Fairhope, Alabama
Update: The city council decided not to take back the land but reduced its appropriations to the airport by over $100K yearly instead.
$7.4 MILLION DEBT THE PRESSING ISSUE
Mayor Wilson told Airport Authority members she wanted the city to take a "more active role" in airport development plans to reduce its debt, currently about 20% of total city debt, by incorporating it in a new overall comprehensive growth plan for the city. (video at bottom)
She said "ten years are long enough" for the Authority to have sole responsibility -- and expressed "urgency" on behalf of citizens to "get it developed" (working with the Authority) to "recoup our dollars and interest ... and pay off the debt."
Wilson is proposing the city council exercise its option to take back up to 256 acres of land surrounding the airport the city council purchased for the Authority in 2007 to develop an industrial park and provide employment so young people would not have to move away.
Council President Burrell said the city had been involved in airport planning all along (he is the current council liaison to the committee) -- but did not necessarily object to the land transfer; he warned if that happened there would be no chance of the Authority ever paying off the whole debt itself, as was originally intended in 2007.
He added that back in 2007 no one anticipated the Great Recession of 2008-11; and more-recently the Authority had been receiving considerably more revenue from land sales, new or renegotiated leases, and increased fuel fees.
Wilson countered: "We payed for it ... It should be in our name (city's). I have to be responsible to the citizens (for this debt)."
"We have to be transparent with the citizens ... most had no idea what we have been spending for the last 10 years on this ... they are shocked when find out ... want to know why the city isn't doing more ... .
We are going to do more ... won't affect FAA grants ... if the city takes a more active role in helping to develop it ... so we can take care of the debt ... 21% of city's total."
INTEREST RATES GOING UP TOO
Authority Chairman Joe McEnerney said the Authority had already sought and received four proposals for refinancing their debt (to reduce the interest) and agreed about the urgency since interest rates are headed up: Wilson expressed disappointment she has not been more-involved in those discussions.
But, he questioned the wisdom of returning all 256 acres of the land though, because of possible issues with FAA grants already received (or applied for): about 100 acres could be returned without issue though, McEnerney said.
Member Vincent Boothe estimated more, about 136 acres could be returned without jeopardizing the grants; Mayor Wilson countered that the grants come to the city first anyway ... and they should not be affected at all.
CITY COUNCIL COULD DECIDE THURSDAY
The city council is to discuss the matter further at this Thursday's work session and may decide to take a formal vote at the ensuing council meeting (special holiday schedule).
(Airport Authority members are volunteers who serve without any kind of compensation.)
Update: The city council decided not to take back the land but reduced its appropriations to the airport by over $100K yearly instead.
Mayor Wilson, third from right |
$7.4 MILLION DEBT THE PRESSING ISSUE
Mayor Wilson told Airport Authority members she wanted the city to take a "more active role" in airport development plans to reduce its debt, currently about 20% of total city debt, by incorporating it in a new overall comprehensive growth plan for the city. (video at bottom)
Chairman McEnerney seated |
She said "ten years are long enough" for the Authority to have sole responsibility -- and expressed "urgency" on behalf of citizens to "get it developed" (working with the Authority) to "recoup our dollars and interest ... and pay off the debt."
Wilson is proposing the city council exercise its option to take back up to 256 acres of land surrounding the airport the city council purchased for the Authority in 2007 to develop an industrial park and provide employment so young people would not have to move away.
Council President Burrell said the city had been involved in airport planning all along (he is the current council liaison to the committee) -- but did not necessarily object to the land transfer; he warned if that happened there would be no chance of the Authority ever paying off the whole debt itself, as was originally intended in 2007.
He added that back in 2007 no one anticipated the Great Recession of 2008-11; and more-recently the Authority had been receiving considerably more revenue from land sales, new or renegotiated leases, and increased fuel fees.
parcels outlined |
"We have to be transparent with the citizens ... most had no idea what we have been spending for the last 10 years on this ... they are shocked when find out ... want to know why the city isn't doing more ... .
We are going to do more ... won't affect FAA grants ... if the city takes a more active role in helping to develop it ... so we can take care of the debt ... 21% of city's total."
INTEREST RATES GOING UP TOO
Authority Chairman Joe McEnerney said the Authority had already sought and received four proposals for refinancing their debt (to reduce the interest) and agreed about the urgency since interest rates are headed up: Wilson expressed disappointment she has not been more-involved in those discussions.
Fairhope airport authority |
Member Vincent Boothe estimated more, about 136 acres could be returned without jeopardizing the grants; Mayor Wilson countered that the grants come to the city first anyway ... and they should not be affected at all.
CITY COUNCIL COULD DECIDE THURSDAY
The city council is to discuss the matter further at this Thursday's work session and may decide to take a formal vote at the ensuing council meeting (special holiday schedule).
(Airport Authority members are volunteers who serve without any kind of compensation.)
Comments
But I am more amazed at the elected officials that were not able to answer her questions. She asked a question and no one seems to answer.
Airport authorities can borrow monies for 40 years! Airport authorities can not be sued for negligence, period, it is in plain language in the Alabama Code. Airports usually have deaths, and having an authority shields the city from liability. Yes, municipalities are immune from many suits but not negligence.
It really amazes me as to who is advising the mayor does already know the answers to the questions she asks. The first thing you learn as a leader, you should have researched the question you are going to ask, and you should already know the answer to a question before you ask that question publicly. AND you never ask the question WHY?
The airport authority has nothing to do with FAA grants, etcetera, etc., it is about liability.
WOW!
A tier III supplier might open up shop but there would need to be serious tax concessions. Fairhope is known for its beautiful town, not its industrial base. There are other sites with access to the interstate that many would like to relocate.
The board is all volunteers, so you get what you pay for. You can not expect those that volunteer to spend all this personal time unless there is something in it for them. When you have zero skin in the game then you don't have anything to lose.
The industrial development board and the airport authority should have a combined strategic plan that moves the airport forward. Combine the two boards, unless the authority has greater power than the industrial development board, then everyone can move in the same direction.
In order to have a strategic plan, then city really needs to define itself. So, does the city want to be a quaint town for the artist or what, I'm not sure at this point. Does anyone else really know?
The airport is uncontrolled (no tower) and the service from the FBO is not the best. Foley's airport is far better than Fairhope's but you have the same problem, the access to the interstate is at least an hour.
These companies provide products for the military and civilian sector, not NASA.
You are absolutely correct that if the airport can develop property and create jobs this will bring revenue to Fairhope and our surrounding communities.
Before I could get on the elevator to leave the lead examiner stop me and ask me to return to the meeting.
The meeting went much smoother, and everything was worked out.
Being a leader is never having to tell anyone of your power, they feel it in how you speak and handle yourself, silence can be deafening.
She is new at this, and this is not like running a private company, this is a public as public can get. She will learn with time, and she may surprise those that oppose her, everyone should give her a chance to lead.
Every council member, supervisor and anyone else that has knowledge should help this new mayor. That is the only right thing to do, it will be good for the city too.
I think everyone needs to smile more, and that is everyone, if faces could kill then we'd all be dead after that last council meeting.
The Airport Authority is a separate, legal entity apart from the city. It is not a city board or committee.
Finding the opposition to the Mayor quite common in Fairhope. As a 50 year resident I assure the public that the bills of the last administration are coming to the for front.The manner of finance of the city and it's lack of transparency has been a standard for decades.I for one would like to see a complete independent audit of ALL departments by an independent forensic auditor or auditing firm.The airport has been a select authority for just as long. Once ......... folded due to DEA investigations and NO convictions it just shows that no matter who is elected,the upper crust is the deciding factor