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HomeMy WebLinkAboutMinutes 11/20/12 PUBLIC HEARING
November 20, 2012
Present: Peter Runyon Chairman
Jon Stavney Commissioner
Sara Fisher Commissioner
Bryan Treu County Attorney
Kathy Scriver Deputy Clerk to the Board
This being a scheduled Public Hearing,the following items were presented to the Board of County
Commissioners for their consideration:
Chairman Runyon spoke about the population growth of Eagle County over the years. He recognized Vail
Resort's presence in the valley.
Consent Agenda
Chairman Runyon stated the first item before the Board was the Consent Agenda as follows:
A. Approval of Bill Paying for the Weeks of November 19 and November 26, 2012(subject to review by the
Finance Director)
Finance Department Representative
B. Approval of Payroll for November 29, 2012(subject to review by the Finance Director)
Finance Department Representative
C. Eagle County Child Care Assistance Program Payment Policy
Megan Burch,Health&Human Services
D. Resolution 2012-116 authorizing any of the Eagle County Commissioners to Execute all Documents
Necessary for the Preservation of the Nottingham/Red Dirt Creek Property
Toby Sprunk, Open Space
E. Addendum to the Agreement between Eagle County and Serco Management Services dated November 22,
2011 for Additional Winter Staffing and Extended Winter Hours for the Airport Traffic Control Tower
Greg Phillips,Airport
F. Resolution 2012-117 Approval of the Stone Yard Distillery,Inc. Special Use Permit for Manufacturing
Operations within the Dotsero Ranch PUD(Eagle County File No.ZS-3854)
Scot Hunn,Planning
G. Resolution 2012-118 Approval the First Amendment to Service Plan for Cordillera Valley Club
Metropolitan District,County of Eagle, State of Colorado(Eagle County File No. SD-3996)
Bob Narracci,Planning
H. Cordillera Subdivision,Filing No. 8 Tract F,Lots 7 and 8. The intent of this Amended Final Plat is to
vacate the common lot line between Lot 7 and Lot 8 in order to create Lot 7 and to vacate the building
envelope of the former Lot 8 (Eagle County File No.AFP-3982)
Sean Hanagan,Planning
Commissioner Stavney moved to approve the Consent Agenda,Items A-H.
Commissioner Fisher seconded the motion. The vote was declared unanimous.
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Citizen Input
Chairman Runyon opened and closed citizen Input, as there was none.
Commissioner Stavney moved to adjourn as the Eagle County Board of County Commissioners and re-
convene as the Eagle County Air Terminal Corporation.
Commissioner Fisher seconded the motion. The vote was declared unanimous.
Commissioner Stavney noted that Keith Montag was absent.
Eagle County Air Terminal Corporation
Chris Anderson,Airport
1. Approval of meeting minutes from October 30,2012 meeting
Ms. Fisher moved to approve the meeting minutes from October 30, 2012.
Mr.Lewis seconded the motion. The vote was declared unanimous.
2. 2012 Third Quarter Financials Review
Heather Mathews stated that she would not be spending a lot of time on this review unless
the board had questions. The main purpose today was the proposed budget for 2013.
Mr. Stavney asked about the recent airline mergers and whether it was a challenge for the
airport.
Mr. Philips stated that he did not see this as being a significant impact.
Mr. Stavney asked about the G2 Secure Staff storage lease.
Mr. Philips stated that they added some additional space for G2,which is the reason for the
increase in numbers.
Mr. Stavney asked about the concession revenue decline.
Mr. Philips stated that because there were fewer passengers there was less vending and
concessions.
Mr. Stavney asked about the bonds.
Mr. Lewis stated that long-term debt was down 3 million dollars. Retained earnings was
up and cash was down slightly. The balance sheet was much stronger due to the debt
refinancing.
Mr. Treu stated that the leases were adjusted to anticipate mergers,which happened
routinely in the airline industry.
Ms.Fisher asked about the G2 storage.
Mr.Philips stated that G2 secure storage was the ground handling service for American
Airlines.
Ms.Matthews explained the different summary formats.
Mr. Stavney asked about the Operating fund and Capitol fund.
Mr. Lewis stated that the Trustee funds had changed significantly when they refinanced the
bonds. It was important to note that they were able to take some money out and put it into the
Capitol fund for improvements at the airport.
Mr.Philips believed that the airport was in great shape overall and had significant reserves
but did not like the trend to see falling operational revenue.
Mr.Treu advised good communication with the Trustee to avoid the Trustee using the
reserves to pay down the principal and bonds.
Mr. Runyon wondered if the FAA would fund the future expansion of an international
terminal.
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Mr. Phillips did not anticipate that the FAA would fund that type of improvement. FAA
funding for airport improvements had already been identified for the ramp project and a snow
removal equipment facility.
Ms. Fisher believed that there was value in having strong reserves. It was wise to be
financially prudent.
Mr. Phillips stated that this had been a year of significant construction year within the
terminal with mostly grant money. He believed it was important to maintain the reserves they
had and not worry about the smaller projects.
Mr. Stavney stated that he really like the balance sheet(previous year) format.
