Preventing Fatigue is a Joint Responsibility

Thank you, Captain Moak. It’s great to be here today. When I spoke last month at ALPA’s safety conference, I noted that I’ve had the chance to work with ALPA in various capacities for the last two decades now, starting in the early 90’s at TWA when I represented a pilot in a certificate action brought by the FAA. It’s good to be back among friends. In my new role, I want to thank ALPA for the great work you do and for being a solid partner with us in efforts to enhance aviation safety. Your professionalism is an essential component of what we do and I think this conference is a testimony to that.

The FAA manages safety and risk much differently than it did 20 years ago. We are now about to embark on a sea change in how we schedule flight and duty time. I know everyone’s gearing up, and this conference has been timely in that regard. I’m pleased with the significant participation here of the airlines, operations folks, pilots, scheduling vendors and others. I know you’ve had an informed discussion the past couple of days of what the rule entails. I’ve heard from several sources that it’s been lively and engaging.

This is a milestone in our safety efforts. We are using a science-based approach to addressing fatigue. We are taking into account the body’s 24-hour clock and how flight operations impact the body’s natural rhythms. The United States is leading the world by introducing these concepts and we hope other countries will adopt this approach as well, creating an improvement in safety globally. In fact, we’ve been working with ICAO for the last three years to develop standards, guidance and recommended practices that can be used by other civil aviation authorities around the world. We’re also working with our counterparts in Europe to offer guidance in implementing this science-based approach among European carriers.

Pilot fatigue has been an issue since the early days of flight. Charles Lindbergh famously described the fatigue he felt on his historic flight across the Atlantic more than 85 years ago.

“My whole body argues dully that nothing—nothing life can attain—is quite so desirable as sleep,” he later wrote.

Lindbergh felt sleepy nine hours into his 33-and-a-half-hour flight. He stomped his feet on the floor boards, shook his head and flexed the muscles of his arms and legs. In the eighteenth hour, he rubbed the muscles of his face. In the twentieth hour he realized he’d been asleep briefly with his eyes open. He wasn’t sure if he was dreaming or awake.

I have had similar experiences driving an old beater across country as a teenager in the 1970s. I suspect most of us in this room have had some experience of that type of fatigue. But our understanding of fatigue and sleep has advanced and evolved over the years. The limits set in this rule – for flight time, overall duty, and for rest – incorporate the latest in fatigue science.

But we’ve also addressed the need airlines may have for flexibility. If a carrier wants to propose an alternate approach, they may use a Fatigue Risk Management System to prove scientifically that this alternate approach will not induce fatigue. Carriers will have an opportunity to provide the data showing there is an equivalent level of safety.

The success of this rule boils down to the fact that preventing fatigue is a joint responsibility. It is the responsibility of both the airline and the pilot. The airline provides an expanded opportunity for rest. And the pilot has the responsibility to take advantage of that window and get the rest he or she needs. Pilots need to examine their lives at work and at home and consider activities and commutes which could contribute to fatigue. Pilots are going to have to sign a release before every segment, saying they are fit for duty. And if a pilot is fatigued, the airline must remove him or her and allow the pilot to rest.

Pilots and airlines have to work together to address any issues around fitness for duty. There should be no punitive action for assessing one’s fitness for duty or determining that you’re just not up to flying that day. If you’ve done too many long-hauls; if you’ve been shooting low minimums all day; if you’re flying into extremely busy airports – all of this can add up and you need to assess it. This entire process is designed to prevent fatigue from becoming a factor in performance.

There is a companion piece of legislation that goes hand in hand with this flight and duty rule, and that is the requirement for carriers to have a Fatigue Risk Management Plan. These plans apply to both passenger and cargo operations and provide a way for pilots to report fatigue issues as they encounter them. We rely on your professionalism to report any problems.

If a trip induces fatigue, pilots can and should report it. If a rest period is always during the daylight hours and it’s hard to sleep for days in a row, this could induce fatigue. A pilot should report it. This is a voluntary reporting tool that I hope you will use. There is no punitive action related to these reports. Again, you are on the front lines of safety and it’s up to you to help make it work.

The flight and duty rule is only one part of our effort to enhance safety. The FAA continues to spend a considerable amount of time and effort on rules related to human factors. We may have new, sophisticated aircraft and great new systems, but if we do not have properly rested, experienced, and trained crews, we won’t achieve the level of safety we always strive for.

Last week, Secretary Foxx, Deputy Secretary Porcari and I met with the families of Colgan Air Flight 3407. There is nothing that reinforces the importance of our safety mission more than meeting the families of the victims of a crash and hearing their stories. The families have become effective and very important advocates for these enhanced safety rules. We learned many lessons from that crash in February, 2009, and have incorporated safeguards into our system to strengthen it.

In addition to the flight and duty rule, the FAA just released the final rule on pilot qualifications. The new rule increases the qualifications to be a first officer for a U.S. airline. These first officers will now be required to have an ATP certificate, with 1,500 hours of flight time, just like a captain. And all applicants for an ATP will have to complete new FAA-approved training to ensure the pilot has the proper qualifications and experience to fly for an airline.

The rule does allow first officers to have a restricted ATP with fewer hours if they come from the military or have a college degree based on an approved aviation curriculum–but they won't get the full privileges of an ATP until they meet the 1,500 hour requirement.

We’re also requiring that first officers have a type rating with additional training and testing specific to the airplanes they fly. And co-pilots will need a minimum of 1,000 flight hours in the right seat before serving as a captain for a U.S. airline. This will help mitigate the risk of a first officer transitioning to captain before he or she is ready. The rule ensures that first officers have a stronger foundation of aeronautical knowledge and experience before they fly for an air carrier. ALPA supported all these improvements, and that helped move this project through the process.

Training is fundamental, and I’m sure you are aware that we’re expecting to release the crew training rule in October. That is a complicated rulemaking project – one that, again, ALPA has supported by providing important comments, which again helped us develop a better final rule. This rule will expand upon the strong foundation we have built already for pilot training. It will address real risks we all know can and should be addressed in training – so that pilots are prepared to respond when faced with emergencies. We want pilots to have sufficient knowledge, experience and confidence so they can appropriately handle any situation.

Finally, one of my pet issues is general aviation safety. We want all pilots to have the best training and skills, and that includes general aviation pilots. Over the last five years, we’ve seen our GA accident rate fluctuate, but it’s not steadily improving as we would like to see. Forty percent of fatal GA accidents are due to loss of control in flight – mainly stalls. Or, pilots simply don’t pay attention to the basics – like checking fuel prior to takeoff, or trying to beat weather. I know many of you here – and other ALPA members – are active in general aviation. I want to ask you to engage fully in this issue – to reach out to your fellow GA pilots and stress the need to pay attention to basics for example, by signing up for FAA safety seminars or participating in type clubs.

You as pilots and operators have an enormous impact on safety–including your influence in the general aviation community. A lot of this comes down to the basics: to following procedures all the time, even when no one is watching. We rely on your professionalism to continue to improve the system, and we appreciate the dedication and passion you bring to the effort.

