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Old July 9th 07, 02:36 PM posted to rec.aviation.piloting
Matt Barrow[_4_]
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Posts: 1,119
Default The Administrative Cost Of ATC User Fees


"kontiki" wrote in message
...
Larry Dighera wrote:

The news item below cites International Air Transport Association as
saying that its members pay between $85 and $125 to process one
invoice:

NBAA GIVES THUMBS UP TO HOUSE FAA BILL
(http://www.avweb.com/eletter/archive...ll.html#195540)
The House of Representatives FAA reauthorization legislation
(H.R.2881 ()) has been received with open arms by the National
Business Aviation Association (NBAA), thanks to the bill's support
for ATC modernization without aviation user fees. NBAA President
and CEO Ed Bolen praised House leaders for understanding "that the
aviation system must be modernized to meet capacity demands [and]
that user fees shouldn't be mistaken for a modernization plan." In
previous testimony before Congress, Bolen said user fees are
costly for governments to administer, requiring a large, expensive
bureaucracy. Additionally, NBAA said user fees come with an
administrative burden for operators and cited International Air
Transport Association (IATA) reports that IATA members spend
between $85 and $125 to process one invoice. The association said
user fees can also be increased at any time to make up for
declining revenue.
http://www.avweb.com/eletter/archive...ll.html#195540


There is absolutley no doubt that implementing user fees will have
a massive overhead associated with it.... collecting and processing
these fees. Take a look at the IRS... collecting processing taxes
(which are essentially "user fees") .. its a MASSIVE bureaucracy
which cost taxpayes an insane amount of overhead. A simple national
sales tax would be far more efficient. But wait... isn't that what
we already have in aviation fuel taxes?


Have you seen how much overhead Canada or New Zealand's ATC systems cost?