FAA Announces $289 Million in Airport Grants Amid Record July 4th Travel Surge
The Federal Aviation Administration (FAA) has allocated an additional $289 million in grants to U.S. airports for infrastructure enhancements, including a significant $66.7 million to Phoenix Sky Harbor International Airport (PHX) for essential taxiway work. This funding is part of the broader $25 billion airport infrastructure investment mandated by the U.S. Congress in 2021. This latest allocation represents the seventh round of funding provided under the legislation, aimed at bolstering airport infrastructure across the nation.
Transportation Secretary Pete Buttigieg emphasized the growing importance of these funds due to the rising volume of air traffic at U.S. airports. The Transportation Security Administration (TSA) is preparing for a record number of travelers over the upcoming July 4th holiday, expecting to screen over 16.2 million passengers between July 3 and July 8. This surge in travel, a 5.5% increase from last year’s holiday period, underscores the need for improved airport facilities to handle the growing demand. TSA anticipates that Sunday, July 7, will be the peak travel day, with more than 3 million passengers expected to pass through 434 airport security checkpoints nationwide.
The new round of federal grants is set to support critical improvements at various airports. PHX, receiving the largest share, will use the funds for site demolition and preparation to construct a new 2,100-foot taxiway to enhance flight capacity. Other significant grants include $30.1 million to Hartsfield-Jackson Atlanta International Airport for runway reconstruction and $22.1 million to Philadelphia International Airport for taxiway rehabilitation and runway safety enhancements. Hollywood Burbank Airport in Southern California is also receiving $8.2 million to advance the construction of its new terminal building. In total, 129 airports will benefit from this latest round of FAA funding.
Beyond the infrastructure bill of 2021, the recently enacted FAA Reauthorization Act 2024 further increases the Airport Improvement Program (AIP) funding by over $600 million annually, bringing it to $4 billion per year. This increase provides additional financial support for airports seeking to fund critical improvement projects. However, Airports Council International-North America (ACI-NA) has highlighted a significant financing gap for airport infrastructure, noting that federal funding and grants will still fall short of the $30 billion annual infrastructure needs projected for U.S. airports in the coming years. ACI-NA Vice President for Economic Affairs and Research, Liying Gu, emphasized at a recent GAD Americas conference that airports are increasingly reliant on debt to meet their infrastructure needs, despite the substantial federal investments.
These ongoing and expanded funding efforts are vital for maintaining and enhancing the U.S. airport infrastructure, ensuring that it can meet the demands of a growing number of travelers while supporting the economic vitality of the aviation sector.