HomeMy WebLinkAboutResolutions - 2001.08.02 - 26321July 19, 2001
REPORT (MISC . #01199)
BY: PLANNING & BUILDING COMMITTEE, CHARLES E. PALMER, CHAIRPERSON
RE: Central Services — Oakland County International Airport —2001 Grant Program
Acceptance — Land Acquisition
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
The Planning and Building Committee, having reviewed the above referenced resolution on July
10, 2001, recommends the resolution be adopted.
Chairperson, on behalf of the Planning & Building Committee, I move the acceptance of the
foregoing report.
PLANNING & BUILDING COMMITTEE
Planning & Building Committee Vote:
Motion carried on a unanimous roll call vote with Sever and Gregory absent
MISCELLANEOUS RESOLUTION #01199 July 19, 2001
BY: General Government Committee - William R. Patterson, Chairperson
IN RE: CENTRAL SERVICES - OAKLAND COUNTY INTERNATIONAL AIRPORT -
2001 GRANT PROGRAM ACCEPTANCE - LAND ACQUISITION
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
WHEREAS the County of Oakland is in receipt of Michigan Department of
Transportation Grant Contract, Project No. C-26-0079-2701, for Federal funds in
a maximum obligation of $3,000,000, for the development and improvement of
Oakland County International Airport; and
WHEREAS the project consists of acquisition of approximately 22.51 acres
and 14 homes; and
WHEREAS the Michigan Department of Transportation has received a block
grant from the Federal Aviation Administration for airport development projects
and shall act as agent on behalf of the County in the administration of the
project; and
WHEREAS the development project as offered and approved by the Michigan
Department of Transportation and Federal Aviation Administration requires a local
grant match of $333,400; and
WHEREAS the Airport Committee has reviewed and approved the grant contract
subject to ratification by the Oakland County Board of Commissioners and believes
it to be in the County's interest to accept the grant contract; and
WHEREAS the attached contract has been approved in accordance with the
County Executive's review process; and
WHEREAS no application was requested from Oakland County, therefore the
application provisions of M.R. #95098, do not apply.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners accepts the grant contract in an amount not to exceed $3,333,400.
BE IT FURTHER RESOLVED that the Chairperson of the Oakland County Board of
Commissioners is authorized to execute the grant contract.
On behalf of the General Government Committee, I move the adoption of the
foregoing resolution.
GENERAL GOVERNMENT COMMITTEE
4/4, Pa
GENERAL GOVERNMENT COMMITTEE
Motion carried unanimously on a roll call vote with Crawford and McPherson
absent.
Central Services - Oakland County Internatio
2001 Grant Program Acceptance - Land Acquisi Liuu
K.Randall/P.Shull
Department:
Telephone #:
Central Services/Aviation
666-3900
Extension Final 1 Other * X
Disapproved * Modify* Date:
PERSONNEL DEPT:
CONTRACT/PROGRAM REVIEW REQUEST
Date:
To:
From:
Title/Subject:
File #
Contact Person:
June 12, 2001
Patricia Shull, Aviation Division
j_DO/ 5.21
STATUS: (Check appropriate box)
[Initial j Revision #
* If "other" is checked, please explain:
Is Board Resolution required? No
inoln 4111n1•00•11n
• —iv Yes - Resolution # Date: 11.1
RISK MANAGEMENT AND SAFETY:
1-1 Approved 1-7, Disapproved * Modify * Date: Signature:
MANAGEMENT AND BUDGET:
12(
, Approved E-7 Disapproved * pi Modify * Date: ../Wdr / Signature:
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CORPORATION COUNSEL: /C711,74/ ./.1(-',.//70 .1.7-evo(-7-14Z,44te62--
Approved Disapproved * n Modify * Date:
CONTRACT/PROGRAM SYNOPSIS:
Grant contract for Federal funds in the amount of $3,000,000, with a local grant match
of $333,400, which is available from the airport fund. The project consists of acquisitic
of approximately 22.51 acres and 14 homes.
* When "Disapproved" is noted or "Modify" is requested, attach explanation.
Risk Management & Safety — Revised 2/98'
GATerry's Files \Word '971SanzicaiWatershrcTICCiNTRACT-PROGRAM REVIEW REQUEST.doc
X Final Other * Extension Revision # Initial
Date: X No Is Board Resolution required? Yes — Resolution #
Disapproved * Modify * Date: Signature: 1 ] Approved
RISK MANAGEMENT AND SAFETY:
5 -./.1 Approved I 11 Disapproved * • Modify * Date: fi_vi/ Sig
Ti Approved Disapproved * 7-1 Modify * Date: Signature:
n••
Risk Management & Safety — Revised 2/S8
GATerry's FiIes\Word '97\SanzicailWatershecRCONTRACr-PROGRAM REVIEW REQUEST.rioc
Date:
To:
From:
Title/Subject:
File #
Contact Person:
CONTRACT/PROGRAM REVIEW REQUEST
June 12, 2001
Stan Fayne, Risk Management and Safety
Patricia Shull, Aviation Division
111111•1111•11.1 .1111•11•111ff
Central Services - Oakland County International Airport
2001 Grant Program Acceptance - Land Acquisition
Central Services/Aviation
K.Randall/P.Shull
Department:
Telephone #: 666-3900
•MIIIMONn
STATUS: (Check appropriate box)
* If "other" is checked, please explain:
11111•M
PERSONNEL DEPT:
MANAGEMENT AND BUDGET:
CORPORATION COUNSEL:
Approved Disapproved * Modify * Date: Signature:
CONTRACT/PROGRAM SYNOPSIS:
Grant contract for Federal funds in the amount of $3,000,000, with a local grant match
of $333,400, which is available from the airport fund. The project consists of acquisiti
of approximately 22.51 acres and 14 homes.
* When "Disapproved" is noted or "Modify" is requested, attach explanation.
01104190 13:11 3 :05/09 NO:029
Oakland County Grant Application/Acceptance
Summary Report
Central Services - Oakland County International Airport
Title of Grant 2001 Grant Program Acceptance - Land Acquisition
Grantor Agency Federal Aviation Administration
Title of Grant Funded Program Michigan State Block Grant
Notification Date 6/12/01 Submission/Acceptance Deadline 7/20/01
Requesting Department/Program/Agency central services - Aviation
Grant being submitted is: New x Renewal Modified
The maximum number of years for which this grant is available: N/A
This will be the year of grant funding for this program.
Is this program projected to extend beyond the current grant funding period .?
GRANT SUMMARY GRANT GRANT VARIANCE
REQUEST ACCEPTANCE AMOUNT*
• ($$ AND %)
Number of grant funded positions
N/A T .
Total amount ($S) of grant ' 3,000,000
Grant funded personnel costs N/A
Grant funded fringe benefits
N/A
Grant funded program costs N/A
County match requirements 333,400
County match funding source Airport Fund (Account No., OCA, PCA, Object Level 3) 137201000503196
1 State & local match requirements
(provide amount and percentage)
I
Grant funding period
(provide rnm/yy— rnm/yy)
a Indicate any variance between the original grant application and the final grant acceptance (in dollar
amounts and percentages).
No
the DEPARTMENT in connection with the PROJECT. Administrative costs incurred by the
SPONSOR are not eligible PROJECT COSTS.
THE SPONSOR WILL:
2. Enter into a contract with a consultant for each element of the PROJECT that requires such
expertise. The consultant will be selected in conformity with FAA Advisory Circular
150/5100-14. The DEPARTMENT will select the consultant for each element of the
PROJECT involving preparation ofenvironmental documentation. The SPONSOR will select
the consultant for all other aspects. All consultant contracts will be submitted to the
DEPARTMENT for review and approval. Any such approvals will not be construed as a
warranty of the consultant's qualifications, professional standing, ability to perform the work
being subcontracted, or financial integrity. The SPONSOR will neither award a consultant
contract nor authorize the consultant to proceed prior to receiving written approval of the
contract from the DEPARTMENT. Any change to the consultant contract requires prior
written approval from the DEPARTMENT. In the event the consultant contract is terminated,
the DEPARTMENT will be given immediate written notice by the SPONSOR.
3. Make payment to the DEPARTMENT for the SPONSOR'S share of the PROJECT COSTS
within thirty (30) days of the billing date. The DEPARTMENT will not make payments for
any PROJECT work prior to receipt of payment from the SPONSOR for the SPONSOR'S
share of that item of the PROJECT work.
Eligible PROJECT COSTS that are paid by the SPONSOR may be submitted for credit
toward the SPONSOR'S share of the PROJECT COST provided it is submitted within one
hundred eighty (180) days of the date the costs were incurred or one hundred eighty (180)
days of award by both parties of this Contract, whichever is later. Documentation of payment
of PROJECT COST will include copies of the invoices and copies of both sides of the
canceled checks. The amount of the SPONSOR billing will be reduced by the amount of the
eligible credit, based on documentation submitted, provided it is submitted prior to the date
of the billing. Should it be determined that the SPONSOR has been given credit for payment
of ineligible items of work, the SPONSOR will be billed an amount to insure that the
SPONSOR share of PROJECT COSTS is covered.
The SPONSOR pledges sufficient funds to meet its obligations.
4. With regard to audits and record-keeping,
a. The SPONSOR will establish and maintain accurate records, in accordance with
generally accepted accounting principles, of all expenses incurred for which payment
is sought or made under this Contract, said records to be hereina.fter referred to as the
"RECORDS." Separate accounts will be established and maintained for all costs
incurred under this Contract.
6/7/01 2 PUBLICBLOCKGRANT v5
b. Audit and Inspection. The SPONSOR will comply with the Single Audit Act of1984,
as amended, including, but not limited to, the Single Audit Amendments of 1996 (31
U.S.C. 7501-7507) the OMB Circular A-133, as revised or amended, and the
provisions of 1951 PA 51; MCL 247.660h, MSA 9.1097(10i), as applicable, that is
in effect at the time of contract award with regard to audits.
c. The SPONSOR will maintain the RECORDS for at least six (6) years from the date
of final payment made by the DEPARTMENT under this Contract. In the event of a
dispute with regard to allowable expenses or any other issue under this Contract, the
SPONSOR will thereafter continue to maintain the RECORDS at least until that
dispute has been finally decided and the time for all available challenges or appeals of
that decision has expired.
d. The DEPARTMENT or its representative may inspect, copy, or audit the RECORDS
at any reasonable time after giving reasonable notice.
e. If any part of the work is subcontracted, the SPONSOR will assure compliance with
subsections (a), (b), (c), and (d) above for all subcontracted work.
5. Provide and will require its subcontractors to provide access by the DEPARTMENT or its
representatives to all technical data, accounting records, reports, and documents pertaining
to this Contract. Copies of technical data, reports, and other documents will be provided by
the SPONSOR or its subcontractors to the DEPARTMENT upon request. The SPONSOR
agrees to permit representatives of the DEPARTMENT to inspect the progress of all
PROJECT work at any reasonable time. Such inspections are for the exclusive use of the
DEPARTMENT and are not intended to relieve or negate any of the SPONSOR'S
obligations and duties contained in this Contract. All technical data, reports, and documents
will be maintained for a period of six (6) years from the date of final payment.
