81 FR 38906 - Policy on the Non-Aeronautical Use of Airport Hangars

DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration

Federal Register Volume 81, Issue 115 (June 15, 2016)

Page Range		38906-38911
FR Document		2016-14133

This action clarifies the FAA's policy regarding storage of non-aeronautical items in airport facilities designated for aeronautical use. Under Federal law, airport operators that have accepted federal grants and/or those that have obligations contained in property deeds for property transferred under various Federal laws such as the Surplus Property Act generally may use airport property only for aviation-related purposes unless otherwise approved by the FAA. In some cases, airports have allowed non-aeronautical storage or uses in some hangars intended for aeronautical use, which the FAA has found to interfere with or entirely displace aeronautical use of the hangar. At the same time, the FAA recognizes that storage of some items in a hangar that is otherwise used for aircraft storage will have no effect on the aeronautical utility of the hangar. This action also amends the definition of aeronautical use to include construction of amateur-built aircraft and provides additional guidance on permissible non- aeronautical use of a hangar.''

Federal Register, Volume 81 Issue 115 (Wednesday, June 15, 2016)

[Federal Register Volume 81, Number 115 (Wednesday, June 15, 2016)]
[Rules and Regulations]
[Pages 38906-38911]
From the Federal Register Online [www.thefederalregister.org]
[FR Doc No: 2016-14133]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Chapter I

[Docket No. FAA 2014-0463]

Policy on the Non-Aeronautical Use of Airport Hangars

AGENCY: Federal Aviation Administration (FAA), Department of
Transportation (DOT).

ACTION: Notice of final policy.

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SUMMARY: This action clarifies the FAA's policy regarding storage of
non-aeronautical items in airport facilities designated for
aeronautical use. Under Federal law, airport operators that have
accepted federal grants and/or those that have obligations contained in
property deeds for property transferred under various Federal laws such
as the Surplus Property Act generally may use airport property only for
aviation-related purposes unless otherwise approved by the FAA. In some
cases, airports have allowed non-aeronautical storage or uses in some
hangars intended for aeronautical use, which the FAA has found to
interfere with or entirely displace aeronautical use of the hangar. At
the same time, the FAA recognizes that storage of some items in a
hangar that is otherwise used for aircraft storage will have no effect
on the aeronautical utility of the hangar. This action also amends the
definition of aeronautical use to include construction of amateur-built
aircraft and provides additional guidance on permissible non-
aeronautical use of a hangar.''

DATES: The policy described herein is effective July 1, 2017.

FOR FURTHER INFORMATION CONTACT: Kevin C. Willis, Manager, Airport
Compliance Division, ACO-100, Federal Aviation Administration, 800
Independence Avenue SW., Washington, DC 20591, telephone (202) 267-
3085; facsimile: (202) 267-4629.

ADDRESSES: You can get an electronic copy of this Policy and all other
documents in this docket using the Internet by:
(1) Searching the Federal eRulemaking portal (http://www.faa.gov/regulations/search);
(2) Visiting FAA's Regulations and Policies Web page at (http://www.faa.gov/regulations_policies); or
(3) Accessing the Government Printing Office's Web page at (http://www.gpoaccess.gov/index.html).
You can also get a copy by sending a request to the Federal
Aviation Administration, Office of Airport Compliance and Management
Analysis, 800 Independence Avenue SW., Washington, DC 20591, or by
calling (202) 267-3085. Make sure to identify the docket number, notice
number, or amendment number of this proceeding.

SUPPLEMENTARY INFORMATION:
Authority for the Policy: This document is published under the
authority described in Title 49 of the United States Code, Subtitle
VII, part B, chapter 471, section 47122(a).

Background

Airport Sponsor Obligations

In July 2014, the FAA issued a proposed statement of policy on use
of airport hangars to clarify compliance requirements for airport
sponsors, airport managers, airport tenants, state aviation officials,
and FAA compliance staff. (79 Federal Register (FR) 42483, July 22,
2014).
Airport sponsors that have accepted grants under the Airport
Improvement Program (AIP) have agreed to comply with certain Federal
policies included in each AIP grant agreement as sponsor assurances.
The Airport and Airway Improvement Act of 1982 (AAIA) (Pub. L. 97-248),
as amended and recodified at 49 United States Codes (U.S.C.)
47107(a)(1), and the contractual sponsor assurances require that the
airport sponsor make the airport available for aviation use. Grant
Assurance 22, Economic Nondiscrimination, requires the sponsor to make
the airport available on reasonable terms without unjust discrimination
for aeronautical activities, including aviation services. Grant
Assurance 19, Operation and Maintenance, prohibits an airport sponsor
from causing or permitting any activity that would interfere with use
of airport property for airport purposes. In some cases, sponsors who
have received property transfers through surplus property and
nonsurplus property agreements have similar federal obligations.
The sponsor may designate some areas of the airport for non-
aviation use,\1\ with FAA approval, but aeronautical facilities of the
airport must be dedicated to use for aviation purposes. Limiting use of
aeronautical facilities to aeronautical purposes ensures that airport
facilities are available to meet aviation demand at the airport.
Aviation tenants and aircraft owners should not be displaced by non-

[[Page 38907]]

aviation commercial uses that could be conducted off airport property.
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\1\ The terms ``non-aviation'' and ``non-aeronautical'' are used
interchangeably in this Notice.
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It is the longstanding policy of the FAA that airport property be
available for aeronautical use and not be available for non-
aeronautical purposes unless that non-aeronautical use is approved by
the FAA. Use of a designated aeronautical facility for a non-
aeronautical purpose, even on a temporary basis, requires FAA approval.
See FAA Order 5190.6B, Airport Compliance Manual, paragraph 22.6,
September 30, 2009. The identification of non-aeronautical use of
aeronautical areas receives special attention in FAA airport land use
compliance inspections. See Order 5190.6B, paragraphs 21.6(f)(5).
Areas of the airport designated for non-aeronautical use must be
shown on an airport's Airport Layout Plan (ALP). The AAIA, at 49 U.S.C.
47107(a)(16), requires that AIP grant agreements include an assurance
by the sponsor to maintain an ALP in a manner prescribed by the FAA.
Sponsor assurance 29, Airport Layout Plan, implements Sec.
47107(a)(16) and provides that an ALP must designate non-aviation areas
of the airport. The sponsor may not allow an alteration of the airport
in a manner inconsistent with the ALP unless approved by the FAA. See
Order 5190.6B, paragraph 7.18, and Advisory Circular 150/5070-6B,
Airport Master Plans, Chapter 10.
Clearly identifying non-aeronautical facilities not only keeps
aeronautical facilities available for aviation use, but also assures
that the airport sponsor receives at least Fair Market Value (FMV)
revenue from non-aviation uses of the airport. The AAIA requires that
airport revenues be used for airport purposes, and that the airport
maintain a fee structure that makes the airport as self-sustaining as
possible. 49 U.S.C. 47107(a)(13)(A) and (b)(1). The FAA and the
Department of Transportation Office of the Inspector General have
interpreted these statutory provisions to require that non-aviation
activities on an airport be charged a fair market rate for use of
airport facilities rather than the aeronautical rate. See FAA Policies
and Procedures Concerning the Use of Airport Revenue, (64 FR 7696,
7721, February 16, 1999) (FAA Revenue Use Policy).
If an airport tenant pays an aeronautical rate for a hangar and
then uses the hangar for a non-aeronautical purpose, the tenant may be
paying a below-market rate in violation of the sponsor's obligation for
a self-sustaining rate structure and FAA's Revenue Use Policy.
Confining non-aeronautical activity to designated non-aviation areas of
the airport helps to ensure that the non-aeronautical use of airport
property is monitored and allows the airport sponsor to clearly
identify non-aeronautical fair market value lease rates, in order to
meet their federal obligations. Identifying non-aeronautical uses and
charging appropriate rates for these uses prevents the sponsor from
subsidizing non-aviation activities with aviation revenues.

