[Federal Register Volume 62, Number 105 (Monday, June 2, 1997)]
[Notices]
[Pages 29761-29773]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-14316]


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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration


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

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed modification of airport improvement program 
grant assurances and of opportunity to comment.

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SUMMARY: The FAA proposes to modify the standard grant assurances 
required of a sponsor before receiving a grant under the Airport 
Improvement Program (AIP). Pursuant to applicable law, the Secretary of 
Transportation is required to provide notice in the Federal Register 
and an opportunity for the public to comment upon proposals to modify 
the assurances or to require any additional AIP assurances.
    These modifications are necessary for two reasons. First, much of 
Federal transportation law was repealed and reenacted without 
substantive change by enactment of the Codification of Certain U.S. 
Transportation Laws as Title 49, United States Code, Public Law 103-
272, 108 Stat. 745 (July 5, 1994). Aviation programs, including the 
AIP, are now found in Subtitle VII of Title 49, rather than the 
original statutes under which those programs were originally 
established. Consequently, statutory citations in the existing grant 
assurances are now obsolete and the modifications published here cite 
current law. Second, Public Law 103-272 was amended by enactment of the 
Federal Aviation Administration Reauthorization Act of 1996, Public Law 
104-264 (October 9, 1996) (The 1996 Act), which made substantive 
changes to the statutory grant assurances. The modifications to the 
grant assurances also incorporate those changes. For ease of reading, 
Title 49, Subtitle VII, as amended by the 1996 Act will be cited 
throughout the remainder of this notice as Title 49, U.S.C., as 
amended. In the actual assurance, however, the reference further 
specifies Subtitle VII.

DATES: These proposed modifications to the Grant Assurances will be 
effective on an interim basis on the date of publication in the Federal 
Register. Comments must be submitted on or before July 2, 1997. Any 
revision to the interim assurances which are necessary or appropriate 
in response to comments received will be adopted on or before 60 days 
after the close of the comment period.

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

FOR FURTHER INFORMATION CONTACT: Mr. James Borsari (Management and 
Program Analyst) Telephone (202) 267-8822.

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 from time to time to reflect new Federal 
requirements. Notice of such proposed modifications is published in the 
Federal Register and an opportunity provided for comment by the public.
    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, and on January 5, 
1995, at 60 FR 521.
    FAA uses three separate sets of standard assurances: Airport 
Sponsors (owners/operators) (Appendix 1); Planning Agency Sponsors 
(Appendix 2); and Nonairport Sponsors Undertaking Noise Compatibility 
Program Projects (hereinafter referred to as Nonairport Sponsor 
Assurances) (Appendix 3). FAA is planning to modify the assurances 
currently in effect to reflect the necessary changes. The changes 
contained in this paragraph affect all three sets of assurances. 
Section C, subsection 1, ``General Federal Requirements, Federal 
Regulations'' is amended in each set of assurances to add references to 
14 CFR part 13--Investigative and Enforcement Procedure, and 14 CFR 
Part 16--Rules of Practice for Federally Assisted Airport Enforcement 
Proceedings.
    The following changes affect only Appendix 1, Airport Sponsors 
assurances:
    (a) Under Section C. Sponsor Certification, Item 1, General Federal 
Requirements, the citations to the following Federal Legislation are 
included:
    1. Native American Grave Repatriation Act--25 U.S.C. Section 3001, 
et seq.
    2. Clean Air Act, Public Law 90-148, as amended.
    3. Coastal Zone Management Act, Public Law 93-205.
    4. Title 49 U.S.C., Section 303, (formerly known as Section 4(f)).
    5. American Indian Religious Freedom Act, Public Law 95-341, as 
amended.
    6. Wild and Scenic Rivers Act, Public Law 90-542, as amended.
    (b) Under the section Federal Legislation, reference to the 
Endangered Species Act--16 U.S.C. 668(a), et seq. is deleted. The 
airport sponsor must comply with the law irrespective of a receipt of 
federal funds.
    (c) The following Executive Orders are added to the General Federal 
Requirements:
    1. Executive Order 11990--Protection of Wetlands
    2. Executive Order 11998--FloodPlain Management
    3. Executive Order 12898--Environmental Justice
    (d) The Federal Regulations are reclassified according to title.
    (e) In Assurance 12, the reference to section 612 of the Federal 
Aviation Act of 1958 has been changed to section 44706 of Title 49, 
United States Code, to reflect the recodification of certain 
transportation laws. The words ``public airport'' has been deleted. The 
words ``public use airport as defined in Title 49'' has been added.
    (f) In Assurance 19, the first sentence of subparagraph a. has been 
moved to

[[Page 29762]]

the end of subparagraph a. to improve clarity.
    (g) In Assurance 19, subparagraph a., second paragraph, the words 
``at all times'' are deleted.
    (h) In Assurance 22, subparagraph a., to improve clarity, the words 
``any person, firm, or corporation to conduct or engage in any 
aeronautical activity for furnishing services to the public at the 
airport'' replaces the words ``all types, kinds and classes of 
aeronautical use.''
    (i) In Assurance 22, subparagraphs a., the words ``fair and'' are 
deleted. The word ``fair'' is also deleted in subparagraphs b.(1), and 
b.(2). Although the word ``fair'' appeared in the Airport and Airway 
Improvement Act of 1982, as amended, ``fair'' is deleted to bring the 
assurance more into conformity with the Title 49 recodification.
    (j) In Assurance 22, subparagraph c, the words ``at any airport 
owned by the sponsor'' are replaced with the words ``at the airport'' 
to conform with the statute.
    (k) In Assurance 22, subparagraph g, the words ``contractors or 
concessionaire of'' are replaced with the words ``commercial 
aeronautical service providers authorized by'' for clarity.
    (l) In Assurance 22, subparagraph h, the words ``fair, equal'' are 
deleted since they have no statutory basis.
    (m) In Assurance 24, the words ``consistent with Assurance 22 and 
23'' are deleted since they are unnecessary. Further the words ``being 
provided'' and the word ``users'' are deleted. In place of ``being 
provided'' the word ``at'' was inserted.
    (n) In assurance 25, now labeled, subparagraph a, the words ``which 
are'' are inserted before ``directly and substantially related''.
    (o) In assurance 25, now labeled subparagraph a, the first phrase 
``If the airport is under the control of a public agency,'' is deleted 
to comply with section 804 of the 1996 Act. This assurance will 
implement both section 47107(b) and new section 47133 of Title 49, 
United States Code.
    (p) In Assurance 25, subparagraphs b. and c. are new paragraphs in 
compliance with sections 804 and 805 of the 1996 Act. The new 
subparagraphs concern changes in procedures concerning single audits 
and civil penalties due to the 1996 Act.
    (q) In Assurance 26, subparagraphs a and b have been combined into 
subparagraph a.
    (r) In Assurance 26, subparagraphs c and d have been renamed 
subparagraphs b and c respectively.
    (s) In Assurance 26, subparagraph e is renamed subparagraph d. 
After the word ``format'', the words, ``and time'' are inserted. The 
phrases ``not later than 60 days'' after the word ``public'' and 
``ending after March 1, 1995'' after the word ``years'' are deleted.
    (t) In Assurance 27, the words ``to the United States'' are moved 
to begin after the opening phrase ``It will make available.''
    (u) Assurance 36 is a new assurance required by section 143 of the 
1996 Act and codified as section 47107(a)(20) of Title 49, United 
States Code.
    The following changes affect only Appendix 2, Planning Agency 
Sponsor assurances:
    (a) The Federal Regulations are reclassified according to title.
    The following changes affect only Appendix 3 Nonairport Sponsor 
assurances:
    (a) Under Section C. Sponsor Certification, Item 1, General Federal 
Requirements, the citations to the following Federal Legislation are 
included:
    1. Native American Grave Repatriation Act--25 U.S.C. 3001, et seq.
    2. Clean Air Act, Public Law 90-148, as amended.
    3. Coastal Zone Management Act, Public Law 93-205.
    4. Title 49 U.S.C., Section 303, (formerly known as Section 4(f)).
    5. American Indian Religious Freedom Act, Public Law 95-341, as 
amended.
    6. Wild and Scenic Rivers Act, Public Law 90-542, as amended.
    (b) Under the section on Federal Legislation, reference to the 
Endangered Species Act--16 U.S.C. 688(a), et seq. is deleted. The 
airport sponsor must comply with the law irrespective of a receipt of 
federal funds.
    (c) The following Executive Orders are added to the General Federal 
Requirements:

1. Executive Order 11990--Protection of Wetlands
2. Executive Order 11998--Flood Plain Management
3. Executive Order 12898--Environmental Justice

    (d) The Federal Regulations are reclassified according to title.
    These assurances are issued pursuant to the authority of Title 49, 
United States Code.

