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14 CFR Ch. I (1–1–24 Edition) 

§ 151.127 

necessary and reasonable planning and 
engineering services. 

(b) The allowable advance planning 

costs consist of planning and engineer-
ing expenses necessarily incurred in ef-
fecting the advance planning proposal. 
Allowable cost items include— 

(1) Location surveys, such as prelimi-

nary topographic and soil exploration; 

(2) Site evaluation; 
(3) Preliminary engineering, such as 

stage construction outlines, cost esti-
mates, and cost/benefit evaluation re-
ports; 

(4) Contract drawings and specifica-

tions; 

(5) Testing; and 
(6) Incidental costs incurred to ac-

complish the proposal, that would not 
have been incurred otherwise. 

(c) To qualify as allowable, the ad-

vance 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. 

§ 151.127 Accounting and audit. 

The requirements of § 151.55 relating 

to accounting and audit of project 
costs are also applicable to advance 
planning proposal costs. However, the 
requirement of segregating and group-
ing costs applies only to § 151.55(a) (5) 
and (7) classifications. 

§ 151.129 Payments. 

(a) The United States’ share of ad-

vance planning costs is paid in two in-
stallments unless the advance planning 
grant agreement provides otherwise. 
Upon request by sponsor, the first pay-
ment may be made in an amount not 
more than 50 percent of the maximum 
obligation of the United States stipu-
lated in the advance planning grant 
agreement upon certification by spon-
sor that 50 percent or more of the pro-
posed work has been completed. The 
final payment is made upon the spon-
sor’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 pro-

posal relates to the selection of an air-
port 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. 

§ 151.131 Forms. 

The forms used for the purpose of ob-

taining an advance planning and engi-
neering 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 Air-
port Act for the purpose of aiding in fi-
nancing a proposal for the development 
of an airport layout plan or plans, or 
both, designed to lead to a project ap-
plication, with spaces provided for in-
serting information needed for consid-
ering the request, including the loca-
tion 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 in-

cludes the sponsor’s representation 
that it will comply with the provisions 
of part 15 of the Federal Aviation Reg-
ulations (14 CFR part 15), and represen-
tations concerning its legal authority 
to undertake the proposal, the avail-
ability of funds for its share of the pro-
posal costs, its intention to initiate 
construction of a safe, useful and usa-
ble airport facility shown on an airport 
layout plan developed under the pro-
posal, or initiate the construction of 
the item or items of airport develop-
ment shown on the plans developed 
under the proposal and designed to lead 
to a project application, or both, with-
in three years after the date of accept-
ance of the offer. It also includes the 
sponsor’s representation as to the 
method of financing the intended con-
struction, approval of other agencies, 
defaults, possible disabilities, and a