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			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on September 28, 2005

NOTICE OF ACTION TAKEN -- DOCKETS OST-2002-130612005-21134

                                                                        
                                     OST-2002-13011 

________________________________________________________________________
________________________________________________________

This serves as notice to the public of the action described below, taken
by the Department official indicated (no additional confirming order
will be issued in this matter).

Applications of     FRONTIER AIRLINES, INC.AIRTRAN AIRWAYS, INC.
(AIRTRAN)  filed  6/11/20048/26/2005 for:

XX  Waiver of start-up condition for scheduled services in the
Tampa-Cancun market through March 4, 2006

Background:

 

By Notice of Action Taken dated June 24, 2005, the Department granted
AirTran’s application, in Docket OST-2005-21134, for exemption
authority to conduct Tampa-Cancun combination service on a year-round
basis.  AirTran had advised us that it would commence service on the
route on December 15, 2005.  We imposed a start-up deadline of December
15, 2005, requiring AirTran to institute the proposed services no later
than that date. 

Application for Waiver of the Startup Condition:

On August 26, 2005, AirTran filed an application in the captioned docket
for a waiver of the start-up condition imposed, and asked that the
start-up deadline be extended for an additional period through March 4,
2006.  AirTran is a new entrant in the Mexican market and currently does
not hold Mexican operating authority.  The carrier states that Cancun
airport officials are not in a position to provide AirTran with its
requested time and gate space until it receives a Mexican operating
permit.  AirTran notes that it is in the process of obtaining its
Mexican operating authority and it anticipates that the process will
take some time for completion.  AirTran notes that no party will be
prejudiced by approval of the application because no other carrier
serves the Tampa-Cancun market.

XX  Renewal of exemption for two years under 49 U.S.C. 40109 to provide
the following service:

Docket OST-2002-13061:

Scheduled foreign air transportation of persons, property, and mail
between the terminal point Denver, Colorado, and the terminal point
Cancun, Mexico

.

Docket OST-2002-13011:

Scheduled foreign air transportation of persons, property, and mail
between (1) the terminal point Denver, Colorado, and the terminal point
San Jose del Cabo, Mexico; and (2) the terminal point

Denver, Colorado, and the terminal point Mazatlan, Mexico..  Frontier
requested that the authority be

renewed through August 23, 2006.  

Applicant rep:   Edward P. FabermanBert W. Rein  (202) 639-7501719-7045 
  DOT Analyst:  Linda L. LundellThuy H. Cooper   (202) 366-23365423

Disposition

D I S P O S I T I O N

After careful consideration of this matter, we have decided to grant the
application filed by AirTran for a waiver of the start-up deadline
imposed by the Notice of Action Taken dated June 24, 2005 (in Docket
OST-2005-21134), and amend the start-up deadline through March 4, 2006,
for Tampa-Cancun combination air transportation.  We will require
AirTran to institute the proposed services no later than March 4, 2006. 
We find that waiving the start-up condition imposed on AirTran’s award
is in the public interest in the circumstances presented; namely, that
as a new entrant in the Mexican market, AirTran must obtain a Mexican
operating permit so it may serve the Tampa-Cancun market; that the
record indicates it is in the process of doing so; and that no party
opposed its request for a waiver.  

In taking this action, however, we put AirTran on notice that, should
other U.S. carriers file applications for Tampa-Cancun authority, we
reserve the right to reconsider our decision here to determine whether
or not that decision continues to be in the public interest.  In
addition, there should be no expectation that an additional waiver
request to further extend the start-up deadline will necessarily be
granted.  Any future request to extend the waiver at issue here will
have to be considered in light of any specific arguments offered and
responses thereto, and in the context of the circumstances present at
that time, including whether another carrier seeks to use the
designation at issue.  

XX  Granted

XX  Granted renewal of exemption authority for two years (subject to
conditions, see below)

XX  Dismissed request for longer-term authority (see remarks, below) 

The above action was effective when taken:   : September 28, 2005
through  through March 4, 2006.

Action taken by:   Paul L. Gretch, Director	

		      Office of International Aviation	

XX   The authority granted is consistent with the aviation agreement
between the United States and Mexico.

Except to the extent exempted or waived, this authority is subject to
the terms, conditions, and limitations indicated:     		XX  Holder’s
certificates of public convenience and necessity

		XX  Standard Exemption Conditions (attached)

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Conditions:  The U.S.-Mexico exemption authority granted is subject to
the dormancy notice requirements set forth in condition 7 of Appendix A
of Order 88-10-2.  

Remarks:  In its application, Frontier requested that the subject
authority be renewed through August 23, 2006.  Consistent with our
standard practice for this type of application, we renewed Frontier’s
authority for two years and dismissed its request for longer-term
authority.

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On the basis of data officially noticeable under Rule 24(g) of the
Department’s regulations, we found the applicant qualified to provide
the services authorized.

Under authority assigned by the Department in its regulations, 14 CFR
Part 385, we found that (1) our action was consistent with Department
policy; (2) grant of the authority was consistent with the public
interest; and (3) grant of the authority would not constitute a major
regulatory action under the Energy Policy and Conservation Act of 1975. 
To the extent not granted or dismissed, we denied all requests in the
referenced Dockets.  We may amend, modify, or revoke the authority
granted in this Notice at any time without hearing at our discretion.

Persons entitled to petition the Department for review of the action set
forth in this Notice under the Department’s regulations, 14 CFR
§385.30, may file their petitions within seven (7) days after the date
of issuance of this Notice.  This action was effective when taken, and
the filing of a petition for review will not alter such effectiveness.

An electronic version of this document is available on the World Wide
Web at:

  HYPERLINK "http://dms.dot.gov//reports/reports_aviation.asp" 
http://dms.dot.gov//reports/reports_aviation.asp 

U.S. Carrier Exemption Conditions

In the conduct of the operations authorized, the U.S. carrier
applicant(s) shall:

(1)  Hold at all times effective operating authority from the government
of each country served;

(2)  Comply with applicable requirements concerning oversales contained
in 14 CFR 250 (for scheduled operations, if authorized);

(3)  Comply with the requirements for reporting data contained in 14 CFR
241;

(4)  Comply with requirements for minimum insurance coverage, and for
certifying that coverage to the Department, contained in 14 CFR 205;

(5)  Except as specifically exempted or otherwise provided for in a
Department Order, comply with the requirements of 14 CFR 203, concerning
waiver of Warsaw Convention liability limits and defenses;

(6)  Comply with all applicable requirements of the Federal Aviation
Administration and with all applicable U.S. Government requirements
concerning security, including, but not limited to, 49 CFR Part 1544. 
To assure compliance with all applicable U.S. Government requirements
concerning security, the holder shall, before commencing any new service
(including charter flights) to or from a foreign airport, contact its
International Principal Security Inspector (IPSI) to advise the IPSI of
its plans and to find out whether the Transportation Security
Administration has determined that security is adequate to allow such
airport(s) to be served; and

(7)  Comply with such other reasonable terms, conditions, and
limitations required by the public interest as may be prescribed by the
Department of Transportation, with all applicable orders and regulations
of other U.S. agencies and courts, and with all applicable laws of the
United States.

The authority granted shall be effective only during the period when the
holder is in compliance with the conditions imposed above.

05/2004

   On _________, 7/23/03, the Department approved the carrier’s
request to convert its Denver-Mazatlan services from year-round to
seasonal.  All other services are offered on a year-round basis.

