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Welcome to appropriations season
Welcome to appropriations season

Politico

time2 days ago

  • Business
  • Politico

Welcome to appropriations season

With help from Pavan Acharya QUICK FIX — House appropriators released their fiscal 2026 spending bill for DOT, which includes a funding boost for the FAA. — It's a busy few days on Capitol Hill when it comes to transportation issues. DOT chief Sean Duffy will be testifying before lawmakers, and three DOT administrator nominees have their confirmation hearing. — The FAA is expected to update its request for companies' ideas on how to revamp the nation's air traffic control system. We break down the schedule. IT'S MONDAY: You're reading Morning Transportation, your Washington policy guide to everything that moves. We're glad you're here. Send tips, feedback and song lyrics to Sam at sogozalek@ Chris at cmarquette@ Oriana at opawlyk@ and Pavan at pacharya@ and follow us at @SamOgozalek, @ChrisMarquette_, @Oriana0214 and @pavanmacharya. 'Mountains rough this time of year/ Close the highway down/ They don't warn the town/ I've been fightin' second gear/ For 15 miles or so/ Tryna beat the angry snow.' Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You'll also receive daily policy news and other intelligence you need to act on the day's biggest stories. Driving the Week DIG IN: The House Appropriations Committee is out with its fiscal 2026 spending bill for DOT, Sam reports. You can read it here, and a summary is available here. The Transportation, Housing and Urban Development, and Related Agencies subcommittee will mark up the legislation at 5 p.m. today. Your MT team is digging through the text, and will have full coverage throughout the week. HIGHLIGHTS: The legislation includes around $22 billion in discretionary money for DOT, which is roughly $3.1 billion below fiscal 2025 levels and $4.7 billion less than the Office of Management and Budget's request, according to the committee's summary. With $83.3 billion in obligation limitation for highway and airport trust fund programs, there's approximately $105 billion in 'total budgetary resources' to 'improve the safety and efficiency of our nation's transportation system,' the summary says. — The FAA would see a notable boost in funding, snagging about $23.3 billion — an increase of roughly $2.3 billion compared to fiscal 2025. This includes approximately $10.4 billion to 'fully fund air traffic control operations' and to allow the FAA to hire 2,500 controllers, the summary says. THE STAKES: Lawmakers are racing to avoid a government shutdown before the Sept. 30 funding deadline — a tall order, with Congress on recess in August and limited days in session over the coming weeks. And Democrats may have little incentive to help Republicans in the Senate pass appropriations bills as the Trump administration continues its government-slashing effort, which includes a rescissions package that targets foreign aid and public broadcasting. On The Hill BUSY, BUSY, BUSY: Aside from the House appropriations markup, Wednesday is jam-packed with transportation-related events on Capitol Hill — all at 10 a.m. They are: — House Transportation Committee: DOT Secretary Sean Duffy, who is also now interim administrator of NASA, will answer questions from lawmakers during an open forum about Navy Yard, including the department's fiscal 2026 budget request. Expect questions on everything from Duffy's plan to build a 'brand new' air traffic control system to how his temporary role at the space agency will impact his work at DOT. — Senate Commerce Committee: Three DOT administrator nominees — Jonathan Morrison for NHTSA, Derek Barrs for the FMCSA and Paul Roberti for PHMSA — will testify at their confirmation hearing. Expect questions about NHTSA's oversight of Elon Musk's Tesla and autonomous driving technology, as well as traffic fatalities; trucking safety and the FMCSA's regulation of the industry; and PHMSA's pipeline safety enforcement. — Senate Environment and Public Works Committee: The panel will hold a hearing about the upcoming surface transportation bill, which will succeed the 2021 infrastructure law. (The Biden-era package expires next fall.) EPW Chair Shelley Moore Capito ( previously told your MT host that she wants to have text in hand by year's end. The witnesses will be: North Dakota Gov. Kelly Armstrong (R), on behalf of the National Governors Association; Austin Ramirez, CEO of Husco International Inc., on behalf of the National Association of Manufacturers; and Kate Gallego, mayor of Phoenix, Arizona. BONUS: The House Homeland Security Committee's transportation and maritime security panel is hosting a hearing at 10 a.m. Tuesday titled: 'Surveillance, Sabotage, and Strikes: Industry Perspectives on How Drone Warfare Abroad Is Transforming Threats at Home.' Aviation THE RACE IS ON: The FAA is expected to release early this week a finalized version of its request for companies' ideas on how to overhaul the U.S. air traffic control system, a key priority of Duffy's. (The GOP included roughly $12.5 billion in Republicans' recent megabill as a 'down payment' for this effort.) Proposals for the project will be due Aug. 4. SPEED IT UP: DOT said Friday that since Duffy rolled out a plan in late February to boost the nation's ranks of air traffic controllers, the FAA has expanded onsite training at its Oklahoma City academy by nearly 30 percent, with July set to see the highest number of students in the agency's history (550 by the end of the month). MORE QUESTIONS: Indian investigators are out with their preliminary report into June's Air India Boeing 787 crash, which killed at least 260 people in the city of Ahmedabad. The initial analysis shows confusion in the cockpit just before the jet hit a building, with fuel supply to the engines being cut off soon after takeoff. In a recording, one pilot can be heard asking the other why he did this — but the latter responded that he hadn't flipped the switches. — Investigators stressed that, at this point, they have no recommendations for either Boeing or GE Aerospace, which manufactured the engines. The probe into the incident remains ongoing, and no cause has been determined. Rail ICYMI: A dozen Senate Democrats are calling on the FRA to deny a petition from the rail industry that would allow most North American freight railroads to replace some track inspections conducted by humans with ones done via autonomous technology. (Unions are upset, too.) The group of lawmakers was led by Sen. Maria Cantwell (D-Wash.), ranking member of the Senate Commerce Committee. The Association of American Railroads, which filed the petition, has argued that the changes will allow companies to be able to detect track defects earlier. The Autobahn — 'At least 4 presumed dead, 11 missing after Houthi rebels sink ship in Red Sea, EU naval mission says.' AP. — 'Ford Breaks Annual Record for Safety Recalls Within First Six Months of Year.' Wall Street Journal. — 'How China's BYD Is Squeezing Suppliers in the EV Price War.' Wall Street Journal. — 'Amid Air India probe, US FAA, Boeing notify fuel switch locks are safe, document, sources say.' Reuters. — 'Boeing settles with Canadian man whose family died in 737 MAX crash.' Reuters. — 'US senator says United, JetBlue partnership could harm competition.' Reuters. — 'Jaguar Land Rover North America recalls about 21,000 US vehicles over torn passenger airbags.' Reuters. — 'US safety regulator opens recall query into over 27,000 Polestar 2 vehicles.' Reuters. — 'Stellantis Says Armed Man at Its Michigan Plant Now In Custody.' Bloomberg. — 'Delta Strips Engines Off New Airbus Jets to Overcome US Shortage.' Bloomberg.

