[Congressional Record Volume 148, Number 27 (Tuesday, March 12, 2002)]
[Senate]
[Page S1785]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. INHOFE:
  S. 2007. A bill to provide economic relief to general aviation 
entities that have suffered substantial economic injury as a result of 
the terrorist attacks perpetuated against the United States on 
September 11, 2001; to the Committee on Banking, Housing, and Urban 
Affairs.
  Mr. INHOFE. Madam President, I rise today to introduce the Senate 
companion to HR 3347, the General Aviation Industry Reparations Act of 
2002. This bill directs to the President to provide compensation to 
General Aviation for losses incurred as a result of the terrorist 
attacks on September 11, 2001.
  Many have the misperception that the entire aviation industry was 
eligible for compensation under the Air Transportation Safety and 
Systems Stabilization Act, PL 107-42. However, that act dealt only with 
scheduled airline service. As a consequence General Aviation, a very 
important segment of the aviation industry, has yet to be made whole 
for actions taken by the federal government following the terrorist 
attacks of September 11th.
  The national airspace system re-opened to commercial aviation on 
September 13, 2001. General Aviation was allowed limited Instrument 
Flight Rules, IFR, flights, operating under guidance and direction from 
air traffic controllers, with restrictions on September 14th. The more 
common, Visual Flight Rules, VFR, flights (which cannot be done in 
inclement weather since pilots are not under the guidance of air 
traffic controllers) were grounded until September 19 and then only 
limited flights could operate outside of ``enhanced'' Class B airspace, 
the airspace surrounding the nation's 30 busiest airports. In fact, 
enhanced Class B airspace did not return to the pre-September 11th 
design until December 19th.
  Contrary to what some think, General Aviation is much more than 
weekend recreational pilots. It is made of a hundreds of small business 
people who make their living either servicing general aviation 
aircraft, instructing student pilots, using general aviation aircraft 
to transport people, products and materials or perform various services 
such as report on traffic conditions in congested metropolitan areas, 
check the condition of energy pipelines, crop dusting, banner towing 
and many other uses. The fact is that general aviation performs a very 
important function in our economy beyond recreational flying.
  Working closely with General Aviation groups such as the Aircraft 
Owners and Pilots Association, AOPA, which has worked hard to explain 
the scope of general aviation to members of Congress and how critical 
it is to the nation, I think we have a very balanced package.
  The General Aviation Industry Reparations Act of 2002 would 
compensate General Aviation and their employees for economic injuries 
caused by September 11. As defined by the bill ``general aviation'' 
includes ancillary businesses as well. Thus, parking garages, car 
rental companies or other aviation related business that were not 
covered by PL 107-42 would be eligible for compensation under this 
bill. In addition, the bill extends compensation to employees who were 
laid off due to the slow down of business following September 11 in the 
form of reimbursement for health care costs and it requires businesses 
who accept compensation to provide health care coverage for existing 
employees.
  The bill provides three forms of compensation. Loan Guarantees of $3 
billion from the amount made available for the commercial airlines. 
Grants totaling $2.5 billion and like the commercial aviation industry 
the opportunity to purchase War Risk Insurance with the assistance of 
the Department of Transportation.
  Finally, spending in the bill would be designated as emergency 
spending for scoring purposes. Normally I would oppose such a 
designation but I believe in this instance we have successfully met the 
criteria for an emergency. These benefits are not open ended, 
compensation is only available for losses incurred between September 11 
and December 31, 2001. Not all losses are eligible under the bill, only 
those that can be shown to be a direct result of the government actions 
following September 11. Businesses who choose to take advantage of the 
loan guarantees must demonstrate an ability to pay back the loans and 
the government has the right to benefit from profits made as a result 
of a government backed loan.
  In short, I believe this is a responsible bill and I hope that we 
will be able to fully debate the merits of the package on the floor and 
eventually have a vote on the bill.
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