Board of Aviation Commissioners

Minutes of the January 9, 2014 Monthly Meeting of the Michigan City Aviation Board of Commissioners Call to Order: Meeting called to order at 6:00 PM in the terminal building at the airport. Members Present: Greg Poulin, David Miller, and Kirk Hunter. A quorum was present. Members Absent: None Others Present: Jessica Ward- Airport Manager, Paul Shaffer- BF&S, Joe Doyle- Council Liaison, Jeff Thorne- BOAC Attorney Minutes: The minutes of the December 12, regular monthly meeting, were emailed. Motion to approve: David Miller Second: Greg Poulin Motion Approved. Manager Reports: The December financial reports were summarized by Jessica Ward. Account Balances: All 2013 accounts have been switched over with our 2014 starting balances. We spent a tad short of 95% of our operating budget in 2013. We spent a tad over 95% of our aviation fuel account in 2013. We spent just shy of 99% of our Airport Capital projects account in 2013. It would have been 100% but we couldn’t add the tree clearing in there because we don’t have an invoice. We currently aren’t even sure of the acreage that will need to be cleared until the fence project starts moving along. Fuel Sales: Overall, we sold 575.3 gallons of 100LL for a total of $2,300.74 and 1,088 gallons of Jet A for a total of $4,438.15 in December. We sold 148.6 gallons of self-service based 100LL, and 375 gallons of self-service transient 100LL for a total of 523.6 gallons of self-service Avgas. We sold 51.7 gallons of full service based 100LL. We sold 954 gallons of full service based Jet A and 134 gallons of full service transient Jet A. Year to date we have sold 63,172 gallons of fuel for a total of $284,844.36 which is a little under 6 percent less than what was sold through 2012. Our goal is to increase our fuel sales 2% each year, even with the decrease in GA traffic overall. Our fuel sales increased 2% each year from 2008 to 2010. In 2011 our fuel sales increased 4% and in 2012 they increased 6%. Both of those years were great weather wise, and the winters being so mild the last 2 years had the biggest impact on those large increases. Hopefully this year will see mild weather as well, and GA traffic will increase overall from 2013. I just got loads of both Jet A and Avgas in the nick of time. Our self-service Avgas fuel price is $1 less than Porter County and $0.25 less than Knox. Our full service Avgas price is $1.10 less than Porter County and $1.09 less than LaPorte. Our Jet A price is $0.85 less than Porter County, $0.84 less than LaPorte, and $0.07 less than Knox. Airport Manager 1. End of Year Finances: We made a few end of year purchases that are noteworthy. We already have the Kubota in our possession that was purchased after the last board meeting. We haven’t had a chance to use it because we have been plowing every day of the New Year but the gentleman that delivered it from Rigg’s did a walk through with Rudy. We purchased a gas powered pole saw that we will use to trim trees along the drive up to the north end of our property and to maintain trees once the fence goes up. We purchased a chain saw that we will use to maintain access points to the obstruction towers as well as to remove vegetative cover inside the fenced areas. This will reduce the available habitat cover and assist in making the area less attractive for deer. We purchased a jump box that we needed to jump our courtesy car a few times already this winter. 2. Snow Removal: This past winter storm resulted in 57.25 man hours at the airport for a total of $778.44. We used 319 gallons of fuel for a total of $1,022.70. Each department head has to submit a detailed list of the cost our department incurred during this past event to the Mayor’s office by tomorrow because the city may be able to receive some monetary aid from the State. The total cost the airport incurred was $1,801.14. 3. Executive Order No: 03-2013: I just wanted to make sure that you have all received a copy and are aware of the executive order declaring that an emergency exists as a result of the extraordinary property tax billing delay situation in Laporte county, IN and requiring the immediate implementation of measures to prepare the city for the resultant financial hardship endure in the beginning of 2014. All departments, offices, commissions, and officers of the City are directed to cooperate in the implementation of the provisions of this order. The order is to be effective immediately and shall remain in effect until December 31, 2014 unless otherwise ordered by the Mayor. The following are the operating cost saving measures that are to be implemented immediately: 1. A hiring freeze is hereby imposed on all permanent employment position within the City, which includes all positions at the airport. No vacancy can be filled without the written authorization of the Mayor. 