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HomeMy WebLinkAboutSEOPW-CRA-R-00-0051RESOLUTION NO. SEOPW/CRA R-00-51 A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY ("CRA") DIRECTING THE CLERK OF THE CRA BOARD TO RECEIVE AND FILE THE OFFICIAL RESUMES AND QUALIFICATIONS FOR THE DIRECTOR OF OPERATIONS, ADMINISTRATION AND DEVELOPMENTS AND THE DIRECTOR OF STRATEGIC PLANNING (COLLECTIVELY, THE "DIRECTORS") ATTACHED AS EXHIBIT "A" AND EXHIBIT "B" HERETO AND MADE A PART HEREOF. WHEREAS, the City of Miami approved and adopted the Southeast Overtown/Park West Community Redevelopment Plan pursuant to Resolution Nos. 82-755 and 85-1247 (the "Redevelopment Plan"); and WHEREAS, the CRA is responsible for carrying out community redevelopment activities and projects in the Southeast Overtown/Park West Redevelopment Area (the "Redevelopment Area") established pursuant to the Redevelopment Plan; and WHEREAS, the CRA desires to direct the Clerk of the CRA Board to receive and file the official resumes and qualifications for the Directors attached as Exhibit A and Exhibit B. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are incorporated herein as if fully set forth in this Section. Section 2. The Board of Directors of the CRA hereby directs the Clerk of the CRA Board to receive and file the official resumes and qualifications for the Directors attached as Exhibit A and Exhibit B. Section 3. The resolution shall be effective upon its adoption. /Y SBOP PASSED AND ADOPTED on this 22nd day of May, 2000. V A ES : alter -J. 4Fk&eavr�i vF'Clerk APPROVED AS TO FORM AND CORRECTNESS: 17Z/4y'o Holland & Knight LLP CRA Legal Counsel .■ram _ Arth r E. Teele, Jr., Chairman 2 'E0?W/ CR_Q 0 0— 51 Exhibit A [Resume and qualifications Director of Operations, Administration and Development] SEOPW/CRA lu 0 - J 1 Robert Tyler 1351 NE Miami Gardens Dr — Suite 1605E — Miami, FL 33179 Phone: 305-336-0060 QUALIFICATIONS Mr. Tyler is a 20 year vetsran of the business world. Much of that experience has been in serving as a corporate principal of small to mid size businesses (S15 million to $39 million annual revenues) Mr. Tyler has served as Developer, Construction Manager, General Contractor and Owner's Agent on several "high profile" projects. In addition to a demonstrated technical capacity, Mr. Tyler is one of the best in terms of management, administration and operations. He has managed over $30 million in public sector construction projects with variable sources of funding and over 100 employees. WORK HISTORY President, IGWT Construction Management 1998-2000 Mr. Tyler is Project Manager of the $70 million Parking Garage at Hollywood/Ft. Lauderdale International Airport. The Contractor is currently performing "punch list" items. There have been nearly two hundred employees at peak times. The project is within budget and schedule constraints with less than 5% in change orders. President, Urban Organization Inc. 1988-1998 Mr. Tyler served as Project Executive on several high profile projects including a $40 million portion of Disney's Animal Kingdom Theme Park;U.S. Olympic's (Atlanta) $15 million Equestrian Venue; Miami North Western High School, a S60 million academic complex; Jackson Memorial Hospital's Ryder Trauma Center, Orange Bowl renovations; the City of Miami's Curtis Park and African Square Park and several others. EDUCATION Allstate Construction Colle-c. COMPUTER SKILLS Prima Vera P3 (scheduling and project management) Expedition (project reporting) Timberline (construction estimating) LICENSES & CERTIFICATES State Certified General Contractor Dade County Engineering Contractor REFERENCES O'Brien Kreitzberg, Program Manager John Moore, Deputy Director 954-359-2333 i c Dixon and Friedman Allan-Friedman-Pres. 305-854-3445 Dade County Public Sehbols Jim Dillard, Director of Facilities SEOP I CRA MAY 17 2000 16:16 3053724646 PAGE.02 Exhibit B [Resume and qualifications Director of Strategic Planning] MIAs #957837 v1 Richard H. Judy Mr. Judy has over 30 years of experience in the aviation industry, and is internationally recognized for his many inno- vations in airport sery ice systems. For 18 years, he served as Director of the Dade County Aviation Department which operates Miami International Airport and five other county airports. The Department is a large public enterprise with over 1,000 employees and annual revenues in excess of $200 million, Mr. Judy has a comprehensive understanding of, and practical leadership experience in, all aspects of airport planning, development, construction, operations, financ- ing, and commercial activities. Mr. Judy is fully experienced in the development of domestic and international aviation regulation, policy and law pertaining to airports, airlines, the environment and the consumer. In addition, Mr. Judy is experienced in the negotiation of commercial contracts, and the formulation of the commercial aspects of international treaties and domestic policy agreements. Many of Mr. Judy's accomplishments are the result of his negotiating abili- ties. His shrewd sense of negotiating has led him to be requested on numerous occasions to represent his community, his peers, his industry, and his country on almost every aspect of aviation. Mr. Judy left the Dade County Aviation Department in 1990 and formed his own aviation consulting businesses, Judy & Associates; Inc. and MIA Consultants. Relying on his internationally recognized skills as a manager, planner, nego- tiator, financier and developer, Mr. Judy now provides both the public and private sectors with a broad range of man- agement consulting services in all areas of airport service systems, commercial development policy, airline negotiations, rates and charges analyses and methodologies, airport management, organizational structure, airport transportation infrastructure, financial and master planning, and airport related commercial and operational services and systems. Since 1995 Mr. Judy has been specializing in the Privatization of airports throughout the world. EDUCATION B.B.A., Business Administration, University of Miami, 1953. Over two years of post -graduate studies including con- tract, commercial, property and taxation law, and computer technology. EMPLOYMENT HISTORY EAB 3 Development onsortium: Privatization of Homestead Air Reserve Base (B.O.T.) as a supplemental airport to Miami International Airport, pith a total demand investment of $ 250,000,000 over fifteen years, 1995-97. Sanford Airport Authority :Privatization of ne%v International Tenrninal Complex (B.O.T.) at Sanford International Air- port, which is a major competitor to the Orlando International Airport, 1995-96 Provisional Airpong Koiig- Consultant to the Chief Executive Officer for the commercial de-velopments of the new Hong Kong Airport, 1994 to Present; Interim Commercial Director and Operations Director, 1992 - 1994. (Seconded from Judy & Associates Inc) Judy Associates Inc: Chief Executive Officer, 1989 - Dade County Aviation Department Director, 1971 - 1989, Deputy Director, 1967 - 1971. State nfFtorida Deponent of ransportation: Comptroller, 1962 - 1967. Dade County PortAuthority: Comptroller, 1960 - 1962. 4)0_ f-, g SPECIFIC EXPERIENCE PROVISIONAL AIRPORT AUTHORITY (PAA), HONG KONG Richard H. Judy Page 2 Overview Prior to becoming a consultant to the Chief Executive Officer of the PAA, Mr. Judy served as Interim Commercial Director and Operations Director of the PAA. The overall goal of the combined Commercial/Operations Division is to create a cost efficient, quality service and fair and equal opportunity to all airport facilities and services to the fullest extent possible. An equally important goal is to optimize the ability of the Authority to implement airport charges that are not anti -competitive or discriminatory and to optimize non -aeronautical services and revenues such as retail and surplus land development. In order to accomplish these goals, it was necessary for Mr. Judy to fully and fairly address the often competing needs of all airport users, e.g. airlines, passengers, welkwishers, staff, MTRC, licensees, tourism industry, PAA and government. Airline Operations Mr. Judy is involved in airline consultations which will shape all airport operational aspects at the airport for many years, including the airport charging schedule, related cost basis for formulating the airport charges, and rates of return for future airport development. The conclusions will form the bedrock for negotiating a commercial policy and charges schedule that complies with international obligations concerning their fairness, reasonableness, and level of economic return to the Authority. This includes guidelines to comply with government monitoring and approval processes involving airport charges. He completed the draft use agreement to be entered into with the air carriers for their use of airport facilities and exclusive accommodations. A preliminary review by the major domestic Hong Kong air carrier, Cathay Pacific, resulted in acknowledgement that the agreement was fairly crafted and ready for distribution to all air carriers. In creating such an equitable agreement, Mr. Judy has successfully avoided the need for protracted negotiations between the two parties. Revenue & Operating Costs - Forecasting and Budgeting Mr. Judy completed a critical review of the professionally prepared revenue forecasts, which resulted in many reservations concerning specific revenue targets set forth therein and the assumptions used in the forecasts. Therefore, Mr. Judy produced ongoing revised forecasts, subject to commercial negotiation of airport support licenses, and submitted them to Strategic Planning and Finance. In addition, Mr. Judy devised a computer program designed to centralize all revenue and cost assumptions to achieve a "real time" forecast update when any assumption is reviewed. This is a critical tool for sensitivity analysis and the development of substitute revenue targets. Airline Negotiations Rates and Charges Analysis Financial Analysis and Forecasting Airline Negotiations sEoPw r CP,A Airport Rates, Fees and Charges Mr. Judy developed policy and charging mechanisms to fair rates, fees, and charges for airport commercial activities and services. The rates are structured to be competitive against those of any other regional airport. Airport User License Agreement Mr. Judy prepared and negotiated a draft user agreement for air carrier use of airport facilities and for the assignment of terminal accommodations to all carriers. The agreement will shape the overall airport charges and carrier terminal use policy of the Authority as it relates to international obligations and future air carrier contract relationships for accommodations to provide their air transport activities in an efficient and competitive manner. Mr. Judy also developed commercial policy and RFP documents for all major airport support activities, including retail, fueling, cargo, catering, aircraft maintenance, and general aviation. Airside Businesses Mr. Judy formulated Board approved policies for the multi -stage competitive license award process and participated in the implementation of the policy to date. He was instrumental in negotiating the Board approved "competitive business policy" and unique license award process. If the process is judiciously administered, and protected from adverse "special interests," it will be one of the key elements of the cost efficient service goal of the Authority. Landside Development Mr. Judy reviewed compensatory cost analyses for airport island land creation in order to achieve a minimum payback scenario and to define costs that play a strategic role in revenue returns from related Airport Charges. Client References: Dr. Henry Townsend, CEO, -PAA Chem S. Heed, Commercial Director, PAA 011-852-824-7111 DIRECTOR, DADE COUNTY AVIATION DEPARTMENT Richard H. Judy Page 3 Rates and Charges Analysis Airport Facility Requirements Airline Negotiations Airport Policy Negotiation Rates and Charges Analysis Overview Mr. Judy was appointed Director of the Aviation Department in 1971. Responsibilities included the overall operation, development, financing, business management, budget, and policy of Miami International Airport and five other airports located in Dade County, Florida. He is internationally recognized for developing Miami International Airport into one of the world's premier cost efficient and service oriented airports. He developed and implemented countless new ideas for airport management and service systems to the point where Miami International Airport was the byword for successful innovation within the industry. Richard H. Judy Page 4 The policies Mr. Judy implemented made Miami International Airport the most cost effective of airports for airline operations and user services, while his stand on maintaining a competitive market for air transportation in the community resulted in air fares 9% below the industry average and 23% below those at comparable hubs. Many of the user systems and services now common within the airport industry were developed and implemented by Mr. Judy. The following sections highlight almost two decades of Mr. Judy's leadership and innovation as Director of the Dade County Aviation Department. Business Management Between 1968 and 1988, operating income increased to $233 million, operating income per passenger increased from $1.37 to $9.71, and revenue from commercial retail operations increased from $4.0 million to $72 million. Several new programs and strategies were developed and pursued to achieve these results. First, Miami International Airport became the first airport to introduce brand name concessionaires to airport terminals and to use management contracts instead of concession agreements to run commercial operations. Under a management agreement all revenues flow to the airport. The company responsible for managing the day to day commercial operation is paid a fee for the services provided. Such management agreements give the airport control over the pricing and the quality of the services. As a result of management contracts, financial analysts have calculated that net revenues from commercial operations at Miami International Airport are between 50% and 100% higher than they would be under conventional concession agreements. (The British Airports Authority has recently adopted the use of management contracts for Heathrow Airport.) Mr. Judy also developed the first use of short term use agreements for airport facilities which allow the airport unparalleled flexibility in meeting the needs of changing market conditions. Rents can be adjusted to fair market values, and airport facilities can be utilized to the maximum extent by reassigning them in the event of airline bankruptcy or changing - operational patterns. Traffic levels following the Eastern bankruptcy of 1989, the Air Florida bankruptcy in 1984 and the Braniff bankruptcy in 1982 returned quickly to the pre -bankruptcy levels largely because Mr. Judy's short term use agreements enabled the airport to make facilities available for airlines wishing to replace lost service. In addition, Mr. Judy developed and implemented the first internal airport enterprise fund for the development of non -aeronautical facilities and services that was independent of aeronautical revenues. The 1988 annual cash flow into this fund was $40 million and was projected to grow to $100 million within 10 years (borrowing power of $500 million). No other airport has such a fund because non -aeronautical revenues at most airports are captured under the use agreements. Airline Negotiations Master Planning • Airport Negotiations • Rates and Charges Analysis • Master Planning • Airport Financing • Master Planning OFW % CRA Financing Mr. Judy was the first to undertake the task of convincing financial institutions and bond rating agencies that the size and nature of the local air transportation market and the ability to raise revenues without air carrier approval should be the guarantor of airport revenues needed to service debt, as opposed to the traditional reliance on long term lease agreements with airlines. In addition, Mr. Judy developed and implemented many forms of airport financing now widely used by airports throughout the country, including: • Development and implementation of the first special airport revenue bonds for the construction of an air carrier maintenance facility (while Comptroller). • Use of tax free commercial paper as an airport financing source. • Use by airports of back-up letters of credit with commercial banks. At the time, this innovation saved 1/2% per year on the price of the bonds issued. • Use of variable rate bonds for airport debt financing purposes. • Use of a liquidity line of credit providing flexibility on the timing of bond issuance. • Use of incremental financing of bond issue to provide capital and incur debt service obligations only as the funding needs arose. • Drafting of a citizen referendum item which passed and provided ad valorem tax backing for an airport revenue bond issue. This backing eliminated the need for bond insurance, without financially impacting the local taxpayer. - • Development of a non -tax supported financial program for long term use in borrowing risk capital (accomplished as Deputy Director of Dade County Aviation Department). As a result of these financial firsts and Mr. Judy's overall management practices at Miami International Airport, the bondarating for airport revenue bonds climbed from B+ in 1968 to A+ at the time of Mr. Judy's retirement from the airport. Due to the ability of the airport to provide new competitive carriers with extensive operating facilities, the airport's bond rating was neither undermined nor put on "credit watch" despite the bankruptcy of Eastern Air Lines in 1989, which accounted for 31 percent of the passenger traffic, Air Florida and Braniff Airlines in the early mid- 1980's, and Pan American, which accounted for 20 percent of airport traffic. Richard H. Judy Page 5 Airport Financing Innovations Financial Planning C&,k Policy Mr. Judy is an acknowledged leader in the fields of international aviation policy, congestion and capacity policy (including the drafting of the original Passenger Facility Charge legislation that was passed by Con- gress), competition policy, airport pricing policy, airport financing policy, airport funding policy, airport development policy, in addition to airport environmental policy and narcotics and explosive detection policy. Operations During his career as Director, Mr. Judy transformed Miami International Airport into the hub of Latin America and the Caribbean, a major air service hub for American Airlines, a major destination for European travelers, and one of the world's leading passenger and cargo airports. At the time of his retirement as Director, Mr. Judy had succeeded in making Miami the world's 8th largest passenger airport, 6th largest cargo airport, 3rd in the world in terms of the number of airlines providing service, and the 2nd largest U.S. international airport in both passenger and cargo. Since he began working for the Dade County Aviation Department in 1967, Mr. Judy has succeeded in increasing the number of passengers handled from 9.5 million to 25 million, increasing the amount of cargo handled from 194,000 tons to 750,000 tons (currently 1,000,000 tons), increasing the number of airlines providing service from 37 to over 80, and expanding the locations served from Miami International from predominately domestic with only a few international destinations, to over 160 destinations today including most major cities in Europe, all major cities in the Caribbean and Latin America, and several cities in the Middle East. Development Mr. Judy was responsible for the implementation of over $4 billion (money of the day) of self -financed capital construction and over $1 billion worth of conceptional space master planning at Miami International Airport. Since 1968, under Mr. Judy's direction, the number of aircraft gates was increased form 74 to 110 (most of the 74 were, replaced with new gates) and the terminal space was increased from 0.6 million square feet to 2.8 million square feet. In the course of the physical development of Miami International Airport under his direction, many innovations were successfully implemented. The world's largest on -airport cargo area was developed, including 2 million square feet of cargo facilities. Miami's ancillary aviation facilities were enhanced, including the development of the world's largest Airbus Industries crew training center, and regional headquarters for Rolls Royce and Cleveland Pneumatics. In addition, under Mr. Judy's direction, Miami International Airport became the first airport to: Richard H. Judy Page 6 Aviation Policy Passenger Facility Charges Passenger Service Development Air Cargo Development Airport Development Capital Planning Facilities Planning Richard H. Judy Page 7 • design and use displaced runway thresholds for noise abatement purposes. • design and use high speed exit taxiways now used throughout the world and recognized by the Federal Aviation Administration as a tool to increase airfield capacity. • design and use dual capability International/Domestic gates which allow increased facility utilization, increased effective airport capacity, shorter international to domestic or vice versa aircraft turnaround, and significant airline operating cost savings. • implement an airport wide database to integrate all service systems for cross utilization by all airport users as needed. • use in -transit passenger facilities in the U.S. • use Transit Without Visa (fWOV) facilities. • create dedicated centralized commuter aircraft facilities. • cogenerate electricity using airport trash from international aircraft. • develop an integrated electronic cargo service and customs clearance system for use by all cargo consignees and consignors to track cargo from the supplier to the receiving consignor on a real time basis. In addition, Mr. Judy was instrumental in establishing the first successful large scale general purpose free trade zone. Budget - During his career as Director, the revenues generated by Miami International Airport and the other five airports in Dade County grew from $13 million in 1968 to $250 million in 1990. Expenses incurred in the operation of Miami International Airport and the five other airports in Dade County grew from $4.3 million in 1968 to $144 million in 1990. SEOpW l Cam COMPTROLLER, DADE COUNTY AVIATION DEPARTMENT Mr. Judy first joined the Dade County Aviation Department (formerly Dade County Port Authority) in 1960 as Comptroller. His first major responsibility was the extensive reorganization of the financial policy and concession development program of the Authority. In accomplishing this task, he developed a short-term financing program for the construction of a $17,000,000 (1960 dollars) airport improvements project including the first major concession mall and hotel in any terminal. This concept has been copied at major airports throughout the world, and was financed through a syndicate of banks throughout the State of Florida utilizing concession revenues as security; the first such syndicate of its kind. The success of Mr. Judy's program made it possible for the Authority to complete its initial capital improvement program one year in advance of schedule. The early completion also meant that the new terminal rental and concession revenues totaling $1,500,000 (1957) would also be received one year in advance of schedule. Following completion of the above temporary financial program, Mr Judy accomplished the following projects: Richard H. Judy Page 8 • Airport Financing • Airport Planning • Concession Development • Rates and Charges Analysis The renegotiation of the airport use agreements with major • Airline Negotiations airlines. The agreements provided a date certain for the removal Rates and Charges of airline control over the provision of new airport facilities and the ability of the airport to independently adjust landing fees and other rates, fees and charges. The settlement of the first major domestic airline fees and Airline Negotiations charges discrimination suit. Rates and Charges Installation of a cost system integrated with all other related airport systems databases to establish a rate base for all the fee and rental schedules. The cost system was to be used as a basis for the settlement of a foreign airline rate case and in the renegotiation of the then current landing fee schedule, which expired in 1966. This cost/revenue control approach to managing the budgeting and pricing of services is extensively used today by most airports. Mr. Judy's last major financial accomplishment as Comptroller for the Authority was the sale of a $20,000,000 special revenue bond issue for airline base facilities. This financial and commercial arrangement between airlines and airports has been successfully used by most airports throughout the U.S. • Rates and Charges • Negotiation Support • Financial Systems Design Airport Financial Planning and Analysis Richard H. Judy Page 9 SELECTED SPEECHES, PUBLICATIONS, AND PAPERS 06/11/86 Position paper on difficulties of comparing airport use charges between different airports. 11/07/86 Position paper on the threat of long term exclusive use leases to the level of competition in the industry. 12/31/87 Position paper on British Airports Authority (BAA) user charges- dispute that resulted in a favorable arbitration ruling and the payment of damages to US carriers totalling $29 million. 03/18/88 Position paper on airport role in air service agreement regarding procedural matters and negotiation strategies. 04/15/88 Testimony before House Appropriations Committee on Customs budget for FY 1989. 04/31/88 Position paper on draft U.S. International Cargo Policy Statement. 05/04/88 Speech to International Air Cargo Forum. 06/30/88 Speech: "Impacts of Deregulation on Airports," Airport Operators Council International (AOCI). 08/01/88 Position paper on U.S. International Cargo Policy. 08/09/88 Testimony before the House Ways and Means Committee on the commercial operations of U.S. Customs and the need for cargo tracking systems to interface with customs databases for the timely clearance of cargo. 10/03/88 Position paper on the European Civil Aviation Conference CRS negotiations. 10/25/88 Position paper on National Aviation Policy. - 03/06/89 Position paper on a proposal for Passenger Facility Charges. 03/15/89 Speech: "Airports, the Communities They Serve and the Bilateral Negotiations Process in International Air Service." 03/29/89 Position paper on the U.S. Department of Transportation (DOT) study of St. Louis air fares. 03/30/89 Position paper on the British Airports Authority (BAA) arbitration. RICHARD H. JUDY PRINCIPAL CONSULTANT SUMMARY OF PROFESSIONAL PROFILE Richard H. Judy is the former Director of the Dade County Aviation Department, operator of Miami International Airport and five other county airports. Mr. Judy guided the Miami international airport aviation system through a challenging twenty year period of change and passenger, cargo, commercial and net revenue growth that is continuing today under a new management team. Miami International Airport during this period ranked among the top ten airports of the world in terms of total annual passengers served and tons of cargo handled, and for its ability to generate commercial revenue while maintaining an internationally recognized low operating cost environment for its air carrier service providers. Mr. Judy began his career after receiving a Bachelor of Business Administration degree from the University of Miami in 1953, and has pursued extensive post- graduate studies in law, taxation and related subjects. During the early part of his career, he accumulated a vast amount of experience in financial management and commercial development in the private sector and in various local and state government positions. In 1967, he became Deputy Director of I the Dade County Port Authority, precursor of the Dade County Aviation �: -1 Department, and was appointed Aviation Director in 1971. A. Mr. Judy is known throughout the worldwide aviation community, and is highly respected for his skills as a manager, planner, negotiator, financier, developer of, cost efficient airport commercial projects systems and project management. He is consulted by airports and related industries in regard to every aspect of terminal, airside and landside functional design and the development of cost efficient airport services system and the integration of such system for the efficient use by all users of the airport as and when needed. This has been clearly confirmed by his dual interim appointment as Commercial Director and Operations Director of the Provisional Airport Authority of Hong Kong for fifthteen months for the most cirtical design and commercial development period of the new Hong Kong Airport. He has been recognized in a profile on his business acumen and accomplishments in Forbes Magazine. For his development of the Miami International Airport's master plan and related integrated functional and cost efficient building system, Richard Judy won the prestigious annual Wright Brothers Award. He has since received numerous commendations and awards. Among these are the Bill Pallot Award of the International Center of Florida for his contributions to international trade and commerce and the Max Schumacher Memorial Award of the Helicopter Association International for his contributions to the development of a regional helicopter infrastructure. In addition, he was chosen Public Official of the Year by the Industrial Association of Dade County in 1986, and was honored by the Greater Miami Chamber of Commerce in "r-64 September of 1986 "[i)n recognition of his vision, ingenuity and business acumen in making Miami International Airport the best and most cost efficient, I and competitive in the world." Richard Judy has distinguished himself through his total commitment to the development of efficient airport systems and services. He is well known for his success in transferring control of the use of all airport infrastructure and the rates, fees and charges related to such infrastructure use from the air carrier tenants and third party service providers back to airport management in order to maximize the airport's ability to control airport costs and to provide air carriers with operating facilities when needed and at competitive user charges, thereby providing a vibrant and competitive air service market place for the benefit of the airport's passenger and cargo users and the gross product of the region the airpot serves. He was Chairman Elect of the Airport Operators Council International; serves on a special committee within the Academy- of Sciences to advise the U.S. Secretary of Transportation on matters concerning air transportation safety and the development of explosive detection systems for baggage, aircraft and passengers; Chairman of the Public Facilities Council, Building Research Board of the National Academy of Sciences concerning the integration of airport building management systems for the improved efficiency and services of airport terminal for its users; Chairman of the U.S. Aviation Infrastructure Roundtable; Trustee of the U.S. Greater Miami Chamber of Commerce; Member of the Export Finance Advisory Commission of the state of Florida, and served on the Executive Council of the Institute for Transportation, American Public Works Association; Member of the U.S. Anthony Commission on Airport Finance; Member of U.S. Airline Transport Association (ASA) Industry Task Force, Noise/Access Working Group; Member of World Board of the International Civil { Airports Association; Member of the U.S. Department of the Treasury Advisory Group on Commercial Operations of the U.S. Customs Service (appointed by the I U.S. Secretaryof the Treasury) concerning the development of T Y 9 p policies that expedite the movement of passengers and cargo through the customs clearance process using advanced integrated airport systems; Member of Immigration service Advisory Group on User Fees (appointed by the U.S. Attorney General) a O involving the policies and procedures for moving passengers through the `a immigration clearance process using advanced airport