Module 1 Flashcards
Part 91.103 Pre-Flight states each pilot-in-command shall what before beginning a flight?
Become familiar with all available information concerning that flight before taking off
Becoming familiar with all available information concerning that flight before taking off includes
(3 items)
- Referencing the Airport Facility Directory A/FD
- Checking the departure, arrival, and enroute weather
- Referencing appropriate NOTAMS
American Airlines pilots don’t check their own preflight information, they would have __________ do it.
Flight Dispatch Personnel
Who has the final responsibility for the safety and security of a flight?
The Pilot-in-command
According to what manual is it the pilot’s inherent responsibility to be alert at all times for circumstances and conditions affecting the safe operation of aircraft?
Aeronautical Information Manual
What handbook gives guidance on the eligibility of various items, plans and projects?
The AIP Handbook
The AIP handbook does not do what?
Identify every possible project that is eligible or ineligible
If the eligibility of a project is not specifically stated it is up to what office to determine if it meets the general guidance given in the AIP Handbook?
ADO
A grant application for a project cannot be approved unless it is ________ with the proposals of planning agencies where the airport is located
Reasonably Consistent
A grant application for a project cannot be approved unless (6 items)
- The project is reasonably consistent with the proposal of planning agencies
- Sufficient Funds are available
- The project can be completed without undue delay
- Airport is in the NPIAS
- Project involves >$25,000 in AIP Funds
- ALP must be current
A project for a runway that is planned at Flagstaff Airport (a non hub primary) is embroiled in a long delay due to environmental concerns. Is this project eligible for a grant?
No.
- The project is reasonably consistent with the proposal of planning agencies
- Sufficient Funds are available
- The project can be completed without undue delay
- Airport is in the NPIAS
- Project involves >$25,000 in AIP Funds
- ALP must be current
A project for new approach path alignment panels (APAP) at Bisbee airport will cost $20,000 to install. It is reasonably consistent with the proposal of planning agencies with an approved ALP, there are sufficient funds available, and Bisbee airport is a NPIAS airport. Is this project eligible for a grant?
No.
- The project is reasonably consistent with the proposal of planning agencies
- Sufficient Funds are available
- The project can be completed without undue delay
- Airport is in the NPIAS
- Project involves >$25,000 in AIP Funds
- ALP must be current
Glendale Airport is ready for a new parallel taxiway that is not in its ALP, but it has sufficient funds available, there should be no delays, and Glendale is an airport in the NPIAS. Is this project eligible for a grant?
No.
- The project is reasonably consistent with the proposal of planning agencies
- Sufficient Funds are available
- The project can be completed without undue delay
- Airport is in the NPIAS
- Project involves >$25,000 in AIP Funds
- ALP must be current
AIP Grants focus on projects associated with (5 items)
- Construction
- Improvement
- Preservation of Airport infrastructure
- Land Acquisition
- Equipment Acquisition
Eloy airport wants a grant to do a new cactus landscaping project at its airport. Eloy is a NPIAS airport with this area depicted on the ALP and a project cost of $40,000. Is this project eligible for a grant?
No. Ineligible items:
- Landscaping
- Artwork
- Parking Facilities
- Airport Operational Costs
- Exclusive/Near Exclusive use areas
- Industrial Park Development
- Marketing Plans
- Training
- Maintenance
- Office Equipment
- Development that exceeds FAA standards
What projects are ineligible for funding? (11 items)
Ineligible items:
- Landscaping
- Artwork
- Parking Facilities
- Airport Operational Costs
- Exclusive/Near Exclusive use areas
- Industrial Park Development
- Marketing Plans
- Training
- Maintenance
- Office Equipment
- Development that exceeds FAA standards
Casa Grande airport wants a grant to build a new runway that can handle ADG 6 aircraft. The master plan doesn’t forecast a need for this type of aircraft in the foreseeable future. Casa Grande is a NPIAS airport with a new runway depicted on the ALP and a project cost of $4,000,000. Is this project eligible for a grant?
No: Ineligible items: 1. Landscaping 2. Artwork 3. Parking Facilities 4. Airport Operational Costs 5. Exclusive/Near Exclusive use areas 6. Industrial Park Development 7. Marketing Plans 8. Training 9. Maintenance 10. Office Equipment 11. Development that exceeds FAA standards
Gila Bend airport needs a grant to pay for their operating costs due to a financial downturn. Gila Bend predicts it needs $60,000 and is a NPIAS. Is this need eligible for a grant?
No: Ineligible items: 1. Landscaping 2. Artwork 3. Parking Facilities 4. Airport Operational Costs 5. Exclusive/Near Exclusive use areas 6. Industrial Park Development 7. Marketing Plans 8. Training 9. Maintenance 10. Office Equipment 11. Development that exceeds FAA standards
Winslow airport is a NPIAS airport seeking a grant to pay for a new industrial park. The park is shown on an approved ALP and they need $6,000,000 to build the park. Is this need eligible for a grant?
No: Ineligible items: 1. Landscaping 2. Artwork 3. Parking Facilities 4. Airport Operational Costs 5. Exclusive/Near Exclusive use areas 6. Industrial Park Development 7. Marketing Plans 8. Training 9. Maintenance 10. Office Equipment 11. Development that exceeds FAA standards
All projects require what prior to FAA approval?
Environmental Processing
Generally projects must be located on airport property unless what? (6 items)
- Obstruction Removal
- NAVAID installation
- Airport Utilities
- Airport Wastewater Plants
- Noise Program
- ARFF facilities
What 12 items are specifically unallowable projects for AIP grant funding?
