Federal Aviation Administration 1 Georgia Airports Association March 13, 2014 Presented to: By:...

Federal AviationAdministration

1Georgia Airports Association March 13, 2014

Presented to:

By:

Date:

Federal AviationAdministrationGAA

2014 Spring Workshop

Georgia Airports Association

Atlanta Airports District Office

March 13, 2014

Federal Update



Federal Update

Georgia Block Grant

FY 2014 AIP Program

FY 2015 AIP Program

Georgia AIP Funding

Odds & Ends

Economic Development at Obligated Airports



Georgia Block Grant

ATL-ADO – Issues grants to Primary Airports (ABY, AGS, ATL, BQK, CSG, SAV, VLD) and the Georgia Block Grant to GDOT. We are their service point for all AIP issues.

GDOT – Issues sub-grants to all General Aviation Airports and are their service point for all AIP issues.



FY 2014 AIP Program Update

H.R. 3547 - $3.35B obligation limit ($3.194B for grants)

Prohibits funds from being spent on baggage system modifications for EDS machine installation.

Provides for 95% Federal share for FY14 small airport construction projects that are a phase of a construction project begun in FY11.



FY 2014 AIP Program Update

Provides for 95% Federal share for Essential Air Svc. (EAS) and Economically Distressed Areas (EDA).

Provides minimum amount of NPE funds of $1M for airports serving large air carriers with at least 10,000 annual enplanements (scheduled or unscheduled) (Sec. 47114(c), "large carrier provision")



FY 2014 AIP Program Schedule

All Airports Submitted Their Annual CIP’s in January 2013

ADO Established 2014 AIP Program in April 2013

ADO PM’s currently conducting Pre-Grant Conferences

Work with ADO PM on Bidding schedules

First Grants – Approx. May 15th



CIP Call Letter Issued in October 2013 (Jan. 1 submittal)

ADO PM’s are Currently Scrubbing

April – Selection of Projects & Disc. Program

We Continue to Encourage Prior-year Design

FY 2015 AIP Program Schedule



Georgia AIP Fundingm

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2011 2012 2013 20140

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10

15

20

25

30

35

40

45

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EntitlementsDiscretionary



Odds & Ends

New AIP Handbook (FAA Order 5100.38)• Draft is currently available –

www.faa.gov/airports/aip/aip_handbook

Airports Division SOP’s (23 total)• Exhibit “A”, ALP, Construction Safety Phasing Plans

AC 150/5300-13A, Change 1, 2/26/14• Primarily includes updates to the standards for Taxiway Fillet Design• New Approach and Departure Reference Code (APRC and DPRC)

designations replace Runway Reference Code (RRC).

http://www.faa.gov/airports/aip/aip_handbook



Odds & Ends

ARP Digitization • Electronic Docs

A&E, and Planning Consultant Services For Airport Grant Projects, AC 150/5100-14

• Update underway

SAMS/DUNS/CCR• Keep up to date



Economic Development at Obligated Airports

Self Sustainability

Revenue Diversion

Land Releases

Review of Non-Aeronautical Leases

RPZ Policy

Planning and Environmental Requirements

Ensuring Safe Approaches at Your Airport

Development Proposal Considerations



Presented to:

By:

Date:

Federal AviationAdministrationGrant Assurance 24 –

Fee and Rental Structure

Self-sustainability



March 13, 2014



• 13

Grant Assurance

24 - Fee and Rental Structure

– It will maintain a fee and rental structure for the facilities and services at the airport which will make the airport as self-sustaining as possible under the circumstances existing at the particular airport, taking into account such factors as the volume of traffic and economy of collection.



• 14

Self Sustainability

Legislative History– Section 511(a)(9) of the Airport and Airway

Improvement Act of 1982.– Codified in 49 USC § 47107(a)(13)

– Section 112(a) of the Federal Aviation Administration Authorization Act of 1994.

– Amended 49 U.S.C. § 47107(l) to require FAA’s Policy and Procedures Concerning the Use of Airport Revenues to take into account whether sponsors – when entering into new or revised agreements otherwise establishing rates, charges, and fees – have undertaken reasonable efforts to be self sustaining in accordance with 49 U.S.C. § 47107(a)(13).



• 15

Self-sustainability

Self-sustaining Principle– Each Federally assisted airport owner/operator is

required by statue and grant assurance to have an airport fee and rental structure that will make the airport as self-sustaining as possible under the particular airport circumstances, in order to minimize the airport’s reliance on Federal funds and local tax revenues. • Recognizes that individual airports may differ in their

abilities to be self-sustaining.• Maintains the utility of the Federal investment in the airport.



