Before the Senate Committee on Commerce, Subcommittee on Aviation concerning NextGen: A Review of Progress, Challenges, and Opportunities for Improving Aviation Safety and Efficiency

Thank you, Chairwoman Cantwell, Ranking Member Ayotte and members of the Subcommittee.  I am pleased to have the opportunity to be here today to highlight the progress the FAA and industry are making with NextGen. 

On June 3^rd – my one year anniversary as the agency’s Chief NextGen Officer – I delivered my first Annual Report to Congress, as required by the 2012 Reauthorization Act.  The Report discusses the significant progress we’ve made with NextGen foundational programs, and underscores the benefits NextGen is delivering now.

For example, this year we completed one of the most crucial foundational elements of NextGen – the installation of the ground infrastructure for Automatic Dependent Surveillance-Broadcast, or ADS-B. This represents a key milestone in transitioning from a ground-based radar system to satellite-based GPS technology.  ADS-B enables us to determine an aircraft’s location and track with far greater accuracy than radar. This, in turn, allows more precise and efficient spacing of aircraft, which enables airlines to take advantage of fuel-saving NextGen procedures.

This technology is also improving our ability to perform life-saving search-and-rescue operations. Air traffic controllers have better information about an airplane’s last position, thus helping to take the “search” out of search-and-rescue. 

We are also close to completing another major foundational element of NextGen – the software and hardware upgrades to our nation’s high altitude air traffic centers.  The ERAM program will be complete next Spring, allowing us to decommission the legacy system. 

Similar system upgrades in our approach centers – the TRACONs – are also on track and will be completed in our major TRACONs by 2016. 

In all, we are on track and nearing completion of the foundational phase of NextGen – the technology upgrades that will enable future capabilities to more efficiently and safely manage existing traffic and incorporate new users in the national air space. 

This puts us well on track to having all the ADS-B foundational technology completed well before the 2020 mandate for industry to equip with ADS-B Out. Both the FAA and industry must be held accountable if NextGen is to succeed. We arefulfilling our part of the bargain. Airlines and general aviation pilots must do their part and equip by the deadline to use the system we have built.

Let me be very clear. The 2020 deadline is not going to change.  We are in a position to achieve this important milestone on time.  The cost of equipment has come down considerably. There is sufficient maintenance capacity to allow all equipage to occur – in fact, waiting to equip might cost more if aircraft owners crowd repair stations to get the work done on the eve of the deadline.      

In addition to the foundational work, we have also made significant strides in working with industry to deliver benefits now.

One of my first actions upon joining the agency was to task the NextGen Advisory Committee – or NAC – to provide industry consensus on capabilities that may be delivered in the next one to three years. The NAC responded with a list in September, and since then we have worked together to hone in on four NextGen areas that will be our priority: performance based navigation; surface operations; multiple runway operations and DataComm.  Each of these areas can bring benefits to users in the near term. We are working with industry to craft milestones, agree on metrics, and track our progress on these initiatives.

Much of this work has already been underway.  Just last week, Secretary Foxx and FAA Administrator Huerta announced the completion of the Houston Metroplex. The Obama Administration selected this project as one of 14 high-priority infrastructure projects ideal for expedited completion.

In 30 months, working with industry, we were able to transform Houston’s airspace, thanks to close collaboration with labor, environmental streamlining and concurrent reviews.We flipped the switch on 61 new procedures that take advantage of the precision of GPS technology to untangle the congested airspace shared by multiple airports. These new procedures are estimated to save airlines 3 million gallons of fuel per year while reducing carbon emissions by 31,000 metric tons. That’s the equivalent of removing more than 6,000 cars from the streets of Houston.

We plan to replicate or improve upon these benefits at more than a dozen other busy metropolitan areas across the country.

The FAA is focused on delivering benefits to airspace users today, while also completing the foundational programs of NextGen. As these foundational programs are complete over the next 24 months, we are also focusing on the years beyond – the deployment of surface DataCom through 2018, and full ADS-B equipage in 2020.  We are on track with NextGen, but it is important that we continue to work together – the FAA, industry and Congress – to keep NextGen funded and moving forward. By working together we have the ability to transform our nation’s airspace system for the benefit of generations to come.

Thank you again for the opportunity to be here today, and I’m pleased to answer any questions you might have.

Delivering Efficiency with NextGen

Thanks, Vicki (Cox). I’m delighted to be here at AIAA and to have the chance to thank you in person for the leadership you have shown over the years on NextGen – nurturing the program from the ground up.

I think that one basic fact many people do not think about is that NextGen was designed as a 20-year endeavor to completely modernize our Air Traffic Control system, and ultimately, to completely change the way we manage air traffic. It is difficult to convey the scale of the undertaking – changing out the hardware, software and procedures throughout the entire airspace of the United States … all while keeping it running, and running safely.

The Next Generation Air Transportation System is not a program that was meant to be done in three to five years. It has taken the work of many leaders and innovators, over many years, so thank you, Vicki for your legacy.

Laying the foundation for NextGen
We are seeing progress and results from our continued efforts on NextGen. We are finishing some important foundational portions of the program that will allow us to add new capabilities to the system. Those are the capabilities you think of when you think of NextGen: time based metering, DataComm and System Wide Information Management.

This spring we completed the ground infrastructure required for satellite-based surveillance, which is one of the foundations of NextGen. We installed more than 630 transceivers nationwide. The technical name is Automatic Dependent Surveillance – Broadcast. And because I’m speaking to a room full of engineers, I’ll simply refer to it as ADS-B from now on.

This is an extremely important milestone in our implementation of NextGen, and I’m proud of the work that has brought us to this point. We now have ADS-B coverage nearly everywhere there is radar coverage. And in some places where there isn’t radar coverage, such as the Gulf of Mexico, mountainous regions of Colorado and low altitude airspace in Alaska.

With ADS-B, controllers get an update of the aircraft position almost continuously, compared to five seconds, or much longer than five seconds, with radar. This improves the precision of our tracking and leads to enhanced safety and greater efficiency.

Transmitting data every second may not sound like a big deal, but it is when you’re talking about the exact location of more than 30,000 commercial flights a day. And it’s important in congested airspace to increase metering to reduce delays.

Right now, controllers at our en route center in Houston are using ADS-B to track air traffic over the Gulf of Mexico. We’ve opened up 250,000 square miles of positively controlled airspace thanks to ADS-B.

ADS-B is more accurate and improves our tools to create more efficiency. It ultimately results in a smoother flow of air traffic. More precise and efficient spacing of aircraft means airlines are in better position to take advantage of fuel-saving NextGen procedures.

The benefits that ADS-B brings are possible because we are close to finishing work on another foundational element of NextGen – upgrades to our air traffic control software at our en route centers and key TRACON facilities.

Our legacy system has been limited by its processing speed, and by the number of radar inputs it could accept. In the terminal environment, some facilities only receive a single input. 

With our new systems, we can process more data, more efficiently, from more sensors. This allows us to fuse radar and ADS-B in our facilities already.  Controllers at the majority of our en route centers now have the ability to see ADS-B targets on their computer screens. 

Houston
Let me turn to Houston for a minute, because this city is a great example of where we are seeing a number of NextGen improvements that are really changing our airspace.   

Yesterday, the Secretary of Transportation went to Houston, along with my boss, FAA Administrator Michael Huerta, to acknowledge the great work that’s been done with performance based navigation in the Houston metropolitan area.

This is one of our Metroplex projects, where we fast-track changes to the airspace and bring benefits now. We have flipped the switch on 61 new procedures in Houston and already, airlines are able to use fuel-saving optimized profile descents much more frequently.

These procedures allow aircraft to descend to the runway from cruise altitude with engines almost at idle. It saves a lot of fuel because it’s like sliding down the banister rather than walking down the stairway, one stair at a time. A traditional descent requires an aircraft to level off at each new altitude, burning up fuel at each new step. We’ve optimized the departure routes as well to make optimum climbs and shorter routes. These departures also save fuel.

We estimate these procedures will save airlines 3 million gallons of fuel each year and $9.2 million dollars. We also estimate that 31,000 metric tons of carbon dioxide won’t enter our atmosphere.  That’s like taking 6,000 cars off the streets of Houston. NextGen improves efficiency and makes aviation greener.

This project takes into consideration the flight paths into not only the large commercial airports – Intercontinental and Hobby – but also Ellington, David Wayne Hooks Memorial and Sugar Land Regional, and other satellite airports, to make the entire system work better.

We are creating new airways that will relieve bottlenecks, improve safety and foster the flow of commerce. These improvements are happening at more than a dozen major metropolitan areas across the country, not just Houston.

