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Friday, 25 August, 2023

Aviation Groups Question Regulatory Overhaul for Flights Vital to Underserved Communities

Washington, DC, August 25, 2023 – Six leading aviation groups joined today to question the basis for the Federal Aviation Administration’s (FAA’s) new notice proposing sweeping revisions to requirements for on-demand air carriers operating Department of Transportation (DOT)-authorized public charter operations, which provide vital air service to small communities.

Submitted yesterday for publication in the Federal Register, the FAA Notice of Intent (NOI) suggests potential revisions to the regulatory definitions of "on-demand operation," "supplemental operation," and "scheduled operation" under 14 CFR Part 110, which governs Part 135 public charter carriers conducting Part 380 flights.

The FAA regulations govern the operations of air carriers, while DOT Part 380 regulations address economic authority for those offering public charters. Current regulations allow a Part 380 operator to work with any air carrier, including on-demand carriers operating under Part 135.

In putting forward the notice, FAA officials presented a data set pointing to the growth in flights conducted under Part 380 over the past decade as the basis for the agency’s proposed regulatory review. However, the operational increase has come with no major incidents or accidents under the current regulatory framework, which makes the motive for the FAA’s action unclear.

The concern was among several raised by the National Air Transportation Association (NATA), Airline Passenger Experience Association (APEX)/International Flight Services Association ‎‎(IFSA), General Aviation Manufacturers Association (GAMA), Helicopter Association International (HAI), National Air Carriers Association (NACA) and National Business Aviation Association (NBAA) over the FAA notice.

“Regulatory revisions could have ripple effects throughout the entire part 135 and general aviation ecosystem,” said NATA President and CEO Curt Castagna. “It is imperative that any changes are driven not by the economic interest of competitors, but rather by an identified safety need. We look forward to providing comments that support preserving flexibility to meet the diverse needs of the traveling public, while enabling innovative business solutions and healthy economic competition.”

“This review must be a data-driven look at the safety record of the current system and a precise delineation of any perceived problems. If compelling issues are identified that need to be addressed, any policy changes must be designed in a practical and targeted fashion to minimize any negative implications for small and rural communities, transportation efficiency and innovation, and progress on aviation sustainability. This is an issue with much at stake and needs to be based upon safety data and serious regulatory analysis,” GAMA President Pete Bunce said.

“Part 380 public charter regulations have been in operation for more than four decades. Merely witnessing an uptick in Part 380 operations over the past decade is insufficient grounds for a sweeping overhaul of regulations, particularly when such changes carry far-reaching implications for the entire general aviation community,” said HAI President and CEO James Viola. “The absence of safety concerns raised by industry experts during this period suggests that the existing Part 380 regulations are robust and effective. In contemplating any regulatory modifications, it is paramount to prioritize safety, efficiency, innovation and sustainability as guiding principles throughout the decision-making process.”

"For more than 45 years, Part 380 public charter regulations have allowed for a broad diversity of safe and secure air service options for U.S. consumers," NBAA President and CEO Bolen said. “We remain concerned about any action that may disrupt, or even deprive, air service to smaller communities," Bolen continued, "especially if action were taken without evidence, data or stakeholder engagement on the adequacy of the existing regulatory framework and the desirability of changes to that framework.”

Airline Passenger Experience Association (APEX)/International Flight Services Association ‎‎(IFSA) CEO Dr. Joe Leader spoke on behalf of the organizations that count as members ‎nearly every major commercial airline in the world. “Reducing air travel choice in the ‎United States goes against the very grain of capitalism that has made U.S. so successful ‎since airline deregulation,” Dr. Leader stated. “To maximize consumer choice and positive ‎passenger experience, Part 380 public charter operations provide expanded competitive air ‎service to more destinations than ever across the United States. In this instance, the Part ‎‎380 public charter regulatory changes proposed could shut down successful passenger air ‎operators nearly a decade into their service for the enhanced democratization of air travel ‎across the United States.”‎

The FAA’s move follows concerns expressed by several associations earlier this year about inaccurate characterizations of Part 135 operators conducting Part 380 public charter flights in response to one carrier's economic application to the agency to launch such an operation. Read NATA's June 30, 2023 press release about Part 135 flights operating under Part 380 regulations.

The groups are committed to a robust and comprehensive discussion about repercussions of any regulatory action in the NOI comment period, which is a more appropriate public forum for such debate than an economic authority application docket or premature legislative action.

While the number of Part 380 operations has increased over the past decade in response to declines in commercial airline service to smaller communities, those flights comprise a very small part of the more than 52 million total operations within the national airspace system in 2022.

The organizations also expressed concern that changes to public charter regulations could negatively impact innovative transportation solutions that could benefit consumers by increasing the availability and efficiency of on-demand aviation.

For general press inquiries, contact Shannon Chambers at 703-298-1347 or schambers@nata.aero.

The National Air Transportation Association (NATA) has been the voice of aviation business for more than 80 years. Representing nearly 3,700 aviation businesses, NATA’s member companies provide a broad range of services to general aviation, the airlines and the military and NATA serves as the public policy group representing the interests of aviation businesses before Congress and the federal agencies.