Ask the Scholar
Document scope · 1 page
Scholar
Ask about this object, its catalog metadata, its source description, or the page inventory.
For page-specific OCR and visual context, open one of the page chats.
Scholar Source Context
Document identity
localId
118568072
label
JGR/DOT (Department of Transportation) International Aviation Decisions (1 of 10)
core
doc
dtoType
document
citationUrl
pageCount
1
Source metadata
id
118568072
contentType
document
title
JGR/DOT (Department of Transportation) International Aviation Decisions (1 of 10)
citationUrl
identifierLocal
485
collections
Records of the Office of Counsel to the President (Reagan Administration)
John Roberts' Subject Files
thumbnailUrl
largeImageUrl
imageCount
1
hasImages
yes
source
import
hasTranscription
no
Source extras
naId
118568072
coverageEndDate
logicalDate
1986-12-31
year
1986
coverageStartDate
logicalDate
1982-01-01
year
1982
levelOfDescription
fileUnit
recordType
description
ocrSource
nara-archive
Single page context
seq
1
pageIndex
0
type
document
mediaId
de83652179f5039c
ocrText
Ronald Reagan Presidential Library
Digital Library Collections
This is a PDF of a folder from our textual collections.
Collection: Roberts, John G.: Files
Folder Title: JGR/DOT (Department of Transportation)
International Aviation Decisions (1 of 10)
Box: 16
To see more digitized collections visit:
https://reaganlibrary.gov/archives/digital-library
To see all Ronald Reagan Presidential Library inventories visit:
https://reaganlibrary.gov/document-collection
Contact a reference archivist at: [email protected]
Citation Guidelines: https://reaganlibrary.gov/citing
National Archives Catalogue: https://catalog.archives.gov/
THE WHITE HOUSE
WASHINGTON
March 7, 1985
MEMORANDUM FOR DAVID L. CHEW
STAFF SECRETARY
FROM:
ASSOCIATE COUNSEL 178 TO THE PRESIDENT
JOHN G. ROBERTS
SUBJECT:
CAB Decision: Action Air Cargo Corp.
and Ten Other Air Carriers
Our office has reviewed the above-referenced CAB decision,
issued before the CAB terminated operations, and has no
legal objection to the procedure that was followed with
respect to Presidential review of such decisions under
49 U.S.C. § 1461(a).
We also have no legal objection to OMB's recommendation that
the President not disapprove this order or to the substance
of the letter from the President to the Secretary of Trans-
portation prepared by OMB.
ID #.
CU
WHITE HOUSE
CORRESPONDENCE TRACKING WORKSHEET
o . OUTGOING
H - INTERNAL
I - INCOMING
Date Correspondence
Received (YY/MM/DD)
/
/
Name of Correspondent: David R. Chew
MI Mail Report
User Codes: (A)
(B)
(C)
Subject: CAB Decisions: action air Cargo Carparation
and Ten other air carriers
ROUTE TO:
ACTION
DISPOSITION
Tracking
Type
Completion
Action
Date
of
Date
Office/Agency
(Staff Name)
Code
YY/MM/DD
Response
Code
YY/MM/DD
CUNOLL
ORIGINATOR
85/03/07
/
/
Referral Note:
CUAT 18
R
85,03,07
5 85/03/15
Referral Note:
/
/
/ /
I
Referral Note:
/ /
/ /
Referral Note:
/ /
/
/
Referral Note:
ACTION CODES:
DISPOSITION CODES:
A Appropriate Action
I Info Copy Only/No Action Necessary
A Answered
C Completed
C Comment/Recommendation
R Direct Reply w/Copy
B * Non-Special Referral
S Suspended
D Draft Response
S For Signature
F - Furnish Fact Sheet
X Interim Reply
to be used as Enclosure
0808
FOR OUTGOING CORRESPONDENCE:
Type of Response = Initials of Signer
Code = "A"
Completion Date = Date of Outgoing
Comments:
Keep this worksheet attached to the original incoming letter.
Send all routing updates to Central Reference (Room 75, OEOB).
Always return completed correspondence record to Central Files.
Refer questions about the correspondence tracking system to Central Reference, ext. 2590.
5/81
Document No. 271126ss
WHITE HOUSE STAFFING MEMORANDUM
DATE: 3/7/85
ACTION/CONCURRENCE/COMMENT DUE BY: 3/15/85
SUBJECT: CAB Decision: Action Air Cargo Corporation and ten other
air carriers
ACTION FYI
ACTION FYI
VICE PRESIDENT
McMANUS
REGAN
MURPHY
DEAVER
OGLESBY
STOCKMAN
ROLLINS
BUCHANAN
SPEAKES
CHEW
P
SS SVAHN
FIELDING
R
TUTTLE
FRIEDERSDORF
VERSTANDIG
FULLER
WHITTLESEY
HICKEY
HICKS
KINGON
McFARLANE
REMARKS:
Please provide any comments/recommendations directly to me.
Thanks.
RESPONSE:
David L. Chew
1985 MAR -7 AH 9: 46
Staff Secretary
Ext. 2702
OFFICE PRESIDENT STATES il UNITED
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503
ACTION
MAR 6 1985
MEMORANDUM FOR THE PRESIDENT
SUBJECT:
Civil Aeronautics Board Decision:
Action Air Cargo Corporation
and ten other air carriers
Docket 42663
Date due: April 8, 1985
Prior to its sunset on January 1, 1985, the Civil Aeronautics
Board (CAB) proposed the following action with regard to the
above international aviation case:
-- Revoke the authority of eleven United States airlines to
engage foreign air transportation because of the airlines'
non-compliance with certain Board requirements. None of the
affected airlines objected to the proposed order.
Because the Department of Transportation has assumed the
responsibility for processing international aviation decisions
previously made by the Board, the attached letter is addressed to
the Secretary of Transportation. The Departments of State,
Defense, Justice, and Transportation and the National Security
Council have not identified any foreign policy or national
defense reasons for disapproving the order in whole or in part.
The Office of Management and Budget recommends that you approve
the Board's decision by signing the attached letter to the
Secretary which indicates that you do not intend to disapprove
the Board's order within the 60 days allowed by statute for your
review. Also, OMB recommends that you state in your letter that
no national defense or foreign policy reason underlies your
action. This will preserve whatever opportunity is available
under the statute for judicial review.
