Guidebook for Developing General Aviation Airport Business Plans (2012)

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94 CHAPTER 7 ORGANIZATION 7.1 Introduction 7.2 Ownership 7.3 Governance 7.4 Management 7.5 Wrap-Up 7.6 Worksheet 7.1 INTRODUCTION The United States has one of the most robust airport systems in the world. It also has many diverse forms of airport ownership, governance, and management. An airport can be owned by a private or public entity and governed or managed by the owner or another public or private entity. Governing bodies have diverse powers, and advisory bodies can play an important role as well. The airport sponsor—typically the airport owner—assumes numerous obligations when accepting federal or state funding. In this chapter, the various forms of airport ownership, governance, and management will be discussed, along with the roles, powers, and responsibilities of airport sponsors, governing bodies, and managers. The airport manager knew that the airport’s ownership, governance, and management structure needed to be considered during the business planning process. After all, it would not make sense to spend time establishing a goal that could not be achieved within the existing structure. As the airport manager thought more about the process, it became apparent that the structure and the roles and responsibilities of the City, the Council, and airport management and staff needed to be clearly understood by the planning team. In particular, discussion regarding authority or power, obligations, limitations, restrictions, or prohibitions would be helpful, because an understanding of each of these areas would be essential to the process. An airport may be operated under restrictive powers that may impede or prevent achieving a goal, accomplishing an objective, or completing an action plan. Under those circumstances, it may be necessary to consider changing the ownership, governance, or management structure which, in turn, may result in a more balanced approach to airport management and a better platform for pursuing opportunities. For example, it would not make sense to establish a goal wherein the airport sponsor would control the use of land surrounding the airport if the airport sponsor lacked the statutory authority to do so.

Organization 95 Only those portions of this chapter relevant to achieving the goals established for the airport need to be consulted. When examining the relevant areas, the planning team should look for opportunities to develop objectives that will help achieve the goals. Each goal can have multiple objectives. 7.2 OWNERSHIP FORMS According to the 2011 FAA National Plan of Integrated Airport Systems (NPIAS), there are 19,734 landing fields in the United States owned by public and private entities. Although most airports in the United States are privately owned and unavailable for public use, 5,179 airports are available for public use and enjoyment (see Figure 7-1). An important distinction between public and private is that all publicly owned airports are available for public use while only certain private airports are available for public use. Figure 7-1: United States Landing Fields SO U RC E: FAA NPIAS A S O F JUL Y 1, 2011 When formulating goals, objectives, and action plans for the airport, airport managers and policymakers need to be familiar with the governance and powers associated with the airport’s ownership form, as set forth in the enabling state statutes or constitution. Legal forms of privately owned airports include sole proprietorships, partnerships, limited liability companies, and corporations. Most often, though not always, privately owned airports are smaller and less active. Conversely, publicly owned airports are generally larger and have more based aircraft and more aircraft operations. In many Total 19,734 Public Use 5,179 Publicly Owned 4,247 Privately Owned 932 Private Use 14,555 This chapter will also examine organizational structures; discuss systems, policies, and compliance; and explore the functional relationships among policymakers, airport management, and airport staff. cases, this is a direct result of the public ownership of the airport and the ability of the airport sponsor to obtain

