Zimmer Insists on Hangar Contract with No Conditions
Posted
Craig Brosman-
A previously approved hangar lease between the Warsaw Board of Aviation Commissioners and Zimmer Corp. is now under reconstruction.
Warsaw Municipal Airport Manager David Beall informed the board Tuesday that John Martell of Zimmer Corp contacted him and told him that Zimmer insisted on a five-year lease with a two-year opt-out provision with no conditions. Previously the board had agreed to a five-year lease with two-year opt-out provision on the condition that Zimmer build a new hangar.
The board discussed the issue briefly and the possibility of increasing the lease amount was an option. The current lease amount per month for the Zimmer hangar is $3,250. It was stated that it is not uncommon for a lease to be more expensive based on the flexibility of the lease.
Both Gene Zale and Jay Rigdon wanted more time to think about the situation.
“I think we should hold off on the decision to see what the purpose of this is,” Zale said.
The discussion over funds for future projects at the airport continued during the engineer’s report given by Ken Ross.
Ross informed the board that the Federal Aviation Administration had received a four year re-authorization, but the grant assistance will drop from 95 percent to 90 percent.
“Next year the downside is if the state doesn't come up with funds then your share of the power line project could increase from $62,500 to $187,500,” Ross said. “The change that has been made has come quickly and everyone is scrambling.”
Ross also informed the board that the Indiana Department of Transportation requested that the distribution of funds in the Capital Improvement Program be changed to reflect the new funding formula.
The next meeting is March 13, at 5:15 p.m. at the Warsaw Municipal Airport Terminal building.
