amount of $150,859 from the Federal Aviation Administration and $8,381 from the Maine Department of Transportation under the Airport Improvement Plan (AIP) Formatted: Font: 12 pt program, grant #57 for the canal fill wildlife abatement project for the design, permitting and bidding for the filling of the canal during the summer of 2013. During Formatted: Font: 12 pt the wildlife hazard assessment and in our wildlife plan, the canal located by the helicopter pad has been identified as a significant safety hazard to helicopters and aircraft primarily during the winter months. During the winter months the canal has approximately 800 to 1,200 ducks that come to this area for warmth. This area does not Formatted: Font: 12 pt freeze during the winter months. Several attempts have been made to eliminate the hazard but have been unsuccessful. This project is to cover the drainage canal to Formatted: Font: 12 pt remove the hazard off the airfield. This project is included in BGR’s FAA approved five- year Capital Improvement Plan (CIP). This grant will fund 90% of the project with the additional 5% coming from the State and 5% coming from the airport. Passenger Statistics for the month of February 2011 was up by 31.2% and YTD 23.7%. For the month of March it was up by 19.5% and YTD up by 22%. Airport Interim Director Anthony Caruso attributed this increase to the increased demand during this peak season, the new flight to Florida and the flights to DC. The traffic remains strong. Tony indicated that we do have concerns with the fuel increase and the airlines have Formatted: Font: 12 pt also increased the fares have also increased several times thus far this year. Also, some of the airlines have cut back on the capacity. Questions/Comments: Formatted: Indent: Left: 0.5", No bullets or numbering Formatted: Font: 12 pt Councilor Gallant approved this. Councilor Blanchette asked about the EDPA. Are they ok with this? Airport Director Caruso indicated that the EDPA is ok with this approach. Councilor Blanchette asked if we have their permission in writing. Airport Director Caruso indicated that he will look into this. Councilor Blanchette asked where the water is feeding from, Caruso responded from the middle of the airfield storm water. City Manager indicated that we will have a permit. It was seconded. a. L BGR will remain an Independent Dealer but will continue to review branding options. Questions/Comments Councilor Blanchette commented that this was great news and a good indication that the next couple of years should be good too. She was very pleased with the figures. 2. easeApprove credit request from Maine Aero Formatted: Font: 12 pt As the Airport Committee may be aware, Maine Aero and the City agreed to a new lease agreement in May 2012 for the lease of all hangar #115. Originally, Maine Aero leased the Formatted: Numbered + Level: 1 + Numbering Style: a, northerly section of this facility, comprised of 22,220 square feet of working and office space. b, c, … + Start at: 1 + Alignment: Left + Aligned at: 0.5" They now also lease the remaining 6,696 square feet of working space to use for aircraft maintenance and storage. Maine Aero operates an aircraft maintenance business focusing on + Indent at: 0.75" small general aviation aircraft. They also provide aircraft flight training and instruction. Maine Aero has been a tenant at Bangor International Airport since 2010, replacing Telford Aviation Formatted: Font: 12 pt which operated this business for many years. The president of Maine Aero has requested a lease credit for some improvements made to this facility. They have fully insulated the additional leased area, which is mutually beneficial to both parties. The cost of the insulation install was $9,100. The Airport is proposing to cost share this improvement and provide Maine Aero with a lease credit of the following: relief of a full month of lease (2,722) + an additional nd relief of $1,828, leaving $894 due on the 2 month. This lease amendment shall be in a final form as approved by City Legal. The Airport respectfully submits this for Airport Committee review and recommends approval. 2. Business Development Activities Networks 2012- In March, BGR participated in Network USA, an air service development Formatted: Font: 12 pt conference. We had 30 minutes to present our case to each airline. BGR presented proposals for scheduled service to Atlanta, Baltimore, Boston, Charlotte, Chicago, and JFK. We also had Formatted: Indent: Left: 0.25", No bullets or the opportunity to discuss BGR as a location for seasonal chartered service to Las Vegas and the numbering UK with a charter airline company. We offered our air service incentive program and our Small Community Air Service Development grant as appropriate to the airlines. While none of the airlines gave us a definite yes, neither did any airline say that they were absolutely not interested in Bangor. Our strong passenger growth was a positive selling pint along with our strong Canadian traffic numbers. We will continue to keep the discussions open for future Formatted: Superscript Formatted: Font: 12 pt Formatted: Indent: Left: 0.25", No bullets or numbering Formatted: No bullets or numbering opportunities and providing more information as it becomes available.oooBMrQuestions/Comments Councilor Sprague made the motion to approve and Councilor Blanchette seconded. 