MBS INTERNATIONAL AIRPORT COMMISSION

 

November 16, 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               Nancy Kincade, Airport Taxi

Kenneth W. Distler          Darnell Earley               A. T. Lippert          Rich Bostwick, NWA

Brian K. Elder                                                     Ryan Riesinger  John Palen, Midland Issues

Eugene F. Gwizdala                                             Debbie Meisel       Cheryl Wade, Midland Daily News

Wilmer Jones-Ham                                                                                 (arrived 1:04 p.m.)

Jon Lynch                                                                                          Justin Engel, Saginaw News

Hollis H. McKeag                                                                                  (arrived 1:08 p.m.) 

 

                                        

PLEDGE OF ALLEGIANCE 

 

MINUTES:  Mr. Lynch made a motion to approve the minutes of the Regular Commission Meeting held on October 19, 2006.  Ms. Jones-Ham seconded the motion.  The motion was unanimously approved by the Board.

 

OCTOBER 2006 WARRANT AND CASH & INVESTMENT SUMMARY:  Mr. Elder made a motion to approve the Warrant Registers for the October Payroll Account Check Numbers 82684-82733; the October Operations and Maintenance Check Numbers 37005-37083; and the October Cash and Investment Summary.  Mr. McKeag seconded the motion and the Board unanimously approved it.

 

PUBLIC COMMENT:  None

 

PERSONNEL COMMITTEE:  Mr. Nagel stated that the Personnel Committee met on November 6, 2006 to discuss the employment agreement with the airport manager.  Mr. Lippert was also in attendance.  Mr. Lynch on behalf of the Personnel Committee reported that the committee considered the draft agreement and discussed it with Mr. Nagel.  The committee unanimously recommended the agreement for consideration by the commission.  Ms. Jones-Ham made a motion to approve the Employment Agreement for Mr. Nagel.  Mr. Beson seconded and the motion unanimously carried.

 

PFC APPLICATION AMENDMENT:  Mr. Nagel stated that MBS has had FAA approval to collect a Passenger Facility Charge (PFC) since 1997.  Five projects have been implemented and three of those have closed.  Staff is currently in the process of preparing PFC Application #6.

 

Mr. Nagel informed the board that when MBS first sought FAA approval to impose a PFC, the commission approved the maximum of $3.00 per enplaned passenger.  The FAA has since increased the maximum allowable PFC to $4.50 and most airports have already implemented this fee.  The PFC is an excellent source of revenue for FAA-approved projects.  Mr. Nagel stated that he also has talked to the FAA and they informed him that MBS is the only airport of similar size in Michigan that is still at $3.00.  Dr. Distler made a motion to authorize an amendment to the MBS PFC application to increase collection to $4.50 with Ms. Jones-Ham supporting.  The motion passed unanimously.

 

FIVE-YEAR PLAN:  Mr. Nagel stated that each year MBS is required to submit a Five-Year Capital Improvement Plan to the FAA that lists the projects for the upcoming year and also potential projects for four additional years.  The plan is a useful tool for the FAA to plan for funding the projects.

 

Mr. Nagel presented the draft five-year plan for 2007-2011 explaining that the projects for 2007 are set while the projects for 2008-2011 are subject to change.  Mr. Nagel has met with the State and the FAA concerning this plan and they are aware of the process which MBS is undertaking.  Mr. Nagel further explained that the financial planning of a terminal remodel project or a new terminal is critical and this plan assists MBS and the FAA in the planning process.  When a decision is made regarding the terminal project the five-year plan would be updated, amended, and sent back to the FAA.  FAA wants information as soon as possible in order to begin slotting the funding including discretionary dollars. Various projects were explained for the board.  Mr. Nagel stated that he had met with the Operations Committee.  Dr. Distler stated that the Operations Committee had fully reviewed the five-year plan and recommended that it be approved.  Dr. Distler proceeded to make a motion to approve the MBS Five-Year Plan.  Mr. Beson seconded and the motion carried unanimously.

 

OLD BUSINESS:  Mr. Nagel updated the board in regards to the RS& H phase two of the terminal study.  The team continues to work hard on the project and is approaching the end.  They have drafted the benefit/cost analysis which FAA requires.  They also have drafted some financial information which shows the costs compared to the phase one terminal study are going up. Part of their job is to review the previous numbers and prepare an independent review of those numbers plus what they anticipate the project to cost.  The final numbers are not yet available.  Mr. Nagel stated that RS& H have been absolutely great to work with and he looks forward to the conclusion of the project when they present to the commission.

    

NEW BUSINESS:  None

 

ADMINISTRATIVE MATTERS:  Mr. Beson asked about the general condition of the runways.  Mr. Nagel stated that the state of Michigan did a pavement survey of the entire airport last year.  Those items on the five-year plan that pertain to pavement came from the survey. 

 

Next regular meeting is scheduled for December 21, 2006.

 

Mr. Nagel asked that if there are any travel or holiday schedules that will conflict with the December 21st meeting please let the office know.  The 2007 Budget needs to be approved at that meeting.  The preference and policy in the past is to stay with the original meeting date however if there is a chance that a quorum would not be present a special meeting would be scheduled.  Please contact the office as soon as possible if there is a conflict.

  

ADJOURNMENT:  There being no further business, Mr. Elder made a motion to adjourn.  Mr. Beson seconded and the Board unanimously passed the motion.  The meeting adjourned at 1:12 p.m.

 

 

 

                                                                                                                                                            Hollis H. McKeag, Secretary