[Federal Register Volume 69, Number 56 (Tuesday, March 23, 2004)]
[Notices]
[Pages 13616-13619]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-6353]


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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

[Docket No. FAA-2004-17349]


Collaborative Decisionmaking Pilot Program

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed guidelines for Collaborative Decisionmaking 
pilot program.

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SUMMARY: This notice announces proposed guidelines that would establish 
and implement a Collaborative Decisionmaking (CDM) pilot program to 
facilitate authorized communications among participating carriers at 
selected airports during a period of reduced capacity.

DATES: Comments must be received by April 22, 2004.

ADDRESSES: You may send comments, identified by Docket Number FAA-2004-
17349, using any of the following methods:

 DOT Docket Web site: Go to http://dms.dot.gov and 
follow the instructions for sending your comments electronically.
 Government-wide rulemaking web site: Go to http://www.regulations.gov and follow the instructions for sending your 
comments electronically.
 Mail: Docket Management Facility; US Department of 
Transportation, 400 Seventh Street, SW., Nassif Building, Room PL-401, 
Washington, DC 20590-001.
 Fax: 1-202-493-2251.
 Hand Delivery: Room PL-401 on the plaza level of the 
Nassif Building, 400 Seventh Street, SW., Washington, DC, between 9 
a.m. and 5 p.m., Monday through Friday, except Federal holidays.

    For more information on this process, see the SUPPLEMENTARY 
INFORMATION section of this document.
    Privacy: We will post all comments we receive, without change, to 
http://dms.dot.gov, including any personal information you provide. For 
more information, see the Privacy Act discussion in the SUPPLEMENTARY 
INFORMATION section of this document.
    Docket: To read this document and other pertinent documents or 
comments received, go to http://dms.dot.gov at any time or to Room PL-
401 on the plaza level of the Nassif Building, 400 Seventh Street, SW., 
Washington, DC, between 9 a.m. and 5 p.m., Monday through Friday, 
except Federal holidays.

[[Page 13617]]


FOR FURTHER INFORMATION CONTACT: Lorraine Vomacka, Manager, Procedures 
Branch, Air Traffic Tactical Operations Program, Air Traffic Control 
System Command Center, telephone number: 703 925-3112.

SUPPLEMENTARY INFORMATION:

Comments Invited

    The FAA invites interested persons to comment by submitting written 
comments, data, or views. We ask that you send us two copies of written 
comments.
    We will file in the docket all comments we receive, as well as a 
report summarizing each substantive public contact with FAA personnel 
concerning this document. The docket is available for public inspection 
before and after the comment closing date. If you wish to review the 
docket in person, go to the address in the ADDRESSES section of this 
Notice between 9 a.m. and 5 p.m., Monday through Friday, except Federal 
holidays. You may also review the docket using the Internet at the web 
address in the ADDRESSES section.
    Privacy Act: Using the search function of our docket web site, 
anyone can find and read the comments received into any of our dockets, 
including the name of the individual sending the comment (or signing 
the comment on behalf of an association, business, labor union, etc.). 
You may review DOT's complete Privacy Act Statement in the Federal 
Register published on April 11, 2000 (65 FR 19477-78) or you may visit 
http://dms.dot.gov.
    Before adopting the guidelines, we will consider all comments we 
receive on or before the closing date for comments. We will consider 
comments filed late if it is possible to do so without incurring 
expense or delay.
    If you want the FAA to acknowledge receipt of your comments, 
include with your comments a pre-addressed, stamped postcard on which 
the docket number appears. We will stamp the date on the postcard and 
mail it to you.

