Huntsville International Airport Master Plan Update

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1 Huntsville International Airport Master Plan Update June 28, 2017

2 Agenda Welcome and introductions Master planning process Inventory of existing conditions Forecasts of aviation demand Facility requirements Project schedule Next steps/action items Your thoughts 2

3 Master Planning Process HMCAA Briefing HMCAA Briefing HMCAA Briefing HMCAA Briefing 3

4 Inventory of Existing Conditions Huntsville International Airport

5 Inventory of Existing Conditions Airport characteristics and local profile Airport access, transportation, and parking Landside facilities Airfield facilities Operational characteristics Support facilities Security and airspace Utilities and infrastructure Environmental factors 5

6 Project Study Area Small-Hub Commercial Service Airport 7,000 acres Parallel runway system capable of handling large commercial aircraft Interstate access Jetplex Industrial Park Over 2,882 acres available for immediate development Foreign Trade Zone #83 International Intermodal Center 6

7 Existing Airfield Facilties 7

8 Terminal Area Huntsville International Airport

9 HSV Terminal Developments $25.9 million baggage claim expansion opens AirTran service SWA/AirTran merger and loss of service to HSV GLO service start Fall 2016 Impact of mergers on direct flight destinations Flights decreased Total seats available increased Source: HMCAA Financial Statements 9

10 HSV Terminal Area Robust and flexible terminal area Land availability Landside/ highway access Airfield and apron capacity Airspace clearances and ATCT views 10

11 Terminal Area 11

12 Terminal Building 12

13 Forecasts of Aviation Demand Huntsville International Airport

14 Importance of Forecasts Develop a realistic assessment of market conditions and market performance Address unique local conditions not fully considered in national and macro level forecast efforts Provide a benchmark for comparing current facilities against a reasonable estimate of future demand to define future facility needs 14

15 Factors and Opportunities Sharp fuel price increases after Hurricane Katrina damaged Gulf Coast refineries (August 2005) Economic Recession (late 2000s) Hurricane Matthew: airline cancellations and temporary aircraft relocations to HSV (October 2016) Local trends are important as they provide airport-specific information that may support the selection of preferred forecasts Generation Air Transportation System (NextGen) initiatives 15

16 Industry Wide Development Trends Airline Mergers American/US Airways (2013) SWA/AirTran (2011) United/Continental (2010) Delta/Northwest (2008) Airlines load factors highest in history (84.5+% ) Remote check-in options decrease on-site ticketing Flights decreased in number Total seats per flight higher 16

17 Historical Enplanements ( ) 700,000 Unadjusted Terminal Area Forecast Enplanements 600, , , , , ,

18 Forecast Summary Passenger Enplanements Based Aircraft Aircraft Operations 18

19 Air Cargo Huntsville International Airport

20 Panalpina Overview Panalpina supports 18 operations a week to/from HSV Occupies an on ramp facility at HSV Huntsville is a closed operation Panalpina does not board freight for other freight forwarders, with the 20

21 Top 25 Global Freight Forwarders Rank Provider 1 DHL Supply Chain & Global Forwarding 2 Kuehne + Nagel 3 DB Schenker Logistics 4 Sinotrans 5 Panalpina 6 Nippon Express 7 CEVA Logistics 8 Expeditors International of Washington 9 UPS Supply Chain Solutions 10 SDV (Bolloré Group) 11 DSV A/S 12 Kintetsu World Express 13 Agility Rank Provider 14 Pantos Logistics 15 C.H. Robinson 16 Hellmann Worldwide Logistics 17 Damco 18 Kerry Logistics 19 UTi Worldwide 20 Yusen Logistics 21 Toll Holdings 22 Geodis 23 Logwin 24 Sankyu 25 BDP International Source: Armstrong & Associates,

22 Rail Overview HMCAA operates an intermodal facility for Norfolk Southern Railway at HSV CSX and NS provide a rail link between east coast ports Interchanges with western rail carriers (UP and BNSF) providing service from both US coasts FedEx, UPS and Amazon utilize rail intermodal today with expectations of expanding use in the future 22

23 Key Industry Sectors Automotive Cold Chain Pharmaceutical Aerospace Live Animal Shipments E-Commerce 23

24 Global E-Commerce Fast Growing Industry Segment According to e-marketer, 15-16% year-overyear through 2020 Cross border retail volumes will increase at a rate of 25% between 2015 and 2020, rising from $300 billion to $900 billion Significant volumes of growth is occurring between U.S., China and Europe (Panalpina supports these lanes) Establishing an e-commerce strategy will require a partnership between the airport, Panalpina, and major retailers to align efforts to capture business in HSV 24

