Senate Approves FY24 DOT/FAA Funding Bill
November 1, 2023
The Senate on November 1 on a 82-15 vote approved a three-bill spending package that includes proposed funding for the Department of Transportation and the Federal Aviation Administration for fiscal year 2024. On the airport front, the measure includes $3.35 billion for AIP and an additional $501 million for supplemental AIP grants, $201 million of which is designated for airport earmarks. Additional details on the Senate bill follow below.
Senate leaders combined three FY24 spending bills into the 'minibus' package approved. In addition to funding for DOT and FAA, the measure includes resources for the Departments of Housing and Urban Development; Veterans Affairs; and Agriculture as well as for military construction and the Food and Drug Administration. This action marks the first three FY24 appropriations bills that the Senate has cleared out of 12.
By contrast, the House is considering appropriations bills individually and has approved five of the 12 annual funding measures to date. House leaders have scheduled action on two additional spending bills, including the FY24 DOT/FAA spending bill, which was approved by the House Appropriations Committee in mid-July. Ultimately differences between the Senate and House DOT/FAA funding measures will need to be reconciled as part of a final spending agreement.
Because Congress has failed to enact any of the 12 annual funding bills to date, the federal government is operating under the terms of a continuing resolution that provides funding through November 17. Congress will need to pass another continuing resolution before the November 17 deadline to avoid a government shutdown.
Notable DOT and FAA funding items included in the three-bill package approved this afternoon by the Senate, include:
FAA Funding
Operations: The Senate bill includes more than $12.7 billion for FAA operations - $11 million more than the House bill. Of that amount, $93.6 million is designated for the FAA to hire 1,800 new air traffic controllers.
FAA Facilities and Equipment: The Senate measure includes $3.4 billion for FAA facilities and equipment, $456 million more than the House version of the bill.
Research, Engineering, and Development: The Senate bill also includes $260 million for research, engineering, and development - approximately $64 million more than the House bill.
Airport Infrastructure Funding
AIP Funding: The Senate bill includes $3.35 billion for the traditional AIP account in FY24 - the same as the current funding level. Of that amount, approximately $157.5 million is designated for administration expenses, $15 million is for the Airport Cooperative Research Program, slightly more than $41.8 million is for Airport Technology Research, and $10 million is for the Small Community Air Service Development Program.
Congressional Earmarks: Approximately $201 million of the $501 million in supplemental funding provided by the Senate bill would be reserved for Congressional earmarks, which are officially known as 'Congressionally Directed Spending' requests in the Senate. The airport projects and other earmarks funded in the bill may be viewed here.
During consideration of the minibus the week prior, the Senate rejected an amendment offered by Senator Mike Braun (R-IN) that would have banned congressional earmarks. The proposal was defeated by a vote of 35 to 62.
Supplemental AIP Funding: The Senate bill includes $300 million from the general fund for supplemental AIP discretionary grants. The report accompanying the bill directs the FAA to use not less than $25 million of that amount for ZEV and VALE projects at any commercial service airport. The committee notes that it 'expects the FAA to actively engage with airport sponsors at major hubs to identify projects suitable for the VALE program, such as energy efficiency, energy resiliency, and renewable energy projects that would help prevent power disruptions or outages.'
Small Community Programs
Contract Tower Program: The Senate-passed bill includes $194 million for the FAA Contract Tower Program - $6.2 million more than current funding. That record level would help fund all 262 contract towers currently in the program and allow the FAA to add other airports to the program during the next fiscal year.
Contract Tower Realignment: The report accompanying the bill raises questions about the FAA's plans to realign the FCT service areas. It states, 'The committee is aware of concerns about the FAA's efforts to realign and expand the number of FAA contract tower service areas. The committee expects the FAA to respond to inquiries from Congress about the rationale for this proposal, its impact on controllers, and the impact on the risk to the NAS as a result of this change.' The committee 'also expects the FAA to respond to all Congressional inquiries about this matter within 30 days of enactment of this act. The committee directs the FAA to provide a briefing on the FAA's plans regarding the realignment within 45 days of enactment of this act.'
Essential Air Service: The Senate bill includes $348.6 million in discretionary funding for the Essential Air Service Program - the same as the administration's budget request and the amount included in the House bill. Coupled with an estimated $154.1 million from overflight fees, the overall funding level for EAS would rise to almost $503 million in FY24.
Small Community Air Service Development: It also includes $10 million for the Small Community Air Service Development Program. This is the same amount that Congress approved for the program in FY23. The report notes that lawmakers expect DOT to prioritize SCASDP grants to communities that lost service due to the COVID-19 pandemic.
Other
Cost Free Space: The Senate bill retains a AAAE-backed proposal that would continue to prohibit the FAA from requiring airports to provide space free of charge in airport-owned buildings.
Airport Cooperative Research Program: As mentioned above, the draft bill includes $15 million in AIP funding for the Airport Cooperative Research Program.
Contract Weather Observers: The bill would continue to block the FAA from eliminating the Contact Weather Observers program at any airport.
Transition Plan to Fluorine-Free Firefighting Foam: The Senate report directs the FAA to 'develop a transition plan for part 139 airports to use the new military specification (MIL-SPEC) for firefighting foam, including for any supplemental equipment needed to utilize these products.' It also directs the agency to 'use AIP funds to help airports transition to PFAS-free authorized firefighting agents.' And it calls on the FAA to 'work with the EPA, DOD, industry, and academic institutions to find innovative solutions to safely contain or destroy existing PFAS chemicals at airports, such as through plasma gasification.'
Additional Resources
· A copy of the Senate bill is here.
· A copy of the report accompanying the Senate bill is here.
· A link to congressionally directed spending, including airport earmarks is here.