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HomeMy WebLinkAboutR-84-0454J-84-377 4/10/85 rr/D-6 RESOLUTION NO. 84-54 A RESOLUTION SUPPORTING THE EFFORT OF MIAMI iNTERNATIONAI_ AIRPORT (MIA) AND THE DADE COUNTY AVIATION DEPARTMENT TO SEEK A THREE YEAR EXEMPTION FROM FEDERAL AVIATION REGULATIONS (FAR) 36 AND 91E UNTIL JANUARY 19 1988; URGING THE FEDERAL AVIATION ADMINISTRATION (FAA) AND OTHER AGENCIES INVOLVED IN THE DECISION OF WHETHER TO GRANT AN EXEMPTION RELATING TO MIA TO CONSIDER ALL. PERTINENT FACTORS AND TO GRANT THE REQUESTED EXEMPTION FROM FAR 36 AND 9 1 E FOR INTERNATIONAL OPERATIONS AT MIA UNTIL JANUARY 1, 1988. 3 WHEREAS, implementation of Federal Aviation Regulations (FAR) 36 and 91E promulgated by the Federal Aviation Administration (FAA) relating to aircraft noise control will, i on January 1, 1985, prohibit all Boeing 707, Boeing 727 - 100, Convair 880 and most DC6 aircraft from operating a in the United States (U.S.) and at Miami International Airport (MIA); and k WHEREAS, there is currently on the market no FAA t certificated quiet engine nacelle or "hush kit" to enable i such present aircraft to comply with FAR 36; and WHEREAS, such hush kits will not be on the market in i full production until sometime in 1985 at the earliest; and WHEREAS, it is therefore technically impossible for these aircraft to comply with FAR 36 by January 1, 1985; and WHEREAS, most of the airlines in the Caribbean and Latin i America use these aircraft exclusively, or almost exclusively; and 1 i WHEREAS, 37 foreign airlines who own only non -FAR 36 I aircraft will be banned from MIA - the gateway to the Caribbean and Latin America and this tremendous loss of international airlines service will have a severe effect on the international economy of South Florida and on the F ecbnomies of many other parts of the nation (e.g., the U.S. F 3 i' oil, auto, truck and agricultural machinery industries), since many industries depend on MIA's unique range of air cargo service to ship their specialized products on the only available air freighter routes to U.S. trading partners south of Miami; and WHEREAS, MIA and the Miami community will lose 6,000 jobs; and WHEREAS, MIA will lose 48% of its international cargo, valued in 1983 at more than $1.2 billion; and WHEREAS, due to their present economic situation, most of the affected Caribbean and Latin American countries and carriers cannot afford FAR 36 - compliant new or reengined aircraft; and WHEREAS, it is therefore financially impossible for these a.ir].inesaircraft to comply with FAR - 36 by January 1, 1985; and WHEREAS, the FAA possesses and has used on behalf of U.S. air carriers its exemption authority with regard to FAR 36 to grant many U.S. airlines exemptions to FAR - 36 until January 1, 1988; and WHEREAS, the exemption sought by MIA on behalf of the carriers operating international routes from Miami is until January 1, 1988; and WHEREAS, the International Civil Aviation Organization, of which the U.S. is a signatory member, has recommended that these or similar noise regulations should not be applied to aircraft of foreign airlines until January 1, 1988; and WHEREAS, Great Britian and other European Economic Community countries are utilizing the January 1, 1988 date for compliance with similar noise regulations relating to the aircraft of foreign airlines; and WHEREAS, implementation of FAR - 36 will reverse the potential economic advances made possible by the Caribbean Basin Initiative and other efforts; -2- 84-454 NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The City of Miami hereby supports the effort of Miami International Airport (MIA) and the Dade County Aviation Department to seek a three year exemption from Federal Aviation Regulations (FAR) 36 and 91E until January 1, 1988. Section 2. The Federal Aviation Administration (FAA) and other agencies involved in the decision of whether to grant an exemption relating to MIA are hereby urged to consider all pertinent factors and not prejudge the issue. Section 3. The FAA and the U.S. Department of Transportation are hereby urged to grant a three year exemption from FAR 36 and 91E for international operations at MIA until January 1, 1988. PASSED AND ADOPTED this loth day of April , 1984. Maurice A. Ferre ATTEST: PREPARED AND APPROVED BY: DEPUTY CITY ATTORNEY APPROVED AS TO FORM AND CORRECTNESS: op /ITKYATTORNEY 84-454 ALCALDE, HENDERSON & O'BANNON GOVERNMENT & ruSLIC AFFAIRS CONSULTANTS April 2, 1984 Mr. Maurice Ferre Mayor of Miami 3500 Pan Am Drive Miami, FL 33133 Dear Maurice: As per our recent telephone conversation, I have included a draft resolution for your review regarding Miami International Airport's exemption request to FAR 36 on behalf of 37 foreign air carriers serving Miami. As we discussed, implementation of FAR 36 would have a devastating impact on Miami, and its whole future as an 'E international trading city. In calendar year 1983, approx- imately 48% of MIA's international cargo, valued at more than 1.2 billion dollars (and representing 60,000 U.S. jobs), was carried on MIA's B-707, CV-880, and DC-8 freighters, all of which are non -FAR 36 compliant aircraft. The loss of these vital services to 30 cities throughout the Caribbean and Latin America could immediately impact over 6,000 jobs in Miami. I know you are aware of the importance of this issue to the Miami community. I feel that if we can garner support from Miami's international business and community leaders it will help us in our effort to gain MIA's exemption request. I look forward to talking with you again soon and greatly appreciate your assistance in this matter. Sincerely, ector Alcalde HA: am Enclosure i 1901 N. FT. MYER DRIVE TWELFTH FLOOR RosSLYN. VIRGINIA 22209 PH. 703 841-0626 84-454 11 LIN DRAFT RESOLUTION - FAR 36 City of Miami WHEREAS implementation of Federal Aviation Regulations FAR 36.and 91E will, on January 1, 1985, prohibit all Boeing 707, Boeing 727 - 100, Convair 880 and most DC8 aircraft from operating in the United States and at Miami International Airport; WHEREAS most of the airlines in the Caribbean and Latin America use these aircraft exclusively, or almost exclu- sively; and WHEREAS 37 foreign airlines will be banned from Miami International Airport - the gateway to the Caribbean and Latin America; and WHEREAS Miami International Airport and the Miami community will impact 6,000 jobs; and 48% of its international cargo, valued in 1983 at more than $1.2 billion; and WHEREAS due to their present economic situation, most of the affected Caribbean and Latin American countries can- not afford FAR 36 - compliant new or reengined aircraft; and WHEREAS there is currently on the market no FAA certif- icated quiet enl!i.ne nac:el_le. or "hush ],,it" to enable their present: to coi;ipl y v,! t:h FAR 36; rand WHEREAS such Bush }:it:s fall not be on the market in full production until Somet:imc- in I985 at the earliest; and WHEREAS it is therefore financially and technically im- possible for these airlines' aircraft to comply with FAR 36 by January 1, 1985; and WHEREAS the FAA has and