Washington’s City Council, during its meeting Monday, approved accepting two grants to help pay for a new terminal building at the city-owned Warren Field Airport.’

The grants, one for $500,000 and the other for $199,277, come from the N.C. Department of Transportation. The $500,000 grant requires the city to contribute $55,555. The $199,277 grant requires the city to contribute $22,142. The city’s money will come from insurance payments related to the airport’s terminal being destroyed by a gustnado July 1, 2012.

The grant agreements require the terminal be completed by July 1, 2017.

In December, the council awarded an $899,905.50 contract to A.R. Chesson Construction Co. to build a new terminal building the airport. Funding for this project comes from three sources; $500,000 in N.C. Division of Aviation grant funds, $199,277 in Vision 100 airport funds and $200,628.50 in insurance proceeds, according to Allen Lewis, the city’s public-works director.

The city has $549,277 in grant funds earmarked for the project and a forthcoming $150,000 grant it can use to construct the new terminal building, according to John. M. Massey with the city’s airport engineers, Talbert & Bright. Each of those grants requires a 10-percent match from the city.

In December, the council also authorized the mayor to execute an agreement with Talbert & Bright for the firm to perform construction-administration work related to the project. Talbert & Bright submitted a proposal to do the work for $90,815.