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Home My WebLink AboutMay9_2023 # � y 2023 JJa 29 Ali I: !2 Town of Nantucket NANTUCKET MEMORIAL AIRPORT 14 Airport Road Nantucket Island, Massachusetts 02554 Noah J. Karberg,Airport Manager Commissioners Phone: (508) 325-5300 Arthur D. Gasbarro, Chairman Fax: (508) 325-5306 Andrea N. Planer, Vice Chair Anthony G. Bouscaren Jeanette D. Topham Philip Marks III AIRPORT COMMISSION MEETING May 09,2023 The meeting was called to order at 5:00 pm by Chairman Arthur Gasbarro with the following Commissioners present:Anthony Bouscaren,Jeanette Topham and Philip Marks III. This meeting took place at 131 Pleasant Street, Nantucket MA. and video conference via Zoom app. Airport employees present were: Noah Karberg, Airport Manager, Preston Harimon, Assistant Airport Manager,Boyana Stoykova-Nelson,Office Manager, Linda True,Grand Transportation Coordinator and Vilina R. Ilieva Administrative Assistant. Also present: Philip Cox, CHA Companies, and Rich Lasdin (MJ), Ethan Griffin, Architect. Mr. Gasbarro read the Town's hybrid meeting statement. Mr. Gasbarro announced the meeting was being audio and video recorded. Mr. Gasbarro asked for comments on the Agenda;hearing none,the Agenda was adopted. Mr. Gasbarro asked for comments and concerns on the 04/11/23 Draft minutes; hearing none,the Draft Minutes were adopted by unanimous consent. Ms. Topham made a Motion to ratify the 04/12/23 and 04/26/23 Warrants and Passed by the following roll call vote: Ms. Topham -Aye Mr. Bouscaren -Aye Mr. Marks-Aye Mr. Gasbarro -Aye Public Comment None. 021423-04 Hanger 8 Discussion: Mr. Karberg suggested some potential uses for Hanger 8,which will benefit the Airport, like: Storage of Ground Service Equipment's (GSE), office space, and that will avoid building a replacement or a similar structure. Mr. Karberg added that now, Hanger 8 is used for both Aeronautical and Non- Aeronautical types. The Airport has an immediate need for GSE and mixed equipment storage and would like to take it over. The Current Tenant Lease is month-to-month for a total of 1000 sq ft, and Nantucket Airport will give enough notice to the existing tenant. Commissioner Bouscaren asked how much more the Airport will need it in a period of five to ten years. Mr. Karberg acknowledges that the Airport needs the space for overflow equipment such as snow removal, lawn mower equipment, or GSE. Commissioner Topham suggested Hanger 8 to be kept for Airport's own uses. Mr. Gasbarro shared his thoughts:the location provides a connection between the landslide and the airside and would like some further discussion ideas. It will be good if the Airport keeps getting the income for the summer. Public Comment: Mr. Jim Hagedorn,the current tenant on Hanger 8, shows an interest in putting it to Aeronautical use and installing an aeronautical door that will allow aviation use and storage of aircraft. Mr. Hagedorn added that the agreement doesn't have to be long- term. 050923-01 30% Design Drawing for Crew Quarters: Mr. Karberg shared the design drawing, and it's currently reflecting the design basis of eight(8)ensuite apartments and one separate manager's apartment. The drawing showed that it will be a full basement with storage and laundry, and that won't affect the cost much. Mr. Gasbarro asked the commissioners for their opinions: Mr. Marks replied that the way the layout is shown on the drawing is good. It would be good if there was an easy way to bring bicycles to the basement. Mr. Ethan Griffin commented that the project is in a very early stage. They will have more drawings available to present at the July meeting, which will include initial cost estimates and more information from the Municipal Fire Department. Mr. Bouscaren asked when the project team anticipates going to the HDC Building Department. Mr. Cox inserted that they don't have an identified builder yet. Once the design is sorted it will be a public bid. Mr. Gasbarro announced that the Crew Quarters agenda item will be kept on the agenda monthly. 