Saturday, July 23, 2011

Partial FAA shutdown affecting airline ticket prices

 

Partial FAA shutdown affecting airline ticket prices

Posted: Jul 23, 2011 6:14 PM EDT Updated: Jul 23, 2011 6:32 PM EDT
 
FORT MYERS - After Congress failed to renegotiate funding for the FAA, thousands of FAA workers are without a paycheck and ticket prices are going up.
Without the funding, the government would be unable to collect airline taxes imposed when you purchase a ticket.
With no tax to pay, it was expected for ticket prices to decrease. However, American Airlines, US Airways, and several other airlines are raising their rates to offset any discounts.
And while some non-frequent flyers say it's not a big deal, other passengers are not at all happy.
"I know they've had some hard time but I think that's not fair. They should be really straight forward and return the money, just like the same fiasco with the baggage. When they lose your baggage they still charge you for it which I think is ridiculous," says passenger Bill Rosenberg.
As a result, the airline industry could be raking in an extra $25 million per day until Congress agrees on a bill to fund the FAA.

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