FAA Oversight

A sponsor's Grant Assurance obligations require that its
aeronautical facilities be used or be available for use for
aeronautical activities. If the presence of non-aeronautical items in a
hangar does not interfere with these obligations, then the FAA will
generally not consider the presence of those items to constitute a
violation of the sponsor's obligations. When an airport has unused
hangars and low aviation demand, a sponsor can request the FAA approval
for interim non-aeronautical use of a hangars, until demand exists for
those hangars for an aeronautical purpose. Aeronautical use must take
priority and be accommodated over non-aeronautical use, even if the
rental rate would be higher for the non-aeronautical use. The sponsor
is required to charge a fair market commercial rental rate for any
hangar rental or use for non-aeronautical purposes. (64 FR 7721).
The FAA conducts land use inspections at 18 selected airports each
year, at least two in each of the nine FAA regions. See Order 5190.6B,
paragraph 21.1. The inspection includes consideration of whether the
airport sponsor is using designated aeronautical areas of the airport
exclusively for aeronautical purposes, unless otherwise approved by the
FAA. See Order 5190.6B, paragraph 21.6.

The Notice of Proposed Policy

In July 2014, the FAA issued a notice of proposed policy on use of
hangars and related facilities at federally obligated airports, to
provide a clear and standardized guide for airport sponsors and FAA
compliance staff. (79 FR 42483, July 22, 2014). The FAA received more
than 2,400 comments on the proposed policy statement, the majority from
persons who have built or are in the process of building an amateur-
built aircraft. The FAA also received comments from aircraft owners,
tenants and owners of hangars, and airport operators. The Aircraft
Owners and Pilots Association (AOPA) and the Experimental Aircraft
Association (EAA) also provided comments on behalf of their membership.
Most of the comments objected to some aspect the proposed policy
statement. Comments objecting to the proposal tended to fall into two
general categories:
The FAA should not regulate the use of hangars at all,
especially if the hangar is privately owned.
While the FAA should have a policy limiting use of hangars
on federally obligated airports to aviation uses, the proposed policy
is too restrictive in defining what activities should be allowed.

Discussion of Comments and Final Policy

The following summary of comments reflects the major issues raised
and does not restate each comment received. The FAA considered all
comments received even if not specifically identified and responded to
in this notice. The FAA discusses revisions to the policy based on
comments received. In addition, the FAA will post frequently asked
Questions and Answers regarding the Hangar Use Policy on www.faa.gov/airport compliance. These Questions and Answers will be periodically
updated until FAA Order 5190.6B is revised to reflect the changes in
this notice.
1. Comment: Commenters stated that the FAA should defer to local
government and leave all regulation of hangar use to the airport
operator.
Response: The FAA has a contract with the sponsor of an obligated
airport, either through AIP grant agreements or a surplus property
deed, to limit the use of airport property to certain aviation
purposes. Each sponsor of an obligated airport has agreed to these
terms. The FAA relies on each airport sponsor to comply with its
obligations under this contract. To maintain a standardized national
airport system and standardized practices in each of the FAA's nine
regional offices, the agency issues guidance on its interpretation of
the requirements of the AIP and surplus property agreements. It falls
to the local airport sponsor to implement these requirements. The FAA
allows airport sponsors some flexibility to adapt compliance to local
conditions at each airport.
However, some airport sponsors have adopted hangar use practices
that led to airport users to complain to the FAA. Some airport users
have complained that sponsors are too restrictive, and fail to allow
reasonable aviation-related uses of airport hangars. More commonly,
aircraft owners have complained that hangar facilities are not
available for aircraft storage because airport sponsors have allowed
the use of hangars for purposes that are unrelated to aviation,

[[Page 38908]]

such as operating a non-aviation business or storing multiple vehicles.
By issuing the July 2014 notice, the FAA intended to resolve both kinds
of complaints by providing guidance on appropriate management of hangar
use. The agency continues to believe that FAA policy guidance is
appropriate and necessary to preserve reasonable access to aeronautical
facilities on federally obligated airports. However, the final policy
has been revised in response to comments received on the proposal.
2. Comment: Commenters, including AOPA, stated that the FAA lacks
the authority to regulate the use of privately owned hangars.
Response: The FAA has a statutory obligation to assure that
facilities on aeronautically designated land at federally obligated
airports are reasonably available for aviation use. Designated
aeronautical land on a federally obligated airport is a necessary part
of a national system of aviation facilities. Land designated for
aeronautical use offers access to the local airfield taxiway and runway
system. Land designated for aeronautical use is also subject to certain
conditions, including FAA policies concerning rates and charges
(including rental rates) which were designed to preserve access for
aeronautical users and to support aeronautical uses. A person who
leases aeronautical land on the airport to build a hangar accepts
conditions that come with that land in return for the special benefits
of the location. The fact that the tenant pays the sponsor for use of
the hangar or the land does not affect the agreement between the FAA
and the sponsor that the land be used for aeronautical purposes. (In
fact, most hangar owners do not have fee ownership of the property;
typically airport structures revert to ownership of the airport sponsor
upon expiration of the lease term). An airport sponsor may choose to
apply different rules to hangars owned by the sponsor than it does to
privately constructed hangars, but the obligations of the sponsor Grant
Assurances and therefore the basic policies on aeronautical use stated
in this notice, will apply to both.
3. Comment: Commenters believe that a policy applying the same
rules to all kinds of aeronautical structures, and to privately owned
hangars as well as sponsor-owned hangars, is too general. The policy
should acknowledge the differences between categories of airport
facilities.
Response: A number of commenters thought that rules for use of
privately constructed and owned hangars should be less restrictive than
rules for hangars leased from the airport sponsor. The Leesburg Airport
Commission commented that there are different kinds of structures on
the airport, with variations in rental and ownership interests, and
that the FAA's policy should reflect those differences. The FAA
acknowledges that ownership or lease rights and the uses made of
various aeronautical facilities at airports will vary. The agency
expects that airport sponsors' agreements with tenants would reflect
those differences. The form of property interest, be it a leasehold or
ownership of a hangar, does not affect the obligations of the airport
sponsor under the Grant Assurances. All facilities on designated
aeronautical land on an obligated airport are subject to the
requirement that the facilities be available for aeronautical use.
4. Comment: Commenters agree that hangars should be used to store
aircraft and not for non-aviation uses, but, they argue the proposed
policy is too restrictive on the storage of non-aviation related items
in a hangar along with an aircraft. A hangar with an aircraft in it
still has a large amount of room for storage and other incidental uses,
and that space can be used with no adverse effect on the use and
storage of the aircraft.
Response: In response to the comments, the final policy deletes the
criteria of ``incidental'' or ``de minimis'' use and simply requires
that non-aviation storage in a hangar not interfere with movement of
aircraft in or out of the hangar, or impede access to other
aeronautical contents of the hangar. The policy lists specific
conditions that would be considered to interfere with aeronautical use.
Stored non-aeronautical items would be considered to interfere with
aviation use if they:
[cir] Impede the movement of the aircraft in and out of the hangar;
[cir] Displace the aeronautical contents of the hangar. (A vehicle
parked at the hangar while the vehicle owner is using the aircraft will
not be considered to displace the aircraft);
[cir] Impede access to aircraft or other aeronautical contents of
the hangar;
[cir] Are used for the conduct of a non-aeronautical business or
municipal agency function from the hangar (including storage of
inventory); or
[cir] Are stored in violation of airport rules and regulations,
lease provisions, building codes or local ordinances.
Note: Storage of equipment associated with an aeronautical activity
(e.g., skydiving, ballooning, gliding) would be considered an
aeronautical use of a hangar.
5. Comment: Commenters stated the policy should apply different
rules to situations where there is no aviation demand for hangars,
especially when hangars are vacant and producing no income for the
sponsor.
Response: At some airports, at some times, there will be more
hangar capacity than needed to meet aeronautical demand, and as a
result there will be vacant hangars. The FAA agrees that in such cases
it is preferable to make use of the hangars to generate revenue for the
airport, as long as the hangar capacity can be recovered on relatively
short notice for aeronautical use when needed. See Order 5190.6B,
paragraph 22.6. The final policy adopts a provision modeled on a
leasing policy of the Los Angeles County Airport Commission, which
allows month-to-month leases of vacant hangars for any purpose until a
request for aeronautical use is received. The final policy requires
that a sponsor request FAA approval before implementing a similar
leasing plan:
The airport sponsor may request FAA approval of a leasing
plan for the lease of vacant hangars for non-aeronautical use on a
month-to-month basis.
The plan may be implemented only when there is no current
aviation demand for the vacant hangars.
Leases must require the non-aeronautical tenant to vacate
the hangar on 30 days' notice, to allow aeronautical use when a request
is received.
Once the plan is approved, the sponsor may lease vacant
hangars on a 30 days' notice without further FAA approval.
The agency believes this will allow airports to obtain some
financial benefit from vacant hangars no, while allowing the hangars to
be quickly returned to aeronautical use when needed. FAA pre-approval
of a month-to-month leasing plan will minimize the burden on airport
sponsors and FAA staff since it is consistent with existing interim use
guidance.
6. Comment: Commenter indicates that the terms ``incidental use''
and ``insignificant amount of space'' are too vague and restrictive.
Response: The FAA has not used these terms in the final policy.
Instead, the policy lists specific prohibited conditions that would be
considered to interfere with aeronautical use of a hangar.
7. Comment: Commenter states Glider operations require storage of
items at the airport other than aircraft, such as tow vehicles and
towing equipment. This should be an approved use of hangars.

