HomeMy WebLinkAbout1989-11-01 Special Meeting
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MINUTES OF SPECIAL MEETING, NOVEMBER 1, 1989
ASSEMBLY
The New Hanover County Board of Commissioners and New
Hanover County Airport Authority met in Special Session on
Wednesday, November 1, 1989, at 9:30 o'clock A.M. in the Airport
Conference Room of the New Hanover County Airport, 1501 Hall
Drive, Wilmington, North Carolina.
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Members present were: Commissioners Jonathan Barfield, Sr.;
W. Albert Corbett, Jr. Vice-Chairman Nolan O'Neal; Chairman Fred
Retchin; Acting County Manager, Mary Gornto; County Attorney,
Robert W. Pope; and Clerk to the Board, Lucie F. Harrell.
Commissioner E. L. Mathews, Jr. was absent.
Authority Members present were: Chairman John G.
Paul E. Gregory; H. Thompson King III; Shirley T.
William Schwartz, and Airport Manager, Robert Kemp.
Ashby;
McQueen;
Chairman Retchin called the meeting to order.
AWARD OF LOW BID TO DICKERSON CAROLINA, INC. FOR LANDSIDE PAVING
PROJECT - CONTRACT #ENG-89-0335 - AIRPORT TERMINAL
Director of Engineering & Facilities, Ed Hilton, presented
the following bid tabulations received on October 18, 1989, and
recommended award of the low bid to Dickerson Carolina, Inc. to
pave the entry loop; public parking area; employee parking; car
rental parking; access road to the apron and alternates which
include the connector road from the old terminal to the new, and
the rental car parking access road to the connector:
BASE
ALTERNATES
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Dickerson Carolina, Inc. $2,239,763.60
Blackmon $2,245,220.00
Southern Roadbuilders $2,607,142.30
$ 71,003.00
87,940.00
104,880.10
10.6%
NR
8.6%
Motion: After discussion, Commissioner Corbett MOVED, SECONDED
by Commissioner Barfield to award the low bid (base and
alternates) to Dickerson Carolina, Inc. in the amount of
$2,310,756.60 which includes an $110,000 allowance in the bid to
provide equipment for the public parking lot. The Chairman was
authorized to execute the contract subject to approval by the
County Attorney. Upon vote, the MOTION CARRIED AS FOLLOWS:
Voting Aye: Commissioner Barfield
Commissioner Corbett
Vice-Chairman O'Neal
Chairman Retchin
Absent: Commissioner Mathews
A copy of the bid tabulation is contained in Exhibit Book
XVII, Page 35.
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STATUS REPORT ON AIRPORT TERMINAL COMPLEX
Director of Engineering & Facilities, Ed
the following status report and financial
terminal project:
Hilton, presented
overview of the
Construction Status:
1. Apron Project to be completed within two months.
2. Final construction of building by July 1, 1990. This
schedule could be impacted upon if up-grading of USAir
area is added to the terminal project.
3. Contracts to be bid: outside signage; outside electrical
work; loading bridge and landscaping.
Financial Overview:
1. Budget Summary: Active contracts and proposed contracts.
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'6 9 SNUTES OF SPECIAL MEETING, NOVEMBER 1, 1989 ( CONTINUED)
Potential Additional Costs:
1. Apron Paving Project
$140,000
$ 6,949
6,191
$ 13,140
$ 28,290
2. Upgrading of Administrative Area
(Plus Additional Equipment)
3. D.O.T. Project Bid Award
1. Landside Paving Contract
2. Signage Contract
$200,000
60,000
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Additional Monies Available After Award of Bids:
Director Hilton stated potential additional costs will not
be known until all contracts are awarded and completed; however,
Staff feels that funds are available within the current budget to
complete the project and have additional monies for other desired
items.
PRIORITY ITEMS FOR NEW AIRPORT TERMINAL
Airport Manager, Robert Kemp, presented the following
priority items to be considered for the new Airport Terminal if
additional funds become available:
1. Part 107 Security System Allowance $ 30,000
2. Emergency Generator (to be negotiated
at no additional cost) -0-
3. Floor Finishes $ 10,000
4. Furnishings $100,000
5. Administrative Level Modifications $119,000
6. Interior Landscaping (allot a portion -0-
of landscaping budget to be used for
interior needs at no additional cost.)
