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Home My WebLink About2026-03-10 Special Meeting NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 36 SPECIAL MEETING,MARCH 10,2026 PAGE 780 ASSEMBLY The New Hanover County Board of Commissioners met for a Joint Special Meeting with the New Hanover County Airport Authority on March 10, 2026, at 8:30 a.m. in the Airport Terminal Conference Room, 1740 Airport Boulevard,Wilmington, North Carolina. Members present: Chair LeAnn Pierce (and Airport Authority member); Vice Chair Dane Scalise; Commissioner Bill Rivenbark;Commissioner Stephanie A.C.Walker;and Commissioner Rob Zapple. Staff present: County Manager Chris Coudriet;Clerk to the Board Kymberleigh G.Crowell;County Attorney K. Jordan Smith; Chief Financial Officer Eric Credle; Chief Communications Officer Josh Smith; and Executive Aide Crystal Whittaker. New Hanover County Airport Authority members present: Chair Nick Rhodes;Vice Chair Jason Thompson; Secretary Faison Gibson;Wanda M. Copley;Andrew Jones;and F.Spruill Thompson. Wilmington International Airport staff present: Airport Director Jeffrey Bourk; Deputy Director Robert Campbell; Marketing; Executive Assistant Rose Davis; Air Service Development and Public Relations Manager Erin McNally;Operations Manager Kenny Smith; and Facilities Manager Keaghon Stark. Chair Pierce and Chair Rhodes called their respective Boards to order, reporting that the purpose of the meeting was to hear the New Hanover County Airport Authority's annual report on Wilmington International Airport. 2026 ANNUAL REPORT PRESENTATION Wilmington International Airport(ILM) Director Jeffrey Bourk presented the annual report as follows: 1/ 2026 Annual Report presentation: • Performance recap: Year ending December 2025 enplanements Year ending December 2025 departing compared to 2019 enplanements seats as a percent of 2019 i,000.000— 180% eoo.000— ,��— 67%Increase aoa,00a— 113% 107% soo,aoo— 300000 too,000— 2019 2025 Enplanements ILM North Carolina United States Airports Airports Source:Cirium schedule data for seats and Source:Cidum schedule data for seats. internal ILM enplanments data. Passenger Enplanements by Airline Monthly Passenger Enplanements (January-December) (2022,2023,2024,2025) CalendarYTDCumulativeTotal aa0000— 930400— eaonao— 7soaaa— aMN Naaa 2aaaaa— °s°.°°° raam 4aoaao— ssoaao— saomo— 4oaoo 4s0000— — 4aoaao— as0000— soam ueo — 22saom— 4a000 mam 2m4 jr—— 2023 OA00— 2022 2024 2025 macro �Amerlwn Delta �Avelo United�Breere filet Blue JJ�$un Country ux � M2-A nvP �� Auc � an nov 1 SEAT CAPACITY FEBRUARY-AUGUST Thousun dsoftotal Fats(IRboundand outbound) ■M22 M2023 ■2024 111M25 11.2F FEB MAR APR MAY JUN JUL AUG NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 36 SPECIAL MEETING, MARCH 10,2026 PAGE 781 • Low-cost service results in average demand stimulation north of 200%: WILMINGTON'S NEW LOW-COST MARKET STIMULATION,JULY 2022 TO NOVEMBER 2025 Passengers daily each way for 2022-25 months in service vs.demand in year prior to service fcolumns) and percent stimulation(dots) 154 3-0 26S% 2087. 