How to not end up in an illegal air charter conundrum
It is a fact: illegally conducted air charter activities hurt our entire industry. Companies that engage in air charter operations that are not certificated by the FAA, or are outside of the scope of their certificates, often also skimp on pilot, cabin crew and maintenance training, compromising overall operational safety. If an incident or accident occurs (and invariably it does) any insurance the company might carry is likely to be invalid. Beyond that, any FAA certificated employees are likely to come under the sharp focus of FAA investigators.
If you work for an operation that engages in illegal air charter you could have your FAA certificates revoked. So how do you avoid it? The best advice is to learn what to look for when job hunting.
The Three C’s Of Illegal Charter
Illegal charter operations can take many forms. Some of the more formal types of illegal charters include “flight department companies,” illegal dry leases or excessive timeshare agreements, or anything that exceeds the FAA’s rules as outlined in 14 CFR 91 and 14 CFR 135. Less formal illegal charters can include “trade- outs” and the simple “cost-share” arrangement that isn’t following the letter of 91.501.
“We try to break it down into three categories: the clueless, the careless, and the criminal,” explains Bryan Burns, president, Air Charter Safety Foundation (ACSF). “So when you look at operators, examples of the clueless include student pilots and private pilots, but also a small operator who may feel that they can take on a passenger because they’re going to a particular destination, they tell their friend, and well, they split the costs,” says Burns. The problems began when the pilot solicited the passenger, and multiplied when “costs” came into it.
The careless aircraft owner who gets caught in the illegal charter trap might allow their friend to use their jet or turboprop for five or 10 hours in return for use of that individual’s home in Aspen. “It might be legal if the deal is managed properly and everyone plays by the rules, but it’s like anything. When you start stretching and bending rules, there’s a risk that what you are doing is illegal,” he continues.
Finally, there is the criminal operation, one that, according to Burns, quite intentionally operates outside the scope of regulation. “They know what they’re doing. They don’t care. They advertise aircraft available for charter on the internet, for instance, without carrying the required certifications for the operation.”
The Air Charter Safety Foundation is a non-profit organization with 260 member companies working to help business, charter and fractional ownership companies offer safe air transportation by providing objective information about these standards and services to the public. The ACSF administers the Aviation Safety Action Program (ASAP) in partnership with the Federal Aviation Authority. The ASAP, which has more than 200 participants, makes use of member employee input to identify significant safety concerns and issues, operational deficiencies, non-compliance with regulations, deviations from company policies and procedures, and unusual events. The organization has teamed with the National
Air Transportation Association (NATA) to create a hotline for reporting suspected illegal charter operations.
Employees On The Watch
The only way to change a safety culture is to educate the people in the industry who see what’s going on. Employees are the first line of defense, according to both ACSF and NATA. But many don’t understand the risks to their own airman or A&P certificates —and careers—when the company they work for intentionally or inadvertently conducts illegal charter flights.
For example, a “clueless” or “careless” pilot might think they’re conducting Part 91 operations under a timeshare agreement or other legal arrangement under 14 CFR 91.501, but they then start to notice that different trips involve unrelated passengers. Flying unrelated passengers from multiple unrelated companies might be a sign of questionable activity. Pilots can come under scrutiny for recurrent training violations, as well. If you only qualify for Part 91 operations and your company wants you to fly a Part 135 flight, you need to know you are putting all your certificates in jeopardy if you crew the flight. Breaking duty time regulations can also create violations that directly impact the safety of the flight.
A mechanic with inspection authorization might think it’s okay to postpone progressive or 100-hour maintenance on an aircraft because it is part of the fleet being relegated to Part 91 operations. That may be fine, unless the airplane is still listed on the company’s Part 135 fleet and is dispatched as such outside its maintenance limitations.
Safety violations can and should be reported directly into the company’s Safety Management System (SMS); however, many owner/operators and flight departments that carry out illegal charter operations don’t yet have a formal SMS in place (by the end of 2022 they may have to develop one by FAA regulation). The ACSF’s ASAP can help companies mitigate safety of flight issues with their FAA partnership. For employees of companies that are not ACSF ASAP participants, NASA’s ASRS is always available. These reporting services are a starting point for solving our industry safety issues.
Owners’ Responsibility
Aircraft owners are not immune from liabilities for conducting illegal air charter. To prevent your aircraft from ever being used for questionable practices, take the time to understand the intricacies of 14 CFR Part 91 and 14 CFR Part 135 rules regarding using aircraft for transporting anyone other than company employees or the aircraft owners, pilots and cabin crew. If leasing the aircraft, ask
to see the operation’s FAA certificates for air charter and for maintenance (if performed onsite). Ask for a copy of their current insurance and make sure that they are insured for how they intend to use your aircraft. And follow-up if you suspect your aircraft is being used outside the scope of your lease.
How To Report Suspected Illegal Charter Activity
The ACSF manages an illegal charter hotline on behalf of the FAA. Those who want to report possible illegal charters in the U.S. should call 888-759-3581 or 888-SKY-FLT1.
People can file reports—either anonymously or by name—and ACSF forwards reports to the FAA for follow up and investigation.
Used with permission from USAIG Premium On Safety Issue 42, October 2021
