"Airport Improvement Program (AIP) Grant Assurances; Proposed Modifications and Opportunity To Comment"

Wednesday, August 25, 2004

Airport Improvement Program Grant Assurances; Proposed Modifications and
Opportunity To Comment
The Federal Register


DATES: Comments must be submitted on or before 30 calendar days
following publication in the Federal Register. Any necessary or
appropriate revision to the assurances resulting from the comments
received will be adopted as of the date of a subsequent publication in
the Federal Register. Finally, comments may be provided on the
project-related assurances and certifications FAA is proposing to
convert into grant conditions or certificates as listed in the table
below. FAA anticipated the wording of the future grant
conditions/certifications, which can be found at
http://www.faa.gov/arp/pdf/assrnap.pdf, will be unchanged except to the
extent that some minor changes may be made due to the new context for
these conditions/certifications.

ADDRESSES: Comments may be delivered or mailed to the FAA, Airports
Financial Assistance Division, APP-500, Attn: Mr. Kendall Ball, Room
619, 800 Independence Ave., SW., Washington, DC 20591.

FOR FURTHER INFORMATION CONTACT: Mr. Kendall Ball, Airport Improvement
Program Branch, APP 520, Airports Financial Assistance Division, Room
619, FAA, 800 Independence Avenue, SW., Washington, DC 20591, Telephone
(202) 267-7436.

SUPPLEMENTARY INFORMATION: The Secretary must receive certain assurances
from a sponsor (applicant) seeking financial assistance for airport
planning, airport development, noise compatibility planning or noise
mitigation under Title 49, U.S.C., as amended. These assurances are
submitted as part of a sponsor's application for Federal assistance
and are incorporated into all grant agreements. As need dictates, these
assurances are modified to reflect new Federal requirements. Notice of
such proposed modifications is published in the Federal Register, and an
opportunity for public comment is provided.

The current assurances were published on February 3, 1988, at 53 FR 3104
and amended on September 6, 1988, at 53 FR 34361; on August 29, 1989, at
54 FR 35748; on June 10, 1994 at 59 FR 30076; on January 4, 1995, at 60
FR 521; on June 2, 1997, at 62 FR 29761; and on August 18, 1999, at 64
FR 45008.

Discussion of Modifications

In the past, FAA used four separate sets of standard assurances: Airport
Sponsors (owners/operators), Planning Agency Sponsors, Non-Airport
Sponsors Undertaking Noise Compatibility Program Projects (hereinafter
referred to as Non-Airport Sponsor Assurances), and State Assurances
(for the Block Grant Program). Moreover, we included requirements for
carrying out AIP-funded projects as general grant assurances. From time
to time, this approach has led to confusion over the application of
these requirements to projects completed without AIP support. FAA is
modifying the assurances currently in effect to incorporate the changes
noted below.

To simplify the discussion, the modifications are shown in a table
format for comparison with existing assurances, which can be found at
http: //www.faa.gov/arp/pdf/assrnap.pdf. The disposition of each
assurance will be shown as: (a) Retention as an assurance with its
proposed new assurance number; (b) conversion to a certification to be
included with the application for Federal Assistance (Standard Form
424); or (c) conversion to a grant condition. Project related assurances
will be converted to certifications or grant conditions. This change in
approach will clarify those grant requirements that are both project
specific and expire upon the completion of the project. This notice is
not intended to change the manner in which grant agreement obligations
are enforced.

For the most part, assurances that are proposed for retention are
incorporated without change, however, there are some instances of
wording modifications for clarity that are noted in the table.

As a result of this proposed change, the assurances for Planning Agency
Sponsors and those for Non-Airport Undertaking Noise Compatibility
Program Projects will be eliminated and incorporated either as grant
application certifications or grant conditions since all of the
assurances are effective only for the duration of the projects. In
addition, two new assurances are added at the end as a result of the
recently enacted Public Law 108-176 and another assurance was added in
full text that was previously incorporated by reference. Finally, old
assurance number 31 (proposed new assurance c. 15) is changed to reflect
section 164 of Public Law 108-176, which permitted expanded use of
revenue from sale of land purchased for noise compatibility
purposes..TABLE Assurance Title Disposition number A. General Retained
as A. General, with minor addition of block grant states in par. 1. B.
Duration and Applicability Retained as B. Duration and Applicability
with elimination of par. 3. C. 1. General Federal Requirements
Conversion to grant condition, new assurance for the DBE concession
requirement. 2. Responsibility and Authority Conversion to application
of the Sponsor certification. 3. Sponsor Fund Availability Conversion to
application certification. 4. Good Title Conversion to application
certification; clarification added to assurance c. 1 (see old assurance
no. 5 immediately below). 5. Preserving Rights and Powers Retained as
assurance c. 1; clarifying change in subparagraph (b) to include
reference to Good Title; delete provisions related to nonairport local
governments' receiving funding for noise compatibility projects
under former 5(c). 6. Consistency with Local Plans Conversion to
application certification. 7. Consideration of Local Conversion to
application Interest certification. 8. Consultation with Users
Conversion to application certification. 9. Public Hearings Conversion
to application certification. 10. Air and Water quality Eliminated by
P.L 108-176. Standards 11. Pavement Preventive Retained as assurance
c.2. Maintenance 12. Terminal Development Conversion to application
Prerequisites certification. 13. Accounting System, Audit, Conversion to
grant and Record Keeping condition. Requirements 14. Minimum Wage Rates
Conversion to grant condition. 15. Veteran's Preference Conversion
to grant condition. 16. Conformity to Plans and Conversion to grant
Specifications condition. 17. Construction Inspection and Conversion to
grant Approval condition. 18. Planning Projects Conversion to grant
condition. 19. Operation and Maintenance Retained as assurance c.3. 20.
Hazard Removal and Retained as assurance c.4. Mitigation 21. Compatible
Land Use Retained as assurance c.5. 22. Economic Nondiscrimination
Retained as assurance c.6. with clarifying language. 23. Exclusive
Rights Retained as assurance c.7 with clarifying language. 24. Fee and
Rental Structure Retitled and retained as assurance c.8. 25. Airport
Revenues Retitled and retained as assurance c.9. 26. Reports and
Inspections Par. (a), (c), and (d) retained as assurance c.10; par. (b)
revised. 27. Use of Government Aircraft Retained as assurance c.11. 28.
Land for Federal Facilities Retained as assurance c.12. 29. Airport
Layout Plan Retained as assurance c.13. 30. Civil Rights Retained as
assurance c.14. 31. Disposal of Land Retained as assurance c.15, wording
changed in accordance with P.L. 108- 176. 32. Engineering and Design
Conversion to grant Services condition. 33. Foreign Market Restrictions
Conversion to grant condition. 34. Policies, Standards, and Conversion
to grant Specifications condition. 35. Relocation and Real Property
Conversion to grant Acquisition condition. 36. Access by Intercity Buses
Retained as assurance c. 16. 37. Disadvantaged Business Retained as
assurance c. 19. Enterprises New Hangar Construction New assurance c.
17. Assurance New Competitive Access New assurance c.18. Assurance New
Participation by Incorporated as full text in Assurance Disadvantaged
Businesses in assurance c. 19., as Airport Concessions subparagraph (b).
(previously incorporated by reference)

