Legislative Program

UPDATE: On Oct. 3, President Bush signed the Emergency Economic Stabilization Act (EESA). The EESA aims to restore liquidity and balance to credit markets by creating a mechanism for the Treasury Department to purchase mortgage-backed securities from troubled financial institutions.

Earlier that same day, the House of Representatives passed the bill by a vote of 263 to 171. Wednesday evening, the Senate passed the bill by a vote of 75 to 24.

After failing to pass the House earlier in the week, the legislation was enhanced in the Senate with an increase in Federal Deposit Insurance levels, an extension of expiring tax provisions, and language to provide an alternative minimum tax patch for middle-income taxpayers.

On July 22, the House unanimously passed the Aviation Safety Enhancement Act (H.R. 6493) a bill introduced by Transportation and Infrastructure Committee Chairman Jim Oberstar (D-MN-8) and co-sponsored by the committee Ranking Member John Mica (R-FL-7), Aviation Subcommitte Chairman Jerry Costello (D-IL-12) and Aviation Subcommittee Ranking Member Tom Petri (R-WI-6).

The legislation is a response to the safety oversight lapses investigated by the committee during hearings in early April of 2008. Specifically, the legislation seeks to enact recommendations from the Department of Transportation Inspector General's (IG) office included in an interim report issued in late June.

On July 24, the House Aviation Subcommittee held a hearing entitled "Aviation Security: An Update" to gauge progress by the Transportation Security Administration (TSA) in the execution of directives from the "Implementing Recommendations of the 9/11 Commission Act of 2007" (P.L. 110-53).

ARSA worked diligently in the weeks leading up to the hearing to ensure that a spotlight was cast on the TSA's failure to comply with that law, which included a mandate that the agency issue a final rule on repair station security by Aug. 3, 2008. Since the agency will miss this deadline, a freeze will be put on Federal Aviation Administration initial certification of foreign repair stations starting August 3 (renewals of existing certificates and the processing of certificate applications submitted prior to August 3 are exempt).

On July 22, the House unanimously passed the Aviation Safety Enhancement Act of 2008 (H.R. 6493), sending the legislation on to the Senate for further action.

The bill was introduced July 15 by Committee Chairman Jim Oberstar (D-MN-8) and co-sponsored by Aviation Subcommittee Chairman Jerry Costello (D-IL-12) and Committee Ranking Member John Mica (R-FL-7) and Aviation Subcommittee Ranking Member Tom Petri (R-WI-6). The bipartisan legislation was based on recommendations from the Department of Transportation Inspector General as well as industry representatives previously testifying before the committee.

On July 8, an ARSA-led coalition of aviation industry representatives sent a letter urging Members of Congress to prevent the industry from suffering punishment due to inaction by the Transportation Security Administration (TSA).

Section 1616 of the “9/11 Commission Recommendation Act of 2007” (P.L. 110-53) and Sec. 611 of VISION 100 (the 2003 Federal Aviation Administration (FAA) reauthorization law) (P.L. 108-176) required the TSA to promulgate repair station security rules. Under those laws, if the TSA does not issue a final rule by Aug. 3, 2008, the FAA will be prohibited from issuing new certificates to foreign repair stations. Although there is an exception for certificate renewals and applications in process, the law will have unintended and negative consequences for U.S. companies seeking to expand operations overseas.