systems integrated with air carrier passenger databases. Since leaving his public service career, he has completed 20 months of work for the Provisional Airport Authority (PAA) of Hong Kong as a secondee from his consulting firm. As mentioned, he held the dual positions as Commercial Director and Operations Director for fifteen months and was a consultant to the Chief Executive Officer of the PAA for the last five months. An at -a -glance summary of his achievements for PAA is attached. so Bargains among the 200 best small companies* 1929? or 1962? by Malcolm S. Forbes Jr. Mutual funds that bucked the downtrend* What next? Five Forbes columnists look ahead. How The Forbes Four Hundred fared. Is the market cheap? t Richard Judy runs Miami Public servan International Airport ly for an airport, this as if he owns it. one makes money "We enterprisedift" By Jan Parr P EOPLF AROUND Miami say that public -servant Richard Judy ns Miami International Airport as if he owns it. They all don't mean it — ., ­ nlimpnr but that's how Judy takes it, and for good reason. Wherev- er Judy strikes, airport profits seem to double —in passenger lounges, restau- rants, the airport hotel, even airport cargo services. - "My dream is to privatize the air- port," says Judy, whose official title since 1971 has been director of the Dade County Aviation Department, which runs the airport. "But we couldn't privatize it, so we enter - prised it. There's tremendous revenue potential here if you meet consumer demand. We are, and they're willing to pay for it." Take airport lounges. Back in the old days, five years ago, when airlines operated all passenger lounges, the airport's take from lounges was pure- ly in rent, $6 to $7 a square foot. "It didn't even amount to revenue for us," says Judy. But as leases began expiring three years ago, Judy began cutting deals with the airlines, con- solidating separate lounges into larger spaces used by several carriers at a time. With airlines now paying for lounge services on a per -passenger ba- sis, iami Intemational expects gross r venues from lounge space to reach $2 million this year and profits on lounges to hit S 1.2 million a year. Miami airport's 25 restaurants and bars have also come in for Judy's en- terprising. In 1984, as restaurant con- cessions began coming up for renew- al, Judy refused to renew. He is rip- ping them up and remodeling them as fast as he can, converting them into 299 :9EG PAWCRA ';.f E-,PEES, NMEMBER 16, 1987 pleasant, mall -like food c Profit from nine new or redone ttaurants has surged; some former "dead space" is now producing good returns for the first time. Example: In an area that used to house only seating, Judy in- stalled a high -margin seafood bar that paid back its $700,000 startup cost in seven months. "We're making the airport some- thing other than just a sterile environ- ment where everything is shoved into the comers," Judy says. "There are many more things to come." Lastyear each passenger spent about $7, on av- erage. Judy says he wants to boost that figure to about $20 before he is done. To an extent, Judy's success can be ascribed to good timing. As Miami has grown rapidly, passenger and freight volumes handled by Miami International Airport have surged. Although rankings vary in these deregulated times, Miami figures it's -tenth nation- ally in flight originations. It handles 23.5 million passengers and some 614,000 tons. of cargo per year. In 1971, when Judy took over, the passenger and cargo figures were .10.9 million and 350,000 tons, respectively; the real improvement in reve- nues began in 1979, when Judy began to "enterprise" the air- port after years of thought and study. Credit Judy for maximizing his advantages. He has built gross operating revenues at Mi- ami International to $150 mil- lion last year from $92 million in 1982. Profits —these are de- fined as current revenues less operating costs, . not including depreciation —grew to $60 mil- lion last year, from $46.9 mil- lion in 1982. ' Judy, 56, is in the vanguard of a new breed of airport manager. Ten years ago most airport man- agers were likely to be former World War II pilots —fine aviators, but not often great managers or entrepre- neurs. But . airports, almost despite themselves, have become large com- mercial centers, with captive custom- ers —not just passengers, but the air- lines as well. Judy's skill has been tapping that customer base. A Pennsylvania coal miner's son, Judy earned a bachelor's degree in business administration from the University of Miami and did postgrad- uate work in law and taxation.' He went into public service —on ally as comptroller for the Dade ounty Port Authority. He has been in the public sector ever since, with the ex- ception of a brief stint with th, nance department of a shipbuilairg company. Thus he's largely self- taught as a restaurateur, hotelier and cargo handler and has no precon- ceived notions of what an airport ought to be. Why don't more big airport manag- ers follow in Judy's footsteps? One reason is that Judy enjoys more inde- pendence than do most airport man- agers. At New York's John F. Kennedy Airport, for instance, different au- thorities run various aspects of the airport, such as the fueling system or cargo handling. At Miami, by con- trast, Judy has complete authority. "I'm like the head of a conglomer- ate," Judy says as he races through his airport with boundless energy, stop- ping only to light a cigarette. In es- sence he is equal parts planner, nego- tiator, financier, administrator and even designer for the 3,200-acre air- port and its 130,000 square feet of retail and restaurant space. He is not short on self-confidence. Says Judy, who makes $100,000 a year: "I'll challenge any $400,000 chief executive to a management duel any day." Judy's enterprising of the airport be- gan in 1979.On behalf of Miami Inter- national he bought the airport hotel for $4.7 million from International Airport Hotel Systems. Judy wanted the hotel because he thought it should be expan$ed and upgraded, but the owner didn't have the money. Judy bought it and refurbished it into a first-class hotel; today an atrium and restaurant are under construction. Despite $15 million in remodeling costs, profits from the 270 rooms have doubled, he says, to a likely $4.5 mil- lion this year. About a year ago Judy introduced air cargo services for smaller carriers. He predicts that in fiscal 1988 (ending next Sept. 30) his small carriers' freight operation will handle 120 mil- lion pounds of cargo, about 10% of all Miami International cargo, and earn $3.5 million. Even so, the small car- riers' cargo -handling costs will be re- duced by 50%. Judy's aggressive style, dicta- torial manner and outspoken opinions have ruffled feathers .around southern Florida, espe- cially the feathers of conces- sionaires that Judy has cut out. Not a few people worry about his autonomy and the specula- tive nature of some of his uses of public money. But Judy has results on his side. Gross revenues from Mi- ami International's terminal concessions—$64 million in 1986—made up nearly half of the airport's gross operating rev- enues (the other half comes mainly from landing fees, rent, parking and taxi fees). No other major U.S. airport even comes close. New York's JFK, for ex- ample, gets $21 million in gross revenues from concessions. Miami's consumer revenues help Judy keep the airport's landing fees and airline rents proportionately lower than those of most major airports. Judy quit playing golf be- cause he found he played on Wednesdays, by lifelong habit a workday. "I'm suspicious of any executive who plays golf," he says. Now he spends his time work- ing. He works 12-hour days and comes into the office several hours on both weekend days. "You know why I do that?" de- mands Judy. "Because if you're here during the peak times, you can see what your airport will be like when it's running at peak 365 days a year." What with passenger air traffic through Miami expected to increase 4.4% annually through 1990, then by 3.2% annually until the end of the century, Judy knows he'll have no end of opportunities for enterprise in the years ahead. ■ S-Eo PW/CRA � 0 — 302 0 1 FORBES, NOVEMBER 16, 1987 7 PROFESSIONAL PROFILE OF RICHARD H. JUDY TABLE OF CONTENTS I. CURRICULUM VITAE . A. CAREER EMPHASIS B. SUMMARY OF EXPERIENCE C. EDUCATION D. HONORS E. BACKGROUND F. AVIATION G. TRANSPORTATION H. OTHER EXPERIENCE II. SPEECHES, PUBLICATIONS AND PAPERS 111. REFERENCES SEOPW,/C4 I. CURRICULUM VITAE OF RICHARD H. JUDY A. CAREER EMPHASIS Leadership of a large public enterprise with 1,000 employees and annual revenues in excess of $200 million. Thorough understanding of,. and practical leadership experience in all aspects of airport planning, development, construction, operations, financing, funding and commercial activities. Fully experienced in the development of domestic and international aviation regulation, policy and law pertaining to airports, airlines, the environment and the consumer. Experienced in the negotiation of commercial contract, and the formulation of the commercial aspects of international treaties and domestic policy agreements. B. SUMMARY OF EXPERIENCE 1994 - current Consultant to the Chief Executive Officer of the Provisional Airport Authority for the commercial developments of the new Hong Kong Airport (see attached) 1992 - 1994 Interim Commercial Director and Operations Director of the Provisional Airport Authority of Hong Kong (seconded from Judy & Associates Inc) Major work productsas the Operations Director during the above period are the functional layout and operational requirements of the new terminal building, all related systems and their operational requirements, and integration for the cross utilization of their data bases and services by other users.- During the tenure as Commercial Director, the major work products are the development of all commercial programmes for the new airport such as cargo, catering, fuel, ramp handling and aircraft maintenance and terminal retail. 1989 - 1992 Chief Executive Officer of Judy & Associates Inc Provided aviation consultancy services to selected domestic and international airports. 1971 - 1989 Director, Dade County Aviation Department. Responsible for the overall operation, development, financing, business management, budget and policy of Miami International Airport and five other airports located in Dade County, Florida. 2 1967 - 1971 Deputy Director, Dade County Aviation Department (formerly Dade County Port Authority). Primarily responsible for the planning, implementation and financing of the capital development of Miami International Airport and the five other airports located in Dade County. 1962 - 1967 Comptroller, State of Florida Road Department. Primarily responsible for the reorganization of the financial operations of the State Road Department. Arranged the funding for much of the Florida Turnpike and the other arterial roads in Florida. 1960 - 1962 Comptroller, Dade County Port Authority. Responsible for the extensive -reorganization of the financial and leasing policy of the Authority. C. - EDUCATION University of Miami (BBA, 1953); and over 2 years of graduate work. D. HONORS Chairman Elect and Executive Committee Member of Airport Operators Council International (AOCI) Member of Anthony Commission on Public Finance. Member of Industry Task Force, Noise/Access Working Group. Member of World Board of the International Civil Airports Association. Member of Department of the Treasury Advisory Group on Commercial Operations of the U.S. Customs Service (appointed by the U.S. Secretary of the Treasury). Member of Immigration Service Advisory Group on User Fees (appointed by the U.S. Attorney General). Member of State of Florida Export Finance Advisory Commission. Member of Representative of AOCI before International Civil Aviation Organization (ICAO). Member of Site selection committee for new Minneapolis -St. Paul airport. Trustee of Greater Miami Chamber of Commerce. Trustee of Beacon Council. Trustee of Hialeah Chamber of Commerce. SBOMeCRA 3 Chairman, Public Facilities Council, National Academy of Sciences. Chairman, Aviation Infrastructure Roundtable. 1973 Wright Memorial Award for the Program '70's master planning of Miami International Airport. Helicopter Association International (HAI) Schumacher Award for the development of regional helicopter infrastructure. 1986 Public Official of the Year award by the Industrial Association of Dade County. 1984 Bill Pallot award from the International Center of Florida for contributions to international trade and commerce. 1988 Member of the U.S. Congress, Office of Technology Assessment Advisory Panel on Aviation Safety. Member of the U.S. Congress, Office of Technology Assessments Advisory Panel on airport funding, development and competition. Member of the Site Selection /Committee for the new Louisville airport. Participated in reviewing the drafting of the 1969 Environmental Protection Act. Requested to consult on the'functional planning of terminal facilities, services systems, integrated data bases, communication systems, implementation and management by numerous airports throughout the world. Author and speaker on a broad range of air transportation and airport development and operating issues. Numerous other local, civic and business awards. E. BACKGROUND Sixty-two years old, a native of Pennsylvania and long time resident of Florida. Attended public school in Pennsylvania, and received a bachelor's degree from the _ university of Miami in 1953, majoring in accounting, finance and economics. Over two years of graduate studies, including contract, commercial, property and taxation law and computer technology. F. AVIATION 1. JUDY & ASSOCIATES INC. January 94 to current - performing consultancy services to the Chief Executive Officer of the Provisional Airport Authority of Hong Kong concerning the commercial developments of the new Hong Kong airport. a UPW l Cit1� o� 4 2. SECONDMENT FROM JUDY & ASSOCIATES TO INTERIM DIRECTOR OF OPERATIONS AND INTERIM DIRECTOR OF COMMERCIAL DIVISION OF THE PROVISIONAL AIRPORT AUTHORITY OF HONG KONG 3. DIRECTOR, DADE COUNTY AVIATION DEPARTMENT Appointed Director of the Aviation Department in 1971. Responsibilities included the overall operation, development, financing, business management, budget, and policy of Miami International Airport and five other airports located in Dade County, Florida. He was responsible for developing Miami International Airport into one of the world's premier cost efficient and service oriented competitive airports. He developed and implemented countless new ideas for airport management and service systems to the point where Miami International Airport was the byword for successful innovation within the industry. Over his two decades of leadership he became widely respected throughout the aviation community for his skills as a planner, negotiator, financier, and administrator. The policies Mr. Judy implemented made Miami International Airport the most cost effective of airports for airline operations and user services while his stand on maintaining a competitive market for air transportation in the community resulted in air fares 9% below the industry average and 23% *below those at comparable hubs. Many of the user systems and services now common within the airport industry were developed and implemented by him. He is consulted by airports and related industries in regard to every aspect of terminal, airside and landside services facilitation including commercial development. Highlights of almost two decades of leadership as Director include: 3.1 OPERATIONS During his career as Director, Miami International Airport became the hub -of Latin America and the Caribbean and a major air service hub for American Airlines; diversified into a major destination for European travelers, and became one of .the world's leading passenger and cargo airports. Activities at Miami International Airport account for 20% of the Gross Product of Dade County, directly providing 25,000 jobs. At his time of retirement as Director, Miami was the world's 8th largest passenger airport, 6th largest cargo airport and was ranked 3rd in the world in terms of the number of airlines providing service. Miami become the 2nd largest U.S. international airport in both passenger and cargo. SE()PV CM,", 5 Since 1968 the number of passengers handled increased from 9.5 million to 25 million, the amount of cargo handled increased from 194,000 tons to 750,000 tons (currently 1,000,000 tons), the number of airlines providing service increased from 37 to over 80. From 1968 to his retirement, the locations served from Miami International grew from being predominately domestic with only a few international destinations, all in Latin America, to over 160 destinations today including most major cities in Europe, all major cities in the Caribbean and Latin America, and several cities in the Middle East. 3.2 DEVELOPMENT During his directorship, Miami International Airport developed from a 1950's vintage facility designed for piston aircraft into a state of the art terminal and air field. . Over $4 billion (money of the . day) of self financed capital construction has taken place and over $1 billion worth of conceptional space master planning was completed to develop Miami International Airport to its maximum possible capacity during the 1990 decade. Since 1968, the number of aircraft gates increased form 74 to 110 (most of the 74 were replaced with new gates) and the terminal space increased from 0.6 million square feet to 2.8 million square feet. In the course of the physical development of Miami International Airport under his direction the following innovations were successfully implemented: • First design and use of displaced runway thresholds for noise abatement purposes. • First design and use of. high speed exit taxiways now used throughout the world and recognized by the Federal Aviation Administration as a tool to increase airfield capacity. • First design and use of dual capability Intemational/Domestic gates which- allow increased facility utilization, increased effective airport capacity, shorter- international to domestic or vice versa .aircraft turnaround and significant airline operating cost savings. First airport to implement an airport wide database to integrate all service systems for cross utilization by all airport users as needed. ' C S1s0F'4'/�I I • Functional design and first use of the second generation Westinghouse people mover cars now used at Gatwick Airport, Orlando and other airports throughout the world. • First U.S.- In -transit passenger facilities. • First Transit Without Visa (TWOV) facilities. • First airport operated first class Club Lounge facilities. • First dedicated centralized commuter aircraft facilities. . First to cogenerate electricity using airport trash from international aircraft. The development of ancillary aviation' facilities including the world's largest Airbus Industries crew training center, and regional headquarters for Rolls Royce and Cleveland Pneumatics. The development of the world's largest on -airport cargo area including 2 million square feet of cargo facilities. • The first on -airport airport operated child care center. • The first on -airport satellite learning center providing education through the first grade. • Instrumental in establishing the first successful large scale general purpose free trade zone. • First airport to develop an integrated electronic cargo service and customs clearance system for use of all cargo consignees and consignors to track cargo from the supplier to the receiving consignor on a real time basis. 3.3 FINANCING Was first to undertake the task of convincing the financial institutions and bond rating agencies that the size and nature of the local air transportation market and the ability to raise revenues without air carrier approval was the guarantor of airport revenues needed to service debt as opposed to the traditional reliance on long term lease agreements with airlines. Developed and implemented many forms of financing now widely used. by airports throughout the country. Developed and implemented the first special airport revenue bonds for the construction of an air carrier maintenance facility (while Comptroller). SE a i'Vv: CIRA r r 7 First airport to use tax free commercial paper. • First airport to use back-up letters of credit with commercial banks. At the time this innovation saved 1/2% per year on the price of the bonds issued. • First airport to float variable rate bonds. • First airport to use a liquidity line of credit providing flexibility on the timing of bond issuance. • First airport to use incremental financing of bond issue to provide capital and incur debt service obligations only as the funding needs arose. • Drafted citizen referendum item which passed and provided ad valorem tax backing for airport_ revenue bond issue. This backing eliminated the need for bond insurance, without financial impact on the local taxpayer. As a result of these financial firsts and the overall management practices at Miami International Airport, the bond rating for airport revenue bonds climbed from B+ in 1968 to A+ at the time of Mr. Judy's retirement from the airport. ' The bond rating was not undermined _ nor the rating put on 'credit watch' despite the bankruptcy of Eastern Air Lines in 1989 (accounting for 31 % of the passenger traffic), Air Florida and Braniff Airlines in the early mid 1980's and Pan American due to the ability of the airport to provide immediately new competitive carriers with extensive operating facilities (gates) such as those provided to American Airlines to begin a first phase twice daily departure hub. 3.4 BUSINESS MANAGEMENT Since 1968, operating -income increased to $233 million in 1988. Operating income per passenger increased from $1.37 to $9.71. Revenue from commercial retail operations increased from $4.0 million in 1968 to $72 million in 1988. The new programs and strategies that were developed and pursued to achieve these results include: • Management Contracts. Miami International Airport became the first airport to use management contracts instead of concession agreements to run commercial operations. Under a management agreement all revenues flow to the airport. The company responsible for managing the day to day commercial operation is paid a fee for the services provided. Such management 8=�LOPYV, C agreements give the airport control over the pricing and the quality of the services. As a result of management contracts, financial analysts have calculated that net revenues from commercial operations at Miami International Airport are between 50% and 100% higher than they would be under conventional concession agreements. The 256 room airport hotel operated by the airport using a management contract returns greater net revenue to the airport than a concession agreement hotel with 1,700 rooms. Management contracts have been applied to the airport hotel, Duty Free shops, Newsstands, all restaurants, gift shops, first class club lounges, cargo handling facilities and services, parking garages, janitorial and porter services, bag check room service, child care center and the satellite learning center. • Short term use agreements. Developed the first use of short term use agreements for airport .facilities which allow the airport unparalleled flexibility in meeting the needs of. changing market conditions. Rents can be adjusted to fair market values, and airport facilities can be utilized to the maximum extent by reassigning them in the event of airline bankruptcy or changing operational patterns. Traffic levels following the Eastern bankruptcy of 1989, the Air Florida bankruptcy in 1984 and the Braniff bankruptcy in 1982 returned quickly to the pre -bankruptcy levels largely because short term use agreements at Miami International airport have enabled the airport to make available facilities for airlines wishing to replace lost service. This flexibility has resulted in the maintenance of the Airport's A+ Bond Rating the highest available rating being assigned to airports by the rating agencies such as Moodys. • Developed and implemented the first independent internal airport enterprise fund for the development of non aeronautical facilities and services independent of aeronautical revenues. The 1988 annual cash flow into this fund was $40 million and it was projected to grow -to $100 million within 10 years (borrowing {power of $500 million). No other airport has such a fund because the revenue sources are controlled by the air carrier users under their airport use agreements. • Developed and implemented Techniport, and positioned it to become an - export trading company aimed at developing international trade within the community. • Developed and implemented numerous minority programs which have since become the model for use by Dade County's HUD, and the Public Health Trust. The FAA uses Miami as the example of a successful minority program. The cornerstone of the minority programs at Miami International Airport was a Miscellaneous 9 CRA Construction and Design Contract which provided extensive opportunities for minority contractors to participate in millions of dollars of airport construction opportunities. 3.5 BUDGET During his career as Director, the revenues generated by Miami. International Airport and the other five airports in Dade County grew from $13 million in 1968 to $250 million in 1990. Expenses incurred in the operation of Miami International Airport and the five other airports in Dade County grew from $4.3 million in 1968 to $144 million in 1990. 3.6 POLICY Fought the banning of Stage 1 aircraft operations in the United States, pending. the hush kit installation, and was successful in overcoming the opposition of all major U.S. airlines, all aircraft manufacturers, all major U.S. airports, and the federal government while forging a cooperative alliance of local interests to protect the international traffic base and its economic benefits. Wrote and was instrumental in the enactment of the Air Carrier Smuggling Prevention Program in the 1988 Drug Bill, overcoming the opposition of the federal government. Acknowledged leader in the fields of international aviation policy, congestion and capacity policy (including the drafting of the original Passenger Facility Charge legislation that was passed by Congress), competition policy, airport pricing policy, airport financing policy, airport funding policy, airport development policy, in addition to airport environmental policy and narcotics and explosive detection policy. Acknowledged leader in shaping the aviation related policies of the Federal Inspection Services. Many innovative programs have been developed at Miami International Airport for the inspection. of international arriving passengers and cargo. The success of these programs has given Miami International Airport the best passenger clearance times of any U.S. airport. The recently released U.S. Customs master plan for passenger processing in the 1990's is to a large extent based upon the practices implemented at Miami during the 1980's. 10 4. 5. DEPUTY DIRECTOR, DADE COUNTY AVIATION DEPARTMENT Moved into the position of Deputy Director at the request of the Director and civic, business, and aviation leaders within the community. Primary responsibility was the development of a new Airport within the system of airports in South Florida to serve as a major training airport with the potential to develop into a regional commercial airport to the Southeastern United States. Progress during the project included execution of inter -governmental agreements as to the site location, actual site location, community acceptance of 40 square mile site, concept financing without taxes, aviation industry acceptance and participation, site acquisition, first facilities under construction, environmental study underway, master facility plan underway, high speed (170 mph) air cushion bus demonstration project study underway, 1,000 food wide ground transportation corridor to the new airport site. (The development of the site as a commercial airport was halted by agreement with the U.S. government_ pending location of a new site and replacement by the U.S.) Another major responsibility was the development of a non -tax supported financial program for the long term use in borrowing risk capital. COMPTROLLER, DADE COUNTY AVIATION DEPARTMENT First joined the Dade County Aviation Department (formerly Dade County Port Authority) in 1960 as Comptroller. First - major responsibility was the extensive reorganization of the financial policy and concession development program of the Authority. First accomplishment was the development of a short-term financing program for the construction of a $17,000,000 (1960 dollars) airport improvements project including the first major concession mall and hotel in any terminal. This concept has been copied at major airports throughout the world. This was financed through a syndicate of banks throughout the State of Florida utilizing concession. revenues as security; the first such syndicate of its kind. The success of this program made it possible for the Authority to complete its initial capital improvement program one year in advance of schedule. The early completion also meant that the new terminal .rental and concession revenues. totaling $1,500,000 (1957) would also be received one year in advance of schedule. After completion of the above temporary financial program, accomplished the following projects: • The renegotiation of the airport use agreements with major airlines. The agreements provided a date certain for the removal of airline control over the provision of new airport facilities and the ability of the airport to independently adjust landing fees and other rates, fees and charges. , :,i_OPW/CRA 11 • The settlement of the first major domestic airline fees and charges discrimination suit. • Installation of a cost system integrated with all other related airport systems database to establish a rate base for all the fee and rental schedules. This cost system received special attention from the local members of the National Association of Accountants. The cost system was to be used as a basis for the settlement of the foreign airline rate case and was to be used in the renegotiation of the then current landing fee schedule which expired in 1966 and the - cost/revenue control approach to managing the budgetary and pricing of services is extensively used today by most airports. • Last major financial accomplishment as Comptroller for the Authority was the sale of a $20,000,000 special revenue bond issue for airline base facilities. This financial and commercial arrangement between airlines and airports has been successfully used by most airports throughout the U.S. G. TRANSPORTATION COMPTROLLER, STATE OF FLORIDA ROAD DEPARTMENT Joined the State Road Department* in 1962 as Comptroller with the primary responsibility of reorganizing. the financial operation of the Department. Included among the many financial improvements during his term of employment are the following: • Drafted and led the passage of a state law and constitutional amendment that fairly distributed the secondary gas taxes to the large urban areas of the State, was cited for his outstanding work in developing new accounting and auditing systems that expedited financing of major federal and state highway systems. • The financing for the extension of the Florida Turnpike in Dade County and the development of most of the community's existing expressway system. • The development and implementation of a federal -aid contracting and collection system known as the "Current Billing System' which resulted in the expedition of the federal -aid construction program of Florida by some $25,000,000 and over 750,000 in the total U.S.