Airport Planning Program Master Plan FAR Part 150 Noise Study Strategic Business Plan Steering Committee March 15, 2007
Airport Planning Program Master Plan FAR Part 150 Noise Study Strategic Business Plan Public Meeting March 15, 2007
Agenda Opening Comments Consultant Presentation Working Paper Six: Financial Implementation Analysis Comments Questions and Discussion Next Steps & Action Items Closing Comments
Presentation Team Barnard Dunkelberg & Company/Tulsa, OK & Denver, CO Peter Van Pelt/Project Coordinator John F. Brown & Company/Belmont, CA & Cincinnati, OH Spencer Ballard/Project Manager Craig Communications/Pinole, CA Tracy Craig/Public Participation Coordinator Rainwater & Associates/Oakland, CA Marie Rainwater/Facilitator
Planning Process Review AIRPORT MASTER PLAN Inventories Forecast of Aviation Activity Capacity Analysis & Facility Requirements Determination > Documentation - Working Papers (6) - Airport Layout Plan - Final Document Alternatives and Plan Development Environmental Review Implementation Plan Financial Analysis Strategic Business & Implementation Plan
Conceptual Development Plan Airport Master Plan
Airport Planning Program Implementation Plan Project Highlights
PHASE I (0-6 Years) Development Plan Projects 2008 Projects: Design-Overlay TW E 2009 Projects: Construct-Overlay/Reconstruct TW E & TW Golf & Run-up Area RW 1L Purchase Noise Monitoring and Flight Tracking System Security Improvements 2010 Projects: Design-Overlay Eastside FBO Taxilane & TW J
PHASE I (0-6 Years) Development Plan Projects 2011 Projects: Reconstruction of Eastside FBO TL & TW J w/drainage 2012 Projects: Design East T-Hangars TL Reconstruct & Drainage 2013 Projects: Construct East T-Hangars TL Reconstruct & Drainage Design North & South Parallel Access Taxiway to 19 Acre Development Area
PHASE I (0-6 Years) Development Plan Projects 2013 Projects: Continued Construct North & South Parallel Access Taxiway to 19 Acre Development Area Construct North Access from Marsh Drive to Sally Ride Drive State and Federal Environmental Processing for Proposed Improvements (this project may appear several times during the 20-year CIP)
PHASE II (6-11 Years) Development Plan Projects Projects: Reconstruct RW 1L/19R Reconstruct RW 14L/32R Reconstruct Taxiway B Construct Airport Service Road from Hotel Ramp to Taxiway E Remove Portions of TW D @ TW A, Construct Airport Service Road to East Development Area Other Pavement Maintenance & Rehab Five Year Estimate
PHASE III (11-20 Years) Development Plan Projects Projects: Construct Taxiway L Extension; Remove portions of TW C from TW E to TW D Construct TW F Extension; Remove Diagonal Section of TW F Construct New Run-up Area; Remove Portion of Existing Run-Area on East Ramp Site Enhancements on John Glenn & Sally Ride Drives Construct Replacement TW K; Remove portions of Existing TW K
PHASE III (11-20 Years) Development Plan Projects Projects: Continued Remove portions of TW H Drainage Improvements Property Acquisition Avigation Easement Runway 19R RPZ Construct Multi-Use Terminal/Administration Building 15,000 s.f. Construct New Air Traffic Control Tower
Phasing Plan Field Airport Master Airport Planning Master Program Plan
Airport Planning Program Financial Implementation Plan
Overview Objective: To demonstrate the Airport s ability to fund the projects in the master plan Approach: 1. Review financial structure and historical performance 2. Evaluate proposed capital plan Identify potential sources of funding (federal and state) Determine local match requirement 3. Project future financial performance 4. Demonstrate ability to fund local requirement of capital plan and meet all other requirements or repeat steps 2-4 to optimize implementation plan
Financial Structure-Airport Airport Enterprise Fund Operations of Airports Division of the County Public Works Department Fund includes and Byron Airport Fund intended to be self-sufficient and sustained by user fees receives no funds from County General Fund and retains all revenues for airport purposes
Historical Financial Performance Airport Enterprise Fund, FY 2002-2006 Maintains positive balance in Airport Enterprise Fund Net Operating Revenues average $520,000 before capital costs and debt service net income partially used to support Byron operations Average Operating Revenues $ 2,958,178 Operating Expenses 2,254,605 Net Operating Income $ 703,573 Byron Airport Operating Revenues $ 346,055 Operating Expenses 530,425 Net Operating Loss $ (184,370) Net Operating Revenues $ 519,203 Less: Debt service 545,563 Net Income (Loss) $ (26,360) 2006 Beginning Balance $ 740,500 Change in Net Income (90,462) Ending Balance $ 727,620
