[Federal Register Volume 87, Number 182 (Wednesday, September 21, 2022)]
[Rules and Regulations]
[Pages 57578-57590]
[FR Doc No: 2022-20328]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Parts 61 and 121

[Docket No. FAA-2017-1106; Amdt. Nos. 61-150 And 121-385]
RIN 2120-AL03

Recognition of Pilot in Command Experience in the Military and
Air Carrier Operations

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

ACTION: Final rule.

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SUMMARY: This final rule provides additional crediting options for
certain pilot in command (PIC) time to count towards the 1,000 hours of
air carrier experience required to serve as a PIC in air carrier
operations. In addition, this final rule allows credit for select
military time in a powered-lift flown in horizontal flight towards the
250 hours of airplane time as PIC, or second in command (SIC)
performing the duties of PIC, required for an airline transport pilot
(ATP) certificate. This action is necessary to expand opportunities for
pilots that meet the amended criteria to use relevant flight experience
toward the requirements for an ATP certificate and to meet PIC
qualification requirements for air carrier operations.

DATES: This rule is effective October 21, 2022.

ADDRESSES: For information on where to obtain copies of rulemaking
documents and other information related to this final rule, see ``How
To Obtain Additional Information'' in the SUPPLEMENTARY INFORMATION
section of this document.

FOR FURTHER INFORMATION CONTACT: Barbara Adams, Air Transportation
Division, AFS-200, Federal Aviation Administration, 800 Independence
Avenue SW, Washington, DC 20591; telephone<PHONE_NUMBER>; email
[email protected].

SUPPLEMENTARY INFORMATION:
I. Executive Summary
II. Authority for This Rulemaking
III. Discussion of the Final Rule and Public Comments
    A. ATP Aeronautical Experience Requirements (Sec.  61.159)
    B. Minimum of 1,000 Hours in Air Carrier Operations To Serve as
Pilot in Command in Part 121 Operations (Sec.  121.436)
    C. Miscellaneous Amendments
    D. Comment Regarding the Regulatory Evaluation
IV. Regulatory Notices and Analyses
    A. Regulatory Evaluation
    B. Regulatory Flexibility Act
    C. International Trade Impact Assessment
    D. Unfunded Mandates Assessment
    E. Paperwork Reduction Act
    F. International Compatibility and Cooperation
    G. Environmental Analysis
V. Executive Order Determinations
    A. Executive Order 13132, Federalism
    B. Executive Order 13211, Regulations That Significantly Affect
Energy Supply, Distribution, or Use
    C. Executive Order 13609, International Cooperation
VI. How To Obtain Additional Information
    A. Electronic Filing and Access
    B. Small Business Regulatory Enforcement Fairness Act

List of Abbreviations and Acronyms Frequently Used in This Document

ATP Airline Transport Pilot
NPRM Notice of Proposed Rulemaking

PIC Pilot in Command
SIC Second in Command

I. Executive Summary

    This rulemaking provides relief to military pilots \1\ of powered-
lift seeking to obtain an airline transport pilot (ATP) certificate
with an airplane category rating. As discussed in section III.a of this
preamble, the FAA is allowing military pilots to credit flight time in
a powered-lift operated in horizontal flight towards the 250-hour
flight time requirement in an airplane in Sec.  61.159(a)(5). This
change assists military pilots of powered-lift in qualifying for an ATP
certificate in the airplane category.
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    \1\ For the purposes of this rule, a military pilot is a U.S.
military pilot or former U.S. military pilot who meets the
requirements of Sec.  61.73(b)(1), or a military pilot in the Armed
Forces of a foreign contracting State to the Convention on
International Civil Aviation who meets the requirements of Sec.
61.73(c)(1).
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    This final rule also includes several changes to the 1,000-hour air
carrier experience required to serve as PIC in part 121 operations. As
discussed in section III.B, this final rule allows pilots with part 121
PIC experience acquired prior to July 31, 2013, to count that time
towards the 1,000 hours of air carrier experience required to serve as
PIC in part 121 operations. Additionally, the final rule broadens the
existing 500-hour credit for military pilots of fixed-wing airplanes
and can count towards the 1,000-hour air carrier experience requirement
by permitting certain powered-lift experiences to be credited. The
change allows up to 500 hours of experience in multiengine powered-lift
in operations where more than one pilot is required to be credited
towards the 1,000-hour air carrier experience requirement.\2\
Additionally, in response to comments received, the FAA is also
permitting a pilot to credit PIC time in certain part 135 eligible on-
demand multiengine aircraft operations to count towards the 1,000-hour
air carrier experience requirement.
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    \2\ Prior to this final rule, the 500-hour credit accommodated
military pilots of multiengine, turbine-powered fixed wing airplanes
in operations where more than one pilot was required. 14 CFR
121.436(c).
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    Because this final rule amends two disparate regulations, the FAA
has provided the necessary background information in the relevant
sections of the Discussion of the Final Rule and Public Comments.

II. Authority for This Rulemaking

    The FAA's authority to issue rules on aviation safety is found in
Title 49 United States Code (U.S.C.). Subtitle I, Section 106 describes
the authority of the FAA Administrator. Subtitle VII, Aviation
Programs, describes in more detail the scope of the agency's authority.
    This rulemaking is promulgated under the authority described in
U.S.C. 106(f), which establishes the authority of the Administrator to
promulgate regulations and rules; U.S.C. 44701(a)(5), which requires
the Administrator to promulgate regulations and minimum standards for
other practices, methods, and procedures necessary for safety in air
commerce and national security; and U.S.C. 44703(a), which requires the
Administrator to issue airman certificates when the Administrator
finds, after investigation, that an individual is qualified for and
physically able to perform the duties related to, the position
authorized by the certificate. This rulemaking revises the
qualifications required to apply for an ATP certificate and the
qualifications required to serve as PIC in part 121 operations. For
these reasons, this rulemaking is within the scope of the FAA's
authority.

III. Discussion of the Final Rule and Public Comments

    On November 24, 2017, the FAA published a notice of proposed
rulemaking (NPRM) titled Recognition of Pilot in Command Experience in
the Military and in Part 121 Air Carrier Operations.\3\ In the NPRM,
the FAA proposed amendments to parts 61 and 121 that would alleviate
the regulatory burden on pilots with military powered-lift experience
and pilots with part 121 PIC experience prior to July 31, 2013.
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    \3\ 82 FR 55791.
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    The NPRM provided for a 60-day comment period, which ended on
January 23, 2018. The FAA received and considered a total of 146
comments to the NPRM.\4\ Commenters included major air carriers, cargo
air carriers, powered-lift manufacturers, pilot labor associations,
military pilots, and private citizens. The majority of the comments
were from military pilots with experience operating powered-lift.
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    \4\ The FAA notes that three comments were in response to other
commenters.
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    All of the commenters, including many from the military powered-
lift community, generally supported the proposal. Some commenters
recommended changes to the proposed rule language. The FAA also
received several comments on the cost savings for military pilots who
can use the powered-lift time towards the 250 hours of PIC time for an
ATP certificate in the airplane category.
    Because of the specific nature of each provision, the FAA discusses
each amendment separately.

A. ATP Aeronautical Experience Requirements (Sec.  61.159)

    Since 1969, the FAA has required an applicant for an ATP
certificate with an airplane category rating to have at least 1,500
hours of flight time as a pilot.\5\ Today, this requirement is found in
Sec.  61.159(a). As part of the 1,500 hours of the total time required,
Sec.  61.159(a)(5) requires the applicant to have at least 250 hours of
flight time in an airplane as PIC, or as SIC performing the duties of
PIC while under the supervision of a PIC,\6\ or any combination
thereof. The 250 hours of airplane time must include at least 100 hours
of cross-country time and 25 hours of night time.\7\
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    \5\ Final Rule, Part 61 Certification: Pilots and Flight
Instructors, 34 FR 17162 (Oct. 23, 1969).
    \6\ The FAA considers an SIC to be performing the duties of PIC
while under the supervision of a PIC when an SIC who is required by
the type certification of the aircraft or the operation under which
the flight is being conducted ``performs all the functions of the
pilot-in-command including landings and takeoffs, en route flying,
low approaches, and ground functions.'' See Memorandum to John
Duncan from Rebecca MacPherson, Assistant Chief Counsel for
Regulations (Apr. 13, 2012) (interpreting the provision of 14 CFR
61.159(a)(4), which at the time stated ``250 hours of flight time in
an airplane as pilot in command, or as second in command performing
the duties of pilot in command while under the supervision of a
pilot in command'').
    \7\ 14 CFR 61.159(a)(5)(i) and (ii).
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    Over the years, military pilots have asked the FAA whether they may
credit their flight time in powered-lift aircraft, when operated in
horizontal flight, towards the aeronautical experience requirement of
Sec.  61.159(a)(5) for an ATP certificate with an airplane category
rating.\8\ Prior to this final rule, Sec.  61.159(a)(5) required a
person to obtain 250 hours of flight time as a PIC (or SIC performing
the duties of PIC while under the supervision of a PIC) in the airplane
category, which was the category of aircraft for which the rating was
sought. In 1997, the FAA established a separate category of aircraft
for powered-lift and adopted Sec.  61.163(a),\9\ which prescribes the
aeronautical experience required for an ATP certificate with a powered-
lift category rating.\10\ Because the FAA

