Ratemaking Overview

Settlement & True-Up

Not available

Landing Fee Methodology

Not available

Terminal Rental Rate

Not available

Common Use & Gate Allocation

Additional Bonds Test

Two-part test: (1) Prospective Coverage Test: (a) Net Revenues and Taxes for most recent audited FY must equal not less than 125% of Annual Adjusted Debt Service Requirement for such FY, and (b) Annual Net Revenues and Taxes estimated by Consulting Engineer for each of three FYs following close of Period of Construction must equal not less than 125% of Annual Adjusted Debt Service Requirement for each such FY; OR (2) Historical Coverage Test: Net Revenues and Taxes for most recent audited FY plus unencumbered funds (not to exceed 25% of maximum Annual Adjusted Debt Service Requirement) must be not less than 125% of maximum Annual Adjusted Debt Service Requirement for any future FY, calculated as if Additional Bonds had been issued at beginning of such FY.

Rate Covenant

The Department will impose, prescribe, adjust, fix, enforce and collect rates which will, together with unencumbered funds on deposit in the Airport Revenue Fund on the last day of a Fiscal Year (which the Department shall certify as Revenues to the Director of Finance for the next succeeding Fiscal Year solely for the purposes of this test), yield Net Revenues and Taxes with respect to the immediately ensuing twelve months in an amount at least equal to one and twenty-five hundredths (1.25) times the Debt Service Requirement for such period net of (i) the amount of Available PFC Revenues deposited or irrevocably committed to be deposited by the Director during such period into the Interest Account, the Serial Bond Principal Account and the Sinking Fund Account; and (ii) the amount of Federal Direct Payments deposited or irrevocably committed to be deposited by the Director during such period into the Interest Account for the purpose of paying interest on any Bonds (the Annual Adjusted Debt Service Requirement).

Flow of Funds

Priority waterfall from Airport Revenue Fund: (1) Costs of Operation, Maintenance and Repair (including reserves and certain administrative expenses); (2) Transfers to Interest Account, Serial Bond Principal Account, Sinking Fund Account and Debt Service Reserve Account for payment of debt service on Bonds and subordinate indebtedness; (3) Transfers to Major Maintenance, Renewal, and Replacement Account and to make up deficiencies in debt service accounts; (4) Transfers to State General Fund to reimburse for reimbursable GO bonds; (5) Betterments and improvements to Airports System; (6) Transfers to Special Reserve and Other Funds created by law; (7) Any other lawful purpose in connection with Bonds or Airports System.