On The Floor

Federal Aviation Administration Reform

On September 20, 2007, the House passed the Federal Aviation Administration (FAA) Reauthorization Act of 2007, H.R. 2881. The bill would modernize the nation's aging air traffic control system, dedicating an increase in the aviation fuel taxes to pay for these improvements. President Bush threatened to veto this bill.

NEED FOR GREATER AIRLINE CAPACITY
  • Worst Summer for Airline Delays, with Airline Traffic Growing.  The first half of 2007 has been the worst in history for airline delays: through July more than one-quarter of flights were delayed, and over 6 percent of flights arrived more than 1 hour late.  Airline traffic is expected to explode, with a tripling of passengers, operations, and cargo by 2025.
  • Airport Modernization Needed to Reduce Delay.  Constructing new runways and runways extension is the most effective way to increase the ease of passengers, cargos and plans getting through airports and getting to their destination.
  • Future Needs for Airport Infrastructure Development will Grow.  During the next five years, airport infrastructure development eligible for FAA funds will total $41.2 billion, including approximately $18 billion for new runways, taxiway and apron construction and other runway-related needs.

MODERNIZES AIR TRAFFIC CONTROL AND AIRPORT INFRASTRUCTURE

  • Historic funding levels for the Federal Aviation Administration’s (FAA) capital programs between FY 2008 and FY 2011.  Provides for the robust capital funding required to modernize the Air Traffic Control system, as well as to stabilize and strengthen the Airport and Airway Trust Fund.  It includes $16 billion for the Airport Improvement Program; $37 billion for FAA Operations. It also provides significant increases in AIP funding for smaller airports.
  • Air Traffic Control Modernization.  Provides $13 billion to accelerate the implementation of the Next Generation Air Transportation System, enabling FAA to repair and replace existing facilities and equipment, and for implementing high-priority safety-related systems.
  • Funding for Modernizing Air Traffic Control.  Includes a fiscally responsible increase in the general aviation jet fuel tax rate from 21.8 cents per gallon to 35.9 cents per gallon; and increases the aviation gasoline tax rate from 19.3 cents per gallon to 24.1 cents per gallon.  The increases will be dedicated to air traffic control modernization.
  • Local Authority for More Airport Improvements.  Increases the maximum Passenger Facility Charge to $7.00 from $4.50 to combat inflation and to help airports meet increased capital needs, similar to the funding plan proposed by the Bush Administration.  Based on the needs of the airport, local governments and airport authorities decide on these fees, which could raise an additional $1.1 billion for airport modernization to help fill the gap left by the federal program.
  • Improved Safety.  Increases the number of aviation safety inspectors by more than one-third, and strengthens efforts to reduce runway incursions.
  • Greater Accountability.  Requires detailed plans for the Next Generation Air Transportation System, and authorizes GAO and Inspector General audits and reports to reduce cost overruns and delays in the air traffic control modernization program.

CONSUMER PROTECTION

  • Emergency Contingency Plans.  Requires airlines and airports to have emergency contingency plans to take care of passengers who are involved in long flight and tarmac delays, including plans on deplaning after a lengthy delay.  These plans must account for the provision of food, water, clean restrooms and medical care for passengers. DOT can fine those who fail to develop or comply with these plans.
  • Reducing Over-scheduling:  Directs the FAA to meet with airports to ensure reductions in the numbers of flights in situations where over-scheduling is causing chronic delays.
  • Consumer Complaints.  Establishes and publicizes a hotline for consumer complaints in the Transportation Department.
  • Monthly Air Carrier Reports. Requires the Secretary to collect and publish monthly data on cancelled and diverted flights on the DOT website.
  • IG Report on Delay and Cancellations.  Calls on the Inspector General to update its report on air carrier flight delays, cancellations, and causes for such delays and cancellations

OTHER KEY ISSUES

  • Small Communities.  Increases authorized funding for Essential Air Service and the Small Community Air Services Development program.  Under the bill, the Transportation Department can take steps to improve air service quality and stability and increase the airlines providing service to smaller communities, including providing financial incentives.
  • Global Warming.  Contains provisions to reduce global warming, including to the development of cleaner, quieter, more efficient engines and aircraft, a pilot program to reduce idling times for aircraft, and a pilot program to apply promising environmental research at airports.
  • Labor Provisions.  Requires the FAA and National Air Traffic Controllers Association go to independent binding arbitration to resolve a contract dispute.  Finally, it would ensure that employees of express carriers who do the same types of jobs are covered under the same labor laws (the National Labor Relations Act rather than the Railway Labor Act.