Postmortem of a megabill
Postmortem of a megabill

Politico

time07-07-2025

  • Business
  • Politico

Postmortem of a megabill

With help from Chris Marquette, Pavan Acharya and Oriana Pawlyk QUICK FIX — Congress passed President Donald Trump's reconciliation package, which included $12.5 billion for airspace upgrades. What's next for the overhaul? — DOT is tweaking a credit assistance program for large infrastructure projects, aiming to lessen recipients' need for federal grants. — There's been a big dip in freight movement between the U.S. and Mexico and Canada amid Trump's chaotic tariffs policy. IT'S MONDAY: You're reading Morning Transportation, your Washington policy guide to everything that moves. We're glad you're here. Send tips, feedback and song lyrics to Sam at sogozalek@ Chris at cmarquette@ Oriana at opawlyk@ and Pavan at pacharya@ and follow us at @SamOgozalek, @ChrisMarquette_, @Oriana0214 and @pavanmacharya. 'No, nothin' good starts in a getaway car.' Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You'll also receive daily policy news and other intelligence you need to act on the day's biggest stories. Driving the Week A WIN FOR TRUMP, AND DUFFY: After months of negotiations, Republicans on Capitol Hill have pushed through President Donald Trump's domestic policy package, leaving the Senate's high-profile transportation provisions unchanged, Sam reports. Those include about $12.5 billion for air traffic control upgrades, which DOT Secretary Sean Duffy has been pushing for as he aims to revamp the national airspace. — The big question: What's next? As MT readers will know, Duffy has said this money isn't enough to get the job done, raising questions about where the remaining funds will come from. Duffy's timeline of three to four years to complete the project is ambitious, and he must move quickly if he has any chance of meeting his goal. — In an X post, Duffy said he won't rest 'until this mission is complete.' A DOT spokesperson didn't answer questions from your MT host about what Duffy will prioritize when it comes to the $12.5 billion. Rep. Troy Nehls (R-Texas), chair of the House Transportation Committee's aviation panel, told Chris he thinks Duffy wants an additional $8 billion. 'Let's see how we spend' the existing dollars, Nehls said. TICK TOCK: The FAA is seeking proposals from companies no later July 25 on the air traffic control effort. SO MUCH MORE: The megabill, which Trump signed into law Friday, included other provisions touching on everything from new fees on commercial space launches and reentries — a major change for the booming industry — to the termination of electric vehicle tax credits on Sept. 30, which puts a massive dent into the Biden-era push toward zero-emissions cars. There's even language that will permanently erase pre-tax commuter benefits for those who bike to work, Pavan notes. WHAT DIDN'T MAKE IT IN: A proposal from House Transportation Chair Sam Graves (R-Mo.) to impose new registration fees on EVs and hybrids, which would have been remitted to the flagging Highway Trust Fund, wasn't in the final text. (The Senate nixed this language.) But expect the idea to stage a comeback as lawmakers begin to draft the next surface transportation bill in earnest. POLITICAL FALLOUT: Elon Musk, Trump's former bureaucracy-slashing adviser and the world's richest man, has clashed with his one-time buddy over the megabill, and said Saturday he was launching a new political party. 'Today, the America Party is formed to give you back your freedom,' he wrote on X, his social media platform. He added in a later post: 'The way we're going to crack the uniparty system is by using a variant of how Epaminondas shattered the myth of Spartan invincibility at Leuctra: Extremely concentrated force at a precise location on the battlefield.' He vowed to roll out his strategy during the 2026 midterms. Infrastructure FIRST IN MT: DOT is updating a credit assistance program that provides long-term, low-interest loans to infrastructure projects of regional or national significance in a bid to speed up the completion of construction and curtail recipients' need for federal grants. Historically, only limited kinds of projects could finance up to 49 percent of eligible costs under the Transportation Infrastructure Finance and Innovation Act, or TIFIA, program, with most loans being capped at up to 33 percent. DOT is now expanding the option to finance up to 49 percent, offering it to 'all types' of infrastructure projects in the sector. — 'Unleashing the full value of the TIFIA program represents another step forward in getting America building again,' Duffy said in a statement. Trade KEEP AN EYE ON IT: Freight movement between the U.S. and Canada and Mexico dipped in April, DOT data shows — and experts say Trump's tariffs may be to blame, Pavan reports. (It was the largest month-over-month drop since the height of the Covid pandemic.) The decrease came as Trump's car duties kicked into gear. — Sen. Gary Peters (D-Mich.) said the auto industry is trying to adjust to the new trade policy, and 'that may very well be reflected in those numbers.' Check out this chart to see what happened: APPROPRIATIONS NOT YET: Just a reminder: the House Appropriations Committee's transportation panel won't hold a markup Monday of its fiscal 2026 budget bill. The event was initially set for today, but has been pushed back to July 14 at 6 p.m. Aviation MAKING PROGRESS: The FAA, as anticipated, transitioned early Thursday to a new fiber optic communications network between facilities in New York and Philadelphia — a key upgrade following a series of technology disruptions at Newark Liberty International Airport earlier this year. (The line was laid in June and got tested over the past month.) ICYMI: The NTSB has issued a preliminary report about how four T-38 Air Force jets bound for a flyover of Arlington National Cemetery in March narrowly avoided a Delta Air Lines plane taking off from Ronald Reagan Washington National Airport — one of several concerning incidents in the local airspace this year. Transit BIG RAMIFICATIONS? The Supreme Court on Thursday agreed to hear two cases involving NJ Transit, which is being sued in Pennsylvania and New York after its buses allegedly hit people outside the Garden State, Ry Rivard reports. — The routine personal injury claims caught the high court's attention because in 2019, justices ruled 5-4 that one state can't be sued in another state's courts without the first state's consent. But the decision left one key issue unclear: what state entities get such immunity, such as transit providers. Labor SOME IMPROVEMENT: The unemployment rate for U.S. transportation was 4.5 percent (not seasonally adjusted) in June, new Bureau of Labor Statistics data show. That's a decrease compared to the rate in the same month last year, but above the pre-pandemic level of 4.1 percent in June 2019. The Autobahn — 'How China's new auto giants left GM, VW and Tesla in the dust.' Reuters. — 'US factory orders rebound in May on strong aircraft demand.' Reuters. — 'Exclusive: Regulators warned Air India Express about delay on Airbus engine fix, forging records.' Reuters. — 'Savannah Bet Its Economy on a Big Hyundai Plant. Now It Has to Find the Workers.' Bloomberg. — 'United, JetBlue Defend Alliance, Blast Spirit Air's Objections.' Bloomberg. — 'Tesla Has a Problem — and It's Not Just the Elon Musk Backlash.' Bloomberg. — 'Could the Electric Hydrofoil Ferry Change the Way We Commute?' New York Times. — 'Has There Ever Been a Better Time to Buy an EV?' Wall Street Journal. — 'Tesla Stock Diehards Don't Give an Inch.' Wall Street Journal. — 'US imports from China in May fell to lowest in five years.' POLITICO.

