In The News
House Bill Calls for Nav Canada Type Nonprofit ATC Corporation![]() House Bill Calls for Nav Canada Type Nonprofit ATC Corporation After telegraphing their intent to do so for the past half year, House Transportation & Infrastructure Committee Chair Bill Shuster (R, PA) and Aviation Subcommittee Chair Frank LoBiondo (R, NJ) have introduced their six-year FAA reauthorization bill, including a long section detailing the transformation of the current Air Traffic Organization into a self-supporting nonprofit ATC Corporation. Details of the corporation and the transition process constitute Title II of the Aviation Innovation, Reform, and Reauthorization Act (the AIRR Act), released February 3rd. A hearing to discuss the bill and the ATC Corporation is set for February 10th.
All board members would be required by law to owe a fiduciary duty to the best interests of the ATC Corporation, rather than to the group that appointed them. NBAA and its allies have made a lot of noise claiming that the board would be dominated by "special interests," by which they seem to mean the airlines. But four out of 11 seats is hardly a recipe for domination (and don't expect the pilots' union appointee to be in lockstep with airline interests!) So that argument will now be far less credible. The other hobby horse of the coalition of general and business aviation groups that has questioned corporatization has been the specter of unaffordable ATC user fees. AOPA and NBAA have raised tons of money over the years to protect their members from this menace. But the legs have been cut out from under them by Shuster and LoBiondo, since the bill explicitly exempts both piston GA and "non-commercial" turbine GA from paying any fees, even the very modest flat annual charge that piston GA pilots pay to Nav Canada. Without that to rail against, what substantive argument do the GA groups have left? In terms of stakeholder influence I think the most important development occurred within an hour or so of the bill's unveiling on Feb. 3rd. Controllers' union NATCA released a statement by President Paul Rinaldi endorsing the plan set forth in the bill as good for the country and good for NATCA's membership. Rinaldi, Vice President Trish Gilbert, and other senior officials have been actively engaged in discussions of this subject for the past three years—with the Business Roundtable project, with the Eno Center project, and with Aviation Subcommittee staffers developing the bill. They have also visited Nav Canada, and done their own due diligence about how its transformation, and several others, have worked out for controllers and other employees. NATCA's carefully considered support should help make this subject worth serious consideration by Democrats in Congress—and by the Administration. The introduction of a very good bill is a milestone—but it's still a long way from enactment. We can expect a spirited debate over the next several months. But an idea that was first proposed in the 1970s by Glen A. Gilbert, the "father of air traffic control," is closer to realization than ever before. |