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Knowledge Exchange: Allocation and Exchange of Airport Access Rights


Allocation and Exchange of Airport Access Rights Workshop

June 6-8, 2007

The Aspen Institute
Wye River Conference Center
Queenstown, MD

Air transportation demand decreases starting in late 2001 relieved the earlier pressure on the world-wide airspace system and there seemed to be some reduction in the urgency for taking action to solve the "aviation problem". Recent demand increases have provided a strong reminder that air transportation demand is rapidly approaching the capacity of the systems on which it is based. The Century of Aviation Reauthorization Act of December 2003 created a public/private partnership to carry out a broad range of activities whose ultimate goal is the development of a U.S. Next Generation Air Transportation System. NextGen is intended to meet the air transportation needs of the U.S. in the 21st century -- in particular, to accommodate growth in demand for air traffic services that may result in traffic volumes as large as two or three times today’s levels. In response, the Joint Planning and Development Office (JPDO) was established to lead and coordinate the development of NextGen concepts and plans. The Europeans feel a similar urgency to drastically reform ATM systems and have established the Single European Sky initiative with goals similar to the JPDO.

This workshop focused specifically on scarce airport capacity. Most would agree that overall runway capacity is the principal factor constraining future U.S. air transportation demand growth. Thus, it is important that this resource be put to its best use. Historically, runway capacity has been formally allocated in only four U.S. airports (Chicago’s O’Hare -- ORD, Washington’s Reagan National -- DCA and two New York airports: LaGuardia -- LGA and Kennedy -- JFK) through the so-called "High-Density Rule" (HDR). In fact, this rule was rescinded in 2002 for ORD and for LGA in January of 2007. In anticipation of the expiration of the HDR at LGA, NEXTOR carried out a research project that investigated a variety of measures for controlling congestion in place of the HDR. Among those considered were market-based approaches. In August of 2006, the FAA issued a Notice of Proposed Rulemaking that addressed congestion management at LGA. Among other measures, it stipulated that the HDR slots be replaced with finite lifetime operating authorizations (OA’s) and also expressed the desire to explore the use of market mechanisms to reallocate OA’s after their expiration. This workshop considered future congestion management alternatives in light of the NPRM, the reaction of the aviation community to it as well as recent research on this problem.


Session 1: Congestion and Congestion Management in the U.S. Air Transportation System: Current Status and Historical Perspectives

Capacity Constraints and the Dynamics of Transition in the US Air Transportation System      John Hansman, MIT
Airports: A Historic and Prospective View     Dick Marchi, Airports Council International

Session 2: Managing Congestion Using Slots and Slot Exchange Markets

Airport Slot Management in Europe     Jaap de Wit, Airneth
History of the Slot Exchange Market in the US and Some Implications     Frank Berardino, GRA, Inc.
Discussion: The Secondary Markets for Slots in the U.S.: Is it working or Not?
Moderator: Michael Ball, University of Maryland
Discussants: Dan Kasper, LECG, LLC; Robert Land, Jetblue Airlines; Jeff Ogar, American Airlines; Julie Oettinger, United Airlines

Session 3: Congestion Management Options and NAS Performance

Optimum Fleet Utilization under Congestion Management at NY LaGuardia Airport     George Donohue, George Mason University
How Over-Scheduling Affects Scheduled Block Times in Different Hub Airports      Itai Ater, Stanford University

Session 4: Airport Operator Perspectives and Experiences

Thomas Bosco,  The Port Authority of New York and New Jersey
Flavio Leo,   Massachusetts Port Authority
James Szczesniak,   Department of Aviation, City of Chicago
Keith Wilschetz, San Diego County Regional Airport Authority

Session 5: Congestion Management in Highway Systems

Political Dimensions of Congestion Pricing: the Case of the San Francisco-Oakland Bay Bridge     Karen Frick, University of California, Berkeley
Expectations and Results from Congestion Pricing of Highways     Doug Lee, Volpe Transportation Systems Center

Session 6: The Design of Secondary Markets for Slots

The Design of Secondary Markets     John Ledyard, California Institute of Technology
Discussion: How can the secondary market for slots in the U.S. be made more effective?
Moderator: Karla Hoffman, George Mason University
Discussants: Ed Faberman, Air Carrier Association of America, Mike Gallagher, Delta Airlines Evan Kwerel, FCC, Pat Murphy, Gerchick Murphy Associates

Session 7: Recent Research on Congestion Management Issues at LaGuardia Airport

Fleet Mix under Alternative Capacity Allocation Regimes: Recent Evidence     Mark Hansen, University of California, Berkeley
LaGuardia Airport Systems Operations Study: Impact of Airport System Operations in the Presence of Airline Aircraft Upgauging      Lance Sherry, George Mason University

Session 8: Practical Alternatives for Congestion Management

Congestion Management Options: A Toolbox Approach     Michael Ball, University of Maryland
Discussion: If you had to fix the congestion problem, which option would you choose and why?
Moderator: Frank Berardino, GRA, Inc.
Discussants: Dave Berg, Air Transport Association, Steve Iverson, American Airlines, Bill Leber, Northwest Airlines, Bradley Rubinstein,The Port Authority of New York and New Jersey, Steven Welman, Mitre, CAASD