United and American airlines are still mulling Mayor Brandon Johnson’s plan to salvage construction of a global terminal and two satellite concourses at O’Hare Airport, projects the airline officials feared was $1.5 billion over budget.
But there is no disagreement about the $200 million plan to upgrade Terminal 3.
On Monday, Johnson joined forces with U.S. Sens. Dick Durbin and Tammy Duckworth to announce the start of work that, when completed, should make a big difference for air travelers.
The project calls for wider concourses, renovated restrooms, a revamped baggage claim area, more concession space and a host of other passenger amenities. TSA security checkpoints will also be reconfigured into a single screening area.
Barring unforeseen delays, the makeover of a terminal dominated by American Airlines is expected to be completed in the summer of 2027.
“It’s more than just an expansion. It’s more than just enhanced space. It’s greater accessibility for passengers with disabilities. …Thank you to all of you who recognize that accessibility is also a human right. It’s a fight for justice,” Johnson told a news conference at O’Hare.
“More space and a better screening experience for TSA checkpoints is one of the contributions. A double-wide corridor for better passenger flow between Concourse K and Concourse L. Approximately 10,000 square feet of new concessions and energy-efficient amenities. A better baggage handling system and so much more.”
Shannetta Griffin, associate administrator of the Federal Aviation Administration, said it’s “time for an upgrade” to a terminal “built in the 60’s and revamped in the 80’s.”
Durbin noted the $90 million in federal grants he helped to secure will cover nearly half the project cost.
“We brought the money home,” he said.
Duckworth, who chairs the Senate’s Aviation Subcommittee, made indirect reference to the airlines’ budgetary concerns.
“We need to see the full 25% expansion of the gate capacity that everyone agreed to in 2018. And it if takes more federal money to make that happen, our delegation is going to keep working to secure it,” she said.
The Chicago Sun-Times reported in late November that United and American, O’Hare’s two largest carriers, want to slow down, dramatically scale back or indefinitely ground the airport’s massive expansion project, including a global terminal and two satellite concourses now $1.5 billion over budget.
Both airlines stressed they remain committed to modernizing O’Hare, but in a way that “not only ensures O’Hare’s future financial stability and competitiveness, but also limits costs” for passengers. The next major phase includes constructing a new global terminal designed by the firm of renowned Chicago architect Jeanne Gang. It would replace Terminal 2 and serve both domestic and overseas travelers. Already 24% over budget, United and American said they’re concerned that costs will escalate further after work begins.
To salvage the broader project, Johnson has proposed a major change in the order of construction.
It would move up construction of the global terminal and push back the building of satellite concourses intended to increase competition for United and American by delivering more passenger gates.
The Johnson administration has insisted the satellite concourses, while delayed, would still be built.
Durbin strongly disagreed with the compromise and made his feelings abundantly clear in a recent opinion column published by the Chicago Tribune.
In the op-ed, Durbin noted the 2018 agreement signed by the city and the airlines would have increased O’Hare’s gate capacity by 25%. Although the global terminal would be “the first of its kind to combine domestic and international gates,” the increase in gate capacity would “overwhelmingly come from the two satellite concourses,” he wrote.
“If United and American airlines had it their way, they would delay the satellite terminals and build only the part of the project that benefits them and doesn’t increase competition. This means putting off the construction of both satellite terminals to focus on the Global Terminal. For a price tag still in the billions of dollars, O’Hare would gain two new gates in 10 years.”
During a question-and-answer session after Monday’s news conference, Durbin said negotiations are “in a better place” than when he wrote that op-ed.
“I think we have a proposal that will reach our goal of a 25% increase in [gate] capacity over the period of time that we wish,” Durbin said.
Pressed on what’s changed, Durbin referred vaguely to a “re-phasing of the construction” timetable, adding: “The conversation is going in the right direction.”
Duckworth said it would be “fiscal malpractice” not to demand that gate increase in exchange for an $18 billion investment that includes the new runways.
“We can’t go through all of this and only have three additional gates. … We want O’Hare to stay at the top of the heap when it comes to the most quality airports around the world,” Duckworth said, arguing that the city’s proposed compromise puts the O’Hare project “back on budget.”
Contributing: Isabel Funk