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Industry demands more support from Obama administration

By Ben Vogel and Chantel Watkins

19 February 2009

The USD787 billion economic stimulus bill signed by President Barack Obama on 17 February 2009 aims to provide significant benefits for airports but industry bodies in the United States remain convinced that more must be done.

The American Recovery and Reinvestment Act will see USD1.1 billion in Airport Improvement Program (AIP) funding and instructs that projects funded by the bill are to be supported by a 100 per cent federal contribution.

It is clear, however, that industry is demanding more than the Obama administration can provide, in the short term, at least.

Airport industry organisations such as the American Association of Airport Executives (AAAE), lobbying through the Airport Legislative Alliance (ALA), are calling for higher levels of funding under the federal government's AIP.

The ALA said it would continue to push for a USD7.50 passenger facility charge (PFC) indexed for inflation and for increased AIP funding as part of FAA reauthorisation, among other efforts. Other aviation lobbyists are calling for a USD7 PFC cap.

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© 2009 Jane's Information Group

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