Debate on FAA reauthorization bill postponed

Senate Majority Leader Harry Reid (D-Nev.) pulled the Federal Aviation Administration (FAA) reauthorization bill from Senate consideration on May 6, after a failed attempt to end a filibuster related to concerns about non-aviation items in the bill.

It remains uncertain whether there will be an attempt to work out a compromise and bring the bill back for consideration at a later date. Authority for the aviation taxes has been temporarily extended until June.

Included in the bill was a provision — sponsored by Senate Finance Committee Chairman Max Baucus (D-Mont.) and Ranking Republican Member Chuck Grassley in Iowa — that would supplement revenues to the Highway Trust Fund's Highway Account and assure that funding authorized by SAFTEA-LU is fully available to states in fiscal year 2009.

Earlier this year, the U.S. Treasury forecasted that revenues in the account would fall $3.3 billion short of meeting next year's SAFETEA-LU guaranteed funding, raising the possibility of a 31% cut in FY 2009 funding. The Baucus/Grassley provision would provide $5.1 billion in additional revenue for the Highway Account to meet SAFETEA-LU commitments.

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