Updated 2020 rates and charges for tenants at the Rapid City Regional Airport

Walking through the Rapid City Regional Airport (KEVN)

RAPID CITY, S.D. (KEVN) For several years the Rapid City Regional Airport has worked on developing aviation rates, charges, and a leasing policy.

Now, those proposals were approved during Tuesday's board meeting.

For the updated rates and charges, executive director for the Rapid City Regional Airport Patrick Dame says they reached out to two department of transportation (DOT) approved appraisers.

Dame says the first appraisal they hired was based out of South Dakota. However, they didn't feel like those rates were appropriate for their market, so they hired a second appraiser out of California, who came back with what they said was a more reasonable rate.

"We met with tenants. Spent time meeting with them and met individually with them to talk about their rates talk about the changes. We developed a leasing policy to encompass the recommendations of the consultant we brought in, but we have been working on this for a number of years," says Dame.

But not everyone is happy with the new decisions. The chairman of the General Aviation committee, Robert Allen, says that he doesn't believe that the Jackson Hole and Aspen airport should have been included as comparable airports when it comes to the study.

"Those two airports are in no way comparable to this general aviation airport here. We believe that there will be no new purchasers of hangers due to some of the owner's lease requirements. We believe that it will be difficult to similarly sell a hanger," says Allen.

Allen says he does appreciate the provisions to delay the rate increase because that is something they asked for.

The airport rates and charges will be adopted on August 1, 2020 if the city council approves it.