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[Federal Register Volume 76, Number 144 (Wednesday, July 27, 2011)]
[Notices]
[Pages 44978-44979]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-18943]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

[Docket No. 2011-0786]

Notice of FAA Intent To Carry Over Airport Improvement Program 
(AIP) Entitlement Funds

AGENCY: Federal Aviation Administration, DOT.

ACTION: Notice.

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SUMMARY: By 12 p.m. prevailing local time on Friday, August 12, 2011, 
airport sponsors eligible to receive entitlement funds under the 
Airport Improvement Program (AIP) must notify, in writing, the 
designated representative in the appropriate FAA Regional or Airports 
District Office if they intend to submit a final grant application in 
support of eligible projects with their fiscal year 2011 and/or prior-
year entitlement funds. This notice must address all entitlement funds 
apportioned for fiscal year 2011, regardless of whether the FAA has 
authority to obligate those funds. After that deadline, the FAA will 
carry over all remaining entitlement funds, and the funds will not be 
available again until at least the beginning of fiscal year 2012. This 
notification requirement does not apply to non-primary airports covered 
by the block-grant program.

FOR FURTHER INFORMATION CONTACT: Mr. Frank J. San Martin, Manager, 
Airports Financial Assistance Division, APP-500, on (202) 267-3831.

SUPPLEMENTARY INFORMATION:

Availability of Documents

    You can get an electronic copy of this policy and all other 
documents in this docket using the Internet by:
    (1) Searching the Federal eRulemaking portal (http://www.regulations.gov/search);
    (2) Visiting the FAA's Regulations and Policies Web page at http://www.faa.gov/regulations_policies; or
    (3) Accessing the Government Printing Office's Web page at http://www.gpoaccess.gov/index.html.
    You can also get a copy by sending a request to the Federal 
Aviation Administration, Airports Financial Assistance Division, Office 
of Airport Planning and Programming, 800 Independence Avenue, SW., 
Washington, DC 20591, or by calling (202) 267-3831. Make sure to 
identify the docket number, notice number, or amendment number of this 
proceeding.
    Title 49 of the United States Code, Chapter 471, allows the FAA to 
grant apportioned or entitlement funds to eligible airport sponsors in 
support of eligible projects. Chapter 471 also allows the FAA to defer 
or carry over such grants to the following year. In such cases, the FAA 
converts the current-year funds to AIP discretionary funds, and then 
protects an equal amount of funding to be available to the sponsor in 
the following year, subject to legislative action to give the FAA both 
legal authority to issue grants and an appropriation of funds.
    Over the five fiscal years from 2003 through 2007, the FAA 
converted entitlements averaging just over $450 million annually, 
representing approximately 13 percent of the overall amount 
appropriated for AIP. Beginning in fiscal year 2008, that percentage 
increased sharply, to an annual average closer to $600 million, 
representing approximately 18 percent of the amount appropriated for 
AIP.
    Chapter 471 requires the FAA to establish a deadline for sponsors 
to notify the FAA of their intention to request a grant using their 
available entitlement funds. The FAA has historically established May 1 
as the deadline for sponsor notification. By the end of July in each of 
the fiscal years from 2006 through 2010, the FAA has historically been 
able to convert at least $400 million in entitlement funds based on 
sponsor requests.
    On February 3, 2011, the FAA published a notice in the Federal 
Register (23 FR 6178), establishing May 1, 2011 as the notification 
deadline. However, as of July 20, 2011 (with about 10 weeks remaining 
in the fiscal year), the FAA has been able to convert only about $120 
million in carryover based on sponsor notifications. This represents a 
significantly slower rate of carryover conversion.

[[Page 44979]]

    As the end of the fiscal year approaches, it will quickly become 
difficult to convert further carryover funds to discretionary in 
sufficient time to obligate the funds. The FAA recognizes the unique 
circumstances that many sponsors face due to the series of short-term 
extensions of the FAA's authorizing legislation, which has prevented 
the FAA from making apportioned AIP funds fully available during FY 
2011. The FAA also recognizes that in many cases, sponsors have been 
awaiting access to the full amount of entitlement funds. In other 
cases, sponsors have been waiting in the hope of securing AIP 
discretionary or state apportionment funds.
    Therefore, the FAA is hereby notifying sponsors about steps 
required to ensure that the FAA has sufficient time to carryover and 
convert remaining entitlement funds, due to processes required under 
federal and local laws. The FAA is hereby notifying all sponsors that 
by 12 p.m. prevailing local time on Friday, August 12, 2011, they must 
submit written notice to the appropriate FAA office if they intend to 
submit a final grant application in support of eligible projects with 
its fiscal year 2011 or prior-year entitlement funds. This notice must 
address all apportioned for fiscal year 2011, regardless of whether the 
FAA has authority to obligate those funds. After that deadline, the FAA 
will carry over all remaining entitlement funds, and the funds will not 
be available again until at least the beginning of fiscal year 2012. 
This notification requirement does not apply to non-primary airports 
covered by the block-grant program.
    In addition, the FAA is also reminding sponsors that the February 
3, 2011 Federal Register notice established August 1, 2011 as the 
deadline to submit a grant application. In light of the protracted 
uncertainty about the program, the FAA is hereby revising that deadline 
to Friday, August 12, 2011. The FAA urges sponsors who cannot meet this 
deadline for grant applications to contact the designated 
representative in the appropriate Airports Regional or District Office.
    The FAA is also notifying sponsors who have requested but not 
received AIP discretionary funding in fiscal year 2011 that they must 
contact the designated representative in the appropriate Airports 
District Office or Regional Office. The FAA will advise such sponsors 
if it is unlikely that the FAA can fulfill those funding requests in 
fiscal year 2011, enabling such sponsors to make timely decisions about 
their fiscal year 2011 entitlement funds.
    In the absence of either a final grant application or written 
notification from the sponsor stating their intent to use fiscal year 
2011 entitlement funds, the FAA will carry over all remaining 
entitlement funds, and the funds will not be available again until at 
least the beginning of fiscal year 2012.

    Issued in Washington, DC on July 22, 2011.
Frank J. San Martin,
Manager, Airports Financial Assistance Division, Office of Airport 
Planning and Programming.
[FR Doc. 2011-18943 Filed 7-26-11; 8:45 am]
BILLING CODE 4910-13-P
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