Airport rule may require federal permitting of private construction in Kenai

A Federal Aviation Administration rule for construction on airports may apply to Kenai businesses beyond the physical bounds of the Kenai Municipal Airport itself.

An FAA rule that went into effect in August 2016 will require construction on airport land to follow the 1970 National Environmental Policy Act, under which federally-funded or permitted projects must be examined through a rigorous federal procedure for their effects on the environment. In Kenai, the airport’s wide-ranging land ownership may require this process of businesses that don’t get federal funds or federal permitting.

In his report to the Kenai city council on Wednesday, Kenai City Manager Paul Ostrander said he had learned of the new rule in a meeting with FAA representatives last week in Anchorage, which he attended with Kenai Airport Manager Mary Bondurant, Finance Director Terry Eubank, and Public Works Director Sean Wedemeyer.

Ostrander told council members that applying NEPA requirements to all construction on airport land would be “a huge shift from what we’ve seen in the past.”

“We’ll continue to follow that and see how impactful it really is to the city,” Ostrander said.

Wince-Corthell-Bryson, the Kenai-based engineering firm which holds a contract for engineering on the Kenai airport, already goes through the NEPA process for its work because of the federal funding it receives from the FAA. In 2016, this work included a roughly $2 million taxiway renovation — of which $1.9 million was FAA-funded — and replacement of a floatplane pond drainage for $379,643, of which the FAA contributed $355,915.

With the NEPA requirement extended to all construction on Kenai airport land, other business connected to the airport only by the ownership of the land beneath them may be required to go through the same procedure. As of 2015, the Kenai airport legally owned 94 pieces of property throughout the city that had been leased and developed by private business-owners into businesses such as a bowling alley, a car wash, and various stores. This arrangement is the legacy of the military airfield which covered much of present-day Kenai in the 1940s and 50s, and which the FAA granted to Kenai’s municipal government after it was decommissioned. Kenai has since sold or leased much of that land to individuals and businesses that have developed it.

Exactly how the NEPA requirement would be applied to these businesses isn’t completely clear. FAA spokesperson Allen Kenitzer wrote in an email that “NEPA does not automatically apply to every development.”

“We must review them on a case-by-case basis,” Kenitzer wrote.

Ostrander wrote in an email that the FAA had not yet given specifics of the new policy and that Kenai administrators “are still going to be working with FAA to better understand the regulations and what impacts they may have on the City.”

In an interview following the Wednesday council session, Ostrander gave examples of the new rule that he said FAA staff had given during his meeting with them.

“If you put up a sign on your building, that wouldn’t require a NEPA,” Ostrander said. “If you expand your building, expand your parking lot, those would fall in the category of needing to go through the NEPA process. Which is why when they initially told it to us, our reaction was, ‘Wow, that’s significant.’”

According to Ostrander and Kenitzer, the rule was previously in effect in every state but Alaska.

Reach Ben Boettger at ben.boettger@peninsulaclarion.com.

More in News

Retired Biologist and former manager of the Kenai National Wildlife Refuge will “Looking Back, Looking Forward,” a talk about his solo trip on the Yukon River, on Tuesday evening at the Refuge headquarters in Soldotna. The Homer-based nonprofit organization Friends of Alaska National Wildlife Refuges is hosting a virtual watch party in Homer. Photo courtesy of Friends of Alaska National Wildlife Refuges
Looking back, looking forward

Robin West will give a talk about his 30-year career Tuesday evening at the Kenai refuge headquarters and virtually.

Ryan Tunseth speaks during a meeting of the Kenai Peninsula Borough Assembly in Soldotna, Alaska, on Tuesday, May 6, 2025. (Jake Dye/Peninsula Clarion)
Assembly addresses formal presentations in code amendment

An ordinance passed Feb. 3 clarifies that formal presentations made before the Kenai Peninsula Borough Assembly should relate to borough matters.

Rep. Andi Story (D-Juneau), co-chair of the House Education Committee, speaks in favor of overriding Gov. Mike Dunleavy’s veto of an education funding bill during a joint session of the Alaska Legislature in 2025. (Juneau Empire file photo)
Juneau bill aims to stabilize education funding

House Bill 261 would change how schools rely on student counts.

The Alaska State Capitol building stands on Tuesday, Jan. 20, 2025. (Mari Kanagy/Juneau Empire)
Ruffridge, Elam introduce new legislative bills

The representatives filed bills relating to tax exemptions for EMS personnel and dental care.

Members of the Kachemak Bay Search and Rescue group receive instruction from helicopter pilot Steven Ritter (left) on Jan. 30, 2026, during a training weekend at Kachemak Emergency Services station in Homer, Alaska. Photo courtesy Kasey Aderhold
Search and rescue group members receive certification

The initial cohort of a Homer-based search and rescue group recently completed a hands-on, nationally-certified training session.

A recent photo of Anesha "Duffy" Murnane, missing since Oct. 17, 2019, in Homer, Alaska. (Photo provided, Homer Police Department)
Calderwood pleads guilty to murder of Homer woman

Kirby Calderwood pleaded guilty to the 2019 murder of Anesha “Duffy” Murnane on Feb. 5, four years after his arrest in 2022.

State of Alaska Department of Law logo. Photo courtesy of the State of Alaska Department of Law
Kenai man sentenced for sexual abuse charges

Ollie Garrett, 62, will serve 15 years in prison for sexual abuse of a minor.

teaser
Seward student to present salt brine alternative to Alaska Senate

Hannah Leatherman, winner of the 35th annual Caring for the Kenai competition, will travel to Juneau to present her idea to the Senate transportation committee.

Jan Krehel waves at cars passing by as she holds a "Stand With Minnesota" banner during the "ICE OUT" demonstration on Sunday, Feb. 1, 2026, at WKFL Park in Homer, Alaska. (Delcenia Cosman/Homer News)
Homer stands with Minneapolis

Nearly 300 people took part in an “ICE OUT” demonstration on Sunday.

Most Read