1 2 3 4 KERRVILLE-KERR COUNTY JOINT AIRPORT BOARD 5 Regular Meeting 6 Wednesday, February 19, 2014 7 8:30 a.m. 8 Airport Terminal Conference Room 9 1877 Airport Loop Road 10 Kerrville, Texas 11 12 MEMBERS PRESENT: MEMBERS ABSENT: 13 Stephen King, President Ed Livermore Corey Walters, Vice-President 14 Bill Wood Kirk Griffin 15 16 AIRPORT BOARD STAFF PRESENT: Bruce McKenzie, Airport Manager 17 Carole Dungan, Executive Assistant 18 COUNTY STAFF PRESENT: 19 Tom Moser, Commissioner Pct. 2 Jeannie Hargis, Auditor 20 James Robles, Assistant Auditor 21 CITY STAFF PRESENT: 22 Sandra Yarbrough, Finance Director 23 VISITORS: 24 Jonas Titas, K.E.D.C. Shawna Fahrenthold, Alamo Community Colleges 25 Joey Kennedy, Kerrville Aviation 2 1 I N D E X February 19, 2014 2 PAGE 3 CALLED TO ORDER 4 1. VISITORS FORUM 3 5 2. KERRVILLE-KERR COUNTY JOINT AIRPORT BOARD MEMBER FORUM 3 6 3. CONSENT AGENDA 7 3A Approval of Dec. 16, 2013 and Jan. 9, 2014 Board Meeting Minutes 5 8 4. DISCUSSION AND POSSIBLE ACTION 9 4A Monthly Financials 5 10 4C Alamo Community College District 8 11 4B Review and approval of 2013 Independent Audit Report 25 12 4D On-call contract for airport consulting and 13 engineering 34 14 4E New T-hangar rental rates 43 15 4F Brinkman Hangar discussion, negotiation and possible execution of new lease agreement 16 (Executive Session as needed) 59 17 4G Mooney International lease agreement (Executive Session as needed) 59 18 4H Employee evaluations (Executive Session) 60 19 6. EXECUTIVE SESSION 61 20 5. INFORMATION AND DISCUSSION: 21 5A General Update 62 22 7. ADJOURNMENT 69 23 24 25 3 1 On Wednesday, February 19, 2014, at 8:30 a.m., a 2 regular meeting of the Kerrville-Kerr County Joint Airport 3 Board was held in the Airport Terminal Conference Room, Louis 4 Schreiner Field, Kerrville, Texas, and the following 5 proceedings were had in open session: 6 P R O C E E D I N G S 7 MR. KING: All right, I'll call the meeting to 8 order of the Kerrville/Kerr County Joint Airport Board, 9 February 19th, 2014. Visitors' forum. At this time, any 10 person with business not scheduled on the agenda may speak 11 with the Airport Board. No deliberation or action may be 12 taken on these items because the Open Meetings Act requires 13 an item be posted 72 hours before the meeting. Visitors are 14 asked to limit their presentations to three minutes. 15 Anybody? Item 2, Kerr County -- Kerrville/Kerr County Joint 16 Airport Board member forum. At this time, any member that 17 would like to speak before the public or the board on any 18 matters not scheduled on the agenda. No action will be taken 19 because the Open Meetings Act requires items be posted 72 20 hours before the meeting. If formal action is to be taken, 21 item will be placed on the agenda for a future meeting. 22 Anybody have anything? Nothing? We have a -- I guess I have 23 something for this. Jonas was telling me there's a meeting 24 tomorrow with Mooney, Dr. Chen, in the morning. At what 25 time? 4 1 MR. TITAS: 8:00. 2 MR. KING: 8 o'clock. Anybody want to go? Anybody 3 want to go? I don't think I'm going to be here. 4 MR. WOOD: Who's the meeting with? With the City? 5 County? 6 MR. TITAS: K.E.D.C., to talk about their 7 application for incentives and their business plan. 8 MR. WOOD: Oh. 9 MR. TITAS: But we would like to invite one or two 10 members of this board just to be in the loop. 11 MR. KING: Probably if I get back tonight, I'll be 12 there, but I'd like to get at least one person who says 13 they'll go. 14 MR. GRIFFIN: I'll get back with you. 15 MR. McKENZIE: I'm going to go. 16 MR. KING: Think about it. 17 MR. WALTERS: What time is it? 18 MR. TITAS: 8 o'clock at the Chamber conference 19 room. 20 MR. WALTERS: Tomorrow? 21 MR. TITAS: Yes. 22 MR. KING: How long will it last? Not long? 23 MR. TITAS: Maybe an hour. 24 MR. KING: An hour at most? He's going to be 25 there? We'll have you somebody; we'll figure something out. 5 1 MR. TITAS: Thank you. 2 MR. KING: Okay, consent agenda. All listed items 3 below within the consent agenda are considered routine by the 4 board and will be enacted in one motion. No separate 5 discussion of the items unless a board member or citizen 6 requests, in the event each item will be removed -- in which 7 event each item will be removed from the general order of 8 business and considered in its normal sequence. Approval the 9 minutes of the December 16, 2013, January 9th, and the 10 January 13th, 2014, board meeting minutes. Anybody have a 11 question on the minutes? 12 MR. GRIFFIN: No, they all look good. 13 MR. KING: Any discussion? Motion to approve? 14 MR. WALTERS: Motion to approve the minutes. 15 MR. KING: Mr. Walters makes a motion. 16 MR. WOOD: Second. 17 MR. KING: Mr. Wood seconds. Discussion? No 18 discussion being heard, all in favor? 19 (The motion carried by unanimous vote, 4-0.) 20 MR. KING: Four-zero. Mr. Livermore is not in 21 attendance today. Discussion and possible action. Monthly 22 financials. James? 23 MR. ROBLES: Good morning, everyone. 24 MR. McKENZIE: Morning. 25 MR. WOOD: Hi, James. 6 1 MR. ROBLES: We got December and January here. 2 We'll start off with December. Page 1, total cash and 3 receivables, 408,104.13. Payables at 100,695.41. Page 2, 4 total revenue and expenses in fund balance, 307,408.72. 5 Total liabilities and equity, 408,104.13. Page 3, monthly 6 revenue at the bottom, third column, 35,354.14. Page 4, 7 expenditures for the month in salaries, 20,726.90. Page 5, 8 this is expenditures for personnel, supplies, maintenance, 9 and professional services. The total will be on Page 6, 10 2,720.02. Page 7, total utilities, 600.51. Total 11 expenditures with salaries is 68,198.54, leaving a fund 12 balance of 34,310.91. Page 8, capital account balance sheet, 13 balance of 106,711.15. Page 9, no activity this month except 14 for interest, $1.22. Page 10, expenditures for the month, 15 1,455. Page 11, fund balance of 45,907.46. 16 MR. KING: Anybody have any questions on the 17 December financials? None being heard, let's move to the 18 January. 19 MR. ROBLES: All right. January, Page 1, balance 20 sheet. Total cash and receivables, 400,738.88. Payables at 21 95,047.50. Page 2, total revenue and expenses in fund 22 balance, 305,691.38. Total liabilities and equity, 23 400,738.88. Page 3, monthly revenue, 29,996.78. Page 4, 24 expenditures, 15,729.51. Page 4 -- or 5, excuse me. Again, 25 this is personnel, supplies, maintenance, and professional 7 1 services. Total for this month is 15,901.58; that's seen on 2 Page 6. Page 7, utilities, 3,289.17, leaving a fund balance 3 of 32,445.18. Page 8, balance sheet for the capital account, 4 balance of 105,886.73. Page 9, again, no activity for this 5 month other than the interest of 58 cents. Page 10, 6 expenditures, 825. And on Page 11, recap of expenditures, 7 fund balance of 45,083.04. 8 MR. KING: Anybody have any questions? No? Okay. 9 How are flowage fees? Are flowage fees right on track? 10 How's your gas sales, Joey? Pretty much running like last 11 year's? 12 MR. KENNEDY: Yes, they've been flat since -- 13 MR. KING: Pretty flat? 14 MR. KENNEDY: -- 2008. 15 MR. KING: Okay. Okay, no questions being heard, 16 all -- I need a motion to approve both of them. Did we 17 already vote on December? Motion to approve just the 18 January. 19 MS. BAILEY: You didn't vote for December. 20 MR. KING: I didn't do either one? 21 MR. GRIFFIN: We'll do them both at the same time. 22 COMMISSIONER MOSER: You need to ask for approval. 23 MR. KING: Approval of -- do you have one more to 24 do? 25 MR. WALTERS: No. 8 1 MR. KING: December 13th -- January 13th. 2 MR. GRIFFIN: That's January you just looked at. 3 MS. BAILEY: You're looking at minutes. This is 4 the financials. 5 MR. KING: Oh, that was the minutes. Okay, sorry. 6 It's early, okay? Motion to approve? 7 MR. GRIFFIN: I make a motion we approve the 8 budgets -- financial statements. 9 MR. KING: All right. 10 MR. GRIFFIN: As presented. 11 MR. WALTERS: Second. 12 MR. KING: Second by Mr. Walters. Discussion? All 13 in favor? 14 (The motion carried by unanimous vote, 4-0.) 15 MR. KING: Aye. Four-zero. Review of the 16 independent -- review and approval of the 2013 independent 17 audit report. 18 MS. HARGIS: Keith isn't here yet. 19 MR. KING: We'll pass on that and move back around. 20 Item 4C, Alamo Community College District. Shawna 21 Fahrenthold. 22 MS. FAHRENTHOLD: Yes. 23 MR. KING: How are you, Ms. Fahrenthold? 24 MS. FAHRENTHOLD: I'm great. How are you today? 25 MR. KING: Good. 9 1 MS. FAHRENTHOLD: My reason for asking to be on the 2 agenda today was to talk about an extension on the lease that 3 we currently have in the 1994 Airport Loop building, or 4 executing a new lease. We are up on July 31st of this year. 5 How quickly two years went by for me. I spent the first 6 probably six to eight months getting the building ready to do 7 training, went through a lot of renovations and updates and 8 upgrades. And recently the County figured up exactly how 9 much Alamo Colleges had spent to make the building 10 improvements, and we -- we spent $141,000 in improvements, 11 okay, on that 1994 Airport Loop building. We did A.D.A. 12 compliance -- compliant bathrooms. We did -- we sprayed fire 13 retardant on the structural members. We put tile in all of 14 the offices, bathrooms, class -- what we consider the 15 classroom, exhaust fans. We had to do new ceilings in the 16 offices after we sprayed the fire retardant. And I'm sure 17 there's several things that I'm leaving out that -- that were 18 improvements we made on the building prior to being able to 19 go in and provide welding training. 20 When we -- when we started this project, it was in 21 a -- in a grant with Fox Tank in order to provide training to 22 their employees. Once we got the building ready, we were 23 waiting for Fox Tank to get their API certification in order 24 to train individuals, and once they got their API, their 25 sales were so significant that they were hiring people who 10 1 were already trained, and really didn't hire a lot of people 2 that we could train to go to work there, and so we started 3 just trying to do public trainings, which is what we've done 4 to this point. Last summer, I did -- out of my budget -- out 5 of my Greater Kerrville Center budget, I paid for the 6 instructor who trained seven youth -- seven at-risk youth to 7 have a skill, and -- and out of those seven, we have three 8 that really, really excel and will be welders in this 9 community when they are, you know, out of school, because 10 they were -- they were 14 to 17 at that time. Right now 11 we're doing a welding training with Tivy High School 12 students, and that's a program that we hope to see continue 13 with them, giving them a skill so when they get out of high 14 school, that they can get into a job in the work force. 