BOARD OF TRUSTEES PRESIDENT/CEO Lisa Gianoli, Chair Marily M. Mora, A.A.E. Jessica Sferrazza, Vice Chair EXECUTIVE VICE-PRESIDENT/COO Richard Jay, Secretary Dean E. Schultz, A.A.E. Jenifer Rose, Treasurer GENERAL COUNSEL Nat Carasali Ann Morgan, Fennemore Craig Shaun Carey CLERK OF THE BOARD Carol Chaplin Cindy Riddell (Interim) Daniel Farahi Art Sperber
AGENDA RENO-TAHOE AIRPORT AUTHORITY MEETING OF THE BOARD OF TRUSTEES April 11, 2019 9:00 a.m.
Board Room, Administrative Offices, Second Floor, Main Terminal Building Reno-Tahoe International Airport, Reno, Nevada
Items 4, 5, 8 and 9 are action items for the Board to consider. The Board may discuss a matter when it is brought up, but no action may be taken on it unless it has been specifically included on an agenda as an action item.
Public comment at the Board meeting will be allowed on agenda items as well as non-agenda items. Persons are invited to submit comments in writing on agenda items and/or attend and make comment on that item at the Board meeting. Requests to speak on a particular item should be submitted to the Clerk of the Board before the item is called by the Chairman.
1. PLEDGE OF ALLEGIANCE
2. ROLL CALL
3. PUBLIC COMMENT, if any – Limited to Three Minutes per Person
4. APPROVAL OF MINUTES for March 12, 2019 Meeting
5. APPROVAL OF AGENDA
6. PRESENTATIONS AND AWARDS a. Employee, Tenant and Special Recognition b. Introduction of Retired, New, and Promoted Employees c. Tenant Communication
7. COMMITTEE AND LIAISON REPORTS a. Finance and Business Development Committee b. Planning and Construction Committee c. Airport Noise Advisory Panel (ANAP) d. Community Outreach Committee (COC) e. Stead Liaison Board Agenda April 11, 2019 Board Meeting Page 2 of 3
f. RSCVA Board Liaison g. Air Service Liaison h. The Chamber Reno Sparks Northern Nevada Liaison i. Reno-Tahoe International Airport Users Committee j. Legislative Priorities Committee
8. CONSENT ITEMS FOR BOARD ACTION
a. #19(04)-19 Authorization for the President/CEO to Award a Two-Year Contract for the Elevator and Escalator Maintenance Service Agreement, with Kone, Inc., in the Amount of $225,936
b. #19(04)-20 Authorization for the President/CEO to Award a Thirty-Eight Month Contract for Maintenance and Support of the Airport Noise and Operations Monitoring System at the Reno-Tahoe International Airport with EMS Brüel & Kjær, Inc (B+K) in the Amount of $356,703
9. ITEMS FOR BOARD INFORMATION, DISCUSSION AND POSSIBLE ACTION
a. #19(04)-21 Authorization for the President/CEO to Award a Construction Contract for the Passenger Boarding Bridge Replacement Project, Consisting of Six Passenger Boarding Bridges, at Reno-Tahoe International Airport, with John Bean Technologies Corp., in the Amount of $4,451,401
b. #19(04)-22 Authorization for the President/CEO to Negotiate Final Terms and Execute a First Amendment to Extend the Term of the Special Event License by One Year for the 2020 Events for a $45,000 License Fee and Negotiate Final Terms and Execute a First Amendment to Extend the Commercial Hangar and Ground Lease by One Year for a Contract Value of $187,599.36 Located at the Reno- Stead Airport, with the Reno Air Racing Association, for a Total Combined Minimum Contract Value of $232,599.36
c. #19(04)-23 Appointment of Gus Freitag as a New Member of the Reno-Tahoe Airport Authority Community Outreach Committee
10. ITEMS FOR BOARD INFORMATION AND DISCUSSION a. Presentations i. State Legislative Update
b. Upcoming Meetings/RTAA Event Schedule i. Board/Committee Meetings 1. April 11, 2019 TBD* Fiscal Year 2019-2020 Budget Workshop 2. April 18, 2019 5:30 pm Community Outreach Committee Meeting 3. May 2, 2019 3:30 pm Airport Noise Advisory Panel Meeting 4. May 21, 2019 9:00 am Finance & Business Development Committee Meeting 5. May 21, 2019 9:30 am Planning & Construction Committee Meeting 6. May 23, 2019 9:00 am Board of Trustees Meeting Board Agenda April 11, 2019 Board Meeting Page 3 of 3
7. June 10, 2019 4:30 pm RTIA Users Committee Meeting 8. June 11, 2019 9:00 am Finance & Business Development Committee Meeting 9. June 11, 2019 9:30 am Planning & Construction Committee Meeting 10. June 13, 2019 9:00 am Board of Trustees Meeting 11. June 13, 2019 TBD* Concourse Project Delivery Workshop 12. June 20, 2019 5:30 pm Community Outreach Committee Meeting - Tentative
* Immediately Following Adjournment of Board of Trustees Meeting
ii. RTAA Events None
c. President/CEO’s Report
d. General Board Comments, Questions, and Items for Future Board/Committee Meetings
11. PUBLIC COMMENT, if any – Limited to Three Minutes per Person
12. ADJOURNMENT
Items will not necessarily be considered in the sequence listed. This meeting may be continued if all of the items are not covered in the time allowed. If the meeting is to be continued, the time and place will be announced at the end of the portion of the meeting to be continued.
SUPPORTING MATERIAL: The designated contact to obtain supporting material is Cindy Riddell, Executive Assistant, P.O. Box 12490, Reno, NV, 89510 or 775-328-6410. Supporting material is also available at the Reno-Tahoe Airport (Administrative Offices) and at the scheduled meeting.
Members of the public who are disabled and require special accommodations or assistance at the meeting are requested to notify the Clerk of the Board in writing at P.O. Box 12490, Reno, Nevada 89510 or by calling (775) 328-6410 prior to the meeting date.
THIS AGENDA HAS BEEN POSTED AT THE FOLLOWING LOCATIONS: 1. Airport Authority Administrative Offices – 2001 E. Plumb Lane, Reno 3. Reno City Hall – One East First Street, Reno 2. Washoe County Administrative Offices – 1001 E. 9th Street, Reno 4. Sparks City Hall – 431 Prater Way, Sparks
*** These draft minutes have not yet been approved and are subject to revision at the next regularly scheduled meeting. ***
RENO-TAHOE AIRPORT AUTHORITY MINUTES MEETING OF THE BOARD OF TRUSTEES March 12, 2019 9:00 a.m.
MEMBERS PRESENT ALSO PRESENT Lisa Gianoli, Chair Marily M. Mora, A.A.E. Jessica Sferrazza, Vice Chair President/CEO Richard Jay, Secretary Dean Schultz, A.A.E. Nat Carasali Executive Vice President/COO Shaun Carey Ann Morgan Carol Chaplin General Counsel Daniel Farahi Laura Bayer Art Sperber Clerk of the Board
MEMBERS ABSENT/EXCUSED Jenifer Rose, Treasurer
The Board of Trustees met in the Board Room, Airport Authority Administrative Offices, Reno-Tahoe International Airport, Reno, Nevada. Chairwoman Lisa Gianoli called the meeting to order at 9:00 a.m. The Pledge of Allegiance was recited and roll was called.
3. PUBLIC COMMENT, if any – Limited to Three Minutes Per Person Bob Larkin, member of the RTIA Users Committee and a T-Hangar lessee, commented regarding Item #19(03)-12 – General Aviation Rent Methodology Report. Mr. Larkin has participated in all of the meetings and surveys related to this contract and asked that the Board not move forward today with the acceptance and approval of this item due to lack of 1) economic variables, 2) integration of the survey into the methodology, and 3) identification of the relationship of the weights given to relevant and useable information, data, and documentation from competitive airports. Mr. Larkin also requested that a historical cost analysis be completed in connection with the consultant’s proposed methodology. Mr. Larkin requested that this item be sent back to the Finance and Business Development Committee for further discussion. Mr. Larkin submitted his written statement which has been made part of the record.
4. APPROVAL OF MINUTES Minutes of February 14, 2019: On motion by Trustee Jay, seconded by Trustee Sperber, which motion duly carried by unanimous votes, with the members present, the Board approved the minutes from the Board of Trustees meeting of February 14, 2019.
Meeting of the Board of Trustees March 12, 2019 Minutes Page 2 of 10
5. APPROVAL OF AGENDA On motion by Trustee Jay, seconded by Trustee Farahi, which motion duly carried by unanimous votes, with the members present, the Board approved the March 12, 2019 Board of Trustees meeting agenda. 6. PRESENTATIONS AND AWARDS a. Employee, Tenant and Special Recognitions Randy Carlton, CFO, announced that the Reno-Tahoe Airport Authority (RTAA) received the Distinguished Budget Presentation Award from the Government Finance Officers Association “GFOA” of the United States and Canada for our Fiscal Year 2018-19 budget. This award is given to organizations that meet the highest principles of governmental budgeting. Mr. Carlton recognized Tony Osendorf, the former Finance & Budget Manager, Alex Kovacs the current Finance & Budget Manager, and Josefa Ramirez-Torres, Financial Analyst. He also noted that former CFO, Rick Gorman, deserves much of the credit as well.
b. Introduction of Retired, New and Promoted Employees
Dean Schultz, Executive Vice President/COO, introduced two new employees: Alfredo Alvarez, Airport Facilities Custodian and Adam Twitchell, Facilities Technician II.
Mr. Schultz announced the promotions of Brandon Mikoleit, from Parking Attendant to Administrative Assistant II, Vanessa Vargas, from On-Call Customer Service Representative to Parking Lot Attendant, and Renea Ghassedi, from Application Specialist to IT Project Manager.
c. Tenant Communication None.
7. COMMITTEE / LIAISON REPORTS
Committee / Liaison reports were given by: a. Airport Noise Advisory Panel (ANAP) – Trustee Jay b. Community Outreach Committee (COC) – Trustee Sferrazza c. Stead Liaison – Trustee Carey d. RSCVA Board Liaison – Trustee Carasali e. Air Service Liaison – Trustee Carasali f. The Chamber Reno Sparks Northern NV – CEO Marily Mora noted that there was no update this month. g. Reno-Tahoe International Airport Users Committee – Trustee Jay commented that the Users Committee met the evening prior to review the GA hangar rent study for a second time. He thanked the users group for all their involvement. h. Legislative Priorities Committee – Chair Gianoli
8. CONSENT ITEMS FOR BOARD ACTION None.
Meeting of the Board of Trustees March 12, 2019 Minutes Page 3 of 10
9. ITEMS FOR BOARD INFORMATION, DISCUSSION AND POSSIBLE ACTION a. #19(03)-11 Authorization for the President/CEO to Negotiate Final Terms and Execute a New 5-Year Commercial Lease and One 5-Year Option to Extend, Located at the Reno-Tahoe International Airport, Between Dassault Aircraft Services Corporation and the Reno-Tahoe Airport Authority, for a Minimum Contract Value of $1,921,564.00
Lora Robb, Senior Manager of Properties, recognized Tracy Kalbfleisch, Dassault Vice President/General Manager and Philip Rhodes, Dassault Senior Operations Manager, who were in attendance and available for any questions from the Board. Ms. Robb gave a presentation outlining the proposed terms, conditions and fiscal impact of a 5-year lease with one 5- year option to extend. She explained that the hangar is approximately 20 years old and had reverted back to the RTAA in 2006 from American Airlines and then Dassault took it over in 2008 on a 5-year lease with a 5- year extension. That lease expired in December 2018 and they have been operating on a month-to-month basis since that time, pending a new contract. Ms. Robb stated that the tenant is in good standing. She then explained that the previous lease had charged separately for the land and the facility. This new agreement will not charge for the land beneath the facility itself.
On motion by Trustee Carasali, seconded by Trustee Farahi, which motion was duly carried by unanimous votes, with the members present, the Board approved Agenda Item #19(03)-11 as follows:
Authorized the President/CEO to Negotiate Final Terms and Execute a New 5-Year Commercial Lease and One 5-Year Option to Extend, Located at the Reno-Tahoe International Airport, Between Dassault Aircraft Services Corporation and the Reno-Tahoe Airport Authority, for a Minimum Contract Value of $1,921,564.00.
b. #19(03)-12 Review and Discussion of the General Aviation Rent Methodology Phase I Report and Possible Action to Approve the Recommended Methodology and Authorize the President/CEO to Implement the Methodology to Establish Recommended Non-Commercial Aeronautical Hangar Rates for the Reno-Tahoe Airport Authority Owned T-Hangars and Box Hangars
Dean Schultz, Executive Vice President/COO, presented some of the background on this item including that the Board appointed a three-person committee to oversee the consultant selection process: Richard Jay representing the RTAA Trustees; Jim Rundle, representing Reno Tahoe Aviation Group (RTAG), and himself representing the RTAA staff. As a result of a Request of Qualifications (RFQ) process, two submissions were received and a Professional Services agreement was executed with Aviation Management Consulting Group (AMCG) on October 12, 2018. Mr. Schultz also explained the Scope of Work includes two phases. This item is asking Meeting of the Board of Trustees March 12, 2019 Minutes Page 4 of 10
for approval of Phase I, to recommend a methodology for establishing non- commercial aeronautical hangar rent rates and only after Phase I was approved by the Board would Phase 2 be initiated. Mr. Schultz then introduced David Benner, Managing Consultant, with Aviation Management Consulting Group.
Mr. Benner gave a presentation on the work done to complete Phase I of the PSA noting that based upon all the input AMCG gathered in surveys and interviews, they prepared the recommended Rent Methodology and presented that in January to the RTIA Users Committee. The comments received at the Users Committee meeting were incorporated into the report presented today.
Chair Gianoli thanked Mr. Benner for his report and noted that the Board Memo contained a lot of history which was very helpful as well. Trustee Sferrazza asked about incorporating Mr. Larkin’s comments into the methodology. Mr. Benner indicated he was present during the public comment and noted that the original report presented in January did not include any economic variables, but AMCG has gone back and made adjustments to include representative economic variables. They will also weight the median income variable the same as the aeronautical variables when considering comparable airports.
Mr. Benner stated that the integration of the survey results was another comment, but he disagrees that this input wasn’t incorporated. AMCG reviewed each of the variables, and some of the attributes that were important to this community were integrated into the report. The best example of that is the proximity to fueling services.
Trustee Sferrazza inquired if the recommended methodology is consistent with best practices. Mr. Benner replied that it is consistent with best practices and AMCG made certain modifications to reflect this particular airport.
In response to a request from Trustee Jay, Mr. Benner explained that AMCG received an over 60% response rate to their survey which represents input from a wide group.
Trustee Carey stated that as we did our Master Plan, we found that the GA customer base is not projected to grow over the period of the study while everything else at the Airport is growing and we will need to expand facilities. One of the places for that expansion is the location of the west hangars. Those west hangars came to the airport because of a failure of an FBO and the RTAA inherited that property and the capital needs in that area including a drainage issue that appears to be rather costly to fix. If the RTAA is going to keep the west hangars for an extended period of time, a significant capital investment is needed. It is important that we look at our vision for the future of General Aviation. He asked Mr. Benner if there was Meeting of the Board of Trustees March 12, 2019 Minutes Page 5 of 10
a variable inside of this hangar study that addresses the need for the RTAA to stabilize and not lose services that are critical here. Mr. Benner replied that is a challenge the industry is facing.
Mr. Schultz added that the direction given a year ago is that staff needed to establish an industry best practices approach to the pricing of our current facilities which is the purpose of this study. He indicated that staff are working on other initiatives to attract further GA activity on the Airport in concert with this study.