With that being said, I don’t want to fatigue this audience unduly, as the afternoon circadian low starts around 1:30 p.m. I encourage you to drink that coffee, and if there are any questions on your mind, speak up and I’ll be happy to answer them.

Thank you

Advocates Day: Labor Relations in Transformational Times: Complex Issues – Best Practice Solutions

Reamrks as Prepared for Delivery

Thank you for the introduction, Ernie (DuBester), and for giving some history and perspective.

We’re here today to talk about best practices for how to improve working relationships between management and labor.

As you know, the FAA is a regulatory agency, but we’re also an operational agency. We run the nation’s air traffic control system. Our mission is safety, and we think about it 24 hours a day.

We have made significant progress in improving relations with our workforce in the last several years and we know this is the best way to enhance safety.We are working with air traffic controllers, pilots, flight attendants, mechanics and dispatchers. We are encouraging everyone tovoluntarily report safety information that may help identify potential precursors to accidents.

We are using corrective action and training before punishment or discipline to solve the problems in our system. This isn’t about blame—this is about having the professionalism and practices in place that let us know where problems exist so we can come together to try to resolve them. Our safety culture is dependent on people being able to say anything without fear of reprisal. You should be able to raise your hand and say, “Hey, this isn’t working.”  That’s even if your boss came up with the idea. By working together and being open, we have a chance to draw on everyone’s expertise to address problems. This is very important for our success.

Another very positive result of improving relations with labor is that things just run better.  At the FAA, we meet regularly with our unions through a labor-management forum that is attended by the top leadership of the FAA and representatives of our labor unions. We focus on setting a tone that will help facilitate a culture change and encourage collaboration throughout the agency. Members of my senior leadership team and I also meet with the leaders of individual unions to discuss and work on issues of concern to particular unions. In this way, we model collaboration from the top down.

We’re walking the talk on collaboration, and it’s helping improve the agency.

One example is our experience rolling out an extremely complex software platform that we use to control high altitude air traffic across the country.

This program is called En Route Automation Modernization, or ERAM.  And it’s one of the foundations for transforming our entire air traffic system from radar to satellites. Our Next Generation Air Transportation System, or NextGen, depends on it.

NextGen is extremely ambitious and vital to meeting our air space demands for the coming decades. So ERAM is very important because it serves as a foundation for NextGen.

Early on, we did not have the involvement of the people who were going to use this software system on a daily basis. As a result, we experienced some setbacks in the program. We changed the way we evaluated the software and we did this by reaching out and involving our field operations people as collaborators.

Air traffic controllers and managers across the country have been working together as our partners in testing the ERAM system and helping us decide the next steps. Our relationship with the field is much stronger than it was at the beginning.  The pay-off has been that people are gravitating to ERAM and getting more comfortable with it.

We are using it at high altitude control centers in half of the country now, which is significant progress. When you stop and ask the people who are going to use a product how they feel about it and whether it’s working, you get some very direct and important feedback.

We’ve taken this same lesson in workforce collaboration and are using it with other NextGen advancements, such as creating satellite-based routes that help relieve congestion over busy metropolitan areas.

Our Metroplex initiative has brought together all of our stakeholders – airports, airlines, our air traffic controllers, managers and other federal agencies to create new and more direct routes that will relieve congestion and improve safety and efficiency.  These improvements are underway in north Texas and Houston, northern and southern California, Atlanta, Charlotte and right here in Washington, D.C.

Again, the key was creating a collaborative work process much earlier in the timeline.  Rather than one group writing the procedures and another group checking to see if they are environmentally sound and then rolling them out to the controllers at the end, these groups are working together at the same time. It’s a much more efficient process.

These are just some examples of how the FAA has improved collaboration with our labor force, and how this collaboration has enhanced safety and improved efficiency.

Although it is obvious, I must say that the success we have had in accomplishing our mission at the FAA is possible only because we have excellent labor partners. We are an agency with a total of 47,000 employees – 36,000 of them are organized for collective bargaining in eight different national unions. Trish Gilbert is here with me on the stage and her union represents more than half of the FAA’s unionized employees. I want to especially acknowledge the outstanding partnership we have with NATCA. Union leaders and the employees they represent are committed to the agency’s success and demonstrate it every day.

I will close my remarks by saying that collaboration requires time and effort. However, it is an investment that experience has taught us improves the labor-management relationship. It promotes employee engagement and satisfaction, and produces high quality results to accomplish our mission.

Enhancing Safety on All Fronts

Thank you, Captain Moak.  I’m glad to be here.  I’ve had the chance to work with ALPA in various capacities for the last two decades so it’s good to be back among friends. In my new role, I want to thank ALPA for the great work you do and for being a solid partner with us in efforts to enhance aviation safety.  Your professionalism is an essential component to these efforts. 

You’ve had a very good forum this week, with lots of open discussion on safety, security and emergency response. And your conference is timely, given the events of the last couple of weeks.

• Our thoughts are with the passengers and crew of Asiana Flight 214 and their families. The FAA is actively supporting the NTSB’s investigation, and we will continue to do so throughout the process.
• We are also fully supporting the NTSB investigation into the crash of an air taxi in Alaska earlier this month, where 10 people were killed.  Our thoughts are with their families as well. 
• Additionally, we are participating in the British government’s investigation of the fire aboard an Ethiopian Airways Boeing 787 in London. There is an FAA specialist at Heathrow Airport assisting in that investigation.   

In all these cases, we’re doing what we do – finding out what happened, why it happened, and how we can prevent it from happening again.  That’s our core mission. As we do that, it’s important to underscore how very safe our aviation system has become.  Looking at the Asiana accident, it’s clear that our advancements in cabin safety have given people more time to evacuate.  Improvements like more stringent flammability standards, flame resistant insulation, and seats that withstand impacts up to 16Gs. These and other advancements have increased the survivability of aviation accidents. 

Of course, we’re not satisfied.  These recent events remind us that no matter how safe the system is, we still have work to do.  We remain committed to a proactive approach to safety – one that relies on collaboration between government and industry.  We’re doing this through more sophisticated safety data collection, risk analysis, and prioritization of corrective actions.  All of you help this effort every time you fill out an Aviation Safety Action Program (ASAP) report. 

Air traffic controllers are doing the same through Air Traffic Safety Action Program (ATSAP).  We’ve made nearly 200 safety enhancements over the past five years, thanks to controllers who came forward and reported a problem.

In addition, the FAA is using automated air traffic data gathering tools.  Through these tools, we’ve collected close to a million safety-related reports.  In all, we’re using safety information from 185 data sources throughout the industry. We have 43 air carriers and six corporate members participating in the Aviation Safety Information Analysis and Sharing System (ASIAS). By sharing information in an open and transparent way – and working with both labor and industry through forums such as InfoShare – we can better connect the dots to identify safety problems.  By doing this, we’re creating a smarter and therefore safer system. 

Rules are also a big part of the safety effort.  We’ve strengthened federal rules regarding pilot qualifications and fatigue.  And we’re working on the rule to enhance pilot training.

