YOUR BUSINESS AUTHORITY
Springfield, MO
by Karen E. Culp
SBJ Staff
One of three funding sources for airports is under debate in Congress.
The Airport Improvement Program is a federal funding program that funnels money to airports, such as the Springfield-Branson Regional Airport, for improvements to airport infrastructure.
"The funds for this come from a ticket tax, an 8 percent tax on the passenger's ticket, that goes into an aviation trust fund and is then distributed to the airports," said Rob Hancik, director of aviation at the Springfield airport.
The program has not yet been renewed by Congress and is now the subject of study by a congressional committee, which is expected to finalize an agreement on a bill to re-authorize the program, Hancik said.
In the meantime, the current program has been operating under a series of 60-day extensions. So far there have been four such extensions.
Funding for Springfield's airport facility comes through the improvement program and two other major sources: a passenger facility charge and airport revenues, Hancik said. The Airport Improvement Program is the biggest funding source, he added.
The AIP has two components: airports receive money from the federal program based on the number of passengers passing through. That portion is the entitlement part
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