Hearings

Islands, or in, or in close proximity to, a national park, or national recreation area or national monument, or in a national forest."

APPROVAL

(d) All such projects shall be subject to the approval of the Administrator, which approval shall be given only if, at the time of approval, funds are available for payment of the United States share of the allowable project costs, and only if he is satisfied that the project will contribute to the accomplishment of the purposes of this Act, that sufficient funds are available for that portion of the project costs which is not to be paid by the United States under this Act, that the project will be completed without undue delay, that the public agency or public agencies which submitted the project application have legal authority to engage in the airport development as proposed, and that all project sponsorship requirements prescribed by or under the authority of this Act have been or will be met. No project shall be approved by the Administrator 2 with respect to any airport unless a public agency holds good title, satisfactory to the Administrator, to the landing area of such airport or the site therefor, or gives assurance satisfactory to the Administrator 2 that such title will be acquired.

HEARINGS

(e) Project applications shall be matters of public record in the office of the Administrator." Any public agency, person, association, firm or corporation having a substantial interest in the disposition of any application by the Administrator may file with the Administrator a memorandum in support of or in opposition to such application; and any such agency, person, association, firm, or corporation shall be accorded, upon request, a public hearing with respect to the location of any airport the development of which is proposed. The Administrator 2 is authorized to prescribe regulations governing such public hearings, and such regulations may prescribe a reasonable time within which requests for public hearings shall be made and such other reasonable requirements as may be necessary to avoid undue delay in disposing of project applications.

UNITED STATES SHARE OF PROJECT COSTS

GENERAL PROVISION

SEC. 10. (a) Except as provided in subsections (b), (c) and (d)20 of this section, the United States' share payable on account of any approved project under this Act shall be

(1) in the case of a project for the development of a class 3 or smaller airport, 50 per centum of the allowable project costs of the project;

(2) in the case of a project for the development of a class 4 or larger airport, such portion of the allowable project costs of the project (not to exceed 50 per centum) as the Administrator may deem appropriate for carrying out the provisions of this Act.

PROJECTS IN PUBLIC LAND STATES

(b) In the case of any State containing unappropriated and unreserved public lands and nontaxable Indian lands (individual and tribal) exceeding 5 per

2a All authority originally vested in the Administrator of Civil Aeronautics by the Federal Airport Act was transferred to the Secretary of Commerce by 1950 Reorganization Plan No. 5, effective May 24, 1950, 15 F. R. 3174, 64 Stat. 1263 (5 U. S. C. 591, note) Accordingly, the terms "Administrator" and "Administrator of Civil Aeronautics" should be considered as having been changed to "Secretary of Commerce" wherever used in the Federal Airport Act with the exception of secs. 2 (a) (1) and (2) (b).

18 Italicized words added by Public Law 486. supra, note 2.

19 Italicized words added by Section 6 of Public Law 463 supra, note 6, in lieu of the following: "in a national park or national recreation area, a national monument, or a national forest." In addition, that amendment deleted the word "and" immediately following "Puerto Rico."

20 Reference to subsec. (e) added by Public Law 227. 81st Cong., approved August 15. 1949 (63 Stat. 605); Deleted by codifier to recognize effect of Public Law 912, 81st Cong.. approved January 9, 1951 (64 Stat. 1237), which deleted subsection (d) of the original Act reading as follows: "(d) To the extent that the project costs of an approved project represent the cost of acquiring land or interests therein or easements through or other interests in air space, the United States share (1) in the case of a project for the development of a class 3 or small airport, shall be 25 per centum of the allowable costs of such acquisition, and (2) in the case of a project for the development of a class 4 or larger airport, shall be not to exceed 25 per centum of the allowable costs of such acquisition."

centum of the total area of all lands therein, the United States' share under subsection (a) (1), and the maximum United States' share under subsection (a) (2), shall be increased by whichever is the smaller of the following percentages thereof: (1) 25 per centum, or (2) a percentage equal to one-half the percentage that the area of all such lands in such State is of its total area.