[[Page 38909]]

Response: Tow bars and glider tow equipment have been added to the
list of examples of aeronautical equipment. Whether a vehicle is
dedicated to use for glider towing is a particular fact that can be
determined by the airport sponsor in each case. Otherwise the general
rules for parking a vehicle in a hangar would apply.
8. Comment: Commenter states it should be clear that it is
acceptable to park a vehicle in the hangar while the aircraft is out of
the hangar being used.
Response: The final policy states that a vehicle parked in the
hangar, while the vehicle owner is using the aircraft will not be
considered to displace the aircraft, and therefore is not prohibited.
9. Comment: Commenters, including Experimental Aircraft Association
(EAA), stated that aviation museums and non-profit organizations that
promote aviation should not be excluded from hangars.
Response: Aviation museums and other non-profit aviation-related
organizations may have access to airport property at less than fair
market rent, under section VII.E of the FAA Policy and Procedures
Concerning the Use of Airport Revenue. (64 FR 7710, February 16, 1999).
However, there is no special reason for such activities to displace
aircraft owners seeking hangar space for storage of operating aircraft,
unless the activity itself involves use and storage of aircraft.
Accordingly, aviation museums and non-profit organizations will
continue to have the same access to vacant hangar space as other
activities that do not actually require a hangar for aviation use, that
is, when there is no aviation demand (aircraft storage) for those
hangars and subject to the discretion of the airport operator.
10. Comment: Commenters suggest that the policy should allow a
`grace period' for maintaining possession of an empty hangar for a
reasonable time from the sale of an aircraft to the purchase or lease
of a new aircraft to be stored in the hangar.
Response: The FAA assumes that airport lease terms would include
reasonable accommodation for this purpose and other reasons a hangar
might be empty for some period of time, including the aircraft being in
use or at another location for maintenance. The reasons for temporary
hangar vacancy and appropriate ``grace periods'' for various events
depend on local needs and lease policies, and the FAA has not included
any special provision for grace periods in the final policy.
11. Comment: Commenters believe that the policy should allow some
leisure spaces in a hangar, such as a lounge or seating area and
kitchen, in recognition of the time many aircraft owners spend at the
airport, and the benefits of an airport community.
Response: The final policy does not include any special provision
for lounge areas or kitchens, either specifically permitting or
prohibiting these areas. The policy requires only that any non-aviation
related items in a hangar not interfere in any way with the primary use
of the hangar for aircraft storage and movement. The airport sponsor is
expected to have lease provisions and regulations in place to assure
that items located in hangars do not interfere with this primary
purpose.
12. Comment: Commenters, including EAA, stated that all
construction of an aircraft should be considered aeronautical for the
purpose of hangar use, because building an aircraft is an inherently
aeronautical activity. The policy should at least allow for use of a
hangar at a much earlier stage of construction than final assembly.
Response: The FAA has consistently held that the need for an
airport hangar in manufacturing or building aircraft arises at the time
the components of the aircraft are assembled into a completed aircraft.
Prior to that stage, components can be assembled off-airport in smaller
spaces. This determination has been applied to both commercial aircraft
manufacturing as well as homebuilding of experimental aircraft.
A large majority of the more than 2,400 public comments received on
the notice argued that aircraft construction at any stage is an
aeronautical activity. The FAA recognizes that the construction of
amateur-built aircraft differs from large-scale, commercial aircraft
manufacturing. It may be more difficult for those constructing amateur-
built or kit-built aircraft to find alternative space for construction
or a means to ultimately transport completed large aircraft components
to the airport for final assembly, and ultimately for access to
taxiways for operation.
Commenters stated that in many cases an airport hangar may be the
only viable location for amateur-built or kit-built aircraft
construction. Also, as noted in the July 2014 notice, many airports
have vacant hangars where a lease for construction of an aircraft, even
for several years, would not prevent owners of operating aircraft from
having access to hangar storage.
Accordingly, the FAA will consider the construction of amateur-
built or kit-built aircraft as an aeronautical activity. Airport
sponsors must provide reasonable access to this class of users, subject
to local ordinances and building codes. Reasonable access applies to
currently available facilities; there is no requirement for sponsors to
construct special facilities or to upgrade existing facilities for
aircraft construction use.
Airport sponsors are urged to consider the appropriate safety
measures to accommodate aircraft construction. Airport sponsors leasing
a vacant hangar for aircraft construction also are urged to incorporate
progress benchmarks in the lease to ensure the construction project
proceeds to completion in a reasonable time. The FAA's policy with
respect to commercial aircraft manufacturing remains unchanged.
13. Comment: Commenter suggests that the time that an inoperable
aircraft can be stored in a hangar should be clarified, because repairs
can sometimes involve periods of inactivity.
Response: The term ``operational aircraft'' in the final policy
does not necessarily mean an aircraft fueled and ready to fly. All
operating aircraft experience downtime for maintenance and repair, and
for other routine and exceptional reasons. The final policy does not
include an arbitrary time period beyond which an aircraft is no longer
considered operational. An airport operator should be able to determine
whether a particular aircraft is likely to become operational in a
reasonable time or not, and incorporate provisions in the hangar lease
to provide for either possibility.
14. Comment: Commenter suggests that the FAA should limit use of
hangars on an obligated airport as proposed in the July 2014 notice.
Airport sponsors frequently allow non-aeronautical use of hangars now,
denying the availability of hangar space to aircraft owners.
Response: Some commenters supported the relatively strict policies
in the July 2014 notice, citing their experience with being denied
access to hangars that were being used for non-aviation purposes. The
FAA believes that the final policy adopted will allow hangar tenants
greater flexibility than the proposed policy in the use of their
hangars, but only to the extent that there is no impact on the primary
purpose of the hangar. The intent of the final policy is to minimize
the regulatory burden on hangar tenants and to simplify enforcement
responsibilities for airport sponsors and the FAA, but only as is
consistent with the statutory requirements for use of federally
obligated airport property.