But the great thing about Houston is that this project was on the President’s infrastructure dashboard. We were able to cut through red tape and fast-track permits and environmental reviews to accomplish the work in just two and a half years. And that was notwithstanding the sequester and the government shutdown in October. If we had been able to operate without those restrictions, we would have finished this project in just two years.

The spirit of cooperation is what really moved this NextGen project along. Everyone came to the table and worked together – airlines, pilots, air traffic controllers, airports, and the local community. Everyone had a say. Because of this collaboration, we were able to bring benefits to users in record time.

Workforce
I’d like to close with some thoughts for the students in the room and for those starting out their careers about what to expect in the next 25 years in the aviation industry.

This is a tricky topic for someone of my generation, because by any measure the last 25-30 years in the aviation business have been anything but smooth! 

I had joined the airline business at the worst possible moment in history, which was 1991, just after Eastern shut down, just as PanAm was shutting down, and I had the foresight to join TWA…..right before its first bankruptcy.

But maybe 1991 wasn’t the low point.  Maybe it was 1981. I was a college student at the time hitch-hiking around Europe – until I got stuck at Heathrow for a week after the President of the United States fired the air traffic controllers. 

Aviation and our country suffered its lowest point after the terrorist attacks of September 11^th.  Seven years later, the financial collapse and recession of 2008 slowed growth, and aviation went into a holding pattern, and now a period of consolidation. While the country mostly has recovered from the recession, the federal government is facing sequestration,  budget battles and it went through a complete government shutdown!

Bottom line: it has been a very rocky ride. There are no guarantees in this business.

And like most of you here, I wouldn’t trade a career in aviation for anything!

But this leads me to two observations.

One – and maybe all of us in the aviation business are optimist by nature – but the worst may be behind us.  There are several factors that suggest the next 25 years will be much better than the last 25 years.

Two – in a very real sense, we are at a pivotal moment in the industry that feels very much like a generational handoff.  As Administrator Huerta has said, the choices we make today – here in the United States and around the globe – will shape aviation for the decades to come.

I would like to talk briefly about these two things: why I think the next 25 years will be so interesting – interesting in a good way! – and why this is such a pivotal moment.

THE NEXT 25 YEARS
What will the next 25 years look like? Well, it looks like it will be a good time to be an air traffic controller, or to work for the FAA generally.  This generational handoff shows up in the age of our workforce.  Because many controllers were hired in the ‘80s, there is a wave of retirements coming up.  We plan to bring on approximately 6000 controllers over the next five years. Agency-wide, in fact, there will be a lot of retirements: a third of our workforce will be eligible to retire in the next several years.

The next 25 years also promise to be interesting because of new technologies and users being introduced into the system. Unmanned aircraft – UAS – will have many commercial uses: agriculture, pipeline inspections, construction, media.  Each of these vehicles will have an operator – a pilot – and there will be many jobs created in the design, manufacture, sale and maintenance of these aircraft.

For us, the challenge will be to ensure these operations are conducted safely, and to equitably balance the use of airspace with current users.  We’re working to develop the regulations to accommodate these users.  

Another opportunity – and challenge for us – is the integration of commercial space operations into the system.  The rate of commercial space launches increased six-fold last year over the previous year.  And the last technological challenges are being conquered to allow commercial passenger flights into space.  We are also working on how to integrate these vertical operators into our horizontal system.

So the next 25 years offers a lot of promise, but it also presents us with a lot of challenges. The aviation industry is moving into a new period with lots of change and great opportunities.  Let’s continue to work together – government and industry – in the areas of safety … modernization … and integrating new vehicles.  As we do that, we’ll shape the future of aviation for decades to come, here and around the world.

Houston Metroplex

Thank you, for that introduction Mr. Secretary. It’s great to be here in Houston to celebrate this important milestone.

Houston Center has a long history. This facility was built when President Johnson was in office, and Lady Bird Johnson’s influence can still be felt here today.  She insisted that the facility have an open courtyard, and to this day, employees can enjoy a break outdoors at tables with umbrellas near a fountain.

In the early 1960s, The Houston Post reported that the city planned to build Houston Intercontinental 22 miles northwest of downtown, to accommodate “super jets” and the future of aviation. At the time, the city predicted that William P. Hobby would become a general aviation airport. The amount of growth that would come to Houston was hard to imagine.

Back in the mid 1960s, Houston Center handled roughly 500,000 operations per year. Today, this center handles 2 million operations – mostly high altitude aircraft from Alabama, Mississippi, Louisiana, Texas and the Gulf of Mexico – aircraft that are coming to and from Houston, or just passing by.

The Houston Airport System now handles about 780,000 operations per year – nearly double the load in the 1970s. And 51 million commercial passengers travel through these airports.

NextGen is delivering significant benefits to the complex airspace around Houston right now. We are creating new airways that will relieve bottlenecks, improve safety, and foster the flow of commerce. And these improvements are coming to more than a dozen major metropolitan areas across the country.

We have flipped the switch on 61 new NextGen procedures in Houston. We estimate these procedures could save airlines $9.2 million dollars in fuel each year. These procedures allow aircraft to descend to the runway from cruise altitude with engines almost at idle. It saves a lot of fuel because it’s like sliding down the banister rather than walking down the stairway, one stair at a time. A traditional descent requires an aircraft to level off at each new altitude, burning up fuel at each new step. We’ve optimized the departure routes as well, to make optimum climbs and shorter routes. These departures also save fuel.

These new routes also save track miles. We estimate airliners will fly 648,000 fewer nautical miles each year in Houston, based on flight plans.

Together, these new procedures and routes could save 3 million gallons of fuel each year. And we estimate they could save 31,000 metric tons of carbon dioxide from entering our atmosphere.  That’s like taking 6,000 cars off the streets of Houston. NextGen improves efficiency and makes aviation greener.

This project takes into consideration the flight paths into not only the large commercial airports – Intercontinental and Hobby – but also Ellington, David Wayne Hooks Memorial and Sugar Land Regional – and other satellite airports – to make the entire system work better.

I want to reiterate what the Secretary said, and I want to thank the many people who worked so hard to modernize Houston’s airspace. It took teamwork from all areas – controllers, pilots, environmental specialists, managers, airlines and airports, to achieve such a great outcome in such a short time.

Back in the 60s, President Johnson and leaders in Houston had a vision to create a better air transportation system for future generations. We are carrying that commitment forward, with the Houston Metroplex and the new Houston Tracon, which has state-of-the art NextGen equipment.  

I want to thank everyone involved for the work you have done to help us lay the groundwork for a modern air transportation system that will benefit generations to come.

Global Aviation Safety

Thank you for the introduction – it is good to be here today at this conference on global aviation safety.  And, let me also welcome you to the State of Maryland, a state with a very rich transportation history.  It was among the first states in railroad and highway development.  And, today, Maryland is a leader in all modes of transportation, including aviation.    

I think it goes without saying–and we are all very aware–that an effective and solid safety oversight program is paramount for the success of any country’s aviation system.  Safety transcends borders.  It is what we all strive for – the safest aviation system possible for each of our countries. 

The past several decades have shown us many successes in aviation – safety has come a long way, and we are now in an era where accidents are extremely rare.  But, the landscape continues to change, and we must ensure this high level of safety as the industry and technology continue to evolve.

Changes in technology have allowed air traffic to grow substantially over the last several decades.  And it is growing faster in areas of the world outside of the United States and Europe.  Air traffic volumes are expanding in Asia and in Latin America.  And, there is growth in the Middle East and Africa, as well. 

Despite this growth elsewhere, however, the link between the United States and Europe still remains one of the most important aviation relationships in the world.  We operate two of the busiest and most complex airspaces on the planet.  And, others are looking to us to see how we are harmonizing our efforts. 

The safety agreement between the United States and the European Union is a symbol of the importance of this relationship.  It significantly enhances civil aviation regulatory cooperation between the FAA and EASA.  It really is unprecedented.  

The agreement created a framework for aviation safety cooperation that allows the reciprocal acceptance of safety findings and exports of civil aviation products and services between the U.S. and the EU.  It also ensures that we have the flexibility to expand our cooperation in the future, as we identify new areas for collaboration. 

To support relationships such as ours across the Atlantic, I have focused on global leadership as one of our strategic priorities for the FAA.  The FAA’s international engagement is crucial to our success in ensuring a safe and efficient airspace system in the United States.  With today’s global connections, we need one another.  Given the complexity of U.S. and European airspace, and the amount of traffic we handle across the Atlantic, our partnership and leadership have never been more important. 

Another of the priorities we are focusing on at the FAA – and this is in direct support of our safety initiatives – is risk-based decision-making.  Using a risk-based approach helps us identify and mitigate possible causes of accidents to manage safety – and, it increases transparency for system users.  It emphasizes the review of safety data before an accident or incident might occur.  It is a more proactive way of doing business from years past. 