(c) The United States' share payable on account of any approved project in the Territory of Alaska and the Virgin Islands" shall be such portion of the allowable project costs of the project (not less than 50 per centum in the case of a class 3 or smaller airport, and not to exceed 75 per centum in the case of an airport of any class) as the Administrator may deem appropriate for carrying out the provisions of this Act.

INSTALLATION OF HIGH INTENSITY RUNWAY LIGHTING

(d) To the extent that the project costs of an approved project represent the cost of installation of high intensity lighting on runways designated instrument landing runways by the Administrator, the United States share shall be not to exceed 75 per centum of the allowable costs of such installation.”

PROJECT SPONSORSHIP

SEC. 11. As a condition precedent to his approval of a project under this Act, the Administrator shall receive assurances in writing, satisfactory to him, that

(1) the airport to which the project relates will be available for public use on fair and reasonable terms and without unjust discrimination;

(2) such airport and all facilities thereon or connected therewith will be suitably operated and maintained, with due regard to climatic and flood conditions; (3) the aerial approaches to such airport 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;

(4) all the facilities of the airport developed with Federal aid and all those usable for the landing and takeoff of aircraft will be available to the United States for use by military and naval aircraft in common with other aircraft at all times without charge, except, if the use by military and naval aircraft shall be substantial, a reasonable share, proportional to such use, of the cost of operating and maintaining the facilities so used;

(5) the airport operator or owner will furnish to any civil agency of the Government, without charge (except for light, heat, janitor service, and similar facilities and services at the reasonable cost thereof), such space in airport buildings as may be reasonably adequate for use in connection with any air traffic control activities, or weather-reporting activities and communications activities related to air traffic control, which such agency may deem it necessary to establish and maintain at the airport;

(6) all project accounts and records will be kept in accordance with a standard system of accounting prescribed by the Administrator 2 after consultation with appropriate public agencies;

such

(7) the airport operator or owner will submit to the Administrator 2a annual or special airport financial and operations reports as the Administrator may reasonably request; and

(8) the airport and all airport records will be available for inspection by any duly authorized agent of the Administrator 2 upon reasonable request.

To insure compliance with this section, the Administrator shall prescribe such project sponsorship requirements, consistent with the terms of this Act, as he may deem necessary. Among other steps to insure such compliance the Administrator is authorized to enter into contracts with public agencies, on behalf of the United States.

Heading changed by codifier to include reference to the Virgin Islands.

Italicized words added by Public Law 486, supra, note 2.

"Heading supplied by codifier

2 This subsection added by Public Law 227 supra, note 20. Designation changed by codifier from "(e)" to "(d)" to recognize deletion of subsection (d) by Public Law 912, supra, note 20.

GRANT AGREEMENTS

SEC. 12. Upon approving a project the Administrator, on behalf of the United States, shall transmit to the sponsor or sponsors of the project an offer to pay the United States share of the allowable project costs of such project. Any such offer shall be made upon such terms, and subject to such conditions, as the Administrator may deem necessary to meet the requirements of this Act and the regulations prescribed thereunder. Each such offer shall state a definite amount as the maximum obligation of the United States payable from funds appropriated under authority of this Act, and shall stipulate the obligations to be assumed by the sponsor or sponsors of the project. If and when any such offer is accepted in writing by the sponsor or sponsors to which it is made, such offer and acceptance shall comprise a grant agreement constituting an obligation of the United States and of the sponsor or sponsors so accepting, and thereafter the amount stated in the accepted offer as the maximum obligation of the United States under such grant agreement shall not be increased by more than 10 per centum." Unless and until such a grant agreement has been executed with respect to a project, the United States shall not pay, nor be obligated to pay, any portion of the project costs which have been or may be incurred in carrying out that project.