Last week, we announced an increase in the qualification requirements for first officers who fly for U.S. airlines.  All pilots in 121 operations will be required to have an Airline Transport Pilot (ATP) certificate, with 1,500 hours of flight time. The rule does allow for a restricted ATP if they come from the military or have a college degree based on an approved aviation curriculum –but they won't get the full privileges of an ATP until they meet the 1500 hour requirement. And all applicants for this certificate will have to complete new FAA approved training to ensure the pilot has the proper qualifications and experience to fly for an airline.       

The rule also requires first officers to have a type rating with additional training and testing specific to the airplanes they fly.  In addition, co-pilots will need a minimum of 1,000 flight hours in the right seat before serving as a captain for a U.S. airline.  This requirement will help mitigate the risk of a first officer transitioning to captain before he or she is ready. The new rule will ensure that first officers have a stronger foundation of aeronautical knowledge and experience before they fly for an air carrier. 

This fall, we also expect to issue new requirements for greater stall and stick-pusher training.  These rules, along with the rules we published in 2011 to prevent pilot fatigue, will enhance the safety of the system.   

Safety will always remain our primary purpose at FAA, but we also need to operate an efficient system. Upgrading how we control and operate in our air space – moving from a radar-based to a satellite-based navigation system – is imperative.   The NextGen technologies and procedures we are putting in place today guide aircraft on more direct routes, save fuel and decrease delays.  It’s good for business and good for the environment.  

But as the foundational elements get put in place, there is much more to do: adding new capabilities; building new procedures; and retraining users of the system.  In the past five years, we have made much progress and we’ve met more than 80 percent of our NextGen milestones – no easy feat with a project of this complexity.

ADS-B, for example, which is part of our core infrastructure, shifts the nation's air traffic control system from one that relies on radar technology to a system that uses precise location data from global satellites.  Currently, two-thirds of the United States is covered by roughly 560 ADS-B radio stations.  We’re on track to have all 700-plus ADS-B ground stations installed nationwide by next year.  As aircraft equip with ADS-B, more precise surveillance will enable us to more efficiently separate aircraft and reduce delays. 

This is already happening.  Last month, a Jet Blue flight from Florida to the West Coast was facing a weather delay. Because it is equipped with ADS-B, we were able to reroute the aircraft on an ADS-B path over the Gulf of Mexico, which allowed it to take off on time. The ADS-B route shaved off about 100 miles from the flight's initial path, resulting in hundreds of gallons of fuel savings. We’re also making progress with our Data Communications trials in Memphis and Newark.  By sending and receiving digital instructions between controllers and pilots, we’ll be able to increase overall system efficiency, while reducing the likelihood of hear-back and read-back errors.  FedEx, UPS, United, and British Airways, among others, are utilizing Data Comm as part of our trials.  We plan to start initial operations of Data Comm in equipped control towers beginning in 2016 and in high-altitude control centers in 2019.  

Another example is Atlanta, where NextGen is safely allowing jets to take off on headings that are slightly closer together.  This small change has resulted in a 10 percent increase in departures per hour from the world’s busiest airport.  We estimate that last year customers saved more than 11,000 hours of waiting in line to take-off last year.  We expect these improvements will save the airlines $20 million this year in Atlanta alone.  We intend to bring this type of efficiency to other major airports.

Finally, with the Metroplex initiative, we’re working to decrease congestion in busy metro areas.  This is a very targeted deployment of NextGen technology that delivers immediate and tangible benefits to the most intensive users of our air space. We have initiatives under way in north Texas and Houston, northern and southern California, Atlanta, Charlotte and right here in Washington, D.C.  Airlines flying into the D.C. metro area have already started using these NextGen procedures.  We estimate they will save $2.3 million in fuel per year and cut greenhouse gas emissions by 7,300 metric tons.  And these benefits will increase as we develop more procedures and their usage becomes more widespread.

Helping deploy and build NextGen was a principle reason why I came to FAA.  I believe it is our country’s most important infrastructure project, and we need to stay the course as we deploy these new technologies and procedures.  

And make no mistake, implementation is not always easy.  Ultimately, pilots and controllers have to be comfortable using these new innovations.  I encourage you to safely embrace these innovations and let us know how we can safely increase the comfort and acceptance level among operators and controllers.

Before I close, I want to come back to our safety imperative. While we’ve made tremendous progress in commercial airline safety, we still have a big challenge with general aviation safety.  Over the last five years, we’ve seen our GA accident rate fluctuate, but it’s not steadily improving as we would like to see.  As of yesterday, we’ve already had 197 fatal accidents this fiscal year, which have killed 343 people.  Forty percent of fatal GA accidents are due to loss of control in flight – mainly stalls.  Or, pilots don’t pay attention to the basics – like failing to check fuel prior to takeoff, or trying to beat the weather.  I know many of you here – and other ALPA members – remain active in general aviation.  I ask you to engage fully in this issue – to reach out to your fellow GA pilots and stress the need to pay attention to basics and sign up for FAA safety seminars. 

Thank you again, Captain Moak.  I appreciate the help and dedication of ALPA in all of the challenges that we face, and I look forward to continuing our partnership in the years ahead.

Before the House Committee on Transportation and Infrastructure Subcommittee on Aviation concerning the Progress we are Making with NextGen.

Remarks as prepared for delivery

Thank you Chairman LoBiondo, Ranking Member Larsen and members of the subcommittee. I appreciate the opportunity to testify before you today on the progress we are making with NextGen.

Mr. Chairman, before I begin my testimony, I want to express that our thoughts and prayers are with the passengers and crew of Asiana Flight 214, and their families. I am sure the Committee appreciates that the ongoing accident investigation is in the early stages, and I am not able to speculate about the cause of the crash. The FAA is fully supporting the investigation of the National Transportation Safety Board, and we will continue to do so throughout the process. We are also fully supporting the NTSB investigation into the crash of an air taxi in Alaska earlier this month. Our thoughts and prayers are with those families as well. 

We are participating in the investigation of the fire aboard the Ethiopian Airways Boeing 787 in London last week. The FAA has sent a specialist to Heathrow Airport in support of the British government’s investigation into that incident.

Safety is our mission at the FAA, and we are working to continuously enhance our policies and procedures. Last week, we issued a new rule requiring more hours of experience for first officers who fly for U.S. airlines. We are also requiring these first officers to earn a type rating, which involves additional training and testing, specific to the aircraft they fly.  

The Next Generation Air Transportation System is helping us enhance safety and efficiency by transforming our aviation infrastructure. NextGen technologies guide aircraft on more direct routes, save fuel and decrease delays. That’s not only good for the environment, it saves airlines money and is good for business.

We are delivering the objectives of NextGen as promised. We have consistently met more than 80 percent of our implementation milestones over the last five years, which is extraordinary when dealing with a complex technological program. Overall, NextGen is on track. And yes, there have been delays, but we have learned from these and incorporated those lessons in the way we move forward.  

