Arlington Municipal Airport Development Plan Arlington Airport Development Plan | Page 248
Other State Airport Programs
TxDOT also provides a funding mechanism for terminal building and ATCT improvements. TxDOT has
funded terminal building construction on a 50/50 basis, up to a $1.0 million total project cost. It should
be noted that TxDOT can consider upgrading the total cost allowance on a case‐by‐case basis.
TxDOT also funds the construction of up to two ATCTs statewide each year. TxDOT has improved the
program so that ATCT funding could be provided on a 90/10 basis, up to a total construction cost of
$1.67 million.
It should be noted that the plan does not include new ATCT or terminal building facilities at Arlington
Municipal Airport. The existing facilities are relatively new and will be sufficient for the planning period
of this study.
LOCAL FUNDING
The balance of project costs, after consideration has been given to other funding sources described
above, must be funded through local resources. Arlington Municipal Airport is owned and operated by
the City of Arlington. A goal for any airport is to generate enough revenue to cover all operating and
capital expenditures.
Airport revenues are generated by airport operations through the collection of various rates and
charges. Revenues collected by the airport are to be used specifically to help fund the operation and
maintenance of the airport and for additions or improvements to airport facilities.
All general aviation airports should establish standard rates for various leases. All lease rates should be
set to adjust to a standard index such as the consumer price index (CPI) to assure that fair and equita‐
ble rates continue to be charged into the future. Many factors will impact what the standard lease rate
should be for a particular facility or ground parcel. For example, ground leases for aviation‐related fa‐
cilities should have a different lease rate than for non‐aviation leases. When airports own hangars, a
separate facility lease rate should be charged. The lease rate for any individual parcel or hangar can
vary due to availability of utilities, condition, location, and other factors. Nonetheless, standard lease
rates should fall within an acceptable range.
There are several alternatives for local financing options for future development at the airport, includ‐
ing issuing bonds and leasehold financing. These strategies could be used to fund the local matching
share, or complete the project if grant funding cannot be arranged.
It is also acceptable for the airport to enter into some form of public/private partnership for various
airport projects. Typically, this would be limited to hangar construction, but there are some examples
where a private developer constructs, for example, a taxilane, then deeds it to the airport for ongoing
maintenance. When entering any such arrangement, the airport must be sure that the private devel‐
oper does not gain an economic advantage over other airport tenants.
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