budget for aviation and dulles corridor enterprise funds

2012 BUDGETMetropolitan Washington Airports AuthorityFederal GrantsThe Airports Authority receives both entitlement and discretionary grants for eligible projectsfrom the FAA, Airport Improvement Program (AIP). Entitlement funds are determined by aformula according to enplanements at each Airport. These grants are permitted to be usedby the Airports Authority at either Airport. The Airports Authority annually applies fordiscretionary grants from the FAA. The Airports Authority has applied for grants to partiallyfund the new runway at Dulles International through a multi-year grant process. Theissuance of a Letter of Intent (LOI) is subject to receipt of Congressional appropriations and isnot a binding commitment of funds by the FAA. For planning purposes, the amounts in thepending LOIs from the FAA are used by the Airports Authority as the estimate of federaldiscretionary grants to be received.Commonwealth of Virginia GrantsThe Commonwealth of Virginia provides grants to Virginia airport sponsors through theaviation portion of the Transportation Trust Fund. The Airports Authority will receive 60percent of any new money, if any, available for allocation by the Virginia Aviation Board, up toa maximum of $2 million annually. These funds are used as an additional source of fundingfor the CCP.Since 1998, the Airports Authority has received approximately $25.5 million in state grants.The Airports Authority expects to receive an additional $12.0 million between 2012 and 2017.Passenger Facility ChargesThe Aviation Safety and Capacity Expansion Act of 1990, enacted November 5, 1990,enables airports to impose a PFC on enplaning passengers. The Airports Authority appliedfor and was granted permission to collect a $3.00 PFC beginning November 1, 1993, atReagan National and January 1, 1994, at Dulles International. Federal legislation that wasapproved in April 2000 allowed an increase from $3.00 per passenger to a maximumcollection of $4.50. The Airports Authority gained approval for the $4.50 rate in May 2001.An airport must apply to the FAA, by submitting an application, for the authority to imposeand use the PFCs collected for specific FAA-approved projects. The PFC funds collected areused to finance the projects described in the Airports Authority’s approved PFC applications.The Airports Authority has submitted and gained approval of nine series of PFC applications,with associated amendments, covering both Airports in the amount of $3.0 billion. As ofSeptember 30, 2011, the Airports Authority had collected $488.0 million under the first four ofthese (including interest earned) at Reagan National and $567.0 million (including interestearned) at Dulles International. The collection dates for approved PFC applications atReagan National will expire on March 1, 2015, and at Dulles International on December 31,2038. If the amounts authorized to be collected have not been collected by the expirationdates, it is expected that the authorization to collect the PFCs will be extended.48