Guidebook for Through-the-Fence Operations (2014)

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20 ACRP Report 114: Guidebook for Through-The-Fence Operations CHAPTER TWO AIRPORT SPONSOR OBLIGATIONS 2.1 Introduction 2.2 Federal Statutes 2.3 Airport Sponsor Assurances 2.4 FAA Policies and Guidance 2.5 State Statutes, Assurances, Policies, and Guidance 2.6 Wrap-Up 2.1 INTRODUCTION To be eligible for federal or state funding, airport sponsors of federally obligated airports must maintain compliance with numerous obligations including statutes, regulations, assurances, executive orders, policies, and guidance. This is one of the ways federal and state agencies regulate the planning, development, operation, and management of airports and ensure that the safety, utility, and efficiency of airports are being maintained for the benefit of the public. As discussed in Chapter 1: Introduction, this guidebook is designed to help airport management and policymakers of federally obligated airports assess, structure, and manage TTF operations. If an airport was not conveyed to an airport sponsor as federal surplus property; an airport sponsor has not received AIP funds; and/or an airport sponsor is no longer required to maintain compliance with certain federal obligations due to foregoing AIP funds for a specific period of time, then this chapter and other portions of this guidebook relating specifically to compliance may not apply. It is important to note, however, if an airport has received AIP funds, the obligations associated with exclusive rights, revenue use, and civil rights continue as long as an airport is an airport. While this chapter addresses the requirements for complying with obligations related to TTF operations, the approaches discussed herein are consistent with best practices and provided within the context of (1) contributing to the planning, development, operation, and management of an airport, (2) ensuring the safety, utility, and efficiency of the airport for the benefit of the public and (3) assisting with assessing, structuring, and managing TTF operations. It is significant to note, that if an airport sponsor of a federally obligated airport is found non-compliant with its federal or state obligations, eligibility for future grant funds may be suspended and/or payment funds for open grants may be withheld. This could create significant ramifications on the airport sponsor and airport. Who has the authority to regulate TTF Operations? The FAA wants to ensure that airport sponsors are maintaining compliance with federal obligations to protect the public’s investment in airports. In addition to protecting the public’s investment in airports, state regulators may or may not support TTF operations (depending on the situation and/or circumstances) and may or may not desire more autonomy in regulating TTF activities. Airport sponsors may believe that local control of TTF operations is most appropriate as federal statutes, assurances, policies, and/or guidance (or a one-size-fits-all approach) may not address the uniqueness of each airport. Conversely, there are SAOs and airport sponsors who would rather point to a federal statute, assurance, policy, and/or guidance that specifically restricts or prohibits TTF operations. James Coyne, Former President of the National Air Transportation Association, stated, “If we want to have a national system of public use airports then we need a national system of rules and regulations to promote, preserve, and protect them.”

ACRP Report 114: Guidebook for Through-The-Fence Operations 21 2.2 FEDERAL STATUTES The publication of FAA Order 5190.6B, Airport Compliance Manual (Order 5190.6B) and FAA’s Draft Compliance Guidance Letter 2009-1, TTF and On-Airport Residential Access to Federally Obligated Airports, which prohibited all new residential TTF activities at federally obligated airports, spurred a national discussion on TTF operations (in general) and residential TTF activities (in particular). Numerous interested parties including TTF entities, airport sponsors, aviation industry associations, SAOs, and federal and state legislators and regulators joined the discussion. Ultimately, through the passage of federal legislation, the FAA changed policy and guidance on residential TTF activities (discussed in this chapter). In Figure 2-1, the FAA and congressional actions that eventually led to the passage of Section 136, Agreements Granting TTF Access to General Aviation Airports, of the FAA Modernization and Reform Act of 2012 (Section 136) and revision of the FAA’s policy and guidance on residential TTF activities are summarized. Figure 2-1: FAA and Congressional Actions

