Sacramento International will begin work on a US$1.27bn passenger terminal next month.
The four-storey, steel-and-glass terminal, which will replace Terminal B, will be financed from airport revenues, including airline fees and rents, parking fees, concession rents and passenger ticket surcharges.
Airlines have said the project is too large and expensive, given the rocketing price of fuel.
Sacramento County officials said the expansion is appropriate for a region expected to grow substantially in coming decades.
"You can't build a major project in the context of this month's news. One has to build in the context of decades," Roger Dickinson said.
The new terminal is expected to open by the end of 2011, when the existing Terminal B will be demolished.
By staff writer