US FAA commercial space chief opting for buyout, agency says

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By David Shepardson

WASHINGTON (Reuters) -The Federal Aviation Administration’s head of commercial space is among employees opting to take an early retirement offer, the agency said on Thursday.

Associate Administrator for Commercial Space Transportation Kelvin Coleman is opting to leave as are some other senior officials in the air traffic organization, officials said.

Coleman in December announced the agency was streamlining a key commercial space launch and reentry license hurdle.

In September, the FAA proposed a $633,000 fine against SpaceX for failing to follow license requirements in 2023 before two launches, drawing the ire of SpaceX founder and CEO Elon Musk, who has led President Donald Trump’s effort to reform the U.S. government.

Musk last year called for the resignation of FAA Administrator Mike Whitaker, who opted to step down when Trump took office.

Earlier this month, the Transportation Department said around 4,000 employees have applied to take a new buyout that offers pay and benefits through September 30, a department official told Reuters.

“The agency continues to recruit and hire employees who perform safety-critical functions, and those employees are not eligible for the program,” the FAA said on Thursday. “We are confident in our ability to continue safe operations and perform the job the American public expects us to do.”

The offer exempts public safety positions such as FAA air traffic controllers and aviation safety inspectors as well as railroad safety inspectors, pipeline and hazardous materials safety inspectors and cybersecurity employees.

Reuters reported this month that Tim Arel, head of the FAA’s air traffic organization, is stepping down after 40 years of federal government service. Other senior air traffic officials are also opting to leave, officials said.

The Transportation Department has around 57,000 employees, according to a government website.

The Trump administration came under fire for initially offering buyouts to air traffic controllers and other safety workers when there are serious shortages of those workers, but it later reversed course. The FAA wants to hire 2,000 air traffic controller trainees this year.

(Reporting by David Shepardson; Editing by Chris Reese)