FAA to pay bigger share of many SD airport projects

PIERRE, S.D. (KELO) — The Federal Aviation Administration will soon fund an even larger share of most airport projects starting next year, including in South Dakota.

That's according to South Dakota Transportation Secretary Joel Jundt.

Jundt told the state Aeronautics Commission on Thursday that the FAA will start paying 95% of the funding for projects that receive grants through the federal Airport Improvement Program.

Currently, the FAA pays 90%.

The change affects new AIP projects that get federal approval in 2025 and 2026.

"Well, that's good news. That will heal us up pretty nicely," said Eric Odenbach of Eureka. He chairs the state panel.

"It's great news," Jundt said.

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The exception will be Sioux Falls because it is designated as a hub. It will stay at 90%.

The state commission had been splitting the remaining 10% with local sponsors, with each group paying 5% apiece.

The commission decided on Thursday to reduce that to 2.5% apiece.

"Airport sponsors need to have some skin in the game," Odenbach said.

The commission on Thursday also gave the green light to nine more new projects.

Aberdeen plans a second phase of reconstruction on its general aviation runway. The estimated total amount for the work is $4,160,000. The FAA will provide $3,744,000, with $208,000 to come from state funds and $208,000 local.

Britton plans a revenue-producing fueling system. The estimated total is $185,000, with the FAA providing $166,500 and $18,500 local. No state funds will be used.

McLaughlin plans two revenue-producing hangars. One will cost an estimated $655,000, with $589,500 coming from the FAA and $65,500 local. The second will cost an estimated $265,000, with $238,500 from the FAA and $26,500 local. No state funds will be used for either hangar.

Parkston plans runway reconstruction and other improvements costing an estimated $3,712,000. The FAA will provide $3,348,800, with $185,600 to come from state funds and $185,600 local.

Philip plans runway reconstruction costing an estimated $6,355,000, with FAA providing $5,719,500, $317,750 to come from state funds and $317,750 local.

Pierre plans to design and rebuild a runway plus other improvements costing an estimated $8,263,134. The FAA will provide $7,436,820, with $413,157 coming from state funds and $413,157 local.

A Spearfish terminal project will cost an estimated $2,052,632, with the FAA providing $1,950,000 and $10,632 local. Spearfish also will use some of the $1,319,073 it was designated from the $10 million in state funding that the Legislature provided in SB144 for airport terminals for the first time this year.

The state Department of Transportation also will receive $450,000 from the FAA for a $500 pavement condition indexing project, with $50,000 coming from state funding. More than 50 public airports throughout South Dakota will be checked.