Arlington Municipal Airport Development Plan Arlington Airport Development Plan | Page 244
The source for AIP funds is the Aviation Trust Fund. The Aviation Trust Fund was established in 1970 to
provide funding for aviation capital investment programs (aviation development, facilities and equip‐
ment, and research and development). The Aviation Trust Fund also finances the operation of the FAA.
It is funded by user fees, including taxes on airline tickets, aviation fuel, and various aircraft parts.
Apportionment (Entitlement) Funds
Federal AIP funds are distributed each year by the FAA from appropriations by Congress. A portion of
the annual distribution is to primary commercial service airports based upon minimum enplanement
levels of at least 10,000 passengers annually. If the threshold is met, the airport receives $1 million
annually in entitlement funds. Other entitlement funds are distributed to cargo service airports, states
and insular areas (state apportionment), and Alaska airports.
General aviation airports included in the NPIAS can receive up to $150,000 each year in NPE funds.
These funds can be carried over and combined for up to four years, thereby allowing for completion of
a more expensive project. In the past, Arlington Municipal Airport has received NPE funding.
Other entitlement funds are distributed to cargo service airports, states and insular areas (state appor‐
tionment), and Alaska airports. The states also receive a direct apportionment based on a federal for‐
mula that takes into account area and population. The states can then distribute these funds for pro‐
jects at various airports throughout the state. TxDOT distributes these funds to airports throughout
the State of Texas.
Small Airport Fund
If a large or medium hub commercial service airport chooses to institute a PFC, which is a fee of up to
$4.50 on each airline ticket for funding of capital improvement projects, then their apportionment is
reduced. A portion of the reduced apportionment goes to the small airport fund. The small airport
fund is reserved for small‐hub primary commercial service airports, non‐hub commercial service air‐
ports, and general aviation airports. Arlington Municipal Airport is eligible for small airport funds.
Discretionary Funds
The remaining AIP funds are distributed by the FAA based on the priority of the project for which they
have requested federal assistance through discretionary apportionments. A national priority ranking
system is used to evaluate and rank each airport project. Those projects with the highest priority from
airports across the country are given preference in funding. High priority projects include those related
to meeting design standards, capacity improvements, and other safety enhancements.
Under the AIP program, examples of eligible development projects include the airfield, public aprons,
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