Notice of Order Soliciting Community Proposals, 5705-5716 [06-983]
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Federal Register / Vol. 71, No. 22 / Thursday, February 2, 2006 / Notices
operations between the United Kingdom
and the United States as early as May 1,
2006, providing scheduled combination
service between Glasgow, Scotland and
Orlando (Sanford), FL.
Renee V. Wright,
Program Manager, Docket Operations,
Federal Register Liaison.
[FR Doc. E6–1411 Filed 2–1–06; 8:45 am]
Dated: January 20, 2005.
Michael W. Reynolds,
Acting Assistant Secretary for Aviation and
International Affairs.
Issued by the Department of Transportation
on the 20th day of January, 2006.
In the Matter of Grant Applications: Small
Community Air Service Development
Program; Under 49 U.S.C. 41743 et seq.
Order Soliciting Community Grant
Proposals
BILLING CODE 4910–62–P
DEPARTMENT OF TRANSPORTATION
Office of the Secretary
Notice of Order Soliciting Community
Proposals
AGENCY:
Department of Transportation
Notice of Order Soliciting
Community Proposals (Order 2006–1–
13) Docket OST–2006–23671.
ACTION:
SUMMARY: The Department of
Transportation is soliciting proposals
from communities or consortia of
communities interested in receiving a
grant under the Small Community Air
Service Development Program. The full
text of the Department’s order is
attached to this document. This year,
there are two mandatory requirements
for filing of applications, both of which
must be completed for a community’s
application to be deemed timely and
considered by the Department. The first
requirement is the submission of the
community’s proposal to Dockets, as
described below, the second
requirement is the filing of SF424
through https://www.grants.gov.
By this order, the Department invites
proposals from communities and/or
consortia of communities interested in
obtaining a federal grant under the
Small Community Air Service
Development Program (Small
Community Program) to address air
service and airfare problems in their
communities. Proposals should be
submitted in the above-referenced
docket no later than April 7, 2006.
Communities should be aware of a new
application procedure which requires
that applicants also submit form SF424,
a standard federal government
application form, in Grants.gov. An
application will not be deemed
complete until and unless all required
documents are filed. (See Appendix C
for additional information on filing form
SF424.)
Funding Opportunity
FOR FURTHER INFORMATION CONTACT:
Aloha Ley, Office of Aviation Analysis,
400 7th Street, SW., Washington, DC
20590, (202) 366–2347.
The Small Community Program was
established under the Wendell H. Ford
Aviation Investment and Reform Act for
the 21st Century (AIR–21), Public Law
106–181, as a three-year ‘‘pilot’’
program and was designed to provide
financial assistance to small
communities to help them enhance their
air service. The Department provides
this assistance in the form of financial
grants. The program was not funded in
its first year, fiscal year 2001, but was
funded and implemented in each of
fiscal years 2002 and 2003. The Vision
100-Century of Aviation
Reauthorization Act, Public Law 108–
176 (Vision 100), reauthorized the
program for an additional five years,
through fiscal year 2008, and eliminated
the ‘‘pilot’’ status of the program. The
program has been funded for FY 2004,
FY 2005 and FY 2006.
Under the statute, the Secretary may
award a maximum of 40 grants each
year that the program is funded,
although no more than four grants each
year may be to communities in the same
state.1 The grants may be made to single
1 See 49 U.S.C. 41743. A copy of the statute is
provided in Appendix A.
Grant Proposals as well as the
SF424 should be submitted no later than
April 7, 2006.
DATES:
Interested parties should
submit an original and two copies of
their proposals bearing the title
‘‘Proposal under the Small Community
Air Service Development Program,
Docket OST–2006–23671, as well as the
name of the applicant community or
consortium of communities, the legal
sponsor, and the applicant’s DUNS
number to Dockets Operations and
Media Management, M–30, Room PL–
401, Department of Transportation, 400
7th Street, SW., Washington, DC 20590.
The SF424 is submitted electronically
through https://www.grants.gov.
ADDRESSES:
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Overview
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communities or to consortia of
communities.2
Communities that are eligible to
participate in the grant program are
those communities that are served by an
airport that was not larger than a small
hub airport for calendar year 1997 and
had insufficient air service or
unreasonably high airfares.3
Communities that do not currently have
commercial air service are also eligible,
but where they seek grant funds to
secure air service under the grant
program they must have met or be able
to meet in a reasonable period all
necessary requirements of the Federal
Aviation Administration for the type of
service involved in their grant
proposals.
In selecting communities to
participate in the program, the statute
directs the Secretary to give priority to
those communities where: (a) Average
air fares are higher than the air fares for
all communities; (b) a portion of the cost
of the activity proposed by the
community is provided from local, nonairport-revenue resources; (c) a publicprivate partnership has been or will be
established to facilitate air carrier
service to the public; (d) improved
service will bring the material benefits
of scheduled air transportation to a
broad section of the traveling public,
including businesses, educational
institutions, and other enterprises
whose access to the National air
transportation system is limited; and (e)
the assistance will be used in a timely
fashion.
The Small Community Program
provides considerable flexibility in how
funds can be used to implement a
community’s grant proposal. (See 49
U.S.C. 41743(d).) For example, grant
funds can be used to cover the expenses
of any new advertising or promotional
activities related to improving the air
service to the community. Funds may
also be used for new studies designed to
measure air service deficiencies, or to
measure traffic loss or diversion to other
communities. Another example would
be using the funds for the employment
or use of new, dedicated air service
development staff on a long-term basis,
advertising or public relations agencies,
universities, and consulting firms. In
addition, grant funds may also be used
for financial incentives, including
subsidy or revenue guarantees, to air
carriers in conjunction with their
2 The statute specifies a consortium of
communities should be considered as a single
entity; therefore, throughout this order we use
‘‘community’’ to include consortia.
3 A small hub is defined as an airport that has at
least 0.05%, but less than 0.25%, of the annual
passenger boardings in the United States.
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provision of air service or the fare levels
charged, or to ground service providers
in providing access to air transportation
services.4 The use of grant funds for air
carrier subsidy is limited to a maximum
period of three years.
While the statute does not preclude
communities from including capital
expenditures, such as terminal/runway
improvements or airport equipment in
their grant requests, communities are
encouraged not to do so. Because the
Department generally receives many
more applications than it can
accommodate under the limitations of
the statute and there are other
government programs more suited and
specifically designed for capital
expenditures, the Department will treat
such requests with lower priority.
Applicants may pursue capital
improvement projects separately in
conjunction with their grant proposals
under the Small Community Program.5
The statute also provides that the
Department will designate one of the
grant recipients as an Air Service
Development Zone. Communities
seeking to attract business to the area
surrounding the airport and/or to
develop land use options for the area as
set forth in the statute are invited to
compete for the designation. The
Department will assist the designated
community in establishing contacts
with and obtaining advice and
assistance from appropriate government
agencies, including the Department of
Commerce as well as other offices
within the Department of
Transportation, and in identifying other
pertinent resources which may aid the
community in its efforts to attract
businesses and to formulate land use
options for the airport vicinity.
However, upon receiving the
designation, it will be the responsibility
of the community to develop,
implement and manage activities related
to the air service development zone
initiative. There are no additional funds
associated with this designation.
Furthermore, communities seeking this
designation will receive no special
benefit or preference in receiving a grant
under the Small Community Program.
Applicant communities interested in
this designation should clearly indicate
that interest in their applications and
4 Qualified expenses are set forth in the
Department’s regulations, 14 CFR 18.22 and Office
of Management and Budget Circular A–87. See
www.whitehouse.gov/omb/circulars/a0087/
a0087.html.
5 Each applicant is responsible for assuring that
no part of its proposal would, if accepted, violate
any of the assurances associated with other federal
grants, including, but not limited to, all Airport
Improvement Program assurances regarding use of
airport revenues.
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should provide detailed information in
support of their selection for this
designation in a separate section of their
grant proposals. (See Application and
Submission Section below, for more
details on the application requirements
for this designation.) Supporting
information will include property and
facilities available for the air service
development zone, demographic
information regarding the community
and its environs, and the community’s
goals and preliminary plans for its air
service/economic development
initiatives.
In each of the years that the program
has been funded, the Department
received many more applications than
could be accommodated under the
limitations of the statute. In fiscal year
2002, the Department received 180
proposals and made 40 grant awards; in
fiscal year 2003, the Department
received 170 applications and made 36
grant awards; in fiscal year 2004, the
Department received 108 applications
and made 40 grant awards; and in fiscal
year 2005, the Department received 84
applications and made 35 grant
awards.6
awarded will vary depending upon the
features and merits of the proposals
selected. Over the past four years, the
Department’s individual grants have
ranged from $20,000 to nearly $1.6
million.
The grant funds awarded do not need
to be expended in the fiscal year that
they are awarded. Nor do they need to
be used within a one-year period.
Authorized grant projects may include
activities that extend over a multi-year
period under a single grant award to the
extent reasonable and practicable.
Generally speaking, grant awards have
not exceeded a three-to-four-year
period.
Grant funds to the selected
communities are available on a
reimbursable basis under which the
community expends funds related to
implementation of the approved grant
project, and then seeks reimbursement
from the Department at regular intervals
(usually monthly) for project
expenditures under the terms set forth
in the Grant Agreement between the
Department and the selected
community.
Award Information
The Department of Transportation’s
budget appropriation for 2006 as set
forth in the Transportation, Treasury,
Housing and Urban Development, the
Judiciary, the District of Columbia, and
Independent Agencies Appropriations
Act of 2006, Public Law 109–115,
November 30, 2005, provides funding of
up to $10 million for the program in
fiscal year 2006.7
The financial assistance under this
program is in the form of financial
grants. As mentioned above, the statute
limits the Department to a maximum of
40 grant awards (with a maximum of
four grants per state) in each year that
the program is funded. It does not
prescribe any limits on the amounts of
individual awards. The grant amounts
Applicant Eligibility
Communities that are eligible to
participate in the grant program are
those communities that are served by an
airport that was not larger than a small
hub airport for calendar year 1997 and
had insufficient air service or
unreasonably high airfares.8
Communities that do not currently have
commercial air service are also eligible,
but where they seek grant funds to
secure air service under the grant
program, they must have met or be able
to meet in a reasonable period all
necessary requirements of the Federal
Aviation Administration for the type of
service involved in their grant
proposals. Communities served by
medium and large hubs are not eligible
to apply under this program.
The law does not exclude small
communities that currently receive
subsidized air service under the
Essential Air Service (EAS) program
from seeking funds under the Small
Community Program. A number of EASsubsidized communities applied in past
years and the Department has made
grant awards to some of those
applicants. When analyzing grant
proposals, the Department will consider
the fact that subsidized EAS
communities are already receiving
federal funding to support their air
6 See Orders 2002–6–14 (June 26, 2002), 2002–
12–16 (December 20, 2002) (both in Docket OST–
2002–11590); Orders 2003–9–14 (September 17,
2003), 2003–9–25 (September 30, 2003) (both in
Docket OST–2003–15065); Order 2004–8–30
(August 30, 2004) in Docket OST–2004–17343; and
Order 2005–8–19 (August 25, 2005) in Docket OST–
2005–20127 for a complete description of the
Department’s grant awards over the past four years.
7 This funding is subject to a 1% across-the-board
rescission. Furthermore, the program’s funding for
this year may be affected by a provision in Public
Law 109–115 that provides the Secretary with
authority to transfer funds from any program within
or administered by the Office of the Secretary to the
Essential Air Service (EAS) program if the EAS
program does not have sufficient funds to meet its
statutory obligations. In all previous years, the
program has been funded at a level of $20 million
per year. In some cases, that funding was also
subject to a slight across-the-board rescission.
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Eligibility Information
8 The hub classifications are based on the Federal
Aviation Administration’s CY 1997 enplanement
data.
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services under the EAS program, and
that Vision 100 made several
substantive changes to the EAS
program, including provision for an
‘‘alternate’’ EAS program that provides
EAS-subsidized communities many of
the same options for addressing their air
service issues as those generally
available under this program.9
Furthermore, EAS-subsidized
communities should be aware that we
will not award grants to communities
whose proposals are inconsistent with
long-standing EAS policies, including
proposals that contemplate air service to
a second hub where such service is not
now authorized under the community’s
EAS determination.
Communities that were awarded
grants in previous years that want to
apply for a grant this year should be
aware that they are precluded from
seeking funds for projects that have
already received an award under the
Small Community Program. However,
previous grant recipients may submit
grant proposals and seek funds for new
projects in a different category. For
example, if a community had received
a grant for a market study, it could not
apply for a new grant for another market
study; however, the community could
apply for funding for a revenue
guarantee for new air service. That said,
the funds for this program are very
limited and the interest in the program
has far exceeded both the funds
available and the number of
communities that can participate under
the statute in any one year. The fact that
a community has already received one
or more grants will be a consideration
when comparing its new proposal with
those of other applicant communities.
