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Details of House-Passed FAA Reauthorization Bill w/ Lithium Battery Provision

On April 1, 2011, the House passed H.R. 658, the FAA Reauthorization and Reform Act of 2011. H.R. 658 would authorize appropriations for the Federal Aviation Administration for fiscal years 2011 through 2014; streamline programs; provide funding for the national aviation system; prevent FAA from exceeding international standards on the air transportation of lithium batteries1, etc.

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(Lithium batteries are used in numerous products, including laptops and cameras.)

Next Step for FAA Reauthorization is a House-Senate Conference

The Senate passed its own FAA reauthorization bill, S. 223, on February 17, 2011. According to congressional sources, the next step is a House-Senate conference to resolve differences between H.R. 658 and S. 223.

White House Threatens to Veto Final Measure if Union Provision Not Removed

The White House has issued a supporting House passage of H.R. 658, but opposing a provision in the bill affecting union representation of railroad and airline workers (Section 903) and threatening a veto.

Lithium Battery Provision Would Prevent U.S. from Exceeding Int’l Standards

H.R. 658 would prevent (with one exception, see below) the FAA Administrator from issuing or enforcing any regulation or other requirement regarding the transportation by aircraft of lithium metal cells or batteries or lithium ion cells or batteries, whether transported separately or packed with or contained in equipment, if the requirement is more stringent than the requirement of the International Civil Aviation Organization Technical Instructions for the Safe Transport of Dangerous Goods by Air2,

An exception in H.R. 658 would allow the FAA Administrator to enforce the prohibition on transporting primary (nonrechargable) lithium batteries and cells aboard passenger carrying aircraft set forth in 49 CFR 172.102(c)(2), as in effect on the date of enactment.

Domestic Cargo and Other Excise Taxes Would be Extended

H.R. 658 would also extend through September 30, 2014, excise taxes that fund the Airport and Airway Trust Fund, including the tax on air cargo (freight) transportation of 6.25% of the amount charged for domestic transportation (no tax is imposed on international cargo transportation and the tax applies only to transportation that both begins and ends in the U.S.).

This excise tax was recently extended through May 31, 2011. (See ITT’s Online Archives or 04/01/11 news, 11040115, for BP summary of the enactment of H.R. 1079, a short-term Airport and Airway Extension Act.)

GAO Would Study Impact of on Aviation Fuel Prices on Aviation Exports

H.R. 658 would require the Government Accountability Office to conduct a study and report to Congress, not later than 180 days after the date of enactment, on the impact of increases in aviation fuel prices on the Airport and Airway Trust Fund and the aviation industry in general. The study would include an assessment of the impact of increases in aviation fuel prices on, among other things, aviation exports.

1During House consideration of H.R. 658, Representative Filner (D) filed an amendment which would have restricted air shipments of lithium batteries. However, that amendment was withdrawn prior to the passage of H.R. 658.

22009-2010 edition, as amended (including amendments adopted after the date of enactment.

(See ITT’s Online Archives or 11021856], for BP summary of the Senate’s passage of S. 223.)

H.R. 658 available here