[Federal Register Volume 59, Number 238 (Tuesday, December 13, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-30575]


[[Page Unknown]]

[Federal Register: December 13, 1994]


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Part V





Department of Transportation





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Federal Aviation Administration



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14 CFR Parts 121 and 135




Air Carrier and Commercial Operator Training Programs; Proposed Rule
DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Parts 121 and 135

[Docket No. 27993; Notice No. 94-35]
RIN: 2120-AC79

 
Air Carrier and Commercial Operator Training Programs

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of Proposed Rulemaking (NPRM).

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SUMMARY: The FAA proposes to revise the training and qualification 
requirements for certain air carriers and commercial operators by: (1) 
Requiring certain certificate holders operating under part 135, and 
permitting certain others, to comply with part 121 training, checking, 
and qualification requirements, and (2) mandating Crew Resource 
Management (CRM) training requirements for part 121 and certain part 
135 operators. The FAA has proposed these rules in order to make some 
part 135 training requirements as comprehensive as part 121 
requirements and to incorporate recent knowledge about human 
performance factors. The proposed rule would also allow certain part 
135 certificate holders to take advantage of sophisticated aircraft 
simulator training technologies presently available to part 121 
certificate holders. By increasing the training and qualification 
requirements for certain operators, the proposed rule is expected to 
reduce the risk of accidents and incidents. By mandating CRM training 
for certificate holders required to comply with part 121 training 
requirements, the proposed rule is expected to reduce the number of 
accidents and incidents that could be attributed to a lack of crew 
communication and coordination.

DATES: Comments must be received on or before March 14, 1995.

ADDRESSES: Send or deliver comments on this notice in triplicate to: 
Federal Aviation Administration, Office of the Chief Counsel, 
Attention: Rules Docket (AGC-200), Room 915G, Docket No. 27993, 800 
Independence Avenue, SW, Washington, DC 20591. Comments must be marked 
Docket No. 27993. Comments may be examined in the Rules Docket between 
8:30 a.m. and 5 p.m. on weekdays, except Federal Holidays.

FOR FURTHER INFORMATION CONTACT:
Mr. Larry Youngblut, Project Development Branch (AFS-240), Air 
Transportation Division, Flight Standards Service, Federal Aviation 
Administration, 800 Independence Avenue, SW, Washington, DC 20591; 
telephone (202) 267-8096.

SUPPLEMENTARY INFORMATION:

Comments Invited

    Interested persons are invited to participate in the making of this 
proposed rule by submitting such written data, views, or arguments as 
they may desire. Communications should identify the regulatory docket 
or notice number and be submitted in triplicate to the address above. 
All communications received on or before the closing date for comments 
will be considered by the Administrator before taking further 
rulemaking action. Persons wishing the FAA to acknowledge receipt of 
their comments submitted in response to this notice must submit with 
those comments a pre-addressed, stamped postcard on which the following 
statement is made: ``Comments to Docket No. 27993.'' The postcard will 
be dated and time stamped and returned to the commenter. All comments 
submitted will be available, both before and after the closing date for 
comments, in the Rules Docket for examination by interested persons. A 
report summarizing each substantive public contact with FAA personnel 
concerned with this rulemaking will be filed in the docket.

Availability of NPRM

    Any person may obtain a copy of this NPRM by submitting a request 
to the Federal Aviation Administration, Office of Public Affairs, 
Attention: Public Inquiry Center (APA-230), 800 Independence Avenue, 
SW., Washington, DC 20591, or by calling (202) 267-3484. Requests must 
identify the notice number of this NPRM. Persons interested in being 
placed on the mailing list for future NPRMs should also request a copy 
of Advisory Circular No. 11-2A, Notice of Proposed Rulemaking 
Distribution System, which describes the application procedures.

Background

    Federal Aviation Regulations in parts 121 and 135 of Title 14 of 
the Code of Federal Regulations contain rules which specify training 
program requirements for air carriers and certain commercial operators. 
Those rules specify the qualification requirements of crewmembers, 
flight and simulator instructors, check airmen, aircraft dispatchers, 
and other operations personnel. The most detailed and rigorous training 
and qualification requirements are those contained in subparts N and O 
of part 121. Although subparts N and O have been amended a number of 
times in recent years, most of the amendments concern the use of 
simulators, training devices, or specific training requirements such as 
security and the transportation of hazardous materials. No 
comprehensive changes have been made to these subparts since December 
1969.
    The FAA's most immediate concerns regarding the training and 
qualification regulations in part 121 and part 135 are twofold. First, 
compared to part 121 training regulations, part 135 training 
regulations do not provide a balanced mix of training and checking. 
Second, current parts 121 and 135 training regulations do not 
incorporate recent knowledge about the significance of human 
performance factors (e.g., communication, decision-making, leadership, 
management) in safe flight operations.
    In December, 1986, in response to a Safety Recommendation from the 
National Transportation Safety Board (NTSB), the FAA specifically 
addressed the human factors training issue by initiating an aviation 
behavioral technology program. This ongoing program consists of 
projects that, among other things, increase the use of line operational 
simulations (LOS) to improve cockpit/cabin communication and 
coordination skills, and pilot decision-making skills.
    In June 1988, the NTSB issued Safety Recommendation A-88-71 
concerning CRM training. The NTSB issued the recommendation as a result 
of a Northwest Airlines crash on August 16, 1987, in which 148 
passengers, 6 crewmembers, and 2 people on the ground were killed. The 
NTSB noted that both pilots had received single-crewmember training 
during their last simulator training and proficiency checks and the 
last CRM training they had both received was 3.5 hours of ground school 
(general) CRM training in 1983. The NTSB implied that the accident 
might have been prevented had the flight crew received adequate CRM 
training.
    After soliciting ideas from other government agencies and from the 
aviation community, the FAA published a proposed Special Federal 
Aviation Regulation (SFAR) and accompanying draft advisory circular 
(AC) in the Federal Register (54 FR 7670, February 22, 1989). These 
documents proposed a voluntary, alternative method of complying with 
the training requirements in current regulations. The voluntary 
alternative training is called an ``advanced qualification program'' 
(AQP). After considering comments received, the FAA issued a final SFAR 
58, Advanced Qualification Program, and an accompanying advisory 
circular (55 FR 40262, October 2, 1990). This voluntary program applies 
to certificate holders operating under part 121 or part 135 who elect 
the alternative requirements of AQP which includes CRM training and 
evaluation, increased use of LOS, use of training centers, and the 
evaluation of flight training devices and flight simulators.
    To date, the larger and more sophisticated air carriers have taken 
advantage of the voluntary program. The FAA expects this to be the case 
for the foreseeable future. The FAA recognizes that many operators, 
particularly smaller operators, may be unable to take advantage of the 
voluntary program. Since these operators will elect not to participate 
in the voluntary AQP program and will instead comply with current 
training requirements in parts 121 and 135, the FAA proposes to amend 
the current training requirements of parts 121 and 135 to address the 
most immediate concerns regarding improved aircrew training and 
qualification standards. In particular, all certificate holders 
operating under part 121, and those certificate holders operating under 
part 135 who are authorized or required to follow part 121 training and 
qualification requirements, would be required to include CRM in their 
training programs.
    Another recommendation from other government agencies and the 
aviation community was that commuter air carriers conducting operations 
under part 135 with airplanes that require two pilot crewmembers should 
also be required to comply with the training, checking, and 
qualification requirements of part 121. Many regional air carriers 
operate under both parts 121 and 135. The Regional Airline Association, 
on December 10, 1991, petitioned the FAA for an exemption to allow its 
members to train, check, and qualify their pilots under part 121 rather 
than under part 135. The FAA granted exemption No. 5450 on May 8, 1992, 
and now over 60% of those certificate holders that operate under both 
parts 121 and 135 have obtained approval to train, check, and qualify 
their pilots pursuant to part 121.
    The FAA has issued two NPRM's that are relevant to this rulemaking. 
Notice No. 92-10 (57 FR 35888, August 11, 1992) relates to the use of 
training centers by certificate holders who do not elect to come under 
an AQP. The second NPRM, Notice No. 93-1 (58 FR 15730, March 23, 1993), 
is of particular importance to those certificate holders who operate 
under part 135 that would be affected by the mandatory requirements of 
this proposal. If the pilot operating and experience requirements 
proposed in Notice No. 93-1 are adopted, the new crew pairing and 
consolidation of knowledge and skills requirements would apply to those 
part 135 operators who are required or who elect to comply with the 
requirements of subparts N and O of part 121. Therefore, affected part 
135 certificate holders are invited to consider the applicability of 
Notice No. 92-10 and Notice No. 93-1 to their operations when 
commenting on this notice. By this notice, the FAA is not reopening the 
comment period for those NPRM's. The FAA could adopt the proposals in 
those NPRM's and still consider whether to apply those provisions to 
part 135 certificate holders in this proposed rulemaking.

