|
Item 1.H.
|
| City Council Regular | |
| Date: | 03/24/2025 |
| Title: | Approval of the Airport Concession Disadvantaged Business Enterprise (ACDBE) Program Update |
| Presented by: | Jeff Roach |
| Department: | Airport |
| Presentation: | No |
| Legal Review: | Not Applicable |
| Project Number: | N/A |
RECOMMENDATION
Staff recommends that the City Council approve and the Mayor sign the Billings Logan International Airport's updated ACDBE Program.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
As a recipient of Federal Aviation Administration (FAA) grant funding, the Aviation Department is required to have an Airport Concession Disadvantaged Business Enterprise (ACDBE) Program in place. An ACDBE is a for-profit small business concern that is at least 51 percent owned by one or more individuals who are classified by the Federal government as socially and economically disadvantaged. The ACDBE Program's intent is to provide a level playing field for ACDBE companies wanting to do business as a concession operator at the Airport. To become a certified ACDBE, the company must work with the State of Montana. The Aviation Department is required to submit an updated ACDBE Program (using an FAA approved format) approximately every three years. The ACDBE Program must be approved by the City Council and signed by the Mayor. The main objective of the Program is to establish goals for the various Airport concessions to use or do business with certified ACDBE companies.
ALTERNATIVES
City Council may:
- Approve the ACDBE Program update; or,
- Not Approve the ACDBE Program update, potentially jeopardizing or delaying future FAA grant funding.
FISCAL EFFECTS
As recipients of Federal funding, the Airport is required to have an ACDBE Program in place. Failure to submit this Program has the potential to jeopardize or delay award of the annual FAA Airport Improvement Program (AIP) grants. Typically, the AIP grants average approximately $3,000,000 annually, and sometimes are up to $6,000,000 or more on larger projects that qualify for the grant funding.