Document ID: FAA-2021-0237-0008
Agency: faa
Document Type: Rule
Title: Aviation Maintenance Technician Schools
Posted Date: 2022-05-24T04:00Z

[Federal Register Volume 87, Number 100 (Tuesday, May 24, 2022)]
[Rules and Regulations]
[Pages 31391-31416]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-10367]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Parts 43, 65, and 147

[Docket No.: FAA-2021-0237; Amdt. Nos. 43-52, 65-63, 147-9]
RIN 2120-AL67

Aviation Maintenance Technician Schools

AGENCY: Federal Aviation Administration (FAA), Department of 
Transportation (DOT).

ACTION: Interim final rule; request for comments.

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SUMMARY: This final rule establishes regulations that conform with the 
Aircraft Certification, Safety, and Accountability Act, which sets 
forth statutory requirements to implement regulations for maintenance 
technician training. Consistent with the statute, this final rule 
adopts new requirements for issuing aviation maintenance technician 
school (AMTS) certificates and associated ratings and the general 
operating rules for the holders of those certificates and ratings.

DATES: This rule is effective September 21, 2022, except for amendatory 
instructions 6 and 9, which are effective August 1, 2023. Comments must 
be received on or before June 23, 2022. The incorporation by reference 
of certain publications listed in this rule is approved by the Director 
of the Federal Register as of September 21, 2022.

ADDRESSES: You may send comments identified by docket number FAA-2021-
0237 using any of the following methods:
     Federal eRulemaking Portal: Go to 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 (DOT), 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.
    Privacy: In accordance with 5 U.S.C. 553(c), DOT solicits comments 
from the public to better inform its rulemaking process. DOT posts 
these comments, without edit, including any personal information the 
commenter provides, to www.regulations.gov, as described in the system 
of records notice (DOT/ALL-14 FDMS), which can be reviewed at 
www.dot.gov/privacy.
    Docket: Background documents or comments received may be read at 
www.regulations.gov at any time. Follow the online instructions for 
accessing the docket or visit 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: For technical questions concerning 
this action, contact Tanya Glines, Aircraft Maintenance Division, 
Federal Aviation Administration, 800 Independence Avenue SW, 
Washington, DC 20591; telephone (202) 380-5896; email 
[email protected].

SUPPLEMENTARY INFORMATION: 

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 rulemaking is promulgated under the authority described in 
Title 49, Subtitle VII, Part A, Subpart I, Chapter 401, Section 40113 
(prescribing general authority of the Administrator of the FAA, with 
respect to aviation safety duties and powers, to prescribe 
regulations); and Subpart III, Chapter 447, Sections 44701 (general 
authority of the Administrator to prescribe regulations and minimum 
standards in the interest of safety for inspecting, servicing, and 
overhauling aircraft, engines, propellers, and appliances, including 
for other practices, methods, and procedures necessary for safety in 
air commerce); 44702 (authority of the Administrator to issue air 
agency certificates); 44703 (authority of the Administrator to issue 
airman certificates); 44707 (authority of the Administrator to examine 
and rate air agencies, including civilian schools giving instruction in 
repairing, altering, and maintaining aircraft, aircraft engines, 
propellers, and appliances, on the adequacy of instruction, the 
suitability and airworthiness of equipment, and the competency of 
instructors); and 44709 (authority of the Administrator to amend, 
modify, suspend, and revoke air agency and other FAA-issued 
certificates).
    This rule is further promulgated under Section 135 of the Aircraft 
Certification, Safety, and Accountability Act in Public Law 116-260, 
the Consolidated Appropriations Act of 2021. Section 135, titled 
``Promoting Aviation Regulations for Technical Training,'' provides the 
requirements and terms of this rule.

Good Cause for Immediate Adoption

    Section 553(b)(3)(B) of the Administrative Procedure Act (APA) (5 
U.S.C.) authorizes agencies to dispense with notice and comment 
procedures for rules when the agency, for ``good cause,'' finds that 
those procedures are ``impracticable, unnecessary, or contrary to the 
public interest.'' Under this section, an agency, upon finding good 
cause, may issue a final rule without seeking comment prior to the 
rulemaking.
    The FAA finds good cause under 5 U.S.C. 553(b)(3)(B) to waive prior 
notice and the opportunity for public comment because such procedures 
would be unnecessary and contrary to the public interest. On December 
27, 2020, Congress passed the Consolidated Appropriations Act (Pub. L. 
116-260), which includes the Aircraft Certification, Safety, and 
Accountability Act (the ``Act''). In Section 135 of the Act, titled 
``Promoting Aviation Regulations for Technical Training,''

[[Page 31392]]

Congress directed the FAA to issue interim final regulations to 
establish requirements for issuing aviation maintenance technician 
school (AMTS) certificates and associated ratings and the general 
operating rules for the holders of those certificates and ratings. 
Section 135(a)(1) of the Act expressly requires the FAA to issue the 
interim final regulations in accordance with the requirements set forth 
in Section 135. In this interim final rule, the FAA is simply adopting 
the statutory language and implementing that language directly into the 
regulations.\1\ Accordingly, the FAA finds it unnecessary to provide 
notice and an opportunity to comment prior to issuing this final rule.
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    \1\ As explained herein, in order to achieve the statutory 
objectives promulgated by the Act and ensure consistency between the 
regulations and the statutory terminology, the FAA has made certain 
revisions that are not expressly stated in the legislation.
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    The FAA further finds that delaying implementation of this rule to 
allow for notice and comment would be contrary to the public interest. 
Because the interim final rule must implement the statutory 
requirements of Section 135 of the Act, the FAA does not have 
discretion to propose requirements that are contrary to, or that exceed 
the bounds of, the statute. Similarly, the FAA does not have the 
discretion to change the statutory requirements based on public 
comments received. Therefore, delaying issuance of this final rule 
would merely delay the new requirements that Congress sought to provide 
the AMTS industry.

Paperwork Reduction Act

    Affected parties are not required to comply with the information 
collection requirements in Sec. Sec.  147.5, 147.15, 147.17, 147.21, 
147.23, and 147.31, until the Office of Management and Budget (OMB) 
approves the revised collection 2120-0040 under the Paperwork Reduction 
Act of 1995. The FAA will publish in the Federal Register a notice of 
approval by the Office of Management and Budget (OMB) for these 
information collection requirements.

Comments Invited

    Consistent with the Regulatory Policies and Procedures of the 
Department of Transportation (DOT) (44 FR 11034; February 26, 1979), 
which provide that, to the maximum extent possible, operating 
administrations for the DOT should provide an opportunity for public 
comment on regulations issued without prior notice, the FAA requests 
comment on this interim final rule. The FAA encourages persons to 
participate in this rulemaking by submitting written comments 
containing relevant information, data, or views. The FAA also invites 
comments relating to the economic, environmental, energy, or federalism 
impacts that might result from adopting this final rule. The FAA will 
consider comments received on or before the closing date for comments. 
The FAA will also consider late filed comments to the extent 
practicable. This interim final rule may be amended based on comments 
received.
    See section VI., titled ``How to Obtain Additional Information,'' 
for information on how to comment on this interim final rule and how 
the FAA will handle comments received. This section also contains 
related information about the docket, privacy, and the handling of 
proprietary or confidential business information. In addition, there is 
information on obtaining copies of related rulemaking documents.

List of Abbreviations and Acronyms Frequently Used in This Document

AMTS--Aviation maintenance technician school(s)
OpSpecs--Operations Specifications
The Act--the Aircraft Certification, Safety, and Accountability Act

Table of Contents

I. Overview of Interim Final Rule
II. Background
    a. History of Part 147
    b. Notice of Proposed Rulemaking (NPRM) and Supplemental Notice 
of Proposed Rulemaking (SNPRM)
    c. Section 135, Promoting Aviation Regulations for Technical 
Training
III. Discussion of the Interim Final Rule
    a. Applicability of New Part 147 (Sec.  147.1)
    b. AMTS Certification Required (Sec.  147.3)
    c. Certificate and Operations Specifications Requirements
    1. Application Requirements (Sec.  147.5)
    2. Duration (Sec.  147.7)
    3. Certificate Ratings (Sec.  147.11)
    4. Operations Specifications (OpSpecs)
    d. Certification and Operating Requirements (Subpart B)
    1. Facilities, Equipment, and Material Requirements (Sec.  
147.13)
    2. Training Provided at Another Location (Sec.  147.15)
    3. Training Requirements (Sec.  147.17 and 1 CFR Part 51)
    A. Incorporation by Reference (1 CFR Part 51)
    B. Curriculum Requirements (Sec.  147.17(a)(1) and (b))
    C. Conforming Amendments To Incorporate the Mechanic ACS by 
Reference (Sec. Sec.  65.23, 65.75, and 65.79)
    D. Remaining Training Requirements (Sec.  147.17(a)(2) and (3))
    4. Instructor Requirements (Sec.  147.19)
    5. Certificate of Completion (Sec.  147.21)
    e. Quality Control System Requirements (Sec.  147.23)
    1. Quality Control System: Accreditation (Sec.  147.23(a))
    2. Quality Control System: FAA-Approved System (Sec.  147.23(b))
    f. Additional Requirements (Subpart B)
    1. Minimum Passage Rate (Sec.  147.25)
    2. FAA Inspection (Sec.  147.27)
    3. Display of Certificate (Sec.  147.29)
    4. Early Testing (Sec.  147.31)
    g. Conforming Amendments
    1. Appendix A to Part 43
    2. Section 65.80
    h. Part 147 Rule Organization and Numbering
IV. Regulatory Notices and Analyses
V. Executive Order Determinations
VI. How To Obtain Additional Information

I. Overview of Interim Final Rule

    The Consolidated Appropriations Act (Pub. L. 116-260), which 
includes the Act, was enacted on December 27, 2020. Section 135 of the 
Act, titled ``Promoting Aviation Regulations for Technician Training,'' 
directed the FAA to ``issue interim final regulations to establish 
requirements for issuing [AMTS] certificates and associated ratings and 
the general operating rules for the holders of those certificates and 
ratings in accordance with the requirements of [Section 135].'' 
Additionally, Section 135 of the Act states that current part 147 shall 
have no force or effect on or after the effective date of the interim 
final regulations.
    This interim final rule replaces the current regulations in part 
147 with new regulations that conform to the legislation. In the 
preamble to this interim final rule, the FAA reiterates the provisions 
of Section 135 of the Act and explains how it is implementing those 
provisions in the regulations. Additionally, the FAA is making 
conforming amendments to parts 43 and 65 to effectuate the legislation.

II. Background

a. History of Part 147

    Part 147 prescribes the requirements for the certification and 
operation of FAA-certificated AMTS, including the curriculum 
requirements. Part 147 originated as Civil Air Regulations (CAR) part 
53 in 1940.\2\ As a result of the recodification of the CARs in 1962, 
CAR part 53 became 14 CFR part 147.\3\ In 1970, the FAA issued a final 
rule that changed the name of ``mechanic schools'' to ``aviation 
maintenance technician schools,'' provided more specific guidelines for 
the certification

[[Page 31393]]

and operation of schools, increased the required core curriculum hours 
from 1,500 to 1,900, and further defined teaching guidelines and 
subject content to reflect technological advancements in the aviation 
industry.\4\ In 1992, the FAA revised part 147 by adding a definition 
in Appendix A for ``teaching materials and equipment'' to include the 
use of computers in the training environment. The FAA also revised the 
headings of several subjects in Appendices B, C, and D to better 
reflect course content, added course content items within several 
subject areas, and added two new subject headings with related course 
content items for ``Unducted Fans'' and ``Auxiliary Power Units''.\5\ 
Subsequently, in 1992, the FAA made a minor amendment to Sec.  147.21 
as part of another rulemaking.\6\ Specifically, the FAA added a 
provision to Sec.  147.21 that allowed AMTSs to apply for and receive 
approval of special courses in the performance of inspection and 
maintenance on primary category aircraft, and authorized the school to 
issue certificates of competency to persons successfully completing 
such courses.\7\ There have been no further revisions to part 147.
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    \2\ Providing for the Rating and Certification of Civilian 
Schools giving Instruction in Aircraft and Aircraft Engine 
Mechanics; 5 FR 673 (Feb. 15, 1940) (amending the Civil Air 
Regulations by adding new Part 53, effective May 1, 1940).
    \3\ Schools and Other Certificated Agencies; 27 FR 6655 (Jul. 
13, 1962).
    \4\ Name, Operations, and Curriculum; 35 FR 5531 (Apr. 3, 1970).
    \5\ Revision of Aviation Maintenance Technician Schools 
Regulations; 57 FR 28952 (Jun. 29, 1992).
    \6\ Primary Category; 57 FR 41360 (Sept. 9, 1992).
    \7\ 57 FR at 41366, 41370.
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b. Notice of Proposed Rulemaking (NPRM) and Supplemental Notice of 
Proposed Rulemaking (SNPRM)

    On October 2, 2015, the FAA published an NPRM titled ``Aviation 
Maintenance Technician Schools.'' \8\ In the NPRM, the FAA proposed to 
amend the regulations governing the curriculum and operation of FAA-
certificated AMTSs. The FAA proposed to modernize and reorganize the 
required curriculum subjects found in the appendices of the current 
regulation, remove the course content items from the appendices and 
relocate them to each school's OpSpecs, and revise the curriculum 
requirements to include an option for schools to use a credit hour 
curriculum. The comment period for the NPRM closed on December 31, 
2015, which was subsequently extended to February 1, 2016, based on a 
joint request for extension from several industry groups.\9\
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    \8\ 80 FR 59674.
    \9\ Aviation Maintenance Technician Schools; 80 FR 72404 (Nov. 
19, 2015).
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    After considering the comments to the NPRM, and the potential 
benefits to industry, the FAA decided to expand the scope of the 
rulemaking by issuing an SNPRM, published on April 16, 2019.\10\ The 
SNPRM proposed (1) to allow curriculum based training (CBT) programs as 
a curriculum delivery, (2) to allow the establishment of satellite 
training locations, and (3) to remove the national passing norm 
requirements in Sec.  147.37 and replace them with a standard pass 
rate. The comment period closed on June 17, 2019.
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    \10\ 83 FR 15533.
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c. Section 135, Promoting Aviation Regulations for Technical Training

    While the FAA was in the process of completing the final rule, 
which would have responded to all significant comments received on the 
NPRM and SNPRM, Congress passed the Act which required the FAA to 
replace part 147, as in effect on the date of enactment of Section 135, 
with new regulations that conform to the statutory requirements. 
Congress directed the FAA to issue interim final regulations, not later 
than 90 days after the date of enactment of the Act, to establish 
requirements for issuing aviation maintenance technician school 
certificates and associated ratings and the general operating rules for 
the holders of those certificates and ratings.
    Pursuant to Section 135(a)(1) of the Act, the FAA must issue the 
interim final regulations in accordance with the requirements set forth 
in Section 135, including requirements addressing:
     When an AMTS certificate is required;
     Applications for AMTS certificates and associated ratings, 
additional ratings, and changes to certificates;
     Operations specifications and the contents thereof;
     The duration of a certificate or rating issued under part 
147;
     The ratings that an AMTS may obtain under part 147;
     AMTS facilities, equipment, and material;
     Training provided at another location;
     AMTS training and curricula;
     Instructors;
     Certificates of completion;
     Quality control systems;
     The minimum passage rate each school must maintain;
     FAA inspections;
     The display of part 147 certificates; and
     A student's ability to take the FAA's general written test 
prior to satisfying the experience requirements of Sec.  65.77, 
provided certain conditions are met.
    Additionally, the statute states that the current part 147 
regulations and any regulations issued under Sec.  624 of the FAA 
Reauthorization Act of 2018, shall have no force or effect on or after 
the effective date of the interim final rule. As a result, this interim 
final rule repeals and replaces current part 147.
    Upon review of Section 135, the FAA determined that the proposed 
requirements in the NPRM and SNPRM were inconsistent with the statutory 
mandate. Therefore, to comply with Section 135, the FAA is publishing a 
Federal Register Notice withdrawing the NPRM (Notice No. 15-10) and 
SNPRM (Notice No. 19-02) concurrent with this interim final rule. 
Instead of finalizing those proposals, the FAA is issuing this interim 
final rule to establish requirements for certificated AMTSs in 
accordance with Section 135 of the Act.

III. Discussion of the Interim Final Rule

    Section 135(b) through (f) of the Act contain several requirements 
that govern the certification and operation of AMTSs. The following 
sections reiterate the provisions of Section 135 and describe how the 
FAA is implementing each provision into new part 147. Additionally, 
section III.g. of this preamble, titled ``Part 147 Rule Organization 
and Numbering,'' provides tables to show which sections of current part 
147 will be repealed and not replaced, which sections will be replaced 
and renumbered, and the organization and numbering of new part 147.

a. Applicability of New Part 147 (Sec.  147.1)

    Section 135(a)(1) requires the FAA to establish requirements for 
issuing AMTS certificates and associated ratings and the general 
operating rules for the holders of those certificates and ratings in 
accordance with the legislation. Based on this statutory provision, the 
applicability outlined in Section 135 is consistent with the current 
applicability provision in Sec.  147.1.\11\ Current part 147, including 
the applicability provision, will be repealed in its entirety on the 
effective date of this interim final rule, pursuant to Section 
135(a)(2). However, consistent with Section 135(a)(1), new part 147 
will continue to prescribe the requirements for issuing AMTS 
certificates and associated ratings and the general operating rules for 
the holders of those certificates and ratings.\12\ The FAA is 
implementing the

[[Page 31394]]

applicability language of Section 135(a)(1) in new Sec.  147.1 to 
specify the applicability of new part 147.
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    \11\ Current Sec.  147.1 states that ``[part 147] prescribes the 
requirements for issuing aviation maintenance technician school 
certificates and associated ratings and the general operating rules 
for the holders of those certificates and ratings.''
    \12\ While the applicability of part 147 remains the same under 
this interim final rule, the requirements in new part 147 differ 
because the statute requires the FAA to establish requirements in 
accordance with the statutory requirements set forth in Section 135.
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    Upon the effective date of this interim final rule, a currently 
certificated AMTS may not continue to operate unless it meets all of 
the applicable requirements of new part 147. A certificated AMTS will 
not be able to use previous part 147 regulations because current part 
147 shall have no force or effect on or after the effective date of the 
interim final regulations. As such, it is essential for certificated 
AMTSs to take the necessary steps to comply with new part 147 by the 
effective date of the regulation.\13\
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    \13\ As discussed in greater detail herein, these steps include 
curriculum revision to align with the Mechanic Airman Certification 
Standards (ACS) and necessary updates to OpSpecs.
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    Further, many certificated AMTSs hold exemptions to existing part 
147 and related part 65 regulations. Because current part 147 is wholly 
repealed and replaced upon the effective date of the interim final 
rule, these exemptions, which are specified and discussed herein, as 
relevant, will terminate upon the effective date of this interim final 
rule. However, the FAA notes that the vast majority of the grounds for 
requested relief will be cured upon the effective date of this interim 
final rule by new part 147.

b. AMTS Certification Required (Sec.  147.3)