(1990 dollars - 15 billion). The 'Current Billing System" eliminated the need for Dade County to sell an approved $40,000,000 of bonds to advance finance a portion of the interstate system in Dade County. Among many other substantial savings, this system made possible the direct saving of approximately $15,000,000 in interest payments from Dade County's ad valorem taxes. :_EUP I d J 4+>I 1 Cam. 12 • The design of a master credit card system for the control of motor vehicle fuel purchases for the State Road Department and all other state agencies. • The implementation of new document flow systems which have made possible substantial savings by reducing costly 'red tape." • The use of new audit programs and reporting systems to management to aid in the efficient expenditure of state tax resources. • The development of financial funding concepts for construction of the first non - toll and non -interstate expressway system constructed in Florida. • The implementation of .a new investment program for department funds being temporarily held for road construction disbursement which has resulted in substantial excess interest earnings since 1962. • The development of a financial partnership concept between the large urban counties and the Florida State Road Department to expedite the advance design of urban roads and expressways in counties of 50,000 population or more. H. OTHER EXPERIENCE From 1957 to 1959, was a Senior Auditor for the Miami C.P.A. firm of Morgan, Altemus and Barrs and wasthe external supervising auditor for the Dade County Port Authority under its trust agreements. 00 J 13 II SPEECHES, PUBLICATIONS, AND PAPERS 1986 06/11/86 Position paper on difficulties of comparing airport use charges between different airports. 06/19/86 Position paper on the need to investigate the anti -competitive effects of the airline ownership of Computer Reservations Systems (CRS). 11/06/86 Position paper on the need for exemptions to be granted to allow Stage 1 aircraft to operate in the U.S. for maintenance purposes. 11/07/86 Position paper on the threat of long term exclusive use leases to the level of competition in the industry. 11/07/86 Position paper on the need for exemptions to be granted to allow Stage 1 aircraft to operate -in the U.S. for maintenance purposes. 11/07/86 Position paper on the airline ownership of Computer Reservation Systems (CRS). 12/15/86 Economic Impact Statement and fact'sheet relating to the denial , of Stage 1 exemptions for aircraft needing U.S. maintenance. 12/16/86 Position paper on the need for exemptions to be granted to allow Stage 1 aircraft to operate in the U.S. for maintenance purposes. 1987 01/27/87 Aviation Infrastructure Roundtable (AIR) Spokesperson speech. 02/10/87 Editorial for Airport Highlights: Argues against scheduling discussions to reduce delays. 02/11/87 Position paper arguing against scheduling discussions to_ reduce delays. 02/18/87 Position paper on the Japanese Bilateral. O2/18/87 Critique of an article by Carl Rowan entitled "Sinking Airline Service." 02/25/87 Position paper for Aviation Infrastructure Roundtable (AIR) on the issue of the shortage of airport capacity. 03/06/87 Speech to Association of General Contractors (AGC) convention on the issue of the shortage of airport capacity. 0(1- 14 7_IPWXRA 03/12/87 Position paper on the shortcomings of Federal Aviation Administration (FAA) management. 04/10/87 Critique of Wall Street Journal article on aircraft delay. 04/10/87 Position paper on statements made by Senators Lautenberg and Weicker with regard to air transport taxes. 04/15/87 Position paper on the U.K. bilateral. 04/30/87 , Position paper on Argentina frequency allocation proceeding. 05/16/87 Speech to Airport Operators Council International -(AOCI) ("Brazil" speech) arguing for greater emphasis to be placed on broader economic implications of an exchange of air service rights. 06/25/87 Position paper expressing support for legislative language which would impose a maximum 45 minute clearance time for all international arriving passengers and which would provide for the testing of drug detection devices. 07/17/87 Position paper supporting the eligibility of Centralized Customs Examination Stations for Airport Improvements Program (AIP) funding. 09/11/87 Position paper on draft International Air Cargo Study. 10/15/87 Testimony before House Investigations and Oversight Committee on the International Air Cargo Study performed by U.S. Department of Transportation (DOT). 11/13/87 Position paper on the application of rules at air shows. 11/13/87 Position paper on the Mexican bilateral. 11/24/87 Position paper on codesharing, legislative language. 12/07/87 First draft of revised Federal Aviation Regulations (FAR) Part 150 program. 12/31/87 Position paper on British Airports Authority (BAA) user charges dispute that resulted in a favourable arbitration ruling and the payment of damages to US carriers totalling 29 million dollars US. 1988 01/04/88 Comments on Reason Foundation airport privatization paper. SF 0 W/CRA 15 01/07/88 Third Draft Stage 2 Aircraft Replacement Incentive Program. 02/01/88 Fourth Draft Stage 2 Aircraft Replacement Incentive Program (ARIP). 02/29/88 Draft Airport Compatible Protection Zone Program regarding airport aircraft noise. 03/11/88 Position on Office of Technology Assessment (OTA) Safety Study. 03/18/88 Position paper on airport role in air service agreement regarding procedural matters and negotiation strategies. 04/15/88 Testimony before House Appropriations Committee on Customs budget for FY 1989. 04/21/88 Position paper on on-line preference algorithms for Computer Reservation Systems (CRS). 04/28/88 Position paper on Office of Technology Assessment (OTA) Safety Study. 04/31/88 Position paper on draft U.S. International Cargo Policy Statement. 05/03/88 Position paper on Computer Reservation System (CRS). 05/04/88 Speech to International Air Cargo Forum. 06/21/88 Speech: 'Paying for Space' before International Air Transport Association VATA). 06/29/88 Speech: "International Passenger Peaking" Airport Operators Council International (AOCI). 06/30/88 Speech: "CRS and Codesharing" Airport Operators Council International (AOCI). 06/30/88 Speech: "Impacts of Deregulation on Airports" Airport Operators Council International (AOCI). 07/11/88 Speech: "Market for Airport Access' CATO Institute. 07/15/88 Position papers on the Air Carrier Smuggling Prevention Program. 07/18/88 Position paper on the Japanese bilateral. 07/18/88 Position paper on the Air Carrier Smuggling Prevention Program. 08/01/88 Position paper on U.S. International Cargo Policy. 16 rental companies. 03/06/89 Position paper on the proposal for a Passenger Facility Charge. 03/15/89 Speech: 'Airports, the communities they serve and the bilateral negotiations process in international air service.' 03/20/89 Position paper on the alternatives for phasing out Stage 2 aircraft operations. 03/29/89 Position paper on the U.S. Department of Transportation (DOT) Study of St. Louis air fares. 03/30/89 Position paper on the Customs Notice of Proposed Rule Making relating to the Drug Bill. 03/30/89 Position paper on the British Airports Authority (BAA) arbitration. 04/17/89 Position paper on U.S. International Aviation Policy. 05/16/89 Position paper on the phasing out of Stage 2 aircraft operations and on U.S. International Aviation Policy. 06/29/89 Speech: 'The Capacity Challenge' Brookings Institute. V. REFERENCES (PROVIDED UPON REQUEST) Beyond the realm of airport management, Richard H. Judy has been at the forefront of developing and implementing industry wide practices and policies that have shaped the development of the air transportation industry. He is well known for the positions he has developed on such issues as airport environmental impacts, airline competition policy, airport capacity and congestion policy, international aviation policy, airport development policy, federal inspection policy, narcotics interdiction policy, airport charges policy, and airport funding policy. For the. past ten years he has become known as a prominent and even handed spokesman for the public interest in these and other matters. Many of Richard Judy's accomplishments are the result of his abilities as a negotiator. His shrewd sense of negotiating has led him to be requested on numerous occasions to represent his community, his peers, his industry, and his country on almost every aspect of aviation. Mr Judy is personally responsible for these developments. His innovative management talents have made many of these developments successful where others have not even attempted. He has the reputation of schematically designing all facilities himself before turning them over to architects for final design execution. He has the reputation for finding new and cost effective ways of testing designs before going into the architectural and construction stages. For example, new taxiway and lighting configurations, at Mr. Judy's suggestion, were tested by professional pilots by reprogramming aircraft simulators with each configuration, safeguarding millions from having to be spent in the event the 'drawing board" configurations proved to be impractical. He has the reputation for innovation. He constructed -a tunnel under a runway where the water table is a mere three feet below ground level. He shifted an entire runway 150' laterally to make room for a needed parallel taxiway and the extension of several concourses to provide increased capacity. Industry planners had failed to find a solution to the problem. He has been sought by the National Academy of Sciences to help develop the specifications for Computer Aided Design for buildings. He has received numerous design and construction awards for facilities that vary in purpose from a heliport to a duty free shop. Mr. Judy has developed the commercial operations and airport integrated building and use systems and related user services of Miami International Airport to the point where many consider the airport at the most successful and advanced airport in the world. This achievement has been accomplished by innovative thinking, prudent business management and entrepreneurial skill not usually associated with public enterprise. 21 -� 1. %PW /C"RA Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance June 8, 1994 The following lists, is not particular order, the major word produced during the past 19 months effective October 1992. Passenger Terminal Building Level Chances & Redesign This fundamental project achievement evolved out of a series of critical functional reviews of the then current terminal functional design including all airport service systems and their operational and integration requirements. The review played the major role in resolving the functional service designs, accommodation and operational issues that the International Air Transport Association (IATA) and the tourism industry, amongst others, found fundamentally unacceptable with the multi -level design and related ground transportation infrastructure then being proposed by the design architect. An extensive list of other functional design concerns of IATA have also been successfully addressed. The current functional systems design direction is now accepted and supported by all airport user groups except several that have been modified by the PAA due to costs. Aircraft Maintenance Services Competitive tender documents completed. Cargo Processing Terminal ■ As above. Aircraft Catering ■ As above. Aviation Fuel Service System ■ As- above. Airlort Utilities and Services Lead the Authority's commercial planning and negotiation effort with respect to the supply of all utilities and services. Ramp Handling and Baggage Handling Services ■ Operating position completed vis-a-vis number of operators, scope of services, etc. and is now -ready for the beginning of the license award process competition. ■ The issue of international obligations regarding competitive service providers have been, addressed and resolved. Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 2 ■ The policy for airline self -handling has been developed for air. carrier consultation. This impacts on every aspect of the Airport Support Services concerning air carrier ground handling activities from passenger check -in to aircraft push back. Airline Operations ■ A major, global airline consultation document has been prepared and issued to all Kai Tak airline users. ■ The consultation process, which will take 9-12 months, will shape all airport operational aspects for many years including the Airport Charging Schedule, related cost basis for formulating the Airport Charges and rates of return on equity and net assets for future development. The conclusions will form the bedrock for operational and airline commercial policy and Airport Charge setting that complies. with international obligations concerning their fairness and reasonableness and the level of economic return to the Authority. This includes related matters for complying with Government monitoring and approval processes involving Airport Charges. The draft use agreement to be entered into with the air carriers for the use of airport facilities and exclusive accommodation has been completed and will be issued for consultation with air carriers. Retail and Catering Services ■ Completed the terminal commercial space planning exercise while at the same time never compromising the overall service mission of the terminal. This major airport retail business centre extends over 35,OOOm2 and represents around 1/3 of total airport revenues: The commercial space, currently being themed and designed in detail for consideration by prospective retail licensees, can evolve into a world class retail and catering centre if properly implemented by the Authority and the retail licensees. The task to date was completed in the face of many difficulties from Government customs resistance, to terminal architectural design constraints. Terminal Building Accommodation ■ Lead and completed terminal redesign to accommodate all carrier and ground handling service providers and their data base requirements for use of all Airport systems as needed and to achieve the goal of a cost efficient, quality service world class airport. The task was achieved against a backdrop of a flawed systems integration plan and implementation program regarding the level of IWJCJ1'J 0 0 - 51 ,a Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 3 Airport systems and related service definition for the efficient operation of the airport service systems and ground handling services and functions. Landside Development ■, Participated heavily in, and partially lead, the review of the airport island Master Plan options for final design of all operational facilities and functions. _ ■ Conducted development analyses of hotel, freight forwarding and office complex proposals. ■ Reviewed compensatory cost analyses for airport island land creation in order to achieve a minimum payback scenario and to define costs that play a strategic role in revenue returns from related Airport Charges. Fixed Apron Aircraft Support Services An operational policy and design guidance for fixed ground power, pre -conditioned air, potable water, etc. and their related integration into a total Airport System was completed. Completion of the Aerodrome Manual This cornerstone document which is required in order to achieve an aerodrome license from government for the new airport. The manual was written for the immediate use by Kai Tak, who did not have a single, rationalized operational document. Airside Businesses Formulation of Board approved policies for the multi -stage competitive license award process and implementation of the policy to date and was instrumental in achieving the Board approved "competitive business policy" and unique license award process. If the process is judiciously administered. and protected from adverse "special interests", it will be one of the key elements of a cost efficient service goal of the Authority. Aviation Fuel Assisted, and as required, lead, 12 Government Departments in issues surrounding the complex commercial requirements concerning competitive open access, strategic fuel supply criteria, site selection, and the marine and environment impact studies etc. Instrumental in achieving Board agreement for the aviation industry's aim of obtaining "open access" to strategic aviation fuel receiving depots and the fuel hydrant distribution for into plane refueling. Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA - Achievements At -A -Glance - June 8, 1994 Page 4 Cross -field Tunnels and Taxiways Developed a new scheme and functionally lay out, to eliminate one of the two proposed cross -field vehicular tunnels. This created both space, that 'vas needed for ground handling services, and substantial cost savings by constructing only one tunnel at this time. This realigned tunnel now greatly improves mid -field functional service flexibility for the "Y" and future "X" concourses (for competitive ground equipment maintenance, refuse services etc.). while retaining all terminal frontage aircraft stands. It provided an alternative and more efficient air traffic control tower site and the efficient use of land along with the ability to safeguard a commuter and regional aircraft passenger terminal that will maximize the use of existing terminal 1 infrastructure and airfield efficiency during peak periods. It may also delay the need for the "X" terminal requirement. Terminal Baggage Handling and Processing. Assisted Engineering Department with design review and communication with IATA. This related to the functional capability of the proposed system, operational aspects, alternative security screening, bag transfer design, system expansion philosophies and system integration requirements with other Airport Systems and its master data base. Passenger Terminal Government Accommodation Successfully rationalized and negotiated with various Government terminal service provides the relocation of over 5,500m2 of their assigned space that was in the prime commercial revenue generating areas of the terminal. Immigration Operational Areas Convinced a very reluctant Director of Immigration, and in turn his policy Branch and _ central. government, that their preferred centralized terminal immigration processing arrangements were functionally inefficient. The views of the Director -were revised and immigrations is now a major ally of the Authority in all immigration related issues. This achievement can be measured by the retention of landside and airside retail/catering areas and the creation of passenger transfer areas that were either nonexistent or under designed. Revenue & Operating Costs - Forecasting and Budgeting A critical review of the professional prepared revenue forecasts was completed, which resulted in many reservations concerning specific revenue targets set forth therein and the assumptions used in the forecasts. Ongoing revised forecast, subject to commercial negotiation of airport support licenses, were produced and passed to Strategic Planning Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June S, 1994 Page 5 and Finance. In addition, a computer program was devised to centralize all revenue and cost assumptions to achieve a "real time" forecast update when any assumption is reviewed. This is a critical tool for sensitivity analysis and developing substitute revenue targets. Transfer Passenger Arrangements Corrected major terminal design aspects throughout the concourses. The architectural design and related functional areas being proposed.would not have functioned given the number of passengers involved and the physical passenger flow characteristics. Airfield Fire Fighting System Advised Project's infrastructure group of the potential major capital savings without abrogating airport safety requirements, of an alternative system. Potential Commuter Aircraft Terminal By relocating airport support services to the mid -field area, the opportunity now arises to develop, now or in the future, a cost-effective transfer to the West of the "Y" concourse. It is firmly believed that these services (up to 150 pax.) to the PRC will be a major market driver in the future. This is especially so, with pre -clearance possibilities, to lesser served airports in China. Two conceptual safeguarding schemes have been completed which could provide in its final phase up to 25 aircraft parking positions, handle 3,000 pax. per hour, directly Linked to the terminal APM and baggage handling systems. _ Aircraft Apron Stand Road Layout Corrected a potentially flawed ramp design and operational approach to apron vehicle circulation routes which if followed would have resulted in serious congestion and in efficient ramp operations. More importantly this would have resulted in the inability to meet published flight schedule times which is the cornerstone of airline, and airport, competitive strategies. Policy Positions on Support Services Agreement with the Independent Commission Against Corruption (ICAO) on the general approach to the award of all airport licenses on the basis of a fair and non-discriminatory approach. The approach recognizes that the historic tender process for retail concessions, etc. is no longer workable or desirable. Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 6 Airport Passenger and Related Traffic Forecasts Achieved an agreement with IATA that long running forecast issues should be set -aside and replaced by forecast reviews, simulation exercises, information sharing and a commitment from the Authority to review expansion phasing strategy with new forecasts. Assisting the Authority with key forecasting scope requirements and the selection and ultimate management of a major traffic forecasting consultancy concerning landside traffic and the commercial interests of the Division. Airport Security Systems Initiated and chaired the new airport security planning committee and airport membership of the Government Security Committee. The aim was to procure a cost effective and security efficient airport system(s) that addresses the level of security threat that Hong Kong represents. This includes the -cost benefit to risk assessment of security infrastructure; a most difficult task and extremely costly to the Authority and air carriers if not carried out in earnest. In this regard prepared a revised security program for the new airport for submission to Government for their review and consideration in developing the Hong Kong Airport Security Program for compliance by all air carriers and users of the Airport. In addition, continual review of the design architects proposed terminal security screening systems including identification of major cost saving areas e.g. CCTV and required system integration to assure efficiency of operation and reduced costs. Aircraft Terminal Frontal Gate Positions _ Lead a design effort -to achieve an all 747400 aircraft frontal gate terminal design. Such a design is a first for an international airport of this size. Airport Rates Fees and Charges Developed a policy and charging mechanisms to devise and achieve fair rates, fees and charges for airport commercial activities and services and that are structured to compete against any regional Airport if implemented as recommended. Helicopter & Executive Aviation Services Completed a draft functional layout for the joint utilization of these two services with the Government Flying Service Dept. for the apron area, a goal that should be achieved in `"-..oPw,/CR7,A' � - 5 Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA - Achievements At -A -Glance - June 8, 1994 Page 7 order to develop efficient aircraft ramps and reduce costs to both Government and the Authority. Integrated Ground Transportation Service Centre Following a critical review of the terminal design architects ground transportation proposals in relation to the planned in -terminal heavy rail transportation station (MTRC) connecting the Airport with the Hong Kong commercial districts, lead the study, with Engineering, to completely redesign the ground transportation services and related infrastructure. This involved locating Terminal 2, relocating the MTRC station outside of, but midway between, both terminals and centralizing all other transport mode infrastructure in a largely airconditioned environment. This exercise finally addressed the needs of the airline industry, the.tourism industry, ground transportation service providers, MTRC (initially a reluctant party), airport users and now provides the potential to create the gateway image the community expects. This conceptual scheme is now under detailed design. Government Standalone Facilities Completed a review of government land requirements with a view to minimizing the lost of revenue generating land and land eventually required for external airport services. Private Treaty Land Grant ■ Drafted a wide ranging internal position paper concerning the impacts of the proposed land grant terms and conditions on the ability of the Authority to manage its affairs and -its statutory obligations concerning the provision of air transportation services for Hong Kong. ■ Prepared a position paper for negotiations with Government concerning: - land classifications; - classification development value; - gross developable space calculations; - development phasing; - town planning and development plot ratio issues; - initial and future land premia; and - lead the rebuttal of Government's land development proposals. Airport User License Agreement 0 P,OPW CPA Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 8 Prepared a draft user agreement for air carrier use of Airport Facilities ad for the assignment of terminal accommodations to all carriers. It will shape the overall Airport Charges and all carrier terminal use policy of the Authority as it relates to international obligations and future air carrier contract relationships for accommodations to provide their air transport activities in an efficient and competitive manner. Mass Transit Railway Corporation ■ Negotiated the commercial agreement for the railway system. ■ Contributing extensively to the design and operational concept and -how to provide all functional aspects of the airport and downtown requirements for the potential in -town check -in system. Airport Signage and Graphics Defined and located all of the critical primary airport signage and graphics program; an issue which was in danger of evolving into an operational morass. The program takes signage and graphics from the MTRC stations; on -board the trains; and from the Lantau Expressway to the aircraft door. Waste Management Carried out a detailed assessment of the waste management and associated rodent control measures which should be adopted during airport design, construction and operation. Items addressed and conclusions recommended were: - Detailed re -assessment .of current waste quantities both generated at Kai Tak and from surveys of prospective licensees; thereafter projected to the new airport. - Concluded that the proposed on -island refuse transfer station may probably not be required, a capital saving of over $80M. - Resolved, with Government's control agency, the requirements to transship terminal waste from airside to landside. - Identified terminal waste collection and transfer areas. - Identified a minimum level of waste collection and compacting facilities required. - Proposed measures to control rodent infestation at the various stages of the airport project. - Business Plans Prepared the PAA long term Business Plans for all of the major ground handling service licenses. This including the strategy for developing cargo, passenger S,L UA J . Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to -PAA - Achievements At -A -Glance - June 8, 1994 Page 9 services, fuel supply, open access, freight forwarding services that will maintain the competitive position of the new airport is truly implemented. Ticket Counters Completely redesign the ticket counters and related service facilities to be provided by such counters. The redesign is a modular design that provides for the future modification as service requirements change and without major interference with air carrier operations. The new design incorporated the air condition for the check -in area and thus eliminated numerous stand alone air conditioning delivery systems throughout the passenger movement corridors and staging areas of the departure area of the terminal. lhn uumgloog 09/19/95 11:051um Sp QPwICRA PROMOTION OF WOMEN IN THE WORK PLACE 1959 Appointed a woman as Chief Fiscal Officer of the Dade County Port Authority which at the time was the highest management position held by a woman in Dade County government. 1962 While Comptroller of the Florida DOT, appointed a woman to the first ever management position. Strange as it may seem, this appointment at first was not well accepted by other women in the DOT who were then limited to the position of secretary. 