On 18 September 1941, Urbana City Council accepted a $15,000 gift from
Warren G. Grimes, the owner of
Grimes Manufacturing Company, which built aircraft lighting systems. The money was to be used to pay more than half of the purchase price for just over of land on which to build an airport. A total of 30 airplanes flew in for an unofficial "dedication" three days later. By mid October, site preparation was proceeding, with grading and leveling nearly finished. The construction of a hangar, which included a cornerstone containing the names of 1,152 individuals who made financial donations to pay for it, began in September 1942. By that point, three of four planned runways were almost complete. The airport was opened with a gathering of 100
Civil Air Patrol airplanes on 8 August 1943. The first ground school was held at the start of the following month and an office building had been completed. A
P-61 was flown to the airport in May 1949 to serve as an
Air Scout clubhouse. Plans to pave the northeast-southwest runway were announced that December. A addition to the workshop was mooted in June 1956. In mid 1959, the original hangar on the airport was split in half and the southern portion moved south. This allowed a section to be spliced in the center to enable larger airplanes to use the structure. By May 1960, the airport was being used by Grimes Manufacturing's
Beech 18 test aircraft lights. By late December 1960, the runway had reached . An extension lengthening the runway to was opened in early September 1961. Grimes Manufacturing operated the airport until the end of June 1987. That year, the airport received a grant to conduct an environmental assessment as part of an expansion plan. Approval was given by the city council to build a 12-unit hangar in 1998. A new runway, realigned to avoid obstructions, was built in 2001 to replace the old one.
CareFlight opened a medical helicopter station in a new hangar at the airport in early October 2005. A new hangar project had been started by the mid 2010s to make space to house more aircraft. In 2017, 20
World War II era
B-25 Mitchell bombers were staged at the airport to commemorate the 75th Anniversary of the
Doolittle Raid. The airport received $795,000 in 2021 for facility upgrades, including improving and replacing runways, taxiways, and airport-owned towers. Additional upgrades were to be made to the airport's terminal and multimodal connections to the airport. An additional $144,000 was awarded in 2023 through the Bipartisan Infrastructure Law as part of the Federal Aviation Administration's Airport Infrastructure Grant program. == Facilities and aircraft ==