AIRLINE CONSULTATION MEETING

AIRLINE CONSULTATION MEETING Passenger Facility Charges Proposed Projects Bangor International Airport Bangor, Maine June 2011

Bangor International Airport intends to file an application with the Federal Aviation Administration (FAA) to impose and use Passenger Facility Charges (PFCs) on various projects in the terminal/landside area. PROJECTS TO BE INCLUDED IN THE NEW APPLICATION Projects to be included in the new application are as follows: 1. Electrical Upgrades 2. Renovations in Domestic Terminal 3. PFC Application Costs NOTICE TO AIR CARRIERS A meeting will be held with the air carriers serving the airport, foreign and domestic, on June 14, 2011 at 11:00 AM in the Airport Conference Room. This brochure provides all of the information that is required to be presented at that meeting as part of the consultation with air carriers. It includes the following: 1. A description of the projects. 2. An explanation of the need for the projects (justification). 3. A detailed financial plan for the projects, including (1) the estimated allowable project costs allocated to major project elements, (2) the anticipated total amount of PFC revenue that would be used to finance the projects, (3) the sources and amounts of other funds, if any, needed to finance the projects, and (4) a copy of the Airport's five-year Capital Improvement Program. REQUEST THAT A CLASS OF CARRIER NOT BE REQUIRED TO COLLECT PFCs Subsection 11 of FAR Part 158 permits the Airport to request that a class of air carriers or foreign air carriers not be required to collect PFCs. Such a class is one that constitutes no more than 1% of the total number of passengers enplaned annually at the airport at which the PFC is imposed. In the Notice of Intent, the Airport indicated that it intends to request that On Demand Air Taxi Commercial Operations (ATCO) that do not

enplane or deplane passengers at the Airport's main passenger terminal building be exempt from collecting PFCs. This class of carrier at Bangor International Airport represents 0.23% of total passengers enplaned annually as recorded on FAA Form 1800-31. AIR CARRIERS REQUIREMENTS In conformance with Section 158.23, following the meeting of June 14, 2011, each carrier has until July 14, 2011 to provide the Airport with a written certification of its agreement or disagreement with the proposed project. A certification of disagreement must contain the reasons for such disagreement. The absence of such reasons shall void certification of disagreement. If a carrier fails to provide the Airport with certification of agreement or disagreement with the proposed project by July 14, 2011, the carrier is considered to have certified its agreement. 2

PROJECT DESCRIPTIONS

1. ELECTRICAL UPGRADES DESCRIPTION A. Electrical Primary Underground Service This project will consist of removing existing riser poles, installing new riser poles with switches and air breaks in front of Dock 13, installing (3) runs of 4" PVC conduits encased in concrete for the airport loop feed system and (2) runs for the Hotel radial feed system, a new underground service to feed Docks II & 13, (2) 750 KVA transformers to supply the domestic terminal and international terminal, (4) new concrete pull boxes, removal of existing wiring and devices within the existing manholes, new aluminum cabling, earthwork, and pavement replacement. B. International Terminal Generator Upgrade This project includes modifying the existing building to accommodate NEC and the manufacturer's space requirements, demolition of the existing generator, demolition of the existing switchboard in the generator building, replacement of fuel system components within the building, installation of a new 625 KVA generator, new double doors, and new conduit and wiring from the generator building to the existing automatic transfer switch. C. Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades Upgrade the existing 240/416V service to 120/208V 3-phase power. Replace the original 240/416V and miscellaneous panels in the Electric Room with new panels. Install a new step up transformer so as to supply 480V / 3- Phase power to the existing equipment. The new work does not include replacing or rewiring any existing branch circuit wires to their respective fixtures/outlets. It includes replacing feeders between new subpanels in the Electrical Room. JUSTIFICATION AND OBJECTIVE The electrical service equipment has exceeded its useful life. A majority of the components are showing signs of wear and corrosion. This was evident in a recent power outage that lasted several days last summer. An investigation was conducted by Carpenter Associates to identify the elements that need to be updated. In general, the underground electric was installed as a radial type feed. A radial type feed system provides only one circuit from the source (Utility Poles) to the load(s) (pad mount transformers). The major issue with radial type feed is when a problem occurs and power is required to be shut down, all the loads connected to that circuit will be without power. 2

