HOUSE BILL REQUIRES SCREENING OF ALL AIR CARGO January 11, 2007 What’s at Issue The U.S. House of Representatives has passed legislation, as part of the initial “First 100 Hours” legislative package, that would, according to Democratic lawmakers, address the recommendations made by the 9-11 Commission in 2004 that have not yet been enacted into law. H.R. 1, Implementing the 9-11 Commission Recommendations Act of 2007, was passed by the House with no committee action and no opportunity for amendment. Included in the legislation are several aviation security initiatives, including a mandate to require the screening of all air cargo aboard passenger aircraft. Why It’s Important The requirement to screen all air cargo within three years places a significant cost burden on passenger air carriers and ground service providers charged with handling cargo for airlines. House Democratic leaders have said they do not intend to appropriate additional federal money for air cargo screening. Congress currently appropriates approximately $60 million annually for air cargo screening. Major Provisions H.R. 1 includes the following aviation security provisions: Screening of all air cargo aboard passenger aircraft: H.R. 1 requires the Department of Homeland Security (DHS) to adopt a program that would require all cargo carried aboard passenger aircraft to be screened within 3 years. The bill phases in screening requirements, mandating that 35 percent be screened by FY07, 65 percent by FY08, and 100 percent by the end of FY09. The bill gives the DHS the authority to issue an interim final rule (IFR) to accomplish this goal. The language also allows the DHS and TSA to exempt certain operations from the screening requirements, but the agencies must explain the reasons for doing so to Congress. Reauthorization of the Aviation Security Capital Fund: The legislation extends the authority of the TSA to issue letters of intent to airports regarding the installation of in-line baggage screening systems. The legislation also extends the authority to collect passenger security fees. Appeal system for passengers wrongly denied boarding: The bill directs the DHS to establish a process for passengers who believe they have been denied boarding because of security concerns. OVER… (Major Provisions Continued) Collective bargaining rights for TSA screeners: The bill would eliminate the personnel management authority of the TSA, effectively allowing TSA screeners the option to unionize if they so choose. There are no provisions related to general aviation included in the legislation. NATA Position NATA is strongly opposed to the air cargo provision contained in H.R. 1. Requiring screening for all air cargo without providing additional federal funds constitutes an unfunded mandate and places airlines and aviation businesses at a tremendous disadvantage. Airline services providers will be hit hardest, as they will face enormous cost hikes. Airlines will lose revenue, as increasingly more cargo will be shipped via all cargo carriers. At this time, Congress should modestly increase the required amount of air cargo to be screened and also invest in technology that will enable much more cargo to be screened in the future. Status The House passed H.R. 1 on January 10 by a vote of 299-128. In a Statement of Administration (SAP) Policy, the White House has objected to several provisions of the bill, including the mandate for screening all air cargo and providing collective bargaining rights for TSA screeners. The SAP did not indicate whether the President would veto H.R. 1 in its current form. The U.S. Senate will soon consider a companion bill addressing 9-11 concerns. Key Senators, including the leaders of committees with jurisdiction over homeland security issues, have noted the impracticability of requiring screening for all air cargo. Before proceeding with legislation, the Senate Committee on Commerce, Science, and Transportation will hold a hearing on January 17 to discuss the remaining recommendations made by the 9-11 Commission. Staff Contact: Stephen Beaulieu Manager, Legislative Affairs sbeaulieu@nata.aero