Regulatory Alert: FAA Releases National Plan of Integrated Airport Systems (NPIAS) for FY25
FAA Releases National Plan of Integrated Airport Systems (NPIAS) for FY25 to FY29
September 30, 2024
This afternoon, the Federal Aviation Administration (FAA) released its report to Congress on the National Plan of Integrated Airport Systems (NPIAS) for fiscal years (FY) 2025 to 2029. In the report, FAA estimates that approximately $67.5 billion is needed between FY25 and FY29 for about 18,100 airport projects eligible for funding under the Airport Improvement Program (AIP) and the Infrastructure Investment and Jobs Act, also known as the Bipartisan Infrastructure Law (BIL). The amount is based on available data and information through March 2024 and represents an increase of nearly $5.1 billion, or 8 percent, from the last report issued two years ago.
You can review the entire FAA report and list of NPIAS airports here.
NPIAS Report Background. As required by statute, FAA submits to Congress a report on the NPIAS for the purpose of identifying the estimated cost of eligible airport development the FAA considers necessary to provide a safe, efficient, and integrated system of public-use airports adequate to meet the country’s needs over a 5-year period. The report also identifies the airports within the national airport system and the roles they serve. Only the airports included in the NPIAS are eligible for AIP and BIL grants. FAA prepares the report for Congress every two years.
Highlights from FAA’s NPIAS Report. Upon review of the new NPIAS report, we wanted to share a few highlights and observations:
September 30, 2024
This afternoon, the Federal Aviation Administration (FAA) released its report to Congress on the National Plan of Integrated Airport Systems (NPIAS) for fiscal years (FY) 2025 to 2029. In the report, FAA estimates that approximately $67.5 billion is needed between FY25 and FY29 for about 18,100 airport projects eligible for funding under the Airport Improvement Program (AIP) and the Infrastructure Investment and Jobs Act, also known as the Bipartisan Infrastructure Law (BIL). The amount is based on available data and information through March 2024 and represents an increase of nearly $5.1 billion, or 8 percent, from the last report issued two years ago.
You can review the entire FAA report and list of NPIAS airports here.
NPIAS Report Background. As required by statute, FAA submits to Congress a report on the NPIAS for the purpose of identifying the estimated cost of eligible airport development the FAA considers necessary to provide a safe, efficient, and integrated system of public-use airports adequate to meet the country’s needs over a 5-year period. The report also identifies the airports within the national airport system and the roles they serve. Only the airports included in the NPIAS are eligible for AIP and BIL grants. FAA prepares the report for Congress every two years.
Highlights from FAA’s NPIAS Report. Upon review of the new NPIAS report, we wanted to share a few highlights and observations:
- Comparison to 2022 Report: Under the last report, which was issued in September 2022, FAA estimated a total of $62.4 billion in AIP- and BIL-eligible and justified airport projects for FY23 to FY27. (This was an increase from $43.6 billion identified in September 2020.) The amount estimated in the latest report, approximately $67.5 billion, represents an increase of nearly $5.1 billion, or 8 percent, from 2022. The latest estimate equates to about $13.5 billion in infrastructure needs per fiscal year, the highest amount ever identified in a NPIAS report.
- Number of NPIAS Airports: The report identifies 3,292 public-use airports (3,287 existing and 5 proposed) that are deemed important to the national air transportation system. The total is about the same as two years ago, which identified 3,295 critical public-use airports (3,287 existing and 8 proposed).
- Needs by Airport Size and Role: Primary airports accounted for 72 percent, or $48 billion, of the $67.5 billion in total development costs identified, which included large hubs ($25 billion), medium hubs ($9.3 billion), small hubs ($6.6 billion), and nonhubs (about $8 billion). Large hubs experienced the largest increase in needs from two years ago (from $19.9 to $25 billion). Nonprimary airports accounted for 28 percent, or $19 billion, of the total development costs, including national ($3.1 billion), regional ($6.2 billion), local ($6.3 billion), basic ($3.1 billion), and unclassified (none).
- Needs by Project Category: Of the $67.5 billion in needs identified, $22.5 billion is needed for rehabilitation or reconstruction of airport facilities, runways, taxiways, and aprons; $22.2 billion for terminal improvements; $12.2 billion to bring airports into compliance with existing safety standards; $3.8 billion for projects to increase airport capacity; $1.8 billion for safety-related projects; and $1.4 billion for projects to improve surface access. The remaining amounts are focused on projects involving air traffic control (ATC) towers; security; environmental protection; and noise mitigation; among others.
- ATC Tower Project Needs: In 2022, FAA created a new stand-alone development category for ATC tower projects and identified $440 million worth of needs. This year, FAA’s report identified about $683 million in needs for ATC tower projects, an increase of over 55 percent. The total amount includes (a) about $269 million for the construction or modification of ATC tower buildings or equipment that are located at an airport participating in the FAA Contract Tower Program (projects made eligible for AIP funding through the 2018 FAA reauthorization law); and (b) about $414 million for improvements to sponsor-owned ATC towers (projects eligible for BIL funding).