. All originally installed primary cables have an open neutral type cable. Past records indicate that these cables were installed circa 1973. These cables are expected to last 25 years without incident. The more immediate concern with the originally installed cables with the open neutral is the copper conductors are unprotected and therefore subject to corroding sooner, so the potential danger of a neutral decaying or breaking open increases. If one of the neutrals on the 3 cables should become defective, the load on the remaining two neutrals would have to compensate for the last cable that has a defective concentric neutral. If the load on these two neutrals exceeds their rating, there is a potential for severe damage or possibly a fire. The replacement of the generator for the international building is necessary because the generator is old and has become a maintenance problem, with frequent repairs required and parts hard to come by because of its age. In addition, the existing generator is unable to operate the critical systems at the airport and needs to be larger. ELIGIBILITY Costs related to administrative (nonpublic use) space and any equipment, furnishings or facilities used in revenue production (e.g., snack bar equipment or furniture, vending machines, telephones, reservation lines) are not allowable costs. Therefore, these costs must be broken out of the overall cost of the project. A. Electrical Primary Underground Service A portion of the new primary underground service is intended to serve the hotel. This cost is ineligible for funding under the PFC program. Portions of the terminal building are non-public and portions are also leased. These are also ineligible for funding with PFC collections. The eligibility of the domestic terminal and the international terminal was determined to be 69.2%. Appendix A shows the calculations for the portions of the terminals that are eligible as well as ineligible. Docks 11 and 13 are used by the airport for storage of equipment and are therefore 100% eligible. B. International Terminal Generator Upgrade The eligibility of the generator is based on the square footage of public space within the international terminal. This was calculated to 79.5%. See Appendix A for calculations. C. Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades As stated above, Docks 11 and 13 are used for airport equipment storage and are therefore, 100% eligible. 3

ESTIMATED TOTAL PROJECT COST Electrical Primary Underground Service... $655,000 International Terminal Generator Upgrade... $192,000 Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades... $106,000 Total Project 1... $953,000 ESTIMATED ELIGIBLE PROJECT COST Electrical Primary Underground Service... $434,324 International Terminal Generator Upgrade... $152,665 Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades... $106,000 Eligible Total Project 1... $692,989 Ineligible Total Project 1... $206,011 SCHEDULE Estimated Project Implementation Dates: Electrical Primary Underground Service... August 1, 2011 International Terminal Generator Upgrade... August 1, 2011 Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades... August 1, 2011 Estimated Project Completion Dates: Electrical Primary Underground Service... Nov 1, 2011 International Terminal Generator Upgrade... Nov 1, 2011 Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades... Nov 1, 2011 4

APPENDIX A 5

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY SUMMARY Domestic Terminal (SF) International Terminal (SF) Total Terminal Buildings public space: 55,446 72,088 127,534 Terminal Buildings non-public/lease space: 38,078 18,574 56,652 93,524 90,662 184,186 Eligibility 59.3% 79.5% 69.2% A. Electrical Primary Underground Service total cost eligiblity eligible cost Docks 11 and 13 $51,700 100.0% $51,700 Hotel $50,710 0.0% $0 Terminal Buildings $552,590 69.2% $382,624 $655,000 $434,324 B. International Terminal Generator Upgrade $192,000 79.5% $152,665 C. Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades $106,000 100.0% $106,000 $692,989

