Shutdown Revives ATC Privatization Debate

Industry groups reiterate support for modernization efforts while arguing ATC privatization is a bad idea.

Air Traffic Control NATCA ATC privatization
[Credit: FAA]
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Key Takeaways:

  • The recent government shutdown reignited calls for privatizing the U.S. air traffic control (ATC) system, with supporters arguing it would provide stable funding through user fees and prevent future operational disruptions.
  • Leading aviation organizations, including the Aircraft Owners and Pilots Association (AOPA) and the National Business Aviation Association (NBAA), oppose privatization, stating that privatized foreign systems also face staffing and funding challenges.
  • Instead, these industry groups advocate for continuing the ongoing FAA modernization initiatives, which focus on upgrading technology, expanding staffing, and enhancing infrastructure, as the best path forward for the national airspace system.
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The chaotic weeks surrounding the recent government shutdown have rekindled long-running debate over whether the nation’s air traffic control system should shift to a private model. As operational cutbacks rippled through the system, some commentators argued that ATC privatization could insulate aviation from future funding disruptions. But leaders at the Aircraft Owners and Pilots Association (AOPA) and the National Business Aviation Association (NBAA) say the answer lies not in restructuring, but in continuing the modernization push already underway.

Supporters Renew Calls for Privatization

Several commentators highlighted ATC privatization as a potential alternative during the shutdown. In an opinion column published by The Hill, policy writer Sean Tinney described his concerns about the FAA’s structure.

“The FAA’s centralized monopoly makes American airspace hostage to congressional dysfunction,” Tinney wrote. “When budget negotiations collapse, so does air travel: controllers go unpaid, certifications halt, and the entire system seizes up.”

Tinney also pointed to Canada’s system as a potential model.

“Nav Canada now operates on user fees, not tax revenue, and it delivers demonstrably superior performance,” he wrote.

Diana Furchtgott-Roth, an economist and former assistant secretary for research and technology with the Department of Transportation further discussed the issue with Fox News.

“[There are] no downsides to privatizing,” she said. “Privatization would enable more funds to flow into air traffic control … If it were private, then payments would not be disrupted by shutdowns.”

Aviation commentator Chris Metts told Salt Lake City’s KUTV that ATC privatization proposals have surfaced multiple times over the years and would thus need appropriate scrutiny.

“It’s important to note that for a large organization like the U.S. air traffic system, with the record of safety that we have, it’s been tried three times previously — not full-on privatization, but the dialogues related to it,” Metts said. “They’ve come up at least three times in the past and have failed … As we’ve watched other countries privatize, it would be important for us to just watch how those organizations are subject to the economy,” he added.

AOPA Reaffirms Opposition to Privatization

AOPA’s Senior Vice President of Government Affairs and Advocacy Jim Coon recently addressed comparisons to foreign ATC privatization models.

“Privatization—or handing over our aviation system to private interests—will not solve the challenges we face today,” Coon said. “Supporters of privatization often point to systems in Canada, the U.K., and elsewhere as examples, but they all face their own staffing shortages, delays, and funding challenges.”

AOPA noted its continued support for the modernization initiatives underway through the Modern Skies Coalition.

“Now is the time to focus on updating our air traffic system and invest in our controller workforce,” Coon said.

NBAA Emphasizes Existing Modernization Plan

NBAA President and CEO Ed Bolen described the importance of staying aligned with the FAA’s ongoing modernization strategy during an interview with NPR’s Marketplace.

“We have a clear plan from the FAA for phasing in the building of a brand-new air traffic control system, and that includes surging the number of air traffic controllers,” Bolen said.

NBAA pointed to continued progress on modernization funding and the scale of coordination needed across the national airspace system, arguing this would be more challenging under ATC privatization.

The organization reiterated the point that other nations with ATC privatization have not been immune to funding problems, technology issues, delays, understaffing, or safety concerns. It also said such systems tend to suffer from lower managerial transparency and pointed out that Nav Canada, Canada’s private air traffic control company, has suffered from declining ICAO audit scores since 2005.

Industry Groups Hold Firm on Path Forward

Both organizations cited the existing plans to upgrade technology, expand staffing and enhance infrastructure as the direction backed by the larger aviation community. This, they said, should be prioritized over any ATC privatization efforts.

The U.S. Senate’s aviation subcommittee is holding a hearing Wednesday afternoon with several industry stakeholders as it seeks to evaluate the impacts of the most recent government shutdown on the national airspace system, as well as potential next steps for protecting it in the future.

Matt Ryan

Matt is AVweb's lead editor. His eyes have been turned to the sky for as long as he can remember. Now a fixed-wing pilot, instructor and aviation writer, Matt also leads and teaches a high school aviation program in the Dallas area. Beyond his lifelong obsession with aviation, Matt loves to travel and has lived in Greece, Czechia and Germany for studies and for work.
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