On April 27, by a bipartisan vote of 393-13, the House approved HR 4, a five-year reauthorization of Federal Aviation Administration (FAA) programs which includes airport infrastructure improvement funding totaling $25.4 billion—a $5.3 billion increase compared to existing levels—over the next five years as part of the multi-year Federal Aviation Administration (FAA) reauthorization bill. The infrastructure funds would come through the Airport Improvement Program (AIP), which helps finance runway construction, among other critical airport construction projects. The additional $5.3 billion is part of an AGC-backed amendment to the FAA bill introduced by House Transportation and Infrastructure Committee Chairman Bill Shuster (R-Penn.).
Unfortunately—and over AGC’s objections—the House did not consider increasing or eliminating the cap on the Passenger Facility Charge (PFC). The PFC is a user fee charged to airline travelers that generates revenue for airport capital improvement projects. That user fee has been capped at $4.50 per enplanement since 2000. AGC urged that an amendment offered by Rep. Peter DeFazio (D-Ore.) and Rep. Massie (R-Ky.) to remove the cap be brought up for consideration, but the amendment was not approved.
The Senate has not yet indicated when it plans to consider its version of the FAA reauthorization bill, which passed the Senate Commerce Committee last June. The Senate bill includes AGC-supported language that increases the Disadvantaged Business Enterprise (DBE) size standard for the AIP program, while also ensuring that there is one size standard for all businesses participating in the AIP DBE program. AGC will continue to work with Congress to ensure that the final FAA bill addresses the construction industry’s priorities.
For more information, contact Brian Deery at deeryb@agc.org or (703) 837-5319.