Imposition and Collection of Passenger Civil Aviation Security
Service Fees
Federal Register Rules and Regulations
December 31, 2001, Volume 66, Number 250
[Docket No. TSA-2001-11120]
AGENCY: Transportation Security Administration, DOT.
ACTION: Interim final rule.
SUMMARY: The Transportation Security Administration (TSA) announces the
imposition of a security service fee in the amount of $2.50 per
enplanement on passengers of domestic and foreign air carriers in air
transportation, foreign air transportation, and intrastate air
transportation originating at airports in the United States. Passengers
will not be charged for more than two enplanements per one-way trip or
four enplanements per round trip. The security service fee will apply
to passengers using frequent flyer awards for air transportation, but
may not be imposed on other nonrevenue passengers. Direct air carriers
and foreign air carriers must collect the security service fees on air
transportation sold on or after February 1, 2002. The direct air
carriers and foreign air carriers must remit the fees imposed during
each month to TSA by the last calendar day of the following month.
DATES: This interim final rule is effective on December 31, 2001.
Although the imposition of the security service fees is statutorily
exempted from the rulemaking notice and comment procedures set forth in
the Administrative Procedure Act, comments received on or before March
1, 2002 will be reviewed and considered.
ADDRESSES: Submit written, signed comments to TSA Docket No. 2001-
11120, the Docket Clerk, U.S. DOT Dockets, Room PL-401, 400 Seventh
Street, SW., Washington, DC 20590-0001. All comments received will be
available for examination at the above address between 9 a.m. and 5
p.m., e.t., Monday through Friday, except Federal holidays. Those
desiring notification of receipt of comments must include a self-
addressed, stamped envelope or postcard on which the following
statement is made: "Comments to Docket No. TSA-2001-11120. The post
card will be date stamped and mailed to the sender. Comments also may
be sent electronically to the Dockets Management System (DMS) at:
http://dms.dot.gov at any
time. Those who wish to file comments
electronically should follow the instructions on the DMS web site.
FOR FURTHER INFORMATION CONTACT: For guidance involving technical
matters: A. Thomas Park, Acting Deputy Chief Financial Officer,
Department of Transportation, Office of the Secretary, Office of the
Assistant Secretary for Budget and Programs, 400 Seventh St., SW., Room
10101, Washington, DC 20590; telephone (202) 366-9192. For legal
interpretation or guidance: Rita M. Maristch, Department of
Transportation, Office of the General Counsel, Office of Environmental,
Civil Rights and General Law, 400 Seventh St., SW., Room 10102,
Washington, DC 20590; telephone (202) 366-9161. Office hours are from
9:00 a.m. to 5:30 p.m., e.t. Monday through Friday, except Federal
holidays.
SUPPLEMENTARY INFORMATION:
Availability of the Interim Final Rule and Comments Received
An electronic copy of this document may be downloaded using a modem
and suitable communications software from the Government Printing
Office's Electronic Bulletin Boards Service at (202) 512-1661. Internet
users may reach the Federal Register's home page at: http://www.nara.gov/fedreg and
the Government Printing Office's database at:
http://www.access.gpo.gov.
Internet users can access this document and all comments received
by TSA through DOT's docket management system web site, http://dms.dot.gov. It
is available 24 hours each day, 365 days each year.
Please follow the instructions online for more information and help.
Small Entity Inquiries
The Small Business Regulatory Enforcement Fairness Act (SBREFA) of
1996 requires TSA to comply with small entity requests for information
and advice about compliance with statutes and regulations within TSA's
jurisdiction. However, because TSA was just established on November 19,
2001, pursuant to Aviation and Transportation Security Act, Public Law
107-71, it does not yet have the infrastructure or personnel to provide
such information and guidance. Until such time that it does, the Office
of the Secretary of Transportation will handle all SBREFA inquiries.
Accordingly, any small entity that has a question regarding this
document may contact the individuals listed under the caption For
Further Information Contact.
