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[Federal Register Volume 75, Number 88 (Friday, May 7, 2010)]
[Proposed Rules]
[Pages 25127-25137]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-10890]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Parts 110, 119, 121, 129, and 135

[Docket No. FAA-2009-0140; Notice No. 10-07]
RIN 2120-AJ45

Operations Specifications

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: This proposed rule would clarify and standardize the rules for 
applications by foreign air carriers and foreign persons for operations 
specifications and establish new standards for amendment, suspension or 
termination of those operations specifications. The proposed rule would 
also apply to foreign persons operating U.S.-registered aircraft in 
common carriage solely outside the United States. This action is 
necessary to update the process for issuing operations specifications, 
and it will establish a regulatory basis for current practices, such as 
amending, terminating or suspending operations specifications.

DATES: Send your comments on or before August 5, 2010.

ADDRESSES: You may send comments identified by Docket Number FAA-2009-
0140 using any of the following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov and follow the online instructions for sending your 
comments electronically.
     Mail: Send comments to Docket Operations, M-30; U.S. 
Department of Transportation, 1200 New Jersey Avenue, SE., Room W12-
140, West Building Ground Floor, Washington, DC 20590-0001.
     Hand Delivery or Courier: Take comments to Docket 
Operations in Room W12-140 of the West Building Ground Floor at 1200 
New Jersey Avenue, SE., Washington, DC, between 9 a.m. and 5 p.m., 
Monday through Friday, except Federal holidays.
     Fax: Fax comments to Docket Operations at 202-493-2251.

For more information on the rulemaking process, see the SUPPLEMENTARY 
INFORMATION section of this document.
    Privacy: We will post all comments we receive, without change, to 
http://www.regulations.gov, including any personal information you 
provide. Using the search function of our docket Web site, anyone can 
find and read the electronic form of all comments received into any of 
our dockets, including the name of the individual sending the comment 
(or signing the comment for an association, business, labor union, 
etc.). You may review DOT's complete Privacy Act Statement in the 
Federal Register published on April 11, 2000 (65 FR 19477-78) or you 
may visit http://DocketsInfo.dot.gov.
    Docket: To read background documents or comments received, go to 
http://www.regulations.gov at any time and follow the online 
instructions for accessing the docket, or, go to the Docket Operations 
in Room W12-140 of the West Building Ground Floor at 1200 New Jersey 
Avenue, SE., Washington, DC, between 9 a.m. and 5 p.m., Monday through 
Friday, except Federal holidays.

FOR FURTHER INFORMATION CONTACT: Darcy D. Reed, International Programs 
and Policy Division, AFS-50, Flight Standards Service, Federal Aviation 
Administration, 800 Independence Avenue, SW., Washington, DC 20591; e-
mail: darcy.d.reed@faa.gov; Telephone: 202-385-8078. For legal 
questions concerning this proposed rule contact Lorna John, Office of 
the Chief Counsel, Regulations Division, AGC-200, Federal Aviation 
Administration, 800 Independence Avenue, SW., Washington, DC 20591; e-
mail: Lorna.John@faa.gov; telephone: 202-267-3921.

SUPPLEMENTARY INFORMATION: Under the Additional Information section of 
this preamble, you will find a discussion of how you can comment on 
this proposal and how the agency will handle your comments. Included in 
this discussion is related information about the docket, privacy, and 
handling proprietary or confidential business information. There is 
also a discussion on how you can get a copy of related rulemaking 
documents.

Authority for This Rulemaking

    The FAA's authority to issue rules on aviation safety is found in 
title 49 of the United States Code. Subtitle I, Section 106 describes 
the authority of the FAA Administrator. Subtitle VII, Aviation 
Programs, describes in more detail the scope of the agency's authority.
    This proposed rule is issued under the authority described in Title 
49 of the United States Code, Subtitle VII, Part A, Subpart III, 
Section 44701(a)(5). Under that section, the Administrator is charged 
with promoting safe flight of civil aircraft in air commerce by 
prescribing regulations and minimum standards for practices, methods, 
and procedures the Administrator finds

[[Page 25128]]

necessary to ensure safety in air commerce. Clarifying and 
standardizing the rules for application, amendment, suspension, or 
termination of operations specifications issued to foreign air carriers 
operating in the United States and to foreign air carriers or foreign 
persons conducting operations of U.S.-registered aircraft solely 
outside the United States enhances the FAA's oversight of U.S.-
registered aircraft and those foreign air carriers' operations within 
the United States.

I. Background

    Title 49 of the United States Code contains the basic authority for 
promoting safe flight of civil aircraft in air commerce and for 
regulating the global operations of U.S.-registered aircraft. For 
foreign air carriers serving the United States, the basic operating 
requirements are found in 14 CFR parts 91 and 129. The standards set 
forth in Annexes 1, 6, and 8 to the Convention on International Civil 
Aviation (the Chicago Convention), as implemented by the International 
Civil Aviation Organization (ICAO), also apply to the international 
operations of air carriers. The applicable ICAO Annexes are:

    Annex 1--Personnel Licensing,
    Annex 6--Part I, Operation of Aircraft--International Commercial 
Air Transport--Aeroplanes,
    Annex 6--Part III, Operation of Aircraft--International 
Operations--Helicopters, and
    Annex 8--Airworthiness of Aircraft.

    ICAO Annexes contain the international standards for safety, 
regulation, and efficiency of air navigation. These international 
standards define the minimum level of safety necessary for the 
recognition by Contracting States to the Chicago Convention of 
certificates of airworthiness, certificates of competency and licenses 
that allow for the flight of aircraft of other States into or over 
their territories. They also provide for the protection of other 
aircraft, third parties, and property. As with all Contracting States 
to the Chicago Convention, the United States is obligated to recognize 
only those certificates of airworthiness, certificates of competency, 
and licenses issued or rendered valid by another Contracting State. The 
requirements under which these certificates or licenses are issued or 
rendered valid by the Contracting State must be equal to or above the 
minimum standards established by the Chicago Convention.
    The FAA's authority over a foreign air carrier using foreign-
registered aircraft is limited to overseeing compliance with all the 
applicable provisions of the Chicago Convention and its Annexes, and 
U.S. regulations for the flights conducted by the foreign air carrier 
into the United States. Adherence to these standards assures the 
foreign air carrier's ability to navigate and communicate safely within 
the U.S. National Airspace System (NAS) while protecting individuals 
and property on the ground.
    To fulfill its oversight responsibilities, the FAA issues 
operations specifications to foreign air carriers and foreign persons. 
These operations specifications ensure a common understanding between 
the foreign air carrier or foreign person and the FAA. The FAA-issued 
operations specifications describe the scope of a foreign air carrier's 
operations into the United States, including any applicable 
authorizations and limitations, and a foreign person's maintenance 
responsibility for U.S.-registered aircraft operated in common carriage 
solely outside the United States. The FAA-issued operations 
specifications do not, however, affect or interfere with the 
responsibilities of the foreign Civil Aviation Authority (CAA) that 
issued an air operator certificate to the foreign air carrier. The 
foreign CAA maintains primary responsibility for the certification of 
the foreign air carrier and the continuing oversight of the air carrier 
or foreign person's operations in accordance with applicable ICAO 
standards.

