Order 2010-9-17

Served: September 17, 2010

Issued by the Department of Transportation

on the 17

th day of September, 2010 

Fitness Determination of

 DYNAMIC AIRWAYS, LLC

 d/b/a DYNAMIC AVIATION

for a certificate of public convenience and necessity under 

49 U.S.C. § 41102 to engage in interstate charter air 

transportation of persons, property and mail

 Docket DOT-OST-2010-0058

ORDER TO SHOW CAUSE

PROPOSING ISSUANCE OF A CERTIFICATE

Summary

By this order, we tentatively conclude that Dynamic Airways, LLC d/b/a Dynamic Aviation

(“Dynamic Airways”) is a citizen of the United States and is fit, willing, and able to provide 

interstate charter air transportation of persons, property, and mail, using five large aircraft, and 

should be issued a certificate of public convenience and necessity authorizing such operations, 

subject to conditions.

Background

Section 41102 of Title 49 of the United States Code (“the Transportation Code”) directs us to 

determine that applicants for certificate authority to provide interstate charter air transportation 

of persons, property and mail are “fit, willing, and able” to perform such transportation and to 

ensure that all operations relating to this authority conform to the provisions of the 

Transportation Code and the regulations and requirements of the Department. In making fitness 

findings, the Department uses a three-part test that reconciles the Airline Deregulation Act’s 

liberal entry policy with Congress’ concern for operational safety and consumer protection. The 

three areas of inquiry that must be addressed in order to determine a company’s fitness are 

whether the applicant (1) will have the managerial skills and technical ability to conduct the 

proposed operations, (2) will have access to resources sufficient to commence operations without 

posing an undue risk to consumers or their funds, and (3) will comply with the Transportation 

Code and regulations imposed by Federal and State agencies. We must also find that the 

applicant is a U.S. citizen.

On March 5, 2010, Dynamic Airways filed an application in Docket DOT-OST-2010-0058

requesting a certificate issued under 49 U.S.C. § 41102 authorizing it to provide interstate charter 

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C. UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION
2

air transportation of persons, property, and mail, using five large aircraft.

1

 Dynamic Airways

accompanied its application with fitness information required by 14 CFR § 204.3 of our 

regulations and supplemented its application with additional information on June 22 and 

July 30, 2010.2

No answers opposing Dynamic Airways’ application were filed and no special issues regarding 

the applicant have come to our attention. Under these circumstances, we propose to decide the 

issue of the applicant’s fitness on the basis of the written record, and we tentatively conclude that 

Dynamic Airways is a U.S. citizen and is fit, willing, and able to provide interstate charter air 

transportation using five large aircraft. However, we will give interested persons an opportunity 

to show cause why we should not adopt as final these tentative findings and conclusions.

FITNESS

The Applicant

Dynamic Airways, a non-operating corporation organized under the laws of the State of Virginia 

in 2008, is wholly owned by Mr. Michael A. Stoltzfus (67.0 percent) and his father, Mr. Karl D. 

Stoltzfus, Sr.3(33.0 percent). The Stoltzfus family also own Dynamic Aviation Group, Inc. 

(“Group”)4and Dynamic JetLease, LLC.5 

 

1 A large aircraft is defined as any aircraft with an original design capacity of more than 60 passenger seats or an 

18,000 pound payload. 

2 Contemporaneously with its application and supplemental filing of June 22, 2010, Dynamic Airways filed 

motions for confidential treatment under 14 CFR § 302.12 (“Rule 12”) to withhold from public disclosure certain 

information filed in support of its application. Specifically, Dynamic Airways requested confidential treatment be 

afforded to FAA certificate numbers of its key personnel, information relating to sensitive financial information 

relating to its sister company, Dynamic Aviation Group, Inc., and an intra-organizational agreement. By letter 

dated July 29, 2010, the Department granted the applicant’s requests in their entirety. 

3 Mr. Karl D. Stoltzfus, Sr., a co-owner of Dynamic Airways, has served as Chairman of Dynamic Airways’ 

sister company, Dynamic Aviation Group, Inc., since he founded that company in 1969. In addition to his duties at 

Group, he has served on numerous Board of Directors, including Summit Bank (2005-present); Mission Aviation 

Fellowship (2003-present); Jungle Aviation and Radio Service (1990-2001); Peoples Supply (1989-1992); Rotary 

Club (1998-2001); and Steve Wingfield Ministries (1984-2002). He holds a Bachelor of Science degree in Business 

Administration from Eastern Mennonite University and is an Airline Transport Pilot with over 4,500 total flight 

hours logged. 

