FBO and Management Services Proposal Putnam County Airport 4770 Ray Boll Blvd. Columbus, IN 47203 p. 317-514-9552 Tom@jeffairfbo.com david@jeffairfbo.com Table of Contents I. Executive Summary ............................................................................................... 2 Highlights Mission Statement II. Description of Jeff Air Pilot Servces ..................................................................... 2 Company Ownership/Legal Entity Location and Services Personnel Equipment Supplier III. Putnam County Proposal ...................................................................................... 3 Services Enhancements Provisions Conditions Terms IV. Appendix................................................................................................................ 6 Executive Summary Jeff Air Pilot Services LLC is pleased to submit this proposal for services to support the Airport Authority of Putnam County in achieving its goal of securing management services and business development for the Putnam County Airport. Highlights Jeff Air proposes to provide sufficient personnel to manage and develop the services of the Putnam County Airport. These services include airport management, fuel sales, mowing, snow removal, and new business development to include aircraft rental, flight instruction, and maintenance services. Mission Statement Jeff Air’s goal is to provide quality customer service and affordable products and services. Jeff Air’s goal is to provide equal opportunity service, regardless of the size of aircraft. Description of Jeff Air Pilot Services LLC Jeff Air began providing aircraft rental and instruction services at the Greenwood Municipal Airport in January, 2011, through a service agreement with the Greenwood Board of Airport Commissioners. From one aircraft and one instructor, Jeff Air’s fleet grew to eight aircraft and eight instructors. Jeff Air provides training for the private pilot license, instrument rating, commercial license, multi-engine rating, airline transport license, and certified flight instructor rating. In May, 2015, Jeff Air received authorization to provide training under FAR 141 for Private, Instrument, and Commercial licenses. Jeff Air expanded its services on January 1st, 2015, to the Columbus Municipal Airport. Rhoades Air Center of Columbus, IN, had provided FBO services at the Columbus Municipal Airport for forty-six years. Rhoades Air Center selected Jeff Air Pilot Services to accept and fulfill the remainder of their contract for FBO services at Columbus. Jeff Air assumed these duties with the approval of the Columbus Board of Airport Commissioners. These services include fuel sales, cargo handling, hangar rental, aircraft rental and instruction. Jeff Air is finalizing a twenty year lease agreement with the Columbus Airport. Jeff Air has enjoyed steady growth each year. Gross revenues increased approximately 30% year over year at Greenwood and have tripled revenues with our expansion in Columbus, Indiana. Both locations have seen significant increase in traffic and activity with Jeff Air as part of the success equation. Columbus is experiencing record flight operations in 2015 since the first year records were kept in 1999. Greenwood is experiencing a 3.7% increase in total traffic from 2014. Company Ownership/Legal Entity Jeff Air is a family owned and operated LLC registered in the State of Indiana. The managing principals are Tom and David Jeffries, father and son team. Tom Jeffries retired from Continental Airlines as a pilot in December, 2005. He began his airline career with Britt Airways out of Terre Haute and in his twenty years with the airlines, he flew domestic FBO AND MANAGEMENT SERVICES PROPOSAL – SEPTEMBER 2015 2 and international routes, flying the Boeing 727, 757 and 767. After retirement, he taught at Flight Safety International, Wichita KS, providing initial and recurrent pilot training in the Beechjet aircraft. He later flew the Beechjet as a corporate pilot. Tom holds ATP multi-engine, CFII for single and multiengine licenses. David Jeffries is a Captain at Republic Airlines and flies the ERJ170 and has been with the Republic group since 2001. Prior to that, he was Chief Instructor at Bartow Flying Service, Bartow, FL. For the past two years, David has been instrumental in helping Jeff Air Pilot Services move to the next level, serving as Director of Marketing and Business Development of Greenwood and Columbus. Gretchen Jeffries, as Senior Administrative Executive, has a varied background as an FAA licensed dispatcher and a Paralegal Professional. Gretchen joined Jeff Air in mid 2015 and oversees all office staff; manages payroll, accounts receivables/payables, and lease administration. Additionally, Gretchen is responsible for customer service quality assurance. Locations and Services Jeff Air Pilot Services LLC offers the following services at these locations: Greenwood Municipal Airport, Greenwood, IN Aircraft Rental Flight Instruction Greenwood Polk Place Business Center Computer Assisted Testing Systems, (CATS) FAA Airman Knowledge Testing Simulator Center (Still under development) Columbus Municipal Airport, Columbus, IN Aircraft Rental Flight Instruction Fuel Sales: Jet A and 100LL Military Contract Fuel Sales Hangar Rental and Management Cargo Loading and Unloading Services Personnel