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               Researh Sevice






Short-Term FAA Extension in Place, but

Legislative Debate Continues



Updated December 18, 2017
Both the House Committee on Transportation and Infrastructure and the Senate Committee on
Commerce, Science, and Transportation acted favorably on bills to reauthorize the Federal Aviation
Administration (FAA) and other aviation programs in June 2017. The two bills, H.R. 2997 and S. 1405,
have significant differences, many of them related to provisions in the House bill that would create a not-
for-profit private corporation to take over responsibility for running the national air traffic control system.
The Senate bill contains no similar provisions, and the passage of long-term legislation will likely depend
on whether both chambers can agree on an issue that they were unable to bridge last year. Disagreement
on air traffic control reforms in the 114th Congress led to a one-year aviation extension (P.L. 114-190) that
expired at the end ofFY2017. A subsequent six-month extension (P.L. 115-63) is to expire at the end of
March 2018.
Whereas S. 1405 would fund FAA programs through FY202 1, H.R. 2997 would extend funding through
FY2023 (see Table 1). Since the House committee bill provides that the proposed corporation would take
over air traffic services starting in FY202 1, it would eliminate all Airport and Airway Trust Fund (AATF)
financing for FAA operations and air traffic facilities and equipment beyond FY2020. Consequently, taxes
on airline tickets, cargo, and commercial fuel would be reduced by roughly 80% starting in FY2020.
These temporary tax reductions would expire after FY2023, and would therefore need to be revisited in
subsequent FAA reauthorization debate. AATF funding of facilities and equipment not directly tied to air
traffic functions and general fund financing of aviation safety programs would continue through FY2023
under the House bill.

                    Table I. FAA MajorAccount Funding Authorization
                                     (in millions of dollars)
                            FY2018    FY2019    FY2020     FY2021    FY2022    FY2023
      Operations
      HR. 2997                10,132     10,349    10,571     1,957     2,002     2,047




                                                               Congressional Research Service
                                                                 https://crsreports.congress.gov
                                                                                     IN10795

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