1968 + As Deputy Director of the Dade County Port Authority (Aviation Department), appointed a woman as Comptroller, the highest executive position at that time in Dade County government. When becoming Director of MIA, appointed a woman as the Chief Financial Officer of the Aviation Department. Employed women out of college in key management intern positions for placement in the Aviation Department and in other areas of county government. Employed numerous women college students to summer intern positions. Required the "Big Eight" firm responsible for the multi- million dollar accounting and management services contract at MIA to promote a woman to be in complete charge of all their MIA contract services. During this period, she developed her talents and broadened her knowledge and experience with extensive help from me. She has since become a full partner at her firm and continues to manage the MIA contract today. Required that a woman attorney of a major Washington D.C. law firm be in charge and fully responsible for all MIA legal work in D.C. which involved close to _a million dollar in services. This position made it possible for her to receive speaking engagements and other exposure concerning the work product she performed for the Aviation Department and to obtain other new clients. While Aviation Director at Miami International I appointed women to the following additional positions: Supervisor (now manager) of the MIA public parking 1 facilities Chief of the Architectural Division Chief of Terminal Operations Contract Services now responsible for all Terminal Operations Chief of Passenger Support Services within the International Terminal custom facility and the Visitor's Reception Center Promoted a black woman to head the Personnel and Administrative Services Division of the Aviation Department. There never was the slightest instance of female harassment within the Aviation Department and I received numerous applications from women working in Dade County government for transfer to the Aviation Department. In addition, on numerous occasions many women in government and in the private sector thanked me for the road I was paving for women in the work place. Selected the first black woman firm to manage and operate a terminal concession and required that women be given management responsibility in numerus key terminal service and concession contracts. As a member of the Executive Board of the Airport Operators Council International (AOCI) (serving over 250 international airports), successfully lobbied the appointment of a woman as Deputy Executive Director and made possible the employment of women in other responsible positions within AOCI. As Chairman elect of AOCI, appointed the first woman to head a major AOCI Standing Committee. After retiring from MIA, I was involved in assisting a woman (that I appointed as comptroller of the Aviation Department) to be"appointed the Deputy Director of Fort _ Lauderdale Airport, the highest Airport appointment in Florida. Prior to retiring, I had reclassified the Comptroller position to an Assistant Director position which at the time would have been the only Assistant Director position in the U.S. held by a woman. I aggressively assisted career women that moved into the public sector with professional references and continue to do so today. ON S�OPW J CRC 1990 Since starting Judy & Associates, I selected a newly formed Washington D.C. firm owned by a woman to join me as a contract associate to be a part of my first contract to develop the cargo market for the Kansas City Airport. I did the same for a concession study at Philadelphia Airport. Neither of these decisions by me were prompted by a contract requirement of the respective airports. Recommended successfully and am currently negotiating a contract on behalf of the Fort Myers Airport with a 50% woman owned firm to perform an air service marketing contract that would easily involve compensation in the range of $200,000 for this firm over the next three years. Presently negotiating a contract with a woman associate to perform commercial development services at the Freeport Bahamas Port Authority. Scheduled on June 11, 1992 to receive an award from the FAA at the National Conference of Disadvantages Business Enterprises and Women Minorities in Atlanta, Georgia. This organization was begun at my suggestion and I helped draft the first bylaws for the proposed national organization. I am advised that the award I am to receive is in appreciation for all the contributions I have made in developing unique programs for women and minorities to enable their participation in airport business opportunities that were thereafter used by the FAA as examples for assisting DBEs throughout the nation's airports. I assigned a woman executive assistant to me to assist on a day to day basis the FAA Southern Region office responsible for DBE and minority compliance regulations. Currently assisting and advising gratis a woman owned firm in seeking architectural service opportunities throughout the United States. Assisting a Afro-American owned female minority firm in Washington D.C. to be 'successful in bidding on airport concession opportunities. I am providing these services at fifty percent of my hourly fee when it is _necessary for me to go to Washington D.C. to assist in preparing a response to a RFP. I accept speaking requests at conferences to assist DBEs in how to grow their businesses at Airports and to respond to Requests for Proposals from Airports. Finally, I encouraged by daughter to seek an appointment to the U.S. Navel Academy during the early years of the 3 new women admission mandate. She received an appointment on her merit and sacrificed a great deal to help pioneer the acceptance of women at the Academy which disgracefully has a long way to go. Because of the extreme harassment by her male peers and the neglect of her superiors, she left the Academy after her second year. I have not discussed my efforts to promote and keep the families together of certain Afro-Americans (and other minorities) who worked for the Department in both labor and skilled positions when they became involved in drugs. I personally dealt with each case and permitted no dismissals without first having made every possible effort to help them. 4 AO C . SI:oF :' C,RA �V- 01 Aviotion Dick Judy Steps Down as Aviation Director; Frederick Elder Named Interim Director After 18 years as Dade County Aviation Director, Richard H. Judy announced April 28th that he will be taking early retirement. Judy will serve as a special assistant to County Manager Joaquin Avino working to develop new international air service among other special pro- jects until January when he will take full retirement, after 30 years of public service in Florida. County Manager Avino an- nounced the creation of a national search committee for a new aviation director and appointed Frederick Elder, Airport Deputy Director of Governmental Affairs, as interim director of the Aviation Department until a permanent director is chosen. _Judy, 57, became director -of the Aviation Department in 1971 and oversaw booming growth at the nation's eighth largest passen- ger airport and the world's sixth largest international cargo airport. During his tenure, passengers more than doubled from 11.1 million in 1971 to 24.5 million in 1988 and cargo grew from 289,000 tons to 757,000 over the same period. With a ' national reputation as a dynamic and unconventional in- novator, Judy was recognized as a legend in the aviation industry for his aggressive style of airport management. He shunned then - Richard H. Judy traditional . airpot-t financial operating practices and converted long term exclusive -use leases to short term operating leases. He retained control for the airport of many commercial activities such as the airport hotel, restaurants, duty-free shops and retail stores opting to run them through airport management agreements instead of contracting them out to concessionaires. Judy was the first airport director to use tax exempt commercial paper to finance airport expansion and was the first airport operator in the nation to provide child care services for airport and air- line employees at an on -airport location. F}ederick Elder Interim Aviation Director As a result of his management innovations, quality and variety improved, levels of service improved and revenues soared. Since the airport is totally self-financing, both in operations and construction, these revenues allowed construction projects to keep pace with cargo and pas- senger growth, while airline costs were kept low, encouraging more airline service to Miami. "Judy is a total innovator who is recognized around the world. He's done a tremendous amount of good. He will be sorel , ed," (Continued on back page) 51 (Continued from page 1) said Phil Bakes, president of Eastern Airlines. Judy first served as comptroller for the Dade County Port Authority in 1959, the forerunner of the Aviation Department and then spent several years with a private accounting firm. In 1961 he went to Tallahassee as comp- troller for the state road department, returning to the aviation department as deputy director in 1967. He was ap- pointed aviation director in 1971. "I feel that my greatest ac- complishment in making Miami International Airport a top-notch facility is the staff I have been able to put together. The team that runs this airport is what really makes it tick. I know they are going to continue the first- rate job they've been doing," Judy said. The selection committee for a new aviation director will be chaired by Armando M. Codina, president of the Codina Group, Inc. and chairman -elect of the Greater Miami Chamber of Commerce. Other members of the search committee include: former Coun- ty Manager Ray Goode, president of the Babcock Company; Arthur Hill, president of People National Bank; Carmen Lunetta, director of the Seaport; and Assistant County Managers, Cynthia Curry and Anthony Clemente. 4x Since 1968, when Dick Judy returned to MIA as deputy director, the airport has undergone tremendous growth: 1968 1988 Passengers (in millions) 9.5 24.5 domestic 7.0 15.1 international 2.7 '9.4 Cargo 194,000 tons 757,000 tons domestic 78,000 165,000 international 116,000 592,000 Airline Service scheduled airlines 37 83 domestic 15 35 international 22 48 European Destinations with non-stop service 0 12 Bond Rating B+ A+ Aircraft Gates 74 110 international arrival gates 8 22 Terminal Size 0.6 m. sq. ft. 2.8 sq. ft. Structural Auto Parking 500 7,200 Book Value of Facilities $300 mil. $1 billion Total Operating Income $13 mil. $235 mil. Operating income per passenger $1.37 $9.71 Commercial Passenger Revenues $4 mil. $72 mil. CMiami International Airport —® P.O. Box 592075 • Miami, Florida 33159 ,� SEOPWICU n. (� - r RICHARD H. JUDY Principal Consultant Richard H. Judy provides to both the private and public sectors, through his internationally recognized experience and talents, a broad scope of management consulting services concerning all aspects of the airport management, organization structure, airport transportation infrastructure, and airport related commercial and operational services and systems. The services involve all aspects of the airport transportation infrastructure and the development of an airport master database for the integration of airport software communication databases of various airport systems to ensure efficient and cost effective airport operations, maintenance, safety, and services to the users of the airport. His services also include the commercial development of transportation infrastructure; partial and complete asset and management privatization (such as catering, fuel, line maintenance, ramp handling and cargo services provided by licensees); performance and productivity analysis of the existing infrastructure and services; conceptualization, design, construction management, marketing, leasing and performance analysis of new or existing transportation services and other commercial projects and* services; financial planning; commercial opportunity responsiveness analysis; air service and related infrastructure marketing and development; functional and economical analysis of facilities master plans and design schematics to maximize function and service, revenues and the economical use of space; analysis and reorganization of airport and airport system organizations to maximize the performance value of management and of the services provided 1 'a"EOPW/ IZA while minimizing operating and capital costs; air route development and air carrier passenger and cargo service marketing; concession planning and creation of new terminal marketplaces for passenger consumer products and services; airport user charges development schemes to maximize revenues while complying with international treaty obligations; developing and financing of revenue producing non - aviation industrial projects using surplus airport property and airports which are structured to be unencumbered by existing debt agreements and airport use agreements with air carriers. 2 "sPOPW f RICHARD H. JUDY PRINCIPAL CONSULTANT SUMMARY OF PROFESSIONAL PROFILE Richard H. Judy is the former Director of the Dade County Aviation Department, operator of Miami International Airport and five other county airports. Mr. Judy guided the Miami international airport aviation system through a challenging twenty year period of change and passenger, cargo, commercial and net revenue growth that is continuing today under a new management team. Miami International Airport during this period ranked among the top ten airports of the world in terms of total annual passengers served and tons of cargo handled, and for its ability to generate commercial revenue while maintaining an internationally recognized low operating cost environment for its air carrier service providers. Mr. Judy began his career after receiving a Bachelor of Business Administration degree from the University of Miami in 1953, and has pursued extensive post- graduate studies in law, taxation and related subjects. During the early part of his career, he accumulated a vast amount of experience in financial management and commercial development in the private sector and in various local and state government positions. In 1967, he became Deputy Director of the Dade County Port Authority, precursor of the Dade County Aviation Department, and was appointed Aviation Director in 1971. Mr. Judy is known throughout the worldwide aviation community, and is highly respected for his skills as a manager, planner, negotiator, financier, developer of SEOPW 4' CRA U I 3 cost efficient airport commercial projects systems and project management. He is consulted by airports and related industries in regard to every aspect of terminal, airside and landside functional design and the development of cost efficient airport services system and the integration of such system for the efficient use by all users of the airport as and when needed. This has been clearly confirmed by his dual interim appointment as Commercial Director and Operations Director of the Provisional Airport Authority of Hong Kong for fifthteen months for -the most cirtical design and commercial development period of the new Hong Kong Airport. He has been recognized in a profile on his business acumen and accomplishments in Forbes Magazine. -For his development of the Miami International Airport's master plan and related integrated functional and cost efficient building system, Richard Judy won the prestigious annual Wright Brothers .Award. He has since received numerous commendations and awards. Among these are the Bill Pallot Award of the International Center of Florida for his contributions to international trade and commerce and the Max Schumacher Memorial Award of the Helicopter Association International for his contributions to the development of a regional helicopter infrastructure. In addition, he was chosen Public Official of the Year by the Industrial Association of Dade County in 1986, and was honored by the Greater Miami Chamber of Commerce in September of 1986 "[i]n recognition of his vision, ingenuity and business acumen in making Miami International Airport the best and most cost efficient, and competitive in the world." Richard Judy has distinguished himself through his total commitment to the development of efficient airport systems and services. He is well known for his success in transferring control of the use of all airport infrastructure and the rates, fees and charges related to such infrastructure use from the air carrier tenants and 4 `d,0I'W1CRA i:t _ third party service providers back to airport management in order to maximize the airport's ability to control airport costs and to provide air carriers with operating facilities when needed and at competitive user charges, thereby providing a vibrant and competitive air service market place for the benefit of the airport's passenger and cargo users and the gross product of the region the airpot serves. He was Chairman Elect of the Airport Operators Council International; serves on a special committee within the Academy of Sciences to advise the U.S. Secretary of Transportation on matters concerning air transportation safety and the development of explosive detection systems for baggage, aircraft and passengers; Chairman of the Public Facilities Council, Building Research Board of the National Academy of Sciences concerning the integration of airport building management systems for the improved efficiency and services of airport terminal for its users; Chairman of the U.S. Aviation Infrastructure Roundtable; Trustee of the U.S. Greater Miami Chamber of Commerce; Member of the Export Finance Advisory Commission of the state of Florida, and served on the Executive Council of the Institute for Transportation, American Public Works Association; Member of the U.S. Anthony Commission on Airport Finance; Member of U.S. Airline Transport Association (ASA) Industry Task Force, Noise/Access Working Group; Member of World Board of the International Civil Airports Association; Member of the U.S. Department of the Treasury Advisory Group on Commercial Operations of the U.S. Customs Service (appointed by the U.S. Secretary of the Treasury) concerning the development of policies that expedite the movement of.. passengers and cargo through the customs clearance process using advanced integrated airport systems; Member of Immigration service Advisory Group on User Fees (appointed by the U.S. Attorney General) involving the policies and procedures for moving passengers through the immigration clearance process using advanced airport systems integrated with air carrier passenger 50. 9� :��. databases. Since. leaving his public service career, he has completed 20 months of work for the Provisional Airport Authority (PAA) of Hong Kong as a secondee from his consulting firm. As mentioned, he held the dual positions as Commercial Director and Operations Director for fifteen months and was a consultant to the Chief Executive Officer of the PAA for the last five months. An at -a -glance summary of his achievements for PAA is attached. 9 SEOPIV/CP - r Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance June 8, 1994 The following lists, is not particular order, the major wor4(produced during the past 19 months effective October 1992. Passenger Terminal Building Level Changes & Redesign This fundamental project achievement evolved out of a series of critical functional reviews of the then current tenninal functional design including all airport service systems and their operational and integration requirements. The review played the major role in resolving the functional service designs, accommodation and operational issues that the International Air Transport Association (IATA) and the tourism industry, amongst others, found fundamentally unacceptable with the multi -level design and related ground transportation infrastructure then being proposed by the design architect. An extensive list of other functional design concerns of IATA have also been successfully addressed. The current functional systems design direction is now accepted and supported by all airport user groups except several that have been modified by the PAA due to costs. Aircraft Maintenance Services Competitive tender documents completed. Cargo Processing Terminal ■ As above. Aircraft Catering ■ As above. Aviation Fuel Service System ■ As -above. Airport Utilities and Services Lead the Authority's commercial planning and negotiation effort with respect to the. supply of all utilities and services. Ramp Handling and Baggage Handling Services ■ Operating position completed vis-a-vis number of operators, scope of services, etc. and is now -ready for the beginning of the license award process competition. ■ The issue of international obligations regarding competitive service providers have been, addressed and resolved. SEOPW d,cp ' 51 Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 2 ■ The policy for airline self -handling has been developed for air carrier consultation. This impacts on every aspect of the Airport Support Services concerning air carrier ground handling activities from passenger check -in to aircraft push back. Airline Operations ■ A major, global airline consultation document has been prepared and issued to all Kai Tak airline users. ■ The consultation process, which will take 9-12 months, will shape all airport operational aspects for many years including the Airport Charging Schedule, related cost basis for formulating the Airport Charges and rates of return on equity and net assets for future development. The conclusions will form the bedrock for operational and airline commercial policy and Airport Charge setting that complies with international obligations concerning their fairness and reasonableness and the level of economic return to the Authority. This includes related matters for complying with Government monitoring and approval processes involving Airport Charges. The draft use agreement to be entered into with the air carriers for the use of airport facilities and exclusive accommodation has been completed and will be issued for consultation with air carriers. Retail and Catering Services ■ Completed the terminal commercial space planning exercise while at the same time never compromising the overall service mission of the terminal. This major airport retail business centre extends over 35,000m2 and represents around 1/3 of total airport revenues: The commercial space, currently being themed and designed in detail for consideration by prospective retail licensees, can evolve into a world class retail and catering centre if properly implemented by the Authority and the retail licensees. The task to date was completed in the face of many difficulties from Government customs resistance, to terminal architectural design constraints. Terminal Building Accommodation ■ Lead and completed terminal redesign to accommodate all carrier and ground handling service providers and their data base requirements for use of all Airport systems as needed and to achieve the goal of a cost efficient, quality service world class airport. The task was achieved against a backdrop of a flawed, systems integration plan and implementation program regarding the level of SBOP1+1;?/CRA n y -- Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 3 Airport systems and related service definition for the efficient operation of the airport service systems and ground handling services and functions. Landside Development ■ Participated heavily in, and partially lead, the review of the airport island Master Plan options for final design of all operational facilities and functions. ■ Conducted development analyses of hotel, freight forwarding and office complex proposals. ■ Reviewed compensatory cost analyses for airport island land creation in order to achieve a minimum payback scenario and to define costs that play a strategic role in revenue returns from related Airport Charges. Fixed Apron Aircraft Support Services An operational policy and design guidance for fixed ground power, pre -conditioned air, potable water, etc. and their related integration into a total Airport System was completed. Completion of the Aerodrome Manual This cornerstone document which is required in order to achieve an aerodrome license from government for the new airport. The manual was written for the immediate use by Kai Tak, who did not have a single, rationalized operational document. Airside Businesses Formulation of Board approved policies for the multi -stage competitive license award process and implementation of the policy to date and was instrumental in achieving the — - Board approved "competitive business policy" and unique license award process. If the process is judiciously administered. and protected from adverse "special interests", it will be one of the ke' elements of a cost efficient service goal of the Authority. Aviation Fuel Assisted, and as required, lead, 12 Government Departments in issues surrounding the complex commercial requirements concerning competitive open access, strategic fuel supply criteria, site selection, and the marine and environment impact studies etc. Instrumental in achieving Board agreement for the aviation industry's aim of obtaining "open access" to strategic aviation fuel receiving depots and the fuel hydrant distribution for into plane refueling. o- 5. SEOFW/t;.f:A Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 4 Cross -field Tunnels and Taxiways Developed a new scheme and functionally lay out, to eliminate one of the two proposed. cross -field vehicular tunnels. This created both space, that -was needed for ground handling services, and substantial cost savings by constructing only one tunnel at this time. This realigned tunnel now greatly improves mid -field functional service flexibility for the "Y" and future "X" concourses (for competitive ground equipment maintenance, refuse services etc.) while retaining all terminal frontage aircraft stands. It provided an alternative and more efficient air traffic control tower site and the efficient use of land along with the ability 'to safeguard a commuter and regional aircraft passenger terminal that will maximize the use of existing terminal 1 infrastructure and airfield efficiency during peak periods. It may also delay the need for the "X" terminal requirement. Terminal Baggage Handling and Processing. Assisted Engineering Department with design review and communication with IATA. This related to the functional capability of the proposed system, operational aspects, alternative security screening, bag transfer design, system expansion philosophies and system integration requirements with other Airport Systems and its master data base. Passenger Terminal Government Accommodation Successfully rationalized and negotiated with various Government terminal service provides the relocation of over 5,500m2 of their assigned space that was in the prime commercial revenue generating areas of the terminal. Immix,ration Operational Areas Convinced a very reluctant Director of Immigration, and in turn his policy Branch and central government, that their preferred centralized terminal immigration processing arrangements were functionally inefficient. The views of the Director -were revised and immigrations is now a major ally of the Authority in all immigration related issues. This achievement can be measured by the retention of landside and airside retail/catering areas and the creation of passenger transfer areas that were either non existent or under designed. Revenue & Operating Costs - Forecasting and Budgeting A critical review of the professional prepared revenue forecasts was completed, which resulted in many reservations concerning specific revenue targets set forth therein and the assumptions used in the forecasts. Ongoing revised forecast, subject to commercial negotiation of airport support licenses, were produced and passed to Strategic Planning Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achieveinents At -A -Glance - June 8, 1994 Page 5 and Finance. In addition, a computer program was devised to centralize all revenue and cost assumptions to achieve a "real time" forecast update when any assumption is' reviewed. This is a critical tool for sensitivity analysis and developing substitute revenue targets. Transfer Passenger Arrangements Corrected major terminal design aspects throughout the concourses. The architectural design and related functional areas being proposed would not have functioned given the number of passengers involved and the physical passenger flow characteristics. Airfield Fire Fighting System Advised Project's infrastructure group of the potential major capital savings without abrogating airport safety requirements, of ar. alternative system. Potential Commuter Aircraft Terminal By relocating airport support services to the mid -field area, the opportunity now arises to develop, now or in the future, a cost-effective transfer to the West of the "Y" concourse. It is firstly believed that these services (up to 150 pax.) to the PRC will be a major market -driver in the future. This is especially so, with pre -clearance possibilities, to lesser served airports in China. Two conceptual safeguarding schemes have been completed which could provide in its final phase up to 25. aircraft parking positions, handle 3,000 pax. per hour, directly Linked to the terminal APM and baggage handling systems. Aircraft Apron Stand Road Layout Corrected a potentially flawed ramp design and operational approach to apron vehicle circulation routes which if followed would have resulted in serious congestion and in efficient ramp operations. More importantly this would have resulted in the inability to meet published flight schedule times which is the cornerstone of airline, and airport, competitive strategies. Policy Positions on Support Services Agreement with the Independent Commission Against Corruption (ICAO) on the general approach to the award of all airport licenses on the basis of a fair and non-discriminatory approach. The approach recognizes that the historic tender process for retail, concessions, etc. is no longer workable or desirable. Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 6 Airport Passenger and Related Traffic Forecasts Achieved an agreement with IATA that long running forecast issues should be set -aside and replaced by forecast reviews, simulation exercises, information sharing and a commitment from the Authority to review expansion phasing strategy with new forecasts. Assisting the Authority with key forecasting scope requirements and the selection and ultimate management of a major traffic forecasting consultancy concerning landside traffic and the commercial interests of the Division. Airport Security ystems Initiated and chaired the new airport security planning committee and airport membership of the Government Security Committee. The aim was to procure a cost effective and security efficient airport system(s) that addresses the level of security threat .that Hong Kong represents. This includes the cost benefit to risk assessment of security infrastructure; a most difficult task and extremely costly to the Authority and air carriers if not carried out inearnest. In this regard prepared a revised security program for the new airport for submission to Government for their review and consideration in developing the Hong Kong Airport Security Program for compliance by all air carriers and users of the Airport. In addition, continual review of the design architects proposed terminal security screening systems including identification of major cost saving areas e.g. CCTV and required system integration to assure efficiency of operation and reduced costs. Aircraft Terminal Frontal Gate Positions Lead a design effort to achieve an all 747-400 aircraft frontal gate terminal design. Such a design is a first for an international airport of this size. Airport Rates, Fees and Charges Developed a policy and charging mechanisms to devise and achieve fair rates, fees and charges for airport commercial activities and services and that are structured to compete against any regional Airport if implemented as recommended. Helicopter R Executive Aviation Services Completed a draft functional layout for the joint utilization of these two services with the Government Flying Service Dept. for the apron area, a goal that should be achieved in 15 Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 7 order to develop efficient aircraft ramps and reduce costs to both Government and the Authority. Integrated Ground Transportation Service Centre Following a critical review of the terminal design architects ground transportation proposals in relation to the planned in -terminal heavy rail transportation station (MTRQ connecting the Airport with the Hong Kong commercial districts, lead the study, wjth Engineering, to completely redesign the ground transportation services and related infrastructure. This involved locating Terminal 2, relocating the MTRC station outside of, but midway between, both terminals and centralizing all other transport mode infrastructure in a largely airconditioned environment. This exercise finally addressed the needs of the airline industry, the tourism industry, ground transportation service providers, MTRC (initially a reluctant party), airport users and now provides the potential to create the gateway image the community expects. This conceptual scheme is now under detailed design. Government Standalone Facilities Completed a review of government land requirements with a view to minimizing the lost of revenue generating land and land eventually required for external airport services. Private Treaty Land Grant ■ Drafted a wide ranging internal position paper concerning the impacts of the proposed land grant terms and conditions on the ability of the Authority to manage its affairs and 'its statutory obligations concerning the provision of air . transportation services for Hong Kong. ■ Prepared a position paper for negotiations with Government cbncerning: - land classifications; - classification development value; - gross developable space calculations; - development phasing; - town planning and development plot ratio issues; - initial and future land premia; and - lead the rebuttal of Government's land development proposals. Airport User License Agreement A M Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 9 services, fuel supply, open access, freight forwarding services that will maintain the competitive position of the new airport is truly implemented. Ticket Counters Completely redesign the ticket counters and related service facilities to be provided by such counters. The redesign is a modular design that provides for the future modification as service requirements change and without major interference with air carrier operations. The new design incorporated the air condition for the check -in area and thus eliminated numerous stand alone air conditioning delivery systems throughout the passenger movement corridors and staging areas of the departure area of the terminal. %Aitiumg.koog 09/19/95 11:05am sP,QPW/ I I I ara Robert Tyler 1351 NE Miami Gardens Dr — Suite 1605E — Miami, FL 33179 Phone: 305-336-0060 QUALIFICATIONS Mr. Tyler is a 20 year veteran of the business world. Much of that experience has been in serving as a corporate principal of small to mid size businesses ($15 million to $39 million annual revenues) Mr. Tyler has served as Developer, Construction Manager, General Contractor and Owner's Agent on several "high profile" projects. In addition to a demonstrated technical capacity, Mr. Tyler is one of the best in terms of management, administration and operations. He has managed over $30 million in public sector eonslruction projects with variable sources of funding and over 100 employees. WORK HISTORY President, IGWT Construction Management 1998-2000 Mr. Tyler is Project Manager of the $70 million Parking Garage at Hollywood/Ft. Lauderdale International Airport. The Contractor is currently performing "punch list" items. There have been nearly two hundred employees at peak times. The project is within budget and schedule constraints with less than 5% in change orders. President, Urban Organization Inc, 1988-1998 Mr. Tyler served as Project Executive on several high profile projects including a S40 million portion of Disney's Animal Kingdom Theme Park; U.S. Olympic's (Atlanta) $15 million Equestrian Venue; Miami North Western High School, a $60 million academic complex; Jackson Memorial Hospital's Ryder Trauma Center, Orange Bowl renovations; the City of Miami's Curtis Park and African Square Park and several others. EDUCATION Allstate Construction College, COMPUTER SKILLS Prima Vera P3 (scheduling and project management) Expedition (project reporting) Timberline (construction estimating) LICENSES & CERTIFICATES State Certified General Contractor Dade County Engineering Contractor REFERENCES O'Brien Kreitzberg, Program Manager John Moore, Deputy Director 954-359-2333 , c Dixon and Friedman Allan-Friedman-Pres. 305-854-3445 Dade County Public Schools Jim Dillard, Director of Facilities MAY 17 2000 18:16 SE®PWICRA� ® d CRA 3053724646 PAGE.02 Richard H. Judy Mr. Judy has over 30 years of experience in the aviation industry, and is internationally recognized for his many inno- vations in airport sery ice systems. For 18 years, he served as Director of the Dade County Aviation Department which operates Miami International Airport and five other county airports. The Department is a large public enterprise with over 1,000 employees and annual revenues in excess of $200 million, Mr. Judy has a comprehensive understanding of, and practical leadership experience in, all aspects of airport planning, development, construction, operations, fmane- ing, and commercial activities. Mr. Judy is fully experienced in the development of domestic and international aviation regulation, policy and law pertaining to airports, airlines, the environment and the consumer. In addition, Mr. Judy is experienced in the negotiation of commercial contracts, and the formulation of the commercial aspects of international treaties and domestic policy agreements. Many of Mr. Judy's accomplishments are the result of his negotiating abili- ties. His shrewd sense of negotiating has led him to be requested on numerous occasions to represent his community, his peers, his industry, and his country on almost every aspect of aviation. Mr. Judy left the Dade County Aviation Department in 1990 and formed his own aviation consulting businesses, Judy e & Associates, Inc. and MIA Consultants. Relying on his internationally recognized skills as a manager, planner, nego- tiator, financier and developer, Mr. Judy now provides both the public and private sectors with a broad range of man- agement consulting services in all areas of airport service systems, commercial development policy, airline 9 negotiations, rates and charges analyses and methodologies, airport management, organizational structure, airport transportation infrastructure, financial and master planning, and airport related commercial and operational services and systems. Since 1995 Mr. Judy has been specializing in the privatization of airports throughout the world. EDUCATION B.B.A., Business Administration, University of Miami, 1953. Over two years of post -graduate studies including con- tract, commercial, property and taxation law, and computer technology. WD .1M EMPLOYMENT HISTORY HABDI Development Consortium: Privatization of Homestead Air Reserve Base (B.O.T.) as a supplemental airport to Miami International Airport, with a total demand investment of $ 250,000,000 over fifteen years, 1995-97. - Sanford Airport Authority :Privatization of new International Terminal Complex (B.O.T.) at Sanford International Air- port, which is a major competitor to the Orlando International Airport, 1995-96 Provisional Airport Authority. (PAA)Hong one: Consultant to the Chief Executive Officer for the commercial de- velopments of the new Hong Kong Airport, 1994 to Present; Interim Commercial Director and Operations Director, 1992 - 1994. (Seconded from Judy & Associates Inc) Judy & Associates Inc: Chief Executive Officer, 1989 - Dade County Aviation Department: Director, 1971 - 1989, Deputy Director, 1967 - 1971. State Of Florida Deapartment of Transportation: Comptroller, 1962 - 1967. 