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OST Docket Filings for March 30, 2004

Updated: 3/30/04 | 8:03 PM

Applications and Renewals:

Air Atlanta Europe - Family Assistance Plan

Federal Express - Motion for Confidential Treatment (Form 41)

Southwest - Motion to Withhold from Public Disclosure (Form 41)

United - Errata Notice (Ukraine Third-Country Codeshare)

US Airways - US-Israel Third-Country Codeshare - 30-Day Notice / Amend Washington/Baltimore-Cancun

Vietnam Airlines - Vietnam-US Renewal

Answers and Replies:

Aerolineas Argentinas - Tenth Escrow Deposit Report

China Southern - Polling Letter (China-Saipan Amendment)

EAS at Grand Island, NE - Letters in Support of EAS Proposals

EAS at Kearney, NE - Letter in Support of EAS Proposals / Resolution Regarding EAS Proposals

EAS at McCook, NE - Preferred Air Carrier and Priority Preference of Air Service Routes

EAS at Norfolk, NE - Community Comments on EAS Proposals

EAS at North Platte, NE - Letters in Support of EAS Contract Renewal / Resolution Regarding EAS Contract Renewal

EAS at Scottsbluff, NE - Community Comments on EAS Proposals

Spirit - Reply of Spirit (Detroit-Cancun)

US-Israel Third-Country Codeshare - Objections of Delta

Notices of Action Taken:

None

Notices and Orders:

Sato Travel - Order of Chief Administrative Law Judge

Transatlantic, Transpacific, Transborder, and Latin American Mail Rates Investigation - Order Calling for Informal Discussions




Aerolineas Argentinas, S.A.

OST-03-15092 - Under Section 41310(c) of the International Air Transportation Fair Competitive Practices Act

March 29, 2004

Re: Tenth Escrow Deposit Report

Attached is the TENTH Escrow Deposit detailed summary for the week ending March 28, 2004, Aerolineas made a deposit into the escrow of U.S. $33,167.33.

Counsel: Rosen Weinhaus, John Romans, 212-530-4827, jromans@lrjwlaw.com

Index


Air Atlanta Europe

OST-98-3304 - Family Assistance Plan

March 29, 2004

Re: Family Assistance Plan

Counsel: Garofalo Goerlich, Don Hainbach, 202-776-3970

Index


China Southern Airlines Company Limited

OST-03-16786 - Exemption - China-Saipan

March 30, 2004

Re: Results of Poll

China Southern Airlines Company Limited has finished polling the relevant U.S. air carriers regarding CSA's March 22, 2004 application for an amended exemption that will permit the carrier to engage in the scheduled foreign air transportation of persons, property, and mail between any point in the People's Republic of China, on the one hand, and Saipan, Commonwealth of the Northern Mariana Islands, on the other. All of the U.S. air carriers indicated that they have no objection. Accordingly, CSA asks that the Department expeditiously amend CSA's exemption, as requested in the application.

Counsel: Hogan & Hartson, Ronald Brower, 202-637-5600

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Essential Air Service at Grand Island, Nebraska

OST-02-13983 - EAS at Grand Island, NE


March 16, 2004

Re: Jay Vavricek, Mayor Letter in Support of Essential Air Service

On behalf of the City of Grand Island, it is our pleasure to submit this Letter of Support for Essential Air Service to provide eastbound air service from Kearney, Nebraska to Kansas City, Missouri, with one stop in Grand Island, and to provide westbound air service from Grand Island, Nebraska to Denver, Colorado, with one stop in Kearney, Nebraska.

The Central Nebraska Regional Airport and the Kearney Municipal Airport have joined forces to develop a Tri-City Initiative to bring affordable aid convenient options for air travel to serve more passengers in central Nebraska.

We pledge our full support, endorsement, and cooperation with the Tri-City Initiative to improve the service options available to central Nebraska through the Essential Air Service.

By: Jay Vavricek, Mayor


March 17, 2004

Re: City of Hastings Letter in Support of Denver-Kearney-Grand Island-Kansas City Route Operated by Great Lakes

In conjunction with the communities of Grand Island and Kearney, brings requests that the DOT select and fund the following route: Denver-Kearney-Grand Island-Kansas City with returning flights departing Kansas City en route to Grand Island, Kearney and ultimately, Denver. Further, we request that Great Lakes Aviation be selected as the carrier to provide this service using 19-passenger Beech 1900D aircraft. Hastings requests that the DOT fund a minimum of three nonstop departures each weekday from Grand Island to Kansas City (with at least two departures each Saturday and Sunday). Further. Hastings requests that the DOT fund a minimum of three direct departures each weekday from Grand Island to Denver via Kearney (with at least two departures each Saturday and Sunday). This selection corresponds to Great Lakes Aviation‘s Option #10 under its - "Proposal to Provide Essential Air Service - Docket OST-2002-13983." The total compensation requested by Great Lakes from the DOT to service airports in both Grand Island and Kearney totals $2,589.173.

