[Congressional Record Volume 153, Number 106 (Thursday, June 28, 2007)]
[Extensions of Remarks]
[Pages E1437-E1438]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       INTRODUCING H.R. 2881, THE FAA REAUTHORIZATION ACT OF 2007

                                 ______
                                 

                         HON. JAMES L. OBERSTAR

                              of minnesota

                    in the house of representatives

                        Wednesday, June 27, 2007

  Mr. OBERSTAR. Madam Speaker, I rise to introduce H.R. 2881, the ``FAA 
Reauthorization Act of 2007'', a bill that provides historic funding 
levels for the Federal Aviation Administration's (``FAA'') capital 
Programs. Between fiscal year 2008 and fiscal year 2011, the bill 
provides $15.8 billion for the Airport Improvement Program (``AIP''), 
and nearly $13 billion for FAA Facilities & Equipment (``F&E''). These 
robust funding levels will enable the FAA to modernize our air traffic 
control (``ATC'') system and make capacity enhancing improvements at 
our nation's airports. In addition, the FAA Reauthorization Act of 2007 
also provides $37.2 billion--one-half billion more than the FAA's 
recommendation--for FAA Operations over the next four years.


                           ATC Modernization

  Modernizing our air transportation system is a national priority. The 
FAA forecasts that airlines are expected to carry more than one billion 
passengers by 2015, increasing from approximately 740 million in 2006. 
The Department of Transportation (``DOT'') predicts up to a tripling of 
passengers, operations and cargo by 2025. The FAA Reauthorization Act 
of 2007 applies a four-part approach to ATC modernization and the Next 
Generation Air Transportation System (NextGen), including more funding, 
authority, accountability, and oversight.
  The historic funding levels authorized for the FAA's F&E account 
will: accelerate the implementation of NextGen; enable FAA to replace 
and repair existing facilities and equipment; and provide for the 
development and implementation of high-priority safety-related systems.
  To increase the authority and visibility of the Joint Planning and 
Development Office (``JPDO''), which provides the plan for NextGen, the 
FAA Reauthorization Act of 2007 elevates the Director of the JPDO to 
the status of Associate Administrator for NextGen within the FAA. It 
also mandates that the JPDO develop a work plan that details, on a 
year-by-year basis, specific NextGen-related deliverables for the FAA 
and its partner agencies, and requires the Secretary of Transportation 
to report on the plan's progress each year. The FAA Reauthorization Act 
of 2007 contains provisions to hold the FAA's vendors accountable for 
providing safe, quality services to consumers and to protect the 
Government's interest in major NextGen-related acquisitions.
  The FAA's ATC modernization program has historically experienced 
massive cost overruns and delays. The FAA Reauthorization Act of 2007 
authorizes Government Accountability Office (``GAO''), Department of 
Transportation Inspector General (``DOT IG'') and National Research 
Council audits and reports related to NextGen that will help Congress 
exercise its oversight responsibilities.


                               Financing

  Due to the projected growth of Airport and Airway Trust Fund (``Trust 
Fund'') revenue, I do not believe radical financing reform is 
necessary. I am recommending to the Committee on Ways and Means that 
the general aviation jet fuel tax rate be adjusted for inflation from 
21.8 cents per gallon to 30.7 cents per gallon, and that the aviation 
gasoline tax rate be increased from 19.3 cents per gallon to 24.1 cents 
per gallon. I believe that the forecasted growth of Trust Fund 
revenues, coupled with additional revenue from the recommended general 
aviation fuel tax rate increases, will be sufficient to provide for the 
robust capital funding required to modernize the ATC system, as well as 
to stabilize and strengthen the Trust Fund.


                            Airport Funding

  Madam Speaker, in June, DOT reported that only 72.5 percent of 
domestic flights by the United States' 20 largest airlines arrived on-
time in January, February, March, and April--the worst showing for 
those four months since DOT began reporting on-time performance in 
1995. This is unacceptable. Robust investment in airport infrastructure 
is necessary to enhance capacity and combat delays.
  According to the FAA, the majority of air traffic delays at the top 
35 airports, which account for 73 percent of passenger enplanements, 
can be traced to inadequate throughput. To quote the FAA: ``The 
construction of new runways and runway extensions are the most 
effective method of increasing throughput.''
  The FAA's 2007-2011 National Plan of Integrated Airport Systems 
(``NPIAS'') states that during the next five years, there will be $41.2 
billion of AlP-eligible infrastructure development, an annual average 
of $8.2 billion. This $41.2 billion includes approximately $18 billion 
in runway-related needs, including new runway, taxiway and apron 
construction. However, in March 2007, the FAA testified that the 
current NPIAS report may understate the true cost of needed capital 
investment, as sharp increases in construction costs occurring in the 
last half of 2006 were not fully reflected. The 2007-2011 Airports 
Council International--North America Capital Needs Survey estimates 
total airport capital needs--including the cost of non-AIP-eligible 
projects--to be about $87.4 billion or $17.5 billion per year from 2007 
through 2011.
  In March 2007, the American Association of Airport Executives 
testified that according to the January 1, 2007 Means Construction Cost 
Indexes, the average construction costs for 30 major U.S. cities have 
risen more than 24 percent in the past three years--at an average 
annual rate of more than 7.5 percent.