-FY2006 Revenues: $3.0 million total revenues, a substantial number of nonaeronautical sources, and significant long term leases Expenses: $2.6 million total Ground Rent 7% Concession 5% Tiedowns/Cards/Park 4% Fuel Flowage 3% Professional Services 6% Utilities 5% Insurance 2% Other/1 5% Hangars 21% Maintenance & Repairs 7% Other/1 6% Non-aeronautical 54% Services & Supplies 8% Salaries & Benefits 67%
Sources of Capital Funding Federal Airport Improvement Program Grants (AIP) Entitlement - $150,000 annually per Airport Discretionary Awarded by project on a priority basis Projects that enhance safety, security, capacity 95% funding basis for general aviation airports FAA Facilities and Equipment Funds
Sources of Capital Funding Continued State Grants (Caltrans) Annual Grants - $10,000 annually AIP Matching Grants 5% of Federal AIP grant awarded Acquisition & Development (A&D) Grants Private Third Party Financing Airport Revenues
Historical Capital Spending, FY 2002-2006 Average $570,000 in capital improvements 97 percent from federal and state sources Total Average Grant Receipts AIP $2,651,762 $530,352 State $116,545 $23,309 Total Grants receipts $2,768,307 $553,661 Local CIP expenditures $91,754 $18,351 Total Capital Expenditures $2,860,061 $572,012
Capital Improvement Plan Project & Funding Summary for the 12 Months Ending June 30; Nominal $ Projects Year (s) Total AIP State Local Phase I Design - Overlay Taxiway (TW) E (N of TW J to Approach End of Runway (RW) 19R] & TW Golf & Run-Up Area for RW 1L Construct - Overlay/Reconstruct TW E (N of TW J to Approach End RW 19R) & TW Golf & Run-Up Area RW 1L Security Improvements (Fencing, Gates, Lights, Cameras, etc.) New Noise Monitoring and Flight Tracking System (Multilateration) Design - Overlay Eastside FBO Taxilane (TL) & TW J (S of TW A to App End of RW 32R) Reconstruction of Eastside FBO TL & TW J (S of TW A to App End of RW 32R) w/drainage Conduct Obstruction and Approach Survey - All Runways Design - East T-Hangars TL Rehab/Reconstruct & Drainage Construct - East T-Hangars TL Rehab/Reconst & Drainage 2008 $79,567.50 $75,589.13 $1,889.73 $2,088.65 2009 1,070,872 1,017,329 25,433 28,110 2009 1,092,727 1,038,091 25,952 28,684 2009 819,545 778,568 19,464 21,513 2010 191,336 181,770 4,544 5,023 2011 1,970,766 1,872,228 46,806 51,733 2011 57,964 55,066 1,377 1,522 2012 328,364 311,946 7,799 8,620 2013 3,276,384 3,112,565 77,814 86,005
Capital Improvement Plan Project & Funding Summary for the 12 Months Ending June 30; Nominal $ Projects Year (s) Total AIP State Local Phase I Design Parallel Access Taxiway to 19 Acre Development Area Construct Parallel Access Taxiway to 19 Acre Development Area Construct Access Roadways for 19 Acre Development Area 2013 60,264 57,251 1,431 1,582 2013 1,205,276 1,145,013 28,625 31,639 2013 2,299,864 2,184,871 54,622 60,371 Capital Maintenance Reserve Phase 1 2010-2013 141,261 - - 141,261 Phase II Construct - Overlay/Reconst RW 1L/19R 2014 6,333,850 6,017,158 150,429 166,264 Construct - Overlay/Reconst RW 14L/32R 2015 6,523,866 6,197,673 154,942 171,251 Reconstruct Taxiway B 2016 4,475,242 4,251,479 106,287 117,475 Construct Airport Service Road From Hotel Ramp to Taxiway E 2017 1,554,771 1,477,033 36,926 40,813 Remove Portions of Taxiway D at Taxiway A; Construct Airport Service Road to East 2018 641,592 609,513 15,238 16,842 Development Area Capital Maintenance Reserve Phase 2 2014-2018 201,764 - - 201,764 Total Phase I & Phase II Projects /1 $32,325,277.69 $30,383,140.15 $759,578.50 $1,182,559.04
Financial Implementation Plan Key Assumptions Overall O&M expenses increase at 4 percent annually Airport rates and charges increase with inflation, estimated at 3 percent annually Projects will be completed as scheduled (timing and cost) and construction costs will increase with inflation Byron net operating loss will decrease as estimated by management
Financial Implementation Plan Key Assumptions Continued Airport activity levels will increase as forecasted in Working Paper One Federal and state grants will be available as programmed in the capital plan Projects without federal funding will be deferred until funding is available
Projected Capital Plan Funding, FY 2008-2018 $12.6 million in capital projects over next six years 3.7 percent from local funds Grant Receipts/1 Total Average 2008-13 2014-18 2008-13 2014-18 AIP $ 11,830,284 $18,552,856 $1,971,714 $3,710,571 State 295,757 463,821 49,293 92,764 Total Grants receipts $12,126,042 $19,016,677 $2,021,007 $3,803,335 Local Funds Local CIP Match $326,889 512,645 $54,482 102,529 Capital Maintenance Reserve/2 141,261 201,764 23,544 40,353 Total Local Funds $468,151 $714,408 $78,025 $142,882 Total Capital Expenditures $12,594,192 $19,731,085 $2,099,032 $3,946,217 Note: 1. Assumes funding at the 95%federal level and 5% matching state level. 2. To be funded entirely from local funds.
