Reauthorization Called A 'Death Blow' For Small Communities

For many residents of Alaska, there is nothing "recreational" about small aircraft -- those planes represent the very lifeblood of many communities, which rely on regular air runs to bring in needed supplies. So, it is not surprising the mayor of one of those villages is passionately opposed to the fees proposed by the FAA Reauthorization Plan, and Senate Bill 1300.

"Proposed (tax) increases to aviation fuel, which is already $7 a gallon, and a proposed segment fee of $25 is going to kill the rural economy in the villages," Dan Kleas told the Alaska Journal of Commerce. Kleas owns a regional air service, and is also the mayor of Bettles, a community of less that 50 residents above the Arctic Circle.

Needless to say, Bettles doesn't see regular airline service; in fact, it isn't even on the public road network. The tiny village relies exclusively on general aviation aircraft as its connection to the outside world.

"While the FAA plan is the grimmest of all alternatives, I don't support the Senate bill either," the mayor says. As ANN reported, the Senate's proposed funding plan for the FAA drops user fees for small, piston-engine aircraft... but hits turbine aircraft users with a $25 per-trip fee.

A Senate amendment to ax that surcharge failed last week by one vote... with Alaskan senator Ted Stevens casting the tiebreaking vote in support of the segment fee.

"When everything you have and everything you need is dependent on airplanes and the aviation industry, this will kill us," Kleas adds. "If you want to take a family of four to Fairbanks to go to the dentist, it costs $1,400, now add a $25 segment fee for dropping them off at the dentist, and then another for picking them up and the price just keeps skyrocketing up."

Kleas also notes the fees would impact Bettles' tourism-fueled economy... as pricier flights will mean fewer people willing to make the trip up North.

Roger Cohen of the Regional Airline Association tells the Alaskan newspaper if the FAA's plan is implemented, user fees collected from Alaskan pilots and residents would amount to $9.4 million annually -- by far the highest of any other state in the US.

Such user fees are opposed by GA organizations such as the Aircraft Owners and Pilots Association, and the National Business Aviation Association. The Alliance for Aviation Across America -- a "catch-all" coalition of groups opposed to user fees, including representatives from smaller communities in the lower 48 states -- formed in April to present a united front of protest to the FAA's funding scheme.

Although the Senate funding plan would do away with many of the fees to be imposed on pilots of smaller aircraft, the groups remained opposed to ALL user fees -- saying just one fee leaves the door open for more down the line. Also of concern is that Congress would lose much of its current oversight authority of the FAA under the funding plan.

Alaskan business owners are worried about the impact new fees would have on their businesses, as well. Many rely on small aircraft to travel throughout "The Last Frontier."

"This is going to be like the IRS calling you up and saying you owe us thousands of dollars, pay up," said Ron Duncan, president and CEO of General Communications Inc. "Besides anyone can use our aircraft information and charge you for their flights, this is going to be an administrative nightmare."

The Journal of Commerce states Duncan's business operates several aircraft, including a  Turbo Otter, used to travel between its 22 statewide offices. The company also retains a business jet to travel to and from Washington, DC.

Duncan sees little need for additional fees, saying the FAA should rely on the tried-and-true fuel tax system already in place for additional funding. While he's not a fan of a higher fuel tax, Duncan does say it would be a fairer way to collect from all pilots.

"They should just keep the fuel taxation system the way it is currently calculated, we are not so much opposed to a fuel tax," he said.

FMI: www.faa.gov, www.aviationacrossamerica.org, www.bettleslodge.com/airservice/