Sunday, Mar. 13, 2005 | ||
Bad Links? | Airport fees being debatedBy JOHN MUNFORD In the past, the Peachtree City Airport Authority has allowed businesses off airport property to use the airport for a fee set in a written agreement. The through the fence fees, however, may be heading for a major makeover at Falcon Field. One potential off-airport businessman, Stan Smith of Tyrone, has protested the lack of a firm offer for the authority as he sought to purchase the former Hunting Aviation facility, about 100,000 sq. ft. of space that has set vacant for about seven years. Smith wanted a previous agreement offered by the authority which charged only 20 cents per square foot of space, but two FAA officials have said that isnt near enough, Airport Manager John Crosby said at Wednesday nights Airport Authority meeting. Typically, the FAA discourages allowing access to off-airport property because those properties arent subject to certain restrictions outlined by the FAA which only apply to on-airport locations, Crosby noted. The FAA wants the airport to have through the fence fees high enough to protect current and future on-airport tenants from unfair competition. Currently, on-airport tenants are paying 50 cents per square foot for operational space and an additional 27 cents per square foot for non-operational space if the hangar is used for commercial purposes. Last year, the authority decided to negotiate its through the fence contracts on a case-by-case basis. Now, the authority is hashing out what it will require in future through-the-fence contracts. Smith told the authority that making the fees equivalent to those paid by on-airport tenants would make it impossible to do business on property located off the airport grounds. Another option under consideration would be to limit through the fence agreements to five years maximum, which would also hamstring a business that will invest a large amount of money in off-airport property, he said. Nobodys going to sign a business deal for five years that involves that kind of capital outlay, Smith said. The authority may consider charging lower through-the-fence fees for persons needing the access for their personal hangar space, but several other issues will also be at play. Crosby recommended to the authority that its future through the fence agreements: Be non-transferrable. Apply fees only to developed land, not charging businesses for undeveloped parts of the parcel. Have monthly payments instead of yearly payments. Be subject to consumer price index increases every three years. Exempt nonprofit organizations from paying the fee. Last no longer than five years. Forbid the sale or storage of aviation fuel, to protect the authoritys position as the exclusive on-airport supplier. Future security mandates from the federal and state government should also be a part of through the fence agreements, Crosby noted. The authority took no official action on the matter. Authority Chairman Jerry Cobb said he was happy with the input the authority received on the matter. Cobb added that the authority has been working on the issue since August after the group determined it wanted to negotiate through the fence agreements on a case-by-case basis. |
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