ORLANDO, FL. – Economic relief funds from the Federal government will enable the Greater Orlando Aviation Authority (GOAA) to reduce its bond debt. Following today’s GOAA Board approval, the Authority will earmark $220.8 million for payment of debt service and defeasement of several series of General Airport Revenue Bonds (GARB). Defeasement is the depositing of enough money in a dedicated account so as to be able to redeem or pay off a bond when it is legally allowed to be repaid. Utilization of these Program Funds will benefit the airport, airlines, airport users and ultimately the Central Florida community.
“We are happy that the board took action today, which will help to lower the rates and charges to our airline partners in the near term as passenger traffic recovers from the effects of the pandemic,” said Kathleen Sharman, GOAA Chief Financial Officer. “Lower debt service places the Authority in a better position to access the capital markets in the future.”
This transaction will generate an additional $32.7 million in savings by leveraging the $220.8 million of federal assistance into $253.5 million in debt service savings for the Authority. Under three separate relief packages, Orlando International Airport (MCO) has been allocated a total of $353.4 million.
|CRRSA (2021)||$ 36,372,038|
|Total Program Funds||$353,411,209|
Under these programs, funds can be used to reimburse operating expenses, debt service and capital expenditures. An additional $26.3 million of funding through CRRSA and ARPA has been allocated for relief to airport concessionaires.
The Board accepted CEO Phil Brown’s recommendations to fill two key positions among the Aviation Authority’s executive structure. Judith-Ann Jarrette was approved as the new Director of General Aviation and will assume the leadership role at Orlando Executive Airport (ORL) following the resignation of previous director Cyrus Callum last month. Ms. Jarrette has been with GOAA since 2015, most recently serving as the Assistant Director of Airfield Operations at MCO. She has a Master’s Degree in Aviation and Aerospace Management and served in the Royal Canadian Air Force as an Air Traffic Controller.
Tricia Cottman was also approved as the Interim Director of Risk Management. She has served as GOAA’s Assistant Director of Risk Management since 2020. When the retirement of current department head Deborah Silvers becomes official, Ms. Cottman will move into the Director’s role. Her background also includes more than 20 years risk of management and insurance experience with a stint as Senior Manager of Risk Management for Orange County Public Schools.
The Board also approved the awarding of a Quick Service Food and Beverage Agreement to Orlando F&B Partners LLC. The group will operate a Chick-fil-a at the new South Terminal Complex (STC). The concessions agreement for the 1,209 square-foot store will be for a term of 10 years.
Concession space at the South Terminal is nearly filled with only a few remaining single locations left to be procured.
The information herein is provided as of the dates specified. Due to the outbreak and continuation of COVID-19 subsequent to the date of such information, the information contained herein may differ materially from the current operational and financial data.