Answer of the Council on Wage and Price Stability In Support of Application for Exemption

by Roger Mallet on December 13, 1976
by Roger Mallet

On November 12, 1976, Rocky Mountain filed an application with the CAB requesting that the Board issue an order pursuant to Section 4l6(b) of the Federal Aviation Act of 195B, as amended, exempting the applicant from the provisions of Section 401 of the Act as well as Part 29B of the Board’s Economic Regulations (14 CFR 29B) so as to permit the carrier to operate 50-seat de Havilland DHC-7 (“Dash 7”) aircraft.

 

Rocky Mountain is a commuter air carrier operating under Part 29 of the Board’s regulations. As such, the carrier is prohibited from operating, in interstate commerce, aircraft which have more than 30 seats or a total revenue payload capacity in excess of 7,500 pounds. The carrier is also regulated by the State of Colorado Public Utility Commission with respect to the routes it serves within the State.

Currently, Rocky Mountain operates six 19-seat Twin Otter aircraft. The carrier seeks in its application permission to operate the newly developed 50-seat Dash 7 aircraft produced by de Havilland Aircraft of Canada, Ltd., in intrastate operations among points located in Colorado.

 

 

However, since it also operates as a Part 298 carrier under the Board’s regulations, it feels it must obtain Board permission even though the Dash 7 operations would be totally intrastate. In the view of Rocky Mountain, the Dash 7, both technically and economically, is far superior to the older Twin Otters which it presently operates.

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