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Issue #13-13,  April 1, 2013


TOP NEWS | ADVOCACY | FEATURED | INTERNATIONAL | REGIONAL | NBAA NEWS | MEMBERSHIP

TOP NEWS

FAA: Contract Air Traffic Control Tower Closures to Begin April 7
The Federal Aviation Administration (FAA) has announced its schedule to end funding to 149 federal contract towers (FCTs) in three phases over the next six weeks, with the first set of closures to occur on April 7. According to the FAA, 24 FCTs will lose federal funding on that date, followed by 46 additional facilities on April 21. The remaining towers on the list will be shuttered on May 5. FAA officials took into account some of the concerns raised by NBAA and other industry stakeholders, as 40 towers originally slated for closure will now remain open. Read more about the upcoming FCT closures.

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NBAA Members: Is the Sequester Impacting Your Customs Services?
NBAA wants to hear from Members about any effects from sequestration at Customs and Border Protection, as pilots entering the country may be the first to experience significant effects as the impact of across-the-board cuts to government agencies takes hold. For example, staffing reductions throughout that agency, including at U.S. ports of entry, may lead to longer processing times for aircraft flying into the United States. NBAA remains engaged in talks with multiple federal agencies on ways to mitigate the impact from the sequester on business aviation operations. NBAA Members may assist those efforts by reporting any delays or other unusual situations at U.S. entry points to the Association at ops@nbaa.org. Read more about the possible impact on Customs and Border Protection from sequestration.

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NBAA, NATA Hold Productive Meeting with IRS on Federal Excise Tax Issues
In an ongoing effort to address the IRS enforcement position that the 7.5 percent federal excise tax (FET) is due on a wide variety of non-commercial flight operations, NBAA and the National Air Transportation Association (NATA) met last week with officials from the IRS Chief Counsel's office. The associations explained previous guidance on FET applicability to aircraft management companies is unclear, and Members face uncertainty regarding their potential retroactive and future tax liability. The IRS must provide clear guidance, consistent with applicable law, before imposing liability for retroactive taxes. At the meeting, IRS officials committed to request the necessary resources to develop additional guidance in an open and public process. NBAA and NATA are also actively pursuing a strategy with policymakers to pause existing audits on these issues while guidance is developed. Learn more about the FET issue.

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At Major Washington U.S. Chamber Forum, Bolen Emphasizes: 'No Plane, No Gain'
An industry panel moderated by NBAA President and CEO Ed Bolen on "Future Trends in Aviation" at the U.S. Chamber of Commerce in Washington on March 28 was also an opportunity to stress the importance of business aviation to citizens, companies and communities in the United States. The value of business aviation in a highly competitive global marketplace was on display during the chamber's 12th Annual Aviation Summit, where NBAA was among the sponsoring organizations. The event featured a large banner, produced by NBAA, showcasing individuals from across business aviation who have been featured in the most recent ad campaign produced for the No Plane No Gain advocacy campaign. Read more about the chamber event.

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FAA Extends NBAA's Small Aircraft Exemption for Members
The FAA last week agreed to continue allowing small aircraft operators that are NBAA Members to take advantage of tax benefits usually available only to operators of larger, turbine-powered airplanes. Available only to NBAA Members, Exemption 7897 allows operators of piston-powered airplanes, small airplanes and rotorcraft to utilize, among other provisions, limited cost-reimbursement for certain flights, as allowed under Part 91, Subpart F of the federal aviation regulations. The renewal is valid until March 31, 2015, and is not altered from previous exemptions. NBAA's Small Aircraft Exemption does not apply to Part 135 operations or to fractional operators. Read more about the exemption.

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Avionics Sales Report Further Demonstrates Industry's Job-Supporting Value
A new report on the total market value of the avionics industry includes data that demonstrates the economic benefits of general aviation, including business aviation, in supporting jobs and economic activity. According to the 2012 Avionics Market Report, released on March 26 by the Aircraft Electronics Association, combined sales of original equipment manufacturer and retrofit avionics and related equipment totaled $6.279 billion last year. Read more about AEA's report.

