The Airport Improvement Program (AIP) has been providing federal grants for airport development and planning since the passage of the Airport and Airway Improvement Act of 1982. AIP funding is usually spent on projects that support aircraft operations such as runways, taxiways, aprons, noise abatement, land purchase, and safety or emergency equipment. The funds obligated for the AIP are drawn from the airport and airway trust fund, which is supported by a variety of user fees and fuel taxes. This book provides an overview of airport improvement financing, with emphasis on AIP and the related passenger facility charges. It also discusses some ongoing airport issues that are likely to be included in a future FAA reauthorization debate; the potential effects of Passenger Facility Charges (PFCs) cap increases; how well the current PFC collection process works; and alternative PFC collection methods.
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