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April 27, 2020 — Volume 19, Issue 17 |
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| This Week's Top Stories |
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The Department of Treasury recently released updated guidance on the payroll support and loan programs implemented under Title IV of the CARES Act, including certain details of the Payroll Support Program for cargo air carriers and contractors. Treasury announced, “In consultation with the Secretary of Transportation, Secretary Steven T. Mnuchin determined that cargo air carriers that receive $50 million or less of payroll support and contractors that receive $37.5 million or less of payroll support will not be required to provide financial instruments as appropriate compensation for the financial assistance. The majority of cargo air carriers and contractors seek less than $10 million.”
In addition, Treasury published the application form for loans to businesses critical to maintaining national security under Division A, Title IV, Subtitle A of the CARES Act. The guidance notes that applications may be submitted online beginning April 27 and are due to the Treasury Department by May 1. Additional information on loans to national security businesses is available online here.
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Department of Treasury Releases Additional Guidance for the Air Carrier Worker Support Program
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This week, the Department of Treasury released additional guidance for those waiting to receive funding under the Payroll Support Program under Title IV, Subtitle B of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). According to the guidance, applicants to the Payroll Support Program whose applications are approved by the Treasury Department enter into a Payroll Support Program Agreement (Agreement), a form of which is available here.
The guidance contains answers to frequently asked questions in the following areas: applications and eligibility, reporting, affiliates, stock buybacks, continuation of service, use of payroll support funds, and taxation. This guidance is based in part on questions that NATA has asked of Treasury.
The Treasury Department states that they have “received hundreds of Payroll Support Program applications and is working to review all applications as quickly as possible. Some applications require additional information before the Treasury Department’s review can be completed. The Treasury Department will contact you directly if you are required to provide additional information.”
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NATA Focuses on Additional Relief for Aviation Businesses
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Last week, Congress passed the Paycheck Protection Program and Health Care Enhancement Act (H.R. 266) intended to provide additional relief to Americans affected by the COVID-19 pandemic. The House passed the bill after Senate consideration earlier last week and the President signed it into law. Most notably, the bill provides an additional $380 billion for small businesses, primarily through the Small Business Administration’s Paycheck Protection Program (PPP). In many cases, NATA members are eligible to apply for assistance under the PPP, but the Association has been hearing of challenges with our members’ participation in this program. Please note: the Treasury also released updated guidance on the PPP that is available here and on our Resource Page.
“After passage of the CARES Act, NATA promptly provided guidance on the program specifics and the application process to our members, and have assisted members as they file. However, we are hearing stories of difficulties with the PPP and the Air Carrier Worker Support Program. NATA will continue to focus on helping our members pursue support under all programs for which they are eligible,” said NATA President and CEO Timothy Obitts in a related statement.
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Messages that Speak to the Heart
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NATA was very pleased to team up with Fireside Partners to produce a video to deliver a heartfelt message to our members and other aviation businesses and their staffs to help us all get through these tough times.
The video is called “Times that Define Generations,” which explores perspectives on coping with the pandemic from a more personal level and through the lens of relationships. We thought it was fitting for us to share these messages from the heart from Fireside President and CEO Don Chupp, his team, and even his son because as important as taking care of the health of our business is right now, it is even more important that we take care of ourselves, our teams, our families, our friends, and our communities – each other.
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| Upcoming NATA Webinars: |
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NATA Safety 1st Launches Series of Educational Webinars Beginning May 6
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The NATA Safety 1st team will host a series of webinars to allow for continuing education and professional development during COVID-19. The first webinar, “Supercharge Employee Development with the Structured Training Model & Safety 1st,” is scheduled for May 6 at 2 p.m. EDT. Each webinar is offered at no charge and will be 30-40 minutes in length, allowing time for questions at the end. The first webinars in this series include:
If you have any questions or suggestions for future topics, please contact Safety 1st at safety1st@nata.aero.
