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local influences. Application for Federal funding should include a desCription of as many projects over the planning period as possible; this will allow the FAA to be able to anticipate airport needs of specific locations and, if posr:;ible, to develop a multi-year improve- ment program. However, it sho\::ld be noted that considerable delays in construction of eligible projects have occurred in the past, and in certain instances it has been more desirable for the sponsor to proceed with needed immediate projects and seek reimbursement from the FAA at a later date. ...... Airpan: Assistance P.L~_ '!'be Texas Legislature has authorized the Texas Aeronautics Commission to assist airports through the Texas Airport Aid Program. Maximum grants are limited to $300,000 and up to 75% of the local sponsor1s ccst. At the present time, the state Legislature is considering new legislation and funding which oould increase the limitations on armual grants to $500,000. The State funds available for this aid are limited and must be distributed throughout the state for numerous aizport projects. '!he oonsultant feels confident that San Marcos can expect to receive state aid from this source but as to when, for what future project, or to what level they will participate is extremely difficult, if not impossible, to predict. For these reasons, state participaticm has oot been projected; lDiever, it should be realized that this is a viable and available source of funds that can be used to reduce the amount of local capital fund requirements for future ~.~WLt. T..oaIl ~ Considering the net revenues to be realized initially from airport operations at a new San Marcos aizport, it is apparent that only small capital improvement projects can be financed through accumulation of surplus revenues. However, to establish a significantly larger amount of funds for a specific project, new revermes could be used to service Airport Revenue Balds, which in turn can be supported by the leases of tenants and other revenue producers on the airport and not by the taxpayer. The importance of building and documenting a history of good revenue generation is emphasized and could be instrumental in securing a larger amount of revenue bond funds, i.e., a larger bonding capacity. It must be recogniZed, however, that revenue funding for General Aviation airports is unique and usually possible only in special circumstances. Due to the complexity of this issue, it is suggested that the City of San Marcos seek the advice of a reputable financi.al consultant or bond council. 9.7