mr. smisek. what is american airlines doing to prevent hacking into the vital controls of the airline's? >> sir and the data protection. >> as best as we can. >> thank you. does anyone want to put a percentage of which is which? the lack of stable funding and 10% management? what do you think? >> i will take a shot. i do not think it is knowable. go to the court that is an objective of smart people and the congress mandate looked at it. they raise a lot of management questions. there strategic thought the leadership. where are we going. what does the architecture? that kind of management of process and of design. and money. i was say is 50/50. >> it is interesting. i do not know how we ensure we get better management. what did the u.s. -- it a u.s. postal service and amtrak. these are examples of things we have done that are structured we will be tried to do something other than the traditional, this a government function and the government is going to do it. >> i would say look at fedex. >> thos

mr. smisek. what is american airlines doing to prevent hacking into the vital controls of the airline's? >> sir . once the architecture so it's that kind of management of process and design and money there's no question i would say it's 50/50. >> is interesting i don't know how we ensure we get better at management by just changing the structure. unit look at the u.s. postal service. look at amtrak babies pay these are all examples of things we have done better structures were we have tried to do something other than the traditional this is an inherently governmental function and the government is going to do it to. >> i would say look at fedex. >> yet but those are privatized for-profit. are we advocating going to for-profit? if that's the case my rural airports are totally host. >> we are not saying that but a private non-corporate is in my mind when i look at some of the decisions made in other countries and how they have approached it, i think they really to me offer that kind of flexibility.

mr. smisek. >> thank you, mr. chairman.ant to follow up your introduction of the question of cyber attack. part of what we're looking to do in this next generation is we're going to do air traffic control off of satellites. you can be a lot more efficient. you can have awareness right from the cockpit of the other airlines around. there is not only the cost of transition from the ground-based radar. there is the question of the backup of the ground-based radar. what happens if there were a cyber attack on the gps that shut it down with mr. smisek, the arrangement that you're talking about, who would bear the cost of that backup of the ground-based radar, since that's the less efficient operation? >> senator i'm certainly not an expert on cyber security but it is necessary in any enterprise the enterprise we're talking about or an enterprise, to have very expert investments in cyber security. it is a risk, and it is, no doubt, a growing risk as we become the internet of all things. certainly an attack on the gps system would

mr. smisek air has been heavily tax. it's not necessarily the case. certainly with rail and transportation while states have been willing to raise fuel taxes we know that form of tax is coming to an end at some point. there is a need for a solution. if we can get into the broader question of tax reform and maybe a few years while we sort out how we are going to fund highways and bridges. that's a big unmet need. >> i don't know that i can offer you much advice except to say we have painted ourselves into a fiscal policy corner. we have a dozen years of more that we haven't paid for and we have so much -- i chaired the appropriations and we have $60 billion of water projects in $2 billion appropriations. it's turned transportation and arrived -- wide array of infrastructure. i think we have to do better on fiscal policy and make investments in the country if we are going to the country wants in the future. >> i want to thank all of you again in mr. rinaldi i want to thank you for your extraordinary work by our air comptrollers across the country most e

mr. jeff smisek, paul renaldi, and mr. ed bolen. so a great panel. we look forward to hearing from all of you. we'll start on my left and your right with the administrator, mr. huerta. please proceed. >> thank you. members of the committee, thank you for inviting me to speak today about the re-authorization of the faa. the upcoming faa re-authorization provides us with the opportunity to propel our system to the next level of safety and to foster the kind of innovative climate that is long been the hallmark of our proud aviation heritage. this re-authorization is provided a forum for many an industry and government to openly discuss possible changes in the governing structure of the faa to help us create the aviation system that will sustain our nation's economic growth well into the future. we're open to having this discussion. but we must all agree on the most important problems re-authorization should fix. in our view those are budget instability and the lack of flexibility to execute on our priorities. these challenges exist for the entire agency

mr. jeff smisek chairman president ceo of united airlines mr. paul rinaldi whose present of the air traffic controllers association and mr. mr. ed bolen who is ceo of the business association -- aviation association. a great time am i look forward to hearing from all of you and i will start on my left and you're right with the administrator. mr. huerta please proceed. >> thank you chairman thune ranking member and members of the committee thank you for inviting me to speak today about the reauthorization of the faa. they have reauthorization provides us with the opportunity to propel our next -- to foster the kind of innovative climate that has long been the hallmark of our proud aviation heritage. this reauthorization is provided a form for many industry and government to openly discuss possible changes in the governing structure of the faa to help us create the aviation system that will sustain our nation's economic growth well into the future. we are open to having this discussion but we must all agree on the most important problems of reauth