7. Telephone System Allowance $ 80,000
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Airport Director Kemp commented on concession improvements
stating basic items such as HVAC units, grills, etc. are
currently the vendor's responsibility and have caused potential
clients to lose interest in leasing space due to costs involved.
He stressed the importance of generating revenue from concessions
and recommended including these capital items as part of the
building package in order to negotiate more favorable contracts
wi th perspective vendors. He also commented on the low bid of
$108,000 as a very reasonable price for a second baggage conveyor
stating this item would be of tremendous value in handling
baggage if the other conveyor malfunctions; however, it is not
essential at the present time.
Director of Engineering & Facilities, Ed Hilton, recommended
immediate approval of the following items with consideration of
other items after the final bids are received in December:
1. Part 107 Security Allowance $30,000
2. Upgrade for Phase I of the
Administrative Area $13,000
3. Floor Finishes $10,000
4. Incorporate into landscape budget funding
for interior landscaping.
5. Approve telephone allowance when completed
completed by County Staff. Cost to be
determined.
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Other Items to be considered after bids are received
in December:
1. Furnishings
2. Phase II of Administration
Level Modifications
$100,000
$106,000
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MINUTES OF SPECIAL MEETING, NOVEMBER 1, 1989 (CONTINUED)
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3. Second Baggage Conveyor
$110,000
Airport Director Kemp agreed with the list of priority items
as presented by Director Hilton stating the main concern of the
Airport Authority is to open the new terminal on the targeted
date of October 1990 with no delays due to design work or
completion of construction. He encouraged the County Staff to be
cognizant of the design work that will be required for Phase II
of the administrative area so the terminal can be opened as
planned.
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Chairman Retchin, on behalf of the Board, complimented the
Airport Director for an excellent presentation. Director Hilton
also expressed appreciation to the Airport Director and members
of the Airport Authority for their cooperation and effort given
in support of this project.
AUTHORIZATION FOR AIRPORT AUTHORITY TO UTILIZE REMAINING FUNDS
FROM THE AIRPORT TERMINAL PROJECT
Discussion was held on approving expenditure of funds
without knowing the actual amount of monies that will be
available when the Airport Terminal project is completed.
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Director of Finance, Andrew J. Atkinson, commented on cash
flow stating the monies listed in the Financial Plan will be
collected over the next three years and will become avallable;
however, during this period of time the County could experience a
tight cash flow depending upon the sale of bonds and debt
service. If the County does not sell bonds in this fiscal year
or the next fiscal year, General Obligation Bonds (GOB) can be
sold for the Airport; however, with the upcoming referendum for
the $5,000,000 Parks & Recreation/Senior Center bond issue, it is
likely that bonds will be sold within this or the next fiscal
year which will delay the sale of GOB bonds for the Airport until
a 2/3 debt service figure has been met.
Further discussion was held on funding. Director Hilton
stated another funding possibility that could occur would be
replacement of entitlement funds committed by FAA with
discretionary funds at the end of the federal fiscal year.
Commissioner Barfield stressed the importance of opening the
terminal as a first-class facility and encouraged funding support
of interior landscaping and furnishings.
Motion: After discussion of no definite way to determine the
additional monies that will be available after completion of the
construction project, Commissioner Barfield MOVED, SECONDED by
Vice-Chairman O'Neal to authorize the Airport Authority to
utilize additional funds from the Airport Terminal project
working with the County Staff in prioritizing items to be
included in the project as monies become available, and reporting
to the Commissioners the budgeted funds being appropriated for
inclusion of the items approved. Upon vote, the MOTION CARRIED
AS FOLLOWS:
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Voting Aye: Commissioner Barfield
Commissioner Corbett
Vice-Chairman O'Neal
Chairman Retchin
Absent: Commissioner Mathews
COMMISSIONER O'NEAL EXCUSED FROM THE MEETING
Commissioner O'Neal left the meeting at 10:45 o'clock A.M.
DISCUSSION OF USAIR OCCUPANCY IN NEW TERMINAL
Director of Engineering & Facilities, Ed Hilton, stated
after meeting with USAir, it is estimated that $725,000 of
improvements will be needed for USAir to occupy the new terminal.
He stated initially financial agreements were to be negotiated
between the Airport Authority and USAir under installment
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69t8NUTES OF SPECIAL MEETING, NOVEMBER 1, 1989 (CONTINUED)
financing provided by N.C.G.S. 168-20; however, after discussion
with Bond Counsel, the statute does not allow Airport Authorities
to be eligible for this method of financing.
