[Federal Register Volume 88, Number 73 (Monday, April 17, 2023)]
[Notices]
[Pages 23491-23498]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-07984]
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DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
[Docket No: FAA-2023-0530]
Fiscal Year 2023 Competitive Funding Opportunity: Airport
Improvement Program Discretionary Grants
AGENCY: Federal Aviation Administration, U.S. Department of
Transportation.
ACTION: Notice of funding opportunity.
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SUMMARY: The U.S. Department of Transportation's Federal Aviation
Administration (FAA) announces the opportunity to apply for an
estimated $1.5 billion in fiscal year (FY) 2023 discretionary grants
under the Airport Improvement Program (AIP). The FAA awards these
annually appropriated discretionary funds through the FAA's long-
standing iterative, competitive grant process. Prior to the publication
of this Notice of Funding Opportunity
[[Page 23492]]
(NOFO), the FAA identified eligible applicants in its National Plan of
Integrated Airport Systems (NPIAS) and compiled potentially eligible
projects through the 3-year Airports Capital Improvement Plan (ACIP).
Both of these processes are described in FAA Order 5090.5,
``Formulation of NPIAS and ACIP,'' which authorizes discretionary
funds. The AIP funds airport capital improvements and rehabilitation
projects. All discretionary grant funding is subject to appropriations,
statutory requirements, and related program funding availability.
DATES: Sponsors that wish to be considered for all opportunities for
AIP discretionary funding throughout FY 2023 should submit applications
that meet NOFO requirements as soon as possible, but no later than
Friday, July 14, 2023, 11:59 p.m. Eastern Daylight Time to FAA Regional
or Airport District Offices per instructions in this NOFO. The FAA
considers all applications properly submitted prior to this NOFO. Final
discretionary grant application funding requests should be based on
bids or firm costs, not estimates.
FOR FURTHER INFORMATION CONTACT: David F. Cushing, Manager, Airports
Financial Assistance Division, APP-500, at (202) 267-8827.
SUPPLEMENTARY INFORMATION:
A. Program Description
Under 49 U.S.C. 47104, the FAA may issue grants for airport
planning and development in the United States. Eligible projects
include those improvements related to enhancing airport safety,
capacity, security, and environmental concerns. In addition, 49 U.S.C.
47101(a)(1) states that it is the policy of the United States that the
safe operation of the airport and airways system is the highest
aviation priority, and 49 U.S.C. 47101(a)(7) states that airport
construction and improvement projects that increase the capacity of
facilities to accommodate passenger and cargo traffic be undertaken to
the maximum feasible extent so that safety and efficiency increase and
delays decrease.
The FAA is committed to advancing safe, efficient transportation
through the AIP. The FAA's safety mission is incorporated into many
aspects of the AIP, including, for example, justification requirements
for safety and security projects, allowance for certain Safety
Management System (SMS) and Safety Risk Management (SRM) costs, and
allowance for safety and security equipment projects. Within
discretionary funding, safety is incorporated as a scoring factor in
the quantitative formula, which is the National Priority Rating (NPR)
discussed below.
The AIP provides grants to public agencies and, in some cases, to
private owners and entities for the planning and development of public-
use airports that are included in the NPIAS. The AIP was authorized by
the Airport and Airway Improvement Act of 1982 (Pub. L. 97-248), which
Congress recodified in 1994 as 49 U.S.C. 47101, et seq. (Pub. L. 103-
272). The AIP statutes have been amended several times, most recently
with the passage of the FAA Reauthorization Act of 2018 (Pub. L. 115-
254) and subsequent legislation.
The AIP Assistance Listing number is 20.106. The AIP assists
sponsors, owners, or operators of public-use airports in the
development of a nationwide system of airports sufficient to meet the
needs of civil aeronautics. This includes preserving existing airport
infrastructure in a safe and functional operational condition; bringing
airport facilities into conformity with current Federal safety
standards; constructing, modifying, or expanding facilities as
necessary to meet demonstrated aeronautical demand; enhancing
environmental sustainability; and providing a balanced system of
airports to meet the roles and functions necessary to support civil
aeronautical demand.
The FAA implements AIP as appropriate and consistent with AIP
statutory criteria and Executive Order 14008, ``Tackling the Climate
Crisis at Home and Abroad'' (86 FR 7619). In addition to promoting
safety, the FAA seeks to fund projects under AIP that reduce greenhouse
gas emissions in the transportation sector, incorporate evidence-based
climate resilience measures and features, reduce the lifecycle
greenhouse gas emissions from the project materials, avoid adverse
environmental impacts to air or water quality, wetlands, and endangered
species, and address the disproportionate negative environmental
impacts of transportation on disadvantaged communities. Also, the FAA
encourages applicants to consider how a proposed project directly
benefits investments in Voluntary Airport Low Emission (VALE) and Zero
Emissions Vehicle (ZEV) programs to disadvantaged communities and
ensures meaningful public engagement under Executive Order 14008,
section 223, recognizing that these limited programs direct vehicles
for primarily on-airport uses.