11 Dade Counly Port Authority: Comptroller, 1960 - 1962. x SwPW J CRA WWI SPECIFIC EXPERIENCE PROVISIONAL AIRPORT AUTHORITY (PAA), HONG KONG Richard H. Judy Page Z Overview Prior to becoming a consultant to the Chief Executive Officer of the PAA, Mr. Judy served as Interim Commercial Director and Operations Director of the PAA. The overall goal of the combined Commercial/Operations Division is to create a cost efficient, quality service and fair and equal opportunity to all airport facilities and services to the fullest extent possible. An equally important goal is to optimize the ability of the Authority to implement airport charges that are not anti -competitive or discriminatory and to optimize non -aeronautical services and revenues such as retail and surplus land development. In order to accomplish these goals, it was necessary for Mr. Judy to fully and fairly address the often competing needs of all airport users, e.g. airlines, passengers, well-wishers, staff, MTRC, licensees, tourism industry, PAA and government. Airline Operations Mr. Judy is involved in airline consultations which will shape all airport - Airline Negotiations operational aspects at the airport for many years, including the airport charging schedule, related cost basis for formulating the airport charges, - Rates and Charges and rates of return for future airport development. The conclusions will Analysis form the bedrock for negotiating a commercial policy and charges schedule that complies with international obligations concerning their fairness, reasonableness, and level of economic return to the Authority. This includes guidelines to comply with government monitoring and approval processes involving airport charges. He completed the draft use agreement to be entered into with the air carriers for their use of airport facilities and exclusive accommodations. A preliminary review by the major domestic Hong Kong air carrier, Cathay Pacific, resulted in acknowledgement that the agreement was fairly crafted and ready for distribution to all air carriers. In creating such an equitable agreement, Mr. Judy has successfully avoided the need for protracted negotiations between the two parties. Revenue & Operating Costs - Forecasting and Budgeting Y Mr. Judy completed a critical review of the professionally prepared - Financial Analysis and revenue forecasts, which resulted in many reservations concerning Forecasting specific revenue targets set forth therein and the assumptions used in the forecasts. Therefore, Mr. Judy produced ongoing revised forecasts, - Airline Negotiations subject to commercial negotiation of airport support licenses, and submitted them to Strategic Planning and Finance. In addition, Mr. Judy devised a computer program designed to centralize all revenue and cost assumptions to achieve a "real time" forecast update when any assumption is reviewed. This is a critical tool for sensitivity analysis and the development of substitute revenue targets. SEOP`NIC&A_ Richard H. Judy Page 3 Airport Rates, Fees and Charges Mr. Judy developed policy and charging mechanisms to fair rates, fees, Rates and Charges and charges for airport commercial activities and services. The rates are Analysis structured to be competitive against those of any other regional airport. Airport User License Agreement Mr. Judy prepared and negotiated a draft user agreement for air carrier Airport Facility "q use of airport facilities and for the assignment of terminal Requirements accommodations to all carriers. The agreement will shape the overall airport charges and carrier terminal use policy of the Authority as it Airline Negotiations relates to international obligations and future air carrier contract relationships for accommodations to provide their air transport activities in an efficient and competitive manner. Mr. Judy also developed commercial policy and RFP documents for all major airport support activities, including retail, fueling, cargo, catering, aircraft maintenance, and general aviation. k Airside Businesses Mr. Judy formulated Board approved policies for the multi -stage Airport Policy competitive license award process and participated in the implementation Negotiation of the policy to date. He was instrumental in negotiating the Board approved "competitive business policy" and unique license award process. If the process is judiciously administered, and protected from adverse "special interests," it will be one of the key elements of the cost g efficient service goal of the Authority. Landside Development Mr. Judy reviewed compensatory cost analyses for airport island land Rates and Charges creation in order to achieve a minimum payback scenario and to define Analysis costs that play a strategic role in revenue returns from related Airport Charges. Client References: Dr. Henry Townsend, CEO, kA - Chem S. Heed, Commercial Director, PAA 011-852-824-7111 DIRECTOR, DADE COUNTY AVIATION DEPARTMENT Overview Mr. Judy was appointed Director of the Aviation Department in 1971. Responsibilities included the overall operation, development, financing, business management, budget, and policy of Miami International Airport and five other airports located in Dade County, Florida. He is internationally recognized for developing Miami International Airport into one of the world's premier cost efficient and service oriented airports. He developed and implemented countless new ideas for airport management and service systems to the point where Miami International Airport was the byword for successful innovation within the induF2ry• SEupwic EL_.f : ; .�- .iw 010TI/c? i Richard H. Judy Page 4 boil The policies Mr. Judy implemented made Miami International Airport the most cost effective of airports for airline operations and user services, while his stand on maintaining a competitive market for air transportation in the community resulted in air fares 9% below the industry average and 23% below those at comparable hubs. Many of the user systems and services now common within the airport industry were e76e developed and implemented by Mr. Judy. The following sections highlight almost two decades of Mr. �= Judy's leadership and innovation as Director of the Dade County Aviation Department. 5 Business Management Between 1968 and 1988, operating income increased to $233 million, operating income per passenger increased from $1.37 to $9.71, and 4`$ revenue from commercial retail operations increased from $4.0 million to 3� $72 million. Several new programs and strategies were developed and pursued to achieve these results. First, Miami International Airport became the first airport to introduce brand name concessionaires to airport terminals and to use management contracts instead of concession agreements to run commercial operations. Under a management agreement all revenues flow to the airport. The company responsible for managing the day to day commercial operation is paid a fee for the services provided. Such management agreements give the airport control over the pricing and the quality of the services. As a result of management contracts, financial analysts have calculated that net revenues from commercial operations at Miami International Airport are between 50% and 100% higher than they would be under conventional concession agreements. (The British Airports Authority has recently adopted the use of management contracts for Heathrow Airport.) Mr. Judy also developed the first use of short term use agreements for airport facilities which allow the airport unparalleled flexibility in meeting the needs of changing market conditions. Rents can be adjusted to fair market values, and airport facilities can be utilized to the maximum extent by reassigning them in the event of airline bankruptcy or changing — - operational patterns. Traffic levels following the Eastern bankruptcy of 1989, the Air Florida bankruptcy in 1984 and the Braniff bankruptcy in 1982 returned quickly to the pre -bankruptcy levels largely because Mr. Judy's short term use agreements enabled the airport to make facilities available for airlines wishing to replace lost service. In addition, Mr. Judy developed and implemented the first internal airport enterprise fund for the development of non -aeronautical facilities and services that was independent of aeronautical revenues. The 1988 annual cash flow into this fund was $40 million and was projected to grow to $100 million within 10 years (borrowing power of $500 million). No other airport has such a fund because non -aeronautical revenues at most airports are captured under the use agreements. Airline Negotiations Master Planning • Airport Negotiations • Rates and Charges Analysis • Master Planning • Airport Financing • Master Planning SEaPW! C.AA__ ®� ®1VM/CRA �7 Richard H. Judy Page 5 Financing Mr. Judy was the first to undertake the task of convincing financial Airport Financing institutions and bond rating agencies that the size and nature of the local Innovations air transportation market and the ability to raise revenues without air carrier approval should be the guarantor of airport revenues needed to service debt, as opposed to the traditional reliance on long term lease Financial Planning agreements with airlines. In addition, Mr. Judy developed and implemented many forms of airport financing now widely used by airports throughout the country, including: • Development and implementation of the first special airport revenue bonds for the construction of an air carrier maintenance facility (while Comptroller). • Use of tax free commercial paper as an airport financing source. • Use by airports of back-up letters of credit with commercial banks. At the time, this innovation saved 112% per year on the price of the bonds issued. • Use of variable rate bonds for airport debt financing purposes. • Use of a liquidity line of credit providing flexibility on the timing of bond issuance. • Use of incremental financing of bond issue to provide capital and incur debt service obligations only as the funding needs arose. • Drafting of a citizen referendum item which passed and provided ad valorem tax backing for an airport revenue bond issue. This -a backing eliminated the need for bond insurance, without financially impacting the local taxpayer. - • Development of a non -tax supported financial program for long term use in borrowing risk capital (accomplished as Deputy Director of Dade County Aviation Department). As a result of these financial firsts and Mr. Judy's overall management practices at Miami International Airport, the bond rating for airport revenue bonds climbed from B+ in 1968 to A+ at the time of Mr. Judy's retirement from the airport. Due to the ability of the airport to provide new competitive carriers with extensive operating facilities, the airport's bond rating was neither undermined nor put on "credit watch" despite the bankruptcy of Eastern Air Lines in 1989, which accounted for 31 percent of the passenger traffic, Air Florida and Braniff Airlines in the early mid- 1980's, and Pan American, which accounted for 20 percent of airport traffic. SFOyWI CRAB S_r Richard H. Judy Page 6 Policy Mr. Judy is an acknowledged leader in the fields of international aviation Aviation Policy policy, congestion and capacity policy (including the drafting of the original Passenger Facility Charge legislation that was passed by Con- Passenger Facility gress), competition policy, airport pricing policy, airport financing policy, Charges airport funding policy, airport development policy, in addition to airport environmental policy and narcotics and explosive detection policy. Operations During his career as Director, Mr. Judy transformed Miami International Passenger Service Airport into the hub of Latin America and the Caribbean, a major air Development service hub for American Airlines, a major destination for European travelers, and one of the world's leading passenger and cargo airports. a Air Cargo Development At the time of his retirement as Director, Mr. Judy had succeeded in making Miami the world's 8th largest passenger airport, 6th largest cargo airport, 3rd in the world in terms of the number of airlines providing service, and the 2nd largest U.S. international airport in both passenger and cargo. Since he began working for the Dade County Aviation Department in 1967, Mr. Judy has succeeded in increasing the number of passengers handled from 9.5 million to 25 million, increasing the amount of cargo handled from 194,000 tons to 750,000 tons (currently 1,000,000 tons), m. increasing the number of airlines providing service from 37 to over 80, and expanding the locations served from Miami International from predominately domestic with only a few international destinations, to over 160 destinations today including most major cities in Europe, all major cities in the Caribbean and Latin America, and several cities in the Middle East. Development Mr. Judy was responsible for the implementation of over $4 billion Airport Development (money of the day) of self -financed capital construction and over $1 billion worth of conceptional space master planning at Miami International 0 Capital Planning Airport. Since 1968, under Mr. Judy's direction, the number of aircraft gates was increased form 74 to 110 (most of the 74 were, replaced with Facilities Planning new gates) and the terminal space was increased from 0.6 million square feet to 2.8 million square feet. In the course of the physical development of Miami International Airport under his direction, many innovations were successfully implemented. The world's largest on -airport cargo area was developed, including 2 million square feet of cargo facilities. Miami's ancillary aviation facilities were enhanced, including the development of the world's largest Airbus Industries crew training center, and regional headquarters for Rolls Royce and Cleveland Pneumatics. In addition, under Mr. Judy's direction, Miami ; International Airport became the first airport to: r` p � Richard H. Judy Page 7 • design and use displaced runway thresholds for noise abatement purposes. • design and use high speed exit taxiways now used throughout the world and recognized by the Federal Aviation Administration as a tool to increase airfield capacity. • design and use dual capability International/Domestic gates which allow increased facility utilization, increased effective airport capacity, shorter international to domestic or vice versa aircraft turnaround, and significant airline operating cost savings. • implement an airport wide database to integrate all service systems for cross utilization by all airport users as needed. • use in -transit passenger facilities in the U.S. • use Transit Without Visa (TWOV) facilities. • create dedicated centralized commuter aircraft facilities. • cogenerate electricity using airport trash from international aircraft. Yd develop an integrated electronic cargo service and customs clearance system for use by all cargo consignees and consignors to track cargo from the supplier to the receiving consignor on a real time basis. In addition, Mr. Judy was instrumental in establishing the first successful large scale general purpose free trade zone. Budget — - During his career as Director, the revenues generated by Miami International Airport and the other five airports in Dade County grew from $13 million in 1968 to $250 million in 1990. Expenses incurred in the w operation of Miami International Airport and the five other airports in Dade County grew from $4.3 million in 1968 to $144 million in 1990. . ■ i� SEOPW/. Vly`jJVl'CRA 0 COMPTROLLER, DADE COUNTY AVIATION DEPARTMENT Mr. Judy first joined the Dade County Aviation Department (formerly Dade County Port Authority) in 1960 as Comptroller. His first major responsibility was the extensive reorganization of the financial policy and concession development program of the Authority. In accomplishing this task, he developed a short-term financing program for the construction of a $17,000,000 (1960 dollars) airport improvements project including the first major concession mall and hotel in any terminal. This concept has been copied at major airports throughout the world, and was financed through a syndicate of banks throughout the State of Florida utilizing concession revenues as security; the first such syndicate of its kind. The success of Mr. Judy's program made it possible for the Authority to complete its initial capital improvement program one year in advance of schedule. The early completion also meant that the new terminal rental and concession revenues totaling $1,500,000 (1957) would also be received one year in advance of schedule. Following completion of the above temporary financial program, Mr Judy accomplished the following projects: zThe renegotiation of the airport use agreements with major - airlines. The agreements provided a date certain for the removal - of airline control over the provision of new airport facilities and the ability of the airport to independently adjust landing fees and other rates, fees and charges. Richard H. Judy Page 8 Airport Financing Airport Planning Concession Development Rates and Charges Analysis Airline Negotiations Rates and Charges • The settlement of the first major domestic airline fees and Airline Negotiations charges discrimination suit. 0 Rates and Charges • Installation of a cost system integrated with all other related Rates and Charges airport systems databases to establish a rate base for all the fee 0 Negotiation Support and rental schedules. The cost system was to be used as a Financial Systems — - basis for the settlement of a foreign airline rate case and in the Design renegotiation of the then current landing fee schedule, which - expired in 1966. This cost/revenue control approach to managing the budgeting and pricing of services is extensively used today by most airports. Mr. Judy's last major financial accomplishment as Comptroller for the Airport Financial Authority was the sale of a $20,000,000 special revenue bond issue for Planning and Analysis airline base facilities. This financial and commercial arrangement between airlines and airports has been successfully used by most airports throughout the U.S. S�OP'W I CRA Richard H. Judy Page 9 SELECTED SPEECHES, PUBLICATIONS, AND PAPERS 06/11/86 Position paper on difficulties of comparing airport use charges between different airports. 11/07/86 Position paper on the threat of long term exclusive use leases to the level of competition in the industry. 12/31/87 Position paper on British Airports Authority (BAA) user charges- dispute that resulted in a favorable arbitration ruling and the payment of damages to US carriers totalling $29 million. 03/18/88 Position paper on airport role in air service agreement regarding procedural matters and negotiation strategies. 04/15/88 Testimony before House Appropriations Committee on Customs budget for FY 1989. 04/31/88 Position paper on draft U.S. International Cargo Policy Statement. 05/04/88 Speech to International Air Cargo Forum. 06/30/88 Speech: "Impacts of Deregulation on Airports," Airport Operators Council International (AOCI). a 08/01/88 Position paper on U.S. International Cargo Policy. 08/09/88 Testimony before the House Ways and Means Committee on the commercial operations of U.S. Customs and the need for cargo tracking systems to interface with customs databases for the timely clearance of cargo. 10/03/88 Position paper on the European Civil Aviation Conference CRS negotiations. 10/25/88 Position paper on National Aviation Policy. �- - 03/06/89 Position paper on a proposal for Passenger Facility Charges. 03/15/89 Speech: "Airports, the Communities They Serve and the Bilateral Negotiations Process in International Air Service." 03/29/89 Position paper on the U.S. Department of Transportation (DOT) study of St. Louis air fares. 03/30/89 Position paper on the British Airports Authority (BAA) arbitration. SEOPW/CM- : ` J1 RICHARD H. JUDY PRINCIPAL CONSULTANT SUMMARY OF PROFESSIONAL PROFILE Richard H. Judy is the former Director of the Dade County Aviation Department, operator of Miami International Airport and five other county airports. �t Mr. Judy guided the Miami international airport aviation system through a �6P challenging twenty year period of change and passenger, cargo, commercial and net revenue growth that is continuing today under a new management team. Miami International Airport during this period ranked among the top ten airports of the world in terms of total annual passengers served and tons of cargo handled, and for its ability to generate commercial revenue while maintaining an p� internationally recognized low operating cost environment for its air carrier service providers. Mr. Judy began his career after receiving a Bachelor of Business Administration degree from the University of Miami in 1953, and has pursued extensive post- graduate studies in law, taxation and related subjects. During the early part of — - his career, he accumulated a vast amount of experience in financial management and commercial development in the private sector and in various local and state government positions. In 1967, he became Deputy Director of the Dade County Port Authority, precursor of the Dade County Aviation i Department, and was appointed Aviation Director in 1971. Mr. Judy is known throughout the worldwide aviation community, and is highly p U respected for his skills as a manager, planner, negotiator, financier, developer of O W ...P cost efficient airport commercial projects systems and project management. He At is consulted by airports and related industries in regard to every aspect of terminal, airside and landside functional design and the development of cost efficient airport services system and the integration of such system for the efficient use by all users of the airport as and when needed. This has been clearly confirmed by his dual interim appointment as Commercial Director and Operations Director of the Provisional Airport Authority of Hong Kong for fifthteen months for the most cirtical design and commercial development period ' of the new Hong Kong Airport. He has been recognized in a profile on his business acumen and accomplishments in Forbes Magazine. For his development of the Miami International Airport's master plan and related integrated functional and cost efficient building system, Richard Judy won the prestigious annual Wright Brothers Award. He has since received numerous commendations and awards. Among these are the Bill Pallot Award of the International Center of Florida for his contributions to international trade and commerce and the Max Schumacher Memorial Award of the Helicopter Association International for his contributions to the development of a regional helicopter infrastructure. In addition, he was chosen Public Official of the Year by the Industrial Association of Dade County in 1986, and was honored by the Greater Miami Chamber of Commerce in September of 1986 "[i)n recognition of his vision, ingenuity and business -w acumen in making Miami International Airport the best and most cost efficient, and competitive in the world." 0 -- I Richard Judy has distinguished himself through his total commitment to the , development of efficient airport systems and services. He is well known for his success in transferring control of the use of all airport infrastructure and the rates, fees and charges related to such infrastructure use from the air carrier tenants and third party service providers back to airport management in order to maximize the airport's ability to control airport costs and to provide air carriers with operating facilities when needed and at competitive user charges, thereby providing a vibrant and competitive air service market place for the benefit of the airport's passenger and cargo users and the gross product of the region the airpot serves. He was Chairman Elect of the Airport Operators Council International; serves on a special committee within the Academy- of Sciences to advise the U.S. Secretary of Transportation on matters concerning air transportation safety and the development of explosive detection systems for baggage, aircraft and passengers; Chairman of the Public Facilities Council, Building Research Board of the National Academy of Sciences concerning the integration of airport building management systems for the improved efficiency and services of airport terminal for its users; Chairman of the U.S. Aviation Infrastructure Roundtable; Trustee of the U.S. Greater Miami Chamber of Commerce; Member of the Export Finance Advisory Commission of the state of Florida, and served on the Executive Council of the Institute for Transportation, American Public Works Association; Member of the U.S. Anthony Commission on Airport Finance; Member of U.S. Airline Transport Association (ASA) Industry Task Force, Noise/Access Working Group; Member of World Board of the International Civil Airports Association; Member of the U.S. Department of the Treasury Advisory Group on Commercial Operations of the U.S. Customs Service (appointed by the U.S. Secretary of the Treasury) concerning the development of policies that r expedite the movement of passengers and cargo through the customs clearance process using advanced integrated airport systems; Member of Immigration service Advisory Group on User Fees (appointed by the U.S. Attorney General) O involving the policies and procedures for moving passengers through the immigration clearance process using advanced airport systems integrated with air carrier passenger databases. Since leaving his public service career, he has completed 20 months of work for the Provisional Airport Authority (PAA) of Hong Kong as a secondee from his consulting firm. As mentioned, he held the dual positions as Commercial 44 Director and Operations Director for fifteen months and was a consultant to the Chief Executive Officer of the PAA for the last five months. An at -a -glance summary of his achievements for PAA is attached. s� SEViW/ RA Pik • /• p t aft}] /3 NOVEMBER 16,1987 -1 THREE DOLLARS FIF i POST -CRASH INVESTMENT STRATEGIES Bargains among the 200 best small companies. 