Airport Alert: Please Ask Your Lawmakers to Provide Relief to Airports Hit Hard by Coronavirus
March 16, 2020
As Congress scrambles to respond to the coronavirus, lawmakers are contemplating additional action to provide relief. We are working aggressively to argue that the next package must provide direct assistance to airports and the aviation industry. Based on anticipated revenue losses and other factors, we're urging lawmakers to provide $10 billion to help airports that are facing significantly reduced revenue, increased operational costs, debt service requirements and ongoing infrastructure requirements.
Things are moving very quickly in Washington right now, and Congress is expected to begin putting together a relief package shortly. So, we're asking airports to weigh in with their lawmakers as soon as possible. Please ask them to provide $10 billion in federal assistance to help airports deal with the coronavirus crisis.
Airport Relief Proposal: As we mentioned in a conference call with members earlier today, AAAE and ACI-NA have worked together on a proposal that calls for providing critical federal funding to airports as quickly as possible and with as few strings as possible. Specifically, we're urging Congress to:
As Congress scrambles to respond to the coronavirus, lawmakers are contemplating additional action to provide relief. We are working aggressively to argue that the next package must provide direct assistance to airports and the aviation industry. Based on anticipated revenue losses and other factors, we're urging lawmakers to provide $10 billion to help airports that are facing significantly reduced revenue, increased operational costs, debt service requirements and ongoing infrastructure requirements.
Things are moving very quickly in Washington right now, and Congress is expected to begin putting together a relief package shortly. So, we're asking airports to weigh in with their lawmakers as soon as possible. Please ask them to provide $10 billion in federal assistance to help airports deal with the coronavirus crisis.
Airport Relief Proposal: As we mentioned in a conference call with members earlier today, AAAE and ACI-NA have worked together on a proposal that calls for providing critical federal funding to airports as quickly as possible and with as few strings as possible. Specifically, we're urging Congress to:
- Provide $10 billion in general funding to airports for debt service payments, infrastructure projects, operations, recovery efforts and any lawful purpose. The funding needs to be fast and flexible.
- Use existing AIP entitlement formulas (with no maximum cap and no PFC turn-back) to distribute money to commercial service airports quickly.
- Distribute remaining funds based on passenger enplanements at each airport with a portion of the funds made available for discretionary grants to airports of all sizes.
- Provide that this funding and previously appropriated FY20 funding to airports is issued at 100 percent federal share, which would allow airports to focus their resources for other critical operational needs.
Immediate Request: Please contact your elected officials as quickly as possible and urge them to provide $10 billion to airports to respond to the coronavirus crisis. An influx of federal funding is critical to help airports get through the current crisis caused by significantly reduced passenger levels, a sudden drop in revenue and increased operational costs.
Talking Points
- The current coronavirus crisis is having a significant impact on airports around the country. First, passenger levels and revenues are dropping precipitously. Meanwhile, airports are facing new operating demands and increasing strains on their ability to pay debt service while continuing their work on critical infrastructure projects.
- Recently, Delta Air Lines announced its decision to reduce capacity by 40 percent because of reduced demand related to the coronavirus pandemic. And United announced plans to cut flights by 50 percent.
- A similar 40 percent reduction in operating revenue and PFC revenue could reduce airport funding by more than $10 billion over the next year. A cut of that magnitude - or more -will have a severe impact on airport revenue, operations and money available for debt service payments and capital plans.
- [Please explain how the coronavirus is impacting you're your airport - passenger levels, revenues, etc.]
Congress can help airports weather this current storm by providing them with $10 billion in federal assistance. Getting federal funds out the door and into local communities as quickly as possible would help airports respond to new operational demands, pay for debt service on their bonds, and keep their safety and security projects on track.
