Posted: Wednesday October 4, 2023 11:00 a.m.
NOTICE OF OPEN MEETING & VOTE TO CLOSE PART OF THE MEETING
Notice is hereby given that the City of Memphis Board of Aldermen will conduct an open meeting at
6:30 pm on Thursday, October 5, 2023 at the Memphis City Hall, 125 W. Jefferson, Memphis, Missouri.
The tentative agenda of this meeting includes:
BILL NO. ___23-6_______ ORDINANCE NO. _________
AN ORDINANCE AUTHORIZING THE CITY OF MEMPHIS, MISSOURI
TO ENTER INTO AN AGREEMENT WITH THE MISSOURI
HIGHWAYS AND TRANSPORTATION COMMISSION FOR THE
PURPOSE OF RECEIVING STATE BLOCK GRANT PROGRAM FUNDS
FOR THE REPLACEMENT OF THE ROTATING BEACON AT THE
MEMPHIS MUNICIPAL AIRPORT
BILL NO. ___23-6_______ ORDINANCE NO. _________
AN ORDINANCE AUTHORIZING THE CITY OF MEMPHIS, MISSOURI
TO ENTER INTO AN AGREEMENT WITH THE MISSOURI
HIGHWAYS AND TRANSPORTATION COMMISSION FOR THE
PURPOSE OF RECEIVING STATE BLOCK GRANT PROGRAM FUNDS
FOR THE REPLACEMENT OF THE ROTATING BEACON AT THE
MEMPHIS MUNICIPAL AIRPORT
WHEREAS, Section 116 of the federal Airport and Airway Safety and Capacity
Expansion Act of 1987 amended the previous Act of 1982 by adding new section 534 entitled
“State Block Grant Pilot Program”, (Title 49 United States Code Section 47128);
WHEREAS, the Federal Aviation Reauthorization Act of 1996 declared the State Block
Grant Program to be permanent;
WHEREAS, the Missouri Highways and Transportation Commission (the
“Commission”) has been selected by the FAA to administer state block grant federal funds under
said program;
WHEREAS, the City of Memphis, Missouri (the “City”) has applied to the Commission
for a sub grant under said program;
WHEREAS, the Commission has agreed to award funds to the City with the
understanding that such funds will be used for a project pursuant to a Missouri Highways and
Transportation Commission State Block Grant Agreement for the purposes generally described
as follows: Replace Rotating Beacon (the “Project”); and
WHEREAS, the City desires to enter into a Missouri Highways and Transportation
Commission State Block Grant Agreement (the “Agreement”) with the Commission for the
purposes of receiving State Block Grant Program funds for the Project; in substantially the form
of Exhibit A attached hereto and incorporated herein by reference, and the Board of Aldermen
find it is in the best interest of the City to enter into such Agreement.
NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF
THE CITY OF MEMPHIS, MISSOURI, AS FOLLOWS:
Section 1. The Board of Aldermen hereby approves, and the Mayor is hereby
authorized to execute, on behalf of the City, the Agreement with the Commission in substantially
the form of Exhibit A attached hereto and incorporated herein by reference. The City Clerk and
City Administrator are further authorized to take such additional action as may be necessary or
contemplated pursuant to the Agreement.
Section 2. The City shall, and the officers and officials of the City are authorized and
directed to, take such action, expend such funds, execute such other documents, certificates and
instruments as may be necessary or desirable to carry out and comply with the intent of this
Ordinance and to carry out, comply with and perform the duties of the City under the Agreement.
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Section 3. This Ordinance shall be in full force and effect on and after its passage and
approval by the Mayor.
PASSED AFTER HAVING BEEN READ BY TITLE TWO TIMES PRIOR TO
PASSAGE BY THE BOARD OF ALDERMEN OF THE CITY OF MEMPHIS,
MISSOURI, THIS _____ DAY OF OCTOBER, 2023.
David M. Ahland, Mayor
ATTEST:
Nicole Beard, City Clerk
EXHIBIT A
MISSOURI HIGHWAYS AND TRANSPORTATION COMMISSION
STATE BLOCK GRANT AGREEMENT
CCO FORM: MO04 Sponsor: City of Memphis
Approved: 03/91 (KR) Project No.: 23-026A-1
Revised: 08/23 (MWH) Airport Name: Memphis Memorial
Modified:
CFDA Number: CFDA #20.106
CFDA Title: Airport Improvement Program
Federal Agency: Federal Aviation Administration, Department of Transportation
STATE BLOCK GRANT AGREEMENT
SECTION I – TITLE, AUTHORIZATION, PROJECT DESCRIPTION
–State Block Grant Agreement
–Federal Authorization – Airport and Airway Improvement
Act of 1982 (as amended)
–Project Description – Planning, Land/Easement Appraisals
and Acquisitions, Surveying, Engineering Design, Construction
SECTION II – STANDARD AGREEMENT ITEMS
1. PURPOSE
2. PROJECT TIME PERIOD
3. TITLE EVIDENCE TO EXISTING AIRPORT PROPERTY
4. AMOUNT OF GRANT
5. AMOUNT OF MATCHING FUNDS
6. ALLOWABLE COSTS
7. WITHDRAWAL OF GRANT OFFER
8. EXPIRATION OF GRANT OFFER
9. FEDERAL SHARE OF COSTS
10. COMPLETING THE PROJECT WITHOUT DELAY AND IN CONFORMANCE
WITH REQUIREMENTS
11. RECOVERY OF FEDERAL FUNDS
12. UNITED STATES NOT LIABLE FOR DAMAGE OR INJURY
13. PAYMENT
14. ADMINISTRATIVE/AUDIT REQUIREMENTS
15. ASSURANCES/COMPLIANCE
16. LEASES/AGREEMENTS
17. NONDISCRIMINATION ASSURANCE
18. CANCELLATION
19. VENUE
20. LAW OF MISSOURI TO GOVERN
21. WORK PRODUCT
22. CONFIDENTIALITY
23. NONSOLICITATION
24. DISPUTES
25. INDEMNIFICATION
26. HOLD HARMLESS
27. NOTIFICATION OF CHANGE
28. DURATION OF GRANT OBLIGATIONS
29. AMENDMENTS
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30. PROFESSIONAL SERVICES BY COMPETITIVE PROPOSALS
31. ASSIGNMENT
32. BANKRUPTCY
33. COMMISSION REPRESENTATIVE
34. FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT OF 2006
35. BAN ON TEXTING WHILE DRIVING
36. TRAFFICKING IN PERSONS
37. SUSPENSION OR DEBARMENT
38. SYSTEM FOR AWARD MANAGEMENT REGISTRATION AND UNIQUE
ENTITY IDENTIFIER
39. FINANCIAL REPORTING AND PAYMENT REQUIREMENTS
40. EMPLOYEE PROTECTION FROM REPRISALS
SECTION III – PLANNING
41. AIRPORT LAYOUT PLAN
42. AIRPORT PROPERTY MAP
43. ENVIRONMENTAL IMPACT EVALUATION
44. EXHIBIT “A” PROPERTY MAP
45. SOLID WASTE RECYCLING PLAN
SECTION IV – LAND/EASEMENT APPRAISALS AND ACQUISITIONS
46. RUNWAY PROTECTION ZONE
SECTION V – DESIGN
47. ENGINEER’S DESIGN REPORT
48. GEOMETRIC DESIGN CRITERIA
49. PLANS, SPECIFICATION AND ESTIMATES
SECTION VII – SPECIAL CONDITIONS
50. SPECIAL CONDITIONS
SECTION VIII – GRANT ACCEPTANCE
–Signature by sponsor constitutes acceptance of grant terms and conditions. Failure to
comply with grant requirements will jeopardize funding eligibility.
–Certificate of sponsor’s attorney
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Sponsor: City of Memphis
Project No.: 23-026A-1
Airport Name: Memphis Memorial
CFDA Number: CFDA #20.106
CFDA Title: Airport Improvement Program
Federal Agency: Federal Aviation Administration, Department of Transportation
MISSOURI HIGHWAYS AND TRANSPORTATION COMMISSION
STATE BLOCK GRANT AGREEMENT
THIS GRANT AGREEMENT is entered into by the Missouri Highways and
Transportation Commission (hereinafter, “Commission”) and the City of Memphis
(hereinafter, “Sponsor”). Reference will also be made to the Federal Aviation
Administration (hereinafter, “FAA”) and the Federal Airport Improvement Program
(hereinafter, “AIP”).