Background
The September 11 Terrorist Attacks and the Aviation and Transportation
Security Act
The September 11, 2001 terrorist attacks as well as the potential
for future attacks led Congress to enact the Aviation and
Transportation Security Act, Public Law 107-71 (ATSA), November 19,
2001, which established TSA as an administration within the U.S. DOT.
TSA will be headed by a Presidential appointee to a newly established
position, the Under Secretary of Transportation for Security (Under
Secretary). Pursuant to section 101(g)(5) of the ATSA, the Secretary of
Transportation has delegated to the Deputy Secretary of Transportation
the authority to carry out the functions of the Under Secretary as they
relate to aviation security on an interim basis. These duties will be
assumed by the Under Secretary when he takes office.
Section 118 of ATSA, which added section 44940 to Title 49, U.S.C.,
requires that within 60 days of ATSA's enactment, or as soon as
possible thereafter, TSA impose uniform security service fees on
passengers of domestic and foreign air carriers in air transportation,
foreign air transportation, and intrastate air transportation
originating at airports in the United States. ATSA also requires that
notice of the imposition of these fees be published in the Federal
Register. However, the statute exempts the imposition of the fees from
the procedural rulemaking requirements of 5 U.S.C. 553 and the user fee
requirements of 31 U.S.C. 9701. The fees are to pay the costs of
providing Federal civil aviation security services, which are described
in section 44940 as:
- The salary, benefits, overtime, retirement and other costs of
screening personnel, their supervisors and managers, and Federal law
enforcement personnel deployed at airport security screening locations;
- The costs of training such personnel and the acquisition,
operation, and maintenance of equipment used by these personnel;
- The costs of performing background investigations of personnel;
- The costs of the Federal air marshals program;
- The costs of performing civil aviation security research and
development under Title 49, U.S.C.;
- The costs of Federal Security Managers; and
- The costs of deploying Federal law enforcement personnel.
According to section 44940(a)(1), the Under Secretary is
responsible for determining the amount of the costs of providing these civil aviation
security services. Section 44940(b) and (c) provides that the passenger
security service fee must be reasonably related to the costs of
providing civil aviation security services, but may not exceed $2.50
per enplanement or $5.00 per one-way trip. Section 44940(a)(1) also
provides that the cost determinations by the Under Secretary are
conclusive and are not subject to judicial review.
According to section 44940(d) and (e), an air carrier or foreign
air carrier that sells a ticket for transportation is responsible for
collecting the security service fees. The security service fee imposed
is not considered to be part of the amount paid for taxable
transportation under 26 U.S.C. 4261. Air carriers and foreign air
carriers must remit the total amount of fees collected during a
calendar month to TSA by the last calendar day of the following month.
Any security service fees imposed on, but not collected from, an air
carrier's or foreign air carrier's passengers as required by this part,
are the air carrier's or foreign air carrier's responsibility and must
be included with its monthly remittance. Although the law requires air
carriers and foreign air carriers to remit the total amount of the fees
collected each month to TSA, carriers may retain the interest that
accrues on the principal between the time of collection and remittance
in accordance with section 44940(e)(3). Section 44940(e)(4) permits the
Under Secretary to require air carriers and foreign air carriers to
provide any information necessary to verify that the security service
fees have been collected and remitted in accordance with law and
regulation.
The Interim Final Rule
Pursuant to delegated authority, the Deputy Secretary has
determined that the security service fee to be paid by passengers will
be $2.50 per enplanement. Passengers may not be charged for more than
two enplanements per one-way trip or more than four enplanements per
round trip.
For purposes of this interim final rule, we have determined that a
direct air carrier or foreign air carrier that provides or offers to
provide air transportation and has control over the operational
functions performed in providing that transportation is considered to
be the selling carrier. If a passenger's air transportation includes
travel on two or more carriers, or if the passenger's air
transportation is otherwise on an aircraft not operated by the selling
carrier, the carrier selling the air transportation is responsible for
remitting the security service fees imposed.
