2120-AJ86 201110 The Regulatory Plan and the Unified Agenda of Federal Regulatory and Deregulatory Actions 2120 Federal Aviation Administration FAA 2100 Department of Transportation DOT Safety Management Systems for Certificate Holders This rulemaking would require each certificate holder operating under 14 CFR part 121 to develop and implement a Safety Management System (SMS) to improve the safety of its aviation related activities. A SMS is a comprehensive, process-oriented approach to managing safety throughout an organization. An SMS includes an organization-wide safety policy; formal methods for identifying hazards, controlling, and continually assessing risk and safety performance; and promotion of a safety culture. SMS stresses not only compliance with technical standards but increased emphasis on the overall safety performance of the organization. Other Significant Previously Published in The Unified Agenda Final Rule Stage No No Section 610 Review 14 CFR 121 49 USC 106(g) 49 USC 40113 49 USC 40119 49 USC 41706 49 USC 44101 49 USC 44701 49 USC 44702 49 USC 44705 49 USC 44709 to 44711 49 USC 44713 49 USC 44716 49 USC 44717 49 USC 44722 49 USC 46105 Statutory Final 07/30/2012 Final Rule Statutory NPRM 10/29/2010 Congress passed Public Law 111-216 that instructs FAA to conduct a rulemaking to require all part 121 air carriers to implement a Safety Management System (SMS). This act further states that FAA shall consider at a minimum each of the following as part of the SMS rulemaking: (1) An Aviation Safety Action Program (ASAP); (2) a Flight Operations Quality Assurance Program (FOQA); (3) a Line Operations Safety Audit (LOSA); and (4) an Advance Qualifications Program. Yes Passage of the Airline Safety and FAA Extension Act of 2010 (Pub. L. 111-216), section 215 "Safety Management System" directs the Administrator to conduct a rulemaking to require all part 121 air carriers to implement a safety management system (SMS). The Act requires an NPRM within 90 days and a final rule not later than 24 months from enactment of Public Law 111-216. Airline Safety and Federal Aviation Administration Extension Act of 2010 (Pub. L. 111-216), section 215, signed by President on August 1, 2010. The Rulemaking Team considered including parts 135 (air carriers) and 145 (repair stations) to the rule but did not because of time restraints. Costs and benefits of this final rule are still in development. An initial cost estimate for SMS implementation over 3 years is $270,000 (small carrier), $373,950 (medium carrier), and $1,135,500 (large carrier) with total cost for 90 part 121 carriers of $52,276,200. However, given the flexibility of SMS, and expected safety improvements, benefits are expected to exceed costs. Commercial air carrier accident rate in the U.S. has remained relatively constant over the past 10 years. However, the recent trend of hazards include many that could have been mitigated or eliminated had a structured, organization-wide approach to managing air carriers' operations been in place. SMS is a comprehensive, process-oriented approach to managing safety throughout an organization, and stresses not only compliance with technical standards but increased emphasis on the overall safety performance of the organization. The potential reduction of risks would be averted causalities, aircraft damage, and accident investigation costs by identifying safety issues and spotting trends before they result in a near-miss, incident, or accident. NPRM 11/05/2010 75 FR 68224 NPRM Comment Period Extended 01/31/2011 76 FR 5296 NPRM Comment Period End 02/03/2011 Extended NPRM Comment Period End 03/07/2011 Final Rule 07/00/2012 Yes Businesses Federal No www.regulations.gov www.regulations.gov Yes No 2120-AJ15 Split from Scott VanBuren 2120 Federal Aviation Administration FAA 202-494-8417 scott.vanburen@faa.gov 800 Independence Ave., SW, Washington DC 20591