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TIA To Cut Budget As Passenger Traffic Declines

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By TED JACKOVICS | The Tampa Tribune

Published: March 5, 2009

TAMPA - Tampa International Airport will cut its annual budget and post a smaller surplus than expected because fewer passengers are expected to use the airport in the next few months, airport director Louis Miller said this morning.

No jobs will be cut, though, and the airport will be able to accelerate $78 million in plans for a taxiway and site development for the proposed north terminal. That could create jobs as early as June to help stimulate the local economy, Miller said.

"That will get projects started and jobs created in Tampa this year," Miller said.

Between $6 million and $12 million of the accelerated projects is expected to come from a portion of the $787 million federal stimulus program that is funded by user fees on airline passengers, not taxpayers.

The number of passengers is declining across the country as airlines trim seats and people cut down on discretionary travel. Tampa International Airport projections call for 8.6 million departing passengers in the fiscal year that ends Sept. 30, a decline of slightly more than 8 percent.

That would translate to a 6.6 percent decline in revenue to $176.8 million. About a quarter of the reduction in expenses will come by decreasing funds available for capital improvements, to $25.3 million.

The airport also will continue a hiring freeze that will result in 49 vacant positions by fiscal year's end.

Passengers should see little effect on airport operations from cost-savings measures beyond those already in place, such as operating fewer escalators, Miller said.

By cross-training employees between airfield and terminal jobs, for example, the airport has been able to maintain operations with little impact on passengers.

Tribune reporter Ted Jackovics can be contacted at (813) 259-7817.

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