25 Global Cargo Growth Projections The forecasts continue to favor air cargo growth: The International Air Transport Association projects 4.1% CAG ( ) International market forecast specialist Sandler Research projects 5.97% growth each year ( ) The Boeing Company projects 4.2% CAG ( ) Leading international market research firm Technavio projects 4.57% ( ) 25

26 High Growth Cargo Forecast ( ) HSV 20-Year Forecast Based on 5% Growth Rate Across UPS/FedEx and Non-Permitted Carriers and 8% Growth Rate for Panalpina Year Total UPS/FedEx (Pounds) Panalpina (Pounds) Non-Permitted Carriers (Pounds) Total All Carriers (Pounds) ,999, ,699, , ,461, ,249, ,355, , ,405, ,512, ,263, , ,615, ,787, ,524, , ,194, ,077, ,246, , ,250, ,381, ,546, , ,900, ,700, ,550,472 1,020, ,271, ,035, ,394,510 1,071, ,501, ,386, ,226,070 1,125, ,738, ,756, ,204,156 1,181, ,142, ,144, ,500,489 1,240, ,885, ,551, ,300,528 1,302, ,154, ,978, ,804,570 1,368, ,151, ,427, ,228,935 1,436, ,093, ,899, ,807,250 1,508, ,214, ,394, ,791,830 1,583, ,769, ,913, ,455,177 1,662, ,031, ,459, ,091,591 1,745, ,297, ,032, ,018,918 1,833, ,884, ,634, ,580,432 1,924, ,139, ,265, ,146,866 2,021, ,433,995 26

27 Forecast of Cargo Facilities Year New Facilities Panalpina (Pounds) ,699, ,355, ,263, ,524, ,246, ,546, Yes 310,550, ,394, ,226, ,204, ,500, Yes 456,300, ,804, ,228, ,807, ,791, ,455, Yes 724,091, ,018, ,580, ,146,866 The new facilities shown indicate the year in which a new building will need to be delivered for occupancy in order to support the forecasted increase in cargo volumes. 27

28 Additional Considerations, Making the Forecast a Reality The availability of significant industrial property that can be developed at/near HSV provides a great deal of flexibility in planning for the utilization of this industrial land. The planning must take into consideration several prospects: Development of land at/near the HSV by air cargo derived occupiers Development of land at/near the HSV by logistics service providers or other global freight forwarders who utilize the Norfolk Southern Intermodal Terminal as a foundation for their logistics service activities while routing air cargo to/from other gateway or major airports 28

29 Additional Considerations, Making the Forecast a Reality Development of land at/near the HSV for use in supporting the aerospace and space/flight support Development of land at/near the HSV for use in expanding maintenance, repair and overhaul activities by existing or new service providers who would create a new MRO hub at HSV Development of land at/near the HSV for a new campus for global delivery and fulfillment of high volumes of e-commerce. This campus would include high volume sortation facilities, last mile sortation facilities and aggregation/de-aggregation facilities to support merging shipment from disparate retailers or manufacturers for outbound or from inbound flights 29

30 Facility Requirements Huntsville International Airport

31 Facility Requirements Passenger Terminal Area Air Cargo Facilities Airfield Capacity and Configuration Design Aircraft Identification Runway Length Analysis Runway Strength Analysis Airfield Design Standards Analysis Airfield Lighting, Markings and Signage, and Navigational Aids Parking and Terminal Access General Aviation Facilities Support Facilities Utilities Airspace and Obstruction to Air Navigation Land Area Requirements 31

32 Terminal Area Requirements Huntsville International Airport

33 HSV Terminal Analysis Areas Review for Chokepoints and Activity Triggers Consideration of Passenger Convenience / Wayfinding 33

34 Terminal Level of Service IATA Performance guidelines are generally based on a combination of Space & Time OVER DESIGN Goal for this effort was selected as the upper half of Optimum LOS LOS SUBOPTIMUM OPTIMUM LOS SUBOPTIMUM LOS UNDER-PROVIDED LOS LOS 34

35 Terminal Demand: Passengers Demand Requirements are based on the busiest hour of the average day of the busiest month New Flight Schedules and Passenger Counts maximum of 10 arriving or departing flights and 601 passengers boarding / arriving maximum of 14 arriving or departing flights and 1,080 passengers boarding / arriving Sources: Approved Forecasts; MAPS / Appendix A 35

36 Terminal Access Road The loop roadway is sufficient to accommodate traffic to the curbfront, parking, and rental car facilities through

37 Public Parking Current Public Parking totals approximately 4,000 spaces 65% in deck, 35% surface lots Current parking should meet total demand to 2026 By 2036, additional public parking of approximately 1,200 spaces will be needed 37

38 Rental Car Parking / Storage Rental Cars have current issues with adequate space for ready and return parking By 2036, they will need about double the 296 spaces currently allocated Storage and service facilities will need to be updated and expanded 38