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY - DOMESTIC TERMINAL - 1st FLOOR Room Eligible Ineligible Room Name Number Area (S.F.) Area (SF) 102 Closet 23 0 A Freight Elev. A 36 0 103 Vestibule 53 0 104 Receiving Corridor 120 0 B Elevator B 75 0 107 Coffee Shop Storage 0 415 108 Storage 0 154 109 Toilet Room 0 51 110 Delta Baggage 0 1511 111 Delta Office 0 74 112 Delta Lockers 0 75 114 Vestibule 0 34 115 Delta Baggage 0 260 116 Delta Breakroom 0 293 117 Delta Storage 0 133 118 Delta Office 0 97 119 Delta Women's Restroom 0 73 120 Delta Men's Restroom 0 70 121 Delta Office 0 116 122 Delta Office 0 135 125 Baggage Handling (Outside) 0 11349 126 Allegiant Office 0 229 127 Allegiant Office 0 154 128 Allegiant Office 0 101 129 Allegiant Office 0 40 130 Allegiant Office 0 293 131 Allegiant Office 0 125 132 Maintenance Storage 0 342 133 Maintenance Storage 0 76 134 Maintenance Vestibule 0 65 135 Maintenance Storage 0 106 136 Parking Enforcement 0 185 137 Ticketing 0 1524 138 Ticket Queue 885 0 139 Corridor 1877 0 140 Vestibule 310 0 141 State Police 0 216 142 TSA Office 0 178 143 Men's Restroom 171 0 144 Janitor's Room 50 145 Women's Restroom 169 0 146 Vestibule 178 0

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY - DOMESTIC TERMINAL - 1st FLOOR Room Eligible Ineligible Room Name Number Area (S.F.) Area (SF) 147 Lobby 6503 0 148 Baggage Claim 3274 0 S1 Stair S1 257 0 151 Avis 0 255 152 Budget 0 232 153 Hertz 0 232 154 National 0 232 155 Alamo 0 230 156 Vestibule 65 0 157 Women's Restroom 336 0 158 Janitor's Room 90 159 Men's Restroom 336 0 161 Gate 1 Holding 2737 0 162 Ticket Queue 1369 0 163 Ticketing 0 596 164 American Eagle 0 377 165 American Eagle 0 105 166 American Eagle 0 189 167 American Eagle Baggage 0 630 168 Vacant 0 119 169 Vacant 0 140 170 Baggage Vacant 0 742 171 US Air Office 0 115 172 US Air Office 0 119 173 US Air Baggage 0 775 176 US Air Office 0 144 - Elevator 57 0 -- Elevator Lobby 138 0 - Stair 289 0 - Elevator Machinery Room 66 0 - Stair 127 0 - Stairs/Escalator 355 0 First Floor Total 19806 23846

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY - DOMESTIC TERMINAL - 2nd FLOOR Room Eligible Ineligible Room Name Number Area (S.F.) Area (SF) 201 Boarding Lounge 8000 0 202 Boarding Lounge 2659 0 203 Boarding Lounge 1901 0 204 Boarding Lounge 1679 0 205 Boarding Lounge 1938 0 206 Lounge 14471 0 207 Concourse 923 0 208 USO 0 724 209 Coffee Shop Seating 0 645 210 Coffee Shop 0 1144 211 Kitchen 0 312 212 Storage 0 117 213 Office 0 143 214 Red Baron Lounge 0 1361 215 Vestibule 71 0 216 Women's Restroom 437 0 217 Men's Restroom 270 0 218 Closet 49 0 219 Concessions 0 809 220 Concessions Storage 0 225 221 Concessions Storage 0 232 222 Concessions 0 532 223 Office 0 128 224 Concessions 0 1046 225 Unfinished Space 0 6814 226 Gate 2A 1019 0 227 Corridor 268 0 228 Corridor 1157 0 229 Closet 49 0 230 Closet 53 0 - Stairs 397 0 - Stairs 299 0 Second Floor total 35640 14232 First Floor Total 19806 23846 Total Domestic Building 55446 38078