On motion by Trustee Jay, seconded by Trustee Carasali, which motion was duly carried by seven votes in favor, Trustee Carey opposed, and Trustee Rose absent, the Board approved Agenda Item #19(03)-12 as follows:
Approved the Recommended Methodology and Authorized the President/CEO to Implement the Methodology to Establish Recommended Non-Commercial Aeronautical Hangar Rates for the Reno-Tahoe Airport Authority Owned T-Hangars and Box Hangars.
c. #19(03)-13 Authorization for the President/CEO to Award a Five Year Contract for In- Line Baggage Handling System Operations and Maintenance with Elite Line Services, Incorporated (ELS) in the Amount of $5,997,413.89
David Pittman, Vice President of Facilities and Maintenance, indicated that Trustees Jay and Carey assisted in the evaluation of Baggage Handling System bids. Two bids were received and Elite Line Services Incorporated (ELS) was chosen. Mr. Pittman stated that ELS has 24/7 on-site system management. He receives ten reports every day regarding the performance of the contractor and they must maintain 99% reliability.
Trustee Farahi asked if there was an explanation for the significant increase in costs. Mr. Pittman replied that the mechanics for baggage handling systems are in high demand and we are seeing increases in labor costs, so the cost increase is to keep people here in Reno to operate these specialized systems.
On motion by Trustee Carey, seconded by Trustee Jay, which motion was duly carried by unanimous votes, with the members present, the Board approved Agenda Item #19(03)-13 as follows:
Authorized the President/CEO to Award a Five Year Contract for In-Line Baggage Handling System Operations and Maintenance with Elite Line Services, Incorporated (ELS) in the Amount of $5,997,413.89.
d. #19(03)-14 Authorization for the President/CEO to Award a Contract for the Upgrade of the Existing Computer Aided Dispatch (CAD) and Law Enforcement Records Management System (LERMS) at Reno-Tahoe International Airport, to Tyler Technologies, Inc. in the Amount of $483,083 Meeting of the Board of Trustees March 12, 2019 Minutes Page 6 of 10
Mark Cameron, Vice President of Operations and Public Safety, recognized Rob Simons, Sales Director for Tyler Technologies and Captain Mark Jongsma from the Airport Police, who are both available for any questions the Board may have. Mr. Cameron explained that the Computer Aided Dispatch (CAD) and the Law Enforcement Records Management System (LERMS) is a vital part of the communications system at the Airport. The existing system is approaching the end of its service life, having been installed in 2014 with a 5-year anticipated service life. This new system will provide a real-time data stream which will help with responses. He also stressed that the RTAA must be compliant with National Incident-Based Reporting System (NIBRS) by December 31, 2020 and the current CAPERS CAD and LERMS software system is not compliant.
Trustee Carey inquired if staff is confident that the Tyler Technologies system will integrate with the challenges of bringing new information to public safety personnel. Mr. Cameron replied yes, they have a very robust research and development arm associated with their company which would allow us, over time, to integrate with other systems.
Trustee Sferrazza asked if staff followed up with local governments because there had been software coordination problems in the past. Captain Jongsma replied that he spoke with the County dispatch operator as well as the Cities of Sparks and Reno and they are facing the same challenges. He stated Tyler Technologies is on the cutting edge of what we’re looking for over the next 5-10 years.
On motion by Trustee Sferrazza, seconded by Trustee Farahi, which motion was duly carried by unanimous votes, with the members present, the Board approved Agenda Item #19(03)-14 as follows:
Authorized the President/CEO to Award a Contract for the Upgrade of the Existing Computer Aided Dispatch (CAD) and Law Enforcement Records Management System (LERMS) at Reno-Tahoe International Airport, to Tyler Technologies, Inc. in the Amount of $483,083.
Trustee Sferrazza suggested that staff’s presentations were not required for the next four items and asked the Chairwoman to call for a vote on each item. Chair Gianoli agreed and called for a vote on each of the next four items for action without discussion.
e. #19(03)-15 Authorization for the President/CEO to Award a Construction Contract for the 2019 Phase 1 Landside Pavement Repairs and Rehabilitation Project at Reno-Tahoe International Airport, with Sierra Nevada Construction, in the Amount of $468,007
On motion by Trustee Carey, seconded by Trustee Farahi, which motion was duly carried by unanimous votes, with the members present, the Board approved Agenda Item #19(03)-15 as follows: Meeting of the Board of Trustees March 12, 2019 Minutes Page 7 of 10
Authorized the President/CEO to Award a Construction Contract for the 2019 Phase 1 Landside Pavement Repairs and Rehabilitation Project at Reno-Tahoe International Airport, with Sierra Nevada Construction, in the Amount of $468,007.
f. #19(03)-16 Authorization for the President/CEO to Execute Amendment No. 1 (2019 Phase 1 Landside Pavement Repairs and Rehabilitation Project) to the Professional Services Agreement for 2019 Annual Construction Management Services for the Airport Capital Improvement Plan at Reno- Tahoe International Airport and Reno-Stead Airport, with Atkins North America, in the Amount of $62,400 for a Total of $108,400
On motion by Trustee Sperber, seconded by Trustee Jay, which motion was duly carried by unanimous votes, with the members present, the Board approved Agenda Item #19(03)-16 as follows:
Authorized the President/CEO to Execute Amendment No. 1 (2019 Phase 1 Landside Pavement Repairs and Rehabilitation Project) to the Professional Services Agreement for 2019 Annual Construction Management Services for the Airport Capital Improvement Plan at Reno-Tahoe International Airport and Reno-Stead Airport, with Atkins North America, in the Amount of $62,400 for a Total of $108,400.
g. #19(03)-17 Authorization for the President/CEO to Accept a Pending Airport Improvement Program Grant Offer and Award a Construction Contract for the Runway 16R-34L Reconstruction Project, Phase 1 – Runway 16L-34R Shoulder & East Lighting Vault at Reno –Tahoe International Airport, with Granite Construction Company, in the Amount of $14,235,235
On motion by Trustee Carey, seconded by Trustee Jay, which motion was duly carried by unanimous votes, with the members present, the Board approved Agenda Item #19(03)-17 as follows:
Authorized the President/CEO to Accept a Pending Airport Improvement Program Grant Offer and Award a Construction Contract for the Runway 16R-34L Reconstruction Project, Phase 1 – Runway 16L-34R Shoulder & East Lighting Vault at Reno –Tahoe International Airport, with Granite Construction Company, in the Amount of $14,235,235.
h. #19(03)-18 Authorization for the President/CEO to Execute an Airport Improvement Program Grant Offer and to Execute Amendment No. 2 (Reno-Tahoe International Airport, Runway 16R-34L Reconstruction Project, Phase 1 – Runway 16L-34R Shoulder & East Lighting Vault) to the Professional Services Agreement for 2019 Annual Construction Management Services for the Airport Capital Improvement Plan at Reno-Tahoe International Airport and Reno-Stead Airport, with Atkins North America, in the Amount of $855,700, for a Total of $964,100 Meeting of the Board of Trustees March 12, 2019 Minutes Page 8 of 10
On motion by Trustee Sferrazza, seconded by Trustee Farahi, which motion was duly carried by unanimous votes, with the members present, the Board approved Agenda Item #19(03)-18 as follows:
Authorized the President/CEO to Execute an Airport Improvement Program Grant Offer and to Execute Amendment No. 2 (Reno-Tahoe International Airport, Runway 16R-34L Reconstruction Project, Phase 1 – Runway 16L- 34R Shoulder & East Lighting Vault) to the Professional Services Agreement for 2019 Annual Construction Management Services for the Airport Capital Improvement Plan at Reno-Tahoe International Airport and Reno-Stead Airport, with Atkins North America, in the Amount of $855,700, for a Total of $964,100.
11. ITEMS FOR BOARD INFORMATION AND DISCUSSION a. Presentations i. Safe Place Implementation – Brian Kulpin, Vice President of Marketing and Public Affairs, indicated he is standing in for Romona Fisher, Manager of Airport Security, who is out on a family emergency. Mr. Kulpin recognized that he was joined by Jason Rich, Security Supervisor. Mr. Kulpin stated that the RTAA is taking customer service to a whole different level by becoming a Safe Place and offering assistance to victims of human trafficking or child abuse. Mr. Kulpin recognized Kim Hargrove, Project Manager for Safe Place and Jim Deal, Department of Homeland Security, who were available to answer any questions the Board may have. Mr. Kulpin stated that 4.2 million people go through our Airport each year and some of them have very specific needs.
Jason Rich reviewed a presentation outlining the Safe Place plan for RNO which includes training for Airport Duty Managers, Security and Aircom staff as well as all Airport badge holders. There will be a designated Safe Place Recovery Area and signage on every entrance to the terminal and in all public bathroom stalls.
Mr. Kulpin added that RNO will be the largest airport in the nation to be declared a safe place. He reiterated that everyone in the airport who has a badge will be trained to recognize the signs of human trafficking. Mr. Kulpin announced that we will be filming the training program here which will be used by airports nationwide for Safe Place training.
Chairwoman Gianoli thanked staff for this effort, noting that it is an amazing program. Trustee Carey thanked Ms. Mora for getting involved in this because it is a true THRIVE value. He commended staff for a job well done. Trustee Sferrazza requested that Mr. Kulpin bring this to the Community Outreach Committee at their April meeting.
ii. State Legislative Update – Jodi Stephens, Senior Policy Advisor, Brownstein, Hyatt, Farber Schreck (BHFS) announced that the Majority Leader Senator Calvin Atkinson stepped down and has been replaced by Senator Cannizzaro as Majority Leader.
Meeting of the Board of Trustees March 12, 2019 Minutes Page 9 of 10
Ms. Stephens complimented the RTAA staff for doing an amazing job making sure the BHFS team understands what the bills mean to the Airport. She stated that all legislator bills have to be introduced by March 18th and by March 25th for bills with no effect on the budget. Bills have to be out of the House of Origin by April 12th.
Chairwoman Gianoli thanked Ms. Stephens for the update and asked for questions from the Board. Hearing none, she closed this item.
b. Upcoming Board Meetings/RTAA Event Schedule - i. Board/Committee Meetings 1. March 12, 2019 TBD* Digital Marketing Workshop 2. March 12, 2019 5:30 pm Reno-Stead Users Meeting 3. April 9, 2019 9:00 am Finance & Business Development Committee Meeting 4. April 9, 2019 9:30 am Planning & Construction Committee Meeting 5. April 11, 2019 9:00 am Board of Trustees Meeting 6. April 11, 2019 TBD* Fiscal Year 2019-2020 Budget Workshop 7. April 18, 2019 5:30 pm Community Outreach Committee Meeting 8. May 2, 2019 3:30 pm Airport Noise Advisory Panel Meeting 9. May 21, 2019 9:00 am Finance & Business Development Committee Meeting 10. May 21, 2019 9:30 am Planning & Construction Committee Meeting 11. May 21, 2019 TBD** Concourse Project Delivery Workshop 12. May 23, 2019 9:00 am Board of Trustees Meeting 13. June 10, 2019 4:30 pm RTIA Users Committee Meeting 14. June 11, 2019 9:00 am Finance & Business Development Committee Meeting 15. June 11, 2019 9:30 am Planning & Construction Committee Meeting 16. June 13, 2019 9:00 am Board of Trustees Meeting
* Immediately Following Adjournment of Board of Trustees Meeting ** Immediately Following Adjournment of Planning & Construction Committee Meeting
ii. RTAA Events None
c. President/CEO’s Report Ms. Mora emphasized that the annual Budget Workshop will take place following the Board meeting on April 11th. Also, on Tuesday, May 21st, there will be a special workshop after the committee meetings on the Concourse Project Delivery.
Ms. Mora referred the Trustees to the written President/CEO Report in their Board binders. She then highlighted that Sunday night will be an event to welcome the 4th Military to the Mountains which brings wounded veterans to town to ski at Squaw Valley. She also called attention to the art display near the C Concourse elbow. Three Carson City organizations are featuring their artwork and over 150 people showed up for the grand opening on February 26th including Mayor Crowell of Carson City.
d. General Board Comments, Questions, and Items for Future Board Meetings Trustee Jay complimented the Airport Police Department staff who responded quickly and professionally to handle a situation where someone was begging for money in the concourse. Meeting of the Board of Trustees March 12, 2019 Minutes Page 10 of 10
There were no further comments, questions, or future Board items raised by the Trustees.
11. PUBLIC COMMENT, if any – Limited to Three Minutes per Person None.
12. ADJOURNMENT There being no further business, Chairwoman Gianoli adjourned the meeting at 11:14 am.
______Chair Lisa Gianoli ATTEST:
______Secretary Richard Jay
*** These draft minutes have not yet been approved and are subject to revision at the next regularly scheduled meeting. ***
Board Memorandum Reno-Tahoe Airport Authority
Date: April 3, 2019 Memo: # 19(04)-19 To: Chairwoman and Board Members For:April 11, 2018 Board Meeting From: Manly M. Mora, A.A.E., President/CEO Subject: AUTHORIZATION FOR THE PRESIDENT/CEO TO AWARD A TWO-YEAR CONTRACT FOR THE ELEVATOR AND ESCALATOR MAINTENANCE SERVICE AGREEMENT, WITH KONE, INC., IN THE AMOUNT OF $225,936
STAFF RECOMMENDATION Staff recommends that the Board authorize the President/CEO to award a two-year contract with KONE, Inc., in the amount of $225,936, for the maintenance of elevators and escalators at Reno-Tahoe International Airport (RNO) and Reno-Stead Airport (RTS).
PURPOSE The purpose of this action is to authorize the President/CEO to award a two-year contract in the amount of $225,936 with KONE, Inc., for the annual elevator and escalator preventive maintenance required by the State of Nevada.
This action is in support of the Reno-Tahoe Airport Authority (RTAA) Strategic Priority # 4 — Safety and Security, and Priority #6 Customer Experience as adopted in the Fiscal Year (FY) 2019-2023 Comprehensive Strategic Plan.
BACKGROUND The RTAA is subject to the requirements of Nevada Revised Statute (NRS) 455C pertaining to the maintenance and operations of the elevators and escalators in order to maintain the required operating permits and ensure the safe and proper operation of the equipment. The RTAA owns six (6) escalators and thirteen (13) elevators at RNO and RTS has one elevator in the terminal and one "Wheel-O-Vator" wheelchair lift located in the Bureau of Land Management (BLM) Fire Base Facility.
The current contract for the service and maintenance of this equipment was awarded to KONE, Inc. on July 1, 2014 and included the initial one-year contract with four (4) one- year renewal options to be awarded in subsequent years based on the performance of the contractor. This contract expires on June 30, 2019.
DISCUSSION The Request for Bids (RFB) was released and published on January 15th, 2019 in the Reno-Gazette Journal (RGJ) and posted on the RTAA's website, and on the on-line bidding website Nevada eGovernment Marketplace (NGEM). The NGEM invitation went to 465 contractors of which 11 viewed the RFB documents. A mandatory pre-bid meeting was held on January 30, 2019, and three (3) contractors were in attendance. Bids were Elevator/Escalator Contract # 19(04)49 April 11, 2019 Board Meeting Page 2 of 2 opened on February 22nd, 2019 of which two were received and both were deemed to be responsive and responsible.
Company Year 1 Year 2 Total KONE $111,648 $114,288 $225,936 ThyssenKrupp $143,250 $143,250 $286,500
COMPANY BACKGROUND KONE, Inc. has been in business in the area for the last 50 years and has a local office located at 1325 Airmotive Way in Reno. KONE was originally founded in Helsinki, Finland in 1910 and entered into the American elevator market in 1981. The company has over 52,000 employees and 400,000 customers worldwide.
FISCAL IMPACT This contract renewal is budgeted in the FY 2019/2020 Building Maintenance Contracted Services Line Item account in the amount of $130,000.