- Computer Hardware
- Wildlife Hazard Management Plans (unless airport development may result)
- Surface transportation origin-destination studies
- Acquisition of communication equipment (unless for safety and security)
- Installation of airport surface detection systems (except relocation for an approved AIP project)
- Installation of an ILS (unless coordinated with the FAA)
- Installation of hangars or fuel farms (except at non-primary and military airports)
- Constructing Roads exclusively for the purpose of connecting parking facilities to an access road
- Construction of Roads for industrial or non-aviation areas or facilities
- Construction of maintenance facilities except ones that maintain Snow Removal Equipment or ARFF equipment
- Landscaping except if incidental to another project
- Demonstration programs for Noise-compatibility purposes
Phoenix Sky Harbor airport is building a parking garage and wants to build a road to connect the garage to the main airport feeder ramp. Is this eligible for an AIP funding grant?
No.
8. Constructing Roads exclusively for the purpose of connecting parking facilities to an access road is unallowable
Tucson International (a Small Hub airport) wants AIP funding for installation of a fuel farm. Is this allowable?
No.
7. Installation of hangars or fuel farms (except at non-primary and military airports)
Flagstaff airport, a non-primary commercial service airport wants AIP funding for a project to relocate an Instrument Landing System that has been coordinated with the FAA. Is this allowable?
Yes. It is allowable if coordinated with the FAA
6. Installation of an ILS (unless coordinated with the FAA)
Bullhead City Airport, a non-primary commercial service airport wants AIP funding for the construction of a maintenance facility that will maintain Snow Removal Equipment (SRE). Is this allowable?
Yes! It is allowable if it is for Snow Removal Equipment
10. Construction of maintenance facilities except ones that maintain Snow Removal Equipment or ARFF equipment
Executives of public facilities are concerned with acquiring insurance that covers what two items?
- Property Damage
2. Bodily Injury/Death to all stakeholders interacting at the airport
Airport executives will routinely work with insurance agents and risk managers to add policy ______ to cover need extraneous to the basic policy
Riders
What is the basic policy that most commercial aeronautical service providers should hold?
Commercial General Liability insurance
A Commercial General Liability policy has what 3 specific coverage areas?
- Premises Liability
- Product Liability
- Hangar Keepers Liability
What kind of insurance would you need to cover damage to aircraft under the airport’s care and control?
Hangar Keepers Liability
What kind of insurance would you need to cover fuel and oil that tenants might sell?
Product Liability
What kind of insurance would you need to have to cover injuries to people or property on the airport
Premises Liability
Part 139 requires commercial service airports to comply with
Various operational and safety standards
Does Part 139 compliance equate with liability coverage?
No.
The US Court of law has commonly held what regarding liability?
Airport operators are responsible for public safety and the safety of aircraft operating within the airport domain
What strategies are there to mitigate insurance related risk? (9)
- Compliance with Part 139
- Regular Training and compliance with TSA & FAA
- Annual risk analysis programs
- Daily Inspection Programs
- Evaluation for qualifying and screening new employees
- Maintaining thorough, timely and accurate info sources and dissemination processes
- Obtaining blanket insurance policies for all airport stakeholders
- Requiring stakeholders hold insurance
- Developing environmental policies
How should airports handle paying for insurance as much as possible?
Airports should self-insure as much as possible
What is the challenge of airport self insurance?
Self insurance requires the ability to budget and invest large amounts of liquid capital.
AAAE advises what regarding insurance for professional advice and resources
Joining a professional aviation insurance association such as the Aviation Insurance Association
Where did airport funding come from before the Airport and Airway Trust Fund?
General treasury revenues
The Airport and Airway Trust Fund is what kind of system where people who fly pay for it?
User-Fee
By Airport Improvement Program (AIP) being self-supporting and pay as you go, it was designed to be “_________”
Deficit Proof with expenditures limited to receipts
What law created the Airport and Airway Trust Fund
Airport and Airway Revenue Act of 1970
Fees were added to what to help fund the Airport and Airway Trust Fund? (3 things)
- Passenger Tickets
- Domestic Air Cargo Waybills
- Non-Commercial Aviation fuel
The purpose of the Airport and Airway Trust Fund is to completely fund (3)
- Airport Research & Development
- FAA Capital Improvement Programs
- Modernization of ATC facilities
What law created the Airport Improvement Program (AIP)
Airport and Airway Improvement Act of 1982
Who is eligible for AIP Grants? (2)
- Public Use Airports
2. Included in the NPIAS
AIP grants can be issued for ______? (3)
- Airport Planning
- Development
- Noise Compatibility
What FAA Order regulates AIP Processes
FAA Order 5100.38C Airport Improvement Program Handbook
What does FAA Order 5100.38C Airport Improvement Program Handbook address? (5)
- Grant Process
- Eligibility of the sponsor
- eligibility of the project
- Allowable Costs
- Prioritization
What provides the grant money for AIP projects?
Airport and Airway Trust Fund
What does the FAA issue to add to or revise guidance about the administration of AIP, related to the AIP handbook?
Program Guidance Letter
What is an entitlement fund with regards to AIP funding?
A yearly apportionment of AIP funds by formula
What are primary airport apportionments based on?
- Annual Passenger Boarding
- # of aircraft operations
- Amount of cargo
- Airports in the small airport fund
- State apportionment calculations
Typically what % of funding is available for GA and non-primary airports?
18-20%
Portions of AIP funding are designated to achieve specific funding minimums. What are these called?
Set aside funds
What are some examples of set-aside funds programs (3)
- GA Reliever Program
- Noise Abatement Program
- Military Airport Program
What % of available funds can be used for noise abatement programs?
35%
Noise abatement set asides can be used for what? (4)
- Noise Compatibility Plans
- Noise compatibility implementation programs
- Compatible land-use planning
- Clear Air Act Planning
Any remaining AIP funds after entitlement are considered what
Discretionary Funds
What are the two types of AIP discretionary funds?
- Discretionary Set aside and Capacity/Security/Safety/Noise
- Pure discretionary funds
What can Pure Discretionary funds be used for?