has used on behalf of U.S. air carriers its exemption authority with regard to FAR 36 to grant many U.S. airlines exemptions to FAR 36 until January 1, 1988; and WHEREAS the exemption sought by Miami International Airport on behalf of the carriers operating international routes from Miami is until January 1, 1988; and { 84-454t L 0 Page Two WHEREAS the International Civil Aviation Organization, of which the Ut S. is a signatory member, has recommended that these or similar noise regulations should not be applied to aircraft of foreign airlines until January 1, 1988; and WHEREAS Great Britian and other EEC countries are utilizing the January 1, 1988 date for compliance with similar noise regulations relating to the aircraft of foreign airlines; and WHEREAS implementation of FAR 36 and FAR 91E on January 1, 1985 will have a serious negative effect on trade and tourism between the United States and the Caribbean and Latin American countries; and WHEREAS implementation of FAR 36 will reverse the potential economic advances made possible by the Caribbean Basin Initiative and other efforts; Now, therefore BE IT RESOLVED that the City of Miami supports the effort of Miami International Airport to seek a three year exemption to FAR 36 and FAR 91E until January 1, 1988; and BE IT FURTHER RESOLVED that the FAA and other agencies involved in the decision of whether to grant an exemption relating to Miami International Airport should consider all pertinent factors and should not pre -judge the issue; and BE IT FURTHY"R RESOLVED that the FAA and the Department of Transportation should grant the requested exemption to FAR 36 and FAR 91E for international operations at Miami International Airport until January 1, 1988. 84-454 Position of the Dade County Aviation Department on the impact of Federal Avia- tion Regulations (FAR 361FAR 91E) effective December 31, 1984, on 47 Airlines and five Aircraft Maintenance Bases at MIA From: Richard H. Judy Director, Dade County Aviation Department March 30, 1984 Miami International Airpcfrt (MIA) is the most vital infrastructure of Dade County for the development of international business, and the continued eco- nomic growth of all sectors of the gross product of South Florida. Miami is served by 80 scheduled airlines, 45 of which are foreign airlines; with scheduled flights to 97 North American cities and 91 international cities. Over 72,000 people arc directly and indirectly empioyed in South Florida's aviation industry, and a recent University of Miami economic stud}- indicates that the aviation industry today produce;; 25'L of the gross product of Dade County. Through t.iiami' gcographic location, and the positive . yticrL_.ir=n-, betv,con 1„iatni International Airport and the 1 irE;c international bu:.;ines�� cor;lmunity of. South Florida, Miiami has become a ',vorld l atcway for- the:° U. 5. , Carib}:scan :nd Latin American economies, and the U.S. and international air cargo industries. Miami's large international business sector- comprises a wide range of companies in the export, import, international banking, international accounting and international insurance fields, and offices of over 100 multinational corporations. Many of these corporations are located in Miami because of the wide range of convenient air schedules to virtually every city in the Caribbean and Latin America. The Department of Business Studies at Florida International University reports that this extensive international business sector presently employs directly and indirectly approximately 25 % of all the citizens in Dade County. Miami's dynamic and synergistic aviation and international business and international trading economy is, however, now in grave danger as the result of arbitrary and unilateral regulations published in November 1980 by the Federal Aviation Administration (FAA) . These regulations will, on December 31, 1984 (nine months from today) , effectively ground the perfectly serviceable aircraft of 37 foreign airlines and 10 U.S. airlines serving Miami. i his action will virtually destroy most of these airlines. It will also seriously impact Miami as .an international business and international trading city, unless exemptions to these arbitrary regulations are granted, as provided for in Federal law. �1 All Interested Parties -2- BACKGROUND: In December 1976, the FAA implemented aircraft noise control regulation FAR 36, which effectively began the process of phasing -out of operation by U.S. domestic commercial airlines all of the then -existing Boeing 707, Boeing 727-100, Convair 880 and Douglas DC-8 aircraft by January 1, 1985. The drafting of this regulation was carefully structured during the four year period 1972 to 1976, by the FAA and the U.S. air carriers, to incorporate the U.S. airlines' fleet reequipment programs. The FAR 36 regulation was then implemented, in 1976, so as not to affect adversely, in any way, the economics of the U.S. scheduled air carriers and the air services they provided. In November 1980 this regulation was extended, through FAR 91E, to cover these B707, 13727-100, CV880 and DC-8 aircraft when operated by forte airlines from any U.S. airport; although the FAA paid no attention to the potential economic impact of this regulation on the foreign airlines, as they had done with the U.S. domestic airlines. By this action, the FAA had effectively given U.S. airlines eit ht years to meet its ne", regulations (one could even say 13 years, since 197Z), while giving the economically %,.eaker foreign airlines only four Years. To the expressed concern of the U.S. Department of State, the FAA by its unilateral action, effectively ignored the traditional Bilateral Air Agreement process between the U.S. and every other nation in the world. The FAA Administrator, however, in 1980, in a policy statement to the International Civil Aviation Organization (ICAO) , of which the U.S. is a treaty member, clearly stated to the aviation representatives of the world that the FAA was legally permitted to issue exemptions to FAR 36/FAP. 91/E, to minimize the potential economic hardships these regulations might cause to foreign airlines. In June 1979 ICAO had already recommended, for very sound international economic and political reasons, that all nations tale no noise regulation actions against the aircraft of foreign airlines until January 1988. This action was in response to requests from the U.S. that ICAO extensively review the matter of aircraft noise throughout the airports and airlines of the world, and then take a formal international position on aircraft noise. ICAO had, therefore, made a careful study of the impact of aircraft noise on the major airports in the world, and of the composition of the aircraft fleets of the international airlines serving those airports. lCAO had also considered, as the FAA had done for its domestic Air Transport Association (ATA) carriers, the plans and capabilities of the foreign airlines of the world to progressively change their equipn-ic-nt o,.,er the ne:�_t tell years, in a norm i] technical and econotnic manner. ICAO