[[Page E1438]]

  To combat inflation and to help airports meet increased capital 
needs, the FAA Reauthorization Act of 2007 would increase the Passenger 
Facility Charge (``PFC'') cap from $4.50 to $7.00. According to FAA, if 
every airport currently collecting a $4.00 or $4.50 PFC raised its PFC 
to $7.00, it would generate approximately $1.1 billion in additional 
revenue for airport development each year. H.R. 2881 also provides 
significant increases in AlP funding for smaller airports, which are 
particularly reliant on AlP for capital financing.


                           Small Communities

  The FAA Reauthorization Act of 2007 rejects the Administration's 
proposal to cut funding for the Essential Air Service (``EAS'') program 
by more than one-half, to $50 million, and instead increases the total 
amount authorized for EAS each year from $127 million to $133 million 
(including $50 million derived from overflight fees).
  To improve the quality of air service received by EAS communities, 
the bill authorizes the Secretary to incorporate financial incentives 
into EAS contracts based on specified performance goals. In addition, 
to encourage increased air carrier participation in the EAS program, 
the bill authorizes the Secretary of Transportation to enter into long-
term EAS contracts that would provide more stability for participating 
air carriers.
  In contrast to the Administration's proposal to sunset the Small 
Community Air Service Development program on September 30, 2008, the 
bill extends the Small Community program through FY 2011, at the 
current authorized funding level of $35 million per year.


                              Environment

  Being ever mindful of the obstacles that the United States still 
faces in trying to expand our airport capacity through infrastructure 
improvements, and balancing the needs of airport neighborhoods, the FAA 
Reauthorization Act of 2007 contains several environmental-related 
provisions, including a phase out of noisy stage 2 aircraft over the 
next five years; a pilot program for the development, maturing and 
certification of continuous lower energy, emissions and noise engine 
and airframe technology; as well as a program to fund six projects at 
public-use airports to take promising environmental research concepts 
into the actual airport environment to demonstrate the reduction or 
mitigation of aviation impacts on noise, air quality or water quality 
in the airport environment. In addition, the FAA is directed in this 
bill to establish a pilot program at five public-use airports to 
design, develop, and test new air traffic flow management technologies 
to better manage the flow of aircraft on the ground and reduce ground 
holds and idling times for aircraft with the goal of reducing emissions 
and increase fuel savings.


                                 Safety

  As to safety, the bill authorizes $570 million over four years to 
increase the number of aviation safety inspectors by more than one-
third. The bill also provides robust funding to address runway safety 
issues, including $42 million over four years for runway incursion 
reduction programs; $74 million over four years for runway status light 
acquisition and installation, as well as requires FAA to report to 
Congress on a plan for the installation and deployment of systems to 
alert controllers or flight crews to potential runway incursions. In 
addition, the bill would require twice a year inspections of foreign 
repair stations. The very serious issue of flight crew fatigue is 
addressed in the bill by requiring the FAA to contract with the 
National Academy of Sciences to conduct a study on pilot fatigue, and 
then to consider the findings of the academy and update, where 
appropriate, its regulations with regard to flight time limitations and 
rest requirements for pilots. Importantly, H.R. 2881 also directs the 
FAA to initiate long-overdue action to ensure crewmember safety by 
applying occupational health standards onboard aircraft.
  Finally, two very important issues will be considered during the 
Committee markup as amendments to the bill: the first will address the 
ongoing dispute between the National Air Traffic Controllers 
Association (``NATCA'') and the FAA over failed contract negotiations 
by establishing a new dispute resolution procedure and requiring the 
parties to go back to the negotiating table; the second will address 
the disparate treatment of employees of express delivery companies 
under our nation's labor laws. Adoption of these amendments will go a 
long way toward restoring collective bargaining rights to this critical 
workforce.
  Madam Speaker, this is a bill that will keep our skies safe and our 
passengers moving well into the future.

                          ____________________