Any eligible project at any airport
Projects chosen to be funded with discretionary funds are based on what? (2)
- National Priority System
2. Ability to start work during the fiscal year the grant was assigned or 6 months (whichever is later)
What % of discretionary funds are used for the military set aside program?
4%
AIP was funded at above $3.2 Billion, what percent of discretionary funds are available to reliever airports?
.66%
To be considered a reliever airport for the discretionary funds available what are the requirements (4)
- 75,000 annual operations
- > 5,000’ runway with instrument landing procedure
- > 100 based aircraft
- > 20,000 hours of annual delays relieved
What is the minimum amount that must be available in AIP funding for Capacity/Safety/Security/Noise discretionary funds after all apportionment and set-asides?
$148 million
According to the AIP handbook, what % of is the federal share at large and medium hub airports?
75%
According to the AIP handbook, what % of is the federal share at small, non-hub, and GA airports?
90%
According to the AIP handbook, what % of is the federal share at large and medium hub airports for noise implementation projects?
80%
What office typically handles the AIP funding decisions?
FAA ADO
Congress passes legislation every 3-4 years that appropriates funding known as
Reauthorization bills
If a reauthorization bill isn’t passed sometimes congress passes a shorter term bill known as?
Continuing resolution
How many continuing resolutions occurred before the FAA Modernization and Reform Act of 2012?
22
How long was the 2012 FAA shutdown?
10 Days
What kind of funds are the first to be issued to states and airports?
Entitlement funds
Who distributes the money for Discretionary funds?
Office of Management and Budget
What does the Office of Management and Budget allow the FAA to do?
To obligate Congressional Apportionment with a financial plan
Who is State apportionment funds available to? (3)
- Non-primary commercial service
- GA
- GA-Reliever
What is the term when the state assumes responsibilities for administering AIP grant at “other than primary” airports
Block-Grant states
Upon execution of the grant agreement the US government is: ________
Obligated to pay the amount specified in the grant
Obligations are processed through the FAA in what 2 steps
1) Reservation of funds before the grant is signed
2) “obligation reported” when the grant is signed
What is the name of the electronic grants payment system?
eDelphi Invoicing System
Who must initiate a payment request for a grant?
Airport sponsor
Airports must initiate a payment request for projects accomplished in accordance with what?
- Project Progress and receipt of contractor invoices
2. must include appropriate documentation
Who assigns the appropriate approval process for grant distribution?
FAA Regional Office or ADO
What does Grant Assurance 34 Policies Standards and Specifications Require regarding the grant to follow? (2)
- Advisory Circulars
2. Special Conditions
What phrase is used to describe a collection of FAA Regulations, adjudications, various statutes, Grant Assurances, Advisory Circulars, and court decisions?
Airport Law
Typically Airport law deals with what items? (6)
- Regulatory Compliance
- Tenant Relations
- Financing
- Airport Operations
- Part 139 Certification and Safety Management Systems
- Airport Development Issues
What is one especially key point regarding an airport’s relationship with the FAA
The Federal Government has considerable authority over Airports
What decisions might put you on the FAA’s bad side?
- Airport attempts at price regulation
- route regulation
- restriction on air carrier service
- unreasonably restricting aircraft operations
- unjustly discriminating against a user
- airport revenue not being used
Once an airport has accepted AIP grant funding that airport is in a _______________
Closed Fiscal System
Money that was collected by O’Hare airport is going to be expended at Midway Airport as both airports are part of the Chicago Department of Aviation. STOP! someone yells, isn’t O’Hare considered a closed fiscal system? Is this true?
No. Revenues generated by the airport must be expended at the airport OR WITHIN THE AIRPORT SYSTEM AS PART OF A LARGER AUTHORITY
What is the source of most Part 16 complaints
2
Violations of grant assurances centered around
- Unjust Discrimination
- Improper use of Airport Revenue
What is the FAA’s overall position on what hangars can be used for?
Hangars should be used to store an aircraft (approved aeronautical use)
At Elbow Lake Airport one hangar operator decided to put a bed in his hangar and sleep there. Is this permissible by the FAA?
No,
Using a hangar as a residence, using it for general storage of non-aeronautical items (boats, file boxes containing items that are not related to aeronautical use), activities that impede the movement of aircraft, storage of inventory unrelated to an aeronautical use, using it as a base of operations for a non-aeronautical business—all would be considered not permissible under FAA policy (FAA, 2016)
At Crookston airport one hangar owner is using it as an office for his business selling pants. Is this permissible by the FAA?
No.
Using a hangar as a residence, using it for general storage of non-aeronautical items (boats, file boxes containing items that are not related to aeronautical use), activities that impede the movement of aircraft, storage of inventory unrelated to an aeronautical use, using it as a base of operations for a non-aeronautical business—all would be considered not permissible under FAA policy (FAA, 2016)
Why is using hangars for non-aeronautical purposes considered not permissible by the FAA?
Because the airport accepts AIP funds, the federal government is subsidizing a non-aeronautical function of the airport
Under what FAR Part pilots may perform preventative maintenance on their own aircraft as long as it is not used in a commercial flight operation?
FAR Part 43 Maintenance, Preventive Maintenance, Rebuilding, and Alteration
Primary Airports serve a minimum of how many enplanements?
> 10,000
Non primary commercial service airports enplane how many passengers annually?
2,500-10,000
What are the 5 categories of non-primary airports?
- National
- Regional
- Local
- Basic
- Unclassified
Each Large Hub serves a minimum of what percent of air traffic
> 1%
Each Medium Hub serves what percent of air traffic
0.25% - 1%
Each Small Hub serves what percent of air traffic
0.05-0.25%
Each Non-hub Primary serves what percent of air traffic?
<0.05% but at least 10,000 annual enplanements
Who owns a Joint Use Airport?
The Department of Defense
How do civilians gain access to a Joint Use Airport
Government leases a portion of the airfield to civilian use
Who owns a Shared Use Airport
U.S. Government Owned
How does a Shared Use Airport Differ from a Joint Use
Shared Use - Co-Located, portions of movement areas and safety areas are shared
Joint Use - Government leases a portion of the airport for civilian use
Who is the main customer of an airport?