Background

Public Law 108-176

    Public Law 108-176 was enacted on December 12, 2003. Section 423 of 
this law, codified at title 49 of the United States Code (U.S.C.) 
section 40129, requires the FAA to establish a collaborative decision 
making (CDM) pilot program within 90 days of enactment.\1\ This pilot 
program would facilitate certain communications among participating 
carriers at a designated airport over their flight schedules during a 
time period for which the airport experiences or is expected to 
experience reduced capacity. Under the law, subject to concurrence by 
the Department of Justice, the FAA is directed to issue guidelines 
governing the pilot program.
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    \1\ The FAA acknowledges that this Notice is being published 
beyond the 90 day period. This delay was the result of the need to 
consult with air carriers and their trade associations, the military 
and other users, the Departments of Transportation and Justice, and 
the time needed by the ATCSCC and the users to prepare and test 
various computer simulations.
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    Section 40129 further directs that the guidelines, at a minimum, 
shall: (1) Define a capacity reduction event; (2) establish the 
criteria and process for determining when a capacity reduction event 
exists that warrants the use of CDM among carriers at airports 
participating in the pilot program; and (3) prescribe the methods of 
communication among carriers during such an event.
    The FAA is to select two airports to participate in the pilot 
program from the most capacity constrained airports identified in the 
FAA's Capacity Benchmark Report 2001, or based on more recent data 
available to the FAA. The statute also specifies that, in selecting the 
two airports for participation in the two-year pilot program, the FAA 
must determine that the use of CDM among the carriers would reduce 
delays at the airport and have beneficial effects on reducing delays in 
the national airspace system as a whole.
    Upon a determination that a capacity reduction event exists, the 
FAA may authorize carriers operating at a participating airport to 
communicate for a period of time not to exceed 24 hours with each other 
concerning changes in their respective flight schedules in order to use 
air traffic capacity most effectively. The FAA is to facilitate and 
monitor these communications, and the Department of Justice may monitor 
such communications as well.
     Any U.S. or foreign air carrier operating at the selected airports 
is eligible to participate in the pilot program upon determination by 
the FAA that the carrier possesses the operational and communications 
capabilities necessary for participation. Any carrier may be banned 
from participation in the pilot program if the FAA determines that the 
airport or the carrier does not further the purpose of the program. A 
carrier may also be banned from participation upon a finding by the 
Secretary of Transportation (the Secretary), and concurred with, by the 
Department of Justice, that the carrier's participation has had, or is 
having, an adverse effect upon competition.
     The Secretary may exempt a carrier's activities that are necessary 
to participate in the program from the antitrust laws for the purpose 
of participating in the pilot program, but such exemption shall not 
apply to any discussions, agreements, or activities beyond the scope of 
the pilot program.
     Lastly, the statute provides for an evaluation of the pilot 
program and a determination as to whether the program has facilitated 
more effective use of air traffic capacity and whether the program has 
had an adverse effect on airline competition or the availability of air 
service to communities. The program may be extended for an additional 
two years with up to seven airports added to the program. The program 
also may be terminated prior to its expiration upon determination by 
the FAA and Department of Justice that it is unlikely to achieve its 
stated purposes.

Proposed Guidelines

     Existing procedures followed by the Air Traffic Organization (ATO) 
allow for limited collaboration between the FAA and members of industry 
to reduce delays. Under these procedures, officials in the FAA's Air 
Traffic Tactical Operations Program located at the agency's David J. 
Hurley Air Traffic Control System Command Center (ATSCC) in Herndon, 
Virginia, convene frequent daily telephone conferences with air carrier 
representative and others. During these conference calls, also known as 
Strategic Planning Tellcons, the FAA reviews the status of air traffic 
operations so as to inform the air carriers about possible delays 
within the National Airspace system as well as ground delay programs or 
other traffic management decisions that may affect the carriers' 
operations. The carriers, in turn, update the FAA about their planned 
operations. Based on the information exchanged during these calls, 
carriers may then unilaterally choose to adjust their flight schedules 
(including canceling or substituting flights) in order to minimize the 
impact of delays on their passengers. This program has sometimes been 
referred to within the FAA as ``collaborative decision-making'' because 
the agency and industry together discuss solutions to projected delays. 
See http://www.atcscc.faa.gov/Information/CDM/cdm.html
     The proposed CDM pilot program would expand the concept of the 
Strategic Planning Telcons by adding additional telecons for 
coordinating capacity reduction events. Although the

[[Page 13618]]