Communities that propose to use the
grant funds to support service in a citypair market that is already served on a
non-subsidized basis should be
prepared to explain in detail why the
existing service is insufficient or
unsatisfactory, or provide other
compelling information to support their
proposal. This information is necessary
for the Department to consider the
competitive implications of subsidizing
one carrier’s service over service that is
not subsidized. The Department is
concerned that, while bringing new
competition may benefit the community
in the short term, a market may prove
insufficient to support two carriers and
9 Public Law 108–176, Sec. 405 amending 49
U.S.C. Section 41745. Pursuant to Vision 100, on
July 27, 2004, the Department announced the
‘‘Establishment of Alternate Essential Air Service
Pilot Program’’ and provided procedures for
communities interested in participating in this
component of the EAS program. See order in Docket
OST–2004–18715.
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service may deteriorate to the point that
the community’s service in the market
is less beneficial than before. Thus, the
Department may look skeptically at
proposals that do not fully address these
concerns.
The statute permits individual
communities and consortia of
communities to apply for grant awards
under this program. In some instances
in the past, several communities in a
state have filed a single application as
a ‘‘consortium’’ while in effect the
application is a collection of individual
community requests that involve
different projects. We do not view this
as a consortium. Rather, an application
representing a consortium would be one
that facilitates efforts of communities
working together toward a joint grant
project. For example, several
communities surrounding an airport
may apply together to improve air
services at that airport.
The Department expects that
communities will file only one
application for a grant. In the past, some
communities have filed both individual
applications and requests as part of a
consortium. In many cases these
applications have involved the same
project at the same or different funding
levels. We will not consider the standalone application if a community is also
submitting a largely identical request as
part of a consortium. To the extent that
a community files separately and as part
of a consortium for complementary
projects—for example, one request for
funding a revenue guarantee and one for
marketing—we will consider such
proposals. Communities should be
aware, however, that such multiple
applications will not necessarily
improve their chances for receiving a
grant, and the Department cannot make
multiple awards involving the same
community in any one fiscal year.
Cost Sharing/Local Contributions
The statute does not require
communities to contribute toward a
grant project, although those that do
contribute from local sources other than
airport revenues are accorded priority
consideration. One core objective of the
Small Community Program is to
promote community involvement in
addressing air service/air fare issues
through public/private partnerships. As
a financial stakeholder in the process,
the community gains greater control
over the type, quality, and success of the
air service initiatives that will best meet
its needs, and demonstrates a greater
commitment towards achieving the
stated goals. The Department has
historically received many more
applications than can be accommodated
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and nearly all of those applications have
proposed a community financial
contribution to the project. Thus,
proposals that do not propose a
community financial contribution will
be at a competitive disadvantage.
For those communities that propose
to contribute to the grant project, that
contribution can be in the following
forms:
Cash from non-airport revenues: This
cash contribution can include funds
from the State, the County or the local
government, and/or from local
businesses, or other private
organizations in the community. The
‘‘value’’ of donated advertising will not
be considered a ‘‘cash’’ contribution.
Cash from airport revenues: This
includes contributions from funds
generated by airport operations. Such
contributions do not accord priority
consideration for selection and FAA
policies preclude the use of airport
revenues for revenue guarantees to
airlines.
In-Kind Contributions from the
airport: This can include such items as
waivers of landing fees, terminal rents,
fuel fees, and/or parking fees.
In-Kind Contributions from the
community: This can include such
items as donated advertising from media
outlets, catering services for inaugural
events, or in-kind trading, such as
advertising in exchange for free air
travel. Travel banks and travel
commitments/pledges are regarded as
an in-kind contribution. Similarly,
reduced fares by airlines will be
considered an in-kind contribution.
Only cash contributions will be
eligible for reimbursement. ‘‘In-kind’’
contributions involve services or
benefits that do not include a cash
transaction between the parties. Because
grant funding under the Small
Community Program is provided on a
reimbursable basis, the Department
cannot reimburse the grant sponsor for
‘‘in-kind’’ or non-cash contributions.
Therefore, in-kind contributions are not
considered as part of the community’s
cash financial contribution to the
project. Of course, communities are free
to include in-kind contributions in their
proposals. In fact, communities are
encouraged to offer in-kind
inducements as an extra incentive to
facilitate air service/fare improvements.
While these contributions will not be
considered as part of the community’s
cash contribution toward the project on
which reimbursements are made, they
will be considered as illustrative of the
community’s overall commitment to the
proposed grant project. If there is any
question about whether a proposed
contribution would be considered as
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‘‘in-kind’’ or cash, the applicant should
contact the Department before
submitting its proposal.
Contributions should represent a new
financial commitment or new financial
resources devoted to attracting new or
improved service, or addressing specific
high-fare or other service issues, such as
improving patronage of existing service
at the airport. Contributions from
already-existing programs or projects
(e.g., designating a portion of an
airport’s existing annual marketing
budget to the project) are considered
less favorably than contributions for
new and innovative programs or
projects.
Applicant communities should also
note that, as part of the grant agreement
between the Department and the
community, the community must fulfill
its proposed financial contribution to
the project. Community participation
with respect to all aspects of the
proposal, including the financial
aspects, is critical to the success of the
authorized project initiative. As with
the grant awards in past years, receipt
of the full federal contribution awarded
will thus be linked to the community’s
fulfillment of its financial contribution.
Furthermore, communities cannot
propose a certain level of cash
contribution from non-airport sources,
and subsequent to being awarded a
grant, seek to substitute or replace that
contribution with either ‘‘in-kind’’
contributions or contributions from
airport revenues, or both. Given the
statute’s priority for contributions from
non-airport sources and the competitive
nature of the selection process, a
community’s grant award could be
reduced or terminated altogether if it is
unable to replace the committed funds
from non-airport revenue sources.
Application and Submission
Information
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Types of Projects and Application
Content
The statute is very general about the
types of projects that can be authorized
in order to provide communities as
much flexibility as possible to address
air service and airfare issues. Moreover,
as each community’s circumstances may
be different, applicants will have some
latitude in identifying their own
objectives and developing strategies for
accomplishing them. However, the
purpose of this program is to provide
additional financial support to improve
air service at small communities. It is
not intended to shift existing
expenditures for this purpose from the
local or state level to the federal level.
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A core objective of the Small
Community Program is to help
communities secure enhancements that
will be responsive to their air
transportation/air fare needs on a longterm basis after the financial support of
the grant has discontinued. There are
many ways that a community might
enhance its current air service or attract
new service, such as: by promoting
awareness among residents of locally
available service; by attracting a new
carrier through revenue guarantees or
operating cost offsets: by offering an
incumbent carrier financial incentives
to lower its fares, increase its
frequencies, add new routes, or deploy
more suitable aircraft, including
upgrading its equipment from
turboprops to regional jets; by
combining traffic support from
surrounding communities with
regionalized service through one airport;
or by providing local ground
transportation service to improve access
to air service to the community and the
surrounding area. These serve merely as
illustrative examples and are not meant
to comprise a list of the types of projects
that are considered most favorably.
Consequently, communities are
encouraged to be innovative and to
consider a wide range of initiatives in
developing their proposals. At the same
time, general, vague, or unsupported
proposals will be to be entertained. The
more highly defined and focused the
proposal, the more likely it will
received favorable consideration,
particularly given the statute’s focus on
a timely used of the federal grant
funding. (48 U.S.C. 41743(c)(5)(E)).
At a minimum, proposals must
provide the following information:
• A description of the community’s
existing air service, including the
carrier(s) providing service, service
frequency, direct and connection
destination offered, available fares, and
equipment types.
• A synopsis of the community’s
historical service, including destination,
traffic levels, service providers, and any
extenuating factors that might have
affected traffic in the past or that can be
expected to influence service needs in
the near to intermediate terms.
• A description of the community’s
air service needs or deficiencies,
including any major origin/destination
markets not now served or not served
adequately. In addition, communities
are free to submit any information about
their fare situation that they deem
relevant to consideration of their grant
request.
• A strategic plan for meeting those
needs under the Small Community
Program, including the community’s
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specific project goal(s) and detailed plan
for attaining the goal(s). Proposals
should clearly identify the target
audience of each component of the
proposed transportation initiative,
including all advertising and
promotional efforts. Proposals should
also provide a realistic timetable for
implementation of the grant project. In
this regard, the statute including timely
use of the grant funds as a priority
consideration. Consequently,
communities must have a welldeveloped project plan and detailed
timetable for implementing that plan. In
establishing the timetable, however,
communities should be realistic about
their ability to meet their project
deadlines.10 Furthermore, proposals
involving new or improved service
should include self-sufficiency of the
service as an integral part of the
community’s goal since, under the
statute, they cannot seek grant funding
in subsequent year in support of the
same project. Therefore, it is important
that communities seriously consider the
scale of their proposed projects in
developing their proposals and the
timetable for achieving them. To the
extent that a propoed project is
dependent upon or relevant to
completion of other federally funded
capital improvement projects, the
community should provide a
description of, and the construction
time-line for, those projects keeping in
mind the new statutory requirement to
use Small Community Program funding
in a timely manner.
Further, when drafting a proposal,
applicants should fully and clearly
outline the goals and objectives sought
to be achieved, e.g., ‘‘to broaden the
awareness by residents in the TriCounty area of the operations provided
by passenger carriers at the Tri-County
airport,’’ or ‘‘to obtain new and
affordable service to a hub airport in a
direct where there is no such service.’’
When an application is selected, these
goals and objectives will be
incorporated into the grant agreement
and shape its basic scope. Once an
agreement is signed, if circumstances
change and an amendment is sought to
allow for different activities or a
different approach, the Department will
10 The projected timetable will be an integral part
of the grant agreements between the selected
communities and the Department. Therefore, there
is no advantage to a community in proposing an
aggressive timetable that cannot be met, and there
may be disadvantages if the community find that it
cannot meet its timetable. Communities should
carefully consider all factors affecting
implementation of their projects and develop
realistic timeframes for achieving those objectives,
keeping in mind that authorized projects generally
have not exceeded three to four years.
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look to whether the change being sought
is consistent with those fundamental
project goals and objectives. Proposed
changes that would alter those
fundamental project goals and
objectives cannot be authorized, because
doing so would undermine the
competitive nature of the selection
process.
• A description of any public-private
partnership that will participate in the
project. Full community involvement is
a key aspect of the Small Community
Program. The statute gives a priority to
those communities that already have
established, or will establish, a publicprivate partnership to facilitate air
service to the public. The proposal
should give a full description of the
public-private partnership that will
participate in the community’s proposal
and how the partnership will actively
participate in implementing the
proposed project. In addition,
applicants should identify each member
of the partnership, the role that each
will play, and its specific
responsibilities in implementation of
the project. If the application does not
include specific information on the
partnership participation in the project,
the Department cannot evaluate how
well a community has met this
consideration, and the applicant will
not be deemed as having met this
priority consideration in the
Department’s evaluation of the
community’s proposal.
• A detailed description of the
funding necessary for implementation of
the community’s project, including the
federal and non-federal contributions.
Proposal should clearly identify the
level of federal funding sought. They
should also clearly identify the other
cash contributions toward the proposed
project, ‘‘in-kind’’ contributions from
the airport, and ‘‘in-kind’’ contributions
from the community. Cash contributions
from airport revenues should be
identified separately from cash
contributions from other community
sources. Similarly, cash contributions
from the state and/or local government
should be separately identified and
described.
In this regard, instances have arisen in
the past where communities have relied
extensively on what they characterize as
travel banks for a significant portion of
their local contribution. A travel ‘‘bank’’
involves an actual deposit of funds from
the participating entities into a bank for
the purpose of purchasing committed
air travel on the selected airline and
defined procedures for use of those
funds under an agreement with the
airline. Most often, however, what
communities refer to as a travel ‘‘bank’’
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in reality involves travel ‘‘pledges’’ from
businesses in the community without
any collection of funds or formal
procedures for use of the funds. Despite
having awarded several proposals
contemplating ‘‘travel banks,’’ there are
a few that have been implemented. Two
communities that have established true
travel banks are Redmond, Oregon, and
Dubuque, Iowa. In the majority of cases,
however, community discussions with
air carriers have revealed that many
carriers are not interested in travel
banks or travel pledges/commitments,
preferring other forms of financial
incentives for risk abatement in the
initial stages of their airline service.
Therefore, if communities include travel
banks in their proposals, they must also
provide written confirmation that the
potential transportation provider(s)
involved in the project is interested in
such a financial incentive. If such
confirmation cannot be secured, the
community should provide alternative
funding proposals to address the carrier/
financial incentive packages that may be
needed. Further, if official travel banks
are proposed, the Department will
require documentation during the term
of the grant that the travel banks are
funded.