15 We did -- I asked the Community Journal if they 16 would be interested in doing an article about the training, 17 'cause we're doing also a C.N.A. training at the high school 18 for -- which has nothing to do with this building, but to do 19 an article about what we were doing with the high school to 20 help with House Bill 5, which is a new educational bill, and 21 they -- and they did. And the front page of the Community 22 Journal had one of my students welding. The very next day, I 23 had a local business call me and say, "I had no idea. I need 24 welders. Can I give you a flyer? Can you put this up? Can 25 you refer students to me for -- for job positions?" So, I 11 1 know that we need to do some more marketing to get some more 2 people in the building. 3 Since that article, we've also had numerous calls. 4 We're trying to get another adult public class going soon. 5 We have some people who work in the day who need it in the 6 evenings, so we're just trying to work around schedules to 7 make that happen. I see -- you know, I see it growing. I 8 went through the students that we -- that we have already had 9 go through the program, and we know that nine of them are 10 employed locally with -- with local businesses. And so -- 11 and, you know, some of these are youth, and so I have to 12 consider that. Some of them I have not followed up with. I 13 didn't -- didn't have data on them, and it may be that 14 they're employed here that I don't know. So -- but I -- you 15 know, the nine for sure I do know that are employed locally. 16 MR. WOOD: Is there -- does Fox Tank offer to do 17 anything with your graduates? 18 MS. FAHRENTHOLD: You know, there was a time that 19 they were coming over and observing our welders and seeing if 20 there was anyone that they -- that they wanted. But they 21 haven't as of recent done that, so -- 22 MR. WALTERS: What's the reason why? 23 MS. FAHRENTHOLD: You know, I don't know the answer 24 to that. We had an adult course in December, and they didn't 25 come over and observe those students, and now it's just been 12 1 youth. I'm sure that he's in need of welders. I haven't 2 talked to him recently. I'm sure that he would be willing to 3 accept welders if we can train them and get them to a level 4 that he feels comfortable with. What -- what we decided is, 5 you know, his welding is special. It's tank welding; it's 6 not traditional welding that -- that most people do in the 7 field, you know. And so it was specialized welding for him, 8 and so we've started just kind of trying to train the people 9 that are coming through in all welding aspects so that they 10 can get a job anywhere. 11 You know, we have -- we have -- I know for sure we 12 have one at Frontier Truck Gear, and we had another one that 13 was in our December class that he needed to pass one more 14 test for Frontier to be hired. 'Cause they do mig welding, 15 and we do have a mig welder there, and they do -- they do get 16 to that point. So, we've -- we've just started trying to do, 17 you know, horizontal, vertical, overhead. Then once they 18 master that, we get them into the mig welding. I have to say 19 that in this Tivy school class that we have out there, we 20 have two girls, and I'm so excited about that. And one -- 21 this one little girl has totally excelled. I mean, she is 22 going to be a welder of all welders. I mean, she is 23 fabulous, and I love that. I love to see girls getting in 24 that, and we had another woman in an adult class at one 25 point. 13 1 So, I'm just telling you all of that just to say, 2 you know, we would -- would love to extend the lease or -- or 3 execute a new lease, just to give us more opportunity to 4 train more people in this community to give this -- to give 5 jobs. I mean, it only helps -- it helps everybody, you know, 6 if they -- if we train them here and they work here. I know 7 that, you know, we probably lost a few to Eagle Ford Shale; 8 the money there is unbelievable. But most of those people 9 come back here on the weekends, or eventually come back here. 10 They go down there and they burn out, and they come back 11 here. And I think that Jonas maybe can say that about Fox 12 Tank, is that they've had people who have gone down there and 13 come back because they just -- it's the hustle and bustle and 14 being away from their families. So, they -- you know, they 15 do eventually -- I mean, if they go off and work, they do 16 come back here. When we did the grant two years ago, there 17 was a shortage of, like, 300,000 welders across the nation, 18 and so, you know, there's jobs out there, and there's jobs in 19 this local area for it. So -- 20 MR. KING: How many kids -- how many kids are 21 coming out in the Tivy program? 22 MS. FAHRENTHOLD: We had eight. 23 MR. KING: Eight. Is that an accredited course for 24 them? Are they going to get credit for them? 25 MS. FAHRENTHOLD: They get high school credit, and 14 1 we give them C.E. credit, yes. And when they -- when they 2 passed House Bill 5, it's -- you know, they used to do the 3 four by four by four, where they had to have, you know, four 4 English -- I mean English, history, or whatever the four 5 subjects were, every year from ninth grade to senior, and 6 then House Bill 5 kind of changed that in trying to push kids 7 more in the technical areas. 8 MR. KING: Sure. 9 MS. FAHRENTHOLD: And so what they have to do with 10 that is they have to get a certificate. 11 MR. KING: Mm-hmm. 12 MS. FAHRENTHOLD: And, you know, we don't certify 13 here in welding, but any of us in this room could go over to 14 San Antonio today and take the welding certification test. 15 I'm going to fail it miserably, 'cause I've only welded one 16 time, and that was, you know, 25 years ago when I was in 17 F.F.A. But -- but it's not a -- it's not -- welding's not 18 one of those courses that you have to take the course to take 19 the test. 20 MR. KING: Right. 21 MS. FAHRENTHOLD: But they have to have the skill. 22 It's just -- you know, but it's a skill that you learn there 23 to pass the test. I mean, you have to know what to turn your 24 machine on, what rod to use, what -- and it's so -- so 25 they're learning. I have a fantastic instructor; he worked 15 1 for B.P. for 40 years and left there to audit the College of 2 the Mainland in Houston for a couple of years before moving 3 to Kerrville. And he's -- he's -- he's teaching these kids 4 -- I mean, and everybody works at their own pace in the 5 lineup. We have 10 welders, and he -- he put a pedometer 6 thing on him one day in that building. He walked 2 miles 7 back and forth, because he goes from cubicle to cubicle, 8 welding station to welding station, to help each person in 9 there, and he -- and it keeps them on their skill. 10 MR. KING: Is that Tivy course, is that a semester 11 course? 12 MS. FAHRENTHOLD: Yes. We're doing it in the 13 spring, and it's something that -- it was kind of something 14 that we kind of did last minute, and so we have to adjust the 15 schedule. Right now, they're there from 2:00 to 4:00, which 16 really doesn't work for me very easily, because if I'm going 17 to teach an adult course in the daytime, it's right in the 18 middle of the day, so we're going to work with getting that 19 maybe in the morning. 20 MR. KING: Mm-hmm. 21 MS. FAHRENTHOLD: And then if they're done at, say, 22 10:00, then I could do a 10:00 to 5:00 or 10:00 to 6:00 class 23 with other people. So -- so, it was just kind of last 24 minute, and it kind of has put us in a position where I 25 haven't been able to do a daytime class since January, and 16 1 they will end the end of March, because of the time frame. 2 MR. KING: Is that the only trade course y'all 3 offer at Alamo Community? 4 MS. FAHRENTHOLD: We do the welding, and we have 5 certified nurse's aide. And those seem to be the -- 6 MR. KING: Have y'all thought about auto mechanics? 7 MS. FAHRENTHOLD: We have. And I have talked to 8 people about auto mechanics, and the equipment is rather 9 expensive. 10 MR. KING: Yeah. 11 MS. FAHRENTHOLD: And, you know, I spent -- I 12 didn't even buy pencils and pens at the end of last year, 13 'cause I spent my budget getting the building where we could 14 do welding. I am not against doing automotive. 15 MR. KING: Mm-hmm. 16 MS. FAHRENTHOLD: I mean, I will budget for it if I 17 need to. 18 MR. KING: Sure. 19 MS. FAHRENTHOLD: It's just having the need. We -- 20 another program that we are in discussions with is culinary 21 arts and hotel -- hotel/motel management, front end, back 22 end. You know, there's talk of a convention center or 23 conference center coming and needing qualified people to work 24 in those areas, so we're -- we're doing the technicals as we 25 can. I mean, I have to, of course, be able to make a class. 17 1 I mean, I have to have enough people to -- can't do one and 2 two. So, I wish I could, but -- 3 MR. WOOD: How much of the improvements was due to 4 the city inspectors coming to look at the building? 5 MS. FAHRENTHOLD: All of it, pretty much. 6 (Laughter.) 7 MS. FAHRENTHOLD: I mean, we knew about the 8 bathrooms, obviously. 9 MR. WOOD: Right. 10 MS. FAHRENTHOLD: We knew the bathrooms, obviously. 11 And the reason that, really, that this lease came up to me 12 this month and I contacted Bruce was -- is there's still some 13 A.D.A. compliance issues that I'm going to have to correct 14 really soon, because the -- the A.D.A. people came out and 15 did an evaluation, and there's some things that I have to 16 fix. And it's going to cost a little more money, and I'm 17 just, you know -- 18 MR. WOOD: Okay. 19 MS. FAHRENTHOLD: -- kind being as frugal as I can 20 with my budget money, 'cause I don't get a whole lot. I 21 mean, y'all understand that, I'm sure. I just want to make 22 sure that I'm going -- it's going to be of benefit to me for 23 me to use the money on making the improvements. 