Helicopter Association Interna v. FAA ( 2013 )


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  •  United States Court of Appeals
    FOR THE DISTRICT OF COLUMBIA CIRCUIT
    Argued May 10, 2013                     Decided July 12, 2013
    No. 12-1335
    HELICOPTER ASSOCIATION INTERNATIONAL, INC.,
    PETITIONER
    v.
    FEDERAL AVIATION ADMINISTRATION,
    RESPONDENT
    On Petition for Review of an Order of
    the Federal Aviation Administration
    J. Michael Klise argued the cause for petitioner. With him
    on the briefs were D. Kirk Shaffer and Gerald F. Murphy.
    Edward Himmelfarb, Attorney, U.S. Department of Justice,
    argued the cause for respondent. With him on the brief were
    Stuart F. Delery, Principal Deputy Assistant Attorney General,
    and Michael J. Singer, Attorney.
    Before: ROGERS and KAVANAUGH, Circuit Judges, and
    RANDOLPH, Senior Circuit Judge.
    Opinion for the Court by Circuit Judge ROGERS.
    ROGERS, Circuit Judge: The Helicopter Association
    International, Inc. (“HAI”), challenges the authority of the
    2
    Federal Aviation Administration (“FAA”) to issue a rule
    requiring helicopter pilots to use a route one mile off the north
    shore of Long Island, New York for the purpose of noise
    abatement in residential areas. Because this challenge fails, and
    because HAI’s other contentions regarding the lack of
    substantial evidence, deviation from FAA policy, and a flawed
    Regulatory Flexibility Act certification are unpersuasive, we
    deny the petition for review.
    I.
    Prior to 2008, helicopter pilots flying between New York
    City and eastern Long Island typically chose between three
    routes: (1) the northern coast of Long Island; (2) the Long Island
    Expressway through the middle of the island; or (3) the southern
    coast of Long Island. Many pilots preferred to travel the north
    shore route when traveling to south shore destinations like the
    Hamptons, because that route was faster and less likely to
    encounter weather delays common along the south shore. As a
    result, the north shore route experienced significant helicopter
    traffic. In response to complaints about the helicopter noise, the
    FAA developed the North Shore Helicopter Route, which it
    added to the New York Helicopter Route Chart in 2008. This
    route, which was voluntary, diverted helicopter traffic from
    populated areas on the north shore of Long Island to the waters
    of Long Island Sound.
    When elected officials and FAA’s Flight Standards District
    Office continued to receive complaints about helicopter noise on
    the north shore, the FAA in 2010 proposed to make the North
    Shore Route mandatory. See Notice of Proposed Rulemaking,
    75 Fed. Reg. 29,471, 29,472 (May 26, 2010) (“NPRM”). Upon
    receiving approximately 900 comments — from residents, local
    government, citizen groups, businesses, and various trade
    associations — the FAA determined that “[s]lightly more than
    3
    a third of the total number of commenters complained about the
    levels of helicopter noise that they are exposed to, particularly
    during the summer months,” and issued the final rule in 2012.
    The New York North Shore Helicopter Route, 77 Fed. Reg.
    39,911, 39,913 (July 6, 2012) (“Final Rule”).
    The FAA found that “residents along the north shore of
    Long Island emphatically agreed that helicopter overflights
    during the summer months are unbearable and negatively
    impact their quality of life.” 
    Id. at 39,913. Assisted
    by the John
    A. Volpe National Transportation Systems Center in analyzing
    data from the Performance Data Analysis and Reporting System
    (“PDARS”), the FAA “modeled noise from approximately
    15,600 flight operations, based on an average of 42.8 operations
    per day over 11 days around Memorial Day and July 4, 2011,”
    two of the busiest helicopter traffic weekends of the year. 
    Id. at 39,914, 39,916
    n.7. This data was used to calculate north shore
    day-night average sound levels (“DNLs”), which consist of “the
    24-hour average sound level, in decibels, for the period from
    midnight to midnight, obtained after the addition of ten decibels
    to sound levels for the periods between midnight and 7 a.m.,
    and between 10 p.m., and midnight, local time.” 14 C.F.R.
    § 150.7. The FAA found that the sound levels, which were
    below DNL 45 dB, were “below levels at which homes are
    significantly impacted.” Final Rule, 77 Fed. Reg. at 39,916.