Senate inches closer on megabill
Senate inches closer on megabill

Politico

time30-06-2025

  • Business
  • Politico

Senate inches closer on megabill

With help from Pavan Acharya, Oriana Pawlyk and Chris Marquette QUICK FIX — Senate Republicans hope to push through their reconciliation package today or early tomorrow. How have transportation provisions fared? — We caught up with the chair of the House Transportation Committee's aviation panel. Here's what his subcommittee's summer is looking like. — The Government Accountability Office called out DOT for (still) not having a pandemic preparedness plan for aviation. IT'S MONDAY: You're reading Morning Transportation, your Washington policy guide to everything that moves. We're glad you're here. Send tips, feedback and song lyrics to Sam at sogozalek@ Chris at cmarquette@ Oriana at opawlyk@ and Pavan at pacharya@ and follow us at @SamOgozalek, @ChrisMarquette_, @Oriana0214 and @pavanmacharya. 'We know a place where no planes go/ We know a place where no ships go/ Hey!/ No cars go/ Hey!/ No cars go/ Where we know.' Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You'll also receive daily policy news and other intelligence you need to act on the day's biggest stories. Driving the day HOURS TICK DOWN: The Senate GOP aims to tee up a final vote sometime today or early tomorrow on its version of the party's sprawling domestic policy package. Republicans dropped updated language for their reconciliation measure throughout the weekend as Senate leaders raced to address both parliamentarian rulings and skittish members. So far, many high-profile transportation provisions have not been affected, but the GOP has accelerated the proposed phase-out of electric vehicle tax credits. Here's where things stand. WHAT'S DIFFERENT: The text would move up the termination date for EV tax credits to Sept. 30, compared to six months after enactment as was initially proposed by the Senate Finance Committee, Kelsey Tamborrino and James Bikales report. WHAT'S THE SAME: The legislation still includes roughly $12.5 billion for air traffic control upgrades, new fees on commercial space launches and reentries, a zeroing-out of penalties for automakers who fail to comply with Corporate Average Fuel Economy standards, a boost in Coast Guard funding and various Inflation Reduction Act rescissions. JUMPING BACK IN: Elon Musk, President Donald Trump's former cost-cutting adviser and the CEO of Tesla, renewed his criticism of the legislation Saturday, writing on X that the version of the megabill will 'destroy millions of jobs in America and cause immense strategic harm to our country!' He added: 'Utterly insane and destructive.' Aviation WHAT'S NEXT?: Your MT host recently caught up with Rep. Troy Nehls (R-Texas), chair of the House Transportation Committee's aviation panel, about what he has planned for his subcommittee this summer. Nehls said he's holding closed-door, information-gathering sessions with stakeholders in the industry, with two set for July: one with telecommunications 'groups' such as Verizon and one with air traffic controllers, likely at Dulles International Airport's tower. 'We just want to have open dialogue,' Nehls said. 'It's like, you know, take the jackets off, take the ties off, let's have a casual conversation, a meaningful conversation, about what we can do to modernize' the national airspace. ''Cause Congress doesn't have the answer,' Nehls said. — He added that he hopes to have these types of meetings continue over the course of four to six months, and aims to 'come up with some good policy' that lawmakers can work with DOT Secretary Sean Duffy to present to the White House. 'THE CLOSER': That's what Senate Majority John Thune (R-S.D.) calls Trump when it comes to the GOP's reconciliation package. And part of Trump's closing argument: Hyping up the $12.5 billion included in Republicans' megabill for air traffic control improvements. In a roughly minute-long video message published Friday, Trump in the Oval Office lauded the investment, saying it will give the U.S. the 'best, most advanced' system on Earth. (Industry, and Duffy, think more dollars will be needed to get the job done.) 