COMMITTEE COORDINATION This item is scheduled to be presented at the April 9, 2019 Finance Committee meeting.
RECOMMENDATION It is hereby recommended that the Board adopt the following motion:
"It is hereby moved that the Board authorizes the President/CEO to award a two-year contract for elevator and escalator maintenance service agreement with KONE, Inc., in the amount of $225,936, and authorizes the President/CEO, or her designee to sign."
MMM/dp/lb Board Memorandum Reno-Tahoe Airport Authority
Date: April 3, 2019 Memo: #19(04)-20 To: Chairwoman & Board Members For: April 11, 2019 Board Meeting From: Marily M. Mora, A.A.E., President/CEO -0‘.4.,..; Subject: AUTHORIZATION FOR THE PRESIDENT/CEO TO AWARD A THIRTY-EIGHT MONTH CONTRACT FOR MAINTENANCE AND SUPPORT OF THE AIRPORT NOISE AND OPERATIONS MONITORING SYSTEM AT THE RENO-TAHOE INTERNATIONAL AIRPORT WITH EMS BRUEL & KJ1ER, INC (13+K) IN THE AMOUNT OF $356,703
STAFF RECOMMENDATION Staff recommends the Board of Trustees authorize the President/CEO to award a thirty-eight month contract for maintenance and support of the Airport Noise and Operations Monitoring System (ANOMS) at the Reno-Tahoe International Airport (RNO) with EMS Bruel & Kjwr, Inc. (B+K) in the amount of $356,703.
PURPOSE The purpose of this action is to request authorization for the President/CEO to award a thirty-eight month contract for maintenance and support of the ANOMS at RNO to B+K. This action is in support of the Reno-Tahoe Airport Authority (RTAA) Strategic Priority #1 — Air Service & Cargo, Strategic Priority #2 — General Aviation, and Strategic Priority #6 — Customer Experience as identified in the Reno-Tahoe Airport Authority Fiscal Year (FY) 2019-2023 Strategic Plan.
BACKGROUND An ANOMS has been operational in the community since March 2010. The ANOMS, which includes fourteen monitors located under the flight paths of RNO, collects information on aircraft operations and noise events. This information is available to the public via the renoairport.com website and allows individuals the ability to access near real-time flight tracking data and to report noise complaints. The ANOMS matches noise complaints with aircraft operations and noise events, serving as an effective tool for staff when addressing noise complaints and questions from the public.
The ANOMS was designed, acquired, and installed using a Federal Aviation Administration (FAA) Airport Improvement Program grant. The first three (3) years of maintenance and support was included in the initial grant funded acquisition and commenced upon commissioning and system acceptance.
In 2013, B+K was awarded a new three-year maintenance agreement with an option for two (2) additional years, exempt from competitive bidding per NRS 332.115.1(A) and (C) (Board Memo #13(10)-49). In 2016, the two-year extension was awarded (Board Memo #16(04)-05). The extension expired on June 30, 2018, and B+K has continued to provide maintenance and support under a month-to-month agreement. ANOMS Maintenance and Support #19(04)-20 April 11, 2019 Board Meeting Page 2
DISCUSSION A Request for Proposals for maintenance services was released and published on November 30, 2018 in the Reno-Gazette Journal (RGJ), published in Aviation News Today and Airport Report Today, posted on the RTAA's website, on the on-line bidding website Nevada eGovernment Marketplace (NGEM), and within the searchable classifieds databases at www.aviationnews.net and www.aaae.org.
Interested vendors were allowed to propose either 1) to maintain and support the existing ANOMS equipment or 2) to maintain and support upgraded ANOMS equipment. All costs associated with an upgrade (hardware, software, etc.) were to be included in the base price. Vendors were required to identify all costs associated with a three-year contract, with the future option of a two-year extension at the discretion of the RTAA. Costs associated with the optional two-year extension would be negotiated at a later date and brought before the RTAA Board of Trustees prior to conclusion of the three-year contract.
Two proposals were received by the January 16, 2019 deadline.
The following table outlines the proposers and the annual costs submitted by each proposer:
Year Year Year Monthly Vendor TOTAL One Two Three Average EMS Briiel & Kjxr, Inc. $109,500 $112,785 $116,168 $338,453 $9,401 Harris Corporation $132,000 $132,000 $132,000 $392,000 $10,889
A selection committee comprised of Trustee Jay and RTAA staff evaluated both proposals on January 23, 2019. The evaluation criteria included the vendor's past experience and expertise in providing ANOMS services to airports of similar size and complexity, the vendor's proposed work plan, including testing, training, and QA/QC, and the perceived value of any upgrades offered under the base price. The selection committee unanimously recommended advancing both proposals to the second round of evaluation which included in-person interviews and a demonstration of the proposed system.
An expanded selection committee comprised of Trustee Jay and additional RTAA staff convened on February 15, 2019 for the interviews and demonstrations. Vendors were asked to provide an in-depth overview of their plans to upgrade systems, software, and/or equipment including their proposed project schedule and projected disruptions, a summary of their maintenance and service plan, additional information on the training and support tools, and a demonstration of the staff interface and the public web-based portal. After a lengthy and thorough discussion, the selection committee unanimously identified B+K as the vendor providing the best solution and most advantageous proposal to the RTAA.
Some of the key advantages from B+K included: • Seamless upgrade of the existing ANOMS software to the latest version with no downtime or loss of data, • Transparent upgrade of the public web-based portal and associated public outreach to train and inform users, likely through the Airport Noise Advisory Panel meetings, ANOMS Maintenance and Support #19(04)-20 April 11, 2019 Board Meeting Page 3
• Increased training opportunities for RTAA staff, • Inclusion of warranty and as needed replacement of all disposable items, such as modems, solar panels, batteries, etc. for the duration of the three-year contract, • A combined 65 years of ANOMS maintenance and support for the Columbus Regional Airport Authority (Columbus International Airport and Rickenbacker International Airport), Hollywood-Burbank International Airport, Palm Beach County (Palm Beach International Airport), and the City of Long Beach (Long Beach Airport), and • Nine years of proven experience and capability to maintain and support the ANOMS at RNO to the satisfaction of RTAA staff.
Although price was not the only consideration in the evaluation, B+K submitted the overall lowest cost proposal and their proposal equates to a reduction in their current annual fee (approximately $125,000 annually not including materials and labor) while still providing increased functionality and additional services and materials not included in their current agreement.
During final negotiations, B+K agreed to add two (2) months to the requested three-year base price to allow for a contract that coincides with the fiscal year. The amended pricing is shown below.
Year One Year Two Year Three Monthly TOTAL (5/1/19-6/30/20) 7/1/20-6/30/21 (7/1/21-6/30/22) Averaue $127,750 $112,785 $116,168 $356,703 $9,387
This results in a contract duration of thirty-eight (38) months, beginning on May 1, 2019, and running through June 30, 2022 at a total cost of $356,703.
If approved, the contract will expire on June 30, 2022, unless in the opinion of the RTAA, the optional two-year extension is warranted based on consistently satisfactory maintenance and support services and a successful two-year extension can be negotiated.
COMPANY BACKGROUND B+K, a global provider of environmental services to airports, is owned by Spectris PLC (50%) and by Macquarie Capital (50%). Commencing as Lochard Corporation in 1990, B+K has been in operation for 29 years. B+K's corporate headquarters are located in Folsom, California, where 23 employees are stationed including the ones with primary responsibility for the RNO ANOMS.
FISCAL IMPACT Funding for the first year of this contract is included in the requested Fiscal Year 2019-20 Technology and Information Systems operating and maintenance budget that will be presented for approval to the Board during the May Board meeting for approval. Subsequent year funding will also be in the appropriate Fiscal Year Operation and Maintenance budgets. ANOMS Maintenance and Support #19(04)-20 April 11, 2019 Board Meeting Page 4
COMMITTEE COORDINATION This item will be presented to the Planning and Construction Committee on April 9, 2019 for discussion and possible recommendation to the Board of Trustees. Additionally, staff provided a presentation on the history and use of the RNO ANOMS and the proposed RFP process at the December 11, 2018 Planning and Construction Committee meeting.
RECOMMENDED MOTION Staff recommends that the Board adopt the following motion:
"It is hereby moved that the Board authorize the President/CEO or her designee to award a thirty-eight month contract for maintenance and support of the Airport Noise and Operations Monitoring System (ANOMS) at the Reno-Tahoe International Airport (RNO) with EMS Briiel & Kjwr, Inc. (B+K) in the amount of $356,703."
MMM/1kb/lb Board Memorandum Reno-Tahoe Airport Authority
Date: April 3, 2019 Memo: # 19(04)-21 To: Chairwoman and Board Members For: April 11,2019 Board Meeting From: Marily M. Mora, A.A.E., President/CEO Subject: AUTHORIZATION FOR THE PRESIDENT/CEO TO AWARD A CONSTRUCTION CONTRACT FOR THE PASSENGER BOARDING BRIDGE REPLACEMENT PROJECT, CONSISTING OF SIX PASSENGER BOARDING BRIDGES, AT RENO-TAHOE INTERNATIONAL AIRPORT, WITH JOHN BEAN TECHNOLOGIES CORP., IN THE AMOUNT OF $4,451,401
STAFF RECOMMENDATION Staff recommends the Board authorize the President/CEO to award a construction contract for the Passenger Boarding Bridge Replacement project, consisting of six passenger boarding bridges, at Reno-Tahoe International Airport, with John Bean Technologies Corp., in the amount of $4,451,401.
PURPOSE The purpose of this action is to request authorization for the President/CEO to award a construction contract for the Passenger Boarding Bridge Replacement project at Reno-Tahoe International Airport to John Bean Technologies Corp. (JBT). This action is in support of the Reno-Tahoe Airport Authority (RTAA) Strategic Priority #3 — Facilities for the Future, Strategic Priority #4 - Safety & Security, Strategic Priority #5 — Financial Diversification & Growth, and Strategic Priority #6 — Customer Experience, as adopted in the RTAA Fiscal Year (FY) 2019-2023 Strategic Plan.
BACKGROUND This project consists of the replacement of six (6) passenger boarding bridges in the Terminal Building at RNO. The six (6) passenger boarding bridges are located at Gates B10 and B11 on Concourse B and Gates Cl, C3, C5 and C7 on Concourse C. The six (6) passenger boarding bridges are the oldest bridges at RNO and were installed in 1996.
The six (6) passenger boarding bridges to be replaced have reached the end of their useful lives. The old analog technology has been replaced with digital technology and repair parts are becoming harder to find. The replacement of these bridges will enable the RTAA to continue to provide secure, all-weather access to move passengers and their carry-on luggage between the second floor of the concourses and the aircraft they are boarding or disembarking. The bridges continue to allow for Americans with Disabilities Act (ADA) compliant access for passengers with many types of disabilities and mobility impairments without climbing stairs or using a lift. A failure of the loading bridge equipment may result in a gate being taken out of service.
AERO Systems Engineering (AERO) was selected through a Request of Qualifications for the design of the Passenger Boarding Bridge Replacement project. AERO' s services included data gathering, preparation of a Basis of Design Report, preparation of construction plans and documents, bidding services, construction administration, facility commissioning and project closeout. AERO worked closely with project stakeholders. Passenger Boarding Bridge Replacement - Construction Contract #19(04)-21 April 11, 2019 Board Meeting Page 2 of 4
DISCUSSION Advertising for the Passenger Boarding Bridge Replacement project was sent to the following: Reno Gazette Journal, Nevada Government Marketplace (NGEM), NDOT, Nevada Blue, Sierra Contractors Source, Dodge Data and Analytics, ConstructConnect, AMAC (DBE directory), and posted on the RTAA's website on February 21, 2019 and bids opened on March 28, 2019. Bids were received from the following contractors:
Bidder Base Bid Bid Alternates Total JBT $4,145,642 $305,759 $4,451,401 ThyssenKrupp $6,176,721 $423,818 $6,600,539 Engineer's Estimate $5,438,533 $398,800 $5,837,333
The low, responsive, and responsible bidder is JBT in the amount of $4,451,401. The project contained five (5) bid alternates. The intent of the bid alternates was to provide flexibility to pick and choose alternates to allow the project to come within budget. The bids were reviewed for conformance with the bid requirements, and the recommendation was made by AERO to award the construction contract to JBT with some of the bid alternates.
The project consists of the replacement of six (6) passenger boarding bridges (PBB) located at Gates B10 (Delta) and B11 (Southwest) on Concourse B and Gates Cl, C3, C5 and C7 (United Airlines) on Concourse C. The scope of work includes the procurement of the new PBBs, demolition of the existing PBBs, installation of the new PBBs, removal and reinstallation of various pieces of existing equipment, including but not limited to, pre-conditioned air units and ground power units, installation of associated data cabling inside the concourses, removal of existing gate envelope striping, and new striping for all six (6) associated aircraft gate envelopes.
JBT is the General Contractor and the makers of the passenger boarding bridges. They are subcontracting with AERO BridgeWorks for the installation of the passenger boarding bridges and WTR Electric for the electrical work. The proposed JBT bridges are the same manufacturer as the existing twenty-three PBB on Concourses B and C. The JBT bridges are electro-mechanical controlled (as opposed to hydraulic), feature corrugated steel construction (as opposed to truss style), and use welded roofs (as opposed to caulked roof panels). Because the proposed JBT bridges are similar to those currently installed, the foundations may be reused and training for the operation and maintenance of the bridges for the RTAA's Maintenance Depai tinent and airlines will be minimal.
The project procurement phase consists of one hundred forty (140) calendar days in order to procure all materials, fixtures and equipment for the project. Once procurement is completed, the Notice to Proceed for construction will be issued. The total duration for construction phase is eighty-four (84) calendar days with no single PBB taking more than fourteen (14) days to be substantially complete. In addition, only one PBB may be down at any one time in each concourse. The contractor shall coordinate with the airline for a Test Fit with an aircraft to make sure the striping is completed and the equipment is operating correctly for the aircraft associated with the gate. Passenger Boarding Bridge Replacement - Construction Contract #19(04)-21 April 11, 2019 Board Meeting Page 3 of 4
The RTAA's Air Service team has reached out to the airlines regarding construction timing. All of the airlines indicated that they requested no work being performed during the summer months (June through August) as this is the airlines' busiest time of the year. With this in mind, the Notice to Proceed (NTP) for the procurement phase is planned to be issued in early May, 2019. Included with the procurement will be a NTP for paint removal and re-striping of the aircraft envelopes. This work will be completed prior to June 1, 2019. The Notice to Proceed date for construction is unknown at this point as the PBB manufacturer's schedule is unknown, however, it is anticipated to be in September 2019. With eighty-four (84) calendar days for the installation of the passenger boarding bridges, the anticipated completion date is early December, 2019.
Construction Management services shall be procured separately with Amendment No. 3 (Work Order 19-04) to the 2019 Construction Management (CM) Professional Services Agreement with Atkins North America through an Administrative Award of Contract.
The construction contract and other project costs are tabulated in the following table:
Project Estimate at Com letion Construction Estimate At Design Services Construction Other Direct Costs Management Completion $410,435 $31,555 $4,451,401 $754,009 $5,647,400 Other Direct Costs may include, but are not limited to: administrative costs, permits, utility company fees, environmental testing, legal advertisements, printing and the balance of the program budget. Environmental remediation is a standard exclusion from the contract and is not anticipated for this project.
This project is funded by Passenger Facility Charges (PFC) Application No. 13 (Amendment No. 1) with a total program of $5,647,400.
COMPANY BACKGROUND JBT's regional office is located in Ogden, Utah. JBT is one of the largest and most experienced passenger boarding bridge manufacturers in the United States. The existing PBBs at Reno-Tahoe International Airport are manufactured by JBT. They work closely with Aero BridgeWorks for the installation of the bridges. The electrical contractor, WTR Electric, is located in Reno and has successfully performed numerous projects at Reno-Tahoe International Airport.