We are making all of these improvements in a dynamic operating environment. We have found that collaboration is the key to success and to providing the best benefits to all of our stakeholders. We have a detailed plan to implement NextGen, and this plan is integrated into our enterprise architecture for our entire national airspace system. At the same time, we are flexible enough to adjust our course. This approach is working, and we are delivering benefits to our stakeholders now.

A good example is Memphis, where we have increased airport capacity by more than 20 percent since last fall. By working with our partners, we were able to revise wake turbulence separation standards. This allows aircraft to safely depart –one behind another – slightly closer together than before.

In Atlanta, we worked to safely allow jets to take off on headings that are slightly closer together. This small change has resulted in a 10 percent increase in departures per hour from the world’s busiest airport. We estimate customers have saved more than 11,000 hours of waiting in line to take-off last year thanks to NextGen.

We expect these improvements will save the airlines $20 million this year in Atlanta alone. And we intend to bring this type of efficiency to other major airports.

We have brought together all of our stakeholders – airports, airlines, our air traffic controllers, managers and other federal agencies to decrease congestion in the airspace over busy metropolitan areas nationwide. Through the Metroplex initiative, we’re working in north Texas and Houston, northern and southern California, Atlanta, Charlotte and right here in Washington, D.C.

Airlines flying into the D.C. metro area have started using these NextGen procedures. We estimate they will save $2.3 million in fuel per year and cut greenhouse gas emissions by 7,300 metric tons. And these benefits will increase as we develop more procedures.

Just as industry depends on us to deliver the best benefits now, we depend on industry to share information with us to help measure the benefits that NextGen provides. As I said earlier, collaboration is key. Only by investing the time, dedication and commitment, will we continue to see the best benefits.

Mr. Chairman, last year Congress reauthorized the FAA for four years and laid out a vision with bipartisan consensus to address the future needs of our aviation system. These needs have not gone away. Yet under the sequester and the current climate of fiscal uncertainty, the FAA needs to make sizeable budget cuts that affect our operations, NextGen, and our future. This uncertainty undermines the roadmap that the FAA and Congress laid out for NextGen. It was only last year that we all agreed that these goals were extremely important to protect the great contribution that civil aviation makes to our economy.

We are facing many challenges, but we must stay the course. Our aviation system needs these improvements and the cost of not doing them is far greater than the cost of moving forward. It’s important for us to work together to ensure that the United States continues to lead the world in aviation technology.

Mr. Chairman, this concludes my prepared remarks. I would be pleased to answer any questions you may have. 

Runway Safety Improvements at Boston Logan International Airport

Thank you for coming out today to hear about the significant safety improvements that the FAA and Massport have made at Logan International Airport.

Until now, Runway 33L did not have a buffer zone at the end for extra safety, and instead it ended right at Boston Harbor. What we have done is to greatly improve safety by extending a pier out into the harbor and adding a larger runway safety area at the end of the runway, with a special bed of crushable concrete that stops aircraft. We call this bed an Engineered Material Arresting System, or EMAS.

This $63 million project is the result of a lot of hard work by many people – and it really is a good example of simple, very smart engineering. 

Massport has also invested $15 million for the FAA to upgrade the navigational aids for this runway which makes it safe for aircraft to land in all kinds of weather including snow conditions and strong crosswinds. A joint Massport-FAA team worked closely together to install, commission and chart the new system on schedule and under budget.

The new runway safety pier extends 470 feet into Boston Harbor and is 300 feet wide. In the very unlikely event that an aircraft were to overrun the runway, the bed of crushable concrete would stop the aircraft from going any further.  This concrete bed itself is 500 feet long and 170 feet wide and is designed to stop an aircraft as large as a Boeing 747 going about 80 miles per hour with no brakes. Once the plane hits this bed of concrete, it stops, resulting in little to no damage to the aircraft.

These arresting beds have been installed at airports across the country and have stopped eight aircraft from over-shooting the runway in the last 14 years. Those flights had a total of 235 passengers and crew, all of whom exited the aircraft safely and without injury because of these safety beds. They really are life-savers and we’re very proud of this improvement here at Logan, especially the ingenuity and teamwork it took to install it and get it done.

The Importance of the Trans-Atlantic Partnership

Remarks as Prepared for Delivery

Thank you for the invitation to speak to you today.  I am always honored to address an international crowd – the global connection is what aviation is all about.  And, I am pleased to talk about the very important relationship between the United States and Europe. 

Rapid growth in air traffic continues around the world.  This means we must make upgrades and continue to modernize our systems.  Modernization creates greater efficiency, and ultimately, a safer aviation system.  And, that is important, because all nations, big and small, benefit from a healthy and safe aviation system.      

An essential part of global modernization is the relationship between the United States and Europe.  Our advancements together are a model for the rest of the world on how collaboration can work, with a common vision.  This leadership allows for an open dialogue and continued harmonization.

Without our joint initiatives, the Global Air Navigation Plan and the block upgrade concept may never have come to fruition.  This solid plan and the flexible block upgrade program allows for a country to determine which aspects are applicable to its own aviation system.  It is not a ‘one-size-fits-all’ approach.  We understand that what works well and what is needed here in the United States, or in Europe, may not be the same for a small, developing nation.  Or, the American approach may not be what is best for a country that shares air navigation services with others in its region. 

I’m pleased to see that joint efforts between the U.S. and Europe under our modernization agreement are coming along well.  After all, there is a huge amount of air traffic between the United States and Europe, and our collaboration benefits operators and millions of travelers. 

Our efforts across the Atlantic are leading the way in global harmonization, including the formulation and development of a streamlined data model to transmit flight information across borders.  The development of this new template will help flights traverse international boundaries more seamlessly, and offer a harmonized way for air navigation service providers to talk to one another.  This is a real, tangible development for the benefit of international aviation.  And, I understand that there will be more tests across the Atlantic in 2014.

Around the globe, we all face economic uncertainties and challenges.  Despite these concerns, we must continue to stay the course with our modernization efforts. 

Here in the United States, NextGen continues to transform the way we manage air traffic.  We are making headway with the deployment of ADS-B equipment throughout the U.S., and in 2014, ADS-B coverage will span the entire country. 

We also continue advancements in our metroplex efforts, decongesting airspace around busy cities.  We are successfully developing better and more efficient take-offs and landings, and better surface operations.  These advancements all save fuel and time, which is of keen interest to operators here, in Europe, and beyond. 

And, I’m happy to report that just last week, we released our latest version of the NextGen Implementation Plan.  It is available on the FAA’s website this year, as we are reducing printing costs. 

As the United States rolls out the improvements of NextGen, we seek to partner more with other countries and regions.  In addition to our collaboration with you, we also continue to work with Japan, which is developing the CARATS system.  And, we’re working with other nations to bridge gaps between our systems.  Global interoperability must span far and wide, and that is why we must reach out to as many of our counterparts as possible. 

Our work together must also be done in tandem with ICAO.  This organization is uniquely placed to promote a safe, efficient, and environmentally sound global aviation system.  Just last week, we met with the Air Navigation Commissioners, and talked about how we can move forward together on modernization efforts.  A full discussion ensued about how the Global Air Navigation Plan and the block upgrade concept are key to global development and harmonization. 

