Austin-Bergstrom secures record $90M FAA grant for Concourse B project

June 19, 2026

The Federal Aviation Administration (FAA) has awarded an unprecedented $90 million grant to Austin-Bergstrom International Airport to partially fund construction of the new Concourse B, a major component of the airport’s Journey With AUS expansion, development and improvement program.  

The award, sourced from the FAA’s Airport Terminal Program (ATP), is the largest in the FAA’s 2026 round of nearly $1 billion in Airport Terminal Program funding supporting 133 projects nationwide.  

The ATP was created through the Infrastructure Investment and Jobs Act to support airport terminal projects that modernize aging facilities, improve accessibility and sustainability, and enhance the passenger experience. The program has provided about $1 billion annually in competitive grants since 2022.  

Austin’s ability to demonstrate project readiness, including local funding commitments, helped position the Concourse B project for federal support. Austin City Council authorized $72 million for architectural and engineering services and $1.031 billion for pre-construction and construction services.  

The new midfield Concourse B is a long-term expansion designed to accommodate future passenger demand as Central Texas continues to grow. Expected to open in the early 2030s, the concourse will include 26 gates, with Southwest Airlines serving as the anchor tenant with 18 gates, United Airlines operating five gates and three gates available for common-use domestic flights.  

The project also includes an underground tunnel connecting Concourse B to the Barbara Jordan Terminal. The tunnel is designed with the flexibility to connect to a future Concourse C and could accommodate an automated people mover system to improve passenger movement across the airport campus.  

The Concourse B expansion is one piece of Journey With AUS, a multiyear modernization effort focused on expanding capacity while improving the passenger experience. Other projects include terminal expansions, additional gates, baggage system improvements, security checkpoint upgrades and new passenger amenities such as additional seating areas, dining options, restrooms, family spaces and other traveler services.  

The Austin award was part of a broader surge of airport modernization investments across Texas. Several other Texas airports also received ATP funding in the latest round, with projects focused on expanding capacity, improving passenger facilities and upgrading aging infrastructure. 

Dallas Fort Worth International Airport received nearly $89 million to support several projects, including terminal improvements, energy efficiency upgrades and passenger facility enhancements. Houston’s George Bush Intercontinental Airport received nearly $74 million to address growing passenger demand and modernize aging systems, including improvements to terminal facilities and its Skyway people mover system. Midland International Airport received nearly $15 million to support terminal expansion, HVAC improvements, restrooms and passenger screening upgrades. 

These federal investments come as Texas airports continue to prepare for long-term passenger growth, with projects focused on expanding capacity, improving efficiency and creating a better travel experience for the communities they serve. 

Photo by Joe Mabel, CC BY 3.0 <https://creativecommons.org/licenses/by/3.0>, from Wikimedia Commons

This story is part of the weekly Texas Government Insider digital news publication. See more of the latest Texas government news here. For more national government news, check out Government Market News daily for new stories, insights and profiles from public sector professionals.

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