The National Business Aviation Association (NBAA) welcomed passage by the U.S. House of Representatives of multiple initiatives supporting the growth, safety and sustainability of the nation’s aviation industry and infrastructure included in a budget reconciliation bill.
The bill includes $12.5 billion to fund airport and air traffic control (ATC) projects over the next four years. These include replacement of aging radar systems, control towers and terminal radar approach control facilities, as well as expanded controller recruitment and training.
The air traffic funding provision, unveiled by House leaders in April, has the support of NBAA and more than 50 other industry stakeholders, including international aviation associations, trade unions, manufacturers and others united in a newly formed “Modern Skies” coalition launched to support the plan.
“We commend the House for recognizing the importance of improving ATC infrastructure and strengthening the controller workforce to enhance safety and efficiency in the National Airspace System,” said NBAA President and CEO Ed Bolen.
“Business aviation’s ability to serve citizens, companies and communities is only possible because the U.S. leads the world in aviation. The strategic priorities identified in this provision will be key to preserving our global leadership in the years to come.”
The House reconciliation legislation also contains a provision for reinstatement of 100% immediate expensing on purchases of factory-new and pre-owned aircraft. Part of the Tax Cuts and Jobs Act of 2017, the percentage of claimable depreciation is currently phasing down to zero in 2027.
“Immediate expensing for purchases of capital equipment, including business aircraft, has been included in bipartisan congressional tax policy for decades, reflecting a longstanding consensus among leading economists that it helps American companies upgrade assets they rely on to be competitive in a global marketplace,” Bolen said.
Bolen noted that the policy also fosters job creation in business aviation, an industry that supports 1.3 million high-skill, high-paying manufacturing and service jobs, accounts for $340 billion in economic activity each year and makes a positive contribution to the nation’s balance of trade.
The reconciliation bill also includes an extension by four additional years of the Section 45Z Clean Fuel Production Credit incentivizing production of sustainable aviation fuel (SAF) to 2031. This credit is among the initiatives that contributed to the doubling of U.S. SAF production from December 2024 to February 2025.
“Clearly, this provision has proven critical to the increased production, availability and use of SAF as part of business aviation’s goal of achieving net-zero carbon emissions by 2050,” Bolen said. “Equally important, the creation of clear incentives for suppliers and producers of SAF will give the U.S. a competitive edge in this promising global sector.
“As the House reconciliation bill moves to the Senate for consideration, we look forward to working with lawmakers on both sides of the aisle to advance these forward-looking provisions that bolster an essential industry, support countless workers and promote American competitiveness,” Bolen concluded.
