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AGENDA RECOMMENDATION       
Consent Calendar   6.L.
City Council Regular Meeting
Meeting Date:
01/12/2026

Agenda Item:

Resolution to apply through the 2026 Airport Terminal Program (ATP) for Airport Tower Construction Funds.

Recommendation/Action(s):

Adoption of the attached resolution.

Summary:

The Infrastructure Investment and Jobs Act (IIFA) established the Airport Terminal Program (ATP) as a competitive grant program which provides approximately $1 billion in grant funding annually for five years (FYs 2022-2026) to upgrade, modernize, and rebuild our nation’s airport terminals and airport-owned airport traffic control towers. This funding opportunity is the final year in which ATP will be available and requires a 5% local funding cost share.

Mankato Regional Airport is one of 17 sponsor-owned towers conditionally approved for the FAA Contract Tower program and one of 179 airports eligible for the competitive program. Also included is Anoka County-Blaine and St. Cloud Regional.   

The latest design projection (45%) for construction of the Airport Tower is $25,604,075.
 
Tower Construction Estimate $21,241,000
Tower Equipment $2,000,000
Airfield Lighting Control Improvements $700,000
Professional Services $1,593,075
FAA Reimbursable agreement $50,000
Independent Fee Estimate $10,000
City Administration $10,000

Additional costs which are only state capital funding eligible include furniture, appliances, and fixtures estimated at $50,000 with a 30% local share.

Staff are still waiting for the notice of funding for the FAA 2026 Federal Contract Tower Program (FCT). The Federal share for FCT improvements is 100%. This includes grants using unobligated Airport Infrastructure Grant (AIG) funds for FCT projects.

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