OpportunityTitle: Aviation Manufacturing Jobs Protection Program
CategoryExplanation: American Rescue Plan Act
AdditionalInformationOnEligibility: Applicants will be required to submit documentation that they meet the eligibility requirements, including evidence of their significant operations in the types of aviation manufacturing or repair work specified in the Federal Register announcement that will be published; evidence of their involuntary layoffs or furloughs from 2019 to 2020 or their decline in operating revenues; and evidence substantiating the total compensation costs for their &quot;Eligible Employee Group.&quot; This program is excluded from coverage under 2 CFR 200, Subpart E - Cost Principles.  Business entities that (i) Actively manufactures an aircraft, aircraft engine, propeller, or a component, part, or systems of an aircraft or aircraft engine under a Federal Aviation Administration production approval; or (ii) Holds a certificate issued under part 145 of title 14, Code of Federal Regulations, for maintenance, repair, and overhaul of aircraft, aircraft engines, components, or propellers; or (iii) operates a process certified to Society of Automotive Engineers (SAE) AS9100 related to the design, development, or provision of an aviation product or service, including a part, component, or assembly.  Eligible businesses that meet all of the requirements are the direct beneficiaries of the program. Their employees are indirect beneficiaries. Other businesses that rely upon the aviation manufacturing and repair industry will also benefit indirectly. This includes air carriers, air cargo carriers, corporate flight departments, and individual aircraft owners and operators.
Description: The statute allows DOT to enter into agreements with eligible business entities for a period of up to six months. During that timeframe, DOT can provide up to 50 percent of the funding for the sole purpose of continuation of employee wages, salaries, and benefits, to maintain the Total Compensation for the Eligible Employee Group (EEG) for the duration of the agreement, and to facilitate the retention, rehire, or recall of employees of the applicant business, except that such funds may not be used for back pay of returning rehired or recalled employees. As a condition of an agreement with DOT, the employer commits to refrain from conducting any involuntary layoffs, furloughs, or reductions in pay or benefits for the EEG, from the date of application and continuing until at least the expiration date of the agreement and receipt of Federal funds provided thereunder. Other restrictions and requirements will apply as well, including a requirement to provide immediate notice and justification to the Secretary of involuntary furloughs or layoffs exceeding 10 percent of the workforce that is not included in the EEG.If eligible requests exceed the available funds, then DOT will reduce the funds provided, on a pro rata basis. If DOT has to pro-rate the funds, then DOT will use the total compensation level for each eligible applicant&#8217;s EEG as the basis to calculate each eligible applicant&#8217;s resulting share. Because of the pro-rata statutory requirement, DOT is conducting a single application and review process, with the intent of identifying all eligible recipients. This will enable DOT to determine whether funds need to be pro-rated, before entering into any agreements.In the event of pro-ration, the funding agreements will cite two figures: First, the maximum eligible amount for the recipient; and second, the estimated amount that DOT would pay to the recipient, which would be lower than the maximum eligible amount. If any funds are recovered after the pro rata allocation, then DOT may allocate those funds, pro rata, among the remaining eligible recipients without any further solicitation for the $3,000,000,000 described in this notice. Moreover, DOT may reduce the amount of the Public Contribution that is actually disbursed to the recipient, to match the actual Private Contribution paid by the recipient, for documented compensation costs actually incurred for the allowable purpose (to retain or rehire employees within the EEG).The &#8216;&#8216;Eligibility Requirements and Definitions of Key Terms&#8217;&#8217; section available in FR Doc. 2021&#8211;12374 reflects the criteria established in the statute, along with key clarifications.DOT does not have the authority to add other discretionary criteria in administering this program. DOT intends to review all applications as quickly as possible after application acceptance has closed at 5:00 p.m. prevailing Eastern time on September 1, 2021. DOT, in order to determine the amount of funding that can be made available to each eligible applicant.
GrantorContactEmailDescription: (202) 366-5112
GrantorContactText: AMJP program