27 April 2018 House Passes FAA Reauthorization & Disaster Recovery Reform Bill The House on April 27, 2018, overwhelmingly approved (393-13) H.R. 4, which provides for a five-year reauthorization of Federal Aviation Administration (FAA) programs and also extends aviation taxes through fiscal year 2023. The legislation also incorporates the Disaster Recovery Reform Act, which includes provisions from bills addressing Federal Emergency Management Agency (FEMA) issues that were previously approved by the Committee on Transportation and Infrastructure. The FAA is currently operating under an extension of existing authority that expires on September 30, 2018. This is the fifth extension of the last long-term FAA law, which was enacted on February 14, 2012, after Congress labored through 23 short-term extensions. Prior efforts to bring FAA reauthorization legislation — which was narrowly approved by the Transportation Committee in June 2017 — to the floor had been stymied by controversy regarding a reform championed by Chairman Bill Shuster (R-PA) that would have transferred the FAA's Air Traffic Control System to private management. Although supported by House Republican leadership and endorsed by the Trump Administration, the Shuster divestiture proposal was strongly opposed by House Democrats and had only tepid support in the Senate. In February 2018, Chairman Shuster announced that he was dropping the air traffic control privatization measure, thus clearing the path to the current bipartisan version of H.R. 4, which was endorsed by every chair and ranking member of the committee. After a dispute between Chairman Shuster and Ranking Member Peter DeFazio (D-OR) over certain provisions in the manager's amendment was resolved at the Rules Committee, floor consideration of H.R. 4 was largely without drama and the majority of amendments were adopted by voice vote. A non-aviation related provision concerning pre-emption of state requirements for truckers was narrowly adopted but seven other amendments dealing with issues ranging from airport noise to Davis-Bacon wage requirements failed by recorded votes. On April 26, 2018, Speaker Paul Ryan (R-WI) endorsed the FAA reauthorization bill as a component of the effort to upgrade the nation's infrastructure, building upon $21.2 billion in new funding for infrastructure improvements in the recently enacted FY 2018 omnibus appropriations bill. The Speaker indicated that he supported H.R. 4 because the legislation: 1) bolsters aviation infrastructure via long-term, stable funding; 2) restores competitiveness for the US aviation industry by implementing reforms to FAA certification; 3) enhances the flight experience and safety for travelers by increasing transparency and improved training programs for workers; 4) strengthens disaster relief by reforming federal disaster programs and bolsters resources for disaster mitigation; and, 5) integrates unmanned aircraft into the National Airspace System. Title VIII of H.R. 4 extends general expenditure authority for the Airport and Airway Trust Fund and also extends existing aviation taxes supporting the trust fund, including fuel and transportation taxes, for the duration of the legislation through September 30, 2023. Because the tax provisions qualify H.R. 4 as a "revenue measure," the legislation is potentially a vehicle for further tax-related amendments when considered by the US Senate. Senate Commerce, Science, and Transportation Committee Chairman John Thune (R-SD) is the primary author of S. 1405, FAA reauthorization legislation, which was approved by the committee in June 2017 but has not been considered by the full Senate. Timing for Senate consideration in the wake of the House's passage of H.R. 4 is not yet clear although the deadline for either a short-term extension or enactment of long-term reauthorization legislation is September 30. With the looming September deadline, FAA is one of the handful of 2018 "must do" legislative agenda items for Congress. Moreover, as a revenue measure, FAA legislation could serve as vehicle for other tax provisions, such as amendments to the Tax Cuts and Jobs Act or an "extenders" package addressing expired tax credits that were retroactively extended only for 2017 by the February 2018 Budget Agreement. "It's a magnet. It's always a target because it's got a tax title," said Chairman Thune, who also told Bloomberg on April 17 that he would prefer a clean bill. In a separate interview on April 13, Senator Thune alluded to Democratic Leader Chuck Schumer (D-NY) favoring another short-term FAA extension until after the 2018 elections but Senator Schumer has not publicly confirmed that is his intent.
Document ID: 2018-0913 | |||||
