Airport Alert: House Appropriations Committee Clears FY21 DOT Spending Bill

July 14, 2020

The House Appropriations Committee tonight approved a Fiscal Year 2021 spending bill for the Department of Transportation that includes almost $6.4 billion for airport infrastructure projects, funding for small community programs, and a $2.8 million increase for the Contract Tower Program.  The vote was 30 to 22.
 
For airports, the House proposal includes $3.35 billion for the traditional Airport Improvement Program and an additional $500 million for supplemental discretionary grants. The bill also includes funding to "strengthen and make more resilient our nation's aging infrastructure" including an additional $2.5 billion for airports.
 
House Appropriations Committee Chairwoman Nita Lowey (D-NY) said the bill will "revitalize our infrastructure" and "modernize our transportation system."  However, Ranking Member Kay Granger (R-TX) took issue with the proposed $75 billion in emergency spending, which she said violates a two-year budget agreement.
 
AAAE has been urging Congress to help airports by providing additional funds for capital projects, ongoing COVID-19-related expenses, small community air service programs and other airport priorities.  Last month, AAAE President and CEO Todd Hauptli sent letters to leaders on the House and Senate Appropriations Committees that renewed our funding requests for the FY21 DOT spending bill. 
 
We are also urging Congress to provide airports with an additional $15 billion in the next Coronavirus relief package.  That amount includes $13 billion for commercial service airports, $1.5 billion for general aviation airports and $500 million to eliminate the local match requirement for projects funded in FY21. 
 
Amendments
 
Face Masks:  Transportation Appropriations Subcommittee Chairman David Price (D-NC) offered an amendment that would require airline, Amtrak and transit passengers wear masks or protective face coverings during the Covid-19 pandemic.  Price described his amendment as "a matter of common sense."  The Committee approved it by voice vote.
 
Funding for FAA Programs

Infrastructure Funding: The bill includes $75 billion in "emergency spending for transportation and housing infrastructure" including $2.5 billion for airport infrastructure projects.  Of the amount available for airports, $250 million would be reserved for "airport sustainability activities focused on reducing energy consumption, noise impacts, waste, and pollution or improving water quality, community relations, and wildlife compatibility."  

Supplemental Airport Improvement Program Funding:  The House bill includes an additional $500 million in supplemental AIP discretionary grants -- $100 million above the current level.  If enacted into law, this proposal would bring the total supplemental discretionary funding for airports to $2.3 billion over a four-year period. 
 
Traditional Airport Improvement Program Funding:  The measure includes $3.35 billion for the traditional AIP account in FY21.  Of that amount, $119.4 million would go toward administration expenses, $15 million for the Airport Cooperative Research Program, $40.7 million for Airport Technology Research and $10 million for the Small Community Air Service Development Program.
 
Facilities and Equipment: The House bill proposes $3.045 billion for FAA facilities and equipment, including NextGen programs - the same amount that Congress approved for FY20.
 
FAA Operations: The House bill proposes approximately $11.1 billion for FAA operations. 
 
Research, Engineering, and Development: The House measure includes $192.7 million for research, engineering, and development - the same as the current funding level.  
 
Airport Improvement Program
 
Continued EDS Prohibition: The bill continues the prohibition against the use of AIP funds for "the replacement of baggage conveyor systems, reconfiguration of terminal baggage areas, or other airport improvements that are necessary to install bulk explosive detection systems."
 
Local Match: The bill maintains a narrow provision that allows small airports to pay the lower 5 percent match for any unfinished phased projects that were underway prior to the passage of the FAA Modernization and Reform Act of 2012. 
 
Small Community Programs
 
Contract Towers: The bill includes $172.8 million in dedicated funding for the Contract Tower Program - $2.8 million more than the current level.  The report accompanying the bill indicates that the committee "expects FAA to continue to operate the 256 contract towers currently in the program, annualize funding for towers that will be added in 2020, and provide full-year funding for new airports expected to be added to the program in fiscal year 2021."

Essential Air Service: The bill includes $162 million in discretionary funding for the Essential Air Service Program - the same amount as the current funding level and  approximately $20.3 million more than the administration's request.  Coupled with an estimated $153 million from overflight fees, the overall funding level for EAS would rise to approximately $315 million in FY21. 
 
The House bill would waive the 15-passenger seat requirement. It would also prevent DOT from entering into new a new contract for EAS communities that are located less than 40 miles from a small hub airport unless the community comes up with a local cost share.

