TO: Mayor and Members of City Council
THRU: Jeffrey Yates, ICMA-CM, Assistant City Manager
FROM: Andrew LaGala, A.A.E, Airport Director
DATE: October 12, 2026
RE:Title
Accept and Appropriate $2,000,000 of Passenger Facility Charges for the Reconstruction of the North General Aviation ApronTitle
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COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
The North General Aviation Apron reconstruction supports Goal IV of the City’s adopted Strategic Plan, “Desirable Place to Live, Work and Recreate,” and Objective 4.1, which calls for maintaining public transportation investments through high-quality transit and airport services. Fayetteville Regional Airport serves as a regional economic driver by connecting the community to business opportunities, supporting tourism, and providing transportation infrastructure that helps attract and retain employers. Reconstructing deteriorating apron pavement helps maintain safe and efficient aircraft operations, protect the City’s infrastructure investment, and sustain the airport’s role in the regional economy.
Executive Summary:
The proposed Capital Project Ordinance Amendment 26-0651 appropriates $2 million in Passenger Facility Charge revenues for reconstruction of the North General Aviation Apron at Fayetteville Regional Airport, the paved area used for aircraft parking and ground activities. Passenger Facility Charges are fees collected through airline tickets and dedicated to federally approved airport improvements. Reconstruction will address pavement deterioration and help maintain safe and efficient airport operations. On June 22, 2026, City Council accepted $11,945,800 in federal grants and approved a $597,290 local match for the project. The proposed appropriation has no impact on the City’s General Fund.
Background:
On June 22, 2026, City Council accepted two federal Airport Improvement Program grants totaling $11,945,800 for reconstruction of the North General Aviation Apron at Fayetteville Regional Airport. Council also approved the required local match of $597,290 from Airport pay-as-you-go capital funding. The apron is the paved area used for aircraft parking and ground activities.
A 2019 pavement assessment rated the apron in good condition. However, the North Carolina Department of Transportation’s Division of Aviation recommended rehabilitation or reconstruction to maintain its ability to support aircraft loads. The pavement is now in fair condition, and reconstruction will help maintain safe and efficient airport operations.
Passenger Facility Charges are fees collected from passengers through airline tickets and remitted to the airport to fund federally approved airport improvements. These revenues are restricted to eligible airport projects. The proposed Capital Project Ordinance Amendment 26-0651 would appropriate $2 million in Passenger Facility Charge revenues for the North General Aviation Apron reconstruction. This appropriation has no impact on the City’s General Fund.
Issues/Analysis:
The proposed appropriation makes $2 million in restricted Passenger Facility Charge revenues available for the North General Aviation Apron reconstruction. These funds will support improvements to deteriorating pavement and help maintain safe and efficient airport operations. The project uses dedicated airport funding sources and requires no contribution from the City’s General Fund.
Budget Impact:
The proposed appropriation provides $2 million in Passenger Facility Charge revenues for reconstruction of the North General Aviation Apron, with no impact on the City’s General Fund. These charges are collected from airline passengers through ticket purchases and are restricted to federally approved airport improvements. Airport funding generally comes from airport operating revenues, federal and state grants, and dedicated passenger charges. This project is supported by previously approved federal grants and a local match funded through Airport Fund pay-as-you-go funding. The proposed appropriation uses dedicated airport revenues and requires no General Fund contribution.
Options:
1. Adopt Capital Project Ordinance Amendment 26-0651 to appropriate $2 million in Passenger Facility Charge revenues for reconstruction of the North General Aviation Apron, with no impact on the City’s General Fund.
2. Do not adopt CPOA 26-0651 to appropriate Passenger Facility Charges for use in the reconstruction of the North General Aviation Apron and provide further direction to staff.
Recommended Action::Recommended Action
Accept and Appropriate $2,000,000 of Passenger Facility Charges for the Reconstruction of the North General Aviation Apron and authorize necessary financial and budgetary actions
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Attachments:
PFC 13 Amendment Approval Letter
PFC 13 Acknowledgement Letter
CPOA 26-0651