Airport Commission

Airport Commission Meeting Minutes April 12, 2018 – Owatonna Degner Regional Airport 1. Call to Order Chairman Hale called the Airport Commission meeting to order at 5:00 PM at the Owatonna Degner Regional Airport. 2. Roll Call Attendance John Borsenberger Commissioner Todd Hale Chairman Tom Harrison Commissioner James Keltgen Vice Chairman Greg Krueger Commissioner Justin Lindee Commissioner Dave Beaver Airport Manager Troy Klecker Community Development Director Visitors Ron Roetzel Bolton and Menk, Inc. 3. Approval of Agenda Chairman Hale presented the agenda and Commissioner Krueger made a motion to approve and Commissioner Keltgen seconded the motion. The motion was approved. 4. Minutes Commissioner Keltgen made a motion to approve the minutes from the March 8, 2018 Airport Commission meeting and Commissioner Krueger seconded the motion. The motion was approved. 5. Action Items Chairman Reports Chairman Hale explained that he has been contacted by the Mayor about expiring terms on the Airport Commission including his term as well as the first term of John Borsenberger. There was a discussion regarding the terms for members and Mr. Beaver reported that it is normally two terms of three years. Chairman Hale expressed his interest in staying on the Airport Commission for a longer term. Commissioner Borsenberger explained that he will not be renewing for his second term due to increased responsibilities at work and the possibility of moving out of the location for work. Commissioner Borsenberger added that he has enjoyed serving on the Commission and seeing many positive things happen at the airport during his term. The Commission members thanked John for all of his service and to well wishes in the future. Staff Reports Airport Manager Beaver reported on airport activities and presented the fuel volumes dispensed that show an increase volume from the same time period the last two years. For other activities Mr. Beaver reported that the Minnesota state airport conference will be held on April 18-20th in Duluth, MN. Airport Manager Beaver presented the Airport Emergency Plan (AEP) and explained that the annual fire department review of the plan and table top exercises were held on March 26th, 2018. This meets the review requirement set forth in the plan and an after action review of the training has been completed including recommendations for improvement. Mr. Beaver also reported that the 2018 summer internship position has been posted with a closing date of April 28th. There was a discussion on position duties including event planning and implementation such as youth aviation camps, fly-in breakfast, movie night, as well as other general administrative and operational duties. Regarding the airport business development working group, Airport Manager Beaver provided an update on two of the businesses showing interest in commercial operations at the airport. Mr. Beaver presented background information on a glider training and ride business called Cross Country Soaring (CCS). The documents received from CCS provide an overview of the glider operation and potential need. The company may be displaced from a neighboring airport and require temporary space for operations. There was a discussion regarding the operation. Commissioner Harrison explained that the working group was generally supportive of the proposed operations and reported that alternative areas adjacent to the runway system were being discussed as possible alternate landing areas. Airport Manager Beaver presented a proposed scope of commercial activities provided by Great Planes Aviation. Mr. Beaver reported that the company is currently based at the Rochester, MN International airport and would like to begin serving the Owatonna area. There was a review of the scope of services to be offered including Flight Instruction, Aircraft Rental, aircraft acquisition and management service, and growth into business transportation options such as charter or other aircraft ownership models. Great Planes Aviation would also like to develop a collegiate program in the local community to attempt to develop an aircraft mechanic and/or pilot training program. There was a discussion regarding the proposed activities and space required. Mr. Beaver explained that Great Planes Aviation has met with and proposes to work with existing based business, Langer Aviation, for the primary training aircraft and utilize dedicated instructors. The company proposes to lease existing office space in the terminal building and utilize a portion of the existing hangar space for the initial term of a lease. There was a discussion regarding the timeline in the proposal and Airport Manager Beaver explained that the applicant would like to begin operations as soon as May 1st to take advantage of the weather. Great Planes Aviation proposes to develop a presence at the facility including additional professional signage and hire a flight instructor. There was a discussion regarding the established airport Minimum Standards for commercial activities. Mr. Beaver explained that Great Planes Aviation appeared to meet all of the standards for a Limited Service Operator with the exception of providing for the land area and building areas. There was a discussion regarding these standards and that the space standard could be met by utilizing common areas in the terminal in conjunction with the proposed leased areas. After discussion, Commissioner Harrison made a motion resolving to direct staff to work with Great Planes Aviation in order to expedite the process for Council consideration and develop an airport commercial lease suitable to staff and the city attorney providing for the authorization to begin proposed commercial services utilizing a combination of leased space and public common arears waiving space standards as required for an initial term. Commissioner Krueger seconded the motion. The motion was approved. 2018 Projects Update Regarding airport projects, Ron Roetzel with Bolton and Menk presented a draft revised Capital Improvement Plan (CIP) as a possible scenario due to anticipated limitations to state and federal grant participation for projects as shown in the current CIP. Airport Manager Beaver explained that the grant application package has been submitted for federal funding participation for the purchase of a loader with blower; however, the FAA funds may not be available this year causing delays in subsequent planning years. There was a discussion regarding the draft revisions. Mr. Beaver reported that the main hangar bi-fold hangar doors replacement project is likely to be funded this year through a MnDOT Aeronautics grant. Mr. Beaver presented the quotes received to date on this project and reported that another quote is pending. Regarding other project requests on the CIP, staff is working to maintain prioritized needs balanced with available funding programs, and local vehicle replacement fund balances. Airport Manager Beaver reminded those in attendance that the first “Hang out in the Hangar” event of 2018 hosted by Dennis VonRuden is directly following the meeting and anyone is welcomed to attend. 6. Adjournment The Airport Commission meeting was adjourned at 6:05 PM with a motion made by Commissioner Lindee and seconded by Commissioner Borsenberger.