2. Any and all 2014 capital projects, whether budgeted or not, shall not proceed forward without the written authorization of the Mayor and City Controller. This does not include our 2013 AIP fence project. That local match has already been set aside from last year’s capital budget. But it will affect our 2014 AIP project local match, as well as anything else we would want to purchase with our capital funds, including additional tree clearing for this project. 3. For purchases of $200 or more to be paid for from a city operating fund that is funded in substantial part by property tax dollars, a purchase order must be submitted to the city controller’s office for review and approval prior to said purchase being implemented. This will not be required when purchasing gas, diesel, aviation fuel, or paying utilities. It will be required when purchasing all supplies, equipment, building and equipment repairs, contractual services, etc… 4. Lastly, each city department head shall immediately review, monitor, modify, and/or attempt to reduce or eliminate overtime expenditures in their respective departments. We currently regularly only give overtime for working holidays. We may look at closing on more holidays that the city recognizes as holidays. I have included a list of those holidays, and have marked down which holidays we are already closed. The holidays that I feel are important to be open because they are during our heavier traffic season are Memorial Day, Independence Day and Labor Day. Being open only these holidays would greatly decrease our overtime spending and having both self-service avgas and jet a now, as well as having the security access to the vestibule to use restrooms, phone, and vending machines will still make sure we are offering the services needed those days. The board discussed additional Holiday closures for 2014. These included: Martin Luther King Jr. Day, President’s Day, Columbus Day and Veterans Day. Motion to approve: Greg Poulin Second: Kirk Hunter Motion Approved. 4. Emergency Pager/After Hours Service: There was discussion on the emergency pager we carry and problems pilots have with remembering to put in a phone number, and how to use it, in general. We only had a couple of pages in the last year and each person didn’t leave a phone number for us to call them back. Jessica discussed options that other airports in the area have. David Miller suggested looking into the call forwarding option that will go to someone on call for emergency after-hours service. Jessica will report her findings at the February BOAC meeting. Airport Development: 1. AIP 15 Terminal Layout for ALP: BF&S received the CAD files December 23, 2013 from CHA. Currently they are waiting for the planner from the FAA to send over comments on what needs to get changed to finish up the layout. 2. AIP 16 Project Closeout: We are still waiting for the close out paperwork from Rieth Riley. 3. AIP 17- Wildlife Fence: a. Notice to Proceed Date:1/6/2014 b. Fencing materials have been delivered to the airport. c. BF&S has staked most of the fence turning posts and contacted impacted adjacent property owners. d. The contractor will be given additional contract time for days that are unworkable, due to weather. e. Survey staking and clearing work activities will start this coming week. Old Business: 1. Minimum Standards for Commercial Aeronautical Services: After discussion on approving only certain parts of the Minimum Standards the board decided to wait until the February BOAC meeting for the whole document to be completed before approving. 2. Zach Scherf- Mowing the Airport for Hay: The possibility of mowing on the east side of the runway was discussed. Motion to approve allowing Zach Scherf to survey the land to the east of the runway for possible mowing in the spring: Greg Poulin Second: Kirk Hunter Motion Approved. New Business: 1. Dale Phillips Lease Extension Request for A4-9: Dale Phillips would like to extend his lease for another 10 years per Paragraph 3, Option to Renew of the lease agreement dated November 1, 1993. Motion to approve: Greg Poulin Second: Kirk Hunter Motion Approved. 2. Skydive Greater- Michigan City Operation Request: Skydive Greater- Michigan City discussed the operation that they are hoping to get approved for to start in the spring. They brought in a business plan, sample hangar and a/c insurance policies, USPA insurance certificate, and their skydive waiver. A committee consisting of Kirk Hunter, Jeff Thorne and Jessica Ward will look over the information given and make sure they meet the minimum standards, and work through the logistics of their possible operation this spring. 3. CIP 2015- 2019: There was much discussion on different types of funding for potential projects over the course of these 5 years and needing approval for our 2014 grant local match by the Mayor.  Motion to approve the CIP document as is, pending Mayor approval for our potential local match for the 2014 grant: Greg Poulin Second: Kirk Hunter Motion Approved. Claims Docket: Amount: $24,860.83 Motion: Greg Poulin Second: David Miller Motion Approved. Correspondence: None Public Comment: None Adjournment: There being no further business, the meeting was adjourned at 7:56 P.M. Motion: David Miller Second: Kirk Hunter Motion Approved.