The Board Meet­ing of the Pana­ma City-Bay Coun­ty Air­port and Indus­tri­al Dis­trict was called to order at 9:00 a.m., Sep­tem­ber 27, 2023 by Chair Hol­ly Melzer. 

The Invo­ca­tion was giv­en by Vice Chair Sheldon.

The Pledge of Alle­giance was led by Chair Melzer.

Roll was called. In atten­dance were: Ms. Vic­to­ria Williams, Mr. Matt Algar­in, Mr. Will Cramer, Vice Chair Mark Shel­don and Chair Hol­ly Melzer.

Chair Melz­er asked if there were any Pub­lic Com­ments. There were no Pub­lic Comments. 

Chair Melz­er asked if there were any items on the Agen­da, includ­ing the Con­sent Agen­da, that any Board Mem­ber would like to move to a Busi­ness Item for fur­ther dis­cus­sion, and if not, to make a motion to accept the Agenda.

Ms. Vic­to­ria Williams made a motion to accept the Agen­da, and Mr. Will Cramer sec­ond­ed the motion. The vote was tak­en and the motion passed unanimously.


Mr. Park­er McClel­lan pre­sent­ed the Activ­i­ty Reports. The Air­port pas­sen­ger traf­fic is up for August, approx­i­mate­ly 8%. The load fac­tors con­tin­ue to be good. Based on our present tra­jec­to­ry, this could end up being the Airport’s biggest year. The Air­port con­tin­ues to do well region­al­ly with approx­i­mate­ly 23% of the Mar­ket Share.

Ms. Dar­lene Gor­don pre­sent­ed the Finan­cial Reports for the first 11 months of the Fis­cal Year end­ing August 31, 2023. In the month of August, total cash increased $967,000 over July. Com­pared to last year, cash increased $7.3 mil­lion for a total bal­ance of $44.4 mil­lion. Of that num­ber, unre­strict­ed cash is $31.2 mil­lion and restrict­ed cash is $13.2 mil­lion. In August of 2023, total lia­bil­i­ties increased $648,000 due to project and con­struc­tion costs. Last week, the Air­port paid the debt ser­vice pay­ment in the amount of $2.6 mil­lion and a grant request has been sub­mit­ted for reim­burse­ment of those funds. Excess rev­enues over expen­di­tures to date are $17.8 mil­lion. Oper­at­ing Rev­enues account for $9.7 mil­lion with Non-Oper­at­ing Rev­enues mak­ing up the remain­ing $8.1 mil­lion. Oper­at­ing Rev­enues to date are $19.5 mil­lion and exceed bud­get by $2.4 mil­lion, which is 114% of bud­get. The Ter­mi­nal Com­plex Rev­enues con­tin­ue to exceed bud­get by $1.6 mil­lion. Over­all, the Total Oper­at­ing Expens­es are $883,000 under budget. 

The Audit RFP clos­es today at 2:00 p.m., and there is an Audit Com­mit­tee Meet­ing on Mon­day at 3:00 p.m., with an Eval­u­a­tion and Scor­ing overview meet­ing on Octo­ber 16 at 2:30 p.m. and we will bring scor­ing results to the Board at next month’s meeting. 

This will be the last finan­cial pre­sen­ta­tion for 2023, as we pre­pare for the Audit and close out FY23.

Con­sent Agenda:

a. Approve Audit Com­mit­tee Min­utes – August 212023

This Item pro­vides for Board approval of the August 21, 2023 Audit Com­mit­tee Meet­ing Minutes.

b. Approve Board Meet­ing Min­utes – August 232023

This Item pro­vides for Board approval of the August 23, 2023 Board Meet­ing Minutes.

c. Approve Board Meet­ing Min­utes – Sep­tem­ber 82023

This Item pro­vides for Board approval of the Sep­tem­ber 8, 2023 Board Meet­ing Minutes

d. Approval to Dis­pose of Sur­plus Property

This item pro­vides for the Board’s autho­riza­tion for the sale and/​or dis­pos­al of sur­plus inven­to­ry items.

