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HomeMy Public PortalAboutResolution 14-96 State Grant-Airport Aid ProgramCITY RESOLUTION Nd y--76 EXTRACT FROM THE MINUTES OF A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF McCALL, IDAHO HELD ON l0Jro , 1996. The following Resolution was introduced by Councilman off ii,... frA oh -Ai read in full, considered and adopted: RESOLUTION NO. l • OF THE CRY OF McCALL, IDAHO ACCEPTING THE GRANT OFFER OF THE STATE OF IDAH THROUGH THE IDAHO TRANSPORTATION DEPARTMENT, DIVISION OF AERONAUTICS, IN THE MAXIMUM AMOUNT OF $36,575.00 TO BE USED UNDER THE AIRPORT DEVELOPMENT AID PROGRAM PROJECT NO. 3-16-0023-06 IN THE DEVELOPMENT OF McCALL AIRPORT; AND Be it Resolved by the Mayor and Council of the City of McCall, Idaho (herein referred to as the "CITY") as follows: Sec. 1. That the CITY, shall accept the Grant Offer of the State of Idaho in the amount of $36,575.00, for the purpose of obtaining State Aid under Project No. 3-16-0023-06, in the development of McCall Airport; and Sec. 2. That the Mayor of the CITY is hereby authorized and directed to sign the statement of Acceptance of said Grant Offer (entitled Part II - Acceptance) on behalf of the CITY and the CITY Clerk is hereby authorized and directed to attest the signature of the Mayor and to impress the official seal of the CITY on the aforesaid statement of Acceptance; and r Sec. 3. A true copy of the Grant Offer referred to herein is attached hereto and made a part thereof. PASSED BY THE COUNCIL AND APPROVED BY THE MAYOR THIS // DAY OF L--1 1996. -Deati-4Aaft, Mayor ATTEST: 411/%01A 1"t 14'I1cA1 James Henderson, Clerk CERTIFICATE I, James Henderson, CRY Clerk do hereby certify that the foregoing is a full, true, and correct copy of Re ?Iution No. /O.% adopted at a regular meeting of the Council held on the //n-t day of tic 1996, and that the same is now in full force and effect IN WITNESS VVI�EREOF, I have hereunto set my hand and impressed the official seal of the CITY, this � day of q , 1996. ames Henderson, Clerk VVDP:96gmtag APPENDIX A The costs of preparing plans and specifications are reimbursable at the time of construction under the AIP Program. In order to assure maximum reimbursement, the local sponsor and the consultant must comply with all applicable federal, state, and local laws, ordinances, rules, and regulations as included in the attached "ASSURANCES, Airport Sponsors" during the life of this project. The total state share will be fifty percent (50%) of the required local match assuming total reimbursement of design engineering and administration costs at the ratio in effect at the time of the FAA grant award. Failure to receive maximum reimbursement of design project costs due to failure to comply with any of the above will not necessarily justify an increase in state participation. ASSURANCES Airport Sponsors A. General 1. These assurances shall be complied with in the performance of grant agreements for airport development, airport planning, and noise compatibility program grants to airport sponsors. 2. These assurances are required to be submitted as part of the project application by sponsors requesting funds under the provisions of the Airport and Airway Improvement Act of 1982, as amended by the Airport and Airway Safety and Capacity Expansion Act of 1987, or the Aviation Safety and Noise Abatement Act of 1979. As used herein, the term "public agency sponsor" means a public agency with control of a public -use airport; the term "Private sponsor" means a private owner of a public -use airport; and the term "sponsor" includes public agency sponsors and private sponsors. 3. Upon acceptance of the grant offer by the sponsor, these assurances are incorporated in and become a part of the grant agreement. B. Duration and Applicability 1. Airport Development or Noise Compatibility Program Projects Undertaken by a,Public Agency Sponsor. The terms, conditions and assurances of the grant agreement shall remain in full force and effect throughout the useful life of the facilities developed or equipment acquired for an airport development or noise compatibility program project, or throughout the useful life of the project items installed within a facility under a noise compatibility program project, but in any event not to exceed twenty (20) years from the date of acceptance of a grant offer of Federal funds for the project. However, there shall be no limit on the duration of the assurance against exclusive rights or the terms, conditions, and assurances with respect to real property acquired with Federal funds. Furthermore, the duration of the Civil Rights. assurance shall be as specified in the assurance. 2. Airport Development or Noise Compatibility Program Projects Undertaken by a Private Sponsor. The preceding paragraph 1 also applies to a private sponsor except that the useful life of project items installed within a facility or the useful life of facilities developed or equipment acquired under an airport development or noise compatibility program project shall be no less than ten (10) years from the date of the acceptance of Federal aid for the project. 