05/09/2023 Airport Commission Meeting Page 2 of 12 050923-02 Public Hearing to consider proposed revisions to Airport Taxi's Rules and Regulations: Mr. Gasbarro read the Town of Nantucket short statement for Public Hearing. Mr.Karberg announced the changes to the Airport's Taxi Rules and Regulations,effective 2023. • Random vehicle checks for Airport Taxi Permit will be made by the Airport Ground Transportation Coordinator or their designee. • Taxis are not allowed to park in the Disabled spots unless they have a Disabled or Elderly person on board. Public Comment: Mrs. Diane Flaherty, owner of Diane's Taxi, made a comment of appreciation to the Airport and suggested that would be easy for all taxi drivers if they received an email from the Airport if there were any changes to the Rules and Regulations. Mrs. Diane Flaherty interrogate a question for Security and Safety vehicles and their contents are subject to inspection and asked why the passenger must have valid form of identification. Mrs. Linda True, Ground Transportation Coordinator, made a comment that passengers having valid identification will help and protect the Airport and all passengers. Mr. Gasbarro announced that this would be taken under advisement. After a brief discussion the Airport Commission has decided to strike through the requirement for passengers to have a valid identification. A taxi driver and owner of a taxi company is curious if the Airport will reinstitute the taxi spots from three (3) or four(4) to six (6) and not have a space between them, like before the 9.11 attentat. Mr.Karberg responded that he has to look more specifically into that because that may still be a standing requirement that the Airport has to keep for short-term vehicle parking. If that is changed,the Airport will allow the taxis to use all six (6) spots. Mr. Gasbarro suggested that once the Rules and Regulations are adopted, they must be available on the Nantucket Airport's website. Mr. Bouscaren made a Motion to close the public hearing for Rules and Regulation revisions. Second by Mr. Marks and Passed by the following roll call vote: Ms. Topham—Aye Mr. Bouscaren—Aye Mr. Marks—Aye Mr. Gasbarro—Aye Mr. Marks made a Motion to adopt Taxi Rules and Regulation as drafted striking the requirement for passengers to have an identification.Second by Mr.Bouscaren and Passed by the following roll call vote: Hearing None: 05/09/2023 Airport Commission Meeting Page 3 of 12 Ms. Topham—Recused Herself Mr. Bouscaren—Aye Mr. Marks—Aye Mr. Gasbarro—Aye 050923-03 Discuss Transportation Network Companies(TNC)and Turo Agreements. Mr. Karberg presented the Nantucket Memorial Airport with the change requested under Section 159A and will adopt the regulations. Nantucket Airport is actively negotiating with Uber and can have an agreement with them by June of 2023. The Lift company has been less responsive,but Nantucket Airport will continue to reach out to them. Nantucket Airport has multiple interests in working with the Turo platform. Mr. Karberg will try to finalize the agreement, but maybe that will take a longer time. Pending Leases/Contracts-Mr.Karberg presented Exhibit 1 for approval of the following contracts, leases, contract amendments. + Memorandum of Understanding—Department of Culture and Tourism. + Hyannis Air Services dba Cape Air—Counter Freight Agreement. + Ross Rectrix Hya,LLC,—Operator Agreement in the amount of$1,500.00. + Wiggins Airways — Non-Exclusive Ramp License Agreement in the amount of $1,500.00. • Tradewinds Aviation, LLC — Non-Exclusive Ramp License Agreement in the amount of$1,500.00 + Tailwind Air, LLC —Non-Exclusive Ramp License Agreement in the amount of $1,500.00 • Gama Aviation (Eng) Inc.—License Agreement in the amount of$1,500.00 to provide aircraft maintenance services. + McFarland-Johnson Inc.—Task Order for PFAS investigation (Spring samples) Contract Amendment five(5) in the amount of$424,067.73. All data and reports are available via website, www.ack-pfas.com. + McFarland-Johnson Inc.