WITNESSETH:
WHEREAS, Section 116 of the federal Airport and Airway Safety and Capacity
Expansion Act of 1987 amended the previous Act of 1982 by adding new section 534
entitled “State Block Grant Pilot Program”, (Title 49 United States Code (USC) Section
47128); and
WHEREAS, the Federal Aviation Reauthorization Act of 1996 declared the State
Block Grant Program to be permanent; and
WHEREAS, the Commission has been selected by the FAA to administer state
block grant federal funds under said program; and
WHEREAS, the Sponsor has applied to the Commission for a sub grant under said
program; and
WHEREAS, the Commission has agreed to award funds to the Sponsor with the
understanding that such funds will be used for a project pursuant to this Agreement for
the purposes generally described as follows:
Replace Rotating Beacon;
NOW, THEREFORE, in consideration of these mutual covenants, promises and
representations, the parties agree as follows:
(1) PURPOSE: The purpose of this Agreement is to provide financial
assistance to the Sponsor under the State Block Grant Program.
(2) PROJECT TIME PERIOD: The project period shall be from the date of
execution by the Commission to November 30, 2023 The Commission’s assistant chief
engineer may, for good cause as shown by the Sponsor in writing, extend the project time
period.
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(3) TITLE EVIDENCE TO EXISTING AIRPORT PROPERTY: The Sponsor
shall provide satisfactory evidence of title to all existing airport property and avigation
easements and address any and all encumbrances. Satisfactory evidence will consist of
the Sponsor’s execution of a Certificate of Title form provided by the Commission.
(4) AMOUNT OF GRANT: The initial amount of this grant is not to exceed
Fifteen Thousand Three Hundred Fifty-Nine Dollars ($15,359) for eligible preliminary
project costs and/or land/easement acquisition. A grant amendment to cover the balance
of eligible project costs will be provided after construction bids are received.
(A) The amount of this grant stated above represents ninety percent
(90%) of eligible project costs.
(B) The designation of this grant does not create a lump sum quantity
contract, but rather only represents the amount of funding available for qualifying
expenses. In no event will the Commission provide the Sponsor funding for improvements
or work that are not actually performed. The release of all funding under this Agreement
is subject to review and approval of all project expenses to ensure that they are qualifying
expenses under this program.
(5) AMOUNT OF MATCHING FUNDS: The initial amount of local matching
funds to be furnished by the Sponsor is not to exceed One Thousand Seven Hundred
Six Dollars ($1,706).
(A) The amount of matching funds stated above represents ten percent
(10%) of eligible project costs.
(B) The Sponsor warrants to the Commission that it has sufficient cash
on deposit to provide the local matching funds identified above, as well as to cover one
hundred percent (100%) of any ineligible items included in the scope of work.
(6) ALLOWABLE COSTS: Block grant funds shall not be used for any costs
that the Commission and/or the FAA has determined to be ineligible or unallowable in
accordance with 49 USC Chapters 471 and 475.
(7) WITHDRAWAL OF GRANT OFFER: The Commission reserves the right to
amend or withdraw this grant offer at any time prior to its acceptance by the Sponsor.
(8) EXPIRATION OF GRANT OFFER: This grant offer shall expire, and the
Commission shall not be obligated to pay any part of the costs of the project unless this
grant Agreement has been executed by the Sponsor on or before November 1, 2023, or
such subsequent date as may be prescribed in writing by the Commission.
(9) FEDERAL SHARE OF COSTS: The United States’ share of the allowable
project costs will be made in accordance with 49 USC §47109 and the provisions of such
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regulations, policies and procedures as the Secretary of the United States Department of
Transportation (USDOT) shall practice. Final determination of the United States’ share
will be based upon the final audit of the total amount of allowable project costs, and
settlement will be made for any upward or downward adjustments to the federal share of
costs.
(10) COMPLETING THE PROJECT WITHOUT DELAY AND IN
CONFORMANCE WITH REQUIREMENTS: The Sponsor must assure that the project is
carried out and completed without undue delays and in accordance with this Agreement,
applicable laws, statutes, regulations, and policies and procedures of the USDOT
Secretary. Per 2 Code of Federal Regulations (CFR) §200.308, the Sponsor agrees to
report to the Commission any disengagement from funding eligible expenses under the
Agreement and any subgrants thereto that exceed three months and request prior
approval from the Commission. The report must include a reason for the stoppage. The
Sponsor agrees to comply with the attached assurances, which are part of this
Agreement. These assurances, conditions, and any addendums apply to any subgrants
issued under this Agreement.
(11) RECOVERY OF FEDERAL FUNDS: The Sponsor shall take all steps,
including litigation if necessary, to recover federal funds spent fraudulently, wastefully, in
violation of federal antitrust statutes, or misused in any other manner for any project upon
which federal funds have been expended. For the purpose of this grant Agreement, the
term “federal funds” means funds however used or disbursed by the Sponsor that were
originally paid pursuant to this or any other federal grant Agreement. The Sponsor must
obtain the approval of the Commission as to any determination of the amount of the
federal share of such funds. The Sponsor shall return the recovered federal share,
including funds recovered by settlement, order or judgment, to the Commission. The
Sponsor shall furnish to the Commission, upon request, all documents and records
pertaining to the determination of the amount of the federal share or to any settlement,
litigation, negotiation, or other efforts taken to recover such funds. All settlements or other
final positions of the Sponsor, in court or otherwise, involving the recovery of such federal
share shall be approved in advance by the Commission.
(12) UNITED STATES NOT LIABLE FOR DAMAGE OR INJURY: The United
States is not responsible or liable for damage to property or injury to persons that may
arise from, or be incident to, compliance with this Agreement or subgrants issued under
this Agreement, including, but not limited to, any action taken by a Sponsor related to or
arising from, directly or indirectly, this Agreement.
(13) PAYMENT: Payments to the Sponsor are made on an advance basis. The
Sponsor may request incremental payments during the course of the project or a lump
sum payment upon completion of the work. However, this advance payment is subject to
the limitations imposed by subparagraph (13)(B) of this Agreement.
(A) The Sponsor may request payment at any time subsequent to the
execution of this Agreement by both parties. Requests for reimbursement shall be
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supported with invoices. After the Sponsor pays incurred costs, copies of checks used to
pay providers must be submitted to the Commission.
(B) It is understood and agreed by and between the parties that the
Commission shall make no payment which could cause the aggregate of all payments
under this Agreement to exceed ninety percent (90%) of the maximum federal (block
grant) obligation stated in this Agreement or eighty-six percent (86%) of actual total
eligible project cost, whichever is lower, until the Sponsor has met and/or performed all
requirements of this grant Agreement to the satisfaction of the Commission. The final ten
percent (10%) of the maximum federal (block grant) obligation stated in this Agreement
shall not be paid to the Sponsor until the Commission has received and approved all final
closeout documentation for the project.
(C) Within ninety (90) days of final inspection of the project funded under
this Agreement, the Sponsor shall provide to the Commission a final payment request
and all financial, performance and other reports as required by the conditions of this
Agreement, with the exception of the final audit report. This report shall be provided when
the Sponsor’s normal annual audit is completed.
(D) When force account or donations are used, the costs for land,
engineering, administration, in-kind labor, equipment and materials, etc., may be
submitted in letter form with a breakdown of the number of hours and the hourly charges
for labor and equipment. Quantities of materials used and unit costs must also be
included. All force account activity, donations, etc., must be pre-approved by the
Commission to ensure eligibility for funding.
(14) ADMINISTRATIVE/AUDIT REQUIREMENTS: This grant shall be governed
by the administrative and audit requirements as prescribed in 2 CFR Part 200.
(A) If the Sponsor expends Seven Hundred Fifty Thousand Dollars
($750,000) or more in a year in federal financial assistance, it is required to have an
independent annual audit conducted in accordance with 2 CFR Part 200. A copy of the
audit report shall be submitted to the Missouri Department of Transportation (hereinafter,
“MoDOT”) within the earlier of thirty (30) days after receipt of the auditor’s report or nine
(9) months after the end of the audit period. Subject to the requirements of 2 CFR Part
200, if the Sponsor expends less than Seven Hundred Fifty Thousand Dollars ($750,000)
in a year, the Sponsor may be exempt from auditing requirements for that year, but
records must be available for review or audit by applicable state and federal authorities.
(B) When the Sponsor’s normal annual audit is completed, the Sponsor
shall provide to the Commission a copy of an audit report that includes the disposition of
all federal funds involved in this project.
(C) In the event a final audit has not been performed prior to the closing
of the grant, the Commission retains the right to recover any appropriate amount of
funding after fully considering interest accrued or recommendations on disallowed costs
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identified during the final audit.
(D) The Commission reserves the right to conduct its own audit of the
Sponsor’s records to confirm compliance with grant requirements and to ensure that all
costs and fees are appropriate and acceptable.
(15) ASSURANCES/COMPLIANCE: The Sponsor shall adhere to the FAA
standard airport Sponsor assurances as outlined in attached Exhibit 1, current FAA
Advisory Circulars (ACs) for AIP projects and/or the Commission’s specifications. These
assurances, ACs and the Commission’s specifications are hereby incorporated into and
made part of this Agreement. The Sponsor shall review the assurances, ACs,
Commission’s specifications and current FAA Order 5190.6 entitled “FAA Airport
Compliance Manual”, and notify the Commission of any areas of non-compliance within
its existing facility and/or operations. All non-compliance situations must be addressed
and a plan to remedy areas of non-compliance must be established before final
acceptance of this project and before final payment is made to the Sponsor.
