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MICHIGAN AERONAUTICS COMMISSION Minutes of Meeting Lansing, Michigan July 26, 2017

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MICHIGAN AERONAUTICS COMMISSION Minutes of Meeting Lansing, Michigan July 26, 2017 MICHIGAN AERONAUTICS COMMISSION Minutes of Meeting Lansing, Michigan July 26, 2017 Pursuant to Section 31 of Act 327 of the Public Acts of 1945, the Commissioners of the Michigan Aeronautics Commission, created by said act, met in the Aeronautics Building, 2700 Port Lansing Road, Lansing, Michigan on July 26, 2017, commencing at the hour of approximately 10:00 a.m. Members Present Members Absent Russ Kavalhuna, Chairman Pete Kamarainen, Commissioner J. David VanderVeen, Vice Chairman Laura Mester, Designee – MDOT Rick Fiddler, Commissioner Roger Salo, Commissioner MG Len Isabelle, Designee – MDMVA Capt. Joe Gasper, Designee – MSP Kevin Jacobs, Designee – MDNR Jim Shell, Legal Counsel Mike Trout, Director Staff Present Also Present Kelly Badra Jim Cihak Pete kamarain Dave Baker Tom Corcoran, Pete C&S kkkkk Engineers, Inc. Judy Baker Nate Granger, Foth Tara Ball Eric Jaroch, Roscommon Co. Blodgett Memorial Airport Neal Barncard John Strehl, Antrim County Airport Jeanine Barnett Jeff Tripp, Muskegon County Airport Matt Brinker Sarah Underwood, C&S Engineers, Inc. Paul Bruder Stephanie Ward, Mead & Hunt Bryan Budds Jennifer Forbes Erika Hanses Elyse Lower Mark Noel John Orban Brigitte Pricco Linn Smith Anu Taneja Mary Kay Trierweiler 7/26/2017 Page 1 I. OPENING REMARKS The July 26, 2017 Michigan Aeronautics Commission (Commission) meeting was called to order by Chairman Russ Kavalhuna at 10:10 a.m. Chairman Kavalhuna welcomed all those present. He asked everyone to rise, and the Pledge of Allegiance was cited. Roll call was taken. Commissioners Pete Kamarainen and Laura Mester were absent. II. COMMISSION BUSINESS A. Chairman Kavalhuna asked if there were any revisions to the minutes of the meeting held on May 24, 2017. There were none. He entertained a motion to approve the minutes. The motion was moved by Vice Chairman Dave VanderVeen and seconded by Commissioner Roger Salo to approve the minutes as presented. All voted in favor. B. Appointment of Nominating Committee Chairman Kavalhuna read the process for the election of chairman and vice chairman for the next year. In accordance with the Michigan Aeronautics Commission Bylaws, Article IV, Sections 4.1 and 4.4, Chairman Kavalhuna appointed Commissioner Rick Fiddler to serve with him as the nominating committee to recommend to the Commission, at the next meeting scheduled for Sept. 13, 2017, the persons to be considered for election to serve as the commission chair and vice chair for Fiscal Year (FY) 2017/2018. No motion is required for this action. C. Chairman Kavalhuna asked Dave Baker to present the airport sponsor contracts. Mr. Baker proceeded to explain each contract. 1. Huron County Memorial Airport, Bad Axe 2. James Clements Municipal Airport, Bay City 3. Beaver Island Airport, Beaver Island 4. Antrim County Airport, Bellaire 5. Roben – Hood Airport, Big Rapids 6. Charlevoix Municipal Airport, Charlevoix 7. Charlevoix Municipal Airport, Charlevoix 8. Charlevoix Municipal Airport, Charlevoix 9. Branch County Memorial, Coldwater 10. Grosse Ile Municipal Airport, Detroit/Grosse Ile 11. Delta County Airport, Escanaba 12. Delta County Airport, Escanaba 13. Delta County Airport, Escanaba 14. Delta County Airport, Escanaba 15. Delta County Airport, Escanaba 16. Delta County Airport, Escanaba 7/26/2017 Page 2 17. Bishop International Airport, Flint 18. Bishop International Airport, Flint 19. Bishop International Airport, Flint 20. Bishop International Airport, Flint 21. Bishop International Airport, Flint 22. Fremont Municipal Airport, Fremont 23. Gerald R. Ford International Airport, Grand Rapids 24. Ionia County Airport, Ionia 25. Jackson County – Reynolds Field, Jackson 26. Mackinac Island Airport, Mackinac Island 27. Schoolcraft County Airport, Manistique 28. Schoolcraft County Airport, Manistique 29. Marlette Township Airport, Marlette 30. Mason Jewett Field, Mason 31. Jack Barstow Airport, Midland 32. Oscoda County Dennis Kauffman Memorial Airport, Mio 33. Muskegon County Airport, Muskegon 34. Muskegon County Airport, Muskegon 35. Luce County Airport, Newberry 36. Jerry Tyler Memorial Airport, Niles 37. Oscoda – Wurtsmith Airport, Oscoda 38. Oscoda – Wurtsmith Airport, Oscoda 39. Owosso Community Airport, Owosso 40. Owosso Community Airport, Owosso 41. Pellston Regional Airport of Emmet County, Pellston 42. Pellston Regional Airport of Emmet County, Pellston 43. St. Clair County International Airport, Port Huron 44. St. Clair County International Airport, Port Huron 45. St. Clair County International Airport, Port Huron 46. Saginaw County H. W. Browne Airport, Saginaw 47. Mackinac County Airport, Saint Ignace 48. Mackinac County Airport, Saint Ignace 