3. Airport Planning Undertaken by a Sponsor. Unless otherwise specified in the grant agreement, only Assurances 1, 2, 3, 5, 6, 13, 18, 30, 32, 33, 34, and 36 in Section C apply to planning projects. The terms, conditions, and assurances of the grant Page 1 of 16 . • Federal Regulations . a. 49 CFR Part 18 - Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments. 3/ • • b. 49 CFR Part 21 - Non discrimination in Federally -Assisted Programs of the Department ofTransportation - Effectuation of Title,VI•of-the Civil Rights Act of 1964/••• c. 49 CFR Part 23 - Participation by Minority Business Enterprise in Department of Transportation Programs. d. 49 CFR Part 24 - Uniform Relocation Assistance and Real Property Acquisition Regulation for Federal and Federally Assisted Programs. 1/ 2/ • e. 49 CFR Part 27 - Non -Discrimination on the Basis of Handicap in Programs and Activities Receiving or Benefiting from Federal Financial Assistance. 1/ f. 49 CFR Part 29 - Debarments, Suspensions, and Voluntary Exclusions. g. 49 CFR Part 30 - Denial of Public Works Contracts to Suppliers of Goods and Services of Countries That Deny Procurement Market Access to U.S. Contractors. h. 29 CFR Part 1 - Procedures for Predetermination of Wage Rates. 1/ i. 29 CFR Part 3 - Contractors or Subcontractors on Public Buildings or Public Works Financed in Whole or Part by Loans or Grants from U.S. 1/ j 29-CFR Part 5- Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction. 1/ k. 41 CFR Part 60 - Office of Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor (Federal and Federally -assisted Contracting Requirements). 1/ 1. 14 CFR Part 150 - Airport Noise Compatibility Planning. Office of Management and Budget Circulars a. A-87 - Cost Principles Applicable to Grants and Contracts with State and Local Governments. 3/ b. A-128 - Audits of State and Local Governments. 2/ 1/ These laws do not apply to airport planning sponsors. 2/ These laws do not apply to private sponsors. 3/ 49 CFR Part 18 and OMB Circular A-87 contain requirements for State and local governments receiving Federal assistance. Any requirement levied upon State and local governments by this regulation and circular shall also be applicable. to private sponsors receiving Federal assistance under the Airport and Airway Improvement Act of 1982, as amended. Specific assurances required to be included in grant agreements by any of the above laws, regulations or circulars are incorporated by reference in the grant agreement.' Page 3 of 16 property -shown on Exhibit'A to this application•or, fora noise compatibility program project, that portion of.the :property upon which Federal funds have been•expended, for the:duration.of the terms, conditions, and assurances in the grant agreement without approval by the Secretary. .If the transferee is found by the Secretary to be eligible under the Airport and Airway Improvement Act of 1982 to assume the obligations of the grant agreement and to have the power, authority, and financial resources to carry out all such obligations, the sponsor shall insert•in the contract or document transferring or disposing of the sponsor's interest, and make binding upon the•transferee, all of the terms, conditions and assurances contained in this grant agreement. c. For all noise compatibility program projects which are to be carried out by another unit of local government or are on property owned by a unit of local government other than the sponsor, it will enter into an agreement with that government. Except as otherwise specified by the Secretary, that agreement shall obligate that government to the same terms, conditions, and assurances that would be applicable to it if- it applied directly to the FAA for a grant to undertake the noise -compatibility. program project. That agreement and changes thereto must be satisfactory to the Secretary. It will take steps to enforce this agreement against the local government if.there is substantial non-compliance with the terms of the agreement. d. For noise compatibility program projects to be carried out on privately owned property, it will enter into an agreement with the owner of that property which includes provisions specified by the Secretary. It will take steps to enforce this agreement against the property owner wh.enever there is substantial non-compliance with the terms of the agreement.. e. If,the sponsor is a private sponsor, it will take steps satisfactory to the Secretary to ensure that the airport will continue to function as a public -use airport in accordance with these assurances for the duration of these assurances. f. .If an arrangement is made for inanagement and operation, of the airport by any agency or person other than the sponsor or an employee of the sponsor, the sponsor will reserve sufficient rights and authority to insure that the airport will be operated and maintained in accordance with the Airport and Airway Improvement Act of 1982, the regulations and the terms, conditions and assurances in the grant agreement and shall insure that such arrangement also requires compliance therewith. 