Vero Beach council approves private lease plan for airport terminal parking, 4-1

The Vero Beach City Council voted 4-1 on March 10 to adopt a plan to lease the airport terminal parking parcel to a private operator, a move staff says will expand capacity and transfer operational and liability responsibilities to a lessee.

Airport Operations Manager Brandon Dambeck told the council the staff-recommended Option 2 would allow a private lessee to develop and operate the entire parking parcel, noting the pro‑forma “shows that leasing the entire parcel would generate approximately $422,000 of revenue a year, whereas in Option 1 they would only get $417,000.” He said Option 2 is projected to increase total parking to about 630 spaces (including at least 500 paid spaces, 100 employee spaces and ~30 cellphone-lot stalls) while eliminating direct operational expenses for the airport.

Why it matters: the decision shifts construction cost and daily operations to a private investor while changing how parking revenue flows. Councilmember John Carroll objected to approving the approach without more detailed cost breakdowns and questioned the $5,072,150 Hanson estimate for construction, calling the process “herky-jerky” and warning that the city may be leaving revenue on the table.

Carroll presented an alternate arithmetic view during debate, saying his calculation of projected revenue under Option 2 implied a larger annual ‘delta’ retained by a private operator; he urged the council to ensure any lease terms protect long-term public revenue and oversight. Dambeck and others said the pro‑forma and Hanson cost estimates were appropriate for decisionmaking at this stage and that detailed lease negotiations and FAA/FDOT coordination would follow.

Prospective operator Envision Parking Partners — which staff said has partnered with parking consultant SafeParc — described its plan to invest about $5 million to build the parking infrastructure. Steve Kovaleski of Envision said the initial profit will be used to repay the capital outlay, adding that “for the first 10‑years that profit goes to pay back the debt on the $5 million.” He also said the company plans a plate-billing/pay-by-plate system (three payment options: app, phone, or mailed bill) and that kiosks are being phased out in many comparable installations.

Public commenters with aviation experience urged a broader, ‘holistic’ assessment that ties parking to terminal needs. Cary Goldberg of Diversified Aviation, which has recent hangar and hotel investments at the airport, urged council members not to fund parking in isolation and to consider terminal improvements as part of a comprehensive investment strategy. Another public speaker, Tim Zorc, recommended preserving space in the design process for a possible future terminal footprint.

After discussion and public comment, Vice Mayor Taylor Dingle moved to adopt Option 2; the motion was seconded by Councilmember Aaron Vos and passed 4‑1 (Carroll opposed). The council then approved Change Order 2 to Hanson Professional Services — $243,200 for design services covering employee parking, a cellphone lot and traffic reconfiguration — by a 5‑0 vote, and earlier approved an FDOT grant amendment tied to the Terminal Parking Lot project.

Next steps: staff said lease negotiations, FAA and FDOT coordination, and detailed design work will follow. Council members asked that staff ensure the lease structure protects airport revenue, involves aviation-experienced attorneys and consultants, and maintains a fair procurement process should multiple proposals be considered.

Quote highlights: "Leasing the entire parcel would generate approximately $422,000 of revenue a year," said Brandon Dambeck. "For the first 10‑years that profit goes to pay back the debt on the $5 million," said Steve Kovaleski of Envision Parking Partners.

The council approved the parking lease direction and associated design work at the March 10 meeting; further details will appear when lease negotiations and the final design are completed.