After tense discussion during their last city council work session, Fairhope’s city leaders reached a deal involving the land and continued funding for the H.L. Callahan Airport.

Earlier in December, Fairhope Mayor Karin Wilson said she wanted to exercise a contract and take back property purchased by the Airport Authority.

Wilson told the council she had concerns about 251 acres of property the Airport Authority purchased back in 2007 with the city’s help. The city helped the Airport Authority finance $8.75 million for the purchase of the property and other expansion needs via a bond issue, which Wilson said the city has been paying $500,000 per year to each year. During the Dec. 22 work session, Council President Jack Burrell gave a presentation on the Airport Authority’s impact and finances, including slides that showed the Airport Authority was attempting to pay down its debt.

“20 percent of the airport’s debt has been retired in the past five years, including a 14 percent reduction in the past three years,” Burrell said. “And there is well over $1.5 million in debt reduction projected in 2017.”

Wilson countered that many people in the city were not aware of the millions of debt held by the Airport Authority that the city helps to pay.

“How many knew we were paying this much for the airport?” Wilson asked. “None of the citizens did, and I think at the very least we have to be transparent. This is a huge debt – almost 21 percent of our total debt.”

Wilson then said she hoped to request an outside audit of the Airport Authority to “make sure operations are done with best practices.”

“I don’t even know how it’s being operated right now,” Wilson said.

Councilman Kevin Boone told Wilson she could easily find out what was going on just by asking the Airport Authority members.

“The information is there to know,” Boone said. “It’s not like it’s being hidden – just because we don’t have an outside audit doesn’t mean you can’t find out what’s going on.”

Burrell seemed to take offense with some of Wilson’s questioning and what he felt were accusations.

“You say ‘get to the bottom of it’ like there’s a conspiracy,” Burrell said. “I hear it over and over and over. It’s your theme of everything – it’s ‘everything is wrong.’”

The council declined Wilson’s proposal to take the purchased property back from the Airport Authority.

“My point is, it’s less money for the city to let the Airport Authority keep it, so let’s let them keep it,” Boone said.

Burrell asked the council if they would support a plan that would refinance the loan on the purchased property that would get a better interest rate, while also dropping the city’s yearly contribution to the Authority from $428,000 to $320,000.

The council unanimously approved the proposal, saying it would save the city a significant amount of money in interest payments and by freeing up appropriated funds.

“There are lower annual costs by doing it this way, and reduced liability was also something important to consider,” Councilman Jay Robinson said.

Burrell, who sits as a member of the Airport Authority, challenged the Authority’s members to remove the debt burden within the next few years.

“I would like to challenge the Airport Authority to wean yourself off the city in seven years and make this the correct call,” Burrell said.