    In promulgating the Final Rule, the FAA did not change the
    existing route that had been in use for several years but
    explained that “[m]aximizing the utilization of the existing
    route by making it mandatory will secure and improve upon the
    decreased levels of noise that have been voluntarily achieved.”
    Final Rule, 77 Fed. Reg. at 39,914. Because “safety is [the
    FAA’s] highest priority,” 
    id., exceptions were provided
    for
    helicopters not adequately outfitted to travel the route safely and
    for pilots who determine route deviation is required because of
    4
    weather or a need to transition to or from a destination or point
    of landing. 
    Id. at 39,914–15. The
    rule will be provisional for
    two years, after which the FAA will sunset it upon determining
    “there is no meaningful improvement in the effects of helicopter
    noise on quality of life or that the rule is otherwise unjustified.”
    
    Id. at 39,918. If
    there is improvement, the FAA may make the
    rule permanent “after appropriate notice and opportunity for
    comment.” 
    Id. Or, if “reasonable
    modifications [can] be made
    to the route to better address noise concerns . . . [, the FAA]
    may choose to modify the rule after notice and comment.” 
    Id. Pursuant to the
    Regulatory Flexibility Act, 5 U.S.C. § 605, the
    FAA certified that because the Final Rule would impose
    minimal costs on regulated small entities, a regulatory
    flexibility analysis was not required. Final Rule, 77 Fed. Reg.
    at 39,919–20. HAI petitions for review.
    II.
    HAI challenges the Final Rule on four grounds, contending
    first that the FAA lacks authority to alter air traffic patterns for
    the sole purpose of reducing the impact of aircraft noise on
    residential communities. As authority for the rule, the FAA
    relied on 49 U.S.C. § 40103 and § 44715. Section 40103(b)
    addresses “the use of the navigable airspace” and provides in
    subsection (b)(2) that “[t]he Administrator shall prescribe air
    traffic regulations on the flight of aircraft (including regulations
    on safe altitudes) for . . . protecting individuals and property on
    the ground.” Section 44715 authorizes the FAA to set standards
    to measure aircraft noise and to prescribe regulations to control
    and abate aircraft noise. 49 U.S.C. § 44715(a)(1)(A) (i) & (ii).
    In HAI’s view, Congress has established a relatively
    narrow framework under which the FAA can regulate noise.
    HAI maintains that the FAA’s general authority under § 40103
    is limited by its focus on safety in subsection (b)(1), and by
    5
    other provisions that address the FAA’s authority to regulate
    noise through technology certification, see 
    id. § 44715(a)(1), and
    in and around airports, see 
    id. §§ 47501 et
    seq., §§ 47521
    et seq. Viewing these provisions together, HAI concludes that
    the FAA cannot escape the limits on its jurisdiction to regulate
    noise by relying on its general authority in § 40103.
    In support of its position, HAI relies on American
    Petroleum Institute v. EPA, 
    52 F.3d 1113
    (D.C. Cir. 1995),
    where the court, upon reviewing a rule on a renewable
    oxygenate requirement, held the agency could not “rely on its
    general authority to make rules necessary to carry out its
    functions when a specific statutory directive defines the relevant
    functions of [the agency] in a particular area.” 
    Id. at 1119. In
    that case, Congress set a specific objective of reducing
    emissions of ozone-forming volatile organic compounds
    (VOCs). See 
    id. at 1115. Relying
    on its general rulemaking
    authority, 42 U.S.C. § 7601(a)(1), the agency ignored this
    objective, favoring instead a renewable oxygenate that would
    not reduce VOC emission levels. 
    Id. at 1115–16. HAI
    maintains that the FAA’s reliance on its general authority under
    § 40103 is similar to the EPA’s reliance on its general
    rulemaking authority under 42 U.S.C. § 7601(a)(1) and is
    likewise impermissible.
    Whether the FAA has exceeded congressional limits on its
    authority is a question of statutory construction to which the
    familiar two step analysis in Chevron, U.S.A., Inc. v. Natural
    Resources Defense Council, Inc., 
    467 U.S. 837
    (1984), applies.
    “If the intent of Congress is clear, that is the end of the matter;
    for the court, as well as the agency, must give effect to the
    unambiguously expressed intent of Congress.” 