4 Group was formed in 1967 and does business as Dynamic Air, which holds a Part 135 Air Carrier Certificate 

issued from the Federal Aviation Administration (“FAA”) to provide on-demand cargo operations; Group also does 

business as K&K Aircraft, Inc., which holds a Part 137 Agricultural Aircraft Certificate issued from the FAA to 

provide aerial agricultural operations. Collectively, Group operates 88 small aircraft and offers its services to 

federal, state and local governments, non-profit research organizations, and private corporations to carry out 

missions relating to intelligence, surveillance and reconnaissance (“ISR”); airborne data acquisitions; fire 

management; aerial application; and sterile insect disbursement operations. Its voting stock is owned by five 

members of the Stoltzfus family, each of whom is a U.S. citizen, with Messr. Karl D. and Michael A Stoltzfus each 

owning more than 10 percent of the voting stock, and collectively more than 75 percent of the voting stock. Group’s 

non-voting stock is held by the Karl D. Stoltzfus Irrevocable Trust, which was formed under the laws of Virginia 

and managed by a U.S. citizen trustee for the benefit of Mr. Stolzfus’ heirs. Additionally, Group wholly owns an 

aircraft leasing subsidiary, Dynamic AvLease, Inc., which provides aircraft leasing and aircraft and parts sales. 

5 Dynamic JetLease, LLC is a former subsidiary of Dynamic Airways that was established to acquire one of the 

MD-80 series aircraft to be used in Airways’ operations. In January 2010, the company was sold by Dynamic 

Airways to Dynamic Airways’ owners, and as a result, is 100 percent owned by Messr. Michael A. and Karl D. 

Stoltzfus. 
3

Managerial Competence

The following table identifies Dynamic Airways’ officers and other key management and 

technical personnel, each of whom is a U.S. citizen. 

Name Position

Mr. Michael A. Stoltzfuz President and Chief Executive Officer

Mr. George “Guy” Cannady Vice President of Operations

Mr. Aaron S. Lorson Executive Vice President

Mr. J. Merle Zook Chief Financial Officer (“CFO”)

Mr. Paul D. Weston Director of Safety

Mr. Richard R. Walters Director of Operations

Mr. Edgar R. Fergus Chief Pilot

Mr. Jack W. Branan, Jr. Director of Maintenance

Mr. A. Gray Thomason Chief Inspector 

Ms. Julie Acheson Director of In-Flight

Mr. Michael A. Stoltzfus, a co-owner of Dynamic Airways, is an Airline Transport Pilot with 

over 4,800 total flight hours logged. He will assume the position of President and Chief 

Executive Officer of Dynamic Airways if the company is granted the certificate authority it seeks 

and will remain in his current position, which he has held since 2006, as Group’s President and 

Chief Executive Officer. Since joining Group, he has held multiple positions with increased 

levels of responsibility with the company, including Base Manager, California Medfly Program 

(1992-1994), Manager of Flight Operations (1995-1996), Vice President of Flight Operations 

(1996-1999), Executive Vice President/Vice President of Flight Operations (1999-2002), Chief 

Operating Officer (2002-2003), and President and Chief Operating Officer (2003-2006). Before 

this, he served as Flight Engineer for Northern Air Cargo (1994-1996), and as President and CoFounder of De-Ice Systems International (1990-1995). Mr. Stoltzfus is a graduate of Eastern 

Mennonite University (1997) and the Harvard Business School (2004).

Mr. George G. Cannady, an Airframe and Powerplant Mechanic and an Airline Transport Pilot 

with over 11,000 total flight hours logged, assumed his current position as Vice President of 

Operations with Dynamic Airways in June 2010. Before joining Dynamic Airways, he served as 

President/General Manager of Prescott Support Company, Inc. (2005-2010), and as Owner and 

President of Atlanta Air Services, LLC (2003-2010). Mr. Cannady was also Vice President and 

General Manager for Air First, Inc. (1989-2003), and Vice President of Operations for Gulf Air 

Transport, Inc. (1980-1989). He also served in the U.S. Navy from 1975 to 1998. Mr. Cannady 

earned a Bachelor’s degree in Aeronautics from Embry-Riddle Aeronautical University.

