HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 11/20/2007 - FIRST READING OF ORDINANCE NO.138, 2007, AUTHORIZI ITEM NUMBER: 15
AGENDA ITEM SUMMARY DATE: November20, 2007
FORT COLLINS CITY COUNCIL STAFF: Mike Freeman
Steve Engemoen
Dave Gordon
SUBJECT
First Reading of Ordinance No.138, 2007, Authorizing the Appropriation of 2008 Fiscal Year
Operating and Capital Improvement Funds of 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($3,184,735)of the annual appropriation for the
fiscal year 2008 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 2008 annual operating budget for the Airport totals $648,310, and will be funded from Airport
operating revenues,contributions from the Cities of Fort Collins and Loveland,and interest earnings.
This Ordinance appropriates the City of Fort Collins' contribution,which is a 50%share of the 2008
Airport budget and totals $324,150.
This Ordinance also appropriates the City of Fort Collins' 50% share of capital funds, totaling
$2,860,580 for the Airport from federal and state grants;passenger charges;contributions from Fort
Collins and Loveland; and the Airport General Fund. The 2008 Airport capital funds, totaling
$5,721,160,will be used to rehabilitate the Airport's primary runway 15/33 and cross-wind runway
6/24, repairing a portion of the t-hangar ramp area, and purchasing of two mowing machines.
Rehabilitation of the primary runway will include reconstructing a portion of the north end of the
runway, overlaying the remaining length of the runway with a five inch asphalt mat,replacement of
existing runway lights, engineering design services, surveying, geotechnical services, and
construction management services. Rehabilitation of the cross wind runway is being funded entirely
by the tenants in the Airport Industrial Park.
November 20, 2007 -2- Item No. 15
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
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%of the 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 reve
nues enues 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 2008 for the Airport are $648,310, and the City of Fort Collins
contribution is $324,155.
In addition,the Airport Manager is recommending additional capital expenditures and has identified
the following funding sources:
FAA Entitlement and Discretionary Grants $ 5,000,000
State Grants 250,000
Gifts/Donations 310,000
Contributions - Fort Collins and Loveland 75,500
Airport Revenues 85,660
Total $ 5,721,160
The additional capital expenditures will be for the following improvements:
Primary Runway 15/33 Improvements $ 5,263,160
Cross Wind Runway 6/24 Improvements 310,000
T-Hangar Pavement Maintenenace 114,000
Mowing Equipment 34,000
Total $ 5,721,160
Thus, the City of Fort Collins' appropriation for the capital expenditures identified above is
$2,860,580 (50% of the total).
ORDINANCE NO. 138, 2007
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE APPROPRIATION OF 2008 FISCAL YEAR
OPERATING AND CAPITAL IMPROVEMENT FUNDS OF
THE FORT COLLINS-LOVELAND MUNICIPAL AIRPORT
WHEREAS, in 1963, the City of Fort Collins 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 of Fort Collins
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 of Fort Collins 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 2008 Airport Operating Budget
totaling$648,310 and the City of Fort Collins' 50% share is $324,155; and
WHEREAS, it is the desire of the City Council to appropriate the necessary funds for
operating costs of the Airport, totaling $324,155, for the fiscal year beginning January 1, 2008,
and ending December 31, 2008; and
WHEREAS, the Airport Manager recommends the following capital improvements for
2008, totaling$5,721,160, that are not included in the 2008 Airport Operating Budget:
Primary Runway 15/33 Improvements $ 5,263,160
Cross Wind Runway 6/24 Improvements 310,000
T-Hangar Pavement Maintenance 114,000
Mowing Equipment 34,000
Total $ 5,721,160
WHEREAS, funding for the 2008 capital improvements has been identified as follows:
FAA Entitlement and Discretionary Grants $ 5,000,000
State Grants 250,000
Donations/Gifts 310,000
Contributions - Fort Collins and Loveland 75,500
Airport Revenues 85,660
Total $ 5,721,160
WHEREAS, the City of Fort Collins' 50% share of the 2008 capital improvement costs is
$2,860,580; and
WHEREAS, under the Intergovernmental Agreement between the Cities, the City of Fort
Collins' 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 of Fort Collins 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 Charter of the City of Fort
Collins, 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 2008 Airport Operating Budget and
authorizes the appropriation of THREE HUNDRED TWENTY-FOUR THOUSAND ONE
HUNDRED FIFTY-FIVE DOLLARS ($324,155) 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 TWO MILLION
EIGHT HUNDRED SIXTY THOUSAND FIVE HUNDRED EIGHTY DOLLARS ($2,860,580)
to be used for 2008 capital improvements at the Fort Collins-Loveland Municipal Airport.
Introduced, considered favorably on first reading, and ordered published this 20th day of
November, A.D. 2007, and to be presented for final passage on the 4th day of December, A.D.
2007.
Mayor
ATTEST:
City Clerk
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Passed and adopted on final reading on the 4th day of December, A.D. 2007.
Mayor
ATTEST:
City Clerk
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