    Section 135(b) states that no person may operate an AMTS without, 
or in violation of, an AMTS certificate and the OpSpecs issued under 
the interim final regulations required under Section 135(a)(1), the 
requirements of Section 135, or in a manner that is inconsistent with 
information in the school's OpSpecs under Section 135(c)(5). This 
statutory requirement is similar to current Sec.  147.3, but extends 
the requirement to OpSpecs in addition to AMTS certificates.
    The FAA is implementing the requirements of Section 135(b) in new 
Sec.  147.3, which will state that no person may operate an AMTS 
without, or in violation of, an AMTS certificate and the OpSpecs 
``issued under [part 147].'' The FAA determined that it is unnecessary 
for Sec.  147.3 to expressly state that a person may not operate in 
violation of the requirements of Section 135, which will be implemented 
in part 147, because a certificated AMTS must comply with applicable 
statutory and regulatory requirements irrespective of whether the FAA 
expressly prohibits non-compliance in Sec.  147.3. Furthermore, the FAA 
is not codifying the portion of Section 135(b) that prohibits a school 
from acting in a manner inconsistent with its OpSpecs because this 
prohibition is redundant to the statement that prohibits schools from 
operating in violation of their OpSpecs.
    Section 135(b) states, in pertinent part, that no person may 
operate an AMTS in violation of the requirements of Section 135. This 
would appear to indicate that the Administrator does not have the 
authority to grant exemptions \14\ from new part 147 because the 
inherent nature of an exemption would act as a departure from the 
requirements of Section 135. However, within the legislation, Section 
135(c) states that a certificated AMTS shall operate in accordance with 
operations specifications that include, among other information, any 
regulatory exemption granted to the school by the Administrator. 
Additionally, the language in Section 135(b) echoes this sentiment of 
compliance with regulatory exemptions, stating that no person may 
operate an AMTS in a manner that is inconsistent with information in 
the school's operations specifications under Section 135(c)(5), which, 
as stated, includes regulatory exemptions. Therefore, the contemplation 
of and requirements of compliance with regulatory exemptions in the 
legislation demonstrates that Congress intended that the FAA retain the 
authority to issue exemptions from part 147, as warranted under the 
Administrator's authority and 14 CFR part 11.
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    \14\ The Administrator's authority to grant exemptions is 
pursuant to 49 U.S.C. 40109(b).
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c. Certificate and Operations Specifications Requirements

    Section 135(c)(1) through (5) of the Act contain several 
requirements that govern applications for certificates and ratings 
under part 147, the duration of those certificates and ratings, the 
types of ratings that may be issued on a certificate, and the content 
of OpSpecs. The FAA is implementing the application, duration, and 
rating requirements in subpart A of part 147, which is titled 
``General.'' For the reasons discussed herein, the FAA is not codifying 
the content requirements of OpSpecs in the regulations. The following 
sections discuss the statutory requirements and the FAA's 
implementation of those requirements in more detail.
1. Application Requirements (Sec.  147.5)
    Section 135(c)(1)(A) requires an application for a certificate or 
rating to operate an AMTS to include three descriptions. First, the 
application must describe the facilities, including the physical 
address of the certificate holder's primary location for operation of 
the school, any additional fixed locations where training will be 
provided, and the equipment and materials to be used at each 
location.\15\ Second, the application must describe the manner in which 
the school's curriculum will ensure the student has the knowledge and 
skills necessary for attaining a mechanic certificate and associated 
ratings under subpart D of part 65.\16\ Third, the application must 
describe the manner in which the school will ensure it provides the 
necessary qualified instructors to meet the requirements of Section 
135(d)(4).\17\ Upon issuance of the school's certificate or rating, 
Section 135(c)(1)(B) requires these descriptions to be documented in 
the school's OpSpecs.
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    \15\ Section 135(c)(1)(A)(i).
    \16\ Section 135(c)(1)(A)(ii).
    \17\ Section 135(c)(1)(A)(iii). As discussed in section III.d.4. 
of this preamble, titled ``Instructor Requirements,'' the instructor 
requirements of Section 135(d)(4) are being implemented in new Sec.  
147.19. Accordingly, new Sec.  147.5(b)(3) includes a cross-
reference to Sec.  147.19.
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    Section 135 also contains requirements for a school seeking to add 
a rating or amend a certificate. Specifically, Section 135(c)(2)(A) 
requires an application for an additional rating or amended certificate 
to include only the information necessary to substantiate the reason 
for the requested additional rating or change. Section 135(c)(2)(B) 
requires any approved changes to be documented in the school's OpSpecs.
    The FAA is implementing the application requirements of Section 
135(c)(1) and (2) in new Sec.  147.5. Section 147.5(b) will contain the 
requirements for an application for an initial certificate and rating. 
Section 147.5(c) will contain the requirements for an application for 
an additional rating or amended certificate. The language in Sec.  
147.5(b) and (c) mirrors the statute except for one editorial change 
and two minor terminology changes. First, in Sec.  147.5(b), the FAA is 
making clear that the application requirements for initial 
certification apply to an application for ``a certificate and rating'' 
rather than ``a certificate or rating.'' When a person applies for an 
air agency certificate under part 147, that person must also apply for 
at least one rating. Section 147.11 prescribes the ratings that a 
school may obtain under part 147. The FAA may not issue a certificate 
independent of a rating. Nor may the FAA issue a rating without an

[[Page 31395]]

underlying certificate. It is therefore accurate to state ``certificate 
and rating'' in Sec.  147.5(b).\18\ Second, in Sec.  147.5(b)(1), the 
FAA finds that the term ``applicant'' is appropriate rather than 
``certificate holder'' because an applicant under Sec.  147.5(b)(1) is 
applying for its initial AMTS certificate and rating. As such, the 
applicant does not yet hold an air agency certificate under part 147. 
Lastly, in Sec.  147.5(c), which applies to current certificate holders 
seeking to add a rating or amend their certificate, the FAA is adding a 
cross-reference to the information listed in Sec.  147.5(b) for clarity 
and is using the word ``sought'' rather than ``requested.'' These minor 
modifications from the statutory language do not alter the meaning or 
affect the implementation of the statutory requirements.
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    \18\ The FAA notes that a school may apply for an additional 
rating, which would be placed on the school's part 147 certificate. 
Section 147.5(c) contains the application requirements for an 
additional rating.
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    In codifying the statutory requirements of Section 135(c) in new 
Sec.  147.5, the FAA discovered that Section 135 lacks an eligibility 
standard for the issuance of an AMTS certificate. Under Section 44702 
of Title 49 of the United States Code, the FAA has statutory authority 
to issue air agency certificates. A certificate issued under part 147 
is one of the air agency certificates issued by the FAA under 49 U.S.C. 
44707. Section 135(c) prescribes only the content that must be included 
in an application for a certificate and rating, or for an additional 
rating or amended certificate. Section 135(c) is silent, however, with 
respect to the eligibility standard an applicant must meet to be issued 
a part 147 certificate. For example, merely providing descriptions of 
the applicant's facilities, equipment, and materials on the application 
for a certificate is not sufficient basis for the FAA to issue a 
certificate. Those facilities, equipment, and materials must meet the 
substantive requirements in Section 135 that require a school's 
facilities, equipment, and materials to be ``appropriate'' to the 
ratings held and the number of students taught. The FAA's decision to 
issue a certificate should not be based solely on the fact that 
descriptions were provided but rather on whether the descriptions in 
the application demonstrate that the applicant is eligible to operate 
as a certificated AMTS.
    The FAA reviewed Section 135 in its entirety to determine whether 
another statutory provision contains the eligibility standard for 
issuing a part 147 certificate. While the statute does not expressly 
state what makes an applicant eligible for a certificate and rating, 
Section 135(b) provides context for making the determination. Section 
135(b) prohibits a person from operating as an AMTS in violation of the 
requirements of Section 135. As discussed throughout this preamble, the 
FAA is implementing the requirements of Section 135 in part 147. 
Therefore, consistent with Section 135(b), a person may not operate as 
an AMTS in violation of the requirements of part 147.
    Because an applicant seeking an AMTS certificate may not operate as 
a certificated AMTS in violation of the requirements of part 147, the 
FAA finds it reasonable to require the applicant to demonstrate 
compliance with the requirements of part 147 to be issued a certificate 
or rating under part 147. If the FAA does not assess whether an 
applicant complies with the appropriate requirements of part 147 at the 
application stage, the FAA could exercise its inspection authority to 
determine compliance with the requirements of part 147 immediately upon 
issuing the certificate or rating to the school.\19\ The FAA has 
determined, however, that it is reasonable to require the applicant to 
demonstrate compliance with the applicable requirements as a means of 
determining eligibility for the issuance of a part 147 air agency 
certificate.\20\ The FAA is codifying this standard in new Sec.  
147.5(a) by expressly stating that, to be issued a certificate, an 
applicant must demonstrate compliance with the requirements of part 
147.
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    \19\ The FAA's inspection authority, which is prescribed by 
Section 135(f)(2) and codified in Sec.  147.27, requires a 
certificated AMTS to allow the FAA such access as the FAA determines 
necessary to inspect the school for purposes of determining the 
school's compliance with part 147. Thus, the FAA may conduct an 
inspection at a certificated AMTS at any time after issuance of the 
part 147 certificate and rating.
    \20\ See Sec.  141.5(c) (stating the FAA may issue a pilot 
school certificate with the appropriate ratings if, within the 24 
calendar months before the date application is made, the applicant 
meets the applicable requirements under subparts A through C of part 
141 for the school certificate and associated ratings sought); Sec.  
142.11(d) (stating that an applicant who meets the requirements of 
part 142 and is approved by the Administrator is entitled to a 
training center certificate and training specifications); Sec.  
145.53 (stating that, except as provided in Sec.  145.51(e) or Sec.  
145.53(b), (c), or (d), a person who meets the requirements of 
subparts A through E of part 145 is entitled to a repair station 
certificate with appropriate ratings).
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    To demonstrate compliance with certain requirements of part 147 
pursuant to new Sec.  147.5(a), the applicant may be required to 
present certain information to the FAA. To effectuate this, the FAA is 
adding new Sec.  147.5(b)(4) to the application requirements. New Sec.  
147.5(b)(4) requires the application to include any additional 
information necessary to demonstrate compliance with the requirements 
of part 147. This additional requirement is supported by the plain 
language of the statute, which states that an application for a 
certificate or rating to operate an AMTS shall ``include'' the 
information listed in Section 135(c)(1)(A)(i) through (iii). In the 
statutory context, the term ``include'' has been construed to provide 
an illustration of the general concept, not an all-inclusive and 
exhaustive list.\21\ As such, the application for a certificate or 
rating must include the items prescribed by the statute; however, the 
FAA is not limited to prescribing only those items.
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    \21\ See Federal Land Bank of St. Paul v. Bismarck Lumber Co., 
314 U.S. 95, 100 (1941) (stating that ``the term ``including'' is 
not one of all-embracing definition, but connotes simply an 
illustrative application of the general principle.'').
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    As previously stated, the FAA is codifying the requirements of 
Section 135(c)(2), which apply to applications for an additional rating 
or amended certificate, in new Sec.  147.5(c). Consistent with the 
statute, new Sec.  147.5(c) will require an application for an 
additional rating or amended certificate to include only the 
information required by Sec.  147.5(b) that is necessary to 
substantiate the reason for the additional rating or change sought. An 
amended certificate would be required if any of the information on the 
air agency certificate had changed, such as the name of the certificate 
holder, the principal address of the certificate holder, or the removal 
of a rating. The FAA notes that adding a rating would also require an 
amendment to the air agency certificate, however, the statute expressly 
states ``additional rating or amended certificate.'' The implementing 
regulation reflects the statutory terminology.
    Section 135(c)(1)(B) and (2)(B) require certain content to be 
included in OpSpecs: The descriptions required for an application and 
any approved changes for an additional rating or amended certificate, 
respectively. However, the FAA finds that these requirements do not 
belong in the regulations because they govern the conduct of the FAA 
rather than the regulated community. As a result, the FAA will not 
codify these requirements in part 147. Instead, the FAA will include 
guidance to its inspectors in FAA Order 8900.1 to ensure FAA's 
compliance with these statutory requirements that govern the content of 
OpSpecs.

[[Page 31396]]

2. Duration (Sec.  147.7)
    Section 135(c)(3) states that an AMTS certificate or rating issued 
under the interim final regulations shall be effective from the date of 
issue until the certificate or rating is surrendered, suspended, or 
revoked. This statutory requirement is largely consistent with the 
FAA's current duration requirement in Sec.  147.7(a). However, unlike 
current Sec.  147.7(b), the statute does not require the holder of a 
certificate that is surrendered, suspended, or revoked to return it to 
the Administrator.
    The FAA is implementing the requirements of Section 135(c)(3) in 
new Sec.  147.7. Thus, Sec.  147.7 states that an AMTS certificate or 
rating issued under part 147 is effective from the date of issue until 
the certificate or rating is surrendered, suspended, or revoked. 
Because the statute requires the FAA to establish interim final 
regulations in accordance with the requirements of Section 135, Sec.  
147.7 will no longer include a requirement for the return of an AMTS 
certificate that has been surrendered, suspended or revoked. However, 
the FAA notes that a school that does not return its certificate may 
not continue to operate simply because it has the physical paper 
certificate. A school whose certificate has been surrendered, 
suspended, or revoked may not advertise, hold out, or otherwise act as 
an AMTS.
3. Certificate Ratings (Sec.  147.11)
    Section 135(c)(4) states that an AMTS certificate shall specify 
which of following ratings are held by the AMTS: (A) Airframe, (B) 
Powerplant, and/or (C) Airframe and Powerplant.
    An AMTS certificate has always identified which rating or ratings 
the AMTS holds. Because the FAA is responsible for issuing the 
certificate, it follows that the FAA is responsible for specifying on 
the certificate which rating or ratings the AMTS is issued under part 
147. By mandating what the AMTS certificate must specify, Section 
135(c)(4) governs the conduct of the FAA rather than the regulated 
community. The FAA finds it necessary to codify the ratings that may be 
placed on a certificate in accordance with Section 135(c)(4); however, 
the FAA's regulations in part 147 apply to persons seeking AMTS 
certificates and to AMTS certificate holders. Therefore, in 
implementing Section 135(c)(4) in new Sec.  147.11, the FAA is slightly 
revising the statutory language to allocate applicability to the 
regulated community instead of the FAA itself. Accordingly, new Sec.  
147.11 states which ratings may be issued under part 147, and that the 
FAA issues AMTS certificates that specify the rating or ratings held in 
compliance with the statute.
4. Operations Specifications (OpSpecs)
    Section 135(c)(5) requires a certificated AMTS to operate in 
accordance with OpSpecs that include: (A) The certificate holder's 
name; (B) the certificate holder's air agency certificate number; (C) 
the name and contact information of the certificate holder's primary 
point of contact; (D) the physical address of the certificate holder's 
primary location; \22\ (E) the physical address of any additional 
location of the certificate holder; \23\ (F) the ratings held; \24\ and 
(G) any regulatory exemption granted to the school by the 
Administrator.
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    \22\ Section 135(c)(5)(D) states ``[t]he physical address of the 
certificate holder's primary location, as provided under paragraph 
(1)(A).'' The reference to paragraph (1)(A) refers to the 
application requirements contained in Section 135(c)(1)(A)(i), which 
require the application to include a description of the facilities, 
including the physical address of the certificate holder's primary 
location for operation of the school. The FAA is implementing the 
requirements of Section 135(c)(1)(A)(i) in new Sec.  147.5(b)(1).
    \23\ Section 135(c)(5)(E) states ``[t]he physical address of any 
additional location of the certificate holder, as provided under 
subsection (d)(2).'' The reference to subsection (d)(2) refers to 
Section 135(d)(2), which allows a certificated AMTS to provide 
training at any additional location that meets the requirements of 
the interim final rule and is listed in the school's OpSpecs. The 
FAA is implementing the requirements of Section 135(d)(2) in new 
Sec.  147.15.
    \24\ Section 135(c)(5)(F) states ``[t]he ratings held, as 
provided under paragraph (4).'' The reference to paragraph (4) 
refers to Section 135(c)(4), which prescribes the ratings that may 
be held by an AMTS. The FAA is implementing the requirements of 
Section 135(c)(4) in new Sec.  147.11.
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    To the extent Section 135(c)(5) requires a certificated AMTS to 
operate in accordance with OpSpecs, the FAA finds that this requirement 
is already covered by Section 135(b), which prohibits a person from 
operating an AMTS in violation of their OpSpecs. The requirements of 
Section 135(b) are implemented in new Sec.  147.3.
    To the extent Section 135(c)(5) contains a list of content that 
must be included in OpSpecs, the FAA finds that these requirements do 
not belong in the regulations because they govern the conduct of the 
FAA rather than the regulated community.\25\ As a result, the FAA is 
not codifying these requirements in part 147.\26\ To ensure FAA's 
compliance with these statutory requirements, the FAA will include 
guidance to its inspectors in FAA Order 8900.1.
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    \25\ These requirements govern the conduct of the FAA by 
requiring the FAA to include certain content in the OpSpecs issued 
under part 147.
    \26\ The FAA notes that its decision not to codify the OpSpecs 
content requirements of Section 135(c)(5) is consistent with its 
decision not to codify the OpSpecs content requirements of Section 
135(c)(1)(B) and (2)(B). See Section III.c.1. of this preamble, 
titled ``Application Requirements.''
---------------------------------------------------------------------------

    As a result of this interim final rule, the FAA has drafted new 
operations specification paragraph templates for AMTS, which reflect 
the new and/or changed requirements of part 147. Accordingly, all 
OpSpecs paragraphs issued to AMTS prior to this interim final rule, 
with the exception of A003, Ratings, will cease to be effective upon 
the effective date of the interim final rule. Because an AMTS may not 
operate without, or in violation of, AMTS OpSpecs, as stated in new 
Sec.  147.3, each AMTS must ensure it has demonstrated compliance with 
the provisions required by this interim final rule by providing the 
applicable information to the AMTS's responsible Flight Standards 
office. For additional information on submitting this information, 
refer to Advisory Circular (AC) 147-3, Certification and Operation of 
Aviation Maintenance Technician Schools. After the FAA receives and 
reviews the requisite information, the FAA will issue the corresponding 
OpSpecs in order to allow the AMTS to operate under part 147.

d. Certification and Operating Requirements (Subpart B)

    Section 135(d)(1) through (5) of the Act contain requirements that 
govern the operations of certificated AMTSs, including requirements for 
the facilities, equipment, and material provided by schools; training 
locations; curricula; instructors; and certificates of completion. The 
FAA is implementing those requirements in subpart B of part 147, which 
is titled ``Certification and Operating Requirements.'' The following 
sections reiterate the statutory requirements and explain how the FAA 
is implementing the requirements in new part 147.
1. Facilities, Equipment, and Material Requirements (Sec.  147.13)
    Section 135(d)(1) states that each certificated AMTS shall provide 
and maintain the facilities, equipment, and materials that are 
appropriate to the one or more ratings held by the school and the 
number of students taught. This statutory requirement is similar to 
current Sec.  147.13, which requires that schools provide facilities, 
equipment, and materials appropriate to their ratings. The statute, 
however, does not include the same specificity regarding facilities, 
equipment, and materials specified in current Sec. Sec.  147.15 through

[[Page 31397]]

147.19.\27\ Section 135(d)(1) retains the requirement from these 
sections that such facilities, equipment, and materials be appropriate 
to the number of students taught. The FAA is implementing the 
requirements of Section 135(d)(1) in new Sec.  147.13(a). Thus, Sec.  
147.13(a) will state that each certificated AMTS must provide and 
maintain the facilities, equipment, and materials that are appropriate 
to the rating or ratings held by the school and the number of students 
taught.
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    \27\ Current Sec.  147.15 (Space requirements) specifies that 
facilities must be ``appropriate for the maximum number of students 
expected to be taught at any time.'' Current Sec.  147.17 
(Instructional equipment requirements) specifies schools must 
provide instructional equipment needed for students to complete 
practical projects, and maintain enough units to allow no more than 
eight students to work on a unit at once. Current Sec.  147.19 
(Materials, special tools, and shop equipment requirements) 
specifies that schools must maintain an adequate supply of 
materials, special tools, and shop equipment as appropriate to the 
school's curriculum, and ``to assure that each student will be 
properly instructed.''
---------------------------------------------------------------------------