The FAA seeks to award projects under the AIP that will create
proportional impacts to all populations in a project area, remove
transportation-related disparities to all populations in a project
area, and increase equitable access to project benefits, consistent
with Executive Order 13985, ``Advancing Racial Equity and Support for
Underserved Communities Through the Federal Government'' (86 FR 7009).
The FAA intends to use the AIP to support the creation of good-
paying jobs with the free and fair choice to join a union and the
incorporation of strong labor standards and training and placement
programs, especially registered apprenticeships, in project planning
stages, consistent with Executive Order 14025, ``Worker Organizing and
Empowerment'' (86 FR 22829), and Executive Order 14052,
``Implementation of the Infrastructure Investment and Jobs Act'' (86 FR
64335). The FAA also intends to use the AIP to support wealth creation,
consistent with the Department of Transportation's Equity Action Plan
through the inclusion of local inclusive economic development and
entrepreneurship, such as the utilization of Disadvantaged Business
Enterprises, Minority-owned Businesses, Women-owned Businesses, or 8(a)
firms.
Recipients of Federal transportation funding must comply fully with
title VI of the Civil Rights Act of 1964 and implementing regulations,
the Americans with Disabilities Act, section 504 of the Rehabilitation
Act of 1973, and all other civil rights requirements, as described
further below. The Department of Transportation's (DOT's) and the FAA's
Office of Civil Rights may provide resources and technical assistance
to ensure full and sustainable compliance with Federal civil rights
requirements.
B. Federal Award Information
On average, for the last ten years, $3.35 billion has been
appropriated annually for AIP. AIP grants include both apportioned (or
entitlement) and discretionary (or competitive) funds. Apportioned
funds are allocated in accordance with 49 U.S.C. 47114 based on an
airport's size and level of activity. Discretionary funds are made
available in accordance with 49 U.S.C. 47115 and 49 U.S.C. 47117.
Public Law 115-254, titled ``FAA Reauthorization Act of 2018,''
authorizes $3.35 billion in funding authority for the AIP to administer
grants for airport planning, development, and noise compatibility
planning and programs each fiscal year from October 1, 2018, through
September 30, 2023.
[[Page 23493]]
This NOFO is being issued under the Consolidated Appropriations
Act, 2023 (Pub. L. 117-328). Funding beyond the current available
program amount is subject to appropriations and the availability of
future funds.
In FY 2022, 374 discretionary grants were issued, totaling
approximately $1.76 billion. The discretionary grants ranged in amount
from $37,000 to $44,400,000. The average AIP discretionary grant was
$4,700,000. In FY 2023, the FAA anticipates awarding discretionary
grants beginning in April 2023, with an individual grant period of
performance of 4 years. The AIP is an annual program, and AIP projects
are funded based on a planning process described in Order 5090.5,
``Formulation of NPIAS and ACIP.'' In this process, the FAA works with
potential award recipients on eligible and justified development needs.
The FAA uses the NPIAS to identify airports that have a role in the
National Airspace System (NAS) and all potential airport development
projects that are eligible for AIP funding at those airports. The FAA
formulates a 3-year ACIP to guide the assignment of AIP funding to
projects based on airport development needs identified in the NPIAS.
The 3-year ACIP, as a subset of the NPIAS, is an annual process for
reviewing the NPIAS for development project needs. From this ACIP the
FAA identifies candidates that are ready to accept a grant, including
those that may apply for discretionary funding. Discretionary funding
includes five types of set-aside funding categories, further described
in section D.5. The process begins with each eligible airport operator
submitting an individual airport capital improvement plan and follows
with the formulation of the NPIAS Report, the National ACIP, and the
Discretionary Candidate List (DCL). The DCL accounts for all AIP
projects competing for discretionary funding for the first fiscal year
of the 3-year ACIP. The DCL is prioritized based on quantitative and
qualitative criteria, which are discussed in greater detail in this
NOFO sections E.1. and E.2.
C. Eligibility Information
1. Eligible Applicants.
Eligible applicants are public agencies owning a public-use NPIAS
airport; private entities owning a public-use NPIAS airport; States
acting as a sponsor for one or more specific NPIAS airports in the
State; Indian tribes or pueblos owning or leasing a public-use NPIAS
airport; the Secretary of the Interior for Midway Island Airport; the
Republic of the Marshall Islands; the Federated States of Micronesia;
the Republic of Palau; and other applicants as outlined in table 2-1 of
Order 5100.38, Airport Improvement Program Handbook (AIP Handbook)
available at: https://www.faa.gov/airports/aip/aip_handbook/.
2. Cost Sharing or Matching
AIP grants generally have Federal shares ranging from 70 percent to
95 percent. The Federal share percentage is based on the airport size
and type of project per statute. Federal share by airport and project
type can be found in chapter 4 of the AIP Handbook.
3. Project Eligibility
Discretionary funds are made available in accordance with 49 U.S.C.