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY - INTERNATIONAL TERMINAL - 1st FLOOR Room Number Room Name Eligible Area (S.F.) Ineligible Area (SF) 178 Storage 423 0 179 International Check-in 2,554 0 180 Women's Restroom 127 0 181 Men's Restroom 145 0 182 Baggage Claim 4,105 0 183 Command Center 99 0 184 Search 69 0 185 Search 66 0 186 Conference/Training Room 0 399 187 Baggage 62 0 188 Baggage 77 0 189 USCS Office 0 220 190 Office 0 74 191 Office 0 71 192 USCS Office 0 153 193 USCS Office 0 794 194 USCS Office 0 182 195 USCS Office 0 146 196 Baggage 0 71 197 USDA Dog 0 136 198 USCS Storage 0 177 199 USDA Inspection 0 573 1100 USDA Cargo 0 132 1101 USDA Oil 0 199 1102 USDA Computer 0 82 1103 USDA Storage 0 72 1104 USDA Supervisor 0 194 1105 USDA Lab 0 203 1106 Staff Lounge 0 422 1107 Men's Restroom 333 0 1108 Women's Restroom 326 0 1109 Security Storage 0 103 1110 Storage 0 128 1111 Command Center 0 115 1112 General Office 0 1,053 1113 Immigration Port Director 0 138 1114 IMM Supervisor 0 149 1115 INS Reception 0 318 1116 Storage 0 96 1117 IMM Primary Inspection/Queuing 0 9,079 1120 Janitorial Closet 0 89 1122 Men's Restroom 320 0

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY - INTERNATIONAL TERMINAL - 1st FLOOR Room Number Room Name Eligible Area (S.F.) Ineligible Area (SF) 1123 Women's Restroom 337 0 1124 Child Care 131 0 1125 Holding Room 0 109 1126 Holding Room 0 136 1127 Holding Room 0 154 1128 Holding Room 0 72 1129 Interrogation Room 0 105 1130 Search 0 78 1131 Secure INS Reception 0 928 1132 Lab 0 120 1133 Computer Room 0 89 1134 USPHS Storage 0 80 1135 USPHS Isolation 0 87 1136 USPHS An??? 0 98 1137 Office 62 0 1138 Storage 0 109 1139 Storage 0 169 1140 Customs Inspection 12,113 0 1141 Corridor 102 0 1142 Corridor 120 0 1143 Corridor 213 0 1144 Corridor 363 0 1145 Corridor 112 0 - Stair 185 0 - Elevator 61 0 - Elevator 72 0 - Stair 451 0 - Stair 214 0 First Floor Total 23,242 17,902

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY - INTERNATIONAL TERMINAL 2nd FLOOR Room Number Room Name Eligible Area (S.F.) Ineligible Area (SF) 231 Security Checkpoint 1,752 0 232 TSA Break 0 312 233 Storage 0 417 234 TSA Administration 0 881 235 TSA Office 0 793 236 Smoking Lounge 664 0 237 In-Transit Sterile Lounge 6,504 0 238 In-Transit Sterile Lounge 11,329 0 239 Secure Corridor 3,353 0 240 Stair #3 777 0 241 Secure Corridor 1,002 0 242 Concessions 0 524 243 Vestibule 189 0 244 Corridor 1,261 0 245 Men's Restroom 255 0 246 Women's Restroom 263 0 247 Child Care 67 0 248 Men's Restroom 200 0 249 Women's Restroom 231 0 250 Men's Restroom 0 120 251 Women's Restroom 0 133 252 Corridor 0 390 253 Storage 0 85 254 Corridor 469 0 256 Concourse 9,972 0 257??? 659 0 - STAIR 175 0 - STAIR 214 0 - ELEVATOR 58 0 - STAIR 98 0 - ELEVATOR 58 0 - STAIR 217 0 Second Floor Total 39,767 3,655