II. Discussion of the Proposal

    14 CFR part 129 prescribes the rules governing foreign air carrier 
operations within the United States and the operations of U.S.-
registered aircraft solely outside the United States in common 
carriage. In order to meet international standards and the changing 
aviation environment, it is necessary to revise part 129. For example, 
the processes for application and amendment of operations 
specifications for U.S. operators subject to 14 CFR parts 121, 125, and 
135 are described in part 119. However, there are no explicit 
provisions governing the application for, or amendment of, operations 
specifications issued to foreign air carriers or foreign persons in 
part 129, nor is there a provision in part 129 for the suspension or 
termination of operations specifications. Therefore, the FAA proposes 
to clarify the process for application, amendment, suspension, and 
termination of operations specifications issued to foreign air carriers 
and foreign persons.
    This proposal would add three new sections to subpart A: Sec.  
129.5, Operations Specifications; Sec.  129.7, Application, issuance, 
or denial of operations specifications; and Sec.  129.9, Contents of 
operations specifications. This proposed rule would also amend the 
existing Sec.  129.11 to specifically address amendment, suspension and 
termination of operations specifications.
    Section 129.5 would define which foreign air carriers or foreign 
persons must hold FAA operations specifications and the effective 
period of such operations specifications. Current regulations require 
only foreign air carriers conducting operations into the United States 
to conduct their operations in accordance with operations 
specifications issued by the Administrator. Section 129.5 of the 
proposed rule would extend this requirement to a foreign air carrier or 
foreign person operating a U.S.-registered aircraft solely outside the 
United States in common carriage. Additionally, the FAA proposes to 
include a provision in Sec.  129.5 requiring the foreign air carrier to 
keep each of its employees, and other persons used in its operations, 
informed of the provisions of its FAA-issued operations specifications 
that apply to that employee's or person's duties and responsibilities.
    In Sec.  129.7, the FAA proposes to include provisions governing 
the application, issuance, or denial of operations specifications. The 
application process for foreign air carriers is presently defined in 
Sec.  129.11(b) and Appendix A of part 129. It contains outdated 
requirements that are no longer relevant to the FAA's safety oversight 
needs.\1\ Also, unlike the process for domestic air carrier applicants, 
which allows more cooperation between the applicant and the FAA, 
current Appendix A of part 129 requires a foreign applicant to provide 
very specific information in a particular format. Requiring this degree 
of detail in form and content does not advance aviation safety and may 
limit the flexibility necessary to ensure the safety of the flying 
public. The FAA proposes to remove Appendix A and place general 
requirements in the new Sec.  129.7(a). However, proposed Sec.  
129.7(b) would retain the current requirement in Appendix A, section 
VIII.B for the applicant to provide a written certification that the 
statements in the application are true. Using this approach allows the 
operations specification process to be easily revised

[[Page 25129]]

and updated to meet the changing aviation environment and FAA safety 
oversight needs.
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    \1\ An example of an outdated requirement is a listing of the 
type and class of certificate held by each flight crewmember 
employed in the proposed operation within the United States. This 
requirement is duplicative. Contracting states to the Chicago 
Convention are obligated to recognize as valid certificates and 
licenses issued by other contracting states.
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    Upon issuance of the final rule, the FAA will revise the inspector 
handbook guidance with an updated application procedure for foreign 
applicants to obtain FAA-issued foreign operations specifications. The 
procedure would provide for greater interaction between the foreign 
applicant and the FAA and ensure that a foreign applicant's programs, 
systems, and intended methods of compliance are thoroughly reviewed and 
evaluated in light of U.S. requirements.
    The proposed application procedure is as follows:
    Preapplication. The foreign applicant makes an inquiry to the FAA 
regarding the process for obtaining operations specifications. The FAA 
will provide the foreign applicant with an application package and 
information on the operations specifications application process.
    Formal Application. The responsible Flight Standards District 
Office (FSDO) will conduct an in-depth review of the foreign air 
carrier's formal application for operations specifications. Also, the 
responsible office will hold a formal application meeting to discuss 
the feasibility of the project and obtain any additional information or 
request corrections needed for its review.
    Documentation. The responsible FSDO will review the applicant's 
documents in support of its request for issuance of mandatory and 
optional operations specifications.
    Verification. The responsible FSDO will verify the foreign air 
carrier applicant's DOT economic authority and TSA security program 
approval (if required).
    Issuance. The FAA will assign an operations specification 
designator and number, and the part 129 operations specifications will 
be generated and issued to the applicant for acceptance and signature. 
After issuance, the responsible FSDO will implement a comprehensive 
ongoing surveillance program.
    Using this procedure would allow the FAA to verify that the foreign 
applicant's programs, systems, and intended methods of compliance have 
been approved or accepted by the State of the Operator. The information 
obtained during the application process would also provide the FAA with 
a basis to determine whether the applicant would be able to comply with 
all applicable FAA requirements while operating in the NAS.
    For foreign air carriers or foreign persons who operate U.S.-
registered aircraft in common carriage solely outside the United 
States, the FAA would provide a simplified application procedure.
    Section 129.9 would define the content of operations specifications 
to be issued to either a foreign air carrier conducting operations 
within the United States, or a foreign air carrier or foreign person 
operating U.S.-registered aircraft solely outside the United States in 
common carriage. By specifying the content of the operations 
specifications in proposed Sec.  129.9, applicants for these 
specifications would have clear standards for the submission of their 
application.
    Current regulations do not contain provisions for the amendment, 
suspension or termination of operations specifications. For example, a 
foreign air carrier or foreign person may seek reconsideration of an 
adverse decision relating to its operations specifications using an 
informal process not established in the regulations. An operator may 
submit its petition for reconsideration through the FSDO, or an FAA 
Flight Standards Regional Office or FAA Headquarters. Therefore, there 
is a need to standardize and streamline all petitions for 
reconsideration through the office responsible for oversight of the 
foreign air carrier or foreign person.
    The proposed rule would amend Sec.  129.11 to address amendments, 
suspensions and terminations of operations specifications. The 
amendment process would be consistent with the process for amending 
operations specifications issued to domestic operators under part 119. 
Under the proposed rule, an applicant may apply for an amendment of its 
operations specification to the responsible FSDO, or the Administrator 
may amend operations specifications if the Administrator determines 
that safety in air commerce and the public interest require the 
amendment. Following an adverse decision, the applicant may submit a 
petition for reconsideration to the Director, Flight Standards Service 
within thirty (30) days after the date the foreign air carrier or 
foreign person receives a notice of the decision. The filing of the 
petition for reconsideration suspends the decision unless the 
Administrator determines that an emergency exists requiring immediate 
action to maintain safety in air commerce or air transportation. For 
suspension and termination, the FAA proposes to use a process similar 
to that used for amendments; however the Administrator may conduct 
consultations under relevant Air Services Agreements prior to 
suspending or terminating an operations specification.
    The FAA proposes to amend Sec.  129.13, the aircraft airworthiness 
and registration certificate requirements, to include recognition of 
the validity of certificates of airworthiness issued or validated by a 
State of the Operator under Article 83bis of the Chicago Convention. 
Currently Sec.  129.13 requires airworthiness certificates for foreign 
air carriers to be issued or validated by the State of Registry and 
does not recognize Article 83bis agreements with the State of the 
Operator, although the U.S. obligation to accept those agreements is 
stated in inspector handbook guidance. The proposed amendment to Sec.  
129.13 would allow recognition of third-party transfers of 
airworthiness certificates under Article 83bis agreements registered 
with ICAO.
    Similarly, the FAA proposes to amend Sec.  129.15 to provide for 
the recognition of the validity of crew licenses (certificates) issued 
or validated by a State of the Operator under agreements whereby the 
State of Registry of an aircraft transfers certain oversight functions 
to the State of the Operator of the aircraft in accordance with Article 
83bis of the Chicago Convention. Although this U.S. obligation is also 
currently stated in inspector handbook guidance, Sec.  129.15 requires 
crew licenses (certificates) for foreign air carriers to be issued or 
validated by the State of Registry and does not recognize crew licenses 
or certificates transferred under Article 83bis agreements registered 
with ICAO.
    Present regulations do not define how the FAA grants maintenance 
approval for U.S.-registered aircraft. Therefore, the FAA proposes to 
amend Sec.  129.14 by changing the FAA approval process for the minimum 
equipment list (MEL) and maintenance programs of U.S.-registered 
aircraft used by foreign air carriers and foreign persons. Under this 
proposed rule, the FAA would grant maintenance program and minimum 
equipment list approval for U.S.-registered aircraft in FAA-issued 
operations specifications, which is the practice FAA field offices 
currently follow.
    With the addition of Sec. Sec.  129.5, 129.7, 129.9, and the 
amendments to Sec.  129.11 and Sec.  129.14, the FAA proposes to 
clarify the applicability of part 129 to certain operations of U.S.-
registered aircraft operated solely outside the United States in common 
carriage by a foreign person or foreign air carrier. Therefore, Sec.  
129.1(b) would be revised to clarify that Sec. Sec.  129.5, 129.7, 
129.9, 129.11, 129.14, 129.20 and 129.24 and subpart B apply to U.S.-
registered aircraft operated solely outside the