established powered-lift as a separate category of aircraft rather than
a class or type under an existing category, a pilot was precluded from
crediting flight time in a powered-lift aircraft towards the airplane-
specific aeronautical experience requirement of Sec.  61.159(a)(5).\11\
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    \8\ 14 CFR 1.1 defines ``powered-lift'' as a heavier-than-air
aircraft capable of vertical takeoff, vertical landing, and low
speed flight that depends principally on engine-driven lift devices
or engine thrust for lift during these flight regimes and on
nonrotating airfoil(s) for lift during horizontal flight.
    \9\ Final Rule, Pilot, Flight Instructor, Ground Instructor, and
Pilot School Certification Rules, 62 FR 16220 (Apr. 4, 1997).
    \10\ Section 61.163(a)(3) requires a person who is applying for
an ATP certificate with a powered-lift category rating to obtain the
same 250 hours of flight time in a powered-lift aircraft.
    \11\ For a more detailed discussion of the background relevant
to the FAA's amendment to Sec.  61.159, see the NPRM. 82 FR at
55793.
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    In the NPRM for this rule, the FAA proposed to amend Sec.
61.159(a)(5) by adding a new provision that would allow military pilots
to credit flight time in a powered-lift operated in horizontal flight
towards the 250-hour airplane flight time requirement.\12\ Under the
proposal, a military pilot would be allowed to credit flight time
obtained in a powered-lift as PIC, or SIC performing the duties of PIC
while under the supervision of a PIC, towards the aeronautical
experience requirement of Sec.  61.159(a)(5). Additionally, the
proposed allowance for military time in powered-lift would have
extended to the cross-country time and night time requirements of Sec.
61.159(a)(5). The FAA did not propose to limit the amount of powered-
lift time a military pilot may credit towards the 250 hours of airplane
time other than stating the time credited must have been acquired in
horizontal flight.
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    \12\ In July 2013, the FAA published a final rule that permits
military pilots to obtain an ATP certificate with 750 hours total
time as a pilot as compared with the 1,500-hours generally required
to apply for the certificate. Final Rule, Pilot Certification and
Qualification Requirements for Air Carrier Operations, 78 FR 42324
(Jul. 15, 2013).
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    All commenters generally supported the proposal to permit credit
for military powered-lift PIC time. Delta Airlines Flight Operations,
Coalition of Airline Pilots Associations (CAPA), and AgustaWestland
Philadelphia Corporation (AWPC) fully supported the proposal. Several
commenters suggested changes to the proposed rule language, which are
discussed below.
    The Air Line Pilots Association, International (ALPA) suggested the
FAA limit the amount of flight time a military powered-lift pilot may
credit towards the 250 hours of airplane PIC time but did not state
what it believed would be an appropriate amount of time. ALPA was
concerned about the pilots' ability to track and verify the applicable
powered-lift time. ALPA also stated that the number of takeoffs and
landings in the ``airplane'' mode is important. ALPA believed it would
be inappropriate to allow a pilot to credit 250 hours of powered-lift
time that was conducted at cruise while most takeoffs and landings were
done vertically.
    An individual commenter responded to ALPA's concerns. With regard
to ALPA's concerns about tracking the flight time, the commenter
explained that a pilot can easily determine and log the flight time
obtained in a powered-lift in horizontal flight. The commenter added
that each military pilot signs each page of his or her logbook as a
``certified and correct record''; therefore, any powered-lift
``horizontal'' flight time credited towards the 250-hour aeronautical
experience requirement could be properly accounted for in the pilot's
records. With respect to takeoff and landing, the commenter believed
that ALPA erred in suggesting that vertical takeoffs and landings are
the standards for powered-lift. According to the commenter, a typical
profile for both the V-22 and AV-8 \13\ includes takeoffs and landings
in airplane mode. Nonetheless, because the FAA already proposed to
preclude the crediting of vertical flight time in a powered-lift, the
commenter found no reason to further limit the horizontal portion of
powered-lift flight time simply because vertical landings or takeoffs
occurred.
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    \13\ The V-22 is a multiengine powered-lift military aircraft
commonly known as the Osprey. The AV-8 and F-35B are single-engine
powered-lift military aircraft commonly known as the Harrier and
Lightning II, respectively.
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    While the FAA acknowledges that military pilots do not typically
log powered-lift time in each ``mode'' of flight (i.e., horizontal or
vertical), the FAA has determined that limiting the amount of credit on
this basis is not necessary. As many of the commenters attested, a
significant majority \14\ of the time spent in powered-lift is in
horizontal flight. Military pilots will have well in excess of 250
hours of PIC time in powered-lift. Even using the most conservative
approximation, these pilots will generally have two to five times that
amount of PIC-powered-lift time.\15\ Because the applicable amount of
powered-lift time will well exceed the 250-hour flight time
requirement, the FAA finds it unnecessary to limit the amount of credit
simply because military pilots may not have tracked the exact number of
hours spent in horizontal flight. In response to ALPA's comment about
the FAA's ability to verify the hours, the evaluator for the ATP
certificate will determine if the pilot's records and desired credit
sought are appropriate.\16\ For these reasons, the FAA does not share
ALPA's concern about the ability to track and verify the applicable
amount of PIC powered-lift time.
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    \14\ Commenters estimated that military pilots operate powered-
lift aircraft in horizontal flight between 80-99% of the time. These
comments are available in the docket for this rulemaking at https://www.regulations.gov at Docket No. FAA-2017-1106.
    \15\ Based on discussions with current and former military
powered-lift pilots, the FAA determined that a military powered-lift
pilot will generally have between 1,000-2,500 hours of total
powered-lift time, which includes about 500-1,250 hours of PIC
powered-lift time.
    \16\ A military powered-lift pilot will account for his or her
flight time on the FAA Form 8710 (Airman Certificate or Rating
Application). This flight time will be reviewed to determine
eligibility for the certificate or rating sought by an FAA inspector
or designee. In FAA Order 8900.1, volume 5, chapter 3, section 1,
the FAA recognizes that the aeronautical experience shown in
official military records may not always align with the required
aeronautical experience requirements in part 61. See also FAA Order
8900.95A, volume 3, section 2, paragraph 2b, Note, (page 3-8) of the
Designee Management Policy, which applies the 8900.1, volume 5 to
designees. In such circumstances, an inspector who has past military
flight experience as a military pilot may validate the flight
records.
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    In response to ALPA's concern about takeoffs and landings, the FAA
recognizes that a military powered-lift pilot may conduct more takeoffs
and landings in the vertical mode rather than ``airplane'' mode. As
noted by commenters, however, this is not always the case. The type of
takeoff and landing largely depends on the powered-lift and the
military operation. Nevertheless, the FAA finds it unnecessary to limit
the amount of military powered-lift time that may be credited towards
the 250-hour requirement merely because the pilot may have conducted
takeoffs and landings in the vertical mode. Section 61.159(a)(5) does
not expressly require any of the 250 hours of airplane PIC time to
include takeoffs and landings. The requirement in Sec.  61.159(a)(5),
which has existed since 1952,\17\ is intended to require aeronautical
experience performing the duties and functions of a PIC or SIC
performing the duties of PIC while under the supervision of a PIC in an
airplane.
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    \17\ Final Rule, Aeronautical Experience Requirement for Airline
Transport Pilot Rating, 17 FR 3479 (Apr. 19, 1952). In 1952, the
Civil Aeronautics Board adopted this requirement in Sec.  21.16(a).
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    The FAA recognizes that, in obtaining the 250 hours of PIC time in
an airplane, a pilot who has learned to fly and acquired experience in
an airplane will likely have obtained a certain amount of PIC
experience performing takeoffs and landings in an airplane. The FAA
finds, however, that this is not a basis to limit the amount of
powered-lift time a military pilot may credit towards the 250 hours of
airplane time, other than stating the time credited must have been
acquired in horizontal flight. As previously stated, military powered-
lift pilots will have two to five times the amount of PIC time required
by the

regulation. In addition, due to the quality and structure of military
training and the demanding nature of military operations, the FAA finds
that a pilot who has spent approximately 500-1,250 hours performing the
duties and functions of a PIC in military powered-lift operations will
have obtained a level of experience comparable to the experience
obtained by accruing 250 hours of PIC time in an airplane.
    To the extent ALPA is concerned that a military powered-lift pilot
will not have airplane experience, particularly in takeoff and landing,
prior to obtaining an ATP certificate in the airplane category, the FAA
responds that military powered-lift pilots receive training and are
qualified in an airplane prior to transitioning to a powered-lift. The
amount of airplane-specific training varies depending upon which
powered-lift the pilot will transition to. However, the comprehensive
and demanding nature of military pilot training and the military's
assessment of flight proficiency ensures that the pilot is capable of
successfully performing takeoffs and landings in an airplane prior to
operating a powered-lift. As evidenced by several commenters, military
V-22 \18\ pilots were required to demonstrate proficiency to the
commercial level in the King Air 200 \19\ while attending Naval Flight
Training. With the required documentation outlined in Sec.  61.73, the
FAA acknowledges the airplane training and checking a military powered-
lift pilot has completed and permits those pilots to apply for a
commercial pilot certificate in the appropriate airplane class(es) as a
result.\20\
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    \18\ The V-22 Osprey is a twin-engine powered-lift aircraft in a
tiltrotor configuration. The maximum takeoff weight is approximately
52,600 lbs. It is operated by the military.
    \19\ King Air 200 is a twin-engine turboprop aircraft. The
military uses this aircraft for pilot training in addition to
passenger transportation, cargo, and intelligence gathering. Maximum
takeoff weight is typically 12,500 lbs.
    \20\ The FAA more fully explains Sec.  61.73 and the ability for
a military powered-lift pilot to apply for a commercial pilot
certificate with an airplane category and appropriate class ratings
later in this section.
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    Furthermore, the accumulation of 250 hours of PIC time in a
military powered-lift does not automatically result in an ATP
certificate in the airplane category. Rather, a military pilot will
still be required to meet the other aeronautical experience
requirements of Sec.  61.159, including the requirement to obtain at
least 50 hours of flight time in the class of airplane for the rating
sought.\21\ This means a military pilot seeking an ATP certificate with
an airplane category multiengine class rating must have at least 50
hours of flight time in a multiengine airplane, which will provide the
pilot with experience performing takeoffs and landings in the class of
airplane appropriate to the rating sought. Additionally, the military
pilot will still be required to complete the ATP certification training
program (ATP CTP) required by Sec.  61.156 for a multiengine airplane
ATP certificate, pass the ATP knowledge test, and pass the ATP
practical test or air carrier evaluation that results in the issuance
of an ATP certificate. The ATP CTP requires 10 hours of training in a
flight simulation training device (FSTD) that represents a multiengine
turbine airplane.\22\ In addition, the practical test--or the
proficiency and competency checks required under parts 121 and 135--
will be conducted in the class of airplane for the rating sought and
will include an evaluation of the pilot's ability to take off and land
the airplane.
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    \21\ 14 CFR 61.159(a)(3).
    \22\ 14 CFR 61.156(b).
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    For the reasons explained above, the FAA finds it unnecessary to
limit the amount of PIC-powered-lift flight time that a military pilot
may credit toward the 250-hour flight time requirement. Section
61.159(a)(5) remains unchanged from the proposed rulemaking.
    One commenter suggested the FAA also allow powered-lift flight time
to be credited toward the commercial pilot certificate in the airplane
category with a multiengine class rating.
    The FAA finds it unnecessary to amend the regulations in response
to this comment. Consistent with the NPRM, the amendment to Sec.
61.159(a)(5), which allows certain powered-lift times to be credited,
applies only to military pilots. While a military pilot must satisfy
the aeronautical requirements of Sec.  61.159(a) to obtain an ATP
certificate with an airplane category rating, a military pilot is not
required to satisfy the aeronautical experience requirements of Sec.
61.129(a) to obtain a commercial pilot certificate with an airplane
category rating. Instead, Sec.  61.73(a) allows military pilots to
apply for a commercial pilot certificate with the appropriate aircraft
category and class rating ``on the basis of their military pilot
qualifications'' without taking a practical test.\23\ Military powered-
lift pilots receive comprehensive training in an airplane and a rating
qualification prior to transitioning to the powered-lift.\24\ Military
powered-lift pilots may therefore obtain a commercial pilot certificate
with an airplane category rating and single-engine or multiengine class
rating(s), as appropriate, based on their military pilot
qualifications, provided the pilot satisfies the requirements of Sec.
61.73.\25\ Because the regulations allow a military powered-lift pilot
to obtain a commercial pilot certificate with an airplane category
rating without satisfying the aeronautical experience requirements of
Sec.  61.129, the FAA finds it unnecessary to revise Sec.  61.129 in
response to the commenter.
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    \23\ Under Sec.  61.73(b), a person who qualifies as a military
pilot or former military pilot in the U.S. Armed Forces may apply
for a pilot certificate and ratings under Sec.  61.73(a) if that
person, in part, presents evidentiary documents described under
Sec.  61.73(h)(2) and presents official U.S military records that
show, before the date of application, the person either: (1) passed
an official U.S. military pilot and instrument proficiency check in
a military aircraft of the kind of aircraft category, class, and
type of aircraft (if applicable) for the ratings sought; or (2)
logged 10 hours of pilot time as a military pilot in a U.S. military
aircraft in the kind of aircraft category, class, and type (if
applicable) for the aircraft rating sought. The evidentiary document
that must be submitted in accordance with Sec.  61.73(h)(2) is an
official U.S. Armed Forces record that shows the person graduated
from a U.S. Armed Forces undergraduate pilot training school and
received a rating qualification as a military pilot.
    \24\ The training and testing received is acknowledged in FAA
inspector guidance and was further validated based on discussions
with current and former military pilots. A military powered-lift
pilot obtains flight training and a rating qualification in an
airplane prior to receiving training in the powered-lift aircraft.
See FAA Order 8900.1, volume 5, chapter 12, section 15.
    \25\ A military pilot who holds a rating qualification in a
single-engine airplane may only obtain a commercial pilot
certificate with an airplane category single-engine class rating
pursuant to Sec.  61.73. The FAA emphasizes, however, that upon
obtaining a commercial pilot certificate pursuant to Sec.  61.73,
that individual may add an airplane multiengine rating to his or her
commercial pilot certificate in accordance with Sec.  61.63(c).
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    Two commenters suggested the FAA allow powered-lift credit toward
the requirements for the flight instructor certificate and the flight
instructor certificate with an instrument rating.\26\ One commenter
specifically mentioned instructor ratings obtained based on military
competency, which is a term associated with Sec.  61.73. Because the
commenters did not provide specific detail about the kind of credit
that the FAA should allow, the FAA will address both avenues for
obtaining an instructor certificate based on military experience in
accordance with Sec.  61.73(g) and adding instructor ratings through
the regular FAA certification process in accordance with Sec.
61.183.\27\
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    \26\ One of the individual commenters specified multiengine
instructor and instrument instructor.
    \27\ Section 61.183 contains the eligibility requirements for
obtaining a flight instructor certificate through the normal
civilian certification process as opposed to obtaining a flight
instructor certificate based on military competence under Sec.
61.73(g).

