U.S. Representative Nydia Velázquez recently introduced a bill in Congress aimed at preventing airlines from engaging in price gouging during natural disasters such as hurricanes. The proposed legislation, known as the “AirFAIR Act,” would prohibit airlines from increasing prices by more than 30% following a disaster declaration by a state or U.S. territory. Additionally, the bill would empower the Department of Transportation to further limit price hikes during such emergencies.
The need for this legislation became apparent in the aftermath of hurricanes Helene and Milton, where consumers reported significant spikes in airfare prices as they attempted to evacuate areas in the storms’ paths. Some individuals saw the cost of one-way tickets skyrocket from $200 to over $1000, making it financially challenging for them to flee to safety.
Representative Velázquez emphasized that the safety of Americans should be the top priority during natural disasters, condemning the practice of price-gouging by airlines as unconscionable and potentially life-threatening. The bill also mandates a study by the Federal Aviation Administration to identify any ticket agents or air carriers involved in unfair pricing practices during disasters, with the results to be submitted to Congress for review within a year.
While airlines have refuted claims of price gouging and asserted that fares were capped for flights out of Florida during Hurricane Milton, numerous price gouging complaints related to fuel, water, and accommodation are under investigation in the state. Although state laws exist to prevent gouging on essential goods, the airline industry has not been subject to similar regulations, making it challenging to detect unfair pricing practices.
The White House has also weighed in on the issue, with Vice President Kamala Harris warning against any exploitation of consumers during crises through fraudulent or price gouging activities. Velázquez, representing New York’s 7th congressional district, which includes various neighborhoods in Queens and Brooklyn, stressed the importance of airlines taking responsible actions to ensure that ticket prices remain reasonable, especially during emergencies when people’s lives are at stake.
In light of the recent disasters and the concerns raised about price gouging in the airline industry, the proposed AirFAIR Act seeks to establish safeguards to protect consumers and promote ethical pricing practices during times of crisis. By holding airlines accountable and preventing unjustified price increases, the legislation aims to ensure that individuals have access to affordable air travel when faced with urgent evacuation needs.