FISCAL IMPACT The construction project is funded by Passenger Facility Charges (PFC) Application No. 13 (Amendment No. 1) with a total program of $5,647,400.
COMMITTEE COORDINATION This item is scheduled to be presented at the April 9, 2019 Planning and Construction Committee meeting. Passenger Boarding Bridge Replacement - Construction Contract #19(04)-21 April 11, 2019 Board Meeting Page 4 of 4
RECOMMENDED MOTION It is hereby recommended that the Board adopt the following motion:
"It is hereby moved that the Board authorizes the President/CEO to award a construction contract for the Passenger Boarding Bridge Replacement project, consisting of six passenger boarding bridges, at Reno-Tahoe International Airport with JBT, in the amount of $4,451,401, and authorizes the President/CEO or her designee to sign."
MMM/gp/lb Board Memorandum Reno-Tahoe Airport Authority
Date: April 3, 2019 Memo: #19(04)-22 To: Chairwoman & Board Members For: April 11, 2019 Board Meeting From: Marily Mora, A.A.E, President/CEO f1No-A,141 Sub j ect: AUTHORIZATION FOR THE PRESIDENT/CEO TO NEGOTIATE FINAL TERMS AND EXECUTE A FIRST AMENDMENT TO EXTEND THE TERM OF THE SPECIAL EVENT LICENSE BY ONE YEAR FOR THE 2020 EVENTS FOR A $45,000 LICENSE FEE AND NEGOTIATE FINAL TERMS AND EXECUTE A FIRST AMENDMENT TO EXTEND THE COMMERCIAL HANGAR AND GROUND LEASE BY ONE YEAR FOR A CONTRACT VALUE OF $187,599.36 LOCATED AT THE RENO- STEAD AIRPORT, WITH THE RENO AIR RACING ASSOCIATION, FOR A TOTAL COMBINED MINIMUM CONTRACT VALUE OF $232,599.36
STAFF RECOMMENDATION Staff recommends that the Board authorize the President/CEO to execute a First Amendment to the Special Event License (License) for the Pylon Racing Seminar (PRS) and National Championship Air Races (NCAR) (combined Events) in 2020 and a First Amendment to extend the Commercial Hangar and Ground Lease (Lease) term by one year at the Reno- Stead Airport (RTS), with the Reno Air Racing Association (RARA). The First Amendment will extend the term of the current agreements by one year.
PURPOSE The purpose of this action is twofold: (1) to execute a First Amendment to the Special Event License with RARA to hold the Pylon Racing Seminar (PRS) and National Championship Air Races (NCAR) (combined Events) in 2020 at the Reno-Stead Airport; and, (2) to execute a First Amendment to the Commercial Hangar and Ground Lease (Lease) for the facilities that serve as RARA's headquarters at RTS. The annual PRS Event is held each June and the annual NCAR Event is held in September.
This action is in support of the Reno-Tahoe Airport Authority (RTAA) Strategic Priority # 2: General Aviation and Strategic Priority # 5: Financial Diversification and Growth, as adopted in the RTAA Fiscal Year (FY) 2019-2023 Comprehensive Strategic Plan.
BACKGROUND In March 2018, RTAA and RARA entered into a Memorandum of Understanding where it was agreed that the renewal request for the License and Lease would be submitted to the Board on an annual basis in order to provide RARA with the two year residual term.
The Board approved the current License and Lease at its April 12, 2018 meeting. The existing term commenced June 1, 2018 and expires on May 31, 2020. RARA First Amendment to Special Event License and #19(04)-22 Commercial Hangar and Ground Lease April 11, 2019 Board Meeting Page 2 of 5
The First Amendment which grants to RARA a one year extension on the term of the License and the Lease will expire in May 2021.
License The current License between the RTAA and RARA was effective June 1, 2018 and expires May 31, 2020. In order to attract major sponsors, as well as make commitments to military performance teams and military static displays which have a significant impact on attendance, RARA prefers to maintain a minimum two year residual term on both the License and Lease.
Lease The current Lease between the RTAA and RARA was effective June 1, 2018 and expires May 31, 2020. RARA leases several hangars and various parcels of land at RTS from the RTAA. Hangar 5, one of the few RTAA-owned hangars at RTS, serves as RARA's year- round headquarters; Buildings 4001 and 4002 (owned by the RTAA) are also part of the Leased Premises. In addition, the current Lease includes ground rent from RARA for its hangar located between Buildings 4001 and 4002, and for the land under its spectator bleachers. Exhibit A illustrates the Premises occupied by RARA.
DISCUSSION The Board of Trustees and staff recognize that the Events have significant social and economic importance to northern Nevada, including but not limited to, the benefits of the NCAR to tourism in Reno, Sparks and Washoe County and in general, benefits to local charitable organizations and benefits to taxpayers from NCAR revenues. Based on these benefits, the annual one year extension reflects a concerted effort by the RTAA to help RARA remain financially viable.
Under the proposed amendment, the current tetins and conditions of the License and Lease will be extended for an additional year, expiring May 31, 2021 for a cumulative term of three years (36 months) June 1, 2018 to May 31, 2021. The business terms (Exhibits B1 and B2) that have been agreed to by RARA for the First Amendment to the Lease have remained unchanged. A summary of the proposed License and Lease terms are outlined in the Exhibits.
License RARA will submit the draft Certificate of Waiver and a preliminary operations plan 60 days prior to the Events. Upon approval by the FAA, RARA will provide a copy of the authorized Certificate of Waiver to the RTAA 30 days prior to the Events.
The proposed License fee for the 2018 Events was $40,000, and the License fee for the 2019 and 2020 Events is $45,000 for each year. RARA has agreed to pay the 2019 License fee in advance of the NCAR Event, on or before September 1, 2019. Under the proposed First Amendment, the 2020 License fee will be paid on or before September 1, 2020. RARA will RARA First Amendment to Special Event License and #19(04)-22 Commercial Hangar and Ground Lease April 11, 2019 Board Meeting Page 3 of 5
continue to pay for any and all operations support service charges in connection with the Events as it has since 2016.
Lease RARA uses the Leased Premises for commercial and non-commercial activities including subletting of hangar space; maintenance, repair, overhaul (MRO) of owned or leased aircraft; dry storage of aircraft; supporting office administration; outdoor parking; and storage. The business terms are included in Exhibit B2 and are outlined below.
• Term: One (1) year extension resulting in a three year (36 months) total term commencing June 1, 2018 and expiring May 21, 2021; • Premises: 39,600 square feet (sf) of hangar and office space (Hangar 5); 43,560 sf of exclusive outdoor parking and storage adjacent to Hangar 5; 4,860 sf of Hangar 4001 space; 5,204 sf of Hangar 4002 space; 5,265 sf of ground associated with the RARA- owned hangar located between Hangars 4001 and 4002; and 47,514 sf of ground associated with RARA-owned bleachers; • Utilities: Tenant is responsible for all utilities; • Maintenance and Repair: Tenant is responsible for the interior of the Leased Premises; • Use: Commercial subletting of hangar space; non-commercial MRO of owned/leased aircraft, office administration, and storage; • Snow Removal: Tenant is responsible for snow removal within 5 feet of hangar doors and walls; • Rent: Total monthly rent would be $15,633.28 (rents and rates for each portion of the Leased Premises are summarized below under Fiscal Impact); • Rent Adjustment: Annual adjustment based on the Consumer Price Index for all Urban Consumers (CPI-U) not to exceed 3% annually; • Cancellation: 30 days advance written notice by either party for no cause; and
The subletting of hangar space is considered a commercial activity and is subject to the RTS General Aviation Commercial Minimum Standards (GAMS). As a sublessor, RARA has been reporting all rental income to RTAA and has been paying a 3% Concession Fee on gross sales.
FISCAL IMPACT The 2019 License Fee of $45,000 is due by September 1, 2019.
License The proposed License fee for the 2020 Events is $45,000 representing no increase on the 2019 License Fee. In addition, RARA will pay for any and all operations support service charges incurred in connection with an Event, and/or reimburse the RTAA for such charges, if paid by the RTAA on RARA's behalf or on account of RARA, including but not limited to, cleanup, repair, storage, fuel, Aircraft Rescue Fire Fighting (ARFF), law enforcement, RARA First Amendment to Special Event License and #19(04)-22 Commercial Hangar and Ground Lease April 11,2019 Board Meeting Page 4 of 5 and equipment if, after demand of RARA by the RTAA, such charges are not paid within a reasonable period of time.
RARA will be responsible for any and all utility charges incurred in connection with each Event directly to the utility provider, if separately metered, or reimburse the RTAA for such charges, if paid by the RTAA on RARA's behalf or on account of RARA. Any reimbursement for utilities shall be promptly paid by RARA to the RTAA within thirty (30) days from the due date of the invoice from RTAA.
Lease The table below outlines the minimum revenue over the one-year extension of the proposed Lease:
Premises Base Rent (per Premises (Square Square Foot per Monthly Rent Year 1 Rent Feet) Month) Hangar 5/ 39,600 $0.30 $11,880.00 $142,560.00 Office Space Exclusive 43,560 $0.0167 $727.45 $8,729.40 Parking/ Storage Hangar 4001 4,860 $0.25 $1,215.00 $14,580.00
Hangar 4002 5,204 $0.25 $1,301.00 $15,612.00
Ground: 5,265 $0.02166 $114.04 $1,368.48 RARA Hangar Ground: 47,514 $0.00833 $395.79 $4,749.48 Bleachers Total $15,633.28 $187,599.36
The minimum contract value for the one-year extension of the 2020 License is $45,000 and the minimum contract value for the Lease for the one-year extension is $187,599.36. The Base Rent is proposed to be adjusted every June 1, based on the percentage change in the published Consumer Price Index for all Urban Consumers (CPI-U) not to exceed 3% annually. The one-year minimum rent does not include annual CPI-U adjustments. The total combined minimum revenue for the one-year term extension is $232,599.36.
COMMITTEE COORDINATION This item is scheduled to be presented at the April 09, 2019 Finance and Business Development Committee meeting. RARA First Amendment to Special Event License and #19(04)-22 Commercial Hangar and Ground Lease April 11, 2019 Board Meeting Page 5 of 5
RECOMMENDATION It is hereby recommended that the Board adopt the following motion:
"It is hereby moved that the Board authorizes the President/CEO to negotiate final terms and execute a First Amendment to extend the term of the Special Event License by one year for the 2020 Events for a $45,000 License Fee and negotiate final terms and execute a first amendment to extend the Commercial Hangar and Ground Lease by one year for a contract value of $187,599.36 located at the Reno-Stead Airport with the Reno Air Racing Association, for a total combined minimum contract value of $232,599.36.
MMM/lkb/lb EXHIBIT A RARA PREMISES
Hangar 5 Outdoor Parking & Storage EXHIBIT B1
''Airportport Authority Authority 4k RENO-STEAD AIRPORT TERMS OF FIRST AMENDMENT TO SPECIAL EVENT LICENSE RENO AIR RACING ASSOCIATION, INC.
Special Event 2018, 2019 and 2020 PRS Special Event and 2018, 2019 and 2020 NCAR License Special Event (individually, Event and collectively, Events) are covered under one Special Event License.
Term Three (3) years with a commencement date of June 1, 2018, and an expiration date of May 31, 2021.
License Fee 2018 Events - $40,000 payable on or before January 31, 2019 (paid) 2019 Events - $45,000 payable on or before September 1, 2019 2020 Events -$45,000 payable on or before September 1, 2020
License Fee is nonrefundable to RARA.
Operations Support RARA will pay for any and all operations support service charges incurred in Service Charges connection with an Event and/or reimburse the RTAA for such charge, if paid by the RTAA on RARA's behalf. Such charges may include, but are not limited to: cleanup, repair, storage, fuel, Aircraft Rescue Fire Fighting, law enforcement, and equipment. Any reimbursement for such charges shall be promptly paid by RARA to the RTAA within thirty (30) days from the due date of the invoice from the RTAA.
Utility Charges RARA will be responsible for any and all utility charges incurred in connection with an Event and will either pay the utility provider directly, if separately metered, or reimburse the RTAA for such charge, if paid by the RTAA on RARA's behalf. Any reimbursement for utilities shall be promptly paid by RARA to the RTAA within thirty (30) days from the due date of the invoice from the RTAA.
License Premises The RTAA and RARA will determine the areas to be designated as Licensed Premises for each year's NCAR at the Reno-Stead Airport no later than sixty (60) days prior to the Event. This includes Apron space which is designated as exclusive during the Event and non-exclusive otherwise and is included in the License at no charge. Event Operations 60 days in advance of an Event, RARA will submit preliminary operations Planning plans to the RTAA for the following items:
a) Emergency planning and response b) Security of airfield and all Licensed Premises, including night-time security c) Crowd ingress, egress, and circulation d) Fencing e) Temporary facilities and use f) Vehicle and aircraft parking and circulation g) Sanitary and first aid facilities h) RV parking i) Vendor and exhibit temporary premises requirements
Reno Air Racing Association, Inc. 1 March 15, 2019 Reno-Tahoe Air port Authority 4‘ RENO-STEAD AIRPORT TERMS OF FIRST AMENDMENT TO SPECIAL EVENT LICENSE .RENO AIR RACING ASSOCIATION, INC. counterclaim or other deduction, whether by attachment or otherwise as against the Authority and its successors and assigns or any other Additional Insureds to the same extent as RARA has waived such rights and that the Authority or any other Additional Insureds shall not be responsible for any premiums, assessments, warranties, representations, commissions, or calls in connection with such insurances provided by the policies required hereunder.
The certificates of insurance must contain the following in the Description of Operations narrative section of the certificates of insurance as follows: "Such insurance as is afforded under the policies applies to the Liability assumed by the Named Insured under contract, specifically Articles 12.1 Aviation General Liability insurance and 13.1 Indemnification, of the Special Event License for the Reno Air Racing Association, Inc. National Championship Air Races and the Pylon Racing Seminar dated June 1,2018, as amended."
All insurance policies required to be carried by RARA pursuant to this License must reference and expressly incorporate the indemnification requirements of this License and must clearly state that the insurance will cover all expenses incurred by the Authority arising out of the Event, i.e. RARA's insurance policy, primary and excess, must provide coverage for the Authority to the same extent as provided to RARA and shall provide coverage to the Authority as an additional insured for all of RARA's duties and obligations pursuant to Section 13.1 of the License.
This Term Sheet is non-binding and merely expresses the terms the parties are prepared to incorporate into a Lease which will be binding only upon its signature by duly authorized representatives of both parties. If you agree with the terms please sign below.
ACKNOWLEDGED AND ACCEPTED:
By:
Name: 707 4-0 0-reA 4-1
Title: ck1e7 i ce
Reno Air Racing Association, Inc. 3 March 15, 2019 EXHIBIT B2
, Reno-Tahoe 4 AirAirport Authority RENO-STEAD AIRPORT TERMS OF FIRST AMENDMENT TO COMMERCIAL HANGAR AND GROUND LEASE RENO AIR RACING ASSOCIATION, INC.
Premises Hangar 5 - 14501 Mt. Anderson Street, Reno, Nevada
a) Hangar and office space - 39,600 +/- square feet
b) Exclusive outdoor parking and storage - 43,560 +/- square feet
c) Hangar 4001 hangar space - 4,860 +/- square feet
d) Hangar 4002 hangar space - 5,204 +/- square feet
e) Ground associated with RARA-owned hangar- 5,265 +/- square feet
f) Ground associated with RARA-owned bleachers - 47,514 +/- square feet
Lessee accepts the Premises in As-Is Condition.