6. The SPONSOR agrees to pay each subcontractor for the satisfactory completion of work
associated with the subcontract no later than ten (10) calendar days from the receipt of each
payment the SPONSOR receives from the DEPARTMENT. The SPONSOR agrees further
to return retainage payments to each subcontractor within ten (10) calendar days after the
subcontractor's work is satisfactorily completed. Any delay or postponement of payment
from these time frames may occur only upon receipt of written approval from the
DEPARTMENT. These requirements are also applicable to all sub-tier subcontractors and
will be made a part of all subcontract agreements.
This prompt payment language is a requirement of 49 CFR, Part 26.29, and does not confer
third-party beneficiary right or other direct right to a subcontractor against the
DEPARTMENT. This provision applies to both DBE and non-DBE subcontractors.
6/7/01 3 PUBLICBLOCKGRANT v5
7. In the performance of the PROJECT herein enumerated, by itself, by a subcontractor, or by
anyone acting on its behalf, agree that it will comply with any and all state, federal, and local
applicable statutes, ordinances, and regulations. The SPONSOR further agrees to obtain all
permits that are applicable to the entry into and the performance of this Contract.
In addition, the SPONSOR agrees to comply with the assurances contained in Appendix E
(PP-A-1) and the Special Conditions set forth in Appendix F, attached hereto and made a part
hereof.
THE DEPARTMENT WILL:
8. Bill the SPONSOR for the SPONSOR'S share of estimated PROJECT COST. The
DEPARTMENT will bill the SPONSOR for the SPONSOR'S share of additional estimated
PROJECT COSTS for changes approved in accordance with Section 14 at the time of award
of the amendment for approved work.
9. Upon receipt of payment request approved by the SPONSOR, make payment for eligible
PROJECT COSTS. The DEPARTMENT will seek reimbursement from the FAA through the
block grant issued to the DEPARTMENT for funds expended on eligible PROJECT COSTS.
The DEPARTMENT will not make payments for any PROJECT work prior to receipt of
payment from the SPONSOR for the SPONSOR'S share of that item of PROJECT work.
10. Make final accounting to the SPONSOR upon completion of the PROJECT, payment of all
PROJECT COSTS, and completion of necessary audits. Any excesses or deficiencies will be
returned or billed to the SPONSOR.
IT IS FURTHER AGREED:
11. The PROJECT COST participation is estimated to be as shown below and as in the attached
Exhibit 1. Exhibit 1 is to be considered an estimate. The actual DEPARTMENT, FAA, and
SPONSOR shares of the PROJECT COST will be determined at the time of financial closure
of the FAA grant.
Federal share $3,000,000
Maximum DEPARTMENT share 0
SPONSOR share 333 400
Estimated PROJECT COST $3,333,400
12. The PROJECT COST will be met in part with federal funds granted to the DEPARTMENT
by the FAA through the block grant program and in part with DEPARTMENT funds. Upon
final settlement of cost, the federal funds will be applied to the federally funded parts of this
contract at a rate not to exceed ninety percent (90%) up to and not to exceed the maximum
6/7/01 4 PUBLICBLOCKGRANT v5
federal obligations shown in Section 11 or as revised in the Budget Letter discussed in
Section 14. Those parts beyond the federal funding maximum are eligible for state funds at
90% up to and not to exceed the maximum Department obligation.
Portions of the project where only DEPARTMENT and SPONSOR funds will be applied to
the final settlement with DEPARTMENT funds at a not to exceed rate of ninety percent
(90%). The total DEPARTMENT funds applied toward the PROJECT COST can be up to
but not exceed the maximum DEPARTMENT obligations shown in Section 11 or as revised
in the Budget Letter discussed in Section 14. Any items of PROJECT COST not funded by
the FAA or DEPARTMENT funds will be the sole responsibility of the SPONSOR.
13. The SPONSOR agrees that the costs reported to the DEPARTMENT for this Contract will
represent only those items that are properly chargeable in accordance with this Contract. The
SPONSOR also certifies that is has read the contract terms and has made itself aware of the
applicable laws, regulations, and terms of this Contract that apply to the reporting of costs
incurred under the terms of this Contract.
14. The PROJECT COST shown in Section 11 is the maximum obligation of DEPARTMENT
and federal funds under this Contract. The maximum obligation of DEPARTMENT and
federal funds may be adjusted to an amount less than the maximums shown in Section 11
through a budget letter issued by the DEPARTMENT. A Budget Letter will be used when
updated cost estimates for the PROJECT reflect a change in the amount of funds needed to
fund all PROJECT COSTS. The Budget Letter will be signed by the Administrator of Airport
Development Division of the Bureau of Aeronautics.
A Budget Letter will also be used to add or delete work items from the PROJECT
description, provided the costs do not exceed the maximum obligations of Section 11. If the
total amount of PROJECT COSTS exceeds the maximum obligations shown in Section 11,
the PROJECT scope will have to be reduced or a written amendment to this Contract to
provide additional funds will have to be awarded by both parties before the work is started.
15. In the event it is determined by the DEPARTMENT that there will be either insufficient funds
or insufficient time to properly administer such funds for the entire PROJECT or portions
thereof, the DEPARTMENT, prior to advertising or authorizing work performance, may
cancel the PROJECT or any portion thereof by giving written notice to the SPONSOR. In
the event this occurs, this Contract will be void and of no effect with respect to the canceled
portion of the PROJECT. Any SPONSOR deposits on the canceled portion less PROJECT
COST incurred on the canceled portions will be refunded following receipt of a letter from
the SPONSOR requesting excess funds be returned or at the time of financial closure,
whichever comes first.
6/7/01 5 PUBLICBLOCKGRANT v5
The DEPARTMENT will not participate in PROJECT COST incurred on canceled portions
of the PROJECT, and Sections 11 and 12 will not be construed to require the
DEPARTMENT'S participation in the canceled portion(s).
Reimbursement of any costs pursuant to this Section will not constitute an final determination
by the DEPARTMENT of the allowability of such costs and will not constitute a waiver by
the DEPARTMENT of any violation of the terms and conditions of this Contract committed
by the SPONSOR.
16. In the event that an audit performed by or on behalf of the DEPARTMENT indicates an
adjustment to the costs reported under this Contract or questions the allowability of an item
of expense, the DEPARTMENT will promptly submit to the SPONSOR a Notice of Audit
Results and a copy of the audit report, which may supplement or modify any tentative findings
verbally communicated to the SPONSOR at the completion of an audit.
a. Agencies expending a total of Three Hundred Thousand Dollars ($300,000.00) or
more in federal funds from one or more funding sources in its fiscal year will comply
with the requirements of the federal Office of Management and Budget (OMB)
Circular A-133, as revised or amended.
The SPONSOR will submit two (2) copies of:
- The Reporting Package
- The Data Collection Package
- The management letter to the SPONSOR, if one issued by the audit firm
The OMB Circular A-133 audit must be submitted to the address below in accordance
with the time frame established in the circular, as revised or amended.
b. Agencies expending less than Three Hundred Thousand Dollars ($300,000.00) in
federal funds must submit a letter to the DEPARTMENT advising that a circular audit
was not required. The letter will indicate the applicable fiscal year, the amount of
federal funds spent, the name(s) of the DEPARTMENT federal programs, and the
CFDA grant number(s). This information must also be submitted to the address
below.
c. Address:
Michigan Department of Transportation
Bureau of Aeronautics
2700 East Airport Service Drive
Capital City Airport
Lansing, MI 48906-2060
6/7/01 6 PUBLICBLOCKGRANT v5
d. Agencies must also comply with applicable State laws and regulations relative to audit
requirements.
e. Agencies will not charge audit costs to the DEPARTMENT'S federal programs that
are not in accordance with the aforementioned OMB Circular A-133 requirements.
0
All agencies are subject to the federally-required monitoring activities, which may
include limited scope reviews and other on-site monitoring.
The federal award associated with this agreement is CFDA Airport Improvement
Program number 20.106, Federal Project Number C-26-0079-2701, award year 2001,
Federal Aviation Administration, Department of Transportation.
17. Within sixty (60) days after the date of the Notice of Audit Results, the SPONSOR will (a)
respond in writing to the responsible BUREAU of the DEPARTMENT indicating whether
or not it concurs with the audit report, (b) clearly explain the nature and basis for any
disagreement as to a disallowed item of expense, and (c) submit to the DEPARTMENT a
written explanation as to any questioned or no opinion expressed item of expense, hereinafter
referred to as the "RESPONSE." The RESPONSE will be clearly stated and will provide any
supporting documentation necessary to resolve any disagreement or questioned or no opinion
expressed item of expense. Where the documentation is voluminous, the SPONSOR may
supply appropriate excerpts and make alternate arrangements to conveniently and reasonably
make that documentation available for review by the DEPARTMENT. The RESPONSE will
refer to and apply the language of the contract. The SPONSOR agrees that failure to submit
a RESPONSE within the sixty (60) day period constitutes agreement with any disallowance
of an item of expense and authorizes the DEPARTMENT to finally disallow any items of
questioned or no opinion expressed cost.
The DEPARTMENT will make its decision with regard to any Notice of Audit Results and
RESPONSE within one hundred twenty (120) days after the date of the Notice of Audit
Results. If the DEPARTMENT determines that an overpayment has been made to the
SPONSOR, the SPONSOR will repay that amount to the DEPARTMENT or reach
agreement with the DEPARTMENT on a repayment schedule within thirty (30) days after
the date of an invoice from the DEPARTMENT. If the SPONSOR fails to repay the
overpayment or reach agreement with the DEPARTMENT on a repayment schedule within
the thirty (30) day period, the SPONSOR agrees that the DEPARTMENT will deduct all or
a portion of the overpayment from any funds then or thereafter payable by the
DEPARTMENT to the SPONSOR under this Contract or any other agreement or payable
to the SPONSOR under the terms of 1951 PA 51, as applicable. Interest will be assessed on
any partial payments or repayment schedules based on the unpaid balance at the end of each
month until the balance is paid in full. The assessment of interest will begin thirty (30) days
from the date of the invoice. The rate of interest will be based on the Michigan Department
of Treasury common cash funds interest earnings. The rate of interest will be reviewed
g.
6/7/01 7 PUBLICBLOCKGRANT v5
annually by the DEPARTMENT and adjusted as necessary based on the Michigan
Department of Treasury common cash funds interest earnings. The SPONSOR expressly
consents to this withholding or offsetting of funds under those circumstances, reserving the
right to file a lawsuit in the Court of Claims to contest the DEPARTMENT'S decision only
as to any item of expense the disallowance of which was disputed by the SPONSOR in a
timely filed RESPONSE.
18. This Contract will be in effect for a period of thirty six (36) months from the date of award.
19. Failure on the part of the SPONSOR to comply with any of the conditions in this Contract
may be considered cause for placing the SPONSOR in a state of noncompliance, thereby
making the SPONSOR ineligible for future federal and/or state funds until such time as the
noncompliance issues are resolved. In addition, this failure may constitute grounds for
cancellation of the PROJECT and/or repayment of all grant amounts on a pro rata basis, if
the PROJECT has begun. In this Section, pro rata means proration of the cost of the
PROJECT over twenty (20) years, if the PROJECT has not yet begun.