• 16

Self-sustainability

Airport Circumstances – Recognizes that market conditions at some airports

may not permit the sponsor to establish fee’s sufficiently high enough to recover aeronautical costs and sufficiently low enough to attract and retain commercial aeronautical services.

– Sponsor’s decision to charge rates that are below those needed to achieve self-sustainability in order to assure that services are provided to the public is not inherently inconsistent with the federal obligation to make the airport as self-sustaining as possible given its particular circumstances.



• 17

Self-sustainability

Airport Circumstances –Aeronautical Rates

Attraction Cost Recovery

Potential GA 22(a) Conflict

Potential GA 24 Conflict

Potential GA 22(a) Conflict

Potential GA 24 Conflict



• 18

Self-sustainability - Aeronautical

• Rates and Charges for the use of the airfield generally may not exceed the airports capital and operating costs of providing the airfield.

• Aeronautical fees for landside or non-movement area airfield facilities (e.g. hangars and aviation offices) may be at a fair market rate, but are not required to be higher than a level that reflects the cost of services and facilities. (i.e. somewhere between cost and Fair Market Value),

• The FAA will not ordinarily investigate the reasonableness of a general aviation airport’s fees absent evidence of a progressive accumulation of surplus aeronautical revenues.



• 19

Self-sustainability – Non-aeronautical

• The grant assurances do not prohibit an airport owner from using airport property for non-aeronautical revenue production. – (Some Surplus Property Deed Restrictions and Sec. 16/23

conveyances do prohibit non-aeronautical use)

• The prime obligation of the owner of a federally assisted airport is to provide a facility to serve the public’s interest in aviation. – This overrides the use of airport property for non-aeronautical

purposes.• Surplus non-aeronautical revenues can be used to

subsidize aeronautical costs of the airport. (Not vice versa!!!)



• 20

Self-sustainability – Non-aeronautical

• For non-aeronautical uses the FAA requires:

• The airport receive Fair Market Value (FMV) rents.



What is Fair Market Value (FMV)?

The cash price that a property would most likely sell for in the market, assuming that it has a reasonable time for exposure on that market and assuming it is offered for sale by a knowledgeable owner - the seller- who is willing but not obligated to sell to a knowledgeable purchaser who is willing but not obligated to buy.

To be at FMV, the Property Sale/Lease Must Be:

Arms Length Transaction (Knowledgeable Buyer and Seller are independent of one another, no undue influence exerted by either party or by any other source).

Adequately exposed “For Sale/Lease” on the market (all terms and conditions disclosed) For the Real Property Only. No side deals for other property, loans, personal property, other debts between the parties, etc.. For Cash Payment or Equivalent and For Clear Title to the Land.

An Appraiser Analyzes and Documents the Property and Market Sale/Lease Conditions to Appraise the FMV of a Property



• 22

Self-sustainability – Non-aeronautical• Fair Market Value (FMV)

– FMV appraisal (typically required for long term non-aero leases and significant non-aero use/development)• FAA Advisory Circular (AC) 150/5100-17 CHG 6, Land

Acquisition and Relocation Assistance for Airport Improvement Program (AIP) Assisted Projects,

• Uniform Standards of Professional Appraisal Practice (USPAP),

• Uniform Appraisal Standards for Federal Land Acquisition (UASFLA).

– Restricted Use Appraisals are not acceptable!!– FMV lease rate is determined by multiplying the

capitalization rate by the appraised fee simple FMV. • Capitalization rates typically range from 6-12%



Rate Structures

Fair Market Value (FMV) –Non Aeronautical Rates ↑

Aeronautical Rates

Nominal Value

12% Capitalization Rate


↑

Non-Aero Leases

↓



• 24

Self-sustainability

Most Common Issues:

Failure to obtain fair market rental value for non-aeronautical uses of airport property,

No appraisals/Restricted Use appraisals Aeronautical Revenue Surplus Cost-free use of airport land by the airport owner

(normally local city or county) (Below FMV use by the airport owner could also be considered revenue diversion)



Resources

FAA’s Airport Compliance Program

http://www.faa.gov/airports/airport_compliance/

FAA Order 5190.6B, Chapters 17 & 18

Grant Assurances

FAA’s Policy Regarding Airport Rates and Charges (September 10, 2013)

FAA’s Policy and Procedures Concerning the Use of Airport Revenue (February 16, 1999)



FAA Southern Region

Chuck Garrison

Airports Program Manager

404-305-6723



Presented to:

By:

Date:

Federal AviationAdministrationGrant Assurance 25 –

Airport Revenues

Permitted and Prohibited Uses of Airport Revenues

March 13, 2014





• 28

Grant Assurance

25: Airport Revenues

• All revenues generated by the airport and any local taxes on aviation fuel established after December 30, 1987, will be expended by it for the capital or operating costs of the airport; the local airport system; or other local facilities which are owned or operated by the owner or operator of the airport and which are directly and substantially related to the actual air transportation of passengers or property; or for noise mitigation purposes on or off the airport.