Permitted Use Premises shall be used for maintenance, repair, overhaul, and dry storage of aircraft owned/leased by Lessee. Premises shall be used for storage of associated parts, equipment, materials, supplies, and other items required to maintain and operate such aircraft and for other non-commercial activities related to Reno Air Racing Association (RARA) as an entity.
Lessee agrees that it will comply fully with General Aviation Commercial Minimum Standards (GAMS) and Rules & Regulations for Reno-Stead Airport (RTS), current version.
Due to a lack of sand-oil separator, the washing of aircraft on the Premises is prohibited.
Assignment and Assignment of lease is not permitted. Sublease Subletting of hangar space is a commercial aeronautical activity governed by the RTS GAMS. Private Hangar Rental Operator Permits are required for all subtenants. Concession Fees based on then-current GAMS, currently 3% of gross revenue, are due to RTAA on a quarterly basis, effective July 1, 2017.
Term Term: 36 months (commencing June 1, 2018 and expiring May 31, 2021)
Future terms to be approved by RTAA Board concurrent with Special Event License term.
Reno Air Racing Association, Inc. 1 March 15, 2019 )11t' Reno-Tahoe Airport Authority 4k
RENO-STEAD AIRPORT TERMS OF FIRST AMENDMENT. TO COMMERCIAL HANGAR AND GROUND LEASE RENO AIR RACING ASSOCIATION, INC.
Maintenance and Lessee's responsibility: includes interior maintenance and regular ground Repair maintenance (sweeping, weed and dust control, trash and debris pickup).
Lessor's responsibility: repair of exterior walls, roof, HVAC, hangar doors and snow removal for business access and tenant vehicle parking to within 5 feet of hangar door.
Insurance Aviation General Liability - $2,000,000 not limited to the following extensions: 1. Premises and Operations; 2. Blanket Contractual; 3. Liability while operating mobile equipment; 4. Property damage with a sublimit of $1,000,000; 5. Products/completed operations; 6. Independent contractors; 7. Broad form property damage; 8. Employer's liability including stop gap insurance; 9. Hangarkeepers Legal Liability Policy, if Lessee stores aircraft for others, acting as Bailee.
Automobile Bodily Injury and Property Damage Liability covering owned, non- owned and hired automobiles - $1,000,000 combined single limit per occurrence
Workers' Compensation - as required by State of Nevada
Employer's Liability - $1,000,000 per accident; $1,000,000 per disease/ employee; $1,000,000 disease policy limit
Miscellaneous Lessee or Lessor may terminate upon 60 days advance written notice (provided Lessee is not in default).
Reno Air Racing Association, Inc. 3 March 15, 2019 Board Memorandum Reno-Tahoe Airport Authority
Date: April 3, 2019 Memo: # 19(04)-23 To: Chairwoman & Board Members For: April 11, 2019 Board Meeting From: Manly M. Mora, A.A.E., President/CEO Oleo t t4-1 Subject: APPOINTMENT OF GUS FREITAG AS A NEW MEMBER OF THE RENO- TAHOE AIRPORT AUTHORITY COMMUNITY OUTREACH COMMITTEE
STAFF RECOMMENDATION Staff recommends that the Board appoint Gus Freitag as a new member of the Reno-Tahoe Airport Authority (RTAA) Community Outreach Committee.
PURPOSE The purpose of this action is to seek Board approval for the appointment of a new member to the RTAA Community Outreach Committee (COC). The proposed addition of the new member to the COC will fill a vacancy currently existing on the Committee.
This action is in support of the RTAA Strategic Priority # 6 — Customer Experience, as adopted in the RTAA Fiscal Year (FY) 2019-2023 Comprehensive Strategic Plan.
BACKGROUND The COC was formed in 1998. It is a Board committee currently chaired by Trustee Jessica Sferrazza. With meetings held on a bi-monthly basis, the general goals of the committee are to promote greater community input, awareness, and outreach regarding the Reno-Tahoe International Airport and the Reno-Stead Airport (RTS).
Appointments to the Committee are made by approval of the full RTAA Board of Trustees in accordance with COC bylaws. The Committee bylaws were last amended on November 12, 2015 to increase the membership from 17 individuals to 19. The Committee currently consists of 16 members.
DISCUSSION In 2015, staff embarked on a new application process for current and potential members to allow the Board of Trustees to form up to a 19-member Committee that spans business, industry, tourism, government, and the general public throughout the catchment area served by the Reno-Tahoe International Airport. In addition, non-voting liaisons representing the City of Reno, the City of Sparks, Washoe County, and the Reno-Sparks Convention and Visitors Authority (RSCVA) participate in meetings but are not counted as Committee members.
The recommended new member is Gus Freitag. His application is attached to this board memo for review by the Trustees.
FISCAL IMPACT There is no anticipated fiscal impact associated with this item. Community Outreach Committee New Members # 19(04)-23 April 11, 2019 Board Meeting Page 2 of 2
COMMITTEE COORDINATION This item is not scheduled to be presented to a Committee.
RECOMMENDATION It is hereby recommended that the Board adopt the following motion:
"It is hereby moved that the Board of Trustees appoints Gus Freitag as a new member of the Reno- Tahoe Airport Authority Community Outreach Committee."
MMM/bk/lb Reno-Tahoe Airport Authority Community Outreach Committee New Member Application Form Jessica Sferrazza, Trustee and COC Chair
GOALS AND OBJECTIVES of the Community Outreach Committee (COC) include: • To promote greater citizen input and feedback on Airport Authority plans and initiatives. • To disseminate information to the public. • To promote and assist in greater citizen awareness of RTAA plans and initiatives.
Name: Gus Freitag
Home Address:
State:M Zip Code:_111
Home Phone: Office Phone: Cell Phone:
Fax: N/A E-mail:
Employment history: After practicing as an aeronautical engineer for 2.5 years post college, I transitioned to management consulting in 2001 and have remained in the industry since then.
I joined A.T. Kearney's San Francisco office, a global management consulting firm, at that time, where I worked with clients in a variety of industries. I left the firm to join Oliver Wyman's
Aviation and Aerospace practice (another management consulting firm) in 2010 to further focus my work in the aviation industry. In 2012, I started my own firm, the G. Freitag Group, where, as Managing Director and Principal, I largely focus on helping global clients in the aviation, airport, aerospace and transportation industries solve their strategic and operations challenges. Please See Reverse Page 2
List & describe your community involvement. Include boards or committees on which you serve:
Since moving to the Reno/Tahoe area in late 2015, I have actively participated in the WIN breakfast series meetings, the National Security Forum, and NCET. I'm not yet serving on any boards or committees locally, yet believe the COG would be the ideal forum for me to put my skill set at best use.
Why are you interested in joining the CDC? I am an aviation geek at heart. As an aviation industry practitioner and a local "road warrior" (200,000+ flown miles per year, on average over the last 10 years), I hope to bring my skillset to the COC to provide feedback and support with the airport's services development and facilities teams. I hope I can contribute in two areas: (1) help the COG understand the viewpoints and needs of our local "road warriors" who call Reno/Tahoe home but don't necessarily have clients in the area, and (2) help the COG and the RTIA better understand how airlines make their air services development economic decisions
Areas of expertise: Airlines (strategy, operations), airports (profitability improvement),
aerospace (market entry strategy, new product development), entrepreneurship
,T Sep 18, 2017 Signature Date
Please return the completed application to Heidi Jared, Marketing Coordinator, at [email protected].
Thank you for your interest GUS FREITAG 11111111111111111111111111111 MANAGEMENT CONSULTANT 1111111111111•1111 111111111111111111111111111111
SUMMARY • Accomplished management consultant, executive advisor and entrepreneur, with over 18 years of experience • Primary focus in the aviation/aerospace/travel/transportation sectors in the areas of business strategy, operational improvement/turnaround/restructuring, due diligence, profitability improvement/cost reduction • Structured and effective communicator; pragmatic • Strong relationship development skills, from board-level to the shop floor • Completed over 50 consulting projects based in 16 countries throughout the Americas, Europe, the Middle East, Africa, South Asia and the South Pacific
PROFESSIONAL EXPERIENCE G. Freitag Group LLC (management consulting) San Francisco, CA & 2012— Present Reno, NV Managing Director and Principal • Conducted market assessment for new DIY satellite-based aircraft precision approach product for airlines and airports. Included interviews with 15 potential customers globally as well as deep granular buildup of potential total and addressable market size • Developed disruption management strategy for an Indian airline; included customer re- accommodation processes, broad operations control center improvements, and development of initiatives to improve on-time performance • Assessed unmet technology needs in the hospitality industry as part of new product market due diligence for a technology client • Developed strategic growth plan for a Latin American regional parcel shipping company, including carve out options from parent airline • Evaluated viability of new air ancillaries sales platform for a B2B travel technology client; included market/industry validation, client capabilities assessment and projected P&L development • Conducted operations control center effectiveness diagnostics and provided recommendations for a major Middle Eastern airport and a North American railroad • Assessed overall organization structure, effectiveness and culture of a Latin American airline; provided specific recommendations to change management structure of the COO organization for greater effectiveness and faster decision-making • Advised North American university endowment on investments in the aviation sector
Oliver Wyman — Aviation, Aerospace and Defense Practice San Francisco, CA 2010— 2012 Engagement Manager • Assessed requirements and expected benefits of restructuring and consolidating operations control of a multi-airline/multi-country/multi-AOC (air operating certificate) parent holding company; supported planning of implementation • As part of a PE firm due diligence of a top C-class aerospace-grade fastener distributor, assessed the sustainability of the business model, evaluated business plan assumptions and key risks, assessed quality of inventory (speed, value, age of parts), and identified short-term improvement opportunities and actions to be taken post-transaction • Performed on-time performance improvement diagnostics for an Australian and South American airline, including all operations functions as well as network/schedule planning • Diagnosed and assessed opportunities for a major US airport to increase revenues, improve margins and optimize services of its public and employee parking offerings • Conducted diagnostic for a large airline's loyalty program on value improvement opportunities for members, partners and parent airline • Supported business case development for moving cargo center operations responsibility from a Middle East airport operator to main cargo airline; included identifying opportunities to increase throughput with available real estate
Continued on page 2 A.T. Kearney, Inc. San Francisco, CA & 2000 — 2010 Dubai, UAE Manager (2008-2010)/ Associate (2004-2007)/ Sr, Business Analyst (2002-2003)/ Business Analyst (2000-2001) • Led consulting team in validating business plan for a new regional aircraft program; included market forecasting, development cost validation, revenue modeling and after sales support assessment • Assessed risks of future network plans for a Middle Eastern airline • Conducted buy-side due diligence evaluations in the aircraft manufacturing, airline MRO, airline cargo, ocean shipping, customs brokerage and air freight pallet industries • Identified System Operations Control (SOC) function and organization improvement opportunities for a North American airline sponsor of a global SOC benchmarking study • Developed restructuring plan for the US operations of a global parcel shipper; included operational planning to outsource airlift to a new provider and disposition planning of surplus aircraft and other aviation assets • As part of an overall operational improvement project for a department of the South African government, developed performance measurement process which generated immediate productivity improvements; also designed communication tools and processes to improve coordination across seven layers of management • Led rolling stock maintenance cost reduction project across two rail programs in the United Kingdom
The Boeing Company Dubai, UAE 2004 Summer Intern — International Relations Supported business plan development for Airport Security Services office in the Middle East. Conducted legal risk assessment and benchmarked activities and approaches of western companies offering security services in the region
Aeroacoustics, Inc. (aerospace engineering consulting firm) Seattle/Everett, WA 1998— 2000 Senior Flight Test and Acoustics Engineer Developed hush kit that enabled a major US airline to extend operating life of fifty aging aircraft by two years. One of four team members driving all phases of the program (design to certification)
EDUCATION London Business School London, England 2003 —2005 Master of Business Administration — General Management • Shadowing project at JetBlue Airways - Operations Planning Group
University of Michigan, College of Engineering Ann Arbor, MI 1993 — 1998 Bachelors of Science in Aerospace & Mechanical Engineering —Summa Cum Laude
LANGUAGES & • Ability to conduct work in English, Spanish, Portuguese & German CERTIFICATIONS • Private Pilot • Unrestricted work authorization in the USA, European Economic Area and Brazil
OTHER ACTIVITIES & • Treasurer, London Business School Alumni Club of San Francisco (2005 to present) — INTERESTS successfully restructured and formalized the club as a 501(c)(7) non-profit organization • International travel — visited 98 countries, worked in 16 • Avid skier/snowboarder/cyclist, wine/food enthusiast, classical piano player
References available upon request 2
President/CEO's Report March 2019 Mandy M. Mora, A.A.E., President/CEO
Air Service • Reno-Tahoe International Airport (RNO) served 306,800 passengers in February 2019, an increase of 3.4% versus the same period last year. The airport experienced positive passenger growth for the 45th consecutive month with respect to the year over year monthly increases. During the first eight months of the fiscal year 2018-2019, RNO served 2,826,756 passengers, an increase of 4.2% when compared to the same period last year.
TOTAL PASSENGERS 450,000 400,000 I 350,000 - 300,000 250,000 200,000 150,000 - 100,000 50,000 0 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC -e-2017 -9-2018 -8-2019
2017 2018 2019 YOY Change
JAN 284,553 312,125 335,095 7.4%
FEB 286,322 296,726 306,800 3.4%
MAR 353,651 356,112
APR 302,078 325,428
MAY 317,935 345,740
JUN 367,600 389,103
JUL 400,754 414,529
AUG 393,478 402,794
SEP 345,280 362,831
OCT 336,433 347,591
NOV 300,308 315,833
DEC 326,989 341,283
TOTAL 4,015,381 4,210,095 641,895
YTD 608,851 641,895 5.4% President/CEO' s Report - March 2019 April 11, 2019 Board Meeting Page 2 of 25
Recent and Upcoming Schedule Changes
± Alaska Airlines o Starting June 6, 2019, Alaska Airlines will increase the number of flights between Reno and Portland from three times a day to four times a day. o Starting July 15, 2019, Alaska Airlines will operate 162-seat Boeing 737 aircraft on one of the four daily flights between Reno and Seattle.
± American Airlines o Starting April 5, 2019, American Airlines will increase the number of flights between Reno and Dallas from twice a day to three times a day. From June 7, 2019 until August 20, 2019, the airline will offer this flight four times a day. o Starting November 4, 2018, American Airlines increased the number of daily flights between Reno and Los Angeles from four times a day to five times a day. The airline will return to the four times a day schedule on May 3, 2019. o American Airlines temporarily suspended the non-stop seasonal flights between Reno and Chicago O'Hare on October 4, 2018. This flight will return on May 3, 2019. Starting June 6, 2019, the airline will offer this flight twice a day.
± Delta Air Lines o Delta Air Lines' non-stop seasonal flight between Reno and Atlanta operated daily from December 23, 2018 until January 2, 2019. From January 6, 2019 through March 31, 2019, this flight will operate on Sundays only. o Delta Air Lines' non-stop seasonal flight between Reno and Minneapolis will operate as a Saturday only service from June 8, 2019, until August 24, 2019.
± Frontier Airlines o Frontier Airlines offers non-stop flights between Reno and Denver twice a week (Wednesdays and Saturdays). Starting April 30, 2019, Frontier increased the number of flights from twice a week to three times a week (Tuesdays, Thursdays and Sundays).
± JetBlue Airways o JetBlue Airways offers non-stop flights between Reno and New York City five times a week (Mondays, Thursdays, Fridays, Saturdays and Sundays). From June 18, 2019, until September 3, 2019, the airline will operate this flight on a daily basis before returning to the five days a week schedule.