It has been deter­mined by Staff that the fol­low­ing items are no longer need­ed to sup­port the oper­a­tion of the Air­port and should be declared surplus:

2006 E‑One, 1,500 Gal­lon ARFF vehi­cle. Vehi­cle replaced in 2023 under 2021 FAA Grant

2013 Ford F150. Vehi­cle replaced in 2022

• Mis­cel­la­neous Computer/​IT Equip­ment (Replaced in 2022/2023)

• Grasshop­per 930D Zero Turn Mower

• Mis­cel­la­neous Restau­rant Equip­ment. Equip­ment replaced by Air­port Concessionaire

Staff is seek­ing approval to dis­pose of the sur­plus prop­er­ty. In the past, Staff has uti­lized Gov​Deals​.com and intends to con­tin­ue to uti­lize for these and oth­er items.

The FY24 Oper­at­ing and Cap­i­tal Improve­ment Bud­get will be pos­i­tive­ly impact­ed by pro­ceeds gained from the sale of these items. 

Board autho­riza­tion is request­ed to dis­pose of the list­ed items as sur­plus prop­er­ty, to sell by elec­tron­ic auc­tion or dis­pose of as appropriate.

Vice Chair Shel­don made a motion to accept the Con­sent Agen­da, and Mr. Will Cramer sec­ond­ed the motion. The vote was tak­en and the motion passed unanimously.

Busi­ness Items:

a. Approve and Adopt Res­o­lu­tion for FY24 Oper­at­ing and Cap­i­tal Budget

Mr. McClel­lan and Ms. Gor­don pre­sent­ed a brief overview of the FY24 Oper­at­ing & Cap­i­tal Bud­get to the Board for approval and adop­tion. Mr. McClel­lan explained that since the Board Bud­get Work­shop, a 5% adjust­ment to the Rev­enue Bud­get was made based on input from the Board. Ms. Gor­don report­ed that for FY24 the Air­lines have pro­ject­ed a 26.8% increase in Pas­sen­ger Num­bers as well as an expect­ed increase in Land­ing Weights of 24.9%. The Air­lines have report­ed an 8% increase over the pro­ject­ed pas­sen­ger num­bers for this year. 

The FY 2024 Oper­at­ing & Cap­i­tal Bud­get includes oper­at­ing rev­enues of $21,932,505 and oper­at­ing expens­es of $13,153,230. The bud­get incor­po­rates the debt ser­vice require­ments for prin­ci­pal and inter­est pay­ments of $2,614,217 for the two SIB loans, which is off­set with fund­ing from pas­sen­ger facil­i­ty charges of $1,359,393 and COVID-19 grant funds of $1,254,824. Also includ­ed is the use of COVID-19 grant funds for $970,000 of oper­at­ing expens­es and $3,842,250 for cap­i­tal expenditures.

The FY 2024 Oper­at­ing & Cap­i­tal Bud­get was pre­sent­ed to the sig­na­to­ry air car­ri­ers and dis­cussed at the Air­line-Air­port Affairs Com­mit­tee Meet­ing on August 9, 2023. The air car­ri­ers reviewed the Rates and Charges cal­cu­la­tions for FY 2024 along with the pro­posed Oper­at­ing & Cap­i­tal Bud­get. The air­lines were recep­tive to the Bud­get pre­sen­ta­tion and had no objections. 

The Board Bud­get Work­shop was held on Sep­tem­ber 8, 2023 and the pro­posed Bud­get was reviewed in detail. It should be not­ed the land­ing fee rate and CPE pre­sent­ed at the Work­shop have changed due to the fol­low­ing rea­sons: adjust­ments were made to increase non-air­line rev­enues based on pro­ject­ed pas­sen­ger activ­i­ty, which result­ed in a low­er CPE than pre­sent­ed; the addi­tion of a stormwa­ter mas­ter plan to cap­i­tal projects, result­ing in an increase to the land­ing fee rate; and a reduc­tion in the bud­get­ed amount for one eco­nom­ic devel­op­ment project. 

The high­lights of the bud­get include:

• Over­all rev­enues increased by $3,307,986, or 17.8%, over the FY 2023 Bud­get due pri­mar­i­ly to increased ter­mi­nal con­ces­sions, increas­es in air­line land­ing fees and ter­mi­nal rents, increased inter­est earn­ings, high­er rental car con­ces­sion fees, and increased park­ing revenues;

• Per­son­nel costs increased by $826,193, or 13.3%, over FY 2023 Bud­get, and includes the addi­tion of four new full-time and eight new part-time posi­tions. Also includ­ed is an increase to base pay of 5.0% to all employees;

• Total oper­at­ing expens­es bud­get­ed reflect a $1,362,840, or 11.6%, increase from the pri­or year’s bud­get; and

