Hanford council backs studying Jet A and Avgas fuel island after staff flags $1.9M shortfall

Council members on March 17 discussed a proposal to restore on-site fuel at Hanford Municipal Airport and asked staff to return with detailed financing and operational options.

Russ Sterling, who led the airport presentation, reviewed airport history, usage and the fiscal case for on-site fuel. Sterling said the city solicited bids for a new fuel island to provide both Avgas and Jet A; two qualified bids were received: Cushman Contracting ($2,140,290) and Ultra Petroleum ($2,422,000). The city has applied for an FAA grant of roughly $493,449 but faces a current shortfall of approximately $1.9 million when engineering and design are included. “We have a current funding shortfall of $1,900,000 including engineering and design,” Sterling said.

Staff told council that returning Jet A as well as Avgas would allow the city to pursue landing fees and make the airport more attractive for transient and corporate aircraft, potentially increasing based aircraft and long-term revenue. The presentation contrasted the lower operational complexity and environmental liability of having no on-site fuel with the economic benefits of on-site fuel and the administrative and reporting burdens associated with fuel operations.

Council members pressed on timing, operational details (single-point fueling vs. over-the-wing fueling), workforce and after-hours fueling logistics, and the potential to leverage Surf Ranch traffic and other local demand. Several pilots and tenants in public comment said Hanford is often bypassed because there is no Jet A, and urged the city to restore fuel service. Tom Buford (speaker 24), an on-field hangar tenant, confirmed the FAA grant application is targeted toward Jet A; he warned the grant likely would not be available if the city opted to install only Avgas.

There was no formal appropriation that evening; instead staff left with direction to return with options — including a general fund loan or a hybrid financing approach, an assessment of landing fee structures, and a refined payback schedule — after the council expressed support for pursuing the Jet A + Avgas option and asked staff to research grant flexibility and financing scenarios.