MINUTES OF THE
BOARD OF COMMISSIONERS
REGULAR MEETING

Thursday, March 20, 2025

12:00 noon
CIAA Board Room/ 3650 Sen. J. Bennett Johnston Avenue/Lake Charles, LA 70615

ATTENDANCE

Commissioners Present:

Mr. Nora Popillion, President
Mrs. Tuwanna Guillory-August, Vice President
Mr. Charles K. Dalgleish, Secretary/Treasurer
Mr. Bill Hankins, Commissioner
Mrs. Denise Rau, Commissioner
Mr. Lee W. Boyer, Commissioner

Commissioners Absent:

Mr. Tad Martin, Commissioner

Others Present:

Mr. Kevin Melton, Executive Director
Mr. Robert Kleinschmidt, Legal Counsel
Mr. Gerald Theunissen, Consultant
Mrs. Andrea LaFleur, Director of Executive & Airport Affairs
Ms. Loretta Hanks, Director of Finance
Mr. John McMullen, Director of Facilities & Maintenance
Mr. Adrian Boudreaux, Airport Operations Specialist
Mrs. Desiree K. Daigle, Admin. Specialist/Recording Secretary
Mr. Brett Downer, O’Carroll Group
Mr. Russell J. Stutes, Jr., Stutes & Lavergne, L.L.C.
Mr. Tyson Grenzebach, LandLocked Aviation Services, L.L.C.
Ms. Scarlet Sullins, LandLocked Aviation Services, L.L.C.
Mr. Matthew Bruce, Northrop Grumman
Mr. Keith Thompson, Northrop Grumman
Mr. Robert Stanford, Million Air Lake Charles
Chief Joshua Arnold, Centerra
Mr. Chris Wentworth, Allied Universal Security
Mr. Mark McElveen, T-Hangar Tenant

CALL TO ORDER

President Popillion called the meeting to order at 12:00 noon. Following the Pledge of Allegiance, roll was called and a quorum was established as indicated above.

PROPOSED AGENDA

President Popillion requested additions, deletions, and amendments to the proposed agenda and Mr. Melton announced there were none to report.

ANNOUNCEMENTS/REPORTS

Mr. Melton stated that he, Mr. McMullen, and Mr. Theunissen attended the Joint Committee on Transportation, Highways and Public Works Public Hearing on Monday, March 17, 2025, in Baton Rouge, Louisiana. Mr. Melton stated that he gave testimony in support of the Louisiana Department of Transportation and Development (LADOTD) Airport Construction and Development Priority Program (ACDPP) regarding the funding portion of the program. Mr. Melton stated that it is important to take advantage anytime we are able to speak with the legislators to discuss the importance of Chennault Airport. Mr. Melton stated that Representative Ryan Bourriaque, Co-Chairman, State Senator Abraham, Committee Member, and State Representative Tarver, Committee Member were all in attendance. Mr. Melton stated that we had a strong Southwest Louisiana presence.

Mr. Melton stated that he has a very important meeting scheduled today with Lake Charles Police Department Chief Shawn Caldwell, Calcasieu Parish Sheriff Gary “Stitch” Guillory, and Ward 3 Marshal Nate Keller. Mr. Melton stated that he will give an airport overview and guided tour of Citadel Completions and Northrop Grumman. Mr. Melton stated that the meeting will consist of discussing the importance of Chennault Airport and how relationships matter.

Mr. Melton stated that his meeting and previous visit with Mr. Scott Walker, the new President and CEO of the Chamber Southwest Louisiana Alliance Foundation both went very well. Mr. Melton stated that he is pleased to report that Mr. Walker confirmed he will attend the Paris Airshow in June 2025 along with Chennault representatives.