(16) LEASES/AGREEMENTS: The Sponsor shall ensure that its lease
agreements provide for fair market value income and prohibit exclusive rights.
(A) Long term commitments (longer than five (5) years) must provide for
renegotiation of the leases’/agreements’ terms and payments at least every five (5) years.
(B) Leases/agreements shall not contain provisions that adversely affect
the Sponsor’s possession and control of the airport or interfere with the Sponsor’s ability
to comply with the obligations and covenants set forth in this grant Agreement.
(17) NONDISCRIMINATION ASSURANCE: With regard to work under this
Agreement, the Sponsor agrees as follows:
(A) Civil Rights Statutes: The Sponsor shall comply with all state and
federal statutes relating to nondiscrimination, including but not limited to Title VI and Title
VII of the Civil Rights Act of 1964, as amended (42 USC 2000d and 2000e, et seq.), as
well as any applicable titles of the Americans with Disabilities Act. In addition, if the
Sponsor is providing services or operating programs on behalf of the Department or the
Commission, it shall comply with all applicable provisions of Title II of the Americans with
Disabilities Act.
(B) Administrative Rules: The Sponsor shall comply with the
administrative rules of the USDOT relative to nondiscrimination in federally-assisted
programs of the USDOT (49 CFR Subtitle A, Part 21) which are herein incorporated by
reference and made part of this Agreement.
(C) Nondiscrimination: The Sponsor shall not discriminate on grounds of
the race, color, religion, creed, sex, disability, national origin, age, or ancestry of any
individual in the selection and retention of subcontractors, including procurement of
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materials and leases of equipment. The Sponsor shall not participate either directly or
indirectly in the discrimination prohibited by 49 CFR Subtitle A, Part 21, Section 21.5,
including employment practices.
(D) Solicitations for Subcontracts, Including Procurements of Material
and Equipment: These assurances concerning nondiscrimination also apply to
subcontractors and suppliers of the Sponsor. These apply to all solicitations either by
competitive bidding or negotiation made by the Sponsor for work to be performed under
a subcontract, including procurement of materials or equipment. Each potential
subcontractor or supplier shall be notified by the Sponsor of the requirements of this
Agreement relative to nondiscrimination on grounds of the race, color, religion, creed,
sex, disability, national origin, age, or ancestry of any individual.
(E) Information and Reports: The Sponsor shall provide all information
and reports required by this Agreement, or orders and instructions issued pursuant
thereto, and will permit access to its books, records, accounts, other sources of
information and its facilities as may be determined by the Commission or the USDOT to
be necessary to ascertain compliance with other contracts, orders, and instructions.
Where any information required of the Sponsor is in the exclusive possession of another
who fails or refuses to furnish this information, the Sponsor shall so certify to the
Commission or the USDOT as appropriate and shall set forth what efforts it has made to
obtain the information.
(F) Sanctions for Noncompliance: In the event the Sponsor fails to
comply with the nondiscrimination provisions of this Agreement, the Commission shall
impose such contract sanctions as it or the USDOT may determine to be appropriate,
including but not limited to:
1. Withholding of payments under this Agreement until the
Sponsor complies; and/or
2. Cancellation, termination, or suspension of this Agreement, in
whole or in part, or both.
(G) Incorporation of Provisions: The Sponsor shall include the provisions
of paragraph (17) of this Agreement in every subcontract, including procurements of
materials and leases of equipment, unless exempted by the statutes, executive order,
administrative rules or instructions issued by the Commission or the USDOT. The
Sponsor will take such action with respect to any subcontract or procurement as the
Commission or the USDOT may direct as a means of enforcing such provisions, including
sanctions for noncompliance; provided that in the event the Sponsor becomes involved
or is threatened with litigation with a subcontractor or supplier as a result of such direction,
the Sponsor may request the United States to enter into such litigation to protect the
interests of the United States.
(18) CANCELLATION: The Commission may cancel this Agreement at any time
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the Sponsor breaches the contractual obligations by providing the Sponsor with written
notice of cancellation. Should the Commission exercise its right to cancel the Agreement
for such reasons, cancellation will become effective upon the date specified in the notice
of cancellation sent to the Sponsor.
(A) Upon written notice to the Sponsor, the Commission reserves the
right to suspend or terminate all or part of the grant when the Sponsor is, or has been, in
violation of the terms of this Agreement. Any lack of progress that significantly endangers
substantial performance of the project within the specified time shall be deemed a
violation of the terms of this Agreement. The determination of lack of progress shall be
solely within the discretion of the Commission. Once such determination is made, the
Commission shall so notify the Sponsor in writing. Termination of any part of the grant will
not invalidate obligations properly incurred by the Sponsor prior to the date of termination.
(B) The Commission shall have the right to suspend funding of the
project at any time and for so long as the Sponsor fails to substantially comply with all the
material terms and conditions of this Agreement. If the Commission determines that
substantial noncompliance cannot be cured within thirty (30) days, then the Commission
may terminate the funding for the project. If the Sponsor fails to perform its obligations in
substantial accordance with the Agreement (except if the project has been terminated for
the convenience of the parties) and the FAA requires the Commission to repay grant
funds that have already been expended by the Sponsor, then the Sponsor shall repay the
Commission such federal funds.
(19) VENUE: It is agreed by the parties that any action at law, suit in equity, or
other judicial proceeding to enforce or construe this Agreement, or regarding its alleged
breach, shall be instituted only in the Circuit Court of Cole County, Missouri.
(20) LAW OF MISSOURI TO GOVERN: This Agreement shall be construed
according to the laws of the State of Missouri. The Sponsor shall comply with all local,
state, and federal laws and regulations relating to the performance of this Agreement.
(21) WORK PRODUCT: All documents, reports, exhibits, etc. produced by the
Sponsor at the direction of the Commission shall remain the property of the Sponsor.
However, Sponsor shall provide to the Commission a copy of magnetic discs that contain
computer aided design and drafting (CADD) drawings and other documents generated
under this grant. Information supplied by the Commission shall remain the property of the
Commission. The Sponsor shall also supply to the Commission hard copies of any
working documents such as reports, plans, specifications, etc., as requested by the
Commission.
(22) CONFIDENTIALITY: The Sponsor shall not disclose to third parties
confidential factual matter provided by the Commission except as may be required by
statute, ordinance, or order of court, or as authorized by the Commission. The Sponsor
shall notify the Commission immediately of any request for such information.
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(23) NONSOLICITATION: The Sponsor warrants that it has not employed or
retained any company or person, other than a bona fide employee working for the
Sponsor, to solicit or secure this Agreement, and that it has not paid or agreed to pay any
company or person, other than a bona fide employee, any fee, commission, percentage,
brokerage fee, gift, or any other consideration, contingent upon or resulting from the
award or making of this Agreement. For breach or violation of this warranty, the
Commission shall have the right to annul this Agreement without liability, or in its
discretion, to deduct from this Agreement price or consideration, or otherwise recover,
the full amount of such fee, commission, percentage, brokerage fee, gift, or contingent
fee.
(24) DISPUTES: Any disputes that arise under this Agreement shall be decided
by the Commission or its representative.
(25) INDEMNIFICATION:
(A) To the extent allowed or imposed by law, the Sponsor shall defend,
indemnify and hold harmless the Commission, including its members and department
employees, from any claim or liability whether based on a claim for damages to real or
personal property or to a person for any matter relating to or arising out of the Sponsor’s
wrongful or negligent performance of its obligations under this Agreement.
(B) The Sponsor will require any contractor procured by the Sponsor to
work under this Agreement:
1. To obtain a no cost permit from the Commission’s district
engineer prior to working on the Commission’s right of way, which shall be signed by an
authorized contractor representative (a permit from the Commission’s district engineer
will not be required for work outside of the Commission’s right of way); and
2. To carry commercial general liability insurance and
commercial automobile liability insurance from a company authorized to issue insurance
in Missouri, and to name the Commission, and MoDOT and its employees, as additional
named insureds in amounts sufficient to cover the sovereign immunity limits for Missouri
public entities ($500,000 per claimant and $4,000,000 per occurrence) as calculated by
the Missouri Department of Insurance, Financial Institutions and Professional
Registration, and published annually in the Missouri Register pursuant to section 537.610
RSMo.
(C) In no event shall the language of this Agreement constitute or be
construed as a waiver or limitation for either party’s rights or defenses with regard to each
party’s applicable sovereign, governmental, or official immunities and protections as
provided by federal and state constitution or law.