—Task Order for South Apron Project Contract in the amount of$1,545,600.00 + Lawrence Lynch Corporation—Contract Amendment in the amount of $40,181.24 • Veoci,Inc.—Contract for Software Subscription in the amount of$88,567.00. + South Shore Generator Service,Inc.—Contract for Terminal Generator Service in the amount of$118,850.00. + Signet Electronic Systems,LLC—Contract for Security System Maintenance Services in the amount of$218,764.00. + American association of Airport Executives—Contract for Interactive Employee Training in the amount of$46,200.00. 05/09/2023 Airport Commission Meeting Page 4 of 12 • + Global ARFF,LLC—Contract for Inspection,Maintenance and serving of three (3)ARFF vehicles in the amount of$114,000.00. Mr. Karberg was asked by Mr. Bouscaren for Tailwind Air,LLC company operations. Mr. Karberg responded that Tailwind Air operates from Boston Seaport and Manhattan Seaport to Nantucket, and they are landing on wheels here. Mr. Gasbarro asked Mr. Lasdin if there would be grant funding for the South Ramp Project. Mr. Karberg answered this question: The percentage for grant funding will be approximately 75%federal and state share and approximately 25%sponsor share. Mr. Bouscaren would like to have more time to review the PFAS Task order. Mr. Lasdin responded that the high amount on the Task Order is because they required different, bigger drilling equipment. Mr. Bouscaren asked Mr. Lasdin if there was any possibility that they couldn't find the bottom. Mr. Lasdin responded that they are comfortable going down into the water table and taking the sample. Mr. Bouscaren made a Motion to approve the leases, contracts and contract amendments as set forth in Exhibit one (1). Second by Ms. Marks and Passed by the following roll call vote: Ms. Topham—Aye Mr. Bouscaren—Aye Mr. Marks—Aye Mr. Gasbarro—Aye Pending Matters—Mr. Karberg reported on: a. 091019-01 Capital approval Process/Home Rule Petition b. 071420-03 Per and Polyfluoroalkyl Substances (PFAS) Investigation Update Mr. Karberg reviewed the Capital approval process/Home Rule Petition. This petition could allow the Airport to meet deadlines for Grant-obligated projects and work with the Town and Finance Committee funds. For the PFAS update,the Airport has taken eighty (80) samples. This would occur again in August, and sampling mobilized in June. 050923-05 ATM Update-Mr. Karberg appreciated the support from all staff,the commission, and the community. All Airport's relevant appropriations and budget articles passed without discussion at the Annual Town Meeting. 050923-06 Discuss the Disclosure by Non-Elected Municipal Employee of Financial Interest and Determination by Appointing Authority as Required by G. L. c. 268A, s19. 05/09/2023 Airport Commission Meeting Page 5 of 12 Mr. Karberg explained that the reason for this disclosure is the fact that for the period of 2020 and 2021 the Airport was trying to obtain pluming service to complete interior home connection work and contacted fourteen (14)plumbers with no luck. The Airport needs to have all available options. There is an option that Jamie Sandsbury' s husband is interested in doing business at Nantucket Memorial Airport. Mr. Karberg would like to have permission to accommodate the Disclosure from the Commissioners before engaging in any work procedures. Mr. Mark made a Motion to approve the Disclosure. Second by Ms. Bouscaren and Passed by the following roll call vote: No further discussion. Ms. Topham—Aye Mr.Bouscaren—Aye Mr. Marks—Aye Mr. Gasbarro—Aye Manager's Report-Mr. Karberg reported on: Project Updates—AIP + Taxiway Echo(TW E)—This is in process of seeding,rare species survey. + Taxiway Golf(TW G). - The paving work is ongoing and will be completed on time. • HVAC—The Contractor is working to complete training and Isolation valve installation by 06/01/23. + Southwest Ramp Expansion.