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Airport Committee

Regular Meeting

Minot, ND · September 29, 2015

AgendaMinutes

Minutes

AIRPORT COMMITTEE September 29, 2015 Page 1 Members Present: Hatlelid, Seymour, Frey, Knudsvig, Lehner Members Absent: Larson, Rued Others Present: City Manager, City Clerk, Clerk Admin, City Attorney, Airport Director, Airport Operations Supervisor, Finance Director, Fire Chief, Captain White, Public Works Director, Assistant Public Works Director, Public Information Officer, Alderman Connole, Alderman Jantzer, Alderman Miller, Jill Schramm, Dave Schwengler To the Honorable Mayor and All Aldermen: Following are the recommendations from the Airport Committee meeting called to order at 4:50 p.m. September 1, 2015: 1. The City Council approve Oakwells as the Minot International Airport Concession operator and further authorize City staff to negotiate a contract. ********** The above motion by Alderman Lehner, seconded by Alderman Knudsvig and was carried unanimously. 2. Airport Grant Assurances Explanation with Q&A ********** Tom Schauer from KLJ gave a presentation on the FAA grant assurances and potential uses for the existing airport terminal. He stated the facility is about 25 years old therefore updates to mechanical systems, roof and doors may be necessary. A facility analysis is planned for early October. Possible considerations include housing airport staff, space for rental car counters, border control facilities, general aviation expansion or a quick turnaround facility for rental companies. He explained in order to remain FAA compliant the terminal would have to maintain an aeronautical use and be as self-sustaining as possible. Any non-aeronautical use would require the building receive fair market value, be compatible with airport operations and be approved by the FAA. Alderman Lehner stated all suggested uses that have been referenced by others for the existing terminal would be considered non-compliant. He believes the best option would be to remove the building within the two year guideline to avoid any issues with the FAA. Upon questioning by Committee member Knudsvig, Mr. Schauer stated federal funds should be available for removal of the building if done in a reasonable amount of time. Funds used would come from funding already approved for the Minot Airport. Upon questioning by the City Manager, Mr. Schauer stated he believed the two year time duration would begin at the opening of the new terminal, which he will confirm. There being no further business, the meeting adjourned at 5:03 p.m. Respectfully submitted, Lisa Jundt City Clerk

Agenda

AIRPORT COMMITTEE Tuesday, September 29, 2015 Immediately following the Finance and Improvements Committee (No earlier than 4:30 p.m.) City Council Chambers AGENDA 1. Acceptance of Bid- Food, Beverage, Vending and Retail Concessions 2. Airport Director Project/Program Updates 3. Airport Grant Assurances Explanation with Q&A AIRPORT COMMITTEE September 29, 2015 Page 2 MEMO TO: Airport Committee FROM: City Clerk's Office RE: Agenda for Tuesday, September 29, 2015 – No earlier than 4:30 pm 1. Acceptance of Bid- Food, Beverage, Vending and Retail Concessions The new terminal building will provide several spaces for concession services. These services include areas for vending (beverage and snack) machines, two (2) gift shop areas, a pre-security space which could be used for a café/deli or something similar and a post-security restaurant. These are amenities highly requested among airport customers and were included in the original design of the facility. The Request for Proposal (RFP) included specific instructions to be included in each proposal detailing the organizations familiarity with similar operations, management profile, financial information, qualifications, and a general idea of products and menu. Additional data, exhibits, renderings, and explanations were encouraged. A list of restaurant equipment being provided by the airport was given. All other accessories or equipment would be provided by the Operator. Solicitation for bids consisted of several public advertisements, discussions with the current Operator, and directly contacting organizations which currently operate in other like-sized airports. One Operator attended the Pre-Proposal meeting with no requests from other Operators. One RFP was received and opened on August 20, 2015. Oakwells – The Traveler’s Newsstand, provided a very in-depth RFP. A review committee consisting of the Airport Director, Airport Committee Chairman, Finance Department Representative, and the City Manager all reviewed the proposal and agreed the operation would be a good fit for the Minot International Airport. A final contract must be negotiated in the next month which will be presented to the Airport Committee and Council for final approval. Approval of the Oakwells RFP will allow adequate time to begin preparations while the contract is under negotiation. Fiscal Impact: Revenue to the Airport Budget with current minimum annual guarantee of $75,000 to include:  Liquor 15%  Food, Beverages, Vending 12%  Retail 15% It is recommended the Committee and Council approve Oakwells as the Minot International Airport Concession operator and further authorize City staff to negotiate a contract. 2. Airport Director Project/Program Updates The Airport Director will give a presentation on Airport activities, reports and project updates. 3. Airport Grant Assurances Explanation with Q&A These assurances shall be complied with in the performance of grant agreements for airport development, airport planning, and noise compatibility program grants for airport sponsors. These assurances are required to be submitted as part of the project application by sponsors requesting funds under the provision of Title 49, U.S.C., subtitle VII, as amended. Upon acceptance of a grant offer by the sponsor, these assurances are incorporated in and become part of the grant agreement.

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