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Airport Development Needs: Estimating Future Costs

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Report Type Reports and Testimonies
Report Date April 7, 1997
Report No. RCED-97-99
Subject
Summary:

Although no one disputes the need to make continual capital investments in the nation's airport system--from runway repair to new terminal construction--estimates of how much this is likely to cost vary widely. In 1996, airport representatives pegged costs at $10 billion per year, while airline representatives estimated these costs at $4 billion. The Federal Aviation Administration (FAA) projected airport capital needs at $6.5 billion annually. This report (1) compares the estimated capital development needs made by airport and airline groups and FAA to determine why they differ, (2) provides an up-to-date range of estimates of what airport capital development needs are likely to be for the five-year period from 1997 through 2001, and (3) identifies the key factors that affect airport capital development needs and determines how they are likely to affect such needs during the next five years.

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