Resources for Federal Aviation Reform

For several years, the Competitive Enterprise Institute has promoted productive reform of the Federal Aviation Administration. Undoubtedly, the United States’ aviation system needs deep, institutional overhaul. The U.S. is the last developed country in the world to have its air traffic control provided by a national aviation regulator. Domestic travel is hampered by unnecessary regulations and inefficiencies that cause delays and cancellations. Furthermore, the FAA is charged with regulating itself, raising serious conflict-of-interest concerns.

There is reason to believe that we are on the verge of monumental aviation reform. The Trump administration has promoted the restructuring of the FAA and shifting air traffic control to a non-profit user co-op. Department of Transportation Secretary Elaine Chao recently spoke on the need to modernize air traffic control at the CEI Annual Dinner. The House of Representative is poised to vote soon on H.R. 2997, The 21^st Century Aviation Innovation, Reform, and Reauthorization (21^st Century AIRR) Act, which CEI strongly supports. The Senate Commerce, Science, and Transportation Committee recently passed S. 1405, the FAA Reauthorization Act.

CEI Senior Fellow Marc Scribner has closely investigated the ways in which we can make our aviation system more efficient. Following are links to some of CEI’s key research, analysis, and letters of support on these very important issues.

Aviation sector reform

• How de-regulation and enhanced competition will lead to better service from airlines.
• How the problems facing the FAA are, by nature, structural and cannot simply be solved with more funding or regulations.
• How the aviation industry, dominated by special interests, has been ruined by airlines, their unions, and their politicians.

Air traffic control (ATC) reform

• The 21^st Century AIRR Act will promote efficient modernization of ATC.
• Six myths about ATC reform and labor relations.
• FAQ about ATC reform.
• How mismanagement by the FAA and Congress has created an unsustainable aviation system and makes deviation from the government-run status quo a “no-brainer.”
• Marc Scribner joins the Larry O’Connor show on WMAL to discuss how Trump’s plan to shift ATC to a non-profit user co-op would help modernize our aviation system.

Coalitions supporting aviation reform

• An open letter to Congress urging the modernization of ATC.
• CEI-led coalition letter sent to the Senate Commerce, Science, and Transportation Committee supporting the removal of the Passenger Facility Charge (PFC) cap.
• Coalition letter sent to the House Transportation and Infrastructure Committee supporting the removal of the PFC cap.
• CEI-led coalition letter sent to the House Transportation and Infrastructure Committee in support of Rebuilding America’s Airports Infrastructure Act (H.R. 1265).
• Open letter to Congress urging the modernization of ATC.
• Coalition letter sent to the House Transportation and Infrastructure Committee promoting the modernization of ATC.

Passenger facility charge (PFC) reform

• Uncapping the outdated $4.50 per passenger PFC will allow competitive airport financing, instead of funding airports with federal grants through the Airport Improvement Program (AIP).
• The PFC is not an airport tax, but rather a user fee.