Billings Logan International Airport Considers Transitioning to Airport Authority
As Billings Logan International Airport continues to get busier, city leaders are considering changing the way it is run.
The City Council this week gave the go-ahead to spend up to $1 million to look into forming an airport authority.
BIL is currently owned and operated by the city. An airport authority is an independent entity charged with airport operation and oversight, often governed by at least five commissioners who are appointed by government officials.
Jeff Roach
Jeff Roach is the Director of Aviation and Transit for the City of Billings.
Jeff Roach, director of aviation and transit for the city, said airports tend to look at transitioning to an authority as they grow and get busier. Often, he said, they make the change around the time they reach one million passengers a year.
BIL saw record increases in traveler and aircraft activity last year. With an all-time high of 980,676 travelers passing through the airport in 2024, food, beverage and gift shop sales also skyrocketed.
Billings Logan International Airport
The terminal at Billings Logan International Airport.
Roach said BIL has grown to the point that it no longer needs the support of city government. The airport is already self-sufficient, meaning it doesn’t rely on local tax dollars to cover costs.
Switching to an authority would allow BIL to be run more like a business, Roach said.
Authorities can make decisions and respond to industry changes more efficiently, he said. They also have the ability to form business-to-business relationships and the flexibility to reward employees for performance.
But, authorities don’t have as much access to grant money and they don’t have government resources to fall back on, Roach said.
About 40% of airports nationwide operate under an authority. That includes all of the commercial service airports in Montana, other than BIL and West Yellowstone, which is run by the state and offers seasonal service.
“Montana allows for a very easy process for transferring from a municipal or government-owned model to an airport authority,” Roach said. “That’s why most of the commercial service airports transitioned soon after the state passed the statute that allowed airport authorities to be developed in the 1970s and early 1980s.”
Jeff Roach
Jeff Roach is the Director of Aviation and Transit for the city of Billings.
Roach said creating an authority has been discussed internally at BIL for years. Now, with the airport expected to serve more than one million passengers this year, he decided the time was right to bring the idea forward.
He told the city council the change would allow BIL to focus on its business as it grows, without the ties of local government. In addition to the airport, MET Transit could be included under a port authority.
“Either way, there are benefits to both,” Roach said.
Billings Logan International Airport
United Airlines flight 2453 bound for Denver takes off from the Billings Logan International Airport.
The council decided on a 10-to-1 vote to allow BIL to spend up to $1 million to hire a consultant to help the city develop the necessary documents and carry out the public involvement process required to make the transition. The money will come from airport-generated revenue.
Councilman Roy Neese opposed, citing his concern that the ask wasn’t specific enough.
“I’m not sold on this,” he said.
But, others were more enthusiastic about Roach’s proposal.
“I want you 100% focused on the best airport, the most affordable airport, the most flights in the state,” Councilwoman Jennifer Owen said. “That is what I want to accomplish, period full stop. I want us to be number one.”
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