24 MR. WOOD: Okay. Do you have a business card? 25 MS. FAHRENTHOLD: In my purse, I do. 18 1 MR. WOOD: Before you leave, I want to get a 2 business card from you. 3 MS. FAHRENTHOLD: Okay. Anybody that y'all know 4 that wants to do welding, have them call me. We've got to 5 get the word out more. I'm going to do some more 6 advertising, and see what we can... That one article in the 7 paper -- and we've had other articles, but for some reason, 8 this article a few weeks ago triggered, you know, probably 15 9 to 20 phone calls. 10 MR. KING: How long is an adult course? 11 MS. FAHRENTHOLD: We do 80 hours. 12 COMMISSIONER MOSER: 80? 13 MS. FAHRENTHOLD: We do 80 hours. And they spend 14 about three to four hours doing safety; safety glasses, you 15 know, the welding helmet, safety gear. And then after that, 16 the rest of those hours are all hands-on; you're welding. I 17 can't tell you how many pounds of welding rods and how much 18 metal that we have -- you know, the more they burn through, 19 the better for me, I mean, because they're learning. They're 20 learning that skill. 21 MR. KING: How much is the course? 22 MS. FAHRENTHOLD: $620 for 80 hours. That's -- and 23 that's relatively inexpensive. And there is -- you know, for 24 students who need it, we can -- if we're six weeks out, we 25 can -- if they're qualified, we can get them financial aid to 19 1 pay for it, and we have had people use that. 2 MR. KING: Is that covered under some of the 3 scholarships that we have here? 4 MS. FAHRENTHOLD: It's not under a scholarship. 5 It's not federal Pell money; it's a Texas Pell grant that 6 will pay for C.E. 7 MR. KING: Okay. 8 MS. FAHRENTHOLD: So there is some funding through 9 -- through our school. Now, I would love to see some type of 10 scholarship set up for C.E. students, because that's not very 11 typical. 12 MR. KING: Mm-hmm. 13 MS. FAHRENTHOLD: Most of the people, when you see 14 a scholarship, it's -- it's for academic courses, and we do 15 have that with the Neil and Elaine Griffin -- 16 MR. KING: That's what I was thinking. That 17 scholarship is not extending to that? 18 MS. FAHRENTHOLD: It is not for C.E.; it is for 19 academic people who are going to get an Associate's degree or 20 a Bachelor's degree. 21 MR. KING: Have y'all visited with him about that? 22 MS. FAHRENTHOLD: I have not personally visited 23 with him, but I talked with Ellen Williams, and we read over 24 the documents -- the contract, and it is for all academic. 25 But I would love to see it move where we could help some C.E. 20 1 students, because there are some people who are just in that 2 catch where they make just enough that they don't qualify to 3 get assistance, but they really don't make enough to come -- 4 to come up with $620 in a couple weeks to pay for a course. 5 MR. KING: Sure, okay. 6 MS. FAHRENTHOLD: So I'm just asking you guys to 7 consider, you know, an extension on the lease. 8 MR. KING: Okay. 9 MS. FAHRENTHOLD: Or to execute a new lease. And I 10 know that there are other people I have to visit with, 11 including -- you know, come here first, and then talk to the 12 City and the County as well. 13 MR. KING: We appreciate what y'all did for our 14 building. We have another building over here, if you'd like. 15 (Laughter.) 16 MS. FAHRENTHOLD: No, thank you. I -- I took on a 17 lot of that burden myself -- 18 MR. KING: We're thinking about moving y'all down 19 to another one. 20 MS. FAHRENTHOLD: I took -- 21 MR. KING: That's the good news and the bad news. 22 We'll give you a new lease, but you're moving. 23 MS. FAHRENTHOLD: Oh. I took on that being a 24 contractor thing. For me, I'm a woman who -- I've built a 25 couple of houses in the last five years, but my husband did 21 1 the majority of it. I just kind of picked colors and that. 2 And it was -- it was a real challenge for me. There were 3 really a lot of days that I was at my breaking point; I was 4 really frustrated and upset. And, you know, you go in and 5 you get all these things done, and then somebody comes 6 walking in and says, "Oh, well, you didn't do -- you don't 7 have illuminated exit signs." 8 COMMISSIONER MOSER: Look what you learned. 9 MS. FAHRENTHOLD: I did. I learned a whole lot, 10 and everybody was like, "It's a resume builder." I was like, 11 "No." 12 MR. KING: Well, thank you very much for that. 13 MS. FAHRENTHOLD: Thank you. 14 MR. KING: What's on the agenda? Do you have a 15 proposal, or what are we going to do on this? 16 MR. McKENZIE: It's just -- Shawna wanted to be on 17 the agenda. 18 MR. KING: When does the lease expire? 19 MR. McKENZIE: July 31st. 20 MR. KING: July? 21 MR. McKENZIE: You've got a little bit of time. 22 MR. KING: Probably put it back on the agenda, see 23 if we can't work it out. We appreciate what y'all have done. 24 MS. FAHRENTHOLD: Thank you. 25 MR. KING: I think y'all have done a good job. I 22 1 think the publicity -- we need to get it out to the public 2 more. 3 MS. FAHRENTHOLD: I agree. 4 MR. KING: I think there's a lot more people that 5 probably would take the course; they just don't know about 6 the course. 7 MS. FAHRENTHOLD: And last year, like I said, I 8 spent my entire budget to get the building where we could use 9 it, and now I have funding where I can do more advertisement, 10 and that's my plan. 11 MR. KING: Yeah. 12 MS. FAHRENTHOLD: Is to market it more. 13 MR. KING: I think the -- I think the timing with 14 Fox Tank was a little bit -- little bit messed up. They were 15 so busy getting in gear that they just -- 16 MR. WOOD: Didn't have time to train. 17 MR. KING: I think they went right by y'all. 18 MR. TITAS: They're ramping back up. They were 19 pretty steady last year as far as employees, but they're up 20 now. 21 MR. KING: I would hope that they -- you know, it 22 would be nice -- I mean, I know, Jonas, you talk to those 23 guys all the time. It'd be nice if they had a -- some sort 24 of apprenticeship program over there a little bit. You know, 25 I mean, it's -- 23 1 MR. TITAS: Trying our best. 2 MR. KING: I know. I know. I mean, it really -- 3 MS. FAHRENTHOLD: We understand he got busy. 4 MR. KING: They do have a business over there that, 5 you know, we appreciate and everything, but it does do a lot 6 for the community if we had a -- I think take that into 7 consideration, you know, that -- 8 MR. WALTERS: We had a need for their -- for their 9 labor. 10 MR. KING: Yeah. 11 MR. WALTERS: I think that's what you're providing. 12 MR. TITAS: New production line is about to be -- 13 their new building is about to have their evaluation for 14 their certificate of occupancy for the new separator 15 facility. Should be in the next couple of days. 16 MR. KING: Right. 17 MR. TITAS: And he's losing employees across the 18 street too, so he's going to have to fill some spots. 19 MR. KING: Well, you know, -- 20 MR. WOOD: Don't forget my business card. 21 MR. KING: -- I think that the -- I don't know. 22 Are there any grants available for him to -- I know, my 23 brother-in-law down in Uvalde had a sheet metal -- a long 24 time ago had a need for sheet metal mechanics in his 25 operation, and through the college, they formed a sheet metal 24 1 class that went on for probably 10 years. And they paid 2 for -- somehow, the government or the state or somebody paid 3 for some of that training over there in sheet metal if he 4 would hire -- 5 MR. TITAS: Well, he's got a grant right now. 6 MR. KING: If he would hire local people, there was 7 some sort of a break or something that he got. He could hire 8 them at a -- a reduced rate or something; someone else paid 9 for that. I don't know. I just -- it seems like -- 10 MR. TITAS: Skills Development Fund Grant through 11 the state. 12 MR. KING: Has he used any of that? 13 MR. TITAS: It's -- a lot of that money was -- I 14 think Shawna can also speak to this, but to help set up some 15 of the facility, and -- 16 MR. KING: Really? 17 MR. TITAS: -- some of the equipment. 18 MR. KING: Yeah. 19 MS. FAHRENTHOLD: Well, there was funding for -- to 20 buy equipment, and we bought a lot of equipment through the 21 grant to put in the building, the welders and stuff. 22 MR. KING: Right. 23 MS. FAHRENTHOLD: But there was still a significant 24 amount to pay for training. 25 MR. KING: Training, yeah. Just seems -- I don't 25 1 know. We have a lot of people working across the street. It 2 seems that we could get in some sort of relationship a little 3 bit better with them as far as hiring our locals here, okay. 4 And welders are nomadic, and -- 5 MR. WOOD: They go where the work is. 6 MR. KING: They go where the work is, and there's a 7 lot of work. I mean -- okay. We'll get something to you, I 8 promise you. 9 MS. FAHRENTHOLD: Thank you. 10 MR. KING: All right, thanks. I'd like to go back 11 to the audit, okay. Item 4B, we'll address that. Keith? 12 MR. NEFFENDORF: All right. Well, if I missed my 13 spot, I can go to the end; I don't care, I'll wait till the 14 end. How are you doing? You doing all right? 15 MR. KING: We're doing good. 16 MR. GRIFFIN: Good to see you. 17 MR. KING: Good to see you again. 18 MR. NEFFENDORF: Actually, Jeannie could give it; 19 she does the records. All right. Well, once again, the 20 airport audit is done in accordance with the GASB auditing 21 standards, and the format is basically the same as you see in 22 the prior years. Last year, of course, the last fiscal year, 23 the year ended 2013 was a little bit slower as far as the 24 standpoint of capital grants and improvements, and sometimes 25 that's kind of nice. 26 1 MR. WOOD: Going to make up for it in 2014. 