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HomeMy WebLinkAboutResolution - 2017-R0101 - Support Modernizing Passenger Facility Charge - 03/09/2017Resolution No.2017-R0101 Item No.6.15 March 9,2017 RESOLUTION NO.7Q17-R0101 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LUBBOCK, TEXAS,SUPPORTING MODERNIZATION OF THE LOCAL PASSENGER FACILITY CHARGE PROGRAM AS PART OF FEDERAL AVIATION ADMINISTRATION REAUTHORIZATION LEGISLATION BEFORE THE UNITED STATES CONGRESS. WHEREAS,The Congress of the United States of America must reauthorize the programs of the Federal Aviation Administration (FAA)which expired on September 30, 2015;and WHEREAS,Congress will consider changes to the local Passenger Facility Charge (PFC)program as part of Reauthorization legislation; WHEREAS,Congress in 1990 recognized that existing sources of funding for airport development were insufficient to meet pressing local and national needs and authorized local airport authorities to impose a local user charge known as the PFC subject to a federal cap to support capital improvement projects; WHEREAS,The PFC is a local airport user fee that is established locally, instituted locally, and used locally to meet critical local airport needs; WHEREAS,Procedures exist to ensure that air carriers and the public have the opportunity to comment on each airport's PFC application and the proposed projects the PFC supports; WHEREAS,The federal PFC cap has not been adjusted since 2000 when Congress set it at $4.50, and rising constructioncosts have erodedthe purchasing power of the PFC by approximately 50 percent; WHEREAS,The City began collecting a PFC in 1993 and has collected over $40 million for use in the Airport Capital Improvement Program; and WHEREAS,Direct federal funding through the FAA's Airport Improvement Program has declined some $150 million annually in recent years; WHEREAS,the two national airport organizations representing a majority of airports across the United States, the American Association of Airport Executives and Airports Council International -North America,have requested a modernized PFC program as part of the FAA Reauthorization process to give airports local self-help to meet growing infrastructure development needs since significant additional federal funding is unlikely to materialize. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK, TEXAS: To Support modernizing the Passenger Facility Charge by eliminating the federal cap to restore the original purchasing power and provide the City and other local communities the ability to set individual PFC user fees based on locally determined needs and insuring the safety and security of their airports. LJV-- DANfEL M. POP , MAYOR ATTEST: Rctcca Garza, City Sec eta APPROVED AS TO CONTENT: C�aw �&� Kelly CMnpbell, Airport Director rAssistant City Attorney_ RES. PFC Cap Program 2.1.17