TSA FEE INCREASE SET TO TAKE EFFECT IN JULY

July 3, 2014

The Transportation Security Administration’s (TSA) Civil Aviation Security Service Fee will be increased beginning July 21, 2014, following a Congressional budget deal that was passed in December 2013.  TSA published an Interim Final Rule in the Federal Register on June 20, 2014 in which the Administration detailed its plan to restructure the Security Service fee.  The Bipartisan Budget Act of 2013, which provides for the fee increase, simplifies the structure under which fees are collected by (1) requiring the Security Service Fee be imposed on a one-way trip basis, as opposed to a per-enplanement basis; and (2) eliminating the cap on the amount of fees that can be collected.

Under the new scenario, TSA Civil Aviation Security Service Fees will be raised from $2.50 for a non-stop flight or $5.00 for a trip with a connection to a flat fee of $5.60 each way.  However, the TSA, in implementing Congress’ mandate as it applies to the Security Service Fee, also plans to change the definition of a “trip”.  Instead of charging each passenger $5.60 each way, TSA is proposing to instead charge a separate $5.60 fee for each leg of a flight in which a connection between domestic flights is more than 4 hours, or between domestic flights in Alaska or Hawaii and international destinations with layovers of more than 12 hours.

Section 601(d) of the Budget Act provides for implementation of the fee increase by July 1, 2014 through publication of notice of the fee in the Federal Register.  While not required by the Statute, TSA has chosen to issue the subject rulemaking as an Interim Final Rule in order to allow interested parties the opportunity to comment before the rule is finalized and the new fee takes effect.  Interested parties may file comments beyond the rule’s effective date, to August 19, 2014.  The Interim Final Rule is available at:

https://www.gpo.gov/fdsys/pkg/FR-2014-06-20/pdf/2014-14488.pdf.  If you are interested in filing a comment please let us know.

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