    Id. at 842–43. “[I]f
    the statute is silent or ambiguous with respect to the
    specific issue, the question for the court is whether the agency’s
    answer is based on a permissible construction of the statute.”
    6
    
    Id. at 843. Such
    deference by the court extends to the agency’s
    interpretation of statutory ambiguity that concerns the scope of
    the agency’s jurisdiction. See City of Arlington, Texas v. FCC,
    – U.S. –, 
    133 S. Ct. 1863
    (2013).
    Under the plain text of § 40103, the FAA has authority to
    “prescribe air traffic regulations . . . [to] protect[] individuals
    and property on the ground.” 49 U.S.C. § 40103(b)(2). This is
    exactly what the FAA did here. Responding to the noise
    complaints of Long Island residents, the FAA prescribed new
    air traffic regulations with the purpose of protecting these
    residents’ use and enjoyment of their property. Noise, when it
    reaches certain levels, has long been considered an actionable
    nuisance because of its impediment to the use and enjoyment of
    property. See, e.g., 3 THOMAS M. COOLEY & D. AVERY
    HAGGARD, A TREATISE ON THE LAW OF TORTS § 430 (4th ed.
    1932). The word “protect,” defined as “to cover or shield from
    that which would injure, destroy, or detrimentally affect,”
    WEBSTER’S THIRD NEW INT’L DICTIONARY OF THE ENGLISH
    LANGUAGE UNABRIDGED 1822 (1981), is broad enough to
    encompass protection from noise caused by aircraft, and
    Congress would, absent indication to the contrary, have
    intended that the word be read in accordance with its natural
    meaning, see Regents of the Univ. of Cal. v. Pub. Emplymt.
    Relations Bd., 
    485 U.S. 589
    , 595 (1988).
    HAI has pointed to no express limitations on the FAA’s
    general authority to protect individuals on the ground from
    aircraft, including the noise created by their operation.
    Although the noise-related provisions HAI cites refer to discrete
    areas, for example, to noise reduction in or near airports, see,
    e.g., 49 U.S.C. §§ 47521 et seq., or to technology certification,
    see 
    id. § 44715(a)(2), neither
    their substance (as interpreted by
    HAI) nor their structure suggest that Congress intended to
    narrow its broad authorization to the FAA to regulate the use of
    7
    navigable airspace, much less to restrict the FAA’s capacity to
    manage aircraft noise to these limited contexts. As regards the
    safety limitation emphasized by HAI, neither § 40103 when
    read as a whole nor the plain text of § 40103(b)(2) requires that
    air safety be the primary goal of all FAA regulations. The
    “Federal Aviation Act requires a delicate balance between
    safety and efficiency and the protection of persons on the
    ground.” City of Burbank v. Lockheed Air Terminal Inc., 
    411 U.S. 624
    , 638–39 (1973) (citation omitted); see BFI Waste Sys.
    of N. Amer., Inc., v. FAA, 
    293 F.3d 527
    , 533 (D.C. Cir. 2002).
    So long as the FAA balances safety concerns appropriately, as
    it did here, its rulemaking decisions will not conflict with other
    statutory safety requirements.
    HAI does not dispute that reducing noise through altering
    flight routes can protect property on the ground by preventing
    “interference with the interest in the private use and enjoyment
    of the land.” Souders v. Wash. Metro. Area Transit Auth., 
    48 F.3d 546
    , 551 (D.C. Cir. 1995) (internal alteration and quotation
    marks omitted). Yet its view of Congress’s legislative scheme
    would eviscerate such protection, preventing the FAA from
    altering flight plans even where numerous helicopters were
    operating at low altitudes over residential areas at all hours of
    the day and night. HAI offers no persuasive reason to attribute
    such a counterintuitive intent to Congress’s broad authorization
    to the FAA over the flight of aircraft to protect individuals and
    property. HAI’s counsel’s suggestion during oral argument that
    the FAA can address helicopter noise only by imposing
    certification restrictions on noise-producing aircraft
    technologies, such as engines, see Oral Arg. Tr. at 6–7; cf. 49
    U.S.C. § 44715(a)(2), conflicts with § 40103(b)(2)’s plain text.
    Dictum to the contrary regarding the scope of § 40103’s
    predecessor in DiPerri v. FAA, 
    671 F.2d 54
    , 57 (1st Cir. 1982),
    is unpersuasive in view of the plain text of § 40103(b)(2) and
    the inconclusive legislative history on which the court relied.
