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Funding For Future Airport Development

Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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Page 1: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

Funding For Future Airport Development

Page 2: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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SPOKANE INTERNATIONAL AIRPORT

• Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane has an estimated population of 225,000, which makes it the second-largest city in the state.

• RCW 14.08 Airport• Airport Owners:

• City of Spokane & County of Spokane

• FAA Small Hub• 2M Enplanements• 19 Non-Stop Destinations

Page 3: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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FUN FACTS

• It's the sunny side of the state.• The city’s nickname is the Lilac City.• The Spokane Falls, one of the largest

urban waterfalls in the United States.• Hosted the 1974 World's Fair.• Created "Bloomsday“, the largest timed running race in the nation.• Hosts "Hoopfest“, the largest three-on-three basketball tournament.• Childhood home of Bing Crosby.• Started Father's Day.• Home to four universities

most notably Gonzaga University - (Gon-ZAG-guh)

Page 4: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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AIRPORT GROUND TRANSPORTATION PROGRAM• State of Washington, RCW 14.08 authorizes the Board to establish

charges, fees, rules and regulations that are reasonable, equal and uniform for the same class of privilege or service. Fees are to defray the cost of operating, maintaining and future capital improvements to Airport property accessed and used by Courtesy and For Hire Operators (Cost Recovery).

Cost Recovery Direct Costs: Curb Management Staff, & AVI System

Indirect Costs: Airport Staff Oversight, Roadway Projects (10 year amortization @ 10% utilization), & Winter de-icing & snow removal

(10% utilization).

Annual Direct & Indirect Costs ÷ # of Annual Trips = Per Trip Fee

Page 5: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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AIRPORT GROUND TRANSPORTATION PROGRAM

• 2015: Ground Transportation Program Revamped– Resolution 03-15: Board adopted July 16, 2015 to update rules

and regulations to include the installation of the AVI system to track all Courtesy and For Hire operations and to implement the policy in a fair and consistent manner.

Prior to 2015: • All Ground Transportation

activity was self-reported.• No Curb Management present.• $0.50 Per Trip Fee (if reported).• Appx. 90,000 “faith based” trips

accounting for $45,000 in annual trip fee revenue.

Page 6: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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AIRPORT GROUND TRANSPORTATION PROGRAM• 2016: Uber & Lyft entered into agreements

– January 2016 – TNCs self-reported trips to the Airport.– June 2016 – Implemented AAAE App-Based Transportation

(ABT) Clearinghouse to track TNC Trips.

• GT Operating Fees:– Application Fee - $250.00 (processing & admin fee)– Trip Fees*:

• 2015 - $0.50 per trip• 2016 - $0.75 per trip • 2017 - $1.00 per trip• 2018 - $1.25 per trip

* The fee is subject to adjustment upon the Airport’s review of the actual expenses and fees collected.

• 2019 - $1.50 per trip• 2020 - $1.75 per trip• 2021 - $2.00 per trip

Page 7: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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AIRPORT GROUND TRANSPORTATION PROGRAMOperating Rules & Regulations

– Operator Requirements:• State and City Business Licenses• 1M Auto Insurance• Vehicle Inspections – AVI Installed • Operator is responsible for the drivers and drivers who violate the

Airport’s rules and regulations are prohibited from operating at the airport• Either party may cancel agreement for any reason with 30 day notice• Airport randomly audits drivers criminal history and background reports.

– Driver Requirements:• Wait in cellphone lot and/or designated area• Proper dress code• Pickup passengers at designated locations at the terminal• Display proper trade dress

Page 8: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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GROUND TRANSPORTATION TRIPS

2016 Total Trips:• TNC: 52,000• Hotel/Courtesy: 77,000• Taxi Trips: 66,000• Shuttles/Busses: 36,000

2017 Total Trips:• TNC: 106,000• Hotel/Courtesy: 81,000• Taxi Trips: 54,000• Shuttles/Busses: 22,000

2018 Total Trips:• TNC: 155,000• Hotel/Courtesy: 85,000• Taxi Trips: 45,000• Shuttles/Busses: 22,000

2019 Total Trips:• TNC: 202,000• Hotel/Courtesy: 91,000• Taxi Trips: 31,000• Shuttles/Busses: 26,000

Page 9: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

92016 2017 2018 2019

GROUND TRANSPORTATION DATA

Page 10: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

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MITIGATING POTENTIAL REVENUE LOSS-

“More travelers using Uber and Lyft, fewer using taxis and airport parking”- The Atlanta Journal-Constitution -

• Spokane Int’l Airport has not seen a significant impact to parking revenues, why?

– Overall Growth (+25% over the past 4-years)

– Affordable Parking Rates– Airport’s Catchment Area (80,000 Square Miles)

– World Class Service– Customer Appreciation Events– Different levels of Products to cater to

all types of customers

Page 11: Funding For Future Airport Development · 2020. 3. 13. · SPOKANE INTERNATIONAL AIRPORT •Spokane is located in eastern Washington about 90 miles south of the Canadian border Spokane

Thank You

Andrew Barrington, MBA, C.M.Manager, Parking & Ground Transportation

Spokane International Airport509-455-6431 - [email protected]