2 MR. NEFFENDORF: I understand. But, anyway, the -- 3 of course, as y'all well know, GASB requires us to do two 4 sets of financial statements, one set on the governmental 5 basis, and that's the set that Jeannie keeps the records on 6 and y'all see for budgeting purposes. And the second set is 7 a GASB 34 statement, where we take the financial statements 8 on the governmental basis, do our conversions to get to a 9 business type model, where we show all our capital assets, 10 depreciation, and come up with profit/losses just like a 11 business would. And then finally, there's a reconciliation, 12 but the auditor gets the joy of reconciling these two 13 statements. Jeannie just keeps the records on the 14 governmental basis. And I'll go through here and hit the 15 high points. If you have any questions at any time, stop and 16 ask me, or later if you have some questions, give us a call. 17 After the index on Page 1, of course, is the 18 Independent Auditor's Report. This is the culmination of the 19 audit process. It just states we have audited the financial 20 statements of the Kerrville/Kerr County Joint Airport Board 21 as of and for the year ended September 30, 2013. On the next 22 page, the opinion: In our opinion, the financial statements 23 referred to above present fairly the respective financial 24 position of the Kerrville/Kerr County Joint Airport Board and 25 the respective changes in financial position for the year 27 1 then ended, the standard auditor's clean opinion letter. And 2 don't ask me why, but the A.I.C.P.A., in its wisdom, decided 3 to change this audit opinion letter format, as now you can 4 see it's expanded to two pages. And basically, it tells you 5 the same thing I just told you in two paragraphs, but we have 6 to, you know, do two pages to explain it. 7 After that starts the Management's Discussion and 8 Analysis, Pages 3 through 8 -- or 7. That's just -- and it's 9 labeled "unaudited." It's a requirement of GASB 34, just 10 gives condensed financial statements and a narrative summary 11 of the financial position of the airport. And the readers 12 have told me that they get more out of those four pages than 13 they do the remaining 20, but I'll go through and do my own 14 highlights. Starting on Page 7, the first statement we give 15 an opinion on, this is the statement and that position; be 16 the equivalent of a balance sheet for the airport as a whole. 17 You can see that the assets -- of course, the bulk of the 18 assets are all in capital assets. This is your costs minus 19 your accumulated depreciation. So, the assets were 20 16,529,000. The liabilities, normal accounts payable and a 21 few other payables, 127,000, so your net position or retained 22 earnings or stockholders' equity is a healthy 16,402,217. 23 Thank God for capital grants from TexDOT. Let them keep 24 coming. (Laughter.) 25 MR. McKENZIE: Yes, sir. 28 1 MR. NEFFENDORF: It's amazing the amount of assets 2 you've built up without no debt. That's a good thing. Pages 3 8 and 9 is the statement of activities. This is the 4 equivalent of an income statement. It's in a format required 5 by GASB 34, so it doesn't flow like a regular income 6 statement would, but it still comes up with the same bottom 7 line. The total expenses for the airport -- and remember, 8 this is on the GASB 34, so it includes depreciation -- last 9 year was 787,575. Subtract off your charges for services; 10 this is all your rentals, your fuel flow fees, $224,125. 11 Your operating grants; these are the contributions from the 12 City and the County, 180,802. Come up with a net loss of 13 382,648. And then, of course, you earned a little bit of 14 interest, and after the capital grants, your net loss for the 15 year was 183,556. So, it still reduced your net assets or 16 net position to 16,402,217. And under GASB 34, the scenario 17 y'all are in, we're taking about $400,000 a year in 18 depreciation expense. You're going to have -- for GASB 34, 19 you're normally going to have a loss. That's just the nature 20 of the beast, because we've got all those assets from the -- 21 MR. WOOD: Yeah, with all those capital assets. 22 MR. NEFFENDORF: Uh-huh. So, we'll take the GASB 23 34 loss. Page 10 is the balance sheet for the 24 governmental -- on the governmental basis. That just shows 25 the general fund; of course, that's just your -- the 29 1 operating fund and the capital projects, the two funds that 2 the airport has, and it just shows the assets on the 3 governmental basis, we're 449,848. The liabilities are 4 42,743, so you still had a healthy fund balance of 407,105. 5 Take that fund balance, the 407,105, on the next page; this 6 is how we reconcile governmental to GASB. We had a prior 7 period adjustment where we had left off a vehicle off the 8 depreciation schedule, so that's the net bulk value of that 9 to add to the assets of the airport. 10 And then the other big item, of course, is your 11 capital assets. The next item, the original cost 18 million, 12 and then you subtract off the accumulated depreciation of 25 13 -- 2,537,000, so you get 16,276,685 increase. Current year 14 capital outlays, 202,146. Subtract your depreciation 15 expense, 416,559, and then the Airport Manager's severance 16 package, -- the payables for that are 84,260 -- come up with 17 a net position on the GASB 34 of 16,402,217. So, you can see 18 the basic reconciliation items are your capital assets and 19 depreciation to get from governmental to GASB. 20 Page 12, the governmental statements for revenues, 21 expenditures, changes in funds. The general fund with 22 revenues of 438,000, the expenditures of 371,000, had a net 23 change, positive, of 67,021. Capital projects, you had a few 24 grants, and then contributions from the City and County for 25 the RAMP grants. 165,706, revenues; 165,090 in capital 30 1 outlay expenditures, so a net change of $616. So, combined, 2 the two funds for the airport had a net change, positive, of 3 67,637. So, you take that to the next page, 13. This is, 4 again, how we rereconcile governmental to GASB. Add back the 5 current year capital outlays, 202,146; subtract your 6 depreciation, 416,559, and the increase in the payables to 7 the -- for the Airport Manager's severance pay, since he got 8 into another bracket, is 36,780. So, the net change under 9 GASB 34, a net loss of 183,556. 10 Page 14 starts the notes of the financial 11 statement. These are additional disclosures required by 12 generally accepted accounting principles. The first part of 13 the notes just give the basic explanation of -- that the 14 airport is a separate reporting entity, and then it goes on 15 to explain about the use of governmental and conversion to 16 GASB 34 statements, which I've already done. Basically, the 17 notes we just need to cover start over on Page 17. The 18 board, of course, pools the investments -- cash and 19 investments through the County Treasurer's office, and has to 20 comply with the Public Funds Investment Act. And this note 21 just basically says that the -- the investments through the 22 County are in compliance with the Public Funds Investment 23 Act. 24 The next page, on Page 18, at the bottom of the 25 page shows the capital asset activity last year with the 31 1 improvements, and then also the related depreciation, and 2 that just shows the changes for the year. And at the top of 3 the page, just gives -- Page 19 just shows depreciation 4 expense for the year, 416,559. And Note C on Page 19, 5 retirement, of course, the employees are members of the -- 6 through the County, and members of the T.C.D.R.S., and that 7 just gives, at the bottom of the page, last year the 8 airport's portion of that expense for its employees was 9 $15,768. And likewise under the next note, the risk 10 management, the board provides for its employees through Kerr 11 County the medical and life insurance benefits. Then Note E 12 just shows the one project that was finalized this year was 13 the updating the master plan. 14 And then the final statement that we need to go 15 over on Page 21 is the budget-to-actual for the general fund; 16 it shows compliance with the budget. Last year, the revenues 17 for the airport were budgeted at 397,000. You actually 18 collected 438,000, so you had a positive variance of 40,608. 19 On the expenditure side, you budgeted 442,705; you actually 20 spent only 371,292. You had a positive variance of 71,413. 21 So, as you can see, combined you had planned to use up 22 $45,000 of your fund balance, but you had a net change 23 positive of 67,021. So, overall, you had a favorable 24 variance of 112,000. Excellent. You used a good German 25 philosophy: budget the revenues low and your expenditures 32 1 high, and you usually come out pretty good. 2 The two other letters in the back are also 3 requirements of the government auditing standards. We have 4 to disclose to y'all, as a board of directors, these items 5 listed here. The first item is on internal control over 6 financial reporting. In addition to our tests and audits of 7 the regular financial statements, mostly we have to test for 8 compliance with internal control used over financial 9 reporting, and we found no major weaknesses. The next page 10 shows the compliance. We had to also, in addition, test for 11 compliance with laws, regulations, contracts, and grants, and 12 we found no incidences of noncompliance. 13 The final letter is a requirement of the 14 governmental auditing standards where we, as independent 15 auditors, have to provide to you these items as listed in 16 this letter. Significant audit findings, there were none. 17 There were no difficulties encountered in performing the 18 audit, no corrected or uncorrected misstatements, no 19 disagreements with management, and no other audit findings or 20 major issues. And basically, again, a good audit. We 21 appreciate the cooperation of Jeannie and the Auditor's 22 office, and also Bruce and Carole. They always help us and 23 get us the documents that we need. And like I say, it's 24 another good audit, and -- 25 MR. WOOD: This is the second audit I've seen this 33 1 week. The other one was at the church, and I want to tell 2 you, Jeannie, you do a good job. 3 MR. NEFFENDORF: Right. 4 MR. McKENZIE: Yes. 5 MR. WOOD: Our statements were a little bit longer. 6 They found things, but they're also correcting on this year. 7 MR. NEFFENDORF: Sure. 8 MR. WOOD: It was a good thing. 9 MR. NEFFENDORF: That's always good. 10 MR. WOOD: Yeah. 11 MR. NEFFENDORF: Well, like I say, the airport have 12 done -- you've done an excellent job of getting the grants 13 and doing the improvements and having no debt. That's always 14 a good -- it's great. 15 MR. KING: All right. We need a motion to approve? 16 MR. McKENZIE: Yes, sir. 17 MR. WOOD: I'll make a motion we approve the 18 auditor's statement. 19 MR. KING: Mr. Wood makes a motion. Second? 