New Hanover County Airport Authority Meeting Agenda€¦ · New Hanover County Airport Authority Code of Ethics Adopted 9/2/2015 In accordance with the New Hanover County Board of

New Hanover County

Airport Authority

Meeting

Wednesday

June 10, 2020

5:00 PM

Authority and Staff Remotely on Zoom

Public by Teleconference

Agenda Page 1

New Hanover County Airport Authority

Meeting Agenda

June 10, 2020 - 5:00 PM

• Pledge of Allegiance

• Call to Order/Code of Ethics Clause

• Approval of Minutes Tab 1

• Public Comments (Limited to 3 Minutes)

• Staff Reports

– Facilities & Terminal Expansion Tab 2

– Finance & Human Resources Tab 3

– Business Development Tab 4

– Government Tab 5

– Operations and General Aviation Tab 6

– Director’s Report Tab 7

• Unfinished Business/New Business/Adjournment Tab 8

Agenda Page 2

New Hanover County Airport AuthorityCode of Ethics

Adopted 9/2/2015

In accordance with the New Hanover County Board of Commissioners Resolution Adopting a Code of Ethics, as adopted on January 5, 2015, it is the duty of all County boards and committees to respect and abide by the New Hanover County Code of Ethics in the performance of their duties.

More specifically all Airport Authority members should:

1. obey all applicable laws;2. uphold the integrity and independence of the Authority;3. avoid impropriety;4. faithfully perform the duties of the office; and,5. conduct the affairs of the Authority in an open and public manner.

It is further the duty of every Authority member to avoid both conflicts of interest and appearances of conflicts. Does any member have any known conflict of interest or appearance of conflict with respect to any matters coming before the Authority today? If so, please identify the conflict or appearance of conflict and refrain from any undue participation in the particular matter involved.

Agenda Page 3

Tab 1

Approval of Minutes

The Authority has been provided copies of the

minutes for the May 6, 2020 regular meeting.

The minutes for the closed session held on May 6,

2020 will be reserved for review and approval at the

next “in person” Authority meeting.

Agenda Page 4

Committee Airport Authority Member Staff Member

Facilities & Terminal Expansion/Tab 2

Donna Girardot

Tom Wolfe

Granseur Dick

Finance & Human Resources/ Tab 3

Tom Wolfe

Lee Williams

Bob Campbell

Business Development/Tab 4 Harry Stovall

Spruill Thompson

Tom Wolfe

Carol LeTellier

Government/Tab 5 Donna Girardot

Julia Olson-Boseman

Julie Wilsey

Operations & GeneralAviation/Tab 6

Carter Lambeth

Lee Williams

Gary Broughton

Director’s Report/Tab 7 Julie Wilsey

Staff Reports

Agenda Page 5

Tab 2

Facilities & Terminal Expansion

• Action Itemsa. Professional Services Agreement with Arts Council of Wilmington – Recommendation of approval to enter into an

agreement with the Arts Council of Wilmington (ACW) for $30,000 to assist the Authority in administering an arts program

commissioning permeant artwork in the terminal expansion project. Artwork will consist of two custom designed terrazzo

floor elements and a 3-Dimensional sculpture. ACW scope includes the planning, budgeting, scheduling, coordinating and

supervision of the artist selection process, design and installation of artwork. Terrazzo floor costs are covered by an

allowance item in the construction contract, and funds for this agreement and the sculpture piece are all included in the

current and proposed FY budgets.

b. CFPUA Cost Share Agreement– Recommendation to approve a Cost Share Agreement with CFPUA to the benefit of the

Authority in the amount of $103,948.00 to cover installation of two waterline backflow prevention devices installed on the

loop waterline around the terminal as part of the Contract 3 expansion project. In return, the Authority will assume

ownership and maintenance of the portions of waterline loop located inside the security fence.

• Information Itemsa. ILM Third TSA Checkpoint Lane (General) – Work under responsibility of ILM is complete. TSA is scheduling install of

the third lane the week of June 9th.

b. Hurricane Florence Rehab (General, FEMA) – Project has been completed and is in the process of close-out.

