2025 saw Washington, DC shaken to its core by President Trump’s establishment of the Department of Government Efficiency (DOGE). Far from past efforts to “streamline” government, the Elon Musk-led DOGE began quickly exposing wasteful and fraudulent spending across all government agencies—including more than a few that are largely unknown outside of the famous “Plumbook” listings of agencies and senior job roles.
As DOGE was looking for places to cut, a few reasonable opportunities to spend remain. One example is the Air Traffic Control (ATC) system, whose need for updating was spotlighted by the tragic January mid-air collision between an American Airlines jet and a U.S. Army helicopter over the Potomac River.
While safety is the most critical job undertaken by air traffic controllers and the equipment they use, economic growth is a close second. America’s airways are one of the key U.S. growth engines, and at a time when Trump aims for a golden age, this is the premier opportunity to upgrade ATC—and airports themselves—to provide our economy with a smooth takeoff.
This can be accomplished without raising taxes, and instead by using a source of existing funds: the Passenger Facility Charge (PFC). For most Americans, this is one of the fees that appears on their airline tickets, in addition to the fare. However, the PFC is an important user fee that allows airports to raise the funds needed to improve infrastructure. Presently, this fee is capped at $4.50 per ticket and has not changed since 2000. Without indexing for inflation, the spending power of the funds generated has declined as the 2000s have worn on.
Eliminating the cap—which was supported during the first Trump Administration by center-right organizations such as FreedomWorks, Citizens Against Government Waste, the Competitive Enterprise Institute, and The Heritage Foundation—combined with allowing funds to be spent on an ATC overhaul, would be a game changer. Airports of all sizes could enhance their self-sufficiency, invest in ATC improvements, intermodal linkages with passenger- and freight rail, motor coaches, and trucking; and make their facilities more commodious. Improving safety, connectivity, and comfort will result in economic growth without increasing the federal budget or placing a burden on those who choose not to fly.
However, PFC cap elimination does not lack for opposition. Some view this as a tax increase while others—such as air carriers—worry that increasing fees will anger cost-conscious passengers.
Marc Scriber, the Reason Foundation’s Senior Transportation Policy Analyst, pushed back on the idea that an uncapped PFC is a “tax increase,” saying:
The federal cap on the PFC is a price control imposed on airports. When a government price ceiling like the PFC is raised or eliminated, that is not a price increase. It simply increases pricing freedom. The PFC is also not a tax; rather, it is a classic example of a user fee. The revenue collected goes directly to the charging airports and is dedicated in law for narrow airport facility improvements. It does not go to the federal treasury to be appropriated by politicians in Washington to programs unrelated to airport infrastructure.
Opening the door for airports to use passenger dollars to reinvest in themselves and key systems equals greater safety, lower travel costs, and enhanced mobility. Thus, safety- and cost-conscious customers will be more likely to patronize airlines, connecting modes of transport, and the many merchants and vendors who populate airports. This means a much larger pie for all participants—airports, passenger- and freight airlines, ground support firms, ground transport providers, and airport retail tenants—involved in moving people and property across the U.S. Most importantly, these benefits will redound to everyday Americans: at airports, in the air, and throughout our daily lives.
Ending the cap on the airport Passenger Facility Charge is America’s boarding pass to the Golden Age that so many Americans are eager to see.
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