Airport Improvement Program: FAA Complying With Requirement for Local
Involvement in Noise Mitigation Projects (Letter Report, 12/28/98,
GAO/RCED-99-41).

The Federal Aviation Administration (FAA) provides grants to help
airports control the amount of aircraft noise affecting neighboring
areas. Under FAA policy, airport owners receiving such grants must
obtain from each city, county, municipality, or other agency with
authority over property affected by the grant a written declaration
stating that the project is reasonably consistent with local plans or
has local support. Complying with this policy has been an issue at the
Seattle-Tacoma International Airport, where some local groups opposed to
the airport's expansion have criticized the airport's noise mitigation
program and have pointed out that FAA did not require the airport to
obtain written declarations that the project was consistent with local
plans and had local support. GAO determines whether FAA must enforce
this grant assurance as a condition of providing noise mitigation grants
to the Seattle-Tacoma International Airport, which is run by the Port of
Seattle.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  RCED-99-41
     TITLE:  Airport Improvement Program: FAA Complying With Requirement 
             for Local Involvement in Noise Mitigation Projects
      DATE:  12/28/98
   SUBJECT:  Noise pollution
             Transportation law
             Aircraft
             Environmental policies
             Grant monitoring
             Facility construction
             Airports
             Federal aid for transportation
IDENTIFIER:  FAA Airport Improvement Program
             Seattle-Tacoma International Airport (Seattle, WA)
             FAA National Plan of Integrated Airport Systems
             
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Cover
================================================================ COVER


Report to the Honorable
Adam Smith, House of Representatives

December 1998

AIRPORT IMPROVEMENT PROGRAM - FAA
COMPLYING WITH REQUIREMENT FOR
LOCAL INVOLVEMENT IN NOISE
MITIGATION PROJECTS

GAO/RCED-99-41

Requirements for Noise Mitigation Projects

(348121)


Abbreviations
=============================================================== ABBREV

  AIP - Airport Improvement Program
  FAA - Federal Aviation Administration
  PFC - passenger facility charge

Letter
=============================================================== LETTER


B-280708

December 28, 1998

The Honorable Adam Smith
House of Representatives

Dear Mr.  Smith: 

Airports are responsible for controlling the impacts of aircraft
noise by mitigating its effects in the immediate vicinity.  Through
the Airport Improvement Program (AIP), the Federal Aviation
Administration (FAA) provides grants for such mitigation efforts.  As
a condition of receiving AIP grants, airport owners sign a series of
assurances that the funds will be spent according to pertinent laws,
regulations, or administrative policies.  Under FAA policy, one of
these grant assurances calls for an airport owner to obtain from each
city, county, municipality, or other agency that has control or
authority over property affected by the grant a written declaration
stating that the project is reasonably consistent with local plans
and has local support.  Complying with this policy has been an issue
at the Seattle-Tacoma International Airport, where some local groups
opposed to the airport's expansion have criticized the airport's
noise mitigation program and have pointed out that FAA did not
require the airport to obtain written declarations that the project
was consistent with local plans and had local support. 

Concerned about the level of consultation that occurs between
affected communities and the airport, you asked us to determine
whether FAA must enforce this grant assurance as a condition of
providing noise mitigation grants to the Seattle-Tacoma International
Airport, which is operated by the Port of Seattle. 


   RESULTS IN BRIEF
------------------------------------------------------------ Letter :1

While FAA has a policy calling for an airport owner that requests
noise mitigation grants to obtain written declarations that the
project is consistent with local plans and has local support from
communities affected by airport noise, neither federal law nor FAA
regulations require such written declarations.  The federal statutes
do contain a broad requirement that FAA must satisfy itself that a
noise mitigation project is consistent with local plans.  However,
they make no mention of obtaining from cities, counties, or
municipalities in which a noise mitigation project is located written
declarations stating that the project is reasonably consistent with
local plans and has local support.  FAA officials said that in the
case of Seattle-Tacoma International Airport, they met the statutory
requirements by reviewing steps the airport completed prior to
applying for grants for noise mitigation projectsï¿½primarily, the
development of a noise compatibility program, a process that involves
public participation.  FAA officials said their review of the
Seattle-Tacoma International Airport's noise compatibility planning
efforts satisfied them that the noise mitigation projects were
consistent with local plans and had local support. 