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    As with military pilot ratings, Sec.  61.73 allows a military
instructor to obtain an FAA flight instructor certificate based on
prior military instructor experience in a particular category and class
of aircraft. For military instructor pilots seeking a flight instructor
certificate from the FAA based on military experience pursuant to Sec.
61.73(g), experience as a military powered-lift instructor does not
make that pilot eligible for a flight instructor certificate in the
airplane category. To obtain a flight instructor certificate through
military competence, a person must: (1) hold an FAA commercial pilot
certificate or ATP certificate with the category and class ratings for
the instructor privileges being sought; (2) hold an instrument rating,
or have instrument privileges, on the pilot certificate that is
appropriate to the flight instructor rating sought; and (3) provide
documentation that demonstrates that the pilot has a military
qualification as an instructor pilot or examiner, completed military
instructor pilot or examiner training, and completed a proficiency
check as a military instructor pilot or examiner in the instructor
ratings sought. Because Sec.  61.73(g) is solely based on a person's
military instructor experience, it would be inappropriate to give an
airplane instructor rating (or credit towards a rating) to a military
instructor who did not instruct in airplanes.
    For example, in order to obtain a flight instructor certificate
with airplane category multiengine class ratings, a military pilot
would have to obtain either a commercial pilot certificate (and
instrument rating) with airplane category multiengine class ratings or
an ATP certificate with an airplane category multiengine class ratings
and demonstrate he or she was a military instructor in multiengine
airplanes in accordance with Sec.  61.73(g). The same would apply to
instrument privileges. The military pilot would have to demonstrate he
or she holds or held an instrument rating or instrument privileges in
the appropriate category of aircraft for the instructor rating sought
and was qualified as a military instrument instructor to obtain an
instrument instructor rating on their flight instructor certificate.
    As noted, a military pilot may be initially qualified in an
airplane before receiving a powered-lift qualification, thereby
allowing the pilot to receive both airplane and powered-lift ratings
through military competency. A military powered-lift instructor,
however, does not receive an initial qualification as a military
airplane instructor. Therefore, a military powered-lift instructor is
eligible for only a powered-lift instructor rating through Sec.
61.73(g).
    To the extent that commenters suggested the FAA should issue
airplane ratings on FAA flight instructor certificates based solely on
military powered-lift instructor documentation, the FAA does not agree
because these instructors have no specific military experience
instructing in airplanes. Such an allowance would be inconsistent with
the FAA's longstanding position that an instructor must demonstrate
knowledge and skill in the category and class of aircraft in which he
or she is going to instruct. With military competency, the instructor
demonstrates this within the military system by obtaining a military
instructor qualification and subsequently passing the FAA instructor
knowledge test. Absent military competency, this demonstration is
achieved through successful completion of the FAA knowledge test and
practical test in accordance with Sec.  61.183.
    Section 61.183 prescribes the eligibility requirements for a person
seeking an FAA flight instructor certificate or an additional flight
instructor rating.\28\ The FAA also disagrees with allowing military
pilots to credit powered-lift time towards the flight time required for
a flight instructor certificate with an airplane category rating under
this section. The following paragraphs explain the FAA's rationale.
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    \28\ 14 CFR 61.191(a).
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    Section 61.183(c) requires an applicant for a flight instructor
certificate to hold at least a commercial pilot certificate with the
aircraft category and class rating appropriate to the flight instructor
rating sought. As previously explained, a military powered-lift pilot
is eligible for a commercial pilot certificate in the airplane category
with the appropriate class rating based on the airplane rating
qualification that the military pilot initially received prior to being
qualified on the powered-lift. Therefore, the military powered-lift
pilot already receives credit for his or her military experience as a
pilot in an airplane to meet the eligibility requirement for a flight
instructor certificate in Sec.  61.183(c). The FAA has determined that
where a military pilot cannot demonstrate prior military instructor
experience in an airplane, it is not appropriate to give any credit
toward an FAA instructor certificate with airplane ratings based on
military instructor experience in a powered-lift. Rather, as with all
instructors who seek to add an additional instructor rating, a military
powered-lift instructor must satisfy the requirements of Sec.  61.183
to add an airplane instructor rating, which includes flight time, an
instructor endorsement, and a practical test.
    To the extent that the commenters were recommending flight hour
credit for powered-lift time, the only flight time required for a
flight instructor certificate is 15 hours as PIC in the category and
class of aircraft for the flight instructor rating sought.\29\ The FAA
notes that a person who is already certificated as a flight instructor
under part 61 is also required to have 15 hours as PIC in the category
and class of aircraft for the rating sought when he or she seeks to add
an additional rating on his or her flight instructor certificate.\30\
---------------------------------------------------------------------------

    \29\ 14 CFR 61.183(j). The FAA adopted this requirement for
applicants seeking a flight instructor certificate in 1997. Final
Rule, Pilot, Flight Instructor, Ground Instructor, and Pilot School
Certification Rules, 62 FR 16220, 16273 (Apr. 4, 1997).
    \30\ 14 CFR 61.191. The FAA also notes that Sec.  61.187
requires an applicant for a flight instructor certificate to obtain
the flight training on the areas of operation listed in Sec.  61.187
in an aircraft or FSTD that is representative of the category and
class of aircraft for the flight instructor rating sought.
---------------------------------------------------------------------------

    When the FAA first adopted this 15-hour requirement,\31\ it applied
only to flight instructors seeking an additional rating, and the FAA
acknowledged the difficulty and expense involved in obtaining PIC time
in aircraft such as multiengine airplanes and helicopters. However, the
FAA determined it was necessary to require some actual PIC time in the
aircraft in which the flight instructor will instruct.\32\ In 1997, the
FAA adopted Sec.  61.183(j), which imposed the 15-hour flight time
requirement on applicants for a flight instructor certificate.\33\ The
FAA still finds it necessary to require an applicant for a flight
instructor certificate or an additional rating to obtain 15 hours of
PIC time in the category and class of aircraft prior to providing
flight instruction in that category and class of aircraft. This
requirement is intended to prevent a flight instructor from giving
multiengine flight instruction, for example, in a category and class of
aircraft in which they do not have sufficient experience.\34\ The
military powered-lift

pilot may have PIC airplane time from his or her military experience
that could be used to meet the 15-hour requirement, but ultimately that
pilot will need to demonstrate knowledge and skill instructing in
airplanes in order to receive a flight instructor certificate with an
airplane category rating.
---------------------------------------------------------------------------

    \31\ Final Rule, Certification: Pilots and Flight Instructors,
38 FR 3156, 3160 (Feb. 1, 1973). The FAA notes that when it first
proposed this flight time requirement, it proposed 25 hours of PIC
time in the category and class of aircraft in which a rating is
sought. NPRM, Certification: Pilots and Flight Instructors, 37 FR
6012, 6015 (Mar. 23, 1972). In the final rule, the FAA lowered the
requirement to 15 hours in response to comments. 38 FR at 3161.
    \32\ 38 FR 3161.
    \33\ 62 FR 16220, 16273.
    \34\ 37 FR 6012, 6015.
---------------------------------------------------------------------------

    AWPC and two individuals commented that the FAA should allow
military pilots to credit powered-lift time toward an ATP certificate
with a rotorcraft category helicopter class rating.\35\ The FAA is not
adopting a similar credit for the aeronautical experience required for
an ATP certificate in the rotorcraft category with a helicopter class
rating. As explained in the NPRM, powered-lift are predominantly
operated in the horizontal flight regime. When operated in this mode,
the FAA finds that powered-lift are, for all practical purposes,
operated like airplanes. Many commenters supported this rationale.\36\
The FAA finds that there would be a minimal benefit to crediting
powered-lift time towards an ATP certificate with a rotorcraft rating.
---------------------------------------------------------------------------

    \35\ 14 CFR 61.161 prescribes the aeronautical experience
requirements for obtaining an ATP certificate in the rotorcraft
category with a helicopter class rating. A pilot must have at least
75 hours of helicopter PIC time, or as SIC performing the duties of
a PIC under the supervision of a PIC, to be eligible.
    \36\ See Docket No. FAA-2017-1106.
---------------------------------------------------------------------------