(26) HOLD HARMLESS: The Sponsor shall hold the Commission harmless from
any and all claims for liens of labor, services or materials furnished to the Sponsor in
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connection with the performance of its obligations under this Agreement. Certification
statements from construction contractors must be provided to ensure all workers, material
suppliers, etc., have been paid.
(27) NOTIFICATION OF CHANGE: The Sponsor shall immediately notify the
Commission of any changes in conditions or law which may significantly affect its ability
to perform the project in accordance with the provisions of this Agreement. Any notice or
other communication required or permitted to be given hereunder shall be in writing and
shall be deemed given three (3) days after delivery by United States mail, regular mail
postage prepaid, or upon receipt by personal, facsimile or electronic mail (email) delivery,
addressed as follows:
Commission: Kyle LePage
Administrator of Aviation
Missouri Department of Transportation
P.O. Box 270
Jefferson City, MO 65102
(573) 526-5571
(573) 526-4709 FAX
email: kyle.lepage@modot.mo.gov
Sponsor: Nicole Beard
City Clerk
City of Memphis
125 W. Jefferson St.
Memphis, MO 63555
(660) 465-7285
email: cityclerk@cityofmemphismo.com
or to such other place as the parties may designate in accordance with this Agreement.
To be valid, facsimile or email delivery shall be followed by delivery of the original
document, or a clear and legible copy thereof, within three (3) business days of the date
of the facsimile or email transmission of the document.
(28) DURATION OF GRANT OBLIGATIONS: Grant obligations are effective for
the useful life of any facilities/equipment installed with grant funds, but in any event not to
exceed twenty (20) years. There shall be no limit on the duration of the assurance against
exclusive rights or terms, conditions and assurances with respect to real property
acquired with federal funds. Paragraph (28) equally applies to a private sponsor.
However, in the case of a private sponsor, the useful life for improvements shall not be
less than ten (10) years.
(A) The financial assistance provided hereunder constitutes a grant to
the Sponsor. Neither the Commission nor the FAA will have title to the improvements
covered by this Agreement, as title to same shall vest in the Sponsor.
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(B) For the grant duration period, the Sponsor becomes obligated, upon
any sale or disposition of the airport or discontinuation of operation of the airport to
immediately repay, in full, the grant proceeds or proportionate amount thereof based upon
the number of years remaining in the original obligation to the Commission. The
Commission and the Sponsor hereby agree that during said period, the property and
improvements which constitute the subject airport are subject to sale, if necessary, for the
recovery of the federal pro rata share of improvement costs should this Agreement be
terminated by a breach of contract on the part of the Sponsor or should the
aforementioned obligations not be met.
(C) In this Section, the term “any sale or disposition of the airport” shall
mean any sale or disposition of the airport: 1. for a use inconsistent with the purpose for
which the Commission’s share was originally granted pursuant to this Agreement; or 2.
for a use consistent with such purposes wherein the transferee in the sale or disposition
does not enter into an assignment and assumption Agreement with the Sponsor with
respect to the Sponsor’s obligation under the instrument so that the transferee becomes
obligated thereunder as if the transferee had been the original owner thereof.
(29) AMENDMENTS: Any change in this Agreement, whether by modification or
supplementation, must be accomplished by a formal contract amendment signed and
approved by the duly authorized representative of the Sponsor and the Commission.
(30) PROFESSIONAL SERVICES BY COMPETITIVE PROPOSALS: Contracts
for professional services are to be procured by competitive proposals per federal
procurement requirements (49 CFR §18.36). Requests for proposals/qualifications are to
be publicly announced for services expected to cost more than One Hundred Thousand
dollars ($100,000) in the aggregate. Small purchase procedures (telephone solicitations
or direct mail) may be used for services costing One Hundred Thousand Dollars
($100,000) or less. All professional services contracts are subject to review and
acceptance by the Commission prior to execution by the Sponsor to ensure funding
eligibility.
(31) ASSIGNMENT: The Sponsor shall not assign, transfer or delegate any
interest in this Agreement without the prior written consent of the Commission.
(32) BANKRUPTCY: Upon filing for any bankruptcy or insolvency proceeding by
or against the Sponsor, whether voluntarily, or upon the appointment of a receiver,
trustee, or assignee, for the benefit of creditors, the Commission reserves the right and
sole discretion to either cancel this Agreement or affirm this Agreement and hold the
Sponsor responsible for damages.
(33) COMMISSION REPRESENTATIVE: The Commission’s assistant chief
engineer is designated as the Commission’s representative for the purpose of
administering the provisions of this Agreement. The Commission’s representative may
designate by written notice other persons having the authority to act on behalf of the
– 13 –
Commission in furtherance of the performance of this Agreement.
(34) FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT
(FFATA) OF 2006: The Sponsor shall comply with all reporting requirements of the
FFATA of 2006, as amended. This Agreement is subject to the award terms within 2 CFR
Part 170.
(35) BAN ON TEXTING WHILE DRIVING: In accordance with Executive Order
13513, Federal Leadership on Reducing Text Messaging While Driving, October 1, 2009,
and DOT Order 3902.10, Text Messaging While Driving, December 30, 2009, the
Sponsor is encouraged to:
(A) Adopt and enforce workplace safety policies to decrease crashes
caused by distracted drivers including policies to ban text messaging while driving when
performing any work for, or on behalf of, the Federal government, including work relating
to a grant or subgrant.
(B) Conduct workplace safety initiatives in a manner commensurate with
the size of the business, such as:
1. Establishment of new rules and programs or re-evaluation of
existing programs to prohibit text messaging while driving; and
2. Education, awareness, and other outreach to employees
about the safety risks associated with texting while driving.
(36) TRAFFICKING IN PERSONS:
(A) The Commission may unilaterally terminate this Agreement, without
penalty, if the Sponsor or a subcontractor that is a private entity:
1. Is determined to have:
A. Engaged in severe forms of trafficking in persons
during the period of time that this Agreement and any subgrants entered into pursuant to
this Agreement are in effect;
B. Procured a commercial sex act during the period of
time that this Agreement, including any subgrants entered into pursuant to this
Agreement, are in effect; or
C. Used forced labor in the performance of this
Agreement, including any subgrants entered into pursuant to this Agreement; or
2. Has an employee who is determined by the Commission
official authorized to terminate the Agreement to have violated a prohibition in
– 14 –
subparagraph (36)(A)1.A. above through conduct that is either associated with
performance under this Agreement or imputed to the Sponsor or subcontractor using the
standards and due process for imputing the conduct of an individual to an organization
that are provided in 2 CFR Part 180, “OMB Guidelines to Agencies on Government wide
Debarment and Suspension (Nonprocurement),” as implemented by the FAA at 2 CFR
Part 1200.
(B) The Sponsor must notify the Commission immediately of any
information the Sponsor receives from any source alleging a violation of a prohibition in
subparagraph (36)(A)1. of this Agreement, including subgrants entered into pursuant to
this Agreement.
(C) The Commission’s right to terminate unilaterally that is described in
subparagraph (36)(A)1. of this Agreement:
1. Implements section 106(g) of the Trafficking Victims
Protection Act of 2000 (TVPA), as amended (22 USC 7104(g)); and
2. Is in addition to all other remedies for noncompliance that are
available to the Commission under this Agreement.
(D) The Sponsor shall include the requirements of subparagraph
(37)(A)1. of this Agreement in any subgrant entered into pursuant to this Agreement.
(37) SUSPENSION OR DEBARMENT: Sponsors entering into “covered
transactions”, as defined by 2 CFR §180.200, must:
(A) Verify the non-federal entity is eligible to participate in this Federal
program by:
1. Checking the excluded parties list system (EPLS) as
maintained within the System for Award Management (SAM) to determine if non-federal
entity is excluded or disqualified; or
2. Collecting a certification statement from the non-federal entity
attesting they are not excluded or disqualified from participating; or
3. Adding a clause or condition to covered transactions attesting
individual or firm are not excluded or disqualified from participating; and
(B) Require prime contractors to comply with 2 CFR §180.330 when
entering into lower-tier transactions (e.g., subcontracts).
(38) SYSTEM FOR AWARD MANAGEMENT REGISTRATION AND UNIQUE
ENTITY IDENTIFIER:
– 15 –
(A) Requirement for System for Award Management (SAM): Unless the
Sponsor is exempted from this requirement under 2 CFR 25.110, the Sponsor must
maintain the currency of its information in SAM until the Commission submits the final
financial report required under this grant, or receives the final payment, whichever is later.
This requires that the Commission review and update, and will require the Sponsor to
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. Additional
information about registration procedures may be found at the SAM website (currently at
http://www.sam.gov).
(B) Unique Entity Identifier (UEI) means a twelve (12) character alphanumeric
value used to identify a specific commercial, nonprofit or governmental entity. A
UEI may be obtained from SAM.gov at https://sam.gov/SAM/pages/public/index.jsf.
