NATA News

• Last LSST And Safety 1st Trainer Seminars Of 2012 In September

• Do You Have State Or Local News You Would Like To Share With NATA Membership?

• NATA 2012 Electronic Membership Directory is Now Available

The fall NATA Airline Services Council meeting has been moved to October 15-16, 2012. The previous date was October 1-2, 2012. The meeting will remain at the Double Tree Hotel, Crystal City in Arlington, VA. A complete agenda for this meeting will be sent to members shortly after Labor Day.

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Last week, Congressman Pete Sessions (R-TX) and 11 other Members of Congress asked the FAA to produce guidance on grant assurance compliance when airport sponsors enter into direct competition with their own tenants. One key component of the increasing trend of airport sponsors to choose to compete directly with existing on-airport private fixed base operators (FBOs) is the use of federal and state grant funding to subsidize these airport sponsor-owned businesses.

The congressional letter to Administrator Huerta points out the competitive imbalance that can occur when one party is an arm of the government and can access grant funding provided by taxpayers while the other party (existing private businesses) cannot. Currently, federal grant assurances (agreements signed by airports in exchange for receiving Airport Improvement Program funding) prohibit airport sponsors from unjustly discriminating against private businesses. However, no guidance has yet been produced that interprets how those assurances apply when a sponsor chooses to compete with its own tenants.

"We believe the temptation for Airport Sponsors to advance their own business interests, with the aid of taxpayer subsidies, to the detriment of privately owned FBOs may lead to abuse and unnecessary waste of increasingly limited taxpayer dollars. Therefore, we respectfully request that the FAA put controls in place to ensure that conflicts do not arise when Airport Sponsors assume the dual role of regulatory and competitor."

Click here to view the full letter to the FAA.

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NATA recently joined eleven other aviation associations in sending a letter to Department of Homeland Security (DHS) Secretary Janet Napolitano urging the agency to meet its commitment and complete the repair station rulemaking by the fourth quarter of 2012. The Transportation Security Administration (TSA) completed its work on the rule and submitted its report to DHS for review. The letter underscores “how important it is that DHS and the Office of Management and Budget complete consideration in a manner that will permit the repair station security rule to be finalized in the time frame provided by TSA.”

In 2003, Congress first mandated that the TSA establish a regulatory framework for repair station security during that year. In 2007, Congress created a ban, which was to begin in 2008, against the FAA certification of foreign repair stations unless the rulemaking was completed. For fiscal year 2013 reports, both the U.S. House of Representatives and the U.S. Senate Committees on Appropriations have included language urging final action on this rule by year-end.

“The only three things holding up the rulemaking process are politics, politics, and politics,” stated NATA President and CEO James K. Coyne to Aviation International News in an exclusive interview on the issue. Coyne stated that the ten-year holdout is a result of the executive branch not understanding the implications of the agency’s inaction on the aviation industry.

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A recently released study, Economic Impacts of FAA Budget Sequestration on the U.S Economy, conducted by the Aerospace Industries Association (AIA) and Econsult Corp. estimates that budget cuts to FAA operations due to sequestration could force the aviation community to lose more than 132,000 jobs, seep $80 billion a year from the nation's gross domestic product, and drastically decrease the freight capacity, nearly 2 billion pounds, of the already fragile air cargo system. The forecasted loss in output to the nation's economy could reach $9.2 to $18.4 billion, with $2.7 to $5.4 billion lost in wages according to the study.

The association and consulting group held a release meeting on August 13 with industry stakeholders to discuss the devastating effects that sequestration could cause to aviation. Special guest former Secretary of Transportation and Congressman Norman Mineta praised the efforts of AIA to bring this issue to light, producing a report that Congress can review before the issue is reviewed in the nation's fiscal year 2013 budget. "If sequestration is not stopped, it will be by far the most devastating budget cut to the FAA in its 54 years. Putting the agency at risk is incomprehensible," Mineta said.

AIA President and CEO Marion Blakey pointed out in a press release that the devastating effects of sequestration will negatively impact implementation of the Next Generation Air Traffic Control System (NextGen), delaying it by at least a decade. Currently scheduled for a 2025 release date, implementation of NextGen is forecasted to provide more than $281 billion in net benefits, save 27 million hours in flight delays and reduce 216 metric tons of emissions. "Under sequestration, the air traffic control system will be hobbled for decades, leaving travelers, shippers and our economy in the lurch," stated Blakey.

