The American Association of Airport Executives’ Airport Consortium on Transformation recently issued a guide on the effective management of Capital Improvement Programs (CIPs).
The guide, which is designed for airport finance professionals, reviews governance, management, and project scoping; reviews strategies for navigating the complexities of CIPs; highlights essential practices for effective capital improvement programs; stresses the importance of aligning programs with strategic plans to ensure success; emphasizes planning and clear objectives; and discusses the role of debt affordability analysis in understanding financial constraints.
Recommendations include prudent reserve allocations and strong collaboration between external project managers and internal finance teams, and robust communication and stakeholder engagement strategies.
“With the North American airport industry facing a great need for investment and improvement, this is an opportune time to consider how airport finance professionals can plan, monitor, and execute transformational capital programs,” Ian Sample, Steer associate, said. “This guide will be a valuable tool for emerging and established airport finance teams as they face the projects in front of them.”
Steer contributed to the guide along with Loop Capital Markets, Ramirez & Co., RS&H, and others.
The guide also includes a toolkit of technical approaches and strategic insights for capital projects.