Federal Law and Policy

FAA Authorization of 1994

FAA Reauthorization Act of 1996

FAA Modernization & Reform Act of 2012

Airport & Airway Improvement Program of 1982

Airport & Airway Safety & Capacity Expansion Act of 1987



Federal Law and Policy

Codified at 49 U.S.C. § 47107(b) and § 47133


Grant Assurance 25

FAA Order 5190.6B, Airport Compliance Manual, Chapters 15 & 16



Rate Structures

Fair Market Value (FMV) –Non Aeronautical Rates ↑

Aeronautical Rates

Nominal Value



↑

Non-Aero Leases

↓



What is Airport Revenue?Revenues paid to or due to the airport for the use of airport property (fees, charges, rents, etc).

Revenue from the sale of property and resources (including mineral, natural, or agricultural products or water taken from the airport).***

Revenue from state and local taxes on aviation fuel (except taxes in effect on December 30, 1987).



Permitted Uses of Airport Revenue

An airport may use its revenues for the capital and operating costs of the airport, the local airport system, or other local facilities owned and operated by the airport owner or operator and directly and substantially related to the air transportation of passengers or property.

Airport employee salaries

Utilities

Marketing the airport

Local AIP match

Insurance

Lobbying and attorneys fees

Repayment of the sponsor***

Costs incurred by government officials***

General government costs***



Prohibited Use of Airport Revenue

Direct or indirect payments which exceed the value of services/goods received by the airport.

General economic development, marketing, and promotional activities unrelated to the airport.

Payments in lieu of taxes, impact fees, or other assessments that exceed the value of services provided.

Payments to compensate nonsponsoring governmental bodies for lost tax revenues.



Prohibited Use of Airport RevenueLoans to or investment of airport funds in a state or local agency at less than the prevailing rate of interest.

Land rental to or use of land by the sponsor for nonaeronautical purposes at less than FMV.

Use of land by the sponsor for aeronautical purposes rent-free or for nominal value.***

Community activities/events for community purposes.

Direct subsidy to air carrier operations



Most Common Violations:Cost allocation plans which overcharge the airport and

subsidize other municipal operations.

Not charging FMV for nonaeronautical activities.

Using airport property for other municipal activities (animal shelters, firing ranges, jails, vehicle or equipment storage, etc.) without compensating the airport at FMV.

Poorly structured air carrier incentive programs which inadvertently subsidize air carriers.

Selling airport land and not compensating the airport.



Permitted v. Prohibited

100% of the salaries & benefits for full time, dedicated airport employees

100% of the salaries & benefits for city employees who spend only 25% of their time on airport issues




Sponsor charges a nominal lease rate to a nonprofit aviation museum on the airport.

Sponsor charges the Air National Guard unit a nominal rate for its leasehold.

Sponsor charges itself a nominal lease rate to use airport land for its emergency operations call center.

Sponsor enters into a $1 per year lease with the county for a golf course.




The county’s HR department does all hiring and personnel actions for the airport, so the airport pays an amount porportionate to its percentage of airport employees.

The county’s HR department provides no services to the airport, but charges the airport 10% of their costs as an administrative fee.



Permitted v. ProhibitedCosts associated with sending members of the airport commission to DC to meet with the FAA and attend a AAAE conference.

Lobbying fees for an AIP project.

Attorney fees for a lawsuit filed against a project at the airport.

Costs associated with sending members of the airport commission to China to promote trade.

Lobbying fees for a highway project.

Attorney fees for a lawsuit filed against the sanitation department




Membership in the local chamber of commerce.

Contribution to a golf tournament sponsored by the “Friends of the Airport” committee.

Funding an airport operator’s float that has no reference to the airport in a New Year’s Day Parade.

The airport contributes $50,000 for the city’s film festival.




Marketing or promotional costs which promote:- the airport- airport facilities and

services- services provided by

airport vendors- new service and

competition at the airport

Destination marketing

General tourism marketing




The airport develops a one-year air carrier incentive program which waives landing fees to air carriers providing new service to a specific destination identified by the airport. The sponsor uses parking revenues to pay for the incentive.

The airport uses landing fees to pay a discount carrier to provide service to the airport.



