The U.S. House of Representatives last week approved its version of the FAA Reauthorization and Reform Act of 2011, paving the way for negotiations between the House and Senate and the possibility of a multi-year funding bill for the first time since 2007. The Senate passed its version of the bill in February. Floor debate of the bill is slated to begin on Thursday, assuming it isn’t derailed by the looming government shutdown.
Signs are positive that the two chambers will be able to come to an agreement this year, although there are some differences between the bills. The most apparent is that the House bill would fund the FAA for four years, and the Senate bill would for two. The two versions also differ in the amount of total funding, the government’s approach to the Essential Air Service Program, flights from Ronald Reagan Washington National (DCA) and union issues, among others.
The union issue is considered by many to be the most likely to upset passage of a bill. House Republicans inserted a provision that would make it more difficult for unions to organize airline and railway employees. The proposal targets a new rule approved by the National Mediation Board last year. According to reports, under the new rule, a union could be organized if a majority of the votes cast are in favor of collective bargaining. Previously, it took a majority of a company’s entire work force. That meant employees who didn’t participate in the vote were tallied as “no” votes. The House version of the reauthorization bill requires that a majority of the work force that will be affected must vote in favor of union representation. The Senate bill has no such provision.
The House bill would reauthorize the FAA’s operations and programs for four years, at an overall funding level of $59.7B. It essentially rolls back FAA spending authorization to 2008 levels. That compares to the Senate bill, which proposes $34.6B in funding over two years. Neither bill would allow for an increase in the cap on passenger facility charges, a provision for which airports have been lobbying in recent years.
Upon passage of the bill, House Transportation and Infrastructure Committee Chairman John Mica issued a statement saying that the bill requires FAA to “do more with less” by requiring the FAA to identify savings without compromising safety.
“The bill saves $4B by streamlining and consolidating FAA programs and facilities, increasing the use of cost-effective programs, modernizing our air traffic control system and increasing the role of private sector in facility operations,” Mica said in a statement.
The House bill phases out funding for the EAS program, eliminating all subsidies except in Alaska and Hawaii by 2013. EAS will survive under the Senate version of the bill but eliminate funds to airports located within 90 miles from a larger commercial airport.
One other key point of contention is how to expand the current limits on flights at DCA. According to published reports, the Senate bill would increase the number of daily round-trip flights between and the western U.S. to 28, from 12 daily flights currently, and would increase the number of airlines operating flights at DCA; the House version calls for just five additional flights. The current law allows only 12 flights beyond a perimeter that splits the U.S. into eastern and western segments.