6. Consistency with Local Plans. The project is reasonably consistent with plans (existing at the time of submission of this application) of public agenciesthat are authorized by the State in which the project is located to plan for the development of the area surrounding the airport. For noise compatibility program projects, other than land acquisition, to be carried out on property not owned by the airport and over which property Page 5 of 16 of such airport to passengers enplaning or deplaning from aircraft other than air•carrier aircraft. • 13. Accounting System, Audit, and RecordkeepingRequirements. a. It shall keep all project accounts and records which fully disclose the amount and disposition by the recipient of the proceeds of the grant, the total cost of the project in connection with which the grant is given or used, and .the amount and nature of that portion of the cost of the.project supplied by other sources, and such other•financial records pertinent to the project. The accounts and records shall be kept in accordance with an accounting system that will facilitate an effective audit in accordance with the Single Audit Act of 1984. b. It shall make available to the Secretary and the Comptroller General of the United States, or any of their duly authorized representatives, for the purpose of audit and examination, any books, documents, papers, and records of the recipient that are pertinent to the grant. The Secretary may require that an appropriate audit be conducted by a recipient. In any case in which an independent audit is made of the accounts of a sponsor relating to the disposition of the proceeds o.f a grant or relating to the project in connection with which the grant was given or used, it shall file a certified copy of such audit with the followingComptroller theGeneral offthethe fiscalUnited yearStates fornot later which than 6 months the audit was made. 14. Minimum Wage Rates. It shall include, in all contracts in excess of $2,000 for work on any projects funded under the grant agreement which involve labor, provisions establishing minimum rates of wages, to be predetermined by the Secretary of Labor, in accordance with the Davis -Bacon Act, as amended (40 U.S.C. 276a-- -276a-5), which contractors shall pay to skilled and unskilled labor, and such minimum rates shall be stated in the invitation for bids and shall be included in proposals or bids for the work. 15. Veteran's Preference. It shall include, in all contracts for work on any• projects funded under the grant agreement which involve labor, such provisions as are necessary to insure that, in the employment of labor, (except in executive, administrative, and supervisory positions), preference shall be given to veterans of the Vietnam era and disabled veterans as defined in Section 515(c)(1) and (2) of the Airport and Airway Improvement. Act of 1982. However, this preference shall apply only where the individuals are available and qualified to perform the work to which the employment relates. 16. Conformity to Plans and Specifications. It will execute the project subject to plans, specifications, and schedules approved by the Secretary. Such plans, specifications, and schedules shall be submitted to the Secretary prior to commencement of site Page 7 of 16 material developed as part of this grant does not constitute or imply any assurance or commitment of the part of the Secretary to• approve any'pending or future application for a Federal airport grant. . . 19. Operation and Maintenance. a. It will suitably operate and maintain the airport and all: facilities thereon or connected therewith,'with'due regard to climatic'and flood conditions. Any proposal to temporarily close_ the airport for nonaeronautical purposes must first be approved by the Secretary. The airport and all facilities which are necessary to serve the aeronautical users of the airport, other than facilities owned or controlled by the United States, shall be operated at all times in a safe and serviceable condition and in accordance with the minimum standards as amy be required or prescribed by applicable Federal, state and local agencies for maintenance and operation. It will not ;cause or permit any activity or action thereon which would interfere with its use for airport purposes. In furtherance of this assurance, the sponsor will have in effect at all times arrangements for-- (1) Operating the airport's aeronautical facilities whenever required; (2) Promptly marking and lighting hazards resulting from airport conditions, including temporary conditions; and (3) Promptly notifying airmen of any condition affecting aeronautical use of the airport. Nothing contained herein shall be construed to require that the airport be operated for aeronautical use during temporary periods when snow, flood, or other climatic conditions interfere with such operation and maintenance. Further, nothing herein shall be construed as requiring the maintenance,'repair, restoration, or replacement of any structure or facility which is substantially damaged or destroyed due to an act of God or other condition of circumstance beyond the control of the sponsor. b. It will suitably operate and maintain noise compatibility program items that it owns or controls upon which Federal funds have been expended. 