    AWPC also suggested the FAA allow powered-lift time to be credited
towards the ATP certificate with a powered-lift category rating. The
FAA finds it unnecessary to make any revisions to Sec.  61.163, which
prescribes the aeronautical experience requirements for persons seeking
an ATP certificate with a powered-lift category rating. Unlike the 250-
hour PIC requirement in Sec.  61.159(a)(5), which was airplane
category-specific,\37\ the 250-hour PIC requirement in Sec.
61.163(a)(3) is powered-lift category specific. Therefore, military
pilots may already credit their PIC time in a powered-lift towards this
requirement.\38\ The FAA notes that military pilots may credit their
powered-lift time towards the other aeronautical requirements of Sec.
61.163 as well.
---------------------------------------------------------------------------

    \37\ Because this requirement was specific to the airplane
category, flight time obtained in the powered-lift category could
not be credited.
    \38\ Under Sec.  61.51(j), a person may log flight time in a
military aircraft under the direct operational control of the U.S.
Armed Forces.
---------------------------------------------------------------------------

    One commenter stated that powered-lift time should be allowed to
count towards ``currency requirements'' \39\ for both airplanes and
helicopters. The commenter contended that many powered-lift pilots are
being turned down from employment opportunities since they do not have
recent experience in airplanes or helicopters.
---------------------------------------------------------------------------

    \39\ In this context, the commenter is referring to employer
established hiring requirements, not FAA requirements for currency.
---------------------------------------------------------------------------

    Although the FAA understands the commenters' concern, the FAA does
not control an employer's minimum requirements for hiring a pilot. It
is the employer's decision as to the acceptable level of recent
experience they require of a potential employee.
    One commenter questioned the accuracy of the cost analysis for this
rulemaking. The commenter suggested that the FAA's determination does
not consider the total costs to the Federal Government, particularly to
the Department of Defense (DoD). The commenter further suggested that
the timing of this rulemaking could be costly to the armed services due
to a convergence of circumstances that will exacerbate an existing
pilot retention problem facing the armed services. The commenter urged
the FAA to conduct another analysis of the cost impact to the entire
Federal Government or request the armed services to provide feedback.
    Two individuals submitted rebuttals to this commenter. One
commenter stated that this proposal ``seeks to rectify rules that
unfairly and inadvertently handicapped Honorably Discharged powered-
lift veterans from capitalizing on the same military competency rules
as their traditional ``fixed-wing'' peers. Military competency rules
are not politically based--they only recognize the high quality of
military training and flight time and allow pilots the ability to
easily transfer their flight time to earn FAA certificates.'' \40\ The
other commenter agreed that the United States Air Force (USAF) has
acknowledged a looming pilot shortage. However, the commenter stated
that the United States Marine Corps (USMC) has not announced a pilot
shortage, and this rulemaking primarily affects USMC aircraft. This
commenter explained that the real issue is the correct accounting for
experience gained by flying powered-lift and how that should translate
to the FAA and civilian flight ratings and certification eligibility.
The commenter asserted that, of the several aircraft mentioned in the
NPRM, the USAF only flies a very small number of CV-22s; however, the
individual who questioned the cost analysis based his entire argument
on USAF pilot data.
---------------------------------------------------------------------------

    \40\ Docket Number: FAA-2017-1106-0136; Comment Tracking Number:
1k2-912t-fq9n.
---------------------------------------------------------------------------

    In response to the commenter's concerns that this rulemaking would
further exacerbate the military pilot shortage, the FAA reviewed recent
literature, studies, and data on this issue to identify the causes of
the military pilot shortage. Military pilots separate from service for
a variety of reasons, especially the large pay gap between commercial
and military pilots, which this rulemaking does not directly affect. As
a result, the FAA has concluded that this rulemaking by itself will not
increase the attrition rate of powered-lift pilots due to the limited
relief and the small number of pilots with powered-lift time affected
by the rulemaking. For a more detailed discussion of the FAA's reasons
for this finding, please reference Section IV., Regulatory Notices and
Analyses.
    Furthermore, allowing military pilots to credit powered-lift time
towards airplane time does not necessarily mean a pilot will leave the
military sooner. In response to the commenter's request, the FAA had
conversations with the Department of Defense.\41\ Following these
conversations, the FAA concluded that, although this final rule could
make a separation for civilian flying jobs more appealing, that is not
adequate justification for not giving credit for the relevant
experience a military powered-lift pilot has gained. That training and
experience can transfer to airplane flying, and requiring these pilots
to accrue additional airplane time to satisfy the airplane PIC
requirement for an ATP certificate is unnecessary and burdensome.
---------------------------------------------------------------------------

    \41\ The FAA posted a record of conversation to FAA-2017-1106-
0147.
---------------------------------------------------------------------------

B. Minimum of 1,000 Hours in Air Carrier Operations To Serve as Pilot
in Command in Part 121 Operations (Sec.  121.436)

    The Airline Safety and Federal Aviation Administration Extension
Act of 2010 (Pub. L. 111-216, ``the Act''), directed the FAA to conduct
rulemaking to improve the qualifications and training for pilots
serving in air carrier operations. In support of the Act, the FAA
published the Pilot Certification and Qualification Requirements for
Air Carrier Operations final rule on July 15, 2013.\42\ The rulemaking
created new certification and qualification requirements for pilots in
air carrier operations, including the addition of an experience
requirement to serve as a PIC in part 121 operations.
---------------------------------------------------------------------------

    \42\ 78 FR 42324.
---------------------------------------------------------------------------

    Specifically, Sec.  121.436(a)(3) requires pilots serving as PIC in
part 121 operations to have, in addition to an

ATP certificate and an aircraft type rating, at least 1,000 hours of
air carrier experience. Prior to this final rule, a pilot could satisfy
the 1,000-hour air carrier experience requirement by using a
combination of time serving as SIC in operations under part 121, or
serving as PIC in operations under Sec.  91.1053(a)(2)(i) or Sec.
135.243(a)(1). One limitation on meeting the 1,000-hour air carrier
experience requirement in Sec.  121.436, however, was that it did not
allow a pilot to use any flight time obtained as PIC in part 121
operations prior to July 31, 2013.\43\ In addition, Sec.  121.436(c)
limited military flight time credit toward the 1,000-hour air carrier
experience requirement to military time obtained as PIC of a
multiengine, turbine-powered, fixed-wing airplane in an operation
requiring more than one pilot.\44\ Because the regulation expressly
limited the creditable military flight time to PIC time acquired in
fixed-wing airplanes, military pilots could not credit any of their
military time obtained in multiengine, turbine-powered powered-lift
aircraft towards the 1,000-hour air carrier experience requirement.
---------------------------------------------------------------------------

    \43\ As discussed more fully in the NPRM, the FAA granted
petitions for exemption to allow pilots who had part 121 PIC
experience prior to July 31, 2013, but were not employed as a part
121 PIC on July 31, 2013, to count their previously accrued part 121
PIC time towards the 1,000-hour air carrier experience requirement.
The exemption allowed the pilot to serve as PIC in part 121
operations and permitted the part 119 certificate holder to employ
the pilot as PIC.
    \44\ Under Sec.  121.436(c), a military pilot may credit 500
hours of military flight time obtained as pilot in command of a
multiengine turbine-powered, fixed-wing airplane in an operation
requiring more than one pilot toward the 1,000-hour air carrier
experience requirement.
---------------------------------------------------------------------------

    In the NPRM, the FAA proposed to amend these requirements to
provide relief to pilots who obtained part 121 PIC experience prior to
July 31, 2013, and to military pilots of powered-lift.
1. Part 121 Experience Prior to July 31, 2013
    In the NPRM, the FAA proposed to add new Sec.  121.436(d) to allow
experience gained as PIC in part 121 operations prior to July 31, 2013,
to count towards the 1,000 hours of air carrier experience required by
Sec.  121.436(a)(3).
    ALPA and an individual commenter supported this proposal. The FAA
did not receive any opposing comments or recommended changes.
Therefore, for the reasons explained in the NPRM,\45\ the FAA is adding
new Sec.  121.436(d) as proposed.\46\
---------------------------------------------------------------------------

    \45\ 82 FR at 55794-95.
    \46\ As discussed further in Section III.C of this preamble, the
FAA is removing paragraph (d) (as it existed prior to this final
rule) from Sec.  121.436 as unnecessary.
---------------------------------------------------------------------------

2. Military Time
    In the NPRM, the FAA proposed to amend Sec.  121.436(c) to allow
military flight time accrued as PIC of a multiengine, turbine-powered
powered-lift aircraft to be credited towards the 1,000-hour air carrier
experience requirement. Consistent with the existing requirement in
Sec.  121.436(c), the proposal would have required the operation to
require more than one pilot.
    Delta Air Lines, CAPA, three military commenters, and one
individual fully supported the proposal.
    ALPA agreed that the powered-lift time should be credited towards
the requirements of Sec.  121.436. However, similar to ALPA's comments
on proposed Sec.  61.159(c)(5), ALPA believed the FAA should reduce the
number of creditable hours. ALPA was concerned with the military
pilot's ability to accurately track the time spent in horizontal flight
and the FAA's ability to verify this flight time. ALPA also argued that
it would be inappropriate for a pilot to credit time spent in
horizontal flight with takeoffs and landings being conducted
vertically. ALPA, however, did not recommend the amount of time it
believed would be appropriate.
    One individual commenter disagreed with ALPA's suggestion to limit
the amount of powered-lift time that may be credited towards Sec.
121.436(a). This commenter explained that pilots can accurately track
time in horizontal flight, most takeoffs and landings are not vertical,
and since the vertical time is already omitted, there should be no
reduction in credit.
    The existing requirement in Sec.  121.436(c) limits the amount of
military time that may be credited towards the 1,000-hour air carrier
experience requirement to 500 hours. The FAA finds it unnecessary to
further limit the amount of military time that may be credited merely
because the flight time was obtained while operating a multiengine,
turbine-powered, powered-lift aircraft in horizontal flight. As
explained in the NPRM, military flight time obtained as PIC of
transport category powered-lift provides significant multi-crew
experience substantially similar to that obtained in transport category
fixed-wing airplanes. The FAA also finds that allowing a military-
trained PIC of a multiengine, turbine-powered, powered-lift aircraft to
credit up to 500 hours towards the 1,000-hour air carrier experience
required to serve as PIC of an aircraft, is consistent with the intent
of Sec.  121.436. The FAA has previously recognized the quality of
military training and appreciates the complexity of those kinds of
transport-like operations. In addition, the FAA has acknowledged that
powered-lift are predominantly operated in the horizontal flight
regime, much like an airplane.\47\ The FAA maintains, however, that
while there is value in this experience, these pilots operate in a
unique system that is different from a part 121 air carrier environment
and military pilots will benefit from spending some time serving as a
required crewmember in a civilian air carrier operation before
upgrading to PIC. This time will prepare them for operating in
compliance with the FAA regulations that govern civil aviation, the air
carrier's particular operating specifications, and the airplane's
operations manual.
---------------------------------------------------------------------------

