Priority technique for general aviation airport investments in Tennessee

Abstract

One issue state departments of transportation must address is the allocation of funds among competing general aviation airport projects. For example, the Tennessee Aeronautics Division administers an annual program for funding projects at airports throughout the state. Although the annual funding available from state and federal funds for the program is currently almost $12 million, the demand for projects far exceeds the available monies. Further, continued reductions in the Federal Airport Improvement Program (AIP) funding for small airports has increased the competition for funding. For many years, general aviation airport projects in Tennessee were awarded on a first requested, first funded bases. With the increase in requests and the reductions in funding, a rational system for project selection was needed. Accordingly, the Division developed a scoring system to rank and prioritize projects. The system considers a variety of factors for each project, including safety, economic impact of the airport, and usage. The State Transportation Equity Fund, created in 1986 by act of the General Assembly, is the principal source of state funding for airport improvement. Taxes on the sale of aviation fuel are collected by the fund and allocated to the Department of Transportation for use in the airport program. The program received about $11.1 million from the Equity Fund during 1997. Using these funds, the Department makes statewide grants to Tennessee air carrier and general aviation airports to support safety, airport improvements, and landside improvements. The Department will cover up to 75% of the total cost, depending upon the type of project. The Aeronautics Division also serves as the administrator in Tennessee for grant applications to the Federal Aviation Administration's (FAA) AIP for all airports except primary commercial service. Since over 90% of the state's 78 general aviation airports are located in small or medium sized communities, the prioritization technique has extensive implications on the economic development associated with airport investments for these communities. The paper describes the prioritization technique developed for the Tennessee Aeronautics Division. Point scores are awarded in relation to project objectives, type of improvement, airsides versus landside functions, airport usage, and sponsor responsibility. Discussed are the advantages and disadvantages of using a formal prioritization technique and how the benefits and costs of projects were considered along with issues of providing equity among airports of different sizes and economic development potential.