20. Any approvals, reviews, and inspections of any nature provided by the DEPARTMENT will
not be construed as a warranty or assumption of liability on the part of the DEPARTMENT.
It is expressly understood and agreed that any such approvals are for the sole and exclusive
purposes of the DEPARTMENT, which is acting in a governmental capacity under this
Contract, and that such approvals are a governmental function incidental to the grant that is
the subject of this Contract.
Any approvals, reviews, and inspections provided by the DEPARTMENT will not relieve the
SPONSOR of its obligations hereunder, nor are such approvals, reviews, and inspections
provided by the DEPARTMENT to be construed as a warranty as to the propriety of the
SPONSOR'S performance, but are undertaken for the sole use and information of the
DEPARTMENT.
21. In connection with the performance of PROJECT work under this Contract, the parties
(hereinafter in Appendix A referred to as the "contractor") agree to comply with the State of
Michigan provisions for "Prohibition of Discrimination in State Contracts," as set forth in
Appendix A, attached hereto and made a part hereof. The parties further covenant that they
will comply with the Civil Rights Act of 1964, being P.L. 88 -352, 78 Stat. 241, and the
Regulations of the United States Department of Transportation (49 CFR, Part 21) issued
pursuant to said Act, including Appendix B, attached hereto and made a part hereof, and will
require similar covenants on the part of any contractor or subcontractor employed in the
performance of this Contract.
The SPONSOR will carry out the applicable requirements of the DEPARTMENT'S
Disadvantaged Business Enterprise (DBE) program and 49 CFR Part 26, including, but not
6/7/01 8 PUBLICBLOCKGRANT v5
limited to, those requirements set forth in Appendix C, attached hereto and made a part
hereof.
22. In accordance with 1980 PA 278; MCL 423.321 et IQ; MSA 17.458(22), et sea, the
SPONSOR, in the performance of this Contract, will not enter into a contract with a
subcontractor, manufacturer, or supplier listed in the register maintained by the State of
Michigan, Department of Labor, of employers who have been found in contempt of court by
a FAA court of appeals on not less than three (3) occasions involving different violations
during the preceding seven (7) years for failure to correct an unfair labor practice, as
prohibited by Section 8 of Chapter 372 of the National Labor Relations Act, 29 U.S.C. 158.
The DEPARTMENT may void this Contract if the name of the SPONSOR or the name of
a subcontractor, manufacturer, or supplier utilized by the SPONSOR in the performance of
this Contract subsequently appears in the register during the performance period of this
Contract.
23. All software used by the SPONSOR in the performance of services for the DEPARTMENT
under this Contract, either for sale or license to the DEPARTMENT and used by the
DEPARTMENT prior to, during, or after the calendar year 2000, includes or will include, at
no added cost to the DEPARTMENT, design and performance so as not to cause delay in
completion of the services under this Contract or cause the DEPARTMENT to experience
software abnormalities and/or the generation of incorrect results from the software due to
date oriented processing in the operation of the business of the DEPARTMENT. Also, any
software used by the SPONSOR to carry out its normal business, e.g. accounting and payroll,
will not cause delay in completion of the services under this Contract due to date oriented
processing in the operation of the business of the SPONSOR. Therefore, any business failure
due to software problems attributed to the calendar year 2000 is unacceptable as a cause for
delay in providing services under this Contract.
To insure year 2000 compatibility, the software design will include, but is not limited to, data
structures, (databases, data files, etc.) that provide 4-digit date century; stored data that
contain date century recognition, including, but not limited to, data stored in databases and
hardware device internal system dates; calculations and program logic (e.g., sort algorithms,
calendar generation, event recognition, and all processing actions that use or produce date
values) that accommodates same century and multi-century formulas and date values;
interfaces that supply data to and receive data from other systems or organizations that
prevent noncompliant dates and data from entering any State system; user interfaces (i.e.,
screens, reports, etc.) that accurately show 4-digit years; and assurance that the year 2000 will
be correctly treated as a leap year within all calculation and calendar logic.
24. In any instance of dispute and/or litigation concerning the PROJECT, the resolution thereof
will be the sole responsibility of the parties to the contract that is the subject of the
controversy. It is understood and agreed that any legal representation of the SPONSOR in
any dispute and/or litigation will be the financial responsibility of the SPONSOR.
6/7/01 9 PLTBLICBLOCKGFtANT v5
25. The DEPARTMENT and the FAA will not be subject to any obligations or liabilities by
contractors of the SPONSOR or their subcontractors or any other person not a party to this
Contract without its specific consent and notwithstanding its concurrence in or approval of
the award of any contract or subcontract or the solicitation thereof
26. Each party to this Contract will remain responsible for any claims arising out of that party's
performance of this Contract as provided by this Contract or by law.
This Contract is not intended to increase or decrease either party's liability for or immunity
from tort claims.
This Contract is not intended to nor will it be interpreted as giving either party a right of
indemnification, either by Contract or at law, for claims arising out of the performance of this
Contract.
27. In case of any discrepancies between the body of this Contract and any Exhibit hereto, the
body of the contract will govern.
28. This Contract will become binding on the parties and of full force and effect upon signing by
the duly authorized officials for the parties and upon adoption of a resolution approving said
contract and authorizing the signature(s) thereto of the respective official(s) of the
SPONSOR, a certified copy of which resolution will be attached to this Contract.
IN WITNESS WHEREOF, the parties have caused this Contract to be awarded.
OAKLAND COUNTY BOARD OF COMMISSIONERS
By:
Title:
MICHIGAN DEPARTMENT OF TRANSPORTATION
By:
Title: Department Director
6/7/01 10 PUI3LICBLOCKGRANT v5
ADMINISTRATION
DEPARTMENT-AERO
EXHIBIT 1
OAKLAND COUNTY INTERNATIONAL AIRPORT
PONTIAC, MICHIGAN
Project No. C-26-0079-2701
Contract No. FM 63-01-LAND
04-Jun-01
Federal State Local Total
$1,800 $0 $200 $2,000
$1,800 $0 $200 $2,000
LAND $2,954,641 $0 $328,359 $3,283,000
Parcel's 262,264-266,268,270,287-290,293-295,297:
Acquisition $2,444,351 $0 $271,649 $2,716,000
Consultant Fees $151,197 $0 $16,803 $168,000
Relocation $283,494 $0 $31,506 $315,000
Demolition $75,598 $0 $8,402 $84,000
ENGINEERING $0 $0 $0 $0
$0 $0 $0 $0
CONSTRUCTION $0 $0 $0 $0
$0 $0 $0 $0
CONTINGENCIES $43,559 $0 $4,841 $48,400
Funding Contingencies $43,559 $0 $4,841 $48,400
TOTAL PROJECT BUDGET $3,000,000 $0 $333,400 $3,333,400
Consultattt: The Farbinan Croup, Inc.
Project Description: Al. 114-59-5594
Acres: 22.51
Location: Waterford, Michigan Project No.: C-26-0079-270I Percentage: 90 1)/0
Total Giant Amount: S3,333.400 (Federal-53,000.000 / State-0.00 / Local-5333.460
LAND ACQUISITION PAYMENT SUMMARY
(This document is for land acquisition estimates only and not for public distribution.)
Page No. I of
Date: June 4,2001 111:46om
Prepare.: Tess
Repot Ni.: Pi eliiiiinarv ttl
Airport: Oakland County International Airport
Spon..ir t.
on tram No. 2001- dated iespircs
-
Consultant Costs
Al P Closing Costs Demolition/ .., , Net .:- Eligible
Parcel Acreage .' Previous Owner Appraised Date Acquisition - Relocation Salvage • • • Land .. Costs . • 2: Rents
No. Value Acquired Cost Appraisal Consultant Costs Costs .. . Costs..., I - To Date.. 'Reedy...ad Cost Costs
Property Incidental
Taxes Expenses Total Cost _
262 .68 Nolen, W. VA of 41 A 190,000.00 A2,000.00 A 1,000.00 193,000.00 _ A2,000.00 A 10,000.00 A22,500.00 A6,000.00 233.51)0.00 233,500.00
264 .68 Herman. F. eA of 51 A229.000.00 A2,000.00 A 1,000.00 232,000.00 A 2,000.00 _ A 10,000.00 A22.500.00 A6,000.00 272,500.00 272,500.00
265 .68 _ Lewis, M.1% of 61 A 55,000 00 A 2.000.00 A 1.000.00 158,000.00 A 2000.00 A 10,000.00 A 22,500.00 A (,,000.00 198,500.00 198,500.00 .
, 266 .68 Lisac, Al. Pi of 6) A 222,00000 A 2,000.00 A 1,000.00 225,000.00 , A 2,000.00 A 10.000.00 A 22,500.00 A 6,000.00 265,500.00 265,500.00
268 2.91 Ilarris, W.17) A 207,00000 A 2.000.00 A 1000.00 _ 210,000.00 A 2.000.00 _ A 10,000.00 _ A 22,500.00 A 6.000.00 250,500.00 250,500.00
_ 270 .83 Ciihson. A. A 188.000.00 A 2,000.00 A 1,000.00 191,000.00 , A 2,000.00 A 10,000.00 _ A 22.500.00 A 6.000.00 231,500.00 231,500.00
_ 287 1.66 fain, L A 150,000.00 A 2,000.00 _ A 1,000.00 153,000.00 A 2,000.00 A 10,000.00 A 22,500.00 A 6,000.00 193,500.00 193,500.00
288
1.27 McCall, A. A 177,000.00 A 2.000.00 A 1,000.00 , 180,000.00 A 2,000.00 A 10,000.00 A 22,500.00 A 6,000.00 220.500.00 220,500.00 -
289 2.48 Smith, C. A 159,000.00 A2.000.00 A 1.000.00 162.000.00 A2.000.00 A 10,000.00 A22,500.00 A6,000.00 202,500.00 202,500.00
290 2.53 _ Funderbunk. K. A 161,000.00 A 2.000.00 A 1,000.00 164,000.00 A 2.000.00 A 10,000.00 A 22,500.00 A 6,000.00 204,500.00 204,500.00 ,--
_ 293 _ 1.00 i.tIC2S, K. _ A 203.000.00 A 2.000.00 A 1.000.00 206.000.00 A 2,000.00 A 10.000.00 A 22,500.00 A 6,000.00 246,500.00 246.500.00
294 4 .73 Day, J. _ A 157,000.00 A2.000.00 _ A 1,000.00 _ 160.000.00 A2.000.00 A 10,000.00 A22.500.00 A6.000.00 200,500.00 200.500.00
295 2.38 Chaaban. M. _ A 240.000.00 A 2,000.00 _ A 1,000.00 243.000.00 A 2,000.00 A 10,000.00 A 22,500.00 A 6,000.00 283,500.00 .283.500.00
297 4.00 Alto, J. , A236.000.00 A2,000.00 A 1,000.00 239,000.00 A 2,000:00 A 10,000.00 A22.500.00 A6,000.00 279,500.00 279,500.00 _
_ Contingencies _ A 48,400.00 48,400.00 48,400.00 48,400.00 .:,-
— AERO Adrn Costs A 2,000.00 2,000.00 2,000.00 2,000.00
22.51 SUB-TOTAL 2,674,000.00 28,000.00 64,400.00 2.766,400.00 28,000.00 140,000.00 315,000.00 84,000.00 3,333,400.00 3,333,400.00 0.00 -
• • RENTS RECEIVED 0.00 7 1
TOTAL ELIGIBLE COSTS _ _ 3.333,400.00
II:13FRAI. 511Al4l: 190%1 , 3,0(10.000.00 t
t\l \1 Cinisoltan“'onnavt Fat lisiroi ;loop) I 'ontraet. doted 00 iAddendumN.i S
I•... I N l'• l'..0 It R. mt., IS
-S (dated ) 61AliltD approval
ATTACHMENT 3
SUPPLEMENTAL PROVISIONS FOR FEDERAL/STATE/LOCAL CONTRACTS
INVOLVING LAND ACQUISITION
AT ALL CLASSIFICATIONS OF AIRPORTS
1. The term PROJECT COST, shall include the costs necessary for the performance of the
PROJECT work including related engineering, title research, appraisals, negotiations,
acquisition, relocation of displaced persons and businesses, structure removal, legal and
litigation costs and attorney fees, the costs of technical guidance, and monitoring incurred in
connection with the PROJECT.