96 Guidebook for Developing General Aviation Airport Business Plans Although forms of public airport ownership are varied, there are two broad categories or classifications—general purpose and special purpose. General-purpose governments are typically composed of municipalities (e.g., cities, towns, townships, and villages), counties, federal or state entities, or combinations thereof. Municipalities account for the largest percentage of publicly owned airport facilities, followed by counties (ACRP Legal Research Digest 7, 2009). Special-purpose governments are enabled by states to own and operate single or limited government assets including airports (e.g., authorities and districts). Although some industry observers claim that this structure allows special-purpose airports to be more efficient, evidence to-date is not conclusive in this regard (ACRP Legal Research Digest 7, 2009). POWERS Public airport sponsors obtain a wide array of powers from enabling state statutes or constitutions. The powers for general-purpose governments can be broader than those for special-purpose governments. ACRP Legal Research Digest 7: Airport Governance and Ownership examined enabling statutes across the United States to identify powers typically associated with the various forms of airport ownership. In addition, the digest also identified the powers that airport sponsors may want to have or must have in order to develop, operate, and manage an airport. • Desirable powers include the ability to o Acquire property by condemnation or eminent domain o Control land uses beyond airport boundaries o Control liability exposure (e.g., tort, inverse condemnation, and federal antitrust) o Control management, employee hiring, and salaries o Mitigate environmental effects o Maximize aeronautical and non-aeronautical revenues o Market the airport o Adapt to changed circumstances o Delegate or transfer power • Needed powers include the ability to o Construct, maintain, and repair infrastructure o Generate revenue o Obtain financing and incur debt for development and operations o Regulate operations, tenants, and users A municipality could contract with another public or private entity to oversee or govern an airport. A municipality might grant another entity limited or complete control of an airport (with exception of the FAA obligations that must remain with the airport sponsor) depending on statutory requirements and the terms and conditions of the agreement among the parties. A municipality, county, state or state entity (such as a university or college) may subsidize the costs of an airport with general revenues, including tax revenues. Special-purpose governments may lack such power. o Provide a safe, secure, and efficient facility public funding to develop or enhance the airport’s infrastructure. While acknowledging the importance of privately owned airports within the national airport system, this Guidebook is directed toward airport managers and policymakers at publicly owned airports. The planning team must identify the airport sponsor’s powers during the early stages of the development process because this can have a direct effect on the formulation of goals, objectives, and action plans for the airport.

Organization 97 o Hire staff, execute contracts, lease property, and perform similar administrative functions o Acquire and dispose of property o Sue and be sued Understanding the powers available to the airport sponsor will help guide the airport business planning process. State statutes may identify additional responsibilities for airport sponsors. From an airport business planning perspective, these responsibilities may require increased airport staffing and/or necessitate the procurement of outside services, both of which would affect the budget. Understanding the ownership and governance structure and associated powers is essential to the business planning process because this knowledge will (1) provide a framework for developing and implementing an airport business plan and (2) help the planning team formulate goals, objectives, and action plans for the airport. RESPONSIBILITIES Regardless of the airport’s ownership form, the principal responsibility of the airport sponsor is to operate and manage a safe, secure, and efficient airport. This requires a commitment to develop and implement policies and systems to achieve this purpose. It is important to be reminded of this responsibility because the composition and leadership of the airport’s governing body will likely change over time. One way to ensure that this responsibility remains a top priority is to incorporate this responsibility into the airport’s mission and vision statements. Each of these elements is discussed in detail in Chapter 4. Beyond this principal responsibility, the airport must be operated and managed in accordance with applicable regulatory measures, for the benefit of all users, and in the most cost-effective manner possible. In addition, airport managers and policymakers are accountable to the public, and stakeholders expect full transparency and open communications. If desired, these responsibilities can be incorporated into the mission, vision, values, or goals of the airport. 7.3 GOVERNANCE STRUCTURE In most cases, the ownership entity’s governing body oversees the airport. In the case of municipally owned airports, oversight is typically provided by the city/town council/board. County-owned airports are usually overseen by a board of supervisors or county commissioners. Airport authorities are typically overseen by a board of commissioners. Because governments provide essential public services, state laws normally offer some statutory protection. However, sovereign immunity can be limited to government activities and may not extend to proprietary endeavors such as the ownership and operation of an FBO. Policymakers need to understand what statutory immunities apply and be aware of the risks associated with proprietary activities. This can have a significant effect on the type and amount of insurance required and associated costs. If an airport sponsor cannot acquire property through condemnation or eminent domain, the ability to expand the airport will be contingent on being able to acquire property through negotiation.