Underlying this shift in safety culture is Safety Management Systems.  These systems rely on safety data from the people who work in the industry: pilots, controllers, mechanics, flight crew, and manufacturers.  The idea is to study data, look for emerging trends, and not wait for accidents to happen.  It’s about identifying the hazards before they become an accident.  It helps us focus on decreasing the commercial fatal accident rate, while we put a priority on our resources based on risk.  We have developed a rule that will require commercial carriers to create Safety Management Systems for their operations.  We also encourage repair stations and general aviation to adopt such systems.

At the global level, sharing information that could potentially affect the safety of flight in any country is crucial, and we need to invest time and effort in joint public-private forums, such as the Commercial Aviation Safety Team (CAST), that support this collaboration across borders.  Safety is not a competitive business.  ICAO is also a key link in this endeavor, and provides the global, multilateral platform to accomplish safety advancements. 

We also need to continue to capitalize on the experience of existing groups to share safety information and best practices.  ICAO’s regional groups, of course, are important players in global aviation safety, and have been very proactive.  And, the data-sharing agreement that we have signed with ICAO, IATA, and the European Commission is an important part of this relationship. 

The culture of effective safety oversight starts at the very top of an organization, and filters down to every level.  Each aviation authority, big and small, must maintain a strong safety structure within the global context.  It is our responsibility as leaders in aviation to impart this culture in our organizations. It’s about professionalism and not about blame.  It’s about empowering employees to raise their hands if they see something that concerns them.  

Safety oversight is also more complex than in years past.  Aircraft and parts may be manufactured in many different locations, requiring oversight by many different authorities.  More than ever before, this requires active collaboration between aviation authorities across disparate geographic regions.   

Given the globalization of aviation, industry clearly plays a key role in successful safety oversight.  By working closely with industry, we gain invaluable information that we need to enhance safety.  It is a true collaborative effort, and bolsters the aviation oversight system. 

We also must recognize that aviation safety is not just about direct regulatory oversight.  Modernization of air traffic systems also plays a role in making our skies safer.  Better technologies and more efficient procedures increase aviation safety – and make flying more efficient.  And, efficient operations save passengers and operators both time and money. 

Here in the U.S., we are transforming the way we manage air traffic through the Next Generation Air Transportation system.  We are evolving from ground-based radar to a satellite-based system, and one of the key goals of my agency is to continue NextGen’s implementation.  NextGen is moving air traffic more efficiently, while reducing flight times and emissions.  This has a direct impact on the safety of flight, and plays a key role in its implementation.      

We are nearing the completion of the foundational elements of NextGen. This includes an upgrade to the computer software that controls our en route and terminal airspace.  And this spring, we finished installing a system of ground transceivers across our nation that will allow us to track aircraft with satellite-based technology that is much more precise than radar.  We now have ADS-B coverage nearly everywhere there is radar coverage.  And, we now have it in some places where there isn’t radar coverage, such as mountainous regions of Colorado and low altitude airspace in Alaska.  This enhances safety and efficiency.

We have been working closely together through our cooperative research agreement to achieve NextGen and SESAR interoperability.  We need to continue to coordinate this work with ICAO and other international bodies to ensure that safety standards are keeping pace with our technological and operational improvements.      

In order to stay ahead of the global changes in aviation, we also need to incorporate new users into the aviation system.  We have to certify new aircraft and safely integrate remotely piloted aircraft systems and commercial space operators.

With remotely piloted aircraft, it will require a balance of increasing the regular use of these vehicles, while ensuring our extremely high level of safety.  We have successfully brought many other new technologies into the aviation system over the last several decades, and we can do the same with these. 

We must ensure that remotely piloted aircraft systems are integrated in a measured, systematic manner.  Unmanned aircraft are distinctly different from manned aircraft.  They have a wide range of physical and operational characteristics.  They range in size from very small and hand-held, to the wing span of a major aircraft. 

These systems offer great benefits to many, but we need more data on them.  Here in the United States, we have identified six test sites that will provide us information for better integration.  In fact, just last week, we announced that the State of Nevada’s unmanned aircraft systems test site is ready to conduct research.  Nevada will focus on how air traffic control procedures will change with the integration of new users into the national airspace.  They’ll also monitor how these aircraft will integrate with NextGen.  This is a big step forward, and I know there is strong interest on both sides of the Atlantic, and elsewhere, in these new aircraft.  We must embrace this technology, and integrate them in a measured way. 

Commercial space transportation is another area with great possibilities.  As this business grows, we face important decisions.  Usable airspace is a limited resource, and safety considerations and oversight require close coordination of aviation and space activity. 

With these changes, we face an innovative and ever-changing aviation landscape.  Many nations play important roles.  This new world order is one that we must embrace – one where safety transcends borders.  But, it also requires nimble and effective oversight and public-private partnerships to be truly effective.   

We all know that a number of issues require our attention as regulators – safety, of course, as well as air traffic modernization, and new operators and system users.  But, we can continue to successfully address these challenges by working hand-in-hand, and by partnering across borders.  

Thank you, again, for the invitation to speak with you today.  Best wishes for a successful conference.    

The Key to Safety

Remarks as Prepared for Delivery

Thank you, Sean [Cassidy], and good morning.  Let me offer a special welcome to our international guests.  The distance you have traveled is a testament to the importance of our shared mission: to enhance safety.  

This year marks the 100^th anniversary of commercial flight.  We’ve seen great advancements:  from the jet age to the glass cockpit to non-stop routes across the globe.  Since its first flight, commercial aviation has carried more than 65 billion passengers.  Aviation is evolving quickly.  We’ll see the next 65 billion in much less time … the next 15 years. 

Because of that rapid growth, one of our top priorities is to make sure that the FAA continues to play a leadership role for safety on the global stage.  We want global aviation to be safer, more efficient and greener.  And we want to set the standards for safety and technology around the world.  The pilots and all the aviation professionals here in this room help us make all of that possible.  Let me be clear here:  without partnership, there can be no leadership. 

It’s no surprise that we’re not alone in our desire to spread the safety net.  Within the last six months, I’ve been to Colombia, Singapore, Europe, China and Japan.  The common thread for each is the discussion about how the international aviation community will achieve smarter regulation for safety and cost effective measures to achieve a vibrant aviation system.  

Data sharing needs to be part of any system that’s striving for safety. Data sharing and international partnership go hand in hand.  As you’ll hear from Peggy Gilligan, and throughout the day, data sharing is pivotal if we’re to enhance safety worldwide.  And I think there’s little doubt that data sharing has the potential to be the single-greatest catalyst for aviation safety in the decades to come. 

It’s already taking hold.  The Commercial Aviation Safety Team signed an agreement with ICAO’s Pan American Regional Aviation Safety Group to share U.S. operator experience at 22 Latin American and Caribbean airports.  The Regional Safety Group has identified 30 safety enhancement initiatives for runway safety, controlled flight into terrain and loss of control in flight.  Maybe most importantly, this agreement lets the Pan American Safety Group and the Commercial Aviation Safety Team share detailed data through the Aviation Safety Information Analysis and Sharing system. This system allows us to discover common, systemic safety problems proactively … spanning multiple aspects of the air transportation system. 

That’s not the only activity.  In March, the Commercial Aviation Safety Team and the International Air Transportation Association signed an information sharing agreement.  It’s similar to what we have with the regional aviation safety groups through the Americas and in Asia.  It calls for us to exchange top-level safety risks and mitigation strategies. 

In addition to spreading a global safety net, we’re also focusing on risk based decision making.  The goal here is to make aviation safer and smarter. 

The U.S. commercial fatality risk already is at an historic low.  In fact, it’s 83 percent lower than it was in 1996.  Because of this success, it’s imperative that we be smart in our approach to safety.  Risk-based decision making puts the greatest risks at the top of the list.  We pay attention to what’s going to pay the biggest dividend. 

Not every project or program can be the top priority, nor should it be.  The corollary is that without a risk-based approach, it’s difficult to know what your top priority is supposed to be.  With a risk based approach to decision making, we sharpen our safety efforts – we identify and then address higher risk areas. 

As we do this, the FAA will evolve to a safety oversight model where we prioritize our safety inspection efforts.  We’ll have the decision tools to consider reducing certain oversight activities for known system operators that have strong safety management systems of their own.  This way, we can achieve compliance in a more efficient and collaborative manner. 

Our focus on international safety and risk-based decision making lends itself to a discussion about data.  If you walk away with one thing and one thing only from what it is I have to say this morning, let it be this:  the data has to come from you.  It is important that you keep providing it.  And if your organization does not participate in data-sharing efforts, I ask you to encourage it to do so.