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY - INTERNATIONAL TERMINAL 3rd FLOOR Room Number Room Name Eligible Area (S.F.) Ineligible Area (SF) 301 Airport Director 0 270 302 Conference Room 0 187 303 Superintendant of Operations 0 180 304 Assistant Airport Director 0 180 305 Operations/Dispatch 0 693 306 Briefing Room 0 126 307 Storage 0 99 308 Security 0 320 309 Conference Room 0 353 310 Storage 0 109 311 Office 0 141 312 Storage 0 80 313 Women's Restroom 0 70 314 Men's Restroom 0 23 315 Reception 0 461 316 Office 0 146 317 Conference Room 0 272 318 Office 0 927 319 Office 0 113 320 Computer Room 0 101 321 Office 0 130 322 General Office 0 420 323 Storage 0 36 324 Kitchen 0 189 - Corridor 0 470 Third Floor Total 0 6,096 Second Floor Total 39,767 3,655 First Floor Total 23,242 17,902 Total International Building 63,009 27,653

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION ELECTRICAL UPGRADES ELIGIBILITY UTILITY ROOMS (PRO-RATED) Pro-rated rooms (Domestic Terminal): Room Area Room Name Number (S.F.) 100 Boiler 636 101 Electrical 67 105 Electrical 158 105A Tele/Comm 51 106 Elevator Elec 50 123 Standby Generator 523 124 Electr/Alarm 221 149 Mechanical 999 150 Boiler 743 174 Electrical Room 48 175 Electrical Room 60 Total 3556 Pro-rated rooms (International Terminal): Room Area Room Name Number (S.F.) Generator 230 177 Boiler 902 1118 Mechanical 818 1119 Elevator Mechanical Room 150 1120 Janitor 90 1121 Electrical Room 144 255 Electrical Room 114 Total 2218

2. RENOVATIONS IN DOMESTIC TERMINAL DESCRIPTION This project includes design and construction of high priority upgrades to the existing domestic terminal building which will improve passenger flow, better utilize existing lower level terminal space, and improve the energy efficiency of the building. The project will include upgrades to: a. lower level public restrooms b. public vertical circulation elements (elevator and escalators) c. main entrances and support spaces along curbside edge of ticket lobby. d. consolidation of airline ticket counters, including relocation of spaces to accommodate new outbound baggage screening system (funded by TSA) JUSTIFICATION The 2007 terminal area study identified significant deficiencies in safety, security, efficiency, terminal functionality, and passenger service. Various conceptual approaches to address these deficiencies were identified and assessed. This project will address the highest priority elements indicated in the 2007 study. PROJECT OBJECTIVE The primary goal of the Project is to make improvements to existing building deficiencies in security, safety, functional efficiency, and customer amenity. Expansion to accommodate increased capacity IS NOT being proposed as part of this effort. ELIGIBILTY Costs related to administrative (nonpublic use) space and any equipment, furnishings or facilities used in revenue production (e.g., snack bar equipment or furniture, vending machines, telephones, reservation lines) are not allowable costs. Therefore, these costs must be broken out of the overall cost of the project. The work is contained to the first floor of the terminal building. A sketch of the proposed renovation is included. The calculations for the percentage of public space are also included in Appendix B. The percentage of public space (eligible space) has been calculated to be 74.0%. ESTIMATED PROJECT COST Total Project 2... $4,000,000 6

Eligible Cost (@59.4%)... $2,376,000 Ineligible Cost... $1,624,000 PROPOSED SCHEDULE Estimated Project Implementation Date... January 1, 2012 Estimated Project Completion Date... March 1, 2013 7

APPENDIX B 8

BANGOR INTERNATIONAL AIRPORT 2011 PFC APPLICATION TERMINAL BUILDING RENOVATIONS ELIGIBILITY Public Space: Room Area (SF) Lobby renovations 16,500 new restrooms 900 Subtotal 17,400 Non- Public Space: Room Area (SF) rental car space/ state police 1,600 airline ticket counters (south end) 11,300 Subtotal 12,900 Total area of renovations 30,300 Eligible 57.4% Ineligible 42.6%