98 Guidebook for Developing General Aviation Airport Business Plans GOVERNING BODY As previously indicated, governing bodies consist of members of general-purpose or special-purpose units of government. Members can be elected or appointed and the length of service (term) varies. The background, experience, knowledge, interests, and leadership ability of members also varies. Ideally, members of governing bodies should have a basic understanding of public governance and some specific knowledge of aviation, airport, and business matters. Among the most important responsibilities of members of governing bodies is ensuring the safe, secure, and efficient operation and management of the airport. This can best be accomplished by (1) providing appropriate oversight; (2) enacting policies that provide clear direction and guidance to airport management and staff; (3) ensuring compliance with all applicable regulatory measures; and (4) promoting the role, value, and contribution (economic and otherwise) of the airport to the community. It is also important for governing bodies to embrace the concept that airport managers manage and governing bodies govern. It is crucial that governing bodies respect this separation of functions. A healthy checks-and- balances approach and two-way support system typically evolves from a position of mutual respect. As the airport business plan is developed, consideration should be given to clearly identifying the roles and responsibilities of each of these respective parties. Additionally, the principal responsibility of ensuring the safe, secure, and efficient operation and management of the airport can be incorporated into the mission, vision, values, or goals of the airport. ADVISORY BODIES In some cases, general-purpose governments may appoint an advisory body. This may occur when members of a general-purpose governing body do not have the background, experience, knowledge, interest, or time to devote to airport issues. The appointment of an airport advisory board can be viewed as being similar to appointing planning boards, historic district boards, liquor boards, property tax review boards, and other types of boards, in which experienced, knowledgeable, and interested members from the community provide advice and recommendations to policymakers. Generally, advisory bodies consist of individuals who have a working knowledge of aviation, airports, or business. Advisory bodies often provide a bridge between airport management and policymakers, which can be beneficial to both parties. In addition, the recommendations of an advisory body may be given considerable weight, depending on the governance philosophy of policymakers. Because of this, the planning team may want to consider the formation of an airport advisory board. If so, an action plan for creating, appointing, and empowering such a group of individuals would need to be included in the airport business plan. A purpose statement, which defines the role and responsibilities of the advisory body, should be prepared as well. 7.4 MANAGEMENT Managing a general aviation airport is a complex, and often challenging and demanding, task. At its core, managing an airport is about managing people and systems. Management is often defined as getting things done through others. An airport manager must be ready, willing, and able to rely on the background, experience, knowledge, and ability of others to achieve the goals and realize the mission and vision for the airport.

Organization 99 Success is the sum of small efforts, repeated day in and day out... - Robert Collier Therefore, the ability to lead is one of the key attributes policymakers should consider when hiring an airport manager. Likewise, an airport manager needs direction from the governing body. Within this context, it is essential to establish policies that provide clear guidance for the day-to-day operation and management of an airport while supporting the mission, vision, values, and goals established for the airport. The strategic and artful balancing of governance-management-staff relationships should be high priority for an airport manager. These functional relationships are depicted in Figure 7-2. Figure 7-2: Functional Relationships PEOPLE The planning team must fully understand the underlying structure of the organization and the roles and responsibilities of policymakers, airport management and staff, outside advisors, volunteers, and the community. Governing body Policy and guidance Airport manager Direction and assignment Airport staff Reporting and recommendations Airport manager Reporting and recommendations In the case of a municipality, staff could be shared across departments. In other cases, the airport could be managed by an individual who does not have an office at the airport, such as a municipal or county public works director. In such a case, the public works director may not be aware of the full extent of airport management responsibilities and may place greater reliance on staff, outside advisors, or volunteers.

100 Guidebook for Developing General Aviation Airport Business Plans At the largest metropolitan general aviation airport, staffing could consist of several dozen people. Staffing may also be influenced by the type of airport ownership. There is no template depicting a standard organizational structure for a general aviation airport. However, there are a few models—based on the various airport ownership forms—that reflect the structures in existence today. The organizational structure at a municipal or county-owned airport operated by municipal or county employees may be similar to the example provided in Figure 7-3. Figure 7-3: Example: Municipal or County-Owned Airport Organizational Structure The organizational structure for an airport authority may be similar to the example provided in Figure 7-4. Policymakers Airport manager Public works director Airport advisory body (if applicable) ORGANIZATIONAL STRUCTURE Staffing will vary based on the size, scope, and complexity of the operation, as well as the specific situation and circumstances. Staffing at the smallest rural general aviation airport could consist of only one part-time individual.

