MBS INTERNATIONAL AIRPORT COMMISSION

 

May 18, 2006

 

MINUTES

                                                                           

The meeting was held in the Airport Commission Board Room, 8600 Garfield Road, Freeland, Michigan 48623.  Chairman Eugene Gwizdala called the meeting to order at 1:00 p.m.  Roll was called by Debbie Meisel.

 

COMMISSIONERS

 

Present                            Absent & Excused        Staff                       Other     

Patrick H. Beson             George J. Biltz              Jeff Nagel               Rich Bostwick, NWA

Kenneth W. Distler                                              A. T. Lippert          Angela Osmond, TSA

Darnell Earley                                                      Ryan Riesinger  John Palen, Midland Issues

Brian K. Elder                                                     Debbie Meisel        Cheryl Wade, Midland Daily News

Eugene F. Gwizdala                                                                           Dolores Dandt, Citizen

Wilmer Jones-Ham                                              Guest                    

Hollis H. McKeag                                               Mark Wilcer, RS&H

Karl S. Tomion

 

PLEDGE OF ALLEGIANCE 

 

MINUTES:  Mr. Tomion made a motion to approve the minutes of the Regular Commission Meeting held on April 20, 2006.  Mr. Beson seconded the motion.  The motion was unanimously approved by the Board.

 

APRIL 2006 WARRANT AND CASH & INVESTMENT SUMMARY:  Mr. Earley made a motion to approve the Warrant Registers for the April Payroll Account Check Numbers 82308-82364, the April Operations and Maintenance Check Numbers 36555-36629; and the April Cash and Investment Summary.  Mr. Elder seconded the motion and the Board unanimously approved it.

 

PUBLIC COMMENT:  Rich Bostwick introduced himself as the new station manager at MBS.  He has 28 years in the airline industry and at MBS Airport.  He stated that he is big supporter of MBS Airport and is happy to be on board.  Mr. Nagel stated that he has worked on various projects with Mr. Bostwick and he has been excellent to work with.  He has given very good information concerning air service and he helped cover the station when Dan Connor was managing MBS from Grand Rapids.  Mr. Nagel stated he was very happy that Northwest named a station manager and that it was someone with the caliber of Mr. Bostwick.

 

ELECTION OF OFFICERS:  Mr. Nagel stated that the following officers were elected in May of 2005, which was the first full term for all three officers; Gene Gwizdala – Chairman, Ken Distler – Vice-Chairman, and Hollis McKeag – Secretary.  The By-Laws state that officers may serve for two consecutive terms therefore all three are eligible to remain in their current position.  Also, according to the By-Laws, each governmental entity must be represented by holding an officer position.  The Airport Manager is designated as the Assistant Secretary and Treasurer.  Mr. Beson made a motion to reappoint the officers with Mr. Tomion seconding.  The motion unanimously carried.

 

MEETING SCHEDULE:  Mr. Nagel stated that during the annual meeting in May, the Commission approves the schedule for regular Commission meetings for the next year.  The following schedule sets the date on the third Thursday of each month:

 

                  June 15, 2006                                December 21, 2006

                  July 20, 2006                                 January 18, 2007

                  August 17, 2006                             February 15, 2007

                  September 21, 2006                       March 15, 2007

                  October 19, 2006                          April 19, 2007

                  November 16, 2006                       May 17, 2007

 

The MBS International Airport Commission meets at 1:00 p.m. in the Commission Board Room, second floor of the Passenger Terminal, 8600 Garfield Road, Freeland, Michigan.

 

Mr. Elder made a motion to approve the schedule of regular meeting dates.  Mr. Beson seconded and the motion unanimously carried.

 

MERS CONFERENCE:  Mr. Nagel informed the Board that the Municipal Employees Retirement System (MERS) conference will be held at the Amway Grand Hotel in Grand Rapids on September 20-22, 2006.  The law requires that an employee delegate and alternate shall be selected by secret ballot of the employees who are in the retirement system.

 

The Board must also appoint a delegate, and in the past, the Airport Manager was chosen.  A motion is required naming the delegate, alternate and the Board selection delegate.  A ballot was taken and Debra Meisel and Carol Janks were selected as employee delegate and alternate respectively.  Ms. Jones-Ham made a motion acknowledging Debra Meisel as employee delegate, Carol Janks as employee alternate, and Jeff Nagel as officer delegate appointed by the Commission.  Mr. McKeag seconded.   After discussion the Board unanimously passed the motion.

 

COMMONWEALTH ASSOCIATES AMENDMENT:  Mr. Nagel explained that at the February meeting the Commission approved a contract with Commonwealth Associates for land acquisition services.  Attached is Amendment No. 1 for this contract which changes the subcontractor for the wetland delineation and the threatened and endangered species survey.  The scope of the contract is not changed and the contract price is reduced by $4,303.  Mr. Earley made a motion to approve Amendment No. 1 to the Commonwealth contract and authorization for the Chairman to sign.  Dr. Distler seconded and the motion passed unanimously.

