Morehead-Rowan County Airport Board
Minutes
April 25, 2013
Chairman Michael Gray called the meeting to order at 6:02 PM in the Terminal Building Conference Room at the Morehead-Rowan County Regional Airport. Other members present were Don Laferty, Jim LeMaster, Charles Derrickson, Stanley Click, Tom Fossett, Tim James, Ron Oliver, Porter Dailey, and Eric Stinson. Guests present were Tracey and Mike Potter – Fixed Base Operator; Ben Brandstetter and Tony Hardin – Brandstetter Carroll Inc.; Earl Rogers – Attorney; and Barbara Marsh – Assistant Secretary-Treasurer.
The Minutes of the March 28, 2013 meeting were presented. The motion to approve the March Minutes was made by Mr. Laferty, seconded by Mr. Stinson, and unanimously approved.
Mr. Dailey presented the Financial Report for the period ending March 31, 2013. It included three pages consisting of profit & loss detail, balance sheet, and cash flow. The all-funds balance was $177,277.18. Two governmental grants were received which will pass through to payments on projects. Income included $3,000 for the Community Day/Air Show. Expenses included state plan review costs for the proposed new T-Hangars and payment #2 for the AWOS installation. The motion to accept the March 2013 Financial Report was made by Mr. Stinson, seconded by Mr. Oliver, and unanimously approved.
REPORTS
Tracey Potter gave a report on the status of the FBO and Airport activities. She advised the status of fuel sales, grounds maintenance, and hangar activities.
Ms. Potter reported that fuel sales for the month of March were 1,292 gallons of 100LL and 2,874 gallons of JETA fuel, with a large majority of the JetA fuel being pumped from the fuel truck. The balance of remaining fuel is 4,199 gallons of 100LL and 5,232 gallons of JETA fuel.
Ms. Potter reported that the monthly community hangar report includes PHI Helicopter – $300; Josh Smith – $150, and Kevin Mays – $300, for a total of $750.
Ms. Potter reported that the terminal building air conditioner compressor had a hole in a line that released all the coolant. Bowman’s Seasonal Comfort made the repair.
Ms. Potter reported plans for another Pancake and Sausage Breakfast on May 4.
Mr. Potter reported that Eastern Aviation fuel confirmed that they would donate fuel again this year for Community Day/Air Show. Last year’s donation was 200 gallons.
Ms. Potter reported that Craig Farmer, P.E., Transportation Engineer Branch Manager, inspected the patch on the runway which Walker Construction repaired. Mr. Farmer felt that it could serve as a permanent fix.
Ms. Potter reported that Astronautical Development LLC (Kevin Brown) donated $250 toward the Community Day/Air Show.
Ms. Potter reported that Shane Caudill, the fireworks operator selected by the Tourism Commssion to administer the fireworks display on July 4, made a site visit to go over logistics.
Mr. James and Dr. Derrickson, Buildings and Grounds Co-Chairs, reported on Buildings and Grounds projects. Mr. James reported that the entire property had been driven and based on current soil conditions an additional fertilizer application was necessary in order to contain further erosion.. The cost is estimated to be $60/ton for a total of approximately $1,800. The suggested distribution is by hand using bags of fertilizer (approximately 100 bags). There is also steep terrain where material is needed. To prevent further soil deterioration, equipment will not be used.
Mr. James reported that a diesel fuel tank would save time and energy for maintenance operations. Mr. Potter reported that the Fire Marshal surveyed the project for any environmental restrictions and found none. The project includes an overhead 500 gallon gravity fed tank, with supports, at an estimated cost of $1,000. A motion to authorize the Buildings and Grounds Committee to purchase fertilizer and a tank was made by Dr. Derrickson, seconded by Dr. Fossett, and approved unanimously.
Mr. Laferty, Communications and Security Committee Chair, reported that the AWOS project was approximately one year old and that the frequency identifying letters had not been obtained yet. The FAA reported that the application had not been received. Mr. Brandstetter advised that he would research the request.
Mr. Brandstetter reported on active projects.
1. AWOS Project. Once frequency has been provided, AWI will complete the Commissioning Process.
2. T-Hangar Construction. Mr. Hardin reported that the bid opening was at 2:00 pm on 4/25/13 with Pack’s Inc. having the lowest bid of $886,000, which is $136,000 over the estimated project cost. There were no contingencies included in the base bid. The project is approximately 15% over estimate. Site work is one area where costs may be saved. Total funds for the project, if all Federal funds are received as anticipated, would be approximately $800,000. Following a discussion of options it was the Board’s consensus that the project low bid could not be accepted due to funding limitations. A motion was made by Dr. Fossett and seconded by Dr. Derrickson to authorize Brandstetter Carroll Inc. to discuss project cost alternatives with the low bidder and report to the Board at its next meeting the results. The motion was approved unanimously.
Mr. Stinson reported on the 2013 Community Day and Air Show. Air Show performers contracted to date includes Cliff Robinson and Emerson Stewart. A new sound system and electrical outlets are needed for the event. Mr. Stinson will email the donation request form to all board members in order to solicit funds for the event.
OLD BUSINESS
On a motion by Chairman Gray and a second by Mr. Dailey it was moved to enter into executive session to discuss real property related to the right-of-way request by Franklin and Judy Fannin. The Board returned to open session at 7:10 pm. There was no action taken on the right-of-way request.
NEW BUSINESS
Mr. Dailey presented the 2013-2014 budget draft. Expected revenues and expenses total $85,860 exclusive of fuel expenses and revenue and any potential new T-Hangar rental revenue or expense. There are no fund for an audit, or reserve and only limited fund for grounds and the KAA conference. Proposed rate increases include a $10 a month increase for T-Hangar rental. The Board will be required to act on the budget in May.
The surety bond insurance level for Board officers is currently $500,000. The underwriter will no longer write coverage for this amount. It is recommended that the bond be decreased to 100,000 which will provide adequate coverage. A motion to amend the By-Laws to reflect state statutes in regard to an official bond was made by Mr. Stinson, seconded by Mr. Oliver, and approved unanimously.
Mr. Gray will speak to Mr. Farmer about reimbursement for last summer’s grass mat expenses.
ADJOURNMENT
Mr. Gray adjourned the meeting 7:26 P.M.