The Pilot
At what level is a Part 13 complaint filed?
ADO
Who do you submit a Part 16 complaint to?
Office of the Chief Counsel of the FAA
This type of complaint is a public method of reporting compliance violations of federal laws affecting air transportation
Part 13
How can a Part 13 complaint be filed? (2)
- Verbally
2. In Writing
During a Part 13 Complaint, what will the FAA do? (4)
- Evaluate Facts
- Clarify the rights of Airport and complainant
- Assist in resolving the dispute
- Give sponsor the chance to comply voluntarily
The ______________ provides services that directly benefit the operations of their members and strives to advance the international helicopter community by providing programs that enhance safety, encourage professionalism, and foster economic viability while promoting the unique contributions vertical flight offers to society
Helicopter Association International (HAI)
This organization was created to ensure uniformity of safety measures, to standardize airport regulations, and to develop a truly national air transportation system responsive to local, state, and regional needs.
National Association of State Aviation Officials (NASOA)
This is a trade association representing manufacturers and suppliers of all things airplanes
Aerospace Industries Association (AIA)
Founded in 1940, _________________ represents the interests of the GA business community before Congress and federal, state, and local government agencies.
National Air Transportation Association (NATA)
The __________ promotes the interests of the association’s members relative to airport occupancy, airport security, competition, and environmental issues
National Air Transportation Association (NATA) Airports Committee
This organization is the exclusive bargaining agency representing 20,000 controllers, engineers, and other safety related professionals at the FAA, DOD,
National Air Traffic Controller Association (NATCA)
What are the two programs that are sponsored by the Aircraft Owners and Pilots Association (AOPA)?
- Airport Watch
2. Airport Support Network
The _______________ was founded in 1947 and is based in Washington, D.C. They are the leading organization for companies who rely on GA aircraft to help make their businesses more efficient, productive, and successful
National Business Aviation Association (NBAA)
The ________________ represents North American regional airlines and ancillary industries supporting regional airlines before the U.S. Congress, DOT, FAA, and other federal agencies.
Regional Airline Association (RAA)
Established in 1939, the ___________________ is a not-for-profit organization dedicated to General Aviation. _____________ has fought to keep GA fun, safe, and affordable.
Aircraft Owners and Pilots Association (AOPA)
________ is the nation’s oldest and largest airline trade association that represents the nation’s leading airlines.
Airlines for America (A4A)
________________ is a nonprofit organization created to bring together law enforcement leaders and facilitate communication between Airport Executives, intelligence officers, and investigators of airport law enforcement agencies to address mutual problems common to the field of airport law enforcement and aviation security.
The Airport Law Enforcement Agencies Network (ALEAN)
___________ promotes safe, reliable, secure, and economical air services for the benefit of the world’s consumers. The commercial standards developed by __________have built a global industry.
International Air Transport Association (IATA)
__________________ was created by Airport Executives around the world to represent common interests and to promote cooperation with associates in the air transport industry
Airports Council International (ACI)
Airports Council International (ACI) has how many world chapters?
5
______________ provides three critical services to its members: airline safety, security, and pilot assistance; representation; and advocacy.
Air Line Pilots Association (ALPA)
What’s the name of routes below 18,000’
Victor Airways
What’s the name of routes above 18,000’
Jet Routes
What must a pilot operating under VFR have in their possession?
Sectional Charts for their route of flight
What do sectional charts identify? (8)
- Airport
- Related Weather
- Navigational and Communication Frequencies
- Navaids
- Light pattern of cities at ngith
- Terrain Features
- Obstructions
- Airspace Info
Colin Rodgers is a VFR pilot flying below 18,000’. He is considering using a Victor Airway. Should he?
No. It can be dangerous for VFR pilots to fly Victor Airways because they may conflict with aircraft on Instrument Flight Plans
Hank Brady is flying from Springfield to Chicago, what is one item a sectional chart might point out to help navigate by ground reference?
Interstate Highways
What two charts may pilots operating on IFR carry?
- Low Altitude En Route (below 18,000) Victor airways
2. High Altitude En Route (above 18,000) Jet Routes
Name the three TSA major mandates
- Take responsibility for all modes of transportation
- Recruit, hire, train security officers for 450 commercial airports
- Provide 100% screening for explosives of all checked baggage
What law established the three TSA major mandates?
Aviation and Transportation Security Act of 2001
What department was TSA originally organized under, and what is it now organized under
Originally: Department of Transportation
Now: Homeland Security
Who must screen every passenger and bag before being loaded onto a commercial aircraft? (2)
- TSA
2. TSA approved contractor
Who operate security checkpoints and baggage screening areas each day?
Transportation Security Officers (TSOs)
What is the regulation for airport security
Title 49 CFR Part 1542 Airport Security
TSA has a regulatory enforcement process addressed under what regulation?
Title 49 CFR Part 1503 Investigative and Enforcement Procedures
Private Flight Operations are regulated under what regulation?
Title 14 CFR Part 91
Darius Mitchell is a salesman renting a plane to go on sales calls. What regulation is his flight regulated by?
Part 91
Bill Gordon is an oil tycoon who owns a 92,000 lb Gulfstream V and has his personal pilot fly him to Las Vegas. What regulation is his flight regulated by?
Size doesn’t matter. Part 91
How can you tell the difference between private and commercial flight.
Does the person or company charge for the flight
Part 91 has two meanings. What are they?
- General operating and flight rules in US Airspace (whether they are GA or commercial)
- Used to describe a private flight operation
Explain the difference between Part 119 and Part 121
Part 119 identifies the requirements for aircraft operators engaged in commercial carriage
Part 121 is for commercial air carrier certification
Maine Airlines flies 30 seat passenger flights daily at 7 AM and 12 PM from Portland to Hartford, Connecticut. What CFR Part is this regulated under?
