Association of California Airports Fall Conference

1. Association of California Airports Fall Conference ACIP Development The FAA Way All of you<Audience> Patrick Lammerding & Jim Lomen Wednesday, September 14, 2016

2. Creating the NPIAS • What goes in the NPIAS • Only development that is eligible for Federal AIP funding and justified by the aviation activity forecast over the next 5 years is entered into the NPIAS database for inclusion in the next 5-year estimate • The FAA uses data derived from locally prepared airport master plans, airport system plans, capital improvement plans, and airport inspections to develop the NPIAS • NPIAS needs consistently exceed the actual AIP funding that occurs • The NPIAS needs generally match the types of projects performed with AIP, ideally they would be identical

3. Creating the ACIP • ACIP is the plan for federal participation in those needs • FAA uses a system called SOAR to store needs and combine them into overall development objectives (ODOs) • ODOs are used to connect multi-year projects and establish priorities • Ideally, your 1-5 year needs in SOAR match the NPIAS needs, and we pull the 3-year ACIP projects from the needs stored in the database by assigning a year to the project, or to a phase of the project in ODOs • If you stick to the plan, then each year all we are doing is identifying the new third-year project from the 1-5 year needs and assigning the year to it

4. ACIP Projects and the ALP • Projects must be on the ALP to be AIP eligible • A conditionally approved ALP provides depiction of future projects that are “conditioned” on NEPA approval • Projects shown as “future should be backed up by a Master Plan and Forecast • “Pen and Ink” approvals (now referred to as minor development/correction) are not a good plan for AIP funded projects • Adds a pending action to the ability to receive a grant • Tends to demonstrate a lack of planning • It is the sponsor’s responsibility for the ALP to be kept up to date • FAA does not fund stand-alone ALP updates

5. ACIP Projects and NEPA • Environmental clearance is required prior to grant issuance • Time frames we plan on: • CatEx90 days • EA 18-24 months • EIS 2-3+ years • Don’t wait until 90 days prior to deadline to submit your Catex • If everyone did that, it would take longer than 90 days for the ADO to process • If we’re sticking with a solid 3-year plan, no reason not to submit it earlier • What if it turns out not to be a Catex? An earlier review may give you time to complete an EA without disrupting the ACIP schedule

6. The Shovel-Ready Project • “End-of-year” money is a real thing, but… • We identify at the beginning of the fiscal year projects we plan to fund IF end-of-year funds become available. • Generally these projects are: • Bid additives • Moving projects forward on the 3-year ACIP

7. Some Important Terms • Carryover – • When you don’t have any projects planned for a year, or the projects planned don’t use all of your available entitlements we carryover the funds to be available in the next FY. • What happens to the carried over funds? • Expiring Funds – • These are entitlement funds that are four years old, for FY2017 that would be funds you earned in FY2014. If these funds are not used in FY2017 they will expire, meaning we carry them over, but they are not returned in the next fiscal year. • Why is it bad to carryover expiring funds?

8. Important Dates for FY2017 • By December 31, 2016 – • Environmentals for 2017 grants should be complete, meaning approved by FAA. • A complete grant application (minus actual costs) submitted to your ADO. • Final applications based on open bids by May 1, 2017. • If you are not expecting a grant in FY2017 provide the ADO with a letter requesting that your entitlement funds be carried over. ~ All Airport Sponsors have something due ~

9. 2018 – 2020 (2022) ACIP • Your ADO is setting these meetings up right now. • ACIP Meetings: We are going to look at your plans from a holistic approach. Meaning how do all your projects interact financially and how they meet your priorities. • For SFO-ADO airports we are already scheduling. • LA ADO- ACIP meetings now through December 31st

10. 2018 – 2020 (2022) ACIP • For SFO-ADO: • Prior to the meeting we want you to send us your ACIP reconfirming your plans for 2017 and sharing your desired plans for 2018 thru 2022. • For SFO-ADO we are having some challenges meeting some of the projects we had hoped to be funding in FY2017 with State Apportionment or Discretionary. We will be addressing these projects during our ACIP talks. • Within two weeks after our meeting we want an updated ACIP from you that reflects the discussions we had during your ACIP meeting.

11. 2018 – 2020 (2022) ACIP • For LA ADO • Work with your assigned Planner in the ADO to schedule an ACIP meeting • Expect to submit a draft ACIP form* • *Included in ACIP/AIP letter in September • Planners will conduct some ACIP meetings on-site this year • Final ACIPs, whether you had an ACIP meeting or not, are due to the Planner by January 31st

12. Does all this coordination work? • Last year I challenged all of us • To be more proactive, bids earlier, grants earlier, less expiring entitlements. • We discussed the need to move our program forward during our ACIP meetings. • LAX-ADO and SFO-ADO met with a group of consultants to discuss the challenges of moving our programs forward.

13. So what came of all of our efforts? • For the SFO-ADO, our airport sponsors and their airport consultants a lot was accomplished: • Timing of grants improved dramatically. • Number of grants, meaning more needed aviation development, increased. • Total AIP funds granted increased by 43%. • Expiring funds, based on your efforts how well do you think we did?

14. Questions ? Skagway, Alaska