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HomeMy WebLinkAbout2021-11-15 Airport Committee Minutes City of Bangor Airport Committee November 15, 2021 Meeting Minutes The following City Councilors attended: Airport Committee Chair Angela Okafor, Clare Davitt, Rick Fournier, Susan Hawes, Gretchen Schaefer, Jonathan Sprague and Dina Yacoubagha. Also in attendance were Airport Director Tony Caruso, Assistant Airport Director Evan Thomas and Marketing and Business Development Manager Aimee Thibodeau. Agenda and Discussion: 1. ARPA Grant Application—relief fundingfor or airport concessions This Resolve ratifies the Interim City Manager's execution of a grant application for $278,564 from the Federal Aviation Administration under the Airport Rescue Plan Act (ARPA) for Rent Relief to Airport Concessions at Bangor International Airport (BGR). This grant funding is to be used to provide relief from rent, minimum annual guarantees and financial relief to eligible airport concessions Motion made, seconded and approved by rollcall vote. 2. EPA Grant Application—demolition and remediation of Building 610 This Order authorizes the Interim City Manager to apply for a grant of up to $650,000 from the Environmental Protection Agency (EPA) for the cleanup of Building 4610 (commonly referred to as the Alert Building) located on BGR property. The FAA has identified the Alert Building has a wildlife hazard and its demolition is strongly recommended. Additionally, this area has been identified in the Airport Master Plan as a potential area for growth or expansion of air freight operations and warehousing space needed for aeronautical development in the future. Environmental Site Assessments (ESA) have been completed on the property through the City's Brownfields Assessment program. The ESA's indicate the site is contaminated with various hazardous substances which increases the cost of the demolition and remediation of the site. Applying for and receiving a grant will help mitigate those costs of the demolition. Estimates have indicated that the cost of demolition will be $500,000. The EPA has Cleanup Grants available up to $650,000 to carry out cleanup activities to address sites that are contaminated with hazardous substances. A 20% cost share is required which may be in the form of funding, labor, materials, or services. If the application is successful, the EPA will notify the City of the award in May 2022, and funds will be available to be expended starting October 1, 2022. Motion made, seconded and approved by rollcall vote. 3. United Airlines —lease amendment This Order authorizes a 2nd amendment to the lease and use agreement between the City of Bangor and United Airlines at the airport that was executed in July, 2016. Given the uncertainty in the economy due to the COVID-19 pandemic, the Council approved an amendment of a 1-year extension, through April 30, 2022. United Airlines has requested they lease additional exclusive use space for their contract Ground Handling company, G2, which is necessary to support their operations. This 2nd amendment identifies the location and lease rate for this exclusive use space. Motion made, seconded and approved by rollcall vote 4. C&L Aerospace—new lease agreement This Order authorizes a lease agreement between the City of Bangor and C&L Aerospace Holdings, LLC. for all the property they lease at(BGR): Docks 10, 11, 12, 13,the Office complex, and the 2 new maintenance shops built as part of the EDA grant project. As a result of this expansion, C&L wants to enter into a long-term lease for the hangars, offices, and newly built maintenance shop space. This new lease shall discontinue all previous long term leases, and form one lease with a term of 22.5 years, with an option to extend for a 10 year term. If approved, the annual rent for the lease for all facilities will be $397,551. Additional terms include CPI adjustments, that C&L is responsible for remitting aircraft landing fees to the airport, and that C&L is responsible for all utility costs, routine maintenance and inspection costs. The lease also includes a capital improvement plan, identifying necessary upgrades and repairs, with some projects being cost shared. Motion made, seconded and approved by rollcall vote. 5. Military Construction Cooperative Agreement This Order authorizes the Interim City Manager to execute a construction cooperative agreement with the National Guard Bureau to cost share the runway rehabilitation project at the airport. This is a joint project between the Guard and the City, and the runway improvements will ensure the continued use for military and public purposes. This agreement outlines the terms and conditions for the Guard's contributions to the cost of this project. This cooperative agreement identifies the Guard share of the project at 35%, based on their annual usage. In this agreement, the Guard is responsible for up to $175,000 for design and engineering costs, and up to $9,835,000 for the construction costs. Motion made, seconded and approved by rollcall vote. 6. Airport Terminal Study—phased implementation plan to meeting increasing passenger demand This Order authorizes the Interim City Manager to execute a contract for 15% design and engineering services for terminal improvements with Gensler at an estimated cost of $150,000. In April of 2020, the City Council approved Gensler to provide professional services for passenger facility charge (PFC) applications and projects. The airport continues to experience record-breaking passenger numbers. Given this increased demand, it is imperative that we accelerate the terminal improvements plan that were recently developed as part of the Airport Master Plan. Initiating Phase 1 of the terminal improvements will help identify a plan to meet the rising demand. This Phase of the project involves design and engineering services necessary for a building rehabilitation concept that enables access to the airport's existing International Pier from the Domestic Terminal Building and expansion of existing TSA Security Screening Checkpoint(SSCP) lanes. 7. Updates a. ABS Recommendations —Evan Thomas Assistant Airport Director • An early win in the effort to streamline processes has been implementation of a new work order process for ground equipment users. Equipment problems can be better explained in a new electronic template. GSE Mechanics also `close the loop' by working with the end user to test the equipment before putting the equipment back in service. • We now have Sean Gross as our dedicated IT person and he is doing a wonderful job helping us find ways to better use technology b. FBO Marketing • As previously discussed, we are continuing towards marketing our FBO separately with a new logo and branding. • We will be identifying very specific audiences for targeted digital marketing followed by personal outreach. 8. Airport Advertising & Marketing Update • September passenger totals continued our trend of record-breaking months with 73,650 passengers, more than 10,000 more than our last high. Load factors were very strong for all airlines. • Although military operations were down 22% for the month, total operations were up 26%. Fiscal Year operations are up 31%. • Monthly fuel sales were up 29% and fiscal year sales are up by 56% Meeting Adjourned