14 CFR Part 121. This is a scheduled air carrier operation
Define what a scheduled air carrier operation has (3)
- Departure Location
- Departure Time
- Arrival Location
Pear Vacations charters flights for its travel company from Milwaukee to Disney World. What CFR is this flight regulated under?
Title 14 CFR Part 380
Thurman Smith wants to charter a flight from Buffalo to Dallas. What CFR is this flight regulated under?
Title 14 CFR Part 135
CFR Part __________ identifies the requirements for aircraft operators engaged in commercial carriage in passenger carrying and cargo operations (or both)
Part 119
An airport manager can only allow the type of aircraft and air carrier operation that has been approved under its certificate unless: (3)
- It’s an emergency
- The airport is approved as an alternate landing airport for this carrier
- The airport does not routinely receive air carrier service
What are some circumstances that allow an operator of an air carrier to use an airport not certificated under Part 139? (5)
- Operations outside the US
- Domestic operations of 10-30 seats in Alaska
- Emergencies
- Training Flights
- Operations at airports designated as an alternate
What distinguishes a Part 135 flight from a Part 121 flight?
Part 135 flights are unscheduled
What time frame is Part 139 compliance required to covered an air carrier operation?
15 minutes before takeoff until 15 minutes after landing.
A one way or round trip flight performed by one or more direct air carriers and sponsored by a charter operator is called a “__________” and is regulated under CFR ___________
Public Charter
Part 380
What is a direct air carrier?
An air carrier, air taxi, or commuter air carrier that directly engages in the operation of aircraft
An _____________ uses commercial air transportation to move cargo or people but does not own or control the aircraft
Indirect Air Carrier
What does Title 14 CFR Part 125 certify?
- Operation of aircraft not in common carriage
- 20 or more seats
- 6,000 lbs cargo capacity
A ___________ provides over the operational functions performed in providing air transportation
Direct air carrier
What does a flight not being in common carriage mean?
The flight hasn’t been advertised to the public and tickets are not sold
What is an example of a flight being operated under Part 125?
Corporate Shuttles
Office Supplies Plus has a meeting in Reno and wants to take 24 of its highest producing salesmen on its private jet. What regulation is this flight governed by?
Part 125
>20 people
Frank’s Hardware has a meeting in Canton Ohio and wants to take 16 of its best handymen on their private jet for product demonstrations. What regulation is this flight governed by?
Part 91
<20 people
Part 91 means: Part 121 means: Part 135 means: Part 380 means: Part 125 means
Part 91 means: Private Operation
Part 121 means: Scheduled Commercial Flight
Part 135 means: unscheduled commercial flight
Part 380 means: Public charter
Part 125 means: large, certain non commercial flight
Name the examples of non-operating revenue (9)
- Customer Facility Charge (CFC)
- Passenger Facility Charge (PFC)
- Interest income
- Investment Income
- Miscellaneous sources
- Sale of Property
- Property Taxes
- Government Grants
- Subsidies
Name the examples of non-operating expenses (9)
- Amortization
- Debt Service
- Depreciation
- Interest
- Currency Exchange Rates
- Losses/Damages
- Licenses
- Government contribution
- Capital Improvement
Name the examples of non-aeronautical revenue (6)
- Land rent from an industrial park
- Reservation Centers
- Catering Facilities
- Rental Car Operations
- Parking
- Concessions Sales
How are landing fees generally charged at air carrier airports? (2)
- Per operation or
2. per weight/operation basis
What standard term is typically used for charging by weight for landing fees in the United States?
Maximum allowable landing weight
A hybrid landing fee charge of per operation or per weight is allowable provided these 2 tgins
1) The two part fee reasonably allocates costs to users in an economically justified way
2) Total revenues do not exceed allowable costs of the airfield
What act established a pilot program designed to help smaller communities enhance air service?
Wendell H Ford Aviation Investment and Reform Act and its Small Community Air Service Development Program (SCASDP)
The Small Community Air Service Development Program (SCASDP) authorizes who to make a maximum of 40 grants each year?
The Secretary of Transportation
The Small Community Air Service Development Program (SCASDP) makes a maximum of how many grants each year with no more than how many from a single state?
40 each year
no more than 4 per state
To be eligible for a Small Community Air Service Development Program (SCASDP) grant the community must not be larger than what size airport
Small Hub
To be eligible for a Small Community Air Service Development Program (SCASDP) grant besides size what other two factors come into play
- Insufficient Air Carrier Service
2. Unreasonably High Airfares
Grant funds from the Small Community Air Service Development Program (SCASDP) may be used for what purposes? (5)
- Advertising related to improving air service
- Studies to measure air service deficiencies
- Studies to measure traffic loss/diversion
- Employment of new air service development staff on a long term basis
- Advertising or PR agencies to conduct market research
Small Community Air Service Development Program (SCASDP) can also be used for grants for financial incentives such as (2)
- Subsidy or revenue guarantees with provision to air service or fare levels charged or
- ground service providers providing access to air transportation services
The Small Community Air Service Development Program (SCASDP) can grant air subsidy for a maximum period of how many years?
3 years
___________ serve to add or increase commercial air service at an airport
Air Carrier Incentive Programs
What money is required to be used for incentives for additional air service to make sure it’s fair?
Non-Aeronautical Revenue
Why is it that only Non-Aeronautical revenue is used for air carrier incentives
Because it wouldn’t be fair for incumbent airlines to incentivize competition against themselves
__________ are charges that relate to the operation and use of the airfield by aircraft or aviation-related businesses
Aeronautical charges
Some examples of non-aeronautical charges are? (8)
- Terminal Rentals
- Concessions
- Rental Car Fees
- Vehicle Parking
- In-flight catering
- Advertising
- IT services (internet)
- Privilege/royalty revenue
Typically for concessionaires an airport will collect payments in what two ways?
