Sen. Fritz Holling's Statement on S.243

Mr. HOLLINGS. Mr. President, I rise today in support of extending the aviation ticket tax through the end of fiscal year 1997. This tax is very important to the day-to-day operation of our Nation's aviation system. Money to improve, maintain, and run our airports is 100 percent supported by fees paid by the users of the air transportation system. It is not paid for by the taxes we all pay on April 15. Every time they fly, people have been paying the user fees in the form of a ticket tax. That money has been going into the airport and airway trust fund, and the money is then disbursed through the appropriations process. We tell people to pay these fees, and we tell them we will then spend it on airports.

However, there is one small problem. The ticket tax expired at the end of 1996. Due to budget games, the money that we thought would be in the trust fund is not there. Originally we were advised that the trust fund would be broke in July, but now it appears that it will be depleted as early as March. If this situation is not corrected, millions of dollars in airport modernization projects, aviation safety enhancements, and airport security efforts will have to be delayed or terminated. The obvious answer to this untenable situation is to reinstate the aviation ticket tax, and that is why I am cosponsoring Senator McCain's bill. I urge my fellow colleagues to quit playing budget games and start fulfilling Government's primary function--preserving the safety of the American people.

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