20. Hazard Removal and Mitigation. It will take appropriate action to assure that such terminal airspace as is required to protect instrument and visual operations to the airport (including established minimum flight altitudes):will be adequately cleared and protected byiremoving, lowering, relocating, marking, or lighting or otherwise mitigating existing airport hazards and by preventing the establishment or creation of future airport hazards. Page 9 of 16 which utilize similar facilities, subject .to•. reasonable classificationsisuch:as•tenants or nontenants.and_signatory carriers 'and nonsignatory• carriers.. :•.Classification: or• status as :. tenant 'or signatory shall'not be•unreasonably..•withheld by any .. airport provided an air carrier assumes obligations :..substantially; similar.to those already imposed on air carriers in such classifications or status. •• f. It will not exercise or grant any right or privilege which operates to prevent any person, firm, or corporation operating aircraft on the airport from performing any services on its own aircraft with its own employees (including, but not limited to maintenance, repair, and fueling) that it may choose to perform. _ g. In the event the'sponsor itself exercises any of the rightsand privileges referred to in this assurance, the services. involved will be provided on the same conditions as would apply to the furnishing of such services by contractors or concessionaires of the sponsor under these provisions. h. The sponsor may establish Such fair, equal, and not unjustly discriminatory conditions to be met by all users of the airport as may be necessary for the safe and efficient operation of the airport. . i. The sponsor may prohibit or limit any given type, kind, or class of aeronautical use of the airport if such action is necessary for the safe operation of the airport or necessary to serve the civil aviation needs of the public. 23. Exclusive Rights. It will permit no exclusive•right for the use of the airport by any persons providing, or intending to provide, aeronautical services to the public. For purposes of this paragraph, the providing of services at an airport by a single fixed -based operator shall not be construed as an exclusive right if both of the following apply: a. it would be unreasdnably costly, burdensome, or impractical for more than one fixed -based operator to provide such services, and • b. If allowing more than one fixed -based operator to provide such services would require the reduction of space leased pursuant to an existingagreement between such single fixed -based - operator and such airport. It further agrees that it will not, either directly or indirectly, grant or permit any person, firm or corporation the •. exclusive right at the airport, or at any other airport now owned or controlled by it, to conduct any aeronautical activities, including, but•not limited to charter flights, pilot•training, aircraft rental and sightseeing, aerial photography, crop dusting, aerial advertising and surveying, air carrier Page 11 of 16 make records and documents.relating to the project and continued compliance with the terms, conditions, and assurances of the • •.• grant agreement including deeds, -leases, agreements, regulations, and other instruments,:available.for'inspection'by any'duly authorized agent of the Secretary upon reasonable request. 27. Use of Government Aircraft.. It will make available all of the facilities of the airport developed with Federal financial assistance and all those usable for landing and takeoff of aircraft to the United States for use by Government.aircraft in common with other aircraft at all times without charge, except, if the use by Government aircraft is substantial, charge may be made for a reasonable share, proportional to such use, for the. cost of operating and maintaining the facilities used. Unless otherwise_ determined by the Secretary; or otherwise agreed to by the sponsor and the using agency, substantial use of an airport by Government aircraft will be considered to exist when operations of such aircraft are in excess of those which, in the opinion of the Secretary, would unduly interfere with use of the landing areas by other. authorized aircraft, or during any calendar month that -- a. Five (5) or more Government aircraft are regularly based at the airport or on land adjacent thereto; or b. The total number of movements (counting each landing as a movement) of Government aircraft is 300 or more, or the gross accumulative weight of Government aircraft using the airport (the total movements of Government aircraft multiplied by gross weights of such aircraft) is in excess of five million pounds. 