163% 40 151% In% 203% 209% 146% 81% 85 66 69 60 49 51 41 j 27 j 18 26 12 BDL BNA BOS BWI FLL HVN ILG ISP MCO MSP PVD ROC RSW TPA e Pre Nonstop •Post Nonstop •siircubficn% • —90% local stimulation on new legacy nonstops: ILM LEGACY NONSTOP STIMULATION FROM 2018 TO CURRENT One year pre and post nonstop passengers daily each way(columns)and stimulation percent Idoh) 51 33 ® d � _ __ ____ _ _ _ YL es B IS II OCA DFW EWR MIA • Potential demand materializes at ILM: ILM AND PEERS YEAR OVER YEAR SEAT GROWTH AND ONBOARDS GROWTH For years ending October 2025 Ys October 2024 L ul� 11 ILM EWN FAY ON G$0 PGV RDV MYR CLT AVL •seafpr—yr/yr .0r1a rtlzgr Ih,,1W ,o,.,.nor rirom,,..,uom.nir,nn raoncnrwimcmw iryan4vvs • Route map: We're Packed with Nonstops. �~ o m aUelwC .A jetBlue e��1n ..M,.•� �,..,„.� � „Nl,eaa dkb • Forecasts: • Passenger demand forecast: 1,600,000 Historical Forenst 1AW,000 1,200,000 c 1,O0O,W0 E BOO.OW w 600,W0 2025 FAATAF 400,W0 ILM Base Forecast ILM Optimistic Forecast 200,Wo 2020 2025 2030 2035 2040 2045 • Forecast summary: Based Aircraft Fleet Mix 2o25 FAATAF Forecast )96436 85),627 963,599 1.019A58 1,126b76 ILM Base Forecast W7,753 BSO WO I 969 W0 I 1117A00 1,356A00 Single-Engine Piston ILM Optimistic Forecast 907,753 908,000 1,033,000 1,19s,xie 1$10,000 Multi-Engine (Pntonand7urbopropl 2024 Irineranr Jet Airline M77 23,3W 24200 24,400 24,600 Helicopter Air Cargo 7W 9W 9W 9W Other AwTa.i 6,7W 7AW BA00 10,4W GenemlAWafion 34,W0 36AM 38,000 42W0 Military 6,000 6,000 6,W0 6,000 Subtotal 0,7W 74,500 77,7W 83.9W I-R1 Geneml Aviation 22,000 24AN 27,0W 34,DW Mllhary 3,000 31000 3,000 3,OW Subtotal 5AOD 27.000 30.W0 37,0W Tetelopenni— 6,7W 101,500 107.7W T20.900 2643 Peak Month BA55 91/6 1774 10,372 11,613 Busy Day 390 406 430 456 512 Design Day 29S 307 326 346 388 Design Han 28 29 31 32 36 Single-Engine%stun 67 82 87 104 Mul[FErgine(PisronaMTurboprop) 11 /5 17 >4 Jet 21 - Helicopter B 11 14 20 L Tate'er AYR9N -T .1i 134 149 1. F _ NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 36 SPECIAL MEETING,MARCH 10,2026 PAGE 782 • ILM Capital Plan: • 2026 active airport capital construction and design projects: 0 Road,Curb,Parking $134,256,781 1 Airtield-Runway 6-24 Rehab $25,061,000 aPmiase.4w nJnom„ /Commercial Terminal Ramp $12,795,000 Terminal Phase 6 $36,662,000 HYoii»EamuM IMi! r 1 GARamplmpnwements $500,000 1 East Ramp GA Utilities $1,100,000 n9mua E¢ _ 1 Hall Drive Extension $3,000,000 123itl Street Widening $1,000,000 coae+ava"d>am"9 1 ILM Wetlands $2,000,000 1 Land Acquisition $3,000,0.0 Ram Airport Master Plan $1,000,000 eo�.d ea9RaR: /Noise Study $1,100,000 aRORaanv�=�waca '= 1 Outbound Baggage $3,500,000 /Inbound Baggage $12,800,000 1 Contingency $5,000,000 xaJ 1 Taxiway Bravo Rehabilitation $500,000 }}•T„a., 1 2n°Parking arkin Garage $500,000 Total Air ort Ca ital Projects $243774781 1 Total Tenant Capital Projects $250,000,000 Total Airport-Wide Capital Projects $493,774,781 •.LM's oce inves,ment si ce 2022.Mroeeh,heend of thi—l',,c ,LM Proem..will be$300M •OfMe$134,256.781,ILM hes spent eoe.oximecelv$40M • Parking development: • Overall:substantially completed by Summer 2027 • 2032 or 2033:Second parking garage anticipated. Location able to support four floors(up to 1,500 spaces)at an estimated cost of$50 million.This can be adjusted as needed. • Terminal Phase 6 project will enable 1.9 million enplanements: • ILM Commercial Terminal Ramp construction start date:Summer/Fall 2026 • Inbound and outbound baggage projects: • Inbound project cost: $12,800,000 • Outbound project cost: $3,500,000 • Airfield