   BACKGROUND
------------------------------------------------------------ Letter :2

Airport owners use several sources of funds to finance noise
mitigation projects.  Many airports rely, at least in part, on funds
from the federal Airport Improvement Program (AIP).  Noise mitigation
grants are part of AIP's role in helping to pay for airport planning
and development projects that enhance capacity, safety, and security
and that mitigate noise at airports included in FAA's National Plan
of Integrated Airport Systems.\1 FAA allocates most AIP funds on the
basis of a legislated entitlement formula and has set-aside
categories earmarked for specific types of airports or projects.  The
set-aside that supports noise mitigation projects is one of two
established by the Congress. 

As part of its statutory responsibilities, FAA established regulatory
requirements in 1985 to guide airport owners in the development of
ï¿½noise compatibility programs.ï¿½ Noise compatibility programs should
identify residences and public buildings near the airport that are
affected by airport noise and should propose noise reduction efforts
or other steps to reduce this incompatibility.\2 To minimize the
effects of airport noise, airport owners may acquire property,
install insulation, or make other modifications in residences and
public buildings, depending on the severity of the noise impact.\3

Seattle-Tacoma International Airport developed its first plan to deal
with noise mitigation issues in the 1970s.  The plan, called the
Sea-Tac Communities Plan, proposed several solutions to mitigate
noise, including acquiring properties or installing noise insulation
in residences and public buildings.  In 1985, the airport submitted a
noise compatibility program based, in part, on the airport's previous
plans and specified mitigation projects such as the acquisition of
properties and the installation of various types of noise insulation,
depending on the level of noise impact.  Participation in these
projects was voluntary; approximately 9,000 single-family residences
and 1,374 mobile homes were eligible for either acquisition or
insulation.  The airport updated the noise compatibility program in
1993, providing residential noise insulation paid for entirely by the
airport and adding some pilot projects for insulating multifamily
residential and public buildings.  The noise compatibility program is
currently being updated in conjunction with the development of a new
runway. 

Since 1975, Seattle-Tacoma International Airport has expended about
$260 million acquiring 1,431 homes and parcels of land and insulating
6,840 homes.  Airport officials estimate that within the next 4
years, approximately 200 additional homeowners will apply for
insulation at a cost of approximately $5 million to mitigate the
effects of noise generated by air traffic using the airport's third
runway (which is due to be completed in 2001). 

Seattle-Tacoma International Airport has used several sources of
funding to finance its $260 million in noise mitigation projects,
including AIP grants, passenger facility charges (PFC),\4 the
airport's own development fund,\5 and airport bonds.  The AIP funds
were by far the largest contributor to noise mitigation projects, as
shown in figure 1. 

   Figure 1:  Sources of Funds for
   Noise Mitigation Projects for
   Seattle-Tacoma International
   Airport, 1975-98

   (See figure in printed
   edition.)

Note:  PFCs were only available to airport owners after 1991. 

Seattle-Tacoma International Airport's noise mitigation program
update is one of many provisions of a controversial plan to expand
the airport's capacity by adding a third runway.  Local communities
and citizen groups are opposed to this expansion and have expressed
concerns about the new runway and the noise mitigation program. 
Several of these communities have joined together to pursue legal
actions against the airport's new runway development (footnote 7
includes additional information). 


--------------------
\1 This 10-year planning document is intended to identify airports
and projects critical to the national system.  It includes
approximately 3,300 airports.  An airport must be included in the
plan to be eligible for AIP funding. 

\2 The regulatory requirements for noise compatibility plans are
contained in 14 C.F.R.  part 150 (known as the "Part 150 program"). 

