Published on Wednesday, August 11, 2010
Revenue to help pay for new passenger terminal
Barnstable Municipal Airport will soon ask the Federal Aviation Administration for authority to add $2.00 to the cost of each departing passenger’s airline ticket. The revenue would be used to help pay for part of the new passenger terminal that is scheduled to be built, starting this fall.
If approved, the so-called passenger facility charge would take effect December 1, following FAA review of the airport’s proposal, and airline and public comment. Airport officials met with airline representatives Tuesday to explain the fee. To cover the cost of collecting it, airlines would be allowed to keep 11 cents of each $2.00 received.
The airlines and the public have until September 9 to submit written comments to Airport Manager Roland “Bud” Breault.
The airport is expected to receive about $275,000 in each of the next few years from the fee. The money will be used to help pay principal and interest of a general obligation bond — issued by the Town of Barnstable — to finance a portion of the terminal construction cost.
Last January, airport commissioners voted unanimously to go ahead with the FAA request as part of their financial plan to upgrade aging airport facilities. At the time, commissioners learned that passenger facility charges are in place at 84 percent of eligible U.S. airports. Barnstable Municipal Airport has never had such a charge.
Commission Vice Chairman Donald Megathlin said the $2.00 fee would represent about two percent of a round-trip Nantucket flight and should not be burdensome.
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