(39) FINANCIAL REPORTING AND PAYMENT REQUIREMENTS: The
Sponsor will comply with all federal financial reporting requirements and payment
requirements, including submittal of timely and accurate reports.
(40) EMPLOYEE PROTECTION FROM REPRISALS:
(A) Prohibition of Reprisals: In accordance with 41 USC §4712, an
employee of the Sponsor, contractor, or subcontractor may not be discharged, demoted,
or otherwise discriminated against as a reprisal for disclosing to a person or body
described in subparagraph (40)(B) information that the employee reasonably believes is
evidence of:
1. Gross mismanagement of a federal grant;
2. Gross waste of federal funds;
3. An abuse of authority relating to implementation or use of
federal funds;
4. A substantial and specific danger to public health or safety; or
5. A violation of law, rule, or regulation related to a federal grant.
(B) Persons and Bodies Covered: The persons and bodies to which a
disclosure by an employee is covered are as follows:
1. A member of Congress or a representative of a committee of
Congress;
2. An Inspector General;
3. The Government Accountability Office;
– 16 –
4. A federal office or employee responsible for oversight of a
grant program;
5. A court or grand jury;
6. A management office of the grantee or subgrantee; or
7. A federal or state regulatory enforcement agency.
(C) Submission of Complaint: A person who believes that they have
been subjected to a reprisal prohibited by subparagraph (40)(A) of this Agreement may
submit a complaint regarding the reprisal to the Office of Inspector General for the
USDOT.
(D) Time Limitation for Submittal of a Complaint: A complaint may not be
brought under this subsection more than three (3) years after the date on which the
alleged reprisal took place.
(E) Required Actions of the Inspector General: Actions, limitations, and
exceptions of the Inspector General’s office are established under 41 USC §4712(b).
(F) Assumption of Rights to Civil Remedy: Upon receipt of an
explanation of a decision not to conduct or continue an investigation by the Office of
Inspector General, the person submitting a complaint assumes the right to a civil remedy
under 41 USC §4712(c).
(41) AIRPORT LAYOUT PLAN: All improvements must be consistent with a
current and approved Airport Layout Plan (ALP). The Sponsor shall update and keep the
ALP drawings and corresponding narrative report current with regard to FAA standards
and physical or operational changes at the airport.
(A) ALP approval shall be governed by FAA Order 5100.38, entitled
“Airport Improvement Program Handbook.”
(B) If ALP updates are required as a result of this project, the Sponsor
understands and agrees to update the ALP to reflect the construction to standards
satisfactory to the Commission and submit it in final form to the Commission. It is further
mutually agreed that the reasonable cost of developing said ALP Map is an allowable
cost within the scope of this project. Airport Sponsor Grant Assurance 29 further
addresses the Sponsor’s statutory obligations to maintain an ALP in accordance with 49
USC §47107(a)(16).
(C) The Sponsor has made available to (or will make available to) and
has provided (or will provide) upon request to the metropolitan planning organization, if
any, in the area in which the Airport is located, a copy of the proposed ALP or ALP
– 17 –
amendment to depict the project and a copy of any airport master plan in which the project
is described or depicted.
(42) AIRPORT PROPERTY MAP: The Sponsor shall develop (or update), as a
part of the ALP, a drawing which indicates how various tracts/parcels of land within the
airport’s boundaries were acquired (i.e., federal funds, surplus property, local funds only,
etc.). Easement interests in areas outside the fee property line shall also be included. A
screened reproducible of the Airport Layout Drawing may be used as the base for the
property map.
(43) ENVIRONMENTAL IMPACT EVALUATION: The Sponsor shall evaluate
the potential environmental impact of this project per the current version of FAA Order
5050.4, entitled “National Environmental Policy Act Implementing Instructions for Airport
Actions.” Evaluation must include coordination with all resource agencies that have
jurisdiction over areas of potential environmental impact and a recommended finding such
as categorical exclusion, no significant impact, level of impact and proposed mitigation,
etc.
(44) EXHIBIT “A” PROPERTY MAP: The Exhibit “A” Property Map accepted by
the Commission on December 17, 2008, is incorporated herein by reference.
(45) SOLID WASTE RECYCLING PLAN: The Sponsor certifies that it has a solid
waste recycling plan as part of an existing Airport Master Plan, as prescribed by 49 USC
§47106(a)(6).
(46) RUNWAY PROTECTION ZONE: The Sponsor agrees to take the following
actions to maintain and/or acquire a property interest, satisfactory to the Commission and
the FAA, in the Runway Protection Zones:
(A) Existing Fee Title Interest in the Runway Protection Zone: The
Sponsor agrees to prevent the erection or creation of any structure, place of public
assembly or other use in the Runway Protection Zone, as depicted on the Exhibit “A”
Property Map and the approved ALP, except for NAVAIDS that are fixed by their
functional purposes or any other structure permitted by the Commission and the FAA.
The Sponsor further agrees that any existing structures or uses within the Runway
Protection Zone will be cleared or discontinued by the Sponsor unless approved by the
Commission and the FAA.
(B) Existing Easement Interest in the Runway Protection Zone: The
Sponsor agrees to take any and all steps necessary to ensure that the owner of the land
within the designated Runway Protection Zone will not build any structure in the Runway
Protection Zone that is an airport hazard or which might create glare or misleading lights
or lead to the construction of residences, fuel handling and storage facilities, smoke
generating activities, or places of public assembly, such as churches, schools, office
buildings, shopping centers, and stadiums.
(C) Future Interest in the Runway Protection Zone: The Sponsor agrees
– 18 –
that it will make every effort to acquire fee title or easement in the Runway Protection
Zones for runways that presently are not under its control within five (5) years of this grant
agreement. The Sponsor further agrees to prevent the erection or creation of any
structure or place of public assembly in the Runway Protection Zone, except for NAVAIDS
that are fixed by their functional purposes or any other structure approved by the
Commission and the FAA. The Sponsor further agrees that any existing structures or
uses within the Runway Protection Zone will be cleared or discontinued by the Sponsor
unless approved by the Commission and the FAA.
(47) ENGINEER’S DESIGN REPORT: Prior to development of the plans and
specifications, the Sponsor shall provide an engineer’s report setting forth the general
analysis and explanation of reasons for design choices. Said report shall include an
itemized cost estimate, design computations, reasons for selections and modifications,
comparison of alternatives, life cycle cost analysis, geotechnical report and any other
elements that support the engineer’s final plans and specifications.
(48) SPECIAL CONDITIONS: The following special conditions are hereby made
part of this Agreement:
(A) Buy American Requirements: Unless otherwise approved in advance
by the Commission and the FAA, the Sponsor will not acquire or permit any contractor or
subcontractor to acquire any steel or manufactured goods produced outside the United
States to be used for any project for which funds are provided under this Agreement. The
Sponsor will include a provision implementing Buy American in every subgrant funded by
this Agreement. The Sponsor agrees to abide by applicable Executive Orders in effect at
the time this Agreement is executed, including Executive Order 14005, Ensuring the
Future Is Made in All of America by All of America’s Workers.
(B) Safety Inspection: The Sponsor shall eliminate all deficiencies
identified in its most recent annual safety inspection report (FAA Airport Master Record
Form 5010-1). If immediate elimination is not feasible, as determined by the Commission,
the Sponsor shall provide a satisfactory plan to eliminate the deficiencies and shall
include this plan with phased development as outlined in a current and approved ALP.
(C) Grant Made on Preliminary Plans and Specifications and/or
Estimates: The Sponsor understands and agrees that this grant is made and accepted
upon the basis of preliminary plans, specifications and/or estimates. The parties agree
that within 120 calendar days from the date of acceptance of this grant, the Sponsor
shall furnish final plans and specifications to the Commission. Construction work shall not
commence, and a contract shall not be awarded for the accomplishment of such work,
until the final plans and specifications have been accepted by the Commission. Any
reference made in this grant to plans and specifications shall be considered a reference
to the final plans and specifications as accepted.
– 19 –
Since this grant is made on preliminary plans and specifications and/or estimates,
the grant amount is subject to revision (increase or decrease) after actual project costs
are determined through negotiations, appraisals and/or bids. The Sponsor agrees that
said revision will be at the sole discretion of the Commission.
(D) Disadvantaged Business Enterprise Required Statements:
1. Policy: It is the policy of the USDOT that DBEs, as defined in
49 CFR Part 26, shall have the maximum opportunity to participate in the performance of
contracts financed in whole or in part with Federal funds under this Agreement.
Consequently, the DBE requirements of 49 CFR Part 26 apply to this Agreement.
