[Federal Register Volume 84, Number 73 (Tuesday, April 16, 2019)]
[Proposed Rules]
[Pages 15533-15549]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-06399]


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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 147

[Docket No.: FAA-2015-3901; Notice No. 19-02]
RIN 2120-AK48


Aviation Maintenance Technician Schools

AGENCY: Federal Aviation Administration (FAA), Department of 
Transportation (DOT).

ACTION: Supplemental notice of proposed rulemaking (SNPRM).

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SUMMARY: On October 2, 2015, the FAA published in the Federal Register 
a notice of proposed rulemaking proposing to amend the regulations 
governing the curriculum and operations of FAA-certificated Aviation 
Maintenance Technician Schools. Commenters suggested expanding the 
scope of that proposal to allow competency-based training and satellite 
training locations and to eliminate the national passing norms 
specified in the quality of instruction requirements. After analyzing 
the comments, the FAA agrees with expanding the scope of the proposal. 
The FAA is proposing to allow the option of competency-based training 
and satellite training locations. Additionally, the FAA is proposing to 
amend the quality of instruction requirements by replacing the national 
passing norms with a standard pass rate.

DATES: Send comments on or before June 17, 2019.

ADDRESSES: Send comments identified by docket number FAA-2015-3901 
using any of the following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov and follow the online instructions for sending your 
comments electronically.
     Mail: Send comments to Docket Operations, M-30; U.S. 
Department of Transportation, 1200 New Jersey Avenue SE, Room W12-140, 
West Building Ground Floor, Washington, DC 20590-0001.
     Hand Delivery or Courier: Take comments to Docket 
Operations in Room W12-140 of the West Building Ground Floor at 1200 
New Jersey Avenue SE, Washington, DC 20590-0001, between 9 a.m. and 5 
p.m., Monday through Friday, except Federal holidays.
     Fax: Fax comments to Docket Operations at (202) 493-2251.
    Privacy: In accordance with 5 U.S.C. 553(c), DOT solicits comments 
from the public to better inform its rulemaking process. DOT posts 
these comments, without edit, including any personal information the 
commenter provides, to http://www.regulations.gov, as described in the 
system of records notice (DOT/ALL-14 FDMS), which can be reviewed at 
http://www.dot.gov/privacy.
    Docket: Background documents or comments received may be read at 
http://www.regulations.gov at any time. Follow the online instructions 
for accessing the docket or go to the Docket Operations in Room W12-140 
of the West Building Ground Floor at 1200 New Jersey Avenue SE, 
Washington, DC 20591, between 9 a.m. and 5 p.m., Monday through Friday, 
except Federal holidays.

FOR FURTHER INFORMATION CONTACT: For technical questions concerning 
this action, contact Robert W. Warren, Aircraft Maintenance Division, 
Federal Aviation Administration, 800 Independence Avenue SW, 
Washington, DC 20591; telephone (202) 267 1711; email 
[email protected].

SUPPLEMENTARY INFORMATION:

Authority for This Rulemaking

    The FAA's authority to issue rules on aviation safety is found in 
Title 49 of the United States Code. Subtitle I, Section 106 describes 
the authority of the FAA Administrator. Subtitle VII, Aviation 
Programs, describes in more detail the scope of the agency's authority.
    This rulemaking is promulgated under the authority described in 
Title 49, Subtitle VII, Part A, Subpart I, Chapter 401, Section 40113 
(prescribing general authority of the Administrator of the FAA, with 
respect to aviation safety duties and powers, to prescribe 
regulations); and Subpart III, Chapter 447, Sections 44701 (general 
authority of the Administrator to prescribe regulations and minimum 
standards in the interest of safety for inspecting, servicing, and 
overhauling aircraft, engines, propellers, and appliances, including 
for other practices, methods, and procedures necessary for safety in 
air commerce); 44702 (authority of the Administrator to issue air 
agency certificates); 44707 (authority of the Administrator to examine 
and rate air agencies, including civilian schools giving instruction in 
repairing, altering, and maintaining aircraft, aircraft engines, 
propellers, and appliances, on the adequacy of instruction, the 
suitability and airworthiness of equipment, and the competency of 
instructors); and 44709 (authority of the Administrator to amend, 
modify, suspend, and revoke air agency and other FAA-issued 
certificates).

Table of Contents

I. Executive Summary
II. Background
    A. Summary of Notice of Proposed Rulemaking (NPRM)
    B. Summary of Comments on NPRM
    C. General Overview of SNPRM
III. Discussion of SNPRM
    A. Competency-Based Training
    1. Structure and Content
    2. Training, Competency Assessments, and Remedial Training
    3. Students With Prior Training or Experience
    4. Instructors
    5. Data Collection, Analysis, and Recordkeeping
    B. Satellite Training Locations
    C. Quality of Instruction
    D. Miscellaneous Amendment
IV. Regulatory Notices and Analysis
    A. Regulatory Evaluation
    B. Regulatory Flexibility Determination
    C. International Trade Impact Assessment
    D. Unfunded Mandates Assessment
    E. Paperwork Reduction Act
    F. International Compatibility and Cooperation
    G. Environmental Analysis
V. Executive Order Determination
    A. Executive Order 13771, Reducing Regulation and Controlling 
Regulatory Costs
    B. Executive Order 13132, Federalism
    C. Executive Order 13211, Regulations That Significantly Affect 
Energy Supply, Distribution, or Use
VI. Additional Information
    A. Comments Invited
    B. Availability of Rulemaking Documents

[[Page 15534]]

I. Executive Summary

    On October 2, 2015, the FAA published a NPRM titled ``Aviation 
Maintenance Technician Schools'' (80 FR 59674) proposing to amend 14 
CFR part 147 (part 147), which contains the curriculum and operating 
requirements for Aviation Maintenance Technician Schools (AMTS). The 
FAA received over 300 comments in response to the NPRM. Among these 
comments were requests to the FAA to allow competency-based training 
(CBT) and satellite training locations. The FAA also received comments 
on the quality of instruction requirements, including the suggestion to 
remove the national passing norms.
    Since any changes to the regulations covering these three topics 
would be beyond the scope of what was proposed in the NPRM, the FAA is 
publishing this SNPRM to provide notice of the proposed changes and the 
opportunity for comments on these new proposals.
    In this SNPRM, The FAA proposes to allow AMTSs to deliver their 
approved curriculums using a CBT program. The FAA also proposes to 
allow satellite training locations for these schools, which could 
expand the capacity to recruit and educate future aircraft mechanics. 
Lastly, the FAA proposes to replace the current national passing norm 
requirements with a standard pass rate that would apply to all AMTSs.
    CBT and satellite training locations would be voluntary provisions. 
Therefore, the FAA assumes the utilization of these flexibilities would 
produce benefits net of costs because AMTSs will only adopt these 
changes if they believe they will be cost beneficial. The FAA estimates 
that the overall cost saving of the requirement to replace the national 
passing norms with a standard pass rate would be minimal. Therefore, 
the expected outcome of this proposed rule will be a minimal impact.
    Providing flexibility to AMTSs to use CBT may produce cost savings 
and generate benefits. For instance, CBT would allow AMTSs to pre-
screen applicants for competencies they possess at the time of 
application, and provide relief to those applicants for the 
corresponding curriculum elements. CBT may also allow the AMTS to focus 
on the competencies for which their students require more remedial 
attention, providing a more individualized and higher-quality training 
for its students. At this time, the FAA does not have data to 
quantitatively assess whether the relief provided by the pre-assessment 
of student competencies would outweigh the costs associated with the 
additional care and attention provided to students who require remedial 
attention. Nevertheless, the FAA believes that CBT would allow AMTSs to 
concentrate resources on where they will provide the most benefits.
    The FAA acknowledges that there would be some startup costs 
incurred for some schools to transition over to CBT. However, the FAA 
believes that because this SNPRM provides CBT as an additional 
flexibility, rather than a requirement, it can safely presume that any 
utilization of CBT would provide benefits or cost savings that exceed 
the costs. Similarly, the FAA acknowledges that AMTSs would incur costs 
to set up satellite locations, but the FAA presumes that AMTSs would 
only incur those costs if there were sufficient demand to recover them.
    The FAA estimates that the overall cost saving of the requirement 
to replace the national passing norms with a standard pass rate would 
be minimal.

II. Background

A. Summary of NPRM

    As previously stated, on October 2, 2015, the FAA published an NPRM 
titled ``Aviation Maintenance Technician Schools.'' \1\ In the NPRM, 
the FAA proposed to amend the regulations governing the curriculum and 
operations of FAA-certificated AMTSs. The proposed rule would modernize 
and reorganize the required curriculum subjects found in the appendices 
of the current regulations. The FAA also proposed to remove the course 
content items from the appendices and relocate them to each school's 
operations specifications.\2\ This change would enable easier and more 
timely amendments to course content when necessary. Additionally, the 
FAA proposed to revise the curriculum requirements to include an option 
for schools to use a credit hour curriculum as an alternative to an 
instructional hour curriculum.
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    \1\ 80 FR 59677.
    \2\ Part 147 contains general curriculum subjects (appendix B), 
airframe curriculum subjects (appendix C), and powerplant curriculum 
subjects (appendix D). Each of these appendices contains subject 
headings, tasks within those subject headings, and the levels of 
proficiency to be demonstrated for each task. In the NPRM, the FAA 
proposed to revise and retain the subject headings but remove the 
remaining course content (i.e., the tasks and proficiency levels) 
and place them in the AMTS' operations specifications.
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    The FAA proposed these changes because the existing curriculums in 
some areas are outdated, do not meet current industry needs, and can be 
changed only through notice and comment rulemaking. These amendments 
would better enable students to receive current foundational training 
that meets the demanding and dynamic needs of the aviation industry.
    Additionally, with respect to the quality of instruction 
requirements, the FAA proposed to retain the current national passing 
norms, which require a named proportion of each school's graduates who 
apply within 60 days after graduation to pass the FAA written knowledge 
test during a specified period of time. The proportion of graduates who 
must pass the written knowledge test varies depending on the number of 
students who graduated from the school.
    The proposals in the NPRM remain unchanged. However, given the 
length of time that has passed since the close of the NPRM's comment 
period, the FAA will accept any new or updated comments on the 
provisions in the NPRM. To avoid delay in issuing a final rule, the FAA 
requests that commenters refrain from resubmitting prior comments that 
are unchanged as those comments are already in the docket and will be 
addressed in the final rule.

B. Summary of Comments on NPRM

    The FAA received 324 comments in response to the NPRM. Commenters 
included industry organizations, individuals, instructors, and 
management of AMTSs. This section summarizes only the comments that 
relate to the three topics proposed in this SNPRM. All other comments 
will be disposed of in the final rule.
    Several commenters asked the FAA to allow schools to provide some 
form of CBT in lieu of training based on a set number of curriculum 
hours. These commenters included 15 industry organizations (see Table: 
Industry Organization Commenters) and 9 individuals. Commenters 
explained that allowing a CBT curriculum would create flexibility and 
allow students to progress as they demonstrate mastery of subject 
matter. All but one individual supported CBT without hesitation. One 
individual commented that he is opposed to CBT if there is no test 
period or study to validate the effectiveness of the new method of 
training.