\3 Noise mitigation grants may also be made to an agency of local
government in the area around the airport if the Secretary of
Transportation decides the agency is able to carry out the project. 
See 49 U.S.C.  section 47504. 

\4 49 U.S.C.  section 40117. 

\5 Airport development funds are funds accumulated from airport
revenue for airport operating expenses, including small capital
projects. 


   STATUTORY AND REGULATORY
   REQUIREMENTS DO NOT NECESSITATE
   THAT AIRPORTS OBTAIN WRITTEN
   DECLARATIONS
------------------------------------------------------------ Letter :3

FAA has broad discretion when determining how to comply with
statutory requirements about community involvement in the development
of noise mitigation plans.  Federal statutes say that FAA need only
be satisfied that an airport's proposed noise mitigation project is
consistent with the local plans of affected agencies when determining
whether to issue an AIP grant.  While FAA has a policy calling for
airport owners to obtain written declarations of consistency with
local plans and local support from affected communities, neither
federal law nor FAA regulations require such written declarations. 

The legislative history shows that the Congress intended that the
Secretary of Transportation be given wide latitude in enforcing the
provision in the statutes.  There is no evidence in the legislative
history that indicates FAA has to obtain written declarations from
local agencies.  In some other instances, the Congress did specify
that FAA had to obtain written assurances from the grant applicant.\6
For example, FAA must receive a written assurance that an airport
will be available for public use under reasonable conditions and
without unjust discrimination.  However, noise mitigation plans were
not included in these requirements. 

FAA officials said they meet the statutory requirement that airports'
proposed noise mitigation projects are consistent with local plans
during the process used to develop any airport's noise compatibility
plan--a process that must be completed before an airport receives AIP
grants for noise mitigation projects.  All airport noise
compatibility plans must contain an examination of noise issues and a
series of maps that depict noise levels and areas affected by noise. 
Airports' noise compatibility plans may identify residences and
public buildings most affected by aircraft noise and contain
proposals to mitigate the effects of the noise.  As part of the
process, airports are required to provide opportunities for public
participation.  FAA officials said that the public participation
component of the process provides affected agencies with the
opportunity to state whether the program is consistent with local
plans and has the local support of their communities. 

This approach appears to be consistent throughout FAA.  We contacted
FAA officials in each of FAA's nine regions to determine whether any
region enforced the grant assurance directing airports to obtain
written declarations of consistency with local plans and local
support.  In all cases, the FAA officials said that they did not
require airport owners to obtain written declarations but instead
assured themselves through other ways that the project was consistent
with local plans and had local support.  Specifically, they indicated
that public participation during the development of noise
compatibility plans was adequate demonstration that a project was
consistent with local plans and had local support. 

In the case of Seattle-Tacoma International Airport, FAA approved the
noise compatibility program in 1985 and again in 1994.  FAA officials
said that they were satisfied that the airport's proposed noise
mitigation projects were consistent with local agencies' plans and
did not require the airport to obtain written declarations of
support.  FAA officials from the Northwest Mountain Region Airports
Division indicated that the airport satisfied itself that the
projects were consistent with local plans and had local support by
making significant efforts to involve citizens and officials from the
affected cities in the development of the airport's plans.\7 FAA
officials said that it was their belief that the airport went beyond
what was required in its attempts to involve the community in the
development of various noise compatibility plans.  The airport's
efforts to develop the 1993 plan included steps such as the
following: 

  -- forming a technical review committee comprising local area
     citizens and Port of Seattle staff (this committee was convened
     several times throughout the development of the noise
     compatibility plan for consultative purposes);

  -- holding several public meetings to allow other concerned
     citizens the opportunity to participate;

  -- responding to written concerns received from individuals and
     various groups; and

  -- providing draft copies of the final program to the mayors or
     elected representatives of all affected jurisdictions and
     soliciting comments from these elected officials. 


--------------------
\6 49 U.S.C.  section 47107. 