[[Page 25130]]

United States in common carriage by a foreign person or foreign air 
carrier.
    As described in Sec.  119.1(d), part 119 does not govern operations 
conducted under part 91, subpart K (when common carriage is not 
involved), nor does it apply to parts 129, 133, 137 or 139. However, 
the introductory sentence of Sec.  119.3 requires application of the 
definitions included in Sec.  119.3 to all of subchapter G, which 
includes parts 119, 121, 125, 129, 133, 135, 136, 137 and 139. Because 
not all of these parts are subject to the substantive requirements of 
part 119, it is not immediately clear that all of the definitions in 
Sec.  119.3 apply to subchapter G, including part 129.
    The FAA proposes to create a new part 110 which will set forth the 
general requirements applicable to all of subchapter G, including the 
definitions currently located in Sec.  119.3. Section 119.3 is 
redesignated as Sec.  110.2, and all of the references in parts 119, 
121 and 135 of subchapter G to the definitions formerly contained in 
Sec.  119.3 were changed to Sec.  110.2. These changes to parts 110, 
119, 121 and 135 are editorial in nature, and the FAA has made no 
substantive changes to any of the definitions transferred to the new 
part. Further, this editorial change will have no impact on the 
applicability of the definitions contained in 14 CFR part 1 to 
subchapter G, unless otherwise specified.
    Additionally, the FAA proposes to eliminate the outdated reference 
to the Civil Aeronautics Board (CAB) in 14 CFR 129.1(a)(1). This 
revision is necessary since the CAB no longer exists, and all economic 
authority is now granted by the Department of Transportation (DOT).
    Currently, Sec.  129.11(a) requires foreign air carriers to comply 
with ICAO standards and recommended practices in part 1 of Annex 6 of 
the Chicago Convention; however, the Chicago Convention requires 
compliance with ICAO standards only. By amending Sec.  129.11(a) to 
remove the incorrect reference to ``recommended practices,'' the 
proposed rule would clarify the international standards applicable to 
foreign air carriers operating within the United States.
    In 2007, FAA chartered the Part 129 Aviation Rulemaking Committee 
(ARC) to provide advice, guidance and recommendations on comprehensive 
changes to part 129. This proposed rule does not address the ARC's 
recommendations. The FAA will consider those recommendations in a 
future rulemaking.
    To fulfill its oversight responsibilities, the FAA issues 
operations specifications to foreign air carriers and foreign persons 
to ensure a common understanding of the scope of their operations. 
Operations specifications describe: (1) The scope of a foreign air 
carrier's operations into the United States, including any applicable 
authorizations and limitations; and (2) Maintenance responsibility for 
U.S.-registered aircraft operated by foreign air carriers and foreign 
persons within or outside the United States. The foreign civil aviation 
authority is responsible for the certification and the continuing 
oversight of the air carrier or foreign person's operations in 
accordance with applicable ICAO standards.
    The following table summarizes the proposed changes to existing 
provisions of parts 119 and 129, identifies new provisions, and 
references the relevant ICAO standard implemented in the rule, if 
applicable.

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         Existing part 119                  Proposed new part 110
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Definitions: Definitions applicable  Definitions: The proposal would
 to part 129 are currently included   remove definitions from subchapter
 in part 119, subchapter G. Since     G of part 119 and include them in
 part 119 applies to certification    a new part 110.
 requirements for part 135 and 121
 operators, there is potential
 confusion concerning whether
 subchapter G applies to part 129.
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         Existing part 129                Proposed part 129 changes
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Ops Specs--Amendment, suspension or  Ops Specs--Amendment, suspension or
 termination: Current regulations     termination: The proposal would
 do not provide for the amendment,    provide a legal basis for the
 suspension, or termination of        amendment, suspension, or
 Operations Specifications.           termination of Operations
 Information is currently in the      Specifications.
 Inspector Guidance.
Application process: The             Application process: The proposal
 application process and              would remove outdated portions of
 requirements are outdated and        Appendix A and place general
 impose an unnecessary burden on      requirements in the new Sec.
 the operator and the FAA--No         129.7(a). Specific application
 safety value (e.g., Provide names,   processes will be contained in
 license type and class held by       Inspector Guidance for easy
 each flight crewmember to include    updating. In addition, the
 en route training--Lufthansa         proposal would clarify and
 employs numerous airmen that         standardize the rules for
 change constantly).                  applications by foreign air
                                      carriers and foreign persons for
                                      operations specifications issued
                                      under 14 CFR part 129.
Appeal process for foreign           Appeal process for foreign
 operators: There is no formal        operators: The proposal would
 administrative process for a         provide an administrative appeals
 foreign operator to appeal a         process allowing foreign operators
 decision to amend, suspend or        and foreign persons to submit a
 terminate its operations             petition for reconsideration to
 specifications.                      the Director, Flight Standards
                                      Service before seeking judicial
                                      review under 49 USC 46110.
Chicago Convention: There is no      Chicago Convention: The proposed
 regulatory provision for the         rule allows the FAA to recognize
 recognition of Article 83bis of      crew licenses and/or airworthiness
 the Chicago Convention. However,     certificates issued or validated
 current FAA guidance contains this   by a State of the Operator under
 information. (Note: Article 83bis    agreements whereby the State of
 allows the transfer of certain       Registry of an aircraft transfers
 functions and duties from the        certain oversight functions to the
 State of Registry to the State of    State of the Operator in
 the Operator under an agreement      accordance with Article 83bis of
 between the States concerned.)       the Chicago Convention.
------------------------------------------------------------------------

III. Paperwork Reduction Act

    This proposal contains the following new information collection 
requirements. As required by the Paperwork Reduction Act of 1995 (44 
U.S.C. section 3507(d)), the FAA has submitted the information 
requirements associated with this proposal to the Office of Management 
and Budget for its review.
    Title: Part 129 Operations Specifications.
    Summary: This proposed rule would clarify and standardize the rules 
for applications by foreign air carriers and foreign persons for 
operations specifications issued under 14 CFR part 129 and establish 
new standards for

[[Page 25131]]

amendment, suspension and termination of those operations 
specifications. The proposed rule would also apply to foreign persons 
operating U.S. registered aircraft in common carriage solely outside 
the United States. This action is necessary to update the process for 
issuing operations specifications, and it will establish a regulatory 
basis for current practices, such as amending, terminating or 
suspending operations specifications.
    Use of: This proposal would support the information needs of the 
FAA in order to maintain an adequate level of safety oversight.
    Respondents (including number of): The likely respondents to this 
proposed information requirement are potential new applicants for 
operations specifications. The average number of respondents is 
approximately twenty-five each year.
    Frequency: The FAA estimates five Flight Standards District Offices 
(FSDOs) will receive approximately five applications each per year.
    Annual Burden Estimate: This proposal would result in an annual 
recordkeeping and reporting burden as follows: 75 hours annually.
    The agency is soliciting comments to--
    (1) Evaluate whether the proposed information requirement is 
necessary for the proper performance of the functions of the agency, 
including whether the information will have practical utility;
    (2) Evaluate the accuracy of the agency's estimate of the burden;
    (3) Enhance the quality, utility, and clarity of the information to 
be collected; and
    (4) Minimize the burden of collecting information on those who are 
to respond, including by using appropriate automated, electronic, 
mechanical, or other technological collection techniques or other forms 
of information technology.
    Individuals and organizations may send comments on the information 
collection requirement by August 5, 2010, and should direct them to the 
address listed in the Addresses section at the end of this preamble. 
Comments also should be submitted to the Office of Management and 
Budget, Office of Information and Regulatory Affairs, Attention: Desk 
Officer for FAA, New Executive Building, Room 10202, 725 17th Street, 
NW., Washington, DC 20053.
    According to the 1995 amendments to the Paperwork Reduction Act (5 
CFR 1320.8(b)(2)(vi)), an agency may not collect or sponsor the 
collection of information, nor may it impose an information collection 
requirement unless it displays a currently valid OMB control number. 
The OMB control number for this information collection will be 
published in the Federal Register, after the Office of Management and 
Budget approves it.