47115, 49 U.S.C. 47117, and 49 U.S.C. 47120 to fund needs that exceed
an airport's available apportioned funds. Apportioned funds are
allocated in accordance with 49 U.S.C. 47114 and must be used on an
airport's highest-priority project(s). Discretionary funding is
determined after entitlement funding has been determined. However, the
FAA reviews both discretionary grants and entitlement grants for
eligibility and justification per the statutory ACIP process described
below.
All projects funded with AIP must be justified and eligible under
49 U.S.C. chapters 471 and 475, as further outlined in chapter 3 of the
AIP Handbook. Eligible projects include those improvements related to
enhancing airport safety, capacity, security, and environmental
sustainability, as well as evidence showing compliance with Federal
civil rights laws. In general, sponsors can receive AIP funds for most
airfield capital improvements or rehabilitation projects and, in some
specific situations, for terminals, hangars, and non-aviation
development. Certain professional services that are necessary for
eligible projects (such as planning, surveying, and design) may also be
eligible. The FAA must be able to determine whether a proposed project
is justified based on civil aeronautical demand. The projects must also
meet Federal environmental, Buy American, and 2 CFR part 200
procurement requirements.
The discretionary planning process is a subset of the ACIP
formulation process. Funds are assigned to projects in the ACIP based
on project priority, funding types, and project type. Assignment of
funds in the ACIP does not guarantee funding. Funding levels may vary
based on annual appropriations. Discretionary projects in the ACIP are
evaluated for priority and readiness in accordance with the AIP
Handbook. The inclusion of a project in the national ACIP does not
constitute a commitment of Federal funding. For a project to be funded
under AIP, it must meet the prerequisites for funding, as found in the
AIP Handbook table 3-1, ``The 16 General Requirements for Project
Funding.'' These prerequisites include, but are not limited to, the
project being included in the airport's approved layout plan, an
environmental determination, all necessary airspace studies, title to
land, the satisfaction of intergovernmental review and airport user
consultation requirements, and reasonable project readiness. For the
complete list, refer to the AIP Handbook table 3-1, available at
https://www.faa.gov/airports/aip/aip_handbook/?Chapter=3#S0301. The
release of funds for each individual grant project is contingent upon
grant recipients meeting all of these prerequisite milestones.
D. Application and Submission Information
1. Address To Request Application Package
All inquiries should be directed to the appropriate Regional Office
(RO) or Airport District Office (ADO). RO/ADO contact information is
below https://www.faa.gov/airports/regions/.
Application forms are at: https://www.faa.gov/airports/resources/forms/.
2. Content and Form of Application Submission
For content and application information, reference the ``Standard
Operating Procedure for FAA Review and Approval of an Airport
Improvement Program (AIP) Grant Application.'' https://www.faa.gov/sites/faa.gov/files/airports/resources/sops/arp-sop-600-grant-application.pdf.
The final grant application funding requests should be based on
bids or firm costs, not estimates. Grant Funds, Sources and Uses of
Project Funds--Project budgets should show how different funding
sources will share in each activity and present those data in dollars
and percentages. The budget should identify other Federal funds the
applicant is applying for or has been awarded, if any, that the
applicant intends to use. Funding sources should be grouped into three
categories: non-Federal, AIP, and other Federal, with specific amounts
from each funding source.
The FAA considers eligible and justified projects per 49 U.S.C.
47103, 47104, 47106, 47107, 47108, and 47109 that align with Executive
Orders identified in the NOFO and further the
[[Page 23494]]
Administration's goals of safety, environmental stewardship, climate
change and sustainability, equity, creation of good jobs and
infrastructure investment. Applications should briefly describe how the
proposed project meets at least one of these goals. The
Administration's goals are identified for each discretionary project
based on the following definitions.
Safety--As stated, safety enhancements and the preservation of a
safe environment is an element of nearly every AIP project. Applicants
are encouraged to address how their project provides substantial safety
benefits. Prior to receiving funds, all projects are expected to, at a
minimum, identify and mitigate to the extent practicable any
significant safety risks that could result after the project
completion.
Equity--Applicants are encouraged to address how their project will
advance equity for all, including people of color and others who have
been historically underserved, marginalized, and adversely affected by
persistent poverty and inequality. Examples are projects in
Economically Distressed Areas (EDA), projects to meet ADA requirements,
and projects in Tribal communities. The statutory criteria used for
EDA-impacted communities is explained on the Economically Distressed
Areas (EAS/EDA Determinations) Special Rule web page. This definition
also applies to statutory requirements under 49 U.S.C. 47102(3)(f)
``Airport Development'' and section 47123 ``Nondiscrimination.'' In
addition, the FAA must assess that all grantees are compliant with
title VI of the Civil Rights Act of 1964, section 504 of the
Rehabilitation Act, and other Federal civil rights statutes. Applicants
are encouraged to address how their project will include an equity
assessment which evaluates whether a project will create proportional
impacts and remove transportation-related disparities to all
populations in a project area. Applicants may demonstrate how
meaningful public engagement will occur throughout a project's life
cycle. Applicants may address how project benefits will increase
affordable transportation options, improve safety, connect Americans to
good-paying jobs, fight climate change, and/or improve access to
resources and quality of life.
