BILL ANALYSIS
SENATE TRANSPORTATION & HOUSING COMMITTEE BILL NO: SB 1264
SENATOR ALAN LOWENTHAL, CHAIRMAN AUTHOR: leno
VERSION: 4/12/10
Analysis by: Art Bauer FISCAL: yes
Hearing date: April 20, 2010
SUBJECT:
Airline passenger rights
DESCRIPTION:
This bill establishes rights for passengers who are detained on
an airline for over two hours.
ANALYSIS:
Federal law prohibits a state or political subdivision of a
state from enacting or enforcing a law, regulation, or other
provision related to a price, route, or service of an air
carrier. Further, it preempts the entire field of aviation
safety from state regulation. On April 29, 2010, federal
regulations governing planes with passengers being held on the
ground (commonly referred to as tarmac delays) for three hour
will become effective. The federal regulations mandate that
departing and arriving planes held on the tarmac must, after two
hours, provide food and potable water to detained passengers.
This bill:
1) Establishes rights for airline passengers detained in an
airplane for over two hours, either before takeoff or after
landing. In those instances where passengers are detained
on the tarmac, this bill requires airlines to provide for
its passengers, on an as-needed basis, electrical service
for sufficient fresh air and light; waste removal service
for sanitation facilities; and adequate food, drinking
water, and other refreshments.
2) Requires airlines to provide conspicuous notice
regarding passenger or consumer complaint contact
information including an explanation of the rights of
airline passengers, the posting of forms and consumer
information near passenger counters in terminals in
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airports, the name, address, and telephone number of
company personnel responsible for complaints, and the
telephone number and mailing address of the Office of
Aviation Enforcement and Proceedings in the U.S. Department
of Transportation (U.S. DOT).
3) Authorizes the California Public Utilities Commission
(PUC), at its discretion, to levy a civil penalty of up to
$27,500 per passenger upon an airline for violating the
provisions of this bill and to deposit the revenue into the
General Fund. The PUC is prohibited from levying this fine
if U.S. DOT has imposed a fine on a carrier for the same
reasons.
COMMENTS:
1) Purpose . For the last several years airline passengers
throughout the county have complained of airline flights
that have been delayed, diverted to different destinations,
or canceled. Other states have considered this type of
legislation in response to these conditions. Any such
measure is generally referred to as Airline Passengers'
Bill of Rights
This bill establishes standards to ensure that the
passengers' basic needs for food, water, sanitation, and
fresh air when detained in an aircraft on the tarmac for
two or more hours are met. It essentially endeavors to
mitigate the hardships experienced by passengers during
tarmac delays and to enhance airlines' accountability to
consumers.
2) Background . The quality of air travel has deteriorated
for several reasons, including the souring economics of the
airlines, the inconvenience of airport security, and an
antiquated air traffic control system. According to the
Bureau of Transportation Statistics the number of delayed
flights have risen from about one million in 1998 to 1.8
million in 2007. The reasons for the delays are as follows:
38 percent of the time aircraft arrived
late at the gate.
29 percent were air carrier imposed delays.
28 percent were aviation system delays.
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6 percent were due to extreme weather.
According to the Joint Economic Committee of Congress
nearly 60 percent of the time passengers lose to flight
delays is spent waiting at a gate, about 20 percent of
occurs during the taxi process, and 15 percent takes place
in the air. The cost, according to that committee, to
passengers and their employers is as much as $12 billion in
lost productivity, business opportunities, and missed
leisure activities. That committee estimated the loss to
the lodging and food service industry at about $10 billion
and that flight delays have wasted about $1.6 billion in
fuel.
1) Federal response to aircraft delays . The federal
regulations governing tarmac delays included extensive
requirement to which the airline must adhere, such as the
preparation of a Contingency Plan for Lengthy Tarmac Delays
and a Customer Service Plan that has a section addressing
customers' needs during lengthy tarmac delays. In addition,
the regulations prohibit a plan from waiting on the tarmac
for more than three hours and after two have the carrier
must provide adequate food, water, sanitation, and medical
attention, if necessary. After three hours on the tarmac,
U.S. DOT can fine the carrier a $27,500 per onboard
passenger.
2) States vs. Federal pre-emption . In response to the
experiences of airline travelers, the New York legislature
enacted a law in 2007 that provides a measure of consumer
protection to fliers using New York airports. The Air
Transportation Association of American (ATA) challenged the
law, which a federal district court upheld, but the U. S.
Court of Appeals for the Second Circuit overturned because
it violated the Airline Deregulation Act of 1978. In its
opinion, the court quoted the following from the act:
"States may not enact or enforce a law, regulation, or
other provision having the force and effect of law related
to a price, route, or service of an air carrier that may
provide air transportation. . ." The opinion also pointed
out that to prevent the states from undoing the
deregulation, Congress included a pre-emption provision.
The state of New York did not appeal the ruling of the
Second Circuit.
Unlike the New York statute, this bill focuses on the
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public health rights of passengers rather than the broader
health and safety provisions included in the New York
legislation.
The author argues that the Ninth Circuit Court of Appeals,
which covers California, has adopted a very narrow
definition of service, holding "that the term 'service'
encompasses 'the price schedule, origins and destinations
of the point-to-point transportation of passengers, cargo,
or mail' but not the 'provision of in-flight beverages,
personal assistance to passengers, the handling of luggage,
and similar amenities.' "
Should this bill be enacted and eventually litigated in the
Ninth Circuit and the court ruled in favor of this bill,
the issue of the role of state government versus that of
the federal government in regulating passenger amenities on
airplanes confined to the tarmac would have to be resolved
by the Supreme Court.
3) Previous legislation . AB 1943 (Leno) of 2008, which was
very similar to this bill, passed this committee, but
failed to pass the Senate floor. Another bill, AB 1407
(Lieu) of 2008, which the Governor vetoed, required
airports serving over one million passengers annually to
publish on their websites information about airport and
airline operations.
POSITIONS: (Communicated to the Committee before noon on
Wednesday,
April 14, 2010)
SUPPORT: None received.
OPPOSED: Air Transport Association
Alaska Airlines
American
California Chamber of Commerce
Southwest Airlines
United Airlines