Photo from Daviess County Tax Court

The Daviess County Water District (DCWD) is seeking to purchase the property currently occupying its office from the Owensboro-Daviess County Regional Airport (OWB). However, the potential sale would face several challenges, particularly Federal Aviation Administration (FAA) restrictions that are forcing the airport board and director Tristan Durbin to conduct further investigation.

The current purchase offer for the property at 3400 Bittel Road expires on August 31 because OWB’s board did not want to negotiate without an appraisal, which the FAA would ultimately require. Both parties agreed that Durbin would research the cost of an appraisal by the end of the week, and if both parties agreed on the price, they could vote with their respective boards to move forward.

After reaching agreement on the appraisal, DCED and OWB could determine the value of the land and buildings. This is necessary because the FAA would not allow the airport authority to accept a value lower than the appraised value.

According to DCWD board member Phil Haire, the water authority has owned the property for nearly 40 years and leases the land on which the buildings stand. He said they built the buildings at their own expense and they now need to be renovated.

“With the latest lease proposal, we have to spend almost $1 million on additions and improvements on the property,” Haire said. “One of the criteria was that PSC came to us and said we need to make sure we have good permits and long-term leases.”

Haire said he understands the OWB board’s fiscally responsible approach because DCWD takes a similar approach.

“We originally thought we could get a good deal, but then fair market value came into play,” he said. “This is a little unbearable for our board members and our 14,000 customers in Daviess County who could be affected.”

Still, it was in their best interest to pursue the idea of ​​purchasing rather than redeveloping the current OWB site, Haire said, even if it meant having to buy the buildings they had already paid for.

OWB’s board was not opposed to a sale; it simply indicated that it wanted to exercise due diligence to ensure it was acting in the best interests of the airport and the community and complying with all FAA regulations.

OWB board member Madison Silvert said the board simply could not accept the offer without an evaluation. He and other board members stressed the importance of ensuring the property would not be included in OWB’s 10-year plan – which they did not determine would be the case – and that its potential for future aviation use was almost nonexistent.

“I think it’s in everyone’s interest to follow the process and understand the real value – that way everyone gets better information,” Silvert said.

Durbin said the FAA’s previous recommendations had always advised against a sale.

“They always say you have to go through the process and only then will they announce a decision,” he said. “They have always advised against selling airport land.”

Some OWB board members suggested this is because it is difficult to predict the future or whether the area might see an increase in aircraft logistics needs. The board also agreed that it would be difficult to prove that the land would never be used for aviation purposes.

Haire noted that OWB had acquired the land in 1948 through bonds rather than FAA dollars, which made the process somewhat easier.

“It’s not in the 10-year plan or the strategic plan, so it seems like a win-win,” Haire said. “It’s a good deal for DCWD as a nonprofit and OWB as a nonprofit – two organizations working together to make this happen. It would be good for the public.”

DCWD’s current lease runs through 2027, making the timing opportune as OWB CEO Dough Hoyt said the entire process could take nearly two years.

Once an appraisal is done, both agencies must agree on the price before moving forward. The FAA would then have to approve the determined costs. After that, Durbin said, the FAA would have to do more appraisals, specifically an archaeological survey and others, which could total nearly $50,000, which Hoyt said would fall to the seller.

Ultimately, the OWB board remains open to exploring the possibility of a sale while remaining committed to the airport and the community. Both parties hope to find a solution that works for all involved.