Airlines say at least $31 billion is needed
Trump administration wants billions for new radar, equipment, facilities
Congress is expected to decide total funding in coming months
Adds Duffy quotes from event, paragraph 3, 10-11, plan details paragraph 4, Southwest CEO comment paragraphs 7-8
By David Shepardson
WASHINGTON, May 8 (Reuters) - U.S. Transportation Secretary Sean Duffy unveiled a plan on Thursday to ask Congress for billions of dollars to modernize the aging U.S. air traffic control system to address airport congestion, flight delays and safety.
The program will involve upgrading outdated radar and telecommunications systems, air traffic control towers and other facilities as well as increasing staffing of air traffic controllers.
"The system we have here is not worth saving," Duffy said at an event announcing the effort, estimating the project would take three to four years. "We actually have to build a brand new state-of-the-art air traffic control system... We let this go far too long."
The Federal Aviation Administration wants funding to purchase new radios, network connections and replace 618 radars, install anti-collision tarmac technology at 200 airports, build six new air traffic control centers and expand its ADS-B network of real-time aircraft traffic information.
"It's long past time when we need to fix this problem," Acting FAA Administrator Chris Rocheleau said.
President Donald Trump said the administraton may tap one company to oversee the massive project.
"We are now in the market to buy a gorgeous brand new system," he said.
Duffy, joined by five airline CEOs and senior executives at Boeing BA.N and Airbus AIR.PA, did not set a precise figure for the overhaul that he has previously estimated will cost "tens of billions of dollars."
Southwest Airlines LUV.N CEO Bob Jordan said it was time to act.
"There is widespread agreement that we have a problem," Jordan said. "It will take all of us, it will take the money, it will take the effort, it will take a lot of will to get this done."
The FAA's air traffic control network's woes have been years in the making, but a rush of high-profile mishaps, near-misses and a catastrophic crash in January has spiked public alarm and prompted new calls for action.
Duffy said the plan requires higher-level engagement from companies involved in the overhaul. He said he talks to Verizon VZ.N CEO Hans Vestberg every two weeks on reform efforts that has led to improvements. Verizon won a $2.4 billion FAA contractin 2023 to replace outdated telecom equipment.
Duffy said he could not commit to whether close Trump ally Elon Musk's Starlink will be part of the overhaul.
Also attending the announcement were relatives of some of the 67 people killed on January 29 in the mid-air collision between a U.S. Army helicopter and an American Airlines regional jet.
Duffy has said he wants new funding for airport equipment to prevent near-miss incidents and new incentives to boost air traffic controller hiring and retention, which is 3,500 short of targeted staffing.
Trump during his first term in 2017 proposed privatizing air traffic control, but Congress never acted on his proposal. Duffy on Thursday ruled out seeking any privitation of FAA.
Airlines and others on Thursday called for at least $31 billion in spending. A U.S. House panel has proposed $12.5 billion in initial spending on air traffic control reform, including $2.5 billion for air traffic tower and contract-tower replacements.
(Reporting by David Shepardson; Editing by Bill Berkrot and Cynthia Osterman)
((David.Shepardson@thomsonreuters.com; 2028988324;))
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