Regulatory Alert: AAAE Outlines Airport Priorities for FAA Reauthorization Implementation
AAAE Outlines Airport Priorities for FAA Reauthorization Implementation
July 2, 2024
On July 2, AAAE sent a letter to Federal Aviation Administration (FAA) Administrator, Michael Whitaker, outlining the airport community’s priorities and recommendations to the agency for implementing key provisions from the recently passed FAA Reauthorization Act of 2024. Given the impact the new law may have on airports, our goal is to ensure that we are working collaboratively with the agency to ensure implementation occurs in such a manner that will streamline and accelerate the delivery of infrastructure projects and help airports address major environmental challenges.
In the letter, AAAE urged FAA to ensure that the agency is transparent and communicative with airports on how changes to the Airport Improvement Program (AIP) may affect their entitlement funding and likelihood of receiving discretionary grants. We recommended FAA provide clear guidance on how airports can ensure proper cost reimbursement under the new PFAS Replacement Grant Program if funding becomes available. We requested FAA withdraw its existing Section 163 guidance and implement as soon as possible the new streamlined process for reviewing and approving airport layout plan (ALP) updates. We also urged FAA to implement the new provisions expanding the scope of categorical exclusions (CATEXs) in such a manner that expedites environmental reviews early in the project planning process.
You may review all AAAE’s recommendations in our letter to Administrator Whitaker, which is available here.
Overview of FAA Reauthorization Act. In May, Congress passed a multi-year bipartisan and bicameral FAA reauthorization bill that increases AIP funding to $4 billion annually, authorizes $200 million annually for resilience and runway safety projects, and helps airports transition to fluorine-free firefighting (F3) agents. We have developed a comprehensive summary and guide for our members, which includes an overview of all relevant provisions, deadlines that Congress has established for FAA to comply, and status of implementation. We plan to keep this document updated as FAA and other agencies begin to implement the new law. You can access AAAE’s summary here.
AAAE’s Priorities and Recommendations. In our letter to FAA, AAAE provided recommendations on how the agency should implement provisions from 11 key areas of the new law. A summary of each recommendation is provided as follows:
• AIP Modifications: The new law raises the annual authorized funding level for AIP, adjusts entitlement and discretionary funding formulas, and makes other programmatic changes. We urged FAA to ensure the agency is transparent and communicative with airports on how changes to the AIP program may affect their entitlement funding and likelihood of receiving discretionary grants. We also encouraged FAA to issue program guidance letters as soon as possible to give airports clear guidance on how the agency plans to implement various programmatic changes to AIP.
• PFAS Replacement Grant Program: In the law, FAA is required to establish a new grant program to reimburse airports for reasonable costs incurred after September 12, 2023, that are associated with the transition from AFFF to F3 agents. Many airports are expected to transition before FAA receives potential funding, and our members need guidance to ensure they are transitioning in such a manner that any costs incurred will be reimbursable. Thus, we urged FAA to provide guidance to airports as soon as possible on any conditions that airports need to be aware of to ensure compliance and reimbursement.
• ALP Updates: In the new law, FAA’s authority to approve ALP updates is limited to only those projects (or portions of such projects) that materially impact safety or adversely affect prior federal investments at the airport. Airports must also submit a notice of intent (NOI) to FAA if the airport wants to proceed with a project that is outside of FAA’s authority. If FAA does not object within 45 days, the project is deemed outside FAA’s authority. This effectively eliminated the existing process of FAA issuing so-called “Section 163 determinations.” In our letter, we urged FAA to formally withdraw the existing Section 163 guidance; provide guidance regarding the NOI process without imposing any administrative burden on airports; and issue a blanket determination that any portion of an ALP update that is outside FAA’s authority is not subject to NEPA.
• Expansion of CATEXs: The new law provides that any FAA action to approve an airport project is presumed to be covered by a CATEX for purposes of NEPA if the project (a) receives less than $6 million in federal funding (or less than $6 million in PFC revenue); or (b) has a total estimated cost of not more than $35 million and federal funding does not exceed 15 percent of the total costs. Recognizing that NEPA is typically triggered early in the planning process, we urged FAA to give an airport the option of certifying that it will not use more than $6 million in federal funds or PFC revenue for the project. This approach would provide certainty to airports, expedite approvals, and allow FAA to prioritize its resources on more complicated projects.
