HomeMy WebLinkAboutMinutes Airport Board - 09/08/2004 Minutes
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CORPUSCHRISTI Airport Board Meeting
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Board Members City/Airport Staff
Jerry Kane, Chairman Dave Hamrick, Director
Ed Hicks, Sr., Vice-Chairman Debra Keller,Assistant Director
Z Glenn E. Lyons, Member ❑ Roy Rodriguez, Facilities Manager
0 Wayne Bennett, Member El Celina Y. Pulcher,Management Assistant
Willard Hammonds, Sr., Member Adelle Ives,Management Assistant
Nelda Martinez,Member
Mark Meyer, Member
Frank"Rocco"Montesano, Member
Don Feferman, Member
J.C. Ayala, Member
The Corpus Christi International Airport Board meeting was called to order by Chair Kane at
3:39 p.m.
I. Approval of minutes for the Airport Board meeting held August 8, 2004.
Board member Martinez moved to approve the minutes of the Corpus Christi
International Airport Board held on August 8, 2004 as read with the exception of the
spelling of Board member Montesano's last name. Board member Ayala seconded
and the motion carried.
Director Hamrick requested Chair Kane to change the order of business for discussion of the
Enterprise car rental issue. Chair Kane agreed.
Director Hamrick began by asking if all the Board members had received their packet which
included a copy of the lease agreement with CCIA's car rental agencies. Also included were
copies of the bid, addendurns and the remaining information requested at the July Board meeting.
Additionally, a letter from the City Legal Department to Mr. Medrano with Enterprise was
included.
Director Hamrick stated that based on the lease agreement, it could be construed by a jury that
only five rental car agencies would be based at the airport. He also stated Asst. City Attomey
John Burke recommended the airport not grant Enterprise's request. Chair Kane added his
recollection of the discussion at the time of the initial lease for limiting the number of car rental
agencies was because having more than five agencies would have been too competitive for the
Corpus Christi market. He encouraged Enterprise to submit their proposal for the next contract
which would be 2007. He also requested CCIA staff to clarify the wording of the lease,
specifically the terms "terminal"and " airport property"regarding the location of the agencies.
Airport Board Minutes
September 8,2004
Page 2 of 7
Board member Feferman moved to instruct the City Manager to advise Enterprise of the
following which bars CCIA from complying with Enterprise's request at this time:
a. Terminology of the lease agreement between City of Corpus Christi and car rental
agencies which limits other agencies from operating at the airport.
b. Their failure bid at the initial bid.
Board member Hammonds seconded the motion. Discussion followed.
Board member Montesano arrived at 3:41 p.m.
Board member Meyer requested the record note the professionalism extended by all parties
involved in this matter. The question was called and the motion carried.
II. Action Items
a. Motion recommending authorizing the City Manager, or his designee, to execute
Change Order No. 59 in the amount of$104,217.77 with Fulton
Construction/Coastcon Incorporated, A Joint Venture for services with the Corpus
Christi International Airport for the Terminal Project.
Director Hamrick explained to the Board the reason for this measure was the
amount of omissions. He explained that the Board received a copy of the actual
change order which he felt was self-explanatory. The copy was sent to the Board
in order understand the issues CCIA staff has had to deal with regarding
necessary change orders. He also added that this would be the last change order.
Board member Montesano moved to approve this motion. Board member
Feferman seconded. Discussion followed.
Board member Meyer questioned who was responsible for the drawings. Director
Hamrick responded the architect was responsible. Board member Montesano
commented that these changes were due to the terrorist act of September 11.
Director Hamrick explained that since the bids came in low, CCL4 staff brought a
recommendation to the Board adding some of the items that had been omitted to
avoid receiving too high a bid. As this was not the case and bids are going to be
coming in high, items such as escalators and elevators have been removed from
the changes. At that time, the Board recommended approval.
Board member Meyer questioned what type of recourse or guarantee could be
sought from the architect and if they had already been paid in full. Director
Hamrick stated that the architect had not been fully paid. He added that there is
over$100,000 left on their contract as well as the fiscal retainage which CCIA
keeps. These issues are handled by the City as an omission which is acceptable as
it would have been needed anyway. There is no recourse against the architect
regarding these types of matters. In the case of errors by the architect which
cause the City to unnecessarily spend funds in order to correct,those items will be
addressed directly to the architect. Director explained that this is what has
occurred and the change order will be discussed with the architect.
