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NBAA Update #06-03
Monday, January 16, 2006

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 Send your comments about NBAA Update to Send address changes to

Business Aviation News & Issues
NBAA Introduces FERMS, a New Online Maintenance Tool for Members
The NBAA Forum for Enhanced Reliability and Maintainability Standards (FERMS) is a new web-based tool that provides business aircraft manufacturers and operators with real-time information about business aircraft maintenance and performance. The user-friendly resource will provide real-time aircraft maintenance data, enhancing safety, improving performance and reducing costs. For more information, visit:

Ed Bolen Featured Speaker at Boca Raton Regional Forum This Thursday
NBAA President and CEO Ed Bolen is the featured keynote speaker at this week's Business Aviation Regional Forum, to be held Thursday, January 19 at the Avitat facility on Boca Raton Airport (BCT) in Boca Raton, FL. More than 50 Exhibitors and 25 static aircraft are expected at this day-long event, which also will feature several briefings on topics of interest to the business aviation community. FAA ATC traffic management personnel will be available at the NBAA GA Desk booth throughout the day to answer questions on air traffic management procedures and policies in the Southeast. For more information, visit:

More Than 1,500 Expected at S&D Conference Next Week
The NBAA 17th Annual Schedulers & Dispatchers (S&D) Conference will be held January 25 to 27 in San Antonio, TX. This Conference, NBAA's largest, gives business aviation schedulers and dispatchers the most up-to-date information on issues directly related to their role in the corporate flight department. The event will feature more than 300 Exhibitors – including fuel companies, FBOs, caterers and transportation companies – as well as keynote speakers Gene Kranz, former NASA director of mission operations, and NBAA President and CEO Ed Bolen. Over 1,500 Attendees are expected to attend the event, which will be held in conjunction with six Schedulers Professional Development Program Courses on the following topics: communications skills, corporate aviation ethics, crew resource management, persuasive speech, customer service and international trip planning. For details, visit:

NBAA, FAA and Industry Develop New ATC Tool for Severe Weather Season
Since May 2005, NBAA, in conjunction with FAA and industry representatives, has been involved in a Collaborative Decision Making Workgroup to develop a new traffic flow management (TFM) tool to better address delays associated with the severe weather season. This TFM initiative, called the Airspace Flow Program, is meant to replace multiple ground delay programs in support of SWAP. NBAA and the FAA will present an advanced session on this topic on Thursday, January 26, at the Association's 17th Annual Schedulers & Dispatchers Conference in San Antonio, TX. For more information, contact NBAA's Jo Damato at or view the Airspace Flow Program video at:

International Aircraft Registry Takes Effect; NBAA Initiatives Underway
The Cape Town Convention on International Interests in Mobile Equipment and the Aircraft Protocol, which takes effect on March 1, will have a substantial impact on aircraft transactions involving aircraft and engines that reach a certain minimum size requirement. After March 1, it will no longer be enough to conduct searches and file documents at the FAA, although that must still be done. In addition to dealing with the FAA, operators also must conduct searches and register interests in aircraft and engines at a new international registry. NBAA will address the Cape Town Convention and its impact on business aircraft transactions at its Business Aviation Regional Forum on January 19 in Boca Raton, FL, and Regulatory Hot Topics Forum on February 24 in Grapevine, TX. (See For more information, visit:

What Are the New SIFL Rates for the First Half of 2006?
Standard Industry Fare Level (SIFL) rates are used to compute the value of non-business transportation aboard employer-provided aircraft as required by the Internal Revenue Service Rules Section 1.61-21(g). The DOT has not yet published the SIFL rates for the first half of calendar year 2006; rates are usually released approximately six weeks after they are effective, and NBAA will publish the rates when available. Companies with entertainment use of their aircraft may face deduction limitations as a result of the 2004 American Jobs Creation Act. NBAA has multiple resources available to Members explaining the Jobs Act provisions and IRS Notice 2005-45, which sets the IRS's expectations for how companies will comply with this provision of the Jobs Act. For more information, visit:

