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House wants to move 38,000 federal workers to private, non-profit corp. Lawmakers want to move 38,000 federal jobs to private, nonprofit entity
(about 3 hours later)
About 38,000 workers would be moved off the federal payroll in the next three years under a House proposal to put the nation’s air traffic control system and a critical $40 billion project in private hands.About 38,000 workers would be moved off the federal payroll in the next three years under a House proposal to put the nation’s air traffic control system and a critical $40 billion project in private hands.
The long-anticipated proposal would shift 80 percent of the Federal Aviation Administration’s workforce to a nonprofit corporation that would supervise all aircraft in flight and take control of the multi-billion-dollar project intended to revolutionize air travel. The long-anticipated proposal would shift 80 percent of the Federal Aviation Administration’s workforce to a nonprofit corporation that would supervise all aircraft in flight and take control of the multibillion-dollar project intended to revolutionize air travel.
The next challenge for the authors of the bill will be whether they can shepherd a radical change in the status quo through Congress during a presidential election year.The next challenge for the authors of the bill will be whether they can shepherd a radical change in the status quo through Congress during a presidential election year.
The proposed change is the centerpiece of a larger funding reauthorization of the FAA. With the FAA facing a March 30 deadline for when funding will expire, the six-year House bill also would require airlines to refund baggage fees if bags are overdue by more than 24 hours, prohibit in-flight cellphone calls and require the FAA to move more quickly in regulating small drones. The proposed change is the centerpiece of a larger funding reauthorization of the FAA. With a March 30 deadline approaching for when FAA funding will expire, the six-year House bill also would require airlines to refund baggage fees if bags are overdue by more than 24 hours, prohibit in-flight cellphone calls and require the FAA to move more quickly in regulating small drones.
While much of the bill was crafted in the bipartisan fashion favored by House Transportation Committee Chairman Bill Shuster (R-Pa.), the committee’s leading Democrats took sharp exception to creation of the private air traffic control corporation.While much of the bill was crafted in the bipartisan fashion favored by House Transportation Committee Chairman Bill Shuster (R-Pa.), the committee’s leading Democrats took sharp exception to creation of the private air traffic control corporation.
The bill also split the airline industry.The bill also split the airline industry.
Delta Airlines called the proposal “reckless” and unnecessary and questioned whether the self-funding provisions built into the bill would protect taxpayers from shouldering the burden. But Airlines for America, the trade group which represents most of the other major airlines, applauded the proposed transfer as the antidote for an inefficient system run by the FAA. Delta Air Lines called the proposal “reckless” and unnecessary and questioned whether the self-funding provisions built into the bill would protect taxpayers from shouldering the burden. But Airlines for America, the trade group that represents most of the other major airlines, applauded the proposed transfer as the antidote for an inefficient system run by the FAA.
[Congress considers privatizing the air traffic control system][Congress considers privatizing the air traffic control system]
Since Shuster’s committee began exploring the issue last year, groups with a stake in the game have been lining up in favor or opposition. The union that represents about 14,000 air traffic controllers supports the plan to move its members to the nonprofit private entity. Unions that represent some of other affected workers are less sanguine. The Air Line Pilots Association worried that the cost burden would be disproportionately shouldered by the airlines. Since Shuster’s committee began exploring the issue last year, groups with a stake have been lining up in favor or opposition. The union that represents about 14,000 air traffic controllers supports the plan to move its members to the nonprofit private entity. Unions that represent some of the other affected workers are less sanguine. The Air Line Pilots Association is worried that the cost burden would be disproportionately shouldered by the airlines.
U.S. Transportation Secretary Anthony Foxx issued a statement that suggested the White House has yet to decide whether to support the proposed move. He elaborated on that thinking in a meeting with reporters on Tuesday. U.S. Transportation Secretary Anthony Foxx issued a statement that suggested the White House has yet to decide whether to support the proposed move. He elaborated on that thinking in a meeting with reporters Tuesday.
“It’s important for me to leave room for our team to digest the ideas that are put out there,” he said. “I’ve been careful to say that while I’m not reflexively saying ‘yes or no,’ I want to leave myself room to look dispassionately at what’s presented and to try to offer an opinion at some point that will reflect our best thinking.” “It’s important for me to leave room for our team to digest the ideas that are put out there,” he said. “I’ve been careful to say that while I’m not reflexively saying yes or no, I want to leave myself room to look dispassionately at what’s presented and to try to offer an opinion at some point that will reflect our best thinking.”
Two leading Democrats on Shuster’s committee — ranking member Peter DeFazio (Ore.) and Rick Larsen (Wash.), ranking member of the subcommittee on aviation — did not share the administration’s reluctance. Two leading Democrats on Shuster’s committee — Reps. Peter A. DeFazio (Ore.) and Rick Larsen (Wash.), the top Democrat on the subcommittee on aviation — did not share the administration’s reluctance to take a stance.
