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FAA demands receipts from Washington state
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Washington Airport’s Hangar Freeze Runs Afoul of FAA
The FAA has determined that a moratorium on new ground leases at Cle Elum Municipal Airport in Washington violates federal grant assurances requiring airports to provide reasonable access to aeronautical users. The decision follows an informal Part 13 complaint filed by airport users after the city indefinitely suspended new leases, citing ongoing bankruptcy proceedings. The FAA has directed the city to submit a corrective action plan.
Cle Elum filed for Chapter 9 bankruptcy protection in June 2025 following a $25.9 million arbitration award stemming from a dispute involving a local development agreement. According to the city’s bankruptcy announcement, the filing was intended to protect municipal services while the city addressed its financial obligations. The city’s airport leasing moratorium was set to remain in effect until the bankruptcy proceedings concluded and officials determined whether to continue operating the airport.
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