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Monday, October 27, 2008

Operational Control Remains Testy Issue at NBAA

Orlando, Fla. – The Federal Aviation Administration announced changes to the operating specifications rule that has been the focus of much attention over the past few years after increased focus on Part 135 operations. At a special meeting during the National Business Aviation Association, more than 125 attendees focused on the issues surrounding operational control for Part 91 aircraft operations – including managed aircraft. The questions centered on Part 91 aircraft being managed by a separate company and who is responsible for flights and insurance.
The change, announced at the FAA-Industry OpSpec Working Group meeting is intended to clarify that all Tier One personnel must be direct employees of the certificate holder. While this issue is clear in FAA guidance, including the FAA’s response to industry Frequently Asked Questions, which was facilitated by NBAA and published by the FAA earlier this year, the OpSpec language needs to be clarified to minimize ongoing confusion. NBAA’s Mike Nichols, vice president, operations, education & economics, moderated the discussion that featured Melissa Harder of Willis Global Aviation and David Norton of the Shackelford, Melton & McKinley law firm.
“One of the things that has been suggested is that the insurance companies need to amend their policies to make it absolutely clear what they will and will not do in certain circumstances,” Melissa Harder said. “Be careful what you wish for, she said, because new policies and contracts could confuse the matter even more.”
Attendees characterized insurance terms for these operations as “tricky.” The terms that the Federal Aviation Administration (FAA) uses to define a legal Part 91 operation, and the terms insurance companies use are similar but carry very different meanings, Harder said.
Operators should have a procedure to ensure their plane, flightcrew, mission and passengers meet all applicable regulations, she advised. “Simply put,” said NBAA, “legal plane, legal crew, legal flight and legal passengers, which is a concept first proposed by Dennis Keith of JetSolutions, LLC at a meeting NBAA held in July 2004 with officials from FAA and DOT on issues surrounding operational control.
NBAA has created a compliance checklist that identifies areas of importance and focus for the FAA and can be used by any aircraft owner or operator as a quick way to audit a flight or series of flights to verify, or identify gaps in, compliance with regulations.
Nichols said that operators of both Parts 91 and 135 aircraft should document their operational control system and ensure their standard operating procedures match their actual policies.
They should also be sure their flightcrew and aircraft management companies are trained on the operational control procedures, and passengers should be aware of who has control of the plane – the owner or management company – during all flights.



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