Subject:
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American Rescue Plan Act of 2021 program resulting grant applications, grant agreements, and documents designated for the St. Pete-Clearwater International Airport.
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Recommended Action:
Recommended Action
Approval of the grant applications and resulting grant agreements that the St. Pete-Clearwater International Airport (PIE) must submit to the Federal Aviation Administration as a result of the recently passed American Rescue Plan Act of 2021 (ARPA).
• On March 11, 2021, the President signed the ARPA (Public Law 117-2). Section 7102 of ARPA provides approximately $8B in economic relief to airports.
• The funds are being given to prevent, prepare for, and respond to the coronavirus disease 2019 (COVID-19) public health emergency, including relief from rent and minimum annual guarantees for eligible airport concessions at primary airports such as PIE.
• PIE’s total grant amount is $10,788,946.00. Of that amount, $979,617.00 provides relief from rent and minimum annual guarantees (MAGs) to in-terminal airport concessionaires, while the remaining $9,809,329.00 provides reimbursement for airport employee payroll and operational expenses to combat COVID-19. No local match is required.
• The grant must be obligated by November 30, 2021 and expended within four years.
• The grant agreement may be sent directly to the Board Chairman for electronic signature to streamline the process.
Authorize the Clerk of the Circuit Court to attest the two ARPA grant applications and resulting grant agreement documents that will follow in the next few months.
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Strategic Plan:
Ensure Public Health, Safety, and Welfare
2.1 Provide planning, coordination, prevention, and protective services to ensure a safe and secure community.
Foster Continual Economic Growth and Vitality
4.1 Proactively attract and retain businesses with targeted jobs to the county and the region.
Summary:
Summary
Under this new ARPA, primary commercial service airports will share $6.492B based on the numbers of annual passenger boardings. Primary commercial airports will share an additional $800M based on the number of annual boardings, and these funds will be available to provide relief from rent and MAGs to in-terminal airport concessions, which do not include airport rental car concessions or airport parking concession as the Airport Coronavirus Response Grant Program funds did. Airports will provide this relief to each airport concession based on its proportional share of the total annual rent and MAGs for the airport. PIE, through its concessionaire agreements, already allows MAGs to be waived when the passenger traffic falls below a critical level.
There will be no local share required on the ARPA funding.
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Background Information:
The support for airports included in the ARPA will help sustain them through the expected gradual recovery of passenger travel, even though the pace of recovery remains uncertain.
Fiscal Impact:
The Airport’s FY22 Budget includes $7,000,000.00 of the total grant amount of $10,788,946.00. The $7,000,000.00 is the amount anticipated to be received in FY22 with the remaining revenue anticipated in FY23-FY25. No local match is required.
Staff Member Responsible:
Thomas R. Jewsbury, Director, St. Pete-Clearwater International Airport
Partners:
FAA
Attachments:
ARPA Grant Application for Airport Concessionaires
ARPA Grant Application for Personnel and Operational Expenses