House panel: Regulate airline fees

From the politico.com - By Giovanni Russonello - Members of Congress who constantly fly home to their districts are familiar with the latest trend in the airline industry: fees for everything from checked bags to fuel costs. Now they want to regulate and tax those fees. A panel of six experts from government agencies, airline companies and consumer associations testifying before the Aviation Subcommittee Wednesday voiced nearly unanimous agreement that these practices need to be regulated. Robert Rivkin, the general counsel for the Department of Transportation argued that the so-called ancillary charges “serve only to confuse or deceive consumers regarding the true full price of the ticket and to make price comparisons difficult.” Rep. Jerry Costello (D-Ill.), (above left) chairman of the subcommittee, said that the fees – which can’t be taxed — had deprived the federal government’s Airport and Airway Trust Fund of about $200 million in the last quarter of 2009 alone. Read more:

House panel: Regulate airline fees