Repayment of Sponsor Contributed FundsAirport revenue MAY be used to repay or reimburse an airport

sponsor’s contribution to the airport if the sponsor makes the request

for reimbursement within six (6) years of the date on which it made

the contribution.

A sponsor may only claim interest from the date the FAA determines the

sponsor is entitled to interest.

If the contribution is structured and documented

as a loan at the time it is made, the FAA may

permit repayment over a longer period, with

interest.



Community Use of Airport Property1. The property is not needed for an aeronautical

purpose;

2. The use enhances community relations;

3. Does not adversely affect the capacity, security, safety, or operations at the airport;

4. The property involved would not reasonably be expected to produce more than de minimis revenue;

5. Community use does not preclude reuse of the property for airport purposes; and

6. Airport revenue is not used to support the capital or operating costs associated with the community use.

(All conditions must be met)



Transit Projects

An airport sponsor may charge less than FMV for public transit terminals, right-of-way, and related facilities if:

1. The transit system is publically owned and operated; AND

2. The facilities are directly and substantially related to the air transportation of passengers or property.



Ground Access Projects

A sponsor may use airport revenue to pay for the airport’s share of a ground access project if:

1. The project qualifies as an integral part of an airport capital project; AND

2. If the project is owned or operated by the sponsor and is directly and substantially related to the air transportation of passengers and property.



Private Transit Systems

Generally – charged FMV as a nonaeronautical use

Rarely – in cases where publicly-owned transit services are extremely limited and a private transit service provides the primary source of transportation to the public, making land available at less than FMV may be ok.



Lawful Diversion of Airport Revenue

Grandfathered obligations

Airport privatization program (49 U.S.C. § 47134)

Certain sale proceeds from the sale of a privatelyowned airport to a public sponsor

Certain revenue derived from or generated bymineral extraction, production, lease, etc.



Penalties for Unlawful Diversion of Airport Revenue

• Repayment with interest• Withholding approval of an application for

future grants• Withholding modification of existing grants• Withholding payment under existing grants• Withholding approval of a PFC request• Withholding any amount from funds otherwise

available to the sponsor from DOT (i.e., transit or highway grants)



Penalties for Unlawful Diversion of Airport Revenue

File suit for enforcement in the U.S. District

Court

Exercise reversionary interests and take title

to all or any part of property conveyed by the

federal government

Seek civil penalties of up to three times the

amount diverted – treble damages



Resources

FAA’s Airport Compliance Program

http://www.faa.gov/airports/airport_compliance/

FAA Order 5190.6B, Chapters 15 & 16

Grant Assurances


Air Carrier Incentive Program Guidebook



FAA Southern Region

Chuck Garrison

Airports Program Manager

404-305-6723



Presented to:

By:

Date:





March 13, 2014

Land Releases



Land Releases



Land Releases

Definition

“Release” is defined as the formal, written authorization discharging and relinquishing

the FAA’s right to enforce an airport’s contractual obligations.



Land Releases

Grant Assurance 5

Preserving Rights and Powers

Secretary of State approval required for:– Sell– Lease– Encumber or otherwise transfer or dispose of title or

other entrance of property shown on Exhibit A (Keep Exhibit “A” updated!)



Land Releases

Grant Assurance 31

Disposal of Land

Airport will dispose of land no longer needed for intended purpose• noise compatibility• Development

Disposition subject to maintaining interest/rights ensuring use is compatible with airport noise levels



Land Releases

Grant Assurance 31

Disposal of Land

Land is considered needed if:• Can be used for aeronautical purposes (including

RPZ) or as noise buffer• Revenue contributes to financial self-sufficiency of

airport



Land Releases

FAA Airport Compliance Manual

FAA Order 5190.6B

Chapter 22

Releases from Federal Obligations• Laws• Regulations• Policies• Procedures



Land Releases

Dedicated or Obligated Property

• Property described in agreement• Airport layout plan (ALP)• Exhibit A Property Map

AIP and/or surplus or non-surplus property is federal obligated in perpetuity



Land Releases

Types of Federally Obligated Land

• Aeronautical use• Conveyance of federal land• Acquisition with federal revenue• Designated ALP

– Regardless of purpose



Land Releases

Types of Release Request

• Change in use, operation or designation of on-airport property

• Release and removal of property from airport dedicated use



Land Releases

Continuing Requirements for Disposals of Airport Property

• Right of Flight• Restriction on Released property

– Prohibit objects, grown or built, that would be an obstruction to air navigation

– Prohibit activity that would interfere with flight of aircraft



Land ReleasesSponsor Submittal Requirements• Airport's obligating agreements • Legal description – Word format• Current Appraisal – Fair Market Value ( <1 year)• Type requested (fee simple vs. easement)• Justification (Facts and circumstances)• How request is consistent with the approved ALP• Present condition/use of the property• Proposed use of the land