project cost: $25,061,000(over three phases): • Runway 6-24 rehabilitation: • Phase 1—Fiscal Year(FY)2026: $5,555,556 • Phase 2—FY 2027: $7,005,698 • Phase 3—FY 2031: $12,500,000 • East Ramp general aviation utilities project cost: $1,100,000: • East side utilities project update: • Sewer Main: • Currently under construction • Anticipated completion:Spring 2026 • Water Main: • Ardurra is working with ARQ on finalizing limits of water main to get it extended past proposed pavement limits for ARQ Phase 1 • Currently under construction • Anticipated completion:Spring 2026 • Roadway improvements project costs: • Hall Drive: $3,000,000 • 23rd Street: $1,000,000 • Capital program schedule: • Budget:$234,774,781 Roa4<w4 PaeEYg -.•., !'Tfr'.R/IAEIR- L® Commer.ial ia,ml,ul Ramp a,.vr, ® »dY ��Ltiaar CuP Na 74) Y,6DDr,0eappapa ONbw,M9apgagE E ,rvxa 6l �J.wrbn Ynprwemem. Ea„RampW MMY P,gn1 .•y®'' i' aRaJw4lmpovFmnb .. }�N Tr,wr lmpore„w,ta Nrpon W r»r PYn apda» jjjjjjjjjjjjjjjjj■ .<ERD..r,TDNa»T,.dY � NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 36 SPECIAL MEETING,MARCH 10,2026 PAGE 783 Road.Curb.Parking ssmo0,000 $63,000000 $12AS6781 SI,o00000 SI34.256.181 Commercial Terminal Ramp $6,787.500 S6.007.500 - - S12.795000 Terminal Phaw6 $285.000 5250,000 2465,000 S141".000 521.062.000 $36.652.000 Inbound Baggage - - 5S.100,000 $7.700000 - S12,800.000 WlbouM Ba99aga S1,756000 $L-Am S3.50o.o00 AIr6eW S750.000 S4,805.300 S7,005,700 smsoum S25.061.000 GA Rampimprovements $250.000 $250.000 - - '- I 1500000 East Ramp GA Utilities 5330000 S770.000 - - r�_I SI,11p.000 Roadwaylmpovemenls 51,000.000 S6110A00 52,000,000 S400,000 -=I $4,000,000 ILM Wetlands S150,000 S1.250.000 Land Ac9visnan - - - - - $1,000.000 - 53.000.000 Airport Master Plan 51.000,000 S1.0wow Noise Study 5555000 SW,_ S1.100000 Taxiway 8-RNabillta S500A00 $500.000 i^'Pahbg Garoq< S500A00 M..000 Conlin ,ICommon use and Outbound TSA Bog Upgrades) - - Is.000.P70 - - - 55000.000 • Revenue/Expense forecasts: Enplarsements 850.500 893.025 937,676 955.807 9 1,781 901,000 9a3,280 981,011 1,010A42 1,040,7SS Operating It- 8-e N,k 53A70A36 54,558.621 SSA97S16 SSA91201 S&123299 S3A70A36 5455&624 55,097.516 55.09120i S5.123.299 A-- 5255L936 52520.000 S2,S5]800 $25%167 $263&t 10 $2.552.926 $2520A00 $2557,800 S2.5%I67 52,635,110 ierminY $15978,835 S16A74,450 $16,878,173 $I7,WSI8 S/7,90&053 $16842,990 $169791M SI7A5&202 51&187.90 $1&733.586 TorP10prrming 8everwe 521,501,797 523,IS3A74 $24,S33A69 $23,07IA87 $21,66MV $2Z465,952$ZW7A64 S25,313,516 S25,87"17 $26491,995 Operating Expense $16A912SOI$17.671.619 S111,201,7671$1&747,8201$19,310255 $166911SO!$17.671.619 S18201,767 $18.747AM $19.310255 NN 0peraUn9 l- $481OM7 SSABIASS -1,121 $631- 11.714.712 56386MS 17,111,750 17.117A% $11.1.740 Operating Profit Mwgln 22A% aft 258% 253%I 56354207 2411% M7%1 211,5116I 2&1%I 27.5% 27.1% Debt Service IS2,312.500),(S2.221,250)i - (S2.312.500) (S2.221,250) - - - Net AvdllablP for Capital ExpendlI= S2,4980471 S3.260AS S6.331,721 S6,324,066I S6354207 S3462.202 $4,164.795 11111.7. $112. 57.181,740 Amount Carried Forward to Estimated Capital Program cash Flow I 52.0W,000 S34COM SIA00.000 $40&000 S4,0W= S2AOOA00 SUMA00 S4XM*a $4000Ao0 $4.000A00 • Small Hub benchmark: Enpianernents 1,169.508 506.898 1,104,S23 SIZ329 1.031,930 609.9SO 1.139.646 686.313 907.753 Food.beverage.and retaitAPAx 1A4 046 1.29 035 1.28 0.17 1,52 1,07 1.