Final Policy

In accordance with the above, the FAA is adopting the following
policy statement on use of hangars at federally obligated airports:

[[Page 38910]]

Use of Aeronautical Land and Facilities

Applicability

This policy applies to all aircraft storage areas or facilities on
a federally obligated airport unless designated for non-aeronautical
use on an approved Airport Layout Plan or otherwise approved for non-
aviation use by the FAA. This policy generally refers to the use of
hangars since they are the type of aeronautical facility most often
involved in issues of non-aviation use, but the policy also applies to
other structures on areas of an airport designated for aeronautical
use. This policy applies to all users of aircraft hangars, including
airport sponsors, municipalities, and other public entities, regardless
of whether a user is an owner or lessee of the hangar.

I. General

The intent of this policy is to ensure that the federal investment
in federally obligated airports is protected by making aeronautical
facilities available to aeronautical users, and by ensuring that
airport sponsors receive fair market value for use of airport property
for non-aeronautical purposes. The policy implements several Grant
Assurances, including Grant Assurance 5, Preserving Rights and Powers;
Grant Assurance 22, Economic Nondiscrimination; Grant Assurance 24, Fee
and Rental Structure; and Grant Assurance 25, Airport Revenues.

II. Standards for Aeronautical Use of Hangars

a. Hangars located on airport property must be used for an
aeronautical purpose, or be available for use for an aeronautical
purpose, unless otherwise approved by the FAA Office of Airports as
described in Section III.
b. Aeronautical uses for hangars include:
1. Storage of active aircraft.
2. Final assembly of aircraft under construction.
3. Non-commercial construction of amateur-built or kit-built
aircraft.
4. Maintenance, repair, or refurbishment of aircraft, but not the
indefinite storage of nonoperational aircraft.
5. Storage of aircraft handling equipment, e.g., towbars, glider
tow equipment, workbenches, and tools and materials used in the
servicing, maintenance, repair or outfitting of aircraft.
c. Provided the hangar is used primarily for aeronautical purposes,
an airport sponsor may permit non-aeronautical items to be stored in
hangars provided the items do not interfere with the aeronautical use
of the hangar.
d. While sponsors may adopt more restrictive rules for use of
hangars, the FAA will generally not consider items to interfere with
the aeronautical use of the hangar unless the items:
1. Impede the movement of the aircraft in and out of the hangar or
impede access to aircraft or other aeronautical contents of the hangar.
2. Displace the aeronautical contents of the hangar. A vehicle
parked at the hangar while the vehicle owner is using the aircraft will
not be considered to displace the aircraft.
3. Impede access to aircraft or other aeronautical contents of the
hangar.
4. Are used for the conduct of a non-aeronautical business or
municipal agency function from the hangar (including storage of
inventory).
5. Are stored in violation of airport rules and regulations, lease
provisions, building codes or local ordinances.
e. Hangars may not be used as a residence, with a limited exception
for sponsors providing an on-airport residence for a full-time airport
manager, watchman, or airport operations staff for remotely located
airports. The FAA differentiates between a typical pilot resting
facility or aircrew quarters versus a hangar residence or hangar home.
The former are designed to be used for overnight and/or resting periods
for aircrew, and not as a permanent or even temporary residence. See
FAA Order 5190.6B paragraph 20.5(b)
f. This policy applies regardless of whether the hangar occupant
leases the hangar from the airport sponsor or developer, or the hangar
occupant constructed the hangar at the occupant's own expense while
holding a ground lease. When land designated for aeronautical use is
made available for construction of hangars, the hangars built on the
land are subject to the sponsor's obligations to use aeronautical
facilities for aeronautical use.

III. Approval for Non-Aeronautical Use of Hangars

A sponsor will be considered to have FAA approval for non-
aeronautical use of a hangar in each of the following cases:
a. FAA advance approval of an interim use: Where hangars are
unoccupied and there is no current aviation demand for hangar space,
the airport sponsor may request that FAA Office of Airports approve an
interim use of a hangar for non-aeronautical purposes for a period of 3
to 5 years. The FAA will review the request in accordance with Order
5190.6B paragraph 22.6. Interim leases of unused hangars can generate
revenue for the airport and prevent deterioration of facilities.
Approved interim or concurrent revenue-production uses must not
interfere with safe and efficient airport operations and sponsors
should only agree to lease terms that allow the hangars to be recovered
on a 30 days' notice for aeronautical purposes. In each of the above
cases, the airport sponsor is required to charge non-aeronautical fair
market rental fees for the non-aeronautical use of airport property,
even on an interim basis. (64 FR 7721).
b. FAA approval of a month-to-month leasing plan: An airport
sponsor may obtain advance written approval month-to-month leasing plan
for non-aeronautical use of vacant facilities from the local FAA Office
of Airports. When there is no current aviation demand for vacant
hangars, the airport sponsor may request FAA approval of a leasing plan
for the lease of vacant hangars for non-aeronautical use on a month-to-
month basis. The plan must provide for leases that include an
enforceable provision that the tenant will vacate the hangar on a 30-
day notice. Once the plan is approved, the sponsor may lease vacant
hangars on a 30-day notice basis without further FAA approval. If the
airport sponsor receives a request for aeronautical use of the hangar
and no other suitable hangar space is available, the sponsor will
notify the month-to-month tenant that it must vacate.
A sponsor's request for approval of an interim use or a month-to-
month leasing plan should include or provide for (1) an inventory of
aeronautical and non-aeronautical land/uses, (2) information on vacancy
rates; (3) the sponsor's procedures for accepting new requests for
aeronautical use; and (4) assurance that facilities can be returned to
aeronautical use when there is renewed aeronautical demand for hangar
space. In each of the above cases, the airport sponsor is required to
charge non-aeronautical fair market rental fees for the non-
aeronautical use of airport property, even on an interim basis. (64 FR
7721).
c. Other cases: Advance written release by the FAA for all other
non-aeronautical uses of designated aeronautical facilities. Any other
non-aeronautical use of a designated aeronautical facility or parcel of
airport land requires advance written approval from the FAA Office of
Airports in accordance with Order 5190.6B chapter 22.

[[Page 38911]]

IV. Use of Hangars for Construction of an Aircraft

Non-commercial construction of amateur-built or kit-built aircraft
is considered an aeronautical activity. As with any aeronautical
activity, an airport sponsor may lease or approve the lease of hangar
space for this activity without FAA approval. Airport sponsors are not
required to construct special facilities or upgrade existing facilities
for construction activities. Airport sponsors are urged to consider the
appropriate safety measures to accommodate these users.
Airport sponsors also should consider incorporating construction
progress targets in the lease to ensure that the hangar will be used
for final assembly and storage of an operational aircraft within a
reasonable term after project start.

V. No Right to Non-Aeronautical Use

In the context of enforcement of the Grant Assurances, this policy
allows some incidental storage of non-aeronautical items in hangars
that do not interfere with aeronautical use. However, the policy
neither creates nor constitutes a right to store non-aeronautical items
in hangars. Airport sponsors may restrict or prohibit storage of non-
aeronautical items. Sponsors should consider factors such as emergency
access, fire codes, security, insurance, and the impact of vehicular
traffic on their surface areas when enacting rules regarding hangar
storage. In some cases, permitting certain incidental non-aeronautical
items in hangars could inhibit the sponsor's ability to meet
obligations associated with Grant Assurance 19, Operations and
Maintenance. To avoid claims of discrimination, sponsors should impose
consistent rules for incidental storage in all similar facilities at
the airport. Sponsors should ensure that taxiways and runways are not
used for the vehicular transport of such items to or from the hangars.

VI. Sponsor Compliance Actions

a. It is expected that aeronautical facilities on an airport will
be available and used for aeronautical purposes in the normal course of
airport business, and that non-aeronautical uses will be the exception.
b. Sponsors should have a program to routinely monitor use of
hangars and take measures to eliminate and prevent unapproved non-
aeronautical use of hangars.
c. Sponsors should ensure that length of time on a waiting list of
those in need of a hangar for aircraft storage is minimized.
d. Sponsors should also consider including a provision in airport
leases, including aeronautical leases, to adjust rental rates to FMV
for any non-incidental non-aeronautical use of the leased facilities.
In other words, if a tenant uses a hangar for a non-aeronautical
purpose in violation of this policy, the rental payments due to the
sponsor would automatically increase to a FMV level.
e. FAA personnel conducting a land use or compliance inspection of
an airport may request a copy of the sponsor's hangar use program and
evidence that the sponsor has limited hangars to aeronautical use.
The FAA may disapprove an AIP grant for hangar construction if
there are existing hangars at the airport being used for non-
aeronautical purposes.

