Yesterday it was announced that the President’s 2018 Budget includes plans to privatize Air Traffic Control in an effort to meet the increasing costs and pressures facing the air travel industry and the Federal Aviation Administration (FAA) head on. He intends this reform to be non-profit and non-governmental, in hopes that the organization can respond more organically and efficiently to the ever-evolving demand for air travel and air space usage.
Privatized air traffic management is not a new idea. According to the official White House presser, “Sixty countries have successfully “spun-off” their day-to-day air traffic management responsibilities from government agencies to corporations. For example, Canada successfully privatized its air traffic management functions more than 20 years ago and has realized numerous benefits. The non-profit NAV Canada corporation the world’s second-largest air navigation service provider, has improved safety, retained the same rates for customer charges over the past 17 years, rebuilt infrastructure, and developed cutting-edge air traffic technology.”
At the foundation of this 2018 plan for reform, is the 2016 AIRR Act (Aviation Innovation, Reform and Reauthorization Act of 2016) which was commenced by Transportation Committee chairman Bill Schuster. The Trump administration views the Shuster-authored Act as a great launching point, because:
“The AIRR Act advances several critical concepts that any final piece of legislation should include:
1. A non-profit, independent corporation is the best model to deliver air traffic services in a safe, efficient, and innovative manner.
2. A board of directors that represents all users of the National Airspace System will better align air traffic services to customer demands.
3. A fee structure that allows aviation users to pay the cost of the services to the air navigation service provider is a more efficient funding model than the current mix of excise taxes.”
Ultimately, the privatized model is intended to meet the demand air travel of the modern era, compared to the current governmental model which was established according to Trump as quoted by Fox News, “when the country had about 100,000 annual airline passengers, compared to nearly 1 billion today.’
(Image by NYCAviation Senior Editor Ben Granucci)
