North Adams Airport Commission Hesitantly Backs Hangar Project Despite $115K Shortfall
NORTH ADAMS, Mass. — The Airport Commission hesitantly continued its support for the T-Hangar project, which leaves the airport on the hook for $115,000.
Grant Director Thomas Peterson told the commission Tuesday that the mayor is looking forward to the new construction project, but she needs the airport to kick in.
"It would be really beneficial to have the airport approval to go forward with the project," he said. "The mayor is excited about it. It is a great project even though it came in over budget."
In June, the commission opened one bid for the proposed new hangar, which will hold six planes. The bid totaled $1.622 million, while the original project estimate and budget were $1.2 million.
The state Department of Transportation, the Federal Aviation Administration, and the city stepped in to increase funding for the project, but a $115,000 balance still needs to be covered.
This has left the commission uneasy as it is already operating at a $25,000 shortfall, said Commissioner Dean Bullett, noting that generating more revenue is and will continue to be an issue.
Additionally, the extra state and federal money eats into future capital projects MassDOT and the FAA would fund —potentially tying up funds into fiscal years '27 and '28.
Commissioner William Hooper wanted more insight into what the payments would look like, voicing concern that the cost would be too much at once.
"I want to ease into this thing instead of it landing like an anvil on us. Let us get our feet under us first to the best of your ability," Hooper said. "To be able to hold the financial impact on this when we are closer to having revenue to be able to support it. This is a lot for a commission to get its head around cold."
Peterson said the $115,000 would be split over two years. He added that there would likely be monthly payments, but the city won't know the full outlay until holding further meetings with the contractor.
Peterson reminded the commission that the city has continued to invest in the airport and that backing out now would essentially leave invested money on the table, wasting the hundreds of thousands of dollars already spent on engineering fees.
The commission agreed.
"Unfortunately, we have to use it or lose it at this point," Bullett said.
Peterson urged the commission to look at some of its lease structures, noting that once the hangar is built, it will present an opportunity to collect more revenue.
Airport Manager Skyler Friedman said there is currently a short waiting list for hangar space, but expressed confidence that the new space would easily be filled.
Some airport users were not totally convinced.
"It seems like a shame to tie up so many years in funding in such a project that the level of need for that project may be high, but it may not be high, it seems," John Werner said.
Another user, Michael Milazzo, felt the city should step up and pay the balance, adding that he felt the commission was being pushed around.
In other business, the commission agreed to extend the request for proposals deadline for the airport restaurant by another week, meaning the latest round will open on Sept. 22.
The extension wasn't due to a lack of interest; Peterson shared good news on that front.
"I have a good feeling there are some parties that have been engaged during the process, which was not the case the last time," he said. "So I have a good feeling something will come in."
He explained that an interested party had questions about the space, and the extension gives the city time to address them. The city has released multiple RFPs for the space in the Administrative Building over the last five or so years.
The commission will form a subcommittee to review incoming bids.
The commission also discussed fuel prices, agreeing to hold steady at $6.70 per gallon — reflecting a 20-cent decrease that took effect three weeks ago.
Friedman showed a chart pilots use to determine where to buy fuel. Green represents a relatively low fuel price, orange is a mid-range price, and red is more expensive. At its current price, North Adams is in the orange.
"We try to keep ourselves in the green and the orange and avoid pricing that would turn into red," he said.
Friedman noted that North Adams is generally selling less fuel, though that aligns with a national trend where rising costs mean fewer people are flying.
"Price is in line with other airports," he said. "So my thinking is if you go to Turners Falls or Columbia (N.Y.) County, they are also seeing these decreases, so I am not sure changing our fuel pricing will really change that."
He added that they could increase prices by $1 and still remain cheaper than Bennington, Vt. However, because the majority of their fuel buyers are local airport users, he would rather not pass that burden onto resident pilots just to get a few extra dollars out of visiting pilots.
Milazzo agreed that a price increase would be detrimental.
"If I am doing a long trip ... 50, 80 miles out of the way — it is not a big deviation when I am flying to get to a green dot or orange dot if they have a better runway or if I can pick up a meal close by," he said. "I don't think you can just look at Bennington. A lot of us bounce over to Turners Falls because the pricing is better."
Hooper asked if there was a better time to buy fuel. Friedman said not right now, as global conflict has created volatility in fuel pricing.
"Because of the war, the price is so volatile, so there is really no telling," he said. "You could purchase it a week later, and the price can go up or down ... Right now there really is no good time to buy."
He added that fuel supplier Titan is very transparent about pricing and will often advise airports on the best times to purchase.
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