The Federal Aviation Administration (FAA) said Thursday it would renew a program that allows Boeing to perform tasks on behalf of the agency for three years.
Boeing’s Organization Designation Authorization (ODA) will become effective on June 1.
“Before making the decision, the FAA closely monitored specific criteria and saw improvements in most areas. Criteria included implementing policies prohibiting interference with ODA unit members; assessing the ODA unit’s ability to effectively self-audit and ensure follow-through of post-audit activities; and monitoring the ODA unit’s ability to complete projects independently,” the FAA said in a statement announcing the agreement.
“The FAA will continue to closely monitor Boeing’s performance throughout its renewal period,” it added.
The move follows months of scrutiny due to concerns about the aviation manufacturer’s safety standards after a midair accident took place on a Boeing 737 Max 9 last year. A door on an Alaska Airlines flight flew open, and a later investigation revealed the incident was caused by the absence of four missing bolts.
Since then, whistleblowers have stepped forward alleging the company prioritized speed over quality in production stages.
The FAA said it would continue “aggressive oversight” of Boeing under the renewed program and opted to extend ODA for three years instead of the proposed five-year agreement.
“We remain committed to working under the agency’s detailed and rigorous oversight,” a Boeing spokesperson said in a statement. “We have taken purposeful steps to strengthen our ODA program over the past three years in alignment with FAA requirements, and we will continue those improvements.”
In May, the Department of Justice (DOJ) dropped its case against Boeing after the company agreed to a deal to resolve two 737 Max plane crashes in 2018 and 2019, respectively, killing 346 people.
Under the terms, Boeing would pay or invest more than $1.1 billion, including an additional $445 million for the crash victims’ families.
However, senators say the company should be held to a higher standard.
“Whistleblowers, the Federal Aviation Administration (FAA), and the National Transportation Safety Board (NTSB) have indicated that a dysfunctional safety culture persists at the company, even as Boeing executives evade blame for the company’s failures while pocketing millions in pay and bonuses,” Sens. Elizabeth Warren (D-Mass.) and Richard Blumenthal (D-Conn.) wrote in a letter to Attorney General Pam Bondi before the deal was complete.
They said “manufacturing errors and defects in Boeing aircraft are not one-offs.”
Despite criticism of the company’s culture and handling of the fatal crashes, DOJ officials have lauded their deal with Boeing.
“Ultimately, in applying the facts, the law, and Department policy, we are confident that this resolution is the most just outcome with practical benefits,” a Justice Department spokesperson said in a statement to The Associated Press.
“Nothing will diminish the victims’ losses, but this resolution holds Boeing financially accountable, provides finality and compensation for the families and makes an impact for the safety of future air travelers.”
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
For the latest news, weather, sports, and streaming video, head to The Hill.