Original signed by
Constance Horner
Constance Horner
Associate Director
Economics and Government
Attachments:
CAB letter of transmittal
CAB order
Letter to the Secretary
Options and Implementation Actions:
( ) 1) Approve the Board's order and preserve whatever
opportunity is available for judicial review (DOS, DOD,
DOJ, DOT, NSC, OMB)
-- Sign the attached letter to the Secretary.
( ) 2) Approve the Board's order and do nothing to preserve
whatever opportunity is available for judicial review.
-- Implementation materials to be prepared.
( ) 3) Disapprove the Board's order.
-- Implementation materials to be prepared.
( ) 4) See me.
U.S. Department of
Office of Assistant Secretary
400 Seventh St., S.W.
Transportation
Washington, D.C. 20590
February 5, 1985
Office of the Secretary
of Transportation
The President
The White House
Washington, D.C. 20500
Dear Mr. President:
I transmit for your consideration under section 801(a) of the Federal Aviation
Act of 1958, as amended by the Airline Deregulation Act of 1978, a proposed
order adopted by the Civil Aeronautics Board prior to its sunset which would
revoke the certificates of public convenience and necessity issued to Action
Air Cargo Corporation, Air New England, Inc., American Eagle Airlines, Inc.,
Flight Transportation Corporation, Holiday Airways, Inc., Intercontinental
Airways, Inc., International Air Associates, Inc., Jet Executive International,
Peninsular Air Transport, Inc., Sun Land Airlines, Inc., and U.S. Aircoach,
Inc. The order will revoke the certificates issued to those carriers authori-
zing the operation of foreign air transportation and adopt the tentative
decision of the Civil Aeronautics Board in its Order to Show Cause 84-11-113
(enclosed) unless you disapprove it within 60 days of this transmittal. For
your information, I am also enclosing the Board's Order 84-12-101, which
finalized the tentative findings and conclusions set forth in Order 84-11-113
and revoked the domestic 401 and 418 certificates of these and several other
carriers.
If you should decide earlier that you will not disapprove, please advise the
Department to that effect; this will allow the earlier issuance of the order.
We are submitting the proposed decision to you before publication under the
provisions of section 801(a) of the Federal Aviation Act of 1958. In
accordance with Executive Order 11920, however, we plan to release all
unclassified portions of the decision on or after the sixth day following this
transmittal unless notified by your Assistant for National Security Affairs.
Matthew Sincerely, Assistant Secretary Scocozza
for Policy and International Affairs
Enclosures
THE WHITE HOUSE
WASHINGTON
Dear Madam Secretary:
I have reviewed the order proposed by the Civil Aeronautics Board
in the following case:
Action Air Cargo Corporation
and ten other air carriers
Docket 42663
I have decided not to disapprove the Board's order. No foreign
relations or national defense reason underlies my actions.
Sincerely,
The Honorable Elizabeth Dole
Secretary of Transportation
Washington, D.C. 20590
THE WHITE HOUSE
WASHINGTON
March 20, 1985
MEMORANDUM FOR DAVID L. CHEW
STAFF SECRETARY
FROM:
JOHN G. ROBERTS
ASSOCIATE COUNSEL TO THE PRESIDENT
SUBJECT:
DOT International Aviation Decision: Lone
Star Certificate Amendment and Transfer
Our office has reviewed the above-referenced Department of
Transportation International Aviation decision, and has no
legal objection to the procedure that was followed with
respect to Presidential review of such decisions under
49 U.S.C. § 1461 (a).
We also have no legal objection to OMB's recommendation that
the President not disapprove this order or to the substance
of the letter from the President to the Secretary of Trans-
portation prepared by OMB.
1
ID #. 27119855
CU
WHITE HOUSE
CORRESPONDENCE TRACKING WORKSHEET
o . OUTGOING
H . INTERNAL
I . INCOMING
Date Correspondence
Received (YY/MM/DD)
/
/
Name of Correspondent: Dave chew
MI Mail Report
User Codes: (A)
(B)
(C)
Subject: DOT International amation Decision ; Lane star
certificate amendment and Transfer
ROUTE TO:
ACTION
DISPOSITION
Tracking
Type
Completion
Action
Date
of
Date
Office/Agency
(Staff Name)
Code
YY/MM/DD
Response
Code
YY/MM/DD
CUHOLL
ORIGINATOR 85,03,20
/
/
Referral Note:
CUAT 18
R
85,03,20
S 85,03,22
Referral Note:
/
/
/ /
I
Referral Note:
/
/
/
Referral Note:
/
/
/
/
Referral Note:
ACTION CODES:
DISPOSITION CODES:
A Appropriate Action
1. Info Copy Only/No Action Necessary
A Answered
C Completed
C . Comment/Recommendation
R Direct Reply w/Copy
B - Non-Special Referral
S Suspended
D Draft Response
S . For Signature
F . Furnish Fact Sheet
X * Interim Reply
to be used as Enclosure
FOR OUTGOING CORRESPONDENCE:
Type of Response = Initials of Signer
Code = "A"
Completion Date = Date of Outgoing
Comments:
Keep this worksheet attached to the original incoming letter.
Send all routing updates to Central Reference (Room 75, OEOB).
Always return completed correspondence record to Central Files.
Refer questions about the correspondence tracking system to Central Reference, ext. 2590.
5/81
271198ss
Document No.
WHITE HOUSE STAFFING MEMORANDUM
DATE:
3/20/85
ACTION/CONCURRENCE/COMMENT DUE BY:
3/22/85
SUBJECT:
DOT INTERNATIONAL AVIATION DECISION: Lone Star Certificate
Amendment and Transfer
ACTION FYI
ACTION FYI
VICE PRESIDENT
McMANUS
REGAN
MURPHY
DEAVER
OGLESBY
STOCKMAN
ROLLINS
BUCHANAN
SPEAKES
CHEW
P
SS SVAHN
FIELDING
TUTTLE
FRIEDERSDORF
VERSTANDIG
FULLER
WHITTLESEY
HICKEY
HICKS
KINGON
McFARLANE
REMARKS:
Please provide any comments/recommendations on the attached
by March 22nd. Thank you.