The Proposed Rule

General Applicability

    The proposed amendments to part 121 would apply to all certificate 
holders operating under part 121 and to certain certificate holders 
operating under part 135 who would be required to comply with the part 
121 training qualification requirements. The proposed requirements 
would also apply to certain part 135 certificate holders if they apply 
for and receive FAA authorization to comply with the part 121 training 
and qualification requirements.

Commuter Operations Conducted Under Part 135

    Part 135 commuter operations serving small and medium sized 
communities carry millions of passengers every year. The Regional 
Airline Association (RAA), whose membership consists primarily of 
commuter air carriers, estimates that more than 61 million passengers 
will be carried by RAA member airlines in 1997. Comprehensive training 
requirements, including CRM training, are important to the safety of 
these operations. Part 121 training would benefit these operations 
because it provides more emphasis on training, whereas current part 135 
rules rely more heavily on the testing and checking requirements set 
forth in subparts G and H of part 135. Part 121 also allows greater use 
of simulators resulting in two benefits:
    (1) Under Sec. 121.407(c), simulator training can be substituted 
for repetitive proficiency checks (Sec. 121.441) and certain recency 
requirements (Sec. 121.439). This allows for greater flexibility and a 
more effective mix of training and checking activities.
    (2) Simulator training may include hazardous scenarios that would 
be imprudent to be included in inflight training. This also increases 
pilot proficiency.
    The proposed amendments to Secs. 121.431, 135.3, 135.241, 135.291, 
and 135.321(a) require the following certificate holders conducting 
commuter operations under part 135 to comply with the training, 
checking, and qualification requirements of part 121, subparts N and O, 
in place of the requirements of subparts E, G, and H of part 135: (1) 
Those that conduct commuter operations with airplanes for which two 
pilots are required by aircraft type certification rules, and (2) those 
that conduct commuter operations with airplanes having a passenger 
seating configuration, excluding any pilot seat, of 10 seats or more.
    The term ``commuter operations'' will apply to both intrastate and 
interstate operations with the frequency of operations set forth in the 
definition of ``Commuter Air Carrier'' in SFAR 38-2. Thus, intrastate 
operations as described above with a frequency of operations described 
in SFAR 38-2's definition of ``commuter air carrier'' would also be 
subject to the proposals in this NPRM.
    The proposed rule also allows the Administrator to authorize any 
other certificate holders that conduct operations under part 135 to 
comply with the training, checking, and qualification requirements of 
subparts N and O of part 121. These operations would include commuter 
operations using aircraft that do not meet the criteria outlined above 
and all unscheduled operations conducted under part 135. However, 
because of the size and scope of these operations, the FAA proposes to 
permit these certificate holders to comply with the operating 
experience requirements in Sec. 135.244 instead of those in 
Sec. 121.434.
    Each certificate holder operating under part 135 that would be 
required under proposed Sec. 135.321(b) to comply with the training and 
qualification requirements of part 121, subparts N and O, would also be 
required to submit and obtain FAA approval of a transition plan 
converting from part 135 to the part 121 training and checking 
requirements. In the proposed plan the certificate holder should 
address issues such as: (1) whether currently employed crewmembers need 
additional training to meet minimum part 121 training and qualification 
requirements; and (2) whether and how the certificate holder's training 
curriculum will be modified to meet part 121 requirements.
    Although not part of the transaction plan, the proposed change to 
Sec. 121.405 would also require certain part 135 certificate holders to 
modify their training program manual contents. Under proposed 
Sec. 121.405(g) a certificate holder may request a reduction in the 
programmed hours of ground training from the minimum hours required 
under present Sec. 121.419. A reduction may be warranted in cases where 
a certificate holder shows that the airplanes it operates under part 
135 are less complex than those generally operated under part 121.

