Air Traffic Control
Observations on Proposed Corporation Gao ID: T-RCED-94-210 May 12, 1994GAO testified that exemption from procurement regulations would not necessarily result in air traffic control equipment being installed more quickly in the field. Modernization delays have been caused by other factors, such as underestimating the technical complexity of system development. Regarding the issue of the Federal Aviation Administration's (FAA) positioning itself for the future, GAO found inconsistent signals. The proposal to create a government-owned air traffic control corporation, one that is exempt from federal procurement and personnel regulations and the appropriations process, suggests a hamstrung FAA struggling to update its air traffic control system. However, FAA's recently issued plans for modernizing the system describe a different FAA--one that has already accomplished a great deal and has several new technologies coming on line. Finally, among the financing issues raised by the proposal, revenue and expenditure assumptions deserve a closer look and close scrutiny of how safety will be ensured is warranted.