Climate Change and Sustainability--Applicants are encouraged to
address how their project will promote an equitable, clean energy
future as well as standards that protect our air, water, and
communities. Examples are any environmental improvements, noise
projects, VALE/ZEV, deicing containment, and drainage improvements.
Applicants are encouraged to address how the project will consider
climate change and environmental justice in the planning stage and in
project delivery. In particular, applicants may address how the project
reduces greenhouse gas emissions in the transportation sector, taking
into account relevant domestic and international standards and
recommended practices; incorporates evidence-based climate resilience
measures and features, and reduces the lifecycle greenhouse gas
emissions from the project materials. Applicants also may address the
extent to which the project avoids adverse environmental impacts to air
or water quality, wetlands, and endangered species, as well as address
disproportionate negative impacts of climate change and pollution on
disadvantaged communities, including natural disasters, with a focus on
prevention, response, and recovery.
Workforce Development, Job Creation and Wealth Creation--Applicants
are encouraged to address how their project will that create good jobs
in the community and support good-paying construction jobs. Examples
are projects to expand cargo or manufacturing operations, fuel farms,
hangars, and terminals. Applicants are encouraged to address how their
project will create good-paying jobs with the free and fair choice to
join a union; promote investments in high-quality workforce development
programs with supportive services to help train, place, and retain
people in good-paying jobs or registered apprenticeship, with a focus
on women, people of color, and others that are underrepresented in
infrastructure jobs; and change hiring policies and workplace cultures
to promote the entry and retention of underrepresented populations.
Applicants may also address how the project promotes local inclusive
economic development and entrepreneurship, such as the utilization of
Disadvantaged Business Enterprises, Minority-owned Businesses, Women-
owned Businesses, or 8(a) firms.
Infrastructure Investment--Capital airport development projects.
Applicants are encouraged to address how their project will repair,
renew, and upgrade the airports' infrastructure. Airport development is
defined in 49 U.S.C. 47102(3) and includes a list of activities if
those activities are undertaken by the sponsor, owner, or operator of a
public-use airport.
Sharing of Application Information--The FAA may share application
information within the Department of Transportation or with other
Federal agencies if the FAA determines that sharing is relevant to the
respective program's objectives.
3. Unique Entity Identifier and System for Award Management (SAM)
Applicants must comply with 2 CFR part 25--Universal Identifier and
System for Award Management. All applicants must provide a unique
entity identifier provided by SAM. Additional information about
obtaining a Unique Entity Identifier (UEI) and registration procedures
may be found on the SAM website (currently at http://www.sam.gov). Each
applicant is required to: (1) be registered in SAM before submitting an
application; (2) provide a valid UEI in its application; and (3)
continue to maintain an active SAM registration with current
information at all times during which the applicant has an active
Federal award or an application or plan under consideration by the FAA.
Under the AIP, the UEI and SAM account must belong to the entity that
has the legal authority to apply for, receive, and execute AIP grants.
Once awarded, the FAA grant recipient must maintain the currency of
its information in the SAM until the grant recipient submits the final
financial report required under the grant or receives the final
payment, whichever is later. A grant recipient must review and update
the information at least annually after the initial registration and
more frequently if required by changes in information or another award
term.
The FAA may not make an award until the applicant has complied with
all applicable UEI and SAM requirements. If an applicant has not fully
complied with the requirements by the time the FAA is ready to make an
award, the FAA may determine that the applicant is not qualified to
receive an award and use that determination as a basis for making a
Federal award to another applicant.
Non-Federal entities that have received a Federal award are
required to report certain civil, criminal, or administrative
proceedings to SAM (Responsibility/Qualification at https://sam.gov/content/fapiis) to ensure registration information is current and
complies with Federal requirements. Applicants should refer to 2 CFR
200.113 for more information about this requirement.
4. Submission Dates and Times
Sponsors wishing to be considered for AIP discretionary funding
throughout FY 2023 should submit applications that meet these NOFO
requirements as soon as possible to FAA Regional or
[[Page 23495]]
Airport District Offices. The FAA considers all applications submitted
prior to this NOFO if they meet all existing law, Federal regulations,
NOFO requirements, and FAA policy.
The FAA considers applications on a rolling basis. The final
deadline to submit discretionary grant applications is Friday, July 14,
2023, 11:59 p.m. Eastern Daylight Time. Under 49 U.S.C. 47115, the FAA,
considers projects that are the most appropriate to carry out the
statute at any time prior to September 30, 2023.
Information about entitlement funds can be found at 88 FR 5955,
published on January 30, 2023.
5. Funding Restriction
Under 49 U.S.C. 47115 and 47116, projects must meet airport and
project eligibility and justification criteria. Eligibility is derived
from statute and may include projects to enhance airport safety,
capacity, security, and environmental concerns. In general, sponsors
may receive AIP funds for most airfield capital improvements and, in
specific situations, for terminals, hangars, equipment, and non-
aeronautical development. Projects related to airport operations are
not eligible for funding. Operational costs--such as salaries,
equipment, and supplies--are not eligible for AIP grants.
