As many of you know, MARPA has been an active participant in the FAA’s efforts to develop both Design Organization and SMS regulations that would apply to the manufacturing community. This gives our members an exceptional opportunity to influence the regulations so that they will make sense and preserve safety.
The FAA is working on regulations that would require most design approval holders to be Design Organizations, which would be similar to EASA DOAs (under EASA subpart J in Europe). FAA Engineering Division Manager Dave Hempe will be at the MARPA Annual Conference to talk to companies about the costs and benefits of such a requirement.
The smallest companies (including many PMA companies) could be excepted from those design organization rules. But even those excepted companies will likely have to met some standard; the lower risk posed by excepted companies would mean that the standards applied to them could be lower.
This raises the question “how much of an organization SHOULD a small company be required to have as a minimum FAA standard?” We will be looking to the PMA community to help answer this question!
Soon, we will be soliciting volunteers for a limited engagement subcommittee that will be tasked with recommending those minimum standards. We anticipate that volunteers will be expected to commit to participate in between one and three one-hour-long telephone conferences – there will be no live meetings and no travel required. The purpose of those calls will be to solicit input about minimum standards that could apply to all design approval applicants and holders (even the smallest ones).
We really are going to need your help on this so please consider donating your time in order to register your opinion about what is reasonable for your business to do.
We will be publishing more details soon, but please contact us if you think you would like to participate!
MARPA continues to work diligently in support of the FAA’s Part 21 ARC. One of the ARC working groups is focused specifically on performing a cost benefit analysis of the ARCs proposals. We previously posted on the blog a request for our members’ input on what data we should be tracking in order to best estimate costs. Although we have received a handful of responses to date, we still need your feedback to ensure we have an accurate cost assessment as possible!
Our members have reported the following measurable data points
The data your company is able to measure may be similar, or may be different. In either case, we want to hear from you to provide a useful and usable data survey. Remember, at this time we are NOT collecting actual numbers, but merely attempting to determine what data we can reasonably expect to collect in the future to help with our cost benefit analysis. Future data will be collect anonymously to protect our members’ competitive interests while also guarding against costly regulation.
This information will help us to develop metrics for measuring industry costs of regulatory compliance. We will then have a baseline to which we will compare the costs and benefits of the ARC’s proposals. This is industry’s opportunity to provide detailed feedback regarding the costs of FAA regulations. The FAA will be joining us at the MARPA Conference in October, so it is important that we have investigated and reviewed this data prior to that time.
If you have not yet taken the opportunity to respond with what sort of cost data your company tracks, please take a few minutes and let us know. This will go a long way to helping us ensure the Part 21 ARC develops sound and cost effective proposals to deliver to the FAA. Email responses to MARPA Associate Counsel Ryan Aggergaard at firstname.lastname@example.org.
This conversation was a follow-up to the FAA publication of a technical amendment that would have required full engine testing for vibration compliance. The FAA representatives explained that they wanted to explore the reasons for MARPA’s concerns over the rule (the rule had been withdrawn based on MARPA’s objection).
They asked about our concerns with the rule. They asked about whether a change to the preamble would have been enough to salvage the rule. We answered that IF their intent was to apply the full engine test requirement to only TC applicants (as FAA employees had indicated in an August 27, 2012 phone conversation) and not to PMA/STC applicants then merely changing the preamble would be insufficient, because the problem lay in the (withdrawn) rule language itself. We pointed out that the (withdrawn) rule language would have appeared to have required full engine vibration testing. Component-level testing (which is currently permitted for PMA applicants) would have been available as a supplement to full engine testing (and not as an alternative, as currently permitted by AC 33-83-1).
We asked what the FAA’s goals were with respect to the rule, and explained that MARPA would be happy to work with the FAA to help them meet their safety goals in a way that does not undermine industry’s ability to obtain PMAs. They responded “We are not sure where we’re going.”