Director of Finance, Andrew J. Atkinson, stated two methods
of financing are available: (1) issuance of revenue bonds by the
Airport Authority, which is a quite costly and complicated
method; or (2) allow the County to negotiate a tax exempt
installment financing agreement with USAir. Further discussion
was held on installment financing with emphasis being placed on
properly informing USAir that all improvements and equipment will
be owned by New Hanover County.
County Attorney Pope stated after conversation with Bond
Counsel, he feels the installment financing method will be
recommended and requested authority to proceed with this method
of financing when notified by Bond Counsel.
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Motion: After further discussion, Chairman Retchin MOVED,
SECONDED by Commissioner Barfield to authorize the County
Attorney to proceed with the financing mechanism recommended by
Bond Counsel for improvements of the area to be occupied by USAir
in the new terminal. Upon vote, the MOTION CARRIED AS FOLLOWS:
Voting Aye: Commissioner Barfield
Commissioner Corbett
Chairman Retchin
Absent: Commissioner Mathews
Vice-Chairman O'Neal
Discussion was held on amending General Statute
N.C.G.S.168-20 to include Airport Authorities. The County
Attorney was requested to check into this matter and report back
to the Board.
DISCUSSION OF IMPROVEMENTS FOR OCCUPANCY OF AMERICAN EAGLE
Airport Director Kemp stated the Authority has not received
notice from American Eagle as to how they will take care of their
improvements for occupancy of the new terminal. A status report
will be forwarded to the Commissioners when notice is received.
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DISCUSSION OF FINAL SETTLEMENT AGREEMENT BETWEEN NEW HANOVER
COUNTY AND JETSTREAM AERO SERVICES, INC.
County Attorney Pope requested the Board to authorize the
Legal Department to furnish the Airport Authority with an
executed copy of the final settlement agreement with Jetstream
Aero Services, Inc. since the County agreed to ask the Authority
to give full and fair consideration to requests by Jetstream as
listed in the settlement.
Consensus: It was the consensus of the Board to authorize the
Legal Department to forward an executed copy of the settlement
agreement with Jetstream Services Aero, Inc. to the New Hanover
County Airport Authority.
DISCUSSION OF DIFFERENCE IN ELEVATION BETWEEN THE PARKING LOT AND
MAIN FLOOR OF THE NEW AIRPORT TERMINAL
Airport Director Kemp stated there will be a difference of
six (6) feet in the elevation between the parking lot and main
floor of the new terminal. Options for vertical transportation
between the elevations are not economically feasible; however if
monies become available, an effort will be made to raise the
elevation of the parking lot to minimize the difference.
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DISCUSSION OF SCHEDULING ANOTHER JOINT MEETING
Commissioner Corbett commented on the excellent project
report and recommended scheduling another joint meeting with the
Airport Authority in order to stay informed on the progress of
the building and activities of the Authority.
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MINUTES OF SPECIAL MEETING, NOVEMBER 1, 1989 (CONTINUED)
6199 .,
Consensus: After discussion it was the consensus of the Board to
schedule a joint meeting in January.
DISCUSSION OF LEAKS IN ROOF OF NEW AIRPORT TERMINAL
Authori ty Member, William Schwartz, commented on leaks in
the roof of the new terminal and requested that attention be
given to this matter immediately.
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Director of Engineering & Facilities, Ed Hilton, stated
Miller Building Corporation has been notified of the leaks and is
in the process of correcting the problem. After discussion of
the importance of correcting the leaks before inside work is
performed, Director Hilton stated he would forward a status
report on the repairs to the Board of Commissioners and Airport
Authority.
DISCUSSION OF USAGE FOR EXISTING AIRPORT TERMINAL
Commissioner Corbett asked how the existing terminal will be
used when the new terminal opens.
Airport Director Kemp stated interest has been expressed by
several airport related businesses, particularly U. S. Customs,
for rental of the building; however, no definite plan has been
developed by the Authority as to how the terminal will be leased.
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DISCUSSION OF REQUESTING THE N. C. DEPARTMENT OF TRANSPORTATION
TO CONSTRUCT A SPUR OFF OF HIGHWAY 1-40
Airport Authority Chairman Ashby commented on the
availability of federal funds to connect airports to interstate
highways stating after contacts with the Governor and N. C.