    \47\ In horizontal flight, a powered-lift, like an airplane, is
supported in flight by the dynamic reaction of the air against its
wings.
---------------------------------------------------------------------------

    To the extent ALPA is concerned that a military powered-lift pilot
will not have airplane experience, particularly in takeoff and landing,
prior to serving as a PIC in part 121 operations, the FAA responds that
military powered-lift pilots receive training and are checked in an
airplane prior to transitioning to a powered-lift.\48\ In addition, a
military pilot is checked in all modes of flight (i.e., horizontal,
vertical) in a powered-lift during military proficiency checks,
including the performance of takeoffs and landings. Finally, prior to
serving as a SIC in part 121, the pilot will also have been evaluated
on the ability to take off and land an airplane used in air carrier
operations. Furthermore, because Sec.  121.436(c) limits the amount of
creditable military flight time to 500 hours, a military powered-lift
pilot will still be required to obtain at least 500 hours in an
airplane prior to serving as PIC in part 121 operations.\49\ During
this time, the pilot will obtain a significant amount of experience
performing takeoffs and landings in the airplane category.
---------------------------------------------------------------------------

    \48\ See Section III.A of the preamble to this final rule for a
more detailed discussion of this training.
    \49\ Pursuant to Sec.  121.436(a)(3), the pilot would be
required to obtain the other 500 hours as SIC in operations under
part 121, PIC in operations under Sec.  91.1053(a)(2)(i), PIC in
operations under Sec.  135.243(a)(1), or any combination thereof.
---------------------------------------------------------------------------

    As discussed in Section III.A of this preamble, the FAA does not
share ALPA's concerns about tracking and verifying the amount of
powered-lift time spent in horizontal flight. Military powered-lift
pilots will generally have well in excess of 500 hours of PIC time

in multiengine, turbine-powered powered-lift aircraft.\50\ And, as many
of the commenters attested to, a significant majority of the time spent
in powered-lift is in horizontal flight.\51\ For these reasons, the FAA
finds it unnecessary to limit the amount of credit based on the fact
that military pilots may not have tracked the exact number of hours
spent in horizontal flight. Furthermore, as explained in Section III.A
of this preamble, the evaluator will review and validate the pilot's
records to determine if the amount of credit sought is appropriate.
---------------------------------------------------------------------------

    \50\ Based on discussions with current and former military
pilots, the FAA determined that a military powered-lift pilot will
generally have between 1,000-2,500 hours of total powered-lift time,
which includes about 500-1,250 hours of PIC powered-lift time.
    \51\ Commenters estimated that powered-lift aircraft are
operated in horizontal flight between 80-99% of the time. These
comments are available in the docket for this rulemaking at docket
No. FAA-2017-1106.
---------------------------------------------------------------------------

    For the reasons explained above, Sec.  121.436(c) remains unchanged
from the proposed rulemaking.
    One commenter asked the FAA to allow select helicopter time to be
credited towards the 1,000-hour air carrier experience requirement. The
commenter argued that helicopters, such as the CH-46E,\52\ are large
aircraft, which have turbine-powered engines and are operated by more
than one pilot. The commenter also stated that out of hover, the CH-46E
is operated similarly to an airplane and frequently conducts running
takeoffs and landings similar to an airplane.
---------------------------------------------------------------------------

    \52\ The CH-46E is a medium-lift tandem-rotor transport
helicopter powered by twin turboshaft engines.
---------------------------------------------------------------------------

    In the 2013 final rule that established the air carrier experience
required to serve as a PIC in part 121 operations, the FAA did not
allow a PIC in a part 135 helicopter operation that requires that pilot
to hold an ATP certificate by rule (Sec.  135.243) to credit that time.
The FAA has determined that helicopter operations are not sufficiently
similar to an air carrier operation or the environment in which an air
carrier operates. While operations in a large helicopter, such as the
CH-46E, may provide multi-crew experience in an aircraft that has
turbine-powered engines, these operations are not substantially similar
to operations in transport category fixed-wing airplanes. Unlike
powered-lift, which are predominantly operated like an airplane when
operated in horizontal flight, there are significant differences
between helicopters and airplanes, including differences in operating
speeds, typical operating altitudes, and aerodynamic differences. As a
result, the FAA finds that the differences outweigh the similarities
too much to justify the credit for air carrier experience and these
pilots would benefit from the additional time flying an airplane in the
air carrier environment prior to upgrading to PIC.
3. Eligible On-Demand Experience in Part 135
    As previously explained, the FAA proposed to revise Sec.  121.436
by expanding the types of operational experience that may be credited
toward the 1,000-hour air carrier experience requirement. Specifically,
the FAA proposed to allow flight time obtained as PIC in part 121
operations prior to July 31, 2013, to count towards the 1,000-hour air
carrier experience requirement. In addition, the FAA proposed to allow
military pilots to credit certain powered-lift flight times towards
1,000 hours. In the NPRM, the FAA explained how these proposals were
consistent with the intent of the 1,000-hour air carrier experience
requirement, which was adopted in the 2013 final rule.
    In the 2013 final rule, the FAA adopted Sec.  121.436(a)(3) to
require a PIC in part 121 operations to have 1,000 hours of air carrier
experience. In addition, the FAA determined which operational
experience may count towards the 1,000-hour requirement. In the
preamble, the FAA explained that the intent of the 1,000-hour air
carrier experience requirement in Sec.  121.436(a)(3) is to prevent two
pilots in part 121 operations with little or no air carrier experience
from being paired together as crewmembers in line operations. In
addition, the regulation ensures that pilots obtain at least one full
year of relevant air carrier operational experience before assuming the
authority and responsibility of a PIC in operations conducted in part
121 operations. The FAA ultimately determined that certain operational
experience outside of serving as a SIC in part 121 may count towards
the 1,000-hour air carrier experience requirement if the operations:
(1) require an ATP certificate, (2) are multi-crew operations, and (3)
generally use turbine aircraft. The FAA reasoned that these operations
are most applicable to part 121 operations.
    In response to the NPRM, Ameristar Air Cargo and Gulf & Caribbean
Cargo asked the FAA to revise Sec.  121.436(a)(3) to also allow
operational experience obtained under part 135 where the PIC meets the
requirements stated in Sec.  135.4(a)(2)(ii)(A) \53\ to count towards
the 1,000-hour requirement. These commenters made a generalized
argument that if a part 135 cargo-only PIC holds an ATP certificate and
appropriate type rating, then that cargo flying time should count
toward the air carrier experience requirement. They believed this rule
change would be consistent with the intent of the 2013 final rule
because it would include flight time where the PIC must hold an ATP
certificate and has extensive experience in air carrier operations. In
addition, an anonymous commenter asked the FAA to allow persons to
credit time serving as PIC in eligible on-demand operations under Sec.
135.4 to count towards the 1,000-hour air carrier experience
requirement. This commenter explained that Sec.  135.4 requires a two-
pilot crew and, for operations in multiengine turbine-powered fixed-
wing and powered-lift aircraft, the PIC is required to hold an ATP
certificate with applicable type ratings. This commenter believed that
not including these operations in the list of operational experience in
Sec.  121.436(a)(3) was an oversight.
---------------------------------------------------------------------------

    \53\ Under Sec.  135.4(a)(2)(ii)(A), an ``eligible on-demand
operation'' using multi-engine turbine-powered fixed-wing and
powered-lift aircraft requires the PIC to hold an ATP certificate
with applicable type ratings.
---------------------------------------------------------------------------

    Upon review of these comments, the FAA agrees that excluding
certain eligible on-demand operations from the list of operational
experience in Sec.  121.436(a)(3) was an oversight.\54\ In eligible on-
demand operations where the PIC is required to satisfy Sec.
135.4(a)(2)(ii)(A),\55\ that PIC is exercising the privileges of an ATP
certificate in a position where the certificate is required by rule in
the United States. In addition, eligible on-demand operations conducted
in accordance with this regulation are multi-crew operations and are
conducted in turbine-powered aircraft. As explained in the 2012
NPRM,\56\ these were the reasons the FAA proposed to allow flight time
obtained as PIC in part 121 operations prior to July 31, 2013, to count
towards the 1,000-hour air carrier experience requirement. Therefore,
consistent with the proposal, the FAA is revising Sec.  121.436(a)(3)
to also include

operational experience obtained in eligible on-demand operations where
the PIC is required to satisfy Sec.  135.4(a)(2)(ii)(A). The FAA notes
that this revision is also consistent with the intent of the 1,000-hour
air carrier experience requirement, as evident from the preamble to the
2013 final rule.\57\ Furthermore, for ease of readability, the FAA is
reorganizing Sec.  121.436(a)(3) by listing the creditable operational
experience in subparagraphs (a)(3)(i) through (v).
---------------------------------------------------------------------------

    \54\ On September 15, 2018, the FAA granted USA Jet Airlines an
exemption from Sec.  121.436(a)(3) allowing pilots to use the flight
time gained as PIC at USA Jet Airlines in accordance with Sec.
135.4(a)(2)(ii)(A) to count towards the 1,000-hour air carrier
experience requirement. Exemption No. 17940 (Docket No. FAA-2015-
6560).
    \55\ Section 135.4(a)(2)(ii)(A) requires the PIC to hold an ATP
certificate.
    \56\ Pilot Certification and Qualification Requirements for Air
Carrier Operations, 77 FR 12374, February 29, 2012.
    \57\ 78 FR at 42356-57.
---------------------------------------------------------------------------

    Allowing eligible on-demand operations conducted in accordance with
Sec.  135.4(a)(2)(ii)(A) to count towards the 1,000-hour air carrier
experience requirement will provide an avenue for pilots in part 135
all-cargo operations to accrue PIC time that may be credited towards
the 1,000-hour requirement. However, to the extent Ameristar Air Cargo
and Gulf & Caribbean Cargo believe that all part 135 cargo-only
turbojet PIC flight time should be counted towards the 1,000-hour
requirement in Sec.  121.436(a)(3), the FAA disagrees. The regulations
do not require a PIC of part 135 all-cargo turbojet operation to hold
an ATP certificate.\58\ As explained in the 2013 final rule and the
NPRM to this final rule, the FAA determined that the ability to fly at
the ATP certificate level and have demonstrated this proficiency during
evaluation is an important regulatory differentiation.
---------------------------------------------------------------------------

    \58\ 14 CFR 135.243(a).
---------------------------------------------------------------------------

