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ARTICLE · 04 OCTOBER 2010

FAA Issues Guidance Concerning Air Carrier Incentive Programs

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Responding to a reduction in airline capacity and increased competition for air service, many airports have instituted air carrier incentive programs.

United StatesTransport
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Responding to a reduction in airline capacity and increased competition for air service, many airports have instituted air carrier incentive programs. Although federal law and the FAA's Policy and Procedures Concerning the Use of Airport Revenue (Revenue Use Policy) and its Policy Concerning Rates and Charges (Rates and Charges Policy) provide some guidance concerning the permissible provisions and scope of such programs, many issues relating to such programs have been left unresolved. To help clarify the requirements applicable to air carrier incentive programs, the FAA issued its Air Carrier Incentive Program Guidebook (Guidebook), available at http://www.faa.gov/airports/airport_compliance/media/air_carrier_incentive_2010.pdf, on September 15, 2010.

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