Mr. Melton gave brief overviews of several shared handouts, which included supporting documentation regarding lease negotiations. Mr. Melton stated that moving forward from a business perspective, how we write our leases in the future matters significantly. Mr. Melton shared a breakdown detailing the square footage, number of jobs, the amount of rent received versus how much money we have spent on repairs and Capital Projects for each of the large tenants over the last 5 years. Mr. Melton stated that the Economic Development Study hand out is based on the numbers of jobs reported to the Louisiana Department of Transportation and Development (LADOTD) as of March 2025. Mr. Melton stated that it breaks out all the jobs across every single tenant. Mr. Melton stated that when we write leases and new agreements, job production in my opinion, has to be a basis for any incentives that Chennault Airport gives moving forward. Mr. Melton stated that the priority of this airport is jobs. Mr. Hankins asked if the total repairs were based off the hurricane repairs or outside of those repairs. Mr. Melton stated that the repair costs noted were outside of the hurricane repairs. Mr. Melton stated that Louisiana Economic Development (LED) is going to expect the tenants to pay a fair market value or at least closer to a fair market value for any incentives. Mr. Melton stated that lease changes are the only way that I can see making this airport fiscally viable moving forward. Mr. Melton stated that we have our designated lease negotiations team. Mr. Melton stated we are bringing in a commercial banker with twenty-five years of experience, our real estate attorney, Mr. Boyer, and we will start interviewing national level aviation focused real estate firm negotiators. Mr. Melton stated that we want to make sure we are not missing anything from a national aviation focus perspective. Mr. Melton stated that we are making sure that we have the right level of expertise moving forward to negotiate leases that are more supportive to the longevity of this airport and more fiscally responsible to the tax payer. Mr. Boyer stated that we have four individuals and/or firms that we will be interviewing to see which one is the best fit for Chennault. Mr. Boyer stated that we also want to have somebody on board to make sure that we are not violating any federal grant programs, Federal Aviation Administration (FAA) requirements, etc. Mr. Melton stated that Mr. Morris is going to lead an introductory/kick off meeting within the next several weeks with Louisiana Millwork. Mr. Melton stated that we can not continue to sustain the level of effort regarding maintaining the facilities and continuing to charge the excessively low lease rates. Mr. Melton stated that we have got to get closer to a fair market value on our properties. Mr. Melton asked the Board if he misspoke in any way or if the Board disagrees with anything. Mr. Hankins stated no. Mr. Hankins stated that there may be some opportunities for different players who may have more things that they do on a maintenance stand point to relieve the repairs and this type of stuff goes to the leases there may be some flexibility from company to company for those type of things. Mr. Hankins stated that the bottom line is it still needs to come back either way in a fair market value whether it is on the repair side or the lease side or both.

Mr. Downer gave a brief summary of public relations ongoing efforts.

Mr. Theunissen stated that it is election time again. Mr. Theunissen shared and gave a brief overview of the handout regarding the proposed amendments to the state constitution on the ballot and stated some will decide on local races.

BOARD MEETING DATE CHANGE

Mr. Melton stated that the purpose of the change in the date for the April 2025 Regular Board meeting is due to travel. PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MR. DALGLEISH, SECONDED BY MRS. GUILLORY-AUGUST, AND CARRIED UNANIMOUSLY TO CHANGE THE DATE OF THE APRIL 2025 REGULAR BOARD MEETING OF THE BOARD OF COMMISSIONERS FROM APRIL 17, 2025 TO APRIL 24, 2025 AT 12:00 NOON.

DON MORRIS, CONSULTANT – PROFESSIONAL SERVICES AGREEMENT

Mr. Melton stated that the intent of this Professional Services Agreement is to provide Chennault International Airport assistance in creating the framework and negotiating tenant leases for long-term financial sustainability. Mr. Melton stated that the Professional Services Agreement is for 6 months. PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MRS. RAU, SECONDED BY MR. HANKINS, AND CARRIED UNANIMOUSLY TO AUTHORIZE THE EXECUTIVE DIRECTOR TO ENTER INTO A PROFESSIONAL SERVICES AGREEMENT WITH DON MORRIS, CONSULTANT, PERTAINING TO TENANT LEASE NEGOTIATIONS.

