Letter to Barack Obama, President of the United States - Attacks on General Aviation Are Misguided and Harmful

Letter

Date: March 18, 2009
Location: Washington, DC
Issues: Transportation

U.S. Senators Pat Roberts and Sam Brownback today sent a letter to President Obama opposing misguided and reckless statements and policy suggestions affecting the general aviation industry.

The following is the text of the letter sent March 18, 2009:

The President
The White House
Washington, DC 20500

Dear Mr. President

"We write to express our concerns over the current status and future of a vital American industry that has suffered not only from global economic challenges but also from misinformed public statements by elected officials.

"During your address to the Joint Session of Congress, you said "This time, CEO's won't be able to use taxpayer money to...disappear on a private jet." While we understand your intent may have been to chastise companies who made irresponsible decisions with taxpayer funds provided by the Treasury Department, we are concerned that your comments may be used to fan a flame of misconception regarding the use of general aviation.

"While some may find it politically expedient to simply view business aircraft use as a luxury, the reality is that many businesses of all sizes rely on these aircraft to provide the most cost effective and efficient means of transportation for their business model. Business aircraft provide employees with the flexibility to travel directly to smaller airports not serviced by commercial airlines as well as the ability to conduct business while traveling. Furthermore, 86% of passengers on business aircraft are in fact not CEO's or company "fat cats" but actually mid-level managers, sales representatives, and technical employees.

"Additionally, we applaud and support your recognition in the 2010 Budget proposal to modernize our Air Traffic Control System. Modernization is long overdue and we must move forward in developing the Next Generation Air Transportation System. However, we are concerned with a somewhat ambiguous reference to "repealing some aviation excise taxes and replacing these taxes with direct user charges" included in a footnote on page 129. We hope this "user charge" is not a repeat of the flawed policy proposal from the previous administration. The user fee approach for modernizing our Air Traffic Control services proposed by President Bush greatly disadvantaged the general aviation industry and was rejected by the House of Representatives and the Senate Finance Committee in the previous session of Congress.

"This proposal failed to recognize general aviation's contributions to our national economy. Specifically, the general aviation industry is responsible for over 1.2 million jobs contributing over $150 billion to the U.S. economy. Moreover, in 2007 general aviation manufacturers delivered over 3,279 airplanes valued at close to $11.9 billion. Nearly 40% of these airplanes were exported, preserving one of the few domestic manufacturing positive trade balances in the U.S.

"Over half of the world's general aviation airplanes are manufactured in Wichita, KS and the surrounding area. Our state employs nearly 40,000 workers in the aviation sector which impacts roughly 140,000 jobs statewide. We are the "Air Capital of the World' for a reason, but unfortunately this industry is not immune to the effects of the global economic crisis. Many general aviation manufacturing, supply and servicing companies recently announced layoffs and production delays. Financing strains coupled with threats from public officials about the use of business aircraft have slowed orders for new planes resulting in job losses. The last thing this industry needs is unwarranted and unfounded public criticism on top of punitive policy suggestions that pit one aviation sector against another.

"We look forward to working with you to enact policies that bolster this uniquely American industry and domestic economic engine."


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