3. PFC APPLICATION COSTS DESCRIPTION Professional services are required to assist the airport staff with the preparation of the application and the previous amendment to collect Passenger Facility Charges (PFC's). This will include the preparation of supporting documentation such as project sketches, funding scenarios, narratives of need and justification for the projects, and assistance with the preparation of the Airport Capital Improvement Program, including cost estimates. JUSTIFICATION The Airport has contracted for assistance with the preparation of documentation, cost estimates of projects, graphics, assistance with airline consultation, and general matters relating to the application to collect PFC's. ESTIMATED GROSS PROJECT COST a. PFC Application Costs... $43,700 PROPOSED SCHEDULE Estimated Project Implementation Date... February 1, 2011 Estimated Project Completion Date... September 1, 2011 9

FINANCIAL PLAN

Financial Plan Exhibit A-1 shows a Summary of Project Costs for the new PFC program at Bangor International Airport. The amount of this new impose and use application is $3,726,708 In accordance with Section 158.23(b)(3)(ii), Exhibit A-2 presents the calculation of the net PFC revenue that is anticipated to be collected by the City and used to pay for the PFC projects. PFC collections are currently being collected at a rate of $4.50 per passenger. Exhibit A-2 shows the amount of PFC fees collected through March 31, 2011. An estimated 92% of the projected enplaned passengers will be required to pay a PFC. The air carrier fee is calculated at $0.11 per qualifying passenger. The anticipated expiration date is July 1, 2015. Exhibit A-3 presents the cash flow for the projects using the project costs per year and the net collected PFC revenues.

EXHIBIT A-1a 2011 APPLICATION BANGOR INTERNATIONAL AIRPORT PFC PROGRAM SUMMARY Equipment/ PFC PFC PROJECT DESCRIPTION Construction A/E Costs Total Eligible Ineligible 1 Purchase Snow Removal Equipment $1,756,330 $0 $1,756,330 $1,756,330 $0 2 Electrical Improvements A. Electrical Primary Underground Service $600,000 $55,000 $655,000 $434,324 $220,676 B. International Terminal Generator Upgrade $176,000 $16,000 $192,000 $152,665 $39,335 C. Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades $90,000 $16,000 $106,000 $106,000 $0 3 Terminal Building Renovations, Phase 1 $3,620,000 $380,000 $4,000,000 $2,297,030 $1,040,000 4 PFC Application Costs $66,800 $66,800 $66,800 0 TOTAL: $6,242,330 $533,800 $6,776,130 $4,813,149 $1,300,011 Page 1 of 1

EXHIBIT A-1b 2011 APPLICATION BANGOR INTERNATIONAL AIRPORT PROJECT SUMMARY PFC PFC PROJECT DESCRIPTION Construction A/E Costs Total Eligible Ineligible 2 Electrical Improvements A. Electrical Primary Underground Service $600,000 $55,000 $655,000 $434,324 $220,676 B. International Terminal Generator Upgrade $176,000 $16,000 $192,000 $152,665 $39,335 C. Docks 11 and 13 Interior Electrical Distribution Equipment Upgrades $90,000 $16,000 $106,000 $106,000 $0 $692,989 3 Terminal Building Renovations, Phase 1 $3,620,000 $380,000 $4,000,000 $2,297,030 $1,702,970 4 PFC Application Costs $43,700 $43,700 $43,700 $0 TOTAL: $4,486,000 $510,700 $4,996,700 $3,726,708 $1,962,981

EXHIBIT A-2 2011 APPLICATION BANGOR INTERNATIONAL AIRPORT CALCULATION OF TOTAL PASSENGER FACILITY CHARGE REVENUE PFC PROGRAM CALENDAR TOTAL ENPLANED ASSUMED PFC - ELIGIBLE TOTAL ESTIMATED AIRLINE COLLECTION NET PFC REVENUE YEAR PASSENGERS (1) ENPLANED PASSENGERS (2) PFC REVENUE (3) FEES (4) (5) Collected through March 31, 2011 $1,254,586 2011 148,805 136,900 $616,050 $15,059 $600,991 2012 198,406 182,534 $821,399 $20,078 $801,321 2013 202,374 186,184 $837,828 $20,480 $817,348 2014 206,422 189,908 $854,586 $20,889 $833,697 2015 125,084 115,078 $517,847 $12,658 $505,207 881,092 810,605 $3,647,709 $89,164 $4,813,149 (1) Based on actual enplaned passengers for 2010 (194,516) with 2% growth thereafter. (2) Based on 92% of Total Enplaned Passengers (3) Assumed PFC eligible passengers X $4.50 (4) Assumed PFC eligible passengers X $0.11/passenger Collection started December 1, 2010 (5) Total Estimated PFC Revenue - Airline Collection Fees Anticipated Expiration Date - July 1, 2015 Page 1 of 1

