Regulatory Alert: AAAE Outlines Regulatory Reform Recommendations for DOT and FAA
March 24, 2025
Today, AAAE President and CEO Todd Hauptli shared with Secretary of Transportation Sean Duffy and Acting Administrator Chris Rocheleau AAAE’s regulatory reform recommendations for the U.S. Department of Transportation and Federal Aviation Administration to swiftly implement in accordance with President Trump’s agenda to advance deregulation, require federal agencies to “rethink” how to operate in a more efficient manner, limit agencies to carrying out their statutorily mandated functions, and provide more certainty and expeditious approvals in the NEPA review process.
AAAE’s document, “Commonsense Recommendations for Regulatory Reform,” includes over 30 policy recommendations in 14 different areas and focuses on actions that DOT and FAA can implement today without congressional action. Collectively, the recommendations are focused on eliminating decades of FAA overregulation of airport capital improvement plans, returning FAA’s focus to ensuring safety and efficiency, streamlining airport infrastructure project review and approval processes through strict, enforceable deadlines, making meaningful reforms to the NEPA review process, and reducing unnecessary regulatory burdens and costs. The goal is to ensure these proposals are considered as DOT and FAA develop reorganization plans and their deregulation priorities by mid-April in accordance with direction from the White House.
You can read the full set of recommendations here, which includes an executive summary. They primarily focus on the areas of greatest concern to airports and were developed after reviewing extensive feedback from our members. The document shared with the administration today is an important first step that should initiate ongoing conversations with policymakers about serious reform of DOT and FAA regulations, policies, and processes. We would like to give a special thanks to Peter Kirsch from Kaplan Kirsch for his feedback during development of the recommendations.
Finally, we have scheduled an AAAE-hosted discussion with our members on Wednesday, April 2, at 2-3 p.m. ET, to discuss the recommendations. You can sign up here to participate.
Background. Since taking office, President Trump has outlined policies to advance deregulation, reduce the size of the federal workforce, streamline the functioning of the federal government, and provide more regulatory certainty and expeditious approvals in NEPA reviews. As a result of his executive orders, DOT and FAA have been tasked with developing “Agency RIF and Reorganization Plans” (ARRPs), which are intended to focus on the elimination of functions that are not statutorily mandated, no later than April 14. In addition, the agencies must identify for repeal or modification regulations or guidance documents meeting certain criteria by April 20. This is part of the overall effort of the administration to “significantly” lower the costs of regulatory compliance.
AAAE Recommendations for DOT/FAA Regulatory Reform. The purpose of AAAE’s “commonsense recommendations” for regulatory reform is to ensure DOT and FAA had input from our airport members as the agencies develop the ARRPs and list of potential regulations and guidance documents for repeal or modification. The recommendations include, among others:
- Streamline FAA’s review and approval processes for airport infrastructure projects and provide airports with predictability by implementing strict, enforceable deadlines if no action is taken on reviews (e.g., ALP updates, land use changes, aeronautical studies, NEPA reviews, noise compatibility programs);
- Simplify Airport Improvement Program (AIP) project eligibility questions by relying on the statutory definition of “airport development” rather than FAA’s arbitrary decision-making;
- Eliminate the “project justification” test the agency applies before funding projects, especially for AIP entitlement grants;
- Eliminate the need for FAA to review and approve aviation demand forecasts;
- Ensure FAA does not regulate or review non-aeronautical development projects when no federal funding is involved;
- Fully implement a streamlined PFC authorization process that simplifies the process for an airport sponsor to impose a PFC and establish strict deadlines on reviews in accordance with congressional direction;
- Make meaningful reforms to the NEPA review process through strict review deadlines, increased use of categorical exclusions (CATEXs), and regulatory certainty;
- Reduce unnecessary regulatory costs for the airport industry by protecting airport safety data and rescinding requirements relating to Title VI and Community Participation Plans and expanded data collection, reporting, and monitoring requirements in the DBE and ACDBE programs; and
- Establish a joint FAA/industry task force on accelerating project delivery that would focus on at least 12 objectives, including implementing reforms to enable FAA to award AIP grants earlier in the year, providing more opportunities for airports to utilize alternative project delivery methods, and modernizing AIP contracting processes.