Land ReleasesSponsor Submittal Requirements

• Commitment proceeds use exclusively on airport• Expected use of sale proceeds • List federal obligations land must be released from• Environmental analysis as required by FAA Order

5050.4B• Commitment to update ALP/ Exhibit A



Land Releases

FAA Review of Release Request

“Prime Concern”

Benefit to Civil Aviation –Future Growth in Operations• Capacity of the airport• Interest of aeronautical users and service providers• Local, regional and national interest of the airport



Presented to:

By:

Date:





March 13, 2014

Non-Aeronautical Leases




The prime obligation a federally assisted airport owner is to serve the public’s interest in aviation.

AIP Grant assurances do not prohibit the leasing of airport property for non-aeronautical revenue production.

Note, prospective aeronautical tenants willing to lease property shows a need of the public for the aeronautical services.



Non-Aeronautical Leases• Must receive FAA/GDOT concurrence prior

to lease execution• Sponsor must demonstrate that all

aeronautical users have been accommodated.

• Lease must contain reversion clause in case the property is needed for aeronautical purposes



Non-Aeronautical Leases• Proposed location must be on area

designated for non-aero use (otherwise a release is required

• Leases must have Non-transferable clause • Leases must have Escalation clause • Must be identified on the ALP




Municipal and Community/Charitable Land Use

• non-aero lease agreement• No free Rent!

– Must pay rent at FMV– Show how airport benefits at a reduced FMV– Fire & Police have some offsetting value




Non-Aeronautical Lease Rates• Must be at or above Fair Market Value (FMV)

– Appraisals (< 1 year old)– Competitive Solicitation (RFP)

• Consistent with Policy Regarding the Airport Rates and Charges

• Make the Airport as self-sustaining as possible• Consistent with Policy Regarding the Use of Airport

Revenues (Sponsor Use).• non-aero rents & charges can be used to subsidize

aeronautical costs



Non-Aeronautical LeasesNon-aeronautical Uses of Airport Resources• Airport resources should not be used to

support the aeronautical activities unless there is a means for the airport to recover these costs.

• Lawn care• Irrigation• Leasehold improvements• Maintenance• Trash removal



Presented to:

By:

Date:





March 13, 2014

RPZ

Runway Protection Zone



RPZ

Runway Protection Zone



Runway Protection Zone (RPZ)

Definition

The RPZ’s function is to enhance the protection of people and property on the ground!

Trapezoidal shaped/Function of aircraft approach category and approach visibility minimums




Desired Control of RPZ

Airport owner control over RPZ• Acquisition of land• Acquisition of sufficient Property interest

– Clearing (and keeping them clear)– Free of incompatible objects and activities




Permissible land uses (No evaluation)

• Farming (meets crop buffers runway to crop distance standards)– Must be evaluated for wildlife impacts

• Irrigation channels that do not attract birds• Airport service roads controlled by the airport operator• Underground facilities that meet other FAA design criteria (eg.

RSA)• Unstaffed NAVAIDs and facilities considered fixed-by-function

All other use must be evaluated/approved by the FAA




FAA’s Evaluation and Approval of RPZ Land Use Guidelines

• Currently being developed• Procedures for the Region/ADO review of proposed

land uses in the RPZ• Direction on the evaluation of existing land uses in

an RPZ • Methods and procedures available to communities

to protect the RPZ and prevent the congregation of people and property on the ground.




Interim Guidance on Land Uses Within RPZ

Guidelines addresses new or modified land uses to a RPZ and proposed changes to RPZ size and location.




Land use in RPZ review requires coordination with national office for uses that enter the RPZ as a result of:

• Airfield project• Change in critical design aircraft increasing

RPZ• New or revised instrument approach procedure

increasing RPZ• Local development proposal in the RPZ



Runway Protection Zone (RPZ)Types of land use requiring APP-400 coordination

• Building and structures• Recreational land use• Transportation facilities• Fuel and hazardous material studies (above and

below ground)• Wastewater treatment facilities• Above ground utility infrastructure including solar

panels



Runway Protection Zone (RPZ)Initial Steps

Region/ADO works with sponsor to develop full range of alternatives

• Relocate proposed land use outside of RPZ• Minimize impacts to RPZ• Mitigate risk to people and property on

ground



Runway Protection Zone (RPZ)Alternative Documentation for APP-400

• Description of alternatives• Cost estimates• Feasibility assessment of alternative in terms of

cost, constructability, etc.• Preferred alternative• Identification of impacted transportation agencies• Analysis of portion and percentage of RPZ affected• Analysis issues affecting sponsor control• Other relevant factors