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INDUSTRY ADVOCACY

Chicago Newspaper Publishes Mayor's Questioning of White House Business Aviation Rhetoric, Proposals
Nicholas Helmer, mayor of the Chicago, IL suburb Prospect Heights, lent his voice recently to the others signaling support for business aviation, in light of claims put forth by the White House and its supporters concerning tax policies for business aircraft. President Obama has repeatedly called for altering the tax-depreciation schedule for non-commercial aircraft purchases from five years to seven years, a move the White House claims would raise approximately $3 billion in revenue over the next decade to help reduce the deficit. Responding to an op-ed in the Chicago Tribune favoring the altered schedule, Helmer countered that repeated calls to change the schedule are "one particularly confounding example" of policies that would be "hugely detrimental to the general aviation industry as a whole. Read more of Helmer's letter.

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New Hampshire Governor Declares March 2013 GA Appreciation Month
Gov. Margaret Wood Hassan has proclaimed March 2013 as General Aviation (GA) Appreciation Month in the state of New Hampshire. Hassan's proclamation acknowledges that GA and community airports serve a "critical" role in the lives of citizens, as well as in the operation of businesses and other organizations in the Granite State. The proclamation acknowledges the state's "significant interest" in the continued vitality of GA, aerospace, aircraft manufacturing, educational institutions, aviation organizations and community airports and airport operators. Read more about GA in New Hampshire.

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FEATURED STORY

Do You Use Electronic Signatures? If So, Make Sure You're Familiar With AC 120-78
FAA Advisory Circular (AC) 120-78, which provides guidance on the acceptance and use of electronic signatures, has been in existence since 2002, but little is known about it within the aviation community. Although not yet widely embraced, electronic signatures are now becoming a topic of discussion within the industry. This AC is applicable to virtually all of aviation, regardless of whether or not electronic records and signatures are a normal business practice for an organization. Read the latest "Quick Turns" article on this topic in NBAA's Business Aviation Insider magazine for more information. Quick Turns is brought to Members by NBAA's Maintenance Management Committee, which also is coordinating the upcoming Maintenance Management Conference in Fort Worth, TX. Read the latest Quick Turns in a special digital preview edition of Business Aviation Insider.

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INTERNATIONAL NEWS

EU Moves Forward on ETS Suspension
The European Union continues to move forward on its proposal to "stop the clock" for implementing its Emissions Trading Scheme (EU-ETS) on non-EU operators, with a final vote on the moratorium anticipated within the next three weeks. But for operators whose travels take them from one point to another inside Europe, the clock will not stop. Implementation of EU-ETS will take place as scheduled on April 30. The one-year moratorium was suggested in a surprise announcement by EU Climate Commissioner Connie Hedegaard last November. Citing progress made by ICAO in work toward a worldwide system of market-based measures aimed at reducing the aviation industry's carbon output, Hedegaard promised to re-evaluate the moratorium after the ICAO triennial assembly in October. Listen to this week's edition of NBAA Flight Plan podcast to learn more about the status of EU-ETS.

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Educational Opportunities Will Abound at ABACE2013
Continuing a long-established tradition of highlighting educational opportunities at NBAA events, the 2013 Asian Business Aviation Conference & Exhibition (ABACE2013) will offer a robust slate of education sessions of value to experienced business aircraft operators, as well as those who are new to the industry. "We are delighted to announce that education sessions planned for ABACE2013 will build on last year's offerings, with highly valued content and information for operators across the diverse spectrum of business aviation," said Mike Nichols, NBAA vice president, operational excellence & professional development. ABACE2013 will take place April 16 to 18 in Shanghai, China. Read more about the education sessions offered at ABACE2013.

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ABACE2013 Brings Chinese Operators Together to Address Operational, Economic Issues
The Asian Business Aviation Association (AsBAA) will host a meeting for all Mainland China business aircraft operators during ABACE2013. The April 16 meeting will provide an opportunity for operators to meet directly with AsBAA leadership, so they can discuss current issues related to business aircraft operations in China. Read more about AsBAA's meeting during ABACE2013.

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CBAA Seeks Chief Executive to Broaden Advocacy in Canada, Globally
The Canadian Business Aviation Association (CBAA) is searching for a new president and chief executive officer to guide the organization in its expanded role as an advocate on behalf of business aviation interests before international aviation bodies, as well as with Canadian regulators. The CBAA board of directors intends to begin the interview process in early April, said Jean Menard, CBAA's treasurer and chairman of the selection committee. The new leader will succeed Sam Barone, who stepped down on March 17 to become vice chair of the Canadian Transportation Agency. Read more about CBAA.

