COUNTY OF SAN MATEO

COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Public Works

DATE:

January 29, 2008

BOARD MEETING DATE:

February 12, 2008

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

James C. Porter, Director of Public Works

SUBJECT:

Revised Policies and Procedures for Hangars, T-Shades, Tiedowns and Waiting Lists at San Carlos and Half Moon Bay Airports and for Establishing Fees for the New Aircraft Storage Hangars and T-Shades at the San Carlos Airport

RECOMMENDATION:

Adopt a resolution:

1.

adopting the proposed revised “San Mateo County Airports Policies and Procedures for Hangars, T-Shades, Tiedowns and Waiting Lists” dated
February 13, 2008, as the policies and procedures to be followed by the Director of Public Works related to the management of aircraft storage hangars,
T-shades, tiedowns and waiting lists at the San Carlos and Half Moon Bay Airports;

2.

authorizing the Director of Public Works to implement said policies and procedures beginning February 13, 2008;

3.

establishing that the initial 45-day application period as specified in Sections II and III of said policies and procedures shall commence on February 13, 2008, and shall end on March 28, 2008;

4.

amending the fee schedule established June 30, 2006, for the use of facilities at the San Carlos and Half Moon Bay Airports such that for the San Carlos Airport the monthly rental fees for the new aircraft storage hangars shall be based on a square footage rate equal to 120% of the existing square footage rate for metal aircraft storage hangars and monthly rental fees for the new T-shade aircraft storage shall be $250 per month;

5.

establishing that the amended fees and revised policies remain in full force and effect until changed or modified by an action of your Board.

VISION ALIGNMENT:

Commitment: Responsive, effective and collaborative government.

Goal 20: Government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain.

The proposed policies establish a fair method of allowing persons to compete for the relatively limited hangar space available at the County-owned airports, and appropriate fee schedules allow the County Airports to continue to be economically self-sufficient.

BACKGROUND:

PREVIOUS BOARD ACTION:

1.

Adopted Resolution No. 64600 on July 24, 2001, establishing revised policies for the storage of airworthy and non-airworthy aircraft at the County Airports.

2.

Adopted Resolution No. 65155 on April 2, 2002, establishing hangar, tiedown and waiting list policies and procedures at the County Airports.

3.

Adopted Resolution No. 68089 on June 20, 2006, establishing the schedule of fees for use of facilities at the San Carlos and Half Moon Bay Airports.

4.

Adopted Resolution No. 68931 on August 14, 2007, awarding the contract for the construction of aircraft storage hangars and T-shades at the San Carlos Airport.

HISTORY:

The existing Hangar/Tiedown Waiting List Policies and Procedures and Airworthy and Non-Airworthy Aircraft Policies were established by your Board in 2002 and 2001 respectively to ensure the fair and orderly assignment of hangars and tiedowns at the County Airports. These policies and procedures have been effective in substantially reducing the wait for hangars and deterring “sub-rosa” sublets of County hangars. However, they do not include provisions for the assignment of the 45 new hangars and 29 new T-shades currently under construction at the San Carlos Airport or criteria for establishing the new waiting lists.

DISCUSSION:

We are recommending that your Board adopt the proposed revised policies and procedures to be effective February 13, 2008, which include:

Ø

combining the existing policies and procedures into one document for simplicity;

Ø

provisions for the assignment of the new aircraft storage hangars and T-shades currently under construction at the San Carlos Airport;

Ø

establishing criteria for new hangar and T-shade waiting lists;

Ø

eliminating the airworthy aircraft documentation requirements for tenants of Port-a-Port hangars at the Half Moon Bay Airport, as there is no waiting list for these hangars;

Ø

requiring the owner of an aircraft registered to an LLC, partnership or corporation to provide specific documentation that they personally own a minimum pro-rata share of at least 20% of the aircraft in order to qualify for a County hangar; and

Ø

requiring account permittees to be the sole point of contact for their account to further deter “sub-rosa” sublets of County hangars.

Additionally, we are proposing that your Board amend the airport fee schedule to establish the initial monthly rental fees for the new aircraft storage hangars based on a square footage rate equal to 120% of the existing square foot rate for metal hangar buildings at San Carlos Airport; and the rental fee for the new T-shade spaces at
$250 per month. Rental rates will be adjusted in the future as airport fee schedules are amended by your Board.

The revisions to the proposed policies and procedures were developed with input from hangar and tiedown tenants, airport pilot associations and waiting list applicants.

The resolution has been approved as to form by County Counsel.

FISCAL IMPACT:

We estimate the proposed fees for the new aircraft storage hangars and T-shades will generate an additional $395,000 to the Airport Fund during their first year. These revenues will be used to offset the annual $380,000 loan payment to the State Department of Transportation for the 15-year, $4,000,000 loan which was acquired to finance the project.

There is no impact to the General Fund.



