HomeMy WebLinkAbout086 - 06/03/2003 - AUTHORIZING THE APPROPRIATION OF FUNDS FOR EXPENDITURES FOR CAPITAL IMPROVEMENTS AND OPERATING EXPEN ORDINANCE NO. 086, 2003
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE APPROPRIATION OF FUNDS FOR EXPENDITURES FOR CAPITAL
IMPROVEMENTS AND OPERATING EXPENSES TO IMPROVE THE FORT COLLINS-
LOVELAND AIRPORT TERMINAL BUILDING FACILITIES AND FOR FUNDS TO
PROMOTE SCHEDULED SERVICE INTO THE AIRPORT
WHEREAS, in 1963, the City of Fort Collins (the "City") and the City of Loveland
agreed to the establishment of 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 with each assuming responsibility for 50% of the capital
and operating costs associated with the Airport; and
WHEREAS, the Airport has been approached by Allegiant Air to start scheduled service
into the Airport; and
WHEREAS, the City Managers of the Cities have signed a letter of intent to provide
certain funds and facilities to accommodate the services to be provided by Allegiant Air, subject
to the city councils of the Cities appropriating the funds to meet the Cities' obligations under the
agreement; and
WHEREAS, the letter of intent outlines the service to be provided and the financial
responsibilities of Allegiant Air to the Airport; and
WHEREAS, the Cities have agreed to provide Allegiant Air with funds totaling $30,000
for advertising costs in advance of Allegiant's first flight, and to provide an enclosed structure at
the Airport to accommodate passengers on Allegiant's flights, at an estimated additional cost of
$33,500; and
WHEREAS, in addition, the estimated operating costs to the Airport associated with
Allegiant's services will be approximately $13,300 ($1,900 per month), assuming that Allegiant
Air operated at the Airport from June 1, 2003 through December 31, 2003; and
WHEREAS, the City's share of the 2003 Airport costs associated with the Allegiant Air
service will be as follows:
Advance advertising costs $ 1500
One-time capital expense - new passenger structure 161750
Operating costs for six months in 2003 6,650
Total $ 38,400
WHEREAS, the current balance in the Airport's operating fund, which consists partially
of revenues earned from the air show held at the Airport in July, 2002, is more than adequate to
cover the foregoing costs; and
WHEREAS, under the intergovernmental agreement between the Cities, the City's share
of the Airport revenue is being held 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 Charter of the City of Fort
Collins (the "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; and
WHEREAS, it is the desire of the City Council to authorize the appropriation of$38,400,
of the revenues held by the City of Loveland, as agent and partner of the Fort Collins-Loveland
Airport, to be used for capital improvements and operating expenses to improve the Airport's
terminal building facilities and to promote scheduled service into the Airport.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS that the City Council hereby authorizes the appropriation of THIRTY EIGHT
THOUSAND FOUR HUNDRED DOLLARS ($38,400) to be used for capital improvements and
operating expenses to improve the Airport's terminal building facilities and to promote
scheduled service into the Airport.
Introduced, considered favorably on first reading, this 20th day of May, A.D. 2003, and
to be presented for final passage on the 3rd day of June, A.D. 2003.
Mayor �.._.
ATTEST:
City Clerk��� 7or4,�7,�
Passed and adopted on final reading this 3rd day of June, A.D. 2003.
Mayor
ATTEST:
City Clerk