12/20/2012 05:54 4252271007 ANM7 

JEFFREY HARPER 

FAA OFFICE OF REGIONAL COUNSEL 

1601 UNO AV:e., SW 

RENfON, WASHINGTON 98057 

TELEPHONE: (425) 227·2161 

FACSIMILE: ( 425) 22 7-] 007 

In the Matter of: 

UNITED STATES OF AMERICA 

DEPARTMENT OF TRANSPORTATION 

OFFICE OF HEARINGS 

WASHINGTON, D.C. 

FAA Case No. 2011NM070084 

DMS No.: FAA-201lu1293 

Cornerstone Aviation, Inc. 

Honorable Richard C. Goodwin 

COMPLAINANT'S 

MOTION TO DEEM ALLEGATIONS ADMITTED 

AND 

RESPONSE TO 

RESPONDENT'S STATEMENT OF CAUSE 

In accordance with 14 C.F.R. § 13.218(a) (Rule 218(a)), the Administrator (Co:m.plai.nant) 

responds to Complainant's Statement of Cause served December 13, 2012 and moves to 

deem the matters alleged in the Complaint as admitted. 

Background 

PAGE 02/08 

On December 5, 201 1, Respondent requested a hearing in respon.se to the Complainant's Fin.al Notice of Proposed Civil Penalty. 011. December 15, 2011, Complainant served the Complaint on Respondent by facsimile and mail; the facsimile copy was received on Decem" 

ber 15, 2011~ the mailed copy was receipted for on December 21, 20ll. 

On F ebruacy 81 2012, Complainant served a Motion. fo:r Decision, 1 on. the basis that Respond~ 

ent had not answered the Complaint and thereby admitted all allegations contained in the 

Complaint. The Motion was renewed on November 7, 2012. On November 7, 2012, the 

1 DMS No. FAA-2011-1293-0003. 
12/20/2012 06:54 4252271007 ANM7 

Court ordered Respondent ro show cause why the Renewed Motion should not be granted 

and to file an answer by November 28,2012.2 

On. December 13, 2012, Respondent served a letter in response to the Order to Show Cause. 

It asserts that the Complaint had previously been answered.. Contrary to Respolldent's claims, 

an Answer has still not been filed. Respondent appears to be referring to either its letter requesting a hearing dated December 5, 2011,3 

or its undated response to Complainant's discovery requests.4 

Respondent has been served with Procedural Orders entered in three cases which affirmatively put Respondent on notice of the requiremeJJ.t to fl.le an Answer and the consequences of 

failing to do so. See DMS Nos. FAA~2011-0481-0003, FAA~2011-0481-0004, FAA-2011~ 

0484-0003, and FAA-2011-0489-0004. Respondent is aware of the requirement to file anAn.-

swer, having properly filed Answers to three previous Complaints. 

Argument 

The Complaint was filed on December 15, 2011. Over a year has passed since that date, and 

Respondent has not filed an Answer. To the exte.n.t that the request for a hearing dated December 5, 20 11 might be construed as an answer, it fails to specifically admit or deny each 

numbered paragraph of the Complaint Thus, if it is an Answer, it a.rt.l.ounts to a .. general den.ial of the complaint." Under Rule 13.209(e), a "general deniaP1 is "a failure to file an answer." 

Accordingly, Com.plain.an.t asks the Court to deem the matters alleged in the Complaint ad~ 

mitted. 

· Although Respondent requested that this case be heard jointly with cases DMS Nos. 

FAA-2011-0481, FAA-2011-0484, and FAA-2011-0489-0004 at the hearing on March 12, 

2 012, Respondent's failure to .file an Answer before that date made any such hearing prema~ 

ture, and, in any event, the Cow:t.'s Amended Hearing Notice of.Tanuar.y 24, 2012 in those 

cases did not set this case for hearing on March 12,2012. 

The Court's Order to Show Cause gave Respo11dent "one final opportunity to comply" with 

its obligation to file an Answer. Respondent failed. to take advantage of that opportunity. 

Exhibits 

1. Respondent's Request for Hearing 

! On December 3, 2012, the Court extended the deadline to December 17, 2012. at Respondeot's request. Exhibit l. 

4

' E'Chibit 2. 

Compla.in!ltlt's Motion to Deem ALlegations Admitted. and Response to 

Respondent's Statement of Cause 

In the Matter ofCol"l')ers1:o.t').e Avi.a.tion 

FAA Case No. 2011NM070Qg4, DMS No. FAA"2011-1293 

J~m..EY M. HARPER, FAA AttORNEY 

TEL: (425) 227-2161; PAX: (425) 227-1007 

Page 2 of4 

PAGE 03/08 
--- ------------------------------------------------------ 12/20/2012 05:54 4252271007 ANM7 

2. Respondent's Responses to Complainant's Discovery Requests. 

Conclusion 

For the reasons stated above, Complainant respectfully requests that this court grant th.i.s Motion and its previously served Renewed Motion for Decision. There are no genuine issues of 

material fact to be litigated. 

