In September 2014 when Mayor Ashton Hayward signed the agreement to build an aircraft MRO facility at the Pensacola International Airport, the total cost was estimated to be $37,344,300. The cost would be divided:
Florida Dept of Transportation grants: $11,600,000
Industry Recruitment, Retention, and Expansion (IRREF): up to $7,000,000
Federal Aviation Authority AIP grant: $3,500,000
County: $8,000,000 (City repays $3.2 million by 12/31/19)
VT-MAE: $7,244,300
The project is expected to create at least 300 jobs.
In January 2015, the FAA denied the city of Pensacola’s request for a $3.5 million AIP grant needed to extend the taxiway at the Pensacola International Airport to accommodate VT Mobile Aerospace Engineering’s aircraft maintenance, repair, and overhaul (MRO) facility. This forced the city to go back to FDOT.
Then VT-MAE asked the hangar be expanded to 173,000 sq. ft. to accommodate 757 model aircrafts. The change increased the total cost to $46,030,447.
The City of Pensacola secured another $8,599,600 FDOT grant, but the funds will not be available until the FY 2018 and FY 2019 budget years. Therefore, the mayor is asking the Pensacola City Council to approve a $6,299,600 loan from BBVA/Compass Bank that will be paid back with the FDOT grant as the funds are released.
New Financing Budget
FDOT Grants: $15,186,547
IRREF: $7,000,000
County/City: $8,000,000
VT-MAE: $7,244,300
Additional FDOT Grants (available starting 7/1/18): $8,599,600
Read 092216-spccmtg.