FlightGlobal.com
Home
Premium
Archive
Video
Images
Forum
Atlas
Blogs
Jobs
Shop
RSS
Email Newsletters
You are in:
Home
Aviation History
1946
1946 - 1537.PDF
AUGUST 8TH, I946 FLIGHT 141 N T E E W RM Y IN O A R L K S a sound proposition, producing an annual revenue of $800,000. Fore- seeing the expansion and present congestion,. Idle wild airport was planned and construction was started on the same basis. The new adminis- tration, he claims, is now changing the whole scheme into a money- making project for a bunch of bond holders at the expense of the City of New York. There was some opposition earlier on the score of unsuitable weather and location. Idlewild is quite near the Floyd Bennett Military Field on the reclaimed shore of Jamaica Bay. on the Atlantic coast of Long Island. When Mr. La Guardia gave up office, opponents of the scheme were left with a part-finished project which they had opposed. Almost at once an honorary Airport Authority was set up to take over this embarrassing baby, and after the passing of a bill, New York legislation now provides for this Authority to construct, finance and operate the two airports and any future airports, and authorizes the issue of bonds to the value of $250,000,000. This independent authority was composed of gentlemen no less important than General J. Doolittle, Harry Guggenheim (chairman) and Laurence Rockefeller, and the terms provide for various periods of office from four years upwards. Recently Gen- eral Doolittle resigned on the grounds that he was vice- president of a contracting company and because of pressure of work in Europe. Mr. La Guardia suggests other reasons. Commissioner of Marine F. G Reinicke has been appointed to the Authority in his place, but more recently the resigna- tion of the chairman, as predicted by Mr. La Guardia, has been reported. Cost and Revenue Without plunging too deeply into the political ramifica- tions, the position following the change-over of adminis- tration may be summarized as follows: Who continues to pay interest on money so far raised by the City for the La Guardia arid Idlewild airports? Who outside the City should provide the rest of the money and at what rate of interest ? How are the bond holders and the City to divide the revenue from the two airports? At present it appears that the City is to continue to pay the interest on the original loan, but the airports and all revenue are to go to the Authority and its backers. Another body to take an interest is the Citizens Union of New York, who also oppose the Airport Authority and want the Port of New York Authority to take over, point- ing out that their strong financial position would enable them to issue airport bonds at a rate comparable with the original City issue, namely, less than 2 per cent. This point was in part an answer to present Mayor O'Dwyer's statement that the City had no more funds beyond the $30,000,000 paid out and the further sum encumbered So far, incidentally, Idlewild has cost, or contracts have been given, to the value of about $60,000,000 (^15,000,000). One trouble, which directly affects the airlines, is the matter of their terms, rates and rents at Idlewild and La Guardia, which were negotiated and contracted before the existence of the Authority, and which the Authority now wish to change. Legal loopholes are being sought, airport as opposed to seaport regulations picked over, and a lot of trouble stirred up. The thirteen U.S. and foreign air lines companies concerned opposed the introduction of this un-elected Authority. The original bill was only passed Washington Airport, actually situated over the border in the state of Virginia, is oneof America's busiest airfields. Possible extensions at Washington and at La Guardia. illustrated on previous page, are indicated in each case by broken lines. by one vote over the minimum majority that is required. The airlines and other companies holding concessions see themselves having to pay out more dollars, while Mayor O'Dwyer replies by quoting discrepancies in rents and say- ing that all valid contracts will be honoured and others re-negotiated. The terms of a forty years' lease between City and Authority have yet to be settled, and signed. October 1st is the day named for the Authority to take over, and the present lack of direction accounts to a great extent for the negligible progress at Idlewild during recent months. To complicate matters further, at Idlewild, union dis- putes are understood to have prevented the installation of power and telephone lines. The only statement made recently was to the effect that immediate use of the run- ways would '' delay completion '' and that the earliest date for limited use would be November 1st. In the meantime, B.O.A.C. have been investigating the use of Islip for a near New York terminal. Possible use would be dependent upon various agreements, co-operation from the Health and Customs authorities, and the installa- tion of essential equipment. • Islip is 56 miles north of New York, but it is felt that landing and reception without delays, followed by a 90 minute coach journey, would be preferable to long delays prior to and after landing, each of which would probably amount to two hours. It should be mentioned that there is already a 35-minute coach journey from La Guardia to the Airways Terminal near the Grand Central Station in New York proper to be taken into consideration. Airborne Customs The ideal- arrangement with regard to Health and Cus- toms would no doubt be the airborne official who boards the transatlantic aircraft at Gander and completes all for- malities by the time the aircraft lands on American tarmac. In the same way, although much less time is taken at the London Airport, British Customs officials might board the plane at Rineanna. With nationalized airports the revenue is of no great interest to the individual; it was most interesting, how- ever, to examine detailed revenue statements for Wash- ington and La Guardia airports. In particular the Wash- ington manager's view on profits from concessions would have been of great interest to the managers of some of our municipal airports. Below are quoted some unexpectedly large items in the revenue statement included here as an indication of how an airport is made to pay. The figures
Sign up to
Flight Digital Magazine
Flight Print Magazine
Airline Business Magazine
E-newsletters
RSS
Events