The Under Secretary has the authority to exempt a passenger
enplaning at airports in the United States from paying the security
service fee in circumstances where the passenger does not receive
screening services pursuant to section 44901. Under this interim final
rule, the security service fee is imposed only on passengers who
enplane the following direct air carriers and foreign air carriers: (1)
A scheduled passenger or public charter passenger operation with an
aircraft having passenger seating configuration of more than 60 seats;
(2) a scheduled passenger or public charter passenger operation with an
aircraft having a passenger seating configuration of less than 61 seats
when passengers are enplaned from or deplaned into a sterile area. We
invite comment to address when and whether security service fees should
be imposed on additional direct air carriers and foreign air carriers.
Security service fees will not be imposed on passengers enplaning
on flight segments outside the United States, but will be imposed on
all flight segments originating in the United States.
Direct air carriers and foreign air carriers must collect the
security service fees imposed on air transportation sold on or after
February 1, 2002. The security service fee imposed by this interim
final rule applies to passengers using frequent flyer awards for air
transportation, but is not applicable to other nonrevenue passengers.
Air carriers and foreign air carriers must identify the security
service fees imposed by this part as "September 11th Security Fee" in
all its advertisements and solicitations for air transportation.
Each direct air carrier and foreign air carrier is responsible for
paying to TSA the security service fees imposed by this rule regardless
of whether it collects the fees. Each direct air carrier and foreign
air carrier is required to remit all security service fees imposed
during February 2002 to TSA by March 31, 2002. For subsequent months,
security service fees must be remitted by the last calendar day of the
following month. Specific instructions concerning remittance will be
provided directly to the direct air carriers and foreign air carriers
and will be posted on the DOT web site at www.dot.gov in the near
future.
The fee is set at the maximum amount permitted by ATSA because the
costs of providing civil aviation security services, as determined by
the Deputy Secretary, are greater than the amount that would be
recovered by the collection of fees that are reasonably related to
these costs. Specifically, the Deputy Secretary has determined that the
costs of providing civil aviation security services under section 44940
not already funded from other sources will conservatively exceed $1
billion in fiscal year 2002 and that fees collected at the statutory
maximum would yield less than $1 billion in fiscal year 2002, assuming
that collections begin on February 1, 2002. It should be noted that DOT
expects revenues from security service fees to fall short of the amount
required to cover civil aviation security service costs. In such a
case, ATSA requires that air carrier fees be assessed in order to cover
the shortfall. This assessment will be accomplished through a separate
notice published in the Federal Register during fiscal year 2002.
Under this rule, direct air carriers and foreign air carriers must
establish an accounting system to properly track the amount of the
security service fees imposed, collected, refunded and remitted as well
as the airports at which the passengers enplaned. Direct air carriers
and foreign air carriers are required to submit quarterly reports to
TSA that provide an accounting of fees imposed, collected, refunded and
remitted. Specific instructions concerning the submission of the
quarterly reports will be provided directly to the direct air carriers
and foreign air carriers and will be posted on the DOT web site at
www.dot.gov in
the near future.
Each direct air carrier and foreign air carrier that collects
security service fees from more than 50,000 passengers annually must
provide for an audit of its security service fee accounts and
activities by an independent certified public accountant on an annual
basis. The accountant must include in the audit an opinion on whether
(1) the direct air carrier's or foreign air carrier's procedures for
collecting, holding, and remitting the fees are fair and reasonable;
and (2) whether the quarterly reports fairly represent the net
transactions in the security service fee accounts. The reports, which
are due to the Under Secretary on the last calendar day of the month
following the quarter in which the fees were imposed, must provide an
accounting of the fees imposed, collected, refunded and remitted. The
reports must specifically identify the carrier involved, the total
security service fees imposed, collected, refunded and remitted, the
number of enplanements for which the fee was collected, the total
number of frequent flyer and nonrevenue passengers, the
total number of passenger enplanements for which the fee was imposed
but not collected, and the reasons that the fee was not collected in
such circumstances.