Crew Resource Management (CRM) Training

    A major objective of this proposed rule is to require all 
certificate holders operating under part 121 and certain certificate 
holders operating certain airplanes under part 135 to provide CRM 
training. Over the last decade, a number of air carrier incidents and 
accidents have been attributed, in part, to the lack of CRM skills 
(e.g., communication, decision-making, leadership, management). Over 
the last decade 24 part 121 accidents were reported by the NTSB as 
having resulted, in part, from CRM-related causes. National Aeronautics 
and Space Administration (NASA) studies over the last ten years 
indicate more than 60% of fatal air carrier accidents were not directly 
linked to mechanical failure or lack of pilot skills, but rather to 
human error. These NASA studies emphasize a training deficiency in 
areas related to human performance factors, such as poor group 
decisionmaking, ineffective communication, inadequate leadership, and 
poor task and resource management. The NTSB's study, ``A Review of 
Flightcrew-involved Major Accidents of U.S. Air Carriers 1978 through 
1990,'' states ``a comprehensive CRM program is one tool an air carrier 
can use to improve both decisionmaking and monitoring/challenging by 
crewmembers.'' Since 1990 the NTSB has issued two safety 
recommendations (A-89-124 and A-93-37) that recommend that CRM training 
be added to crewmember training programs. For a list of FAA and NASA 
publications and reports and related research findings and 
publications, see AC 120-51A, as amended, ``Crew Resource Management 
Training.''
    In addition, certain events may occur during flight where the 
activities of flight crewmembers and flight attendants must be 
coordinated. One of the prerequisites for crew coordination is 
effective communication between all crewmembers. In a 1986 survey of 
safety representatives and flight attendants, only 37% of the flight 
attendants and 60% of the pilots said that they thought communication 
between the flight crew and cabin crew was adequate.
    Similarly, clear communication between aircraft dispatchers and 
flight crewmembers is essential to flight safety. Poor communication 
between dispatchers and the flight crew may jeopardize flight safety.
    CRM training teaches crewmembers and aircraft dispatchers to use 
effectively all resources available to the crew (e.g. hardware, 
software, and all persons involved in aircraft operation) to achieve 
safe and efficient flight operations. Proposed amendments to 
Secs. 121.404, 121.419(a)(1), 121.421(a)(1), 121.422(a)(1), and 
121.427(b)(4) require that each ground training portion of an approved 
training program provide approved CRM training to flight crewmembers, 
flight attendants, and aircraft dispatchers. If this NPRM becomes a 
final rule, part 135 certificate holders who would be required or who 
successfully obtain FAA authorization to conduct training under part 
121 would also be required to provide CRM training as part of their 
approved training programs.
    The FAA anticipates that for a CRM training program to be approved 
it would include three distinct components: (1) An indoctrination/
awareness component during which CRM issues are defined and discussed; 
(2) a recurrent practice and feedback component during which trainees 
gain experience with CRM techniques; and (3) a continuing reinforcement 
component which ensures that CRM principles are addressed throughout 
the trainee's employment with the certificate holder. Advisory Circular 
(AC) 120-51, as amended, ``Crew Resource Management Training,'' and AC 
121-XX, ``Dispatcher Resource Management Training'' provide basic 
guidance in establishing approved CRM training. (In this notice, the 
term ``CRM'' includes both crew resource management and dispatcher 
resource management.) DOT/FAA/RD-92-26, ``Crew Resource Management: An 
Introductory Handbook,'' goes into further detail.
    Proposed Sec. 121.404 includes initial CRM training for persons 
already employed by the certificate holder, and for new employees of 
the certificate holder, unless a new employee has completed the 
applicable initial CRM training from another certificate holder. The 
FAA anticipates that this component will be very similar for all 
certificate holders.
    CRM initial indoctrination/awareness training is a curriculum 
segment with a variety of instructional methods, which can include 
lectures, discussions, films, practice in an operational setting or a 
LOS session, and feedback with a facilitator. CRM initial 
indoctrination/awareness training must be provided to all crewmembers, 
including flight attendants, and to aircraft dispatchers; this training 
is in addition to existing training. Under proposed Sec. 121.406, the 
FAA may credit some CRM/DRM training received before the compliance 
date in the proposed rule. Some operators have been providing CRM/DRM 
training under AQP or under voluntary programs. In appropriate 
circumstances, the FAA may credit part or all of such training toward 
the initial ground CRM/DRM training which would be required by proposed 
sections 121.419, 121.421, and 121.422.
    The recurrent practice and feedback component of CRM training is 
best accomplished through the use of simulators and video equipment. 
However, if the use of simulators is not practical, CRM scenarios can 
be created without simulators and practice can be tape recorded to 
provide feedback. Feedback should be directed by a facilitator who has 
had appropriate CRM training. Practice and feedback provide 
participants with self and peer critiques to improve communication, 
decision-making, and leadership skills.
    The FAA would approve a recurrent training program under proposed 
Sec. 121.427 that included CRM recurrent practice and feedback and 
continuing reinforcement training components, and a refresher 
curriculum segment in the principles of CRM. Ideally, for flight 
crewmembers continuing reinforcement may be accomplished, as authorized 
in proposed Sec. 121.427(b)(4), during an approved simulator line 
operational flight training (LOFT) session. This could include use of 
special purpose operational training (SPOT) which is a type of line 
operational simulation (LOS) that may be used to train coordinated crew 
performance in specific subjects such as windshear training, use of 
special navigation equipment, etc. CRM reinforcement may be 
incorporated into existing SPOT scenarios. It may also be incorporated 
into LOS-like scenarios that do not use simulators. Advisory Circular 
(AC) 120-35B, Line Operational Simulators: Line Oriented Flight 
Training, Special Purpose Operational Training, Line Operational 
Evaluation, provides suggested guidelines for the design and 
implementation of LOS. Recurrent CRM training will be provided to all 
crewmembers and aircraft dispatchers.
    The FAA estimates that the proposed CRM training requirement will 
increase the present minimum programmed hours of instruction for 
initial and recurrent training. For initial training for pilots and 
flight engineers, the FAA estimates that CRM training will add 12 hours 
to present requirements. For initial training for flight attendants and 
aircraft dispatchers, the increase is estimated to be 8 hours. For 
recurrent training, the estimated increase is 4 hours for pilots and 
flight engineers and 2 hours for flight attendants and aircraft 
dispatchers. To reflect these estimated increases in programmed hours 
of training, changes are proposed to Sec. Sec. 121.419(b) (1) and (2), 
121.421(c) (1) and (2), 1212.422(c) (1) and (2) and 121.427(c). The FAA 
invites comments on these estimates and, if adequate justification is 
received, will consider reducing the increases in minimum required 
hours in the final rule. In this regard, the FAA points out that under 
existing regulations (i.e., Sec. 121.405(d)) individual certificate 
holders may be granted reductions in programmed hours when justified 
under that paragraph. When the Administrator approves a request to 
reduce programmed hours of training, a copy of the Administrator's 
statement is included in the training program curriculum pursuant to 
Sec. 121.403(b)(6).

Editorial Change

    A proposed change to Sec. 121.135(b)(15) would make it clear that 
the certificate holder's manual must include the entire training 
program curriculum required under Sec. 121.403, not just the program 
affecting airmen.

