The Port Authority of New York & New Jersey is losing out on $16.9 million a year by undercharging John F. Kennedy Airport tenants, including British Airways and Delta Air Lines, for utilities, the New York Post reported. The agency’s failure to correctly charge the airlines allegedly stems from faulty electricity meters and has continued for decades, ultimately costing it hundreds of millions of dollars.
According to documents obtained by the Post, the Port Authority became aware of the miscalculations in 2008, but has not yet made a move to collect the lost revenue.
Patrick Foye, executive director of the Port Authority, said: “Port Authority is committed to collecting every penny we’re owed by those we contract with. That applies to rent, electricity reimbursement, everything.”
The approximately $17 million in lost revenue may only the beginning, the Post noted, as it does not include revenue lost from any of the agency’s other facilities, like LaGuardia Airport and the Port Authority Bus Terminal. [Post]