Port of Longview Considers Helping Southwest Washington Regional Airport Secure New Underground Fuel Tanks
Nov. 11—Port commissioners considered Wednesday to help the Southwest Washington Regional Airport's $1.9 million project to replace its aging underground fuel tanks by signing up for a state loan, following Kelso and Longview city councils' approval for the same proposal earlier this month.
The item was tabled at the meeting and no official action took place.
The project faced delays this spring as a result of ongoing supply chain and cost inflation issues seen in many industries, Airport Executive Director Chris Paolini told Port of Longview commissioners Wednesday.
As part of an interlocal agreement between the port, the airport and Kelso and Longview city governments, Paolini said he hopes the port would help with 25% of a potential competitive loan they could get from the Washington State Department of Transportation, which would cover $300,000 of the $1.2 million amount needed.
The loan amount offered by WSDOT was increased from $750,000 to $1.2 million, which the airport could use along with other Cowlitz County grants it received to cover the rest of the long-awaited project.
This increase means the airport would be responsible for $73,000 annually to pay off the loan, which Paolini said would financially restrict the airport's other projects and operations if they had to shoulder it alone.
"If we removed $73,000 from (the budget), it would make it nearly impossible for the airport to move forward with the current track that we're on and the growth that we've seen," Paolini said.
If the port and other entities agree, they would pay about $15,000 per year on the loan with 2% fixed interest rate.
The fuel tanks at the airport still function but are coming up on 45 years in age, he said. Most fuel tanks like this have a lifespan of about 25 to 30 years. The tanks power "everything," Paolini said, so having them break down or become too old to work would result in a decline in business at the airport.
Replacing them has been a priority for the airport in recent years but finding the funds has remained a challenge. The goal is to add two free-standing aboveground fuel tanks that would replace the dated underground ones currently in place.
The airport will not know for sure if it got the WSDOT loan until December, Paolini said. The deadline for their loan is Nov. 23, the same day as the next port meeting.
If approved for the WSDOT loan, the airport would start work on installing the fuel tanks and hope to finish in 2023.
As part of the interlocal agreement, both Longview and Kelso city governments recently approved the airport's bid for the WSDOT loan.
Sydney Brown is a news reporter for The Daily News covering education and environmental issues in Cowlitz County.
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