Wednesday, September 16, 2009

Illinois to go for a Cargo Airport?


Are Illinois officials serious about turning the incredible shrinking airport planned in eastern Will County, Illinois, just 40 miles south of Chicago, into a cargo airport?

AllianceTexas DevelopmentIDOT's latest metamorphosis that went from an initial plan to build a mega-airport more than 3 times the size of O'Hare International Airport, to a one-runway commercial facility has now shifted toward a cargo airport. At least that was the gist of a recent news story in DC Velocity Magazine.

The magazine reported, that Will County and the State of Illinois would develop a cargo airport as part of an ambitious multimodal transport complex that would include up to four intermodal rail yards, access to three interstate highways, and up to 135 million square feet of industrial warehousing and distribution space.

This must be IDOT's latest we'll do anything, draw-at-straws option. A cargo airport would be risky, and costly. Only one such airport exists in the world.

Alliance Airport in Ft. Worth, Texas

Alliance Airport in Ft. Worth, Texas, is not just an airport. It is an entire one-of-a kind devel-opment built by Ross Perot, Jr. The airport is owned by the City of Fort Worth, but managed by Alliance Air Services.

The airport is a small part of the development plan which includes 17,000 acres of industrial warehousing, residential communities, corporate living, apartments, hotels, shopping, and even proximity to NASCAR's Texas International Speedway. The plan was so meticulous that it has even inventoried the 36,166 trees on the site. This is the world's first and presently the only in-dustrial airport.

The 5,900-acre airport opened in 1989. Since that time, it has become home to a collection of government, national, and international corporations. There are presently between 60 and 756,000 square feet of vacant industrial properties available for sale or rent within five minutes of the airport, according to the company's website.

Cargo-only airport eyed in Pennsylvania

In 2007, the FAA approved a $1.6 billion cargo-only airport in the Hazleton area of Pennsyl-vania, but it is in the very preliminary stages. By Peotone standards of development, the PA project would be at about the same stage that Peotone was in 1986.

According to the Pennsylvania State Legislative Budget and Finance Committee Report High-lights, "The proposed Hazleton cargo airport could follow a successful track, such as Alliance Fort Worth, or be unsuccessful, such as the North Carolina Global TransPark and MidAmerica Airport near St. Louis."

Peotone Airport opponents are well versed on IDOT's other pet project — the MidAmerica Air-port, calling it Peotone's  "poster child." Mid-America has been virtually void of activity for nearly its entire 11-year existence.

Market Watch.com reported that John D. Kasarda, Ph.D., director of the Kenan Institute of North Carolina, Chapel Hill questioned the wisdom of trying to build a cargo-only airport.

Calling a cargo-only airport a "challenge," Kasarda said it would especially be a challenge in a greenfield site. He said getting regular air cargo service is difficult, even in a dynamic area.

First proposed in 2003, but still just talk

Illinois officials first discussed a cargo airport at Peotone in 2003 though it never got farther than the talking stage.

Susan Shea, IDOT's Director of Aeronautics Division, whose job description now includes five bureaus including The Bureau of the South Suburban Airport, may have missed those discus-sions since they took place prior to her appointment to the transportation department by former Gov. Rod Blagojevich. Shea was an Illinois bureaucrat, but rather than transportation, Shea worked in the education department.

The question of a cargo-only facility had been posed for many years, though it was given little credence. Because of a lack of interest by the airline industry, the state acknowledged that it could consider cargo, not passengers.

“Nothing has been ruled out,” said the 2003 IDOT Spokesman, Mike Monseur, at the time.

Monseur added that no decision had been made as to what kind of facility the Peotone airport would be. He indicated, however, that there had been discussion on just how to use the airport.

“Regarding making it solely a cargo or mixture of both hasn’t been determined,” he said.

Cargo industry suffers economic woes

According to the International Air Transport Association (IATA), global airlines are reporting just this week, losses in the range of $11 billion in 2009.

