Best Practices in FBO Management: Ground Transportation

Oct. 14, 2016

Prior to 9/11, I had the privilege of working at Signature Flight Support at Washington National Airport (DCA) and learned just how secure an FBO’s ramp could be; especially when it came to ground transportation providers. In those days, DCA had unfettered access by general aviation, and was one of the busiest FBOs in the country. To be sure, an average day could see 100 operations of business and general aviation aircraft.

Despite this, DCA was one of the most secure airports in the country at the time and still is today. Virtually no customers of the FBO had airside vehicular access privileges via a ground transportation provider, such as a taxi company, rental car or limousine service. Only one or two limousine companies were permitted on the FBO’s ramp, and each of their drivers had to be “sponsored” by the FBO, and undergo the same background checks and driver training provided by the governing airport authority. Certificates of additionally insured status were required and verified annually, and those select limousine drivers received recurrent training. Interestingly, the only ground transportation-related accident seen at the FBO was one beyond its control: A Secret Service motorcade clipped the wing of a foreign dignitary aircraft during the pickup sequence. Evidently, Secret Service’s ramp side clearance trumped the airport’s driver training regulations, and the driver was unfamiliar with driving near aircraft.

In any event, ground transportation access at DCA stands in stark contrast to a great many airports around the country today, which though largely secure, remain largely unregulated. At many non-towered airports, it’s practically the Wild West, and airplanes share taxiways with personal cars of based customers who find it more convenient to use a taxiway at times. While the restrictive “lock down” of DCA simply isn’t appropriate for the vehicle gates at most FBOs, neither is the Wild West model where anyone who wants access has carte blanche. There’s an appropriate middle ground, and it requires consideration of two factors: Risk mitigation and revenue opportunity.

On risk mitigation, the Secret Service accident mentioned earlier is emblematic of drivers unfamiliar with airside operations at an FBO. Today, this situation is further exacerbated by rampant cell phone use while driving. Simply put, drivers unfamiliar with operating a vehicle airside plus cell phone usage equals an accident waiting to happen on an FBO’s ramp. What steps then can an FBO take to mitigate risk, while providing a high-level of customer service?

First, FBOs are wise and have the right to set limits on access. An FBO is not a public airport terminal. It is a private facility available to aircraft operators and their guests. It operates on a leasehold paid for by the FBO, not Passenger Facility Charges (PFCs) or other funding mechanisms. Access by third-parties to an FBO’s ramp should be restricted to those with a demonstrated need for access, and who meet the FBO’s security and insurance requirements. One litmus test to apply is easy: Does your FBO have a physical contract or insurance certificate or both with the entity requesting ramp access?

For onsite rental car companies, that answer is likely yes. For limousine transportation companies, that answer may take the form of a maybe. Yet, for most, that litmus test rules out taxi companies or Uber drivers more or less immediately, and it should. There is no harm whatsoever in asking a passenger who has requested a taxi to walk from the aircraft to the FBO, and out the front door of the FBO to step into the waiting cab. Conversely, there is significant risk in allowing a taxi cab driver on an FBO’s ramp, even if under escort. Aside from a complete lack of familiarity in the FBO environment, taxi drivers have a well-earned reputation of failing to obey posted speed limits. And, if an FBO has a relationship with a limousine company that secured the appropriate insurance for airside operations, what incentive do they have to maintain that coverage when the FBO allows pretty much anyone who can fog a mirror the ability to drive ramp side? It’s fair to offer a certain level of competitive protectionism by requiring a level playing field. That action may take the form of requiring certificates of insurance from ground transportation vendors requesting ramp side access.

In terms of communication, what steps has your FBO taken to educate vendors as to the basic “rules of the road” prior to granting ramp access? While requiring a driver training course of each driver might seem good in theory, it’s seldom a realistic goal. One suggestion is requiring limousine drivers to check in at the FBO’s front desk prior to accessing the ramp. The interaction offers a venue for a simple verbal briefing, and may prevent an accident. Yet, that opportunity may not always be available. In such a case, signage is a simple yet effective risk mitigation tool. I was impressed recently to see signage on the vehicle access gate of an FBO outlining several basic tenets of ramp side driving: “Aircraft have the right of way, do not drive between wingtips,” and other helpful tips on the sign alerted drivers. A visual diagram showing typical aircraft parking configurations added to the detail.

FBOs may also wish to consider that ramp side access is a privilege, not a right, to third-party ground transportation companies. To that end, establishing a relationship with a local sedan or chauffeured transportation service can pay dividends, both literally and figuratively. In the literal sense, some FBOs may wish to only allow access to approved transportation companies meeting their insurance or other requirements, and charge an access or commission fee via a concession contract. If a preferred provider is receiving FBO leasehold access without the burden of paying the monthly leasehold fee the FBO does, it is entirely appropriate to enact a concession agreement. Finally, in the figurative sense, dividends are realized when an FBO’s preferred transportation provider is able to jump in and save the day on short notice, thereby circumventing a potential customer service issue.

Though cliché, an FBO is only as good as the vendors with whom it partners. Even if not providing a service directly, FBOs often bear some responsibility for the service failures of its chosen vendors, such as ground transportation companies. For their safety and that of their customers, FBOs are wise to set rules for ramp side access, and should consider relationships, contracts and insurance certificates when selecting or recommending ground transportation providers. After all, an FBO’s reach extends far beyond the airport fence line.

Doug Wilson is president and founder of FBO Partners LLC, an aviation consulting firm that provides asset management of hangar facilities for FBOs and offers specialized consulting in due dilligence, contract life-cycle management and other FBO disciplines. Wilson can be reached at [email protected].