• Rates and Charges are as follows:

 Ter­mi­nal Rental Rate increased from $64.52 to $64.86 per square foot

 Land­ing Fee decreased from $4.86 to $4.39 per 1,000 pounds

 Sig­na­to­ry Cost per Enplane­ment increased from $5.75 to $6.47

Approval of the pro­posed bud­get pre­sent­ed will also include autho­riza­tion for the following:

• Cap­i­tal Equip­ment Schedule 

• Cap­i­tal Projects Schedule

• Staffing Lev­els and Pay Range Adjustments

• Renew­al of Prop­er­ty and Casu­al­ty Insurance

• An increase in the hourly attor­ney rate from $200 to $250 per hour 

• Main­tain­ing the fuel flowage fee at $.04 per gallon

• T‑Hangar rental rate for new tenants:

 Small — $489.28

 Medi­um — $661.15

 Large – $914.76

• Land Rental rate of $0.41 per square foot

The FY 2024 Oper­at­ing & Cap­i­tal Bud­get con­tains a 17.8% increase in oper­at­ing rev­enues over the FY 2023 Bud­get and an 11.6% increase in oper­at­ing expens­es for the same peri­od. This Bud­get pro­duces $8,779,275 in net remain­ing rev­enues avail­able pri­or to rev­enue sharing. 

Staff rec­om­mends approval and adop­tion of the FY 2024 Oper­at­ing & Cap­i­tal Bud­get as presented.

Mr. Will Cramer made a motion to approve and adopt the Res­o­lu­tion for the FY24 Oper­at­ing and Cap­i­tal Bud­get, and Ms. Vic­to­ria Williams sec­ond­ed the motion. The vote was tak­en and the motion passed unanimously.

b. Approve Pur­chase of Air­port Mobile Pas­sen­ger Stair­way (Air Stairs)

Mr. Richard McConnell explained the need for the pur­chase of an Air­port Mobile Pas­sen­ger Stair­way. This item pro­vides for Board approval for the pur­chase of a mobile pas­sen­ger stair­way to be used in sup­port of Air­port operations. 

Ongo­ing and expand­ed oper­a­tions at the Air­port make it increas­ing­ly impor­tant to main­tain the abil­i­ty and resources capa­ble of mit­i­gat­ing irreg­u­lar and emer­gency type oper­a­tions in a time­ly man­ner to avoid extend­ed delays and shut­downs. In rec­og­niz­ing the need to be capa­ble of enplan­ing and deplan­ing pas­sen­gers from non-ter­mi­nal loca­tions on the air­field, the Air­port includ­ed in its 2023 FDOT grant request a high­ly-spe­cial­ized mobile pas­sen­ger stair­way to be used in sup­port of irreg­u­lar and emer­gency oper­a­tions on the Airport.

On July 21, 2023, an Invi­ta­tion for Bid” was pub­licly adver­tised on Demand­Star and called for a Air­port Mobile Pas­sen­ger Stair­way” as pro­vid­ed for in asso­ci­at­ed spec­i­fi­ca­tions. At bid open­ing on August 22, 2023, one respon­sive bid was received from Sti­nar, LLC.

This pur­chase is pro­vid­ed for in the Airport’s FY24 Oper­at­ing and Cap­i­tal Bud­get. The pur­chase is part of Flori­da Depart­ment of Trans­porta­tion Pub­lic Trans­porta­tion Grant Agree­ment #428363 – 994 – 01 in which fifty (50) per­cent of the pur­chase amount will be reim­bursed to the Airport. 

Staff rec­om­mends Board accep­tance for pur­chase of an Air­port Mobile Pas­sen­ger Stair­way from Sti­nar, LLC, in amount of $200,770.

Vice Chair Shel­don made a motion to approve the pur­chase of Air­port Mobile Pas­sen­ger Stair­way (Air Stairs), and Mr. Will Cramer sec­ond­ed the motion. The vote was tak­en and the motion passed unanimously.