Encourage your dispatchers, maintenance crews and cabin crews to submit safety reports.  Many of you have these programs set up already.  We just need to promote more reporting.  By getting their input, along with pilot reports, we’ll have an even more comprehensive view of the system safety risk.  This way, we can take more steps to enhance safety.

Our safety mitigation efforts are only as good as the data they’re fed with.  It’s that simple.

Working together, aviation professionals have created a system that is literally safe beyond words.  Through dint of effort and sheer hard work, we’ve reduced the frequency of commercial accidents dramatically.  As you’ll hear from the panels later today, that didn’t happen on its own.  Taking the next step won’t happen on its own, either.

CAST and ASIAS are where this next step will happen.  These are the keys to the data sharing that will unlock the future of accident prevention.  But they only work if partnership is the active ingredient.  There are 45 airlines participating in ASIAS now.  That’s a lot, but there’s always room for more.

And I must emphasize—as the very first panel will do—that none of this is set up to be punitive.  Punishment is not the intent.  What we want—what this system needs—is for each of the professionals in it to step forward with voluntary information about safety issues. 

We’ve seen examples already throughout the system—John Duncan can give you chapter and verse—where things that we thought were “one-of-a-kind” were happening more frequently than hoped.  Let’s face it, when you’re in a system that’s as safe as ours, you have a system that’s run by professionals who are experts at spotting problems and then fixing them.  When it comes to doing things right, commercial pilots are the perfect example. 

I’m focusing on that intervening step between spotting the problem and fixing it.  That’s the place where information needs to come forward.  That’s key if we’re going to isolate, understand and remediate problems.  It’s key if we’re going to drive the commercial accident rate down further.  It’s key if we’re going to extend the net of aviation safety to the four corners of the globe.

In closing, allow me to underscore a point about safety.  We are not in the position to legislate or prevent every conceivable issue or risk or problem.  The ultimate end-state for all of this lies within voluntary compliance.  Where the professional follows or adopts the best practice simply because it is the best practice.  We can’t get to the next level of safety if people do what’s right only if there’s a rule that says they must.  Or they don’t follow the best practice because there isn’t a requirement for them to do so.

After the wrong runway departure accident at Lexington in 2006, we learned several lessons.  The most important one was that data – when looked at collectively across the industry – was available for us to connect the dots. Data showed us that we had gaps in our safety nets.

The real question becomes:  so how do you prevent this from happening again?  The rulemaking process, by design, takes years.  But what happened after Lexington instead happened quickly.  Airlines began to put technologies like moving map displays and runway awareness advisory systems in the cockpit.  Not because they had to but because they should. 

Voluntary compliance saves time, but more importantly, it saves lives.

This conference is dedicated to the fact that partnership is critical to safety.  Data sharing very clearly is the future of aviation safety.  We depend on inputs from the professionals who have stepped forward, groups like ALPA, and the airlines themselves.  It all depends on you, and I want to thank you for your willingness to step forward. 

Aviation is evolving rapidly.  I imagine that a hundred years from now, the professionals who follow us will enjoy the benefits of the foundation we have put in place with data sharing.  The system they use will be shaped by the decisions and the choices we make today.  I look forward to working with you—together—to give them the most solid foundation we can build.  Thank you.

Systems Lead to Safety

Good morning and thank you, Jason [Dickstein].  If I asked the question:  “Who’s Julian Edelman?” —my guess is that most of you would have no idea.  But Julian Edelman is the perfect example of what I’m here to talk about today. 

Unless you’re from Boston, or you’re addicted to fantasy football, you probably don’t know that Edelman is a wide receiver for the New England Patriots.  You know, my family and I have been in D.C. for 13 years, but I’m still a Pats guy.  People ask me, “You’ve been here for so long.  Why don’t you root for the Redskins?”  The answer is that I like to watch football—in January.

But while you Redskin fans are reaching for tomatoes, let’s get back to Julian Edelman.  He’s the guy that absolutely no one knew two years ago.  Now we know him only because the Patriots let Wes Welker go to the Broncos.  Everybody knows who Wes Welker is.  He caught 118 passes for the Patriots in 2012.   When the Patriots let him sign with the Broncos, I thought Belichick was out of his mind. 

Turns out I was upset for nothing.  Edelman—the guy almost nobody knew—stepped right up and caught 105 balls for the Patriots last season.  Brady threw for 4,300 yards.  That’s a lot of yards.  Belichick still might be out of his mind, I just feel better about it. 

So how does a guy like Julian Edelman go from catching only 69 passes in four seasons to the kind of production that makes him Tom Brady’s go-to guy?  Well, I’ll tell you, the answer isn’t Brady … or Belichick … or even Edelman.  It’s the system they use.  The Patriots’ system is what gave Welker the opportunity to be great.  And when he left, it was the same system gave Edelman the same shot.

That’s what safety management systems do for aviation.  In our business, when you instill a safety culture—a culture that’s based from top to bottom with safety as its focus—you get a safety record like the one we have. 

That happens when everyone … everyone who touches the plane … everyone who touches something that touches the plane … when all the playershave safety as their primary concern.  In the manufacturing world, in the supply world, in the maintenance world, it’s easy for things to get moving at a pretty quick clip.  You inadvertently miss an item on the checklist.  Or … maybe worst of all … is the guy who figures that somebody else down the line will fix it … whatever “it” happens to be. 

With safety, you must always be vigilant. 

We’ve achieved an 83 percent reduction in the commercial fatality -risk because we take a proactive approach to safety.  Safety management ensures that the outcomes of any activity incorporate safety considerations.  And it insists on a healthy safety culture. 

By definition, SMS is a process-oriented approach to managing safety throughout an organization.  That includes everything up to and including an organization-wide safety policy.  An SMS takes the guesswork out of safety assessments.  If you think about baseball, one scout says, “This guy can really hit.”  Another scout looks at the same guy and says, “This guy hits .300, but he only hits .220 with men on base.”  Both of those scouts had good information, but only one of them had the numbers to back it up.  The first guy told you how he felt about the hitter.  The second guy gave you information you could use. 

An SMS has formal methods for identifying hazards, and then mitigating and controlling risk.  An SMS continually assesses risk and safety performance.  And let me be clear here, and SMS is not just about compliance with technical standards.  An SMS emphasizes the overall safety performance of the organization. 

That’s what an SMS is.  Here’s what it does.  Through safety management systems, we very clearly can shape aviation’s future by continuing to drive down safety risk.  The frequency of commercial airline accidents is at an exceedingly low level.  That’s a credit to us, and to the industry, and to the Commercial Aviation Safety Team as well.  But we know there is still safety risk in the system.

Safety management feeds the safety culture of an organization, which in turn feeds the data bases that give us insight into precursors.  These data bases are populated with input from operational information from flight data recorders, from radar and also from voluntary submissions made by safety professionals on the front line.

All of this in turn gives us a better picture of what’s happening in the system.  This allows us to put our resources in the places where we’ll get the biggest reduction in risk .  You’ll hear the phrase risk-based decision making many, many times in the future.  Our goal is to make use of the safety data available … determine areas of greatest safety risk … and prioritize our safety efforts accordingly.

Through Risk-Based Decision Making, we will be able to make smarter, integrated risk-based decisions to improve safety in the aviation system.  We’re putting measures in place to be able to share safety data among all the players … inside the different lines of business at the FAA, industry, and our international peers.  This will lead to a broader spectrum of available data and put us in the place to make smarter decisions, be more informed.  The more you use it, the more you realize that using data is a good thing, a smart thing. 

As I touched upon before, we’ll then dig deeper by analyzing that data, using the principles of Safety Management Systems, to identify emerging hazards, undertake mitigating initiatives, and evolve the safety oversight model.  The resulting information is shared with the decision-makers—those people who are in the best position to manage the safety risk and make our aviation system even safer, and also share the information with industry to help feed their Safety Management Systems. 

The bottom line here is that risk-based decision making portends to be a game changer.  Certificate holders will be able to take responsibility for safety management.  That’s a shift for us. That’s a shift for the industry. 

SMS and risk-based decision making are big pushes for us, but they’re certainly not our only push.  Administrator Huerta also has indicated that the FAA needs to solidify and advance the United States as the global leader in aviation safety.  We must recognize the increasing globalization of the aviation industry.  Given the vibrancy of international aviation, there’s no question that we have an obligation to help those countries with developing aviation industries by sharing the many years of experiential learning that has formed the FAA of today.  As the global marketplace takes hold, we must make an effort to influence the standards for safety and technology throughout the world.  The Administrator put it this way.  He said, “You can’t establish yourself as a global leader from the back seat.”  He’s right. 

Making this happen is not like flipping a switch.  In the Asia-Pacific region, studies show that over 4,300 transport category airplanes will be needed to serve this part of the world in the next 20 years.  U.S. companies—some of whom I imagine are sitting right here, right now—who want to stay highly competitive in this market are opening production facilities throughout Asia.  And all the while, individual Asian countries are investing in their own indigenous aerospace industries.

