Article in the local newspaper
 

I found it interesting that the airlines pay $9.60/head this year.


http://seattletimes.nwsource.com/htm..._seatac30.html

I believe this is the PFC (passenger facility charge). It is incorporated into the cost of every passenger's ticket. Some airports (mostly foreign) don't incorporate the fee and they usually call it a departure tax and is payable usually at passport control (or very near there).

Right, tha PFC! It shows as Q on the ticket stock? I see XT and ZP and AY and XF but the only number that looks close to that has Q just before my segment price. Right?

That appears to be another fee in addition to PFCs. Remember PFCs are user fees capped at $4.50 per airport departure or connection and are added to your base ticket price and you can see it in action as you add sectors for mileage runs.

Here are some current fees (SEA is $4.50):

http://www.southwest.com/travel_center/pfc.html

Apparently participation is up to the state, or owner of the airport.

http://www.akrepublicans.org/pastleg...y102091999.htm

House Transportation commitee brief on ths whole programme:

http://www.house.gov/transportation/...06-03memo.html

Actually, the $9.60 is the CPE (cost per enplanement) which is not a "fee" that is billed to the airlines as such but is a measure of the total charges that the airlines pay for airport operations divided by enplaned passengers (this measure is used to compare costs between airports).

Once several of the major capital projects come on-line (the new A Concourse, Central Terminal expansion, etc) the CPE will rise to over $25 (by 2005) making Sea-Tac one of the more expensive airports for the airlines to operate from.

Among the things that can be done to reduce the CPE are: (1) reduce airport operating costs [the subject of the article]; increase non-airline revenue [such as parking and concessions]; and reduce airport capital spending.

Another way that the CPE can go down is when enplanements go up - - that is what many airports (including Sea-Tac) banked on when they approved all the capital spending.

How times change . . .

[edited for spelling]

[This message has been edited by seauaflyer (edited 08-31-2003).]

Didn't the CPE cost (or whatver it was called) for DEN rise to $20 when DIA opened? I heard that was a reason/excuse for CO to abandon DEN as a hub and for WN to pull out.

Correct! The high CPE at Denver is the reason many airlines have given for limiting/not starting service there - I believe it is now less than $20. I'll have to dig out a list at the office to illustrate examples of CPEs around the country.

Historically airport costs represent less than 10% of aggregate airlines costs, however, given the dire state most carriers are in they are exerting pressure on airport operators to keep costs down (while, of course, they are also demanding more facility improvements!).

good info ... thanks everyone! I guess airport fees do have to keep up with the cost of living here! Ugh!