[Code of Federal Regulations]

[Title 14, Volume 3]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 14CFR151.41]



[Page 100-101]

 

                     TITLE 14--AERONAUTICS AND SPACE

 

CHAPTER I--FEDERAL AVIATION ADMINISTRATION, DEPARTMENT OF TRANSPORTATION 

                               (CONTINUED)

 

PART 151_FEDERAL AID TO AIRPORTS--Table of Contents

 

     Subpart B_Rules and Procedures for Airport Development Projects

 

Sec. 151.41  Project costs.



    (a) For the purposes of subparts B and C, project costs consist of 

any costs involved in accomplishing a proj ect, including those of--

    (1) Making field surveys;

    (2) Preparing plans and specifications;

    (3) Accomplishing or procuring the accomplishing of the work;

    (4) Supervising and inspecting construction work;

    (5) Acquiring land, or an interest therein, or any casement through 

or other interest in airspace; and

    (6) Administrative and other incidental costs incurred specifically 

in connection with accomplishing a proj ect, and that would not have 

otherwise been incurred.

    (b) The costs described in paragraph (a) of this section, including 

the value of land, labor, materials, and equipment donated or loaned to 

the sponsor and appropriated to the project by the sponsor, are eligible 

for consideration as to their allowability, except for--

    (1) That part of the cost of rehabilitation or repair for which 

funds have been appropriated under section 17 of the Federal Airport Act 

(49 U.S.C. 1116);

    (2) That part of the cost of acquiring an existing private airport 

that represents the cost of acquiring passenger automobile parking 

facilities, buildings to be used as hangars, living quarters, or for 

nonairport purposes, at the airport, and those buildings or parts of 

buildings the construction of which is not airport development within 

the meaning of Sec. 151.35(a);

    (3) The cost of materials and supplies owned by the sponsor or 

furnished from a source of supply owned by the sponsor if--

    (i) Those materials and supplies were used for airport development 

before the grant agreement was executed; or

    (ii) The cost is not supported by proper evidence of quantity and 

value;

    (4) The cost of nonexpendable machinery, tools, or equipment owned 

by the sponsor and used under a project by the sponsors force account, 

except to the extent of the fair rental value of that machinery, tools, 

or equipment for the period it is used on the project;

    (5) The costs of general area, urban, or statewide planning of 

airports, as distinguished from planning a specific project;

    (6) The value of any land, including improvements, donated to the 

sponsor by another public agency; and

    (7) Any costs incurred in connection with raising funds by the 

sponsor, including interest and premium charges and administrative 

expenses involved in conducting bond elections and in the sale of bonds.

    (c) To be an allowable project cost, for the purposes of computing 

the amount of a grant, an item that is paid or incurred must, in the 

opinion of the Administrator--

    (1) Have been necessary to accomplish airport development in 

conformity with the approved plans and specifications for an approved 

project and with the terms of the grant agreement for the project;

    (2) Be reasonable in amount (or be subject to partial disallowance 

under section 13(a)(3) of the Federal Airport Act (49 U.S.C. 

1112(a)(3));

    (3) Have been incurred after the date the grant agreement was 

executed, except that costs of land acquisition,



[[Page 101]]



field surveys, planning, preparing plans and specifications, and 

administrative and incidental costs, may be allowed even though they 

were incurred before that date, if they were incurred after May 13, 

1946; and

    (4) Be supported by satisfactory evidence.



[Doc. No. 1329, 27 FR 12351, Dec. 13, 1962, as amended by Amdt. 151-8, 

30 FR 8040, June 23, 1965; Amdt. 151-14, 31 FR 11747, Sept. 8, 1966]