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What are some of the questions you'd like answered (or topics you'd like covered) by our resident aviation attorney, Charles Morgenstein, our Master CFI, Chris Hope, or our favorite AME, Dr. Brent Blue?

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The Flightline TV show attended the 25th annual Log Cabin Fly-In, Mondovi, WI

http://www.airnav.com/airport/WS69

Special thanks to our sponsors, CountryChev.com, Strukturoc.com, Exclusive Aviation, MyPOV360.com and Wings Financial

Doug Ward, a B-17 ball turret gunner and American hero, along with his good friend Judie Ohm were our hosts (They greeted us dressed in WWII aviator uniforms!) They met our crew as we arrived and set up to do a feature story about their event. They provided refreshments and a warm place for all to meet and greet.

This was our 1st trip over to the Log Cabin Fly-in & we enjoyed it. Luckily the weather was warmer and the winds were not as strong as predicted earlier in the day.  After seeing Doug’s hand built log cabin home and interesting out-buildings and hangars, we decided we’d like to see his summer Fly-In if our schedule permits.

A special thanks goes out to Doug Beck who took our show pilot, Paul Jackson up for a little ride to capture some in-flight footage. Doug is a moderator for the website http://www.skiplane.org and welcomes all to log-in and check it out.

 

Today, the spirit of the Golden Age of aviation is still alive and flying. The Flightline shot a great segment with Clay Adams and his 1929 Travel Air. Clay flies the skies of the Midwest, hopping rides two at a time, introducing a new generation to the wonders of flight while providing older generations an opportunity to be immersed in nostalgia.

The Flightline, an aviation show like no other, launches their second season to a growing audience of aviation enthusiasts throughout the Midwest and a worldwide online following. By partnering with FS-North and FS-Wisconsin the show will have a regional reach of 4+ million households, in preparation for a National roll-out. Season two is presented in High Definition by CountryChev.com

 

The show is hosted by Eden Prairie’s Mark DeJoy and “show pilot” and consultant Paul Jackson of Chaska who is a senior captain for a major air carrier and a certified flight instructor. DeJoy and Jackson are lifelong friends who have known each other since kindergarten.

This season, the show will be broadcast on Saturday mornings at 10:30AM starting July 2nd. A channel finder is provided on The Flightline website to find your local channels.

These aviation stories focus not only on aircraft new and old, military and civilian, small and large, but also on the people who fly them. The stories are produced to appeal not only the aviation enthusiast, but by anyone who marvels at the wonder of flight. In addition to their ground-based HD cameras, the production team uses small HD cameras mounted in and around the aircraft to give the audience the feeling they are along for the ride when they take to the skies.

Featured stories include: the Navy’s Blue Angels, the Air Force’s new F-22 Stealth Fighter, vintage aircraft from aviation’s Golden Age, old warbirds, aerobatic aircraft, barnstormers and stories about the past, present and future of aviation.

“We like to tell people that we provide an air show every week for our viewers” said Executive Producer Mark DeJoy. “When people get to see these aircraft up close and in the air in high definition, it really is like you’re there in the cockpit”

More information available online at www.flightline.TV

Be a FAN on Facebook. www.facebook.com/theflightline.tv

We are learning more and more that mobile devices like the Apple iPad are becoming a valuable tool in the cockpit; with many apps available from the likes of ForeFlight, Airguide Publications, Jeppesen, ASA, Sporty's Pilot Shop, and NEXTGENsystems to name a few. Do you have an iPad or similar device? Do you use yours in the cockpit? If so, comment below to let us and other readers know what apps you use and how beneficial this technology is for the GA community.

GA, This Week in Review

Welcome to our new weekly blog “GA, This Week in Review”.  We get a lot of useful GA press releases, product announcements, fly-in info & more each week. Because we cannot possibly fit all of this in our weekly e-newsletter, we decided this is the best way to get the information out to you. Enjoy.