By: Richard Sheehy, Mayor


March 18, 2004

Re: Hastings Economic Development Corporation Letter in Support

Now therefore be it resolved that the Hastings Economic Development Corporation Board of Directors, unanimously support the efforts of Hastings, Grand Island and Kearney to improve air service 10 and from Central Nebraska, by having Grand Island request Denver as a hub with one stop through the Kearney Municipal Airport, and having Kearney request Kansas City as a hub with one stop through the Grand Island Region Airport.

By: Jeff Andreasen, President


March 24, 2004

Re: Hall County Airport Authority Board Letter in Support

As agreed by this recommendation, all communities support the continuation of air service by the present respective air carrier Great Lakes Airlines. Additionally, they request the Secretary to approve the air service pattern proposed by Great Lakes Airlines Proposal #10 submitted on January 20,2004. Under this program, flights between Kearney and Kansas City would stop in Grand Island; conversely, those flights between Grand Island and Denver would stop in Kearney utilizing the current Beech 1900 aircraft.

By: Hall County Airport Authority Board

Index


Essential Air Service at Kearney, Nebraska

OST-96-1715 - EAS at Kearney, NE


March 17, 2004

Re: City of Kearney Letter in Support of Denver-Kearney-Grand Island-Kansas City Route Operated by Great Lakes

Therefore, in conjunction with the communities of Grand Island and Hastings, Kearney requests that the DOT select and fund the following route: Denver-Kearney-Grand Island-Kansas City with returning flights departing Kansas City en route to Grand Island, Kearney and ultimately, Denver. Further, we request that Great Lakes Aviation be selected as the carrier to provide this service using 19-passenger Beech 1900D aircraft. Kearney requests that the DOT fund a minimum of three nonstop departures each weekday from Kearney to Denver (with at least two departures each Saturday and Sunday). Further, Kearney requests that the DOT fund a minimum of three direct departures each weekday from Kearney to Kansas City via Grand Island (with at least two departures each Saturday and Sunday). This selection corresponds to Great Lakes Aviation’s Option #10 under its "Proposal to Provide Essential Air Service - Docket OST-2002-13983." The total compensation requested by Great Lakes from the DOT to serve both Kearney and Grand Island totals $2,589,173.

It is the objective of all three communities to actively work to increase enplanements to historical highs. We believe very strongly that the decision by the DOT to approve the Consortium’s request for both Denver and Kansas City service will go a long way in helping us achieve our goals. The long-term benefit of increasing departures, adding destinations, and upgrading aircraft is projected to increase enplanements and could eventually lead to the elimination of DOT subsidies at Kearney and Grand Island. We appreciate the opportunity to continue working successfully with the DOT.

By: Bruce Blakenship, Mayor


March 23, 2004

Re: Kearney Municipal Airport Response to the Request for Proposals

Since this proposal is appropriately addressing service to both Kearney and Grand Island, we have found it more straight forward to view it in terms of EAS supported air service for Kearney to Kansas City with intermediate stops in Grand Island and EAS supported air service for Grand Island to Denver with intermediate stops in Kearney. It is very clear that only through the utilization of the partnership can this service plan be available to both communities. We deeply appreciate your counsel as we worked to develop this partnership.

The partnership also includes Great Lakes Airlines. We will be working closely With GLA on all matters of code sharing, interlining relationships, marketing, and all other elements necessary for creating and maintaining the air service needed.

The communities in the partnership will work aggressively to bring enplanements to the highest possible levels. The approval of this route proposal will be an essential first step in that process.