Airport Board Minteres
September 8, 2004
Page 3 of 7
In a related issue, Director Hamrick was questioned on the status of the mold on
the roof. Director Hamrick reported he had requested a representative from the
Gensler come to look at the roof. He also requested a local roofer come to look at
the roof as well. It was reported to him that what is an the roof appears to be
mold or mildew. He added that the roof should have a built-in chemical to
prevent mold or mildew from forming. He expressed to Gensler that the
condition of the roof was unacceptable. He also requested for them to get back to
the manufacturer in order to correct this problem. He also added that he
expressed his desire to Gensler to have the roof replaced. Roy Rodriguez, Airport
Facilities Manager, stated that the official report on the results of the sample taken
from the roof would be out within the next couple of days. He added that an
independent lab had been called to take the samples but due to inclement weather,
they have been delayed. Chair Kane requested to be informed of the results as
soon as they were made available. Discussion was heard on the type of chemical
that prevents the growth of mold and mildew.
The question was called and the motion was passed.
b. Motion recommending authorizing the City Manager,or his designee, to execute
Change Order No. 2 in the amount of$46,778.00 with Beecroft Construction for
the Continental Maintenance Facility Build-out.
Director Hamrick explained that this item has been discussed by the Board
previously. It is the incentive that was put in place to entice Continental to open
the Maintenance Facility,
Board member Martinez moved to approve this motion. Board member Bennett
seconded and the motion carried.
c. Motion recommending approval of an agreement with Dailey-Wells for the
installation of fourteen (14)bi-directional antennas in the Corpus Christi
International Airport Terminal building for an amount not to exceed $44,712.22.
Director Hamrick explained that this motion is to increase the area of reception
for radios used by CCIA staff. The interior of the terminal has little or no
reception. This is a safety issue and FAA agrees this is something that is
necessary as well. Their input is necessary because partial funding for this project
comes from the FAA. The installation of the bi-directional antennas will be
strategically placed at key areas that Dailey-Wells has identified as"dead zones".
Chair Kane requested that staff have assurance from Dailey-Wells that the
installation of these antennas would rectify the problem with"dead zones"within
the terminal building. Discussion was heard regarding this issue.
Airport Board Minutes
September 8.1004
Page 4of7
The question was called. Board member Bennett moved to approve this item.
Board member Hammonds seconded and the motion carried.
d. Motion recommending ordinance appropriating$150,000 in Passenger Facility
Charge Fund 4621 from unreserved Fund Balance for Passenger Loading Bridges
at the Airport; amending FY 2003-2004 Capital Budget adopted by Ordinance
No. 025647 to increase appropriations by$150,000; and declaring an emergency.
Assistant Debra Keller explained that the loading bridges were entirely approved
for PFC funding. At that time, there was not enough funding available to
purchase the bridges and bond funds were used for this project. This was done
with the understanding that as PFC funds were collected,the bond fund would be
reimbursed. This has been done throughout this project due to the scheduling and
receipt of funding. At this time,there is adequate funding to reimburse of the cost
of the loading bridges. This is being done because the bond monies are needed
for the previously approved change order. Discussion was heard regarding this
issue.
Board member Martinez moved to approve this motion. Board member Ayala
seconded and the motion carried.
111. Director's Report
a. Restaurant Concessionaire Update
Assistant Director Keller reported on the potential concessionaires. She recapped
on what has transpired with Host and Whataburger. She stated that she is in the
preliminary stage of negotiations with Game Time. She reported that Game
Time, a food and beverage concession, has expressed an interest in coming to
CC1A. They are currently located in the McAllen Airport. She also reported that
on her last visit to McAllen, she visited their restaurant and was impressed with
the restaurant. The Director of Aviation at the McAllen Airport highly
recommended that she speak to their company representative.
She has contacted their office and they are very interested. They have several
locations in the Rio Grand Valley area such as ball parks,rodeo and arena type
venues. Researching their company, she contacted six of Game Time's references
and current account customers. All contacted spoke very highly of Game Time.
They want a sports bar concept with a full dinner menu and complete bar set-up.
Game Time is requesting to have the restaurant pre-check point. They will be
doing a build-out in the area next to the Gift Shop. They would also like to carry
the same sports bar concept into this area. They are also willing to provide a
breakfast menu.
Airport Board Minutes
September 8,1004
Page S of
Mrs. Keller also reported that she has gone over their balance sheets and found
them to be legitimate. Game Time is very agreeable to any changes suggested.
They also want to give the airport a better percentage than the present contract
offers. They are requesting to put up front the cost to buy-out the present
contract. At present,CCIA is doing about$900,000 in gross sales. Asst. Director
Keller feels that Game Time will more likely do better sales-wise due their
excellent customer service.