Issued in Washington, DC, on the 9th of June 2016.
Robin K. Hunt,
Acting Director, Office of Airport Compliance and Management Analysis.
[FR Doc. 2016-14133 Filed 6-14-16; 8:45 am]
BILLING CODE 4910-13-P

Federal Register / Vol. 81, No. 115 / Wednesday, June 15, 2016 / Rules and Regulations 38907

aviation commercial uses that could be of the airport helps to ensure that the comments objected to some aspect the
conducted off airport property. non-aeronautical use of airport property proposed policy statement. Comments
It is the longstanding policy of the is monitored and allows the airport objecting to the proposal tended to fall
FAA that airport property be available sponsor to clearly identify non- into two general categories:
for aeronautical use and not be available aeronautical fair market value lease • The FAA should not regulate the
for non-aeronautical purposes unless rates, in order to meet their federal use of hangars at all, especially if the
that non-aeronautical use is approved obligations. Identifying non- hangar is privately owned.
by the FAA. Use of a designated aeronautical uses and charging • While the FAA should have a
aeronautical facility for a non- appropriate rates for these uses prevents policy limiting use of hangars on
aeronautical purpose, even on a the sponsor from subsidizing non- federally obligated airports to aviation
temporary basis, requires FAA approval. aviation activities with aviation uses, the proposed policy is too
See FAA Order 5190.6B, Airport revenues. restrictive in defining what activities
Compliance Manual, paragraph 22.6, should be allowed.
September 30, 2009. The identification FAA Oversight
Discussion of Comments and Final
of non-aeronautical use of aeronautical A sponsor’s Grant Assurance
Policy
areas receives special attention in FAA obligations require that its aeronautical
airport land use compliance facilities be used or be available for use The following summary of comments
inspections. See Order 5190.6B, for aeronautical activities. If the reflects the major issues raised and does
paragraphs 21.6(f)(5). presence of non-aeronautical items in a not restate each comment received. The
Areas of the airport designated for hangar does not interfere with these FAA considered all comments received
non-aeronautical use must be shown on obligations, then the FAA will generally even if not specifically identified and
an airport’s Airport Layout Plan (ALP). not consider the presence of those items responded to in this notice. The FAA
The AAIA, at 49 U.S.C. 47107(a)(16), to constitute a violation of the sponsor’s discusses revisions to the policy based
requires that AIP grant agreements obligations. When an airport has unused on comments received. In addition, the
include an assurance by the sponsor to hangars and low aviation demand, a FAA will post frequently asked
maintain an ALP in a manner prescribed sponsor can request the FAA approval Questions and Answers regarding the
by the FAA. Sponsor assurance 29, for interim non-aeronautical use of a Hangar Use Policy on www.faa.gov/
Airport Layout Plan, implements hangars, until demand exists for those airport compliance. These Questions
§ 47107(a)(16) and provides that an ALP hangars for an aeronautical purpose. and Answers will be periodically
must designate non-aviation areas of the Aeronautical use must take priority and updated until FAA Order 5190.6B is
airport. The sponsor may not allow an be accommodated over non-aeronautical revised to reflect the changes in this
alteration of the airport in a manner use, even if the rental rate would be notice.
inconsistent with the ALP unless higher for the non-aeronautical use. The 1. Comment: Commenters stated that
approved by the FAA. See Order sponsor is required to charge a fair the FAA should defer to local
5190.6B, paragraph 7.18, and Advisory market commercial rental rate for any government and leave all regulation of
Circular 150/5070–6B, Airport Master hangar rental or use for non- hangar use to the airport operator.
Plans, Chapter 10. aeronautical purposes. (64 FR 7721). Response: The FAA has a contract
Clearly identifying non-aeronautical The FAA conducts land use with the sponsor of an obligated airport,
facilities not only keeps aeronautical inspections at 18 selected airports each either through AIP grant agreements or
facilities available for aviation use, but year, at least two in each of the nine a surplus property deed, to limit the use
also assures that the airport sponsor FAA regions. See Order 5190.6B, of airport property to certain aviation
receives at least Fair Market Value paragraph 21.1. The inspection includes purposes. Each sponsor of an obligated
(FMV) revenue from non-aviation uses consideration of whether the airport airport has agreed to these terms. The
of the airport. The AAIA requires that sponsor is using designated aeronautical FAA relies on each airport sponsor to
airport revenues be used for airport areas of the airport exclusively for comply with its obligations under this
purposes, and that the airport maintain aeronautical purposes, unless otherwise contract. To maintain a standardized
a fee structure that makes the airport as approved by the FAA. See Order national airport system and
self-sustaining as possible. 49 U.S.C. 5190.6B, paragraph 21.6. standardized practices in each of the
47107(a)(13)(A) and (b)(1). The FAA and FAA’s nine regional offices, the agency
the Department of Transportation Office The Notice of Proposed Policy issues guidance on its interpretation of
of the Inspector General have In July 2014, the FAA issued a notice the requirements of the AIP and surplus
interpreted these statutory provisions to of proposed policy on use of hangars property agreements. It falls to the local
require that non-aviation activities on and related facilities at federally airport sponsor to implement these
an airport be charged a fair market rate obligated airports, to provide a clear and requirements. The FAA allows airport
for use of airport facilities rather than standardized guide for airport sponsors sponsors some flexibility to adapt
the aeronautical rate. See FAA Policies and FAA compliance staff. (79 FR compliance to local conditions at each
and Procedures Concerning the Use of 42483, July 22, 2014). The FAA received airport.
Airport Revenue, (64 FR 7696, 7721, more than 2,400 comments on the However, some airport sponsors have
February 16, 1999) (FAA Revenue Use proposed policy statement, the majority adopted hangar use practices that led to
Policy). from persons who have built or are in airport users to complain to the FAA.
If an airport tenant pays an the process of building an amateur-built Some airport users have complained
aeronautical rate for a hangar and then aircraft. The FAA also received that sponsors are too restrictive, and fail
uses the hangar for a non-aeronautical comments from aircraft owners, tenants to allow reasonable aviation-related uses
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purpose, the tenant may be paying a and owners of hangars, and airport of airport hangars. More commonly,
below-market rate in violation of the operators. The Aircraft Owners and aircraft owners have complained that
sponsor’s obligation for a self-sustaining Pilots Association (AOPA) and the hangar facilities are not available for
rate structure and FAA’s Revenue Use Experimental Aircraft Association aircraft storage because airport sponsors
Policy. Confining non-aeronautical (EAA) also provided comments on have allowed the use of hangars for
activity to designated non-aviation areas behalf of their membership. Most of the purposes that are unrelated to aviation,

