Congress Considers Adding Aviation Help To President's Supplemental

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Congress Considers Adding Aviation Help To President's Supplemental
By Denise Marois



Republican Congressional leadership intends to support relief for the airline industry, probably as part of the $75 billion war supplemental, the White House submitted yesterday.



As submitted, the supplemental contains no help for the airline industry, however, and House Appropriations Chair Rep. Bill Young (R-Fla.), pledging to move the supplemental through the House quickly and to keep it as close to the President's request as possible, vowed to "resist any efforts to add extraneous provisions."



Senate Majority Leader Sen. Bill Frist (R-Tenn.) said yesterday he expects Congress to pass some aid for the aviation industry, probably as part of the supplemental.



Rep. James Oberstar (D-Minn.), ranking member on House Transportation, said he may try to attach his airline relief bill to the supplemental "to ensure when the dust settles we still have an aviation industry." The bill does not give tax relief but does allow a draw-down of the fuel reserves, lets airlines go to the stabilization board for a federal loan guarantee to pay for fuel and mandates reimbursement for war-time assistance and federally mandated security measures such as hardening cockpit doors, for which the industry has yet to be fully reimbursed.



Airports also expect Republicans to support some sort of relief from security costs, and one airport lobbyist told The DAILY it's unlikely the airlines will get the kind of tax relief they are seeking. Oberstar's bill does not contain a tax holiday. But Rep. Pete Sessions (R-Texas), who sits on the House Rules panel, last week introduced his bill, H.R. 1380, "The Travel Related Industries Protection Act of 2003," which would suspend during the war the 4.4-cent-per-gallon excise tax for commercial aviation fuel. A Sessions spokeswoman said he does not intend to use the supplemental as a vehicle for his bill, which he is expected to unveil today.



Senate Commerce aviation subcommittee Chair Sen. Trent Lott (R-Miss.) told the Aero Club of Washington yesterday that just because the Administration's supplemental contains no relief for the industry "does not mean the door is shut." He said he will push for a bipartisan meeting with the White House this week to discuss airline aid, noting he needs to determine "what is justifiable in an emergency basis."



Lott said he has discussed airline relief with fellow subcommittee members Sens. Ted Stevens (R-Ark.) and Kay Bailey Hutchison (R-Texas), subcommittee ranking member Sen. John Rockefeller (D-W.Va.), Sen. Ernest Hollings (D-S.C.), ranking member on the full committee, and full committee Chair Sen. John McCain (R-Ariz.). Lott said he is also talking with the Administration, and McCain said key lawmakers would meet with the Administration this week to discuss whether to include airline relief in the supplemental.



Lott said he wants to see evidence of need from the industry. The Air Transport Association has scheduled a press briefing today to detail the industry's economic health.



Roger
EWROPS

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