                 Table--Industry Organization Commenters
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Aviation Technician Education Council.
Aeronautical Repair Station Association.
Aerospace Maintenance Council.
Aircraft Electronics Association.
Aircraft Mechanic Fraternal Association.
Aircraft Owners and Pilots Association.
Airlines for America.
Aviation Suppliers Association.

[[Page 15535]]

 
Helicopter Association International.
Modification and Replacement Parts Association.
National Air Carrier Association.
National Air Transportation Association.
Regional Airline Association.
STEM Education Coalition.
University Aviation Association.
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    One commenter asked the FAA to allow schools to conduct training at 
satellite locations away from the schools' primary location, such as at 
high schools.
    Several commenters commented on the quality of instruction 
requirements. One commenter recommended the FAA remove the quality of 
instruction requirements entirely. The commenter explained that 
requiring passing norms is unnecessary and creates additional 
surveillance burdens on the FAA without an increase in safety. Several 
commenters expressed concern with the FAA's proposal to add a 
requirement that stated the failure to maintain the quality of 
instruction may be the basis for suspending or revoking the school's 
certificate.
    These comments are discussed in more detail in section III of this 
preamble, ``Discussion of SNPRM.''

C. General Overview of SNPRM

    The commenters' requests to allow CBT and satellite training 
locations and to eliminate the passing norms were beyond the scope of 
the NPRM. After considering the comments and the potential benefits to 
industry, the FAA has decided to expand the scope of the rulemaking by 
issuing an SNPRM. This SNPRM contains three new proposals. First, the 
FAA proposes to allow AMTSs to deliver their approved curriculums using 
CBT programs. The FAA proposes to add a new section, Sec.  147.22, that 
would prescribe the requirements for a CBT program. Second, the FAA 
proposes new Sec.  147.14 to allow satellite training locations for 
AMTSs, such as at high schools, which could expand the capacity to 
recruit and educate future aircraft mechanics. Lastly, the FAA proposes 
to amend the quality of instruction requirements in Sec.  147.37 by 
removing the national passing norm requirements and replacing them with 
a standard pass rate. These proposals are discussed in more detail in 
the following section.

III. Discussion of SNPRM

A. Competency-Based Training (CBT)

    In the NPRM, the FAA proposed to revise Sec.  147.21(b) to allow 
schools to use a credit hour curriculum instead of a traditional 
instructional hour curriculum. In the context of this proposal, the 
NPRM mentioned the term ``competency-based training.'' \3\
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    \3\ 80 FR 59677.
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    One commenter explained that a CBT curriculum would be based on 
knowledge and skill requirements rather than hour requirements. Another 
commenter asserted that the FAA confused credit hours with competency. 
The FAA received several comments asking for a competency-based 
standard free of defined schedules and hour requirements. Many 
commenters suggested that CBT would allow industry to transition away 
from classroom ``seat'' time in favor of a structure that creates 
flexibility and would allow students to progress as they demonstrated 
mastery of the specific subject matter, regardless of time, place, or 
pace of learning. Another commenter explained that competency-based 
instruction would allow instructors to meet each student's learning 
needs and styles.
    After analyzing these comments, the FAA recognized that its use of 
the term ``competency-based training'' in the context of a credit hour 
curriculum was inconsistent with the concept of competency-based 
education. The International Civil Aviation Organization (ICAO) defines 
``competency-based training and assessment'' as training and assessment 
that are characterized by a performance orientation, emphasis on 
standards of performance and their measurement, and the development of 
training to the specified performance standards.\4\ Upon review of the 
comments on the NPRM, the FAA has decided to expand the proposal to 
include an option for schools to use a CBT curriculum.
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    \4\ ICAO Doc 9868, Procedures for Air Navigation Services, 
Training, 2d Edition (2016).
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    In this SNPRM, the FAA proposes to add a new Sec.  147.22, which 
would contain the requirements for a CBT program. Additionally, because 
proposed Sec.  147.21(b) would require each school's approved 
curriculum to offer a prescriptive number of instruction hours or 
credit hours for the rating sought, the FAA is proposing to include an 
exception in proposed Sec.  147.21(b) for CBT programs that satisfy the 
requirements of proposed Sec.  147.22. Section 147.22 would add CBT as 
an option for certificated AMTSs. Under the proposed regulatory 
framework, the FAA would allow an AMTS to offer a CBT program in 
addition to either an instructional hour program or a credit hour 
program. Alternatively, an AMTS would have the option to provide only 
CBT under proposed Sec.  147.22. However, based on proposed Sec.  
147.21(b), if a school chooses not to offer CBT, that school must offer 
either instruction hours or credit hours.
    Under proposed Sec.  147.22, a certificated AMTS could develop and 
use a CBT curriculum, provided the school obtains FAA-approval of its 
CBT program through an operations specification. An AMTS may develop a 
general, airframe, and/or powerplant CBT curriculum, or a combined 
airframe and powerplant curriculum, as applicable to the school's 
ratings. In addition, the proposal would allow an AMTS to develop 
individualized curriculums for students based on pre-training 
assessments. A CBT program would encompass an AMTS's CBT curriculum(s). 
In addition, proposed Sec.  147.22 would require a CBT program to 
include the following elements: Structure and content, training, 
competency assessments, students with prior training and experience, 
instructor qualification, data collection and analysis process, and 
recordkeeping. These proposed requirements are addressed in more detail 
in the following discussions.
1. Structure and Content
    CBT is a method of instruction that defines a set of competencies 
and that trains and assesses each student to achieve those 
competencies. A competency is a combination of skills, knowledge, and 
observable behaviors required to perform a task to the prescribed 
standard.\5\ The FAA proposes to allow certificated AMTSs to develop a 
CBT program for FAA-approval.
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    \5\ ICAO defines competency as ``[a] combination of skills, 
knowledge, and attitudes required to perform a task to the 
prescribed standard.'' Doc 9868, Procedures for Air Navigation 
Services, Training, 2nd ed. (Oct. 11, 2016).
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    Under proposed Sec.  147.22, to obtain FAA approval, the CBT 
curriculum would be required to cover the subjects prescribed in 
appendices B, C, and/or D, the course content items and teaching levels 
included under those subject headings, and the applicable competencies 
for each of those items. The FAA would give schools the flexibility to 
define the competencies in their CBT curriculums. However, the schools 
would be required to define the competencies based on the course 
content items and associated teaching levels, which the FAA proposed to 
include in the schools' operations specifications.\6\ The FAA believes 
the

[[Page 15536]]

course content items and associated teaching levels convey the minimum 
standards necessary to qualify students to meet the requirements for a 
mechanic certificate, which are specified in part 65, subpart D. 
Accordingly, proposed Sec.  147.22(b)(2) would allow a certificated 
AMTS to define in its CBT curriculum the competencies, to include 
knowledge, skills, and observable behaviors, that apply to each course 
content item and associated teaching level. The school would then train 
and assess its students to the competencies defined in its curriculum.
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    \6\ 59674 FR at 59676.
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    Additionally, the FAA believes that a certificated AMTS should have 
the flexibility to develop course content items that are not prescribed 
by the FAA, and add those course content items, which must be approved, 
to the operations specification. The FAA therefore proposes Sec.  
147.22(b)(3) to allow schools to develop additional course content 
items in its approved curriculum. Additional course content items would 
be listed in Table II of the appropriate operations specification. For 
each additional course content item the school develops, the FAA 
proposes to require the school to define the applicable competencies, 
to include the knowledge, skills, and observable behaviors to which the 
student would be trained and assessed.
2. Training, Competency Assessments, and Remedial Training
    Under a CBT program, rather than focusing on the number of 
instructional hours received in a classroom, schools would be focused 
on training students to achieve the competencies, which include 
knowledge, skills, and observable behaviors, that are necessary to 
perform as a certificated mechanic. A CBT curriculum would allow 
schools to train students in a more individualized manner based on the 
students' knowledge and skill levels. Students would advance in the 
areas they demonstrate competency and would receive additional training 
in the areas they are deficient. This competency-based structure would 
enable students to advance at their own pace while placing emphasis on 
demonstrated proficiency rather than the instruction time.
    A CBT curriculum would train a student to achieve the applicable 
competencies, assess whether the student can demonstrate the applicable 
competencies, and conduct remedial training in areas in which the 
student has failed to demonstrate the applicable competencies. 
Therefore, the FAA is proposing training requirements in Sec.  
147.22(c), assessment requirements in Sec.  147.22(d), and remedial 
training requirements in Sec.  147.22(e).
    Proposed Sec.  147.22(c)(1) would require the AMTS to train each 
student to achieve the competencies defined in its curriculum. The FAA 
proposes to allow a CBT curriculum to consist of a variety of teaching 
methods that are not based on hours of instruction or credit hours. For 
example, these teaching methods may include, but are not limited to, 
lectures, distance learning, and practical projects in the shop or 
laboratory. Additionally, the FAA proposes to allow a CBT curriculum to 
offer group instruction, one-on-one instruction, or any combination 
thereof. However, the AMTS would still be required to comply with 
instructor to student ratios in Sec.  147.23 and instruction equipment 
requirements in Sec.  147.17(c). The FAA believes this flexibility 
would allow schools to tailor their teaching methods to their students.
    While the FAA intends to give schools the necessary flexibility in 
developing their CBT curriculums, these curriculums are still required 
to be approved by the FAA. Therefore, under proposed Sec.  
147.22(c)(2), the FAA proposes to require the school to describe, for 
each course content item, various elements of its CBT curriculum. In 
addition to defining the applicable competencies for each course 
content item, the school would be required to describe which teaching 
methods it intends to use for each course content item, including any 
classroom, distance learning, and laboratory or shop requirements. The 
school would also be required to describe which portions of the 
curriculum would be given in a group setting and which would be given 
one-on-one. The FAA also believes a school should be required to define 
its order of instruction in its CBT curriculum. The order of 
instruction is necessary because under a CBT program a student should 
not advance to a related course content item or subject area until the 
student has demonstrated mastery of the current subject matter. A 
related course content item or subject area is one for which the school 
has defined a prerequisite or precursor for subsequent learning. 
Furthermore, while a school would have the flexibility to determine 
when a test or assessment should be conducted under a CBT program, the 
FAA proposes to require each school to describe the schedule of tests 
and assessments for each course content item. The school would also be 
required to describe the objective testing and grading criteria it 
would use in conducting any tests or assessments.
    Proposed Sec.  147.22(d) would include the requirements for 
competency assessments. The FAA believes that competency assessments 
are a key element in a CBT program because they measure the 
effectiveness of the training, the student's comprehension of the 
material, and the student's knowledge and skill level in the course 
content item being assessed. Each school must determine the scoring 
guide(s) that would be used to conduct each competency assessment. By 
assessing whether a student has achieved the competencies defined in 
the CBT curriculum, the school would determine whether the student 
needs additional training in a certain area.
    Under proposed Sec.  147.22(d), each school conducting a CBT 
program would be required to assess whether its students can 
demonstrate the applicable competencies for each course content item. 
The FAA proposes to allow the school to determine when and how it would 
assess its students; however, these details must be described in its 
CBT program. Additionally, the school must develop a series of 
assessments that, in their totality, assess each course content item; 
determine whether the student can demonstrate all applicable 
competencies; and are consistent with the required teaching levels 
specified in the operations specification.
    In accordance with Sec.  147.22(d)(4), a school may find a student 
competent when the student can demonstrate each applicable competency, 
with respect to the course content item being assessed, at a minimum of 
70 percent. A generally accepted academic standard for passing is a 
minimum of 70 percent. This is the current standard used by the FAA to 
determine adequate knowledge and skill for airmen. Certificated AMTSs 
would have the discretion to use a standard that exceeds 70 percent, 
provided the standard is defined in the school's approved CBT program.
    Under proposed Sec.  147.22(d)(5), the FAA would allow issuance of 
a graduation certificate or certificate of completion when the student 
can demonstrate successful completion of each competency outlined in 
the student's curriculum. The school would still be required to comply 
with Sec.  147.35 (as proposed in the NPRM). Thus, the school would be 
required to provide a graduation certificate or certificate of 
completion to every student it graduates. The certificate would be 
required to show the date of graduation, the approved curriculum, and 
an official of the school would be required to authenticate it. The FAA 
seeks comment on whether the graduation certificate