20 MR. WALTERS: Second. 21 MR. KING: Seconded by Mr. Walters. Any 22 discussion? All in favor? 23 (The motion carried by unanimous vote, 4-0.) 24 MR. KING: Four-zero. Thank you very much, Keith. 25 MR. NEFFENDORF: All right, thank you. 34 1 MR. KING: Appreciate it. 2 MR. WALTERS: Thank you. 3 MR. McKENZIE: Good to see you again. 4 MR. KING: Thanks for your help. 5 MR. WOOD: Thank you very much. 6 MR. KING: Okay. Item 4D, on-call contract for 7 airport consulting and engineering. 8 MR. McKENZIE: Thank you, Jeannie. 9 MR. KING: Thanks, Jeannie. Appreciate it. 10 MR. NEFFENDORF: See y'all later. 11 MR. KING: Item 4D. 12 MR. McKENZIE: Yes, Steve. Thank you. From time 13 to time, I need to visit with engineers and consultants -- 14 aviation engineers and consultants about various and sundry 15 things that we're trying to do, and improvements on the 16 airport. For example, this year through our RAMP grant, I 17 want to put directional signs on all four of the taxi lanes 18 that come off of Taxiway Echo onto our apron, 'cause it gets 19 very confusing during the day when it's busy. And you tell 20 them to take the first, second, or third exit, and it's 21 confusing to a new pilot. I'm just citing some examples. I 22 need to talk to these folks. And I'm using Garver, for 23 example, because that's who we use to get information. And 24 for this project, I'm going to need a sealed set of plans 25 before I put any obstructions out there on anything, so we -- 35 1 that keeps us out of trouble. And this is not unlike 2 anything any other airport director wouldn't do, is to have a 3 relationship with a consultant firm, and Garver's who we use. 4 They're all good, but I like to use Garver; they did our 5 master plan, as you well know. And what I'm asking for is 6 for permission to just get an on-call contract. We can stop 7 at any time we want to; they can stop at any time they want 8 to. It's not an unusual case to have an on-call contract. 9 They do it at Addison, El Paso; they've got several of them. 10 All the consulting firms do this. So, I can get some help 11 with, for example, this little project that I want to do just 12 with this signage situation. We can -- you can approve it 13 for one year if you so desire, or we can leave it open-ended 14 and we can stop at any time we want to. Whatever the board's 15 desire is, but I'm requesting that I can have permission to 16 get this contract under way so I can talk to these folks. 17 I've got some things I want to move on with, and this is 18 grant -- this is RAMP-grant approved. This is approved by 19 TexDOT. This is a RAMP grant-funded project. 20 MR. KING: What are they going to charge us? 21 MR. McKENZIE: The sheet's right there, Steve. 22 MR. KING: I mean -- 23 MR. McKENZIE: Usual rates for the engineers, 24 architects, planners, designers, everything is right there. 25 MR. WALTERS: I -- 36 1 MR. McKENZIE: And they charge us by the hour or 2 whatever I ask them to do. For example, this will probably 3 cost, I don't know, $2,000, $3,000 to get me a little set of 4 plans, and sealed so I can put these signs up out here, for 5 -- for an example. Because I call -- you know, when I call 6 up there and talk to them, they've -- to be honest with you, 7 I've just about worn out my welcome with them. It's like, 8 "Why don't you just sign a contract with us?" And that's 9 what they're all going to say. 10 MR. KING: We have to use them? 11 MR. McKENZIE: No, we don't. If I don't call them, 12 we don't. 13 MR. KING: No, I'm just -- it looks like another 14 nickel-and-dime they're going to hit us with. Any time you 15 give anybody an open -- an open-ended deal, I mean, it looks 16 like to me this is just another -- 17 MR. McKENZIE: It's not open-ended; it's just 18 whenever I -- 19 MR. KING: It's not open-ended, but once -- I'll 20 just get -- 21 MR. WALTERS: I wouldn't think it's any different 22 than the relationship that we have with Ilse. 23 MR. KING: That's probably true. 24 MR. McKENZIE: If I need them, I call them. 25 MR. GRIFFIN: That's what I was going to say. 37 1 COMMISSIONER MOSER: It's an enabling thing. 2 MR. WOOD: You charge more than a nickel and dime, 3 I hope. 4 MR. WALTERS: I mean, my -- my first comment, I was 5 curious about these rates, and in terms of is there somebody 6 else, or are there a couple other people that you have 7 relationships with that maybe -- maybe we could see what 8 their rates are? Just so we can -- 9 MR. KING: Right. 10 MR. WALTERS: -- see, you know. 11 MR. McKENZIE: Sure. 12 MR. KING: I agree with that, to see how they 13 compare. 14 MR. McKENZIE: I can do that, absolutely. 15 MR. WOOD: And the other question I have is, is it 16 like every time they answer the phone, you're talking to 17 them, does the meter start? 18 MR. WALTERS: Yes. 19 MR. McKENZIE: No. No. 20 MR. KING: I feel like I don't want to turn this 21 into our attorney -- 22 MR. WOOD: I quit calling my lawyer one time 23 because of that. 24 MR. KING: There's $300, Bruce. 25 MR. McKENZIE: No. I -- y'all -- I'm not going to 38 1 do that. 2 MR. KING: No, I'm not worried about you, 'cause 3 you're not billing. 4 MR. McKENZIE: I'm not going to let -- try not to 5 let them do that as well. 6 MR. KING: I've been on the other end of this. 7 That's my biggest concern, is that -- that -- I don't know; 8 I just get nervous. 9 MR. WALTERS: And in my experience, too, I have 10 things such as that with engineers, and, you know, I do find 11 that, you know, I have to have a discussion with them, an 12 understanding with them up front, because a lot of times, you 13 know, I get their bill and I go, "Wait a minute," you know. 14 "There was a lot more to this than our conversation." Or -- 15 MR. KING: Yeah. 16 MR. WALTERS: You know, and I find that I -- I have 17 to call them and, you know, kind of, you know, spend a lot of 18 time going over the bills that I feel like I'm -- 19 MR. KING: Right. 20 MR. WALTERS: -- you know, overly billed. 21 MR. WOOD: How would these charges show up if we 22 already have a budget, and is there an item this could fall 23 under? 24 MR. McKENZIE: No, sir, it will be under the RAMP 25 grant. The RAMP grant's already been approved. It would 39 1 come under the RAMP grant funds. 2 MR. KING: Right. That RAMP grant money is -- you 3 know, we're just taking from other things. I -- I understand 4 they pay for it. I'm kind of like Corey; I'd like to get 5 some competitive -- I'd like to get a little bit of 6 competition here. 7 MR. McKENZIE: Sure. 8 MR. KING: Find out what the rate is. I'm not 9 worried about what they're billing you when you're talking to 10 them; I'm worried about what they're billing you when you're 11 not talking to them, after you hang the phone up and they -- 12 like Corey said, they go do some work. You know, they -- 13 "Bruce obviously wants us to do something on this, so let's 14 get him something together for $1,000 and send it to him," 15 you know. 16 MR. WALTERS: And -- 17 MR. KING: I'm not -- nothing against Garver or 18 anything. I just I want to be sure that we are -- 19 MR. WALTERS: And that may be also something that 20 you may be doing until you get a comfort level of this 21 process too, of when you have these conversations with them 22 by going, you know, "This is what I'm looking for," you know, 23 "What's -- give me a ballpark figure so I can, you know" -- 24 MR. McKENZIE: Sure. 25 MR. KING: Yeah, an estimate. 40 1 MR. WALTERS: An estimate, so that you're not 2 surprised as well. 3 MR. McKENZIE: That's good. Well, I wanted to 4 bring it out so we'd all know what we're -- where I'm going 5 with this. 6 MR. KING: I have no problem. I don't have a 7 problem with the process. I just would like to have -- 8 MR. McKENZIE: That -- no, sir, we can do that. 9 MR. KING: I'd like to know. I consider these 10 guys -- engineers and lawyers, I put them in the same -- 11 both, you know, they're billing for -- they're billing by the 12 minute, and, you know, I'd just like to have some sort of 13 control over this so we're not -- you know, they're not 14 trying to recoup what they gave us for free for the last 15 couple years. 16 COMMISSIONER MOSER: One way to do that is just lay 17 out the scope, "Here's what it is." Kind of looks like a 18 purchase order. You got the authority to do it. 19 MR. KING: Yeah. 20 COMMISSIONER MOSER: Purchase order, and then a 21 not-to-exceed. 22 MR. KING: Exactly, so there's no surprise. 23 There's nothing worse than getting -- talking to somebody 24 about something and getting an invoice in the mail, and 25 it's -- and you're thinking 400, and it's 1,300. And now you 41 1 got to spend your time going back to them, debating why you 2 got charged $1,400 for it -- or $1,300 for it. 3 MR. WOOD: So, I guess what we're saying is an 4 on-call contract is okay if there's some control. 5 MR. KING: Yeah. 6 MR. WOOD: Where each instance is kind of treated 7 like a mini project. 8 MR. KING: You know, there's quite a few engineers 9 out there, quite a few companies out there. Why don't we 10 get -- let's get a -- 11 MR. WALTERS: Somebody that you feel comfortable 12 with, that you've worked with. 13 MR. McKENZIE: I know several of them. 14 MR. KING: Just get a -- find out what the 15 difference is. 16 MR. McKENZIE: I'll get two more; then we'll have 17 three. 18 MR. KING: Say, you know, "We're thinking about 19 doing an on-call contract; we're asking for some proposals 20 from you, as we are other people," so that they know they're 21 not the only one we called. And then see if they have some 22 sort of, you know -- 23 MR. McKENZIE: Sure. 24 MR. KING: I think it'd be better if we just had 25 something on paper when we -- when we do one of those 42 1 projects. 2 MR. WALTERS: It talks about these rates. What are 3 these rates? Are these -- I mean, are these rates per 4 minute? Per hour? Per 15 minutes? 5 MR. McKENZIE: It's per hour. It's per hour. 6 MR. WALTERS: Okay. 7 MR. KING: Don't do any of that M-1; that's $322 an 8 hour. 9 MR. McKENZIE: Oh. 10 MR. WOOD: Whoever that guy is, don't use him. 11 MR. KING: Don't talk to him; put him on your 12 blocked list. (Laughter.) 13 MR. McKENZIE: We can do that. 14 MR. KING: If he calls you, just block that call. 15 MR. WOOD: I'll tell you what that M-1 is; that's 16 Moser. (Laughter.) 