1929? or 1962? by Malcolm S. Forbes Jr. Mutual funds that bucked the downtrend. What next? Five Forbes columnists look ahead. How The Forbes Four Hundred fared. Is the market cheap? Public servant Richard Judy runs Miami International Airport as if he owns it. Odd- ly for an airport, this one makes money. „we enterprised it” By Jan Part Pn EOPLE AROUND Mlami say that public -servant Richard Judy s Miami International Airport as if he owns it. They all don't mean it ac a cmmnliment. but that's how Judy takes it, and for good reason. Wherev- er Judy strikes, airport profits seem to double —in passenger lounges, restau- rants, the airport hotel, even airport cargo services. - "My dream is to privatize the air- port," says Judy, whose official title since 1971 has been director of the Dade County Aviation Department, which runs the airport. "But we couldn't privatize it, so we enter - prised it. There's tremendous revenue potential here if you meet consumer demand. We are, and they're willing to pay for it." Take airport lounges. Back in the old days, five years ago, when airlines operated all passenger lounges, the airport's take from lounges was pure- ly in rent, $6 to $7 a square foot. "It didn't even amount to revenue for us," says Judy. But as leases began expiring three years ago, Judy began cutting deals with the airlines, con- solidating separate lounges into larger spaces used by several carriers at a time. With airlines now paying for loun a services on a per -passenger ba- sis,,Miami International expects gross r enues from lounge space to reach $2 million this year and profits on lounges to hit $1.2 million a year. Miami airport's 25 restaurants and bars have also come in for Judy's en- terprising. In 1984, as restaurant con- cessions began coming up for renew- al, Judy refused to renew. He is rip- ping them up and remodeling them as fast as he can, converting them into 298 SE1UP,W V", ®lYll`Il/\✓1�� iJ 9_� r ra 61 FORBES, NOVEMBER 16, 1987 pleasant, mall -like food c s. Profit from nine new or redone taurants has surged; some former "dead space" is now producing good returns for the first time. Example: In an area that used to house only seating, Judy in- stalled a high -margin seafood bar that paid back its $700,000 startup cost in seven months. "We're making the airport some- thing other than just a sterile environ- ment where everything is shoved into the comers," Judy says. "There are many more things to come." Last year each passenger spent about $7, on av- erage. Judy says he wants to boost that figure to about $20 before he is done. To an extent, Judy's success can be ascribed to good timing. As Mi has grown rapidly, passenger and freight volumes handled by Miami International Airport have surged. Although rankings vary in these deregulated times, Miami figures it's tenth nation- ally in flight originations. It handles 23-5 million passengers and some 614,000 tons. of cargo per year. In 1971, when Judy took over, the passenger and cargo figures were J0.9 million and 350,000 tons, respectively; the real improvement . in reve- nues began in 1979, when Judy began to "enterprise" the air- port after years of thought and study. Credit Judy for maximizing his advantages. He has built gross operating revenues at Mi- ami International to $150 mil- lion last year from $92 million in 1982. Profits —these are de- fined as current revenues less operating costs, • not including depreciation —grew to $60 mil- lion last year, from $46.9 mil- lion in 1982. ' Judy, 56, is in the vanguard of a new breed of airport manager. Ten years ago most airport man- agers were likely to be former World War 11 pilots —fine aviators, but not often great managers or entrepre- neurs. But . airports, almost despite themselves, have become large com- mercial centers, with captive custom- ers —not just passengers, but the air- lines as well. Judy's skill has been tapping that customer base. A Pennsylvania coal miner's son, Judy earned a bachelor's degree in business administration from the University of Miami and did postgrad- uate work in law and taxation, He went into public service —on ally as comptroller for the Dade ounty Port Authority. He has been in the public sector ever since, with the ex- 302 n�wrw! v1\[7. t,- ception of a brief stint with tl nance department of a shipbuiirg company. Thus he's largely self- taught as a restaurateur, hotelier and cargo handler and has no precon- ceived notions of what an airport ought to be. Why don't more big airport manag- ers follow in Judy's footsteps? One reason is that Judy enjoys more inde- pendence than do most airport man- agers. At New York's John F. Kennedy Airport, for instance, different au- thorities run various aspects of the airport, such as the fueling system or cargo handling. At Miami, by con- trast, Judy has complete authority. "I'm like the head of a conglomer- airport with boundless energy, stop- ping only to light a cigarette. In es- sence he is equal parts planner, nego- tiator, financier, administrator and even designer for the 3,200-acre air- port and its 130,000 square feet of retail and restaurant space. He is not short on self-confidence. Says Judy, who makes $100,000 a year: "I'll challenge any $400,000 chief executive to a management duel any day." Judy's enterprising of the airport be- gan in 1979.On behalf of Miami Inter- national he bought the airport hotel for $4.7 million from International Airport Hotel Systems. Judy wanted the hotel because he thought it should be expanded and upgraded, but the owner didn't have the money. Judy bought it and refurbished it into a first-class hotel; today an atrium and restaurant are under construction. Despite $15 million in remodeling costs, profits from the 270 rooms have doubled, he says, to a likely $4.5 mil- lion this year. About a year ago Judy introduced air cargo services for smaller carriers. He predicts that in fiscal 1988 (ending next Sept. 30) his small carriers' freight operation will handle 120 mil- lion pounds of cargo, about 10% of all Miami International cargo, and earn $3.5 million. Even so, the small car- s' cargo -handling costs will be re- duced by 50%. Judy's aggressive style, dicta- torial manner and outspoken opinions have ruffled feathers around southern Florida, espe- cially the feathers of conces- sionaires that Judy has cut out. Not a few people worry about his autonomy and the specula- tive nature of some of his uses of public money. But Judy has results on his side. Gross revenues from Mi- ami International's terminal concessions—$64 million in 1986—made up nearly half of the airport's gross operating rev- enues (the other half comes mainly from landing fees, rent, parking and taxi fees). No other major U.S. airport even comes close. New York's JFK, for ex- ample, gets $21 million in gross revenues from concessions. Miami's consumer revenues help Judy keep the airport's landing fees and airline rents proportionately lower than those of most major airports. Judy quit playing golf be- cause he found he played on Wednesdays, by lifelong habit a workday. "I'm suspicious of any executive who plays golf," he says. Now he spends his time work- ing. He works 12-hour days and comes into the office several hours on both weekend days. "You know why I do that?" de- mands Judy. "Because if you're here during the peak times, you can see what your airport will be like when it's running at peak 365 days a year." What with passenger air traffic through Miami expected to increase 4.4% annually through 1990, then by 3.2% annually until the end of the century, Judy knows he'll have no end of opportunities for enterprise in the years ahead. ■ FORBES, NOVEMBER 16, 1987 PROFESSIONAL PROFILE OF RICHARD H. JUDY TABLE OF CONTENTS 1. CURRICULUM VITAE . A. CAREER EMPHASIS B. SUMMARY OF EXPERIENCE C. EDUCATION D. HONORS E. BACKGROUND F. AVIATION G. TRANSPORTATION H. OTHER EXPERIENCE 11. SPEECHES, PUBLICATIONS AND PAPERS 111. REFERENCES SEUPWICRX 1 OMM/CRA, I. CURRICULUM VITAE OF RICHARD H. JUDY A. CAREER EMPHASIS Leadership of a large public enterprise with 1,000 employees and annual revenues in excess of $200 million. Thorough understanding of, and practical leadership experience in all aspects of airport planning, development, construction, operations, financing, funding and commercial activities. Fully experienced in the development of domestic and international aviation regulation, policy and law pertaining to -' airports, airlines, the environment and the consumer. Experienced in the negotiation of commercial contract+., and the formulation of the commercial aspects of international treaties and domestic policy agreements. B. SUMMARY OF EXPERIENCE 1994 - current Consultant to the Chief Executive Officer of the Provisional Airport Authority for the commercial developments of the new Hong Kong Airport (see attached) 1992 - 1994 Interim Commercial Director and Operations Director of the Provisional Airport Authority of Hong Kong (seconded from Judy & Associates Inc) Major work products. as the Operations Director during the above period are the functional layout and operational requirements of the new terminal building, all related systems and their operational requirements, and integration for the cross utilization of their data bases and services by other users. During the tenure as Commercial Director, the major work products are the development of all commercial programmes for the new airport such as cargo, catering, fuel, ramp handling and aircraft maintenance and terminal retail. 1989 - 1992 Chief Executive Officer of Judy & Associates Inc Provided aviation consultancy services to selected domestic and international airports. 1971 - 1989 Director, Dade County Aviation Department. Responsible for the overall operation, development, financing, business management, budget and policy of Miami International Airport and five other airports located in Dade County, Florida. SEOPWICRA 2 OMW T 0 1967 - 1971 Deputy Director, Dade County Aviation Department (formerly Dade County Port Authority). Primarily responsible for the planning, implementation and financing of the capital development of Miami International Airport and the five other airports located in Dade County. 1962 - 1967 Comptroller, State of Florida Road Department. Primarily responsible for the reorganization of the financial operations of the State Road Department. Arranged the funding for much of the Florida Turnpike and the other arterial roads in Florida. 1960 - 1962 Comptroller, Dade County Port Authority. Responsible for the extensive _reorganization of the financial and leasing policy of the Authority. - C. - EDUCATION nj University of Miami (BBA, 1953); and over 2 years of graduate work. D. HONORS Chairman Elect and Executive Committee Member of Airport Operators Council International (AOCI) Member of Anthony Commission on Public Finance. Member of Industry Task Force, Noise/Access Working Group. Member of World Board of the International Civil Airports Association. k Member of Department of the Treasury Advisory Group on Commercial Operations of the U.S. Customs Service (appointed by the U.S. Secretary of the Treasury). n Member of Immigration Service Advisory Group on User Fees (appointed by the U.S. Attorney General). Member of State of Florida Export Finance Advisory Commission. Member of Representative of AOCI before International Civil Aviation Organization -(ICAO). Member of Site selection committee for new Minneapolis -St. Paul airport. Trustee of Greater Miami Chamber of Commerce. Trustee of Beacon Council. Trustee of Hialeah Chamber of Commerce. 9_► Ll -" x� SECIPW/CRA M 3 ONINI/CRA, Chairman, Public Facilities Council, National Academy of Sciences. Chairman, Aviation Infrastructure Roundtable. 1973 Wright Memorial Award for the Program '70's master planning of Miami International Airport. Helicopter Association International (HAI) Schumacher Award for the development of regional helicopter infrastructure. 1986 Public Official of the Year award by the Industrial Association of Dade County. 1984 Bill Pallot award from the International Center of Florida for contributions to international trade and commerce. ' 1988 Member of the U.S. Congress, Office of Technology Assessment Advisory Panel on Aviation Safety. Member of the U.S. Congress, Office of Technology Assessments Advisory Panel on airport funding, development and competition. Member of the Site Selection /Committee for the new Louisville airport. Participated in reviewing the drafting of the 1969 Environmental Protection Act. a Requested to consult on the'functional planning of terminal facilities, services systems, integrated data bases, communication systems, implementation and management by numerous airports throughout the world. Author and speaker on a broad range of air transportation and airport development and operating issues. Numerous other local, civic and business awards. -E. BACKGROUND Sixty-two years old, a native of Pennsylvania and long time resident of Florida. Attended public school in Pennsylvania, and received a bachelor's degree from the university of Miami in 1953, majoring in accounting, finance and economics. Over two years of graduate studies, including contract, commercial, property and . taxation law and computer technology. F. AVIATION 1. JUDY & ASSOCIATES INC. January 94 to current - performing consultancy services to the Chief Executive Officer of the Provisional Airport Authority of Hong Kong concerning the commercial developments of the new Hong Kong airport. SEOPW/CRA _ 4 .� ONM / CRA En 2. SECONDMENT FROM JUDY & ASSOCIATES TO INTERIM DIRECTOR OF OPERATIONS AND INTERIM DIRECTOR OF COMMERCIAL DIVISION OF THE PROVISIONAL AIRPORT AUTHORITY OF HONG KONG 3. DIRECTOR, DADE COUNTY AVIATION DEPARTMENT Appointed Director of the Aviation Department in 1971. Responsibilities included the overall operation, development, financing, business management, budget, and policy of Miami International Airport and five other airports located in Dade County, Florida. He was responsible for developing Miami International Airport into one of the world's premier cost efficient and service oriented competitive airports. He developed and implemented countless new ideas for airport management and service systems to the point where Miami International Airport was the byword for successful innovation within the industry. Over his two decades of leadership he became widely respected throughout the aviation community for his skills as a planner, negotiator, financier, and administrator. The policies Mr. Judy implemented made Miami International Airport the most cost effective of airports for airline operations and user services while his stand on maintaining a competitive market for air transportation in the community resulted in air fares 9% below the industry average and 23% 'below those at comparable hubs. Many of the user systems and services now common within the airport industry were developed and implemented by him. He is consulted by airports and related industries in regard to every aspect of terminal, airside and landside services facilitation including commercial development. Highlights of almost two decades of leadership as Director include: 3.1 OPERATIONS During his career as Director, Miami International Airport became the hub -of Latin America and the Caribbean and a major air service hub for American Airlines; diversified into a major destination for European travelers, and became one of.the world's leading passenger and cargo airports. Activities at Miami International Airport account for 20% of the Gross Product of Dade County, directly providing 25,000 jobs. At his time of retirement as Director, Miami was the world's 8th largest passenger airport, 6th largest cargo airport and was ranked 3rd in the world in terms of the number of airlines providing service. Miami become the 2nd largest U.S. international airport in both passenger and cargo. SEOPWICRIk 0 r V. 5 Since 1968 the number of passengers handled increased from 9.5 million to 25 million, the amount of cargo handled increased from 194,000 tons to 750,000 tons (currently 1,000,000 tons), the number of airlines providing service increased from 37 to over 80. IV From 1968 to his retirement, the locations served from Miami International grew from being predominately domestic with only a few international destinations, all in Latin America, to over 160 destinations today including most major cities in Europe, all major cities in the Caribbean and Latin America, and several cities in the Middle East. 3.2 DEVELOPMENT During his directorship, Miami International Airport developed from a 1950's vintage facility designed for piston aircraft into a state of the art terminal and air field. . . Over $4 billion (money of the . day) of self financed capital construction has taken place and over $1 billion worth of conceptional space master planning was completed to develop Miami International Airport to its maximum possible capacity during the 1990 decade. Since 1968, the number of aircraft gates increased form 74 to 110 (most of the 74 were replaced with new gates) and the terminal space increased from 0.6 million square feet to 2.8 million square feet. In the course of the physical development of Miami International Airport under his direction the following innovations were successfully implemented: • First design and use of displaced runway thresholds for noise abatement purposes. • First design and use of- high speed exit taxiways now used throughout the world and recognized by the Federal Aviation Administration as a tool to increase airfield capacity. • First design and use of dual capability International/Domestic gates which- allow increased facility utilization, increased effective airport capacity, shorter- international to domestic or vice versa . aircraft turnaround and significant airline operating cost savings. • First airport to implement an airport wide database to integrate all service systems for cross utilization by all airport users as needed. SEOTWI . 6 ONW/CRA Functional design and first use of the second generation Westinghouse people mover cars now used at Gatwick Airport, Orlando and other airports throughout the world. • First U.S. In -transit passenger facilities. • First Transit Without Visa (TWOV) facilities. • First airport operated first class Club Lounge facilities. • First dedicated centralized commuter aircraft facilities. • First to cogenerate electricity using airport trash from international aircraft. The development of ancillary aviation- facilities including the world's largest Airbus Industries crew training center, and regional headquarters for Rolls Royce and Cleveland Pneumatics. • The development of the world's largest on -airport cargo area including 2 million square feet of cargo facilities. • The first on -airport airport operated child care center. • The first on -airport satellite learning center providing education through the first grade. • Instrumental in establishing the first successful large scale general purpose free trade zone. • First airport to develop an integrated electronic cargo service and customs clearance system for use of all cargo consignees and consignors to track cargo from the supplier to the receiving consignor on a real time basis. 3.3 FINANCING Was first to undertake the task of convincing the financial institutions and bond rating agencies that the size and nature of the local air AM transportation market and the ability to raise revenues without air carrier approval was the guarantor of airport revenues needed to service debt as opposed to the traditional reliance on long term lease agreements with airlines. Developed and implemented many forms of financing now widely used. by airports throughout the country. Aw • _ Developed and implemented the first special airport revenue bonds for the construction of an air carrier maintenance facility jwhile Comptroller). � c j?W A IMF 7 ��� CFA.- First airport to use tax free commercial paper. First airport to use back-up letters of credit with commercial banks. At the time this innovation saved 1/2% per year on the price of the bonds issued. • First airport to float variable rate bonds. • First airport to use a liquidity line of credit providing flexibility on the timing of bond issuance. • First airport to use incremental financing of bond issue to provide capital and incur debt service obligations only as the funding needs arose. • Drafted citizen referendum item which passed and provided ad valorem tax backing for airport_ revenue bond issue. This backing eliminated the need.for bond insurance, without financial impact on the local taxpayer. As a result of these financial firsts and the overall management practices at Miami International Airport, the bond rating for airport revenue bonds climbed from B+ in 1968 to A+ at the time of Mr. Judy's retirement from the airport. ' The bond rating was not undermined . nor the rating put on "credit watch" despite the bankruptcy of Eastern Air Lines in 1989 (accounting for 31 % of the passenger traffic), Air Florida and Braniff Airlines in the early mid Af 1980's and Pan American due to the ability of the airport to provide immediately new competitive carriers with extensive operating facilities (gates) such as those provided to American Airlines to begin a first phase twice daily departure hub. 3.4 BUSINESS MANAGEMENT Since 1968, operating -income increased to $233 million in 1988. Operating income per passenger increased from $1.37 to $9.71. Revenue from commercial retail operations increased from $4.0 million in 1968 to $72 million in 1988. The new programs and strategies that were developed and pursued to achieve these results include: • Management Contracts. Miami International Airport became the first airport to use management contracts instead of concession agreements to run commercial operations. Under a management agreement all revenues flow to the airport. The company responsible for managing the day to day commercial operation is paid a fee for the services provided. Such management SEOPWXXX agreements give the airport control over the pricing and the quality of the services. As a result of management contracts, financial analysts have calculated that net revenues from commercial operations at Miami International Airport are between 50% and 100% higher than they would be under conventional concession agreements. The 256 room airport hotel operated by the airport using a management contract returns greater net revenue to the airport than a concession agreement hotel with 1,700 rooms. Management contracts have been applied to .the airport hotel, Duty Free shops, Newsstands, all restaurants, gift shops, first class club lounges, cargo handling facilities and services, parking garages, janitorial and porter services, bag check room service, child care center and the satellite learning center. • Short term use agreements. Developed the first use of short term use agreements "for airport .facilities which allow the airport unparalleled flexibility in meeting the needs of, changing market conditions. Rents can be adjusted to fair market values, and airport facilities can be utilized to the maximum extent by reassigning them in the event of airline bankruptcy or changing operational patterns. Traffic levels following the Eastern bankruptcy of 1989, the Air Florida bankruptcy in 1984 and the Braniff bankruptcy in 1982 returned quickly to the pre -bankruptcy levels largely because short term use agreements at Miami International airport have enabled the airport to make available facilities for airlines wishing to replace lost service. This flexibility has resulted in the maintenance of the Airport's A+ Bond Rating the highest available rating being assigned to airports by the rating agencies such as Moodys. • Developed and implemented the first independent internal airport enterprise fund for the development of non aeronautical facilities and services independent of aeronautical revenues. The 1988 annual cash flow into this fund was $40 million and it was projected to grow -to $100 million within 10 years (borrowing -power of $500 million). No other airport has such a fund because the revenue sources are controlled by the air carrier users under their airport use agreements. • Developed and implemented Techniport, and positioned it to become an - export trading company aimed at developing international trade within the community. m Developed and implemented numerous minority programs which have since become the model for use by Dade County's HUD, and the Public Health Trust. The FAA uses Miami as the example of a . successful minority program. The cornerstone of the minority programs at Miami International Airport was a Miscellaneous N/ �r �g�j�i� / � A r e S'B() �1 9 CRA 9 r Z 0 it O" c C A► M Construction and Design Contract which provided extensive opportunities for minority contractors to participate in millions of dollars of airport construction opportunities. ' 3.5 BUDGET During his career as Director, the revenues generated by Miami. International Airport and the other five airports in Dade County grew from $13 million in 1968 to $250 million in 1990. Expenses incurred in the operation of Miami International Airport and the five other airports in Dade County grew from $4.3 million in 1968 to $144 million in 1990. 3.6 POLICY Fought the banning of Stage 1 aircraft operations in the United States, pending the hush kit installation, and was successful in overcoming the opposition of all major U.S. airlines, all aircraft manufacturers, all major U.S. airports, and the federal government while forging a cooperative alliance of local interests to protect the international traffic base and its economic benefits. Wrote and was instrumental in the enactment of the Air Carrier Smuggling Prevention Program in the 1988 Drug Bill, overcoming the opposition of the federal government. Acknowledged leader in the fields of international aviation policy, congestion and capacity policy (including the drafting of the original Passenger Facility Charge legislation that was passed by -Congress), competition policy, airport pricing policy, airport financing policy, airport funding policy, airport development policy, in addition to airport environmental policy and narcotics and explosive detection policy.. _ Ack-nowledged leader in shaping the aviation related policies of the Federal Inspection Services. Many innovative programs have been developed at Miami International Airport for the inspection of international arriving passengers and cargo. The success of these programs has given Miami International Airport the best passenger clearance times of any U.S. airport. The recently released U.S. Customs master plan for passenger processing in the 1990's is to a large extent based upon the practices implemented at Miami during the 1980's. SYO.! WICFA.. 0 10 4. DEPUTY DIRECTOR, DADE COUNTY AVIATION DEPARTMENT C 10 Moved into the position of Deputy Director at the request of the Director and civic, business, and aviation leaders within the community. Primary responsibility was the development of a new Airport within the . system of airports in South Florida to serve as a major training airport with the potential to develop into a regional commercial airport to the Southeastern United States. Progress during the project included execution of inter -governmental agreements as to the site location, actual site location, community acceptance of 40 square mile site, concept financing without taxes, aviation industry acceptance and participation, site acquisition, first facilities under construction, environmental study underway, master facility plan underway, high speed (170 mph) air cushion bus demonstration project study underway, 1,000 food wide ground transportation corridor to the new airport site. (The development of the site as a commercial airport was halted by agreement with the U.S. government- pending location of a new site and replacement by the U.S.) Another major responsibility was the development of a non -tax supported financial program for the long term use in borrowing risk capital. 5. COMPTROLLER, DADE COUNTY AVIATION DEPARTMENT First joined the Dade County Aviation Department (formerly Dade County Port Authority) in 1960 as Comptroller. First major responsibility was the extensive reorganization of the financial policy and concession development program of the Authority. First accomplishment was the development of a short-term financing program for the construction of a $17,000,000 (1960 dollars) airport improvements project including the first major concession mall and hotel in any terminal. This concept has been copied at major airports throughout the world. This was financed through a syndicate of banks throughout the State of Florida utilizing concession. revenues as security; the first such syndicate _ of its kind. The success of this program made it possible for the Authority to complete its initial capital improvement program one year in advance of schedule. The early completion also meant that the new terminal .rental and concession revenues. totaling $1,500,000 (1957) would also be received one year in advance of schedule. After completion of the above temporary financial program, accomplished the following projects: • The renegotiation of the airport use agreements with major airlines. The agreements provided a date certain for the removal of airline control over the provision of new airport facilities and the ability of the airport to independently adjust landing fees and other rates, fees and charges. S tiPv�lI Cis. a�. • The settlement of the first major domestic airline fees and charges discrimination suit. • Installation of a cost system integrated with all other related airport systems database to establish a rate base for all the fee and rental schedules. This cost system received special attention from the local members of the National Association of Accountants. The cost system was to be used as a basis for the settlement of the foreign airline rate case and was to be used in the renegotiation of the then current landing fee schedule which expired in 1966 and the cost/revenue control approach to managing the budgetary and pricing of services is extensively used today by most airports. • Last major financial accomplishment as Comptroller for the Authority was the sale of a $20,000,000 special revenue bond issue for airline base facilities. This financial and commercial arrangement between airlines and airports has been successfully used by most airports throughout the U.S. G. TRANSPORTATION COMPTROLLER, STATE OF FLORIDA ROAD DEPARTMENT Joined the State Road Department in 1962 as Comptroller with the primary responsibility of reorganizing the financial operation of the Department. Included among the many financial improvements during his term of employment are the following: • Drafted and led the passage of a state law and constitutional amendment that fairly distributed the secondary gas taxes to the large urban areas of the State, was cited for his outstanding work in developing new accounting and auditing systems that expedited financing of major federal and state highway systems. • The financing for the extension of the Florida Turnpike in Dade County and the development of most of the community's existing expressway system. • The development and implementation of a federal -aid contracting and collection system known as the 'Current Billing System' which resulted in the expedition of the federal -aid construction program of Florida by some $25,000,000 and over 750,000 in the total U.S.(1990 dollars - 15 billion). The 'Current Billing System' eliminated the need for Dade County to sell an approved $40,000,000 of bonds to advance finance a portion of the interstate system in Dade County. Among many other substantial savings, this system made possible the direct saving of approximately $15,000,000 in interest payments from Dade County's ad valorem taxes. SEOPW/CRA ` J 12 �r l.� +uy r 0NW/CRA • The design of a master credit card system for the control of motor vehicle fuel purchases for the State Road Department and all other state agencies. • The implementation of new document flow systems which have made possible substantial savings by reducing costly "red tape." • The use of new audit programs and reporting systems to management to aid in the efficient expenditure of state tax resources. The development of financial funding concepts for construction of the first non - toll and non -interstate expressway system constructed in Florida. • The implementation of .a new investment program for department funds being temporarily held for road construction disbursement which has resulted in substantial excess interest earnings since 1962. • The development of a financial partnership concept between the large urban counties and the Florida State Road Department to expedite the advance design of urban roads and expressways in counties of 50,000 population or more. H. OTHER EXPERIENCE From 1957 to 1959, was a Senior Auditor for the Miami C.P.A. firm of Morgan, Altemus and Barrs and was. the external supervising auditor for the Dade County Port Authority under its trust agreements. SEOPWICRA 13 «. r 8 If. SPEECHES, PUBLICATIONS, AND PAPERS 1986 06/11/86 Position paper on difficulties of comparing airport use charges between different airports. 06/19/86 Position paper on the need to investigate the anti -competitive effects of the airline ownership of Computer Reservations Systems (CRS). 11/06/86 Position paper on the need for exemptions to be granted to allow Stage 1 aircraft to operate in the U.S. for maintenance purposes. 11/07/86 Position paper on the threat of long term exclusive use leases to the level of competition in the industry. 11/07/86 Position paper on the need for exemptions to be granted to allow Stage 1 aircraft to operate -in the U.S. for maintenance purposes. 11/07/86 Position paper on the airline ownership of Computer Reservation Systems (CRS). 12/15/86 Economic Impact Statement and fact sheet relating to the denial of Stage 1 exemptions for aircraft needing U.S. maintenance. 12/16/86 Position paper on the need for exemptions to be granted to allow Stage 1 aircraft to operate in the U.S. for maintenance purposes. 