REPORT TO THE CITY COUNCIL
April 25, 2019
FROM: KEVIN R. MEIKLE, Director of Aviation
Airports Department
SUBJECT
Title
Actions pertaining to the environmental analysis and financing of various projects at Fresno Yosemite International Airport (Council District 4):
1. ***RESOLUTION - 37th Amendment to the Annual Appropriation Resolution (AAR) No. 2018-157 to Appropriate $2,865,700 for the Preliminary Costs of Environmental Work and Related Contracts for FATforward Improvements Program at the Fresno Yosemite International Airport (Requires 5 affirmative votes) (Subject to Mayor’s veto)
2. Approve a consulting services agreement between the City of Fresno and Coffman Associates, Inc., for the preparation of NEPA and CEQA environmental documentation for projects at Fresno Yosemite International Airport in an amount not to exceed $324,637
Body
RECOMMENDATIONS
Staff recommends that Council, (i) Adopt the 37th Amendment to AAR No. 2018-157 appropriating $2,865,700 for preliminary work related to financing and projects associated with the FATforward improvements at Fresno Yosemite International Airport (FAT), and (ii) Authorize the Director of Aviation to execute an agreement between the City and Coffman Associates, Inc. (Coffman) for preparation of National Environmental Policy Act (NEPA) and California Environmental Quality Act (CEQA) environmental documentation for projects at FAT in an amount not to exceed $324,637.
EXECUTIVE SUMMARY
As FAT’s expansion program, branded FATforward, moves forward, new FY2019 expenditures are necessary. The 37th Amendment to AAR No. 2018-157 will include funding necessary for NEPA and CEQA environmental studies, financing expenses, preliminary project designs and project delivery evaluations.
Initiating the Coffman agreement for environmental studies is necessary to keep project timelines on track and is a condition to execute the State of California Infrastructure Bank (IBank) financing for FAT’s parking garage.
BACKGROUND
To ensure that FAT continues to serve the air transportation and economic development needs of Central California, the Airports Department commissioned an Airport Master Plan Update which was completed in 2018. The study provides a strategic vision for the growth and operation of the Airport in a responsible and fiscally feasible manner over the next 20 years. As part of that vision, the Master Plan Update identifies near term development projects necessary to maintain the safe and efficient movement of aircraft, vehicles, passengers and products in and around the Airport. Implementation of these projects has been branded “FATforward” to identify their role in moving Fresno and the surrounding region forward. FATforward projects include a multi-level Parking facility and approach roadways, Terminal Building improvements, and Apron improvements on the airside. To ensure compatibility with the surrounding community and environment, the Department will engage Coffman Associates to perform an environmental review of each of the FATforward projects per NEPA and CEQA requirements.
Through a competitive Request for Qualifications (RFQ) process, the Airports Department invited interested environmental consulting firms to submit Statements of Qualification for consideration. The Department advertised the RFQ in The Business Journal, Airport Consultants Council (Aviation Publication) and on the Airport’s website. Three professional consulting firms submitted Statements of Qualification for evaluation, and two firms were found to be qualified. Coffman Associates was selected to provide NEPA and CEQA environmental consulting services for the FATforward projects.
Other planned expenses associated with the 37th Amendment to AAR No. 2018-157 include Bond Counsel fees related to drafting a Supplemental Bond Indenture authorizing financing for the parking garage, a financing origination fee payable to the IBank which financing application has been approved by Council, provision for a debt service reserve fund, or, alternatively, payment to a bond insurer for a surety policy, and financial advisory fees to the City’s Financial Advisor. Also included are staff costs related to the Fatforward projects, and costs related to preparing a Passenger Facility Charge application for a portion of the Fatforward funding. The total estimated cost of these efforts and the Coffman agreement is $2,865,700.
The environmental documentation preparation and other planned expenses are essential to the successful implementation of FATforward. They comprise a set of fees for the financing with the IBank, staff work related to the projects, and services that either must be provided by third parties, or are highly specialized.
The scope of work and fee contained in the attached Coffman agreement represent extensive review and negotiation with the consultant including an independent third party fee evaluation as required by the FAA. The agreement has been reviewed and approved as to form by the City Attorney’s office.
ENVIRONMENTAL FINDINGS
This is not a “project” pursuant to CEQA Guidelines Section 15378.
LOCAL PREFERENCE
Local preference is not applicable to this project pursuant to Fresno Municipal Code 4-109(b)(3).
FISCAL IMPACT
FATforward is part of the Department’s ongoing commitment to ensure FAT remains operationally ready and is properly positioned for local and regional growth. The $2,865,700 requested in the 37th Amendment to AAR No. 2018-157 will provide the appropriation necessary to execute the Coffman agreement and fund other services essential to the successful implementation of FATforward. There is no impact to the General Fund from this action.
Attachments:
- Consulting Agreement with Coffman Associates
- Resolution Adopting the 37th Amendment to AAR No. 2018-157