Phoenix Sky Harbor Airport receiving $35 million FAA grant for utility plant modernization and repair

December 4, 2024

Sky Harbor International Airport in Phoenix will receive a surge of federal support to modernize utility infrastructure and improve energy efficiency. 

The U.S. Department of Transportation’s Federal Aviation Administration (FAA) is awarding a $35 million grant for the airport to conduct several infrastructure improvement projects at Terminal 4. Sourced from the Bipartisan Infrastructure Law (BIL), the federal funding will go toward Sky Harbor’s modernization of the nearly 30-year-old central utility plant. 

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“Our historic Bipartisan Infrastructure Law continues to deliver for Arizona communities,” Arizona Senator Mark Kelly said in a press release. “This investment allows for crucial renovations to Phoenix Sky Harbor, upgrading one of our most important economic drivers and ensuring Arizonans have access to safe and reliable travel.” 

Sky Harbor’s grant will be pulled from the FAA’s Airport Terminal Program (ATP), which delivers funding opportunities to improve airport terminals around the country.  

Phoenix Sky Harbor Airport, the only Arizona airport to receive funding under the program’s fiscal year, will use the funds to make upgrades to the central utility plant. Specifically, the airport plans to replace the plant’s chillers, heat exchangers, cooling towers, condensing water pumps and replace or modernize aging central plant piping. 

As most of the plant’s infrastructure and utilities are aging, the proposed projects are anticipated to cost about $84 million and are expected to improve terminal operations, safety and efficiency while also reducing energy waste and emissions. 

Sky Harbor’s $35 million ATP endowment is one of the largest under the FAA’s recent announcement of $970 million in grants to upgrade airport terminals nationwide.  

This federal ATP investment in Sky Harbor’s central utility plant also marks the second of its kind this year. The first, a $36 million BIL grant in July, funded several crucial modernization projects at the airport, including the replacement of equipment used in Terminal 4’s main building and eight concourse and connector bridge projects. 

Additionally, Sky Harbor benefited from a $66.7 million grant from FAA’s Airport Infrastructure Grants Program to demolish and prepare a new 2,100-foot taxiway to accommodate for new flights

“I’m proud to deliver $35 million from our bipartisan infrastructure law to improve safety, efficiency and accessibility at Phoenix Sky Harbor – allowing Arizonans to safely travel with ease and peace of mind,” Arizona Senator Kyrsten Sinema said in a press release.  


Photo courtesy K50 Dude

Brady Pieper

written for various daily and weekly publications in Texas and Colorado, specializing in the government market and in-depth bill coverage. Graduating from the University of Texas at Austin with a degree in Journalism, Pieper has been at the forefront of public and private sector communications and government initiatives. Pieper recently joined the Government Market News team as a content writer and anticipates continuing SPI’s long-standing tradition of delivering timely, accurate and significant government news to our readers and partners.

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