    The FAA first proposed that certain operations under part 135
should require an ATP certificate in 1977. In the 1977 NPRM, the FAA
stated the requirement to hold an ATP certificate to act as PIC in some
part 135 operations was ``based in part on operational complexity and
the number of persons carried, would provide a level of safety more
comparable to that provided by part 121.'' \59\ The FAA still maintains
this position. Operations under Sec. Sec.  91.1053(a)(2)(i),
135.243(a)(1) and 135.4(a)(2)(ii)(A) require an ATP certificate, are
multi-crew operations, generally use turbine aircraft, and therefore,
are the most comparable to part 121 operations. In response to the
commenters' argument that a PIC who holds an ATP certificate should be
allowed to credit time obtained in a part 135 cargo operation, the FAA
disagrees. Because the regulations do not require an ATP certificate
for cargo-only operations under part 135, the FAA finds that the
operational complexity of part 135 cargo operations is not
substantially similar to operations conducted under part 121,
Sec. Sec.  135.243(a)(1), 135.4(a)(2)(ii)(A), and 91.1053(a)(2)(i). As
explained in the 2013 final rule and the associated NPRM, while other
parts 91 and part 135 operations may involve certain elements that are
relatable to part 121 operations, the varied nature of operations does
not make credit toward the 1,000-hour requirement appropriate.
Therefore, because turbojet pilots in part 135 cargo operations are not
required to hold an ATP certificate, the time accrued in such
operations should not count toward the requirements of Sec.
121.436(a)(3).
---------------------------------------------------------------------------

    \59\ Part 135 Regulatory Review Program Air Taxi Operators and
Commercial Operators, 42 FR 43490, 43504, August 29, 1977.
---------------------------------------------------------------------------

C. Miscellaneous Amendments

    Prior to this rulemaking, Sec.  121.436(a)(3) contained an
exception from the 1,000-hour air carrier experience requirement for
pilots who ``are'' employed as PIC in part 121 operations on July 31,
2013. Because the date referenced in paragraph (a)(3) has passed, the
FAA proposed to revise the statement to accept pilots who ``were''
employed as PIC in part 121 operations on July 31, 2013. The FAA
received no comments on this proposed change. Therefore, the FAA is
adopting this revision as proposed. However, due to the restructuring
of Sec.  121.436(a)(3), the FAA has decided to relocate this
requirement from proposed Sec.  121.436(a)(3) to Sec.  121.436(e) for
ease of readability.
    In the NPRM, the FAA also proposed to remove paragraph (d) from
Sec.  121.436 (as it existed prior to this final rule) because the
dates in the provision are no longer relevant, thereby making the
requirements obsolete. The FAA did not receive any comments on this
proposed change. The FAA is therefore removing paragraph (d) as
proposed.\60\
---------------------------------------------------------------------------

    \60\ As previously discussed, the FAA is adding a new paragraph
(d) to Sec.  121.436.
---------------------------------------------------------------------------

D. Comment Regarding the Regulatory Evaluation

    In the NPRM, the FAA requested comments on whether the enactment of
counting military powered-lift time towards airplane PIC time would
change these pilots' military retirement decisions. One commenter
expressed concern that the rulemaking would exacerbate an existing
pilot retention problem facing the military, specifically referring to
the Air Force. The commenter pointed out that the FAA analysis did not
consider the total costs to the Federal government, particularly to the
Department of Defense. As the analysis did not consider the cost to
train and retain pilots, the commenter indicated he thought the
analysis was lacking. The commenter pointed out that no analysis was
performed on the impact the proposed rule change would have on the
retention of military pilots. As more pilots retire from the armed
forces, the military must increase the number of pilots trained in
order to overcome this deficit.
    In response to the commenter's claim that this rulemaking would
exacerbate the existing pilot retention problem, the FAA reviewed
recent literature and publications on military pilot shortage. The FAA
found that pilot retention problems likely arise for the following
reasons:
    a. Significant gap (approximately $55,000 per year) between Air
Force pilot pay ($80,000 average salary plus a bonus of $13,000, or a
total of approximately $93,000 per year) \61\ and civilian pilot pay
($148,010 average salary) \62\
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    \61\ https://www.payscale.com/research/US/Job=U.S._Air_Force_Fighter_Pilot/Salary/ Last accessed on December
17, 2021.
    \62\ https://datausa.io/profile/soc/aircraft-pilots-flight-engineers Last accessed on December 17, 2021.
---------------------------------------------------------------------------

    b. In comparison to flying commercial aircraft in the civilian
workforce, military pilots face higher occupational and safety risks
while performing duties around the world. In addition, military pilots
experience high burnout rates due to assignments up to one year away
from home and families,\63\
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    \63\ ``Quality of life and service'' section of this article
starts with the following paragraph: ``Job dissatisfaction, career
dissatisfaction, frequent and long deployments, poor quality of
life, non-competitive pay and lack of personal and professional
development are among the reasons cited for why many experienced
military pilots separate from military service,'' the DOT study
states. Source: https://federalnewsnetwork.com/dod-personnel-notebook/2019/04/new-study-shows-grim-outlook-for-future-of-air-force-pilot-shortage/ Accessed on December 17, 2021.
---------------------------------------------------------------------------

    c. After fifteen years of flying in uniform, military pilots get
fewer flying assignments and more desk or managerial duties in their
early forties,\64\
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    \64\ https://www.defenseone.com/ideas/2016/07/us-air-force-short-700-fighter-pilots-our-plan/129907/?oref=d-skybox Accessed on
December 17, 2021. ``. . . from dramatically reduced flying hours
for the high-end fight as a result of Pentagon budget cuts. . .'',
``We are . . . working to get help for fighter squadrons burdened
with time-consuming administrative duties. . .''
---------------------------------------------------------------------------

    d. Military pilots serve, on average, about twenty years in the Air
Force, and a large majority of them transition to become commercial
airline pilots to earn much higher salaries for approximately another
twenty years until the mandatory retirement age of 65 in commercial
airlines.\65\
---------------------------------------------------------------------------

    \65\ https://www.airforcetimes.com/news/your-air-force/2020/03/04/air-force-no-progress-in-closing-pilot-shortfall/ ``The Air Force
in 2016 began increasingly to discuss the problem of pilot retention
and its difficulty in holding on the skilled pilots in the face of a
major hiring wave by deep-pocketed commercial airlines.'' Accessed
on December 17, 2021.

---------------------------------------------------------------------------

    Military pilots separate from service for these reasons that pre-
exist this rule. In particular, the large pay gap between commercial
and military pilots, which this rulemaking does not directly affect,
plays a major role in the military retention problem. As a result, the
FAA has concluded that this rulemaking by itself will not increase the
attrition rate of powered-lift pilots due to the limited relief and the
small number of pilots with powered-lift time affected by the
rulemaking.
    Recent reports suggest the Air Force is attempting to fill the
projected gaps for 800 active duty pilots and 1,150 reserve pilots.\66\
The Air Force needs 12,842 active duty pilots, 3,843 Air National Guard
pilots, and 3,684 reserve pilots in a steady state.\67\
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    \66\ https://federalnewsnetwork.com/dod-personnel-notebook/2019/04/new-study-shows-grim-outlook-for-future-of-air-force-pilot-shortage/ Accessed on December 17, 2021.
    \67\ Ibid. footnote 62.
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    According to one pilot training school, 1,500 hours of required
flight time can be earned in over 2 years.\68\ The final rule allows a
relatively small number of pilots (estimated 70 pilots against a total
pool of over 12,800 military pilots) to get a credit of 250 hours of
flight time towards the 1,500 hours needed for an ATP certificate. What
this means is that military pilots switching to civilian commercial air
carrier jobs will get the ATP certificate 4 to 6 months earlier.
---------------------------------------------------------------------------

    \68\ https://atpflightschool.com/become-a-pilot/airline-career/how-long-to-become-a-pilot.html Accessed on December 17, 2021.
---------------------------------------------------------------------------

    Given average 20 years in military service and additional 20 years
of potential civilian employment (a total combined 40 years of
professional career for a pilot who started in the military and ended
in commercial air carriers), a maximum potential gain of 6 months due
to the rule is rather a small incentive for military pilots to
accelerate their retirement or retire in very large numbers.
    Although the FAA recognizes that this rulemaking could make
separation for civilian flying jobs marginally more appealing, this
will not substantively increase the attrition rate that the Air Force
is trying to address because of broader, pre-existing reasons
previously discussed. Further, the FAA emphasizes that the commenter's
concern is not an adequate or appropriate justification for not giving
credit for relevant experience a military powered-lift pilot has
gained. That training and experience can transfer to airplane flying,
and requiring these pilots to accrue additional airplane time to
satisfy the airplane PIC requirement for an ATP certificate is
unnecessary and burdensome. It could also be that crediting powered-
lift time towards airplane time does not necessarily mean a pilot will
leave the military sooner.

IV. Regulatory Notices and Analyses

    Changes to Federal regulations must undergo several economic
analyses. First, Executive Order 12866 and Executive Order 13563 direct
that each Federal agency shall propose or adopt a regulation only upon
a reasoned determination that the benefits of the intended regulation
justify its costs. Second, the Regulatory Flexibility Act of 1980 (Pub.
L. 96-354) requires agencies to analyze the economic impact of
regulatory changes on small entities. Third, the Trade Agreements Act
(Pub. L. 96-39) prohibits agencies from setting standards that create
unnecessary obstacles to the foreign commerce of the United States. In
developing U.S. standards, the Trade Act requires agencies to consider
international standards and, where appropriate, that they be the basis
of U.S. standards. Fourth, the Unfunded Mandates Reform Act of 1995
(Pub. L. 104-4) requires agencies to prepare a written assessment of
the costs, benefits, and other effects of proposed or final rules that
include a Federal mandate likely to result in the expenditure by State,
local, or tribal governments, in the aggregate, or by the private
sector, of $100 million or more annually (adjusted for inflation with
the base year of 1995).
    In conducting these analyses, the FAA has determined that this rule
has benefits that justify its costs and is not a ``significant
regulatory action'' as defined in section 3(f) of Executive Order
12866. The rule will not have a significant economic impact on a
substantial number of small entities, will not create unnecessary
obstacles to the foreign commerce of the United States, and will not
impose an unfunded mandate on State, local, or tribal governments, or
on the private sector by exceeding the threshold identified previously.
This portion of the preamble summarizes the FAA's analysis of the
economic impacts of this final rule.

