CHESAPEAKE AIRPORT AUTHORITY MINUTES May 11, 2011

The regular meeting of the Chesapeake Airport Authority was held on Wednesday,

May 11, 2011 at 7:00 p.m., at the Chesapeake Regional Airport, Chesapeake, Virginia.

CALL TO ORDER
Mr. Lee Lowder declared a quorum present and called the May 2011 meeting to order at 7:00 p. m.

MINUTES
After review of the minutes, a motion was made and passed unanimously to accept the minutes from the April 2011 meeting.

TREASURER’S REPORT
Mr. Burke Craver stated that he had reviewed the financials and found everything to be in order. Mr. Lee Lowder asked Mr. Joe Love if we had any over due receivables. Mr. Love stated that we do have a few that are late for the month of May. Usually, we do not have any trouble with the tenants paying their rent. Mr. Tom Love asked how many hangers are empty at this time. Mr. Love stated that in April we have one open hanger and as of the meeting date we have three empty hangars. Mr. Lowder wants Mr. Love to keep a count of why people leave and where they are going to help us determine if we have a problem keeping the hangers filled because of something that we are doing. Mr. Love stated that the funds for the Fire Suppression project from the City’s Small Grants Fund have been put into our account and that we have asked them to cut us a check. We have given the contractor a notice to proceed. A motion was made, seconded and passed unanimously to accept the financials for the month of April 2011

INVOICES
Mr. Joe Love went over the invoices for the month: Talbert & Bright $3,122.50 (North Terminal Environmental), $1,627.18 (Obstruction Removal/Silvi); City of Chesapeake $33,284.04 (Stormwater Fees); Sitework South $7,287.93 (Fire Suppression); and Kaufman & Canoles $1,244.92 (General Matters). A motion was made, seconded and passed unanimously to accept the treasurer’s report and the invoices for the month of April 2011.

NEW BUSINESS
Nominating Committee
Mr. Lee Lowder stated that its time to name a nominating committee to determine the slate of officer’s for the next term and asked Mr. Burke Craver and Mr. Tom Love to serve on that committee. Both members concurred.

AIRPORT MANAGER’S REPORT
Sign Easement
Mr. Joe Love stated that the easement was signed and submitted to the court for recording. We haven’t received the recorded deed yet. That will go to the state to show them that we have the easement for the land. We should have the final numbers for bid solicitation in August.

Sequence Flasher Lights
Mr. Joe Love stated that this is a Honeywell system, and has problems on a regular basis. Last week the state installed a replacement lighting system manufactured by Strobe Approach Lighting System, LLC.

Glide scope
Mr. Joe Love stated that we have been having problems with the glide scope lately. The state technician discovered that the equipment had been overheating due to the window air conditioner not operating correctly. The technician replaced the thermostat to correct the problem.

Geese
Mr. Joe Love stated that we had been having problems with geese and have eradicated nine and the rest seemed to have moved away.

VOAC Spring Workshop
Mr. Joe Love stated that the guest speaker at the VAOC luncheon was the Virginia Secretary of Transportation. He discussed money that had been put aside for loans for transportation infrastructure projects. Mr. Love found out that this money could be used to build hangars and pay off our outstanding bonds. This program will not be available until after July 1st when program guidelines are expected to be released.

Tenant Appreciation Day
Mr. Joe Love stated that he had discussed with Mr. Lee Lowder that we have a tenant appreciation day. We could have a cookout as well as some prizes for the tenants. We could have members of the board help with the cookout. Mr. Love asked if June 18 would be a good time for this project, and there was a general agreement to proceed with planning for that date with the Marketing Committee.

ACIP
Mr. Joe Love stated that Mike Swain had asked for a copy of our engineering contract with our engineers. He stated that the maximum time for those kinds of contracts is one year with two one-year extensions. We will have to re-do our contract next spring.

FBO REPORT
Mr. John Beaulieu discussed an international event that they will be participating with Cessna on May 21st.

