Palmer airport expansion project begins

After several years of planning for expanding the Arnold Palmer Regional Airport terminal, work has begun on the foundation for what is expected to be a $22 million project.

A former hangar that was used as a warehouse adjacent to the Unity airport terminal has been demolished, and construction workers removed the asphalt from what will be the base for the expanded terminal. The new site will hold a two-story building that will allow for the expansion of the areas for TSA screening, passenger waiting and baggage claim.

The first phase of the project, which began in late October, will be the construction of the shell for the two-story building, said Scott Kunselman, engineer for the Westmoreland County Airport Authority. That work will take about 12 months.

A new concession space, a passenger boarding bridge, refurbishment of the existing bridge and improvements to the restroom facilities will be part of the project. The airport authority offices now on the second floor will be moved to a lower level. In all, the terminal will be expanded by about 32,000 square feet.

The authority got news of a potential financial boost this week as it is in the process of obtaining a $6.5 million grant from the state Redevelopment Assistance Capital Program, said Gabe Monzo, airport executive director. That funding source is for designing, acquiring and building regional economic, cultural, civic, recreational and historical improvement projects, according to the state budget office.

The authority also is working on an agreement with the Westmoreland County Industrial Development Corp. to allow for the creation of an Airport Land Development Zone that will help spur economic development on airport property in return for a $1.7 million grant, Monzo said.

The authority has acquired about two-thirds of the funding needed for the project, Monzo said. Additional funding from the Federal Aviation Administration and PennDOT is anticipated.

Meanwhile, the future of Spirit Airlines, the lone commercial carrier serving Arnold Palmer Regional, remains in doubt as it is undergoing a reorganization through a Chapter 11 bankruptcy process that began Nov. 18. Spirit said in a statement it anticipates emerging from bankruptcy with an approved reorganization plan early next year.

In a filing last month in bankruptcy court in Manhattan, Spirit said a court approval of its reorganization plan will allow the low-cost carrier to merge with another airline, liquidate its assets or dissolve.

Spirit management stated it believes there is “substantial doubt” about its ability to continue operating, even with reorganizing its business and possibly getting more financing. There is no assurance the money it can obtain will be sufficient to allow operations to continue, Spirit said in its Nov. 25 quarterly filing with the Securities and Exchange Commission. The airline made that forecast even with plans to cut costs and sell some of its aircraft.

A Spirit spokesperson did not respond to a request for comment on the plans for continued service at Palmer airport.

Monzo said he has been in contact with other carriers and has not heard from Spirit about the future of its service at Arnold Palmer Regional.

The expanded terminal will increase the facility by one passenger gate and allow another plane to be waiting to load or unload passengers, Monzo said. Having a second passenger gate could help attract more service to Palmer airport, he said.

“That is whether it is developing more Spirit (airplanes) or a different service,” Monzo said.