Now the major announcement may be a a corporate jet being based at ORH? Don't get me wrong, I think it is a great that a corporate jet will be calling ORH home, but when we just lost our one commercial carrier while we are losing $2,000,000 per yeat--is this a major announcement?
On this Sunday morning lets review some of the outstanding questions:
- Master Plan from Jacobs (old Leigh Fisher) Consulting?
- IMG recruitment efforts that we have spent over $100,000?
- ORH name change?
- Are we still charging a fuel tax?
- Leaks in terminal roof?
- Airport Drive Construction?
- MassPort negotiations with 8 months remaining?
- RFP's for the vacant parcels and restaurant?
In light of these open questions and the City Manager's recent 5 year year forecasts to limit debt and the fact our free cash has dropped significantly, I do not see any other option other then the outright sale or 99 year lease to MassPort. A sale will:
- Provide an initial capital infusion or annual cash payment depending on terms
- Negotiate a PILOT with MassPort as well
- MassPort has the expertise and cash to turn ORH around and the success of ORH will bring even more tax revenues
Extending the current agreement with MassPort that has not worked already for 8 years makes no sense whatsoever.
3 comments:
The next few months should prove interesting after the elections. Both candidates for governor stated in Saturdays T&G (frontpage)that transportation (both rail and the airport) were vital in the plan to rejuvinate Central Mass.
I agree with your points on Massport but I think there would be too much opposition :(residential owners adjacent to the airport, access road opponents,and possibly even the current customer base and business owners currently at the airport.)All with valid points I'm sure.
I also agree lack of communication has been a stumbling block.
As for commercial flights-the airport is best served by a carrier providing short-haul connecting destinations to New York , Philadelphia,Chicago. A lot of people I've spoken to miss flying out of Worcester . They'll fly out of Providence, Boston, Manchester , but prefer the convenience of Worcester Airport,and would gladly pay a higher price just for the convience factor alone.
Even though it's always best to hold onto an asset, Worcester can't finacially operate the airport as it stands now 100% on its own.
WT:
I agree with everything you say.. Believe me two years ago, I never would have said sell ORH. Watching how this airport is being run the past two years has changed my mind.
This is not an asset in its current state, but a liability that is losing 2 million dollars per year. If we could turn things around while keeping it, I would agree.
Sorry, I just do not see that ever happening, thus my recommendation to sell.
Bill, I think you just said it best. It is how the airport is being run. Even if ORH it self has problems and is a hard sell to airlines......the current management setup is not bottom line oriented.
We have to have some one up there who has money on the line. Deadlines seem to come and go and no seems to care....WHY????............everyone still picks up a nice fat paycheck every week w/o regard to performance.
WT, if we're going to continue to bow to political pressure from abutters and current airport customers, then I think we should close the thing now.
, For what it's worth ,I heard on the Boston radio news Saturday afternoon that most new England area airports are experiencing fewer flights on a year to year basis with Logan having a small marginal increase.
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