NBAA Update Archive

NBAA Update #05-25
Monday, June 20, 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 Letter to Members Discusses Plan to Reopen DCA to General Aviation
NBAA President and CEO Ed Bolen today sent a letter to all NBAA Members concerning the plan recently developed by the Transportation Security Administration (TSA) to reopen Ronald Reagan Washington National Airport (DCA) to general aviation. While acknowledging that the TSA's plan contains onerous restrictions, Bolen's letter explains why the plan represents a significant step forward for business aviation at DCA, and discusses DCA in the overall context of NBAA's ongoing work to preserve airport and airspace access for business aircraft across the United States. To review Bolen's letter, visit:
http://web.nbaa.org/member/membership/letters/bolen20050620.php

House Panel Moves FAA Funding Bill
The House Appropriations subcommittee on Transportation, Treasury, Housing and Urban Development has approved a 2006 funding bill that includes $14.4 billion for the FAA. This amount is $877 million above current year funding for the agency. Included in this amount is $8.2 billion for FAA operations and $3.6 billion for the Airport Improvement Program (AIP). The panel also provided $25 million to hire and train nearly 600 new air traffic controllers. Further, the subcommittee boosted proposed spending levels by $8 million to provide additional support for the hiring and training of new safety inspectors in the aircraft certification and flight standard office. The funding measure now moves to the full House Appropriations Committee for consideration, which could occur as early as this week. For more information, contact NBAA's Dick Doubrava at rdoubrava@nbaa.org.

New Legislative Action on Entertainment Use of Corporate Aircraft Deduction Limitations and Excise Tax on Jet Fuel
As noted in previous editions of NBAA Update, the Senate passed the Surface Transportation Reauthorization Act (the "Highway Bill") on May 17, which authorizes surface transportation spending through fiscal year 2009. The Senate legislation includes two provisions that could have an impact on business aviation if signed into law. NBAA Members are strongly encouraged to contact their elected officials and voice their opposition to these provisions. For more information on these legislative proposals and guidance on contacting elected officials, contact NBAA's Lisa Piccione at lpiccione@nbaa.org or visit:
http://www.nbaa.org/govt/20050620.php

NBAA Supports Hawley Nomination to Top TSA Post
NBAA President and CEO Ed Bolen on June 16 sent a letter to Sen. Ted Stevens (R-AK), chairman of the Senate Committee on Commerce, Science and Transportation, strongly recommending the confirmation of Edmund S. "Kip" Hawley to the position of assistant secretary of homeland security. For more information, visit:
http://www.nbaa.org/news/pr/2005/20050616-036.php

NBAA Issues Guidance on FAA Notice 8400.83
The FAA has released Notice 8400.83, which focuses on the responsibility for operational control during Part 135 operations and the use of a DBA (doing-business-as) name. The notice was sent to all Part 135 principal operations inspectors (POIs). This notice is one expected outcome resulting from the FAA's investigation of the February 2005 crash at Teterboro Airport (TEB). NBAA offers affected Members guidance to assist them in their understanding of the FAA notice. Review the notice and NBAA's guidance online at:
http://www.nbaa.org/ops/part135/8400-83guidance.php

Access NBAA's IRS Notice 2005-45 Audio Conference Recording
IRS Notice 2005-45, Deductions for Entertainment Use of Business Aircraft, which provides guidance to aircraft operators on the limitation under 274(e) of the Internal Revenue Code on the deductible amount of trade or business expenses for use of a business aircraft for entertainment, was the topic of a two-hour audio conference on June 16. Questions from NBAA Members were solicited in advance of the conference and representatives of NBAA's staff and Tax Committee provided legislative and regulatory background, an overview of the notice and responses to Member questions. The audio conference was recorded and the two-hour recording is available for download and listening in MP3 file format only for NBAA Members. Download the recording online at:
http://web.nbaa.org/member/govt/jobs2004/20050616telecon.mp3

