Posted on: Saturday, November 10, 2001

The September 11th attack
Planned airport projects on hold

By Mike Leidemann
Advertiser Transportation Writer

The state may have to defer as much as $166 million in planned airport improvements because of revenue lost since the Sept. 11 terrorist attacks, according to the Department of Transportation.

Terminal improvements, expanded parking and other nonessential projects have been put on hold while the state copes with the loss of lucrative airport landing and concession fees, which pay for operations and improvements at the state's 15 airports.

Only projects dealing with security and environmental compliance get the go-ahead now, said Transportation spokeswoman Marilyn Kali.

More than $250 million in capital improvements were planned for airports throughout the state in the next three years. That figure may be cut by as much as two-thirds, Kali said.

"A lot of the other projects are going to have to wait," Kali said.

Improvements to Honolulu International Airport, including an expansion of the diamondhead concourse, were among the projects put on hold.

Since Sept. 11, Gov. Ben Cayetano has waived landing fees for commercial aircraft, which normally add about $32 million a year to the self-sustaining airport fund.

Last week, the Legislature passed a bill allowing the Transportation Department to waive, reduce or defer fees paid by airport concessionaires and lessees who can prove they've suffered financial losses tied to the Sept. 11 attacks.

Those fees normally total more than $200 million a year, more than two-thirds of the airport's budget.

"With our reduced income we just can't fund all the capital improvement projects," Kali said. "Our primary concern is going to be security and environmental projects. They're the ones going to the forefront of the list."