This far exceeds what was reported last year when the first gloomy predictions of $2.5 billion losses were made in March 2008. Revisions throughout the year were revised to as high as $9 billion in losses, but were still exceeded by economic reality.

Giovanni Bisignani, the chief executive of the IATA says such falling yields have never before been seen. And the IATA has been tracking yields for 64 years.

"North American carriers are expected to post losses of $2.6 billion, more than double the pre-viously forecast loss of $1 billion."

IDOT continues long-held patterns 

IDOT officials and another in a long line of Illinois governors continue the Peotone mantra de-spite current economic realities and grim predictions for recovery. As is customary, IDOT is remiss in seeing the big, and/or entire picture as it relates to Peotone.

Officials fail to consider the new cargo facility at the Chicago/Rockford International Airport, improvements and influx of cash to the Gary/Chicago International Airport, and the ongoing cargo operation at O'Hare.

Not only do officials ignore the unlikelyhood of success in developing a cargo-only facility when it has only been done once before, and by a man with seeming very deep pockets, but they gloss over the current chaos within the industry, borne out by real numbers, and the state's own budget shortfalls.

When it comes to the 40-year old discussion to build a new airport in the cornfields of eastern Will County, IDOT is disingenuous at best as it continues its pattern of unbelieveability and lack of credibility.
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Wednesday, September 9, 2009

Illinois to go for a Cargo Airport?


Are Illinois officials serious about turning the incredible shrinking airport planned in eastern Will County, Illinois, just 40 miles south of Chicago, into a cargo airport?

AllianceTexas DevelopmentIDOT's latest metamorphosis that went from an initial plan to build a mega-airport more than 3 times the size of O'Hare International Airport, to a one-runway commercial facility has now shifted toward a cargo airport. At least that was the gist of a recent news story in DC Velocity Magazine.

The magazine reported, that Will County and the State of Illinois would develop a cargo airport as part of an ambitious multimodal transport complex that would include up to four intermodal rail yards, access to three interstate highways, and up to 135 million square feet of industrial warehousing and distribution space.

This must be IDOT's latest we'll do anything, draw-at-straws option. A cargo airport would be risky, and costly. Only one such airport exists in the world.

Alliance Airport in Ft. Worth, Texas

Alliance Airport in Ft. Worth, Texas, is not just an airport. It is an entire one-of-a kind devel-opment built by Ross Perot, Jr. The airport is owned by the City of Fort Worth, but managed by Alliance Air Services.

The airport is a small part of the development plan which includes 17,000 acres of industrial warehousing, residential communities, corporate living, apartments, hotels, shopping, and even proximity to NASCAR's Texas International Speedway. The plan was so meticulous that it has even inventoried the 36,166 trees on the site. This is the world's first and presently the only in-dustrial airport.

The 5,900-acre airport opened in 1989. Since that time, it has become home to a collection of government, national, and international corporations. There are presently between 60 and 756,000 square feet of vacant industrial properties available for sale or rent within five minutes of the airport, according to the company's website.

Cargo-only airport eyed in Pennsylvania

In 2007, the FAA approved a $1.6 billion cargo-only airport in the Hazleton area of Pennsyl-vania, but it is in the very preliminary stages. By Peotone standards of development, the PA project would be at about the same stage that Peotone was in 1986.

According to the Pennsylvania State Legislative Budget and Finance Committee Report High-lights, "The proposed Hazleton cargo airport could follow a successful track, such as Alliance Fort Worth, or be unsuccessful, such as the North Carolina Global TransPark and MidAmerica Airport near St. Louis."

Peotone Airport opponents are well versed on IDOT's other pet project — the MidAmerica Air-port, calling it Peotone's  "poster child." Mid-America has been virtually void of activity for nearly its entire 11-year existence.

Market Watch.com reported that John D. Kasarda, Ph.D., director of the Kenan Institute of North Carolina, Chapel Hill questioned the wisdom of trying to build a cargo-only airport.

