BRADENTON, Fla. — The chairman and vice chairman of the board that runs Cincinnati/Northern Kentucky International Airport have resigned amid a special examination into spending practices by Kentucky Auditor Adam Edelen.
Board Chairman Jim Huff and Vice Chairman Larry Savage stepped down from the Kenton County Airport Board effective immediately, according to the Cincinnati Enquirer Feb. 22.
Kenton County Judge-executive Steve Arlinghaus appointed two new members to the top positions on the board, though the newspaper also said a selection committee has the responsibility for recommending people to serve on the panel. The judge-executive is the top elected official in Kentucky counties.
The Cincinnati airport, code CVG, is located in Kentucky.
Edelen announced Nov. 13 that he would conduct a special examination after media reports raised concerns about travel and spending by the board.
The auditor's office is focusing on board policies and the governance structure, and plans to make recommendations for improvement, Edelen said then.
"CVG serves a metropolitan area of 2.1 million people and is critical to the economic vitality of Northern Kentucky and Cincinnati," he said. "Making sure this asset is run efficiently and effectively is a necessary step toward attracting businesses, adding jobs, and growing the economy of the region."
The Enquirer reported last fall that the airport board spent more than $260,000 on travel expenses, food, and alcohol in the past five years.
"Some of the spending came on food and drink after meetings in settings that appear to violate Kentucky's opening-meetings law," the paper said.
Expenses included a $20,000 trip by Huff and Savage to attend an airport conference in Italy.
The airport was a key Delta hub but its importance to the airline declined after it merged with Northwest and incorporated that airline's hub 250 miles away in Detroit.
CVG has lost 500 daily flights and 17 million passengers since 2005, according to Edelen. It was recently ranked the second-most expensive airport in the nation though it is the 12th-largest cargo airport.
"This airport is at an important crossroads in its 65-year history," Edelen said last fall. "My goal is to provide a roadmap for improving operations and fostering growth."
The Kenton County Airport Board had $121.3 million of revenue bonds outstanding as of the Dec. 31, 2012 fiscal year end.
The bonds are rated A-minus by Fitch Ratings and Standard & Poor's, and A3 by Moody's Investors Service. Fitch and Moody's have a stable outlook on the debt while S&P has a negative outlook on the bonds.