Furthermore, chapter 4 of the AIP Handbook describes the funding
restrictions by airport type (table 4-4) and project restrictions by
fund type (table 4-5). Discretionary funding is broken down into five
categories: 1. Environmental Set Aside, which includes Noise
Compatibility and Mitigation Programs, the VALE Program, and ZEV
Program; 2. Reliever Set Aside; 3. Military Airport Program (MAP) Set
Aside; 4. Capacity/Safety/Security/Noise (C/S/S/N); and 5. Pure
Discretionary. Each of these fund types has certain public-use NPIAS
airport categories that can use this funding, as described in table 4-4
of the AIP Handbook, for example, C/S/S/N funding is only available to
primary and reliever airports. Each of the discretionary fund types
also has certain project restrictions by fund type, as outlined in
table 4-5 of the AIP Handbook, for example, Reliever Set Aside funding
may not be used for terminal buildings.
The AIP has funding restrictions by airport and/or project type.
See the criteria below and refer to AIP Handbook, chapters 3 and 4, for
further details on eligibility criteria and funding restrictions
available at: https://www.faa.gov/airports/aip/aip_handbook/. The AIP
Handbook is the published policy for AIP. Except where options are
specifically noted or where non-mandatory language is used, the
procedures and requirements are mandatory. The general requirements for
project funding include considerations of: project eligibility; project
justification; good title of airport property; an FAA-approved airport
layout plan; a complete intergovernmental review; airport-user
consultations; complete required environmental reviews; a determination
that the grant will yield a usable unit of work; certification that the
project specification meets FAA standards; applicable cost
justifications; and a work plan to complete the project without
unreasonable delay.
6. Other Submission Requirements
Contact RO/ADO for the submission process. RO/ADO contact
information is below.
https://www.faa.gov/airports/regions/
i. Pre-Award Authority
Under 49 U.S.C. 47110(b)(2), all project costs must be incurred
after the grant execution date unless specifically permitted under the
AIP statutes. Table 3-60 of the AIP Handbook lists the rules regarding
when project costs can be incurred in relation to the grant execution
date, the type of funding, and the type of project. Certain airport
development costs incurred before execution of the grant agreement are
allowable, but only if certain conditions under 49 U.S.C.
47110(b)(2)(D) and table 3-60 of the AIP Handbook are met.
Specifically, all allowable costs using passenger, cargo, and non-
primary entitlement (formula) funding after 9/30/1996 may be reimbursed
regardless of whether they were incurred before the grant was executed
as long as all other applicable AIP requirements have been met. In
addition, allowable costs using any or all of the following must have
been incurred after the grant execution date: discretionary, state
apportionment (including insular), and Alaska supplemental funding. The
only exceptions are based on statute, and are: the part 150 Noise
Mitigation program, project formulation for development and planning
projects, land acquisition, letters of intent, design-build projects,
Military Airport Program, and climate-related conditions.
E. Application Review Information
1. Criteria
The FAA evaluates and administers AIP applications consistent with
the statutory criteria as described in 49 U.S.C. 47115(d). Under 49
U.S.C. 47115(d), capacity enhancement projects have additional
considerations, including a project's impact on national transportation
system capacity, airport capacity, and global air cargo activity. For
all projects, 49 U.S.C. 47115(d)(2) states that in selecting a project
for a grant under that section, the FAA shall consider, among other
factors, whether funding has been provided for all other projects
qualifying for funding during the fiscal year under this chapter that
have attained a higher score under the numerical priority system
employed by the FAA in administering the fund; and the sponsor will be
able to commence the work identified in the project application in the
fiscal year in which the grant is made or within six months after the
grant is made, whichever is later. The ACIP emphasizes using AIP
funding on the highest priority projects as required by statute. The
numerical priority system is described in section E.2. of this NOFO.
Annual submission from a sponsor of its 5-year Capital Improvement
Program (CIP) to the FAA typically initiates the review process. In
order for the FAA to include a project in the ACIP, the project must be
eligible and justified. The AIP Handbook explains what types of capital
projects may be eligible and justified for AIP funding depending on the
airport category, project type, and specific category or categories of
AIP funding to be requested. Available online at: https://www.faa.gov/airports/aip/aip_handbook/.
Merit criteria are data-driven criteria as described in section E.2
and are based on project eligibility, justification, readiness, and the
availability of funds. For a project to be funded through the AIP,
certain prerequisites must be completed. These prerequisites are: the
project is included in the airport's approved layout plan, an
environmental determination has been made, and all necessary airspace
studies are complete. Prerequisites must be met in order for grant
funding to be released.
While a project is not required to meet the following criteria, the
FAA gives favorable consideration to applications that have a positive
benefit on safety; climate change and sustainability; equity; and
workforce development, job quality, and wealth creation, as described
in section D.2 above.
