San Antonio International Airport has landed the largest federal grant in its history, with the Federal Aviation Administration awarding $43,250,959 to overhaul the airfield's drainage system. The September 25 award is the biggest of four grants issued nationwide in this funding round, out of $84.4 million distributed to airports in San Antonio, Abilene, Jackson Hole and Wilmington.
The funding, awarded under the FAA's Airport Improvement Program, was confirmed in reporting from the San Antonio Report, which detailed how the money slots into the airport's broader $2.5 billion development project. Airports can use FAA funds for runways, taxiways, signage, lighting, markings and other safety-related infrastructure, and San Antonio's drainage work falls squarely into that safety category even though it lacks the glamour of a new terminal.
City Manager Erik Walsh said the federal investment will strengthen San Antonio's transportation infrastructure and support the airport's continued development, according to the same report. Aviation Director Jesus Saenz credited the city's congressional delegation and the airport's track record of delivering projects on schedule and within budget for landing the grants, and said the airport appreciates its continued partnership with the FAA in advancing the improvements.
Why Stormwater Work Doubles as a Safety Fix
The drainage project will build a new underground stormwater system carrying rainwater from the airfield and the new terminal development area to Salado Creek, per the San Antonio Report's account. The upgrade is designed to add stormwater capacity and meet FAA and rainfall-design standards, while also eliminating standing water that tends to attract wildlife onto the airfield.
That wildlife angle matters more than it might seem. Airport officials say the improved system is also expected to provide some protection for airfield and terminal operations during heavy rainstorms. Saenz said the drainage improvement will support a safe, resilient and efficient airport operation for years to come, the outlet reported.
Part of a Larger Airfield Overhaul
The drainage upgrade is one piece of the Airfield Safety Enhancement and Improvements Program, which aims to modernize the airport's airfield infrastructure in coordination with the FAA.
Under Phase 1 of that program, the airport plans to upgrade secondary Runway 13L-31R from general aviation to commercial air carrier standards, allowing it to absorb airline flights while the primary runway, 13R-31L, undergoes full reconstruction, according to the Aviation Department. The FAA had previously secured nearly $6.8 million in funding for the drainage project before this latest award, the San Antonio Report noted. Since 2020, the FAA has awarded San Antonio $217.7 million in federal funds overall, including $99.2 million for airfield projects and $114.5 million for terminal projects such as the Terminal A gate expansion and the new Terminal C; the airport has also received $3.9 million for other projects.
Terminal C Construction Climbs While Southwest Dispute Lingers
The drainage work supports an airfield that's expanding fast on the terminal side too. Construction on the $1.7 billion Terminal C, the largest single component of the airport's redevelopment project, began in December 2024 and had reached roughly 80% steel structure completion by September, using 7,144 tons of steel and 2,929 metric tons of mass timber for its roof, according to the San Antonio Express-News. The new terminal will have 18 gates and is expected to be complete in 2028.
To help pay for it, San Antonio issued $866.44 million in airport revenue and refunding bonds in late July to support terminal development and related projects, per the San Antonio Report. The broader development project itself is funded through airport revenue, including carrier fees, parking and concessions, rather than general tax dollars.
Not everyone at the airport is thrilled with how Terminal C has come together. Southwest Airlines, which commands roughly 36% of passenger capacity at SAT, filed a federal lawsuit against the city in fall 2024 over gate allocation negotiations for the new terminal, a dispute Hoodline reported on.
Airline Service Shifts Even as Routes Expand
The investment comes amid changes in San Antonio's airline service, including Condor's 2024 cancellation of its Frankfurt service. Even so, international connectivity has kept growing, with Air Canada resuming nonstop flights between San Antonio and Toronto in May for the first time since 2019, while Breeze Airways re-entered the market with new routes to Raleigh/Durham, Memphis and Pensacola.
With runway improvements planned and now the largest FAA grant in its history, San Antonio's airport is betting that the unglamorous work underground will be just as important as the glass and steel rising above it.
