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HomeMy WebLinkAbout09-10-1990 Regular Meeting51 The Airport Board of the City of Fairhope met Monday September 10, 1990 at 8:00 A.M. at the City Administration Building, 161 N. Section Street. Present: Chairman Sue Mason; members Robert Coiling, Andy Huggins, Jeanette Puckett, Mike Baugh . Pete Douglas, Francis Kramer, Jim Lockett, Byron Lassiter, M.L. Aust, Betty Rivenbark The minutes were approved as written and a financial statement was given by the secretary. Andy Huggins was asked for a report regarding fire equipment at the airport. Andy said he had talked with Tim Kant and Tom Odom and spent half a day at the airport with Tom Odom discussing equipment, etc. He said that Mr. Odom said we had 1- 600 gallon pumper truck at station 1 and 2 other trucks that they could induce to 30 gallons, that response time would be 5-7 minutes. He further said that Mr. Odom said they are looking into a surplus foam truck, a fully equipped aviation truck, that they send men from the Fairhope Volunteer Fire Dept. to a fire department training school in Massachusetts. While he was otat there he got with James Ingram who showed him around. He said that deviations do exist in the National Fire Standards and what is out there. Mr. Lockett expressed a willingness to try and comply, that they would do what is necessary to come under compliance. Andy further suggested that the Fire Chief and Fire Inspector make a strict interpretation of the National Fire Code and present to Fairhope Aero and they in turn would try to comply within a suitable amount of time. Further, that Coastal in their contract should insure that the contractor would build to fire code regulations, Pete said that this would go without saying, that he was sure permits, certificates of occupancy would not be issued without being in compliance. Sue asked Andy to follow up and see with the fire department that we are heading in the right direction. Jeanette reported on insurance question for board. She had copy of aviation certificate of insurance from Aviation Insurance center, Inc. who has insured Duncan in adequate amount and listed "City of Fairhope and Fairhope Airport Board named as additional insured as respects premises/operations of the named insured." for the period 3/1/90 - 3/1/91. All felt they were satisfied that this is what it should be. At this time the chairman reported on response from Fairhope Aero about inquiries into Tie -down lease agreement fees. It was obvious from the letter that most were behind in payments. Mr. Lockett of Fairhope Aero said that each had been invoiced as to amount they are behind and some already responded. The chairman brought up at this time the amount of money being charged for T-hangars and the fact that we are just barely making it. She questioned if we wished to raise rent from $125 a month. The Board decided that they wished to know what other airports are charging before making decision. Mike was asked to call 'around and report back. Jeanette gave a report to the Board on a request from Fairhope Aero/Duncan and further put into the form of a motion that we recommend to the City Council approval be given to Duncan's/Fairhope Aero's request that they be allowed to transfer lien from one bank to another, roll over a- line of credit, which she said is common practice. Andy Huggins seconded and motion carried unanimously. 52 Mr. Douglas was present to present to the Board further information asked for at last meeting. Mr. Douglas had provided this information 9/4/90 and also brought one set of plans. Ms. Mason was the only one who had a chance to review plans before 8:00 A.M. meeting today. At this time she passed plans around for other board members to familiarize themselves with. - , Jeanette questioned John Wimpee being part owner of business, Pete said yes, Ms. Mason asked if papers filed yet, he replied no, but when we grant him FBO status it would just be a formality, it seemed to him a matter of putting the horse before the cart. Mr. Coiling inquired as to what planned regarding fire equipment for his operation. Mr. Douglas responded whatever would be required that now they need a two hour wall between office and hangar space in plans he is presenting, but all requirements would be met in construction. Mr. Huggins questioned wash rack, Mr. Douglas said a water hose would be provided w/drain off to the side. Jeanette questioned restroom plans. Mr. Douglas said only one was planned at this time but could be expanded later. Further input was given by ladies present as to necessity of having more than one. Jeanette questioned having one room for classroom and office. Mr. Douglas said that office operation would not be going on Friday -Sunday and that is when they would be giving flight instruction. Questions were asked regarding flight instruction offered and qualifications of flight instructors. Mr. Douglas further qualified that he had 4 planes in his operation. Mr. Coiling asked what basis was he going on for need of air charter service. Mr. Dougas replied he had not done market study but there is no one in this area doing this service, that