TRAVERSE CITY — One way or another, Cherry Capital Airport’s governing board needs rearranging, airport Executive Director Kevin Klein and others said.

The question they’re asking is, should it adjust its current setup as a commission, or gain more autonomy by becoming an authority as other airports have done?

A subcommittee that has examined that question since March thinks an authority is the way to go, and the Northwestern Regional Airport Commission soon could suggest the same to Grand Traverse and Leelanau county commissioners — the two counties that own the airport.

Not everyone is so sure, with some community members questioning whether an authority would be unresponsive and untouchable, and whether they’ll get a say in whether to make the change.

Recommendation coming

Recommending becoming an authority is one of three options airport commission members will have at their Nov. 19 meeting, Klein said. They could also reject the report or send it back to the subcommittee for more information.

Steven Baldwin Associates helped with the research backing the recommendation, Klein said. The reasons for backing it are many, Klein said, including that the airport already more closely follows state law outlining how an authority operates. It would also give the airport governance more nimbleness, he said.

Current commission

Current rules allow the airport commission to make most of its own decisions, Klein said. It needs permission from the Grand Traverse and Leelanau county boards for those involving buying or selling land, taking on debt or using eminent domain — a legal mechanism to acquire land.

Airport commission Chairman Doug DeYoung, who served on the subcommittee, said the agreement underpinning the current commission is outdated. Its expiration date complicates efforts to ink long-term leases, and some liability and easement issues aren’t addressed, DeYoung said.

Rob Hentschel, another commission member who served on the subcommittee, said the agreement also doesn’t provide a way to remove an airport commission member, short of the governor intervening. Nor is there a path forward if the two county boards can’t reach an agreement, he said.

“So what do you do when you can’t agree and have nothing in your documents that tell you what to do when you can’t agree? Some issues could end up in court,” Hentschel said.

More autonomy

An authority could have control over buying and selling land, plus eminent domain, Klein said — but state law doesn’t allow an airport authority to take on debt. Whether the authority would have sole say over land moves depends on how its articles of incorporation are written.

Both county boards appoint members of the airport commission, just as they would for an authority, Klein said — state law specifies not more than 45 percent of an authority board can consist of elected officials.

Steven Baldwin Associates’ report lists a number of advantages an authority has versus a commission, ranging from lower operating costs to checks and balances, to allowing an airport to focus on its needs as a business.

Airport authorities also are in charge of their own zoning, meaning city ordinances governing non-aeronautical uses wouldn’t apply, Hentschel said. The airport wouldn’t have to obey a tree ordinance city commissioners could adopt Monday, and a lighting ordinance that applies to the airport’s commercial tenants like Costco.

Drawbacks to an authority include liability falling solely on the airport authority, not being able to impose a millage and more difficulty obtaining financial and operational support from counties, the report said.

Pro-authority

Hentschel, who also chairs the Grand Traverse County Board of Commissioners, said he’s for switching to an authority despite some initial misgivings. An authority would be more narrow in scope than people tend to assume, and it would provide protection against liability to both counties, he said.

Having the airport in control of its own zoning makes more sense, too, Hentschel said. Smaller units of government should be in charge of their zoning, and the same reasons for the city to have its lighting and trees ordinances still apply to the airport, he said.

“I believe they’re not going to be putting in a pig farm or something totally out of place, they’re going to do something that makes sense for an airport,” Hentschel said.

Concerns

Not everyone’s on board with Cherry Capital Airport going the same way.

Traverse City residents Ted and Gretchen Iorio are among some audience members to question the potential move at airport commission meetings. Their involvement started after the airport cut dozens of acres of trees on its property in March, a move that triggered considerable backlash.

Both Iorios said they don’t think airport leaders have made the case for why switching to an authority is needed. The study seems too focused on freeing the airport to act as a business, while serving the public good seems to be buried on the list of priorities, they said.

“We’re not anti-airport, we want a balance between business and the public who live here,” Gretchen Iorio said.

Ted Iorio said any airport authority board needs a diversity of viewpoints — environmentalists and nearby residents, for example. There also needs to be a public process to have input on the decision to move to an authority, beyond three minutes each of public comment, he said.

An authority also could run amok exercising its authority on land purchasing and eminent domain, Ted Iorio said.

Balancing act

Issues of the authority’s power come down to how the counties and airport agree to share it, should they agree to form an authority, DeYoung said. The right terms could provide a balance where the counties retain some say, he said.

Hentschel said an authority’s articles of incorporation could include checks on its power, like giving both counties the ability to override authority decisions. It could also include provisions to remove authority members who prove unfit for office, he said.

Reporting requirements for airport authorities also add a layer of public accountability, Klein said.

Staying neutral

Klein said he believes the report outlines a “great path forward” but that he’s neutral on the outcome.

“As I look at it, there’s advantages and disadvantages to both, and it’s looking at what is best for the airport,” he said.

DeYoung voted to support the study’s findings and agrees there are benefits to forming an authority, depending on what agreement the two counties and airport officials reach. But he steered clear of taking a stance.

What’s next

Airport commission members first must decide what to do with the study recommending an authority, Klein said. It’ll be up to both Grand Traverse and Leelanau county commissioners to decide what to do from there, he said.

Both county boards would have to agree before all sides could work on drafting articles of incorporation.

“We’re right at the beginning stages of the process, and the way I quantify it is, we’ve done the research, now we’re at the presenting of the research stage,” he said.

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