'It's time to pass the one big, beautiful bill into law,' Trump said. PLEASE, MORE: We spotted an interesting op-ed featured Friday in Fox News: Paul Rinaldi, the former president of the National Air Traffic Controllers Association, who now works at Airlines for America, urged the Senate to include more money in its reconciliation measure for airspace upgrades — or pass a 'supplemental package' for the effort. (Based on Trump's remarks, it seems like $12.5 billion is all the GOP will include in its megabill.) RALLYING OPPOSITION: Sen. Maria Cantwell's (D-Wash.) team on Friday flagged statements, including from former FAA Administrator Mike Whitaker, blasting Commerce Chair Ted Cruz's (R-Texas) inclusion of an upper C-band spectrum auction in the GOP megabill, which Cantwell, the panel's ranking member, is worried will negatively affect aviation safety. Whitaker, too, expressed alarm, as did former Biden-era Deputy FAA Administrator Katie Thomson and Capt. Chesley 'Sully' Sullenberger, the 'Miracle on the Hudson' pilot — who was even more blunt: 'This is yet another Dumb, Dangerous, and Unnecessary idea.' A majority spokesperson for the committee directed your MT host to Cruz's recent comments about the subject at the confirmation hearing for FAA administrator nominee Bryan Bedford, during which Cruz said the proposed auction poses no risk to air safety. At the Agencies ALARMING: The GAO in a report released Friday called out DOT for still not having a preparedness plan to help limit the spread of infectious diseases via air travel. (This comes after the Covid-19 pandemic, West Africa's Ebola epidemic in the 2010s and many more outbreaks over the years.) The push for such a strategy isn't new, Pavan reports. GAO first recommended a plan back in 2015, and federal law required one to be finished as of December 2024, according to the watchdog. — DOT has dragged its feet before. In 2020, the department wanted DHS or HHS to take point, saying they were better suited. DOT didn't respond to a request for comment Friday. Trucking MORE SCRUTINY: Duffy on Friday announced that FMCSA will launch a nationwide review of states that issue commercial driver's licenses to residents of other areas, i.e. 'non-domiciled' individuals. Following a late April executive order from Trump, it's the latest in an apparent DOT effort to crack down on any undocumented immigrants in the trucking industry. (Last month, Duffy rolled out new guidance that says truck drivers who fail to comply with English proficiency requirements will be placed out-of-service.) — Context: The American Trucking Associations earlier this year argued that the FMCSA should better track the number of non-domiciled CDLs issued by states on an annual basis. And George O'Connor, a spokesperson for the Owner-Operator Independent Drivers Association, said Friday that the group likes Duffy's move. 'It's become a safety issue over the last 10 years,' he said. A HELPING HAND: The DOT chief on Friday also detailed a new initiative that will boost the industry, including more than $275 million in grant money to expand parking access for truck drivers, such as over 900 spots along the Interstate 4 corridor in Central Florida. (A slice of highway that your MT host, who used to live in the Sunshine State, must say has some of the worst traffic in the U.S.) — Duffy's announcement also included a move to withdraw a joint FMCSA and NHTSA rulemaking that sought to require speed-limiting devices on heavy vehicles. NEW FACES KEEP AN EYE OUT: A new DOT advisory board, literally called the 'Advisory Board,' will hold its first meeting on July 16, according to the Federal Register. It will kick off at 2 p.m. and will be in the White House, with the public able to watch virtually. It remains unclear who is part of the group. A DOT spokesperson didn't provide a list when your MT host asked about the subject Friday. — What the board will focus on, exactly, is murky, too. Its formation was announced last month. The group's charter says it will consist of no more than 12 members, and annual operating costs are estimated to be $250,000. The board is supposed to offer recommendations on 'infrastructure modernization and expansion,' advise on public-private partnerships and discuss ways to 'reduce bureaucratic obstacles.' It's set to include industry members and experts, including from the aviation and construction sectors. Shifting Gears — Anissa Frucci has been promoted to chief financial officer of the United States Maritime Alliance. Justin Weir has been named chief operating officer. Frucci most recently was USMX's executive vice president of finance and administration. Weir was previously president and general manager of Florida International Terminal. The Autobahn — 'American Airlines Flights Snarled by Computer Glitch.' New York Times. — 'They're Tiny. They're Slow. And People Are Obsessed.' New York Times. — 'Elon Musk Says First Tesla Drove Itself From Factory to Customer.' Bloomberg. — 'Cash-strapped Maryland revives plan for trains to Virginia and Delaware.' Washington Post. — 'Airlines, transportation groups targeted by cybercriminal group.' POLITICO Pro.