    8
    
    Id. (interpreting 49 U.S.C.
    § 1348(c) and citing H.R. REP. NO.
    85-2360 (1958)).
    The interpretation of § 40103(b)(2) as encompassing
    protection from aircraft noise reflects the FAA’s long held
    understanding of its authority. See, e.g., Special Air Traffic
    Rules and Airport Traffic Patterns, Lorain County Regional
    Airport, Ohio, 33 Fed. Reg. 11,748, 11,749 (1968). Even
    assuming that because § 40103(b)(2) does not expressly state
    that “protect” includes protection from aircraft noise and thus is
    silent on the precise question at issue, see 
    Chevron, 467 U.S. at 843
    , the FAA’s interpretation is reasonable and consistent with
    the other statutory provisions cited by HAI, which indicate that
    Congress intended to address aircraft noise in several different
    ways, not to limit the broad authority granted under
    § 40103(b)(2). HAI fails to show that the FAA’s interpretation
    of its authority is impermissible, much less that the affirmative
    grant of authority to regulate “the use of the navigable airspace
    . . . for . . . protecting individuals and property on the ground”
    in § 40103(b) is comparable to the broad, non-substantive
    rulemaking authority on which the EPA relied in the face of an
    express congressional limitation in American 
    Petroleum, 52 F.3d at 1117
    . The situation in American Petroleum, where an
    agency flouted a congressionally imposed restriction, is not
    present here. HAI’s reliance on FDA v. Brown & Williamson
    Tobacco Corp., 
    529 U.S. 120
    , 133 (2000), for the proposition
    that Congress’s more specific enactment controls a prior grant
    of general authority is likewise misplaced.
    Because we conclude that the FAA acted within its
    authority under § 40103(b)(2) in promulgating the Final Rule,
    we need not address whether § 44715 could serve as an
    independent source of such authority.
    9
    III.
    We turn to HAI’s contentions that the FAA’s finding that
    there is a noise problem is unsupported by substantial evidence
    in the record and that the Final Rule was an impermissible
    deviation from longstanding FAA policy.               Under the
    Administrative Procedure Act, the court will “hold unlawful and
    set aside agency action, findings, and conclusions” that are
    “arbitrary [and] capricious.” 5 U.S.C. § 706(2) & (2)(A).
    Again, our standard of review is highly deferential. See City of
    South Bend, Ind. v. Surface Transp. Bd., 
    566 F.3d 1166
    , 1169
    (D.C. Cir. 2009). The FAA’s findings of fact are “conclusive”
    if they are “supported by substantial evidence.” 49 U.S.C.
    § 46110(c). HAI has failed to demonstrate that the Final Rule
    is unlawful and must be set aside. And although the FAA
    acknowledges, as HAI points out, that its certification under the
    Regulatory Flexibility Act was based on incorrect fuel cost data,
    there is no uncertainty that the FAA would reach the same result
    in assessing the impact of the Final Rule on small entities were
    the court to remand.
    A.
    According to HAI, public complaints about noise are not
    evidence of a noise problem absent objective, corroborating
    data and the FAA’s justification for the Final Rule is without
    foundation. It relies on Safe Extensions, Inc. v. FAA, 
    509 F.3d 593
    (D.C. Cir. 2007), where the FAA based its decision to
    evaluate differently two types of runway light bases on the
    unsubstantiated statement of a single employee who had
    responded to industry comments on a proposed FAA Advisory
    Circular. In that case, the court held that “one employee’s bare
    assertions” did not amount to substantial evidence. 
    Id. at 595. In
    promulgating the Final Rule, the FAA relied on a host of
    externally generated complaints from elected officials and
    10
    commercial and private residents of Long Island. It found that
    over one third of commenters complained of helicopter noise.
    Final Rule, 77 Fed. Reg. at 39,913. The FAA explicitly
    referred in the preamble to the Final Rule to the commenters’
    complaints that “the helicopter noise interferes with sleep,
    conversation, and outdoor activities.” 