[[Page 15537]]

should also include the school's name and air agency certificate 
number.
    Because the objective of CBT is to train each student to achieve 
the applicable competencies, to include knowledge, skill, and 
observable behaviors, the FAA proposes to require remedial training in 
any course content item for which the student has failed to demonstrate 
competency during the required assessment. The FAA proposes 
requirements governing remedial training in Sec.  147.22(e). At the 
conclusion of a competency assessment, the school would determine 
whether remedial training is necessary in accordance with proposed 
Sec.  147.22(e). If a student fails to demonstrate competency of a 
course content item in accordance with the standard specified in 
proposed Sec.  147.22(d)(4), the school would be required to provide 
additional training and reassessment in areas of deficiency until the 
student can demonstrate the knowledge, skills, and observable behaviors 
that reflect the competencies at a minimum of 70 percent. The FAA 
emphasizes that a student would not be allowed to advance to a 
subsequent related course content item or subject area until that 
student has achieved the competencies in the subject area in which they 
were found deficient.
3. Students With Prior Training or Experience
    The FAA received several comments regarding how a CBT program would 
benefit an individual with prior training or experience. One commenter 
explained how qualified mechanics from other fields are currently 
required to sit through redundant training to meet the prescribed 
number of hours under the traditional instruction hour curriculum. The 
FAA sees some minor redundancies in training when comparing, for 
example, an aircraft mechanic to an automobile mechanic. However, these 
redundancies are limited in scope. Because aviation maintenance 
practices and procedures are governed by a specific and unique 
regulatory framework, it is essential that students with maintenance 
experience in other fields receive comprehensive and complete training 
within AMTS curriculums. The FAA proposes to require a pre-training 
assessment for students that are seeking credit for prior training or 
experience in aviation maintenance, such as in a certain subject area 
or specific course content items. Persons with non-aviation related 
mechanical experience or training would not be eligible for pre-
training assessments. Individuals must receive specific training 
relating to aircraft and aircraft safety because of the hazards, risks, 
and responsibilities associated with aviation maintenance. Students 
with non-aviation experience or training still stand to benefit from a 
CBT program, progressing at their own pace rather than attending class 
for the required number of instructional hours.
    Proposed Sec.  147.22(f)(1) would allow a school to conduct a pre-
training assessment of the student's initial competencies. Because a 
student with prior training or experience should be trained and 
assessed to the same standard as the other students, the FAA proposes 
to require the pre-training assessment to meet the competency 
assessment requirements of Sec.  147.22(d)(1), as applicable to the 
course content item being assessed. If during a pre-training 
assessment, the student fails to demonstrate each applicable 
competency, with respect to the course content item being assessed, at 
a minimum of 70 percent, the school may not credit the student with 
competency in the course content item(s). At the completion of a pre-
training assessment, the student would receive an individualized 
curriculum that would include only those subject areas and/or course 
content items where competency was not demonstrated. After the 
curriculum is determined for the individual, the student should receive 
training, competency assessments, and remedial training (if applicable) 
in the same form and manner as the other students.
    Proposed Sec.  147.22(f) is intended to allow individuals with 
prior training or experience to advance quickly through certain subject 
areas or course content items, provided they can demonstrate that they 
have already achieved the applicable competencies.
4. Instructors
    The FAA believes that transitioning to the proposed CBT program 
from a traditional curriculum based on instructional hours would affect 
the way instructors teach and assess their students. Currently, 
instructors teach their students to achieve knowledge and skill for 
each course content item. CBT adds the dynamic of observable behaviors 
as applicable to a particular course content item and the competencies 
associated with it. Under the proposed CBT program, the instructors' 
emphasis would be on training and assessing students based on their 
knowledge, skills, and observable behaviors with respect to each course 
content item. Instructors must know and understand the competencies 
that are applicable to each course content item and the associated 
observable behaviors that the student must demonstrate.
    For the reasons stated above, the FAA believes it would be 
necessary to require the schools to train their instructors on the 
school's CBT program, including delivery methods and assessment 
techniques. Additionally, the FAA believes schools should evaluate the 
instructors' competencies to ensure the instructors are qualified to 
provide CBT training and assessments. Therefore, proposed Sec.  
147.22(g) would require a CBT program to describe how the school will 
train and evaluate its instructors.
    Furthermore, the FAA recognizes the concerns from one commenter 
regarding the instructor-to-student ratio in a CBT curriculum. The 
commenter explained how a CBT curriculum would require a lesser ratio 
of students to instructor in order to accommodate students progressing 
at different rates. The commenter further stated that, with practical 
application projects, a CBT program may require one-on-one instruction.
    As proposed in Sec.  147.22(c)(1), a CBT program may include group 
instruction, individualized instruction, or any combination thereof. 
For any group instruction offered under a CBT program, the FAA proposes 
to require schools to describe the instructor-to-student ratios that 
would apply, including the ratio that would apply in the laboratory or 
shop. The FAA is also proposing to require the CBT program to meet the 
requirements of proposed Sec.  147.23, which would require at least 1 
instructor for each 25 students in the shop or laboratory. The FAA 
believes these proposed requirements would provide schools with enough 
flexibility to define their own instructor to student ratio, while 
giving the FAA the ability to review and approve such ratios. The FAA 
seeks comments regarding the instructor-to-student ratios in a CBT 
program. Specifically, the FAA seeks comments regarding whether the FAA 
should impose more prescriptive requirements in proposed Sec.  147.22 
in terms of how many students should be allowed per instructor under a 
CBT program, taking account for the various methods of training that 
the instructor may provide.
5. Data Collection, Analysis and Recordkeeping
    The proposal to allow CBT would introduce an entirely new method of 
training in the aviation maintenance industry. While the FAA believes 
CBT training would have several benefits in the field, as previously 
discussed, requirements would be necessary to ensure the program is 
accomplishing its

[[Page 15538]]

objectives. As one commenter pointed out, if the FAA allows CBT, it 
should be verified as effective to ensure it achieves the goal of 
enabling graduates to perform the duties of a FAA certificated 
mechanic. The primary objective of a CBT program, to prepare student 
mechanics for FAA certification, is the same as for the instruction 
hour or credit hour programs. However, a secondary objective is to 
better prepare student mechanics for the workplace by teaching course 
content items and how they relate to a competency and its observable 
behaviors. The FAA has concluded that a student educated in this CBT 
program would have a better foundation and contribute more rapidly in 
their future workplace.
    Under proposed Sec.  147.22(h), the FAA proposes to require each 
school conducting a CBT program to establish and maintain a data 
collection and analysis process on its students and instructors that 
would enable the school and the FAA to determine whether the CBT 
program is accomplishing its objectives. The FAA believes this proposal 
would benefit both the school and the FAA because it would enable the 
school and the FAA to identify any deficiencies in the program and 
adjust the CBT curriculum or instruction accordingly. This proposal 
would foster a better understanding of CBT curriculums and assist the 
FAA in its oversight of approved CBT programs.
    In connection with the data collection and analysis process, the 
FAA proposes to require the school to maintain records reflecting the 
outputs of the process for a minimum of 2 years. The records would 
include, at a minimum, the data collected by the process, the results 
of the analysis, and the plans for corrective actions that were taken 
as a result of the analysis process. The intent is to identify 
deficiencies within the CBT program, and to verify that action is being 
taken to correct those deficiencies. Maintaining the records for 2 
years is consistent with existing AMTS recordkeeping requirements and 
provides sufficient data for trend analysis.
    Furthermore, the FAA believes that additional recordkeeping 
requirements would be necessary under a CBT program to ensure that each 
student's progression through the CBT curriculum is clearly documented. 
Under a CBT program, a school would have more flexibility in developing 
a curriculum and students would receive competency assessments rather 
than traditional tests. These competency assessments would assess 
whether the student may progress to subsequent course content items. 
The FAA notes that competency assessments are a new concept in the 
regulations and are not encompassed by the recordkeeping requirements 
of proposed Sec.  147.33. Therefore, the FAA proposes, in Sec.  
147.22(i), to require each certificated AMTS conducting an approved CBT 
curriculum to establish and maintain for each student enrolled records 
that show the student's progression through his or her individual 
curriculum, including documentation of any pre-training assessments and 
competency assessments. The FAA believes this proposed recordkeeping 
requirement would ensure that the proper records verifying the 
student's completion of the curriculum, or portions thereof, would be 
retained. The FAA notes that the AMTS would also be required to meet 
the record requirements of Sec.  147.33. The FAA may find that changes 
are needed to a CBT program to ensure its effectiveness. Under 
performance of an AMTS is usually observed by an FAA inspector during 
on-site surveillance or through the test results of recently graduated 
students. The 8080-08 School Norms vs. National Passing Norms Report 
\7\ published quarterly is a useful tool for the school and the 
inspector to identify subject areas needing improvement. An AMTS is 
expected to maintain compliance with the standard in Sec.  147.37. If 
the FAA observes that the CBT program is not producing the desired 
results the certificate holder will be notified and must make the 
necessary corrections. The FAA would revise Advisory Circular (AC) 147-
3, which provides guidance to comply with the proposed rules.\8\
---------------------------------------------------------------------------

    \7\ Quality of instruction results are published quarterly in 
the 8080-08 School Norms vs. National Passing Norms Report. These 
reports provide AMTS students testing results for the specific 
subject areas in which they are tested.
    \8\ See Docket No. FAA-2015-3901.
---------------------------------------------------------------------------

B. Satellite Training Locations

    In the NPRM, the FAA did not propose to permit satellite training 
locations for AMTSs. However, the Aviation Technician Education Council 
(ATEC) suggested a revision to proposed Sec.  147.13 to permit a school 
to conduct operations outside of its primary location, such as at high 
schools. ATEC recommended language that would allow a school to make 
educational programs more readily available through partnerships with 
secondary education institutions. ATEC noted that several programs 
currently exist that help recruit future technicians before they 
graduate from high school, and its suggested change would ensure that 
all schools have the same, consistent opportunity to expand programs to 
local high school students.
    The FAA agrees with ATEC's comment and therefore, proposes to add a 
new section, Sec.  147.14, to facilitate satellite training locations 
for AMTSs. A satellite training location would be a training location 
away from the school's primary location. Under the proposal, an AMTS 
could add one or more satellite training locations. A satellite 
training location may be either dependent, which means it would not 
hold its own AMTS certificate under part 147, or independent. An 
independent satellite training location would hold its own AMTS 
certificate and be held responsible for complying with the requirements 
of part 147.
    To conduct operations at a satellite training location, a 
certificated AMTS would be required to apply to the FAA at least 60 
days before the training would commence. The application would be 
required to include the following: A description of the proposed 
curriculum; a list of the facilities, including their physical 
addresses, and the materials and equipment to be used; a list of the 
instructors to be used, including the kind of certificate and ratings 
held by each, and their certificate numbers; and the maximum number of 
students to be enrolled at any one time.\9\
---------------------------------------------------------------------------

