Federal Aviation Administration (FAA)

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On Wednesday, July 29, 2009, the bipartisan leadership of both the Committee on Transportation & Infrastructure and the Subcommittee on Aviation introduced H.R. 3371, the "Aviation Safety Bill" designed to "enhance airline safety by setting new training and service standards for commercial pilots."  This bill came primarily as a response to the Senate Commerce Committee’s passage…

In a per curiam Abbreviated Disposition that will not be published, the U.S. Court of Appeals for the District of Columbia Circuit summarily denied 12 separately-filed petitions for review that questioned the legality of the Federal Aviation Administration’s Environmental Impact Statement for its East Coast Airspace Redesign. The matter, Rockland County v. Federal Aviation Administration…

FAA Administrator Randy Babbitt told the Senate Subcommittee on Aviation Wednesday, June 10, 2009, that small regional airlines are held to the same safety standards as the major carriers. Babbitt says he and Secretary of Transportation Ray LaHood are ensuring that the FAA is taking steps to ensure that that is the practice as well as the law. However, FAA Inspector General Calvin Scovell  says that is not currently the case.

Subcommittee Chair Byron L. Dorgan (D-N.D.) opened the hearing with the statement that he was concerned that there is a double standard in aviation instead of  "one level of safety for both regional and major carriers."  This issue has come to the forefront since the crash of Colgan Air flight in Buffalo, raising issues of pilot training, proficiency and pay at regional airlines.  The investigation into that crash has revealed that the pilot flew cross country as a passenger on a flight the night before and lacked experience in the deicing procedures for the type of aircraft that crashed.

FAA Administrator Babbitt said that the same safety laws and regulations apply across the board to all airlines, regardless of whether they are regional or national in scope.  That being said, Administrator Babbitt stated that there is much to be done to improve safety and that he and Secretary of Transportation Ray LaHood are committed to focusing on inspection of aircraft and safety.

FAA Inspector General Calvin Scovell, however, stated that although the laws and regulations may be the same, in practice there are two standards.  He stated that he was particularly concerned about the difference between pilots’ training and level of flight experience in the two types of airlines.  The major airlines did not escape the hearing unscathed.  Scovell also testified that  there have been many lapses in oversight of the major airlines’ technical programs, similar to the problems that came to light last summer concerning Southwest Airlines. In particular, he was concerned that 7 major airlines missed "Air Transportation Oversight Systems" inspections, some had been allowed to lapse  "well beyond the 5-year inspection cycle."

NTSB Chairman Mark Rosenker also had some choices remarks for the FAA.  He informed the panel that the FAA has failed to heed recommendations suggested by the NTSB that would produce greater safety.  When asked how many recommended changes were outstanding, Chairman Rosenker stated that there about 450 recommendations still outstanding with some 10 – 15 years old.  Sen. Barbara Boxer (D-Cal.) called this an "outrage" and an indictment of the FAA, "it is not about anyone personally, it is the institution, it is the way they think, and it is very disturbing to me."

In the end, Administrator Babbitt promised to consider the NTSB recommendations, and although the FAA will not adopt them all, he would make the FAA "more transparent" about the process.

Click on "continue reading" to see list of written statements and link to the archived webcast of the hearing.Continue Reading U.S. Senate Subcommittee on Aviation Holds Hearing on FAA’s Role in the Oversight of Air Carriers

The FAA, on June 5, 2009, issued two Notices of Order to Show Cause requesting "the views of interested persons on the FAA’s tentative determination to extend through October 30, 2010, the January 15, 2008, order limiting the number of scheduled aircraft arrivals at John F. Kennedy International Airport [and Newark Liberty International Airport]…

A multi-year challenge to the Federal Aviation Administration’s reorganization of the airspace in four East Coast states culminated on May 11, 2009 with oral argument at the D.C. Circuit Court of Appeals before Chief Judge David Sentelle, and Judges Douglas Ginsberg and Ray Randolph.  The litigation team was made up of 12 law firms representing public entities and environmental organizations from Connecticut, New York, New Jersey and Pennsylvania.  The team designated three of its members to present the oral argument: (1) Richard Blumenthal, Attorney General of the State of Connecticut; (2) Larry Liebesman, of Holland & Knight, representing communities in Rockland County, New York; and (3) Dr. Barbara Lichman of Chevalier, Allen & Lichman, representing Delaware County, Pennsylvania.  The FAA was represented by Department of Justice attorneys Mary Gay Sprague and Lane McFadden.

In the 30 minutes allotted to the opening presentation, the team emphasized the FAA’s failure to adhere to governing statutes and regulations in implementing the Airspace Redesign Project.  Specifically, Attorney General Blumenthal presented the Court with a litany of FAA lapses in conducting the analysis of the project’s noise impacts.  The Attorney General argued that the mistakes and omissions from the analysis resulted in artificial and inaccurate minimization of those impacts.  In addition, the Attorney General challenged FAA’s failure to reveal even the artificially minimized noise impacts to the affected public for review and comment, as it is obligated to do under the National Environmental Policy Act, 42 U.S.C. § 4321, et seq. Continue Reading East Coast Airspace Redesign Challenge Heard at D.C. Circuit Court of Appeals

The U.S. Senate Subcommittee on Aviation held a hearing on Wednesday, May 13, 2009, on FAA Reauthorization in which it sought information about

mplementing Next Generation Air Traffic Control System (NextGen), a satellite-based navigation and air traffic management system. NextGen will address the long ignored safety and economic shortcomings in civil aviation while fully integrating

