Airport Commission

. . . creating a better quality of life Airport Commission Meeting Minutes Monday, November 4, 2019, 4:30 pm Murfreesboro Municipal Airport 134 Dejarnette Lane, TDK Hangar Conference Room. Prayer and Pledge of Allegiance: Conducted by John Polk 1) Call the meeting to order: Steve Waldron, Chair called the meeting to order a) Listing of Airport Commission Members, Staff, and guests present Airport Commission Members in attendance: Steve Waldron, Chair George Huddleston, Jr., Vice Chair Gail Zlotky John Polk Butch Jones Clay Cook Bill Shacklett, City Council Representative Dr. Wendy Beckman, MTSU Representative, Ex-Officio\ Darren Gore, Assistant City Manager, Ex-Officio City Staff: David Ives, Deputy Assistant City Attorney Katie Driver, City Staff Attorney Chad Gehrke, Airport Manager also present: Nickolas Lenczycki, MTSU Frank Stephenson 2) Consider approval of the August 19, 2019 Airport Commission meeting minutes Chad Gehrke presented the August 19, 2019 Airport Commission meeting minutes. Gail Zlotky moved to approve the minutes as presented. John Polk seconded the motion and all Members voted in favor. Motion passed. 3) Consider approval of Airport Economic Impact Study Chad Gehrke and Darren Gore presented the Airport Economic Impact Study completed my the MTSU Business Education and Research Center. Mr. Gehrke shared that the study shows that there is a total impact of $31.9 million in business revenues, $11.4 million in personal income, $1.8 million in state and local taxes, and an increase of 277 jobs in Rutherford County. He reported that in Tennessee the Murfreesboro Airport creates a total impact of $39.2 million in business revenues, $14.9 million in personal income, nearly $2 million in state and local taxes, and 309 jobs across the state. Locally he stated that the study showed that the Airport generates for Rutherford County $1,775,000 in local taxes and $655,000 in Murfreesboro annually.  Mr. Gehrke also reviewed the section of the study that reviewed the MTSU Aerospace Department, how it compares to other similar collegiate aviation programs, and documented its need to improve and provide additional facilities for the present and future student demand. The Airport Commission discussed how the status of the Airport within the City of Murfreesboro organization has historically been a self-sufficient department required to cover its share of all development costs. He shared that recently the Airport was categorized in the organization as an enterprise utility. He stated that there is an argument that the Airport should go under the General Fund as other similar type departments have. They discussed the fact that there are certain revenue producing projects such as the construction of hangars which the airport should pay for. There are also improvements to the runways, taxiways, and ramp that are similar to improvements to our street and road system that the City should cover. The Airport Commission discussed how this study could be used. They agreed it could certainly be an educational tool for elected officials as well as our citizens as to the economic benefit an active airport is to the community. They discussed that the study is a justification for using General Fund to provide specific improvements at the Airport as it does have a measurable economic impact to the local economy and tax base. Mr. Gehrke stated that he was working with the City Manager on the appropriate time to take this study before the City Council but he would like the Airport Commission’s recommendation to provide the City Council with the study. All agreed to recommend the Airport Economic Impact Study be presented to the City Council. 4) Consider approval of fuel farm location plan Chad Gehrke requested the Airport Commission’s approval to construct a new fuel farm north of the A T-hangar in a grass area. He stated that the new fuel farm would include two 12,000 gallons tanks that would hold Avgas and Jet A aviation fuels. Mr. Gehrke stated that this would be an entirely new system meeting all of the latest aviation fuel requirements and standards. He also discussed the possibility of changing to a different self-serve fuel system. He described how the delivery truck and aircraft refueling trucks would be parked in a containment area. The Airport Commission discussed various other aspects of the fuel farm including reclamation capabilities and the fact that the old fuel farm would be removed and that area being turned into a sitting/picnic area. Timing on this project could be three years but the desire is to get this project completed now and remove the old fuel farm from the new Terminal area. Mr. Gehrke stated that the very rough estimate is that the fuel farm project could cost as much as $1 million. The Airport Commission discussed making sure the placement of the fuel farm was clear of all runway and taxiway surfaces. The possibility of using state funding for the design costs. Requesting an estimate of a Work Authorization from ATKINS to design the system. Mr. Gehrke stated that he was also talking with Titan to see what arrangement or assistance they could provide. 5) Consider approval of hangar rent credit card processing fee program Chad Gehrke presented the Airport Commission with two charts regarding customer credit card use. The second is the proposed hangar rental rate fee adjustments. Mr. Gehrke presented several options regarding how the Airport Commission could manage the T-hangar rental rates. 1. Do nothing 2. Cash discount (last year’s hangar rent) for paying cash starting January 1, 2020. 3. New hangar rent starting January 1, 2020 (3% increase) and customers who pay cash pay the current rates that were approved for July 1, 2019. 4. New hangar rent starting July 1, 2020 (3% increase) with cash discount (FY2020 hangar rent rates) The Airport Commission discussed the options. George Huddleston moved to go with Option 3 with new rates increased 3% starting January 1, 2020 and cash discount that is last year’s rates. There was no second and the motion failed. John Polk and Clay Cook discussed the fourth option with a rental rate increase of 3% starting July 1 with cash discount at FY20 rates.  Clay Cook moved to approved adjusting rent 3% with a cash discount that is last year’s rates (FY20 rates). John Polk seconded the motion. All voted in favor with one voting against. Motion passed. 6) Airport Manager’s report regarding other projects. The Airport Manager, Chad Gehrke, gave a brief status report on the following projects and issues: Approach Clearing Project Economic Development Grant TN Aeronautics Division Economic Impact Study TAD CIP Taxiway F Development Area Project (Final Design) MTSU Airport Campus Master Planning status T-hangar A, B, C, D, and E Painting Project Terminal Project South Terminal Development Project ATLAS Assistant Airport Manager Chili Cook Off (Tuesday, Dec. 10, 6 pm?) 7) Consider any other business to come before the Airport Commission 8) Consider next date for Airport Commission meeting December 9, 2019, 4:30 pm The Airport Commission agreed to December 9th at 4:30 pm. 9) Adjournment The Airport Commission agreed to adjourn.