Organization 101 Figure 7-4: Example: Airport Authority Organizational Structure A large general aviation airport may have departments, functional areas, or areas of specialization. An organizational structure for a large general aviation airport may be similar to the example provided in Figure 7-5. Figure 7-5: Example: Large Airport Organizational Structure Board of Commissioners Airport manager Airport advisory body (if applicable) Airport advisory body (if applicable) Policymakers Airport manager Administration Properties Operations Maintenance

102 Guidebook for Developing General Aviation Airport Business Plans ROLES AND RESPONSIBILITIES The position of airport manager is a fusion of many roles. Airport managers serve as real estate managers, facility managers, and business managers. The scope of responsibility generally encompasses administration, human resources, procurement, contracting, planning, engineering, maintenance and repair, safety and security, finance, marketing, and public relations. Airport managers are never off the clock and frequently deal with issues at night, on weekends, and during holidays. At small airports with little or no staff, responsibilities can be even greater. At larger, fully staffed airports, an airport manager may be able to focus more on maintaining stakeholder relations; addressing specific issues, challenges, and problems; or developing strategies for achieving the goals and realizing the mission and vision for the airport. In either case, the position of airport manager is integral to the airport business plan because this individual will, at a minimum, be involved throughout the preparation, development, and implementation phases of the process and may also serve as the facilitator and/or champion. As a result, finding an individual who has the right combination of education, experience, and knowledge is the key to building a competent staff and operating and managing a safe, secure, and efficient airport. Today, the individuals serving in this capacity generally have undergraduate degrees in public administration, business administration, or aviation management or equivalent experience. Some may have graduate degrees in business, political science, or public administration. Ideally, the airport manager’s experience will be equally broad, perhaps beginning as an airport intern and progressively advancing through supervisory and management positions and gaining additional responsibility and authority at larger, more complex, and more active airports. In addition to the airport manager’s position, the planning team must consider the unique assets, amenities, and attributes of the airport and any related effects on staffing; develop an organizational chart; and describe the role, responsibility, and authority of key staff—if this has not already been accomplished. An example functional organizational chart identifying a series of responsibilities that could be assigned to various staff members based on the size, scope, complexity, and budget of the airport (and the specific situation and circumstances that exist) is provided in Figure 7-6.

Organization 103 Figure 7-6: Example: Functional Organizational Chart OUTSIDE ADVISORS Although some general-purpose governments and some larger airport authorities may have department-level experts who provide special services, often airport managers have to look outside the organization for such services—particularly, when staff lacks experience, expertise, or capability in a particular area. During the airport business planning process, the planning team will need to identify any outside services required. It is important to identify each of the potential disciplines, develop a list of firms or individuals who provide services in each area, and outline a qualification-based selection process. The process established by the FAA for grant-funded projects could serve as a starting point. Airport advisory body (if applicable) Policymakers Airport manager Administration Properties Operations Maintenance Ensures the safe, secure, and efficient operation of the airport Plans, develops, operates, and manages the airport Manages administrative (and often, financial) functions Provides advice or recommendations Maintains/repairs infrastructure, improvements, and facilities Conducts checks and inspections; maintains safety and security Manages property functions (real estate); negotiates lease agreements Outside advisors could include bookkeeping firms, accounting firms, audit firms, human resource firms, operations and management consultants, financial consultants, insurance agents, real estate brokers, attorneys, planners, engineers, architects, appraisers, environmental specialists, and wildlife biologists.

