Colorado Airport Operators Association
Minutes - Board of Directors Meeting
January 25th, 2005
Brown Palace Hotel
Denver, Colorado

I.     Call to Order
President Rex Tippetts called the meeting to order at 10:00 A.M.  Present for the meeting were Rex Tippetts, President, Ron Dent, Vice President, Mike Reisman, Secretary/Treasurer, Tim Smith, Janell Barrilleaux, Troy Stover, Scott Brownlee, Kevin Gould and Jim Fluhr.

Guests present were Paul Smith, NBAA; Travis Vallin, CDOT; Dennis Heap and Ken Lawson, Front Range Airport.
 

II.  Approval of Agenda
Rex Tippetts asked for any additions or changes to the agenda.  There were none and the agenda was considered approved.

 

III.  Minutes:  October 21st, 2004 Board of Directors Meeting
Rex asked for any additions or amendments.  There were none.  Ron Dent motioned for approval of the minutes.  Troy Stover seconded the motion.  The motion passed unanimously.

 

IV.          Reports of Officers and Committees

a.      Financial Report
Mike Reisman noted that the 2004 year-end financial report was provided for everyone’s review.  The year end Profit and Loss Statement identifies that the association had income over expenses of $8,449.07 for the year, and a cash balance of $38,440.10 in the checking account as of December 31st, 2004.  The Trial Balance Sheet shows that the association moved $76,473.51 during the course of the year.  Additionally, Mike noted that the Fall 2004 conference experienced a loss of only $328.00, which was much better than expected.   Rex asked for any questions or comments on the financial report.  There were none.  Corrine Nystrom motioned for approval of the financial report.  Scott Brownlee seconded the motion.  The motion passed unanimously.
 

b.     Conference Committee 

1.      Fall 2004 Conference
Rex reported that he liked the format of the abbreviated Fall conference.  We are already committed to the same format for the Fall 2005 Conference.  Corrine Nystrom also noted that she liked the format.  Mike Reisman further noted that he thought the attendance was good given the shortened format.  The corporate members liked it as well according to Kevin Gould.

2.      Spring 2005 Conference – June 8-10, 2005, Winter Park, CO
Janell Barrilleaux distributed the proposed conference budget, which Rex noted that he, Ron Dent, and Mike Reisman would review at a later date.  Janell noted she needs assistance on suggestions for agenda items.  Travis Vallin suggested that a session be held with Denver Tracon on impacts and issues concerning approach procedures.  This would give the controllers a chance to become more familiar with the airports and personnel.  Mike Reisman agreed this was a good idea, as did Paul Smith.  Mike Reisman noted that he would like to provide an update on the CAOA Web Site, specifically the new Web Resource Center sometime during the conference.  He also asked if there can be an update on the SPCC and Stormwater issues as well, which Janell acknowledged.

3.      Fall 2005 Conference – October 13-14, 2005, Denver, CO
Rex reported that this would again be the same abbreviated format as the Fall 2004 conference, and be hosted again by the Division of Aeronautics, with Travis Vallin taking the lead.

4.      Spring 2006 Conference – April 8-10, 2006, Aspen, CO
Rex noted that this was a joint conference with the Northwest Chapter of AAAE and WAOA.  Three hotels are lined up for this conference.  More information will be available soon.

5.      2006 IAFC
Rex and Corrine reported that for a variety of reasons, this conference would be held in Salt Lake City, instead of Grand Junction as we had hoped.  The attendance at the conference being down the past few years was a factor in this decision.

6.      Fall 2006 Conference
Rex noted that this would be held on the front range at a date and time to be determined. 

c.      Membership Committee
No Report.
 

d.     Website Committee
Mike Reisman reported that the big news is the establishment of the Web Resource Center, which was suggested by Scott Brownlee.  He has begun collecting documents from Board members over the past week, and once complete, the resource center will be a location where our members can view and share a wide variety of documents relevant to airports.  The page is already up and running but is not yet accessible through a hyperlink.  He provided a back door entry for everyone including the password information.  The site requests that if you download something, you give something back in return so that the site grows more useful over time.  Mike noted the categories currently planned, and that once the page is made accessible to the entire membership, we will begin requesting more documents from throughout the membership.  The password protection is intended to encourage membership by providing resources not available by anyone just browsing our site.  Travis commented on a link between the CAOA and his division’s web site concerning the calendar of events.  Mike noted that he may simply put a link on our site to the aeronautics site this year instead of the individual listing of events.

e.      Legislative Committee
Rex noted he had no report.  Travis Vallin reported that there will be some draft legislation being pushed by Centennial Airport concerning adding statewide tax incentives and rebates for companies located on airports that manufacture aircraft.  He will provide a copy of the draft once available.  There is no sponsor yet however.  Ron Dent commented briefly on SB 575, concerning the Colorado Petroleum Storage Tank Fund Bill.  This is mainly relevant to the Durango-LaPlata County Airport.

f.        Executive Committee
No Report.

g.     NOTAMS Committee
Mike Reisman reported that no action has taken place on this subject.  The re-organization of the FAA has stalled efforts, and concerns about the potential privatization of the AFSS’s has left those individuals with little interest in pushing this subject.  Generally, the meetings that were held between the committee and the AFSS and ARTCC personnel has resulted in some positive improvements in many areas.  Although it is was previously discussed that AAAE could help with this at a national level, Mike suggested that at this time we may consider ceasing our efforts for major change, but that the committee should continue to be available to facilitate resolving problems for individual airports as issues may arise.  Troy Stover made similar comments and was in agreement with this suggestion.
 

