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PROPOSED AD GE AVIATION CZECH S.R.O. (TYPE CERTIFICATE PREVIOUSLY HELD BY WALTER ENGINES A.S., WALTER A.S., AND MOTORLET A.S.): Docket No. FAA-2017-0967; Product Identifier 2017-NE-35-AD.
(a) COMMENTS DUE DATE

    The FAA must receive comments by March 20, 2020.

(b) AFFECTED ADS

    None.

(c) APPLICABILITY

(1) This AD applies  to  all  GE Aviation Czech s.r.o. M601D-11, M601E-11,
    M601E-11A,  M601E-11AS,  M601E-11S, M601F, H75-100, H75-200, H80, H80-
    100, H80-200, H85-100, and H85-200 turboprop engines.

(2) These engines are known to be installed on, but not limited to, Thrush
    Aircraft, Inc. (formerly Quality, Ayres, Rockwell) S-2R, PZL "Warszawa
    -Okecie" PZL-106 (Kruk), Air Tractor AT-300, AT-400 and AT-500 series,
    Allied Ag Cat Productions, Inc. (formerly Schweizer, Grumman American)
    G-164 series,  RUAG (formerly Dornier) Do 28  and  Aircraft Industries
    (formerly LET) L-410 airplanes.

(d) SUBJECT

    Joint Aircraft System Component (JASC)  Code  7810,  Engine Collector/
    Tailpipe/Nozzle.

(e) UNSAFE CONDITION

    This AD was prompted  by a review  by the manufacturer that identified
    the possibility of a power turbine (PT) overspeed and the  uncontained
    release  of  PT  blades.  The  FAA  is  issuing  this  AD  to  prevent
    uncontained release  of the  PT blades.  The unsafe condition,  if not
    addressed,  could  result in  failure  of the  PT  blades, uncontained
    release  of  the blades,  damage  to the  engine,  and damage  to  the
    airplane.

(f) COMPLIANCE

    Comply  with this  AD within  the compliance  times specified,  unless
    already done.

(g) REQUIRED ACTIONS

(1) After  the  effective  date  of  this  AD, replace the parts listed in
    Tables 2 through 5 to paragraph (g) of this AD  with the parts identi-
    fied in Planning Information,  Paragraph 1.5,  Sections  I through IV,
    respectively in GE Aviation Alert Service Bulletin (ASB) ASB-M601E-72-
    00-00-0070 [03], ASB-M601D-72-00-00-0053 [03], ASB-M601F-72-00-00-0036
    [03], ASB-M601T-72-00-00-0029 [03], ASB-M601Z-72-00-00-0039 [03], ASB-
    H75-72-00-00-0011 [03], ASB-H80-72-00-00-0025 [03], and ASB-H85-72-00-
    00-0007 [03] (single document) dated July 24, 2018, using the criteria
    below, whichever occurs first:

(i) During the next engine shop visit,

(ii) within the compliance time identified in the applicable Airworthiness
     Limitations Section  of  the  existing  maintenance  manual  for  the
     affected engine model, or

(iii) within the compliance time in years after the effective date of this
      AD, shown in Table 1 of this AD.

                TABLE 1 TO PARAGRAPH (G) – COMPLIANCE TIMES               
    ______________________________________________________________________
    DATE OF ENGINE         DATE OF RELEASE TO SERVICE         COMPLIANCE
    MANUFACTURE            AFTER LAST SHOP VISIT                 TIME
    ______________________________________________________________________
    December 31, 2008         Never subjected to                5 years
    or before                 engine shop visit

    January 1, 2009 or                                          10 years
    later

    any                    February 9, 2014 or before           5 years

    any                    February 10, 2014 or later           10 years
    ______________________________________________________________________

     TABLE 2 TO PARAGRAPH (G) – EXHAUST SYSTEMS M601-4.2, M601-4.5, M601- 
                                4.51, M601-4.52, M601-4.61, AND M601-4.62 
    ______________________________________________________________________
    ENGINE MODELS                 PART NAME           PART NUMBER (P/N)
    ______________________________________________________________________
    M601E-11, M601E-          Containment Ring      M601-426.5
    11A, M601E-11AS,          Insulation Cover      M601-422.3, M601-422.2
    M601E-11S, M601F,         Supporting Cone       M601-457.7, M601-457.3
    H75-100, H75-200,         Support               M601-4512.5
    H80, H80-100, H80-
    200, H85-100, and
    H85-200
    ______________________________________________________________________