had paid special attention to the airports and airlines of the economically weaker member states, since in many cases the economic imporU:nce of the air service of these nations far outweighed any airport noise 84-45C f All Interested Parties -3- problems which might, or might not, exist. The economic importance of the perfectly serviceable aircraft of the airlines of some of the developing nations (which these nations could not afford to replace), was also far more important to many nations than any noise their aircraft might malce, if the alternative was the total elimination of service by their national airline. ICAO had recommended, therefore, that those nations (primarily western nations) whose airports were located in noise -sensitive areas should not take any action against foreign aircraft until January- 1, 1988. ICAO clearly considered that this date would be a fair balance between the complex environmental, economic and political issues involved. ICAO also left open the possibility for nations to give extensions to this date, in specific cases of severe economic hardship to developing countries or their airlines. The imposition of FAR 36/FAR 91E by FAA at Miami International Airport (MIA) on January 1, 1985, less than nine months from today, and the resultant banning of all international B707's, B727-100's, CV880's and most DC-8's from MIA, will have a devastating effect on the airlines of almost every developing country in the Caribbean and Latin America, most of which use Miaini as their international gateway to the U.S. Of the 37 foreign airlines affected, 30 will be totally eliminated, since they own only non-FC�01 36 aircraft. This tremendous loss of international airline service will hay e a revere: effect on the intern ation.aI economy of South Florida. It will also have a s;ignific, nt effect on the economics of many other parts of our nation (e.g. the U.S. oil,ai,ito, truck and agricultural machinery industries), since many of these industries depend on MIA's unique range of air cargo service to ship their specialized products on the only available air freighter routes to our trading partners south of Miami. Many of the passenger airlines of the Caribbean and Latin American nations operating into Miami will be virtually eliminated. Almost every cargo airline from these nations will be totally eliminated, since their well-being depends upon the economics of their air routes to and from Miami, and they own only non -FAR 36 B707's, CV880's and DC-81s. For example, banned from Miami will be all of the aircraft presently operated by the national passenger airlines of Guatem�jla, Guyana, Panama, Paraguay and Peru. Also banned from !�':iami will be all of the aircraft presently operated by the national cargo airlines of Barbados, Costa Rica, Ecuador, Haiti and Panama. A listing of the 37 foreign airlines at MIA affected by these regulations is shown in Exhibits 1, 2 and 3. Miami's large international cargo industry, which serves the productive processes both of our nation and the Caribbean/Latin American region, will be severely damaged by the 90% reduction in available all -cargo (freighter) ser- vice shown in Exhibit 2. In calendar year 1963 approximately 9E$ of MIA's international cargo, valued at more than $1.2 billion (and representing 84 454 r All Interested Parties 4- 60,000 U.S. jobs), was carried on hIIA's international B707, CV880 and DC-8 freighters. Thirty-one cities in the Caribbean and Latin America receive cargo service from NIIA by these aircraft. Only four cities, of the over 30 foreign destination cities in the whole region, are served by FAR 36-compliant freighter aircraft. More than 85 0 of the non -FAR 36 compliant aircraft flights from NIIA are by 37 foreign airlines, representing almost every friendly nation among our southern neighbors. Nineteen of these foreign airlines are the national flag carries- of their country. Nine of these foreign airlines own only non -FAR 36 passenger aircraft. Twenty-five of these foreign airlines own only non -FAR 36 cargo aircraft. All of these foreign airlines will no longer be able to operate the majority (in most cases, any) of their aircraft into and out of. NIIA in foreign commerce. None of these foreign airlines are in a financial position to replace their non -FAR 36 compliant B707's and DC-8's with $18 million FAR 36-compliant DC-8-73F's. In fact, MIA has already had to develop extended payment plans for some of the foreign airlines shown in Exhibit 1, because of their critical lack of U.S. dollars even to pay their ticket counter rentals and landing fees. When they purchased their B707's and DC-8's over ten years ago (often as used -aircraft from major U. S. airlines) , these foreign airlines bought well -maintained aircraft which fully complied with all U. S. and inter -national airworthiness standards. These aircraft have continued to be maintained, and still comply with all relevant U. S. and international airworthiness standards. P.lany of these aircraft are only at 60° of their normal economic life, and have many years of useful service remaining. In spite of this fact, by its announced policies the FAA is no«• going to unilaterally ground all of these still perfectly serviceable aircraft, effective December 31, 1984, nine months from today. The U.S. carefully avoided these adverse impacts on its own domestic airline fleets, of the older BAC111, B737-100, B747-100 and DC9-10 aircraft, to which it carefully gave exemptions until the ICAO date of January 1988, when drafting the FAR 36 regulations. We have not been able to locate any record that the U.S. officially advised these foreign nations in November 1980, through proper bilateral diplomatic channels, that they would only be given this sh_u-t period of four years to attempt to find solutions to the adverse impacts that the implementation of FAR 36/FAR 91E would cause on their nations' air service zinc] their carriers. Nor did the U.S., in a timely manner, warn these nations that the optimum economic and technical solution ("hush -kits"), as FAA orip in.:ll`, promised to Congress, would not be available on a time]), basis. Nor that the exemption process Provided for by law would not be considered so far as the FAA was concerned. The FAA has effective]), created a unique situation, where the i All Interested Parties -5- . only solution acceptable to it, is for all these foreign airlines to ground their aircraft. It seems unlikely that this was the intent of Congress. The result of grounding the B707, CV880 and DC-8 freighters of. 25 foreign airlines serving MIA will be a significant reduction in international cargo service, through the 90% reduction in the number of freighters serving these important foreign markets. We know of no alternative air service to replace this extensive and critical air cargo service that will be eliminated on December 31, 1984. We suggest that the FAA, and the ATA airlines opposed to the exemption process, should work with the U.S. State Department to propose an extensive and economical alternate bilateral air cargo service