What to Know in Washington: Biden Signs Major Aviation Package

FAA Reauthorization Includes Refund Policy, Union Win

President Joe Biden signed the multiyear legislation reauthorizing the Federal Aviation Administration into law ahead of tonight’s deadline.

Sweeping legislation: The president’s enactment Thursday of the sweeping aviation legislation culminates more than a year of lawmakers working on the measure, shepherding four short-term extensions of the agency’s authority while long-term negotiations continued to prevent furloughs and millions of dollars in lost revenue a day.

After signing, Biden said the new law is a “big win for travelers, the aviation workforce, and our economy.”

Hassle-Free Refunds: “Starting today, passengers will have the right to hassle-free refunds,” Sen. Maria Cantwell (D-Wash.), chair of the Senate Commerce, Science, and Transportation Committee, said after the signing. “Plane manufacturers will see more safety inspectors on factory floors and tougher safety standards from FAA,” Lillianna Byington reports.

Photographer: Al Drago/Bloomberg

Airline pilots listen during a Senate Commerce, Science and Transportation Committee hearing Feb. 9, 2023.

The new law further marks a win for organized labor on Capitol Hill, even as pilots sue over retirement policies in court.

Union vs. Older Pilots: A coalition of unions, led by the Air Line Pilots Association, staved off a bipartisan provision endorsed by some pilots and regional airlines seeking to expand the pool of available pilots by raising the cutoff to 67 from 65.

But the union’s stance put it at odds with older pilots who are suing the union over what they say has been targeted age discrimination.

The Battle Continues: Even if the matter is settled for now in Congress, a legal battle continues, Diego Areas Munhoz and Byington report. Read More

BIDEN’S SCHEDULE

• 11:45 a.m. — The president will deliver remarks at the National Museum of African American History and Culture.
• 12:20 p.m. — Biden will return to the White House.
• 1:00 p.m. — Press Secretary Karine Jean-Pierre will hold a briefing.
• 3:30 p.m. — Biden and Vice President Kamala Harris will meet with the leaders of the Divine Nine, historically Black sororities and fraternities.

CONGRESS’ AGENDA

• 9 a.m. — The House meets at 9 a.m. to vote on condemning calls to defund police.
• The Senate is out until Monday.
• For the full agenda and next week’s highlights read BGOV’s Congress Tracker.

Senate AI Blueprint Gets Mixed Reactions

A bipartisan framework to address artificial intelligence renewed calls from civil groups to regulate AI — a response to fear the industry is playing an outsized role in shaping legislation.

“The AI policy roadmap sets us on the wrong path,” Cody Venzke, senior policy counsel at the American Civil Liberties Union, said in a statement, adding it “gives little acknowledgement of the risks to civil rights and civil liberties posed by AI.” The policy blueprint from Senate Majority Leader Chuck Schumer (D-N.Y.) and his colleagues directs committees to consider legislation that prevents harms and boosts AI research and development to drive innovation and keep the US competitive globally.

Civil advocates and academics argue it’s a lopsided approach focusing too much on supporting industry, rather than heeding warnings about AI’s potential to undermine democracy, displace workers, violate individual privacy, and perpetuate discrimination, Oma Seddiq reports. Read More

Happening on the Hill

Crypto Lobby Is Growing Up After Early Struggles to Win Allies

The cryptocurrency industry’s growing presence in Washington shows signs of maturing after a tumultuous start as a network of associations and company lobbyists, plus a recent super PAC, make it look more like a traditional Washington influence operation, one that is working to rebound after the downfall of political donor-turned-fraudster Samuel Bankman-Fried, a founder of FTX who was sentenced to 25 years in prison.

House Approves Israel Military Supply Measure Facing Biden Veto

House Republicans, seeking to highlight Democratic divisions over the Gaza conflict, pushed through a bill Thursday that would stop the Biden administration from delaying the delivery of military supplies to Israel in its war with Hamas.

House Republicans Hint at Legal Challenges to Permitting Rule

House Republicans assailed the White House’s new environmental permitting rule during a Thursday hearing, at times indicating how the standard might be challenged in court.

Democrats Prod Justice Thomas on RV Loan, Cite Tax Law Breach

“Non-answers” provided by the attorney representing Supreme Court Justice Clarence Thomas about a motor coach loan raise serious concerns over whether Thomas violated tax law, Senate Democrats said Thursday.

Huawei-Funded Research at US Institutions Faces House Probe

Two senior US lawmakers blasted a Washington-based foundation for secretly accepting money from Chinese telecommunications giant Huawei Technologies Co., saying the move “flies in the face” of efforts to keep foreign adversaries from compromising US research.

Oregon Primary Pits Party Pick vs. 2022 Nominee

Primary elections in Georgia, Idaho, Kentucky, and Oregon kick off Tuesday. Of special interest in Oregon: whether Minority Leader Hakeem Jeffries and the Democratic Congressional Campaign Committee will get their preferred nominee to run in November against Rep. Lori Chavez-DeRemer (R).

She embarrassed the opposition by winning in a district that went for Joe Biden, defeating the Democrat who ousted Rep. Kurt Schrader in the primary.

It’s the only November tossup race in that state, Greg Giroux reports. Read More

What Else We’re Watching

Biden Aims to Speed Asylum Reviews, Deportations in Border Rule

The Biden administration will speed up asylum reviews to prevent migrants from waiting in the US for years while their claims are pending, the latest effort to crack down on illegal border crossings ahead of the November election.

Crypto Case Tests SEC’s Ability to Police Blockchain Technology

A New York judge likely will soon have to tackle some of the thorniest questions for regulators trying to police the cryptocurrency market.

To contact the reporters on this story: Giuseppe Macri in Washington at gmacri@bgov.com; Jeannie Baumann in Washington at jbaumann@bloombergindustry.com

To contact the editor responsible for this story: Kayla Sharpe at ksharpe@bloombergindustry.com