1999/10/25 Airport Master PlanREPORT TO:
FROM:
SUBJECT:
N
Honorable Mayor and City Council
Chris A. Kukulski, City Manager
Airport Master Plan
MEETING DATE: October 25, 1999
BACK GROUND: As you are well aware, the Airport Advisory Board and city staff have been
working with Morrison & Maierle for nearly two years on the Development of a Feasibility Study
and Master Plan for the Kalispell City Airport. Since August, two presentations have been made
before the City Council. The first was during an August 9, 1999 Council Work Session and the
second was during a Public Hearing held on October 4, 1999.
In recalling the discussions which took place during the Council Work Session, the City Council
indicated that two of the five options provided in the Master Plan stood out above the others. Option
1 entails the City investing $1.255 million in updating and improving the airport with no assistance
from the Federal Aviation Administration (FAA). Option 2 upgraded the airport to FAA B2
standards. Option 2 is estimated to cost the city $1.301 million, with the FAA contributing $4.958
million towards the airport's upgrades for a total cost of $6.258 million.
During the October 4 Public Hearing, the Council heard from ten local residents. All but one of
whom spoke in favor of the B2 upgrade. The one individual did not want to be labeled as either a
supporter or a naysayer and rather wanted to make sure the group was cognizant of noise, traffic and
otW spinoffs of this type of development. Since the public hearing, there have been "letters to the
editor" speaking both in favor of and against the upgrades to the airport. During last weeks Chamber
of Commerce lunchen, those in attendance were asked to hold up cards vocalizing their views
towards several issues facing the City. Green represented support for a project and red stood for
Post Office Box 1997 • Kalispell, Montana 59903-1997
Telephone (406) 758-7700 • FAX (406) 758-7758
your disagreement of the idea. Nearly everyone in the room expressed support for improving the city
airport with only one individual raising a red card.
Three issues of great importance must be resolved before making a commitment toward the B2
option. Number 1, the City and FAA must resolve issues related to the two radio towers located
south of the airport and east of US-93. The extent to which the towers are a problem is still
unknown. Five divisions of the FAA are currently reviewing the location of the towers in reference
to the flight patterns in order to determine a resolution to the problem. Best case is that the towers
do not interfere with the flight pattern and thus no change is necessary. Worst case is that the towers
have to be removed. Number 2, approximately thirty parcels of property must be secured in order
to lengthen the runway and receive the B2 status. We are currently working with a consultant who
acquires right-of-ways for various municipal projects. If hired, the consultant would secure options
on the thirty parcels and be paid primarily out of commissions on each successfully signed agreement.
Number 3, the FAA must designate the Kalispell City Airport on the National Plan for Integrated
Airports designation and agree to fund 90% of the improvements.
If the three issues listed above can be resolved without spending tens of thousands of dollars, I
recommend the City commit to Option 2. By upgrading the airport to B2 standards we are greatly
improving our city owned asset. Our investment of $1.3 million will result in over $6.25 million of
improvements. These improvements add to the airport's viability over the long term for the city and
the region.
How does the City pay its $1.3 million dollar share of the project? The debt will be paid through two
revenue sources: First, the sale of two lots adjacent to the airport. Lot one is 2.98 acres and has a
state equalized value of $498,471, Lot 2 is 7.41 acres and has a market value of $1,233,082 (1999
tax rolls). The sale of these two lots should net the city $1.7million conservatively. The sale of at
least one of the two lots is essential to the City's ability to finance the improvements. Second, the
Airport Urban Renewal District (URD) is growing as a result of the Rosauer's and Dasen's projects
as well as other smaller projects. Attached is a spreadsheet outlining the increment which is
anticipated over the next three years in the Airport URD. Therefore, the City will be in a position
to either pay cash for the improvements or sell bonds through the URD to cover the cost. Under
ideal conditions, the airport project would start during the 2002 construction season.
RECOMMENDATION: The City Council concur that the issue should be placed on the
November 1 City Council Agenda for clear direction to be given to the City Manager and staff.
FISCAL EFFECTS: The total cost of the B2 upgrade is approx. $6.258 million. $4.958 will
be paid by the FAA with the City committing $1.301 million towards the project. The City's share
will be paid for from the sale of the two lots outlined above and the Airport URD fund.
ALTERNATIVES: As suggested by the Council.
Respectfully submitted,
Chris A. Kukulski
City Manager
Report compiled October 21, 1999
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RESOLUTION NO.
A RESOLUTION AMENDING RESOLUTION NO. 4467 BY REVISING THE RESIDENCY
REQUIREMENTS FOR MEMBERS OF THE AIRPORT ADVISORY BOARD.
WHEREAS, the City of Kalispell established the Airport Advisory Board
through Resolution 4210 on June 5, 1995; and
WHEREAS, Resolution 4210 was amended by Resolution 4457 on April 19,
1999 by establishing the term limits of those Board members;
and
WHEREAS, the City Council has determined that the residency
requirements of those Board Members are in need of updating.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KALISPELL, MONTANA, AS
FOLLOWS:
SECTION I. That Resolution 4467, Section II is hereby amended
by revising the residency requirements of members
of the Airport Advisory Board, as follows:
"That the City Council hereby creates an Airport
Advisory Board consisting of seven (7) members
nominated by the Mayor and confirmed by the City
Council. All members appointed from this day
forward must meet the following requirements:
a) Members; must have an interest in and
knowledge of aeronautics and municipal
airports; and
b) Members must own real property within the
City limits of Kalispell.'
a) Three members who own real property within
the eity's master Plan jurisdictional area,
attd
SECTION II. This Resolution shall become effective immediately
upon its passage by the City Council.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF THE
CITY OF KALISPELL, MONTANA, THIS 1ST DAY OF NOVEMBER, 1999.
Wm. E. Boharski
Mayor
Attest:
Theresa White
City Clerk