    In developing the interim final rule, the FAA identified a 
potential unintended burden on an AMTS in the implementation of Section 
135(d)(1) in new Sec.  147.13(a) as it applies to additional training 
locations. As discussed in the next section, Section 135(d)(2) requires 
additional training locations to independently meet the requirements of 
part 147. The FAA recognizes that an AMTS may utilize additional 
training locations to teach all or part of its part 147 curriculum. If 
an AMTS utilizes additional fixed locations other than its primary 
location to provide part 147 training, the facilities, equipment, and 
materials used at that additional location need only be appropriate to 
the curriculum and number of students to be taught at that location.
    To alleviate an unintended burden that would have resulted from 
additional locations independently meeting part 147, the FAA is adding 
Sec.  147.13(b) to require that additional locations be appropriate 
only to the curriculum or portion of the curriculum, and the number of 
students being taught, at that location. By adopting this language in 
new Sec.  147.13(b), the FAA alleviates an overly prescriptive burden 
on a school to outfit all additional training locations with 
facilities, equipment, and materials appropriate to the number of 
students to be taught and the ratings held, which would include the 
entirety of the school's curriculum. As a result, a school using 
additional training locations must identify the portion of its 
curriculum and number of students to be taught at each such location. 
Because the provision in new Sec.  147.13(b) is merely a subset of the 
overarching requirement of Sec.  147.13(a), the FAA finds that the 
requirement is consistent with the statute.
    Pursuant to Sec.  147.5, an AMTS must submit information 
demonstrating compliance with Sec.  147.13 in its application. Section 
147.5(b)(1) requires applicants to describe the facilities, including 
the physical address of the school's primary location for operation and 
any additional fixed training locations, and the equipment and 
materials to be used at each location. Section 147.5(b)(4) further 
requires that applicants submit information needed to determine 
compliance with each of the requirements of part 147, which includes 
Sec.  147.13. As such, in addition to describing the facilities, 
equipment, and materials to be used at each location, an AMTS must 
demonstrate to the FAA that those facilities, equipment, and materials 
are appropriate to both the school's rating or ratings, and the number 
of students to be taught. If the AMTS uses additional training 
locations, the school must demonstrate that the facilities, equipment, 
and materials used at that location are appropriate to the curriculum, 
or portion of the curriculum, and number of students to be taught 
there. The FAA's process for determining the appropriateness of 
facilities, equipment, and materials to the ratings held and number of 
students to be taught will not change from the current regulation, in 
that the FAA will continue to assess appropriateness to ratings through 
the lens of the school's training program. That is, in determining the 
appropriateness of facilities, equipment, and materials for a given 
rating, the FAA will look to the curriculum that the school intends to 
use.\28\
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    \28\ To illustrate, if the curriculum includes a skill 
requirement that an applicant must perform on a specific piece of 
equipment, the school must have that piece of equipment (e.g., where 
a school's curriculum requires a student to be able to perform a 
skill requirement to service a battery, the school must have an 
aircraft battery in a condition that will allow a student to 
demonstrate the appropriate servicing requirements in order to be 
considered to have equipment appropriate to the rating).
---------------------------------------------------------------------------

2. Training Provided at Another Location (Sec.  147.15)
    Section 135(d)(2) allows a certificated AMTS to provide training at 
any additional location that meets the requirements of the interim 
final regulations and is listed in the certificate holder's OpSpecs.
    The FAA is implementing the requirements of Section 135(d)(2) in 
new Sec.  147.15. This new regulation states that a certificated AMTS 
may provide training at any fixed location other than its primary 
location, provided the additional training location meets the 
requirements of part 147 and is listed in the certificate holder's 
OpSpecs. For clarity, the FAA is adopting rule language that slightly 
differs from the statutory language. Specifically, rather than stating 
that training may be provided at ``any additional location,'' new Sec.  
147.15 states that training may be provided at ``any fixed location 
other than its primary location.'' This change in terminology is 
intended to clarify what is meant by the term ``additional location'' 
in Section 135(d)(2). To ascertain the meaning of ``additional 
location,'' the FAA read Section 135(d)(2) in the context of Section 
135(c)(1)(A)(i), which refers to the certificate holder's primary 
location for operation of the school and any additional fixed locations 
where training will be provided. Based on Section 135(c)(1)(A)(i), the 
FAA determined that ``additional location'' in Section 135(d)(2) refers 
to any fixed locations other than the primary location of the 
school.\29\
---------------------------------------------------------------------------

    \29\ A distance learning system is considered an instructional 
delivery method intended to allow for flexible scheduling and varied 
location settings and, therefore, is not considered a fixed location 
other than the primary location of the school.
---------------------------------------------------------------------------

    Additionally, the legislation states that an AMTS may provide 
training at any additional location that meets the requirements of the 
interim final regulations, required under Section 135(a)(1). The 
interim final regulations required under Section 135(a)(1) are 
implemented as part 147. Therefore, the FAA is implementing the 
legislation to require that the additional training location must meet 
the requirements in part 147. Consequently, schools should expect the 
FAA to verify that each location meets the requirements of part 147 
prior to the FAA listing the location on the AMTS OpSpecs.
    There is nothing in the statute that prohibits foreign training 
locations nor is the FAA aware of any other prohibition concerning the 
foreign location of part 147 schools.\30\ Therefore, based on the broad 
statutory provision in Section 135(d)(2), the FAA finds additional 
training locations may be located outside the United States, provided 
the additional location meets the requirements of part 147 and is 
listed in the certificate holder's OpSpecs.\31\ For the same reasons, 
the

[[Page 31398]]

FAA finds that certificated AMTSs may be located outside of the United 
States. The FAA is updating its guidance to reflect the allowance of 
foreign locations under part 147.\32\
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    \30\ The FAA notes that it also allows foreign satellites in 
parts 141 and part 142. Additionally, the FAA allows foreign 
training centers under part 142.
    \31\ There are fees for certification services performed outside 
the United States. 14 CFR part 187. Appendix A to part 187 contains 
the methodology for computation of such fees. Advisory Circular 187-
1 contains an updated schedule of charges for services of FAA Flight 
Standards Service aviation safety inspectors outside the United 
States.
    \32\ It is noted that, under Sec.  65.3, a person who is neither 
a U.S. citizen nor a resident alien may be issued a certificate 
under part 65, outside the U.S., only when the Administrator finds 
that the certificate is needed for the continued operation or 
continued airworthiness of a U.S.-registered aircraft. As such, 
graduation from a certificated AMTS alone will not guarantee 
eligibility for a part 65 mechanic certificate for a non-U.S. 
citizen or non-resident alien; the applicant must still meet Sec.  
65.3.
---------------------------------------------------------------------------

3. Training Requirements (Sec.  147.17 and 1 CFR Part 51)
    Section 135(d)(3) requires each certificated AMTS to establish, 
maintain, and utilize a curriculum designed to continually align with 
mechanic airman certification standards as appropriate for the ratings 
held, provide training of a quality that meets the requirements of 
subsection (f)(1),\33\ and ensure students have the knowledge and 
skills necessary to be eligible to test for a mechanic certificate and 
associated ratings under subpart D of part 65.
---------------------------------------------------------------------------

    \33\ Section 135(f)(1) establishes the minimum passage rate for 
a certificated AMTS, and is implemented in Sec.  147.25.
---------------------------------------------------------------------------

    The FAA is implementing Section 135(d)(3) in new Sec.  147.17. 
Additionally, to effectuate the legislation, the FAA is making 
conforming amendments to part 65. The following sections discuss the 
training requirements set forth in the statute and the FAA's 
implementation of those requirements in more detail.
A. Incorporation by Reference (1 CFR Part 51)
    Incorporation by reference is a mechanism that allows Federal 
agencies to comply with the requirements of the Administrative 
Procedure Act (APA) \34\ to publish rules in the Federal Register and 
the Code of Federal Regulations by referring to material published 
elsewhere.\35\ Material that is incorporated by reference has the same 
legal status as if it were published in full in the Federal Register. 
Because 5 U.S.C. 552(a) requires the Director of the Federal Register 
to approve material to be incorporated by reference, incorporation by 
reference is governed by the Office of the Federal Register and as 
promulgated in its regulations: 1 CFR part 51. Specifically, 1 CFR part 
51 provides certain requirements that a regulatory incorporation by 
reference must contain.
---------------------------------------------------------------------------

    \34\ The APA includes requirements for publishing notices and 
providing opportunities for public comment of proposed and final 
rules in the Federal Register. See 5 U.S.C. 553(b).
    \35\ 5 U.S.C. 552(A), which states, ``except to the extent that 
a person has actual or timely notice of the terms thereof, a person 
may not in any manner be required to resort to, or be adversely 
affected by, a matter required to be published in the Federal 
Register and not so published. For the purpose of this paragraph, 
matter reasonably available to the class of persons affected thereby 
is deemed published in the Federal Register when incorporated by 
reference therein with the approval of the Director of the Federal 
Register.''
---------------------------------------------------------------------------

    To receive a mechanic certificate or rating under subpart D of part 
65, an applicant must pass a written, oral, and practical test.\36\ 
Currently, the standards for the oral and practical tests are contained 
in the Mechanic Practical Test Standards (PTS).\37\ The Mechanic PTS 
contains knowledge and skill subject areas that an applicant must 
demonstrate to pass the oral and practical test for a certificate or 
rating. Additionally, the questions on the written test align with the 
subject areas presented in the Mechanic PTS. Specifically, the Mechanic 
PTS contains subject areas, under which objectives define the general 
performance expectations of the elements within the subject areas. 
Currently, FAA inspectors and designated mechanic examiners (DMEs) 
conduct tests in accordance with the Mechanic PTS; however, the 
Mechanic PTS is not a regulatory standard for the written, oral, or 
practical tests.\38\
---------------------------------------------------------------------------

    \36\ 14 CFR 65.71(a)(3), 65.75 and 65.79.
    \37\ As of the effective date of this interim final rule, the 
version of the PTS utilized is: Aviation Mechanic General, Airframe, 
and Powerplant Practical Test Standards; FAA-S-8081-26B; Nov. 1, 
2021.
    \38\ See ``Foreword,'' Aviation Mechanic General, Airframe, and 
Powerplant Practical Test Standards; FAA-S-8081-26B; Nov. 1, 2021.
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    The FAA has initiated a process to transition from using the 
Mechanic PTS as the testing standard to obtain a mechanic 
certificate.\39\ As a part of this process, the FAA developed the 
Mechanic Airman Certification Standards (ACS), which adds task-specific 
knowledge and risk management elements to the standards, resulting in a 
comprehensive presentation that integrates the standards for what an 
applicant must demonstrate to pass the written, oral, and practical 
tests for a certificate or rating, respectively. Specifically, the 
Mechanic ACS contains several high-level subjects that will be assessed 
on the FAA tests as appropriate to the rating sought.\40\ For each 
subject, the ACS specifies the aeronautical knowledge, risk management, 
and skill standards that an FAA inspector or a DME may evaluate for 
mechanic certification.
---------------------------------------------------------------------------

    \39\ The FAA began to establish the ACS in 2011, in cooperation 
with an industry working group established under the Aviation 
Rulemaking Advisory Committee (ARAC). The goal in creating the ACS 
was to drive a systematic approach to the airmen certification 
process, including knowledge test question development and conduct 
of the practical test.
    \40\ As discussed herein, the FAA will continue to use the PTS 
as the testing standard under part 65 for a period of time after the 
effective date of this rule.
---------------------------------------------------------------------------

    In accordance with 5 U.S.C. 552(a) and 1 CFR part 51,\41\ the FAA 
makes the Mechanic PTS and ACS reasonably available to interested 
parties by providing free online public access to view on the FAA 
Airman Certification Standards website at: www.faa.gov/training_testing/testing/acs. Additionally, the Mechanic PTS and 
Mechanic ACS are available for download, free of charge, at the 
provided web address. In addition to the free online material available 
on the FAA's website, hard copies and printable versions are available 
from the FAA.
---------------------------------------------------------------------------

    \41\ Section 552(a) of title 5, United States Code, requires 
that matter incorporated by reference be ``reasonably available'' as 
a condition of its eligibility. Further, 1 CFR 51.5(b)(2) requires 
that agencies seeking to incorporate material by reference discuss 
in the preamble of the final rule, the ways that the material it 
incorporates by reference are reasonably available to interested 
parties, and how interested parties can obtain the material.
---------------------------------------------------------------------------

B. Curriculum Requirements (Sec.  147.17(a)(1) and (b))
    Consistent with Section 135(d)(3)(A), Sec.  147.17(a)(1) will 
require each certificated AMTS to establish, maintain, and utilize a 
curriculum designed to continually align with the mechanic airmen 
certification standards as appropriate to the ratings held. The phrase 
``mechanic airman certification standards'' in Section 135(d)(3)(A) 
refers to the standards that an applicant for a mechanic certificate or 
rating must demonstrate for certification.
    Prior to this interim final rule, as previously stated, the FAA had 
not taken the necessary steps to make the testing standards regulatory. 
Because the legislation requires an AMTS curriculum to align with the 
testing standards, an AMTS is incapable of complying with the 
implementing regulation in Sec.  147.17(a)(1) without referring to the 
testing standards contained in the Mechanic ACS. Because the 
implementing regulation requires an AMTS to use the Mechanic ACS, which 
is not already published in the Code of Federal Regulations or another 
location that carries the full force and effect of the law, the FAA is 
incorporating the Mechanic ACS by

[[Page 31399]]

reference. Therefore, consistent with the statute, Sec.  147.17(a)(1) 
requires each certificated AMTS to establish, maintain, and utilize a 
curriculum \42\ designed to continually align with the mechanic airmen 
certification standards as appropriate to the ratings held. The 
mechanic airman certification standards are contained in the Mechanic 
ACS, which is a document that exists outside the regulations; 
therefore, to effectuate the requirement, the FAA is incorporating it 
by reference as previously discussed. Section 147.17(b) contains the 
proper language of incorporation set forth by the Office of the Federal 
Register \43\ and includes document identification and location 
information, thereby enabling AMTS to comply with Sec.  147.17(a)(1).
---------------------------------------------------------------------------

    \42\ The FAA notes that Section 135(d)(3)(a), and the 
implementing regulation, states each certificated AMTS must 
establish, maintain, and utilize a curriculum; both ``AMTS'' and 
``curriculum'' are stated in the singular. While an AMTS may have 
only one curriculum, it may have separate curriculum components 
(i.e., General, Airframe, Powerplant) for the ratings that the AMTS 
holds.
    \43\ See 1 CFR 51.9.
---------------------------------------------------------------------------

    As previously discussed, the Mechanic ACS includes high-level 
subjects (e.g., Fundamentals of Electricity and Electronics, Aircraft 
Drawings), which are broken down into components that include 
knowledge, risk management, and skill elements relevant to that 
subject. The knowledge, risk management, and skill elements set forth 
the standards for certification. Because the statute requires a 
curriculum to align with the Mechanic ACS, the curriculum must align 
with the standards set forth under the high-level subjects. For 
example, a curriculum would not meet the statutory requirement in 
Section 135(d)(3)(A) if it aligned only with the subjects in the 
Mechanic ACS because the high-level subjects are not the certification 
standards.\44\ Nor would a curriculum suffice if it did not align with 
the knowledge and skill elements contained in the Mechanic ACS, because 
those are the knowledge and skill standards that the FAA will evaluate 
in testing applicants for a mechanic certificate under part 65.
---------------------------------------------------------------------------

    \44\ If an AMTS only adopted the high-level subjects as their 
curriculum, the AMTS could have underlying course content items or 
projects that do not align with the Mechanic ACS, thereby resulting 
in violation of the statute.
---------------------------------------------------------------------------

    While a curriculum must align with the high-level subjects and the 
standards set forth under those subjects, an AMTS need not duplicate 
the entire Mechanic ACS verbatim into its curriculum. Rather, the 
intent is to provide a more flexible, performance-based standard that 
enables an AMTS to develop a curriculum suited to the particular AMTS 
and that aligns with the Mechanic ACS. The FAA finds that an AMTS will 
be in compliance with Sec.  147.17(a)(1) \45\ if the school designs its 
curriculum to include: (1) The high-level subjects that are listed in 
the Mechanic ACS; and (2) broader course content items, concepts, and 
practical projects under each high-level subject, which may encompass 
several of the more detailed knowledge, risk management, and skill 
elements listed in the Mechanic ACS. For example, one broad course 
content item in the curriculum may encompass several knowledge elements 
listed in the Mechanic ACS, while still aligning with the Mechanic ACS. 
The FAA notes that the requirement to align the curriculum with the 
Mechanic ACS will not preclude an AMTS from including additional course 
content beyond that provided in the Mechanic ACS.
---------------------------------------------------------------------------

    \45\ Section 147.17(a)(1) implements the statutory requirement 
in Section 135(d)(3)(A).
---------------------------------------------------------------------------

    New Sec.  147.17 replaces the curriculum requirements set forth in 
current Sec.  147.21 (General curriculum requirements). New Sec.  
147.17 omits certain requirements in current Sec.  147.21, including 
prescriptive requirements for curriculum hours and inclusion of 
subjects currently found in the appendices of part 147. Additionally, 
while the FAA will review curriculum as part of its oversight 
responsibilities, the FAA will no longer approve AMTS curriculum. For 
this reason, exemptions previously issued to provide relief from 
current Sec.  147.21 will no longer be needed and will terminate upon 
the effective date of this interim final rule.\46\
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    \46\ E.g., Exemption No. 18892 (Docket No. FAA-2002-11395); 
Exemption No. 18766 (Docket No. FAA-2019-0165).
---------------------------------------------------------------------------

C. Conforming Amendments To Incorporate the Mechanic ACS by Reference 
(Sec. Sec.  65.23, 65.75, and 65.79)
    The FAA's implementation of new Sec.  147.17 and incorporation by 
reference of the Mechanic ACS into part 147 necessitates conforming 
revisions to part 65. While part 147 addresses the training of 
mechanics through a certificated AMTS, subpart D of part 65 contains 
the eligibility requirements for all applicants seeking a mechanic 
certificate or rating, including the requirements to pass a written, 
oral, and practical test, respectively, within a period of 24 
months.\47\ That is, mechanic applicants who do not graduate from a 
certificated AMTS may test for a mechanic certificate by obtaining 
certain thresholds of practical experience rather than by graduating 
from a certificated AMTS.\48\ The eligibility requirements and testing 
standards in subpart D of part 65 are applicable to students trained by 
an AMTS, as well as those who meet the practical experience 
requirements found in Sec.  65.77(b).
---------------------------------------------------------------------------

    \47\ See Sec. Sec.  65.71(a)(3), 65.75, and 65.79.
    \48\ See Sec.  65.77.
---------------------------------------------------------------------------

    The training of mechanics at an AMTS must therefore correspond to 
the testing standards required for certification under part 65, as 
evidenced by Section 135(d)(3)(C) of the Act, which requires an AMTS to 
ensure students have the knowledge and skills necessary to test for a 
mechanic certificate and associated ratings under part 65 and to align 
its curriculum with the Mechanic ACS. If the FAA did not require 
compliance with the Mechanic ACS in part 65, it would result in a 
disconnect between the training provided to AMTS students and the 
testing standards that an applicant must demonstrate on an FAA test for 
mechanic certification. This disconnect would adversely affect AMTS 
students if tested on knowledge and skill that the students were not 
trained on and would be inconsistent with Section 135(d)(3)(C). As 
evidenced from this statutory requirement, as well as the requirement 
for a curriculum to align with the mechanic airman certification 
standards (i.e., the testing standards), the FAA has concluded that 
Congress did not intend to create a discrepancy between the training a 
student receives from an AMTS and the testing standard that a student 
is evaluated on for mechanic certification. Accordingly, to effectuate 
the legislation, the FAA finds it necessary to incorporate the Mechanic 
ACS by reference into part 65.
    However, as previously discussed, the FAA has not yet transitioned 
to the Mechanic ACS as the testing standard and currently uses the 
Mechanic PTS to test applicants for a mechanic certificate or rating in 
accordance with subpart D of part 65. Because the Mechanic ACS added 
knowledge and skill standards, the FAA recognizes that applicants who 
have been trained by an AMTS prior to this interim final rule may not 
have received training on certain aspects of aircraft maintenance 
included in the Mechanic ACS.\49\ Should the FAA implement the Mechanic 
ACS as the testing standard upon the effective date

[[Page 31400]]

of this interim final rule, students who have been trained by an AMTS 
under the contents of the current part 147, appendices B, C, and D, 
would be placed at an immediate disadvantage when testing. Therefore, 
in order to allow for each AMTS to train its students under the 
curriculum aligned with the Mechanic ACS, as required by new Sec.  
147.17(a)(1), the FAA is delaying the implementation of the Mechanic 
ACS as the testing standard in part 65. Further, the FAA finds that one 
year is a sufficient time frame for current AMTS students to gain the 
knowledge required to take a knowledge, practical, and oral test based 
on the Mechanic ACS standards.\50\ Therefore, the FAA will use the 
Mechanic PTS as the testing standard until July 31, 2023. After July 
31, 2023, the FAA will use the Mechanic ACS to conduct mechanic tests.
---------------------------------------------------------------------------