- Percentage of revenue
2. Standard lease rate
____________ relate to those operations and uses that are incidental to the operation of aircraft.
Non-aeronautical charges
Non aeronautical revenue can exceed ________ % at an airport
50%
The airport executive should make an effort to understand what regarding concessionaires? (3)
- Tenant’s customer base behaviors
- How to create a positive shopping environment
- Balance national and local branding
Non-aeronautical charges relate to those operations and uses that are __________ to the operation of aircraft
Incidental
Demand for various products or services at a large airport tend to fluctuate since these customers represent a more ______________than what may be found at a traditional shopping mall.
Global demographic
__________ is a national program created to reduce airport ground emissions at commercial service airports located in designated air quality non-attainment and maintenance areas
Voluntary Airport Low Emissions (VALE)
The VALE Program allows Airport Sponsors to use the _______________ and _____________ to finance low emission vehicles, refueling and recharging stations, gate electrification, and other airport air quality improvements
AIP grants
PFCs
Which of the following has limitations regarding setting rates? Aeronautical or Non-aeronautical?
Aeronautical
The VALE Program allows Airport Sponsors to use the Airport Improvement Program (AIP) and Passenger Facility Charges (PFCs) to finance what? (4)
- Low emission vehicles
- Refueling and recharging stations
- Gate electrification
- Other airport air quality improvements
Grant assurances require the recipients to (3)
- Maintain and operate their facilities safely
- Efficiently
- In accordance with specified conditions
What does the duration of a grant assurance depend upon? (3)
- Type of recipient
- Useful life of the facility being developed
- Other conditions
What was the original term for grant assurances that can be traced back to 1946 when the federal government transferred ownership of airports constructed for World War II to local entities
AP-4 Agreements
How long does a typical grant assurance establish continuing obligations for development, equipment or noise compatibility programs?
Up to 20 years or depending on the useful life of the facility or equipment acquired
How long does a typical grant assurance establish obligations for for real property acquired?
No Limit
Grant Assurances balance what three competing public interests?
- They allow the airport executive to better manage local affairs
- Meet the requirement of the FAA to ensure federal funds are effectively used to meet the need for public air transportation
- Meet the goal of the federal government to promote DBE programs
A key component of the restrictions of grant assurances is that airports must adhere to the assurances and also seek to correct __________ that may previously exist
Non complying conditions
What happens if an airport does not seek to correct non complying that may previously exist?
- They risk losing future FAA funding
2. Risk FAA requesting previous grant money back
Grant assurances are primarily managed by the FAA through __________ which provides guidance to FAA personnel on interpreting and administering the ongoing commitments made by sponsors to the Federal Government
Airport Compliance Manual
FAA Order 5190.6
Where can one find out if a publicly or privately owned airport is obligated by agreement to the federal government?
- Airport Master Record (FAA 5010 Form)
2. Order 5190.2R List of public airport affected by agreements with the federal government
An airport is placed on the Airport Non Compliance List if one of what 5 things happens?
- Airports with a formal finding of noncompliance under Part 16
- Airports listed in AIP
- Certain Violations of US Code
- Airports clearly in noncompliance despite FAA requests for corrective action
- Airports where violations are so egregious
If the airport is on ____________ it is not eligible to receive grant money
Airport Noncompliance List (ANL)
While some of the assurances the grantee has to follow expire after 20 years, assurances related to: __________ stay in place for the existence of the airport (4)
- Exclusive Rights
- Airport Revenue
- Civil Rights
- Real Property
Name the 4 main items that grant assurances require the operator to do
- Maintain the airport in good condition
- Grant no exclusive rights
- Operate the airport in the public interest
- Use non-aeronautical land to generate revenue to support the airport’s aviation needs
What are the 4 things the FAA will do to resolve a part 13 complaint?
- Evaluate the facts surrounding the filing
- Clarify the Rights and responsibilities of the airport sponsor and complainant
- Offer assistance to resolve the dispute
- Provide the sponsor the opportunity to comply voluntarily
In a Part 13 dispute, if a mutually agreeable resolution is not possible The FAA will make a preliminary determination based on the facts presented usually within how many days?
120 Days
Do Part 13 complaints have a binding timeline?
No
A Part 16 complaint is filed with whom?
The office of the chief counsel of the FAA
Who may dismiss a Part 16 complaint on procedural grounds?
The Director of the Office of Airport Safety and Standards
If a Part 16 complaint is not dismissed, the FAA will notify the complainant and respondent within how many days?
20
The airport is then required to file a response answer within how many days?
20
An airport response to a Part 16 complaint should ________ or _______ the allegations
Admit
Deny
After the initial airport response, the Part 16 process allows both the complainant and the respondent how many additional responses each?
1
Once a complaint under Part 16 is filed, the FAA normally makes an initial compliance determination within how much time?
6 Months of the filing date
The 6 month time frame allows the complainant and airport owner how many rounds of responsive pleadings?
2 each
The 6 month deadline for a Part 16 complaint is only for the ___________________
Initial Compliance Determination
What side is the burden of proof on in a Part 16 complaint?
The complainant
The FAA will issue a non-final decision within how many days of the last pleading date?
120 Days
How long does either party have to appeal after a Part 16 decision after a non-final decision has been made?
30 days
If the FAA chooses to initiate its own investigation without having received a formal complaint, the parties must respond to the FAA within how many days of notice served?
30 Days
What grant assurance most directly requires the airport to be operated in accordance with minimum standards?
Grant Assurance 19 Operations and Maintenance
Minimum standards should be imposed why?
To ensure that an adequate level of safe and efficient services are available to the public
The FAA encourages minimum standards to be followed by whom?
Commercial operators conducting aeronautical activities
What are specifically called out as not needing to be included in minimum standards?
