Greenville-Spartanburg Airport District Strategic Business Plan 2021-2025 - Flight Plan to Recovery and Resiliency - Greenville-Spartanburg ...
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Greenville-Spartanburg Airport District Strategic Business Plan 2021-2025 Flight Plan to Recovery and Resiliency April 2021
GSP STRATEGIC BUSINESS PLAN 2021-2025 1
GSP International Airport
34.896°, -82.227°
Spartanburg
Greenville
About Us
Greenville-Spartanburg
International Airport (GSP)
is a commercial service and
general aviation airport located May 25, 1959
in Greer, South Carolina. GSP’s enabling statute
It is owned and operated by the was signed into law.
Greenville-Spartanburg Airport District
(District). GSP’s enabling statute was
signed into law on May 25, 1959, with
the first flight taking off on October
15, 1962. The Greenville-Spartanburg
Airport Commission (Commission) is October 15, 1962
the governance body for the District.
The first flight takes
The bylaws were last promulgated and
off from GSP.
adopted by the Commission on May 26,
1989 pursuant to Sections 55-11-110
through 55-11-210 of the Code of Laws
of South Carolina 1976, as amended.
Full independent
governing authority
GSP is a self-sustaining enterprise,
receiving no subsidies from
state or local taxpayers.
Current information
may be found at
www.gspairport.com
2 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 3
Chair’s
Message
Minor Shaw Chair last six years. GSP hosted
record numbers of passengers,
It is my pleasure to present stood up Cerulean Aviation
GSP’s Strategic Business Plan (Cerulean) - our new fixed
for 2021-2025: Flight Plan based operator providing
to Recovery and Resiliency. superior performance to our
Adopted by the Greenville- general aviation, cargo and
Spartanburg Airport Commission airline users, and cut the ribbon
on September 28, 2020, the on a beautifully redesigned
plan is the second developed passenger terminal replete
and released during my with new Upstate offerings for
tenure as Chair. Like the our residents and visitors.
first, it was developed in Our Strategic Business Plan
conjunction with my fellow outlines our Vision, Mission
Commission members, Dave and Core Values as well as our
Edwards our CEO, and the Strategic Goals that together
GSP Executive Team. capture our priorities. We
All of us - GSP, the aviation identify performance measures
industry, the Upstate, and for each goal, allowing us to
our nation - face unparalleled monitor GSP’s continuing
challenges from COVID-19 progress and, if needed, to reset
and the dramatic effects the our direction. Our Commission
contagion has had on our is proud that our efforts have
economy and lives. Against that been thorough, examining
backdrop, we are confident the aviation industry, GSP’s
that GSP will play a critical place in it and the needs of
role in assisting the Upstate’s each of you - our users and
recovery by uniting our people GSP’s community and region.
with their families and our As always, please provide us
businesses with their markets. with your feedback so we can
Our confidence is born from incorporate your thoughts in our
the success of our strategies ongoing efforts at managerial
and our performance over the and operating excellence.
4 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 5
CEO’s President/CEO’s
Message
Message Dave Edwards President/CEO
Our new five-year strategic economic catalyst by providing infrastructure, invest in the
business plan is GSP’s best-in-class infrastructure and future and retain a reserve
management playbook to service. Under our previous to guard against industry
recover, increase resiliency strategic business plan we downturns, even one as severe
and continuously improve opened our new and expanded as COVID-19. Our team is also
over the next five years. passenger terminal; launched successful at winning grants
Cerulean Aviation, our GSP run distributed by the Federal
While COVID-19 has brought
fixed based operator supporting Aviation Administration,
unprecedented challenges
general aviation aircraft and which contributes to the low
to the Upstate, nation and
fueling as well our air cargo rates and charges we assess
the world, the Greenville-
users; and added new locally and recover from our users.
Spartanburg Airport
themed passenger amenities As we have grown to host over
District (operator of GSP)
such as Thomas Creek Grill, 2.6 million passengers (2019),
is successfully weathering
RJ Rockers Flight Room and we never forget that our job is
the aviation and economic
the Palmetto Distillery for our to provide Upstate hospitality
challenges, and is well
passengers. In just our second and best in class service to
positioned to continue our
year with our new independent our passengers and users. We
Mission—to advance the
survey firm (Airports Council hope to see you at GSP soon.
economic prosperity of the
International), I’m proud to say In the meantime, please have
region by providing safe,
that GSP was ranked by the a look through our strategic
convenient, user-friendly
Airport Service Quality awards business plan for 2021-2025.
and cost competitive
as the Best Small Airport in We are excited to share it and
air transportation.
North America in 2020. to see what the next five years
The Commission and Executive These developments were will bring for the Upstate.