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Press Release – New Product
Garmin® Announces the Future of Avionics. GTN™ 650 and GTN 750 series touchscreen avionics are certified and ready to fly. These panel-mount units are certified and approved for installation in hundreds of makes and models of general aviation aircraft. The GTN 650 and GTN 750 feature new capabilities for GPS/NAV/COM systems like touchscreen operation, graphical flight planning with victor airways and high-altitude jet routes, remote transponder, remote audio control (750 series only), SafeTaxi® and electronic chart capabilities (750 series only). For additional information visit www.garmin.com/gtn 

 

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Press Release – New Product

McFarlane Aviation, Inc. has announced a  new product for the general aviation market. They now have a FAA-PMA approved Cowl Saver™ baffle seals for 172R and 172S Cessna aircraft. For more information, call 800-544-8594 or go to http://www.mcfarlaneaviation.com/cowlsaver

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Press Release – New Product

Larson Electronics’ has announced that magnalight.com added a Class 1 Division 1 and Class 2 Division 1 explosion proof LED light alternative to incandescent and fluorescent trouble lights for hazardous locations areas.  The durable EPL-FL1524-LED-50-HR ships with an explosion proof reel, so the entire lighting solution can be installed and used in the hazardous location area.  You can learn more at https://www.magnalight.com or 1-800-369-6671 (1-903-498-3363 international). 

 

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PRESS RELEASE -
FOR IMMEDIATE RELEASE
Sonex Aircraft, LLC has announced that they are now accepting refundable deposits for the Onex Single-Place, Folding-Wing, Aerobatic Sport Aircraft. The deposits are to reserve kit productions slots. Customers can view full details, terms & conditions, and make their Onex Kit
Reservation Deposits at http://www.SonexAircraft.com/onex

 

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PRESS RELEASE -
FOR IMMEDIATE RELEASE

 EAA has launched the date of the 2^nd annual International Learn to Fly Day it is going to take place Saturday, May 21, 2011.  The EAA views this event as a key way to introduce people of all ages to flying. They are championing their local EAA Chapters to lead the way by offering complementary adult orientation flights.  The EAA is hoping that this will help create a full year adult version of their already very received  and highly successful Young Eagles program. Learn more about Learn To Fly Day on May 21^st , 2011 here: http://www.learntofly.org   

   

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PRESS RELEASE -
FOR IMMEDIATE RELEASE

The Lindbergh Foundation will be hosting its 2^nd annual Lindbergh Foundation Day at SUN 'n FUN on Thursday, March 31 from 9 a.m - 2 p.m. They have put together an array of aviation industry speakers to touch a variety of topics. Their forums will be held at the Central Florida Aerospace Academy in the multipurpose room on the Sun ‘n Fun grounds. Learn more about the Lindbergh Foundation Day at SUN 'n FUN here:

http://www.lindberghfoundation.org/docs/index.php/aviation-green/457-lindbergh-foundation-day-2011

 

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PRESS RELEASE - “Skydreamers” Exhibit at the Autry National Center. 

If you have been looking for a reason to get out to Los Angeles, or you live in or around the area, we have something for you to check out. The Autry National Center is putting on an exhibit called “Skydreamers”. You can go through the history of flight with their exhibition of art and photography. It shows not only the history but impact of flight. They have everything from the first hot-air balloon ride to the exploration of space. The “Skydreamers” exhibition goes on from April 29th through September 4th, 2011. For more information visit: http://theautry.org/exhibitions/skydreamers

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PRESS RELEASE - FOR IMMEDIATE RELEASE
The Commemorative Air Force (CAF) has confirmed that FIFI, the world’s only airworthy Boeing B-29 Superfortress and country music star/patriot Aaron Tippin will take their "CAF’s Red, White & Loud Tour" to AirVenture 2011. FIFI will arrive at AirVenture on Tuesday, July 26^th staying until July 31^st.  FIFI will appear in Friday’s air show as a part of the AirVenture’s day-long veterans salute. Aaron Tippin will take the stage on Saturday, his concert will precede the Night Air Show and Daher-Socata Fireworks. For more information about FIFI and Arron Tippin's appearance at AirVenture 2011, visit: http://www.commemorativeairforce.org/?page=cms/event&eventID=105 or www.AaronTippin.com or
http://www.airventure.org/news/2011/110323_b29fifi.html