program that will be available to meet tht se critical lost air cargo services, should these suggested exemptions to FAR 36/FAR 91E not be granted. We believe it is essential that the State Department and the appropriate Foreign Policy Sub -Committees of Congress concern themselves with the significant foreign policy issues involved in the statements by the FAA that they will not even consider granting exemptions to these regulations. The exemption process was specifically provided for by Congress to deal with such unforeseen, but delicate issues; in this case resulting from the lack of the time]), avail ability of the economically cost-effective t.echnica] means ("hush -kits") 10 enable the existing aircraft of these airlines to comply by January 1, 10,85. The severe economic recession being suffered by the southern neighbors of our nation clearly makes it impossible for these a;.rlines to pursue their only other alternative, the purchase of expensive replacement aircraft. We also believe that an appropriate committee of Congress should request the General Accounting Office (GAO) to analyze and to report to Congress on the economic impact which FAR 36/FAR 91E will have on all affected parties. All of the 37 foreign airlines and 10 U.S. airlines affected have staffs at MIA who will lose their jobs if exemptions to FAR 36/FAR 91E are not granted. Extensive unemployment also will follox among the employees of the freight forwarders, customs brokers, flower importers, etc. , since these companies will have less reason to use Miami, if limited or no air service is available to the countries they currently serve. Approximately 6,000 jobs would be directly. irr;pacted in Dade County. Obviously there will be a far greater � economic impact on the present very fragile economies of the foreign nations 1 involved. A further problem also will occur, since even if the foreign airlines could operate their B707, B727-100, CV880 and DC-8 aircraft elsewhere within the 84-454 All Interested Parties -5- only solution acceptable to it, is for all these foreign airlines to ground their aircraft. It seems unlikely that this was the intent of Congress. 1 The result of grounding the B707, CV880 and DC-8 freighters of 25 foreign airlines serving MIA will be a significant reduction in international cargo service, through the 90 o reduction in the number of freighters serving these j important foreign markets. We know of no alternative air service to replace this extensive and critical air cargo service that will be eliminated on December 31, 1984. We suggest that the FAA, and the ATA airlines opposed to the t exemption process, should wort: with the U.S. State Department to propose an extensive and economical alternate bilateral air cargo service program that will be available to meet th�.se critical lost air cargo services, should these suggested exemptions to FAR 36/FAR 91E not be granted. We believe it is essential that the State Department and the appropriate Foreign Policy Sub -Committees of Congress concern themselves with the significant foreign policy issues involved in the statements by the FAA that the), not even consider granting exemptions to these regulations. The exemption proccs�-; specifically provided for by Congress to deal ;ith such unforeseen, but. delicate issues; in this case resulting; from the lack of the timely ava.il2 1)iIity of the economically cost_effective technical means ("hush -kits") to enable the existing aircraft of these airlines to comply by January 1, 1985. The severe economic recession being suffered by the southern neighbors of our nation clearly makes it impossible for these 'airlines to pursue their only other alternative, the purchase of expensive replacement aircraft. We also believe that an appropriate committee of Congress should request the General Accounting Office (GAO) to analyze and to report to Congress on the economic impact which FAR 36/FAR 91E will have on all affected parties. All of the 37 foreign airlines and 10 U.S. airlines affected have staffs at MIA who will lose their jobs if exemptions to FAIF. 36/FAR 91E are not granted. Extensive unemployment also %,.ill follow among the employees of the freight forwarders, customs brokers, flov.,er importers, etc. , since these companies will have less reason to use Miami, if lii,iited or no air service is available to - the countries they currently serve. Approximately 6,000 jobs would be directly . in;pacted in Dade County. Obviously there will be a far greater economic impact on the present very fragile: economics of the foreign nations involved. A further problem also will occur, since even if the foreign airlines could operate their B707, B727-100, CV880 and DC-8 aircraft elsewhere within the 84-454 All Interested Parties -6- Caribbean /Latin American region, they could not continue to bring their air- craft to Miami for maintenance by the large Miami -based aircraft maintenance companies, such as Airtech, Airlift, Batchair, Commodore Aviation, Eastern Airlines, General Air Service, etc. , as is now the practice. This will further reduce aviation industry employment in Miami. The total economic impact on both Dade County and our southern neighbors will be severe. We realize that this particular maintenance problem could be easily resolved by the FAA granting permanent "maintenance exemptions", and it is not the thrust of this position paper; however the lack of a solution being announced by FAA at this late date certainly concerns the large Miami -based aircraft maintenance industry. I MIA does not have an aircraft noise problem comparable to many communities. MIA, with the FAA and the airlines, has cooperatively developed a successful aircraft sound management and facilitation program. In this program only about 15 (4 �) of the approximately 350 commercial jet aircraft departures a day are by 13707's, Cl78S01s, or DC-S's taking off over populated areas, where there would be sonn- noise impact. Most of these B707's, C VS80's a 'd DC- S's are also at moderate talceoff %Weights when flying; to points on]). 