[Federal Register Volume 86, Number 140 (Monday, July 26, 2021)]
[Notices]
[Pages 40072-40074]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-15902]
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DEPARTMENT OF HOMELAND SECURITY
Transportation Security Administration
Exemption for Exclusive Area Agreements at Certain Airports
AGENCY: Transportation Security Administration, DHS.
ACTION: Notice.
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SUMMARY: TSA is providing notice of temporary exemptions the agency is
granting to three airport operators to permit them to enter into
Exclusive Area Agreements (EAA) with Amazon Air, a subsidiary of
Amazon.com Inc. The exemption applies to the following airport
operators: Cincinnati/Northern Kentucky International Airport (CVG),
Baltimore/Washington International Thurgood Marshall Airport (BWI), and
Chicago Rockford International Airport (RFD).
DATES: These exemptions take effect on July 26, 2021 and remain in
effect until modified or rescinded by TSA through a notice published in
the Federal Register.
FOR FURTHER INFORMATION CONTACT: Eric Byczynski, Airport Security
Programs, Aviation Division, Policy, Plans, and Engagement; email to:
[email protected].
SUPPLEMENTARY INFORMATION:
I. Purpose
TSA's regulations provide that airport operators may enter into
EAAs only with aircraft operators or foreign air carriers, subject to
TSA approval of an amendment to each airport operator's airport
security program (ASP). See 49 CFR 1542.111. Amazon Air is not an
aircraft operator or foreign air carrier, but conducts significant
operations at three airports on behalf of aircraft operators.
TSA has determined it is in the public interest to authorize these
airport operators to enter into EAAs with Amazon Air because this
action will create operational and economic efficiencies for the
airport operators and Amazon Air, to the economic benefit of the public
and without detriment to security. The exemptions permit these airports
to leverage significant private sector technologies with respect to
access control and monitoring systems that enhance security and
minimize insider threat. The exemptions will also facilitate the rapid
hiring of significant numbers of new personnel to support Amazon Air's
expanded presence at these locations, aiding the economy in the
surrounding areas. Finally, the exemptions will permit TSA to exercise
direct regulatory oversight of Amazon Air concerning the security
functions they will perform under the EAAs. All other provisions of 49
CFR 1542.111 will apply to any EAA executed under these exemptions.
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II. Background
A. Airport Security
TSA administers a comprehensive regulatory program to govern the
security of aviation, including standards for domestic airports,
domestic aircraft operators, and foreign air carriers. The security
requirements for domestic airports are codified at 49 CFR part 1542 and
include minimum standards for access control procedures, identification
(ID) media, passenger screening, criminal history records checks
(CHRCs) of airport workers, law enforcement support, training,
contingency plans, TSA inspection authority, and incident management.
These regulations require airport operators to conduct specified
security measures in the secured area,\1\ air operations area (AOA),
and security identification display area (SIDA) of the airport. Part
1542 requires airports to develop and follow TSA-approved ASPs \2\ that
establish security procedures specific to each airport, and Security
Directives, which apply to all airports.
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\1\ 49 CFR 1540.5 for definitions of terms used throughout this
notice.
\2\ 49 CFR 1542.105(a).
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TSA recognizes that, in certain circumstances, these security
measures may be performed more effectively or efficiently by another
TSA-regulated party, such as an aircraft operator or foreign air
carrier, operating on the airport. Therefore, under 49 CFR 1542.111,
TSA may approve an amendment to an airport's ASP that permits the
airport operator to execute a legally binding EAA with an aircraft
operator \3\ or foreign air carrier.\4\ Under the EAA, the aircraft
operator or foreign air carrier assumes responsibility from the airport
operator for specified ASP security measures in all or specified
portions of the secured area, AOA, or SIDA.\5\ TSA requires the EAA to
be in writing, and signed by the airport operator and the aircraft
operator or foreign air carrier.\6\ TSA also prescribes in detail the
required contents of the EAA, including a description of the measures
that become the responsibility of the aircraft operator or foreign air
carrier.\7\
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\3\ 49 CFR part 1544.
\4\ 49 CFR part 1546.
\5\ 49 CFR 1542.111(a).
\6\ 49 CFR 1542.111(b).
\7\ 49 CFR 1542.111(b)(1)-(3).