% Parking and ground tranlsportatiaVEPAx 11,27 1215 13.58 1280 13." 12.96 13.]6 13.09 12.04 Other operating revemle/EPA% 3.37 2V 3.75 093 3,80 3.92 3.38 4.25 3.90 Tool/EPAx 16.07 IS.74 18.62 1457 18.60 1785 18.67 18,40 17,31 passenger airline cost per enplariement 7.28 423 7.24 4.78 7.61 4.31 8.53 3.85 382 Total debt 62.432.947 3A50A00 58.221,304 44MAOS 4&966166 U%798 57.937.897 7579577 5,638220 Debt uedce(eadudkg coserage) 5.768A44 384296 5.112.012 2.702199 1.1-71 2,61%120 5.220b95 2530,431 2A46A85 Unespktedcash and lrNeslmenls 133,751,1SB 31543A22 41.914,309 46970,490 48.063.764 57,95803 47.177.569 81,990,428 67,9S2313 p,Acnhonh.W 550 15W 653 1,983 771 1,9% 664 2246 1,593 Total PayTull 10.068652 4,293,6SO 10,337.28S 4,193,816 9.884,016 4,657,182 11,846.211 S.183,1S0 S.784,240 Total Employees 115 48 107 49 93 47 108 49 50 Mr. Bourk stated that ILM was producing comparable revenue while charging airlines significantly less than peer airports, approximately $4 compared to industry averages of about $8.50 to $10. He stated that low airline costs were important in attracting and retaining service. He further noted that ILM operated more efficiently than many peers,with just over 50 employees compared to an average of approximately 108 employees at similar-sized airports.Airport Authority member Thompson commented that the airport's rates and charges were a major reason airlines chose ILM and described the organization as one of the most financially prudent with which he had been involved. Mr. Bourk then provided an overview of the business park, explaining that its revenue supported airport operations overall and helped keep airline rates low. Without the business park revenue, the airport would have approximately$3 million less annual revenue and would need to pass that cost onto airlines. He then reviewed the airport's noise impact study,which had been funded by a$1 million grant. He explained that the study had produced noise exposure maps using FAA standards and showed 47 acres currently within the 65 Day-Night Average Sound Level(DNL)contour,affecting 31 residents,with the future contour projected to decrease to 37 acres and affect five residents. He stated the Airport Authority would review the noise exposure maps on April 1 and,if approved,submit them to the FAA. He explained the next step would be development of a noise compatibility program, expected by the end of the year. • Environmental/Noise studies: • Part 150 Study project cost: $1,100,000 • Summary of noise impacts: Parcels/Dwelling Existing(2023) 46.%acres/14 d.u- - - FVIYre 12028) 37.14 Wes/2 d.u. - Irm Extsting(20231 31 people - - Futm(20221 5 people - single-Family Residential 22A7 acres 0.82 acres - Manufactured HoWng 13.81 acres - - Places of Worship 22,47 acres 0.82 acres - Mo$pltak 7.49 acres 0.82 acres - Schools 1 1.17 acres - - Souxes:New Nalover County Tax DWMrfinenf(2024),C4ff,-Auoclola pn 6N Mr. Bourk then reviewed the airport's economic impact study prepared by the North Carolina Department of Transportation (NCDOT), noting an estimated annual economic impact of approximately $4.5 billion and more than 20,000jobs. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 36 SPECIAL MEETING,MARCH 10,2026 PAGE 784 • Economic impact—NCDOT: 2025 Economic Impact of: NCDOT Division of Aviation Wilmington International(ILM) 425 State of Aviation 0 Report Wilmington 23 Based on 2 date Agww la �� , D $192.3 $1.1 $3.3 20,905 MILLION BILLION BILLION JOBS INTM IN PERSONAL SUPPORTED REVENUE INCOME ECONOMIC IMPACT $4.5 BILLION 1000NOMCTED 251,085 81,626 107 TOTAL CCONOMIC IMPACT N.C.POPULATION OPERATIONS BASED NTTHIN30MINUTES (ANNUAL) AIRCRAFT OPAIRPORT Mr. Bourk then reviewed business development and air service development efforts. He stated that the airport continued to work on expanding the business park and reviewed tenant lease activity, noting that some projects remained in due diligence or financing phases, including the proposed hotel. He stated that tenant development represented approximately $242 to $250 million in projects and, when combined with airport-led improvements, resulted in roughly a half-billion dollars in projects taking place on the airport campus. • Business development: • Commercial leases: C.—K ktr,Mr P,ynq VA CIm ACtxel/Paynq 18l lumbx At,-4f P,y v H fat Cd pottery Kweb Payeq t T-M. Kvmly P,yeq BHtde Hoax A_*Payeq T All Amen, A-1,n ALt-4,P,ynq a trd pnfe Hlaldngs A,V.*Payrp Sout e hern Sas,NUI Attr,Af P,ynq M Tuf Mwe" K V.*Paylrq tI RI fghtf t-1 1lttn Nyeq 12 Elru Cuss RW Euale ACt.*Paynq 11 W,Vrngton B n De,•tlopmenl Attrml,P,ynq 14{hodi-LLC Iltrl9at KtrCrlf Paynq tf(ron6er SCIenUK A t—I,P.tynq nsefronbn SC"tAK Ramp PenA" k4 Cll lIM Ptww 2.LIC 711126 ase flnalrng [7 CIL AAA Ph T.LLC 111/27 fi nantnq 14 IL HX.4 P,rtnna C.—d Thragh feo, III—" 14 tM Lumber A("4f Nn" A VCK)f,MagnWa ILCINr,MI MUM fma-9 11 VCIW,MW4U LLC Vbth Side HWqus) 111/23 Due Dlgence 21 NK 101',My*&.LIC 101,26 Sne fttn Approval, Can q-1— )I ARQ Rea4y GmupKKA(Eau Side Naha^Ptuw1) 1216,26 Dw DAgrta N ARQ P,aty GM.IaXFCA�1„t Sde Ktrq,I,Pt.w)I 12,1&128 Due D/Iq . )C AAO Awbon MX LLC(Eau We Wnte—N+rtgar) AC"-I/Payeq X.,Pmk(tampon,Inc A t—Pi Nynq )f Mad—Awtawt,p80 A,V-*Plrq Pt" 24 Ae C.. fB0 A.tr If Payrq n lhr CIA Ban►(Nord,Side 1Wqu) A(WM,P&#9 A fIMIJI C.WIWI,Cenun kt 4y P,ynq in P.AwLAnduapnq A—ly Paylrq )2 Idge L duaprq A.tr,e/f P,ynq It CoasW Mowry.LLC ISouth Srde wtqu+I 17/l f27 Due DilgCetr:e N IMercoasW land htatnler , ACt-1,,Paynq •AMWIP ttfaprq xt%indopr nt$2 fcS t.t •Annusl Rentfa.IN,4v--.S11a.t!I! • 2026 active tenant capital construction and design projects: H 84 Lumber $5.000.000 H ARQ Realty Group/CFCA S50.000,000 H Cargo Ramp $10.000.000 0 Flightline LLC Hangar S15.000.000 o Frontier Scientific $100.000.000 e Hotel S40.000.000 Baker Hangars 530,000,000 Total Tenant Capital Projects $250,000,000 I, Total Airport Capital Projects $243,774,781 Total Airport-Wide Capital Projects $493,774,781 Mr. Bourk provided an overview of ILM's air service development efforts, including attendance at industry conferences, meetings with airline headquarters, and collaboration among the airport, County, Chamber of Commerce,and Convention and Visitors Bureau. He noted the importance of the regional alliance in supporting and incentivizing new air service. He then reported on the upcoming two air shows,a smaller air show planned for April 24 through 26, 2026 in Carolina Beach and a larger event scheduled for September 10 through 12, 2027, featuring the Thunderbirds.He stated the larger show would be a major regional event and that airport staff