Florida 2022 2022 Regular Session

Florida Senate Bill S0780 Analysis / Analysis

Filed 01/25/2022

                    The Florida Senate 
BILL ANALYSIS AND FISCAL IMPACT STATEMENT 
(This document is based on the provisions contained in the legislation as of the latest date listed below.) 
Prepared By: The Professional Staff of the Appropriations Subcommittee on Transportation, Tourism, and Economic 
Development  
BILL: SB 780 
INTRODUCER:  Senator Hutson 
SUBJECT:  Airports 
DATE: January 25, 2022 
 
 ANALYST STAFF DIRECTOR  REFERENCE  	ACTION 
1. Price Vickers TR Favorable 
2. McAuliffe Hrdlicka ATD  Pre-meeting 
3.     AP  
 
I. Summary: 
SB 780 expands the publicly owned, publicly operated airports eligible for higher funding levels 
for master planning and eligible aviation development projects by the Florida Department of 
Transportation (FDOT). Currently, the higher funding is dependent on the availability of federal 
funds: 
 If federal funds are not available, the FDOT may fund up to 80 percent of such projects and a 
20 percent local match is required. 
 If federal funds are available, the FDOT may fund up to 80 percent of the non-federal share 
of such projects, or 80 percent of the local match requirement. 
 
This funding is currently limited to airports that have no scheduled commercial service. The bill 
revises this restriction so that the 80 percent funding levels are limited to: 
 General aviation airports; or 
 Commercial service airports that have fewer than 100,000 passenger boardings per year as 
determined by the Federal Aviation Administration.  
 
The bill results in potential funding at the 80 percent funding levels for Vero Beach Regional 
Airport. 
 
The bill presents no fiscal impact to the FDOT, as the available funding for the identified 
projects is not revised. The bill may increase by one the number of airports potentially competing 
for such funding. The bill may increase opportunities for the identified airport to advance 
aviation projects.  
 
The bill takes effect July 1, 2022. 
REVISED:   BILL: SB 780   	Page 2 
 
II. Present Situation: 
Airport Oversight 
The Federal Aviation Administration (FAA) is responsible for planning and developing a safe 
and efficient national airport system. This includes all programs related to airport safety and 
inspections and standards for airport design, construction, and operation. Federal law requires 
each commercial service airport to operate under a federal certificate and comply with federal 
aviation requirements. The FAA is responsible for national airport planning and environmental 
and social requirements and establishes policies related to airport rates and charges, compliance 
with grant assurances, and airport privatization.
1
 
 
At the state level, the FDOT is responsible for planning airport systems and promoting the 
further development and improvement of airport facilities.
2
 The owner or lessee of a proposed 
public airport
3
 must receive the FDOT’s approval before site acquisition or construction or 
establishment of a public airport facility.
4
 The FDOT is also responsible for licensing public 
airport facilities before the operation of aircraft to or from the facility and must inspect such 
facilities prior to licensing or license renewal.
5
 Florida law authorizes local governments to 
establish and operate airports
6
 and governs airport zoning and land use issues.
7
 
 
FAA Airport Categories 
Under federal regulations: 
 A general aviation airport is a public-use airport that, as determined by the FAA, does not 
have scheduled commercial service or has scheduled service of less than 2,500 passenger 
boardings
8
 each year.
9
 
 A commercial service airport is a public airport that the FAA determines has at least 
2,500 passenger boardings each year and is receiving scheduled passenger aircraft service.
10
 
o A large hub airport is a commercial service airport that has at least 1 percent of the 
passenger boardings in United States.
11
  
                                                
1
 See Federal Aviation Administration, Airports, https://www.faa.gov/about/office_org/headquarters_offices/arp/ (last visited 
December 17, 2021). 
2
 Section 332.001, F.S. 
3
 The term “airport” is defined in s. 330.27(6), F.S. For purposes of FDOT approval and licensure, the term “public airport” 
means an airport, publicly or privately owned, which is open for use by the public. 
4
 Section 330.30(1), F.S. 
5
 Section 330.30(2), F.S. 
6
 See ch. 332, F.S. 
7
 See ch. 333, F.S. 
8
 “Passenger boardings” means, unless the context indicates otherwise, revenue passenger boardings in the United State in the 
prior calendar year on an aircraft in service in air commerce and includes passengers who continue on an aircraft in 
international flight that stops at an airport in the 48 contiguous states, Alaska, or Hawaii for a nontraffic purpose. 
49 U.S.C. 47102(15). 
9
 49 U.S.C. 47102(8). 
10
 49 U.S.C. 47102(7). 
11
 49 U.S.C. 47102(11). Based on the latest FAA data available (calendar year 2020), Florida’s large hub airports are Orlando 
International, Miami International, Fort Lauderdale/Hollywood International, and Tampa International.  BILL: SB 780   	Page 3 
 
o A medium hub airport is a commercial service airport that has at least 0.25 percent but 
less than 1 percent of the passenger boardings in the United States.
12
  
o A small hub airport is a commercial service airport that has at least 0.05 percent but less 
than 0.25 percent of the passenger boardings in the United States.
13
  
