HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 12/02/2008 - FIRST READING OF ORDINANCE NO. 144, 2008, AUTHORIZ ITEM NUMBER: 13
AGENDA ITEM SUMMARY DATE: December2, 2008
FORT COLLINS CITY COUNCIL STAFF: Mike Freeman
Dave Gordon
SUBJECT
First Reading of Ordinance No. 144, 2008, Authorizing the Appropriation of 2009 Fiscal Year
Operating and Capital Improvement Funds for the Fort Collins-Loveland Municipal Airport.
RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
FINANCIAL IMPACT
This Ordinance appropriates the City's 50% share ($1,152,465)of the annual appropriation for the
fiscal year 2009 Fort Collins-Loveland Municipal Airport (the "Airport") budget. The City of
Loveland manages the Airport's budget and finances, but since the City of Fort Collins owns 50%
of the Airport, it is necessary for the City to appropriate its 50%portion of the Airport budget.
EXECUTIVE SUMMARY
The 2009 annual operating budget for the Airport totals $722,700, and will be funded from Airport
operating revenues, contributions from the Cities of Fort Collins and Loveland($85,000 from each
city), and interest earnings. This Ordinance appropriates the City of Fort Collins' contribution,
which is a 50% share of the 2009 Airport budget and totals $361,350.
This Ordinance also appropriates the City of Fort Collins' 50% share of capital funds, totaling
$791,115 for the Airport from federal and state grants; passenger charges; contributions from Fort
Collins and Loveland; and the Airport General Fund. The 2009 Airport capital funds, totaling
$1,582,230, will be used to pave the Echo taxiway, rehabilitate portions of the aircraft taxiways in
the hangar area and construct the security fencing and gates. In addition, the airport will purchase
training supplies for the aircraft rescue and fire fighting services;and,purchase airfield maintenance
equipment.
BACKGROUND
In 1963,the City of Fort Collins and the City of Loveland agreed to the establishment of a regional
aviation facility and became owners and operators of the Fort Collins-Loveland Municipal Airport,
located approximately 16 miles southeast of downtown Fort Collins,just west of Interstate 25 on
December 2, 2008 -2- Item No. 13
Earhart Road. The Airport is operated as a joint venture between the City of Fort Collins and the
City of Loveland, with each city retaining a 50% ownership interest, sharing equally in policy-
making and management,and with each assuming responsibility for 50%ofthe capital and operating
costs associated with the Airport.
The Airport's mission is to provide a safe and efficient air transportation airport facility to the
general public and aviation community by providing airport facilities that meet Federal Aviation
Administration ("FAA") safety standards and to implement a plan that ensures the efficient
development of the Airport to meet the needs of the Fort Collins and Loveland communities.
Airport revenues cover operating costs and capital projects. Each city contributes equal funding for
airport operating and capital costs. Airport development and improvement funds are also received,
for eligible projects, from the FAA and the Colorado Department of Transportation, Division of
Aeronautics.
The annual operating costs for 2009 for the Airport are $722,700, and the City of Fort Collins
contribution is $361,350.
In addition,the Airport Manager is recommending additional capital expenditures and has identified
the following funding sources:
FAA Entitlement Grant $ 1,000,000
State Grant 450,000
Airport Revenues 132,230
Total $ 1,582,230
The additional capital expenditures will be for the following improvements:
Taxiway Improvements and Security Fencing & Gates - Phase I $ 1,052,630
Aircraft Rescue & Fire Fighting Training Supplies 19,000
Airfield Maintenance Equipment 11,000
Rehabilitate portions of Hangar Taxiways 249,600
Security Fence and Gates - Phase II 250,000
Total $ 1,582,230
Thus, the City of Fort Collins' appropriation for the capital expenditures identified above is
$791,115 (50% of the total).
ORDINANCE NO. 144, 2008
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE APPROPRIATION OF 2009 FISCAL YEAR
OPERATING AND CAPITAL IMPROVEMENT FUNDS FOR
THE FORT COLLINS-LOVELAND MUNICIPAL AIRPORT
WHEREAS, in 1963, the City and the City of Loveland agreed to establish a regional
general aviation facility and became owners and operators of the Fort Collins-Loveland
Municipal Airport(the "Airport"); and
WHEREAS, the Airport is operated as a joint venture between the City and the City of
Loveland (the "Cities"), with each city retaining a 50% ownership interest, sharing equally in
policy-making and management, and assuming responsibility for 50% of the capital and
operating costs associated with the Airport; and
WHEREAS, in accordance with the Intergovernmental Agreement, dated May 16, 2000,
between the City and the City of Loveland for the joint operation of the Airport, the Airport
Manager is responsible for preparing the Airport's Annual Operating Budget and submitting it to
the Cities for their approval; and
WHEREAS, the Airport Manager has submitted a 2009 Airport Operating Budget
totaling $722,700 and the City's share is $361,350; and
WHEREAS, it is the desire of the City Council to appropriate the necessary funds for
operating costs of the Airport, totaling $361,350, for the fiscal year beginning January 1, 2009,
and ending December 31, 2009; and
WHEREAS, the Airport Manager recommends the following capital improvements for
2009, totaling $1,582,230,that are not included in the 2009 Airport Operating Budget:
Taxiway Improvements and Security Fencing& Gates-Phase I $ 1,052,630
Aircraft Rescue &Fire Fighting Training Supplies 19,000
Airfield Maintenance Equipment 11,000
Rehabilitate Portions of Hangar Taxiways 249,600
Security Fence and Gates-Phase II 250,000
Total $ 1,582,230
WHEREAS, funding for the 2009 capital improvements has been identified as follows:
FAA Entitlement Grants $ 1,000,000
State Grant 450,000
Airport Revenues 132,230
Total $ 1,582,230
WHEREAS, the City's 50% share of the 2009 capital improvement costs is $791,115;
and
WHEREAS, under the Intergovernmental Agreement between the Cities, the City's share
of existing and unanticipated Airport revenue will be held and disbursed by the City of Loveland
as an agent on behalf of the City since the City of Loveland is providing finance and accounting
services for the Airport; and
WHEREAS, in accordance with Article V, Section 8(b), of the City Charter, any expense
or liability entered into by an agent of the City, on behalf of the City, shall not be made unless an
appropriation therefor shall have been made by the City Council.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows:
Section 1. That the City Council hereby adopts the 2009 Airport Operating Budget and
authorizes the appropriation of THREE HUNDRED SIXTY-ONE THOUSAND THREE
HUNDRED FIFTY DOLLARS ($361,350) to be expended to defray the operating costs of the
Fort Collins-Loveland Municipal Airport.
Section 2. That the City Council hereby authorizes the appropriation of SEVEN
HUNDRED NINETY-ONE THOUSAND ONE HUNDRED FIFTEEN DOLLARS ($791,115)
to be used for 2009 capital improvements at the Fort Collins-Loveland Municipal Airport.
Introduced, considered favorably on first reading, and ordered published this 2nd day of
December, A.D. 2008, and to be presented for final passage on the 16th day of December, A.D.
2008.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading on the 16th day of December, A.D. 2008.
Mayor
ATTEST:
City Clerk