Airport Investments Discussed in House Transportation and Infrastructure Hearing
Eno Transportation Weekly cited Senior Fellow Marc Scribner’s testimony on infastructure funding.
Compromise arose both in the sense of considering a variety of revenue options available to airports, but also settling the debate about increasing the PFC.
Rep. Donald Payne (D-NJ) asked if there were other ways airports could raise revenue that would have a limited effect on customers. Lopano pointed to landing fees and parking fees, but stated that it is incumbent on those who use the facility to pay their fair share. Scribner indicated that major non-aeronautical revenue sources like parking and car rental fees are facing risks as passengers arrive at airports in different ways, such as in ridehailing vehicles. He stated that PFCs represent a low risk, sustainable source of revenue for airports.
Rep. Rodney Davis (R-IL) pointed to fear that both sides of the PFC debate would get dug in and a solution ultimately would not be achieved. Ms. McGraw stated, “we’re not asking for it to be raised to $8.50, but rather for airports to have the ability to do so if there is need.” She suggested that the consultation process with carriers allows room for them to object to projects they don’t support.
Scribner stated that the bill introduced in the last Congress by Reps. Massie and DeFazio was a start to an effective compromise. This bill would have eliminated the PFC cap and required airports going over $4.50 in PFC fees to return 100% of their AIP funding, in addition to reducing AIP spending authority by $400 million per year.