 A non-hub airport is a commercial service airport that has less than 0.05 percent of the 
passenger boardings in the United States but has more than 10,000 passenger boardings.
14
 
 Primary airports are commercial service airports that have more than 10,000 passenger 
boardings each year.
15
 
 Nonprimary airports are commercial service airports that have at least 2,500 and no more 
than 10,000 passenger boardings each year.
16 
 
 
Federal Airport Funding 
Airports receive federal grants administered by the FAA. The main grant program for federal 
funds is the Airport Improvement Program (AIP). The AIP provides grants to public agencies 
(and, in some cases, to private owners and entities) for the planning and development of 
public-use airports.
17
 
 
Eligible AIP projects include airport improvements related to enhancing airport safety, capacity, 
security, and environmental concerns. In general, airports may receive AIP funds for most 
airfield capital improvements or rehabilitation projects and, in some specific situations, for 
terminals, hangars, and nonaviation development. Certain professional services that are 
necessary for eligible projects may also be eligible. The FAA must be able to determine that the 
projects are justified based on civil aeronautical demand. The projects must also meet federal 
environmental and procurement requirements.
18
 
 
State Airport Funding 
Sections 332.003 through 332.007, F.S., create the Florida Airport Development and Assistance 
Act. The act sets forth a number of duties of the FDOT, including, but not limited to: 
 Providing coordination and assistance for the development of a viable aviation system. 
 Assisting airport sponsors in airport master planning. 
                                                
12
 49 U.S.C. 47102(13). Florida’s medium hub airports are Southwest Florida International (Ft. Myers), Palm Beach 
International, and Jacksonville International. 
13
 49 U.S.C. 47102(25). Florida’s small hub airports are Orlando Sanford International, Sarasota/Bradenton International, 
Punta Gorda, Pensacola International, Destin-Ft. Walton Beach, Northwest Florida Beaches International (Panama City), and 
Key West International. 
14
 49 U.S.C. 47102(14). Florida’s non-hub airports are Tallahassee International, Daytona Beach International, Gainesville 
Regional, and Melbourne Orlando International. 
15
 Id. 49 U.S.C. 47102(14). 
16
 See Federal Aviation Administration, Airports, Planning and Capacity, Airport Categories, 
https://www.faa.gov/airports/planning_capacity/categories/ (last visited on December 17, 2021). 
17
 See Federal Aviation Administration, Airports, Airport Improvement Program (AIP), Overview: What is AIP?, 
https://www.faa.gov/airports/aip/overview/ (last visited December 17, 2021). 
18
 See FDOT, Updated 2021 Agency Legislative Bill Analysis of House Bill 1143, p. 4 (March 9, 2021) (on file in the Senate 
Transportation Committee).  BILL: SB 780   	Page 4 
 
 Providing financial and technical assistance to public agencies operating public-use airports
19
 
by making resources available on a cost-reimbursement basis to such agencies for special 
needs of limited duration. 
 Administering the FDOT’s participation in the program of aviation and airport grants. 
 Encouraging the maximum allocation of federal funds to local airport projects in this state.
20
 
 
Section 332.007, F.S., relates to the administration and financing of aviation and airport 
programs and projects. The FDOT must prepare and continuously update an aviation and airport 
work program based on a collection of the local sponsors'
21
 proposed projects to be included in 
the FDOT’s work program.
22
 The FDOT’s airport work program must separately identify 
development projects and discretionary capacity improvement projects.
23
 The FDOT’s airport 
work program must be consistent with the statewide aviation system plan and, to the maximum 
extent feasible, with approved local government comprehensive plans. Projects involving 
FDOT-administered funds to be undertaken and implemented by the airport sponsor must be 
included in the aviation and airport work program.
24
 Assistance may only be provided for 
projects that are included in the FDOT's adopted work program.
25
 
 
Only projects or programs provided for in the act that will contribute to the implementation of 
the state aviation system plan, that are consistent with and will contribute to the implementation 
of any airport master plan or layout plan, and that are consistent, to the maximum extent feasible, 
with the approved local government comprehensive plans are eligible for the expenditure of state 
funds in accordance with fund participation rates and priorities.
26
 