If Dynamic Airways is granted the certificate authority it seeks, Mr. Aaron S. Lorson, an Airline 

Transport Pilot and Airframe and Powerplant Mechanic, will allocate his time between his 

current position as Group’s Vice President of Flight Operations and Dynamic Airways’ 

Executive Vice President. He moved progressively through a series of positions at Group with 

increased levels of responsibility, including Pilot (1999-2000), Chief Pilot (2000-2004), Director 

of Flight Operations (2004-2007), and Vice President of Flight Operations (2007-2010). He 

graduated from LeTourneau University in 1998 with a Bachelor’s degree in Aviation 

Technology and Flight.
4

Mr. J. Merle Zook, a Certified Public Accountant, has served as Group’s Chief Financial Officer 

since 2002 and will assume the accounting functions of Dynamic Airways as its CFO if the 

applicant is granted the certificate authority it seeks. He joined Group in 1999 as its Controller 

before being promoted to his current position. Mr. Zook accumulated accounting and finance 

experience while employed by Phibbs, Burkholder, Geisert & Huffman, LLP as its Manager of 

Audit and Accounting (1995-1999) and also as Supervisor of Audit and Accounting 

(1993-1995). Prior to this, he served as a Controller for Kobelco Compressors, (America) Inc. 

(1990-1993), and as a Staff Accountant for Stauffer & Company, CPAs (1987-1990). He earned 

a Bachelor’s degree in Accounting in 1987 from Eastern Mennonite University. 

Mr. Paul D. Weston, an Airline Transport Pilot with over 18,000 flight hours logged, assumed 

his current position with Dynamic Airways as Director of Safety and Regulatory Compliance in 

October 2009. Prior to joining the applicant, he developed skills in multiple areas of operations 

and management, having served as DHC-8 Fleet Management for Colgan Air, Inc. (2007-2009), 

Airline Certification Project Manager for CAVOK International (2004-2007), Manager of 

Technical Operations for Midwest Airlines, Inc. (2002-2004), Instructor for Atlantic Coast 

Aviation (2001), Vice President of Operations for HeartLand Air Lines, LLC (2000-2001), 

Senior Aviation Safety Inspector for the National Transportation Safety Board (1996-2000), 

Acting Assistant Director of Training and Standards for ValuJet Airlines, Inc. (1995-1996), and 

Owner/Manager of Westco Builders, Inc., a custom home building company (1979-1996).

Previously, Mr. Weston held multiple positions with increased levels of responsibility at Eastern 

Airlines, Inc., including L-188 Second Officer (1966-1967), DC-9 First Officer (1968-1973), 

B-727 Second Officer Instructor and Check Airman (1969-1978), Base Second Officer 

Supervisor (1971-1987), Captain of DC-9 and B-727 (1983-1991), and Check Captain 

(1987-1991). He earned a Bachelor’s degree in Business Administration from the University of 

Miami (1965). 

Mr. Richard R. Walters, an Airframe and Powerplant Mechanic and an Airline Transport Pilot

with over 10,000 flight hours logged, assumed his current position as Dynamic Airways’

Director of Operations in 2009. Before this, he held the same position at Arrow Cargo, Inc. 

(2009), TradeWinds Airlines, Inc./Sky Lease, Inc. (2006-2009), and Aloha Airlines, Inc. 

(2004-2006). He moved progressively through a series of positions at Polar Air Cargo, including 

Flight Officer (1994-2000), B-747-400 Fleet Manager (2000-2001), and Senior Director of 

Flight Operations (2001-2004). Before that, Mr. Walters served as a Flight Officer for 

Evergreen International Airlines (1986-1994), and as a Flight Instructor for Siegel Aviation, 

Jericon Aviation, and California Airways (1984-1987). Additionally, he was employed as a 

Maintenance Instructor for World Airways (1984-1985). Mr. Walters received an Associate of 

Science Degree from Reedley College in 1984.

