SERVED: OCTOBER 13,2010 

U.S. DEPARTMENT OF TRANSPORTATION --WMEN T OF 

OFFICE OF HEARINGS .^' i''^ W^^'Of^ 

WASHINGTON, DC -^^^' OPERATiONS 

^ :^^[0 OCT i 3 P i2: 05 

IN THE MATTER OF 

CAROLINA BLUE AIR, LLC 

FAA DOCKET NO. CPIOEAOOIO 

(Civil Penalty Action) 

FDMS NO. FAA-2010-0972 

ORDER OF CHIEF ADMINISTRATIVE LAW JUDGE 

ESTABLISHING PROCEDURES 

This proceeding arises from a complaint served September 14, 2010, alleging violation of 

the Federal Aviation Act/Regulations, and the Respondent's request for hearing dated August 30, 

2010. The undersigned administrative law judge was assigned to this proceeding by Notice 

serve4 October 13, 2010. 

The Rules of Practice for this proceeding are set forth in Part 13, Subpart G, of the Federal Aviation Regulations (14 C.F.R. §§ 13.201-13.235 (2009)). Those rules provide, inter alia, 

that the Respondent must file a written answer or motion within 30 days after service of the 

complaint (§ 13.209(a)); that a general denial is deemed a failure to file an answer (§ 13.209(e)); 

that failure to file an answer without good cause is deemed an admission of each allegation in the 

complaint (§ 13.209(f)), and that a party seeking an extension of time must file a written motion 

at least seven days before the document is due, absent agreement of the parties or good cause 

shown (§ 13.213(a) and (b)). 

To expedite the hearing in this matter. Complainant and the Respondent, on or before 
November 15, 2010, shall file (1) any amendment of the complaint or answer;' (2) an agreed or 

separate proposed procedural schedules, including proposed dates (i.e., specific dates, not merely 

numbers or days before the hearing) for (a) filing stipulations, a list of witnesses, a summary of 

their proposed testimony, and for (b) exchanging exhibits and discovery, if any; (3) a statement 

concerning the status of settlement efforts; and (4) a proposed hearing site and, absent agreement 

of the parties, a justification of the proposed site. See 14 C.F.R. § 13.217. 

Under FAA Order 2150.3B (Oct. 1, 2007) and the Rules governing these proceedings. 

Complainant and the Respondent should continue to consider the possibility of settlement and 

compromise of this matter.'^ In connection with such discussions, the parties should note that 

FAA Order 2150.3B, which establishes standards for the Complainant's conduct and settlement 

of this proceeding, is available on the Internet.'' See, in particular, chapter 6 (Legal Enforcement 

Actions and Legal Counsel Responsibilities); and either (a) Appendix B (Table of Sanctions), 

pages B-1—B8 (Part One - Abbreviations and Definitions) and those portions of Part Two -

Sanction Guidance Tables, which apply to particular allegations not involving hazardous materials, or (b) Appendix C, which pertains to hazardous materials cases. Upon request of Respondent, Complainant shall provide Respondent a copy of the applicable referenced provisions. 

' Further amendments are not anticipated absent good cause shown. Though 14 C.F.R. § 13.214(b)(1) permits 

amendments at any time more than 15 days before a hearing, utilization of that provision would prevent orderly preparation for a hearing and could prevent any hearing at all, because notice of a hearing must be given 60 days in advance. 

§ 13.221(a). An amendment that might be filed 15 days prior to the hearing would entitle the other party up to 20 days in 

which to reply (§ 13.214(c)), and could generate a new round of schedules (§ 13.217), motions (§ 13.218), and discovery 

(§ 13.220), necessitating a postponement of the hearing, a new 60-day notice, et cetera ad infinitum. 

^ See Linda Joyce Goodman, FAA Docket No. CP89WP0061, DMS No. FAA-2004-18292, at 11 (May 30, 

1989), available at www.regulations.gov (concluding that "the prosecuting agency attorney must consider settlement and that the Rules do not permit the Chief Counsel to exercise policy control or decisionmaking in this case or 

in civil penalty cases generally so as to deny prosecutorial discretion with respect to settlement and compromise to 

the agency attorney as defined in the rules"). See also Exec. Order No. 12,988, 61 Fed. Reg. 4729 (Feb. 5, 1996), 

which refers to facilitating the just and efficient resolution of civil claims involving the United States Government 

and which directs Federal agencies and their litigation counsel to, "as soon as practicable after ascertaining the nature of a dispute in litigation, and throughout the litigation,... evaluate settlement possibilities and make reasonable 

efforts to settle the litigation." See also FAA Order 2150.3B at paragraph 6-2. 

^ Accessed at http://rgl.faa.gov by selecting "Orders/Notices," then "Current Orders; By Number," then 

"2150.3B 10/01/2007 FAA Compliance and Enforcement Program (Change 1 included)." 

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Submissions sent to the street address of the U.S. Department of Transportation, Office of 

Hearings, by regular mail may be delayed up to four weeks due to postal screening and may be 

"irradiated," which may result in pages being fused together. Accordingly, parties who serve 

submissions on the Judge by regular mail should also fax, express carrier, or personally deliver 

those submissions. The certificate of service should reflect the manner of service. 

Compromise may be effected with or without a finding of violation (§ 13.16(n)). Each 

party's filing shall include a telephone number where the party can be reached by the Judge for 

prehearing telephone conferences. 

SO ORDERED. 

Ronnie A. Yoder 

Chief Administrative Law 

^--"* 
FAA Docket No. CPIOEAOOIO 

(Civil Penalty Action) 

SERVICE LIST 

ORIGINAL & ONE COPY 

Federal Aviation Administration 

800 Independence Avenue, S.W. 

Washington, D.C. 20591 

Attention: Hearing Docket Clerk, AGC-430 

Wilbur Wright Building—Suite 2W1000'* 

ONE COPY 

Eugene A. McDonough, Respondent's Representative 

President, Million Air Richmond 

400 Portugee Road 

Richmond Intl. Airport 

Richmond VA 23250-2417 

TEL: 804-222-3700 

FAX: 804-222-4044 

Zachary M. Berman, Complainant's Counsel 

Office of the Regional Counsel 

Eastern Region 

1 Aviation Plaza 

Rockaway Boulevard 

Jamaica, NY 11434 

TEL: 718-553-3258 

FAX: 718-995-5699 

The Honorable Rormie A. Yoder, Chief Administrative Law Judge 

U.S. Department of Transportation 

Office of Hearings, M-20, Room El 2-320 

1200 New Jersey Avenue, S.E. 

Washington, DC 20590 

TEL: 202-366-2142 

FAX: 202-366-7536 

" Service was by U.S. Mail. For service in person or by expedited courier, use the following address: Federal Aviation Administration, 600 Independence Avenue, S.W., Wilbur Wright Building—Suite 2W1000, Washington, DC 

20591; Attention: Hearing Docket Clerk, AGC^30.