2. Review and Selection Process
The FAA's review of submitted projects takes place during the
formulation of the ACIP. Through the annual ACIP process, the FAA
systematically identifies, plans, and prioritizes airport planning and
development projects for AIP funding to
[[Page 23496]]
produce a three-year funding plan. The ACIP is a needs-based and
financially-constrained plan for funding development over a rolling
three-year period. The National Priority System (NPS) equation is used
to calculate the National Priority Rating (NPR), a quantitative measure
used for ranking project importance. The NPR is calculated using the
NPS equation, which considers the type of airport, the purpose of the
project, the component of the project, and the type of action. The
resulting score, between 1 and 100, is known as the NPR. The NPR score
prioritizes airport development projects according to FAA goals and
objectives, with higher numerical scores indicating the project is more
aligned with FAA goals and objectives. The maximum value of the NPS
equation is 100. NPIAS-ACIP Order section 5.7.3 and NPIAS-ACIP Order
appendix B provide a detailed explanation of the NPS Equation, which is
available at https://www.faa.gov/airports/planning_capacity/npias_acip_order/.
In the administration of the AIP, the FAA gives the highest
priority to projects that enhance safety and security at airports.
Other major objectives are achieved by awarding AIP funds to projects
that maintain existing airport infrastructure and increase or maintain
the capacity of existing facilities to accommodate increasing passenger
and cargo demand.
DCL projects are prioritized based on the NPR. The NPR emphasizes
using AIP funding on the highest priority projects as required by
statute. However, the NPR is not always the only factor for determining
a project's priority. For this reason, the ACIP process considers other
qualitative factors to supplement the NPR score in determining
priorities. Qualitative factors are assessed through project
justifications and priority project identification. Long-standing goals
that the FAA has considered in project justifications include Safety or
Security, System Capacity, Environment, and Access. Qualitative factors
do not impact the NPR for a given project, but are taken into account
in funding decisions. These qualitative factors include selection
consideration for applications that have a positive benefit on safety;
climate change and sustainability; equity; and workforce development,
job quality, and wealth creation, as described in section D.2 above.
This program supports the President's goals to mobilize American
ingenuity to build modern infrastructure and an equitable, clean energy
future while supporting the creation of good jobs. The FAA considers
discretionary grants that advance the goals of the President's
Executive Order 13985, ``Advancing Racial Equity and Support for
Underserved Communities Through the Federal Government;'' the
President's Executive Order 13988, ``Preventing and Combating
Discrimination on the Basis of Gender Identity or Sexual Orientation;''
the President's Executive Order 14008, ``Tackling the Climate Crisis at
Home and Abroad;'' and the President's Executive Order 14025, ``Worker
Organizing and Empowerment.'' The FAA considers the extent to which the
project incorporates considerations of climate change and
sustainability, to the extent possible within the program. The FAA
considers the extent to which the project proactively addresses racial
equity and barriers to opportunity, to the extent possible within the
program.
3. Integrity and Performance Check
Prior to making a Federal award with a total amount of Federal
share greater than the simplified acquisition threshold, the FAA is
required to review and consider any information about the applicant
that is in the designated integrity and performance system accessible
through SAM (see 41 U.S.C. 2313). An applicant, at its option, may
review information in the designated integrity and performance systems
accessible through SAM and comment on any information about itself that
a Federal awarding agency previously entered and is currently in the
designated integrity and performance system accessible through SAM. The
FAA considers any comments by the applicant, in addition to the other
information in the designated integrity and performance system, in
making a judgment about the applicant's integrity, business ethics, and
record of performance under Federal awards when completing the review
of risk posed by applicants as described in 2 CFR 200.206.
F. Federal Award Administration Information
1. Federal Award Notices
AIP awards are announced through Congressional notification. The
FAA RO/ADO representative contacts sponsors with further information
and instructions. Once all pre-grant actions are complete, the FAA RO/
ADO offers the sponsor a grant for the announced project. This offer
may be provided through postal mail or by electronic means, and it
includes an offer letter and a grant agreement. Once the sponsor
accepts the offer and has fully executed the grant agreement, that
agreement becomes the legally binding grant award document. Awards made
under this program are subject to conditions and assurances in the
grant agreement. The FAA announces awards several times throughout the
fiscal year, but no later than September 30 of each fiscal year. These
announcements can include entitlement and discretionary awards.
2. Administrative Requirements
i. Pre-Award Authority
Under 49 U.S.C. 47110(b)(2), all project costs must be incurred
after the grant execution date unless specifically permitted under the
AIP statutes. Table 3-60 of the AIP Handbook lists the rules regarding
when project costs can be incurred in relation to the grant execution
date, the type of funding, and the type of project. Certain airport
development costs incurred before execution of the grant agreement are
allowable, but only if certain conditions under 49 U.S.C.
47110(b)(2)(D) and table 3-60 of the AIP Handbook are met.
