11-16-2006 APM+HUTCHINSON AIRPORT COMMISSION
November 16, 2006
5:30 p.m.
Airport Arrival/Departure Building
Minutes
Members present: Dave Skaar, Chuck Brill, Doug McGraw, Dick Freeman, Joel Schwarze
Others Present: John Olson, City of Hutchinson; Tom Parker, Hutchinson Aviation;
Daryl Luthens, Joe Dooley, Tim Miller — Hangar tenants
Meeting called to order at 5:34 p.m. There was a quorum of members present.
L. Approve Minutes of October 19, 2006 meeting
Motion made by McGraw, second by Brill to approve minutes. Unanimous approval.
2. 2006 Airport Improvements — T- Hangar construction
Olson updated the Commission regarding progress on T -hangar construction, to date. The foundation/concrete work
is finished and the electrical conduit has been installed. According to Jason at Midland Bi -Fold Doors, the structural
steel is being fabricated currently. He expects the building components will be delivered and erection of the
building will start in December.
Extra care will need to be taken to protect the anchor bolts during snow removal.
3. Close -out of existing federal projects
Olson reported of progress regarding close -out of existing federal projects. The 2004 Airport Improvements project
has been completely closed out. For the 2005 Airport Improvements project, all but electrical portion has been
submitted for payment
After the request for the Commission to consider recommending to Council termination of the contract with Quade
Electric for non - performance, the materials were ordered and we expect shipment of materials in the near future.
4. Review private and /or commercial operations activity
Olson presented draft lease with Life Link III. Commissioners discussed a prepaid one year term, with an assumed
$0.25 per square foot lease rate. In addition, Life Link III will be charged for 3,000 gallons per month to calculated
water and sewer charges. The lease was extended through November 30, 2006 at the October 24 City Council
meeting. The final lease language will be presented for the November 28, 2006 City Council meeting.
Motion made by Brill, second by Schwarze to approve proposed lease provisions. Unanimous approval.
6. Other Discussions
Olson presented the most recent budget information from September 2006 for informational purposes.
Commissioners identified that the budget is less than 75% spent, which was seen as positive.
Commissioners reviewed the proposed hangar policy. Discussion followed to clarify some items, including:
a. Allow existing hangar tenants first opportunity to move into available hangars
b. Combine the in -town and out -of town waiting lists into one waiting list, and offer available space in
ascending order by date the applicant was placed on the waiting list.
c. Clarified procedures.
Motion by Schwarze, second by Brill to approve proposed hangar policy language and present to the City Council at
their next meeting. Unanimous approval.
7. New Business
The Commission discussed proposed hangar rental rates for 2007. Generally, costs went up between 6 -9 %, as there
has not been a rate increase in two years. In -town rates were proposed at:
a. Hangar #I (Open hangar) _
$ 35
6% increase
b. Hangar #2 (Old enclosed hangar) _
$ 60
9% increase
C. Hangar #3 (Large enclosed hangar) _
$100
8% increase
d. Hangar #3/1 and #3/5 (Twin hangars) _
$175
8% increase
C. Hangar #4 (Hangar under construction)
=$100
n/a
The Commission discussed potential agricultural land lease. There are approximately 84 agricultural acres for lease.
Commissioners discussed the preference to have alfalfa as a primary crop, if possible. However, it is more
important to get as much rent as possible to support the airport operations.
The Commission will discuss options at it neat meeting in December.
At 6:47, a motion to adjourn was made by McGraw, second by Brill. Unanimous approval.
NEXT MEETING: December 21, 2006