Mr. Edgar R. Fergus, an Airline Transport Pilot with over 24,000 total flight hours logged, joined 

Dynamic Airways as its Chief Pilot in May 2010. Before this, he held various positions at Lynx 

Aviation, including First Officer (2008-2009), Pilot Ground Instructor (2009), and Chief Pilot 

(2009-2010). Mr. Fergus developed skills in multiple areas of aviation operations, having served 

as Captain and First Officer for American Airlines (1999-2007); Chief Pilot (1998-1999) and 

Captain/First Officer (1993-1998) for RenoAir; Captain/First Officer for Air Wisconsin 

(1979-1993); Aviation Program Director (1978-1979), Chief Flight Instructor (1976-1978), and 

Instructor (1974-1976) for Lansing Community College; and First Officer for Great Lakes 

Commuter Airlines (1973-1974). He earned a Bachelor of Science in Biology from Delaware 
5

Valley College (1969), a Master of Science in Zoology from Michigan State University (1971), 

and a Master of Science in Communications from Michigan State University (1975). 

Mr. Jack W. Branan, Jr., an Airframe and Powerplant Mechanic, assumed his current position as 

the applicant’s Director of Maintenance in August 2009. Prior to joining the applicant, he was 

employed by Pace Airlines as Director of Quality/Chief Inspector (2006-2009) and as an 

Inspector/Auditor (2003-2006). He developed skills in multiple areas of aviation maintenance,

having served as a Foreman for US Airways (1993-2002) and a Mechanic for Piedmont Airlines 

(1980-1993). Before launching his career in the aviation industry, Mr. Branan served as 

President of Branan Chevrolet (1977-1980) and Assistant Manager of Jones Paint and Body 

(1975-1977). 

Mr. A. Gray Thomason, an Airframe and Powerplant Mechanic, has held his current position of 

Director of Quality/Chief Inspector for Dynamic Airways since 2009. Prior to joining the 

applicant, he served as Quality Control Inspector for Timco Aviation Services (2008-2009), 

General Manager of Summer Industries, Inc. (2005-2008), Mechanic/Inspector/Lead Mechanic 

at Piedmont Airlines/US Airways (1985-2005), and Mechanic/Shift Supervisor for Wrangler 

Aviation (1983-1985). Mr. Thomason earned a diploma from the Piedmont Aerospace Institute 

in 1983. 

Ms. Julie Acheson assumed her current position as Dynamic Airways’ Director of In-Flight 

Services in 2009. Before this, she held the same position at Pace Airlines (2003-2009) and 

served as Manager of In-Flight (1999-2003) and Flight Attendant/Check Flight Attendant 

(1987-1999) for CCAir, Inc. Before her career in the aviation industry, Ms. Acheson held 

various administrative positions with Manpower, Inc. (1987-1986), Broadway & Seymour 

(1986), and Dalton, Morgan and Shook, Partners (1985-1986). Prior to that, she served as a 

Parole and Probation Officer for the Ohio Department of Rehabilitation and Correction 

(1984-1985), Radiology Transcriptionist and Phlebotomist for Lima Memorial Hospital 

(1979-1984), and Cashier/Bookkeeper for Robert Hall Clothes (1974-1979).

In light of these facts, we tentatively conclude that Dynamic Airways has the management skills 

and technical ability to conduct its proposed interstate charter air transportation operations using 

five large aircraft.6

Operating Plan and Financial Position

If granted the certificate authority it seeks, Dynamic Airways intends to operate charter services 

for collegiate and professional sports teams and other public and private charterers using one 

leased MD-80 series aircraft and anticipates expanding to a total of five such aircraft within the 

first year of operations as demand for its services increases. Dynamic Airways intends to operate 

these flights under Aircraft, Crew, Maintenance, and Insurance (“ACMI”) contracts, with 

charterers directly responsible for all remaining costs associated with the air transportation 

provided.

 

6 Before authorizing an air carrier to conduct air transportation operations, the FAA also evaluates the applicant’s 

key personnel with respect to the minimum qualifications for those positions as prescribed in the Federal Aviation 

Regulations. The FAA’s evaluation of these key personnel provides an added practical and in-person test of the 

skills and technical ability of these individuals. In February 2010, the FAA advised us that Dynamic Airways’ key 

technical personnel are acceptable to that agency in their respective positions.

