[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: 14CFR152.203]



[Page 135]

 

                     TITLE 14--AERONAUTICS AND SPACE

 

CHAPTER I--FEDERAL AVIATION ADMINISTRATION, DEPARTMENT OF TRANSPORTATION 

                               (CONTINUED)

 

PART 152_AIRPORT AID PROGRAM--Table of Contents

 

                 Subpart C_Funding of Approved Projects

 

Sec. 152.203  Allowable project costs.



    (a) Airport development. To be an allowable project cost, for the 

purposes of computing the amount of an airport development 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--

    (i) The approved plans and specifications for an approved project; 

and

    (ii) The terms of the grant agreement for the project;

    (2) Be reasonable in amount (subject to partial disallowance to the 

extent the Administrator determines it is unreasonable);

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

executed, except that project formulation costs may be allowed even 

though they were incurred before that date;

    (4) Be supported by satisfactory evidence;

    (5) Have not been included in an airport planning grant; and

    (6) Be a cost determined in accordance with the cost principles for 

State and local governments in Federal Management Circular 74-4 (39 FR 

27133; 43 FR 50977).

    (b) Airport Planning. To be an allowable project cost, for the 

purposes of computing the amount of an airport planning grant, an item 

that is paid or incurred must, in the opinion of the Administrator--

    (1) Have been necessary to accomplish airport planning in comformity 

with an approved project and the terms of the grant agreement for the 

project;

    (2) Be reasonable in amount;

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

entered into, except for substantiated and reasonable costs incurred in 

designing the study effort;

    (4) Be supported by satisfactory evidence; and

    (5) Be figured in accordance with Federal Management Circular 74-4 

(39 FR 27133; 43 FR 50977).