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HomeMy WebLinkAbout2012-9-25Town of Nantucket NANTUCKET MEMORIAL AIRPORT 14 Airport Road Nantucket Island, Massachusetts 02554 41 Thomas M. Rafter, Airport Manager 89, Commissioners Phone: (508) 325 -5300 Daniel W. Drake, Chairman Fax: (508) 325 -5306 Arthur D. Gasbarro, Vice Chair David C. Gray, Sr. Sonny Raichlen Jeanette Topham AIRPORT COMMISSION MEETING 9/25/12 The meeting was called to order at 5:02 PM by Chainnan Daniel W. Drake with the following Commissioners Present, Vice Chair Arthur D. Gasbarro and David C. Gray, Sr. Commissioner Topham joined the meeting at 5:04 PM prior to the Discussion of Pending Matters. Commissioner Raichlen was absent. The meeting took place in the I" Floor Community Meeting Room at the Public Safety Facility, 4 Fairgrounds Road. Also present were Thomas M. Rafter, Airport Manager, Ashley Christ, Business Manager, David Sylvia Training /Compliance/Noise Coordinator, Debra Crooks, Finance Assistant, and Janine Torres, Office Manager. Mr. Drake announced the meeting was being recorded. The Commission M/S/P Unanimously approval of the Agenda after Mr. Drake announced there would no discussion on the Youth Matters item. The Commission M/S/P Unanimously approval of the 9/11/12 Minutes. The Commission M/S/P, Unanimously approval of the 9/18/12 Minutes. The Commission M/S/P Unanimously to ratify the 9/19/12 Warrant. Public Comment None. Leases /Contracts The Commission M/S/P Unanimously, to accept a MassDOT Aeronautics Grant to carryover the amount of $10,073.00 to FY13 for the South Apron Environmental Assessment/Environmental Impact Report (EA/EIR). The Commission M/S/P Unanimously to approve a service contract with Lakes Region Environmental, Inc., for a not to exceed amount of $23,000 to perform the annual inspection of the fuel farm facility for FY13. Pending Matters William E. Payne Mr. Rafter reported the Contract with Mr. Payne legally expired in January and we are going to need to seek documentation from Mr. Payne certifying the work included on his invoice was performed prior to the expiration date. Mr. Rafter reported the offer letter has yet to be sent. Its delay was due to ensuring the funds were still available for payment which uncovered the contract date issue. Special Town Meeting (STM) Mr. Drake announced this topic will be discussed under the GA /Administration Building topic but did add at yesterdays Finance Committee (FinCom) public hearing, there were no comments or questions from the public on airport matters. Gift Shop RFP Mr. Rafter announced the RFP has been sent to the Chief Procurement Officer for final approval and should be advertised soon. Commission Signing Authority Update Mr. Rafter reported with the newly seated Commission, two documents need to be updated. The first, authorizes Mr. Drake to sign all Grant related paperwork on behalf of the Commission; and, the second merely updates MassDOT on who presently sits on the Commission. After brief discussion verifying the first document only applied to grants and not contracts, the Commission M/S/P Unanimously to authorize Mr. Drake to sign all grant related paperwork on behalf of the entire Commission. GA /Administration Building Construction Update Mr. Rafter reported work is progressing but not at an accelerated pace. Insulation should begin shortly. The vaults are not yet set. A rough site plan was reviewed showing the generator will be relocated to the east side of the building. The plan also shows the area where the present GA Building now sits as employee parking. Mr. Rafter is looking for feedback on what to do with this area as well as with the old building. Initial comments were favorable towards the generator location, but unfavorable towards the employee parking area. An opening from GA parking to the airport entrance lane is still being planned. One reason is to accommodate larger vehicles like a fire truck which would not be able to maneuver easily if no opening was available. GA Financing Update Mr. Rafter reported the Finance Department has determined there are several capital projects with remaining funds that can be re- appropriated at STM which cover the estimated $700K shortfall for this project. Mr. Drake reviewed his updated financial slide noting the additional funding sources totaling $733K eliminating the need for additional borrowing. Mr. Gasbarro expressed concern over found money that had before repeatedly been told didn't exist. Mr. Rafter noted miscommunication between the Airport and FD of when projects were closed out, left balances in capital accounts and an examination of these accounts has revealed these available balances. Mr. Drake interjected that may be true for some of the accounts, but not the original $1.5M borrowed for this building where the Commission was told had the entire account had been spent. 