Hartsfield-Jackson Atlanta International Airport has lost $37 million in federal funding.
The world’s busiest airport, by passenger volume, declined funding after city officials refused to sign off on new grant language. The language would have required them to abandon diversity, equity, and inclusion (DEI) programs.
As part of a $37 million federal package, the funds were set aside for upgrades, including taxiway pavement replacement and restroom renovations. Additionally, funding was set to expand sustainability initiatives. However, to receive it, the airport had to agree to terms added by the Federal Aviation Administration.
City leaders opted not to comply, and the funding was withheld, according to the Atlanta Journal-Constitution.According to the AJC, the airport could still recoup about $19 million in future allocations if it agrees to the new restrictions.
Mayor Andrew Dickens told the AJC that the federal funding is a fraction of the airport’s robust budget. Federal grants make up less than 10% of Hartsfield-Jackson’s $2 billion capital program, much of which is financed through bonds, airline fees, and concessions.
“The City of Atlanta’s airport is the busiest and most efficient on the planet, with large and complex staffing, operations and capital improvements, supported by an annual capital and operating budget of over $2 billion.
We are confident that the airport will be able to pursue alternative funding to advance these projects without impacting customers or airport service providers.
Federal funding for the airport, while important, represents less than 10%, approximately $1 billion, of the airport’s total capital program over the next six years.
“The city is currently evaluating all options to ensure alignment with our long-held values, local policy, and federal law and we are confident that the airport will be well-positioned to receive federal funds in the future,” Dickens stated.
For Hartsfield-Jackson, the decision has both symbolic and practical consequences. The airport is a key economic driver for the state of Georgia. The company supports nearly 63,000 jobs on-site and contributes more than $66 billion annually to the state’s economy. Losing the $37 million in federal funding is an example of how harmful DEI legislation can directly affect infrastructure projects.
City leaders have not ruled out the possibility of litigation or further negotiations with the FAA. In the meantime, Atlanta remains committed to continuing its DEI work, even if it means absorbing the loss in federal support.
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