Title
Consider a memorandum/resolution authorizing the City Manager to accept a Federal Aviation Administration Grant for the Terminal Passenger Mechanical and Security Improvements Project.
Body
DATE: July 15, 2025
TO: Kent Cagle, City Manager
FROM: Mike Wilson, Executive Director of Aviation
SUBJECT: Authorization for City Manager to Accept a Federal Aviation Administration Grant for the Terminal Passenger Mechanical & Security Improvements Project
BACKGROUND AND FINDINGS:
Killeen Regional Airport (KRA) Staff have identified certain legacy equipment that has reached the end of its useful life. This project aims to enhance both mechanical and security improvements for the traveling public by updating older equipment, reducing maintenance costs, and improving passenger safety. Funding for this project will come from a grant provided by the Federal Aviation Administration (FAA).
On September 13, 2023, the City applied for and received an FAA Airport Infrastructure Grant (AIG) in the amount of $267,322, designated for the design phase of this project. This includes project administration, design services, bidding services, and other engineering fees.
The FAA has now notified the City of an additional AIG for the construction phase of the Terminal Passenger Mechanical & Security Improvements project. However, the actual grant will be issued only after bids have been received and reviewed, with the grant offer based on the accepted bid amount.
To comply with the FAA's timeline requirements for returning signed grant offers, Staff is requesting that the City Council approve a resolution authorizing the City Manager, or designee, to accept an FAA grant for the Terminal Mechanical & Security Improvement Project once the grant is received.
The grant will fund 95% of the costs, with matching funds coming from the FAA Passenger Facility Charge (PFC) Program Application approved by the FAA on March 14, 2025.
THE ALTERNATIVES CONSIDERED:
N/A
Which alternative is recommended? Why?
N/A
CONFORMITY TO CITY POLICY:
This item conforms to local and state policies.
FINANCIAL IMPACT:
What is the amount of the revenue/expenditure in the current fiscal year? For future years?
The financial impact of this resolution will be determined after the bids are received and reviewed. Funding will be appropriated in the year-end budget amendment based on the grant funds awarded.
Is this a one-time or recurring revenue/expenditure?
One-time
Is this revenue/expenditure budgeted?
No
If not, where will the money come from?
Funding will be appropriated in the year-end budget amendment based on the grant funds awarded.
Is there a sufficient amount in the budgeted line-item for this revenue/expenditure?
Funding will be appropriated in the year-end budget amendment based on the grant funds awarded.
RECOMMENDATION:
City Council approve a memorandum/resolution authorizing the City Manager, or designee, to accept an Airport Infrastructure Grant, with the Federal Aviation Administration, for the Terminal Passenger Mechanical & Security Improvements Project at Killeen Regional Airport.
DEPARTMENTAL CLEARANCES:
Finance
Legal
Purchasing
ATTACHED SUPPORTING DOCUMENTS:
Pre-Grant Application
Presentation