1. A. There is hereby created in the Department of the Treasury a special nonreverting fund that shall be part of the Transportation Trust Fund and shall be known as the Commonwealth Aviation Fund (the Fund). The Fund shall be established on the books of the Comptroller and any funds remaining in the Fund at the end of a biennium shall not revert to the general fund but shall remain in the Fund. Interest earned on the funds shall be credited to the Fund. The funds shall be allocated by the Board to the Virginia Aviation Board, to be allocated by the Virginia Aviation Board to any Virginia airport that is owned by the Commonwealth, a governmental subdivision thereof, or a private entity to which the public has access for the purposes enumerated in § 5.1-2.16, or is owned or leased by the Metropolitan Washington Airports Authority (MWAA), as set forth in subsection B:

2. B. Six percent of the funds shall be allocated as entitlement funds to MWAA.

   1. 1. Fifty percent of the funds shall be allocated as entitlement funds to commercial service airport sponsors other than MWAA, based upon the percentage of enplanements for each airport to total enplanements at all commercial service airports that are not owned or leased by MWAA. Of the amounts made available under this provision, no commercial service airport sponsor shall receive:

      1. a. In fiscal year 2026, more than 25 percent or less than eight percent of the funds; and
      2. b. In fiscal year 2027 and each fiscal year thereafter, more than 25 percent of the funds or less than (i) four and one-half percent of the funds for airports with fewer than 10,000 annual enplanements or (ii) six and one-half percent of the funds for airports with 10,000 or more annual enplanements.

   2. 2. Fifty percent of the funds shall be allocated as follows:

      1. a. For the first six months of each fiscal year, the funds shall be allocated as follows:

         1. (1) Forty percent of the funds shall be allocated by the Virginia Aviation Board for commercial service and regional business airports on a discretionary basis, except airports owned or leased by MWAA; and
         2. (2) Ten percent of the funds shall be allocated by the Virginia Aviation Board for community business and local service airports on a discretionary basis; and
      2. b. For the second six months of each fiscal year, all remaining funds shall be allocated by the Virginia Aviation Board for all eligible airports on a discretionary basis, except airports owned or leased by MWAA.

   Of the remaining amount:

2020, cc. 1230, 1275; 2026, c. 458.