Jeff Air’s goal has been to hire people with management potential and to mentor them from the ground up for future business expansion. As a result, Jeff Air is ready to expand as needed. Jeff Air personnel include: Two full time instructors and six contract instructors. Administrative Assistant Four line service personnel Two office personnel FBO AND MANAGEMENT SERVICES PROPOSAL – SEPTEMBER 2015 3 Equipment and Services For the purpose of aircraft rental and instruction, Jeff Air operates six single engine aircraft and two multi-engine aircraft. Line service equipment includes two fuel trucks, three tugs, golf cart, crew car, and support equipment. At the Columbus FBO, Jeff Air provides refreshment opportunities to travelers in the form of a pop corn machine, novelty ice cream freezer, Keureg coffee maker, microwave, snacks, and basic pilot supplies. Supplier World Fuel/Ascent supplies aviation fuel under the branding of Phillips 66 Aviation Fuels. World Fuel is prepared to extend their branding to Putnam County Airport with their unlimited experience in fuel management and airport services development. Putnam County Proposal “The Board of the Putnam County Airport Authority is inviting proposals from qualified individuals and/or business interested in providing Management and/or FBO services at the Putnam County Airport (4I7), Greencastle, IN.” Jeff Air Pilot Services LLC is please to submit this proposal for Fixed Based Operator services for the Putnam County Airport. These services are designed to promote general aviation for the airport as well as promote the development of business interests in the surrounding community. Services In keeping with the Airport Authority’s request for services, Jeff Air will provide the following services: 1. General management of the FBO and airport, 2. Fuel Services, 3. Aircraft rental, 4. Flight instruction, 5. Aircraft Maintenance services, 6. Care for the grounds, i.e. mowing and snow removal, in season. Enhancements In order to adequately fulfill this request for services, Jeff Air will provide the following enhancements to services: 1. Jeff Air will provide a Jet A fuel truck to better serve customers operating jet aircraft, 2. When appropriate, Jeff Air will provide a fuel truck for AVGAS 100LL, 3. Jeff Air will seek to expand after hours fuel sales by providing Credit Card readers for each stationary fuel tank, 4. Jeff Air intents to expands its current military fuel service contract to Greencastle, 5. Jeff Air will expand its culture of service and integrity to Greencastle. 6. Jeff Air will expand cargo handling with the addition of a forklift. 7. Jeff Air will develop a pilot shop, as in Columbus. FBO AND MANAGEMENT SERVICES PROPOSAL – SEPTEMBER 2015 4 Provisions Jeff Air proposes the following provisions: 1. Jeff Air will extend Phillips branded fuel services and will retain all profits from fuel sales, regardless of whether those sales are self-service or full service. 2. Jeff Air will pay the Airport Authority a flow fee of $.05 per gallon, including fuel used in Jeff Air aircraft for rental and training. Furthermore, Jeff Air agrees to provide sound fuel pricing consistent with the equivalent competitive market. Jeff Air will maintain a price difference between self service and full service due to the cost of equipment. 3. Jeff Air will lease or purchase fuel trucks and will retain ownership and/or control of said trucks. 4. Jeff Air will retain ownership of the installed card readers for the existing fuel farm. 5. Jeff Air proposes that offices and main hangar be remodeled at Airport Authority expense, such project to be determined and completed prior to Jeff Air assuming responsibilities. Jeff Air will retain the use of these spaces free of charge. 6. Airport Authority shall furnish and maintain all equipment for mowing and snow removal, including fuel. Jeff Air will provide personnel to operate the equipment. Conditions Jeff Air requests clarification and contractual language to address the following issues: 1. Jeff Air requests that any future businesses to be located on the airport meet minimum standards so as to provide fair and equitable competition. 2. Jeff Air requests a five year contract with an automatic five year renewal. (with exit clause) 3. Jeff Air requests that the “Hole in the fence” should be plugged until such time as the Airport Authority and Jeff Air are able to incorporate the property into a master development plan if so desired. Future owners of said property shall not be permitted to establish competing FBO services as outlined in a final agreement between Jeff Air and the Airport Authority. Terms The Board of the Airport Authority agrees to pay Jeff Air Pilot Services LLC $242,250.00 per year for the first year for services provided as listed above. Subsequent year payments may be adjusted in proportion to the cost of living index or as determined by mutual agreement by Jeff Air and the Airport Authority. Payments shall be paid quarterly, with the first quarterly payment due upon the execution of the working agreement between Jeff Air and the Airport Authority. FBO AND MANAGEMENT SERVICES PROPOSAL – SEPTEMBER 2015 5 Appendix Financial records will be provided upon request. Those viewing these records will be required to sign a non-disclosure agreement. FBO AND MANAGEMENT SERVICES PROPOSAL – SEPTEMBER 2015 6