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Program Finance
The Airport Improvement Program is part of John Wayne Airport's overall Capital Improvement Program (CIP) which involves construction of Terminal C with six (6) bridged aircraft gates, two new parking structures, and a variety of projects to enhance the existing Thomas F. Riley Terminal.
Sources of Funds*
JWA will fund the Airport Improvement Program in the most cost-effective manner** using a variety of funding sources including:
- Internal Airport Revenues – Net JWA revenues are available to fund capital projects. A minimum balance of $35 million is kept in reserves, while additional funds have been set aside to support the funding of the Improvement Program.
- Federal Aviation Administration (FAA) Grants – JWA can receive reimbursement of up to 80 percent of the cost of eligible capital and noise mitigation projects in Airport Improvement Program (AIP) grants from the FAA. Grants are awarded as "entitlement" or "discretionary" based on specific requirements by the FAA. Read
more
about FAA here.
- General Airport Revenue Bonds (GARBs) – The bonds are payable solely from, and are secured by a pledge of, the net revenues (annual total revenues less operating expenses) of the Airport.
- Passenger
Facility Charge
(PFC) – The
PFC was
created by
Congress in
the 1990
Aviation Safety
and Capacity
Act (ANCA).
It is
intended to
assist airports
in funding
major infrastructure
development. The
fee is
charged to
enplaning passengers
only. Read
more about
the PFC here.
- Other – Funds included here are from Caltrans for seismic retrofit projects and from the JWA Air Carriers for the hydrant fueling system.
Internal (JWA) revenue |
296,233,708 |
|---|---|
FAA |
25,091,135 |
GARBs |
91,154,617 |
LOCs |
43,697,587 |
PFC |
180,461,279 |
Other |
15,300,000 |
Total CIP: |
$651,938,326 |
Uses of Funds*
While the Improvement Program will be a primary focus for JWA in the coming years, the Airport will continue its strong commitment to safety, security, environmental responsibility and sound financial management as part of its overall CIP.
As part of JWA’s ongoing review of its CIP, the figures below were recently updated to reflect the most current cost estimates for the program. As has been the case with so many large-scale construction projects across the U.S., JWA is bearing the brunt of significant cost increases in raw materials, labor and oil. The result of the recently revised cost estimates is a 27% increase in the cost estimate for the Airport’s overall CIP – from $512 million to $652 million.
Terminal |
263,804,172 |
|---|---|
South Remain-Over-Night |
30,810,328 |
B1 Parking Structure |
58,124,617 |
C1 Parking Structure |
43,697,582 |
Professional Services (1) |
79,307,630 |
Contingency |
46,030,000 |
Miscellaneous (2) |
50,194,524 |
Other CIP |
79,969,473 |
Total Airport Improvement Program: |
$651,938,326 |
(1) Includes project and construction management, geotechnical, scheduling, etc.
(2) Includes Commuter/Regional facilities, Common Use Terminal Equipment (CUTE), gate and ticket counter signage, and Terminals A & B renovation.
*The dollar figures presented here are cost estimates drawn from the analysis conducted by JWA’s financial consultants, Faithful + Gould, updated June 2007.
**No general tax dollars will be used for JWA’s Improvement Program.