AIR

- 13

- 535

- E January 30, 2014 Exemption No. 10079 C Regulatory Docket No. FAA

- 2009

- 0772

Mr. Craig L. Fabian Regulatory Compliance Leader

GE Aviation General Electric Company One Neumann Way, MD P10 Cincinnati, Ohio 45215

Dear Mr. Fabian:

This letter is to inform you that we have extended Exemption No. 10079 , as amended. It explains the basis for our decision , describes its effect, and lists the un revised conditions and

limitations.

The Basis for Our Decision

By letter dated September 4, 2013 , you petitioned the Federal Aviation Administration (FAA) on

behalf of General Electric Company (GE) for an amendment to Exemption No. 10 0 79, as

amended. T he FAA acknowledges that the regulations from which GE originally sought and received exemption, Title 14, Code of Federal Regulations (CFR), §§ 21.151 and 21.153

, are

n ow embodied respectively in §§ 21.142 and 21.147. Th is non

- substantive change occurred during Amendment 21

- 92

, 74 FR 53387, Oct 16

, 2009. Th e original exemption from §§ 21.151

and 21.153 allow ed amendments to GE’s production limitation record (PLR) to permit the

manufacture and installation of certain parts which are not part of the type

- certificated products

listed on GE’s PLR.

In your petition, you requested this exemption be extended for 5 years. The FAA, however, finds it in the best interest of safety to review this exem ption every 2 years. This allows us to ensure that there has been no change in circumstances or regulations from which the exemption is granted2

In your September 4, 2013 petition, you indicate that there has been no change in the conditions

and reasons relative to public interest and safety that were the basis for granting the original exemption. However, you also request ed that we modify the existing exemption (10079B) by completely eliminat ing “Conditions and Limitations ” item 12, o r by otherwise modify ing th at

text to include applicability to “components manufactured under GE’s quality system when engines are completed as a product under a foreign production approval pursuant to GE’s relationship with CFM International

. ” Item 12

, Conditions and Limitations

, provides clear scope with respect to applicability of the exemption currently in force. To delete this paragraph would introduce unnecessary ambiguity. Also, as specified in 14 CFR 11.81

, a petitioner must
indicate the specific sections of 14 CFR from which an exemption is sought. This means the relief you seek, and that which the FAA may grant, must be specific to a 14 CFR regulatory requirement. The reference to foreign production approval s
, as requested in your petition , has

broad implications and could reach far beyond 14 CFR re quirements . This would exceed FAA authority.

The FAA has determined that good cause exists for not publishing a summary of the petition in

the Federal Register because the requested extension of

, and ame ndment to the exemption would not set a precedent, and any delay in acting on this pe tition would be detrimental to GE.

The Effect of Our Decision

Our decision extends the termination date of Exemption No. 10079, as amended, to September 30, 2016, unless sooner superseded or rescinded. The conditions and limitations are restated below.

Our Decision

The FAA has determined that the justification for the issuance of Exemption No. 10079 , as amended, remains valid and is in the public interest. Ther efore, under the authority provided by 49 U.S.C. 106(f), 40113 and 44701, which the FAA Administrator has delegat ed to me, I grant General Electric Company relief from sections §§ 21.142 and 21.147 to the extent necessary to allow GE to apply to the FAA to amend its production limitation record to allow the manufacture and installation of interface components described in FAA type certificates held by an entity other than GE , subjec t to the following conditions and limitations:

Conditions and Limitations

1. GE may manufacture interface components ( IC ) , which includes single articles or kits that are part of a product type certificated under parts 23, 25, 27, and 29, and install those

c omponents during production on GE engines under GE’s production certificate PC108. The design data for the IC must be licensed to GE and the IC to be installed must be

identified on the GE PLR.3

2. The IC added to the GE’s PLR is limited to airframe components specified in condition

No. 1. The relief provided by this exemption is limited to the manufacture of IC that is to be installed on GE engines during engine production. IC manufactured by GE u nder the relief granted in this exemption may be shipped loose with a new engine or as spare or replacement articles.

