Policy and Procedures Concerning the Use of Airport Revenue

This document proposes a statement of policy and procedures concerning the use of airport revenue. This document discusses in detail the requirement that revenue at public airports that have received Federal grants generally be used only for airport purposes. The document proposes definitions of ``airport revenue'' and ``revenue diversion,'' and discusses the permitted and prohibited uses of airport revenue, and the procedures for monitoring compliance with the revenue use requirement. A statement of policy is required by the Federal Aviation Administration Authorization Act of 1994. The FAA is issuing a proposed policy and requesting public comment because of substantial public and industry interest in the subject matter. While the policy statement proposed is not made effective at this time, statutory requirements relating to the use of airport revenue remain in effect and will be enforced by the FAA. Airport sponsors may assume that the FAA would act consistently with the views expressed in this document in any enforcement action for revenue diversion taken before a final policy statement is issued.