AAAE Exam with complete solutions

When does governmental immunity not apply? - Answer- Negligence, gross negligence, tucker act, fed tort claims act Regulatory agencies - Answer- Tea (screens), NTSB(investigates, non-rulemaking), ICAO (intl, voluntary) Industry trade associations - Answer- Aaae (member focused), ACI (airport focused), Alean (police) IATA (airlines) A4A (airline Lobby), ALPA (pilots), RAA ( regional airlines), nbaa (Corp), aopa (small), Grant assurance 29 ALP - Answer- Future facilities, conforms, land use, Grant assurance 20 hazard removal - Answer- Protects airspace Grant assurance 21 compatible land use - Answer- Attempts to restrict off airport land use Aeronautical use land - Answer- Rw, tw, hangars, gates aoa Non-aeronautical land use - Answer- Parking, concessions, ground trans Off airport compatibilite land use - Answer- Doesn't interfere with flight ops and isn't harmed by Incompatible land use - Answer- Residential, school, church, hospital, places of public assembly Options to attempt to prevent incompatible land use - Answer- aMP integration with local plans Hzo Noise compatibility study Educate zoning Concurrant land use Consequences of incompatible land use - Answer- Displaced threshold Increased risk of accidents Lost instrument approach Airport closure Non- Allowable activities - Answer- Non-aeronautical use of aeronautical areas Grant assurance 19 ops and maintenance - Answer- Achieved by minimum standards, rules and regs, Minimum standards - Answer- For tenants Ensures adequate service Promotes safety and quality Protects airport users Promotes orderly development Prevents disputes Grant assurance 22 economic non discrimination - Answer- No exclusive right to aeronautical tenant unless burdensome (by proof) or if airport self provides few Rules and regulations - Answer- For users and tenants to provide safe and efficient operations Permitted activities - Answer- Self fueling self maintainenance Grant assurance 39 competitive acces - Answer- Must try to accommodate new carriers and report denials Grant assurance 5 preserving rights and powers - Answer- No through the fence Assures rights and powers Yields less revenue Airpark ok Revenue types - Answer- Aeronautical (direct and substantial ) Non aeronautical (incidental) Non operating (taxes, ofc, CFC) Aeronautical revenue sources - Answer- Landing fees(most common) File flowage Land lease and terminal rent Non aeronautical revenue sources - Answer- Terminal rents to concessions Rental car fees Parking lot Ad space Industrial park Grant assurance 25 airport revenues - Answer- Prohibits revenue diversion Grant assurance 26 reports and inspections - Answer- Commercial Sevice airports must report budget paid for services and break down revenues by type Grant assurance 24 fee and rental - Answer- Rates and charges Self sustaining as possible Fees not based on aip improvements Areonutical rate strategy - Answer- At least cover cost Makes access fair and reasonable Non aeronautical use rates - Answer- Fair market value Attempting to be self sustaining Execeptions to fmv - Answer- For community purposes Not for profit Transit Private transit Military Faa rates and charges policy - Answer- Charges for aero must be fair and reasonable Charges must Not unjustly discriminate No diversion Favorable to international carriers too Rate structures - Answer- Residual (airline risk) Compensatory Hybrid Please block subsidy Compensatory agreements - Answer- Involve cost centers Rate base - Answer- Historic, direct negotiation, or fmv Rate base can include - Answer- Cost of facilities Services provided Debt service Cash reserves Environmental costs Airports can make distinctions between signatory and John signatory carriers - Answer- If reasonable When upgrading it systems look for - Answer- Compatibility Security Scalability Usability What is GIS - Answer- Links geographic info with descriptive info Uses of GIS - Answer- Model patterns Reveal relationship Analyze trends Airfield it systems - Answer- Lighting Noise and ops monitoring Vehicle ID $ Passenger processing Business and finance systems Asset management system Physical access control (security ) Facility maintenance Airports ops database Cyber security threats - Answer- Hacking Denial of sevice Out of date network security Email Malware Phishing Spear phishing Id theft Social engineering Commercial general liability insurance covers - Answer- Hangar keeper (aircraft damage) Premises liability (injury) Product liabikity(defective fuel) Risk reduction methods - Answer- Part 139 compliance AMA Inspections Employee screening