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Item No. 11 <br />TO: Mayor, Mayor Pro -Tem & City Council <br />Grayson Path, City Manager <br />FROM: Paul Strahan, Airport Manager/FBO Operator <br />SUBJECT: Non -Primary Entitlement Funding (NPE) <br />DATE: March 28, 2022 <br />BACKGROUND: The FAA provides $150,000 per year to General Aviation airports to fund <br />eligible airport projects. These funds come with an expiration date of four years, meaning that if <br />an airport does not successfully submit plans for a project and receive approval by TXDOT within <br />the period of four years, the funds are no longer available and revert to the FAA. The airport <br />received $150,000 from the FAA in 2017, failed to submit any plans for eligible projects within <br />the four-year period, and lost the ability to use these funds. The last opportunity for the airport to <br />submit a proposed plan for a project for these 2017 funds was January 2020. There is no appeal <br />process or time extension program available. <br />NPE funds are not obligated to stay in Texas, and without the NPE Transfer paperwork, the funds <br />will revert to the FAA for national use. The transfer of NPE funds to TXDOT allows these funds <br />to remain in Texas. This is common practice for airports that do not utilize these funds. <br />It shall be the responsibility of the newly created position of Airport Manager to ensure these <br />annual monies are used to fund improvement projects at the airport. [The funds for the next 4 <br />years are already associated with the runway project.] <br />STATUS OF ISSUE: 2017 NPE funds expiring July 1, 2022. <br />BUDGET: N/A <br />RECOMMENDATION: Approve the transfer of NPE funds to TXDOT, and authorize the Mayor <br />to sign all necessary documents. <br />