HomeMy WebLinkAboutR-2024-061 Resolution authorizing an airport concession rent credit between the City of Yakima- Yakima Air Terminal-McAllister Field and BBold Advertising and Marketing RESOLUTION NO. R-2024-061
A RESOLUTION authorizing Airport Concession Rent Credit Between the City of Yakima,
the owner and operator of Yakima Air Terminal-McAllister Field (hereinafter
referred to as "CITY"), and BBold Advertising and Marketing (hereinafter
referred to as "CONCESSIONAIRE").
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 (COVID-19) 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 COVID-19 virus; and
WHEREAS, Title IV, Department of Transportation of the 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 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 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 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
1
AIRPORT CONCESSION RENT CREDIT
BETWEEN
CITY OF YAKIMA
AND
BBOLD ADVERTISING AND MARKETING
THIS AIRPORT CONCESSION RENT CREDIT BETWEEN THE CITY OF YAKIMA, the owner
and operator of YAKIMA AIR TERMINAL - McALLISTER FIELD (hereinafter referred to as
"CITY"), AND BBOLD ADVERTISING SAND MARKETING (hereinafter referred to as
"CONCESSIONAIRE"), is executed this i`3'day of/ 1t2024.
WITNESSETH:
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 was a 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 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;
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
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 CONCESSIONAIRE has provided proper notice to the CITY by submitting the
airport concession rent relief certification form indicating the desire to receive rent relief under the
Airport Coronavirus Response Grant Program and CONCESSIONAIRE has certified at the time
this agreement is entered into that they meet the criteria outlined in the correspondence labeled:
Federal Grant Funding Related To The Coronavirus Response and Relief Supplemental
Appropriations Act, as evidenced by the Certification signed by CONCESSIONAIRE, copies of
which are attached hereto as Exhibit A and fully incorporated into this agreement;
NOW THEREFORE, in consideration of the mutual benefits to be derived by each party hereto,
the parties mutually agree to provide the following rent relief:
1. All recitals above are fully incorporated herein. Other than the specific amendments stated
herein, all other terms, conditions, obligations, rights and requirements of the underlying
agreement(s) between the CITY and CONCESSIONAIRE shall remain in full force and
effect throughout said agreement(s)' term.
2. Rent Relief:
$47,562.00 dollars will be credited to the CONCESSIONAIRES account to be applied to
previous monthly rent charges and future charges until the relief is exhausted as outlined
in Exhibit A. Once the rent relief credit is fully expended, the CONCESSIONAIRE will be
responsible for ensuring all future lease payments are provided as outlined within the
airport lease agreement.
3. Agreement to follow all terms and conditions of the Grant
CONCESSIONAIRE shall follow all the terms and conditions of the Concessions Rent Relief
Airport Rescue Grant Agreement and transmittal letter attached hereto as Exhibit B and fully
incorporated herein. Failure to comply with the terms and conditions therein shall result in the
return of all monies paid to CONCESSIONAIRE by the City under the Grant Agreement.
4. Hold Harmless
The CONCESSIONAIRE shall be responsible for the conduct and liability of its own personnel in
the performance of this Agreement. The CONCESSIONAIRE agrees to release, indemnify,
defend, and hold harmless the City of Yakima, its elected and appointed officials, officers,
employees, agents, representatives, insurers, attorneys, and volunteers, from all liabilities,
losses, damages, and expenses related to all claims, suits, arbitration actions, investigations, and
regulatory or other governmental proceedings arising from or in connection with this Agreement
or the acts, failures to act, errors or omissions of the CONCESSIONAIRE, or any of the
CONCESSIONAIRE'S agents or subcontractors, in performance of this Agreement. Nothing
contained in this Section or this Agreement shall be construed to create a liability or a right of
indemnification in any third party.
CITY OF YAKIMA
YAKIMA AIR TERMINAL— MCALLISTER FIELD
2406 W. Washington Avenue, Suite B
Yakima, Washington 98903
(509) 575-6149—phone
(509) 575-6185—fax
By: Date: LI
13I
Dave Zabell nten Manager
CITY CONTRACT NO 7t)�N
RESOLUTION NO s -0 i1/
ATTEST.
(.•
By:
! SEAL
Rosalinda Ibarra, City Clerk i
'lSHING
STATE OF WASHINGTON )
ss
County of Yakima
I certify that I know or have satisfactory evidence that Dave Zabell signed this instrument,
on oath stated that he was authorized to execute the instrument and acknowledged it as
the City Manager of the City of Yakima, Washington to be the free and voluntary act of
such party for the uses and purposes mentioned in the instrument.