    Issued in Washington, DC on May 23, 1997.
Paul L. Galis,
Director, Office of Airport Planning and Programming.

Appendix 1--Assurances

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.
    2. These assurances are required to be submitted as part of the 
project application by sponsors requesting funds under the provisions 
of Title 49, 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 in 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 assurance against exclusive rights or 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

[[Page 29763]]

shall be no less than ten (10) years from the date of acceptance of 
Federal aid for the project.

3. Airport Planning Undertaken by a Sponsor

    Unless otherwise specified in the grant agreement, only Assurances 
1, 2, 3, 5, 6, 13, 18, 30, 32, 33, and 34 in section C apply to 
planning projects. The terms, conditions, and assurances of the grant 
agreements shall remain in full force and effect during the life of the 
project.

C. Sponsor Certification

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

1. General Federal Requirements

    It will comply with all applicable Federal laws, regulations, 
executive orders, policies, guidelines, and requirements as they relate 
to the application, acceptance and use of Federal funds for this 
project including but not limited to the following:
Federal Legislation
    a. Title 49, U.S.C., subtitle VII, as amended.
    b. Davis-Bacon Act--40 U.S.C. 276(a) et seq.\1\
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    \1\ These laws do not apply to airport planning sponsors.
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    c. Federal Fair Labor Standards Act--29 U.S.C. 201, et seq.
    d. Hatch Act--5 U.S.C. 1501, et seq.\2\
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    \2\ These laws do not apply to private sponsors.
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    e. Uniform Relocation Assistance and Real Property Acquisition 
Policies Act of 1970 Title 42 U.S.C. 4601, et seq.\1\ \2\
    f. National Historic Preservation Act of 1966--Section 106--16 
U.S.C. 470(f).\1\
    g. Archaeological and Historic Preservation Act of 1974--16 U.S.C. 
469 through 469c.\1\
    h. Native Americans Grave Repatriation Act--25 U.S.C. Section 3001, 
et seq.
    i. Clean Air Act, Public Law 90-148, as amended.
    j. Coastal Zone Management Act, Public Law 93-205, as amended.
    k. Flood Disaster Protection Act of 1973--Section 102(a)--42 U.S.C. 
4012a.\1\
    l. Title 49, U.S.C., Section 303 (formerly known as Section 4(f)).
    m. Rehabilitation Act of 1973--29 U.S.C. 794.
    n. Civil Rights Act of 1964--Title VI--42 U.S.C. 2000d through d-4.
    o. Age Discrimination Act of 1975--42 U.S.C. 6101, et seq.
    p. American Indian Religious Freedom Act, Public Law 95-341, as 
amended.
    q. Architectural Barriers Act of 1968--42 U.S.C. 4151, et seq.\1\
    r. Powerplant and Industrial Fuel Use Act of 1978--Section 403-2 
U.S.C. 8373.\1\
    s. Contract Work Hours and Safety Standards Act--40 U.S.C. 327, et 
seq.\1\
    t. Copeland Antikickback Act--18 U.S.C. 874.\1\
    u. National Environmental Policy Act of 1969--42 U.S.C. 4321, et 
seq.\1\
    v. Wild and Scenic Rivers Act, Public Law 90-542, as amended.
    w. Single Audit Act of 1984--31 U.S.C. 7501, et seq.\2\
    x. Drug-Free Workplace Act of 1988--41 U.S.C. 702 through 706.
Executive Orders
Executive Order 11246--Equal Employment Opportunity \1\
Executive Order 11990--Protection of Wetlands
Executive Order 11998--FloodPlain Management
Executive Order 12372--Intergovernmental Review of Federal Programs.
Executive Order 12699--Seismic Safety of Federal and Federally Assisted 
New Building Construction \1\
Executive Order 12898--Environmental Justice
Federal Regulations
    a. 14 CFR Part 13--Investigative and Enforcement Procedures.
    b. 14 CFR Part 16--Rules of Practice For Federally Assisted Airport 
Enforcement Proceedings.
    c. 14 CFR Part 150--Airport noise compatibility planning.
    d. 29 CFR Part 1--Procedures for predetermination of wage rates.\1\
    e. 29 CFR Part 3--Contractors and subcontractors on public building 
or public work financed in whole or part by loans or grants from the 
United States.\1\
    f. 29 CFR Part 5--Labor standards provisions applicable to 
contracts covering federally financed and assisted construction (also 
labor standards provisions applicable to nonconstruction contracts 
subject to the Contract Work Hours and Safety Standards Act). \1\
    g. 41 CFR Part 60--Office of Federal Contract Compliance Programs, 
Equal Employment Opportunity, Department of Labor (Federal and 
federally assisted contracting requirements).\1\
    h. 49 CFR Part 18--Uniform administrative requirements for grants 
and cooperative agreements to state and local governments.\3\
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    \3\ 49 CFR Part 18 and OMB Circular A-87 contain requirements 
for State and Local Governments receiving Federal Assistance. Any 
requirement levied upon State and Local Governments by this 
regulation and circular shall also be applicable to private sponsors 
receiving Federal assistance under Title 49, United States Code.
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    i. 49 CFR Part 20--New restrictions on lobbying.
    j. 49 CFR Part 21--Nondiscrimination in federally-assisted programs 
of the Department of Transportation--effectuation of Title VI of the 
Civil Rights Act of 1964.
    k. 49 CFR Part 23--Participation by minority business enterprise in 
Department of Transportation programs.
    l. 49 CFR Part 24--Uniform relocation assistance and real property 
acquisition for Federal and federally assisted programs.\1\ \2\
    m. 49 CFR Part 27--Nondiscrimination on the basis of handicap in 
programs and activities receiving or benefiting from Federal financial 
assistance.\1\
    n. 49 CFR Part 29--Governmentwide debarment and suspension 
(nonprocurement) and governmentwide requirements for drug-free 
workplace (grants).
    o. 49 CFR Part 30--Denial of public works contracts to suppliers of 
goods and services of countries that deny procurement market access to 
U.S. contractors..
    p. 49 CFR Part 41--Seismic safety of Federal and federally assisted 
or regulated new building construction.\1\
Office of Management and Budget Circulars
    a. A-87--Cost Principles Applicable to Grants and Contracts with 
State and Local Governments.
    b. A-128--Audits of State and Local Governments.
    Specific assurances required to be included in grant agreements by 
any of the above laws, regulations or circulars are incorporated by 
reference in the grant agreement.

2. Responsibility and Authority of the Sponsor

    a. Public Agency Sponsor: It has legal authority to apply for the 
grant, and to finance and carry out the proposed project; that a 
resolution, motion or similar action has been duly adopted or passed as 
an official act of the applicant's governing body authorizing the 
filing of the application, including all understandings and assurances 
contained therein, and directing and authorizing the person identified 
as the official representative of the applicant to act in connection 
with the application and to provide such additional information as may 
be required.

[[Page 29764]]

    b. Private Sponsor: It has legal authority to apply for the grant 
and to finance and carry out the proposed project and comply with all 
terms, conditions, and assurances of this grant agreement. It shall 
designate an official representative and shall in writing direct and 
authorize that person to file this application, including all 
understandings and assurances contained therein; to act in connection 
with this application; and to provide such additional information as 
may be required.

3. Sponsor Fund Availability

    It has sufficient funds available for that portion of the project 
costs which are not to be paid by the United States. It has sufficient 
funds available to assure operation and maintenance of items funded 
under the grant agreement which it will own or control.