Calling a cargo-only airport a "challenge," Kasarda said it would especially be a challenge in a greenfield site. He said getting regular air cargo service is difficult, even in a dynamic area.

First proposed in 2003, but still just talk

Illinois officials first discussed a cargo airport at Peotone in 2003 though it never got farther than the talking stage.

Susan Shea, IDOT's Director of Aeronautics Division, whose job description now includes five bureaus including The Bureau of the South Suburban Airport, may have missed those discus-sions since they took place prior to her appointment to the transportation department by former Gov. Rod Blagojevich. Shea was an Illinois bureaucrat, but rather than transportation, Shea worked in the education department.

The question of a cargo-only facility had been posed for many years, though it was given little credence. Because of a lack of interest by the airline industry, the state acknowledged that it could consider cargo, not passengers.

“Nothing has been ruled out,” said the 2003 IDOT Spokesman, Mike Monseur, at the time.

Monseur added that no decision had been made as to what kind of facility the Peotone airport would be. He indicated, however, that there had been discussion on just how to use the airport.

“Regarding making it solely a cargo or mixture of both hasn’t been determined,” he said.

Cargo industry suffers economic woes

According to the International Air Transport Association (IATA), global airlines are reporting just this week, losses in the range of $11 billion in 2009.

This far exceeds what was reported last year when the first gloomy predictions of $2.5 billion losses were made in March 2008. Revisions throughout the year were revised to as high as $9 billion in losses, but were still exceeded by economic reality.

Giovanni Bisignani, the chief executive of the IATA says such falling yields have never before been seen. And the IATA has been tracking yields for 64 years.

"North American carriers are expected to post losses of $2.6 billion, more than double the pre-viously forecast loss of $1 billion."

IDOT continues long-held patterns 

IDOT officials and another in a long line of Illinois governors continue the Peotone mantra de-spite current economic realities and grim predictions for recovery. As is customary, IDOT is remiss in seeing the big, and/or entire picture as it relates to Peotone.

Officials fail to consider the new cargo facility at the Chicago/Rockford International Airport, improvements and influx of cash to the Gary/Chicago International Airport, and the ongoing cargo operation at O'Hare.

Not only do officials ignore the unlikelyhood of success in developing a cargo-only facility when it has only been done once before, and by a man with seeming very deep pockets, but they gloss over the current chaos within the industry, borne out by real numbers, and the state's own budget shortfalls.

When it comes to the 40-year old discussion to build a new airport in the cornfields of eastern Will County, IDOT is disingenuous at best as it continues its pattern of unbelieveability and lack of credibility.

Friday, September 4, 2009

South Suburban Airport fits pay-to-play system


Chicago and Wilmette
Chicago and Wilmette (Photo credit: Frank Kehren)
Since the late 1980’s, Illinois officials and their agents have tried every available means to push a huge public works project to fruition, with a keen eye toward ensuring their own political futures and continuing cycle of self-enrichment.

The project is a 23,000-acre airport three times the size of Chicago’s O’Hare International Airport, one of the busiest airports in the world. The state’s desired location is a small farming community north of the Village of Peotone, in eastern Will County, about 40 miles south of downtown Chicago. The project is often called the Peotone Airport.

Airport boosters have dismissed the long-standing practice of producing crops in eastern Will County. Instead, they view the prime farmland as vacant and prime for development. The people most affected, including the local governments of three of the surrounding communities and several adjacent townships, have resisted the development for more than two decades. But, the efforts of this sparsely-populated, politically-innocent region has fallen prey to Illinois’ well-funded, long-entrenched political "pay-to-play" scheme, one that rewards supporters and contributors with lucrative jobs and contracts.

Tax dollars have funded a multitude of government lobbyists who make regular trips to Washington, D.C. and Illinois’ capital of Springfield to guarantee that despite its inability to gain traction on its own; this is the project that will not die. Airport supporters have left tracks on campaign contribution lists and at political fundraisers for years.