± Southwest Airlines o Southwest Airlines' non-stop seasonal flight between Reno and Dallas Love Field will operate on the following schedule: • Saturday/Sunday only from March 9, 2019 until April 7, 2019 • This flight will return on June 9, 2019, for the summer season President/CEO's Report — March 2019 April 11, 2019 Board Meeting Page 3 of 25
o Southwest Airlines temporarily suspended the non-stop daily flights between Reno and Chicago Midway on October 3, 2018. This flight will return on March 7, 2019. o Southwest Airlines operates twice a day flights between Reno and Oakland. The airline will offer this flight three times a day on select days of the week from March 7, 2019 until April 7, 2019. o Southwest Airlines offers non-stop flights between Reno and San Diego twice a day. The airline will offer this flight three times a day on the following schedule: • From April 8, 2019 until May 4, 2019 • From June 9, 2019 onwards o Southwest Airlines offers non-stop flights between Reno and Las Vegas ten times a day. From April 8, 2019 until June 7, 2019, the airline will offer this flight 11 times a day.
+ United Airlines o From March 8, 2019 until March 31, 2019, United Airlines' non-stop seasonal flight between Reno and Chicago 0' Hare will operate daily, before returning to the Saturday/Sunday schedule on April 6, 2019. o United Airlines will temporarily suspend the non-stop flight between Reno and Houston from April 1, 2019 until April 28, 2019. This flight will return as a daily service on April 29, 2019.
± Volaris o Volaris offers non-stop flights between Reno and Guadalajara, Mexico, three days a week (Mondays, Wednesdays and Fridays). The airline will add a fourth weekly flight from Thursday, June 20, 2019 through Thursday, August 15, 2019. President/CEO's Report — March 2019 April 11, 2019 Board Meeting Page 4 of 25
• RNO handled 11,559,065 pounds of air cargo in February 2019, an increase of 1.2% when compared to February 2018. During the first eight months of the fiscal year 2018-2019, RNO handled 100,798,811 pounds of air cargo, an increase of 0.7% when compared to the same period last year.
TOTAL CARGO
16,000,000
14,000,000
12,000,000
10,000,000 -
8,000,000
6,000,000 -
4,000,000
2,000,000 -
0 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2017 -4-2018 2019
2017 2018 2019 YOY Change JAN 12,749,916 11,795,775 11,940,830 1.2% FEB 12,023,060 11,417,480 11,559,065 1.2% MAR 13,595,007 13,053,097 APR 11,974,440 10,826,085 MAY 12,671,643 12,245,815 JUN 12,396,234 12,225,509 JUL 11,454,156 12,233,364 AUG 13,472,975 13,689,777 SEP 12,436,806 12,052,727 OCT 12,169,329 12,548,739 NOV 12,446,633 12,645,887 DEC 14,882,745 14,128,422 TOTAL I 52,272,944 I 48,862,677 23,499,895 YTD 23,213,255 23,499,895 1.2% President/CEO's Report - March 2019 April 11, 2019 Board Meeting Page 5 of 25
Parking and Ground Transportation Activities
February PUBLIC PARKING STATISTICS MONTHLY COMPARISON BETWEEN FY 20 1 6/17, FY 2017/18, AND FY 2 0 1 8/1 9 COMPARISON $ PER LONG TERM TRANSACTIONS SHORT TERM TRANSACTIONS MONTHS REVENUE TRANS. TRANS. TOTAL AVG. REVENUE DURATION (DAYS) TOTAL AVG. REVENUE DURATION (HOURS) February 16/17 5768,840.00 33.727 $22.80 14,747 644.63 3.7 18,980 $5.83 5.1
February 17118 II 6798.875.00 33,706 I $23.70 I 15,690 I $44.23 I 3.7 I 18.016 I $5.82 I 5.1
February 18/19 I $883,266.00 I 36.293 I $25.03 I 16.637 I $45.31 I 3.8 I 18.656 I $6.93 1 6.1
DIFFERENCE BETWEEN February 2016/17 AND February 2017/18 $ PER LONG TERM TRANSACTIONS SHORT TERM TRANSACTIONS REVENUE TRANS. TRANS. TOTAL I AVG. REVENUE DURATION (DAYS) TOTAL I AVG. REVENUE DURATION (HOURS) $30.035.00 21 50.90 943 I „ 0.0 i .. 6-1 I ,_ 0.0
DIFFERENCE BETWEEN February 2017/18 AND February 2018119 $ PER LONG TERM TRANSACTIONS SHORT TERM TRANSACTIONS REVENUE TRANS. TRANS. TOTAL I AVG. REVENUE DURATION (DAYS) TOTAL I AVG. REVENUE DURATION (HOURS) $84.391.00 1,587 $1.33 947 I 51.08 0.1 640 I $1.11 1.0
REVENUE TRANSACTIONS
90.00 40,000 80.00 35.000 70.00
60.00 30,000
50.00 25,000
40_00 eFeb 16/17 OFeb 1-6/7 mFeb 17/18 #20.000 • Feb 17/18 30.00 fl Feb 18/19 aFeb 18/19 15,000 20.00 10,000 10.00
Ii 0.00 an(' 5.000 TOTAL $ PER DT AVG S/T (DIV BY TRANS S. AVG.$ 10,000) TOTAL SHORT TERM LONG TERM TRANS.
President/CEO's Report - March 2019 April 11, 2019 Board Meeting Page 6 of 25
Taxi vs. TNC Comparison • A review of monthly trips by Transportation Network Companies (TNCs) and year over year trips for taxis in the month of February have been completed.
• TNC (Uber & Lyft) trip activity increased from 9,479 trips in February 2018 to 13,224 trips in February 2019, representing an increase of 3,745 trips, and a year over year growth of 39.51%.
• Taxi trip activity increased from 5,549 trips in February 2018 to 5,675 trips in February 2019, for a total increase of 126 trips, and a year over year growth of 2.27%.
• TNC trips account for 68.81% of all TNC/Taxi customer transport.
INC / TAXI - TOTALS COMPARISON
TNC TNC Taxi Taxi TNC Trip Taxi Trip Month Trips Trips Trips Trips Variance Variance 2018 2019 2018 2019 January 10,180 13,741 3,561 5,722 6,549 827 February 9,479 13,224 3,745 5,549 5,675 126 March 12,026 6,9 66 April 10,151 5,923 May 10,721 6,145 June 11,254 6,185 July 12,614 6,208 August 14,895 7,244 September 13,278 6,346 October 12,595 6,039 November 12,428 5,208 December 12,176 5,340
Totals 141,797 26,965 7,306 72,875 12,224 953
TNC = Transportation Network Companies
16,000 -'
14,000
12,000
10,000 - • INC Trips 2018 8,000 • TNC Trips 2019 6,000 • Taxi Trips 2018 4,000 ••••Il • Taxi Trips 2019 2,000 •111•1111.11111111•1 IF I. 11111••• • \ .3\ e e \'9 4\ C72' #P CP President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 7 of 25
Business Develo ment Reno-Tahoe International Airport (RNO) Outside Commercial Properties • Airport Mini Warehouse Needful Things A First Amendment to Commercial Lease Agreement was executed with Needful Things, for a 12- month lease extension at 2890 Vassar St., Suite BB-08. Needful Things will utilize the 1,000 square feet of space for the design and manufacturing of jewelry and metal works. Total contract value is $7,297.08.
Dr. Bud West A First Amendment to Commercial Lease Agreement was executed with Dr. Bud West, for a 12- month lease extension at 2900 Vassar St., Suite CC-12. Dr. West will utilize the 1,218 square feet of space for personal storage. Total contract value is $6,611.40.
• 1280 Terminal Way BRG Homes A Third Amendment to Commercial Lease Agreement was executed with BRG Homes, for a 12- month lease extension at 1280 Terminal Way, Suite 41. BRG will utilize the 504 square feet of space for general office use. Total contract value is $5,098.80.
RNO Concessions and Terminal Tenants • Harley-Davidson Design plans are currently under staff review for the RNO Harley-Davidson retail store that will be located pre-security in the airport lobby in the former Squaw Valley store space next to Silver State Marketplace. A grand opening event is anticipated to take place in May.
• Subway Subway began construction at its post-security location at the C Concourse elbow on February 5, 2019. Construction is estimated to take 12 weeks. A grand opening event is anticipated to take place in May.
• RNO Consolidated Rental Car Facility Feasibility Study On March 13, 2019 RTAA and the rental car companies at RNO executed the Option to Ground Lease for a Phase I Feasibility Study for a Consolidated Rental Car Facility (ConRAC) at RNO. The stakeholders assembled on March 14 to kick-off the Feasibility Study, participants included representatives from the Rental Car companies (Hertz/Dollar/Thrifty, Enterprise/Alamo/National, and Avis/Budget), Conrac Solutions, Public Financial Management (RTAA's consultant), and RTAA staff. Conrac Solutions is gathering data, including a Rental Car Market Study and Transaction Day forecast, and information. Stakeholders are scheduled to meet monthly to discuss progress. A preliminary Feasibility Study report is forecasted to be delivered to the RTAA on May 22 and scheduled to be presented to the Finance and Business Development Committee at its June 11, 2019 meeting. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 8 of 25
RNO Land Development • Aloft Hotel at Gateway Center Construction on the Aloft Hotel continues to move forward as construction is going vertical. The anticipated hotel opening date remains January 2020. The first monthly rental payment, due March 1, 2019, in the amount of $13,721 was received. The annual rent is $164,657. Also received was the second annual option payment in the amount of $12,500 for the remaining vacant land to the south of the Hyatt Hotel. The option expires March 1, 2020.
Reno-Stead Airport • Nevada Army National Guard Stead Barracks Tenancy Reversion Status The Barracks facilities continue to be under the control of the Army Guard as there is still a Guard- owned modular building on site. The Guard originally indicated that they preferred to remove the building but has since inquired as to the RTAA's interest in keeping it. On March 26, 2019, the RTAA advised the Guard of its willingness to keep the building under the condition that the electrical wires/connections were reconnected to code or they may remove the building, whichever they prefer with the intended completion of one of these options by April 30. The reversion of the facilities to the RTAA will occur once power has been restored or once the building has been removed. Staff met with two entities, Volunteers of America and the Regional Public Safety Training Center, as both have expressed interest in leasing the facilities. Both have been advised of the process that will take place once reversion is complete, including a facility assessment, environmental assessment and appraisal to determine Fair Market Value lease rate. Each entity has also expressed the desire to schedule a tour of the facilities once the RTAA has legal possession.
Organizational Training & Development
• HR coordinated the monthly "Customer Service Walking Tour." Presented by Marketing/Public Affairs staff, this "walking classroom" presented information on "Hot spots" throughout the terminal and reviewed the types of questions our customers ask and information they are likely to need.
• HR staff coordinated a series of classes in CPR and 1st Aid which were taught by Airport Firefighters in accordance with American Heart Association guidelines. While these classes are required for maintenance employees who have certifications in "permit required confined spaces" (an OSHA requirement), enrollment was opened to all employees as space permitted.
• HR staff offered a fundamentals computer class on Microsoft Publisher. Over the course of the training, participants learned how to create flyers using this versatile program.
• A "Public Safety Tour" was offered for staff, answering questions such as "what does it mean to work at an airport?" and "what is unique about our environment?" Taught quarterly by Operations staff, this class provided participants with a broader understanding of public safety, landside operations, security, and customer service. President/CEO's Report — March 2019 April 11, 2019 Board Meeting Page 9 of 25
Miscellaneous Information
• Reno-Tahoe International Airport's followers on social media have increased during the month of March. Facebook followers are at 15,158, Twitter grew to 8,423 followers, and Instagram followers are at 1,523.
• During the month of March the most popular post, with almost 90 likes, was the Southwest curbside check-in post featuring a few of their well-known employees. Other popular posts included a couple #ThrowBackThursday posts, one from the 1920's and the other from the 1980's, and the campaign featuring a Guadalajara, Mexico getaway encouraging followers to enter to win. Other things featured on social media include:
Military to the Mountains welcome that included a live video of guitarist Charlie Gomes playing the National Anthem. One of RTAA's employees that participated in the Employee Art Show last year created artwork that is now competing for National Arts Program Best of the Best. Because of this, followers were encouraged to support this talented artist by voting through the National Arts Program page.
• Staff has been working with the Reno Rodeo Foundation, under the Community Partner Sponsorship program, to finalize their Clear Channel Airports buy, display a 20 second Reno Rodeo spot on the concourse monitors, and provide Reno Rodeo tickets for use in Air Service Development efforts with our airline station managers. 2019 marks the 100th Anniversary of the Reno Rodeo and the partnership will also bring a Welcome Table to baggage claim on June 21 to welcome rodeo attendees.
• Phase II of the Air Service Marketing Campaign began on March 11 with a Sweepstakes where consumers can enter to win round-trip tickets and hotel stays. The first Getaway Sweepstakes includes Volaris Airlines with a Getaway to Guadalajara, Mexico. During the first week of the Sweepstakes, the contest saw nearly 1,700 entries. The Guadalajara Sweepstakes will end on April 5 and two winners will be announced the week of April 8. The second Getaway Sweepstakes will begin on April 22 and will include JetBlue Airlines with a Getaway package to New York.
• Along with staff from JetBlue, marketing/PR staff assisted a homeless hearing impaired passenger over the course of a week to purchase a ticket to New York, check his bicycle, and board his aircraft on April 1. Staff used the newly-purchased Ubi-Duo translation machine to help communicate and provide a special level of customer service for the passenger. Staff will be using this situation as an example of how we can improve customer service for the hearing impaired throughout the airport.
• Staff worked with the High Fives Organization, Squaw Valley Ski Resort and the City of Reno to welcome 22 disabled U.S. military veterans at RNO on March 17th. The young veteran athletes headed to Squaw Valley to participate in a week-long adaptive ski program, Military to the Mountain, as part of their physical and emotional recovery. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 10 of 25
• Staff provided a tour and an overview of careers in aviation to twenty students participating in the Upward Bound STEM program at the University of Nevada on March 13.
• Staff joined Southwest Airlines to give a presentation to the Truckee Meadows Community College tourism class on April 2 with an update on Reno-Tahoe International Airport air service, economic development and the master plan.
• The local government agencies, including the cities of Reno & Sparks and Washoe County, are hosting the Transforming Local Government Conference taking place April 9 — 12 in Reno-Sparks. The airport is welcoming attendees with signage in baggage claim.
• The Leadership Reno Sparks Class of 2019 will meet at RNO to hold a Transportation and Infrastructure Workshop on April 10. Organized by The Chamber, workshop attendees will hear an update on air service, master plan, and economic development at RNO.
• Staff received news media inquiries this month concerning the Boeing 737-800 Max aircraft and referred them to the individual airlines that fly those aircraft.
• Staff interviewed with Jason Hidalgo at Reno Gazette-Journal regarding the potential for Southwest Airlines to offer non-stop service to Hawaii from RNO. Staff used the opportunity to also promote the work we do with all of our air service partners.
• Registration for the 11th annual employee art show is now open and will close on April 12th. All employees or retired employees of the Reno-Tahoe Airport Authority, tenants/vendors of the Reno- Tahoe International Airport/Reno-Stead Airport, or immediate family members are eligible to participate. Art foul's include all types such as photography, painting, mixed media, sculpture, and more. Board of Trustees and their immediate family are welcome to participate. Please contact Mary Lee Mansfield, Marketing Coordinator, at 775-328-6429 for information. The popular employee art show opening reception will take place on May 22, at 5:30 p.m.
• The President/CEO, VP of Marketing & Public Affairs, and staff participated in a site visit experience with AAAE, ACC and the RSCVA in preparation for the 2020 AAAE/ACC Airport Planning Design & Construction Symposium scheduled for February 19 — 21.
• Staff participated in the annual ACI-NA/AAAE Customer Experience Symposium in Chicago. Educational sessions included disaster response, all-inclusive customer service programs, REAL-ID, disabled programs and volunteer programs.