4. Good Title

    a. It holds good title, satisfactory to the Secretary, to the 
landing area of the airport or site thereof, or will give assurance 
satisfactory to the Secretary that good title will be acquired.
    b. For noise compatibility program projects to be carried out on 
the property of the sponsor, it holds good title satisfactory to the 
Secretary to that portion of the property upon which Federal funds will 
be expended or will give assurance to the Secretary that good title 
will be obtained.

5. Preserving Rights and Powers

    a. It will not take or permit any action which 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 which would interfere with such performance by the sponsor. 
This shall be done in a manner acceptable to the Secretary.
    b. It will 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, 
United States Code, 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.
    c. For all noise compatibility program projects which are to be 
carried out by another unit of local government or are on property 
owned by a unit of local government other than the sponsor, it will 
enter into an agreement with that government. Except as otherwise 
specified by the Secretary, that agreement shall obligate that 
government to the same terms, conditions, and assurances that would be 
applicable to it if it applied directly to the FAA for a grant to 
undertake the noise compatibility program project. That agreement and 
changes thereto must be satisfactory to the Secretary. It will take 
steps to enforce this agreement against the local government if there 
is substantial non-compliance with the terms of the agreement.
    d. For noise compatibility program projects to be carried out on 
privately owned property, it will enter into an agreement with the 
owner of that property which includes provisions specified by the 
Secretary. It will take steps to enforce this agreement against the 
property owner whenever there is substantial non-compliance with the 
terms of the agreement.
    e. If the sponsor is a private sponsor, it will take steps 
satisfactory to the Secretary to ensure that the airport will continue 
to function as a public-use airport in accordance with these assurances 
for the duration of these assurances.
    f. If an arrangement is made for management and operation of the 
airport by any agency or person other than the sponsor or an employee 
of the sponsor, the sponsor will reserve sufficient rights and 
authority to insure that the airport will be operated and maintained in 
accordance with Title 49, United States Code, the regulations and the 
terms, conditions and assurances in the grant agreement and shall 
insure that such arrangement also requires compliance therewith.

6. Consistency With Local Plans

    The project is reasonably consistent with plans (existing at the 
time of submission of this application) of public agencies that are 
authorized by the State in which the project is located to plan for the 
development of the area surrounding the airport. For noise 
compatibility program projects, other than land acquisition, to be 
carried out on property not owned by the airport and over which 
property another agency has land use control or authority, the sponsor 
shall obtain from each such agency a written declaration that such 
agency supports that project and the project is reasonably consistent 
with the agency's plans regarding the property.

7. Consideration of Local Interest

    It has given fair consideration to the interest of communities in 
or near where the project may be located.

8. Consultation With Users

    In making a decision to undertake any airport development project 
under Title 49, United States Code, it has undertaken reasonable 
consultations with affected parties using the airport at which project 
is proposed.

9. Public Hearings

    In projects involving the location of an airport, an airport 
runway, or a major runway extension, it has afforded the opportunity 
for public hearings for the purpose of considering the economic, 
social, and environmental effects of the airport or runway location and 
its consistency with goals and objectives of such planning as has been 
carried out by the community and it shall, when requested by the 
Secretary, submit a copy of the transcript of such hearings to the 
Secretary. Further, for such projects, it has on its management board 
either voting representation from the communities where the project is 
located or has advised the communities that they have the right to 
petition the Secretary concerning a proposed project.

10. Air and Water Quality Standards

    In projects involving airport location, a major runway extension, 
or runway location it will provide for the Governor of the state in 
which the project is located to certify in writing to the Secretary 
that the project will be located, designed, constructed, and operated 
so as to comply with applicable air and water quality standards. In any 
case where such standards have not been approved and where applicable 
air and water quality standards have been promulgated by the 
Administrator of the Environmental Protection Agency, certification 
shall be obtained from such Administrator. Notice of certification or 
refusal to certify shall be provided within sixty days after the 
project application has been received by the Secretary.

11. Pavement Preventive Maintenance

    With respect to a project approved after January 1, 1995, for the 
replacement or reconstruction of pavement at the airport, it assures or

[[Page 29765]]

certifies that it has implemented an effective airport pavement 
maintenance-management program and it assures that it will use such 
program for the useful life of any pavement constructed, reconstructed 
or repaired with Federal financial assistance at the airport. It will 
provide such reports on pavement condition and pavement management 
programs as the Secretary determines may be useful.

12. Terminal Development Prerequisites

    For projects which include terminal development at a public use 
airport, as defined in Title 49, it has, on the date of submittal of 
the project grant application, all the safety equipment required for 
certification of such airport under section 44706 of Title 49, United 
States Code, and all the security equipment required by rule or 
regulation, and has provided for access to the passenger enplaning and 
deplaning area of such airport to passengers enplaning and deplaning 
from aircraft other than air carrier aircraft.

13. Accounting System, Audit, and Recordkeeping Requirements

    a. It shall keep all project accounts and records which fully 
disclose the amount and disposition by the recipient of the proceeds of 
the grant, the total cost of the project in connection with which the 
grant is given or used, and the amount or nature of that portion of the 
cost of the project supplied by other sources, and such other financial 
records pertinent to the project. The accounts and records shall be 
kept in accordance with an accounting system that will facilitate an 
effective audit in accordance with the Single Audit Act of 1984.
    b. It shall make available to the Secretary and the Comptroller 
General of the United States, or any of their duly authorized 
representatives, for the purpose of audit and examination, any books, 
documents, papers, and records of the recipient that are pertinent to 
the grant. The Secretary may require that an appropriate audit be 
conducted by a recipient. In any case in which an independent audit is 
made of the accounts of a sponsor relating to the disposition of the 
proceeds of a grant or relating to the project in connection with which 
the grant was given or used, it shall file a certified copy of such 
audit with the Comptroller General of the United States not later than 
six (6) months following the close of the fiscal year for which the 
audit was made.

14. Minimum Wage Rates

    It shall include, in all contracts in excess of $2,000 for work on 
any projects funded under the grant agreement which involve labor, 
provisions establishing minimum rates of wages, to be predetermined by 
the Secretary of Labor, in accordance with the Davis-Bacon Act, as 
amended (40 U.S.C. 276a-276a-5), which contractors shall pay to skilled 
and unskilled labor, and such minimum rates shall be stated in the 
invitation for bids and shall be included in proposals or bids for the 
work.

15. Veteran's Preference

    It shall include in all contracts for work on any project funded 
under the grant agreement which involve labor, such provisions as are 
necessary to insure that, in the employment of labor (except in 
executive, administrative, and supervisory positions), preference shall 
be given to Veterans of the Vietnam era and disabled veterans as 
defined in Section 47112 of Title 49, United States Code. However, this 
preference shall apply only where the individuals are available and 
qualified to perform the work to which the employment relates.

16. Conformity to Plans and Specifications

    It will execute the project subject to plans, specifications, and 
schedules approved by the Secretary. Such plans, specifications, and 
schedules shall be submitted to the Secretary prior to commencement of 
site preparation, construction, or other performance under this grant 
agreement, and, upon approval of the Secretary, shall be incorporated 
into this grant agreement. Any modification to the approved plans, 
specifications, and schedules shall also be subject to approval of the 
Secretary, and incorporated into the grant agreement.

17. Construction Inspection and Approval

    It will provide and maintain competent technical supervision at the 
construction site throughout the project to assure that the work 
conforms to the plans, specifications, and schedules approved by the 
Secretary for the project. It shall subject the construction work on 
any project contained in an approved project application to inspection 
and approval by the Secretary and such work shall be in accordance with 
regulations and procedures prescribed by the Secretary. Such 
regulations and procedures shall require such cost and progress 
reporting by the sponsor or sponsors of such project as the Secretary 
shall deem necessary.