Presented to:

By:

Date:





March 13, 2014

Planning and Environment Requirements

Safe Approaches



Clearly Define the Role and Mission of Your Airport in your Master Plan

Outline a Strategic Aeronautical vs. Non-Aeronautical Development Plan

ALL Proposed Changes ON Your Airport Property Require:

- An Airspace Analysis (7460-1)- An Airport Layout Plan (ALP) Update- An Environmental Determination

Planning & Environmental Requirements for Change on Your Airport

First Things First

All Steps MUST be Completed PRIOR to Construction Despite Funding Applications



Submit 7460-1Online to Begin Airspace Analysis Process

https://oeaaa.faa.gov/oeaaa/external/portal.jsp

Evaluates Potential Impacts to Airspace, Approaches, Navaids, Airfield Design and Safety Criteria, and Land Use Compatibility

Approximately 45-60+ Days


Airspace Analysis



Any Change to an ALP is a “Federal Action”

The Prior Airspace Analysis (7460-1) Allows for Interim Updates to the ALP Saving Time & Resources

The ALP is “Pen & Inked” by the ADO/ DOT Pending Airspace Analysis Completion

FAA’s Airport Database is Updated with Critical Data

ALP is Formally Revised at Next Update Cycle


Airport Layout Plan (ALP) Update



An Environmental Determination Must be Approved by FAA/ DOT as Required

Review & Approval is Based on Data Accuracy, Project Complexity & Sensitivity, and Agency Response

Categorical Exclusions (Catexes) May be Signed by FAA/ DOT in a Few Days/ Weeks While More Detailed Studies (EA’s/ EIS’s) May Require Months/ Years.


Environmental Determination



Be Aware of the Requirements

Be Proactive with Compatible Airport Development

Be Consistent Among Partners

Be Wise with Airport Development Decisions


Getting on Board



FAA Flight Procedures (FPT) has begun evaluating airports Nationwide for existing safety hazards in 20:1 approaches.

FPT is working with airports to verify obstruction data and define needed approach improvements to maintain published approaches.

Airport approach surfaces fall both on- and off-airport property, but are the responsibility of the Airport per FAA Engineering Brief #91.




AIP can only be used once historically to clear obstructions in an area, it is otherwise considered a “maintenance” responsibility of the sponsor.

Most airports must bear the cost of this on-going, critical safety commitment.

Where AIP is eligible for obstruction mitigation, it takes early ADO/ DOT coordination (9-12 months) to provide assistance.




Without clear approaches, your Airport & it’s users are at risk of :~ Aircraft Accidents, Incidents, Liability Lawsuits and Death,

~ Compromise of Healthy Aircraft Operations, Consciences Airport Users, and a Growing Aircraft Fleet Mix,

~ Loss of Safe Airport Access, Pilot Training, Local Emergency Service and Community Event Environments,

~ Decrease in Self-Sustaining Revenues from Fuel Sales, Facility Rentals, Maintenance and Other Services Vital to Airport Sustainability .

The “Do Nothing” Alternative - What’s the Risk?



Use FAA’s free Surface Analysis Visualization (SAV) Tool to evaluate your 20:1 surfaces.

It is part of FAA’s free Geographic Information System (GIS) - get logged on & in the groove.

FAA’s free GIS portal houses historic & newly collected obstacle survey data for your airport.

SAV aids in determining existing obstacle issues that are potential safety concerns.

It identifies low, medium and high obstructions at your airport that require attention.

Verify your obstacle data, make obstacle data updates, and create a Mitigation Plan for free.

It’s FREE, I Tell You !

What Can You Do To Stay Out of Trouble?



- Coordinate actions with FPT and ADO/ DOT as necessary- Be proactive by working with your ADO/ DOT PM’s early to determine funding options where eligible in advance of obstruction issues- Be responsive and collaborative when working with FPT when issues arise- Commit to an annual airspace evaluation, mitigation program and information database maintenance- Ask Airport Sponsors to dedicate an annual budget to maintain safe approaches to:

* Ensure maximum airport safety,* Avoid liability,* Maximize airport economic growth and

development, and * Promote continual safe access for your Airport

and community.

What can you do to stay out of trouble?



- SAV only analyzes the 20:1 surface (additional surfaces require additional analysis.)

- GIS portal & tools are available to all NPIAS Airports for FREE, don’t overlook it.

- For each mitigation action on airport, an environmental determination is required prior to the action.

- Update GIS database regularly to reflect current obstacle conditions.

One More Thing Before We Go . . .

