Federal Aviation Administration, DOT

Section 151.131

necessary and reasonable planning and
engineering services.
(b) The allowable advance planning
costs consist of planning and engineering expenses necessarily incurred in effecting the advance planning proposal.
Allowable cost items include - 
(1) Location surveys, such as preliminary topographic and soil exploration;
(2) Site evaluation;
(3) Preliminary engineering, such as
stage construction outlines, cost estimates, and cost/benefit evaluation reports;
(4) Contract drawings and specifications;
(5) Testing; and
(6) Incidental costs incurred to accomplish the proposal, that would not
have been incurred otherwise.
(c) To qualify as allowable, the advance planning costs paid or incurred
by the sponsor must be - 
(1) Reasonably necessary and directly
related to the planning or engineering
included in the proposal as approved by
FAA;
(2) Reasonable in amount; and
(3) Verified by sufficient evidence.
Section 151.127 Accounting and audit.
The requirements of Section 151.55 relating
to accounting and audit of project
costs are also applicable to advance
planning proposal costs. However, the
requirement of segregating and grouping costs applies only to Section 151.55(a) (5)
and (7) classifications.
Section 151.129 Payments.
(a) The United States- share of advance planning costs is paid in two installments unless the advance planning
grant agreement provides otherwise.
Upon request by sponsor, the first payment may be made in an amount not
more than 50 percent of the maximum
obligation of the United States stipulated in the advance planning grant
agreement upon certification by sponsor that 50 percent or more of the proposed work has been completed. The
final payment is made upon the sponsor-s request after - 
(1) The conditions of the advance
planning grant agreement have been
met;
(2) Evidence of cost of each item has
been submitted; and

(3) Audit of submitted evidence or
audit of sponsor-s records, if considered
desirable by FAA, has been made.
(b) When the advance planning proposal relates to the selection of an airport site, the advance planning grant
agreement provides that Federal funds
are paid to the sponsor only after the
site is selected and the Administrator
is satisfied that the site selected for
the airport is reasonably consistent
with existing plans of public agencies
for development of the area in which
the site is located, and will contribute
to the accomplishment of the purposes
of the Federal-aid Airport Program.
Section 151.131 Forms.
The forms used for the purpose of obtaining an advance planning and engineering grant are as follows:
(a) Advance planning proposal, FAA
Form 3731 - (1) Part I. This part of the
form contains a request for the grant
of Federal funds under the Federal Airport Act for the purpose of aiding in financing a proposal for the development
of an airport layout plan or plans, or
both, designed to lead to a project application, with spaces provided for inserting information needed for considering the request, including the location of the airport, a description of the
plan or plans to be developed, and the
estimate of planning and engineering
costs.
(2) Part II. This part of the form includes the sponsor-s representation
that it will comply with the provisions
of part 15 of the Federal Aviation Regulations (14 CFR part 15), and representations concerning its legal authority
to undertake the proposal, the availability of funds for its share of the proposal costs, its intention to initiate
construction of a safe, useful and usable airport facility shown on an airport
layout plan developed under the proposal, or initiate the construction of
the item or items of airport development shown on the plans developed
under the proposal and designed to lead
to a project application, or both, within three years after the date of acceptance of the offer. It also includes the
sponsor-s representation as to the
method of financing the intended construction, approval of other agencies,
defaults, possible disabilities, and a

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