This rule requires direct air carriers and foreign air carriers to
allow certain authorized Federal representatives to review and audit
any of the carrier's books and records and provide other information to
verify that the security service fees were properly collected and
remitted.
The rule's enforcement provision states that direct air carriers
and foreign air carriers who fail to comply with the requirements of 49
U.S.C. 44940 or this regulation may be found to be engaging in unfair
and deceptive practices in violation of 49 U.S.C. 41712. The rule also
provides notice that the United States may seek collection of any funds
due it by the direct air carrier or foreign air carrier in accordance
with 49 CFR part 89. These remedies are in addition to any others
provided by law.
Requests for Waiver
Although not legally bound to do so, air carriers and foreign air
carriers may wish to identify the security service fee on a ticket they
issue for air transportation. Because ATSA requires that the security
service fees be collected as soon as possible, there may be
insufficient time to reconfigure the ticket to allow for such a fee
category. Therefore, DOT will entertain an air carrier's or foreign air
carrier's request that it be permitted to combine the amount of the
security service fee with the amount of the passenger facility charges
(PFC) identified in the PFC category on the ticket for a transitional
period not to exceed six months. DOT will also entertain a request for
a waiver of any DOT and Federal Aviation Administration requirement
that it believes may conflict with the security service fee as imposed
by this part. The request for a waiver must be in writing, explain the
conflict in detail, and be directed to TSA Docket No. 2001-11120, the
Docket Clerk, U.S. DOT Dockets, Room PL-401, 400 Seventh Street, SW.,
Washington, DC 20590-0001. DOT will address requests for a waiver on a
case-by-case basis.
Good Cause for Immediate Adoption
Section 44940(d)(1) of title 49, U.S.C., explicitly exempts the
imposition of the civil aviation security service fees authorized in
section 44940 from the procedural rulemaking notice and comment
procedures set forth in 5 U.S.C. 553. Apart from that exemption, it
would be impractical and contrary to the public interest to provide for
notice and comment before issuing this rule. Immediate action is
necessary to begin collecting the security service fees provided for by
the statute. However, TSA will consider all comments received on or
before the closing date for comment, including comments received before
the issuance of this rule. We will also consider comments filed late to
the extent practicable. We may amend this rule in light of the comments
we receive.
Paperwork Reduction Act
TSA has determined that this interim final rule will impose new
collection of information burdens within the meaning of the Paperwork
Reduction Act of 1995 (PRA). TSA is required to submit this proposed
collection of information to Office of Management and Budget (OMB) for
review and approval and, accordingly, seeks public comments. Interested
parties are invited to send comments regarding any aspect of the
information collection requirements, including, but not limited to: (1)
Whether the collection of information is necessary for the performance
of TSA, including whether the information has practical utility; (2)
the accuracy of the estimated burden that DOT has provided to OMB; (3)
ways to enhance the quality, utility, and clarity of the collection of
information, and (4) ways to minimize the collection burden without
reducing the quality of the information collected.
Pursuant to 5 CFR 1320.13, Emergency processing, TSA has asked OMB
for temporary emergency approval for this collection. We will publish a
Federal Register notice with the OMB number when it is approved.
Economic Analyses
This rulemaking action is taken in an emergency situation within
the meaning of Section 6(a)(3)(D) of Executive Order 12866, Regulatory
Planning and Review. It also is considered an emergency regulation
under Paragraph 11g of the Department's Regulatory Policies and
Procedures. In addition, it is a significant rule within the meaning of
the Executive Order and Department's policies and procedures because it
may impose significant costs on air carriers and foreign air carriers.
An assessment in accordance with the Executive Order will be conducted
in the future. No additional regulatory analysis or evaluation
accompanies this rule. TSA has not assessed whether this rule will have
a significant economic impact on a substantial number of small entities
as defined in the Regulatory Flexibility Act of 1980. When no notice of
proposed rulemaking has first been published, the Regulatory
Flexibility Act does not apply.
