But Associations Say Continued Vigilance Needed, Member Mobilization Was Key To Outcome

As Congress and the White House finalized a package to raise the nation's debt ceiling, NBAA President and CEO Ed Bolen said industry mobilization was important for keeping the bill free of proposals targeting industry – and that sustained vigilance would be needed as debt-ceiling developments continue to unfold.

"As everyone knows, the recent negotiations over the debt ceiling have included rhetoric and policy proposals that have alarmed the business aviation community," Bolen said. "Remarks denigrating companies that rely on business aviation have been used to revive proposals for onerous user fees and impromptu changes to aircraft tax policy."

Bolen noted that, as with previous policy battles confronting business aviation, it has been critical in recent weeks for people in the industry to tell their elected officials, as NBAA has been doing, that the nation's deficit is a concern to everyone, but the debate over how to address it should not be dominated by finger-pointing and punitive policies aimed at an essential American industry.

Throughout the debt-ceiling debate, NBAA Members have used the Association's online Contact Congress resource and Legislative Action Hotline to tell lawmakers to oppose onerous proposals for business aviation, and promote policies that foster the industry's ability to create jobs, help companies of all sizes succeed, provide a transportation lifeline to communities with little or no airline service and support humanitarian efforts.

"It is clear that policymakers heard the clear and unified message from the Association and its members as the negotiations progressed," Bolen said. "We thank the business aviation community for answering our calls to action – their activism has been critical to shaping a positive outcome for the industry." While applauding NBAA Members' readiness to advocate for the industry's interests in the debt-ceiling debate, Bolen emphasized that the situation is far from resolved.

"The debt-ceiling legislation approved by the White House and Congress requires policymakers, before the year's end, to offer measures for reducing the amount government spends, or increasing the revenues it takes in," Bolen said. "That means our industry could once again be targeted for new tax or user fee proposals. In short, we've lived to fight another day, but more battles are likely ahead, and it will be as important as ever for the business aviation community to ensure that its voice is heard. We have been able to count on NBAA Members to do that in the past, and I'm certain that will be the case going forward."

"While the AEA is breathing a sigh of relief that the debt ceiling bill finally has been passed without the inclusion of language calling for user fees and the elimination of the bonus depreciation program for aircraft and avionics purchases, we certainly are cautious that lawmakers may try to include that language yet this fall," said Paula Derks, AEA president.

"We definitely have not heard the last of a user fee scheme or the prospect of eliminating the popular tax depreciation plan for buyers of new aircraft and avionics," Derks explained. "This means the entire general aviation community needs to be on a constant vigil and ready to react to those proposed fees and/or new taxes. Again, our community will need to rally together and continue to educate our elected officials on the importance of this industry to our nation's economy."

FMI: www.nbaa.org, www.aea.net