28. Land for Federal Facilities. It will furnish without cost to the Federal Government for use in connection with any air traffic control or air navigation activities, or weather - reporting and communication activities related to air traffic control, any areas of land or water, or estate therein, or rights in buildings of the sponsor as the Secretary considers necessary or desirable for construction, operation, and maintenance at Federal- expense of space or facilities for such purposes. Such _ areas or any portion.thereof will be made available..as provided herein .within•,four months after receipt of a written .request from the Secretary. 29. Airport Layout Plan. a. •It will keep up to date at all times an airport layout plan of the airport showing (1) boundaries of the.airport and all proposed additions thereto, together with the boundaries of all offsite areas owned or controlled by the sponsor.for airport purposes and proposed additions thereto; (2) the location and nature of all existing and proposed airport..facilities.and structures (such as runways, taxiways, aprons, terminal buildings, hangars, and roads), including all proposed extensions and reductions of existing airport facilities; and (3) the Page 13 of 16 b::t (1):- Fcr?'laxid purchasedsunder.:a grant. for .airport •. development(othersthan:inoise::compatibility)•-purposes, •it will, when the land isinoalonger::needed-for airport purposes,- dispose of such land;at:rfair market value•or make available to the Secretary•-an:,amount equal%to.the United States proportionate share of the fail iiiarket:_value of the land. That portion of the proceeds of suchdisposition which is proportionate to the United States share of the cost of acquisition of -such land will, (a) upon application to the -Secretary, be reinvested. in another eligible airport -improvement project or projects approved by the' Secretary at the airport or within the national airport system, or (b) be paid to the Secretary for deposit in the Trust Fund if no such eligible project exists. (2) Land shall be considered to be needed for airport purposes under this assurance if (a) it may be needed for . aeronautical purposes (including runway protection zone) or serves as noise buffer land, and (b) the revenue from interim uses of such land contributes to the financial self-sufficiency of the airport. Further, land purchased with a grant received by an airport operator or owner before December 31, 1987, will be considered to be needed for airport purposes if the Secretary of the Federal agency making such grant before December 31, 1987, was notified by the operator or owner of the use of such land, did not object to such use, and the land continues to be used for that purpose, such as having commenced not later than December 15, 1989.- c. Disposition of such land under (a) or (b) will be subject to the retention or reservation of any interest or right therein necessary to ensure that such land will only be used forpurposes which are compatible with noise levels associated with operation of the airport. 32. Engineering and Design Services. It will award each contract, or sub -contract for program management, construction management, planning studies, feasibility studies, architectural services, preliminary engineering, design, engineering, surveying, mapping, or related services with respect to the project in the same manner as a contract for architectural and engineering services is negotiated under Title IX of the Federal Property and Administrative Services Act of 1949 or an equivalent qualifications -based requirement prescribed for or by the sponsor of the airport. 33. Foreign Market Restrictions. It will not allow funds provided under this grant to be used to fund any project which uses any product or service of a foreign country during the period in which such foreign country is listed by the United States- Trade Representative as denying fair and equitable market opportunities for products and supplies of the United States in procurement and construction. Page 15 of 16 CURRENT FAA ADVISORY CIRCULARS FOR AIP PROJECTS Updated on: 5/1/95 NUMBER SUBJECT 70/7460-1H, CHG 1 & 2 Obstruction Marking and Lighting 150/5000-13 Announcement of Availability—RTCA Inc., Document RTCA-221, Guidance and Recommended Requirements for Airport Surface Movement Sensors 150/5100-14C Architectural, Engineering, and Planning Consultant Services for Airport Grant Projects 150/5210-5B Painting, Marking and Lighting of Vehicles Used on an Airport 150/5210-7B Aircraft Fire and Rescue Communications 150/5210-14 Airport Fire and Rescue Personnel Protective Clothing 150/5210-15 Airport Rescue & Firefighting Station`Building Design 150/5210-18 Systems for Interactive Training of Airport Personnel 150/5220-1B Water Supply Systems for Aircraft Fire and Rescue Protection 150/=220-10A Guide Specification for water/Foam Type Aircraft Rescue and Firefighting Vehicles 150/5220-13B Runway Surface