From left, attorney Timothy Bellas, Star Marianas Air counsel; SMA president Shaun Christian and chairman and director of flight operations Robert F. Christian in the CPA conference room yesterday.
Photo by Alexie Villegas Zotomayor
As it continues to hit roadblocks in its attempt to provide scheduled and charter flights between Guam and Saipan, Star Marianas Air Inc. has brought the issue to the attention of the Federal Aviation Administration regional office and asked that the Guam airport be investigated citing breach of grant assurances.
Yesterday, Robert F. Christian, chairman of the board and director of flight operations, at a press conference held at the Francisco C. Ada/Saipan International Airport, said, “Today, we filed a formal request to the airport regional office in L.A. asking them to look into it and it lays out the efforts that were made by us and the current status [of the application].”
Star Marianas Air questioned the use of the commuter terminal on Guam for non-aeronautical purposes by United Airlines Human Resources division.
This, Star Marianas Air believes, is a violation of the grant assurances and regulations.
“GIAA has leased the commuter terminal designated on the airport layout plan to United Airlines Human Resources and continues to deny SMA the use of the commuter passenger building for its aeronautical use. They are using it for non-aeronautical purposes,” he said.
In a Sept. 16 letter addressed to FAA Western Pacific Region Airports Division manager Mark McClardy, Star Marianas Air’s aviation attorney Richard L. Richards said, “SMA [Star Marianas Air] requests that the FAA immediately investigate and remedy this situation so that the Authority is brought into compliance with federal law and the authority grants SMA access to Guam International Airport’s commuter terminal.”
Richards told McClardy that there has been no proposal or plan to grant SMA access to the Guam International Airport’s commuter terminal.
Richards also said that SMA wants to begin commuter and on demand operations at the A.B. Won Pat International Airport commuter terminal.
“However, the commuter terminal is currently being used by United Airlines Human Resources department. This is obviously problematic in that a human resources department does not require airside access and this use is preventing aeronautical activities at the Guam International Airport,” Richards wrote McClardy.
At the press conference yesterday, Christian said airports are required to follow regulations and regulations clearly differentiate aeronautical property from non-aeronautical property.
“Aeronautical property has to be used for aeronautical purposes,” he said.
As far back as June 25 this year, Richards relayed to the A.B. Won Pat International Airport Authority Star Marianas Air’s concerns over its breach of the grant assurances.
Richards wrote A.B. Won Pat International Airport Authority executive director Charles H. Ada II, that airports must comply with their grant assurances in exchange for federal funds used to improve the airport facilities.
He pointed out three Grant Assurances of concern for Star Marianas: (1) Grant Assurance 22; (2) Grant Assurance 23; and (3) Grant Assurance 24.
Grant Assurance 22 is on economic nondiscrimination.
This requires the airport sponsor to make its airport available for public use “without unjust discrimination to all types, kinds and classes of aeronautical activities.”
Grant Assurance 23 pertains to exclusive rights whereby it will permit no exclusive right for the use of the airport by any person providing, or intending to provide, aeronautical services to the public.
Fee and rental structure is covered by Grant Assurance 24. This requires the airport sponsor to assure that it will maintain a fee and rental structure for the facilities and services at the airport which will make the airport as self-sustaining as possible under the circumstances existing at a particular airport.
Richards told Ada in that June 25 letter, “The Authority has violated each of these assurances by in effect preventing SMA, a commuter airline, from having airside access through the Guam International Airport’s commuter terminal.”
He told Ada that FAA enforces compliance with these and other Grant Assurances by applying procedures delineated in the Rules of Practice for Federally Assisted Airport Enforcement Proceedings.
Richards echoed these concerns in a follow-up letter on July 22.
In a July 31 letter to Calvo Fisher & Jacob, Richards explained further.
It was not discussed whether the firm represents the airport but it appears that it does as the letter talked about SMA agreeing to a meeting with the authority on any of the days on Aug. 19-21.
But Richards told the firm that the airport is also in breach of Grant Assurance 29 or the part that requires the airport owner to keep an airport layout plan—a planning tool to show current and future airport use and should be up to date.
This assurance prohibits the airport from making alterations or changes to the FAA-approved airport layout plan.
“If a change or alteration in the airport of the facilities is made which the Secretary determines adversely affects the safety, utility or efficiency of any federally owned, leased, or funded property or on off the airport and which is not in conformity with the Airport Layout Plan as approved by the Secretary, the owner or operator, will, if requested, by the Secretary (1) eliminate such adverse effect…; (2) bear all costs or relocating such property to a site acceptable to the Secretary and all costs of restoring such property—or replacement—to a level of safety, utility and efficiency and cost of operation existing before the unapproved change in airport of its facilities.”
An FAA-approved airport layout plan is a prerequisite to the grant of Airport Improvement Program funds for airport development.
For Richards, the Guam airport has violated Assurance 29 by altering the airport layout plan.