2. Contract Assurance: The Commission and the Sponsor will
ensure that the following clause is placed in every USDOT-assisted contract and
subcontract:
“The contractor or subcontractor shall not discriminate on the basis of race,
color, national origin, or sex in the performance of this contract. The
contractor shall carry out the applicable requirements of Title 49 Code of
Federal Regulations, Part 26 in the award and administration of any United
States Department of Transportation-assisted contracts. Failure by the
contractor to carry out these requirements is a material breach of this
contract, which may result in the termination of this contract or such other
remedy as the recipient deems appropriate.”
(This assurance shall be included in each subcontract the prime contractor
signs with a subcontractor.)
3. Federal Financial Assistance Agreement Assurance: The
Commission and the Sponsor agree to and incorporate the following assurance into their
day-to-day operations and into the administration of all USDOT-assisted contracts; where
“recipient” means MoDOT and/or any MoDOT grantee receiving USDOT assistance:
“MoDOT and the Sponsor shall not discriminate on the basis of race, color,
national origin, or sex in the award and performance of any United States
Department of Transportation-assisted contract or in the administration of
the United States Department of Transportation’s DBE Program or the
requirements of Title 49 Code of Federal Regulations, Part 26. The recipient
shall take all necessary and reasonable steps under Title 49 Code of
Federal Regulations, Part 26 to ensure nondiscrimination in the award and
administration of United States Department of Transportation-assisted
contracts. The recipient’s DBE Program, as required by Title 49 Code of
Federal Regulations, Part 26 and as approved by the United States
Department of Transportation, is incorporated by reference into this
agreement. Implementation of this program is a legal obligation and for
failure to carry out its approved program, the United States Department of
– 20 –
Transportation may impose sanctions as provided for under Part 26 and
may, in appropriate cases, refer the matter for enforcement under Title 18
United States Code, Section 1001 and/or the Program Fraud Civil
Remedies Act of 1986 (Title 31 United States Code, Section 3801 et seq.).”
The Commission and the Sponsor shall ensure that all recipients of
USDOT-assisted contracts, funds, or grants incorporate, agree to, and comply with the
assurance statement.
4. Prompt Payment: The Commission and the Sponsor shall
require all contractors to pay all subcontractors and suppliers for satisfactory performance
of services in compliance with section 34.057 RSMo, Missouri’s prompt payment statute.
Pursuant to section 34.057 RSMo, the Commission and the Sponsor also require the
prompt return of all retainage held on all subcontractors after the subcontractors’ work is
satisfactorily completed, as determined by the Sponsor and the Commission.
All contractors and subcontractors must retain records of all payments
made or received for three (3) years from the date of final payment, and these records
must be available for inspection upon request by any authorized representative of the
Commission, the Sponsor, or the USDOT. The Commission and the Sponsor will maintain
records of actual payments to DBE firms for work committed to at the time of the contract
award.
The Commission and the Sponsor will perform audits of contract payments
to DBE firms. The audits will review payments to subcontractors to ensure that the actual
amount paid to DBE subcontractors equals or exceeds the dollar amounts stated in the
schedule of DBE participation and that payment was made in compliance with section
34.057 RSMo.
5. MoDOT DBE Program Regulations: The Sponsor, contractor
and each subcontractor are bound by MoDOT’s DBE Program regulations, located at Title
7 Code of State Regulations, Division 10, Chapter 8.
(E) Disadvantaged Business Enterprises—Professional Services: DBEs
that provide professional services, such as architectural, engineering, surveying, real
estate appraisals, accounting, legal, etc., will be afforded full and affirmative opportunity
to submit qualification statements/proposals and will not be discriminated against on the
grounds of race, color, sex, or national origin in consideration for selection for this project.
The DBE goals for professional services will be determined by the Commission at the
time each proposed service contract is submitted for the Commission’s approval.
(F) Consultant Contract and Cost Analysis: The Sponsor understands
and agrees that no reimbursement will be made on the consultant contract portion of this
Agreement until the Commission has received the consultant contract, the Sponsor’s
analysis of costs, and the independent fee estimate.
– 21 –
(G) Design Grant: This grant agreement is being issued in order to
complete the design of the project. The Sponsor understands and agrees that within two
years after design is completed that the Sponsor will accept, subject to the availability of
the amount of federal funding identified in the Airport Capital Improvement Plan, a grant
to complete the construction of the project in order to provide a useful and useable unit
of work. The Sponsor also understands that if the Commission has provided federal
funding to complete design for the project, and the Sponsor has not completed the design
within four years from the execution of this grant agreement, the Commission may
suspend or terminate grants related to the design.
[Remainder of Page Intentionally Left Blank]
– 22 –
IN WITNESS WHEREOF, the parties have entered into and accepted this
Agreement on the last date written below.
Executed by (date).
Executed by MHTC (date).
MISSOURI HIGHWAYS AND
TRANSPORTATION COMMISSION CITY OF MEMPHIS
By By
Title Title
Attest: Attest:
By
Secretary to the Commission
Title
Approved as to Form:
Ordinance No.
Commission Counsel (if applicable)
– 23 –
CERTIFICATE OF SPONSOR’S ATTORNEY
I, , acting as attorney for the Sponsor, do
hereby certify that in my opinion, the Sponsor is empowered to enter into the foregoing
grant Agreement under the laws of the State of Missouri. Further, I have examined the
foregoing grant Agreement, and the actions taken by said Sponsor and Sponsor’s official
representative have been duly authorized and the execution thereof is in all respects due
and proper and in accordance with the laws of the said state and the Airport and Airway
Improvement Act of 1982, as amended. In addition, for grants involving projects to be
carried out on property not owned by the Sponsor, there are no legal impediments that
will prevent full performance by the Sponsor. Further, it is my opinion that the said grant
constitutes a legal and binding obligation of the Sponsor in accordance with the terms
thereof.
SPONSOR: CITY OF MEMPHIS
Name of Sponsor’s Attorney (typed)
Signature of Sponsor’s Attorney
Date
– 24 –
EXHIBIT 1
ASSURANCES
AIRPORT SPONSORS
A. General.
a. 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.
b. 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.
c. Upon acceptance of this grant offer by the sponsor, these assurances are incorporated in and
become part of this grant agreement.
B. Duration and Applicability.
a. Airport development or Noise Compatibility Program Projects Undertaken by a Public Agency
Sponsor.
The terms, conditions and assurances of this grant agreement shall remain in full force and
effect throughout the useful life of the facilities developed or equipment acquired for an
airport development or noise compatibility program project, or throughout the useful life of
the project items installed within a facility under a noise compatibility program project, but in
any event not to exceed twenty (20) years from the date of acceptance of a grant offer of
Federal funds for the project. However, there shall be no limit on the duration of the
assurances regarding Exclusive Rights and Airport Revenue so long as the airport is used as an
airport. There shall be no limit on the duration of the terms, conditions, and assurances with
respect to real property acquired with federal funds. Furthermore, the duration of the Civil
Rights assurance shall be specified in the assurances.
b. Airport Development or Noise Compatibility Projects Undertaken by a Private Sponsor.
The preceding paragraph 1 also applies to a private sponsor except that the useful life of
project items installed within a facility or the useful life of the facilities developed or equipment
acquired under an airport development or noise compatibility program project shall be no less
than ten (10) years from the date of acceptance of Federal aid for the project.
c. Airport Planning Undertaken by a Sponsor.
Unless otherwise specified in this grant agreement, only Assurances 1, 2, 3, 5, 6, 13, 18, 25, 30,
32, 33, and 34 in Section C apply to planning projects. The terms, conditions, and assurances of
this grant agreement shall remain in full force and effect during the life of the project; there
shall be no limit on the duration of the assurances regarding Exclusive Rights and Airport
Revenue so long as the airport is used as an airport.
C. Sponsor Certification.
The sponsor hereby assures and certifies, with respect to this grant that:
– 25 –
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
c. Federal Fair Labor Standards Act – 29 U.S.C. 201, et seq.
d. Hatch Act – 5 U.S.C. 1501, et seq.2
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. Archeological 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, 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.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. Title VI of the Civil Rights Act of 1964 (42 U.S.C. § 2000d et seq., 78 stat. 252) (prohibits
discrimination on the basis of race, color, national origin);
o. Americans with Disabilities Act of 1990, as amended, (42 U.S.C. § 12101 et seq.), prohibits
discrimination on the basis of disability).
p. Age Discrimination Act of 1975 – 42 U.S.C. 6101, et seq.
q. American Indian Religious Freedom Act, P.L. 95-341, as amended.
r. Architectural Barriers Act of 1968 -42 U.S.C. 4151, et seq.1
s. Power plant and Industrial Fuel Use Act of 1978 – Section 403- 2 U.S.C. 8373.1
t. Contract Work Hours and Safety Standards Act – 40 U.S.C. 327, et seq.1
u. Copeland Anti-kickback Act – 18 U.S.C. 874.1
v. National Environmental Policy Act of 1969 – 42 U.S.C. 4321, et seq.1
w. Wild and Scenic Rivers Act, P.L. 90-542, as amended.
x. Single Audit Act of 1984 – 31 U.S.C. 7501, et seq.2
y. Drug-Free Workplace Act of 1988 – 41 U.S.C. 702 through 706.
z. The Federal Funding Accountability and Transparency Act of 2006, as amended (Pub. L. 109-282,
as amended by section 6202 of Pub. L. 110-252).