500 miles to 1 , 500 miles from Miami, ::since they are not flying; to their rr;a:.imun', rangtc (over 3,000 miles) , and therefore are not at their maximum fuel load and rna:%-imam takeoff weight. Studies by Boeing indicate that, at these moderate takeoff weights, the rate -of -climb of these B707/DC-8 aircraft is quite acceptable. The Boeing studies also indicate that, under these conditions, the takeoff noise levels of the moderate -weight B707's and DC-8's on MIA's surrounding communities are quite comparable to, and often lower than, the takeoff noise levels of the many maximum -weight FAR 36-compliant B727-200's flying over 1,000 miles from MIA to Boston, Chicago or New York; or the man), maximum -weight FAR 36-compliant B747's or DC10-30's flying over 4,000 miles non-stop from MIA to Europe, or Argentina, or Brazil. (Because of the manner in which FAR 36 was drafted, actual takeoff noise levels on surrounding communities in actual flight operations are not a factor; only theoretical noise levels, with respect to theoretical maximum takeoff weights.) Miami has also used the FAA Integrated Noise Model to perform studies of the community noise impacts of maximum -takeoff -weight FAR 36-compliant B727-200 aircraft, versus typical medium -takeoff -weight B707/DC-8 aircraft at 230,000 Ibs, 240,000 Ibs and 260.000 lbs. The FAA Inteerate•d Noise Model clearly shows that the heavy B727's, which are deemed to be legal, make more noise impact on the community than the n;ediurn-range B707's and DC-5's, xhich are deemed to be illegal; raising serious questions as to the FAA's wording of the regulation, as compared to Congressional intent of the regulation. This 84-454 All Interested Parties -7- "noisy but legal", i'quieter but illegal" situation is confirmed by Aeromar, the cargo airline of the Dominican Republic, who have been advised by the extremely noise -sensitive Port Authority of New York and New Jersey, that Aeromar's straight -pipe (non -fan) DC-8-331s, at takeoff weights up to 268,000 lbs. , make no more noise than the noisiest FAR 36-compliant aircraft already using JFK. Under these conditions, Aeromar has been given an exemption to the Port Authority's interim special noise rules. Under FAR 36/FAR 91E Aeromar, however, will not be able to operate at JFK after December 31, 1984, regardless of how light, or how quietly, their DC-8 aircraft is operated. The balance of benefits to the Miami community of the international B707, B727-100, CV880 and DC-13 operations at MIA is overwhelmingly positive. Most importantly, only our community can weigh the importance of our aviation industry, our international trade, and our associated international business support industries. in accounting, banking, insurance, etc. , and our very large scale employment in the international customs broker, freight forwarders and international aviation industries, against this very limited aircraft noise exposure (from 1955 thru 1987) . The Miami community, therefore, not the Federal Government, should be able to make the cost -benefit decision on an issue which is so vital to us, and which involves on))- our community. This is consistent with the announced policy of the present U.S. Administration to shift the responsibility of noise regulatory decisions to local communities. During the Congressional Hearings on the FAR 36 legislation the FAA promised to Congress that economically priced (5500,000) engine "hush -kits" (accoustically-treated nacelles) would be available by 1980. Our community, and many Congressmen, relied upon this statement, of the early availability of economically -priced "hush -kits", in voting on the legislation. In fact, these hush -kits are only now being developed; and the first B707 and DC-8 hush -kits are not expected to be certificated by FAA until the fall of 1984. The new accoustic nacelles should then be in full production from early 1985, for fitting during the scheduled down -time associated with major aircraft maintenance checks during 1985 and 1986. FAR 36-compliant freighter conver- sions of the 13727-100 passenger aircraft (converted by (Monarch Aviation at MIA) also ",ill be available during 1985/86/87. By 1988 most of the problem will have been resolved if the economies of our southern neighbors improve as anticipated; hence our request for an exemption from FAR 36/FAR 91E until the ICAO date of January 1988. As an example of hour other nations are addressing this delicate issue, Great Britain and the European . Economic Community (E. E. C. ) nations have set a January l , 1986, or January 1, 1987 noise -compliance date for their own domestic carriers, but will continue to allow other foreign carriers (eg. the 84-454 All Interested Parties -8- small airlines from the developing countries in Africa and Asia) to operate into their primary British or European gateway airport until the ICAO Annex 16 compliance date of January 1.988. Great Britain and the E.E.C. nations have clearly recognized that aviation relationships between sovereign foreign nations are governed by bilateral air -route negotiations and bilateral air agreements. Great Britain and the E.E.C. nations also recognize the serious foreign policy issues involved in forcing the airlines of developing countries to comply with regulations which are clearly technically and economically impossible for them to comply with, without putting the affected airlines out of business. By comparison, the arbitrary and unilateral action intended by FAA indirectly abrogates the intent of all of the U.S. bilateral air agreements with the Caribbean and Latin American nations. It also ignores the ICAO recommendations on this vital issue, which were carefully and thoughtfully followed by Great Britain and the E.E.C. nations. FAA's action also sho«,s no concern whatsoever for the potentially very serious effects of its action upon the foreign policy of the U.S. in this vital Caribbean and Latin American region. We should all be aware that the history of U.S. bilateral aviation negotiations has often been very difficult, particularly with many of the South American nations, often due to the past enforcement of unilateral U.S. positions concerning air scrvice between the U.S. and these nations. Such unilateral practices by the U.S. are now vigorously opposed by these nations; often by the respective foreign nation retaliating against the service of the designated bilateral U.S. flag carrier (for example, reduction in frequencies permitted, canccllatiens of fifth -freedom rights, up to total renunciation of the Bilateral Air Agreement) . Such retaliatory actions by many of the foreign governments concerned in this bilateral issue could severely damage Air Florida, Eastern, Flying Tiger and Pan Am, the respective U.S. bilateral carriers to many of these nations. The worldwide economic recession of the past two years has hit the Caribbean and Latin American nations with particular force, and has caused severe economic problems to every nation in the region. The dramatic drop in worlchvide demand for their primary exports during this extended recession resulted in larg%z trading deficits and rapid devaluation of their currencies. Their low foreign currency earnings and the tremendous strength of the U.S. dollar, together %%,ith the very High U.S. interest rates, thee, nr,,de it virtually impossible for must of these nations to repay their loans from the U.S. and international banks. As the U.S. and world econor.iies recover over the next three years it is believed that these nations' exports, and their Bard -currency export earnings, will recover. The U.S., through the Caribbean Basin 84-454 All Interested Parties -9- Initiative and similar progressive programs, is trying to assist the whole Caribbean and Latin American region in this respect. All of these nations, in response to the specific instructions of the International Monetary Fund (I.M.F.), have had to impose strict import controls, budgetary restraints, and severe limitations on the export of their limited amounts of hard currency (particularly U.S, dollars). This is already causing problems for U.S. companies and U.S. airlines, who cannot repatriate their dollar earnings from these countries, due to the strict instructions of the IMF that virtually all of the hard -currency earnings from each country are to be used to meet their critical economic survival needs, and to repay the interest on their restructured foreign debt programs. As mentioned earlier, MIA has already had to develop extended epayment plans for many of these airlines, because of their critical lack of U.S.