 
6

In evaluating a new entrant applicants’ financial fitness, the Department generally asked that 

those applicants have resources sufficient to cover all pre-operating costs and any negative 

working capital balance, plus a working capital reserve equal to the operating costs that would be 

incurred in three months of normal operations.7

Dynamic Airways provided forecasts of its pre-operating costs, as well as all projected first-year 

revenues and expenses associated with its proposed operations. Based on these forecasts, the 

applicant’s pre-operating expenses are expected to total approximately $3.49 million, with 

first-year expenses totaling approximately $8.26 million. We have reviewed the applicant’s 

projected direct costs on a block hour basis against the costs reported by other air carriers 

operating similar aircraft, and believe them to be reasonable. The company’s most recent 

balance sheet indicates that, as of May 31, 2010, it had current assets of $357,122 and current 

liabilities of $604,213, giving the company a negative working capital balance of $247,091.

Therefore, to meet our fitness test, we estimate that Dynamic Airways will need access to 

approximately $5.80 million.8

In support of its ability to finance its proposed charter operations, Dynamic Airways provided 

third-party verification from PNC Bank evidencing that it has access to an established 

line-of-credit in excess of our financial fitness requirement. 

In light of the above, we tentatively conclude that Dynamic Airways will have access to 

sufficient financial resources to enable it to commence its proposed operations without posing an 

undue risk to consumers or their funds.

9

Compliance Disposition 

Dynamic Airways identified one pending lawsuit - a subsidiary of Group is currently a defendant 

in a Federal lawsuit, Sonya Huisman v. United States et al., arising out of a June 12, 2006,

aircraft accident in Tampa, Florida, that killed a pilot employed by Group.

10

The applicant states that, except as noted above, there are no other actions or outstanding 

judgments against it, its owners, or its key personnel nor have there been any charges of unfair, 

deceptive or anti-competitive business practice, or of fraud, felony or antitrust violations brought 

against any of these parties in the past ten years. The applicant also states that there are no 

pending investigations, enforcement actions, or formal complaints filed by the Department 

 

7 Because projected operations during one or more of the first three months of anticipated actual air transportation 

services frequently do not include all costs of operations that will be incurred during a normal period of operations, 

it has been our practice to base our three-month standard on one quarter of the first year’s operating cost forecast. In 

calculating available resources, projected revenues may not be used.

8 The $5.80 million noted here is one-quarter of the applicant’s forecast of approximately $8.25 million in first 

year expenses equaling $2.06 million, plus $3.49 million in pre-operating expenses and $247,091 in negative 

working capital.

9 As is our practice, prior to making any authority awarded to Dynamic Airways effective, we will require the 

company to demonstrate that it continues to have access to the financial resources needed to meet our financial test.

10 On November 1, 2008, a Beechcraft King Air owned and operated by Dynamic AvLease, a wholly-owned 

subsidiary of Group, was reported missing when it did not return from a geological surveying mission in a remote 

area of Guyana. The airline transport-rated pilot, commercial-rated co-pilot, and a passenger are missing. The 

accident investigation is under review by the Government of Guyana. 
7

against it, its key personnel, or persons having a substantial interest in it with respect to 

compliance with the Transportation Code or the Department’s regulations.

A review of our records and other information available to us has uncovered no information 

which would reflect negatively on the applicant or any of its key personnel. In addition, 

according to the FAA, the air carrier has conducted its operations satisfactory and the agency 

knows of no reason why the air carrier should not be granted the authority it is seeking. 

Moreover, the applicant notes that neither it nor any of its key personnel have been involved in 

an accident or incident in the year preceding its application or any time in the past which remains 

under investigation by the FAA, the NTSB, or the company itself. 

In light of these circumstances, we tentatively conclude that Dynamic Airways has the proper 

regard for the laws and regulations governing its services to ensure that its aircraft and personnel 

conform to applicable safety standards and that acceptable consumer relations practices will be 

followed.

CITIZENSHIP

Section 41102 of the Transportation Code requires that authority to engage in air transportation 

be held only by citizens of the United States as defined in 49 U.S.C. § 40102(a)(15). The Statute 

also requires that the president and two-thirds of the Board of Directors and other managing 

officers be U.S. citizens, that at least 75 percent of the outstanding voting interest be owned by 

U.S. citizens, and that the air carrier must be under the actual control of U.S. citizens. 