– 26 –
EXECUTIVE ORDERS
a. Executive Order 11246 – Equal Employment Opportunity1
b. Executive Order 11990 – Protection of Wetlands
c. Executive Order 11998 – Flood Plain Management
d. Executive Order 12372 – Intergovernmental Review of Federal Programs
e. Executive Order 12699 – Seismic Safety of Federal and Federally Assisted New Building
Construction1
f. Executive Order 12898 – Environmental Justice
FEDERAL REGULATIONS
a. 2 CFR Part 180 – OMB Guidelines to Agencies on Government-wide Debarment and Suspension
(Non-procurement).
b. 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements
for Federal Awards. [OMB Circular A-87 Cost Principles Applicable to Grants and Contracts with
State and Local Governments, and OMB Circular A-133 – Audits of States, Local Governments,
and Non-Profit Organizations].4, 5, 6
c. 2 CFR Part 1200 – Non-procurement Suspension and Debarment.
d. 14 CFR Part 13 – Investigative and Enforcement Procedures
e. 14 CFR Part 16 – Rules of Practice For Federally Assisted Airport Enforcement Proceedings.
f. 14 CFR Part 150 – Airport noise compatibility planning.
g. 28 CFR Part 35 – Discrimination on the Basis of Disability in State and Local Government
Services.
h. 28 CFR § 50.3 – U.S. Department of Justice Guidelines for Enforcement of Title VI of the Civil
Rights Act of 1964.
i. 29 CFR Part 1 – Procedures for predetermination of wage rates.1
j. 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
k. 29 CFR Part 5 – Labor standards provisions applicable to contracts covering federally financed
and assisted construction (also labor standards provisions applicable to non-construction
contracts subject to the Contract Work Hours and Safety Standards Act).1
l. 41 CFR Part 60 – Office of Federal Contract Compliance Programs, Equal Employment
Opportunity, Department of Labor (Federal and federally assisted contracting requirements).1
m. 49 CFR Part 18 – Uniform administrative requirements for grants and cooperative agreements to
state and local governments.3
n. 49 CFR Part 20 – New restrictions on lobbying.
o. 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.
p. 49 CFR Part 23 – Participation by Disadvantage Business Enterprise in Airport Concessions.
– 27 –
q. 49 CFR Part 24 – Uniform Relocation Assistance and Real Property Acquisition for Federal and
Federally Assisted Programs.1 2
r. 49 CFR Part 26 – Participation by Disadvantaged Business Enterprises in Department of
Transportation Programs.
s. 49 CFR Part 27 – Nondiscrimination on the Basis of Handicap in Programs and Activities
Receiving or Benefiting from Federal Financial Assistance.1
t. 49 CFR Part 28 – Enforcement of Nondiscrimination on the Basis of Handicap in Programs or
Activities conducted by the Department of Transportation.
u. 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.
v. 49 CFR Part 32 – Government-wide Requirements for Drug-Free Workplace (Financial
Assistance).
w. 49 CFR Part 37 – Transportation Services for Individuals with Disabilities (ADA).
x. 49 CFR Part 41 – Seismic safety of Federal and federally assisted or regulated new building
construction.
SPECIFIC ASSURANCES
Specific assurances required to be included in grant agreements by any of the above laws, regulations or
circulars are incorporated by reference in this grant agreement.
FOOTNOTES TO ASSURANCE C.1.
1 These laws do not apply to airport planning sponsors.
2 These laws do not apply to private sponsors.
3 49 CFR Part 18 and 2 CFR Part 200 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.
4 On December 26, 2013 at 78 FR 78590, the Office of Management and Budget (OMB) issued the
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards in 2 CFR Part 200. 2 CFR Part 200 replaces and combines the former Uniform
Administrative Requirements for Grants (OMB Circular A-102 and Circular A-110 or 2 CFR Part
215 or Circular) as well as the Cost Principles (Circulars A-21 or 2 CFR part 220; Circular A-87 or 2
CFR part 225; and A-122, 2 CFR part 230). Additionally it replaces Circular A-133 guidance on the
Single Annual Audit. In accordance with 2 CFR section 200.110, the standards set forth in Part
200 which affect administration of Federal awards issued by Federal agencies become effective
once implemented by Federal agencies or when any future amendment to this Part becomes
final. Federal agencies, including the Department of Transportation, must implement the
policies and procedures applicable to Federal awards by promulgating a regulation to be
effective by December 26, 2014 unless different provisions are required by statute or approved
by OMB.
5 Cost principles established in 2 CFR part 200 subpart E must be used as guidelines for
determining the eligibility of specific types of expenses.
6 Audit requirements established in 2 CFR part 200 subpart F are the guidelines for audits.
2. Responsibility and Authority of the Sponsor.
a. Public Agency Sponsor:
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It has legal authority to apply for this 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.
b. Private Sponsor:
It has legal authority to apply for this 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 this grant agreement which it will own or control.
4. Good Title.
a. It, a public agency or the Federal government, 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 this 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. Subject to the FAA Act of 2018, Public Law 115-254, Section 163, 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 this 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 this 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
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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 Title 49, United States Code, the regulations and the terms, conditions and
assurances in this grant agreement and shall insure that such arrangement also requires
compliance therewith.
g. Sponsors of commercial service airports will not permit or enter into any arrangement that
results in permission for the owner or tenant of a property used as a residence, or zoned for
residential use, to taxi an aircraft between that property and any location on airport. Sponsors
of general aviation airports entering into any arrangement that results in permission for the
owner of residential real property adjacent to or near the airport must comply with the
requirements of Sec. 136 of Public Law 112-95 and the sponsor assurances.
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.
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.
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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. Metropolitan Planning Organization.
In projects involving the location of an airport, an airport runway, or a major runway extension at a
medium or large hub airport, the sponsor has made available to and has provided upon request to
the metropolitan planning organization in the area in which the airport is located, if any, a copy of
the proposed amendment to the airport layout plan to depict the project and a copy of any airport
master plan in which the project is described or depicted.
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 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 Record Keeping Requirements.
a. It shall keep all project accounts and records which fully disclose the amount and disposition by
the recipient of the proceeds of this grant, the total cost of the project in connection with
which this 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 this 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 this 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 this 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
– 31 –
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 this 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 Vietnam era
veterans, Persian Gulf veterans, Afghanistan-Iraq war veterans, disabled veterans, and small
business concerns owned and controlled by 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 this 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.
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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 conditions. Any proposal
to temporarily close the airport for non-aeronautical 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 airport hazards.
21. Compatible Land Use.
It will take appropriate action, to the extent reasonable, including the adoption of zoning laws, 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, 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.
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22. Economic Nondiscrimination.
a. It will make the airport available as an airport for public use on reasonable terms and without
unjust discrimination to all types, kinds and classes of aeronautical activities, including
commercial aeronautical activities offering 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 unjustly 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
other 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, non-tenant, 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 non-tenants and signatory carriers and non-signatory 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 involved 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.
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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,
sale of aircraft parts, and any other activities 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.
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.
The following exceptions apply to this paragraph:
1. 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.
2. If the Secretary approves the sale of a privately owned airport to a public sponsor and
provides funding for any portion of the public sponsor’s acquisition of land, this limitation
on the use of all revenues generated by the sale shall not apply to certain proceeds from
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the sale. This is conditioned on repayment to the Secretary by the private owner of an
amount equal to the remaining unamortized portion (amortized over a 20-year period) of
any airport improvement grant made to the private owner for any purpose other than land
acquisition on or after October 1, 1996, plus an amount equal to the federal share of the
current fair market value of any land acquired with an airport improvement grant made to
that airport on or after October 1, 1996.
3. Certain revenue derived from or generated by mineral extraction, production, lease, or
other means at a general aviation airport (as defined at Section 47102 of title 49 United
States Code), if the FAA determines the airport sponsor meets the requirements set forth
in Sec. 813 of Public Law 112-95.
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 this 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:
1. all amounts paid by the airport to any other unit of government and the purposes for
which each such payment was made; and
2. 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
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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. Subject to the FAA Reauthorization Act of 2018, Public Law 115-254, Section 163, 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;
3. the location of all existing and proposed non-aviation areas and of all existing
improvements thereon; and
4. all proposed and existing access points used to taxi aircraft across the airport’s property
boundary. 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. Subject to the FAA Reauthorization Act of 2018, Public Law 115-254, Section 163, if a change or
alteration in the airport or the facilities is made which 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
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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 except in the case of a
relocation or replacement of an existing airport facility due to a change in the Secretary’s
design standards beyond the control of the airport sponsor.