3. 2013 Proposed Budget Consideration
Mr. Phillips stated that they anticipated a 5%overall increase in revenue. Their general
philosophy on the budget was to be conservative. They expected a$50,000 reduction in overall
rental car revenue. Ground transportation had set rents with a CPI adjustment every year which
would result in a$7,800 increase. The TSA security space lease would increase by about $20,000
due to recent improvements to the space. He spoke about the concession revenue. Advertising
revenue had dropped significantly but he anticipated changes going forward. Even with the
revenue reduction from enplanements and fewer passengers in the terminal,there was still a net
increase in revenue. In expenses, $10,000 was added to consulting to cover future agreements.
General and admin expenses would go up slightly. There would be a natural increase in cost for
janitorial services. They estimated an increase in maintenance costs for the new baggage handling
system. He spoke about the HVAC system and additional heating costs. He covered the ground
maintenance fees,management fees,professional services,utility costs. There was a significant
bump in depression expenses.
Ms. Mathew explained that with the completion of the new inline baggage system,the TSA
checkpoint and office remodel, in 2013,they had to start recognizing those expenses.
Mr. Phillips spoke about the other income and expenses. This was the last year they would be
operating the control tower facility and last year there would be a payment$107,000.
Ms. Fisher asked why this payment would go away.
Mr. Anderson stated that the airport was making the payment to ECAT that served as a pass
through to CDOT. The gain would be reflected in the airport budget next year.
Mr. Phillips spoke about the loss in interest revenue. He presented the non-negotiable costs.
The bond payments were set. In 2013,there were mainly small projects listed under capital
improvement projects,the landscaping project being the largest of the items. Based on previous
discussions there was $350,000 earmarked for those improvements.
Mr. Lewis noted that there was about a$1.4 million dollar turnaround in cash flow.
Mr. Lewis moved to approve the budget for 2013.
Mr.Runyon seconded the motion. The vote was declared unanimous.
Income
4000•Rental Revenue
4010•Revenue-Airlines
4010.01•American Airlines 1,216,555.00
4010.03 Delta Airlines 303,209.00
4010.07•United Airlines 871,116.00
Total 4010•Revenue-Airlines 2,390,880.00
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4020•Revenue-Rental Cars
4020.01•Alamo/National 279,000.00
4020.02•Avis/Budget Group 515,000.00
4020.04•Frontier/Dollar 250,500.00
4020.05•Hertz 640,115.00
Total 4020•Revenue-Rental Cars 1,684,615.00
4030•Revenue-Ground Transportation
4030.01•CME Premier 193,106.00
4030.03•Hy-Mountain Taxi 52,733.00
Total 4030•Revenue-Ground Transportation 245,839.00
4035•TSA Security Space Lease 72,758.40
4036•Worldwide Flight Services 12,936.00
4037•G2 Storage Lease 23,328.00
Total 4000•Rental Revenue 4,430,356.40
4040•Concession Revenue
4041•Revenue-Retail Concessions
4042.03•HDS Storage-Eagle and Vail 26,364.00
4042.04•HDS Alp Express-Pre-Security 45,000.00
4042.11•HDS Alpenglo Restaurant 105,000.00
4042.20•HDS Mercantile-Gore Range 45,159.00
4042.21•HDS Mtn Java 39,511.00
Total 4041•Revenue-Retail Concessions 261,034.00
4045•Revenue-Other Concessions
4045.01-Alpine Vending 6,109.00
4045.09•Miscellaneous Other Concessions -
Total 4045•Revenue-Other Concessions 6,109.00
Total 4040•Concession Revenue 267,143.00
4051•Advertising Revenue
4051.01•TIGA Advertising 100,000.00
Total 4051 Advertising Revenue 100,000.00
4700•VVJC Cost Share Lease Revenue 45,311.00
4900•Miscellaneous Revenue
Total Income 4,842,810.40
Expense
5000•General and Administrative Exp
5010•Advertising 1,000.00
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5020•Bank Service Charge
5025.Office Supplies 500.00
5028•Medical Supplies 500.00
5029•Supplies-Other _
5040•Insurance 16,000.00
5050•Professional Services
5050.01•Accounting 9,218.50
5050.02•Consulting 25,000.00
5050.04•Legal 10,000.00
5050.05•Trustee Fees 11,539.00
Total 5050•Professional Services 55,757.50
Total 5000•General and Administrative Exp 73,757.50
5100•Operations
5110•Janitorial 269,148.00
5120•Building Maintenance
5120.01•Baggage Handling 50,000.00
5120.02•Building Repairs 45,000.00
5120.03•Doors and Windows 20,000.00
5120.04•Electrical 10,000.00
5120.05•HVAC Service 25,000.00
5120.06•Permits -
5120.07•Plumbing 7,500.00
5120.08•Signage 10,000.00
5120.10•Supplies-Building&Janitorial 2,000.00
5120.12•Roof 5,000.00
Total 5120•Building Maintenance 174,500.00
5130•Grounds Maintenance
5130.01•Landscaping 30,000.00
5130.02•Snowplowing 4,000.00
5130.03•Ground Maintenance and Repair 15,000.00
5130.04•Irrigation Repair -
