State Grants For California Airports Gwyn Reese, Aviation Funding Specialist Caltrans - Division of Aeronautics September 2006
State Funding Programs Annual Credits Airport Improvement Program (AIP) Matching Grants Acquisition and Development (A&D) Grants Airport Loan Program
Annual Credits • Eligibility Cities, counties, and airport districts Cannot be a reliever or a commercial service airport • Annual Certification • Enables funding of Annual Grants, AIP Matching grants, • and A&D grants • Disbursements Requests • As needed—can accrue funds for 5 years/$50,000
Annual Credits • No local match required • Forms will be sent this fall and expect disbursement requests received to be processed January 2007. • After processing, it takes 6 to 8 weeks to receive the check from the State Controller’s Office. • Application form for the Annual Credit is available online: • http://www.dot.ca.gov/hq/planning/aeronaut/htmlfile/grants-loans.php
AIP Matching Grants • Eligibility Cities, counties, and airport districts with general aviation and reliever airports. • Match all AIP grants that primarily benefit general aviation. • Project must be included in the current Capital Improvement Program (CIP). • Application Restrictions • No AIP Matching allowed prior to sponsor’s acceptance of the federal grant or if the project is started or completed prior to State allocation.
AIP Matching Grants • Funding Cycle • A sponsor initiates AIP Matching process by providing a copy of the ACIP to Caltrans that sponsor submits to FAA annually. • CIP timeline • Fall 2006 - joint letter to sponsors from FAA and Caltrans. • Spring 2007 - CIP is finalized. • Only when the sponsor accepts the FAA grant can they apply for State matching grant. • Application approval is based on the availability of State funds.
AIP Matching Grants • Recommend combined resolution for FAA and State grant. • Authorizes filing application, accepting allocation of funds, execution of grant agreement; and authorizes (name) to sign any documents required to apply for and accept these funds.
AIP Matching Rate • State Matching Grants pay for 2.5% of the Federal Grant. • 95% Fed, 2.37% State, 2.63% sponsor • Local match for AIP is currently 5% through September 2007. • FAA assurance, Section C (3) on page 4Sponsor FundAvailability. • http://www.faa.gov/airports_airtraffic/airports/aip/grant_assurances/media/airport_sponsor_assurances.pdf
AIP Matching Grants • Current average processing time is 2 to 3 weeks. • FY 05/06, 61 grants for $2.43 M. • FY 06/07, 34 grant requests totaling $868,000. • Application form for AIP Matching Grant is available online: • http://www.dot.ca.gov/hq/planning/aeronaut/htmlfile/grants-loans.php
A&D Grants • Eligibility Cities, counties, airport districts with general aviation, reliever, and commercial airports • ALUC’s -- An airport land use commission (ALUC) can receive funding to prepare/update an airport land use compatibility plan (ALUCP).
A&D Grants • Grants cannot be provided for projects that have already been completed or have started construction prior to execution of agreement. • Cannot be used as local match for AIP grants. • 12% of actual construction costs can be for “project services.” • The 10% match cannot come from state funds such as Annual Credits or State Loans.
A&D Grants • Capital Improvement Plan • A sponsor initiates it’s A&D request through the Capital Improvement Plan (CIP). • For NPIAS airports, entry into the CIP is through the federal ACIP. • Non-NPIAS airports and ALUCs apply directly to Caltrans for the CIP.
A&D Grant Process • Submit application to Department: • http://www.dot.ca.gov/hq/planning/aeronaut/htmlfile/grants-loans.php • Allocation by CTC. • Submit PS&E for approval to Department. • Department approves contractor. • Department prepares grant agreement. • Progress payments can be made with 10% retention pending final inspection.
Grant Funding • Revenue $7.65M per year • $3M Division Support • $1.49M Annual Credits • $1.65M set-aside for AIP Matching @ 2.5% • Match rate reviewed annually by CTC • $1.5M for A&D safety projects, ALUCPs, and the pending projects list
Airport Loan Program • Eligibility Cities, counties, and airport districts. • Most projects that benefit the airport are eligible. • Local Match for AIP is eligible.
Airport Loan Program • Loan Approval Considerations • Economic feasibility is a major factor in the approval of loans for revenue-generating projects such as hangars and fueling facilities. • Sponsor’s overall financial status is considered.
Loan Process • Three to four month process. • Submit complete application to Department. • Department conducts public and internal hearings. • Loan agreement is prepared by Department. • Department of General Services reviews and approves. • State Controller’s Office (SCO) prepares loan disbursement.
Loan Process • First payment on loan is due one year from the date the warrant was issued by SCO. • Loan terms vary from 8 to 17 years. • Simple interest is charged. • Loans are subject to audit. • Submit application to Department: • http://www.dot.ca.gov/hq/planning/aeronaut/htmlfile/grants-loans.php
Information • Periodically, check our website for updates on Annual Credits and AIP Matching such as timing and availability of funds: www.dot.ca.gov/aeronautics and click on the “Credits, Grants, and Loan” tab. • Detailed program information and forms are all on the website.
State Dollars for Your Airport • State Dollars for Your Airport has been updated and is available on CD and will be on our website. • This publication is for airport managers, sponsoring agencies, and ALUCs to better understand the funding programs available.
Thank you! Division of Aeronautics Homepage http://www.dot.ca.gov/aeronautics Aviation Funding Specialist -- Gwyn Reese • Email: firstname.lastname@example.org • Phone: 916-654-4718 • Annual Credits, AIP Matching Grants, and Loans Office Chief Technical Services– Lee Provost • Email: email@example.com • Phone: 916-654-3775 • A&D Airport Engineers – Parvin Bijani, Alan Song