22 ACRP Report 114: Guidebook for Through-The-Fence Operations Section 136 states: “… a sponsor of a general aviation airport [airport sponsor] shall not be considered to be in violation of this subtitle, or to be in violation of a grant assurance [Airport Sponsor Assurances] made under this section or under any other provisions of law as a condition for the receipt of Federal financial assistance for airport development, solely because the sponsor enters into an agreement that grants to a person that owns residential real property adjacent to or near the airport access to the airfield of the airport for the following: (A) Aircraft of the person (B) Aircraft authorized by the person.” A TTF agreement “… between an airport sponsor and a property owner (or an association representing such property owner) shall be a written agreement that prescribes the rights, responsibilities, charges, duration, and other terms the airport sponsor determines are necessary to establish and manage the airport sponsor’s relationship with the property owner.” A TTF agreement “… between an airport sponsor and a property owner (or an association representing such property owner) shall require the property owner, at minimum: • to pay airport access charges that, as determined by the airport sponsor, are comparable to those charged to tenants and operators on-airport making similar use of the airport; • to bear the cost of building and maintaining the infrastructure that, as determined by the airport sponsor, is necessary to provide aircraft located on the property adjacent to or near the airport access to the airfield of the airport; • to maintain the property for residential, non-commercial use for the duration of the agreement; • to prohibit access to the airport from other properties through the property of the property owner; and • to prohibit any aircraft refueling from occurring on the property.’’ The laws established by this statute “… shall apply to an agreement between an airport sponsor and a property owner (or an association representing such property owner) entered into before, on, or after the date of enactment of this Act [statute].” In essence, Section 136 allows an airport sponsor of a federally obligated airport (excluding airport sponsors of commercial service airports or private, public use airports) to permit residential TTF activities without being in violation of the airport sponsor’s obligations (overall) and the assurances (more specifically). However, the TTF agreement used by the airport sponsor must contain the specific terms and conditions stipulated in the federal statute. It is important to note that Section 136 does not require airport sponsors to permit residential TTF activities – airport sponsors can prohibit TTF operations and any type of TTF activity without being in violation of the airport sponsor’s obligations. More recently, the FAA has amended Assurance 5 (Preserving Rights and Powers) and Assurance 29 (Airport Layout Plans) and revised and finalized policy and guidance (discussed further in this chapter) to meet the requirements of Section 136. While this section focused on a single federal statute specifically related to TTF operations (i.e., Section 136) there are numerous federal statutes having requirements that may be relevant to TTF operations that need to be understood by airport management and policymakers of federally obligated airports. These federal statutes and the associated obligations are discussed in detail in Order 5190.6B.

ACRP Report 114: Guidebook for Through-The-Fence Operations 23 2.3 AIRPORT SPONSOR ASSURANCES APPLICABILITY AND DURATION Airport sponsors who have received public funding (i.e., AIP funding) and/or surplus and/or non- surplus federal property are obligated to maintain compliance with federal obligations – known, collectively, as the Airport Sponsor Assurances (or assurances). In addition to the obligations promulgated through federal statutes, the FAA has statutory authority to prescribe additional obligations for airport sponsors (see Title 49 USC § 47107(g)). As of the publication of this guidebook, there were 39 assurances (see Appendix A: Airport Sponsor Assurances) that apply to airport planning, development, and noise compatibility projects. An airport sponsor of a federally obligated airport is required to comply with the assurances for the useful life of the facilities developed, equipment acquired, or project items installed in the facilities, not to exceed 20 years. However, an airport sponsor must remain compliant with Assurance 23 (Exclusive Rights), Assurance 25 (Airport Revenues), and Assurance 30 (Civil Rights) as long as the federally obligated airport remains an airport. Further, federal obligations extend into perpetuity for land acquired using AIP funds. ASSURANCES APPLICABLE TO TTF OP ERATIONS The FAA has stated that TTF operations may impede an airport sponsor’s ability to comply with the assurances. The FAA has articulated this position on TTF operations in Order 5190.6B, Sections 12.7, 20.3, and 20.4 (discussed in this chapter); by the policy and guidance letter regarding access to airports from residential property (discussed in this chapter); and in several FAA decisions pursuant to 14 CFR Part 16 (discussed in Chapter 3: Legal Interests and Principles). Airport sponsors with existing or proposed TTF operations or considering future TTF operations should take all steps necessary to comply with the assurances including, but not limited to, each of the assurances discussed in this section. Airport sponsors also need to recognize that the presence of TTF operations can directly impact the sponsor’s ability to comply with the assurances. However, it is significant to note that the FAA has stated clearly that a TTF entity is not entitled to certain protections provided by the assurances to on-airport operators, tenants, and users. ASSURANCE 5 (PRESERVING RIGHTS AND POWERS) Assurance 5 stipulates that an airport sponsor “will not take or permit any action which would operate to deprive it of any of the rights and powers necessary to perform any or all of the terms, conditions, and assurances in this grant agreement without the written approval of the Secretary, and will act promptly to acquire, extinguish or modify any outstanding rights or claims of right of others which would interfere with such performance by the sponsor.” Assurance 5 was amended by the FAA on April 10, 2012 to meet the requirements of Section 136. Assurance 5(g) states that: “Sponsors of commercial service airports will not permit or enter into any arrangement that results in permission for the owner or tenant of a property used as a residence, or zoned for residential use, to taxi an aircraft between that property and any location on airport.” “Sponsors of general aviation airports entering into any arrangement that results in permission for the owner of residential real property adjacent to or near the airport must comply with the requirements of Sec. 136 of Public Law 112-95 and the sponsor assurances.”

24 Therefore, regardless of the type of TTF activity, it is important that airport sponsors develop, implement, and enforce the necessary ordinances, codes, policies, standards, rules, and regulations (discussed in Chapter 4: Airport Planning, Management, and Compliance Tools) to help preserve the airport sponsor’s rights and powers. ASSURANCE 19 (OPERATION AND MAINTENANCE) Assurance 19 stipulates that a sponsor must ensure that “the airport and all facilities which are necessary to serve the aeronautical users of the airport, other than facilities owned or controlled by the United States, shall be operated at all times in a safe and serviceable condition…” Most likely, TTF operations will impact airport operations and maintenance in some fashion. benefit of the public in a way that will not adversely affect the safety, utility, or efficiency of the airport in order to remain compliant with this assurance. ASSURANCE 20 (HAZARD REMOVAL AND MITIGATION) Assurance 20 stipulates that an airport sponsor must assure that the “terminal airspace as is required to protect instrument and visual operations to the airport (including established minimum flight altitudes) will be adequately cleared and protected” in compliance with 14 CFR Part 77 – Safe, Efficient Use, and Preservation of the Navigable Airspace (Part 77). This includes potential hazards that may (or could) exist on TTF property. Therefore, it is critical that airport sponsors protect the airport’s airspace on and off the airport. A number of mechanisms such as ordinances, zoning codes, building codes, and the TTF agreement (discussed further in Chapter 4: Airport Planning, Management, and Compliance Tools) can be utilized to achieve this objective. ASSURANCE 21 (COMPATIBLE LAND USE) Assurance 21 stipulates that airport sponsors are required to “take appropriate action, to the extent reasonable, including the adoption of zoning laws, to restrict the use of land adjacent to… the airport to activities and purposes compatible with normal airport operations...” In Chapter 4: Airport Planning, Management, and Compliance Tools, several tools that airport sponsors can use to maintain compliance with Assurance 21, including airport sponsor ordinances, zoning codes, and building codes, are discussed. ASSURANCE 22 (ECONOMIC NONDISCRIMINATION) Assurance 22 stipulates that an airport sponsor must “make the airport available as an airport for public use on reasonable terms without unjust discrimination to all types, kinds, and classes of aeronautical activities, including commercial aeronautical activities offering services to the public at the airport.” In essence, an airport sponsor must maintain a rents and fees schedule that does not unjustly discriminate against on-airport entities that are similarly situated to a TTF entity. However, it is important to note that TTF entities are not protected by Assurance 22 or any other assurance for that matter. Therefore, the FAA will reject any complaints filed by a TTF entity under 14 CFR Part 13 (Part 13) or 14 CFR Part 16 (Part 16) alleging unreasonableness or unjust discrimination in rents or fees associated with TTF operations. ACRP Report 114: Guidebook for Through-The-Fence Operations Therefore, it is imperative that airport sponsors plan, develop, operate, and manage the airport for the

ACRP Report 114: Guidebook for Through-The-Fence Operations 25 While the FAA has historically rejected any complaints filed by a TTF entity, the FAA has heard complaints from TTF entities that have a physical presence on a federally obligated airport (i.e., have leased space on-airport) as well. Further, complaints can be filed by on-airport operators, tenants, and users relating to the way airport sponsors structure and manage TTF operations. ASSURANCE 23 (EXCLUSIVE RIGHTS) Assurance 23 stipulates that an airport sponsor must not permit an “exclusive right for the use of the airport by any person providing, or intending to provide aeronautical services to the public.” However, as with Assurance 22, TTF entities are not protected by Assurance 23. As such, the FAA will reject any complaints filed by a TTF entity under Part 13 or Part 16 alleging exclusive rights violations. While the FAA has historically rejected any complaints filed by a TTF entity, the FAA has heard complaints from TTF entities that have a physical presence on a federally obligated airport as well. Further, complaints can be filed by on-airport operators, tenants, and users relating to the way airport sponsors structure and manage TTF operations. ASSURANCE 24 (FEE AND RENTAL STRUCTURE) Assurance 24 stipulates that an airport sponsor shall “maintain a fee and rental structure for the facilities and services at the airport which will make the airport as self-sustaining as possible under the circumstances existing at the particular airport, taking into account such factors as the volume of traffic and economy of collection.” Therefore, airport sponsors are obligated to establish rents (when appropriate) and/or fees for TTF operations that make the airport as self-sustaining as possible. This is discussed further in Chapter 5: Assessing TTF Operations. ASSURANCE 29 (AIRPORT LAYOUT PLAN) Assurance 29 requires an airport sponsor to “keep up to date at all times an airport layout plan of the airport showing: boundaries of the airport and all proposed additions thereto, together with the boundaries of all offsite areas owned or controlled by the sponsor for airport purposes and proposed additions thereto; the location and nature of all existing and proposed airport facilities and structures (such as runways, taxiways, aprons, terminal buildings, hangars and roads), including all proposed extensions and reductions of existing airport facilities; and the location of all existing and proposed non-aviation areas and of all existing improvements thereon…” Further, the airport sponsor “will not make or permit any changes or alterations in the airport or any of its facilities which are not in conformity with the airport layout plan as approved by the Secretary and which might, in the opinion of the Secretary, adversely affect the safety, utility or efficiency of the airport.” Assurance 29 was amended by the FAA to meet the requirements of Section 136. Assurance 29(a) states that the airport layout plan (ALP) plan must show “… all proposed and existing access points used to taxi aircraft across the airport’s property boundary.” The FAA has indicated that temporary designation of TTF access points on the ALP, through a pen and ink change, is acceptable until the ALP is formally updated. If an ALP is not up-to- date at the time an airport sponsor submits a request for AIP funds, the FAA may deny and/or withhold funds until the ALP is compliant with Assurance 29. Therefore, airport sponsors must keep the ALP up-to-date including depicting any changes to the airport’s boundaries, infrastructure, improvements, land uses, and TTF access points (if any).

26 ACRP Report 114: Guidebook for Through-The-Fence Operations 2.4 FAA POLICIES AND GUIDANCE FAA policies are designed to meet the requirements of federal statutes. FAA guidance provides direction to FAA personnel for meeting the requirements of federal obligations. While FAA guidance is normally provided for the benefit of FAA personnel, airport management and policymakers can benefit as well by gaining a thorough understanding of an airport sponsor’s federal obligations. The following section provides an overview of the significant provisions of FAA policy and guidance relating to TTF operations. This overview is not intended to serve as a substitute for reviewing each of the specific FAA policy and guidance documents (which can be found at www.faa.gov) as such a review would provide the opportunity to gain a full understanding of FAA policy and guidance relating to TTF operations. The FAA’s policy and guidance on TTF operations are not new. In fact, over the past 20 years there have been a number of FAA policy and guidance documents that influence the way TTF operations should be assessed, structured, and managed by airport management and policymakers. After the passage of the FAA Modernization and Reform Act of 2012, the FAA revised and updated the federal obligations associated with residential TTF activities, as summarized in Figure 2-2. Figure 2-2: Federal Obligations on Residential TTF Activities After an extended review of the FAA’s draft policy and guidance, congressional legislation was drafted, a congressional hearing was held, a statute was enacted, and the FAA prepared the additional policy and guidance which exists today.

ACRP Report 114: Guidebook for Through-The-Fence Operations 27 FAA POLICY AND GUIDANCE POLICY REGARDING ACCESS TO AIRPORTS FROM RESIDENTIAL PROPERTY The FAA published the final FAA Policy Regarding Access to Airports from Residential Property in the Federal Register (Vol. 78, No. 136, Page 42419) on July 16, 2013. This FAA policy, which is based on federal statutes, addresses TTF access to a federally obligated airport from adjacent property used for residential TTF activities. This is the only FAA policy focused on residential TTF activities. While it is important to note that the FAA is unable to directly apply the provisions of Section 136 to other types of TTF activities, the FAA is authorized to enforce all federal obligations pertaining to the planning, development, operation, and management of a federally obligated airport. Further, this policy provides valuable insight into how the FAA may view other TTF operations, TTF activities, and TTF access at federally obligated airports. The following summary of the residential TTF policy highlights the FAA’s primary positions on TTF operations, and although the policy applies only to residential TTF activities, icons are used to indicate potential application to other types of TTF activities. A number of the policy’s provisions are discussed in more detail in Chapter 5: Assessing TTF Operations, Chapter 6: Structuring TTF Operations, and Chapter 7: Managing TTF Operations. On-airport development used exclusively for the facilitation of TTF operations (i.e., infrastructure and/or improvements) is considered private-use (i.e., non-public use) and is ineligible for AIP funding. This is consistent with the restrictions conveyed in FAA Order 5100.38C, Airport Improvement Program Handbook and the definition of “airport development” utilized in Title 49, U.S.C. 47102(3). The FAA has not defined “adjacent to” or “near the airport.” These terms have been used to describe TTF property in Section 136. The FAA provides latitude to the airport sponsor to determine what constitutes TTF property. However, residential TTF property is prohibited from being utilized by other property owners to gain access to the airport. This does not prohibit the use of a single or multiple TTF access points by multiple TTF entities. The intent of the prohibition is to limit TTF access to only those entities who have a TTF agreement with the airport sponsor. TTF entities, not permitted to engage in commercial aeronautical TTF activities, are prohibited from allowing third party entities to offer commercial aeronautical services from the TTF property. While the FAA does not prohibit an airport sponsor from permitting commercial aeronautical TTF activities, airport sponsors are discouraged from entering into TTF agreements associated with commercial aeronautical TTF activities (including aircraft storage) as such activities compete with and could have an adverse impact on-airport FBOs and/or SASOs. The FAA encourages plans to relocate commercial aeronautical TTF activities onto the airport.

28 The assurances have been interpreted to convey certain rights to aeronautical users; however, this is not the primary purpose of the assurances. According to the FAA, the assurances are designed to ensure that the public’s investment in federally obligated airports will be fully utilized to benefit the civil aviation system. When negotiating a TTF agreement with an entity wishing to protect its property rights, the FAA expects that an airport sponsor will carefully weigh its federal obligations against the desires of the private entity and assess, structure, and manage TTF operations accordingly. Airport sponsors establishing TTF agreements for residential TTF activities must provide evidence of compliance with federal obligations before establishing a TTF access point. This does not limit the ability of an airport sponsor to enter into a TTF agreement before obtaining the FAA’s approval or establishing a TTF access point. Evidence should be provided for all other types of TTF activities as well. Commercial service airports that do not have existing residential TTF activities are prohibited from permitting new residential TTF activities. TTF entities associated with residential TTF activities are prohibited from engaging in commercial aircraft fueling activities on the TTF property. However this prohibition does not prohibit an airport sponsor from allowing non-commercial self-fueling activities by the TTF entity in compliance with relevant, reasonable, and appropriate ordinances, policies, standards, rules, and regulations. TTF entities should bear the cost of planning, developing, and maintaining the infrastructure and improvements associated with TTF access points, as deemed necessary by the airport sponsor to provide access to the airport’s airside infrastructure. Airport sponsors should require TTF entities to grant the airport sponsor a perpetual avigation easement for overflight including takeoffs and landings at the airport. Airport sponsors that have established a policy to permit TTF operations should make best efforts to restrict future use of TTF properties to compatible land uses (e.g., aviation-related TTF activities and not residential TTF activities) through land use planning, zoning, and/or mandatory deed restrictions. Airport sponsors should develop a process for educating TTF entities and require that TTF entities educate all users of the TTF property about the rights, responsibilities, and obligations associated with the TTF agreement. ACRP Report 114: Guidebook for Through-The-Fence Operations

ACRP Report 114: Guidebook for Through-The-Fence Operations 29 ORDER 5190.6B – AIRPORT COMPLIANCE MANUAL (GUIDANCE) The FAA published Order 5190.6B on September 30, 2009. While Order 5190.6B provides guidance for complying with federal obligations, it also provides valuable insight into how the FAA views TTF operations at federally obligated airports. As such, the following guidance from Sections 12.7, 20.3, and 20.4 of Order 5190.6B is relevant for assessing, structuring, and managing all types of TTF activities. It is significant to note that Order 5190.6B also includes guidance on residential TTF activities. However, the guidance provided has been superseded by Compliance Guidance Letter 2013-1: FAA Review of Existing and Proposed Residential TTF Access Arrangements, which is discussed in the following section. ASSESSING TTF operations can place an “encumbrance” on the airport property and reduce the airport sponsor’s ability to meet federal obligations. TTF operations may be inconsistent with TSA security requirements. The federal obligation to make an airport available for the use and benefit of the public does not impose any requirement on the airport sponsor to permit TTF operations. Airport sponsors should seek FAA review of all TTF operations to ensure compliance with federal obligations. As a general principle, the FAA does not support TTF operations. As a general principle, the FAA does not support commercial aeronautical TTF operations when a TTF entity will be competing with on-airport FBOs and/or SASOs. Exceptions may be considered by the FAA when the TTF agreement and the airport sponsor’s policies, standards, rules, and regulations for the airport ensure that the airport sponsor will receive equitable compensation through rents (when applicable) and fees for permitting TTF access to the airport’s airside infrastructure and engaging in commercial aeronautical TTF activities. The FAA makes it clear that the agency will not approve the release of airport land for TTF operations if the land can still be used for aeronautical purposes. Therefore, if a land release is related to residential, commercial aeronautical, non-commercial aeronautical, or governmental/military TTF activities, the FAA will deny the request.

