budget for aviation and dulles corridor enterprise funds

Mr. Charles D. SnellingPage 2 of 17Progress on the Dulles Corridor Metrorail Project continues with constructionunder way along the 11.6 mile alignment of Phase 1 of the Dulles Corridor MetrorailProject from the East Falls Church Metro Station through Tysons Corner to WiehleAvenue on the eastern edge of Reston. All five of the Phase 1 stations are underconstruction; four in Tysons Corner and the Wiehle Avenue Station. Phase 1 of theDulles Corridor Metrorail Project is expected to be substantially completed in 2013 forthe Washington Metropolitan Area Transit Authority (WMATA) to begin acceptancetesting.Preliminary engineering continues on Phase 2 which includes six stations fromWiehle Avenue to Dulles International and continuing to Ashburn. When that work isdone, the Airports Authority will solicit design/build proposals for Phase 2. TheMetropolitan Washington Airports Authority Board has approved a resolution ratifying aMemorandum of Agreement that will ensure the continuation of the Dulles Railextension to Loudoun County. The Memorandum of Agreement is a multi-partyagreement that outlines federal, Commonwealth of Virginia, and Loudoun and FairfaxCounties’ fiscal responsibilities. The current budget recommendation for Phase 2 of theMetrorail Project, including contingency, is $3.2 billion. Approximately $400 million isincluded for project elements that may be developed by Loudoun and Fairfax Counties.Future budget adjustment may be necessary to further align the budget to reflect theimpact of actual final bids as well as a final determination of project elements to bedeveloped by Loudoun and Fairfax Counties. The previously approved budgetauthorization for Phase 2 of the Metrorail Project was $3.831 billion.The Dulles Toll Road and Dulles Corridor Metrorail Project is fully integrated intothe Airports Authority’s operations, and our stakeholders include not only airportcustomers, but also customers of the Dulles Toll Road and our Metrorail fundingpartners.The budget document contains considerable detail about the two EnterpriseFunds. Please note that the Budget Summary sections for the Aviation and DullesCorridor Enterprise Funds describe significant budget highlights.AVIATION ENTERPRISE FUNDThe 2012 Budget for the Aviation Enterprise Fund consists of three Programs:The Aviation Operation and Maintenance (O&M) Program provides for theday-to-day operation and maintenance of the Airports Authority’s facilities,including those functions performed centrally. Included in this program areoperating expenses, debt service, facility projects and equipment expenses. TheAviation O&M Program is funded from airline rates and charges and nonairlinerevenue, including concession and other revenues. The 2012 Budget operatingexpenses, excluding debt service are projected at $332.3 million, 2.0 percentover the 2011 Budget. This is net of a reduction of $8.2 million for allocation ofoverhead and other indirect costs for the Airports Authority that is initially paidfrom the Aviation Enterprise Fund but is appropriately allocable to the DullesCorridor Enterprise Fund.