RESPONSE:
David L. Chew
1985 MAR 20 M 8: 24
Staff Secretary
Ext. 2702
OFFICE PRESIDENT STATES UNITED
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503
MAR 19 1985
ACTION
MEMORANDUM FOR THE PRESIDENT
SUBJECT:
Department of Transportation International
Aviation Decision:
Lone Star Certificate
Amendment and Transfer Case
Docket 40962
Date due: April 7, 1985
The Department of Transportation (DOT) proposes to take the
following action with regard to the above international aviation
case:
-- Amend the authority of Lone Star Airways, Inc., from its
current foreign charter authority to foreign scheduled and
charter authority. The proposed order also transfers this
new authority from Lone Star Airways to Lone Star Overseas,
Inc., a companion corporation.
The Departments of State, Defense, and Justice, and the National
Security Council have not identified any foreign policy or
national defense reasons for disapproving the order in whole or
in part.
The Office of Management and Budget (OMB) recommends that you
approve DOT's decision by signing the attached letter to the
Secretary which indicates that you do not intend to disapprove
DOT's order within the 60 days allowed by statute for your
review. Also, OMB recommends that you state in your letter that
no national defense or foreign policy reason underlies your
action. This will preserve whatever opportunity is available
under the statute for judicial review.
Original signed by
Constance Horner
Constance Horner
Associate Director
Economics and Government
Attachments:
DOT letter of transmittal
DOT order
Letter to the Secretary
Options and Implementation Actions:
( ) 1) Approve DOT's order and preserve whatever opportunity is
available for judicial review (DOS, DOD,
DOJ, NSC, OMB).
-- Sign the attached letter to the Secretary.
( ) 2) Approve DOT's order and do nothing to preserve whatever
opportunity is available for judicial review.
-- Implementation materials to be prepared.
( ) 3) Disapprove DOT's order.
-- Implementation materials to be prepared.
( ) 4) See me.
THE WHITE HOUSE
WASHINGTON
Dear Madam Secretary:
I have reviewed the order proposed by the Department of
Transportation in the following case:
Lone Star Certificate
Amendment and Transfer Case
Docket 40962
I have decided not to disapprove the proposed order. No foreign
relations or national defense reason underlies my actions.
Sincerely,
The Honorable Elizabeth Dole
Secretary of Transportation
Washington, D.C. 20590
FOR OFFICIAL USE ONLY
U.S. Department of
Office of Assistant Secretary
400 Seventh St., S.W.
Transportation
Washington, D.C. 20590
Office of the Secretary
FEB 4 1985
of Transportation
The President
The White House
Washington, D.C. 20500
Dear Mr. President:
I transmit the Department's proposed Order in the Lone Star Certificate
Amendment and Transfer Case, Docket 40962, for your consideration under
section 801 (a) of the Federal Aviation Act of 1958, as amended by the
Airline Deregulation Act of 1978. The Order will, unless you disapprove
it within 60 days of this transmittal, amend the scheduled foreign air
transportation certificate of Lone Star Airways and transfer it to Lone
Star Overseas. It will also cancel the now redundant foreign charter
certificate of Lone Star Airways.
If you should decide earlier that you will not disapprove, please advise
us to that effect; this will allow us to issue the order earlier.
We are submitting the proposed decision to you before publication under
the provisions of section 801(a) of the Federal Aviation Act of 1958. In
accordance with Executive Order 11920, however, we plan to release all
unclassified portions of the decision on or after the sixth day following
this transmittal unless notified by your Assistant for National Security
Affairs.
Respectfully yours,
THE MATTHEW SQOCOZZA
Assistant Secretary
for Policy and International Affairs
Enclosures
FOR OFFICIAL USE ONLY
THE WHITE HOUSE
WASHINGTON
April 8, 1985
MEMORANDUM FOR DAVID L. CHEW
STAFF SECRETARY
FROM:
ASSOCIATE COUNSEL DJR TO THE PRESIDENT
JOHN G. ROBERTS
SUBJECT:
DOT International Aviation Decisions:
Houston-London Case and Tampa-Yucatan
Service Case
Our office has reviewed the above-referenced Department of
Transportation International Aviation decisions, and has no
legal objection to the procedure that was followed with
respect to Presidential review of such decisions under
49 U.S.C. $ 1461 (a).
We also have no legal objection to OMB's recommendation that
the President not disapprove these orders or to the substance
of the letter from the President to the Secretary of Trans-
portation prepared by OMB.
ID # 27133455
CU
WHITE HOUSE
CORRESPONDENCE TRACKING WORKSHEET
o - OUTGOING
H - INTERNAL
I - INCOMING
Date Correspondence
Received (YY/MM/DD)
/
/
Name of Correspondent: Dave chew
MI Mail Report
User Codes: (A)
(B)
(C)
Subject: DOT International auration Decisions:
Hariston Landon Case and sampa - yucatan
service case.
ROUTE TO:
ACTION
DISPOSITION
Tracking
Type
Completion
Action
Date
of
Date
Office/Agency
(Staff Name)
Code
YY/MM/DD
Response
Code
YY/MM/DD
CUNOLL
ORIGINATOR 85,04,08
/
/
Referral Note:
CUAT 18
R
85,04,08
re85104110
Referral Note:
/ /
/ /
Referral Note:
/ /
/ /
Referral Note:
/ /
/ /
Referral Note:
ACTION CODES:
DISPOSITION CODES:
A Appropriate Action
1. info Copy Only/No Action Necessary
A Answered
C Completed
C Comment/Recommendation
R. Direct Reply w/Copy
B - Non-Special Referral
S Suspended
D - Draft Response
S - For Signature
F Furnish Fact Sheet
X Interim Reply
to be used as Enclosure
FOR OUTGOING CORRESPONDENCE:
Type of Response = Initials of Signer
Code = "A"
Completion Date = Date of Outgoing
Comments:
Keep this worksheet attached to the original incoming letter.
Send all routing updates to Central Reference (Room 75, OEOB).
Always return completed correspondence record to Central Files.
