Preliminary Agenda set for November 7, 2012 Savannah Airport Commission MeetingNovember 2nd, 2012
SAVANNAH AIRPORT COMMISSION
November 7, 2012
1. Call to Order by Chairman Formey
2. Approve Minutes of Previous Meeting – October 10, 2012
3. Recognition of Visitors
4. First in Service Award(s): Lester Dozier
5. Length of Service Award(s): Robbie Richardson - 10 years
CONTRACTS AND AGREEMENTS
6. Request approval of the annual sponsorship for the Liberty Mutual Legends of Golf Tournament in the amount of $20,000. The requested amount is the total sponsorship for SAC’s portion of the sponsorship amount. The 2013 budgeted amount is $20,000.
7. Approve Fee Proposal for Ticket Lobby Renovation Design and Project Management Services with RS&H in the amount of $196,000. At the October Commission meeting, RS&H presented the proposed concept for the ticket lobby modernization project which is programmed for 2013. Subsequent to that presentation, Staff consulted with the airlines who agreed with the concept and the plan to move forward with the renovation. RS&H has provided SAC with a fee proposal in the amount of $196,000 for the design phase of this project which consists of design, bidding and construction management services. This phase will include everything except the baggage handling design service which RS&H recommends SAC program separately. Staff has reviewed the fee proposal and has determined it to be in line and reasonable for the work involved and recommends approval in the amount of $196,000. A portion of this work is PFC eligible.
8. Approve Rental Rates Corporate Partners, LLC and Hangar III. Corporate Partners, LLC and Hangar III currently hold land leases for hangars on Corporate Road. On December 31, 2012, both of these land leases will reach the end of their twenty five-year term. As provided in the land lease agreement, upon termination of the land lease, ownership and any improvements to the property will revert to the Savannah Airport Commission. On January 1, 2013, these entities will begin paying rent to the Commission for both hangar improvements and land rent. The properties have been appraised by a qualified company specializing in airport properties. Because of the unique circumstances of the original lessees who leased the land and then constructed improvements thereon, staff recommends that a new policy for ownership reversion of hangars, buildings or other facilities constructed on the Airport and the establishment of rental rates be as follows:
(1) For the existing leaseholder who remains in the facility after reversion, the rent shall be calculated at 50% of the Fair Market Value (FMV).
(2) For a new leaseholder who rents the facility from the Commission after reversion where the original or existing tenant has relinquished the property to the Commission, the rent shall be calculated at full Fair Market Value.
(3) The initial new term of the lease will be five (5) years. Each property will be reappraised and rents evaluated to comply with changing market rent values every five years.
(4) Buildings and other facilities that revert to Commission ownership will be inspected five (5) years prior to termination date. Existing owner/tenants will be notified of maintenance or repairs in order to bring the structure up to current Airport standards prior to termination of the land lease.
(5) Buildings, hangars and other facilities reverting to Commission ownership will be re-inspected approximately one (1) year prior to termination of land lease, and owners will receive notification of any repairs or maintenance items that remain incomplete in order to bring structure or facility up to current Airport standards.
10. Execute Easement Agreement with Georgia Power Company. Georgia Power Company has requested an easement to install and maintain utility lines to the new Taxi Stand at Patrick S. Graham Drive. This easement is necessary as the lines will run outside of the right-of-way along the roadway. Georgia Power has submitted for approval SAC’s standard Easement Agreement form.
11. Execute Amendment No. 2 to the Space Lease Agreement with DHL, Inc. DHL has requested to renew their Space Lease Agreement for approximately 9,961 sq. ft. of bay space in the Air Cargo Building, plus 5,229 sq. ft. of Loading Dock area and 41,115 sq. ft. of ramp space. The rent for the bays will increase with this agreement from the current rate of $6.00 per sq. ft. up to $8.00 per sq. ft., matching the rates now charged to other tenants of the Air Cargo Building. The ramp space leased by DHL was previously charged at $0.18 per sq. ft., a rate that had not escalated in keeping with standard rental rate increases since prior to 1997. The amendment will increase the term for an additional three years with two annual options to renew thereafter. The new monthly rental rate commencing December 1, 2012, will be $6,715.89.
12. Approve Purchase with Tennant Sales and Service Company for a Riding Sweeper/Scrubber in the amount of $42,500 City of Savannah Event No. 744. Request approval of the purchase of a new Tennant M30 Large Integrated Scrubber-Sweeper to replace the 12 year old Tennant 1550 Scrubber - Unit 672 due to lifecycle. The sweeper/scrubber is utilized to maintain the apron ramp, parking garages and Terminal walkways. The 2012 budget amount is $100,000. The following bids were received:
Tennant Sales and Service
Nilfisk Advance, Inc.
13. Approve Purchase with Graybar Electric Company in the amount of $63,175 for the Replacement of Level One Terminal Building Deplane Lighting with LED Lighting Fixtures City of Savannah Event No. 742, Request approval for the purchase of ninety-five Beacon Endura LED Lighting Fixtures Cat#EDR/36G-90T/T5R/UNV/LSC/MT to replace existing 175 watt metal Halide which are currently failing 3-4 per month. By replacing existing lights with proposed LED lights, not only will energy costs be reduced by more than 50%, but maintenance costs will be virtually eliminated for five to seven years. The 2012 budgeted amount is $70,000. The following bids were received:
Graybar Electric Co.
Georgia Electric Co.
14. Calendar of Upcoming Events
2013 Budget Workshop
SAC Board Room
SAC Employee Oyster Roast
5:00 – 8:00 pm
SAC Holiday Reception
15. Executive Session – Personnel