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09/04/1996 AIRPORT AUTHORITY CITY OF CLEARWATER September 4, 1996 Present: Charles Silcox Chair Stephen Bils Vice Chair (arrived 3:27 p.m.) Gary Benjamin Board Member Charles Kilbride Board Member Francis J. Werner Board Member John Carassas Assistant City Attorney Richard Baier Engineering Director Gary Johnson Engineering Project Coordinator for Staff Liaison Gwen Legters Board Reporter The Chair called the meeting to order at 3:00 p.m. in City Hall. To provide continuity for research, items are listed in agenda order although not necessarily discussed in that order. Minutes Approval -- August 7, 1996 moved to approve Member Werner the minutes as submitted in writing to each member motioncarried by the Board Reporter. The was duly seconded and unanimously 3. Tenant Report - FBO The Chair received the report and read it into the record. It was indicated 40 shade hangars, 10 enclosed hangars, 22 hard stands and 20 grass tiedowns are occupied. Added to this month’s report are six aircraft Mr. Emshoff has for sale, one owned by Civil Air Patrol, one belonging to the Suncoast Seabird Sanctuary, and 12 operated by the flight school. 4. Request for Proposal -- FBO This item was moved to the end of the agenda to await the arrival of Engineering Director Rich Baier. Upon his arrival, discussion of Item #9, below, was held in abeyance until the end of Item #4. Mr. Baier reported staff compiled input from the selection committee members into an agenda item that the Commission has continued to September 19, 1996. All the candidates met the minimum qualifications. Each proposal was evaluated and charted on a matrix according to the following criteria; 1) experience 50%; 2) fullness of resources 25%; 3) economic return to the City 15%; and 4) safety 10%. He questioned whether the members had any questions regarding the character and criteria of the review. The Chair stated he was satisfied with the selection and the matrix used in the process. The remaining members indicated they desired no further clarification. Mr. Baier reported the final rankings in descending order . The first ranked respondent was Clearwater Aircraft, Inc., followed by Clearwater Flying Corp., D/B/A Armament Systems Co., and Homecare Industries. It was indicated the selection is subject to City Commission approval and maa09.96 1 09/04/96 lease negotiations will follow. If a lease cannot be negotiated with the first ranked bidder for some reason, the second ranked bidder will be considered. Mr. Baier stated staff is looking at some of the parameters of the lease and requesting feedback regarding what type of things the members want to see in the lease. He has received positive and negative comments about the way the airpark is run. With the Airport Authority having reviewed and approved the choices and the selection matrix, the Chair called for a motion for recommendation. moved to accept Member Kilbride the City selection committee’s selection of FBO. There no second was . Discussion ensued regarding the motion. Member Benjamin did not object to the recommended selection, but was unsure what he was being asked to approve. While he did not want to give the appearance of second guessing staff, he felt ample discussion had occurred regarding how the Airport Authority would have preferred the process to have been conducted. Because the Airport Authority had not reviewed any of the proposals, he felt he had no basis to approve or disapprove the choice. The Chair pointed out he asked for questions and none came forward. Mr. Baier offered to clarify any questions related to the selection, or the process, and reiterated the list of respondents. Chair Silcox indicated his confidence in the competence of the City’s committee to select the proper bidder and rank bidders in the proper order. He felt a recommendation to the City Commission was in order and called for another motion. Mr. Baier agreed the City Commission would want to know the Airport Authority’s position regarding the choice of respondent. Member Benjamin questioned the criteria used to determine financial stability. Mr. Baier stated fullness of resources, not financial stability, was one of the four ranking parameters. He explained in more detail the various considerations contained within each of the ranking criteria. Each proposal was evaluated to ensure it contained adequate reference to the priorities