Refer questions about the correspondence tracking system to Central Reference, ext. 2590.
5/81
THE WHITE HOUSE
WASHINGTON
May 6, 1985
MEMORANDUM FOR DAVID L. CHEW
STAFF SECRETARY
FROM:
JOHN G. ROBERTS JJR
ASSOCIATE COUNSEL TO THE PRESIDENT
SUBJECT:
Department of Transportation 10-Day
International Aviation Decision:
Air Canada/Docket 43096
We have reviewed the above-referenced Department of
Transportation international aviation decision and have
no legal objection to the procedure that was followed
with respect to Presidential review of such decisions
under 49 U.S.C. $ 1461 (b).
We also have no legal objection to OMB's recommendation
that the President not disapprove this order.
ID #. 271460
CU
WHITE HOUSE
CORRESPONDENCE TRACKING WORKSHEET
0 . OUTGOING
H . INTERNAL
I . INCOMING
Date Correspondence
Received (YY/MM/DD)
/
/
Name of Correspondent:
Dave chew
MI Mail Report
User Codes: (A)
(B)
(C)
Subject: Department of Transportation 10-day
International aviation Decision
ROUTE TO:
ACTION
DISPOSITION
Tracking
Type
Completion
Action
Date
of
Date
Office/Agency
(Staff Name)
Code
YY/MM/DD
Response
Code
YY/MM/DD
CUHOLL
ORIGINATOR
85,05,03
/
/
Referral Note:
CMAT 18
R
85,05,03
$ 85,05,08
Referral Note:
/ /
/
/
-
Referral Note:
/
/
/
/
-
Referral Note:
/ /
/
/
-
Referral Note:
ACTION CODES:
DISPOSITION CODES:
A Appropriate Action
I . Info Copy Only/No Action Necessary
A Answered
C Completed
C Comment/Recommendation
R. Direct Reply w/Copy
B - - Non-Special Referral
S Suspended
D Draft Response
S For Signature
F - Furnish Fact Sheet
X Interim Reply
to be used as Enclosure
FOR OUTGOING CORRESPONDENCE:
Type of Response = Initials of Signer
Code = "A"
Completion Date = Date of Outgoing
Comments:
Keep this worksheet attached to the original incoming letter.
Send all routing updates to Central Reference (Room 75, OEOB).
Always return completed correspondence record to Central Files.
Refer questions about the correspondence tracking system to Central Reference, ext. 2590.
5/81
Document No.
271460ss
WHITE HOUSE STAFFING MEMORANDUM
DATE: 5/3/85
ACTION/CONCURRENCE/COMMENT DUE BY: 5:00 p.m., May 8
SUBJECT: DEPARTMENT OF TRANSPORTATION 10-DAY INTERNATIONAL AVIATION DECISION
ACTION FYI
ACTION FYI
VICE PRESIDENT
LACY
REGAN
McFARLANE
STOCKMAN
OGLESBY
BUCHANAN
ROLLINS
CHAVEZ
RYAN
CHEW
P
SS SPEAKES
DANIELS
SPRINKEL
FIELDING
SVAHN
FRIEDERSDORF
TUTTLE
HENKEL
HICKEY
HICKS
KINGON
REMARKS:
Please provide any comments directly to my office by 5:00 p.m., Wednesday,
May 8. Thank you.
RESPONSE:
1905 MAY -3 Fill 6: 22
David L. Chew
Staff Secretary
Ext. 2702
EXECUTIVE OFFICE OF THE PRESIDENT
BUDGET
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503
MAY 0'3 1985
ACTION
MEMORANDUM FOR: STAFF SECRETARY
AND DEPUTY ASSISTANT TO THE PRESIDENT
SUBJECT:
Department of Transportation 10-Day
International Aviation Decision:
Air Canada
Docket 43096
Attached is a memorandum for the President about the above
10-day international aviation decision. The interested
executive agencies have not identified any foreign policy or
national defense reason for disapproving the order.
The Department's decision becomes final unless the President
disapproves the order on or before May 11, 1985.
David A. Stockman
David A. Stockman
Director
Attachments:
Memorandum to the President
DOT Letter of Transmittal
DOT Order
EXECUTIVE OFFICE OF THE PRESIDENT
AVOID
OFFICE OF MANAGEMENT AND BUDGET
STATE
AND
WASHINGTON, D.C. 20503
MAY 03 1985
MEMORANDUM FOR THE PRESIDENT
SUBJECT: Department of Transportation 10-Day
International Aviation Decision:
Air Canada
Docket 43096
The proposed Department of Transportation (DOT) order prevents
coach fare increases requested by Air Canada from going into
effect until May 14, 1986. A suspension of Air Canada's proposed
fares will allow the Department adequate time to investigate the
increases and make a final decision regarding the fares.
Authority for the order comes from the Federal Aviation Act,
which allows DOT to suspend proposed fares if they are higher
than established ceilings and if the carrier does not provide
sufficient justification for exceeding the ceilings. DOT has
determined that this order meets both conditions.
The Departments of State, Defense, and Justice and the National
Security Council have not identified any foreign policy or
national defense reason for disapproving the order in whole or in
part.
The Office of Management and Budget recommends that you take no
action and allow DOT's order to go into effect. The order
becomes final unless you disapprove it on or before May 11, 1985.
David A. Stockman
David A. Stockman
Director
Attachments:
DOT Letter of Transmittal
DOT Order
Options and Implementation Actions:
( ) 1) Approve DOT's order by taking no action.
(DOS, DOD, DOJ, NSC, OMB).
( ) 2) Disapprove DOT's order. Implementation materials to be
prepared.
( ) 3) See me.
FOR OFFICIAL USE ONLY
U.S. Department of
Office of Assistant Secretary
400 Seventh St., S.W.
Transportation
Washington, D.C. 20590
Office of the Secretary
of Transportation
MAY
1 1985
The President
The White House
Washington, D.C. 20500
Dear Mr. President:
I enclose for your review copies of a Department order suspending U.S.-
Canada coach fare increases proposed by Air Canada. Our recommendation of
suspension is based on the fact that Air Canada's proposed levels exceed
the Department 's regulatory ceilings, i.e., the Standard Foreign Fare Level
plus ten percent upward fare flexibility. The SFFL consists of base fares
as of October 1, 1979, as adjusted every 60 days to account for cost
changes. Under the International Air Transportation Competition Act, a
statutory no-suspend zone extends from five percent above to 50 percent
below such adjusted fare levels, and we allow an additional five percent
upward flexibility in U.S.-Canada markets as a matter of regulatory
discretion. While the Department is willing to allow carriers to exceed
the ceilings upon a showing of sufficient justification, Air Canada has
failed to do SO in this case.
