METROPOLITAN AIRPORTS COMMISSION FULL COMMISSION MINUTES SCHEDULED MEETING Tuesday, 1:00 p.m. Room 3048A Lindbergh Terminal Wold Chamberlain Field Minneapolis-St. Paul International Airport Call to Order A scheduled meeting of the Full Commission, having been duly called, was held Tuesday, in Room 3048A, Terminal 1-Lindbergh, Minneapolis-St. Paul International Airport. Chair Boivin called the meeting to order at 1:00 p.m. The following were in attendance: Commissioners: Cramer, Crimmins, Deal, Gartland, Geisler, Hamilton, Harris, Hoard, King, Madigan, Mohamed, Monaco, Peilen, Prosser, and Chair Boivin Staff: J. Hamiel, D. Probst, T. Anderson, G. Warren, R. Fuhrmann, S. Busch, S. Douma, G. Ballweber, L. Grzechowiak, J. Felger, B. Peters, N. Ralston, P. Hogan, M. Bents, E. Johnson, I. Rhawie, C. Boyd, T. Finley, S. Gentry, M. Kilian, M. Christenson, J. Nawrocki, P. Rasmussen, M. Krogh, A. Howell, B. Rief, G. Schmidt, P. Burke, C. Leqve, D. Nelson, J. Kedrowski Others: Ross Kramer, Messerli & Kramer; Cara Letofsky, Met Council; Chris Warren, Inter VISTAS; Gordon Goss, Delta Flight Ops; E. Hall, ALPA; Jeff Davidman, Ben Hirst, Delta Air Lines; Dawn Erlandson, Aurora/Delta; John Weber, Avis Budget Group; Tim Dougherty, Delta; Cliff Van Leuven, TSA; David Harmon, Menzies Aviation; Jeff Hart, Delta Air Lines; Matthew O Donnell, DN-CBRP; Hailey McGarvey, SCA; Kristen Painter, Star Trib; Kevin Kirchberg, Delaware North; Terry Mahlum; Delaware North; Elaine Buckner, Diane Langer, FAA-ATC, Vince Anderson; Frank Lorenz, Hulke & Gheer; Ross Kramer, Patrick Hynes, Messerli & Kramer; Kerry Panner, Sarah Janecek, Caribou; Eric Hall, Delta Air Lines OPEN FORUM The Open Forum is a portion of the Commission meeting where persons are allowed to address the Commission on subjects which are not a part of the meeting agenda. The following comments were received: Frank Lorenz, Hulke & Gheer, addressed the Commission regarding airport public relations. CONSENT The following consent items were approved by roll call vote as indicated: COMMISSIONER KING MOVED AND COMMISSIONER GARTLAND SECONDED APPROVAL OF THE CONSENT AND COMMITTEE AGENDA ITEMS AS LISTED BELOW: The Motion passed on the following roll call vote: Ayes: Fourteen Cramer, Crimmins, Deal, Gartland, Hamilton, Hoard, King, Madigan, Monaco, Peilen and Chair Boivin Absent: One Harris
Reports Passenger and Operations Summary Full Commission Meeting Page 2 Jeff Hamiel, Executive Director/CEO, provided an update on passenger and operation trends. Lease Actions Board File No. 13838 Minneapolis-St. Paul International Airport Approval of a second amendment to the Morpho Trust, Inc., office space lease agreement for Terminal 1Lindbergh establishing a one year term. Approval of a third amendment to the Terminal 1 and Terminal 2 office space agreement with General Services Administration for the TSA amending agreement for 2016 TSA rental rates. Approval of a seventh amendment to the Prime Flight Aviation Services, Inc., office space lease agreement for Terminal 1-Lindbergh adding room E-1331.01. Approval of an airline operating agreement and terminal building lease 2007A amendment 2014 amendment and 2015 amendment with Air Georgian Limited, Flying Cloud Airport Approval of a limited commercial lease for Bearpath Investment Group, LLC, Lot 102, 102AJ and 102AP. The authorized uses under the lease would be the storage of aircraft, aircraft maintenance, the sale of parts and accessories incident to aircraft and rental of retail office space. Approval of a consent to a commercial sublease between Bearpath Investment Group, LLC and Propilot LLC for Lot 102,102AJ and 102AR. Approval of a consent to a commercial sublease between Bearpath Investment Group, LLC and Global Express Group, LLC (dba Club Jet) for Lot 102, 102AJ and 102AP. AUTHORIZE THE LEASES, CONSENT TO TRANSFERS, AMENDMENTS, ASSIGNMENTS, CONSENT TO SUBLEASE, LICENSES, AND OTHER ACTIONS AS INDICATED. ALL SUCH APPROVALS ARE SUBJECT TO PAYMENT OF ALL RENT OR MONEY OWED THE COMMISSION, COMPLIANCE WITH THE TERMS OF ALL EXISTING AGREEMENTS AND PAYMENT OF APPLICABLE ADMINISTRATIVE FEES, IF ANY. AUTHORIZE THE EXECUTIVE DIRECTOR/CEO OR A DESIGNATED REPRESENTATIVE TO EXECUTE THE NECESSARY DOCUMENTS. Approval of Minutes Approval of the Minutes of the December 21, 2015 Commission meeting. Financial Report Board File No 13839 Approval of the amount of $24,147,371.36 Planning, Development & Environment Committee Board File No 13940 BII Reports Information A. Change Management Policy and Project Status Report B. Professional Service Authorizations Quarterly Report BIII. Consent A. Final Payment MAC Contracts 1. Terminal 1-Lindbergh FIS Facility Expansion BP 1 2. 2015 Parking Ramp Railing Refinishing Phase 1 3. General Office Building EOC Improvements 4. St. Paul Downtown Airport 2015 Pavement
