TO: Board of Supervisors
FROM: Steven Lederer - Director of Public Works, Airport
REPORT BY: Greg Baer, Airport Manager - x4665
SUBJECT: Authorize the Airport Manager to Submit an Application and Execute a FAA CRRSAA Grant
RECOMMENDATION
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Director of Public Works requests authorization for the Airport Manager to submit an application and execute a Federal Aviation Administration (FAA) Coronavirus Response and Relief Supplemental Appropriation Act (CRRSAA) grant agreement in the amount of $57,000 to be used to support ongoing operations and maintenance.
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EXECUTIVE SUMMARY
The CRRSAA was signed into law on December 27, 2020 and includes nearly $2 billion in funds to be awarded as economic relief to eligible U.S. airports and eligible concessions at those airports to prevent, prepare for, and respond to the COVID-19 pandemic. Based on FAA allocation formulas, the Napa County Airport is eligible for a grant in the amount of $57,000, with no match required, to pay for ongoing airport operations and maintenance. Upon approval of the requested action, the Airport Manager will submit a completed FAA CRRSAA grant application which is expected to generate a grant offer within a couple of weeks, which the Airport Manager will execute, allowing the airport to take advantage of these funds in a short amount of time.
FISCAL & STRATEGIC PLAN IMPACT
Is there a Fiscal Impact? Yes
Is it currently budgeted? No
Where is it budgeted? Revenue source is Federal Funding - Federal Aviation Administration
Is it Mandatory or Discretionary? Discretionary
Discretionary Justification: As part of the Federal Government’s CRRSAA, U.S. qualifying airports are eligible to receive grant funds with no match requirements to help offset financial impacts associated with the COVID-19 pandemic. By submitting an application, Napa County expects to receive $57,000 to be used for operations and maintenance costs. Airport must certify at time of grant execution that the requirement to employ, through February 15, 2021, at least 90% of the airport employees employed as of March 27, 2020 has been met.
Is the general fund affected? No
Future fiscal impact: Based on expected timing of the grant application and grant issuance, at least a portion of the expected $57,000 would be received in fiscal year 2021-22. Although it is expected that the entirety of the grant will be expended in fiscal year 2021-22, the airport has up to four years to draw on the funds.
Consequences if not approved: The County would not be able to take advantage of this opportunity to receive $57,000 to help offset the significant decline in airport revenues because of the COVID-19 pandemic.
County Strategic Plan pillar addressed: Effective and Open Government
Additional Information:
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by 14 California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.
BACKGROUND AND DISCUSSION
The Coronavirus Aid, Relief, and Economic Securities (CARES) Act was signed into law on March 27, 2020 and included $10 billion in funds to be awarded as economic relief to eligible U.S. Airports affected by the COVID-19 pandemic. The Napa County Airport received and expended $67,000 from the CARES Act to pay for airport operations and maintenance costs in fiscal year 2020-21.
On December 27, 2020 the Coronavirus Response and Relief Supplemental Appropriation Act (CRRSAA) was signed into law to provide nearly $2 billion in funds to be awarded as economic relief to eligible U.S. airports and eligible concessions at those airports to prevent, prepare for, and respond to the COVID-19 pandemic. Based on FAA allocation formulas, the Napa County Airport is eligible for a CRRSAA grant in the amount of $57,000, with no match required, to pay for ongoing airport operations and maintenance. Unlike typical grants that the airport receives from the FAA that come with 39 grant assurances, this grant, like the CARES Act grant, only includes an employee retention requirement. Specifically, upon execution of the CRRSAA grant, the airport will need to certify that 90% of the employees as of March 27, 2020 were retained through February 15, 2021. The grant application is due on June 30, 2021 and grant funds would become available shortly thereafter for qualifying operations and maintenance costs.
Upon approval of the requested action, the Airport Manager will submit a completed FAA CRRSAA grant application which is expected to generate a grant offer within a couple of weeks, which the Airport Manager will execute, allowing the airport to take advantage of these funds in a short amount of time.
SUPPORTING DOCUMENTS
None
CEO Recommendation: Approve