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Passenger Facility Charges: Program Implementation and the Potential Effects of Proposed Changes

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Report Type Reports and Testimonies
Report Date May 19, 1999
Report No. RCED-99-138
Subject
Summary:

Since the early 1990s, most of the nation's passenger service airports have been able to charge passengers a boarding fee of between $1 and $3, called a passenger facility charge, to help pay for their capital development projects. The charges total about $1.4 billion a year. Of the 529 airports eligible to levy passenger facility charges, 52 percent are participating in the program. GAO found that passenger facility charges provided about 18 percent of the funds available to commercial service airports to pay for capital development in 1996. Proposals to change the passenger facility charge program fall into three main categories: increasing the maximum charge, changing the types of projects eligible for funding, or adding project election criteria.

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