listed in the RFP. moved Member Bils for the Clearwater Airport Authority to communicate to the City Commission that the Airport Authority approves the ranking criteria and the selection system that was used to determine the order of preference of the four applicants and that the Airport Authority endorses the resulting outcome and believes a contract with Clearwater Aircraft, Inc., no second. should be pursued aggressively. There was Member Kilbride questioned what difference it would make if the Airport Authority does not accept the recommendation of the selection committee. The Chair indicated it would probably make no difference. Member Benjamin expressed concern the motion gives the unwanted appearance of passing judgment on the selection committee. He was prepared to support a motion supporting the committee’s recommendation based on the criteria as presented, but did not want to be put in the position of supporting their selection. He favored expressing the Airport maa09.96 2 09/04/96 Authority’s confidence in the committee, but did not want to be put in the position of saying he agrees with their selection. Without knowing the weighting of the relative internal factors, he cannot determine how the selection was made. moved Member Benjamin for the Airport Authority to support the recommendation made seconded by the selection committee based on the criteria as outlined. The motion was duly . Convoluted discussion ensued regarding the similarities and differences in the three motions. The Chair called the question and the board reporter repeated Mr. Benjamin’s motion for the record. motion carried Upon the vote being taken, the unanimously. The Chair opened the floor for public comments. Further discussion regarding lease negotiations is reported under Item #9, below. 5. Identification Badges Member Kilbride reported he had obtained his badge and circulated it for board review. Member Silcox encouraged all members to get their badges and visit the airpark often. Some members indicated they had not been contacted for an appointment to get a badge. 6. Security Signage At the last meeting, staff was requested to investigate having no trespass signs created in the City sign shop and posted along the airpark boundary adjacent to the golf course because people had been seen collecting stray golf balls from the runway. Mr. Johnson will check on the status. In response to a question, Mr. Emshoff spoke briefly about the issue. 7. New Hangar Construction Mr. Johnson and Mr. Carassas reported FDOT had agreed to pay 50 percent of the cost of the original $450,000 estimate. The bid tabulations are complete and the low bid was $485,000 from Hennessey Construction Services, Inc., of St. Petersburg, Florida. The FDOT agreement is being amended to reflect the new figure and the item will go to the City Commission meeting of September 19. Mr. Carassas stated he received verbal approval of the amendment from the FDOT representative who mailed the paperwork to the City last Friday. Mr. Johnson said Engineering is happy with the work Hennessey is doing for the Traffic Engineering Department. 8. Runway/Taxiway Lights The board and public strongly urged staff to get the lights in place because the Clearwater Airpark is difficult to find at night and, even with the VASI lights in place, is dangerous to anyone unfamiliar with the runway configuration. While Mr. Johnson did not know the details, he indicated Engineering staff and the DOT are moving forward with this issue. Member Silcox requested help from the Engineering Department in getting the runways painted and determining the proper maa09.96 3 09/04/96 runway markings and striping. He stated this has to be done before the GPS approach can go into effect in December. Mr. Johnson will investigate the marking requirements through the DOT. 9. Other Business ?? Mr. Johnson distributed copies of a list of requested economic information from the FBO and tenants. The list is being used by the consulting engineer preparing an economic impact study for the Clearwater Airpark. ?? Discussion ensued regarding negotiation of lease terms with Clearwater Aircraft and whether the Airport Authority will have any input in development of a new tenant lease. Member Silcox indicated the Airport Authority had worked diligently to compile a list of what they wanted to see in a tenant lease. He requested staff to incorporate this list into the new lease and allow