Oklahoma Senators OK Funding for Construction of American Airline's Double-Bay Hangar Facility

Senate Bill 1921 by Sen. Brian Crain, R-Tulsa, would provide as much as $60 million in bond money for the hangar.
March 9, 2006
2 min read

Mar. 8--OKLAHOMA CITY -- The state Senate approved a measure Tuesday that would fund the construction of a double-bay hangar facility to handle wide-body aircraft for American Airlines in Tulsa.

Senate Bill 1921 by Sen. Brian Crain, R-Tulsa, would provide as much as $60 million in bond money for the hangar, Crain said.

"This is a work in progress," Crain said regarding a repayment plan and financing.

The bonds could be retired with money from the Quality Jobs Incentive Leverage Act, revenue from income taxes paid by American Airlines employees or both, he said.

Money proposed in the city of Tulsa's third-penny sales-tax extension would go to fund a temporary hangar to allow for some ongoing work at American, Crain said.

"What we are doing with this bill is helping American Airlines prepare for the future," he said.

"American has hangars that can handle narrow-bodied aircraft or current generation, which are in use today. But the next generation . . . can't be serviced out of the hangars at the Tulsa facility.

"So in order to prepare for the future, keeping American and their activities in Tulsa, they have got to have a wide-bodied hangar."

Although American's Tulsa operations are very successful, the company is in a challenging industry, Crain said.

The measure now goes to the House. It should be ready for Gov. Brad Henry's consideration by May, Crain said.

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