… the House and Senate on Tuesday in a conference committee approved a four-year reauthorization for FAA/system funding after five years of wrangling and 23 continuing funding extensions. The industry can now collectively exhale.
According to a House Transportation and Infrastructure Committee release, the bill provides some $13.4 billion for the Airport Improvement Program, $38.3 billion for FAA Operations, $672 million for Research, Engineering & Development, and $10.9 billion for FAA’s Facilities & Equipment account. The bill still needs to be passed by the House and Senate respectively, and then signed by the President. One has to assume that it never would have gotten out of conference if Mr. Obama wasn’t going to sign it.
I was speaking with ACI-NA president Greg Principato yesterday and during the discussion he mentioned that the House and Senate were at that time in conference to consider the reauthorization bill. Ever the optimist, Principato was almost giddy at the prospects of movement actually being made on the bill. “We’re glad the instability is over,” he commented. That said, he expressed one lament: The failure to get changes to the passenger facility charge. Airports sought to get the $4.50 cap increased to at least $7 and also to have it indexed to inflation.
A few other comments …
States Transportation and Infrastructure Committee chair John Mica (R-FL), “This measure is key to advancing the nearly eight percent of our nation’s economy impacted by the aviation industry.”
Comments Aviation Subcommittee chair Tom Petri (R-WI), “I am particularly pleased that we are moving forward with the NextGen modernization of our air traffic control system. Once in place, the new system will bring about a revolution in aviation providing greater safety, lower costs, fewer emissions, and better on-time performance with shorter, more direct flights. I am very excited about it.”
And, as quoted in USA Today, Senator Kay Bailey Hutchison (R-TX) states, "We're going to have four years of stability in this industry. It’s huge.” Hutchiston is credited with helping reach a compromise on slots into Washington’s Reagan Airport, adding eight long-distance flights into DCA.
Long-term funding has a history of shaking out the industry, allowing FAA and the industry to plan and execute, to build, to spend. Let the games begin.
Thanks for reading. jfi
