HomeMy WebLinkAbout07/20/2021 06.E. Resolution authorizing acceptance of a grant from the Federal Aviation Administration (FAA) under the American Rescue Plan Act to provide economic assistance in response to COVID-19 operational impacts 1
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BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEM ENT
Item No. 6.E.
For Meeting of: July 20, 2021
ITEM TITLE: Resolution authorizing acceptance of a grant from the Federal
Aviation Administration (FAA) under the American Rescue Plan Act
to provide economic assistance in response to COVI D-19
operational impacts
SUBMITTED BY: Robert K. Peterson,Airport Director, 509-575-6149
SUMMARY EXPLANATION:
On Thursday, March 11, 2021, the President of the United States signed the American Rescue
Plan Act (ARPA) in order to provide economic assistance in response to COVI D-19 operational
impacts. Within this act, it provides approximately $8 billion to airports within the National Plan of
Integrated Airports System experiencing severe economic disruption caused by the virus.
The Federal Aviation Administration (FAA) has indicated the Yakima Air Terminal-McAllister Field
is eligible to receive funding for any purpose for which the airport revenues might be lawfully used
to help offset the losses due to the virus. All funds received must be expended in accordance
with the FAA's Policy and Procedures Concerning the Use of Airport Revenues. Funds received
will be utilized to support the daily operations and maintenance functions at the airport. These
include, but are not limited to, costs related to operations and maintenance, construction,
personnel, cleaning, sanitization, janitorial services, combating the threat of pathogens at the
airport, and debt service payments.
Additionally, the ARPA allows the airport to provide some form of rent relief to applicable
concessions in the main terminal building. Depending on the qualifications, this form of rent relief
may include the airport's vehicle parking contractor, Avis, Budget, and Hertz car rentals; Fastlane
Espresso; DC Vending and Distribution; Republic Parking, and BBOLD Advertising.
Total FAA grant award is $1,401,487.
ITEM BUDGETED: Yes
STRATEGIC PRIORITY: Economic Development
APPROVED FOR SUBMITTAL BY THE CITY MANAGER
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RECOMMENDATION:
Adopt Resolution
ATTACHMENTS:
Description Upload Date Type
❑ Resolution 6/23/2021 Resolution
D Grant Application-Airport Operating Funds 6/28/2021 Backup Material
D Grant Application-Concessions 6/28/2021 Backup Material
❑ Council Memo-ARPA Grant 7/6/2021 Backup Material
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RESOLUTION NO. R-2021-
A RESOLUTION authorizing acceptance of a grant from the Federal Aviation Administration (FAA)
under the American Rescue Plan Act to provide economic assistance in response to
COVID-19 operational impacts.
WHEREAS, the City owns and operates the Yakima Air Terminal-McAllister Field in accordance with
applicable Federal, State, and Local regulations; and
WHEREAS, the 2019-20 coronavirus pandemic is an ongoing pandemic of coronavirus disease
2019 (COVID-19) that has reached more than 190 countries, causing economic distress on all forms of
businesses including the transportation industry; and
WHEREAS, on Thursday, March 11, 2021, the President of the United States signed the American
Rescue Plan Act (ARPA) (H.R. 1319, Public Law 117-2) to provide continued funding from the federal
government throughout the FY 2021-2022 and to minimize the economic impacts and assist Cities throughout
the nation with their response to the ongoing COVID-19 virus; and
WHEREAS, Title IV, Department of Transportation of the American Rescue Plan Act (ARPA) (H.R.