The order institutes an investigation into the lawfulness of Air Canada
fares under section 1002(j) of the Federal Aviation Act of 1958, and
suspends them for a period of three hundred sixty-five days pending a
hearing and final decision by the Department. Under the Federal Aviation
Act of 1958, the Department 's order is final unless you disapprove it not
later than ten days following its submission by the Department.
No action is necessary if you do not wish to disapprove this order. If you
should decide earlier that you will not disapprove the order, please advise
us to that effect; this will allow us to issue the order earlier.
We are submitting the proposed decision to you before publication under the
provisions of section 801(b) of the Federal Aviation Act of 1958. In
accordance with Executive Order 11920, however, we plan to release all
unclassified portions of the decision on or after the sixth day following
this transmittal unless notified by your Assistant for National Security
Affairs.
Respectfully Assistant MATTHEW for Policy Secretary 9C00OZZA yours, and
International Affairs
Enclosures
FOR OFFICiAL USE ONLY
UNITED STATES OF AMERICA
DEPARTMENT OF TRANSPORTATION
OFFICE OF THE SECRETARY
WASHINGTON, D.C.
Issued by the Department of Transportation
on the 1st day of May, 1985
U.S.-Canada fare increases proposed
:
by
:
:
AIR CANADA
:
Docket 43096
:
ORDER OF SUSPENSION AND INVESTIGATION
By tariff revisions filed for effectiveness May 14, 1985, Air Canada
proposes three percent increases in most of its U.S.-Canada fares. In the
absence of justification in support of its tariff revisions, we have
decided to suspend and investigate Air Canada's proposed coach fare
increases.
Our regulatory ceilings for U.S.-Canada coach fares are based on the
Standard Foreign Fare Level (SFFL) plus ten percent upward fare
flexibility, 1/ with SFFL base levels determined by the higher of either
actual fares in effect on October 1, 1979, or the levels produced by the
Standard Industry Fare Level (SIFL) mileage formula in force on that
date. 2/ These ceilings are not rigid, however; we are prepared to allow
carriers to exceed them upon a showing of sufficient justification.
Air Canada's filing proposes coach fares above our ceilings in 18 of its
gateway-to-gateway markets, 3/ and the carrier has furnished no economic
justification in support of its proposal. Under these circumstances, we
have decided to investigate the lawfulness of Air Canada's proposed coach
1/ As in other international markets, we generally allow U.S.-Canada
carriers complete discretion in pricing their premium and promotional
fares. Furthermore, we limit the application of our U.S.-Canada regulatory
ceilings to gateway-to-gateway markets only.
2/ See Civil Aeronautics Board Order 83-4-47, April 8, 1983.
3/ See Appendix A. We would also note that Air Canada's coach fare
increases since October 1979 have not been limited by the current SFFL
factor. The alternative use of the SIFL mileage formula produces higher
SFFL base levels than actual October 1979 tariff levels would otherwise
dictate in most of the markets at issue. The carrier's current coach
levels have also benefitted from earlier, higher SFFL factors and (in some
markets) previous, justified increases beyond our ceilings. As a result of
these factors, Air Canada's current coach fares are 39 to 67 percent above
October 1979 levels whereas the SFFL cost index reflects aggregate cost
increases since October 1979 of only about 21 percent.
- 2 -
fare increases, and to suspend them pending completion of the investi-
gation. We shall submit this order to the President pursuant to Section
801(b) of the Federal Aviation Act of 1958, as amended. 4/
ACCORDINGLY, pursuant to sections 102, (a), 403, 801 and 1002(j) of the
Federal Aviation Act of 1958, as amended:
1. We shall institute an investigation to determine whether the fares and
provisions set forth in the attached Appendix B, and rules and regulations
or practices affecting such fares and provisions, are or will be unjust or
unreasonable, unjustly discriminatory, unduly preferential, unduly
prejudicial or otherwise unlawful or contrary to the public interest; and
if we find them to be unlawful or contrary to the public interest, to act
appropriately to prevent the use of such fares, provisions or rules,
regulations, or practices;
2. Pending completion of the investigation and decision by the Department,
we suspend and defer the use of the tariff provisions in the attached
Appendix B from May 14, 1985, to and including May 13, 1986, unless
otherwise ordered by the Department, and shall permit no changes to be made
therein during the period of suspension except by order or special
permission of the Department;
3. We shall submit this order to the President 5/ and, unless disapproved
by the President within ten days, it shall become effective May 14, 1985;
and
4. We shall file copies of this order in the aforesaid tariff and serve
them on Air Canada and the Ambassador of Canada in Washington, D.C.
- By:
MATTHEW V. SCOCOZZA
Assistant Secretary for Policy
and International Affairs
(SEAL)
Section 1002(j) of the Act authorizes the Department to take this
action in the circumstances presented. Section 801(b) of the Act states
that the Department shall submit any order suspending a fare or proposed
fare in foreign air transportation pursuant to section 1002(j) to the
President.
5/ We submitted this order to the President on May 1, 1985.
APPENDIX A
AIR CANADA 'S
PROPOSED COACH FARE INCREASES
(OW)
SFFL PARAMETERS
PRESENT
PROPOSED
INCR.
