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Chico Regional Airport's terminal, pending a remodel, stands ready for passengers on Friday, July 14, 2023, in Chico, California. (Evan Tuchinsky/Enterprise-Record)
Chico Regional Airport’s terminal, pending a remodel, stands ready for passengers on Friday, July 14, 2023, in Chico, California. (Evan Tuchinsky/Enterprise-Record)
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CHICO — Airport commissioners heard about capital projects, for which the city anticipates receiving a funding boost from consulting a western states engineering firm, at their meeting Tuesday night in the Chico City Council Chambers.

With two-dozen citizens in the audience, the commission also signed off on a new lease with a major aerial firefighting company for a facility north of the terminal that includes a right of first offer on property south of the terminal. Aero-Flite opted to expand to Chico instead of Sacramento.

The city signed a five-year contract with Armstrong Consulting, which works with Red Bluff, Corning, Glenn County, Humboldt County and other municipalities across the west. The firm is working on the Chico Regional Airport’s capital improvement plan to help secure funding.

Chair Martin Nichols explained that the Federal Aviation Administration provides most of the grants for airport projects — a highly competitive environment. Armstrong will work on strengthening Chico’s bids for grant-eligible projects.

“We’re excited to have Armstrong as a partner,” said Erik Gustafson, the public works director who oversees the airport.

Atop the list of needed improvements as Chico seeks commercial passenger service is runway rehabilitation.

Noting priorities of the FAA, Chris Nocks, Armstrong’s Western Division lead, told commissioners that “the runway is a fully supportable project.”

Norm Rosene of the Chico Air Museum asked of the potential to extend the runway to “master-plan length.” Gustafson responded that repaving the current stretch would occur first.

To accommodate passenger service, the terminal also will need improvements. Bahr said two carriers are interested in Chico and will make site visits in the next few months.

Lease arrangement

After occupying the facility at 77 Piper Ave. for over a decade, aerial firefighting firm Air Spray will give way to Aero-Flite, an industry leader based in Spokane, Washington.

“They like Chico, like the service they get here, and chose Chico over McClellan (Airport in Sacramento),” Gustafson said of Aero-Flite.

According to Airport Manager Tim Bahr, Air Spray’s last lease expired in 2018, and its tenancy has been month to month since. Air Spray informed the city in November that FAA certification required to continue operations had not come.

Aero-Flite agreed to take occupancy March 1, and the city informed Air Spray on Jan. 10. The lease term is five years with two five-year extensions and includes provisions for Aero-Flite to lease or purchase a parcel at the northwest corner of Fortress Street and Convair Avenue.

The 77 Piper property encompasses 3.4 acres and includes a hangar with two floors totaling about 45,000 square feet. It also has a water storage tank, ramp space and vehicle parking.

General Manager Chris Niemann told the commission that Aero-Flite sees Chico as a strategic location because of proximity to a Cal Fire base, appeal for employees to relocate and space available.

“I’m overwhelmed and thrilled with it,” Commissioner Mike Antolock said of the prospective tenancy, expressing hesitancy only with the first-offer right. Gustafson responded that the city attorney and staff “were comfortable with that” and added “it’s a good economic development component.”

No speakers from the public addressed the commission, which approved the lease 4-0 with one absence — after which Nichols said, “We look forward to a long, productive relationship.”