1987 01/27/87 02/10/87 02/11/87 02/18/87 02/18/87 02/25/87 03/06/87 Aviation Infrastructure Roundtable (AIR) Spokesperson speech. Editorial for Airport Highlights: Argues against scheduling discussions to reduce delays. Position paper arguing against scheduling discussions to_ reduce delays. Position paper on the Japanese Bilateral. Critique of an article by Carl Rowan entitled "Sinking Airline Service." Position paper for Aviation Infrastructure Roundtable (AIR) on the issue of the shortage of airport capacity. Speech to Association of General Contractors (AGC) convention on the issue of the shortage of airport capacity. SEOPW 1 CR.A E ,, 14 0 OOP -LICRA 03/12/87 Position paper on the shortcomings of Federal Aviation Administration (FAA) management. 04/10/87 Critique of Wall Street Journal article on aircraft delay. 04/10/87 Position paper on statements made by Senators Lautenberg and Weicker with regard to air transport taxes. 04/15/87 Position paper on the U.K. bilateral. 04/30/87 Position paper on Argentina frequency allocation proceeding. 05/16/87 Speech to Airport Operators Council International (AOCI) ("Brazil" speech) arguing for greater emphasis to be placed on broader economic implications of an exchange of air service rights. 06/25/87 Position paper expressing support for legislative language which would impose a maximum 45 minute clearance time for all international arriving passengers and which would provide for the testing of drug detection devices. 07/17/87 Position paper supporting the eligibility of Centralized Customs Examination Stations for Airport Improvements Program (AIP) funding. 09/11/87 Position paper on draft International Air Cargo Study. 10/15/87 Testimony before House Investigations and Oversight Committee on the International Air Cargo Study performed by U.S. Department of R. Transportation (DOT). 11/13/87 Position paper on the application of rules at air shows. 11/13/87 Position paper on the Mexican bilateral. 11/24/87 Position paper on codesharing, legislative language. 12/07/87 First draft of revised Federal Aviation Regulations (FAR) Part 150 program. gi& 12/31/87 Position paper .on British Airports Authority (BAA) user charges dispute that resulted in a favourable arbitration ruling and the payment of damages to US carriers totalling 29 million dollars US. 1988 01/04/88 Comments on Reason Foundation airport privatization paper. Swim I CPA 15 ONm / CRA; 01/07/88 Third Draft Stage 2 Aircraft Replacement Incentive Program. 02/01/88 Fourth Draft Stage 2 Aircraft Replacement Incentive Program (ARIP). 02/29/88 Draft Airport Compatible Protection Zone Program regarding airport aircraft noise. 03/11/88 Position on Office of Technology Assessment (OTA) Safety Study. 03/18/88 Position paper on airport role in air service agreement regarding procedural matters and negotiation strategies. 04/15/88 Testimony before House Appropriations Committee on Customs ,s budget for FY 1989. 04/21/88 Position paper on on-line preference algorithms for Computer AN Reservation Systems (CRS). 04/28/88 Position paper on Office of Technology Assessment (OTA) Safety Study. 04/31/88 Position paper on draft U.S. International Cargo Policy Statement. 05/03/88 Position paper on Computer Reservation System (CRS). 05/04/88 Speech to International Air Cargo Forum. 06/21/88 Speech: "Paying for Space" before International Air Transport Association (IATA). 06/29/88 Speech: "International Passenger Peaking" Airport Operators Council International (AOCI). 06/30/88 Speech: 'CRS and Codesharing' Airport Operators Council International (AOCI). 06/30/88 Speech: 'Impacts of Deregulation on Airports" Airport Operators Council International (AOCI). 07/11/88 Speech: 'Market for Airport Access' CATO Institute. 07/15/88 Position papers on the Air Carrier Smuggling Prevention Program. 07/18/88 Position paper on the Japanese bilateral. 07/18/88 Position paper on the Air Carrier Smuggling Prevention Program. 08/01/88 Position paper on U.S. International Cargo Policy. SEDP,W1cm 9 • •Zf1 rental companies. 03/06/89 Position paper on the proposal for a Passenger Facility Charge. 03/15/89 Speech: "Airports, the communities they serve and the bilateral negotiations process in international air service." 03/20/89 Position paper on the alternatives for phasing out Stage 2 aircraft operations. 03/29/89 Position paper on the U.S. Department of Transportation (DOT) Study of St. Louis air fares. 03/30/89 Position paper on the Customs Notice of Proposed Rule Making relating to the Drug Bill. 03/30/89 Position paper on the British Airports Authority (BAA) arbitration. 04/17/89 Position paper on U.S. International Aviation Policy. 05/16/89 Position paper on the phasing out of Stage 2 aircraft operations and on U.S. International Aviation Policy. 06/29/89 Speech: "The Capacity Challenge" Brookings Institute. SEOI>wI CRA 18 0� � a CRA, V. REFERENCES (PROVIDED UPON REQUEST) Beyond the realm of airport management, Richard H. Judy has been at the forefront of developing and implementing industry wide practices and policies that have shaped the development of the air transportation industry. He is well known for the positions he has developed on such issues as airport environmental impacts, airline competition policy, airport capacity and congestion policy, international aviation policy, airport development policy, federal inspection policy, narcotics interdiction policy, airport charges policy, and airport funding policy. For the. past ten years he has become known as a prominent and even handed spokesman for the public interest in these and other matters. Many of Richard Judy's accomplishments are the result of his abilities as a negotiator. His shrewd sense of negotiating has led him to be requested on numerous occasions to represent his community, his peers, his industry, and his country on almost every aspect of aviation. Mr Judy is personally responsible for these developments. His innovative management talents have made many of these developments successful where others have not even attempted. He has the reputation of schematically designing all facilities himself before turning them over to architects for final design execution. He has the reputation for finding new and cost effective ways of testing designs before going into the architectural and construction stages. For example, new taxiway and lighting configurations, at Mr. Judy's suggestion, were tested by professional pilots by reprogramming aircraft simulators with each configuration, safeguarding millions from having to be spent in the event the "drawing board" configurations proved to be impractical. He has the reputation for innovation. He constructed a tunnel under a runway where the water table is a mere three feet below ground level. He shifted an entire runway 150' laterally to make room for a needed parallel taxiway and the extension of several concourses to provide increased capacity. Industry planners had failed to find a solution to the problem. He has been sought by the National Academy of Sciences to help develop the specifications for Computer Aided Design for buildings. He has received numerous design and construction awards for facilities that vary in purpose from a heliport to a duty free shop. Mr. Judy has developed the commercial operations and airport integrated building and use systems and related user services of Miami International Airport to the point where many consider the airport at the most successful and advanced airport in the world. This achievement has been accomplished by innovative thinking, prudent business management and entrepreneurial skill not usually associated with public enterprise. SE{�Pw f CltA- 21 kr. AW OM%/ CRA►, M . Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance June 8, 1994 The following lists, is not particular order, the major word produced during the past 19 months effective October 1992. Passenger Terminal Building Level Changes & Redesign This fundamental project achievement evolved out of a series of critical functional reviews of the then current terminal functional design including all airport service systems and their operational and integration requirements. The review played the major AW role in resolving the functional service designs, accommodation and operational issues that the International Air Transport Association (IATA) and the tourism industry, amongst others, found fundamentally unacceptable with the multi -level design and related ground transportation infrastructure then being proposed by the design architect. An extensive list of other functional design concerns of IATA have also been successfully addressed. The current functional systems design direction is now accepted and supported by all airport user groups except several that have been modified by the PAA due to costs. Aircraft Maintenance Services Competitive tender documents completed. Cargo Processing Terminal ■ As above. Aircraft Catering. ■ As above. Aviation Fuel Service System ,- - ■ As -above. Airport Utilities and Services Lead the Authority's commercial planning and negotiation effort with respect to the supply of all utilities and services. - Ramp Handling and Baggage Handling Services ■ Operating position completed vis-a-vis number of operators, scope of services, etc. and is now -ready for the beginning of the license award process competition. ■ The issue of international obligations regarding competitive service providers have - been, addressed and resolved. SEOPWI CRA M Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA - Achievements At -A -Glance - June 8, 1994 Page 2 ■ The policy for airline self -handling has been developed for air. carrier consultation. This impacts on every aspect of the Airport Support Services concerning air carrier ground handling activities from passenger check -in to aircraft push back. Airline Operations ■ A major, global airline consultation document has been prepared and issued to Al Kai Tak airline users. ■ The consultation process, which will take 9-12 months, will shape all airport operational aspects for many years including the Airport Charging Schedule, related cost basis for formulating the Airport Charges and rates of return on equity and net assets for future development. The conclusions will form the bedrock for operational and airline commercial policy and Airport Charge setting that complies with international obligations concerning their fairness and reasonableness and the level of economic retum to the Authority. This includes related matters for complying with Government monitoring and approval processes involving Airport Charges. The draft use agreement to be entered into with the air carriers for the use of airport facilities and exclusive accommodation has been completed and will be issued for consultation with air carriers. Retail and Catering Services ■ Completed the terminal commercial space planning exercise while at the same time never compromising the overall service mission of the terminal. This major airport retail business centre extends over 35,000m2 and represents around 1/3 of total airport revenues: The, commercial space, currently being themed and designed in detail for consideration by.prospective retail licensees, can evolve into a world class retail and catering centre if properly implemented by the Authority and the retail licensees. The task to date was completed in the face of many difficulties from Government customs resistance, to terminal architectural design constraints. Terminal Building Accommodation ■ Lead and completed terminal redesign to accommodate all carrier and ground handling service providers and their data base requirements for use of all Airport systems as needed and to achieve the goal of a cost efficient, quality service world class airport. The task was achieved against a backdrop of a flawed systems integration plan and implementation program regarding the level of C' SBOPW/CPA fl 1 J Provisional Airport Authority of Hong Kong ,. Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 3 Airport systems and related service definition for the efficient operation of the airport service systems and ground handling services and functions. M Landside Development ■ Participated heavily in, and partially lead, the review of the airport island Master Plan options for final design of all operational facilities and functions. ■ Conducted development analyses of hotel, freight forwarding and office complex proposals. ■ Reviewed compensatory cost analyses for airport island land creation in order to achieve a minimum payback scenario and to define costs that play a strategic role ' in revenue returns from related Airport Charges. Fixed Apron Aircraft Support Services An operational policy and design guidance for fixed ground power, pre -conditioned air, potable water, etc. and their related integration into a total Airport System was completed. Completion of the Aerodrome Manual This cornerstone document which is required in order to achieve an aerodrome license from government for the new airport. The manual was written for the immediate use by Kai Tak, who did not have a single, rationalized operational document. Airside Businesses Formulation of Board approved policies for the multi -stage competitive license award process and implementation of the policy to date and was instrumental in achieving the - - Board approved "competitive business policy" and unique license award process. If the process is judiciously administered, and protected from adverse "special interests", it will be one of the key elements of a cost efficient service goal of the Authority. Aviation Fuel Assisted, and as required, lead, 12 Government Departments in issues surrounding the complex commercial requirements concerning competitive open access, strategic fuel supply criteria, site selection, and the marine and environment impact studies etc. Instrumental in achieving Board agreement for the aviation industry's aim of obtaining open access to strategic aviation fuel receiving depots and the fuel hydrant distribution for into plane refueling.— SF®PW l CRA Q1V11`111 C °'- V,. rw MIM Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 4 Cross -field Tunnels and Taxiways 10 Developed a new scheme and functionally lay out, to eliminate one of the two proposed cross -field vehicular tunnels. This created both space, that was needed for ground handling services, and substantial cost savings by constructing only one tunnel at this time. This realigned tunnel now greatly improves mid -field functional service flexibility for the "Y" and future "X" concourses (for competitive ground equipment maintenance, refuse services etc.). while retaining all terminal frontage aircraft stands. It provided an alternative and more efficient air traffic control tower site and the efficient use of land along with the ability to safeguard a commuter and regional aircraft passenger terminal that will maximize the use of existing terminal 1 infrastructure and airfield efficiency during peak periods. It may also delay the need for the "X" terminal requirement. Terminal Baggage Handling and Processing Assisted Engineering Department with design review and communication with IATA. This related to the functional capability of the proposed system, operational aspects, alternative security screening, bag transfer design, system expansion philosophies and system integration requirements with other Airport Systems and its master data base. Passenger Terminal Government Accommodation Successfully rationalized and negotiated with various Government terminal service provides the relocation of over 5,500m2 of their assigned space that was in the prime commercial revenue generating areas of the terminal: Immigration Operational Areas Convinced a very reluctant Director of Immigration, and in turn his policy Branch and _ central. government, that their preferred .centralized terminal immigration processing arrangements were functionally inefficient. The views of the Director -were revised and immigrations is now a major ally of the Authority in all immigration related issues. This achievement can be measured by the retention of landside and airside retail/catering areas and the creation of passenger transfer areas that were either non . existent or under " designed. MD Revenue & Operating Costs - Forecasting and Budgeting A critical review of the professional prepared revenue forecasts was completed, which resulted in many reservations concerning specific revenue targets set forth therein and the assumptions used in the forecasts. Ongoing revised forecast, subject to commercial negotiation of airport support licenses, were produced and passed to Strategic Planning SEOPW/CRAl _ `� Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA - Achievements At -A -Glance - June 8, 1994 Page 5 and Finance. In addition, a computer program was devised to centralize all revenue and cost assumptions to achieve a "real time" forecast update when any assumption is reviewed. This is a critical tool for sensitivity analysis and developing substitute revenue targets. Transfer Passenger Arrangements Corrected major terminal design aspects throughout the concourses. The architectural design and related functional areas being proposed would not have functioned given the number of passengers involved and the physical passenger flow characteristics. - Airfield Fire Fighting System Advised Project's infrastructure group of the potential major capital savings without abrogating airport safety requirements, of an alternative system. Potential Commuter Aircraft Terminal By relocating airport support services to the mid -field area, the opportunity now arises to develop, now or in the future, a cost-effective transfer to the West of the "Y" concourse. It is firmly believed that these services (up to 150 pax.) to the PRC will be a major market driver in the future. This is especially so, with pre -clearance possibilities, to lesser served airports in China. Two conceptual safeguarding schemes have been completed which, could provide in its final phase up to 25 aircraft parking positions, handle 3,000 pax. per hour, directly linked to the terminal APM and baggage handling systems. Aircraft Apron Stand Road Layout Corrected a potentially flawed ramp design and operational approach to apron vehicle circulation routes which if followed would have resulted in serious congestion and in efficient ramp operations. More importantly this would have resulted in the inability to meet published flight schedule times which is the cornerstone of airline, and airport, competitive strategies. Policy Positions on Support Services Agreement with the Independent Commission Against Corruption (ICAO) on the general approach to the award of all airport licenses on the basis of a fair and non-discriminatory approach. The approach recognizes that the historic tender process for retail concessions, etc. is no longer workable or desirable. «" " OrW/CRA L` 0 4Ali'M / CR I, M Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 6 Airport Passenger and Related Traffic Forecasts Achieved an agreement with IATA that long running forecast issues should be set -aside and replaced by forecast reviews, simulation exercises, information sharing and a commitment from the Authority to review expansion phasing strategy with new forecasts. Assisting the Authority with key forecasting scope requirements and the selection and ultimate management of a major traffic forecasting .consultancy concerning landside traffic and the commercial interests of the Division. Airport Security Systems Initiated and chaired the new airport security planning committee and airport membership of the Government Security Committee. The aim was to procure a cost effective and security efficient airport system(s) that addresses the level of security threat that Hong Kong represents. This includes the cost benefit to risk assessment of security infrastructure; a most difficult task and extremely costly to the Authority and air carriers if not carried out in earnest. In this regard prepared a revised security program for the new airport for submission to Government for their review and consideration in developing the Hong Kong Airport Security Program for compliance by all air carriers and users of the Airport. In addition, continual review of the design architects proposed terminal security screening systems including identification of major cost saving areas e.g. CCTV and required system integration to assure efficiency of operation and reduced costs. Aircraft Terminal Frontal Gate Positions — _ Lead a design effort -to achieve an all 747400 aircraft frontal gate terminal design. Such a design is a first for an international airport of this size. M Airport Rates, Fees and Charges Developed a policy and charging mechanisms to devise and achieve fair rates, fees and N charges for airport commercial activities and services and that are structured to compete against any regional Airport if implemented as recommended. Helicopter & Executive Aviation Services Completed a draft functional layout for the joint utilization of these two services with the m Government Flying Service Dept. for the apron area, a goal that should be achieved in f CPA,,. N Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA - Achievements At -A -Glance - June 8, 1994 Page 7 order to develop efficient aircraft ramps and reduce costs to both Government and the Authority. Integrated Ground Transportation Service Centre Following a critical review of the terminal design architects ground transportation proposals in relation to the planned in -terminal heavy rail transportation station (MTRC) connecting the Airport with the Hong .Kong commercial districts, lead the study, with ' Engineering, to completely redesign the ground transportation services and related infrastructure. This involved locating Terminal 2, relocating the MTRC station outside of, but midway between, both terminals and centralizing all other transport mode infrastructure in a largely airconditioned environment. This exercise finally addressed the needs of the airline industry, the tourism industry, ground transportation service providers, MTRC (initially a reluctant party), airport users " and now provides the potential to create the gateway image the community expects. This conceptual scheme is now under detailed design. Government Standalone Facilities Completed a review of government land requirements with a view to minimizing the lost of revenue generating land and land eventually required for external airport services. Private Treaty Land Grant ■ Drafted a wide ranging internal position paper concerning the impacts of the proposed land grant terms and conditions on the ability of the Authority to manage its affairs and -its statutory obligations concerning the provision of air - - transportation services for Hong Kong. ■ Prepared a -position paper for negotiations with Government concerning: - land classifications; - classification development value; - gross developable space calculations; - development phasing; - town planning and development plot ratio issues; - initial and future land premia; and - lead the rebuttal of Government's land development proposals. Airport User License Agreement SE®PWICRA rN WYM /ClIA Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA - Achievements At -A -Glance - June 8, 1994 Page 8 Prepared a draft user agreement for air carrier use of Airport Facilities ad for the assignment of terminal accommodations to all carriers. It will shape the overall Airport Charges and all carrier terminal use policy of the Authority as it relates to international obligations and future air carrier contract relationships for accommodations to provide their air transport activities in an efficient and competitive manner. Mass Transit Railway Corporation ■ Negotiated the commercial agreement for the railway system. ■ Contributing extensively to the design and operational concept and how to provide all functional aspects of the airport and downtown requirements for the potential in -town check -in system. Airport Signaae and Graphics Defined and located all of the critical primary airport signage and graphics program; an issue which was in danger of evolving into an operational morass. The program takes signage and graphics from the MTRC stations; on -board the trains; and from the Lantau Expressway to the aircraft door. Waste Management Carried out a detailed assessment of the waste management and associated rodent control measures which should be adopted during airport design, construction and operation. Items addressed and conclusions recommended were: - Detailed re -assessment .of current waste quantities both generated at Kai Tak and _ from surveys of prospective licensees; thereafter projected to the new airport. - Concluded that the proposed on -island refuse transfer station may probably not be required, a capital saving of over $80M. - Resolved, with Government's control agency, the requirements to transship terminal waste from airside to landside. - Identified terminal waste collection and transfer areas. - Identified a minimum level of waste collection and compacting facilities required. - Proposed measures to control rodent infestation at the various stages of the airport project. - Business Plans Prepared the PAA long term Business Plans for all of the major ground handling service licenses. This including the strategy for developing cargo, passenger ISEOFWICRAy — �'yy r dr'�i CRAI, w Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to -PAA Achievements At -A -Glance - June 8, 1994 Page 9 12 services, fuel supply, open access, freight forwarding services that will maintain the competitive position of the new airport is truly implemented. Ticket Counters Completely redesign the ticket counters and related service facilities to be provided by such counters. The redesign is a modular design that provides for the future modification as service requirements change and without major interference with air carrier operations. The new design incorporated the air condition for the check -in area and thus eliminated numerous stand alone air conditioning delivery systems throughout the passenger movement corridors and staging areas of the departure area of the terminal. 1haiulhong koag 09/19/95 11:05am SEOP` I CRA • 0 r.t O1V11 I / CRA! PROMOTION OF WOMEN IN THE WORK PLACE 1959 Appointed a woman as Chief Fiscal Officer of the Dade County Port Authority which at the time was the highest management position held by a woman in Dade County government. 1962 While Comptroller of the Florida DOT, appointed a woman to the first ever management position. Strange as it may seem, this appointment at first was not well accepted by other women in the DOT who were then limited to the position of secretary. 1968 + As Deputy Director of the Dade County Port Authority (Aviation Department), appointed a woman as Comptroller, the highest executive position at that time in Dade County government. When becoming Director of MIA, appointed a woman as the Chief Financial Officer of the Aviation Department. Employed women out of college in key management intern positions for placement in the Aviation Department and in other areas of county government. Employed numerous women college students to summer intern positions. Required the "Big Eight" firm responsible for the multi- million dollar accounting and management services contract at MIA to promote a woman to be in complete charge of all their MIA contract services. During this period, she developed her talents and broadened her knowledge and experience with extensive help from me. She has since become a full partner at her firm and continues to manage the MIA contract today. Required that a woman attorney of a major Washington D.C. law firm be in charge and fully responsible for all MIA legal work in D.C. which involved close to -a million dollar in services. This position made it possible for her to receive speaking engagements and other exposure concerning the work product she performed for the Aviation Department and to obtain other new clients. While Aviation Director at Miami International I appointed women to the following additional positions: - Supervisor (now manager) of the MIA public parking - 1 SE&WICAA .t facilities Chief of the Architectural Division Chief of Terminal Operations Contract services now responsible for all Terminal Operations Chief of Passenger Support Services within the International Terminal custom facility and the Visitor's Reception Center - Promoted a black woman to head the Personnel and Administrative Services Division of the Aviation Department. There never was the slightest instance of female harassment within the Aviation Department and I received numerous applications from women working in Dade County government for transfer to the Aviation Department. In addition, on numerous ` occasions many women in government and in the private sector thanked me for the road I was paving for women in the work place. Selected the first black woman firm to manage and operate a terminal concession and required that women be given management responsibility in numerus key terminal service and concession contracts. As a member of the Executive Board of the Airport Operators Council International (AOCI) (serving over 250 international airports), successfully lobbied the appointment of a woman as Deputy Executive Director and made possible the employment of women in other responsible positions within AOCI. As Chairman elect of AOCI, appointed the first woman to head a major AOCI Standing Committee. After retiring from MIA, I was involved in assisting a woman (that I appointed as comptroller of the Aviation Department) to be"appointed the Deputy Director of Fort - Lauderdale Airport, the highest Airport appointment in Florida. Prior to retiring, I had reclassified the Comptroller position to an Assistant Director position which at the time would have been the only Assistant Director position in the U.S. held by a woman. I aggressively assisted career women that moved into the public sector with professional references and continue to do so today. 