Respectfully submitted this 20th day of December, 2012. 

FAA J~~ Attorney ~--------- JMH/tk 

Complainant's Motion to Deem Alle&;ations Admitted and Response to 

Respond.ent's Statem.ent of Cause 

In the Mmtt~r of Comers~o1.1.e Avtati.on 

FAA. Case No. 2011NM070084. DMS No. FAA-:2011-1293 

J~~.~Rr.Y M. HARPER, FAA ATTORNEY 

TEL; (425) 227"2161; FAX: (425) 227·1007 

Page 3 of4 

PAGE 04/08 
12/20/2012 05:54 4252271007 ANM7 

CERTIFICATE OF SERVICE 

I hereby certify that the foregoing Complainant's Motion to Deem Allegations Admitted and 

Response to Respondent's Statement of Cause has been served via facsimile and Certified 

Mail -Return Receipt Requested this date, to the following: 

The Honorable Richard C. Goodwin 

Office of Hearings~ M-20 

1200 New Jersey Avenue, S.E. (E11-310) 

Washington., D.C. 20590 

TEL: (202) 366-2139 FAt~: (202) 366-7536 

Attn: Hearing Docket Clerk, AGC-430 

Wilbur Wright Building.,.. Suite 2Wl000 

Federal Aviation Administration 

800 Independence Avenue SW 

Washington, D.C. 20591 

Fax: (202) 493-5142 

~ hereby certifY that the foregoing Renewed Motion for Decision has been served via 

Cenified Mail - Return Receipt Requested this date, to the following: 

Susan Ho:rstman. 

ChiefExecutive Officer 

Cornerstone Aviation, Inc. 

337 North 2370 West #130 

Salt Lake City, UT 84116 

Dated tlus 20th day of December, 2012. 

Terri Kirk 

~·~ 

Office of Regional Counsel (ANM-7) 

Federal Aviation Administration 

1601 Lind Ave. SW 

Renton, WA 98057 

(425) 227-2160 

Compla.i.oa11.t's Motiou. to Deem Allegations Admitted Qnd Response to 

Respondent's Statement of Cause 

In the Matter ofCorm:rstom: Aviation 

JEFFREY M. HARPER, F AI\. ATTORNEY 

TEt: (425) 227·21.61~ FAX: (4.2.5) 227-I 007 

.F A.A. Case No. 2011 NM070084, DMS No. F AA-20 ll-1293 P.age 4 o£4 

PAGE 05/08 
12/20/2012 05:54 4252271007 

December 5, 2011 

Jeffrey M. Harper 

FAA Office of Regional. Counsel 

1601 Lind Avenue SW 

Renton~ W A 98057 

Dear .Mr. Harper, 

ANM7 PAGE 05/08 

CORNERSTONE AVIATION 

F L I G H T S C H 0 0 .1.. S 

Since we are proceed.ing with a hearing for other issues, J think it would be better to deal with all my 

cases at the same time in the same hearing. 

Mr. Decker's graduation certificate was sjgned but tbe mistake was that we were :in the Pr9ce$$ of 

c.teating a .new ce:rtificate which I submitted to FAA to approve aud was given a correction, ml.fortunatety 

someone at 'the office mistook it for the currently used accurate graduation certificate and signed it. Upon 

dil)covezy, we put the correct one, signed, in his fi.le. 

At the time, there was no guidance in the F ARs that told us that both the graduation certificate and the 

''records certi.fl.ed con·ect" signature had to be done simultaneously. Since there are two different people 

that do the. signing, as soon as the graduation certjfi¢at.e wa.s signed> the papeJWork was send :from Ogden 

to Salt Lake for t.he certification signature. We have discussed this at length and l still cannot fmd. it in 

writing on any official FAA dooument. You have to have 100% of aJl the records (which includes a 

graduation certificate) to be abl.e to certifY that 100% of all the records are cotTect. 

,This is very frustrating. 

... . 

.. . ..~ ........ , 

' 

..... 

' 

·~·:~. · '" ··•N ... ·~,__ .... : .. ~~ ...... .' ... ~·: ~~r·:·w:>:.-.:., ,~ · ·.,' . .-:::~-::~ ..... · .. '' " 

s·usan J. Hots~~·: .. ; .. _.,. .... ..._<.:. 

CEO/Chief fustructor 

Cornerston.e Aviation, Inc. 

"··. •: I 

337 North 2370 West, Salt lake City, Utah 84116 801-355-2244 

www.cornerstoneaviation.com 

Exhibit 1 
12/20/2012 05:54 4252271007 ANM7 PAGE 07/08 

FAA Correspondence Complainanes lniti<~l Discovery Request Cornerstone Aviation 

INTERROGATORIES 

Please refer to the initial letter to CSA far details of item numbers. 