104 Guidebook for Developing General Aviation Airport Business Plans VOLUNTEERS General aviation airports commonly rely on volunteers, including advisory bodies, educational institutions, and other organizations like the SBDC or a SCORE chapter. Volunteers can provide a wide range of assistance during the development of an airport business plan, including evaluating organizational structures, establishing performance measures, developing marketing or public relations materials, identifying industry standards and best practices, and generating ideas for the highest and best use of airport assets. Often, services can be obtained at little or no cost. COMMUNITY Airport managers may also be able to obtain assistance from community-based organizations (e.g., economic development organizations, planning and transportation agencies, and chambers of commerce) for the development of the airport business plan. Such assistance may include identifying potential target markets, developing strategies for attracting and retaining business, and providing assistance during special events. In many cases, the assistance of community-based organizations can also be obtained at little or no cost. In addition, involving community-based organizations in the airport business planning process can increase stakeholder buy-in and create opportunities to collaborate on airport and community initiatives. MANAGEMENT INFORMATION SYSTEM All organizations need systems to facilitate the recording, storage, and retrieval of information, data, and documentation. This is especially true for general aviation airports because safety is paramount, accountability is required, and transparency is expected. For these reasons, a management information system is essential to the operation and management of an airport. In the case of general-purpose government-owned airports, such a system can be developed and managed by internal departments. At special-purpose government airports, such a system may need to be developed from scratch and managed by staff. Management information systems typically encompass accounting and financial activities, airport activities (e.g., based aircraft, aircraft operations, and fuel volumes), and human resources activities (e.g., applications, reference and background checks, hiring, promotion, and termination). Such a system generally includes airport agreements and related correspondence as well. The airport business plan should identify the systems that will be used to efficiently capture, safely store, and easily facilitate the retrieval of information, data, and documentation relating to all functional aspects of the airport. Investigation of these systems may reveal opportunities to increase efficiency, improve productivity, or enhance cost-effectiveness. Such an examination will be helpful for establishing goals, developing objectives, and formulating action plans for the airport. POLICIES As indicated previously, an airport manager needs direction from the governing body and policies that provide clear guidance for the day-to-day operation and management of an airport while also supporting the mission, vision, values, and goals established for the airport.

Organization 105 Policies can cover a wide variety of airport functions, including administrative, planning, development, operations, management, financial, marketing, and public relations. Additionally, several documents (commonly referred to as primary guiding documents) play a key role when it comes to doing business at a general aviation airport. As described in Chapter 2, primary guiding documents are a compendium of policies, standards, guidelines, rules, and regulations that govern the operation and management of an airport. While not an element of an airport business plan, primary guiding documents can be integral to the implementation of a plan. It is important, how- ever, to ensure that primary guiding documents are consistent with the airport business plan. If that is not the case, the documents should be updated. This could be identified as one of the goals or objectives of the airport business plan. The planning team should consider all existing policies during the development of the airport business plan and identify any additional policies that may help airport management and staff achieve the goals established for the airport. FEDERAL AND STATE COMPLIANCE The airport sponsor is typically the party in control of the airport and, as such, is eligible to apply for federal and state grant funds to facilitate the development or enhancement of airport infrastructure and improvements. Most grant funds are obtained from the FAA through AIP; however, in some cases, funds may be available through other state and federal agencies such as the U.S. Department of Agriculture, U.S. Economic Development Administration, and Federal Emergency Management Agency. AIP is designed to provide funding to airport sponsors for planning, acquiring, constructing, improving, and equipping airports. Approximately 3,300 public and privately owned general aviation airports are part of the NPIAS and are currently eligible to receive AIP funds (NPIAS, 2011). General aviation airports may also be eligible for state funds. With regard to state grants, eligible projects and the amount of funding available varies from state to state. When an airport sponsor accepts federal or state funds, the airport sponsor assumes certain obligations. The obligations associated with state funding vary but generally include the requirement to complete a project or purchase in accordance with accepted guidelines (e.g., bidding procedures, fund management, inspections, auditing, and financial reporting). When an airport sponsor accepts AIP funds, the airport sponsor is required to comply with the Airport Sponsor Assurances, which include obligations relating to airport design, operations, economics, financial reporting, and various other commitments. Some of the most relevant Airport Sponsor Assurances, from a business planning standpoint, include • Pavement Preventative Maintenance • Accounting, Audit, and Record Keeping Requirements • Operation and Maintenance • Economic Nondiscrimination • Exclusive Rights • Fee and Rental Structure • Airport Revenues • Reports and Inspections

