The Federal Aviation Administration has
tapped the ITT
Corp. to lead the development of a key aspect of a new,
"next generation" air traffic control system.
Under terms of
the $1.8 billion, multi-year contract, the ITT Corp. will serve as
the primary contractor on the Automatic Dependent
Surveillance-Broadcast (ADS-B), the primary component of NextGen,
the FAA's "wide ranging transformation of the
entire national air transportation system," according to the
FAA.
The ADS-B
system will use signals from the Global
Navigation Satellite System instead of traditional radar to
pinpoint aircraft locations. The system, which is expected to 
significantly reduce air
traffic displays, will provide airplane pilots with graphical
weather information, terrain maps and flight information, such as
temporary flight restrictions, the FAA said.
Importantly, the
FAA added, the system will "allow controllers and pilots to know
the precise location of aircraft, resulting in more direct flight
routes and air space efficiency, as well as reduced delays and
improved safety."
ITT is required
to have the system ready for use by 2010 and enable it to cover the
entire U.S by 2013.
"ADS-B -- and, in
turn, NextGen -- will attack the delay problem head on by
dramatically increasing air traffic efficiency," said FAA Deputy
Administrator Bobby Sturgell in a statement.
The Air Transport
Association, a trade group representing the major airlines,
applauded the FAA's announcement.
"We recognize the
critical role this technology will play in creating the NextGen
[Air Traffic Control] system and look forward to working with the
FAA and other industry stakeholders on the earliest possible
delivery of its operational, financial and environmental benefits,"
the ATA said in a statement.
"In particular,
we look forward to having the ITT Corp. team apply its expertise in
assessing the range of ADS-B benefits and identifying incentives to
accelerate user equipage. Now, it is up to Congress to institute a
fair funding mechanism that ends the subsidy of corporate jets
currently collected from passengers."
The FAA has
proposed shifting air traffic control costs to corporate jets,
arguing that commercial carriers pay a disproportionate share,
which the airlines agree with.
However,
corporate jet users have balked at the proposal, arguing that
commercial airline operations cause most of the
congestion.
Meanwhile,
Congress also appears to be at odds over the funding the
mechanism.
The House
Transportation and Infrastructure Committee proposed a bill in late
June that would leave all of the current funding mechanisms
intact.
While the Senate
Commerce, Science and Transportation Committee has proposed a bill
that would create an Air Traffic Modernization Fund supported by a
$25-per-flight surcharge on commercial and corporate
jets.
To contact reporter Michael Milligan, send e-mail to [email protected].