Perspectives on IRS Business Aircraft Deductions Notice
If your company's business aircraft is used for entertainment travel, the American Jobs Creation Act of 2004 raised your taxes. IRS Notice 2005-45, published on June 13, provides guidance to taxpayers, but what does it mean? Several NBAA Members who are tax attorneys have offered their views on the JOBS Act and IRS Notice. The articles are posted on the NBAA web site at:
http://www.nbaa.org/govt/jobs2004

FBO Hold Harmless Forms: What You Don't Know Can Hurt You
In order to combat exposure to large ground handling losses, some FBOs attempt to limit their insurable losses and reduce premiums by having pilots sign hold harmless forms. The pilot often is told that, unless the form is signed, he or she cannot obtain a certain service or a higher price will be charged for the service. The financial risk exposure to your company and the issues faced by aircraft operators with respect to hold harmless forms are addressed in this month's NBAA's aviation insurance tips article, accessible on the NBAA web site at:
http://web.nbaa.org/member/ops/taxes/riskmgmt/200506.php

ICAO 406 MHz ELT Study to Commence
The International Civil Aviation Organization (ICAO) Air Navigation Commission (ANC) has called for an urgent study and review by the ICAO secretariat, with the assistance of industry, of the current provisions of Annex 6 Parts I, II and III as they relate to the mandatory carriage of automatic emergency locator transmitters (ELTs) that transmit on both 406 MHz and 121.5 MHz. The study is to be completed and presented to the ANC by the end of October 2005, at which time the ANC will decide how best to proceed, including whether or not a deferral of the implementation dates for equipage with ELTs is warranted. To submit comments regarding these requirements, e-mail NBAA's Bill Stine at bstine@nbaa.org. For more information on the current 406 MHz ELT requirements, visit the NBAA web site at:
http://web.nbaa.org/member/ops/cns/elt

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Regional News

TFRs for VIP Travel This Week
Operators should anticipate temporary flight restrictions (TFRs) for VIP travel to Lusby, MD, on June 22, and to Beaver Creek, CO, June 23 through 26. Since TFRs are announced shortly before they go into effect, Members must continue to use all resources to prevent flying into restricted airspace. Operators are urged to review NOTAMs carefully prior to every flight. For more information, visit:
http://www.nbaa.org/airspace/restrictions

Las Vegas ATC Recommends Best Practices to Minimize Delays and Congestion
The FAA and the FBOs at Las Vegas Mc Carran International Airport (LAS) advise operators to minimize delays and congestion by making advanced parking reservations. Recently, pilots landing at LAS have been advised that no parking is available at the general aviation ramp and have then been denied landing. This has become a major issue, caused by a continuing heavy increase in general aviation traffic throughout the week, and has led to increased and lengthy delays. To assist this issue, operators are highly encouraged to make advance parking reservations for Signature Aviation and Las Vegas Executive Air Terminal. The FBOs' main switchboards are staffed 24/7 to accept reservation requests. For more information, contact the NBAA GA Desk Staff at gadesk@nbaa.org.

More on Las Vegas Best Practices
Las Vegas Approach Control and Las Vegas Tower also recommend that when either Runways 19L or 1R are being used for arrivals or departures, and a pilot can accept one of them for use, they should advise the appropriate air traffic facility on initial contact. For example: "Las Vegas Approach N1234 has information (appropriate ATIS) and can accept Runway 1R for landing." Or "Las Vegas Clearance Delivery N1234 has (appropriate ATIS) for VNY and we can accept Runway 19L for departure." Note: Based upon arrival and departure demand, the pilot may or may not be directed to these runways. The purpose is to reduce communications and may expedite arrival or departure during heavy periods of air traffic. For more information, contact the NBAA GA Desk Staff at gadesk@nbaa.org.

South Florida Business Aviation Association Accepting Nominations
The South Florida Business Aviation Association (SFBAA) is accepting nominations from interested parties for several open positions, including the office of vice president and a board member vacancy. The association has been active for several years on behalf of the Florida business aviation community by working to preserve airport access, serving as an information resource and providing charitable support for aviation-related educational institutions. Upcoming planned activities include a golf tournament in September and a general membership meeting in December. To submit nominations, contact SFBAA's Don Roller at Don.Roller@ins-lua.com or Jim Day at jday@flyadi.com. For more information, contact NBAA's Harry Houckes at hhouckes@nbaa.org.