1319, Public Law 117) provides approximately $8 Billion Dollars to support U.S. airports experiencing severe
economic disruption caused by the COVID-19 public health emergency;the funds will be distributed to airports
to prevent, prepare for, and respond to the COVID-19 public health emergency; and
WHEREAS, the grant funds are available to sponsors as defined in Section 47102 of title 49, United
States Code; airport sponsors meeting statutory and policy requirements under this section and identified in
the FAA's current National Plan of Integrated Airport Systems are eligible; and
WHEREAS, grant funds will be provided directly from the U.S. Treasury's General Fund to prevent,
prepare for, and respond to the impacts of the COVID-19 public health emergency;the FAA's Office of Airports
will administer grant funds to airport sponsors; and
WHEREAS, the Yakima Air Terminal-McAllister Field is presently eligible to receive a 2021 Airport
Improvement Program (AIP) grant from the federal government and may not require the use of the airport
sponsor's local 10% match funded under the Passenger Facility Charge Program (PFC); and
WHEREAS, the American Rescue Plan Act (ARPA) (H.R. 1319, Public Law 117), has allocated at
least $6.5 Billion Dollars in additional funding to Commercial Service Airports that may receive the additional
funding for any purpose for which airport revenues may lawfully be used; the additional grant funding will be
distributed to all Commercial Service Airports based upon a modified Airport Improvement Program
apportionment while any remaining funds will be distributed based on the airport's passenger enplanements;
and
WHEREAS,the American Rescue Plan Act (ARPA) (H.R. 1319, Public Law 117)funds may be utilized
for cost related to operations and maintenance, construction, debt service payments, personnel, cleaning,
sanitization,janitorial services, combating the threat of pathogens at the airport; and
WHEREAS, the American Rescue Plan Act (ARPA) (H.R. 1319, Public Law 117) also provides an
additional $800 million to primary airports based on enplanements "to provide relief from rents and minimum
annual guarantee to on-airport car rental, on-airport parking, and in-terminal airport concessions"; and
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WHEREAS, in accordance with the Act airport sponsors receiving the additional relief funding would
be required to provide relief to airport concessioners from the date of enactment until the sponsor has provided
an amount equal to the grant amount specifically allocated for concessions "to the extent practicable and to
the extent permissible under state laws, local laws, and applicable trust indentures"; and
WHEREAS, an airport concession must certify to the airport sponsor that it has not received a second
draw or assistance for a covered loan under section 7(a)(37) of the Small Business Act (15 U.S.C. 636(a)(37))
that has been applied toward rent or Minimum Annual Guarantee is eligible for the relief; and
WHEREAS, the City Council deems it to be in the best interest of the City and its residents to accept
an American Rescue Plan Act (ARPA) (H.R. 1319, Public Law 117) grant from the Federal Aviation
Administration for funds needed to accomplish previously identified capital improvements on the airport as
well as for application to any purpose for which airport revenues maybe lawfully be utilized; Now, Therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
1. The City Manager is hereby authorized and directed to accept additional American Rescue Plan
Act (ARPA) (H.R. 1319, Public Law 117) grant funds from the Federal Aviation Administration to
be applied to any purpose for which airport revenues may be lawfully used, in accordance with the
FAA's Policy and Procedures Concerning the Use of Airport Revenues ("Revenue Use Policy'),
64 Federal Register 7696 (64 FR 7696), as amended by 78 Federal Register 55330 (78 FR
55330). Additionally, the American Rescue Plan Act (ARPA) (H.R. 1319, Public Law 117), further
provides that the grant funds may not be used for any purpose not related to the airport.
ADOPTED BY THE CITY COUNCIL this 20th day of July, 2021.