9/25/12 Airport Commission Minutes Page 2 of 6 After brief discussion, Mr. Rafter noted he will continue to work with the FD to improve communication to include being aware of when entries are made and the reasons for them. Finance Report FY2013 Budget Mr. Rafter presented the FYI ATM budget vs. actual, unaudited figures in the Selectman's requested "decoder" format which will be presented at the Board of Selectman. Mr. Rafter explained this format reorganizes the municipal reporting language into a standard Profit & Loss (P &L) Statement. Mr. Rafter pointed out the revenue figures do not include the transfers in from the General Fund. The report indicates a small profit, before debt service of $181K and after debt service, a loss of $839K. For discussion at STM, Mr. Rafter reviewed a handout showing the payroll savings between FY12 and FY13 of $490K. Mr. Drake reviewed a P &L comparing a revised FY13 vs. Projected FY13 budgets indicating a $1.06M deficit vs. a $337K deficit with projected fuel sales making up the difference. Mr. Drake added proposals addressing the repayment of the Airport's debt to the Town is still being drafted and will offer a couple of different options to consider. Mr. Gasbarro added he hoped the repayment plan takes less than 5 years. Mr. Gasbarro commented his concern that the different financial reporting formats seem to be creating extra work. Mr. Drake concurred and noted a discussion at the Audit Committee meeting earlier was the development of a town -wide reporting format. Mr. Rafter reported three elements adding to the making it difficult to put together budget reports: • MUNIS's inability to be used as a management tool • The splitting out of the fuel to a revolving account • Capital items being recorded separately Mr. Drake noted the Audit Committee also commented on the role of Peter Lamb. Mr. Drake pointed out Mr. Lamb was definitely needed this year and the Commission will have to discuss his future role at a later date. CIP Update Mr. Rafter reviewed the draft of the FAA's 5 Year Capital Improvement Program (CIP) which will be reviewed with the FAA and MassDOT at a meeting on Thursday. Based on the estimated FAA Entitlements under the Airport Improvement Plan (AIP) of $1.6M and the carryover from FY2012 of $908K, the FY13 projects are: • Replace MITL's on R/W 12 -30 and 5,000 LF of Fence ($393K) • Relocate PAPI's and REIL's for R/W33 ($315K) • Widen Taxiway D and Remove R/W Pad ($337K) • Overlay South Ramp (Approx. 1 -1/2" of P -401 ($652K) • Master Plan /GIS Mapping/Environmental Survey ($675K) Mr. Drake pointed out the first project, Replace MITL's, will require an adjustment at ATM from the $1.6M approved during 2012 ATM down to the $393K. Mr. Rafter noted the airport will begin working in a pavement replacement program as well as a vehicle replacement program going forward. Mr. Gray asked if a GPU can be added. Mr. Rafter pointed out GPU's are not AIP eligible. Mr. Drake explained there will be other capital items in the airport budget. The CIP is strictly for AIP projects. 9/25/12 Airport Commission Minutes Page 3 of 6 Brief discussion took place regarding the increased cost of runway paint and the uncertainty of another State -run project for future airfield painting. Mr. Rafter agreed to investigate the cost of a painting vehicle /machine. Federal /State Funding Update FAA "Sequestration" Mr. Rafter reported hearing the Senate has passed a funding extension until May and awaits the President's signature. He added the bad news is should the tower be closed once the extension expires, May is not a good time to be suddenly without a tower. A contingency plan will be developed should the Tower be closed. Discussion moved to contract towers with Mr. Rafter indicating part of the contingency plan would be to have an RFP ready, but believes that program which is FAA funded, may have budget cuts as well. Mr. Rafter noted AIP Funding is not directly impacted by the sequestration plan; but staffing is which could affect Grant processing. Additional discussion took place regarding additional efforts to keep the Tower open. Mr. Rafter asked for permission to contact the Mass. Aviation Caucus. When asked by Ms. Topham, Mr. Rafter answered he believed number of Operations determines whether a tower is an FAA Tower or a Contract Tower. Mr. Drake suggested a supplemental letter addressing our seasonality be sent to our US Senators and Congressman. MassDOT — Aeronautics Mr. Rafter reported beginning FY2014, State Funding will revert to 5% reimbursement, down from the 7.5% reimbursed for FY2012 and planned for FY2013 projects. This will increase the airport's share back to 5 %, up from 2.5 %. Manager's Report Other Projects Mr. Rafter reported: • The Kobo Contract for the 6/24 HIRLS project has been approved by MassDOT. Jacobs has indicated the Notice to Proceed will not be issued before December due to the pending approval of the airfield's Sign Plan. • A