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Fri, Nov 13, 2009

Atlanta City Council Committee Approves Delta Lease

FAA Told Members 'Most' Issues Have Been Addressed

The transportation committee of the Atlanta City Council has approved Delta Airline's pending lease at Hartsfield-Jackson International Airport, after the FAA told the committee that most of the agency's concerns have been addressed.

The vote Monday was 4 to 2. Two committee members said they wanted to continue discussion over the agreement.

The FAA had raised questions about what it said could be some anti-competitive provisions in the lease. FAA officials said they had met with representatives of both Delta and Air Tran to work out those issues.

"The response and revised agreement indicate that the agreement has progressed substantially toward resolving our prior concerns," wrote Benito De Leon, the director of the FAA's office of airport planning.

The FAA had also expressed concerns that the lease essentially required the airport to get Delta's approval on any airport improvements. The Atlanta Journal-Constitution reports that the FAA and the Secretary of Transportation "remain disappointed" with the language, but "we believe its effect on limiting competition at ATL should be minimal in light of the availability of other sources of capacity funding."

Council member CT Martin said in making the motion to approve the lease that he still had concerns about the lack of a provision that would keep Delta's hub in Atlanta, but that the FAA memo gave him the feeling it was time to move on.

FMI: http://citycouncil.atlantaga.gov/

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