SunSport Aviation proposes fixed-base operation and main hangar lease; council to negotiate in closed session

Paul Phelps, owner of SunSport Aviation, presented a proposal to operate a fixed-base operation (FBO) and lease the airport’s main hangar. He outlined services, community outreach and partnership goals and asked the city for a set of operational permissions and property terms designed to support flight training and transient services.

Phelps identified himself as a former part-time airport manager who previously operated a flight school at Portage Municipal Airport and said SunSport Aviation has grown and received encouragement to return. “I truly believe we have an opportunity to bring lasting positive growth to the airport,” Phelps said.

The proposal described two transactional components: a formal FBO agreement and a lease for the main hangar space (the “main hanger” in the proposal). The city summarized the requested lease terms and support items: a $750 monthly rent for the hangar space; reopening the front passenger terminal and restroom access (the main terminal has been closed almost a year); permission to install high-bandwidth Internet/Wi‑Fi (the city said Wi‑Fi exists but high-bandwidth service was requested); the option to install a high-BTU heating system as a leaseholder improvement; permission to rent portions of the hangar to transient pilots overnight; access to the city’s indoor/outdoor video surveillance network; approval to install vending machines and display cases for training materials; and permission for business signage on the hangar exterior subject to city review and permitting.

City staff said utilities for the building are commingled and that the city would continue to pay the combined utility bills while negotiating detailed terms in any lease; staff noted leaseholder-installed high-electric appliances (space heaters) would be discouraged. Phelps said he intends to support community aviation activities such as EAA Chapter 371 pancake breakfasts and training events and said he would make the hangar available for those activities.

After discussion, the board moved to convene into closed session to deliberate and negotiate the FBO agreement and main hangar lease, citing Wisconsin statute chapter 19.85 for closed deliberations related to negotiating public property and investments. A board member moved to convene under Wisconsin State Legislature chapter 19.85 (cited in the meeting as the statutory authority) and another board member seconded. The motion passed on roll call and the board entered closed session to discuss lease terms.

The city intends to return to open session with proposed terms following the closed deliberation and negotiation.