for Airport Authority review and amendments prior to finalization. In the past, the tenants’ sublease agreement was closely tied into the FBO’s lease with the City. Mr. Silcox stated many tenants were uncomfortable with that arrangement, but as they been told to sign or move, he signed the lease under protest. It was indicated a more appropriate practice would be to establish a master lease with the FBO, and allow the FBO set up a sublease with each tenant, to keep pace with the master lease. As the FBO lease will be negotiated in mid to late November, the Airport Authority wished to conduct a public meeting at the airpark with the FBO and the tenants, to address what is wanted in the lease. Mr. Carassas stated the existing lease between the City and Suncoast Aviation has three attachments, one of which must be used as is, without changes by the FBO. It was indicated this practice had not been acceptable to airpark tenants, and general discussion ensued among board, staff and the public. Mr. Baier offered copies of the lease form to all members, inviting them to write their suggestions for changes and additions on the forms, so he will have a basis from which to work. He welcomed members' comments regarding available services and customer service standards as well. Mr. Silcox reiterated the committee had diligently prepared and submitted a list of standards they wished to see incorporated into the tenant lease. He reiterated his request for Mr. Baier to revisit that list and Mr. Baier agreed. Don Hendricks, airpark tenant, stated he was a member of the committee that put many hours of hard work into drawing up the list of standards. He indicated he regretted the list had been thrown away without consideration. He expressed strong concern the existing sublease does not allow him to perform routine preventative maintenance on his aircraft without inspection by the Fire Marshal, even though he is an FAA licensed aircraft mechanic with 40 years of experience. Mr. Baier arrived and additional discussion of this item was held in abeyance until the conclusion of Item #4, above. At the conclusion of Item #4, general discussion ensued regarding factors the Airport Authority wished to have considered in lease negotiations with the new FBO, including: 1) a rent comparison with other localities; 2) a better mowing contract; 3) better management and policing of approved flight patterns; and 4) examination of the percentages the FBO pays to the City. Questions were raised regarding economic factors of the new lease and the large number of tenants who want to know what is going to happen to their rental rates. maa09.96 4 09/04/96 Don Hendricks requested rent controls, expressing concern that if the rent escalates, he and other retired persons cannot afford to operate from Clearwater Airpark. Buz Heuchan indicated his concern was not with the rates, but with the philosophical issue of why tenants have been told their rent will be raised. He stated, during his years as Airport Authority chair, the airpark was expected to break even. He felt the airpark is breaking even now and questioned if the City Commission is changing the philosophy and asking the airpark to begin making money. Mr. Baier responded the City Commission wants the airpark to be a self-supporting enterprise fund, subject to all interfund charges, paying a fixed amount for administrative costs. He cited as examples existing City enterprise fund programs, such as Pier 60, Solid Waste Recycling, Gas Division, and Clearwater Marina, which are required to break even after meeting all business costs. He said the airpark was discontinued as an enterprise fund because it could not meet these obligations, and is partially supported by ad valorem taxes now. Mr. Heuchan stated the airpark’s income and expenditures had been approximately equal during his term of service and expressed concern the City may be charging more for certain services and those costs are being passed to the tenants. Discussion ensued with Mr. Baier regarding airpark economics. Mr. Baier did not know why the tenants were told their rates would be raised because he has not seen lease negotiations nor spoken with the first ranked bidder. Mr. Heuchan requested clarification of why the airpark was removed from enterprise fund status. Mr. Baier rephrased his earlier response, stating the airpark could not afford to pay for the interfund support services, such as City