Fact-checking recent comments

Statements made by a city official at a recent Portland Aviation Board meeting about airport revenue streams were in error.

During that meeting, which included discussion of advertising for a new airport manager, Portland Mayor Bruce Hosier said he felt airport fees - specifically hangar rental fees and a fuel flowage fee that, as it turns out, was never adopted - have not been collected as they should be by current manager Dave Miller.

But when asked about his concerns on Friday, Hosier said he was not sure who was responsible for collecting hangar fees and fuel flowage fees.

Randy Geesaman, city clerk-treasurer, said later that afternoon that he is responsible for collecting the hangar fees, and that the fees are being collected on schedule. "(The mayor) misspoke," he said.

Geesaman said city officials have never approved fuel flowage fees at the airport. Such a collection would have to be approved by the aviation board, he said.

"We weren't alleging" any theft or misappropriation of funds, Greg Guerrettaz of Financial Solutions Group said Monday. "We just wanted to make sure everything that could be rented was being rented."

If, for example, half of a large building was being used by airport management that could otherwise be rented, the city would have an interest in maximizing rental revenues, Guerrettaz said.

As to the fuel flowage fee, he said, "That's one I'd need to check on."

"The whole thing needs to be looked at," Guerrettaz added. "The minute that public money is involved the whole level of scrutiny goes up."

Hosier also stated during the Jan. 20 meeting that the airport only brings in about $20,000 per year, but expenses are about $300,000.

Hosier said what he meant was that the annual budget for the airport ranges from $250,000 to $300,000. Annual expenses are about $150,000. He said the excess funds are budgeted to set aside money for the planned runway and taxiway extensions.

During the meeting, board members also questioned details of Miller's most recent contract with the city - which expired Jan. 1, 2007. He has been on a month-to-month contract ever since.

See Fact page 5

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During the meeting, board member Bob Sours said Miller is supposed to write monthly reports on the airport for the aviation board.

The contract states that Miller is supposed to write reports about any deteriorating conditions at the airport every three months (quarterly).

During the meeting, Miller said he would make monthly reports if requested by the board.

Sours also said that Miller's business, Miller Aviation, is not supposed to occupy the terminal building at the airport. The contract says the terminal/administration building is to be used for city/public uses and that property of the lessee (Miller Aviation) is to be stored in other areas.

Miller said last week that he is considering building his own offices in a hangar and moving out of the terminal building.

"I've never been told I've taken over the terminal building until I got to that meeting," he said. "I've never been told I need to turn in a written report."

During that Jan. 20 meeting, aviation board president Glynn Barber pointed out, correctly, that the FAA requires separate contracts for the manager of the airport and the fixed base operator (FBO).

According to FAA spokesperson Elizabeth Cory, the FAA does not have a problem with same person serving as airport manager and a FBO.

"A lot of airports have the same person," she said. "That's a pretty common practice."

Cory also said that the FAA does recommend that there be separate contracts for the FBO and the airport manager. "Because it makes it cleaner," she said.

Barber, responding to what he said were rumors and questions posed to him recently, said this morning that he is not interested in the airport manager position.

Miller said he was shocked when he learned during the meeting that he could lose his job as airport manager.

"I had no indication whatsoever, and I've never had any complaints from the city. It hit me when I got there," he said.

Miller and Guerrettaz have been sparring since 2008 over the financial consultant's efforts to get a better handle on airport finances.

A request in January 2008 to examine the financial records of Miller Aviation on a confidential basis was rejected.

"The financial records of Miller Aviation do not pertain to the contact the city of Portland has with David Miller for the management of Portland Municipal Airport," Miller wrote Guerrettaz.

But the financial consultant compared the situation to public utilities operated by a private company. "If we can't get internal financial statements of an entity, we'll want to get the tax returns" since the entity is operating a public asset, Guerrettaz said.

Miller said he would like to continue to serve as airport manager, and would keep his business at the airport if he were replaced as manager.

"I love this airport. I love this city," he said. "I don't want to see it end up like other airports that have no action. I think I'm an asset to the airport."[[In-content Ad]]