106 Guidebook for Developing General Aviation Airport Business Plans The obligations of the airport sponsor may vary depending on the type of project for which AIP funding is being obtained. While the obligations of the airport sponsor apply for a period of 20 years or the life of the project, whichever is greater, there are several Airport Sponsor Assurances (#23 Exclusive Rights, #25 Airport Revenue, and #30 Civil Rights) that apply in perpetuity. If land is acquired using AIP funds, these assurances apply indefinitely to the entire airport as well. The reader is directed to the following FAA website link to obtain a copy of the Airport Sponsor Assurances for review: http://www.faa.gov/airports/aip/grant_assurances/media/airport_sponsor_assurances.pdf. Airport managers and policymakers need to have a thorough understanding of the Airport Sponsor Assurances because the airport sponsor’s obligation to federal and state agencies will affect the content of an airport business plan, particularly as it pertains to leasing land and improvements, setting and adjusting rents and fees, entering into agreements (lease, use, or operating) with airport businesses and tenants, competing with airport businesses and tenants, using airport revenues, and exercising proprietary exclusive rights (wherein the airport sponsor engages in certain activities and excludes others from doing so). PRIVATIZATION As general aviation airport managers and policymakers look for ways to maximize financial self-sufficiency, “privatization” may merit consideration. Privatizing the management of the airport may be viewed as a means of reducing personnel costs, promoting efficiency, or increasing revenue. Privatization can be found in many forms, including the full privatization of the airport, airport and FBO management contracts, and various public-private partnerships. Airport management companies may offer the ability to use (1) the resources of a small or large portfolio of airports; (2) financial resources beyond AIP or other programs; and (3) expertise in developing and marketing airport property for aeronautical and non-aeronautical use. Some companies offer commercial aeronautical services in addition to airport management functions and can serve as both the airport and FBO manager. Privatization, especially the complete privatization of an airport, will have long-term ramifications and should be approached very carefully. Some real and perceived disadvantages of privatization include the loss of control over airport management and development, challenges in retaining sufficient authority to ensure compliance with Airport Sponsor Assurances, lengthy and cumbersome contracting processes, and the long-term commitment often required to ensure that privatization is financially viable. If privatization is being considered, it should be thoroughly vetted. Stakeholder participation is critical to the process. The airport sponsor may, for example, lease the airport and/or the FBO to (and receive rents and fees from) a company while allowing the entity to retain all proceeds from commercial aeronautical activities; enter into a contract with a company to manage the airport and/or the FBO for a fixed price while continuing to collect rents and fees; or enter into a contract with a company to manage the airport and/or the FBO and share the proceeds from all commercial aeronautical activities. • Engineering and Design Services • Policies, Standards, and Specifications • Hangar Construction