    \9\ These requirements are contained in Sec.  147.5(a)(1) 
through (5), as proposed in the NPRM.
---------------------------------------------------------------------------

    Both dependent and independent satellite training locations would 
be approved through a new operations specification, which would be 
issued to the parent AMTS (the certificate holder), provided the 
satellite training location meets the applicable requirements of part 
147. The parent AMTS OpSpec would list all of the parent's authorized 
satellite training locations. For each satellite training location, the 
operations specifications would list the person responsible for 
operations conducted at the location. For dependent satellite training 
locations, the operations specifications would also list the 
curriculum, or portion thereof, that the satellite is authorized to 
teach. The FAA notes that the parent AMTS operations specifications 
would not list the curriculum that the independent satellite training 
location would be authorized to teach because an independent satellite 
training location would have its own part 147 certificate and thus its 
own operations specifications outlining its approved curriculum. This 
approved curriculum, however, is expected to mirror that of the parent 
AMTS curriculum. The

[[Page 15539]]

parent AMTS must develop adequate procedures describing satellite 
operations acceptable to the FAA, and make them available to each 
satellite location. For example, procedures would be necessary to 
address the sharing of equipment, tools, and personnel.
    Both types of satellite training locations must use the curriculum 
and procedures of the parent AMTS. The independent satellite training 
locations, however, may implement differences in the curriculum and 
procedures, provided those differences are documented and accepted or 
approved by the FAA, as applicable. Satellite training locations may 
also share tools, equipment, and instructors with the parent AMTS and 
with other satellites of the parent AMTS.\10\ The proposed requirements 
that would apply to both dependent and independent satellite training 
locations are contained in Sec.  147.14(a).
---------------------------------------------------------------------------

    \10\ Instructors must be listed on either the parent AMTS 
OpSpec, or an independent satellite's OpSpec.
---------------------------------------------------------------------------

    The first kind of satellite is a dependent satellite training 
location. The dependent satellite training location would be managed by 
the parent AMTS and would operate under the part 147 certificate issued 
to the parent AMTS. Therefore, the parent AMTS would be responsible for 
ensuring the dependent satellite training location maintains compliance 
with all part 147 requirements. Under this proposed structure, a 
dependent satellite (e.g., a trade school, a high school, or other 
training location) \11\ would for example, offer some of the courses in 
the AMTSs' General Curriculum. The satellite training location would be 
issued a unique designator code to identify its satellite status. The 
proposed requirements for dependent satellite training locations are 
contained in Sec.  147.14(b). The FAA proposes to include a provision 
in Sec.  147.14(b)(3) that would subject dependent satellite training 
locations to FAA inspection of facilities to determine compliance with 
part 147.\12\
---------------------------------------------------------------------------

    \11\ The FAA notes that the examples listed could become 
independent satellites if they chose to pursue part 147 
certification. This list of examples is not all-inclusive.
    \12\ The FAA notes that it is unnecessary to include a similar 
requirement for independent satellite training locations because an 
independent satellite training location would be operating under its 
own part 147 certificate and would be subject to FAA inspection.
---------------------------------------------------------------------------

    The second kind of satellite is an independent satellite training 
location. As previously mentioned, an independent satellite training 
location would operate under its own part 147 certificate and would be 
responsible for ensuring its own compliance with the applicable 
requirements of part 147. A currently certificated AMTS may choose to 
be an independent satellite training location in order to have its 
training program under the control of a parent AMTS certificate holder. 
This proposed structure may be beneficial because it would allow a 
certificated AMTS to serve as a satellite training location without 
having to surrender its current part 147 certificate. Additionally, an 
independent satellite training location may find value in using a 
parent AMTS training program and in sharing facilities, equipment, and 
personnel with the parent AMTS and its other satellite locations. An 
AMTS that wants to become an independent satellite must use the 
curriculum and procedures of the parent AMTS. An independent satellite 
training location would already hold an air agency certificate and 
certificate number. Its 4-letter designator would be used to identify 
its satellite status. As with all certificated AMTSs, the independent 
satellite would be issued applicable operations specifications. Because 
a satellite training location must use the curriculum and procedures of 
the parent AMTS, and the curriculum is a function of the ratings, an 
independent satellite location may not hold a rating that the parent 
AMTS does not hold. An independent satellite training location would 
not be eligible to have a satellite training location of its own.
    The FAA appreciates that if an AMTS is able to have a satellite 
training location, it could expand its capacity to educate future 
airframe and powerplant (A&P) mechanics, especially if offered as part 
of a high school program. The expansion of student mechanic training 
would benefit industry by helping to mitigate A&P mechanic shortages. 
Expanding the geographic base by allowing satellite locations may also 
reduce commuting times for some students.
    The FAA would revise AC 147-3 to include guidance on satellite 
operations.\13\
---------------------------------------------------------------------------

    \13\ See Docket No. FAA-2015-3901.
---------------------------------------------------------------------------

C. Quality of Instruction

    In the NPRM, the FAA proposed to move the quality of instruction 
requirements from Sec.  147.38(a) to Sec.  147.37. Additionally, the 
FAA proposed to revise the quality of instruction requirements by 
adding proposed Sec.  147.37(b), which would have stated that the 
failure of a school to maintain the quality of instruction specified in 
Sec.  147.37(a) may be the basis for suspending or revoking that 
school's certificate.
    Several commenters objected to the language in proposed Sec.  
147.37(b). One commenter stated ``the ability of the FAA to suspend or 
revoke without due process in this manner should not be available.'' 
Another commenter pointed out that the NPRM preamble did not address 
the new language in proposed Sec.  147.37(b) and that it should be 
removed.
    Though the FAA did not discuss proposed paragraph Sec.  147.37(b) 
in the NPRM preamble, the proposed language would not have created a 
new burden or imposition on industry. Currently, if a certificated AMTS 
fails to meet the quality of instruction requirements in Sec.  
147.38(a), the inspector would discuss the expectations and 
requirements for compliance. The AMTS is then given the opportunity to 
correct the deficiencies by developing a corrective action plan, and 
implementing that plan, to achieve compliance. However, if an AMTS 
refuses to correct the non-compliance or fails to achieve compliance 
over time, the FAA may suspend or revoke the schools' AMTS 
certificate.\14\ In light of the comments, however, the FAA recognizes 
that proposed Sec.  147.37(b) was focused more on revocation and 
suspension of a certificate, rather than on corrective action. In an 
effort to be more consistent with the FAA's compliance and enforcement 
policy,\15\ the FAA emphasizes that the failure of a school to maintain 
the quality of instruction requirements may be the basis for compliance 
action. However, the FAA has concluded that it is unnecessary to 
include this language in the regulation. Persons should know that any 
failure to comply with the regulations of 14 CFR may be the basis for a 
compliance action. The FAA is therefore withdrawing Sec.  147.37(b) (as 
proposed in the NPRM). As a result, Sec.  147.37(a) (as proposed in the 
NPRM) is now proposed Sec.  147.37.
---------------------------------------------------------------------------

    \14\ An aviation maintenance technician school certificate or 
rating is effective until it is surrendered, suspended, or revoked. 
14 CFR 147.7. See FAA Order 2150.3, FAA Compliance and Enforcement 
Program (Feb. 2, 2017).
    \15\ FAA Order 2150.3, FAA Compliance and Enforcement Program 
(Feb. 2, 2017).
---------------------------------------------------------------------------

    ATEC recommended deleting the quality of instruction requirements 
entirely with the justification ``the schools have specific 
accreditation and DOE requirements, not to mention ``customer'' demands 
that necessitate high quality programs. Having passing norms dictated 
in regulation only creates additional surveillance burdens on FAA 
without an increase in safety.''

[[Page 15540]]

    Because the FAA certificates and maintains oversight of AMTSs, the 
FAA needs to ensure that the quality of instruction received by the 
students is reflected positively in their FAA written knowledge tests. 
After a critical analysis of proposed Sec.  147.37,\16\ the FAA 
acknowledges that requiring an AMTS to meet a norm based on relative 
peer performance is not particularly relevant. Comparing one school's 
graduates to another school's graduates does not effectively measure 
either school's quality of instruction. The FAA believes a better 
measure of success would be to set a uniform standard for all AMTSs. 
The FAA would evaluate a school's quality of instruction by determining 
whether the school's graduates achieved the standard rather than 
comparing schools against one another. A generally accepted academic 
standard for passing is a minimum of 70 percent. This is the current 
standard used by the FAA to determine whether an airman has 
demonstrated adequate knowledge on an FAA written exam. Therefore, the 
FAA proposes to simplify Sec.  147.37 to require each AMTS to ensure 
that, in the prior 24 calendar months, it provided instruction of 
sufficient quality that at least 70 percent of its graduates passed 
\17\ on the first attempt each written knowledge test leading to a 
certificate or rating. The Airman Testing Branch will continue to 
receive FAA written exam test results from the Airmen Knowledge Testing 
Centers and compile quarterly reports.\18\ The FAA will use the 
quarterly reports to ensure the quality of instruction required by 
Sec.  147.37. The proposal does not impose any reporting requirements 
on an AMTS or its graduates.
---------------------------------------------------------------------------

    \16\ The quality of instruction requirements are currently found 
in Sec.  147.38(a). In the NPRM, the FAA proposed to relocate these 
requirements to Sec.  147.37.
    \17\ Under 14 CFR 65.17(b), the minimum passing grade for each 
test is 70 percent.
    \18\ https://www.faa.gov/data_research/aviation_data_statistics/test_statistics/.
---------------------------------------------------------------------------

D. Miscellaneous Amendment

    The FAA is also proposing a clarifying amendment to Sec.  
147.17(a)(2). Currently, Sec.  147.17(a)(2) requires an applicant for a 
mechanic school certificate and rating, or for an additional rating, to 
have ``at least one aircraft of a type currently certificated by FAA 
for private or commercial operation.'' As explained in AC 147-3B,\19\ 
certification in this context refers to FAA type certification.\20\ 
However, it has been brought to the FAA's attention that this language, 
which dates back to the 1950's,\21\ could be interpreted otherwise. For 
example, a person could interpret ``an aircraft of a type currently 
certificated by the FAA'' as referring to any aircraft certificated by 
the FAA for private or commercial operation, such as an amateur-built 
aircraft. The FAA believes that AC 147-3B, which states that Sec.  
147.17(a)(2) requires an AMTS to provide a type-certificated aircraft 
for student instruction,\22\ reflects the FAA's original intent. 
Therefore, the FAA is proposing to revise Sec.  147.17(a)(2) to require 
each certificated AMTS to provide and maintain at least one aircraft 
type-certificated by the FAA.
---------------------------------------------------------------------------

