GAMA, IAMAW, AAAA, NATA Join Chorus Against Changes In
Accelerated Depreciation, Other Remarks Deemed Disparaging To
GA
The Aviation Trade associations have rapidly responded ... and
in a very negative way ... to remarks made by President Obama
during a news conference Wednesday in which he proposed ending
accelerated depreciation for business aircraft, and took what many
viewed as a swipe at the industry by referring to tax breaks for
"corporate jet owners."
In a joint letter to President Obama, the General Aviation
Manufacturers Association (GAMA) and the International Association
of Machinists and Aerospace Workers (IAMAW) expressed deep concern
over recent comments and actions questioning the value of corporate
aircraft use and proposing tax changes that would negatively impact
the entire general aviation industry.
The letter emphasized that while ill-informed criticism of
corporate jets and business aviation may appear to some as good
politics, the reality is that it hurts one of the leading
manufacturing and export industries in the United States.
This kind of criticism has also led to the layoff of over 20,000
IAM members.
The Administration has renewed its emphasis on strengthening
U.S. manufacturing, so it seems very perplexing that it would
choose to demonize this specific industry as it begins to recover
and return workers to their high-skilled jobs. “The
Administration has a laudable goal of doubling U.S. exports in five
years. How then can President Obama attack a manufacturing
sector that exported over 60 percent of the value of its products
in 2010? General aviation manufacturers can help the
president meet his export goals, but not if this damaging rhetoric
continues,” said GAMA President and CEO, Pete Bunce.
"Words have consequences and, in this industry, a few misguided
words can put at risk even the ever-so-modest recovery we have
experienced. What this industry and its workforce requires is more
time to recover, a chance to book more orders and the opportunity
to recall more workers,” said Tom Buffenbarger, IAM
International President.
The Alliance for Aviation Across America released the following
statement in response to comments made by President Obama about
general aviation at a press conference Wednesday:
“We were deeply disappointed by the President’s
comments today, which not only mischaracterized general aviation
and its importance for our economy, but discussed an increased tax
burden for general aviation operators.
“Contrary to the President’s comments, the truth is
that the vast majority of those who depend on general aviation are
small to mid-sized businesses, charitable groups, medical
providers, law enforcement, flight schools and disaster relief
personnel that use general aviation to better serve customers,
deliver crucially needed goods and services, and reach plants and
far off places. In fact, for thousands of rural communities
around the country, general aviation is a literal lifeline,
allowing local officials to attract business, and retain access to
medical care, resources and services. All told, these
businesses and aircraft support over 1.2 billion jobs and $150
billion in economic impact nationally.
“At such a vulnerable time for our economy, we need to do
everything we can to support these businesses and groups, which
represent a significant segment of our national economy, and serve
as a lifeline to small towns and local economies around the
nation. We will continue to work with the Administration and
Members of Congress to counter these types of mischaracterizations
about general aviation and ensure that we protect these aircraft
and our network of airports.”
National Air Transportation Association (NATA) President and
Chief Executive Officer James K. Coyne, on behalf of NATA's 2,000
member companies, said in a statement he is appalled by President
Barack Obama's attacks on general aviation during a press
conference Wednesday. The president stated that the White House is
going to push to eliminate or scale back a series of tax
deductions, including tax depreciation schedules for general
aviation airplanes, in hopes of raising as much as $400 billion in
new revenue over ten years.
"President Obama has repeatedly degraded the value of general
aviation to our nation's economy. This time, he does so a day
after appearing at an American aircraft manufacturing facility to
promote job growth," Coyne stated. "It is perplexing why the
President continues to bash an industry that is responsible for
thousands of manufacturing, maintenance and service
jobs."
"The President's comments before a national audience could
weaken consumer confidence in general aviation utilization at a
time when economic indicators are demonstrating that the community
is finally starting to recover from the recession. The President
should instead promote the many vital contributions of the general
aviation industry to the U.S. economy," Coyne
concluded.