UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on June 23, 2010

 NOTICE OF ACTION TAKEN

DOCKETS DOT-OST-2010-0137 and DOT-OST-2010-0146

(Milwaukee-Cancun) 

_________________________________________________________________________________________________________

This serves as notice to the public of the action described below, taken by the Department official indicated (no 

additional confirming order will be issued in this matter).

____________________________________________________________________________________________

Docket DOT-OST-2010-0137: Application of FRONTIER AIRLINES, INC. (Frontier), filed 5/20/10, for:

XX Exemption for two years under 49 U.S.C. 40109 to provide the following service:

Scheduled foreign air transportation of persons, property, and mail between Milwaukee, Wisconsin, 

and Cancun, Mexico.

1

____________________________________________________________________________________________

Docket DOT-OST-2010-0146: Application of AIRTRAN AIRWAYS, INC. (AirTran), filed 6/7/10, for:

XX Exemption for two years under 49 U.S.C. 40109 to provide the following service:

Scheduled foreign air transportation of persons, property, and mail between Milwaukee, Wisconsin, 

and Cancun, Mexico.

2

Applicant reps: Robert E. Cohn (Frontier) (202) 637-4999 and Edward P. Faberman (AirTran) (202) 719-7402

DOT Analyst: Linda L. Lundell (202) 366-2336 

 

D I S P O S I T I O N

XX Granted (subject to conditions, see below)

The above action was effective when taken: June 23, 2010, through June 23, 2012.

Action taken by: Paul L. Gretch, Director

 Office of International Aviation

XX The authority granted is consistent with the aviation agreement between the United States and Mexico.

Except to the extent exempted or waived, this authority is subject to the terms, conditions, and limitations indicated:

XX The holders’ certificates of public convenience and necessity

XX Standard exemption conditions (attached)

- see next page -

 

1

 Frontier states that it will provide seasonal service in the market, beginning December 18, 2010.

2

 AirTran states that it will provide year-round service in the market, beginning April 1, 2011.
Conditions: The U.S.-Mexico exemption authority granted to Frontier and AirTran is subject to the dormancy 

notice requirements set forth in condition 7 of Appendix A of Order 88-10-2 and, for Frontier’s proposed seasonal 

service, the notice requirements for seasonal/intermittent service as set forth in Order 96-11-24, at 5. Consistent 

with our standard policy, the dormancy notice period will begin on the carriers’ proposed startup dates for the 

subject services, as follows: December 18, 2010, for Frontier; and April 1, 2011, for AirTran. 

Remarks: Under the U.S.-Mexico aviation agreement, up to a total of three U.S. carriers may be designated to 

provide direct-carrier (own-aircraft) service on the Milwaukee-Cancun route. At the time the captioned 

applications were filed, two U.S. carriers were already authorized to provide such services (Delta Air Lines, Inc. 

(Delta), and Brendan Airways, LLC d/b/a USA 3000 (USA 3000)), leaving only one designation opportunity 

available for direct-carrier services.3 Subsequently, however, USA 3000 filed notice to the Department that it was 

no longer serving the Milwaukee-Cancun route.4 Based on USA 3000’s dormancy notice, we are now in a position 

to award the requested authority to both applicants in this matter. We have granted the captioned applications 

contemporaneously here.

On the basis of data officially noticeable under Rule 24(g) of the Department's regulations, we found the applicants

qualified to provide the exemption services authorized.

Under authority assigned by the Department in its regulations, 14 CFR Part 385, we found that (1) our action was 

consistent with Department policy; (2) grant of the authority was consistent with the public interest; and (3) grant of 

the authority would not constitute a major regulatory action under the Energy Policy and Conservation Act of 1975. 

To the extent not granted, we denied all requests in the referenced Dockets. We may amend, modify, or revoke the 

authority granted in this Notice at any time without hearing at our discretion.

Persons entitled to petition the Department for review of the action set forth in this Notice under the Department’s 

regulations, 14 CFR §385.30, may file their petitions within seven (7) days after the date of issuance of this Notice. 

This action was effective when taken, and the filing of a petition for review will not alter such effectiveness.

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

www.regulations.gov

 

3

 AirTran filed a response to Frontier’s application, with an accompanying motion for leave to file an otherwise unauthorized 

document. We have granted AirTran’s motion. Frontier and AirTran filed additional responsive pleadings in the captioned 

dockets calling for carrier selection procedures if there were not sufficient designations available to authorize the proposed 

services of both applicants. Because we have granted the requested exemption authority of both applicants, our action here 

does not reach the issues raised in the responsive pleadings.

4

 See USA 3000 dormancy notice dated June 11, 2010, in Docket DOT-OST-2008-0295. 
ATTACHMENT

U.S. Carrier Exemption Conditions

In the conduct of the operations authorized, the U.S. carrier applicant(s) shall:

(1) Hold at all times effective operating authority from the government of each country served;

(2) Comply with applicable requirements concerning oversales contained in 14 CFR 250 (for scheduled 

operations, if authorized);

(3) Comply with the requirements for reporting data contained in 14 CFR 241;

(4) Comply with requirements for minimum insurance coverage, and for certifying that coverage to the 

Department, contained in 14 CFR 205;

(5) Except as specifically exempted or otherwise provided for in a Department Order, comply with the 

requirements of 14 CFR 203, concerning waiver of Warsaw Convention liability limits and defenses;

(6) Comply with all applicable requirements of the Federal Aviation Administration, the Transportation 

Security Administration, and with all applicable U.S. Government requirements concerning security, 

including, but not limited to, 49 CFR Part 1544. 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; and

(7) Comply with such other reasonable terms, conditions, and limitations required by the public interest 

as may be prescribed by the Department of Transportation, with all applicable orders and regulations of 

other U.S. agencies and courts, and with all applicable laws of the United States.

The authority granted shall be effective only during the period when the holder is in compliance with the 

conditions imposed above.

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