On March 11, 2014 in accordance with 14 C.F.R. Part 93, the FAA announced a limited waiver of the conditions set by the High Density Rule (HDR) which require airliners to purchase operating authorizations, or slots, in order to land or take-off from Washington’s Reagan National Airport, John F.Kennedy International Airport, LaGuardia Airport, and Newark Liberty International Airport. The HDR requires each airliner to use at least 80% of the time allotted to them at each of the designated airports for a period of two months or risk repossession of their slot by the FAA upon which the slot will be auctioned off to other carriers.
The FAA issued the waiver in response to requests by American Airlines Inc., Delta Air Lines Inc., United Airlines Inc., and U.S. Airways Inc. for clemency for the period between January 5, 2014 and February 14, 2014 within which inclement weather caused airport closures, reduced airport capacity, produced aircraft deicing problems, and engendered substantial delays. The waiver exceeds the airlines’ requests and extends from January 5, 2014 to March 3, 2014.
The HDR came into effect in order to reduce delays at America’s busiest airports while encouraging competition for space amongst theiroccupants. By requiring each airliner to purchase permissions to land and to take off at the busiest airports, the FAA increased the airliners’ incentive to use the slots allocated to them. By additionally stipulating that each airline must use its slots 80% of the time over the course of any two month period or otherwise risk forfeiture by auction, the HDR is designed to increase competition by making these slots more available to the market. The purpose of the HDR is also to increase the opportunity for new entrants by allowing each of the occupying carriers to sell their slots.
For more information on the limited waiver of the High Density Rule, please contact Glenn Wicks or Ronce Almond at (202)457-7790.