Projected Net Operating Income AAG 2007B 2008B 2013 2018 2007-08 2007-13 2007-18 Operating Revenues Ground Rent 1,865,629 1,963,259 2,275,955 2,638,456 5.2% 3.4% 3.2% Hangars $689,111 $857,141 $993,661 $1,151,926 24.4% 6.3% 4.8% Tiedowns/Key Cards/Transient Pkg. 137,000 127,800 148,155 171,753-6.7% 1.3% 2.1% Fuel Flowage 105,000 116,000 148,966 189,200 10.5% 6.0% 5.5% Concession 92,660 97,960 113,562 131,650 5.7% 3.4% 3.2% Rental Car 46,200 53,300 61,789 71,631 15.4% 5.0% 4.1% Concession 55,500 51,800 60,050 69,615-6.7% 1.3% 2.1% Other /1 164,900 431,062 195,502 212,242 161.4% 2.9% 2.3% Total Operating Revenues $3,156,000 $3,698,322 $3,997,642 $4,636,472 17.2% 4.0% 3.6% Less: Expenses 2,614,763 2,721,614 3,311,259 4,028,653 4.1% 4.0% 4.0% Net Operating Income $541,237 $976,708 $686,383 $607,820 80.5% 4.0% 1.1% Note: 1. "Other" includes control tower rent, utilities, development and completion fees, and other miscellaneous revenues.
Enterprise Fund-Projected Net Income For the 12 Months Ended Airport Enterprise Fund June 30; in Thousands Projected Operating Results 2007B 2008B 2009 2010 2011 2012 2013 Operating Revenues $3,156 $3,698 $3,647 $3,658 $3,768 $3,881 $3,998 Less: Operating Expenses/1 $2,615 $2,722 $2,830 $2,944 $3,061 $3,184 $3,311 Buchanan Net Operating Income $541 $977 $816 $714 $706 $697 $686 Less: Byron Net Operating Loss (est.)/2 $519 $446 $381 $317 $252 $187 $122 Net Operating Revenues $22 $530 $435 $398 $455 $510 $564 Less: Debt service /3 $205 $356 $356 $356 $178 - - Net Income / (loss) $(183) $174 $78 $41 $276 $510 $564 Note: 1. Excludes debt service, assessments, and depreciation. 2. Assumes future development at Byron eliminates Byron's net loss incrementally over the next eight years. 3. Debt service shown is for both and Byron. The Airport Enterprise Fund pays annual debt service with 54 percent allocated to and 46 percent allocated to Byron. Final payment is scheduled to occur in FY 2011.
Projected Capital Plan Local Funding For the 12 Months Ended Airport Enterprise Fund June 30; in Thousands 2007B 2008 2009 2010 2011 2012 2013 Projected Net Income / (loss) $(183) $174 $78 $41 $276 $510 $564 Capital Plan Funding Net Income / (loss) $(183) $174 $78 $41 $276 $510 $564 Less: CIP Local Match 48 2 78 39 88 44 216 Surplus/ (Shortfall) $(231) $172 $(0) $3 $188 $466 $348 Airport Enterprise Fund Beginning Balance $650 $419 $591 $591 $594 $782 $1,248 Change in Net Income Before CIP (183) 174 78 41 276 510 564 CIP Local Match (48) (2) (78) (39) (88) (44) (216) Ending Balance $419 $591 $591 $594 $782 $1,248 $1,596 Note: 1. Assumes funding at the 95%federal level and 5% matching state level. 2. To be funded entirely from local funds.
Next Steps Draft Final Report Strategic Business Plan Next Meeting June 21, 2007
Airport Planning Program Questions & Comments
Questions/ Additional Information Ms. Beth Lee Airport Business & Development Manager Contra Costa County Airports Division Phone Number. 925/646-5722 blee@airport.cccounty.us www.buchananfield-byronairports.org
Airport Planning Program Thank You