CHICAGO, IL - NOVEMBER 5:  Illinois Governor P...
Illinois Governor Pat Quinn (Image credit: Getty Images via @daylife)
Instead of following through on his promise to clean up government, Gov. Patrick Quinn is following in the footsteps of his predecessors on the Peotone project. Ex-Illinois Governor George Ryan now resides in a federal penitentiary, convicted on numerous charges of corruption.

CHICAGO, IL - DECEMBER 7:  Former Illinois Gov...
CHICAGO, IL - DECEMBER 7: Former Illinois Governor Rod Blagojevich (C) holds hands with wife Patti Blagojevich (R) as they get in an elevator in the Dirksen Federal Building December 7, 2011 in Chicago, Illinois. Blagojevich was sentenced to 14 years in prison after he was found guilty of 17 public corruption charges. (Image credit: Getty Images via @daylife)
Ex-Governor Rod Blagojevich was roused from his bed in the early morning hours last winter by FBI agents who took him into custody. He was later impeached by the Illinois legislature. Among other things, he was accused of trying to sell a seat in the U.S. Senate, formerly held by President Barack Obama, to the highest bidder.

One of those bidders was identified as Congressman Jesse Jackson, Jr., D-Chicago, one of the airport's biggest proponents. He too is being investigated.

English: Former Illinois Governor George Ryan
English: Former Illinois Governor George Ryan (Photo credit: Wikipedia)
Despite numerous factors that threaten to shelf the decades-old project, the former Lt. Governor under Blagojevich, Quinn pushed for another $100 million to buy land for the airport. Land acquisition, started in 2001 when Ex-Gov. Ryan paved the way. The state bought numerous unsold lots in an upscale subdivision belonging to one of his campaign contributors. The housing development was located just outside the airport boundaries, but was close enough to initiate a selling frenzy.

Together with threats of eminent domain, an inability to sell property in the doomed real estate market long-manipulated by the threat of an airport nearby, and the fear of the future; some landowners sold to the state. They simply gave up and moved on with their lives. The first talk of an airport in the Peotone area was a headline in the local newspaper forty years ago, in 1968.

Many of the remaining families who live in the airport footprint are what the state calls, "unwilling sellers." They have dug in their heels, refusing to be intimidated. Undaunted, the state continues its efforts to coerce real estate sales. Some landowners have farmed there for generations.

Several farms have been in the same family for more than 100 years, honored as centennial farms; by the same state that now wants to take it from them. In some cases huge signs marking “Illinois Centennial Farm” is down the road from signs that read, “State Property No Trespassing.” Many believe the only reason the state hasn’t used eminent domain is because they would have a tough time proving there is a project in a court of law. No need has ever been proven for the project nor has it been authorized by the Federal Aviation Administration.

The state owns about one-third of the land needed to build a scaled-down “starter airport,” with only one runway and a terminal building. Ryan decided that the only way to gain approval for the mega airport was to start small. He decided to propose building the "inaugural airport," reducing the size from 23,000 acres to 4,000.

With unending funds, tied directly to the pockets of Illinois taxpayers, the public relations work continues. Upwards of $100 million has been spent on what the state has called ‘studies.’ In actuality, the ‘studies’ are a set of organized reports, containing cherry-picked pieces of data tied together to induce a favored outcome. Since the beginning, and to this day, consultants, lobbyists, and other campaign contributors form a closed circle of airport backers.

Will County government, which would have jurisdiction over the airport if it was ever built, has long been on the state’s bandwagon, despite a majority of residents opposed to the project. County officials recently hired a consultant. They also employ a lobbyist.

Will County supports an effort to write a new law to establish an airport authority which would take effect even before an airport is built. Their aim is to thwart the efforts of Congressman Jesse Jackson, Jr., D-Chicago who started an airport authority of his own.

For more than twenty years, an organized group opposed to the airport, has found it difficult to gain traction against the systemic political machine in Illinois with its 'pay-to-play' structure heavy with lobbyists and campaign contributors. It is a never-ending cycle that must be broken.


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