Regulatory Alert: FAA Releases National Plan of Integrated Airport Systems (NPIAS) for FY23 to FY27

The Federal Aviation Administration (FAA) released its report to Congress on the National Plan of Integrated Airport Systems (NPIAS) for fiscal years (FY) 2023 to 2027. In the report, FAA estimates that approximately $62.4 billion is needed between FY23 and FY27 for about 18,700 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 represents an increase of nearly $19 billion, or 43%, 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. 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. The FAA prepares the report for Congress every two years.

Highlights from Initial Review. Upon initial review of the new NPIAS report, we wanted to share a few highlights:

• Comparison to 2020 Report: Under the last report, which was issued in October 2020, FAA estimated a total of $43.6 billion in AIP-eligible and justified airport projects for FY21 to FY25. The amount estimated in the latest report, approximately $62.4 billion, represents an increase of nearly $19 billion, or 43%, from 2020. One notable change from the 2020 report is that the latest version includes both AIP and BIL eligible and justified projects. 

• Number of NPIAS Airports: The report identifies 3,295 public-use airports (3,287 existing and 8 proposed) that are deemed important to the national air transportation system. The total is slightly down from two years ago, which identified 3,310 critical public-use airports.  

• Needs by Development Category: Of the $62.4 billion in needs identified, $22.0 billion is for rehabilitation or reconstruction of airport facilities, runways, taxiways, and aprons; $17.0 billion for terminal improvements; $12.4 billion to bring airports into compliance with existing design standards; $4.5 billion for projects to increase airport capacity; $1.9 billion for safety-related projects; and $1.5 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 other areas. 

• New Development Category for ATC Towers: FAA created a new stand-alone development category for ATC tower projects and identified $440 million worth of needs. The total amount includes (a) about $170 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 eligible for funding through the 2018 FAA reauthorization bill); and (b) about $270 million for improvements to sponsor-owned ATC towers (projects eligible for BIL funding). 

• FAA Expects Needs to Grow Further: FAA noted in the report that the airport development needs identified were based on data gathered from airports in 2021 and early 2022. Given time constraints, the agency was unable to capture all infrastructure needs that were being analyzed in the spring and summer of 2022. FAA emphasized that the next NPIAS report (for FY25 to FY29) would “show further growth in airport infrastructure needs as airports develop capital improvement plans that utilize all available Federal funding,“ including the new BIL grants.