They asked whether the existence of AC 33.83-1 had any impact on MARPA’s concerns and I reminded them that a common rule of regulatory construction is that a rule change that causes a rule to conflict with guidance invalidates the conflicting guidance. So if the rule had not been withdrawn then we would have been unable to use AC 33.83-1 to the extent it permitted anything less than what the new rule required
They asked about the economic effect of their rule. I explained that in a static model (of the sort used by federal economists) that it would have had a tremendous effect because it would have made engine PMAs much more expensive to obtain. I noted that in a dynamic model, the likely real world effect could have been to stop engine PMA applications because it could become economically impractical for PMA applicants to perform full engine vibration testing in lieu of the methods made available by AC 33.83-1 (as opposed to using the reasonable methods currently permitted in the AC). Neither of these models appear to produce economic results that are favorable for America.
Later in the conversation I reiterated that MARPA would be happy to assist the FAA in crafting language if they could just tell us what their goals are in the rule change exercise. They explained that “We are not yet prepared to say what our goal is.“ They also explained that they felt the ex parte rules and standards precluded them from disclosing any information about their thoughts or purposes (the ex parte rules do permit the FAA to engage in pre-rulemaking ex parte contacts to obtain technical and economic information).
What does this mean for the PMA Community? It means that the FAA appears to be working on another change to the vibration rule of 14 C.F.R. 33.83. It means that they recognize that such changes are potentially controversial and thus they are collecting data to try to improve the next iteration of the rule. But it also means that the Engine Directorate is as-yet unable to elucidate a cogent rationale for why they would like to change the vibration rule. This is something we will be looking for in the coming months.
As many of you know, MARPA is working on the FAA’s Aviation Rulemaking Committee (ARC) that is rewriting the manufacturing rules to address Safety Management and Design Organization elements. One of the things that the FAA wants to track is the cost-benefit data, to ensure that the project will reflect a positive benefit for the industry (as well as for the FAA).
To this end, we are seeking data about what we should track to estimate costs. We would appreciate answers to the following questions (note that we are seeking information about categories of costs, and not yet seeking numbers for costs):
At this time, WE ARE NOT COLLECTING ANY NUMBERS!! We are trying to identify what are the right questions to ask. This information will be used to develop a certification cost survey for the membership, and THEN we will be in a position to ask for numbers. When we ask for numbers, we will do it in such a way that individual company data will be protected.
[so you should be planning on eventually getting us hard numbers in these general areas]
Please get us your answers ASAP. We will plan on asking for this sort of data again in the August MARPA Supplement but it would be useful to get the initial data by the end of July.
The FAA has asked to use our Conference as an opportunity to collect industry data, so we will be developing data models during the summer in order to support those efforts. We are hoping to develop metrics for measuring our industry’s costs between now and then, so that by the time of the MARPA Conference in October, we will have a robust model upon which to rely.
At the 30th International Aviation Safety Conference, the regulators of the world discussed the balance between harmonized (global) standards and regional flexibility (lack of harmonization that permits national flexibility).
FAA Aircraft Certification Director Dorenda Baker explained that the optimal regulatory structure balances the rigor applied during a certification exercise. The reason for this is that as rigor increases, cost of certification increases. She explained that as cost of certification increases, safety can decrease to the extent that certification costs have a chilliing effect on safety innovations.
One example of putting this theory into effect can be found in the way that FAA approves avionics software
FAA created a system that divided software into four tiered classes for certification purposes. Baker feels that there is a relation between the avionics that we’re permitted to be certified and the reduction of CFIT (controlled flight into terrain).
Baker explained that “Sometimes you’ve got to get out of the way, for safety.”
With this in mind, the FAA is working on ways to ensure that the airwortness standards reflect performance standards. A part of this effort is removing methods of compliance from the regulations, in order to ensure that the regulations do not limit innovation. Methods of compliance should more properly be published in guidance.
