Late Sunday evening at LaGuardia airport in New York, an Air Canada Regional Express jet collided with a Port Authority firetruck killing two pilots and closing the airport until at least 2 p.m. on Monday.
The tragedy adds another item to a list of challenges at the nation's airports resulting from the war in Iran and an ongoing standoff in Congress.
A Department of Homeland Security funding lapse has stopped payments to Transportation Security Administration agents and caused lengthy check-in lines.
"With Congress scheduled to break soon for a scheduled two-week recess, it is imperative that an agreement be reached immediately to restore funding for hard-working Americans who are currently performing critical security-related jobs without pay."
The statement comes from a letter from Kevin Burke, president and CEO of the Airports Council International – North America, a trade group representing America's airports.
The Trump administration is responding to the TSA problem by sending Immigration and Customs Enforcement agents to airports in Atlanta, New Orleans, Phoenix, and New York City.
Most airports in the U.S. are owned by state and local governments and generate their own revenue by charging rent, Passenger Facility Charges, user fees and federal grants from the FAA's Airport Improvement Program.
Bond financing is frequently tapped for airport infrastructure improvements.
Airlines and the airports they support are also under siege from a jump in jet fuel prices caused by the war in Iran.
Fuel prices have jumped from $85-$90 to $150-$200 a barrel. Fuel costs account for about 25% of operating costs for the airlines.
Financial outlooks have changed as a result and price increases are expected to eventually be passed onto travelers in the form of higher fares.
The travel industry has recovered from the effects of the pandemic while repercussions from the war remain uncertain.
Signaling what may be coming to the U.S. transportation sectors, Fitch Ratings is warning that, "Asia-Pacific port and airport operators would face mixed but increasingly negative credit effects if Iran-linked shipping and airspace disruption persist."
According to numbers from Bloomberg, U.S. airports issued $24 billion in new muni debt last year.
According to an ACI-NA report from 2023, U.S. airports are carrying a heavy debt load of $151 billion measured out to 2028.
The Infrastructure Investment and Jobs Act, which expires in September, allocated $15 billion for airports to improve runways, through Airport Infrastructure Grants, $5 billion for the Airport Terminal Program and another $5 billion for FAA-owned facilities.
Despite the investment. the American Society of Civil Engineers gave the nation's airports a grade of
The ASCE also estimates a "projected funding gap is $114 billion over the next 10 years, and additional resources will be needed to address this deficit."
The ACI-NA continues to lobby for raising AIP funding and the Passenger Facility Charge. The PFC is currently capped at $4.50 per passenger, a rate that hasn't been raised for over twenty years.