As noted earlier, Dynamic Airways, a limited liability company, is organized under the laws of 

the State of Virginia. Messrs. Michael A. Stolztfus and Karl D. Stoltzfus, Sr. are U.S. citizens

and the sole shareholders of the applicant. In addition, the applicant has submitted an affidavit 

attesting that it is a citizen of the United States within the meaning of the Statute, that all 

managers are U.S. citizens, and that it is owned and controlled by U.S. citizens. Finally, there is 

no other information before us that would lead us to conclude that Dynamic Airways is not 

controlled by U.S. citizens.

In view of the foregoing, we tentatively conclude that Dynamic Airways is a U.S. citizen and 

that it is fit, willing, and able to provide air transportation services as a U.S. certificated air 

carrier, subject to conditions. 

OBJECTIONS

We will give interested persons 14 days following the service date of this order to show cause 

why the tentative findings and conclusions set forth here should not be made final; answers to 

objections will be due within 7 days thereafter. We expect such persons to direct their 

objections, if any, to the application and points at issue and to support such objections with 

detailed economic analyses. If an oral evidentiary hearing or discovery procedures are 

requested, the objector should state in detail why such a hearing or discovery is considered 

necessary, and what material issues of decisional fact the objector would expect to establish 

through a hearing or discovery that cannot be established in written pleadings. The objector 

should consider whether discovery procedures alone would be sufficient to resolve material 

issues of decisional fact. If so, the type of procedure should be specified (See Part 302, Rules 19 

and 20); if not, the reasons why not should be explained. We will not entertain general, vague, 
8

or unsupported objections. If no substantive objections are filed, we will issue an order that will 

make final our tentative findings and conclusions with respect to Dynamic Airways’ fitness and 

certificate authority.

CERTIFICATE CONDITIONS AND LIMITATIONS

If Dynamic Airways is found fit and issued the certificate it seeks, its authority will not become 

effective until the air carrier has fulfilled all of the requirements for effectiveness as set forth in 

the terms and conditions attached to its certificate. Among other things, this includes (1) our 

receipt of evidence of Dynamic Airways’ authority from the FAA authorizing such operations, 

(2) evidence of liability insurance coverage that meets the requirements of section 205.5(b) of 

our rules, (3) a statement of changes it may have undergone since its fitness was examined, and 

(4) evidence that Dynamic Airways continues to have adequate financial resources available to 

it.

We also wish to remind Dynamic Airways of the requirements of 49 U.S.C. § 41110(e). 

Specifically, that section requires that, once an air carrier is found fit initially, it must remain fit 

in order to hold its authority. To be assured that certificated air carriers continue to be fit after 

effective authority has been issued to them, we require that they supply information describing 

any subsequent substantial changes they may undergo in areas affecting fitness. Therefore, if 

Dynamic Airways is issued effective certificate authority and subsequently proposes substantial 

changes in its ownership, management, or operations, it must first comply with the requirements 

of section 204.5 of our rules.11

Moreover, as discussed in the FITNESS section of this order, our finding of fitness for Dynamic 

Airways is based on the operating plans described in its application, namely, performing 

passenger charter air transportation using five large aircraft. Were the applicant to propose to 

expand its operations to include additional large aircraft, our fitness findings, particularly 

involving the adequacy of Dynamic Airways’ management and financial resources, might no 

longer apply. Therefore, should Dynamic Airways desire to operate additional large aircraft, it 

must first provide the Department with at least 45-days advance notice of such plans and provide 

updated information establishing it fitness for such expansion. The compliance of the company 

with this requirement is essential if we are to carry out our responsibilities under section 

41110(e).12

 

11 The air carrier may contact our Air Carrier Fitness Division to report proposed substantial changes in its 

operations, ownership, or management, and to determine what additional information, if any, will be required under 

section 204.5. In addition, by notice dated July 21, 1998, the Department requested air carriers to provide a 30-day 

advance notification of any proposed change in ownership, restructuring, or recapitalization. If the air carrier fails to 

file this updated information or if the information fails to demonstrate that the air carrier will continue to be fit upon 

implementation of the substantial change, the Department may take such action as is appropriate, including 

enforcement action or steps to modify, suspend, or revoke the air carrier's certificate authority.