By: The Kearney City Council Acting as The Kearney Municipal Airport Corporation


March 23, 2004

Re: Buffalo County Board of Supervisors Resolution Regarding EAS Proposals

NOW, THEREFORE, BE IT RESOLVED by the Buffalo County Board of Supervisors, that the Board Chair and individual Board Members of the Buffalo County Board of Supervisors do hereby pledge their full support, endorsement, and cooperation with the City of Kearney, Nebraska and the City of Grand Island, Nebraska in submitting a recommendation to the Department of Transportation seeking Essential Air Service improvement funding to provide eastbound air service from Kearney, Nebraska to Kansas City, Missouri with one stop in Grand Island, Nebraska, and to provide westbound air service from Grand Island, Nebraska to Denver, Colorado with one stop in Kearney, Nebraska.

By: The Buffalo County Board of Supervisors

Index


Essential Air service at McCook, Nebraska

OST-97-3005 - EAS at McCook, NE

March 16, 2004

Re: Preferred Air Carrier and Priority Preference of Air Service Routes

By unanimous vote, the McCook City Council took the following action in response to your Letter of February 18,2004 at the March 15,2004 City Council Meeting:

1. Our preferred air carrier is Great Lakes Airlines.

2. Our Priority Preference of Air Service Routes is as follows:

First Choice: The proposed Denver - McCook - Kearney - Kansas City Route described in the enclosed information dated December 16,2004. Please note this proposal is jointly signed by the Mayors of Kearney and the City of McCook. This "partnership" between the cities of Kearney and McCook was approved by both City Councils and has not been revoked.

Second Choice: Utilize any air route coming from the east, if necessary, to maintain McCook’s current air service to and from Denver.

By: John Bingham, City Manager / Airport Manager

Index


Essential Air Service at Norfolk, Nebraska

OST-98-3704 - EAS at Norfolk, NE

March 17, 2004

Re: Community Comments on EAS Proposals

As requested in your letter of February 18, the community of Norfolk is providing comments on the air service proposals the Department of Transportation received.

Our first choice is Multi-Aero's proposal for a one-stop flight from Norfolk to Kansas City. Our second choice is Great Lakes' proposal No. 30, which is service from Norfolk to Denver with a stop in Grand Island. Our third choice is Great Lakes' proposal No. 29, which is similar to our current service from Norfolk to Denver with a stop in Kearney.

As you review the proposals, please be mindful that Norfolk's passenger count continues to grow. DOT's RFP showed 2,133 Norfolk passengers for the year ended March 31, 2003. For the year ended December 31, 2003, our records indicated 2,730 Norfolk passengers. This is a 28% increase in passengers in three quarters. We believe Norfolk passenger count will continue to increase and will increase even greater with service to Kansas City.

By: Gordon Adams, Mayor and Gerald Adams, Airport Manager for the Norfolk Airport Authority

Index


Essential Air Service at North Platte, Nebraska

OST-99-5173 - EAS at North Platte, NE

March 9, 2004

Re: Letters in Support of EAS Contract Renewal

  • James Whitaker, Mayor
  • Dave Mohrman, Airport Authority Board Chairman
  • David Bernard-Stevens, North Platte Area Chamber President
  • Brad Maul, DEVCO Executive Director

By: North Platte Regional Airport Director, Mike Sharkey


March 17, 2004

Re: Resolution Regarding EAS Contract Renewal

NOW, THEREFORE, BE IT RESOLVED that the North Platte Airport Authority supports the application of Great Lakes Airlines submitted to the United States Department of Transportation to operate Essential Air Service for a two year period between North Platte, Nebraska and Denver, Colorado with three flights weekdays and two flights on weekend days using a 30-seat aircraft. The North Platte Airport Authority encourages the USDOT to favorably consider this application for EAS subsidy.

By: David Mohrman, Chairperson and John Cox, Secretary

Index


Essential Air Service at Scottsbluff, Nebraska

OST-03-14535 - EAS at Scottsbluff, NE


March 11, 2004

Re: Scotts Bluff County Board of Commissioners Community Comments

By motion of the Scotts Bluff County Board of Commissioners, we would like to recommend that the Department of Transportation award the Scottsbluff to Denver air service contract to Great Lakes Airlines. We believe the Great Lakes’ bid of three round trip flights per day Monday-Friday, and two round trip flights on both Saturdays and Sundays employing their larger Brasilia aircraft, would better serve WNRA and western Nebraska communities.

By: Mark Masterson, Chairman of the Board


March 16, 2004

Re: Carrier Air Service

On behalf of the City of Scottsbluff City Council, I would like to thank you for allowing us the opportunity to express our opinion regarding airline service from Scottsbluff to Denver.