Agenda Page 6

Tab 2


• Information Items (Continued)c. Terminal Expansion – Contract 2 (NC Leg. Appropriations) –Terrazzo floors and carpet in most areas of the ticket lobby are

complete. The new ticket counters are nearing completion and the target date to move airlines to the new counters is June

29th. TSA relocation of the bag screening equipment has been tentatively scheduled for the weeks of June 21st and 28th.

Contract is on schedule to be completed by the end date of August 10th.

d. Terminal Expansion - Contract 3 (FAA, AIP, PFC, State, General) – Most utilities, structural columns and shear walls have

been installed. Concrete floor slab will begin being poured June 4th. Schedule 1 work is on track to complete at the end of

2021 and Schedule 2 will complete at the end of 2022.

e. COVID-19 Signage– Facilities and Marketing worked together to develop ILM branded signage encouraging customers to

follow social distancing and proper hygiene in areas of high traffic and queueing. These include floor stickers placed 6’ apart,

signs reminding use of face masks and hand washing, and illustrating the added protective measures that ILM has undertaken

to maximize sanitation.

f. Federal and State Grant Update–

- FAA Cares Act has been executed for $19.8M to be used for airport operating expenses and debt service, with first

disbursement for $730,500.05 received.

- 2nd Installment of State funding for the Terminal received for $498,972.00.

- Per the May approval the Chairman is authorized to accept AIP grants thru August 4, 2020.

Agenda Page 7

Tab 2


Agenda Page 8

Tab 2


Agenda Page 9

Tab 3

Finance & Human Resources

• Monthly FinancialsApril Financial Summary, Financials and Cash Summary (Agenda pages 16-19)

• Action Items - Nonea. Recommend approval of FY20 Budget Amendments (Agenda page 20).

Operating Revenue: Decrease Aviation ($200,000), decrease Commissions ($400,000), decrease Rental ($150,000), decrease Business

Park ($40,000), increase Interest ($250,000), decrease Parking Lot ($600,000), and decrease Terminal Advertising ($33,000). Net decrease of

$1,173,000.

Operating Expense: Decrease Salaries, Wages and Benefits ($75,000), increase Buildings/Grounds Maint & Repair ($50,000), increase

Vehicle Maint & Repair ($35,000), decrease Contracted Services ($30,000), increase Departmental Office Supplies ($15,000), increase

Miscellaneous ($5,000). Net increase $0. This entry simply reallocates expenses from those accounts that are expected to be under budget to

those that are expected to exceed the current budget.

Other Expense: Increase Hurricane Florence expenditures $580,000, increase Hurricane Dorian expenditures $121,000. Final figures for

hurricane-related projects were not available when the budget was created. With the exception of the ditch project near the approach of

Runway 6, this amendment should cover all past hurricane-related expenses. We do anticipate FEMA reimbursements related to Hurricane

Florence in FY21.

b. Recommend approval of FY21 Schedule of Rates and Charges (Agenda pages 21-23).

• Information Items - NoneAgenda Page 10

Wilmington International AirportMonthly Financial Summary

Summary Actual Budget Prior Year Act vs. Bud Act vs. PY

Monthly Revenue 338,238 953,267 1,063,945 -64.5% -68.2%

Monthly Expense 585,455 771,518 752,477 -24.1% -22.2%

YTD Revenue 9,713,609 9,160,771 10,227,644 6.0% -5.0%

YTD Expense 7,138,567 7,685,362 6,698,142 -7.1% 6.6%

Revenue Actual Budget Prior Year Act vs. Bud Act vs. PY

Aviation 42,333 131,420 131,948 -67.8% -67.9%

Parking Lot 10,730 368,129 401,402 -97.1% -97.3%

Rent 173,461 205,930 203,940 -15.8% -14.9%

Commissions 28,545 179,400 183,769 -84.1% -84.5%

Security 41,062 41,086 52,626 -0.1% -22.0%

Other 3,346 22,302 30,318 -85.0% -89.0%

Interest 38,760 5,000 59,942 675.2% -35.3%

Expense Actual Budget Prior Year Act vs. Bud Act vs. PY

Salaries/Benefits 309,838 319,216 325,197 -2.9% -4.7%

Contracted Services 109,658 162,102 60,976 -32.4% 79.8%

Utilities 29,696 39,166 32,135 -24.2% -7.6%

Repairs & Maint 38,468 80,016 238,669 -51.9% -83.9%

Other 97,795 171,018 95,500 -42.8% 2.4%

Enplanements and deplanements were both down approximately 95% from Salaries/Benefits - This expense will be under budget for the remainder of the year