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REGIONAL NEWS

Inaugural Regional Leadership Roundtable to Discuss Best Practices
NBAA's first-ever Regional Leadership Roundtable, set for April 11 in Englewood, CO, will enable leaders of several dozen business aviation groups around the country to discuss with their peers and NBAA regional representatives the best ways to nurture and promote such groups. Attendees will have ample time to talk in depth about key issues, such as volunteer management, keeping members interested and engaged, marketing regional groups and expanding membership, business aviation advocacy and legislative issues, scholarships, mentoring and internships and regional group goals. Read more about the upcoming Regional Leadership Roundtable.

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Bolen to Speak at North Texas Safety Showdown This Wednesday
The North Texas Business Aviation Association (NTBAA) will host its annual Safety Showdown this Wednesday, April 3, at Million Air on Addison Airport (ADS). NBAA President and CEO Ed Bolen will speak at the event, in addition to representatives from the FAA, International Civil Aviation Organization and Texas Government Flight Services. The all-day event will be held from 7:30 a.m. to 5:10 p.m., with an evening reception following. Sessions will cover upset recovery, weather, international operations and customs, safety management systems and more. For more information, contact NTBAA's Marj Rose at mrose@market-lift.com or NBAA's Steve Hadley at shadley@nbaa.org. To register, visit the NTBAA website.

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Pennsylvania Legislature Considering Aircraft Tax Exemption
Legislators in Pennsylvania are considering Senate Bill 593 and House Bill 1100, which would provide a sales tax exemption for fixed wing aircraft, parts and maintenance. The state already offers a sales tax exemption that applies to helicopters, and businesses have reported hiring additional employees as a direct result of the helicopter exemption. Passage of this legislation would build on an already strong general aviation industry that contributes over $1.31 billion annually to the state's economy. NBAA encourages operators in Pennsylvania to contact their state elected officials to express support for both bills. Learn more about the Pennsylvania legislation.

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Major sporting events always require changes to the host cities involved, including changes to aviation procedures. That will be the case during the Masters Tournament, to be held next week, when the FBO at Augusta Regional at Bush Field (AGS) will reach parking capacity from April 10 to 14. Parking slots are still available on a limited basis earlier in the week. From April 1 to 15, all operators flying into Augusta Regional will need to obtain a prior permission required (PPR) parking reservation before arriving, in addition to the FAA e-STMP slot reservation requirement for arrivals into the Augusta, GA area during the tournament. NBAA strongly encourages operators heading to Augusta next week to contact the Augusta Regional FBO as soon as possible or consider an alternative airport, including Aiken Municipal (AIK), Daniel Field (DNL) and Thomson-McDuffie (HQU). For more information, visit .

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REGIONAL EVENTS

April 3, 2013
North Texas Business Aviation Assn. Safety Showdown
Addison, TX
Learn More

April 4, 2013
Pacific Northwest Business Aviation Assn. Safety Day
Seattle, WA
Learn More

April 11, 2013
NBAA Regional Leadership Roundtable With CABA Meeting
Denver, CO
RSVP Now

April 16, 2013
Carolina Aviation Professionals Assn. Meeting
Charlotte, NC
RSVP Now

April 17, 2013
Ohio Business Aviation Training Standdown
Columbus, OH
Learn More

April 17, 2013
Tampa Bay Aviation Assn. Safety Standdown
Tampa, FL
Learn More

April 25, 2013
Chicago Area Business Aviation Assn. Safety Day
Glenview, IL
Learn More

April 27, 2013
Arizona Business Aviation Assn. Scholarship Benefit
Scottsdale, AZ
Learn More

VIEW ALL REGIONAL EVENTS


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NBAA NEWS

No Plane No Gain Message to Be Focus at Business Aviation Safety Seminar
In addition to focusing on operational safety throughout the business aviation industry, Attendees of the 58th Annual Business Aviation Safety Seminar (BASS), to be held from April 10 to 11 in Montreal, Canada, will hear the message of No Plane, No Gain featured prominently. NBAA has co-sponsored BASS – formerly known as the Corporate Aviation Safety Seminar – since 1998. Kevin Hiatt, president and CEO of Flight Safety Foundation, said his organization changed the event's name for 2013 in order to promote greater collaboration with NBAA and its business aviation members. "By opening our 2013 BASS with the 'No Plane, No Gain' video, it further solidifies both organizations' commitment to each other," Hiatt said. Learn more about BASS.