Overall, we anticipate steady growth in passengers and operations.  We expect passengers on U.S. airlines to grow at an average rate of just over 2 percent a year over the next 20 years, with international passengers growing faster, nearly 4 percent annually. 

The international market is a bright spot as growth in passengers for all world regions is strong, with the Latin region growing fastest and the Pacific region just behind. 

Today, the number of international passengers on U.S. airlines is 50 percent greater than in 2000.  That’s 80 percent higher than 20 years ago.

So the question that faces us is:  how to do you spread the safety to the four corners of the globe?  Bilateral agreements. 

We rely on our bilateral partners by first evaluating their systems and then trusting the compliance findings and oversight that they perform over their own industry.  We can also leverage these agreements by conveying our oversight functions to them when our certificate management functions need to be performed in their own backyard. We do this through special arrangements.  A special arrangement is a high-level document between to agencies to identify roles and responsibility and establish a high level acceptance of resource commitment. 

As many of you know, the list of countries with whom we have bilateral agreements in effect is lengthy.  To be exact, we have agreements with 20 countries and 1 with the European Union.  The list of countries that we have agreements with is well worth reciting:  Argentina, Australia, Brazil, Canada, China, Iceland, India, Indonesia, Israel, Japan, Korea, Malaysia, Mexico, New Zealand, Norway, Russia, Singapore, South Africa, Switzerland and Taiwan. 

There are 20 countries that are included in the European Agreement which you will recognize as part of the European Union.

Here we go:  Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Ireland, Italy, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Spain, Sweden and the United Kingdom. We have 14 separate bilateral agreements with individual countries within the EU to cover areas outside of EASA’s purview.

These bilateral agreements are not one-size-fits-all.  We tend to develop our agreements in incremental stages, so some of them cover more areas than others.   We have some agreements that may cover something like TSOs, while we have others that are more comprehensive.  These agreements can be expanded as individual countries grow their aviation industry and we accept their authority’s ability to provide oversight.

The main point for all of this … the takeaway for you … is that the FAA is looking to the future.  Safety management systems give us a very clear lens to see what’s out there.  Risk-based decision making gives us a platform, a foundation, to make the smartest decisions.  And bilateral agreements let us spread what we know about safety to the four corners of the globe.

I doubt you’ll remember the facts and the figures I gave you about the guy who replaced Wes Welker.  But I’m sure that you know how successful the Pats have been over the last decade.  Systems—and consistency—are the real ticket to greatness … and to aviation safety.  Thank you. 

Before the House Small Business Committee concerning FAA’s 2020 NextGen Mandate: Benefits and Challenges for General Aviation

Good afternoon, Chairman Graves, Ranking Member Velázquez and members of the Committee. And thank you for the opportunity to speak today about NextGen and the benefits and challenges of equipping aircraft to take advantage of NextGen capabilities. 

Even though it’s been more than 100 years since the Wright Brothers made history at Kitty Hawk, the thrill and wonder of flight comes alive each time a general aviation pilot takes to the skies.

Our aircraft are far safer today and more powerful. And NextGen procedures give general aviation pilots unprecedented access to runways across America thanks to GPS. NextGen technology brings weather and traffic information to the cockpit, and gives pilots better situational awareness, which enhances safety.

The entrepreneurial spirit shown by the Wright Brothers – which this committee supports – is alive and well in general aviation. This industry contributes about $40 billion per year to our nation’s gross domestic product, and it creates a half million jobs. NextGen strengthens this economic engine by making our nation’s airspace more efficient.  

One of the foundations of NextGen is satellite-based surveillance. The technical name is Automatic Dependent Surveillance – Broadcast, or ADS-B. We have completed installing the ground infrastructure required for ADS-B – more than 630 transceivers nationwide. This is an extremely important milestone, and I’m proud of the work that has brought us to this point.

But what does this mean? What benefits does this bring the general aviation pilot? There are considerable benefits available right now to those who equip with ADS-B, long before the 2020 mandate.

We now have ADS-B coverage in remote areas where radar coverage was limited before, such as the Gulf of Mexico, mountainous regions in Colorado, and low altitude airspace in Alaska. 

ADS-B helps pinpoint hazardous weather and gives pilots important flight information, such as temporary flight restrictions and notices to airmen. The highly precise GPS-based surveillance provided by ADS-B is also improving our ability to perform life-saving search and rescue operations. Air traffic controllers have better information about an airplane’s last position, thus helping to take the “search” out of search and rescue.  

ADS-B technology allows general aviation pilots – for the first time – to see much of what air traffic controllers see. Cockpit displays show the location of aircraft in the sky around them, creating an environment of shared situational awareness.  Pilots are already seeing the additional benefits of ADS-B In – better weather, traffic and situational awareness – and we believe they will equip to enjoy these benefits.  ADS-B Out is a foundational element of NextGen that allows us to bring these benefits – and a host of others – to airspace users. 

I want to clarify that equipage for ADS-B Out will only be required in certain airspace. That airspace is where we require transponders today, so that aircraft can be seen by controllers. This of course includes around busy airports. If a pilot flies in uncontrolled airspace – where no transponder is required today – there is no requirement to equip the aircraft.

We are confident that the general aviation community sees the advantage of investing in new technology, and ADS-B is no exception. Right now, owners of 74,000 general aviation aircraft have chosen to equip with a type of GPS technology, known as Wide Area Augmentation, or WAAS. This is not required by any rule. WAAS allows pilots to use NextGen approaches at smaller airports that do not have instrument landing systems. This opens up access to airports across the country. Many WAAS receivers already come as a package with ADS-B Out.

Nevertheless, we are very aware that increased technology requires investment.  We are doing everything we can to facilitate low-cost alternatives for the general aviation community.  To meet the minimum requirements for ADS-B Out, you need three things: A GPS receiver; an extended squitter, or universal access transceiver; and an antenna. You can buy just these three things, or you can integrate with other technologies and capabilities. We’ve done a lot of work to certify a range of products, and companies are responding, which spurs competition in the marketplace.

We encourage aircraft owners to equip soon, so they can take advantage of the benefits of NextGen. The increased accuracy, predictability and enhanced safety that come with NextGen are taking aviation to heights that no one could have imagined in the early days of aviation. We appreciate your help in laying the groundwork for a modern air transportation system that will benefit generations to come.

This concludes my testimony today. Thank you for the opportunity to be here with you, and I look forward to answering your questions.

Chief NextGen Officer Report Released

Good morning. Thank you for joining us today.

Before I begin the FAA Report, I would like to introduce some new names and faces at the FAA and elsewhere.

But first, I want to welcome Florian Guillermet, the newly appointed Executive Director of SESAR. Many of us have had a chance to work with Florian in his previous role, so we’re thrilled to have him in his new role.

From the FAA, I want to officially congratulate Teri Bristol in her new role as the Chief Operating Officer of the Air Traffic Organization. Many of you worked with Teri in her role as Deputy COO, and before that in Tech Ops. She is a key member of our Next Gen team, to say the least. We are thrilled to have Teri officially in her new role. Teri and Ed Bolton are working together closely on NextGen implementation and harmonization, and she is already having a positive impact in this role. Congratulations Teri.

I am also pleased to introduce Rich Swayze, our newAssistant Administrator for Policy, International Affairs & Environment.Rich comes to us from the U.S. Senate Commerce Committee, where he was a senior staffer covering aviation and transportation issues. His arrival is well timed with what we have on our agenda. Before joining the Senate staff, Rich worked at the GAO. Welcome, Rich.

In a similar vein, next month, we will have a new Assistant Administrator for Airports, Eduardo Angeles. Eduardo previously served as General Counsel to Los Angeles World Airports, and before that he worked at the San Francisco City Attorney’s Office, which acts as counsel to San Francisco International Airport.

I want to thank Ben DeLeon, our current Deputy Assistant Administrator for Airports, for his terrific work over the last several months.

That leaves only the chief counsel and deputy chief counsel as key leadership positions to be filled on our senior leadership team.

With all these new people and new roles, that means Ed is not the “new guy” any more. And I am definitely not the new guy since today marks my one year anniversary with the FAA. As part of my role as Chief NextGen Officer, I am required under the 2012 reauthorization act to submit an annual report to Congress with respect to the status of NextGen – what we refer to internally as the CNO Report.

So it seemed fitting that I would submit the CNO Report after being in my position for one year and that’s what we did – so this morning we submitted that report today to Congress.

The report highlights progress we’ve made in the last year, and also previews the work we are doing with the NAC around the priorities.

Today, our agenda closely follows the contents of the CNO Report.