Game Time will assume responsibility for the utility usage and start-up
equipment, so between$900,000 and$1.2 million a year in gross sales, they will
give CCIA 16%. The previous contract was at 10%of the gross sales.
In order to expedite any renovations, CCIA will write the check to the contractor
and Game Time in order to assure that the work is done. This will eliminate the
bidding process and insure a better price for renovations.
Ms. Keller is working with Game Time in order to have better service, better
product, more variety and provide service to all our customers. She is in the
process of working on a Letter of Intent. Game Time is working on preliminary
designs on the layout of the restaurant. Once these issues have been settled, a
lease agreement will be drawn up. She informed the Board that she would be
brining that back to the Board for approval.
Discussion was held by the Board.
b. Shuttle RFP status
Director Hamrick informed the Board that he anticipated completing an RFP for
Shuttle Service. He stated that he is working with Rob Carlson, owner of one of
the local cab companies, who is interested on starting up a service.
c. Semtech Lease Update
Director Hamrick reported that the lease is status quo as of the last meeting. He
recapped that he had mentioned to the Board at the last meeting that an agreement
had been reached by City Manager, George Noe, with Semtech. It was agreed
that Semtech would pay the City$450,000 and then separately contract and fund
the demolition of the facility including a Phase 2 environment. At this point,
Semtech has changed their minds and they are now offering a flat$500,000 and
turn over the responsibility of demolition and the Phase 2 environment to the City.
Director Hanuick stated he responded to that offer as unacceptable.
d. Tower Asbestos Removal Update
Director Hamrick reported that work is moving ahead on the demolition of the
tower. A week ago today, the bid opening was held for the Asbestos Abatement
Project.
,� 11
Airport Board Minutes
September 8.2004
Page 6 of 7
e. Award of contract with PSI for Runway work for$39,690
Director Hamrick informed the Board that the Engineering Department has
negotiated with PSI for the geotechnical work on Runway 13-31 Rehab Project.
f. Air Service Update
Director Hamrick informed the Board there was no change on the status of air
service. He has been in contact the Board Member Ayala who reported to the
Board on the status of this topic. He began by stating that he has been unable to
make contact with the potential air service provider. Board member Ayala
expressed the provider's concern in the Board's lack of enthusiasm in their show
of interest. Board member Ayala added he infonned the provider of the Board's
experience with Allegiant. He added the provider stated he would be sending
some representatives from Pace Airlines to check out the airport facilities.
Director Hamrick stated to the Board that he has answered all the provider's
questions; spent all day with the Pace Airline representatives at their visit and
provided them with a great deal of information for their use. Chair Kane
requested that the Board set up a conference call at the next meeting.
g. Negotiations with Verizon for Lease Space
Director Hamrick reported that he has been communicating with Verizon
regarding their interest in leasing a small area of airport property to install a
tower. The tower would be located in the vicinity of the old Southwest gate. The
revenue he expects this lease to generate will be$1,250 per month. This is still in
the works and he will get back to the Board with more information regarding this
issue once it is available.
IV. Construction Update
a. Covered Parking
Director Hamrick reported the scheduled completion date for this project on
October 161h.
b. Roadway Project
Director Hamrick reported that this project is basically complete. He added that
there are just a few minor items to be completed. Chair Kane requested that better
signage be provided.
Airport Board Minula
September 8,2004
Page 7 of 7
c. Terminal Project
Director Hamrick reported that this project is basically complete. He added that
staff is in the middle of closing out the project. He anticipates having the project
completely closed by the next Board meeting.
Board member Montesano requested information on the status of the new
artwork. Asst. Director Keller responded that the artist is working on the pieces
and more information on the status of the art would be forthcoming. Discussion
was held by the Board on this topic.
d. Runway 13131 Rehab
Director Hamrick reported that this project has begun with surveying. He added
the project would be moving ahead within the year. He anticipated it to bid by
Spring, 2005.
V. Board Business and Reports
Board mernber Martinez wanted to commend the CCIA staff on their efforts to bring
more revenue to the airport.
Chair Kane called for a motion on Board member absences. Board member Montesano
moved to excuse Glenn Lyons from the June 9"'meeting;Jerzy Kane, Ed Hicks,
Willard Hammonds and Wayne Bennett from the August 11`x' meeting. Board member
Martinez seconded the motion and the motion carried.
Board member Montesano moved to adjourn. Board member Bennett seconded and the
motion carried.
Meeting adjourned at 4:40 p.m.