V.  Unfinished Business
Rex reported on the 2005 membership structure.  The adjustment of membership fees has been an issue which has been on the table for several years.  Fees have been the same for a number of years, when the membership fee structure went from a conference based program to a membership fee based program.  Rex put on the table for consideration the following adjustments to corporate membership fees:

Bronze membership
– from $200.00 to $300.00 per year and includes one company member.
Silver membership – remain at $750.00 per year, and includes 2 company members instead of 3.
Gold membership – from $1,250.00 to $1,500.00 per year, including 4 company members instead of 3.
Platinum membership – from $2,000.00 to $3,000.00 per year, including 6 company members instead of 4, and promotion of your company on the CAOA web site.
Additional memberships – remain at $50.00 per person annually.

A substantial amount of discussion took place regarding this subject.  It was discussed what justified the increase in fees, and after much discussion, the need to generate additional revenue for the hiring of an Executive Secretary was determined to be a primary issue.  Also, as costs continue to increase annually, if the membership fees are not occasionally raised, the association may find itself in a position to be forced into making substantial increases in a single year, instead of minor increases every few years.  Additionally, the existing benefits of membership which are currently listed, but realistically not available, were dropped from the overall list of benefits of membership.  These include conference sponsorship listings, exhibit space at conferences, newsletter advertising etc.  Additionally, regardless of the number of company members who are registered members, each company will still have only one vote in CAOA business actions, which is also the case with airport members.  Lastly, registrations for company members at conferences will no longer be included in the membership fee.  Each person attending a CAOA conference will be required to pay an individual registration fee.

A discussion concerning the 2005 CAOA budget took place at this point, which is separately documented below.

Rex noted his recommendation concerning the adjustment of membership fees for airport members:

Commercial Service Airports over 100K enplanements – from $225.00 to $400.00 per year.
Commercial Service Airports less than 100K enplanements – from $225.00 to $300.00 per year.
GA Airports 100 based aircraft or more – from $225.00 to $300.00 per year.
GA Airports 50 – 99 based aircraft – remains at $100.00 per year.
GA Airports less than 50 based aircraft -  remains at $35.00 per year.

(Student memberships were not discussed, and will remain at $17.50 per year.  All airport memberships include the airport and one member.  Additional memberships will remain at $50.00 per person, except airport members with less than 50 based aircraft, which will remain at $35.00 per person.)

Ron Dent made a motion to approve the adjustment of membership fees for both corporate and airport members as recommended by Rex Tippetts.  The motion was seconded by Corrine Nystrom.  The motion passed unanimously.
 

VI.          New Business

a.      2005 Budget
(Although documented here, this item was discussed and approved as part of Item V. Unfinished Business above)

Rex reported on the proposed 2005 CAOA budget, and provided a line item by line item overview of the budget.  The budget provides for a deficit of $4,220.00, and does not provide any provisions for the budgeting of an Executive Secretary.  Conference Seed Money included $11,000.00, of which $10,000.00 was for the 2006 conference in Aspen.  This money however will be returned to the association in 2006.  Mike Reisman noted that if we were using an accrual basis of accounting, the Aspen seed money would not result in any budget deficit for 2005.  It is a bit skewed since we use a cash basis of accounting.  Rex further noted that he wants the budget to allow the Board officers to make decisions during the year concerning expenditures which do not require full board approval, as long as they are within the scope and available funds of the budget.  There was additional discussion by multiple members of the Board concerning the Aspen seed money’s affect on the budget. 

Corrine Nystrom noted that the Board has never discussed what the cash balance minimum of the association should be.  Rex noted that there have been years in which it was necessary to bill membership fees early in the year just to be able to keep operating.  Mike Reisman noted that the association really has no liabilities beyond current events, although it is typical to maintain several month’s worth of operating capital on hand as a minimum balance.  Mike noted in his opinion that the deficit due to the Aspen seed money is easily explainable, and should not be of concern in the budget since it will come back to us in 2006, and also since it will not serve to damage the association’s finances in 2005.  Corrine agreed.  Mike further noted that the need for an Executive Secretary, and the associated expense, should be the main justification for the proposed increase in membership fees.  Corrine and Rex agreed with this as well.  Mike also noted that if a minimum cash balance for the association was to be established at some point, he would suggest using $30,000.00 as the recommended minimum.  Rex commented that he would like to get to the point where the cash balance is increasing by several thousand dollars each year, but also does not want to just be banking a lot of money, instead of spending it on programs.  Ron suggested putting the Executive Secretary’s position into the budget.

Corrine Nystrom made a motion to place $5,000.00 in expenses for an Executive Secretary into the 2005 budget.  Ron Dent seconded the motion.  The motion passed unanimously.

Corrine Nystrom made a motion to approve the 2005 CAOA budget, with the amendment noted above.  Ron Dent seconded the motion.  The motion passed unanimously.

b.     2005 Legislative Reception
Rex reported that the Legislative Reception is tonight.  Thus far, we are expecting 23 legislators who RSVP’d, and a total of about 80 persons including association members.

c.      STMP
Rex and Corrine reported on the problems that certain Colorado airports, including theirs, have been having with the STMP’s.  The primary problem is that the fractional share companies are eating up all of the slot reservations at multiple airports on the same days just in case they need them.  If they are not used, they are not getting released, and subsequently other aircraft are not able to take advantage of them.  In Aspen, based tenants are not able to get back in when this happens.  This is likely to become a larger statewide issue over time, and the mountain airports will need to consider banding together to try and resolve these problems with the companies, and/or with air traffic control.

VII.          Board Meetings
April 4th, 2005
June 8th, 2005

VIII.   Adjournment
The meeting was adjourned.

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