Agenda - Council - 08/14/1990 - Laserfiche WebLink

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I I I I I I I I I I I Attached is an update of 0 & M expenses for the airports through June 30, 1989. Based on the updated costs, it appears that the estimated $17,000 per year 0 & M expense may be a bit high with actual yearly costs more likely to be in the $10,000-15,000 range. MnDot's annual participation for 0 & M expenses for the improved facility would be $6,500 per year thus the 0 & M cost to the City would be $3,500 to $8,500. This expense is generally partially offset by lease revenues, fuel flowage fees or other revenue sources. Councilmember Pearson also requested information regarding the satisfaction of communities which have airports. We tried contacting a number of communities with comparably sized airports and report the following: Rush City city Administrator, Mike Thompson, 612-358-4743. Community by and large definitely perceives the airport as an asset. It is a greater asset to some of the local businesses than others. They believe that the airport helps them compete with attracting and retaining businesses. The City's industrial park is about 10 years old and is now about 3/4 full. He believes the airport was a factor in locating in several instances. They have a medical benefit since consulting physician's fly in from Twin Cities. From a negative standpoint, they have a small public works department and plowing/sanding can get to be a burden. A number of residents believe that the airport benefits only a few since they don't use it. City of Princeton C~ity Administrator, Bill Schimmel, Jr., 389-2040. They are now completing a $1.5 million renovation of runway, taxiway, lights and drainage. Two of the City's larger businesses fly in clients as well as owners flying. The business community perceives the airport as more positive than perhaps the average resident does. They are anticipating that the FBO will expand at the airport. Hospital has a physician fly in so the time savings is a community benefit. On balance, they believe that it is a real value for the community with airport that size. On the negative side, they have citizens who complain that the airport benefits only a few so they question why time, attention and dollars are spent on it. The maintenance portion is something city budgets for and it works out that MnDOT picks up about 2/3 of the expense. There are some routine items that get taken care of which the city simply pays for instead of getting reimbursed. On balance, they believe it is a positive aspect and market the airport as a service in their economic development pursuits. City of Buffalo city Administrator, Mert Auger, 682-1181. They believe it is a positive benefit to community. They have more people stop at the airport and get additional community exposure that way. They did a survey of users and potential users recently and received a very positive response from potential