17 MR. KING: I don't know. 18 MR. McKENZIE: Okay, I'll get some more before the 19 next meeting, sure. 20 MR. KING: Okay. That's -- I don't have a problem 21 with it; just like to have some sort of control over it. 22 MR. McKENZIE: Okay. 23 MR. KING: If not, we won't have any -- they'll be 24 coming up with projects to spend on the RAMP grant; we won't 25 have any RAMP grant money left. They'll eat up the RAMP 43 1 grant. Okay, Item -- Item 4E, new T-hangar rental rates. 2 MR. McKENZIE: Excuse me. Okay. 3 MR. KING: Give us your words of wisdom on this. 4 MR. McKENZIE: You have this copy. Do y'all have 5 one? 6 COMMISSIONER MOSER: Maybe it's in here. Yeah, 7 I've got it. Thank you. Got it. 8 MR. McKENZIE: On the left, you see the square 9 footage -- approximate square footage of each hangar. As 10 y'all know, we have 12 hangars. 11 MR. KING: Mm-hmm. 12 MR. McKENZIE: And four are one size, four are a 13 bit larger, and four are the largest. 14 MR. KING: Mm-hmm. 15 MR. McKENZIE: Three sizes of hangars. That's the 16 approximate square footage. This is for conversation, but 17 I'm going to recommend that we start here, is $300 for the 18 smallest hangars. That's the size that we have now -- that 19 we're in now. And you can see, it's self-explanatory, the 20 medium and then the larger hangars. That's the number -- 21 income it will produce. That's the total annual income that 22 you see. Along with our current T-hangars, if we leave them 23 at 250, that's $48,000 a year. Coupled with the one above is 24 for a sum of $94,800. And you can see that our contribution 25 is 81,000, and we can recoup our costs on these in less than 44 1 two years. So, back to what Keith said a while ago. And we 2 went through all this last year, and Tom was in on it. I 3 mean, we can recoup our money rapidly if we use these rates. 4 I checked yesterday, and Fredericksburg's at 270; Boerne's at 5 340, so if you split that, that's $310. So, we're still well 6 within the parameters at 300. These are bifold doors, fully 7 insulated hangars, and they have skylights in them as well. 8 There is no -- I mean, it's a first-class hangar. 9 MR. WOOD: Let me ask a question. 10 MR. McKENZIE: I'm not trying to sell it, just 11 telling you the points. 12 MR. WOOD: You've got a list of people that want 13 the new T-hangars. 14 MR. McKENZIE: That's correct. 15 MR. WOOD: 1 through -- 16 MR. McKENZIE: 40. 17 MR. WOOD: -- 40, which is pretty good. Are you 18 just going to do first come, first choice? 19 MR. McKENZIE: Yes, sir, I've got to go down the 20 list. 21 MR. WOOD: The first four guys may want the less 22 expensive, or maybe not. 23 MR. McKENZIE: I'll start down my list. We have to 24 be equitable and fair. I've got to start down my list. 25 MR. WOOD: Okay. 45 1 MR. McKENZIE: The first man, I'm going to tell 2 him, "I've got 12 hangars. Which one do you want?" 3 MR. WOOD: Okay. 4 MR. McKENZIE: Then when we fill up, you know, we 5 just -- and some of them already are guys that want a larger 6 hangar. 7 MR. WOOD: Okay. 8 MR. McKENZIE: So, I mean, it's just -- it's going 9 to depend on -- 10 MR. WOOD: The four smaller ones will probably go 11 first. So -- 12 MR. KING: What is the stat -- what is the position 13 on -- we're not allowing people to move from one to another? 14 MR. McKENZIE: We have got one that's requested a 15 long time ago to move, but he's on the list. He's on the 16 list. 17 MR. KING: He's on the list. 18 MR. GRIFFIN: But nobody else has asked me. If 19 you're not on the list, you can't move. 20 MR. KING: My personal opinion, I don't see jumping 21 from old to new. 22 MR. McKENZIE: We can't allow that. 23 MR. KING: Okay. 24 MR. McKENZIE: That's not my plan to allow it. 25 COMMISSIONER MOSER: You're going to allow one, 46 1 aren't you? 2 MR. McKENZIE: But -- well, but he's on the list. 3 From two years ago. He's going to abandon his -- 4 MR. GRIFFIN: The is answer is yes. 5 MR. WALTERS: I think after you -- but then after 6 you've expired your list, you've gone through your list, then 7 if somebody wants to go from the old to a new one, they can. 8 MR. KING: Yeah. 9 MR. McKENZIE: Oh, sure, yeah. Once you -- once we 10 exhaust the list. 11 MR. WOOD: What are you asking, Steve? That nobody 12 get -- 13 MR. KING: He's on the list. Basically, he has one 14 airplane he wants to move from the new one to the old -- old 15 one into the new one. 16 MR. McKENZIE: Yes, sir, from the old one. He's in 17 a hangar now. He was on -- he's been on the list for two 18 years or more, probably, and he just -- just rose to the top. 19 He's, like, number 7 or 8, so he's going to obviously be in 20 the -- in the mix. So -- but, yeah, to answer your question, 21 Corey. 22 MR. KING: Basically flipping. 23 MR. McKENZIE: Well, no. Technically, that's 24 not -- he's on the list. 25 MR. KING: People on the list don't have a hangar. 47 1 Or the people -- most of the people on the list don't have a 2 hangar. 3 MR. GRIFFIN: Well, but we -- 4 MR. KENNEDY: Unless they're in my hangar. 5 MR. GRIFFIN: When we put the list together, we 6 didn't stipulate that you couldn't be in an existing rental. 7 MR. WALTERS: Yeah. That seems like you're almost 8 being penalized for being an existing renter. 9 MR. WOOD: I agree. 10 MR. WALTERS: And actually, I think it almost 11 should be a priority by going, "You know what? Hey, we've 12 been a customer out here for all these years." 13 MR. GRIFFIN: Amount of time. 14 MR. KING: All right. 15 MR. GRIFFIN: So, you know, I -- 16 MR. KING: Okay. 17 MR. GRIFFIN: And in the one case that we have, I 18 think that he, up front, said, "Put me on the list for the 19 new hangars when they come available," and two years ago he 20 got pencilled in. 21 MR. WOOD: Yeah. I don't think you could get any 22 more impartial than the way Bruce has got it. 23 MR. KING: All right. I do have a problem with 24 leaving those T-hangars at $250. That will be, what, 16 25 years, we've never raised the rent? 48 1 MR. McKENZIE: We need to address that. I want 2 to -- I want to raise it too. I do. 3 MR. GRIFFIN: I know. 4 MR. McKENZIE: If we can address that too. 5 MR. KING: Maybe we just raise -- or 20 years. 6 Maybe we just raise them, you know -- 7 MR. McKENZIE: We could raise that to 275 or 280. 8 MR. GRIFFIN: I think 275. You've got to look at 9 the amenities of the old ones versus the new ones. 10 MR. WALTERS: I agree with you. 11 MR. McKENZIE: And if that's the wish of the board, 12 that would be great. 13 MR. KING: I think that's probably imperative that 14 we -- 15 MR. McKENZIE: I think that's -- 16 MR. GRIFFIN: No, it's fair. 17 MR. McKENZIE: I concur. 18 MR. KING: I don't want to hear the comments from 19 anyone else in the community about why we never raise the 20 rate. 21 MR. McKENZIE: $25 I think is not a bad -- 22 MR. KING: Sound good to y'all? $25? 23 MS. BAILEY: Are those leased month to month or 24 annually? 25 MR. McKENZIE: Both. 49 1 MS. BAILEY: So, when is the effective date? 2 MR. McKENZIE: We're making it go into effect 3 whenever their lease expires. Can't we do that, Carole? 4 Okay. 5 MR. GRIFFIN: It's an annual lease, but some pay 6 monthly, some pay annually. 7 MS. BAILEY: Okay. 8 MR. GRIFFIN: It's an annual lease, to answer your 9 question. 10 MS. BAILEY: So you can up it whenever they renew. 11 MR. KING: One conversation at a time. Okay. 12 MR. WOOD: Well, do we need to make a motion or 13 something? 14 MR. KING: I don't have a problem. I just think we 15 need to stay on top of this. 16 MR. McKENZIE: Oh, yeah. 17 MR. KING: Let's raise these rates. What do you 18 charge for a single, Joey? 19 MR. KENNEDY: 325. 20 MR. KING: 325 for a single? Okay. 21 MR. WALTERS: I think his rates are right in line. 22 MR. McKENZIE: They move it in and out for you. 23 MR. KENNEDY: Well, I put it out for you. 24 MR. McKENZIE: Well, from the look Kirk gave me, I 25 thought you were talking about 325. 50 1 MR. WALTERS: I think we just let him handle it. 2 MR. KING: Okay. 3 MR. McKENZIE: And if we get to a point -- which I 4 don't think we will, but we could with the 350. If we end up 5 with two empty ones, we might have to address it, but I don't 6 think that's going to be the case. 7 MR. KING: Okay. 8 MR. McKENZIE: 'Cause I talked to Boerne yesterday 9 morning; they said, "We're at 340, and we don't have a 10 problem." 11 MR. WOOD: If you end up with an empty one, I'll 12 take it. 13 MR. McKENZIE: Well, there's another one. 14 MR. GRIFFIN: Well, that's the -- I think just the 15 comments, the interlocal agreements, I think that's 16 consistent with what Bruce is saying. It says leases shall 17 be at the current commercial rate. 18 MR. McKENZIE: That's correct. 19 COMMISSIONER MOSER: So that's good. 20 MR. WOOD: I'm impressed that we had 40 people sign 21 up. When we first started doing this, we wondered, "Well, if 22 we build it, will we be able to lease them?" The answer is 23 yes. 24 MR. KING: All right. 25 COMMISSIONER MOSER: Can I ask a question? The 40, 51 1 are those real? Are those some residual from way back? 2 MR. McKENZIE: Quite frankly, Commissioner, I 3 personally think that this is a golden opportunity to purge 4 that list, when I go down there and say, "Okay, you have..." 5 I think we're going to lose 10 of them. I've looked at it. 6 We're going to lose 10 for sure. 7 COMMISSIONER MOSER: What I'm saying is, is this 8 your old list that's been added to? 9 MR. McKENZIE: Well, we -- a year and a half ago, 10 we purged the list, 18 months ago. 11 COMMISSIONER MOSER: Okay. 12 MR. GRIFFIN: And out of those 40, four or five are 13 in the last 10 days? 14 MR. McKENZIE: Since Christmas. Since the 15 Christmas holiday, we've got six or seven new ones. 16 COMMISSIONER MOSER: Okay, super. 17 MR. GRIFFIN: So part of it's new, part of it's 18 old. 19 COMMISSIONER MOSER: So, you'd say the probability 20 of leasing these things is pretty high? 21 MR. McKENZIE: Yes, sir. 22 COMMISSIONER MOSER: That's good. That's bottom 23 line. 24 MR. McKENZIE: Yes, sir, it is. And I'd like to 25 start that process, but I don't want to start it till 52 1 Robert's actually maybe pouring concrete, and then I'll start 2 down that road, and perhaps ask for one month's rent in 3 advance to secure the hangar, if the board has no problem. 