"Robert M. Gary" wrote in
ups.com:

All true, but there is no specific "Angel Flight" exemption.

Sorry, didn't mean to imply that there was a special exemption. Angel
Flight is specially recognized by the FAA. If you tried to start the
same organization today the FAA would require a 135 certificate since
it fails the "common cause" test for 135 operation. The FAA has
threatened to shut down Angel Flight in the past but they do a good job
of showing successful missions on "Good Morning America" and the like.
The FAA chooses to ignore Angel Flight.

Our flights are purely part91 flights with no "compensation" going to
either the pilot or the organization in return for the flight (neither
the patient nor the hospital is ever billed a dime).

True, it passes the compensation test but if failes the "common cause"
test. Anytime you publicly offer to transport someone from one place to
another that you would not have otherwise gone it, its generally
considered part 135. AOPA has a good publication on the several tests
the FAA uses to determine part 135.

-Robert



The FAA does not "ignore" Angel Flight. There is a specific order in the
Air Transportation Inspector's handbook (FAA Order 8400.10) addressing the
status of Angel Flight and similar organizations regarding this issue.

The Air Care Alliance web site has a copy of FAA Order 8400.10, Vol. 4,
Chap. 5, Section 1, Para 1345 (http://www.aircarall.org/tax.htm) which
specifically tells inspectors that they should NOT treat the tax
decuctiblity of Angel Flight or similar groups (referred to as "life
flights") as "compensation for hire" for the purposes of enforcement of FAR
61.118 or FAR part 135.

The following have been copied from the above referenced web site.

The April 23, 1993 letter from the FAA Acting Chief COunsel to the Air Care
Alliance and Angel Flight of Texas:

Apr 23, 1993

"As a matter of policy, taking into consideration the fact that Congress
has specifically provided for the tax deductibility of some costs of
charitable acts, we will not treat charitable deduction of such costs,
standing alone, as constituting "compensation or hire" for the purpose of
enforcing [Paragraph] 61.118 or Part 135. If taking a charitable tax
deduction for transporting persons or property is coupled with any
reimbursement of expenses, or other compensation of any kind, then this
policy does not apply."

[Signed] John H. Cassady FAA Acting Chief Counsel


FAA Order 8400.10, Vol. 4, Chap. 5, Sect. 1, Para 1345 12/20/94

1345. FAA POLICY REGARDING "COMPENSATION OR HIRE" CONSIDERATIONS

FOR CHARITABLE FLIGHTS OR LIFE FLIGHTS. Various organizations and pilots
are conducting flights that are characterized as "volunteer," "charity," or
"humanitarian." These flights are referred to by numerous generic names,
including "lifeline flights," "life flights," "mercy flights," and "angel
flights." These types of flights will be referred to as "life flights" in
this section.

A. Purposes for Life Flights. The types of organizations and pilots
involved with or conducting life flights vary greatly. The most common
purpose of life flights is to transport ill or injured persons who cannot
financially afford commercial transport to appropriate medical treatment
facilities, or to transport blood or human organs. Other "compassionate
flights" include transporting a child to visit with a dying relative, or
transporting a dying patient to return to the city of the patient's birth.

B. FAA Policy. The FAA's policy supports "truly humanitarian efforts" to
provide life flights to needy persons (including "compassionate flights").
This also includes flights involving the transfer of blood and human
organs. Since Congress has specifically provided for the tax deductibility
of some costs of charitable acts, the FAA will not treat charitable
deductions of such costs, standing alone, as constituting "compensation or
hire" for the purpose of enforcement of FAR 61.118 or FAR Part 135.
Inspectors should not treat the tax deductibility of costs as constituting
"compensation or hire" when the flights are conducted for humanitarian
purposes.

--
Marty Shapiro
Silicon Rallye Inc.

(remove SPAMNOT to email me)