    \19\ AC 147-3B, ``Certification and Operation of Aviation 
Maintenance Technician Schools,'' (June 5, 2015).
    \20\ AC 147-3B, Section 2-10, Page 13.
    \21\ Part 53 Mechanic School Certificates, Rules, Policies, and 
Interpretations of CAA, 18 FR 4281 (July 23, 1953). Section 53.25(b) 
required ``at least one modern-type aircraft complete with 
powerplant, propeller, instruments, radio (two-way), landing lights, 
flares, and other items of equipment and accessories on which a 
mechanic might be required to work and with which he should be 
familiar.'' Id. at 4283. In Sec.  53.25-1, the CAA interpreted a 
modern-type aircraft as meaning ``an airplane of a type currently 
certificated by CAA for private or commercial operation.'' Id.
    \22\ AC 147-3B, Section 3-14, Page 21.
---------------------------------------------------------------------------

IV. Regulatory Notices and Analyses

A. Regulatory Evaluation

    Changes to Federal regulations must undergo several economic 
analyses. First, Executive Order 12866 and Executive Order 13563 direct 
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 (RFA) 
(Pub. L. 96-354) requires agencies to analyze the economic impact of 
regulatory changes on small entities. Third, the Trade Agreements Act 
(Pub. L. 96-39) prohibits agencies from setting standards that create 
unnecessary obstacles to the foreign commerce of the United States. In 
developing United States (U.S.) standards, this Trade Act requires 
agencies to consider international standards and, where appropriate, 
that they be the basis of U.S. standards. Fourth, the Unfunded Mandates 
Reform Act of 1995 (Pub. L. 104-4) requires agencies to prepare a 
written assessment of the costs, benefits, and other effects of 
proposed or final rules that include a Federal mandate likely to result 
in the expenditure by State, local, or tribal governments, in the 
aggregate, or by the private sector, of $100 million or more annually 
(adjusted for inflation with base year of 1995; current value is $155 
million). This portion of the preamble summarizes the FAA's analysis of 
the economic impacts of this proposed rule.
    In conducting these analyses, the FAA has determined that this 
proposed rule: (1) Has benefits that justify its costs, (2) is not an 
economically ``significant regulatory action'' as defined in section 
3(f) of Executive Order 12866, (3) is not ``significant'' as defined in 
DOT's Regulatory Policies and Procedures; (4) would not have a 
significant economic impact on small entities; (5) would not create 
unnecessary obstacles to the foreign commerce of the U.S.; and (6) 
would not impose an unfunded mandate on state, local, or tribal 
governments, or on the private sector by exceeding the threshold 
identified above. These analyses are summarized below.
Affected Population
    In the NPRM, the FAA estimated 162 part 147 AMTSs would be affected 
by the proposed rule. In this SNPRM, the FAA estimates the same 
affected AMTSs have the option of either implementing competency-based 
training and/or to set up satellite training locations.
Additional Flexibilities
    This SNPRM provides additional flexibilities to the NPRM published 
October 2, 2015, provisions proposed in the NPRM not discussed here are 
unchanged from the NPRM. More specifically, the SNPRM would expand the 
scope of that proposal to allow CBT and satellite training locations, 
which are voluntary provisions, and it would also eliminate the 
national passing norms specified in the quality of instruction 
requirements.
Voluntary Provisions
    Under a CBT program, rather than focusing on the number of 
instructional hours received in a classroom, AMTSs would be focused on 
training students to achieve the competencies, which include knowledge, 
skills, and observable behaviors, that are necessary to perform as a 
certificated mechanic. A CBT curriculum would allow schools to train 
students in a more individualized manner based on the students' 
knowledge and skill level. Students would advance in the areas they 
demonstrate competency in and would receive additional training in the 
areas in which they are found deficient. This competency-based 
structure would enable students to advance at their own pace while 
placing emphasis on demonstrated proficiency rather than the 
instruction time.
    The FAA recognizes that if an AMTS is able to have a satellite 
training location, then it could expand its capacity to educate future 
A&P mechanics, especially if offered with a

[[Page 15541]]

high school program. The expansion of student mechanic training would 
benefit industry by expanding educational opportunities, which would 
mitigate A&P mechanic shortages. Additionally, if a school has the 
option of providing some of its training through satellite training 
locations, then its geographic base can expand, along with the 
opportunity to partner with high schools in order to expand the 
recruiting age envelope. Expanding the geographic base by allowing 
satellite locations may also reduce commuting times for some students.
    Providing flexibility to AMTSs to use CBT may produce cost savings 
and generate benefits. For instance, CBT would allow AMTSs to pre-
screen applicants for competencies they possess at the time of 
application, and provide relief to those applicants for the 
corresponding curriculum elements. CBT may also allow the AMTS to focus 
on the competencies for which their students' require more remedial 
attention, providing a more individualized and higher-quality training 
for its students. At this time, the FAA does not have data to 
quantitatively assess whether the relief provided by the pre-assessment 
of student competencies would outweigh the costs associated with the 
additional care and attention provided to students who require remedial 
attention. Nevertheless, the FAA believes that CBT would allow AMTSs to 
concentrate resources on where they will provide the most benefits.
    The FAA acknowledges that there would be some startup costs 
incurred for some schools to transition over to CBT. However, the FAA 
believes that because this SNPRM provides CBT as an additional 
flexibility, rather than a requirement, it can safely presume that any 
utilization of CBT would provide benefits or cost savings that exceed 
the costs. Similarly, the FAA acknowledges that AMTSs would incur costs 
to set up satellite locations, but the FAA presumes that AMTSs would 
only incur those costs if there were sufficient demand to recover them.
    CBT and satellite training locations are voluntary provisions. 
Therefore, the FAA assumes the utilization of these flexibilities would 
produce benefits net of costs.
Quality of Instruction
    The FAA proposal to eliminate the national passing norms specified 
in the quality of instruction requirements would result in the 
elimination of some national data from the 8080-08 report.\23\ The FAA 
estimates this would provide minor cost savings associated with reduced 
paperwork for the FAA as estimated in the Paperwork Reduction Act 
section.
---------------------------------------------------------------------------

    \23\ As a result of this change the National Applicants and the 
National Norm columns would be eliminated from the 8080-08 report.
---------------------------------------------------------------------------

Cumulative Impacts
    The total estimated cost savings of the NPRM over the analysis 
period would be about $6.8 million in 2016 dollars.\24\ This stream of 
cost savings has a present value of $3.4 million when discounted at 
seven percent. The total estimated cost savings of the SNPRM over the 
analysis period would be minimal. The following table presents the 
cumulative cost savings over 10 years for the NPRM and SNPRM.
---------------------------------------------------------------------------

    \24\ U.S. DOT/FAA--Regulatory Evaluation--Aviation Maintenance 
Technician Schools--NPRM 14 CFR parts 147, https://www.regulations.gov/searchResults?rpp=25&po=0&s=2015-3901-0093&fp=true&ns=true.
[GRAPHIC] [TIFF OMITTED] TP16AP19.020

Therefore, the cumulative impact of this SNPRM will be minimal, and a 
regulatory evaluation was not prepared. The FAA requests comments with 
supporting justification about the FAA determination of minimal impact.

B. Regulatory Flexibility Determination

    The RFA establishes ``as a principle of regulatory issuance that 
agencies shall endeavor, consistent with the objective of the rule and 
of applicable statutes, to fit regulatory and informational 
requirements to the scale of the business, organizations, and 
governmental jurisdictions subject to regulation.'' To achieve that 
principle, the RFA requires agencies to solicit and consider flexible 
regulatory proposals

[[Page 15542]]

and to explain the rationale for their actions. The RFA covers a wide 
range of small entities, including small businesses, not-for-profit 
organizations, and small governmental jurisdictions.
    Agencies must perform a review to determine whether a proposed or 
final rule will have a significant economic impact on a substantial 
number of small entities. If the agency determines that it will, the 
agency must prepare a regulatory flexibility analysis as described in 
the Act.
    The FAA identified a total of 19 AMTSs with less than 1,500 
employees which are classified as small entities. The FAA believes that 
this SNPRM would not have a significant economic impact on these small 
AMTSs because any costs they would voluntarily incur would be small and 
offset by cost savings.
    If an agency determines that a rulemaking will not result in a 
significant economic impact on a substantial number of small entities, 
the head of the agency may so certify under section 605(b) of the 
Regulatory Flexibility Act. Therefore, as provided in section 605(b), 
based on the previous analysis the head of the FAA certifies that this 
rulemaking will not result in a significant economic impact on a 
substantial number of small entities.

C. International Trade Impact Assessment

    The Trade Agreements Act of 1979 (Pub. L. 96-39), as amended by the 
Uruguay Round Agreements Act (Pub. L. 103-465), prohibits Federal 
agencies from establishing standards or engaging in related activities 
that create unnecessary obstacles to the foreign commerce of the United 
States. Pursuant to these Acts, the establishment of standards is not 
considered an unnecessary obstacle to the foreign commerce of the U.S., 
so long as the standard has a legitimate domestic objective, such as 
the protection of safety, and does not operate in a manner that 
excludes imports that meet this objective. The statute also requires 
consideration of international standards and, where appropriate, that 
they be the basis for U.S. standards. The FAA has assessed the 
potential effect of this proposed rule and determined that the 
objective would only affect domestic firms therefore would not create 
unnecessary obstacles to the foreign commerce of the United States.

D. Unfunded Mandates Assessment

    Title II of the Unfunded Mandates Reform Act of 1995 (Pub. L. 104-
4) requires each Federal agency to prepare a written statement 
assessing the effects of any Federal mandate in a proposed or final 
agency rule that may result in an expenditure of $100 million or more 
(in 1995 dollars) in any 1 year by State, local, and tribal 
governments, in the aggregate, or by the private sector; such a mandate 
is deemed to be a ``significant regulatory action.'' The FAA currently 
uses an inflation-adjusted value of $155 million in lieu of $100 
million. This proposed rule does not contain such a mandate; therefore, 
the requirements of Title II of the Act do not apply.

E. Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. 3507(d)) requires 
that the FAA consider the impact of paperwork and other information 
collection burdens imposed on the public. According to the 1995 
amendments to the Paperwork Reduction Act (5 CFR 1320.8(b)(2)(vi)), an 
agency may not collect or sponsor the collection of information, nor 
may it impose an information collection requirement unless it displays 
a currently valid Office of Management and Budget (OMB) control number.
    On April 3, 2018, the FAA published a notice proposing to amend the 
OMB supporting statement for information collection, OMB Control 
Number: 2120-0040, which would update the information collection to 
account for recordkeeping burdens in part 147 that were not previously 
accounted for. As part of the part 147 proposed rulemaking, the FAA has 
identified provisions in the NPRM and SNPRM with Paperwork Reduction 
Act (PRA) implications that, if finalized as proposed, will require the 
FAA to make additional amendments to information collection OMB Control 
Number: 2120-0040. The FAA notes that the part 147 NPRM, which 
published on October 2, 2015,\25\ did not discuss the proposed 
provisions that would require changes to the information collection 
burden. Therefore, this document discusses both the NPRM and SNPRM 
provisions that would have PRA implications.
---------------------------------------------------------------------------

    \25\ 80 FR 59674.
---------------------------------------------------------------------------

    The Safety Standards, Aircraft Maintenance Division has determined 
that three primary positions at an AMTS will be performing the 
information and record collection activities. They are the school's 
Director, at a salary of $56/hour, an Instructor, at a salary of $28/
hour, and an Administrative Assistant, at a salary of $23/hour.\26\ A 
fringe benefit factor of $1.17 \27\ was applied to the relevant median 
salary.
---------------------------------------------------------------------------

    \26\ Wage rates for these positions came from the Department of 
Labor, Bureau of Labor Statistics, May 2016 NAICS 481000--Air 
Transportation codes for the AMTS Director, #11-3131, AMTS 
Instructor #25-0000, and AMTS Administrative Assistant #43-6014.
    \27\ Volpe Memorandum, Estimating Total Cost of Compensation 
based on Wage Rate or Salaries, Jan. 30, 2014.
---------------------------------------------------------------------------

    The NPRM proposed to remove current Sec. Sec.  147.36, 147.37, and 
147.38 because they are unnecessary in light of the corresponding 
initial certification requirements, which are continuing and ongoing. 
Therefore, the information collections currently required by Sec. Sec.  
147.36, 147.37, and 147.38 would now be associated with Sec. Sec.  
147.23, 147.13, and 147.21 respectively. No additional information 
collection burden has been identified.
    The FAA introduced operation specifications for part 147 by Notice 
N 8900.278 on November 21, 2014. Certificated part 147 schools were 
required to have their OpSpecs authorized by July 21, 2015. Originally, 
there were 14 OpSpecs, but A012 Affiliated Designated Mechanic 
Examiners (DME) has since been archived. The pending 2018 revision of 
OMB information collection control #2120-0040 accounts for the 13 
OpSpec paragraphs currently required at initial certification.

                   Part 147 Operations Specifications
------------------------------------------------------------------------
                                     Operations Specifications (OpSpecs)
         Part 147 OpSpecs                           title
------------------------------------------------------------------------
A001..............................  Issuance and Applicability
                                     (Mandatory).
A002..............................  Definitions and Abbreviations
                                     (Mandatory).
A003..............................  Aviation Maintenance Technician
                                     School Ratings (Mandatory).
A004..............................  Summary of Special Authorizations
                                     and Limitations (Mandatory).
A005..............................  Exemptions (Optional).
A006..............................  Management Personnel (Mandatory).
A007..............................  Designated Persons (Mandatory).

[[Page 15543]]

 
A008 **...........................  Satellite Training Locations
                                     (Optional).
A012..............................  Affiliated DMEs (Archived).
A013..............................  Instructors (Mandatory).
A015 *............................  Facilities, equipment, and materials
                                     (Mandatory).
A025..............................  Recordkeeping System (Mandatory).
A026..............................  Authorizations/Limitations
                                     (Optional).
B002..............................  Required Minimum Curriculum for
                                     General (Part 147 Appendix B)
                                     (Mandatory).
B003..............................  Required Minimum Curriculum for
                                     Airframe (Part 147 Appendix C)
                                     (Mandatory).
B004..............................  Required Minimum Curriculum for
                                     Powerplant (Part 147 Appendix D)
                                     (Mandatory).
B005 **...........................  Competency-based training
                                     (Optional).
------------------------------------------------------------------------
* = proposed by NPRM, ** = proposed by SNPRM.

    The FAA proposed in the NPRM a new section, Sec.  147.9 Operations 
Specifications, that would provide, among other things, each AMTS's 
operations specifications contain its complete curriculum, the course 
content items, and teaching levels required under each of the subjects 
specified in the part 147 appendices. The NPRM would require an 
additional mandatory OpSpec paragraph A015 to list the facilities, 
equipment and materials used by the AMTS. The NPRM also has a proposed 
requirement that would amend OpSpec A013, Instructors, due to the 
proposed changes to Sec.  147.23 for schools that provide specially 
qualified instructors who are not FAA certificated mechanics to teach 
general, airframe, powerplant, or specialized subjects.
    Furthermore, the SNPRM proposes to add two additional OpSpecs: An 
optional OpSpec A008 for satellite training locations as covered in 
proposed Sec.  147.14, and an optional OpSpec B005 for the competency-
based training curriculum, proposed by Sec.  147.22. The estimated 
annual changes reflects the estimated number of new part 147 applicants 
but does not include AMTSs seeking to make changes as a result of this 
rulemaking.
    The FAA estimates the additional annual information collection 
burden for proposed Sec.  147.9, which accounts for the OpSpec changes 
proposed in both the NPRM and SNPRM, would be 48 hours with an 
estimated annual cost of $2,688.

------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                Director @ $56/hour    Instructor @ $28/hour   Administrative @ $23/
                                                                                                             ------------------------------------------------          hour
                                                                                                   Estimated                                                 ------------------------  Estimated
            Sec.   147.9 Provision                                   Basis                          annual     Estimated   Estimated   Estimated   Estimated   Estimated   Estimated    annual
                                                                                                    changes    hours per    annual     hours per    annual     hours per    annual       cost
                                                                                                                change       hours      change       hours      change       hours
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Preparation of OpSpec A008: AMTS Satellite     Initial Certification............................           5           2          10  ..........  ..........  ..........  ..........        $560
 Training Locations.
Preparation of OpSpec A015: Facilities         Initial Certification............................           5           2          10  ..........  ..........  ..........  ..........         560
 Equipment and Materials.
Preparation of OpSpec B005: Competency-Based   Initial Certification............................           5           4          20  ..........  ..........  ..........  ..........       1,120
 Training (CBT) Program.
                                                                                                 -----------------------------------------------------------------------------------------------
    Sec.   147.9 estimated annual initial      .................................................  ..........  ..........          40  ..........           0  ..........           0       2,240
     certification reporting burden.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Amendment of OpSpec A008: AMTS Satellite       On Occasion......................................           6         .25         1.5  ..........  ..........  ..........  ..........          84
 Training Locations.
Amendment of OpSpec A013: Instructors........  On Occasion......................................          20         .25           5  ..........  ..........  ..........  ..........         280
Amendment of OpSpec A015: Facilities           On Occasion......................................           2         .25          .5  ..........  ..........  ..........  ..........          28
 Equipment and Materials.
Amendment of OpSpec B005: Competency-Based     On Occasion......................................           4         .25           1  ..........  ..........  ..........  ..........          56
 Training (CBT) Program.
                                                                                                 -----------------------------------------------------------------------------------------------
    Sec.   147.9 estimated annual post         .................................................  ..........  ..........           8  ..........           0  ..........           0         448
     certification reporting burden.
                                                                                                 -----------------------------------------------------------------------------------------------

[[Page 15544]]

 
        Sec.   147.9 estimated total annual    .................................................  ..........  ..........          48  ..........           0  ..........           0       2,688
         reporting burden.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

    The SNPRM proposes new Sec.  147.14, which would provide an option 
to allow a certificated AMTS to have or operate as a satellite training 
location. Under the proposal, an AMTS could add one or more satellite 
training locations. A satellite training location may be either 
dependent, which means it would not hold its own AMTS certificate under 
part 147, or independent. An independent satellite training location 
would hold its own AMTS certificate and be held responsible for 
complying with the requirements of part 147. The proposal would require 
any satellite training location(s) to be authorized by OpSpec A008. The 
parent AMTS would be required to make application to have a satellite 
training location. The FAA estimates the additional annual information 
collection burden for proposed Sec.  147.14 would be 374 hours with an 
estimated annual cost of $20,086.

------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                Director @ $56/hour    Instructor @ $28/hour   Administrative @ $23/
                                                                                                             ------------------------------------------------          hour
                                                                                                   Estimated                                                 ------------------------  Estimated
           Sec.   147.14 Provision                                   Basis                          annual     Estimated   Estimated   Estimated   Estimated   Estimated   Estimated    annual
                                                                                                    changes    hours per    annual     hours per    annual     hours per    annual       cost
                                                                                                                change       hours      change       hours      change       hours
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Apply for additional training location.......  Initial Certification............................           5          60         300  ..........  ..........           4          20     $17,260
Changes to additional training locations.....  On occasion......................................           6           8          48  ..........  ..........           1           6       2,826
                                                                                                 -----------------------------------------------------------------------------------------------
    Sec.   147.14 estimated total annual       .................................................  ..........  ..........         348  ..........           0  ..........          26      20,086
     reporting burden.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

    The SNPRM proposes in new Sec.  147.22 an option to allow AMTSs to 
deliver their approved curriculums using a CBT curriculum. The CBT 
curriculum must be FAA approved and authorized using OpSpec B005. A CBT 
program would require initial development and amendment on occasion by 
the AMTS. Ongoing CBT requirements would include:
     Pre-training assessment for persons with previous aviation 
training or experience. Proposed Sec.  147.22(f)
     Record-keeping for CBT training and assessment of AMTS 
instructors. Proposed Sec.  147.22(g)
     Establish and maintain a data collection and analysis 
process on its students and instructors that would enable the school 
and the FAA to determine whether the CBT program is accomplishing its 
objectives. Proposed Sec.  147.22(h)
     A certificated AMTS conducting an approved CBT curriculum 
must establish and maintain, for each student enrolled, records that 
show the student's progression through his or her individual 
curriculum, including documentation of any pre-training assessments and 
competency assessments. Proposed Sec.  147.22(i)
    The FAA estimates the additional annual information collection 
burden for proposed Sec.  147.22 would be 1,315 hours with an estimated 
annual cost of $63,315.

------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                Director @ $56/hour    Instructor @ $28/hour   Administrative @ $23/
                                                                                                             ------------------------------------------------          hour
                                                                                                   Estimated                                                 ------------------------  Estimated
           Sec.   147.22 Provision                                   Basis                          annual     Estimated   Estimated   Estimated   Estimated   Estimated   Estimated    annual
                                                                                                    changes    hours per    annual     hours per    annual     hours per    annual       cost
                                                                                                                change       hours      change       hours      change       hours
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Create CBT Program...........................  Initial Certification............................           5          80         400  ..........  ..........  ..........  ..........     $22,400
Revise CBT Program...........................  On Occasion......................................           4          10          40  ..........  ..........  ..........  ..........       2,240
Records of Instructor Training and Assessment  Ongoing..........................................          35           5         175  ..........  ..........           1          35      10,605
CBT Data Collection and Analysis.............  Ongoing..........................................          35          10         350           2          70           1          35      22,365
CBT Student assessment, enrollment and         Ongoing..........................................          35  ..........  ..........           5         175           1          35       5,705
 progress records.
                                                                                                 -----------------------------------------------------------------------------------------------
    Sec.   147.22 estimated total annual       .................................................  ..........  ..........         965  ..........         245  ..........         105      63,315
     reporting burden.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


[[Page 15545]]

    The NPRM proposed to modify Sec.  147.23 so that each school would 
be required to maintain and keep in its operations specifications an 
up-to-date list of the names and qualifications of all its instructors. 
The FAA estimates the additional annual information collection burden 
for proposed Sec.  147.23 is 30 hours with an estimated annual cost of 
$1,350.

