| Topics in this Volume
 Congress Allows 20th Extension Of FAA Reauthorization To Expire |
The FAA shut down partially, beginning at midnight on Friday, after lawmakers failed to reach a last-minute agreement on a stopgap funding measure for the agency. Air traffic control systems will remain in operation, and employees doing those jobs will be fully paid. Until Congress acts, the FAA will be unable to collect federal taxes on aviation, and it will be forced to furlough 4,000 federal workers, including almost 1,000 in Washington.
The U.S. House of Representatives passed a bill that would mark the 21st extension since legislation authorizing the FAA expired in 2007. House Republicans included provisions in the extension to reform the Essential Air Service program that would cut airport subsidies in some areas, including those of Senate Majority Leader Harry Reid (D-NV), Commerce, Science and Transportation Chairman John Rockefeller (D-WV) and Senate Finance Committee Chairman Max Baucus (D-MT). The standoff began as a dispute between House Republicans and the Democrats over rural airport subsidies, but it has since grown into a broader blame game about who is responsible for failing to reauthorize funding for the FAA over the long term.
How does the expiration of these taxes affect you? Click here to view NATA’s notice to members.
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Transportation Excise Taxes Expire!
Commercial Operators Tax Seminar Will Unravel Confusion |
Act Now! Early registration and housing discounts end next Monday.
Because Congress has failed to pass a bill extending taxing and spending authority for the FAA, the taxes applied to air charter operations and for general aviation fuel usage have expired.
Do you know how to manage this lapse in taxes?
The Commercial Operators Tax Seminar, August 23-24 in Ft. Lauderdale, Florida, will give you an opportunity to have your questions about the expired taxes answered. Even if the lapse in taxes lasts only a few days, it will directly impact collections from your customers, fuel tax credits and your quarterly tax filing. The Commercial Operators Tax Seminar will give you the most up-to-date information on how to manage this unique situation and how the FAA reauthorization is progressing.
The Commercial Operators Tax Seminar provides operators with detailed information on federal excise taxes (FET), how those taxes intertwine with FAA operational regulations, tips for surviving an FET audit and other key tax issues.
All sessions are designed to answer the questions most commonly faced in an on-demand operation and provide attendees with clear, concise guidance to take back to the office.
Please join NATA and Conklin & deDecker on August 23-24 in Ft. Lauderdale for this valuable seminar.
Discounts for registration and accommodations are good through Monday, August 1. Visit www.nata.aero/taxseminar now for more details and to lock in your savings!
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| Hearing Date Set In CA Avgas Lawsuit |
On October 3, Chief District Court Judge Anthony W. Ishii, of the U.S. District Court, Eastern District of California, will hear arguments on the request for a preliminary injunction to prevent the Center for Environmental Health (CEH) from filing suit under California law against numerous aviation businesses that sell or distribute aviation gasoline (avgas). CEH, a San Francisco-based environmental group, issued several notices of violation (NOVs) in May of this year to California FBOs, aviation fuel distributors and avgas producers. The NOVs allege that, because avgas contains lead, the named companies have violated the California Safe Drinking Water and Toxic Enforcement Act, also known as Proposition 65 (Prop 65). CEH is seeking to block the sale of leaded avgas in California and impose financial penalties on the companies named.
In response, a coalition of businesses named in the NOVs has sued the CEH and the attorney general of the state of California. The suit asks a federal judge to issue an injunction to prevent Prop 65 enforcement actions relating to avgas from proceeding. The complaint states that a Prop 65 action will disrupt ongoing efforts by the FAA and the U.S. Environmental Protection Agency (EPA), who are working with industry groups to identify an alternative to leaded fuel that can be safely and reliably used by piston-powered airplanes. NATA, which has engaged common counsel with the coalition to protect the interests of all NATA members, is supporting this group with facilitation and administrative services.
NATA firmly believes that the regulation of the sale, content and use of aviation fuel is a federal matter and must be left to the FAA and EPA. Currently, the FAA, EPA and industry are fully engaged in addressing the future of leaded aviation gasoline through an FAA-chartered Aviation Rulemaking Committee. State intervention in this process, by way of private lawsuit, will only lead to a frustration of this effort and a patchwork of regulations across the country.
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| No Resolution On Deal To Increase Debt Ceiling |
Democratic leadership in the U.S. Senate and U.S. House of Representatives met on Sunday evening at the White House to discuss the debt crisis. Senate Majority Leader Harry Reid (D-NV) and House Speaker Nancy Pelosi (D-CA) were among those in attendance. Congressional negotiators failed to produce a debt-ceiling plan earlier in the day that was expected to allow the Asian markets time to process a last-ditch bid to ward off the market turmoil threatened if Democrats and Republicans can’t compromise.
As of Saturday, congressional leadership worked on a plan outline of a two-stage strategy. First, lawmakers would vote on a package to cut agency spending by as much as $1 trillion over the next decade and raise the debt limit, currently set at $14.3 trillion, by the same amount. This would potentially allow for enough borrowing authority to cover the nation’s bills through the end of this year. Then Congress would work to produce as much as $3 trillion in additional savings through an overhaul of the tax code and major changes to Social Security and Medicare. A bipartisan debt-reduction committee comprising 12 lawmakers from both the House and Senate would be created by Congress. However, the two sides are still in disagreement over how to force Congress to produce a second round of savings. House Speaker John Boehner (R-OH) wants to set another debt-limit vote early next year, while Democrats are insisting on a plan that would postpone another debt-limit vote until after the 2012 presidential election.
President Obama has repeatedly objected to a short-term debt-limit extension, claiming that it would invite the same high-stakes gridlock that now threatens the sputtering U.S. recovery. The deadline to reach an agreement is August 2, 2011.
