2012-05-17 Special Meeting NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32
JOINT MEETING WITH THE AIRPORT AUTHORITY,MAY 17,2012 PAGE 386
ASSEMBLY
The New Hanover County Board of Commissioners held a joint meeting with the New Hanover County
Airport Authority on Thursday,May 17, 2012,at 8:00 a.m. in the Conference Room of the Wilmington International
Airport, 1740 Airport Boulevard, Wilmington,North Carolina.
Members present: Chairman Ted Davis, Jr.: Vice-Chairman Jonathan Barfield, Jr.: and Commissioner
Richard G. Catlin. Commissioners Jason R. Thompson and Brian M. Berger were absent.
Staff present: County Attorney Wanda M. Copley: Assistant County Manager Chris Coudriet: Assistant
County Manager Avril Pinder; Clerk to the Board Sheila L. Schult;and County Manager Bruce T. Shell.
Authority Members present were: Chairman John D. Lermon: Vice-Chairman Charles R. Kays: and
Authority Members Thomas C.Barber and hiin Roseman. Secretary Robert S.Rippy was absent.
IL,M staff members present: Airport Director Jon Rosborough; Deputy Director Julie A. Wilsey: Finance
Director James Morton: Operations Director Gary Broughton: Facilities Manager Whitney Prease and Executive
Assistant Sandra Routh.
Chairman Davis and Chairman Lermon called their respective boards to order and Chairman Lennon
requested Director Rosborough and staff to present an update to the Board of Commissioners.
Operations Director Gary Broughton presented the following update:
• Year in Review for 2011:
• 805,511 Total passengers
• Airline revenue($127,784,520)
• US Airways added First Class sei ice
• Larger aircraft
• International traffic rising(45,640 passengers in 2011)
• Year to date up 5.9%
• Fuel costs continue to challenge the industry
• General Aviation traffic down 1.4%
• International traffic at customs decreased 3%
• Interest in corporate hangars is up
• Security and Regulations:
• Aviation is a highly regulated industry
• FAR Part 139 (Airport Certification)
• 49 CFR Part 1542 (Airport Security)
• DENR/Environmental
• Efforts by TSA to eliminate one size fits all screening
• Full Body Scanners-June 1, 2012
• No shoe removal for children under 12 and on May 23,not on adults over age 75
• Future discussions on Pre-Check
• US Ainvays/Delta—ILM Station Score Card
• Foreign Trade Zone
• Changes to NHC Code, Chapter 8, Aviation, to reflect changes in IL,M policy manuals and Federal
regulations are forthcoming
Deputy Director Julie A. Wilsey presented an update on facilities highlighting the following information:
• Current Improvements:
• Terminal:
• Gate 7 passenger loading bridge
• Checkpoint expansion
• Meet and greet area
• Additional food sei ice after security checkpoint
• New credit card parking lot(318 spaces)
• Charging stations
• FAA Airfield Projects:
• Turnway pacing projects
• LED guidance signs and taxiway lights
• Airfield drainage rehabilitation
• Value= $11.5 million
• Improvements for Safety and Growth:
• 750 feet rumyay extension
• 17-35 improved visual navigational aids
• Runwav overlay on rrnway17-35
• $11.8 million over Avo years from FAA
• Stormivater Treatment:
• NCAA efforts to change DENR permitting for Airports
• Airfield enviromnent is clean and self-filtering
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32
JOINT MEETING WITH THE AIRPORT AUTHORITY,MAY 17,2012 PAGE 387
• Wet ponds attract birds and other wildlife
• Funding could be used for other improvements
• Secondaiv Water Source:
• Water system studied in 2008 for hangar/business park development
• Need and alternatives identified during transition to Cape Fear Public Utility Authority
• Secondaiv source should be available by March 2013
• Commitment from NCDOT to fiord the project-$700,000
Finance Director Jim Morton presented the following overview of the Fiscal Year 2012 budget:
• Operating Budget$6.5 million
• Capital Budget$21.3 million
• Federal Funding:
• $8 million Increase in FY 2012
• $11.8 million projected increase next rivo years
• Future Funding Challenges:
• Airline rates and charges
• IL,M cost per enplanement is$3.84
• Average cost per enplanement for a small hub is$7.00
• Maintain low cost as airline incentive
• Airline rates and charges generate$1.1 million-excludes landing fees
• Airlines would like to eliminate airport fees
• Challenge is to replace airline finding with alternative revenue streams
• IL,M Business Park:
• ILM Investments:
• Utility Infrastructure Study and Planning Documents-$40,000
• Lift Station Upgrade-$207,000
• Water and Power Line Relocation-$135,000
• Site Preparations-$53,000
• Secondaiv Water Source-$700,000
• Veterans Administration Clinic-initial economic impact$30.7 million
• Veterans Administration Clinic-annual economic impact$18.3 million
In closing, Airport Director Jon Rosborough presented the following information on Air Sei ice
Development:
• Changing Market Conditions:
• While other airports have lost sei ice, IL,M has kept and improved sei ice
• IL,M is critical to the region's economic development
• Industry is changing: higher fuel prices, phase-out of 50-seat regional jets; larger aircraft but
fewer flights
• Consolidation of carriers
• Economic Impact:
• Output impact-$641,463,200
• Employment impact in jobs-3,483
• Payroll impact-$14,069,900
• Property tax impact of General Aviation,aircraft and property-$653,200
• On the Horizon:
• Airline mergers
• Increased fuel costs
• Security improvements
• Terminal capacity study
• Foreign Trade Zone
• Capital improvements-$19,850,000
• Limited airline growth—capacity
• Charlotte hub is experiencing growth which is a positive for IL,M
After a brief question and answer period, on behalf of the Board, Chairman Davis expressed appreciation to
the Airport Authority and Administrative Staff for the informative presentation.
After hearing no further comments, Chairman Davis adjourned the New Hanover County Board of
Commissioners meeting at 9:00 a.m.
Respectfirlly submitted,
Sheila L. Schult
Clerk to the Board