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Press Release –
New Product
Trisoft Panels interlock to cover wings and horizontal stabilizers, protecting them from dropped tools, flashlights, spray cans, and all the other hazards that can fall onto thin metal and painted surfaces. The XLPE foam is resistant to sunlight, heat, and cold; and its closed-cell structure is chemical resistant and will not absorb water. Sized in two foot squares and packed four to a case, the squares have a natural resistance to sliding on the surface. For more info: 800-844-2371 or www.trisoftcovers.com

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PRESS RELEASE - FOR IMMEDIATE RELEASE.
The University of North Dakota (UND) John D. Odegard School of Aerospace Sciences will host its Spring Aviation Safety Seminar on Wednesday, March 30 at 7 p.m. at the Chester Fritz Auditorium. The seminar, presented by National Transportation Safety Board vice chair Robert Sumwalt, will focus on professionalism in aviation. This safety seminar meets the credit requirements for those aviators who are participating in the Federal Aviation Administration (FAA) Wings Pilot Proficiency Program. The seminar is free and open to the public. For more information: http://www2.und.nodak.edu/our/news/story.php?id=3401 

Despite the economic downturn, I am regularly reminded of the constant innovations that are made in General Aviation.

Yes, I know that the basic premise of aircraft design has not changed all that much over time. After all, neither has the basic design for boats. But once in a while someone comes up with something that’s really neat.

Martin Jetpack Is Still Coming
I was reminded of this again today when I received press packet concerning the Martin Jetpack. Here is an outfit that, that many thought would disappear into the pages of history after their initial appearance at Oshkosh back in 2008. But they are still around, seemingly improving their product and poking fun at those who said they were a flash in the pan.

The Jetpack as you recall if you were there was a somewhat bulky looking device that someone rode a couple of feet off the ground at their OSH exhibit – with people stabilizing the modest ascent all the while. Low and behold, it looks like they have made progress since then. The current pictures show someone hovering about 20 feet off the ground. This video shows it flying remotely quite a bit higher than that.

The thing I really like about this is that these guys have not given up. They have gone so far as to compare Jetpack operations to a light helicopter. A bit optimistic perhaps – one might even call it hyperbole – were it not for the progress these folks have made over the last several years. I wish them luck and continued success.

Inexpensive Traffic Avoidance Could Save Your Life
Other innovations also continue to be refined add to the overall safety of our General Aviation flying. One of my favorite categories are the comparatively inexpensive traffic avoidance devices. These include the likes of the Zaon XRX and MRX systems which could save you from a mid-air collision. I have recently purchased the XRX and trust me, there is much more traffic out there than you ever have a chance to eyeball. These are worthwhile investments no matter where you fly.

Getting ready of another trip into the Baja and mainland Mexico, I am also taking along another fairly recent innovation: the SPOT locator beacon system. Not only can these inexpensive devices help notify others of your location in an emergency, they also allow friends and loved ones to follow your travels on Google Maps (OK, if you don’t want to send your location all the time you don’t need to have it on all the time)!

Other innovations we can use include the portable and low cost pulse oximeters which you can use to periodically check your blood oxygen content when flying at higher altitudes. To make sure you are breathing the right stuff, you can now purchase inexpensive CO detectors to go along with it.

I-Pad Type Devices Are Information Pads for GA
Several friends have recently purchased I-pads and subscribed to one of several flight planning Web sites that provide everything from weather to online approach plates. This industry is still in its infancy and yet they are providing capabilities we would only have dreamed about a few short years ago.

I absolutely love my seat-of-the-pants flying, but I am also so pleased at all of the innovations coming out in support of General Aviaiton. These can make our flying even safer and in many cases more fun.

Another Summer Of Great Flying Is Upon Us!
I am also getting excited about the summer flying season and looking forward to all the flying coming up this year. As I mentioned, that begins with my nearly annual flying trip to Mexico which will coincide with the first fly-in I usually attend in Casa Grande, Arizona, the Cactus Fly-in the weekend of March 4 – 5, and then Sun ‘N Fun in Lakeland, Florida, March 29 through April 3. I have not decided what I’m taking to Sun ‘n Fun this year but it may just be my recently restored Paramount Cabinaire. But we’ll see. For sure I will be there all week.

