The Durango-La Plata County Airport expects to invest millions of dollars to help fund an expansion and terminal project if it is approved by the voters.
In November, La Plata County voters will decide whether to invest $40 million in property taxes in a terminal on the east side of the runway. Matching funds from the Federal Aviation Administration could pay another $35 million to $40 million for the building.
The airport could raise about $7.5 million for the first phase of construction, Interim Aviation Director Tony Vicari said Tuesday.
The Durango City Council and the La Plata County Commission reviewed the airport budget in a joint meeting.
The airport has been saving money generated from fees on ticket sales and rental cars to help fund the proposed expansion.
The airport would expect to spend $917,000 from its cash reserves, $3.8 million from ticket fees and $2.8 million from rental car fees to help fund the expansion. Those who rent cars from the airport pay these fees based on the length of the rental, Vicari said.
Councilor Sweetie Marbury asked if any of these fees or savings could be increased.
The fees charged on tickets are federally capped, and the airport is already charging the most allowed.
Increasing the amount charged on rental cars is part of a five-year contract between the airport and the rental car companies signed in 2014, Vicari said.
To dedicate more revenue from these sources for the terminal construction would also divert money needed to match FAA grants for other projects, he said.
The airport has also delayed some construction projects to help build cash reserves.
The cash balance at the airport was $92,169 in 2012, and it is expected to be about $2.4 million in 2016.
But Vicari doesn’t not expect to aggressively increase the cash balance.
“It runs our staff and facilities a little ragged,” he said.
Vicari asked to keep two aircraft rescue and firefighter positions added during 2016. The added positions brought the full-time staff to 23 employees.
The airport also expects to make $110,000 in improvements this year. This includes new carpet and seating in the terminal, updates for software and updates to the water-treatment plant.
These are important because even if the airport ballot questions passes the terminal will be in use for the next four or five years, he said.
Next year, the airport would like to set aside $2 million for a taxiway rehabilitation, $500,000 for a snow-removal vehicle, $190,000 for an electric generator and $200,000 for a new bay door. The airport may also spend $200,000 for the second phase of an environmental assessment for the new terminal expansion.
Funding from the FAA will determine whether some of the projects move forward.
La Plata County Commissioner Julie Westendorff asked that future the airport budgets be prepared for the Durango-La Plata County Airport Commission before they comes to city councilors and county commissioners as required by an intergovernmental agreement.
Mayor Christina Rinderle asked that this issue be addressed when the councilors and commissioners review the airport’s governing structure.
mshinn@durangoherald.com
