NBAA Update Archive

NBAA Update #05-17
Monday, April 25, 2005

NBAA Update is the National Business Aviation Association's weekly e-mail newsletter, providing the latest operational, regulatory and political news for the business aviation community. Subscribe for free or review the archives at www.nbaa.org/update. Send your comments about NBAA Update to update@nbaa.org. Send address changes to membership@nbaa.org.

Business Aviation News & Issues

Bolen Leads Panel Discussion at U.S. Chamber Event Focusing on Aviation
NBAA President and CEO Ed Bolen joined U.S. airline executives, academic experts and officials with various industry advocacy organizations at an event on Thursday, April 21 held by the U.S. Chamber of Commerce to discuss the challenges facing the U.S. aviation system. Bolen moderated a panel focusing on short- and long-term solutions for ensuring that the national aviation system is equipped to serve a 21st Century aviation industry. Bolen brought to the panel his experience as chairman of the Federal Aviation Management Advisory Council and as a member of the Commission on the Future of the U.S. Aerospace Industry. His panel included representatives from the FAA's Joint Planning and Development Office, Boeing Company, NASA and World Airways, Inc. To learn more, contact NBAA's Lisa Piccione at lpiccione@nbaa.org. View related photo at:
http://www.nbaa.org/news/photos/20050421

Bolen Participates in FAA Funding Forum
NBAA President and CEO Ed Bolen today represented the business aviation community in a forum to consider changes to the funding mechanism for the FAA. In recent weeks, FAA Administrator Marion Blakey has maintained that the Agency is faced with declining trust fund balances, a reduced general fund contribution and increasing operational costs. These claims indicate a willingness for renewed consideration of general aviation user fees to address revenue shortfalls. The two-day forum Bolen participated in is jointly coordinated by the FAA and the Department of Transportation. Bolen addressed concerns about funding for the FAA and questioned whether consideration of user fees for general aviation is justified. Bolen's appearance in the forum is part of NBAA's ongoing work to represent business aviation on the matter of funding changes for the FAA. To learn more about NBAA's continuing efforts, contact NBAA's Lisa Piccione at lpiccione@nbaa.org.

Senate Finance Committee Actions Affect Aviation Taxes
Last week, the Senate Finace Committee approved the tax portions of the Highway Reauthorization and Excise Tax Simplification Act of 2005. In addition to the extension of the taxes related to the highway trust fund, the committee added several miscellaneous items. Among these are three minor tax modifications relating to aviation and a technical correction to the American Jobs Creation Act of 2004 reinstating the sunset on the tax on jet fuel. For more information, visit:
http://www.nbaa.org/govt/hwyreauth2005

Industry Group Briefs FAA on Part 135 Rest and Duty Proposal
Last week, members of the Flight and Rest subgroup of the Part 125/135 Aviation Rulemaking Committee briefed senior FAA officials on the subgoup's flight and rest proposal. NBAA's Doug Carr chaired the flight and rest subgroup and presented the subgroup's proposal along with representatives from NATA, Aviation Charter Services, Netjets, CJ Systems Aviation Group and ALPA. FAA officials asked many questions about the proposal and stated that they looked forward to receiving the complete recommendation later this year. To view the subgoup's PowerPoint presentation, visit:
http://www.nbaa.org/part135

Strategic Lateral Offset Problems in the NAT Region
The International Civil Aviation Organization (ICAO) has requested the cooperation of International Business Aviation Council (IBAC), of which NBAA is a member, to remind all flight crews operating in the North Atlantic region of the importance of appropriately applying offset procedures. The request arises from an analysis of the use of strategic lateral offsets which has shown that few flight crews have been applying the procedure and that the expected risk reduction has not been achieved. Complete information may be found on the IBAC website at:
http://www.ibac.org/Library/ElectF/navi/navigation.htm

EBACE2005 Exhibits Almost Sold Out Less Than One Month Out
At the 5th Annual European Business Aviation Convention & Exhibition (EBACE2005) next month in Geneva, "The Changing Face of Aviation Infrastructure in Europe" will be the focus of an Opening General Session moderated by European Business Aviation Association CEO Brian Humphries and NBAA President and CEO Ed Bolen. Held from Wednesday, May 18 until Friday, May 20, the show is expected to register several thousand Attendees. With less than one month to go, the event already is nearly sold out of exhibit space, with 255 Exhibiting Companies occupying 864 3-meter by 3-meter booth spaces and 42 static aircraft at Geneva International Airport. By comparison, the 2004 show closed with 247 Exhibiting Companies occupying 728 3-meter by 3-meter booth spaces and 37 static aircraft. For more information or to register, visit the official EBACE site at:
http://www.ebace.aero

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Regional News

Operators Urged to Review and Adhere to TEB Departure Procedures
Teterboro (TEB) airport management and the New York TRACON request that operators departing TEB review the published Teterboro Five and Dalton Departure procedures. Numerous deviations from these published procedures have created safety concerns as they cause conflicts with other traffic in close proximity. When departing Teterboro, operators must strictly adhere to the TEB published departure procedure. For more information, contact the NBAA Operations Service Group at info@nbaa.org or visit the NBAA web site at:
http://www.nbaa.org/ops/airports/teb/ops/

Avoid Travel Delays in Alabama This Week
This weekend's NASCAR Nextel Cup race will be at Talladega, AL. Operators should expect special traffic management program (STMP) procedures and race-related congestion and delays at Talladega Municipal Airport (ASN), Anniston Metro Airport (ANB) and St. Clair County Airport (PLR) from Thursday, April 28 to Sunday, May 1. For STMP details, visit the FAA web site at http://www.faa.gov. For more information, contact NBAA's Dean Saucier at dsaucier@nbaa.org.

