FAA Shutdown: Congress Fails to Pass Agency’s Funding
FAA Shutdown Puts Thousands Out of Work
By Karen Di Piazza / July 23, 2011
Thanks to another Congressional debacle—failure to pass Federal Aviation Administration funding by midnight on Friday—the FAA partial shutdown begins today resulting in roughly 4,000 furloughed employees. Air traffic controllers will keep their jobs as they’re considered essential personnel. What must the rest of world think when they hear of our FAA shutdown?
FAA Shutdown and Dwindling Piggybank
However, the FAA’s piggybank is dwindling; if a new short-term extension isn’t passed, and soon, the agency foresees by mid-August it would have no choice but to cut air traffic support. And, unfortunate for aerospace manufacturers—an industry hard-hit by the recession—certification of new products will be left on the back burner. This will trickle down to air charter companies, as new certified aircraft creates jobs and provides consumers with more options for private air travel. Can we really afford an FAA shutdown?
Airport construction projects are also at a halt, as are the paychecks of those working on projects. Transportation Secretary Ray LaHood stated that this amounts to roughly $600 million in airport improvement projects at a standstill. Thursday, prior to the shutdown, LaHood and FAA Administrator Randy Babbitt asked Congress to pass a “clean” short-term extension to fund the FAA.
The Surprise EAS Provision
A clean, 21st reauthorization extension to fund current FAA programs through September 16 was expected to take motion before funding expired at midnight on July 22. But just days before the shutdown House Republicans added a controversial provision to the bill: cuts to the Essential Air Service (EAS) program. Thirteen rural communities located 90 or more miles away from a commercial airport hub were slated for elimination. The EAS program subsidizes unprofitable commercial air service at hundreds of rural airports. According to various lawmakers, if the extension were to have passed with EAS cuts, it would have also prevented the opportunity for public comment.
During the shutdown the government doesn’t have authority to collect passenger excise ticket taxes from airlines—roughly $200 million per week that’s paid for by airline consumers. Taxes collected go into the Airport and Airway Trust Fund, which in part funds FAA programs and pays employees.
Since 2007—when the last long-term FAA reauthorization expired—Congress has passed 20 short-term extensions. In February the Senate passed a two-year FAA reauthorization and in April the House of Representatives passed a four-year bill. Meanwhile, the Senate awaits the House to appoint conferees for final legislation.
Garrett Stone
Because the Republican House at the last moment submitted a lame EAS provision in order to fund FAA, it tells me the Republican-controlled House doesn’t care if we have the most updated air traffic system; funding “NextGen” (moving to a GPS-based air traffic system and away from an old ground-based radar system). All funding for NextGen or any airport improvement programs and grants are also stopped, not to mention thousands of Americans who just lost their jobs; these people have families to feed, too. Private aviation needs those airport improvement programs; business jets (or whatever category you want to call it) should be able to land on good strips and maintenance should be done 100% of the time at all airports, not stopped. I seriously wonder if most people realize how important the general aviation segment is; it includes everything outside of airline service, and don’t even get me going on the airlines and their lousy service to the public. The general aviation industry creates millions of dollars to our economy. Does this Republican House want to jeopardize general aviation too?
Bob Warden
A business associate sent me a tweet regarding Air Royale current empty legs, which is how I found this blog and came to read this article. I frequently charter aircraft for business and it’s incomprehensible House Republicans at any cost to Americans have chosen to take away about 100,000 jobs from people who haven’t done anything wrong. I wish the American public would stand as one and tell these numskulls they’re mad as hell and ain’t gonna take it anymore. What’s happened to our voice? Americans are the employer of government and their report card is F! The FAA must be funded asap without EAS strings attached. It’s appalling to watch a Republican-controlled House get away with this and take food off the table for hundreds of thousands of Americans. It will also be interesting to see if for the first time the United States “defaults.” Will Congress walk or play ball before Aug. 3, before it’s too late? For over a decade Congress has stalled or shut down critical programs, but all of this is too much. BTW: I found in order to click a +1 it forces you to create a Google profile account and I didn’t want to do that, but I took the trouble (and time) so I could let it be known I liked this article and others.