3. Lease agreement with Maine Department of Public Safety In 2009 the Department of Public Safety, Maine State Police contracted Bangor Int’l Airport regarding the possibility of a long term lease of two buildings on airport property. The State Police must vacate their current headquarters in Oromo and are in need of a site located close to the interstate. The Airport currently has available buildings which the State Police is Formatted: Font: 12 pt highly interested in leasing. The State Police is interested in leasing the old FAA Flight Service Station, Building #195, which they wish to use as their headquarters and Building #92, which they wish to sue as a garage and vehicle maintenance facility. Both buildings have been vacant since early-mid 1990’s. The FSS building is ideally suited for their operations as it offers a Formatted: Font: 12 pt specialized outlay, such as a raised floor for their IT needs and a large tower and radar, left from the FAA. The State Police is interested in a long term lease of 10 years with two (2) five year Formatted: Numbered + Level: 1 + Numbering Style: 1, renewals. The State Police requested some improvements made to both buildings prior to their 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0" leasing. Requested improvements/modifications to the existing buildings will include converting each building to natural gas and oil combination. Other improvements involve + Indent at: 0.25" adding closets, upgrading the restrooms and installing a shower, new paint and carpets and a tile in the FSS building. Building # 92 improvements include upgrading the interior walls, ceiling Formatted: No bullets or numbering and lighting, as well as upgrading the ventilation system and floor drains. Annual revenues from this long term lease are estimated over $110,000. The State Police will be responsible for their own utility costs. This lease has been reviewed by City Legal. The Airport respectfully submits this for Airport Committee review and recommends approval. Questions/Comments Councilor Gallant thanked Lt. Hussey from the Maine State Police for leasing. Councilor Blanchette asked about the State Police withdrawing from this lease. What the state puts in the state takes out. Can we recoup the costs, and what is termination policy? Caruso responded that it is a three30 day notice and thinksis appreciative that we will have a long time contract with them. Councilor Nealley responded that he is glad that these building are getting tenants. Councilor Sprague motioned to approve and it was seconded. 4. Passenger statistic: Dec 2012 The Allegiant Air numbers were down this month, mainly due to the factor that we do not have the FLL service. For the month of December we were down 4.2%, but YTD we were up by 7.2%. The Load factors are still strong. Since 1991, this is the second best year. We were up by 5% capacity and 7% passenger. Questions/Comments Formatted: Font: 12 pt Formatted: No bullets or numbering Formatted: Font: Bold Formatted: Numbered + Level: 1 + Numbering Style: 1, 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0" + Indent at: 0.25" Formatted: No bullets or numbering Councilor Nealley asked do we compare with other airports with fares and services. Caruso responded, yes we do. 5. Business development update. a. Report on 2012 Middle east business Aviation conference. MEBA (Middle East Business Aviation), held its bi-annual event this year in Dubai, UAE. This was the fifth MEBA Conference and only the second in which Bangor has participated in. In 2012 Bangor was an attendee and this year Bangor exhibited under the U.S> Pavilion. This year’s show saw 7,549 attendee’s from 84 countries along with 385 exhibitors from 45 countries. This event is designed and is highly successful at putting together personal contacts to forge business relationships and building relationships. Fargo Jet Center, a major Formatted: Font: Bold competitor, also exhibited at this show: there, it is always valuable to have an opportunity to speak directly with our customers to deliver our continued message of why we continue to lead Formatted: Numbered + Level: 1 + Numbering Style: 1, in tech Stop excellence. Our personnel met with new contacts from Air One, Aurora Aviation, 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0" and Nexus. All three companies want to use Bangor as their preferred Technical Stop. We are in the process of sending these companies ground handling prices and discussing fuel + Indent at: 0.25" arrangements. In addition to the new contracts, our personnel were able to reconnect with current customers who continue to enthusiastically talk about our excellent service we provide. Formatted: Numbered + Level: 1 + Numbering Style: a, These companies included Gulfstream, AMJET, AirMark, Rizon Jet, and ABS Jets. Overall, we b, c, … + Start at: 1 + Alignment: Left + Aligned at: viewed the show as a success and recommend we return in 2014. 0.25" + Indent at: 0.5" Questions/Comments Councilor Nealley commented that that the increase in traffic is great to have in this economy. Caruso responded, that it is great to tell potential airlines about ehthe new business’s in the area and the student exchange population is greathigh. 6. Maine troop greeters The Maine Troop Greeters have been greeted approximately 1.3 million visitors since 2003. Over the course of the years they have been given several pieces of memorabilia. Included in this is approximately 5,000 challenge coins. They also have several metals, patches and flags along with several letters of thanks and appreciation. They also have a fallen Hero’s book. Bangor International Airport has supported a Grant in which these items could be placed in the Bangor museum Historical Centerat the airport. The concept is to develop a small museum inside our terminal for these items. We should find out in a few weeks if thisthe grant has been approved. Once the Airport finds out, they will tell the Committee and get their approval to move these items from the Troop Greeters room to the museum. $Meeting Adjourned a. Formatted: Numbered + Level: 1 + Numbering Style: 1, 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0" + Indent at: 0.25" Formatted: Font: Bold Formatted: No bullets or numbering Formatted: Font: 12 pt Questions/Comments Councilor Blanchette asked if