18. Planning Projects

    In carrying out planning projects:
    a. It will execute the project in accordance with the approved 
program narrative contained in the project application or with the 
modifications similarly approved.
    b. It will furnish the Secretary with such periodic reports as 
required pertaining to the planning project and planning work 
activities.
    c. It will include in all published material prepared in connection 
with the planning project a notice that the material was prepared under 
a grant provided by the United States.
    d. It will make such material available for examination by the 
public, and agrees that no material prepared with funds under this 
project shall be subject to copyright in the United States or any other 
country.
    e. It will give the Secretary unrestricted authority to publish, 
disclose, distribute, and otherwise use any of the material prepared in 
connection with this grant.
    f. It will grant the Secretary the right to disapprove the 
sponsor's employment of specific consultants and their subcontractors 
to do all or any part of this project as well as the right to 
disapprove the proposed scope and cost of professional services.
    g. It will grant the Secretary the right to disapprove the use of 
the sponsor's employees to do all or any part of the project.
    h. It understands and agrees that the Secretary's approval of this 
project grant or the Secretary's approval of any planning material 
developed as part of this grant does not constitute or imply any 
assurance or commitment on the part of the Secretary to approve any 
pending or future application for a Federal airport grant.

19. Operation and Maintenance

    a. The airport and all facilities which are necessary to serve the 
aeronautical users of the airport, other than facilities owned or 
controlled by the United States, shall be operated at all times in a 
safe and serviceable condition and in accordance with the minimum 
standards as may be required or prescribed by applicable Federal, 
state, and local agencies for maintenance and operation. It will not 
cause or permit any activity or action thereon which would interfere 
with its use for airport purposes. It will suitably operate and 
maintain the airport and all facilities thereon or connected therewith, 
with due regard to climatic and flood

[[Page 29766]]

conditions. Any proposal to temporarily close the airport for 
nonaeronautical purposes must first be approved by the Secretary. In 
furtherance of this assurance, the sponsor will have in effect 
arrangements for--
    (1) Operating the airport's aeronautical facilities whenever 
required;
    (2) Promptly marking and lighting hazards resulting from airport 
conditions, including temporary conditions; and
    (3) Promptly notifying airmen of any condition affecting 
aeronautical use of the airport.
    Nothing contained herein shall be construed to require that the 
airport be operated for aeronautical use during temporary periods when 
snow, flood or other climatic conditions interfere with such operation 
and maintenance. Further, nothing herein shall be construed as 
requiring the maintenance, repair, restoration, or replacement of any 
structure or facility which is substantially damaged or destroyed due 
to an act of God or other condition or circumstance beyond the control 
of the sponsor.
    b. It will suitably operate and maintain noise compatibility 
program items that it owns or controls upon which Federal funds have 
been expended.

20. Hazard Removal and Mitigation

    It will take appropriate action to assure that such terminal 
airspace as is required to protect instrument and visual operations to 
the airport (including established minimum flight altitudes) will be 
adequately cleared and protected by removing, lowering, relocating, 
marking, or lighting or otherwise mitigating existing airport hazards 
and by preventing the establishment or creation of future airports 
hazards.

21. Compatible Land Use

    It will take appropriate action, including the adoption of zoning 
laws, to the extent reasonable, to restrict the use of land adjacent to 
or in the immediate vicinity of the airport to activities and purposes 
compatible with normal airport operations, including landing and 
takeoff or aircraft. In addition, if the project is for noise 
compatibility program implementation, it will not cause or permit any 
change in land use, within its jurisdiction, that will reduce its 
compatibility, with respect to the airport, of the noise compatibility 
program measures upon which Federal funds have been expended.

22. Economic Nondiscrimination

    a. It will make its airport available as an airport for public use 
on reasonable terms and without unjust discrimination, to any person, 
firm, or corporation to conduct or to engage in any aeronautical 
activity for furnishing services to the public at the airport.
    b. In any agreement, contract, lease, or other arrangement under 
which a right or privilege at the airport is granted to any person, 
firm, or corporation to conduct or to engage in any aeronautical 
activity for furnishing services to the public at the airport, the 
sponsor will insert and enforce provisions requiring the contractor 
to--
    (1) furnish said services on a reasonable, and not unjustly 
discriminatory, basis to all users thereof, and
    (2) charge reasonable, and not justly discriminatory, prices for 
each unit or service, provided that the contractor may be allowed to 
make reasonable and nondiscriminatory discounts, rebates, or other 
similar types of price reductions to volume purchasers.
    c. Each fixed-based operator at the airport shall be subject to the 
same rates, fees, rentals, and charges as are uniformly applicable to 
all other fixed-based operators making the same or similar uses of such 
airport and utilizing the same or similar facilities.
    d. Each air carrier using such airport shall have the right to 
service itself or to use any fixed-based operator that is authorized or 
permitted by the airport to serve any air carrier at such airport.
    e. Each air carrier using such airport (whether as a tenant, 
nontenant, or subtenant of another air carrier tenant) shall be subject 
to such nondiscriminatory and substantially comparable rules, 
regulations, conditions, rates fees, rentals, and other charges with 
respect to facilities directly and substantially related to providing 
air transportation as are applicable to all such air carriers which 
make similar use of such airport and utilize similar facilities, 
subject to reasonable classifications such as tenants or nontenants and 
signatory carriers and nonsignatory carriers. Classification or status 
as tenant or signatory shall not be unreasonably withheld by any 
airport provided an air carrier assumes obligations substantially 
similar to those already imposed on air carriers in such classification 
or status.
    f. It will not exercise or grant any right or privilege which 
operates to prevent any person, firm, or corporation operating aircraft 
on the airport; from performing any services on its own aircraft with 
its own employees (including, but not limited to maintenance, repair, 
and fueling) that it may choose to perform.
    g. In the event the sponsor itself exercises any of the rights and 
privileges referred to in this assurance, the services involving will 
be provided on the same conditions as would apply to the furnishing of 
such services by commercial aeronautical service providers authorized 
by the sponsor under these provisions.
    h. The sponsor may establish such reasonable, and not unjustly 
discriminatory, conditions to be met by all users of the airport as may 
be necessary for the safe and efficient operation of the airport.
    i. The sponsor may prohibit or limit any given type, kind or class 
of aeronautical use of the airport if such action is necessary for the 
safe operation of the airport or necessary to serve the civil aviation 
needs of the public.

23. Exclusive Rights

    It will permit no exclusive right for the use of the airport by any 
person providing, or intending to provide, aeronautical services to the 
public. For purposes of this paragraph, the providing of the services 
at an airport by a single fixed-based operator shall not be construed 
as an exclusive right if both of the following apply:
    a. It would be unreasonably costly, burdensome, or impractical for 
more than one fixed-based operator to provide such services, and
    b. If allowing more than one fixed-based operator to provide such 
services would require the reduction of space leased pursuant to an 
existing agreement between such single fixed-based operator and such 
airport.
    It further agrees that it will not, either directly or indirectly, 
grant or permit any person, firm, or corporation, the exclusive right 
at the airport to conduct any aeronautical activities, including, but 
not limited to charter flights, pilot training, aircraft rental and 
sightseeing, aerial photography, crop dusting, aerial advertising and 
surveying, air carrier operations, aircraft sales and services, sale of 
aviation petroleum products whether or not conducted in conjunction 
with other aeronautical activity, repair and maintenance of aircraft, 
parts, and any other activities sale of aircraft which because of their 
direct relationship to the operation of aircraft can be regarded as an 
aeronautical activity, and that it will terminate any exclusive right 
to conduct an aeronautical activity now existing at such an airport 
before the grant of any assistance under Title 49, United States Code.

[[Page 29767]]

24. Fee and Rental Structure

    It will maintain a fee and rental structure for the facilities and 
services at the airport which will make the airport as self-sustaining 
as possible under the circumstances existing at the particular airport, 
taking into account such factors as the volume of traffic and economy 
of collection. No part of the Federal share of an airport development, 
airport planning or noise compatibility project for which a grant is 
made under Title 49, United States Code, the Airport and Airway 
Improvement Act of 1982, the Federal Airport Act or the Airport and 
Airway Development Act of 1970 shall be included in the rate basis in 
establishing fees, rates, and charges for users of that airport.

