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FAA, TSA Sequesters Could Impact Repair Stations

On March 1, the automatic spending cuts known as “sequestration” took effect, cutting billions of dollars from federal spending. While a few programs including the Airport Improvement Program are largely exempt, the majority of government investment accounts will suffer cutbacks of nearly five percent.

The $486 million stripped from the FAA’s $9.7 billion operations budget will likely be the most impactful for repair stations. The Aeronautical Repair Station Association (ARSA) warned lawmakers that such cuts could exacerbate certification and inspection delays for repair stations, hindering job creation and economic growth.

Sequestration also cuts $264 million from the Transportation Security Agency’s (TSA) $5.3 billion aviation security budget. These reductions could further delay finalization of the repair station security rule that is preventing the FAA from approving foreign part 145 certifications.

Overall, roughly $1.2 trillion will be cut from government spending over the next ten years, with $85 billion this fiscal year alone.

Though the Congressional Budget Office estimates sequestration will shave 0.6 percentage points from the economy’s annual growth rate, the actual impact is still unknown. Lawmakers are already working to replenish funds to certain agencies hit by the spending cuts, particularly the Department of Defense.

Visit ARSAaction.org to urge your lawmakers to pursue comprehensive budget and tax reforms that propel our country forward.



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