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Tue, Aug 28, 2012

Tupelo City Council Rejects AIP Grant

Body Had A History Of Quick Approval Of FAA Monies

The Tupelo, MS, City Council last week decided not to accept a $1.85 million AIP grant from the FAA, saying the request for a local match came without warning and that it would mostly benefit a local company leasing property at Tupelo Regional Airport.

The Council was being asked to come up with $48,000, a little more than 2.5 percent, to match the federal grant. The vote was 5-2 against the bill.

Money from the grant would have provided security improvements, an expansion of a concrete apron, repairs to a taxiway, and work on an air conditioning system. Airport Executive Director Josh Abramson planned to combine the AIP grant with others either applied for or already received from local, state, and federal sources.

According to a report appearing on the northeast Mississippi news site djournal.com, those casing "no" votes in the council said that they needed more time to look at the proposed improvements at the airport, and how they might benefit Universal Asset Management, which leases property from the airport. Abramson said the property being leased by the company had been damaged by its previous owner, the Mississippi National Guard, and was in need of repairs. UAM needs the apron and taxiway repairs to be able to park aircraft on the property it leases from the airport.

Abramson said that the short turnaround time was due to an FAA requirement to use actual bids rather than estimates in the grant process. Bids were accepted over the summer, and the application was made July 30th. FAA approval came 11 days later, leaving just 10 days for the council to approve or deny the match before the grant expired.

The Tupelo City Council has reportedly routinely passed airport grants under tight deadlines in the past, but said this particular grant seemed to benefit a single private entity at the airport. Negotiations are ongoing.

FMI: www.tupeloms.gov, www.faa.gov

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