2. If the PROJECT is canceled or the SPONSOR ceased acquisition on a voluntary basis, all
costs, fees and damages allowed shall be the responsibility of the SPONSOR. If the
SPONSOR discontinues or abandons any condemnation case, the SPONSOR shall be
responsible for all costs, fees and damages allowed at law or equity. It is further agreed that
any claims filed alleging a constructive or de facto taking shall be the responsibility of the
SPONSOR with regard to damages, costs, interest, and attorney fees.
3. The SPONSOR hereby agrees that it will maintain said Airport in full operating condition on
a year-round basis for a period of twenty (20) years in accordance with general utility
licensing requirements set forth by the Michigan Aeronautics Commission rules and
regulations. During this period, the Airport shall not be abandoned or permanently closed
without the express written permission of the DEPARTMENT. During this period and
beyond for land purchased under the project, the SPONSOR, when the land is no longer
needed for airport purposes, shall dispose of such land at fair market value and make available
to the DEPARTMENT an amount equal to the DEPARTMENT'S proportionate share of the
current fair market value of the land.
In addition to the requirements of paragraph 3 of these supplemental provisions, and not in
lieu thereof, should the SPONSOR desire to abandon, close, sell or otherwise divest itself of
the airport or any portion thereof, the SPONSOR agrees to also provide to the
DEPARTMENT a prior written notice of any such intent giving the DEPARTMENT, for a
period of one hundred eighty (180) days after receipt of such notice, a first right to purchase
at fair market value the airport and all facilities thereon. Fair market value shall be determined
by an independent appraisal of such properties.
The notice of intent and first right to purchase shall be provided via registered or certified
mail, return receipt, postage prepaid, addressed to the Deputy Director of the Bureau of
Aeronautics, Michigan Department of Transportation.
1 of 2 May 31, 1994 v2 Aero 3
5. The SPONSOR will operate and maintain in a safe and serviceable condition the Airport and
all facilities thereon and connected therewith which are necessary to serve the aeronautical
users of the Airport other than facilities owned or controlled by the United States in the State
of Michigan, and will not permit any activity thereon which would interfere with its use for
airport purposes; provided that nothing herein shall be construed as requiring the
maintenance, repair, restoration, or replacement of any structure or facility which is
substantially damaged or destroyed due to any act of God or other condition or circumstances
beyond the control of the SPONSOR.
6. The SPONSOR will, either by the acquisition and retention of easements or other interests
in or rights for the use of land or airspace, or by the adoption and enforcement of zoning
regulations, prevent the construction, erection, alteration or growth of any structure, tree or
other object in the approach areas of the runways of the Airport, which would constitute an
obstruction to air navigation according to the criteria or standards prescribed in FAA
Advisory Circulars.
For a period of twenty (20) years, the SPONSOR will make the airport available, as an
airport, for public use, to all types, kinds and classes of aeronautical use on fair and
reasonable terms and without unjust discrimination. Rates charged to aeronautical users will
be determined on the basis of the cost to the SPONSOR of providing the facility. In any
agreement, contract, lease, or other arrangement under which a right or privilege at the
airport is granted to any person, firm, or corporation to conduct or engage in an approved
non-aeronautical activity, the SPONSOR will charge fair market value for the right to conduct
such activity. During this period, all revenues generated by the airport, for either aeronautical
or non-aeronautical activities, will be expended for the capital or operating costs of the
airport; the local airport system; or other local facilities, which are owned or operated by the
SPONSOR and directly and substantially related to the actual air transportation of passengers
or property.
2 of 2 May 31, 1994 v2 Aero 3
APPENDIX A
PROHIBITION OF DISCRIMINATION IN STATE CONTRACTS
In connection with the performance of work under this contract; the contractor agrees as follows:
1. In accordance with Act No. 453, Public Acts of 1976, the contractor hereby agrees not to
discriminate against an employee or applicant for employment with respect to hire, tenure,
terms, conditions, or privileges of employment, or as a matter directly or indirectly related to
employment, because of race, color, religion, national origin, age, sex, height, weight, or
marital status. Further, in accordance with Act No. 220, Public Acts of 1976 as amended by
Act No. 478, Public Acts of 1980 the contractor hereby agrees not to discriminate against an
employee or applicant for employment with respect to hire, tenure, terms, conditions, or
privileges of employment, or a matter directly or indirectly related to employment, because
of a disability that is unrelated to the individual's ability to perform the duties of a particular
job or position. A breach of the above covenants shall be regarded as a material breach of this
contract.
2. The contractor hereby agrees that any and all subcontracts to this contract, whereby a portion
of the work set forth in this contract is to be performed, shall contain a covenant the same as
hereinabove set forth in Section 1 of this Appendix.
3. The contractor will take affirmative action to insure that applicants for employment and
employees are treated without regard to their race, color, religion, national origin, age, sex,
height, weight, marital status or a disability that is unrelated to the individual's ability to
perform the duties of a particular job or position. Such action shall include, but not be limited
to, the following: employment, upgrading, demotion or transfer, recruitment advertising;
layoff or termination; rates of pay or other forms of compensation; and selection for training,
including apprenticeship.
4. The contractor will, in all solicitations or advertisements for employees placed by or on behalf
of the contractor, state that all qualified applicants will receive consideration for employment
without regard to race, color, religion, national origin, age, sex, height, weight, marital status
or disability that is unrelated to the individual's ability to perform the duties of a particular job
or position.
5. The contractor or his collective bargaining representative will send to each labor union or
representative of workers with which he has a collective bargaining agreement or other
contract or understanding, a notice advising the said labor union or workers' representative
of the contractor's commitments under this appendix.
6. The contractor will comply with all relevant published rules, regulations, directives, and
orders of the Michigan Civil Rights Commission which may be in effect prior to the taking
of bids for any individual state project.
7. The contractor will furnish and file compliance reports within such time and upon such forms
as provided by the Michigan Civil Rights Commission, said forms may also elicit information
as to the practices, policies, program, and employment statistics of each subcontractor as well
as the contractor himself, and said contractor will permit access to his books, records, and
accounts by the Michigan Civil Rights Commission and/or its agent, for purposes of
investigation to ascertain compliance with this contract and relevant with rules, regulations,
and orders of the Michigan Civil Rights Commission.
8. In the event that the Civil Rights Commission finds, after a hearing held pursuant to its rules,
that a contractor has not complied with the contractual obligations under this agreement, the
Civil Rights Commission may, as part of its order based upon such findings, certify said
findings to the Administrative Board of the State of Michigan, which Administrative Board
may order the cancellation of the contract found to have been violated and/or declare the
contractor ineligible for future contracts with the state and its political and civil subdivisions,
departments, and officers, and including the governing boards of institutions of higher
education, until the contractor complies with said order of the Civil Rights Commission.
Notice of said declaration of future ineligibility may be given to any or all of the persons with
whom the contractor is declared ineligible to contract as a contracting party in future
contracts. In any case before the Civil Rights Commission in which cancellation of an existing
contract is a possibility, the contracting agency shall be notified of such possible remedy and
shall be given the option by the Civil Rights Commission to participate in such proceedings.
9. The contractor will include, or incorporate by reference, the provisions of the foregoing
paragraphs (1) through (8) in every subcontract or purchase order unless exempted by the
rules, regulations or orders of the Michigan Civil Rights Commission, and will provide in
every subcontract or purchase order that said provisions will be binding upon each
subcontractor or seller.
March 1998
Appendix B
(A ero n a u ti cs)
CIVIL RIGHTS ACT OF 1964, TITLE VI -49 CFR PART 21
CONTRACTUAL REQUIREMENTS
During the performance of this contract, the contractor, for itself, its assignees and successors in interest (hereinafter
referred to as the "contractor") agrees as follows:
1. Compliance with Regulations. The contractor will comply with the Regulations relative to nondiscrimination
in federally assisted programs of the Department of Transportation (hereinafter "DOT') Title 49, Code of
Federal Regulations, Part 21, as they may be amended from time to time (hereinafter referred to as the
Regulations), which are herein incorporated by reference and made a part of this contract.
2. Nondiscrimination. The contractor, with regard to the work performed by it during the contract, will not
discriminate on the grounds of race, color, or national origin in the selection and retention of subcontractors,
including procurement of materials and leases of equipment. The contractor will not participate either directly
or indirectly in the discrimination prohibited by section 21.5 of the Regulations, including employment
practices when the contract covers a program set forth in Appendix B of the Regulations.
3. Solicitation for Subcontracts, Including Procurement of Materials and Equipment. In all solicitations either
by competitive bidding or negotiation made by the contractor for work to be performed under a subcontract,
including procurement of materials of leases of equipment, each potential subcontractor or supplier will be
notified by the contractor of the contractor's obligations under this contract and the Regulations relative to
nondiscrimination on the grounds of race, color, or national origin.
4. Information and Reports. The contractor will provide all information and reports required by the Regulations
or directives issued pursuant thereto and will permit access to its books, records, accounts, other sources of
information, and its facilities as may be determined by the Sponsor or the Federal Aviation Administration
(FAA) to be pertinent to ascertain compliance with such Regulations, orders, and instructions. Where any
information required of a contractor is in the exclusive possession of another who fails or refuses to furnish
this information, the contractor will so certify to the sponsor of the FAA, as appropriate, and will set forth
what efforts it has made to obtain the information.
5. Sanctions for Noncompliance. In the event of the contractor's noncompliance with the nondiscrimination
provisions of this contract, the sponsor will impose such contract sanctions as it or the FAA may determine
to be appropriate, including, but not limited to:
a. Withholding of payments to the contractor under the contract until the contractor complies, and/or
b. Cancellation, termination, or suspension of the contract, in whole or in part.
6. Incorporation of Provisions. The contractor will include the provisions of paragraphs 1 through 5 in every
subcontract, including procurement of materials and leases of equipment, unless exempt by the Regulations
or directive issued pursuant thereto. The contractor will take such action with respect to any subcontract or
procurement as the sponsor or the FAA may direct as a means of enforcing such provisions including
sanctions for noncompliance. Provided, however, that in the event a contractor becomes involved in, or is
threatened with, litigation with a subcontractor or supplier as a result of such direction, the contractor may
request the Sponsor to enter into such litigation to protect the interests of the sponsor and, in addition, the
contractor may request the United States to enter into such litigation to protect the interests of the United
States.
