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B-192888 1 (1978-11-17)

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                             VWAS'HINGTON, D.C. 2054a




FILE:    B-192888                   DATE:    November 17, 1978


MATTER


DIGEST:


OF:   Federal Aviation Administratiin: Application of
      Statutory Allocation Formulas to 1979 Appropria-
      tions for Airport Pcvelopment Grants
 Federal Aviation Administration (FA.) has annual
 obligational authority to make grants in amounts
 set under Airport and Airway Development Act (AADA).
 Funds are to be distributed :ccarding to statutory
 allocation formula. 1979 appropriation act in
 effect increases total 1979 obligational authority
 from $575 million, set by AADA, to $629.14 million
 and increases amount for general aviation Ctscro-
 tionary grants from $!5.6 million, derivcd from
 allocation formul9, to $35.99 million. GAO agrees
 with FAA proposal ant to subject increase for
 general aviation discretionary grants to alloca-
 tion formula. Result will be most cinsistent
 with congressional intent and will prevent -'.n-
 consistencies resulting from application of
 formula.


     This Is in reply to a letter from the Administrator, Federal
AviaLion Administration (FAA), concerning possible conflicts between
the orovisions of sections 302 and 303 of Put. L. No. 95-335 (92
Stat. 435), the Department of Transportation and  elated Agencies
Appropriation Act, 1979, and the formulas for apportionment of air-
port development grant funds under sections 14 and 15 of the Airport
and Airway Dcvclopment Act (AADA), 49 U.S.C. H5 1714, 1715, as
amended.  (The authority cf the Secretary of Transportation under
these statutes has been delegated to FAA, and further references
will be to FAA or to the Administrator.)

     ror fiscal year 1979, 49 U.S.C. 9 1714(a)(3, authorizes the
Administrator to make grants for development: of air carrier airports
of nc  less than $495 million.  49 U.S.C. 5 1714(a)(4) aurhorives
him to make grants for devielopment of general aviation airports of
not less than $80 million.

     Section 1715(a)(3) of title 49 s. - forth an apportionment
formula for grants authorized under 5'1714(a)(3).  Of the $495 million
minimum obJigation level for FY 1979, $330 .'illion must be allocated

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