    TABLE 3 TO PARAGRAPH (G) – EXHAUST SYSTEM M601-4.1, M601-4.6 AND M601-
                               4.7                                        
    ______________________________________________________________________
    ENGINE MODELS                 PART NAME                  P/N
    ______________________________________________________________________
    M601D-11, M601E-          Containment Ring      M601-426.5
    11, M601E-11A,            Insulation Cover      M601-422.3, M601-422.2
    M601E-11AS, M601E-        Support               M601-4512.5
    11S                       Supporting Cone       M601-457.7, M601-457.3
                              Outlet Duct           M601-416.6
    ______________________________________________________________________

    TABLE 4 TO PARAGRAPH (G) – COUNTERSHAFT CASE COMPLETE (REDUCTION GEAR-
                               BOX SUBASSEMBLY) M601-62.2, M601-62.7, M601
                               -60.3                                      
    ______________________________________________________________________
    ENGINE MODELS                   PART NAME                      P/N
    ______________________________________________________________________
        All                            Bolt                    M601-6170.9
                                       Ring                    M601-6014.9
    ______________________________________________________________________

    TABLE 5 TO PARAGRAPH (G) – TORQUEMETER (REDUCTION GEARBOX SUBASSEMBLY)
                               M601-673.6, M601-667.7, M601-605.3         
    ______________________________________________________________________
    ENGINE MODELS                   PART NAME                      P/N
    ______________________________________________________________________
        All                      Torquemeter Holder             M601-643.9
    ______________________________________________________________________

(2) [Reserved]

(h) INSTALLATION PROHIBITION

(1) Do not install  any part  with a P/N listed  in  Tables 2 through 5 to
    paragraph (g) of this AD on any engine after that engine has been mod-
    ified as required by paragraph (g)(1) of this AD.

(2) After the effective date of this AD,  do not install a part with a P/N
    listed in Tables 2 through 5 of this AD  on any engine manufactured on
    or after September 1, 2017.

(i) DEFINITION

    For the purpose of this AD, an engine shop visit is when the engine is
    overhauled or rebuilt, or the PT is disassembled.

(j) ALTERNATIVE METHODS OF COMPLIANCE (AMOCS)

(1) The Manager,  ECO Branch,  FAA, has the authority to approve AMOCs for
    this AD,  if requested using the procedures found in 14 CFR 39.19.  In
    accordance with 14 CFR 39.19,  send your request to your principal in-
    spector or local Flight Standards District Office,  as appropriate. If
    sending information directly to the manager of the ECO Branch, send it
    to the attention of the person identified  in paragraph (k)(1) of this
    AD. You may email your request to: ANE-AD-AMOC@faa.gov.

(2) Before using any approved AMOC,  notify your appropriate principal in-
    spector,  or  lacking a principal inspector,  the manager of the local
    flight standards district office/certificate holding district office.

(k) RELATED INFORMATION

(1) For more information about this AD contact Barbara Caufield, Aerospace
    Engineer, ECO Branch, FAA, 1200 District Avenue, Burlington, MA 01803;
    phone 781-238-7146; fax 781-238-7199; email: barbara.caufield@faa.gov.

(2) Refer to European Union Aviation Safety Agency (EASA)  AD 2017-0151R1,
    dated December 5, 2018, for more information. You may examine the EASA
    AD in the AD docket on the internet  at https://www.regulations.gov by
    searching for and locating it in Docket No. FAA-2017-0967.

(3) For service information identified  in  this  AD,  contact GE Aviation
    Czech s.r.o.,  Beranovych 65, 199 02 Praha 9-Letnany,  Czech Republic;
    phone: +420 222 538 111;  fax: +420 222 538 222.  You  may  view  this
    referenced  service information  at  the  FAA,  Engine  and  Propeller
    Standards Branch, 1200 District Avenue, Burlington, MA, 01803. For in-
    formation on the availability of this material  at the FAA,  call 781-
    238-7759.

Issued in Burlington, Massachusetts, on January 29, 2020. Robert J. Ganley
Manager,  Engine and Propeller  Standards  Branch,  Aircraft Certification
Service.

DATES: The comment period  for the NPRM published  in the Federal Register
on January 24, 2018  (83 FR 3287),  is  reopened.  The  FAA  must  receive
comments on this SNPRM by March 20, 2020.
PREAMBLE 

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2017-0967; Product Identifier 2017-NE-35-AD]
RIN 2120-AA64

Airworthiness Directives; GE Aviation Czech s.r.o. Turboprop
Engines

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Supplemental Notice of proposed rulemaking (SNPRM); reopening
of comment period.