Team’s focus on our Mission achieved without taxpayer
has set the stage for the subsidies as GSP operates
realization of our long-term with resources provided by
Vision—serve as the region’s our users. We leverage these
global transportation hub and resources to operate our
6 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 7
Commissioners’ Perspectives
on the ‘Performance Airport’
GSP’s six Commission members
are appointed by the Governor Minor Shaw
of South Carolina. Leland Burch Valerie Miller
“We don’t have beaches,
Three of the members are chosen from nor are we the home of “Through the many “Wingspan’s terminal
the residents of Spartanburg County upon state government in the years I have served as a redevelopment was an
the recommendation of a majority of Upstate, so we always Commissioner, I’ve been outstanding financial and
the members of the Spartanburg County must be entrepreneurial fortunate to participate in customer success. Our
and focus on economic the region’s growth and customer amenities and
Legislative Delegation. Three members are
development. Through demand for air service. local flavor greet visitors
chosen from the residents of Greenville
its commercial approach I’m most proud of the fact with excellent service
County upon the recommendation of a and creative leadership, that the community tells and a lovely view of the
majority of the members of the Greenville I’m proud to say that me how much they love Upstate. All of this was
County Legislative Delegation. The term GSP has helped lead our the airport’s convenience, done without taxpayer
of office for Commissioners is six years. region’s reinventions and easy access and beauty.” assistance or issuing debt.”
GSP is an independent governing authority; transformations.”
the Commission’s sole responsibility
is to oversee the management and
operation of GSP. The airport is a self-
sustaining enterprise, receiving no
subsidies from state or local taxpayers. Doug Smith Jay Beeson
Hank Ramella “The Commission “Since I joined the
and our CEO’s Commission last year, I
“GSP’s moves to create have been delighted by how
Cerulean and build fiscal conservatism
has served us well; financially conservative we
out our industrial park are and what good shape
have diversified our even during COVID-
19’s unprecedented we are in despite aviation’s
services and made us challenges. The culture
financially stronger; we challenges to aviation,
our financial position has here, started by Roger
contribute increasing Milliken and reinforced
amounts of economic enabled GSP to respond
quickly and aggressively by our Commission and
value to the Upstate.” executive leadership
move forward.”
team, is outstanding.”
8 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 9
Our Flight Plan to
Recovery and Resiliency Plexiglass shields Touch points
Face masks required
Passengers are required Plexiglass shields You can reduce touch
to wear face coverings have been installed points by utilizing
in public areas. in high-traffic areas, mobile boarding passes
In February 2020, GSP was crisis helped to mitigate leadership reduced the risks of such as ticketing and carry on luggage.
in the midst of a decade of its effects. We maintain transmission where there was counters, gates, security
passenger and cargo growth extremely low debt levels, still concern that air travelers checkpoints and stores.
and was poised to have we have reasonable charges faced disproportionate risks
another record year. The fast assessed to our users, and we (since then studies have shown
propagation of the COVID-19 have diversified our revenue with precautions they do not).
pandemic quickly wreaked streams. Together with the
For the future, look for
havoc on the global aviation federal government’s aggressive
additional measures that GSP
system and traffic levels response in supporting airlines
will take, including innovative
everywhere plummeted, and airports, we today are in
uses of technology to make Ground markings Cleaning
including at GSP. a strong position to recover. Gate areas
your journey through GSP more
Airport Management and As we prepare for recovery still Stickers have been placed We are cleaning more
seamless and contactless. Passengers are encouraged
Recovery: Our new strategic at a time when the pandemic around airport public areas frequently in all areas
These measures will pay to space themselves out
business plan recognizes is hitting air travel hard, to encourage all passengers with medical grade
dividends in the future as in gate seating areas to
our challenges ahead. These we are careful to forecast to practice social distancing products to ensure
they will reduce the risks minimize congestion.
include building back our recovery scenarios that cover and keep a six foot radius public safety.
of air travel still further.
traffic and contributing to the the wide range of possibilities around themselves.
We are confident that our
Upstate’s economic growth, and ensure that GSP will
Flight Plan is the right
making ourselves even more be successful under any of
one and, as always, we
resilient. This will allow GSP the forecasts. This directly
welcome your suggestions.
to mitigate future downturns, feeds our budget process
whether caused by the ups and has meant some costs
and downs of the market, or have been deferred especially
by external factors such as a on the facilities side.
pandemic, natural disaster, or Our Collective Resiliency
September 11-type attacks. Efforts: At the same time,
Hand sanitizers Security Wash your hands
The existential crisis facing we have been advising our Additional hand Increased queue All passengers are
the global aviation industry staff, passengers and airport sanitizing stations have line spacing is encouraged to wash your
was felt severely at GSP; tenants on the role each can been placed around encouraged to improve hands with soap and water
fortunately, our management play in our Prepare for Take the airport for use. social distancing. for at least 20 seconds.
philosophy going into the Off! Campaign. This early
10 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 11
Governance, Business Continuing Stewardship:
Planning and Performance Making GSP a one-of-a kind experience
The Greenville-Spartanburg
Airport District enjoys a state-
of-the-art governance model.
