RECOMMENDATION(S): (CONT'D)
APPROVE and AUTHORIZE the Chair of the Board of Supervisors to sign a Statement of Acceptance with the Federal Aviation Administration for grant funds to construct a replacement terminal building, ARFF facility, and administrative offices at Buchanan Field in the approximate amount of $6,500,000. It is expected that there will be multiple grants due to the scope of the project.
APPROVE and AUTHORIZE the Director of Airports, or designee, to sign an acceptance of funds under the California Aid to Airports Program Grant Agreement-Federal AIP Matching Funds grant program to construct a replacement terminal building at Buchanan Field in the approximate amount of $300,000. It is expected that there will be multiple grants due to the scope of the project.
FISCAL IMPACT:
There is no negative impact on the General Fund. The total project amount will be approximately $9,500,000. Approximately 68%, or $6,500,000, will be from the FAA, approximately 3.15%, or $300,000, will be from Caltrans, and approximately 28.85%, or $2,700,000, will be from the Airport Enterprise Fund using a combination of capital reserves and or debt service financing.
BACKGROUND:
The Buchanan Field Airport Master Plan adopted by the Board of Supervisors on October 28, 2008, identifies a new general aviation terminal (Terminal) on the capital improvement list. The Terminal will replace the existing terminal building at the north end of John Glenn Drive. The Terminal would include space for the Airports Division Administrative staff, Airport Rescue and Fire Fighting (ARFF) staff and equipment, public space to support scheduled/unscheduled air service providers, office space for aviation businesses, and general public meeting space. The Airports Division currently rents office space from one of the airport businesses and moving those functions into the Terminal will accommodate the additional office space needed, while resulting in a long-term savings to the Airport Enterprise Fund.
This FAA grant funding request is consistent with the Buchanan Field Airport Master Plan adopted by the Board of Supervisors on October 28, 2008, plus governing FAA grant assurances and policies. The environmental review has been completed and the building design is underway. On February 27, 2018 the Board authorized Airport staff to submit FAA and Caltrans grants for the design of the ARFF portion of the project; this was the only FAA grant funded eligible component at the time. The FAA and Caltrans subsequently issued grants totaling approximately $283,000. The total project design cost is approximately $1,055,000. The FAA and Caltrans are now willing to consider providing additional funding for portions of the terminal building design, estimated to be approximately $500,000.
The FAA is expected to fund a significant portion of the project construction costs associated with the ARFF function and public areas of the terminal building, since Buchanan Field Airport has an active Part 139 certificate. The estimated total project construction cost is $9,500,000, of which approximately 43%, or $4,100,000, is related to the ARFF function and 25% or $2,400,000 is associated with the terminal building. Grant applications will be submitted to the FAA and Caltrans, $6,500,000 and $300,000 respectively, for funding the ARFF and terminal building eligible components. The Airport Enterprise Fund will pay the grant match and all non-grant eligible costs, estimated at $2,700,000, including the construction of the Airport’s administrative office space.
CONSEQUENCE OF NEGATIVE ACTION:
The County will not receive the FAA and Caltrans Grant funding necessary to construct the terminal building, ARFF facility, and administrative offices, which will result in the project not being completed. The Airports Division will also continue to rent office/ARFF space for approximately $6,500 per month, which also doesn’t meet the short-term or long-term space needs.