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38908 Federal Register / Vol. 81, No. 115 / Wednesday, June 15, 2016 / Rules and Regulations

such as operating a non-aviation leased from the airport sponsor. The 5. Comment: Commenters stated the
business or storing multiple vehicles. By Leesburg Airport Commission policy should apply different rules to
issuing the July 2014 notice, the FAA commented that there are different situations where there is no aviation
intended to resolve both kinds of kinds of structures on the airport, with demand for hangars, especially when
complaints by providing guidance on variations in rental and ownership hangars are vacant and producing no
appropriate management of hangar use. interests, and that the FAA’s policy income for the sponsor.
The agency continues to believe that should reflect those differences. The Response: At some airports, at some
FAA policy guidance is appropriate and FAA acknowledges that ownership or times, there will be more hangar
necessary to preserve reasonable access lease rights and the uses made of capacity than needed to meet
to aeronautical facilities on federally various aeronautical facilities at airports aeronautical demand, and as a result
obligated airports. However, the final will vary. The agency expects that there will be vacant hangars. The FAA
policy has been revised in response to airport sponsors’ agreements with agrees that in such cases it is preferable
comments received on the proposal. tenants would reflect those differences. to make use of the hangars to generate
2. Comment: Commenters, including The form of property interest, be it a revenue for the airport, as long as the
AOPA, stated that the FAA lacks the leasehold or ownership of a hangar, hangar capacity can be recovered on
authority to regulate the use of privately does not affect the obligations of the relatively short notice for aeronautical
owned hangars. airport sponsor under the Grant use when needed. See Order 5190.6B,
Response: The FAA has a statutory Assurances. All facilities on designated paragraph 22.6. The final policy adopts
obligation to assure that facilities on aeronautical land on an obligated a provision modeled on a leasing policy
aeronautically designated land at airport are subject to the requirement of the Los Angeles County Airport
federally obligated airports are that the facilities be available for Commission, which allows month-to-
reasonably available for aviation use. aeronautical use. month leases of vacant hangars for any
Designated aeronautical land on a 4. Comment: Commenters agree that purpose until a request for aeronautical
federally obligated airport is a necessary hangars should be used to store aircraft use is received. The final policy requires
part of a national system of aviation and not for non-aviation uses, but, they that a sponsor request FAA approval
facilities. Land designated for argue the proposed policy is too before implementing a similar leasing
aeronautical use offers access to the restrictive on the storage of non-aviation plan:
local airfield taxiway and runway related items in a hangar along with an • The airport sponsor may request
system. Land designated for aircraft. A hangar with an aircraft in it FAA approval of a leasing plan for the
aeronautical use is also subject to lease of vacant hangars for non-
still has a large amount of room for
certain conditions, including FAA aeronautical use on a month-to-month
storage and other incidental uses, and
policies concerning rates and charges basis.
that space can be used with no adverse
(including rental rates) which were
effect on the use and storage of the • The plan may be implemented only
designed to preserve access for when there is no current aviation
aircraft.
aeronautical users and to support demand for the vacant hangars.
Response: In response to the
aeronautical uses. A person who leases • Leases must require the non-
aeronautical land on the airport to build comments, the final policy deletes the
aeronautical tenant to vacate the hangar
a hangar accepts conditions that come criteria of ‘‘incidental’’ or ‘‘de minimis’’
on 30 days’ notice, to allow aeronautical
with that land in return for the special use and simply requires that non-
use when a request is received.
aviation storage in a hangar not interfere
benefits of the location. The fact that the • Once the plan is approved, the
tenant pays the sponsor for use of the with movement of aircraft in or out of
sponsor may lease vacant hangars on a
hangar or the land does not affect the the hangar, or impede access to other
30 days’ notice without further FAA
agreement between the FAA and the aeronautical contents of the hangar. The
approval.
sponsor that the land be used for policy lists specific conditions that The agency believes this will allow
aeronautical purposes. (In fact, most would be considered to interfere with airports to obtain some financial benefit
hangar owners do not have fee aeronautical use. Stored non- from vacant hangars no, while allowing
ownership of the property; typically aeronautical items would be considered the hangars to be quickly returned to
airport structures revert to ownership of to interfere with aviation use if they: aeronautical use when needed. FAA
the airport sponsor upon expiration of Æ Impede the movement of the pre-approval of a month-to-month
the lease term). An airport sponsor may aircraft in and out of the hangar; leasing plan will minimize the burden
choose to apply different rules to Æ Displace the aeronautical contents on airport sponsors and FAA staff since
hangars owned by the sponsor than it of the hangar. (A vehicle parked at the it is consistent with existing interim use
does to privately constructed hangars, hangar while the vehicle owner is using guidance.
but the obligations of the sponsor Grant the aircraft will not be considered to 6. Comment: Commenter indicates
Assurances and therefore the basic displace the aircraft); that the terms ‘‘incidental use’’ and
policies on aeronautical use stated in Æ Impede access to aircraft or other ‘‘insignificant amount of space’’ are too
this notice, will apply to both. aeronautical contents of the hangar; vague and restrictive.
3. Comment: Commenters believe that Æ Are used for the conduct of a non- Response: The FAA has not used
a policy applying the same rules to all aeronautical business or municipal these terms in the final policy. Instead,
kinds of aeronautical structures, and to agency function from the hangar the policy lists specific prohibited
privately owned hangars as well as (including storage of inventory); or conditions that would be considered to
sponsor-owned hangars, is too general. Æ Are stored in violation of airport interfere with aeronautical use of a
The policy should acknowledge the rules and regulations, lease provisions, hangar.
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differences between categories of airport building codes or local ordinances. 7. Comment: Commenter states Glider
facilities. Note: Storage of equipment associated operations require storage of items at
Response: A number of commenters with an aeronautical activity (e.g., the airport other than aircraft, such as
thought that rules for use of privately skydiving, ballooning, gliding) would be tow vehicles and towing equipment.
constructed and owned hangars should considered an aeronautical use of a This should be an approved use of
be less restrictive than rules for hangars hangar. hangars.