25. Airport Revenues

    a. All revenues generated by the airport and any local taxes on 
aviation fuel established after December 30, 1987, will be expended by 
it for the capital or operating costs of the airport; the local airport 
system; or other local facilities which are owned or operated by the 
owner or operator of the airport and which are directly and 
substantially related to the actual air transportation of passengers or 
property; or for noise mitigation purposes on or off the airport. 
Provided, however, that if covenants or assurances in debt obligations 
issued before September 3, 1982, by the owner or operator of the 
airport, or provisions enacted before September 3, 1982, in governing 
statutes controlling the owner or operator's financing, provide for the 
use of the revenues from any of the airport owner or operator's 
facilities, including the airport, to support not only the airport but 
also the airport owner or operator's general debt obligations or other 
facilities, then this limitation on the use of all revenues generated 
by the airport (and, in the case of a public airport, local taxes on 
aviation fuel) shall not apply.
    b. As part of the annual audit required under the Single Audit Act 
of 1984, the sponsor will direct that the audit will review, and the 
resulting audit report will provide an opinion concerning, the use of 
airport revenue and taxes in paragraph (a), and indicating whether 
funds paid or transferred to the owner or operator are paid or 
transferred in a manner consistent with Title 49, United States Code 
and any other applicable provision of law, including any regulation 
promulgated by the Secretary or Administrator.
    c. Any civil penalties or other sanctions will be imposed for 
violation of this assurance in accordance with the provisions of 
Section 47107 of Title 49, United States Code.

26. Reports and Inspections

    It will:
    a. submit to the Secretary such annual or special financial and 
operations reports as the Secretary may reasonably request and make 
such reports available to the public; make available to the public at 
reasonable times and places a report of the airport budget in a format 
prescribed by the Secretary;
    b. for airport development projects, make the airport and all 
airport records and documents affecting the airport, including deeds, 
leases, operation and use agreements, regulations and other 
instruments, available for inspection by any duly authorized agent of 
the Secretary upon reasonable request;
    c. for noise compatibility program projects, make records and 
documents relating to the project and continued compliance with the 
terms, conditions, and assurances of the grant agreement including 
deeds, leases, agreements, regulations, and other instruments, 
available for inspection by any duly authorized agent of the Secretary 
upon reasonable request; and
    d. in a format and time prescribed by the Secretary, provide to the 
Secretary and make available to the public following each of its fiscal 
years, an annual report listing in detail:
    (i) all amounts paid by the airport to any other unit of government 
and the purposes for which each such payment was made; and
    (ii) all services and property provided by the airport to other 
units of government and the amount of compensation received for 
provision of each such service and property.

27. Use by Government Aircraft

    It will make available all of the facilities of the airport 
developed with Federal financial assistance and all those usable for 
landing and takeoff of aircraft to the United States for use by 
Government aircraft in common with other aircraft at all times without 
charge, except, if the use by Government aircraft is substantial, 
charge may be made for a reasonable share, proportional to such use, 
for the cost of operating and maintaining the facilities used. Unless 
otherwise determined by the Secretary, or otherwise agreed to by the 
sponsor and the using agency, substantial use of an airport by 
Government aircraft will be considered to exist when operations of such 
aircraft are in excess of those which, in the opinion of the Secretary, 
would unduly interfere with use of the landing areas by other 
authorized aircraft, or during any calendar month that--
    a. Five (5) or more Government aircraft are regularly based at the 
airport or on land adjacent thereto; or
    b. The total number of movements (counting each landing as a 
movement) of Government aircraft is 300 or more, or the gross 
accumulative weight of Government aircraft using the airport (the total 
movement of Government aircraft multiplied by gross weights of such 
aircraft) is in excess of five million pounds.

28. Land for Federal Facilities

    It will furnish without cost to the Federal Government for use in 
connection with any air traffic control or air navigation activities, 
or weather-reporting and communication activities related to air 
traffic control, any areas of land or water, or estate therein, or 
rights in buildings of the sponsor as the Secretary considers necessary 
or desirable for construction, operation, and maintenance at Federal 
expense of space or facilities for such purposes. Such areas or any 
portion thereof will be made available as provided herein within four 
months after receipt of a written request from the Secretary.

29. Airport Layout Plan

    a. It will keep up to date at all times an airport layout plan of 
the airport showing (1) boundaries of the airport and all proposed 
additions thereto, together with the boundaries of all offsite areas 
owned or controlled by the sponsor for airport purposes and proposed 
additions thereto; (2) the location and nature of all existing and 
proposed airport facilities and structures (such as runways, taxiways, 
aprons, terminal buildings, hangars and roads), including all proposed 
extensions and reductions of existing airport facilities; and (3) the 
location of all existing and proposed nonaviation areas and of all 
existing improvements thereon. Such airport layout plans and each 
amendment, revision, or modification thereof, shall be subject to the 
approval of the Secretary which approval shall be evidenced by the 
signature of a duly authorized representative of the Secretary on the 
face of the airport layout plan. The sponsor will not make or permit 
any changes or alterations in the airport or any of its facilities 
which are not in conformity with the airport layout plan as approved by 
the Secretary and which might, in the opinion of the Secretary, 
adversely affect the safety, utility or efficiency of the airport.
    b. If a change or alternation in the airport or the facilities is 
made which

[[Page 29768]]

the Secretary determines adversely affects the safety, utility, or 
efficiency of any federally owned, leased, or funded property on or off 
the airport and which is not in conformity with the airport layout plan 
as approved by the Secretary, the owner or operator will, if requested, 
by the Secretary (1) eliminate such adverse effect in a manner approved 
by the Secretary; or (2) bear all costs of relocating such property (or 
replacement thereof) to a site acceptable to the Secretary and all 
costs of restoring such property (or replacement thereof) to the level 
of safety, utility, efficiency, and cost of operation existing before 
the unapproved change in the airport or its facilities.

30. Civil Rights

    It will comply with such rules as are promulgated to assure that no 
person shall, on the grounds of race, creed, color, national origin, 
sex, age, or handicap be excluded from participating in any activity 
conducted with or benefiting from funds received from this grant. This 
assurance obligates the sponsor for the period during which Federal 
financial assistance is extended to the program, except where Federal 
financial assistance is to provide, or is in the form of personal 
property or real property or interest therein or structures or 
improvements thereon in which case the assurance obligates the sponsor 
or any transferee for the longer or the following periods: (a) the 
period during which the property is used for a purpose for which 
Federal financial assistance is extended, or for another purpose 
involving the provision of similar services or benefit, or (b) the 
period during which the sponsor retains ownership or possession of the 
property.

31. Disposal of Land

    a. For land purchased under a grant for airport noise compatibility 
purposes, it will dispose of the land, when the land is no longer 
needed for such purposes, at fair market value, at the earliest 
practicable time. That portion of the proceeds of such disposition 
which is proportionate to the Untied States' share of acquisition of 
such land will, at the discretion of the Secretary, (1) be paid to the 
Secretary for deposit in the Trust Fund, or (2) be reinvested in an 
approved noise compatibility project as prescribed by the Secretary.
    b. (1) For land purchased under a grant for airport development 
purposes (other than noise compatibility), it will, when the land is no 
longer needed for airport purposes, dispose of such land at fair market 
value or make available to the Secretary an amount equal to the United 
States' proportionate share of the fair market value of the land. That 
portion of the proceeds of such disposition which is proportionate to 
the United States' share of the cost of acquisition of such land will, 
(a) upon application to the Secretary, be reinvested in another 
eligible airport improvement project or projects approved by the 
Secretary at that airport or within the national airport system, or (b) 
be paid to the Secretary for deposit in the Trust Fund if no eligible 
project exists.
    (2) Land shall be considered to be needed for airport purposes 
under this assurance if (a) it may be needed for aeronautical purposes 
(including runway protection zones) or serve as noise buffer land, and 
(b) the revenue from interim uses of such land contributes to the 
financial self-sufficiency of the airport. Further, land purchased with 
a grant received by an airport operator or owner before December 31, 
1987, will be considered to be needed for airport purposes if the 
Secretary or Federal agency making such grant before December 31, 1987, 
was notified by the operator or owner of the uses of such land, did not 
object to such use, and the land continues to be used for that purpose, 
such use having commenced no later than December 15, 1989.
    c. Disposition of such land under (a) or (b) will be subject to the 
retention or reservation of any interest or right therein necessary to 
ensure that such land will only be used for purposes which are 
compatible with noise levels associated with operation of the airport.

