A Year of Partisanship and Change, a Year of Bipartisanship and Stability
Washington is facing a shakeup, but a massive FAA bill sets a stable foundation over five years
Washington is facing a shakeup under the new administration. Š AdobeStock

This has been a pivotal year for aviation policy, setting in motion the foundation for the FAA’s activities over the next several years. Further, the release of the long-awaited safety management system (SMS) mandate is pushing operators and companies into action that until then may have adopted a wait-and-see approach.

However, 2024 also ratcheted up the bureaucracy on top-tier corporate operators who may have been swept into the populism of “paying their fair share,” and on charter operators who may have been pulled into the Part 380 wars.

But perhaps most importantly was the outcome of the November elections that will bring in a new administration and Congress.

The Washington Shake-up

As November concluded, Washington was readying for the changes that will come with the new administration, as former President Trump returns to the White House following a four-year absence. In the immediate aftermath of the elections, several names were floated for key positions. Absent from that first tranche was Transportation Secretary, which undoubtedly will turn over after Pete Buttigieg held the role for the past four years. But within early days Trump announced the selection of Sean Duffy, a former congressman, for the role.

The changes also bring uncertainty for others within the DOT. FAA Administrator Michael Whitaker likely had the option to remain in place throughout the new administration; he was confirmed just a year ago to a five-year term. But he is opting to resign.

Lawmakers also are preparing for the new U.S. Congress with a shift in power that will follow Republicans taking control of the Senate. That would mean a new chair of the Senate Commerce Committee. Senator John Thune (R-South Dakota) is the senior member and has led it in the past, but also is vying for majority leader. Senator Ted Cruz (R-Texas), who won re-election, would be in line as the current ranking member of the committee. But it is unclear whether he’d remain or look for a different assignment on another committee.

In the House of Representatives, Transportation and Infrastructure chairman Sam Graves is bumping into a leadership term limit but has applied for a waiver to remain at the helm of the committee. Also, House aviation subcommittee Chair Garret Graves (R-Louisiana), a key contributor to writing the FAA reauthorization bill, has opted to retire. So it’s possible the committee will see new leadership in both places.

At the same time, the FAA is putting pieces in motion for hundreds of new mandates that came with the massive reauthorization bill that was signed into law on May 16.

The cornerstone 1,000-page aviation package, which included both FAA and NTSB reauthorization, passed with overwhelming support in the House and the Senate even if it took four short-term extensions of the FAA’s reauthorization to get it passed. By congressional terms, however, that was relatively quick compared with the lengthy delays and numerous extensions required in the past bill.

But importantly for the industry, the bill set a clear foundation of priorities in Washington for aviation: airport funding, consumer protections, safety workforce, security guardrails, and advanced air mobility and future technologies among them. In a first for an FAA bill, Congress also sent a strong signal on the importance of a vital general aviation industry by giving the sector a full title in the bill dedicated to it.

Rep. Rick Larsen (D-Washington), the ranking Democrat on the House Transportation and Infrastructure Committee, noted during the 2024 NBAA-BACE Convention that, while much work remains to be done to implement the bill, its overwhelming passage set a mandate regardless of who came into power.

“Presidents come and go; Congress is forever,” Larsen joked during a Newsmakers Luncheon at BACE ahead of the November elections. “In this sense, we passed the bill 387 to 26 out of the House of Representatives—and I know where those 26 people live—and with 88 to four out of the Senate. It sends a bicameral, bipartisan message about the bill that we passed. So, regardless of which administration comes in, they're not going to be able to come to us and say, ‘Well, you didn't mean to do that.’”

What it does mean is the first significant funding increase for airports—aside from the pandemic aid—in years: $4 billion per year, in fact, with more money headed towards general aviation airports. And it addresses many key issues for the business aviation community such as protecting operator data privacy, clearing out the certification backlog, establishing a Part 135 aircraft conformity working group that recommends improvements in the aircraft conformity processes, stepping up implementation of runway safety equipment, providing more access to better weather information, supporting workforce initiative programs, probing cybersecurity risks, and so on.

A Rule for 2,000 More Operators

While 2024 may have been looked at as the year of reauthorization on Capitol Hill, it was not the only major action in Washington.  Also notable was the FAA’s long-awaited release of the safety management system mandate for Part 135 and many air tour operators, along with manufacturers. That rule, issued in March, has been long expected, and industry groups and private firms had long been working to line up programs and resources to help assist the transition for operators, especially the small ones.

The final rule—which applies to nearly 1,850 Part 135 operators and more than 70 air tour operators—drew mixed reactions, with NBAA noting that it reflects comments urging flexibility and scalability to enable SMS programs to be tailored to the size and complexity of operations.

However, NBAA president and CEO Ed Bolen also cautioned: “While the FAA’s new rule appears appropriate in broad brushstrokes, the key going forward will be for the agency and industry to work in collaboration to ensure that rule’s real-world implementation is smooth, scalable, and squarely focused on measures that demonstrably enhance safety.” In the FAA bill, Congress added language reinforcing that collaboration.

Also on the agenda this year and still ahead are fundamental changes to how Part 380 works. While a DOT economic rule, a couple of airlines and associated pilot organizations put on a full-court press to get this overhauled, making accusations of security and safety weaknesses as they complained of unfair competition.

A gamut of airport groups, community organizations, and nearly the entire general aviation industry pushed back, saying evidence does not support their accusations and competitive concerns should not shape safety policy. Plus, they argued, Part 380 often supports small communities.

However, the FAA in June announced that it was moving forward on a rulemaking to alter the definitions of “scheduled,” “on demand,” and “supplemental” as it seeks to tighten the requirements for operators flying under Part 380. In addition, the FAA said it would form a Safety Risk Management Panel (SRMP) to discuss the potential for a new operating authority for scheduled Part 135 operations in 10- to 30-seat aircraft.

This drew mixed reactions, with NBAA president and CEO Ed Bolen coming out strongly, saying, “We call upon the FAA to step forward with a data-driven basis that explains the need for this change, and detail its intended process for engaging with all voices in a meaningful dialogue about the agency’s approach to public charter policy.” However, industry groups did appreciate the move to create the SRMP.

Meanwhile, tax policy and audits took center stage this year with the Biden Administration rolling out audits on the largest corporations and high-net-worth individuals to ensure they are properly classifying business use of aircraft for tax purposes. This was part of a larger effort to make sure these entities and people “pay their fair share.”

That effort also included proposals to increase private jet fuel taxes fivefold and to lengthen depreciation schedules. The audits kicked off already and are said to be extensive, but the tax policies were pushed into the next Congress, where they will have an uphill battle with the White House and Senate power change.

While Washington has been busy, so too has Europe. The European Business Aviation Association (EBAA) joined Dassault Aviation in legal action against the European Commission’s Taxonomy Delegated Act on the grounds of discrimination.

The so-called EU Taxonomy is a classification system that identifies approved sustainable economic activities to help companies and investors make decisions over sustainable investments and “green” financing. According to EBAA secretary general Holger Krahmer, the European Commission specifically excluded business aviation on ideological grounds in a way that discourages investment in the sector’s efforts to decarbonize.

More recently, the EU further delayed the introduction of its Entry/Exit System (EES), a biometric fingerprint and facial scan check system for non-EU citizens at all EU borders. It was pushed back after Germany, France, and the Netherlands said their systems were not ready. Rather than giving a specific timetable for EES implementation, the EU is now planning to introduce it in phases.

However, since October 6, all visitors to the EU who do not need a visa are required to obtain travel approval through a new European Travel Information and Authorization System (ETIAS). This authorization grants a visa waiver for a stay of up to 90 days.