That money would be used for the construction of a new parking lot and entry road facilities at Municipal Airport.
It's a $5.3 million project, but city Transportation Director John Burrus says he expects the FAA to fund about 90 percent of the project.
He says when Wichita Falls hosted the southwest region offices of FAA several years ago, officials dubbed the Wichita Falls terminal "the worst airport terminal building in the southwest region."
Burrus says since that time, the FAA has become committed to helping the city update the terminal.
He says bids are currently being accepted for the project, which he says lays the foundation for construction of a future terminal building.