Study Indicates Huge Airport Investments Are Needed

A new study by the Airports Council International - North America (ACI-NA) indicates that U.S airports must invest $87.4 billion over the next five years on new runways, terminals, gates and other infrastructure, in order to keep pace with projected passenger and air cargo demand.

The study, "Airport Capital Development Costs for 2007-2011," found that if airport improvements are not made, congestion, inconvenience and delays are going to get worse than this year, which is stacking up to be similar to, and in some instances, worse than, 2000, a year which until now has had the dubious distinction of being the peak year for air travel delays.  In 2000, the average delay was 51 minutes, but increased to 53 minutes in 2006.

A majority of airport improvement projects are paid for with PFCs (passenger facility charges), a local user fee included in the cost of an airline ticket. They are recommended by airports and, with input from airlines serving that airport, and approved by the FAA. By law, PFCs are directly tied to local airport-related projects that enhance safety, reduce delays by increasing national air system capacity, reduce airport noise and traffic congestion, and promote competition among commercial airlines.

PFCs have been capped at $4.50 since 2000, and ACI-NA says it will urge Congress to increase that limit.  05-17-2007.

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