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Washington Bureau - bizjournals.com
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February 7, 2005

Business travelers oppose higher airline security fees

Two groups representing business travelers are lobbying against the Bush administration's plans to increase aviation security fees.

The president is expected to ask Congress to increase the fees from $2.50 to $5.50 on one-way airline tickets and from a maximum of $5 to $8 for trips with multiple segments. These increases would generate about $1.5 billion for the Department of Homeland Security.

The National Business Travel Association says airlines and their passengers can't afford additional fees. Taxes and fees already account for 26 percent of the base cost of the average airline ticket, NBTA notes.

"An additional tax levied against price-sensitive passengers and businesses just as the aviation industry is beginning to recover from the toughest period in its history is not only unfair but reckless," says NBTA President and CEO Carol A. Devine.

The Business Travel Coalition says airlines would be forced to absorb the fee hikes even though their cash reserves are dwindling.

BTC Chairman Kevin Mitchell says this "could have devastating consequences for the airlines and the businesses and communities that depend on a financially viable air transportation system."

For more information, see www.nbta.org or btcweb.biz

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