We will be talking today about the progress we have made in completing the foundational infrastructure of NextGen. I will give an overview of that progress, and Ed will talk about how we are measuring that progress.

The CNO Report also discusses the NAC priorities – which we will be talking about at some length today.

Congress has taken a keen interest in these NextGen priorities. We are providing periodic status reports to the House Aviation Subcommittee, formally and informally through meetings, roundtables, and listening sessions concerning the collaboration between the FAA and the NAC, with more to come.

The CNO Report discusses ADS-B in some detail, keying off the fact that we completed the installation of the ground transceivers the first quarter of this calendar year. I will talk a bit more about ADS-B in my report this morning.

The CNO Report also provides an update on Performance Based Navigation, which will be the focus of several discussions today. We will be hearing from the NAC on the PBN Blueprint for Success; and we will also have briefings from the FAA and industry representatives on implementation experiences, including the Houston Metroplex, which as Bill mentioned, went live last week. We’ll also hear about Denver, which was implemented earlier this year. These are two really big success stories for NextGen.

So the CNO Report tracks most of our agenda items today, but there are a few other items I will touch on briefly, including:

• The Budget and Reauthorization
• UAS Test Sites
• And, Ed and Florian will give a brief update on NextGen/SESAR cooperation.

Let me begin by talking a bit about where we are in NextGen – reflecting back on the past year and where we are in this 20-year-long endeavor known as NextGen.

The fact that NextGen was planned as such a long-term undertaking presents us with a significant communications challenge.

It is difficult to convey the scale of the undertaking – changing out the hardware, software and procedures in the entire NAS, all while keeping it running and keeping it running safely.

NextGen involves a large number of programs – “systems-of-systems” is often the term used – and it can be mind-numbing to keep track of them all and to understand how they interrelate.

Adding to that communications challenge is the fact that NextGen is front-loaded with infrastructure replacement, which doesn’t in itself deliver significant benefits to industry, but which is essential in enabling and providing the platform for those future capabilities that we think of as NextGen –as Florian mentioned – building the iPad to allow the apps we associate with NextGen, like DataComm, SWIM, advanced metering, reduced separation and increased surface and runway efficiency.

We have tried to make some improvements in how we communicate about NextGen in a couple key ways:

• First and foremost, we have tried to emphasize that we are nearing the completion of the foundational phase, the replacement of the basic operating equipment in the NAS:
  • The ground installation of the baseline ADS-B infrastructure was completed last quarter.
  • ERAM will be completed in the first quarter of next calendar year, which means we will be able to decommission the Host system.
  • With TAMR we will have refreshed the technology in our major TRACONs by 2016.

These are important milestones, and we are working hard both to keep these programs on track, and to communicate the fact that we are reaching an important inflection point with NextGen.

One way we communicate this is that Teri, Ed and I, together or in various combinations, now provide detailed quarterly briefings on the progress of these programs to key stakeholders like the NAC, as well as the DOT, OMB, the Hill, the GAO, the airlines and others. This is an important part of our communications strategy.

We are tracking, quarter-by-quarter, our progress over the next 24-36 months toward the completion of these milestones.

Those briefings create some of the accountability that we were just talking about and show where we are in tracking key programs toward completion.

Another part of our communication challenge is that we at the FAA tend to talk in terms of programs, when what the users of the system really care about is capabilities. You want to know how these programs will deliver benefits.

ADS-Bis a good example of this. We completed the installation of more than 630 radio transceivers nationwide. This is an extremely important milestone in our implementation of NextGen, and I’m proud of the work that has brought us to this point, but what does that mean? What does ADS-B actually do? I think people have a difficult time understanding that.

You may think that many of the benefits of ADS-B won’t be realized until 2020, when aircraft in the U.S. are equipped with ADS-B Out, but we are seeing benefits today. So let me talk a little about what capabilities ADS-B will deliver going forward.

We now have ADS-B coverage nearly everywhere there is radar coverage. And in some places where there isn’t radar coverage, such as the Gulf of Mexico, mountainous regions of Colorado and low altitude airspace in Alaska.

With ADS-B, controllers get an update of the aircraft position almost continuously, compared to five seconds or much longer than five seconds with radar. This improves the precision of our tracking and leads to enhanced safety and greater efficiency.

Transmitting data every second may not sound like a big deal, but it is when you’re talking about knowing the exact location of more than 30,000 commercial flights a day. And it’s important in congested airspace to increase metering to reduce delays.

ADS-B Out is more accurate and improves our tools to create more efficiency, and ultimately results in a smoother flow of air traffic.

We are using ADS-B data in a new NextGen capability that will help conduct metering operations more efficiently and at more facilities.

More precise and efficient spacing of aircraft means airlines are in better position to take advantage of fuel-saving NextGen procedures, such as optimized profile descents. We need that ADS-B precision in order to bring you this capability.

What makes ADS-B capabilities possible are the upgrades to our air traffic control software system – ERAM and TAMR. Our legacy system has been limited by its processing speed, and by the number of radar inputs it could accept. In the terminal environment, some facilities only receive a single input.

With ERAM and TAMR, we can process more data, more efficiently, from more sensors. This allows us to fuse radar and ADS-B in our facilities already.

All of this leads to a greater capacity for air traffic controllers to more effectively handle their aircraft in their sectors. It leads to improved efficiency for our entire airspace.

Surface Surveillance

ADS-B also facilitates better sharing of surface data.

We’re improving the ability to see the surface of the movement area by using ADS-B and multilateration at nine additional airports in the next three years.

This new system replaces the legacy surface surveillance system at these nine sites.

This will bring better situational awareness to controllers and to airline dispatch offices. It will improve safety by giving users a common picture of surface movements.

Oceanic

ADS-B In is also providing better capabilities in oceanic airspace.

We’re partnering with United Airlines to document the fuel saving benefits of ADS-B over the Pacific Ocean. This capability enables pilots to see traffic information in the cockpit. It enables pilots to achieve more efficient flight levels and achieve more efficient fuel burn.

This year, we expect that ICAO will officially approve this procedure, which should encourage greater interest in using this technology.

General Aviation

ADS-B is also having an impact with General Aviation.

This spring we launched a general aviation weather safety campaign. Nearly 75 percent of weather-related GA accidents are fatal.

General aviation pilots with proper equipment have taken advantage of ADS-B to receive free traffic and weather information in the cockpit. These services are available nationwide.

This technology provides significant capabilities:

• Flight Information (FIS-B): This service broadcasts graphical weather to the cockpit based on what ground-based weather radar is detecting. In addition, it broadcasts graphical and text-based advisories including NOTAMs, temporary flight restrictions, and reports on significant weather and thunderstorm activity. Equipped general aviation aircraft can receive this information at altitudes up to 24,000 feet.
• Traffic Information (TIS-B): This air traffic advisory service provides the altitude, ground track, speed and heading of aircraft flying within a 15-nautical-mile radius, up to 3,500 feet above or below the receiving aircraft’s position. TIS-B transmits traffic data based on radar detections and will provide more situational awareness to pilots throughout the NAS.

Summary

I wanted to spend just a little time on the immediate benefits from ADS-B – in advance of the 2020 ADS-B Out equipage compliance date, which will deliver many more benefits. And certainly well in advance of ADS-B In and DataComm, which will fundamentally change the way we operate in aviation.

Then, if I may, I’d like to cover just a few non-NextGen–related items from the FAA.

Budget Recap/Reauthorization

In December, Congress passed a two-year budget, which provides us with some degree of certainty and temporarily avoids the cuts we would have had to make under the sequester. But unless there’s another fix, the sequester will be with us again in 2016. If the sequester is not solved, the FAA will be forced to cut programs as well as services in existing infrastructure and NextGen.

Regardless of how the 2016 budget plays out, the levels of funding that we have and that we anticipate are still well below what was anticipated just a few years ago.

We still need to find ways to operate more efficiently and provide services within our budgetary limitations. We still have to right-size the NAS.

The current FAA authorization is set to expire in September of next year. As we gear up for reauthorization next year, we need to ask ourselves some basic questions about the mission of the FAA.

The budget uncertainty of the last year has prompted a lot of discussion about how best to provide funding certainty for the FAA in the future. Many of those discussions surround whether there should be changes to the structure of the Air Traffic Organization. Many have asked whether it makes sense to privatize that function and support it with a funding structure that is more stable. 

Regardless of how that very interesting debate is resolved, our mission is the same – to continue to deliver the highest level of safety and services we can, given the actual budgets appropriated. We have to prioritize our work, knowing that we cannot continue to provide all of the services we have in the past. We’re having a robust discussion with our stakeholders about what we might be able to consider to stop doing, or do differently, through innovative business methods or technologies. 

