1. Presented to: By: Date: Federal Aviation Administration AIRPORT IMPROVEMENT PROGRAM International Right of Way Assoc. Tom Felix, Manager Planning & Programming

2. Federal Aviation Administration 2 Title 49 U.S.C., Section 47104(a) authorizes the Administrator to make grants for airport planning and development in the United States and its territories. The grants assist the development of public-use airports served by air carriers, commuters and general aviation. GRANT AUTHORITY

3. Federal Aviation Administration 3 REVENUE SOURCES The Airport and Airway Trust Fund, which was established by the Airport and Airway Revenue Act of 1970, provides the revenues used to fund AIP projects. The Trust Fund concept guarantees a stable funding source whereby users pay for the services they receive.

4. Federal Aviation Administration 4 AIP AUTHORIZED FUNDING LEVELS The Act, as amended, authorizes the use of monies from the Airport and Airway Trust Fund to make grants under the AIP on an annual fiscal year basis. The last Authorization Legislation provided $3.7 billion annually for fiscal years 2005 thru 2007.

5. Federal Aviation Administration 5 Typical Percentage Distribution of AIP Primary Entitlement 29% State Apportionment 9% Non Primary Entitlement 11% Noise mitigation 8% Military Airport Program 1% Other Discretionary 42%

6. Federal Aviation Administration 6 Typical AIP Funded Projects Planning (System planning & Master Planning) Runways Taxiways Terminal Buildings Terminal Apron (Ramp) Airport Access Roads Land Acquisition for Development Land Acquisition for Noise Compatibility Installation of Navigation Equipment

7. Federal Aviation Administration 7 FAA Website:www.faa.gov www.faa.gov/airports_airtraffic/airports/aip/aip_handbook/