The value of state and local spending on air transportation infrastructure was $6.97 billion (SAAR) in May 2003, down 3.5% from May 2002. Of this, the value of passenger terminal construction was $2.98 billion (SAAR), up 20.8% from a year earlier. Homeland security requirements are behind some of this growth but much of the facility expansion and improvement projects taking place now were planned years ago and don't reflect the poor state of the U.S. air transport industry.