11 GBTA 2015 Government Relations Agenda Bay Area Business Travel Association May 18, 2015

2 Agenda Why GBTA has a Federal program Washington Update GBTA Government Relations Priorities 2014 GBTA Legislative Symposium

3 Rationale for GBTA’s Federal Program Fiction Reality

4 Washington Update

MidTerm Elections AK Total Seats Democrats: 188 Republicans: Total Seats Democrats: 44 Republicans: 54 Independents:

6 JanuaryFebruaryMarchAprilMayJune Timing Unknown Immigration: With the passage of the “CRomnibus” in the lame duck, Congress may threaten to shut down DHS over Obama’s executive action Debt Ceiling: Watch for confrontation over spending and issues Republicans could attach to a debt ceiling deal Fossil Fuel: GOP is pushing for legislation approving Keystone XL, but is unlikely to override a presidential veto Online Sales Tax: Not a high priority, but lobbying efforts from states and small businesses may push GOP to allow for an online sales tax Affordable Care Act: Barring more extreme action (full repeal or major overhaul) in the wake of a Supreme Court decision eliminating federal exchange subsidies in King v. Burwell, medical device tax repeal and smaller regulatory changes to coverage requirements are possible Highway Trust Fund: Republicans will likely change spending levels and attempt to eliminate the gas tax in a Highway Trust Fund renewal Doc Fix: Expect another short-term fix or a long- term plan paid for primarily through deficit reduction; conservatives may push to tie ACA reforms to a renewal No Child Left Behind: GOP Senators want to push for less federal involvement in school performance evaluation and move more responsibility to states EPA Regulations: GOP may try repealing EPA regulations on carbon emissions through a budget/debt ceiling vote Foreign Policy: A confirmation battle is expected over the nomination of Ashton Carter for Secretary of Defense; Republicans want confrontation with Iran; President Obama’s actions to normalize relations with Cuba will likely set up battles over confirming an ambassador and/or funding an embassy International Trade: The Republican Senate will likely grant Obama Trade Promotion Authority to sign the TPP and TTIP trade agreements Appropriations: A regular-order budget is possible, but another CR is a strong possibility; some GOP members have hinted at reconciliation FCC/Net Neutrality: Republicans may restrict the FCC’s authority or withhold its funding if it implements more expansive regulations Export-Import Bank: Republicans are split on whether the bank should expire; it may or may not be reauthorized Tax Reform: Movement on comprehensive tax reform remains unlikely in a Republican Congress, but corporate tax reform is possible Top Tier Issues – 114 th Congress

7 Republicans Hold Majority of Senate Seats Up For Election in U.S. Senate Elections by Incumbent Party Recommendations and detected threats OH WV VA PA NY ME NC SC GA TN KY IN MI WI MN IL LA TX OK ID NV OR WA CA AZ NM CO WY MT ND SD IA UT FL AR MO MS AL NE KS VT NH MA RI CT NJ DE MD AK HI Republican-Held SeatsDemocratic-Held SeatsOpen SeatsNo Election in 2016

Elections Recommendations and detected threats OH WV VA PA NY ME NC SC GA TN KY IN MI WI MN IL LA TX OK ID NV OR WA CA AZ NM CO WY MT ND SD IA UT FL AR MO MS AL NE KS VT NH MA RI CT NJ DE MD AK HI

9 GBTA 2015 Federal Agenda

10 Priority – Passenger Screening & Facilitation

11 Priority – Fees and Taxation

12 Priority – Regulations “If you’re against letting airline passengers talk on cellphones, you’ve gained a powerful ally. The Global Business Travel Association, a trade group for the world’s business travelers, submitted its opposition last week to a plan by the Federal Communications Commission to lift a ban on voice calls on planes.” Business Travel Group Asks DOT to Reject IATA on New Distribution Capability GBTA: FIX ANCILLARY FEE MESS NOW!

13 Legislative Symposium

Legislative Symposium April 28-29, Legislative Symposium Highlights

15 Questions and Comments Greg McDonald (202)