\7 FAA's decision on this issue was upheld by the U.S.  Court of
Appeals for the Ninth Circuit.  The court held that "the
administrative record indicates that every effort was made to ensure
consistency with planning efforts of local communities." City of
Normandy Park et al.  v.  Federal Aviation Administration, No. 
97-70953, 1998 U.S.  App.  Lexis 30463 (9th Cir.  Nov.  24, 1998). 


   CONCLUSIONS
------------------------------------------------------------ Letter :4

Federal statutes require FAA to satisfy itself that a noise
mitigation project is consistent with local plans and has local
support.  It is within FAA's discretion to decide whether written
declarations of consistency with local plans and local support must
be obtained or whether consistency can be shown in other ways.  The
fact that FAA does not require these written declarations raises
questions about why the requirement continues to be part of its grant
instructions and procedures for noise mitigation projects. 


   RECOMMENDATION
------------------------------------------------------------ Letter :5

To avert expectations of additional consultation between an airport
owner and the communities affected by airport noise, we recommend
that the Secretary of Transportation direct the Administrator,
Federal Aviation Administration, to determine whether the agency
should require written declarations that a project is consistent with
local plans and has local support from affected communities as called
for by its current grant requirements.  If the agency chooses not to
require written declarations, we recommend that this requirement be
removed from the grant assurances. 


   AGENCY COMMENTS
------------------------------------------------------------ Letter :6

We provided copies of a draft of this report to FAA for review and
comment.  We discussed the report with FAA officials, including the
Manager, Airports Financial Assistance Division, and the Manager,
Program Guidance Branch.  FAA generally agreed with the report's
findings, conclusions, and recommendation.  With regard to the
recommendation, FAA said it has initiated actions to revise the grant
assurance calling for airport owners to obtain written declarations
that a project is consistent with local plans and has local support
from affected agencies.  FAA also provided some technical comments,
which we incorporated into the report as appropriate. 


   SCOPE AND METHODOLOGY
------------------------------------------------------------ Letter :7

To determine whether FAA must enforce the grant assurance directing
airport owners to obtain written declarations of support, we reviewed
pertinent statutes, regulations, and FAA policies and procedures for
administering the Airport Improvement Program and noise compatibility
programs.  We interviewed and collected documents from FAA
headquarters officials from the Office of Airport Planning and
Programming and agency officials from all nine regional airport
divisions.  We also interviewed officials from the Seattle-Tacoma
International Airport responsible for administering the noise
compatibility program and reviewed pertinent documents and financial
records.  In addition, we interviewed officials and obtained
documents from the following affected jurisdictions:  King County;
the cities of Burien, Des Monies, Federal Way, Kent, Normandy Park,
SeaTac, and Tukwila; and the Highline School District. 

We also interviewed a private citizen from the Southwest King County
Group (a citizens committee concerned about airport noise) and a
representative from a Washington State legislator's office.  We
examined numerous documents pertaining to Seattle-Tacoma's noise
compatibility program, including three Part 150 studies/updates;
correspondence between the airport, affected jurisdictions, community
members, and FAA; and grant awards and program audits and evaluations
from independent auditors and the Washington State Auditor. 

We performed our review from August through December 1998 in
accordance with generally accepted government auditing standards. 
All dollar amounts in this report are nominal amounts. 


---------------------------------------------------------- Letter :7.1

As agreed with your office, unless you publicly announce its contents
earlier, we plan no further distribution of this report until 14 days
after the date of this letter.  At that time, we will send copies to
the Secretary of Transportation; the Administrator, FAA; the
Director, Office of Management and Budget; and other interested
parties.  We will also make copies available to others on request. 

Major contributors to this report included Dana Greenberg, David
Hooper, David Robinson, and Randy Williamson.  If you have questions
regarding this report, please contact my office at (202) 512-2834. 

Sincerely yours,

John H.  Anderson, Jr.
Director, Transportation Issues


*** End of document. ***