Morristown Aviation Association's Advocacy Effort
Recently, the Morristown (NJ) Aviation Association (MAA) hosted a quarterly meeting of the Morris County Airport Advisory Committee, which is composed of local politicians, elected officials and other interested parties, to address airport-related issues. What set this meeting apart from others is that attendees were invited to tour an aviation department facility and were given a presentation on the role business aviation plays in the National Airspace System and in the local community. This type of "aviation advocacy day" was implemented by the MAA with success, according to MAA's Doug Schwartz of AT&T Aviation, an NBAA Board member. NBAA encourages airport and regional groups to organize local aviation advocacy days at their airports to improve relations with local government officials and communities. For more information, contact NBAA's Dean Saucier at dsaucier@nbaa.org.

Westchester Career Day Makes Positive Impression on Community
The Westchester Aviation Association (WAA) in conjunction with the Aviation Education Corporation recently conducted another successful aviation career day at New York's Westchester County Airport (HPN). The county executive was in attendance, as were several local political figures and members of the airport commission. Among the civilian and military aircraft on display were exhibits that provided local students with a "hands-on" aviation experience. This annual career day is one way that WAA has found to improve relationships with local officials and to foster a better understanding of business aviation in the local community. WAA's Jeff Lee of IBM Corporation, NBAA's vice chairman and treasurer, was pleased with the turnout of students from high schools in the region. For more information, contact NBAA's Dean Saucier at dsaucier@nbaa.org.

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NBAA News

NBAA Announces 2005 Flight Attendants/Flight Technician Scholarship Winners
NBAA and its Flight Attendants Committee are pleased to announce the recipients of the 2005 NBAA Flight Attendants/Flight Technicians Scholarship. This year 41 scholarship awards were made possible by 18 corporate sponsors: AirCare, Air Chef, Alteon, Beyond and Above Corporate Flight Attendant Training, Bombardier Aerospace, CAE/SimuFlite, Castle Kitchens Ltd., Corporate Flight Attendant Training Alliance, The Corporate School of Etiquette, The Darden School at the University of Virginia, Dassault Falcon Jet, FACTS, Flight Safety International, MedAire, Inc., Rudy's In-Flight Catering, STARK Survival, Survival Systems USA Inc., Susan C. Friedenberg Corporate Flight Attendant Training. The scholarship awards were presented during the NBAA 10th Annual Flight Attendants Conference, held June 17 and 18 in Atlanta. For more information, visit:
http://www.nbaa.org/news/pr/2005/20050620-037.php

San Jose Regional Forum Expected to Be Largest Yet
The next NBAA Business Aviation Regional Forum comes to San Jose, CA, on July 7 at the San Jose Jet Center at Norman Y. Mineta San Jose International Airport (SJC). NBAA's Regional Forum is a day-long learning and networking experience designed to meet the needs of the regional business aviation community, and to provide an introduction to local business leaders interested in learning more about business aviation. The San Jose Forum will feature approximately 40 aircraft on Static Display, 80 indoor Exhibitors and hundreds of Attendees. The event also will feature a number of briefings for the business aviation community in the greater Northern California area. For more information, visit:
http://www.nbaa.org/cs/forums/20050707

NBAA Term Life Insurance Program
NBAA now offers a term life insurance program for pilots, developed in conjunction with the Pilot Insurance Center (PIC), an NBAA Member Company located in Addison, TX. The NBAA/PIC term life program is intended to help Members get access to quality coverage at an affordable price. Pilots need not be associated with a flight department to be eligible. Competitively priced term life programs also will be available for other members of flight departments, including technicians, schedulers, flight attendants and administrative personnel. For more information, call the PIC at (800) 380-8376 or visit:
http://www.nbaa.org/membership/piclife.php

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