the prior year. This large decrease impacted Aviation, Parking Lot, and due to the fact that the estimated increase in benefits did not materialize.

Commission revenue, all of which are dependent upon passenger travel. Contracted Services - employee shuttle service put on hold in April; parking manage-

ment agreement reduced beginning in April.

Rental income was down due to the fact that some tenants took advantage Repairs & Maint - airfield painting and radio purchase occurred earlier in the year,

of a rent deferral agreement offered by the airport. but were budgeted evenly; additionally, the purchase of new wayfinding signs has

been put on hold.

Other income was down due to the fact that some advertisers took Other - parking study completed earlier in thhe year, but budgeted evenly; also,

advantage of a deferral agreement offered by the airport. advertising and marketing efforts decreased.

Summary of Significant Monthly Activity

April

Revenue Expense

-

500,000

1,000,000

1,500,000

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

Operating Revenue

FY20 FY19 Budget

-

500,000

1,000,000

1,500,000

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

Operating Expense

FY20 FY19 Budget

Agenda Page 11

Wilmington International Airport

April 2020

Interest Month End

Account Name Rate Balance

BB&T General Operating Checking N/A 3,405,196.73$

South State General Operating Checking N/A 11,868.65$

BB&T Business Park Checking N/A 6,750.10

South State Business Park Checking N/A 1,000.00

BB&T Business Park Money Rate Savings 0.33% 804,683.20

South State Business Park Money Rate Savings 0.85% 1,011,341.95

Money Rate Savings 0.33% 415,718.55

Investment Account-Govt 0.96% 31,860.98

Investment Account-Term 0.96% 7,505,096.14BB&T PFC Money Rate Savings *** 0.33% 2,618,669.79

South State PFC Money Rate Savings *** 0.85% 6,109,493.57 BB&T CFC Money Rate Savings *** 0.33% 1,021,446.21

South State CFC Money Rate Savings *** 0.85% 2,010,662.94 BB&T CFC Checking *** N/A -

Safe Keeping *** 1.79%-2.58% 7,920,100.28

Petty Cash N/A 1,000.00

Total Cash 32,874,889.09

Less Restricted Use *** 19,680,372.79

Less Reserves:

Maintenance & Development Reserve 2,889,380.53

Operational Reserve 4,000,000.00

Net Cash Available for Daily Operations 6,305,135.77$

Beginning Balance 4,368,087.53$

Receipts

General Operating 4,488,644.21$

GO Transfers In from NC Cap Mgmt 1,000,000.00

Business Park Operations Checking 5,000.00

Business Park Money Rate Savings 49,776.23

Investment Account (Transfers In) -

Business Park Money Rate Savings Interest 917.53

Money Rate Savings Interest 113.00

Investment Account-Govt Interest 10.69

Investment Account-Term Interest 13,736.38

Total Receipts 5,558,198.04

Disbursements

General Operating Accounts Payable 2,485,352.48

General Operating Payroll 129,167.83

General Operating Transfers to Investment Accounts -

Money Rate Savings Trf -

NC Cap Mgmt Trust Trf 1,000,000.00

Business Park Operations Checking Accounts Payable 1,629.49

Business Park Money Rate Savings Accounts Payable 5,000.00

Total Disbursements (3,621,149.80)