Congress Considering Punitive Legislation to Replace SIFL: Members Urged to Voice Opposition
Legislation currently before Congress would effectively abolish the SIFL valuation and require companies to value the personal use of employer-provided aircraft at the higher of either (1) the fair market value of the flight on a comparable aircraft, or (2) the full costs of the flight, including fixed and variable expenses. If enacted, this change would pose a substantial tax increase for all personal flights on employer-provided aircraft. NBAA urges Members to utilize its Contact Congress resource to oppose this harmful proposal for business aircraft use. Choose Option 1 from the list on the Contact Congress web site at:

FAA Publishes Antidrug and Alcohol Misuse Final Rule
On January 10, the FAA published a final rule changing FAR Part 121 Appendixes I and J pertaining to antidrug and alcohol misuse prevention programs for personnel engaged in specified aviation activities. This final rule amends the FAA regulations governing drug and alcohol testing to clarify that each person who performs a safety-sensitive function for a regulator employer by contract, including subcontractors at any tier, is subject to testing. The FAA states that these amendments are necessary because in the 1990s, the FAA issued conflicting guidance about which contractors were subject to testing. All prior guidance on the subject of testing contractors has been rescinded. This final rule takes effect April 10. For more information, contact NBAA's Mike Nichols at or download the Federal Register document in PDF format at:

Europe to Mandate 8.33 kHz Channel Spacing Above FL195
As of March 15, 2007, all European states will require the carriage of radio equipment capable of 8.33 kHz channel spacing for flight operations above FL 195. EU states are publishing aeronautical information circulars advising of the requirement in the ICAO EUR Region. This decision reflects a continuing concern about the critical shortage of very high frequency (VHF) communication channels in the aeronautical mobile radio communication service band (118-137 MHz), and the move should allow for operational improvements. Eurocontrol intends to strictly enforce this mandate on all aircraft. Europe first required 8.33 kHz spacing in October 1999 for aircraft operating above FL 245, and Eurocontrol is now working with the user community on 8.33 kHz implementation below FL 195; a decision about this is expected in 2006. For more information, visit:

Cutter Aviation

Regional News
NBAA's Steve Brown to Speak at Florida Luncheon This Wednesday
The North Florida Business Aviation Association (NFBAA) will hold a luncheon meeting at 12:00 noon on January 18, at the Signature Flight Support facilities on Jacksonville International Airport (JAX). The keynote speaker for this event will be NBAA Senior Vice President of Operations Steve Brown, who oversees NBAA activities relating to aircraft operations and flight department management. Brown will provide a briefing on NBAA activities and answer audience questions. To RSVP, contact NFBAA's Pat Mulvihill at For more information, contact NBAA's Harry Houckes at

Parking Challenges at FBOs at McCarran International Airport
McCarran International Airport (LAS) has experienced severe ramp congestion over the past several weekends, which has resulted in a few instances of the airport being closed to general aviation and aircraft being diverted to other airports. GA operators are strongly encouraged to contact their FBO of choice at LAS prior to operating to coordinate trip details. Unless the GA community becomes accustomed to prior notification at Las Vegas FBOs, a "Prior Permission Required" (PPR) for non-scheduled operations to LAS will be implemented on a more routine basis. Traffic growth to LAS is anticipated to continue to challenge local FBOs' ability to handle surges in GA traffic during high-draw events in Las Vegas. High-draw events/weekends will be NOTAMed in the future, and aircraft without reservations could be turned away. For more information, contact NBAA's Bob Lamond at

Briefs Filed in Court Case Involving Florida's Naples Airport
Briefs have been filed in federal court in a case challenging the FAA's longstanding policy permitting airport proprietors to exercise the exclusive right to provide fueling and other aeronautical services at their airports. In 2004, Jet 1 Center, an FBO at Florida's Naples Municipal Airport (APF), filed a complaint with the FAA claiming, in part, that Naples Airport Authority violated the federal law that generally prohibits exclusive rights at federally subsidized airports by asserting an exclusive right to sell fuel at Naples. The FAA in July 2005 issued a final order affirming its longstanding view that the federal law's ban on exclusive rights at airports does not apply to airport proprietors. Jet 1 Center has appealed this decision to the U.S. Court of Appeals for the 11th Circuit. For more information, visit:

San Diego Group Urges Congressman Issa to Help Keep Oceanside Alive
To bolster support for keeping California's Oceanside Municipal Airport (OKB) open, the San Diego Regional Aviation Association (SDRAA) has urged Congressman Darrell Issa (R-CA 49th) to encourage the City of Oceanside to support OKB. Oceanside serves the business aviation community by relieving McClellan-Palomar (CRQ) of an enormous light-aircraft training burden. CRQ, with more than 193,000 operations annually, is one of the nation's busiest single-runway airports, supporting over 30 NBAA Members and their 66 aircraft. Regional aviation groups such as SDRAA help keep airports alive. For more information about the situation at OKB, contact NBAA's Dan Burkhart at To learn more about or to contact regional business aviation groups nationwide, visit:

Long Island Group Forms Aerospace Education Corporation
The Long Island Business Aviation Association has formed the Aerospace Education Corporation. Modeled after Westchester Aviation Association's successful Aviation Education Corporation, it will serve as a conduit to fund and operate career fairs, which will provide middle and high school students the opportunity to learn about careers in aviation through exhibits, demonstrations and hands-on applications. An important aspect of career fairs is their ability to bring local community leaders, residents and aviation professionals together to better understand each others needs, thus mitigating some of the disagreements between airports and their neighbors. For more information, contact NBAA's Dean Saucier at

Step Up to Leadership Excellence

January NBAA Dispatch Newsletter Now Online
The January issue of NBAA Dispatch, sponsored by FlightSafety International, includes a message from NBAA Schedulers & Dispatchers Committee Chair Kristi Ivey of The Home Depot urging Members to attend the upcoming 17th Annual Schedulers & Dispatchers Conference, January 25 to 27 in San Antonio. The issue also includes articles about Conference keynote speaker Gene Krantz, six Schedulers Professional Development Program (SPDP) Courses to be held in conjunction with the Conference, professional scholarships, technology advice, regional group news and more. The printed version of this issue already mailed to NBAA Member schedulers and dispatchers. To obtain a complimentary printed copy of the issue or be added to the mailing list, Members should contact Review the issue online at:

Nominations for NBAA's Highest Awards Due Feb. 24
NBAA is accepting nominations for its two most prestigious awards, the 2006 Meritorious Service to Aviation Award and the 2006 John P. "Jack" Doswell Award. NBAA Members are strongly encouraged to submit nominations for both awards to NBAA by February 24. Award winners will be officially recognized at the Annual Gala of the NBAA 59th Annual Meeting & Convention in October 2006. For more information about both awards, including nomination guidelines, visit:

Advertising Opportunities in NBAA Membership Directory
NBAA is now accepting insertion orders for the 2006 NBAA Directory of Member Companies, Aircraft & Personnel. The 2006 edition will be available online and in print and will be delivered to NBAA's more than 7,000 Members. For more information, visit:

NBAA Headquarters Closed for King Holiday
NBAA Headquarters will be closed today, Monday, January 16, in observance of the Martin Luther King, Jr. holiday, and will reopen on Tuesday.

Contact Congress

Upcoming NBAA Events
Business Aviation Regional Forum
January 19, 2006, Boca Raton, FL

IS-BAO Implementation Workshop
January 20, 2006, Boca Raton, FL

17th Annual Schedulers & Dispatchers Conference
January 25–27, 2006, San Antonio, TX

Schedulers Professional Development Program Courses
January 23, 24, 28, San Antonio, TX

Professional Development Program Course: Strategic Leadership
February 21, 2006, Dallas, TX

Leadership Conference
February 22–23, 2006, Dallas, TX

Regulatory "Hot Topics" Forum
February 24, 2006, Dallas, TX

Flight Operations Manual Workshop
February 27–28, 2006, Dallas, TX

Management Fundamentals for Flight Departments Workshop
March 1–2, 2006, Dallas, TX

33rd Annual International Operators Conference
March 20–23, 2006, Tampa, FL

IS-BAO Implementation Workshop
March 30, 2006, St. Louis, MO

Business Aviation Regional Forum
April 13, 2006, Dallas, TX

Maintenance Management Conference
April 17–19, 2006, Dallas, TX

Maintenance Manual Workshop
April 20, 2006, Dallas, TX

Professional Development Program Course: Applied Economics and Marketing
April 20, 2006, Dallas, TX

Review the Full NBAA Events Calendar

Review Future NBAA Convention Dates

Flight Department Essentials

Aircraft Charter Consumer Guide

An empty seat is a lost opportunity