30. Civil Rights.
It will promptly take any measures necessary to ensure that no person in the United States shall, on
the grounds of race, creed, color, national origin, sex, age, or disability be excluded from
participation in, be denied the benefits of, or be otherwise subjected to discrimination in any
activity conducted with, or benefiting from, funds received from this grant.
a. Using the definitions of activity, facility and program as found and defined in §§ 21.23 (b) and
21.23 (e) of 49 CFR § 21, the sponsor will facilitate all programs, operate all facilities, or conduct
all programs in compliance with all non-discrimination requirements imposed by, or pursuant
to these assurances.
b. Applicability
1. Programs and Activities. If the sponsor has received a grant (or other federal assistance)
for any of the sponsor’s program or activities, these requirements extend to all of the
sponsor’s programs and activities.
2. Facilities. Where it receives a grant or other federal financial assistance to construct,
expand, renovate, remodel, alter or acquire a facility, or part of a facility, the assurance
extends to the entire facility and facilities operated in connection therewith.
3. Real Property. Where the sponsor receives a grant or other Federal financial assistance in
the form of, or for the acquisition of real property or an interest in real property, the
assurance will extend to rights to space on, over, or under such property.
c. Duration.
The sponsor agrees that it is obligated to this assurance for the period during which Federal
financial assistance is extended to the program, except where the 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 of the following periods:
1. So long as the airport is used as an airport, or for another purpose involving the provision
of similar services or benefits; or
2. So long as the sponsor retains ownership or possession of the property.
d. Required Solicitation Language. It will include the following notification in all solicitations for
bids, Requests For Proposals for work, or material under this grant agreement and in all
proposals for agreements, including airport concessions, regardless of funding source:
“The (Name of Sponsor), in accordance with the provisions of Title VI of the Civil Rights Act of
1964 (78 Stat. 252, 42 U.S.C. §§ 2000d to 2000d-4) and the Regulations, hereby notifies all
bidders that it will affirmatively ensure that any contract entered into pursuant to this
advertisement, disadvantaged business enterprises and airport concession disadvantaged
– 38 –
business enterprises will be afforded full and fair opportunity to submit bids in response to this
invitation and will not be discriminated against on the grounds of race, color, or national origin
in consideration for an award.”
e. Required Contract Provisions.
1. It will insert the non-discrimination contract clauses requiring compliance with the acts and
regulations relative to non-discrimination in Federally-assisted programs of the DOT, and
incorporating the acts and regulations into the contracts by reference in every contract or
agreement subject to the non-discrimination in Federally-assisted programs of the DOT
acts and regulations.
2. It will include a list of the pertinent non-discrimination authorities in every contract that is
subject to the non-discrimination acts and regulations.
3. It will insert non-discrimination contract clauses as a covenant running with the land, in
any deed from the United States effecting or recording a transfer of real property,
structures, use, or improvements thereon or interest therein to a sponsor.
4. It will insert non-discrimination contract clauses prohibiting discrimination on the basis of
race, color, national origin, creed, sex, age, or handicap as a covenant running with the
land, in any future deeds, leases, license, permits, or similar instruments entered into by
the sponsor with other parties:
a. For the subsequent transfer of real property acquired or improved under the
applicable activity, project, or program; and
b. For the construction or use of, or access to, space on, over, or under real property
acquired or improved under the applicable activity, project, or program.
f. It will provide for such methods of administration for the program as are found by the
Secretary to give reasonable guarantee that it, other recipients, sub-recipients, sub-grantees,
contractors, subcontractors, consultants, transferees, successors in interest, and other
participants of Federal financial assistance under such program will comply with all
requirements imposed or pursuant to the acts, the regulations, and this assurance.
g. It agrees that the United States has a right to seek judicial enforcement with regard to any
matter arising under the acts, the regulations, and this assurance.
31. Disposal of Land.
a. For land purchased under a grant for airport noise compatibility purposes, including land
serving as a noise buffer, 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 be, at the discretion of the Secretary, (1) reinvested in another project at the airport, or (2)
transferred to another eligible airport as prescribed by the Secretary. The Secretary shall give
preference to the following, in descending order, (1)reinvestment in an approved noise
compatibility project, (2) reinvestment in an approved project that is eligible for grant funding
under Section 47117(e) of title 49 United States Code, (3) reinvestment in an approved airport
development project that is eligible for grant funding under Sections 47114, 47115, or 47117 of
title 49 United States Code, (4) transferred to an eligible sponsor of another public airport to be
reinvested in an approved noise compatibility project at that airport, and (5) paid to the
Secretary for deposit in the Airport and Airway Trust Fund. If land acquired under a grant for
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noise compatibility purposes is leased at fair market value and consistent with noise buffering
purposes, the lease will not be considered a disposal of the land. Revenues derived from such a
lease may be used for an approved airport development project that would otherwise be
eligible for grant funding or any permitted use of airport revenue.
b. 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, (1) upon application to the Secretary, be reinvested or transferred to another
eligible airport as prescribed by the Secretary. The Secretary shall give preference to the
following, in descending order: (1) reinvestment in an approved noise compatibility project, (2)
reinvestment in an approved project that is eligible for grant funding under Section 47117(e) of
title 49 United States Code, (3) reinvestment in an approved airport development project that
is eligible for grant funding under Sections 47114, 47115, or 47117 of title 49 United States
Code, (4) transferred to an eligible sponsor of another public airport to be reinvested in an
approved noise compatibility project at that airport, and (5) paid to the Secretary for deposit in
the Airport and Airway Trust Fund.
c. Land shall be considered to be needed for airport purposes under this assurance if (1) it may be
needed for aeronautical purposes (including runway protection zones) or serve as noise buffer
land, and (2) the revenue from interim uses of such land contributes to the financial selfsufficiency
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.
d. Disposition of such land under (a) (b) or (c) 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.
Engineering and Design Services. If any phase of such project has received Federal funds under
Chapter 471 subchapter 1 of Title 49 U.S.C., 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 in the same
manner as a contract for architectural and engineering services is negotiated under Chapter 11 of
Title 40 U. S. C., 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.
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34. Policies, Standards, and Specifications.
It will carry out any project funded under an Airport Improvement Program Grant in accordance
with policies, standards, and specifications approved by the Secretary including, but not limited to,
current FAA Advisory Circulars for AIP projects as of [Application Date].
35. Relocation and Real Property Acquisition.
a. 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.
b. 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.
c. 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.
37. Disadvantaged Business Enterprises.
The sponsor shall not discriminate on the basis of race, color, national origin or sex in the award and
performance of any DOT-assisted contract covered by 49 CFR Part 26, or in the award and
performance of any concession activity contract covered by 49 CFR Part 23. In addition, the sponsor
shall not discriminate on the basis of race, color, national origin or sex in the administration of its
Disadvantaged Business Enterprise (DBE) and Airport Concessions Disadvantaged Business
Enterprise (ACDBE) programs or the requirements of 49 CFR Parts 23 and 26. The sponsor shall take
all necessary and reasonable steps under 49 CFR Parts 23 and 26 to ensure nondiscrimination in the
award and administration of DOT-assisted contracts, and/or concession contracts. The sponsor’s
DBE and ACDBE programs, as required by 49 CFR Parts 26 and 23, and as approved by DOT, are
incorporated by reference in this agreement. Implementation of these programs is a legal obligation
and failure to carry out its terms shall be treated as a violation of this agreement. Upon notification
to the sponsor of its failure to carry out its approved program, the Department may impose
sanctions as provided for under Parts 26 and 23 and may, in appropriate cases, refer the matter for
enforcement under 18 U.S.C. 1001 and/or the Program Fraud Civil Remedies Act of 1936 (31 U.S.C.
3801).
38. Hangar Construction.
If the airport owner or operator and a person who owns an aircraft agree that a hangar is to be
constructed at the airport for the aircraft at the aircraft owner’s expense, the airport owner or
operator will grant to the aircraft owner for the hangar a long term lease that is subject to such
terms and conditions on the hangar as the airport owner or operator may impose.
39. Competitive Access.
a. If the airport owner or operator of a medium or large hub airport (as defined in section 47102
of title 49, U.S.C.) has been unable to accommodate one or more requests by an air carrier for
access to gates or other facilities at that airport in order to allow the air carrier to provide
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service to the airport or to expand service at the airport, the airport owner or operator shall
transmit a report to the Secretary that-
1. Describes the requests;
2. Provides an explanation as to why the requests could not be accommodated; and
3. Provides a time frame within which, if any, the airport will be able to accommodate the
requests.
b. Such report shall be due on either February 1 or August 1 of each year if the airport has been
unable to accommodate the request(s) in the six month period prior to the applicable due date
Britta burrus design.
