FAA New Advisory CircularsMinimum Standards, AC 150/5190-7
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• Purpose is to ensure a safe, efficient, and adequate level of
operation and services offered to public.
• Compliance should be part of the lease agreement
Minimum Standards, AC 150/5190-7
Developing Standards
• Considerations in applying the standards
• Apply to all aeronautical service providers
• Conditions to ensure safe, efficient operation in accordance with FAA
rules, regulations and guidance
• Reasonable, not unjustly discriminatory, attainable , uniformly applied and
reasonably protect investment of aeronautical service providers from
competition not making a similar investment.
• Relevant to the activity
• Opportunity for newcomers who meet standards to offer services within
the market demand.
• Encourage development of standards for ventures the sponsor desires to
attract (part of a competitive solicitation)
• When changing standards ensure it is not applying unreasonable
standards or creating unjust discrimination against similarly situated users.
• Self -fueling is not a commercial activity a separate document (Rules and
Regulations or lease agreement) should address those requirements.
Minimum Standards, AC 150/5190-7
TTF Operators
• No obligation to permit TTF access
• May undermine minimum standards
• Must retain legal right to require the
TTF operator to conform to the
requirements of any existing or
proposed grant agreement or Federal
property conveyance obligation
(operating safety and equitable
compensation for use of airport)
• Any agreement should be reported
to ADO with full statement of
circumstances, copy of proposed
access agreement for FAA review
for consistency with obligations
and incorporation into ALP.
Minimum Standards, AC 150/5190-7
TTF Access Agreement
• Should specify:
• The rights of access granted
• Payment provisions providing
parity w/ on airport tenants &
equitable compensation for
airport use.
• Expiration date
• Subordination to grant
assurances & obligations
• Express right to
terminate/amend to ensure
compliance
• Insurance/indemnity
• Default/termination provisions
• Prohibition on sale or
assignment of the agreement
Minimum Standards, AC 150/5190-7
Sample Questions for Specific Services/Activities
• Skydiving —
• May prohibit for safe
operation — subject to FAA
approval.
• Safety hazard to operations?
ADO contacted and FS, and
AT assessed
• Drop zone safely established
on airport? AC-90-66A and
14 CFR 105 followed?
• Advised ATC facility and
concerns addressed
• Determine impact on
instrument approaches or
nearby IFR.
• Fuel Sales -- # days fuel supply
available, liability insurance &
indemnity
• Personnel Requirements —
training/qualifications of those
engaged in the service
• Flight Training — Coordination &
contacts with the local FSDO
Minimum Standards, AC 150/5190-7
Sample Questions for Specific Services/Activities
• Ultralight Vehicles & Light Sport
Aviation
• AC-90-66A and 14 CFR 103
followed?
• Safety hazard to normal
aircraft operations? FS
reviewed and issued finding?
• Airspace study needed? AT
reviewed and issued finding.
Exclusive Rights, AC 15015190-6
• Safety & Efficiency: May deny access for safety and efficiency reasons
• FAA is final authority on safety.
• ADO/RO will get assistance from FS and AT to assess
reasonableness and whether unjust discrimination results from
restrictions.
• Self -Service: Cannot impose unreasonable restrictions on service
performed by the owner/operator.
Exclusive Rights, AC
Exceptions
150/5190-6
• Single Activity is not itself evidence of violation
• Cannot have one FBO merely for convenience
• Cannot deny qualified party an opportunity
Single Activity may expand as needed even if it takes all available space,
however
• Cannot lease all available land/facilities to single provider who cannot
put it to productive use Win reasonable time period.
• Can refuse to permit single FBO to expand in order to open airport to
competition.
• May exclude incumbent FBO from participating in competitive
solicitation in order to bring 2nd FBO to create competitive environment
Generally, must avoid use of leases with options or future preferences
such as right of first refusal — may be construed as intent to grant
QUESTIONS ?