Just a reminder, if you have not been flying that much this winter, it’s time to get out when you can and brush off those winter cobwebs for a safe and enjoyable summer of great fun and adventure. We look forward to seeing you at a fly-in or other aviation gathering this year.

If you are thinking about buying an aircraft for use in your business in 2011, you need to know that the income tax laws have changed recently and, if you follow a whole bunch of complicated rules, these changes can substantially reduce your cost of owning and operating that aircraft.

First, a warning.  I am not a tax attorney.  I know enough about tax to get myself in trouble in a hurry.  Everyone’s tax situation is different, and the rules and regulations change constantly.  If you are contemplating the purchase of an aircraft and are interested in the actual tax consequences that will apply to your situation, you should contact an accountant who specializes in aircraft taxation.  There are several good ones around the country.  Your regular CPA generally is not going to know about any of the special rules relating to aircraft.  Some CPAs may not even know that there is stuff they don’t know.  If you just use your regular CPA, without verifying that he or she knows about aircraft accounting procedures, you are asking for trouble down the road.  Use a specialist.  It is worth the extra expense.  Also, this article is only about federal income tax.  It does NOT address other types of taxes like sales taxes, use taxes, ad valorem taxes, or other similar taxes and fees.

As in most years, favorable tax treatment in 2011 depends upon whether you are buying a NEW aircraft or a USED aircraft.  The treatment for both types of aircraft has improved dramatically over the past years, but it is VERY different between the two types.

In general, there are three types of expenses that we are concerned with in this article:  “standard” depreciation; “bonus” depreciation; and “Section 179” expenses. 

The most-talked-about of these three items is “bonus” depreciation.  The term “bonus” refers to the fact that the income tax laws currently require that aircraft which can be depreciated usually have to be depreciated over a schedule of either five or seven years (depending on the type of use).  At this rate, the taxpayer would not be able to deduct more than about 20% of the cost of the aircraft in the first year of ownership.  Beginning in 2004, as a way to stimulate the economy and create jobs, however, the government began using the concept of “bonus” depreciation, which allowed people who ordered and placed into use new aircraft to “front load” the depreciation deduction in the year they made the cash outlay.  This had the result of stimulating people to buy new aircraft, which, in turn, kept people employed building them.

For 2011, the way in which bonus depreciation works, is that 100% of the cost of new aircraft, and of new equipment added to used aircraft, on contracts entered into on or after January 1, 2008, and placed into service prior to December 31, 2011, may be taken as a depreciation expense in the year of purchase.  If you have a large liability for taxes in 2011, this is huge.  It has the effect of allowing you to deduct the cost of your aircraft from your taxable income, resulting in less tax due for the year 2011, and might even result in a tax refund.  The current law changes in 2012, the “bonus” is not as much, but is still nothing to sneeze at.  Up to 50% of the cost of the new aircraft can be deducted in 2012 if the aircraft is put into service during that year.  There are even some circumstances where the aircraft owner can receive an extension of up to one year (to December 31, 2013) to put the aircraft into service and still write off 50% of the purchase price as “depreciation” in the year the aircraft is placed into service.  Again, this can result in less income taxes due, or even a tax refund.

“Regular” depreciation is applicable for all aircraft which are legitimately used for business (as distinguished from “hobby”; “personal use”; or “entertainment”).  The rules regarding regular depreciation haven’t really changed much.  Depending upon the type of business use to which the aircraft is put, the most you can depreciate in any one year is dependent upon the Modified Accelerated Cost Recovery system (MACRS) formula, which is only slightly “front loaded”.

Section 179 expensing is different.  It allows you to deduct certain regular operating expenses, within strictly controlled limits.  For 2011, those limits have been made much more liberal than they have been in the past.  For USED aircraft, as well as NEW aircraft, a taxpayer who invests up to $2,500,000.00 in an aircraft may take up to the first $500,000.00 in expenses incurred in 2011 as deductible expenses in 2011.  Again, this can have the result of making the cost of purchasing and operating a used aircraft much less onerous, since much of the purchase cost may be recovered in tax savings in year one.  [Although Section 179 expensing applies to new aircraft as well as used aircraft, in MOST cases, it will be more beneficial for the owner of the new aircraft to use bonus depreciation rather than Section 179 expensing.]