BASE
SFFL
CEILING
CHICAGO-CALGARY
$241
$248
2.9%
$173
$209
$230
LOS ANGELES-CALGARY
211
217
2.8
145
175
192
NEW YORK-CALGARY
317
327
3.2
218
263
289
SAN FRANCISCO-CALGARY
184
190
3.3
128
154
170
LOS ANGELES-EDMONTON
219
226
3.2
159
192
211
SAN FRANCISCO-EDMONTON
199
205
3.0
141
170
187
BOSTON-HALIFAX
121
125
3.3
71
86
94
CHICAGO-MONTREAL
169
174
3.0
110
133
146
NEW YORK-MONTREAL
103
106
2.9
63
76
84
BOSTON-ST. JOHN
102
105
2.9
65
78
86
BOSTON-TORONTO
111
114
2.7
75
90
100
CHICAGO-TORONTO
120
124
3.3
73
88
97
DALLAS-TORONTO
208
214
2.9
146
176
194
LOS ANGELES-TORONTO
331
341
3.0
231
279
307
NEW YORK-TORONTO
108
111
2.8
67
81
89
SAN FRANCISCO-TORONTO
340
350
2.9
238
287
316
CHICAGO-WINNIPEG
152
157
3.3
101
122
134
BOSTON-YARMOUTH
92
95
3.3
57
69
76
Reflects April 1, 1985, SFFL cost index of 1.2066.
2/
SFFL plus ten percent upward fare flexibility.
APPENDIX B
TARIFF C.A.B. NO. 409
ISSUED BY AIRLINE TARIFF PUBLISHING COMPANY, AGENT
The propoosed "Y" (economy) one way increases between points listed below:
BETWEEN
AND
APPEARING ON PAGE
Boston
Halifax
68th Revised Page 27
Boston
Saint John N.B.
68th Revised Page 28
Boston
Toronto/Hamilton
45th Revised Page 28-A
Boston
Yarmouth
45th Revised Page 28-B
Calgary
Chicago
129th Revised Page 29
Calgary
Los Angeles
85th Revised Page 30-A
Calgary
New York
129th revised Page 30 and
85th Revised Page 30-A
Calgary
San Francisco
85th Revised Page 30-B
Chicago
Montreal
74th Revised Page 37
Chicago
Toronto/Hamilton
74th Revised Page 38
Chicago
Winnipeg
61st Revised Page 39
Dallas/Ft. Worth
Toronto/Hamilton
64th Revised Page 42
Edmonton
Los Angeles
120th Revised Page 44 and
128th Revised Page 45
Edmonton
San Francisco
128th Revised Page 46
Los Angeles
Toronto/Hamilton
52nd Revised Page 66-B
Montreal
New York
92nd Revised Page 72
New York
Toronto/Hamilton
66th Revised Page 76
San Francisco
Toronto/Hamilton
88th Revised Page 89
THE WHITE HOUSE
WASHINGTON
May 13, 1985
MEMORANDUM FOR DAVID L. CHEW
STAFF SECRETARY
FROM:
ASSOCIATE COUNSEL 92C TO THE PRESIDENT
JOHN G. ROBERTS
SUBJECT:
Department of Transportation 10-Day
International Aviation Decision:
U.S. - Egypt Fares
We have reviewed the above-referenced Department of
Transportation international aviation decision and have
no legal objection to the procedure that was followed
with respect to Presidential review of such decisions
under 49 U.S.C. § 1461 (b).
We also have no legal objection to OMB's recommendation
that the President not disapprove this order.
ID #.
CU
WHITE HOUSE
CORRESPONDENCE TRACKING WORKSHEET
o . OUTGOING
H INTERNAL
I INCOMING
Date Correspondence
Received (YY/MM/DD)
/
/
Name of Correspondent:
Dave Chew
MI Mail Report
User Codes: (A)
(B)
(C)
Subject: DOT 10- Pay I International aviation
Decision: U.S - Egypt fares
ROUTE TO:
ACTION
DISPOSITION
Tracking
Type
Completion
Action
Date
of
Date
Office/Agency
(Staff Name)
Code
YY/MM/DD
Response
Code
YY/MM/DD
CUHOLL
ORIGINATOR 85,05,13
/
/
Referral Note:
CUAT18
R
85,05,13
85/05/14
Referral Note:
3PM
/
/
/ /
-
Referral Note:
/
/
/
/
-
Referral Note:
/
/
/
/
-
Referral Note:
ACTION CODES:
DISPOSITION CODES:
A Appropriate Action
I - Info Copy Only/No Action Necessary
A Answered
C Completed
C Comment/Recommendation
R - Direct Reply w/Copy
B - Non-Special Referral
S Suspended
D Draft Response
S For Signature
F - Furnish Fact Sheet
X Interim Reply
to be used as Enclosure
FOR OUTGOING CORRESPONDENCE:
Type of Response = Initials of Signer
Code = "A"
Completion Date = Date of Outgoing
Comments:
Keep this worksheet attached to the original incoming letter.
Send all routing updates to Central Reference (Room 75, OEOB).
Always return completed correspondence record to Central Files.
Refer questions about the correspondence tracking system to Central Reference, ext. 2590.
5/81
Document No.
271500
WHITE HOUSE STAFFING MEMORANDUM
DATE:
5/13/85
ACTION/CONCURRENCE/COMMENT DUE BY:
3:00 P.M. TOMORROW
DOT 10-DAY INTERNATIONAL AVIATION DECISION: U.S.-EGYPT FARES
SUBJECT:
ACTION FYI
ACTION FYI
VICE PRESIDENT
LACY
REGAN
McFARLANE
STOCKMAN
OGLESBY
BUCHANAN
ROLLINS
CHAVEZ
RYAN
CHEW
P
SS SPEAKES
DANIELS
SPRINKEL
FIELDING
SVAHN
FRIEDERSDORF
TUTTLE
HENKEL
HICKEY
HICKS
KINGON
REMARKS:
Please provide any comments/recommendations by 3:00 p.m. tomorrow,
May 14th. Thank you.
RESPONSE:
David L. Chew
Staff Secretary
Ext. 2702
PRESENT OFFICE UNITED THE STATES
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503
MAY 13 1985
MEMORANDUM FOR THE PRESIDENT
SUBJECT: Department of Transportation 10-Day
International Aviation Decision:
U.S. Egypt fares proposed by EgyptAir
Docket 43108
Date due: May 16, 1985
This proposed Department of Transportation (DOT) order prevents
low promotional fares, requested by EgyptAir, from going into
effect for one year.
