TITLE
Recommendation to authorize City Manager to execute all documents necessary for an agreement with the HNTB Corporation for planning and engineering consulting services for an Airfield Geometry Study and Airport Strategic Plan at the Long Beach Airport, for an initial 24-month term in an amount not to exceed $1,100,000, execute any amendments to extend the term for up to one additional year, authorize additional services within the provisions of the contract; increase appropriations in the Airport Enterprise Fund (EF 320) in the Airport Department (AP) by $1,113,315; and
Authorize City Manager to execute all documents necessary for an agreement with the HNTB Corporation for planning and financial consulting services for a Business Plan for the Long Beach Airport, for an initial 24-month term in an amount not to exceed $350,000, execute any amendments to extend the term for up to one additional year, and authorize additional services within the provisions of the contract. (District 5)
DISCUSSION
On February 8, 2011, the City Council authorized the City Manager to apply for FAA grant funds to conduct an Airfield Geometry Study and Airport Strategic Plan (Study) to analyze risk and develop solutions. The FAA provided that grant funding at the end of Fiscal Year 2011.
The City of Long Beach has historically used outside professional firms to provide special studies and reports when the City does not have sufficient specialized expertise to perform such work with existing staff. To select a firm to provide the required specialized planning and engineering services, a Request for Qualifications (RFQ) was
conducted in accordance with Administrative Regulation 8-4, "Selecting Professional Services," as well as FAA consultant selection requirements. The RFQ was released in Aviation Daily, a national publication, as required by the FAA, and via the City's Purchasing website, www.PlanetBids.com/longbeach, on February 18, 2011. Seven firms submitted qualifications. All seven were deemed qualified by the selection committee; therefore, all seven firms were interviewed. The selection committee determined that the HNTB Corporation was best qualified to provide all aspects of the Study.
The Study to be prepared by the HNTB Corporation will provide a comprehensive evaluation of the airfield geometry, providing alternatives for the reduction of risk in response to the CAST Report and the analysis of the alternatives for safety, operational, and financial benefits. The Study will also analyze a "no project" alternative. The Study will include all necessary coordination with the FAA, user groups, tenants, and the public, where appropriate. Budgetary estimates and benefit-cost analyses for the design and construction of the most promising alternatives will be prepared.
It is anticipated that the preferred alternative will include geometric modifications to the airfield; therefore, the Study will include a Strategic Plan for reuse of affected portions of the airfield.
No physical modifications will be made to the airfield until environmental documentation in compliance with CEQA and NEPA has been prepared and approved, the work has been approved by City Council, and funding has been identified.
The preparation of CEQA and NEPA documents, as well as modifications to the Airport's Airport Layout Plan and other official maps and documents required to be maintained by the Airport, will be necessary should the recommendations of the Study include physical modifications to the airfield. These tasks were included in the RFQ, and, should the tasks be deemed necessary and funded by the FAA in a subsequent fiscal year, the Airport may request the City Council to authorize a contract modification to include the work under the HNTB Corporation contract.
The RFQ also included services for the preparation of a Business Plan. To ensure the continued self-reliance of the Airport, HNTB will provide a business management review that will include a strategic risk review and contingency planning, creation of a business roadmap to navigate through the ever-changing aviation industry, development of measures to further optimize the organization, and development of refined business policies and procedures to provide the aviation-related requirements of the community while protecting the Airport's financial viability.
Separate contracts for the Study and the Business Plan will be prepared, due to the separate contract requirements of the different funding sources.
The HNTB Corporation has included, and committed to using, disadvantaged firms on their teams, as appropriate, in accordance with the Airport's FAA-approved DBE program.
This letter was reviewed by Deputy City Attorney Richard Anthony on November 14, 2011, and by Budget Management Officer Victoria Bell on November 22, 2011.
TIMING CONSIDERATIONS
City Council action is requested on December 13, 2011, to allow for timely execution of the contracts in an effort to begin these important analyses and complete grant expenditures within the required time frame.
FISCAL IMPACT
The contract award for the Study is for an amount of $1,100,000. Overall project costs, including staff time and indirect costs, total $1,171,910, of which 95 percent will be funded with Airport Improvement Program (AIP) Grant funds and 5 percent with Airport Operating Funds.
An increase in appropriation of $1,113,315 in the Airport Department (AP) Airport Enterprise Fund (EF 320) is required. The increase in appropriation will be funded with FAA AIP Grant No. 3-06-0127-38. There is no impact to the General Fund.
The not-to-exceed cost for the Business Plan is $350,000. Overall project costs, including staff time and indirect costs, total $400,000 and will be funded with Airport Operating funds currently budgeted in the Airport Department (AP) Airport Enterprise Fund (EF 320).
An application to collect Passenger Facility Charges (PFCs) for the Business Plan and Airport's share of the Airfield Geometry Study is currently being prepared. Should the City Council and FAA approve the use of PFCs for the Study and the Business Plan at a later date, the Airport would use PFCs in lieu of Airport Operating Funds.
The Study and Business Plan will support a combined estimated 12 full-time equivalent (FTE) jobs.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MARIO RODRIGUEZ
DIRECTOR, LONG BEACH AIRPORT
APPROVED:
PATRICK H. WEST
CITY MANAGER