HomeMy WebLinkAboutMinutes Airport Board - 08/29/2003 Minutes
Airport Board Meeting
August 29,2003
Board Members Present Airport Staff Present
Jerry Kane, Chair Dave Hamrick,Director or Aviation
Mark Meyer, Member Debra Keller,Assistant Director of Aviation
Jan Rehler, Member Terence Whatley, Operations Manager
Glenn Lyons, Member Roy Rodriguez, Facilities Manager
Frank "Rocco"Montesano, Member Gloria DeLeon, Management Assistant
Ramiro Gamboa, Member
Nelda Martinez, Member
J. C. Ayala, Member
Board Members Absent
Ed Hicks, Sr., Vice Chair- Excused
Willard Hammonds, Sr. -Excused
Director's Report
Mr. Hamrick provided the Airport Board an update on the following:
1. Entitlement Grants
Mr. Hamrick provided an update on the Administration Entitlement Grant, Grant#35, for the
amount of$3,076,146 for terminal modifications and rehabilitation of Runway 13131 and explained
that this Grant was increased by$1,500,000. A short discussion was held regarding this item.
2. Airline Leases
Mr. Hamrick provided an update of the current airlines leases and informed the Board that he met
with the President of American Eagle in Dallas and explained that he was informed that American
has decided to change their corporate outlook, to intensify their customer service, their community
involvement and to change their image. Mr.Hamrick also informed the Board that after conducting
a survey, it was found that a large majority of airlines across the country are operating on a 30-day-
out contract; and that we were one of the last airports to offer a long-term contract with the airlines.
A discussion was held regarding this item.
3. Contract Amendments for Ongoing Construction Projects
Mr. Hamrick informed the Board that the contract with DMJM, Construction Project Managers,
was terminated and that the Airport hired AGCM, a local firm, to manage the remainder of the
construction projects; which CCIA anticipates will be completed by the end of this calendar year.
Mr. Hamrick also informed the Board the only overlap of the terminal construction project will be
the build-out for TSA and I . A short discussion was held regarding the re-design of the
Roadway construction project.
Airport Board Meeting
August 29,2003
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4. Reimbursements from Homeland Security/TSA for Law Enforcement Services
Mr. Hamrick informed the Board that Ms. Debra Keller, Assistant Director of Aviation, has
negotiated with TSA reimbursement for law enforcement support services at our check point,
Mr. Hamrick informed the Board that since two foreign airlines Acrolitoral and Aeromar, have
expressed interest in providing air service, CCIA is preparing a Resolution for Council's approval;
however, due to time constraints, there may not be time to bring this Resolution before the next Board
meeting. Mr. Hamrick explained that Airport staff is working on putting together a more structured
request for proposal(RFP). Said RFP will be sent to all airlines so that each airline will have the
opportunity to express their interest in providing international air service. A discussion was held
regarding the type of aircraft these airlines would use to provide international air service. A discussion
was also held regarding previous negotiations between CCIA and Delta for new air service. Mr.
Hamrick informed the Board that the proposal with Delta is still under consideration.
A quorum was reached at 9.08 am and Chair Kane called the meeting to order. Chair Kane called for a
motion on the minutes of the Airport Board meeting held June 11, 2003. Member Gamboa moved to
approve the minutes. The Motion was seconded. The minutes were approved as presented.
Chair Kane apologized to the Board for not making the August f3'h Board meeting, due to time
sensitive issues that arose. Member Lyons also apologized for not making the August 13'h Board
meeting due to being stranded out of town.
Chair Kane called for a motion on the absence of Vice-Chair Hicks and Member Hammonds. Member
Martinez moved to excuse their absence. The Motion was seconded. The Motion passed.
Discussion was continued regarding the Council Resolution for the RFP to be provided to all the
airlines interested in providing international air service. Ms. Keller informed the Board that the RFP
is near completion, The Board asked Airport staff to provide a presentation before the end of the
meeting.
5. Project ()Iympus Presentation
Mr. Hamrick introduced Roddy Boggus, Mark Swortson, and Jacqueline Zielenski, with
PAL, and informed the Board that they were going to provide a presentation on Project Olympus.
Mr. Bog s,provided a presentation and an overview of Project Olympus. Some of the major
topics covered were: site plan,buildings, environmental assessment process,project schedule, and
estimates of probable construction costs. Mr. Boggus explained that one of the most time-critical
issues is the EA process; and made the recommendation that this process be started immediately.
Mr. Bog also informed the Board that if CCCA is selected for the site of this Project, the
anticipated start date is January 2004. Mr. Boggus provided several cost scenarios and also
provided a detailed assessment for each scenario.
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August 29, 2003
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The Board asked questions and discussions were held on each of the topics covered on Project
Olympus. A short discussion was held regarding the possible need for CCIA to purchase additional
land for Project Olympus or to utilize additional purchased land for future projects. After no further
discussion on this item, the Board thanked PGAL representatives for their presentation.
Ms. Debra Keller and Mr. John Valls,Business Development Manager, provided the Board a draft
of the airlines RFP for international air service. Mr. Hamrick explained that all incumbent airlines
at CCIA along with Aerolitoral and Aeromar will be given the same opportunity to participate in
this P. A short discussion was held regarding various route options airlines could offer CCIA
and the revenue possibilities.
Mr. Hamrick informed the Board that he along with Mr. Jorge Cruz-Redo, Assistant City Manager
and John Valls, Business Development Manager, met with Allegiant Airline representatives. Mr.
Hamrick explained as an incentive, several proposal options were looked into, one being an offer
that CCIA would reimburse $5.00 a passenger from the Parkffig Revenue,which would be a total of
$153,000; however, after research, it was discovered that CCIA could not offer this. Mr. rick
stated that CCIA is still in competition with four out of six cities and anticipates he will hear from
Allegaint sometime around mid-September. Mr. Hamrick further explained that CCIA would be
able to offer an incentive to cover Allegiant's new service advertisement costs and in turn offset this
cost from Allegiant's revenue at CCIA. Mr. Valls added that'Allegiant has anticipated a $96,000
expense in advertising costs. A short discussion was held on this item.
Mr. Jorge Cruz-Redo stated that CCIA put a good package on the table before Allegiant
Representatives and added that both Mr. Hamrick and Mr. Valls have done an excellent job of
representing the City and the Airport Board,
A short discussion was held regarding the need to provide an RFP vs. an agreement with airlines.
Mr. Cruz-Aedo explained since Allegiant is the only airline offering direct service to Las Vegas an
RFP is not necessary vs. when you have two airlines expressing interest in providing a certain type
of service, for example international air service(Aerolitoral and Aeromar) then it will be necessary
to provide all airlines, including incumbent airlines, the same opportunity through an P. Ms.
Keller explained that earlier this year, CCIA had sent a memo to incumbent airline managers and it
included the option that if they provided any new destinations,domestic or foreign, CCIA would
waive some fees. Since we did not receive any response from them we then proceeded to offer this
incentive to other airlines. A short discussion was held regarding the minimal number of seats
CCIA needs to provide on international service flights and the type of aircraft the airlines would use
to provide international service.
After no further discussion, the meeting adjourned.