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EAAs are an established part of TSA's regulatory structure for
airport operators, commonly used since 1978.\8\ Currently, there are
more than 70 EAAs in place with aircraft operators and foreign air
carriers at domestic airports. EAAs are typically used when an entire
airport terminal is serviced exclusively by one aircraft operator. At
locations with EAAs, TSA conducts standard compliance inspections, and
may issue violations of the security standard set forth in the EAA
against the aircraft operator or foreign air carrier that holds the
EAA.
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\8\ Published at 43 FR 60792 (Dec. 28, 1978).
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B. Entities Subject to the Exemptions
These exemptions are limited to three airports-CVG, BWI, and RFD-
and the operations of Amazon Air at these locations.
Amazon.com, Inc. is an American multinational technology company
based in Seattle, Washington engaged in e-commerce, cloud computing,
digital streaming, artificial intelligence, and cargo shipping. As of
Spring 2021, Amazon reports that, less than 20 percent of Amazon's
cargo is shipped by air. Due in part, however, to the COVID-19 public
health crisis and impact on the economy, cargo shipment has increased
dramatically, with a corresponding relative increase in the total
volume of air cargo.
Amazon's subsidiary, Amazon Air, maintains operations at various
domestic and international airports. Amazon Air owns air cargo
aircraft, but does not operate the aircraft itself and is not an
aircraft operator for purposes of TSA's regulations. Amazon Air leases
the aircraft to certain aircraft operators holding TSA full all-cargo
security programs.\9\ Amazon Air then acts as an authorized
representative for these full all-cargo aircraft operators \10\ at
certain airports, including the three covered by these Exemptions.
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\9\ See 49 CFR 1544.101(h) for scope of a full all-cargo
security program.
\10\ For purposes of this exemption, applicable full all-cargo
aircraft operators include Atlas Air, Air Transport International,
ABX, Inc., and Sun Country Airlines.
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As an authorized representative \11\ at these locations, Amazon Air
performs security functions under TSA's Full All-Cargo Aircraft
Operator Standard Security Program on behalf of these aircraft
operators, including the responsibility for preventing access to both
aircraft and the cargo bound for those aircraft, and providing the
Ground Security Coordinator, the individual at the facility responsible
for coordinating these security responsibilities. Amazon Air has also
assumed security responsibility for performing cargo acceptance and
chain of custody; cargo screening, buildup, and consolidation;
recordkeeping; cargo training; aircraft searches; screening ``jump
seaters'' \12\ and their property; incident reporting; comparing jump
seaters and individuals who have access to aircraft and cargo against
watchlists; and participation in table top exercises.
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\11\ An ``authorized representative'' is a person who performs
TSA-required security measures as an agent of a TSA-regulated party.
Although the authorized representative may perform the measures, the
TSA-regulated party remains responsible for completion, and TSA
holds the TSA-regulated party primarily accountable through
enforcement action of any violations. TSA may also hold the
authorized representative accountable if it causes the regulated
party's violation. See 49 CFR 1540.105.
\12\ The term ``jump seater'' refers to an off duty commercial
pilot who is permitted to travel by using the jumpseat in the
cockpit of a commercial aircraft operator.
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Based on logistics and Amazon Air's current transportation network,
these airports have become high capacity locations. As noted above,
these increases are due, in part, to the COVID pandemic, the public's
heightened reliance on online shopping for basic goods, and the
Nation's needs to move personal protective equipment and related
products quickly. Amazon Air estimates that these trends will not
significantly diminish when the public health crisis ends.
To address the current and anticipated demand, Amazon Air is
increasing use of its own employees for company services and
operations, rather than contracting out for services. Amazon Air
already has employees in place at the three locations within the scope
of this exemption and has represented to TSA that it intends to hire
significantly more employees over the next 12 to 18 months.
Hiring surges can occur at all airports throughout the year due to
seasonal changes or construction. Most airports can plan ahead for
these surges to ensure sufficient staffing in the airport badging
offices to begin the vetting process and issue ID media to new
employees. However, when a new or existing employer has a significant,
sudden increase in employees, all airport vendors can be adversely
affected by the strain this places on the airport badging system. It
takes significant time to collect the biometric and biographic
information needed to initiate CHRCs and security threat assessments
(STA), adjudicate CHRCs, and issue the ID media.
