Sacramento International Airport hit a six-year high last year
with 12.6 million passengers, and for the first nine months of
the 2019-20 fiscal year, which ended June 30, seemed poised to do
even better, says Cindy Nichol, director of the Sacramento County
Airport System, which include Sacramento International Airport,
Mather Airport, Franklin Field and Sacramento Executive
Airport.
Then came the widespread shutdown associated with the coronavirus
global pandemic, which hit airports especially hard as most
people sheltered in place, canceled travel plans, and
transitioned their lives to be as virtual and remote as possible.
“In April, like the rest of the country, we were down 95 percent,
94 percent,” says Nichol.
Nichol, who assumed her post in October 2018, spoke with
Comstock’s before under sunnier circumstances (“Flying
High” in July 2019). At that time, she spoke of positives
such as the system’s “phenomenal success in air-service
development” and Sacramento International Airport growing faster
than many other airports in the country. She also spoke of big
plans such as developing 128 acres south of the airport and
tackling deferred maintenance.
The pandemic has upended normal operations for the airport and
continues to rage, with more than 4.5 million known cases and
150,000 deaths in the United States. But Nichol and other
stakeholders associated with the four airports see room for
optimism.
One reason for this: Nichol says the airport system she oversees
now seems to be recovering faster than most other U.S. airports,
in terms of passengers. “Pretty much every single week we get the
data, we’re about 5 percentage points better in terms of our
speed of recovery than the rest of the country,” Nichol says.
All four of the airports in Sacamento’s system have seen a
reduction in landing and takeoffs. Nichol says Sacramento
International Airport’s passenger landings and takeoffs were down
11 percent for the 2019-20 fiscal year that ended June 30. The
fiscal year also closed with roughly 9.9 million passengers at
the airport, a reduction of 21.3 percent from the previous
year.
Meanwhile, operations were down 9 percent at Mather Field and 6.9
percent at Executive Airport. Statistics Franklin Field, which
services mostly agricultural traffic and has no control tower,
weren’t available.
The smaller reduction in operations at Executive Airport could be
attributable to the clientele it attracts — a mix of flight
school customers, hobbyists and general aviation, with no
commercial passengers. “Executive has been doing a bit better in
terms of the operations,” Nichol says. “But I understand that
it’s more … the individual people who are flying for fun who have
not really been reduced. In fact, it’s one of the few things you
can keep doing.”
Steven Thompson, owner of Executive Flyers, a pilot training and
aircraft rental business at Executive Airport, says he took out a
Paycheck Protection Program loan through the U.S. Small Business
Administration after his business slowed to a crawl in March and
April. But things have been moving briskly since his school,
which has eight airplanes in its fleet, resumed full-time flight
instruction in late May. “I think (these) last two months may
very well be the best months that we’ve had in a long time,”
Thompson says.
Thompson agrees with Nichol’s assessment on why Executive Airport
is doing better than other airports in Sacramento County. “I
think that a lot of people, probably just the mere freedom of
being up there and flying,” he says. “It’s something to do, get
away from things because people are probably feeling cloistered,
so to speak, in their own domicile and they can’t be around
crowds. Maybe it’s an opportunity to break free, like a bird or
something — I need to fly.”
More drastic measures have been needed to triage other parts of
the system, with Nichol saying they had frozen travel for
employees and put a freeze on hiring what she terms “non-critical
employees.” The county airport system has also cut $104 million
from its capital budget “because we did a 180. We no longer have
the same urgency to build gates, to build parking, to build a
rental car facility.”
The system has also reached out to struggling customers, with
Nichol saying it had deferred rents from airlines and
concessionaires in gate and lobby areas for April, May and June
until the end of the year. A minimum annual guarantee that
concessionaires also provide to the county has been waived for
those same months.
Sacramento County’s airports caught something of a break, too,
receiving $49.9 million in funds from the Coronavirus Aid,
Relief, and Economic Security, or CARES Act, which specifically
allocated money for airports.
“Thank goodness that we’ve got $49.9 million in CARES Act money
from the federal government,” Nichol says. “We’ve been using that
money strategically. We just recently defeased (paying down
principal on a loan) $34.5 million in our bonds.”
The airport system, which carries a significant amount of debt,
in part due to Terminal B that was completed in 2011, is also
planning to refund $130 million in bonds in August. “How much we
can save on airports depends on what the market says,” Nichol
says.
At this point, layoffs aren’t planned. “My goal is to avoid
furloughs or layoffs to the extent possible,” Nichol says. “I
have no reason to think we will need to do them. But we don’t
know what will happen with more spikes in the pandemic or with
the COVID. I think they’re calling it a COVID recession now.”
On July 28, the Sacramento County Board of Supervisors was given
a master plan update for Sacramento International Airport that is
going through the environmental review process. Supervisor Don
Nottoli says he was pleased with Nichol’s job performance before
the pandemic and remains satisfied with it, telling Comstock’s,
“I think she’s a good administrator, good manager.”
And to Nottoli, it still makes sense for the county to be in the
airport business. “It’s a valuable asset,” Nottoli says. “This
region benefits in a variety of ways from having a really vital
and a vibrant airport system.”
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