DOT's order is a reciprocal response to Egyptian aeronautical
authorities which have unilaterally restricted aviation traffic
rights of a U.S. air carrier, Trans World Airlines (TWA). DOT
does not want to approve fares that would be of competitive
benefit to EgyptAir while TWA operates to Egypt under undue
restrictions.
The Departments of State, Defense, and Justice and the National
Security Council have not identified any foreign policy or
national defense reason for disapproving the order in whole or in
part.
The Office of Management and Budget recommends that you take no
action and allow DOT's order to go into effect. The order
becomes final unless you disapprove it on or before May 16, 1985.
Original signed by
Constance Horner
Constance Horner
Associate Director
Economics and Government
Attachments:
DOT Letter of Transmittal
DOT Order
Options and Implementation Actions:
(
) 1) Approve DOT's order by taking no action.
(DOS, DOD, DOJ, NSC, OMB).
( ) 2) Disapprove DOT's order. Implementation materials to be
prepared.
( ) 3) See me.
FOR OFFICIAL USE ONLY
U.S. Department of -
Office of Assistant Secretary
400 Seventh St., S.W.
Transportation
Washington, D.C. 20590
Office of the Secretary
of Transportation
MAY 6 1985
The President
The White House
Washington, D.C. 20500
Dear Mr. President:
I enclose for your review copies of a Department order suspending U.S.-
Egypt introductory and standby fares proposed by EgyptAir. Our
recommendation of suspension is based on the fact that the Government of
Egypt has refused to approve schedules and the exercise of fifth freedom
operating rights of Trans World Airlines. TWA's rights, which the Egyptian
Government has unilaterally and improperly restricted, are provided for in
the Air Transport Services Agreement between the United States and Egypt.
The order institutes an investigation into the lawfulness of EgyptAir's
fares under section 1002(j) of the Federal Aviation Act of 1958, and
suspends them for a period of three hundred sixty-five days pending a
hearing and final decision by the Department. Under the Federal Aviation
Act of 1958, the Department order is final unless you disapprove it not
later than ten days following its submission by the Department.
No action is necessary if you do not wish to disapprove this order. If you
should decide earlier that you will not disapprove the order, please advise
us to that effect; this will allow us to issue the order earlier.
We are submitting the proposed decision to you before publication under the
provisions of section 801(b) of the Federal Aviation Act of 1958. In
accordance with Executive Order 11920, however, we plan to release all
unclassified portions of the decision on or after the sixth day following
this transmittal unless notified by your Assistant for National Security
Affairs.
Respectfully yours,
for
MATTHEW V. SCOCOZZA
Assistant Secretary
for Policy and International Affairs
Enclosures
FOR OFFICIAL USE ONLY
UNITED STATES OF AMERICA
DEPARTMENT OF TRANSPORTATION
OFFICE OF THE SECRETARY
WASHINGTON, D.C.
Issued by the Department of Transportation
on the 6th day of May, 1985
U.S.-Egypt fares proposed by
:
:
EGYPTAIR
:
Docket 43108
:
ORDER OF SUSPENSION AND INVESTIGATION
By tariff revisions filed for effectiveness May 18, 1985, EgyptAir proposes
inaugural flight and standby fares between New York and Cairo. We have
decided to suspend and investigate EgyptAir's proposed fares.
EgyptAir proposes a New York-Cairo inaugural flight fare of $565 roundtrip
through November 15, 1985, and a New York-Cairo standby fare of $600
roundtrip through September 15, 1985. The inaugural flight fare, which is
subject to a minimum/maximum stay period of 4/90 days and a 7-day advance
purchase requirement, is between $334 and $415 lower than the lowest
promotional fares of Trans World Airlines. EgyptAir's standby fare, with a
90-day maximum stay, is $299 to $380 below TWA's lowest fares.
Ordinarily we would be inclined to approve reduced promotional fares like
those EgyptAir proposes here for its new service. However, the Egyptian
aeronautical authorities approved TWA's summer schedules only until May 31
(instead of until the end of the summer season in October), refused traffic
rights between Cairo and Bombay, and continued to restrict traffic rights
between Rome/Athens and Cairo. TWA's rights are provided for in the Air
Transport Services Agreement between the United States and Egypt. The
unilateral and restrictive actions of the Egyptian authorities have
significantly impaired the rights and competitive opportunities of the
U.S. carrier. In these circumstances the Department is not prepared to
approve tariffs of direct competitive benefit to EgyptAir while TWA's
problems remain unresolved.
Therefore, we have decided to investigate the lawfulness of EgyptAir's
proposed inaugural and standby fares, and to suspend them pending
completion of the investigation. We shall submit this order to the
President pursuant to Section 801(b) of the Federal Aviation Act of 1958,
as amended.
1/ Section 1002(j) of the Act authorizes the Department to take this
action in the circumstances presented. Section 801(b) of the Act states
that the Department shall submit any order suspending a fare or proposed
fare in foreign air transportation pursuant to section 1002(j) to the
President.
- 2 -
ACCORDINGLY, pursuant to sections 102, 204(a), 403, 801 and 1002(j) of the
Federal Aviation Act of 1958, as amended:
1. We shall institute an investigation to determine whether the fares and
provisions set forth in the attached Appendix, and rules and regulations or
practices affecting such fares and provisions, are or will be unjust or
unreasonable, unjustly discriminatory, unduly preferential, unduly
prejudicial or otherwise unlawful or contrary to the public interest; and
if we find them to be unlawful or contrary to the public interest, to act
appropriately to prevent the use of such fares, provisions or rules,
regulations, or practices;
2. Pending completion of the investigation and decision by the Department,
we suspend and defer the use of the tariff provisions in the attached
Appendix from May 18, 1985, to and including May 17, 1986, unless otherwise
ordered by the Department, and shall permit no changes to be made therein
during the period of suspension except by order or special permission of
the Department;
3. We shall submit this order to the President 2/ and, unless disapproved
by the President within ten days, it shall become effective May 18, 1985;
and
4. We shall file copies of this order in the aforesaid tariff and serve
them on EgyptAir and the Ambassador of Egypt in Washington, D.C.
By:
MATTHEW V. SCOCOZZA
Assistant Secretary for Policy
and International Affairs
(SEAL)
2/ We submitted this order to the President on May 6, 1985.
