Construct/expand hangar

The Federal Aviation Administration (FAA) awarded $615,789.47 to the City of Paynesville through the Airport Improvement Program (CFDA 20.106) on September 17, 2025, with a completion date of September 16, 2029. This project grant funds the construction of a new 6,400 square foot aircraft maintenance hangar at Paynesville Airport in Minnesota. The hangar will be sponsor-owned and designed to enhance the airport's self-sustainability by generating revenue through aircraft maintenance services. This award was made available under the expanded eligibility provisions of the Infrastructure Investment and Jobs Act and represents a portion of the total project cost, with an associated Airport Improvement Program grant funding the remaining eligible project expenses.

The hangar construction supports the FAA's strategic objectives of operational excellence and long-term economic benefits through transportation infrastructure investment. As a civilian airport infrastructure project, this award contributes to maintaining an adequate nationwide system of public-use airports to meet civil aeronautics needs. Grant recipients are required to maintain records and submit periodic progress reports documenting project bidding, contract awards, work commencement, and completion milestones throughout the four-year performance period.

Activities and expected outcomes

This project constructs a new 6,400 square foot sponsor-owned hangar for aircraft maintenance to assist the airport to be as self-sustaining as possible by generating revenue. This project is allowable under the infrastructure invesment and jobs act's expanded eligibility. This grant funds a portion of the total project. This grant is associated with an airport improvement program grant that funds the remaining eligible portion of the project. Intended beneficiary: this grant will provide federal funding for airports associated with paynesville, minnesota.