Loading...
09-27-1999 Workshop/Special Called Meeting -- , r PEACHTREE CITY AIRPORT AUTHORITY MINUTES OF MEETING September 27,1999 A workshop to discuss short and long range financial planning for the airport, and the pricing and distribution of lots in Hangar Area "B" by the Peachtree City Airport Authority, was held at the Aviation Center, Peachtree City-Falcon Field Airport, on September 27, 1999, at 5:00 p.m., followed by a Special Called Meeting of the Authority to consider acceptance of a Grant Offer from the FAA and awarding cash bonuses to Airport Employees at 7:00 p.m. . Those present were: Chairman Robert B. Patterson; Members: H.E. Buffington, Susan M. Cates, David M. Good; and Catherine M. Nelmes ; Airport Manager James H. Savage; Recording Secretary Clair I. Ford; and Authority Attorney Douglas B. Warner. I. WORKSHOP. FINANCIAL PLANNING AND HANGAR AREA "B" PRICING AND DISTRIBUTION - 99-09-04 Discuss short and long range financial plans and formulation of FY 2000 Operating Budget. Chairman Patterson requested Mr. Savage to give a brief outline of his proposed FY 2000 budget. Following his presentation, the Authority discussed the issue at length, which included comments from several tenants and interested parties. Mr. Good expressed his opinion that even though the new budget showed a $5,000 improvement in cash flow over the FY 99 budget, it would still place a net drain on the Authority's cash reserves of some $11,000 per month. With current reserves, he estimated that the operation as budgeted could last approximately 12 months before major cuts would be necessary. It was his opinion that unless the Hunting facilities were sold to an operator who began to generate substantial "through-the-fence" revenues soon, the Authority should increase revenues where it can and make the necessary budget cuts now while the Authority still has a cash reserve. Mr. Good proposed that revenues be increased and cuts be made to the specific line items listed below to achieve a balanced budget: r- f , ~. 1) Increase hangar storage fees and ground rental rates by 15%, or by the CPI adjustments that were authorized by .agreement for the last two years but not implemented, as may be appropriate. This will generate approximately $2,000 per month in additional revenues. 1 2) Reduce operating hours and/or employee cost to achieve a $2,000 per month savings. It was suggested that winter operating hours be set at 7:00 a.m. to 9:00 p.m. daily as a first step to achieving this goal. 3) Revue the possibility of reducing liability insurance coverage to achieve a $2,000 savings in monthly premiums. 4) Reduce the proposed airport maintenance budget by $1 ,000 per month. 5) Reduce the professional services fees by $1,000 per month. 6) Reduce the overall budget by small cuts in all areas to achieve an additional $3,000 per month savings. After additional discussion by the Authority is was agreed by consensus that Mr. Savage should make the necessary adjustments as proposed and present an amended budget for consideration at the October 6, 1999, Authority meeting. No further actions were taken. 99-07 -02 Establish ground lease rates and method for awarding site leases for Hangar Area "B". The Authority continued its previous discussions on this issue by reviewing a new estimate of the infrastructure improvement costs prepared by Wilbur Smith and Associates and a detailed spread sheet showing potential income from the area at several different ground lease rates. Mr. David Milton rose from the audience to ask questions and provide his comments on the subject, as did Mr. Jim Toombs. Ms. Nelmes recommended that a rate of $.40 per square foot be established, while Mr. Good suggested a rate of $.45 per square foot. Mr. Buffington and Ms. Cates both indicated they would support the $.45 per square foot rate. As a compromise, Chairman Patterson offered a motion to establish the rate at $.43 per square foot, but it died for lack of a second. r- \ , Mr. Good moved to establish the rate at $.45 per square foot which was seconded by Mr. Buffington. After additional discussion, the motion passed unanimously. 2 The Authority continued discussions on the development of Hangar Area "B" working to determine a method for distributing the lots in a fair and equitable manner. It was agreed by consensus that Mr. Savage would send a notice to all current airport tenants and sub-tenants ("Authorized Participants") advising them of a date at which a drawing will be held to award lease opportunities for one of the six lots available. Each Authorized Participant will fill out a card at the time of the drawing which will be placed in a "hat." As the cards are drawn at random, the Authorized Participant whose card is drawn will be given the opportunity to lease one of the lots remaining. Proxies will be accepted, provided the Authorized Participant that is unable to attend the drawing in person provides a written statement outlining his or her choice(s) and specific instructions to the person holding the proxy on how to bid for any available lot. r ! [, Once a lot is chosen by an Authorized Participant, that person must immediately post a deposit of $1 ,000 to hold such lot until a lease agreement is concluded. Deposits will not be refunded unless there are insufficient participants to allow the project to move forward. Deposits will be credited towards the first year's rent which will become