legal representation, provided to all enterprise funds. Mr. Heuchan suggested certain administrative costs may be excessive, and questioned how to determine whether a department is padding their costs. Mr. Baier responded the cost of support services is prorated based on the number of hours of legal and administrative services provide to each group. He referred to the amount of City resources involved in a recent lawsuit filed against the airpark to which Assistant City Attorney John Carassas was assigned as representative. Mr. Heuchan stated it was no wonder the airpark could not pay. Member Benjamin asserted legal representation is a common service shared among all boards, and strongly disagreed with the implication the airpark had been charged more than its fair share of administrative costs. Additional questions were raised regarding interdepartmental charges. Member Silcox suggested individuals wanting more information should speak with Mr. Baier after the meeting. Member Benjamin requested, as part of the FBO contract, an accounting of airpark income, disbursements, and charges, in order to attain a true financial projection of the airpark as an enterprise fund. Mr. Baier did not think a pro forma could be prepared before the next meeting, but agreed to provide the interfund charges related to the current lease. Member Silcox noted the Airport Authority had not been informed of the decision to move the airpark into the General Fund, or who made the decision to do it. Member Werner requested staff to ask the City Finance Department to extract the numbers for the airpark’s revenues and expenditures from the General Fund budget for the last six to nine months and make a formal presentation at the next meeting. Mr. Emshoff defended his rates, pointing out they were raised only about 5% during the past five years while the consumer price index went up about 15%. Member Silcox offered assurance he was not criticizing Mr. Emshoff. ?? Mr. Carassas provided an update of the Suncoast Aviation, Inc. lawsuit against the City, stating the suit was voluntarily dismissed. As a result, no option for lease renewal exists and the old lease has expired. A new lease will be granted to whomever is selected as FBO. maa09.96 5 09/04/96 ?? In response to a question from airpark tenant Curt Moorehouse, Mr. Johnson stated the City Commission postponed the hangar issue and FBO selection until the meeting of September 19. Call of the Next Meeting The next regular meeting of the Airport Authority was called for October 2, 1996, at 3:00 p.m., in City Commission Chambers. Adjournment The meeting adjourned at 4:45 p.m. Chair Airport Authority Attest: Board Reporter maa09.96 6 09/04/96 :.:. :.' ., .' ,.. '.'~ .~"~.,,','. '.~,,~..'''''' :. ~" .,,:,.;.' ' ,,1., :' ,J '~" .,' , "." ' ", I,', ,:, "t.,' ',,",~' ,'.1 ',: '. ' . >"'T~ ~ I " , ,', " " , . ~. , "' '. ,'''l' " .; ~ , '~ " ;;:.;':<;;' ':.';' '~'::'?:I"/:~<";~:/"'~~'~~~~I;'~'~:~",<..,;.."_.,:,, ,~'", :~~.:. ..,:. . .....__ ,\~1" ' 'IL"" '!- .~) . \..' .. ~ !.. I;' ,,' ,'I' , . . '-. };'~.. '. . . i.-~; J',,: , I , '~. 'c' ','1.' 'Ii , '~.: ~:-~ ' ".:~+. :' . ~,t,~ 1~1!1.4,..' J' ~~~~ ..' ~~~tb ~:, ' .. '~ ~ " I .AA , I.,', " H Airport Authority Minutes . ~ I, I '\' ";',: . ' .~; ,II' ". ' ~~~ex L-t) /0qr {J D,ate j 3Ll ,q " ., , . " . , . ' . . , ' I _~"""",_,,,.,,.-, .,..~...... _n"... .," , , ,......... ~,. ~-..--- ~- -............._-----~_. ~"._''''''-'--''-' + +. ,,. _..........._I"""'...........~~\". c" . , : . , \ . . "", .' \,' ' , ' " ", ' , ,;';' ',' " " ' , . ,: . ' "~." '" ""\,.,.",,, . . . I' , ',," ' : ',." 0, ,_ " ,'.',' '.", .,.. ..', ",' "., :.;' " . ::::..."' ,.,,:, .'.' , 'I.', I, , I.' ,,' , , " " ",',' '\" 1'-.' -.' " :, --.' ,,' ',: l' ",,: ,.'" "',, , " , . I , . . {. ~ , I , ,,' ~ .' " . I. ~ ,:,".'!' " :' , .' '. . ,;'~ ' : I. . ,':" ~,', '. {',':"" ';~' ,,".,_.:,,:~:,>I ,~':::,~t_"~,":"::-":~..'.',:,.,,,,:, ,,',., ;'" ,'.'.. :1'; ','. ~ .:: , '~ ",' ',i' \',' ',. , 'H,';' " " ',:' \t";'., ,,' . '.", ,':, .," ~ . .,;') o t~'..,\ ~ ,. . , . , , - ~ ; . . '4 ... t " . '.: I '; . .~. 