Textron Inc.’s Cessna unit, Raytheon Co. and other small-plane makers could be eligible for up to $2.5 billion in U.S. government aid and $5 billion in loan guarantees under legislation a House subcommittee approved.
Flight schools, air charters, small airports and other small-plane operators also would be eligible for aid under the measure, which is modeled after a law enacted Sept. 22 to help major U.S. airlines. Small plane, or general aviation companies also could purchase U.S. government insurance policies against war and acts of terrorism under the bill.
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“This is a much needed response to the crisis that general aviation has suffered through as a direct result of the terrorist attacks,” said Representative John Mica, a Florida Republican who wrote the legislation. The House Transportation and Infrastructure Committee’s aviation subcommittee, which Mica chairs, passed the bill unanimously.
U.S. security concerns prompted the closing of airspace to small planes around more than 30 major U.S. metropolitan areas in the weeks following the Sept. 11 attacks. The move grounded 41,000 aircraft and resulted in $400 million in lost sales for planes, fuel, parts, maintenance and pilot training, the Aircraft Owners and Pilots Association estimated. Hundreds of small aviation businesses closed, Mica said.
The legislation next goes to the full House Transportation Committee.