Amazon Air has represented to TSA that it has the capability and
capacity to assume certain security responsibilities under the ASPs at
these airports. These security responsibilities include physical
control of access points at the locations; adjudicating CHRCs for
disqualifying offenses and submitting STAs for its employees; issuing
ID
[[Page 40074]]
media; and conducting ID media accountability audits.
TSA has determined that Amazon Air possesses the latest,
sophisticated access control and monitoring systems that enhance
security by significantly restricting access to cargo and aircraft.
Amazon Air is in the process of installing these systems at access
points at these locations. As a subsidiary of a profitable, private
sector leader in technology, Amazon Air benefits from ample resources
to purchase advanced equipment as needed, without regard to local
government budget restrictions that many airports face. This factor
provides a level of assurance that the security capability will remain
consistent and substantial. Amazon Air's independent economic stability
also provides a level of assurance that it will be able to quickly
obtain any necessary expertise it may need to carry out all of the EAA
functions going forward.
III. Authority and Determination
TSA may grant an exemption from a regulation if TSA determines that
the exemption is in the public interest.\13\ TSA finds this exemption
to be in the public interest for several reasons. First, TSA has
evaluated Amazon Air's security apparatus with respect to access
control and monitoring, vetting and ID media issuance, and cargo
management and movement, and determined it to be modern, strong, and
resilient. Second, Amazon Air's significant personnel expansion at
these locations may strain the resources of airport operator and
aircraft operator badging offices, adversely affecting other airport
vendors, and limiting new hire capability. Amazon Air's ability under
an EAA to initiate the employee vetting functions that the airport
authorities would otherwise be required to conduct will more
efficiently manage volume as needed. This factor should reap economic
benefits for the surrounding areas in terms of employment, and to other
airport vendors who will not be adversely affected by a sudden increase
in airport ID media issuance. Moreover, extending the authorities under
an EAA to Amazon Air at these locations is consistent with Executive
Order 13725 of April 16, 2016 (Steps to Increase Competition and Better
Inform Consumers and Workers to Support Continued Growth of the
American Economy \14\ to promote competition and reduce regulatory
restrictions where possible. Finally, under the EAAs, TSA will have
direct oversight of Amazon Air's security activities, rather than
indirectly through an aircraft operator for which Amazon Air is an
authorized representative. Given the scale of Amazon Air's commercial
activities and physical infrastructure that must be secured at these
airports, TSA compliance oversight will be more efficient and effective
if conducted directly over Amazon Air.
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\13\ See 49 U.S.C. 114(q).
\14\ Published at 81 FR 23417 (April 20, 2016).
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Therefore, TSA has determined that it is in the public interest to
grant CVG, BWI, and RFD an exemption from the provision in 49 CFR
1542.111 that limits the persons with whom an airport operator may
execute an EAA to aircraft operators and foreign air carriers. Under
this exemption, CVG, BWI, and RFD, respectively, may enter into an EAA
with Amazon Air consistent with TSA EAA-requirements. These exemptions
apply only to these airports and their respective EAAs with Amazon Air.
IV. Exemptions
Applicability: These exemptions apply to CVG, BWI, and RFD.
Exemption: For the duration of each exemption, CVG, BWI, and RFD,
respectively, may apply for an amendment to their airport security
program that permits the airport operator to enter into an EAA in
accordance with 49 CFR 1542.111 with Amazon Air, notwithstanding that
Amazon Air is not a TSA-regulated aircraft operator or foreign air
carrier. The terms of the EAA replace the requirements in 49 CFR part
1542 so long as Amazon Air complies with the EAA. This amendment and
the EAA must require Amazon Air to comply with all relevant Security
Directives and Emergency Amendments issued by TSA.
Duration: These exemptions take effect on July 26, 2021. At CVG,
BWI, and RFD, Amazon Air may begin performing as an EAA-holder on the
date on which TSA approves an amendment to the respective airport
operator's airport security program implementing each executed EAA.
Each exemption will remain in effect while the airport operator's TSA-
approved airport security program remains in effect. TSA may direct
revisions to the ASP amendment and EAA with regard to one or more of
the covered airport operators, for security reasons under 49 CFR
1542.105(b). TSA may rescind the ASP amendment and EAA, and may rescind
or modify the exemption, with regard to one or more of the covered
airport operators, at any time.
Dated: July 19, 2021.
David P. Pekoske,
Administrator.
[FR Doc. 2021-15902 Filed 7-22-21; 4:15 pm]
BILLING CODE 9110-05-P