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FAA Pushes $31 Billion ATC Overhaul as Safety and Staffing Crises Escalate

The U.S. air traffic control system faces mounting disruptions and safety risks, with critics calling for governance reform alongside technical upgrades.

Travelers wait at a check-in terminal at Newark Liberty International Airport in Newark, New Jersey, U.S., May 9, 2025. REUTERS/David 'Dee' Delgado/File Photo
A plane departs from Newark Liberty International Airport in Newark, New Jersey on May 7, 2025.
Passengers arrive at Newark Liberty International Airport in Newark, New Jersey on May 7, 2025. (Photo by Kena Betancur / AFP)
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Overview

  • The FAA has implemented temporary flight caps at Newark and other hubs following repeated outages and staffing shortages that have caused severe delays and cancellations.
  • The Trump administration’s proposed $31 billion 'Brand New Air Traffic Control System Plan' seeks upfront congressional funding for critical technology upgrades, with $12.5 billion already approved as an initial installment.
  • Critics argue that the plan fails to address the FAA’s dual role as both operator and regulator, a structural issue that international aviation bodies recommend eliminating.
  • Recent incidents, including a deadly January midair collision near Washington and over 15,000 close-proximity events since 2021, highlight the growing safety risks in an aging ATC system.
  • Experts warn that without governance reform, the U.S. risks falling further behind countries like Canada, which operate modernized, corporatized air traffic control systems.