- dollars even to pay their ticket counter rental and landing fees. Obviously, under these severe economic conditions, the IMF would not at this time permit these countries to reverse their policies, for the very questionable purpose of replacing perfectable serviceable capital investments, represented by their existing aircraft. Miami International Airport (MIA) is actively seeking, on behalf of all of the airlines presently serving MIA on international routes, and affected by FAR 36/FAR 91E, an administrative solution to their problems, as provided for by Congress. MIIA, at this time, is asking only that an exemption to FAR /FAR 91E be granted until January 1, 1988, the date recommended by the .ernational Civil Aviation Organization (ICAO) , of which the U.S. is a treaty member. This exemption to FAR 36/FAR 91E %,,,ould only be applicable to international operations at MIA, through December 31, 1987, by: a) foreign all -cargo airlines serving MIA during 1984, with the aircraft types and numbers used during 1984. b) U.S. all -cargo airlines serving MIA during 1984, with the aircraft types and numbers used during 19S4. e) foreign passenger/combination airlines serving MIA during 1984, with the aircraft types and numbers used during 1984. No other U.S. airport or region would be affected. Ile believe that this exemption could be and should be suggested, so as not to impact the competitive positions implemented, as of Air Florida, All Interested Parties -10- Eastern, Flying Tiger, and Pan American, the respective U.S. bilateral scheduled carriers on some of the affected air routes. The great majority of the affected routes, however, particularly the all -cargo routes to the Caribbean and Latin America, have never been served by any of the major U.S. ATA carriers. This is because of the U.S. A.T.A. carriers lack of economically and technically suitable equipment and resultant operational economics to serve these small markets, which tend to be low yield, but absolutely vital to the economic survival and day-to-day functioning of the countries concerned. As we are all aware, this matter (of exemptions for these foreign airlines' aircraft) is being intensely* opposed by the ATA; but with no alternative solu- tions proposed by the ATA to meet the vital economic and air transportation needs of our southern neighbors. Nor have those opposed shown any concern to the related, and extremely important, U.S. foreign policy issues in this vital area of the world. An exemption for foreign airlines until January 1988 «•ould be consistent 4:ith the previously stated U.S. position on the issue. In comments on U.S. air- craft noise legislation before the 23rd meeting of the ICAO Assembly, October 1, 1980, the FAA Administrator stated: "...1 would hke to point out to those gathered here that my agency, as a matter of domestic lav:,, also h _s v,,hat we call exemption authority. In cases of legitimate need, hard cases, we are legally permitted to issue exemptions «•here they deserve to be issued. We intend to consult with the member states of ICAO, a?ith the affected airlines, to do our best to make sure that we can minimize the impact of this rule, if any there might be, on those airlines that fall under it. V"'e will try to be as sympathetic as we can, . . ." The FAA Administrator clearly saw that there were technical and economic problems in the international area, which would need to be balanced with social and foreign policy needs depending on the international airlines and the U.S. airports involved. There is already a U.S. precedent for an exemption to FAR 36 for certain aircraft. For example, the non -noise compliant models of the BAC111 , B737 and DC9 aircraft are operated by many U.S. airlines into the smaller U.S. cities; and the services provided by these non -compliant aircraft are vital to those small cities. No other suitable aircraft exist to provide these services. Congress, therefore, has granted an exemption to FAR 30, until the ICAO date of January ME, to approximately 360 of the older non -compliant L'AC111, B737 and DC9 aircraft operated by U.S, airlines. (Althouph the B11CI l l has the reputation of producing a far greater perceived noise impact on most U.S. communities than the B707 or DC-8. ) 84-454 All Interested Parties -11- . Had the small countries of the developing nations in the Caribbean and Latin America received the same consideration as the small U.S. cities, at the time that the FAR 36IFAR 91E regulations were being prepared, then Congress undoubtedly would have granted "small -country," or "developing country," exemptions similar to the "small U.S. city" exemptions. The developing countries of the Caribbean and Latin America, however, had no organization in Washington such as the Air Transport Association (ATA) , which is so skilled politically in assisting in the preparation of any federal regulations which might affect their U.S. airline members. There is a further precedent for exemptions to FAR 36, namely the Concorde. FAA granted exemptions sto the Concorde aircraft of Air France and British Airways, because these aircraft had been constructed before 1980 (that is, before FAR 91E) , and because of our close economic and political relationships with 'France and Great Britain. Miami International Airport, which normally tries to closely follow any federal aviation action which might affect our tenant airlines (both U.S. and foreign) and our community, took no early political action against the specific wording of FAR 36/1'AR 91E, because we believed in the sincerity of the U.S. Secretary Of Transportation, when, in z'esponse to a chrect. question at a Senate hearing on this matter: "i . . . do you contemplate that 1herc will be a grounding of the present aircraft?..." the Secretary replied: "...certainly there is no thought on our part, given the present state of technology, of grounding existing aircraft because of noise. However, we do feel that based on advances in technology, the state of the art, if we are able to come up %ti:th some retrofit program which has measurable benefits and which is economically as well as technologically feasible, then we would expect the operators of the aircraft to retrofit within a reasonable period of time..." What has actually occurred to date, is that the new $15 million FAR 36-compliant retrofit engines cannot technically be fitted to the B 707-320 or the DC-8-50 series aircraft, which 35 of these airlines own. The new engines can only be fitted to the DC-8-60 series aircraft, which only four of these airlines 0•:11. The cost-effective 52.5 million "hush -kit" nacelles for the B707-320 and DC-8-50 will not be certificated by FAA at the earliest until late 1984, and probably will not be available for retrofit during scheduled major maintenance checks until 1985. This lack of an-,, technical means of meeting the regulations by December 31, 1984, is, by itself, sound and fair reason for the FAA to grant exemptions to our foreign airlines, as requested herein. These foreign airlines have traditionally bought U.S. aircraft, often used -aircraft from the major U.S. airlines, and have the right to depend on the U.S. to provide, on a timely basis, the hush -kits which were originally promised to Congress by 84-454 • All Interested Parties -17.