Iowa State Funds Give Local Airport Projects a Lift

Both municipal airports located in the Iowa Great Lakes area received state funding in the upcoming budget year.

  • Spirit Lake Municipal Airport will receive $48,800 toward a $61,000 obstruction mitigation project. FFA records note trees, brush, a tall water tank and the angle of clearance slopes as potential obstructions.
  • Milford Municipal Airport will receive $44,528 toward the $55,600 cost of tree trimming and removal.

Altogether, the Iowa Transportation Commission approved $9.6 million for the 2026 State Aviation Program at its Tuesday, Aug. 12 meeting.

The Milford and Spirit Lake improvements were included in the $6.7 million Airport Improvement Program fund. The AIP money helps finance airport development projects at 25 airports in Iowa for aviation safety initiatives, system planning, and air service development activities.

Eligible AIP projects include runway, taxiway, and apron development; fuel systems, navigational aids, maintenance of aviation weather systems, runway marking, windsocks, emergency operational repairs, land-use planning, air service initiatives and the mitigation of obstruction and wildlife hazards at airports.

  • Estherville Municipal Airport received $399,000 as part of a $570,000 project for parallel taxiway improvements.
  • Northwest Iowa Regional Airport in Spencer received $165,928 toward a $207,410 project to construct hangar approaches.
  • Sibley Municipal Airport received $48,000 of a $60,000 runway repair project.
  • Airports in Sioux City, Le Mars, Sheldon and Sioux County also received funds.

The AIP program is funded through the State Aviation Fund using aircraft registration fees and aviation fuel taxes.

Iowa DOT Aviation Director Tim McClung said FY 2026 program prioritizes airport safety initiatives and development supporting Iowa’s economy. “It’s essential that airports have clear runway approaches and that other facilities are maintained with a forward-looking vision,” he said. “This program builds a strong aviation system while leveraging federal, local, and private investment.”