The Global Business Travel Association and Airlines for
America applauded the omnibus bill passed Thursday by the House because it does
not include an increase in the Passenger Facility Charge (PFC).
The PFC is a fee that airports, at their own discretion, are
allowed to assess passengers for capital improvement projects. It is currently
capped at $4.50 per flight segment and was last increased in 2000. A bill to
increase the cap to $8.50 for the first segment was proposed in 2017. With
government funding set to expire at midnight Friday, March 23, the House
scrambled to push through the $1.3 trillion spending bill, which does not allow
for that increase.
"Congress has again recognized that such a large
increase of the PFC is simply unwarranted," stated Michael McCormick, GBTA's
executive director and COO. "Travel in general, and specifically business
travel, is greatly impacted by increased taxes and fees. Rejecting this
increase is a positive step towards continued business travel growth, which
drives lasting economic growth."
Airlines for America CEO Nicholas Calio said keeping the PFC
capped at $4.50 "is a continuation of the promise Congress made to the
American people three months ago when they passed historic tax cuts."
Calio added that a doubling of the PFC "is neither
justified nor needed at a time when U.S. airports are in a strong financial
position, sitting on billions of dollars in record revenue collected from
airline passengers."
The U.S. Travel Association and the Airports Council
International-North America are among the supporters of increasing the PFC.
U.S. Travel CEO Roger Dow had praised the 2017 bill that would have increased
the cap on the PFC.
"Improving airport infrastructure was a core campaign
promise for the president, and seeing this measure across the finish line would
represent a major legislative achievement," he said last year.