Chattanooga Metropolitan Airport Subject of Part 16 Complaint

TAC Air, a division of Truman Arnold Companies, filed a Part 16 Complaint against the Chattanooga Metropolitan Airport Authority (CMAA) with the Office of the Chief Counsel, of the Federal Aviation Administration.

TAC Air held off filing this Complaint in the hope that Respondent would act in good faith to create a more level playing field and provide a mechanism for the two FBOs to compete based on free market principles, arm’s length contracts, and pricing determined by costs and expenses that an FBO would ordinarily incur on a day-to-day basis.

The issues raised in the Part 16 Complaint are based on certain Assurances agreed to by the CMAA in return for federal funding (“Grant Assurances”), which include Assurance 22(g) which states: “In the event that the Sponsor exercises any of the rights and privileges referred to in this assurance, the services involved will be provided on the same conditions as would apply to the furnishing of such services by commercial service providers under these provisions.”

In addition, TAC Air has raised the issue of whether the CMAA will follow its own dictate in its Minimum Standards which provides that “(A)ll property which is developed as a result of investment by the Airport Authority will be leased in order to provide a reasonable rate of return for the public monies invested….”

These issues are complex and it is expected that the FAA will carefully evaluate both TAC Air’s and the CMAA’s positions in this matter and issue a fair and equitable decision.

TAC Air is disappointed that the CMAA would not address this matter without FAA intervention, but believes the Part 16 Complaint will be a valuable process for both Chattanooga and the entire aviation industry. TAC Air remains a strong supporter of Chattanooga Metropolitan Airport, the Airport’s based aircraft, airlines and the flying public.