Author: MollyBabitz

Liliana Bustos,  Chicago Department of Aviation

As a new employee in the air cargo industry, every day is a thrilling look into the world of global logistics. Air cargo operations at O’Hare Airport are fast-paced and ever-changing. Each day presents new challenges and opportunities for growth and learning. Patrolling the airfield has quickly become my favorite activity. Observing just how quickly things move—from the moment a plane touches down on a runway to the moment people start unloading the freight—makes the air cargo process run like a well-oiled machine. It is truly impressive to see how many souls it takes to keep cargo operations running smoothly, which is something you don’t typically realize when you’re on the receiving end of a package. Understanding proper handling procedures, FAA guidelines, and the network of airports and carriers, brings the air cargo process full circle. I am grateful for my membership as a young professional with the ACI-NA Cargo Steering Committee, which has opened my eyes to the world of cargo beyond O’Hare. My committee colleagues have encouraged and supported my growth at conferences, presentations, and beyond. As a young professional, it is reassuring to know that I will continue to forge connections and contribute toward positive changes in the field. It has been a privilege to work at an airport that plays such a vital role in keeping global trade moving forward, and I look forward to any challenges the world of air cargo may present.

Brian Drake, Assistant Vice President, Unison Consulting, Inc.

Consider how periodic reviews of grants and PFC funding with your capital program can generate out-of-the-box thinking and stimulate new approaches to securing valuable funding for your airport projects.

Here are a few real-world examples of how Unison Consulting was able to partner with clients to garner much-needed revenue:

• In recent years, we secured $1.8 million in AIP discretionary funds for a small hub airport supplemental environmental impact statement resulting from litigation against the airport.
• We showed one of our medium clients a project that reduced the number of gates while still meeting the “significant contribution” standard applicable to the airport at the time for collecting PFCs at the $4.50 rate. This enabled the airport to increase its annual PFC collections by 33% and meet its capital needs.
• For a medium hub airport, we proved an airport’s PFC projects initially approved at the $3.00 rate met the same “significant contribution” standard to qualify for the $4.50 rate, enabling the airport to avoid a 33% reduction in annual PFC collections.

For expert analysis, consider contracting financial experts who know the airport business to assist with the financial review of your airport. Often, you will realize a substantial return on investment.

Unison Consulting’s Finance Team provides airport clients with a wide range of financial services. With experience at over 100 airports, our team offers a strategic approach tailored to our clients’ specific goals and objectives. We have successfully completed numerous projects for airports of all sizes and welcome the opportunity to meet with you to understand your goals and objectives and present details of our relevant experience.

Brian Drake, Assistant Vice President|
Unison Consulting, Inc.
(949) 462-9036 | briandrake@unison-ucg.com

Brian has over 16 years of airport financial experience. Brian’s financial expertise in airport finance allows him to provide creative solutions to airport executives. Brian specializes in complex financial modeling to support all types of airport projects.

DISCLAIMER

This article was provided by a third party and, as such, the views expressed therein and/or presented are their own and may not represent or reflect the views of Airports Council International-North America (ACI-NA), its management, Board, or members. Readers should not act on the basis of any information contained in the blog without referring to applicable laws and regulations and/or without appropriate professional advice.

By Tom Murphy, Human Resiliency Institute at Fordham University

Today’s young employees at airports and students studying aviation will be tomorrow’s leaders. Undoubtedly, they will face challenges.

The Human Resiliency Institute at Fordham University, which also offers Edge4Vets, is partnering with Airports Council International-North America (ACI-NA) to build upon progress made in 2023 with the “Reclaiming the Sky Resiliency Project” to give our industry’s young professionals (age forty and under) an opportunity to learn resiliency lessons from the aviation heroes of September 11. 2001 and develop tools to meet those challenges.

The program, which was also introduced this spring to include aviation students studying in the University’s Aviation Association’s 128 member schools, is being supported by leading aviation organizations, including SSP America and others committed to developing the next generation.

Participants in the program will have a chance to read the stories of airport and airline employees who went to work in New York, Boston and Washington, DC on the morning of 9/11 expecting a normal day, only to find that “just doing my job” was to become the creed of heroes. Their stories are chronicled in Reclaiming the Sky, by Tom Murphy, an aviation consultant and Director of the Human Resiliency Institute at Fordham. He saw first-hand how his aviation colleagues responded with courage, selflessness and resiliency to 9/11 to rebuild their lives and reclaim hope.

