--- In BATN@xxxxxxxxxxxxxxx, "11/16 SJ Mercury" <batn@xxxx> wrote: Published Wednesday, November 16, 2005, in the San Jose Mercury News City council approves new, slimmed-down airport plan By Rodney Foo Ditching a grandiose expansion plan that relied on a more robust economy for funding, the San Jose City Council on Tuesday voted unanimously to accept a new pared-down and cheaper version to improve Mineta San Jose International Airport. The new plan eliminates a proposed central terminal, an intra-airport people mover, a double-decked roadway to separate departures and arrivals, and other elements, trimming the expansion's cost from $4.5 billion to $1.5 billion. In addition, construction is projected to be virtually completed in five years, not 12. The revised plan basically calls for upgrading Terminal A, doubling its ticketing capacity while making more room for passenger pickup or drop-off areas; keeps a two-level North Concourse that was in the old plan; does away with the existing Terminal C; and straightens out roadways. The original plan developed in 1997 was premised on 17.6 million passengers using the airport. But airline ridership has slumped in the post-Sept. 11 economy, and San Jose International expects only 11 million this year. Necessary construction work on the airport has proceeded, but in a vacuum as the airlines and the city grappled with creating a new plan based on a new economic reality. qThe adopted plan envisions "enplanement" fees for each passenger to make up $8 to $9 of their ticket at San Jose International. Under the old plan, it would have cost $17 or higher on each passenger's ticket -- a detriment to the cost-conscious airline industry. "That was a big impediment," said Greg Gillis, property manager for Southwest Airlines, the airport's largest carrier. The airport's fund is separate from the city's general fund, meaning that the facility's operations and any construction are paid for by rentals and fees paid by airport users, concessionaires and rentals. Had the airport not downscaled its plans, Southwest might have been forced to drastically reduce the number of flights to and from San Jose. The airline currently has 74 flights and that number could have dwindled to 13 or 14 in a worst-case scenario, Gillis said. Council members and airline executives at the meeting credited new airport director Bill Sherry for negotiating a workable plan. "My first reaction," Councilman Ken Yeager told Sherry, "was, why hadn't we thought of this before? Some of it seemed so obvious and it's something we can do relatively quickly and certainly much less expensively than the other plan. So, I'm glad you were the one who sort of brought in a new pair of eyes." Contact Rodney Foo at rfoo@xxxx or (408) 975-9346. WHERE THEY FOUND the CUTS Here is a summary of cost savings that will be realized by eliminating or modifying elements of an improvement plan for Mineta San Jose International Airport. The pared-down plan was approved by the San Jose City Council on Tuesday. $615,334,000: Scale-back of rental car/short term parking garage $583,270,000: No Central Terminal $338,722,000: No intra-airport people-mover $302,544,000: No double-decker roadway $285,933,000: Scale-back of projected utility needs $274,934,000: No long-term garage at site of current rental car area $205,748,000: No designated taxiways for cargo flights $116,825,000: No airport office buildings $114,052,336: Other projects to be eliminated $106,351,000: No remodel/conversion of Terminal A parking garage $52,673,000: Scale-back of Airport Boulevard/Airport Parkway intersection $45,596,000: No parallel roadway to South Concourse $3,041,982,336 TOTAL NET SAVINGS Source: San Jose Airport officials --- End forwarded message ---