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LOCK HAVEN -- Lock Haven City Council approved an agreement between the city and Airport Business Solutions to perform valuation services at the William T. Piper Memorial Airport.
The move comes after the Federal Aviation Administration (FAA) questioned the city's basis for its lease rates.
City Manager Gregory Wilson said when the city's airport advisory committee met with FAA representatives they "consistently remarked to the city that it could not be charging what it believed to be fair market value without a recent appraisal of the airport."
Wilson said this appraisal would be used for its lease rates for all city property, including hangar rentals.
The total cost for the service is estimated at $32,500 which will be pulled from the Airport Capital Projects reserves. Wilson said ABS estimates it can complete the appraisal in about 30 days.
Council member Steve Stevenson said he was impressed with ABS as a company, but did ask how long the quote was good for.
Wilson said it was submitted on Dec. 22 and lasted 30 days.
Initial talks about an airport appraisal began in late 2023, when a letter went out to renters at the airport and airport employees about the potential changes -- or even sale -- of the facility. At the time, Wilson's letter noted financial difficulties as to why it was taken into consideration.
Since then, concerned pilots and renters at the airport have come together to ensure the future of the airport.
There are plans for city officials to meet with this committee.
Stevenson questioned if the appraisal should be held off until staff can meet with the committee; and potential talks with the Clinton County Commissioners take place.
"Is there any validity to the thought of waiting until we meet with all the airport people? And possibly a presentation to the commissioners," he asked.
Council member Rick Conklin said, based on the FAA's questions, it seemed the appraisal needs completed regardless of what comes from the airport discussions.
"Considering the fact that the FAA questioned us on that while they were here, regardless of what happens with the airport, we need that number up front," Conklin said. "In my mind I think we need to move ahead with it."
Council member Barb Masorti, who serves on the airport committee, reaffirmed that the FAA questioned the appraisal more than once.
"It is for the FAA and it is for the purpose of setting rates. It is also for moving forward with discussions with that committee," she said.
Council unanimously approved moving forward with the appraisal.
In other airport related news, council heard from Allan Uhler. Uhler has attended previous council meetings to express his hope the city will work toward keeping the airport viable.
Uhler thanked council for approving a line item in its 2024 budget to purchase fuel at the airport.
"That's a very important step to maintaining the airport, maintaining the clientele which goes towards maintaining revenue," Uhler said.
However, he noted the amount was less than what is typically budgeted.
"One of our concerns is the amount allocated that was half of what was necessary to purchase fuel for the airport," he said.
Uhler encouraged council to consider putting airport fuel sale revenue in a separate line item.
"I request or encourage that the funds used for that are rolled over and managed in a retail sort of fashion," he said. "When you purchase the fuel, when that fuel is sold, put that money in a separate line item... hold that until the next batch of fuel needs to be purchased."
Uhler said, based on his calculations on the roughly $45,000 budgeted fuel purchase, the city could make between $52,000 and $54,000 in revenue.
Uhler also spoke about concerns he had regarding the solar field near the airport. He said it was suggested the land the solar field could be placed on was purchased separately from the airport, but noted the county tax records didn't reflect that. He noted he was planning to go to the county's deed office to do further research.
"I just don't want to see a bad situation occur and tangle things up even further," he said.
Uhler also requested that council allow him to present the research and findings he's made during the discussions surrounding the airport.
"I've been doing an awful lot of homework on the airport and putting together a lot of information," he said. "We are scheduling a couple of meetings coming up but I would like to suggest, if council is willing, I would love to give you a presentation on my findings."