    \49\ For example, the Mechanic ACS adds the subject areas 
``Water and Waste'' and ``Rotorcraft Fundamentals,'' which were not 
previously included in the PTS. Additionally, the subject area 
elements of the Mechanic ACS provide more specific aeronautical 
knowledge elements that include detailed knowledge, risk management, 
and skill elements within existing subject areas.
    \50\ Although there are variances in AMTS curriculum delivery 
timeframes, most AMTS structure their curriculum to provide students 
with the knowledge and skills needed to apply for a mechanic 
certificate, with at least a single rating, within one year.
---------------------------------------------------------------------------

    To enforce both the Mechanic PTS and Mechanic ACS in part 65, the 
FAA must incorporate these standards by reference, as done for part 
147, to ensure the testing standards are legally enforceable and 
consistent with the standards required by part 147. To require 
compliance with the testing standards set forth in the Mechanic PTS and 
Mechanic ACS, the FAA adds a new regulation to subpart A of part 65, 
designated as Sec.  65.23, and amends the requirements in Sec. Sec.  
65.75 and 65.79, which require an applicant for a mechanic certificate 
or rating to pass a knowledge, oral and practical test, respectively. 
Rather than restate the language required by 5 U.S.C. 552(a) and 1 CFR 
51.9(b) to incorporate a document by reference in multiple part 65 
sections, the FAA has created a new centralized incorporation by 
reference section as Sec.  65.23 that incorporates the Mechanic PTS and 
Mechanic ACS. Centralizing the incorporation of the Mechanic ACS and 
Mechanic PTS under one section will streamline the regulatory text and 
avoid repetitive information in the regulations. Subsequent part 65 
sections that require compliance with these respective standards (i.e., 
Sec. Sec.  65.75 and 65.79) refer to Sec.  65.23 for identification 
information and the incorporation by reference language required by 1 
CFR part 51.
    Prior to this interim final rule, Sec.  65.75 required the 
applicant to pass a written test that covered certain knowledge 
areas.\51\ However, the FAA and an industry working group developed the 
Mechanic ACS to contain knowledge elements that an applicant must know 
to pass the written test. Thus, the Mechanic ACS contains the intended 
testing standards for the written test. To make these knowledge testing 
standards mandatory, the FAA is revising Sec.  65.75 by incorporating 
by reference the Mechanic ACS in the section. However, as previously 
discussed, an immediate effectivity of the Mechanic ACS as the testing 
standard would put students who have trained at an AMTS whose 
curriculum has not incorporated some Mechanic ACS subject areas at a 
disadvantage. Therefore, the FAA will test mechanic applicants using 
the Mechanic PTS. The FAA will not test part 65 applicants on the 
subject areas contained in the Mechanic ACS until AMTSs have had an 
opportunity to deliver their revised curriculum in accordance with new 
Sec.  147.17 (i.e., aligned with the Mechanic ACS as appropriate for 
the ratings held).
---------------------------------------------------------------------------

    \51\ Pursuant to Sec.  65.75, an applicant for a mechanic 
certificate or rating must pass a written test appropriate to the 
rating sought after meeting the experience requirements of Sec.  
65.77. However, as explained in section III.e.4 of this preamble, 
titled ``Early Testing,'' the FAA is adding a new provision to Sec.  
65.75 to allow for early testing in accordance with the statutory 
requirement in Section 135(f)(4).
---------------------------------------------------------------------------

    As such, the FAA is revising Sec.  65.75(a) to require that each 
applicant for a mechanic certificate or rating must, after meeting the 
applicable experience requirements of Sec.  65.77, pass a written test, 
appropriate to the rating sought, which includes the subject areas 
contained in the applicable Mechanic PTS, appropriate to the rating 
sought, until July 31, 2023. After July 31, 2023, new Sec.  65.75(a) 
requires part 65 applicants, after meeting the applicable experience 
requirements of Sec.  65.77, to pass a written test, appropriate to the 
rating sought, which includes the aeronautical knowledge subject areas 
contained in the Mechanic ACS, appropriate to the rating sought.
    The FAA is retaining the requirement in Sec.  65.75(b) that the 
applicant must pass each section of the test before applying for the 
oral and practical tests prescribed by Sec.  65.79,\52\ and that a 
report of the written test is sent to the applicant. The FAA notes that 
consistent with Section 135(f)(4) of the statute, the FAA is adding a 
provision to Sec.  65.75 to allow AMTS students to take the general 
written test prior to meeting the experience requirements of Sec.  
65.77 if they can provide an authenticated document from a certificated 
AMTS demonstrating satisfactory completion of the general portion of 
the school's curriculum. Section III.e.4. of this preamble, titled 
``Early Testing,'' discusses Sec.  65.75(c) in detail.
---------------------------------------------------------------------------

    \52\ Section 65.80 provides an exception that permits a student 
to take the oral and practical tests prescribed by Sec.  65.79 
during the final subjects of the applicant's training in the 
curriculum before the student meets the applicable experience 
requirements of Sec.  65.77 and before the student passes each 
section of the written test prescribed by Sec.  65.75 when a 
certificated AMTS shows to an FAA inspector that the student has 
made satisfactory progress at the school and is prepared to take the 
oral and practical tests.
---------------------------------------------------------------------------

    Similarly, the FAA is revising Sec.  65.79, which contains the oral 
and practical test requirements for applicants seeking a mechanic 
certificate or rating, by incorporating by reference both the Mechanic 
PTS and the Mechanic ACS, respectively, in the section with the same 
effectivity dates as promulgated by Sec.  65.75. Prior to this final 
rule, Sec.  65.79 required each applicant to pass an oral test and a 
practical test appropriate to the rating sought. Section 65.79 required 
the tests to cover the applicant's basic skill in performing practical 
projects on the subjects covered by the written test for the rating 
sought. Additionally, Sec.  65.79 required an applicant for a 
powerplant rating to show their ability to make satisfactory minor 
repairs to, and minor alternations of, propellers. To make the testing 
standards mandatory, the FAA is requiring in new Sec.  65.79(a) that 
each applicant for a mechanic certificate or rating must pass an oral 
test and a practical test, as appropriate to the rating sought, by 
demonstrating the prescribed proficiency \53\ in the assigned 
objectives for the subject areas contained in the applicable Mechanic 
PTS until July 31, 2023. After July 31, 2023, new Sec.  65.79(b) 
requires each applicant for a mechanic certificate or rating to pass an 
oral test and practical test, as appropriate to the rating sought, by 
demonstrating satisfactory understanding of the knowledge, risk 
management, and skill element for each subject contained in the 
Mechanic ACS.\54\
---------------------------------------------------------------------------

    \53\ The Mechanic PTS prescribes performance levels for which an 
applicant must demonstrate proficiency in the assigned elements in 
each subject area for the oral and practical tests.
    \54\ The FAA notes that the oral and practical tests are 
administered using a representative sample of subject areas and 
their requisite elements; a single test may not include all of the 
subject areas and elements listed in the Mechanic PTS or Mechanic 
ACS.
---------------------------------------------------------------------------

D. Remaining Training Requirements (Sec.  147.17(a)(2) and (3))
    The FAA is implementing the remaining training requirements of 
Section 135(d)(3)(B) and (C) in new Sec.  147.17(a)(2) and (3). Section 
147.17(a)(2) requires each AMTS to

[[Page 31401]]

provide training of a quality that meets the requirements of Sec.  
147.25,\55\ which contains the minimum passage rate requirements that a 
school must maintain. Section 147.17(a)(2) implements the statutory 
requirement of Section 135(d)(3)(B) without change. Section 
147.17(a)(3) requires each AMTS to ensure that its students have the 
knowledge and skills necessary to be prepared to test for a mechanic 
certificate and associated ratings under subpart D of part 65.\56\ 
Section 147.17(a)(3) implements the statutory requirement of Section 
135(d)(3)(C) with one minor change in terminology for accuracy. As 
previously discussed, subpart D of part 65 contains the eligibility and 
certification requirements for persons seeking a mechanic certificate 
or rating. Part 65 does not require a student to have knowledge and 
skill ``to be eligible'' to test for a mechanic certificate or rating. 
Rather, Sec. Sec.  65.75 and 65.79 require an applicant to pass a 
written, oral, and practical test by demonstrating certain knowledge 
and skills. It is, therefore, accurate to state that a student must 
have the knowledge and skills necessary ``to be prepared'' to test for 
a mechanic certificate and associated ratings under subpart D of part 
65. Section 147.17(a)(3) contains this change in terminology for 
purposes of alignment with the requirements of part 65.
---------------------------------------------------------------------------

    \55\ Section 135(f)(3)(B) requires the training to meet the 
requirements of subsection (f)(1), which the FAA has implemented as 
Sec.  147.25.
    \56\ The FAA notes that new Sec.  147.5(b) requires an AMTS to 
provide a description of the manner in which the school's curriculum 
will ensure the student has the knowledge and skills required by new 
Sec.  147.17(a)(3). In providing such description, the AMTS should 
include information such as the basis of the curriculum (e.g., 
credit hours, hours-based, competency based training), as well as 
the curriculum delivery methods (e.g., distance learning, in-person 
learning, virtual labs).
---------------------------------------------------------------------------

4. Instructor Requirements (Sec.  147.19)
    Section 135(d)(4) states that each certificated AMTS shall (A) 
provide qualified instructors to teach in a manner that ensures 
positive educational outcomes are achieved; (B) ensure instructors hold 
a mechanic certificate with one or more appropriate ratings (or, with 
respect to instructors who are not certificated mechanics, ensure 
instructors are otherwise specifically qualified to teach their 
assigned content); and (C) ensure the student-to-instructor ratio does 
not exceed 25:1 for any shop class.
    The statutory requirement preserves the requirement in current 
Sec.  147.23 that instructors either hold a mechanic certificate or be 
otherwise specially qualified to teach certain curriculum content. The 
requirement also retains the student-to-instructor ratio prescribed for 
shop classes in current Sec.  147.23 but removes the requirement that 
the one instructor in that ratio be FAA certificated. ``Mechanic 
certificate'' will continue to refer to an FAA mechanic certificate 
issued under part 65. The FAA interprets ``specifically qualified'' to 
mean an instructor is demonstrably qualified by reason other than an 
FAA mechanic certificate (e.g., education or relevant experience) to 
teach a certain portion of the school's curriculum.
    The statute adds the requirement that qualified instructors teach 
in a manner that ensures achievement of positive educational outcomes. 
The FAA interprets positive educational outcomes to refer to the 
training standards set forth in Section 135(d)(3) (implemented in new 
Sec.  147.17), which are geared toward ensuring the AMTS provides 
training of a quality that satisfies the pass rate requirement 
specified in Sec.  147.25 and equips students with the knowledge and 
skills needed to be prepared to test for a mechanic certificate and 
associated ratings under part 65. This means that instructors qualified 
in accordance with Section 135(d)(4)(B) must teach in a manner that 
ensures achievement of the training requirements in new Sec.  
147.17(a)(2) and (3). That is, instructors must teach in a manner that 
ensures the AMTS provides training of a quality that meets the minimum 
pass rate requirement specified in Sec.  147.25.\57\ Additionally, 
instructors must teach in a manner that ensures students have the 
knowledge and skills necessary to be prepared to test for a mechanic 
certificate and associated ratings under subpart D of part 65.\58\
---------------------------------------------------------------------------

    \57\ See Sec.  147.17(a)(2).
    \58\ See Sec.  147.17(a)(3).
---------------------------------------------------------------------------

    The FAA is implementing the requirement of Section 135(d)(4) in new 
Sec.  147.19 with one minor change. The FAA is dividing Section 
135(d)(4)(B), which is implemented in new Sec.  147.19(b), into two 
subsections that distinguish the requirements for instructors who hold 
a mechanic certificate versus instructors who are otherwise 
specifically qualified.
    An AMTS must submit information demonstrating compliance with Sec.  
147.19 in its application. Section 147.5(b)(3) requires applicants to 
describe the manner in which the school will ensure it provides the 
necessary qualified instructors to meet the requirements of Sec.  
147.19. Section 147.5(b)(4) further requires that applicants submit 
information needed to determine compliance with each of the 
requirements of part 147, which includes Sec.  147.19. As such, in 
addition to describing the manner in which the school will ensure it 
provides the instructors required by Sec.  147.19, the school must 
submit information demonstrating compliance with the requirements to 
(a) provide qualified instructors to teach in a manner that ensures 
positive educational outcomes; (b) ensure instructors are either 
certificated mechanics or otherwise specifically qualified; and (c) 
ensure the student-to-instructor ratio does not exceed 25:1 for any 
shop class.
    To demonstrate compliance with Sec.  147.19(a), an AMTS must submit 
evidence that it is able to provide qualified instructors (as defined 
in Sec.  147.19(b)) to ensure the achievement of the training 
requirements in Sec.  147.17(a)(2) and (a)(3). An AMTS should be 
prepared to describe the manner by which the school will ensure that 
its instructors can provide training of a quality that meets the 
requirements of Sec.  147.25 and equip students with the knowledge and 
skills necessary to be prepared to test for a mechanic certificate and 
associated ratings under subpart D of part 65.
    To demonstrate compliance with Sec.  147.19(b), an AMTS must submit 
information demonstrating that any certificated instructors hold FAA 
mechanic certificates and appropriate ratings. For any non-certificated 
instructors, the school must identify the portion of its curriculum to 
which the instructor will be assigned and submit information 
demonstrating that the instructor is specifically qualified to teach 
their assigned content.
5. Certificate of Completion (Sec.  147.21)
    Section 135(d)(5), titled ``Certificate of completion,'' states 
that each certificated AMTS shall provide authenticated documentation 
to each graduating student, indicating the student's date of graduation 
and curriculum completed, as described in Section 135(d)(3)(A), which 
contains the training requirements for AMTSs.
    The FAA is implementing the requirements of Section 135(d)(5) in 
new Sec.  147.21 by stating that each certificated AMTS must provide an 
authenticated document to each graduating student, indicating the 
student's date of graduation and curriculum completed. Because the 
statute requires the FAA to establish interim final regulations in 
accordance with Section 135, new Sec.  147.21 will not require an AMTS 
to provide an authenticated transcript of a student's grades to each 
student who is graduated

[[Page 31402]]

from the school or who leaves it before graduating as current Sec.  
147.35 (Transcripts and graduation certificates) requires. The language 
in new Sec.  147.21 mirrors the statute except for two minor changes.
    First, the FAA finds it unnecessary to codify the statutory 
provision that states ``the curriculum as described in Section 
135(d)(3)(A).'' As previously discussed, Section 135(d)(3)(A), which 
contains the curriculum requirements, is implemented in new Sec.  
147.17(a). It is apparent that the curriculum referenced in new Sec.  
147.21 refers to the curriculum required by Sec.  147.17(a), as that is 
the only curriculum referenced in, and required by, new part 147. As 
such, the FAA is not adopting language that states ``the curriculum as 
described in Sec.  147.17(a).''
    Second, the FAA is using the term ``authenticated document'' 
instead of ``authenticated documentation.'' Under the FAA's 
regulations, the purpose of issuing an authenticated document to a 
student who graduates from a certificated AMTS is to enable that 
student to demonstrate compliance with the experience requirements of 
Sec.  65.77. The FAA finds that the term ``authenticated document'', 
rather than ``authenticated documentation,'' accurately captures the 
documents intended to be presented under Sec.  65.77. The FAA is 
concerned that the term ``authenticated documentation'' is vague and 
may be broadly interpreted to include numerous pages of extensive 
documentation. When a student presents a document to demonstrate 
compliance with Sec.  65.77, that student presents the document to a 
knowledge testing center to show that the student is eligible to take 
the written test or tests. A knowledge testing center is a private 
company designated by the FAA to administer written airman knowledge 
tests, with FAA oversight to ensure compliance with FAA requirements. 
As a private company, a knowledge testing center is not the appropriate 
entity to review extensive documentation and make a determination about 
the student's eligibility under the regulations. Instead, the student 
must present a single document to the knowledge testing center that 
unambiguously demonstrates the student's eligibility to take the 
written tests. The term ``authenticated document'' is, therefore, more 
appropriate for an AMTS to provide to its graduates.
    Furthermore, if the authenticated document is issued under Sec.  
147.21 for the purpose of demonstrating compliance with Sec.  65.77, 
the FAA finds it necessary for the authenticated document to include 
the school's name and air agency certificate number to enable the 
knowledge testing center to identify the school as a certificated AMTS. 
Because schools may share the same name, an air agency certificate 
number is the only means for the FAA and knowledge testing centers to 
distinguish between AMTSs and to ensure the student graduated from a 
certificated AMTS.\59\
---------------------------------------------------------------------------

    \59\ The FAA notes that an applicant must demonstrate that the 
applicant meets the experience requirements of Sec.  65.77 in order 
to be eligible to take the written test. The experience requirements 
provide two avenues to demonstrate such have been met: (1) 
Graduation from a certificated AMTS, or (2) practical experience. It 
follows that if an applicant graduated from a non-certificated AMTS, 
the applicant must demonstrate the requisite practical experience in 
order to be eligible to take the written test. Therefore, the 
designation of whether an AMTS is certificated is vital for testing 
centers to determine how the applicant meets the experience 
requirements of Sec.  65.77 prior to testing.
---------------------------------------------------------------------------

    In order to ensure consistency in the regulations, the FAA finds 
the need to make two conforming amendments to Sec.  65.77. For purposes 
of effectuating the legislation in harmony with part 65, the FAA is 
replacing the reference in Sec.  65.77 of ``a graduation certificate or 
certificate of completion'' with ``authenticated document.'' 
Additionally, Sec.  65.77 presents two alternatives in lieu of 
graduating from a certificated AMTS in order to meet the experience 
required in Sec.  65.75 to take the written test, provided the 
applicant provides documentary evidence satisfactory to the 
Administrator of such. The FAA finds that it is necessary to reformat 
Sec.  65.77 in order to communicate that an applicant for a mechanic 
certificate or rating may present either an authenticated document from 
an AMTS or documentary evidence of one of the two practical experience 
alternatives.

e. Quality Control System Requirements (Sec.  147.23)

    Section 135(e) establishes new requirements for certificated AMTSs 
based on whether the AMTS is accredited by the Department of Education. 
The following sections reiterate the statutory requirements and explain 
how the FAA is implementing them in new part 147.
1. Quality Control System: Accreditation (Sec.  147.23(a))
    Section 135(e)(1) states that an AMTS must be accredited as meeting 
the definition of an institution of higher education provided for in 
section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001) or 
establish and maintain a quality control system that meets the 
requirements specified in Section 135(e)(2), FAA-approved quality 
control system, and is approved by the Administrator.
    The FAA is implementing the requirements of Section 135(e)(1) in 
new Sec.  147.23(a), with two minor revisions. First, the FAA adds the 
word ``certificated'' before ``aviation maintenance technician school'' 
to clarify the applicability of the requirements of Sec.  147.23(a).
    Second, the FAA revises the requirement to state that a school must 
``be accredited within the meaning of 20 U.S.C. 1001(a)(5).'' Although 
the statute specified a school would need to be ``accredited as meeting 
the definition of an institution of higher education,'' this language 
incorrectly suggests that a school is accredited if it meets the 
Department of Education's definition of ``institution of higher 
education.'' To the contrary, accreditation is one of five criteria 
that a school must meet in order to be deemed an ``institution of 
higher education'' under 20 U.S.C. 1001(a). Schools become accredited 
by seeking recognition from one of the accrediting agencies governed by 
the Department of Education. Section 1001(a) requires that schools be 
``accredited by a nationally recognized accrediting agency or 
association.'' Pursuant to Section 1001(c), the Secretary of Education 
publishes a list of all nationally recognized accrediting agencies or 
associations determined to be reliable authority as to the quality of 
the education or training offered. Given that the subsequent section, 
Section 135(e)(2), refers only to accreditation, and not the definition 
of ``institution of higher education,'' the FAA believes the statute 
intends to require that schools be ``accredited,'' as that term is used 
in 20 U.S.C. 1001(a)(5), rather than requiring schools to meet all five 
criteria of the Department of Education's definition, which would 
appear to well exceed the scope of part 147 certification.
    For this reason, the FAA requires in Sec.  147.23(a) that each 
certificated AMTS either (1) be accredited within the meaning of 20 
U.S.C. 1001(a)(5)--meaning they are accredited by an accrediting agency 
or association recognized by the Department of Education pursuant to 20 
U.S.C. 1001(c); or (2) establish and maintain a quality control system 
that meets the requirements in Sec.  147.23(b).
    The requirement to ``maintain'' the quality control system under 
Sec.  147.23(a)(2) means that a school must continue to implement the 
procedures described in its quality control system after it is approved 
by the FAA. If the school makes changes to its FAA-approved quality 
control system, then

