Repository: UIHistories Project: Board of Trustees Minutes - 1962 [PAGE 316]

EXTRACTED TEXT FROM PAGE:

1961]

UNIVERSITY OF ILLINOIS

313

Other functions of a fixed-base operation which the University does not offer are the sale of aircraft, public aircraft charter service, and public flight instruction, since these services have been adequately provided by other airports in the coirtrnunity. The Institute has been asked to permit a fixed-base operation on the Airport bv a private operator or operators. The Federal Aviation Agency has advised that under the University's agreement with it, the University must permit any qualified person who applies for the same to become a fixed-base operator at the Airport under general and reasonable rules adopted by the University. The Legal Counsel has advised that he is of the opinion that the University may and should follow the present opinion of the Federal Aviation Agency as to what fixed-base operations the University may and should permit and what operations it may legally reserve to itself. Accordingly, the Director of the Institute has proposed the following statement of policy be adopted by the Board to govern such future private operations at the Airport: 1. Any future expansion of airline service by common carrier by air to the community shall be permitted upon the same general terms as now exist or may exist in the future between the University and Ozark Air Lines. 2. It is the policy of the Board to abide by the obligations assumed by the University under its Sponsor's Agreements with the Federal Aviation Agency, including the provision for qualified fixed-base operators to base upon and operate from the University of Illinois Airport upon payment to the University of reasonable charges and rentals for the privileges granted and the land or facilities provided by it to each such operator. Such operations shall be in accordance with the terms of the University's assurances under the Federal Airport Act, the regulations of the Federal Aviation Agency, and any other pertinent legal rules, but with exclusive reservation to the University of all rights for the sale of aviation gasoline and oil, University staff air transport service, flight instruction for University staff and students for which University credit is given, and repair and storage of aircraft and aircraft accessories, except those aircraft and aircraft accessories owned and operated by a fixed-base operator. 3. The basic qualifications which must be possessed by an applicant to be considered for a lease as a fixed-base operator to operate upon and from the University of Illinois Airport are set forth in Appendix A and are declared to be a part of this statement of policy. 4. Any construction of buildings on the Airport needed by a fixed-base operator, and which the University does not erect, shall be in accord with the master plan of the Airport and in accord with the plans and specifications approved by the University. All buildings or improvements must be aesthetically compatible with other buildings on the Airport and be reasonably suitable for the aeronautical purposes for which the tenant proposes to use the premises. 5. Noleases at the Airport shall exceed the unexpired portion of the twenty-year period existing under the latest grant from the Federal Aviation Agency, 6. Negotiations with applicants for fixed-base operating rights shall be handled by the Director of the Institute of Aviation who shall have full authority to represent the University, to prepare contracts in accordance with the University Statutes and the Rules of Organization and Procedure, and to submit them to the Board for action. Adoption of the above would put the University on record with the general public and the Federal Aviation Agency as to the University's general Airport policy. Any future construction contracts or leases would follow the usual business procedures and would be subject to approval by the Board of Trustees. I concur. Appendix A. General Qualifications for Fixed-Base Operators Every person or firm applying for status as, or desiring to become, a fixedbase operator at the University of Illinois Airport will be required to meet the following general qualifications: '• The applicant must present evidence satisfactory to the Board of Trustees of the University of Illinois of hts financial capability to perform the contemplated operation. This shall include a credit rating without anything derogatory