- Flying Clubs
- Not-for profit flight operations
- Non-commercial hangar storage
Are concessions covered under grant assurances to be included in minimum standards
No
What are examples of minimum standards for aeronautical operations?
- Minimum leasehold size
- Required Equipment
- Hours of operation
- Fees
What FAA order has information on Minimum Standards
5190.6B Airport Compliance Manual
The benefits of minimum standards are what? (6)
- To promote Safety
- Protect airport users from unlicensed providers
- Enhance the availability of adequate services
- Promote orderly development of airport land
- Provide a clear and objective distinction between service providers that will provide a satisfactory level of service and not
- Prevent disputes between aeronautical providers
What is the FAA’s general viewpoint regarding minimum standards?
If an entity can meet an airport’s minimum standards, then it should be allowed to conduct business with or at that airport
Minimum Standards are reasonable, not __________, attainable, uniformly applied and reasonably protect providers of aeronautical services from unreasonable competition;
Unjustly discriminatory
Should the same minimum standard apply to flight schools and air carriers at an airport?
No. Minimum Standards are relevant to the activity for which they apply
What conditions are there of minimum standards? (5)
- Apply to ALL aeronautical services
- Impose safety and efficiency
- Not unjustly discriminatory
- Relevant to the activity for which they apply
- Provide for those who meet standards to offer services
According to minimum standards, a lessee is required to furnish stated services __ and on a(n) __________ basis to all users
reasonably and unjustly discriminatory
What two grant assurances in tandem with Grant Assurance 19 help to address the application and management of minimum standards?
GA 22 Economic Nondiscrimination
GA 23 Exclusive Rights
Peoria airport wants to use Willard airport’s Minimum Standards verbatim, what does the FAA think of this?
They are against. the FAA does not support “fill-in-the-blank” MS nor the blanket adoption of another airport’s MS because of the high probability that the document will need to be significantly modified to meet the need of the specific airport in question
May an airport sponsor prohibit or limit any given type, or class of aeronautical use of the airport if necessary for safety?
Yes
May an airport restrict an individual user of a specific type of aircraft and then allow other users of that same aircraft type to operate?
No
A use restriction that is challenged by an aeronautical user requires concurrence from whom to determine if the restriction is reasonable?
FAA Flight Standards and/or
Air Traffic
THEN
The ADO or Regional Airports Division
Is it considered unjust discrimination to not allow touch and go operations at a busy air carrier airport?
No
Is it considered unjust discrimination to not allow banner towing at an airport?
No.
Is it considered unjust discrimination to not allow aircraft without the proper communication equipment?
No
When is an exclusive right in accordance with Grant Assurance 23 allowable
If it would be unreasonably costly, burdensome or impractical for more than one FBO to provide such services, and if allowing another FBO would reduce spaced already leased to others
Can Signature lease all the land at Waukegan airport in order to not have any competition?
No. the exception of not having space does not allow an airport to lease all available land to an entity to prevent business access
Elkhart airport just wrote a minimum standard for an FBO that was generic, but specifically tailored for only one client to be able to qualify, is that allowed?
The FAA prohibits an MS written that is unreasonable and manipulated to protect the interest of an existing tenant
What is the notable exception to the prohibition of granting exclusive rights
If the airport sponsor elects to provide any or all aeronautical services themselves.
If an airport sponsor chooses to provide all aeronautical services himself, can he hire a contractor to do it for him?
No. It must be with his own personnel and resources
The Sponsor may establish a separate rate, fee, and rental structure for the use of airport facilities depending on whether an air carrier chooses to assume the obligations of a ________ carrier to a sponsor’s airport use agreement.
Signatory
The __________ standards provide the regulatory requirements for airport security related systems such as perimeter intrusions, biometrics, and the identity management system
Radio Technical Commission for Aeronautics
A __________ provides changing requirements to the Airport Security Program of a commercial service airport
TSA Security Directive
A _________ provides intelligence information for, or suggest best practices in the domain or, airport security
TSA Information Circulars
What three documents provide suggestions of best practices for airport management?
- Program For Applied Research in Airport Security (PARAS)
- Radio Technical Commision for Aeronautics (RTCA)
- Airport Cooperative Research Program (ACRP)
TSA Security Directives and Information circulars are considered _________________ documents and are not intended for public dissemination
Sensitive Security Information (SSI)
TSA Security Directives and Information Circulars are applicable to what kind of airports?
Commercial Service Airports
If an airport took money from the Federal Aid to Airports program it was held to what?
Sponsor Assurances
To be eligible for funding from the Federal Aid to Airports program, the airport had to be in the
National Airport Plan (NAP)
What percent of the funding did the federal government offer as part of the Federal Aid to Airports Program?
50%
The Federal Aid to Airports Program of 1946 provided funds mostly for what kind of development?
Runway and Taxiway
What kind of airport user is this: Specialized Aviation Service Operator (SASO)
Aeronautical User
What kind of airport user is this: Concessionaires
Non-Aeronautical User
What kind of airport user is this: Passengers
Community
What kind of airport user is this: Aircraft Manufacturers
Aeronautical Users
What kind of airport user is this: FAA, TSA, Customs
Government Entities
What kind of airport user is this: Federal Protective Services
Government Entities
What kind of airport user is this: US Military
Aeronautical Users
What kind of airport user is this: Rental Car facilities
Non-Aeronautical Users
What kind of airport user is this: Industrial Parks
Community
Is a residential homeowner considered a community stakeholder?
