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29 Pavement graph for overlay Pavement Condition Index (PCI) 100 40 Area 60 Minimum recommended PCI Area under the performance curve Area = [40 (PCI units) times 12 (years)] 0 0 3 6 9 12 15 18 Now Age, years Pavement graph for micro-surfacing 100 Pavement Condition Index (PCI) 25 Area under the performance curve Area 10 60 Minimum recommended PCI Area = [(35 times 9) (10 times 3)] 0 0 3 6 9 12 15 18 Now Age, years FIGURE 18 Example calculation of treatment effectiveness. The area under the pavement performance curve repre- tion of impacts of the selected M&R treatment on the health of sents the beneficial effect of the pavement condition that is the pavement network. The result of multi-year prioritization above the minimum recommended pavement condition as analysis is a prioritized list of pavement preservation projects shown in Figure 18. Figure 18 illustrates the difference in the for different years that meet specific budget requirements. area under the performance curve for two alternatives: an overlay and microsurfacing. For simplicity, it is assumed that Long-term planning and prioritization of needs, incorpo- the change of PCI with pavement age is linear. rating incremental cost-effectiveness analysis, has been suc- cessfully implemented by many transportation agencies on The number of aircraft departures is used as the measure of large highway networks (Federal Highway Administration aircraft operations that benefit from the improved pavement 1996). The implementation for airport networks is still in condition. The use of aircraft departures instead of the total initial phases. A clear example of prioritization using cost- number of aircraft operations accounts for higher pavement effectiveness analysis for an airport pavement network is loads during departures. provided by Tighe et al. (2004). The reasons for slower implementation include smaller airport pavement networks, The area of the pavement section is used to account for greater importance of operational constraints, and the limita- the differences in the length and width of airport pavement tions of existing software. sections. The dimensions of the pavement section are thus included in the calculation of both the cost and the effec- tiveness. PROGRAMMING AND BUDGETING Multi-year prioritization analysis need not include pro- Programming activities move projects from the initiation, pri- jects addressing the safety and critical priority levels, because oritization, and budget stages to the design stage and to imple- these projects are obligatory. Projects addressing the cost- mentation. Budgeting builds on the results of planning and effectiveness priority level and the target priority level are programming activities and produces a budget--a financial analyzed simultaneously because both are prioritized on the document that specifies how the money will be invested in air- cost-effectiveness basis. The analysis has the potential to port infrastructure. yield the most cost-effective combination of preventive main- tenance projects and other pavement preservation projects. The type of projects included in the airport capital budget depend on local circumstances. Whereas large airports may Projects are selected for implementation using incremental have a budget dedicated solely to pavement preservation, cost-effectiveness analysis. This facilitates a multi-year projec- capital budgets for smaller airports combine all projects con-

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30 cerning airfield infrastructure, and not just pavement preser- 100 Percent of respondents vation projects, to establish CIP. For example, the budget 75 may also include projects related to the expansion of the air- 50 field pavements, operational improvements, and M&R of 25 other airfield infrastructure, such as buildings and guidance 0 systems. Some authorities prepare a combined budget for a FAA State Local group of airports they manage. The budgeting process is part Source of pavement preservation funding of asset management, the process that strives to manage all airport infrastructure assets together to achieve the efficient FIGURE 20 Sources of pavement preservation funding. allocation of resources. Funding Sources There is a variety of state funding programs that support air- port pavement preservation. In addition, several states, under According to the survey results, the majority of airport agen- the FAA State Block Grant Program, assume the responsibil- cies establish a pavement preservation budget by considering ity of administering AIP grants at smaller airports. pavement preservation needs and PCI (Figure 19). The main source of funding for pavement preservation, as reported by airport operators, was the FAA (Figure 20). Funding can also Budget Development come from state aviation offices and other sources. Budgeting takes in account engineering and financial con- The main source of federal funding for airport pavement cerns, mandatory safety and regulatory requirements, and air- preservation is the Airport Improvement Program (AIP) port operational concerns. The process of establishing a bud- administered by the FAA. The AIP provides grants for the get is schematically illustrated in Figure 21. As shown in this planning and development of public-use airports that are figure, budget development takes into account a number of included in the National Plan for Integrated Airport Systems. needs and considerations, including the following: For large and medium primary hub airports, the grant covers Pavement preservation needs such as mandatory pro- 75% of eligible costs. For small primary, reliever, and general jects based on the safety priority level and prioritized aviation airports, the grant covers 95% of eligible costs. Eli- M&R treatments established through APMS. gible costs include costs of runway, taxiway, and apron con- Other airfield needs affecting airport pavements such as struction and rehabilitation, and costs associated with airfield the expansion of the airfield pavement network, safety drainage improvements. The projects must involve more than and functional improvements, in-pavement lighting, $25,000 in AIP funds. drainage improvements, and projects involving under- ground utilities. In accordance with Public Law 103-305, section 107, amended Title 49, section 47105, of the United States Code, Budgetary considerations include the following: the FAA requires that airport owners receiving any grants for pavement construction or rehabilitation provide assurances Financial considerations such as budget constraints in that the airport has implemented an effective Airport Pave- terms of available funding and the time frame when the ment Maintenance Management Program (APMMP). The funding is available. Financial considerations may also features of an effective APMMP are described in FAA Engi- dictate staging the project to meet specific completion neering Policy 99-01. This policy, as well as other docu- dates. It is often advantageous to combine construction ments associated with AIP, is available on the FAA website projects to achieve economies of scale. According to ( Stroup-Gardiner and Shatnawi (2008), significant cost savings can be achieved by organizing pavement preser- vation work into larger contracts. This activity can be feasible for large airports or for airport agencies that Percent of respondents 100 80 manage several airports in one geographical area. 60 Operational considerations include the impact on airport 40 operations experienced by carriers and other airport users, safety concerns during construction, and the importance 20 of the facility to overall operations (Wade et al. 2007b). 0 Last-year Based on Preservation Other budget PCI needs Budget Evaluation Establishing budget for pavement preservation FIGURE 19 Methods used to establish pavement Budget evaluation, within the framework of pavement preser- preservation budgets. vation, examines the relationship between the investment in