FAA allocates nearly $1.5 billion in airport infrastructure grants for August

The Federal Aviation Administration directed almost $1.5 billion toward airport infrastructure projects in August, according to agency announcements. That figure combines two separate funding rounds.

On Thursday, the FAA said it was releasing about $615 million through 238 Airport Improvement Program grants, covering airports in 42 states and two US territories. The money is meant to support runway and taxiway work, airfield safety upgrades, and additions such as family-friendly terminal spaces.

Earlier in the month, the agency had already awarded roughly $870 million through its Airport Infrastructure Grant program. That brought the combined total for August close to $1.5 billion.

FAA Administrator Bryan Bedford said the funding reflects an effort to keep pace with rising passenger numbers and improve the travel experience. He has previously said the agency expects annual passenger volume moving through the national airspace system to double, from about 1 billion to 2 billion, over the next two decades.

Among the individual projects funded, about $19.5 million will go toward building a new airport in Noatak, Alaska. That project is part of a planned relocation of the existing Noatak Airport, with construction expected to begin in 2027. Separately, roughly $8 million has been earmarked for a new terminal building at Lynchburg Regional Airport.

The Airport Improvement Program dates back to a 1982 law. It draws funding mainly from aviation-related taxes and fees, including those on fuel, tickets and international arrivals, with occasional supplementation from the FAA's general fund in recent years.