Yampa Valley Regional Airport outlines West Terminal expansion, $84 million program and schedule

Yampa Valley Regional Airport officials told Routt County commissioners on Oct. 7 that the airport has completed 60% design for the West Terminal expansion and is entering final design, with a target guaranteed maximum price (GMP) in March–April and construction to begin immediately after. The program-level budget presented to the board totals roughly $84 million, including about $69.7 million of construction cost, $8 million in professional services, $800,000 for furniture/fixtures/equipment and about $5 million in contingency.

The project would add roughly 56,000–57,000 square feet on the west side of the existing terminal, create four new passenger boarding bridges and new gates, and is being developed through a construction manager-at-risk delivery. Airport Director Tenille Gerber and the airport's owner's representative, Keith Meyer, said final design started in October after recent kickoff meetings and that the team is refining cost-through "trend log analysis" to hit budget targets.

Why it matters: the expansion increases passenger-handling capacity and adds boarding bridges, altering how airlines and the airport will manage peak winter traffic. Officials said the schedule could require the airport to reduce or adjust peak flight schedules during some winter seasons and that temporary baggage handling arrangements could be costly if a temporary conveyor system is used.

Funding and schedule details: the airport's current funding stack includes an indicative TIFIA loan of about $34.4 million (indicative figure shown), anticipated FAA and state grants, an expected ATP grant (target $2–3 million, not committed), AIP entitlement funds and local reserves. Airport staff said TIFIA remains the preferred financing for its terms but that alternate short-term GAAP financing or other options have been developed as contingency. The team is aiming for a final GMP in spring 2026 and a 20–24 month construction window that could extend into winter 2027–28; officials described construction completion as likely in 2028.

Contingency and cost-control: the project currently shows about 6% contingency ($4.7 million on an ~$83 million program), which team members said is tight compared with early design contingencies typically of 12–15%. Meyer said contingency is expected to grow through further value-engineering during final design and market pricing at the GMP stage. The construction manager-at-risk will solicit competitive trade bids at GMP development, which Meyer estimated could improve pricing by roughly 4% at market.

Project constraints and requirements: Meyer and Gerber noted the project will require compliance with Davis-Bacon prevailing-wage requirements, Buy America rules and disadvantaged business enterprise goals. Working at the Hayden site creates a remote job-site premium and some specialized procurements.

Selected scope and risks: the team is working to defer or move the geothermal field construction to the Town of Hayden, which would construct and operate the field for the business park and bill the airport for service. Officials said they are coordinating with Hayden on easements and metering; the airport would pay a tap fee and an ongoing utility fee. Officials also described a building code/fire-separation issue that may force the demolition or relocation of Hangar 1 earlier than planned; they are discussing whether to move that scope into phase 2 or keep it in phase 1 depending on permit timing and budget availability.

Baggage system and TSA: airport staff said the TSA baggage makeup area is a separate, approximately $30 million project that would be funded by TSA if approved; a TSA application for the baggage makeup area has been submitted and remains pending. That baggage work affects gate and apron operations during construction, and airport staff said they are exploring temporary manual handling or lower-cost temporary arrangements to avoid a sunk cost of roughly $2 million for a non-reusable temporary conveyor.

Next steps and permits: the team said they submitted a site-plan application to the Town of Hayden and expect comments soon; construction documents will be prepared for Routt County building-permit submission after final design. Officials plan to continue trending cost refinements, potholing of underground utilities to reduce subsurface risk, and to finalize financing by year'end or early 2026.

Officials present for the briefing included Tenille Gerber, airport director; Casey Hume, operations/safety superintendent; Keith Meyer, owner's representative; and Mark Fisher, assistant airport director. Commissioners asked questions about contingency, alternate financing if TIFIA does not proceed, temporary baggage systems, and the geothermal plan. Gerber and Meyer said they are pursuing alternate financing plans if TIFIA is delayed and expect further design work to create budget value.