Condition Sensor Specification Guide 150/5220-14A Airport Fire and Rescue Vehicle Specification Guide 150/5220-16A Automated Weather Observing Systems for NonFederal Applications 150/5220-17A Design Standards for Aircraft Rescue Firefighting Training Facilities 150/5220-18 Buildings for Storage and Maintenance of Airport Snow and Ice Control Equipment and Materials 150/5220-19 Guide Specification for Small, Dual -Agent Aircraft Rescue and Firefighting Vehicles 150/5220-20 CHG 1 Airport Snow and Ice Control Equipment 150/5220-21 CHG 1 Guide Specification for Lilts Used to Board Airline Passengers With Mobility Impairments 150/5300-13 CHG 1, 2, 3, 4 Airport Design 150/5300-14 Design of Aircraft Deicing Facilities 150/5300-15 Use of Value Engineering for Engineering Design of Airport Grant Projects 150/5320-5B Airport Drainage 150/5320-6C CHG 1 & 2 Airport Pavement Design and Evaluation 150/5320-12B Measurement, Construction. and Maintenance of Skid Resistant Airport Pavement Surfaces 150/5320-14 Airport Landscaping for Noise Control Purposes 150/5325-4A CHG 1 Runway Length Requirements for Airport Design 150/5340-1G Standards for Airport Markings 150/5340-4C CHG 1 & 2 Installation Details for Runway Centerline Touchdown Zone Lighting Systems 150/5340-5B CHG 1 Segmented Circle Airport Marker System 150/5340-14B CHG 1 & 2 Economy Approach Lighting Aids 150/5340-17B Standby Power for NonFAA Airport Lighting Systems 150/5340-18C CHG 1 Standards for Airport Sign Systems r STATE OFIDAHO Phifip E Bat(. Governor TRANSPORTATION DEPARTMENT AERONAUTICS • P.O. BOX 7129 • BOISE, ID • 83707-1129 • (208) 334-8775 May 21, 1996 Dale Points, Airport Manager City of McCall P.O. Box 1065 McCall, ID 83638 RE: McCall Airport; Project Number 3-16-0023-06 Dear Mr. Points: Enclosed are two copies each of the GRANT AGREEMENT and CITY RESOLUTION for the above referenced project. Please have the council ratify and the Mayor sign both copies of each, retain one set for your city records, and return the second set to this office. The Mayor's signature on the GRANT AGREEMENT shall constitute the city's notice to proceed. Funds will be available for reimbursement to the city July 1, 1996, or upon receipt in this office of the signed GRANT AGREEMENT, whichever occurs latest. Should the city of McCall wish to proceed with preparation of plans and specifications on this project prior to the receipt of their federal grant the State of Idaho is willing to participate in this effort on a 50/50 share basis. APPENDIX A of the enclosed GRANT AGREEMENTS spell out the requirements for such a process. I look forward to working with you and the city on this airport improvement project. Should you have further questions, feel free to contact me at (208) 334-8783. Sincerely, WAYNE D. PICKERILL, P.E./L.S. Airport Planning and Development WDP:pss/Itrs1 Enclosures cc: Sandra Simmons, FAA Chuck Sundby, Toothman-Orton Engineering - An Equal Opportunity Employer - IDAHO TRANSPORTATION DEPARTMENT DIVISION OF AERONAUTICS GRANT AGREEMENT TO: CITY OF MC CALL (Hereinafter referred to as the "SPONSOR") FROM: The State of Idaho, acting through the IDAHO TRANSPORTATION DEPARTMENT, DIVISION OF AERONAUTICS, hereinafter referred to as the "STATE". WHEREAS, the SPONSOR has submitted to the STATE for subvention of the Idaho Airport Aid Program for (planning, acquisition, and/or development) of the McCall Airport, together with the planning proposal or plans and specifications for such project, which project application has been approved by the STATE and is hereby incorporated herein and made a part thereof; WHEREAS, the Idaho Transportation Board has approved a project for development of the airport consisting of the following described airport development: Project Number: 3-16-0023-06 Project Description: Rehabilitate runway 16/34 and airport taxiways; reconstruct apron taxilane; overlay GA apron. See APPENDIX A for early plan and specification preparation. NOW, THEREFORE, pursuant to and for the purpose of carrying out the provisions of the uniform State Aeronautics Department Act of 1947, . as amended and in consideration of (A) the SPONSOR'S adoption andratification of the representations and assurances contained in said project application, and its acceptance of this offer as hereinafter provided, and (B) the benefits to accrue to the State of Idaho and Public from the accomplishment of the project and the operation and maintenance of the airport as herein provided, the STATE hereby agrees to pay as its allowable costs incurred in accomplishing the project, not more than five (5) percent of all allowable project costs. This Grant is made on the following terms and conditions: 1. The maximum obligation of the STATE payable under this Grant shall be $36,575.00. CONTINUED l 2. The SPONSOR shall: A. Certify the availability of at least $36,575.00 to match STATE'S participation in said project. Diligently and expeditiously complete this project and likewise pursue appropriate measures as may be agreed upon by the SPONSOR and the STATE