Specifically, all allowable costs using passenger, cargo, and non-
primary entitlement (formula) funding after 9/30/1996 may be reimbursed
regardless of whether they were incurred before the grant was executed
as long as all other applicable AIP requirements have been met. In
addition, allowable costs using any or all of the following must have
been incurred after the grant execution date: discretionary, state
apportionment (including insular), and Alaska supplemental funding. The
only exceptions are based on statute, and are: the part 150 Noise
Mitigation program, project formulation for development and planning
projects, land acquisition, letters of intent, design-build projects,
Military Airport Program, and climate-related conditions.
ii. Planning
The FAA encourages applicants to review and understand the long-
term planning process in the lifecycle of an AIP grant. The planning
process for a particular project begins several years before a fiscal
year in which a grant is awarded. FAA Order 5090.5 establishes
guidelines for the two Federal plans essential to airport development:
The National Plan of Integrated Airport Systems (NPIAS) and the
Airports Capital Improvement Plan (ACIP), and is available at https://www.faa.gov/airports/planning_capacity/npias_acip_order/.
iii. Grant Requirements
All grant recipients are subject to the grant requirements of the
AIP, which includes requirements of 49 U.S.C.
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chapter 471. Grant recipients are subject to requirements in the FAA's
Agreement for AIP for financial assistance awards, the annual
Certifications and Assurances required of applicants, and any
additional applicable statutory or regulatory requirements, including
nondiscrimination requirements, 2 CFR part 200, Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal
Awards. Grant requirements include, but are not limited to, approved
project on an airport layout plan, compliance with Federal civil rights
laws, Buy American requirements under 49 U.S.C. 50101, Build America,
Buy America Act requirements under Public Law 117-58, Transportation
Disadvantaged Business Enterprise (DBE) program regulations for
Airports (49 CFR parts 23 and 26), and Davis-Bacon Act, as amended (40
U.S.C. 3141-3144, 3146, and 3147).
iv. Standard Assurances
Each applicant must assure that it will comply with all applicable
Federal statutes, regulations, executive orders, directives, FAA
circulars, and other Federal administrative requirements in carrying
out any project supported by the AIP grant. Applicants must acknowledge
that they are under a continuing obligation to comply with the terms
and conditions of the grant agreement issued for their project with the
FAA. Applicants understand that Federal laws, regulations, policies,
and administrative practices might be modified from time to time and
may affect the implementation of the project. Applicants must agree
that the most recent Federal requirements apply to the project unless
the FAA issues a written determination otherwise.
Applicants must submit the Certifications and Assurances before
receiving a grant, including sponsor grant assurances and 2 CFR part
200. The Airport Sponsor Assurances are available on the FAA website
at: https://www.faa.gov/airports/aip/grant_assurances/.
v. Critical Infrastructure Security and Resilience
It is the policy of the United States to strengthen the security
and resilience of its critical infrastructure against both physical and
cyber threats. Each applicant selected for Federal funding under this
notice must demonstrate, prior to the signing of the grant agreement,
effort to consider and address physical and cyber security risks
relevant to the transportation mode and type and scale of the project.
Projects that have not appropriately considered and addressed physical
and cyber security and resilience in their planning, design, and
project oversight, as determined by the Department of Transportation
and the Department of Homeland Security, will be required to do so
before receiving funds for construction, consistent with Presidential
Policy Directive 21--Critical Infrastructure Security and Resilience
and the National Security Presidential Improving Cybersecurity for
Critical Infrastructure Control Systems.
vi. Domestic Preference Requirements
As expressed in Executive Order 14005, ``Ensuring the Future Is
Made in All of America by All of America's Workers'' (86 FR 7475), the
executive branch should maximize, consistent with law, the use of
goods, products, and materials produced in, and services offered in,
the United States. Funds made available under this notice are subject
to the domestic preference requirement at Buy American requirements
under 49 U.S.C. 50101 and Build America, Buy America requirements under
Public Law 117-58. The FAA expects all applicants to comply with that
requirement.
vii. Civil Rights and Title VI
As a condition of a grant award, you shall demonstrate that you
comply with the provisions of title VI of the Civil Rights Act of 1964
(42 U.S.C. 2000d to 2000d-4) and implementing regulations (49 CFR part
21), the Airport and Airway Improvement Act of 1982 (49 U.S.C. 47123),
the Age Discrimination Act of 1975 (42 U.S.C. 6101 et seq.), section
504 of the Rehabilitation Act of 1973 (29 U.S.C. 794 et seq.), the
Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.), U.S.
Department of Transportation and Federal Aviation Administration (FAA)
Assurances, and other relevant civil rights Acts, Regulations, and
Authorities. This may include, as applicable, providing a current Title
VI Program Plan and a Community Participation Plan (alternatively may
be called a Public Participation Plan) to the FAA for approval, in the
format and according to the timeline required by the FAA, and other
information about the communities that will be benefited and impacted
by the project. A completed FAA Title VI Pre-Grant Award Checklist is
also required for every grant application for a large or medium hub
airport this fiscal year, unless excused by the FAA. You shall
affirmatively ensure that when carrying out any project supported by
this grant that you will comply with all federal nondiscrimination and
equity laws based on race, color, national origin (including persons
who are limited English proficient), sex (including sexual orientation
and gender identity), creed, age, disability, genetic information, or
environmental justice in consideration for federal financial
assistance. Applicants who have not sufficiently demonstrated the
conditions of compliance with civil rights requirements will be
required to do so before receiving funds. The DOT's and FAA's Office of
Civil Rights may provide resources and technical assistance to
recipients to ensure full and sustainable compliance with Federal civil
rights requirements. Failure to comply with civil rights requirements
will be considered a violation of the agreement or contract and be
subject to any enforcement action as authorized by law.