1. Names, addresses and telephone numbers (see attachment) 

2. All correspondence from FAA is in the possession of Susan Horstman, including all copies of 

documents sent to her by Jeffrey Harper. 

3. Names, addresses and telephone numbers of persons whom CSA intents to have testify as a factual 

~r expert witness in CSA1s defense a the hearing of this matter. (see attachment) 

4. lhe documents CSA anticipates offering into evidence at the hearing of this matter are the same 

CSA offered to the FAA FSDO, with the addition of the computer software program that will be 

demonstrated at the hearing. The documents were sent to Jeffrey Harper. 

S. All expert witnesses are involved in flight training in one aspect or another, either as instruc:tors, 

check pilots, assistant or chief instructors, FAA DP examiners, FAA inspectors andt·or'-:.s~ftware 

developers and trainers. 

6. All expert witnesses are involved in flight training in one aspect or another, either as instructors, 

check pilots, assistant or chief instructors, FAA DP examiners, FAA inspectors and/or software 

·deveiopers and trainers. The subject matter is my FAA Part 141 TCO. There will be a representative 

or two from the software development company. 

7. CSA will present go over the documents then and now ·how they are obtained in,·the new software 

program. 

8. Since this l1as been ongoing for a year, it is impossible to recall exact dates of conversations and with 

whom I have discussed the matters .alleged in the Complaint. It is most likely limited to persons 

affiliated with the flight school as they have received instruction so the occurrences wiH not happ!'!n 

a~ain. 

9. CSA's.Part 141 TCO and training documents. A computer with the new software will also be used. 

CSA must have internet access during the hearing for the program to function.. . ,1 

10. See statement below 

REQUESTS FOR PRODUCTION 

1-4 The FAA already has copies of the documents- you should not need additional.copies of the 

materials. The software designer of the new flight school training program has the computer 

program fully functional and will be demonstrating it at the hearing. 

REQUEST FO ADMISSIONS 

1. I am not familiar with the FAA order 

2. Not sure if CSA qualifies for Federal Government Programs. That is a brbad. statement. . What 

programs are you talking about? 

3. CSA has been in business since July, 2003. 

4, CSA ha's many financial obligations at this tirne ond being charged $5000 for a small paperwork 

mistake is an unreasonable dem·and for any small business. 

Exhibit 2 
.. 12/20/2012 05:54 4252271007 ANM7 

FAA Correspondence Complainant's Initial Discovery Request 

Tom Kuhlman- retired FAA, current Designat'ed Pilot Examiner (OPE) 

9508 South Kilmuir Circle 

South Jordan, UT 84095 

801·633-63 86 

Jack Garzella- Computer Software Specialist 

1871 Longbranch Drive 

Draper, UT 84020 

80 l-523~8243 

Richard Marshall- former chief instructor for CSA 

7883 South Grant Street 

Midvale, UT 84047 

801-671-3302 

aernard Connelly- FAA FSDO 

1020 N Flyer Way 

Salt Lake City, UT 84116 

801·257-5054 

~yndsay Carlson- FAA FSDO 

1040 N Flyer Way 

Salt Lake City, UT 84116 

801-257-5064 

George David Cawthra -FAA FSDO Manager 

1.020 N Flyer Way 

Salt Lake City, UT 84116 

801-257-5046 

PAGE 08/08 

Cornerstone Aviation 
)• 12/20/2012 05:54 4252271007 ANM7 

FACSIMILE MESSAGE 

FEDERAL AVIATlON A.DMINISTRA TION 

OFFICE OF REGIONAL COUNSEL 

ANM-7 

1601 LIND AVENUE S.W. 

RENTON, WASHINGTON 98057 

PAGE 01/08 

The information contained in this facsimile message is legally privileged and. confidential 

information and is intended only for the use of the individual named. on this cover sheet. 

If the reader ofthi.s message is not the intended recipient. you are hereby noti:fied that any 

use, dissemination, distribution, or copy of this facsimile is strictly prohibited. If you 

have received this facsimile in error, please immedi.ately notify us by telephone at 

425~227~2007. 

DATE: 

TO: 

FAX NO.: 

PHONE NO.: 

RE: 

September 18,2012 NO. PAGES: 

Docket Clerk AGC-430 FROM: 

202-493-5142 FAX NO.: 

FAA Case No. 

DMS No. FAA-2011.-

1293 

201lNM070084 

PHONE NO.: 

EMAIL: 

8 including cover 

Jeffrey Harper 

425-227,..1007 

425.,227-2161 

JEFFREY.HARPER@FAA.GOV 

COMPLAINANT'S MOTION TO DEEM ALLEGATIONS ADMITTED 

AND RESPONSE TO RESPONDENT'S STATEMENT OF CAUSE