30 STRUCTURING AND MANAGING TTF agreements should require that TTF entities meet all of the applicable federal obligations the airport sponsor is required to meet. Airport sponsors are entitled to seek recovery of airport sponsor (not AIP) capital and operating expenditures associated with use of the airport’s airside infrastructure. Therefore, airport sponsors should assess rents (when applicable) and fees on TTF entities for permitting TTF access to airside infrastructure to equalize any advantage that may be created between on-airport and TTF entities. It is important to note that airport sponsors may assess any level of fees deemed appropriate for TTF operations as long as the fees are not less than the fees for on-airport entities. Airport sponsors may need to incorporate special safety controls and procedures relating to TTF access to ensure that the airport’s safety, utility, or efficiency will not be adversely affected. The airport sponsor must retain the rights to intervene and take action to address and resolve all safety, utility, or efficiency issues relating to TTF operations. Significant guidance is provided in Order 5190.6B relating to TTF agreements. This guidance will be discussed in Chapter 6: Structuring TTF Operations. The FAA’s guidance is provided to help airport sponsors maintain compliance with federal obligations as discussed in this chapter and Chapter 5: Assessing TTF Operations. COMPLIANCE GUIDANCE LETTER 2013-1 ACRP Report 114: Guidebook for Through-The-Fence Operations In conjunction with the final FAA Policy Regarding Access to Airports from Residential Property, which was published in the Federal Register (Vol. 78, No. 136) on July 16, 2013, the FAA published Compliance Guidance Letter 2013-1: FAA Review of Existing and Proposed Residential TTF Access Arrangements (CGL). This CGL provides guidance to FAA personnel for reviewing existing and proposed residential TTF agreements. As with the FAA policy, this CGL is focused on residential TTF activities. This CGL also provides valuable insight into how the FAA may review TTF operations and agreements for other types of TTF activities. In this CGL, the FAA indicates that a TTF operation has the potential to adversely affect the rights and powers of the airport sponsor and that it has the potential to impact the safety, utility, and efficiency of an airport as well. Therefore, the FAA can request certain information, data, and/or documentation during its review of TTF operations to assure compliance with federal obligations. This information, data, and/or documentation is discussed in Chapter 5: Assessing TTF Operations.

ACRP Report 114: Guidebook for Through-The-Fence Operations 31 2.5 STATE STATUTES, ASSURANCES, POLICIES, AND GUIDANCE Due to the number of states, each and every state statute, assurance, policy, or guidance pertaining to TTF operations has not been identified in this guidebook. It is significant to note, however, that the research conducted for this guidebook revealed that very few states have statutes, assurances, policies, or guidance pertaining specifically to TTF operations. One of the states that has addressed TTF operations is the State of Oregon. Two Oregon State Senate Bills [that were codified as Oregon Revised Statutes (ORS) 836.640 and 836.642] were passed in 2005 and revised in 2009 to encourage the appropriate development of TTF operations. ORS 836.640 provides the authority to the Oregon Department of Aviation (ODA) to establish a TTF pilot program at up to six rural airports “to encourage development of TTF operations designed to promote economic development by creating family wage jobs, by increasing local tax bases and by increasing financial support for rural airports.” It is significant to note that this state statute is limited to TTF operations at rural airports in Oregon. Also, the State of Oregon, through the ODA, is the owner and operator of 28 airports located throughout the state, including Independence State Airport and Aurora State Airport, both of which have TTF operations. The State of Oregon and ODA have supported the development of residential airparks and TTF operations at several rural airports in Oregon. While the FAA has had concerns regarding the safety of residential TTF activities, the ODA has worked closely with the FAA to ensure that TTF operations are being conducted safely, that TTF access fees are being charged, and that the state and federal obligations are being met at each airport. 2.6 WRAP-UP This chapter discussed how federal and state obligations help ensure that federally obligated airports are planned, developed, operated, and managed for the benefit of the public in a way that will not adversely affect the safety, utility, or efficiency of an airport. Additionally, the key obligations created by certain federal statutes, assurances, policies, and guidance relating to TTF operations (in general) and residential TTF activities (in particular) were identified and summarized including: Federal Statute – Section 136 of the FAA Modernization and Reform Act of 2012 Airport Sponsor Assurances – 39 assurances as of April 2012 FAA Policy – Policy Regarding Access to Airports from Residential Property FAA Guidance – Order 5190.6B, Airport Compliance Manual and Compliance Guidance Letter 2013-1: FAA Review of Existing and Proposed Residential TTF Access Arrangements The discussion of this information was included in this chapter to demonstrate to airport management and policymakers the importance and relevance of federal and state statutes, assurances, policies, and guidance pertaining specifically to assessing (discussed in Chapter 5: Assessing TTF Operations), structuring (discussed in Chapter 6: Structuring TTF Operations), and managing TTF operations (discussed in Chapter 7: Managing TTF Operations).