Thanks to the farsighted
leadership of individuals such
as Roger Milliken and previous
The 2014-2020 GSP Strategic Business
plan was extremely successful with
GSP’s leadership exceeding each of its
performance goals over the period.
“ You only
have one
Commissions, GSP was among
These included:
the first U.S. airports to create
and sustain a single-purpose chance
airport authority, meaning our Safety
Commission is solely dedicated Reducing injuries by more than half to make “
to the Upstate’s aviation needs in a time of growth and new operating GSP has prioritized its aesthetic through multiple
and overseeing the airport. responsibilities expansions and upgrades, creating a modern facility a first
Among public agencies, airport that transports over 2.6 million passengers per year.
authorities are relatively unique Economic Development
$2.9 billion in total economic output,
GSP’s campus of over 3,700 acres puts it in a
unique position to provide continued economic
impression
in that they recover their costs
from the airport’s variety of users three times the previous estimate growth and development to the Upstate.
and do no rely on local taxpayer or
general fund support. GSP takes Air Service Roger Milliken
this one step further by setting GSP grew faster than its six regional, Chairman of the
a goal of financial sustainability and seven national benchmark airports, Greenville - Spartanburg
and diversifying its revenues. doubling its passenger traffic from 1.3 Airport Commission,
That has proven so successful 1959-2010
to 2.6 million annually
that even when all airports’ users
and revenues have plummeted, Opportunity
GSP has persevered, sustained Airport management prioritize outreach
by strong leadership, financial to local and disadvantaged businesses in
reserves and very low debt its construction projects and contracts
relative to comparable airports.
Customer Service From its inception, GSP has strived to create
Implementing new global measures, and maintain a unique and high-quality campus
GSP outperformed its peer airports landscape. From the initial mid 20th-century
landscape to the present, our task has been to
maintain and improve the landscape of the campus
and make the GSP experience truly one-of-a kind.
12 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 13
GSP Master Plan The Plan’s overarching goal is to outline
2019 how GSP can best position itself to continue
to provide for safe, reliable and efficient
aeronautical operations, accommodate
growing and changing aeronautical demands,
As the owner, sponsor and The GSP Master Plan Update and ensure regional economic success
operator of the Greenville- (Study) was initiated in early Top Projects
Spartanburg International 2017. The Study analyzed Include:
Airport, the Greenville- existing and future operations
Spartanburg Airport at the airport to determine Terminal Expansion
District, evaluates the future development needs. $133,650,000
airport periodically through The Study was finalized Parking Garage C
preparation of an airport master in December 2019 with & Roadway
plan, to ensure that the airport the formal publication $81,000,000
and its environs are safe and of the 2019 GSP Master Terminal Apron Expansion
efficient, and to evaluate the Plan Update (Plan). $16,500,000
growing needs of the airport’s The Plan provides new
users and the aviation needs Pavement Improvement
forecasts of aviation $15,400,000
of surrounding communities. demand, identifies physical
An airport master plan study improvements required to General Aviation
is needed to address key accommodate future demand, Hangar Development
issues, objectives and goals and promotes land use $8,000,000
pertinent to the airport’s recommendations necessary Cargo Apron
development over a 20-year to protect the airport and $7,500,000
planning period; a completed its environs. Additionally, a
master plan is also a key capital improvement plan, Fuel Farm
enabler to receiving Federal pavement management plan, $5,800,000
Aviation Administration (FAA) Airport GIS (AGIS) Survey South Aviation Complex
Airport Improvement Program and revised Airport Layout $5,700,000
discretionary funding— Plan (ALP) drawing set are FBO Expansion
something GSP has been all included in the Plan. $5,300,000
very competitive in receiving. For the 2021-2025 period
The FAA recommends an of the Master Plan, key
airport update its master infrastructure projects will be Total for SBP piece
plan every seven to ten years. delivered supporting an array of $278,850,000
GSP’s previous master plan airside, terminal and landside
was completed in 2003. CIP 5-year
projects.
$293,650,000
14 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 15
Our
To advance
Mission the economic
prosperity of
the region by
providing safe,
convenient, user-
friendly and cost
competitive air
transportation.