APPENDIX C
Assurances that Recipients and Contractors Must Make
(Excerpts from US DOT Regulation 49 CFR § 26.13)
A. Each financial assistance agreement signed with a DOT operating administration (or a primary
recipient) must include the following assurance:
The recipient shall not discriminate on the basis of race, color, national origin,
or sex in the award and performance of any US DOT-assisted contract or in
the administration of its DBE program or the requirements of49 CFR Part 26.
The recipient shall take all necessary and reasonable steps under 49 CFR Part
26 to ensure nondiscrimination in the award and administration of US DOT-
assisted contracts. The recipient's DBE program, as required by 49 CFR Part
26 and as approved by US DOT, is incorporated by reference in this
agreement. Implementation of this program is a legal obligation and failure to
carry out its terms shall be treated as a violation of this agreement. Upon
notification to the recipient of its failure to carry out its approved program,
the department may impose sanctions as provided for under Part 26 and may,
in appropriate cases, refer the matter for enforcement under 18 U.S.C. 1001
and/or the Program Fraud Civil Remedies Act of 1986 (31 U.S.C. 3801 et
seq.).
B. Each contract MDOT signs with a contractor (and each subcontract the prime contractor
signs with a subcontractor) must include the following assurance:
The contractor, subrecipient or subcontractor shall not discriminate on the
basis of race, color, national origin, or sex in the performance of this contract.
The contractor shall carry out applicable requirements of 49 CFR Part 26 in
the award and administration of US DOT-assisted contracts. Failure by the
contractor to carry out these requirements is a material breach of this
contract, which may result in the termination of this contract or such other
remedy as the recipient deems appropriate.
EXHIBIT E
Terms And Conditions Of Accepting
Airport Improvement Program Grants
This document contains the terms and conditions of accepting Airport Improvement Program (Al?) grants from the
Federal Aviation Administration (FAA) for the purpose of carrying out the provisions of Title 49, United States Code
These terms and conditions become applicable when the sponsor accepts a Grant Offer from the FAA that references
this document. The terms and conditions may be unilaterally amended by the FAA, by notification in writing, and such
amendment will only apply to grants accepted after notification.
L Certifications
Section 47105(d), Title 49 of the United States Code authorizes the Secretary to require certification from sponsors that
they will comply with statutory and administrative requirements. The following list of certified items includes major
requirements for this aspect of project implementation. However, the list is not comprehensive, nor does it relieve
sponsors from fully complying with all applicable statutory and administrative standards. In accepting a grant, the
sponsor certifies that each of the following items will be complied with in the performance of grant agreements. If a
certification cannot be met for a specific project, the sponsor must fully explain in an attachment to:the project
application.
A. Sponsor Certification for Selection of Consultants
General procurement standards for consultant services within Federal grant programs are described in 49 CFR
18.36. Sponsors may use other qualifications-based procedures provided they are equivalent to specific
standards in 49 CFR 18 and Advisory Circular 150/5100-14.
1. All advertisements will be placed to ensure fair and open competition from a wide area of interest.
2. For any and all contracts over $25,000, consultants will be selected using competitive procedures based
on qualifications, experience, and disadvantaged business enterprise requirements with the fee
determined through negotiation.
3. An independent cost analysis will be performed, and a record of negotiations will be prepared reflecting
the considerations involved in the establishment of fees for all engineering contracts with basic service
fees exceeding $25,000.
4. If any services are to be performed by sponsor force account personnel prior approval must be obtained
from FAA.
5. All consultant services contracts will clearly establish the scope of work and delineate the division or
responsibilities between all parties engaged in carrying out elements of the project.
6. All costs associated with work ineligible for AU' funding will be clearly identified and separated from
eligible items.
7. All mandatory contract provisions for grant-assisted contracts will be included in all consultant services
contracts.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-1-
8. If any contract is awarded without competition, pre-award review and approval will be obtained from
FAA.
9. Cost-plus-percentage-of-cost methods of contracting prohibited under Federal standards will not be used.
10. If services being procured cover more than a single grant project the scope of work will be specifically
described in the advertisement, and future work will not be initiated beyond five years.
B. Sponsor Certification for Project Plans and Specifications
General AIP standards are described in Advisory Circulars 150/5100-6, 150/5100-15, and 150/5100-16. A
list of current advisory circulars with specific standards for design or construction of airports and procurement
or installation of airport equipment and facilities is referenced in Section
1. All plans and specifications will be developed in accordance with all current applicable Federal standards
and requirements, or state standard specifications developed under a Federal grant, and no deviation from
or modification to standards set forth in the advisory circulars will be allowed without prior approval of
the FAA.
2. All equipment specifications will rely on the national standards as contained in the Advisory Circulars.
without deviations, to the maximum extent possible. Specifications for the procurement of equipment
for which there is no Federal specification or standard, will not be proprietary nor written to restrict
competition. If there is no national standard, or if the national standard provides for a choice to be made.
at least two manufacturers will assure that they can meet the specification. A deviation from the national
standard will require FAA approval of the design standard modification.
3. All development to be included in any plans is depicted on an Airport Layout Plan approved by FAA.
4. All development which is ineligible for Ate funding will either be omitted from the plans and
specifications or costs associated with ineligible or AIP non-participating items will be separated and
noted as non-AIP work and deducted from Al? project reimbursement requests.
5. Process control and acceptance tests required for any and all projects by standards contained in Advisory
Circular 150/5370-10 will be included in the project specifications.
6. If a value engineering clause is incorporated into any contract, concurrence will be obtained from FAA
7. All plans and specifications will incorporate applicable requirements and recommendatiOns set forth in
the Federally -approved environmental finding.
S. For all construction activities within or near aircraft operational areas, the applicable requirements
contained in Advisory Circular 150/5370-2 will be discussed with FAA and incorporated into the
specifications. A safety/phasing plan will be prepared, and prior FAA concurrence will be obtained.
9. All projects will be physically completed without Federal participation in costs that are due to errors or
omissions in the plans and specifications that were foreseeable at the time of project design.
10. All Airport Layout Plan (ALP) revisions and proposals for facility construction clearance will includ::
coordinates that are either surveyed or based on reference coordinates previously found acceptable-to
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-2-
FAA. The coordinates will be verified and found consistent with the dimensions shown on the project
sketch/ALP. The coordinates will be in terms of the North American Datum of 1983.
11. All site elevations on Airport Layout Plan (ALP) revisions and proposals for construction clearance will
be within +1-0.1 foot vertically and the vertical datum will be in terms of the National Geodetic Vertical
Datum of 1929.
C. Sponsor Certification for Equipment/Construction Contracts
Standards for advertising and awarding equipment and construction contracts within Federal grant programs
are described in 49 CFR 18.36. Sponsors may use their procurement procedures reflecting State and local
laws or regulations provided procurements conform to specific standards in 49 CFR 18 and Advisory Circulars
150/5100-6, 150/5100-15, and 150-5100-16.
1. A code or standard of conduct will be in effect governing the performance of the sponsor's officers.
employees, or agents in soliciting and awarding procurement contracts.
2. Qualified personnel will be engaged to perform contract administration, engineering supervision, and
construction inspection and testing on all projects.
3. All procurement will be publicly advertised using the competitive sealed bid method of procurement. If
procurement is less than $100,000, project may use three (3) quote method.
4. All requests for bids will clearly and accurately describe all administrative and other requirements of the
equipment and/or services to be provided.
5. Concurrence will be obtained from FAA prior to contract award under any of the following
circumstances:
a. Only one qualified person/firm submits a responsive bid,
b. The contract is to be awarded to other than the lowest responsive and responsible bidder,
c. Life cycle costing is a factor in selecting the lowest responsive bidder,
d. Proposed contract prices are more than 10% over the sponsor's cost estimate.
All contracts exceeding $100,000, require a bid guarantee of 5%, a performance bond of 100%, and a
payment bond of 100%.
7. All contracts exceeding $100,000 will contain provisions or conditions specifying administrative.
contractual, and legal remedies, including contract termination, for those instances in which contractors
violate or breach contract terms. They also will contain provisions requiring compliance with applicabl::
standards and requirements issued under Section 306 of the Clean Air Act (42 USC 1857(h)), Section
508 of the Clean Water Act (33 USC 1368), Executive Order 11738, and environmental protectior
rezulations (40 CFR Part 15).
8. All construction contracts involving labor will contain provisions insuring that in the employment o:
labor preference will be given to honorably discharged Vietnam era veterans and disabled veterans.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-3-
9. All construction contracts exceeding $2,000 will contain provisions requiring compliance with the Davis-
Bacon Act and bid solicitations will contain a copy of the current Federal wage rate determination.
Provisions requiring compliance with Sections 103 and 107 of the Contract Work Hours and Safeb,
Standards Act (40 USC 327-330) and the Copeland "Anti-Kick Back" Act will be included.
10. All construction contracts exceeding $10,000 will contain appropriate clauses from 41 CFR part 60 for
compliance with Equal Employment Opportunity Executive Order 11246.
11. All contracts and subcontracts will contain clauses required from Title VI Civil Rights Assurances and
49 CFR 26 for Disadvantaged Business Enterprises.
12. Appropriate checks will be made to assure that contracts or subcontracts are not awarded to those
individuals or firms suspended, debarred, or voluntarily excluded from doing business with any DOT
element and appearing on the DOT Unified List.
D. Sponsor Certification for Real Property Acquisition
Requirements on real property acquisition and relocation assistance are in 49 CFR 24 and the Uniform
Relocation Assistance and Real Property Acquisition Policies Act of 1970 (Uniform Act).
1. Good and sufficient title will be held on property in any and all projects. The sponsor's attorney or other
official will prepare and have on file title evidence on the property.
2. If defects and/or encumbrances exist in the title which adversely impact the sponsor's intended use of
property in the project, they will be extinguished, modified, or subordinated.
3. If property for airport development will be leased, the term is for 20 years or the useful life of the project.
The lessor is a public agency and the lease contains no provisions which prevent full compliance with
the grant agreement.
4. Property will be in conformance with the current Exhibit A (property map). The property map is based
on deeds, title opinions, land surveys, the approved Airport Layout Plan, and project documentation.
5. For any and all acquisition of property interest in noise sensitive approach zones and related areas.
property interest will be obtained to ensure land is used for purposes compatible with noise levels
associated with operation of the airport.
6. For all acquisition of property interest in runway protection zones and areas related to FAR Part 77
surfaces, property interest will be obtained for the right of flight, right of ingress and egress to remove
obstructions, right to make noise associated with aircraft operations. and to restrict the establishment of
future obstructions.
7. All appraisals will include valuation data to estimate the current market value for the property interes:
acquired on each parcel and will be prepared by qualified real estate appraisers hired by the sponsor. An
opportunity will be provided the property owner or their representative to accompany appraisers during
inspections.
8. All appraisals will be reviewed by a qualified review appraiser to recommend an amount for the offer o:
just compensation. Al! written appraisals and review appraisal will be available to FAA for review.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-4-
9. A written offer to acquire property will be presented to the property owner for not less than the approved
amount of just compensation.
