Industry News

ACPA Highlights Funding Opportunity

In ACPA’s “3 Minutes on Monday” videoreport this week, Jerry Voigt shares the positive news that airport construction funding is available in the CARES Act. (See our detailed analysis in Gary Mitchell’s report.)

He also describes collaborative efforts among ACPA and other leading construction materials associations, all with the goal of addressing the industry’s most pressing needs during the pandemic crisis.

He also discusses our ongoing efforts to secure funding for the health and safety of the people who are building, rehabilitating and preserving America’s highways, airports and roads.Click https://youtu.be/0kspdL98M3o to see the video.

ACPA Reports Construction Funding in CARES Act

As reported in our “3 Minutes on Monday” special report this week, the recently approved CARES Act includes $10 billion in grants for airports. 

Gary Mitchell reviewed the language and provides this overview:

We reported the grants would likely be used to service airport debt and to maintain operations. We initially stated that it was likely little, if any, of the grants would be used for construction projects. We have since done more research into the CARES Act and the following should help better explain what is in the bill. We encourage you to review this information carefully, and to refer to the FAA’s website, which includes additional information and answers to frequently-asked questions. Please see the links, which at the end of this article.

As it turns out, there is some funding in the bill to be used for airport construction. The $10 billion in funding is divided into four pots of money. At least $500 million is available to increase the Federal funding share to 100% for grants awarded under the fiscal year 2020 appropriations cycle for 2020 Airport Improvement Program (AIP) and 2020 Supplemental Discretionary grants. That means an airport sponsor should have incentive to proceed with construction projects as well as speed up some construction to take advantage of 100% funding instead of having to come up with funds in this tough fiscal environment.

Another $100 million of this $10 billion dollars is available for general aviation airports and could be used for any purpose for which airport revenues may be lawfully used.

CARES grant funding can be used for airport development on an airport. This could mean a general aviation airport would not have to come up with the local matching funds since a CARES grant is a 100% federal share. Coming up with the local share is often an issue for a small airport.
The funds are allocated based on the categories published in the most current Nation Plan of Integrated Airport System (NPIAS), reflecting the percentage of the total published eligible development costs for each category, and then dividing the allocated funds evenly among the eligible airport in each category. So the money must be spread around and may not be a large amount, depending on all the request.

At least $7.4 billion of the funds are available to Commercial Service Airports for any lawful purpose and another $2 billion is available for large, medium and small hub airports and non-hub airports for any lawful purpose.

So while most of the money is dedicated to airports that would likely use the funds to service debt and maintain operations, up to $600 million is set aside that could be used to promote construction projects. To be eligible for a grant under the CARES Act, an airport must be part of the NPIAS.

We view this news as positive since the $500 million will likely be used to amend the 2020 AIP and discretionary grants to eliminate local matching shares, which will be an incentive to keep airport construction moving forward.

Additionally, this may present smaller airports with the opportunity to implement concrete overlay projects they originally thought were too expensive, because they would not have to provide matching funds and since traffic may be lower than normal. Any development projects would still need to go through the local FAA Airport District Office (ADO) and Region to assure it meets all FAA requirements.

FAA weblinks:

Overlay Webinars Continue

The final three sessions of the CP Tech Center’s concrete overlay series continued on the next three Tuesdays.

The one-hour webinars begin at Noon (CDT) / 1 p.m. (EDT) and include technical presentations and local examples of successful overlay projects.

The topics and dates for the next three webinars are:

  • Overlay Design Considerations – April 21st
  • Plans, Maintenance of Traffic (MOT) and Construction – April 28th
  • Maintenance and Repairs of Overlays – May 5th

Registration is free of charge and participants will receive PDF copies of presentations and a video link for the recorded webinar. Click here to register.

Video Offers Tips to Safeguard Highway Workzones

ARTBA has produced a video explaining strategies and methods for preventing the spread of COVID-19 and other infectious diseases on highway work zones.

The 7-1/2 minute animation video explains the three basic strategies are jobsite screening, social distancing and sanitation.  The vide then provides tips and techniques for following these strategies to keep workers safe on the grade and other work areas. The video is currently available in English, but a Spanish version is planned for release soon. Click here to view the video. 

ACPA Adds New Resources to COVID-19 Resource Center

ACPA has added additional resources to our COVID-19 resource center.

Additions include the latest “ACPA 3 Minutes on Monday” special report, along with a video on the prevention of COVID-19 and other pathogens in construction workzones. We’ve also added several new public policy and human health & safety resources, including updates (with the dates of the updates noted).

Please click here or visit: acpa.org/covid-19-resources. To suggest additional resources, please forward information to education@acpa.org.

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