• The RTAA is hosting the ACT-NA 2019 Legal Affairs Spring Conference that will take place May 1 —4. Staff is planning with the Squaw Valley Resort and Hyatt Regency Hotel where the main events will take place. The airport is also working closely with RTAA attorney Ann Morgan to ensure the guests receive a warm welcome and smooth departure from the region.
• Over the past two years, the Airport Authority, through representation by Dean Schultz Executive Vice President/C00, has participated on the City of Reno's Sustainability and Climate Advisory President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 11 of 25
Committee along with more than 20 other entities and community partners. Based on extensive research into industry best practices being conducted within other communities, identification of grant programs and certification standards and outreach to local stakeholders, the Advisory Committee has developed a Sustainability & Climate Action Plan for the Reno City Council's consideration. The Plan provides several actionable initiatives the City of Reno can undertake/lead on a wide range of sustainability areas of focus including energy supply and consumption, green building standards, land use and transportation standards, waste minimization, food sourcing and security, urban forestry, climate resiliency, and water conservancy and quality. The Advisory Committee's recommended plan along with a letter of support signed by all members of the Committee will be discussed at an upcoming Reno City Council meeting in late April or Early May.
• Nevada Department of Transportation (NDOT) Spaghetti Bowl Project On February 14, 2019, the RTAA Board of Trustees unanimously passed a resolution supporting NDOT's inclusion of the preferred alternative option to retain the 1-580 southbound direct connect ramp into the Reno-Tahoe International Airport in the Spaghetti Bowl Project. Since then, the Reno City Council (February 27), the Sparks City Council (March 11), and the Washoe County Board of Commissioners (March 26) have all passed similar resolutions of support — all of which included the retention of the airport direct connect ramp. The Regional Transportation Commission Board will be discussing the project on April 19.
The airport ramp, although not verbally acknowledged in the narration, is now included in NDOT' s recently updated preferred alternative video: https://www.youtube.com/watch?v=LD6IXL3jB-k&feature=youtu.be
On March 20, NDOT released the administrative review draft of the Final Environmental Impact Statement (EIS) for additional input by participating agencies. The Final EIS addresses all comments received during the public comment period. Federal agencies were allowed to provide comments through February 15 due to the federal government shutdown. The administrative review draft has been circulated specifically to solicit feedback on the proposed mitigation measures. The RTAA is re-engaging the services of Analytical Environmental Solutions to evaluate whether all comments submitted to NDOT regarding the Final EIS were responded to satisfactorily. NDOT intends to publish the Final EIS and issue the Record of Decision (ROD) in June 2019.
Phase One of the Spaghetti Bowl Project will proceed upon issuance of the ROD. Phase One, also known as the Spaghetti Bowl Xpress, includes the southbound lanes of 1-580 between the Spaghetti Bowl and Glendale Avenue, the southbound & northbound lanes of 1-580 between Glendale and Mill Street, and the southbound lanes of I-580 between Mill and Vassar Street. This Design-Build effort is scheduled to initiate design in Summer 2019 and complete construction by mid-2022.
The airport segment is included in Phase Four of the Spaghetti Bowl Project (2035-2037).
• Airport Noise and Operations Monitoring System Staff released a formal Request for Proposals (RFP) on November 30 for maintenance and support services for the Airport Noise and Operations Monitoring System (ANOMS). Vendors may propose to either 1) maintain and support the existing equipment or 2) maintain and support upgraded President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 12 of 25
equipment. Costs associated with each proposal will be taken into account during the evaluation process.
Two proposals were received by the January 16, 2019 deadline. A selection committee convened the following week and elected to bring both proposers in for final interviews and a demonstration of their public interfaces. Final interviews were held on February 15, 2019, and the selection committee was unanimous in their recommendation. Staff will bring the results of the RFP process and the proposed contract to the RTAA Board of Trustees for consideration in April 2019.
MISCELLANEOUS INFORMATION
• Geographic Information System (GIS) Training In collaboration with Human Resources, Planning staff developed an organization-wide training program with the goal of increasing understanding and use of the Airport Authority Geographic Information System (GIS) and applications. Ad hoc and personalized training is also available. In March, a total of ten (10) GIS sessions were taught. To date, a total of forty-nine (49) sessions have been taught in FY18-19.
Data Viewer 1 8 Leasehold & Property Management 1 9 Signage & Marking 2 11 Airspace 0 5 eDocs 0 3 Mobile Data Collection 6 23 Total Classes 10 59
• Geographic Information System (GIS) Applications As the GIS system is used by more and more employees, staff are working to develop additional applications and collecting additional data to increase the functionality of the sytem. Since original implementation, there have been six (6) customized web map applications created for use by various departments including ARFF, Facilities Maintenance, TIS, and Airfield Maintenance.
• Aircraft Rescue and Firefighting Facility (ARFF) Solar System The 135-kilowatt solar system installed at the Airport Authority's Aircraft Rescue and Firefighting Facility (ARFF) has been operational since March 2011. Solar power generation results are provided below. Banked credits have been used during those months when not enough power is generated to cover the monthly use. As indicated in the table below, approximately SS,327 in electrical costs have been saved as a result of the solar system during FY18-19. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 13 of 25
Energy Offset from Monthly Bill $332 $5,327 Energy Credits Banked $0 $0 Banked Credits Applied $0 ($0) Total Earned $332 $5,327 Banked Credits Remaining NA $0
• Recycling at Reno-Tahoe International Airport Airport Authority staff successfully collected approximately 62.45 tons of recyclable material during FY18-19. These recyclables equate to a 8.9 percent diversion rate of the airport's total waste volume. The annual recycling objective is 15 percent.
The annual recycling objective is met by a staff-initiated program to collect commingled (single- stream) recyclables at select terminal and concourse locations. The single-stream collection includes all plastics, aluminum cans, glass, mixed paper, and cardboard. This recycling initiative helps improve the Airport Authority's recycling and waste diversion efforts, assists the airlines with single- stream recycling programs, and reduces hauling and recycling costs. Recyclables, including paper, cardboard, and batteries, continue to be collected separately.
Cardboard 2.96 44.44 Mixed Paper 0 0 Single-Stream Recyclables 2.62 16.71 (Plastics, Glass, Cans, Paper, etc.) Batteries 0.061 1.30 Total 5.64 62.45
Quarterly Strategic Plan Update • The next Quarterly Strategic Plan update will be included in the May 2019 President/CEO' s Report.
Legislative/Government Affairs Update
Brownstein Hyatt Farber Schreck (BHFS) have prepared the following Nevada Legislative update for the Reno-Tahoe Airport Board of Trustees:
This legislative update is the second in a series of monthly reports for the 2019 Nevada Legislative Session. The Brownstein Hyatt Farber Schreck ("BHFS") Government Affairs team looks forward to updating the RTAA team through weekly calls, monthly reports and presenting to the Board periodically, as requested. 991 bills have been published to date. We anticipate few, if any measures to be introduced over the remainder of the session. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 14 of 25
Actions Taken in March:
This month we presented Assembly Bill 242 to the Assembly Committee on Taxation. The hearing went extremely well, and the committee members responded favorably to both the bill and our presentation. We also were pleased with the number of parties who supported the bill.
Priorities Monitored:
1. Economic Development • Assembly Bill 36, sponsored by the Assembly Committee on Taxation This bill relates to economic development; revising provisions governing eligibility for a partial abatement of certain taxes imposed on aircraft, components of aircraft and other personal property related to aircraft; and providing other matters properly relating thereto.
Senate Bill 161, sponsored by Senator Kieckhefer This bill relates to financial businesses; requiring the Attorney General to establish and administer the Regulatory Experimentation Program for Product Innovation; setting forth the requirements for the operation of the Program; providing for a temporary exemption from certain statutory and regulatory requirements related to financial products and services for a participant in the Program under certain circumstances; requiring the Attorney General to submit to the Legislature an annual report on the Program.
2. Energy — No language introduced as of March report
3. Air Service — No language introduced as of March report
4. Unmanned Aircraft Systems
• Senate Bill 421, sponsored by Senator Ohrenschall This bill relates to aeronautics; requiring the establishment and carrying out of a program relating to certain unmanned aircraft systems; making an appropriation.
5. Flood Management Projects —
> Assembly Bill 62, sponsored by the Assembly Committee on Natural Resources, Agriculture, and Mining This bill relates to water; revising the time period for which the State Engineer may grant an extension for the completion of work for the diversion of water; authorizing, under certain circumstances, the State Engineer to suspend the limitation of time for the completion of work set forth in a peimit or an extension previously granted. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 15 of 25
6. Public Employment
> Assembly Bill 75, sponsored by the Assembly Committee on Government Affairs This bill relates to public employees' retirement; requiring the establishment of a hybrid retirement program for certain public employees; requiring the program to include a defined benefit plan and a defined contribution plan; setting forth the required provisions of each such plan; requiring certain public employers under certain circumstances to make additional contributions to the Public Employees' Retirement System to reduce the unfunded liability of the System.
> Assembly Bill 86, sponsored by the Assembly Committee on Government Affairs This bill relates to governmental purchasing; making provisions relating to purchasing by local governments applicable to a metropolitan police department; exempting certain purchases by local governments from requirements of competitive bidding; increasing the monetary thresholds at which local governmental purchasing contracts must be advertised; authorizing a local government to dispose of personal property by donating it to another governmental entity or nonprofit organization; authorizing the Administrator of the Purchasing Division of the Department of Administration to enter into a contract pursuant to a solicitation by certain governmental entities; revising provisions governing certain preferences for businesses owned and operated by a veteran with a service- connected disability; making various other changes relating to governmental purchasing; authorizing the Commission to Study Governmental Purchasing to request the drafting of legislative measures for each regular session of the Legislature.
• Assembly Bill 132, sponsored by Assemblywoman Nina Neal, and Assemblymen William McCurdy and Edgar Flores. This bill relates to employment; prohibiting the denial of employment because of the presence of marijuana in a screening test taken by a prospective employee; prohibiting an employer from conditioning employment on a test of the personality traits, behavioral traits or character traits of a prospective employee; providing certain exceptions.
> Assembly Bill 138, sponsored by Assemblymen Sprinkle, Carrillo, Flores, Frierson, and Assemblywoman Monroe-Moreno. This bill relates to workers' compensation; requiring a claim for compensation under industrial insurance to be decided under a liberal construction in favor of the injured employee; revising provisions governing the duty of certain insurers to accept or deny claims for compensation; revising the standard for determining whether an injured employee is entitled to compensation.
> Assembly Bill 184, sponsored by Assemblywomen Biller, Benitez-Thompson, and Monroe-Moreno. This bill relates to security guards; requiring certain training and screenings for a private patrol officer and certain employees thereof; creating enhanced penalties for certain crimes committed against a security guard. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 16 of 25
D Assembly Bill 492, sponsored by Assemblywomen Hardy, Hansen, and Tolles, and Assemblymen Hardy and Hammond This bill relates to education; requiring the Department of Education, the board of trustees of a school district and the governing body of a charter school to coordinate with the Office of Workforce Innovation in the Office of the Governor to certify work-based learning programs; establishing the requirements for an employer to become a work- based learning program; providing that a pupil in certain work-based learning programs is considered an employee for the purpose of workers' compensation; authorizing an insurer that provides workers' compensation to grant a reduction in the premium of the policy of a work-based learning organization.
D Senate Bill 83, sponsored by the Senate Committee on Government Affairs This bill relates to the Public Employees' Retirement System; increasing the membership of the Public Employees' Retirement Board; making the State Controller and State Treasurer members of the Board ex officio; requiring the Board to provide certain inforniation to the State Controller.
D Senate Bill 135, sponsored by the Senate Committee on Government Affairs This bill relates to state employees; authorizing collective bargaining for certain state employees; renaming, revising the membership of and expanding the duties of the Local Government Employee-Management Relations Board; providing for bargaining units of state employees and their representatives; establishing procedures for collective bargaining and for making and amending collective bargaining agreements; prohibiting certain unfair labor practices.
D Senate Bill 153, sponsored by Senator Atkinson This bill relates to collective bargaining; increasing the amount of time within which the Local Government Employee-Management Relations Board must conduct a hearing relating to certain complaints; removing certain restrictions on payment of compensation or monetary benefits upon expiration of a collective bargaining agreement; revising various provisions relating to negotiations between a school district and an employee organization representing teachers or educational support personnel; repealing certain provisions governing leave for services to an employee organization and governing school administrators.
D Senate Bill 176, sponsored by Senator James Settelmeyer This bill relates to industrial insurance; establishing the substantive right of an injured employee to choose a treating health care provider under the Nevada Industrial Insurance Act or the Nevada Occupational Diseases Act; revising provisions governing the panel of treating physicians and chiropractors established by the Administrator of the Division of Industrial Relations of the Department of Business and Industry to require the inclusion of certain health care providers; authorizing the Administrator to select a rating physician or chiropractor for an injured employee upon request. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 17 of 25
D Senate Bill 215, sponsored by Senators Cannizzaro, Scheible, Parks, Woodhouse, and Atkinson. This bill revises provisions governing compensation for certain employees who develop cancer as an occupational disease.
D Senate Bill 243, sponsored by Senator Hardy This bill relates to public construction; revising the procedure for determining the prevailing rate of wages.
D Senate Bill 340, sponsored by Senators Dondero Loop and Parks This bill relates to public works; revising provisions governing the circumstances under which a worker is deemed to be employed on a public work.
D Senate Bill 405, sponsored by Senator Cannizzaro This bill relates to the Public Employees' Retirement System; providing for the eligibility of certain police officers and firefighters who sustain certain injuries in the line of duty to apply for disability retirement benefits administered by the Public Employees' Retirement System.
D Senate Bill 406, sponsored by Senators Brooks and Cancela This bill relates to employment practices; provides for the sharing between certain parties to a transaction for contracted labor of responsibility for compliance with certain legal obligations placed on employers; authorizes certain workers to bring an action against a client company for the failure of a labor contractor to comply with certain legal obligations placed on employers; making it unlawful to retaliate against certain workers under certain circumstances; authorizing the Labor Commissioner and the Administrator of the Division of Industrial Relations of the Department of Business and Industry to adopt certain regulations; providing penalties.
7. Public Works/Purchasing
D Assembly Bill 2, sponsored by the Assembly Committee on Commerce and Labor This bill relates to public works; increasing the threshold for requiring the employment of a professional engineer, professional land surveyor or registered architect on certain public works; and providing other matters properly relating thereto.
D Assembly Bill 190, sponsored by Assemblymen Daly, McCurdy, Carrillo, Fumo, Flores, and Senators Parks, Ohrenschall, and Cancela. This bill relates to construction; revising the requirements pursuant to which a contractor or subcontractor engaged on a public work may discharge his or her obligation to pay prevailing wages to workers; revising provisions relating to the determination of the prevailing wages by the Labor Commissioner and the duration of such rates on a public work; decreasing the minimum threshold for the applicability of the prevailing wage requirements; eliminating the exemption for charter schools from the requirement to pay prevailing wages on their public works; clarifying the application of prevailing wage President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 18 of 25
requirements to certain construction projects that are not public works; eliminating certain prohibitions relating to agreements with labor organizations concerning contracts with a public body for a public work or with an awardee of certain grants, tax abatements, tax credits or tax exemptions from a public body.
D Senate Bill 175, sponsored by Senators Parks, Brooks, Cancela, Spearman, Carrillo, and Ellison. This bill relates to public works; revising provisions relating to the authority of a public body to enter into a contract with a design-build team for the construction of certain public works.
D Senate Bill 196, sponsored by Senators Cannizzaro, Parks, Spearman, and Brooks. This bill relates to public works; revising provisions relating to certain projects of the Nevada System of Higher Education; revising provisions relating to preferences in bidding for contracts for certain public works projects.