Secretary of Transportation, no definite answer has been received
as to whether these funds would be available to the Airport. He
stressed the importance of providing a spur from I-40 to the
Airport and requested Commissioners Corbett and Barfield to
discuss this matter with Secretary Harrington when meeting with
him today.
Chairman Retchin commented on the possibility of utilizing
the above referenced federal funds for construction of a portion
of Smith Creek Parkway which will serve as an I-40 connector to
the Airport and requested Commissioners Barfield and Corbett to
discuss this idea with the Secretary of Transportation.
DISCUSSION OF ODOR FROM THE CITY OF WILMINGTON'S NORTHSIDE WASTE
TREATMENT PLANT
Authority Member, Tommy King, commented on the odor from the
City's Northside Waste Treatment Plant stating after approaching
the City for some method of resolving this problem, they
continually answer that no definite decision can be made until
the County decides if they are going to participate in funding an
upgrade of the plant. Acting County Manager Gornto stated this
decision has been made.
Authority Member, William Schwartz, stated if the bond issue
passes on November 7, 1989, the City will have ample funds to
resolve this problem.
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DISCUSSION OF MARKETING EFFORT BY AIRPORT AUTHORITY
Authority Member, Shirley McQueen, stated the Authority has
contacted a public relations firm to study and review the best
way to proceed with marketing of the airport in the eastern and
southeastern portions of the United States.
Airport Manager Kemp commented on a meeting held with local
travel agencies and travel related businesses stating they were
very supportive of promoting the airport. He stressed the
importance of marketing stating many people are not aware of our
U. S. Customs facility.
DISCUSSION OF NEWLY FORMED AIRPORT AUTHORITY
Commissioner Corbett asked if the Airport Authority is
comfortable with their new role and if they feel the
Commissioners have granted the necessary powers and flexibility
to effectively operate the Airport?
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.- .7 ~ES OF SPECIAL MEETING, NOVEMBER 1, 1989 ( CONTINUED)
Airport Authority Chairman Ashby stated he is quite pleased
and complimented Ed Hilton and the County Staff for their
cooperation and assistance.
Authority Member, Tommy King, stated he has been amazed at
the smooth transition and complimented the Airport Staff for an
excellent job.
Commissioner Barfield stated in his 10 years of serving on
the Board of County Commissioners, the Airport Staff and County
Staff are working cooperatively together with all negatives
removed. He complimented members of the County Staff, the
Airport Director, and members of the Authority for an excellent
job during this transition stating he feels the Airport is moving
in the right direction.
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Authority Member, William Schwartz, expressed
to the Commissioners for their confidence in
Authority stating their goals will be accomplished.
appreciation
the Airport
Authority Member, Shirley McQueen, complimented Airport
Authority Chairman Ashby for creating committees to address
specific areas with each Authority Member being assigned to chair
one of the following committees: (1) Building Committee; (2)
Personnel Committee; (3) Finance Committee; and (4) Public
Relations. She stressed the importance of studying and
researching issues before making decisions stating these
committees have been a beneficial tool in providing pertinent
data to the Authority.
DISCUSSION OF PROPOSED HOTEL - AIRPORT
Commissioner Barfield asked if any action has been taken by
the developer who was interested in constructing a hotel at the
airport? Airport Chairman Ashby stated a meeting has been held
with a large hotel chain with.no definite commitment as of this
date; however, two Charlotte hotel chains and one Raleigh hotel
chain have contacted the Airport indicating an interest to
located on the Airport.
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DISCUSSION OF RECRUITING ANOTHER MAJOR AIRLINE
Authority Member, William Schwartz, commented on traveling
to Dallas and Atlanta to recruit another major airline stating
hopefully this effort will promote inquiries and eventually bring
a positive response.
DISCUSSION OF PROPOSED AIR SHOW
Discussion was held on sponsoring another air show with
hopes that a military jet team will perform; however, no definite
plans have been finalized.
ADJOURNMENT
Commissioner Barfield MOVED, SECONDED by Commissioner
Corbett to adjourn. Upon vote, the MOTION CARRIED AS FOLLOWS:
Voting Aye: Commissioner Barfield
Commissioner Corbett
Chairman Retchin
Absent: Commissioner Mathews
Vice-Chairman O'Neal
Chairman Retchin expr.essed appreciation to the
Authority and Airport Manager for a very informative
report and adjourned the meeting at 11:20 o'clock A.M.
Airport
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Respectfully submitted,
Cfk~~
Clerk to the Board
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