“This privatization proposal gives a private corporation the power to tax the American public to pay for safe operations, and it hands over a public asset worth billions of dollars to a private corporation for free,” DeFazio said.“This privatization proposal gives a private corporation the power to tax the American public to pay for safe operations, and it hands over a public asset worth billions of dollars to a private corporation for free,” DeFazio said.
“Much like we would not privatize our nation’s system of roads, bridges and highways, we should not privatize the highways of our skies,” Larsen said. Said Larsen: “Much like we would not privatize our nation’s system of roads, bridges and highways, we should not privatize the highways of our skies.”
On the Senate side, Sen. John Thune (R-S.D.), who chairs the committee with jurisdiction over the FAA, weighed in with a more tepid response to the House proposal: “It deserves fair consideration.” On the Senate side, John Thune (R-S.D.), who chairs the committee with jurisdiction over the FAA, weighed in with a more tepid response to the House proposal: “It deserves fair consideration.”
Central to the congressional angst over the FAA is what critics see as the glacial pace with which the agency is moving on the multi-billion-dollar project known as NextGen. Central to the congressional angst over the FAA is what critics see as the glacial pace with which the agency is moving on the multibillion-dollar project known as NextGen.
[Scathing report: FAA isn’t delivering on $40 billion project][Scathing report: FAA isn’t delivering on $40 billion project]
Conceived by the FAA, NextGen has been described as a “system of systems” that would replace the antiquated radar now used by air traffic controllers with a GPS-based system. While it is far more complicated than that, its virtue at a time when skies in some hubs already are congested, and with a forecast of decades of growth in air travel, is that it allows planes to fly much closer to each other without greater risk.Conceived by the FAA, NextGen has been described as a “system of systems” that would replace the antiquated radar now used by air traffic controllers with a GPS-based system. While it is far more complicated than that, its virtue at a time when skies in some hubs already are congested, and with a forecast of decades of growth in air travel, is that it allows planes to fly much closer to each other without greater risk.
“Our system is incredibly inefficient, and it will only get worse as passenger levels grow and as the FAA falls further behind in modernizing the system,” Shuster said.“Our system is incredibly inefficient, and it will only get worse as passenger levels grow and as the FAA falls further behind in modernizing the system,” Shuster said.
The program would require an up to $40 billion investment by the federal government and the airlines, and most of the airlines have been reluctant to come up with their share of the billions, in part because they question the speed with which the FAA will produce the promised system. The program would require an investment of up to $40 billion by the federal government and the airlines, and most of the airlines have been reluctant to come up with their share of the money, in part because they question the speed with which the FAA will produce the promised system.
Two years ago, the Department of Transportation’s inspector general warned that the cost could be double or triple that $40 billion amount, and that full implementation might take a decade longer that the FAA’s 2025 target date. Two years ago, the Transportation Department’s inspector general warned that the cost could be double or triple that $40 billion amount and that full implementation might take a decade longer than the FAA’s 2025 target date.
The FAA has spent about $6 billion on the project so far.The FAA has spent about $6 billion on the project so far.
The lack of swift progress has been the subject of numerous reports by the Government Accountability Office (GAO) and DOT’s inspector general. One of the most critical, however, came last year from the National Research Council (NRC). The lack of swift progress has been the subject of numerous reports by the Government Accountability Office and the Transportation Department’s inspector general. One of the most critical, however, came last year from the National Research Council.
The NRC succinctly said: “The original vision for NextGen is not what is being implemented today” and that “Not all parts of the original vision will be achieved in the foreseeable future.” The council succinctly said that “the original vision for NextGen is not what is being implemented today” and that “not all parts of the original vision will be achieved in the foreseeable future.”
“Airlines are not motivated to spend money on equipment and training for NextGen,” the NRC said. “Airlines are not motivated to spend money on equipment and training for NextGen,” the council said.
“Part of that was because the FAA is so slow and bureaucratic that the technology is evolving more quickly than their system design,” said a House staff member who helped craft the Shuster bill. Said a House staff member who helped craft the Shuster bill, “Part of that was because the FAA is so slow and bureaucratic that the technology is evolving more quickly than their system design.”
[Progress on NextGen aviation system is said to be ‘stalled’][Progress on NextGen aviation system is said to be ‘stalled’]
Modernization of the system would move faster under a federally chartered nonprofit, said the staff member, who spoke on condition that he not be identified while the bill is under discussion. Modernization of the system would move faster under a federally chartered nonprofit, said the staff member, who spoke on the condition that he not be identified while the bill is under discussion.
“It would be a totally independent entity to run and modernize air traffic control in the United States,” he said. “None of the employees would be federal employees any more. It would have an independent board of directors.” “It would be a totally independent entity to run and modernize air traffic control in the United States,” he said. “None of the employees would be federal employees anymore. It would have an independent board of directors.”
The board would be appointed from representatives of the airlines, airplane owners and the unions. The corporation is empowered to collect charges and fees from any air traffic users, but operators of small, private planes are exempted. The board would be appointed from representatives of the airlines, airplane owners and the unions. The corporation would be empowered to collect charges and fees from any air traffic users, but operators of small, private planes would be exempted.