Latest Update: August 10, 2009 – Management Response to the Inspector General American Recovery and Reinvestment Act (ARRA) Advisory Regarding Airport Improvement Program Grants Under ARRA.

On February 17, 2009, President Obama signed the American Recovery and Reinvestment Act of 2009 (Recovery Act). The Recovery Act specifically includes $1.3 billion for projects and programs administered by FAA. These programs will protect and promote jobs through construction projects at airports and investments in FAA's air traffic control infrastructure.

Reporting Information for Grant Recipients

FAA Programs that Issue Grants, Contracts, or Loans Under the Recovery Act

Facilities & Equipment (F&E) finances major capital investments related to modernizing and improving air traffic control and airway facilities, equipment, and systems.

Grants-in-Aid for Airports (Economic Recovery) funds the planning and development of a safe and efficient national airport system to satisfy the needs of the aviation interests of the United States.

Management Response to OIG ARRA Advisory Regarding Airport Improvement Program Grants Under ARRA

On August 10, the Inspector General for the United States Department of Transportation issued an America Recovery and Reinvestment Act (ARRA) Advisory critical of FAA's project selection and oversight for grants issued under the Airport Improvement Program section of the Recovery Act. Below are links to the OIG's ARRA Advisory, as well as the response from the Deputy Secretary for Transportation and additional information FAA provided the OIG to further support FAA's decision to fund the six projects identified in the ARRA Advisory.

Steps in the Recovery Act Airports Grants Process

There are several steps in the ARRA airports grants process. It usually takes 90 to 120 days to complete these steps. To help readers of this website understand the terminology the FAA uses to describe these steps, we are providing this glossary.

  • Programmed: means we decided, but did not announce, our intent to fund a project
  • Released: means we told the public and grantees of our intent to fund a project so that the grantees can solicit bids for the project
  • Reserved: means we accepted the grantee's bid results and offered a grant to the grantee
  • Obligated: means the grantee completed and returned the grant offer to us and we guaranteed money for the project; construction begins

While we have millions of dollars to put under grant, we must conduct the interim steps described above before we can obligate funds. Obligations will start showing up in substantial amounts by mid-May and we will have over $550M obligated by June 17. We intend to have the balance obligated by September 30, 2009.

Other milestones we intend to meet: All of our grant funds will be obligated by February 16, 2010. All of the projects we are funding will have construction completed by February 16, 2011.