In summary, of the 39 provisions of the existing airport sponsor
assurances, 19 will be retained as assurances, 12 will be converted to
grant conditions and 8 will be converted to application certifications.
One assurance was eliminated by Public Law 108-176, and three additional
assurances are proposed (two as a result of Public Law 108-176 and one
due to the need to provide full text for an assurance that was
previously incorporated by reference.)

Proposed Assurances

The assurances being proposed under this notice are as follows:

Airport Sponsors

A. General

1. These assurances shall be complied with in the performance of grant
agreements for airport development, airport planning, and noise
compatibility program grants for airport sponsors and block grant
states.

2. These assurances are required to be submitted as part of the project
application by sponsors requesting funds under the provisions of Title
49, United States Code (U.S.C.), subtitle VII, as amended. As used
herein, the term "public agency sponsor" means a public agency with
control of a public-use airport; the term "private sponsor" means a
private owner of a public-use airport; and the term "sponsor" includes
both public agency sponsors and private sponsors.

3. Upon acceptance of the grant offer by the sponsor, these assurances
are incorporated into, and become part of, the grant agreement.

B. Duration and Applicability

1. Airport Development or Noise Compatibility Program Projects
Undertaken by a Public Agency Sponsor

The terms, conditions and assurances of the grant agreement shall remain
in full force and effect throughout the useful life of the facilities
developed or equipment acquired for an airport development or noise
compatibility program project, or throughout the useful life of the
project items installed within a facility under a noise compatibility
program project, but in any event not to exceed twenty (20) years from
the date of acceptance of a grant offer of Federal funds for the
project. However, there shall be no limit on the duration of the
assurances regarding Exclusive Rights and Airport Revenue so long as the
airport is used as an airport. There shall be no limit on the duration
of the terms, conditions, and assurances with respect to real property
acquired with federal funds. Furthermore, the duration of the Civil
Rights assurance shall be specified in the assurances.

2. Airport Development or Noise Compatibility Projects Undertaken by a
Private Sponsor

The preceding paragraph 1 also applies to a private sponsor except that
the useful life of project items installed within a facility or the
useful life of the facilities developed or equipment acquired under an
airport development or noise compatibility program project shall be no
less than ten (10) years from the date of acceptance of Federal aid for
the project.

C. Sponsor Assurances

The sponsor hereby assures and certifies, with respect to this grant
that:

1. Preserving Rights and Powers

(a) It will not take or permit any action that would operate to deprive
it of any of the rights and powers necessary to perform any or all of
the terms, conditions, and assurances in the grant agreement without the
written approval of the Secretary, and will act promptly to acquire,
extinguish, or modify any outstanding rights or claims of right of
others that would interfere with such performance by the sponsor. This
shall be done in a manner acceptable to the Secretary.

(b) It will maintain good title and not sell, lease, encumber, or
otherwise transfer or dispose of any part of its title or other
interests in the property shown on Exhibit A to this application or, for
a noise compatibility program project, that portion of the property upon
which Federal funds have been expended, for the duration of the terms,
conditions, and assurances in the grant agreement without approval by
the Secretary. If the transferee is found by the Secretary to be
eligible under Title 49, U.S.C., to assume the obligations of the grant
agreement and to have the power, authority, and financial resources to
carry out all such obligations, the sponsor shall insert in the contract
or document transferring or disposing of the sponsor's interest,
and make binding upon the transferee, all of the terms, conditions, and
assurances contained in this grant agreement.


 Do you have an opinion about this story?
Share it with other readers in our CAA Discussion Forums

http://www.californiaaviation.org/dcfp/dcboard.php


*****************************************