39 Terminal Curbfront Current Level of Service is optimum in all areas By 2036, the curbfront demand will increase by about 40% overall Future level of service should remain optimum, with some reallocation of spaces 39

40 Curbside: Future Trends Transportation Network Issues Permits / Regulations Revenue Recognition Effects / Impacts - Fewer shared ride vans Fewer public transit rides Less use of Rental Cars (-5% to -10%) Less use of airport parking (-5% to -10%) Source: TRN News July / August

41 Questions / Discussion Break

42 HSV Check-In: Counters Four current airlines use 27 of the 30 available ticket positions Current agent positions are able to provide a optimum or better level of service through 2036 Space for new airlines may be needed in the future, adding another 5-8 positions Additional lobby space projected in the latter half of the planning period 42

43 HSV Check-In: Kiosks Three of the current airlines provide a total of 12 kiosk check-in locations Current agent positions are able to provide a optimum level of service through 2026 Space for new airlines may be needed in the future, adding another 3-8 kiosk positions Additional queuing space projected in the latter half of the planning period 43

44 Check-In: Future Trends 44

45 HSV Checked Baggage Screening 45

46 HSV Checked Baggage Screening 46

47 HSV Passenger Screening Current configuration allows for three lanes of passenger screening HSV has a higher portion of Pre-Check participation than many other airports Current lanes are able to provide a optimum or better level of service to 2026 Key components of demand are keeping within optimum wait times and facilitating Pre-Check Additional queuing space projected in the latter half of the planning period 47

48 HSV Passenger Screening 48

49 Questions / Discussion Break

50 HSV Aircraft Parking Current apron configuration allows for a variety of aircraft to park and load simultaneously 12 of the 14 gate positions are served by boarding bridges Current gates may meet the needs of HSV through 2036, dependent on fleet mix Source: HSV Apron rehab and bridge replacement drawings 2016 Common or shared use of gates by airlines increases capacity 50

51 HSV Holdrooms Holdrooms are available for each of the gate positions needed through 2036 Current holdrooms are well sized to allow flexible use of gates and maintain Optimum or better level of service Ground boarding gates 11 and 12 have space avaible for holdroom expansion if needed HSV Apron rehab and bridge replacement drawings

52 HSV Concourse Circulation HSV Apron rehab and bridge replacement drawings

53 HSV Concessions HSV has a suitable level of service in current concessions based on ACI Benchmarking study in 2015 for small hub airports similar to HSV The hotel provides more food and beverage choices in the non-secure area than comparable sized airports Additions to sterile (concourse) area concessions would be expected in the latter half of the planning period Some currently vacant space allows for flexibility in the future for concessions and support uses 53

54 HSV Baggage Claim Current bag claim devices provide all the capacity needed for claim frontage through 2036 The baggage system has the capacity to keep wait times to between 7 to 20 minutes The baggage unloading area for airline use is able to meet capacity requirements through 2036 Source: HSV Apron rehab and bridge replacement drawings

55 HSV Passenger Convenience Processes are less subject to provided by others (Airlines, TSA) Check-In / Ticketing Security Screening Passenger Boarding Checked Baggage Claim 55

56 HSV Passenger Convenience Waiting Experiences are more Electrical Outlets Wi-Fi Access Privacy / Entertainment Options Level of Amenities and Concessions 56

57 Questions / Discussion Break

58 Airfield Design Critical Aircraft Boeing 747-8F Aircraft Approach Category 141 to <166 knots Airplane Design Group (ADG) Tail height 66 to <80 feet Wingspan 214 to <262 feet 58

59 General Aviation Requirements ~ 53,300 SY of general aviation transient apron inventory (additional 2,300 SY over 20 years) ADG I up to ADG IV aircraft Taxilane object free area limits space for ADG III and IV Construct 15 conventional hangars over 20 years Construct 59 T-hangars over 20 years (~ 6 buildings) ~ 9,500 SF of general aviation terminal space is needed over 20 years 59

60 Support Facilities Aircraft Rescue and Firefighting meets requirements New ARFF station with flexibility to meet Index D Aircraft fuel storage Expand fuel farm to meet future demand Approximately 814,690 gallons of Jet-A storage would be needed by the end of the 20- year planning period. Airport maintenance Storage facilities Expansion to be considered near current location 60

61 Land Area Requirements Development envisioned for study may require additional property acquisition Land use compatibility Future development needs Obtain control over an runway projection zone (RPZ) Avigation easements will be assessed based upon the results of the land use analysis Continue working with area communities to ensure prevention of incompatible land uses 61

62 Schedule 62

63 Public Information Meeting #1 63

64 Next Steps Public information meeting 1 (June 28 th ) Capacity assessment and facility requirements Airport alternatives Committee Meeting (November 14 th ) Public information meeting 2 (November 14 th ) 64

65 Your thoughts... 65

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