IV. International Compatibility

    Consistent with U.S. obligations under the Chicago Convention, it 
is the FAA's policy to comply with ICAO standards to the maximum extent 
practicable. The proposed amendments will allow the FAA to carry out 
its obligations under the Chicago Convention by providing for the 
recognition of the validity of certificates of airworthiness and crew 
licenses issued or validated by a State of the Operator in accordance 
with Article 83bis of the Chicago Convention. Additionally, the 
provisions relating to the issuance of operations specifications are 
consistent with the ICAO standard for issuing operations specifications 
to operators conducting international air transportation.
    The European Aviation Safety Agency (EASA) obtained competence from 
the European Parliament to regulate third country operators of aircraft 
engaged in commercial operations into, within or out of the European 
Community (EC) in 2008. Regulation (EC) No 216/2008 provides competence 
to EASA to issue and renew authorizations for third country operators 
and to amend, limit, suspend or revoke the relevant authorization. The 
FAA will continue to coordinate with EASA on methods to streamline the 
operations specifications process, as appropriate.

V. Regulatory Evaluation, Regulatory Flexibility Determination, 
International Trade Impact Assessment, and Unfunded Mandates Assessment

    Proposed changes to Federal Regulations must undergo several 
economic analyses. First, Executive Order 12866 directs each Federal 
agency to propose or adopt a regulation only upon a reasoned 
determination that the benefits of the intended regulation justify its 
costs. Second, the Regulatory Flexibility Act of 1980 (Pub. L. 96-354) 
requires agencies to analyze the economic impact of regulatory changes 
on small entities. Third, the Trade Agreements Act (Pub. L. 96-39) 
prohibits agencies from setting standards that create unnecessary 
obstacles to the foreign commerce of the United States. In developing 
U.S. standards, the Trade Act requires agencies to consider 
international standards and, where appropriate, use them as the basis 
of U.S. standards. Fourth, the Unfunded Mandates Reform Act of 1995 
(Pub. L. 104-4) requires agencies to prepare a written assessment of 
the costs, benefits, and other effects of proposed or final rules that 
include a Federal mandate likely to result in the expenditure by State, 
local, or tribal governments, in the aggregate, or by private sector, 
of $100 million or more annually (adjusted for inflation with base year 
of 1995).
    For regulations with an expected minimal impact, the above-
specified analyses are not required. The Department of Transportation 
Order DOT 2100.5 prescribes policies and procedures for simplification, 
analysis, and review of regulations. If it is determined that the 
expected impact is so minimal that the proposal does not warrant a full 
evaluation, a statement to that effect and the basis for it is included 
in proposed regulation.
    This NPRM will have minimal economic impact because it does not 
propose to significantly change the rules regarding FAA's obligation 
for safety oversight of foreign air carriers and foreign persons under 
the Chicago Convention, but actually incorporates ICAO standards for 
acceptance of airworthiness certificates and crewmember licenses under 
Article 83bis of the Chicago Convention. This proposed rule also 
standardizes and clarifies the operations specification process. 
Accordingly, the FAA has determined as a result of the removal of 
outdated requirements in Appendix A, there may be a reduction in costs 
for foreign air carriers or persons who will need to apply for 
operations specifications. Due to streamlining and clarification of the 
application process, there may be a decrease in costs to foreign air 
carriers or persons. In addition, there will be some benefits to 
foreign air carriers and foreign persons by creating an administrative 
appeals process. The FAA requests comments from the public on the costs 
and benefits of this proposal, and the resulting determination that the 
proposals within the NPRM will have minimal economic impact.

Regulatory Flexibility Determination

    The Regulatory Flexibility Act of 1980 (Pub. L. 96-354) (RFA) 
establishes ``as a principle of regulatory issuance that agencies shall 
endeavor, consistent with the objectives of the rule and of applicable 
statutes, to fit regulatory and informational requirements to the scale 
of the businesses, organizations, and governmental jurisdictions 
subject to regulation. To achieve this principle, agencies are required 
to solicit and consider flexible regulatory proposals

[[Page 25132]]

and to explain the rationale for their actions to assure that such 
proposals are given serious consideration.'' The RFA covers a wide 
range of small entities, including small businesses, not-for-profit 
organizations, and small governmental jurisdictions.
    Agencies must perform a review to determine whether a rule will 
have a significant economic impact on a large number of small entities. 
If the agency determines that it will, the agency must prepare an 
initial regulatory flexibility analysis as described in the RFA. 
However, if an agency determines that a rule is not expected to have a 
significant economic impact on a substantial number of small entities, 
section 605(b) of the RFA provides that the head of the agency may so 
certify and a regulatory flexibility analysis is not required. The 
certification must include a statement providing the factual basis for 
this determination, and the reasoning should be clear.
    This proposed rule would clarify and standardize the rules for 
applications by foreign air carriers and foreign persons for operations 
specifications issued under 14 CFR part 129 and establish new standards 
for amendment, suspension and termination of operations specifications 
by incorporating current policies and procedures into the regulations. 
The proposed rule applies only to foreign air carriers and operations 
of U.S.-registered aircraft in common carriage solely outside the 
United States. Domestic operators are not impacted by this proposed 
rule. This proposed rule merely revises and clarifies FAA operations 
specifications application procedures; the expected outcome will not 
increase cost to any United States small entity. Therefore, the FAA 
certifies that this proposed rule will not have a significant economic 
impact on a substantial number of small entities.

International Trade Impact Assessment

    The Trade Agreements Act of 1979 (Pub. L. 96-39), as amended by the 
Uruguay Round Agreements Act (Pub. L. 103-465), prohibits Federal 
agencies from establishing standards or engaging in related activities 
that create unnecessary obstacles to the foreign commerce of the United 
States. Pursuant to these Acts, the establishment of standards is not 
considered an unnecessary obstacle to the foreign commerce of the 
United States, so long as the standard has a legitimate domestic 
objective, such as the protection of safety, and does not operate in a 
manner that excludes imports that meet this objective. The purpose of 
this proposed rule is to ensure the safety of the American public, and 
it does not exclude imports that meet this objective. The statute also 
requires consideration of international standards and, where 
appropriate, that they be the basis for U.S. standards. The proposed 
rule considers and incorporates an international standard promulgated 
pursuant to the Chicago Convention and is consistent with current ICAO 
standards. The FAA has assessed the potential effect of this proposed 
rule and has determined that it will impose minimal costs on 
international entities and may provide cost-savings to these entities 
and thus have a neutral trade impact.

Unfunded Mandates Assessment

    Title II of the Unfunded Mandates Reform Act of 1995 (Pub. L. 104-
4) requires each Federal agency to prepare a written statement 
assessing the effects of any Federal mandate in a proposed or final 
agency rule that may result in an expenditure of $100 million or more 
(adjusted annually for inflation) in any one year by State, local, and 
tribal governments, in the aggregate, or by the private sector; such a 
mandate is deemed to be a ``significant regulatory action.'' The FAA 
currently uses an inflation-adjusted value of $143.1 million in lieu of 
$100 million.
    This NPRM does not contain such a mandate. Therefore, the 
requirements of Title II of the Act do not apply.

