11 - Runway Payment to TxDOTItem No. 11
TO: Mayor, Mayor Pro -Tem & City Council
Grayson Path, City Manager
FROM: Paul Strahan, Airport Manager / FBO Operator
SUBJECT: Runway Payment to TXDOT
DATE: September 11, 2023
The City of Paris and TxDOT have been in negotiations for several years to perform a significant
runway rehabilitation project together. Design for this project was approved in 2022 and is in the
process of being completed. Survey site work and geotechnical investigation are both underway.
Originally the City was told by TxDOT that the construction portion of the runway rehabilitation
project would start the summer of 2023, this did not happen. We have now recently been informed
that the construction portion of the project has been rescheduled for the summer of 2024. When
asked why the schedule change, the TxDOT project manager said it was due to significant staff
vacancies within TXDOT. Paris is not the only airport that has been rescheduled.
STATUS OF ISSUE:
The City has budgeted $275,000.00 in matching funds using ARPA for this project in FY22/23.
The TxDOT timeline is not solid enough to know if the project will truly occur in the summer of
2024, and we have the understanding that ARPA funds will need to be dedicated for specific
expense by late 2024. Therefore, given our match is significant and it would be difficult to recoup
these funds but for ARPA, we have asked and TxDOT has agreed to receive our match now and
hold it until the project begins. Should the federal and/or state ever inquiry about our ARPA funds,
this should provide the necessary defense of their obligation and prevent them from being recalled
should timelines continue to not work out. TxDOT is committed to seeing our project completed,
however should that for whatever reason not happen, we will receive our funding back.
BUDGET:
The City has allocated $275,000.00 in ARPA funding for the 10% match necessary for this project.
It should be noted that as time continues to go by, construction costs will likely go up, making our
allocated amount insufficient to meet our 10% requirement. This is unfortunately out of our control
and will have to be addressed when that time comes.
OPTIONS:
1. Approve the payment of $275,000.00 to the TxDOT to be held for our anticipated Airport
project and authorize the City Manager to sign.
2. Do not approve the payment to be held upfront, but instead wait until the project is ready
for bid before payment is made.
3. Request additional information to be brought back to the City Council for consideration.
RECOMMENDATION:
1. Approve the payment of $275,000.00 to the TxDOT to be held for our anticipated Airport
project and authorize the City Manager to sign.