Without your best approach, you are

not offering your Airport’s best.



Presented to:

By:

Date:

Federal AviationAdministrationEconomic

Development at Obligated Airports

Safe, Efficient, and Compatible Development


March 13, 2014

Chuck Garrison, Program Manager



• 101

Obligations

Grant Assurance 19 – Operation and Maintenance

Grant Assurance 20 – Hazard Removal and Mitigation

Grant Assurance 21 – Compatible Land Use

Grant Assurance 29 – Airport Layout Plan



Grant Assurance

19: Operation and Maintenance Will operate the airport and all facilities at all times in a

safe and serviceable condition, Will not cause or permit any action which would interfere

with its use for airport purposes, Will not temporarily close the airport for non-aeronautical

purposes without approval by the Secretary, Will promptly mark and light hazards resulting from airport

conditions (including temporary hazards), Will promptly notify airmen of any conditions affecting

aeronautical use of the airport.



Grant Assurance

20: Hazard Removal and Mitigation

– It will take appropriate action to assure that such terminal airspace as is required to protect instrument and visual operations to the airport (including established minimum flight altitudes) will be adequately cleared and protected by removing, lowering, relocating, marking, or lighting or otherwise mitigating existing airport hazards and by preventing the establishment or creation of future airport hazards including on-airport development such as hangars and terminals.



Grant Assurance 20

Most Common Issues

– Failure to clear, or maintain clear, runway approach and departure surfaces.

– Failure to file FAA Form 7460-1 for on airport development.– Failure to require the submission of FAA Form 7460-1 for off

airport development within the sponsor’s jurisdiction which meets the reporting criteria.



Grant Assurance

21: Compatible Land Use

– It will take appropriate action, to the extent reasonable, including the adoption of zoning laws, to restrict the use of land adjacent to or in the immediate vicinity of the airport to activities and purposes compatible with normal airport operations, including landing and takeoff of aircraft. In addition, if the project is for noise compatibility program implementation, it will not cause or permit any change in land use, within its jurisdiction, that will reduce its compatibility, with respect to the airport, of the noise compatibility program measures upon which Federal funds have been expended.



• 106

Compatible Land Use– The use of adjacent property that

neither adversely affects flight operations from the airport nor is itself adversely affected bysuch flight operations.

• In most cases the adverse effect of flight operations on adjacent land results from exposure of noise sensitive development, such as residential areas, to aircraft noise and vibration.

• A land use that adversely effects flight operations is that which creates or contributes to a flight hazard.



• 107

Incompatible Land Uses

– Land uses that allow tall structures, block the line of sight from the control tower to all parts of the airfield, inhibit pilot visibility (such as glaring lights, smoke, etc..), produce electronic aberrations in navigational guidance systems, or that would tend to attract birds are examples of things that would be considered incompatible land uses.

– Some incompatible land uses can be mitigated and some cannot.



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Hazardous Wildlife Attractants

• FAA Policy & Guidance In Place for Many Years– GA 20 Hazard Removal and Mitigation– GA 21 Compatible Land Use

• AC 150/5200-33 (Hazardous Wildlife Attractants on or Near Airports)• AC 150/5200-34 (Construction or Establishment of Landfills Near Public

Airports)

• US Airways Flight 1549 “Miracle on the Hudson”– Brought bird strikes and hazardous wildlife attractants into national

focus.– Sparked a new initiatives to identify and mitigate wildlife on or near

airports.• Redesign of FAA’s Wildlife Hazard Website• National Bird Strike Database – Made Available to Public• Updates to Hazardous Wildlife Attractants and Reporting Wildlife Aircraft Strike (AC’s)• Multiple Cert Alerts• New AC in Development – Protocol for the Conduct and Review of Wildlife Hazard Site

Visits, Wildlife Hazard Assessments, and Wildlife Hazard Management Plans.



Grant Assurance 21

Most Common Issues

– Allowing incompatible development adjacent to airport property (Residential, Schools, Hazardous Wildlife Attractants, etc…)

– Failing to restrict residential development of noise sensitive areas adjacent to the airport.



Grant Assurance

29: Airport Layout Plan

• Ensure conformance to design standards and future plans• Identifies proposed allocation of airport land to specific

operational and support functions• Adverse impacts on safety, utility or efficiency of airport must

be eliminated• Must be kept up to date.



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Safety, Efficiency, and/or Compatibility Issues With Development Proposals

Potential Grant Assurance Conflicts - 5, 19, 20, 21, 29– Failure to adhere to FAA guidance/design standards,– Failure to prevent, restrict or mitigate incompatible

development,– Failure to mitigate or remove hazards identified by the FAA

which are within the jurisdictional control of the airport sponsor,– Failure to make reasonable efforts to prevent the

establishment of an airport hazard that is not within the airport sponsor’s jurisdiction.