-----------------------------------------------------------------------

SUMMARY: The FAA is revising an earlier proposal for all GE Aviation
Czech s.r.o. M601D-11, M601E-11, M601E-11A, M601E-11AS, M601E-11S,
M601F, H80, H80-100, H80-200, H75-100, H75-200, H85-100, and H85-200
turboprop engines. This action revises the notice of proposed
rulemaking (NPRM) by revising the compliance time requirements for
replacement of affected engine outlet system hardware. The FAA is
proposing this airworthiness directive (AD) to address the unsafe
condition on these products. At the request of some commenters, the FAA
is reopening the comment period to allow the public the chance to
comment on these changes.

DATES: The comment period for the NPRM published in the Federal
Register on January 24, 2018 (83 FR 3287), is reopened.
The FAA must receive comments on this SNPRM by March 20, 2020.

ADDRESSES: You may send comments, using the procedures found in 14 CFR
11.43 and 11.45, by any of the following methods:

Federal eRulemaking Portal: Go to https://www.regulations.gov. Follow the
instructions for submitting comments.

Fax: 202-493-2251.

Mail: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12 140, 1200 New
Jersey Avenue SE, Washington, DC 20590.

Hand Delivery: Deliver to Mail address above between 9
a.m. and 5 p.m., Monday through Friday, except Federal holidays.

For service information identified in this SNPRM, contact GE
Aviation Czech s.r.o., Beranovych 65, 199 02 Praha 9--
Letnany, Czech Republic; phone: +420 222 538 111; fax: +420 222
538 222. You may view this service information at the FAA, Engine and
Propeller Standards Branch, 1200 District Avenue, Burlington, MA 01803.
For information on the availability of this material at the FAA, call
781-238-7759.

Examining the AD Docket

You may examine the AD docket on the internet at https://www.regulations.
gov by searching for and locating Docket No. FAA-2017-0967;
or in person at Docket Operations between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays. The AD docket contains
this SNPRM, the mandatory continuing airworthiness information (MCAI),
the regulatory evaluation, any comments received, and other
information. The street address for Docket Operations is listed above.
Comments will be available in the AD docket shortly after receipt.

FOR FURTHER INFORMATION CONTACT: Barbara Caufield, Aerospace Engineer,
ECO Branch, FAA, 1200 District Avenue, Burlington, MA 01803; phone:
781-238-7146; fax: 781-238-7199; email: barbara.caufield@faa.gov.

SUPPLEMENTARY INFORMATION:

Comments Invited

The FAA invites you to send any written relevant data, views, or
arguments about this proposal. Send your comments to an address listed
under the ADDRESSES section. Include "Docket No. FAA-2017-0967;
Product Identifier 2017-NE-35-AD" at the beginning of your comments.
The FAA specifically invites comments on the overall regulatory,
economic, environmental, and energy aspects of this SNPRM. The FAA will
consider all comments received by the closing date and may amend this
SNPRM because of those comments.

Except for Confidential Business Information (CBI) as described in
the following paragraph, and other information as described in 14 CFR
11.35, the FAA will post all comments received, without change, to
https://www.regulations.gov, including any personal information you
provide. The FAA will also post a report summarizing each substantive
verbal contact received about this proposed AD.

Confidential Business Information

Confidential Business Information (CBI) is commercial or financial
information that is both customarily and actually treated as private by
its owner. Under the Freedom of Information Act (FOIA) (5 U.S.C. 552),
CBI is exempt from public disclosure. If your comments responsive to
this SNPRM contain commercial or financial information that is
customarily treated as private, that you actually treat as private, and
that is relevant or responsive to this SNPRM, it is important that you
clearly designate the submitted comments as CBI. Please mark each page of
your submission containing CBI as "PROPIN." The FAA will treat such marked
submissions as confidential under the FOIA, and they will not be placed
in the public docket of this SNPRM. Submissions containing CBI should
be sent to Barbara Caufield, Aerospace Engineer, ECO Branch, FAA, 1200
District Avenue, Burlington, MA 01803. Any commentary that the FAA
receives which is not specifically designated as CBI will be placed in
the public docket for this rulemaking.

Discussion

The FAA issued an NPRM to amend 14 CFR part 39 by adding an AD that
would apply to all GE Aviation Czech s.r.o. M601D-11, M601E-11, M601E-
11A, M601E-11AS, M601E-11S, M601F, H75-100, H75-200, H80, H80-100, H80-
200, H85-100, and H85-200 turboprop engines. The NPRM published in the
Federal Register on January 24, 2018 (83 FR 3287). The NPRM was
prompted by a review by the manufacturer that identified the
possibility of a power turbine (PT) rotor overspeed and the uncontained
release of PT blades. The NPRM proposed to require installing a
modified engine outlet system.