Applicant communities should be
aware that, if awarded a grant, the
Department will not reimburse the
community for pre-award expenses such
as the cost of preparing the grant
application or for any expenses incurred
prior to the community executing a
grant agreement with the Department for
implementation of the grant. In
addition, 10 percent of the grant funds
will be withheld until the Department
receives the final report of the grant
project. See Award Administration
Information, below.
• An explanation of how the
community will ensure that its own
funding contribution is spent in the
manner proposed.
• Descriptions of how the community
will monitor the progress of the grant
project and identify critical milestones
during the life of the grant, including
the need to modify or discontinue
funding if identified milestones cannot
be met. This is an important component
of the community’s proposal and serves
to demonstrate the thoroughness of the
community’s planning of the proposed
grant project. Applicant communities
are on notice that any modifications
must first be approved by the
Department. Moreover, modifications to
the project will be considered only to
the extent that the changes do not
deviate from the original goal and scope
of the authorized grant project. As noted
above, the Department will not permit
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fundamental changes to a community’s
proposal in order to preserve a grant
award.
• A description of how the
community plans to continue with the
project if it is not self-sustaining after
the grant award expires. A particular
goal of the Small Community Program is
to provide long-term, self-sustaining
improvements to air service at small
communities. Under the Vision 100
amendments to the statute, the
community cannot seek further grant
funding in support of the same project.
It is possible that a new or improved
service at a community will be well on
its way to becoming self-sustaining, but
will not have reached that goal when
the grant has expired. Similarly, it is
possible that extensive marketing and
promotional efforts may be in process,
but not completed, at the end of the
grant period and will require continued
support. Therefore, in developing its
proposal, the community should
carefully consider and describe its plans
for continued financial support for the
project after the grant funding is no
longer available. This aspect of the
application reflects on the community’s
commitment to the grant project and is
an important component to the
Department’s consideration of the
community’s proposal for selection for a
grant award.
• A description of the community’s
air service development efforts over the
past five years and the results of those
efforts. Many communities have been
active on an on-going basis for many
years in air service development efforts,
while others are just beginning. To the
extent that a community has previously
engaged in other air service initiatives,
including through public/private
partnerships, it should describe those
efforts and their results in its grant
proposal. This should include
marketing and promotional efforts of
airport services as well as efforts to
recruit additional or improved air
service and airfare initiatives.
• Designation of a legal sponsor
responsible for administering the
program. The legal sponsor must be a
government entity. If the applicant is a
public-private partnership, a public
government member of the organization
must be identified as the community’s
sponsor to accept program
reimbursements. In this regard,
communities can designate only a single
government entity as the legal sponsor,
even if a consortium, for example,
consists of two or more local
government entities. Private
organizations cannot be designated as
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the legal sponsor of a grant under the
Small Community Program.11
• Air Service Development Zone
Designation. As noted earlier, the
Department will designate one of the
selected grant recipients as an Air
Service Development Zone. The
purpose of the designation is to provide
communities interested in attracting
business to the area surrounding the
airport and/or developing land use
options for the area to work with the
Department on means to achieve those
goals. Only communities that are
interested in these objectives and have
a plan to accomplishing them should
compete for the available designation.
Applying for this designation will
provide no special benefit or preference
to a community in receiving a grant
award.
Against this background, grant
applications interested in selection for
the Air Service Development Zone
designation, must include in their
applications a separate section, titled,
Support for Air Service Development
Zone Designation. That section should
include detailed information regarding
the property and facilities available for
development such as an existing airpark
or land for such an airpark; the other
modes of transportation that would be
available to support additional
economic development, such as rail,
road, and/or water access; information
concerning historic, existing, and any
future business activity in the area that
would support further development;
demographic information concerning
the community and its environs relevant
to the developmental efforts, including
population, employment, and per capita
income data; and any other information
that the community believes is relevant
to its plans to enhance air service
development. In this regard, the
community should provide as detailed a
plan as possible, including what goals it
expects to achieve from the air service
development zone designation and the
types of activities on which it would
like to work with the Department in
achieving those goals. The community
should also indicate whether further
local government approvals are required
in order to implement the proposed
activities.
The Department will work with the
selected grant recipient by reviewing its
proposed goals and plans and will meet
with the community to help direct the
community’s efforts to appropriate
government agencies, including the
11 The community has the responsibility to
ensure that the recipient of any funding has the
legal authority under State and local laws to carry
out all aspects of the grant.
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Department of Commerce as well as
other U.S. DOT offices that could
provide further support and guidance
for achieving the community’s goals.
The community and its leaders are in
the best position to determine what
activities will benefit its goals for greater
air service development. The
Department will serve as a liaison in
helping the selected community connect
directly with others that have the
expertise and ability, including funding
where the community meets the
necessary requirements, to support the
community’s developmental activities.
There is no set format that applicants
should use in submitting their
applications, other than the guidance
above concerning issues that must be
addressed in community applications.
The law provides considerable latitude
to communities in developing their
proposals and a strict format could serve
to stifle innovation. However, given the
historical high volume of applications
received, applicants are required to
submit a Summary Information Sheet
(attached as Appendix B to this order)
at the beginning of their applications
and to complete the SF424 standard
federal grant applications form (see
Appendix C to this order) to assist our
review of each proposal.
Filing Date/Confidential Material
Proposals are due April 7, 2006.12
They may be submitted by hand, mail,
or express delivery. Proposals
postmarked after the due date will not
be accepted. This year, there are two
mandatory requirements for filing of
applications, both of which must be
completed for a community’s
application to be deemed timely and
considered by the Department.
First, the applicant must submit a
proposal that includes all of the
information required by the Application
and Submission section, above,
including the Summary Sheet in
Appendix B. The applications will be
maintained in a public docket accessible
by the general public and other
applicants. Interested communities
should submit an original and two
copies of their proposals, including the
Summary Information Sheet, if
submitting their proposals by mail,
hand, or express delivery.13
12 The original application should be submitted
on 8.5″ x 11″ paper, in dark ink (not green) and
without tabs to facilitate inclusion in the
Department’s docket management system. The
remaining copies may be tabbed and include use of
any color ink.
13 Communities may submit their proposals
electronically by following the instructions at the
following Web site https://dms.dot.gov. If they do so,
however, they should not also submit a hard copy
of the application to the Dockets Operations and
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The cover page for all applications
regardless of the method of submission
should bear the title ‘‘Proposal Under
the Small Community Air Service
Development Program,’’ and should
include the docket number as shown on
the first page of this order, the name of
the community or consortium of
communities applying, the legal
sponsor, and the community’s Dun and
Bradstreet (D&B) Data Universal
Numbering System (DUNS) number.
The application should be sent/
delivered to Dockets Operations and
Media Management, M–30, Room PL–
401, Department of Transportation, 400
7th Street, SW., Washington, DC 20590.
Questions regarding the program or the
filing of proposals should be directed to
the Office of Aviation Analysis, at (202)
366–1053 or terri.bingham@dot.gov.14
Applicants will be able to provide
certain information relevant to their
proposals on a confidential basis. Under
the Department’s regulations, such
information is limited to commercial or
financial information that, if disclosed,
would either significantly harm the
competitive position of a business or
enterprise or make it more difficult for
the Federal Government to obtain
similar information in the future.
Applicants seeking confidential
treatment of a portion of their
applications must segregate the
confidential material in a sealed
envelope marked ‘‘Confidential
Submission of X (the applicant) in
Docket OST–2006–23671’’ and include
with that material a request in the form
of a motion seeking confidential
treatment of the material under 14 CFR
302.12 (Rule 12) of the Department’s
regulations. The applicant should
submit an original and two copies of its
motion and an original and two copies
of the confidential material in the sealed
envelope. The confidential material
Media Management Office. However, communities
using this option are required to submit one hard
copy of their application to the Department’s Office
of Aviation Analysis, X–50, Room 6401, 400 7th
Street, SW., Washington, DC 20590. Moreover, any
additional materials such as DVDs and videos
cannot be included in the docket management
system. To the extent that communities want to
include such information in their proposals, they
should provide that information to the
Department’s Office of Aviation Analysis, X–50,
Room 6401. Questions about electronic filing
procedures should be addressed to Renee Wright,
Dockets Operations and Media Management, at
(202) 366–9826.
14 To the extent that applicants are interested in
reviewing proposals that were submitted in prior
years, those applications are publicly available in
Docket OST–2002–11590, Docket OST–2003–
15065, Docket OST–2004–17343, and Docket OST–
2005–20127 for FY 2002, 2003, 2004, and 2005
grants, respectively, through the Department’s
docket management system at the following Web
address: https://dms.dot.gov/.
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should not be included in the original
or in any of the copies of the applicant’s
proposal that are submitted to the
Department. Those submissions,
however, should indicate clearly where
the confidential material would have
been inserted. If applicants invoke Rule
12, the confidential portion of the filing
will be treated as confidential pending
a final determination. All confidential
material must also be received by April
7, 2006.
Second, in order to comply with this
year’s Grants.gov initiative, a mandate
of the President’s Management Agenda,
all applicants must also submit form
SF424, Application for Federal
Domestic Assistance, found on https://
www.grants.gov. In this regard,
applicants should be aware that they
must complete a one-time registration
process in order to submit the SF424
application, and the registration process
can take approximately three to five
days to complete.
Therefore, communities intending to
file applications should complete the
registration process sooner rather than
later to ensure that they can meet the
application deadline. Appendix C
provides additional information with
respect to the registering process in
Grants.gov as well as instructions on
submitting SF424 once the registration
process has been completed. As noted
above, an application will not be
deemed complete unless the proposal
has been submitted to the Department’s
Docket Operations and Media
Management office referencing the
appropriate docket, an the SF424
application has been submitted through
Grants.gov by the April 7 deadline.
Application Review Information
The Department will carefully review
each proposal and the staff may contact
applicants if clarification is needed.
Communities may amend their
proposals at any time prior to the
Department’s selection of grant
recipients and those amendments will
be considered to the extent the review
process permits. The grant awards will
be made as quickly as possible so that
communities awarded grants can
complete the grant agreement process
and proceed to implement their plans.
Pending unforeseen circumstances, this
process should be completed before
September 16, 2006.
The Small Community Program
provides a valuable opportunity for
communities to gain assistance in
securing long-term, self-sustaining
improvements in their air service. It is
not intended to address short-term
anomalies affecting a community’s air
service. Nor is it intended as a
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continuing financial support program
for small community service.15 It does
represent an important opportunity for
the community as a whole to take a
creative approach to addressing its
service and fare issues and to partner
with the federal government to make
meaningful and lasting improvements in
its air service.
The statute directs the Department to
give priority consideration to those
communities or consortia where air
fares are higher than the average air
fares for all communities, the
community or consortium will provide
a portion of the cost of the activity from
local sources other than airport
revenues; the community or consortium
has established or will establish a
public-private partnership to facilitate
air carrier service to the public; the
assistance will provide material benefits
to a broad segment of the traveling
public whose access to the national air
transportation system is limited; and the
assistance will be used in a timely
fashion.
Applications will be evaluated against
these priority considerations. Given
previous experience, it is likely that
more applications will be received than
can be funded under the limitations of
the Small Community Program. With
this in mind, consistent with the criteria
stated above, the selection process will
take into consideration such factors as
the relative size of each applicant
community; the geographic location of
each applicant, including the
community’s proximity to larger centers
of air service and low-fare service
alternatives; the community’s existing
level of air service and whether that
service has been increasing or
decreasing, the number of passengers
expected to benefit from the proposed
transportation initiative, taking into
consideration the historic and current
demographic indicators for the
community, including population
growth, business activity, and per capita
income data; the community’s
demonstrated commitment to and
participation in the proposed grant
project; the grant amount requested
compared with total funds available for
all communities; the proposed federal
grant amount requested compared with
the local share offered; whether the
community has demonstrated a
reasonable plan to use the funds in a
timely manner; the uniqueness of
applicants’ claimed program(s); the
15 See 40 U.S.C. 41743(d)(1) which limits the use
of grant funds to no longer than three years to
support an air carrier’s operations, and section
41743(c)(4) which precludes communities from
seeking additional financial assistance for the same
project.
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uniqueness of the applicant’s proposed
solution(s) to solving the problem(s);
whether the proposed project addresses
the stated problem; and whether the
community’s proximity to an existing
grant recipient could impact its
proposal. Finally, we will consider
whether the applicant community has
previous received a grant award under
this program.
Full community participation is a key
goal of this program as demonstrated by
the statute’s focus on local contributions
and active participation in the project.
Therefore, applications that demonstrate
broad community support will be given
additional favorable consideration. For
example, communities providing higher
levels of cash contributions from other
than airport revenues will also be
accorded additional favorable
consideration. Communities that
provide multiple levels of
contributions—cash and in-kind
contributions—can also receive
additional consideration. Similarly,
communities that demonstrate historic
and/or active participation in the
proposed air service project will be
accorded additional consideration.
