Payments for Small Community Air Service Development

 

To help small communities enhance their air service and increase access to the national transportation system.

General information about this opportunity
Last Known Status
Active
Program Number
20.930
Federal Agency/Office
Office of The Secretary, Department of Transportation
Type(s) of Assistance Offered
B - Project Grants
Program Accomplishments
Fiscal Year 2016 Completed FY2016 selection process: 5,150,000 was obligated for FY grants. Completed FY2016 selection process: $5,150,000 was obligated for FY grants.
Fiscal Year 2017 Fiscal Year 2016: Completed FY2016 selection process: $5,150,000 was obligated for FY grants. FY 2017: Completed FY 2017 selection process: $10 million was obligated for FY grants. FY2018: N/A
Fiscal Year 2018 FY 2018: Selection in process now and has yet to be obiligated. FY2019: N/A
Fiscal Year 2019 By Appropriated Funding Fiscal Year: Fiscal Year 2016: Completed FY2016 selection process: $5,150,000 was obligated for FY grants. Fiscal Year 2017: Completed FY 2017 selection process: $10 million was obligated for FY grants. Completed Fiscal Year 2018 selection process: $12,242,000 was obligated for FY grants. FY 2019: N/A
Fiscal Year 2021 PROGRAM ACCOMPLISHMENTS: FY 2019/CY 2020: Completed Fiscal Year 2019 selection process: $18 million was obligated for FY grants. FY 19 grants awarded on July 27, 2021. No NOFO issued for FY20. FY 2021: NOFO issued January 12, 2022 FY 2022 N/A
Fiscal Year 2022 FY 2021 Completed Fiscal Year2021 selection process 17 million was obligated for FY grants. FY 2022: NOFO was issued March 15, 2023. The Department will make up to $15 million available for FY 2022 grants. FY 2023 N/A
Authorization
Statute ,
The Small Community Program was established by the Wendell H. Ford Aviation Investment and Reform Act for the 21st Century (Pub. L. No. 106-181), reauthorized by the Vision 100-Century of Aviation Reauthorization Act (Pub. L. No. 108-176), and subsequently reauthorized by the FAA Modernization and Reform Act of 2012 (Pub. L. No. 112-95) as amended, the Disaster Tax Relief and Airport and Airway Extension Act of 2017 (Pub. L. No. 115-63), and the FAA Reauthorization Act of 2018 (Pub. L. No. 115-254) (FAA 2018). The program is codified at 49 U.S.C. § 41743. The program is designed to provide financial assistance to small communities to help them enhance their air service. The Department provides this assistance in the form of grants that are disbursed on a reimbursable basis.
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
The Small Community Program is authorized to receive appropriations under 49 U.S.C. ? 41743(e)(2). Appropriations are provided for this program for award selection in FY 2022 pursuant to the Consolidated Appropriations Act, 2020 (Pub. L. No. 116-94), and the Consolidated Appropriations Act, 2022(Pub. L. No. 117-103). The Department will make up to $15 million available for FY 2022 grant awards to carry out this program. When selecting applicants to participate in the Small Community Program, the Department is statutorily required to apply the following criteria for participation: (1) The airport serving the community or consortium is not larger than a small hub airport, as determined using the FAA's most recently published classification effective on the Department's set application deadline (due date). (2) The airport has insufficient air carrier service or unreasonably high airfares. (3) The airport presents characteristics, such as geographic diversity or unique circumstances, that demonstrate the need for, and feasibility of, the Small Community Program. (4) An applicant may not receive an additional grant to support the same project more than once in a 10-year period, except that, in certain circumstances (provided under 49 U.S.C. ? 41743(c)(4)(C), the Department may waive the same project limitation. (5) An applicant may not receive an additional grant, prior to the completion of its previous grant. Program Limits: (1) No more than 4 communities or consortia of communities, or a combination thereof, from the same State may be selected to participate in the program in any fiscal year; and (2) No more than 40 communities or consortia of communities, or a combination thereof, may be selected to participate in the program in each year for which the funds are appropriated. Applications for renewal or supplemental of existing projects are not eligible to compete. In addition, the statute directs the Department priority to those communities, or consortia of communities where: a) air fares are higher than the average air fares for all communities, (b) a portion of the cost of the activity contemplated by the community is provided from local, non-airport revenue sources; (c) a public-private partnership has been or will be established to facilitate air carrier service to the public; (d) improved service will bring the material benefits of scheduled air transportation to a broad section of the traveling public, including businesses, educational institutions, and other enterprises whose access to the national air transportation system is limited; (e) the assistance will be used to help restore scheduled passenger air service that has been terminated; (f) the funds will be used in a timely manner; and (g) multiple communities cooperate to submit a regional or multistate application to consolidate air service into one regional airport. The Department is authorized to award grants to communities that seek to provide assistance to: A U.S. air carrier to subsidize service to and from an underserved airport for a period not to exceed 3 years, An underserved airport to obtain service to and from the underserved airport; and/or An underserved airport to implement such other measures as the Secretary, in consultation with such airport, considers appropriate to improve air service both in terms of the cost of such service to consumers and the availability of such service, including improving air service through marketing and promotion of air service and enhanced utilization of airport facilities. Consortium Applications: Both individual communities and consortia of communities are eligible for SCASDP funds. An application from a consortium of communities must be one that seeks to facilitate the efforts of the communities working together toward one joint grant project, with one joint objective, including the establishment of one entity to ensure that the joint objective is accomplished. Multiple Applications: A community may file only one application for a grant, either individually or as part of a consortium.
