The permissible use of airport revenue is one of the most common legal issues faced by airports. While there are some clear lines, several categories (e.g., utility fees) of potential expenditures of airport revenue are not clearly defined as permissible or impermissible under federal law and/or policy. In addition to the legal uncertainty, there may be political pressure to use airport revenue for purposes tangentially related or unrelated to the airport. ACRP Legal Digest 2: Theory and Law of Airport Revenue Diversion was published in 2008 and additional issues have arisen since then that require further research.
The objective of this research is to evaluate the scope of permissible uses of airport revenue and property. The digest will rely on economic and legal information presented in ACRP Legal Research Digest 2: Theory and Law of Airport Revenue Diversion, with updates as appropriate, but will focus on the application of federal law and policy to specific categories of expenditures and uses. Research should include statutory law, policy, case law, and informal and formal guidance from the FAA. The digest will be a practical guide, readable by attorneys and non-attorneys, and will differentiate between settled areas of the law and unsettled/emerging areas.
This research will be conducted in two phases and four tasks in a firm fixed price agreement. At the conclusion of Phase I, ACRP will make a determination whether to proceed with Phase II. The tasks will be as follows:
Task 1. Conduct background research and collect relevant material. Based on the initial but complete review source materials, submit a detailed report outline. The outline should contain sufficient detail to describe what a report of appropriate length will contain. This outline should also contain the estimated pagination for each proposed section and/or subsection. This material will be submitted for ACRP consideration and approval. Participate in a conference call with the ACRP project review panel 3 weeks after submission of the outline.
Task 2. After ACRP approval of the detailed outline, conduct additional research, and case and statutory/regulatory analysis. Collect additional primary data to the extent necessary.
Task 3. Submit an initial draft report in accordance with the approved outline (including any modification required by ACRP). Participate in a conference call with the ACRP project review panel 3 weeks after submission of the initial draft report.
Task 4. Revise the initial report as necessary and provide a red-line and clean version of the draft final report (DFR). The ACRP will provide written comments, each of which will need a point-by-point response. The report will be revised as appropriate and submitted as the final report.
25% paid upon submission and approval of the Task 1 Outline
50% paid upon submission and approval of the Task 3 Report
25% paid upon submission and approval of the Task 4 Final Report
STATUS: Research is underway