HomeMy WebLinkAbout08-13-1990 Regular MeetingAM
The Airport Board of the City of Fairhope met Monday, August 13, 1990 at
8:00 A.M. at the City Municipal Complex, 161 N. Section Street.
Present: Chairman Sue Mason; members Mike Baugh, Robert Coiling
Andrew Huggins. Also present were Byron Lassiter, Jim Lockett,
Pete Douglas, John Wimpee, M.L. Aust, Francis Kramer, Betty Rivenbark
The minutes were approved as written and a financial statment was presented
by the secretary.
Buzz Coiling gave a report on his findings regarding Tie Down lease
agreements which are suppose to be collected by Fairhope Aero on a
staggered basis and sent to the City with Fairhope Aero keeping a
percentage. Buzz reported that at best he describes the arrange-
ment as "loose". He found that most we have contracts with are
behind and he strongly recommends that we start working this
through City offices.
Andy Huggins said he did not realize that Sue was looking for some-
thing for this meeting but he will get with Tim Kant, the Fire Chief, as
he may already have a proposal made up. regarding fire protection at airport.
Ms. Puckett was out of town so her report will be carried over.
Under new business Sue reported on an Alabama Aviation Association
meeting that will be held down in Gulf Shores and asked if any of the
members wished to go she has the information.
Mr. Douglas' application was brought before the Board(copy in file)
Ms. Mason outlined how she would be handling the inquiry process
regarding the application. Ms. Mason proceeded to ask Mr. Douglas
questions she had regarding the application. She pointed out that
as a second FBO he can not sub -lease to Mr. Wimpee, he had also
listed only two employees and the Board wished him to go into more
detail, stating the total number of people on site and their qualifica-
tions, the operational staff. Mr. Douglas said he did not see the same
interpretation as the Board on sub -leasing but that he was sure he and
Mr. Wimpee could work this out. She questioned his plans for the building,
the lounge, lobby, baggage handling. He said all that was planned for,
which led to a request for a drawing of the building, which raised a question
of insurance on construction. It was pointed out that this is usually furnished
by contractor before construction is begun. At this time Mr. Douglas brought
up in the minimum standards part of FBO's requirement is to sell jet fuel.
That he does not wish to sell iet fuel, has no need for it, and will reauire
some!R0,000 investment. It was explained to Mr. Douglas how this came
about, that we were looking to the future in case one FBO left for one reason
or another. Mr. Douglas went on to ask if the Board would consider a waiver
and if for some reason the other FBO left we could include a clause in
his lease that he would at that time, with a reasonable period of time make
jet service available to the public. Mr. Douglas addressed the Board explain-
ing the services he wished to offer. He said they are pretty basic general
aviation services: flight instruction, rent airplanes. He said he is not trying
to compete with Fairhope Aero, that for his operation to work 1. he has to
have own fuel, and 2. provide the maintenance that these are critical to
the success of his business. He re -iterated again that he doe not wish to
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handle jet fuel, and will be willing to do so "if and when there is a need for
him to do so" by clause in his agreement with City. Ms. Mason asked about
the sources of fuel for his operation and he said there is no problem, at least
4 vendors have contacted him. Byron Lassiter, attorney for Fairhope Aero,
questioned the space Mr. Douglas would have available for flight instruction
and was told that he plans to have a 12 x 15 room available for ground school.
The fuel question was raised again and Mr. Douglas said that he would be using
guidelines from FAA. posibly above ground tanks, that the transporters offer
a filtering system and will use tanks where the water can be sumped off.
Mr. Lassiter asked ' several more questions about the operation and what
financial statements would be provided. Mike Baugh asked if there was some
underlying reasons that were not coming out re: Mr. Douglas' proposal and
feelings with Fairhope Aero. Mr. Lassiter said basically that there is a worry
that 2 FBO's can make a living there, that the fuel sales can hardly support
2 operators. Mr. Douglas said again that he did not wish to be in competition,
that the services he will offer will not in any way affect Fairhope Aero's operation.
After all questions answered satisfactorily Ms. Mason asked Mr. Douglas to
present to Board new information by next meeting, and she will address each
item, item for item as presented. Mr. Douglas said it was his understanding
that the Board wished from him: floor plan of office, criteria of personnel,
numbers and types) a binder from insurance company, performance bond from
contractor, and expanded list of tools, equipment and inventory and documenta-
tion from his lending agency. The Board told him these were what they were
asking for. Ms. Mason told him the process required, that this will come back
to Board, we as advisory committee recommend to Council, sent to city attorney
then lease will be drawn up between Douglas/Coastal Air Transport and City.
Mr. Douglas said his success would hinge on having his own fuel and maintenance
facility. Mr. Huggins asked if Fairhope Aero was interested in providing any
of the services Mr. Douglas is willing to offer. Mr. Lockett said no they are not.
Mr. Douglas said that these services are services that should be offered to the
general aviation public, that they are available to the public in many airports
much smaller than Fairhope and ours is a much nicer facility, that he thinks
they should be offered, that there is only a marginal profit in having them
but he gets calls all the time asking for aircraft rental, and it is not available.
Mr. Douglas said he will present the additional information to the Board secretary
and return at next meeting.
There being no further business, meeting was duly adjourned.