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Cherry Capital Airport seeks $20 million in state aid for $131 million terminal expansion

House Appropriations Subcommittee on Labor and Economic Opportunity · August 19, 2025
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Summary

The Northwest Regional Airport Authority asked the House Appropriations Subcommittee for $20 million in state support for a $131 million terminal expansion to add four new gates (expandable to five), increase security screening capacity and build passenger boarding bridges to accommodate surging passenger growth.

Cherry Capital Airport Director Kevin Klein told the House Appropriations Subcommittee the airport has outgrown its 2004 terminal and is requesting $20 million in state assistance toward a $131 million multi‑year terminal expansion. "Today, we're serving over 787,000 passengers," Klein said, noting 2025 traffic is up roughly 23 percent from last year. The airport asked the state to contribute to construction that would add four new gates (with room for a fifth), expanded hold rooms, an upgraded security checkpoint and passenger boarding bridges.

The expansion is designed to improve operational capacity and passenger experience and to keep pace with mainline aircraft service and larger aircraft coming into the region. Klein said the airport's long‑range plan expects about $60 million in FAA grants, a 5 percent state sponsor share tied to federal grants, local bonding and other financing; the authority is requesting $20 million from the state. "This is a multi year project and we would seek funding in any way possible whether it's one year or multi years," Klein said.

Rep. Roth framed the request as an economic driver for Northern Michigan, citing airport job growth and the airport's statewide impact. Klein told the committee the terminal was sized for 300–350,000 passengers in 2004 and that sustained growth has pushed operations close to or beyond building and fire‑code capacity on peak days, leading to delays and, in some cases, passengers waiting on board aircraft for gates to clear.

If state funds are not available, Klein said the authority would increase borrowing and pass added costs onto airport rates and charges, which would delay the project about two years. The authority said design and planning costs — now estimated separately at roughly $8 million — are in hand and the $20 million state request would be used for construction rather than to pay down existing debt.

Speakers: Kevin Klein, director, Northwest Regional Airport Authority; Rep. Roth.

Provenance: - topicintro: Rep. Roth introduction and Kevin Klein opening remarks (00:55:26). - topfinish: Kevin Klein Q&A and closing (00:64:25).