Centennial Rents Jump 82 Percent, FAA Rejects Complaint

The agency declined to reconsider its decision on a complaint involving T-hangar rents at Colorado's Centennial Airport.

Centennial Rents Jump 82%, FAA Rejects Complaint
[Credit: George Rudy | Shutterstock]
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Key Takeaways:

  • The FAA has rejected requests to reconsider an 82% hangar rent increase at Colorado's Centennial Airport, upholding its decision that tenants did not establish a violation of federal airport grant assurances.
  • Affected pilots and AOPA argued that crucial financial records needed to evaluate the rent increase were primarily held by the FBO and airport sponsor, making it difficult for complainants to provide sufficient evidence.
  • The FAA maintained its position that complainants are responsible for providing adequate evidence to substantiate alleged violations, and the agency is not required to independently develop evidence on their behalf.
  • This decision comes amidst a broader trend of significant hangar rent increases impacting aircraft owners at other airports, including Salt Lake City.
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The FAA has rejected requests to reconsider its decision involving an 82 percent hangar rent increase at Colorado’s Centennial Airport. In an Oct. 7 response, the agency upheld its earlier determination that tenants had not established a violation of federal airport grant assurances.

The dispute began after Denver jetCenter increased monthly T-hangar rents from $660 to $1,200 on April 1. Affected pilots formed the Centennial Airport Pilots Association and pursued legal action against the FBO. The group also filed an informal complaint under Part 13, arguing that the increase violated federal requirements for reasonable and nondiscriminatory airport fees.

Dispute Over Financial Records

In a Sept. 29 letter, AOPA General Counsel Fernando Campoamor asked the FAA to reconsider its August determination and examine the FBO’s operating costs, rental revenue and occupancy records. According to the letter, 15 of 45 hangars were vacated following the increase, and the waiting list dropped from 108 to 64.

AOPA argued that the financial information necessary to evaluate the increase remained largely in the possession of the FBO and airport sponsor.

“Complainants brought forward what they could obtain, and only the FAA can and should obtain the rest,” Campoamor wrote in the letter.

FAA Maintains Its Decision

FAA Regional Compliance Program Manager Peter Doyle rejected the reconsideration requests, maintaining that complainants must provide sufficient evidence to substantiate alleged violations. The agency said its responsibility to investigate does not require it to independently develop evidence on behalf of complainants. Under FAA procedures, airport users may pursue informal Part 13 complaints or formal Part 16 proceedings.

The decision comes as aircraft owners at other airports face similar increases, including Salt Lake City, where some general aviation hangar rates are scheduled to rise by more than 150 percent next year.

Matt Ryan

Matt is AVweb's lead editor. His eyes have been turned to the sky for as long as he can remember. Now a fixed-wing pilot, instructor and aviation writer, Matt also leads and teaches a high school aviation program in the Dallas area. Beyond his lifelong obsession with aviation, Matt loves to travel and has lived in Greece, Czechia and Germany for studies and for work.
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