Notams Blanket insurance riders Environmental policy Part 16 investigation - Answer- Formal complaint Goes to faa attorney Requires good faith effort to resolve Non compliance has penalties Closed fiscal system - Answer- When Airport excepts a grant. Revenues generated by airport must be expended on airport What is the FAA's roll related to operator by law? - Answer- Regulator gift giver permission giver operator of a TC system Part 13 investigation - Answer- Informal complaint Local ado Interactive Filed by tenant it faa Grant assurance highlights - Answer- 20 pages: provides Maintain airport Use land to generate money to support aviation Operate in public interest Avoid exclusive rights Length of grant assurances - Answer- 20 yrs-improvement Life-property Life of asset 3 afftects of grant assurances - Answer- Mechanism to Manage local affairs Meets fed requirements for funds to be used for public air transportation Promotes social objectives Grant assurances - Answer- Hidden regulations Promises Faa most Effective means to eexcite government policy Best practice airport documents - Answer- ACRP -airport management pARAS- airport safety Radio tech com on aeronautics-security access control systems Tsa-security directives and information circulars Difference between ac and order - Answer- Ac-guidance explains intent and compliance Order -instructions to FAA personnel directives fAa business lines relating to airport management - Answer- Ofc of Airports (ado) Air traffic Aviation safety (dado) Commercial space transport fAA major roles - Answer- Regulate aviation safety (not security) Develope civil aeronautics Atc and navaids Develop national airspace system Control noise Regulate commercial airspace Key regulations airport manger should know - Answer- 77 obs 107 uav 150 noise 1542 airport security 1544 airline security 36 engine noise 91 ga ops 121 Carrier ops 135 commuter ops Airport management primary duty - Answer- Safe secure efficient operation of airport and all facilities Airport executive - Answer- Charged with operating airport Knows airport is public entity and business enterprise Implements policy Semi privatized - Answer- Sell or loose public airport to private operation Grant assurances apply Airport privatization program - Answer- Transfer fed obligation and ops, management, and development to private sponsor Exemption from grant assurances Airport ownership structures - Answer- Municipalities Airport authority Port authority State Federal Municipal airport ownership structurr - Answer- Pro: resources, bonding, taxing authority Con: divided attention, conflict of interest, fiscal constraints Airport authority ownership structure - Answer- Pro: focused leadership , better decisions, Con: less resources, no subsidies C - Answer- Challenges for airport operators - Answer- Enterprise fund- operates like a business Inexperience/appointed managers Self-sustaining-faa assists and guides Threatened adjacent airspace Community opposition to general aviation Promoting and communicating benefits of the airport Number of commercial service airport - Answer- 540- faa regulated What portion of emplanments to large hubs serve - Answer- 70% How many existing and proposed npias airport? - Answer- 3345 What are the GA airport classifications? - Answer- National regional local basic Who is the ultimate airport customer? - Answer- The pilot Straight lease - Answer- Constant rate throughout term. Short term Graduated lease - Answer- Rate changes at pre determined levels Revaluation lease - Answer- Periodic evaluation of value of property and rates adjusted accordingly Percentage Lease - Answer- Rent is based on the income that a tenant can produce Three approaches to leasing concessions - Answer- Traditional Development company Institutional operator- master lessee Minimum annual guarantee - Answer- Annual minimum payment plus percentage of gross revenue Property Management - Answer- Activities include leasing property, airport access, and concessions 2 benefits of concessions - Answer- Provides revenue for airport Meets passenger needs Why do concessions charge higher than steer prices at airports? - Answer- Higher rents and operating costs at airport (security and insurance) What's the best way to Balance concessions pricing? - Answer- Competition instead of limiting profit margins or prices in the lease PGL program guidance letter - Answer- Updates aip handbook Types of aip - Answer- Entitlement, set aside, discretionary Factors affecting rental costs in leases - Answer- Location Size of facility Support infrastructure Exposure to traveler flow