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March 2, 1999, Tuesday FINAL AM EDITION

SECTION: BUSINESS; Pg. 1

LENGTH: 944 words

HEADLINE: Congress faces March 1 deadline on FAA bill;
Aviation interest groups are increasingly concerned.

BYLINE: Maria Recio, Star-Telegram Writer - Washington Bureau

BODY:
WASHINGTON - A legislative effort to complete work on a host of
aviation issues is taking wing now that Congress' preoccupation with
impeachment has ended.

And not a moment too soon, airport operators say.

Congress is facing a March 31 deadline to reauthorize the Federal
Aviation Administration, and nervous aviation interest groups are
increasingly concerned that lawmakers will not make it.

At stake is $ 1 billion in airport construction funds, that
currently cannot be tapped, for things from terminals to runways. Although no one expects projects to grind to a halt immediately,
there is concern that delays will hurt airports and cut into the
construction season, especially in northern states.

"Everyone knows that the crunch is on, but we're real concerned
that there's so much that has to be done by March 31," said Todd
Hauptli, senior vice president of the American Association of Airport
Executives.  The impact will be felt at smaller airports because the
major airports, such as Dallas/Fort Worth Airport, raise more
revenues from passenger fees assessed at their facilities and are
less dependent on federal funds.

Jeff Fegan, D/FW's executive director, wants the right to increase
fees known as passenger facility charges, which are now $ 3 per flight
segment - an issue Congress will probably also turn to later this
year.

But, for the moment, officials at smaller fields and in areas of
the country that are worried about the construction season are
beginning to agitate about the FAA funding.

"Many of us northern-tier states have short construction seasons,"
North Dakota Gov. Edward T. Schafer said during last week's National
Governors' Association meeting.  "If we miss this by not reauthorizing
the bill in this fiscal year, we simply will miss the whole
construction season. "

The congressional scenario is complicated by both politics and
personalities.

In the next few weeks, the Senate is expected to consider a bill
sponsored by John McCain, R-Ariz., chairman of the Senate Commerce,
Science and Transportation Committee, that reauthorizes FAA programs
for two years.  But the bill contains provisions that are opposed in
the House.

Notably, the bill expands the number of flights at four
capacity-controlled airports in Chicago, New York and Washington,
D.C. Two of the airports are in New York: LaGuardia Airport and John
F. Kennedy Airport.

The Senate provision expanding airport slots and thus the number
of flights at Chicago's O'Hare Airport so enraged Rep.  Henry Hyde,
R-Ill., that he prevailed on then-Speaker Newt Gingrich, R-Ga., to
kill the original bill.  Lawmakers scrambled to pass a six-month
extension to keep the program alive.

The Senate bill still includes these provisions, and it will be
difficult to get the House to agree, aviation specialists say.

Realizing he could not get a comprehensive bill through the House
quickly, Pennsylvania Republican Bud Shuster opted for another
six-month extension until the end of the fiscal year.  Shuster is
chairman of the Transportation and Infrastructure Committee and got
the House to approve the extension Jan. 7.

But McCain, like Shuster, has a strong personality and wants to
move on a comprehensive bill.

"McCain is against a short-term bill," said Pia Pialorsi,
spokeswoman for the Senate Commerce, Science and Transportation
Committee.  "We've been working on a comprehensive bill for three
years, and it's time to pass it. "
Moreover, the two differ on whether to order the FAA to spend all
the construction money in the aviation trust fund, collected from
ticket taxes and user fees.  Shuster wants all the money spent, but
McCain does not want to put that in the legislation formally.

Although seemingly arcane, the issue has nonetheless polarized the
House and Senate committees.

"Shuster and McCain each seem to have their arms around their
toys," sighed Loretta Scott, airport director at Grand Prairie
Airport.  "They need to come to some compromise. "
Scott is chairman of the American Association of Airport
Executives and has been trying to get Congress to act.

The House panel is drafting a comprehensive bill, but it is
unclear when lawmakers will begin considering it and doubtful that it
will be by the March 31 deadline.

In addition to the FAA bill, Congress is gearing up on bills to
protect passengers.  Lawmakers in both chambers have rushed to
introduce bills that would give travelers recourse against airlines
for holding them on planes for more than two hours.

The Senate Commerce Committee will conduct a hearing on passenger
complaints March 11, and the House Transportation Committee will
conduct hearings March 10-11.

Maria Recio, (202) 383-6103
mreciokr@washington.com

Impact on travel

Congress faces a March 31 deadline to reauthorize the Federal
Aviation Administration, and thereby free up $ 1 billion in airport
construction funds for things like terminals and runways.  Some wonder
if Congress can meet the deadline.

Construction projects are not expected to stop immediately if the
deadline passes without reauthorization.  Any delays will likely
affect mainly small and medium-size airports, especially in the
North, where construction seasons are short.

Adding to the uncertainty is the fact that the Senate
reauthorization bill contains provisions that are opposed in the
House.  And the two chambers cannot agree on whether to try for a
comprehensive aviation bill or shoot for a measure that simply
extends the FAA for six months.

Congress is also considering a "passengers bill of rights. "

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