4 MR. WALTERS: I think that's a good plan. 5 MR. KING: Okay. So, we don't need a motion on 6 this. 7 MR. McKENZIE: Do you want me to go ahead and start 8 letting people know that we're going to raise the other 9 hangar rents when their -- 10 MR. WOOD: Probably be a good idea. 11 MR. KING: Yeah. 12 MS. BAILEY: I think it would be a good idea to 13 have a motion to approve the set of rental rates. 14 MR. McKENZIE: And also -- okay. 15 MS. BAILEY: And then -- yeah. 16 MR. KING: How about 250? Is that what's paid 17 month-to-month? 18 MR. WOOD: That's a month-to-month rate. There's a 19 discount for paying it a year. 20 MR. KING: What's the discount? 21 MR. McKENZIE: It's 5 percent. Basically, you get 22 one month's -- 23 MR. KING: One month free if you pay it all? 24 MR. McKENZIE: Yes, sir. 2,850 is what it costs if 25 you pay for one year. 53 1 MR. WOOD: So, you just adjust that up based on the 2 same ratio. 3 MR. McKENZIE: Exactly. 4 MR. WALTERS: Let me ask a question. Why -- what 5 was the thinking of giving them a one-month discount for 6 prepayment for a year? 7 MR. McKENZIE: It was handed to me that way, Corey. 8 It was handed off to me like that. 9 MR. KING: Doesn't matter whether we get our money 10 today or in 12 months. 11 MR. WALTERS: I -- my deal is, I'm not sure I'm in 12 favor of that. 13 MR. KING: We have a budget, not a -- 14 MR. McKENZIE: It's a problem -- not a problem; 15 it's an issue. 16 MR. WALTERS: Well, I look at the budget, I look at 17 the return, and all of a sudden we sit there and go, "Okay. 18 Well, we're not really getting what we budgeted because 19 somebody just -- because we're giving them a discount." 20 MR. KING: I think Corey brought up a good point. 21 MR. WOOD: When you write your letter, you need to 22 cover that. Say, "Here's what the monthly rate is; here's 23 what the yearly rate is." 24 MR. KING: Right. It's not like we're operating 25 off a cash flow. We're operating off of a budget that is 54 1 approved and funded every year. So -- 2 MR. WOOD: I'm one of them that pays by the year, 3 and I'm only doing it because I get a discount. 4 MR. KING: I know, and that's what I'm trying to 5 figure out. If we have -- 6 MR. WOOD: I would pay on the other -- 7 MR. KING: If we have a demand -- if you have a 8 demand for something, I don't know that you need to encourage 9 people to -- 10 MR. GRIFFIN: Discount. 11 MR. KING: -- to get a discount. 12 MR. WALTERS: Well, -- 13 MR. WOOD: Unless that helps your bookkeeping and 14 everything. 15 MR. WALTERS: -- we're full over there, so I think, 16 you know, we don't need to offer the discount any more. And 17 maybe we -- we revisit the paying in advance discount later 18 on after we get these up and going, see where we are. We see 19 where -- 20 MR. WOOD: You don't do that, do you, Joey? 21 MR. KING: What? 22 MR. WOOD: Give them a discount if they pay for the 23 whole year? 24 MR. KENNEDY: We don't really have anything. We 25 tried that at one point, but we didn't really have a whole 55 1 lot of success with it. 2 MR. KING: I'll do it. 3 MR. KENNEDY: When you're sitting on 100 percent, 4 it's -- this is a supply and demand economy. 5 COMMISSIONER MOSER: He's on a cash basis and 6 you're on a budget basis. 7 MR. KING: We're on a budget basis. And, you know, 8 I don't think we're hunting for cash. Usually when you offer 9 a discount, it's because you'd like to increase your cash 10 flow earlier in the process. 11 MR. McKENZIE: We have a waiting list. 12 MR. KING: So, working off of somebody else's 13 money. So, I was going to ask that; I think that's a good 14 point. 15 MR. McKENZIE: I'm not going to offer discounts on 16 this; this is just -- this is it. 17 MR. KING: Don't offer discounts on anything. 18 MR. WOOD: Well, let me ask this question. Do you 19 want to -- Jeannie's not here, but does it make any 20 difference to our budget people if -- if it comes in by the 21 month or by the year? 22 MR. ROBLES: No. 23 MR. McKENZIE: It doesn't matter. 24 MR. WOOD: To me, it kind of disrupts the financial 25 statements. 56 1 COMMISSIONER MOSER: That's your deal. 2 MR. KING: Okay. 3 MR. GRIFFIN: We're causing that. 4 MR. KING: So, I'll need a motion to approve the 5 rates as -- 6 MR. McKENZIE: The new ones? 7 MR. KING: Not as submitted, but as -- 8 MR. WALTERS: Proposed. 9 MR. KING: Proposed. 10 MR. GRIFFIN: Do we want to do it individually, or 11 -- I think, or -- and do we want to up the rate on the 12 current ones in this motion? 13 MR. KING: Yeah. 14 MR. WOOD: Yeah. 15 MR. GRIFFIN: Okay. I just -- 16 MR. KING: So, somebody just make a motion and 17 outline the rates. And -- 18 MR. GRIFFIN: That's where I was going. That's 19 what I wanted. I'll make the motion that we up the existing 20 hangar rates to $275 a month at the end of the term leases 21 that are existing. The small hangars in the new building 22 will go for $300, the medium hangars will go for $325, and 23 the large for $350. 24 MR. KING: Okay. 25 MR. WALTERS: I second. 57 1 MR. WOOD: And that there's no discount for 2 paying -- 3 MR. GRIFFIN: And after the existing leases have 4 timed out, there will be no more yearly discounts. 5 MR. McKENZIE: On the old. 6 MR. GRIFFIN: On the old hangars. 7 MR. KING: Okay, seconded by Mr. Walters. 8 Discussion? What kind of -- discussion. What kind of leases 9 do they have? How long are the leases? Those people, if -- 10 when you sign a lease with them -- 11 MR. McKENZIE: It's a year. It's annually. 12 MR. KING: A one-year lease. 13 MR. McKENZIE: It just continues on. If you want 14 to stay in it, you just stay in it. They're guaranteed 15 basically a rate for one year. 16 MR. McKENZIE: Yes, sir. 17 MR. KING: All right. No more discussion? All in 18 favor -- 19 MR. WOOD: And the -- and that Bruce send a letter 20 out advising the existing tenants of this motion. 21 MR. KING: Okay. Do you have that? All in favor? 22 (The motion carried by unanimous vote, 4-0.) 23 MR. KING: Four-zero. 24 MR. McKENZIE: Thank you. 25 MR. WALTERS: Can I ask you a quick question? When 58 1 is -- what is the need when we need to make a motion and not? 2 Because, you know, we made a motion on this, and you said, "I 3 suggest that we make one." I'm just curious why we need a 4 motion for this. 5 MS. BAILEY: Well, if we're charging people money, 6 and someone were to challenge, "What authority does Bruce 7 have to up the rates?" he can go back and say the board 8 authorized it, and they have to do that by motion. And just 9 -- just suggesting it in the meetings, saying it's okay, 10 doesn't give him the authority. So, it usually has to do 11 with money; money's the biggest issue, but also utilization 12 of the property. If you decided to put in a new runway, and 13 just told Bruce to start getting it designed, you know -- 14 MR. WALTERS: I can see that that one might be -- 15 MS. BAILEY: Anything that someone -- if someone -- 16 you know, if you can in your mind envision that someone would 17 say, "Where does Bruce get off doing whatever it is that he's 18 doing?" He has to be able to go back to the board and say, 19 "Well, here's where they authorized it." 20 MR. WALTERS: Okay. Well, I understand that, but 21 doesn't just the fact that he's the Airport Manager give him 22 the authority -- give him some authority? 23 MS. BAILEY: Some, but not -- not to do -- I don't 24 think to make financial decisions. I think we need to give 25 him the kind of cover that when he says, "I was directed by 59 1 the board to do this" -- 2 COMMISSIONER MOSER: The way to look at that is -- 3 is it's an action by the committee -- an action by the board 4 or an action by the committee. That's the way they do it in 5 Commissioners Court. 6 MR. WALTERS: Okay. 7 COMMISSIONER MOSER: If it's -- if it's an 8 actionable thing, we usually do it that way. Then it's -- 9 then it's the authority to do it. 10 MR. WALTERS: Okay. Okay. Just for my future 11 understanding. 12 MS. BAILEY: Sometimes it's -- you know, my 13 philosophy is that if it's questionable, I'd rather have the 14 vote, -- 15 MR. WALTERS: I understand. 16 MS. BAILEY: -- you know, on record than not. 17 MR. WALTERS: Okay. All right. 18 MR. KING: Okay. Item 4F, the Brinkman hangar. Do 19 y'all want to discuss that in open session, or do we have 20 something to discuss in executive? 21 MS. BAILEY: We probably need to go in executive 22 session. 23 MR. KING: Okay. Item 4G, the Mooney lease. 24 Anybody have anything new that -- 25 MR. McKENZIE: There's nothing new. In the 60 1 morning, like you said, there's a meeting down at Jonas' 2 office at 8 o'clock. Two board members can come; we don't 3 have to post it. We can't post it anyway; it's too late, but 4 I'm going to attend. 5 MR. WALTERS: I have something on executive session 6 I'd like to discuss on that Mooney -- 7 MR. KING: Okay. Employee evaluations. 8 MR. McKENZIE: That will be in executive. 9 MR. KING: Is that executive session too? 10 MR. McKENZIE: Mm-hmm. 11 MR. KING: All right. Item 5. Well, we just -- 12 we'll just go -- we'll just go into executive session and 13 handle those three items first, and then come back and do the 14 general update. Is that okay? No action will be taken on 15 these items. So, we'll go into Item 4F, the Brinkman hangar, 16 discussion and possible negotiation, under Section 551.071, 17 551.072, and 551.087 of the code. Item 4G, Mooney 18 International Lease Agreement, executive session under 19 551.071, .072, and .087. We'll handle those, and then 20 employee evaluations, executive session under 551.074. We'll 21 handle all three of those at the same time, go into executive 22 session, and we'll be in recess for five -- two minutes and 23 then go into executive session. And I'll get you a time. 24 (The open session was closed at 9:44 a.m., and an executive session was held off the record.) 25 - - - - - - - - - - 61 1 MR. KING: Okay. We went in at 9:49 into executive 2 session on items -- on Item 4F, 4G, and 4H. On Item 4G, we 3 are going to take some action on that. We're going to send 4 -- we're going to instruct Ilse to send Mooney a letter 5 giving them notice that we are going to take back three 6 buildings that we've had previous discussions with them 7 about, and we're going to give them a 30-day notice? 