The current security threat requires that direct air carriers and
foreign air carriers comply with the necessary actions to ensure the
safety and security of passengers and operations. Therefore consistent
with section 44940, the security service fee imposed will be $2.50 per
passenger. Passengers will not be charged for more than two
enplanements per one-way trip or four enplanements per round trip.
Direct air carriers and foreign air carriers are responsible for
collecting these fees on or after February 1, 2002. OMB has reviewed
this rule under the provisions of section 6(a)(3)(D) Executive Order
12866.
Executive Order 13132, Federalism
The TSA has analyzed this rule under the principles and criteria of
Executive Order 13132, Federalism. We determined that this action will
not have a substantial direct effect on the States, or the relationship
between the national Government and the States, or on the distribution
of power and responsibilities among the various levels of government.
Therefore, we have determined that this final rule does not have
federalism implications.
Unfunded Mandates Reform Act
The Unfunded Mandates Reform Act of 1995 (the Act), enacted as
Public Law 104-4 on March 22, 1995, is intended, among other things, to
curb the practice of imposing unfunded Federal mandates on State,
local, and tribal governments. Title II of the Act requires each
Federal agency to prepare a written statement assessing the effects of
any Federal mandate in a proposed or final agency rule that may result
in a $100 million or more expenditure (adjusted annually for inflation)
in any one year by State, local, and tribal governments, in the
aggregate, or by the private sector.
The requirements of Title II of the Unfunded Mandates Reform Act of
1995 do not apply when rulemaking actions are taken without the
issuance of a notice of proposed rulemaking. Accordingly, the TSA has
not prepared a statement under the Act.
Environmental Review
TSA has reviewed this action for purposes of the National
Environmental Policy Act of 1969 (42 U.S.C. 4321-4347) and has
determined that this action will not have a significant effect on the
human environment.
Energy Impact
The energy impact of this rule has been assessed in accordance with
the Energy Policy and Conservation Act (EPCA) Pub. L. 94-163, as amended.
(42 U.S.C. 6362). It has been determined that this rule is not a major
regulatory action under the provisions of the EPCA.
List of Subjects in 49 CFR Part 1510
Accounting, Auditing, Air carriers, Air transportation,
Enforcement, Federal oversight, Foreign air carriers, Reporting and
recordkeeping requirements, Security measures.
Issued in Washington, DC, on December 26th, 2001.
Michael P. Jackson,
Deputy Secretary.
For the reasons set forth in the preamble, the Transportation
Security Administration establishes a new chapter XII consisting of
part 1510 in Title 49 of the Code of Federal Regulations to read as
follows:
Chapter XII--Transportation Security Administration, Department of
Transportation
PART 1510--PASSENGER CIVIL AVIATION SECURITY SERVICE FEES
Sec.
1510.1 Applicability and purpose.
1510.3 Definitions.
1510.5 Imposition of security service fees.
1510.7 Air transportation advertisements and solicitations.
1510.9 Collection of security service fees.
1510.11 Handling of security service fees.
1510.13 Remittance of security service fees.
1510.15 Accounting and auditing requirements.
1510.17 Reporting requirements.
1510.19 Federal oversight.
1510.21 Enforcement.
Authority: 49 U.S.C. 44940.
§ 1510.1 Applicability and purpose.
This part prescribes a uniform fee to be paid by passengers of
direct air carriers and foreign air carriers in air transportation,
foreign air transportation, and intrastate air transportation
originating at airports in the United States to pay for the costs of
providing civil aviation security services as described in 49 U.S.C.
44940.
§ 1510.3 Definitions.
The following definitions apply in this part:
Air carrier means a citizen of the United States who undertakes
directly to engage in or provide air transportation.
Air transportation means intrastate, interstate or foreign air
transportation.
Aircraft means a device that is used or intended to be used for
flight in the air.
Airport means any landing area used regularly by aircraft for
receiving or discharging passengers or cargo.
Direct air carrier and foreign air carrier means a selling carrier.
