Funding To Promote Safety, Sustainability, Growth Of Industry

The National Business Aviation Association lauded the Senate vote to approve several pro-aviation elements included in the revised budget reconciliation bill, saying the provisions will promote the growth, safety, and sustainability of the U.S. aviation industry.

The budget bill passed in the House of Representatives on May 22 contained similar measures before its referral to the Senate.

The Senate made revisions to the House legislation in a contentious debate, but the final version included the $12.8 billion down payment to fund the country’s air traffic control facilities, technologies, and other critical infrastructure. These aspects of the bill had the full support of NBAA and over 50 other aviation organizations in the recently assembled Modern Skies Coalition.

Ed Bolen, President and CEO of NBAA said, “We thank the Senate for recognizing with this initial funding that a safe and efficient national airspace requires a robust, resilient ATC system that bolsters our nation’s global aviation leadership.”

The Senate version includes a permanent reinstatement of full and immediate expensing of purchases for both factory-new and pre-owned aircraft.

Likewise, the Senate bill includes a four-year extension of the Clean Fuel Production Credit, albeit with a reduction from $1.75/gal to $1.00/gal. The provision is intended to stimulate the production of sustainable aviation fuel (SAF) and did so last year in which it doubled, but the reduction of the credit value may dampen that moving forward.

Bolen said, “As leading economists have found, immediate expensing helps companies and entrepreneurs relying on business aviation have access to a critical competitive asset, while strengthening America’s manufacturing base.”

He noted that the sector supports 1.3 million jobs and accounts for $340 billion in annual economic activity, saying, “These provisions represent an important investment in an essential American industry, and the citizens, companies and communities that depend on it.” NBAA looks forward to their continued progress.”

The large reconciliation bill is back for reapproval in the House for a final vote. If it passes it will head to President Donald Trump to be signed into law.

FMI:  nbaa.org/ , modernskies.com/