With help from Brianna Gurciullo
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— Boeing’s new CEO started his tenure this week and immediately came under fire from Capitol Hill, where three Democratic senators said the company’s board should nix an incentive payment tied to the grounded 737 MAX.
— The Interior Department’s grounding of its drone fleet over security concerns has dented the capabilities of some of its subagencies, which are worried about costs, lost programs and the risks involved with replacing certain drone flights with manned helicopters.
— Lyft is creating a new safety advisory council made up of sexual assault experts and law enforcement officials, amid an atmosphere of growing concern about the safety of ride-hailing.
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CALHOUN AT THE HELM: David Calhoun started Monday as Boeing’s new CEO, 10 months after the FAA grounded the 737 MAX. “Many of our stakeholders are rightly disappointed in us, and it’s our job to repair these vital relationships,” Calhoun said in an email to employees on his first day on the job. “We’ll do so through a recommitment to transparency and by meeting and exceeding their expectations.”
Congress is watching closely: Three Democratic senators sent a letter to Boeing’s board on Monday asking it to nix a certain incentive payment for which Calhoun is eligible. According to an SEC filing, Calhoun may get “an additional long-term incentive award valued at approximately $7 million which will be earned only upon continued employment and the achievement of several key business milestones, including full safe return to service of the 737 MAX.” Sens. Ed Markey (D-Mass.), Richard Blumenthal (D-Conn.) and Tammy Baldwin (D-Wis.) said the award “represents an inappropriate incentive for Mr. Calhoun to pressure regulators and attempt to rush the 737 MAX back into the sky before its safety is guaranteed.”
And Boeing is quick to react: In a statement, the company said “Calhoun’s compensation is based on the fact that the safe return to service of the Max is our top priority. This includes following the lead of our regulators and working with them to ensure they’re satisfied completely with the airplane and our work.” It added that Calhoun’s award “will vest only after he has served in his role for multiple years and if he achieves a series of challenging strategic objectives across all three principal business units,” including returning the MAX to service.
WHAT THE DRONE GROUNDING MEANS AT INTERIOR: The department’s grounding of its drone fleet is taking a toll on some of the agency’s missions, our Stephanie Beasley reports, citing documents obtained from subagencies. Here’s some of what officials are worried they can’t do without the drones, which are under review because of worries about Chinese spying:
— The U.S. Fish and Wildlife Service says it may be forced to take expensive and riskier manned helicopter flights to monitor prescribed burns, and cancel missions to monitor fish, waterfowl and soil conditions.
— The U.S. Geological Survey says the grounding has affected 83 projects and cost $5.8 million in funding, halting “valuable science work.”
Interior has not given any indication about how long the review will take and did not respond to requests for comment for this story, Stephanie writes. The Trump administration has signaled the grounding is part of a concerted effort to respond to perceived threats from Chinese drones and specifically the market dominance of Chinese drone-maker DJI.
LYFT CREATES SAFETY COUNCIL: Lyft is launching a new safety advisory council today, pulling in some big names to advise the company on a number of issues. The council includes members of several organizations working on the prevention of and response to sexual assault (RAINN and It’s On Us), as well as current and former sheriffs and other law enforcement officials. “As we seek to tackle complex safety issues, the Council will provide Lyft with a critical perspective on the work we are doing to enhance the safety of our platform,” the company said.
The backdrop: There’s been heavy scrutiny on the safety of ride-hailing companies in recent months, especially after Uber published a safety report that acknowledged there were more than 3,000 sexual assaults on the platform in 2018.
NEW YORK MOVING LIMO BILLS: The New York state legislature is expected to advance a package of limousine safety bills on Thursday, a response to the 2018 crash in Schoharie that killed 20 people, POLITICO’s Bill Mahoney reports from Albany. The bills, which stalled last year, would require limo passengers to wear seatbelts, subject drivers to random alcohol tests and prohibit U-turns on state roads.
MAILBAG: Sen. Catherine Cortez Masto (D-Nev.) wrote to tech companies and state transportation officials on Monday urging them to take steps to facilitate the use of electric vehicles. She asked Uber and Lyft to encourage their drivers to use electric and zero-emission vehicles, and suggested Google and Apple integrate electric vehicle charging stations in their mapping services.
NOW OPEN: Applications for the next round of INFRA funding. DOT announced Monday that it’s opening up $906 million in funding for infrastructure projects, with a Notice of Funding Opportunity now posted. “The Department will invest more than $900 million in major projects that will improve transportation infrastructure, economic productivity, and quality of life across our nation,” Transportation Secretary Elaine Chao said. Twenty-five percent of the funds will go to rural projects, DOT said.
THE FUTURE OF FREIGHT RAIL IN THE BALANCE: This year is going to be pivotal for the rail industry, according to a senior economist at the leading freight rail trade group. “Concerns we’ve seen building over the past several years will likely reach either a conclusion or major turning point in 2020 — concerns including the ongoing trade disputes and currently unrealized recession predictions,” writes Luisa Fernandez-Willey of the Association of American Railroads in a blog post. Despite growth in consumer spending and rail intermodal, rail traffic fell last year due to declines in the coal industry and ongoing international trade disputes.
AMTRAK ANNIVERSARY: 2020 is the 50th anniversary of the passage of the Rail Passenger Service Act, which created Amtrak. The Eno Center for Transportation is marking the occasion by digging up some original documents, including this draft of the legislation that DOT sent to the White House in December 1969.
CHAO’S WEEK: The Transportation secretary met with Massachusetts Gov. Charlie Baker and state DOT chief Stephanie Pollack on Monday, according to Baker’s office. On Wednesday, Chao will speak at the Transportation Research Board’s annual conference.
The National Association of City Transportation Officials elected two new leaders of its board: Robin Hutcheson, director of the Minneapolis Department of Public Works, will be president and Eulois Cleckley, executive director of the Denver Department of Transportation & Infrastructure, will be vice president.
Andre Castro, who most recently worked for Rep. Bill Flores (R-Texas) as communications director, is joining the General Aviation Manufacturers Association, where he’ll hold the same title.
— “Iran grants TSB evolving ‘expert-plus’ role in Flight 752 probe.” POLITICO Pro Canada.
— “Coalition forms to back Trump rollback of major environmental law.” The Hill.
— “U.S. driver’s license network goes down, slowing DMV offices around the nation.” NPR.
— “’Locust swarm’ forces Ethiopian Airlines plane to divert.” BBC.
— “Why Ocasio-Cortez is criticizing Cuomo’s plan for a train to La Guardia.” New York Times.
— “Airlines play up their green credentials in Europe to stave off climate regulation.” POLITICO Pro Europe.
DOT appropriations run out in 261 days. The FAA reauthorization expires in 1,356 days. Highway and transit policy is up for renewal in 261 days.
