Aviation Law - On Your Side
Before You File A Part 16 Complaint Against An AIP Airport Sponsor, Make Sure You Try To Settle
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by Gregory J. Reigel
© April 2021. All rights reserved!
irport owners or operators (“Airport Sponsors”) who receive federal grant funds under the federal Airport Improvement Program (“AIP”) must agree Greg Reigel to certain obligations and conditions. These obligations and conditions are commonly referred to as “Grant Assurances.” Sometimes an airport tenant may end up in a dispute with an Airport Sponsor if the tenant thinks the Airport Sponsor is not complying with certain Grant Assurances and harming the tenant. Some of the most commonly disputed Grant Assurances include Grant Assurance 19 (Operation and Maintenance), Grant Assurance 22 (Economic Non-Discrimination), Grant Assurance 23 (Exclusive Rights), Grant Assurance 24 (Fee and Rental Structure), Grant Assurance 25 (Unlawful Revenue Diversion), and Grant Assurance 29 (Airport Layout Plan). If a dispute arises, an airport tenant has options for pursuing a complaint against the Airport Sponsor. However, the tenant should use reasonable efforts to try and resolve the dispute with the Airport Sponsor. Not only is this a good business practice, but it is also a requirement if the dispute cannot be resolved and a formal complaint to the FAA is needed.
FAA may take enforcement action. Informal Complaint. Under 14 C.F.R. Part 13, a Complainant may make an informal complaint to the appropriate FAA personnel in any regional or district office, either verbally or in writing. The FAA will then review the complaint, investigate as needed, and determine whether (1) FAA action is warranted, or (2) if it appears that the airport sponsor is violating any of its federal obligations. Formal Complaint. If the matter is not resolved to the Complainant’s satisfaction, the Complainant may file a formal complaint with the FAA under
Making A Complaint An airport tenant who believes an Airport Sponsor has violated one or more of the Grant Assurances (the “Complainant”) may make a complaint to the FAA. The FAA will then investigate and, if the FAA finds non-compliance, the APRIL/MAY 2021 MIDWEST FLYER MAGAZINE 7