'j . , AIRPORT AUTHORITV CITY OF CLEARWATER September 4, 1996 Present: Charles Silcox Stephen Bils Gary Benjamin Charles Kilbride Francis J. Werner John Carassas Richard Baier Gary Johnson Gwen Legters Chair Vice Chair (arrived 3:27 p.m.) Board Member Board Member Board Member Assistant City Attorney Engineering Director Engineering Project Coordinator for Staff Liaison Board Reporter The Chair called the meeting to order at 3:00 p.m. in City Hall. To provide continuity for research, items are listed in agenda order although not necessarily discussed in that order. Minutes Approval - August 7, 1996 Member Werner moved to approve the minutes as submitted in writing to each member by the Board Reporter. The motion was duly seconded and carried unanimously 3. Tenant Report - FBO The Chair received the report and read it into the record. It was indicated 40 shade hangars, 10 enclosed hangars, 22 hard stands and 20 grass tied owns are occupied. Added to this month's report are six aircraft Mr. Emshoff has for sale, one owned by Civil Air Patrol, one belonging to the Suncoast Seabird Sanctuary, and 12 operated by the flight school. 4. Request for Proposal - FBO This item was moved to the end of the agenda to await the arrival of Engineering Director Rich Baier. Upon his arrival, discussion of Item #9, below, was held in abeyance until the end of Item #4. Mr. Baier reported staff compiled input from the selection committee members into an agenda item that the Commission has continued to September 19, 1996. All the candidates met the minimum qualifications. Each proposal was evaluated and charted on a matrix according to the following criteria; 1) experience 50%; 2) fullness of resources 25%; 3) economic return to the City 15%; and 4) safety 10%. He questioned whether the members had any questions regarding the character and criteria of the review. The Chair stated he was satisfied with the selection and the matrix used in the process. The remaining members indicated they desired no further clarification. maa09.96 1 09/04/96 ~., -~r\'.OI'_T'.~ ",w"'~\!'Jv'{"':'.~"':'A"I,-~'~-.:.\~.;~~ ;~'~: ~'! ~.",: .,"j,:..;'..' . , ...' .J~:!H ',' f' ' .'-' . I' , .' ~ .' ,,: With the Airport Authority having reviewed and approved the choices and the selection matrix, the Chair called for a motion for recommendation. ~ Mr. Baier reported the final rankings in descending order. The first ranked respondent was Clearwater Aircraft, Inc., followed by Clearwater Flying Corp., D/B/A Armament Systems Co., and Homecare Industries. It was indicated the selection is subject to City Commission approval and lease negotiations will follow. If a lease cannot be negotiated with the first ranked bidder for some reason, the second ranked bidder will be considered. Mr. Baier stated staff is looking at some of the parameters of the lease and requesting feedback regarding what type of things the members want to see in the lease. He has received positive and negative comments about the way the airpark is run. , j~ ~~ I: '" > i : ~ I.: 'i.;;:., 'T. . '~ -: ,.: , ':. Member Kilbride moved to accept the City selection committee's selection of FBD. There was no second. 'i,i~ . , , " Discussion ensued regarding the motion. Member Benjamin did not object to the recommended selection, but was unsure what he was being asked to approve. While he did not want to give the appearance of second guessing staff, he felt ample discussion had occurred regarding how the Airport Authority would have preferred the process to have been conducted. Because the Airport Authority had not reviewed any of the proposals, he felt he had no basis to approve or disapprove the choice. The Chair pointed out he asked for questions and none came forward. Mr. Baier offered to clarify any questions related to the selection. or the process, and reiterated the list of respondents. I'~) Chair Silcox indicated his confidence in the competence of the City's committee to select the proper bidder and rank bidders in the proper order. He felt a recommendation to the City Commission was in order and called for another motion. Mr. Baier agreed the City Commission would want to know the Airport Authority's position regarding the choice of respondent. , ,>, ,I:" ,. , " .or', , , "', .,',,1 " . I." , " . .1, , , '\> ' ,;\' .....;'. ,. , ., , , " " , ", ': ::,,';:, ,~j. ~ , : ,:; ~ ':~ ::':,'; ~ ' , , ,: .1,,', Member Benjamin questioned the criteria used to determine financial stability. Mr. Baier stated fullness of resources, not financial stability, was one of the four ranking parameters. He explained in more detail the various considerations contained within each of the ranking criteria. Each proposal was evaluated to ensure it contained adequate reference to the priorities listed in the RFP. "'.: ~ ,I, ~ :. :'! :.