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TCRA, Tri-City Aviation come to terms on five-year agreement

Published November 6th, 2009 | 0 Comments

BLOUNTVILLE — Tri-Cities Regional Airport avoided a potential court dispute on Thursday as airport commissioners approved a new five-year operating agreement with their main general aviation p a r t n e r. Commissioners unanimously decided to get a fresh start off the ground with Tri-City Aviation (TCA), which has served TCRA for about 40 years.

“With that we go forward as partners as truly committed with you to make the general aviation component of this airport as fine as exists in this country,” Airport Commission Vice Chairman Ken Maness told TCA President Pam Phillips and Mike Lloyd, TCA’s operations and maintenance manager.

In March 2008, TCRA alleged TCA was not meeting its 2002 lease obligations, which included more capital investment in its operation, spending more on marketing, and maintaining proper security procedures.

TCA officials disagreed with the bulk of those allegations, and both sides entered into mediation talks, which failed.

Both sides apparently started warming up to each other last spring. The new operating agreement, which went into effect Nov. 1, cancels the previous lease begun in late 2002. TCRA also agreed to make new capital investments in TCA’s facilities.

TCRA Executive Director Patrick Wilson said state grants will be sought to help make more than $500,000 in upgrades for entranceways, electrical and plumbing systems, and the north ramp at TCA.

“Our strong suits are with developing the airport, and theirs are with providing services to the general aviation community so we can build a strong partnership in attracting new general aviation customers,” Wilson told the commission.

A primary concern to commissioners has been TCRA’s loss of general aviation aircraft from TCA to surrounding smaller airports, most notably in Abingdon and Elizabethton.

“Given the decrease of ... based aircraft from 88 aircraft in 2001 down to 55 aircraft in 2008, this is an important issue to consider,” Wilson wrote in a previous memo to commissioners. “Based aircraft is an indicator of the general aviation community’s satisfaction with customer service, fees and facilities.”

Both sides agreed to jointly develop customer service standards in the new operating pact.

Maness, a Kingsport commissioner who was unanimously selected as the Airport Commission’s next chairman, thanked Phillips and Lloyd for recognizing a “new environment” in aviation’s tough business climate. Sullivan County Mayor Steve Godsey, who represents Sullivan County on the Airport Commission, said he had been fielding concerns from companies about the situation.

“They were real concerned we were not going to reach an agreement, but I’m glad to see everything has worked out. ... Right now, the public has a real concern about our airport, especially the people in business who have private aircraft they use in their business,” Godsey said.

Airport commissioners decided the agreement would not be transferable without their approval, while the agreement also stated they had no obligation to enter into a new agreement if this one didn’t work out.

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