ATTEST: Patricia Byers, Mayor
Sonya Claar Tee, City Clerk
OMB Numb&: 4040-0004
Expiration Date: 12/31/2022
Application for Federal Assistance SF-424
*1. Type of Submission: *2. Type of Application * If Revision, select appropriate letter(s):
❑ Preapplication ® New
ElApplication ❑ Continuation *Other(Specify)
❑ Changed/Corrected Application ❑ Revision
*3. Date Received: 4. Applicant Identifier:
NA YKM (Yakima Air Terminal/McAllister Field)Yakima, WA
*5b. Federal Entity Identifier: *5b. Federal Award Identifier:
53-0089
State Use Only:
6. Date Received by State: 7. State Application Identifier:
8. APPLICANT INFORMATION:
*a. Legal Name: City of Yakima
*b. Employer/Taxpayer Identification Number(FIN/TIN): *c. Organizational DUNS:
91-6001293 07-821-2651
d. Address:
*Street 1: 2406 West Washington Ave, Suite B,
Street 2:
*City: YAKIMA
County/Parish:
*State: WA
Province:
*Country: USA: United States
*Zip/Postal Code 98903
e. Organizational Unit:
Department Name: Division Name:
f. Name and contact information of person to be contacted on matters involving this application:
Prefix: Mr. *First Name: Robert
Middle Name:
*Last Name: Peterson
Suffix:
Title: Airport Director
Organizational Affiliation:
*Telephone Number: 509-575-6149 Fax Number:
*Email: rob.peterson@yakimawa.gov
OMB Number: 4040-0004
Expiration Daa 12/31/2022
Application for Federal Assistance SF-424
*9. Type of Applicant 1: Select Applicant Type:
X. Airport Sponsor
Type of Applicant 2: Select Applicant Type:
Type of Applicant 3: Select Applicant Type:
*Other(Specify)
*10. Name of Federal Agency:
Federal Aviation Administration
11. Catalog of Federal Domestic Assistance Number:
20.106
CFDA Title:
Airport Improvement Program
*12. Funding Opportunity Number:
NA
*Title:
NA
13. Competition Identification Number:
NA
Title:
NA
14.Areas Affected by Project(Cities, Counties, States, etc.):
*15. Descriptive Title of Applicant's Project:
$1,342,035 for costs related to operations, personnel, cleaning, sanitization,janitorial services, combating the spread of pathogens
at the airport, and debt service payments.
Attach supporting documents as specified in agency instructions.
OMB Numb'r: 4040-0004
Expiration Date: 12/31/2022
Application for Federal Assistance SF-424
16. Congressional Districts Of:
*a. Applicant 4 *b. Program/Project: 4
Attach an additional list of Program/Project Congressional Districts if needed.
17. Proposed Project:
*a. Start Date: NA *b. End Date: NA
18. Estimated Funding ($):
*a. Federal $1,342,035
*b. Applicant $0
*c. State
$0
*d. Local
"re. Other $0
*f. Program Income $0
*g. TOTAL $1,342,035
*19. Is Application Subject to Review By State Under Executive Order 12372 Process?
❑ a. This application was made available to the State under the Executive Order 12372 Process for review on
❑ b. Program is subject to E.O. 12372 but has not been selected by the State for review.
® c. Program is not covered by E. O. 12372
*20. Is the Applicant Delinquent On Any Federal Debt? (If"Yes", provide explanation in attachment.)
❑ Yes ® No
If"Yes", provide explanation and attach
21. *By signing this application, I certify(1)to the statements contained in the list of certifications**and (2)that the statements
herein are true, complete and accurate to the best of my knowledge. I also provide the required assurances**and agree to comply
with any resulting terms if I accept an award. I am aware that any false, fictitious, or fraudulent statements or claims may subject
me to criminal, civil, or administrative penalties. (U. S. Code,Title 218, Section 1001)
• ** I AGREE
**The list of certifications and assurances, or an internet site where you may obtain this list, is contained in the announcement or
agency specific instructions.
