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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
