Airport expansion could boost Yuma economy

 Thanks to frequent requests from defense contractors for hangar space, imminent expansion of the Yuma International Airport means a likely boost to the local economy, according an official.

  A lot of interest has been expressed in the hangar, said Karl Moedl, president of Yuma County Airport Authority Board.

   "Over the years as YPG increased what they're doing we've had a lot of outside people that want to know if we have the facilities where they can rent, short- or long-term, where they can base some of their operations and work out of here," Moedl said.

  Yuma International Airport broke ground Monday for its new aircraft maintenance hangar to accommodate the airport's growing defense contractor complex. The new hangar is the first for the complex.

  About a dozen people accompanied Moedl for the ceremony for the hangar that is being built on the west side of 40th Street between 4th Avenue Extension and Arizona Avenue. It is expected to be completed in October. Craig Williams, airport director said the $1.8 million hangar will support Yuma County's expanding defense industry.

  "What we try to do at the airport is economic development for the community," Williams said. "This is how we can best provide that added economic value."

  He added the proposed hangar will provide up to 40 high value jobs starting in the $50,000 to $60,000 range. Although no contractors have committed as of yet, prospective tenants include Lockheed Martin Corp., L-3 Communications Corp., which previously did work for the Marines, YPG and the Boarder Patrol as well as hundreds of likely sub-contractors, he noted.

  Despite tight credit markets the new hangar shows the confidence the airport has in Yuma's future as it takes advantage of the opportunities associated with the large military presence, Williams said. And he also said he sees promise in the growth of YPG as the Army re-tools aging inventory and equipment.

  For the past two years the airport has already been upgrading infrastructure, Williams pointed out. One of the reasons this site was selected was because of its access to a taxiway and parking ramp built for $2 million in 2007 and a $2.8 million rehabilitated taxiway completed last year that is also available to commercial airlines.

  The taxiways were backed by FAA funds, which came from fuel tax and airline and passenger-user fees. But the hangar construction is locally funded by Foothills Bank and 1st Bank Yuma. Local architects Nicklaus Engineering Inc. is heading up the design and the local contractor, Lococo Pilkington Construction, is building. Key to getting the funding was that all those involved were local, said Doug Pearson, vice president of 1st Bank Yuma.

  "We're always interested in advancing loans to Yuma businesses and the majority of our loan portfolio is in Yuma or has Yuma connections so the hangar is a perfect fit for us," Pearson said.

  Once the new hangar is leased out it will provide opportunities for other defense contractors to come in. He anticipates the lease will pay for the loan itself.

  "When the defense contractors come in, it's like a snowball effect," Pearson said. "They'll hire people and they will need all the usual services - food, clothing, housing so they'll buy from established businesses."

  Lt. Col. Mark Workman, operations officer for the Marine Corps Air Station Yuma, said this kind of expansion will work well on the Marines' side of operations.

  "There is a wide array of options available for the use of this facility we think will work in harmony with the military," Workman said.

  Within the next 5 to 10 years the F-35 Joint Strike Fighter squadrons will be arriving in Yuma and they will all be based here, he noted.

  "It's an endless opportunity if the airport gets the right people in here supporting our operations - that would be great," Workman said

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William Roller can be reached at wroller@yumasun.com or 539-6858.