VI. Executive Order 13132, Federalism

    The FAA has analyzed this proposed rule under the principles and 
criteria of Executive Order 13132, Federalism. We determined that this 
action would not have a substantial direct effect on the States, on the 
relationship between the Federal Government and the States, or on the 
distribution of power and responsibilities among the various levels of 
government, and, therefore, does not have federalism implications.

VII. Regulations Affecting Intrastate Aviation in Alaska

    Section 1205 of the FAA Reauthorization Act of 1996 (110 Stat. 
3213) requires the Administrator, when modifying regulations in title 
14 CFR in a manner affecting intrastate aviation in Alaska, to consider 
the extent to which Alaska is not served by transportation modes other 
than aviation, and to establish appropriate regulatory distinctions. 
Because this proposed rule would apply to the application, amendment, 
suspension and termination of operations specifications of foreign air 
carriers that operate into the United States, the rule should not 
affect intrastate aviation in Alaska.

VIII. Environmental Analysis

    FAA Order 1050.1E identifies FAA actions that are categorically 
excluded from preparation of an environmental assessment or 
environmental impact statement under the National Environmental Policy 
Act in the absence of extraordinary circumstances. The FAA has 
determined this proposed rulemaking action qualifies for the 
categorical exclusion identified in paragraph 312d and involves no 
extraordinary circumstances.

IX. Regulations That Significantly Affect Energy Supply, Distribution, 
or Use

    The FAA has analyzed this NPRM under Executive Order 13211, Actions 
Concerning Regulations that Significantly Affect Energy Supply, 
Distribution, or Use (May 18, 2001). It has determined that it is not a 
``significant energy action'' under the executive order, and it is not 
likely to have a significant adverse effect on the supply, 
distribution, or use of energy.

X. Additional Information

    Comments Invited
    The FAA invites interested persons to participate in this 
rulemaking by submitting written comments, data, or views. The FAA also 
invites comments relating to the economic, environmental, energy, or 
federalism impacts that might result from adopting the proposals in 
this document. The most helpful comments reference a specific portion 
of the proposal, explain the reason for any recommended change, and 
include supporting data. The FAA asks that you send two copies of 
written comments.
    The FAA will file in the docket all comments we receive, as well as 
a report summarizing each substantive public contact with FAA personnel 
concerning this proposed rulemaking. The docket is available for public 
inspection before and after the comment closing date. If you wish to 
review the docket in person, go to the address in the ADDRESSES section 
of this preamble between 9 a.m. and 5 p.m., Monday through Friday, 
except Federal holidays. You may also review the docket using the 
Internet at the web address in the ADDRESSES section.

Availability of Rulemaking Documents

    You can get an electronic copy of rulemaking documents using the 
Internet by--
    1. Searching the Federal eRulemaking Portal (http://www.regulations.gov);
    2. Visiting the FAA's Regulations and Policies web page at http://www.faa.gov/regulations_policies/; or

[[Page 25133]]

    3. Accessing the Government Printing Office's web page at http://www.gpoaccess.gov/fr/index.html.
    You can also get a copy by sending a request to the Federal 
Aviation Administration, Office of Rulemaking, ARM-1, 800 Independence 
Avenue, SW., Washington, DC 20591, or by calling (202) 267-9680. Make 
sure to identify the docket number, notice number, or amendment number 
of this rulemaking.
    You may access all documents the FAA considered in developing this 
proposed rule, including economic analyses and technical reports, from 
the internet through the Federal eRulemaking Portal referenced in the 
paragraph above.

List of Subjects

14 CFR Part 110

    Administrative practice and procedure, air carriers, aircraft, 
aviation safety, charter flights, reporting and recordkeeping 
requirements.

14 CFR Part 119

    Administrative practice and procedure, air carriers, aircraft, 
aviation safety, charter flights, reporting and recordkeeping 
requirements.

14 CFR Part 121

    Air carriers, aircraft, airmen, alcohol abuse, aviation safety, 
charter flight, drug abuse, drug testing, reporting and recordkeeping 
requirements, safety, transportation.

14 CFR Part 129

    Air carriers, aircraft, aviation safety, reporting and 
recordkeeping requirements, security measures, smoking.

14 CFR Part 135

    Air taxis, aircraft, airmen, alcohol abuse, aviation safety, drug 
abuse, drug testing, reporting and recordkeeping requirements.

The Proposed Amendments

    In consideration of the foregoing, the Federal Aviation 
Administration proposes to amend chapter I of title 14, Code of Federal 
Regulations as follows:

    1. Add part 110 to read as follows:

PART 110--GENERAL REQUIREMENTS

Sec.
110.1 Applicability.
110.2 Definitions.

    Authority: 49 U.S.C. 106(g), 1153, 40101, 40102, 40103, 40113, 
44105, 44106, 44111, 44701-44717, 44722, 44901, 44903, 44904, 44906, 
44912, 44914, 44936, 44938, 46103, 46105.

Sec.  110.1  Applicability.

    This part governs all operations conducted under subchapter G of 
this chapter.

Sec.  110.2  Definitions.

    For the purpose of this subchapter, the term--
    All-cargo operation means any operation for compensation or hire 
that is other than a passenger-carrying operation or, if passengers are 
carried, they are only those specified in Sec. Sec.  121.583(a) or 
135.85 of this chapter.
    Certificate-holding district office means the Flight Standards 
District Office that has responsibility for administering the 
certificate and is charged with the overall inspection of the 
certificate holder's operations.
    Commercial air tour means a flight conducted for compensation or 
hire in an airplane or helicopter where a purpose of the flight is 
sightseeing. The FAA may consider the following factors in determining 
whether a flight is a commercial air tour:
    (1) Whether there was a holding out to the public of willingness to 
conduct a sightseeing flight for compensation or hire;
    (2) Whether the person offering the flight provided a narrative 
that referred to areas or points of interest on the surface below the 
route of the flight;
    (3) The area of operation;
    (4) How often the person offering the flight conducts such flights;
    (5) The route of flight;
    (6) The inclusion of sightseeing flights as part of any travel 
arrangement package;
    (7) Whether the flight in question would have been canceled based 
on poor visibility of the surface below the route of the flight; and
    (8) Any other factors that the FAA considers appropriate.
    Commuter operation means any scheduled operation conducted by any 
person operating one of the following types of aircraft with a 
frequency of operations of at least five round trips per week on at 
least one route between two or more points according to the published 
flight schedules:
    (1) Airplanes, other than turbojet powered airplanes, having a 
maximum passenger-seat configuration of 9 seats or less, excluding each 
crewmember seat, and a maximum payload capacity of 7,500 pounds or 
less; or
    (2) Rotorcraft.
    Direct air carrier means a person who provides or offers to provide 
air transportation and who has control over the operational functions 
performed in providing that transportation.
    DOD commercial air carrier evaluator means a qualified Air Mobility 
Command, Survey and Analysis Office (AMC/DOB) cockpit evaluator 
performing the duties specified in Public Law 99-661 when the evaluator 
is flying on an air carrier that is contracted or pursuing a contract 
with the U.S. Department of Defense (DoD).
    Domestic operation means any scheduled operation conducted by any 
person operating any airplane described in paragraph (1) of this 
definition at locations described in paragraph (2) of this definition:
    (1) Airplanes:
    (i) Turbojet-powered airplanes;
    (ii) Airplanes having a passenger-seat configuration of more than 9 
passenger seats, excluding each crewmember seat; or
    (iii) Airplanes having a payload capacity of more than 7,500 
pounds.
    (2) Locations:
    (i) Between any points within the 48 contiguous States of the 
United States or the District of Columbia; or
    (ii) Operations solely within the 48 contiguous States of the 
United States or the District of Columbia; or
    (iii) Operations entirely within any State, territory, or 
possession of the United States; or
    (iv) When specifically authorized by the Administrator, operations 
between any point within the 48 contiguous States of the United States 
or the District of Columbia and any specifically authorized point 
located outside the 48 contiguous States of the United States or the 
District of Columbia.
    Empty weight means the weight of the airframe, engines, propellers, 
rotors, and fixed equipment. Empty weight excludes the weight of the 
crew and payload, but includes the weight of all fixed ballast, 
unusable fuel supply, undrainable oil, total quantity of engine 
coolant, and total quantity of hydraulic fluid.
    Flag operation means any scheduled operation conducted by any 
person operating any airplane described in paragraph (1) of this 
definition at the locations described in paragraph (2) of this 
definition:
    (1) Airplanes:
    (i) Turbojet-powered airplanes;
    (ii) Airplanes having a passenger-seat configuration of more than 9 
passenger seats, excluding each crewmember seat; or
    (iii) Airplanes having a payload capacity of more than 7,500 
pounds.
    (2) Locations:
    (i) Between any point within the State of Alaska or the State of 
Hawaii or any territory or possession of the United States and any 
point outside the State of Alaska or the State of Hawaii or any 
territory or possession of the United States, respectively; or

