REGULATORY

FAA Airport Funding Deadline Looms as EASA Shapes Aviation AI Rules

3 min read
FAA Airport Funding Deadline Looms as EASA Shapes Aviation AI Rules
The FAA is nearing the deadline for its $1 billion FY2026 Airport Terminal Program, while EASA advances a regulatory framework for AI trustworthiness in aviation.

Key Points

  • 1The FAA's $1 billion FY2026 Airport Terminal Program, the final tranche of IIJA funding, closes applications on January 15, 2026.
  • 2EASA launched NPA 2025-07 to establish a regulatory framework for AI trustworthiness in aviation, aligning with the EU AI Act.
  • 3The EASA framework defines seven dimensions of AI trustworthiness, including Robustness, Explainability, and Human Oversight.
  • 4The funding and regulatory actions impact US airport modernization and the global deployment of AI in safety-critical aviation domains.

The global commercial aviation sector faces two critical deadlines. One is an immediate compliance countdown for funding. The other is a long-term regulatory path for future technology. The US Federal Aviation Administration (FAA) is closing its final Airport Terminal Program (ATP) application window. Meanwhile, the European Union Aviation Safety Agency (EASA) is setting a global precedent for AI trustworthiness in safety-critical domains.

US Infrastructure Deadline Looms

Airport sponsors in the United States must act quickly. The application deadline for the final tranche of the FAA Airport Terminal Program is imminent. Applications for approximately $1 billion in FY2026 competitive funds must be submitted by 5:00 p.m. ET on Thursday, January 15, 2026.

This funding represents the fifth and final year of the ATP. The program was authorized under the Infrastructure Investment and Jobs Act (IIJA) of 2021. The IIJA established the ATP as a $5 billion grant program. Its goal is to upgrade, modernize, and rebuild the nation's airport terminals. The grants also cover airport-owned Air Traffic Control Towers (ATCTs).

Airport sponsors are competing for the FY2026 airport funding. This final opportunity is crucial for US airport modernization. Projects are evaluated on eligibility and timeliness of implementation. Priority is given to projects that can execute a grant agreement by October 30, 2026. The program allocates funds based on airport hub size. Fifty-five percent is reserved for large hub airports. Fifteen percent is for medium hub airports. This structure ensures that funding addresses needs across the aviation network.

EASA Shapes Future of Aviation AI

Across the Atlantic, EASA is progressing its aviation regulatory framework for artificial intelligence. The agency launched Notice of Proposed Amendment (NPA) 2025-07. This is the first step in a rulemaking task (RMT.0742). The goal is to ensure AI trustworthiness for its safe use in aviation.

The framework aligns with requirements for high-risk AI systems. This is mandated by the broader EU AI Act. EASA's proposal provides technical guidance to the industry. It focuses on AI assurance, human factors, and ethics. The proposal covers data-driven AI-based systems. This includes supervised and unsupervised machine learning.

Seven Dimensions of Trustworthiness

EASA's framework is performance- and risk-based. It integrates with existing regulatory pathways. The agency has outlined seven key dimensions of AI trustworthiness. These are Robustness, Explainability, Transparency, Human Oversight, Data Quality, Reliability, and Safety. These elements scale with the criticality of the AI system. Low-risk support tools have lighter requirements. Autonomous mission controllers have more stringent rules.

This work is vital for the seamless deployment of AI in aviation. It will prepare the community for future requirements. This includes AI-based assistance (Level 1 AI) and Human-AI teaming (Level 2 AI). The framework will eventually be extended. Future applications include reinforcement learning and generative AI systems. This regulatory certainty is critical for manufacturers like Airbus. It allows them to integrate advanced AI safely into new aircraft and systems.

Industry Impact and Next Steps

The two regulatory streams highlight a global industry dynamic. US airports focus on immediate infrastructure needs via airport infrastructure grants. European regulators focus on future-proofing the safety framework for digital innovation. The FAA's final Airport Terminal Program funding is a one-time injection of capital. It addresses decades of deferred maintenance. EASA's work, however, is a foundational step. It will govern the long-term evolution of aviation technology. A second NPA is planned for 2026. This will deploy the generic framework to specific aviation domains. This includes air traffic management and aerodromes. Aviation stakeholders worldwide are monitoring these developments closely. They represent both immediate investment and future regulatory compliance. For more commercial aviation news, visit flying.flights.

Topics

FAAEASAAirport FundingAviation AIRegulatory ComplianceInfrastructure

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