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Subject: RE: [LML] Changes to the annual fly-in
Thread-Topic: [LML] Changes to the annual fly-in
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From: "Zavatson, Christopher J \(US SSA\)" <Christopher.Zavatson@baesystems.com>

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=20

from the Fredericksburg Standard

City 'In The Running'

Mar 01, 2006 - 16:15:59 CST.=20

=09

=09

Economic development leaders in Fredericksburg are keeping their fingers =
crossed these days, hoping for good news as an Oregon airplane =
manufacturer finalizes its search for relocating in Texas.

Fredericksburg is one of five finalists for Lancair International Inc., =
which manufactures advanced composite kit planes in Redmond, OR.

Other Texas finalist communities, which were chosen from a field of 12 =
semifinalists by Lancair, include Kerrville, Brenham, New Braunfels and =
San Marcos.

Lancair, according to Greg Snelgrove, economic developer with the =
Gillespie County Economic Development Commission, is looking to move to =
Texas within 12 to 18 months, depending on the availability of existing =
building space or an opportunity to construct a new facility.

He said the firm, which is part of a growing kit plane industry that =
reportedly outsells the production market fleet by more than 3-to-1, is =
looking for a centrally located place in which to better market its =
product.=20

=09

"The kit business is huge in our country," he said and pointed to =
Lancair as being on the "high end of the kit market" manufacturing =
business in producing a state-of-the-art product.

He explained that one of the factors which make kit planes attractive is =
that individuals buying kit planes can be licensed by the Federal =
Aviation Administration to maintain an aircraft if they will build at =
least 51 percent of a plane. Meanwhile, the overall cost of purchasing a =
kit plane is considerably less than that of a fully assembled aircraft.

The first Lancair was developed in 1984 by founder Lance A. Neibauer, =
and today there are reportedly more than 1,870 Lancairs sold in more =
than 34 countries on five continents.

Snelgrove said the company's goal in relocating to Texas is to employ =
around 80 employees that would be made up of 35-40 new jobs and 30-35 =
relocated Lancair employees. The annual payroll would be in the =
neighborhood of $2.4 million, with the average wage being around =
$31,000.

Jobs would consist of airframe and power plant mechanics, assemblers and =
office staff (administrative, warehouse, management and sales).

	=09

=09

Pat Gonsoulin, executive assistant to Joe Bartels, the owner of Lancair, =
said yesterday during a phone interview from Redmond that he and his =
wife, Lynn, were "very impressed" with Fredericksburg and =
representatives of the city during a Feb. 1 visit to the community.

"Fredericksburg itself is quite nice; I personally prefer a small town =
like yours," he said in underscoring Lancair's interests in seriously =
considering quality of life issues and re-locating in a small community. =
"We particularly liked the small town feel there and the fact that =
everything was so clean."

During the Gonsoulins' visit here, they took part in a 1=BD-hour =
discussion with a group of community leaders, were given a "windshield =
tour" of Fredericksburg and went on a detailed inspection of the =
Gillespie County Airport where a new Lancair plant would be located.

Dave Fulton, executive director of the Texas Department of =
Transportation's Aviation Division, took part in the Feb. 1 visit with =
the Gonsoulins as did Gillespie County representatives Jeff Bourgeois, =
Tim Crenwelge, Dick Estenson, Sam Golden, Roger Hansen, Keith Keller, =
Linda Langerhans, Mark Stroeher and Marc Williamson.

"They were absolutely tremendous," said Gonsoulin of the local =
delegation. "All went beyond being helpful and were very knowledgeable."

He said yesterday, concerning Lancair's criteria for choosing a Texas =
site, that Fredericksburg fits the bill for having an modern general =
aviation airport, for being within 75 miles of a commercially served =
airport, for being within the desired community size (10,000-25,000 =
residents), for having access to major highways and for offering =
shipping services like UPS, Fed-Ex and DHL.

However, while some funding may be available through the Texas =
Enterprise Fund (managed by the governor's office) and from at least one =
grant program, the city's case is not being helped by the lack of a =
local incentives package.

"While Fredericksburg is at least equal to or better than other =
communities in other ways like the town itself and its very fine =
airport, there are no local tax incentives available there," Gonsoulin =
said.

"That certainly does not eliminate Fredericksburg at this point," he =
said. However, he acknowledged, in mentioning that the other four =
finalists offer some sort of incentives to industrial development, "at =
the end of the day, it may come down to that."

Snelgrove pointed out yesterday that, on the subject of local tax =
incentives, government representatives here have said they would be =
willing to consider some sort of tax abatements at a later time.

=09

=09

Gonsoulin said Lancair, whose lease agreement in Oregon expires in May =
of next year, hopes to make its decision by April or at least by May in =
order to make a move by the last quarter of 2007.

"We feel that Lancair's best long-term prospect is to come here because =
of our wonderful community and our outstanding airport," Snelgrove said =
Tuesday.

Gonsoulin said that, even if Lancair did not come to Fredericksburg, it =
would a prime location for its annual fly-in.

Snelgrove said that ordinarily, Lancair's annual fly-ins attract around =
60 planes to Oregon, but he suspects that, if held here, "they ought to =
be able to draw around 125."


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