viii. Federal Contract Compliance
As a condition of grant award and consistent with E.O. 11246, Equal
Employment Opportunity (30 FR 12319, and as amended), all Federally
assisted contractors are required to make good faith efforts to meet
the goals of 6.9 percent of construction project hours being performed
by women, in addition to goals that vary based on geography for
construction work hours and for work being performed by people of
color. If applicable, under section 503 of the Rehabilitation Act and
its implementing regulations, affirmative action obligations for
certain contractors include an aspirational employment goal of 7
percent workers with disabilities.
ix. Performance and Program Evaluation
As a condition of grant award, grant recipients may be required to
participate in an evaluation undertaken by DOT or another agency or
partner. The evaluation may take different forms, such as an
implementation assessment across grant recipients, an impact and/or
outcomes analysis of all or selected sites within or across grant
recipients, or a benefit/cost analysis or assessment of return on
investment. DOT may require applicants to collect data elements to aid
the evaluation and/or use information available through other
reporting. As a part of the evaluation, as a condition of award, grant
recipients must agree to: (1) make records available to the evaluation
contractor or DOT staff; (2) provide access to program records, and any
other relevant documents to calculate costs and benefits; (3) in the
case of an impact analysis, facilitate the access to relevant
information as requested; and (4) follow
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evaluation procedures as specified by the evaluation contractor or DOT
staff.
Recipients and sub-recipients are also encouraged to incorporate
program evaluation, including associated data collection activities
from the outset of their program design and implementation, to
meaningfully document and measure their progress towards meeting an
agency priority goal(s). Title I of the Foundations for Evidence-Based
Policymaking Act of 2018 (Evidence Act), Public Law 115-435 (2019)
urges Federal awarding agencies and Federal assistance recipients and
sub-recipients to use program evaluation as a critical tool to learn,
improve equitable delivery, and elevate program service and delivery
across the program lifecycle. Evaluation means ``an assessment using
systematic data collection and analysis of one or more programs,
policies, and organizations intended to assess their effectiveness and
efficiency.'' 5 U.S.C. 311. Credible program evaluation activities are
implemented with relevance and utility, rigor, independence and
objectivity, transparency, and ethics (Office of Management and Budget
(OMB) Circular A-11, part 6 section 290).
For grant recipients receiving an award, evaluation costs are
allowable costs (either as direct or indirect), unless prohibited by
statute or regulation, and such costs may include the personnel and
equipment needed for data infrastructure and expertise in data
analysis, performance, and evaluation. (2 CFR part 200).
x. In addition to the Administration's priority of promoting
building infrastructure with American workers detailed in the
President's Executive Order 14005, ``Ensuring the Future is Made in all
of America by All of America's Workers,'' every AIP grant recipient
must comply with the requirements under the Build America, Buy America
Act (Pub. L. 117-58) as well as Buy American requirements under 49
U.S.C. 50101 as an integrated process at the direction of the FAA.
xi. In addition to this program supporting the President's
Executive Order 13166, ``Improving Access to Services for Persons with
Limited English Proficiency,'' all recipients of Federal funding are
subject to title VI of the Civil Rights Act of 1964, which includes the
requirement that, in certain circumstances, grant recipients ensure
that persons with limited English proficiency can effectively
participate in or benefit from Federally assisted programs and
activities, such as those arising from an AIP grant pursuant to this
NOFO, and the terms of any AIP grant agreement.
3. Reporting
The grant recipient is subject to financial reporting per 2 CFR
200.328 and performance reporting per 2 CFR 200.329. Under the AIP, the
grant recipient is required to comply with all Federal financial
reporting requirements and payment requirements, including the
submittal of timely and accurate reports. Financial and performance
reporting requirements are available in the FAA October 2020 Financial
Reporting Policy, which is available at https://www.faa.gov/sites/faa.gov/files/airports/aip/grant_payments/aip-grant-payment-policy.pdf.
The grant recipient must comply with annual audit reporting
requirements. The grant recipient and sub-recipients, if applicable,
must comply with 2 CFR part 200 subpart F Audit requirements. The grant
recipient must comply with any reporting requirements outlined in 2 CFR
part 180, OMB Guidelines to Agencies on Government-wide Debarment and
Suspension.
G. Federal Awarding Agency Contact(s)
Please contact your local Regional Office or District Office.
Contact information is available at https://www.faa.gov/airports/regions/.
Issued in Washington, DC, on April 11, 2023.
Lisa A. Holden,
Acting Deputy Director, Office of Airport Planning and Programming.
[FR Doc. 2023-07984 Filed 4-14-23; 8:45 am]
BILLING CODE 4910-13-P