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Livingston County commissioners approve airport building lease, PFAS testing and ground lease; ask for financial analysis
Summary
The board unanimously approved multiple airport actions including a snow removal building contract, a ground lease, and two PFAS testing grants, and commissioners asked airport staff for a financial analysis on rates and long-term costs tied to a new $2 million building.
The Livingston County Board of Commissioners on April 28 approved several measures related to county airport operations and environmental testing and asked staff to prepare an analysis of airport revenues and long-term costs.
On unanimous voice or roll-call votes, the board concurred with the Aeronautical Facilities Board to enter into a contract with CNS Companies for construction and administration of a snow removal equipment building (resolution 2025-04-059), approved a ground lease with DCM Investments, LLC for airport property on Grand River Avenue (resolution 2025-04-060), and accepted grant agreements and contracts for additional PFAS testing (resolutions 2025-04-061 with EGLE and 2025-04-062 with Tri Terra). Each resolution passed 9'to'0 on voice or roll-call votes recorded by the board.
Commissioner Nakagiri pressed airport leadership about lease rates and the financial treatment of a planned $2,000,000 snow-removal building, saying a one-size-fits-all lease policy could leave the airport undercharging or fail to account for depreciation and operating costs tied to new infrastructure. Director Johnson told commissioners the airport had produced modest surpluses in recent years (he estimated roughly $65,000 budgeted surplus in the current year and said income exceeded expenses in 2024 by about $100,000). Johnson said summer months typically generate most airport revenue and that the airport maintains a reserve for capital work, including funds toward the SRE (snow removal equipment) building.
Attorney Norford and airport board members said leases include CPI escalators and that Michigan Airport/Aeronautics guidance allows different rates if the county can demonstrate an appropriate base rate via a study. Commissioner Nakagiri asked that staff produce an analysis showing whether current rates, projected revenues and reserves will cover increased operational costs and depreciation for the new building; airport staff agreed to begin the analysis internally and return with results or request outside assistance if needed.
Commissioners also sought clarity on grant assurances and whether airport and federal/state grants bar transfers between airport and general fund accounts. Airport staff said grant assurances ask that airports seek self-sufficiency where possible but that many general aviation airports receive local support; legal counsel said grant assurances do not absolutely prohibit transfers but require compliance with federal grant conditions.
The PFAS testing approvals will accept state and third-party testing funding to evaluate per- and polyfluoroalkyl substances (PFAS) at airport sites. County staff said the airport previously conducted limited remediation following a historical fuel/foam incident but that no large-scale remediation has been required to date; commissioners noted broader state programs that have allocated remediation funds to airports.
The board told staff it expected a follow-up report, including a five-year outlook of airport revenue and expenses and the financial effects of the $2 million SRE building, to be prepared by airport staff and presented to the board or the county's financial advisory committee for review.