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Response: Tow bars and glider tow recognition of the time many aircraft requirement for sponsors to construct
equipment have been added to the list owners spend at the airport, and the special facilities or to upgrade existing
of examples of aeronautical equipment. benefits of an airport community. facilities for aircraft construction use.
Whether a vehicle is dedicated to use Response: The final policy does not Airport sponsors are urged to consider
for glider towing is a particular fact that include any special provision for lounge the appropriate safety measures to
can be determined by the airport areas or kitchens, either specifically accommodate aircraft construction.
sponsor in each case. Otherwise the permitting or prohibiting these areas. Airport sponsors leasing a vacant hangar
general rules for parking a vehicle in a The policy requires only that any non- for aircraft construction also are urged
hangar would apply. aviation related items in a hangar not to incorporate progress benchmarks in
8. Comment: Commenter states it interfere in any way with the primary the lease to ensure the construction
should be clear that it is acceptable to use of the hangar for aircraft storage and project proceeds to completion in a
park a vehicle in the hangar while the movement. The airport sponsor is reasonable time. The FAA’s policy with
aircraft is out of the hangar being used. expected to have lease provisions and respect to commercial aircraft
Response: The final policy states that regulations in place to assure that items manufacturing remains unchanged.
a vehicle parked in the hangar, while located in hangars do not interfere with 13. Comment: Commenter suggests
the vehicle owner is using the aircraft this primary purpose. that the time that an inoperable aircraft
will not be considered to displace the 12. Comment: Commenters, including can be stored in a hangar should be
aircraft, and therefore is not prohibited. EAA, stated that all construction of an clarified, because repairs can sometimes
9. Comment: Commenters, including aircraft should be considered involve periods of inactivity.
Experimental Aircraft Association aeronautical for the purpose of hangar
Response: The term ‘‘operational
(EAA), stated that aviation museums use, because building an aircraft is an
and non-profit organizations that aircraft’’ in the final policy does not
inherently aeronautical activity. The
promote aviation should not be necessarily mean an aircraft fueled and
policy should at least allow for use of
excluded from hangars. ready to fly. All operating aircraft
a hangar at a much earlier stage of
Response: Aviation museums and experience downtime for maintenance
construction than final assembly.
other non-profit aviation-related Response: The FAA has consistently and repair, and for other routine and
organizations may have access to airport held that the need for an airport hangar exceptional reasons. The final policy
property at less than fair market rent, in manufacturing or building aircraft does not include an arbitrary time
under section VII.E of the FAA Policy arises at the time the components of the period beyond which an aircraft is no
and Procedures Concerning the Use of aircraft are assembled into a completed longer considered operational. An
Airport Revenue. (64 FR 7710, February aircraft. Prior to that stage, components airport operator should be able to
16, 1999). However, there is no special can be assembled off-airport in smaller determine whether a particular aircraft
reason for such activities to displace spaces. This determination has been is likely to become operational in a
aircraft owners seeking hangar space for applied to both commercial aircraft reasonable time or not, and incorporate
storage of operating aircraft, unless the manufacturing as well as homebuilding provisions in the hangar lease to
activity itself involves use and storage of of experimental aircraft. provide for either possibility.
aircraft. Accordingly, aviation museums A large majority of the more than 14. Comment: Commenter suggests
and non-profit organizations will 2,400 public comments received on the that the FAA should limit use of
continue to have the same access to notice argued that aircraft construction hangars on an obligated airport as
vacant hangar space as other activities at any stage is an aeronautical activity. proposed in the July 2014 notice.
that do not actually require a hangar for The FAA recognizes that the Airport sponsors frequently allow non-
aviation use, that is, when there is no construction of amateur-built aircraft aeronautical use of hangars now,
aviation demand (aircraft storage) for differs from large-scale, commercial denying the availability of hangar space
those hangars and subject to the aircraft manufacturing. It may be more to aircraft owners.
discretion of the airport operator. difficult for those constructing amateur- Response: Some commenters
10. Comment: Commenters suggest built or kit-built aircraft to find supported the relatively strict policies
that the policy should allow a ‘grace alternative space for construction or a in the July 2014 notice, citing their
period’ for maintaining possession of an means to ultimately transport completed experience with being denied access to
empty hangar for a reasonable time large aircraft components to the airport hangars that were being used for non-
from the sale of an aircraft to the for final assembly, and ultimately for aviation purposes. The FAA believes
purchase or lease of a new aircraft to be access to taxiways for operation. that the final policy adopted will allow
stored in the hangar. Commenters stated that in many cases hangar tenants greater flexibility than
Response: The FAA assumes that an airport hangar may be the only viable the proposed policy in the use of their
airport lease terms would include location for amateur-built or kit-built hangars, but only to the extent that there
reasonable accommodation for this aircraft construction. Also, as noted in is no impact on the primary purpose of
purpose and other reasons a hangar the July 2014 notice, many airports have the hangar. The intent of the final policy
might be empty for some period of time, vacant hangars where a lease for is to minimize the regulatory burden on
including the aircraft being in use or at construction of an aircraft, even for hangar tenants and to simplify
another location for maintenance. The several years, would not prevent owners enforcement responsibilities for airport
reasons for temporary hangar vacancy of operating aircraft from having access sponsors and the FAA, but only as is
and appropriate ‘‘grace periods’’ for to hangar storage. consistent with the statutory
various events depend on local needs Accordingly, the FAA will consider requirements for use of federally
and lease policies, and the FAA has not the construction of amateur-built or kit- obligated airport property.
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included any special provision for grace built aircraft as an aeronautical activity.
Final Policy
periods in the final policy. Airport sponsors must provide
11. Comment: Commenters believe reasonable access to this class of users, In accordance with the above, the
that the policy should allow some subject to local ordinances and building FAA is adopting the following policy
leisure spaces in a hangar, such as a codes. Reasonable access applies to statement on use of hangars at federally
lounge or seating area and kitchen, in currently available facilities; there is no obligated airports:

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38910 Federal Register / Vol. 81, No. 115 / Wednesday, June 15, 2016 / Rules and Regulations

Use of Aeronautical Land and Facilities interfere with the aeronautical use of the paragraph 22.6. Interim leases of unused
hangar. hangars can generate revenue for the
Applicability d. While sponsors may adopt more airport and prevent deterioration of
This policy applies to all aircraft restrictive rules for use of hangars, the facilities. Approved interim or
storage areas or facilities on a federally FAA will generally not consider items concurrent revenue-production uses
obligated airport unless designated for to interfere with the aeronautical use of must not interfere with safe and
non-aeronautical use on an approved the hangar unless the items: efficient airport operations and sponsors
Airport Layout Plan or otherwise 1. Impede the movement of the should only agree to lease terms that
approved for non-aviation use by the aircraft in and out of the hangar or allow the hangars to be recovered on a
FAA. This policy generally refers to the impede access to aircraft or other 30 days’ notice for aeronautical
use of hangars since they are the type aeronautical contents of the hangar. purposes. In each of the above cases, the
of aeronautical facility most often 2. Displace the aeronautical contents airport sponsor is required to charge
involved in issues of non-aviation use, of the hangar. A vehicle parked at the non-aeronautical fair market rental fees
but the policy also applies to other hangar while the vehicle owner is using
for the non-aeronautical use of airport
structures on areas of an airport the aircraft will not be considered to
property, even on an interim basis. (64
designated for aeronautical use. This displace the aircraft.
3. Impede access to aircraft or other FR 7721).
policy applies to all users of aircraft
hangars, including airport sponsors, aeronautical contents of the hangar. b. FAA approval of a month-to-month
municipalities, and other public 4. Are used for the conduct of a non- leasing plan: An airport sponsor may
entities, regardless of whether a user is aeronautical business or municipal obtain advance written approval month-
an owner or lessee of the hangar. agency function from the hangar to-month leasing plan for non-
(including storage of inventory). aeronautical use of vacant facilities from
I. General 5. Are stored in violation of airport the local FAA Office of Airports. When
The intent of this policy is to ensure rules and regulations, lease provisions, there is no current aviation demand for
that the federal investment in federally building codes or local ordinances. vacant hangars, the airport sponsor may
obligated airports is protected by e. Hangars may not be used as a request FAA approval of a leasing plan
making aeronautical facilities available residence, with a limited exception for for the lease of vacant hangars for non-
to aeronautical users, and by ensuring sponsors providing an on-airport aeronautical use on a month-to-month
that airport sponsors receive fair market residence for a full-time airport basis. The plan must provide for leases
value for use of airport property for non- manager, watchman, or airport that include an enforceable provision
aeronautical purposes. The policy operations staff for remotely located that the tenant will vacate the hangar on
implements several Grant Assurances, airports. The FAA differentiates a 30-day notice. Once the plan is
including Grant Assurance 5, Preserving between a typical pilot resting facility or approved, the sponsor may lease vacant
Rights and Powers; Grant Assurance 22, aircrew quarters versus a hangar hangars on a 30-day notice basis
Economic Nondiscrimination; Grant residence or hangar home. The former without further FAA approval. If the
Assurance 24, Fee and Rental Structure; are designed to be used for overnight
airport sponsor receives a request for
and Grant Assurance 25, Airport and/or resting periods for aircrew, and
aeronautical use of the hangar and no
Revenues. not as a permanent or even temporary
other suitable hangar space is available,
residence. See FAA Order 5190.6B
II. Standards for Aeronautical Use of the sponsor will notify the month-to-
paragraph 20.5(b)
Hangars f. This policy applies regardless of month tenant that it must vacate.
a. Hangars located on airport property whether the hangar occupant leases the A sponsor’s request for approval of an
must be used for an aeronautical hangar from the airport sponsor or interim use or a month-to-month leasing
purpose, or be available for use for an developer, or the hangar occupant plan should include or provide for (1)
aeronautical purpose, unless otherwise constructed the hangar at the occupant’s an inventory of aeronautical and non-
approved by the FAA Office of Airports own expense while holding a ground aeronautical land/uses, (2) information
as described in Section III. lease. When land designated for on vacancy rates; (3) the sponsor’s
b. Aeronautical uses for hangars aeronautical use is made available for procedures for accepting new requests
include: construction of hangars, the hangars for aeronautical use; and (4) assurance
1. Storage of active aircraft. built on the land are subject to the that facilities can be returned to
2. Final assembly of aircraft under sponsor’s obligations to use aeronautical aeronautical use when there is renewed
construction. facilities for aeronautical use. aeronautical demand for hangar space.
3. Non-commercial construction of In each of the above cases, the airport
amateur-built or kit-built aircraft. III. Approval for Non-Aeronautical Use
of Hangars sponsor is required to charge non-
4. Maintenance, repair, or aeronautical fair market rental fees for
refurbishment of aircraft, but not the A sponsor will be considered to have the non-aeronautical use of airport
indefinite storage of nonoperational FAA approval for non-aeronautical use property, even on an interim basis. (64
aircraft. of a hangar in each of the following FR 7721).
5. Storage of aircraft handling cases:
equipment, e.g., towbars, glider tow a. FAA advance approval of an c. Other cases: Advance written
equipment, workbenches, and tools and interim use: Where hangars are release by the FAA for all other non-
materials used in the servicing, unoccupied and there is no current aeronautical uses of designated
maintenance, repair or outfitting of aviation demand for hangar space, the aeronautical facilities. Any other non-
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aircraft. airport sponsor may request that FAA aeronautical use of a designated
c. Provided the hangar is used Office of Airports approve an interim aeronautical facility or parcel of airport
primarily for aeronautical purposes, an use of a hangar for non-aeronautical land requires advance written approval
airport sponsor may permit non- purposes for a period of 3 to 5 years. from the FAA Office of Airports in
aeronautical items to be stored in The FAA will review the request in accordance with Order 5190.6B chapter
hangars provided the items do not accordance with Order 5190.6B 22.