Effective Date and Compliance Dates

    The FAA is proposing an effective date of 90 days after these 
proposals are published as a final rule. By that date certificate 
holders operating under part 135 who are required to comply with 
applicable part 121 training and qualification requirements, would have 
to submit the transition plan required under proposed Sec. 135.321(b). 
The proposed compliance date in Sec. 135.10 for training and qualifying 
under part 121 rules is 1 year after the effective date of the final 
rule.
    For initial CRM training, the FAA proposes a compliance date 2 
years after the effective date of the final rule for flight 
crewmembers, and 3 years after the effective date of the final rule for 
flight attendants and aircraft dispatchers. After the applicable date, 
a certificate holder would be prohibited from using a crewmember or 
dispatcher unless that person has completed approved crew or dispatcher 
resource management initial training. Since a large number of 
certificate holder employees are required to have this training, the 
delayed compliance date will allow sufficient time to train instructors 
conducting CRM training, and then, in turn, provide this training to 
all crewmembers and dispatchers.
    The FAA requests comments on the appropriateness of the proposed 
effective and compliance dates.

Regulatory Evaluation Summary

    Proposed changes to Federal regulations must undergo several 
economic analyses. First, Executive Order 12866 directs that each 
Federal agency shall propose or adopt a regulation only upon a reasoned 
determination that the benefits of the intended regulation justify its 
costs. Second, the Regulatory Flexibility Act of 1980 requires agencies 
to analyze the economic effect of regulatory changes on small entities. 
Third, the Office of Management and Budget directs agencies to assess 
the effect of regulatory changes on international trade. In conducting 
these analyses, the FAA has determined that this proposed rule would 
generate benefits that justify its costs and does not meet the criteria 
of ``a significant regulatory action'' as defined in the Executive 
Order but is significant under the Department of Transportation 
Regulatory Policies and Procedures. The proposal would not have a 
significant impact on a substantial number of small entities. And, the 
proposal would not constitute a barrier to international trade. These 
analyses, available in the docket, are summarized below.

Costs

    This section discusses costs of the new requirements that this NPRM 
would impose on parts 121 and 135 operators. The regulatory evaluation 
assumes a 7 percent discount rate as mandated by the Office of 
Management and Budget (OMB). The analysis also uses a 6 percent growth 
rate for commuters and a 4 percent growth rate for air carriers for the 
next decade.
    The new hire rate affects the amount of initial training required. 
This rate varies widely within the industry depending on economic 
cycles, birth and death of airline companies, and long-term industry 
growth. The FAA has developed two cost estimates. The first uses a 10 
percent and the second a 20 percent new hire rate. Costs for a single 
year refer to those using a 20 percent new hire rate (the higher of the 
two costs), while for the total 10 year costs the analysis shows a 
range representing the difference between the 10 percent and 20 percent 
new hire rates.
    Each operator will incur a small administrative effort related to 
establishing these new requirements within its existing training 
program. The FAA estimates that operators on average will incur a one 
time burden of about 8 hours of administrative time. This relatively 
small burden is subsumed in the non-wage training costs.
Part 121  Training for Part 135 Crews
    The proposed rule would require part 121 training standards for 
part 135 crewmembers of airplanes either certificated for two pilots or 
having 10 or more passenger seats. The amendment exempts currently 
employed part 135 pilots and flight attendants from initial and 
transitional part 121 training. However, it imposes a recurrent 
training requirement on currently employed crewmembers to meet part 121 
qualifying standards during their first recurrent training. New 
crewmembers under part 135 would receive initial part 121 training.
    Many commuter airlines already train their cockpit crew at a level 
comparable to part 121 operators. Primarily, this group consists of 
those airlines where the carrier operates aircraft under both parts 121 
and 135. The FAA estimates that the proposed rule would affect 3,400 
employees: 1,100 pilots-in-command (PICs), 1,400 second-in-command 
officers (SICs), and 900 flight attendants who work for strictly part 
135 operators. The hourly wage rate (including benefits) equals $43 for 
PICs, $28 for SICs, and $23 for flight attendants who work for the 
regional airlines. Travel and per diem expenses equal $250 per round 
trip and training expense totals $90 a day.
    For 1995, initial and transitional training costs for part 135 
crewmembers would increase by about $1.9 million; first year recurrent 
cost of training (expected to be more extensive than later recurrent 
training) would increase by $3.0 million. Recurrent training cost after 
the first year would increase by $2.1 million. For the period 1994 
through 2003, the discounted incremental cost to part 135 operators 
ranges from $27.1 (10 percent new-hire rate) to $35.7 million (20 
percent new-hire rate).
CRM Training
    The NPRM would require parts 121 and 135 operators affected by the 
proposal to train all crewmembers in cockpit resource management (CRM). 
Although the proposed rule would provide some flexibility in curricula 
design, an FAA-approved CRM training program would include: (1) 
Awareness of CRM issues where aspects of the problem are discussed; (2) 
practice and feedback where crewmembers learn CRM techniques; and (3) 
reinforcement where CRM principles are strengthened.
Part 121 CRM Training Costs
    The FAA estimates that part 121 personnel requiring CRM equals 
about 32,600 pilots-in-command; 33,900 copilots, 10,000 flight 
engineers, 84,000 flight attendants; and 1,100 dispatchers. Under the 
proposed rule, the FAA projects that PICs, SICs, and flight engineers 
would receive 12 hours of CRM awareness training and 4 hours annually 
of CRM refresher training. Flight attendants and dispatchers would 
receive 8 hours initial and 2 hours of recurrent training.
    For PICs, SICs, and flight engineers, the proposal would require 
CRM awareness training within two years of the effective date of the 
proposed rule; for flight attendants and dispatchers, it would require 
completion within three years. All crewmembers would receive recurrent 
CRM training annually.
    The number of pilots undergoing initial training in the two-year 
phase-in equals the total number of pilots plus new hires. The hourly 
wage rate (including benefits) used in this analysis equals $55 for 
PICs, $38 for SICs, $38 for flight engineers, $27 for flight 
attendants, and $18 for dispatchers. The initial training during the 
first two years would cost approximately $55 million each year. Initial 
training would amount to about $10 million annually after the two-year 
phase-in period. Recurrent training would total about $32 million 
annually.
    Initial training for flight attendants and dispatchers over the 
three-year phase-in period would total $17 million. Initial and 
recurrent training for flight attendants and dispatchers after the 
third year would be $4 million and $17 million, respectively
    Over the period 1995 through 2004, the discounted cost for part 121 
CRM training ranges from $473 (10 percent new hire rate) to $569 
million (20 percent new hire rate).
Part 135  CRM Training
    The FAA estimates that the NPRM would require CRM for 3,360 
commuter airline flight crewmembers. CRM awareness training would cost 
$300 for 12 hours of PIC and SIC training and $200 for 8 hours of 
flight attendant training.
    As in the case of the part 121 CRM training, the proposed rule 
would require CRM awareness flight crew training within two years of 
the effective date of the rule; for flight attendants, the proposed 
rule would require completion within three years. All crewmembers would 
receive annual recurrent CRM training. The hourly wage rate (including 
benefits) used in this analysis equals $43 for PICs, $28 for SICs, and 
$14 for flight attendants.
    Part 135 CRM awareness training for the two-year phase-in period 
under the NPRM would cost $1.6 million, and after the second year the 
training would cost $0.5 million annually. Recurrent CRM commuter pilot 
instruction would cost $0.7 million annually.
    CRM awareness training for part 135 flight attendants would cost 
$0.4 million annually for the three-year phase-in period. The cost 
would total $64,000 per year, thereafter. Recurrent training would cost 
approximately $137,000 annually. Over the decade, CRM training would 
the industry cost would range from $9.5 (10 percent new hire rate) to 
$11.8 million (20 percent new hire rate).
Total Costs
    The total discounted cost of the proposed rule would range from 
$510 to $616 million over the next 10 years. The cost of CRM for part 
121 personnel makes up the largest portion of the cost estimate ranges 
from $473 to $569 million. The discounted 10-year cost for commuter 
personnel CRM would vary from $9 to $12 million. The training upgrade 
for large commuter aircraft would range from $27 to $36 million.

