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GAO-07-773R 1 (2007-06-08)

handle is hein.gao/gaocrptavid0001 and id is 1 raw text is: 



  SGAO

       Accountability * Integrity * Reliability
United States Government Accountability Office
Washington, DC 20548








         June 8, 2007



         The Honorable James L. Oberstar
         Chairman
         The Honorable John L. Mica
         Ranking Republican Member
         Committee on Transportation and Infrastructure
         House of Representatives

         The Honorable Jerry F. Costello
         Chairman
         The Honorable Thomas E. Petri
         Ranking Republican Member
         Subcommittee on Aviation
         Committee on Transportation and Infrastructure
         House of Representatives


         Subject: Federal Aviation Administration: Cost Allocation Practices and Cost
         Recovery Proposal Compared with Selected International Practices


         Anticipating the expiration of the Federal Aviation Administration's (FAA) current
         authorization at the end of fiscal year 2007, the administration submitted a proposal'
         on February 14, 2007, for reauthorizing FAA and the excise taxes that fund most of its
         budget. This proposal would introduce cost-based charges for commercial users of
         air traffic control services, eliminate many current taxes, substantially raise fuel taxes
         for general aviation users to pay for their use of air traffic control services, and
         charge commercial and general aviation users a fuel tax to pay primarily for airport
         capital improvements. In January 2007, FAA released the results of a recently
         completed cost allocation study in support of the administration's proposal for

         'Two bills were introduced on request in the House and Senate, H.R. 1356 and S. 1076, respectively, the
         Next Generation Air Transportation System Financing Reform Act of 2007.

         2Federal Aviation Administration, FY2005 Cost Allocation Report (Washington, D.C., Jan. 31, 2007).


GAO-07-773R FAA Funding Comparison

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