The  1998-2002 NPIAS provided the basis for fiscal year 2001 and fiscal year 2002  grants. Some airfield maintenance  and project planning costs are also allowed. Over half of general aviation airports were apportioned the maximum  amount of funding. However, the funds remain  available to this airport for up to 3 years. According to FAA officials, states are required to offer eligible general  aviation airports their entitlements in the fiscal year it is made available. If an airport has not accepted the  funding at the end of the 3-year period, the grant would be reduced by the  amount of the funding not accepted. Most Fiscal Year 2001 General Aviation Entitlement Grant Funds Were Accepted

As of October 1, 2002, about 75 percent of the total fiscal year 2001 general  aviation entitlement grant funds had been accepted by the airports to  which they were apportioned, and about 46 percent of the total fiscal year  2002 general aviation entitlement grant funds had been accepted. The Percentage of General Aviation Entitlement Grant Funds Accepted Varies Widely by State

General aviation airports in some states accepted a larger percentage of  funds in both fiscal years 2001 and 2002 than in other states. General Aviation Entitlement Grants Were Used More Than One-Third of the Time to Fund Construction of Landing Areas

According to the results of FAA’s survey, general aviation airports most  often used the funds from fiscal year 2001 entitlement grants to construct  landing areas (e.g., runways, taxiways, and aprons). These four largest categories comprise over 75 percent of all projects  funded with general aviation entitlement grants in fiscal year 2001. Over two-thirds of  the selected airport managers said that the grants provided critical funding  to undertake projects at their airports. Over two-thirds of the selected general aviation airport managers  said that they would not have been able to undertake or complete needed  projects without these grant funds, and three-fourths of them said that the  categories of projects eligible for funding include most of their capital  needs. Most state officials said that because the $150,000  annual amount is not adequate to complete some major projects, some  airports rollover the funding to accumulate up to $450,000 of funding over 3  years to complete such projects. Opinions of Some State Aviation Officials and Airport Managers Differ on Increased General Aviation Entitlement Grant Funding

Seven of the state aviation officials expressed concern that, as funding for  general aviation entitlement grants increases, funding for unassigned  apportionment grants could correspondingly decrease because the amount  available for unassigned apportionment is determined by deducting the  general aviation entitlement grant funding from a fixed percentage of AIP. After comparing these  data with the 1998-2002 National Plan of Integrated Airport Systems  (NPIAS), we found some discrepancies. FAA created 11 categories for the projects. In addition, under the act,  individual airports and states do not have to use these funds in the year  they are made available.
Why GAO Did This Study

In 2000, Congress created general aviation entitlement grants to provide funding up to $150,000 per fiscal year to individual general aviation airports. These grants fund capital improvements and repair projects. GAO was asked to (1) assess the amount of funding airports used, (2) identify the types of projects undertaken, and (3) convey suggestions made by interested parties to improve the grants in preparation for the reauthorization of the legislation in 2003.

What GAO Found

By the end of fiscal year 2002, most fiscal year 2001 general aviation entitlement grant funds had been accepted by the airports to which they were apportioned. However, less than half of the fiscal year 2002 entitlement grant funds had been accepted by those airports at the end of fiscal year 2002. The remaining portions of unused entitlement funds for the 2 fiscal years were carried over to use in the following years--up to 3 years. In both fiscal years, the percentage of entitlement grant funds accepted varied widely by state. Larger general aviation airports accepted a greater percentage of their entitlement grants than small airports for both fiscal years. In fiscal 2001, general aviation airports used these funds primarily to undertake landing area construction projects--runways, taxiways, and aprons. In addition, the airports used the funds to undertake pavement maintenance; airfield lighting, weather observation systems, and navigational aids; and planning projects. These four categories constituted over 75 percent of all projects undertaken with these funds. While most state aviation officials, selected airport managers, and FAA officials we spoke with indicated these entitlement grants were useful, they also suggested some changes. The most common concerned the amount of funding. Several state aviation officials and some selected airport managers indicated that the $150,000 annual maximum amount per airport was not adequate to complete projects. However, state officials expressed concerns that increasing the entitlement amount could hinder the states' ability to address their own aviation priorities because any increase would proportionately decrease the states' apportionments. The majority of the selected airport managers indicated that, without these grants, their airports would have been unable to undertake the projects. Other suggestions concerned increasing the amount of time to use the grants, broadening the categories of eligible projects, and using an alternative to FAA's National Plan of Integrated Airports Systems as the basis for funding eligible projects.