Before raising this issue with FAA regional office in LA, Richards communicated with the Honolulu Airports District Office Manager Ron V. Simpson and echoed such concerns with violations of the Grant Assurances.
Yesterday, Christian said they were offered by the Guam airport authority an interim location.
He said in an Aug. 28 letter from Ada II, the airport authority had stated it was working diligently to act on SMA’s request and suggested the use of Yellow Cargo Building— “a common-use facility that would cater to the non TSA screened operations with nine passengers or less.”
Ada II told Christian in this letter, “I have a team working diligently on this endeavor, to include planning and renovation work in this area, obtaining CQA [Guam Customs & Quarantine Agency]’s buy-in for staffing this operation, space retrieval from existing tenants, and local permit processing, to name a few. Once we have a proposed layout drawing, we will forward that to you for comment.”
He also said that with an approved layout and space plan, SMA will need to develop a security program for review and approval by TSA and airport police.
Christian argued yesterday that the security plan is not contingent with SMA.
Besides, their aircraft is exempted from TSA screening.
Christian, citing regulation 49 CFR 1542, said airport must comply with security.
Obvious disadvantage
In a Sept. 2 letter, Christian wrote to Ada II, “The use of the cargo building for commuter passenger operations conducted by SMA in its efforts to bring competitive service into Saipan, Guam, and Rota markets, which are currently being served exclusively by United Airlines/Cape Air, places SMA at a distinct and obvious disadvantage.”
Christian noted that the airport authority even leased the commuter terminal to United’s HR department—a non-aeronautical activity—and continues to deny SMA the use of the commuter passenger terminal for its aeronautical use.
“SMA recognizes that UA and GIAA have some form of residual-cost financing in place for financing the A.B. Won Pat International Airport but do not believe that the financing issues outweigh the responsibilities to comply with the sponsor’s assurances,” said Christian.
Christian said yesterday that they have yet to receive a response from the airport authority on Guam.
“We received no communication from them,” he said.
In the two years that Star Marianas has been attempting to provide service to the Saipan-Rota-Guam route currently being served by only Cape Air, the airline has incurred costs.
Tim Bellas, Star Marianas Air’s counsel said, “There’s been a lot of effort and money spent.”
He said SMA secured a special commuter license.
Star Marianas is a regional carrier now.
Christian said they are now a regional carrier, and no longer a demand carrier.
“We have the same authorities as Cape Air’s. We have the same level of authorization as Cape Air’s,” he said.
However, SMA’s aircraft are exempted from Transportation and Security Administration screening.
By regulations, anything under 12,500 lbs., Christian said, does not require security screening.
To date, the traveling public has to contend with only one choice of an airline to take them to Guam or back.
Bellas said any situation when you have one option is obviously not good for the consumer.
“If you only have one, you don’t have choices. You are stuck with that,” he said.
For its Guam-Rota-Saipan flights, Star Marianas Air is planning to use five passenger planes and seven cargo planes.
Christian said they plan to use five nine-passenger aircraft, PA-31-350, Piper Super Chieftain and seven cargo planes.
He said their serving the Guam-Saipan route will afford the traveling public an alternative.
It will also help the Rota economy.
With Rota-Guam flights, Christian said they could offer day tours for Rota.
Even the leadership on Rota supports the Star Marianas’ initiative as it will help improve the local economy by bringing passengers directly to Rota.
Star Marianas operates scheduled daily flights to Rota twice a day.
But it will help further the traveling public in the Northern Marianas if SMA is allowed access at Guam airport.
“We can’t do scheduled flights on Guam if they won’t let us in,” said Christian.
Meanwhile, in an earlier Variety report, Rolenda L. Faasuamalie, Guam airport marketing administrator and the agency’s spokeswoman, disclosed to Variety that GIAA is preparing a temporary area for commuter operations, such as the one being proposed by Star Marianas.
She told Variety that discussions were ongoing between them and SMA on its interest to conduct scheduled commuter and on-demand services serving Guam-NMI route.
“Currently, planning is ongoing to make ready an interim area for a common use facility to conduct “commuter” operations, without impact to current operators and existing tenants. The proposed area must meet layout requirements to address all safety and security concerns in line with airport operations, and is subject to the building permit process for renovation work,” she told Variety.
She also said that the space will also be available for other interested carriers utilizing specific aircraft types and will become a common use facility.
She also said SMA must meet security requirement mandated by TSA in its operations.
“Without specifically identifying the proposed area for operations, the facility is right next to the Main Terminal, and has public access and parking facilities to accommodate operations. We will be able to specify area once all approvals, permits and safety/security concerns are addressed,” she told Variety earlier this month.
Yesterday, Variety tried to reach Ada II and Faasuamalie via email. This reported made a phone call to the latter but no response was received as of press time.
Story, Comments and Photo: http://www.mvariety.com
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