The aviation community is diverse and its members do not always see eye-to-eye. Nevertheless, we have to build a consensus on the direction we’re going. I believe that consensus around the future direction of the FAA is absolutely critical if we are going to resolve our long term funding challenges.

To that end, the Administrator has asked the agency’s Management Advisory Council, to help us answer these questions and provide us with recommendations. The MAC, as we call it, is made up of 13 members from industry, labor and government. They have spent a lot of time gathering the input of our stakeholders and bringing their views to the table. I know many of you have been interviewed in this process

The FAA is committed to supporting our aviation system’s infrastructure needs and ensuring that our system remains the safest and most efficient in the world. As we grapple with the future of what the FAA looks like, how it is funded, and how we provide services, we’ll be reaching out to you for further ideas and input.

UAS Test Sites

I would also like to briefly mention where we are with respect to the UAS test sites.

As part of the current reauthorization, Congress mandated that the FAA would work to integrate unmanned aircraft systems into our nation’s airspace.

• This spring we launched the first two test sites for unmanned vehicle research – two months ahead of the Congressional deadline.
• UAS are cleared to fly at the test sites in North Dakota and Alaska. In each case they are using a type of quad copter.
• In North Dakota, the unmanned Draganflyer will check soil quality and the status of crops. And then during the summer it will collect data to help develop an automated count of certain wildlife populations.
• The University of Alaska will conduct flights of the unmanned Aeryon Scout – a 2.5 pound helicopter with cameras. It will test the ability to locate, recognize and count wildlife populations.
• These test sites will help us identify operational goals as well as safety issues that we must consider when planning to expand the use of unmanned aircraft into our system.

International Highlights – (Bolton/Guillermet)

We intend to have as a standing agenda item at the NAC an update on our cooperation with international partners.

·        I’d like to invite Ed Bolton and Florian to share with you the areas of cooperation between NextGen and SESAR.- Joint Presentation with SESAR – Ed Bolton/Florian Guillermet

NextGen Highlights – (Bristol)

I mentioned earlier that we are updating on a quarterly basis our progress in key programs.

• Teri Bristol will share with you a look at our seven major NextGen programs we are tracking closely to advance and enhance NextGen through 2016. She’ll also share with you the progress we’ve made on NextGen priorities since we last met in Phoenix.–Presentation by Teri Bristol on seven major programs and NextGen priorities.

Finally, let me close by thanking the participants of the subcommittee and the working groups – from industry and from FAA – who have been working diligently on the NextGen prioritization work. We’ve made a lot of progress since February.

I’m pleased to see the energy and enthusiasm from both within the FAA and industry on developing a plan for our four focus areas.

I know we will have much more on each of these areas after the break, but I just want to acknowledge all of your good work, and the leadership that Bill and Steve and Margaret have provided.

Thank you again for your attention this morning, and that concludes the FAA Report.

Building a Bright Future Together

Thank you, Paul [Rinaldi].  I’d like to welcome everyone to Washington for your annual legislative conference.  You are here at an important time. I bring greetings from Secretary Foxx who is sorry he couldn’t be here today.  He very much values the good relationship we have with NATCA.  Right now, much of his focus is on funding for surface transportation – highways … bridges … and railways. 

But next year, air transportation will be the focus … as the FAA will be up for reauthorization.  And as we prepare for reauthorization, we very much need to think about all of the changes taking place in aviation … and how the FAA should be prepared to handle those changes.  How should the agency be structured?  What services should we provide?  And what skills does our current workforce need to handle the changes ahead?  As we prepare for the road ahead, it’s useful to pause and note an historic milestone we’re celebrating this week. 

This Wednesday marks the 56^th anniversary of some very important legislation.  On May 21, 1958, U.S. Senator Mike Monroney of Oklahoma introduced a bill to create an independent Federal Aviation Agency.  Later that year his legislation became a reality.  Since then, the FAA has been steadfast in its core mission to ensure the safest, most efficient aerospace system in the world. 

As aviation grew and changed, we’ve had to continually evolve.  In the 1920s, the Aeronautics Branch of the Department of Commerce ensured safety, but also promoted the aviation industry, a dual mission that the FAA would continue to have until the 1990s.

In the 1930s, the Civil Aeronautics Authority was responsible for rulemaking, but also accident investigation.  That latter responsibility was transferred to the National Transportation Safety Board in the 1960s.  In 1967, Department of Transportation was formed and we became one of several modes that work to make America’s infrastructure safe and efficient.  

We’re now at another pivotal moment in aviation history where we are witnessing a variety of changes.   

The industry is becoming more globalized.  Air traffic providers are moving from radar-based to satellite-based air traffic systems.  As we build NextGen, we also have to think about sustaining critical parts of our existing infrastructure, much of which is aging.  New users are entering our airspace – unmanned vehicles and commercial space launches. And we’re seeing a generational turnover among our workforce.       

We have to address all of these changes in a budget environment with a great degree of uncertainty.  From sequester to government shutdown, we endured a great deal of disruption.  I thank all of you for your hard work during these tough times to keep the NAS safe and efficient.

Thankfully in December, Congress passed a two-year budget, which provides us with some degree of certainty and temporarily avoids the cuts we would have had to make under the sequester.  But unless there’s another fix, the sequester will be with us again in 2016.

The budget uncertainty has prompted a lot of discussion about how best to provide certainty for the FAA in the future.  Many of those discussions surround whether or not there should be changes to the structure of the Air Traffic Organization.  Many have asked whether it makes sense to privatize that function and support it with a funding structure that is more stable. 

I believe we need to step back from the question to ask a more fundamental one – exactly what are we trying to solve?  Is it that the FAA needs funding certainty?  Is it that the FAA needs to re-scope the services that we provide?

I believe that once we have determined what we are trying to fix – if there’s a need to change – structures and policy will follow.

In terms of services that the FAA provides, many are fundamental to our mission.  We depend on all of you to maintain the safety and efficiency of our system each and every day, and you do that by keeping your eyes on the skies.  We certify new aircraft, and continue our efforts to collect safety data to identify and mitigate risk.  We deliver prioritized NextGen benefits, keeping our eye to our role as a global leader in aviation.  And, we recruit and train the next generation of our workforce for the future. 

The FAA has traditionally provided a variety of services to our airspace users in addition to air traffic control.  We provide flight plans, weather briefings, updated navigation charts, aircraft certification and pilot certificates.  We are increasingly being asked to do more with less.  

We have to prioritize our work, knowing that we cannot continue to provide all of the services we have in the past.  We’re having a robust discussion with our stakeholders about what we might be able to consider to stop doing, or do differently, through innovative business methods and technologies.    

The aviation community is diverse … and does not always see eye-to-eye.  Nevertheless, we have to build a consensus on the direction we’re going.  I believe that consensus around the future direction of the FAA is absolutely critical if we are going to resolve our long term funding challenges.

To that end, I have asked the agency’s Management Advisory Committee to help us answer these questions and provide us with recommendations.  The MAC, as we call it, is made up of 13 members from industry, labor and government.  They have spent a lot of time gathering the input of our stakeholders and bringing their views to the table. 

I’m proud to say that Paul Rinaldi is a member and has been one of the key leaders working directly with the industry to take its pulse on many of the issues I’ve addressed and questions that I’ve raised.  His perspective is essential to the work we are doing.  Having him at the table – and by extension all of you – is crucial as we set the future direction of the FAA. You are absolutely  fundamental to what we do as an agency.  I deeply appreciate Paul’s perspective and his active participation in the MAC activities.  

Now, these long term strategic questions about structure, budget and services are ones that the FAA and NATCA can, should, and will address together, as we look ahead to next year’s reauthorization. 

We’re in a great position to have these conversations and build towards a bright future together.  Over the past few years, we’ve built a strong foundation of trust with each other.  Collaboration is the way we do business now and it’s that team mentality that will help us answer these major questions going forward. 

When Senator Monroney introduced the bill to create the FAA 56 years ago, I wonder if he envisioned an aviation industry as robust and diverse as the one we are a part of today.  Looking ahead, in just 10 or 20 years from now, we’ll see even more rapid change and growth. Consider that while it took 100 years for commercial aviation to carry its first 65 billion passengers … it’s been forecast that this industry will carry its next 65 billion passengers in the next 15 to 20 years. The decisions we make together today will have a great impact, and shape what aviation will look like for decades to come. Let’s work together to leave an even safer, more efficient aviation system for the next generation of aviators.

Have a great week in your legislative meetings.   

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Partnering on Safety and Efficiency

Thank you, Roger [Cohen].  I’m happy to be here in St. Louis – the home town of Charles Lindbergh.  Next Tuesday marks the 87^th anniversary of Lindbergh’s historic flight in The Spirit of St. Louis across the Atlantic.   