A. Regulatory Evaluation

    The rulemaking will be relieving to pilots and air carriers by
expanding opportunities for pilots that meet the amended criteria to
use relevant flight experience toward the requirements for an ATP
certificate and to meet PIC qualification requirements for air carrier
operations. The FAA identifies cost savings and benefits from the rule
for the following parts:
1. ATP Aeronautical Experience Requirements (Sec.  61.159)
    Amendment of Sec.  61.159(a)(5) to allow military pilots to credit
experience in military powered-lift flown in horizontal flight towards
the 250 hours of airplane time as pilot in command (PIC), or second in
command (SIC) performing the duties of PIC while under the supervision
of a PIC, required for the certificate. This rule will relieve those
military pilots who are seeking an ATP certificate in the airplane
category of the expense of accruing civilian PIC flight time in
airplanes to meet the PIC airplane time requirement. The FAA notes that
the multiengine airplane ATP certificate is required to serve at a part
121 air carrier.\69\ At an estimated $175 an hour per flight hour,\70\
the value of 250 flight hours is a cost savings of $43,750 \71\ per
pilot.
---------------------------------------------------------------------------

    \69\ Although the part 121 air carrier requires a multiengine
airplane ATP certificate, the PIC time in airplanes required for an
ATP certificate is not category specific. Therefore, the FAA
estimates the military pilot would use a single-engine airplane to
accrue the necessary time because it is the cheaper option.
    \70\ A newer Cessna 182 rents for $175 per hour ``wet'' that
includes maintenance, insurance, fuel, airport fees and additional
duties or taxes. Source: https://www.aopa.org/go-fly/aircraft-and-ownership/buying-an-aircraft/reducing-the-cost-of-flying. Accessed
December 17, 2021. This is an appropriate estimate for avoided
training center or flight time costs because military pilots seeking
a commercial pilot certificate will choose a lower cost alternative
to obtain it. Part 61 rules do not specify which type of aircraft
needs to be flown to accrue required flight time. Cessna 182
represents a reasonable average airplane type typically chosen to
obtain a commercial pilot certificate. https://www.aopa.org/training-and-safety/active-pilots/safety-and-technique/operations/commercial-pilot-certificate, Accessed on December 17, 2021.
    \71\ This cost savings estimate has been updated from the NPRM's
$37,500 ($150/hour x 250 hours) as the FAA used $175/hour in
estimating cost savings.
---------------------------------------------------------------------------

    Examples of powered-lift for which pilots could receive credit
include \72\ the AV-8B, which is a single-engine aircraft, and the MV-
22, which is a multiengine aircraft. The FAA obtained data \73\ on the
number of pilots with experience in these aircraft that separated from
the U.S. Marine Corps \74\

each year between 2014 and 2018. An average of 70 pilots per year, with
experience in these two aircraft, separated from the U.S. Marine Corps
over the years 2014 to 2018. The data did not indicate the number of
hours of experience each pilot had, nor did it indicate how many will
seek an ATP certificate and apply their military experience. The FAA
makes the simplifying assumption that each year all of these 70 pilots
will apply 250 hours of military PIC experience in powered-lift while
in horizontal flight towards an ATP certificate in the airplane
category. The resulting cost savings over a 10-year analysis period is
$30.6 million \75\ undiscounted or $21.5 million and $26.1 million
discounted at 7 percent and 3 percent discount rates, respectively. The
annualized value of estimated cost savings is $3.1 million using either
a 7 percent or 3 percent discount rate.
---------------------------------------------------------------------------

    \72\ Flight-time in an F-35B can also be credited, but as these
aircraft are new, there is not sufficient data on pilots separating
from the military with experience in this aircraft. Therefore, the
FAA did not include F-35B pilots in its estimates.
    \73\ Marine Corps Total Force System, Total Force Data
Warehouse, U.S. Marine Corps.
    \74\ The majority of the aircraft this rule affects are flown in
the U.S. Marine Corps. Although the U.S. Marine Corps has the
majority of these pilots, the U.S. Air Force also has some powered-
lift pilots. As the FAA does not have data on the number of Air
Force pilots, the cost savings may be underestimated. In addition,
the FAA received input from comments that the U.S. Air Force flies a
very small number of affected powered-lift aircraft.
    \75\ Using the previously estimated $43,750 cost savings per
pilot, annual cost savings would be $3,062,500 (=$43,750 x 70
pilots) or $30,625,000 over a 10-year period in undiscounted
dollars.
---------------------------------------------------------------------------

    Pilots might also save additional expenses, such as the cost of
travel and lodging, which they might otherwise incur to reach a
location, such as a flight school, where they can obtain flight time.
These pilots might further benefit by advancing more quickly in their
careers and receiving higher pay sooner as well.
2. Part 121 Experience Prior to July 31, 2013 (Sec.  121.436)
    Modification of the part 121 air carrier experience required to
serve as a PIC will allow credit for experience as PIC if a pilot held
that position prior to July 31, 2013.\76\ Currently, such experience
does not count towards qualifying to be a PIC without filing for an
exemption. This recognition of previous status and qualification for
part 121 PIC employment service will relieve the individual pilots,
part 121 air carriers that will employ those pilots, and the Federal
government of procedural costs for developing, filing, and reviewing
petitions for exemption. The combined cost of an exemption to the
pilots and the FAA is about $1,500.\77\ The FAA has granted eight such
exemptions \78\ to individual pilots over the years 2013 to 2019. Each
exemption costs $1,500 and has to be renewed every 5 years. Assuming
the number of exemptions will continue at the same rate (1.14 = 8
exemptions / 7 years), one exemption (rounding down to one per year) is
expected to be issued every year without the rule. Given the exemption
renewal cycle every five years during the 10-year analysis period of
the rule, the FAA estimates a total of 21 renewals--8 in year one
through year five and 13 in years six through ten. The FAA estimates
the cost savings due to avoided exemptions will be $46,500 undiscounted
\79\ or $30,795 and $38,668 discounted at seven percent and three
percent, respectively. The annualized value of estimated cost savings
due to avoidance of these 31 exemptions in total, including 10 new ones
and 21 renewals over a 10-year period, is $4,384 and $4,533 at seven
percent and three percent discount rates, respectively.
---------------------------------------------------------------------------

    \76\ Cost savings due to the part 121 experience prior to July
31, 2013, are likely to decrease over the 10-year period of analysis
as there would be fewer pilots who would be filing for an exemption.
    \77\ This cost assumption is based on a review of FAA exemption
information received between 2013 and 2019.
    \78\ Exemption No. 13993 (Docket No. FAA-2014-0658); Exemption
No. 15473 (FAA-2016-1287); Exemption No. 17177 (FAA-2016-9249);
Exemption No. 18197 (Docket No. FAA-2019-0030), Exemption No. 17819
(Docket No. FAA-2017-1165); Exemption No. 17902 (Docket No. 2018-
0252); Exemption No. 18288 (Docket No. 2019-0432); and Exemption No.
18309 (Docket No. 2019-0555).
    \79\ During the 10-year period of analysis, the FAA assumed
there will be one new exemption request each year, or 10 new
exemption requests, and one renewal request each year after year six
until year 10, or 5 renewals in addition to 8 exemptions that will
come to renewal twice between 2021 and 2029 (16 renewals). Total
number of exemption requests both new and renewals would be 31 (10
new + 21 renewals. Therefore, the total undiscounted cost savings
estimate would be $46,500 (31 x $1,500).
---------------------------------------------------------------------------

3. Military Time (Sec.  121.436)
    Amends Sec.  121.436(c) by expanding the 500 hours of credit a
military pilot can take for PIC time in a multiengine, turbine-powered,
fixed-wing airplane, accrued in a multi-crew environment that is
currently allowed to apply towards the 1,000 hours of air carrier
experience required to serve as a PIC in part 121, to include PIC
experience in a powered-lift. Allowing powered-lift flight time
obtained in the military to be credited to experience required to serve
as a PIC could allow pilots with this experience to advance more
quickly in their careers and conceivably benefit from higher wage rates
6 to 9 months \80\ sooner than if they had to accumulate the experience
while working at an air carrier as a SIC. Consequently, their lifetime
earnings as airline pilots could increase because they could advance to
a higher-paying job sooner. However, this more rapid advance is more
realistic for pilots working at regional carriers because upgrade time
at major airlines proceeds more slowly. The FAA did not quantify this
benefit because there is not an estimate for the number of military
powered-lift pilots that separate from the military and are
subsequently hired by an airline. As a result, the FAA does not have an
estimate on how many are hired by a major airline versus a regional
airline. Finally, the time it takes to upgrade to PIC can be highly
variable depending on the individual air carrier and, over time, the
varying state of the industry, making a quantification of benefits
extremely difficult.
---------------------------------------------------------------------------

    \80\ The FAA estimates that on average an airline pilot will fly
55-85 hours per month. This equates to a range of 6-9 months to
accrue 500 hours of flight time.
---------------------------------------------------------------------------

4. Eligible On-Demand Experience in Part 135 (Sec.  121.436)
    Amends Sec.  121.436(a)(3) to allow eligible on-demand pilots that
meet the requirements of Sec.  135.4(a)(2)(ii)(A) to credit that PIC
time towards the 1,000 hours of flight time required to serve as PIC in
part 121. This will allow pilots with this experience to accelerate
more quickly in their careers. It could also avoid the need for
exemptions from this provision. The FAA did not quantify this savings
because the FAA does not have an estimate of the number of pilots that
could take advantage of this relief and the variability in the time it
takes to upgrade to PIC from one air carrier to another makes the
quantification of benefits difficult.
5. Summary of Total Quantified Cost Savings
    The FAA quantified these two cost savings: (1) cost savings due to
250 hours of military PIC experience in powered-lift while in
horizontal flight credited towards ATP experience requirements, and (2)
cost savings due to avoided exemptions.
    The total quantified cost savings over a 10-year period will be
$30,671,500 ($30,625,000 + $46,500) undiscounted or $21,540,513
($21,509,718 + $30,795) and $26,162,414 ($26,123,746 + $38,668)
discounted at seven percent and three percent discount rates,
respectively. The annualized value of estimated total cost savings due
to 250 hours of military PIC experience credit and avoided exemptions
over a 10-year period is $3,066,884 ($3,062,500 + $4,384) and
$3,067,033 ($3,062,500 + $4,533) at seven percent and three percent
discount rate, respectively.
    Therefore, the FAA has determined that this rule is not a
``significant regulatory action'' as defined in section 3(f) of
Executive Order 12866.

