Airport Committee

AIRPORT COMMITTEE July 1, 2014 Page 1 Members Present: Frey, Knudsvig, Larson, Lehner, Rued, Seymour Members Absent: Hatlelid Others Present: Acting City Manager/Finance Director, City Clerk, Assistant City Attorney, Airport Director, City Assessor, Assistant City Assessor, City Engineer, Assistant City Engineer, Traffic Engineer, Fire Chief, Police Chief, Public Works Director, Assistant Public Works Director, Auditorium/Recreation Director, Alderman Pankow, Alderman Berg, Alderman Jantzer, Alderman B. Miller, Mike Mahoney, George Withus, Kevin Ploof, Scott Knudsvig, Jill Schramm, Dave Schwengler, Doug Rued, KMOT, Mayor Barney. To the Honorable Mayor and All Aldermen: Following are the recommendations from the Airport Committee meeting called to order at 4:47p.m., July 1, 2014: 1. The City Council authorize an amendment of $151,000 to the 2014 Airport Budget and authorize the use of Airport Revenue Bonds for the Capital Acquisition. ********** The above motion by Committee member Knudsvig, seconded by Alderman Lehner and carried unanimously. 2. Informational – Strategic Management Plan ********** Kim Kenville of Kim Kenville Consulting appeared before the Committee to review information form the recent Strategic Management Plan for the Airport. She is a teacher of Airport Management at the University of North Dakota. She also has a Master’s of Administration Degree and a degree in Airport Behavior. She stated the planning process for this project is to hold tenant meetings to determine the SWOT analysis. She also said there were 4 critical themes that came out of the discussions. Ms. Kenville indicated some of the Minot Airport’s strengths are good team, large workable airfield, and a good budget process. She stated some of the weaknesses included road issues, maintenance issues, collection and mill levy, and depth of Airport succession planning. She continued by saying various opportunities included increased airline routes, small HUB status, partnerships with the Minot Area Development Corporation and Visit Minot and a feasibility study to potentially create an Airport authority. She concluded with an overview of some of the perceived threats which are increased air services, airline stability, Federal, State and local funding, and potential diminishment of the oil boom. She advised the Committee of the need to build on the Airport’s strengths and to limit the weaknesses. Ms. Kenville gave an overview of general business planning which consists of leases, operating/contract agreements, update minimum standards, updated rates and charges. The overview of Airside Planning with components General Aviation Plan, Cargo Plan and Total Pavement Plan. An overview of landside planning which includes rental car/QTA facility, cargo access, corporate parking, cell phone lot and demolition of the old terminal. She stated all of the previous mentioned plans would compile the Airport Layout Plan (ALP). She reviewed the current MOT organizational structure and advised of the need for additional staff to include contracted legal counsel, finance and administration, information technology and equipment maintenance. She also suggested the Airport adopt a mission statement and potential rebranding of the Airport entirely. AIRPORT COMMITTEE July 1, 2014 Page 2 She concluded her presentation by saying the Minot Airport has ample opportunity with the current growth and in the position they are in, to become a benchmarked airport for other facilities who are experiencing similar activity. 3. Informational – Project Updates ********** The Airport Director updated the Committee on the recent projects and airport activities. He stated he recently attended an air service conference in Edmonton. He also stated the summer looks to be a busy seaon due to the recent activity, such as the museum hosting the Warbirds and 2 record months of enplanements. Mike Mahoney of KLJ stated the new terminal has steel going up. Contractors have met difficulties with rain, but should have no problem meeting contract timeline. He continued by stating everything is in place for the terminal project and KLJ is working on IT equipment for the terminal and ticket counter. Mr. Mahoney said the Apron is awaiting receipt of AIP grant in order to proceed. He continued by stating that Phase I of the parking and access road is out for bid, whereas Phase 3 and 4 of the Apron should be funded by the end of this fiscal year. Mr. Mahoney updated the Committee on Phase 2 of the parking and access area in front of the terminal. He stated KLJ is kicking off the final design in late August/early September to bid for an early spring award. He will be speaking with the Airport District Office (ADO) on Wednesday to discuss the 8/26 runway relocation. He is looking to come back with Phase I of the parking lot and hopeful that funding will come for the Apron by the end of August. The Airport Director thanked Kim Kenville for her presentation and analysis, He also mentioned the recent Jet Blue Airline emergency and thanked first responders who handled the situation. Committee member Doug Rued addressed the issue of 2 day limit on fuel reserves. The Airport Director stated this issue is being addressed in the 2015 Annual Budget. There being no further business, Vice Chairman Seymour adjourned the meeting at 5:30 p.m. Respectfully submitted, Lisa Jundt City Clerk