OMB COST ESTIMATE
FOR PAY-AS-YOU-GO
CALCULATIONS
Report No: 504
Date: 4/14/00
- LAW NUMBER: P.L.106-181 (H.R. 1000)
- BILL TITLE: Wendell H. Ford Aviation Investment and Reform Act
- BILL PURPOSE: Authorizes budget resources forFederal Aviation Administrationprograms through FY2003 and makes other amendments to aviation law.
- OMB ESTIMATE: P.L. 106-181 makes numerous changes to direct spending andreceipts. These includes extension of the aviation insurance program, changes inpotential compensation under the Death on the High Seas Act, restrictions on feescharged for certification services, and imposition of criminal penalties for violations ofthe Act. OMB estimates that none of these provisions will have a significant effect.
| (Fiscal years; in millions of dollars) | ||||||
| 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | |
| Net costs................. | * | * | * | * | * | * |
- CBO ESTIMATE: In addition to the provisions scored by OMB, CBO scores a loss inrevenue related to provisions that would authorize airports to charge higher passengerfacility fees and expand a pilot program that provides for the use of federal airportimprovement grants to facilitate tax-exempt financing of airport projects. CBO expectsthat these provisions will result in an increase in tax-exempt financing and a subsequentrevenue loss.
| (Fiscal years; in millions of dollars) | ||||||
| 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | |
| Net costs................. | 0 | 2 | 5 | 7 | 9 | 11 |
- EXPLANATION OF DIFFERENCES BETWEEN OMB AND CBO ESTIMATES:
CBO scores revenue losses related to potential increases in the use of tax-exemptfinancing by airports. OMB believes any such revenue loss is an indirect effect of theAct and not scoreable for pay-as-you-go purposes.
- CUMULATIVE EFFECT OF DIRECT SPENDING AND REVENUE LEGISLATIONENACTED TO DATE:
| (Fiscal years; in millions of dollars) | ||||||
| 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | |
| Outlay effect.............. | 2 | 4 | 2 | 1 | 1 | 1 |
| Receipt effect............ | * | * | * | * | * | * |
| Net costs.................... | 2 | 4 | 2 | 1 | 1 | 1 |
