CONCORD — In a claim filed with the Federal Aviation Administration, the Vietnam Helicopters Museum alleges that Contra Costa County has discriminated against the organization by repeatedly thwarting its attempts to lease a hangar at Buchanan Field Airport.
The county denies the allegations and contends that it has treated the organization fairly and in accordance with federal regulations prohibiting discrimination and requiring that the airport is available for public use for a range of aeronautical activities.
In December, Pacific States Aviation, the Conco Companies and the museum submitted proposals to rent a 39,000-square foot hangar, the airport’s largest. A five-member selection committee ranked Conco’s bid first and the museum’s third.
In January, the Concord nonprofit alleged in an informal complaint to the FAA that the county has discriminated against the museum by refusing in 2015 to honor the former tenant’s request to transfer ownership of the hangar and assign its lease to the museum; rejecting the museum’s May 2016 proposal for the hangar and soliciting bids for the property in the fall and selecting Conco.
Furthermore, VHM claims the county has demonstrated a pattern of bias against helicopters. However, the museum stores three functioning helicopters, a working airplane and 14 non-operable helicopters at the airport.
“Since 2010, you and other representatives under your management of Buchanan Field Airport have expressed the arbitrary policy of the airport or specific hangars as not permitting helicopters,” attorney Gerald Murphy wrote in a Jan. 12 letter to Keith Freitas, director of airports.
Although the airport does restrict helicopters to certain areas due to safety concerns, helicopters have operated at Buchanan for more than 20 years — including law enforcement aircraft and a flight school, according to Freitas.
Under the terms of the 20-year lease the Board of Supervisors approved last month, Conco will pay the county $250,000 upfront, an additional $750,000 over 15 years, plus monthly rent of $12,000 in the first year that increases annually until it reaches $15,834 in year 16 of the contract. Conco may extend the lease for up to 30 years in 10-year increments.
The Vietnam Helicopters Museum offered $7,325 monthly rent for a 50 year-term, according to the county. Both groups proposed adding office space, a lobby, a conference room and restrooms to the hangar.
Rent and other payments collected at the airport are deposited in an enterprise fund. In the past few years, the rent from the hangar was about 5 percent of the fund’s annual revenue, according to the county.
“Making business decisions that benefit the airport is not unjust discrimination and does not violate FAA regulations,” Freitas wrote in an April 3 letter to the FAA. “Selecting a proposal that does not offer the best economic terms to the airport could be a violation of the self-sustaining rule.”
Vietnam Helicopters Museum filed a lawsuit in U.S. District Court in March to prevent the county from leasing the hangar to Conco while the FAA administrative process was ongoing. The organization dropped the suit when the court said it does not have jurisdiction over the federal agency. VHM may file a formal complaint with the FAA if the informal recommendation is not in its favor, according to Murphy.
Founded in 2011 by two U.S. Army veterans, the Concord nonprofit restores and operates military helicopters used in the Vietnam War, educates the public and provides “therapy rides” to veterans wounded in combat.
The museum’s collection includes two working UH-1 “Huey” helicopters, a HH-46E “Phrog” helicopter, a stealth airplane and 22 aircraft that group members are currently restoring.
Museum representative Chris Miller did not return calls seeking comment.
VHM alleges that the county interfered in its attempt in 2014 to buy a different hangar by urging the owner to accept another offer. In December 2015, VHM sought to take over the largest hangar’s lease from the previous tenant so it could store its aircraft and establish a permanent museum that would be open to the public. The nonprofit claims that the county blocked that transaction as well.
“In other words, you took the opportunity to deny consent to the assignment of the lease for the purpose of excluding VHM, as there was no legal or logical basis to justify that decision,” Murphy wrote in the Jan. 12 letter.
In its response, the county points out that the former tenant’s lease required that it request the county’s consent to assign the lease to a third-party in writing.
“No request for the county’s consent was ever made, orally or in writing,” Freitas wrote. “Not consenting to a request that was never made is not unjust discrimination.”
Supervisor Karen Mitchoff, whose district includes the airport, denies discriminating against the Vietnam Helicopters Museum.
“It isn’t a matter of not wanting to help them, it’s a matter of the financials,” she said.
Initially, VHM failed to submit a business plan outlining how it would generate ongoing financial support for the museum and pay the rent, Mitchoff said. Then, the museum submitted the weakest of three bids for the hangar, she added.
“I believe in the end the county will be shown that we have dealt fairly with all parties, that the right decision was made, that the board of supervisors approved a long-term lease with Conco and we did everything we should have,” Mitchoff said.
