HowardBorden
Well-known member
- Joined
- Jan 13, 2013
- Posts
- 889
Again, your words: Deregulation had zero to do with the Dallas airport agreements and in no way gave you a right to ignore it. The Wright Amendment had to be written for you to leave. Shoot, the guy did you a favor and you act like it's the worst thing ever.
Again, I will show you that deregulation had everything to do with SWA being allowed to leave Texas and Wright Amendment served only to restrict Southwest's ability to expand in the post deregulation era.
A leading scholar on public utility deregulation, Mr. Alfred E. Kahn led the move to deregulate U.S. airlines as chief of the now-defunct Civil Aeronautics Board in 1977-78.
"Historically, the board has insisted on second-guessing decisions by individual carriers to offer price reductions," Mr. Kahn said in 1978 as so-called "super-saver fares" swept the industry. "During the last several months we have been abandoning the paternalistic role, leaving the introduction of discount fares increasingly to the management." President Jimmy Carter embraced deregulation as a means of stimulating economic growth. Mr. Kahn was largely instrumental in garnering the support needed to push through the Airline Deregulation Act of 1978 - the first thorough dismantling of a comprehensive system of government control since 1935.
By letting airlines instead of the government decide routes and fares, Mr. Kahn was credited with enabling a dramatic drop in airline fares and a boom in air travel over the last 30 years. Deregulation opened the way for such carriers as People Express and JetBlue, and allowed low-cost Southwest Airlines - which had up until then operated only within Texas, outside of the aeronautics board's reach - to expand nationwide.
http://www.washingtonpost.com/wp-dyn/content/article/2010/12/29/AR2010122905032.html
As part of the airport's funding arrangement, the cities adopted the 1968 Regional Airport Concurrent Bond Ordinance, which, among other things, created the DFW Airport Board and required the cities to phase out existing air transportation operations at their local airport facilities and transfer them to the new DFW Airport. To fulfill the requirements of the Bond Ordinance, the DFW Board entered into contracts with the existing federally regulated air carriers requiring them to relocate their services to the newly constructed DFW Airport. After the contracts had been signed, but prior to the completion of construction, Southwest Airlines began operating intrastate commuter flights from Dallas's Love Field. Shortly thereafter, Southwest informed the DFW Airport Board that it intended to remain at Love Field even after DFW Airport was completed. Southwest's decision led the cities of Dallas and Fort Worth, in conjunction with the Airport Board, to seek a declaratory judgment excluding Southwest from operating flights from Love Field once the new airport was operational. The District Court for the Northern District of Texas held that because Southwest was flying only intrastate flights, the CAB did not have jurisdiction over their activities. Thus, according to the court, Southwest, by virtue of its purely intrastate operations, could not be excluded from utilizing Love Field as long as the airport remained operational.
In 1978, however, Congress passed the Airline Deregulation Act of 1978, which included a provision allowing automatic entry into interstate aviation markets provided that the carrier seeking entry was fit, willing, and able to comply with all existing rules, regulations, and requirements of the CAB. Southwest promptly petitioned and was granted permission to operate interstate flights from Love Field to New Orleans, Louisiana. The expansion of Southwest's service from Love Field to interstate markets, however, prompted concerns from local officials about DFW's financial stability because it appeared that the local officials were powerless to prevent Southwest from expanding service.
" EXISTING STATE AUTHORITY
"(c) When any intrastate air carrier which on August 1, 1977, was operating primarily in intrastate air transporta-
tion regulated by a State receives the authority to provide interstate air transportation, any authority received
from such State shall be considered to be part of its authority to provide air transportation received from the
Board under title IV of this Act, until modified, suspended, amended, or terminated as provided under such title.
" DEFINITION
"(d) For purposes of this section, the term ' State' means any State, the District of Columbia, the Commonwealth
of Puerto Rico, the Commonwealth of the Northern Mariana Islands, Guam, the Virgin Islands, and any territory
or possession of the United States.".
http://apps.americanbar.org/antitrust/at-committees/at-tei/air-resources/Pub_L_95-504.pdf
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