Congressman Seeks to Overturn DOT’s Fare Display Rule

A Florida congressman introduced an amendment to the Federal Aviation Administration reauthorization bill that would effective overturn the Transportation Department’s rule on airline advertising.  

The rule, which requires airlines to show the full fare plus taxes and mandatory fees in advertising and Internet displays, including fare search results, has been in effect since 2012. It is part of the package of consumer protection rules known as Passenger Protections II.  

The amendment, added by Rep. Carlos Curbelo (R-Miami-Dade), states that “it shall not be an unfair or deceptive practice” to state the base fare if the airline clearly and separately discloses the government-imposed taxes and fees associated with the air transportation; and the total cost of the air transportation. 

The DOT rule does not prohibit airlines from disclosing the taxes and fees separately, but the “upfront” cost must show the total that the customer will pay and must be displayed more prominently than the base fare. It was intended as a consumer protection against bait-and-switch tactics. 

For example, before the rule took effect, airlines would return search results with enticingly low fares in large type—$257 roundtrip fares to Europe, for example—with the full cost to the consumer—$649—in small type below it. One airline said the additional cost included an “international surcharge.” 

The bill to which the amendment is attached, called the Aviation Innovation, Reform, and Reauthorization Act of 2016 (H.R. 4441), also would transfer operation of air traffic services currently provided by the FAA to a separate not-for-profit corporate entity. 

Sen. Deb Fischer (R-Neb.) is expected to introduce a similar amendment in the Senate. 

Pic: Austrian Airlines