[[Page 31403]]

the school must notify the FAA since the basis for the FAA's approval 
would have changed. The FAA will provide a means of compliance for a 
quality control system and outline procedures that have proven 
successful for AMTSs in the past in AC 147-3 (as revised). The means of 
compliance set forth in the AC are not the only means of satisfying 
Sec.  147.23; schools may use alternative means of compliance.
    The FAA notes that the Department of Education's recognition of 
accrediting agencies is limited by statute to accreditation activities 
within the United States.\60\ To be accredited within the meaning of 20 
U.S.C. 1001(a)(5), an AMTS must have its primary location within the 
United States. The FAA would consider an AMTS's accreditation to extend 
to any additional training locations, whether located within or outside 
the United States. An AMTS whose primary location is outside of the 
United States cannot satisfy Sec.  147.23(a)(1) and must instead 
establish and maintain a quality control system pursuant to Sec.  
147.23(b).
---------------------------------------------------------------------------

    \60\ See 20 U.S.C. 1099b.
---------------------------------------------------------------------------

    An AMTS must submit information demonstrating compliance with Sec.  
147.23(a) in its application. Section 147.5(b)(4) requires that 
applicants submit information needed to determine compliance with each 
of the requirements of part 147, which includes Sec.  147.23. As such, 
an AMTS must either demonstrate that it is accredited within the 
meaning of 20 U.S.C. 1001(a)(5) or submit for FAA approval a quality 
control system that satisfies Sec.  147.23(b). To demonstrate 
accreditation under Sec.  147.23(a), a school should provide 
documentation that shows the school's current accreditation status and 
its accrediting agency.
2. Quality Control System: FAA-Approved System (Sec.  147.23(b))
    As previously discussed, Section 135(e)(1)(B) requires a non-
accredited AMTS to establish and maintain a quality control system that 
meets the requirements of Section 135(e)(2) and is approved by the 
Administrator. In the case of a non-accredited AMTS, Section 135(e)(2) 
requires the Administrator to approve a quality control system that 
provides procedures for record-keeping, assessment, issuing credit, 
issuing of final course grades, attendance, ensuring sufficient number 
of instructors, granting of graduation documentation, and corrective 
action for addressing deficiencies.
    The FAA is implementing the requirements of Section 135(e)(2) in 
new Sec.  147.23(b) with two minor changes. First, the statutory 
language in Section 135(e)(2) states that the FAA-approved system 
requirements apply in the case of an AMTS that is not accredited as set 
forth in paragraph (1), which is implemented as Sec.  147.23(a). 
Because Sec.  147.23(a) states that an AMTS must either be accredited 
within the meaning of 20 U.S.C. 1001(a)(5) or establish and maintain a 
quality control system, the FAA finds it repetitive to state that Sec.  
147.23(b) specifically applies to those AMTSs that are not accredited 
as set forth in Sec.  147.23(a). Rather, the regulatory language has 
been simplified to state that the required procedures apply to the 
quality control system in Sec.  147.23(a)(2).
    Pertaining to the second minor change, the statutory provision 
requires the FAA to approve a quality control system that meets the 
requirements of the provision. Because the FAA's regulations apply to 
the regulated community rather than the FAA itself, the FAA is slightly 
revising the wording of Section 135(e)(2) to make it applicable to 
certificated AMTSs. Accordingly, new Sec.  147.23(b) requires the 
quality control system specified in Sec.  147.23(a)(2) to provide 
procedures for recordkeeping, assessment, issuing credit, issuing of 
final course grades, attendance, ensuring sufficient number of 
instructors, granting of graduation documentation, and corrective 
action for addressing deficiencies. As such, unless an AMTS is 
accredited within the meaning of 20 U.S.C. 1001(a)(5), the school will 
need to establish and maintain a quality control system that includes 
procedures for each of the items in Sec.  147.23(b). Pursuant to Sec.  
147.23(a)(2), this quality control system must be approved by the 
Administrator.
    In order to satisfy Sec.  147.23(b), the quality control system 
submitted to the FAA for approval must clearly describe the school's 
procedures for each of the items listed in Sec.  147.23(b). The FAA 
interprets ``recordkeeping'' to refer to procedures for producing and 
retaining records related to the AMTS's operation and students' 
completion of the school's curriculum. Similarly, the FAA interprets 
``assessment'' to refer to procedures for evaluation of students' 
completion of the school's curriculum requirements. The FAA interprets 
procedures for ``issuing credit'' to refer to procedures describing how 
and when the school will credit a student with completion of the 
school's curriculum (or portions thereof), including if, when, and how 
the school will credit prior instruction or experience. Similarly, 
``attendance'' procedures should describe how the AMTS will keep track 
of student attendance related to any school requirements for curriculum 
completion. Procedures for granting graduation documentation should 
describe the basis upon which the school will issue graduation 
documentation and the format of the documentation to be issued. These 
procedures should include documentation issued under Sec.  147.31, 
early testing. Lastly, the FAA interprets ``deficiencies'' within the 
context of the statute to refer to deficiencies or defects within the 
school's quality control system, which may arise following FAA 
approval.
    As previously stated, an AMTS must submit information demonstrating 
compliance with Sec.  147.23 in its application pursuant to Sec.  
147.5(b)(4). As such, unless an AMTS submits information demonstrating 
that it is accredited in accordance with Sec.  147.23(a)(1), the school 
must submit for FAA approval a quality control system that meets the 
requirements of Sec.  147.23(b). Additionally, for those currently 
certificated AMTSs, Section 135 of the Act repeals and replaces current 
part 147 upon the effective date of the interim final rule; therefore, 
schools must ensure they are either accredited or have an FAA-approved 
quality control system in place and demonstrated to the FAA in order to 
comply with new part 147 and continue operations as a certificated 
AMTS. For additional information on submission of this information, 
refer to AC 147-3.

f. Additional Requirements (Subpart B)

    Section 135(f)(1) through (4) contain additional requirements for 
certificated AMTSs, including a pass rate requirement to ensure schools 
provide quality training, an FAA inspection requirement, a requirement 
for schools to display their AMTS certificates, and a requirement 
allowing students to take the general written test required under part 
65 early, provided certain conditions are met. Because those 
requirements pertain to the operations of certificated ATMSs, the FAA 
is implementing them in subpart B of part 147, ``Certification and 
Operating Requirements.'' The following sections specify the statutory 
requirements and discuss the FAA's implementation of those requirements 
in more detail.
1. Minimum Passage Rate (Sec.  147.25)
    Section 135(f)(1) states that a certificated AMTS ``shall maintain 
a pass rate of at least 70 percent of students who took a written, 
oral, or practical (or any combination thereof) FAA mechanic tests 
within 60 days of graduation for the most recent 3-year

[[Page 31404]]

period.'' Section 135(d)(3)(B), which contains the training 
requirements for AMTSs, requires each school to provide training of a 
quality that satisfies the minimum passage rate required by Section 
135(f)(1). The training requirements are implemented in Sec.  147.17 
and discussed in section III.d.3. of this preamble, titled ``Training 
Requirements.'' This section discusses the implementation of the pass 
rate requirement in Sec.  147.25.
    In implementing Section 135(f)(1), the FAA encountered two 
ambiguous phrases in the statute that would have caused confusion in 
industry.\61\ The first ambiguous phrase is ``within 60 days of 
graduation.'' The FAA finds that a person could interpret this phrase 
several ways. It could mean that a school must determine its pass rate 
by using students who take a test (or combination of tests) within 60 
days before graduation. Alternatively, it could mean that a school must 
determine its pass rate by using students who take a test (or 
combination of tests) within 60 days after graduation. Furthermore, a 
person could interpret ``within 60 days of graduation'' to mean that a 
school must determine its pass rate by using students who take a test 
(or combination of tests) within the 60 days before or the 60 days 
after graduation, thereby creating a 120-day window as opposed to a 60-
day window.
---------------------------------------------------------------------------

    \61\ ``With regard to judicial review of an agency's 
construction of the statute which it administers, if Congress has 
not directly spoken to the precise question at issue, the question 
for the court is whether the agency's answer is based on a 
permissible construction of the statute.'' Chevron U.S.A., Inc. v. 
Natural Resources Defense Council, Inc., 467 U.S. 837 (1984). The 
primary holding of the Chevron doctrine is that a government agency 
must conform to any clear legislative statements when interpreting 
and applying a law, but courts will give the agency deference in 
ambiguous situations as long as its interpretation is reasonable.
---------------------------------------------------------------------------

    Currently, the FAA does not have a minimum passage rate 
requirement. However, in the FAA's supplemental notice of proposed 
rulemaking (SNPRM) for part 147, which was published on April 16, 
2019,\62\ the FAA proposed to revise the quality of instruction 
requirements by replacing the national passing norms with a minimum 
passage rate requirement.\63\ The FAA's proposed rule would have 
required each certificated AMTS to provide instruction of sufficient 
quality such that, in the prior 24 calendar months,\64\ at least 70 
percent of its graduates passed on the first attempt within 60 days of 
graduation each written test leading to a certificate or rating. 
Commenters asked the FAA to add oral and practical tests to the 
provision as well as a lookback period of 3 years rather than 24-
calendar months.\65\ Section 135(f)(1) includes the commenters' desired 
changes. Because Section 135(f)(1) appears to have stemmed from the 
FAA's proposed rule change in the SNPRM, the FAA is interpreting 
``within 60 days of graduation'' consistent with the FAA's proposal. 
Accordingly, ``within 60 days of graduation'' means ``60 days after 
graduation.'' \66\ The FAA notes that the 60-day window excludes 
students who test beyond 60 days after graduation from the pass rate 
calculation. The FAA proposed the 60-day window in the SNPRM because 
knowledge acquired through an AMTS's curriculum may be perishable if 
not applied within a reasonable time after graduation.
---------------------------------------------------------------------------

    \62\ SNPRM, Aviation Maintenance Technician Schools, 84 FR 
15533, 15549 (Apr. 16, 2019).
    \63\ See proposed Sec.  147.37 in the SNPRM, 84 FR at 15549.
    \64\ The proposed rule would have required schools to assess 
compliance on a quarterly basis.
    \65\ See FAA Rulemaking Docket No. FAA-2015-3901.
    \66\ As evidenced by the term ``graduates'' in the FAA's 
proposed rule, ``within 60 days of graduation'' meant ``60 days 
after graduation.''
---------------------------------------------------------------------------

    The second ambiguous phrase includes the list of tests that are 
used to determine the pass rate specified in the statute. Specifically, 
Section 135(f)(1) requires a pass rate of at least 70 percent of 
students who take ``a written, oral, or practical (or any combination 
thereof) FAA mechanic tests'' within 60 days of graduation. Part 65 
contains the eligibility requirements for persons seeking an FAA 
mechanic certificate.\67\ To be eligible for an FAA mechanic 
certificate issued under part 65, a person must pass all of the 
prescribed tests within a period of 24 months.\68\ The prescribed tests 
for an FAA mechanic certificate include written tests,\69\ oral tests, 
and practical tests.\70\ Under the statute, for students who take one 
of these tests or any combination thereof within 60 days after 
graduation, the school must maintain a pass rate of at least 70 percent 
of students. The statute is unambiguous with respect to when a student 
takes only one test within 60 days after graduation and passes that 
test; the school may count that student towards the 70 percent pass 
rate. Furthermore, because the statute does not require the student to 
pass the test on the first attempt,\71\ the FAA finds that the statute 
is also unambiguous with respect to a student who passes a test on a 
subsequent attempt within the 60 days following graduation; the school 
may also count that student towards the 70 percent pass rate. It is 
unclear from the statute, however, how Congress intended the ``any 
combination thereof'' language to apply.
---------------------------------------------------------------------------

    \67\ See 14 CFR part 65, subpart D.
    \68\ 14 CFR 65.71(a)(3).
    \69\ Section 65.75 contains the knowledge requirements for a 
person seeking a mechanic certificate, including the requirement to 
pass the written test. The FAA notes that there are multiple FAA 
mechanic written tests. The FAA has a general written test, an 
airframe written test, and a power plant written test. The tests 
that an applicant must pass depend on the mechanic rating or ratings 
sought.
    \70\ Section 65.79 contains the skill requirements for a person 
seeking a mechanic certificate, including the requirement to pass an 
oral and practical test on the rating the person seeks.
    \71\ See proposed Sec.  147.37 in the SNPRM, 84 FR 15533 
(proposing to require the student to pass on the first attempt in 
order to be counted towards the school's pass rate); see also Sec.  
141.5(d) (requiring a pass rate of 80 percent or higher ``on the 
first attempt''); Sec.  141.55(e)(2)(ii) (requiring at least 80 
percent of students to pass the practical or knowledge test, as 
appropriate, ``on the first attempt''); Sec.  141.63(a)(5)(ii) 
(requiring at least 90 percent of students to pass the required 
practical or knowledge test, or any combination thereof, for the 
pilot, flight instructor, or ground instructor certificate or rating 
``on the first attempt'').
---------------------------------------------------------------------------

    The phrase ``any combination thereof'' refers to a combination of 
the tests prescribed by part 65 (e.g., any combination of the written, 
oral, and practical tests). When a student takes a combination of 
tests, however, the FAA finds that the number of tests the student must 
pass to be counted towards the school's pass rate is subject to 
interpretation under Section 135(f)(1). A person could interpret 
Section 135(f)(1) to mean that a person who takes a combination of 
tests must pass all tests taken to be considered a passing student for 
purposes of determining the school's pass rate. Alternatively, a person 
could interpret Section 135(f)(1) to mean that a person who takes a 
combination of tests must pass only one test to be counted towards the 
school's pass rate.
    To ascertain the meaning of the phrase ``any combination thereof'' 
in Section 135(f)(1), the FAA finds it necessary to read the phrase in 
the context of Section 135(f)(1) in its entirety. In addition, the FAA 
should construe statutory text so that no word or clause is rendered 
superfluous, void, or insignificant.\72\ Section 135(f)(1) expressly 
requires schools to maintain a

[[Page 31405]]

pass rate of at least 70 percent of students \73\ who take one of the 
tests specified in paragraph (f)(1) or any combination of those tests. 
In other words, 70 percent of students who take one of the tests or any 
combination thereof must pass. Therefore, if a student takes a 
combination of tests within the 60 days following graduation, the FAA 
interprets the statute to mean the student must pass all tests taken to 
be counted as a passing student towards the school's pass rate. The FAA 
finds that this is the most reasonable interpretation when read in the 
context of the 70 percent pass rate because a student who passes one 
test but fails another would not be a ``passing'' student based on the 
totality of the student's test results. Additionally, the FAA's 
interpretation of Section 135(f)(1) gives meaning to the phrase ``any 
combination thereof.''
---------------------------------------------------------------------------

    \72\ ``It is a fundamental canon of statutory construction that 
the words of a statute must be read in their context and with a view 
to their place in the overall statutory scheme.'' Davis v. Michigan 
Dept. of Treasury, 489 U.S. 803, 809 (1989). ``A statute should be 
construed so that effect is given to all its provisions, so that no 
part will be inoperative or superfluous, void or insignificant. . . 
.''' Hibbs v. Winn, 542 U.S. 88, 101 (2004) (quoting 2A N. Singer, 
Statutes and Statutory Construction section 46.06, pp. 181-186 (rev. 
6th ed. 2000)). Likewise, all parts, provisions, and sections of 
title 14 of the CFR must be read together in order to best ascertain 
and give effect to their meaning.
    \73\ The FAA notes that the legislation specifically ties the 
``pass rate of at least 70 percent'' to ``of students'' in Section 
135(f)(1). The FAA construes this to be an intentional link to 
students; if the intent was to base the 70 percent pass rate on 
individual tests, the legislation would have expressly stated ``of 
tests,'' instead of ``of students,''.
---------------------------------------------------------------------------

    If the FAA were to interpret Section 135(f)(1) to the contrary--to 
mean that a student who takes a combination of tests is required to 
pass only one test to be considered a passing student--the phrase ``any 
combination thereof'' would be rendered superfluous. For example, 
before a student may take an oral or practical test, the student must 
pass the written test (except if testing under Sec.  65.80, as 
previously discussed).\74\ If a student passes the written test but 
subsequently fails the oral and practical tests within the 60 days 
following graduation, the school would count the student as a passing 
student under this interpretation. Additionally, if a student passes 
the written test and subsequently passes the oral and practical tests 
within the 60-day window, the school would count the student as a 
passing student. As these examples illustrate, the only test that would 
matter under this interpretation would be the first test taken (e.g., 
the written test under the examples).\75\ Therefore, interpreting 
Section 135(f)(1) to mean that a student who takes any combination of 
tests is required to pass only one of the tests (e.g., the written 
test) to be counted towards the school's pass rate would render the 
phrase ``any combination thereof'' meaningless.
---------------------------------------------------------------------------

    \74\ See Sec.  65.75(b).
    \75\ The FAA recognizes that a student may take the general 
written test prior to graduation. In this case, the student would 
typically take the oral and practical tests within the 60 days 
following graduation. A student may not proceed to oral or practical 
testing until the student passes the required written test(s) 
(except when testing under Sec.  65.80). If a student passes the 
oral test but subsequently fails the practical test, that student 
would be considered a passing student under the alternative 
interpretation. Additionally, if a student passes the oral test and 
subsequently passes the practical test, the student would be 
considered a passing student. These examples further illustrate how 
the phrase ``any combination thereof'' would be rendered meaningless 
under the alternate interpretation.
---------------------------------------------------------------------------

    Accordingly, the FAA is adopting rule language in Sec.  147.25 that 
implements Section 135(f)(1) consistent with the FAA's aforementioned 
interpretation of the statutory provision. To facilitate readability 
and minimize confusion, the FAA is implementing Section 135(f)(1) by 
adopting three paragraphs in Sec.  147.25.\76\ Section 147.25(a) 
requires each certificated AMTS to maintain the pass rate specified in 
Sec.  147.25(b) for the most recent 3-year period.
---------------------------------------------------------------------------

    \76\ The organization and wording of Sec.  147.25 is intended to 
minimize confusion and preclude the need for legal interpretations 
following the publication of this interim final rule. The FAA notes 
that part 141 contains similar requirements pertaining to pass 
rates. These requirements have resulted in numerous requests for 
legal interpretation.
---------------------------------------------------------------------------

    Section 147.25(b) contains the pass rate required by the statute. 
For students who take an FAA mechanic test under part 65 within 60 days 
after graduation, at least 70 percent of students must pass the test 
(or any combination thereof). These tests are listed in Sec.  
147.25(b)(1) through (3).
    Lastly, to minimize confusion, the FAA is adopting Sec.  147.25(c) 
to make clear that a student who takes a combination of tests within 
the 60 days following graduation must pass each test taken within the 
60-day window to be considered a passing student for purposes of 
determining the school's pass rate. For example, if the student passes 
the written test(s) and oral test but subsequently fails the practical 
test within the 60 days following graduation, the school must count the 
failure on the practical test as a student failure for purposes of 
determining the pass rate.\77\ Table 1 contains a hypothetical in an 
effort to provide clarity with respect to applying new Sec.  147.25.
---------------------------------------------------------------------------

    \77\ As previously explained, however, a student is not required 
to pass the test on the first attempt. Therefore, if the student 
passed the practical test on a subsequent attempt within the 60-day 
window specified in Sec.  147.25(b), that student would be 
considered a passing student for purposes of determining the pass 
rate.
    \78\ Pursuant to Section 135(f)(1) of the Act, students who take 
tests after the 60-day window specified in Sec.  147.25(b) may not 
be counted towards the school's pass rate.