As you know, we’ll soon be considering these ideas at the ICAO Assembly in September, building on the agreements made at last year’s Air Navigation Conference.  We also encourage the use of ICAO’s regional planning and implementation groups to help develop the way forward that works for each particular region. 

As we celebrate the global connection that aviation brings us, we should be encouraged by the development we’ve seen so far in aviation.  Despite current challenges, we continue to make great strides on both sides of the Atlantic.  Our interaction is one of the reasons we’ve made so much collective progress.  And, while we don’t always agree on every single approach, we all share the same vision of an effective, safe, and environmentally sound aviation system.

Thank you again for inviting me to speak with you today. 

NextGen and the Future of Aviation

Thank you, Margaret (Jenny), for that introduction. It is great to be here, and to see so many familiar faces.

I appreciate the opportunity to talk with you about how much we’ve accomplished with the roll-out of NextGen. It is crucial to the future of our aviation system, and it is happening with input from important constituents like you.

The road to success is often marked by twists and turns. The budget battles continue, and have thrown us a curveball.

I’m sure you are well aware of the challenges we faced earlier this spring when furloughs caused flight delays. We’ve been given a reprieve from furloughs for the remainder of this fiscal year, and 149 lower activity towers will be kept open through September.

But make no mistake. This ability to move funds from the Airport Improvement Program is not a long-term solution. This is a short-term fix that has only resolved the furlough issue through September.

And, we still need to make more cuts from our budget before September 30. This means we will continue our significant reductions to contracts, training, and travel. Beyond this fiscal year, many uncertainties remain.

We will, however, continue to move forward with our mission of providing a safe and efficient aviation system. It would be easier to carry out our goals with a clear long-term fiscal solution. The sequestration law and continuing resolutions year after year make it more challenging for the continuity of NextGen programs. We ask that Congress find a sustainable long-term solution. We all hope that the sequester is dealt with soon – otherwise, even more cuts may be needed next year.

But, we remain committed to implementing the 21^st century aviation system that NextGen brings. And, we do this while integrating components into the airspace that were unheard of just a few decades ago, mainly unmanned systems and commercial space launches.

While we’ve had to shift some of our priorities and alter some of our deployment timeframes in the wake of budget constraints, we’re fully committed to delivering the NextGen capabilities we’ve outlined over the last several years.

With NextGen, a truly more efficient system is evolving for operators, travelers, and other users of the aviation system. We began a short time ago in 2007 with a budget of less than $130 million, and today, our NextGen budget remains around $1 billion per year. This significant expansion represents the increasing urgency to modernize our system.

Just as important as proper funding is effective collaboration. Industry and government must always work together. Working in concert is what truly makes it possible. It can’t be done by government alone, and it can’t be done by industry alone. Crucial to our success is input from stakeholders such as RTCA.

It’s easy to say that we need collaboration, but what is a real example of working together? A great example is the data communications testing we are doing now in Memphis and Newark. In partnership with operators, we are testing data comm in anticipation of a roll out for surface operations in 2016, and for en route operations in 2019. As you know, this will help decrease the amount of voice communications between controllers and pilots, reducing the potential for errors. These tests in Newark and Memphis will help us determine where risks might be in the system, and make improvements before the full program is implemented.

Progress also continues with ADS-B, which supports more precise surveillance, and contributes to reducing delays. Currently, roughly 550 ADS-B ground radio stations have been deployed throughout the U.S. In 2014, the entire U.S. will be covered by over 700 ground radio stations. As even more aircraft equip with ADS-B, we will be able to more fully realize its benefits throughout the National Airspace.

Another cornerstone of NextGen is Performance-Based Navigation. It allows for satellite-based navigation routes and procedures that use GPS to provide precise location information.

PBN routes and instrument procedures enable aircraft to fly more direct paths, providing efficiency and capacity gains. There’s less need for pilot-controller voice communications, reducing the potential for errors. And, PBN helps reduce fuel burn and emissions through more continuous climbs and descents.

Another area where we’re making strides is the expansion of the use of equivalent lateral spacing operations, or ELSO. The precision of NextGen navigation means we can safely allow jets to take off on headings that are slightly closer together. This incremental change has been used in Atlanta, and we’re seeing an increase of 8 to 12 departures per hour. We estimate that this saved customers 700,000 minutes, or 1.3 years, of waiting in line to take-off in Atlanta last year. It’s better for the environment too, because aircraft spend less time on the ground with their engines running. So we’re burning less fuel and decreasing pollution.

We want other major airports to be able to use ELSO, so we are changing our air traffic control handbook, which sets the standards that controllers use to ensure safety and properly separate aircraft. We estimate this change could save airlines about $20 million per year at Atlanta alone.

We also plan to release the NextGen Implementation Plan within the month. We wanted to make sure that everything in the plan lines up with the President’s 2014 budget. It will be available online this year, as we’re trying to reduce printing costs.

While we maintain the biggest airspace in the world, we cannot be fully successful without working hand-in-hand with our foreign counterparts. On the international front, we continue our outreach with many foreign partners and maintain a close relationship with ICAO in an effort to promote global harmonization. Our successes will go no further than our borders without close contact and partnership with other countries. It is crucial that we continue together toward the goal of seamless global operations.

The Global Air Navigation Plan, endorsed by the ICAO Air Navigation Conference last year, provides a framework for countries to improve air traffic capacity according to their own needs and resources. We will revisit this modernization concept at the ICAO Assembly later this year, as we move toward global harmonization and integration.

So, as you can see, we continue to make great strides here at home, and on the international front. And, another great step forward is the fact that we recently named a new Deputy Administrator. I’m so pleased to have Michael Whitaker on board with us.

Mike is no stranger to many of you, having served in many aviation capacities in industry and regulatory circles. His perspective will be valued and important in our decision-making processes. He’ll also serve as our Chief NextGen Officer, a crucial position in the agency.

My only concern with bringing him on board is that we both share the same first name. This will no doubt be confusing to staff at the FAA. But, as a sign of collaboration, we’ve worked out a deal. We’ve decided that he’ll be Mike, and I’ll remain Michael. I know he’ll be a great addition to our team.

Thank you, again, for your invitation to speak with you today.

FAA Report

Sequester and Budget Update

Good morning and thank you, Bill, for that update. Thank you all for coming today. And special thanks to Representative LoBiondo and Deputy Secretary Porcari for their continued support of NextGen.

As you know, we have had an extremely busy year. We’re working on many important projects, but at the same time, we’re dealing with the sequester and all that it entails.

We have had to make sizeable budget cuts that affect our operations and our future.

As the Deputy Secretary said, the sequester is not over. But, Congress gave us the financial flexibility to avoid the furloughs for the remainder of this fiscal year – through September 30. We were able to transfer $253 million from the airport grant program – which was exempt from the sequester.

With this flexibility, we are also able to keep open the 149 low activity contract towers through September. And we’re putting $10 million towards NextGen, to reduce cuts and delays in core programs; and $11 million to maintain equipment and infrastructure that is so necessary for the system.

