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Fri, Sep 23, 2011

Industry Calls On Congress To Reject Newly Proposed Taxes And Fees

Twenty Seven Aviation And Labor Organizations Send Appeal To Leaders In Both Chambers

Twenty seven of the nation's leading aviation and labor associations have sent a letter to leadership in the House and Senate, as well as all 12 members of the “Super Committee”, expressing their opposition to proposed tax and fee increases on the aviation industry.

"As President Obama continues his perplexing assault on aviation, it is critical that everyone in aviation stand together to reject these ill-advised proposals," said GAMA president Pete Bunce. "We have much at stake in this debate and we will continue to work together with Congress to develop proposals that support economic growth and job creation, improve our aviation infrastructure, and enhance safety.”

"Earlier this week, NBAA joined with eight leading general aviation associations in a statement calling the user fee proposal in the president's plan ill-conceived and counterproductive," said NBAA President and CEO Ed Bolen. "Today we are pleased to join with dozens of other major aviation groups in a strong showing of united opposition to more fees. Of particular importance to NBAA Members, the $100 per-flight user fee in the president's plan would create an onerous new administrative burden and necessitate the creation of a costly new fee-collection bureaucracy.

"We will continue to urge the President to stop singling out general aviation for punitive treatment, given that our industry is a major driver of economic growth and job creation in America," Bolen added.

"As you may know, the American economy is increasingly dependent upon the rapid transportation of products and people that aviation allows," says the letter, which was addressed to Senate Majority Leader Harry Reid but distributed widely on Capitol Hill. "Aviation plays a major role in driving U.S. growth and investment across the country and around the world.

The association leaders point out that, with current concerns about the stability and future of the U.S. economy, it is important to emphasize the vital role that aviation plays in our economy:

  • Represents 5.6 percent of Gross Domestic Product.
  • Contributes over $1.2 trillion in economic activity.
  • Provides 11 million jobs.

"U.S. airlines, general aviation and aviation manufacturing companies and their respective employees face intense competition from the rest of the world," the letter states. "Our policymakers should be focused on increasing U.S. international competitiveness rather than viewing the industry as a national piggybank. If we are to maintain global leadership and increase jobs in this country, we need to stop this mentality and ensure that tax and infrastructure policy are focused on strengthening U.S. aviation leadership and furthering the safety and modernization of the aviation system."

FMI: www.gama.aero, www.nbaa.org

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