—Mr. Karberg will continue to report,particularly on the Ramp operations plan with design schedule dates. + Runway 624 Project—This is a project scheduled to begin in 2026. Internally following our consultant selection in August. • Terminal Optimization—This item had a Request for Qualification process at the end of April. *� ARFF Truck—index change—The task order has been approved and discussed at this meeting. • South Shore Fence—There is no change in the status, and that may be an issue with a new RFQ for engineering. Project Updates—Non-AIP + Crew Quarters. 30 precent scope and fee discussed at this meeting. + Town of Nantucket Surfside Area Water and Transportation Group—The airport continues to coordinate meetings and share project updates between Town and Airport projects. + Hanger Development—Airport will return with updates in the future for Hanger 8. 05/09/2023 Airport Commission Meeting Page 6 of 12 + Right of Way Research—Airport met with PLUS Department to set out a process to extinguish the old Paper streets for Old South Road and Hinsdale. (No update at May Commissioner Meeting). + Standard Passenger.Plan—Mr. Karlberg announced that the late nights flights may be canceled. Airport will reach out to Operators to coordinate post ARFF staffing resolution. (No update at May Commissioner Meeting). RFP/Bid Status: *� IFB for Automatic Doors—Available for public on May 8, 2023. Bid due date May 25,2023. • AFB ARFF Vehicle Maintenance,Repair and Service—Contract was awarded to Global ARFF and approved earlier at this meeting. -� RFQ for Terminal Optimization Project—Received two (2)proposals and they are under internal review. • IFB for Landscaping Maintenance Service-Received three(3)bids and all bids were rejected. The new IFB will be reposted. • RFQ for Engineering and Planning—The statements of qualifications are under internal review. Contracts to be awarded in June. *� RFP for J&K Lots -Permitting in progress. Mesa approval received,waiting for MEPA concurrence. • RFP for impound lot-Appraisal process begun. Operations Update • The FAA Inspection is from 05/30/23 to 06/01/23. + Summer outdoor boarding tent—tent fabric started going up Monday. + Transition from AFFF to F3. Yesterday FAA released it"AFFF transition plan." Approval of one or more F3 is anticipated this summer. There won't be an immediate transition at ACK,there are a lot of questions as to how soon large commercial quantities of foam would be available, training is different, and truck would need to be decontaminated. But we would like to be an early adopter and will carry this goal into our operations and capital budgets accordingly. • Tradewinds tent this week. + Kickoff summer security meeting with TSA scheduled. + Jet Blue starts Thursday 1 x per day. 2x per day on the 18th. Delta and JetBlue each 4+by May 25th • Waiting for FAA to review and approve ARFF staffing changes,which is dispiriting. I hope it comes soon, staff morale and burnout. Statistics—Mr. Karberg reviewed the February 2023 Statistics: + Operations are down 12.7%from March 2022 and down 10.60%FYTD. + SW ramp operations are down 6% in March. • Enplanements are down 27.00%from March 2022 and are up 1.70%FYTD. + Cape Air Service FY 2022—FY20223 • Boston 34% increase in Enplanements Passenger. 05/09/2023 Airport Commission Meeting Page 7 of 12 • New Bedford 78%increase. • Hyannis 71%down. • Martha's Vineyard 15%down. + Jet A Gallons are down 33 %from April 2022 and increase to 14.00% in March. + 100 Low Lid increased 18% in March and increased to 8% in April. + Freight is down 13%in March. + Cape Air Freight down in March. UPS,FedEx and US Mail down in March. + 0 Noise complaints for March 2023 as expected. Presentation. Commercial Fuel sales. Mr. Karberg mentioned the concepts before but wanted to take a deeper dive into the commercial fuel business. • Slide 1. #Arriving aircraft charted. The Airport has very good data since 2016. 