             Table 1--Hypothetical To Determine School's Pass Rate in Accordance With Sec.   147.25
----------------------------------------------------------------------------------------------------------------
                                            Written test *             Oral test              Practical test
----------------------------------------------------------------------------------------------------------------
Student 1............................  Failed first attempt.    Passed first attempt...  Passed first attempt.
                                        Passed second attempt.
Student 2............................  Passed first attempt...  Failed first and only    Failed first and only
                                                                 attempt.                 attempt.
Student 3............................  Passed first attempt...  Passed first attempt...  Passed first attempt.
Student 4............................  Failed first attempt.    Failed first and only    Failed first and only
                                        Passed second attempt.   attempt.                 attempt.
Student 5............................  Passed first attempt...  Passed first attempt...  Passed first attempt.
Student 6............................  Passed first attempt...  Passed first attempt...  Passed first attempt.
Student 7............................  Passed first attempt...  Passed first attempt...  Passed first attempt.
Student 8............................  Passed first attempt...  Passed first attempt...  N/A.**
Student 9............................  Passed first attempt...  N/A **.................  N/A.**
Student 10...........................  Failed first attempt.    N/A **.................  N/A.**
                                        Failed second attempt.
----------------------------------------------------------------------------------------------------------------
* For simplicity the table refers to a single written test. However the number of written tests that a mechanic
  applicant must take depend on the rating sought and whether it is an initial mechanic applicant or an
  application for an additional rating.
** For purposes of Table 1, N/A means the student did not take the test within the 60 days following
  graduation.\78\

    In Table 1, the AMTS has 10 students who took one or more FAA 
mechanic tests within the 60 days following graduation. For the school 
to meet the pass rate, 70 percent of these students must have passed. 
The AMTS would

[[Page 31406]]

count the following students as passing students for purposes of 
determining the pass rate: Students 1, 3, 5, 6, 7, 8 and 9. The school 
must count Students 2 and 4 as student failures because the students 
took a combination of tests and failed two of the three tests (e.g., 
the oral and practical tests). The school must also count Student 10 as 
a student failure because the student failed both attempts at the 
written test. Despite the student failures, the school had 7 out of 10 
students pass the tests taken within the 60-day window. As such, the 
school met the 70 percent pass rate.\79\
---------------------------------------------------------------------------

    \79\ The FAA notes that while an AMTS is required to meet the 
pass rate in Sec.  147.25, an AMTS is also generally required to 
ensure students have the knowledge and skills necessary to be 
prepared to test for a mechanic certificate and associated ratings, 
pursuant to Sec.  147.17(a)(3). As part of the FAA's general 
inspection authority in Sec.  147.27, the FAA may review an AMTS's 
pass rate data as a whole, not only as it pertains to those students 
who test 60 days after graduation, to ensure that students are 
prepared with the knowledge and skill to test for the applicable 
certificate and/or rating.
---------------------------------------------------------------------------

    The FAA will collect pass/fail data on written, oral, and practical 
tests taken by graduates of an AMTS. The FAA's data will control for 
purposes of determining whether a certificated AMTS meets the minimum 
pass rate requirement in new Sec.  147.25. The FAA notes that it 
currently does not collect pass/fail data on the oral and practical 
tests taken by AMTS graduates. The FAA will begin collecting this data 
when new part 147 goes into effect. However, because of the 3-year 
lookback period in the statute and the absence of current data, the FAA 
will not be able to determine compliance with Sec.  147.25 for at least 
3 years. Similarly, the 3-year lookback period will affect any newly 
certificated AMTSs on and after the effective date of the final rule 
because a new school will not have pass rate data for the most recent 
3-year period. The FAA's inability to determine compliance with Sec.  
147.25 for a period of time does not mean that quality of instruction 
will be ignored. Rather, the FAA will issue reports containing the 
pass/fail data, which will allow the FAA and certificated AMTSs to 
monitor their pass rates and assess their quality of instruction. 
However, current schools (for the first three years following the 
effective date of the interim final rule) and newly certificated 
schools will not be in violation of Sec.  147.25, even with a pass rate 
lower than 70 percent, because the pass rate would not be based on the 
3-year period of data.
    Table 2 shows which FAA written tests an AMTS student may take 
based on the curriculum the student completed. Table 3 illustrates the 
different components of the oral and practical tests that are 
administered to an applicant seeking a mechanic certificate and/or 
rating under part 65. The FAA notes that, for students graduating from 
a certificated AMTS, the results of these tests, within the 60-day 
timeframe, will be used to determine whether the school meets the 
minimum pass rate.

                         Table 2--Written Tests
------------------------------------------------------------------------
  If the written test applicant is an AMTS student with an appropriate
                                document,
-------------------------------------------------------------------------
                                          Then the applicant is eligible
 Evidencing completion of the following    to attempt the following FAA
              curriculum:                        written test(s):
------------------------------------------------------------------------
Airframe...............................  general, airframe.
Powerplant.............................  general, powerplant.
Airframe, Powerplant...................  general, airframe, powerplant.
General curriculum content.............  general.
------------------------------------------------------------------------

                    Table 3--Oral and Practical Tests
------------------------------------------------------------------------
   The mechanic oral and practical test will consist of the following
                                elements:
-------------------------------------------------------------------------
                              An original mechanic   An added rating to
   If the rating(s) being        certificate and    an existing mechanic
     requested is(are):          rating is being       certificate is
                                   requested:            requested:
------------------------------------------------------------------------
Airframe....................  Oral--general,        Oral--airframe.
                               airframe.            Practical--airframe.
                              Practical--general,
                               airframe.
Powerplant..................  Oral--general,        Oral--powerplant.
                               powerplant.          Practical--powerplan
                              Practical--general,    t.
                               powerplant.
Airframe, Powerplant........  Oral--general,        N/A.
                               airframe,
                               powerplant.
                              Practical--general,
                               airframe,
                               powerplant.
------------------------------------------------------------------------

2. FAA Inspection (Sec.  147.27)
    Section 135(f)(2) states that a certificated AMTS shall allow the 
Administrator such access as the Administrator determines necessary to 
inspect the 1 or more locations of the school for purposes of 
determining: (1) The school's compliance with the interim final 
regulations required under Section 135(a)(1); (2) the procedures and 
information outlined in the school's OpSpecs according to Section 
135(c)(5); and (3) the AMTS certificate issued for the school. The FAA 
believes that the latter two areas of compliance are inherently 
incorporated into the first enumerated area of compliance, which 
assesses compliance with the requirements of part 147. An AMTS's 
OpSpecs and the school's certificate are issued under the requirements 
of part 147. Therefore, the ability to inspect an AMTS to determine its 
compliance with part 147 includes inspecting its compliance with its 
OpSpecs and its certificate.
    The statutory requirement is largely consistent with current Sec.  
147.43, which allows the Administrator to inspect an AMTS at any time 
to determine its compliance with part 147. The FAA is implementing this 
requirement in new Sec.  147.27. As a result of Section 135(a)(2), 
which repeals the current regulations in part 147, the FAA notes that 
current Sec.  147.43 is repealed upon the effective date of this 
interim final rule. Therefore, the language found in current Sec.  
147.43 that a school will be notified, in writing, of any deficiencies 
found during the inspection is repealed. However, AMTSs will continue 
to receive written notifications of negative findings after inspections 
pursuant to

[[Page 31407]]

the FAA's guidance to inspectors found in FAA Order 8900.1.
3. Display of Certificate (Sec.  147.29)
    Section 135(f)(3) requires a certificated AMTS to display its AMTS 
certificate at a location in the school that is visible by and normally 
accessible to the public. The FAA finds that the term ``school'' in 
Section 135(f)(3) is ambiguous in light of the statutory provision that 
allows a certificated AMTS to provide training at additional fixed 
locations.\80\ For example, Section 135(f)(3) could be interpreted to 
mean that the part 147 certificate must be displayed only at the 
primary location of the school. Alternatively, Section 135(f)(3) could 
be interpreted to mean that the part 147 certificate must be displayed 
at the primary location and any additional fixed locations of the 
school. To ascertain the meaning of the term ``school'' in Section 
135(f)(3), the FAA finds it necessary to read Section 135(f)(3) in the 
context of the statute in its entirety.\81\ Section 135(d)(2) states 
that a certificated AMTS may provide training at any additional 
location that meets the interim final regulations, which are required 
under Section 135(a)(1), and is listed in the certificate holder's 
OpSpecs. Additionally, Section 135(c)(1)(A)(i) contains an application 
requirement that applies to any additional fixed locations where 
training will be provided. As a result, a ``school'' may have a primary 
location and additional fixed locations. When read in the context of 
Section 135 in its entirety, the FAA finds it reasonable to interpret 
the broad term ``school'' in Section 135(f)(3) as including each 
location of the school (i.e., primary location and additional fixed 
locations). Furthermore, the statute uses the term ``primary location'' 
throughout the legislation,\82\ but does not use the term in Section 
135(f)(3). Instead, Section 135(f)(3) states that the certificate must 
be displayed ``at a location in the school.'' This meaningful variation 
in terminology further supports the FAA's interpretation that the term 
``school'' in Section 135(f)(3) means primary location and any 
additional fixed locations of the school.\83\
---------------------------------------------------------------------------

    \80\ See Section 135(d)(2).
    \81\ K Mart Corp. v. Cartier, Inc., 486 U.S. 281, 291 (1988) 
(``In determining whether a challenged regulation is consistent with 
the statute it implements, courts must ascertain the statute's plain 
meaning by looking to the particular language at issue and the 
language and design of the statute as a whole.'').
    \82\ See Section 135(c)(1)(A)(i) and Section 135(c)(5)(D).
    \83\ Russello v. United States, 464 U.S. 16, 23 (1983) 
(``[Where] Congress includes particular language in one section of a 
statute but omits it in another section of the same Act, it is 
generally presumed that Congress acts intentionally and purposely in 
the disparate inclusion or exclusion.'') (quoting United States v. 
Wong Kim Bo, 472 F. 2d 720, 722 (5th Cir. 1972)).
---------------------------------------------------------------------------

    For these reasons, the FAA interprets Section 135(f)(3) to mean 
that a certificated AMTS must display its certificate at a place in 
each location of the school, including the primary location and any 
additional fixed locations, that is visible by and normally accessible 
to the public. The FAA is implementing this requirement in new Sec.  
147.29. The AMTS may display a copy of the Air Agency certificate at 
any location. The FAA notes that it is using the term ``place'' in the 
regulation rather than ``location'' to avoid confusion because the 
statute (and thus, the implementing regulations) already use the term 
``location'' with respect to ``primary location'' and ``additional 
fixed locations.'' \84\
---------------------------------------------------------------------------

    \84\ For example, it would be confusing to require the 
certificated AMTS to display its part 147 certificate at a 
``location in each location'' of the school (e.g. the primary 
location and additional fixed location).
---------------------------------------------------------------------------

4. Early Testing (Sec.  147.31)
    Section 135(f)(4) states that a certificated AMTS ``may issue 
authenticated documentation demonstrating a student's satisfactory 
progress, completion of corresponding portions of the curriculum, and 
preparedness to take the aviation mechanic written general knowledge 
test, even if the student has not met the experience requirements of 
[Sec.  ] 65.77 of [14 CFR].'' Section 135(f)(4) requires any such 
documentation to specify the curriculum the student completed and the 
completion date.
    The FAA is implementing Section 135(f)(4) in part 147 by adding new 
Sec.  147.31, which allows a school to issue an authenticated document 
to a student when that student satisfactorily completes the general 
portion of a school's curriculum. The authenticated document will 
demonstrate the student's preparedness to take the aviation mechanic 
general written test prior to meeting the experience requirements 
specified in Sec.  65.77. To facilitate readability and ensure 
effective implementation of Section 135(f)(4), the FAA is codifying 
rule language in Sec.  147.31 that slightly differs from the statutory 
language of Section 135(f)(4). Despite the different phrasing and 
terminology, however, the FAA emphasizes that the provisions share the 
same meaning and achieve the same objective. The differences are 
discussed in detail herein.
    Section 135(f)(4) uses the term ``aviation mechanic written general 
knowledge test.'' The FAA finds, however, that using the terms 
``written'' and ``knowledge'' when referring to the aviation mechanic 
general written test would be unnecessary and inconsistent with FAA 
regulations.\85\ Subpart D of part 65, which contains the eligibility 
requirements for an applicant seeking a mechanic certificate, uses the 
term ``written test.'' Because subpart D of part 65 applies to AMTS 
students seeking to obtain a mechanic certificate, the FAA has decided 
to use the term ``written test'' in Sec.  147.31 to ensure consistency 
between the parts.
---------------------------------------------------------------------------

    \85\ The FAA's regulations in title 14 CFR use ``written test'' 
and ``knowledge test'' but do not combine the terms to state 
``written knowledge test.'' See 14 CFR parts 61, 63, and 65.
---------------------------------------------------------------------------

    Section 135(f)(4) allows an AMTS to issue authenticated 
documentation demonstrating ``a student's satisfactory progress, 
completion of corresponding portions of the curriculum, and 
preparedness to take the aviation mechanic written general knowledge 
test.'' The student's satisfactory progress and preparedness to take 
the aviation mechanic general written test is based wholly on whether 
the student satisfactorily completed the corresponding portion of the 
curriculum. The portion of the curriculum that directly corresponds to 
the student's preparedness to take the aviation mechanic general 
written test is the portion of the curriculum that contains the general 
curriculum subjects. After reviewing the statutory provision, the FAA 
determined that Section 135(f)(4) appears to contain unnecessary and 
redundant phraseology. To reduce confusion and facilitate 
comprehension, the FAA is codifying the statutory requirement in a more 
concise and simplistic manner.
    New Sec.  147.31 will allow a certificated AMTS to issue an 
authenticated document to a student when that student satisfactorily 
completes the general portion of a school's curriculum. The 
authenticated document will demonstrate the student's preparedness to 
take the aviation mechanic general written test prior to meeting the 
experience requirements of Sec.  65.77. Specifically, the authenticated 
document will demonstrate that the student is prepared to take the 
aviation mechanic general written test by showing that the student 
satisfactorily completed the general portion of the curriculum.
    For the reasons discussed herein, the FAA is making a conforming 
amendment to Sec.  65.75 to effectuate the

[[Page 31408]]

statutory requirement. Because of the conforming amendment, the FAA is 
adopting a cross-reference to Sec.  65.75 to simplify the rule language 
in Sec.  147.31 and avoid redundancy in the regulations. Additionally, 
the FAA explains why the regulatory text uses ``authenticated 
document'' rather than ``authenticated documentation'' in this section.
    Section 135(f)(4) also requires the authenticated documentation to 
specify the curriculum the student completed and the completion date. 
As evident by the first sentence in Section 135(f)(4), a student is not 
required to complete an entire curriculum--i.e., either an airframe 
curriculum, a powerplant curriculum, or an airframe and powerplant 
curriculum--in order to demonstrate eligibility to take the aviation 
mechanic general written test early. Rather, the student must 
satisfactorily complete the general portion of that curriculum. 
Therefore, requiring the authenticated documentation to specify the 
curriculum completed is inconsistent with the first sentence in Section 
135(f)(4). Requiring the student to complete an entire curriculum would 
also frustrate the implementation of Section 135(f)(4) in the AMTS 
industry because not all schools administer a general curriculum 
independent from the airframe or powerplant curriculum.\86\ In some 
cases, a school may administer the general curriculum subjects as part 
of the airframe or powerplant curriculum.
---------------------------------------------------------------------------

    \86\ For example, a school with an Airframe and Powerplant 
rating may have a single curriculum that teaches general, airframe, 
and powerplant content. A student who only completes the general 
curriculum content of that curriculum could be issued an 
authenticated document by the AMTS indicating the student is 
eligible to test for the aviation mechanic general written test, 
prior to meeting the experience requirements of Sec.  65.77 (i.e., 
graduating from a curriculum consistent with the AMTS ratings).
---------------------------------------------------------------------------

    To achieve the intent of Section 135(f)(4), the FAA finds it 
necessary to adopt rule language that is consistent with the first 
sentence of Section 135(f)(4). Accordingly, the regulations will 
require an authenticated document to show that the student has 
satisfactorily completed the general portion of the curriculum and the 
completion date. The FAA is codifying this requirement in new Sec.  
65.75(c), which is subsequently discussed, rather than Sec.  147.31, 
because subpart D of part 65 contains the eligibility requirements for 
a person seeking a mechanic certificate and the FAA considers the 
authenticated document necessary to take the written test early to be 
an eligibility requirement for taking that written test.
    Furthermore, upon review of Section 135(f)(4), the FAA determined 
that an amendment to Sec.  65.75(a) is necessary to achieve the intent 
of the legislation. Part 147 prescribes the requirements for issuing 
AMTS certificates and associated ratings, and the operating rules for 
those certificate holders.\87\ The students of an AMTS, however, must 
comply with subpart D of part 65, which prescribes the requirements for 
issuing mechanic certificates and associated ratings. Currently, Sec.  
65.75(a) requires each applicant for a mechanic certificate or rating 
to meet the applicable experience requirements of Sec.  65.77 prior to 
passing a written test. Students of an AMTS are, therefore, required to 
satisfy the experience requirements of Sec.  65.77 before they may take 
the aviation mechanic general written test. Numerous schools have 
obtained exemptions from Sec.  65.75(a) to enable their students to 
take the aviation mechanic general written test immediately following 
the students' successful completion of the general curriculum 
subjects.\88\ Section 135(f)(4) is intended to allow students who have 
successfully completed the general portion of the curriculum to take 
the aviation mechanic general written test even if the student has not 
met the applicable experience requirements of Sec.  65.77. Thus, the 
legislation is intended to eliminate the need for schools to obtain 
exemptions from Sec.  65.75(a) to enable early testing.
---------------------------------------------------------------------------

    \87\ See Sec.  147.1.
    \88\ Approximately 35 percent of AMTSs currently hold an 
exemption from Sec.  65.75(a) (e.g., Exemption No. 17174B, Docket 
No. FAA-2016-8933; Exemption No. 18647, Docket No. FAA-2020-0932; 
Exemption No. 18701, Docket No. FAA-2016-9045; Exemption No. 18055A, 
Docket No. FAA-2018-0937; Exemption No. 18664, Docket No. FAA-2016-
0136).
---------------------------------------------------------------------------

    Upon review of the exemptions from Sec.  65.75(a), however, the FAA 
recognizes that it cannot achieve the intent of the legislation by 
amending only part 147. If not amended, students would continue to be 
required by Sec.  65.75(a) to meet the applicable experience 
requirements of Sec.  65.77 prior to taking the aviation mechanic 
general written test. Thus, the new requirement in Sec.  147.31 would 
create an inconsistency with Sec.  65.75(a) rather than eliminating the 
need for exemptions from Sec.  65.75(a).
    Accordingly, to achieve the intent of the legislation, the FAA 
finds it necessary to make a conforming amendment to Sec.  65.75. The 
FAA is adding an exception to the requirement in Sec.  65.75(a) that 
will allow an applicant for a mechanic certificate or rating to take 
the general written test prior to meeting the experience requirements 
of Sec.  65.77, provided the applicant presents an authenticated 
document from a certificated AMTS that demonstrates satisfactory 
completion of the general portion of the curriculum. This exception is 
contained in new Sec.  65.75(c). As a result, the new Sec.  65.75(c) 
will eliminate the need for exemptions from Sec.  65.75(a), and 
exemptions from this regulation will terminate upon the effective date 
of this interim final rule.
    The FAA creates the mechanic written tests that are required under 
part 65. These written tests, however, are administered to applicants 
by knowledge testing centers. A knowledge testing center is a private 
company designated by the FAA to administer written airman knowledge 
tests, with FAA oversight to ensure compliance with FAA requirements.
    The FAA recognizes that Section 135(f)(4) allows a school to issue 
``authenticated documentation'' that demonstrates a student's 
eligibility to take a general written test prior to meeting the 
experience requirements of Sec.  65.77. For the same reasons discussed 
in section III.d.5., the FAA finds it necessary to use the term 
``authenticated document'' rather than ``authenticated documentation.'' 
By using the term ``authenticated document,'' the FAA emphasizes the 
need for schools to issue a single document that effectively 
demonstrates the student's eligibility to take the written test early, 
without additional FAA involvement.\89\ The term ``authenticated 
document'' will achieve the intent of the legislation by allowing 
schools to determine what type of document they wish to issue rather 
than mandating a particular document, such as ``certificate of 
completion.''
---------------------------------------------------------------------------