Benefits

    The proposed rule would improve aviation safety by upgrading 
training standards for pilots flying part 135 aircraft either certified 
for two pilots or having 10 or more passenger seats. Also, the NPRM 
would instruct air carrier (part 121) and commuter (part 135) crews in 
CRM techniques. This summarizes the analysis of benefits from this 
training.
Part 135 Pilot Training Upgrade
    During 1982 through 1992, pilot error was a probable cause in 39 
accidents involving part 135 aircraft of the type affected by this 
proposal. These accidents caused 93 fatalities and 55 serious injuries. 
During this same period, commuter operators flew 41.15 million flights 
resulting in a commuter accident rate due to pilot error of .9478 
accidents per million commuter flights.
    Projected benefits equal the product of the accident rate times 
projected flights times the average cost of pilot-error accidents. For 
instance, in 1994 the estimated value of benefits equals:

[.9478 ACCIDENTS/MILLION FLIGHTS] x [5.0 MILLION FLIGHTS] x [$7.838 
MILLION]=$37.144 MILLION
    If the proposed rule could reduce the pilot-error accident rate to 
zero, the total value over the period 1995 through 2004 would total 
$418 million. The discounted value of these benefits equals $289 
million. However, at most the rule would reduce the part 135 pilot-
error accident rate down to the rate sustained by part 121 operators.
    The FAA estimates the pilot-error accident rate for part 121 pilots 
to equal 0.7 accidents per million flights. Since the pilot-error 
accident rate for part 135 operators equals 0.9478 accidents per 
million, the proportion of available benefits for part 135 flights 
equal just over one-fourth accident per million flights [((0.9478-0.7)/
0.9478))=0.26]. Also reducing the available benefits, the commuter 
operators would not complete training for two years. Hence, the 
estimated value of the benefits of this proposed rule totals $62 
million.
Part 135  Crew Resource Management Training
    During the period 1982 through 1992, 13 part 135 accidents resulted 
from crew coordination problems, resulting in an accident rate of 0.158 
per million flights. These accidents resulted in 85 fatalities, 35 
serious injuries, and 43 minor injuries. The average benefit value of 
avoiding an accident including fatalities, injuries, value of aircraft, 
and accident investigation costs equals $19.545 million.
    The FAA estimated the value of potential benefits by multiplying 
the average value of a part 135 CRM-related accident ($19.545 million) 
by the number of potential accidents (accident rate times projected 
flights). For 1995, the estimate equals:

[.158 ACCIDENTS/MILLION FLIGHTS]  x  [5.0 MILLION FLIGHTS]  x  [$19.545 
MILLION] = $15.411 MILLION

    The discounted benefits over the next decade equal $98 million.
Part 121  Crew Resource Management Training
    Between 1982 and 1992, there were 23 part 121 air carrier accidents 
reported by NTSB that resulted, in part, from CRM-related causes. These 
accidents caused 324 fatalities and 91 serious injuries. The part 121 
CRM accident rate equals 0.3938 accidents per million flights.
    The FAA estimated the value of potential benefits by multiplying 
the part 121 CRM accident rate by the number of flights times the 
average value per accident. The CRM benefits for 1995, for instance, 
equal:

[.3938 ACCIDENTS/MILLION FLIGHTS]  x  [6.6 MILLION FLIGHTS]  x  
[$35.527 MILLION] = $87.139 MILLION

    Over the next 10 years, the FAA projects the discounted value of 
benefits is $619 million. However, about one-third of part 121 pilots 
(those not in AQP) will begin training in 1995 and airlines would 
finish training in late 1996. The estimated potential benefits for part 
121 CRM training equals $581 million.

Benefit-Cost Comparison

Part 135  Training Upgrade
    Benefits from upgrading part 135 flight crew training to the part 
121 level would result in a reduction in pilot-error commuter 
accidents. The FAA estimates that the expected benefits of this 
provision would total $62 million over the next decade. This evaluation 
estimates that the discounted training costs for large part 135 
operators would increase anywhere from $27 to $36 million. Hence, the 
FAA concludes that the benefits of this provision exceed its costs.
CRM Training for Part 121 Operators
    The FAA calculates the discounted benefits from requiring CRM 
training for part 121 personnel to equal $581 million. The estimated 
additional cost to airlines would range from $473 to $569 million over 
the decade. Hence, the FAA determines that this proposed provision is 
cost beneficial.
CRM Training for Part 135 Operators
    The FAA estimates the benefits from requiring CRM training for part 
135 personnel to equal $98 million over the next decade. The cost of 
training would range from an additional $9 to $12 million for part 135 
operators. Hence, the FAA determines that this requirement is cost 
beneficial.
    Each provision of this proposal has potential benefits in excess of 
expected costs. Hence, the FAA concludes that the proposal is cost 
beneficial.

International Trade Impact

    The NPRM would have small impact on U.S. air carriers that foreign 
air carriers would not have to bear. The FAA estimates a total of 6.2 
billion total enplanements with a total of CRM training over the next 
10 years of about $581 million. Hence, the per emplanement cost over 
the next 10 years for part 121 carriers increases by about $0.09 per 
enplanement.

