By Kyle Garrett – AviationSchoolsOnline.com
Some California flight schools could learn their fate in a June 7th hearing in Sacramento. The hearing is scheduled to hash out exactly how to apply the California Private Postsecondary Act of 2009, a law passed last fall, to flight school operations. The law is designed to protect students attending postsecondary shools from financial loss should the school close or become unable to fulfill its obligation to the students.
According to an AOPA Online article published on May 19th, 2010, uncertainty exists on exactly how California law makers will apply the statue to the various types of flight school operations including FAA Approved Part 141 schools, Part 61 schools, and private CFIs who operate their own businesses in either rental, pilot-owned, or CFI-owned aircraft.
The law calls for “approved” schools to pay a $5,000 initial fee, followed by a $1,000 annual fee, and finally to pay .75% of yearly flight training revenues into the program. The issue appears to be in determining which flight training operations are “approved”, and therefore subject to the new regulations and fees, and which aren’t. The AOPA article states that only FAA Part 141 schools will be burdened with the new obligations, but others, especially independent CFIs, are not so sure.
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