Beneficiary Eligibility
The legal sponsor of the proposed project must be a government entity. If the applicant is a public-private partnership, a public government member of the organization must be identified as the community's sponsor to receive project cost reimbursements. A community may designate only one government entity as the legal sponsor, even if it is applying as a consortium that consists of two or more local government entities. Private organizations may not be designated as the legal sponsor of a grant under the Small Community Program. The community has the responsibility to ensure that the recipient of any funding has the legal authority under state and local laws to carry out all aspects of the grant.
Credentials/Documentation
Not applicable.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. Pre-application coordination is not applicable. Environmental impact information is not required for this program. This program is excluded from coverage under E.C. 12372. Application Procedures: 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. A NOFO soliciting applications from eligible communities are typically issued each year. The NOFO can be accessed on the internet through http://www.grants.gov. Additionally, the solicitation is served on the Council of Mayors, the National League of Cities, the National Governors Association, the National Association of State Aviation Officials, the Association of County Executives, the American Association of Airport Executives (AAAE), and the Airports Council International-North America (ACI).
Award Procedure
Applications will be evaluated according to factors established in the NOFO and under the guidance of the Wendell H. Ford Aviation Investment and Reform Act for the 21st Century (Pub. L. No. 106-181), reauthorized by the Vision 100-Century of Aviation Reauthorization Act (Pub. L. No. 108-176). and subsequently reauthorized by the FAA Modernization and Reform Act of 2012 (Pub. L. No. 112-95), as amended, the Disaster Tax Relief and Airport and Airway Extension Act of 2017 (Pub. L. No. 115-63), and the FAA Reauthorization Act of 2018 (Pub. L. No. 115-254), and for FYs 2019, 2020, and 2021 awards, under the guidance of the Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (Pub. L. No. 116-260).
Deadlines
For FY 2022, applications were due to www.grants.gov no later than 4:00 PM EDT on, May 17, 2023. A final selection Order has not yet been issued in this proceeding. For FY 2023, application dates are to be determined.
Approval/Disapproval Decision Time
Can vary from year to year. However, the target is to award grants within 120 days from the established application deadline.
Appeals
Not applicable.
Renewals
Application procedures are repeated each year. However, grant recipients are precluded by statute from seeking additional grants in support of the same project. A community can only have one Small Community Program grant at any time. 49 U.S.C. Section 41743(c)(4).
How are proposals selected?
The 2 categories of selection criteria are Merit Criteria and Selection Considerations that support (1) the Merit Criteria and (2) Administration and DOT priorities. Applications that meet one or more of the Merit Criteria will be viewed more favorably than those that do not meet any of the Merit Criteria. In prior SCASDP selection proceedings (and previous CFDA submissions), 'Merit Criteria' were referred to as 'Priority Selection Criteria' and 'Selection Considerations' were referred to as 'Secondary Selection Criteria.' While the names of these criteria changed, their underlying meanings did not, and DOT considers Merit Criteria and Selection Considerations in the same way it did Priority Selection Criteria and Secondary Selection Criteria in past years. A full list of selection criteria can be found on the website: http://www.dot.gov/policy/aviation-policy/small-community-rural-air-service/SCASDP
How may assistance be used?
Grants for specified use, provided on a reimbursable basis. Grant funds can be used to cover a variety of expenses depending on the approved project. For example, grant funds may be used for financial incentives, including revenue guarantees to cover the air carrier's prospective operating loss while introducing new air service to a community, or to ground service providers in providing access to air transportation services. Funds can also be expended for marketing, advertising or promotional activities associated with new or existing air service or for studies designed to measure air service deficiencies at a community, or to measure traffic loss or diversion to other communities.
What are the requirements after being awarded this opportunity?
Reporting
Not applicable.
Auditing
In accordance with the provisions of 2 CFR 200, Subpart F - Audit Requirements, non-Federal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Non-Federal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in 2 CFR 200.503. SCASDP also is subject to the A-123 review process.
Records
The grant recipient is expected to retain all documents relevant to the grant award for a period of 3 years from completion of all projects undertaken pursuant to the Grant Agreement and receipt of final reimbursement from the Treasury.
Other Assistance Considerations
Formula and Matching Requirements
Statutory formula is not applicable to this assistance listing.