Metroplex

As part of this flexibility, we are able to restart the Metroplex work that had been put on hold. As you know these projects are highly collaborative and must include our operational air traffic control personnel. Furloughs under the sequester required us to recall air traffic controllers and managers back to their duty stations.

Last week, we started the coordination efforts to get these air traffic controllers back on the Metroplex work. They are experts in their airspace, and we will restart the collaborative process with airlines and the many other stakeholders who are all working to improve congested airspace over busy cities. We are able to do this in seven Metroplex cities where the work will continue, including: Washington, D.C., Northern Texas, Charlotte, Northern and Southern California, Houston and Atlanta.

Sequester not over

Keep in mind however, that the sequester is still in place and that the FAA must still cut a total of $637 million from our budget by Sept. 30.

We’ve also cut our spare parts inventory, which may increase restoration time during outages and reduce system efficiency. And as an interim measure, we’re not training new air traffic controllers or technicians to maintain and operate new technologies, which has led to a shut down of a large part of the FAA Academy in Oklahoma City.

NextGen under sequester

Because the sequester is designed to last ten years, we have conducted an initial assessment of how a long term sequester would impact our current NextGen Implementation Plan. Today, we have seven programs in the implementation phase. These programs are current contract commitments that will deliver new capabilities for all phases of flight by 2018.

The budget profile even under sequester would provide the capital funding required to meet most of those commitments. But, to make this happen we must have the operations funds to maintain our active workforce participation in key activities like procedures design, onsite testing, and training. And, if we are not able to keep the workforce engagement, we simply will not be able to meet all of our current commitments and the associated timelines.

Mike Whitaker

Nonetheless, there are bright spots. And we are delighted that the President has appointed Mike Whitaker to be the Deputy Administrator of the FAA. Mike has more than 20 years of experience in the airline industry and he will be the Chief NextGen Officer. He’ll be in charge of everything NextGen and will be doing these reports from now on with all of you. He just came on board yesterday, and I’m looking forward to a very productive relationship. Please join me in welcoming Mike. He’ll be leading our NextGen efforts, focused on delivering benefits now, and will be taking over as the NAC's Designated Federal Official going forward. He may need a few more days to get fully immersed in all our acronyms, but I’m confident that in working with all of you, he will make a difference. Please join me in welcoming Mike.

Jim Crites

I would also like to congratulate Jim Crites, Executive Vice President for Operations at Dallas Fort Worth Airport. Jim has received this year’s White House Champions of Change award in the category of Transportation Technology Solutions.

Jim has demonstrated a powerful personal and professional commitment to the advancement of NextGen. He has been an effective, vocal advocate, and he has actively participated in the testing and demonstration of key NextGen technologies and programs. As a champion of collaboration, he has brought representatives of various communities to the table when necessary to collaborate on NextGen planning and implementation, and to overcome challenges.

Please join me in congratulating Jim Crites.

City Pairs

Now, I would like to talk about some of the work the FAA has been doing as a result of our collaboration here at the NextGen Advisory Committee.

As you know, Congress has asked us to measure NextGen performance in the context of key city pairs. This was part of reauthorization.

Last summer we asked for your help in identifying these city pairs and we received your suggestions in February. I am pleased to say that the FAA accepts those recommendations for 25 city pairs. We are going to begin to report the benefits we realize between these cities as part of our metrics web page and the NextGen Performance Snapshots.

Also, we plan to release the NextGen Implementation Plan within the month. We wanted to make sure that everything in the plan lines up with the President’s 2014 budget. It will be available online this year. We’re trying to reduce printing costs.

Controller Handbook

Despite the difficulties of the sequester, we are making progress on important work that the NAC has helped to guide and that will make our airspace safer and more efficient.

We are updating our air traffic control handbook, which sets the standards that controllers use to ensure safety and properly separate aircraft. It was published long before the use of performance based navigation, and we’ve identified 15 updates that would allow air traffic controllers to take full advantage of the benefits of NextGen. While these changes are complicated, we are determined to publish many this year.

ELSO

For example, we’re going to expand the use of equivalent lateral spacing operations, or ELSO. You’ll hear more about this later today. The precision of NextGen navigation means we can safely allow jets to take off on headings that are slightly closer together. This small change has been used in Atlanta and we’re seeing an increase of 8 to 12 planes departing per hour. Last year we estimate that this saved customers 700,000 minutes of waiting, or 1.3 years of waiting in line to take-off in Atlanta. It’s better for the environment too. All those jets spend less time on the ground with their engines running. So we’re burning less fuel and decreasing pollution. ELSO saved the airlines $20 million last year in Atlanta alone. We want other major airports to be able to use ELSO, so we are changing the handbook.

Closely spaced parallel operations

We’re also working very diligently to increase the number of aircraft that can land at an airport each hour, while maintaining safety. That is why we have put so much effort into closely spaced parallel operations and will change the controller handbook to make these operations more common.

We are working on improvements to staggered approaches for runways that are very close together – closer than 2,500 feet. About 17 of our busiest 35 airports have runways this close together.

You can’t do simultaneous operations on these runways, but we can still safely lower the separation standard for aircraft that are coming into these close runways.

This is because our entire airspace system has undergone extensive advances over the years. We have the ability to collect and analyze better radar data. Our aircraft have better avionics, and we have more effective training for both pilots and controllers. Technology across the board has improved to such an extent that we are extremely confident that we can operate aircraft at a closer proximity to one another and still be just as safe.

These reduced separation standards of three miles down to one-and-a-half nautical miles for staggered approaches have already been approved for specific runways at eight airports right now. They are: Boston, Newark, St. Louis, Cleveland, Seattle, Memphis, Philadelphia and San Francisco. Before airports can use these new separation standards, the FAA must first train the controllers.

These changes will help the entire air space system by safely increasing capacity at major hubs when the weather prohibits visual approaches. It will decrease the ripple of delays that spreads across the system when one hub is experiencing weather conditions.

Conclusion

We have a lot of good work going on at the FAA and a very dedicated workforce. I’ve really enjoyed working with everyone on the NAC over the past few years. Thank you very much for all of the work you are doing and your dedication to NextGen and to improving flight today and for future generations.

Now I’d like to introduce Pam Whitley, who is Acting Assistant Administrator for NextGen. She’ll introduce the next agenda item which is on the NextGen performance snapshots website. We established this website a year ago to report NextGen specific metrics and to publish NextGen success stories.

The Need for Financial Certainty

Remarks as Prepared for Delivery

Thanks, Marion [Blakey]. Last fall when I spoke at your suppliers’ conference you had the “countdown to sequestration” clock. Our government set up that clock, with the belief that it would never count down to the very end. But here we are. You know better than most, the recent fix is just a Band-Aid. The FAA needs a long-term solution that will give us the financial certainty we need as we proceed with modernization.

Let me say plainly, the FAA remains committed to safely accelerating the benefits of technology into the public domain – including unmanned aircraft and NextGen. And if we j-u-s-t set aside this s-m-a-l-l issue of funding for a moment, we’re very well positioned to deliver on these commitments.