[[Page 25134]]

    (ii) Between any point within the 48 contiguous States of the 
United States or the District of Columbia and any point outside the 48 
contiguous States of the United States and the District of Columbia.
    (iii) Between any point outside the U.S. and another point outside 
the U.S.
    Justifiable aircraft equipment means any equipment necessary for 
the operation of the aircraft. It does not include equipment or ballast 
specifically installed, permanently or otherwise, for the purpose of 
altering the empty weight of an aircraft to meet the maximum payload 
capacity.
    Kind of operation means one of the various operations a certificate 
holder is authorized to conduct, as specified in its operations 
specifications, i.e., domestic, flag, supplemental, commuter, or on-
demand operations.
    Maximum payload capacity means:
    (1) For an aircraft for which a maximum zero fuel weight is 
prescribed in FAA technical specifications, the maximum zero fuel 
weight, less empty weight, less all justifiable aircraft equipment, and 
less the operating load (consisting of minimum flightcrew, foods and 
beverages, and supplies and equipment related to foods and beverages, 
but not including disposable fuel or oil).
    (2) For all other aircraft, the maximum certificated takeoff weight 
of an aircraft, less the empty weight, less all justifiable aircraft 
equipment, and less the operating load (consisting of minimum fuel 
load, oil, and flightcrew). The allowance for the weight of the crew, 
oil, and fuel is as follows:
    (i) Crew--for each crewmember required by the Federal Aviation 
Regulations--
    (A) For male flight crewmembers--180 pounds.
    (B) For female flight crewmembers--140 pounds.
    (C) For male flight attendants--180 pounds.
    (D) For female flight attendants--130 pounds.
    (E) For flight attendants not identified by gender--140 pounds.
    (ii) Oil--350 pounds or the oil capacity as specified on the Type 
Certificate Data Sheet.
    (iii) Fuel--the minimum weight of fuel required by the applicable 
Federal Aviation Regulations for a flight between domestic points 174 
nautical miles apart under VFR weather conditions that does not involve 
extended overwater operations.
    Maximum zero fuel weight means the maximum permissible weight of an 
aircraft with no disposable fuel or oil. The zero fuel weight figure 
may be found in either the aircraft type certificate data sheet, the 
approved Aircraft Flight Manual, or both.
    Noncommon carriage means an aircraft operation for compensation or 
hire that does not involve a holding out to others.
    On-demand operation means any operation for compensation or hire 
that is one of the following:
    (1) Passenger-carrying operations conducted as a public charter 
under part 380 of this chapter or any operations in which the departure 
time, departure location, and arrival location are specifically 
negotiated with the customer or the customer's representative that are 
any of the following types of operations:
    (i) Common carriage operations conducted with airplanes, including 
turbojet-powered airplanes, having a passenger-seat configuration of 30 
seats or fewer, excluding each crewmember seat, and a payload capacity 
of 7,500 pounds or less, except that operations using a specific 
airplane that is also used in domestic or flag operations and that is 
so listed in the operations specifications as required by Sec.  
119.49(a)(4) of this chapter for those operations are considered 
supplemental operations;
    (ii) Noncommon or private carriage operations conducted with 
airplanes having a passenger-seat configuration of less than 20 seats, 
excluding each crewmember seat, and a payload capacity of less than 
6,000 pounds; or
    (iii) Any rotorcraft operation.
    (2) Scheduled passenger-carrying operations conducted with one of 
the following types of aircraft with a frequency of operations of less 
than five round trips per week on at least one route between two or 
more points according to the published flight schedules:
    (i) Airplanes, other than turbojet powered airplanes, having a 
maximum passenger-seat configuration of 9 seats or less, excluding each 
crewmember seat, and a maximum payload capacity of 7,500 pounds or 
less; or
    (ii) Rotorcraft.
    (3) All-cargo operations conducted with airplanes having a payload 
capacity of 7,500 pounds or less, or with rotorcraft.
    Passenger-carrying operation means any aircraft operation carrying 
any person, unless the only persons on the aircraft are those 
identified in Sec. Sec.  121.583(a) or 135.85 of this chapter, as 
applicable. An aircraft used in a passenger-carrying operation may also 
carry cargo or mail in addition to passengers.
    Principal base of operations means the primary operating location 
of a certificate holder as established by the certificate holder.
    Provisional airport means an airport approved by the Administrator 
for use by a certificate holder for the purpose of providing service to 
a community when the regular airport used by the certificate holder is 
not available.
    Regular airport means an airport used by a certificate holder in 
scheduled operations and listed in its operations specifications.
    Scheduled operation means any common carriage passenger-carrying 
operation for compensation or hire conducted by an air carrier or 
commercial operator for which the certificate holder or its 
representative offers in advance the departure location, departure 
time, and arrival location. It does not include any passenger-carrying 
operation that is conducted as a public charter operation under part 
380 of this chapter.
    Supplemental operation means any common carriage operation for 
compensation or hire conducted with any airplane described in paragraph 
(1) of this definition that is a type of operation described in 
paragraph (2) of this definition:
    (1) Airplanes:
    (i) Airplanes having a passenger-seat configuration of more than 30 
seats, excluding each crewmember seat;
    (ii) Airplanes having a payload capacity of more than 7,500 pounds; 
or
    (iii) Each propeller-powered airplane having a passenger-seat 
configuration of more than 9 seats and less than 31 seats, excluding 
each crewmember seat, that is also used in domestic or flag operations 
and that is so listed in the operations specifications as required by 
Sec.  119.49(a)(4) of this chapter for those operations; or
    (iv) Each turbojet powered airplane having a passenger seat 
configuration of 1 or more and less than 31 seats, excluding each 
crewmember seat, that is also used in domestic or flag operations and 
that is so listed in the operations specifications as required by Sec.  
119.49(a)(4) of this chapter for those operations.
    (2) Types of operation:
    (i) Operations for which the departure time, departure location, 
and arrival location are specifically negotiated with the customer or 
the customer's representative;
    (ii) All-cargo operations; or
    (iii) Passenger-carrying public charter operations conducted under 
part 380 of this chapter.
    Wet lease means any leasing arrangement whereby a person agrees to

[[Page 25135]]

provide an entire aircraft and at least one crewmember. A wet lease 
does not include a code-sharing arrangement.
    When common carriage is not involved or operations not involving 
common carriage means any of the following:
    (1) Noncommon carriage.
    (2) Operations in which persons or cargo are transported without 
compensation or hire.
    (3) Operations not involving the transportation of persons or 
cargo.
    (4) Private carriage.
    Years in service means the calendar time elapsed since an aircraft 
was issued its first U.S. or first foreign airworthiness certificate.