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The Federal Aviation Administration today proposed to rescind the congestion management rules for JFK, LaGuardia and Newark that would have created auctions for slots at those airports.  (Click here for the JFK and Newark proposal, click here for the LaGuardia proposal)  Those rules were ardently opposed by the airlines as well as by…

There were two events this past Thursday, May 7, 2009, that may affect H.R. 915, the FAA Reauthorization bill, which is currently pending in the U.S. House of Representatives. First, in the Obama Administration’s budget stated in its budget that starting in 2011, the budget “assumes a scenario where most of the air traffic control system would be paid for by direct charges levied on users of the system. The FAA’s current excise tax system, which generated $12.4 billion in 2008, is largely based on taxes that depend upon the price of customers’ airline tickets, not FAA’s cost for moving flights through the system.“ Then, the House Ways and Means Committee held a hearing on the financial status of the Airport and Airway Trust Fund. At that hearing, Rep. James Oberstar (D.-Minn.), Chairman of the House Committee on Transportation and Infrastructure told Ways and Means that “changes to the current system of excise taxes should be made only if such changes will improve upon [excise taxes’] record of stability, revenue adequacy, and ease of administration.”

Obama Administration Seems to Favor User Taxes

The Obama Administration has been fairly clear about its preference for user taxes to fund the air traffic control system in the United States. The budget framework that the Obama Administration issued in February indicated that it would like to transition some aviation taxes to user fees. Indeed, it was this indication of the Administration’s preference for user fees that caused the Congress to approve another continuing resolution for the FAA instead of passing the 2009 FAA Reauthorization. See, "User Fees Issues Probably Will Force Short-Term Extension of FAA’s Authorization Instead of Full Reauthorization" posted March 16, 2009. While the budget released this past week ruled out user fees for fiscal year 2010, the administration indicated that “the FAA should move toward a model whereby FAA’s funding is related to its costs, the financing burden is distributed more equitably, and funds are used to pay directly for services the users need.” But the Budget stopped short of endorsing user fees. It continued: “the Administration recognizes that there are alternative ways to achieve these objectives. Accordingly, the Administration will work with stakeholders and the Congress to enact legislation that moves toward such a system.”

User fees are not only on the White House’s wish list. The Department of Transportation confirmed that the longer-range reauthorization plan for the FAA will include “cost-based user charges for air traffic services starting in 2011.” Although, DOT added that the specifics “are under development and some time will be needed to implement the charges once approved.” The Congressional Budget Office seemed to support a move away from excise taxes, too, although indirectly. Robert A. Sunshine, Deputy Director, Congressional Budget Office stated that “the current financing system provides limited incentives to air carriers and general aviation flyers to use the system efficiently in congested areas – but structured differently, by linking the taxes paid by users of the system to the cost of providing air traffic control services, the financing system could help to reduce the potential for increasing congestion and delays.”

Strong Support in Congress for Current System

The House Ways and Means Committee took up H.R. 915, the FAA Reauthorization bill of 2009, to consider the financing provisions. H.R. 915 has been approved by the Transportation and Infrastructure Committee, but the financial provisions need to be approved by Ways and Means before it can go to the full House. Rep. Charles Rangel (D.-N.Y.), Chairman of the Ways and Means Committee stated that the Committee intends “to act on this matter so that we can avoid the need for yet another temporary measure.” All of the witnesses stressed the need to move the legislation along. Rep. Oberstar commented that “we are already almost two years behind schedule in reauthorizing these programs. Airport development capital projects and key NextGen programs need the stability that a multi-year authorization bill provides.” FAA programs can be funded by aviation excise taxes, a reasonable General Fund contribution and a modest increase in General Aviation fuel taxes: an increase from 21.8 cents per gallon to 35.9 cents per gallon for noncommercial jet fuel, and an increase from 19.3 cents per gallon to 21.4 cents per gallon for avgas.   This increase is identical to legislation reported by Ways and Means in 2007 and was passed by the House on September 20, 2007.

The proposed raises in the fuel taxes and other funding mechanisms were the results of years of negotiating, with industry expressing support for the increases in return for the promise of no user fees. Rep. Jerry Costello (D.- Ill.), Chairman of the Aviation Subcommittee indicated that the proposed increase in fuel taxes has the support of the General Aviation groups over the imposition of a user fee system. It is the support of the General Aviation groups that seems to be issue here. As Rep. Tom Petri (R. – Wis.), Ranking Member on the Aviation Subcommittee told the Ways and Means Committee, he continues to support the structure of the funding recommendations which were developed in a bipartisan fashion, adding that “General Aviation is strong in the United States compared to other countries and unique. Of all the world’s licensed and active aviation pilots, 62 percent reside here in the U.S.”

Result: Excise Taxes, At Least For Now

Since the leadership of both parties on Transportation and Infrastructure Committee support continuation of the excise taxes, it seems unlikely that H.R. 915 will be amended to include user fees, even in 2011. The feeling among all involved is that the FAA reauthorization needs to be accomplished now and now is not the time for a discussion about the viability of user fees over excise fees. However, fiscal year 2011 is another story. Once Capt. Randy Babbitt has been confirmed as FAA Administrator, excise taxes and user fees can be examined a little more closely.

Continue Reading User Fees Continue To Be A Sticking Point To FAA Reauthorization

An article in the March 23, 2009 edition of Aviation Week & Space Technology reports that, because of the decreased demand for air travel and the resulting loss of airport revenues, U.S. airports are seeking to replace lost revenues through non-airline related uses of airport land.  According to AW&ST, almost half of the revenues earned…