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At the Agencies:
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FAA Regulatory Updates: Temporary Control Tower Hour Adjustments
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The FAA continues to work with NATA and industry to provide regulatory provisions and updates on operations during COVID-19. The latest update includes information on temporary control tower hour adjustments. According to the FAA, “to ensure the continued resiliency of the air traffic control system amid the COVID-19 pandemic, the FAA is planning to temporarily adjust the operating hours of approximately 100 control towers nationwide. Making these adjustments allows for continued safe operations throughout the national airspace system while minimizing health risks to our workforce.” Click here for frequent updates.
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Association Highlights:
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Airport Sponsors & Aviation Commercial Businesses: Addressing Agreement Relief During COVID-19 Webinar Recording Available
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In last week’s highly successful webinar, a panel of industry experts addressed agreement relief considerations for aviation commercial businesses and airport sponsors during COVID-19. The webinar covered CARES Act and grants for airports, FAA guidance on rent abatement and deferral of rental payments, lease agreement considerations, and financial accommodations, among other topics. Click here to access the recording.
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Need Guidance on Random Testing During COVID-19? NATACS Is Here to Help
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The COVID-19 pandemic continues to cause disruptions in daily operations, posing challenges with managing drug and alcohol testing programs. The NATACS team is here to help you comply with your random testing requirements. Read the latest DOT guidance on COVID-19 and drug/alcohol testing programs by clicking here.
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Membership Spotlight:
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Sonoma Jet Center Assists Volunteer Pilots to Transport Puppies for Canine Companions for Independence
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With commercial flights nonexistent, the need to transport future assistance and companion dogs is bigger than ever. That's where the Sonoma Jet Center stepped in. Sonoma Jet Center was recently featured in a CBSN Colorado story on their support of Canine Companions for Independence, a group that trains assistance dogs for people with disabilities. Usually the organization relies on commercial flights to move their dogs around the nation, but now volunteer pilots are filling the void to make sure training for the dogs is not delayed. Owner and President Josh Hochberg also participated in a KCBS San Francisco Bay Area podcast discussing their support of these missions that can be found at Radio.com.
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Aerion to Build Supersonic Aircraft at Orlando Melbourne Int’l
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Aerion Supersonic has selected Orlando Melbourne International Airport (MLB) for its worldwide headquarters and integrated campus for research, design, building and maintenance of the company’s supersonic aircraft. Aerion Park will house manufacturing of the company’s new AS2 supersonic business jet with plans to create at least 675 new jobs by 2026 as part of a multi-year $300 million investment. The development will take place on more than 60 acres of vacant airport property located at the northwest corner of MLB. The decision to launch the assembly of the AS2 at MLB, located in the heart of Florida’s Space Coast, will allow Aerion to tap into the highly-skilled local workforce as well as attract some of the best aerospace talents in the world to Melbourne, Florida. Read more.
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Pentastar Supports Employees and Community During COVID-19
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In efforts to support our employees, their families, and our communities during the extraordinary COVID-19 crisis, Pentastar has directed some of their resources to support projects that help others in this unprecedented crisis. At the outset of the crisis, they had several employees craft face coverings for use at their PTK facility. They are now designing and producing sewn fabric masks using a variety of donated and purchased materials, including a wire nose bridge for comfortable breathing. The Pentastar team has produced hundreds of these face coverings and will be sharing some of these with the Waterford Urgent Care center, VC Value Market grocery store, and others in their community. In addition, they have undertaken the production of plastic face shields for health care workers, sending their first batch to the Waterford Urgent Care on April 23rd and will deliver more to a couple of hospital systems this week. Read more.
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Aeroplex/Aerolease Group Launches Facility Disinfecting Services
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The Aeroplex/Aerolease Group is now offering hangar and facility disinfecting services to help combat the Coronavirus, in addition to ramping up infectious disease safety and protective guidelines at each of its own locations. A typical aviation facility disinfecting process depends on the size of the building. However, such services can be adapted around the needs of the specific operation, and the facilities can typically be returned within 30 minutes after disinfecting is completed. The components used in the process are approved by the Centers for Disease Control and Prevention (CDC) and Environmental Protection Agency (EPA) – and a typical treatment remains effective from seven to 14 days depending on the use of the areas. Disinfection services can be applied in office, lobbies, shop areas, hangars, equipment, and other interior spaces. Read more.
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