Airport commission approves 2012 budget

story by Aric Mitchell
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The end of the year always brings with it budget discussion and approvals for the 365 days ahead, and both were on display at Tuesday night’s Fort Smith Regional Airport Commission meeting.

“I don’t foresee any particular issues with approval (of the 2012 budget),” Parker said in an interview prior to the board meeting. “Our process allows commissioners to submit any questions, comments or concerns to us prior to having a draft budget for final review. Two commissioners also advise staff on the writing of the budget. Following what was presented on October 25, we have not had any conflicts, so I anticipate it to be a short item.”

Commissioners were allowed, from the Oct. 25 meeting to Nov. 18, to present any potential issues or concerns. The 2012 budget was approved Tuesday night, Parker confirmed.

Other items on Tuesday night’s agenda include an engineering agreement for drainage improvements in the West General Aviation area of the airport. The site has had standing water for “most of the year,” Parker said, and will tie in to an element of the current Federal Aviation Administration (FAA) airport improvement project 40.

Once the planning and bidding phases are complete, staff will submit an application to the state for funding under the 90/10 grant program. Maximum state participation under the grant would be $150,000 (90% of the project bid). The sponsor will be responsible for the lower share. Currently, the project is estimated to cost $173,100.

In other news, Parker noted The Runway Cafe staff will not renew their lease for 2012, and that staff is “researching vending options and alternate plans” as no local restaurants or vending companies have submitted proposals for taking over at this time. Rent paid to Fort Smith Regional Airport is a percentage of gross, which has been down since the business’s early years, and has not picked up since an improvement in enplanement numbers began in 2010.

Total airport operating revenues for the period ending Oct. 31, 2011, were at 86.1% of the budgeted amount. This figure compares to 87.4% at the same period for 2010. Overall revenues reflect 72.4% of the budget as a whole against 64.9% from last year. On the expenses side, operating expenditures were 75.3% of the budgeted amount against 72.9% from a year ago. Overall expenses are 62.2% this year against 59.6% from last.

Notable overages on the expense side included $1,609 over budget due primarily to the replacement of a security fence to the southwest of the control tower. There was also an overage for rubber removal and crack sealing in the repair of facility pavements, an expense, Parker said, that would be reimbursed by the Air National Guard in 2012.

Finally, fuel costs continue to stay well above the budgeted amount following higher than expected rates for all of 2011.

The next regularly scheduled meeting of the Fort Smith Regional Airport Commission is tentatively set for Dec. 20, 2011.