Foreign air carrier means any person other than a citizen of the
United States who undertakes directly to engage in or provide air
transportation.
Foreign air transportation means the carriage by aircraft of
persons for compensation or hire between a place in the United States
and any place outside of the United States.
Frequent flyer award means a zero-fare award of air transportation
that a domestic air carrier or foreign air carrier provides to a
passenger in exchange for accumulated travel mileage credits in a
customer loyalty program, whether or not the term frequent flyer is
used in the definition of that program.
Interstate air transportation means the carriage by aircraft of
persons for compensation or hire within the United States.
Intrastate air transportation means the carriage of persons for
compensation or hire wholly within the same State of the United States.
Nonrevenue passenger means a passenger receiving air transportation
from an air carrier or foreign air carrier for which the air carrier or
foreign air carrier does not receive remuneration.
One-way trip means any trip that is not a round trip.
Origin point means the location at which a trip on a complete air
travel itinerary begins.
Passenger enplanement means a person boarding in the United States
in scheduled or nonscheduled service on aircraft in intrastate,
interstate, or foreign air transportation.
Principal means the aggregate amount of all passenger security
services fees due to be remitted to the Transportation Security
Administration by an air carrier as required by this part.
Round trip means a trip on an air travel itinerary that terminates
at the origin point.
Selling carrier means an air carrier or foreign air carrier that
provides or offers to provide air transportation and has control over
the operational functions performed in providing that air
transportation.
Under Secretary means the Under Secretary of Transportation for
Security or the Under Secretary's designee.
§ 1510.5 Imposition of security service fees.
(a) The security service fee will be $2.50 per passenger
enplanement. The security service fee is imposed only on passengers of
direct air carriers and foreign air carrier described in
§ 1510.9(a). Passengers may not be charged for more than two
enplanements per one-way trip or four enplanements per round trip.
(b) The security service fee will be imposed on all flight segments
originating at an airport in the United States.
(c) The security service fee must be imposed on passengers who
obtained the ticket for air transportation with a frequent flyer award,
but may not be imposed on any other nonrevenue passengers.
(d) Passengers enplaning a flight segment outside of the United
States are not subject to the security service fee for that
enplanement.
§ 1510.7 Air transportation advertisements and solicitations.
A direct air carrier and foreign air carrier must identify the
security service fee imposed by this part as "September 11th Security
Fee" in all its advertisements and solicitations for air
transportation.
§ 1510.9 Collection of security service fees.
(a) The following direct air carriers and foreign air carriers must
collect security service fees from passengers enplaning:
(1) A scheduled passenger or public charter passenger operation
with an aircraft having passenger seating configuration of more than 60
seats.
(2) A scheduled passenger or public charter passenger operation
with an aircraft having a passenger seating configuration of less than
61 seats when passengers are enplaned from or deplaned into a sterile
area.
(b) Direct air carriers and foreign air carriers must collect from
each passenger, to the extent provided in § 1510.5, a security
service fee on air transportation sold on or after February 1, 2002.
The security service fee must be based on the air travel itinerary at
the time the air transportation is sold. Any changes by the passenger
to the itinerary that alter the number of enplanements are subject to
additional collection or refund of the security service fee by the
direct air carrier or foreign air carrier as appropriate. Direct air
carriers and foreign air carriers are solely liable to TSA for
additional security service fees imposed because of involuntary
enplanement changes to the itinerary.
(c) Whether or not the security service fee is collected as
required by this part, the direct air carrier or foreign air carrier
selling the air transportation is solely liable to TSA for the fee and
must remit the fee as required in § 1510.13.
(d) Direct air carriers and foreign air carriers may not collect
security service fees not imposed by this part.
§ 1510.11 Handling of security service fees.
(a) Direct air carriers and foreign air carriers are responsible
for the safekeeping of all security service fees from the time of
collection to remittance.