12 We also remind Dynamic Airways about the requirements of section 204.7 of our rules. This section provides, 

among other things, that (1) the certificate authority granted to a company shall be revoked if the company does not 

commence actual flying operations under that authority within one year of the date of the Department's 

determination of its fitness; (2) if the company commences operations for which it was found fit and subsequently 

ceases such operations, it may not resume certificated air carrier service unless its fitness has been redetermined; and 

(3) if the company does not resume operations within one year of its cessation, its authority shall be revoked for 

dormancy.
9

Finally, if Dynamic Airways is granted effective authority, it would be required to submit a 

detailed progress report, within 45 days following the end of the first year of certificated flight 

operations, to the Air Carrier Fitness Division. The submission of a first year progress report is 

conditioned upon all newly certificated air carriers and was adopted as policy by the Department 

to aid in monitoring the fitness of new air carriers. The report should include a description of the 

air carrier’s current operations (number and type of aircraft, principle markets served, total 

number of full-time employees), a summary of how its operations have changed during the year, 

a discussion of any changes it anticipates from its current operations during its second year, 

current financial statements,13 and a listing of current senior management and key technical 

personnel. The air carrier should also be prepared to meet with staff members of the Fitness 

Division to discuss its current and future operations.

ACCORDINGLY,

1. We direct all interested persons to show cause why we should not issue an order making 

final our tentative findings and conclusions stated above and award a certificate to Dynamic 

Airways, LLC d/b/a Dynamic Aviation, authorizing it to engage in interstate charter air 

transportation of persons, property and mail, using five large aircraft, subject to the attached 

specimen Terms, Conditions, and Limitations.

2. We direct any interested persons having objections to the issuance of an order making final 

any of the proposed findings, conclusions, or award of authority set forth here to file them with 

Department of Transportation Dockets, 1200 New Jersey Avenue, SE, Room W12-140, 

Washington, D.C. 20590, in Docket DOT-OST-2010-0058 and serve them upon all persons 

listed in Attachment A no later than 14 days after the service date of this order; answers to 

objections shall be filed no later than 7 business days thereafter. 

3. We direct Dynamic Airways, LLC d/b/a Dynamic Aviation to submit to the Air Carrier 

Fitness Division a first year progress report within 45 days following the end of its first year of 

actual certificated flight operations.

4. If timely and properly supported objections are filed, we will accord full consideration to the 

matters or issues raised by the objections before we take further action.14

5. In the event that no objections are filed, we will consider all further procedural steps to be 

waived and we will enter an order making final our tentative findings and conclusions.

 

13 These financial statements should include a balance sheet as of the end of the company’s first full year of 

certificated flight operations and a 12-month income statement ending that same date.

14 Since we have provided for the filing of objections to this order, we will not entertain petitions for 

reconsideration.
10

6. We will serve a copy of this order on the persons listed in Attachment A.

7. We will publish a summary of this order in the Federal Register.

By:

SUSAN L. KURLAND

Assistant Secretary

for Aviation and International Affairs

An electronic version of this document is available on the World Wide Web at:

http://www.regulations.gov
Attachment

SPECIMEN

Terms, Conditions, and Limitations

DYNAMIC AIRWAYS, LLC

d/b/a DYNAMIC AVIATION

is authorized to engage in interstate charter air transportation of persons, property and mail 

between any point in any State, territory, or possession of the United States or the District of 

Columbia, and any other point in any of those entities.

This authority is subject to the following provisions:

(1) The authority to operate under this certificate will not become effective until six 

(business) days after the Department has received the following documents; provided, however, 

that the Department may stay the effectiveness of this authority at any time prior to that date:

(a) A copy of the holder's Air Carrier Certificate and Operations Specifications 

authorizing such operations from the Federal Aviation Administration (FAA).

(b) A certificate of insurance on OST Form 6410 evidencing liability insurance 

coverage meeting the requirements of 14 CFR 205.5(b) for all of its aircraft.

(c) A statement of any changes the holder has undergone in its ownership, key 

personnel, operating plans, financial posture, or compliance history, since the date of the 

Show Cause Order in this case.