    Id. HAI offers no
    evidence that the complaints were not based on actual
    experience or were otherwise falsified. Although HAI refers to
    the comment by the Eastern Region Helicopter Council
    (“Council”) that 85% of the complaints to its hotline came from
    only ten individuals, the FAA pointed out that this “cannot
    demonstrate these individuals are the only ones disturbed by the
    existing noise levels.” 
    Id. at 39,914. The
    hundreds of
    complaints considered by the FAA in response to the NPRM
    were identifiable by the commenter’s name and a date. The
    FAA could reasonably accept these comments from individual
    members of the public, which are different from the
    unsubstantiated factual statement of the agency employee in
    Safe 
    Extensions, 509 F.3d at 595
    , as empirical data of a noise
    problem.      HAI overlooks, moreover, that an agency’s
    conclusion may be supported by substantial evidence even
    though a plausible alternative interpretation of the evidence
    would support a contrary view. See Robinson v. NTSB, 
    28 F.3d 210
    , 215 (D.C. Cir. 1994).
    HAI claims, however, that the FAA acknowledged the
    existence of scientific evidence that demonstrates there is no
    significant noise problem, thereby undermining the reliability
    of the complaints and by extension its decision to act on those
    complaints. The Volpe study commissioned by the FAA
    revealed that DNLs on and around the two busiest helicopter
    traffic weekends of the year (Memorial Day and Fourth of July
    weekends) were less than 45 dB along the north shore of Long
    Island, see Final Rule, 77 Fed. Reg. at 39,916 & n.7, well below
    the DNL 65 dB ceiling set by the FAA to mark noise levels
    11
    compatible with residential land use near airports. See 14
    C.F.R. pt. 150, app. A, tbl. 1. According to HAI, this reveals
    that the FAA’s own study shows that the basis of the rule, a
    noise problem, did not exist.
    HAI has not identified any statutory or regulatory provision
    that sets 65 dB as the minimum noise level that must be reached
    before the FAA can regulate the impact of aircraft noise on
    residential populations. Neither has it shown that the area
    addressed in the Final Rule is near an airport. The FAA’s
    Airport Noise Compatibility Program, where the 65 dB level
    appears, states that “[t]he designations contained in this table do
    not constitute a Federal determination that any use of land
    covered by the program is acceptable or unacceptable under
    Federal, State, or local law.” 14 C.F.R. pt. 150, app. A, tbl. 1
    n.*. That level was established for use in mapping noise
    exposure within the vicinity of airports, not residential areas far
    removed from an airport environment. See 
    id., app. A, pt.
    A
    § A150.1(a). It serves as a reference point from which the FAA
    can reasonably deviate when determining whether a particular
    noise reduction intervention is in the public interest. See
    Environmental Impacts: Policies and Procedures, 69 Fed. Reg.
    33,778, 33,780–81 (June 16, 2004). Here, based on its
    evaluation of the complaints and the results of the Volpe study,
    the FAA concluded that noise levels below DNL 45 dB were
    adversely impacting the north shore’s residential population to
    a degree that further control was warranted, at least on a
    provisional basis. The FAA explained that maximizing the use
    of the existing North Shore Route would “secure and improve
    upon the decreased levels of noise that have been voluntarily
    achieved.” Final Rule, 77 Fed. Reg. at 39,914.
    Furthermore, the FAA’s stated objective in making the
    North Shore Route mandatory was not limited to “improv[ing]
    upon the decreased levels of noise that have been voluntarily
    12
    achieved,” but to “secur[ing]” the existing noise levels as well
    by preventing future increases. 
    Id. Even assuming voluntary
    usage of the route was high and noise levels relatively low, see
    Final Rule, 77 Fed. Reg. at 39,914, 39,916, the rule was
    designed to ensure that use of the route continues and that the
    noise levels do not increase, thereby aggravating the problem
    identified by commenters, 
    id. at 39,914. Given
    the provisional
    nature of the Final Rule, it represents a relatively minor,
    temporary adjustment to the existing route that HAI maintains
    is used by most helicopters. HAI fails to show the FAA acted
    unreasonably.
