A conflict between the Port Authority of New York and New Jersey and the Bush administration escalated yesterday when the Federal Aviation Administration announced it would begin auctioning flight slots at Newark Liberty Airport on Sept. 3.

The Port Authority said on Monday that it will block flights that come to its airports in New York City and Newark that have obtained flight slots through an FAA auction process. The Port Authority maintains it has the right to block flight slots that are auctioned off and that the new process will increase costs to passengers.

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