At a regular meeting of the Scottsbluff City Council held March 15, 2004, Darwin Skelton of Western Nebraska Regional Airport was present to offer the quotes for air carrier service and to offer the Airport Board’s recommendation for that service.

The City understands the difficulties the community had in the past with the service provided by Mesa Airlines and is cautious to recommend a carrier with this type of history attached. It IS also a concern that this airline has underbid the service route and fear that the community’s inability to fulfill the passenger requirements would again lead to strained relations and cancelled flights

It is the consensus of this Council that Great Lakes Airlines has served the region well over the past several years and continues to improve. Great Lakes is offering service to Denver using their Brasilia aircraft which will seat thirty passengers which will offer the area some flexibility with its boardings. It is the hope of the Airport Board that the higher number of available seats will offer a lower cost for the traveling public and increase the use.

By: Fiona Libsack, Mayor


March 18, 2004

Re: Western Nebraska Regional Airport Community Comments

Based on a unanimous vote taken among the Airport Board, we would like to recommend that you award the air service contract to Great Lakes Airlines. We are extremely satisfied with their service and we are impressed that they have shown a commitment to assist us in our efforts to grow by bidding three round trip flights per day Monday-Friday, and two round trip flights on both Saturday and Sunday (using their largest Brasilia aircraft). We are convinced that Great Lakes would better serve WNRA and the community.

By: Darwin Skelton, Airport Manager

Index


Federal Express Corporation

OST-97-2494 - Form 41; Schedule B-43

March 29, 2004

Motion for Confidential Treatment Pursuant to Rule 12

Counsel: Federal Express, Bailey Leopard, Jr., 901-434-6664

Index


Sato Travel, Inc.

OST-04-17124 - Violations of 14 CFR Part 257 and 49 USC 41712

Filed March 23, 2004 | Served March 26, 2004

Order of Chief Administrative Law Judge

On March 23,2004, SatoTravel, Inc. filed a motion for an extension of time to file its answer in this proceeding stating that the Deputy Assistant General Counsel for Aviation Enforcement Proceedings has authorized SatoTravel, Inc. to state that his office does not object to the extension, that SatoTravel has entered into productive consent agreement negotiations with the Office of Aviation Enforcement, and that SatoTravel anticipates the parties will be able to agree to the terms of that agreement by April 23,2004. For good cause shown, it is ORDERED that the time for Respondent to file its answer pursuant to 14 C.F.R. 6 302.405 is extended to April 23,2004.

By: Ronnie Yoder, Chief Administration Law Judge

Index


Southwest Airlines Co.

OST-96-1640 - Form 41; Schedule B-43

March 26, 2004

Motion to Withhold from Public Disclosure

Counsel: Southwest, Robert Kneisley, 202-263-6284, bob.kneisley@wnco.com

Index


Spirit Airlines, Inc.

OST-04-17234 - Exemption - Detroit-Cancun

March 30, 2004

Reply of Spirit Airlines and Motion for Leave to File

In an ideal world, Spirit would not object to the desire of either Champion or USA 3000 to serve the Detroit-Cancun market. However, given the fact that only one carrier can be designated and licensed to provide this service, the choice should be clear. That choice should be Spirit. The choice of carriers in this case should be clear because Spirit would more fully utilize these scarce traffic rights than would any of the other applicants. DOT previously has sought to maximize the value of limited designation routes by selecting carriers which would make the most of such designations by offering adequate capacity therein. See, US-Mexico All Cargo Exemption Proceeding Order 95-4-34. Just as DOT sought to make the most of a single remaining US-Mexico all-cargo designation in that case by selecting the carrier that would offer superior service and greater capacity than the others, the Department here should award the designation to the carrier that would offer the greatest public benefits use through the award of this scarce resource.

Spirit is aware that both Champion Air and USA 3000 have requested DOT to initiate a carrier selection proceeding. While Spirit believes that its proposal to operate a true scheduled service is superior on its face to the competing proposals, and would warrant the issuance of pendente lite authority, Spirit is prepared to participate in any proceeding the Department might establish. Spirit would only ask that this step be taken without undue delay.

Counsel: Spirit and Garfinkle Wang, Anita Mosner, 703-294-5890

Index


Transatlantic, Transpacific, Transborder, and Latin American Mail Rates Investigation

Order 04-03-33
OST-96-1629 - Transatlantic, Transpacific and Latin American Service Mail Rates Investigation

Issued and Served March 30, 2004

Order Calling for Informal Discussions

The parties are directed to meet with the Department to discuss possible revisions to the methodology for determining international mail rates. In the context of that discussion, and consistent with the Postal Service comments, we will further extend the final rate first established by Order 2003-5-15 and extended until further notice by Order 2003-12-28.