Strategic Planning Telcons have widely been viewed as successful in 
mitigating the impact of traffic management measures (such as ground 
delay programs and ground stops) on air carrier operations, they do not 
typically, avoid the need for such measures in the first instance. 
Thus, a primary objective of the CDM pilot program authorized under 
section 423 of Vision 100 is to determine whether additional, carefully 
monitored communications among air carriers serving the demonstration 
airports over schedule adjustments (including cancellations, 
substitutions and rerouting of flights) could reduce the total number 
of delays that are attributable to capacity-reducing events at those 
airports. Such an effect would likely be discernible in a reduction of 
delay minutes at each of the airports in question and, assuming other 
factors remain constant, in the number of passengers who do not reach 
their destinations on time.
     Significant delays at certain hub airports almost inevitably 
result in delays throughout the National Airspace System (NAS). Such 
delays translate into higher costs for the carriers serving the 
airport, in terms of increased fuel consumption, additional crew flight 
time, missed connections, lost gate access, re-positioning of aircraft, 
and compensation to passengers for overbooking. Delays also pose a 
burden on the FAA, adding to the complexity of airspace management and 
increasing staffing requirements. Therefore, a secondary purpose of the 
pilot program is to examine the impact of CDM at the demonstration 
airports on the overall efficiency of the NAS, as measured by the 
greater utilization of the available capacity at the demonstrations 
airport(s).
     When ground delay programs are imposed, affected carriers are 
required by ATO procedures to obtain specific reservation times for 
arrivals--known as ``arrival slots''\2\--at the destination airports of 
their flights. These arrival slots are rationed by ATO based on filed 
schedules. However, even during such programs, not all such slots are 
used; carriers may choose not to relinquish their reservations until it 
is too late for other carriers to take advantage of them. Thus, a third 
purpose of the pilot CDM program is to determine whether communication 
among carriers concerning arrival slots available during ground delay 
programs could result in greater, or full, utilization of such arrival 
slots, thereby increasing the throughput of traffic at the 
demonstration airports during times of reduced capacity.
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    \2\ These ``arrival slots'' are an informal pacing device used 
by Air Traffic Control and do not relate to takeoff and landing 
slots allocated under Subpart K-High Density Traffic Airports (the 
HDR rule), 14 CFR 93.121.
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    The proposed guidelines would govern CDM procedures at the two 
airports specified for the CDM pilot program in accordance with 49 
U.S.C. 40129(e) and would provide for limited, collaborative decision 
making among air carriers when a Capacity Reduction Event (CRE) exists 
that meets the Triggering Criteria, as defined below. The FAA is 
proposing that one of the two airports selected for the pilot program 
be Chicago O'Hare International Airport (ORD). ORD is major hub 
airport, and delays there frequently ripple throughout the NAS as a 
whole. Therefore, the agency has concluded that the use of CDM at ORD 
should be beneficial in reducing delays at that airport and in the NAS 
as a whole.\3\ The second airport to be selected will be determined by 
reference to the statutory requirement and in consideration of the 
comments received in response to this Notice.
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    \3\ See Order Limiting Scheduled Operations (Operating 
Limitations at Chicago O'Hare International Airport, Docket FAA-
2004-16944), at 2-4.
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    As part of its review of the effectiveness of the CDM pilot program 
and its consideration of these guidelines, the FAA is preparing a 
computer simulation of a capacity-reducing event using ORD as a model. 
The purpose of the simulation is to evaluate the effectiveness of 
different delay-avoidance strategies that may be employed by the FAA 
and its customers in handling Capacity Reduction Events. The simulation 
will be designed to explore the complexities, costs, and benefits of 
allowing limited coordination over schedule adjustments in the period 
preceding a capacity-reduction event. By examining several different 
scenarios at ORD, the simulation should help produce metrics for 
determining participation in, and the success of, the program when 
implemented. Additionally, the simulation will provide insight into any 
new technologies, processes or software that may be required to support 
allowable information-sharing under the CDM pilot program.
    In addition, as part of the FAA's continuing effort to anticipate 
growth in the system, and to provide for traffic growth without 
gridlock, the FAA has received input from general aviation users, the 
military, labor organizations, and air carriers, in developing a plan 
to augment existing traffic management procedures so as to better 
manage system flows when delays are created by over-scheduling (even in 
good weather). Such procedures may include rerouting of traffic and 
imposition of ground stops or ground delays at airports that are not 
experiencing delays, in order to improve traffic flows at congested 
airports. The FAA anticipates that these developing methodologies will 
contribute to reducing delays in the NAS as a whole and, consequently, 
at the demonstration airports in the CDM pilot program.

Capacity Reduction Event (CRE)

    A CRE is an unplanned occurrence or emergency that reduces the 
Airport Arrival Rate (AAR) so as to cause a material increase in flight 
delays, including but not limited to adverse weather or wind 
conditions, unanticipated runway or taxiway maintenance or other 
airport construction or maintenance that limits the airport arrival 
rate, and acts constituting Force Majeure.

Triggering Criteria

    A CRE may warrant collaborative decision making among carriers in 
the CDM pilot program if the CRE is expected to, or results in, (i) a 
reduction in the AAR, as determined under optimal weather conditions, 
of 30 percent or more; and (ii) where such reduction would last for a 
period of three hours or longer. Based on current experience, the FAA 
would not expect the conditions to be met more than approximately 20 
times a year. In any case, it is not necessarily the intent of the FAA 
to declare a CRE on every occasion where the criteria are met.
    Any U.S. or foreign air carrier that operates at either or both of 
the specified airports has the option of participating in the pilot 
program, provided it possesses the operational and communications 
capabilities necessary for participation.

