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RCED-92-169R 1 (1992-04-30)

handle is hein.gao/gaobackav0001 and id is 1 raw text is: GAO 146626 MC- e+ The Honorable Dennis M. Hertel House of Representatives Dear Mr. Hertel: In a December 2, 1991, letter, you asked for information about the city of Detroit's plans to request airport grant funding from the Federal Aviation Administration (FAA). Two potential requests are involved. For one project, almost $16 million would be requested to remove, for safety reasons, certain structures on the periphery of the Detroit City Airport. The second project is significantly larger and would expand the airport, in part by constructing a new 7,200-foot runway, at a total cost estimated by the city at about $152 million. This amount includes the $16 million for the first project. To help finance this cost, the city intends to request that FAA grant about $112 million over the life of the project from the Airport Improvement Program (AIP). FAA officials estimate that the city will not submit its grant application before late 1993, after the completion and analysis of an environmental impact statement. Your letter asked us about the relationship between these two projects. You noted that by obtaining funding for the first project, the city might be taking the first steps toward the second project. You were concerned that this would circumvent FAA's normal processes and requirements for reviewing and approving such airport development. We explained the differences between these two projects to you in a briefing on February 6, 1992. As you requested, this letter summarizes that briefing. During the briefing, you asked us for more details about the second and larger airport improvement project that the city of Detroit is proposing to FAA. Specifically, you asked whether FAA was likely to support the city's plans in the amount currently being requested, considering typical AIP funding levels provided to other airports and alternative uses of AIP funds in Michigan and the GAO/RCED-92-169R, Detroit City Airport United States General Accounting Office Washington, D.C. 20548 Resources, Community, and Economic Development Division B-248357 April 30, 1992 14 &P Ce =

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