there any plans for Mike Boyd to come with some information. She would like to see a complete workshop for all the Councilors. Caruso responded that Ms Bahr has contacted Mike Boyd and they have been discussing several dates for this meeting. We anticipate scheduling this meeting during the June Airport Committee meeting and inviting all City Councilors to attend. th b. AAAE/ACI-NA Legislative Conference- On March 14-15, Tony attended the annual AAAE/ACI-NA legislative conference. This conference provides airports with the opportunity to review and discuss th airport and aviation priorities for the second session of the 112 Congress. The AAAE/ACI-NA Washington Legislative Conference provides airport executives and operators the opportunity to discuss critical airport issues in today’s political environment. One of the major topics discussed was related to the recent requirement by the Department of Transportation (DOT) for airports to develop Tarmac Delay Contingency Plans. Tony was asked to present and serve on a panel for discussion of the tarmac delay plan. Bangor International Airport is seen in the industry as having expertise in the handling of aircraft diversions. c. Airport ground handling initiatives conference-On March 31-April 2, 2012, Tony attended the annual ground Handling Initiatives conference. This conference provides discussion and recommendations to airports to support and establish operational standards for non-hub airports to provide their own ground handling services. The topics included discussions and presentations to on how, through such services, airports can improve customer service, reduce ground handling costs and improve operational efficiencies in order to retain and/or attract air service. Tony was asked to present and serve on a panel for discussion among airports that do provide the ground handling service for airlines. Bangor International is seen in the industry as having expertise in performing the ground handling for airlines. Questions/Comments None 3. Airport’s Advertising & Marketing Plan presentation and overview Risteen indicated that we will present this at the next meeting. She indicated that the campaign will be “warmer place calling you”. Questions/Comments None 4. Airport Committee meeting schedule: discussion: During the March 5, 2012 Airport Committee meeting, the Committee members requested further discussion on the possibility of adjusting this Committee’s schedule. Currently, the Airport Committee is scheduled to meet on the first Monday of each month immediately following the Finance Committee. Tony indicated that he has three suggestions. One was stay with the way it is now, the first Monday of each month following the Finance Committee. The second was on either the second or fourth Tuesday of each month following the Government Operations Meeting. The final option was to hold the meeting on the second Wednesday of each month. Questions/Comments Councilor Blanchette indicated that the Tuesday following Government Operations work best for her. Councilor Longo agreed. Councilor Longo and Caruso discussed that they will hold the next Airport th Committee meeting on the 4 Tuesday of the month following the Government Operations meeting as a trial run. They will then discuss if this works for the rest of the Committee. 5. Contracts/leases: a. SST Aero lease renewal: Airport Interim Director, Caruso, indicated that as the Committee is well aware, SST Aero Services, owned by Telford Allen, has been a valuable tenant of Bangor International Airport since 2009. SST Aero is an aircraft and engine leasing company. Approving this lease agreement will strengthen our partnership and enhance our relationship with this company. This lease agreement has been reviewed and approved by City Legal. The Airport respectfully submits this amendment for Airport Committee review and recommends approval by full City Council. b. T-3 Lease renewal: Airport interim Director, Caruso, indicated that this agreement outlines a one (1) year term, with two one year extensions, for the lease of hangar space in building 123 (also known as the Corporate hanger facility). The current lease is due to expire this year and both Parties are interested in having T-3 Leasing remain as a tenant. The terms and conditions of the lease remain unchanged with the exception of an annual rate increase. The new lease rate reflects a modest 3% increase each year. As the Committee is well aware, T-3 Leasing, owned by Telford Allen, has been a valuable tenant of Bangor International Airport since 2009. T-3 Leasing is an aircraft management and leasing Company. Approving this lease agreement will strengthen our partnership and enhance our relationship with this company. This lease agreement has been reviewed and approved by City Legal. The Airport respectfully submits this amendment for Airport Committee review and recommends approval by full City Council. c. Easement agreement renewal for FAA: This agreement is between the Federal Aviation Administration (FAA) and the City of Bangor, Airport Department. This agreement, DTFAEN-11- A-00003, is for an underground power line easement and airport access right-of-way easement at Bangor International Airport. This power line supports the FAA’s airport surveillance radar (ASR) system located at the airport. This easement has expired and the FAA is requesting a renewal for the same purpose. The term of the easement renewal is from October 1, 2008 through September 20, 2018. This easement agreement has been reviewed and approved by City Legal. The Airport respectfully submits this amendment for Airport Committee review and recommends approval by full City Council. Questions/Comments Councilor Blanchette moved to make these all ok to go to full Council on Monday. These items are all routine in nature and are all renewals. Meeting adjourned.