~ '. '=', ",.1" ';,."': ::{:i~:: :. ~ :; .i,',l Member Bils moved for the Clearwater Airport Authority to communicate to the City Commission that the Airport Authority approves the ranking criteria and the selection system that was used to determine the order of preference of the four applicants and that the Airport Authority endorses the resulting outcome and believes a contract with Clearwater Aircraft. Inc., should be pursued aggressively. There was no second. " I,', :r.< ,':,;':l.' ".:,'1. ,:"; ,~ " Member Kilbride questioned what difference it would make if the Airport Authority does not accept the recommendation of the selection committee. The Chair indicated it would probably make no difference. '"I, ", ". .~, \.'. o maa09.96 2 09/04/96 ',';; ."" '"'" . 1:,1 " " : ~ " ,;, ~' :.F' . ~, . .. +.'. . '. :>.. '" ',..., ,j, '#" "',,,-).. l=-i..-.... \'..,~ '" ~ ,'" :: ::\\'.. :/\,\. :~;'...:>: (' , , 0", . .. ..' ~, ~ '< ,li:', ,'!" ", .'\.. 1'.': ;",: ;;.:.' I. .~ " , ,~: ' , :::, ,':', , " . ' ,..' , " .'.,': .1, , ,... "':l':, ",:":' \ ~ ':. :/." :/' f~: : ~ :.'~, " , " ',l,.' (~ '''m.J >t', ' :'1'1' " " '.\;" ;1: . 'I.i: , . ..~ . ,::; ',~' :' , 'lr "..'<", , ., , ., . " ~ :.: !, ..',l" . .,,:" ." .',": ",' l.t: '; ',' ~<,.. ' '~;/, 'i," 't.'" .; ," ", \."',1: "",.' ,: ~ , ' . "..' ",...' , \ ~ ,.0;, ':'/\' ~\,\ o , I" ", ',' ,... ,,' , , ," , ,; ,."... " " .~. ' ,\.' , ~: ,.. ~! ~ .~.., .' .',).":';',:' " d,' ~ Member Benjamin expressed concern the motion gives the unwanted appearance of passing judgment on the selection committee. He was prepared to support a motion supporting the committee's recommendation based on the criteria as presented, but did not want to be put in the position of supporting their selection. He favored expressing the Airport Authority's confidence in the committee, but did not want to be put in the position of saying he agrees with their selection. Without knowing the weighting of the relative internal factors, he cannot determine how the selection was made. Member Benjamin moved for the Airport Authority to support the recommendation made by the selection committee based on the criteria as outlined. The motion was duly seconded. Convoluted discussion ensued regarding the similarities and differences in the three motions. The Chair called the question and the board reporter repeated Mr. Benjamin's motion for the record. Upon the vote being taken, the motion carried unanimously. The Chair opened the floor for public comments. Further discussion regarding lease negotiations is reported under Item #9, below. 5. Identification Badges Member Kilbride reported he had obtained his badge and circulated it for board review. Member Silcox encouraged all members to get their badges and visit the airpark often. Some members indicated they had not been contacted for an appointment to get a badge. 6. Security Slgnage At the last meeting, staff was requested to investigate having no trespass signs created in the City sign shop and posted along the airpark boundary adjacent to the golf course because people had been seen collecting stray golf balls from the runway. Mr. Johnson will check on the status. In response to a question, Mr. Emshoff spoke briefly about the issue. 7. New Hongar Construction Mr. Johnson and Mr. Carassas reported FOOT had agreed to pay 50 percent of the cost of the original $450,000 estimate. The bid tabulations are complete and the low bid was $485,000 from Hennessey Construction Services, Inc., of St. Petersburg, Florida. The FOOT agreement is being amended to reflect the new figure and the item will go to the City Commission meeting of September 19. Mr. Carassas stated he received verbal approval of the amendment from the FDOT representative who mailed the paperwork to the City last Friday. Mr. Johnson said Engineering is happy with the work Hennessey is doing for the Traffic Engineering Department. maa09.96 3 09/04/96 "c.... "'-~J~~:'),, I I : \ j;....' ~,,:..'.-'l, ',<::'u ' c ,~ ' " :,J' '" ,.'.',: "".' :' ',,::, ,}..",:;;.:....;._..'l.,.,...'~'.:I~ ~ .,;. ..~"I',:':~.:.' ".,' ':' :',;""','.,l,t...,:~:'~.,, '1 ,.'~~,,' "',,: "', ',,',' :,' "\"':""'~I.,l': '.'. :I~',': ".'