787 

Federal Aviation Administration, DOT 

§ 158.85 

the public agency in the period covered 
by the audit and to the Administrator. 

[Doc. No. 26385, 56 FR 24278, May 29, 1991, as 
amended by Amdt. 158–4, 72 FR 28851, May 23, 
2007] 

§ 158.69 Recordkeeping and auditing: 

Collecting carriers. 

(a) Collecting carriers shall establish 

and maintain for each public agency 
for which they collect a PFC an ac-
counting record of PFC revenue col-
lected, remitted, refunded and com-
pensation retained under § 158.53(a) of 
this part. The accounting record shall 
identify the airport at which the pas-
sengers were enplaned. 

(b) Each collecting carrier that col-

lects more than 50,000 PFC’s annually 
shall provide for an audit at least an-
nually of its PFC account. 

(1) The audit shall be performed by 

an accredited independent public ac-
countant and may be of limited scope. 
The accountant shall express an opin-
ion on the fairness and reasonableness 
of the carrier’s procedures for col-
lecting, holding, and dispersing PFC 
revenue. The opinion shall also address 
whether the quarterly reports required 
under § 158.65 fairly represent the net 
transactions in the PFC account. 

(2) For the purposes of an audit under 

this section, collection is defined as 
the point when agents or other inter-
mediaries remit PFC revenue to the 
carrier. 

(3) Upon request, a copy of the audit 

shall be provided to each public agency 
for which a PFC is collected. 

§ 158.71 Federal oversight. 

(a) The Administrator may periodi-

cally audit and/or review the use of 
PFC revenue by a public agency. The 
purpose of the audit or review is to en-
sure that the public agency is in com-
pliance with the requirements of this 
part and 49 U.S.C. 40117. 

(b) The Administrator may periodi-

cally audit and/or review the collection 
and remittance by the collecting car-
riers of PFC revenue. The purpose of 
the audit or review is to ensure col-
lecting carriers are in compliance with 
the requirements of this part and 49 
U.S.C. 40117. 

(c) Public agencies and carriers shall 

allow any authorized representative of 

the Administrator, the Secretary of 
Transportation, or the Comptroller 
General of the U.S., access to any of its 
books, documents, papers, and records 
pertinent to PFC’s 

[Doc. No. 26385, 56 FR 24278, May 29, 1991, as 
amended by Amdt. 158–2, 65 FR 34543, May 30, 
2000] 

Subpart E—Termination 

§ 158.81 General. 

This subpart contains the procedures 

for termination of PFCs or loss of Fed-
eral airport grant funds for violations 
of this part or 49 U.S.C. 40117. This sub-
part does not address the cir-
cumstances under which the authority 
to collect PFCs may be terminated for 
violations of 49 U.S.C. 47523 through 
47528. 

[Doc. No. FAA–2006–23730, 72 FR 28851, May 
23, 2007] 

§ 158.83 Informal resolution. 

The Administrator shall undertake 

informal resolution with the public 
agency or any other affected party if, 
after review under § 158.71, the Admin-
istrator cannot determine that PFC 
revenue is being used for the approved 
projects in accordance with the terms 
of the Administrator’s approval to im-
pose a PFC for those projects or with 49 
U.S.C. 40117. 

[Doc. No. 26385, 56 FR 24278, May 29, 1991, as 
amended by Amdt. 158–2, 65 FR 34543, May 30, 
2000] 

§ 158.85 Termination of authority to 

impose PFC’s. 

(a) The FAA begins proceedings to 

terminate the public agency’s author-
ity to impose a PFC only if the Admin-
istrator determines that informal reso-
lution is not successful. 

(b) The Administrator publishes a no-

tice of proposed termination in the 
F

EDERAL

R

EGISTER

and supplies a copy 

to the public agency. This notice will 
state the scope of the proposed termi-
nation, the basis for the proposed ac-
tion and the date for filing written 
comments or objections by all inter-
ested parties. This notice will also 
identify any corrective actions the 
public agency can take to avoid further