- CHARLESTON COUNTY

~ AVIATION AUTHORITY

CHARLESTON INTERNATIONAL AIRPORT I 843.767.7000 I irlyCHS.oom

5500 INTERNATIONAL BLVD •101 I NORTH CHARLESTON, SC 29418

CHARLESTON COUNTY AVIATION AUTHORITY CHARLESTON INTERNATIONAL AIRPORT

BOARDROOM March 21, 2019

2:00 P.M.

BOARD MEETING MINUTES

Members present were Chairman W. Hundley, K. Benjamin (proxy J. Tecklenburg), J. Cawley (proxy K. Summey), H. Fishburne, W. Haynie, J. Heyward, H. Hill, J. Lahm (proxy E. Summey), S. Pryor, C. Salmonsen, J. Tecklenburg, P. Thurmond, CCAA Chaplain Rev. Reid and CCAA Legal Counsel A. Goodstein.

Staff present were Director Campbell, C. Adams, R. Alston, E. Aydin, D. Boston, G. Burns, R. Carew, B. Corbin, L. Corns, J. Dack, C. Farris, J. Free, B. Gayle, R. Graham, Haynes, C. Helms, D. Isley, S. Iorio, C. Ivey, S. McGhee, D. Mitchell, D. Morrow, K. Motley, H. Pefia, N. Pia, L. Pineda, B. Quattlebaum, M. Ralston, J. Robison, R. Schwartz, S. Smith, L. Stover, A. Williams and N. Yokoyama.

Others present were Greg Jones & Phillip Strope (ADC); Paul Welborn (Atlantic Electric); Chris Campbell (CYB); Gary Brewer & Jason Wilson (HDR); Jack Mayfield (Holt Consulting); Sam Howell & Allen Linkous (Howell Linkous & Nettles, LLC); Robert Dean (KLRO); Greg Soyka (LS3P); Virginia Jamison (North Charleston City Council); Robert Moore (Mead & Hunt); Warren Wise (Post & Courier); and Chris Manson (RAC).

CALL TO ORDER Chairman W. Hundley called the meeting to order at approximately 1:59 p.m.

INVOCATION Rev. Dr. Robert J. Reid, Chaplain, led the Authority in prayer.

PLEDGE OF ALLEGIANCE Nate Yokoyama, Manager of Engineering & Construction, led the Pledge of Allegiance.

PUBLIC COMMENTS: There were no public comments.

Charleston County Aviation Authority Board Meeting Minutes March 21, 2019 Page 2of5

I. MINUTES: oi.17.19 Finance Committee Meeting Minutes oi.17.19 Board Meeting Minutes 03.08.19 Finance Committee Meeting Minutes

H. Hill moved, seconded by S. Pryor that the Authority approve the Minutes of the Finance Committee Meeting on January 17, 2019; Board Meeting on January 17, 2019 & Finance Committee Meeting on March 08, 2019. The motion was adopted.

P. Thurman requested it be on record that he attended the January 17, 2019 Finance Committee Meeting. Correction was made.

II. FINANCE COMMITIEE: Committee Chair H. Fishburne

A. 2nd Quarter Financial Report/Results: D. Boston presented the 2nd Quarter Financial Report/Results.

D. Boston introduced CCAA's new Director of IT & Security, Chris Adams.

Committee Chair H. Fishburne stated, The Finance Committee bad their meeting on Friday, March 8, 2019. It was a good meeting. Committee Chair H. Fishburne wanted to recognize Martha Ralston on the great presentation about the advertising in the airport and high goals for increasing revenue. I would like to thank Martha & Helen for that.

J. Tecklenburg arrived at 2:21 p.m.

Committee Chair H. Fishburne stated, that he talked to the Chairman & Vice Chairman about an annual report something like the Port Authority does. Vice Chairman H. Hill stated, we might need a promotion piece to talk about the economic engine that is this airport. Either it's an annual report or something similar to summarize up what we do.

III. OPERATIONS / PLANNING COMMITIEE: Committee C. Salmonsen

Committee Chair C. Salmonsen announced we had our ground breaking today at 1:00 p.m. for the parking garage.

Chairman W. Hundley stated, we are moving a lot of things that have deadlines. H. Pefi.a & B. Corbin and staff have been on it. I am very proud of them for all the hard work.

Charleston County Aviation Authority Board Meeting Minutes March 21, 2019 Page 3of5

A. PARC Update: H. Pefia gave an update on the PARC project.

B. Preparations for International Flights: H. Pefia gave an update on the preparations for the International Flights.

H. Pefia announced we are planning a ribbon cutting ceremony for the International Kitchen on Monday, April 1, 2019. That will also give you the opportunity to visit the kitchen to see what has been done.