Initial Regulatory Flexibility Determination

    The Regulatory Flexibility Act of 1980 (RFA) was enacted by 
Congress to ensure that small entities are not unnecessarily and 
disproportionately burdened by Government regulations. The RFA requires 
agencies to review rules that may have ``a significant economic impact 
on a substantial number of small entities.''
    The proposed rule would affect those small entities regulated by 
parts 121 and 135. The FAA's criteria for ``a substantial number'' are 
a number that is not less than 11 and which is more than one-third of 
the small entities subject to the proposed rule. For air carriers, a 
small entity has been defined as one who owns, but does not necessarily 
operate, 9 aircraft or less. The relevant FAA criteria for ``a 
significant impact'' is an incremental cost of $61,000 per year for a 
scheduled air carrier with a fleet size of 60 seats or fewer, and 
$110,100 for a scheduled air carrier with aircraft fleet size of more 
than 60 seats.
    The FAA has identified 35 part 121 operators who operate 9 or fewer 
aircraft. The FAA assumes that an average crew size consists of one 
pilot-in-command, one second-in-command, and three flight attendants. 
The FAA also assumes that operators employ two crews per plane.
    The FAA estimates that annualized CRM training for each aircraft 
would amount to $6,120 annually. This estimate includes initial 
training and recurrent training averaged over the decade for a crew of 
two pilots (PIC and SIC) and four flight attendants. The analysis 
assumes three crews per aircraft and a 20 percent turnover. Hence, the 
expected CRM training cost will not exceed $55,080 (9 times $6,120). 
This cost falls below the ``significant impact'' threshold cost of 
$110,100. Hence, CRM training costs would not impose a significant 
burden on a substantial number of small part 121 operators.
    Seventy-three part 135 scheduled operators affected operate 9 or 
fewer aircraft. The FAA estimates an annualized cost of $13,180 for 
part 135 training upgrade for crewmembers for one aircraft; CRM would 
carry an annualized cost of $4,000. The total training costs equal 
$17,180 ($13,180 + $4,000). This estimate assumes three crews per 
aircraft with each crew consisting of a PIC, a SIC, and two flight 
attendants. This estimate includes initial training and recurrent 
training averaged over the decade and a 20 percent markup for turnover. 
Training costs for small entities with 4 to 9 aircraft would exceed the 
threshold (4  x  $17,180 = 68,720). However, FAA data shows 16 
scheduled part 135 operators of the type affected by this NPRM that 
operate between 4 and 9 aircraft. Since the number of companies 
represents about 22 percent of the 73 operators affected by this 
proposed rule, the FAA concludes that the proposed rule would not have 
a significant economic impact on a significant number of small part 135 
scheduled operators.

Federalism Implications

    The proposed regulations do not have substantial direct effects on 
the states, on the relationship between the national government and the 
states, or on the distribution of power and responsibilities among 
various levels of government. Thus, in accordance with Executive Order 
12612, it is determined that such a regulation does not have federalism 
implications warranting the preparation of a Federalism Assessment.

Paperwork Reduction Act

    The reporting and recordkeeping requirement associated with this 
proposed rule is being submitted to the Office of Management and Budget 
for approval in accordance with 44 U.S.C. Chapter 35 under the 
following:
    OMB No: New;
    Administration: FAA;
    Title: Air Carrier Training Programs;
    Need for Information: If adopted, this NPRM requires each part 121 
and each part 135 certificate holder that conducts scheduled operations 
to develop a CRM training program and a transition plan to the training 
and qualification requirements of part 121;
    Proposed Use of This Information: The FAA requires this information 
to evaluate each certificate holder's proposed CRM training program and 
to ensure certificate holders are providing the highest possible level 
of training and qualification standards;
    Frequency: One-time;
    Burden Estimate: 1,760 total hours;
    Respondents: Parts 121 and 135 certificate holders;
    Form(s): None;
    Average Burden Hours Per Respondent: 8;
    For further information contact: The Information Management 
Division, M-34, Office of the Secretary of Transportation, 400 Seventh 
Street, SW., Washington, DC 20590, (202) 366-4735 or the Office of 
Management and Budget, Office of Information and Regulatory Affairs, 
Desk Office for the FAA, New Executive Office Building, Room 3228, 
Washington, DC 20503, (202) 395-7340. It is requested that the comments 
sent to OMB also be sent to the FAA rulemaking docket for this proposed 
action.

Conclusion

    For the reasons set forth under the heading ``Regulatory 
Analysis,'' the FAA has determined that this proposed regulation: (1) 
is a significant rule under Executive Order 12866; and (2) is a 
significant rule under Department of Transportation Regulatory Policies 
and Procedures (44 FR 11034; February 26, 1979). Also, for the reasons 
stated under the headings ``Trade Impact Statement'' and ``Regulatory 
Flexibility Determination,'' the FAA certifies that the proposed rule 
will not have a significant economic impact on a substantial number of 
small entities. A copy of the full regulatory evaluation is filed in 
the docket and may also be obtained by contacting the person listing 
under FOR FURTHER INFORMATION CONTACT.

List of Subjects

14 CFR part 121

    Air carriers, Aircraft, Airmen, Air safety, Air transportation, 
Aviation safety, Drug abuse, Drug testing, Narcotics, Reporting and 
recordkeeping requirements, Safety, Transportation.

14 CFR part 135

    Air carriers, Aircraft, Airmen, Air taxis, Air transportation, 
Airworthiness, Aviation safety, Reporting and record keeping 
requirements, Safety.

The Proposed Amendment

    The Federal Aviation Administration proposes to amend parts 121 and 
135 of the Federal Aviation Regulations [14 CFR parts 121 and 135] as 
follows:

PART 121--CERTIFICATION AND OPERATIONS: DOMESTIC, FLAG, AND 
SUPPLEMENTAL AIR CARRIERS AND COMMERCIAL OPERATORS OF LARGE 
AIRCRAFT

    1. The authority citation for part 121 continues to read as 
follows:

    Authority: 49 U.S.C. app. 1354(a), 1355, 1356, 1357, 1401, 1421-
1430, 1472, 1485, and 1502; and 49 U.S.C. 106(g).

    2. Section 121.135(b)(15) is revised to read as follows:


Sec. 121.135  Contents.

* * * * *
    (b) * * *
    (15) Each training program curriculum required by Sec. 121.403.
* * * * *
    3. Section 121.404 is revised to read as follows:


Sec. 121.404  Compliance dates: Crew and Dispatcher resource management 
training.