10. Every effort will be made to acquire property through negotiation with no coercive action to induce
agreement. If negotiation is successful, project files will contain supporting documents for settlements.
11. If a negotiated settlement is not reached, condemnation will be initiated and a court deposit not less than
the just compensation will be made prior to possession of the property. Project files will contain
supporting documents for awards.
12. If displacement of persons, businesses, farm operations, or nonprofit organizations is involved, a
relocation assistance program will be established. Displaced persons will receive general information
in writing on the relocation program, notice of relocation eligibility, and a 90 day notice to vacate.
13. Relocation assistance services, comparable replacement housing, and payment of necessary relocation
expenses will be provided within a reasonable time period for displaced occupant in accordance with the
Uniform Act.
E. Sponsor Certification for Construction Project Final Acceptance
General requirements for final acceptance and close-out of Federally funded construction projects are in 49
CFR 18.50. The sponsor shall determine that project costs are accurate and proper in accordance with specific
requirements of the Grant Agreement and contract documents.
1. All personnel engaged in project administration, engineering supervision, and construction inspection
and testing will be determined to be qualified and competent to perform the work.
2. All daily construction records will be kept by the resident engineer/construction inspector. These records
document work in progress, quality and quantity of materials delivered, test locations and results.
instructions provided the contractor, weather, equipment use, labor requirements, safety problems, and
changes required.
3. All weekly payroll records and statements of compliance will be submitted by the prime contractor and
reviewed by the sponsor for Federal labor and civil rights requirements (Advisory Circular 150/5100-6
and 150/5100-15).
4. All complaints regarding the mandated Federal provisions set forth in the contract documents will bc
submitted to the Department of Labor.
5. All tests specified in the plans and specifications will be performed and the test results documented. A
summary of test results will be available to FAA.
6. For all test results outside allowable tolerances, appropriate corrective actions will be taken.
7. All payments to the contractor will be made in compliance with contract provisions and verified by th:
sponsor's internal audit of contract records kept by the resident engineer. If appropriate, all pay reduction
factors required by the specifications will be applied in computing final payments and a summary of pa:,
reductions will be available to FAA.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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8. All projects will be accomplished without significant deviations, changes, or modifications from the
developed plans and specifications, except where approval will be obtained from FAA.
9. All final project inspections will be conducted with representatives of the sponsor and the contractor.
Project files will contain documentation of the final inspection.
10. All work in the Grant Agreement will be physically completed and corrective actions required as a result
of the final inspection will be completed to the satisfaction of the construction contract and the sponsor.
11. As-built plans and an equipment inventory, if applicable, will be maintained as sponsor records. If
requested, a revised Airport Layout Plan will be made available to FAA prior to start of development.
12. All applicable close-out financial reports will be submitted to FAA within three (3) years of the date of
grant.
F. Sponsor Certification for Seismic Design and Construction
49 CFR Part 41 sets forth the requirements in the design and construction of the building(s) to be financed
with the assistance of the Federal Aviation Administration. Compliance will be met by adherin4 to at least
one of the following accepted standards:
1. Model codes found to provide a level of seismic safety substantially equivalent to that provided by use of
the 1938 National Earthquake Hs7nrds Reduction Program (NEHRP) including:
a. The 1991 International Conference of Building Officials (IBCO) Uniform Building Code,
published by the International Conference of Building Officials, 5360 South Workman Mill
Road, Whittier, California 90601.
b. The 1992 Supplement to the Building Officials and Code Administration International
(BOCA) National Building Code, published by the Building Officials and Code
Administrators, 4051 West Flossmoor Road, Country Club Hills, Illinois 60478-5795.
c. The 1992 Amendments to the Southern Building Code Congress (SBCC) Standard Building
Code, published by the Southern Building Code Congress International, 900 Montclair Road.
Birmingham, Alabama 35213-1206.
2. Revisions to the model codes listed above that are substantially equivalent or exceed the then current or
immediately preceding edition of the NEHRP recommended provisions, as it is updated, maybe approved
by the DOT Operating Administration to meet the requirements of 49 CFP, Part 41.
3. State. county, local, or other jurisdictional building ordinances adopting and enforcing the model codes.
listed above, in their entiret, without significant revisions or changes in the direction of less seismi.:
safety, meet the requirement of 49 CFR Part 41.
G. Sponsor Certification for Drug-Free Workplace
1. The sponsor certifies that it will continue to provide a drug-free workplace b:
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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a. Publishing a statement notifying employees that the unlawful manufacture, distribution,
dispensing, possession, or use of a controlled substance is prohibited in the sponsor's
workplace and specifying the actions that will be taken against employees for violations of
such prohibitions.
b. Establishing an ongoing drug-free awareness program to inform employees about:
(1) The dangers of drug abuse in the workplace.
(2) The grantee's policy of maintaining a drug-free workplace.
(3) Any available drug counseling, rehabilitation, and employee assistance programs.
(4) The penalties that may be imposed upon employees for drug abuse violations occurring in the
workplace.
c. Making it a requirement that each employee to be engaged in the performance of a grant be
given a copy of the statement required by paragraph a.
d. Notifying the employee in the statement required by paragraph a that, as a condition of
employment under a grant, the employee will:
(1) Abide by the terms of the statement.
(2) Notify the employer in writing of his or her conviction for a violation of a criminal drug statue
occurring in the workplace no later than five calendar days after such conviction.
e. Notifying the agency in writing, within ten calendar days after receiving notice under
paragraph d(2) from an employee or otherwise receiving actual notice of such conviction.
Employers of convicted employees must provide notice including position title, to every grant
officer or other designee on whose grant activity the convicted employee was working, unless
the Federal agency has designated a central point for the receipt of such notices. Notices shall
include the identification number(s) of each affected grant.
f. Taking one of the following actions, within 30 calendar days of receiving notice under
paragraph d(2) with respect to any employee who is so convicted:
(1) Taking appropriate personnel action against such an employee, up to and including
termination, consistent with the requirements of the Rehabilitation Act of 1973, as amended
(2) Requiring such employee to participate satisfactorily in a drug abuse assistance or
rehabilitation program approved for such purposes by a Federal, State or local health, Inv.
enforcement, or other appropriate agency.
(3) Making a good faith effort to continue to maintain a drug-free workplace through
implementation of paragraphs (a), (b), (c), (d), (e), and (f).
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-7-
II General Conditions
A. The allowable costs of all Al? funded project shall not include any costs determined by the FAA to be
ineligible for consideration under the Title 49 U.S.C.
B. Payment of the United States' share of all allowable project costs will be made pursuant to and in accordance
with the provisions of such regulations and procedures as the Secretary shall prescribe. Final determinations
of the United States' share will be based upon the final audits of the total amount of allowable project costs.
and settlement will be made for any upward or downward adjustments to the Federal share of costs.
C. The sponsor shall carry out and complete all AIP funded projects without undue delays and in accordance with
the terms hereof, and such regulations and procedures as the Secretary shall prescribe.
D. The FAA reserves the right to amend or withdraw a grant offer at any time prior to its acceptance by the
sponsor.
E. A grant offer will expire, and the United States shall not be obligated to pay any part of the costs of the project
unless the grant offer has been accepted by the sponsor on or before 60 days after the grant offer but no later
than September 30 of the Federal fiscal year the grant offer was made, or such subsequent date as may be
prescribed in writing by the FAA.
F. The sponsor shall take all steps, including litigation if necessary, to recover Federal funds spent fraudulently,
wastefully, or in violation of Federal antitrust statutes, or misused in any manner in any project upon which
Federal funds have been expended. For the purposes of this grant agreement, the term "Federal funds" means
funds however used or disbursed by the sponsor that were originally paid pursuant to this or any other Federal
grant agreement. It shall obtain the approval of the Secretary as to any determination of the amount of the
Federal share of such funds. It shall return the recovered Federal share, including funds recovered by
settlement, order or judgment, to the Secretary. It shall furnish to the Secretary, upon request, all documents
and records pertaining to the determination of the amount of the Federal share or to any settlement, litigation,
negotiation, or other efforts taken to recover such funds. All settlements or other final positions of the
sponsor, in court or otherwise, involving the recovery of such Federal share shall be approved in advance by
the Secretary.
G. The United States shall not be responsible or liable for damage to property or injury to persons which may
arise from, or be incident to, compliance with a grant agreement.
H. If, during the life of an AIP funded project, the FAA determines that a grant amount exceeds the expected
needs of the sponsor by S25,000 or five percent (5%), whichever is greater, a grant amount can be unilaterally
reduced by letter from FAA advising of the budget change. Conversely, with the exception of planning
projects, if there is an overrun in the eligible project costs, FAA may increase a grant to cover the amount of
the overrun not to exceed the statutory fifteen (15%) percent limitation for primary airports or either by no
more than fifteen percent (15%) of the original grant amount or by an amount not to exceed twenty-five
percent (25%) of the total increase in allowable project costs attributable to the acquisition of land or interests
in land, whichever is greater, based on current credible appraisals or a court award in a condemnation
proceeding for non-primary airports. FAA will advise the sponsor by letter of the increase. Planning projects
will not be increased above the planning portion of the maximum obligation of the United States shown in
the grant agreement. Upon issuance of either of the aforementioned letters, the maximum obligation of Ui
United States is adjusted to the amount specified. In addition, the sponsor's officially designated
representative, is authorized to request FAA concurrence in revising the project description and grant amount
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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within statutory limitations. A letter from the FAA concurring in the said requested revision to the project
work description andlor grant amount shall constitute an amendment to a Grant Agreement.
I. If requested by the sponsor and authorized by the FAA, the letter of credit method of payment may be used.
It is understood and agreed that the sponsor agrees to request cash withdrawals on the letter of credit only
when actually needed for its disbursements and to timely reporting of such disbursements as required. It is
understood that failure to adhere to this provision may cause the letter of credit to be revoked.
J. Unless otherwise approved by the FAA, it will not acquire or permit any contractor or subcontractor to acquire
any steel or manufactured products produced outside the United States to be used for any project for airport
development or noise compatibility for which funds are provided under this grant. The sponsor will include
in every contract a provision implementing this condition.
DI Assurances (dated 911199)
A. General.
I. These assurances shall be complied with in the performance of grant agreements for airport development.
airport planning, and noise compatibility program grants for airport sponsors.
2. These assurances are required to be submitted as part of the project application by sponsors requesting
funds under the provisions of Title 49, U.S.C., subtitle VII, as amended. As used herein, the term "public
agency sponsor" means a public agency with control of a public-use airport;. the term "private sponsor"
means a private owner of a public-use airport; and the term "sponsor" includes both public agency
sponsors and private sponsors.
3. Upon acceptance of the grant offer by the sponsor, these assurances are incorporated in and become part
of the grant agreement.