------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                Director @ $56/hour    Instructor @ $28/hour   Administrative @ $23/
                                                                                                             ------------------------------------------------          hour
                                                                                                   Estimated                                                 ------------------------  Estimated
           Sec.   147.23 Provision                                   Basis                          annual     Estimated   Estimated   Estimated   Estimated   Estimated   Estimated    annual
                                                                                                    changes    hours per    annual     hours per    annual     hours per    annual       cost
                                                                                                                change       hours      change       hours      change       hours
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Maintain a list of the names and               Ongoing..........................................          40          .5          20  ..........  ..........         .25          10       1,350
 qualifications of all AMTS instructors.
                                                                                                 -----------------------------------------------------------------------------------------------
    Sec.   147.23 estimated total annual       .................................................  ..........  ..........          20  ..........           0  ..........          10       1,350
     reporting burden.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

    The NPRM proposed Sec.  147.31(f) to permit a student who had 
successfully completed the general curriculum to take the general 
written knowledge test even if the student had not met the experience 
requirements of 14 CFR 65.77. The school would be required to prepare 
and issue a Certificate of Completion to identify students who are 
eligible to take the written general knowledge test. An official of the 
school would be required to authenticate the certificate.
    Also proposed in the NPRM was Sec.  147.31(g) that would provide an 
option for an AMTS to offer some of their approved curriculum using 
distance learning instruction. The approval for a distance learning 
program would be authorized by OpSpec A026. This OpSpec was not counted 
as a NPRM or SNPRM affected change since it was available prior to the 
publication of the NPRM.
    The FAA estimates the additional annual information collection 
burden for proposed Sec.  147.31 would be 5,011 hours with an estimated 
annual cost of $199,153.

------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                Director @ $56/hour    Instructor @ $28/hour   Administrative @ $23/
                                                                                                             ------------------------------------------------          hour
                                                                                                   Estimated                                                 ------------------------  Estimated
           Sec.   147.31 Provision                                   Basis                          annual     Estimated   Estimated   Estimated   Estimated   Estimated   Estimated    annual
                                                                                                    changes    hours per    annual     hours per    annual     hours per    annual       cost
                                                                                                                change       hours      change       hours      change       hours
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Prepare Certificate of Completion for student  Ongoing..........................................       9,800         .25       2,450  ..........  ..........         .25       2,450    $193,550
 eligible to take written general knowledge
 test.
Develop and Create a distance learning         Initial..........................................           1          60          60          10          10           2           2       3,686
 program and submit for FAA approval.
Amend Distance Learning Program..............  On Occasion......................................           3          10          30           2           6           1           3       1,917
                                                                                                 -----------------------------------------------------------------------------------------------
    Sec.   147.31 estimated total annual       .................................................  ..........  ..........       2,540  ..........          16  ..........       2,455     199,153
     reporting burden.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

    The cumulative estimated annual information collection burden for 
the NPRM and SNPRM, if adopted as proposed, would be 6,778 hours with 
an estimated cost of $286,592.

----------------------------------------------------------------------------------------------------------------
                                                Director @ $56/  Instructor @   Administrative @
                                                     hour          $28/hour         $23/hour
Cumulative estimated burden of new and revised --------------------------------------------------    Estimated
           sections of NPRM & SNPRM                Estimated       Estimated    Estimated annual    annual cost
                                                 annual hours    annual hours         hours
----------------------------------------------------------------------------------------------------------------
Sec.   147.9 Operations Specifications........              48  ..............  ................          $2,688
Sec.   147.14 Satellite Training Locations....             348  ..............                26          20,086
Sec.   147.22 Competency-Based Training.......             965             245               105          63,315
Sec.   147.23 Instructor Requirements.........              20  ..............                10           1,350
    Sec.   147.31 Attendance and enrollment,             2,540              16             2,455         199,153
     test, and credit for prior instruction or
     experience...............................
                                               -----------------------------------------------------------------
    Estimated annual reporting burden of new             3,921             261             2,596         286,592
     rule.....................................
----------------------------------------------------------------------------------------------------------------


[[Page 15546]]

Paperwork Impact to the Federal Government
    The FAA proposal to eliminate the national passing norms specified 
in the quality of instruction requirements would result in the 
elimination of some national data from the 8080-08 report.\28\ The FAA 
estimates that the FAA would save about 3 hours per quarter from the 
elimination of the aforementioned data. FAA statisticians who produce 
this report are at an FV H level, averaging an hourly wage rate of 
$37.13.\29\ The fringe benefit for the government is 36 percent; \30\ 
thus the fully-loaded wage rate is $50.50. The FAA estimates 12 fewer 
annual hours and annual cost saving of $606 for provision Sec.  147.31.
---------------------------------------------------------------------------

    \28\ As a result of this change the National Applicants and the 
National Norm columns would be eliminated from the 8080-08 report.
    \29\ Mid-range salary of 2017 FV-H level divided by 2,080 hours. 
Accessed on December 5, 2017 from https://my.faa.gov/employee_services/pay_perf/pay.html.html#plansTables.
    \30\ Memorandum ``Update to Civilian Position Full Fringe 
Benefit Cost Factor, Federal Pay Raise Assumptions, and Inflation 
Factors used in OMB Circular No. A-76, `Performance of Commercial 
Activities,' '' 3/11/2008, page 2.

----------------------------------------------------------------------------------------------------------------
                                                                            FAA Statistician
                                                                              @$50.50/hour          Estimated
                        Sec.   147.31 Provision                        -------------------------   annual cost
                                                                         Estimated annual hours      savings
----------------------------------------------------------------------------------------------------------------
Eliminate the national passing norms specified in the quality of                            12             $606
 instruction requirements.............................................
----------------------------------------------------------------------------------------------------------------

    The FAA is soliciting comments to--
    (1) Evaluate whether the proposed information requirement is 
necessary for the proper performance of the functions of the FAA, 
including whether the information will have practical utility;
    (2) Evaluate the accuracy of the FAA's estimate of the burden;
    (3) Enhance the quality, utility, and clarity of the information to 
be collected; and
    (4) Minimize the burden of collecting information on those who are 
to respond, including by using appropriate automated, electronic, 
mechanical, or other technological collection techniques or other forms 
of information technology.
    Individuals and organizations may send comments on the information 
collection requirement to the address listed in the ADDRESSES section 
at the beginning of this preamble by June 17, 2019. Comments also 
should be submitted to the Office of Management and Budget, Office of 
Information and Regulatory Affairs, Attention: Desk Officer for FAA, 
New Executive Building, Room 10202, 725 17th Street NW, Washington, DC 
20053.

F. International Compatibility and Cooperation

    In keeping with U.S. obligations under the Convention on 
International Civil Aviation, it is FAA policy to conform to ICAO 
Standards and Recommended Practices to the maximum extent practicable. 
The FAA has reviewed the corresponding ICAO Standards and Recommended 
Practices and has identified no differences with these proposed 
regulations.

G. Environmental Analysis

    FAA Order 1050.1F identifies FAA actions that are categorically 
excluded from preparation of an environmental assessment or 
environmental impact statement under the National Environmental Policy 
Act in the absence of extraordinary circumstances. The FAA has 
determined this rulemaking action qualifies for the categorical 
exclusion identified in paragraph 5-6.6 of FAA Order 1050.1F and 
involves no extraordinary circumstances.

V. Executive Order Determinations

A. Executive Order 13771, Reducing Regulation and Controlling 
Regulatory Costs

    This proposed rule is expected to be an Executive Order 13771 
deregulatory action. Details on the flexibilities and potential cost 
savings of the NPRM rule can be found in the NPRM Regulatory 
Evaluation.

B. Executive Order 13132, Federalism

    The FAA has analyzed this proposed rule under the principles and 
criteria of Executive Order 13132, Federalism. The agency has 
determined that this action would not have a substantial direct effect 
on the States, or the relationship between the Federal Government and 
the States, or on the distribution of power and responsibilities among 
the various levels of government, and, therefore, would not have 
Federalism implications.

C. Executive Order 13211, Regulations That Significantly Affect Energy 
Supply, Distribution, or Use

    The FAA analyzed this proposed rule under Executive Order 13211, 
Actions Concerning Regulations that Significantly Affect Energy Supply, 
Distribution, or Use (May 18, 2001). The agency has determined that it 
would not be a ``significant energy action'' under the executive order 
and would not be likely to have a significant adverse effect on the 
supply, distribution, or use of energy.

VI. Additional Information

A. Comments Invited

    The FAA invites interested persons to participate in this 
rulemaking by submitting written comments, data, or views. The agency 
also invites comments relating to the economic, environmental, and 
energy or federalism impacts that might result from adopting the 
proposals in this document. The most helpful comments reference a 
specific portion of the proposal, explain the reason for any 
recommended change, and include supporting data. To ensure the docket 
does not contain duplicate comments, commenters should send only one 
copy of written comments, or if comments are filed electronically, 
commenters should submit only one time.
    The FAA will file in the docket all comments it receives, as well 
as a report summarizing each substantive public contact with FAA 
personnel concerning this proposed rulemaking. Before acting on this 
proposal, the FAA will consider all comments it receives on or before 
the closing date for comments. The FAA will consider comments filed 
after the comment period has closed if it is possible to do so without 
incurring expense or delay. The agency may change this proposal in 
light of the comments it receives.
    Proprietary or Confidential Business Information: Commenters should 
not file proprietary or confidential business information in the 
docket. Such information must be sent or delivered directly to the 
person identified in the FOR FURTHER INFORMATION CONTACT section of 
this document, and marked as proprietary or confidential. If submitting 
information on a disk or CD ROM, mark the outside of the disk or CD 
ROM, and

[[Page 15547]]

identify electronically within the disk or CD ROM the specific 
information that is proprietary or confidential.
    Under 14 CFR 11.35(b), if the FAA is aware of proprietary 
information filed with a comment, the agency does not place it in the 
docket. It is held in a separate file to which the public does not have 
access, and the FAA places a note in the docket that it has received 
it. If the FAA receives a request to examine or copy this information, 
it treats it as any other request under the Freedom of Information Act 
(5 U.S.C. 552). The FAA processes such a request under DOT procedures 
found in 49 CFR part 7.

B. Availability of Rulemaking Documents

    An electronic copy of rulemaking documents may be obtained from the 
internet by--
    1. Searching the Federal eRulemaking Portal (http://www.regulations.gov);
    2. Visiting the FAA's Regulations and Policies web page at http://www.faa.gov/regulations_policies or
    3. Accessing the Government Printing Office's web page at http://www.gpo.gov/fdsys/.
    Copies may also be obtained by sending a request to the Federal 
Aviation Administration, Office of Rulemaking, ARM-1, 800 Independence 
Avenue SW, Washington, DC 20591, or by calling (202) 267-9677. 
Commenters must identify the docket or notice number of this 
rulemaking.
    All documents the FAA considered in developing this proposed rule, 
including economic analyses and technical reports, may be accessed from 
the internet through the Federal eRulemaking Portal referenced in item 
(1) above.

List of Subjects in 14 CFR Part 147

    Aircraft, Airmen, Educational facilities, Reporting and 
recordkeeping requirements, Schools.