    To the extent HAI maintains the FAA relied on faulty
    evidence and methods because it failed to use a larger data set
    and a particular data analysis method, i.e., the Integrated Noise
    Model, HAI ventures unsuccessfully into areas of agency
    expertise. See U.S. Air Tour Ass’n v. FAA, 
    298 F.3d 997
    , 1008
    (D.C. Cir. 2002). HAI cites no authority for the assertion that
    the FAA is required to use the Integrated Noise Model when
    assessing noise levels outside the vicinity of airports. The FAA
    has identified the Integrated Noise Model as appropriate for
    assessing noise in and around airports and the Noise Integrated
    Routing System model (“NIRS”) for use “where the study area
    is larger than the immediate vicinity of an airport.” FAA Order
    1050.1E, Environmental Impacts: Policies and Procedures, app.
    A, ¶ 14.5e (Mar. 20, 2006). The North Shore Route begins
    approximately 20 miles northeast of LaGuardia Airport,
    suggesting the FAA appropriately could use the NIRS, or, as it
    did in this instance, a successor to the NIRS model. Final Rule,
    77 Fed. Reg. at 39,913. Moreover, HAI’s counsel conceded at
    oral argument that “we don’t really have a complaint about the
    [Volpe] study, we have a complaint that the FAA in imposing
    this rule is ignoring this study.” Oral Arg. Tr. at 16. But, as
    noted, the FAA’s decision to make the route mandatory was
    based on its assessment of the numerous complaints it received,
    13
    not on the study per se. HAI has not met its burden to show that
    the FAA used an incorrect data analysis methodology.
    B.
    HAI also fails to support its objection that the Final Rule is
    arbitrary and capricious because the FAA reversed its
    longstanding policy of not altering air traffic patterns for the
    sole purpose of noise abatement. HAI identifies no prior FAA
    policy that conflicts with the Final Rule while the FAA
    identified three instances where it promulgated rules altering air
    traffic patterns for the purpose of reducing noise over particular
    sites, see Final Rule, 77 Fed. Reg. at 39,917 & n.11 (citing 62
    Fed. Reg. 1192 (Jan. 8, 1997) (Rocky Mountain National Park);
    35 Fed. Reg. 5466 (Apr. 2, 1970) (President Washington’s
    home at Mount Vernon); 33 Fed. Reg. 11,748 (Aug. 20, 1968)
    (Oberlin Conservatory of Music)). Additionally, a September
    2004 FAA Advisory Circular set forth recommendations for
    pilot use of the navigable airspace for the purpose of reducing
    the impact of flights on “noise-sensitive areas,” such as
    “residential” zones, citing 49 U.S.C. § 40103 for its authority to
    make policy of this type. FAA Advisory Circular, Visual Flight
    Rules (VFR) Flight Near Noise-Sensitive Areas, AC No: 91-36D
    (Sept. 17, 2004). Rather than reversing past policy, the FAA
    has acted in accordance with a longstanding, if infrequently
    used, interpretation of its authority under § 40103.
    C.
    The Regulatory Flexibility Act provides, in relevant part:
    When an agency promulgates a final rule under section
    553 of this title, after being required by that section or
    any other law to publish a general notice of proposed
    rulemaking, . . . the agency shall prepare a final
    regulatory flexibility analysis.
    14
    5 U.S.C. § 604(a). The analysis must include a description and
    estimate of the “number of small entities to which the rule will
    apply or an explanation of why no such estimate is available”
    and “a description of the steps the agency has taken to minimize
    the significant economic impact on small entities . . . .” 
    Id. § 604(a)(4) &
    (6). If, however, the “head of the agency certifies
    that the rule will not . . . have a significant economic impact on
    a substantial number of small entities,” then no final regulatory
    flexibility analysis need be published. 
    Id. § 605(b). The
    FAA
    made that certification. NPRM, 75 Fed. Reg. at 29,473; Final
    Rule, 77 Fed. Reg. at 39,919–20. Our review is highly
    deferential, “particularly . . . with regard to an agency’s
    predictive judgments about the likely economic effects of a
    rule,” Nat’l Telephone Coop. Ass’n v. FCC, 
    563 F.3d 536
    , 541
    (D.C. Cir. 2009).
