ASTA Government Affairs UpdateApril 2012Commonwealth Business Travel GroupBaltimore, MD

Today We’ll Cover…

•State Issues

•Federal Issues

•Industry Trends

State Issues

•Occupancy Tax Bills

•Registration/Seller of Travel Bills

•Travel Insurance Deregulation

Occupancy Tax Bills

Would subject TA fees to state/local occupancy tax.

•CT – 15%

•OR – 1%

•PA – 6%

•TN – 6% (average)

•TX – 6%

•VA (varies by county)

•FL – “positive” bill

Registration/Seller of Travel Bills

•MA – require TAs to disclose commissions•NY – require TAs to register with the state annually, pay fee•WA – increased regulation, trust accounting

Travel Insurance Deregulation

•NAIC/USTIA Standards•Three States Down – FL, KY, MN•47 to go!

State Scorecard – Fighting & Winning

Federal Issues

•DOT Rulemaking/Ancillary Fees•Independent Contractor Issue•Federal Travel Crackdown•Tax Issues

DOT Rulemaking/Ancillary Fees

•Rulemaking #2•Spirit Airlines Court Case•Rulemaking #3 - Draft Rules to OMB mid-May, Proposed Rule due 8/27

Independent Contractor Issue

•Administration Budget Proposals•Bills Introduced in House, Senate (“Fair Playing Field Act of 2012”)

Federal Travel Crackdown

•GSA Scandal•Coburn Amendment •Senate Transportation Approps Language•Sen. Rand Paul Inquiry•ASTA Grassroots Efforts

Tax Issues

•12/31/12 – “Taxmaggedon”

•Tax Code Reform – 2013

•Small Business Tax Bills

Industry Trends

•Agility

•Travelport/AA

•ARC Agent Reporting Agreement

QUESTIONS AND ANSWERS

Contact Info

Paul M. Ruden

Senior Vice President, Legal & Industry Affairs

703.739.6854

pruden@asta.org

Eben A. Peck

Vice President, Government Affairs

703.739.6842

epeck@asta.org