    After [insert date 2 years after the effective date of the final 
rule], no certificate holder may use a person as a flight crewmember, 
and after [insert date 3 years after the effective date of the final 
rule], no certificate holder may use a person as a flight attendant or 
aircraft dispatcher unless that person has completed approved crew 
resource management (CRM) or dispatcher resource management (DRM) 
initial training, as applicable, with that certificate holder or with 
another certificate holder.
    4. Section 121.405 is amended by adding new paragraphs (f) and (g) 
to read as follows:


Sec. 121.405  Training program and revision: Initial and final 
approval.

* * * * *
    (f) Each certificate holder described in Sec. 135.3(b) and (c) of 
this chapter must include the material required by Sec. 121.403 in the 
manual required by Sec. 135.21 of this chapter.
    (g) The Administrator may grant a deviation to certificate holders 
described in Sec. 135.3(b) and (c) of this chapter to allow reduced 
programmed hours of ground training required by Sec. 121.419 if it is 
found that a reduction is warranted based on the certificate holder's 
operations and the complexity of the make, model, and series of the 
airplanes used.
    5. Section 121.406 is added as follows:


Sec. 121.406  Reduction of CRM/DRM Programmed Hours based on Credit for 
Previous CRM/DRM Training

    (a) For flightcrew members, the Administrator may credit CRM 
training received before [insert date 2 years after the effective date 
of the final rule] toward all or part of the initial ground CRM 
training required by Sec. 121.419.
    (b) For flight attendants, the Administrator may credit CRM 
training received before [insert date 3 years after the effective date 
of the final rule] toward all or part of the initial ground CRM 
training required by Sec. 121.421.
    (c) For aircraft dispatchers, the Administrator may credit CRM 
training received before [insert date 3 years after the effective date 
of the final rule] toward all or part of the initial ground CRM 
training required by Sec. 121. 422.
    (d) In granting credit for initial ground CRM or DRM training, the 
Administrator considers training aids, devices, methods, and procedures 
used by the certificate holder in a voluntary CRM or DRM program or in 
an AQP program that effectively meets the quality of an approved CRM or 
DRM initial ground training program under Secs. 121.419, 121.421, or 
121.422 as appropriate.
    6. Section 121.419 is amended by redesignating paragraph 
(a)(1)(viii) as paragraph (a)(1)(ix), adding a new paragraph 
(a)(1)(viii), and revising paragraph (b) to read as follows:


Sec. 121.419  Pilots and flight engineers: Initial, transition, and 
upgrade ground training.

    (a) * * *
    (a) * * *
    (viii) Approved crew resource management initial training.
* * * * *
    (b) Initial ground training for pilots and flight engineers must 
consist of at least the following programmed hours of instruction in 
the required subjects specified in paragraph (a) of this section and in 
Sec. 121.415(a) unless reduced under Sec. 212.405 or Sec. 121.406:
    (1) Group I airplanes:
    (i) Reciprocating powered, 76 hours; and
    (ii) Turbopropeller powered, 92 hours.
    (2) Group II airplanes, 132 hours.
    7. Section 121.421 (a)(1) and (c) are revised to read as follows:


Sec. 121.421  Flight attendants: Initial and transition ground 
training.

    (a) * * *
    (1) General subjects--
    (i) The authority of the pilot in command;
    (ii) Passenger handling, including the procedures to be followed in 
the case of deranged persons or other persons whose conduct might 
jeopardize safety; and
    (iii) Approved crew resource management initial training.
* * * * *
    (c) Initial ground training for flight attendants must consist of 
at least the following programmed hours of instruction in the required 
subjects specified in paragraph (a) of this section and in 
Sec. 121.415(a) unless reduced under Sec. 121.405 or Sec. 121.406:
    (1) Group I airplanes:
    (i) Reciprocating powered, 16 hours; and
    (ii) Turbopropeller powered, 16 hours.
    (2) Group II airplanes, 24 hours.
    8. Section 121.422 is amended by revising paragraphs (a)(1)(vii) 
and (a)(1)(viii), by adding a new paragraph (a)(1)(ix), and by revising 
paragraph (c) to read as follows:


Sec. 121.422  Aircraft dispatchers: Initial and transition ground 
training.

    (a) * * *
    (1) * * *
    (vii) Prevailing weather phenomena and the available sources of 
weather information;
    (viii) Air traffic control and instrument approach procedures; and
    (ix) Approved dispatcher resources management (DRM) initial 
training.
* * * * *
    (c) Initial ground training for aircraft dispatchers must consist 
of at least the following programmed hours of instruction in the 
required subjects specified in paragraph (a) of this section and in 
Sec. 121.415(a) unless reduced under Sec. 121.405 or Sec. 121.406:
    (1) Group I airplanes:
    (i) Reciprocating powered, 38 hours; and
    (ii) Turbopropeller powered, 48 hours.
    (2) Group II airplanes, 48 hours.
    9. Section 121. 427 is amended by adding a new paragraph (b)(4) and 
by revising the introductory text of paragraph (c) and paragraphs 
(c)(1), (c)(3), and (c)(4) to read as follows:


Sec. 121.427  Recurrent training.

* * * * *
    (b) * * *
    (4) Approved recurrent CRM training. For flight crewmembers, this 
training or portions thereof may be accomplished during an approved 
simulator line operational flight training (LOFT) session. The 
recurrent CRM training requirement does not apply until a person has 
completed the applicable initial CRM training required by 
Secs. 121.419, 121.421, or 121.422.
* * * * *
    (c) Recurrent ground training for crewmembers and aircraft 
dispatchers must consist of at least the following programmed hours 
unless reduced under Sec. 121.405:
    (1) For pilots and flight engineers--
    (i) Group I, reciprocating powered airplanes, 20 hours;
    (ii) Group I, turbopropeller powered airplanes, 24 hours; and
    (iii) Group II airplanes, 29 hours.
* * * * *
    (3) For flight attendants)--
    (i) Group I, reciprocating powered airplanes, 6 hours;
    (ii) Group I, turbopropeller powered airplanes, 7 hours; and
    (iii) Group II airplanes, 14 hours.
    (4) For aircraft dispatchers--
    (i) Group I, reciprocating powered airplanes, 10 hours;
    (ii) Group I, turbopropeller powered airplanes, 12 hours; and
    (iii) Group II airplanes, 22 hours.
* * * * *
    10. Section 121.431(a) is revised to read as follows:


Sec. 121.431  Applicability.

