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DOT: San Juan Airport Can Move Forward With Privatization

Puerto Rican Company Granted A 40 Year Lease For The Facility

Department of Transportation (DOT) Secretary Ray LaHood (pictured) has approved a plan that would allow the Puerto Rico Port Authority (PRPA) and its selected operator to move forward with their privatization of Luis Muñoz Marìn International Airport in San Juan, Puerto Rico.

The secretary's decision and exemptions with specific conditions are based on the FAA Airport Privatization Program requirements that the selected private operator is qualified to operate the airport, meets federal expectations regarding grant assurances, and can comply with general statute requirements relating to airports.

The PRPA proposes to lease the airport to Aerostar, a limited liability company organized under the laws of the Commonwealth of Puerto Rico, for 40 years. Under the terms of the lease, Aerostar will take possession of the property, manage, develop, and operate the airport, hold the Part 139 Operating Certificate, and manage the Part 1542 Airport Security Program. The company will be eligible to impose Passenger Facility Charges, and would be considered a sponsor for receipt of federal grants under the AIP.

The FAA has the right to conduct periodic audits of the financial records and operations of the airport.

FMI: www.faa.gov

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