tourism
TOURISM SANTA FE
Memo Date:
March 27, 2017
To:
City Finance Committee and City Council
From:
� Randy Randall
Via:
Brian Snyder Adam Johnson
Re:
Approval of a Memorandum of Agreement with the Northern New Mexico Air Alliance to provide $100,000 in Marketing Funds
ITEM & ISSUE: Request for approval of an MOA with the NNMAA (Northern New Mexico Air Alliance) in the amount of $100,000 to provide expanded advertising support to the efforts to increase the revenue levels of the new flights from Phoenix as well as supporting overall efforts to expand the air traffic to the Santa Fe Airport. BACKGROUND & SUMMARY: The Alliance was formed as a public private partnership in mid-2016 and promptly achieved success in attracting American Airlines interest in offering a daily flight between Phoenix and Santa Fe. A part of the transaction includes revenue guarantees for the flight. The flights began on December 15, a low season for travel from Phoenix to Santa Fe, however, the flight does also offer connections to over 30 west coast destinations. A federal grant in the amount of $500,000 and a state grant in the amount of $200,000 have been secured, each requiring matching funds to be raised by the Alliance with two years to complete. Fundraising is underway to meet this requirement, however, there is an immediate need for funds to be available to initiate the "inbound" component of the marketing effo1t. Currently loads are running at 201 W. MARCY STREET - SANTA FE, NEW MEXICO 87501 800.984.9984 - WWW.SANTAFE.ORG
TOURISM SANTA FE
approximately 58%. To accomplish the revenue guarantee levels, loads must be increased to 80%. The city is closely involved with the efforts of the Alliance through this department and the Airport management to ensure that funding from the city is spent carefully and effectively. TOURISM Santa Fe has provided $50,000 through a PSA with the SF Chamber of Commerce executed on October 13, 2016. Along with this MOA for $100,000, and an additional MOA (memo to Finance and Council dated February 1, 2017), the city involvement will total $165,000 in this fiscal year. Success of the Alliance efforts will result in continuation of the flight from Phoenix, assurance of continuation of the flights from Denver and Dallas and an expansion of service to include other target destinations of Houston, Chicago and Los Angeles. REQUESTED ACTION: Approval of funding to the Northern New Mexico Air Alliance in the amount of $100,000 from the Lodger's Tax Special Uses (2113) fund balance. Funds will be BAR' d into 22108.510310 - CVB Service Contracts. BAR is attached.
201 W. MARCY STREET - SANTA FE, NEW MEXICO 87501 800.984.9984 - WWW.SANTAFE.ORG
City of Santa Fe Summary of Contracts, Agreements, & Amendments Se ction to b e compl eted by d e partment for e ach contract or contract ame n d me nt 1
FOR: ORIGINAL CONTRACT
2
Name of Contractor • N
3
Complete information requested
0
I
Qx.\l}ut,) .
or CONTRACT AMENDMENT
I
mo H
�.ia...n Uc::::::::::
[.....l,Re/tlsive of GRT
Original Contract Amount: Termination Date:
-------------
I
Approved by Council
Date:
I
or by City Manager
Date:
Amendment#
-------
lncrease/(Decrease) Amount$ Extend Termination Date to:
r
1 Plus GRT
to the Original Contract#
-------------
Approved by Council
Date:
or by City Manager
Date:
�= � �=��: _1_________________________________ e d
4
=
History of Contract & Amen d ments: (option: attach spreadsheet if multiple amendments) Amount$ Amount$ Amount$ Amount$
Reason: Reason: Reason: Reason:
of original Contract#
Termination Date:
r
Plus GRT
r
Inclusive of GRT
amendment#
---------- Termination Date: -------
amendment#
---------- Termination Date: -------
amendment#
Total of Original Contract plus all amendments: $
Termination Date:
------------------1 of 2
City of Santa Fe Summary of Contracts, Agreements, & Amendments 5
Procurement Method of Original Contract: (complete one of the lines)
RFP#�
�N>,/1YlJ1A
Date
/0/�/J(f_
----------Sole Source -------------- Date: ----------Other -----------------------------------RFQ
r
Date:
-1-4/sf_!:._..,.��M�.._________ _____ u/Si.A .:l/1� �g_� s.p.C·
6
Procurement History: example: (First year of
7
Funding Source:
8
Any out-of-the ordinary or unusual issues or concerns:
-:-----,.---t---:-=---------
year fufi�ract)
C�:€,-�{!Q QC)nl-�
BU/Line Item:
btl£.u,}o�J6&.5/03'/()
(Memo may be attached to explain detail.) 9
P hone# 10
�@=""=,,-----------------
Staff Contact who completed this form: \ �� - ��::z:w:· \-\......._../' .,.
