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9.B.
City Council Meeting - FINAL
Meeting Date:
05/03/2022
Co-Submitter:
Stacey Brechler-Knaggs
From:
Trace Ward, CVB Director

Information

TITLE:

Consideration and Approval of Grant Agreements:   Arizona Office of Tourism Visit Arizona Initiative Grants: 1) Marketing Grant in the amount of $147,500.00; and 2) Marketing Regional Partnership Grant in the amount of $192,500.00

STAFF RECOMMENDED ACTION:

Approve the two agreements with the Arizona Office of Tourism Visit Arizona Initiative:
  1. Marketing Grant Agreement; and
  2. Marketing Regional Partnership Grant Agreement

Executive Summary:

The federal Department of the Treasury issued the Coronavirus State Fiscal Recovery Fund and the Coronavirus Local Fiscal Recovery Funds established under the American Rescue Plan Act.  The Governor of Arizona authorized the Arizona Office of Tourism (AOT) to serve as the pass-through administrator of these funds. Funds are specifically for tourism related businesses; the grants are awarded via a competitive process and require matching value, which may be money, in-kind and/or third-party contributions. 

Discover Flagstaff (the City of Flagstaff) applied for and was awarded the maximum allowable number of grants for a destination marketing organization, two (2):  

1) A Marketing Grant in the the amount of $147,500, to be spent on responsible tourism and sustainability efforts, which include: no leave no trace, pledge for the wild, snowplay, travel with a plan, be fire wise, and  to become net neutral in carbon emissions.

2) A Marketing Partnership Grant in the amount of $192,500, to be spent on promoting astro-tourism along with Lowell Observatory and Meteor Crater.

The agreements are for two years (November 11, 2021 to November 11, 2023). The City will be required to complete the work set forth in the approved proposals, and submit quarterly reports on expenditures. 

Financial Impact:

The grants are contingent upon receipt of matching funds, in-kind and/or third party contributions.

The City of Flagstaff, Economic Vitality Division has budgeted funds and in-kind value (services and materials) necessary to meet its matching obligations.   

The City, Lowell Observatory and Meteor Crater each will be providing  one-third (1/3) of the matching obligation for the Marketing Regional Partnership Grant. 

The grants will help us with our mission to educate, inspire and motivate travelers to participate in our tourism economy - driving new circulated money into the hands of business owners, their employees and their families. Additionally, the grants help pay for a whole host of City-managed programs for our community.

Policy Impact:

None

Connection to PBB Priorities/Objectives, Carbon Neutrality Plan & Regional Plan:

Priority Based Budget Key Community Priorities and Objectives
  • Environmental Stewardship - Programming will be, in part, aimed at environmental stewardship
  • Robust Resilient Economy - Programming will drive both newly circulated dollars and tax revenue.

Carbon Neutrality Plan
The scope of work to win the grant was specifically written to speak to our shared goal of carbon neutrality.

Regional Plan
The greater Flagstaff community embraces the region's extraordinary cultural and ecological setting on the Colorado Plateau through active stewardship of the natural and built environments. Residents and visitors encourage and advance intellectual, environmental, social, and economic vitality for today's citizens and future generations.

Has There Been Previous Council Decision on This:

No. This is a one and only opportunity.

Options and Alternatives:

1. Approve grant agreements; or 
2. Do not approve grant agreements and forfeit grant funds.

Background and History:

The Department of the Treasury issued the Coronavirus State Fiscal Recovery Fund and the Coronavirus Local Fiscal Recovery Funds established under the American Rescue Plan Act. The Governor of Arizona authorized Arizona Office of Tourism (AOT) to serve as the pass-through administrator of these funds. Funds are specifically for tourism related businesses; they are given out in a competitive process and are matching via money, in-kind and thrid-party. 
 

Key Considerations:

Grants are awarded funds to help Flagstaff and the tourism industry thrive.

Expanded Options and Alternatives:

Lowell Observatory and Meteor Crater have participated in the application for the Marketing Regional Partnership Grant.

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