32. Engineering and Design Services

    It will award each contract, or sub-contract for program 
management, construction management, planning studies, feasibility 
studies, architectural services, preliminary engineering, design, 
engineering, surveying, mapping or related services with respect to the 
project in the same manner as a contract for architectural and 
engineering services is negotiated under Title IX of the Federal 
Property and Administrative Services Act of 1949 or an equivalent 
qualifications-based requirement prescribed for or by the sponsor of 
the airport.

33. Foreign Market Restrictions

    It will not allow funds provided under this grant to be used to 
fund any project which uses any product or service of a foreign country 
during the period in which such foreign country is listed by the United 
States Trade Representative as denying fair and equitable market 
opportunities for products and suppliers of the United States in 
procurement and construction.

34. Policies, Standards, and Specifications

    It will carry out the project in accordance with policies, 
standards, and specifications approved by the Secretary including but 
not limited to the advisory circulars listed in the Current FAA 
Advisory Circulars for AIP projects, dated ______ and included in this 
grant, and in accordance with applicable state policies, standards, and 
specifications approved by the Secretary.

35. Relocation and Real Property Acquisition

    (1) It will be guided in acquiring real property, to the greatest 
extent practicable under State law, by the land acquisition policies in 
Subpart B of 49 CFR Part 24 and will pay or reimburse property owners 
for necessary expenses as specified in Subpart B. (2) It will provide a 
relocation assistance program offering the services described in 
Subpart C and fair and reasonable relocation payments and assistance to 
displaced persons as required in Subpart D and E of 49 CFR Part 24. (3) 
It will make available within a reasonable period of time prior to 
displacement, comparable replacement dwellings to displaced persons in 
accordance with Subpart E of 49 CFR Part 24.

36. Access by Intercity Buses

    The airport owner or operator will permit, to the maximum extent 
practicable, intercity buses or other modes of transportation to have 
access to the airport, however, it has no obligation to fund special 
facilities for intercity buses or for other modes of transportation.

Appendix 2--Assurances

Planning Agency Sponsors

A. General

    1. These assurances shall be complied with in the performance of 
grant agreements for integrated airport system planning grants to 
planning agencies.
    2. These assurances are required to be submitted as part of the 
project application by sponsors requesting funds under the provisions 
of Title 49, U.S.C., subtitle VII, as amended. A sponsor is a planning 
agency designated by the Secretary of Transportation which is 
authorized by the State or States or political subdivisions concerned 
to engage in areawide planning.

[[Page 29769]]

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

B. Duration

    The terms, conditions and assurances of the grant agreement shall 
remain in full force and effect during the life of the project.

C. Sponsor Certification

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

1. General Federal Requirements

    It will comply with all applicable Federal laws, regulations, 
executive orders, policies, guidelines, and requirements as they relate 
to the application, acceptance and use of Federal funds for this 
project including but not limited to the following:
Federal Legislation
    a. Title 49 U.S.C., subtitle VII, as amended.
    b. Federal Fair Labor Standards Act--29 U.S.C. 201, et seq.
    c. Hatch Act--5 U.S.C. 1501, et seq.
    d. Rehabilitation Act of 1973--29 U.S.C. 794.
    e. Civil Rights Act of 1964--Title VI--42 U.S.C. 2000d through d-4.
    f. Age Discrimination Act of 1975--42 U.S.C. 6101, et seq.
    g. Single Audit Act of 1984--31 U.S.C. 7501, et seq.
    h. Drug-Free Workplace Act of 1988--41 U.S.C. 702 through 706.
Executive Orders
Executive Order 12372--Intergovernmental Review of Federal Programs
Federal Regulations
    a. 14 CFR Part 13--Investigative and Enforcement Procedures.
    b. 14 CFR Part 16--Rules of Practice For Federally Assisted Airport 
Enforcement Proceedings.
    c. 49 CFR Part 18--Uniform administrative requirements for grants 
and cooperative agreements to state and local governments.
    d. 49 CFR Part 20--New restrictions on lobbying.
    e. 49 CFR Part 21--Nondiscrimination in federally assisted programs 
of the Department of Transportation--effectuation of Title VI of the 
Civil Rights Act of 1964.
    f. 49 CFR Part 23--Participation by minority business enterprise in 
Department of Transportation programs.
    g. 49 CFR Part 29--Government-wide debarment and suspension (non-
procurement) and government-wide requirements for drug-free workplace 
(grants).
    h. 49 CFR Part 30--Denial of public works contracts to suppliers of 
goods and services of countries that deny procurement market access to 
U.S.
Office of Management and Budget Circulars
    a. A-87--Cost Principles Applicable to Grants and Contracts with 
State and Local Governments.
    b. A-128--Audits of State and Local Governments.
    Specific assurances required to be included in grant agreements by 
any of the above laws, regulations or circulars are incorporated in 
reference in the grant agreement.

2. Responsibility and Authority of the Sponsor

    It has legal authority to apply for the grant, and to finance and 
carry out the proposed project; that a resolution, motion or similar 
action has been duly adopted or passed as an official act of the 
applicant's governing body authorizing the filing of the application, 
including all understandings and assurances contained therein, and 
directing and authorizing the person identified as the official 
representative of the applicant to act in connection with the 
application and to provide such additional information as may be 
required.

3. Sponsor Fund Availability

    It has sufficient funds available for that portion of the project 
costs which are not to be paid by the United States.

4. Preserving Rights and Powers

    It will not take or permit any action which 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.

5. Consistency With Local Plans

    The project is reasonably consistent with plans (existing at the 
time of submission of this application) of public agencies in the 
planning area.

6. Accounting System, Audit, and Recordkeeping Requirement

    a. It shall keep all project accounts and records which fully 
disclose the amount and disposition by the recipient of the proceeds of 
the grant, the total cost of the project in connection with which the 
grant is given or used, and the amount and nature of that portion of 
the cost of the project supplied by other sources, and such other 
financial records pertinent to the project. The accounts and records 
shall be kept in accordance with an accounting system that will 
facilitate an effective audit in accordance with The Single Audit Act 
of 1984.
    b. It shall make available to the Secretary and Comptroller General 
of the United States, or any of their duly authorized representatives, 
for the purpose of audit and examination, any books, documents, papers, 
and records of the recipient that are pertinent to the grant. The 
Secretary may require that an appropriate audit be conducted by the 
recipient. In any case in which an independent audit is made of the 
accounts of a sponsor relating to the disposition of the proceeds of a 
grant or relating to the project in connection with which the grant was 
given or used, it shall file a certified copy of such audit with the 
Comptroller General of the United States not later than six (6) months 
following the close of the fiscal year for which the audit was made.

7. Planning Projects

    In carrying out planning projects:
    a. It will execute the project in accordance with the approved 
program narrative contained in the project application or with 
modifications similarly approved.
    b. It will furnish the Secretary with such periodic reports as 
required pertaining to the planning project and planning work 
activities.
    c. It will include in all published material prepared in connection 
with the planning project a notice that the material was prepared under 
a grant provided by the United States.
    d. It will make such material available for examination by the 
public, and agrees that no material prepared with funds under this 
project shall be subject to copyright in the United States or any other 
country.
    e. It will give the Secretary unrestricted authority to publish, 
disclose, distribute, and otherwise use any of the material prepared in 
connection with this grant.
    f. It will grant the Secretary the right to disapprove the 
Sponsor's employment of specific consultants and their subcontractors 
to do all or any part of this project as well as the right to 
disapprove the proposed scope and cost of professional services.
    g. It will grant the Secretary the right to disapprove the use of 
the sponsor's employees to do all or any part of the project.
    h. It understands and agrees that the Secretary's approval of this 
project grant or the Secretary's approval of any planning material 
developed as part of

[[Page 29770]]

this grant does not mean constitute or imply any assurance or 
commitment on the part of the Secretary to approve any pending or 
future application for a Federal airport grant.

8. Reports and Inspections

    It will submit to the Secretary such annual or special financial 
and operations reports as the Secretary may reasonably request.

9. Civil Rights

    It will comply with such rules as are promulgated to assure that no 
person shall, on the grounds of race, creed, color, national origin, 
sex, age, or handicap be excluded from participating in any activity 
conducted with or benefiting from funds received from this grant. This 
assurance obligates the sponsor for the period during which Federal 
financial assistance is extended to the program.