The young professionals in the 2024 program will have a chance to read Reclaiming the Sky and attend an online workshop on July 19 to discuss what they learned with their peers and aviation executives. Participants will be invited to write an essay to share how they can apply the resiliency lessons as “tools” to meet challenges in their lives and be eligible for cash awards ranging from $250 to $1000. The top award will be called the “Susan M. Baer Award.” In addition to cash prizes, first, second and third place essay winners will  receive a complimentary registration to ACI-NA’s Annual Conference and Exhibition in Grand Rapids, Michigan in September and will be recognized for their achievement.

Participation in the young professional program is open to employees of ACI-NA member airports/organizations, that are age 40 and under. There will be 25 openings.

Register here.

For full details on the program, visit ReclaimingTheSky.com.

For more information, please contact Tom Murphy at Tom@edge4vets.org.

The “Reclaiming the Sky Resiliency Project” gives today’s “Young Professionals” at airports a chance to learn resiliency skills from the example of 9/11’s aviation heroes. The project is offered for airport employees under 40 by the Human Resiliency Institute at Fordham University and Airports Council International – North America and with support from major aviation companies, such as SSP America and others. Full details at ReclaimingTheSky.com.

Journeys and airports go hand-in-hand.  As we mark as another Earth Day, today is a good opportunity to reflect on our industry’s own journey of creating and fostering  a more sustainable industry.  Airports are in the business of being good neighbors to the local communities they serve, and our commitment to thinking about the future has never been stronger.

The journey toward our industry’s commitment to achieve net zero carbon emissions by 2050 is only possible through collaboration and awareness.  North America airports joined the global conversation in 2014 when the industry joined as a partner in the Airport Carbon Accreditation program, a certification program that recognizes the steps airports take to manage and reduce their CO2 emissions through independent assessment and verification. This year, we are proud to celebrate our 10-year anniversary of our partnership and participation with airports that are taking proactive steps to reduce and manage their CO2 emissions.

10 years ago, ACI-NA and ACI Europe signed a memorandum of understanding (MoU) officially aligning ACI-NA with Airport Carbon Accreditation Program. Since then, the North American program has grown rapidly.  

We started with one airport earning their accreditation in 2014. This past year, in Long Beach, CA, ACI-NA recognized more than 70 airport participants in our annual ceremony. Throughout the ceremony, airports were recognized on six levels of commitment to lowering their CO2 emissions. Those six levels are mapping, reduction, optimization, neutrality, transformation, and transition.  See all of the participating North American airports here.

As an ambitious industry, airports are doing their part to be good partners by promoting sustainability and environmentally responsible practices.  We applaud the North American airports that have joined the Airport Carbon Accreditation program to lower their carbon footprint. We look forward to the growth in the program as these airports set our industry on a path toward continued success in innovation and sustainability.

Michael Bettua
CEO and Co-founder, Volan Technology

One thing I’m hearing a lot about from airport operators is the stress around ensuring compliance with the FAA’s Safety Management System rule that went into effect this year.  The new rule requires airports do a better job detecting incidents, analyzing what happened, capturing data, and reporting it all to stay compliant.

More than 250 major US airports are affected, and they’re feeling the burden – especially when it comes to monitoring the outdoor areas like runways, taxiways and ramps. That’s where a lot of the riskier incidents can occur with aircraft, vehicles, equipment and personnel. Traditional methods just aren’t cutting it.

Think about it – at any given time there are thousands of people and vehicles moving on an airfield. Fuel trucks, catering vehicles, luggage teams, maintenance crews with mowers and plows, not to mention all the construction equipment for major projects. One mishap, like a lawn tractor veering into a restricted area, could be a serious safety concern.

Then you’ve got the added challenge of properly escorting and monitoring any third-party employees and contractors that need access to secure areas. Airports have to assign a human escort to supervise outside workers to maintain security protocols. But that’s extremely labor intensive, costly, and prone to errors with escorts getting fatigued or distracted.

What airports really need is a technological solution to achieve the heightened monitoring, incident detection and safety forensics the FAA now mandates. A system providing omnipresent awareness of every vehicle and person’s location, able to instantly identify potential threats and rapidly alert the right personnel.

That’s why innovative airports are deploying affordable micro-location technology across their properties. Unlike traditional GPS, cellular service or Radio Frequency ID which is too broad or costly, these new systems use Internet of Thing (IoT) sensors and small wearable locators to pinpoint the real-time geography of every asset within 1-2 meters.

One major Midwest airport rolled out a turnkey geofencing solution that works like a virtual fence-line you can construct anywhere. Using credit card-sized locators on vehicles and badges, it tracks the precise positions of all assets simultaneously, both airport resources and any contractors needing access to secure areas.