Con­struc­tion Update (infor­ma­tion only):

a. Park­ing Lot Expansion

Legal Coun­sel con­sid­ered the Board’s con­cerns about the delays of this project and any con­trac­tu­al options that need to take place to expe­dite the project to move for­ward. Cer­ti­fied let­ters have been sent to White­sell-Green indi­cat­ing that liq­ui­dat­ed dam­ages will begin on Sep­tem­ber 15, 2023, in the amount of $440 per day. The project has start­ed mov­ing for­ward. Mr. McClel­lan said that the Over­flow Lot, referred to as Long Term Lot 2, will open at 10:00 a.m. this morn­ing. Mr. McConnell report­ed that the Lot is com­plete and has been turned over to Reef Park­ing and they are run­ning final tests on the cred­it card capa­bil­i­ties. As soon as they are cleared the lot can open. It is a self-use lot that only accepts cred­it cards for pay­ment. When a cus­tomer enters Long Term Lot 2, a remote move­ment sen­sor alerts the Toll Booth to dis­patch a shut­tle to the lot. Reef Park­ing has sched­uled a reg­u­lar shut­tle to the lot, and the Air­port has pur­chased two shut­tles to assist dur­ing high traf­fic times, as well as when the lot is full and over­flow park­ing is being utilized. 

The last phase of the project has already begun which includes the Employ­ee Park­ing Lot and the exist­ing Long-Term Lot. Fifty exist­ing spaces on the back of the lot will be tak­en out to allow for con­struc­tion, but 110 spaces will be added with the expan­sion of this lot. 

b. Ter­mi­nal Buildout

This project is mov­ing along quick­ly. Inte­ri­or fix­tures, the fire sys­tem, elec­tri­cal and HVAC are all being installed. The bag­gage ser­vices offices for South­west, Unit­ed Air­lines and Huntleigh are being tem­porar­i­ly relo­cat­ed so that foun­da­tion­al work can be done in the areas of the old offices. Once the work is com­plet­ed, the offices will move back to their orig­i­nal loca­tion. The project is now mov­ing into the exit lane and it will be tak­en out of ser­vice until the end of Jan­u­ary so that the sec­ond-floor con­struc­tion can begin. Ms. Lori Bates and Ms. Car­olyne Danzey of Lori Bates Design pre­sent­ed the col­ors and fin­ish­es of the design con­cepts for the new space as well as ideas to update the exist­ing space to allow for an updat­ed tran­si­tion into the new expan­sion space. These fin­ish­es would be for the floor­ing, walls, car­pet, coun­ters and restroom areas and involve many col­ors and tex­tures com­pli­men­ta­ry to the spaces.

c. Bag Make­up Expansion

Mr. McConnell updat­ed that all of the issues with the util­i­ties have been resolved for this project and the under­ground util­i­ties have been installed. Com­paction tests will be done this week and con­crete framers are start­ing next week to frame and begin work­ing on the foun­da­tion. All of the equip­ment and work on this project is mov­ing along quick­ly and is now on sched­ule and expect­ed to fin­ish on time. 

d. South­ern Sky Aviation

South­ern Sky has com­plet­ed com­paction and is prepar­ing for asphalt, paving, and stormwa­ter prepa­ra­tion. One hangar is near­ing com­ple­tion and steel has been erect­ed and fram­ing put in on the oth­er hangar. The Exec­u­tive Ter­mi­nal is mov­ing along and is ahead of schedule. 

e. Sheltair

Sheltair is still work­ing on their hangar with a few delays. The offices on the back of Hangar 2 are near­ly completed. 

Plan­ning Update (infor­ma­tion only):

a. North Ter­mi­nal Expansion:

North Ter­mi­nal Design – Mr. David Scrug­gs pro­vid­ed a writ­ten update of the North Ter­mi­nal Project along with sched­ules of com­ple­tion and received ques­tions from the Board. 

Bay EDA Update (Infor­ma­tion Only):

Mr. Ben Moor­man gave the Bay EDA update. They were able to announce the suc­cess­ful acqui­si­tion of Project Maple which is Pre­mier Avi­a­tion USA Over­haul Ser­vices. Pre­mier Avi­a­tion will be locat­ed on a site adja­cent to Sheltair and will be build­ing a 100,000 sf. hangar and office space bring­ing $32.5 mil­lion in cap­i­tal invest­ment. He thanked every­one for their par­tic­i­pa­tion in help­ing to get this project to Bay Coun­ty. He also announced that we were not cho­sen as the final site for Project Stam­per. They have select­ed a site in Day­ton, Ohio. He thanked every­one involved in those efforts. Ms. Bec­ca Hardin is in Wash­ing­ton, D.C. meet­ing with avi­a­tion aero­space com­pa­nies. In Octo­ber they will be attend­ing MRO Amer­i­c­as in Amsterdam. 