Page 3 Rehabilitation Taxiway E 5. Anoka County-Blaine Airport 2015 Airfield Signage Electrical Improvements B. Bids Received MAC Contracts 1. 2016 Electrical Infrastructure Rehabilitation Phase 8 2. 2016 Emergency Power Upgrades Phase 7 3. 2016 Concessions Program Quarter 2 4. Terminal 1-Lindbergh Northwest Drive Grade Separation BP2 C. Terminal 1-Lindbergh Public Seating Replacement Purchase Orders BIV. Discussion Information A. Construction Season: 2015 Review and 2016 Preview Management & Operations Committee Board File No 13941 CII. Reports Information A. Professional Service Authorizations Quarterly Report CIII. Consent A. Purchasing/Service Contracts 1. EnterpriseOne Support Agreement Renewal 2. Porter Service Contract with G2 Secure Staff Services Renewal and Amendment CIV. Discussion Information A. Concession Retail Batch 302 Lease Update B. Fire Department Briefing C. Landside Department Briefing D. Construction Season: 2015 Review and 2016 Preview Special Management and Operations Committee 13945 SC A. Transportation Network Company (TNC) Ordinance Public Hearing DISCUSSION Board File No 13942 There were no discussion items. OLD BUSINESS Board File No 13943 1. MSP Air Traffic Management Update Elaine Buckner, FAA Air Traffic Manager, provided an update regarding the use of Runways 30L, 30R and 35. Specifically, the review underway in analyzing Converging Runway Operations (CRO) and its impact on arrivals and departure capacity at MSP when winds require departures toward the North and Northwest. This was an information item. No Commission action was requested. 2. Strategic Planning Update Dennis Probst, Executive Vice President, provided an update on the Strategic Plan Mission and Vision approval as follows: Levels of the Strategic Plan
Page 4 2017-2022 Strategic Planning process Mission Statement: Connecting you to your world. Vision Statement: Providing North America s best airport experience. Measuring the Airport Experience Airport Service Quality (ASQ) Program MSP s Performance History in ASQ Panel of Airports All North American Airports All Participating Airports All Airports in the World Following lengthy discussion regarding the language of the Vision Statement, the following Motion was made. COMMISSIONER MONACO MOVED AND COMMISSIONER CRIMMINS SECONDED APPROVAL TO ADOPT THE MISSION STATEMENT: CONNECTING YOU TO YOUR WORLD AND THE VISION STATEMENT: PROVIDING YOUR BEST AIRPORT EXPERIENCE. The Motion passed by voice vote: Ayes: Eleven Crimmins, Deal, Geisler, Hamilton, Harris, King, Madigan Mohamed, Monaco, Peilen and Chair Boivin Absent: Four Cramer, Gartland, Hoard, Prosser NEW BUSINESS Board File No 13944 1. Impact of Current U.S./Japan Discussions on MSP Tokyo Direct Service Ben Hirst, Delta Air Lines, addressed the Commission regarding a concern that MSP could lose its Delta Flight to Tokyo, through which people connect to destinations throughout Asia and provided this information: U.S. and Japan entered into an Open Skies agreement in 2010, it applied to Narita Airport, to which most U.S. carriers fly but not to Tokyo s more convenient Haneda Airport. Japan only wants to open a few Haneda slots at a time to U.S. Airlines, which wouldn t allow for hub operations like Delta s Narita hub. The result is that Asian Airlines operating at Haneda, which is convenient for residents of the Tokyo metropolitan area, will have a distinct advantage over U.S. carriers at Narita because of the significant drive for most Tokyo residents. As Tokyo customers shift to the more convenient Haneda Airport, airlines like Delta operating at Narita might lose the critical mass of customers it needs to maintain its hub at Narita. If Delta closes or significantly downsizes its Narita hub, MSP could lose its only service to Asia. If the U.S. doesn t push hard and isn t successful, Delta has stated it will end their Tokyo flight. Eric Hall, Delta Air Lines Pilot, talked about the potential impact on pilot jobs if Delta loses the Tokyo flight. Commissioner King stated that he has written letters to Secretary Foxx, Senator Amy Klobuchar, and Secretary Kerry to support the idea of rethinking the agreement and the impact the agreement will have on the business community. Lengthy discussion followed as to how to proceed. COMMISSIONER KING MOVED AND COMMISSIONER PROSSER SECONDED TO DIRECT STAFF TO
Page 5 SEND A LETTER, AS SOON AS POSSIBLE, TO THE APPROPRIATE PEOPLE IN SUPPORT OF DELTA S POSITION. The Motion passed unanimously on a voice vote: Ayes: Fifteen Cramer, Crimmins, Deal, Gartland, Geisler, Hamilton, Harris, Hoard, King, Madigan, Mohamed, Monaco, Peilen Prosser and Chair Boivin Absent: None 2. Air Service Introductions & Airline Industry Overview Brian Peters, Asst. Director, CMAA & Air Service Business Development, stated for the past seven years, MAC has experienced very successful growth of new air service being introduced to MSP. Since 2008, MAC has welcomed five new airlines to MSP, introducing 22 new routes. MSP s incumbent airlines have introduced, and continue to operation another 23 routes. The momentum continues in 2016, as another 12 routes have already been announced by seven airlines to commence in 2016. He introduced MAC s consultant Chris Warren, Vice President of InterVISTAS, who presented InterVISTAS perspective of the airline industry and MAC s air service business developing planning. He provided an airline industry overview, the Minneapolis-St.Paul marketplace and strategic assessment. This was an information item. No Commission action was requested. ANNOUNCEMENTS There were no announcements. Chair Boivin adjourned the meeting at 3:25 p.m.