were coordinating with Emergency Management and County staff to prepare for it. In response to questions, Mr. Bourk stated that the first major milestone in the infrastructure project will be the opening of the parking garage in October 2026,followed by the curb front opening in March 2027, and that the full project, including the tunnel, vertical circulation, and atrium, would be complete by June 2027. He stated the project was on schedule and on budget. He provided clarification that enplanements counted only departing passengers, while total passengers counted both arrivals and departures. As to unspoken challenges facing the airport, he cited economic conditions,fuel prices,and other external factors beyond the airport's control. He noted that Avelo's service reduction was related to fleet issues rather than the Wilmington market and stated that while growth could fluctuate, ILM remained well positioned if new routes continued to perform successfully. He emphasized that the County had been supportive and he encouraged continuation of the route incentive program and the broader partnership among the County, Convention and Visitors Bureau, Chamber, and airport. He also NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 36 SPECIAL MEETING,MARCH 10,2026 PAGE 785 noted the importance of continuing to grow infrastructure without borrowing, if possible, as borrowing would increase long-term rates and charges. General Discussion Discussion ensued about ILM operations and future matters of interest. In response to questions, Airport Authority member Jones praised Mr. Bourk's leadership and encouraged the continued appointment of members with experience and perspective. Airport Authority member Thompson added that future land use around the airport will remain important and said the County should be strategic in rezonings and surrounding development to preserve options for long-term expansion,including a possible second terminal. In response to questions, Mr. Bourk stated that the stormwater master plan was developed to address permitting challenges and support long-term capacity needs as development continues. Regarding the proposed hotel, he stated the developer had until the end of June to close on financing and reactivate the lease,and that work with the developer was ongoing. Airport Authority member Copley added that the project's unique bond financing structure had slowed progress. In response to questions, Mr. Bourk stated that general aviation activity exceeds any other category and that airport improvements support commercial,general aviation,and military users. He confirmed the new canopy lighting will be programmable for holidays and special occasions. Mr. Bourk also stated ILM had not experienced significant Transportation Security Administration (TSA) issues, acknowledged the work of the local TSA team, and said the airport continues to monitor staffing. He added that the airport had been providing weekly lunches to TSA personnel during the federal shutdown period. ADJOURNMENT Hearing no further discussion, Chair Pierce and Chair Rhodes adjourned the meeting at 9:30 a.m. Respectfully submitted, Kymberleigh G. Crowell Clerk to the Board Please note that the above minutes are not a verbatim record of the Special Meeting of the New Hanover County Board of Commissioners.