Date 0 ?ffat-f
P� ....... .. i� By:UA2 -i CRC
c' • SS�oN FAAF % Notary Public r the tate of Washington
•� NOTARY 9�N': Residing at: •
No.16U�5 •
Appointment Ex es "�L`b�)C�7
%.•9� .-?/1512�?.. j's
(cs�����/OF'wASv\\\���
CONCESSIONAIRE:
BBOLD ADVERTISING AND MARKETING
1707 Conover Drive
Yakima, WA 98908
denard@bbold1.com
shane@bbold1.com
509-654-8465
4)By: By:
Shane G. Pierone DeNard Jones
Date:
3// J20Z'( Date: 1 t ,: Z,
STATE OF WASHINGTON
ss
County of Yakima
I certify that I know or have satisfactory evidence that Shane G. Pierone, BBold Advertising and
Marketing Partner, signed this instrument, on oath stated that they were authorized to execute
the instrument and acknowledged it to be the free and voluntary act of such party for the uses
and purposes mentioned in the instrument.
\`��\I11111111 I l l ''
" M.84 �i Date Pali{
By: Si t le /4 Iauwtr
NOTARY : : Notary Pub tic forte State of Washington
PUBLIC = Residing at: TAtf flitt t,
ack�,_, Appointment Expires /�n �d/ /�� f
STATE OF WASHINGTON
ss
County of Yakima
I certify that I know or have satisfactory evidence that DeNard Jones, BBold Advertising and
Marketing Partner, signed this instrument, on oath stated that they were authorized to execute
the instrument and acknowledged it to be the free and voluntary act of such party for the uses
and purposes mentioned in the instrument. p�`
Date i 1Llrlft (d,.40- 1
\`\gyp\I I I I I I I I I ',''
��OY M.@qqq �� By: SlAt b./ /4• Bir''
�`y •:QM8N � '�� Notary Public for3?e State of Washington
•Q604-
•
• NOTARY '•; s
Residing at: Wawa,
•
•-•.• = Appointment Expire / /a 1�
��PUBLIC�
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EXHIBIT A
FUND DISTRIBUTION
BBOLD(reports received quarterly,
Month 2019 2020 2021 2022 2023
January $ 1,155.00 $ 1,305.50 $ 576 71 $ 1,174.69 $ 756.88
February $ 1,342 25 $ 1,335 25 $ 569.54 $ 1,174.69 $ 756.88
March $ 1,359.75 $ 1,33525 $ 65183 $ 1,174.69 $ 713.13
April $ 1,282.75 $ 862.75 $ 651.88 $ 1,174.69 $ 686.88
May $ 1,298 50 $ 862 75 $ 651.88 $ 1,017.19 $ 678.13
June $ 1,298.50 $ 1,25650 $ 651.88 $ 1,174.69 $ 634.38
July $ 1,254 31 $ 560.00 S j 412.48; $ 1,073.75 $ 678.13
August $ 1,473 50 $ 529 38 $ 1,017.19 $ 1,023.75 $ 678.13
September $ 1,473.50 $ 529.38 $ 1,017.19 $ 945.00 $ 756.88
October $ 1,270 50 $ 529 38 $ 1,017.19 $ 914.38
November $ 1,361.50 $ 573.13 $ 1,017.19 $ 914.38
December $ 1,440.25 $ 573.13 $ 1,017.19 $ 914.38
$ 16,010.3101 � Total calculation for rent distribution
Rile�
Apr'21-Sep'23 $ 25,594 81 (Amounts in gray boxes)
Rent Relief Total $ 47,562 00
Partial Relief Jun'23 $ 21,967.19 (Amount applied to future payments,until amount runs out or November 2025,whichever is first)
EXHIBIT B
CERTIFICATION FORM
X
t
M Yakima Air Te2406inal -hecAlbeler Field
yr W t u rii oTerminal Ave,Suite 5 Yakima.VA 98903
www fryYkMJcor
Airport Rescue Grants 3-53-008E-051-2022
Airport Concession Certification for Yakima Air Terminal—McAlister F'etc
Business Legal Neme 30 gdiliy S;a i ; Ow4!Kc 4-,�4 L 1+ •C-.
DBA or Tredename(If appaceblet -- -
Aufharized Rearesentetlre //``P,G/'QoftPr
Business Phone c l/�y— O Y'5
Email Address J,grit L 6 6 O r,l c o/Yj
Business Quinines as an Airport 7,Yes Alto —
Concession Drsadventaosd Business
Enterprise IACOBE)
Business Quatiries as a Joint Venture 'es leo
under 49 CFR§23.3
Paycheck Prolectian Program(PPP) z7/3 /el? 607
First Drew Loan Number Of applicable)
Have you applied or do you inland to =Yes Yl4D •
apply for a PPP Second Drew?
PPP Second Draw SBA l den Number
.frf applicable(
Purpose of PPP Second Draw Loan(If Payroll Costs 0 Covered Supplier Costs
spew:ante' =Utielies 7 Covered Properly Oarnage
RentlMortcace Inhere sr =Covered oropery Oamn('
0 Covered nperalxiris Expenditures
]Covered worker Prolection Expenditures
=Cfher
I C2^.rty that 315014.1 /.A/ _ _has not received a second draw or ass stance
for a covered Iran under section 7(a)(37)of he Smolt(3usu,ess Ad(15 U S C S36(aX37))that has been
applied toward•eir.Cf minimum annual guarantee costs
I aso certify That !3 au I v( it d V will aol apply for a covered loan.wrier sec cn
71sX37)of the Small Businevss act(15 U1S C 636iar;37))for rent or minimum annual Quin anise coals
verity m t A152Q i if 1 G/✓ snit foaow all the terms arc cc+Mrtio s of ale
:oncessxru Rini Relief Arpon Rescue Grant Agreement and Sansmital letter attached hereto and hilly
,ncorporeted harem Failigi4o ccinly wrUA(h to s and conda rec lons therein shah ur inthe retum sl
all res paid�sn_, /_per G�V __ by Ilwe Cityunder the Grant Agreement
.'",. /O/// 2 02 'S
Slone!ure Authanred maw,seraalrve Date
Pie.rcnc cc- ol'ij/Zu'
Pans Name Trite
WHEREAS, in accordance with the ARPA 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 CONCESSIONAIRE has provided proper notice to the CITY by submitting
the airport concession rent relief certification form indicating the desire to receive rent relief under
the Airport Coronavirus Response Grant Program and CONCESSIONAIRE has certified at the
time this agreement is entered into that they meet the criteria outlined in the correspondence
labeled: Federal Grant Funding Related To The Coronavirus Response and Relief Supplemental
Appropriations Act, as evidenced by the Certification signed by CONCESSIONAIRE, copies of
which are attached hereto as Exhibit A and fully incorporated into this agreement; now therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
In consideration of the mutual benefits to be derived by each party hereto, the parties mutually
agree to provide the following rent relief:
All recitals above are fully incorporated herein. Other than the specific amendments stated herein,
all other terms, conditions, obligations, rights and requirements of the underlying agreement(s)
between the CITY and CONCESSIONAIRE shall remain in full force and effect throughout said
agreement(s)' term.
$47,562.00 dollars will be credited to the CONCESSIONAIRES account to be applied
to previous monthly rent charges and future charges until the relief is exhausted as
outlined in Exhibit A. Once the rent relief credit is fully expended, the
CONCESSIONAIRE will be responsible for ensuring all future lease payments are
provided as outlined within the airport lease agreement.
ADOPTED BY THE CITY COUNCIL this 2nd day of April, 2024.
ATTEST: _—'yq u, Patricia ye , Mayor
} '4AL IJI
111
Rosalinda Ibarra, City Cler leti;NG-1O\a
2
lJ I " :I
,,
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEM ENT
Item No. 7.K.
For Meeting of:April 2, 2024
ITEM TITLE: Resolution authorizing an airport concession rent credit between the
City of Yakima- Yakima Air Terminal-McAllister Field and BBold
Advertising and Marketing
SUBMITTED BY: Jaime Vera,Airport Operations and Maintenance Manager
SUMMARY EXPLANATION:
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 COVI D-19 virus. 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.
The City of Yakima previously received funding through this program. Subsequent to that, the City
has reached out to qualified concessionaires of the airport advising them of the program.
The CONCESSIONAIRE has provided proper notice to the CITY by submitting the airport
concession rent relief certification form indicating the desire to receive rent relief under the Airport
Coronavirus Response Grant Program and CONCESSIONAIRE has certified at the time this
agreement is entered into that they meet the criteria outlined in the correspondence labeled:
Federal Grant Funding Related To The Coronavirus Response and Relief Supplemental
Appropriations Act, as evidenced by the Certification signed by CONCESSIONAIRE, copies of
which are attached hereto as Exhibit A and fully incorporated into this agreement.
ITEM BUDGETED: Yes
STRATEGIC PRIORITY: Economic Development
APPROVED FOR SUBMITTAL BY THE CITY MANAGER
RECOMMENDATION:
Adopt Resolution.
2
ATTACHMENTS:
Description Upload Date Type
❑ Resolution 3/26i 2024 Cover Memo
❑ Agreement_BBold 3/2712024 Contract