An amendment introduced by Sen. Richard Shelby (R-Ala.) that passed last week with the Senate transportation appropriations bill directs DOT to bar smoking on all scheduled international flights to U.S. points, including foreign carriers. If a foreign government objects, DOT can waive the ban, though it must identify and enforce an alternative ban negotiated with that country.
Calling the major carriers' cry of reregulation "a red herring," Rep. Louise Slaughter (D-N.Y.) on Friday filed at DOT 170 letters complaining of high air fares from constituents in her Rochester-area district. Friday was DOT's deadline for responses to its proposed competition policy. DOT's initiative is the first government action in 20 years of deregulation to examine how airlines do business, Slaughter told a news conference. She said Rochester has the fourth highest air fares in the U.S.
DOT issued a consent order assessing compromise civil penalties totaling $90,000 against LIAT (1974) for operating "several hundred unauthorized flights to the U.S." during a nine-month period following expiration of its authority to do so and before applying for renewal. LIAT, a carrier of Antigua and Barbuda, also operated unauthorized wet-leases for Dominican carrier Aerolineas Dominicanas between the Dominican Republic and San Juan, violating cease-and-desist provisions in a previous consent order for similar conduct in 1996 (DAILY, Feb. 4, 1997).
Orally approved an exemption for Antonov Design Bureau to operate an emergency cabotage cargo charter roundtrip with an An-124, carrying a GE90 engine and ancillary equipment for General Electric Aircraft Engines, on a Boeing Field-Wilmington, Ohio, routing July 23-Aug. 9..Orally approved an exemption for Antonov Design Bureau to operate a one-way emergency cabotage cargo charter, carrying a sonar dome and ancillary equipment for National Air Cargo on behalf of the U.S.
World Airways said last week its second quarter earnings will be lower than expected, and it will report a loss for the period. One reason is that a Florida-based cargo company hired World for a three-month wet-lease of a DC-10, followed by a longer-term lease of an MD-11, but business was below expectations and the MD-11 was not needed. A subsequent agreement with Brazil's VASP is on hold until VASP can secure Brazilian government approval for the contract.
TWA's pilots union has pushed back the ratification vote on its tentative contract by a few more days to put its house in order. TWA's Air Line Pilots Association unit already postponed the vote two weeks. In a recorded message, TWA ALPA unit Chairman Joe Chronic said there is "a lot of emotion, disappointment and rhetoric swirling around out there," especially over the upfront end of the pay increase and senior pilots missing out on "very decent pay raises."
Cathay Pacific Airways won approval to launch Hong Kong-San Francisco service on Dec. 1. The airline will use A430-300s on to its third U.S. city, with seating for 12 in first, 40 in business and 197 in economy classes. Cathay began serving Los Angeles in 1990 and New York in 1996.
DOT Secretary Rodney Slater last week briefed the Washington-based foreign press corps on his July 7-15 trip to Africa. He reported that his delegation met with transport ministers and other officials representing 11 eastern and southern African countries and 18 western and central African nations at two regional meetings, with a separate joint ministerial declaration of cooperation drafted and signed at each gathering by attending transport ministers. During the trip, the delegation held 28 bilateral discussions.
FAA said last week that a decision to proceed with a controversial "ticket program" is "still on hold" following a meeting earlier in the week between Administrator Jane Garvey and other FAA and industry officials. The "Administrative Action Program" it is aimed at making more effective use of inspector resources and streamlining the FAA's administrative enforcement process, Garvey told the meeting.
FAA last week dropped the interim rule that established fees and collection procedures for foreign aircraft overflying U.S.-controlled airspace. The move followed a federal appeals court ruling vacating the rule. The agency says it anticipates "issuing another interim final rule" covering transiting aircraft.
The Senate Friday passed S.2307, the DOT appropriations bill for fiscal 1999, including $2.1 billion for the Airport Improvement Program. Given the House appropriation's $1.8 billion recommendation - yet to be ratified since the House version has not yet passed - airports are on track to receive more than the $1.7 billion approved this year and recommended for next year by the Clinton administration. Overall FAA funding is $9.899 billion, including $5.581 billion for FAA operations (DAILY, July 15).
DOT has renewed for two years Tower Air's exemption to provide scheduled foreign combination service between New York and Cairo via Athens and authority to integrate the exemption with other service (DAILY, May 4). Tower sought a three-year renewal. (Docket OST-97-2636)
Star Alliance pilot leaders met in Chicago recently to affirm their commitment to safety, job security, quality and customer satisfaction at their respective carriers. The group, representing 17,000 pilots, meets regularly to share information on collective bargaining agreements and national regulations.
House appropriators say they took action to stop a "new twist on an old theme"- watching FAA obligate funds ahead of appropriations - and will bar the agency from signing a lease for WAAS satellite service until it certifies leasing is cheaper than buying. The panel said it is "especially sensitive on this point with FAA, which has a history of proceeding too quickly into procurement."