 

TSA LEASE:  Mr. Nagel stated that the TSA has leased space in the terminal since 2002.  The space includes the office in the sterile area, training room and break room on the first floor and the storage area upstairs.  At various times since 2002, the TSA has expressed an interest in a longer term lease. (They are currently renewing every year.)

 

TSA finally has authorization for a three-year lease and the following rates have been negotiated.

 

                                                                                              PROPOSED

CURRENT RATE                             2006-2007                   2007-2008                   2008-2009      

 

Office $38.93/ft2                                   Office 40.10                 Office 41.50                 Office 42.95

Storage $18.00/ft2                                Storage 18.54              Storage 19.19              Storage 19.86

 

Having this contract extended for three years would be beneficial to MBS’ operation.  The TSA has been an excellent tenant and the current lease amounts to over $77,000 per year in rental income.  Mr. Nagel stated that he had negotiated with GSA and they have approved the rates.  He is awaiting approval from TSA.

 

Mr. McKeag made a motion to approve a three-year extension of the TSA lease at the proposed rates and authorization for the Chairman to sign.  Ms. Jones-Ham seconded and motion unanimously carried.

 

SECURITY SYSTEM AMENDMENT #2:  Mr. Nagel stated that the Security System/FIDS project is nearing completion.  During the project, a way was discovered to enhance perimeter security at MBS.  The TSA has focused on perimeter security and they have been working jointly with staff throughout this project.  The change would require the installation of an access-control card reader on the inside of each of the three electronic vehicle gates.  This provides enhanced security and much better accountability at each of those locations.  This improvement was discussed with the TSA and they have approved the recommended change.  This was also discussed with MBS’ state project manager and she too has approved the change.

 

Attached is a bulletin prepared by Peckham Engineering with the change order.  The increase in price for this amendment is $13,725.00 which is eligible for reimbursement.  MBS will be responsible for  2.5% local share.  All of this work relates to the three vehicle gates except Item #5 for $490 which was required to maintain the controls at the Northwest Airlines bag belt.

 

Mr. Elder made a motion to approve change order #2 to the Midstate contract and authorization for the Chairman to sign.  Mr. McKeag seconded and the motion unanimously passed.

 

PERSONNEL COMMITTEE REPORT:  Mr. Tomion explained that in the past the Airport Manager’s job performance review was prepared by the Personnel Committee and included a salary recommendation.  This report, which would summarize the manager’s accomplishments, was presented at a regular public meeting.

 

When the Personnel Committee that consists of Commissioner Earley, Commissioner Beson, and Commissioner Tomion met to initially prepare this year’s report they decided that they wanted to make a recommendation to the Commission modifying this process.  In summary, they suggest that:

 

1.      Schedule a meeting of the entire Commission to undertake the Airport Manager’s evaluation, and if the Manager requests it, it could be held as a closed session subject to the provisions of the Open Meetings Act.

 

2.      During the session, all of the commissioners could participate in the review instead of just the Personnel Committee.

 

3.      At the conclusion of this session, a written report would be prepared which would be presented publicly at the next regular meeting of the Commission.

 

This is the process that the City Council in Midland uses to assess Mr. Tomion’s performance as City Manager. After Mr. Tomion reviewed it with the Airport Manager, Mr. Nagel expressed a strong interest in pursuing a similar process at MBS.

 

If the Commission is interested in proceeding with this process, Mr. Tomion suggested that a session be scheduled immediately following the regular meeting on Thursday, June 15.  The Personnel Committee could then present the results of the review at the regular meeting of July 20, 2006.

 

Mr. Beson made a motion that the MBS Airport Commission schedule a session to undertake the job performance review of the Airport Manager and authorize and direct the Personnel Committee to work with the Airport Manager to organize the agenda of the meeting.  Ms. Jones-Ham seconded the motion.  Dr. Distler asked about the review.  Mr. Tomion explained how the Midland City Council performs his review and stated that Mr. Nagel will write a report of the last year that can be discussed.  Goals will be set for the coming year.  The Personnel Committee would report publicly on the review at the following meeting.  There being no further discussion, Chairman Gwizdala called for the vote.  The motion unanimously carried.

 

RS&H AGREEMENT:  Mr. Nagel said the contract for RS&H to conduct the next phase of the terminal project was included in each of their packets.  He stated that he had reviewed the scope of work and all items are included.  Mr. Lippert has reviewed and approved the contract as to form.  The MBS state project manager has reviewed the costs and found them to be acceptable.  Mr. Nagel introduced Mark Wilcer, the project manager from RS&H.  He also thanked him and Joe Jackson for their efforts getting the scope done for this meeting.  The original estimate was $550,000 that included the FAA cost benefit analysis.  The contract came in at $520,000 however RS&H recommended the addition of geo technical work which will give them a better idea of the condition of the soil in the area where a new terminal could be built. Mr. Nagel agreed to the recommendation and this work is listed in the “special services” section in the contract.  That brought the final price up to approximately $587,000 but the original work came in at $520,000 which is under budget. 

