Transportation

Aviation Reauthorization

Issue
The Federal Aviation Administration (FAA) estimates that commercial passenger air travel will grow from the current level of nearly 800 million trips per year to more than one billion trips by 2015. Before long, the U.S. will reach a crisis in available airport and runway capacity unless something is done.

The Airports Council International-North America issued a capital needs survey in May of 2007 which estimates that airport capital development needs will total $87.4 billion for 2007-2011 (an annual average of $17.5 billion). Unfortunately, funding for the aviation system has chronically fallen short of the level needed to prepare for the added passengers and combat the current epidemic of flight delays. Over the years, more and more funding has been diverted from airport infrastructure to growing FAA operational costs. At the same time, revenue into the Aviation Trust Fund has been declining due to lower ticket prices, and the balance in the Aviation Trust Fund is dropping closer to insolvency.

ACEC strongly supported the $1.5 billion in additional airport improvement funding in the American Recovery and Reinvestment Act, but much more needs to be done. The current aviation authorization legislation, Vision 100, expired in September 2007. Congress has since passed a series of temporary extensions that continue current funding mechanisms. The reauthorization of FAA programs and funding authority is essential as Congress must provide additional funding for these critically important enhancements to the aviation system.

ACEC Position
ACEC strongly encourages the Administration and Congress to work together to reauthorize Vision 100 by identifying and considering new federal revenue mechanisms that will provide stable funding for aviation improvements. Along with providing the necessary increases in Airport Improvement Program (AIP) funding, ACEC supports increasing the cap on Passenger Facility Charges (PFC s) as a means of providing airports with the tools to meet their capital investment needs. Congress should enhance the project delivery process through the use of Qualifications-Based Selection (QBS) for both AIP and PFC -funded projects. Congress should also examine reforms that will improve the environmental review process for airport projects. ACEC strongly supports the immediate passage of reauthorization legislation without any further extensions.