PART 119--CERTIFICATION: AIR CARRIERS AND COMMERCIAL OPERATORS

    2. The authority citation for part 119 continues to read as 
follows:

    Authority: 49 U.S.C. 106(g), 1153, 40101, 40102, 40103, 40113, 
44105, 44106, 44111, 44701-44717, 44722, 44901, 44903, 44904, 44906, 
44912, 44914, 44936, 44938, 46103, 46105.

Sec.  119.3  [Removed and Reserved]

    3. Remove and reserve Sec.  119.3.

Sec.  119.51  [Amended]

    4. Amend Sec.  119.51(c)(1)(i) by removing the citation ``Sec.  
119.3'' and adding the citation ``Sec.  110.2'' in its place.

Sec.  119.53  [Amended]

    5. Amend Sec.  119.53(e) by removing the citation ``Sec.  119.3'' 
and adding the citation ``Sec.  110.2'' in its place.

PART 121--CERTIFICATION: AIR CARRIERS AND COMMERCIAL OPERATORS

    6. The authority citation for part 121 continues to read as 
follows:

    Authority: 49 U.S.C. 106(g), 40103, 40113, 40119, 41706, 44101, 
44701, 44702, 44705, 44709, 44710, 44711, 44713, 44716, 44717, 
44722, 46105.

Sec.  121.313  [Amended]

    7. Amend Sec.  121.313 by removing the citation ``Sec.  119.3'' and 
adding the citation ``Sec.  110.2'' in its place.

Sec.  121.582  [Amended]

    8. Amend Sec.  121.582 by removing the citation ``Sec.  119.3'' and 
adding the citation ``Sec.  110.2'' in its place.

PART 129--OPERATIONS: FOREIGN AIR CARRIERS AND FOREIGN OPERATORS OF 
U.S.-REGISTERED AIRCRAFT ENGAGED IN COMMON CARRIAGE

    9. The authority citation for part 129 continues to read as 
follows:

    Authority:  49 U.S.C. 1372, 40113, 40119, 44101, 44701-44702, 
44705, 44709-44711, 44713, 44716-44717, 44722, 44901-44904, 44906, 
44912, 46105, Pub. L. 107-71 sec, 104.
    10. Amend Sec.  129.1 by revising paragraphs (a)(1), (a)(2), and 
(b) to read as follows:

Sec.  129.1  Applicability and definitions.

    (a) * * *
    (1) A permit issued by the U.S. Department of Transportation under 
49 U.S.C. 41301 through 41306, or
    (2) Other appropriate economic or exemption authority issued by the 
U.S. Department of Transportation.
    (b) Operations of U.S.-registered aircraft solely outside the 
United States.
    In addition to the operations specified under paragraph (a) of this 
section, Sec. Sec.  129.5, 129.7, 129.9, 129.11, 129.14, 129.20 and 24, 
and subpart B of this part also apply to operations of U.S.-registered 
aircraft operated solely outside the United States in common carriage 
by a foreign person or foreign air carrier.
* * * * *
    11. Add Sec.  129.5 to read as follows:
    Sec.  129.5 Operations specifications.
    (a) Each foreign air carrier conducting operations within the 
United States, and each foreign air carrier or foreign person operating 
U.S. registered aircraft solely outside the United States in common 
carriage must conduct its operations in accordance with operations 
specifications issued by the Administrator under this part.
    (b) Each foreign air carrier conducting operations within the 
United States must conduct its operations in accordance with the 
Standards contained in Annex 1 (Personnel Licensing), Annex 6 
(Operation of Aircraft), Part I (International Commercial Air 
Transport--Aeroplanes) or Part III (International Operations--
Helicopters), as appropriate, and in Annex 8 (Airworthiness of 
Aircraft) to the Convention on International Civil Aviation.
    (c) No foreign air carrier may operate to or from locations within 
the United States without, or in violation of, appropriate operations 
specifications.
    (d) No foreign air carrier or foreign person shall operate U.S. 
registered aircraft solely outside the United States in common carriage 
without, or in violation of, appropriate operations specifications.
    (e) Each foreign air carrier must keep each of its employees and 
other persons used in its operations informed of the provisions of its 
operations specifications that apply to that employee's or person's 
duties and responsibilities.
    (f) Operations specifications issued under this part are effective 
until--
    (1) The foreign air carrier or foreign person surrenders them to 
the FAA;
    (2) The Administrator suspends or terminates the operations 
specifications; or
    (3) The operations specifications are amended as provided in Sec.  
129.11.
    (g) Within 30 days after a foreign air carrier or foreign person 
terminates operations under part 129 of this subchapter, the operations 
specifications must be surrendered by the foreign air carrier or 
foreign person to the responsible Flight Standards District Office.
    (h) No person operating under this part may operate or list on its 
operations specifications any airplane listed on operations 
specifications issued under part 125 of this chapter.
    12. Add Sec.  129.7 to read as follows:
    Sec.  129.7 Application, issuance, or denial of operations 
specifications.
    (a) A foreign air carrier or foreign person applying to the FAA for 
operations specifications under this part must submit an application--
    (1) In a form and manner prescribed by the Administrator; and
    (2) At least 90 days before the intended date of operation.
    (b) An authorized officer or employee of the applicant, having 
knowledge of the matters stated in the application, must sign the 
application and certify in writing that the statements in the 
application are true. The application must include two copies of the 
appropriate written authority issued to that officer or employee by the 
applicant.
    (c) A foreign applicant may be issued operations specifications, if 
after review, the Administrator finds the applicant--
    (1) Meets the applicable requirements of this part;
    (2) Holds the economic or exemption authority required by the 
Department of Transportation, applicable to the operations to be 
conducted;
    (3) Complies with the applicable security requirements of 49 CFR 
chapter XII;
    (4) Is properly and adequately equipped to conduct the operations 
described in the operations specifications; and

[[Page 25136]]

    (5) Holds a valid air operator certificate issued by the State of 
the Operator.
    (d) An application may be denied if the Administrator finds that 
the applicant is not properly or adequately equipped to conduct the 
operations to be described in the operations specifications.
    13. Add Sec.  129.9 to read as follows:

Sec.  129.9  Contents of operations specifications.

    (a) The contents of operations specifications issued to a foreign 
air carrier conducting operations within the United States under Sec.  
129.1(a) shall include:
    (1) The specific location and mailing address of the applicant's 
principal place of business in the State of the Operator and, if 
different, the address that will serve as the primary point of contact 
for correspondence between the FAA and the foreign air carrier;
    (2) The designation of an agent for service within the United 
States, including the agent's full name and office address or usual 
place of residence;
    (3) The certificate number and validity of the foreign air 
carrier's Air Operator Certificate issued by the State of the Operator;
    (4) Each regular and alternate airport to be used in scheduled 
operations;
    (5) The type of aircraft and registration markings of each 
aircraft;
    (6) The approved maintenance program and minimum equipment lists 
for United States registered aircraft authorized for use; and
    (7) Any other item the Administrator determines is necessary.
    (b) The contents of operations specifications issued to a foreign 
air carrier or foreign person operating U.S.-registered aircraft solely 
outside the United States in common carriage in accordance with Sec.  
129.1(b) shall include--
    (1) The specific location and mailing address of the principal 
place of business in the State of the Operator and, if different, the 
address that will serve as the primary point of contact for 
correspondence between the FAA and the foreign air carrier or foreign 
person;
    (2) The designation of an agent for service within the United 
States, including the agent's full name and office address or usual 
place of residence;
    (3) In the case of a foreign air carrier, the certificate number 
and validity of the foreign air carrier's Air Operator Certificate 
issued by the State of the Operator;
    (4) Any other business names under which the foreign air carrier or 
foreign person may operate;
    (5) The type, registration markings, and serial number of each 
United States registered aircraft authorized for use;
    (6) The approval of maintenance programs and minimum equipment 
lists for United States registered aircraft authorized for use; and
    (7) Any other item the Administrator determines is necessary.
    14. Revise Sec.  129.11 to read as follows:

Sec.  129.11  Amendment, suspension, and termination of operations 
specifications.

