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Leistiko/Airport BudgetKALISPELL CITY AIRPORT - S2 P. 0. BOX 1997, KALISPELL, MONTANA 5990 406-250-3065 airoo�rtk�alis e�llco�m Jeanne Linrude 680 Two Mile Dr. Kalispell, MT 5991 Thank you for your letter, I will attempt to explain the main parts of the airport budget for you, if I can. An Enterprise Fund is a fund that must operate on revenues it generates each year on its own. The City does not put any money into it or take money out of it. It is a separate enterprise. The sewer fund, water fund, garbage fund, and the airport fund are all enterprise funds that must operate on their own revenues. If they need more money, they must increase their fees. The airport budget is just under $100,000 and it all comes from fees generated by the airport. That is why I said that taxpayer funds were not involved in the airport budget. Actually, the airport fund pays the City over $18,000 each year for services like insurance, legal, data processing, etc., so we actually help the City out a little. If I want Public Works to do something on the airport, I must pay them. If I want Parks Department to mow grass, I must pay them with airport funds. However, the airport budget is a little more complicated than that because the Federal Aviation Administration (FAA) has agreed to fund 95% of the redevelopment of the Kalispell City Airport. We have done some needed upgrades over the past five or six years and the FAA has agreed to pay us for that work. However, they stated from the beginning that we, the City of Kalispe must remove the KGEZ radio tower from the airports protected airspace before we can be reimbursed for any upgrades since the towers are considered a hazard to aviation operations. We were in negotiations with KGEZ up until he filed for bankruptcy this Spring. We are now waiting for the federal bankruptcy judge to tell us what will happen to the radio station in the future. I am required funds to further improve the airport. Those are the funds that Councilman Hafferman referred to in his comments Tuesday night. 120 r0s M- I SUM OR*