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NBAA Update #06-32
Monday, August 07, 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 Congratulates Safety Committee Member on Confirmation as NTSB Vice Chairman
NBAA congratulates Robert L. Sumwalt III, who was confirmed by the Senate last week as a member and vice chairman of the National Transportation Safety Board (NTSB). Sumwalt, a member of NBAA's Safety Committee, is a long-time aviation safety advocate and former aviation department manager for South Carolina-based SCANA Corp., a public utility company. Mark V. Rosenker also was confirmed as NTSB chairman. An NTSB member since 2003, Rosenker has served as acting chairman since March 2005. Beginning in 2001 until the announcement of his nomination to the Board by President Bush in April 2006, Rosenker served as deputy assistant to the President and director of the White House Military Office. For more information, visit:

NBAA Urges Owners to Exercise Caution With FAA Registry Priority Requests
When requesting priority registrations from the FAA, aircraft owners filing an initial N-number registration or change to the aircraft registration must declare an international flight and provide proof of the upcoming flight with their priority request. FAA registry staff has learned that only 11 percent of international flights declared were conducted. FAA registry personnel claim that the increased workload burdens associated with international declarations necessitates immediate action. Under new FAA policy, effective August 1, all declarations of international flights will be compared with actual flights on a monthly basis. Any declarations indicating a pattern of abuse of the priority service will result in the FAA registry no longer honoring future priority service requests. To review the FAA memo, visit:

NBAA2006 Static Display Reception Set for Oct. 17
This fall during the NBAA 59th Annual Meeting & Convention (NBAA2006), the Association will host a Static Display Reception from 3:00 to 6:00 p.m. on Tuesday, October 17 at the Showalter Flying Service facility on Orlando Executive Airport. During the reception, Attendees will have an opportunity to enjoy refreshments and view more than 110 state-of-the-art business aircraft on display. Companies wishing to sponsor the Static Display Reception should contact NBAA's Marti Smith at To learn more about NBAA2006, to be held October 17 through 19 at the Orange County Convention Center in Orlando, or to register, visit:

NBAA to Co-Sponsor Safety Standdown in Wichita, Oct. 2-5
NBAA will join Bombardier and the FAA in support of Bombardier's 10th Annual Safety Standdown, a multi-day event focused on improving business aviation safety. Held October 2 through 5 in Wichita, KS, this event will bring together aircraft operators and safety experts in industry and government for a series of briefings that integrate knowledge-based training with skill-based training. NBAA President and CEO Ed Bolen will be a featured speaker at this event. For more information or to register, visit:

Important Reminder to NBAA Operating Members Concerning LOAs
Part 91 operators who have been renewing their FAA letters of authorization (LOAs) permitting operations in Special Area of Operation (SAO) airspace no longer need to do so under a new system in effect since February 6. The FAA automated operations safety system (OPSS) is currently issuing all Part 91 LOAs approvals, which stay in effect as long as the information contained in the LOA remains valid. In the past, LOAs had remained valid for two years. Only LOAs generated by the automated OPSS using LOA template B046 void the need for renewal. Operators must renew their LOAs if they were generated manually, using the format introduced by N8700.35 (generated outside of OPSS). An example of an SAO requiring FAA authorization is Reduced Vertical Separation Minimum (RVSM) airspace. For more information, visit:

SIFL Rates Not Yet Published by DOT
Standard Industry Fare Level (SIFL) rates are used to compute the value of non-business transportation aboard employer-provided aircraft as required by IRS Rules Section 1.61-21(g). The DOT has not yet published the SIFL rates for the second half of calendar year 2006; 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. To review an explanation of 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, visit As another resource, the NBAA 15th Annual Tax, Regulatory and Risk Management Conference, to be held October 15 and 16 in Orlando, FL, will examine these issues in detail. Register online at:

What Is a Broker of Record Letter and What Does It Do?
When changing to a new aviation insurance broker, the new broker commonly will ask you to sign a Broker (or Agent) of Record Letter. This allows the insurance broker to access the insurance market to obtain a quote on your behalf. This letter should not be signed without careful consideration, as this is a very powerful document. Learn about this commonly misunderstood document and its impact on your relationship with your existing broker, new broker and the aviation insurance marketplace, in a new article provided by NBAA's Tax Committee's Risk Management Working Group. Insurance issues similar to this also will be discussed at NBAA's 15th Annual Tax, Regulatory and Risk Management Conference this October in Orlando. View the Tax Committee article online at:

Cutter Aviation

Regional News
New AFP Scenario Proposed to Manage Chicago Arrival Flows
In the next step to increase the application of airspace flow programs (AFPs), an AFP will soon be eligible for consideration to manage the Chicago O'Hare (ORD) arrival demand over the Knox/Kokomo (OXI/OKK) fixes from origins within Washington, Indianapolis, Memphis, Jacksonville, Miami and Atlanta Centers. Beginning today, the AFP will be considered for this example based on forecast convective weather and volume constraints. A playbook reroute over the Bradford (BDF) arrival fix may be available to avoid the delays issued with OXI and OKK arrivals. For more information about AFPs, and to download the proposed AFP and BDF playbook route, visit the NBAA AFP web page at:

Georgia Safety Day Attendance Worth Credit Toward CAM Recertification
The Georgia Business Aviation Association (GBAA) will hold its inaugural Safety Day on August 23 at the Marriott Century Center in Atlanta. This event, which is dedicated to enhancing safety within the business aviation industry, will feature both presentations and exhibits. The presentations will cover a wide range of safety-related topics of interest to all flight department personnel, including safety management systems, risk management, safety programs, fatigue management, ground accident prevention and crew resource management. Certified Aviation Managers (CAMs) who need points for recertification credit may attend the Safety Day to receive one point toward recertification. For more information about the event, visit the GBAA web site at or contact NBAA's Harry Houckes at For more information about the CAM Program or CAM recertification, contact NBAA at or visit:

NBAA Sponsors FAA System Operations Northwest Customer Forum, Sept. 25
NBAA is sponsoring an FAA Air Traffic Organization (ATO) System Operations Customer Forum on Monday, September 25. The meeting is tentatively scheduled to be held from 11:00 a.m. to 3:00 p.m. at Boeing Field (BFI) in Seattle and include a buffet lunch. Presenters will include senior FAA leaders, including FAA ATO Vice President for System Operations Mike Cirillo, FAA ATO Director of System Operations (Air Traffic Control System Command Center) Mike Sammartino and FAA ATO Director Tactical Operations, Western Pacific Jim Burgan. All NBAA Members in the Pacific Northwest are invited to attend. Members also are invited to suggest meeting agenda items involving system operations, to be addressed by the FAA and NBAA during the event. Direct questions or agenda requests to NBAA's Dan Burkhart at or Bob Lamond at

ERHC Accepting Nominations for Three Board Positions
Serving the Northeast, the Eastern Region Helicopter Council (ERHC) seeks to fill three positions on its board. This group has been instrumental in keeping three of New York City's heliports open; having instrument approach procedures authorized at these airports; assisting in airspace issues over New York City; and providing safety and security seminars for ERHC members. NBAA Members operating helicopters in the Northeast U.S. are invited to learn more about this organization at ERHC members also may access board member nomination details on that web site. For more information, contact ERHC's Charles Homeijer at (845) 353-6050 or NBAA's Dean Saucier at

Introducing GLOBTRAN

Call for Sponsors: 2006 Corporate Aviation Management Scholarship
NBAA has issued a call for sponsors for its 2006 Corporate Aviation Management Scholarship, which is administered by the Association's Corporate Aviation Management Committee and made possible by corporate sponsors. This scholarship enables qualified candidates to attend the annual NBAA Leadership Conference, which next will be held February 21 and 22, 2007, in San Diego, CA. Since the program's inception two years ago, this scholarship has been granted to 11 individuals. Those interested in sponsoring this scholarship must reply by August 21 via e-mail to NBAA's Jay Evans at

Chairman's Charity Classic Registration Now Available
The NBAA 10th Annual Chairman's Charity Classic Golf Tournament has been set for Sunday, October 15 at the Walt Disney World Resort in Orlando, FL. The tournament will be held in conjunction with the NBAA 59th Annual Meeting & Convention. For more information on sponsoring the event, or to sign up as a player, register online today at:

Applications for Next CAM Exam Due Aug. 31
Through the certification process, NBAA and the Certified Aviation Manager (CAM) Governing Board seek to recognize excellence in the field of business aviation and raise the level of professionalism and quality of management within flight departments. The next CAM Exam will take place on Monday, October 16, in Orlando, FL, in conjunction with the NBAA 59th Annual Meeting & Convention. Applications for the exam should be submitted no later than Thursday, August 31. To learn more about the CAM Program or access the CAM Program Guide and Application, visit:

Online MBA for Aviation Professionals

Upcoming NBAA Events
IS-BAO Implementation Workshop
August 24, 2006, White Plains, NY

Safety Standdown, Presented by Bombardier, NBAA and FAA
October 2–5, 2006, Wichita, KS

10th Annual Chairman's Charity Classic Golf Tournament
October 15, 2006, Orlando, FL

15th Annual Tax, Regulatory and Risk Management Conference
October 15–16, 2006, Orlando, FL

59th Annual Meeting & Convention (NBAA2006)
October 17–19, 2006, Orlando, FL

Business Aviation Regional Forum
November 16, 2006, Long Beach, CA

IS-BAO Implementation Workshop
November 17, 2006, Long Beach, CA

Review the Full NBAA Events Calendar

Review Future NBAA Convention Dates

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