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Few surprises in state’s annual aviation report

The state Department of Transportation and Public Facilities has just released its 2011 aviation annual report with some typical statistics and a few new developments.

The state found that 47,000 jobs statewide, or approximately 10 percent of the workforce, are related to aviation. The industry contributed $3.5 billion. In fiscal year 2007 aviation made up 8 percent of the gross state product. Rural Alaskans fly at about eight times the rate as rural residents in the other states, and ship 40 times more freight per capita.

“Alaska is the most aviation-centric state in the United States,” said Deputy Aviation Commissioner Steve Hatter.

Hatter gave an overview of the new Service Based Budgeting initiative to achieve real-time reporting for airport statuses. This will be done by setting and holding standards at all airports, and then reporting against those standards. The idea is to address problems early and eventually eliminate the need to defer maintenance, which Hatter said would extend the life of the infrastructure and longer intervals between recapitalizing.

The initiative tries to tie the resources required to maintain and operate the system to more specific standards at all of the airports.

“So in other words take better care of what we have, we tie it to our mission of safety and we extend service life because we’re doing the maintenance when it needs to be done,” he said.

Hatter said the governor has recognized there is a backlog of deferred maintenance across all departments and has helped put money toward that.

This year will serve as a study phase to develop and implement Service Based Budgeting.

“This is a philosophical shift within the department where were just getting more fidelity at the local level on the health of our system, the status at each of the airports within our system,” he said.

He said this should provide more accuracy while embracing a central responsibility for safety and helping to increase fiscal responsibility in the long run.

The idea for Service Based Budgeting grew partially from assessments of rural airports to further develop their standards.

The ongoing Alaska Aviation System Plan released its first executive summary in 2011. This analysis addressed critical issues to be addressed in the aviation system, including airport classifications, performance measures, the AASP website, an online aviation facility inventory database, aviation activity forecasts, economic impact studies and special studies to support decision-making.

Hatter said AASP a holistic way to examine how to predict where priorities will be and to protect funding sources and predict changes that would impact planning.

Hatter was also pleased that the Federal Aviation Administration reauthorization went through this year and Airport Improvement Program money was designated for capital investments.

“We had a good year. We had $200.7 million into the state to improve our system,” he said.

This is about average. Overall, the department receives 95 percent of funding from the federal AIP for projects. The rest comes from the state’s general fund. Alaska-managed airports have received an average of $205 million annually over the last three years.

Mitchell said the reauthorization vote from Congress is a sign of continued stability for the system, which will help compete better for federal funding.

Five renovation projects – all involving runways and resurfacing – were completed in 2011. These included the airports at Akiachak, Fort Yukon, Lake Louise, Takotna and Tuluksak.

The airports in Adak, Bethel, Birchwood, Christochina, Cold Bay, Deadhorse, Fairbanks, Kotzebue, Nanwalek-Port Graham, Newtok, Nome, Port Alsworth, Shismaref and Willow are all undergoing master plans or other studies to decide future investments.

The report states there will be 18 ongoing airport projects in 2012. Ten should be completed this year.

The Alaska International Airport System will renegotiate operating agreements with carriers this year, which happens periodically. A strategic plan will translate into a business plan and better master plans for Anchorage and Fairbanks.

The Federal Aviation Administration has also implemented the Cornerstone Plan to strategize implementation of the Airport Improvement Program.

 Jonathan Grass can be reached at jonathan.grass@alaskajournal.com.

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