To begin with, we have a collaborative relationship with our unions.

We have industry cooperation through the NextGen Institute and its Management Council, as well as the NextGen Advisory Committee.

We have a structure and leadership in place that supports timelier implementation. We elevated the NextGen office to reflect that it’s a priority. And on June 3^rd, our new Deputy Administrator, Michael Whitaker, will be joining us, and he will serve as our Chief NextGen Officer.

And through more integrated offices like the Program Management Organization and the UAS Integration Office, we’re able to better manage the necessary collaboration across the agency.

And again, just putting aside for a moment this l-i-t-t-l-e thing called “the sequester,” we have the full support of the DOT, the White House and the Congress for both NextGen and the safe integration of unmanned aircraft.

We’ve made great progress on both fronts. We’ve authorized government agencies to use unmanned aircraft for public purposes including border patrol, firefighting and disaster relief. We’ve issued special airworthiness certificates to companies like Raytheon, AAI corporation, General Atomics, Boeing and others, for the purposes of research, development, testing and training.

But as we proceed, we still need to address many issues including pilot training and making sure that an unmanned vehicle can sense and avoid other aircraft. Also, if it loses its link to the ground-based pilot, an unmanned aircraft still needs to operate safely. And we have a role, in conjunction with other government agencies, to address the privacy concerns of the public.

Operational research is our next step and in February, we issued a request for proposals to host six sites across the country to test the use of unmanned aircraft.

There’s a lot of interest – we have 25 candidates, all of them are public organizations across 24 different states. In choosing sites, we’re going to consider the geographic and climatic diversity and the location of ground infrastructure and research needs. And we plan to consult with NASA and the Department of Defense. We hope to make selections by the end of this calendar year, and our goal is to have the first test site operational within six months following the site announcements.

We’re also making great progress with NextGen. We’re moving from primarily ground-based to satellite-based operations and an air-ground communication system that relies on data exchange as well as voice. In doing so, flying will be more efficient and more environmentally friendly.

ADS-B means we’ll have more precise aircraft surveillance, and we can significantly reduce delays. We expect to complete the installation of about 700 ADS-B ground radio stations by early 2014.

The FAA is working with the airlines, the Port of Seattle, and Boeing Corporation on the Greener Skies over Seattle initiative. At Seattle-Tacoma airport, we added new satellite-based procedures, including the expanded use of Optimized Profile Descents, or OPDs. Alaska Airlines estimates that Greener Skies procedures will cut fuel consumption by 2.1 million gallons annually and reduce carbon emissions by 22,000 metric tons, which is the equivalent of taking 4,100 cars off the road every year. The OPDs are also quieter as aircraft descend at reduced power settings.

Our efforts in Seattle are providing a template for rolling out these benefits throughout the country, and they’re supporting our metroplex efforts, through which we’re making better use of congested airspace around the nation’s busiest metropolitan areas, further reducing fuel consumption and decreasing aviation’s carbon footprint on the environment.

For example, last August, flights approaching the Washington DC area started using satellite-based routes and immediately began saving fuel and emissions. For the airlines, these new routes will save $2.3 million in fuel costs in the first year of operation. We estimate that about 60,000 flights are using these new procedures into Dulles each year. At National, about 57,000 flights are flying the new routes each year.

As you know, we recently started work on Data Communications trials. Data Comm supplements today’s analog voice-only air-to-ground communications system with a digital message system. By sending and receiving digital instructions to and from pilots, we’ll be able to increase overall system efficiency, while reducing the likelihood of hearback and readback errors. We plan to start initial operations of Data Comm in equipped control towers beginning in 2016 and in all high-altitude control centers in 2019.

We have trials underway in Memphis and Newark that are coming along well, and we’re learning some important lessons, particularly as it relates to controller-pilot interoperability. These lessons alert us to the improvements we need to make before deployment.

These NextGen tools and procedures are changing the way we fly. By 2020, we’re projecting that NextGen will provide $38 billion in savings from NextGen. We also project a 41 percent reduction in delays compared to what would happen if we did nothing, a reduction of 16 million metric tons in carbon emissions, and a 1.6 billion gallon cumulative reduction of fuel use[1].

These benefits help make the case for NextGen. They help make the business case for why airspace users should equip with NextGen avionics – and as we all know that’s the other key piece of the puzzle. The FAA is working with several air carriers like Jet Blue, UPS, US Airways and others, to document the benefits of equipage. For instance, Jet Blue equipped 35 of its aircraft with ADS-B. Through an arrangement with them, the FAA will have access to data from flights off the East Coast where ADS-B Out will allow more efficient operations.

As part of another pilot program, the FAA approved avionics developed by ACSS to equip 20 US Airways Airbus A330 aircraft with ADS-B In, which we don’t mandate, but it provides pilots with a cockpit display showing the location of other aircraft. This enhances flight safety, and allows the equipped plane to take advantage of more advanced procedures that save time and fuel.

All of this is great news, and if we could just put the sequester aside, we’d be in great shape. But unfortunately, Congress hasn’t put it aside. They gave us the flexibility to cancel the employee furloughs for the remainder of the year, but the sequester continues, and we still have to cut $637 million. Yes, we were able to transfer $253 million from a source previously off limits – the airport grant program. But we still have to cut $384 million from other areas by September 30. This means we have to maintain cuts in areas like staffing, hiring, awards, contracts, training, and travel.

We’ve cut our spare parts inventory, which may increase restoration time during outages and reduce system efficiency. We may have to postpone technology and procedural deployments that were slated for completion this year. Components of our ADS-B trials with Jet Blue may be delayed. And our ability to train and certify people to maintain and operate new technologies is limited.

Looking ahead to FY2014, the budget situation is still very uncertain. Congress has taken care of this situation until the end of the fiscal year, but two more things have to be dealt with. First, unless the sequester is permanently fixed, it will last for ten years. Congress must cancel it and give us the funding certainty that will enable us to properly plan our future activities as an agency.

Second, we need an appropriations act for FY14. We’ve been running on a continuing resolution for FY13. Under this situation, it’s hard to have a thoughtful discussion about how to move forward. The President’s budget requests $15.6 billion for the FAA. This budget would support our critical safety programs, modernize our aviation infrastructure, and strike a balance between maintaining current infrastructure while deploying key NextGen programs to support the growth and changes in aviation. It does all this at funding levels that are $351 million lower than FY 2012.

But unless these two things are dealt with, we’re looking at a very uncertain fiscal environment.

In closing, I hope the sequester is resolved as quickly as possible. If it remains in effect, the FAA may be required to cut even more next year than we did this year. Because of the financial uncertainty, we can hope for the best, but we have to plan for the worst. This is not a sustainable course of action, and it’s no way to run a government.

Thank you.

[1] Published in the soon-to-be-released 2013 NextGen Implementation Plan. The NextGen Office is using these numbers now, and provided them for this speech.

