PRESENTER: Presenter
Jeff Jewell, Economic and Community Development Director
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SUBJECT: Title
Presentation and discussion of a proposed project expenditure for the north ramp reconstruction at the New Braunfels National Airport
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DEPARTMENT: Economic and Community Development
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COUNCIL DISTRICTS IMPACTED: 2
BACKGROUND INFORMATION:
The New Braunfels National Airport has two primary aircraft parking facilities - the apron in front of the existing terminal building and the north side apron. The north side apron is in disrepair and TxDOT Aviation Division has identified its reconstruction as a critical project to undertake to support the airport’s continued growth. The primary improvement of the proposed project is the removal and replacement of most of the existing north apron pavement. Approximately 400 feet of the far west section of the north apron was reconstructed in 2011 with concrete pavement as part of a larger pavement improvements project and is not included in the scope of this project. The proposed north apron pavement will serve as the New Braunfels National Airport's largest aircraft parking apron with fuel facilities and most of the tenant spaces including multiple flight school operations, critical 24/7 air ambulance facilities, aviation-related businesses, corporate hangars, and T-hangars and shed hangars for smaller aircraft storage. The north apron also serves as the Airport's primary overflow parking apron, as the terminal apron frequently exceeds the space available for terminal operations. In addition to the proposed apron providing new and expanded services, the design of the apron will improve operational and safety challenges in the existing apron layout. The reconstruction of the north apron pavement will mitigate ongoing safety concerns about foreign object debris (FOD) from deteriorating pavement and provide the apron space and connectivity needed to facilitate important revenue-generating operations that support the growth of the New Braunfels National Airport. TxDOT Aviation identified this project in its 5 year capital improvement program and is providing funding for 90% of the project. The local sponsor is responsible for identifying the 10% match, which is estimated at $800,000.
The north ramp reconstruction project underwent preliminary engineering during the 2022-2023 and TxDOT is ready to submit the project for funding action by the Texas Transportation Commission but cannot proceed until it receives notice from the airport sponsor (City) that it has identified the 10% match funding.
The Airport is a self sustaining enterprise operation, meaning that the revenue generated by its business activities covers its expenses. While there is some ability to make a contribution to the 10% match, the airport has capital improvement needs that exceed its capacity to finance all of those identified needs. The last time the Airport requested the EDC consider financially supporting a project expenditure was in 2016 for extension of the corporate taxiway. The EDC provided up to $2.4 million to support that project, which was structured as a 50% grant and 50% loan. The loan terms provide a 10 year term and amortization and 3% interest payment, which the Airport has been repaying since 2021.
ISSUE:
The north side aircraft parking area, the north side apron, is in disrepair. TxDOT Aviation has identified its reconstruction as a critical project to undertake in order to support the airport’s continued growth.
FISCAL IMPACT:
The City is requesting the NBEDC support the project expenditure of up to $600,000 with the Airport Fund contributing $200,000 to the match.