ALLOWABLE PROJECT COSTS

SEC. 13. Except as provided in section 14, the United States shall not pay, or be obligated to pay, from amounts appropriated to carry out the provisions of this Act, any portion of a project cost incurred in carrying out a project unless the Administrator has first determined that such cost is allowable. A project cost shall be allowable if

(1) it was a necessary cost incurred in accomplishing airport development in conformity with approved plans and specifications for an approved project and with the terms and conditions of the grant agreement entered into in connection with such project;

(2) it was incurred subsequent to the execution of the grant agreement with respect to the project, and in connection with airport development accomplished under such project after the execution of such grant agreement: Provided, however, That the allowable costs of a project may include any necessary costs of formulating the project (including those of field surveys and the preparation of plans and specifications, including costs of acquiring land or interests therein or easements through or other interests in air space, and including any necessary administrative or other incidental costs incurred by the sponsor specifically in connection with the accomplishment of the project, which would not have been incurred otherwise) which were incurred subsequent to the enactment of this Act; and

(3) it is reasonable in amount, in the opinion of the Administrator: Provided, That if the Administrator 2a determines that a project cost is unreasonable in amount, he shall allow, as an allowable project cost under this section, only such amount of such project cost as he determines to be reasonable and no project costs in excess of the definite amount stated in the grant agreement shall be allowable. The Administrator is authorized to prescribe such regulations, including regulations with respect to the auditing of project costs, as he may deem necessary to effectuate the purposes of this section.

PAYMENTS

SEC. 14. The Administrator,2a after consultation with the sponsor or sponsors with which a grant agreement has been entered into, shall determine at what times, and in what amounts, payments shall be made under this Act. Payments under a grant agreement, in an aggregate amount of not to exceed 90 per centum of the United States share of the total estimated allowable project costs

2 All authority originally vested in the Administrator of Civil Aeronautics by the Federal Airport Act was transferred to the Secretary of Commerce by 1950 Reorganization Plan No. 5, effective May 24, 1950, 15 F. R. 3174, 64 Stat. 1263 (5 U. S. C. 591, note). Accordingly, the terms "Administrator" and "Administrator of Civil Aeronautics" should be considered as having been changed to "Secretary of Commerce" wherever used in the Federal Airport Act with the exception of secs. 2 (a) (1) and (2) (b).

25 Italicized words added by Public Law 183, 81st Cong., approved July 25, 1949 (63 Stat. 478).

of the project, may be made from time to time in advance of accomplishment of the airport development to which such payments relate, provided, that the sponsor certify to the Administrator that the aggregate of expenditures to be made from such advance payments will not at any time exceed the cost of the airport development work which has been performed up to that time. If the Administrator a determines at any time that the aggregate amount of payments made under a grant agreement exceeds the United States share of the total allowable project costs of the project, the United States shall be entitled to recover such excess. If the Administrator 2a finds that the airport development to which the advance payments relate has not been accomplished within a reasonable time or such development is not completed, the United States shall be entitled to recover such part of such advance payment for which the United States received no benefit. Payments under a grant agreement shall be made to such official or officials or depository, authorized by law to receive public funds, as may be designated by the sponsor or sponsors entitled to such payments."

SEC. 15. (a) The construction work on any approved project shall be subject to inspection and approval by the Administrator 2a and in accordance with regulations prescribed by him. Such regulations shall require such cost and progress reporting by the sponsor or sponsors of such project as the Administrator 2 shall deem necessary. No such regulation shall have the effect of altering any contract in connection with any project entered into without actual notice of the regulation.

MINIMUM RATES OF WAGES

(b) All contracts in excess of $2,000" for work on projects approved under this Act which involves labor shall contain provisions establishing minimum rates of wages, to be predetermined by the Secretary of Labor, 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.

OTHER PROVISIONS AS TO LABOR

(c) All contracts for work on projects approved under this Act which involves labor shall contain such provisions as are necessary to insure (1) that no convict labor shall be employed; and (2) that in the employment of labor (except in executive, administrative, and supervisory positions), preference shall be given, where they are qualified, to individuals who have served as persons in the military service of the United States (as defined in section 101 (1) of the Soldiers' and Sailors' Civil Relief Act of 1940), and who have been honorably discharged from such service: Provided, That such preference shall apply only where such labor is available and qualified to perform the work to which the employment relates.