Permitted Communications

    When a CRE is declared that meets the Triggering Criteria, and the 
FAA determines that CDM is necessary, authorized air carriers may 
engage in Permitted Communications during a period designated by the 
FAA not to exceed twenty-four hours. Permitted Communications consists 
of: (1) Offers to reroute or retime flights; (2) offers to reduce the 
total number of operations conducted during any one hour period (but 
without reference to specific flights or markets); and (3) offers to 
relinquish arrival slots obtained during ground delay programs. Such 
offers may be communicated to the FAA as part of the Strategic Planning 
Telcons concerning the demonstration airports or via the

[[Page 13619]]

pilot program Web site. Permitted Communications also include general 
discussions over measures by the FAA taken to reduce delays including 
traffic management initiatives.
    Only communications made to the FAA as part of the Strategic 
Planning Telcons or to the FAA via the pilot program Web site shall 
qualify as Permitted Communications. Other carriers and foreign air 
carriers participating in the pilot program may receive such 
communication by participating in the Strategic Planning Telcon or by 
viewing the pilot program Web site.
    Permitted Communications do not include: (1) Offers to cancel 
specifically identified flights (as opposed to a total number of 
operations); (2) discussions of fares; (3) discussions of passenger 
revenues attributable to cancelled, retimed or rerouted operations; (4) 
discussions of marketing strategies or passenger accommodations, 
including but not limited to amounts paid in compensation to, or other 
consideration provided to, passengers whose flights are cancelled, 
retimed or rerouted; and (5) any other discussions likely to result in 
an agreement violative of the antitrust laws, except as expressly 
authorized under these guidelines as Permitted Communications. However, 
nothing in these guidelines precludes any carrier from taking 
unilateral action based on information gained during conference calls 
or other communications permitted under the pilot program.
    The Department of Justice, in addition to the FAA, may monitor all 
communications that occur during the telephone conferences or via the 
pilot program Web site. For this purpose, the telephone conferences 
will be recorded and an electronic record of the activity on the pilot 
program Web site will be preserved for 45 days.

Antitrust Immunity

    As authorized by section 40129(h), and subject to concurrence by 
the Attorney General, during the period the pilot program is in effect, 
the Secretary intends to exempt U.S. and foreign air carriers 
participating in the program from the antitrust laws for activities 
they engage in to the extent those activities are necessary for their 
participation in the program. The antitrust exemption is for the sole 
purpose of participating in the pilot program, and shall not extend to 
any discussions, agreements, or activities outside the scope of the 
pilot program as described in these guidelines. It shall apply only to 
the extent that the U.S. or foreign air carrier complies with the 
conditions imposed by these guidelines. The FAA reserves the authority 
to modify or terminate the exemption prospectively, or to otherwise 
modify or terminate the program or a particular carrier's participation 
in it, if it is determined by the FAA or the Secretary, respectively, 
and with the concurrence of the Department of Justice, that the purpose 
of the program is not being furthered or that the program or the 
particular carrier's participation is having an adverse effect on 
competition. This statement shall serve as the notice required by 
section 40129(h) that states the Secretary's intention to use the 
authority created by that section to grant antitrust immunity.

Evaluation

    The FAA will evaluate the pilot program to determine whether it has 
reduced total passenger delays, facilitated a more effective use of air 
traffic capacity through improvements in the realized airport arrival 
rate, or enabled a greater utilization of reservation times during 
ground delay programs. The FAA will also consider whether benefits from 
one airport's participation in the program have brought benefits to 
other parties of the National Airspace System.
    The Department is obligated to evaluate the pilot program's effects 
on airline competition and service to communities. We ask for comment 
on what kinds of data should be obtained by us to conduct the 
evaluation. This data could include the following, but commenters may 
suggest alternatives or discuss whether the following data would be 
unnecessary:

(1) Identification of flights scheduled, including number of seats 
sold, average fare, markets scheduled to be served, and times from the 
selected airports, during the CRE;
(2) Identification of flights cancelled during the CRE; flights 
operated during the CRE and within 24 hours afterwards including 
average fares, destinations, etc.;
(3) Identification of communities that lost service during the CRE; and
(4) Data on the extent, if any, the program disadvantages carriers with 
limited flight schedules.

    We welcome other ideas as to how the program's effectiveness should 
be evaluated.
    Additionally, while we recognize (as described above) that flight 
delays impose additional costs on air carriers, airports and the FAA, 
it would also be beneficial to obtain information about the direct 
effect of this program on the traveling public. Such information would 
allow us to evaluate the amount of delay experienced by passengers 
traveling on airlines participating in the program compared to the 
delay experienced during similar events that occurred before the 
program went into effect. Such information could include the number of 
passengers given prior notification of an impending CRE, the number of 
passengers who are rebooked on flights that depart in advance, during, 
or immediately after a CRE, reductions in the number of passengers who 
are offered compensation because of ``overbooking'' during the relevant 
time period, the number of passengers who are rebooked on other 
carriers' flights in response to notification of an impending CRE, or 
the speed with which carriers are able to accommodate all passengers 
wishing to travel during or immediately following a CRE.

    Issued in Washington, DC, on March 16, 2004.
Marion C. Blakey,
Administrator.
[FR Doc. 04-6353 Filed 3-17-04; 4:05 pm]
BILLING CODE 4910-13-M