 
Authorized Funding Participation Levels 
Current law authorizes the FDOT to participate in the capital cost of eligible public airport and 
aviation development projects at specified rates, unless otherwise provided in the General 
Appropriations Act or the associated implementing bill. Subject to availability of appropriated 
funds, the FDOT may generally fund up to 50 percent of the portion of eligible airport project 
costs which are not funded by the federal government.
27
 However, subject to appropriation, the 
FDOT may fund the capital cost of eligible public airport and aviation development projects at a 
higher rate for certain types of projects.
28
 
 
When federal funds are not available, the FDOT may fund up to 80 percent of master planning
29
 
and eligible aviation development projects at publicly owned, publicly operated airports, 
                                                
19
 Section 332.004(14), F.S., defines the term “public-use airport” as any publicly owned airport which is used or to be used 
for public purposes. 
20
 Section 332.006, F.S. 
21
 Section 332.004(15), F.S., defines the term “sponsor” as any eligible agency which, either individually or jointly with one 
or more eligible agencies, submits to the FDOT an application for financial assistance for an airport development project. 
22
 The FDOT’s work program is developed pursuant to s. 339.135, F.S. 
23
 Section 332.007(2)(a), F.S. 
24
 Section 332.007(2)(b), F.S. 
25
 Section 332.007(3), F.S. 
26
 Section 332.007(5), F.S. 
27
 Section 332.007(6)(a), F.S. 
28
 Id. 
29
 “Airport master planning” means the development, for planning purposes, of information and guidance to determine the 
extent, type, and nature of development needed at a specific airport. Section 332.004(3), F.S.  BILL: SB 780   	Page 5 
 
requiring a 20 percent local match. If federal funds are available, the FDOT may fund up to 
80 percent of the nonfederal share of such projects, or 80 percent of the local match requirement. 
Such funding is currently limited to airports that have no scheduled commercial service.
30
 
III. Effect of Proposed Changes: 
The bill amends s. 332.007(6)(c), F.S., revising the airports potentially eligible for FDOT 
participation in funding of master planning and eligible aviation development projects. Under the 
bill, the FDOT can fund projects at: 
 General aviation airports;
31
 or 
 Commercial service airports that have less than 100,000 passenger boardings per year as 
determined by the FAA.  
 
The bill removes the current restriction of such funding to projects at airports having no 
scheduled commercial service. 
 
This revision results in potential funding eligibility at the 80 percent funding levels for the 
specified projects at Vero Beach Regional Airport. While that airport was previously categorized 
by the FAA as a commercial service airport due to enplanements at the end of calendar year 
2019 (7,698), the FAA now categorizes the airport as a general aviation airport due to reduced 
enplanements at the end of calendar year 2020 (2,337). Based on the FAA data, no additional 
airport appears to currently qualify for the potential funding eligibility under the bill.
32
 
 
The bill takes effect July 1, 2022. 
IV. Constitutional Issues: 
A. Municipality/County Mandates Restrictions: 
None. 
B. Public Records/Open Meetings Issues: 
None. 
C. Trust Funds Restrictions: 
None. 
                                                
30
 Section 332.007(6)(c), F.S. 
31
 The FDOT previously advised with respect to 2021 SB 1466, containing the same revision relevant to general aviation 
airports, that the bill presents no change with respect to general aviation airports, as current law already includes these 
airports. See FDOT email to Senate Transportation Committee staff, March 15, 2021 (on file in the Senate Transportation 
Committee). 
32
 Federal Aviation Administration, Passenger Boarding (Enplanement) and All-Cargo Data for U.S. Airports – Airports, 
https://www.faa.gov/airports/planning_capacity/passenger_allcargo_stats/passenger/ (last visited December 17, 2021.)  BILL: SB 780   	Page 6 
 
D. State Tax or Fee Increases: 
None. 
E. Other Constitutional Issues: 
None identified. 
V. Fiscal Impact Statement: 
A. Tax/Fee Issues: 
None. 
B. Private Sector Impact: 
None. 
C. Government Sector Impact: 
The bill presents no fiscal impact to the FDOT, as any funding for the identified projects 
is not increased, but the number of airports competing for such funding is potentially 
increased by one. Over time, the pool of eligible applicants for any available funding for 
the identified projects may vary with the number of passenger boardings in the United 
States and the resulting FAA classification of Florida airports. 
 
The bill may increase opportunities to advance the specified aviation projects at the 
identified publicly owned, publicly operated airport, including, but not limited to, funding 
assistance to meet the 20 percent local match requirement when federal funds are 
available. 
VI. Technical Deficiencies: 
None. 
VII. Related Issues: 
None. 
VIII. Statutes Affected: 
This bill substantially amends section 332.007 of the Florida Statutes. 
IX. Additional Information: 
A. Committee Substitute – Statement of Changes: 
(Summarizing differences between the Committee Substitute and the prior version of the bill.) 
None.  BILL: SB 780   	Page 7 
 
B. Amendments: 
None. 
 
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.