to remedy project delays, including but not limited to litigation or condemnation. B. Carry out and complete the project in accordance with the plans and specifications and property map, incorporated herein, as they be revised or modified with the approval of the STATE. C. All contracts for construction involved in this project shall be bid competitively in accordance with bidding procedures otherwise authorized for public entities. D. In connection with the acquisition of real property for the project, the SPONSOR shall secure at least two written appraisals by competent, experienced appraisers who are members of a recognized professional appraisal organization and shall not pay in excess of the highest appraisal without the written consent of the STATE or except as otherwise directed by a court of competent jurisdiction after a contested trial and a judgment not resulting from an agreement between the parties. E. No STATE funds will be paid to the SPONSOR in any case until it certifies in writing that it has funds available and will spend an amount equal to the STATE'S participation, or the amount designed in Paragraph (A) above, which amount will be used solely for the project in question. F. The SPONSOR agrees to hold said airport open to the flying public during the useful life of the facilities developed under this project; that no exclusive operating or use agreements shall be granted to any person, company, or corporation; that failure to abide by such agreement shall automatically obligate the immediate and full return of all State of Idaho money expended in behalf of the project to the State of Idaho. 3. The allowable costs of the project shall not include any costs determined by the STATE to be ineligible for consideration as to allowability. CONTINUED 4. The STATE reserves the right to amend or withdraw this offer at any time prior to its acceptance by the SPONSOR. 5. This offer shall expire and the STATE shall not be obligated to pay any part of the costs of the project unless this agreement has been accepted by the Public Entity on or before July 30, 1996 or such subsequent date as may be prescribed in writing by the STATE. Except for those projects receiving both State and Federal Aid, the following inspection schedule and reporting system will be required: 6. Inspection Schedule and Reporting System: Inspection Schedule and Reporting System will vary for each project. Basically, the inspection schedule will be placed on a quarterly basis. On projects taking less than three (3) months, the SPONSOR will be required to make reports and be inspected on the following schedule: A. SPONSOR report project commencement date. B. SPONSOR report project completion date and request final inspection. C. STATE will make final inspection and sign off project as completed. STATE will arrange for audit of account in accordance with regularly scheduled audit program. Projects taking over three (3) months will be set up on a quarterly inspection and progress report system. The SPONSOR will be required to make reports and be inspected on the following schedule: D. A. Report project commence date. B. SPONSOR will make a three (3) month progress report. This will be a letter report giving percentage of project completed, funding expenditures to date, and short narrative of the project progress, problems encountered, and plans for project completion. C. STATE will make quarterly project inspections and prepare the report of inspection. A copy of the report will be delivered to the SPONSOR. CONTINUED D. SPONSOR will make report of completion of project and request final inspection. E. STATE will make final inspection and sign -off project as completed. F. STATE will arrange for audit of account in accordance with regularly scheduled audit program. The SPONSOR'S acceptance of this offer and ratifications and adoption of the project application incorporated herein shall be evidenced by execution of this instrument by the SPONSOR, as hereinafter provided, and said offer and acceptance shall comprise allocation agreement, constituting the obligation and rights of the State of Idaho and the SPONSOR with respect to the accomplishment of the project and the operation and the maintenance of the airport. Such allocation agreement shall become effective upon the SPONSOR acceptance of this offer and shall remain in full force and effect throughout the useful life of the facilities developed under the project but in any event not to exceed twenty (20) years from the date of acceptance. STATE OF IDAHO, ITD Division of Aeronautics By: teJ r� Keith L. Bumsted, Acting Administrator ACCEPTANCE THE SPONSOR DOES HEREBY RATIFY AND ADOPT ALL STATEMENTS, representations, warranties, covenants, and agreements contained in the project application and incorporated materials referred to in the foregoing offer and does hereby accept said offer and by such acceptance agrees to all of the terms and conditions thereof. Executed this 2Yrkday of Lf , 1996. By: ///4y /ri, / Title: ayor WDP:pss/grantagmt