2 This Section rewritten by Public Law 224, 81st Cong., approved Aug. 12, 1949 (63 Stat. 603), replacing original Section reading as follows: "Sec. 14. The Administrator, after consultation with the sponsor or sponsors with which a grant agreement has been entered into, shall determine at what times, and in what amounts, payments shall be made under this Act. The aggregate of such payments at any time with respect to a particular project shall not exceed a percentage of the project costs of the airport development which has been performed up to that time (and which the sponsor or sponsors to which the payments are to be made certify to have been performed in accordance with the approved plans and specifications for such project), equal to the percentage of the allowable project costs of the project determined to be the United States share of such costs; and if the Administrator shall determine at any time that the aggregate of such payments exceeds the United States share of the allowable project costs of such project the United States shall be entitled to recover such excess. Such payments shall be made to such official or officials or depository, authorized by law to receive public funds, as may be designated by the sponsor or sponsors entitled to such payments.'

Italicized matter added by Public Law 187, 81st Cong., approved July 26, 1949 (63 Stat. 480).

USE OF GOVERNMENT-OWNED LANDS

REQUESTS FOR USE

SEC. 16. (a) Whenever the Administrator 2a determines that use of any lands owned or controlled by the United States is reasonably necessary for carrying out a project under this Act, or for the operation of any public airport, he shall file with the head of the department or agency having control of such lands a request that such property interest therein as he may deem necessary be conveyed to the public agency sponsoring the Project in question or owning or controlling the airport. Such property interest may consist of the title to or any other interest in land or any easement through or other interest in air space.

MAKING OF CONVEYANCE

(b) Upon receipt of a request from the Administrator 2a under this section, the head of the department or agency having control of the lands in question shall determine whether the requested conveyance is inconsistent with the needs of the department or agency, and shall notify the Administrator of his determination within a period of four months after receipt of the Administrator's request. If such department or agency head determines that the requested conveyance is not inconsistent with the needs of that department or agency, such department or agency head is hereby authorized and directed, with the approval of the President and the Attorney General of the United States, and without any expense to the United States, to perform any acts and to execute any instruments necessary to make the conveyance requested; but each such conveyance shall be made on the condition that the property interest conveyed shall automatically revert to the United States in the event that the lands in question are not developed, or cease to be used, for airport purposes.

SEC. 17. (a) Reimbursement shall be made to public agencies, as provided in this section, for the necessary rehabilitation or repair of public airports heretofore or hereafter substantially damaged by any Federal agency. The Administrator 2 is authorized to render such assistance as he deems necessary to public agencies in the preparation of requests for reimbursement for the cost of rehabilitation or repair of public airports, under the control or management of such public agencies, which have been substantially damaged by any Federal agency and, upon receipt of such a request from a public agency, the Administrator 2a is further authorized, on behalf of the United States to consider, ascertain, and determine, in accordance with regulations he shall prescribe pursuant to this section, the actual or estimated cost of such necessray rehabilitation or repair for which such public agency is entitled to reimbursement from the United States.

(b) Such amount as may be found by the Administrator 2 to be the actual or estimated cost of such rehabilitation or repair shall be certified by the Administrator to Congress, which certification shall include a brief statement of the character of the damage upon which the request for reimbursement is based and of the work performed or to be performed to accomplish such rehabilitation or repair. In the event that, upon completion of such rehabilitation or repair, it is determined that the actual cost thereof, as approved by the Administrator,” exceeds the amount of the estimate certified to Congress by him, the Administrator shall certify to Congress the amount by which such actual cost exceeds such estimate including in such certification a brief statement of the cause of the variation between the estimated and the actual cost of such rehabilitation and repair. Certifications made hereunder by the Administrator shall be

29 Heading supplied by codifier.

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