The San Diego airport board declared a local emergency due to a 96% drop in traffic. While the airport remains open it is primarily empty due to coronavirus pandemic restrictions and fears.
Since hundreds of flights are cancelled daily, and there are no lines for security screenings, most food and beverage concessions are closed. Officials have responded to the sharp decline in revenue by cutting expenses of approximately $22 million in the coming fiscal year, and may consider delaying Terminal 1 expansion' which is now in the planning phase and would add 11 more gates to the structure.
San Diego Regional Airport Authority Chief Executive Kim Becker, explained "As you know, the COVID-19 has had a tremendous impact on the aviation industry, and at our own airport is down 96% from the same week last year.... Because so much of the Airport Authority’s revenue depends on passengers flying, this has obviously had a significant effect on revenues.”
The airport board's announcement on Thursday included revenue loss estimates:
- $55 million in non-airline revenue (concessions, car rental, etc)
- $27 million in passenger facility chargers
The announcement also revealed that the board has offered airlines three months of deferred billing (estimated at $25 million), with payment due in the fall. To its tenants, the board has offered three months of deferred payments (estimated at $13 million), with six months to repay starting in July.
San Diego airport will be receiving $91 million in emergency funding from the federal government, which can be used for operating expenses and capital expenditures.