Ending Balance 6,305,135.77$

Monthly Cash Activity

Month End Account Balances

Cash Summary

Agenda Page 12

December JuneOriginal Amendments Amended Amendments Amended

RevenueAviation 2,021,490$ 2,021,490$ (200,000)$ 1,821,490$Commission 1,935,000 1,935,000 (400,000) 1,535,000Rental 1,568,500 1,568,500 (150,000) 1,418,500Business Park 872,550 872,550 (40,000) 832,550Expense Reimbursement 30,000 30,000 - 30,000Miscellaneous 55,730 55,730 - 55,730Interest 195,100 195,100 250,000 445,100Parking Lot 4,222,000 4,222,000 (600,000) 3,622,000Terminal Advertising 224,000 224,000 (33,000) 191,000Total 11,124,370$ -$ 11,124,370$ (1,173,000)$ 9,951,370$

ExpenseSalaries, Wages and Benefits 4,457,000$ (500,000)$ 3,957,000$ (75,000)$ 3,882,000$Building/Grounds Maint & Repair 587,200 260,000 847,200 50,000 897,200Vehicle Maint & Repair 35,000 35,000 35,000 70,000Equipment Maint & Repair 338,000 338,000 338,000Contracted Services 793,750 775,000 1,568,750 (30,000) 1,538,750Professional Services 569,500 150,000 719,500 719,500Equipment Leasing 18,000 18,000 18,000Utilities 415,000 415,000 415,000Meetings & Education 161,000 161,000 161,000Air Service Development 100,000 100,000 100,000Advertising / Marketing 322,000 322,000 322,000Departmental Office Supplies 24,800 24,800 15,000 39,800Dues & Publications 18,000 18,000 18,000Insurance 386,000 386,000 386,000Uniforms 22,000 22,000 22,000Business Park Expenses 155,000 155,000 155,000Aviation Event Expenses 10,000 10,000 10,000Provision for Doubtful A/R 1,500 1,500 1,500Maint, Devel & Repair Reserve 100,000 100,000 100,000Miscellaneous - - 5,000 5,000

8,513,750$ 685,000$ 9,198,750$ -$ 9,198,750$

Net Income From Operations 2,610,620$ (685,000)$ 1,925,620$ (1,173,000)$ 752,620$

ProjectsAnnual ProjectsLand Acquisition $ 300,000 30,000$ 330,000$ 330,000$Rental Car Service Center-Debt Service (County) 414,086 414,086 414,086Prior Year Carryover ProjectsLighting Vault / Runway Lighting Replacement (AIP 53) 100,000 100,000 100,000North GA Redevelopment Project 1,140,000 1,140,000 1,140,000North Ramp Pipe Ditches 333,330 333,330 333,330Air Carrier Apron Expansion (EA Reimb, Survey, Geo Test) 250,000 250,000 250,000Terminal Expansion Contract III (Design) 300,000 300,000 300,000Air Carrier Apron Expansion (Design) 200,000 200,000 200,000Current Year ProjectsTerminal Expansion Contract II 7,500,000 7,500,000 7,500,000Terminal Expansion Contract III 16,000,000 16,000,000 16,000,000Terminal Roof Replacement 2,500,000 2,500,000 2,500,000Passenger Loading Bridges (two bridges) 1,900,000 1,900,000 1,900,000Air Carrier Apron Expansion (Construction) 4,000,000 4,000,000 4,000,000Storm Water Conveyance Parcel 1A (23rd Street) 350,000 350,000 350,000Business Park Infrastructure Improvements 400,000 400,000 400,000Additional Surface Parking Lot 400,000 (245,000) 155,000 155,000Reconfigure / Repurpose Maintenance Storage Area 50,000 50,000 50,000Demolish South Ramp Berm 60,000 60,000 60,000Upfit of Remaining Space in Flex Building 50,000 51,000 101,000 101,000Rehabilitation of PSO Paved Surface Road 80,000 80,000 80,000Concrete Islands in Rental Car Return Lot 28,000 28,000 28,000Parking Sign - 55,000 55,000 55,000Parking Lot Equipment - 75,000 75,000 75,000Employee Parking Lot Shelter - 18,000 18,000 18,000Hurricane Florence Repairs - - 580,000 580,000Hurricane Dorian Repairs - - 121,000 121,000