10. Engineering and Design Services

    It will award each contract, or sub-contract for planning studies, 
feasibility studies, or related services with respect to the project in 
the same manner as a contract for architectural and engineering 
services is negotiated under Title IX of the Federal Property and 
Administrative Services Act of 1949 or an equivalent qualifications-
based requirement prescribed for or by the sponsor.

11. Foreign Market Restrictions

    It will not allow funds provided under this grant to be used to 
fund any project which uses any product or service of a foreign country 
during the period in which such foreign country is listed by the United 
States Trade Representative as denying fair and equitable market 
opportunities for products and suppliers of the United States in 
procurement and construction.

12. Policies, Standards, and Specifications

    It will carry out the project in accordance with policies, 
standards, and specifications approved by the Secretary.

Appendix 3--Assurances

Nonairport Sponsors Undertaking Noise Compatibility Program Projects

A. General

    1. These assurances shall be complied with in the performance of 
grant agreements for noise compatibility projects undertaken by 
sponsors who are not proprietors of the airport which is the subject of 
the noise compatibility program.
    2. These assurances are required to be submitted as part of the 
project application by sponsors requesting funds under the provisions 
of Title 49, U.S.C., subtitle VII, as amended. Sponsors are units of 
local government in the areas around the airport which is the subject 
of the noise compatibility program.
    3. Upon acceptance of the grant offer by the sponsor, these 
assurances are incorporated in and become part of the grant agreement.

B. Duration

    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 or throughout the useful 
life of the items installed under the project, but in any event not to 
exceed twenty (20) years from the date of the acceptance of a grant 
offer of Federal funds for the project. However, there shall be no time 
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 as specified in the 
assurance.

C. Sponsor Certification

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

1. General Federal Requirements

    It will comply with all applicable Federal laws, regulations, 
executive orders, policies, guidelines and requirements as they relate 
to the application, acceptance, and use of Federal funds for this 
project including but not limited to the following:
Federal Legislation
    a. Title 49, U.S.C., subtitle VII, as amended.
    b. Davis-Bacon Act--40 U.S.C. 276(a). et seq.
    c. Federal Fair Labor Standards Act--29 U.S.C. 201 et seq.
    d. Hatch Act--5 U.S.C. 1501, et seq.
    e. Uniform Relocation Assistance and Real Property Acquisition 
Policies Act of 1970--42 U.S.C. 4601, et seq.
    f. National Historic Preservation Act of 1966--Section 106--16 
U.S.C. 470(f).
    g. Archeological and Historic Preservation Act of 1974--469 through 
469c.
    h. Native American Grave Repatriation Act--25 U.S.C. Section 3001, 
et seq.
    i. Clean Air Act, P.L. 90-148, as amended.
    j. Coastal Zone Management Act, P.L. 93-205, as amended.
    k. Flood Disaster Protection Act of 1973--Section 102(a)-42 U.S.C. 
4012a.
    l. Title 49, U.S.C., Section 303, (formerly known as Section 4(f)).
    m. Rehabilitation Act of 1973--29 U.S.C. 794.
    n. Civil Rights Act of 1964--Title VI--42 U.S.C. 2000d through d-4.
    o. Age Discrimination Act of 1975--42 U.S.C. 6101, et seq.
    p. American Indian Religious Freedom Act, P.L. 95-341,
    q. Architectural Barriers Act of 1968--U.S.C. 4151, et seq.
    r. Powerplant and Industrial Fuel Use Act of 1978--Section 403--42 
U.S.C. 8373.
    s. Contract Work Hours and Safety Standards Act--40 U.S.C. 327, et 
seq.
    t. Copeland Antikickback Act--18 U.S.C. 874.
    u. National Environmental Policy Act of 1969--42 U.S.C. 4321, et 
seq.
    v. Wild and Scenic Rivers Act, P.L. 90-542, as amended.
    w. Single Audit Act of 1984--31 U.S.C. 7501, et seq.
    x. Drug-Free Workplace Act of 1998--41 U.S.C. 702 through 706.
Executive Orders
Executive Order 11246--Equal Employment Opportunity
Executive Order 11990--Protection of Wetlands
Executive Order 11998--FloodPlain Management
Executive Order 12372--Intergovernmental Review of Federal Programs.
Executive Order 12699--Seismic Safety of Federal and Federally Assisted 
New Building Construction
Executive Order 12898--Environmental Justice
Federal Regulations
    a. 14 CFR Part 13--Investigative and Enforcement Procedures.
    b. 14 CFR Part 16--Rules of Practice For Federally Assisted Airport 
Enforcement Proceedings.
    c. 14 CFR Part 150--Airport noise compatibility planning.
    d. 20 CFR Part 1--Procedures for predetermination of wage rates.
    e. 29 CFR Part 3--Contractors and subcontractors on public building 
or public work financed in whole or part by loans or grants from the 
United States.
    f. 29 CFR Part 5--Labor standards provisions applicable to 
contracts covering federally financed and assisted construction.
    g. 41 CFR Part 60--Office of Federal contract compliance programs, 
equal employment opportunity, Department of Labor (Federal and 
federally-assisted contracting requirements).

[[Page 29771]]

    h. 49 CFR Part 18--Uniform administrative requirements for grants 
and cooperative agreements to state and local governments.
    i. 49 CFR Part 20--New restrictions on lobbying.
    j. 49 CFR Part 21--Nondiscrimination in federally-assisted programs 
of the Department of Transportation--effectuation of Title VI to the 
Civil Rights Act of 1964.
    k. 49 CFR Part 23--Participation of minority business enterprise in 
Department of Transportation programs.
    l. 49 CFR Part 24--Uniform relocation assistance and real property 
acquisition regulation for Federal and federally assisted programs.
    m. 49 CFR Part 27--Non-Discrimination on the basis of handicap in 
programs and activities receiving or benefiting from Federal financial 
assistance.
    n. 49 CFR Part 29--Governmentwide debarment and suspension (non-
procurement) and governmentwide requirements for drug-free workplace 
(grants).
    o. 49 CFR Part 30--Denial of public work contracts to suppliers of 
goods and services of countries that deny procurement market access to 
U.S. contractors.
    p. 49 CFR Part 41--Seismic safety of Federal and federally assisted 
or regulated new building construction.
Office of Management and Budget Circulars
    a. A-87--Cost Principles Applicable to Grants and Contracts with 
State and Local Governments.
    b. A-128--Audits of State and Local Governments.
    Specific assurances required to be included in grant agreements by 
any of the above laws, regulations or circulars are incorporated by 
reference in the grant agreement.

2. Responsibility and Authority of the Sponsor

    It has legal authority to apply for the grant, and to finance and 
carry out the proposed project; that a resolution, motion, or similar 
action has been duly adopted or passed as an official act of the 
applicant's governing body authorizing the filing of the application, 
including all understandings and assurances contained therein, and 
directing and authorizing the person identified as the official 
representative of the applicant to act in connection with the 
application and to provide such additional information as may be 
required.

3. Sponsor Fund Availability

    a. It has sufficient funds available for that portion of the 
project costs which are not to be paid by the United States.
    b. It has sufficient funds available to ensure operation and 
maintenance of items funded under the grant agreement which it will own 
or control.

4. Good Title

    For projects to be carried out on the property of the sponsor, it 
holds good title satisfactory to the Secretary to that portion of the 
property upon which Federal funds will be expended or will give 
assurance to the Secretary that good title will be obtained.

5. Preserving Rights and Powers

    a. It will not enter into any transaction, or take or permit any 
action which 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 to acquire, extinguish, or modify any 
outstanding rights or claims of right of others which would interfere 
with such performance by the sponsor. This shall be done in a manner 
acceptable to the Secretary.
    b. It will not sell, lease, encumber, or otherwise transfer or 
dispose of any part of its title or other interests in the property, 
for which it holds good title and 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, 
United States Code, 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 
making binding upon the transferee, all of the terms, conditions and 
assurances contained in this grant agreement.
    c. For all noise compatibility projects which are to be carried out 
by another unit of local government or are on property owned by a unit 
of local government other than the sponsor, it will enter into an 
agreement with that governmental unit. Except as otherwise specified by 
the Secretary, that agreement shall obligate that governmental unit to 
the same terms, conditions, and assurances that would be applicable to 
it if it applied directly to the FAA for a grant to undertake the noise 
compatibility project. That agreement and changes thereto must be 
approved in advance by the Secretary.
    d. For noise compatibility projects to be carried out on privately 
owned property, it will enter into an agreement with the owner of that 
property which includes provisions specified by the Secretary.

