Transcription of Airport Business Practices and their Impact on Airline ...
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Airport Business Practices and their Impact on Airline ...
Airport Business Practices AND their Impact ON Airline competition FAA/OST Task Force Study October 1999 C O N T E N T S Page EXECUTIVE SUMMARY i Chapter 1: Overview of the Airport System 1 Airport Ownership and Management 2 Airport Funding 3 Airport Leasing Arrangements 7 Scope and Methodology 9 Chapter 2: Airports' Legal Obligation to Provide Reasonable Air Carrier Access in Support of competition 13 Airport Operators Must Provide Reasonable Access and Not Engage in Economic Discrimination 15 Terms and Conditions 18 Prohibition Against Exclusive Rights 21 Federal Preemption 23 Airport Proprietary Powers 24 Unfair Airline competition 26 Chapter 3: Airport Access and Its Effects on Airline competition 29 Access to Airports Is Critical to Airline competition 30 Contractual Arrangements Between Airports and Airlines Can Influence competition 33 Contractual Arrangements Do Not Preclude Reasonable entry 49 Chapter 4: Using Passenger Facility Charges to Enhance competition 53 PFCs: A Potentially Significant Tool for Increasing competition 54 PFC Funding Has Contributed to Overall Airport Funding,Steps Needed to Better Understand the Competitive Benefits of But Its Competitive Impact Is Unclear 58 PFC-Funded Projects 64 Airport Business Practices and their Impact FAA/OST Task Force On Airline competition October 1999
As barriers to entry, the U.S. General Accounting Office and other observers have pointed to airports’ long-term, exclusive-use gate-lease agreements with tenant ... airline competition, Task Force members visited 13 large airports to meet with airport and airline officials in order to understand the economic, financial, legal, and ...
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