Professional Pilots Association to Meet May 4, Feature NBAA Speakers
The Professional Pilots Association's next meeting will be Wednesday, May 4 at the Lane Aviation facility at Port Columbus International Airport (CMH) in Columbus, OH. Featured speakers NBAA Senior Vice President, Operations Steve Brown and NBAA Regional Representative Durwood Heinrich will discuss issues such as user fees, security requirements and airport access restrictions. All NBAA Member pilots in the Ohio region are invited to attend. The event will begin at 6:30 p.m. The evening meal is free to the first 150 registrants, courtesy of Lane Aviation. Reservations are required; RSVP to res@propilots.org. For more information, visit http://www.propilots.org or contact NBAA's Heinrich at dheinrich@nbaa.org.

DFW Air Traffic Operations Meeting to Be Held May 19
Dallas/Fort Worth International Airport (DFW) Air Traffic will host an air traffic operations meeting at 9:00 a.m. on May 19 in the DFW/TRACON/Center Control Tower Conference Room. The purpose of the meeting is to discuss operational issues with the air carriers, regional airlines, airfreight, companies, military and general aviation customers of the air traffic system in the DFW Metroplex area. DFW Tower, DFW TRACON, Fort Worth Air Route Traffic Control Center and DFW Airport Operations all will be represented at the meeting. To attend, fax your name, your company name and requested agenda items to (972) 615-2927 no later than May 6. For more information, contact Greg Juro at (972) 615-2550 or NBAA's Bob Lamond at rlamond@nbaa.org.

North Carolina Group to Meet This Wednesday
The North Carolina Business Aviation Association will hold its quarterly meeting at 11:00 a.m. on Wednesday, April 27 at the VF Corp. facility at Piedmont Triad International Airport (GSO) in Greensboro. For more information, contact NBAA's Dean Saucier at dsaucier@nbaa.org.

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NBAA News

NBAA Holds Successful Regional Forum in New York
Over 1,100 attendees participated in the NBAA Business Aviation Regional Forum last Thursday at Republic Airport (FRG) in Farmingdale, NY. This event was the fourth NBAA Regional Forum in a row to sell out of exhibit space, with 80 Exhibitors and 21 static aircraft on display. FAA's Eastern Regional Administrator Arlene Feldman attended the event. The next Business Aviation Regional Forum is scheduled for July 7 in San José, CA. For more information, visit:
http://www.nbaa.org/forums

50th Annual Corporate Aviation Safety Seminar Starts Tomorrow
The 50th Annual Corporate Aviation Safety Seminar (CASS), co-sponsored by Flight Safety Foundation (FSF) and NBAA, will be held Tuesday, April 26 through Thursday, April 28 in Orlando, FL. This event, the premier forum for the discussion and exchange of safety information for business aviation operators, delivers specific information that can be applied directly to business aviation operations. FSF President and CEO Stuart Matthews and NBAA President and CEO Ed Bolen will welcome attendees during a session on April 27. Review the agenda online at:
http://www.flightsafety.org/cass05_preagenda.html

NBAA Schedules Industry Briefing on Federal Excise Taxes
NBAA's Tax Committee has scheduled an industry briefing for Thursday, May 12 in Boston, MA, to discuss IRS excise tax audits of fractional program and private aircraft management. Several fractional programs and management companies are undergoing IRS audits, ending with different results than expected based on past guidance. Various IRS court cases, private letter rulings and technical advice memoranda have created confusion. Participation is limited and impacted companies must complete a survey prior to attending the briefing. The survey results and government guidance will be reviewed at this meeting. The May 12 briefing will be held in conjunction with an NBAA Federal Tax Forum on May 13, described below. For more information about the May 12 briefing, contact NBAA's Mike Nichols at mnichols@nbaa.org.

Forum Gives Overview of Federal Tax, Securities, Aviation Regulations
Attorneys, tax professionals and flight department staff are invited to participate in an NBAA Federal Tax Forum in Boston on Friday, May 13. After providing an overview of Federal Aviation Regulations that bear on tax planning (including incongruities between IRS and FAA requirements), this one-day seminar will cover topics such as tax depreciation, expensing heavy maintenance for tax purposes, avoiding recapture/capital gains through a like-kind exchange, IRS audit initiatives focusing on aircraft, Federal aviation excise taxes, passive activity losses and the fringe benefit issues associated with personal use of a corporate aircraft. Furthermore, an introduction to the state and Federal "streamlined sales tax project" initiative and a Federal aviation tax regulatory update will be presented. Learn more or register at:
http://www.nbaa.org/cs/fedtax/20050513

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