• Streamlined PFC Authorization Process: In the 2018 FAA reauthorization law, Congress directed FAA to expand its streamlined PFC authorization process to include small, medium, and large hubs. Unfortunately, when FAA implemented this process through internal guidance, many projects were deemed “ineligible” for the streamlined process. The new law limits the scope of projects that FAA may object to after receiving a NOI from an airport. This is a narrower list of projects than what FAA currently includes in its guidance and a pending rulemaking that was released last year. We urged FAA to release, as soon as possible, updated PFC guidance to remove the projects to which the agency is not permitted to object.
• Leaded Avgas Grant Assurance: In the new law, Congress directed FAA to establish a new grant assurance that precludes an airport from restricting or prohibiting the sale or self-fueling of leaded avgas until the earlier of (a) December 31, 2030, or (b) the date on which an FAA-certified unleaded avgas alternative can be made available for purchase or use. Any airport violating the grant assurance may be assessed a civil penalty up to $5,000 each day. We urged FAA to release guidance that includes the full text of the assurance and explains how airports are expected to comply and how the agency plans to enforce the civil penalty provision.
• Airport Cybersecurity: The new law requires FAA to convene an aviation rulemaking committee (ARC) on cybersecurity that must, among other things, consider the appropriate cybersecurity controls for airports relative to the size and nature of airside operations. FAA must also undertake rulemaking to implement any appropriate ARC recommendations. We expressed our concern over the scope of the ARC to the extent it could lead to new or conflicting cybersecurity requirements for airports. We urged FAA to work with airports and the Transportation Security Administration, which has already issued multiple cybersecurity directives to airports, to avoid duplicative requirements.
• Contract Tower Program Wage Determination: Controller staffing continues to be a challenging issue for airports that participate in the FAA Contract Tower (FCT) Program. The new law requires the Department of Transportation (DOT) to request that the Department of Labor (DOL) “review and update as necessary” the wage determination for contract controllers and create a new wage category for managers. We urged DOT and DOL to initiate this review as soon as possible to help ensure we have an adequate supply of FCT controllers.
• Contract Tower Situational Awareness: In the new law, DOT must allow controllers at FCT airports to use approved advanced equipment and technologies to improve situational awareness. The law also allows airports to procure this equipment to increase situational awareness for FCT controllers. Given that reducing runway incursions and near misses is a high priority for FAA and the industry, we urged FAA to implement these provisions as soon as possible and well before mandated deadlines.
• Industry Consultation on Policy Changes: The new law requires FAA to ensure that the agency consults with appropriate regulated entities regarding proposed changes to policies, orders, and guidance prior to making such changes. We expressed our eagerness to collaborate with the agency on implementation of specific provisions in the new law and identify ways to provide consultation in a productive manner on future policy changes.
• Advisory Bodies: The new law establishes six new advisory bodies that require airport representation, including the Aircraft Noise Advisory Committee; Bessie Coleman Women in Aviation Advisory Committee; Civil Aviation Cybersecurity ARC; Deterring Crewmember Interference Task Force; Passenger Experience Advisory Committee; and Runway Safety Council. We urged FAA to ensure that AAAE and our members have an opportunity to participate in these advisory bodies, as Congress intended.
Reminder: AAAE Webinar Schedule and Sign Up. AAAE will be hosting four separate calls to discuss the FAA reauthorization law, its potential impacts for airports, and implementation issues and timelines. We encourage you to participate, share feedback, and ask questions during the calls. You can sign up for one or more of these webinars here.
• Airport Infrastructure Funding | Tuesday, July 9, at 1 p.m. ET: Topics to be covered will include changes to the AIP and PFC Programs and updates on other funding opportunities.
• Airport Planning and Environmental Initiatives | Monday, July 15, at 1 p.m. ET: Topics to be covered will include the transition to F3 agents, NEPA reviews, section 163 determinations, leaded avgas, noise issues, energy efficiency, resiliency, and more.
• Air Service, Small Community Programs, and Workforce Development | Tuesday, July 23, at 2 p.m. ET: Topics to be covered will include DCA slot exemptions, funding and reforms for small community programs, FAA Contract Tower Program improvements, remote towers, and workforce development initiatives.
• Operations, Safety, and New Entrants | Thursday, August 1, at 1 p.m. ET: Topics to be covered will include controller staffing issues, efforts to address runway incursions, NextGen implementation, advanced air mobility, drones, and other emerging technologies such as hydrogen-powered aircraft and artificial intelligence.