5130.05•Pavement Maintenance 50,000.00
Total 5130•Grounds Maintenance 99,000.00
5145•Eagle County Airport Mgmt Fee 382,851.29
5155•Other Purchased Services&Exp
5155.01•Equipment Repair 3,500.00
5155.04•Seasonal Improvements _
5155.05•Fire Alarm System and Maint 10,000.00
5155.06•Vehicle Expense 10,000.00
5155.09•Misc
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Total 5155.Other Purchased Services&Exp 23,500.00
5157•Customer Service 20,000.00
5160•Rent-Ground Lease 222,644.14
5165•Security 3,500.00
5190•Utilities
5190.01•Electric 126,000.00
5190.02•Natural Gas 60,000.00
5190.03•Telephone 4,200.00
5190.04•Trash 15,000.00
5190.05•Water/Sewer 16,000.00
Total 5190•Utilities 221,200.00
Total 5100.Operations 1,416,343.43
5200•Revenue Sharing Rebate 300,000.00
6100•Depreciation and Amortization
6110•Depreciation Expense 1,420,584.00
6150•Capitalized Int Amortization 22,800.00
Total 6100•Depreciation and Amortization 1,443,384.00
Total Expense 3,233,484.93
Net Ordinary Income 1,609,325.47
Other Income/Expense
Other Income
7005•PFC Receipt 550,000.00
7010•Control Tower Space&Facility 107,465.20
7032•TSA Baggage Grant -
7035•TSA Remodel Reimbursement -
7090•Investment Income 2,000.00
Total Other Income 659,465.20
Other Expense
8010•Bond Interest Expense 677,721.85
8011•Bond Discount Amortization -
8012 Deferred Premium Amortization (3,498.00)
8015•Deferred Refunding Cost Amort 87,954.00
8020•Bond Issue Cost Amortization 43,881.00
8060 CDOT Loan Interest 2,161.04
8090•Interest Expense -
Total Other Expense 808,219.89
Net Other Income (148,754.69)
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Net Income 1,460,570.77
Debt Principal Payments 2013
2001A Issue
2001B Issue
2006A Issue 460,000.00
2006B Issue 195,000.00
2011A Issue 325,000.00
2011B Issue 555,000.00
CDOT 108,052.00
Total Debt Principal Payments 1,535,000.00
Capital: 2013 CIP
Checkpoint expansion design
Concrete Replacement
Terminal Attic Venting 25,000.00
CIP-In-line Baggage Project
Interior design planning 25,000.00
Relocate pre-security retail/widen TSA checkpoint
Water Rights-Town of Gypsum
Fixted Variable message signs(3)
Video Camera System Improvements
HVAC Improvements 20,000.00
TSA Office Remodel-Shell
Terminal Fire Doors
Parking Lot Improvements
North Concourse Bathroom Improvments
Paid Parking System
Restaurant Expansion
Landscaping Improvements 350,000.00
Interior Renovations/Improvements
Baggage Carousel Renovation
Terminal Door Locking System 30,000.00
Building Systems Engineering Assessment 20,000.00
Baggage Cart/Trollies
Total Capital Expenditures 470,000.00
Net Income less debt principal and capital (544,429.23)
Plus Depreciation and amortization 1,571,721.00
Net Cash Flow 1,027,291.77
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4. New Business
Mr. Phillips stated that the winter services were building and by December 22, all the
flights would be arriving. In preparation for that,most of the big projects were done. The
master plan was still in the works and moving forward. The tentative date for a site visit and
open house at the airport was December 10`h. He requested an increase to the checkpoint
budget of$30,000 to complete the project.
Mr.Treu believed it was appropriate to authorize the addition funds contingent upon an
amendment to the contract.
Chairman Runyon moved to approve the additional funds contingent upon an amendment
to the contract.
Commissioner Fisher seconded the motion. The vote was declared unanimous.
Commissioner Fisher moved to adjourn as the Eagle County Air Terminal Corporation and re-convene as
the Board of County Commissioners.
Commissioner Runyon seconded the motion. The vote was declared unanimous.
Manager Update (recorded)
Keith Montag,County Manager
1. Communications Update
2. Information Sharing
3. Meetings Attended/Future Meetings
4. Discussion Items
Executive Session— Quarterly Compensation Committee Update (recorded)
Lisa Ponder,Human Resources
Attorney Update (recorded)
Bryan Treu, County Attorney
A. Open Session
B. Executive Session
1. Legal advice concerning proposed agreement with Vail Resorts regarding Eco-
Build fees
2. Legal advice concerning proposed agreement with Eagle River Watershed Council
3. Legal advice concerning the Wolcott PUD application and Planning Commission
process
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4. Legal advice concerning the potential acquisition of the Minturn Boneyard
property
5. Legal advice concerning Amendment 64 and medical marijuana
Work Sessions (recorded)
Eagle River Center Site Design Concept
Populous Inc.Representatives
There being no further business before the Board,the meeting was adjourned until December 4,2012.
cit Attest: � _� i rt,.�� _4, , a API
Clerk to the Boa d y`, Chairman •�b%CIRO°
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