    \89\ If a school issued numerous pages of extensive 
documentation in an effort to demonstrate a student's eligibility to 
take a written test, the FAA would have to review that documentation 
and determine whether the student was in fact eligible in accordance 
with the FAA's regulations.
---------------------------------------------------------------------------

    The purpose of an authenticated document under new Sec.  147.31 is 
to provide proof that the student has, in fact, satisfactorily 
completed the general portion of the certificated AMTS's curriculum and 
is prepared to take the general written test early in accordance with 
new Sec.  65.75(c). As a result, the FAA finds it necessary for the 
authenticated document to include the school's name and air agency 
certificate number to enable the knowledge testing center to identify 
the school as a certificated AMTS. A school's name is insufficient 
alone because schools may share the same name. Thus, the air

[[Page 31409]]

agency certificate number is the only means for the FAA and the 
knowledge testing center to clearly distinguish between AMTSs and to 
ensure the student completed the general portion of the curriculum at a 
certificated AMTS.

g. Conforming Amendments

    Upon implementing the statutory requirements of Section 135 into 
new part 147, the FAA recognized that the new requirements would have 
created inconsistencies in two provisions that exist outside part 147, 
namely appendix A to part 43 and Sec.  65.80. As a result, the FAA 
finds it necessary to make conforming amendments to those provisions. 
The following sections explain the conforming amendments in detail.
1. Appendix A to Part 43
    Current Sec.  147.21(e) contains the requirements governing the 
approval of special inspection and preventive maintenance courses for 
primary category aircraft type certificated under Sec.  21.24.\90\ 
Section 135(a)(1) requires the FAA to issue interim final regulations 
in accordance with the requirements of Section 135. Additionally, 
Section 135(a)(2) repeals all current regulations upon the effective 
date of the interim final rule. Because Section 135 of the statute does 
not contain a provision governing the approval of special inspection 
and preventive maintenance courses for primary category aircraft type 
certificated under Sec.  21.24, the FAA is not issuing an interim final 
regulation governing such courses. Additionally, current Sec.  
147.21(e) is repealed on the effective date of this interim final rule.
---------------------------------------------------------------------------

    \90\ Section 147.21(e) was added in the 1992 final rule that 
adopted regulations for primary category aircraft. See Primary 
Category; 57 FR 41360 (Sept. 9, 1992).
---------------------------------------------------------------------------

    Appendix A to part 43, which describes the circumstances under 
which an owner of a primary category aircraft may complete the 
preventive maintenance tasks specified in appendix A, contains a cross-
reference to Sec.  147.21(e). Because Sec.  147.21(e) is repealed upon 
the effective date of this interim final rule, the FAA is making a 
conforming amendment to appendix A of part 43, paragraph (c)(30)(i), by 
removing the reference to certificates of competency for the affected 
aircraft ``issued by a school approved under Sec.  147.21(e) of this 
chapter.'' Therefore, appendix A of part 43, paragraph (c)(30)(i) will 
refer only to certificates of competency that are issued by (1) the 
holder of the production certificate for that primary category aircraft 
that has a special training program approved under Sec.  21.24 or (2) 
another entity that has a course approved by the Administrator. As a 
result, an AMTS that requests an approval, or an AMTS that currently 
holds an approval originally issued under Sec.  147.21(e), of special 
courses in the performance of special inspection and preventive 
maintenance programs for a primary category aircraft, may issue a 
certificate of competency as ``another entity that has a course 
approved by the Administrator'' in accordance with new paragraph 
(c)(30)(i)(2).
2. Section 65.80
    Section 65.80 allows AMTS students to take the oral and practical 
tests prescribed by Sec.  65.79 before meeting the applicable 
experience requirements of Sec.  65.77, and before the student passes 
each section of the written test prescribed by Sec.  65.75. The school 
must show an FAA inspector the student has made satisfactory progress 
at the school and is prepared to take the oral and practical tests. 
Additionally, Sec.  65.75 states the student may take the tests 
prescribed by Sec.  65.79 during the final subjects of the student's 
training in the approved curriculum. The reference to ``approved 
curriculum'' in Sec.  65.80 refers to a certificated AMTS's approved 
curriculum, which was required under Sec.  147.21 as it existed prior 
to this interim final rule.\91\
---------------------------------------------------------------------------

    \91\ On the effective date of this interim final rule, part 147 
(as in effect on the date of enactment of Section 135) shall have no 
force or effect. See Section 135(a)(2).
---------------------------------------------------------------------------

    In accordance with Section 135 of the statute, AMTS curriculums 
under part 147 will no longer require FAA approval, as reflected in new 
Sec.  147.17. As a result, the FAA is making a conforming amendment to 
Sec.  65.80 by removing reference to an AMTS's ``approved'' curriculum. 
This amendment will allow AMTS students to continue testing under Sec.  
65.80.
    Further, Sec.  65.80 permits students to take the oral and 
practical test prescribed by Sec.  65.79 during the final subjects of 
the student's training in the part 147 curriculum before the applicable 
experience requirements of Sec.  65.77 are met and before the student 
passes each section of the written test required by Sec.  65.75 when 
the AMTS shows the student's satisfactory progress to an FAA inspector. 
In the interest of regulatory standardization, the FAA is revising the 
language from ``an FAA inspector'' to ``the Administrator.'' 
Additionally, the FAA is removing gender references within the 
regulatory text.

h. Part 147 Rule Organization and Numbering

    Section 135(a)(1) requires the FAA to issue interim final 
regulations in accordance with the requirements of Section 135. 
Additionally, Section 135(a)(2) repeals all current regulations upon 
the effective date of the interim final rule. As a result, some 
sections of part 147 will retain their section number and heading but 
contain new requirements in accordance with the statute. Several 
sections will be repealed and not replaced. Other sections will be 
renumbered and replaced with new requirements in accordance with the 
statute. The following table shows the current regulatory sections of 
part 147 and how they are affected under this interim final rule.

 
----------------------------------------------------------------------------------------------------------------
          Former section                   Former title              New section               New title
----------------------------------------------------------------------------------------------------------------
Sec.   147.1......................  Applicability.............  Sec.   147.1.........  Applicability.
Sec.   147.3......................  Certificate required......  Sec.   147.3.........  Certificate required.
Sec.   147.5......................  Application and issue.....  Sec.   147.5.........  Application requirements.
Sec.   147.7......................  Duration of certificates..  Sec.   147.7.........  Duration of certificates.
Sec.   147.8......................  Employment of former FAA    Repealed and not       N/A.
                                     employees.                  replaced.
Sec.   147.11.....................  Ratings...................  Sec.   147.11........  Ratings.
Sec.   147.13.....................  Facilities, equipment, and  Sec.   147.13........  Facilities, equipment,
                                     material requirements.                             and material
                                                                                        requirements.

[[Page 31410]]

 
Sec.   147.15.....................  Space requirements........  Repealed and not       N/A.
                                                                 replaced.
Sec.   147.17.....................  Instructional equipment     Repealed and not       N/A.
                                     requirements.               replaced.
Sec.   147.19.....................  Materials, special tools,   Repealed and not       N/A.
                                     and shop equipment          replaced.
                                     requirements.
Sec.   147.21.....................  General curriculum          Sec.   147.17........  Training requirements.
                                     requirements.
Sec.   147.23.....................  Instructor requirements...  Sec.   147.19........  Instructor requirements.
Sec.   147.31.....................  Attendance and enrollment,  Repealed and not       N/A.
                                     tests, and credit for       replaced \92\.
                                     prior instruction or
                                     experience.
Sec.   147.33.....................  Records...................  Repealed and not       N/A.
                                                                 replaced.
Sec.   147.35.....................  Transcripts and graduation  Sec.   147.21........  Certificate of
                                     certificates.                                      completion.
Sec.   147.36.....................  Maintenance of instructor   Repealed and not       N/A.
                                     requirements.               replaced.
Sec.   147.37.....................  Maintenance of facilities,  Repealed and not       N/A.
                                     equipment, and materials.   replaced.
Sec.   147.38.....................  Maintenance of curriculum   Repealed and not       N/A.
                                     requirements.               replaced.
Sec.   147.38a....................  Quality of instruction....  Sec.   147.25........  Minimum passage pate.
Sec.   147.39.....................  Display of certificate....  Sec.   147.29........  Display of certificate.
Sec.   147.41.....................  Change of location........  Repealed and not       N/A.
                                                                 replaced.
Sec.   147.43.....................  Inspection................  Sec.   147.27........  FAA inspection.
Sec.   147.45.....................  Advertising...............  Repealed and not       N/A.
                                                                 replaced.
----------------------------------------------------------------------------------------------------------------

    Section 135 also requires the FAA to issue new requirements, which 
have not previously existed in part 147. The following table shows 
which sections contain these new requirements.
---------------------------------------------------------------------------

    \92\ The repeal of current Sec.  147.31 eliminates the need for 
schools to obtain exemptions from requirements in that section. As 
such, exemptions from current Sec.  147.31 will terminate upon the 
effective date of this interim final rule.

------------------------------------------------------------------------
             New section                           New title
------------------------------------------------------------------------
Sec.   147.15........................  Training provided at another
                                        location.
Sec.   147.23........................  Quality control system.
Sec.   147.31........................  Early testing.
------------------------------------------------------------------------

IV. Regulatory Notices and Analyses

    Federal agencies consider impacts of regulatory actions under a 
variety of executive orders and other requirements. First, Executive 
Order 12866 and Executive Order 13563 direct that each Federal agency 
shall propose or adopt a regulation only upon a reasoned determination 
that the benefits of the intended regulation justify the 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. 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 that may 
result in the expenditure by State, local, and tribal governments, in 
the aggregate, or by the private sector, of $100,000,000 or more 
(adjusted annually for inflation) in any one year. The current 
threshold after adjustment for inflation is $158,000,000, using the 
most current (2020) Implicit Price Deflator for the Gross Domestic 
Product. The FAA has provided a detailed Regulatory Impact Analysis 
(RIA) in the docket for this rulemaking. This portion of the preamble 
summarizes the FAA's analysis of the economic impacts of this rule.
    In conducting these analyses, the FAA has determined that this 
rule: Will result in benefits that justify costs; is not an 
economically ``significant regulatory action'' as defined in section 
3(f) of Executive Order 12866; will not have a significant economic 
impact on a substantial number of small entities; will not create 
unnecessary obstacles to the foreign commerce of the United States; and 
will not impose an unfunded mandate on State, local, or tribal 
governments, or on the private sector.

A. Regulatory Impact Analysis

    This interim final rule establishes regulations that conform to the 
Act, which sets forth statutory requirements to promote aviation 
regulations for technician training. Consistent with the statute, this 
interim final rule adopts new requirements for issuing AMTS 
certificates and associated ratings and the general operating rules for 
the holders of those certificates and ratings.
    Among other changes that reduce administrative burden and 
streamline the process to apply for and maintain an AMTS certification, 
under the interim final rule, an AMTS would need to align their 
curriculum to the Mechanic ACS rather than the appendices to part 147, 
which aligned with the Mechanic PTS. The FAA will no longer approve 
curriculums, but rather will ensure that AMTS curriculums align with 
the Mechanic ACS through routine surveillance. The interim final rule 
also requires that an AMTS either be accredited within the meaning of 
20 U.S.C. 1001(a)(5) or establish and maintain an FAA-approved quality 
control system. As the majority of AMTSs are accredited, this change 
will result in alleviating such AMTSs from the current requirement of 
FAA approval of grading and attendance policies. Further, the interim 
final rule (IFR) repeals the prohibition on an AMTS operating at a 
satellite facility, which potentially expands access to additional 
training locations. Lastly, another key change in this IFR includes the 
replacement of the national passing norms with a minimum passage rate 
requirement; this will create a standard that does not vary over time 
and does not depend on the performance of other AMTSs.

[[Page 31411]]

    While the effects of this IFR on overall AMTS training quality and 
accessibility are unquantified, the FAA expects that this rule will be 
less burdensome to AMTSs as a whole and will allow for greater 
flexibility for an AMTS to keep current with industry standards and 
technological changes in aviation maintenance. Also, although the 
Mechanic ACS is less prescriptive, it is a more comprehensive set of 
standards than those previously provided in the part 147 appendices. 
Therefore, there would be incremental costs to FAA in implementing this 
interim final rule as the initial development to ensure alignment is 
expected to take additional time when compared to current curriculum 
development. Table 4 shows the summary of estimated present value and 
annualized costs, cost savings, and the net savings using both 3 
percent and 7 percent discount rates.
BILLING CODE 4910-13-P
[GRAPHIC] [TIFF OMITTED] TR24MY22.006

[[Page 31412]]

BILLING CODE 4910-13-C
    Please see the Regulatory Impact Analysis (RIA) available in the 
docket for more details.

B. Regulatory Flexibility Act

    The Regulatory Flexibility Act (RFA), in 5 U.S.C. 603, requires an 
agency to prepare an initial regulatory flexibility analysis describing 
impacts on small entities whenever an agency is required by 5 U.S.C. 
553, or any other law, to publish a general notice of proposed 
rulemaking for any proposed rule. Similarly, 5 U.S.C. 604 requires an 
agency to prepare a final regulatory flexibility analysis when an 
agency issues a final rule under 5 U.S.C. 553, after that section or 
any other law requires publication of a general notice of proposed 
rulemaking. The FAA found good cause to forgo notice and comment for 
this rule. As notice and comment under 5 U.S.C. 553 are not required in 
this situation, the regulatory flexibility analyses described in 5 
U.S.C. 603 and 604 are not required.

C. 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 statute also 
requires consideration of international standards and, where 
appropriate, that they be the basis for U.S. standards.
    The FAA has assessed the potential effect of this interim final 
rule and determined that it has legitimate domestic safety objectives 
and does not operate in a manner that excludes imports to meet such 
objectives. Therefore, this interim final rule complies with the Trade 
Agreements Act.

D. Unfunded Mandates Assessment

    The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538) 
governs the issuance of Federal regulations that require unfunded 
mandates. An unfunded mandate is a regulation that requires a state, 
local, or tribal government or the private sector to incur direct costs 
without the Federal Government having first provided the funds to pay 
those costs. The FAA determined that the interim final rule will not 
result in the expenditure of $158,000,000 or more by State, local, or 
tribal governments, in the aggregate, or the private sector, in any one 
year.

E. Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. 3507(d)) (PRA) 
requires that the FAA consider the impact of paperwork and other 
information collection burdens imposed on the public. 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 Office of Management and Budget 
(OMB) control number.
    This action contains the following amendments to the existing 
information collection requirements previously approved under OMB 
Control Number 2120-0040, Aviation Maintenance Technician Schools. As 
required by the PRA, the FAA has submitted these information collection 
amendments to OMB for review.
    Summary: The collection involves AMTS applicants and certificate 
holders under 14 CFR part 147. The part 147 interim final rule results 
in new, changed, and removed burden, with an overall decrease in burden 
to the public when compared to the previous information collection 
approval. Additionally, FAA Form 8310-6, Aviation Maintenance 
Technician School Certificate and Ratings Application, is revised to 
reflect the new and changed requirements of this interim final rule.
    Public Comments: Because this is an interim final rule, there are 
no existing public comments on the information collection to discuss. 
Comments are requested, as discussed in the Comments Invited section of 
this preamble.
    Use: The collection of information includes both reporting and 
recordkeeping. The information collected is provided to the certificate 
holder/applicant's appropriate FAA Flight Standards office in order to 
allow the FAA to determine compliance with the part 147 requirements 
for obtaining and/or retaining an FAA air agency certificate. For part 
147 applicants, when all part 147 requirements have been met, an FAA 
air agency certificate, with the appropriate ratings, is issued. For 
certificated part 147 AMTS, the FAA uses the information collected to 
determine if the AMTS provides appropriate training, as required by 
part 147, and to ensure that AMTS graduates receive an appropriate 
document showing the graduate is eligible to take the FAA tests 
required to obtain a mechanic certificate. Specifically, part 147 
imposes information collection burden on the public in the following 
sections.
    For applicants requesting an air agency certificate issued under 
part 147, Sec.  147.5, Application requirements, requires applicants to 
complete an application form and provide the FAA with evidence of 
meeting the requirements of part 147. Application is made using FAA 
Form 8310-6, Aviation Maintenance Technician School Certificate and 
Ratings Application. Application requirements include:
     Section 147.5(b)(1) through (3) requires a description of 
the facilities, equipment and materials used at each location, a 
description of how the curriculum trains students to meet part 65 
requirements, and a description of how the school meets instructor 
requirements. The FAA includes these descriptions in an AMTS's OpSpecs.
     Section 147.5(b)(4) requires the applicant to submit any 
additional information necessary to demonstrate compliance with the 
requirements of part 147, which include: Sec.  147.17, Training 
requirements--for the school to establish and maintain a curriculum; 
Sec.  147.19, Instructor requirements--for the school to have 
instructors who are either FAA-certificated mechanics, or are otherwise 
specially qualified; and Sec.  147.23, Quality control system--for the 
school to either be accredited within the meaning of 20 U.S.C. 
1001(a)(5) or have a quality control system approved by the FAA.
    Following FAA certification, an AMTS must comply with the following 
regulations, which impose a paperwork burden:
     Section 147.15, Training provided at another location. The 
AMTS must notify the FAA of the additional locations at which the 
school will conduct training, in addition to the school's primary 
location. The FAA includes these additional locations in the AMTS's 
OpSpecs.
     Section 147.17, Training requirements. The AMTS must 
establish, maintain, and utilize a curriculum designed to continually 
align with mechanic airman certification standards as appropriate for 
the ratings held. When the Mechanic ACS is revised, the AMTS must 
revise its curriculum to align accordingly.
     Section 147.21, Certificate of completion. The AMTS must 
issue a

[[Page 31413]]

document that indicates when a student graduated and the part 147 
curriculum that the student completed.
     Section 147.23, Quality control system. An AMTS either be 
accredited within the meaning of 20 U.S.C. 1001(a)(5) or have a quality 
control system approved by the FAA that provides for certain procedures 
listed in Sec.  147.23(b). Therefore, the AMTS must either submit proof 
of accreditation or submit a quality control system for FAA-approval.
     Section 147.31, Early testing. An AMTS may issue an 
authenticated document when a student satisfactorily completes only the 
General course content of an AMTS curriculum.
    Respondents: The respondents to this collection are AMTSs issued an 
FAA air agency certificate under 14 CFR part 147 and AMTS applicants 
for a part 147 air agency certificate. There are currently 182 FAA-
certificated AMTSs.
    Frequency: AMTSs must submit information initially prior to 
certification, and occasionally after certification to comply with 
ongoing recordkeeping requirements. Applicants must report certain 
information to the FAA during the application process for the purpose 
of allowing the FAA to determine compliance with part 147 requirements 
and, ultimately, issue an air agency certificate, if appropriate. 
Schools issued a part 147 air agency certificate must report certain 
information occasionally after certification (e.g., when the 
certificate holder's operations change). AMTSs that implement a quality 
control system because they are not accredited by an accrediting agency 
recognized by the Department of Education must maintain records, as 
described in the school's FAA-approved quality control system.
    Annual Burden Estimate: The part 147 interim final regulations 
result in a total annual burden to respondents of 11,438 hours and 
$709,124. This includes recordkeeping burden and reporting burden. This 
results in an overall reduction in burden to the public from the 
previous part 147 regulations. Details of burden related to each 
regulatory requirement are shown in the supporting statement for 
information collection 2120-0044, submitted to OMB.
    The FAA notes that the costs/cost savings calculated in the 
regulatory impact analysis differ from the AMTS paperwork burden 
calculated under the PRA. The regulatory impact analysis compares the 
state of AMTS under current regulations to the expected state of AMTS 
under the interim final rule. The calculations under PRA estimate the 
paperwork burden to AMTS under the new interim final rule. The primary 
areas where these calculations differ are where the regulatory impact 
analysis assumed a zero cost difference to AMTS in the following areas:
     Recordkeeping costs--Under PRA, the FAA estimates only a 
single AMTS will have an FAA approved quality control (QC)-system, and 
thus have FAA-mandated recordkeeping costs. However, for the regulatory 
impact analysis the FAA assumes that all AMTS will continue to keep 
student records under the interim final rule, with no substantial 
change from current costs.
     Graduation documentation--Under PRA, the FAA estimates 
reflect a cost savings since the interim final regulations remove the 
requirement for AMTS to provide a transcript to students upon request 
as mandated in the current regulation. However, for the regulatory 
impact analysis, the FAA assumes that transcripts are a routine 
function of schools and that transcripts will be provided to graduating 
students after implementation of the interim final rule with no 
substantial change from current costs.
     Completion documentation for early testing--Under the PRA, 
the FAA estimates that there is a paperwork cost when an AMTS provides 
completion documentation for students who have completed the General 
course content of a school's curriculum (for the purpose of early 
testing eligibility). However, for the regulatory impact analysis the 
FAA assumes that AMTS are currently tracking student course completion, 
and will continue to do the same under the interim final rule, 
therefore there is no change from current costs. Additionally, because 
it is an option for the AMTS to issue a completion document, schools 
can choose not to incur this cost.