If it’s within the airport’s influence area
What kind of airport user is this: Private aircraft operators
Aeronautical Users
Name the 4 main airport stakeholders
- Government
- Aeronautical Users
- Non-Aeronautical Users
- Community
_________ and _________ desire an airport that is “good for business.” They also desire a level playing field
FBO’s and SASOs
___________ operators often desire their own fueling abilities/affordable fuel and consider a great deal of privacy.
Corporate Aircraft
____________ desire efficient passenger, baggage, cargo, and aircraft throughput
Airlines
_________ desire space for their aircraft, office and administrative facilities and amenities for passengers
Airlines
Airport Revenue can be used for: (8)
- Capital or operating costs of the airport system
- Promotional expenditures to increase air travel
- Cooperative airport/airline marketing
- Reimbursements to sponsors of capital
- Support the community with airport operations
- Mass transit located entirely on airport
- Costs Incurred by government officials for services to airport
- Lobbying/attorney fees to support the airport
What law was passed requiring certain airports that receive AIP grants to make available certain public financial information?
1994 FAA Authorization Act
Which Grant Assurance discusses the reporting of financial information?
Grant Assurance 26 Reports and Inspections
What size airports need to file Form 5100-126 and 5100-127
Commercial Service airports enplaning 2,500 passenger or more
How soon after the end of the fiscal year should form 5100-126 and 5100-127 be submitted?
120 days
Form 5100-126 Financial Governmental Payment Report requires sponsors to report what?
Revenue paid to other units of government and on compensation the airport received for services and property provided
_________ are used to account for the financing of goods or services provided by one department of government to another on a cost reimbursement basis
Internal Service Funds
Form 5100-127 Operating and Financial Summary requires the airport to submit what?
A breakdown of revenues and expenses by:
- Aeronautical Operating revenue
- Non-Aero operating revenue
- Non operating revenue
__________ is the process of recording all financial transactions in a journal. The practice is often affiliated with the concept of double-entry accounting
Bookkeeping
_________ is the use of accounting data to calculate and report cash flows, profit, and loss of a financial entity. It puts accounting information into a form that is easier for managers and outside personnel (i.e. non-accountants) to understand, in order to assess the success of the company or entity
Financial Accounting
__________ is the process of checking the financial records of a company or entity’s owners and accountants to ensure the integrity of the information
Auditing
__________ presents detailed information about individual products, services, or managers that is used to make decisions about costs, pricing, and who to promote.
Management Accounting
With regards to finances, all sponsors are required to make available a(n) ____________
Annual Budget
_________ are used to account for operations that are either finance-operated similar to private business.
Enterprise Fund
Airport financial statements can be found in which of two places?
- 10-Q Quarterly Reports
2. Annual Report
What are the 3 most common financial documents?
- Statement of Net Assets
- Statement of Activities
- Cash Flow Statement
The _____________ is a statement that accounts for items controlled by the entity and the liabilities owed to others
Statement of Net Assets
The _____________ shows revenues minus expenses
Statement of Activities
The ____________ shows how much money the company had at the beginning of the reporting period and how much remained at the end
Cash Flow Statement
The ____________ contain notes which include details about the company’s accounting, pensions, stock options and income taxes
Quarterly Reports
The quarterly report contains information on the company’s accounting, pensions, stock options and income taxes as well as _______________
Management’s Discussion and Analysis
This type of budgeting divides expenditures by activities with the emphasis on the need for trade offs between different activities
Program Budgeting
__________ budgeting states that every function within an organization is analyzed for its needs and costs.
Zero-Based Budgeting
_________ budgeting lists what each administrative unit is trying to accomplish, how much it plans to do, and with what resources
Performance Budgeting
This kind of budget lays out what the program costs and what they achieve and the criteria of productivity for the choices between programs
Performance Budgeting
________ budgets list each department and assigns a sum of money to be spent as needed. They can be vague or specific, the more detailed the less flexibility the manager has
Line-Item Budget
_________ budgets must prioritze, rank, and justify its needs and only those items that meet a certain limit are funded.
Zero Based Budgeting
_________ allows for policy makers to review spending decisions and force comparisons between different entities
Program Budgeting
___________ budgeting focuses on changes in funding rather than on the amount appropriated for the previous budget cycle
Performance Based Budgeting
Under _________ budgeting, resources are allocated on the basis of goals, objectives, and strategies. These expectations are then translated into measures of effectiveness and efficiency
Program Budgeting
Some options for hazard removal and mitigation as part of GA 20 Hazard Removal and Mitigation are (3)
- Properly Mark and Light the obstruction
- Secure land to prevent incompatible land use
- Remove the obstruction
The ________ is the total of all costs associated with providing airfield facilities and services to aeronautical users.
Rate Base
When establishing the rate base, the method must be _______, _________, and ________
- Reasonable
- Consistent
- Transparent
Besides the cost of maintenance and capital projects for aeronautical uses, what other factors can be taken into account with setting the rate base?
Reasonable environmental costs
What is considered some reasonable environmental costs? (4)
- Remediating contamination
- Mitigating environmental impacts from airport projects
- Noise abatement mitigation measures
- Insurance related to environmental liability
If there is a rate dispute by an air carrier what are both sides responsibilities
- Air carrier pays the charges but under protest
2. Air operator must not prevent any complainant from using facilities while the complaint is being adjudicated
Unless otherwise agreed upon between aeronautical users, the airport operator must allocate capital and operating cost among cost centers with what two pieces of guidance?
- Cost of airfield facilities and services directly used by aeronautical users
- Costs of airport facilities that are used for both aeronautical and non-aeronautical if the facility supports the airfield activity reflected in the rate base (ARFF, law enforcement, snow removal, etc.)
What are the methodologies that can be used for setting the rate base? (3)
- Historic Cost Valuation
- Direct Negotiation
- Objective determination of fair market value
Can different carriers be charged different rates
Yes. based on signatory or non signatory carrier status
Airport operators should be expected to provide what information to aeronautical users regarding changes in rates and charges? (4)
- Historic Financial Info for the last 2 years
- Economic, Legal, Financial justifcation for changes
- Traffic info for the last 2 years
- Planning and forecast information
When can two airports combine rate bases?
- The airport proprietor also sponsors the 2nd airport
- Second airport is currently in use
- Costs of the other airports are reasonably related to benefits they provide the 1st such as GA traffic relief