Complied list of cost savings recommendations made to the Indianapolis Airport Authority. Completed Summer 2010 as Intern for the Indianapolis Airport Authority.

1. IND Revenue Ideas
June 14, 2010
By
Chris Homko

2. Table of Contents
Table of Contents....................................................................................................2
Introduction.............................................................................................................3
Fuel Flowage Fee Increase...............................................................................................3
Airport Rescue Fire Fighting Training Academy............................................................3
Fire Extinguisher and Personal Protective Equipment Training for Airlines..................3
Hay and Crop Permits......................................................................................................3
LED Lighting...................................................................................................................4
Infrared Deicing...............................................................................................................4
Terminal Revenue Ideas..................................................................................................4
Scavenger Hunt............................................................................................................4
Shop-And-Buy Parking Rate Reduction Program.......................................................4
Expos................................................................................................................................4
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3. Introduction
These are brainstorming ideas suggested to help increase airport revenue and possibly
lower the per passenger enplanement fee. Please keep in mind that these ideas have not
been researched thoroughly and I do not have inside knowledge of the fee structure of
IAA, nor the history or reasons for such fees.
Fuel Flowage Fee Increase
Since 2008, passenger enplanements have been down due to the dip in the economy.
Regardless of how many passengers are taken aboard an aircraft, it still must carry the
same amount of fuel to reach its intended destination and then it’s alternate with a
reserve. Therefore, fuel is a more consistent revenue source than passenger enplanements.
Raising the fuel flowage fee, even by a few cents may be enough to allow for a decrease
in the passenger enplanement fee and be “transparent” to the Airlines.
Airport Rescue Fire Fighting Training
Academy
I am uncertain, but almost sure that IAA does not have an ARFF training academy. This
academy could charge a nominal fee to train fire fighters in the arts of airport fire
fighting. This academy could also correspond with the national fire fighters convention in
Indianapolis that is typically held annually in June. Some notable airports that offer such
training are Denver International and Dallas Fort Worth International Airport Fire
Departments.
Fire Extinguisher and Personal Protective
Equipment Training for Airlines
Going off of the ARFF training academy idea, airline crewmembers must be trained
initially and every 24 calendar months on basic fire extinguisher use and personal
protective equipment training (initially) as per FAA CFR 121.417. A nominal fee could
be charged for these services by the fire department.
Hay and Crop Permits
Farming of crops in the immediate vicinity of airports has been deemed as an
incompatible use of airport land due to the attraction of birds. However, IAA currently
has thousands of undeveloped acres of land away from the immediate vicinity of the
airport. The state of Alaska uses the following fee schedule for hay and crop permits at
Anchorage International Airport. Hay - $1 per acre/year and crops - $25 per acre/year or
25% of gross revenue.
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4. LED Lighting
Many airports across the country seem to be installing Light Emitting Diode (LED)
lighting in both indoor and outdoor applications including the airport runway lighting and
signage. It is said that LED lighting can reduce airport lighting electricity fees 80% or
greater. Some airports implementing this idea are:
• Port Authority of NY (JFK, LGA, TEB, EWR)
• PIT Airport
• MCO Airport
• TPA Airport
Infrared Deicing
The Port Authority of NY is currently utilizing IR deicing that can handle an aircraft the
size of a Boeing 747. It is said that this reduces the use of glycol de-icing fluid by 90%.
This would be accomplished by the elimination of the need to use Type II 50/50 water
mix fluid to remove the ice and snow from an aircraft. Type IV fluid (the sticky jelly type
of fluid) would still be needed to prevent ice and snow build-up post deicing. The
wastewater processing of glycol is an expensive process and may be worth the trade in
electricity cost, especially if implemented in conjunction with LED airport lighting.
Terminal Revenue Ideas
Scavenger Hunt
Denver International Airport currently lists a scavenger hunt on their website for both pre
and post security areas. This would allow passengers (especially children) something to
do while waiting for a flight. Read more about it here:
http://flydenver.com/airportscavengerhunt
Shop-And-Buy Parking Rate Reduction Program
Malls such as the Simon Properties Circle Center Mall utilize such a program. From:
http://www.simon.com/mall/GuestServices.aspx?id=163
“An Event Parking rate of $20.00 may be charged during major downtown functions.
Visitors will be notified of Event Parking schedules upon entry into any Circle Centre
garage. If a visitor shows a $20 receipt from any Circle Centre merchant from that day,
normal parking rates will apply.” This could help boost the retail sales of concessionaires
and help make the airport a shopping destination rather than just an airport terminal.
Expos
Currently other airports host expos that are aviation oriented. Examples of such might be:
• AOPA’s Annual Expo
• Chicago’s Systems Safety Expo
Expos could be held at Indianapolis Regional Airport (Mount Comfort) in addition to the
annual Indianapolis Air Show.
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