Favorable consideration will also be
given to those proposals that offer
innovative solutions to the
transportation issues facing the
community. Small communities have
faced many problems retaining and
enhancing their air services and in
dealing with their airfare issues.
Therefore, proposals that offer new,
creative approaches to addressing these
problems, to the extent that they are
reasonable, will be given additional
favorable consideration. Proposals that
provide a well-defined plan, a
reasonable timetable for use of the grant
funds, and a plan for continuation and/
or monitoring of the project after the
grant expires will also receive greater
consideration.
Less favorable consideration will be
accorded proposals that rely primarily
on contributions from already-existing
programs or projects (e.g., designating a
portion of an airport’s existing annual
marketing budget to the project), and
proposals that would merely shift the
costs of an ongoing or existing activity
from the state or local level to the
federal level. Contributions should
represent a new financial commitment
or new financial resources devoted to
attracting new or improved service, or
addressing specific high-fare or other
service issues, such as improving
patronage of existing services at the
airport.
As a general matter, given prior
experience, proposals that include
travel banks, particularly if they serve as
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the community’s primary financial
contribution to the project will be
considered with greater scrutiny. As
noted earlier, there is concern that such
arrangements do not come to fruition
and ultimately are not supported by the
carriers. Often travel banks have
involved ‘‘pledges’’ from the community
to use the air service, rather than cash
available for implementation of the
project. Therefore, any proposals that
include travel banks should also
provide evidence of their acceptance by
the selected or potential air or ground
service providers. Moreover, the
community should provide an
alternative financial plan for the project
in the event that the travel bank
ultimately is not viable.
An important objective of the Small
Community Program is to formulate and
implement solutions to transportation
problems of small communities which
could serve as models for other small
communities to improve and retain their
access to air service and to the nation’s
air transportation system. We recognize
that communities in different parts of
the country do not necessarily face the
same challenges with respect to their air
services and airfares. Therefore, subject
to the quality of the proposals submitted
in meeting the evaluation criteria and
the funding and overall community
participation constraints of the program,
to the extent possible, our goals will be
to select proposals that will (a) benefit
communities in all areas of the United
States and its territories; (b) benefit
small communities of all sizes, ranging
from very small to those that qualify as
small hubs and are eligible for
participation in the program under the
statute; 16 (c) promote regional solutions
to air service issues, where appropriate;
(d) include a variety of different types
of projects; and (e) address different air
service and/or airfare issues.
Given the competitive nature of the
grant process, the Department does not
intend to meet with grant applicants
with respect to their grant proposals.
The Department’s selection of
communities for grant awards will be
based on the community’s written
submissions to the Department.
hsrobinson on PROD1PC71 with NOTICES
Award Administration Information
The Department will announce its
grant selections by Order, which will be
16 In this regard, we recognize that communities
served by small hub airports generally have
significant levels of service by a number of airlines,
and thus, would not meet the ‘‘insufficient service’’
criteria of the statute. Therefore, absent evidence to
the contrary, we would give more favorable
consideration to proposals involving small hub
airports where the community has demonstrated
that its proposal meets the ‘‘higher than average
airfares’’ requirement of the statute.
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served on each grant recipient, all other
applicants, and all parties served with
this order. It will also be published in
the Federal Register and posted on the
Department’s webpage.
Communities awarded grants will be
expected to execute a grant agreement
with the Department before they begin
to spend funds under the grant award.
Grant funds will be provided on a
reimbursable basis only and only for
expenses incurred and billed during the
period that the grant agreement is in
effect. Applicants therefore should not
assume they have received a grant, nor
obligate or spend local funds prior to
receiving and fully executing a grant
agreement with the Department under
this program. Expenditures made prior
to the execution of a grant agreement,
including costs associated with
preparation of the grant applicant, will
not be reimbursed. Moreover, there are
numerous assurances that are required
to be made and honored when federal
funds are awarded. All communities
receiving a grant under the Small
Community Program will be required to
accept the responsibilities of these
assurances, and to execute the
assurances when they execute their
grant agreements. Copies of the
applicable assurances are available for
review on the Department’s webpage at
https://ostpxweb.dot.gov/aviation/X50%20Role_files/
smallcommunity.htm.17
The grant agreements between the
Department and selected communities
will require quarterly reports on the
progress of implementation of the grant
project, as well as the submission on a
quarterly or other time-specific basis of
additional material relevant to the grant
project, such as copies of advertising
and promotional material, and copies of
contracts with consultants and service
providers. In addition, communities
will be required to submit a final report
to the Department with respect to their
grant projects and 10 percent of the
17 The applicable regulations include, among
others: (1) 49 CFR Parts 21 and 27 and 14 CFR Parts
271 and 382—Nondiscrimination in federallyassisted programs of the Department of
Transportation—Effectuation of title VI of the Civil
Rights Act of 1964; 49 CFR Part 27—
Nondiscrimination on the basis of disability in
programs and activities receiving or benefiting from
Federal financial assistance; and 14 CFR Part 382—
Nondiscrimination on the basis of disability in air
travel; (2) 49 CFR Part 29—Government-wide
debarment and suspension (non-procurement) and
government-wide requirements for drug-free
workplace (grants); and (3) 49 CFR Part 20—New
restrictions on lobbying. The complete list of the
applicable assurances is on the cited webpage. The
assurances noted are for reference purposes only
and should not be included in the community’s
application. The assurances are part of the grant
agreement that will be sent to each grant recipient
and should be completed at that time.
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grant funds available will not be
reimbursed to the community until the
final report has been received.
Communities will be permitted to seek
reimbursement of project
implementation costs on a regular basis.
The frequency of such requests will be
established in the grant agreement,
which will be tailored to the specific
features of the community’s grant
project. In most cases, reimbursements
will be made on a monthly basis. In this
regard, the Department will provide the
grant recipient communities with
details and procedures for securing
reimbursements electronically.
This order is issued under authority
delegated in 49 CFR 1.56a(f).
Accordingly,
1. Community proposals for funding
under the Small Community Air Service
Development Program should be
submitted in Docket OST 2006–23671
no later than April 7, 2006; 18 and
2. This order will be published in the
Federal Register and also will be served
on the Conference of Mayors, the
National League of Cities, the National
Governors Association, the National
Association of State Aviation Officials
(NASAO), the Association of County
Executives, the American Association of
Airport Executives (AAAE), and the
Airports Council International-North
America (ACI), and posted on https://
www.grants.gov.
By:
Michael W. Reynolds,
Acting Assistant Secretary for Aviation and
International Affairs.
An electronic version of this
document is available on the World
Wide Web at https://www.dms.dot.gov.
Appendix A
Section 41743 Airports not Receiving
Sufficient Service
(a) Small community air service
development program. The Secretary of
Transportation shall establish a program that
meets the requirements of this section for
improving air carrier service to airports not
receiving sufficient air carrier service.
(b) Application required. In order to
participate in the program established under
subsection (a), a community or consortium of
communities shall submit an application to
the Secretary in such form, at such time, and
containing such information as the Secretary
may require, including—
(1) An assessment of the need of the
community or consortium for access, or
18 Proposals must be postmarked no later than
April 7, 2006. The original application should be
submitted on 8.5″ x 11″ paper, in dark ink (not
green) and without tabs to facilitate inclusion in the
Department’s docket management system. The
remaining copies may be tabbed and include use of
any color ink.
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improved access, to the national air
transportation system; and
(2) An analysis of the application of the
criteria in subsection (c) to that community
or consortium.
(c) Criteria for participation. In selecting
communities, or consortia of communities,
for participation in the program established
under subsection (a), the Secretary shall
apply the following criteria:
(1) Size. For calendar year 1997, the airport
serving the community or consortium was
not larger than a small hub airport, and—
(A) Had insufficient air carrier service; or
(B) Had unreasonably high air fares.
(2) Characteristics. The airport presents
characteristics, such as geographic diversity
or unique circumstances, that will
demonstrate the need for, and feasibility of,
the program established under subsection (a).
(3) State Limit. Not more than 4
communities or consortia of communities, or
a combination thereof, from the same State
may be selected to participate in the program
in any fiscal year.
(4) Overall limit. No more than 40
communities or consortia of communities, or
a combination thereof, may be selected to
participate in the program in each year for
which funds are appropriated for the
program.
No community, consortia of communities,
no combination thereof may participate in
the program in support of the same project
more than once, but any community,
consortia of communities, or combination
thereof may apply, subsequent to such
participation, to participate in the program in
support of a different project.
(5) Priorities. The Secretary shall give
priority to communities or consortia of
communities where—
(A) Air fares are higher than the average air
fares for all communities;
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(B) The community or consortium will
provide a portion of the cost of the activity
to be assisted under the program from local
sources other than airport revenues;
(C) The community or consortium has
established, or will establish, a public-private
partnership to facilitate air carrier service to
the public;
(D) The assistance will provide material
benefits to a broad segment of the traveling
public, including business, educational
institutions, and other enterprises, whose
access to the national air transportation
system is limited; and
(E) The assistance will be used in a timely
fashion.
(d) Types of assistance. The Secretary may
use amounts made available under this
section—
(1) To provide assistance to an air carrier
to subsidize service to and from an
underserved airport for a period not to
exceed 3 years;
(2) To provide assistance to an underserved
airport to obtain service to and from the
underserved airport; and
(3) To provide assistance to an underserved
airport to implement such other measures as
the Secretary, in consultation with such
airport, considers appropriate to improve air
service both in terms of the cost of such
service to consumers and the availability of
such service, including improving air service
through marketing and promotion of air
service and enhanced utilization of airport
facilities.
(e) Authority to make agreements. (1) In
general. The Secretary may make agreements
to provide assistance under this seciton.
(2) Authorization of appropriations. There
is authorized to be appropriated to the
Secretary $20,000,000 for fiscal year 2001,
$27,500,000 for each of fiscal years 2002 and
2003, and $35,000,000 for each of fiscal years
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5713
2004 through 2008 to carry out this section.
Such sums shall remain available until
expended.
(f) Additional action. Under the program
established under subsection (a), the
Secretary shall work with air carriers
providing service to participating
communities and major air carriers (as
defined in section 41716(a)(2)) serving large
hub airports to facilitate joint-fare
arrangements consistent with normal
industry practice.
(g) Designation of responsible official. The
Secretary shall designate an employee of the
Department of Transportation—
(1) To function as a facilitator between
small communities and air carriers;
(2) To carry out this section;
(3) To ensure that the Bureau of
Transportation Statistics collects data on
passenger information to assess the service
needs of small communities;
(4) To work with the coordinate efforts
with other Federal, State, and local agencies
to increase the viability of service to small
communities and the creation of aviation
development zones; and
(5) To provide policy recommendations to
the Secretary and Congress that will ensure
that small communities have access to
quality, affordable air transportation services.
(h) Air Service Development Zone. The
Secretary shall designate an airport in the
program as an Air Service Development Zone
and work with the community or consortium
on means to attract business to the area
surrounding the airport, to develop land use
options for the area, and provide data,
working with the Department of Commerce
and other agencies.
BILLING CODE 4910–62–M
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Appendix C—Filing Form SF424—
Application for Federal Domestic
Assistance
Grants.gov, originally called the E-Grants
Initiative, a mandate of the President’s
Management Agenda, states,
Agencies will allow applicants for Federal
Grants to apply for and ultimately manage
grant funds online through a common web
site, simplyfing grants management and
eliminating redundancies.
Public Law 106–107, the legislation that
mandates streamlining and improved
accountability for Federal grants, and related
references in the President’s Management
Agenda, requires that Federal grant
management activities be standardized. As a
result, the Office of Management and Budget
recently issued a policy directive requiring
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that all Federal agencies post grant
opportunities online as of November 7, 2006.
Therefore, this year, to comply with the
Grants.gov initiative, the Department will
begin accepting grant applications via
https://www.grants.gov. In order for an
application to be considered in the Small
Community Air Service Development
Program, the community must submit its
application of form SF424—Application for
Federal Domestic Assistance—via https://
www.grants.gov. Below are instructions on:
• How to FIND the SCASDP application
online at https://www.grants.gov;
• How to register to submit applications;
and
• How to APPLY or complete and submit
the application form SF424.
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Frm 00078
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Finding the SCASDP Grant Opportunity on
Grants.Gov
Start your search for the Small Community
Air Service Development Program grant
opportunity by entering https://
www.grants.gov and clicking the Finding
Grant Opportunities tab at the top of the
page. In the search box titled ‘‘Search for
Catalog for Federal Domestic Assistance
(CFDA) number’’ enter 20.930. You will see
a summary of the SCASDP requirements.
Register To Submit Applications
Prior to applying, you must register to
create a Grants.gov account and receive
approval from your organization to submit
applications. Detailed instructions on how to
complete the registration is available at
https://www.grants.gov.
