Houston City Council members have approved for the funding and phasing plan for a new international terminal building at George Bush Intercontinental Airport (IAH).
Expected to cost up to $900m, the new facility will replace the current Mickey Leland International Terminal (Terminal D).
The approval follows a memorandum of agreement (MOA), which was passed by Houston City Council members on 18 June.
The MOA secures support from United Airlines for the logistical phasing issues in the project, as well as improves the current funding mechanism used by the Houston Airport System (HAS), which will help secure the necessary funds for infrastructure improvement projects.
Houston mayor Annise Parker said: "International travel is vital to both our economic health and our quality of life."
"We have been remarkably successful in attracting new international air service to Houston and it is now time to address the infrastructure needs at George Bush Intercontinental Airport."
The new terminal building is designed to increase both the size of the facility and its operational capabilities.
George Bush Intercontinental Airport handled a total of 8.9 million international passengers in 2013.
Image: Mickey Leland International Terminal Building. Photo: courtesy of Houston Airport System.