EXHIBIT A-3 2011 APPLICATION BANGOR INTERNATIONAL AIRPORT PFC PROGRAM CASH FLOW Prior to CY CY CY CY CY PROJ DESCRIPTION 3/31/2011 2011 2012 2013 2014 2015 CASH BALANCE: (BEGIN CY) $1,254,586 ($524,844) ($2,957,572) ($2,156,251) ($1,338,903) ($505,206) 1 Purchase Snow Removal Equipment (1,756,330) 2 Electrical Improvements (692,989) 3 Terminal Building Renovations, Phase 1 (2,297,030) 4 PFC Application Cost ($23,100) ($43,700) TOTAL ANNUAL COST: ($1,779,430) ($3,033,719) NET COLLECTED PFC (CY): $600,991 $801,321 $817,348 $833,697 $505,207 TOTAL AVAILABLE NEXT CY: ($524,844) ($2,957,572) ($2,156,251) ($1,338,903) ($505,206) $0 ($xxxxx) = Cash Out $xxxxx = Cash In Page 1 of 1

EXCLUDED CARRIERS

Bangor International Airport Passenger Facility Charge Program Carriers Excluded From Collecting PFCs JUSTIFICATION: BGR is excluding On-demand Air Taxi Commercial Operators (ATCOs). The annual revenue to BGR from each proposed excluded carrier would be less than $200.00. These revenues would not cover the cost of the airport s recordkeeping requirements and the cost of the annual audit. For the largest collecting carrier in the excluded class this translates to a compensation of $1.11 per month to pay for the expense of collecting and remitting the PFCs. This equals $3.33 per quarter to cover the cost of the quarterly report requirements of FAR Part 158.65. If the quarterly reports are not required then there is only $13.31 available for the required annual report. These compensation levels do not cover the costs of the monthly remittance and annual report for the carrier. EXCLUDED CARRIERS: Subsection 11 of FAR Part 158 permits the Bangor International Airport to request that a class of air carriers not be required to collect PFCs. Such a class is one that constitutes less than 1% of the total number of passengers enplaned annually at the airport. The airport intends to request that On Demand Air Taxi Commercial Operators (ATCO) that (1) do not enplane or deplane passengers at the airport's main passenger terminal building and (2) enplane less than 200 passengers per year at the airport be exempt from collecting PFCs. This class of carriers represents less than 1% of total passengers enplaned annually as recorded on FAA Form 1800-31. Carriers excluded from collecting PFCs at the Bangor International Airport based on FAA Form 1800-31 reporting for calendar year 2010 are: Capital Excel Inc.... 3 enplanement ElanAir, Inc..... 6 enplanements Executive Air Charter of Boca Raton.... 2 enplanements Executive Jet Management, Inc..... 43 enplanements Flight Services Group, Inc..... 2 enplanements Jet Solution, LLC... 50 enplanements Jetchoice 1 LLC... 87 enplanements Maine Instrument Flight... 79 enplanements Modesto Executive Air Charter, Inc.... 4 enplanements Nxaero LLC... 4 enplanements Ontario Air Service, Inc.... 1 enplanements Pro Airways LLC... 5 enplanements

Silver Ranch Airpark, Inc.... 10 enplanements Sun Aviation, Inc.... 2 enplanements Twin Cities Air Service LLC.... 121 enplanements Total enplanements of excluded carriers:... 419 enplanements Total enplanements of all carriers:... 194,516 enplanements Percentage of total enplanements for excluded carriers:... 0.21% 14