due at lease signing. Lots not selected at the time of the drawing will be made available to any and all interested parties on a first come, first served basis. It was the consensus of the Authority that once all six lots have been selected and leases have been signed, the Authority will acquire the necessary funding to build the infrastructure to serve the lots. Such infrastructure will include water, sewerage, electricity, telephone lines, paved driveways and paved auto parking lois. Hangar or office construction and aircraft parking aprons will be at the expense of the lessee. Mr. Savage was requested to send the notice as soon as possible. No further actions were taken on this item. At 7:37 p.m., a motion was made by Chairman Patterson and seconded by Ms. Nelmes recess for 10 minutes to reconvene in a called meeting to discuss the published agenda. The motion passed unanimously. 3 II. SPECIAL CALLED MEETING 99-09-05 Conside~i acceptance of Grant Offer from FAA for Phase II Construction of South Hangar Area (Hangar Area "B"). Mr. Savage briefed the Authority on the Grant Offer for Airport Improvement Project (AlP) 3-13-0146-11, in the amount of $462,225. This project is Phase II of what will most likely be a three phase project to build taxiways, taxilanes and associated work in an area on the southeast end of the airport. A motion to accept the grant as offered was made by Ms. Nelmes and seconded by Mr. Good. The motion passed unanimousiy. At 7:46 p.m., a motion was made by Mr. Good and seconded by Ms. Nelmes to recess and reconvene in Executive Session to consider the published agenda. The motion passed unanimously. III. EXECUTIVE SESSION 99-09-06 Considerb()nuses. for Airport Employees for efforts associated with Wings Over Dixie 99 airshow. The Authority reviewed the request of Mr. Savage to provide all Authority employees that worked the airshow with a cash bonus. After discussions regarding the availability of funds for such an action and the desire of the Authority to say "Thank You" to the employees for a job well done, a motion was made by Chairman Patterson to award each employee with a $100 cash bonus for the extraordinary efforts displayed during the airshow. The motion was seconded by Mr. Good and passed unanimously. No further actions were taken during Executive Session and an Affidavit of Compliance with O.C.GA 50-14-4(b) is attached and made a part of these minutes. At 8:03 p.m., hearing no additional items for discussion, Chairman Patterson called for a motion to adjourn which was made by Ms. Cates and seconded by Ms. Nelmes The motion passed unanimously. ~~J Attested by: ~-=--- Rooert B. Patterson, Chairman 4 ,..... ! ! t'"-, r: , l PEACHTREE CITY AIRPORT AUTHORITY EXECUTIVE SESSION AFFIDAVIT The undersigned hereby states under oath, in the presence of a notary public, as subscribed below, that the undersigned presided over a meeting of the Peachtree City Airport Authority, in the capacity set forth below, on the meeting date set forth below. A portion of this meeting was held in executive session and closed to the public, pursuant to motion duly made, seconded and passed by the Authority. The closed portion of such meeting, held in executive session, was devoted to matters within the excepticns provided by law, specifically as initialed below: D Discussing matters protected by the attorney-client privilege. O.C.G.A. 950-14-2(1). D Discussing the future acquisition of real estate. O.C.G.A. 950-14-3(4). [8J Discussing or d&liberating the appointment, employment, compensation, hiring, disciplinary action or dismissal, or periodic evaluation or rating of a public officer or employee. O.C.G.A. 950-14-3(6). The closed portion or the meeting was held in compliance with the law, based upon the advice of legal counsel for the Authority, and based upon observation of all members present. In witness whereof, the undersigned has signed this affidavit on the date indicated below. ~~ Signature 9 {! ~/ v}l re.,l-1~ Capacity ~ Notary Putilic BLIC NOT~RY PU . FA'ltTTE COUNT'!, GEORGI~ MY COMMISSION EXPIRES FEBRU~RY 4, 2000 CONCURRENCE OF AUTHORITY MEMBERS ll:d';fij;;.~ roo,",," ;0 ., ,.", -~" '" tru, Md roo,,, ? . C~~ Date of meeting: SmGMr3G/L-zl, /1199 OPINION OF LEGAL COUNSEl. The closed portion of the meeting of the Peachtree City Airport Authority referenced in the above affidavit was appropriate under Georgia law and was held nt to my advice and counsel. 9-30-99 PEACHTREE CITY AIRPORT AUTHORITY RECORD OF ATTENDANCE AS OF: i," September 30, 1999 Members Regular Meetings Meetings Regular Special Called Special Called Total Last 12 Months Attended Attendance Meetings Last Meetings Attendance % 12 Months Attended % David M. Good 12 10 83% ~ 2 86% ,- Susan M. Cates 12 8 67% 2 2 71% . Robert B. Patterson 12 12 100% 2. 2 100% Catharine M. Nelmes . 9 9 100% 2 2 100% H.E. Buffington 12 10 83% 2 2 86% Note: . New member as of 111/99 Members Dates Absent Type {!"""' David M. Good 6/2/99 Regular , . 7/7/99 Regular , ~ 'Susan M. Cates 10/7/98 Regular 1/6/99 Regular 5/5/99 Regular 9/1/99 Regular Robert B. Patterson I . Catherina M. Nelmes H.E. Buffington 11/12/98 Regular 8/3/99 Regular r ! I . I . Meeting Dates Type 1/6/99 Regular 2/10/99 Regular 2/24/99 Special 3/3/99 Regular 4/7/991 Regular ~ 5/5/99 Regular i 6/2/99 Regular 7/7/99 Regular 8/3/99 Regular 9/1/99 Regular 9/27/99! Special 10/7/98 Regular 11/12/98 Regular 12/1/98 Regular I . I Page 1