Lamar Smith: “Mr. Speaker, I have one concern about section 426 of the House amendment to H.R. 1586, which I hope will be addressed.…”

“Mr. Speaker, I have one concern about section 426 of the House amendment to H.R. 1586, which I hope will be addressed. Section 426 does two main things: it requires the Government Accountability Office to study the effect of Department of Transportation grants of antitrust exemptions on consumer welfare; and sunsets the existing antitrust exemptions after 3 years. These grants of antitrust immunity allow airlines to ``codeshare'' with international partner airlines. This in turn allows the airlines to offer more flight options to consumers. It also means that consumers can accrue and use frequent flier miles on many airlines. Having more flight options and more ways to spend miles is certainly a boon for the consumer. In addition, the airlines contend that these alliances make for healthier airlines, which is good news for the thousands of workers that these companies employ. As ranking member of the House Judiciary Committee which has jurisdiction over the antitrust laws, I have concerns that under current law, only the Secretary of Transportation can grant these immunities. The Department of Justice's antitrust division does not have a formal role in that process. That is something that I think needs to be examined.”