control burn schedule is being worked on with the Land Bank. • A scope of work is being developed to rectify issues with some security doors which will include replacing the doors with steel doors. Mr. Gray recommends coated steel. Operations Report Mr. Rafter reported: • The RFP for the UPS has been drafted. • The RFP for the PFC Application has been sent to the Chief Procurement Officer (CPO) for final review. • Legal has approved the Advisory Committee (AC) guidelines as to form and advised meetings of the AC would be considered public and would require posting. • A revised Gift Shop RFP is being established and will seek another appraisal on the rental rate. • There have been several Staff Training events: • ARFF Personnel attended Live Burn Training at Logan. • On -site fire training took place today and National Incident Management System (NIMS) training is scheduled for tomorrow. 9/25/12 Airport Commission Minutes Page 4 of 6 o Two ARFF Personnel attended Advanced ARFF Training in Pittsburgh • Massachusetts Airport Managers Association (MAMA) Conference was rescheduled to November 13t" & 14 I in Hyannis and will be attending. Mr. Drake added he was hoping to attend but has conflicts. Mr. Gray is interested in attending. Statistics Mr. Sylvia reported: • Operations through August were 86,857, up 11.68% over last year to date. Operations for August were 18,899 vs. 16,571 for August of last year. • Enplanements through August were 126,718, up 3.16% over last year to date. Enplanements for August were 32,852, up 3.35% from August 2011. • Freight through August was 1,729,128 lbs., down 2.77% over last year. Freight for August was 347,503 lbs, up 44.38% from last August. Mr. Rafter presented additional graphs comparing the following over a three year period: • Enplaned passengers • Jet -A gallons sold • AvGas gallons sold • Operations • Enplaned passengers vs. Operations • Jet A vs. Operations • AvGas vs. Operations Mr. Rafter intends to look at Revenue vs. Enplanements in the future as well as comparing the different revenue streams to ultimately understand the demographic of our traffic. Sub - Committee Reports Ms. Topham reported the Personnel Sub - Committee met to review and discuss the non -union personnel manual comparing to the Town's policy deciding it would be best to wait until the Town ratifies the personnel manual they have started revising. Mr. Drake asked if in comparing the Town's draft policy to the Airport's were there any areas of concern. Mr. Rafter indicated there could be a couple of areas with significant differences adding he is going to prepare a side -by -side analysis for the existing Town policy, the draft Town policy and the Airport's policy for the Sub - Committee. Ms. Topham noted one difference was the sick time buyback upon termination. Commissioners Comments Ms. Topham clarified some items in the Lakes Region Environmental Contract she missed earlier in the meeting. Ms. Gasbarro asked if work was progressing on the HVAC REP. Mr. Rafter confirmed there was. When questioned, Mr. Rafter explained a combination of the process and workload are factors in the slowness of proposals being completed. Mr. Gasbarro thanked both Mr. Drake and Mr. Rafter for the presentation to the Finance Committee. Mr. Rafter added the Water Company was very appreciative of the use of our generator while they maintained their pumps. Public Comment 9/25/12 Airport Commission Minutes Page 5 of 6 None. Having no other business the Commission M/S/P by the following vote to enter into Executive Session (ES), not to reconvene in Open Session, to 1) Review the ES minutes of 3/1/12, 3/13/12, 3/27/12, 4/3/12, 4/19/12, 4/26/12, 5/8/12, 5/22/12, 6/12/12, 6/26/12, 7/10/12, 7/24/12 for possible release; and 8/28/12 and 9/18/12 for review and possible release, and 2) To discuss strategy with respect to collective bargaining or litigation, which if held in open session may have a detrimental effect on bargaining or litigation: Mr. Drake — Aye Mr. Gasbarro — Aye Ms. Topham — Aye Mr. Gray — Aye Meeting adjourned 6:35 PM q ctfully submitted, M. Torres Recorder Master List of Documents Used 9/25/12 Agenda, including Exhibit 1 9/11/12 Minutes MassDOT Standard Contract (Grant) for $10,073 Lakes Region Environmental Contractor Inc. Contract 9.20.12 E -mail from Diana Nascimento to Rafter, Drake, Gasbarro, Gray, Torres re Gift Shop RFP Letter of Signing Authorization dtd 9.25.12 Comm. of Mass. Contractor Authorized Signatory Listing GA/Admin Building Costs vs. Funding dtd 9/24/12 (Handout) ACE Camp Financial Recap (Handout) FY2012 Airport Decoder (Handout) Draft P &L Summary for STM2012 Revised Budget vs. Projected FYI Actual dtd 9/24/12 (Handout) Normalized payroll Reconciliation FY13 (Handout) FAA 5 Year CIP dtd 9/25/12 (Handout) August Statistic Report (Handout) Three Year Graph Reports dtd 9/25/12 (Handout) 9/25/12 Airport Commission Minutes Page 6 of 6