8 MS. BAILEY: Yes. 9 MR. KING: 30-day notice to do that. We need a 10 motion on that? 11 MS. BAILEY: No. 12 MR. KING: No. 13 MS. BAILEY: It's just directing me. 14 MR. KING: That will be on Item 4G. On Item 4F, we 15 are going to instruct Ilse to send Mr. Solomon's attorney a 16 copy of the lease -- 17 MR. GRIFFIN: Proposed updates. 18 MR. KING: Proposed updates in the lease that we 19 have responded from his -- responded to from his -- 20 MR. WALTERS: Requested changes. 21 MR. KING: -- requested changes. 22 MR. WALTERS: Lease changes. 23 MR. KING: And then we'll wait for an answer back 24 on that. And that's it. Employee evaluations, do you have 25 to do anything on that? We -- 62 1 MR. GRIFFIN: We just have to sign it. 2 MR. KING: I'm going to basically sign one of them 3 and approve it, and that's it. Any general update? 4 MR. McKENZIE: We're moving dirt. We moved over 5 2,000 yards, and we've probably got 3,000 to go. 6 MR. KING: Okay. On the moving dirt, I had a 7 question. I flew over -- when did I fly? I flew somewhere; 8 somehow I flew over it. I haven't flown. Did I fly -- maybe 9 it was before I went to New Zealand. Were we moving that 10 dirt over there? 11 MR. GRIFFIN: Hmm-mm. 12 MR. KING: Have we talked to the County any more 13 about moving that dirt over to where -- 14 MR. McKENZIE: Yes, we have. I talked to them 15 about it. 16 MR. KING: What did they say? 17 MR. McKENZIE: There's two or three things in play 18 there, Steve. One is we need to remove the topsoil from that 19 area between Stieren's hangar and Steve Drane's hangar before 20 we dump this material on top of that. 21 MR. KING: Is that right? 22 MR. McKENZIE: We can't do that till I go -- until 23 you instruct me to go back before the Commissioners Court and 24 ask their permission for them to do that. Leonard won't -- 25 Leonard just says, "I can't do it unless you get permission 63 1 from the Court to do that." 2 MR. KING: Really? 3 MR. GRIFFIN: Yeah. The second thing is, we don't 4 have a drainage plan to just be dumping dirt out there. It 5 wouldn't be a good idea. Third, if we ever need to move fill 6 there, we've got material that's adjacent to that. We're 7 close. That's why we didn't dump over there. 8 MR. KING: Okay. 9 MR. McKENZIE: We just don't want to dump on top of 10 good organic material. 11 MR. KING: Okay, that's fine. That was a 12 discussion that we build the hangar -- we talked about going 13 ahead and building a pad over there, but okay, that's fine. 14 MR. McKENZIE: I'm just trying to keep Robert 15 accommodated so we can keep moving. 16 MR. KING: Okay, no problem with that. Anything 17 else? 18 MR. McKENZIE: No, sir. 19 MR. KING: You know, the next time we have striping 20 people, or people who make things on pavement and everything, 21 why don't we consider doing something over there at the 22 entrance up to Ronnie's place? Why don't we put something on 23 the taxiway itself, like an "X" or a "no entry"? That's -- 24 that side is really nice and everything. It's still pretty 25 much -- it's still pretty much in your -- it's nice; we spent 64 1 a lot of money on it. I hate to see there still when you 2 taxi up there sometimes, it still is very, very easy to just 3 want to run right through that road up there. I think if 4 there was something on that taxiway -- 5 MR. WOOD: Isn't there an "end of airport property" 6 designation or something? 7 MR. KING: It says "no outlet." 8 MR. McKENZIE: I have a "no outlet" sign. 9 MR. KING: We put a sign there. What I'm getting 10 at, I don't know if we can put an "X" there. I don't know; 11 Ronnie, what do you think? Not an "X". I don't want people 12 not coming to his place. 13 MR. GRIFFIN: There's a double line with the -- 14 MR. McKENZIE: Hashtag, but then that is -- that -- 15 MR. GRIFFIN: That is a boundary. 16 MR. KING: Maybe you just put -- maybe you just put 17 a double line there. Double line. 18 MR. WOOD: We've got people taxiing over -- 19 MR. McKENZIE: That's why we asked for a consultant 20 and engineer. 21 MR. KING: At least put a double line. At least 22 somebody would look at it. I've taxied over there a couple 23 of times, not paid attention a whole lot. All of a sudden, I 24 almost just keep taxiing up that runway through that ramp 25 there. I thought when they're out here striping or something 65 1 is when it's time to talk about it. 2 MR. GRIFFIN: Sure. 3 MR. KING: Just -- 4 MR. McKENZIE: That's -- we can -- I'll 5 investigate. 6 MR. KING: And also, it would -- it would be 7 helpful if they put exit ramps on those taxiways to get off 8 the runway. 9 MR. McKENZIE: Exit? 10 MR. KING: Like a stripe or something. 11 MR. McKENZIE: Lead-in lines? 12 MR. KING: Lead-in lines. 13 MR. WOOD: Lead-in line's there right now. 14 MR. WALTERS: I think that's an excellent idea. 15 MR. KING: There are no lead-in lines -- old 16 lead-in lines on the runway to get onto your taxiway. 17 MR. GRIFFIN: To get off Alpha and Bravo -- 18 actually, there's one on Alpha. There's not one on Bravo. 19 MR. KING: There's some old ones? 20 MR. McKENZIE: There is. There's lead-in lines. 21 They might have been faded, but there's lead-in lines. 22 MR. KING: Well, I know there's one at least 23 that'll take you right into the dirt. It's still there. 24 MR. GRIFFIN: Well, that's that one right there. 25 MR. McKENZIE: He's blacking that one out, too. 66 1 MR. KING: Okay. 2 MR. McKENZIE: We just got to paint. 3 MR. KING: I still think that -- I talked about 4 this at one of the meetings a long time ago. I think really 5 it's a good idea if we put some reflector there or 6 something -- some reflectors. Not maybe out in the middle of 7 the runway; people don't like to taxi over those things, but 8 at least put some reflectors on the side showing that it's -- 9 at night, it's almost impossible to see those things. 10 MR. WALTERS: I came in Monday night, and it's hard 11 to see it. I mean, you got to be real careful. All of a 12 sudden, you are -- you'll end up too close and, you know, run 13 off on the -- before the taxiway, or -- 14 MR. KING: Yeah. 15 MR. GRIFFIN: I know it's -- I know it's 16 mega-dollars, but what's the -- what's the driver to 17 having -- to having taxiway lights? Blue lights? Is there 18 a -- 19 MR. KING: They've got -- you know, we have those 20 solar lights. They never got approved? 21 MR. McKENZIE: They didn't get approved by TexDOT 22 Aviation. Not yet. 23 MR. KING: Man, can we put them on anyway? 24 MR. McKENZIE: Yeah. 25 MR. KING: I've seen those things. 67 1 MR. McKENZIE: They're solar-powered. 2 MR. KING: A friend of mine owns that company. 3 That's the coolest thing I've ever seen. It's just the 4 little reflectors that you can run over out there right now, 5 and it has a solar panel on the back of it. 6 MR. KENNEDY: Bright Portal. 7 MR. KING: Yeah, Cowsert. Tim Cowsert does it. It 8 has a little solar panel, has a little light on it. It 9 charges up in the day and comes on at night, lasts for hours. 10 It's no different than the reflectors that we've got out 11 there already. I mean, that was the problem; the reflector 12 was -- I was always afraid the reflector might come up. But 13 none of them come up, I guess. 14 MR. McKENZIE: Well, they -- some, of course, do 15 occasionally, the ones that we have right now. But we just 16 have to make sure that we conform with the markings -- F.A.A. 17 markings. We can't just go putting lights out there. 18 MR. KENNEDY: What you need is people like airport 19 boards, airports like Kerrville calling TexDOT saying, "We 20 want to use these. What's going on with getting them 21 approved?" If they get enough phone calls like that -- 22 MR. KING: Why don't you do that? I've got one at 23 my house. He gave -- he gave me one at my house. They're 24 the coolest things you've ever seen, and they're just -- 25 they're solid. You can -- 68 1 MR. WOOD: How do you keep from running over the 2 solar panel? 3 MR. KING: Doesn't matter. 4 MR. McKENZIE: It's all epoxy-covered, just -- 5 MR. KING: Doesn't stick up any higher than a 6 reflector out there, and it has a little light on it, and 7 it's the coolest thing you've ever seen. You stick them down 8 with that -- that same glue, and they don't come up. 9 MR. McKENZIE: And use those in place of our 10 centerline lights there we have now on our taxiway? Is that 11 what you're recommending? 12 MR. KING: We don't have any centerline lights. 13 MR. McKENZIE: Yeah, we have the blue markings, the 14 reflectors. 15 MR. KING: We have reflectors, yeah. The problem 16 with that is, as Corey was saying, when you -- when you land 17 an airplane and you're taxiing straight, I don't have any 18 lights that shoot off to the side. I don't have lights like 19 a Lexus does that turn to the right. All my lights are 20 straight, and so the only time I'm pointing over there is 21 when I'm already over there. 22 MR. WALTERS: Yeah. 23 MR. KING: You're already pointing that direction, 24 and then it's the wrong way. You got to go this way. And 25 it's just -- I'm telling you, I've missed that one down here 69 1 at the end, I bet, ten times and turned on the runway. 2 MR. WALTERS: Yeah. 3 MR. KING: You turn on the runway, or you turn 4 where the old runway is -- was, and it's just really 5 inconvenient. It's terrible. I'm surprised I haven't run 6 off at night and run into the dirt out there. Probably 7 should look at that. 8 MR. McKENZIE: I'll look at it. 9 MR. KING: Call TexDOT and ask them about that. 10 MR. McKENZIE: I will. 11 MR. KING: About Tim's deal. Great idea, and 12 they're not that expensive. Okay, anything else? All right. 13 Motion to adjourn? 14 MR. WALTERS: Motion to adjourn. 15 MR. KING: All in favor? 16 MR. WOOD: Second. 17 MR. KING: Second by Mr. Wood. All in favor? Aye. 18 (The motion carried by unanimous vote, 4-0.) 19 MR. KING: Adjourned. 20 (Airport Board meeting adjourned at 11:04 a.m.) 21 - - - - - - - - - - 22 23 24 25 70 1 STATE OF TEXAS | 2 COUNTY OF KERR | 3 I, Kathy Banik, official reporter for Kerr County, 4 Texas, do hereby certify that the above and foregoing is a 5 true and complete transcription of my stenotype notes taken 6 at the time and place heretofore set forth. 7 DATED at Kerrville, Texas, this 21st day of February, 8 2014. 9 _______________________________ Kathy Banik, Texas CSR # 6483 10 Expiration Date: 12/31/14 Official Court Reporter 11 Kerr County, Texas 700 Main Street 12 Kerrville, Texas 78028 Phone: 830-792-2295 13 14 15 16 17 18 19 20 21 22 23 24 25