Work crews will be demolishing the airport hotel and replacing it with a new one, also a four-story terminal and a double-deck roadway.

The airport has imposed higher fees on airlines to help pay for the project. But the airlines say they can’t afford the increases because of soaring fuel prices.

Cheryl Marcel is with the airport. She says the expansion has been in the works for eight years and needs to happen now rather than later.  

"We agree that it’s a challenging economic time for our airline partners. But we are stewards of this airport for the future and we have to have a long term vision for the growth and the capacity that needs to happen at this airport."

Meanwhile, the airlines say they’ll have to pass their higher costs onto passengers. The new hotel is set to open by 2011.