The HAI Government Affairs team on the 2023 Global Aerospace Summit, an FAA reauthorization bill update, two Massachusetts bills aiming to revoke aircraft-related tax exemptions, and more.
HAI President and CEO James Viola (second from left) shared his thoughts on advanced air mobility (AAM) during the US Chamber of Commerce’s Sep. 12–13 Global Aerospace Summit 2023. The annual event brings together more than 1,000 government leaders and industry experts from across the world to discuss the latest developments, trends, challenges, and opportunities in both aviation and space.
HAI Attends Global Aerospace Summit
HAI President and CEO James Viola shared his thoughts on advanced air mobility (AAM) during a panel discussion at the US Chamber of Commerce’s Global Aerospace Summit this week. The summit, which took place Sep. 12–13 in Washington, D.C., brought together more than 1,000 government leaders and industry experts from across the world to discuss the latest developments, trends, challenges, and opportunities in aerospace.
The panel members explored the future of electric vertical takeoff and landing (eVTOL) technology and its potential impact on the aviation landscape. Viola and his fellow panelists delved into various aspects of eVTOL technology, including its potential to address urban congestion, reduce greenhouse gas emissions, and open new opportunities for aerial transportation. Together, they explored the challenges that industry needs to overcome for widespread adoption.
Viola stressed the need for flexible and responsive regulations that allow companies to innovate while still keeping safety top of mind.
FAA Reauthorization Bill Update
During the Global Aerospace Summit, Sen. Ted Cruz (R-Tex.), ranking member of the Senate Commerce Committee, and Rep. Rick Larsen (D-Wash.), ranking member of the House Transportation and Infrastructure Committee, discussed the possibility of a three– to six-month stopgap measure for funding the FAA, which aligns with the potential duration of an eventual continuing resolution. Both the House and Senate have expressed their intention to avoid repeated extensions for the FAA reauthorization bill.
In a separate development, the Senate recently voted to advance a nearly $280-billion government funding package known as a “minibus” with an 85–12 vote. The package combines funding measures for the Department of Agriculture–FDA (Food and Drug Administration); Military Construction, Veterans Affairs, and Related Agencies; and the Department of Transportation–HUD (Department of Housing and Urban Development).
To proceed any further, the Senate may require another vote on the motion, which would require a simple majority of 51. A final vote would require a simple majority as well, while invoking cloture would necessitate 60 votes. Moreover, the progress of this bipartisan bill could become more intricate depending on the number of amendments proposed.
Under S.2437, the Transportation and Housing and Urban Development Departments would receive $178.3 billion in budgetary resources for fiscal year 2024 ($1.96 billion more than last year), with the FAA receiving a $1.3-billion increase in funding, aimed at addressing workforce shortages and modernizing air traffic control technologies.
HAI’s Opposition to Massachusetts S.1758/H.2826
This week, the Massachusetts Joint Committee on Revenue conducted a hearing to evaluate S.1758 and H.2826, proposed by State Sen. Michael J. Barrett. These bills aim to revoke specific tax exemptions related to aircraft.
Massachusetts boasts a network of 38 public-use airports, collectively supporting nearly 200,000 jobs and making a significant contribution to the state’s economic strength. These airports generate approximately $7.2 billion in annual payroll and have an overall economic impact of nearly $25 billion per year, according to the Massachusetts Department of Transportation.
One of the key factors behind the success of the aviation sector in Massachusetts is its regulatory framework, with the aircraft sales tax exemption one of its cornerstones. This policy, which has been in place since 2002, has been instrumental in attracting aircraft-related businesses to the state and fostering a thriving aviation maintenance sector. Currently, Massachusetts-based aircraft contribute approximately $1 billion in annual in-state revenues.
States that experience substantial growth in the aviation industry often implement comprehensive aviation incentive plans that encompass the aircraft and maintenance sectors. Such policies are essential for fostering industry expansion and economic prosperity. Eliminating the aircraft sales tax exemption would have a detrimental impact on the ongoing success of business aviation in Massachusetts.
As a result, HAI has submitted written testimony to the Joint Committee on Revenue urging its members to reject S.1758 and H.2826.
Coalition Letter of Support for New FAA Nominee
Earlier this week, 28 industry stakeholders, including HAI, jointly addressed US Sens. Chuck Schumer (D-N.Y.), Mitch McConnell (R-Ky.), Maria Cantwell (D-Wash.), and Ted Cruz (R-Tex.) regarding President Biden’s recent nomination of Michael Whitaker as FAA administrator.
Given this pivotal moment in the aviation industry, the FAA requires stable leadership and a clear direction. HAI urges the Senate Committee on Commerce, Science, and Transportation and the chamber overall to prioritize his nomination.
Furthermore, our industry strongly advocates for swift progress on an FAA reauthorization bill by both the Senate Committee on Commerce, Science, and Transportation and the entire US Senate. Completing the FAA reauthorization bill and confirming an administrator in 2023 will significantly enhance the agency’s efforts in safety, efficiency, infrastructure, and innovation while bolstering not only the FAA workforce but the global competitiveness and job prospects of the US aviation industry as a whole.
HAI and the general aviation industry are prepared to collaborate with the Senate on the FAA administrator nomination and the FAA reauthorization process.
HAI Hosts USHST Safety Event
The United States Helicopter Safety Team (USHST) hosted two safety-focused events this week at HAI’s headquarters in Alexandria, Virginia, and all interested members of the vertical aviation industry were invited to attend.
The events included a nearly daylong COPTER IFR/Weather Camera Summit, followed by USHST’s quarterly All Hands Meeting. Both events were available for in-person and online attendance.
Attendees with active FAASTeam accounts were able to earn FAA WINGS and/or AMT (aviation maintenance technician) credit for their attendance at the USHST All Hands Meeting.
The summit, with speakers from the FAA and industry, featured a legislative update by HAI’s Government Affairs team as well as the following:
- Rotorcraft Accident Briefing: a review of the FAA’s most recent accident data and trends
- Review/update for Helicopter Safety Enhancement No. 125: Pre–Flight Risk Assessment for Student Flights
- FAA weather camera program overview
- Weather camera utilization for flight planning and decision–making
- FAA lessons–learned library overview
- Accident review from the FAA lessons–learned library
- Rotorcraft Issue Analysis Team update
- Rotorcraft digital copilot development.