By: Karan Bhatia

Index


United Air Lines, Inc.

OST-03-16445 - US-Ukraine Third-Country Codeshare Opportunity and Frequency Allocation and Notice of Route Integration (Munich-Kiev)
OST-04-17373 - US-Ukraine Third-Country Codeshare Services

March 30, 2004

Re: Supplemental Attachment - Errata Notice

Please note that footnote 4 on p. 4 of the referenced Supplemental Application erroneously states that flights between Newark, NJ, and Munich, Germany are operated by PrivatAir GmbH. In fact, those flights are operated by PrivatAir, SA, a Swiss company. Accordingly, the text of section (g) of the Supplemental Application should be revised to read as follows:

"(g) United has performed safety audits of Lufthansa, CityLine and PrivatAir, SA and those audits have been reviewed and cleared by the FAA. United will re-audit these carriers as necessary and report the results to the FAA."

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmer.com

Index


US Airways, Inc.


OST-03-15946 - US Airways and Lufthansa - US-Germany Codesharing
OST-03-15993 - US-Israel Third-Country Codeshare Opportunities

March 29, 2004

Re: 30-Day Notice of US Airways

Pursuant to the blanket statement of authorization issued in this docket, US Airways hereby notifies the Department that, commencing on May 1, 2004 or upon receipt of a final DOT Order, whichever is later, US Airways will begin code sharing on Lufthansa's daily nonstop services between Frankfurt, Germany and Tel Aviv, Israel These code-share services are consistent with the 2001 U.S.-Israel Memorandum of Consultation amending the 1950 U.S.-Israel Air Transport Agreement.

Counsel: US Airways, Howard Kass, howard.kass@usairways.com


OST-02-13855 - Exemption - Washington, DC-Cancun / Baltimore-Cancun

March 30, 2004

Application to Amend an Exemption

US Airways intends to inaugurate nonstop service from Washington Dulles International Airport (lAD) and from Baltimore, MD (BWI) to Cancun, Mexico. This new service will complement existing US Airways service to Mexico (Cancun, Cozumel and Mexico City). In so doing, US Airways will bring the benefits of additional competition, new nonstop service, and additional on-line connecting options for consumers. US Airways plans to operate its services on a year-round basis commencing approximately July 17, 2004. US Airways plans to utilize Airbus A-319 aircraft, currently in its fleet, with 120-seats configured with 12F and 112Y seats.

United Air Lines is the only U.S. carrier currently providing scheduled, nonstop service in the Washington, D.C.-Cancun market. USA 3000 is the only U.S. carrier currently providing scheduled, nonstop service in the Baltimore-Cancun market

Counsel: US Airways, Elizabeth Lanier, 703-872-5230

Index


US-Israel Combination Service Third-Country Codeshare Opportunities

OST-03-15993 - US-Israel Third-Country Codeshare Opportunities

March 30, 2004

Objections of Delta Air Lines

The Department has consistently held that nonstop-to-nonstop gateway service benefits are of critical decisional significance in third-country codeshare cases. See, e.g., Order 98-11-14; Order 97-9-18; Order 97-7-8. US Airway's proposal fall well short in terms of these key service benefits. The Show Cause Order erred in selecting US Airways' on the basis of its "new entrant" status, because the alleged benefits of introducing US Airways as a competitor are seriously undermined by the poor quality of its service proposal.

Counsel: Delta and Shaw Pittman, Robert Cohn, 202-663-8060

Index


Vietnam Airlines Corporation

OST-00-8562 - Exemption - Vietnam-US Scheduled Combination Service

March 30, 2004

Application for Renewal of Exemption Authority

Hereby applies for renewal of its exemption authority to engage in the scheduled foreign air transportation of persons, property, and mail between Hanoi and Ho Chi Mirth City, Vietnam, on the one hand, and Los Angeles and San Francisco, California, on the other, via Taipei, Taiwan.

On June 10, 2003, VAC filed in this docket an application for amendment of the carrier's exemption authority to include codeshare operations between Vietnam and the United States with American Airlines, as well as with China Airlines. That application is still pending.

Counsel: Hogan & Hartson, George Carneal, 202-637-6546, gucarneal@hhlaw.com

Index


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