Airport Improvement Program (AIP) funds are provided by the Federal Aviation Administration (FAA) to airports across the United States to improve their infrastructure and increase safety. These funds are used to finance a range of projects including runway & taxiway renovations, signage, terminal expansions, and upgrades to air traffic control systems. As an example, the AIP will provide over $3.18 billion in entitlement and discretionary funds between 2022 and 2024.
However, recipients of AIP funds are also required to comply with the Buy American Act (BAA). This means that materials, products, and services purchased using AIP funds must be made in the United States or from a country that has a reciprocal agreement with the U.S. government, with certain limited exceptions.
It is important to note that the AIP has its own set of requirements and guidelines, including those related to procurement and contracting. Airport sponsors that receive AIP funding must comply with these requirements, as well as any applicable federal, state, and local laws and regulations.
The Buy American Act (BAA) is a federal law that requires the U.S. government to give preference to domestically produced goods and services in its purchasing decisions. The BAA applies to purchases made by all federal agencies, including the Department of Defense and the Department of Homeland Security.
The emphasis for the Airport Improvement Program funding is to support safe and efficient global air transportation and shipping which leads to economic stability and a healthier global economy.
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View the full list of BAA Waivers issued HERE