To: Board of Supervisors
From: Aviation
Agenda Section: Consent
Vote Requirement: Majority
SUBJECT:
title
Professional Services Agreement with Volaire Aviation, Inc. Regarding the Provision of Air Service Marketing Consultation Services
end
RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Approve, and authorize the Humboldt County Purchasing Agent, or a designee thereof, to execute, the attached professional services agreement with Volaire Aviation, Inc. regarding the provision of air service marketing consultation services for the period of October 1, 2024 through June 30, 2025; and
2. Authorize the acting Director of Aviation, or a designee thereof, to execute any and all subsequent amendments to the attached professional services agreement with Volaire Aviation, Inc. after review and approval by County Counsel, Risk Management and the County Administrative Office; and
3. Direct the Clerk of the Board to provide the Department of Aviation and the County Administrative Office with one (1) fully executed certified copy of the Board order related to this item.
Body
STRATEGIC PLAN:
The recommended actions support the following areas of the Board of Supervisors’ Strategic Plan:
Area of Focus: A Diverse, Equitable & Robust Economy
Strategic Plan Category: 2002 - Promote a robust tourism economy
DISCUSSION:
For over a decade, the County of Humboldt, by and through the Humboldt County Administrative Office, has maintained a central marketing function which entails collaboration with communities throughout the region to attract visitors. The County of Humboldt consistently demonstrates its commitment to tourism and marketing, recognizing the critical role of local partnerships, and funding travel and tourism initiatives. From July 5, 2016 through June 30, 2024, the County of Humboldt entered into an Agreement for Advertising and Promoting Humboldt County with the Humboldt County Convention and Visitors Bureau (“HCVB”). This agreement allocated eighteen percent (18%) of the Transient Occupancy Tax, also known as the hotel or bed tax, be collected for tourism and marketing services.
Following the HCVB’s presentation on October 25, 2022, the Humboldt County Board of Supervisors (“Board”) established a Travel and Tourism Ad Hoc Committee comprised of Supervisor Bushnell, Supervisor Madrone, the County Administrative Officer, or a designee thereof, the Economic Development Director, the Director of Aviation and other relevant staff. On June 10, 2024, the Board received an update from the Travel and Tourism Ad Hoc Committee including several recommendations, among these included, without limitation, directing the County Administrative Office to not renew the HCVB agreement for advertising and promoting the County of Humboldt, and directing the Economic Development Division of the County Administrative Office to perform a marketing asset and inventory analysis. Of the reallocated Transient Occupancy Tax funding, Forty-Five Thousand Dollars ($45,000.00) was earmarked specifically for immediate and emergent marketing needs, including, but not limited to, air service marketing.
The County of Humboldt, by and through the Humboldt County Department of Aviation, operates the region’s sole commercial service airport - California Redwood Coast-Humboldt County Airport. Providing commercial air service to Humboldt County requires expertise in maintaining market data for key tourism destination cities, monitoring and adjusting market performance initiatives based on load factors and market conditions and performance and compiling data and preparing performance marketing reports that include metrics on reach, engagement and impact on load factors. This work involves the performance of professional, expert, and technical services of a temporary and occasional character, and the County has no employees available to perform such services and is unable to hire employees for the performance thereof for the temporary period.
Volaire Aviation, Inc., has previously assisted with development of in-depth passenger leakage studies, grant applications made available through the Small Community Air Service Development Program and other air service development consultation services for Humboldt County. Much of Volaire Aviation, Inc’s work has helped lead to grant awards, new airline recruitments and retainage of airline services.
The attached professional services agreement with Volaire Aviation, Inc. will allow for the provision of various air service marketing services, including, without limitation, developing a marketing strategy target, monitoring performance of marketing initiatives and providing monthly performance reports that include marketing activity, metrics, engagement and resulting impacts on load factors, for the period of October 1, 2024 through June 30, 2025. It should be noted that the attached professional services agreement with Volaire Aviation, Inc. comes to the Board after the start date thereof due to inadvertent delays that occurred during the contract development process.
Accordingly, it is recommended that the Board approve, and authorize the Humboldt County Purchasing Agent, or a designee thereof, to execute, the attached professional services agreement with Volaire Aviation, Inc. regarding the provision of air service marketing consultation services for the period of October 1, 2024 through June 30, 2025. It is also recommended that the Board authorize the Acting Director of Aviation, or a designee thereof, to execute any and all subsequent amendments to the attached professional services agreement with Volaire Aviation, Inc., after review and approval by County Counsel, Risk Management and the County Administrative Office, in order to avoid any unnecessary delays in the provision of needed air service marketing consultation services.
SOURCE OF FUNDING:
Aviation Enterprise Fund (3530-381); Transient Occupancy Tax (1100-181)
FINANCIAL IMPACT:
|
Expenditures (3530-381) |
FY24-25 |
|
Budgeted Expenses |
$45,000.00 |
|
Total Expenditures |
$45,000.00 |
|
Funding Sources (1100-181) |
FY24-25 |
|
Transient Occupancy Tax |
$45,000.00 |
|
Total Funding Sources |
$45,000.00 |
*Projected amounts are estimates and are subject to change.
The attached professional services agreement with Volaire Aviation, Inc. has a maximum amount payable of Forty-Five Thousand Dollars ($45,000.00) for the period of October 1, 2024 through June 30, 2025. However, in the event local, state or federal funding is reduced or eliminated, the County of Humboldt may reduce the above-referenced maximum amount payable or terminate the attached professional services agreement with Volaire Aviation, Inc. in its entirety.
Expenditure appropriations related to the attached professional services agreement with Volaire Aviation, Inc. have been included in the adopted fiscal year 2024-2025 budget for the Department of Aviation budget unit 3530-381.
STAFFING IMPACT:
Approval of the attached professional services agreement with Volaire Aviation, Inc. will not impact current staffing levels.
OTHER AGENCY INVOLVEMENT:
United states Department of Transportation
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Board may choose not to approve the attached professional services agreement with Volaire Aviation Inc. regarding the provision of air service marketing consultation services. However, this alternative is not recommended as Volaire has industry-specific knowledge and data analysis tools to assist the Department of Aviation with air service marketing needs.
ATTACHMENTS:
1. Professional Services Agreement with Volaire Aviation, Inc. Regarding the Provision of Air Service Marketing Consultation Services
PREVIOUS ACTION/REFERRAL:
Meeting of: 06/10/2024
File No.: 24-969