Portland Eyes Jetport Deal

Portland could be heading to the market next year with a new-money transaction to help finance a $60 million expansion project at the Portland International Jetport.

Business at the airport has increased since Jet Blue and AirTran, two discount airlines, set up shop at Jetport almost two years ago. The airport served 1,736,573 passengers in fiscal 2008, which ended June 30, up from 1,553,693 passengers the year before, a nearly 12% boost in business.

If the Jetport continues to maintain its passenger demand, city officials will move forward with a $60 million, five-gate expansion project that is currently in the design phase.

“This all is actually dependant on how business goes,” said Jetport’s principal financial officer, Rick Marston. “We’re definitely going to have a design, but if business starts falling because of the economy we’ll put the design on the shelf for awhile until things get better. But we are hoping to break ground sometime in fiscal 2009, but that’s really up in the air.”

Marston said the city will issue bonds on behalf of the airport, with passenger facility revenues backing the debt. Officials are considering financing roughly 90% of the $60 million expansion project with bond proceeds, with the remaining funds possibly coming from the federal government.

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Transportation industry
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