The Proposed Amendment

    In consideration of the foregoing, the Federal Aviation 
Administration proposes to amend chapter I of title 14, Code of Federal 
Regulations as follows:

PART 147--AVIATION MAINTENANCE TECHNICIAN SCHOOLS

0
1. The authority citation for part 147 continues to read as follows:

    Authority:  49 U.S.C. 106(g), 40113, 44701-44702, 44707-44709.

0
2. Add Sec.  147.14 to read as follows:


Sec.  147.14  Satellite training locations.

    (a) Except as specified in paragraph (c)(5) of this section, the 
holder of an aviation maintenance technician school certificate may, 
with FAA approval, conduct training at either a dependent satellite 
training location in accordance with paragraph (b) of this section, or 
at an independent satellite training location in accordance with 
paragraph (c) of this section, provided the following requirements are 
met--
    (1) The parent aviation maintenance technician school must make an 
application for a satellite training location in a form and manner 
prescribed by the FAA at least 60 days prior to the intended start date 
of training. The application must include the scheduled training start 
date and the content specified in Sec.  147.5(a)(1) through (4) of this 
part;
    (2) The parent aviation maintenance technician school's operations 
specifications must include the name and physical address of the 
satellite training location and the person with responsibility for 
operations at the satellite training location;
    (3) The parent aviation maintenance technician school must develop 
adequate procedures describing satellite operations acceptable to the 
FAA, and make them available to each satellite location;
    (4) The satellite training location must use the curriculum and 
procedures of the parent aviation maintenance technician school, and 
the curriculum must meet the applicable requirements of this part;
    (5) The satellite training location may share personnel and 
equipment from the parent aviation maintenance technician school and 
from each of the satellite training location(s), unless the FAA 
indicates otherwise; and
    (6) The facilities, equipment, and personnel of the satellite 
training location must meet the applicable requirements of this part.
    (b) Dependent satellite training location. Except as specified in 
paragraph (c)(5) of this section, the holder of an aviation maintenance 
technician school certificate may conduct training in accordance with 
its FAA-approved curriculum at a satellite training location away from 
the school's primary location, provided the following requirements are 
met--
    (1) The certificate holder's operations specifications must include 
the course curriculum to be offered at the dependent satellite training 
location;
    (2) The certificate holder must ensure the dependent satellite 
training location complies with the applicable requirements of this 
part; and
    (3) The dependent satellite training location must allow the FAA to 
inspect its facility to determine compliance with this part.
    (c) Independent satellite training locations. A certificated 
aviation maintenance technician school may serve as an independent 
satellite training location of another certificated school, provided 
the independent satellite training location operates under its own 
certificate issued by the FAA. An independent satellite training 
location--
    (1) Must operate using the curriculum and procedures of the parent 
aviation maintenance technician school, except for any documented 
differences that have been accepted or approved by the FAA as 
applicable;
    (2) May not hold a rating not held by the parent aviation 
maintenance technician school;
    (3) Must meet the requirements for each rating it holds;
    (4) Must ensure compliance with the applicable requirements of this 
part independent of the parent aviation maintenance technician school; 
and
    (5) May not conduct training at another satellite training 
location.
0
3. Amend Sec.  147.17 by revising paragraph (a)(2) to read as follows:


Sec.  147.17  Instructional equipment requirements.

    (a) * * *
    (1) * * *
    (2) At least one aircraft type-certificated by the FAA with 
powerplant, propeller, instruments, navigation and communications 
equipment, landing lights, and other equipment and accessories on which 
a maintenance technician might be required to work and with which the 
technician should be familiar.
* * * * *
0
4. Amend Sec.  147.21 by revising the introductory text of paragraph 
(b) to read as follows:


Sec.  147.21  General curriculum requirements.

* * * * *
    (b) Except as provided in Sec.  147.22 of this part, the curriculum 
required by paragraph (a) of this section must offer at least the 
number of instructional hours or credit hours for the rating sought as 
set forth in paragraph (b)(1) or (b)(2) of this section as follows:
* * * * *
0
 5. Add Sec.  147.22 to read as follows:


Sec.  147.22  Competency-based training curriculum.

    (a) General. The FAA-approved curriculum required by Sec.  
147.21(a) may include competency-based training. A certificated 
aviation maintenance technician school may use a

[[Page 15548]]

competency-based training curriculum provided the school obtains FAA 
approval of its competency-based training program through an operations 
specification and has shown the requirements of this section are met. 
Except for the hour requirements of Sec.  147.21(b), all other 
requirements of this part apply to a competency-based training program.
    (b) Structure and content. (1) The competency-based training 
curriculum must cover the subjects prescribed in appendixes B, C, or D, 
as appropriate to the course being approved, the course content items 
and teaching levels included under those subject area headings in the 
school's operations specifications, and the applicable competencies for 
each of those items.
    (2) Each competency-based training curriculum must define the 
competencies, to include knowledge, skills, and observable behaviors, 
that apply to each course content item and associated teaching level, 
which are prescribed in the school's operations specification. The 
students will be trained and assessed to the competencies defined in 
the curriculum.
    (3) The certificated aviation maintenance technician school may 
develop additional course content items in its curriculum for FAA 
approval. For each additional course content item, the certificated 
aviation maintenance technician school must define the applicable 
competencies, to include the knowledge, skills, and observable 
behaviors, that the student will be trained and assessed to.
    (c) Training. (1) The certificated aviation maintenance technician 
school must train each student to achieve the applicable competencies, 
with respect to each course content item as defined in the competency-
based training curriculum. A competency-based training program may be 
defined to include--
    (i) A variety of teaching methods; and
    (ii) Group instruction, individualized instruction, or any 
combination thereof.
    (2) For each course content item, the certificated aviation 
maintenance technician school must describe the following:
    (i) Theory requirements in classroom or by distance learning;
    (ii) Laboratory or shop requirements, including a description of 
the practical projects to be completed;
    (iii) The order of instruction;
    (iv) Whether the instruction will be individualized or given in a 
group;
    (v) The applicable competencies, to include knowledge, skills, and 
observable behaviors;
    (vi) Objective testing and grading criteria; and
    (vii) Schedule of required tests and assessments that shows the 
sequence of examinations for each subject in the curriculum.
    (d) Competency assessments. (1) The competency-based training 
curriculum must describe how and when the school will assess whether 
the student can demonstrate the applicable competencies (knowledge, 
skills, and observable behaviors) for each course content item. The 
assessments must--
    (i) Assess each course content item;
    (ii) Determine whether the student can demonstrate all applicable 
competencies (the knowledge, skills, and observable behaviors); and
    (iii) Be consistent with the required teaching levels specified in 
the operations specification.
    (2) The competency-based training curriculum must describe what 
each competency assessment will consist of, including proportions of 
theory to be tested, a list of tests or assessments to be given, and a 
description of practical projects to be completed.
    (3) For each competency assessment described in the competency 
based training curriculum, the school must develop a scoring guide that 
its instructors will use to conduct the assessment.
    (4) The school may find a student competent when the student can 
demonstrate each applicable competency, with respect to the course 
content item being assessed, at a minimum of 70 percent.
    (5) A graduation certificate or certificate of completion will be 
issued only when the student competency, as defined in paragraph (d)(4) 
of this section, can be shown for each competency outlined in the 
student's individual curriculum. The certificate must meet the 
requirements of Sec.  147.35.
    (e) Remedial training. For a student who fails to demonstrate 
competency of a course content item in accordance with paragraph (d)(4) 
of this section--
    (1) The school must provide additional training and reassessment in 
areas of deficiency until the student can demonstrate the knowledge, 
skills, and observable behaviors that reflect the competencies at a 
minimum of 70 percent; and
    (2) Where order of instruction requirements are specified in an 
approved competency-based training program, the student may not 
progress to a subsequent related course content item or subject area 
until the student has demonstrated competency in the subject matter in 
which they were found deficient.
    (f) Students with prior aviation maintenance training or 
experience.
    (1) Pre-training assessment. For students that have prior aviation 
maintenance training or experience in a subject area, the school may 
conduct a pre-training assessment of the student's initial 
competencies. The assessment must meet the requirements specified in 
paragraph (d)(1) of this section, as applicable to the subject areas 
and/or course content item(s) being assessed. The school must describe 
how it will assess the student's knowledge, skills and observable 
behaviors, including for each course content item:
    (i) The proportions of theory to be tested;
    (ii) A list of tests or assessments to be given; and
    (iii) A description of the practical projects to be completed.
    (2) Individualized Training. The result of the pre-training 
assessment is the student's individual curriculum. The individual's 
curriculum must include the subject areas and course content items for 
which the student did not demonstrate competency. For each subject area 
and course content item, the certificated aviation maintenance 
technician school must satisfy paragraph (c)(2) of this section.
    (3) Competency Assessments and Remedial Training. The school must 
conduct competency assessments that satisfy the requirements of 
paragraph (d) of this section. If the student fails to demonstrate 
competency in a course content item or subject area in accordance with 
paragraph (d)(4) of this section, the school must satisfy the remedial 
training requirements of paragraph (e) of this section.
    (g) Instructors. (1) The competency-based training program must 
describe the following--
    (i) How the school's method ensures that instructors used to 
deliver competency-based training curriculum material are trained on 
the school's competency-based training program requirements, including 
delivery methods and assessment techniques; and
    (ii) How the school will evaluate the instructors' competencies to 
ensure they are qualified to provide competency-based training and 
assessments.
    (2) The competency-based training program must meet the 
requirements of Sec.  147.23 and describe the instructor to student 
ratios that will apply to group instruction in the laboratory or shop.
    (h) Data collection and analysis process. The certificated aviation 
maintenance technician school must establish and maintain a data 
collection and analysis process on its students and

[[Page 15549]]

instructors that will enable the school and the FAA to determine 
whether the competency-based training program is accomplishing its 
objectives. The school must maintain records of outputs of the data 
collection and analysis process. Such records must be retained for a 
minimum of 2 years.
    (i) Recordkeeping requirements. In addition to meeting the record 
requirements specified in Sec.  147.33, each certificated aviation 
maintenance technician school conducting an approved competency-based 
training curriculum must establish and maintain for each student 
enrolled records that show the student's progression through the 
student's individual curriculum, including documentation of any pre-
training assessments and competency assessments.
    (j) Revisions. Whenever the FAA finds that revisions are necessary 
for the continued adequacy of a competency-based training program that 
has been granted FAA approval, the certificate holder shall, after 
notification, make any changes in the program that are found necessary 
by the FAA.
0
6. Revise Sec.  147.37 to read as follows:


Sec.  147.37  Quality of instruction.

    On a quarterly basis, each certificated aviation maintenance 
technician school must have provided instruction of a sufficient 
quality that, in the prior 24 calendar months, at least 70 percent of 
its graduates passed on the first attempt within 60 days of graduation 
each written knowledge test leading to a certificate or rating. As set 
forth in Sec.  65.17 of this chapter, the minimum passing grade is 70 
percent.

    Issued under authority provided by 49 U.S.C. 106(f), 44701(a), 
44703, and 44707 in Washington, DC, on March 22, 2019.
Robert C. Carty,
Deputy Executive Director, Flight Standards Office.
[FR Doc. 2019-06399 Filed 4-15-19; 8:45 am]
 BILLING CODE 4910-13-P