D Senate Bill 231, sponsored by Senators Brooks, Cannizzaro, and Parks This bill relates to construction; revising provisions governing the payment of prevailing wages; eliminating certain prohibitions relating to agreements with labor organizations concerning contracts with a public body for a public work or with an awardee of certain grants, tax abatements, tax credits or tax exemptions from a public body.
D Senate Bill 273, sponsored by Senators Scheible and Cannizzaro This bill relates to contractors; making various changes to the provisions related to mechanics' and materialmen's liens; revising provisions requiring a lessee to record a notice of security before beginning a work of improvement; providing alternative security for the release of certain liens.
D Senate Bill 279, sponsored by Senator Kieckhefer and Assemblywoman Krasner This bill relates to general improvement districts; requiring the board of trustees of a general improvement district to follow certain procedures before selling real property owned by the district.
D Senate Bill 466, sponsored by the Senate Committee on Government Affairs This bill makes an appropriation to the State Public Works Board of the State Public Works Division of the Department of Administration for the advance planning and schematic design phases on a master plan for the Reno-Sparks Livestock Events Center.
8. Public Entity Laws
D Assembly Bill 4, sponsored by the Assembly Committee on Government Affairs This bill relates to cities; authorizing a governing body of a city to create a district for a city fire department; requiring the governing body of a city that creates a district for a city fire department to establish the boundaries of that district. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 19 of 25
> Assembly Bill 70, sponsored by the Assembly Committee on Government Affairs This bill relates to meetings of public bodies; making various changes relating to meetings of public bodies; providing a penalty.
> Assembly Bill 101, sponsored by Assemblyman Skip Daly This bill relates to declaratory judgments; authorizing a private plaintiff to bring an action for a declaratory judgment regarding a violation of state law or a local ordinance by certain governmental entities. We spoke on behalf of RTAA in opposition to this bill.
> Assembly Bill 162, sponsored by Assemblyman Daly, Assemblywoman Benitez- Thompson, and Senator Cannizzaro. This bill relates to governmental administration; authorizing the Legislative Commission to suspend or nullify certain administrative regulations; abolishing the Subcommittee to Review Regulations of the Legislative Commission; revising provisions relating to administrative regulations.
> Assembly Bill 207, sponsored by Assemblyman Frierson and Assemblywoman Benitez-Thompson This bill relates to business entities; revising provisions concerning certain records required to be kept by certain business entities; revising provisions relating to the breach of a fiduciary duty by a director or officer of a corporation; revising provisions relating to the ability of a stockholder to dissent in certain circumstances; revising provisions concerning distributions; revising the definition of the term "issuing corporation" as it relates to the acquisition of a controlling interest therein; authorizing stockholders of a corporation to approve an amendment to the articles of incorporation in writing; requiring written notice to certain stockholders after the dissolution of a corporation approved by written consent of the stockholders thereof; revising provisions relating to the individual liability of a person acting as the alter ego of a corporation and applying such provisions to limited-liability companies; revising provisions concerning the indemnification of certain persons by a corporation; establishing provisions relating to the duties owed to a limited-liability company and its members by a member, manager or officer of the limited-liability company; establishing provisions relating to a series of members of a limited-liability company; establishing the circumstances under which the merger of a publicly traded corporation without the vote of the stockholders is authorized; revising provisions relating to limitations on the right of a stockholder to dissent; making various other changes relating to business entities.
> Assembly Bill 270, sponsored by Assemblywoman Peters This bill relates to regional transportation commissions; authorizing a regional transportation commission to sell certain property acquired through eminent domain proceedings or threat thereof at a public auction. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 20 of 25
D Assembly Bill 274, sponsored by Assemblywoman Neal This bill relates to governmental administration; revising provisions governing the disclosure of information relating to complaints filed with the Nevada Equal Rights Commission within the Department of Employment, Training and Rehabilitation; revising provisions governing the protections against reprisal or retaliatory action provided for a state or local governmental officer or employee who discloses certain governmental action.
D Senate Bill 141, sponsored by Senators Gansert, Hardy, and Pickard. This bill relates to the Nevada Equal Rights Commission; requiring the Commission to perfatin specific activities relating to disseminating infatination regarding the Commission and its role with respect to sexual harassment and the laws relating to sexual harassment and provide a report relating to these activities; requiring the change of a certain position within the Commission to a different occupational group; making an appropriation.
D Senate Bill 207, sponsored by Senators Atkinson, Denis, Cannizzaro, and Brooks This bill relates to apprentices; prohibiting a public body from awarding certain contracts for a public work to a contractor unless the contractor complies with certain requirements relating to the use of apprentices on public works or pays a monetary penalty; prohibiting a contractor on certain public works from awarding subcontracts for more than 5 percent of the value of the public work to a subcontractor unless the subcontractor complies with certain requirements relating to the use of apprentices on public works or pays a monetary penalty.
D Senate Bill 287, sponsored by Senators Parks, Hansen, and Spearman This bill relates to public records; clarifying the records of a governmental entity that must be made available to the public to inspect, copy or receive a copy thereof; revising provisions relating to the manner of providing copies of public records; revising provisions governing the actions taken by governmental entities in response to requests for public records; revising provisions relating to the relief provided for a requester of a public record who prevails in a legal proceeding; revising provisions governing immunity from liability for public officers and employees who disclose or refuse to disclose certain information; revising provisions governing the fees that governmental entities are authorized to charge for a copy of a public record; providing civil penalties.
D Senate Bill 339, sponsored by Senator Denis This bill relates to public records; authorizing a governmental entity to declare certain records of the governmental entity to be confidential.
D Senate Bill 388, sponsored by Senator Denis This bill relates to public records; providing for the designation of certain public records and portions of public records as confidential; requiring a governmental entity to grant a request to copy such records under certain circumstances. President/CEO' s Report—March 2019 April 11,2019 Board Meeting Page 21 of 25
9. Transportation Issues —
D Assembly Bill 22, sponsored by the Assembly Committee on Growth and Infrastructure This bill relates to highways; revising provisions governing the amount of money that the Director of the Department of Transportation must retain under certain highway contracts; and providing other matters properly relating thereto.
D Senate Bill 426, sponsored by Senate Committee on Growth and Infrastructure This bill relates to transportation; extending the deadline for a regional transportation commission to submit certain recommendations relating to the imposition of certain taxes to the board of county commissioners; extending the deadline for a board of county commissioners to submit a ballot question to the voters regarding the imposition of certain taxes.
D Senate Bill 478, sponsored by the Senate Committee on Commerce and Labor This bill relates to car sharing; enacting provisions governing a car sharing agreement that is part of a peer-to-peer car sharing program; imposing certain requirements and duties on the parties to a car sharing agreement; providing provisions governing motor vehicle insurance required as part of a car sharing agreement.
10. Firearms Legislation
D Assembly Bill 437, sponsored by Assemblymen Wheeler, Hafen, Ellison, and Assemblywoman Titus This bill relates to firearms, and eliminates the requirement to possess a permit to carry a concealed firearm.
11. Public Safety —
D Assembly Bill 157, sponsored by Assemblymen Hambrick and Ellison, Assemblywoman Tolles, and Senator Pickard. This bill relates to human trafficking; requiring certain law enforcement officials to take certain actions upon initially encountering a possible victim of human trafficking; requiring the owner or operator of certain establishments and facilities to post an infomiational sign relating to the National Human Trafficking Hotline; requiring the Department of Health and Human Services to develop a statewide plan for delivery of services to victims of human trafficking; requiring the Department of Education and the State Board of Education to develop and distribute certain informational materials relating to the human trafficking of children; providing a penalty
D Assembly Bill 206, sponsored by Assemblyman William McCurdy This bill relates to emergency management; requiring the Chief of the Division of Emergency Management of the Department of Public Safety to develop written plans for President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 22 of 25
the mitigation of, preparation for, response to and recovery from emergencies or disasters; abolishing the Committee on Training in Search and Rescue and transferring certain of its duties to the Board of Search and Rescue; requiring the Department of Health and Human Services to develop a written plan to address behavioral health needs in an emergency or disaster.
> Assembly Bill 348, sponsored by Assemblywomen Gorelow and Munk, and Assemblymen Leavitt and Roberts This bill relates to occupational safety and health; requiring a medical facility to develop and carry out a plan for the prevention of workplace violence and report incidents of workplace violence to the Division of Industrial Relations of the Department of Business and Industry; prohibiting a medical facility from taking certain actions against an employee who seeks the assistance of a public safety agency in response to workplace violence or who reports workplace violence; requiring a medical facility to maintain certain records and provide copies of those records to certain persons upon request; requiring the Division to publish an annual report concerning workplace violence at medical facilities.
> Senate Bill 7, sponsored by the Senate Committee on Judiciary This bill relates to crimes; providing that a person who knowingly solicits a child who is less than 14 years of age for prostitution is guilty of sex trafficking; providing a penalty.
> Senate Bill 9, sponsored by the Senate Committee on Judiciary This bill relates to criminal procedure; revising provisions governing the time for commencing a criminal prosecution for crimes associated with murder, sexual assault and sex trafficking; and providing other matters properly relating thereto.
> Senate Bill 34, sponsored by the Senate Committee on Government Affairs This bill relates to emergency management; requiring the Division of Emergency Management of the Department of Public Safety to adopt certain regulations; creating an exemption to provisions requiring certain grant recipients to report funds received for certain purposes to the Nevada Commission on Homeland Security.
D Senate Bill 35, sponsored by the Senate Committee on Government Affairs This bill relates to public safety; creating the Nevada Resilience Advisory Committee; setting forth the membership and duties of the Committee; providing certain exceptions to the open meeting law; requiring the Nevada Resilience Advisory Committee to prepare an annual report and submit the annual report and submit the annual report to certain entities; authorizing the Nevada Resilience Advisory Committee to appoint subcommittees in certain situations.
> Senate Bill 69, sponsored by the Senate Committee on Government Affairs This bill relates to public safety; designating the month of October of each year as "Cybersecurity Awareness Month"; revising requirements relating to emergency response plans for schools, cities, counties and resort hotels; clarifying the authority of the President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 23 of 25
Governor to call members of the Nevada National Guard into state active duty in the event of a significant cybersecurity incident; requiring each city or county to adopt and maintain a cybersecurity incident response plan; requiring the Nevada Office of Cyber Defense Coordination of the Department of Public Safety to provide certain training and briefings and submit a quarterly report to the Governor regarding cybersecurity.
Assembly Bill 45, sponsored by the Assembly Committee on Judiciary This bill relates to public safety; creating and setting forth the duties of the Nevada Threat Analysis Center and the Nevada Threat Analysis Center Advisory Committee in the Investigation Division of the Department of Public Safety.
The Porter Group prepared the following Federal Government Affairs update for the Reno-Tahoe Airport Board of Trustees:
Porter Group was honored to again host RTAA executive leadership and Chair Gianoli during their annual DC trip in the beginning of March. We were able to meet personally with Senator Cortez-Masto, Senator Rosen, Congressman Amodei, Congresswoman Titus, as well as the staff director of the House Transportation and Infrastructure's Aviation Subcommittee. Our meetings focused on the RTAA's federal legislative agenda for the 116th Congress and we also spoke about many of the airport's successes over the past year. While Porter Group routinely interacts with these offices on your behalf, it is always impactful to have the RTAA leadership here in DC with us to tell our story. We are already looking forward to next year's trip!
Earmarks
House Appropriations Chairwoman Nita Lowey recently sent a letter to her colleagues saying there's not enough bipartisan, bicameral support to reinstate the use of earmarks for the FY20 appropriations cycle. While House Republicans had banned earmarks in their conference rules, the official ban is no longer in place since Democrats won control of the chamber. Still, Lowey's statement doesn't preclude a return to the practice in future years. Since the use of Congressionally-directed spending could have a very positive impact on the airport, we will continue pushing for the reinstatement of this potential source of funding.
FAA Administrator Nomination
President Trump named former airline executive Stephen Dickson to run the FAA, which hasn't had a permanent head since Michael Huerta, who had been appointed by President Barack Obama, stepped down in early 2018 at the end of his five-year term. Dickson, who was senior vice president-flight operations for Delta Air Lines, needs Senate confirmation before taking over the agency but with the President's party in control of the upper chamber, we anticipate Mr. Dickson will be the FAA Administrator in the near future. Both AAAE and the Aircraft Owners and Pilots Association put out statements in support of the nomination. President/CEO' s Report — March 2019 April 11, 2019 Board Meeting Page 24 of 25
Trump's FY20 Budget Request for FAA
The Administration's fiscal year 2020 budget request to Congress was made public in mid-March. Before saying any more on this, we must point out that every budget that any president sends to Capitol Hill is always, always dead on arrival. Congress has the ultimate authority to determine spending levels and the budget request is little more than a suggestion, so take all the following numbers with a massive grain of salt.
For FY20, the Administration is asking for $17.1 billion for the Federal Aviation Administration, which would be about $300 million less than FY19. Within that amount, and the Trust Fund would receive level funding of $3.35 billion, $1.4 billion would go towards investments in NextGen implementation, and the Airport Improvement Program would get $3.35 billion. The Small Community Air Service Development Program was zeroed out, unfortunately.
Congressional Hearing on Airport Funding
The House Transportation and Infrastructure Committee held a hearing titled, "The Cost of Doing Nothing: Why Investment in our Nation's Airports Matters" where the focus was almost exclusively on the issue of increasing the Passenger Facility Charge (PFC). There were three airport executives who appeared as witnesses, as well as the CEO of Spirit Airlines, and their views on the PFC broke down pretty much as you'd expect, with the Spirit CEO being adamantly opposed to increasing the PFC while the airports spent significant amounts of time pleading for an increase. As for Members of the Committee, none came out directly to say they do not support increasing the PFC although some did ask relevant questions about other possible sources of funding beyond the PFC or what a compromise solution would look like since both sides seem so dug in on this issue.
The Chairman of the Committee, Rep. Pete DeFazio, is an adamant supporter of increasing the PFC and plans to include use any infrastructure package to try and do just that. While the prospects of such a bill are still shaky at best, it is great knowing that we have such a powerful champion in our corner.
Aviation Funding Stability Act of 2019
The House Transportation Committee marked up and passed HR. 2208, the Aviation Funding Stability Act of 2019 in late March. We've reported previously on the Aviation Funding Stability Act of 2019, a bill that would allow the FAA to continue operating in the event of a federal government shutdown, and now the legislation will be sent to the full House of Representatives for a vote on passage. We will continue following this bill and will provide updates as necessary.
Presentations/Promotions
Chair Gianoli, President/CEO Manly Mora, and Executive Vice President/C00 Dean Schultz participated in an annual Washington, D.C. fly-in from March 5th to 8th. These visits coincided with the President/CEO's Report — March 2019 April 11, 2019 Board Meeting Page 25 of 25
ACI-AAAE Legislative Conference. During the trip, we met with most of the Nevada Congressional delegation as well as some relevant aviation staff including:
• Senator Cortez Masto and Legislative Director Trevor Dean • Senator Rosen and Legislative Director Grant Dubler • Congresswoman Dina Titus and Legislative Director Ben Rosenbaum • Congressman Mark Amodei and Legislative Director Molly Lowe • Kirk Shaffer, FAA Associate Administrator for Airports • Rachel Devine, Democratic Staff Director and Sr. Counsel for the T&I Subcommittee on Aviation
On March 28, 2019, President/CEO Manly Mora testified to the Nevada Assembly Taxation Committee in favor of Assembly Bill 242. The purpose of this bill is to create the Nevada Air Service Commission and the Nevada Air Service Development Fund. The Commission and Fund will provide better air service connections to all parts of Nevada, increasing the quality of life for the state's residents, helping spur economic development and increasing the attraction of visitors.