We have written recently on this blog about the important SMS/Part 21 Aviation Rulemaking Committee (ARC) and corresponding Working Groups in which representatives of MARPA are now participating. The result of this ARC promises to affect each and every manufacturer of PMA in some way or another. MARPA will therefore be there every step of the way, working to ensure that the interests of PMA community are protected. But in order to ensure that we guard our members’ interests, we will need your assistance and feedback! We are therefore asking MARPA members to tracks and share with us the cost of regulatory compliance.
The Regulatory Flexibility Act requires agencies to attempt to fit the burdens of a proposed regulation to the scale of businesses. This recognizes the fact that the same regulatory burden that may simply be the cost of doing business to a large multinational corporation may be crippling to a small company. Recognizing the extreme importance of scalability in the promulgation of the new Part 21, one of the four Working Groups is dedicated solely to undertaking a Cost-Benefit Analysis of the proposed regulatory changes.
This is where MARPA member feedback will be of extreme importance. The Cost-Benefit Analysis Working Group needs data to better understand what the current cost of compliance to small business actually is. This will function as a baseline from which to determine the benefits and costs of the proposals generated by the other three Working Groups. As the Working Groups craft the new regulations they will turn to industry to obtain data demonstrating the effects of the proposed changes.
It is vital that MARPA members participate in providing data to the Working Groups as the new proposals are developed and those assumptions tested against hard data. Hidden costs of compliance with regulations, under-estimations of costs, and over-estimations of benefits have the potential to result in an overly burdensome regulation. The participation of MARPA members in providing data to the ARC Working Groups will go a long way toward shaping an effective regulation while minimizing the burden on small businesses.
Input from members helps MARPA to more effectively advocate for policy changes that benefit the PMA community. Responses to requests for information such as this—or for data regarding the Streamlined PMA Process—helps MARPA to focus its resources to optimize benefit to the membership.
MARPA looks forward to the participation of its members in shaping the future of Part 21. Although the Working Groups have not yet begun to approach industry with requests for data, MARPA would like to get started early. If your company tracks the cost of regulatory compliance, whether in dollars, personnel, man-hours, paperwork, or any other metric, we want to hear from you. Your confidentiality is important to us, so MARPA will only report data in the aggregate; no individual data will be released and no company names will be revealed. You can send this data to MARPA Associate Counsel Ryan Aggergaard at email@example.com. Please also send Ryan an email if you have any questions or would like to start tracking compliance costs.
The SMS/Part 21 Aviation Rulemaking Committee (ARC) opened a three day meeting this morning in Rosslyn, Virginia. The meeting expands the scope of the ARC to include four working groups that will develop the new rules for certification and approval of aviation products and articles. MARPA staff attended the live meeting and MARPA members participated by dial-in teleconference. This project will definitely affect every MARPA member and could be the most important rulemaking activity affecting the PMA community in over 60 years!
Dorenda Baker is the Director of the FAA Aircraft Certification Service. Ultimately, the ARC reports to her. Baker explained that the FAA is committed to taking the ARC’s recommendations and moving forward with those recommendations to craft a rule that meets our ICAO SARP obligations (SMS or Safety Management Systems). She stressed that we need to take into consideration how this rule will apply to both large and small companies. It needs to achieve safety goals for everyone.
Some of the points that Baker raised included these:
MARPA has been centrally involved in drafting the working group charters in order to ensure that the ARC recommendations will support the next generation of safety management. Baker’s commitment to protecting the interest of both small companies and large companies is encouraging; but the details will be important to the PMA community and there is plenty of opportunity to see a rule that does not work well. With this in mind, this could be one of the most important projects that MARPA has ever worked-on for the future of the PMA community. MARPA will remain at the heart of this process in order to ensure that the interests of the PMA community are protected.
The FAA has announced that it is assigning two new tasks to the Aviation Rulemaking Advisory Committee (ARAC).
