Title
Planning and Building Department, Airports Division, recommending the Board take the following actions pertaining to the Replace Airport Beacon and Beacon Tower Project (CIP 35402010) at the Georgetown Airport:
1) Approve and authorize the Director of Planning and Building to execute a United States Department of Transportation, Federal Aviation Administration Airport Improvement Program grant award in an estimated amount of $60,750, for a four-year term effective upon execution, with a maximum County match of $6,750, contingent upon approval by County Counsel and Risk Management;
2) Approve and authorize the Director of Planning and Building to execute a State of California, Department of Transportation, Aeronautics Division Airport Improvement Program Matching Grant, if successful, in an estimated amount of $3,038, contingent upon approval by County Counsel and Risk Management; and
3) Authorize the Director of Planning and Building to execute and administer any subsequent administrative documents and required fiscal or programmatic reports related to the grants, including amendments, that do not increase Net County Cost, contingent upon County Counsel and Risk Management approval.
FUNDING: Federal Aviation Administration Grant (90%) and General Fund (10%); with a possibility of a 4.5% reduction of General Fund if awarded State funding.
Body
DISCUSSION / BACKGROUND
In accordance with Board Policy A-6, Grant Applications, the Planning and Building Department (Department) applied for a design grant for the Replace Airport Beacon and Beacon Tower Project for the Georgetown Airport (Georgetown Beacon Replacement Project) through the United States Department of Transportation, Federal Aviation Administration (FAA) Airport Improvement Program (AIP) for $60,750, which, if received, would fund ninety percent (90%) of the cost for the Georgetown Beacon Replacement Project. The County’s General Fund needs to fund the 10% local match requirement, estimated at $6,750.
If awarded this grant, the FAA will send a grant offer with a grant award letter and a grant agreement to the County (sponsor) for signature, and these will include a firm date by which the grant agreements must be signed and returned. This is typically a very compressed time frame and has been as few as one or two days to return the grant agreement. The grant agreement is a standard federal grant agreement, and the County will be unable to make any changes. Due to this compressed time frame for completing the grant agreement, the Department requests advance approval and acceptance of these funds and requests that the Board authorize the Department Director, or designee, to execute the documents for the FAA grant, subject to County Counsel review and approval, currently estimated at $60,750.
Airports Division staff will forward the FAA grant agreement to County Counsel for expedited review, and upon approval, the Department’s Director will execute the original and sponsor copy of the grant agreement, and staff will forward the grant agreement back to County Counsel for the required attorney certification on the grant agreement, which must follow the sponsor’s authorized representative’s signature.
In accordance with Board Policy A-6, Grant Applications, the Department intends to apply for a State of California, Department of Transportation, Aeronautics Division (State) Airport Improvement Program (AIP) Matching Grant, which, if received, would fund five percent (5%) of the FAA AIP Grant amount for the Georgetown Beacon Replacement Project. State AIP Matching Grants were not programmed in the 2023 Capital Improvement Program (CIP) as these funds have become unreliable; General Fund funds were included instead. If the Department is awarded a State AIP Matching Grant, a portion of the General Fund County match, estimated at $3,038, will be replaced with the State matching funds.
The Department cannot apply for the State AIP Matching Grant until the FAA grant agreement is executed, which will compress the time frame for issuing the Notice to Proceed to start the design of the Georgetown Beacon Replacement Project. To expedite this process and keep the Georgetown Beacon Replacement Project on schedule, the Department requests that the Board authorize the Department Director to execute the documents for the State AIP Matching Grant, subject to County Counsel and Risk Management review and approval.
An FAA grant agreement for a current project, the Georgetown Airport Pavement Maintenance Management Plan, and a State AIP Matching Grant Agreement for the Placerville Airport Design Phase 1 Rehabilitate Taxiway A Lighting Project, completed in 2020, both of which were administered under a similar process, are attached as an example of each type of grant agreement (Exhibits A and B).
The new beacon tower is needed to modernize the existing facilities which may be over 50 years old, and which require extensive maintenance. The condition of the existing tower and the scarcity of replacement parts makes maintaining the beacon difficult. Expensive beacon maintenance provides only temporary solutions and would be eliminated with the new beacon tower. The new beacon and beacon tower will improve safety of operations at the Georgetown Airport.
The proposed Georgetown Beacon Replacement Project includes the engineering design to disassemble and remove the existing beacon tower, including disconnection of the existing electrical service; construction of a new tower foundation at the site of the existing tower; erection of a new 55-foot tip-down beacon tower; replacement of the old beacon system with a LED medium intensity rotating beacon; and replacement of the electrical service with new cable and required grounding.
ALTERNATIVES
The Board could choose not to approve either of the grant agreements, which would result in the County not receiving grants that will fund 90% (FAA) and, possibly, 4.5% (State) of the Georgetown Beacon Replacement Project costs.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
If approved, County Counsel will review and approve the FAA grant agreement and will provide the required attorney certification on the grant agreement. If the County is successful in obtaining a State AIP Matching Grant, County Counsel will review and approve the State grant agreement.
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
Funding for the FAA grant agreement will be provided by the FAA (90%), with the local match from the General Fund (10%). The Georgetown Beacon Replacement Project is programmed for $62,000 in the 2023 CIP Book and in the FY 2023-24 Recommended Budget, with $55,800 in FAA funding and $6,200 in General Fund funding. Subsequent to these submittals, because the geotechnical study and engineering design costs increased, the Department’s airport engineering consultant updated the design cost estimate to $67,500, with $60,750 in planned FAA funding and $6,750 for the 10% local match requirement. If the FAA approves the request to increase the grant funding, the General Fund match will be increased by $550.
The FAA entered the first and lower cost estimate of $55,800 in FAA funding in its grant system but has assured the Department that the incorrect total will be corrected when the County receives the grant offer. However, this has happened in the past and the grant amount was not corrected by the FAA. If that happens again, it is possible that the General Fund would need to pay an additional $5,500 over the $6,200 that is in the FY 2023-24 Recommended Budget and programmed in the 2023 CIP Book, for a grand total of $11,700, as the FAA will be unable to change the grant amount once the grant offer is sent to the County.
Due to FAA requirement changes and projects shifting, the Department has enough General Fund funding in the FY 2023-24 Recommended Budget from another Georgetown Airport project to cover the $5,500 difference. If needed, the Department will include in the FY 2023-24 Adopted Budget proposed revisions a shift $5,500 in General Fund funding from the Georgetown Airport Obstruction Removal Project (CIP 35402002) to the Georgetown Beacon Replacement Project, decreasing Professional & Specialized Services and increasing Fixed Assets: Design Services. No additional General Fund funding would need to be added to the Department’s FY 2023-24 Budget; there would only be a shift in General Fund funding from one Georgetown Airport project to another in the FY 2023-24 Adopted Budget.
If the County is successful in receiving a State AIP Matching Grant, a portion of the General Fund funding (5% of FAA AIP Grant amount which typically equals 4.5% of the Georgetown Beacon Replacement Project costs) will be replaced with the State matching funds, estimated at $3,038 if the FAA grant amount is $60,750 or $2,790 if the FAA grant amount is $55,800. The best-case scenario would be that the total General Fund grant match will only be $3,713 if the FAA approves the increase to the grant and if the County is successful in receiving the State AIP Matching Grant.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
Public Safety, Good Governance, Infrastructure
CONTACT
Chris Perry, Assistant Director
Planning and Building Department