Monday, September 10, 2007

reversing Robin Hood at the Clark County Airport

The Clark County Airport continues to be in the news-- for having revenue problems, but not wanting to increase revenues. And this is the case, even though the costs they impose on consumers of its services are below average or non-existent.

The most recent article in the C-J by Ben Zion Hershberg details a consultant's report.

The Clark County Airport's income is much lower than that of 10 similar Indiana airports even though Clark's is busier than most and has comparable facilities, according to a consultant's report.

Clark's income is low partly because the airport, unlike most of the others, has received no financial operating support from local taxpayers in recent years, the draft report said. It also said income lags because the airport doesn't charge a fee for fuel sales and gets much less rent from its tenants than other airports....

OK, taxpayer support or increasing user fees. Which should be the first source of revenue?

Bill Halter, chairman of the airport board, said that if the council would provide $30,000 "like they did in the past, it will get us over the hump."...

OK, we know what Bill thinks. Now, why does he think the same ol' same ol' will get them over the hump?

"Almost every airport gets fuel sales," Ross told the airport board at a meeting Thursday, referring to fees on fuel sales to pilots from flight-service companies at airports.

Such fees ranged from 5 cents to 15 cents a gallon at the comparable airports, Ross said, and the average was about 8 cents a gallon. Based on fuel sales by flight services at the Clark County Airport, such a fee could bring $67,000 a year, he said.

And Ross said that revising leases and lease rates for land at the airport could generate thousands more dollars. The lowest rate at the Clark airport -- about 5 cents a square foot -- is half what the lowest rates are at the other airports, the study said. The report estimated that an additional $40,000 a year could be generated based on the low end of the lease rates charged at other airports.

Ahh...some nice options for increasing revenues-- well above the amount Mr. Halter says he needs to get over the proverbial hump! How about we start with that instead of pinching taxpayers? How aggravating that some people would rather subsidize corporations and wealthy people instead of having them pay reasonable user fees!

1 Comments:

At September 11, 2007 at 8:40 PM , Blogger Debbie H. said...

John and I were scratching our heads over the idea that tax money was considered a form of income for the airport.

Huh?

 

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