‘Commercial'? Or not?
‘Commercial'? Or not?

Politico

time16-06-2025

  • Business
  • Politico

‘Commercial'? Or not?

With help from Chris Marquette QUICK FIX — Bryan Bedford, the FAA administrator nominee, doesn't hold a license to fly aircraft commercially, records show — but his official biography long said he was 'rated' to do so. — Urgent checks of Boeing Dreamliners in India have begun, and authorities recovered a black box from the passenger jet that crashed in the country last week, killing more than 200 people. — The Senate Finance Committee is expected to drop some of its reconciliation text today. Will it address proposed electric vehicle and hybrid fees? IT'S MONDAY: You're reading Morning Transportation, your Washington policy guide to everything that moves. We're glad you're here. Send tips, feedback and song lyrics to Sam at sogozalek@ Chris at cmarquette@ and Oriana at opawlyk@ and follow us at @SamOgozalek, @ChrisMarquette_ and @Oriana0214. 'I was ridin' shotgun with my hair undone/ In the front seat of his car/ He's got a one-hand feel on the steering wheel/ The other on my heart.' Editor's Note: Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You'll also receive daily policy news and other intelligence you need to act on the day's biggest stories. Driving the day QUESTIONS RAISED: President Donald Trump's nominee to head the FAA, Bryan Bedford, long described himself in his official biography as being 'rated' to fly aircraft commercially — but records examined by POLITICO show that he does not hold any commercial license. One of two of his biography pages at Republic Airways, the regional airline where he has been CEO since 1999, said until Thursday that he 'holds commercial, multi-engine and instrument ratings.' (By Friday, after POLITICO's inquiries, the word 'commercial' had been removed. The other reference was removed sometime in the last six months.) Oriana has the story. — Questions about Bedford's credentials do not appear to threaten his prospects for heading the FAA. He didn't respond to multiple attempts by POLITICO to get his comment, nor did Republic. The White House referred questions to DOT. The department in a statement defended Bedford, saying that 'Bryan never misrepresented his credential; it was an administrative error that was immediately corrected.' Aviation SCRUTINY RAMPS UP: Urgent checks of Boeing 787 Dreamliners are underway in India, and investigators have recovered a black box from the wreckage of the London-bound Air India flight that crashed shortly after takeoff Thursday in the city of Ahmedabad, killing all but one of the 242 people aboard as well as others on the ground. (It was the first fatal incident for the Dreamliner, and the cause remains unknown.) FALLOUT CONTINUES: We reported last week that Boeing whistleblower Sam Salehpour's attorneys are urging the FAA to release what they say are agency findings that support many of Salehpour's prior allegations of serious quality issues with the company's 787 and 777 planes. On Friday, his lawyers also sent letters to the top Democrat and Republican on the Senate Homeland Security Committee's investigations panel — pushing them to enter the fray. — 'We ask that the Permanent Subcommittee on Investigations call on the FAA to release the [investigative report] without further delay,' they wrote to Sen. Ron Johnson (R-Wis.), who chairs the panel, and Sen. Richard Blumenthal (D-Conn.), the ranking member. They sent a similar letter to Sen. Josh Hawley (R-Mo.), too. (At a hearing last year, Hawley torched Boeing's then-CEO, David Calhoun, as lawmakers probed various issues at the plane-maker.) On The Hill THE WAITING GAME: Reconciliation text from the Senate Finance Committee is anticipated today, though several blanks in the language are expected — likely for thorny issues such as Medicaid provisions, Meredith Lee Hill, Jordain Carney and Benjamin Guggenheim report. One looming question: How will the panel address, if at all, the House's proposed $250 and $100 annual fees on electric and hybrid vehicles, respectively? Both the Senate Commerce and Environment and Public Works Committees didn't tackle that issue, leaving Finance as the predicted landing spot. KEEP 'EM: The Electric Drive Transportation Association is urging Senate Majority Leader John Thune and other key Republicans to 'provide a reasonable transition period,' as opposed to an 'abrupt termination,' for various tax credits the GOP is targeting, such as the consumer EV one known as 30D. — The group also opposes the EV and hybrid fees idea. Ethics DIGGING THROUGH ASSETS: The Office of Government Ethics released Trump's annual financial disclosure Friday, and your MT host took a