Inside the Fence

Oct. 29, 2008

‘Tis the season when industry meetings come one upon another …

We have a federal agency hell-bent on implementing slot auctions in the Northeast. Airports, once considered a financially healthy part of the aviation system equation, are scrambling to maintain air service, and revenues. The message from Airports Council International is, don’t give up on airport capital programs … long-term, growth is coming.

For business aviation, the door to new aircraft orders was abruptly shut, leaving the sector to depart NBAA in Orlando with a ‘deer in the headlights’ look. It was the same look on delegates’ faces at AAAE in New Orleans in June. [Look for our complete NBAA wrap-up in our next issue.]

In Boston, the mood and dialog were surprisingly upbeat as airports from across the globe met for the joint ACI Worldwide/ACI-North America convention. Privatization was a buzzword this year — not sure if that reflects the international flavor of this meeting, or a rethink caused by the current economic times.

Asks John Clark, incoming ACI-NA chair and head of the Jacksonville airport system, “If you philosophically believe the private sector is more efficient — the motives are profit motives — why wouldn’t you expect that if you privatize an airport it wouldn’t ultimately give you a more efficient operation?”

Clark offers another interesting take on the hot topic of environmental responsibility. “Because the airport attracts activities — whether it’s airline activities or vehicular activities — we do bear some level of responsibility in terms of how we can begin to help mitigate. I don’t for one moment believe that an airport in and of itself can take the responsibility and say we’re going to be carbon-neutral. You just don’t control enough.

“But we can take the position that we will work with those stakeholders which we attract by virtue of this infrastructure that we have built, to figure out ways that we can partner to reduce the impact.”

Looking at the volatility of the airline industry (think Skybus), Clark says that it may be time to create a higher threshold for airlines when they enter a new market.

“I think there has to be some greater level of scrutiny when airlines start up. I’ve seen so many communities invest dollars in terminal facilities and infrastructure on a start-up carrier, and a year later it’s gone. I’m not a strong proponent for regulation, but there should be a little bit higher threshold for airline entry into markets.”

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Finally … sometimes when you go into interviews, you don’t know what to expect. Bob Holscher, executive director of the Cincinnati/Northern Kentucky International Airport, was one of those. Turns out, a great interview, and very likeable. He died recently, suddenly — a simple man who had an impact.

Thanks for reading.