3. To exercise the privileges of this exemption, GE must apply to the manager of its FAA managing office using FAA Form 8110

- 12, Application for Type Certificate, Production Certificate, or Supplemental Type Certificate, requesting amendment of GE’s PLR for

the manufacture and installation of IC. The data licensed to GE must be a complete data package and include design and installation drawi ngs. That data must be made available to GE and the FAA upon request.

4. The IC listed on GE’s PLR is limited to IC manufactured by GE under GE’s production

certificate. The design data must be licensed from the holder of a U.S. TC (including an

FAA

- valida ted TC) for the aircraft on which the GE engine is to be installed.

5. The application by GE to its FAA managing office to amend its PLR must contain the following information:

a. A comprehensive description of the scope of the proposed manufacturing and installation activity for the IC on each affected engine model under the provisions of this exemption.

b. A specific description of the IC to be installed on each affected GE engine model, including the part number. Kits combining IC must define the indi vidual IC included in

the kit.

c. The licensing agreement between GE and the holder of the TC that specifically

identifies the IC to be installed.

d. A description of the documentation to be maintained by GE identifying the IC by its associated TC, GE’s supplier of the IC (if applicable), and the GE product on which the

IC is installed.

6. The holder of type design data identifying the IC installed on the GE product under this exemption retains all the continuing airworthiness responsibilities for the IC. G E is responsible for all issues related to quality, manufacturing, and installation of the IC by

GE. The GE quality manual must include a description of how those responsibilities will be separated, identified, and fulfilled by GE and the holder of the TC identifying the IC.

7. When exercising the privileges of this exemption, the IC may only be installed under the provisions of GE’s production certificate.4

8. GE must have procedures and processes in place to ensure the engine, notwithstanding

the installed IC, conforms to its approved type design, the IC conforms to its approved type design data, and the GE product with the installed IC is in a condition for safe operation.

9. Prior to manufacturing and installing IC on an engine under the provisions of this exemption, GE must receive confirmation from its FAA certificate managing office that the FAA Transport Airplane Directorate and the FAA Engine and Propeller Directorate have determined that any component GE intends to manufacture and install unde r the provisions of this exemption is an IC and that installing the IC during engine manufacture provides a level of safety that is equivalent to that achieved by installation of the IC after engine manufacture.

10. GE must amend its quality manual to indicat e that any FAA airworthiness approval documentation issued for an engine containing IC manufactured and installed under the provisions of this exemption must specify that the IC was installed on the product under a licensing agreement.

11. Prior to the issuan ce of any FAA Form 8130

- 3 for a GE engine manufactured under the GE quality system and containing IC manufactured and installed under the provisions of this exemption, GE must specify in block 13 of the form that:

a. the IC was installed on the engine du ring manufacture in accordance with Exemption No. 10079, as amended,

b. the IC manufactured and installed under the exemption conforms to its type design

and c. the engine, excluding the IC installed, conforms to its type design.

12. The privilege s of this exemption may be extended to GE consortium engines when the engines are manufactured under GE's quality system and completed as a product under GE's production certificate. This exemption does not apply when GE is manufacturing components of a c onsortium product and the engine is completed under a separate production certificate.

13. Before exercising the privileges of this exemption, GE must have procedures for dispositioning discrepancies with the IC. Any authority granted by the TC holder in the licensing agreement, allowing for nonconforming material dispositions to be made by GE, must be documented in GE’s quality procedures. GE has no authority to amend the type design of the IC

. All changes to the type design must be made by the design

appr oval holder (i.e., through maintenance review board action).5

14. GE’s manuals relevant to the exempted activity, such as maintenance/operation manuals, and parts catalogs, must be revised to reflect the exempted activity.

Sincerely,

/s/

Frank P. Paskiewicz Deputy Director, Aircraft Certification Service