1. Register your Organization
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BILLING CODE 4910–62–C
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• Obtain a Data Universal Number System
(DUNS) number
• Register the organization with a Central
Contractor Registry (CCR)
2. Register yourself as an Authorized
Organization Representative (AOR)
• Obtain a username and password
• Register with Grants.gov
3. Get Authorized as an AOR by your
Organization
• Obtain E-Business Point of Contact
authorization
Applying for the Grant
Once you have located the Small
Community Air Service Development
Program grant opportunity, you will need to
enter the Funding Opportunity and/or the
Catalog of Federal Domestic Application
(CFDA) number 20.930 to access the
application package and instructions online.
However, you must complete the registration
process before applying (see B above). In
order to view the application package and
instructions, you will also need to download
and install the PureEdge Viewer.
1. Download PureEdge Viewer [Required]
2. Download an Application Package
3. Complete an Application Package
4. Submit an Application Package
Enter the SCASDP CFDA number (20.930)
to download the application form SF424 and
begin the process to apply for the grant
through https://www.grants.gov. It is a 4-step
process:
Apply Step 1: Download the Grant
Application Form SF424 and Application
Instructions
You will need to enter the Funding
Opportunity and/or CFDA number to access
the application package and instructions.
Download and install the PureEdge Viewer
(available on https://www.grants.gov). This
small, free program will allow you to access,
complete, and submit applications
electronically and securely.
Apply Step 2: Complete the Selected Grant
Application Package
You can complete the application offline—
giving you the flexibility to complete grant
applications when and where you want. It
also enables you to easily route it through
your organization for review, or completion
of various components, just like any other
email attachment.
Apply Step 3: Submit a Completed Grant
Application Package
You will submit the application online.
When you are ready to submit the completed
application form SF424, you must have
already completed the Get Started Steps. You
will then need to log into https://
www.grants.gov using the username and
password you entered when you registered
with a Credential Provider to submit the
application.
Note: To submit electronic grant
applications, you must be fully authorized by
your organization, i.e., been given status as
an Authorized Organization Representative
(AOR). You can easily check your status by
logging into https://www.grants.gov by
accessing the Applicant link at the top of the
screen. If you have registered your user name
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15:26 Feb 01, 2006
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and password with Grants.gov, you will be
able to log in. After logging in, access the
‘Manage Profile’ link. Your status, located
below your title, will state: ‘‘AOR—request
sent’’ or ‘‘AOR—Approved’’. If your status is
‘AOR—request sent’, you cannot yet submit
grant applications. You may correct this by
contacting your E-Business Point of Contact
(POC). He or she will need to login by
accessing the Ebiz link at the top of the
screen. They will need your organization’s
DUNs number and MPIN, to approve you as
an AOR.
Telephone: (801) 963–0182. The FHWA
Utah Division Office’s normal business
hours are 7 a.m. to 4:30 p.m. (mountain
time). You may also contact Mr. Shawn
Zinszer, Chief Intermountain Regulatory
Office, U.S. Army Corps of Engineers,
533 West 2600 South, Suite 150,
Bountiful, Utah 84010 Telephone: (801)
295–8380 or, Mr. John Thomas,
Director, Legacy Parkway Project, Utah
Department of Transportation, 4001
South 700 East, Suite 450, Salt Lake
City, UT 84107, Telephone, (801) 924–
Apply Step 4: Track the Status of a
2070.
Completed Grant Application Package
SUPPLEMENTARY INFORMATION: Notice is
Once you have submitted an application,
you can check the status of your application
hereby given that the FHWA and other
submission. You can identify your
Federal agencies have taken final agency
application by CFDA Number, Funding
actions by issuing licenses, permits, and
Opportunity Number, Competition ID, and/or approvals for the following highway
Grants.gov Tracking Number.
project in the State of Utah: The Legacy
[FR Doc. 06–983 Filed 2–1–06; 8:45 am]
Parkway Project, a four-lane, limitedBILLING CODE 4910–62–M
access, divided highway extending 14
miles from Interstate 215 (I–215) in Salt
Lake City north to I–15 and U.S.
DEPARTMENT OF TRANSPORTATION
Highway 89 (US–89) in Farmington;
FHWA Reference Number: SP–0067(1)0.
Federal Highway Administration
The primary purpose of the Legacy
Notice of Final Federal Agency Actions Parkway project is to help meet existing
and projected travel demand through
on Proposed Highway in Utah
2020 in the North Corridor by providing
AGENCY: Federal Highway
additional north-south transportation
Administration (FHWA), DOT; Army
capacity. The North Corridor, located in
Corps of Engineers, DOD.
Salt Lake and Davis Counties, Utah, is
ACTION: Notice of Limitation on Claims
an area constrained by the Great Sale
for Judicial Review of Actions by
Lake to the west and the Wasatch
FHWA, United States Army Corps of
Mountains to the east, and bounded by
Engineers (USACE), DOD, and Other
400 South in Salt Lake City to the south
Federal Agencies.
and 200 North in Kaysville to the north.
The actions by the Federal agencies, and
SUMMARY: This notice announces actions
the laws under which such actions were
taken by the FHWA, USACE, and other
taken, are described in the Final
Federal agencies that are final within
Supplemental Environmental Impact
the meaning of 23 U.S.C. 139(l)(1). The
Statement (FSEIS) for the project,
actions relate to a proposed highway
approved on October 19, 2005, in the
project, Legacy Parkway Project from
FWHA Record of Decision (ROD) issued
Interstate 215 (I–215) in Salt Lake City
on January 10, 2006, in the USACE of
north to U.S. Highway 89 (US–89) in
Engineers ROD issued on January 18,
Farmington, in the Counties of Salt Lake
2006, and in the Department of Army
and Davis, State of Utah. Those actions
Permit Number 2003350493 effective on
grant licenses, permits, and approvals
January 20, 2006, and in other
for this project.
documents in the FHWA and USACE
DATES: By this notice, the FHWA is
administrative record. The FSEIS,
advising the public of final agency
RODs, and other documents in the
actions subject to 23 U.S.C. 139(l)(1). A
FHWA and USACE administrative
claim seeking judicial review of the
record are available upon written
Federal agency actions on the highway
request from the FHWA or the Utah
project will be barred unless the claim
Department of Transportation at the
is filed on or before August 1, 2006. If
addresses provided above. The FSEIS,
the Federal law that authorizes judicial
the FHWA ROD, the USACE ROD and
review of a claim provides a time period the Department of the Army Permit can
of less than 180 days for filing such
be viewed and downloaded from the
claim, then that shorter period still
Utah Department of Transportation
applies.
project Web site at: https://
udot.utah.gov/index.php/m=c/tid=181].
FOR FURTHER INFORMATION CONTACT:
The FSEIS can also be viewed at public
Gregory S. Punske, P.E., Environmental
libraries in the project area. Copies of
Program Manager, Federal Highway
the FHWA ROD and the USACE permit
Administration, 2520 West 4700 South,
are available upon written request from
Suite 9A, Salt Lake City, Utah 84118,
PO 00000
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Agencies
[Federal Register Volume 71, Number 22 (Thursday, February 2, 2006)]
[Notices]
[Pages 5705-5716]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 06-983]
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DEPARTMENT OF TRANSPORTATION
Office of the Secretary
Notice of Order Soliciting Community Proposals
AGENCY: Department of Transportation
ACTION: Notice of Order Soliciting Community Proposals (Order 2006-1-
13) Docket OST-2006-23671.
-----------------------------------------------------------------------
SUMMARY: The Department of Transportation is soliciting proposals from
communities or consortia of communities interested in receiving a grant
under the Small Community Air Service Development Program. The full
text of the Department's order is attached to this document. This year,
there are two mandatory requirements for filing of applications, both
of which must be completed for a community's application to be deemed
timely and considered by the Department. The first requirement is the
submission of the community's proposal to Dockets, as described below,
the second requirement is the filing of SF424 through https://
www.grants.gov.
DATES: Grant Proposals as well as the SF424 should be submitted no
later than April 7, 2006.
ADDRESSES: Interested parties should submit an original and two copies
of their proposals bearing the title ``Proposal under the Small
Community Air Service Development Program, Docket OST-2006-23671, as
well as the name of the applicant community or consortium of
communities, the legal sponsor, and the applicant's DUNS number to
Dockets Operations and Media Management, M-30, Room PL-401, Department
of Transportation, 400 7th Street, SW., Washington, DC 20590. The SF424
is submitted electronically through https://www.grants.gov.
FOR FURTHER INFORMATION CONTACT: Aloha Ley, Office of Aviation
Analysis, 400 7th Street, SW., Washington, DC 20590, (202) 366-2347.
Dated: January 20, 2005.
Michael W. Reynolds,
Acting Assistant Secretary for Aviation and International Affairs.
Issued by the Department of Transportation on the 20th day of
January, 2006.
In the Matter of Grant Applications: Small Community Air Service
Development Program; Under 49 U.S.C. 41743 et seq.
Order Soliciting Community Grant Proposals
Overview
By this order, the Department invites proposals from communities
and/or consortia of communities interested in obtaining a federal grant
under the Small Community Air Service Development Program (Small
Community Program) to address air service and airfare problems in their
communities. Proposals should be submitted in the above-referenced
docket no later than April 7, 2006. Communities should be aware of a
new application procedure which requires that applicants also submit
form SF424, a standard federal government application form, in
Grants.gov. An application will not be deemed complete until and unless
all required documents are filed. (See Appendix C for additional
information on filing form SF424.)
Funding Opportunity
The Small Community Program was established under the Wendell H.
Ford Aviation Investment and Reform Act for the 21st Century (AIR-21),
Public Law 106-181, as a three-year ``pilot'' program and was designed
to provide financial assistance to small communities to help them
enhance their air service. The Department provides this assistance in
the form of financial grants. The program was not funded in its first
year, fiscal year 2001, but was funded and implemented in each of
fiscal years 2002 and 2003. The Vision 100-Century of Aviation
Reauthorization Act, Public Law 108-176 (Vision 100), reauthorized the
program for an additional five years, through fiscal year 2008, and
eliminated the ``pilot'' status of the program. The program has been
funded for FY 2004, FY 2005 and FY 2006.
Under the statute, the Secretary may award a maximum of 40 grants
each year that the program is funded, although no more than four grants
each year may be to communities in the same state.\1\ The grants may be
made to single communities or to consortia of communities.\2\
---------------------------------------------------------------------------
\1\ See 49 U.S.C. 41743. A copy of the statute is provided in
Appendix A.
\2\ The statute specifies a consortium of communities should be
considered as a single entity; therefore, throughout this order we
use ``community'' to include consortia.
---------------------------------------------------------------------------
Communities that are eligible to participate in the grant program
are those communities that are served by an airport that was not larger
than a small hub airport for calendar year 1997 and had insufficient
air service or unreasonably high airfares.\3\ Communities that do not
currently have commercial air service are also eligible, but where they
seek grant funds to secure air service under the grant program they
must have met or be able to meet in a reasonable period all necessary
requirements of the Federal Aviation Administration for the type of
service involved in their grant proposals.
---------------------------------------------------------------------------
\3\ A small hub is defined as an airport that has at least
0.05%, but less than 0.25%, of the annual passenger boardings in the
United States.
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In selecting communities to participate in the program, the statute
directs the Secretary to give priority to those communities where: (a)
Average air fares are higher than the air fares for all communities;
(b) a portion of the cost of the activity proposed by the community is
provided from local, non-airport-revenue resources; (c) a public-
private partnership has been or will be established to facilitate air
carrier service to the public; (d) improved service will bring the
material benefits of scheduled air transportation to a broad section of
the traveling public, including businesses, educational institutions,
and other enterprises whose access to the National air transportation
system is limited; and (e) the assistance will be used in a timely
fashion.
The Small Community Program provides considerable flexibility in
how funds can be used to implement a community's grant proposal. (See
49 U.S.C. 41743(d).) For example, grant funds can be used to cover the
expenses of any new advertising or promotional activities related to
improving the air service to the community. Funds may also be used for
new studies designed to measure air service deficiencies, or to measure
traffic loss or diversion to other communities. Another example would
be using the funds for the employment or use of new, dedicated air
service development staff on a long-term basis, advertising or public
relations agencies, universities, and consulting firms. In addition,
grant funds may also be used for financial incentives, including
subsidy or revenue guarantees, to air carriers in conjunction with
their
[[Page 5706]]
provision of air service or the fare levels charged, or to ground
service providers in providing access to air transportation
services.\4\ The use of grant funds for air carrier subsidy is limited
to a maximum period of three years.
---------------------------------------------------------------------------
\4\ Qualified expenses are set forth in the Department's
regulations, 14 CFR 18.22 and Office of Management and Budget
Circular A-87. See www.whitehouse.gov/omb/circulars/a0087/
a0087.html.
