HomeMy WebLinkAboutMINUTES-10/21/1980-AdjournedOctober 21, 1980
COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
Council -Manager Form of Government
Adjourned Meeting - 4:00 p.m.
An adjourned meeting of the Council of the City of Fort Collins was held on
Tuesday, October 21, 1980, at 4:00 p.m. in the Council Chambers in the City
of Fort Collins City Hall. Roll call was answered by the following Coun-
cilmembers: Bowling, Gray, Kross, Reeves, St. Croix, Wilkinson, and
Wilmarth.
Loveland Councilmembers Present: Tom Noack, Harold Kester, and J.D.
Bildervack.
Staff Members Present: Arnold, Liley, Lanspery, Davis, Lewis, Nazarenus,
Sanfilippo, and Spelman.
Loveland Staff Members Present: Waggener and Babcock.
Public Hearing of the Fort Collins
•and Loveland City Councils
on a Second Fixed Base Operator
The Public Hearing was chaired by Loveland Mayor Harold Kester.
Bill Babcock, attorney for the City of Loveland, stated that the purpose of
this public hearing was to receive public comments on the ability of the
Fort Collins -Loveland Airport to support two fixed base operators. Under
the existing Martin/Carlton FBO agreement, the two Cities must consider
this issue before soliciting any proposals for a second FBO. Such con-
sideration would also assure the'.FAA that no exclusive rights have been
granted at the airport.
Lucia Liley, attorney for the City of Fort Collins, informed the Councils
that a proposal has been received from Gene Greenwalt of Airwest Helicop-
ters, Inc. to provide additional FBO services at the airport. A proposal
for assignment of their rights in the existing FBO agreement to Joseph
Mladonicky has also been received from the Foothills Industrial Bank.
Councils might also receive comments pertinent to the Airwest and Mladon-
icky proposals at this hearing.
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October 21, 1980
Mayor Kester then opened the hearing to receive public comments on whether
the airport can sustain two fixed base operators.
...ene Greenwalt, president of Airwest Helicopters, Inc., presented brochures
and information on his company's proposal for a second fixed base operation
at the airport and on Airwest's operations. Mr. Greenwalt stated that his
company could provide administrative, marketing, and maintenance services
;.t the Fort Collins -Loveland Airport immediately. Airwest would propose to
Senerate additional business at the airport by improving customer services
and attracting Denver traffic for fuel sales and maintenance.
Ar. Thomas Quinn, attorney representing the Foothills Industrial Bank and
the Foothills Capital Corporation, spoke regarding legal constraints on the
Cities in regard to a second FBO. These include the agreement with the
current FBO, FAA regulations, and the City's proprietary role under federal
anti-trust laws. Mr. Quinn then stated that, based on the experience of
his clients with the Fort Collins -Loveland Airport, the facility will not
support a second FBO with the current level of business. Any decision in
support of a second FBO would have to be based on expectations of an
increased level of business or changes in airport operations. An economic
feasibility study would be desirable before any decision on the matter. It
is a public policy issue whether any FBO should be mandatory full service
or permissive.
Councilman Wilmarth asked if the Foothills Capital Corporation would be
prepared to provide a clear legal statement on its position.
Mr. Quinn stated that the Cities need to make a "good faith consideration"
of whether there is a need for a second FBO, and there needs to be reason-
able decision -making on the basis of that consideration and the evidence
presented. A further legal statement could be prepared.
Councilman Wilkinson asked if Mr. Quinn's clients would be willing to put
money into the operation to ensure the success of Mr. Mladonicky if the
current lease would be assigned to him.
Mr. Quinn stated that his client is only committed to extend financing to
Mr. Mladonicky sufficient to allow him to assume control.
Mr. Kosta Constantine, a resident of Fort Collins and an airport user,
supported additional FBO services at the Fort Collins -Loveland Airport.
The only remaining issue is whether the Cities are ready to financially
support a second FBO.
Councilman Bowling pointed out that direction has been given by the Airport
Ad -Hoc Committee for land planning under the updated Master Plan. The
Cities have determined that they are ready to support increased activitiy
at the,,airport, subject to adoption of the Master Plan.
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October 21, 1980
Councilwoman Reeves asked for clarification on assuring the FAA that no
exclusive rights have been granted at the airport.
City Attorney Liley replied that most agreements we have with the FAA for
funding require that no exclusive lease arrangements would be made.
Councilman Bowling suggested that the comments from the public hearing be
taken under advisement and that legal staff prepare a statement for con-
sideration at the later regular Council meetings._
Mayor Kester declared the public hearing c
5:00 p.m. /
ATTEST:
Deputy— Cny (;Ier
The meeting adjourned at
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