An amendment to the Troubled Assets Relief Program (TARP) introduced over a week ago bans the use of business aircraft by companies tapping into the program, according to the National Business Aircraft Association.
The unintended consequences of the provisions will put the jobs of tens of thousands of hard-working Americans at risk, said the organization, which added it could devastate the small businesses that fuel and service general aviation airplanes. In addition, it will further harm the manufacturers who are already laying off workers and slowing assembly lines, and take away a tool from companies that need general aviation airplanes to operate to and from the thousands of U.S. communities that have little or no scheduled airline service.
“Enactment of the proposal would add to the challenges already confronting the general aviation community,” said NBAA. “As industry analysts have recently noted, general aviation flight operations are down, and fuel consumption has been off this year. The market for used airplanes is larger than ever. Aircraft maintenance and repair shops are hurting. And Fixed Based Operators (FBO's) – the small businesses that service general aviation aircraft, many of which always operate at the economic margins – have been further stressed.
NBAA reiterated its study on how business jets contribute a return on investment. “Studies show business use of general aviation aircraft adds tangible value to a company's bottom line,” it said, “because employees can meet, plan and work with each other aboard business aircraft, productivity, confidentiality and security en route are assured.”