TALBERT & BRIGHT reported by Steve Peterson
Silviculture (Obstruction Removal)
A meeting was held with the contractor and the Virginia Department of Forestry. The site is drying out and the forester has agreed to let the contractor go back to work. It is expected that they will start back the first week of June. There is about 45 more days left of clearing in first phase of the job.

Land Acquisition (RPZ RW 5 Approach)
The appraisal work is completed. The final documents are being put together and sent over to the review appraiser. The review appraiser will have 30 – 60 days to prepare is review and issue a report. Once this is complete the documents will be forwarded over to Kaufman & Canoles to begin negotiations with the land owner.

North Terminal Area (Wetland Credits)
The FAA has given us the go ahead to work towards issuing an RFP for the acquisition of the necessary credits for the future wetland disturbance in the North Terminal area. Our environmental consultant is preparing the advertisement now and we will be advertising in the next few weeks.

CHAIRMAN’S REPORT
Mr. Lee Lowder stated that the board couldn’t have a closed session with Mr. Andy Johnson concerning his SASO agreement and Maintenance Request. Mr. Lowder stated that he can address the board if he would like. Mr. Andy Johnson stated that he doesn’t have anything to put before the board at this time.

Mr. Robert Ziengenfuss asked if there had been any problems with the AWOS giving erroneous reports. Mr. Love stated that he hadn’t had anyone report that kind of problem. Mr. Love stated that if there is a problem then he will report it to the stated for them to send Austin Electric out to check it. Mr. Love stated that he will look into it.

Mr. Julian Jackson stated that Hampton Roads Executive had their grand opening of their terminal. Mr. Jackson stated that it was nice.

Mr. Lee Lowder discussed getting a document executed with the Hunt Club. Mr. Lowder stated that he hopes to have a signed document before the next meeting.

Mr. Lee Lowder stated that he may have an opportunity to have a work session with the city council. Mr. Lowder hopes to use this opportunity to give them a state of the airport address and to talk about how the airport does help the City of Chesapeake and how the City can improve their support of the airport so that the airport is even more valuable for the City. Mr. Lowder asked the board members to send him any ideas, comments that can be used for this work session. Mr. Joe Love stated that the state’s economic study will be out soon and may be helpful in Mr. Lowder’s presentation to the council. Mr. Love stated that he will find a way to expedite the release of this study.

Mr. Lee Lowder praised Brian Hough of Horizon Aviation in the way that he markets Horizon through his emails to customers. Mr. Lowder said that Tidewater Flight Center is also doing a great job through their email marketing.

Mr. Lee Lowder discussed safety issues and feels that Horizon and Tidewater Flight Center should come together to talk about any safety issues that may arise more often to enhance safety at the airport.

OLD BUSINESS
BOND REFINANCING PRESENTATION (JIMMY SANDERSON -DAVENPORT)
Mr. Jimmy Sanderson and Mr. David Rose of Davenport & Co. handed out copies of a Power Point presentation and discussed the current bond and the particulars with that bond and the opportunities to lower the debt service. Mr. Sanderson discussed different scenarios that the authority could use to lower the debt service through the Revolving Airport Loan Fund of the Virginia Resources Authority (VRA). Mr. Kurt Kennedy stated that before we borrow any additional money we need to have a plan on what we are going to build. Mr. Sanderson agreed and stated that is why they are there to educate the board on the different choices they have in refinancing the debt service. In answer to a question from Mr. Tom Love, Mr. Sanderson noted that the existing bond issue could be refinanced at this time without jeopardizing the Authority’s ability to finance additional funds for hangar construction through VRA. A motion was made to have Davenport proceed with refinancing the existing bond debt as presented. The motion was seconded and passed unanimously.

Mr. Lee Lowder asked Mr. Joe Love to come up with a list of uses for the funds and the revenue that these projects could generate before the next meeting.

ADJOURNMENT
There being no further business, a motion was made, seconded and passed unanimously to adjourn the meeting.

 
Leander M. Lowder, III
Chairman

The minutes are summary in nature and are not intended to be an exact transcript of the proceedings. The Authority maintains an audiotape of the meeting.