COUNTY OF SAN MATEO Inter-Departmental Correspondence
Department of Public Works

DATE:			January 29, 2008
BOARD MEETING DATE:			February 12, 2008
SPECIAL NOTICE/HEARING:			None
VOTE REQUIRED:			Majority

TO:		Honorable Board of Supervisors
FROM:		James C. Porter, Director of Public Works
SUBJECT:		Revised Policies and Procedures for Hangars, T-Shades, Tiedowns and Waiting Lists at San Carlos and Half Moon Bay Airports and for Establishing Fees for the New Aircraft Storage Hangars and T-Shades at the San Carlos Airport

RECOMMENDATION:
Adopt a resolution:

1.	adopting the proposed revised “San Mateo County Airports Policies and Procedures for Hangars, T-Shades, Tiedowns and Waiting Lists” dated February 13, 2008, as the policies and procedures to be followed by the Director of Public Works related to the management of aircraft storage hangars, T-shades, tiedowns and waiting lists at the San Carlos and Half Moon Bay Airports;

2.	authorizing the Director of Public Works to implement said policies and procedures beginning February 13, 2008;

3.	establishing that the initial 45-day application period as specified in Sections II and III of said policies and procedures shall commence on February 13, 2008, and shall end on March 28, 2008;

4.	amending the fee schedule established June 30, 2006, for the use of facilities at the San Carlos and Half Moon Bay Airports such that for the San Carlos Airport the monthly rental fees for the new aircraft storage hangars shall be based on a square footage rate equal to 120% of the existing square footage rate for metal aircraft storage hangars and monthly rental fees for the new T-shade aircraft storage shall be $250 per month;

5.	establishing that the amended fees and revised policies remain in full force and effect until changed or modified by an action of your Board.

VISION ALIGNMENT:
Commitment: Responsive, effective and collaborative government.
Goal 20: Government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain.

The proposed policies establish a fair method of allowing persons to compete for the relatively limited hangar space available at the County-owned airports, and appropriate fee schedules allow the County Airports to continue to be economically self-sufficient.

BACKGROUND:
PREVIOUS BOARD ACTION:
1.	Adopted Resolution No. 64600 on July 24, 2001, establishing revised policies for the storage of airworthy and non-airworthy aircraft at the County Airports.

2.	Adopted Resolution No. 65155 on April 2, 2002, establishing hangar, tiedown and waiting list policies and procedures at the County Airports.

3.	Adopted Resolution No. 68089 on June 20, 2006, establishing the schedule of fees for use of facilities at the San Carlos and Half Moon Bay Airports.

4.	Adopted Resolution No. 68931 on August 14, 2007, awarding the contract for the construction of aircraft storage hangars and T-shades at the San Carlos Airport.

HISTORY:
The existing Hangar/Tiedown Waiting List Policies and Procedures and Airworthy and Non-Airworthy Aircraft Policies were established by your Board in 2002 and 2001 respectively to ensure the fair and orderly assignment of hangars and tiedowns at the County Airports. These policies and procedures have been effective in substantially reducing the wait for hangars and deterring “sub-rosa” sublets of County hangars. However, they do not include provisions for the assignment of the 45 new hangars and 29 new T-shades currently under construction at the San Carlos Airport or criteria for establishing the new waiting lists.

DISCUSSION:
We are recommending that your Board adopt the proposed revised policies and procedures to be effective February 13, 2008, which include:

Ø	combining the existing policies and procedures into one document for simplicity;

Ø	provisions for the assignment of the new aircraft storage hangars and T-shades currently under construction at the San Carlos Airport;

Ø	establishing criteria for new hangar and T-shade waiting lists;

Ø	eliminating the airworthy aircraft documentation requirements for tenants of Port-a-Port hangars at the Half Moon Bay Airport, as there is no waiting list for these hangars;

Ø	requiring the owner of an aircraft registered to an LLC, partnership or corporation to provide specific documentation that they personally own a minimum pro-rata share of at least 20% of the aircraft in order to qualify for a County hangar; and

Ø	requiring account permittees to be the sole point of contact for their account to further deter “sub-rosa” sublets of County hangars.

Additionally, we are proposing that your Board amend the airport fee schedule to establish the initial monthly rental fees for the new aircraft storage hangars based on a square footage rate equal to 120% of the existing square foot rate for metal hangar buildings at San Carlos Airport; and the rental fee for the new T-shade spaces at $250 per month. Rental rates will be adjusted in the future as airport fee schedules are amended by your Board.

The revisions to the proposed policies and procedures were developed with input from hangar and tiedown tenants, airport pilot associations and waiting list applicants.

The resolution has been approved as to form by County Counsel.

FISCAL IMPACT:
We estimate the proposed fees for the new aircraft storage hangars and T-shades will generate an additional $395,000 to the Airport Fund during their first year. These revenues will be used to offset the annual $380,000 loan payment to the State Department of Transportation for the 15-year, $4,000,000 loan which was acquired to finance the project.

There is no impact to the General Fund.