Strong Partnership As We Face the Challenges Ahead

Remarks as Prepared for Delivery

Thanks, Paul [Rinaldi].  I want to thank you and Trish for your leadership, as we deal with the challenges with respect to the sequester.  We appreciate the strong partnership we have with NATCA … and I very much look forward to continuing to work together in the days and months, and years ahead. 

I also want to acknowledge and thank everyone here for the great job that you do.  NATCA represents many of our employees.  It’s not just air traffic controllers.  It’s architects and engineers, as well as staff support, technical, and flight procedure specialists.  Due to your efforts, and those of your colleagues throughout the agency, we at the FAA can proudly say we run the safest, most efficient air traffic system in the world.  Our intention is to keep it that way. 

To do so, I’ve stressed three priorities for the FAA.  You’ve heard me talk about them.  The first is to make aviation safer and smarter.  We’re doing it through a more sophisticated safety data and analysis process.  Because of your ATSAP reports, we’ve made nearly 200 safety corrections to the system since the program began five years ago. 

Through voluntary safety reporting, along with automated data gathering toolslike CEDAR, we’ve collected close to a million safety-related reports from all sources. 

Now we’re exchanging information with the airlines and the National Transportation Safety Board through the ASIAS program.  Through the Confidential Information Sharing Program, or CISP, we’ve already exchanged over 8,700 safety reports with 12 airline partners.  Through these partnerships with labor and industry, we will continue to identify, and more importantly, fix more safety issues than any single program could.    

Because of these efforts, and many others, we took home this year’s prestigious IHS Jane’s ATC Award for our proactive safety management system.  Our win shows how far we’ve come in reaching the next level of safety … and shows why we play a lead role in global aviation.

The second priority you’ve heard me talk about is to accelerate the benefits of technology into the public domain.  And the third priority is to empower you, our employees.  You know the system best and we need your full engagement. 

These last two areas have gone hand in hand when it comes to air traffic modernization.  Through collaboration with all of you at NATCA, and with your subject matter expertise, we’ve made great progress with the implementation of ERAM and those lessons learned are being applied to TAMR as well.  We’re also making great progress with Performance-based Navigation procedures and other programs as part of our transition to NextGen.

Take ERAM.  We’ve benefited by having a national user team led by a labor and management counterpart from each of our en route centers.  And through the ERAM Steering Committee meetings, centers that have successfully deployed ERAM have passed on the lessons learned to the centers whose deployments are coming up.  Personally, I think it’s a great process, and with it, we’ve come a long way in the past 16 months.  To date, we have 11 out of 20 en route centers using ERAM on a daily basis, and another five have reached initial operating capability. 

We’re also seeing the benefits of FAA-NATCA teamwork in our metroplex initiatives, through which we’re making better use of congested airspace around the nation’s busiest metropolitan areas, reducing fuel consumption and lessening aviation’s carbon footprint on the environment.

For example, last August, flights approaching the Washington DC area started using satellite routes and immediately began saving fuel and emissions. For the airlines, these new routes will save $2.3 million in fuel costs in the first year of operation.  We estimate that about 60,000 flights are using these new procedures into Dulles each year.  At National, about 57,000 flights are flying the new routes each year.

And through Performance Based Navigation, we’re deconflicting traffic at busy adjacent airports like Chicago’s O’Hare and Midway.  Over the past two years, we’ve made better use of this congested airspace by publishing a satellite-based procedure used by RNP-equipped aircraft when they’re flying into Midway.  This procedure has allowed O’Hare to improve its arrival rate by eight to 12 aircraft per hour when the ceilings are low.  That’s huge.  And aircraft flying into Midway travel fewer miles and save fuel, also very important.

We’re also continuing to make progress with our Data Communications trials in Memphis and Newark airports.  As part of the Memphis trial, we’ve moved from using the tool for “cleared as filed” procedures to processing amended routes for flights.  By sending and receive digital instructions to and from pilots, we’ll be able to increase overall system efficiency, while reducing the likelihood of hearback and readback errors. 

These are just some examples of how the collaborative process is helping to implement NextGen.  And how NextGen is helping to deliver more on-time flights, reduce fuel burn and reduce greenhouse gas emissions. 

This is an approach that works.  And when you have the kind of professional and constructive relationship we have, you need to keep it going.  I’m personally very committed to it. 

But as you all know, things aren’t perfect when we look to the future.  The sequester poses a major challenge to the entire agency, including to the collaborative efforts that have been so instrumental to our modernization.  It challenges our effort to deliver greater benefits to the flying public as soon as we would like.   

As air traffic delays mounted last month, the nation saw exactly why the sequester, as designed, is flawed public policy … and Congress decided to give us the financial flexibility to cancel the furloughs for the remainder of the fiscal year.  With this flexibility, we’re also able to keep the 149 low activity towers open through September 30.  And we’re putting $10 million towards NextGen, to reduce cuts and delays in core programs; and $11 million to maintain equipment and infrastructure that is so necessary for the system. 

But the fix is just a Band-Aid.  It only lasts until the end of the fiscal year.  It doesn’t address the long term fiscal challenge we have.  Although the furloughs have been cancelled, the sequester continues … and we still have to cut $637 million.  Yes, we were able to transfer $253 million from a source previously off limits, the airport grant program.  But we still have to cut $384 million from other areas by September 30.  This means we have to maintain cuts in areas like staffing, hiring, awards, contracts, training, and travel.  

We’ve also cut our spare parts inventory, which may increase restoration time during outages and reduce system efficiency.  We may have to postpone technology and procedural deployments that were slated for completion this year.  And with the Academy shut down, we’re not conducting trainings and getting people certified to maintain and operate new technologies.   

Looking ahead to FY2014, the budget situation is still very uncertain.  President Obama has proposed a workable solution to our nation’s budget challenge and the FAA’s 2014 budget request of $15.6 billion is part of that.  This budget request supports our critical safety programs, modernizes our aviation infrastructure, and strikes a balance between maintaining current infrastructure while deploying key NextGen programs to support the growth and changes in aviation.  It does all this at funding levels that are $351 million lower than FY 2012.  This is a 2.2 percent decrease, which is part of the President’s effort to reduce the deficit.

What’s going to happen between now and the first of October?  We don’t know.  Congress has taken care of this situation until the end of the fiscal year, but two more things have to be dealt with.  First, unless the sequester is permanently fixed, it will last for ten years.  Congress must cancel it and give us the funding certainty that will enable us to properly plan our future activities as an agency.

Second, we need an appropriations act for FY14.  We’ve been running on a continuing resolution for FY13.  Under this situation, it’s hard to have a thoughtful discussion about how to move forward.  Unless all of these things are dealt with, we’re going to be dealing with a very uncertain environment.

Against this backdrop, I want to thank everyone for their patience and professionalism as we continue to deal with what is an extremely difficult fiscal issue.  I hope the sequester is resolved as quickly as possible.  If it remains in effect, the FAA may be required to cut even more next year than we did this year.  While we can hope for the best, because of the financial uncertainty, we have to plan for the worst.  As you and I both know, that’s not a sustainable course of action … and it’s no way to run a government.  In either case, the FAA remains committed to working closely with NATCA as we face the challenges ahead.