1. Over the last 7 years there has been a near doubling of regional jet arrivals, across all operators. JetBlue is the dominant carrier with approximately 50%of this market's group arriving at aircraft. And this should not be a surprise to anyone who drives past ACK in the summer. • Slide 2. Total gallons sold by year. Total fuel uplift has tripled over the last 7 years in this market sector, but JetBlue has dropped from 32%to a 9%share. • Slide 3. Average uplift. In this market, fuel uplift is equipment dependent. Using Delta and United as examples. Delta initially operated only the 50-seat CRJ 200. Over the past 7 years,they have slowly but continually rotated in larger aircraft more frequently—the CRJ 700 (67), 900 (76), and E175 (76) began to increase operations. United changed their equipment in a stepwise fashion. After 2017 they discontinued the Q400 in favor of the E145. After 2020 the CRJ 550 replaced the E145. These were both big jumps. • Slide 4. What%of arriving aircraft took fuel? What is going on with JetBlue? The E190 CAN tanker in fuel. Bigger is not better for ACK! Outside focus on BOS and NYC hubs and contract fuel. Focus on low fares, low costs. Compare to American. E175 has less tinkering ability but also runs at a higher load factor which increases weight—so take fuel at destination. Schedule focus/not low fare. Also, longer flight legs on average. • Slide 5. Normalized uplift. Divide total uplift by arriving aircraft. When the Airport gets a route announcement or a schedule,the plan fuel needs based on these calculations. This in the best of terms—hot dogs versus steak. There are two important items when you calculate out the uplifts, the airport is better served uploading more fuel into fewer aircraft. About the process of fueling. 500 gallons takes 20 minutes from the time a truck is dispatched to an aircraft, until when the truck drives away. Most of that time is spent positioning the truck,hose, and fueling port. Holding the button on the control to increase the uplift by 500 gallons is an extra 2 minutes. The revenue increment for ACK is $600 per minute! According 05/09/2023 Airport Commission Meeting Page 8 of 12 to some calculations,the Airport needs to sell 50 gallons per uplift to break even. • Big picture—Air Service development. The Airport will backfill the env coordinator position, and Mr. Karberg will work with them on air service development. Conference and outside consulting are probably on the order of$10-25k per year. The goal isn't necessarily to increase operations and passengers—it's to identify the opportunities that make operating and fiscal sense for ACK and the community. Slide I Operational Dominance by JetBlue #Arriving Aircraft Arrivals(a) •2016 7011 •Pats •,019 02020 •2021 •2w7 Year JBU AAL DAL UAL TOTAL 1At0 2016 612 184 205 123 1,124 Spa 2017 667 157 111 117 1,052 em 2018 697 159 95 183 1,134 rm 2019 892 216 60 225 1,393 4 bp0 2020 231 160 34 53 478 g° ., 2021 995 265 192 547 1,999 r sao 2022 943 280 430 366 2,019. laio 100 11 I II $'. . IlA Typically SO%of Large Air Carrier Operations Slide 2 Fuel Uplift is Airline Equipment Dependent Average Uplift(Avg Gal Sold per Transaction) Average Uplift(Avg Gal Sold per Transaction) •.„t„ ._,�, ,,.,,„ ,.,.., ..,,, ..,.i ..,,. Year JBU AAL DAL UAL am 2016 283 397 • 301 246 2017 302 393 255 235 rro 2018 282 389 358 397 6w 2019 257 451 358 425 4 SOD 2020 198 479 392 449 soo 2021 190 614 392 F 2022 258 571 451 Jao Q400 to E145 1a, m1 ax ux E345 to CN550 Yea. CR1200 to 700,900,£175 mix Slide 3 05/09/2023 Airport Commission Meeting Page 9 of 12 Operational Dominance Uplift Dominance Total Uplift(Total Gal Sold) Total Uplift(Total Gal Sold) ... ...,, ,,. •. •. _i •. Year 1BU AAL DAL UAL TOTAL 2016 74,990 69,792 61,483 31.464 237,729 3..0xl1 2017 78,627 62,888 30,105 28,180 199,800 .r, 2018 82,912 60,256 38,978 76,666 258,812 2'`"x" 2019 80,064 96,442 22.104 97,341 295,951 _ .,l�txu 2020 11,109 65,090 14,491 25,142 115,832 .3 2s.,ucn i' 2021 33,767 162,106 70,596 387,984 654,453 (xu,0m 2022 57,267 165,036 203,223 227,345 652,871 ° Is0oce 1. 