To make the long journey of 3,600 miles, Lindbergh’s flight had to be safe and it had to be efficient.  He waited for favorable weather, and configured the cockpit, the engine, and the extra fuel tanks in a way that would maximize his safety. 

He took steps to ensure fuel efficiency.  He wore lighter boots to reduce the plane’s weight.  He used a lighter chair made out of wicker … and even cut his map down to size in order to show only what was essential.  Every ounce made a difference.

We know the rest of the story. 

In his time, Lindbergh did everything he could to make his flight both safe and efficient.  Today, we’re committed to achieving the same result using the latest tools and technologies we have available. 

Regional airlines are a big part of our industry.  You run about 13,000 flights per day.  That's 50 percent of all airline flights.  You provide hundreds of American communities – big and small – with access to safe and efficient travel. 

But you already know that.  I'm here because I want you to know what the FAA is doing to make air travel safer and more efficient.  Regional airlines play a key role in these efforts, which I’ll discuss as well.

Let me start with safety.  One of the FAA’s key strategic priorities is to make aviation safer and smarter.  We’ve driven down the rate of commercial airline accidents to an exceedingly low level.  That’s a credit to government and industry working together. 

But we know there are still safety risks in the airspace system.  And no matter how great the record is, none of us should be satisfied.  We have to build on it. 

Our focus is on identifying and mitigating safety risk.  We want to prevent an accident long before it has a chance to occur.  To do it, we’ll continue to collect and analyze the wealth of safety data that’s now available.  We collect data from many sources including from voluntary safety reports by pilots, air traffic controllers, technicians and others.  We also have automated air traffic and flight data gathering tools.  And we have safety data exchange partnerships with industry. 

Regional air carriers play an essential role in this effort.  Nineteen RAA members support a capability called ASIAS – which stands for Aviation Safety Information Analysis and Sharing.  ASIAS contains safety data from multiple sources across government and industry.  Airline pilots have submitted about 150,000 voluntary safety reports.    

Through these data sources, we can identify areas of highest safety risk … and then prioritize our safety efforts toward these areas.  For example, regional airline pilots alerted us to a potential risk involving the way that RNAV departures were programmed into flight management systems.  Through ASIAS, we were able to conduct an analysis that led to safety enhancements last year, including improving the way that these departures are programmed and designed … and improving the training of pilots and air traffic controllers when using these procedures.  While ASIAS points us to risk areas … it also helps us collect data that measures the success of these corrective actions. 

I ask you to help us expand ASIAS by encouraging your dispatchers, maintenance crews and cabin crews to submit safety reports.  Many of you have these programs set up already.  We just need to encourage more reporting.  By getting their input, along with pilot reports, we’ll have an even more comprehensive view of airline safety risk.  This way, we can take more steps to enhance safety.       

As we use data to determine risk, the FAA will evolve to a safety oversight model where we prioritize our safety inspection efforts.  We’ll have the decision tools to consider stopping certain oversight activities for known system operators that have strong safety management systems of their own.  This way, we can achieve compliance more efficiently. 

Another key part of the safety effort has to do with addressing training issues.  We recently established an air carrier training steering committee, which is helping us determine voluntary initiatives that air carriers can take to improve pilot, flight attendant and dispatcher training.  RAA has a seat at the table, and I thank you for your participation.         

This committee’s efforts will build on federal rules put in place recently regarding pilot qualifications and training.  Last year, we announced an increase in the qualification requirements for first officers who fly for U.S. airlines.  There has been a lot of press about how this requirement contributes to a shortage of qualified pilots.  Congress passed legislation in 2009 mandating that first officers hold an Air Transport Pilot certificate, which increased the flight hour requirements.  The rule, however, did give the FAA the authority to provide some flexibility in how that standard could be met.  The FAA broadened the flexibility as much as we could, in an effort to address industry concerns.   

But Congress’ intent was clear.  They wanted to increase the qualification and experience requirements for pilots.  At my meeting with the board this morning, we discussed strengthening the pilot pipeline, but this issue requires the cooperation of the whole industry.  There are many short-term and long-term challenges.  I think all of us in the aviation community can work together to meet that challenge and our shared goal of safety.    

We need to continue to work together on safety … whether it be contributing to safety data collection and analysis … taking steps to enhance training … or other kinds of activities.  We all have a responsibility to raise the bar.

Of course, as Lindbergh knew … and as we all know … aviation must be efficient as well.  Not just for the FAA, but efficient for you.  One of my priorities is to deliver benefits to you through technology and infrastructure.   

On this note, I’m very proud to say that we’re delivering.  Through NextGen, we’re putting in place technologies and procedures that are saving time and fuel … and enabling greater access to airports.  We look to you, as our partners, to be equipped and capable to take advantage of these benefits.   

Let me tell you about some of the progress we’re making. NextGen involves transitioning our airspace system from a ground-based radar system to a satellite-based system that shares more precise information with more users.  To achieve this transition, the FAA must upgrade the automation in our en route and terminal service facilities.  Industry has waited a long time for these upgrades … and I’m happy to report that we’re nearing completion.    

Right now, 18 of our 20 en route centers have started running the new system.  And 15 of those 18 are using it exclusively to control air traffic, instead of the legacy system of the 1960s.  We expect that all 20 centers will be running exclusively on the new system by March of next year, which will enable us to retire the legacy system.

We’re also upgrading the computer system that runs the lower altitude airspace closer to airports.  This project is implementing a common automation platform at more than 150 terminal facilities throughout the country.  These upgrades are essential for us to unleash the benefits of NextGen.      

Why are these upgrades important?  Our legacy automation was limited by its processing speed … and by its capacity to accept radar inputs.  In the terminal environment, some facilities only receive input from the one radar that sits at that airport. 

But with these new systems, we can process more data, more efficiently, from more sensors.  All of this leads to improved efficiency for the entire airspace and gives us the foundation to employ other NextGen tools that track aircraft much more precisely than radar.  Using satellite-based surveillance enhances safety and will move us towards more direct routes that save time and money.  

We call this capability Automatic Dependent Surveillance Broadcast.  I’m proud to say that in March, the FAA completed the baseline installation of the network of ground transceivers that will accomplish this.  More than a hundred facilities are currently using ADS-B technology to separate traffic.  This is a big accomplishment, as we gear up for the 2020 equipage mandate.  When we fully implement ADS-B, and all operators are equipped, we’ll be able to make even more efficient use of our nation’s airspace.   

One of ADS-B’s benefits is that we can track aircraft in places that don’t have radar coverage, like in the mountains or over water.  A similar technology that some of you have benefited from is called Wide Area Multilateration, or WAM, which we have in place in Juneau, Alaska, and at ski town airports in Colorado.  WAM employs multiple small remote sensors throughout an area to compensate for terrain obstructions.  It improves access to airports in bad weather.  With WAM, we’re seeing fewer delays … fewer diversions … and fewer gallons of fuel burned. 

Operators like SkyWest Airlines and others are achieving greater access at Colorado airports like Hayden, Montrose and Gunnison.

Another way that NextGen enables greater access to more airports is through a process of fine tuning the GPS signal over a wide area.  We call this capability WAAS, and it allows us to conduct approaches at airports when visibility to the runway is reduced due to bad weather or other conditions.  WAAS procedures provide pilots with a precise landing path that they can see on their cockpit instrument panel.  It’s beneficial for aircraft that need access to smaller and medium-sized airports that can’t afford expensive ground-based landing equipment. 

Nationwide, we’ve already published about 4,000 of these procedures at about 1,700 airports.  Regional operators like Horizon Air are seeing benefits in their flights throughout the west coast and Alaska.  They estimate a fuel savings of more than 54,000 gallons per year through the use of these approaches. Just like Lindbergh, we believe in economy.  Every ounce of fuel counts.

We’re also seeing NextGen’s benefits in places like Memphis and Louisville airports.  In the fall of 2012, we revised wake turbulence separation standards at Memphis Airport.  This means that aircraft can safely land and depart – one behind another – slightly closer than before.  We’re seeing a 20 percent increase in airport capacity at Memphis … and of course, with less time waiting to take off and land, operators are saving on fuel.  While carriers like FedEx and UPS see great benefits, regional operators also benefit during peak traffic times during the day because of the overall improvement in efficiency and access to the airport. 

As you can see, we’re making great progress with NextGen.  We’re looking to regional operators to do your part and equip, so we can expand these benefits.  And we look to you to continue to share safety data … and work with us on other safety efforts … so we can make our safe system even safer. 

Lindbergh and his Spirit of St. Louis changed the future of aviation.  With a strict adherence to the essentials of his mission, Lindbergh pushed the limits of aviation.  As we leave his city, let’s take some of this great spirit with us.  By working together, we can open new doors and shape the course of aviation for decades to come.