The Tucson Airport Authority board of directors approved a $39.2 million operating budget for fiscal year 2004, which begins on October 1, 2003. The budget is an increase of $200,000 over the fiscal year 2003 budget. Operating revenues are projected to increase 3.3 percent primarily due to concession revenue for rental cars, parking lots and general retail sales. Operating expenses are projected to rise 4.2 percent due to several factors, include increased personnel expenses, utilities and business insurance premiums. The landing fee, paid by commercial carriers that land at Tucson International Airport, will remain at $1.20 per thousand pounds of landed weight, the same amount as last year. Landing fees provide additional revenue that is required to match expenses but is not provided by operating revenues.