News Release

City Feels Impact of FAA Shutdown; $424,421 Airport Improvement Project Shelved

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OLEAN – August 3, 2011 -- The City of Olean won’t begin work in the foreseeable future on the Cattaraugus County - Olean Municipal Airport’s taxiway lighting project, approved by the Common Council last week. The City was in line for an FAA Airport Improvement Program grant to reimburse 95 percent of the city’s $424,421 cost for this upgrade that is meant to increase airport usage, and boost fuel sales and other revenues.

Instead, the project is on hold until officials receive assurance the costs will be reimbursed by the Program. The grants will not be distributed because Congress missed a July 22 deadline to extend the Federal Aviation Administration’s programs, partially shutting down the agency, furloughing 4,000 workers and prompting dozens of stop work orders on airport construction jobs across the country. Nationwide, the indirect impacts translate to more than 70,000 idled workers and $1.2 billion in lost revenues for the duration of the Congressional recess and beyond -- until the FAA funding is reauthorized.

The FAA shutdown was overshadowed in Congress by the debt ceiling reauthorization squabble and is confused by arguments against the FAA’s Essential Air Service program providing federal per-passenger subsidies for commercial flights out of small rural airports such as Bradford and Dunkirk. But my research shows that there is a partisan reason for the shutdown originating with an attempt by Republican House representatives to scuttle a workers’ rights rule on voting in union elections.

I tried unsuccessfully to reach Congressman Tom Reed before the Olean Common Council voted on the taxiway lighting project to determine what affect the shutdown would have. On Monday (Aug. 1) an aide to Mr. Reed returned my call. When I asked him why this union-busting tactic was being used at the expense of regional aviation he responded that it comes down to a failure to agree on how the FAA reauthorization legislation will count the votes of union members who don’t cast ballots.

I believe that these tactics and the indefinite FAA shutdown will harm the progress of regional and globally-oriented economic development in places like Olean, where the quality of life is not matched by the number of jobs. The matter will not be taken up again by Congress until after the recess -- after our construction season ends.

I asked the aide to relay my displeasure to Congressman Reed.

Our airport was built on Yankee Hill in Ischua in 1959. Many FAA-funded upgrades have improved service to the corporate jets, turbo-prop aircraft and small private planes that bring executives and individuals into the area. The city intends to continue to seek those funds, especially since those grants carry a 20-year maintenance obligation to maintain and operate the airport.

“Our best bang for the buck is FAA money,” said Olean Public Works Director Tom Windus, who expressed surprise at the news of an FAA shutdown and the prospect of shelving the taxiway lighting project after the July 26 Council approval.

In 2005 a $4.6 million FAA grant brought a much-needed runway expansion and taxiway upgrade. But that was not enough to repair the main hangar roof, which leaked, and to repair revenue-generating t-hangars and provide adequate storage for maintenance equipment. At that time pilots and passengers were greeted with 1950’s-era bathrooms and waiting area, and there was no Internet connection to file flight plans and receive critical navigation and weather data.

A booster group of corporate and private pilots formed an Airport Support Group and raised cash to pay for creature comforts and some pilot needs, while the city sought some financial help from the county. At the same time officials aggressively pursued another $2.3 million from the FAA’s Airport Improvement Grant Fund and continued making improvements through 2010. The city’s share was only $115,000 of the total. Recently, a state grant helped pay for 90 percent of a $390,640 fuel farm project that will boost income from the sale of jet fuel and expand the hours for the sale of aviation fuel.

Traffic at our airport continues to bring industry business executives, well-known celebrities and ordinary private pilots. On Monday New York State’s Lieutenant Governor landed, continuing by car to a meeting in Salamanca. The airport receives compliments – and fuel revenues -- from these travelers and we continue to care and work for its improvement, trying to attract even more businesses who use this form of transportation for global commerce. We hope to get started on new taxiway lighting during next year’s construction season but FAA programs should be reauthorized, not sacrificed in an attempt to do away with workers’ rights and rural air travel.