Authorized Representative:
Prefix: Mr. *First Name: Robert
Middle Name:
*Last Name: Harrison
Suffix:
*Title: City Manager
*Telephone Number: 509-575-6040 Fax Number:
* Email: bob.harrison@yakimawa.gov
*Signature of Authorized Representative: *Date Signed:
OMB Numb$r: 4040-0004
Expiration Date: 12/31/2022
Application for Federal Assistance SF-424
*1. Type of Submission: *2. Type of Application * If Revision, select appropriate letter(s):
❑ Preapplication ® New
ElApplication ❑ Continuation *Other(Specify)
❑ Changed/Corrected Application ❑ Revision
*3. Date Received: 4. Applicant Identifier:
NA YKM (Yakima Air Terminal/McAllister Field)Yakima, WA
*5b. Federal Entity Identifier: *5b. Federal Award Identifier:
53-0089
State Use Only:
6. Date Received by State: 7. State Application Identifier:
8. APPLICANT INFORMATION:
*a. Legal Name: City of Yakima
*b. Employer/Taxpayer Identification Number(FIN/TIN): *c. Organizational DUNS:
91-6001293 07-821-2651
d. Address:
*Street 1: 2406 West Washington Ave, Suite B,
Street 2:
*City: YAKIMA
County/Parish:
*State: WA
Province:
*Country: USA: United States
*Zip/Postal Code 98903
e. Organizational Unit:
Department Name: Division Name:
f. Name and contact information of person to be contacted on matters involving this application:
Prefix: Mr. *First Name: Robert
Middle Name:
*Last Name: Peterson
Suffix:
Title: Airport Director
Organizational Affiliation:
*Telephone Number: 509-575-6149 Fax Number:
*Email: rob.peterson@yakimawa.gov
OMB Number: 4040-0004
Expiration Daa 12/31/2022
Application for Federal Assistance SF-424
*9. Type of Applicant 1: Select Applicant Type:
X. Airport Sponsor
Type of Applicant 2: Select Applicant Type:
Type of Applicant 3: Select Applicant Type:
*Other(Specify)
*10. Name of Federal Agency:
Federal Aviation Administration
11. Catalog of Federal Domestic Assistance Number:
20.106
CFDA Title:
Airport Improvement Program
*12. Funding Opportunity Number:
NA
*Title:
NA
13. Competition Identification Number:
NA
Title:
NA
14.Areas Affected by Project(Cities, Counties, States, etc.):
*15. Descriptive Title of Applicant's Project:
$47,562 to provide relief from rent and minimum annual guarantees to eligible small airport concessions located at primary airports.
$11,890 to provide relief from rent and minimum annual guarantees to eligible large airport concessions located at primary airports.
Attach supporting documents as specified in agency instructions.
OMB NumbaA 4040-0004
Expiration Date: 12/31/2022
Application for Federal Assistance SF-424
16. Congressional Districts Of:
*a. Applicant 4 *b. Program/Project: 4
Attach an additional list of Program/Project Congressional Districts if needed.
17. Proposed Project:
*a. Start Date: NA *b. End Date: NA
18. Estimated Funding ($):
*a. Federal $59,452
*b. Applicant $0
*c. State
$0
*d. Local
"re. Other $0
*f. Program Income $0
*g. TOTAL $59,452
*19. Is Application Subject to Review By State Under Executive Order 12372 Process?
❑ a. This application was made available to the State under the Executive Order 12372 Process for review on
❑ b. Program is subject to E.O. 12372 but has not been selected by the State for review.
® c. Program is not covered by E. O. 12372
*20. Is the Applicant Delinquent On Any Federal Debt? (If"Yes", provide explanation in attachment.)
❑ Yes ® No
If"Yes", provide explanation and attach
21. *By signing this application, I certify(1)to the statements contained in the list of certifications**and (2)that the statements
herein are true, complete and accurate to the best of my knowledge. I also provide the required assurances**and agree to comply
with any resulting terms if I accept an award. I am aware that any false, fictitious, or fraudulent statements or claims may subject
me to criminal, civil, or administrative penalties. (U. S. Code,Title 218, Section 1001)
• ** I AGREE
**The list of certifications and assurances, or an internet site where you may obtain this list, is contained in the announcement or
agency specific instructions.
Authorized Representative:
Prefix: Mr. *First Name: Robert
Middle Name:
*Last Name: Harrison
Suffix:
*Title: City Manager
*Telephone Number: 509-575-6040 Fax Number:
* Email: bob.harrison@yakimawa.gov
*Signature of Authorized Representative: *Date Signed:
11
F wyxi-0,Thr Yakima Air Terminal-McAllister Field
2406 W.Washington Ave,Suite B
Yakima,WA 98903
(509)575-6419
www.flyYKM.com
To: Bob Harrison, City Manager
From: Robert Peterson, Airport Director
Cc: Honorable Mayor and Members of the Yakima City Council
Date: Monday, July 6, 2021
Re: American Rescue Plan Act
On Thursday, March 11, 2021, the President of the United States signed into law the American
Rescue Plan Act. The Act provides approximately $8 billion dollars to support U.S. airports
experiencing severe economic disruption caused by the COVID-19 public health emergency.