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While the statute does not preclude communities from including
capital expenditures, such as terminal/runway improvements or airport
equipment in their grant requests, communities are encouraged not to do
so. Because the Department generally receives many more applications
than it can accommodate under the limitations of the statute and there
are other government programs more suited and specifically designed for
capital expenditures, the Department will treat such requests with
lower priority. Applicants may pursue capital improvement projects
separately in conjunction with their grant proposals under the Small
Community Program.\5\
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\5\ Each applicant is responsible for assuring that no part of
its proposal would, if accepted, violate any of the assurances
associated with other federal grants, including, but not limited to,
all Airport Improvement Program assurances regarding use of airport
revenues.
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The statute also provides that the Department will designate one of
the grant recipients as an Air Service Development Zone. Communities
seeking to attract business to the area surrounding the airport and/or
to develop land use options for the area as set forth in the statute
are invited to compete for the designation. The Department will assist
the designated community in establishing contacts with and obtaining
advice and assistance from appropriate government agencies, including
the Department of Commerce as well as other offices within the
Department of Transportation, and in identifying other pertinent
resources which may aid the community in its efforts to attract
businesses and to formulate land use options for the airport vicinity.
However, upon receiving the designation, it will be the responsibility
of the community to develop, implement and manage activities related to
the air service development zone initiative. There are no additional
funds associated with this designation. Furthermore, communities
seeking this designation will receive no special benefit or preference
in receiving a grant under the Small Community Program.
Applicant communities interested in this designation should clearly
indicate that interest in their applications and should provide
detailed information in support of their selection for this designation
in a separate section of their grant proposals. (See Application and
Submission Section below, for more details on the application
requirements for this designation.) Supporting information will include
property and facilities available for the air service development zone,
demographic information regarding the community and its environs, and
the community's goals and preliminary plans for its air service/
economic development initiatives.
In each of the years that the program has been funded, the
Department received many more applications than could be accommodated
under the limitations of the statute. In fiscal year 2002, the
Department received 180 proposals and made 40 grant awards; in fiscal
year 2003, the Department received 170 applications and made 36 grant
awards; in fiscal year 2004, the Department received 108 applications
and made 40 grant awards; and in fiscal year 2005, the Department
received 84 applications and made 35 grant awards.\6\
---------------------------------------------------------------------------
\6\ See Orders 2002-6-14 (June 26, 2002), 2002-12-16 (December
20, 2002) (both in Docket OST-2002-11590); Orders 2003-9-14
(September 17, 2003), 2003-9-25 (September 30, 2003) (both in Docket
OST-2003-15065); Order 2004-8-30 (August 30, 2004) in Docket OST-
2004-17343; and Order 2005-8-19 (August 25, 2005) in Docket OST-
2005-20127 for a complete description of the Department's grant
awards over the past four years.
---------------------------------------------------------------------------
Award Information
The Department of Transportation's budget appropriation for 2006 as
set forth in the Transportation, Treasury, Housing and Urban
Development, the Judiciary, the District of Columbia, and Independent
Agencies Appropriations Act of 2006, Public Law 109-115, November 30,
2005, provides funding of up to $10 million for the program in fiscal
year 2006.\7\
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\7\ This funding is subject to a 1% across-the-board rescission.
Furthermore, the program's funding for this year may be affected by
a provision in Public Law 109-115 that provides the Secretary with
authority to transfer funds from any program within or administered
by the Office of the Secretary to the Essential Air Service (EAS)
program if the EAS program does not have sufficient funds to meet
its statutory obligations. In all previous years, the program has
been funded at a level of $20 million per year. In some cases, that
funding was also subject to a slight across-the-board rescission.
---------------------------------------------------------------------------
The financial assistance under this program is in the form of
financial grants. As mentioned above, the statute limits the Department
to a maximum of 40 grant awards (with a maximum of four grants per
state) in each year that the program is funded. It does not prescribe
any limits on the amounts of individual awards. The grant amounts
awarded will vary depending upon the features and merits of the
proposals selected. Over the past four years, the Department's
individual grants have ranged from $20,000 to nearly $1.6 million.
The grant funds awarded do not need to be expended in the fiscal
year that they are awarded. Nor do they need to be used within a one-
year period. Authorized grant projects may include activities that
extend over a multi-year period under a single grant award to the
extent reasonable and practicable. Generally speaking, grant awards
have not exceeded a three-to-four-year period.
Grant funds to the selected communities are available on a
reimbursable basis under which the community expends funds related to
implementation of the approved grant project, and then seeks
reimbursement from the Department at regular intervals (usually
monthly) for project expenditures under the terms set forth in the
Grant Agreement between the Department and the selected community.
Eligibility Information
Applicant Eligibility
Communities that are eligible to participate in the grant program
are those communities that are served by an airport that was not larger
than a small hub airport for calendar year 1997 and had insufficient
air service or unreasonably high airfares.\8\ Communities that do not
currently have commercial air service are also eligible, but where they
seek grant funds to secure air service under the grant program, they
must have met or be able to meet in a reasonable period all necessary
requirements of the Federal Aviation Administration for the type of
service involved in their grant proposals. Communities served by medium
and large hubs are not eligible to apply under this program.
---------------------------------------------------------------------------
\8\ The hub classifications are based on the Federal Aviation
Administration's CY 1997 enplanement data.
---------------------------------------------------------------------------
The law does not exclude small communities that currently receive
subsidized air service under the Essential Air Service (EAS) program
from seeking funds under the Small Community Program. A number of EAS-
subsidized communities applied in past years and the Department has
made grant awards to some of those applicants. When analyzing grant
proposals, the Department will consider the fact that subsidized EAS
communities are already receiving federal funding to support their air
[[Page 5707]]
services under the EAS program, and that Vision 100 made several
substantive changes to the EAS program, including provision for an
``alternate'' EAS program that provides EAS-subsidized communities many
of the same options for addressing their air service issues as those
generally available under this program.\9\ Furthermore, EAS-subsidized
communities should be aware that we will not award grants to
communities whose proposals are inconsistent with long-standing EAS
policies, including proposals that contemplate air service to a second
hub where such service is not now authorized under the community's EAS
determination.
---------------------------------------------------------------------------
\9\ Public Law 108-176, Sec. 405 amending 49 U.S.C. Section
41745. Pursuant to Vision 100, on July 27, 2004, the Department
announced the ``Establishment of Alternate Essential Air Service
Pilot Program'' and provided procedures for communities interested
in participating in this component of the EAS program. See order in
Docket OST-2004-18715.
---------------------------------------------------------------------------
Communities that were awarded grants in previous years that want to
apply for a grant this year should be aware that they are precluded
from seeking funds for projects that have already received an award
under the Small Community Program. However, previous grant recipients
may submit grant proposals and seek funds for new projects in a
different category. For example, if a community had received a grant
for a market study, it could not apply for a new grant for another
market study; however, the community could apply for funding for a
revenue guarantee for new air service. That said, the funds for this
program are very limited and the interest in the program has far
exceeded both the funds available and the number of communities that
can participate under the statute in any one year. The fact that a
community has already received one or more grants will be a
consideration when comparing its new proposal with those of other
applicant communities.
Communities that propose to use the grant funds to support service
in a city-pair market that is already served on a non-subsidized basis
should be prepared to explain in detail why the existing service is
insufficient or unsatisfactory, or provide other compelling information
to support their proposal. This information is necessary for the
Department to consider the competitive implications of subsidizing one
carrier's service over service that is not subsidized. The Department
is concerned that, while bringing new competition may benefit the
community in the short term, a market may prove insufficient to support
two carriers and service may deteriorate to the point that the
community's service in the market is less beneficial than before. Thus,
the Department may look skeptically at proposals that do not fully
address these concerns.
The statute permits individual communities and consortia of
communities to apply for grant awards under this program. In some
instances in the past, several communities in a state have filed a
single application as a ``consortium'' while in effect the application
is a collection of individual community requests that involve different
projects. We do not view this as a consortium. Rather, an application
representing a consortium would be one that facilitates efforts of
communities working together toward a joint grant project. For example,
several communities surrounding an airport may apply together to
improve air services at that airport.
The Department expects that communities will file only one
application for a grant. In the past, some communities have filed both
individual applications and requests as part of a consortium. In many
cases these applications have involved the same project at the same or
different funding levels. We will not consider the stand-alone
application if a community is also submitting a largely identical
request as part of a consortium. To the extent that a community files
separately and as part of a consortium for complementary projects--for
example, one request for funding a revenue guarantee and one for
marketing--we will consider such proposals. Communities should be
aware, however, that such multiple applications will not necessarily
improve their chances for receiving a grant, and the Department cannot
make multiple awards involving the same community in any one fiscal
year.
Cost Sharing/Local Contributions
The statute does not require communities to contribute toward a
grant project, although those that do contribute from local sources
other than airport revenues are accorded priority consideration. One
core objective of the Small Community Program is to promote community
involvement in addressing air service/air fare issues through public/
private partnerships. As a financial stakeholder in the process, the
community gains greater control over the type, quality, and success of
the air service initiatives that will best meet its needs, and
demonstrates a greater commitment towards achieving the stated goals.
The Department has historically received many more applications than
can be accommodated and nearly all of those applications have proposed
a community financial contribution to the project. Thus, proposals that
do not propose a community financial contribution will be at a
competitive disadvantage.
For those communities that propose to contribute to the grant
project, that contribution can be in the following forms:
Cash from non-airport revenues: This cash contribution can include
funds from the State, the County or the local government, and/or from
local businesses, or other private organizations in the community. The
``value'' of donated advertising will not be considered a ``cash''
contribution.
Cash from airport revenues: This includes contributions from funds
generated by airport operations. Such contributions do not accord
priority consideration for selection and FAA policies preclude the use
of airport revenues for revenue guarantees to airlines.
In-Kind Contributions from the airport: This can include such items
as waivers of landing fees, terminal rents, fuel fees, and/or parking
fees.
In-Kind Contributions from the community: This can include such
items as donated advertising from media outlets, catering services for
inaugural events, or in-kind trading, such as advertising in exchange
for free air travel. Travel banks and travel commitments/pledges are
regarded as an in-kind contribution. Similarly, reduced fares by
airlines will be considered an in-kind contribution.
Only cash contributions will be eligible for reimbursement. ``In-
kind'' contributions involve services or benefits that do not include a
cash transaction between the parties. Because grant funding under the
Small Community Program is provided on a reimbursable basis, the
Department cannot reimburse the grant sponsor for ``in-kind'' or non-
cash contributions. Therefore, in-kind contributions are not considered
as part of the community's cash financial contribution to the project.
Of course, communities are free to include in-kind contributions in
their proposals. In fact, communities are encouraged to offer in-kind
inducements as an extra incentive to facilitate air service/fare
improvements. While these contributions will not be considered as part
of the community's cash contribution toward the project on which
reimbursements are made, they will be considered as illustrative of the
community's overall commitment to the proposed grant project. If there
is any question about whether a proposed contribution would be
considered as
[[Page 5708]]
``in-kind'' or cash, the applicant should contact the Department before
submitting its proposal.
Contributions should represent a new financial commitment or new
financial resources devoted to attracting new or improved service, or
addressing specific high-fare or other service issues, such as
improving patronage of existing service at the airport. Contributions
from already-existing programs or projects (e.g., designating a portion
of an airport's existing annual marketing budget to the project) are
considered less favorably than contributions for new and innovative
programs or projects.
Applicant communities should also note that, as part of the grant
agreement between the Department and the community, the community must
fulfill its proposed financial contribution to the project. Community
participation with respect to all aspects of the proposal, including
the financial aspects, is critical to the success of the authorized
project initiative. As with the grant awards in past years, receipt of
the full federal contribution awarded will thus be linked to the
community's fulfillment of its financial contribution. Furthermore,
communities cannot propose a certain level of cash contribution from
non-airport sources, and subsequent to being awarded a grant, seek to
substitute or replace that contribution with either ``in-kind''
contributions or contributions from airport revenues, or both. Given
the statute's priority for contributions from non-airport sources and
the competitive nature of the selection process, a community's grant
award could be reduced or terminated altogether if it is unable to
replace the committed funds from non-airport revenue sources.
Application and Submission Information
Types of Projects and Application Content
The statute is very general about the types of projects that can be
authorized in order to provide communities as much flexibility as
possible to address air service and airfare issues. Moreover, as each
community's circumstances may be different, applicants will have some
latitude in identifying their own objectives and developing strategies
for accomplishing them. However, the purpose of this program is to
provide additional financial support to improve air service at small
communities. It is not intended to shift existing expenditures for this
purpose from the local or state level to the federal level.
