Cloverdale City Council votes to move forward with closure of municipal airport

Cloverdale’s future may have tipped in favor of a high-end resort hotel and the promise of economic expansion at the expense of closing down the city’s small municipal airport.

In what was framed as the most significant decision since Highway 101 was routed out of the downtown a couple decades ago, city leaders narrowly decided to accommodate developers of the resort hotel - with its potential for adding much needed jobs and bed tax revenue - over the half-century-old airport.

A divided Cloverdale City Council took the first step late Tuesday toward potentially closing the municipal airport, a move meant to appease developers who want to build a $200 million resort hotel and equestrian center next to airfield.

The council voted 3-2 to begin negotiations with Laulima Development to go forward with airport closure after a near five-hour meeting with an overflow crowd, including speakers who argued passionately against closing the airport and others who said the hotel was more important to attract tourism and create jobs.

“This is the catalyst the city has been waiting for to make us financially independent,” said Councilman Gus Wolter, who along with council members Carol Russell and Joe Palla cast votes giving conditional support for an airport closure application with the Federal Aviation Administration - if the developer can pay the costs and defend against anticipated lawsuits from pilots groups and aircraft owners.

The issue is far from resolved. Closing a general aviation airport is rarely done and ultimately up to the FAA. Even if the agency agreed to the closure, it would likely take 7 to 9 years to get approval, according to the aviation expert hired by the city.

The developers indicated they are willing to wait that long to start construction. But even those council members partial to closing the airport worry that the economy could take a downturn again and perhaps shelve the Alexander Valley Resort project.

The city wants more detailed assurances and perhaps a performance bond put up by developers before making a final decision.

Opposing viewpoints

A draft of a negotiated agreement with Laulima will likely be brought back for a public hearing in late January or February, before the council decides to proceed further with trying to close the airport.

Speakers on both sides of the issue cast the issue in lofty terms.

Airport defenders described it as a “port of call” that can play a role in aviation evolution, including electronic planes and other future advances.

The airport, said pilot Ray Shipway, is “your connection with Lindbergh and France and history; the space station today and Mars tomorrow. Ideas for the future are born here in Cloverdale. This airport is a necessary item.”

But longtime resident Susan Nurse, who favors closing the airport, said if the developer walks away, it’s unlikely that another will come forward with the same potential economic benefits for the town of approximately 8,600 residents.

“There comes only a few moments when we can change history. This is our moment,” she said. “Let’s provide financial stability and opportunity for the next generation of Cloverdalians.”

As the northernmost city in Sonoma County, Cloverdale suffers from a lack of visitors and a relatively stagnant economy, compared to its neighbors to the south.

In 2014, Cloverdale had $176,000 in hotel bed tax revenues, a fraction of Healdsburg’s $2 million in revenues and Windsor’s $1.3 million, according to the county’s Economic Development Board.

The estimated $1 million in hotel bed taxes Alexander Valley Resort would generate by its fourth year of operation is a tantalizing prospect, along with the 200 permanent jobs developers say it would bring.

Conflicts with resort plans

Laulima officials, who are proposing an equestrian center, 150-room hotel, 40 resort residences and 80 luxury homes, say the airport is not a good mix for horses and guests at the high-end destination.

Developers say they are willing to foot the bill to close the airport, as well as advance some of the money for the estimated $7 million in improvements to re-purpose it into a sports park.

Mayor Bob Cox voted against the motion Tuesday, along with Councilwoman Mary Ann Brigham. Cox said he was not convinced the city couldn’t keep the airport and still get a resort and sports park.

The park would consist of baseball and soccer fields, a dog park and trail along the Russian River.

Developers are proposing a helipad to allow continued medical and emergency related flights

The repurposed airfield could also have room for the Citrus Fair if the organization chooses to move from its downtown location.

Closing a general aviation airport is a major undertaking and could take years, according to an airport consultant hired by the city.

The federal government and the FAA view airports not just as a regional or local facility, “but a national treasure or asset and a part of the national robust aviation network,” said consulting attorney Henry Nanjo.

“I’ve seen very few airports close,” Nanjo said Tuesday.

To convince the FAA to close an airport “it has to be shown to provide a net benefit to civil aviation,” he said, and the burden of proof will be on the city.

Bart Haugher, principal FAA inspector, told the City Council he has no idea how long it will take the agency to make a decision, but it would likely be very low on the priority list.

To illustrate how slowly the agency can move, he said it took the FAA three years to approve the 100-yard relocation of a helipad at the Ukiah airport.

There are 17 airplanes based at the Cloverdale Airport, according to the most recent count.

There are also a couple businesses, including a skydiving operation and a kit plane company.

Hub for emergency crews

Airport defenders say the 55-year-old facility is more than just a playground for hobby fliers and has served as a base for medical evacuations, firefighting, business flights and is fog free when surrounding airports such as Santa Rosa are socked in.

“It’s convenient to come in and out of. It’s very easy to land at,” said Paul Heck, a pilot who urged the council to keep it open.

Jim McCord, a master flight instructor, said incremental growth at Santa Rosa’s airport will drive people to outlying areas and quieter airports like Cloverdale.

“We use Cloverdale airport as a crucial safety training facility for our students and retrained pilots,” said Rob Clark, a pilot with North Coast Air in Santa Rosa.

But others said Alexander Valley Resort will be a huge boost to the economy of the town.

“It’s a great investment to have an economic engine for the future of Cloverdale,” said Cloverdale resident Marshall Kelly.

The airport has been a money loser the past couple years with net income loss of more than $60,000 total for 2012-13 and 2013-14, according to a city staff report.

City Manager Paul Cayler said the hole is filled with money from the city’s sparse general fund. He expects when the audit is completed for the 2014-15 fiscal year there will also be a loss.

More than $47,000 in legal fees have been incurred by the city this year, he said, due to things like dealing with airport noise complaints and complying with public records act requests related to the airfield.

“One of my greatest concerns is if it takes four to seven years, how do we maintain the airport safely without taking federal money,” Cayler said.

You can reach Staff Writer Clark Mason at 521-5214 or clark.mason@pressdemocrat.com. On Twitter@clarkmas.