DALLAS K. KINGHAM, STOCKWELL, SIEVERT, VICCELLIO, CLEMENTS, AND SHADDOCK, L.L.P. – LETTER OF ENGAGEMENT (LOE)

Mr. Melton stated that the intent is to establish a more enduring process for the airport with regard to tenant leases and long-term financial sustainability. Mr. Melton stated that Mr. Morris will be part of the lease negotiation team and will serve as the real estate lawyer expert. PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MRS. RAU, SECONDED BY MR. HANKINS, AND CARRIED WITH A MAJORITY VOTE TO AUTHORIZE THE EXECUTIVE DIRECTOR TO ENTER INTO A LETTER OF ENGAGEMENT (LOE) FOR LEGAL SERVICES WITH DALLAS K. KINGHAM, STOCKWELL, SIEVERT, VICCELLIO, CLEMENTS, AND SHADDOCK, L.L.P., PERTAINING TO NEW LEASE REVIEWS AND NEGOTIATIONS WITH MR. BOYER ABSTAINING FROM THE VOTE.

NORTHROP GRUMMAN CORPORATION – NEGOTIATE LEASE AGREEMENT

Mr. Melton stated that the current lease expires on December 31, 2025. Mr. Melton stated that we will come back to the Board for approval of the lease. PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY HANKINS, SECONDED BY MR. DALGLEISH, AND CARRIED UNANIMOUSLY TO AUTHORIZE THE EXECUTIVE DIRECTOR TO NEGOTIATE A LEASE AGREEMENT BETWEEN CHENNAULT INTERNATIONAL AIRPORT AUTHORITY AND NORTHROP GRUMMAN CORPORATION.

LOUISIANA MILLWORK L.L.C. (MASONITE) – NEGOTIATE LEASE AGREEMENT

Mr. Melton stated that the current lease expires on December 31, 2025. Mr. Melton stated that we will come back to the Board for approval of the lease. PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MR. HANKINS, SECONDED BY MR. DALGLEISH, AND CARRIED UNANIMOUSLY TO AUTHORIZE THE EXECUTIVE DIRECTOR TO NEGOTIATE A LEASE AGREEMENT BETWEEN CHENNAULT INTERNATIONAL AIRPORT AUTHORITY AND LOUISIANA MILLWORK L.L.C. (MASONITE).

EXECUTIVE SESSION

PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MR. DALGLEISH, SECONDED BY MR. HANKINS, AND CARRIED UNANIMOUSLY TO ENTER INTO EXECUTIVE SESSION TO DISCUSS POTENTIAL LITIGATION MATTERS. The commissioners began the Executive Session at 12:33 p.m.

REGULAR SESSION

PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MR. HANKINS, SECONDED BY MR. DALGLEISH, AND CARRIED UNANIMOUSLY TO RECONVENE THE REGULAR SESSION. The Regular Session was reconvened at 1:04 p.m. with NO ACTION TAKEN.

PROPOSED AGENDA AMENDMENT

PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MRS. RAU, SECONDED BY MR. DALGLEISH, AND CARRIED UNANIMOUSLY TO AMEND THE AGENDA ADDING THE CONTRACT FOR RETAINER WITH STUTES & LAVERGNE, L.L.C., TO THE AGENDA.

STUTES & LAVERGNE, L.L.C. – CONTRACT FOR RETAINER

PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MRS. RAU, SECONDED BY MR. DALGLEISH, AND CARRIED UNANIMOUSLY AUTHORIZING PRESIDENT POPILLION TO SIGN THE CONTRACT FOR RETAINER WITH STUTES & LAVERGNE, L.L.C.

MINUTE APPROVAL

PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MRS. RAU, SECONDED BY MR. HANKINS AND CARRIED UNANIMOUSLY TO APPROVE THE MINUTES OF THE FEBRUARY 20, 2025 REGULAR MEETING.

ADJOURNMENT

PRESIDENT POPILLION ASKED IF THERE WAS ANY INPUT FROM THE PUBLIC. LET THE RECORD SHOW THERE IS NO INPUT FROM THE PUBLIC. MOTION WAS MADE BY MRS. GUILLORY-AUGUST TO ADJOURN THE MEETING. With no further business to come before the Commissioners, President Popillion declared the meeting adjourned at 1:09 p.m.