':J_{.e�/{)
Certificate of Insurance attached. (if original Contract)
Submit to City Attorney for review/signature Forward to Finance Director for review/signature Return to originating Department for Committee(s) review or forward to City Manager for review and approval (depending on dollar level). To be recorded by City Clerk:
Contract# Date of contract Executed (i.e., signed by all parties): Note: If further information needs to be included, attach a separate memo. Comments:
? nf?
Log # (Finance use !ll1!i'.) : Batch# (Finance use !ll1!i'.):
City of Santa Fe, New Mexico
BUDGET AMENDMENT RESOLUTION (BAR) DEPARTMENT/ DIVISION NAME
DATE 02/23/2017
ITEM DESCRIPTION
BUSINESS UNIT
LINE ITEM
SUBSIDIARY
SUBLEDGER
(.000000)
(0000)
EXPENDITURES
(enter as positive #} (en/er as � #}
CVB - Service Contracts
22108
510310
Inter-Fund Transfer Out
22105
700150
100,000 100,000
2115
REVENUES Inter-Fund Transfer In
(enter as negative #}
21115
600150
2113
JUSTIFICATION: /use adc!irional page if needod) -Attach supporting documentation/memo
amendment to a PSA with the SF Chamber O
ortunities Fund for additional su
ort for
marl<etin and airline seat uarantees, in accordance with the ori inal a reement.
100.000
-
$
(Complete section below if BAR results in a net chan e to ANY Fund
Fund(sl Affected: 2113
{Use this form for Finance Committel!I
Fund Bal. Increase/ IDecre asel:
100,000
�t} 17
City Council agenda items ONLY}
02/2312017 Date
(enter as positive #}
(100,000)
5
This request is to move funds from the 2113 fund cash balance into CVB to support an
Antoinette Armijo Prepared By {print name)
DECREASE
INCREASE
Da1e
CITY COUNCIL APPROVAL
-=-:----r.----::,.,--,..---:---.-==------------1 Date Approval Date C,ty CclHlc,/
2 )·22J1
____________
Date ..._
Agef>ddlrem a
Date
City Manager {s
S50.000)
Date
Memo Date:
March 27, 2017
To:
City Finance Committee and City Council
From:
� Randy Randall
Via:
Brian Snyder Adam Johnson
Re:
Approval of a Memorandum of Agreement with the Northern New Mexico Air Alliance to provide $100,000 in Marketing Funds
ITEM & ISSUE: Request for approval of an MOA with the NNMAA (Northern New Mexico Air Alliance) in the amount of $100,000 to provide expanded advertising support to the efforts to increase the revenue levels of the new flights from Phoenix as well as supporting overall efforts to expand the air traffic to the Santa Fe Airport. BACKGROUND & SUMMARY: The Alliance was formed as a public private partnership in mid-2016 and promptly achieved success in attracting American Airlines interest in offering a daily flight between Phoenix and Santa Fe. A part of the transaction includes revenue guarantees for the flight. The flights began on December 15, a low season for travel from Phoenix to Santa Fe, however, the flight does also offer connections to over 30 west coast destinations. A federal grant in the amount of $500,000 and a state grant in the amount of $200,000 have been secured, each requiring matching funds to be raised by the Alliance with two years to complete. Fundraising is underway to meet this requirement, however, there is an immediate need for funds to be available to initiate the "inbound" component of the marketing effo1t. Currently loads are running at 201 W. MARCY STREET - SANTA FE, NEW MEXICO 87501 800.984.9984 - WWW.SANTAFE.ORG
TOURISM SANTA FE
approximately 58%. To accomplish the revenue guarantee levels, loads must be increased to 80%. The city is closely involved with the efforts of the Alliance through this department and the Airport management to ensure that funding from the city is spent carefully and effectively. TOURISM Santa Fe has provided $50,000 through a PSA with the SF Chamber of Commerce executed on October 13, 2016. Along with this MOA for $100,000, and an additional MOA (memo to Finance and Council dated February 1, 2017), the city involvement will total $165,000 in this fiscal year. Success of the Alliance efforts will result in continuation of the flight from Phoenix, assurance of continuation of the flights from Denver and Dallas and an expansion of service to include other target destinations of Houston, Chicago and Los Angeles. REQUESTED ACTION: Approval of funding to the Northern New Mexico Air Alliance in the amount of $100,000 from the Lodger's Tax Special Uses (2113) fund balance. Funds will be BAR' d into 22108.510310 - CVB Service Contracts. BAR is attached.
