Washington Wire - 1999-05-17
<B> Washington Wire</B>
By Barbara Cook, Washington Correspondent
<B>FAA, NTCA Limit Fam Trips</B>
The Federal Aviation Administration and the National Air Traffic Controllers Association have agreed to new limits on free familiarization travel, long a perk of air traffic controllers. The U.S. Department of Transportation's Inspector General last year told FAA that the fam program was too loosely structured to meet prohibitions on federal workers accepting gifts or using public office for private gain. The controller fam trips now must be proposed in writing, be approved by a supervisor and meet certain training objectives. The free travel--usually in the jump seat of an airplane's cockpit--will be limited to six trips annually, down from nine under the previous program. No more than two trips can be made to the same airport, down from eight, and only one may be to an international destination.
<a name="2"><B>Federal Budget Reductions Look At Air Industry</B>
The Congressional Budget Office has compiled a list of 250 specific policy options for reducing federal spending or increasing revenue, some of which target airport and aviation funding. Prepared at the request of the House and Senate budget committees, the report offers arguments for and against each option.
The CBO does not take a position on any of the options. Aviation options considered by the CBO as ways to increase revenue or reduce federal spending, as well as arguments for and against these options, included: eliminating Airport Improvement Program grants to large and medium-size hub airports, which the CBO estimated would save $7.2 billion during the 2000-2009 period; eliminating the Essential Air Service program, which currently subsidizes air service to 114 U.S. communities, to save $480 million from 2000 to 2009; establishing marginal cost-based fees for air traffic control services, to raise $2 billion annually; levying an annual fee on use of slots at New York's JFK and LaGuardia, Chicago O'Hare and Reagan Washington National, which could bring in $500 million annually, depending on the exact price per slot; and increasing user fees for FAA certificates and registrations, which could raise $4 million annually.
<a name="3"><B>Bill Seeks Congressional Approval Of All Bilaterals</B>
Ranking democrat on the House aviation subcommittee William Lipinski (D-Ill.) has sponsored the Aviation Bilateral Accountability Act of 1999, which would mandate congressional approval of all aviation bilateral agreements. In offering the legislation, Lipinski noted that a number of companies have criticized the new agreement with China. "Aviation agreements have tremendous long-term impacts on U.S. carriers, U.S. cities, U.S. consumers and the U.S. economy," Lipinski said. "In effect, these agreements are the trade agreements that determine the amount of access the U.S. will have to particular foreign markets. Congress should not be excluded from agreements of such magnitude."
<a name="4"><B>DOT Denies Virgin slots In Chicago</B>
The U.S. Department of Transportation recently denied Virgin Atlantic Airways' application for slots between Chicago O'Hare and London Heathrow. The carrier had proposed to begin the service Aug. 11. The Transportation Department noted that Virgin filed late for the 1999 summer season, adding that the department has "strictly applied this requirement in past orders dealing with foreign carrier slot exemption requests at O'Hare. The fact that Virgin did not obtain a formal designation for this route from its own government in time for it to seek O'Hare slots for the current season is not grounds for us to deviate from our procedural requirements."
<a name="5"><B>U.S. To Look Closely At Global Y2K Reports</B>
The U.S. Department of Transportation's deputy secretary Mortimer Downey said the United States will take a close look at Y2K readiness reports scheduled to be submitted to the International Civil Aviation Organization on July 1.
"While we recognize that nations are providing self-assessments, those countries that provide solid reports will be far better perceived that those who offer no status information," Downey said. He noted that FAA does not certify or review the safety of foreign airports or air traffic control providers, adding that DOT "will not be providing any Y2K certification of domestic or international air carriers, airports or systems other than its own.