Small Community Air Service Development: The House bill includes $10 million for the Small Community Air Service Development Program.  This is the same amount that Congress approved for the program in FY20 and $10 million more than the administration requested. 

Remote Towers:  According to the accompanying report, the Committee "encourages the FAA to use remote tower technology as a means to enhance safety, reduce costs, and expand air traffic control services at rural and small community airport."

Noise and Environment

Community Engagement:  The Committee report indicates that the "FAA and the aviation industry need to provide meaningful opportunities for the public to learn about aviation technology, research, and operations and to communicate how the sum of these factors affects their quality of life."  The bill includes an additional $5 million for the FAA to "hire additional staff to increase the FAA's community engagement capacity, including participating in community roundtables and meetings with local officials," conduct environmental reviews and take other steps.

Noise Reports:   The bill requires the FAA to submit reports to the House and Senate Appropriations Committees on:  1) "activities undertaken by the Regional Ombudsmen, who serve as the regional liaisons on issues regarding aircraft noise, pollution, and safety; "2) "all FAA programs related to airport, aircraft, and environmental noise;" and 3) "current FAA in-take and response process for noise complaints...."
  
The Committee report also indicates that the panel "awaits the conclusion of the Administrator's ongoing review of the relationship between aircraft noise exposure and its effects on communities around airports" as required under the FAA reauthorization bill.

Environmental Mitigation: The report indicates that the Committee "shares the frustration of communities experiencing airport and aircraft noise."  The Committee directs the FAA Administrator to use funds to "implement the Environmental Mitigation Pilot Program and to conduct a series of studies and reports on aircraft noise" as required in the FAA reauthorization bill.  

Airport Emissions Programs:  The Committee also "directs the FAA to promote both the Airport Zero Emissions Vehicle and Infrastructure Pilot Program and the Voluntary Airport Low Emissions Program as opportunities for airports to meet their obligations under the Clean Air Act."

Sound Insulation:  The Committee directs the FAA to "consider residences that were mitigated prior to 1993 with sound insulation as 'unmitigated' if an airport can verify that the residences continue to fall within the latest day-night average sound level (DNL) 65 decibel (dB) contour, and have an interior noise level of DNL 45 dB or higher."  

The report goes on to say that the FAA "should consider these residences as 'unmitigated' because of uncertainty about whether the doors, windows, and other insulation installed would have achieved sufficient interior noise reductions as those manufactured and installed consistent with FAA standards. Any such retreatment should be limited to purchasing and installing windows and doors that conform to currently published FAA standards that would achieve a measurable reduction in interior noise levels."

Miscellaneous

Cost Free Space: The House bill includes 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 House 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.  
 
Emergency Preparedness: The FAA reauthorization bill required DOT to consider the "role the airport plays with respect to medical emergencies and evacuations' when evaluating airport master plans.  The FY21 DOT spending bill "directs the FAA to work with airport sponsors and other Federal, State and local agencies to help plan for emergency preparedness and response, including planning for what spaces on the airport might be needed in the future.... in order to effectively support these activities."

Planning Grants to Assist Areas of Persistent Poverty:  The bill includes $10 million for "planning grants to assist areas of persistent poverty." According to the report, "these planning grants would support pre-construction activities including planning, engineering, design, environmental analysis, feasibility studies, and finance plans for highway, bridge, or road projects, bicycle and pedestrian projects, transit projects, passenger and freight rail projects, port infrastructure improvement projects, airport improvement projects, and intermodal projects that are located in or directly benefiting counties and census tracts experiencing persistent poverty...."

Airport and Airway Trust Fund:  The Committee is relying on the General Fund to pay for FAA  Operations; Facilities and Equipment; and Research, Engineering and Development rather than the Airport and Airway Trust Fund.  The report points out that "as air passenger traffic plummeted as a result of the coronavirus pandemic, so did the revenue from aviation taxes that are remitted to the AATF."  

It also notes that the CARES Act "suspended certain aviation taxes through January 2021. Consequently, the AATF may have insufficient aviation tax revenue to meet all of its obligations in fiscal year 2021. The Committee expects AATF revenue and obligations to regain balance in fiscal year 2022."
 
Careers in Transportation:  The report "encourages the Department to consider initiatives that could increase the number and diversity of the transportation workforce, including pilots, airport executives, engineers, truck drivers, inspectors, technicians, and maritime workers, and to focus on engaging the next generation on potential careers in transportation fields."