The European Union Aviation Safety Agency (EASA), which is the
Technical Agent for the Member States of the European Community, has
issued EASA AD 2017-0151R1, dated December 5, 2018 (referred to after
this as "the MCAI"), to address the unsafe condition on these
products. The MCAI states:

A recent design review identified the possibility of failure of
the power turbine (PT) or quill shaft splines.

This condition, if not corrected, could lead to a PT rotor
overspeed, with consequent release of PT blade(s), possibly
resulting in high energy debris and damage to, and/or reduced
control of, the aeroplane.

To address this potential unsafe condition, GE Aviation Czech
(GEAC) designed a modification (mod) of the engine outlet system and
issued the ASB, later revised, providing instructions for
modification of engines in service, and EASA issued AD 2017-0151,
requiring modification of the affected engines, and prohibiting
installation of pre-mod parts.

Since that [EASA] AD was issued, GEAC completed a TBO extension
program, and revised the ASB (now at Revision 03) and the applicable
EMM accordingly.

For the reasons stated above, this [EASA] AD is revised to
include reference to the revised EMM.

You may obtain further information by examining the MCAI in the AD
docket on the internet at https://www.regulations.gov by searching for
and locating Docket No. FAA-2017-0967.

Actions Since the NPRM Was Issued

Since the FAA issued the NPRM, GE Aviation Czech s.r.o. has revised
its service information. GE Aviation Czech s.r.o. published GE Aviation
Alert Service Bulletin (ASB) ASB-M601E-72-00-00-0070[03], ASB-M601D-72-
00-00-0053[03], ASB-M601F-72-00-00-0036[03], ASB-M601T-72-00-00-
0029[03], ASB-M601Z-72-00-00-0039[03], ASB-H75-72-00-00-0011[03], ASB-
H80-72-00-00-0025[03], and ASB-H85-72-00-00-0007[03] (single document),
dated July 24, 2018. In addition, EASA has revised its AD to
incorporate changes from the revised ASB in EASA AD 2017-0151R1, dated
December 5, 2018.

Comments

The FAA gave the public the opportunity to comment on the NPRM. The
following presents the comments received on the NPRM and the FAA's
response to each comment.

Request To Exempt Part 137 Operators

Thrush Aircraft, Inc., Swing Wing, Inc., and an individual
commenter requested that the proposed rule exempt from its
applicability section 14 CFR part 137 restricted category agricultural
operators. The commenters stated that the proposed rule would have no
significant effect on improving safety. They further commented that
documented single engine uncontained events caused minor damage or
penetrations to the engine nacelle and did not affect any primary
structure of the aircraft or any aircraft systems.

The FAA partially agrees. The FAA agrees with the commenter that
there may be events in which an engine uncontainment does not have a
hazardous effect on the aircraft or its occupant. There is still a risk
of total loss of engine power and damage to the aircraft. The FAA
disagrees with removing 14 CFR part 137 operators of restricted
agricultural category aircraft from the applicability section of the
proposed AD. The FAA considers an uncontained engine failure an unsafe
condition regardless of the aircraft type on which the engine is
installed.

Request To Consider Rule Significant

Swing Wing, Inc., Thrush Aircraft, Inc., and an individual
commenter requested that the FAA consider the proposed rule a
significant regulatory action under Executive Order 12866 and a
significant rule under the DOT Regulatory Policies and Procedures. The
commenters stated that the cost to comply with the required actions of
this AD will be much higher than what is shown in the economic costs
section of the proposed AD since it did not consider lost revenue.

The FAA disagrees. The estimated costs set forth in the NPRM and in
this supplemental NPRM do not rise to the level of a "Significant
regulatory action" as defined in Executive Order 12866 or under DOT
Regulatory Policies and Procedures.

Request To Consider Rule Significant Effect on Small Businesses

Swing Wing, Inc., Thrush Aircraft, Inc., and an individual
commenter noted that the proposed rule would have a significant effect
on small businesses. The commenters asked that the FAA therefore
consider the economic impact of the proposed rule.

In accordance with the Regulatory Flexibility Act, the FAA must
perform a review to determine whether a rule will have a significant
economic impact on a substantial number of small entities. Within this
preamble, the FAA is publishing its initial Regulatory Flexibility
Analysis.

Request To Delay Rule Implementation

Swing Wing, Inc. and Thrush Aircraft, Inc. requested that the FAA
delay implementation of this proposed rule by 24 to 36 months. The
commenters requested that the FAA analyze the effective date of the AD
to determine how it would affect 14 CFR part 137 operators. The
commenters indicated that a delay of 24 to 36 months in the effective
date would be commensurate with the compliance times in Table 1 of
paragraph (g) as originally proposed by the engine manufacturer. The
commenters further state that a delay of 24 to 36 months would allow
operators to plan, schedule, and budget for accomplishing the required
actions of the AD.

