CITY OF ST. LOUIS’ APPLIES TO PRIVATIZE THE SAINT LOUIS LAMBERT INTERNATIONAL AIRPORT.
On April 24, 2017, the FAA accepted the City of St. Louis’ preliminary application for participation in the Airport Privatization Pilot Program (APPP).
Background. The program allows airports to access sources of private capital for airport improvement and development. The program was established under the 1996 Reauthorization Act, codified as 49 U.S.C. §47134. In 2012, the number of airports that could participate in the program increased from five to 10. Per the program’s participation restrictions, only one large hub airport can participate in the program, and one of the airports must be a general aviation airport. Commercial service airports can only be leased and general aviation airports can be sold or leased.
Program. The City of St. Louis believes that participating in the program will be beneficial to the airport, the city, and the St. Louis Metro area by improving Airport operating revenues through Private Partner innovation, diversification, and improved use of land assets. For the City the initiative is expected to generate upfront payments, payments over time, or both, that can be used for non-Airport City purposes, including important transportation projects and for the greater St. Louis metropolitan region, this enterprise will expand regional economic development relationships and align with other regional multi-model transport projects.
With the FAA’s preliminary approval of St. Louis Lambert International Airport (STL) for participation in APPP, there are now 4 airports participating in the pilot program, including Westchester County Airport (HPN); Hendry County Airglades Airport (2IS); and Luís Muñoz Marín International Airport (SJU) - now being operated by Aerostar Airport Holdings under a 40-year agreement with the Puerto Rico Ports Authority.
If you have any questions or would like further information, please contact Shelley Ewalt.
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McBreen & Kopko’s Aviation Group represents air carriers, fixed base operators (FBOs), airport managers, aviation service providers, and business aircraft owners and operators on a wide range of aviation issues including regulatory matters, commercial transactions, aircraft finance matters, and bankruptcy and creditors’ rights.