. ~ ;, 8. Runway/Taxlway Lights The board and public strongly urged staff to get the lights in place because the Clearwater Airpark Is difficult to find at night and, even with the V ASI lights in place, is dangerous to anyone unfamiliar with the runway configuration. While Mr. Johnson did not know the details, he indicated Engineering staff and the DOT are moving forward with this issue. Member Silcox requested help from the Engineering Department in getting the runways painted and determining the proper runway markings and striping. He stated this has to be done before the GPS approach can go into effect in December. Mr. Johnson will investigate the marking requirements through the DOT. 9. Other Business · Mr. Johnson distributed copies of a list of requested economic information from the FBO and tenants. The list is being used by the consulting engineer preparing an economic impact study for the Clearwater Airpark. (:) · Discussion ensued regarding negotiation of lease terms with Clearwater Aircraft and whether the Airport Authority will have any input in development of a new tenant lease. Member Silcox indicated the Airport Authority had worked diligently to compile a list of what they wanted to see in a tenant lease. He requested staff to incorporate this list into the new lease and allow for Airport Authority review and amendments prior to finalization. In the past, the tenants' sublease agreement was closely tied into the FBO's lease with the City. Mr. Silcox stated many tenants were uncomfortable with that arrangement, but as they been told to sign or move, he signed the lease under protest. It was indicated a more appropriate practice would be to establish a master lease with the FBC, and allow the FBO set up a sublease with each tenant, to keep pace with the master lease. As the FBD lease will be negotiated in mid to late November, the Airport Authority wished to conduct a public meeting at the airpark with the FBO and the tenants, to address what is wanted in the lease. Mr. Carassas stated the existing lease between the City and Suncoast Aviation has three attachments, one of which must be used as is, without changes by the FBD. It was indicated this practice had not been acceptable to airpark tenants, and general discussion ensued among board, staff and the public. Mr. Baier offered copies of the lease form to all members, inviting them to write their suggestions for chang~s and additions on the forms, so he will have a basis from which to work. He welcomed members' comments regarding available services and customer service standards as well. Mr. Silcox reiterated the committee had diligently prepared and submitted a list of standards they wished to see incorporated into the tenant lease. He reiterated his request for Mr. Baier to revisit that list and Mr. Baier agreed. Don Hendricks, airpark tenant, stated he was a member of the committee that put many hours of hard work into drawing up the list of standards. He indicated he regretted the list had been thrown away without consideration. He expressed strong concern the existing sublease does not allow him to perform routine preventative maintenance on his aircraft without inspection by the Fire Marshal, even though he is an FAA licensed aircraft mechanic with 40 years of experience. IJ maa09.96 4 09/04/96 ...............'~......,,~.,.,.,. ~ . -.... ,~, '-~'. ',-' . I ''''0''' '~~"'lI ~"",:~; I'.,' .\", -, .. c~>...... ' ',:'::',';i;':: -.-' '.. ..' "'.'.'., ,; ,.'" ........ "",:,~::...:';:,;:;';":":~',;>~,:::;,;,..':.:::::::i:.::',r? ',,' , '" \ t.) ,',"" '. "," I. " ".1-- " " II ",11".[". ,'.' "..", ' , ' '''', ' .' . l . "\,' , I ,'.., ,''''~ ~ ...-I, I: ,.., , . ," ~ . . t~ I l'l~'ij(\ "n.r4 v Mr. Baier arrived and additional discussion of this item was held in abeyance until the conclusion of Item #4, above. At the conclusion of Item 1/4, general discussion ensued regarding factors the Airport Authority wished to have considered in lease negotiations with the new FBO, including: 1) a rent comparison with other localities; 2) a better mowing contract; 3) better management and policing of approved flight patterns; and 4) examination of the percentages the FBO pays to the City. Questions were raised regarding economic factors of the new lease and the large number of tenants who want to know what is going to happen to their rental rates. Don Hendricks requested rent controls, expressing concern that if the rent escalates, he and other retired persons cannot afford to operate from Clearwater Airpark. Buz Heuchan indicated his concern was not with the rates, but with the philosophical issue of why tenants have been told their rent will be raised. He stated, during