Reconstruct terminal components

The Federal Aviation Administration (FAA), Western Pacific Region, awarded the City of Palm Springs a $22.69 million Project Grant on September 12, 2025, under the Airport Improvement Program, Infrastructure Investment and Jobs Act Programs, and COVID-19 Airports Programs (CFDA 20.106). This award funds Phase 1 of a terminal reconstruction project at Palm Springs International Airport, with an ultimate completion date of September 11, 2029. The funded activities include site enabling work, building expansion, and electrical infrastructure installation necessary to support the installation of a new baggage handling system designed to improve passenger and baggage movement through the terminal.

This grant represents a portion of the total eligible project costs, with separate funding provided through an Airport Terminal Program grant and an additional Airport Improvement Program grant to cover the remaining eligible expenses. The reconstruction project aligns with the FAA's strategic objectives of safety, operational excellence, and long-term economic benefits through airport infrastructure modernization, consistent with the program's nationwide focus on developing and maintaining a comprehensive system of public-use airports adequate to meet civil aeronautics needs.

Activities and expected outcomes

This project reconstructs existing terminal by installing a new baggage handling system to improve the movement of passengers and baggage. This grant funds a portion of phase 1, which consists of site enabling work, building expansion, and proposed electrical work. This grant is associated with an airport terminal program grant and an airport improvement program grant that fund the remaining eligible portion of the project. Intended beneficiary: this grant will provide federal funding for airports associated with palm springs, california.