- the FAA, as a reasonable solution to the adverse impact of the implementation of FAR 36/FAR 91E. We should point out that the FAA is required by Congress to deal with these realities in properly considering exemption requests. The preamble to Public Law 90-411, under- which FAR 36 was issued, specifically states: "... the Administrator is required to consider whether any retrofit rule is economically reasonable, technologically practicable and appropriate for the particular type of aircraft to which it will apply..." On the subject of exemptions, we believed the sincerity of the FAA Administrator, when, in October 1980, he told the ICAO Assembly: "... we are legally permitted to issue exemptions where they deserve to be issued. We intend to consult with the member states of ICAO, with the affected airlines, to do our best to make sure that we can minimize the impact of this role ... on those airlines that fall under it. We will try to be as sympathetic as we can..." Had we not believed in the sincerity of DOT and FAA, we would have drawn to the attention of Congress the potentially devastating effect these regulations could have on the many foreign airlines of the developing nations which use h,;IA as their U.S. gateway; and on the vital need for a "small.-country/developing.-country" excmrption, until. January 1, 19S8, similar to the "small -city" exemption granted to U.S. airlines. 1%le must also believe that the affected foreign airlines, their government representatives, and the U.S. Department of State heard these official statements by DOT and FAA, and believed them to be a fair and reasonable position on a very delicate issue affecting U.S. foreign policy. Obviously, in his public statements to ICAO, the FAA Administrator recognized his responsibilities under Public Law 90-411, and the bilateral aviation policies involved. During 1984, however, the FAA, rather than consult with. -Lhe affected foreign airlines, has clearly reversed its previous reasonable position. In a telegram sent January 1964, through the communications system of the State Department, to every foreign nation, the FAA stated that there would be no exemptions to FAR. 36/FAR 91E. The same negative position \,.,as also communi- cated, in February 1984, to citizens of the United States and their representatives, by the FAA Associate Administrator for Policy and International Aviation. One wonders how, and under what fairness doctrine, the agency that is given responsibility by Congress to consider and grant exemptions, for econotnic and technical reasons, can so negatively pre -judge any exemption recyuest that has not yet even been received for official consideration, and action. To further complicate their handling of this natter, in March 1984, the FAA notified all carriers and interested parties that they must submit their exemption requests by April 1, 1984. FAA's notification at 84-454 t vi All Interested Parties -13- the same time strongly emphasized that FAA was "firmly committed" to the January 1, 1985 compliance deadline, and clearly* indicated that FAA did not intend to really- consider any economic, technical, bilateral or constitutional issues, which certainly would be presented in any exemption request. In a similar manner to the services provided to small U.S. cities by domestic airlines' BAC111, B737 and DC9 aircraft, the services provided at MIA by the international B707, B727-100, CV880 and DC-8 aircraft are absolutely vital to our community. These services are also critical to our presently friendly southern neighbors, and no other suitable aircraft exist to provide these services. Not;,,ever, unlike the many small U.S. communities which would have been affected, if a waiver until January 1, 1988 had not been granted for BACI11, B737 and DC9 type aircraft, Miami stands alone in our international airline situation. No other U.S. city shares our unique geographical location, our international business economy, and our resultant type and volume of international airline service so heavily impacted by FAR 36. 'No other groups of countries so friendly to the U.S. would also be hit so hard by these regulations. Ile can also point out that no other U.S. community, as early as 1972, began a progressive and comprehensive aircraft sound management program, of increased glide slope angles, runway extensions, displaced thresholds, pre- ferential runway -use procedures, etc. , costing well over $50 million. This program has already achieved for the Miami community 95 % of the aircraft noise reductions promised by FAR 36. Miami International Airport also must be the only major airport in the nation, v ith 1,000 aircraft operations a day, which receives very fey noise complaints (less than two per month); and whose business, political and media leadership in the community know their airport and their aviation industry to be the economic keystone of the gross product of their community. This is evidenced by the tremendous positive interest we have received throughout the community on recently inaugurating Concorde services to Miami; and the tremendous support we have received from our %%,hole community on our position to request an exemption to the FAR 36/FAR 91E regulations. This vv-hole matter also raises certain constitutional issues, which, we will not address here, but which the U.S. Government will have an obligation to consider, both from the standpoint of its own citizens and its international commitments. In closing, we would like to bring to your attention the advice of the U.S. Department of State, to Congress, on this matter of unilaterally regulating noise levels of the aircraft of foreign nations: "...We indicated that we were 84-454 e All Interested Parties -14- concerned that unilateral action by the United States regarding aircraft noise which affected foreign aircraft might have a disruptive effect on international cooperation in aviation to our future disadvantage and could provoke retaliation against our aviation interests. We stated our preference that the Congress not mandate a 1985 compliance deadline for aircraft in foreign air transportation and our belief that the Executive Branch should have been given sufficient flexibility to negotiate an internationally acceptable solution reasonably compatible with our own domestic standards..." I enclose a listing of the 47 airlines