2 SEOPW/CRA t t, 0 — n� L, I l CRAou-' 0 1990 Since starting Judy & Associates, I selected a newly _M formed Washington D.C. firm owned by a woman to join me as a contract associate to be a part of my first contract to develop the cargo market for the Kansas City Airport. I did the same for a concession study at Philadelphia Airport. Neither of these decisions by me were prompted by a contract requirement of the respective airports. Recommended successfully and am currently negotiating a contract on behalf of the Fort Myers Airport with a 50% woman owned firm to perform an air service marketing contract that would easily involve compensation in the range of $200,000 for this firm over the next three years. Presently negotiating a contract with a woman associate to perform commercial development services at the Freeport Bahamas Port Authority. Scheduled on June 11, 1992 to receive an award from the FAA at the National Conference of Disadvantages Business Enterprises and Women Minorities in Atlanta, Georgia. This organization was begun at my suggestion and I helped draft the first bylaws for the proposed national organization. I am advised that the award I am to receive is in appreciation for all the contributions I have made in developing unique programs for women and minorities to enable their participation in airport �w business opportunities that were thereafter used by the FAA as examples for assisting DBEs throughout the nation's airports. I assigned a woman executive assistant to me to assist on a day to day basis the FAA Southern Region office responsible for DBE and minority compliance regulations. AW Currently assisting and advising gratis a woman owned firm in seeking architectural service opportunities throughout the United States. Assisting a Afro-American owned female minority firm in Washington D.C. to be 'successful in bidding on airport concession opportunities. I am providing these services at fifty percent of my hourly fee when it is -necessary for me to go to Washington D.C. to assist in preparing a response to a RFP. I accept speaking requests at conferences to assist DBEs in how to grow their businesses at Airports and to respond to Requests for Proposals from Airports. Finally, I encouraged by daughter to seek an appointment to the U.S. Navel Academy during the early years of the 0 3 SEOPW/CRA AA I new women admission mandate. She received an appointment on her merit and sacrificed a great deal to help pioneer the acceptance of women at the Academy which disgracefully has a long way to go. Because of the extreme harassment by her male peers and the neglect of her superiors, she left the Academy after her second year. I have not discussed my efforts to promote and keep the families together of certain Afro-Americans ;and other minorities) who worked for the Department in both labor and skilled positions when they became involved in drugs. I personally dealt with each case and permitted no dismissals without first having made every possible effort to help them. 4 SEOPWICRA F_ r 0 `+ w Iry Olaf I CRA M ,C\t4 Rviotiof) DP_ Dick Judy Frederick Steps Down as Aviation Director; Elder Named Interim Director After 18 years as Dade County Aviation Director, Richard H. Judy announced April 28th that he will be taking early retirement. Judy will serve as a special assistant to County Manager Joaquin Avino working to develop new international air service among other special pro- jects until ' January when he will take full retirement, after 30 years of public service in Florida. County Manager Avino an- nounced the creation of a national search committee for a new aviation director and appointed Frederick Elder, Airport Deputy Director of Governmental Affairs, as interim director of the Aviation Department until a permanent - director is chosen. _Ju-dy, 57, became director -of the Aviation Department in 1971 and b oversaw booming growth at the nation's eighth largest passen- ger airport and the world's sixth largest international cargo airport. During his tenure, passengers more than doubled from 11.1 million in 1971 to 24.5 million in 1988 and cargo grew from 289,000 tons to 757,000 over the same period. With a 'national reputation as a dynamic and unconventional in- novator, Judy was recognized as a legend in the aviation industry for his aggressive style of airport management. He shunned then- Richard H. Judy traditional . airport financial operating practices and converted long term exclusive -use leases to short term operating leases. He retained control for the airport of many commercial activities such as the airport hotel, restaurants, duty-free shops and retail stores opting to run them through airport management agreements instead of contracting them out to concessionaires. Judy was the first airport director to use tax exempt commercial paper to finance airport expansion and was the first airport operator in the nation to provide child care services for airport and air- line employees at an on -airport Jocation. ,. Rederich Elder Interim Aviation Director As a result of his management innovations, quality and variety improved, levels of service improved and revenues soared. Since the airport is totally self-financing, both in operations and construction, these revenues allowed construction projects to keep pace with cargo and pas- senger growth, while airline costs were kept low, encouraging more airline service to Miami. "Judy is a total innovator who is recognized around the world. He's done a tremendous amount of good. He will be sorely missed," (Continued on back page) omm a CRA, 3LI U VIi YA ri I (Continued from page 1) said Phil Bakes, president of Eastern Airlines. Judy first served as comptroller for the Dade County Port Authority in 1959, the forerunner of the Aviation Department and then spent several years with a private accounting firm. In 1961 he went to Tallahassee as comp- troller for the state road department, returning to the aviation department as deputy director in 1967. He was ap- pointed aviation director in 1971. "I feel that my greatest ac- complishment in making Miami International Airport a top-notch facility is the staff I have been able to put together. The team that runs this airport is what really makes it tick. I know they are going to continue the first- rate job they've been doing," Judy said. The selection committee for a new aviation director will be chaired by Armando M. Codina, president of the Codina Group, Inc. and chairman -elect of the Greater Miami Chamber of Commerce. Other members of the search committee include: former Coun- ty Manager Ray Goode, president of the Babcock Company; Arthur Hill, president of People National Bank; Carmen Lunetta, director of the Seaport; and Assistant County Managers, Cynthia Curry and Anthony Clemente. Since 1968, when Dick Judy returned to MIA as deputy director, the airport has undergone tremendous growth: 1968 1988 Passengers (in millions) 9.5 24.5 domestic 7.0 15.1 international 2.7 9.4 Cargo 194,000 tons 757,000 tons domestic 78,000 165,000 international 116,000 592,000 Airline Service scheduled airlines 37 83 domestic 15 35 international 22 48 European Destinations with non-stop service 0 12 Bond Rating B+ A+ Aircraft Gates 74 110 international arrival gates 8 22 Terminal Size 0.6 m. sq. ft. 2.8 sq. ft. Structural Auto Parking 500 7,200 Book Value of Facilities $300 mil. $1 billion Total Operating Income $13 mil. $235 mil. Operating income per passenger $1.37 $9.71 Commercial Passenger Revenues $4 mil. $72 mil. — - Miami Intemational Airport — P.O. Box 592075 • Miami, Florida 33159 , SEOP !! /,! .A % CRA, 0 .) tVl1v a *; _p ;Q RICHARD H. JUDY Principal Consultant Richard H. Judy provides to both the private and public sectors, through his internationally recognized experience and talents, a broad scope of management consulting services concerning all aspects of the airport management, organization s� structure, airport transportation infrastructure, and airport related commercial and operational services and systems. The services involve all aspects of the airport transportation infrastructure and the development of an airport master database for the integration of airport software communication databases of various airport systems to ensure efficient and cost effective airport operations, maintenance, safety, and services to the users of the AW airport. I His services also include the commercial development of transportation infrastructure; partial and complete asset and management privatization (such as catering, fuel, line maintenance, ramp handling and cargo services provided by licensees); performance and productivity analysis of the existing infrastructure and services; conceptualization, design, "construction management, marketing, leasing and performance analysis of new or existing transportation services and other commercial projects and services; financial planning; commercial opportunity responsiveness analysis; air service and related infrastructure marketing and development; functional and economical analysis of facilities master plans and design schematics to maximize function and service, revenues and the economical use of space; analysis and reorganization of airport and airport system organizations to maximize the performance value of management and of the services provided while minimizing operating and capital costs; air route development and air carrier passenger and cargo service marketing; concession planning and creation of new terminal marketplaces for passenger consumer products and services; airport user charges development schemes to maximize revenues while complying with international treaty obligations; developing and financing of revenue producing non - aviation industrial projects using surplus airport property and airports which are structured to be unencumbered by existing debt agreements and airport use agreements with air carriers. y SB®PW/CRA y t• A 2 v.LL�Pii Ci�t� RICHARD H. JUDY PRINCIPAL CONSULTANT R SUMMARY OF PROFESSIONAL PROFILE Richard H. Judy is the former Director of the Dade County Aviation Department, operator of Miami International Airport and five other county airports. y Mr. Judy guided the Miami international airport aviation system through a challenging twenty year period of change and passenger, cargo, commercial and net revenue growth that is continuing today under a new management team. Miami International Airport during this period ranked among the top ten airports of the world in terms of total annual passengers served and tons of cargo handled, and for its ability to generate commercial revenue while maintaining an internationally recognized low operating cost environment for its air carrier service providers. Mr. Judy began his career after receiving a Bachelor of Business Administration degree from the University of Miami in 1953, and has pursued extensive post- graduate studies in law, taxation and related subjects. During the early part of his career, he accumulated.a vast amount of experience in financial management and commercial development in the private sector and in various local and state government positions. In 1967, he became Deputy Director of the Dade County Port Authority, precursor of the Dade County Aviation Department, and was appointed Aviation Director in 1971. Mr. Judy is known throughout the worldwide aviation community, and is highly respected for his skills as a manager, planner, negotiator, financier, developer of SWIM CRA — 3 oNm i CRA►, I El- -V cost efficient airport commercial projects systems and project management. He is consulted by airports and related industries in regard to every aspect of terminal, airside and landside functional design and the development of cost efficient airport services system and the integration of such system for the efficient use by all users of the airport as and when needed. This has been clearly confirmed by his dual interim appointment as Commercial Director and Operations Director of the Provisional Airport Authority of Hong Kong for fifthteen months for -the most cirtical design and commercial development period of the new Hong Kong Airport. He has been recognized in a profile on his business acumen and accomplishments in Forbes Magazine. -For his development of the Miami International Airport's master plan and related integrated functional and cost efficient building system, Richard Judy won the prestigious annual Wright Brothers .Award. He has since received .40 numerous commendations and awards. Among these are the Bill Pallot Award of M the International Center of Florida for his contributions to international trade and commerce and the Max Schumacher Memorial Award of the Helicopter Association International for his contributions to the development of a regional helicopter infrastructure. In addition, he was chosen Public Official of the Year by the Industrial Association of Dade County in 1986, and was honored by the Greater Miami Chamber of Commerce in September of 1986 '[i]n recognition of his vision, ingenuity and business acumen in making Miami International Airport the best and most cost efficient, and competitive in the world." Richard Judy has distinguished himself through his total commitment to the development of efficient airport systems and services. He is well known for his success in transferring control of the use of all airport infrastructure and the rates, fees and charges related to such infrastructure use from the air carrier tenantsragd ; J -� __. SEOPWICRA OiVD;I/ C A 40 third party service providers back to airport management in order to maximize the airport's ability to control airport costs and to provide air carriers with operating facilities when needed and at competitive user charges, thereby providing a vibrant E -00 and competitive air service market place for the benefit of the airport's passenger and cargo users and the gross product of the region the airpot serves. He was Chairman Elect of the Airport Operators Council International; serves on a special committee within the Academy of Sciences to advise the U.S. Secretary of Transportation on matters concerning air transportation safety and the development of explosive detection systems for baggage, aircraft and passengers; Chairman of the Public Facilities Council, Building Research Board of the National Academy of Sciences concerning the integration of airport building management systems for the improved efficiency and services of airport terminal for its users; Chairman of the .� U.S. Aviation Infrastructure Roundtable; Trustee of the U.S. Greater Miami Chamber AM of Commerce; Member of the Export Finance Advisory Commission of the state of Florida, and served on the Executive Council of the Institute for Transportation, American Public Works Association; Member of the U.S. Anthony Commission on Airport Finance; Member of U.S. Airline Transport Association (ASA) Industry Task Force, Noise/Access Working Group; Member of World Board of the International Civil Airports Association; Member of the U_S. Department of the Treasury Advisory Group on Commercial Operations of the U.S. Customs Service (appointed by the U.S. Secretary of the Treasury) concerning the development of policies that expedite the movement of, ..passengers and cargo through the customs clearance process using advanced integrated airport systems; Member of Immigration service Advisory Group on User Fees (appointed by the U.S. Attorney General) involving the +wa { policies and procedures for moving passengers through the immigration clearance « process using advanced airport systems integrated with air carrier passenger M 5 ow f CRA k., `f - M= databases. Since. leaving his public service career, he has completed 20 months of work for the Provisional Airport Authority (PAA) of Hong Kong as a secondee from his consulting firm. As mentioned, he held the dual positions as Commercial Director and Operations Director for fifteen months and was a consultant to the Chief Executive Officer of the PAA for the last five months. An at -a -glance summary of his achievements for PAA is attached. SEOPW/CRA (Y. 6 OMI�I/CRA No sE Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance June 8, 1994 The following lists, is not particular order, the major wora(produced during the past 19 months effective October 1992. Passenger Terminal Building Level Changes & Redesign y' This fundamental project achievement evolved out of a series of critical functional reviews of the then current terminal functional design including all airport service systems and their operational and integration requirements. The review played the major role in resolving the functional service designs, accommodation and operational issues ' that the International Air Transport Association (IATA) and the tourism industry, amongst others, found fundamentally unacceptable with the multi -level design and related ground transportation infrastructure then being proposed by the design architect. An extensive list of other functional design concerns of IATA have also been successfully addressed. The current functional systems design direction is now accepted and supported by all airport user groups except several that have been modified by the PAA due to costs. Aircraft Maintenance Services Competitive tender documents completed. Cargo Processing Terminal ' ■ As above. Aircraft Catering ■ As above. Aviation Fuel Service System - ■ As above. Airport Utilities and Services Lead the Authority's commercial planning and negotiation effort with respect to the. supply of all utilities and services. Ramp Handling and Baggage Handling Services ■ Operating position completed vis-a-vis number of operators, scope of services, etc. and is now -ready for the beginning of the license award process competition. ■ The issue of international obligations regarding competitive service providers have been, addressed and resolved. SEOPW/CRA l/w"i i✓t`A, r t ter Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 2 ■ The policy for airline self -handling has been developed for air carrier consultation. This impacts on every aspect of the Airport Support Services concerning air carrier ground handling activities from passenger check -in to aircraft push back. Airline Operations ■ A major, global airline consultation document has been prepared and issued to all Kai Tak airline users. ■ The consultation process, which will take 9-12 months, will shape all airport operational aspects for many years including the Airport Charging Schedule, related cost basis for formulating the Airport Charges and rates of return 'on equity and net assets for future development. The conclusions will form the bedrock for operational and airline commercial policy and Airport Charge setting that complies with international obligations concerning their fairness and reasonableness and the level of economic return to the Authority. This includes related matters for complying with Government monitoring and approval processes involving Airport Charges. The draft use agreement to be entered into with the air carriers for the use of airport facilities and exclusive accommodation has been completed and will be issued for consultation with air carriers. Retail and Catering Services ■ Completed -the terminal commercial space planning exercise while at the same time never compromising the overall service mission of the terminal. This major airport retail business centre extends over 35'00Om2 and represents around 1/3 of total airport revenues: The commercial space, currently being themed and designed in detail for consideration by prospective retail licensees, can evolve into a world class retail and catering centre if properly implemented by the Authority and the retail licensees. The task to date was completed in the face of many difficulties from Government customs resistance, to terminal architectural design constraints. Terminal Building Accommodation ■ Lead and completed terminal redesign to accommodate all carrier and ground handling service providers and their data base requirements for use of all Airport systems as needed and to achieve the goal of a cost efficient, quality service world class airport. The task was achieved against a backdrop of a flawed systems integration plan and implementation program regarding the level of M E3 Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 M Page 3 Airport systems and related service definition for the efficient operation of the w. airport service systems and ground handling services and functions. Landside Development ■ Participated heavily in, and partially lead, the review of the airport island Master Plan options for final design of all operational facilities and functions. ■ Conducted development analyses of hotel, freight forwarding and office complex proposals. ■ Reviewed compensatory cost analyses for airport island land creation in order to achieve a minimum payback scenario and to define costs that play a strategic role in revenue returns from related Airport Charges. Fixed Apron Aircraft Support Services An operational policy and design guidance for fixed ground power, pre -conditioned air, � potable water, etc. and their related integration into a total Airport System was completed. Completion of the Aerodrome Manual This cornerstone document which is required in order to achieve an aerodrome license from government for the new airport. The manual was written for the immediate use by Kai Tak, who did not have a single, rationalized operational document. Airside Businesses Formulation of Board approved policies for the multi -stage competitive license award process and implementation of the policy to date and was instrumental in achieving the - Board approved "competitive business policy" and unique license award process. If the process is judiciously administered. and protected from adverse "special interests", it will be one of the key elements of a cost efficient service goal of the Authority. Aviation Fuel Assisted, and as required, lead, 12 Government Departments in issues surrounding the complex commercial requirements concerning competitive open access, strategic fuel supply criteria, site selection, and the marine and environment impact studies etc. Instrumental in achieving Board agreement for the aviation industry's aim of obtaining "open access" to strategic aviation fuel receiving depots and the_fuel hydrant distribution for into plane refueling. SEOPW/CRA► 6 i 1 + yy V th 00 Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 4 Cross -field Tunnels and Taxiways Developed a new scheme and functionally lay out, to eliminate one of the two proposed. cross -field vehicular tunnels. This created both space, that was needed for ground handling services, and substantial cost savings by constructing only one tunnel at this time. This realigned tunnel now greatly improves mid -field functional service flexibility for the "Y" and future "X" concourses (for competitive ground equipment maintenance, refuse services etc.) while retaining all terminal frontage aircraft stands. It provided an alternative and more efficient air traffic control tower site and the efficient use of land along with the ability 'to safeguard a commuter and regional aircraft passenger terminal that will maximize the use of existing terminal 1 infrastructure and airfield efficiency during peak periods. It may also delay the need for the "X" terminal requirement. Terminal Baggage Handling and Processing. Assisted Engineering Department with design review and communication with IATA. This related to the functional capability of the proposed system, operational aspects, alternative security screening, bag transfer design, system expansion philosophies and system integration requirements with other Airport Systems and its master data base. Passenger Terminal Government Accommodation Successfully rationalized and negotiated with various Government terminal service provides the relocation of over 5,500m2 of their assigned space that was in the prime commercial revenue generating areas of the terminal. Immigration Operational Areas Convinced a very reluctant Director of Immigration, and in turn his policy Branch and — - central government, that their preferred centralized terminal immigration processing arrangements were functionally inefficient. The views of the Director -were revised and immigrations is now a major ally of the Authority in all immigration related issues. This achievement can be measured by the retention of landside and airside retaU/catering areas and the creation of passenger transfer areas that were either non existent or under designed. Revenue & Operating Costs - Forecasting and Budgeting A critical review of the professional prepared revenue forecasts was completed, which resulted in many reservations concerning specific revenue targets set forth therein and the assumptions used in the forecasts. Ongoing revised forecast, subject to commercial negotiation of airport support licenses, were produced and passed to Strategic Planning SEOPWA t+RA 0 El Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achieveinents At -A -Glance - June 8, 1994 M Page 5 >a and Finance. In addition, a computer program was devised to centralize all revenue and cost assumptions to achieve a "real time" forecast update when any assumption is reviewed. This is a critical tool for sensitivity analysis and developing substitute revenue targets. Transfer PassenL-er Arrangements Corrected major terminal design aspects throughout the concourses. The architectural design and related functional areas being proposed would not have functioned given the number of passengers involved and the physical passenger flow characteristics. Airfield Fire Fighting System Advised Project's infrastructure group of the potential major capital savings without abrogating airport safety requirements, of an alternative system. " Potential Commuter Aircraft Terminal By relocating airport support services to the mid -field area, the opportunity now arises to develop, now or in the future, a cost-effective transfer to the West of the "Y" concourse. It is firmly believed that these services (up to 150 pax.) to the PRC will be a major market driver in the future. This is especially so, with pre -clearance possibilities, to lesser served airports in China. Two conceptual safeguarding schemes have been completed which could provide in its final phase up to 25. aircraft parking positions, handle 3,000 pax. per hour, directly linked to the terminal APM and baggage handling systems. - — - Aircraft Apron Stand Road Layout Corrected a potentially flawed ramp design and operational approach to apron vehicle circulation routes which if followed would have resulted in serious congestion and in efficient ramp operations. More importantly this would have resulted in the inability to meet published flight schedule times which is the cornerstone of airline, and airport, competitive strategies. Policy Positions on Support Services Agreement with the Independent Commission Against Corruption (ICAO) on the general approach to the award of all airport licenses on the basis of a fair and non-discriminatory approach. The approach recognizes that the historic tender process for retail concessions, etc. is no longer workable or desirable. Owt SBOPW / CItt1 — ..,41 ; CIZA Y -0 4. 0 Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA vAchievements At -A -Glance - June 8, 1994 Page 6 E3 Airport Passenger and Related Traffic Forecasts Achieved an agreement with IATA that long running forecast issues should be set -aside and replaced by forecast reviews, simulation exercises, information sharing and a commitment from the Authority to review expansion phasing strategy with new forecasts. Assisting the Authority with key forecasting scope requirements and the selection and ultimate management of a major traffic forecasting consultancy concerning landside traffic and the commercial interests of the Division. Airport Security. Systems Initiated and chaired the new airport security planning committee and airport membership of the Government Security Committee. The aim was to procure a cost effective and security efficient airport system(s) that addresses the level of security threat that Hong Kong represents. This includes the cost benefit to risk assessment of security uifrastructure; a most difficult task and extremely costly to the Authority and air carriers if not carried out in earnest. In this regard prepared a revised security program for the new airport for submission to Government for their review and consideration in developing the Hong Kong Airport Security Program for compliance by all air carriers and users of the Airport. In addition, continual review of the design architects proposed terminal security screening systems including identification of major cost saving areas e.g. CCTV and required system integration to assure efficiency of operation and reduced costs. Aircraft Terminal Frontal Gate Positions Lead a design effort to achieve an all 747-400 aircraft frontal gate terminal design. Such a design is a first for an international airport of this size. Airport Rates. Fees and Charges Developed a policy and charging mechanisms to devise and achieve fair rates, fees and charges for airport commercial activities and services and that are structured to compete against any regional Airport if implemented as recommended. Helicopter & Executive Aviation Services Completed a draft functional layout for the joint utilization of these two services with the Government Flying Service Dept. for the apron area, a goal that should be achieved in A SBGPWICRA ..-«, . •- y eta 1. ' OiV UA CRA, kr'° aj IM Provisional Airport Authority of Hong Kong Ricliard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 7 order to develop efficient aircraft ramps and reduce costs to both Government and the Authority. Integrated Ground Transportation Service Centre Following a critical review of the terminal design architects ground transportation proposals in relation to the planned in -terminal heavy rail transportation station (MTRC) connecting the Airport with the Hong Kong commercial districts, lead the study, with Engineering, to completely redesign the ground transportation services and related infrastructure. This involved locating Terminal 2, relocating the MTRC station outside of, but midway between, both terminals and centralizing all other transport mode ' infrastructure in a largely airconditioned environment. This exercise finally addressed the needs of the airline industry, the tourism industry, ground transportation service providers, MTRC (initially a reluctant party), airport users and now provides the potential to create the gateway image the community expects. This conceptual scheme is now under detailed design. ' Government Standalone Facilities Completed a review of government land requirements with a view to minimizing the lost of revenue generating land and land eventually required for external airport services. Private Treaty Land Grant ■ Drafted a wide ranging internal position paper concerning the impacts of the proposed land grant terms and conditions on the ability of the Authority to manage its affairs and its statutory obligations concerning the provision of air . - transportation services for Hong Kong. ■ Prepared a position paper for negotiations with Government concerning: - land classifications; - classification development value; - gross developable space calculations; - development phasing; - town planning and development plot ratio issues; - initial and future land premia; and - lead the rebuttal of Government's land development proposals. Airport User License Agreement En SEOPWICRA aJ r; <j — -' . iJ V M MI Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June 8, 1994 Page 8 Prepared a draft user agreement for air carrier use of Airport Facilities ad for- the assignment of terminal accommodations to all carriers. It will shape the overall Airport Charges and all carrier terminal use policy of the Authority as it relates to international obligations and future air carrier contract relationships for accommodations to provide their air transport activities in an efficient and competitive manner. Mass Transit Railway Corporation ■ Negotiated the commercial agreement for the railway system. ■ Contributing extensively to the design and operational concept and how to provide all functional aspects of the airport and downtown requirements for the potential in -town check -in system. Airport Signage and Graphics Defined and located all of the critical primary airport signage and graphics program; an issue which was in danger of evolving into an operational morass. The program takes signage and graphics from the MTRC stations; on -board the trains; and from the Lantau Expressway to the aircraft door. Waste Management Carried out a detailed assessment of the waste management and associated rodent control measures which should be adopted during airport design, construction and operation. W. Items addressed and conclusions recommended were: - Detailed re -assessment -of current waste quantities both generated at Kai Tak and - - from surveys of prospective licensees; thereafter projected to the new airport. - Concluded that the proposed on -island refuse transfer station -may probably not be required, a capital saving of over $80M. - Resolved, with Government's control agency, the requirements to transship terminal waste from airside to landside. - Identified terminal waste collection and transfer areas. - Identified a minimum level of waste collection and compacting facilities required. - Proposed measures to control rodent infestation at the various stages of the airport project. - Business Plans Prepared the PAA long tern Business Plans for all of the major ground handling service licenses. This including the strategy for develop iog,cargo, passenger 8Bp1<°�if / CRA t' _ d r 0ivi1 I Cam.. Provisional Airport Authority of Hong Kong Richard H. Judy Consultant to PAA Achievements At -A -Glance - June S, 1994 Page 9 services, fuel supply, open access, freight forwarding services that will maintain the competitive position of the new airport is truly implemented. Ticket Counters Completely redesign the ticket counters and related service facilities to be provided by such counters. The redesign is a modular design that provides for the future modification as service requirements change and without major interference with air carrier operations. The new design incorporated the air condition for the check -in area and thus . eliminated numerous stand alone air conditioning delivery systems throughout the passenger movement corridors and staging areas of the departure area of the terminal. \Mthhong.kong 09/19/95 11:05am IJ {,wai CRA,