Sneed Brothers Contractors received the project with the lowest bid of $2,012,647.
Earlier this year, T.O. Cragwall, Lebanon Airport Commission chairman, said the estimated cost for the terminal was $2.5 million.
“[The bid] came in under budget. I know it doesn’t happen too often around here, so that’s exciting,” Cragwall said during Tuesday’s meeting.
The new terminal would be two stories and would feature a large reception area, operator’s office, airport commission room, quiet rooms for pilots, conference rooms designed to hold public or private meetings and at least three offices.
Earlier this year, the council approved partnering with the Lebanon Airport Commission on a $2 million loan to help fund the terminal and maintenance hangar. Cragwall said the airport commission plans to fund $850,000 of the project through a $350,000 state aeronautics match, $300,000 in Vision 100 funds and $200,000 from airport reserves.
The council also approved a loan agreement through the Tennessee Municipal Bond Fund not to exceed $1.6 million for the project.
Earlier this year, Cragwall said the commission could repay all but $50,000 of an annual repayment through income from Row E hangars and renting out the second floor of the proposed new terminal.
“We’re excited about it. We’re thankful for the fact the airport commission has worked in unison to make this project come to fruition,” Cragwall said. “So many people have worked so hard on this.”
Earlier this year, Heather Bay, Lebanon Airport manager, elaborated on the proposed terminal.
“This is not an extremely lavish building,” she said. “This is a building that meets the needs of the everyday people who come in and out of this community –between business aviation and people who pursue this community for many various reasons.”
Construction is expected to start by spring 2016.