ATC Privatization

ATC Privatization

Current ATC system:

• Funded by Congress and passenger/fuel/other taxes
• Operated by the FAA
• Outdated radar-based technology

Proposed NextGen System:

• Funded by user fees
• Non-profit, privately operated
• Satellite-based GPS technology

At a White House briefing in June of 2017, President Trump announced intentions to take forward steps toward privatizing ATC infrastructure in the coming days by transferring jurisdiction away from the FAA, who has “been trying to upgrade our nation’s air traffic control system for a long period of years.  But after billions and billions of tax dollars spent and the many years of delays, we are still stuck with an ancient, broken, antiquated, horrible system that doesn’t work.” (White House, 2017). This new system would be governed by a board of representatives, primarily airline and large airport officials. NextGen’s ATC funding comes from “user fees” charged to the carriers rather than the preexisting taxes charged to passenger’s tickets. This has gained traction with the general flying public as a means to reduce flight fares, streamline airport waiting times, and simplify air travel in general.  

As seen in the above promo of Captain Sully speaking out against privatization, the general aviation community has traditionally opposed ATC privatization on account of the proposed user fees as well as overreach of the airline’s control and influence over the infrastructure. Outcry results from the potential of an unequally distributed system of assigning user fees for airlines vs GA operators. NextGen ATC would be undeniably cheaper for the government as it directs the burden onto users, primarily airlines, and relieves passengers of additional ticket taxes. There is also concern that GA among the new board governing privatized ATC would would be underrepresented. ATCnotforsale.com supplies this promo of Captian Sully speaking out against privatiztion as well as the following breakdown of proposed board seats-

The airlines, however, are in strong support of privatizing the ATC system because the new design would largely prioritize airliner activity and airline-supported airports over GA and local community airports and smaller-scale operations.

Airline Owners and Pilot Association (AOPA) has responded to this debate in full force. Their website homepage reads “ Oppose ATC ‘Privatization’” and urges members to contact their local representatives in Congress to oppose H.R. 2997, the 21st Century AIRR Act “which would remove air traffic control from the FAA and turn it over to the airlines.” AOPA, 2017). In my own experience I witnessed AOPA’s outspoken opposition to ATC privatization at EAA AirVenture at Osh Kosh in 2017. The AOPA booth and display featured a banner encouraging attendees to oppose H.R. 2997.  

Alternately, the National Air Traffic Controllers Association (NATCA) has expressed support, albeit quietly, of privatizing the infrastructure so long as their job security was ensured. According to NATCA’s online published minimum requirements, a reformed system must do the following:

• protect the rights and benefits of the workforce;
• ensure that safety and efficiency remain the top priorities;
• provide a stable, predictable funding stream that adequately supports air traffic control services, staffing, hiring and training, long-term modernization, preventative maintenance, and ongoing modernization of the physical infrastructure; and
• maintain service to all segments of our nation’s diverse aviation community.

Privatized ATC has already been implemented in several developed countries including New Zealand, Germany, Australia, France, the UK, and Canada. Canada’s system, called Nav Canada is a fully functional non-profit, private ATC system in operation since 1996. Nav Canada is funded by service charges applied to aircraft operators. As a company, Nav Canada is governed by a “board of directors” representing the four primary sectors of aviation in Canada: the air carriers, GA/business, the Canadian government, and unions (Nav Canada). There are 15 total seats on the board. There is no concrete evidence of Nav Canada running more or less smoothly than our own current system. In any case, it is a difficult metric to follow considering we manage much higher volumes of both domestic and international air traffic.

For ATC privatization to become a reality here, the proposal (H.R. 2997) would have needed to pass through Congress. It failed to do so in February of this year and is now back to square one. I expect the current administration to make further attempts as ATC privatization as this issue has been a selling point since the campaigning days.  

I believe the current ATC system would be more efficient for commercial travelers and airliner operations if it were to be privatized. Class Bravo airspaces would likely experience streamlined traffic and increased efficiency. I also see the potential downfalls of privatized ATC: stepping on GA operations, providing insufficient support to local airports and smaller aircraft, and a lack of GA leadership representation on the proposed ATC governing board.

Link to the proposed 21st Century Aviation Innovation, Reform, and Reauthorization Act available here: https://www.congress.gov/bill/115th-congress/house-bill/2997

References

Atcnotforsale.com. (2018). ATC Not For Sale | GA United Against ATC Privatization. [online] Available at: https://www.atcnotforsale.com/ [Accessed 4 Apr. 2018].

Faa.gov. (2018). Modernization of U.S. Airspace. [online] Available at: https://www.faa.gov/nextgen/ [Accessed 5 Apr. 2018].

Flying Magazine. (2018). ATC Privatization. [online] Available at: https://www.flyingmag.com/atc-privatization [Accessed 5 Apr. 2018].

Navcanada.ca. (2018). NAV CANADA: About Us - ATC. [online] Available at: http://www.navcanada.ca/EN/about-us/Pages/what-we-do-atc.aspx [Accessed 5 Apr. 2018].

Phys.org. (2018). The pros and cons of privatizing air traffic control. [online] Available at: https://phys.org/news/2017-06-pros-cons-privatizing-air-traffic.html [Accessed 5 Apr. 2018].

The White House. (2018). Remarks by President Trump at Announcement of Air Traffic Control Initiative. [online] Available at: https://www.whitehouse.gov/briefings-statements/remarks-president-trump-announcement-air-traffic-control-initiative/ [Accessed 4 Apr. 2018].