To amend title 49, United States Code, to clarify airport revenue use of local general sales taxes, and for other purposes.

Bill Number

H.R. 6673

Origin Chamber

House

Congress

119th Congress, Session 1

Policy Area

Transportation and Public Works

Status

Introduced

Latest Action

2026-02-02: Referred to the Subcommittee on Aviation.

Last Updated

2026-02-03T09:05:58Z

AI-Generated Summary

Purpose of the Legislation

This bill, H.R. 6673, aims to clarify how local governments can use revenues from general sales taxes in relation to airport funding rules. It creates an exception to federal restrictions on airport revenues, allowing certain local sales taxes to be used for general purposes without being tied to airport operations.

Key Provisions

• Exemption from Written Assurances: Amends Section 47107(b) of title 49, U.S. Code, to state that federal requirements for written assurances on airport revenue use do not apply to local general sales taxes, as defined in the new Section 47133(b)(4).
• Restriction on Revenue Use Exception: Adds a new paragraph (4) to Section 47133(b) of title 49, U.S. Code, specifying that revenues from generally applicable local sales taxes (taxes that apply broadly and do not single out aviation fuel) are not subject to federal airport revenue restrictions if three conditions are met:
• The local government had such a sales tax in place before December 9, 2014, without excluding aviation fuel.
• The local government is not the sponsor (primary operator or funder) of a public airport.
• A large hub airport—defined as one with more than 35 million passenger boardings (enplanements) in 2021—is located within the local government's jurisdiction.

Significant Changes to Existing Law

• Previously, federal law (under Sections 47107 and 47133) required airport sponsors receiving federal grants to ensure that airport revenues, including certain taxes, are used only for airport-related purposes (like maintenance or improvements). This bill introduces a targeted carve-out for specific local sales taxes, exempting them from these "revenue diversion" rules.
• The change is narrow: It only applies to pre-2014 taxes in jurisdictions with large hub airports, where the local government is not an airport sponsor, preventing broader misuse of funds while allowing flexibility for local budgets.

Potential Impacts

• On Government Agencies: The Federal Aviation Administration (FAA), which enforces airport grant conditions, may see reduced oversight for these specific local taxes, potentially simplifying compliance for affected areas but requiring verification of the three conditions.
• On Citizens: Local residents in qualifying areas could benefit from sales tax revenues being available for general community needs (e.g., schools, roads, or public services) rather than being redirected solely to airports, possibly leading to better-funded local programs without increasing taxes.
• On International Relations: Minimal direct impact, as this is a domestic aviation funding issue; however, it could indirectly support efficient operations at major U.S. international hubs by freeing up local resources.
• No broad economic shifts expected, but it targets high-traffic areas like those around major airports (e.g., Atlanta or Dallas), potentially aiding fiscal stability in those regions.

Main Stakeholders Affected

• Local Governments: Primary beneficiaries, especially non-airport sponsors near large hubs, gaining flexibility in using sales tax funds.
• Airport Sponsors and Operators: Indirectly affected; they must ensure they are not the local government sponsor to qualify, and large hub airports (e.g., those with over 35 million enplanements) become eligible sites for the exemption.
• Airlines and Aviation Industry: Could see neutral or positive effects if local funding stability supports better infrastructure without revenue diversion disputes.
• Federal Government (FAA/DOT): Responsible for implementing and monitoring the exemptions to prevent abuse.

Notable Legal, Constitutional, or Political Implications

• Legal: Strengthens clarity in federal aviation law by codifying an exception, reducing potential litigation over "revenue diversion" (a common FAA enforcement issue). It aligns with prior FAA guidance but makes it statutory, ensuring consistency.
• Constitutional: No major concerns; it respects federal-state balance by deferring to pre-existing local taxes without overriding state authority.
• Political: Introduced by Rep. David Scott (D-GA), it likely addresses needs in Georgia (home to a major hub like Hartsfield-Jackson Atlanta), reflecting bipartisan interest in aviation infrastructure. Could set precedent for similar exemptions in other transport sectors, but its specificity limits broader political controversy.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Scott, David [D-GA-13]

Recent Actions

• 2026-02-02: Referred to the Subcommittee on Aviation.
• 2025-12-11: Referred to the House Committee on Transportation and Infrastructure.
• 2025-12-11: Introduced in House
• 2025-12-11: Introduced in House

Bill Versions

• To amend title 49, United States Code, to clarify airport revenue use of local general sales taxes, and for other purposes. — issued 2025-12-11 — PDF (2 pages)