look. Some notable tidbits: — The president reported two investment accounts with Tesla stock valued at up to $300,000. (These accounts were in a section of his report where officials are supposed to log certain assets and investment income for themselves as well as any spouse and dependent children, according to OGE.) — In the same accounts, he noted Boeing stock valued at up to $80,000. Automobiles GO FASTER: NHTSA is trying to speed up the process for applying for an exemption to federal motor vehicle safety standards that require car designs to have human-interfaceable parts, such as steering wheels and brakes, DOT Secretary Sean Duffy announced Friday. The driverless car industry applauded the move. Chris has the details. — 'The [process] has been rightly criticized for taking years — bogging developers down in unnecessary red tape that makes it impossible to keep pace with the latest technologies,' Duffy said in a statement. THE SPECIFICS: In a public letter Friday, NHTSA's chief counsel, Peter Simshauser, said the agency is going to update its application instructions to try to help ensure that firms submit all of the materials up front, minimizing the need for the agency to request additional information. (Prior reviews have tended to involve 'extensive follow-up with applicants.') NHTSA added that it's 'adopting a more dynamic and flexible approach' to both evaluating and overseeing exemptions. The agency said further details will be released sometime in the future, and it anticipates that the changes will mean it reaches decisions on most requests 'within months rather than years.' DOGE WATCH A DIP IN POPULARITY: Elon Musk's time as a temporary government employee was controversial, to say the least, but he enjoyed strong backing from Republicans as DOGE cut through federal agencies. He's now lost some of that support, though, a new poll from the AP and NORC Center for Public Affairs Research found. (In early June, Musk and Trump's relationship seemingly imploded in a social media spat, though the dispute recently cooled off. The survey of 1,158 adults was conducted around the same time.) Here are some key findings: — Musk's 'very favorable' rating among Republicans dipped to 26 percent from 38 percent in April — and those with a 'somewhat favorable' opinion of the billionaire increased from 29 percent to 38 percent, while 'somewhat unfavorable' ticked up from 15 percent to 18 percent. The Caboose SOME LEVITY: The House is enjoying recess this week, the Senate is in town for only a few days ... but things are still busy in D.C. as Republicans work through the upper chamber's version of the reconciliation package. We thought we'd kick Monday off with a bit of fun — trivia! — Earlier this year, your MT host sat down with Sen. Bernie Moreno (R-Ohio), a former car dealership owner, for an interview. We asked Moreno, who was elected in 2024 and sits on the Senate Commerce Committee, what his favorite mode of transportation is. What do you think he said? Here are three options. One is his actual response and the others are made-up. We'll provide the answer tomorrow morning: — The Funny Bus in Cleveland. — Any car that has a 'shit ton of horsepower.' — A high-speed powerboat. A FEW TIDBITS: Moreno also told us he doesn't plan to be in Congress for 'more than a term or two.' Boosting the U.S. auto industry, he added, is his top priority. And he bemoaned high car prices and dinged the Inflation Reduction Act. Transit ANY CHANGE?: Notice a difference on your commute? Drop us a line if you do. WMATA rolled out automatic train operation technology on the Blue, Orange and Silver lines this past weekend. (It was previously deployed on the Red Line.) The Autobahn — 'Air India Was Struggling Long Before 787 Crash.' Wall Street Journal. — 'How the Man in Seat 11A Became a Plane Crash's Sole Survivor.' New York Times. — 'Is There a Safest Seat in a Plane Crash? We Asked Experts.' New York Times. — 'New Fees on Floating Garages Are Trump's Latest Effort to Revive U.S. Shipbuilding.' New York Times. — 'Boeing CEO cancels air show appearance visit after India crash.' Reuters. — 'May imports drop 9% at busiest US seaport on 145% China tariffs.' Reuters. — 'Boeing Sees Need For 44,000 New Jets; Cautions on Slow Output.' Bloomberg. — 'Delta, United Suspend Flights to Tel Aviv After Iran Bombing.' Bloomberg. — 'China Boosts Tesla Self-Driving Plan With Car-Data Export Rules.' Bloomberg. — 'EPA aims to boost biofuel volumes in transportation fuel.' E&E News. — 'Port of LA warns that tariffs are still disrupting global trade.' POLITICO Pro. On The Calendar — Nothing on our radar! Know of an event we should have on our calendar? Let MT know at transpocalendar@