 

Mr. Earley made a motion to approve the contract with RS&H and authorization for the Chairman to sign with Mr. Tomion seconding.  Mr. McKeag asked Mr. Nagel to update the Board on the status of purchasing the property.  Commonwealth has had the preliminary interview with the property owner, the notice to proceed for the phase one environmental and appraisal has been done, the wetlands and threatened and endangered species will have a notice to proceed later this month.  Reports should be coming back to Mr. Nagel late May or early June regarding all the work being done.  Negotiations regarding price would be discussed in closed session when the work is completed.  There being no further discussion, Chairman Gwizdala asked for a roll call vote.  Ms. Meisel called roll as follows:  Mr. Beson, yes; Dr. Distler, yes; Mr. Earley, yes; Mr. Elder, yes; Mr. Gwizdala, yes; Ms. Jones-Ham, yes; Mr. McKeag, yes; Karl Tomion, yes.  The motion unanimously carried.

OLD BUSINESS:  Mr. Nagel stated that the decision has been made that the TSA will not be responsible for the exit lane after the security check point has ceased checking passengers.  MBS has been notified that it will be an airport operator responsibility; however that rule is up for public comment.  Airports have 30 days to respond.  ACI and AAAE plan to file comments as so does MBS as an airport.  Mr. Nagel stated that he was very disappointed in the decision but will keep the Board posted once the 30 days has passed. 

 

Mr. Nagel stated that he had sent out a memo to the Board in regards to making a trip to see the terminal building in Traverse City.  It appears that three commissioners are able to go on Tuesday, June 20th.  If any other board members are interested, please contact the office.  A memo will be sent to those attending regarding transportation and times.

 

Mr. Nagel reported on the Washington DC fly-in which was arranged by the three Chambers and three economic development groups.  There were 22 total participants from all three communities including Karl Tomion representing Midland as well as the airport.  The group met with Dale Kildee, Dave Camp, a representative of Bart Stupak, Carl Levin, and Debbie Stabenow.  The trip was very well organized and very productive.  Some of the appointments were doubled up due to the Congress schedule so Mr. Tomion represented MBS in a couple of the meetings.  MBS was a major part of the agenda.  There was a great amount of support from the three area communities.     

Even though the Commission has not yet decided to proceed with a new terminal, the representatives were happy that the communities and airport came to them early since funding will be needed.  They also want to be kept informed.  Mr. Tomion added that he was very impressed with whoever arranged all the meetings in one day with all of the representatives and the FAA Director.  It was very well organized.  Mr. Nagel stated that the FAA was very familiar with him, the airport, and the project.  Mr. Nagel also informed the Board that he is going back to Washington, DC next week with the U.S. Chamber of Commerce for a one day session called “Delayed, Not Cancelled” American Aviation Crisis in small communities.  Marion Blakey is the featured speaker.  The FAA people suggested that MBS keep in contact with the Detroit office that controls MBS’ grant money.  A Detroit representative is coming up the first part of June.

     

NEW BUSINESS:  Mr. Nagel asked Mr. Riesinger to report to the Board.  Mr. Riesinger stated that it is time for the annual fire training.  The mobile trainer that is housed at Kellogg Community College will be here on Monday, May 22nd.  The firefighters will get their annual certification done at that time.  Mr. Riesinger stated that if anyone is interested to see the burn, contact the office to make arrangements.  Dr. Distler stated that he has attended in the past and found it extremely interesting.  He recommended that the press should also be invited

 

ADMINISTRATIVE MATTERS:  Dr. Distler stated that he recently had the opportunity to attend an open house at the Midland airport and view their beautiful facility.  All three airports in the surrounding communities have similar events this summer.  Dr. Distler encouraged the members to attend in order to become familiar with other airports and what takes place at different size airports.  Harry Browne has an event June 10th & 11th with a helicopter fly-in and dinner Saturday night.  Midland has another event in September and Bay City has one on Father’s Day weekend with a great breakfast.

 

Mr. McKeag asked if there are any plans to improve the aesthetics of our current facility such as new carpet and paint.  Mr. Nagel stated possibly new carpet this year.  Steam cleaning has already taken place which is scheduled twice a year.  Painting is done on a continual basis. 

 

Next regular meeting is scheduled for June 15, 2006.

 

ADJOURNMENT:  There being no further business, Mr. Beson made a motion to adjourn.  Mr. Elder seconded and the Board unanimously passed the motion.  The meeting adjourned at 1:30 p.m.

 

 

 

                                                                                                                                                            Hollis H. McKeag, Secretary