16 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 17
Our
Vision Serve as the
region’s global
transportation
hub and economic
catalyst by
providing best-in-
class infrastructure
and service.18 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 19
Our 1. Safety and Security
We embrace them as our priority
C
Innovation
Values
2. We embrace innovative solutions and
are always ready for change
C
3. Accountability
We accept responsibility for our actions
C
4.
Integrity
We are dedicated to honest P
and ethical practices
5. Servant Attitude
We are dedicated to putting others before self
P
Teamwork
6. We think and act like one team,
bonded by mutual trust and respect
P
Excellence
7. We are committed to ensuring
excellence in all we do
A
C Core values
lie at the heart of the District’s identity
P Permission-to-play values
minimum behavioral standards that are required for all employees of the District
Aspirational values
A qualities and characteristics that the District desires to have and believes
it must develop in order to maximize the success of the District20 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 21
Strategic Safety
Provide safe, secure
infrastructure for users,
employees and tenants
Regional
Leadership &
Opportunity
Goals Service
Maintain and attract new
Be an Upstate employer
of choice and contribute
to the economic growth of
the region, while providing
GSP opportunities to
local businesses
passenger and cargo air
service, while providing
superior customer service
to our passengers, other
airport users, and tenants
Cerulean
Provide innovative services
to support operations and
contribute to GSP’s self
Finance sufficiency (support the
growth in cargo, charter, and
Increase and diversify corporate flight activity and
aeronautical and non- grow revenues generated by
aeronautical revenues to commercial ground handling,
ensure future financial commercial fueling and the
sustainability Fixed Based Operator)22 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 23
Safety is the top goal for GSP. Measuring Service at GSP takes on several
safety must go beyond focusing on meanings—air service, customer service,
the recording of injuries and include and service to those shipping cargo—
proactive measures to address safety each of which is included here.
precursors—practices that make it more
likely that an injury might occur.
GSP training programs encourage our 2021-2025 Measures
employees if they “see something,
say something” whether to a fellow For passenger air service, perform above
employee, tenant, passenger, or medians for national benchmarked airports
other user of our facilities.
For passenger air service, increase
GSP’s capture and reduce our leakage to
other airports within our service area
Service
2021-2025 Measures For cargo air service, attract at
Safety Number and rate of injuries (rates will
include OSHA reportable incidents
least one new cargo carrier Provide superior
per hours worked and for passengers’ For customer service, outperform our peers customer service to
incidents per enplanement) on Airport Council International’s Airport our passengers and
Service Quality (ASQ) ratings and use GSP’s
Provide safe, secure results to prioritize service improvements other users, including
Insurance claims and losses
infrastructure for maintaining and
users, employees, attracting new
Enabling Initiatives
and tenants Enabling Initiatives passenger and cargo
Target and win air service to priority
Refine the collection and analysis of markets, including Boston, Toronto air service
precursor and injury information and international markets
Continue to build on staff Diversify the air cargo business
safety training initiatives
Develop GSP-tailored passenger
surveys (e.g., Escape Lounge GSP,
parking services, Cerulean)24 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 25
The importance of our financial strategies GSP provides infrastructure to a variety of
during COVID-19 and the economic recession users, enabling and supporting economic
were visible to all as our public airport has growth and regional prosperity. We continue to
been able to weather the storm without look for new ways both on- and off-airport to
interruption to our services or our long- contribute to the Upstate and, where possible,
term strategies. We endeavour to be a self- to offer opportunities to local businesses.
sustaining commercial public enterprise.
2021-2025 Measures
2021-2025 Measures
Use our economic impact study
Depending on the pace of the economic for five-year assessments of GSP’s
recovery, target greater than a 35% annual
gross margin for the airport (Variable)
contributions to the region
Regional
Develop and deliver a capital program
Finance Depending on the pace of the economic
recovery, target a cost per enplanement
that supports GSP’s infrastructure
for the benefit of our users Leadership
of $6.50 or lower (Variable)
Increase and diversify Build a cash reserve equivalent to
at least one year of operations and
Publicize procurements to local
business partners and meet the
federal government’s disadvantaged
& Opportunity
aeronautical and non- maintenance expenditures (Fixed) business enterprise (DBE) goals
aeronautical revenues to Contribute to the
Target airlines’ revenues to be under
ensure future financial 20% of total GSP revenues (Fixed) Enabling Initiatives economic growth of
sustainability the region through the
Align GSP 360, our strategic
Enabling Initiatives focus on our available land, to our continued expansion and
and our community’s needs
development of GSP and
Impose a passenger facility charge
(PFC) to enhance financial flexibility Meet GSP diversity and inclusion its business lines, and
as well as to support and enhance goals, expanding local opportunities
through implementation of an IDIQ provide GSP opportunities
GSP’s capital improvement program
procurement process, and target to local businesses
Become less reliant on airline revenues dissemination of procurements to
and federal sources of capital disadvantaged communities
Continue to be industry leaders Further develop, across GSP’s
in developing new and unique Executive Team, our involvement in
revenue opportunities the community, including economic
development and partnerships26 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 27
GSP and Innovation
The story of Cerulean
Cerulean, focused on the following
page, reflects the innovative culture of
GSP and our willingness to lead, change
and adapt to our dynamic industry, while
providing a return to our core enterprise.