B. Duration and Applicability.
1. Airport development or Noise Compatibility Program Projects Undertaken by a Public Agency
Sponsor. The terms, conditions and assurances of the grant agreement shall remain in full force and
effect throughout the useful life of the facilities developed or equipment acquired for an airport
development or noise compatibility program project, or throughout the useful life of the project items
installed within a facility under a noise compatibility program project, but in any event not to exceed
twenty (20) years from the date of acceptance of a grant offer of Federal funds for the project. However.
there shall be no limit on the duration of the assurances regarding Exclusive Rights and Airport Revenue
so long as the airport is used as an airport. There shall be no limit on the duration of the terms.
conditions, and assurances with respect to real property acquired with Federal funds. Furthermore, the
duration of the Civil Rights assurance shall be specified in the assurances
Airport Development or Noise Compatibility Projects Undertaken by a Private Sponsor. The
preceding paragraph I also applies to a private sponsor except that the useful life of project items
installed within a facility or the useful life of the facilities developed or equipment acquired under an
airport development or noise compatibility program project shall be no less than ten (10) years from the
date of acceptance of Federal aid for the project.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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3. Airport Planning Undertaken by a Sponsor. Unless otherwise specified in the grant agreement, only
Assurances 1,2, 3, 5, 6, 13, 18, 30, 32, 33, and 34 in section IIIC apply to planning projects. The terms.
conditions, and assurances of the grant agreement shall remain in full force and effect during the life of
the project.
C. Sponsor Certification. The sponsor hereby assures and certifies, with respect to this grant that:
1. General Federal Requirements. It will comply with all applicable Federal laws, regulations, executive
orders, policies, guidelines, and requirements as they relate to the application, acceptance and use of
Federal funds for this project including but not limited to the following:
Federal Legislation
a. Title 49, U.S.C., subtitle VII, as amended.
b. Davis-Bacon Act -40 U.S.C. 276(a), et seq.1
c. Federal Fair Labor Standards Act - 29 U.S.C. 201, et seq
d. Hatch Act - 5 U.S.C. 1501, et seq.'
e. Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 Title 42
U.S.C. 4601, et seq.1.2
f. National Historic Preservation Act of 1966 - Section 106 - 16 U.S.C. 470(0.'
g. Archeological and Historic Preservation Act of 1974 - 16 U.S.C. 469 through 469c.1
h. Native Americans Grave Repatriation Act -25 U.S.C. Section 3001, et seq.
i. Clean Air Act, P.L. 90-148, as amended.
j. Coastal Zone Management Act, P.L. 93-205, as amended.
k. Flood Disaster Protection Act of 1973 - Section 102(a) -42 U.S.C. 4012a.'
I. Title 49 ,U.S.C., Section 303, (formerly known as Section 4(f))
m. Rehabilitation Act of 1973 - 29 U.S.C. 794.
n. Civil Rights Act of 1964 - Title VI -42 U.S.C. 2000d through d -4.
o. Age Discrimination Act of 1975 -42 U.S.C. 6101, et sea.
p. American Indian Religious Freedom Act, P.L. 95-341, as amended.
q. Architectural Barriers Act of 1963 -42 U.S.C. 4151, et seq.'
r. Power plant and Industrial Fuel Use Act of 1978 - Section 403- 2 U.S.C. 8373.'
s. Contract Work Hours and Safety Standards Act -40 U.S.C. 327, et sea.'
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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t. Copeland Antildckback Act - 18 U.S.C. 874. I
u. National Environmental Policy Act of 1969 — U.S.C. 4321 et seq.'
v. Wild and Scenic Rivers Act, P.L. 90-542, as amended.
w. Single Audit Act of 1984 - 31 U.S.C. 7501, et seq.'
x. Drug-Free Workplace Act of 1988 -41 U.S.C. 702 through 706.
Executive Orders
a. Executive Order 11246 - Equal Employment Opportunity
b. Executive Order 11990 - Protection of Wetlands
c. Executive Order 11993 —Flood Plain Management
d. Executive Order 12372 - Intergovernmental Review of Federal Programs.
e. Executive Order 12699 - Seismic Safety of Federal and Federally Assisted New Building
Construction
f. Executive Order 12898 - Environmental Justice
Federal Regulations
a. 14 CFR Part 13 - Investigative and Enforcement Procedures.
b. 14 CFR Part 16 - Rules of Practice For Federally Assisted Airport Enforcement
Proceedings.
C. 14 CFR Part 150 - Airport noise compatibility planning.
d. 29 CFR Part 1 - Procedures for predetermination of wage rates.'
e. 29 CFR Part 3 - Contractors and subcontractors on public building or public work financed
in whole or part by loans or grants from the United States.'
f. 29 CFR Part 5 - Labor standards provisions applicable to contracts covering federally
financed and assisted construction (also labor standards provisions applicable to non-
construction contracts subject to the Contract Work Hours and Safety Standards Act).'
41 CFR Part 60 - Office of Federal Contract Compliance Programs, Equal Employment
Opportunity, Department of Labor (Federal and federally assisted contracting
requirements).'
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-1 1-
g.
p.
q.
h. 49 CFR Part 18 - Uniform administrative requirements for grants and cooperative
agreements to state and local governments.3
i. 49 CFR Part 20 - New restrictions on lobbying.
j. 49 CFR Part 21 - Nondiscrimination in federally-assisted programs of the Department of
Transportation - effectuation of Title VI of the Civil Rights Act of 1964.
k. 49 CFR Part 23 - Participation by Disadvantage Business Enterprise in Airport
Concessions.
1. 49 CFR Part 24 - Uniform relocation assistance and real property acquisition for Federal
and federally assisted programs.1.2
m. 49 CFR Part 26 — Participation By Disadvantaged Business Enterprises in Department of
Transportation Programs.
n. 49 CFR Part 27 - Nondiscrimination on the basis of handicap in programs and activities
receiving or benefiting from Federal financial assistance.'
o. 49 CFR Part 29 — Government wide debarment and suspension (non-procurement) and
government wide requirements for drug-free workplace (grants).
49 CFR Part 30 - Denial of public works contracts to suppliers of goods and services of
countries that deny procurement market access to U.S. contractors.
49 CFR Part 41 - Seismic safety of Federal and federally assisted or regulated new building
construction.!.-
Office of Management and Budget Circulars
a. A-87 - Cost Principles Applicable to Grants and Contracts with State and Local
Governments.
b. A-133 - Audits of States, Local Governments, and Non-Profit Organizations
These laws do not apply to airport planning sponsors.
2 These laws do not apply to private sponsors.
49 CFR Part 18 and OMB Circular A-87 contain requirements for State and
Local Governments receiving Federal assistance. Any requirement levied upon
State and Local Governments by this regulation and circular shall also be
applicable to private sponsors receiving Federal assistance under Title 49, United
States Code.
Specific assurances required to be included in grant agreements by any of the above laws, regulations or
circulars are incorporated by reference in the grant agreement.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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„ .
n 4
2. Responsibility and Authority of the Sponsor.
a. Public Agency Sponsor: It has legal authority to apply for the grant, and to finance and cam
out the proposed project; that a resolution, motion or similar action has been duly adopted or
passed as an official act of the applicant's governing body authorizing the filing of the
application, including all understandings and assurances contained therein, and directing and
authorizing the person identified as the official representative of the applicant to act in connection
with the application and to provide such additional information as may be required.
b. Private Sponsor: It has legal authority to apply for the grant and to finance and carry out the
proposed project and comply with all terms, conditions, and assurances of this grant agreement
It shall designate an official representative and shall in writing direct and authorize that person
to file this application, including all understandings and assurances contained therein; to act in
connection Ivith this application; and to provide such additional information as maybe required.
3. Sponsor Fund Availability. It has sufficient funds available for that portion of the project costs which
are not to be paid by the United States. It has sufficient funds available to assure operation and
maintenance of items funded under the grant agreement which it will own or control.
4. Good Title.
a. It, a public agency or the Federal government, holds good title, satisfactory to the Secretary,
to the landing area of the airport or site thereof, or will give assurance satisfactory to the
Secretary that good title will be acquired.
b. For noise compatibility program projects to be carried out on the property of the sponsor, it
holds good title satisfactory to the Secretary to that portion of the property upon which Federal
funds will be expended or will give assurance to the Secretary that good title will be obtained.
5. Preserving Rights and Powers.
a. It will not take or permit any action which would operate to deprive it of any of the rights and
powers necessary to perform any or all of the terms, conditions, and assurances in the grant
agreement without the written approval of the Secretary, and will act promptly to acquire.
extinguish or modify any outstanding rights or claims of right of others which would interfere
with such performance by the sponsor. This shall be done in a manner acceptable to the
Secretary.
b. It will not sell, lease, encumber, or otherwise transfer or dispose of any part of its title or other
interests in the property shown on Exhibit A to this application or, for a noise compatibility
program project, that portion of the property upon which Federal funds have been expended.
for the duration of the terms, conditions, and assurances in the grant agreement without
approval by the Secretary. If the transferee is found by the Secretary to be eligible under Title
49, United States Code, to assume the obligations of the grant agreement and to have the power.
authority, and financial resources to carry out all such obligations, the sponsor shall insert in
the contract or document transferring or disposing of the sponsor's interest, and make bindinu
upon the transferee all of the terms, conditions, and assurances contained in this grant
agreement.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-13 -
c. For all noise compatibility program projects which are to be carried out by another unit of
local government or are on property owned by a unit of local government other than the
sponsor, it will enter into an agreement with that government. Except as otherwise specified
by the Secretary, that agreement shall obligate that government to the same terms, conditions,
and assurances that would be applicable to it if it applied directly to the FAA for a grant to
undertake the noise compatibility program project. That agreement and changes thereto must
be satisfactory to the Secretary. It will take steps to enforce this agreement against the local
government if there is substantial non-compliance with the terms of the agreement.
d. For noise compatibility program projects to be carried out on privately owned property, it will
enter into an agreement with the owner of that property which includes provisions specified
by the Secretary. It will take steps to enforce this agreement against the property owner
whenever there is substantial non-compliance with the terms of the agreement.
e. If the sponsor is a private sponsor, it will take steps satisfactory to the Secretary to ensure that
the airport will continue to function as a public-use airport in accordance with these assurances
for the duration of these assurances.
f. If an arrangement is made for management and operation of the airport by any „agency or
person other than the sponsor or an employee of the sponsor, the sponsor will reserve sufficient
rights and authority to insure that the airport will be operated and maintained in accordance
Title 49, United States Code, the regulations and the terms, conditions and assurances in the
grant agreement and shall insure that such arrangement also requires compliance therewith.
6. Consistency with Local Plans. The project is reasonably consistent with plans (existing at the time of
submission of this application) of public agencies that are authorized by the State in which the project
is located to plan for the development of the area surrounding the airport.
7. Consideration of Local Interest. It has given fair consideration to the interest of communities in or near
where the project may be located.
8. Consultation with Users. In making a decision to undertake any airport development project under Title
49, United States Code, it has undertaken reasonable consultations with affected parties using the airport
at which project is proposed.
9. Public Hearings. In projects involving the location of an airport, an airport runway, or a major runwa n
extension, it has afforded the opportunity for public hearings for the purpose of considering the economic.
social, and environmental effects of the airport or runway location and its consistency with goals and
objectives of such planning as has been carried out by the community and it shall, when requested by the
Secretary, submit a copy of the transcript of such hearings to the Secretary. Further, for such projects.
, it has on its management board either voting representation from the communities where the project is
located or has advised the communities that they have the right to petition the Secretary concerning a
proposed project.