Chairman W. Hundley remarked be was surprised why do we take so much time and expense to have a kitchen here for British Airways to get started in this field.

Vice Chairman H. Hill stated, this opportunity the International Kitchen presents is really amazing. For a community our size we have a lot of air service, but one of the things we did not have was the ability to service long haul carriers. The opportunity that this presents us is not just to serve British Airways, but it's an economic drive for future flights that we will continue to recruit. It's been one of the dings against us for long haul travel because we did not have an International Kitchen. The Executive Director & I have discussed the International kitchen. Building this kitchen now means we are two or three years ahead of when it would have been needed. It's going to give us an edge for our future sales.

Executive Director P. Campbell stated, this is also being used by the State of South Carolina Economic Development. Which is a big plus forward since we have been told for years we do not have an International flight here in South Carolina.

IV. DIRECTOR'S REMARKS: Executive Director P. Campbell

Executive Director P. Campbell stated, the staff is doing a terrific job on preparations to receive the first British Airways flight two weeks from today. I am also very proud the construction has started on the new parking deck. The work has started on the Shared Use VIP Lounge and hope to have it up and running by the end of June 2019. We are also starting on Phase I of the ticket lobby project which includes relocation and addition of ticket kiosks and modifications to the vestibules for more spacing. Right now we have the flexibility for the airlines to share the ticket counters and gate because our IT Department has done a great job installing a share use. Which means ticket counters and gates can be shared use between airlines. That gives us the flexibility before we can start on Concourse C. In addition, we are working on our Fuel Farm. For the reason that we are getting more and more wide bodied airplanes in here and we do not run out of fuel. We are also under a 30-day burn-in period for our In-Line Inspection Baggage System at this time.

Charleston County Aviation Authority Board Meeting Minutes March 21, 2019 Page4 of 5

The passenger growth is phenomenal again. February numbers show a 13% increase from February 2018. The Authority has doubled its capacity in just 8 years. I do not see us slowing down any time soon, we are picking up 7 new flights this year. We have worked up a 5-year and 10-year strategic plan to see what needs to be done to stay ahead of the growth.

D. Boston is continuously looking into opportunities on how the Authority can enhance JZI and LRO. The staff is diligently working on the budget for the April Finance Committee Meeting.

Our Admin Group has officially adopted "My Sister's House" as this year's "CCAA Cares" Project. We all look forward to hearing and learning more about this community outreach endeavor.

After last year's TAME Airlines diversion flight from Ecuador, CCAA brought in a Trident Technical Spanish Professor in September to teach 12 employees Spanish. The class concentrated primarily on airport and medical emergency language. I am happy to announce that the course concludes on March 27, 2019 and the airport can now call upon these individuals should the need arise.

V. BOARD MEMBERS' REMARKS

Chairman W. Hundley stated the staff has been working very diligently for April 4, 2019 British Airlines arrival.

Vice Chairman H. Hill wanted to share a little sales cheat sheet route map that shows all 9 of our carriers and destinations. Our route map is looking better and better! The thing that I want you to be proud of, is that we promised to bring in more carriers that we would also lift our legacy carriers. In July, Delta is going to be flying daily to Minneapolis; United Airlines daily to Denver; American Airlines daily to New York City and that in addition to all the services we are going to have that's not daily.

VI. LEGAL UPDATE: CCAA Legal Counsel A. Goodstein

CCAA Legal Counsel A. Goodstein stated that papers were filed yesterday against TAME Airlines due to them not wanting to pay the Authority for the $40k worth of damages that they did during their diverted flight. We are working on having all the contracts finished by April 4, 2019.

CCAA Legal Counsel A. Goodstein introduced bis intern Ms. Brandi Quattlebaum. Ms. Quattlebaum just graduated from the School of Law and is waiting for her Bar Exam results.

Charleston County Aviation Authority Board Meeting Minutes March 21, 2019 Page 5of5

EXECUTIVE SESSION DISCLAIMER: Authority Board meetings are open to the public; however, exceptions to the open meeting policy may occur from time to time when a member of the Authority Board makes a motion to enter into Executive Session regarding an item listed on the published meeting agenda. Before going into Executive Session the members present shall vote in public on the question and when the vote is favorable the presiding officer shall announce the specific purpose of the Executive Session to discuss matters as identified in items (1) through (5) of subsection (a) of section 30-4-70 of the S.C. Code of Laws as amended.

ADJOURNMENT Chairman W. Hundley declared the meeting adjourned at approximately 2:44p.m.

Respectfully yours,

Spencer Pryor Secretary/Treasurer