In 2016, GSP’s management Economic development: Just
team opened Cerulean in 2017 alone, nearly $400
Aviation, seeking to become million of domestic and
“Upstate South Carolina’s international air cargo goods
2021-2025 Measures premier customer service were shipped through GSP by
organization specializing in regional firms (Source: 2018
Align levels of workforce to
aviation ground support.” GSP Economic Impact Study).
changes in Cerulean’s business
Improved ground support Air service: Cerulean provides
Account for higher levels of forecast services were critical for ground handling, fueling, cargo
risk and change in the industry
Cerulean GSP’s users, including
passenger airlines, general
loading and other services to
commercial flights. As a premium Cerulean’s success
Increase the net contribution to GSP aviation users and the fast- Fixed Based Operator (FBO), is a product of
across Cerulean’s three business lines: growing air cargo industry. it serves a variety of general
Fixed Based Operator (FBO), Commercial Perform with a high GSP’s continuing
Cerulean was created after an aviation users. The high-level
Fueling, and Ground Handling/Support efforts to remain
level of business acumen Executive Team-Commission of service, measured through
flexible, responsive
Review determined that GSP positive feedback, is vital to
to support operations should operate its Fixed attracting new customers to GSP. and innovative
Enabling Initiatives and contribute to GSP’s Base Operator (FBO) in order Financial management: With
to today and
to ensure that the airport’s its goal of being self-sustaining tomorrow’s
Continue to develop cost-accounting self sufficiency wide variety of users would industry. It offers
financially, Cerulean is a key
procedures across our business get the service they deserve component of the airport’s efforts a great example
lines in order to measure the full and that the management to grow revenue and diversify.
cost of providing services team would work toward it
that FBOs can
Since 2016, Cerulean has provide top-level
being self-sustaining and grown significantly from $818.3
Enhance recruitment, retention, and providing a contribution to service while
thousand in revenue to $8.7
responsiveness of the Cerulean workforce the overall enterprise. being financially
million in 2019, a more than
Market Cerulean, including Just five years later, Cerulean ten-fold increase. It provides successful.
in conjunction with other has proven to be a stellar and an important contribution to
GSP marketing efforts innovative success, supporting the enterprise; during this time
three of GSP’s strategic goals of COVID, this diversification
in its 2014-2020 plan. has been critical with air cargo
flights playing an increasing
role for Upstate businesses.28 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 29
Then & Now Air Cargo Activity
Strong airport growth over the last 5 years
All-Cargo
Cargo Landed
50% Employees 37% Passengers 84% Uplift 73% Weight
2014
2014
1.9
134 million
2019 2014 2019 2014 2019
2019
2.6 31K 57K 120K 208K
201 million tons tons tons tons30 GSP STRATEGIC BUSINESS PLAN 2021-2025 GSP STRATEGIC BUSINESS PLAN 2021-2025 31
Economic Impact Financial Metrics
Economic Airport Airport
255% Impact 56% Jobs 82% Revenues 98% Expenses
2014 2019
9,528 14,817
State &
161% Local Taxes
2014 2019 2014 2019 2014 2019 2014 2019
$817.1 $2.9 $112.5 $293.8 $25.7 $46.9 $13.1 $26.0
million billion million million million million million million32 GSP STRATEGIC BUSINESS PLAN 2021-2025
Executive Team
The GSP Executive Team has combined airport experience
of over 90 years. The team is well versed in all aspects
of airport management with a passion for entrepreneurial
ventures and a goal for GSP to be best in class by leading
the way on many items for the airport industry.
David N. Edwards, Kevin E. Howell,
Jr., A.A.E. CM, IAP
President/CEO Senior Vice President/COO
Basil O. Dosunmu,
Scott C. Carr, A.A.E.
CPA, CIA, CM
Vice President,
Senior Vice President, Commercial Business
Administration and and Communications
Finance/CFO
Casey Cooperman
Executive AssistantYou can also read
