Agenda – Update on Top Advocacy Issues

1. AOPA Government AffairsProtecting the Freedom to FlyAssociation of California Airports September 2014

2. Agenda – Update on Top Advocacy Issues California State Advocacy Santa Monica Airport Other Advocacy Issues

3. State Advocacy in California • California Aeronautics Account Funding Issues • Declining level of funding • No new revenue sources are needed • Less than 2% of current aviation user taxes returned to support state airport grants • Transferring $4M annually from existing aviation taxes on jet fuel would meet current needs • Reliability of Funding – Worked with ACA and California Airports Council • Secured one time transfer of $4M needed to replace funds transferred in FY2009-10 • Long term authority for DOT to transfer funds into the aeronautical account with approval of Cal Transport Commission and Dept. of Finance • State vs Federal Grant Start Requirements • FAA requires AIP grant recipients start work within 90 days • California code in conflict because of list of ineligible projects and timeline for matching grants • Working on legislation to resolve issues • SB 1072 cleared the way for recreational use liability protection in California, goes into effect Jan 1

4. Santa Monica Airport The pro-airport initiative in Santa Monica qualified for the ballot The City offered a competing measure The campaign operation is in place and the first voter contact mailing hits city residents in Mid-August AOPA has supported airport tenants in a request to the FAA under a Part 16 complaint that would clarify when the city’s grant assurance obligations expire Won lawsuit (August 19, 2014) that was seeking to keep us off the November ballot. Same Plaintiff files another lawsuit. We are pursuing recovery of attorneys fees and costs

5. State Advocacy • AOPA’s fight to keep flying affordable and accessible advances • Passage of Wisconsin legislation to exempt aircraft owners from sales tax on parts and labor for maintenance • Kansas bill to exempt amateur-built aircraft from property and ad valorem taxes • AOPA advocacy also cleared the way for recreational use liability protection in California, Georgia, Michigan, South Carolina, and Wisconsin; and legislation to mark low towers in Oklahoma and Washington

6. Other Advocacy Issues • Progress on Replacements for Avgas – Multiple companies submit high octane fuels for consideration as replacements • AOPA’s leadership continues to pave the way for a replacement fuel in 2018 • FAA has selected four unleaded fuels for testing as part of the Piston Aviation Fuels Initiative (PAFI) • The most viable will receive fleet wide approval by the FAA • Unmanned Aerial Systems (UAS) • AOPA supports new rule interpretation to prohibit commercial drone operations until the FAA promulgates policies and regulations • AOPA leading effort to transform pilot testing and training • The government/industry effort to improve testing and training for future pilots resulted in draft certification standards for public comment • The goal is to improve GA safety and the flight training experience by creating practical and relevant testing in 2015 • AOPA Member Weighs In on ADS B Mandate at NextGen Hearing • AOPA is advocating for a benefits driven approach to NextGen and continues to work on efforts to reduce the certification costs and push the FAA to establish benefits and incentives to equip

7. THANK YOU! QUESTIONS?

8. BACK UP SLIDES

9. CBP Stop and Search/Cross Border Initiative • CBP Stop and Search • No new reported stops or searches since Mark Baker met with CBP Commissioner Kerlikowske in late April. • Baker has subsequently met with DHS Secretary Johnson to discuss concerns with CBP law enforcement. • CBP’s internal top-down review of the current law enforcement program is expected to be released before the end of the summer. • Legislative language regarding CBP law enforcement actions were included, at AOPA’s request, in bills approved by the House and Senate Appropriations Committees. • Cross Border Initiative • AOPA hosted a Cross Border Summit meeting at Oshkosh to get input from users on how to improve the northern and southern U.S. border crossing process for GA. • Follow-on meeting with government representatives from US, Canada, and Mexico tentatively scheduled for Washington DC Office in October 2014.

10. Future Flight Services • AOPA went on record with letter to FAA Administrator demanding a free and open competition of DUATS and Lockheed Martin Flight Services. • AOPA told the FAA it must seek user input on any changes to services as part of the existing and ongoing services. • Because of AOPA’s advocacy efforts, the FAA has indicated it will extend the current DUATS contract through March of 2015 while the agency reviews its plans for a future Flight Service system.