6. Consistency With Local Plans

    The project is reasonably consistent with plans (existing at the 
time of submission of this application) of public agencies that are 
authorized by the State in which the project is located to plan for the 
development of the area surrounding the airport. For noise 
compatibility projects to be carried out on property which is not owned 
by the sponsor and which is under the land use control or authority of 
a public agency other than the sponsor, the sponsor shall obtain from 
each agency a written declaration that such an agency supports the 
project and the project is reasonably consistent with the agency's 
plans regarding the property.

7. Consideration of Local Interest

    It has give fair consideration to the interest of communities in or 
near which the project may be located.

8. Accounting System, Audit, and Recordkeeping Requirements

    a. It shall keep all project accounts and records which fully 
disclose the amount and disposition by the recipient of the proceeds of 
the grant, the total cost of the project in connection with which the 
grant is given or used, and the amount or nature of that portion of the 
cost of the project supplied by other sources, and such other financial 
records pertinent to the project. The accounts and records should be 
kept in accordance with an accounting system that will facilitate an 
effective audit in accordance with the Single Audit Act of 1984.
    b. It shall make available to the Secretary and the Comptroller 
General of the United States, or any of their duly authorized 
representatives, for the purpose of audit and examination, any books, 
documents, papers, and records of the recipient that are pertinent to 
the grant. The Secretary may require that an appropriate audit be 
conducted by a recipient. In any case in which an independent audit is 
made of the accounts of a sponsor relating to the disposition of the 
proceeds of a grant or relating to the project in connection with which 
the grant was given or used, it shall file a certified copy of such 
audit with the Comptroller General no later than six (6) months 
following the close of the fiscal year for which the audit was 
conducted.

[[Page 29772]]

9. Minimum Wage Rates

    It shall include, in all contracts in excess of $2,000 for work on 
any projects funded under the grant agreement which involve labor, 
provisions establishing minimum rates of wages, to be predetermined by 
the Secretary of Labor, in accordance with the Davis-Bacon Act, as 
amended (40 U.S.C. 276a-276a-5), which contractors shall pay to skilled 
and unskilled labor, and such minimum rates shall be stated in the 
invitation for bids and shall be included in proposals or bids for the 
work.

10. Veteran's Preference

    It shall include, in all contracts for work on any project funded 
under the grant agreement which involve labor, such provisions as are 
necessary to insure that, in the employment of labor (except in 
administrative, executive, and supervisory positions), preference shall 
be given to veterans of the Vietnam era and disabled veterans as 
defined in Section 47117 of Title 49, United States Code. However, this 
preference shall apply only where the individuals are available and 
qualified to perform the work to which the employment relates.

11. Conformity to Plans and Specifications

    It will execute the project subject to plans, specifications, and 
schedules approved by the Secretary. Such plans, specifications, and 
schedules shall be submitted to the Secretary prior to commencement of 
site preparation, construction, or other performance under this grant 
agreement, and, upon approval by the Secretary, shall be incorporated 
into this grant agreement. Any modifications to the approved plans, 
specifications, and schedules shall also be subject to approval by the 
Secretary and incorporation into the grant agreement.

12. Construction Inspection and Approval

    It will provide and maintain competent technical supervision at the 
construction site throughout the project to assure that the work 
conforms with the plans, specifications, and schedules approved by the 
Secretary for the project. It shall subject the construction work on 
any project contained in an approved project application to inspection 
and approval by the Secretary and such work shall be in accordance with 
regulations and procedures prescribed by the Secretary. Such 
regulations and procedures shall require such cost and progress 
reporting by the sponsor or sponsors of such project as the Secretary 
shall deem necessary.

13. Operation and Maintenance

    It will suitably operate and maintain noise program implementation 
items that it owns or controls upon which Federal funds have been 
expended.

14. Hazard Prevention

    It will protect such terminal airspace as is required to protect 
instrument and visual operations to the airport (including established 
minimum flight altitudes) by preventing the establishment or creation 
of future airport hazards on property owned or controlled by it or over 
which it has land use jurisdiction.

15. Compatible Land Use

    It will take appropriate action, including the adoption of zoning 
laws, to the extent reasonable, to restrict the use of land adjacent to 
or in the immediate vicinity of the airport to activities and purposes 
compatible with normal airport operations, including landing and 
takeoff of aircraft. In addition, it will not cause or permit any 
change in land use, within its jurisdiction that will reduce the 
compatibility, with respect to the airport, of the noise compatibility 
measures upon which Federal funds have been expended.

16. Reports and Inspections

    It will submit to the Secretary such annual or special financial 
and operations reports as the Secretary may reasonably request. It will 
also make records and documents relating to the project, and continued 
compliance with the terms, conditions, and assurances of the grant 
agreement including deeds, leases, agreements, regulations, and other 
instruments, available for inspection by any duly authorized agent of 
the Secretary upon reasonable request.

17. Civil Rights

    It will comply with such rules as are promulgated, to ensure that 
no person shall, on the grounds of race, creed, color, national origin, 
sex, age, or handicap, be excluded from participating in any activity 
conducted with or benefiting from funds received from this grant. This 
assurance obligates the sponsor for the period during which Federal 
financial assistance is extended to the program, except where Federal 
financial assistance is to provide, or is in the form of personal 
property or real property interest therein, or structures or 
improvements thereon, in which case the assurance obligates the sponsor 
or any transferee for the longer of the following periods: (a) the 
period during which the property is used for a purpose for which 
Federal financial assistance is extended, or for another purpose 
involving the provision of similar services or benefits or (b) the 
period during which the sponsor retains ownership or possession of the 
property.

18. Engineering and Design Services

    It will award each contract or subcontract for program management, 
construction management, planning studies, feasibility studies, 
architectural services, preliminary engineering, design, surveying, 
mapping, or related services with respect to the project in the same 
manner as a contract for architectural and engineering services as 
negotiated under Title IX of the Federal Property and Administrative 
Services Act of 1949 or an equivalent qualifications-based requirement 
prescribed for or by the sponsor.

19. Foreign Market Restrictions

    It will not allow funds provided under this grant to be used to 
fund any project which uses any product or service of a foreign country 
during the period in which such foreign country is listed by the United 
States Trade Representative as denying fair and equitable market 
opportunities for products and suppliers of the United States in 
procurement and construction.

20. Disposal of Land

    a. For land purchased under a grant for airport noise compatibility 
purposes, it will dispose of the land, when the land is no longer 
needed for such purposes, at fair market value, at the earliest 
practicable time. That portion of the proceeds of such disposition 
which is proportionate to the United States' share of acquisition of 
such land will, at the discretion of the Secretary, (1) be paid to the 
Secretary for deposit in the Trust Fund, or (2) be reinvested in an 
approved noise compatibility project as prescribed by the Secretary.
    b. Disposition of such land under (a) will be subject to the 
retention or reservation of any interest or right therein necessary to 
ensure that such land will only be used for purposes which are 
compatible with noise levels associated with operation of the airport.

21. Relocation and Real Property Acquisition

    (1) It will be guided in acquiring real property, to the greatest 
extent practicable under State law, by the land acquisition policies in 
Subpart B of 49 CFR Part 24 and will pay or reimburse

[[Page 29773]]

property owners for necessary expenses as specified in Subpart B. (2) 
It will provide a relocation assistance program offering the services 
described in Subpart C and fair and reasonable relocation payments and 
assistance to displaced persons as required in Subparts D and E of 49 
CFR Part 24. (3) It will make available within a reasonable period of 
time prior to displacement comparable replacement dwellings to 
displaced persons in accordance with Subpart E of 49 CFR Part 24.

[FR Doc. 97-14316 Filed 5-30-97; 8:45 am]
BILLING CODE 4910-13-M