Lets for a second assume, Direct Air is a huge success and that we, again for arguements sake, charge for parking. It will have very little effect on on our bottom line. We will still be losing $2,000,000 per year and we still should not be in the airport business.
In other words, although we should do everything we can do to make Direct Air a success, we need to pursue Plans B and C now, not later as we wait for additional studies??
Plan B: Find out how much we would save if we downgraded to only General Aviation. Based on that number, decide if we should downgrade or not.
Plan C: Put an RFP to long-term lease or outright sell ORH. We should be grateful to MassPort, but if they are not willing to take control due to access, guess what? An access road is not coming anytime soon. There are airport management companies and god knows who else that may in fact be interested in ORH. No different then the management company that runs another city owned asset, the DCU Centre.
Then eventually Plan D.
Plan D: If Plan B and Plan C do not work, we can not afford to lose $2,000,000 per year to have Direct Air to fly out of ORH and would need to close ORH and have our local delegations make efforts to waive repayment of past grants given for the airport.
Same Time Next Year
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It’s been nearly a year since I wrote about the problems that come from
having 11 bosses who are not on the same page about anything, as well as
suggestion...
4 months ago
5 comments:
Bill,
Plan B is a no-brainer. Worcester collects more in rent its tenants than Fitchburg spends operating their airport (excluding fuel purchased for resale).
If Worcester were operated in a responsible fashion, it would be costing the taxpayers zero.
The mistakes of the past (debt service) still need to be addressed, but this will not go away even if the airport is closed.
Plan D is unlikely the city has to pay back all the money it owes. Plus the city still holds ORH as a status symbol.
According to the Fitchburg City Budget, they spent $164,392 on airport expenses, $48,852 for the airport manager, and $33,280 for the administrative assistant. This is a total of $246,524 for the YEAR.
I removed expenses related to fuel because Worcester contracts that out to Swissport.
Why is TWENTY TIMES THAT AMOUNT spent on ORH?
Steve
That is the exact kind of analysis that we need run on ORH
Bill
It's spent b/c the Worc political establishment is afraid of the city labor vote........if they downgraded or shuttered ORH.......remember once you get on the city it's life time gig and/or a partial lifetime gig unmtil you max out at teh top pay scale for your job classification......at which time you can become disabled and possibly bring home even more $$$
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