In 2012, this expensing will become much less generous.  At that time, unless there is a change made before the rules become effective, only the first $625,000.00 of investment is eligible to be considered for Section 179 expensing.  Only a maximum of $125,000.00 can actually be expensed in year one.  The benefit of Section 179 expensing is phased out for investments in aircraft in excess of $625,000.00

2010 Legal Proceedings: A Retrospective

As many of you know from prior issues of this column, getting statistics about FAA administrative proceedings against pilots is very difficult.  The only place where good statistics are available is from the ultimate administrative appellate body, the NTSB, which hears appeals from FAA Orders against Certificate holders.

In 2010, there were a total of 62 such appeals.  Of those, 7 cases were cases where the substance of the matter had been heard before and either a judicial appeal was taken to the United States Court of Appeal (3 cases), or where the Certificate Holder had filed a request for reimbursement of a portion of his or her attorneys fees under the Equal Access to Justice Act (4 cases).  Three other cases were sent back to the Administrative Law Judges for further proceedings without a finding for either party (“remanded”).  Four other cases dismissed the Airman’s Appeal for being untimely without reaching the merits of the matter.  In five other cases, the Administrator’s Petition to have the decision of the Administrative Law Judge reconsidered, the NTSB refused to reconsider the matter.  In one other case, where the Airman petitioned the NTSB to have the decision of the Administrative Law Judge reconsidered, the NTSB refused to reconsider the matter.  In two other cases, an Airman’s request for a stay of the Order of the Board pending judicial review by the United States Court of Appeal was granted; in another it was denied.  In one case, the Law Judge had refused to grant the FAA’s Motion to Dismiss the Airman’s appeal because the Airman allegedly didn’t file his appeal in time, was reversed and the Airman was not allowed to proceed to the merits in the case below.  11 cases involved appeals which were either withdrawn or not perfected.  One other case was settled.  This leaves 26 cases in which cases were decided on the basic merits of the argument of the parties.

Of those 26 cases, 9 were cases that were brought by the Administrator under the FAA’s “emergency” powers.  All of those cases were decided in favor of the Administrator and against the Airman.  The remaining 17 cases, all went, in one form or another, against the Airman, as well.  Although in a few of those cases, the sanctions recommended by the Administrative Law Judge were reduced, all of the Airmen whose appeals to the NTSB were heard on the merits, wound up with their Certificates revoked or suspended for some period of time.

It is also interesting to note that, in the last three or four years, the NTSB legal staff has managed to whittle down its entire backlog of appeals such that there is relatively little delay between the date that an appeal is taken from an Administrative Law Judge and the date that an Opinion is published by the NTSB.  This benefits all concerned, as it provides closure for disputes.
   
You should also be aware of the fact that the NTSB is considering changes to the rules governing “emergency” proceedings. According to the Press Release, 

“The ANPRM [Amended Notice of Proposed Rule Making] indicates that certain parties have approached the NTSB concerning emergency certificate actions, which involve cases in which the FAA issues an immediately effective order revoking or suspending a certificate.  In such cases, the NTSB’s procedural rules allow a party to challenge the emergency status of the case, and provide an expedited timeline for doing so. The rules currently require the NTSB’s administrative law judges to ‘consider whether, based on the acts and omissions alleged in the Administrator’s order, and assuming the truth of such factual allegations, the Administrator’s emergency determination was appropriate under the circumstances.’  The ANPRM invites public comments concerning this standard of review, as well as other aspects of the emergency review process, such as whether a hearing should occur to allow parties to provide evidence concerning whether the case should be treated as an emergency.  The ANPRM further invites comments concerning whether parties should have an opportunity for another level of appeal to challenge the emergency status determination.”

For information on how to make a formal “comment” during the “comment period, please contact me and I will assist you so that your voice can be heard on this important matter.