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Deadline for Compensation & Benchmark Survey Extended to April 3
The NBAA Compensation & Benchmark Survey provides in-depth data on aviation department salaries and operational information to help Members better evaluate their flight departments. Every year, the survey elicits responses from hundreds of aviation departments, providing compensation data on thousands of employees. Only NBAA Member Representatives at companies that operate aircraft are eligible to take the survey. The survey deadline has been extended to April 3, and Members who take the survey by this date will have free online access to the results. Learn more and take the survey.

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NBAA Seeks Candidates for Two Association Positions
NBAA has two job opportunities available immediately for organized and customer service oriented individuals. The manager, conferences & seminars position is responsible for meeting logistics, including planning and managing, coordinating and delivering world class events for the business aviation industry. The administrative assistant position provides varied and complex administrative support to the vice president, operational excellence & professional development and the director, professional development. Review the complete job descriptions.

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Piccione to Speak at GA Issues & Security Conference This Summer
This summer, NBAA is again joining with several leading industry groups, including the American Association of Airport Executives, to present the General Aviation Issues & Security Conference. Held from July 9 to 11 at Chicago Executive Airport (PWK), the conference will focus on the general aviation industry will face in the future. This year, NBAA Senior Vice President for Government for Government Affairs will be participating in a "state of the industry" roundtable at the conference. The event will provide an opportunity to clearly define industry challenges, exchange ideas, explore solutions and network with aviation leaders. For more information, visit the conference webpage.

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PROFESSIONAL DEVELOPMENT

Learn Planning, Compliance and Preserving Value at NBAA Tax Seminar
NBAA is accepting registrations for this year's Business Aviation Taxes Seminar, to be held on May 3 in Washington, DC. This event is designed to help flight department personnel, aviation accountants, attorneys and advisors avoid costly tax and regulatory pitfalls, like flight department and leasing company traps. Attendees will join industry leaders and members of the NBAA Tax Committee for an in-depth examination of key business aircraft finance and tax issues, as well as common ownership structures and strategies for dealing with IRS audits. Register for the tax seminar.

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NBAA FLIGHT PLAN PODCAST

EU-ETS to Start April 30 Within Europe  

As a one-year moratorium on the European Union’s Emissions Trading Scheme (EU-ETS) moves closer to reality, implementation of EU-ETS within Europe will take place as scheduled on April 30. Learn more in this week’s edition of the NBAA Flight Plan podcast.

Listen and subscribe now.



NBAA EVENTS

April 10–11, 2013
58th Annual Business Aviation Safety Seminar
Montreal, Canada

April 16–18, 2013
Asian Business Aviation Conference & Exhibition (ABACE2013)
Shanghai, China

April 30 – May 2, 2013
Maintenance Management Conference
Fort Worth, TX

May 3, 2013
PDP Course: Technical Operations Manual Workshop
Fort Worth, TX

May 3, 2013
Business Aviation Taxes Seminar
Washington, DC

May 21–23, 2013
European Business Aviation Convention & Exhibition (EBACE2013)
Geneva, Switzerland







 

NBAA BENEFIT SPOTLIGHT

Save on NBAA’s Events Throughout the Year


Every event that NBAA hosts, from Regional Forums across the country to conferences aimed at each flight department discipline to the flagship NBAA Business Aviation Convention & Exhibition, offers a Members-only discount on registration. With average savings of about $200 per event, it literally pays to be a Member! The more events you attend, and the more employees you send, the more you'll save. There are events throughout the year, in convenient locations around the world.

See the list of upcoming events.


ABOUT NBAA UPDATE

NBAA Update is the National Business Aviation Association's weekly e-newsletter providing a synopsis of the latest operational, regulatory and legislative news for the business aviation community, as well as information about NBAA activities, Member benefits and upcoming industry events. Share feedback at update@nbaa.org.

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