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| Bill Introduced To Prohibit Taxing U.S. Aircraft Flying Into/Out Of European Union |
A bill was recently introduced by U.S. House of Representatives Committee on Transportation and Infrastructure Chairman John Mica (R-FL), Transportation Committee Ranking Member Nick Rahall (D-WV), Aviation Subcommittee Chairman Tom Petri (R-WI), and Aviation Subcommittee Ranking Member Jerry Costello (D-IL) to ban U.S. air carriers from participating in the European Union’s (EU) Emissions Trading Scheme (ETS). The EU ETS requires participation in the program’s emissions cap and trade requirements despite objections from the United States Government.
The bipartisan legislation, the “European Union Emissions Trading Scheme Prohibition Act of 2011,” is a strong response to the EU’s decision to impose a costly fee on any civil aviation aircraft landing at or departing from its airports. The fee would take effect January 1, 2012, and all airlines would be forced to participate. “This unjust European Union emissions trading scheme is a clear violation of international law that puts U.S. air carriers at a competitive disadvantage, kills U.S. aviation jobs, and may lead to a trade war,” stated Chairman Mica. He argued that he implementation of this bill will send a clear message to the EU that the U.S. will not participate in this unlawful program.
The bill includes steps to make sure that any U.S. aircraft operators flying into or out of the EU will not participate in the scheme and will negotiate and take every step necessary to ensure that they are not penalized by not participating in the scheme, as directed by the Secretary of Transportation. The U.S.’s active participation with the International Civil Aviation Organization policies and standards should provide a framework for any measures to address international civil aviation emissions issues. In addition to the U.S., China, Australia, Canada and other countries have expressed objections to the application of ETS to their air carriers.
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Support Congressional Candidates Essential To General Aviation
Join NATAPAC Today! |
In the past, NATA successfully contributed to Members of Congress who have proven their leadership in supporting general aviation. NATAPAC supports the congressional campaigns of Members who look out for the interests of aviation businesses, regardless of party affiliation. With political fundraising and campaign activity at an all time high, we cannot afford to allow other interest groups to define the issues that will impact our members.
To stay informed about NATAPAC, fill out the authorization form located in the NATAPAC brochure today. NATA must ask for permission to solicit its members, as required by law. Because NATA is a not-for-profit 501(c)(6) organization, we must obtain written approval from NATA’s member companies before soliciting contributions for NATAPAC. Completing and returning the form in no way requires you to make a contribution; however, signing the authorization form allows you to stay informed on congressional candidates NATAPAC supports and to contribute to NATAPAC if you choose.
To view the NATAPAC brochure, including authorization form, please click here.
Additional information regarding NATAPAC can be found at www.nata.aero/natapac.
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| Losses Happening At Aviation Businesses – Free Webinar Series Will Enlighten NATA Members |
On July 27, 2011, at 1:00 PM EDT, NATA Workers’ Compensation Insurance program partner USAIG will host the first in a series of webinars addressing the types of Workers’ Compensation Insurance losses that participating members are experiencing. This webinar series follows on the heels of a study that USAIG conducted of ten years of Workers' Compensation Insurance-related accident data. USAIG is utilizing this data to address workers’ injuries and recommend training to assist in the reduction of future workplace accidents.
The first webinar in the series will focus on back strain, including aviation-related back strain statistics and how they measure up to other industries as well as a real-world case study that reviews accident circumstances, seasonal influences affecting losses and USAIG’s comments on the case study accident. Remedial actions and training resources, including a resource road map for participants, will be reviewed.
These webinars are important to USAIG, NATA and program participants in helping to combat frequently occurring incidents and accidents and make your business a safer place to work.
Click here to sign up for the free webinar.
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| Advertise With NATA Today! |
Online advertising with NATA connects you to thousands of industry leaders. It offers high visibility, optimum value, and direct access to aviation business leaders throughout the world.
Advertising in NATA’s weekly newsletter allows 7,000 readers to learn more about your organization or a featured product you offer. These newsletters are sent to segments of the membership based on their area of interest. On average, more than 12,000 visitors browse nata.aero per month. Imagine getting your message to that many people, in addition to your own marketing efforts!
For more information on advertising with NATA please contact Linda Pylant at (703) 845-9000 x112.
2011 Advertising Rates
nata.aero Homepage Advertising
Home page ad - $1,200 per month
NATA Newsletter Advertising
NATA News - $1,500 (52 issues)
Arrival Times - $600 (12 issues)
ASC Monthly Update - $600 (12 issues)
Safety 1st Flitebag - $1,200 (12 issues)
Safety 1st eToolkit - $1,200 (12 issues)
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| Fact of the Week |
Being a member of NATA provides a wealth of benefits. One of the most under-utilized benefits is often our Web site. Everyone knows that www.nata.aero is a great place for getting the latest information for government actions affecting your business, but what some members aren’t familiar with is our issues page. The issues pages are accessed by clicking on the “View All Issues” link found in the center column of the NATA homepage in the Issues block. This special section on the homepage contains direct links to some of the more popular or recently updated issue pages. The issues pages provide access to the many topics NATA has addressed over the last several years.
Clicking on an issues page topic will take you to a page with all the information that NATA has produced on that topic, including white papers, action calls, advocacy letters and much more.
If you don’t have a user name and password but your company is an NATA member, just click on the "Need a Login?" link under the login area and you will be guided through the process of creating your own log-in to the Web site.
We invite you to spend a little time browsing the issues page and the rest of the NATA Web site.
Click here to visit the NATA Issues Page.
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