Survey: Government Shutdown Costing Repair Stations Millions in Delays
With the government now entering its third week of closure, the impact is being felt around the country. Sixty-one percent of the respondents to an ARSA survey of its members reported they are experiencing delays due to the limited resources of the Federal Aviation Administration (FAA), which furloughed about 16,000 employees.
Repair stations cite difficulty accomplishing basic requirements such as completing corrective actions assigned during customer pre-award audits and waiting on manual approvals by flight standards district offices. The hamstrung agency is cutting into the profitability of an industry dependent on certifications.
Of those able to calculate the cost of lost productivity due to FAA delays, some repair stations estimated they're losing $2,000 each day the government's doors are closed while others expect the interruption's expense will exceed $100 million. Some businesses (13.3 percent) stated they expect to furlough employees if the government closure continued past the two-week point.
The holdup has driven the majority of repair stations (86.7 percent) responding to ARSA's survey to increasingly consider taking advantage of the delegation authority provision under Part 183, as ARSA Executive Director Sarah MacLeod suggests in her blog article, "
." With the FAA's 2011 authorization shutdown certainly fresh in the industry's memory and fear of future setbacks due to tight resources, nearly three quarters (73.3 percent) of the repair stations believe the agency should allow more approval authority.
7701 Las Colinas Blvd., Ste. 800, Irving, TX 75063