ExecutiveOrdersEO
DetDeterminationG.W. Bush · R Quiet signal

Presidential Determination

Provision of Aviation Insurance Coverage for Commercial Air Carrier Service in Domestic and International Operations

Following the September 11, 2001 attacks, this determination authorizes the Secretary of Transportation to provide federal aviation insurance or reimburse insurance cost increases to U.S. air carriers when commercial insurance is unavailable on reasonable terms. It also delegates authority to the Secretary to extend this emergency coverage in 60-day increments.

Federal Register Open PDF 66 FR 49075

Impact dates

  1. Subsequent 60-day extensions may be issued repeatedly

  2. Initial 60-day extension of determination may be issued by Secretary

Key directives

  • Determine continuation of U.S.-flag commercial air service necessary for air commerce, national security, and foreign policy
  • Approve provision of insurance or reimbursement of insurance cost increases by Secretary of Transportation when commercial insurance unavailable on reasonable terms
  • Delegate to Secretary authority to extend determination for additional 60-day periods
  • Direct Secretary to immediately notify all air carriers under 49 U.S.C. 40102(2)
  • Direct Secretary to arrange for Federal Register publication

Who is ordered

Timeline

Immediate

  • Federal aviation insurance coverage becomes available
  • Secretary directed to notify all air carriers immediately
  • Federal Register publication arranged

Near term (90d)

  • Secretary may issue initial 60-day extensions of coverage

Long term

  • Potential repeated 60-day extensions as long as emergency conditions persist
  • Possible transition back to private insurance markets

Risks & tensions

  • Post-9/11 emergency measure with unclear sunset; repeated 60-day extensions could create prolonged federal insurance backstop
  • Delegation of extension authority to Secretary rather than retaining presidential control may raise separation of powers questions over time
  • Vague 'reasonable terms and conditions' standard gives Secretary broad discretion
Presidential Determination: Provision of Aviation Insurance Coverage for Commercial Air Carrier Service in Domestic and International Operations · Executive Orders