The TSA Funding of Checked Baggage Inspection System Project Costs Policy Memo contains additional information regarding allowable and allocable costs, up to the not-to-exceed value of each project, covered by design and facility modification applications.  

Costs identified as allowable and allocable will be part of the project funding negotiations between TSA and the airport depending on the option selected from those included in the submitted alternatives analysis. The airport’s ability to fund future increases in annual operations and maintenance costs related to the operation of an in-line system is essential to the overall analysis of project viability. TSA recommends airports perform a thorough analysis of the costs associated with the implementation of an in-line system to identify potential increases in operational cost.