Thu, Apr 15, 2010
Principato: $2.50 Fee Increase Could Support An Estimated
40,000 Jobs
Airports Council International- North America (ACI-NA) has
reached out to DOT Secretary Ray LaHood asking the Administration
to support the House language in the FAA Reauthorization bill which
increases the ceiling for the Passenger Facility Charge (PFC) from
$4.50 to $7.00.
In the letter sent to Secretary LaHood, ACI-NA President Greg
Principato stated:
"The enactment of the $7.00 PFC in the House FAA Reauthorization
bill will create jobs immediately at airports, construction
companies, building supply companies, and engineering and
architectural firms while improving and building the infrastructure
necessary to meet the future needs of the national air
transportation system."
Principato estimated that 40,000 direct jobs would be created
nationwide if every airport currently at $4.50 adopted the $2.50
increase. These jobs would be in addition to the 80,000 created by
the $4 billion allocated for the Airport Improvement Program (AIP)
provided in both bills.
Principato also shared with the Secretary the coalition letter
signed by 19 aviation, transportation, construction and local
government groups that support the House language raising the
ceiling for the PFC from $4.50 to $7.00.
In the letters sent to House Committee on Transportation and
Infrastructure Chairman James L. Oberstar (D-MN), House Committee
on Transportation and Infrastructure Ranking Member John L. Mica
(R-FL), Senate Committee on Commerce, Science and Transportation
Chairman John D. Rockefeller (D-WV), and Ranking Member Kay Bailey
Hutchison (R-Texas), the coalition stated:
"The need for new airport infrastructure to meet the demands of
future air traffic is substantial and without an increase in this
important funding mechanism airports will not be able to keep up
with demand. Additionally, there are a number of airports that
desperately need to modernize and repair aging infrastructure to
ensure passenger safety and customer service."
The coalition letters cited the ACI-NA 2009 Capital Needs Study
that found that there are $94.3 billion in essential airport
capital projects that need to start between 2009 and 2013-amounting
to $18.9 billion per year in projects.
Although the ceiling on the PFC has remained at $4.50 for the
last ten years, it has not been indexed to inflation. If the PFC
had been indexed to the construction cost of inflation it would be
worth $8.14 today.
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