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
The period for awards will vary with the complexity of the project. Minimum grant duration is three years; the maximum duration is five years. (The statute limits use of grant funds for air carrier subsidy to a maximum period of three years, beginning when subsidized service commences.) Financial assistance is provided on a reimbursable basis; cash advances will not be made. Funding is paid to a community on a reimbursable basis; therefore, a community is required to make expenditures for project implementation under the program prior to seeking reimbursement from the Department. Eligible project implementation costs are reimbursable from grant funds only for services or property delivered during the grant term. Reimbursement rates are calculated as a percentage of the total federal funds requested divided by the federal funds plus the local cash contribution (which is not refundable). The percentage is determined by: (SCASDP Grant Amount) Ă· (SCASDP Grant Amount + Local Cash Contribution + State Cash Contribution, if applicable). Payments/expenditures in forms other than cash (e.g., in-kind) are not reimbursable.
Who do I contact about this opportunity?
Regional or Local Office
No Regional or Local Office
Headquarters Office
Brooke Chapman
1200 New Jersey Ave., SE W86-307
Washington, DC 20590 US
brooke.chapman@dot.gov
Phone: (202) 366-0577
Fax: (202) 366-7638
Website Address
http://www.dot.gov/policy/aviation-policy/small-community-rural-air-service/SCASDP
Financial Information
Account Identification
69-8106-0-7-402
Obligations
(Project Grants) FY 22$15,000,000.00; FY 23 est $0.00; FY 24 est $0.00; FY 21$17,000,000.00; FY 20 Estimate Not Available FY 19 Estimate Not Available FY 18$10,000,000.00; FY 17$9,925,000.00; FY 16$5,150,000.00; -
Range and Average of Financial Assistance
Range: $20,000 to $1.6 million
Regulations, Guidelines and Literature
49 U.S.C. 41743; 14 CFR 302.12 (Rule 12); 49 CFR 1.25a(b); 49 CFR Part 18; Public Law 106-181; Public Law 108-176; Public Law 108-477, Public Law 112 - 95.
Examples of Funded Projects
Fiscal Year 2016 • All of the awards were made to communities proposing revenue guarantees, or revenue guarantees with marketing support, as a means to attract new service or to restore lost service. All of the awards were made to communities proposing revenue guarantees, or revenue guarantees with marketing support, as a means to attract new service or to restore lost service.
Fiscal Year 2017 Thirteen awards were made to communities proposing a revenue guarantee and/or marketing support as means to attract new carriers, restore lost service or capacity, and/or provide air travelers with access to additional markets. Three grants were made to communities to market existing air service at their airports.
Fiscal Year 2019 N/A
Fiscal Year 2022 Fiscal Year 2021: Twenty-five awards were made to communities proposing a revenue guarantee and/or marketing support as means to attract new carriers, restore lost service or capacity, and/or provide air travelers with access to additional markets.

 



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