Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Airport Infrastructure Finance topic
No spam. Unsubscribe anytime.
Airport staff brief commission on development, construction and finances; reimbursements and major projects highlighted
Summary
Airport staff reported on several capital projects (taxiway Bravo reconstruction, Taxiway D design, PAPI and navigational upgrades), developer negotiations for new hangar sites and reimbursements from a recent project. Staff said the city was reimbursed $2 million and the airport expects to recover roughly $1.8 million in contingency and related,
Airport staff provided the commission with a multi-topic update covering developer negotiations, ongoing construction, grant applications and airport finances at the Aug. 18 meeting.
Key project updates included: taxiway Bravo reconstruction began Aug. 4 with the contractor removing old asphalt and concrete and conducting subgrade testing; staff said the concrete removal was included in the bid. Taxiway D is at 75% design and the FAA has recommended splitting construction into two phases. The PAPI (precision approach path indicator) replacement project is at 90% review and staff is preparing a request for proposals. A separate windsock/wind-cone relocation ("Windcomb") project received bids and staff has forwarded the low bid to the FAA for grant approvals.
Development negotiations: staff said negotiations continue with larger private developers (referred to in discussion as Atlas/Atlas Group and Kaufman associations) on hangar layouts and fees for a multi‑hundred‑acre development plan; FAA environmental review for these hangar projects is expected to be a categorical exclusion (CatEx) rather than a full environmental assessment in the immediate next steps.
Leasing and hangars: staff reported Hangar A (the large north-end hangar at 9900 Flight Line Drive) is under negotiation with Atlas Group Aviation and Jet Yard; the city has issued a request-for-proposals for that building and was in legal review of an offer. The commission was told hangar occupancy overall remains strong: multiple hangars occupied with wait lists for others, though several prospective tenants are delaying occupancy for financial or readiness reasons.
Finances and reimbursements: staff said the city was reimbursed $2,000,000 for capital expenses related to a prior project and that the airport expects to receive roughly $1,200,000 back for legal fees plus remaining contingency reimbursements, for an approximate combined reimbursement in the neighborhood of $1.8 million to the airport. Staff also reported FY2024–25 revenue: the airport generated $1,795,000 and the industrial park generated $198,550 for a combined total of $1,994,277; operations-and-maintenance spending for airport activities was reported at about 83.8% of budget for the year.
Grants and funding: staff said ADOT and FAA funding will be pursued for some projects but that certain items (notably a large eastern berm and associated off‑site conveyance work) are likely outside FAA eligibility and will need other funding sources or developer contributions. Staff is coordinating with ADOT on a road-reconstruction grant for Transport Way and Government Way and hopes to award construction contracts in November.
Equipment and operations: the airport budgeted for a new runway sweeper and has purchased a smaller "buffalo blower" as an interim FOD-removal capability. Staff also reported a slowdown in general aviation fuel sales in recent months, consistent with industry-wide trends.
Ending: Commissioners requested a detailed airport fund/reserve accounting and an itemized airport budget for the next meeting; staff said it would seek that information from finance and present it when available.