FAA nominee to face Hill grilling
FAA nominee to face Hill grilling

Politico

time09-06-2025

  • Business
  • Politico

FAA nominee to face Hill grilling

Presented by With help from Sam Ogozalek and Ry Rivard QUICK FIX — President Donald Trump's pick for FAA administrator, Bryan Bedford, will face senators this week for his confirmation hearing. He's in for some tough questions. — Elon Musk and Trump's public war of words has calmed down (a bit). But Republicans on Capitol Hill fret that the situation could derail the GOP's reconciliation package. — Trump says he won't cut his 25 percent auto tariffs. But that could hamstring trade talks with the EU, Japan and South Korea, who still think the duties are on the table. IT'S MONDAY: You're reading Morning Transportation, your Washington policy guide to everything that moves. We're glad you're here. Send tips, feedback and song lyrics to Sam at sogozalek@ Chris at cmarquette@ and Oriana at opawlyk@ and follow us at @SamOgozalek, @ChrisMarquette_ and @Oriana0214. 'We can leave this world, leave it all behind/We can steal this car if your folks don't mind/We can live forever if you've got the time, oh/I'm the only friend that makes you cry.' Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You'll also receive daily policy news and other intelligence you need to act on the day's biggest stories. Driving the day FINALLY A HEARING: Bryan Bedford, the Republic Airways executive slated to be the Trump administration's next FAA administrator, will be in the Senate Commerce Committee hot seat. And we expect questions about his past stance on commercial pilot certification requirements and his plans to right the ship at FAA (with fewer employees, thanks to DOGE). Senators will want to hear how he plans to grapple with a host of challenges, namely the first major aviation disaster in nearly two decades. — To recap: Bedford's past positions on pilot training will put him at odds with Democrats especially, who have strongly objected to any changes to a longstanding rule requiring commercial pilots to have 1,500 hours of flight time. Republic Airways in 2022 asked the FAA for an exception to the rule in an attempt to train and get pilots in cockpits at its airline faster, but the FAA rejected the request. (And in general regional airlines have wanted the rules to be relaxed, saying they're crimping pilot supply.) — Not budging: Bedford has met Sen. Tammy Duckworth (D-Ill.), the ranking member on the Senate Commerce aviation panel, on the issue. Afterward, she issued a statement saying whoever heads up the FAA needs to ensure the 1,500-hour rule for pilot training remains in place. — The big ticket: Bedford will no doubt get questions about how he plans to push forward the Trump administration's ambitious plan to fix decades-long air traffic control woes — and he'll likely get some uncomfortable questions about the extent to which the agency's workforce has been hollowed out by resignations and early probationary firings. Expect questions about the concerning outages at Newark Liberty International Airport, as well. On The Hill SECLUDED: Elon Musk is leaving Washington with few political friends that could provide him cover over his businesses, chief among them Tesla — vulnerable to declining sales as the sentiment around electric vehicles continues to plummet. E&E News' David Ferris reports that Musk for months has worked his way to isolate the usual liberal base who once favored his electric cars, and now as he tries to turn more lawmakers away from the GOP megabill, he's whittling out any friends he possibly had in the federal government. TAKING A BEAT: While Musk and President Donald Trump each took a (small) step back from their ongoing public row over the bill — specifically about the legislation's removal of EV tax credits and other incentives — the die nonetheless was cast. Republicans' worry was in full gear by Friday morning that their fight could distract from the president's agenda and derail Congress' 'Big Beautiful Bill.' POLITICO's Congress team got lawmakers' reaction — mostly hoping for a quick detente. TOW COMING?: As of Friday morning, the Tesla Model S Trump showcased back in March on the White House lawn — and also purchased — was still parked there, though The Wall Street Journal reported Trump is considering selling the car, which retails for $80,000. (Fox News, meanwhile, said it was as good as gone). WHAT ELSE IS AT STAKE: Speaking of how Musk's firms could fare amid the ongoing feud, a POLITICO team has you covered on all the ways in which his business empire could take a hit if his fight with Trump escalates. EV/HYBRID FEE ON TAP?: The electric vehicle and hybrid vehicle annual registration fees included in the House-passed reconciliation bill were not in the Senate EPW title or the Senate Commerce title, but they could appear in the bill that comes out of the Senate Finance Committee. Some lawmakers, like Sen. Bernie Moreno (R-Ohio) want to make the $250 EV fee and $100 hybrid fee even steeper than the House proposal, but it remains to be seen what actually gets into the bill. SOME SUNLIGHT?: The House is scheduled to consider today a bill by Rep. Troy Nehls (R-Texas), H.R. 188, that would subject Amtrak's board of directors to open meeting requirements. The House Transportation