Organization 107 Any form of airport privatization must satisfy federal, state, and local regulatory measures and the Airport Sponsor Assurances. In 1997, Congress adopted The Airport Privatization Pilot Program, under 49 U.S.C. Section 47134. This program provides for the privatization of a limited number of public-use, publicly owned airports as a means of generating access to various sources of private capital for airport improvement and development. The 2012 FAA Reauthorization Act increased the number of airports that can participate from 5 to 10. For a more in-depth discussion on privatization, refer to ACRP Report 66: Guidebook for Considering and Evaluating Airport Privatization. Worksheet 7-1: Airport Organizational Structure Assessment The Airport Organizational Structure Assessment Worksheet is designed to help airport managers and policymakers gain a better understanding of the airport’s ownership, governance, and management structure and the powers that have been granted. This worksheet is provided at the end of this chapter and in Part 4 of the digital files. 7.5 WRAP-UP Having a good understanding of an airport’s ownership, governance, and management structure and the powers and responsibilities of the airport sponsor, governing body, and airport manager is essential to the business planning process. Understanding the functional relationships among policymakers, airport management, and airport staff and the role of management, policies, and systems is critical to the business planning process. It is important to establish an organizational structure conducive to achieving the goals for the airport. It is also critical to determine appropriate staffing levels based on the size, scope, and complexity of the airport operation (and the specific situation and circumstances that exist); hire and retain the right people for the right positions; develop and implement relevant, reasonable, and appropriate policies; delegate responsibility and authority; and manage people and systems. 7.6 WORKSHEET • Worksheet 7-1: Airport Organizational Structure Assessment Some examples of how this knowledge may manifest itself during the business planning process or in the written business plan include changing the structure of the airport to eliminate statutory restrictions (and provide a better platform for pursuing opportunities) and creating an advisory body that advocates for the airport on behalf of the public and provides a bridge among policymakers, airport management, and stakeholders.

108 Guidebook for Developing General Aviation Airport Business Plans WORKSHEET 7-1: AIRPORT ORGANIZATIONAL STRUCTURE ASSESSMENT CHAPTER 7: ORGANIZATION This worksheet can be used to identify the airport ownership, governance, and management structure and the powers that have been granted. This understanding is essential to the business planning process because this knowledge will (1) provide a framework for developing and implementing an airport business plan and (2) help the planning team formulate goals, objectives, and action plans for the airport. The planning team should review the areas and answer the questions posed in the following worksheet. OWNERSHIP 1. Does the sponsor have statutory powers? Yes No 2. Is the sponsor obligated by the Airport Sponsor Assurances? Yes No 3. Does the sponsor have operational control of the airport (and associated responsibilities and powers)? Yes No 4. Does the sponsor delegate powers to a separate governing body? Yes No 5. Is the airport operated as an enterprise fund of the sponsor? Yes No 6. Does the sponsor own the land on which the airport is situated? Yes No 7. Does the sponsor control land use and zoning jurisdiction on and around the airport? Yes No 8. Can the sponsor use the power of condemnation or eminent domain? Yes No 9. Can the sponsor subsidize the airport with general revenues (including tax revenues)? Yes No 10. Can the sponsor issue bonds and enter into debt instruments? Yes No 11. Can the sponsor access capital markets for airport development? Yes No 12. What are the sponsor’s statutory deadlines for adoption and filing of budgets and appropriations, tax levies, prevailing wage requirements, and audits? Yes No 13. Does the sponsor have a Certificate of Incorporation from the Secretary of State? Yes No 14. Is the sponsor subject to any unique auditing requirements? Yes No 15. Does the sponsor have obligations under the Freedom of Information Act (FOIA) and similar state requirements? Yes No 16. Are State Ethics Act requirements applicable (to the airport sponsor)? Yes No

Organization 109 GOVERNANCE 1. Does the governing body have statutory powers? Yes No 2. Does the governing body have statutory immunities? Yes No 3. Does the governing body have operational control of the airport (and associated responsibilities and powers)? Yes No 4. Does the governing body have by-laws outlining procedures of government? Yes No 5. Does the governing body have the ability to enter into agreements (e.g., lease, use, operating, etc.)? Yes No 6. Does the governing body have purchasing authority? Yes No 7. Does the governing body have requirements for notification of all public meetings and keeping minutes? Yes No 8. Does the governing body have obligations under the Freedom of Information Act (FOIA) and similar state requirements? Yes No 9. Is there an advisory body (and what responsibilities and/or powers does it have)? Yes No 10. Are State Ethics Act requirements applicable (to the governing body)? Yes No MANAGEMENT 1. Are the manager’s roles and responsibilities clearly delineated (in a job description or other document)? Yes No 2. Are there outside advisors? Yes No 3. Are there volunteers? Yes No 4. Does management have community support? Yes No 5. Are management information systems in place? Yes No 6. Are policies in place? Yes No 7. Are there federal and state compliance issues? Yes No