The security fee paid by US airline travelers would increase by USD$3 to a maximum of USD$8 one-way under the White House budget proposal for fiscal 2006 released on Monday.
The spending blueprint presented to Congress includes a commitment by the Homeland Security Department to strengthen and expand a program to subcontract airport passenger and bag screening to private companies. Currently five airports use private screening companies that are overseen by federal security authorities.
The administration and supporters in Congress want to substantially reduce the amount spent by the government on aviation security, which includes 45,000 passenger and bag screeners.
The controversial plan to boost the passenger security fee in October from USD$2.50 per one-way segment to USD$5.50 per segment, and up to USD$8 for a one-way trip with multiple segments, would add USD$1.5 billion in receipts. The total borne by airlines and their passengers would grow to USD$4.1 billion annually, which would nearly cover security costs.
Airlines vehemently oppose any increase in the fee. They argue that aviation screening should be a national security function -- not an industry responsibility.
Airlines, especially the biggest carriers who are in the most financial trouble, also contend that mandating any increase in the cost of a ticket would further harm their ability to raise fares.