Committee approved it by voice vote in April. Automobiles SEEKING A REPRIEVE: Trump says he won't cut his 25 percent auto tariffs as part of any trade deals he negotiates with other countries — but the EU, Japan and South Korea think those duties are still on the table, according to two people familiar with those talks, Daniel Desrochers and Megan Messerly report. If Trump is unwilling to reduce or nix his car tariffs, it could generate a major obstacle to securing meaningful deals. RESETTING CAFE STANDARDS: NHTSA on Friday published a rule to reset the Corporate Average Fuel Economy (CAFE) program, a move that would allow it to not consider electric vehicles when outlining fuel economy regulations. It marks the latest effort by the Trump administration to hit against the electric vehicle industry and Democrat-implemented regulations. Opponents of the Biden administration's CAFE standards, including DOT Secretary Sean Duffy and a wide array of other Republicans, contend that the per gallon requirements operate as an electric vehicle mandate. — 'The previous administration illegally used CAFE standards as an electric vehicle mandate – raising new car prices and reducing safety. Resetting CAFE standards as Congress intended will lower vehicle costs and ensure the American people can purchase the cars they want,' Duffy said in a statement. Alex Guillén has the details. RECONCILIATION TIE: The Senate Commerce Committee last week unveiled its part of the reconciliation package that proposes to eliminate penalties on automakers that don't comply with CAFE standards. drones ALL THE BUZZ: Trump on Friday signed two executive orders intended to give the U.S. drone industry a leg up over foreign-made counterparts and to expedite drone and air taxi operations stateside. Oriana has more. KEEP IT U.S.: One provision outlines efforts to expand access to U.S.-manufactured drones and promote them as U.S. exports, in an effort to push federal agencies away from foreign-made drones from companies like China-based DJI that the federal government has said poses privacy or security concerns. — DJI Friday responded to the orders, saying it has 'always supported technically grounded minimum security requirements across all UAS manufacturers, regardless of their country of origin' and that it 'welcomes and embraces opportunities to demonstrate our privacy controls and security features.' Aviation SUPER SPEED: Trump also issued an executive order Friday calling for the FAA to get rid of existing prohibitions on supersonic flight over U.S. land. Oriana has more details. NEWARK FLIGHT LIMIT IN EFFECT: The FAA formally imposed its 28 arrivals and departures per hour limit at Newark on Friday, which puts the restrictions in place during airport construction on weekends from Sept. 1 through Dec. 31. Arrivals and departures won't exceed 34 of each per hour the rest of the time through Oct. 25. TINY JUMP: House Republican appropriators on Sunday unveiled their fiscal 2026 DHS funding bill ahead of a subcommittee markup today. TSA would get a slight bump to $11.2 billion, a less than 1 percent increase compared to current funding. Jennifer Scholtes has the story. DOGE WATCH WE WANT YOU BACK: The Washington Post on Friday reported that DOGE's slash and burn of federal workers is now coming home to roost, with the Trump administration scrambling to get experienced employees back at many agencies stifled with a deeper workload since their colleagues were haphazardly dismissed or pushed to take an early resignation offer. As MT readers recall, Chris and Sam broke down similar movement happening within the halls of DOT. Infrastructure TRUMP FUNDING GATEWAY: The Trump administration is recommending $700 million in the 2026 budget for the Hudson River train tunnel, the $16 billion project to bolster the connection between New York and New Jersey. The funding recommendation by the FTA is a sign that President Donald Trump is no longer attempting to upend the Gateway program, as he did by slow rolling it during his first term. — Elements of the tunnel project are already under construction and employing union workers. According to a recent Regional Plan Association report, the Gateway program could generate 'close to $445 billion in economic benefits' in coming decades. The Autobahn — 'Trump's FAA Pick Once Played a Flight Attendant on TV. It Drew FAA Scrutiny.' The Wall Street Journal. — 'Counting Up the Potential Costs of the Trump-Musk Rift.' The New York Times. — 'Boeing Poised to Restart Jet Handovers to China Amid Trade Spat.' Bloomberg. — 'Trump Has Power, a Big Megaphone and Billions to Spend. So Does Musk.' The New York Times. — 'Trump wants a manufacturing boom. The industry is buckling.' POLITICO. — 'Trump administration says it'll work with state on Long Island traffic crashes.' Newsday. — 'Over the moon: How the Trump-Musk feud helps the lunar mission.' POLITICO. — 'Exclusive: United shuts down Starlink Wi-Fi on regional jets.' The Points Guy. — 'Costco cards good for 'hot dogs & rotisserie chickens,' not airports, TSA says.' USA TODAY. — 'No fatalities reported after skydiving plane crashes in Tennessee, officials say.' CNN. Know of an event we should have on our calendar? Let MT know at transpocalendar@

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