(b) Security service fees collected by a direct air carrier or
foreign air carrier are held in trust by that direct carrier for the
beneficial interest of the United States in paying for the costs of
providing civil aviation security services described in 49 U.S.C.
44940. The direct air carrier or foreign air carrier holds neither
legal nor equitable interest in the security service fees except for
the right to retain any accrued interest on the principal amounts
collected pursuant to § 1510.13(b).
(c) Direct air carriers and foreign air carriers must account for
security service fees separately, but the fees may be commingled with
the carriers' other sources of revenue.
(d) Direct air carriers and foreign air carriers must disclose in
their financial statements the existence and the amount of security
service fee held in trust.
§ 1510.13 Remittance of security service fees.
(a) Each direct air carrier and foreign air carrier must remit all
security service fees imposed each calendar month to TSA, as directed
by the Under Secretary, by the last calendar day of the month following
the imposition.
(b) Direct air carriers and foreign air carriers may retain any
interest that accrues on the principal amounts collected between the
date of collection and the date the fee is remitted to TSA in
accordance with paragraph (a) of this section.
(c) Direct air carriers and foreign air carriers are prohibited
from retaining any portion of the principal to offset the costs of
collecting, handling, or remitting the passenger security service fees.
(d) Security service fees are payable to the "Transportation
Security Administration" in U.S. currency and drawn on a U.S. bank.
(1) Fees of $1,000 or more must be remitted by electronic funds
transfer.
(2) Fees under $1,000 may be remitted by electronic funds transfer,
check, money order, wire transfer, or draft.
(e) Direct air carriers and foreign air carriers are responsible
for paying any bank processing charges on the security service fees
collected or remitted under this part when such charges are assessed on
the U.S. government.
§ 1510.15 Accounting and auditing requirements.
(a) Direct air carriers and foreign air carriers must establish and
maintain an accounting system to account for the security service fees
imposed, collected, refunded and remitted. The accounting records must
identify the airports at which the passengers were enplaned.
(b) Each direct air carrier and foreign air carrier that collects
security services fees from more than 50,000 passengers annually must
provide for an audit at least annually of its security service fee
activities or accounts.
(c) Audits pursuant to paragraph (b) of this section must be
performed by an independent certified public accountant and may be of
limited scope. The accountant must express an opinion on the fairness
and reasonableness of the direct air carrier's and foreign air
carrier's procedures for collecting, holding, and remitting the fees.
The opinion must also address whether the quarterly reports required in
§ 1510.17 fairly represent the net transactions in the security
service fee accounts.
§ 1510.17 Reporting requirements.
(a) Each direct air carrier and foreign air carrier collecting
security service fees must provide TSA with quarterly reports that
provide an accounting of fees imposed, collected, refunded and
remitted.
(b) Quarterly reports must state the direct air carrier or foreign
air carrier involved, the total security service fee imposed,
collected, refunded and remitted, the number of enplanements for which
a fee was collected, the total number of frequent flyer and nonrevenue
passengers, and the total number of enplanements for which the fee was
not collected. The reports must explain why any fee imposed under this
part was not collected.
(c) The report must be filed by the last day of the calendar month
following the quarter in which the fees were imposed.
§ 1510.19 Federal oversight.
Direct air carriers and foreign air carriers must allow any
authorized representative of the Under Secretary, the Secretary of
Transportation, the Inspector General of the Department of
Transportation, or the Comptroller General of the United States to
audit or review any of its books and records and provide any other
information necessary to verify that the security service fees were
properly collected and remitted consistent with this part.
§ 1510.21 Enforcement
A direct air carrier's or foreign air carrier's failure to comply
with the requirements 49 U.S.C. 44940 or the provisions of this part
may be considered to be an unfair and deceptive practice in violation
of 49 U.S.C. 41712 and may also result in a claim due the United States
by the carrier collectable pursuant to 49 CFR part 89. These remedies
are in addition to any others remedies provided by law.
[FR Doc. 01-32254 Filed 12-28-01; 11:17 am]
BILLING CODE 4910-62-P
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