with the growth over here would be only matter of time until shuttle service offered to Bates Field, that he would use an Islander airplane, which is low maintenance and has seats for 15 passengers. At this time Mike Baugh, saying he is commited to being peacemaker, asked Mr. Lockett, Mr. Lassiter the major reason they objected. Mr. Lassiter spoke saying that they feel that if someone comes in to compete with the market that they feel there should be no waiver of standards, that is unfair given the amount of time they have been there and investment put into operation. They are requesting that board require that they comply fully with minimum standards. Mike said again he would like to see a win -win situation, what really is the problem, they keep say- ing that it is not economically feasible, but it is fair for both of them. Pete Douglas said that he will be building a ramp, at an expense of $50,000, which normally would not be done by FBO, additionally providing traditional aviation services that are not there now, that he will be supportive of city, that the economics of fuel - he does not use jet fuel and his clientele does not use it, there is a limited market for jet fuel and he is willing to give Fairhope Aero all jet fuel business, that if he has to put in service he will be competing. That if we are trying to make him comply with all the standards then he will be competing, will be non-profit for all, he will be doing good things for the community and only asking for one waiver, he can't see why we need 4 shoe stores in one block. Andy said that he understood from Fairhope Aero that they were not interested in providing the services that Mr. Douglas said he would. Mr. Lockett said this is correct but they would comply with minimum standards if these services were required. Andy further asked what figure Mr. Douglas would be saving per month. He said 1500-2000 dollars. That is critical in his business to deduct off of his overhead, possibly save 754 by buying direct. The possibility of him buying direct from Exxon was brought up. He said he is locked in by the Minimum Standards. That he cannot dispense without becoming an FBO. Jeanette asked if Coastal having mechanic doing their work would be problem with Fairhope Aero. Would he seek other work other than his planes, Pete said he would not turn down work in other areas, but he feels that both of them are going after different markets that there is room for both. He further said he has pretty well stated his position and benefits to the community, services being offered, that only request is waiver on jet fuel sales and hope we can understand that. Byron Lassiter said that given 53 the magnitude of the investment that he asks again that we require full FBO status, that they are opposed to waiver. Ms. Mason asked about the far fetched idea, a waiver for Mr. Douglas to store fuel for his operation only, making him a special FBO, not selling fuel to the public. Andy said that he might run into problems with the FAA. Pete said he had talked to FAA, Elton Jay and that he did not see any problems with this proposal, that the bottom line with them would be that both operations be free and open competition. Mr. Lassiter said he did not know enough about this to say but he would say again that he feels that he should comply with all minimum standards. At this time Ms. Mason said she had individual ballots for each issue and each would be voted on separately and results told by the secretary. Results were as follows to allow Mr. Douglas to perform services: Approve Disapprove No Vote Flight training Aircraft rental Aircraft charter & taxi service Aircraft engine & accessory maintenance (this predicated on Wimpee being part owner) Fuel & oil sales General FBO The Board asked the secretary to pass on to tion that Mr. Douglas be approved as General sales. 5 5 5 4 1 2 3 5 the City Council their recommenda- FBO, with no waiver for jet fuel In light of the denial of Mr. Douglas' request for waiver and after further discussion, Ms. Mason said she was not opposed to taking another vote to see if the board wished to allow Mr. Douglas to operate as a special FBO having fuel for his use only. Mr. Lassiter said again Duncan is opposed to any waiver. Mike asked if she meant he could work as special FBO meeting minimum standards and define dispensing. She replied yes. A vote was called for from Board on whether they would approve waiver of stand on aviation gas, for his use only not to sell to public. The vote was as follows: Yes - 1, No - 3, No vote - 1. Special FBO status denied by vote. Mr. Douglas being advised of Board's decisions was told next step would be review by City Attorney and recommendations would be passed on to City Council. A question was raised regarding Fairhope Aero parking aircraft on lower ramp, have they obtained permission, or are they paying rent to City. Mr. Lockett said he did not know but would do what necessary. Mr. Lockett went on to say that they have ordered new wind sock and runway lights are being repaired that they had some damage last week after storm came through. There being no further business, meeting was duly adjourned.