These funds are available to municipalities, which own airports who meet statutory and policy
requirements, under section 47102 of title 49 United States Code; and identified in the Federal
Aviation Administration's (FAA) current National Plan of Integrated Airports System (NPIAS).
The Act sets aside approximately $6.5 billion for commercial service airports to assist in the costs
related to operations, personnel, debt service, cleaning, sanitization,janitorial services combating
the threat of pathogens at the airport. Additionally, the Yakima Air Terminal-McAllister Field
meets these specific qualifications for funding where the airport is slated to receive 100% grant
funding for all 2021 Airport Improvement Program grant funds,thereby eliminating the local 10%
match.
The distribution of funds will be in the form of a grant and administered by the FAA's Airport
District Office. These funds may be used for any purpose for which airport revenues may be
lawfully used. Grant recipients should follow the FAA's Policy and Procedures Concerning the
Use of Airport Revenues ("Revenue Use Policy"), 64 Federal Register 7696 (64 FR 7696), as
amended by 78 Federal Register 55330 (78 FR 55330). The Revenue Use Policy document defines
permitted and prohibited uses of airport revenue. In addition to the detailed guidance in the
Revenue Use Policy,the Act makes clear that the funds may not be used for any purpose not related
to the airport.
Priority#1: Airport Fiscal Sustainability and Restoration of Air Service
Continued fiscal sustainability should be the first priority as we emerge from the COVID-19
pandemic as various transportation sectors such as rental cars, airlines, vehicle parking, general
and corporate aviation have witnessed unprecedent decrease in business activities. Since March
2020, the airport has witnessed a slow recovery of passengers, which transfers to additional
revenues from various transportation sectors. Although many airports throughout the nation have
witnessed a rebound in passenger traffic, airports will continue to witness lost revenue compared
to 2019's budgets. The grant will assist with offset operating revenues through invoices submitted
to the FAA to be reimbursed for normal operations and maintenance expenses. As the airline
stry recovers from record reductions in airline routes, it will be imperative the airport focuses
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on restoring and expanding air service. Continued close coordination with the airport's air service
consultant, Alaska Airlines, and future airline destinations should be a top priority.
Priority#2: 2022 Airport Improvement Projects and Replacement of Aging Infrastructure
Upon stabilization of the airport's 2021-22 budget using the grant, Council should consider
addressing upcoming 2022 capital improvements as well as the airport's aging infrastructure,
which include the following:
• Environmental Category X approval from the Federal Aviation Administration for both the
main terminal building and the Taxilane Charlie extension;
• Installation of infrastructure (water, sewer, power) to further develop 13 acres located
along 21'Ave and Airport Lane in order to prime aeronautical development such as aircraft
hangars;
• Replacement of the airport's passenger boarding stairs; and
• Replacement of the airport's 1996 high-speed runway plows; and
• Expansion of vehicle parking lot adjacent to the main terminal building; and
• Rehabilitation of existing vehicle parking lots; and
• Rehabilitation of airfield maintenance facility and airport administration office; and
• Replacement of aging HVAC systems, which have outlived their useful life.
Final Consideration Related to The ARPA Funds
Upon securing the airport's 2021-2022 operating and capital budgets,the ARPA grant can also be
used for other capital projects or strategic priorities. These projects include, but are not limited to,
asphalt maintenance or repairs,terminal building roof repairs, replacement of terminal apron ramp
snowplow, expansion of airfield maintenance facility to house required maintenance and snow
equipment, or installation of infrastructure for future development. Although these projects may
qualify for ARPA grant funds, it's required to contact the FAA's Airport District Office to ensure
compliance with federal obligations, meets safety and security standards, National Environmental
Protection Act, prevailing wage, and buy American requirements.
For additional clarification or information, please feel free to contact me at your convenience.
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