    (a) The Administrator may amend any operations specifications 
issued under this part if--
    (1) The Administrator determines that safety in air commerce and 
the public interest require the amendment; or
    (2) The foreign air carrier or foreign person applies for an 
amendment, and the Administrator determines that safety in air commerce 
and the public interest allows the amendment.
    (b) The Administrator may suspend or terminate any operations 
specifications issued under this part if the Administrator determines 
that safety in air commerce and the public interest require the 
suspension or termination;
    (c) Except as provided in paragraphs (f) and (g) of this section, 
when the Administrator initiates an action to amend, suspend or 
terminate a foreign air carrier or foreign person's operations 
specifications, the following procedure applies:
    (1) The responsible Flight Standards District Office notifies the 
foreign air carrier or foreign person in writing of the proposed 
amendment, suspension or termination.
    (2) The responsible Flight Standards District Office sets a 
reasonable period (but not less than 7 days) within which the foreign 
air carrier or foreign person may submit written information, views, 
and arguments on the amendment, suspension or termination.
    (3) After considering all material presented, the responsible 
Flight Standards District Office notifies the foreign air carrier or 
foreign person of--
    (i) The adoption of the proposed amendment, suspension or 
termination;
    (ii) The partial adoption of the proposed amendment, suspension or 
termination; or
    (iii) The withdrawal of the proposed amendment, suspension or 
termination.
    (4) If the responsible Flight Standards District Office issues an 
action to amend, suspend or terminate the operations specifications, it 
becomes effective not less than 30 days after the foreign air carrier 
or foreign person receives notice of it unless--
    (i) The responsible Flight Standards District Office finds under 
paragraph (g) of this section that there is an emergency requiring 
immediate action with respect to safety in air commerce; or
    (ii) The foreign air carrier or foreign person petitions for 
reconsideration of the amendment, suspension or termination under 
paragraph (e) of this section.
    (d) When the foreign air carrier or foreign person applies for an 
amendment to its operations specifications, the following procedure 
applies:
    (1) The foreign air carrier or foreign person must file an 
application to amend its operations specifications--
    (i) At least 90 days before the date proposed by the applicant for 
the amendment to become effective in cases of mergers; acquisitions of 
airline operational assets that require an additional showing to 
Department of Transportation for economic authority; major changes in 
the type of operation and resumption of operations following a 
suspension of operations as a result of bankruptcy actions, unless a 
shorter time is approved by the Administrator.
    (ii) At least 30 days before the date proposed by the applicant for 
the amendment to become effective in all other cases.
    (2) The application must be submitted to the responsible Flight 
Standards District Office in a form and manner prescribed by the 
Administrator.
    (3) After considering all material presented, the responsible 
Flight Standards District Office notifies the foreign air carrier or 
foreign person of--
    (i) The adoption of the applied for amendment;
    (ii) The partial adoption of the applied for amendment; or
    (iii) The denial of the applied for amendment.
    (4) If the responsible Flight Standards District Office approves 
the amendment, following coordination with the foreign air carrier or 
foreign person regarding its implementation, the amendment is effective 
on the date the responsible Flight Standards District Office approves 
it.
    (e) The foreign air carrier or foreign person may petition for 
reconsideration of a full or partial adoption of an amendment, a denial 
of an amendment or a suspension or termination of operations 
specifications.
    (f) When a foreign air carrier or foreign person seeks 
reconsideration of a decision from the responsible Flight Standards 
District Office concerning the amendment, suspension or termination

[[Page 25137]]

of operations specifications, the following procedure applies:
    (1) The foreign air carrier or foreign person must petition for 
reconsideration of that decision within 30 days after the date that the 
foreign air carrier or foreign person receives a notice of the 
decision.
    (2) The foreign air carrier or foreign person must address its 
petition to the Director, Flight Standards Service.
    (3) A petition for reconsideration, if filed within the 30-day 
period, suspends the effectiveness of any amendment, suspension or 
termination issued by the responsible Flight Standards District Office 
unless the responsible Flight Standards District Office has found, 
under paragraph (g) of this section, that an emergency exists requiring 
immediate action with respect to safety in air transportation or air 
commerce.
    (g) If the responsible Flight Standards District Office finds that 
an emergency exists requiring immediate action with respect to safety 
in air commerce or air transportation that makes the procedures set out 
in this section impracticable or contrary to the public interest, that 
office may make the amendment, suspension or termination effective on 
the day the foreign air carrier or foreign person receives notice of 
it. In the notice to the foreign air carrier or foreign person, the 
responsible Flight Standards District Office will articulate the 
reasons for its finding that an emergency exists requiring immediate 
action with respect to safety in air transportation or air commerce or 
that makes it impracticable or contrary to the public interest to stay 
the effectiveness of the amendment, suspension or termination.
    15. Amend Sec.  129.13 by revising paragraph (a) to read as 
follows:

Sec.  129.13  Airworthiness and registration certificates.

    (a) No foreign air carrier may operate any aircraft within the 
United States unless that aircraft carries a current registration 
certificate and displays the nationality and registration markings of 
the State of Registry, and an airworthiness certificate issued or 
validated by:
    (1) The State of Registry; or
    (2) The State of the Operator, provided that the State of the 
Operator and the State of Registry have entered into an agreement under 
Article 83bis of the Convention on International Civil Aviation that 
covers the aircraft.
* * * * *
    16. Amend Sec.  129.14 by revising paragraphs (a), (b)(4) and 
(b)(7) to read as follows:

Sec.  129.14  Maintenance program and minimum equipment list 
requirements for U.S.-registered aircraft.

    (a) Each foreign air carrier and each foreign person operating a 
U.S.-registered aircraft within or outside the United States in common 
carriage must ensure that each aircraft is maintained in accordance 
with a program approved by the Administrator in the operations 
specifications.
    (b) * * *
    (4) The FAA operations specification permitting the operator to use 
an approved minimum equipment list is carried aboard the aircraft. An 
approved minimum equipment list, as authorized by the operations 
specifications, constitutes an approved change to the type design 
without requiring recertification.
* * * * *
    (7) The aircraft is operated under all applicable conditions and 
limitations contained in the minimum equipment list and the operations 
specification authorizing the use of the list.
    17. Revise Sec.  129.15 to read as follows:

Sec.  129.15  Flight crewmember certificates.

    Each person acting as a flight crewmember must hold a certificate 
or license that shows the person's ability to perform duties in 
connection with the operation of the aircraft. The certificate or 
license must have been issued or rendered valid by:
    (a) The State in which the aircraft is registered; or
    (b) The State of the Operator, provided that the State of the 
Operator and the State of Registry have entered into an agreement under 
Article 83bis of the Convention on International Civil Aviation that 
covers the aircraft.

Appendix A to Part 129 [Removed and Reserved]

    18. Remove and reserve Appendix A to part 129.

PART 135--OPERATING REQUIREMENTS: COMMUTER AND ON DEMAND OPERATIONS 
AND RULES GOVERNING PERSONS ON BOARD SUCH AIRCRAFT

    19. The authority citation for part 135 continues to read as 
follows:

    Authority: 49 U.S.C. 106(g), 40113, 41706, 44701, 44702, 44705, 
44709, 44711, 44713, 44715, 44717, 44722, 46105.

Sec.  135.127  [Amended]

    20. Amend Sec.  135.127(b)(1)(iii) by removing the citation ``Sec.  
119.3'' and adding the citation ``Sec.  110.2'' in its place.

Sec.  135.127  [Amended]

    21. Amend Sec.  135.127(b)(2) by removing the citation ``Sec.  
119.3'' and adding the citation ``Sec.  110.2'' in its place.

    Issued in Washington, DC, on May 4, 2010.
Raymond Towles,
Acting Director, Flight Standards Service.
[FR Doc. 2010-10890 Filed 5-6-10; 8:45 am]
BILLING CODE 4910-13-P
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