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Jersey Aero Club Relocation: Grant of Funds

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JERSEY AERO CLUB RELOCATION: GRANT OF FUNDS _______________

Lodged au Greffe on 22nd February 2000 by the Harbours and Airport Committee

______________________________

STATES OF JERSEY

STATES GREFFE

180             2 0 0 0    P . 2 0          

Price code: B

PROPOSITION

THE STATES are asked to decide whether they are of opinion -

  (a ) to agree, in principle, the financial package offered to the Jersey Aero Club, as set out in the report of the

Harbours and Airport Committee dated 26th January 2000; and

(b ) to request the Finance and Economics Committee to make a grant of £650,000 to the Jersey Aero Club from

the general reserve.

HARBOURS AND AIRPORT COMMITTEE

Note: T he Finance and Economics Committee supports this proposition and is prepared to make the grant of £650,000

available from the general reserve if the States agree.

REPORT

Background

The Alpha (eastern) Taxiway is nearing the end of its useful life and has to be replaced by 2002. The Harbours and Airport Committee has considered a number of replacement options, and the preferred one is to construct a new taxiway south of the existing taxiway (see attached Appendix). The present taxiway is inadequate for larger jets now using the Airport. The advantages of relocating the taxiway further south are -

  1. T h e p roposed taxiway location will largely conform to international and United KingdomCAA recommendations with regards to the distance that the taxiway should be from the runway to provide an obstacle-free safety zone and reduce the risk of damage to aircraft running off the runway or flying slightly off-line during a missed approach or take-off.
  2. T  h e n ew taxiway will be able to handle larger and heavier aircraft. Currently, aircraft over 50 tonnes use the runway to taxi down to the holding area prior to take-off; this causes delays to the movement of aircraft.
  3. T h e n ew taxiway will have a new drainage system connected to a reed-bed to deal effectively with pollutants such as de-icing fluids.

The new Alpha Taxiway will involve the relocation of the Jersey Aero Club to a position east of its present location as shown in the attached Appendix. It will also involve the realignment of the road L'Avenue de la Reine Elizabeth II between the existing Aero Club and the Airport roundabout. In order to meet the timetable for replacing the Alpha Taxiway, it is necessary for the Aero Club move and the alterations to the main road to be carried out during 2000 and for the Alpha Taxiway to be constructed during 2001/2002.

Current position

Jersey Aero Club has been served notice by the Harbours and Airport Committee to vacate their current facilities so that the new Alpha Taxiway can be constructed. The Club's current lease expires on 23rd June 2000 and will not be renewed. The Aero Club currently employs 30 staff (16 full-time and 14 part-time) providing services to the local and visiting flying community. These services include flight training (a considerable number of pilots who were trained by the Aero Club now fly for commercial airlines), aircraft engineering and the use of the clubhouse. The loss of the Club and its facilities would not only affect the local flying community but also visiting aircraft and tourism.

The Harbours and Airport Committee and the Aero Club have had a number of discussions over the last eight or so years regarding the relocation of the clubhouse and hangar, and both parties have agreed to relocate the facility to the east of the present site. The Harbours and Airport Committee is funding the infrastructure costs, and the Jersey Aero Club wish to construct the hangar, clubhouse and an engineering facility.

Timetable

The timetable for the relocation of the Jersey Aero Club and the realignment of the main road is as follows -

  1. O ctober 1999 - December 1999 A er o Club enabling works
  2. J anuary 2000 - December 2000 A er o Club relocation works
  3. May 2000 - December 2000 R o a d re a lig nment
  4. January 2001 - February 2002 A lp h a T axiway construction

Financial package

The proposed financial package has been negotiated between the Harbours and Airport Committee and the Jersey Aero Club and has been approved by club members at a recent Annual General Meeting. The Harbours and Airport Committee is providing the infrastructure (earth works removal, aircraft parking area, certain drainage and the provision of other services) at a cost of £340,000. The Committee does not wish to borrow money to fund the relocation of the Jersey Aero Club but recognises that the construction of a new Alpha Taxiway was the reason that was forcing the Club to be moved. The Harbours and Airport Committee wishes the States to approve the following financial package -

  1. T h e J ersey Aero Club will provide up to £200,000 from their Reserve Aircraft Fund, being £150,000 towards the proposed hangar, clubhouse and engineering facilities and £50,000 towards architects' fees, etc.
  1. A o n e -off grant from the States to the Jersey Aero Club of £650,000.
  2. T h e H arbours and Airport Committee will contribute £80,000 from savings by re-engineering the parking apron outside the new Aero Club hangar. The original cost of the access road, parking apron and taxiway was £420,000 but has now been reduced to £340,000. The saving has been achieved by providing a tarmacked apron smaller than the original concrete apron.
  3. T h e g rant of £650,000 will in effect be recovered by increasing the Harbours and Airport Committee's annual financial return to the Treasury by £30,000, being the equivalent of an annual loan repayment over30 years with interest. The £30,000 per annum will be recovered by the Harbours and Airport Committee as follows -

(a ) a 40-year lease with the Jersey Aero Club with an annual rent of £10,500 per annum, subject to quinquennial

reviews;

(b ) th e Jersey Aero Club will also contribute an additional £2,500 through increased block landing fees which

will be subject to normal reviews;

(c ) th e balance of £17,000 will be raised through increased landing fees as from 2001 for private aircraft using

the Airport, including contract aircraft which are locally based.

APPENDIX

SCHEME FOR RELOCATION OF THE AERO CLUB TO THE EAST