49. Chippewa County International Airport, Sault Ste. Marie 50. Chippewa County International Airport, Sault Ste. Marie 51. Chippewa County International Airport, Sault Ste. Marie 52. Chippewa County International Airport, Sault Ste. Marie 53. South Haven Area Regional, South Haven 54. Statewide-Local PCI Surveys 55. Cherry Capital Airport, Traverse City 56. Cherry Capital Airport, Traverse City 57. West Branch Community Airport, West Branch 58. White Cloud Airport, White Cloud Supplemental Transfer Requiring Action 59. Sawyer International, Marquette 60. Chippewa County International Airport, Sault Ste. Marie 7/26/2017 Page 3 Chairman Kavalhuna asked if there were any further comments or questions. Hearing none, he entertained a motion to approve item Nos. 1 – 60, airport sponsor contracts. The motion was moved by Vice Chairman VanderVeen and seconded by Commissioner Salo to approve the airport sponsor contracts. All voted in favor. Due to a potential conflict of interest, Commissioner Rick Fiddler abstained from voting on item No. 23, Gerald R. Ford International Airport, Grand Rapids. A complete list of contract descriptions can be viewed in full on the Michigan Aeronautics Commission web page under “Meetings” and then “Commission Contract Approvals” at www.michigan.gov/aero. Mr. Baker presented three supplemental transfers: Roben – Hood Airport, Big Rapids; Gerald R. Ford International Airport, Grand Rapids; and Sawyer International, Marquette. He explained the process for each transfer. No Commission action was required. D. Chairman Kavalhuna asked Linn Smith to present the airport approach plan for Tkaczyk Field in Oakley. The Aeronautics Code of the State of Michigan provides that the Commission may adopt an airport approach plan for each licensed airport, which describes the state plan for approach protection areas. Local zoning officials are to use the determination of the protection area as a guide in adopting standards for its local zoning ordinances. The Commission has adopted an airport approach plan for the majority of the licensed airports. Mr. Smith presented and explained the approach plan. After further discussion, it was requested that the Commission approve the above plan. Chairman Kavalhuna asked if there were any further comments or questions. Hearing none, he entertained a motion to approve the airport approach plan for Tkaczyk Field. The motion was moved by Commissioner Salo and seconded by Commissioner Len Isabelle to approve the plan as presented. All voted in favor. E. Chairman Kavalhuna asked Mr. Smith to present the final Michigan Aviation System Plan (MASP). Mr. Smith presented and explained the final MASP report. Flash drives containing the Technical Report with Appendices, Executive Summary, and a sample of an individual airport report and community benefits assessment were provided to each commissioner. Final documents will be posted on the MDOT Aeronautics web site. After further discussion, it was recommended that the Commission adopt the plan. Chairman Kavalhuna asked if there were any further comments or questions. Hearing none, he entertained a motion to adopt the MASP. The motion was moved by Vice Chairman VanderVeen and seconded by Commissioner Salo to adopt the MASP as presented. All voted in favor. 7/26/2017 Page 4 III. REPORTS A. MAC Director’s Report Director Mike Trout welcomed everyone and provided updates on the following. Budget and Boilerplate Director Trout discussed the Office of Aeronautics FY 2018 budget, stating that the projected revenue and expenses are remaining fairly steady from the current year. Director Trout reported on FY 2018 Budget Bill (P.A. 107) boilerplate provisions: Restores Section 383 – Aircraft Travel Report for FY 2017 to be submitted to the House and Senate by Feb. 1, 2018. Restores Section 802 – Legislative encouragement language for MDOT to find other entities or local public agencies to assume ownership and operating responsibility for airports currently owned by the department. Amends Section 803 – Requires MDOT (Office of Aeronautics) to work with the Department of Technology and Management and Budget to solicit proposals for third party management by Nov. 1, 2017; provide copy of request for proposal to the House and Senate at least 30 days prior to the release for bidding of the request for proposal; and sell one Beechcraft King Air no later than Sept. 30, 2018. Statistics Director Trout reported on the following: Fuel Tax Revenue . Excise (3¢) FY to Date (Oct. – June) 2017 = $3,940,025 2016 = $3,375,759 (16.7% increase) . Sales (2%) 2017 – FY to Date Q1 = $1,838,231 (SAF 35/% - $643,381/QAF 65% - $1,194,850) Q2 = $1,854,654 (SAF 35% - $649,129/QAF 65% - $1,205,525) Q3 = $2,203,688 (SAF 35% - $771,290/QAF 65% - $1,432,398 Q4 = $1,642,742 (SAF 35% -574,960/QAF 65% - $1,067,782) FYTD Total = $7,539,315 (SAF = $2,638,760/QAF = $4,900,555)
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