A core objective of the Small Community Program is to help
communities secure enhancements that will be responsive to their air
transportation/air fare needs on a long-term basis after the financial
support of the grant has discontinued. There are many ways that a
community might enhance its current air service or attract new service,
such as: by promoting awareness among residents of locally available
service; by attracting a new carrier through revenue guarantees or
operating cost offsets: by offering an incumbent carrier financial
incentives to lower its fares, increase its frequencies, add new
routes, or deploy more suitable aircraft, including upgrading its
equipment from turboprops to regional jets; by combining traffic
support from surrounding communities with regionalized service through
one airport; or by providing local ground transportation service to
improve access to air service to the community and the surrounding
area. These serve merely as illustrative examples and are not meant to
comprise a list of the types of projects that are considered most
favorably.
Consequently, communities are encouraged to be innovative and to
consider a wide range of initiatives in developing their proposals. At
the same time, general, vague, or unsupported proposals will be to be
entertained. The more highly defined and focused the proposal, the more
likely it will received favorable consideration, particularly given the
statute's focus on a timely used of the federal grant funding. (48
U.S.C. 41743(c)(5)(E)).
At a minimum, proposals must provide the following information:
A description of the community's existing air service,
including the carrier(s) providing service, service frequency, direct
and connection destination offered, available fares, and equipment
types.
A synopsis of the community's historical service,
including destination, traffic levels, service providers, and any
extenuating factors that might have affected traffic in the past or
that can be expected to influence service needs in the near to
intermediate terms.
A description of the community's air service needs or
deficiencies, including any major origin/destination markets not now
served or not served adequately. In addition, communities are free to
submit any information about their fare situation that they deem
relevant to consideration of their grant request.
A strategic plan for meeting those needs under the Small
Community Program, including the community's specific project goal(s)
and detailed plan for attaining the goal(s). Proposals should clearly
identify the target audience of each component of the proposed
transportation initiative, including all advertising and promotional
efforts. Proposals should also provide a realistic timetable for
implementation of the grant project. In this regard, the statute
including timely use of the grant funds as a priority consideration.
Consequently, communities must have a well-developed project plan and
detailed timetable for implementing that plan. In establishing the
timetable, however, communities should be realistic about their ability
to meet their project deadlines.\10\ Furthermore, proposals involving
new or improved service should include self-sufficiency of the service
as an integral part of the community's goal since, under the statute,
they cannot seek grant funding in subsequent year in support of the
same project. Therefore, it is important that communities seriously
consider the scale of their proposed projects in developing their
proposals and the timetable for achieving them. To the extent that a
propoed project is dependent upon or relevant to completion of other
federally funded capital improvement projects, the community should
provide a description of, and the construction time-line for, those
projects keeping in mind the new statutory requirement to use Small
Community Program funding in a timely manner.
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\10\ The projected timetable will be an integral part of the
grant agreements between the selected communities and the
Department. Therefore, there is no advantage to a community in
proposing an aggressive timetable that cannot be met, and there may
be disadvantages if the community find that it cannot meet its
timetable. Communities should carefully consider all factors
affecting implementation of their projects and develop realistic
timeframes for achieving those objectives, keeping in mind that
authorized projects generally have not exceeded three to four years.
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Further, when drafting a proposal, applicants should fully and
clearly outline the goals and objectives sought to be achieved, e.g.,
``to broaden the awareness by residents in the Tri-County area of the
operations provided by passenger carriers at the Tri-County airport,''
or ``to obtain new and affordable service to a hub airport in a direct
where there is no such service.'' When an application is selected,
these goals and objectives will be incorporated into the grant
agreement and shape its basic scope. Once an agreement is signed, if
circumstances change and an amendment is sought to allow for different
activities or a different approach, the Department will
[[Page 5709]]
look to whether the change being sought is consistent with those
fundamental project goals and objectives. Proposed changes that would
alter those fundamental project goals and objectives cannot be
authorized, because doing so would undermine the competitive nature of
the selection process.
A description of any public-private partnership that will
participate in the project. Full community involvement is a key aspect
of the Small Community Program. The statute gives a priority to those
communities that already have established, or will establish, a public-
private partnership to facilitate air service to the public. The
proposal should give a full description of the public-private
partnership that will participate in the community's proposal and how
the partnership will actively participate in implementing the proposed
project. In addition, applicants should identify each member of the
partnership, the role that each will play, and its specific
responsibilities in implementation of the project. If the application
does not include specific information on the partnership participation
in the project, the Department cannot evaluate how well a community has
met this consideration, and the applicant will not be deemed as having
met this priority consideration in the Department's evaluation of the
community's proposal.
A detailed description of the funding necessary for
implementation of the community's project, including the federal and
non-federal contributions. Proposal should clearly identify the level
of federal funding sought. They should also clearly identify the other
cash contributions toward the proposed project, ``in-kind''
contributions from the airport, and ``in-kind'' contributions from the
community. Cash contributions from airport revenues should be
identified separately from cash contributions from other community
sources. Similarly, cash contributions from the state and/or local
government should be separately identified and described.
In this regard, instances have arisen in the past where communities
have relied extensively on what they characterize as travel banks for a
significant portion of their local contribution. A travel ``bank''
involves an actual deposit of funds from the participating entities
into a bank for the purpose of purchasing committed air travel on the
selected airline and defined procedures for use of those funds under an
agreement with the airline. Most often, however, what communities refer
to as a travel ``bank'' in reality involves travel ``pledges'' from
businesses in the community without any collection of funds or formal
procedures for use of the funds. Despite having awarded several
proposals contemplating ``travel banks,'' there are a few that have
been implemented. Two communities that have established true travel
banks are Redmond, Oregon, and Dubuque, Iowa. In the majority of cases,
however, community discussions with air carriers have revealed that
many carriers are not interested in travel banks or travel pledges/
commitments, preferring other forms of financial incentives for risk
abatement in the initial stages of their airline service. Therefore, if
communities include travel banks in their proposals, they must also
provide written confirmation that the potential transportation
provider(s) involved in the project is interested in such a financial
incentive. If such confirmation cannot be secured, the community should
provide alternative funding proposals to address the carrier/financial
incentive packages that may be needed. Further, if official travel
banks are proposed, the Department will require documentation during
the term of the grant that the travel banks are funded.
Applicant communities should be aware that, if awarded a grant, the
Department will not reimburse the community for pre-award expenses such
as the cost of preparing the grant application or for any expenses
incurred prior to the community executing a grant agreement with the
Department for implementation of the grant. In addition, 10 percent of
the grant funds will be withheld until the Department receives the
final report of the grant project. See Award Administration
Information, below.
An explanation of how the community will ensure that its
own funding contribution is spent in the manner proposed.
Descriptions of how the community will monitor the
progress of the grant project and identify critical milestones during
the life of the grant, including the need to modify or discontinue
funding if identified milestones cannot be met. This is an important
component of the community's proposal and serves to demonstrate the
thoroughness of the community's planning of the proposed grant project.
Applicant communities are on notice that any modifications must first
be approved by the Department. Moreover, modifications to the project
will be considered only to the extent that the changes do not deviate
from the original goal and scope of the authorized grant project. As
noted above, the Department will not permit fundamental changes to a
community's proposal in order to preserve a grant award.
A description of how the community plans to continue with
the project if it is not self-sustaining after the grant award expires.
A particular goal of the Small Community Program is to provide long-
term, self-sustaining improvements to air service at small communities.
Under the Vision 100 amendments to the statute, the community cannot
seek further grant funding in support of the same project. It is
possible that a new or improved service at a community will be well on
its way to becoming self-sustaining, but will not have reached that
goal when the grant has expired. Similarly, it is possible that
extensive marketing and promotional efforts may be in process, but not
completed, at the end of the grant period and will require continued
support. Therefore, in developing its proposal, the community should
carefully consider and describe its plans for continued financial
support for the project after the grant funding is no longer available.
This aspect of the application reflects on the community's commitment
to the grant project and is an important component to the Department's
consideration of the community's proposal for selection for a grant
award.
A description of the community's air service development
efforts over the past five years and the results of those efforts. Many
communities have been active on an on-going basis for many years in air
service development efforts, while others are just beginning. To the
extent that a community has previously engaged in other air service
initiatives, including through public/private partnerships, it should
describe those efforts and their results in its grant proposal. This
should include marketing and promotional efforts of airport services as
well as efforts to recruit additional or improved air service and
airfare initiatives.
Designation of a legal sponsor responsible for
administering the program. The legal sponsor must be a government
entity. If the applicant is a public-private partnership, a public
government member of the organization must be identified as the
community's sponsor to accept program reimbursements. In this regard,
communities can designate only a single government entity as the legal
sponsor, even if a consortium, for example, consists of two or more
local government entities. Private organizations cannot be designated
as
[[Page 5710]]
the legal sponsor of a grant under the Small Community Program.\11\
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\11\ The community has the responsibility to ensure that the
recipient of any funding has the legal authority under State and
local laws to carry out all aspects of the grant.
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Air Service Development Zone Designation. As noted
earlier, the Department will designate one of the selected grant
recipients as an Air Service Development Zone. The purpose of the
designation is to provide communities interested in attracting business
to the area surrounding the airport and/or developing land use options
for the area to work with the Department on means to achieve those
goals. Only communities that are interested in these objectives and
have a plan to accomplishing them should compete for the available
designation. Applying for this designation will provide no special
benefit or preference to a community in receiving a grant award.
Against this background, grant applications interested in selection
for the Air Service Development Zone designation, must include in their
applications a separate section, titled, Support for Air Service
Development Zone Designation. That section should include detailed
information regarding the property and facilities available for
development such as an existing airpark or land for such an airpark;
the other modes of transportation that would be available to support
additional economic development, such as rail, road, and/or water
access; information concerning historic, existing, and any future
business activity in the area that would support further development;
demographic information concerning the community and its environs
relevant to the developmental efforts, including population,
employment, and per capita income data; and any other information that
the community believes is relevant to its plans to enhance air service
development. In this regard, the community should provide as detailed a
plan as possible, including what goals it expects to achieve from the
air service development zone designation and the types of activities on
which it would like to work with the Department in achieving those
goals. The community should also indicate whether further local
government approvals are required in order to implement the proposed
activities.
The Department will work with the selected grant recipient by
reviewing its proposed goals and plans and will meet with the community
to help direct the community's efforts to appropriate government
agencies, including the Department of Commerce as well as other U.S.
DOT offices that could provide further support and guidance for
achieving the community's goals. The community and its leaders are in
the best position to determine what activities will benefit its goals
for greater air service development. The Department will serve as a
liaison in helping the selected community connect directly with others
that have the expertise and ability, including funding where the
community meets the necessary requirements, to support the community's
developmental activities.
There is no set format that applicants should use in submitting
their applications, other than the guidance above concerning issues
that must be addressed in community applications. The law provides
considerable latitude to communities in developing their proposals and
a strict format could serve to stifle innovation. However, given the
historical high volume of applications received, applicants are
required to submit a Summary Information Sheet (attached as Appendix B
to this order) at the beginning of their applications and to complete
the SF424 standard federal grant applications form (see Appendix C to
this order) to assist our review of each proposal.
Filing Date/Confidential Material
Proposals are due April 7, 2006.\12\ They may be submitted by hand,
mail, or express delivery. Proposals postmarked after the due date will
not be accepted. This year, there are two mandatory requirements for
filing of applications, both of which must be completed for a
community's application to be deemed timely and considered by the
Department.
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\12\ The original application should be submitted on 8.5'' x
11'' paper, in dark ink (not green) and without tabs to facilitate
inclusion in the Department's docket management system. The
remaining copies may be tabbed and include use of any color ink.
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First, the applicant must submit a proposal that includes all of
the information required by the Application and Submission section,
above, including the Summary Sheet in Appendix B. The applications will
be maintained in a public docket accessible by the general public and
other applicants. Interested communities should submit an original and
two copies of their proposals, including the Summary Information Sheet,
if submitting their proposals by mail, hand, or express delivery.\13\
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\13\ Communities may submit their proposals electronically by
following the instructions at the following Web site https://
dms.dot.gov. If they do so, however, they should not also submit a
hard copy of the application to the Dockets Operations and Media
Management Office. However, communities using this option are
required to submit one hard copy of their application to the
Department's Office of Aviation Analysis, X-50, Room 6401, 400 7th
Street, SW., Washington, DC 20590. Moreover, any additional
materials such as DVDs and videos cannot be included in the docket
management system. To the extent that communities want to include
such information in their proposals, they should provide that
information to the Department's Office of Aviation Analysis, X-50,
Room 6401. Questions about electronic filing procedures should be
addressed to Renee Wright, Dockets Operations and Media Management,
at (202) 366-9826.
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The cover page for all applications regardless of the method of
submission should bear the title ``Proposal Under the Small Community
Air Service Development Program,'' and should include the docket number
as shown on the first page of this order, the name of the community or
consortium of communities applying, the legal sponsor, and the
community's Dun and Bradstreet (D&B) Data Universal Numbering System
(DUNS) number. The application should be sent/delivered to Dockets
Operations and Media Management, M-30, Room PL-401, Department of
Transportation, 400 7th Street, SW., Washington, DC 20590. Questions
regarding the program or the filing of proposals should be directed to
the Office of Aviation Analysis, at (202) 366-1053 or
terri.bingham@dot.gov.\14\
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\14\ To the extent that applicants are interested in reviewing
proposals that were submitted in prior years, those applications are
publicly available in Docket OST-2002-11590, Docket OST-2003-15065,
Docket OST-2004-17343, and Docket OST-2005-20127 for FY 2002, 2003,
2004, and 2005 grants, respectively, through the Department's docket
management system at the following Web address: https://dms.dot.gov/.
