Projects Funded By PFC and AIP
- Public agencies are authorized to use PFC revenue as a matching local share of an AIP project
- While PFC revenue can be used to pay debt service, AIP funds cannot be used for this purpose
- Large and Medium airports that impose a PFC charge may incur a reduction in AIP apportionments. Consult Chapter 5 of FAA Order 5500.1
- Whenever PFC revenue, in any amount, are commingled with an AIP funded project, the Federal statutory and regulatory requirements of the AIP shall apply to all funds within the project.
Projects Funded Solely by PFC Revenue
- Projects must meet one or more of the objectives of Part 158.15(a). Specifically, the project must (1) preserve or enhance safety, security or capacity of the national air transportation system; (2) reduce noise or mitigate noise impacts that result from the airport; or (3) furnish opportunities for enhanced competition between or amoung air carriers. Additional requiremets exists for imposition of PFC's above $3.00.
- Projects funded soley by PFC revenues are not subject to the same Federal Statutory and Regulatory provisions of an AIP funded project. Specifically, the following requirements would not apply to project funded solely by PFC:
- Davis Bacon Act
- Disadvantaged Business Enterprise
- Buy American Preferences
- Uniform Relocation Assistance and Real Property Acquisition Policy Act