EquipmentVehicle (Replace Airport 8) 45,000 45,000 45,000Forklift 50,000 50,000 50,000Truck Mounted Passenger Stair 110,000 16,000 126,000 126,000Pressure Washer 15,000 15,000 15,000Retroreflectometer 25,000 25,000 25,000Total Estimated Capital Cost 36,600,416$ -$ 36,600,416$ 701,000$ 37,301,416$

CARES Act Revenue - 1,000,000Administrative Reserve 685,000 874,000Net -$ -$

Operating

Capital

Wilmington International AirportFY20 Budget

Agenda Page 13

WILMINGTON INTERNATIONAL AIRPORT (ILM)Wilmington, NC

SCHEDULE OF CHARGES, FEES & RENTS(1)

(Fees and charges applicable except where valid contracts apply andare subject to change at the discretion of the Airport Authority)

Effective 7/1/20

Page 1 of 3

DESCRIPTION FY 2021 RATES

Aircraft Parking Apron Annual Rate Negotiated$50.00 per month minimum

Automobile Parking Areas

Terminal Tenant Employees (per space per month) $12.00 Rental Car/Limousine Ready Spaces (per space per month) $30.00

Public Parking

Main Hourly - Short Term: 0 – 30 minutes Free 0 – 1 hour $ 1.00 Each additional hour $ 1.00 Maximum each 24 hours $ 24.00

Main Daily - Long Term: 0 – 30 minutes Free 0 – 1 hour $ 1.00 Each additional hour $ 1.00 Maximum each 24 hours $ 10.00

Credit Card Premium (G) Lot: 0 – 30 minutes Free 0 – 1 hour $ 1.00 Each additional hour $ 1.00 Maximum each 24 hours $14.00

Credit Card Standard (F) Lot: 0 – 30 minutes Free 0 – 1 hour $1.00 Each additional hour $1.00 Maximum each 24 hours $10.00

Credit Card Economy (H) Lot: 0 – 30 minutes Free 0 – 1 hour $1.00 Each additional hour $1.00 Maximum each 24 hours $8.00

Airline and Crew Parking

Airline Personnel and Crews Serving ILM $30.00 per month Other Airline Personnel (of airlines serving ILM) $50.00 per month

Off Airport Parking Lot Concessions 45% of gross

Ground Transportation Per Schedule

Unaccompanied Baggage Concessions (Note 4) 5% of gross

Terminal Use Fee $250.00 per use

Boarding Bridge Fee (Min $150.00) $150.00 per hour

Boarding Stair Truck $150.00 per use

Boarding Bridge Fee $1,700 monthly

Agenda Page 14




Effective 7/1/20

Page 2 of 3


Floor Rental Charges (SFY=Square Foot Per Year)

Terminal Building Counter & Queuing $42.29 SFY Office Space $24.77 SFY Inbound Baggage (Note 2) $31.73 SFY Hold Room $42.29 SFYBaggage Makeup $31.73 SFYBaggage Claim (Note 2) $42.29 SFY

Airline Operations Area $24.77 SFY

Office Buildings $5.00 to 17.00 SFY

Warehouse Space $4.50 to 12.00 SFY

Land Rents Landside acre/year subject to location and negotiation Airside - Unimproved $0.319 SFY Airside - Improved $0.374 SFY

Non-Terminal Rental Car Agency Concessions or Car Sharing (Note 3) 9% of gross -doing business on the airport or with individuals passing through the airport

Aircraft Landing Fees (MGLW=Maximum Certificated Gross Landing Weight):

Certificated Air Carrier (Part 121 & Part 135) Scheduled $2.11/1000 lbs. MGLW with $25.00 minimum Non-scheduled (Domestic or International) $2.60/1000 lbs. MGLW with $100.00 minimum

All Other Commercial Aircraft Operators $2.11/1000 lbs. MGLW With Aircraft based at Airport with $15.00 minimum Aircraft not based at Airport $2.11/1000 lbs. MGLW with $15.00 minimum

International Terminal Use Fee General Aviation $75.00 per use Air Carrier Charters and Schedule Service $150.00 per use