• Failing to take any action (“Its out of our Jurisdiction”) –Not enough!!!• Should notify the non-sponsoring jurisdiction of FAA guidance• Should make efforts to prevent or mitigate the hazard as much as

possible.• Document your efforts!!!



Development Proposals – Most Common Issues

– Typically given very short notice of proposal and need quick turn-around.

– Airspace review• Incomplete/incorrect data provided• Not studied and/or hazards not mitigated/removed• Typically 45-60 day review period, but can take longer.

– Incompatible features• Wildlife Attractants, Glare, Smoke, Navigational Interference, etc..• Not studied and/or adverse affects not mitigated/removed.• Mitigations and /or operational restrictions may need to be considered in

the lease agreement.• Some studies can take several months to complete.



Development Proposals – Most Common Issues

– Non-aeronautical use not depicted on ALP • Change in Use – 30-Day Federal Register Notice + 10-15 days to process.

– Request to sell airport property to the proponent/developer• Release – 30 Day Federal Register Notice + 10-15 days to process.

– No Environmental Determination • Duration depends on the circumstances

– Non-Aeronautical Lease Review • Incomplete, Non-compliant terms/conditions/provisions• Typically about 5-10 business days for review.

– No FMV Appraisals or Rate Setting Methodology• Typically about 30 days for FMV appraisals.



Development Proposal – Case StudyPot Of Gold Regional Airport ($$$)

70 Based Aircraft,

100,000 Annual Operations,

(2) 6,500 ft. Rwys (9/27 & 18/36)

ILS Approaches to Rwy 9, Rwy 27 & Rwy 36

2 Full Service Flight Training Schools

5 Scheduled Commercial Flights Per Day• Arrivals 8am, Noon, 5pm, 8pm, and 11pm• Departures 9am, 1pm, 6pm, 9pm, and Midnight

1000 acres (all Surplus property)

All property on ALP designated Aeronautical



Development Proposal – Case StudyThe Sponsor for Pot of Gold Regional Airport ($$$) contacts the ADO to inquire about the possibility of leasing the southern 500 acres of vacant airport property to SHAM-Rock Development for a first class “green” luxury resort.

ADO asks sponsor to provide additional details on the proposal for review and consideration.

6- Months Later – 1 Page written proposal e-mailed to ADO with a 30 page fill-in the blank lease agreement (Marked Final). E-mail message says that time is of the essence and that the agreement needed to be executed yesterday.

A review of the proposal and draft lease agreement reveals the following development characteristics and concerns:



Development Proposal – Case Study– $1 Billion Investment, – Will Create 500+ Jobs in the Community, – 15 Story Resort Hotel and Conference Center,– 18 Hole Championship Golf Course with Lights for Night Golf, – State of the Art Outdoor Amphitheater and Laser Light Show

(Performances 8pm to Midnight daily), – 5 Outdoor Olympic Size Swimming Pools, – 5-Star Organic Farm to Table Restaurant, – Storm Water Retention Ponds Double as Stocked Fishing Ponds for

Farm to Table Restaurant, – 50+ acres designated for croplands for Farm to Table Restaurant, – Onsite waste water treatment and recovery system, – (3) 20MW Solar Farms with Pivoting Panels to Capture Max. Sunlight,– (5) 8MW Vestas V164 Wind Turbines (220m tall x 164m wide)– 250+ acres of the property will be designated as Wildlife/Nature

preserve for environmental credits. – Compost Lot and Recycling Facility



Development Proposal – Case StudyReview of Draft Lease Reveals the Following:– SHAM-Rock seeks 99 yr. lease at nominal ($1/Yr) rate, – All lease payments to and taxes must be reinvested in the resort, – Rent abatement for 1st 5 yrs of lease, as well as rent abatement during

periods when resort is shut down for repairs,– Airport to pay for all of SHAM-Rock’s utility connection costs, – Airport is required to purchase all excess power from the resort at

market rate, – Airport to pay SHAM-Rock $100K/yr. for resort marketing and

promotion, – Airport to fund incentive program designed to subsidize to SHAM-

Rock Air and other airlines that serve resort. (Subsidy to be provided on a per customer basis).

– Rent free space in the airport terminal for resort marketing and sales office.

– SHAM-Rock retains all environmental credits.– Free airport parking for SHAM-Rock customers and employees.



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Questions



Thank You!

Atlanta

Airports

District

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Federal Aviation Administration 1 Georgia Airports Association March 13, 2014 Presented to: By:...

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