So you're walking through the mall and you're on your way to Nordstrom or Sears or Macy's or wherever, willing to part with some of your hard-earned cash to buy merchandise at one of those fine retailers.
You see a pair of sneakers, a dress, a power tool, whatever. The cost is $50. The tax is eight percent. You do the quick math -- $54. You have just enough.
You check out, the cashier rings you up, and the final bill is $58.
"That seems a little off," you say politely.
"Oh no, it's correct," the cashier assures you. "The sneakers are $50, eight percent tax is $4 so that makes it $54, and our facilities usage charge is $4 for a total of $58."
"Facilities usage charge?" you ask.
"Yes," the cashier says, "you have to pay us a facilities charge just to walk in the front door."
You'd be incredulous if this happened, wouldn't you?
Well, then that's how you should feel about the increase proposed for the Passengers Facilities Charge (PFC) on airline tickets in the new Fiscal Year 2016 federal budget. The new charge, under the plan, would go from $4.50 per flight to $8, with the monies being used on airport infrastructure.
Let's be clear here - there are some decaying airports out there that need massive overhaul, from runways to terminals. U.S Travel Association President and CEO Roger Dow called it a crisis, and said
"We have studied the issue in great depth, and our research shows conclusively that addressing travelers' desire for a better and more efficient flying experience trumps any other proposal for growing the U.S. travel economy."
He's absolutely correct.
Where he's incorrect, however, is asking passengers to pay for it.
The supporters of an increase in the PFC are using twisted logic, noting that the airlines are being disingenuous in opposing a PFC hike since the industry already rakes in billions on ancillary fees.
But you're going to penalize somebody with that kind of logic and it's not going to be the airlines. It's going to be you, and you, and me, and him, and her. Anybody who flies.
Look, this isn't a blanket defense of the airlines because, well, they DO rake in billions on ancillary fees. But they also pay out. According to Airlines For America, since 2008 U.S. airlines, together with airport partners, have invested more than $52 billion in airport infrastructure. As a result, new runways at Chicago O'Hare, Washington Dulles, Seattle, Fort Lauderdale and Charlotte, new international facilities at Atlanta and Los Angeles, and several new or renovated terminals, including Miami, Las Vegas, Houston and San Francisco have been built.
From 2000 to 2013, airport revenues per passenger grew 52% - far exceeding inflation (the consumer price index rose 35%) and the average domestic airfare (which rose 22% including ancillary fees) during the same period.
Where does this all end, these fees from both the airports and airlines? Unfortunately, just like being inside of an airplane, the whole idea of flying has a captive audience and there's little to no choice but to pay these fees.
Next thing you know, you're going to need a quarter to use the toiler in an airport. I don't even want to know what they're going to call that fee.
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