The Moore Agency Update (Infor­ma­tion Only):

Ms. Jor­dan Jacobs and Ms. Katie Spill­man of The Moore Agency report­ed on mar­ket­ing. They pre­sent­ed ideas to the Board that could enhance the pas­sen­ger expe­ri­ence in the Air­port. The short-term rec­om­men­da­tions were: ECP Perks such as ECP brand­ed cook­ies, bag tags and a pop­corn cart. They dis­cussed a Junior Fly­er Zone” for chil­dren with col­or­ing books and crafts, stick­ers for ECP Staff to hand out to chil­dren, and an Art Run­way” to dis­play chil­drens’ art. They sug­gest­ed extend­ing the ECP Wheel’s Up Sum­mer Music Series” into August. They also pro­posed hav­ing an ECP Mer­ry Music Series”, or invit­ing school choirs to sing in the Ter­mi­nal dur­ing the hol­i­days. Some Mid-Range ideas were a Spin to Win” Con­test to give away prizes to pas­sen­gers, launch­ing an AI Chat­Bot for pas­sen­gers to ask ques­tions via Wi-Fi, an Ani­mal Ther­a­py Pro­gram and an onsite incen­tivized pas­sen­ger sur­vey to gath­er data to bet­ter assist pas­sen­gers and also research for future use. Longer term ideas were to have the ECP park­ing lot shut­tles cus­tom brand wrapped and hold­ing a con­test on social media to come up with names for the shut­tles. Also, mak­ing the shut­tles more fun with sea­son­al dec­o­ra­tions and music. Rec­og­niz­ing and cel­e­brat­ing key obser­vances through­out the cal­en­dar year such as World Pilots Day” or Nation­al Tourism Day”, as well as ECP Staff by doing spe­cial hand­outs, such as can­dy bars or cook­ies on those days. Last­ly, future ideas were adding some­thing icon­ic at the air­port such as an art instal­la­tion or an ECP Loy­al­ty Lounge. A dis­cus­sion about bud­get and details for the ideas followed. 

Exec­u­tive Direc­tor Report:

Mr. McClel­lan intro­duced Jeff Switzer, Pres­i­dent of Tail­wind Con­ces­sions, which oper­ates the gift shop in the Air­port. Mr. Switzer spoke briefly about the new remod­el and the addi­tion of new prod­ucts in their store. He said that they hope to increase rev­enue for the Air­port and want to serve the pas­sen­gers bet­ter. He said that they are try­ing to bet­ter pro­mote our area with the prod­ucts that they sell. He said that he wel­comes any col­lab­o­ra­tion from the Board or Direc­tor. He offered to assist with the pas­sen­ger sur­vey or any­thing else that they are able to help. 

Mr. McClel­lan and Mr. Cramer met with Bay Coun­ty Com­mis­sion­er Mr. Doug Moore and Mr. Bob Maj­ka, Coun­ty Man­ag­er of Bay Coun­ty last week. They are try­ing to find a way to pro­vide EMT and Fire Ser­vices to the West Bay area tem­porar­i­ly. It was pro­posed that they could pro­vide two staff capa­ble of respond­ing to emer­gen­cies at ECP if need­ed, and the Air­port would pro­vide space to house an Advanced Life Sup­port (ALS) Engine and two per­son­nel. The con­cept will be reviewed by Legal Coun­sel before any deci­sions or plans are made and will be pre­sent­ed to the Board at a lat­er time. 

Mr. McClel­lan reviewed an email com­plaint sent to the Board from an employ­ee about hav­ing to park in the Over­flow Lot. He explained the process with the dis­count­ed park­ing areas and the pro­ce­dures tak­en when the lots are full. He stressed that Air­port employ­ees should have pri­or­i­ty park­ing in these spaces due to hav­ing to work onsite every day. He believes that when the park­ing expan­sion is com­plete it will help alle­vi­ate some of the park­ing shortage. 

In con­clu­sion, he thanked the Board on behalf of the staff for approv­ing a 5% annu­al raise with­in the FY24 Budget. 

Pub­lic Comments:

There were no Pub­lic Comments.


The meet­ing was adjourned at approx­i­mate­ly 10:50 a.m.

Next meet­ing scheduled: 

Octo­ber 25, 2023 – Board Meet­ing 9:00 a.m.

_________________________________ ________________________________

Lisa Brady, Exec­u­tive Assis­tant Hol­ly Melz­er, Chair