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Applicants will be able to provide certain information relevant to
their proposals on a confidential basis. Under the Department's
regulations, such information is limited to commercial or financial
information that, if disclosed, would either significantly harm the
competitive position of a business or enterprise or make it more
difficult for the Federal Government to obtain similar information in
the future. Applicants seeking confidential treatment of a portion of
their applications must segregate the confidential material in a sealed
envelope marked ``Confidential Submission of X (the applicant) in
Docket OST-2006-23671'' and include with that material a request in the
form of a motion seeking confidential treatment of the material under
14 CFR 302.12 (Rule 12) of the Department's regulations. The applicant
should submit an original and two copies of its motion and an original
and two copies of the confidential material in the sealed envelope. The
confidential material
[[Page 5711]]
should not be included in the original or in any of the copies of the
applicant's proposal that are submitted to the Department. Those
submissions, however, should indicate clearly where the confidential
material would have been inserted. If applicants invoke Rule 12, the
confidential portion of the filing will be treated as confidential
pending a final determination. All confidential material must also be
received by April 7, 2006.
Second, in order to comply with this year's Grants.gov initiative,
a mandate of the President's Management Agenda, all applicants must
also submit form SF424, Application for Federal Domestic Assistance,
found on https://www.grants.gov. In this regard, applicants should be
aware that they must complete a one-time registration process in order
to submit the SF424 application, and the registration process can take
approximately three to five days to complete.
Therefore, communities intending to file applications should
complete the registration process sooner rather than later to ensure
that they can meet the application deadline. Appendix C provides
additional information with respect to the registering process in
Grants.gov as well as instructions on submitting SF424 once the
registration process has been completed. As noted above, an application
will not be deemed complete unless the proposal has been submitted to
the Department's Docket Operations and Media Management office
referencing the appropriate docket, an the SF424 application has been
submitted through Grants.gov by the April 7 deadline.
Application Review Information
The Department will carefully review each proposal and the staff
may contact applicants if clarification is needed. Communities may
amend their proposals at any time prior to the Department's selection
of grant recipients and those amendments will be considered to the
extent the review process permits. The grant awards will be made as
quickly as possible so that communities awarded grants can complete the
grant agreement process and proceed to implement their plans. Pending
unforeseen circumstances, this process should be completed before
September 16, 2006.
The Small Community Program provides a valuable opportunity for
communities to gain assistance in securing long-term, self-sustaining
improvements in their air service. It is not intended to address short-
term anomalies affecting a community's air service. Nor is it intended
as a continuing financial support program for small community
service.\15\ It does represent an important opportunity for the
community as a whole to take a creative approach to addressing its
service and fare issues and to partner with the federal government to
make meaningful and lasting improvements in its air service.
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\15\ See 40 U.S.C. 41743(d)(1) which limits the use of grant
funds to no longer than three years to support an air carrier's
operations, and section 41743(c)(4) which precludes communities from
seeking additional financial assistance for the same project.
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The statute directs the Department to give priority consideration
to those communities or consortia where air fares are higher than the
average air fares for all communities, the community or consortium will
provide a portion of the cost of the activity from local sources other
than airport revenues; the community or consortium has established or
will establish a public-private partnership to facilitate air carrier
service to the public; the assistance will provide material benefits to
a broad segment of the traveling public whose access to the national
air transportation system is limited; and the assistance will be used
in a timely fashion.
Applications will be evaluated against these priority
considerations. Given previous experience, it is likely that more
applications will be received than can be funded under the limitations
of the Small Community Program. With this in mind, consistent with the
criteria stated above, the selection process will take into
consideration such factors as the relative size of each applicant
community; the geographic location of each applicant, including the
community's proximity to larger centers of air service and low-fare
service alternatives; the community's existing level of air service and
whether that service has been increasing or decreasing, the number of
passengers expected to benefit from the proposed transportation
initiative, taking into consideration the historic and current
demographic indicators for the community, including population growth,
business activity, and per capita income data; the community's
demonstrated commitment to and participation in the proposed grant
project; the grant amount requested compared with total funds available
for all communities; the proposed federal grant amount requested
compared with the local share offered; whether the community has
demonstrated a reasonable plan to use the funds in a timely manner; the
uniqueness of applicants' claimed program(s); the uniqueness of the
applicant's proposed solution(s) to solving the problem(s); whether the
proposed project addresses the stated problem; and whether the
community's proximity to an existing grant recipient could impact its
proposal. Finally, we will consider whether the applicant community has
previous received a grant award under this program.
Full community participation is a key goal of this program as
demonstrated by the statute's focus on local contributions and active
participation in the project. Therefore, applications that demonstrate
broad community support will be given additional favorable
consideration. For example, communities providing higher levels of cash
contributions from other than airport revenues will also be accorded
additional favorable consideration. Communities that provide multiple
levels of contributions--cash and in-kind contributions--can also
receive additional consideration. Similarly, communities that
demonstrate historic and/or active participation in the proposed air
service project will be accorded additional consideration.
Favorable consideration will also be given to those proposals that
offer innovative solutions to the transportation issues facing the
community. Small communities have faced many problems retaining and
enhancing their air services and in dealing with their airfare issues.
Therefore, proposals that offer new, creative approaches to addressing
these problems, to the extent that they are reasonable, will be given
additional favorable consideration. Proposals that provide a well-
defined plan, a reasonable timetable for use of the grant funds, and a
plan for continuation and/or monitoring of the project after the grant
expires will also receive greater consideration.
Less favorable consideration will be accorded proposals that rely
primarily on contributions from already-existing programs or projects
(e.g., designating a portion of an airport's existing annual marketing
budget to the project), and proposals that would merely shift the costs
of an ongoing or existing activity from the state or local level to the
federal level. Contributions should represent a new financial
commitment or new financial resources devoted to attracting new or
improved service, or addressing specific high-fare or other service
issues, such as improving patronage of existing services at the
airport.
As a general matter, given prior experience, proposals that include
travel banks, particularly if they serve as
[[Page 5712]]
the community's primary financial contribution to the project will be
considered with greater scrutiny. As noted earlier, there is concern
that such arrangements do not come to fruition and ultimately are not
supported by the carriers. Often travel banks have involved ``pledges''
from the community to use the air service, rather than cash available
for implementation of the project. Therefore, any proposals that
include travel banks should also provide evidence of their acceptance
by the selected or potential air or ground service providers. Moreover,
the community should provide an alternative financial plan for the
project in the event that the travel bank ultimately is not viable.
An important objective of the Small Community Program is to
formulate and implement solutions to transportation problems of small
communities which could serve as models for other small communities to
improve and retain their access to air service and to the nation's air
transportation system. We recognize that communities in different parts
of the country do not necessarily face the same challenges with respect
to their air services and airfares. Therefore, subject to the quality
of the proposals submitted in meeting the evaluation criteria and the
funding and overall community participation constraints of the program,
to the extent possible, our goals will be to select proposals that will
(a) benefit communities in all areas of the United States and its
territories; (b) benefit small communities of all sizes, ranging from
very small to those that qualify as small hubs and are eligible for
participation in the program under the statute; \16\ (c) promote
regional solutions to air service issues, where appropriate; (d)
include a variety of different types of projects; and (e) address
different air service and/or airfare issues.
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\16\ In this regard, we recognize that communities served by
small hub airports generally have significant levels of service by a
number of airlines, and thus, would not meet the ``insufficient
service'' criteria of the statute. Therefore, absent evidence to the
contrary, we would give more favorable consideration to proposals
involving small hub airports where the community has demonstrated
that its proposal meets the ``higher than average airfares''
requirement of the statute.
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Given the competitive nature of the grant process, the Department
does not intend to meet with grant applicants with respect to their
grant proposals. The Department's selection of communities for grant
awards will be based on the community's written submissions to the
Department.
Award Administration Information
The Department will announce its grant selections by Order, which
will be served on each grant recipient, all other applicants, and all
parties served with this order. It will also be published in the
Federal Register and posted on the Department's webpage.
Communities awarded grants will be expected to execute a grant
agreement with the Department before they begin to spend funds under
the grant award. Grant funds will be provided on a reimbursable basis
only and only for expenses incurred and billed during the period that
the grant agreement is in effect. Applicants therefore should not
assume they have received a grant, nor obligate or spend local funds
prior to receiving and fully executing a grant agreement with the
Department under this program. Expenditures made prior to the execution
of a grant agreement, including costs associated with preparation of
the grant applicant, will not be reimbursed. Moreover, there are
numerous assurances that are required to be made and honored when
federal funds are awarded. All communities receiving a grant under the
Small Community Program will be required to accept the responsibilities
of these assurances, and to execute the assurances when they execute
their grant agreements. Copies of the applicable assurances are
available for review on the Department's webpage at https://
ostpxweb.dot.gov/aviation/X-50%20Role_files/smallcommunity.htm.\17\
_____________________________________-
\17\ The applicable regulations include, among others: (1) 49
CFR Parts 21 and 27 and 14 CFR Parts 271 and 382--Nondiscrimination
in federally-assisted programs of the Department of Transportation--
Effectuation of title VI of the Civil Rights Act of 1964; 49 CFR
Part 27--Nondiscrimination on the basis of disability in programs
and activities receiving or benefiting from Federal financial
assistance; and 14 CFR Part 382--Nondiscrimination on the basis of
disability in air travel; (2) 49 CFR Part 29--Government-wide
debarment and suspension (non-procurement) and government-wide
requirements for drug-free workplace (grants); and (3) 49 CFR Part
20--New restrictions on lobbying. The complete list of the
applicable assurances is on the cited webpage. The assurances noted
are for reference purposes only and should not be included in the
community's application. The assurances are part of the grant
agreement that will be sent to each grant recipient and should be
completed at that time.
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The grant agreements between the Department and selected
communities will require quarterly reports on the progress of
implementation of the grant project, as well as the submission on a
quarterly or other time-specific basis of additional material relevant
to the grant project, such as copies of advertising and promotional
material, and copies of contracts with consultants and service
providers. In addition, communities will be required to submit a final
report to the Department with respect to their grant projects and 10
percent of the grant funds available will not be reimbursed to the
community until the final report has been received. Communities will be
permitted to seek reimbursement of project implementation costs on a
regular basis. The frequency of such requests will be established in
the grant agreement, which will be tailored to the specific features of
the community's grant project. In most cases, reimbursements will be
made on a monthly basis. In this regard, the Department will provide
the grant recipient communities with details and procedures for
securing reimbursements electronically.
This order is issued under authority delegated in 49 CFR 1.56a(f).
Accordingly,
1. Community proposals for funding under the Small Community Air
Service Development Program should be submitted in Docket OST 2006-
23671 no later than April 7, 2006; \18\ and
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\18\ Proposals must be postmarked no later than April 7, 2006.
The original application should be submitted on 8.5'' x 11'' paper,
in dark ink (not green) and without tabs to facilitate inclusion in
the Department's docket management system. The remaining copies may
be tabbed and include use of any color ink.
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2. This order will be published in the Federal Register and also
will be served on the Conference of Mayors, the National League of
Cities, the National Governors Association, the National Association of
State Aviation Officials (NASAO), the Association of County Executives,
the American Association of Airport Executives (AAAE), and the Airports
Council International-North America (ACI), and posted on https://
www.grants.gov.
By:
Michael W. Reynolds,
Acting Assistant Secretary for Aviation and International Affairs.
An electronic version of this document is available on the World
Wide Web at https://www.dms.dot.gov.
Appendix A
Section 41743 Airports not Receiving Sufficient Service
(a) Small community air service development program. The
Secretary of Transportation shall establish a program that meets the
requirements of this section for improving air carrier service to
airports not receiving sufficient air carrier service.
(b) Application required. In order to participate in the program
established under subsection (a), a community or consortium of
communities shall submit an application to the Secretary in such
form, at such time, and containing such information as the Secretary
may require, including--
(1) An assessment of the need of the community or consortium for
access, or
[[Page 5713]]
improved access, to the national air transportation system; and
(2) An analysis of the application of the criteria in subsection
(c) to that community or consortium.
(c) Criteria for participation. In selecting communities, or
consortia of communities, for participation in the program
established under subsection (a), the Secretary shall apply the
following criteria:
(1) Size. For calendar year 1997, the airport serving the
community or consortium was not larger than a small hub airport,
and--
(A) Had insufficient air carrier service; or
(B) H