10. Air and Water Quality Standards. In projects involving airport location, a major runway extension.
or runway location it will provide for the Governor of the state in which the project is located to certiln
in writing to the Secretary that the project will be located, designed, constructed, and operated so as to
comply with applicable air and water quality standards. In any case where such standards have not been
approved and where applicable air and water quality standards have been promulgated by the
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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a
Administrator of the Environmental Protection Agency, certification shall be obtained from such
Administrator. Notice of certification or refusal to certify shall be provided within sixty days after the
project application has been received by the Secretary.
11. Pavement Preventive Maintenance. With respect to a project approved after January 1, 1995, for the
replacement or reconstruction of pavement at the airport, it assures or certifies that it has implemented
an effective airport pavement maintenance-management program and it assures that it will use such
program for the useful life of any pavement constructed, reconstructed or repaired with Federal financial
assistance at the airport. It will provide such reports on pavement condition and pavement management
programs as the Secretary determines may be useful.
12. Terminal Development Prerequisites. For projects which include terminal development at a public use
airport, as defined in Title 49, it has, on the date of submittal of the project grant application, all the
safety equipment required for certification of such airport under section 44706 of Title 49, United States
Code, and all the security equipment required by rule or regulation, and has provided for access to the
passenger enplaning and deplaning area of such airport to passengers enplaning and deplaning from
aircraft other than air carrier aircraft.
13. Accounting System, Audit, and Record Keeping Requirements.
a. It shall keep all project accounts and records which fully disclose the amount and disposition
by the recipient of the proceeds of the grant, the total cost of the project in connection with
which the grant is given or used, and the amount or nature of that portion of the cost of the
project supplied by other sources, and such other financial records pertinent to the project.
The accounts and records shall be kept in accordance with an accounting system that will
facilitate an effective audit in accordance with the Single Audit Act of 1984.
b. It shall make available to the Secretary and the Comptroller General of the United States, or
any of their duly authorized representatives, for the purpose of audit and examination, any
books, documents, papers, and records of the recipient that are pertinent to the grant. The
Secretary may require that an appropriate audit be conducted by a recipient. In any case in
which an independent audit is made of the accounts of a sponsor relating to the disposition of
the proceeds of a grant or relating to the project in connection with which, the grant was given
or used, it shall file a certified copy of such audit with the Comptroller General of the United
States not later than six (6) months following the close of the fiscal year for which the audit was
made.
14. Minimum Wage Rates. It shall include, in all contracts in excess of 52,000 for work on any projects
funded under the grant agreement which involve labor, provisions establishing minimum rates of wages.
to be predetermined by the Secretary of Labor, in accordance with the Davis-Bacon Act, as amended (4(
U.S.C. 276a-276a-5), which contractors shall pay to skilled and unskilled labor, and such minimum rates
shall be stated in the invitation for bids and shall be included in proposals or bids for the work.
15. Veteran's Preference. It shall include in all contracts for work on any project funded under the gram
agreement,which involve labor, such provisions as are necessary to insure that, in the employment o:.
labor (except in executive, administrative, and supervisory positions). preference shall be given to
Veterans of the Vietnam era and disabled veteran as defined in Section 47112 of Title 49, United States
Code. However, this preference shall apply only where the individuals are available and qualified tc
perform the work to which the employment relates.
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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I f
A I 7
16. Conformity to Plans and Specifications. It will execute the project subject to plans, specifications, and
schedules approved by the Secretary. Such plans, specifications, and schedules shall be submitted to the
Secretary prior to commencement of site preparation, construction, or other performance under this grant
agreement, and, upon approval of the Secretary, shall be incorporated into this grant agreement. Any
modification to the approved plans, specifications, and schedules shall also be subject to approval of the
Secretary, and incorporated into the grant agreement.
17. Construction Inspection and Approval. It will provide and maintain competent technical supervision
at the construction site throughout the project to assure that the work conforms to the plans,
specifications, and schedules approved by the Secretary for the project. It shall subject the construction
work on any project contained in an approved project application to inspection and approval by the
Secretary and such work shall be in accordance with regulations and procedures prescribed by the
Secretary. Such regulations and procedures shall require such cost and progress reporting by the sponsor
or sponsors of such project as the Secretary shall deem necessary.
18. Planning Projects. In carrying out planning projects:
a. It will execute the project in accordance with the approved program narrative contained
in the projett application or with the modifications similarly approved.
b. It will furnish the Secretary with such periodic reports as required pertaining to the
planning project and planning work activities.
c. It will include in all published material prepared in connection with the planning project
a notice that the material was prepared under a grant provided by the United States.
d. It will make such material available for examination by the public, and agrees that no
material prepared with funds under this project shall be subject to copyright in the United
States or any other country.
e. It will give the Secretary unrestricted authority to publish, disclose, distribute, and
otherwise use any of the material prepared in connection with this grant.
1. It will grant the Secretary the right to disapprove the sponsor's employment of specific
consultants and their subcontractors to do all or any part of this project as well as the right
to disapprove the proposed scope and cost of professional services.
It will grant the Secretary the right to disapprove the use of the sponsor's employees to do
all or any part of the project.
h. It understands and agrees that the Secretary's approval of this project grant or the
Secretary's approval of any planning material developed as part of this grant does not
constitute or imply any assurance or commitment on the part of the Secretary to approve
any pending or future application for a Federal airport grant.
19. Operation and Maintenance.
a. The airport and all facilities which are necessary to serve the aeronautical users of the airport.
other than facilities owned or controlled by the United States, shall be operated at all times in
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
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g.
a safe and serviceable condition and in accordance with the minimum standards as may be
required or prescribed by applicable Federal, state and local agencies for maintenance and
operation. It will not cause or permit any activity or action thereon which would interfere with
its use for airport purposes. It will suitably operate and maintain the airport and all facilities
thereon or connected therewith, with due regard to climatic and flood conditions. Any proposal
to temporarily close the airport for non-aeronautical purposes must first be approved by the
Secretary. In furtherance of this assurance, the sponsor will have in effect arrangements for:
(1) Operating the airport's aeronautical facilities whenever required;
(2) Promptly marking and lighting hazards resulting from airport conditions, including
temporary conditions: and
Promptly notifying airmen of any condition affecting aeronautical use of the airport.
Nothing contained herein shall be construed to require that the airport be operated for aeronautical
use during temporary periods when snow, flood or other climatic conditions interfere with such
operation and maintenance. Further, nothing herein shall be construed as requiring the
maintenance, repair, restoration, or replacement of any structure or facility which is snbstantiall)
damaged or destroyed due to an act of God or other condition or circumstance beyond the control of
the sponsor.
b. It will suitably operate and maintain noise compatibility program items that it owns or
controls upon which Federal funds have been expended.
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.
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.
22. Economic Nondiscrimination.
a. It will make the airport available as an airport for public use on reasonable terms and without
unjust discrimination to all types, kinds and classes of aeronautical activities, including
commercial aeronautical activities offering services to the public at the airport.
b. In any agreement, contract, lease, or other arrangement under which a right or privilege at the
airport is granted to any person, firm, or corporation to conduct or to engage in an
Terms and Conditions of Accepting Airport Improvement Program Grants (January 2001)
-17-
(3 )
a
FISCAL NOTE (MISC. #01199) August 2, 2001
BY: FINANCE COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON
IN RE: CENTRAL SERVICES - OAKLAND COUNTY INTERNATIONAL AIRPORT - 2001
GRANT PROGRAM ACCEPTANCE - LAND ACQUISITION
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XII-C of this Board, the Finance Committee has
reviewed the above referenced resolution and finds:
L Oakland County has received Michigan Department of
Transportation Grant Contract, Project No. C-26-0079-2701,
for Federal funds in a maximum obligation of $3,000,000 for
the development and improvement of the Oakland County
International Airport.
2. The project consists of acquisition of approximately 22.51
acres and 14 homes.
3. An amount of $666,800 currently in the General Fund
Designated Fund Balance for Drain Records Conversion -
Phase I (#9407-76000) should be re-designated as a General
Fund Designated Fund Balance for Airport Grant Match. It
is the intent that the County match the first two grants
and when the third grant comes through, the Airport Fund
will fully match that grant.
4. A local grant match of $333,400 is required and is
available in the General Fund Designated Fund Balance for
Airport Grant Match.
5. The total grant contract is in an amount not to exceed
$3,333,400.
6. The Michigan Department of Transportation has received a
block grant from the Federal Aviation Administration for
airport development projects and shall act as agent on
behalf of the County in the administration of the project.
T The FY 2001 Budget is amended as follows:
General Fund
90-190000-14000-1582 Prior Year's Revenue $333,400
90-310000-45000-8001 Operating Transfer Out 333,400
$ -0-
Airport Fund
13-137300-00050-1701
13-137201-00050-2872
$333,400
333,400
$ -0-
Operating Transfer In
Grant Match
FINANCE COMMITTEE
FINANCE COMMITTEE
Motion carried on a roll call vote with Melton, Causey-Mitchell and
Friedman Appel voting no.
FOREGOING RESOLU
G. William Caddell, County Clerk
L. Brooks arson. County Executive Date
Resolution #01199 August 2, 2001
Moved by Patterson supported by Obrecht the Planning and Building
Committee Report be accepted.
A sufficient majority having voted therefor, the report was accepted.
Moved by Patterson supported by Melton the resolution be adopted.
Discussion followed.
Moved by Appel supported by Melton the fiscal note be amended to state:
$500,000 be designated to noise abatement with 50% allocated from the General
Fund and 50% match from the Airport Fund.
Discussion followed.
Vote on amendment to the fiscal note:
AYES: Causey-Mitchell, Coleman, Gregory, McPherson, Melton, Suarez,
Appel. (7)
NAYS: Crawford, Dingeldey, Douglas, Galloway, Garfield, Law, Millard,
Moffitt, Moss, Obrecht, Palmer, Patterson, Sever, Taub, Webster, Amos, Brian,
Buckley. (18)
A sufficient majority not having voted therefor, the amendment failed.
Moved by Melton supported by Appel the resolution be amended to state:
All future grants after the 2'd grant be matched by the Airport fund.
Discussion followed.
Vote on amendment:
AYES: Coleman, McPherson, Melton, Suarez, Appel, Causey-Mitchell. (6)
NAYS: Crawford, Dingeldey, Douglas, Galloway, Garfield, Gregory, Law,
Millard, Moffitt, Moss, Obrecht, Palmer, Patterson, Sever, Taub, Webster, Amos,
Brian, Buckley. (19)
A sufficient majority not having voted therefor, the amendment failed.
Vote on resolution:
AYES: Crawford, Dingeldey, Douglas, Galloway, Garfield, Gregory, Law,
Millard, Moffitt, Moss, Obrecht, Palmer, Patterson, Sever, Taub, Webster, Amos,
Brian, Buckley. (19)
NAYS: McPherson, Melton, Suarez, Appel, Causey-Mitchell, Coleman. (6)
A sufficient majority having voted therefor, the resolution was adoted.
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, G. William Caddell, Clerk of the County of Oakland, do hereby certify that the
foregoing resolution is a true and accurate copy of a resolution adopted by the
Oakland County Board of Commissioners on August 2, 2001 with the original record
thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the
.courty n.V.,a at PrIntiOC. Michigan this 2n4Pday August, ,2001.