Appendix
Transatlantic Passenger Fares Tariff
No. A-2, C.A.B. No. 102
Issued by Official Airline Guides, Inc., Agent
On 9th Revised Page 226-B: Rule 316
On Original Page 226-I: Rule 322
On Original and 1st Revised Page 1350-K:
The fares designated "YIG" and "YU"
Between New York City and Cairo, Egypt.
THE WHITE HOUSE
WASHINGTON
May 13, 1985
MEMORANDUM FOR DAVID L. CHEW
STAFF SECRETARY
FROM:
JOHN G. ROBERTS
ASSOCIATE COUNSEL TO THE PRESIDENT
SUBJECT:
DOT International Aviation Decision:
Miami -- London
Our office has reviewed the above-referenced Department of
Transportation International Aviation decision, and has no
legal objection to the procedure that was followed with
respect to Presidential review of such decisions under
49 U.S.C. $ 1461 (a).
We also have no legal objection to OMB's recommendation that
the President not disapprove this order or to the substance
of the letter from the President to the Secretary of Trans-
portation prepared by OMB.
ID # 271495
CU
WHITE HOUSE
CORRESPONDENCE TRACKING WORKSHEET
0 OUTGOING
H INTERNAL
I . INCOMING
Date Correspondence
Received (YY/MM/DD)
/
/
Name of Correspondent:
Dave chew
MI Mail Report
User Codes: (A)
(B)
(C)
Subject: DOT International amation Decision:
miami Landon
ROUTE TO:
ACTION
DISPOSITION
Tracking
Type
Completion
Action
Date
of
Date
Office/Agency
(Staff Name)
Code
YY/MM/DD
Response
Code
YY/MM/DD
CUHOLL
ORIGINATOR 85,05,13
/
/
Referral Note:
CUAT 18
R
85,05,13
5 85 05 ,15
Referral Note:
/
/
/ /
-
Referral Note:
/
/
/
/
-
Referral Note:
/
/
/ /
-
Referral Note:
ACTION CODES:
DISPOSITION CODES:
A Appropriate Action
I - Info Copy Only/No Action Necessary
A. Answered
C Completed
C Comment/Recommendation
R. Direct Reply w/Copy
B - Non-Special Referral
S Suspended
D Draft Response
S. For Signature
F Furnish Fact Sheet
X. Interim Reply
to be used as Enclosure
FOR OUTGOING CORRESPONDENCE:
Type of Response = Initials of Signer
Code = "A"
Completion Date = Date of Outgoing
Comments:
Keep this worksheet attached to the original incoming letter.
Send all routing updates to Central Reference (Room 75, OEOB).
Always return completed correspondence record to Central Files.
Refer questions about the correspondence tracking system to Central Reference, ext. 2590.
5/81
Document No. 271495ss
WHITE HOUSE STAFFING MEMORANDUM
DATE: 5/10/85
ACTION/CONCURRENCE/COMMENT DUE BY:
May 15, 1985
SUBJECT:
DOT INTERNATIONAL AVIATION DECISION: MIAMI-LONDON
ACTION FYI
ACTION FYI
VICE PRESIDENT
LACY
REGAN
McFARLANE
STOCKMAN
OGLESBY
BUCHANAN
ROLLINS
CHAVEZ
RYAN
CHEW
P
SS SPEAKES
DANIELS
SPRINKEL
FIELDING
SVAHN
FRIEDERSDORF
TUTTLE
HENKEL
HICKEY
HICKS
KINGON
REMARKS:
Please provide any comments/recommendations by Wednesday,
May 15th. Thank you.
RESPONSE:
David L. Chew
1905 MAY 13 M ID: 12
Staff Secretary
Ext. 2702
THE WHITE HOUSE
WASHINGTON
May 16, 1985
MEMORANDUM FOR DAVID L. CHEW
STAFF SECRETARY
FROM:
JOHN G. ROBERTS
ASSOCIATE COUNSEL TO THE PRESIDENT
SUBJECT:
DOT International Aviation Decisions:
Jet East, Inc. and Pegasus Airlines, Inc.
Our office has reviewed the above-referenced Department of
Transportation International Aviation decisions, and has no
legal objection to the procedure that was followed with
respect to Presidential review of such decisions under
49 U.S.C. § 1461 (a).
We also have no legal objection to OMB's recommendation that
the President not disapprove these orders or to the
substance of the letter from the President to the Secretary
of Transportation prepared by OMB.
ID # 271521
CU
WHITE HOUSE
CORRESPONDENCE TRACKING WORKSHEET
o - OUTGOING
H - INTERNAL
I . INCOMING
Date Correspondence
Received (YY/MM/DD)
/
/
Name of Correspondent:
DAVE Chew
MI Mail Report
User Codes: (A)
(B)
(C)
Subject: DOT aviation Decision Jet East Inc. and
Pegasus anlines 2nc.
ROUTE TO:
ACTION
DISPOSITION
Tracking
Type
Completion
Action
Date
of
Date
Office/Agency
(Staff Name)
Code
YY/MM/DD
Response
Code
YY/MM/DD
CUHOLL
ORIGINATOR 85/05/15
/
/
Referral Note:
CUAT 18
at
85,05,15
S 85,05,20
COB
Referral Note:
/
/
/
/
-
Referral Note:
/
/
/
/
-
Referral Note:
/
/
/
/
I
Referral Note:
ACTION CODES
DISPOSITION CODES:
A Appropriate Action
1 Info Copy Only/No Action Necessary
A Answered
C Completed
C Comment/Recommendation
R. Direct Reply w/Copy
B. - Non-Special Referral
S Suspended
D Draft Response
S. For Signature
F Furnish Fact Sheet
X Interim Reply
to be used as Enclosure
FOR OUTGOING CORRESPONDENCE:
Type of Response = Initials of Signer
Code = "A"
Completion Date = Date of Outgoing
Comments:
Keep this worksheet attached to the original incoming letter.
Send all routing updates to Central Reference (Room 75, OEOB).
Always return completed correspondence record to Central Files.
Refer questions about the correspondence tracking system to Central Reference, ext. 2590.
5/81