If a vehicle strays into a restricted zone, it instantly triggers an alert identifying the location and equipment involved. For safety incidents, it captures granular forensic data on who was where when the event occurred to streamline investigations and reporting.

But the benefits go way beyond just complying with the FAA’s new requirements. This operational data is a gold mine for optimizing processes, resource allocation and cost savings.

Airport teams can visualize traffic patterns, identify inefficient vehicle routings or instances of excessive idling to reduce emissions and fuel costs. They can analyze utilization of specific equipment types to ensure assets are being maximized. The data enables accurate labor forecasting and workforce planning based on proven demand.

There are a number of other use cases too, like quickly locating any misplaced or stolen asset, ensuring contractors adhere to specified routes and schedules, automating lone worker policies, and more.

The IoT approach is flexible and scalable so airports can start focused but keep expanding capabilities over time. Deploying it is quick and affordable – the locators and gateways are solar-powered requiring no hardwiring or costly infrastructure. Full facility coverage can go live in days versus months for traditional systems.

At the end of the day, airports can’t afford to rely on manual monitoring that fails to provide the rigorous safety oversight required by the FAA. The threat of violations is serious from a cost and negative publicity standpoint. Precise location data and analytics are what’s needed to identify risks, demonstrate compliance and ensure the safe and efficient operations of our nation’s airports.

This kind of innovative thinking will separate the leading airports in the years ahead. Those embracing affordable IoT solutions today will be best positioned to handle the challenges of tomorrow – whatever new operational or regulatory requirements emerge.

Michael Bettua is the CEO & Co-Founder, and Chairman of the Board, for Volan Technology Inc. Volan created the Volan Positioning System to help airport operators increase safety and security, meet new FAA Safety Management standards, lower operating costs, and increase fiscal compliance.   

DISCLAIMER

This article was provided by a third party and, as such, the views expressed therein and/or presented are their own and may not represent or reflect the views of Airports Council International-North America (ACI-NA), its management, Board, or members. Readers should not act on the basis of any information contained in the blog without referring to applicable laws and regulations and/or without appropriate professional advice.

By John Kasuda 

Across North America, airports – as gateways to the world – stand at the forefront of decarbonization commitments and strategic initiatives. Today, 75 North American airports have achieved accreditation from the Airport Carbon Accreditation program, which independently assesses and recognizes airports’ efforts to manage and reduce their carbon emissions.

Still, there is more work to be done to achieve net-zero carbon emissions goals by 2050. Embracing digitalization and the emerging technologies it enables promises a path forward to integrate sustainability into every facet of airport operations, from electrifying operations and reducing the carbon footprint to enhancing the passenger experience.

The role of digitalization in decarbonization

The delicate balance between prioritizing investments in decarbonization measures and the need for operational continuity remains one of airports’ more pressing challenges on their path to Net Zero. At the same time, airports have a unique opportunity to capitalize on innovation and transformation.

Digitalization serves as the cornerstone in crafting top-down approach for airport sustainability, and the impact is significant. When airports weave digitalization into the fabric of their daily operations, they can unlock new ways to monitor, manage, and optimize energy consumption, waste management, and resource allocation in real-time – paving the way for a more sustainable, less carbon-dependent future.

For example, internet of things (IoT) devices provide a real-time overview of airport operations, from energy consumption patterns to asset utilization, facilitating more informed decision-making. AI and analytics help predict maintenance needs, optimize resource use, and reduce energy consumption, directly contributing to decarbonization and sustainability goals.

But airport infrastructure is aging fast. Every year, operators depreciate approximately $8 billion worth of airport assets. Supporting the digital transformation means investing in core infrastructure at airports, starting now. Platforms and infrastructure that enable data analytics can not only leapfrog traditional limitations, but also generate value for current assets.

Planning for airports of the future

Global decarbonization targets cannot be achieved without increased contributions from airports. The time to strategize and plan for airports of the future is now:

Benchmark and establish the baseline. Get a handle on current airport operations and levels of optimization and understand these metrics in the context of overarching goals. This step will help lead to a strategy that means future investments are aligned with the bigger picture.

Define future needs and direction. With a baseline assessment, define your airport’s future needs and strategic direction; consider how future growth plans and industry disruption (such as the advent of advanced air mobility) will have an impact on investments both today and tomorrow.

Engage with experts who understand smart airports and decarbonization. The landscape has never been so conducive to enabling digital transformation and decarbonization, and airports have a broad array of options. Engaging with experts who understand not just digital technologies, and not just decarbonization, but also smart airport operations can help deliver the highest level of precision for optimization, productivity, ROI, resilience, and more.

