TO: Mayor and City Council
THROUGH: Krishna Namburi, City Manager
FROM: Brian D. Martin, PE, Public Works Director
SUBJECT:
title
Federal Aviation Administration Grant Applications for the Salem-Willamette Valley Airport.
Ward(s): Ward 2
Councilor(s): Nishioka
Neighborhood(s): Southeast Mill Creek Neighborhood Association (SEMCA), Southeast Salem Neighborhood Association (SESNA)
Result Area(s): Safe, Reliable and Efficient Infrastructure; Strong and Diverse Economy.
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SUMMARY:
summary
The Salem-Willamette Valley Airport seeks authorization to apply for and accept federal grants to support airport capital improvement projects.
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ISSUE:
Should the City Council authorize the City Manager to apply for and accept federal grants for capital improvement projects at the Salem-Willamette Valley Airport?
RECOMMENDATION:
recommendation
Authorize the City Manager to apply for and accept federal grants to support capital improvement projects at the Salem-Willamette Valley Airport.
body
FACTS AND FINDINGS:
The Airport’s annual FAA-approved Capital Improvement Program (CIP) for 2026 includes three projects totaling approximately $2.4 million. Grants administered through the Federal Aviation Administration (FAA) will fund 95% of eligible project costs, with the remaining 5% covered by the Oregon Critical Airport Relief Program (COAR) and the airport’s capital improvement fund.
Applications for grants related to these projects are due by May 1, 2026, with awards expected to be issued shortly thereafter.
Taxiway A Rehabilitation Project
The Taxiway A Rehabilitation Project will mill and overlay approximately 1,300 linear feet of asphalt on the north end of Taxiway A. Design work is currently ongoing, with construction expected to begin in late 2026 or mid-2027. Local and state matching funds have both been previously approved for this project.
Total: $1,368,421
FAA Share: $1,300,000
COAR Share: $51,315
Airport Share: $17,105
Terminal Planning and Design Project
This project will develop three concepts for short-term, mid-term, and long-term planning horizons for the Salem Airport terminal. Concepts for the short-term interior renovations will be carried forward to design development and construction documents. Local and state matching funds were both previously approved for this project.
Total: $ 894,736
FAA Share: $850,000
COAR Share: $28,125
Airport Share: $16,611
Additions to the Airport Master Plan Update
The Airport Master Plan Update began in October 2022 and is nearing completion, with final sections expected in Summer 2026. Since the project began, notable changes in the airport's fleet mix, passenger facilities, and federal policies have necessitated additional scope. These updated elements will be incorporated into the master plan document prior to its completion. The airport’s CIP Opportunity Funds for Unanticipated Projects (PN 998733) will fund the local share to match this grant.
Total: $131,240
FAA Share: $124,678
Airport Share: $6,562
BACKGROUND:
The FAA Airport Improvement Program (AIP) and Airport Infrastructure Grants (AIG) program provide grants to public agencies for the planning and development of public-use airports. These grants historically fund up to 90% of a project’s cost, with the remaining 10% covered by the public agency. However, the FAA Reauthorization Act of 2024 increased the federal share to 95% for airport improvement projects in 2025 and 2026.
FAA grant funds require that the City continue to operate the airport in compliance with all federal grant assurances (obligations) for up to 20 years following the award acceptance.
Aaron Ison
Airport Manager, AIC
Attachments:
None