B. Regulatory Flexibility Act

    The Regulatory Flexibility Act of 1980 (Pub. L. 96-354) (RFA)
establishes ``as a principle of regulatory issuance that agencies shall
endeavor, consistent with the objectives of the rule and of applicable
statutes, to fit regulatory and informational requirements to the scale
of the businesses, organizations, and governmental jurisdictions
subject to regulation.'' To achieve this principle, agencies are
required to solicit and consider flexible regulatory proposals and to
explain the rationale for their actions to assure that such proposals
are given serious consideration. The RFA covers a wide range of small
entities, including small businesses, not-for-profit organizations, and
small governmental jurisdictions.
    Agencies must perform a review to determine whether a rule will
have a significant economic impact on a substantial number of small
entities. If the agency determines that it will, the agency must
prepare a regulatory flexibility analysis as described in the RFA.
However, if an agency determines that a rule is not expected to have a
significant economic impact on a substantial number of small entities,
section 605(b) of the RFA provides that the head of the agency may so
certify, and a regulatory flexibility analysis is not required. The
certification must include a statement providing the factual basis for
this determination, and the reasoning should be clear.
    The rulemaking will be relieving to pilots who take the opportunity
to reduce the cost of earning an ATP certificate \81\ by applying
flight time obtained in powered-lift in the military to meet the
airplane PIC flight time requirements. It will also be relieving to
pilots who would like to advance more quickly in their careers by
applying flight time earned in eligible powered-lift operations in the
military, flight time earned during certain part 135 eligible on-demand
operations, and part 121 PIC flight time earned prior to July 31, 2013,
to further their careers into a position as PIC in part 121 operations.
---------------------------------------------------------------------------

    \81\ The FAA acknowledges that some providers of training
schools and facilities providing flight services to pilots might
lose revenue due to reduced demand for such services by pilots
directly affected by this rule. However, the RFA requires an agency
to perform a regulatory flexibility analysis of small entity impacts
only when a rule directly regulates small entities. This final rule
does not directly affect the aviation training schools and other
related service providers. Therefore, the FAA did not analyze the
indirect impacts of this rule on those small training schools and
providers.
---------------------------------------------------------------------------

    The FAA has determined this rulemaking will not impose a
significant economic impact on a substantial number of small entities
because it will be relieving to pilots, and pilots are not small
entities.
    Therefore, as provided in section 605(b), the head of the FAA
certifies that this rulemaking will not result in a significant
economic impact on a substantial number of small entities.

C. International Trade Impact Assessment

    The Trade Agreements Act of 1979 (Pub. L. 96-39), as amended by the
Uruguay Round Agreements Act (Pub. L. 103-465), prohibits Federal
agencies from establishing standards or engaging in related activities
that create unnecessary obstacles to the foreign commerce of the United
States. Pursuant to these Acts, the establishment of standards is not
considered an unnecessary obstacle to the foreign commerce of the
United States, so long as the standard has a legitimate domestic
objective, such as the protection of safety, and does not operate in a
manner that excludes imports that meet this objective. The statute also
requires consideration of international standards and, where
appropriate, that they be the basis for U.S. standards. The FAA has
assessed the potential effect of this rule and determined that the rule
will have the same impact on international and domestic flights and is
a safety rule and thus is consistent with the Trade Agreements Act.

D. Unfunded Mandates Assessment

    Title II of the Unfunded Mandates Reform Act of 1995 (Pub. L. 104-
4) requires each Federal agency to prepare a written statement
assessing the effects of any Federal mandate in a proposed or final
agency rule that may result in an expenditure of $100 million or more
(in 1995 dollars) in any one year by State, local, and tribal
governments, in the aggregate, or by the private sector; such a mandate
is deemed to be a ``significant regulatory action.'' The FAA currently
uses an inflation-adjusted value of $165 million in lieu of $100
million. This rule does not contain such a mandate; therefore, the
requirements of Title II of the Act do not apply.

E. Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. 3507(d)) requires
that the FAA consider the impact of paperwork and other information
collection burdens imposed on the public. The FAA has determined that
there is no new requirement for information collection associated with
this final rule.

F. International Compatibility and Cooperation

    In keeping with U.S. obligations under the Convention on
International Civil Aviation, it is FAA policy to conform to
International Civil Aviation Organization (ICAO) Standards and
Recommended Practices to the maximum extent practicable. The FAA has
reviewed the corresponding ICAO Standards and Recommended Practices and
has identified no differences with these regulations.

G. Environmental Analysis

    FAA Order 1050.1F identifies FAA actions that are categorically
excluded from the preparation of an environmental assessment or
environmental impact statement under the National Environmental Policy
Act in the absence of extraordinary circumstances. The FAA has
determined this rulemaking action qualifies for the categorical
exclusion identified in paragraphs 5-6.6 and involves no extraordinary
circumstances.

V. Executive Order Determinations

A. Executive Order 13132, Federalism

    The FAA has analyzed this final rule under the principles and
criteria of Executive Order 13132, Federalism. The agency determined
that this action will not have a substantial direct effect on the
States, or the relationship between the Federal Government and the
States, or on the distribution of power and responsibilities among the
various levels of government, and, therefore, does not have Federalism
implications.

B. Executive Order 13211, Regulations that Significantly Affect Energy
Supply, Distribution, or Use

    The FAA analyzed this final rule under Executive Order 13211,
Actions Concerning Regulations that Significantly Affect Energy Supply,
Distribution, or Use. The agency has determined that it is not a
``significant energy action'' under the executive order, and it is not
likely to have a significant adverse effect on the supply,
distribution, or use of energy.

C. Executive Order 13609, International Cooperation

    Executive Order 13609, Promoting International Regulatory
Cooperation, promotes international regulatory cooperation to meet
shared challenges involving health, safety, labor, security,
environmental, and other issues and to reduce, eliminate, or prevent
unnecessary differences in regulatory requirements. The FAA has
analyzed

this action under the policies and agency responsibilities of Executive
Order 13609, and has determined that this action would have no effect
on international regulatory cooperation.

VI. How To Obtain Additional Information

A. Electronic Filing and Access

    A copy of the notice of proposed rulemaking (NPRM), all comments
received, the final rule, and all background material may be viewed
online at https://www.regulations.gov using the docket number listed
above. A copy of this rule will be placed in the docket. Electronic
retrieval help and guidelines are available on the website. It is
available 24 hours each day, 365 days each year. An electronic copy of
this document may also be downloaded from the Office of the Federal
Register's website at https://www.federalregister.gov and the
Government Publishing Office's website at https://www.govinfo.gov. A
copy may also be found on the FAA's Regulations and Policies website at
https://www.faa.gov/regulations_policies.
    Copies may also be obtained by sending a request to the Federal
Aviation Administration, Office of Rulemaking, ARM-1, 800 Independence
Avenue SW, Washington, DC 20591, or by calling<PHONE_NUMBER>.
Commenters must identify the docket or amendment number of this
rulemaking.
    All documents the FAA considered in developing this final rule,
including economic analyses and technical reports, may be accessed in
the electronic docket for this rulemaking.

B. Small Business Regulatory Enforcement Fairness Act

    The Small Business Regulatory Enforcement Fairness Act (SBREFA) of
1996 requires FAA to comply with small entity requests for information
or advice about compliance with statutes and regulations within its
jurisdiction. A small entity with questions regarding this document may
contact its local FAA official, or the person listed under the FOR
FURTHER INFORMATION CONTACT heading at the beginning of the preamble.
To find out more about SBREFA on the internet, visit http://www.faa.gov/regulations_policies/rulemaking/sbre_act/.

List of Subjects

14 CFR Part 61

    Aircraft, Airmen, Aviation safety.

14 CFR Part 121

    Air carriers, Aircraft, Airmen, Aviation safety.

The Amendment

    In consideration of the foregoing, the Federal Aviation
Administration amends chapter I of title 14, Code of Federal
Regulations, as follows:

PART 61--CERTIFICATION: PILOTS, FLIGHT INSTRUCTORS, AND GROUND
INSTRUCTORS

0
1. The authority citation for part 61 continues to read as follows:

    Authority: 49 U.S.C. 106(f), 106(g), 40113, 44701-44703, 44707,
44709-44711, 44729, 44903, 45102-45103, 45301-45302; Sec. 2307 Pub.
L. 114-190, 130 Stat. 615 (49 U.S.C. 44703 note).

0
2. Amend Sec.  61.159 by revising paragraph (a)(5) to read as follows:

Sec.  61.159   Aeronautical experience: Airplane category rating.

    (a) * * *
    (5) 250 hours of flight time in an airplane as a pilot in command,
or as second in command performing the duties of pilot in command while
under the supervision of a pilot in command, or any combination
thereof, subject to the following:
    (i) The flight time requirement must include at least--
    (A) 100 hours of cross-country flight time; and
    (B) 25 hours of night flight time.
    (ii) Except for a person who has been removed from flying status
for lack of proficiency or because of a disciplinary action involving
aircraft operations, a U.S. military pilot or former U.S. military
pilot who meets the requirements of Sec.  61.73(b)(1), or a military
pilot in the Armed Forces of a foreign contracting State to the
Convention on International Civil Aviation who meets the requirements
of Sec.  61.73(c)(1), may credit flight time in a powered-lift aircraft
operated in horizontal flight toward the flight time requirement.
* * * * *

PART 121--OPERATING REQUIREMENTS: DOMESTIC, FLAG, AND SUPPLEMENTAL
OPERATIONS

0
3. The authority citation for part 121 continues to read as follows:

    Authority:  49 U.S.C. 106(f), 106(g), 40103, 40113, 40119,
41706, 42301 preceding note added by Pub. L. 112-95, sec. 412, 126
Stat. 89, 44101, 44701-44702, 44705, 44709-44711, 44713, 44716-
44717, 44722, 44729, 44732; 46105; Pub. L. 111-216, 124 Stat. 2348
(49 U.S.C. 44701 note); Pub. L. 112-95 126 Stat 62 (49 U.S.C. 44732
note).

0
4. Amend Sec.  121.436 by revising paragraphs (a)(3), (c), and (d) and
adding paragraph (e) to read as follows:

Sec.  121.436   Pilot Qualification: Certificates and experience
requirements.

    (a) * * *
    (3) If serving as pilot in command in part 121 operations, has
1,000 hours as:
    (i) Second in command in operations under this part;
    (ii) Pilot in command in operations under Sec.  91.1053(a)(2)(i) of
this chapter;
    (iii) Pilot in command in operations under Sec.  135.243(a)(1) of
this chapter;
    (iv) Pilot in command in eligible on-demand operations that require
the pilot to satisfy Sec.  135.4(a)(2)(ii)(A) of this chapter; or
    (v) Any combination thereof.
* * * * *
    (c) For the purpose of satisfying the flight hour requirement in
paragraph (a)(3) of this section, a pilot may credit 500 hours of
military flight time provided the flight time was obtained--
    (1) As pilot in command in a multiengine, turbine-powered, fixed-
wing airplane or powered-lift aircraft, or any combination thereof; and
    (2) In an operation requiring more than one pilot.
    (d) For the purpose of satisfying the flight hour requirement in
paragraph (a)(3) of this section, a pilot may credit flight time
obtained as pilot in command in operations under this part prior to
July 31, 2013.
    (e) For those pilots who were employed as pilot in command in part
121 operations on July 31, 2013, compliance with the requirements of
paragraph (a)(3) of this section is not required.

    Issued under authority provided by 49 U.S.C. 106(f),
44701(a)(5), and 44703 in Washington, DC.
Billy Nolen,
Acting Administrator.
[FR Doc. 2022-20328 Filed 9-20-22; 8:45 am]
BILLING CODE 4910-13-P