    (a) This subpart prescribes crewmember qualifications for all 
certificate holders except where otherwise specified. The qualification 
requirements of this subpart also apply to each certificate holder that 
conducts commuter operations under part 135 of this chapter with 
airplanes for which two pilots are required by the aircraft type 
certification rules of this chapter, or with airplanes having a 
passenger seating configuration, excluding any pilot seat, of 10 seats 
or more. The Administrator may authorize any other certificate holder 
that conducts operations under part 135 to comply with the 
qualification requirements of this subpart, except that these 
certificate holders may choose to comply with the operating experience 
requirements of Sec. 135.244 of this chapter, instead of the 
requirements of Sec. 121.434.
* * * * *

PART 135--AIR TAXI OPERATIONS AND COMMERCIAL OPERATORS

    11. The authority citation for part 135 continues to read as 
follows:

    Authority: 49 U.S.C. app. 1354(a), 1355(a), 1421 through 1431, 
and 1502; 49 U.S.C. 106(g).

    12. Section 135.3 is revised to read as follows:


Sec. 135.3  Rules applicable to operations subject to this part.

    (a) Each person operating an aircraft in operations under this part 
shall--
    (1) While operating inside the United States, comply with the 
applicable rules of this chapter; and
    (2) While operating outside the United States, comply with Annex 2, 
Rules of the Air, to the Convention on International Civil Aviation or 
the regulations of any foreign country, whichever applies, and with any 
rules of parts 61 and 91 of this chapter and this part that are more 
restrictive than that Annex or those regulations and that can be 
complied with without violating the Annex or those regulations. Annex 2 
is incorporated by reference in Sec. 91.703(b) of this chapter.
    (b) Each certificate holder that conducts commuter operations under 
this part with airplanes in which two pilots are required by the type 
certification rules of this chapter, or with airplanes having a 
passenger seating configuration, excluding any pilot seat, of 10 seats 
or more, shall comply with subparts N and O of part 121 instead of the 
requirements of subparts E, G, and H of this part.
    (c) If authorized by the Administrator upon application, each 
certificate holder that conducts operations under this part that is not 
included in paragraph (b) of this section may comply with the 
applicable sections of subpart N and O of part 121 instead of the 
requirements of subparts E, G, and H of this part, except that those 
authorized certificate holders may choose to comply with the operating 
experience requirements of Sec. 135.244, instead of the requirements of 
Sec. 121.434 of this chapter.
    13. Section 135.10 is revised to read as follows:


Sec. 135.10  Compliance dates for certain rules.

    Except as provided in Sec. 121.404 and section 135.12, after 
[Insert date 1 year after the effective date of the final rule], no 
certificate holder that conducts commuter operations under this part 
with airplanes for which two pilots are required by the aircraft type 
certification rules of this chapter or with airplanes having a 
passenger seating configuration, excluding any pilot seat, of 10 seats 
or more may use any crewmember or dispatcher in those operations unless 
that person meets the applicable training, checking, and qualification 
requirements of subparts N and O of part 121 of this chapter.
    14. Section 135.12 is added:


Sec. 135.12  Previously trained crewmembers.

    A certificate holder may use a crewmember who received the 
certificate holder's training in accordance with subparts E, G, and H 
of this part before (insert one year after effective date) without 
complying with initial training and qualification requirements of 
subparts N and O of part 121. The crewmember must comply with the 
applicable recurrent training requirements of part 121.
    15. Section 135.241 is amended by adding the words set forth below 
at the end of the section:


Sec. 135.241  Applicability.

    * * * Except as provided in Sec. 135.12, each certificate holder 
that conducts commuter operations under this part with airplanes for 
which two pilots are required by the aircraft type certification rules 
of this chapter or with airplanes having a passenger seating 
configuration, excluding any pilot seat, of 10 seats or more shall 
ensure that each flight crewmember it uses in those operations is 
trained, checked, and qualified under the requirements of subparts N 
and O of part 121 of this chapter, in place of the requirements of 
subparts E, G, and H of this part. The Administrator may authorize any 
other certificate holders that conduct operations under this part to 
comply with the training, checking, and qualification requirements of 
subparts N and O of part 121 of this chapter, in place of the 
requirements of this part, except that these certificate holders may 
choose to comply with the operating experience requirements of 
Sec. 135.244, instead of the requirements of Sec. 121.434 of this 
chapter.
    16. Section 135.291 is amended by adding the words set forth below 
at the end of the section:


Sec. 135.291  Applicability.

    * * * Except as provided in Sec. 135.12, each certificate holder 
that conducts commuter operations under this part with airplanes for 
which two pilots are required by the aircraft type certification rules 
of this chapter or with airplanes having a passenger seating 
configuration, excluding any pilot seat, of 10 seats or more shall 
ensure that each crewmember or other personnel it uses in those 
operations is trained, checked, and qualified under the requirements of 
subparts N and O of part 121 of this chapter, in place of the 
requirements of subparts E, G, and H of this part. The Administrator 
may authorize any other certificate holders that conduct operations 
under this part to comply with the training, checking, and 
qualification requirements of subparts N and O of part 121 of this 
chapter, in place of the requirements of subparts E, G, and H of this 
part.
    17. Section 135.321 is amended by adding the words set forth below 
at the end of paragraph (a), redesignating paragraph (b) as paragraph 
(c), and adding a new paragraph (b) as follows:


Sec. 135.321  Applicability and terms used.

    (a) * * * Except as provided in Sec. 135.12, each certificate 
holder that conducts commuter operations under this part with airplanes 
for which two pilots are required by the aircraft type certification 
rules of this chapter or with airplanes having a passenger seating 
configuration, excluding any pilot seat, of 10 seats or more shall 
ensure that each crewmember or other personnel it uses in those 
operations is trained, checked, and qualified under the requirements of 
subparts N and O of part 121 of this chapter, in place of the 
requirements of subparts E, G, and H of this part. The Administrator 
may authorize any other certificate holders that conduct operations 
under this part to comply with the training, checking, and 
qualification requirements of subparts N and O of part 121 of this 
chapter, in place of the requirements of subparts E, G, and H of this 
part.
    (b) Each certificate holder described in Sec. 135.3(b) must submit 
and obtain approval of a transition plan (containing a calendar of 
events) for moving from its present part 135 training, checking, 
testing, and qualification requirements to the requirements of part 121 
of this chapter. Each transition plan must contain details on how the 
certificate holder plans to be in compliance with subparts N and O of 
part 121 on or before (one year after the effective date of the final 
rule).
* * * * *
    Issued in Washington, DC on December 8, 1994.
William J. White,
Acting Director, Flight Standards Service.
[FR Doc. 94-30575 Filed 12-8-94; 4:52 pm]
BILLING CODE 4910-13-M