201 W. MARCY STREET - SANTA FE, NEW MEXICO 87501 800.984.9984 - WWW.SANTAFE.ORG
City of Santa Fe Summary of Contracts, Agreements, & Amendments Se ction to b e compl eted by d e partment for e ach contract or contract ame n d me nt 1
FOR: ORIGINAL CONTRACT
2
Name of Contractor • N
3
Complete information requested
0
I
Qx.\l}ut,) .
or CONTRACT AMENDMENT
I
mo H
�.ia...n Uc::::::::::
[.....l,Re/tlsive of GRT
Original Contract Amount: Termination Date:
-------------
I
Approved by Council
Date:
I
or by City Manager
Date:
Amendment#
-------
lncrease/(Decrease) Amount$ Extend Termination Date to:
r
1 Plus GRT
to the Original Contract#
-------------
Approved by Council
Date:
or by City Manager
Date:
�= � �=��: _1_________________________________ e d
4
=
History of Contract & Amen d ments: (option: attach spreadsheet if multiple amendments) Amount$ Amount$ Amount$ Amount$
Reason: Reason: Reason: Reason:
of original Contract#
Termination Date:
r
Plus GRT
r
Inclusive of GRT
amendment#
---------- Termination Date: -------
amendment#
---------- Termination Date: -------
amendment#
Total of Original Contract plus all amendments: $
Termination Date:
------------------1 of 2
City of Santa Fe Summary of Contracts, Agreements, & Amendments 5
Procurement Method of Original Contract: (complete one of the lines)
RFP#�
�N>,/1YlJ1A
Date
/0/�/J(f_
----------Sole Source -------------- Date: ----------Other -----------------------------------RFQ
r
Date:
-1-4/sf_!:._..,.��M�.._________ _____ u/Si.A .:l/1� �g_� s.p.C·
6
Procurement History: example: (First year of
7
Funding Source:
8
Any out-of-the ordinary or unusual issues or concerns:
-:-----,.---t---:-=---------
year fufi�ract)
C�:€,-�{!Q QC)nl-�
BU/Line Item:
btl£.u,}o�J6&.5/03'/()
(Memo may be attached to explain detail.) 9
P hone# 10
�@=""=,,-----------------
Staff Contact who completed this form: \ �� - ��::z:w:· \-\......._../' .,.
':J_{.e�/{)
Certificate of Insurance attached. (if original Contract)
Submit to City Attorney for review/signature Forward to Finance Director for review/signature Return to originating Department for Committee(s) review or forward to City Manager for review and approval (depending on dollar level). To be recorded by City Clerk:
Contract# Date of contract Executed (i.e., signed by all parties): Note: If further information needs to be included, attach a separate memo. Comments:
? nf?
Log # (Finance use !ll1!i'.) : Batch# (Finance use !ll1!i'.):
City of Santa Fe, New Mexico
BUDGET AMENDMENT RESOLUTION (BAR) DEPARTMENT/ DIVISION NAME
DATE 02/23/2017
ITEM DESCRIPTION
BUSINESS UNIT
LINE ITEM
SUBSIDIARY
SUBLEDGER
(.000000)
(0000)
EXPENDITURES
(enter as positive #} (en/er as � #}
CVB - Service Contracts
22108
510310
Inter-Fund Transfer Out
22105
700150
100,000 100,000
2115
REVENUES Inter-Fund Transfer In
(enter as negative #}
21115
600150
2113
JUSTIFICATION: /use adc!irional page if needod) -Attach supporting documentation/memo
amendment to a PSA with the SF Chamber O
ortunities Fund for additional su
ort for
marl<etin and airline seat uarantees, in accordance with the ori inal a reement.
100.000
-
$
(Complete section below if BAR results in a net chan e to ANY Fund
Fund(sl Affected: 2113
{Use this form for Finance Committel!I
Fund Bal. Increase/ IDecre asel:
100,000
�t} 17
City Council agenda items ONLY}
02/2312017 Date
(enter as positive #}
(100,000)
5
This request is to move funds from the 2113 fund cash balance into CVB to support an
Antoinette Armijo Prepared By {print name)
DECREASE
INCREASE
Da1e
CITY COUNCIL APPROVAL
-=-:----r.----::,.,--,..---:---.-==------------1 Date Approval Date C,ty CclHlc,/
2 )·22J1
____________
Date ..._
Agef>ddlrem a
Date
City Manager {s
S50.000)
Date