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On July 31, the U.S. Senate's Committee on Commerce, Science and Transportation passed S. 1956, the European Union (EU) Emissions Trading Scheme (ETS) Prohibition Act of 2011. Introduced by Senator John Thune (R-SD), the language reiterates the negative impact of a tax on U.S. aircraft operators and consumers for the benefit of EU treasuries. A letter from the aviation and travel industries was sent to Senators before the legislation's passage that explained the U.S.'s ongoing efforts to reduce aviation emissions and decrease fuel consumption. An onerous tax imposed by the EU will not expedite this process. The most effective way to decrease aviation emissions is through the international agreement that is progressing through the International Civil Aviation Organization (ICAO), the letter states.

NATA also participated in an industry letter to Secretary of State Hillary Clinton and Secretary of Transportation Raymond LaHood praising them for their efforts in hosting a July 31-August 1 meeting of countries and industries that are opposed to the one-sided imposition of the EU-ETS on international aviation. The letter urged the secretaries to work with ICAO and take necessary actions to overturn the scheme and maintain the global framework that the U.S. and its allies have worked so hard to maintain.

NATA thanks the committee for passing this important legislation. "The EU needs to focus on a global solution to emissions problems and not one that has a detrimental impact on non-EU flights,” stated NATA President and CEO James K. Coyne. “ETS is simply a revenue raiser for Europe, one that negatively impacts both commercial and general aviation, and imposing a tax on flights that do not originate in Europe kills jobs and puts regulatory burdens on the aviation industry,"

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The U.S. Senate Committee on Commerce, Science and Transportation's Subcommittee on Aviation held a hearing on July 18 to review the competitiveness of the U.S. aviation industry and its status as a global leader. Witnesses addressed the subcommittee on the critical competition issues facing the aviation industry, including workforce, regulatory issues, and access to rising aviation markets.

Committee Chairman John Rockefeller (D-WV) submitted remarks, stating that aviation is a key contributor to our nation's success. He pointed out that the FAA estimates that civil aviation contributes to more than 10 million jobs and is responsible for more than 5 percent of the nation's Gross Domestic Product. "Aviation is a leader in U.S. exports, contributing more than $75 billion towards the U.S. trade balance through sales of aircraft engines, equipment and parts to foreign countries," Chairman Rockefeller said.

Witnesses from Boeing, the Society for Professional Engineering Employees in Aerospace, Aerospace Industries Association, General Aviation Manufacturers Association, and Airlines for America praised the subcommittee for recognizing the importance of civil aviation and the impact it has on the nation's economy, job growth and relationships with global markets and assured continued work with Congress on initiatives to strengthen the world's leading transportation system.

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NATA has published a regulatory report that summarizes the FAA's recent proposed rule to combine drug and alcohol testing programs. Under the proposed rule, Part 135 operators who also operate commercial air tours would be able to combine drug and alcohol testing programs into a single program.

Businesses that provide both Part 135 air charter and conduct certain air tour operations must today maintain separate drug and alcohol testing programs. NATA supports the proposed rule as it would relieve much of the financial and administrative burden experienced by these operators by permitting use of only one drug and alcohol testing program. Click here to download the NATA Regulatory Report.

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LSST Seminar - September 12-13
NATA's Line Service Supervisor (LSST) seminar provides the training line service supervisors need to become more proficient in strategic planning, supervising staff, motivating others, communicating and coaching a team.

Click here for more information on NATA's LSST seminar in Dallas.

NATA’s Safety 1st Trainer Seminar – September 14
NATA's Safety 1st Trainer seminar will be held in the same convenient location as the LSST. NATA's Safety 1st Trainer Seminar delivers the in-depth instruction necessary to make these employees more effective line service supervisors and teachers. In the seminar, trainers will learn how to engage a variety of students, increase learning retention, present lesson plans effectively, and identify student verbal and nonverbal cues as well as many other skills. The seminar also includes instruction on the industry's premier program for initial and recurrent training of line service specialists - known as PLST online or Professional Line Service Training. Minimize employee time away from the office and travel expenses while maximizing your line safety training.

Click here for more information on NATA's Safety 1st Trainer seminar in Dallas.

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NATA’s State Advocacy Network (SAN) is an effort started in January 2012 that aims to increase awareness of state and local issues within the general aviation industry and highlights ongoing state legislation, events and opportunities for NATA members to raise issues or pose questions or concerns for association and industry assistance.

The network’s Web site has been used as a platform to gain awareness and support for issues facing members and their businesses. Most recently, SAN successfully lobbied for the passage of legislation in the Pennsylvania House of Representatives that exempts taxes on aircraft parts and maintenance in the state. The network is working with the legislature towards swift passage in the state’s Senate chamber and eventual support by the governor.

If your business or state is experiencing local industry problems that require the association’s support, or if you hear of problems that may arise and need more information, contact the State Advocacy Network via email at SAN@nata.aero or by calling (800) 808-6282.

Click here to access the NATA 2012 Aviation Resource Book & Membership Directory.

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