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Federal Register / Vol. 81, No. 115 / Wednesday, June 15, 2016 / Rules and Regulations 38911

IV. Use of Hangars for Construction of d. Sponsors should also consider FOR FURTHER INFORMATION CONTACT: For
an Aircraft including a provision in airport leases, information concerning the final rule as
Non-commercial construction of including aeronautical leases, to adjust it relates to devices regulated by the
amateur-built or kit-built aircraft is rental rates to FMV for any non- Center for Devices and Radiological
considered an aeronautical activity. As incidental non-aeronautical use of the Health (CDRH): Antoinette (Tosia)
with any aeronautical activity, an leased facilities. In other words, if a Hazlett, Center for Devices and
airport sponsor may lease or approve tenant uses a hangar for a non- Radiological Health, Food and Drug
the lease of hangar space for this activity aeronautical purpose in violation of this Administration, Bldg. 66, Rm. 5424,
without FAA approval. Airport sponsors policy, the rental payments due to the 10903 New Hampshire Ave., Silver
are not required to construct special sponsor would automatically increase to Spring, MD 20993–0002, 301–796–6119,
facilities or upgrade existing facilities a FMV level. email: Tosia.Hazlett@fda.hhs.gov.
for construction activities. Airport e. FAA personnel conducting a land For information concerning the final
sponsors are urged to consider the use or compliance inspection of an rule as it relates to devices regulated by
appropriate safety measures to airport may request a copy of the the Center for Biologics Evaluation and
accommodate these users. sponsor’s hangar use program and Research: Stephen Ripley, Center for
Airport sponsors also should consider evidence that the sponsor has limited Biologics Evaluation and Research,
incorporating construction progress hangars to aeronautical use. Food and Drug Administration, 10903
targets in the lease to ensure that the The FAA may disapprove an AIP New Hampshire Ave., Bldg. 71, Rm.
hangar will be used for final assembly grant for hangar construction if there are 7301, Silver Spring, MD 20993–0002,
and storage of an operational aircraft existing hangars at the airport being 240–402–7911.
within a reasonable term after project used for non-aeronautical purposes. SUPPLEMENTARY INFORMATION:
start. Issued in Washington, DC, on the 9th of Executive Summary
V. No Right to Non-Aeronautical Use June 2016.
Robin K. Hunt, Purpose of the Regulatory Action
In the context of enforcement of the
Acting Director, Office of Airport Compliance The final rule explicitly permits the
Grant Assurances, this policy allows
and Management Analysis. use of symbols in medical device
some incidental storage of non-
aeronautical items in hangars that do [FR Doc. 2016–14133 Filed 6–14–16; 8:45 am] labeling without adjacent explanatory
not interfere with aeronautical use. BILLING CODE 4910–13–P text if certain requirements are met. The
However, the policy neither creates nor medical device industry has requested
constitutes a right to store non- the ability to use stand-alone symbols
aeronautical items in hangars. Airport DEPARTMENT OF HEALTH AND on domestic device labeling, consistent
sponsors may restrict or prohibit storage HUMAN SERVICES with their current use on devices
of non-aeronautical items. Sponsors manufactured for European and other
should consider factors such as Food and Drug Administration foreign markets. The final rule seeks to
emergency access, fire codes, security, harmonize the U.S. device labeling
insurance, and the impact of vehicular 21 CFR Parts 660, 801, and 809 requirements for symbols with
traffic on their surface areas when international regulatory requirements,
[Docket No. FDA–2013–N–0125] such as the Medical Device Directive
enacting rules regarding hangar storage.
In some cases, permitting certain RIN 0910–AG74 93/42/EEC of the European Union (EU)
incidental non-aeronautical items in (the European Medical Device Directive)
hangars could inhibit the sponsor’s Use of Symbols in Labeling and global adoption of International
ability to meet obligations associated Electrotechnical Commission (IEC)
AGENCY: Food and Drug Administration, standard IEC 60417 and International
with Grant Assurance 19, Operations HHS.
and Maintenance. To avoid claims of Organization for Standardization (ISO)
discrimination, sponsors should impose ACTION: Final rule. standard ISO 7000–DB that govern the
consistent rules for incidental storage in use of device symbols in numerous
SUMMARY: The Food and Drug foreign markets.
all similar facilities at the airport. Administration (FDA or the Agency) is
Sponsors should ensure that taxiways issuing this final rule revising its Summary of the Major Provisions of the
and runways are not used for the medical device and certain biological Regulatory Action in Question
vehicular transport of such items to or product labeling regulations to
from the hangars. FDA has generally interpreted
explicitly allow for the optional existing regulations not to allow the use
VI. Sponsor Compliance Actions inclusion of graphical representations of of symbols in medical device labeling,
a. It is expected that aeronautical information, or symbols, in labeling except with adjacent English-language
facilities on an airport will be available (including labels) without adjacent explanatory text and/or on in vitro
and used for aeronautical purposes in explanatory text (referred to in this diagnostic (IVD) devices intended for
the normal course of airport business, document as ‘‘stand-alone symbols’’) if professional use. Under the final rule,
and that non-aeronautical uses will be certain requirements are met. The final symbols established in a standard
the exception. rule also specifies that the use of developed by a standards development
b. Sponsors should have a program to symbols, accompanied by adjacent organization (SDO) may be used in
routinely monitor use of hangars and explanatory text continues to be medical device labeling without
take measures to eliminate and prevent permitted. FDA is also revising its adjacent explanatory text as long as: (1)
ehiers on DSK5VPTVN1PROD with RULES

unapproved non-aeronautical use of prescription device labeling regulations The standard is recognized by FDA
hangars. to allow the use of the symbol statement under its authority under section 514(c)
c. Sponsors should ensure that length ‘‘Rx only’’ or ‘‘) only’’ in the labeling of the Federal Food, Drug, and Cosmetic
of time on a waiting list of those in need for prescription devices. Act (FD&C Act) (21 U.S.C. 360d(c)) and
of a hangar for aircraft storage is DATES: This rule is effective September the symbol is used according to the
minimized. 13, 2016. specifications for use of the symbol set

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Document Created: 2016-06-15 02:21:25
Document Modified: 2016-06-15 02:21:25

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Rules and Regulations
Action		Notice of final policy.
Dates		The policy described herein is effective July 1, 2017.
Contact		Kevin C. Willis, Manager, Airport Compliance Division, ACO-100, Federal Aviation Administration, 800 Independence Avenue SW., Washington, DC 20591, telephone (202) 267- 3085; facsimile: (202) 267-4629.
FR Citation		81 FR 38906

81 FR 38906 - Policy on the Non-Aeronautical Use of Airport Hangars

DEPARTMENT OF TRANSPORTATIONFederal Aviation Administration

Federal Register Volume 81, Issue 115 (June 15, 2016)

DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration