12/28/16

 

8900.1 CHG 504

VOLUME 2  Air Operator AND AIR AGENCY Certification and ApplicATION PROCESS

Indicates new/changed information.

CHAPTER 11  CERTIFICATION OF A PART 145 REPAIR STATION

Section 12  Safety Assurance System: Initial, Renewal, or Amendment of a Part 145 Repair Station Located Outside the Territories of the United States and Under an Agreement

2-1371    REPORTING SYSTEM(S). Use Safety Assurance System (SAS) automation and the associated Data Collection Tools (DCT).

A.    Objective. This section provides guidance for the International Field Office (IFO) aviation safety inspectors (ASI) for Federal Aviation Administration (FAA) repair stations located outside the territories of the United States (U.S.) under Maintenance Implementation Procedures (MIP) of a Bilateral Aviation Safety Agreement (BASA). It describes the procedures for certificating, renewing, and amending a Title 14 of the Code of Federal Regulations (14 CFR) part 145 certificated repair station (CRS). The FAA may find the applicant meets part 145, § 145.53(b) and issue a certificate under MIP. ASIs must use this section in conjunction with the applicable Maintenance Agreement Guidance (MAG) of that country. However, the MAG supersedes this section if conflicts exist between the two documents.

B.    BASA Listing. The International Programs and Policy Division (AFS-50), Aircraft Maintenance Division (AFS–300), and Aircraft Certification Service, International Division (AIR-400), list the status of countries on the FAA website at: http://www.faa.gov/aircraft/air_cert/international/bilateral_agreements/baa_basa_listing/.

NOTE:  Any maintenance facility that was certificated by the FAA prior to the applicable MIP and does not hold an Aviation Authority (AA) part 145 certificate with equivalent ratings to meet the MIP requirements, may continue to exercise the privileges of its part 145 certificate with the understanding that the FAA will continue independent regulatory oversight, certificate renewal, and continued monitoring in lieu of these procedures. The International Field Office Management Branch (AFS-54) and AFS-300 must be informed of the existing FAA facilities that fall outside of the MIP requirements. Once the MIP is in effect, all initial part 145 certifications must follow the MIP procedures.

2-1372    BACKGROUND.

A.    FAA-Certificated Repair Stations. The FAA certificates repair stations located outside the U.S. that operate under the provisions of part 145. The certification of these repair stations responds to the need to perform maintenance, alteration, or modification of aeronautical products subject to U.S. airworthiness regulations in foreign countries. Maintaining aircraft and components outside the U.S. has continued to expand with the corresponding increase in international air travel and rise in the number of foreign-manufactured aeronautical products used by U.S. operators.

B.    Foreign Certification. Similarly, foreign countries have also experienced an increase in the use of U.S. facilities to perform maintenance, alteration, or modification of aeronautical products subject to foreign national requirements. AAs in countries where certificated maintenance facilities are located have also developed their own extensive inspection, surveillance, evaluation, and certification programs. The AAs have developed these programs to ensure that repair facilities accomplish maintenance, preventive maintenance, and modification/alteration of aeronautical products subject to their airworthiness regulations according to specific national standards.

C.    FAA and AA Surveillance. In the absence of a BASA and corresponding MIP, a repair facility in a foreign country that performs work on aeronautical products subject to the airworthiness regulations of that country and on aeronautical products subject to the airworthiness regulations of the U.S. may be required to be inspected, surveilled, and evaluated by the FAA and the AA. Therefore, the repair facility must conform to two or more sets of standards—the FAA’s and the AA’s.

D.    MIP Provisions. The conclusion of an MIP provides for:

1)    FAA acceptance of AA recommendations for certification and renewal, and documentation of surveillance findings, when the FAA issues certificates to repair stations based outside of the U.S.
2)    AA acceptance of FAA recommendations for certification and renewal, and documentation of surveillance findings, when the AA issues certificates to U.S.-based repair stations.
3)    Either of the above results in increased efficiency by reducing or eliminating duplicate surveillance, evaluation, and inspection of repair facilities conducted by the FAA and the AA. The FAA and the AA achieve program goals when they reduce or eliminate duplicate activities while maintaining equivalent levels of safety.

E.    MIPs’ Regulatory Basis. The FAA and the AA base MIPs on an evaluation of 14 CFR part 43 and 145 and foreign national regulations governing repair stations or Approved Maintenance Organizations (AMO). AFS-50 and AFS-300 follow FAA Order 8000.85, FAA Program for the Establishment of a MIP Under the Provisions of a BASA, for the development of a MIP. The MIP evaluation is designed to determine the areas where these regulations and requirements are harmonized or equivalent, or identify areas where they differ. The evaluation also determines the FAA’s and AA’s ability to carry out surveillance on each other’s behalf. The differences are explained in the MAG.

F.    MAG Provisions. The MAG is the procedural document authorized by the MIP which explains the special conditions requirements and defines the processes for each AA’s recommendations for certification, renewal, and acceptance of eligible repair stations and AMOs. Each MIP will have MAG procedures that are relevant for that particular country.

2-1373    PREREQUISITES AND COORDINATION REQUIREMENTS.

A.    Prerequisites:

·    Knowledge of part 43 and 145 requirements.

·    Completion of the Airworthiness Inspector Indoctrination course(s), or equivalent.

·    Previous experience with certification or surveillance of part 145 repair stations.

·    Completion of FAA Course 21058, Certification and Surveillance of Part 145 Stations, or equivalent.

·    Completion of Repair Station Branch (AFS-340) Web-based briefing on the applicable MAG for the country or equivalent.

·    FAA Course 27100190, Introduction to Safety Assurance System (SAS).

·    FAA Course 27100214, Data Collection Tool Fundamentals for SAS.

·    FAA Course 21000102, Safety Assurance System (SAS) for Inspectors and Field Office Management.

B.    Coordination. This task may require coordination with:

·    The applicant AMO.

·    The AA of the country in which the AMO is located.

·    AFS-300.

·    AFS-50.

·    AFS-54.

·    FAA Regional Coordinators (as applicable).

2-1374    REFERENCES, FORMS, AND JOB AIDS.

A.    References (current editions):

·    Title 14 CFR Parts 43 and 145.

·    Advisory Circular (AC) 145-10, Repair Station Training Program.

·    AC 187-1, Flight Standards Service Schedule of Charges Outside the United States.

·    FAA Order 8130.2, Airworthiness Certification of Products and Articles.

·    FAA Order 8130.21, Procedures for Completion and Use of the Authorized Release Certificate, FAA Form 8130-3, Airworthiness Approval Tag.

·    Volume 2, Chapter 11, Sections 1, 2, 3, 4, 5, and 13.

·    Volume 10, Safety Assurance System Policy and Procedures.

·    Volume 14, Chapter 1, Section 2, Flight Standards Service Compliance Action Decision Procedure.

·    The applicable MAG.

B.    Forms:

·    FAA Form 8000-4, Air Agency Certificate.

·    FAA Form 8000-4-1, Repair Station Operations Specifications (Web-based Operations Safety System (WebOPSS) or Automated Repair Station Operations Specifications (OpSpecs)).

·    FAA Form 8130-3, Authorized Release Certificate, Airworthiness Approval Tag.

·    FAA Form 8310-3, Application for Repair Station Certificate and/or Rating.

·    FAA Form 8400-6, Preapplication Statement of Intent.

·    AA approval certificate and documentation defining the AMO’s limitations or scope of work/approval.

·    FAA surveillance/inspection report, and AA recommendation for FAA certification/renewal/amendment.

·    MAG applicable forms.

C.    Job Aids. The applicable MAG includes job aids as appendices.

2-1375    FAA RESPONSIBILITIES/ACTIONS.

A.    The FAA Coordinator (AFS-54). The FAA Coordinator (AFS-54) will:

·    Serve as the primary liaison with the FAA National Coordinator (AFS-300) on matters regarding policy and policy interpretation for FAA-CRSs located outside the U.S.

·    Be the primary liaison for communication with AFS-300 and the AA with which the FAA has an Aviation Safety Agreement concerning matters involving terms of the applicable agreement.

·    Review Sampling Inspection System (SIS) candidates submitted by the FAA Coordinator (IFO) for risk-based justification and then provide a list of candidates to the FAA National Coordinator for concurrence.

·    Monitor the activities of FAA Coordinators (IFO) through document reviews and periodic audits to ensure compliance with established standards.

·    Provide guidance and assistance to FAA Coordinators located in the IFOs.

·    Make suggested recommendations for changes to the MAG/MIP to the FAA National Coordinator.

·    Participate and/or assist AFS-300 as requested in training/workshops to the AAs and industry.

B.    The FAA Coordinator (IFO). The FAA Coordinator (IFO) will:

·    Be assigned as an IFO–FAA Coordinator for specific countries.

·    Be the primary focal point for communication with AA representatives in countries with which the FAA has an Aviation Safety Agreement.

·    Ensure the necessary training on the BASA/MIP procedures and MAG requirements is complete.

·    Establish a line of communication with the appropriate AA representative to ensure any issues/concerns regarding BASA/MIP are resolved.

·    Monitor the FAA certificate expiration dates.

·    Verify that the AA ratings align with the FAA ratings per the MAG.

·    Ensure any additional fixed locations and line maintenance locations meet the MAG authorized locations.

·    Maintain repair station files and ensure the current safety system is utilized for risk assessment.

·    Identify information to be shared with the AA.

·    Ensure all outstanding findings have a corrective action plan agreed upon by the FAA and the AA.

·    Conduct the analysis and determination for FAA sampling inspections for FAA facilities under the MIP agreement using the MAG procedures.

·    Monitor renewal package discrepancies from AAs/AMOs.

2-1376    CERTIFICATION PROCESS—GENERAL INFORMATION.

A.    General. An AMO based in a country in which has a MIP with the U.S. can apply for a part 145 certificate under a MIP. The applicable MAG, section C, describes the certification procedures for the specific country.

B.    FAA, AA, and AMO Responsibilities. Refer to the MAG, section C, for the process, procedures, and responsibilities.

C.    Fees.

1)    The IFO will notify the AMO, in writing, of the fees for processing the part 145 certificate. AC 187-1 establishes these fees. The AMO will send this fee in accordance with the IFO’s prescribed procedures.
2)    The IFO will issue a certificate and OpSpecs only after it receives payment of the prescribed fee. The IFO may grant additional time for the payment of fees.

NOTE:  Fees under the Agreement are normally limited to administrative fees. The FAA SIS of repair stations or AAs is not a category of fees in 14 CFR part 187 and should not be included.

D.    Geographic Authorizations. A geographic authorization may be issued to a repair station outside the U.S. to maintain U.S.-registered aircraft outside the country where the repair station certificate is held. Geographic authorizations may only be issued to a repair station rated for an entire aircraft, such as a Boeing 757. On initial certification, the FAA normally does not consider issuing geographic authorization. The inspector must review the applicable MAG to determine if geographic authorization is agreed upon. Coordinate surveillance of a geographic authorization with the AA to ensure the location is authorized and under the AA surveillance. Coordinate with the U.S. air carrier certificate management office (CMO) for proper training requirements and any objections to the request.

E.    Hazardous Materials (Hazmat). If the repair station and/or its contractors and subcontractors are performing a job function concerning transportation of dangerous goods (hazmat), the repair station must train its employees to International Civil Aviation Organization (ICAO) hazmat standards.

NOTE:  The repair station shall certify in writing that the appropriate employees have been trained as defined in § 145.53(d).

F.    Line Stations. The term “line stations” is a common term among AAs, while the FAA uses the term “line maintenance authorization” in relation to part 145. This is to advise the ASI that these terms are synonymous when applied under the terms of a MIP. The FAA certificate must only cover additional line stations which are under the surveillance of an AA. See the applicable country MAG requirements and procedures.

G.    Perceived Need. Section 145.51(c)(1) requires that the applicant show the necessity for a part 145 Air Agency Certificate and rating(s). The applicant must have a current or future operational or economic need (a perceived need) for the maintenance, preventative maintenance, or alteration of aeronautical articles subject to FAA regulatory oversight. The applicant can express this perceived need by including a statement from an operator of U.S.-registered aircraft; a foreign-registered aircraft operated under the provisions of 14 CFR part 121 or part 135; a company that maintains or alters articles to be installed on U.S-registered aircraft, indicating that the repair station’s services are required; or documentation from a leasing company or a supplier/distributor showing that the applicant’s services are necessary, provided the applicant can confirm in writing that the leasing company or supplier/distributor is doing business with operators of U.S.-registered aircraft.

H.    Transmittal Documents. Transmittal documents include cover letters, memos, emails, faxes, or any other media acceptable to the IFO. ASIs may accept or reject a certificate holder’s submission(s) using a transmittal document that shows the date, the document, and a detailed explanation of discrepancies noted. The IFO will maintain office copies of correspondence with the certificate holder in its folder, or will maintain them electronically, if so equipped.

I.    Unimpeded Access. Per § 145.223(a), a CRS must allow the FAA to inspect that repair station at any time to determine compliance. The repair station/AMO should ensure that, where possible, there is clear delineation between work areas with civil and military applications within the repair station/AMO.

2-1377    INITIAL CERTIFICATION PROCESS. The FAA, AA, and AMO will accomplish initial certification in accordance with this section in conjunction with the MAG, section C.

A.    Preapplication Package.

1)    The IFO will receive a Preapplication Statement of Intent (PASI) (FAA Form 8400-6) and the certificate configuration vitals information addressed in the MAG, from the AA.
2)    The IFO will review the package, and obtain the precertification and final certification numbers from the Aviation Data Systems Branch (AFS-620).
3)    The inspector will check the “Information only” block and enter the date the IFO received and reviewed the PASI.
4)    The IFO will transmit the certification numbers to the AA in accordance with the MAG.
5)    Ensure the Transportation Security Administration (TSA) remains informed of foreign repair station applications early in the certification process. (See Volume 2, Chapter 11, Section 13, for contact information.)

B.    Formal Application Package.

1)    Once the ASI receives the AMO’s application package, he or she will ensure that it is complete per the MAG, section C.
2)    If the ASI finds the documentation supporting an AMO’s initial application satisfactory, he or she will then continue to process the application per the MAG, section C.
3)    When all of the application documentation is reviewed and found to meet the requirements of the MAG, the FAA will invoice the AMO in accordance with AC 187-1. Once the AMO has paid the appropriate fee, the following will be accomplished:
a)    Update SAS Configuration Module 1 Vitals Information.
b)    If the ASI finds the documentation supporting an AMO’s initial application unsatisfactory, he or she will prepare a letter or email (through the office manager to the AA) indicating the deficiencies. The AA in turn will notify the AMO of the FAA’s findings. The AMO must correct all deficiencies within 60 days of the FAA’s notification to the AA for the application process to continue. If the application process is terminated, the ASI must close out all certification files and complete the SAS automation to terminate the certification.
4)    When the ASI completes the review of the application package as specific in the applicable MAG, he or she will sign FAA Form 8310-3, block 10.

NOTE:  The FAA will not receive or need to review the FAA Supplement prior to certification. The AA is required to retain one current copy of the FAA supplement as well as the document that shows an evidence of the perceived need for a part 145 certificate (written in English). The AA will make these available to the FAA on request.

C.    FAA Form 8000-4. The ASI will complete FAA Form 8000-4, paying particular attention to the following:

1)    After “Number,” insert the certificate number assigned to the facility, per the current air agency numbering system.
2)    Under “This certificate is issued to,” insert the official name of the applicant’s business, as shown on the application form.
3)    Under “whose business address is,” insert the address/location of the applicant’s business, as shown on the application form.
4)    After “to operate an approved,” insert the words “Repair Station.”
5)    Under “with the following ratings,” insert the limited rating(s) issued. The ratings must be listed by the general category, such as airframe, powerplant, or radio.
6)    Under the ratings, enter the following statement, “(Under the Provisions of FAA-xxxxxx MIP).” Insert the name of the applicable authority in the MIP. The statement will identify the repair stations that meet the MIP requirements.

NOTE:  Any maintenance facility that the FAA certificated prior to the date of entry into force of the MIP, and did not hold an AA part 145 certificate with equivalent ratings, may continue to exercise the privileges of its part 145 certificate with the understanding that the FAA will continue independent regulatory oversight, certificate renewal, and continued monitoring. In these cases, follow the appropriate guidance in this order for these facilities not under a MIP.

7)    Limited ratings are issued to a CRS that maintains only a particular type of airframe, engine, propeller, radio, instrument, or accessory or part thereof, or provides specialized maintenance requiring equipment and skills not ordinarily performed under other repair station ratings. Such a rating may be limited to a specific model aircraft, engine, or constituent part, or to any number of parts made by a particular manufacturer.

NOTE:  The ASI should ensure that the appropriate FAA rating is applied to the certificate by using the cross-reference charts in the applicable MAG, section A.

8)    When ratings are added or amended, show the date of each issuance in parentheses after the added or amended rating.
9)    Under “Date issued,” insert the issuance date of the certificate. This will be the date of original certification.
10)    The ASI must adjust the part 145 certificate’s expiration date to coincide with the AA‑recommended schedule, which the AA should note on the appropriate surveillance form. However, the date that the ASI inserts after “must continue in effect” should not be more than 12 months from the original (initial) certificate issue date.
11)    Under “By direction of the Administrator,” insert the name of the office manager and office identifier.
12)    For the Air Agency Certificate of an AMO, the ASI should cross out the language at the bottom of the form that states, “Any alteration of this…or both.”
13)    The ASI should provide an annual list to the AA of each AMO that is due for renewal during the next fiscal year. (The ASI should determine the format and timeframe to submit this list.) This advanced notification will allow an AA to schedule its surveillance and resources to accommodate the renewal process.
14)    Prepare FAA Form 8000-4, which the IFO manager (or delegate) must sign.
15)    Notify the TSA that a certificate was issued.

NOTE:  The IFO must recognize that the MIP requires close cooperation and coordination between the AA and the IFO. Therefore, the FAA should make every attempt to provide AAs with adequate information to enable them to utilize and schedule its resources in an efficient manner.

D.    FAA Repair Station OpSpecs.

1)    Complete the appropriate OpSpecs with the vital information and necessary ratings and authorizations.
2)    The FAA ratings must be under the direct surveillance of an AA and complies with the MAG. Using the rating matrix in the applicable MAG, ensure the ratings align with the ratings issued by the AA. The applicant should apply for any additional ratings to ensure the FAA and the AA ratings align for the type of work performed.

NOTE:  OpSpec A003 must include the FAA ratings. The limitation block should include the AA certificate number with the following or similarly worded statement “limited to the scope of work/approval identified under AA certificate number xxxxx.” The FAA ratings cannot exceed the AA ratings. Only limited ratings should be approved outside of the U.S.

3)    The ASI should select the appropriate paragraph in OpSpec A001 for a MIP not associated with the EU agreement.
4)    The FAA will only recognize an AMO’s line station when it is under the direct surveillance of an AA and complies with the MAG. Refer to the applicable MAG for additional information on line maintenance authorizations. Ensure the requirement for a perceived need is obtained from the AA for the OpSpec D107 locations. Communicate with the U.S. air carrier’s certificate-holding district office (CHDO) to ensure there are no concerns or objections before issuing OpSpec D107.
5)    FAA issuance of specialized services rating requires FAA approved data. The IFO and the applicable Aircraft Certification Office (ACO) may coordinate the AMO’s specification for approval. The ASI must review the MIP special conditions for the AA acceptance of data. If the data is acceptable under the special conditions, the ASI will record the FAA-approved data in OpSpecs, if acceptable.

NOTE:  If the FAA approved data is not acceptable to the AA under the special conditions, the MAG will contain procedures for the appropriate provisions. The following or a similarly worded statement may be included in the limitation: “The data is not authorized for the use on (insert MIP country) registered aircraft or aeronautical products intended for installation on (insert MIP country) registered aircraft.”

6)    Complete OpSpecs that reference a capability list (CL). The list should not be used for entire aircraft make and models. Accepting a CL with entire aircraft would be inappropriate because it circumvents the intent of a limited rating.
7)    The ASI will forward the original certificate and two original OpSpecs to the AMO. The AMO will sign both original OpSpecs and return one to the IFO. The ASI will then provide the AA with a copy of the certificate and the AMO-signed OpSpec.

NOTE:  To expedite the signing of OpSpecs and issuance of certificates, emailing documents is acceptable as long as the originals are mailed.

E.    ASI Responsibilities for SAS Custom Data Collection Tool (C DCT) and Vitals Information. The ASI will:

1)    Complete the appropriate SAS Modules as required. The AA will complete the FAA Surveillance form (refer to the MAG, section C).
2)    Review the FAA surveillance form to ensure compliance with the MAG. Because this is the initial certification, there should be no open findings.
3)    Upload the report into SAS as an attachment.

2-1378    ADDITIONAL FIXED LOCATIONS UNDER ONE FAA CERTIFICATE.

A.    Requirements of Additional Fixed Locations. The AMO must hold a valid AA certification and be in compliance with the most current AA regulations. The FAA may issue the AMO a certificate that covers additional fixed locations as specified in the applicable MAG. The AMO must list procedures for the additional fixed locations in its maintenance organization exposition (MOE). The FAA will issue an OpSpec (A101) that identifies each location covered under the FAA certificate. Refer to the MAG for additional guidance.

B.    New Fixed Locations Being Planned by the AMO. If applicable, an AMO that intends to add a new additional fixed location under its FAA certificate must complete FAA Form 8310-3 for each new location and include them in its renewal package. The application should include the address of each location and, as an attachment, the telephone and fax numbers, email address (if available), and the AA office with oversight responsibility.

C.    FAA Surveillance form. The AA must provide the FAA with a completed FAA surveillance form for each additional fixed location before issuing OpSpecs.

2-1379    CERTIFICATE RENEWAL PROCESS.

A.    Effectiveness of a Renewal Certificate. Certificate renewals can be issued for 24 months per § 145.55. If the repair station certificate expires either during the time between inspections or due to unusual circumstances, the FAA may need to issue a short-term certificate of up to 90 days if the applicant demonstrates an ability and willingness to correct the noted deficiencies. The FAA may not extend the certificate past the 24‑month period.

B.    Renewal Requirements Under the MAG. AMOs located in a country which has a BASA/MIP with the U.S. may request a renewal of an existing part 145 certification by using the procedures in the MAG, section C. When an AA follows the terms and conditions of the MAG, the ASI must accept the surveillance and recommendations for renewal of a part 145 certificate. The FAA should ensure if additional OpSpecs are necessary (e.g., line maintenance authorization, additional facilities locations, electronic procedures, or work away from station).

1)    The FAA, AA, and AMO will accomplish the renewal certification in accordance with this section in conjunction with the applicable MAG, section C.
2)    For renewal, only one FAA surveillance form is required to cover all facilities under one approval certificate.

C.    Application Submission Timeframe. The repair station must submit a new application 30 days before the expiration date of its certificate. It is highly recommended to submit the application at least 90 days before expiration.

NOTE:  The ASI must adjust the part 145 certificate’s renewal expiration date to coincide with the AMO’s AA-recommended surveillance schedule. If conflicts arise between the AA recommendation for renewal and the FAA-allowable timeframes, the AA and the ASI should agree on a date that meets part 145 requirements. However, the date indicated after the “must continue in effect” statement should not be more than 24 months from the original certificate renewal date and must align with the AA surveillance schedule, unless there is a need to issue an extension.

D.    Findings and Corrective Actions. The ASI must review all documents in the renewal application package to verify they are complete and acceptable. The ASI will also verify that there are no outstanding issues involving corrective actions by reviewing the AA’s findings in the recommendations section of the FAA surveillance form. Inspectors must conduct themselves with the highest degree of professionalism when communicating any issues with foreign nationals. The FAA will follow the corrective action policy as follows:

1)    The MIP allows the FAA to recognize the AA’s corrective action without additional FAA action. The AA must provide the FAA with a recommendation on the appropriate surveillance form indicating any of the findings/discrepancies listed below. The AA must attach the CAP to the FAA surveillance form when submitted to the FAA. The following are reportable (Level 1) issues that should be described on the FAA surveillance form:

·    Serious failure to comply with national regulations and requirements;

·    Failure to comply with FAA special conditions identified in the MIP;

·    Failure to use FAA-approved or accepted data in accordance with the reciprocal acceptance of repair data in the MIP;

·    Failure of the AMO to maintain a working quality control system or internal self-audit system; and/or

·    Any finding resulting in suspension, surrender, limitation, or revocation.