    The FAA found that the cost increase per flight was
    minimal and concluded it was likely to be passed on to
    customers. See Final Rule, 77 Fed. Reg. at 39,919. Given that
    the high cost of helicopter flights to eastern Long Island
    suggests paying customers place a significant premium on their
    time, the FAA reasoned that paying customers would not
    choose far slower modes of transportation because of relatively
    small price increases. See 
    id. Since the operators
    would not
    need to purchase new equipment to retrofit their helicopters, the
    FAA determined that the Final Rule would impose minimal
    costs on regulated small entities and that a regulatory flexibility
    analysis was not required. See 
    id. at 39,919–20. HAI
    objects, first, that the Final Rule would require small
    commercial operators to purchase expensive avionics to comply
    with the FAA’s safety recommendations for safe flight along
    the North Shore Route, and that the FAA did not take these
    costs into consideration when certifying that a regulatory
    flexibility analysis was not needed. The North Shore Route,
    15
    however, contemplates that pilots would be operating under
    visual flight rules. 
    Id. at 39,912. The
    FAA concluded that
    operators would not be required to purchase any new
    equipment, see 
    id., because pilot deviations
    from the North
    Shore Helicopter Route are permitted when aircraft cannot be
    operated safely along the route with existing equipment, see 14
    C.F.R. § 93.103(b); Final Rule, 77 Fed. Reg. at 39,912, 39,914.
    HAI presents no basis to doubt FAA’s certification on this
    ground.
    Second, HAI objects that the FAA used an incorrect fuel
    price in concluding that the economic impact of increased fuel
    costs associated with longer flight times would not be
    significant because the small commercial helicopter operators
    would be able to pass on the minimal extra cost to their
    customers. The FAA found that helicopter flights from New
    York City to the east end of Long Island cost between $3,500
    and $9,500 per trip, and initially calculated that the increased
    cost per flight would be $150, using the estimated ten minute
    time increase per flight proposed by the Council as the basis for
    this figure. See Final Rule, 77 Fed. Reg. at 39,918–19.
    The FAA now acknowledges that the correct fuel price
    yields a cost increase of as much as $354 per flight. See
    Resp’t’s Br. at 47–48. Although this is a larger increase than
    the original estimate, it is not significant in relation to the total
    cost of a helicopter flight, especially when compared with the
    cost of travel by rail or by car. The FAA’s conclusion that the
    increase would be passed on to paying customers, based on the
    high value they place on their time, remains reasonable.
    Although a court can affirm agency action only on grounds
    provided by the agency, see SEC v. Chenery Corp., 
    318 U.S. 80
    ,
    87–88 (1943); Lakeland Bus Lines, Inc. v. ICC, 
    810 F.2d 280
    ,
    287 (D.C. Cir. 1987), this requirement gives way here “when
    there is not the slightest uncertainty as to the outcome of a
    16
    proceeding on remand,” Manin v. NTSB, 
    627 F.3d 1239
    , 1243
    n.1 (D.C. Cir. 2011) (internal alteration and quotation marks
    omitted).
    HAI further objects that the FAA used an incorrect estimate
    of the number of small entities that would be affected by the
    Final Rule. The FAA estimated that 35 small entities would be
    affected based on the number of commercial helicopter
    operators who were members of the Council. Final Rule, 77
    Fed. Reg. at 39,919. According to FAA counsel, the Council is
    the “large membership organization for . . . helicopter operators
    in this region,” Oral Arg. Tr. at 29, and the Council presented
    to the FAA that it “currently represents over 94% of the
    helicopter operators and businesses supporting helicopters in the
    New York Tri-State area, the majority of whom will be
    impacted directly by the proposed rule,” Comments of the
    Eastern Region Helicopter Council at 1 n.1 (June 25, 2010).
    The Council estimated over 100 small entities used the North
    Shore Route, see 
    id. at 15–16, but
    then, as now, provided no
    evidence of how it arrived at that figure. An unsubstantiated
    estimate is insufficient to call the FAA’s figure into question.
    To the extent HAI contends that the FAA violated
    Executive Order 12,866, 58 Fed. Reg. 51,735 (Sept. 30, 1993),
    and Department of Transportation Order 2100.5 (May 22,
    1980), both of which require that the agency perform cost
    benefit analyses for each proposed regulation, neither creates
    private rights, nor is an agency’s failure to comply with these
    orders subject to judicial review. See Meyer v. Bush, 
    981 F.2d 1288
    , 1296 n.8 (D.C. Cir. 1993).
    Accordingly, we deny HAI’s petition for review.
    

Document Info

Docket Number: 12-1335

Filed Date: 7/12/2013

Precedential Status: Precedential

Modified Date: 10/30/2014

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