TITLE
Recommendation to authorize City Manager to submit an application for the Airport Improvement Program Grant for Fiscal Year 2015 to the Federal Aviation Administration for funding of the Airfield Geometry Study - Phase 2; and to accept such grant, execute grant documents, and amend grant documents and grant amounts with the Federal Aviation Administration for additional discretionary funds. (District 5)
DISCUSSION
On December 2, 2014, a recommendation was made to the City Council to approve preferred Alternative 3A of the Airfield Geometry Study and Airport Strategic Plan (Study) for the Long Beach Airport (Airport), and to authorize the City Manager to finalize and submit the Study to the Federal Aviation Administration (FAA) for review and approval (attached). Contingent upon approval of the Study and authorization to submit to the FAA, additional follow-up planning work will be necessary, as the recommendations of the Study include physical modifications to the airfield. The Airfield Geometry Study - Phase 2 will include preparation of preliminary California Environmental Quality Act (CEQA) and National Environmental Protection Act (NEPA) documents, along with an update to the Airport Layout Plan (ALP), and other official maps and documents required to be maintained by the Airport.
The Airport receives grant funds annually from the FAA Airport Improvement Program (AIP). Entitlement funds are the portion of the AIP funds allocated to the Airport based on the number of enplaned passengers and are calculated by the FAA using a set formula. Discretionary funds are the portion of AIP funds that are allocated to airports based on need and national priority, as determined by the FAA.
The Airfield Geometry Study - Phase 2 falls under the FAA's planning category and will require a separate grant application to facilitate a new grant award. Based upon the national priority to conform airfield geometry to current design standards, the FAA has advised the Airport that this second planning grant will be given national priority. The Airport is anticipated to be awarded discretionary AIP funds.
Funds are pending submittal of a formal grant application and receipt of the grant offer from the FAA. The grant will require shared financial participation. The estimated cost for the Airfield Geometry Study - Phase 2 is $920,000, of which $834,072 will be federally AIP funded. The Airport's share, $85,982, will be funded with Passenger Facility Charges (PFC) approved by the FAA on October 24, 2014.
This matter was reviewed by Deputy City Attorney Richard F. Anthony on November 24, 2014 and by Budget Management Officer Victoria Bell on November 20, 2014.
TIMING CONSIDERATIONS
City Council action on this matter is requested on December 9, 2014, to ensure that the grant application is filed prior to the deadline of December 31, 2014, and that the grant can be fully processed in the time frame required by the FAA. Failure to meet the FAA's deadlines could result in loss of funding.
FISCAL IMPACT
The amount of federal AIP grant funds requested for this project is $834,072. The required match of Airport funds for this amount totals $85,982, all of which will be funded with PFC approved by the FAA on October 24, 2014, and appropriated by the City Council on November 18, 2014. An appropriation increase for the awarded grant amount and the Airport's final participation will be requested, after the grant offer is received and executed. It is anticipated that the project will have a positive impact on the local job market.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
REGINALD I. HARRISON
ACTING DIRECTOR, LONG BEACH AIRPORT
APPROVED:
PATRICK H. WEST
CITY MANAGER