his years as Airport Authority chair, the airpark was expected to break even. He felt the airpark is breaking even now and questioned if the City Commission is changing the philosophy and asking the airpark to begin making money. Mr. Baier responded the City Commission wants the airpark to be a self-supporting enterprise .fund, subject to all interfund charges, paying a fixed amount for administrative costs. He cited as examples existing City enterprise fund programs, such as Pier 60, Solid Waste Recycling, Gas Division, and Clearwater Marina, which are required to break even after meeting all business costs. He said the airpark was discontinued as an enterprise fund because it could not meet these obligations, and is partially supported by ad valorem taxes now. Mr. Heuchan stated the airpark's income and expenditures had been approximately equal during his term of service and expressed concern the City may be charging more for certain services and those costs are being passed to the tenants. Discussion ensued with Mr. Baier regarding airpark economics. Mr. Baier did not know why the tenants were told their rates would be raised because he has not seen lease negotiations nor spoken with the first ranked bidder. Mr. Heuchan requested clarification of why the airpark was removed from enterprise fund status. Mr. Baier rephrased his earlier response, stating the airpark could not afford to pay for the interfund support services, such as City legal representation, provided to all enterprise funds. Mr. Heuchan suggested certain administrative costs may be excessive, and questioned how to determine whether a department is padding their costs. Mr. Baier responded the cost of support services is prorated based on the number of hours of legal and administrative services provide to each group. He referred to the amount of City resources involved in a recent lawsuit filed against the airpark to which Assistant City Attorney John Carassas was assigned as representative. Mr. Heuchan stated it was no wonder the airpark could not pay. Member Benjamin asserted legal representation is a common service shared among all boards, and strongly disagreed with the implication the airpark had been charged more than its fair share of administrative costs. Additional questions were raised regarding interdepartmental charges. Member Silcox suggested individuals wanting more information should speak with Mr. Baier after the meeting. Member Benjamin requested, as part of the FBO contract, an accounting of airpark income, disbursements, and charges, ir order to attain a true financial projection of the airpark as an maa09.96 5 09/04/96 .. . ..'.. . " 'i/ ,:.".: ;~:' ::'?:"J' ',;~ " , .,. " ,~ enterprise fund. Mr. Baier did not think a pro forma could be prepared before the next meeting, but agreed to provide the Interfund charges related to the current lease. Member Silcox noted the Airport Authority had not been informed of the decision to move the airpark into the Genersl Fund, or who made the decision to do it. Member Werner requested staff to ask the City Finance Department to extract the numbers for the airpark's revenues and expenditures , from the General Fund budget for the last six to nine months and make a formal presentation at .the next meeting. Mr. Emshoff defended his rates, pointing out they were raised only about 5% during the past five years while the consumer price index went up about 15%. Member Silcox offered assurance he was not criticizing Mr. Emshoff. . Mr. Carassas provided an update of the Suncoast Aviation, Inc. lawsuit against the City, stating the suit was voluntarily dismissed. As a result, no option for lease renewal exists and the old lease has expired. A new lease will be granted to whomever is selected as FBD. . In response to a question from airpark tenant Curt Moorehouse, Mr. Johnson stated the City Commission postponed the hangar issue and FBD selection until the meeting of September 19. Call of the Next Meeting The next regular meeting of the Airport Authority' was called for October 2, 1996, at 3:00 p.m., in City Commission Chambers. Adjournment .-.~ The meeting adjourned at 4:45 p.m. Attest: Chair Airport Authority 4~~ef&/ Board Reporter u: maa09.96 6 09/04/96 ';1 ,.'" ,~, 'cl"Y"'''- +',. ., '''-~L~'''''''''''''1.k'-I.''''h....'.;.-'r-="II'-.r..4P.t~1;... ~~I"t;~\';'ll~~ ';.; ""~~':: :.. J: r..,..: :;: ' , ~;',', ~~ ,~,....., , c ~ ,J. .. ~. ": ' -I '. -t'! " ~.'