The first ARAC task is to update the regulations to better reflect fly-by-wire technology. The Flight Test Harmonization Working Group will evaluate issues like takeoff and landing performance and flying qualities that may not be adequately addressed by the existing airworthiness requirements and guidance material. This effort is meant to improve the regulatins and also harmonize them with those of our major trading partners. It is possible that the recommendation(s) could address either engine certification requirements, aircraft operational requirements, or both.
The second ARAC is to “Review and assess the standards and advisory material for bird ingestion requirements.” The Bird Ingestion Working Group will evaluate the threat posed by bird ingestion and develop new standards for addressing this concern. It is possible that the recommendation(s) could address either engine certification requirements, aircraft operational requirements, or both.
The FAA staffs these working groups with technical experts drawn from the industry. It is important to make sure that there is a balanced representation of industry interests on each working group to help ensure that the rules proposed are fair to the entire industry. Because the recommendations could affect certification regulations, they could have a direct affect on the PMA community.
If you are interested in being a technical expert on either of these work groups, please contact MARPA and we can proffer your application as a representative of the PMA industry, or feel free to contact the FAA directly (contact information is listed in the Federal Register notices). The deadline for applying to the FAA for working group membership is April 5, 2013.
MARPA has added video to our website!
Now if you look at the “What is a PMA” page on the MARPA website, you will see that we have added a video presentation that explains what PMA parts are all about. This is our first video on our new Youtube page that will become the home to videos about PMA issues.
Please let us know if you have any ideas for video presentations that you’d like to see on MARPA’s Youtube account or on MARPA’s website!
Have you ever wanted to influence the regulations that affect your business? Well, NOW is your best opportunity to do so!
In January, we provided early notice to the PMA community that the FAA would be seeking industry experts to volunteer for working groups that will be rewriting the manufacturing regulations. Now, we are collecting names and submitting them! This is a tremendous opportunity to make sure that the regulations reflect the current state of the art for certification and approval processes.
The Part 21/SMS Aviation Rulemaking Committee (ARC) is undertaking a major project to review Part 21 and (1) to make it consistent with ICAO Standards for Safety Management Systems, (2) add regulations to create a design organization and (3) update the regulation as necessary.
The Part 21/SMS ARC has recently completed charters for four (4) working groups that will be helping to craft the Part 21 language as well as developing a new paradigm for FAA oversight of systems. These worknig groups will report to the ARC, and will be where the real ground work occurs in changing the manufacturing regulations. We are seeking MARPA members who would like to volunteer to be on these committees. The first working group meetings will likely be April 3-5 and working group members will need to support the working group efforts through 2013 (final Reports are due December 10, 2013).
The four working groups are:
(1) Design Organization: This working group will develop regulations for design organizations, similar to the DOA regulation in Europe. Design organizations will have more safety responsibility and accountability, and in turn would receive greater privileges. The goal of this group will be to help the FAA create design organizations that can serve as the backbone for safety management.
(2) Safety Management Systems (SMS): This working group will help to integrate requirements for safety management systems in to the FAA manufacturing regulations. The goal of this group will be to better align the FAA’s regulations with the requirements of SMS.
(3) Oversight: This working group will develop a new model for FAA oversight that will better reflect risk management in an era with shrinking government budgets and expanding industry need for government approval and/or certification. The goal of this group will be to help the FAA create a program to ensure a consistently high level of safety with a dwindling resource pool.
(4) Cost-Benefit Analysis (CBA): This working group will examine the work of the first three working groups and will help develop the data and other tools that the FAA will need to perform a cost-benefit analysis. The work of this group will be critically important to ensuring that the product from the entire ARC makes good safety sense and good economic sense.
This effort could reflect the most significant change in the U.S. aviation manufacturing regulations in over 50 years. The results of this effort will touch all of us. If you think you would like to serve on one of these working groups then please contact us immediately so we can send you more information. We need to submit our recommendations to the ARC by the end of next week, so we need to hear from you by not later than Thursday, March 7.