100,000 t MOW 1 r_... i A M . Jill ,-: From 32%share in 2016 to 9%Share in 2022 Slide 4 Fuel Uplift is Airline Strategy Dependent Capture Rate(%Arriving Aircraft Taking Fuel) •2Ult. .till a20111 s2019 ■2N0 e2..1 ■,U, Capture Rate(%of Arriving Aircraft Taking Fuel) Year JBU AAL DAL UAL la"' ,ill 2016 41% 96% 98% 100% • 2017 39% 99% 100% 100% 2018 41% 98% 100% 93% N r", 2019 33% 95% 10096 100% ,u. • 2020 18% 84% 90% 100% s"' 2021 18% 99% 91% 97% $ avn 2022 24% 80% 100% 100% u 7 I NI , Local hub presence NYC&BOS Longer flight legs Lower load factors/tankeri ng High load factors/weight 'r, NU nra une Low fare focus Schedule Focus Y, Slide 5 The Beinecke Model (Trading Up) Normalized uplift(Gal Sold/per Arriving Aircraft) Normalized Uplift(Gal Sold per Arriving Aircraft) Year MU AAL DAL UAL 2016 117 348 295 259 •.'.,. 2011 •20lw .•.01, az1n1 •2U21 ■zazz 2017 119 457 233 243 "'U 2018 109 359 425 387 2`" 2019 83 376 366 429 am 2020 34 380 463 500 a tm 2021 34 594 355 673 g�400 2022 62 469 501 623, 3 wo 943 arrivals x 62 gal/err z $2-35 margin=$137,395 nu , 'LIMN. I di iiii 1.411 . 36va=ovals x 623 ga1lerr x 52.3>ma,fr'•-S>3:..°..z lee AA! DAL tMt Ycat Personnel Report- Mr. Karberg reported on: 05/09/2023 Airport Commission Meeting Page 10 of 12 + Claudette Whyte and Rohan McCarthy have accepted full time Equivalent Custodian positions. + Connor Allen has accepted the Mx/Building Systems Specialist position. Commissioners' Comments. Ms. Bouscaren asked how many spots the Airport has open for new employment. Mr. Karberg answered the question that the Airport has six(6)open positions in Maintenance and one (1) in Operations. Mr. Marks was interested if Mr. Karberg look into any kind of Contract with some Maintenance Companies to fill out these positions. Mr. Karberg responded that the Airport already has IFB for Landscaping Services,which will help the Maintenance Department. Public Comments. Mrs. Diane Flaherty put a question to Mr. Karberg about the Gift Shop on Main Terminal if it's available for concession. Mr. Karberg responded that the Gift Shop is under The Crosswinds Restaurant Lease. Having no further business for Open Session,Mr. Mark made a Motion to go into Executive Session, under G.L. Chapter 30A, Section 21A,not to return to Open Session, to review Executive Session Minutes as enumerated on the Agenda; Clause 3: To discuss strategy with respect to collective bargaining. Clause 3: To discuss strategy with respect to the litigation regarding Walsh where the Chair has determined that an open session may have a detrimental effect on the litigating position of the Airport Commission. Second Ms. Bouscaren and Passed unanimously, by the following roll-call vote: Ms. Topham—Aye Ms. Planzer—Aye Mr. Marks III—Aye Mr. Bouscaren—Aye Mr. Gasbarro—Aye The meeting adjourned at 6:43 pm. Respectfully submitted, Vilina R. Ilieva,Recorder 05/09/2023 Airport Commission Meeting Page 11 of 12 Master List of Documents Used: 05/09/23 Agenda including Exhibit 1 04/11/23 Draft Minutes 04/12/23 Warrant Approvals 04/26/23 Warrant Approvals Hanger 8 Discussion 30%Design Drawing for Crew Quarters Project(Handout) Public Hearing to consider proposed revisions to Airport Taxi's Rules and Regulations Discuss Transportation Network Companies(TNC) and Turo Agreements Memorandum of Understanding—Agreement Hyannis Air Service dbd Cape Air Counter Freight Agreement Ross Rectrix Hya, LLC Operator Agreement Wiggins Airways Ramp License Agreement Tradewinds Aviation, LLC Ramp License Agreement Tailwind Air,LLC Ramp License Agreement Gama Aviation(Eng) Inc. License Agreement McFarland Johnson, Inc. Contract Amendment—Task Order MJ-PN-11 McFarland Johnson Inc. Contract—Task Order MJ-EA-04 Lawrence Lynch Corporation Contract Amendment Veoci, Inc Contract South Shore Generator Services, Inc. Contract Signet Electronic Systems, LLC Contract American Association of Airport Executives Contract Global ARFF, LLC Contract Capital Approval Process/Home Rule Petition Per and—Polyfluoroalkyl Substances (PFAS) Investigation Update Ratify Mass DOT Grant Award AIP-80- Update Airport Master Plan Study—Pending ATM Update Discuss the Disclosure by Non-Elected Municipal Employee of Financial Interest and Determination by Appointing Authority as Required by G. L. c. 268A, s19. 3rd Quarter Report FY23 March 2023 Monthly Statistics Presentation 05/09/2023 Airport Commission Meeting Page 12 of 12