(d) A revised list of pre-operating expenses already paid and those remaining to be 

paid, as well as independent verification that the holder has available to it funds 

sufficient to cover any remaining pre-operating expenses and to provide a working 

capital reserve equal to the operating costs that would be incurred in three months of 

operations.

(2) Pending receipt of effective authority, the holder may not accept payment of any kind 

(i.e., cash, check, or credit card), issue tickets for the operations proposed under this certificate, 

or enter into contracts with charter operators, and any advertisement by the holder must 

prominently state: "This service is subject to receipt of government operating authority." 

(3) The holder shall at all times conduct its operations in accordance with the regulations 

prescribed by the Department of Transportation for the services authorized by this certificate, 

and with such other reasonable terms, conditions, and limitations as the Department of 

Transportation may prescribe in the public interest.

(4) The holder's authority under this certificate is effective only to the extent that such 

operations are also authorized by the Federal Aviation Administration (FAA), and comply with 
2

all U.S. Government requirements concerning security, including, but not limited to 49 CFR Part 

1544.



(5) The holder shall at all times remain a "Citizen of the United States" as required by 49 

U.S.C. 40102(a)(15).

(6) The holder shall maintain in effect liability insurance coverage as required under 14 

CFR Part 205. Failure to maintain such insurance coverage will render a certificate ineffective, 

and this or other failure to comply with the provisions of Subtitle VII of Title 49 of the United 

States Code or the Department's regulations shall be sufficient grounds to revoke this certificate.

(7) The holder is not authorized to engage in air transportation operations between points 

within the State of Alaska.

(8) Should the holder propose any substantial change in its ownership, management, or 

operations (as defined in 14 CFR 204.2(l)), it must first comply with the requirements of 14 CFR 

204.5.

(9) In the event that the holder does not commence actual flying operations under this 

certificate within one year of the date of the Department's determination of its fitness, its 

authority shall be revoked for dormancy, unless the holder is conducting operations under 

another type of certificate authority. Further, in the event that the holder commences operations 

for which it was found "fit, willing, and able" and subsequently ceases all such operations, its 

authority under all certificates held shall be suspended under the terms of 14 CFR 204.7 and the 

holder may neither recommence nor advertise such operations unless its fitness to do so has 

been redetermined by the Department. Moreover, if the holder does not resume operations 

within one year of its cessation, its authority shall be revoked for dormancy.

 

 To assure compliance with all applicable U.S. Government requirements concerning security, the holder shall, 

before commencing any new service (including charter flights) to or from a foreign airport, contact its Principal 

Security Inspector (PSI) to advise the PSI of its plans and to find out whether the Transportation Security 

Administration has determined that security is adequate to allow such airport(s) to be served.
Attachment A

SERVICE LIST FOR DYNAMIC AIRWAYS LLC

D/B/A DYNAMIC AVIATION

JOHN R MIETUS

LAW OFFICE OF JOHN MIETUS LLC

6701 DEMOCRACY BLVD

BETHESDA MD 20817-7500 

MR WILLIAM J WEBER

CERTIFICATION SECTION MANAGER

FAA AFS-900

45005 AVIATION DRIVE SUITE 131

DULLES VA 20166

TONY BERNHARDT

PRINCIPLE OPERATIONS INSPECTOR

FEDERAL AVIATION ADMINISTRATION

GREENSBORO FSDO 39

6433 BRYAN BOULIVARD

GREENSBORO NC 27409

MR PETER LYNCH AGC-300

ASST CHIEF COUNSEL FOR ENFORCEMENT

FEDERAL AVIATION ADMINISTRATION

800 INDEPENDENCE AVE SW

WASHINGTON DC 20591

MS ANNE SUISSA RTS-42

OFFICE OF AIRLINE INFORMATION

DOT/RITA/BTS E-34

1200 NEW JERSEY AVE SE

WASHINGTON DC 20590

BERNARD STANKUS 

OFFICE OF AIRLINE 

 INFORMATION

DOT/RITA/BTS RTS-42

1200 NEW JERSEY AVE SE

WASHINGTON DC 20590

CLAY MORITZ

OFFICE OF AIRLINE 

 INFORMATION

DOT/RITA/BTS RTS-42

1200 NEW JERSEY AVE SE

WASHINGTON DC 20590