and the five major aircraft service com- panies at MIA which will be seriously affected by FAR 36/FAR 91E, unless a vital three-year exemptidn to these arbitrary and unilateral regulations is granted, as permitted under Federal law. Exhibit 1 of 3 MIAMI INTERNATI.ONAI1 AIRPORT 37 FOREIGN AIRLINES AFTEGTED BY FAR 36 * = Flag Carrier of Country AIRLINE COUNTRY AIRCRAFT AECA Ecuador DC-8F-54 Aerolineas Argentinas Argentina B707-320C Aeromar Dominican Republic B720F, DC-8-33F, DC-8F-54 Aeromexico * Mexico DC-8-51 Aeronaves del Peru Peru DC-8-61AF, DC-8F-55 Aeronica * Nicaragua B720B, B727-100 Aero Peru * Peru DC-8-62 Air France * French West Indies DC-BF-54, B727-200 (pre-1973) Air Haiti Haiti DC-8-51F Air Panama * Panama B727-100 AN -DES Ecuador DC-8F-55 APA Dominican Republic B707-320C ARCA Colombia DC-8-51F/53F Avianca * Colombia B707-320B Aviateca * Guatemala B727-100 Caribbean Air Cargo ) arbados B707-320C Dominicana * Dominican Republic B727-100 Ecuatoriana * Ecuador B707-320C Fast -Air Chile B707-320C Fawcett Peru DC-8-6.1AF Guyana Airways * Guyana B707-320B INAIR Panama CV880F, DC-8F-55 LAB * Bolivia B707-320C LAC Colombia DC-8F-54 LACSA * Costa Rica DC-8-51F, DC-8F-55 LADECO Chile B727-100 LAN Chile Chile B707-320C LAP * Paraguay B707-320B SAM Colombia DC-SF-55 Seagreen Antigua CV880F SERCA Costa Rica CV880F Surinam Airways * Suriname DC-8F-55 TA,MPA Colombia B707-320C TAN * Honduras B727-100 TAR Argentina B707-320C Varig * Brazil B707-320C VIASA * Venezuela DC-8-63CF AIRLINE Airlift International Arrow Air 10 U.S. AIRLINES AFFECTED BY FAR 36 BASE CITY Challenge Air Transport Fair Air Florida l',est Airlines Flying Tiger Global international Jet Charter Service Rich International Miami Miami/New York Miami Miami Tampa Los Angeles Kansas City Miami Miami ATRCRAPT DC-8-63CF, DC-8-61, DC-SF-54 DC-8-63CF, DC-8-F54 DC-8-62, B707-320C DC-8-F55 CV88OF B707-320C DC-8-61CF, DC-8-63CF B707-320C B707-320C DC-817-55, DC-8-33F, DC-8-62 5 AIRLINE MAINTENANCE BASES AT MIA AFFECTED BY FAR 36 Airteeh Commodore Aviation Airlift General Air Service Batch -Air Exhibit 1 of 3 84--4544 4 Exhibit 2 of 3 MIAMI INTERNNATIONAL AIRPORT SCHEDULED INTERNATIONAL, FI'•_EIGHTER AIRCRAFT DFPARTURES BY U.S. Al":D 11-1- -7 AITTT' T'S, a = Flag Carrier of Country AIRLINE AIRCRAFT TYPE DESTINATION V,7ZEKLY FLIGHTS Jan. 1984 Jan. 1285 Aerolineas Argentinas * B 707-320C Buenos Aires 1 0 Aerolineas Argentinas * B707-320C Sao Paulo 1 0 Aeromar (Dom. Rep.) B72 OF, DC-8-33F, DC-8F-54 Santo Domingo 3 0 Aeronaves del Peru DC-8-61AF, DC-SF-55 Lima 4 0 Aeronaves del Peru DC-8-61AF, DC-8F-55 Talara, Iquitos, Lima 1 0 Air France * DC-8F-54 (chartered) Port-au-Prince, 1 0 Pointe-a-Pitre Air Haiti * DC-8-51F Port-au-Prince 3 0 ANDES(Ecuador) DC-8-F-55 Quito, Guayaquil 3 0 A::I)1 S DC-8-F-55 Guayaquil 2 0 ANDES DC-8-F-55 Panama City, Quito 1 0 APA (Dom. Rep.) B707-320C Santo Domingo, 1 0 Puerto Plata APA B707-3?OC Puerto Plata, 1 0 Santo Domingo ARCA(Colombia) DC-8-51F, DC-8-53F Bogota 3 0 ARCA DC-8-51F, DC-8-53F Cali 2 0 ARCA DC-8-51F, DC-8-53F Medellin 1 0 Avianca (Colombia) * B747-1OOF Cartagena, Bogota 1 1 Avianca * B747-IOOF Bogota 1 1 Avianca * B7u7-100F Barranquilla, Bogota 2 2 Avianca * B747-IOOF Cali, Bogota 2 2 Challenge DC-8-F-55 Iquitos, Lima 2 0 rcuatc:•iana (Ecuador) * B 707-320C Guayaquil, Quito 1 0 u-toriana * B707-320C Quito 2 0 r as-, Air (Chile) B707-320C Santiago 1 0 Fast Air B707-320C Panama City, Santiago 1 0 Faucet; (Peru) DC-8-61AF Lima 3 0 Flying 5.iger (U.S. DC-8-63-CF Manaus, Buenos Aires 1 1(a) Flying Tiger DC-6-63-CF Manaus, Sao Paulo 1 1(a) Flyinc Tiger DC-8-63-CF Rio De Janeiro, Sao 1 1(a) Paulo INAIR ('anama) CV880-F, DC-SF-55 Panama City 4 0 LAB (Bolivia) * B707-320C Santa Cruz 2 0 LAC (Colombia) DC-8F-54 Barranquilla 3 0 LAC DC-8F-54 Medellin, Bogota 1 0 LAC DC-8r'-54 Cali, Bogota 1 0 -! LAC DC-SF-54 Cartagena, Bogota 1 0 -$ LAC DC-8F-54 Bogota 2 0 LACS A ( Costa Rica) * DC-8-51F, DC-BF-55 San Jose 5 0 TA1.4PA(Colombia) 8707-320C Medellin 5 0 -y TAMPA B707-320C Bogota 6 0 _ VAR'G (Brazil) B707-320C Manaus 1 0 VIASr. (Venezuela) DC-8-63CF, Caracas 5 0 TOTAL 1';eekly Flights 83 9 -1 (a) As�:ur,es Flying Tigers operate DC-8-73CFIB747-100F, for service also at JFK and LAX. nl:Gt•LAR ChARTER FOREIGN FREIGHTER AIRCRAFT DEP:1RTURES ..'RLINE L COUNTRY OF ORIGIN AER AECA (l.:cuador) :fir Cargo (Trinidad) Cargolux (Luxei:,burg) S:':I.1 (Cuiur.;his i SEkRica) S1:rin TAR AIRCRAFT B7U7-320C DC-SF-54 B707-320C B747-ROOF DC-BF-55 CV880-1, CA 8fi0-F DC-SF-55 13707-320C DESTINATION Vk'EF.KLY FLIGI3TS Jan. 1964 Jan. 1965 Buenos Aires Guayaquil, Quito Irinivad, 13' rbados, Antigua, Greneda Average Luxembourg 20 San Andr•L's Flights .�"nticua Per Say: .lose Itieek Par:,maribo But -nos AirL'S Total Flights `,;c•�k!•, 20 84-°° 454 LN I-Ijbit 2 of 3 Exhibit 3 of 3 MIANII INTERNATIONAL AIRPORT FOREIGN AIRLINES OPERATING ONLY NON -FAR 36 PASSENGER AIRCRAFT ON INTERNATIONAL ROUTES FROM MIA 11I INTERNATIONAL AIRPORT * = National Flag Carrier Aircraft Airline Type Aeronica (Nicaragua) * B727-100, B720B Aero Peru * DC-8-62 Acro Peru * DC-8-62 Aero Peru * DC-8-62 Air Panama * B7�0-100 Aviateca * B727-100 Dominicana * B727-100 Dominicana * B727-100 Ecuatoriana (Ecuador) * B707-320B B720B Ecuatoriana " * B707-320B B72013 Faucett ( Peru) DC-8-52 / 53 Faucet, 11 DC-8-52/53 Guy�-.na Airy, ays * B707-320B LADECO (Chile) B727-100 LAP Waraguay) * B707-320B Destinations WEEKLY FLIGHTS Jan. 1984 Jan. 1985 Managua Guayaquil, Lima Panama City, Lima Lima Panama City Guatemala City Santo Domingo Puerto Plata Santo Domingo Quito, Guayaquil Guayaquil, Quito Iquitos, Lima Lima Georgetown Bogota, Santiago Asuncion Total Weekly Departures (a) See Notes Below 4 2 2 2 7 7 7 2 ? 2 ? 1 1 2 2 3 2 46 TOTAL INTERNATIONAL -RANGE FLEET OF EACH AIRLINE Aeronica (Nicaragua) Aero Peru Air Panama Aviateca (Guatemala) Dominicana (Dom. Rep.) Ecuatoriana (Ecuador) Faucett (Peru) Guvar,a LADECO (Chile) LAP 1 B720B, 1 B727-100 4 DC-8-62 3 B727-100 2 B727-100 1 B707-320B, 1 B727-200, 2 B727-100 2 B707-320B, 3 B720B 3 DC-8-52/53 1 B707-320B 2 B727-100 3 B707-320B (a) Prissible actions to resume service in the 1985/86 time period. ? (a) . , r.' 7 -i 00 aircraft passenger services, depending upon the range required, could possibly placec b} purchased or lzssed FAIL 36-compliant B727-200's, many of which will be ;ring onto the used -aircraft market in 1985/80, as the major U.S. airlines tale delivery of increasing numbers of nev,- 13757's and 13767's. The B707 zind'DC-8 aircraft passenger services, because of range and load require- ments, and Lt:cause of the_ economics involved on these "long -thin" routes, will have to rely on accoustic-nLcelle "hush -kit" technology, which will not be available until It should btu pointed out that scheduled U.S. flag carrier service .will still be availL,b1c orl trust of these foreign airline B727-l00/L'707/DC-6 passenger aircraft routes, effective Ianuary 1, 1985. Ho%vever, very serious hil«teral treaty issues will be involved if the FAA unilaterally mandates that only U.S. carriers can serve all these routes. Exhibit 3 of 3 84-454