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Item 1.I.
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| City Council Regular | |
| Date: | 02/14/2022 |
| Title: | Annual Acceptance of Federal Aviation Administration (FAA) Airport Improvement Program (AIP) Grants |
| Presented by: | Kevin Ploehn, Director of Aviation and Transit |
| Department: | Airport |
| Presentation: | No |
RECOMMENDATION
Staff recommends that the City Council accept this year's AIP grants from the FAA and authorize the Mayor to execute each of the AIP grant offers as they are received.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
Each year the Airport seeks Federal grant funding through the Federal Aviation Administration (FAA) Airport Improvement Program (AIP) for capital projects at the Airport. Annually, the Airport may be awarded a number of AIP grants due to funding allocation, varying projects, and grant scheduling issues. These grants are normally on a tight timeline for acceptance, subsequently, each year the Airport seeks the approval and authorization from the City Council for the Mayor to execute the FAA provided AIP grant offers as they are provided. This year's grant offers should include funding from the Airport's annual entitlements, previous year grant carry overs, discretionary grant funding, and the addition of the Infrastructure Bill grant funding. The grants may provide funding for all or some of the following: a Pavement Condition Index Survey, the Terminal Building Expansion Project, and possibly operational relief funding from Congressional actions related to COVID-19 impacts. Airport staff anticipates at least two grant offers with the potential of a third grant funded with AIP discretionary funds.
ALTERNATIVES
City Council may:
- Approve the acceptance of this year's AIP grants, authorizing the Mayor to execute each grant offer as they are received; or
- Not Approve the acceptance of this year's AIP grants and provide direction to staff on how to proceed.
FISCAL EFFECTS
While the amount of the Airport's regular grant entitlement program is around $3,000,000, staff also knows that there is a rollover amount of approximately $150,000. The Airport could also be awarded a grant from the AIP Discretionary funding pool for an amount between $3 to $5 million. Additionally, the Airport will also get $3,200,000 from the Infrastructure Bill over the next five years. Regardless of the amounts for the grant offers received, the Airport may need to provide a 10% local share match, unless it is waived due to a COVID-19 relief package or other legislation. Airport funds are available for any required match in the Airport's Capital Fund.