Airline Security Fee $565,000 pro-rated based on enplaned passengers

Fuel Flowage Fee $0.09 per gallon

Parking Citations $25.00 / $50.00

Civil Citations $100.00

Agenda Page 15




Effective 7/1/20

Page 3 of 3


Access Badge and Processing Fee Initial Enrollment (STA and Fingerprints) $40.00 Access Badge (New) $50.00 Access Badge (Renewal) $25.00 Access Badge (Late Renewal Over 24 Hrs.) $100.00

Non-Access Badge (New) $10.00 Non-Access Badge (Renewal) $10.00 Non-Access Badge (Late Renewal Over 24 Hrs.) $100.00 Upgrade Badge (Non-Access to Access) $50.00 TSA Badge, Only $50.00 Late or Unreturned Badge $250.00

Lost Access Badges 1st Lost Badge $50.00 2nd Lost Badge $100.00 3rd Lost Badge $150.00

NOTES:

(1) All fees subject to change without notice. Different rates may be in effect during eventsdeemed ‘special events’ by the Airport.

(2) Joint use space – 20/80 formula

(3) Gross Revenue for rental car agency operations shall include all cash or credit sales includingbut not limited to time, mileage, and personal accident insurance (PAI) charges for the rentaland/or leasing of vehicles to customers who pass through the Airport, without regard to wherethe customer placed the order or the Agency received the order for said vehicle and regardlessof where the vehicle is returned. Gross revenue shall include all charges made by the Agencyto its customers for exchanged vehicles regardless of where said exchange was made, whenthe vehicle is rented to a customer who passes through the Airport. Uncollectible credit saleswill not be excluded from gross revenue.

Gross revenue shall exclude gasoline; vehicle collision insurance; waiver charges which areseparately stated and collected by Agency; Federal, State, or Municipal sales, use, or othersimilar taxes separately stated and collected from customers of Agency now or hereafter leviedor imposed.

All transactions referenced above originally made to any person passing through the Airport,shall be included in gross revenue as defined herein, even though payment of the account maybe transferred to some other place for collection.

(4) The term “gross revenue” as related to unaccompanied baggage only shall include all cash orcredit transactions including but not limited to time and mileage charges for the delivery ofunaccompanied baggage acquired on Airport property. Gross revenue shall include all chargesmade by the operator to its customers including but not necessarily limited to telephone usecharges, waiting charges, etc.

(5) Airport personnel can provide additional services at rates set forth on a separate “MaintenanceDepartment Schedule of Fees” document.

Agenda Page 16

Tab 4

Business Development

• Action Items – None.

• Information Items

Update on Advertising Contracts

Agenda Page 17

Tab 5

Government

• Action Items – None


a. Annual Report to County Commissioners scheduled at August 24, 2020

Commissioner Meeting

b. State Funding from NCDOT-Aviation

– 2nd Installment of $ 498,972 received for Terminal Expansion

- Final installment of $ 3,579,948 due in July

Agenda Page 18

Tab 6

Operations & General Aviation



a. PASSENGERS:

- Total revenue passengers for April 2020 were 3,802 vs. 89,492 for April 2019 bringing

total revenue passengers down 95.75%. YTD revenue passengers through April 2020

is 199,811, down 34.6%.

- May 2020 enplanements are tracking down approximately 87%

b. FUEL: Jet A: ………………. $4.86 Avgas:………………..$5.43

c. FUEL FLOWAGE:

- April 2020: 26,468 gallons which is down 85.9% vs. April 2019

• General Aviation

Agenda Page 19

Tab 7

Director’s Report



a. Air Service Update

b. July Authority Meeting – Date and Format

c. June, July, and August Calendars (Agenda pages 28-30)

Agenda Page 20

Agenda Page 21

Agenda Page 22

Agenda Page 23

• Unfinished Business

• New Business

• Adjournment

Tab 8

Agenda Page 24

Documents

New Hanover County Airport Authority Meeting Agenda€¦ · New Hanover County Airport Authority Code of Ethics Adopted 9/2/2015 In accordance with the New Hanover County Board of