Look for solutions and platforms, rather than products and devices. Previous approaches to tackling decarbonization and energy consumption may have been focused on standalone components. Today, however, digitalization demands a much more holistic, systems-oriented approach to ensure interoperability, monitoring, measurement, verification, and so on.

Today marks a pivotal moment for airports, and by acting now, we can together shape a more sustainable and efficient future. This journey will not be without challenges, but with a strategic focus on digitalization as an enabler for decarbonization, airports will be well on the path toward decarbonization. To learn more about how smart airports can lead the way on sustainability, efficiency, and innovation, visit usa.siemens.com/smart-airports

DISCLAIMER

This article was provided by a third party and, as such, the views expressed therein and/or presented are their own and may not represent or reflect the views of Airports Council International-North America (ACI-NA), its management, Board, or members. Readers should not act on the basis of any information contained in the blog without referring to applicable laws and regulations and/or without appropriate professional advice.

By: Stephen Clark, C.M., Deputy Director, Airport Commercial Development

When the concessions team at the Sacramento International Airport (SMF) sat down to look at the opportunity to recreate their food and beverage program they agreed that they wanted to approach it in a radically different way.

Food and beverage programs bring revenue to an airport, of course, and travelers certainly need dining options, but the types of food offered can also communicate identity and inclusivity. SMF is primarily an origin and destination airport with only five percent of passengers waiting on

connections. The concessions team at SMF sought to create a program that would highlight Sacramento’s vibrant farm-to-fork culture, offer a sense of place, and give guests a sense of value for money from quick service eateries to premium sit-down experiences.

All these considerations were on the mind of the concessions team at SMF while preparing a Request for Proposal (RFP), which saw nearly every tenant space up for grabs.

Beginning in 2022, SMF began reaching out to hundreds of organizations alerting them to the upcoming RFP opportunity, including partnering with the local Small Business Development Center (SBDC). Instead of only asking major food and beverage operators to recruit local restaurants, the SMF team heavily advertised the opportunity directly to local business owners. Later that same year, they surveyed guests and utilized a research group to learn that health, affordability, and choice of cuisine were high priorities for travelers.

When it came to setting goals and crafting the RFP, the team wanted it to be accessible to both small businesses and large proprietors. They petitioned the Federal Aviation Administration (FAA) to set an ambitious 15 percent goal of Airport Concessions Disadvantaged Business Enterprise (ACDBE) businesses and a small business goal of 30 percent. When the RFP was completed the ACDBE result was 38 percent of the program, and small businesses represented 44 percent of recommended awardees.

“We wanted to create genuine opportunity for small and large businesses alike to ensure equitable conditions for consideration,” said Andrew Durkee, Concessions Manager, Sacramento County Department of Airports. “It was important to us that the best concepts and a superior customer experience rise to the top and we crafted the FRP to reflect that.”

Durkee, and his team continued to partner with SBDC to provide coaching and education to businesses interested in proposing. Of the awarded contracts one local business became ACDBE certified, and another took advantage of extensive coaching through the SBDC. This was so successful that SMF formalized a partnership with the SBDC to continue offering seminars and educational opportunities for local businesses to learn more about different avenues available to work with the airport.

In another break with tradition, the team decided to forgo a traditional minimum annual guarantee (MAG) in favor of rent as a pure percent of gross revenue based on category. Durkee explains that ditching MAGs creates a “flexible and equitable approach to concessions, one that aligns with industry recommendations and promotes a healthy, competitive environment for all stakeholders involved. This move is expected to foster a more dynamic and responsive concessions program, benefiting passengers, concessionaires, and the airport alike.”
Overall, the new program represents 18 new concepts which will replace or upgrade existing facilities in phases beginning in 2024. Included in the new concepts is a local Michelin listed taco restaurant Nixtaco) as well as the Airport’s first pan-Asian offering, Bambuza Vietnam Kitchen + Bar. There is also a local brewery, Sacramento’s first distillery, plus a smattering of other well-known local restaurants.

Stephen Clark joined Sacramento County Department of Airports (SCDA) in November 2021 and is responsible for the commercial and tenant activities at SMF, MHR, SAC, and F72. Charged with oversight and leadership of SCDA’s business development, air service development, communications/marketing, agreements with airlines and other tenants, including concessions, rental cars, and transportation network companies, and leasing of airport facilities and land.

DISCLAIMER

This article was provided by a third party and, as such, the views expressed therein and/or presented are their own and may not represent or reflect the views of Airports Council International-North America (ACI-NA), its management, Board, or members. Readers should not act on the basis of any information contained in the blog without referring to applicable laws and regulations and/or without appropriate professional advice.