2)    When the AA finds significant safety (Level 1) issues using the criteria above, it should provide the FAA with a nonrecommendation if the AMO has not taken corrective action and if the AA has not accepted a plan for corrective action. The following procedures apply:
a)    The FAA will renew an AMO’s certificate only after corrective action has taken place or the AA has submitted an approved CAP with the appropriate surveillance form. The FAA may issue a new certificate up to a 90-day extension while corrective action is taking place. Once the AMO has completed all corrective actions to the satisfaction of both the FAA and the AA, the FAA should renew the certificate for the remaining 24 months from its original renewal date in order to maintain the renewal schedule.
b)    Extension should be issued only with the AA’s agreement.
c)    If the AA findings result in a suspension, limitation, or revocation, take immediate action and investigate the significant safety issues. Follow the Compliance and Enforcement policy in Volume 14, Chapter 1, Section 2.

NOTE:  If the AA finding is not enforceable under part 43 or 145, but does not meet the MIP special conditions, the renewal should not be completed under the MIP. The FAA may have to initiate continue independent regulatory oversight, certificate renewal, and continued monitoring not under the MIP provisions. Notify the FAA Coordinator (AFS-54) in these situations.

d)    The ASI must enter significant safety issues/finding into SAS and take appropriate action. The ASI will ensure that he or she follows SAS guidance for Modules 4 and 5 for data collection, data reporting, and principal inspector (PI) analysis, action, and tracking of CAPs in the Action Item Tracking Tool (AITT).
3)    If the ASI finds the documentation supporting an AMO’s renewal application unsatisfactory, he or she will prepare a letter or email (through the office manager to the AA) indicating the deficiencies. The AA, in turn, will notify the AMO of the FAA’s findings. The AMO must correct all deficiencies within 60 days of the FAA’s notification to the AA for the renewal application process to continue. If the application process is terminated, the ASI must close out all certification files and complete the SAS.

E.    Fees. The AMO must pay the necessary fees by following the procedures in subparagraph 2-1376C, Fees.

F.    Preparing the Certificate and OpSpec. The ASI should complete this process in the same manner as the initial certification process.

G.    ASI Responsibilities for the SAS C DCT and Vitals Information. The ASI should complete this process in the same manner as the initial certification process:

1)    Enter all significant findings from the FAA surveillance form into the SAS.
2)    Upload the FAA surveillance form into SAS.
3)    Ensure that he or she follows SAS guidance for Modules 4 and 5 for data collection, data reporting and PI analysis, action, and tracking of CAPs in the AITT.
4)    Update the SAS Configuration Module 1 Vitals Information.

2-1380    CERTIFICATE AMENDMENT PROCESS. Refer to the MAG for requirements and procedures.

A.    FAA Responsibilities.

1)    Based on the AA’s recommendation, the ASI will determine if the AMO meets all the requirements for the amendment. The ASI will complete FAA Form 8310-3 and issue the AMO a revised part 145 certificate and a revised OpSpec. For any additional ratings, date the ratings in parentheses on FAA Form 8000-4 using the format MM/DD/YYYY. The ASI will include the items listed in the MAG, in the AMO’s certification file.
2)    The ASI will forward to the AMO the original certificate and two original OpSpecs. The AMO will sign one of the original OpSpecs and return it to the FAA. The FAA will then provide the AA with a copy of the certificate and the AMO-signed OpSpec as soon as possible.

B.    Address Change. The repair station must submit a new application prior to moving to a new facility or changing its address. The AA will review the application and may authorize continued work while the applicant moves to another facility. The applicant should provide a written contingency plan to the AA. The FAA will receive the application and make appropriate certificate revisions.

C.    Change in Ownership (Amendment to Certificate). When a repair station sells or transfers ownership of its organization, the new owner must submit a new application in accordance with § 145.57. The amendment to a certificate involves a change in ownership that does not affect or alter the formed basis of the original certification (location, facilities, or personnel) because of the sale or transfer of assets. The following apply:

1)    If the sale or transfer of assets, normally called a financial takeover, does not affect the employees, facilities, equipment, or daily operation of the repair station, only a new application is required for an amendment to the existing certificate. The applicant would keep the existing certificate number and can continue operations.
2)    New owners must stipulate in writing that they clearly understand they may be held liable for work performed under previous management and the potential of release of information under the Freedom of Information Act (FOIA) before receiving permission to retain the existing certificate number.
3)    The revised Air Agency Certificate (FAA Form 8000-4). The “Date issued” should always reflect the original certification date for the certificate number identified on the Air Agency Certificate.
4)    If the new owner requests a new certificate number, and the sale or transfer of ownership does not affect the employees, facilities, equipment, or daily operation of the repair station, this process is administrative in nature. The FAA does not attempt to regulate the transfer of ownership of a business. Rather, the FAA’s main concern in a situation that involves the change of ownership is whether any of the elements that form the basis for the original certification have been altered because of the sale. In this situation, the FAA can amend the existing certificate for the issuance of a new certificate number. The applicant should provide a written contingency plan for continued operations, and agree on a date of issuance for the new certificate. This should ensure the maintenance entries required by part 43, § 43.9 or § 43.11 are appropriate, as the new certificate name and number applies to in process, and future maintenance.

NOTE:  If there are safety concerns with the daily operation and disruptions in the process of work performed, the applicant may have to stop operating under the existing certificate while the FAA and AA processes the new application requirements under § 145.57.

D.    Change in Ownership (New Certificate). In situations that involve a change in ownership that affects or alters the formed basis of the original certification (location, facilities, or personnel), or disrupts the work performed in a way that could inherit risk due to the sale, the following apply:

1)    The new owner must apply for an application for certificate in accordance with § 145.51.

NOTE:  The privileges of a repair station certificate are not transferable without proper application.

2)    This may entail a complete certification for the issuance of a new certificate under § 145.51. The new owner should propose a written contingency plan to the AA for the transition of the significant changes.
3)    A change to the certificate must include the hazmat letter in compliance with § 145.53(d).

NOTE:  ASIs should contact their regional general counsel office when faced with questions concerning whether limited liability corporations or changes in stockholder ownership constitute a transfer of repair station assets, and for applicants with previously revoked certificates.

4)    The original certificate and OpSpecs are required to be surrendered. Obtain a letter from the new owner and agree on a proposed date of the surrender.

E.    Name Change. When a repair station changes the name of its organization, that does not affect or alter the formed basis of the original certification; the owner must submit a new application. The repair station would keep the existing certificate number and can continue normal operations. Amend the certificate and OpSpecs as required.

F.    ASI Responsibilities for the SAS C DCT and Vitals Information. The ASI should complete this process in the same manner as the initial certification process. The ASI will ensure that he or she has entered the data from the FAA Surveillance form within 30 days after task completion. The ASI will update the SAS Configuration Module 1 Vitals Information.

2-1381    TASK OUTCOMES.

A.    Complete the Task.

1)    Follow SAS Volume 10 guidance for Modules 4 and 5 for Data Collection, along with PI Analysis, Assessment, and AITT.
2)    Update the SAS Configuration Module 1 Vitals Information, in the same manner with the data provided by the repair station. Ensure the “Bilateral Agreement” block is checked and the AA certificate number is documented is SAS.

B.    Document the Task. Place all supporting paperwork in the certificate holder’s office file. The ASI will prepare and file the following documents in the IFO’s official file:

·    A completed FAA Form 8310-3;

·    A copy of the completed FAA surveillance form (refer to the MAG section) for the AMO and for each additional fixed location and/or line station;

·    If applicable, a list of the additional fixed locations in which the AMO intends on utilizing its FAA certificate privileges;

·    A list of line station authorizations, as applicable;

·    The AMO’s letter certifying that it has trained its employees in the transportation of dangerous goods in accordance with ICAO standards, if applicable;

·    A copy of the AMO’s AA part 145 certificate and scope of work/approval;

·    A copy of the statement/document of need showing the necessity for the certificate; and

·    A copy of the CL, as required.

2-1382    FUTURE ACTIVITIES. Follow the MAG procedures and SAS guidance in Volume 10, to plan future risk-based surveillance in SAS.

·    FAA Coordinator (AFS-54) may select an AA or an AMO for the SIS and provide a list to the FAA National Coordinator for concurrence.

·    The FAA Coordinator (IFO) will identify risks and provide justification for a SIS inspection and coordinate with the FAA Coordinator (AFS-54).

RESERVED. Paragraphs 2-1383 through 2-1387.