F. International Compatibility and Cooperation

    In keeping with U.S. obligations under the Convention on 
International Civil Aviation, it is FAA policy to conform to 
International Civil Aviation Organization (ICAO) Standards and 
Recommended Practices (SARP) to the maximum extent practicable. The FAA 
has reviewed the corresponding ICAO SARPs and has determined that there 
are no ICAO SARPs that correspond to this interim final rule.
    However, the FAA identified a filing is required for an ICAO Annex 
1 SARP found in Chapter 4 pertaining to certification of maintenance 
technicians that is unrelated to this rulemaking. Therefore, the FAA 
has modified an existing difference to reflect that mechanic applicants 
are not required to have two years of experience in the inspection, 
servicing, and maintenance of aircraft following the completion of an 
approved training course to qualify to take the written examination for 
a mechanic airframe or powerplant license.

G. Environmental Analysis

    FAA Order 1050.1F 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 rulemaking action qualifies for the categorical 
exclusion identified in paragraph 5-6.6 and involves no extraordinary 
circumstances.

V. Executive Order Determinations

A. Executive Order 13132, Federalism

    The FAA has analyzed this final rule under the principles and 
criteria of Executive Order 13132, Federalism. The agency determined 
that this action will not have a substantial direct effect on the 
States, or 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.

B. Executive Order 13211, Regulations That Significantly Affect Energy 
Supply, Distribution, or Use

    The FAA analyzed this final rule under Executive Order 13211, 
Actions Concerning Regulations that Significantly Affect Energy Supply, 
Distribution, or Use (May 18, 2001). The agency 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.

C. Executive Order 13609, Promoting International Regulatory 
Cooperation

    Executive Order 13609, Promoting International Regulatory 
Cooperation, promotes international regulatory cooperation to meet 
shared challenges involving health, safety, labor, security, 
environmental, and other issues and to reduce, eliminate, or prevent 
unnecessary differences in regulatory requirements. The FAA has 
analyzed this action under the policies and agency responsibilities of 
Executive Order 13609, and has determined that this action would have 
no effect on international regulatory cooperation.

[[Page 31414]]

VI. How To Obtain Additional Information

A. Rulemaking Documents

    An electronic copy of a rulemaking document may be obtained by 
using the internet--
    1. Search the Federal eRulemaking Portal at www.regulations.gov;
    2. Visit the FAA's Regulations and Policies web page at 
www.faa.gov/regulations_policies/; or
    3. Access the Government Printing Office's web page at GovInfo.gov.
    Copies may also be obtained by sending a request (identified by 
notice, amendment, or docket number of this rulemaking) to the Federal 
Aviation Administration, Office of Rulemaking, ARM-1, 800 Independence 
Avenue SW, Washington, DC 20591, or by calling (202) 267-9677.

B. Comments Submitted to the Docket

    Comments received may be viewed by going to www.regulations.gov and 
following the online instructions to search the docket number for this 
action. Anyone is able to search the electronic form of all comments 
received into any of the FAA's dockets by the name of the individual 
submitting the comment (or signing the comment, if submitted on behalf 
of an association, business, labor union, etc.).

C. Small Business Regulatory Enforcement Fairness Act

    The Small Business Regulatory Enforcement Fairness Act (SBREFA) of 
1996 requires FAA to comply with small entity requests for information 
or advice about compliance with statutes and regulations within its 
jurisdiction. A small entity with questions regarding this document, 
may contact its local FAA official, or the person listed under the FOR 
FURTHER INFORMATION CONTACT heading at the beginning of the preamble. 
To find out more about SBREFA on the internet, visit www.faa.gov/regulations_policies/rulemaking/sbre_act/.

List of Subjects

14 CFR Part 43

    Aircraft, Aviation safety, Life-limited parts, Reporting and 
recordkeeping requirements.

14 CFR Part 65

    Air traffic controllers, Aircraft, Airmen, Airports, Alcohol abuse, 
Aviation safety, Drug abuse, Incorporation by reference, Reporting and 
recordkeeping requirements, Security measures.

14 CFR Part 147

    Aircraft, Airmen, Education facilities, Incorporation by reference, 
Reporting and recordkeeping requirements, Schools.

The Amendment

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

PART 43--MAINTENANCE, PREVENTATIVE MAINTENANCE, REBUILDING, AND 
ALTERATION

0
1. The authority citation for part 43 continues to read as follows:

    Authority:  42 U.S.C. 7572; 49 U.S.C. 106(f), 106(g), 40105, 
40113, 44701-44702, 44704, 44707, 44709, 44711, 44713, 44715, 45303.

0
2. Amend appendix A to part 43 by revising paragraph (c)(30)(i) to read 
as follows:

Appendix A to Part 43--Major Alterations, Major Repairs, and Preventive 
Maintenance

* * * * *
    (c) * * *
    (30) * * *
    (i) They are performed by the holder of at least a private pilot 
certificate issued under part 61 of this chapter who is the 
registered owner (including co-owners) of the affected aircraft and 
who holds a certificate of competency for the affected aircraft (1) 
issued by the holder of the production certificate for that primary 
category aircraft that has a special training program approved under 
Sec.  21.24 of this subchapter; or (2) issued by another entity that 
has a course approved by the Administrator; and * * * * *

PART 65--CERTIFICATION: AIRMEN OTHER THAN FLIGHT CREWMEMBERS

0
3. The authority citation for part 65 continues to read as follows:

    Authority:  49 U.S.C. 106(f), 106(g), 40113, 44701-44703, 44707, 
44709-44711, 45102-45103, 45301-45302.

0
4. Add Sec.  65.23 to read as follows:

Sec.  65.23  Incorporation by reference.

    Certain material is incorporated by reference into this part with 
the approval of the Director of the Federal Register under 5 U.S.C. 
552(a) and 1 CFR part 51. This material is available for inspection at 
the Federal Aviation Administration (FAA) and at the National Archives 
and Records Administration (NARA). Contact FAA, Airman Testing 
Standards Branch/Regulatory Support Division, 405-954-4151, 
[email protected]. For information on the availability of this 
material at NARA, email [email protected], or go to 
www.archives.gov/federal-register/cfr/ibr-locations.html. The material 
may be obtained from the source in the following paragraph of this 
section.
    (a) Federal Aviation Administration, 800 Independence Avenue SW, 
Washington, DC 20591, 866-835-5322, www.faa.gov/training_testing.
    (1) FAA-S-8081-26B, Aviation Mechanic General, Airframe, and 
Powerplant Practical Test Standards, November 1, 2021; IBR approved for 
Sec. Sec.  65.75 and 65.79.
    (2) FAA-S-ACS-1, Aviation Mechanic General, Airframe, and 
Powerplant Airman Certification Standards, November 1, 2021; IBR 
approved for Sec. Sec.  65.75 and 65.79.
    (b) [Reserved]

0
5. Amend Sec.  65.75 by revising paragraph (a) and adding paragraph (c) 
to read as follows:

Sec.  65.75  Knowledge requirements.

    (a) Except as specified in paragraph (c) of this section, each 
applicant for a mechanic certificate or rating must, after meeting the 
applicable experience requirements of Sec.  65.77, pass a written test, 
appropriate to the rating sought, which includes:
    (1) Until July 31, 2023, the subject areas contained in the 
Aviation Mechanic General, Airframe, and Powerplant Practical Test 
Standards (incorporated by reference, see Sec.  65.23), as appropriate 
to the rating sought.
    (2) After July 31, 2023, the aeronautical knowledge subject areas 
contained in the Aviation Mechanic General, Airframe, and Powerplant 
Airman Certification Standards (incorporated by reference, see Sec.  
65.23), as appropriate to the rating sought.
* * * * *
    (c) An applicant for a mechanic certificate or rating may take the 
mechanic general written test prior to meeting the applicable 
experience requirements of Sec.  65.77, provided the applicant presents 
an authenticated document from a certificated aviation maintenance 
technician school that demonstrates satisfactory completion of the 
general portion of the school's curriculum and specifies the completion 
date.

0
6. Effective August 1, 2023, amend Sec.  65.75 by revising paragraph 
(a) to read as follows:

Sec.  65.75  Knowledge requirements.

    (a) Except as specified in paragraph (c) of this section, each 
applicant for a mechanic certificate or rating must, after meeting the 
applicable experience

[[Page 31415]]

requirements of Sec.  65.77, pass a written test, appropriate to the 
rating sought, which includes the aeronautical knowledge subject areas 
contained in the Aviation Mechanic General, Airframe, and Powerplant 
Airman Certification Standards (incorporated by reference, see Sec.  
65.23), as appropriate to the rating sought.
* * * * *

0
7. Revise Sec.  65.77 to read as follows:

Sec.  65.77  Experience requirements

    Each applicant for a mechanic certificate or rating must present 
either--
    (a) An authenticated document from a certificated aviation 
maintenance technician school in accordance with Sec.  147.21 of this 
chapter; or
    (b) Documentary evidence, satisfactory to the Administrator, of--
    (1) At least 18 months of practical experience with the procedures, 
practices, materials, tools, machine tools, and equipment generally 
used in constructing, maintaining, or altering airframes or 
powerplants, appropriate to the rating sought; or
    (2) At least 30 months of practical experience concurrently 
performing the duties appropriate to both the airframe and powerplant 
ratings.

0
8. Revise Sec.  65.79 to read as follows:

Sec.  65.79  Skill requirements.

    Each applicant for a mechanic certificate or rating must pass an 
oral test and a practical test, as appropriate to the rating sought, by 
demonstrating:
    (a) Until July 31, 2023, the prescribed proficiency in the assigned 
objectives for the subject areas contained in the Aviation Mechanic 
General, Airframe, and Powerplant Practical Test Standard (incorporated 
by reference, see Sec.  65.23), as appropriate to the rating sought.
    (b) After July 31, 2023, satisfactory understanding of the 
knowledge, risk management, and skill elements for each subject 
contained in the Aviation Mechanic General, Airframe, and Powerplant 
Airmen Certification Standards (incorporated by reference, see Sec.  
65.23), as appropriate to the rating sought.

0
9. Effective August 1, 2023, revise Sec.  65.79 to read as follows:

Sec.  65.79  Skill requirements.

    Each applicant for a mechanic certificate or rating must pass an 
oral test and a practical test, as appropriate to the rating sought, by 
demonstrating satisfactory understanding of the knowledge, risk 
management, and skill elements for each subject contained in the 
Aviation Mechanic General, Airframe, and Powerplant Airmen 
Certification Standards (incorporated by reference, see Sec.  65.23), 
as appropriate to the rating sought.

0
10. Revise Sec.  65.80 to read as follows:

Sec.  65.80  Certificated aviation maintenance technician school 
students.

    Whenever an aviation maintenance technician school certificated 
under part 147 of this chapter shows to the Administrator that any of 
its students has made satisfactory progress at the school and is 
prepared to take the oral and practical tests prescribed by Sec.  
65.79, that student may take those tests during the final subjects of 
the student's training in the curriculum required under part 147, 
before the student meets the applicable experience requirements of 
Sec.  65.77 and before the student passes each section of the written 
test prescribed by Sec.  65.75.

0
11. Revise part 147 to read as follows:

PART 147--AVIATION MAINTENANCE TECHNICIAN SCHOOLS

Subpart A--General
Sec.
147.1 Applicability.
147.3 Certificate required.
147.5 Application requirements.
147.7 Duration of certificates.
147.11 Ratings.
Subpart B--Certification and Operating Requirements
147.13 Facilities, equipment, and material requirements.
147.15 Training provided at another location.
147.17 Training requirements.
147.19 Instructor requirements.
147.21 Certificate of completion.
147.23 Quality control system.
147.25 Minimum passage rate.
147.27 FAA inspection.
147.29 Display of certificate.
147.31 Early testing.

    Authority:  49 U.S.C. 106(g), 40113, 44701-44702, 44707-44709; 
Sec. 135, Public Law 116-260, 134 Stat. 1182.

Subpart A--General

Sec.  147.1  Applicability.

    This part prescribes the requirements for issuing aviation 
maintenance technician school certificates and associated ratings and 
the general operating rules for the holders of those certificates and 
ratings.

Sec.  147.3  Certificate required.

    No person may operate an aviation maintenance technician school 
without, or in violation of, an aviation maintenance technician school 
certificate and the operations specifications issued under this part.

Sec.  147.5  Application requirements.

    (a) To be issued a certificate or rating under this part, an 
applicant must demonstrate compliance with the requirements of this 
part.
    (b) An application for a certificate and rating to operate an 
aviation maintenance technician school must include the following:
    (1) A description of the facilities, including the physical address 
of the applicant's primary location for operation of the school, and 
any additional fixed locations where training will be provided, and the 
equipment and materials to be used at each location;
    (2) A description of the manner in which the school's curriculum 
will ensure the student has the knowledge and skills necessary for 
attaining a mechanic certificate and associated ratings under subpart D 
of part 65 of this chapter;
    (3) A description of the manner in which the school will ensure it 
provides the necessary qualified instructors to meet the requirements 
of Sec.  147.19; and
    (4) Any additional information necessary to demonstrate compliance 
with the requirements of this part.
    (c) An application for an additional rating or amended certificate 
must include only the information required by paragraph (b) of this 
section that is necessary to substantiate the reason for the additional 
rating or change sought.

Sec.  147.7  Duration of certificates.

    An aviation maintenance technician school certificate or rating 
issued under this part is effective from the date of issue until the 
certificate or rating is surrendered, suspended, or revoked.

Sec.  147.11  Ratings.

    The following ratings may be issued under this part:
    (a) Airframe.
    (b) Powerplant.
    (c) Airframe and powerplant.

Subpart B--Certification and Operating Requirements

Sec.  147.13  Facilities, equipment, and material requirements.

    (a) Each certificated aviation maintenance technician school must 
provide and maintain the facilities, equipment, and materials that are 
appropriate to the rating or ratings held by the school and the number 
of students taught.
    (b) For certificated aviation maintenance technician schools that 
provide training at more than one location in accordance with Sec.  
147.15, the facilities, equipment, and materials

[[Page 31416]]

used at each location must be appropriate to the curriculum or portion 
of the curriculum, and the number of students being taught, at that 
location.

Sec.  147.15  Training provided at another location.

    A certificated aviation maintenance technician school may provide 
training at any fixed location other than its primary location, 
provided the additional training location meets the requirements of 
this part and is listed in the certificate holder's operations 
specifications.

Sec.  147.17  Training requirements.

    (a) Each certificated aviation maintenance technician school must:
    (1) Establish, maintain, and utilize a curriculum that is designed 
to continually align with the mechanic airman certification standards 
referenced in paragraph (b) of this section, as appropriate for the 
ratings held;
    (2) Provide training of a quality that meets the requirements of 
Sec.  147.25; and
    (3) Ensure students have the knowledge and skills necessary to be 
prepared to test for a mechanic certificate and associated ratings 
under subpart D of part 65 of this chapter.
    (b) FAA-S-ACS-1, Aviation Mechanic General, Airframe, and 
Powerplant Airman Certification Standards, November 1, 2021, is 
incorporated by reference into this section with the approval of the 
Director of the Federal Register under 5 U.S.C. 552(a) and 1 CFR part 
51. This material is available for inspection at the Federal Aviation 
Administration (FAA) and the National Archives and Records 
Administration (NARA). Contact FAA, Airman Testing Standards Branch/
Regulatory Support Division, 405-954-4151, [email protected]. For 
information on the availability of this material at NARA, email: 
[email protected], or go to www.archives.gov/federal-register/cfr/ibr-locations.html. The material may be obtained from FAA, 800 
Independence Avenue SW, Washington, DC 20591, 866-835-5322, 
www.faa.gov/training_testing.

Sec.  147.19  Instructor requirements.

    Each certificated aviation maintenance technician school must:
    (a) Provide qualified instructors to teach in a manner that ensures 
positive educational outcomes are achieved;
    (b) Ensure instructors either--
    (1) Hold a mechanic certificate with one or more appropriate 
ratings; or
    (2) If they do not hold a mechanic certificate, are otherwise 
specifically qualified to teach their assigned content; and
    (c) Ensure the student-to-instructor ratio does not exceed 25:1 for 
any shop class.

Sec.  147.21  Certificate of completion.

    Each certificated aviation maintenance technician school must 
provide an authenticated document to each graduating student, 
indicating the student's date of graduation and curriculum completed.

Sec.  147.23  Quality control system.

    (a) Each certificated aviation maintenance technician school must--
    (1) Be accredited within the meaning of 20 U.S.C. 1001(a)(5); or
    (2) Establish and maintain a quality control system that meets the 
requirements specified in paragraph (b) of this section, and is 
approved by the Administrator.
    (b) The quality control system specified in paragraph (a)(2) of 
this section must provide procedures for recordkeeping, assessment, 
issuing credit, issuing of final course grades, attendance, ensuring 
sufficient number of instructors, granting of graduation documentation, 
and corrective action for addressing deficiencies.

Sec.  147.25  Minimum passage rate.

    (a) Each certificated aviation maintenance technician school must 
maintain the pass rate specified in paragraph (b) of this section for 
the most recent 3-year period.
    (b) For students who take an FAA mechanic test under part 65 of 
this chapter within 60 days after graduation, at least 70 percent of 
students must pass one of the following tests or any combination 
thereof:
    (1) Written test;
    (2) Oral test; or
    (3) Practical test.
    (c) For students who take a combination of tests within the 60-day 
window specified in paragraph (b) of this section, an aviation 
maintenance technician school must count a failure on any one test as a 
student failure for purposes of determining the pass rate, unless that 
failed test is subsequently passed within the 60-day window.

Sec.  147.27  FAA inspection.

    A certificated aviation maintenance technician school must allow 
the Administrator such access as the Administrator determines necessary 
to inspect the one or more locations of the school for purposes of 
determining the school's compliance with the requirements of this part.

Sec.  147.29  Display of certificate.

    A certificated aviation maintenance technician school must display 
its aviation maintenance technician school certificate at a place in 
each location of the school, including the primary location and any 
additional fixed locations, that is visible by and normally accessible 
to the public.

Sec.  147.31  Early testing.

    When a student satisfactorily completes the general portion of a 
certificated aviation maintenance technician school's curriculum, the 
school may issue an authenticated document that demonstrates the 
student's preparedness to take the mechanic general written test in 
accordance with Sec.  65.75(c) of this chapter.

    Issued under authority provided by 49 U.S.C. 106(f), 44701(a), 
and 44703, and Sec. 135 of the Aircraft Certification, Safety, and 
Accountability Act within Public Law 116-260, in Washington, DC, on 
May 6, 2022.
Billy Nolen,
Acting Administrator.
[FR Doc. 2022-10367 Filed 5-23-22; 8:45 am]
BILLING CODE 4910-13-P