DEPARTMENT: Government and Public Affairs
DEPARTMENT HEAD: Jeff Coyle
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
Renewal, Amendment and Subcontractor Approval of Federal Representation Services Contract.
SUMMARY:
An Ordinance authorizing the execution of a renewal and two-year extension of the Professional Services Agreement for Federal Representation Services with Downs Government Affairs, as well as an amendment and approval of a subcontractor with specialized expertise in Federal Aviation Administration (FAA) issues for calendar year 2017 only . The fiscal impact of the two year extension, subject to annual appropriations by the City Council, is as follows:
• $22,500 monthly beginning January 1, 2017 and ending December 31, 2017, for Downs Government Affairs and approved subcontractors, to include the addition of the Normandy Group, which will focus on securing nonstop air services to Reagan National Airport in Washington, DC.
• $12,500 monthly from January 1, 2018 through December 31, 2018 for Downs Government Affairs and approved subcontractors.
BACKGROUND INFORMATION:
The City of San Antonio has retained consultants to represent its federal interests in Washington, D.C. since 1994. Increasingly challenging budget constraints make it imperative for local communities to have strong advocates at the federal level. Consultants enhance the City's ability to communicate with federal officials on San Antonio's priority issues and communicate regularly with City Council and staff on issues in the City's Federal Legislative Program. Additionally, the consultants coordinate with staff in planning City IGR Council Subcommittee visits to Washington, D.C. and facilitate meetings with the appropriate elected and appointed officials. Finally and most importantly, they provide strategic advice and planning on maximizing our community's efforts to secure federal funding for key priority City projects.
Obtaining a nonstop flight from San Antonio International Airport (SAT) to Ronald Reagan Washington National Airport (DCA) is the top priority of the City Council-approved Federal Legislative Program for the 115th U.S. Congress. The issue will likely be considered in the 115th U.S. Congress, which convened January 3rd, 2017, because the existing FAA authorization expires September 30, 2017. Recognizing the unique dynamics surrounding the FAA Reauthorization, the Government and Public Affairs staff sought specialized expertise to enhance the City’s advocacy efforts and interviewed four firms to potentially join the Downs Government Affairs team as a subcontractor.
On May 21, 2015, City Council approved, through ordinance number 2015-05-21-0425, the execution of a professional services agreement with Venable LLP for federal representation services. On February 2, 2016, City Council approved, through ordinance number 2016-02-11-0090, the assignment of the federal representation services contract with Venable LLP to Downs Government Affairs. The assignment was necessary due to conflicting interests between Venable’s municipal and for-profit clients.
Staff proposes adding The Normandy Group as a subcontractor to provide the representation services needed to successfully navigate the legislative, administrative, and political challenges to obtain an SAT-DCA nonstop flight and manage additional Federal Aviation Administration (FAA) issues. Thomas C. Downs will remain as primary consultant for the federal issues included in the 115th Legislative Program with the exception of the FAA issues. Baltazar ("Walter") Serna will provide support with the all the 115th Legislative Program issues, to include the FAA issues. Normandy Group would be primarily responsible for FAA issues and would serve as a subcontractor to the contract with Downs Government Affairs.
Expertise:
a) Tom Downs brings over 20 years of experience representing local governments, colleges and universities and other clients on federal funding and policy initiatives. He served as the City's federal consultant from 2009-2016, and played a role in successfully securing funding for a new Federal Courthouse in downtown San Antonio. Previously, he spent 10 years on Capitol Hill as legislative assistant, legislative director and chief of staff, serving members of the Committees on Appropriations, Armed Services, and Science, Space & Technology. Additionally, Walter Serna brings twenty eight years of experience practicing law and has been representing the City as a local federal consultant for 15 years.
b) The Normandy Group team includes Louis Dupart and Henry Bonilla. Dupart is the firm’s Managing Partner and has 18 years of experience working on aviation issues in Washington. Dupart successfully secured daily slots at Reagan National Airport (DCA) for Midway Airlines for flights from its Raleigh-Durham hub. In addition, Dupart worked closely with the City of Cleveland and Continental Airlines to secure a route between Cleveland and London’s Gatwick Airport, marking the first direct European flight for the city of Cleveland. Henry Bonilla joined The Normandy Group as a Partner after serving 14 years in the U.S. House of Representatives. Mr. Bonilla works with a variety of clients to help them promote their initiatives on Capitol Hill and in the Executive branch and has extensive knowledge of the San Antonio region.
ISSUE:
This ordinance is consistent with City policy of retaining consultants to supplement the City’s advocacy efforts with Agency personnel, Congressional members of key committees of jurisdiction and the Administration. It is also consistent with the City policy of building strategic alliances with officials in Washington, D.C. who may be poised to further the City’s interests. Finally, it is consistent with City policy of developing a detailed strategy to further the City’s adopted Federal Legislative Program. The addition of Normandy Group as a subcontractor is consistent with the City’s desire to enhance nonstop air service from San Antonio International Airport.
ALTERNATIVES:
The City Council could choose not to exercise the contract extension, and staff could begin an RFP process to solicit Federal Representation Services for the 115th U.S. Congress. The City Council could choose not to approve the subcontractor amendment, which would mean the City would not have specialized expertise assisting the City’s efforts to obtain the SAT-DCA nonstop flight and other FAA issues. The 115th Congress convened on January 3, 2017, and barring additional extensions from Congress, the FAA reauthorization must be addressed prior to the deadline of September 30, 2017. With an incoming Administration and a new Congressional Session it is very important to continue having federal representation in Washington D.C. to advocate for City priorities and help protect the city’s interests.
FISCAL IMPACT:
The Professional Services Agreement for Federal Representation Services was previously approved by City Council and was funded at $200,000 per year for FY 2017. The subcontractor amendment to add the Normandy Group would be funded by a contribution from the City’s Aviation Department’s Enterprise Fund for a total of $60,000 and an additional $10,000 from the Government and Public Affairs Department FY 2017 budget. These additional funds will only extend through December 31, 2017, at which time the Normandy Group’s subcontract would expire. The second year of the Federal Representation Contract with Downs Government Affairs would be funded at $150,000 for 2018.
Total funding for the Downs Government Affairs contract and all subcontractors is $202,500 in the remaining 9 months of FY 2017. Sufficient funds were previously appropriated in the FY 2017 General Fund and Aviation Enterprise Fund. The remaining FY 2018 and FY 2019 payments are subject to City Council appropriation.
RECOMMENDATION:
City staff recommends approval of this ordinance to assure City representation during the 115th Unites States Congress.