CONSENT AGENDA REQUEST

Sharon Grove McCamy, Lee District Supervisor                           January 21, 2003

Department, Organization                                                            Board of Supervisors

or Person Making Request                                                                Meeting Date

Anthony I. Hooper, Assistant County Administrator

Staff Person & Department

Topic               A Resolution to Authorize Modification to the Fixed Base Operator (FBO)

                         Contract at the Warrenton-Fauquier Airport

In September 2002, Fauquier County entered into a new FBO agreement with Tracey Corporation.  The new agreement provided a five-year term with an option for a renewal of an additional five years.  It transferred the rental income from the County owned T-hangars (estimated at $130,000 annually) and the responsibility to manage and maintain the County owned property from the FBO to the County.

In December 2002, the County was informed that, due to the general economic slow down, the particular negative economic impact on the aviation sector, increasing insurance costs and the structure of the new agreement, the FBO would not be able to continue to perform under this agreement.  Representatives of the airport committee and staff have met with the FBO contractor and negotiated a revised agreement designed to maintain stable operations during the period of airport construction.

The revised agreement provides a shorter term and will expire in December 2004.  It reduces rental and fee payments and provides compensation at the rate of $1,500 a month for FBO services.  Additional duties have also been added to the requirements of the FBO.  The contract is attached.

The County plans to bid the FBO services in the fall of 2004 in order to have a new agreement in place at the termination of the modified contract.

Requested Action of the Board of Supervisors

Consider adoption of attached resolution.

Financial Impacts Analysis

The new agreement will result in a net increase of $30,000 per year in airport operating costs and reduced income. Funds are available within the airport budget to fund this change.

Identify Any Other Departments, Organizations or Individuals That Would be Affected by This Request

Warrenton-Fauquier Airport Committee

Attachment A:  Current Leased Space