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Senator Peter Welch Introduces Aviation Innovation and Global Competitiveness Act

Senator Peter Welch Introduces Aviation Innovation and Global Competitiveness Act
Senator Peter Welch has introduced the Aviation Innovation and Global Competitiveness Act (S. 3885), a bipartisan legislative effort aimed at modernizing the Federal Aviation Administration’s (FAA) certification processes for new aircraft and emerging aviation technologies. Submitted on February 12, 2026, the bill currently has eight cosponsors and seeks to address persistent challenges in certifying advanced air mobility (AAM) aircraft, a sector that includes innovative solutions such as air taxis.
Provisions to Enhance FAA Certification Processes
The Act proposes a series of reforms designed to improve transparency, efficiency, and predictability within the FAA’s certification framework. Central to the legislation is a requirement for the FAA Administrator to develop and publish a comprehensive plan within 180 days. This plan will focus on streamlining the issue paper process for type certificate applications, exploring the adoption of industry consensus standards while maintaining safety, establishing stable policies for recurring certification matters, and considering performance-based standards in certification requirements.
In addition, the FAA is mandated to establish standardized timelines within 270 days for key milestones in the type certification process. These include the development and closure of issue papers, responses to petitions for exemptions and compliance proposals, and timely replies to information requests from applicants. The bill also directs the FAA to define clear criteria for when issue papers are necessary and to clarify agency roles responsible for evaluations. This aims to convert stable compliance methods into published policy and reduce recurring issues.
Further, the legislation requires the FAA to update its guidance on delegations related to aircraft certification within 90 days. This update will specify criteria for applicant eligibility and outline processes for handling routine versus safety-critical compliance findings. The bill also includes a “Sense of Congress” affirming support for U.S. leadership in aviation innovation and the advancement of air mobility technologies. Importantly, it clarifies that the establishment of certification timelines does not create new legal rights nor are these timelines subject to judicial review.
Industry Implications and Market Context
The Aviation Innovation and Global Competitiveness Act addresses the complex and often costly certification process that has challenged the advanced air mobility sector. By streamlining these procedures, the legislation aims to foster greater competition and innovation, particularly in the rapidly evolving air taxi market.
Major industry stakeholders such as Boeing, Lockheed Martin, and American Airlines stand to be directly impacted by these regulatory changes. Boeing and Lockheed Martin, as leading manufacturers and defense contractors, may need to adjust their certification strategies to align with the updated framework for new technologies. For airlines like American Airlines, which recently highlighted regulatory risks and competitive pressures in its financial disclosures, the legislation could influence fleet modernization plans and operational strategies.
The broader aviation sector is expected to respond by increasing investments in advanced air mobility technologies and adapting to the revised regulatory environment to sustain market leadership.
Definitions and Legislative Context
The bill provides specific definitions for key terms, including “Administrator” to denote the FAA Administrator, “Advanced Air Mobility” as defined in prior FAA legislation, and “FAA” referring to the Federal Aviation Administration itself.
As the Aviation Innovation and Global Competitiveness Act advances through the legislative process, it is positioned to play a pivotal role in shaping the future of U.S. aviation and reinforcing the nation’s global leadership in aerospace innovation.

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