The FAA disagrees. Delaying the implementation of the AD by 24 to
36 months would not be consistent with the safety objectives of the
rule.

Request To Revise Compliance Time

GE Aviation Czech s.r.o. requested the FAA revise the compliance
time to remove the 6,600 engine equivalent cycles since new or since
last overhaul requirement. GE Aviation Czech s.r.o. indicated it had
held discussions with Thrush Aircraft, Inc. and EASA to remove the
6,600 engine equivalent cycle removal requirement and EASA has revised
their AD to do the same.

The FAA agrees to remove the 6,600 engine equivalent cycles removal
requirement. GE Aviation Czech s.r.o. has revised its Service Bulletin
to remove the 6,600 engine equivalent cycles removal requirement. EASA
also published a revised AD 2017-0151R1, dated December 5, 2018, that
removes the 6,600 engine equivalent cycles requirement. The FAA revised
the compliance requirements in this proposed rule by removing the 6,600
engine equivalent cycles removal requirement.

Revision To Compliance Requirement

In addition, GE Aviation Czech s.r.o. and EASA revised the
compliance time requirements in their ASB and AD, respectively, by
adding a reference to removing affected parts within the compliance
times identified in the Airworthiness Limitations Section (ALS) of the
applicable engine manual. The FAA revised the compliance requirements
in this proposed rule by adding a similar reference.

Revision to Cost Estimate

The FAA reduced the number of estimated engines affected from 167
in the NPRM to 42 in this SNPRM. The FAA is basing this estimate on the
number of affected airplanes listed in the FAA's Aircraft Registry
Database.

Related Service Information Under 1 CFR Part 51

The FAA reviewed GE Aviation ASB ASB-M601E-72-00-00-0070[03], ASB-
M601D-72-00-00-0053[03], ASB-M601F-72-00-00-0036[03], ASB-M601T-72-00-
00-0029[03], ASB-M601Z-72-00-00-0039[03], ASB-H75-72-00-00-0011[03],
ASB-H80-72-00-00-0025[03], and ASB-H85-72-00-00-0007[03] (single
document), dated July 24, 2018. The ASB describes procedures for
removal and replacement of the engine outlet system hardware. This
service information is reasonably available because the interested
parties have access to it through their normal course of business or by
the means identified in the ADDRESSES section.

FAA's Determination

This product has been approved by the aviation authority of the
Czech Republic and is approved for operation in the United States.
Pursuant to our bilateral agreement with the European Community, EASA
has notified us of the unsafe condition described in the MCAI and
service information referenced above. The FAA is proposing this AD
because the agency evaluated all information provided by EASA and
determined the unsafe condition exists and is likely to exist or
develop on other products of the same type design.

Proposed Requirements of This SNPRM

This SNPRM would require replacement of the affected engine outlet
system hardware.

Costs of Compliance

The FAA estimates that this proposed AD affects 42 engines
installed on airplanes of U.S. registry.

The FAA estimates the following costs to comply with this proposed
AD:

Estimated Costs

Action Labor cost Parts cost Cost per product Cost on U.S. operators
Replace exhaust system parts 64 work-hours x $85 per hour = $5,440 $63,000 $68,440 $2,874,480

Authority for This Rulemaking

Title 49 of the United States Code specifies the FAA's authority to
issue rules on aviation safety. Subtitle I, section 106, describes the
authority of the FAA Administrator. Subtitle VII: Aviation Programs,
describes in more detail the scope of the Agency's authority.

The FAA is issuing this rulemaking under the authority described in
Subtitle VII, Part A, Subpart III, Section 44701: "General
requirements." Under that section, Congress charges the FAA with
promoting safe flight of civil aircraft in air commerce by prescribing
regulations for practices, methods, and procedures the Administrator
finds necessary for safety in air commerce. This regulation is within
the scope of that authority because it addresses an unsafe condition
that is likely to exist or develop on products identified in this
rulemaking action.

This AD is issued in accordance with authority delegated by the
Executive Director, Aircraft Certification Service, as authorized by
FAA Order 8000.51C. In accordance with that order, issuance of ADs is
normally a function of the Compliance and Airworthiness Division, but
during this transition period, the Executive Director has delegated the
authority to issue ADs applicable to engines, propellers, and
associated appliances to the Manager, Engine and Propeller Standards
Branch, Policy and Innovation Division.

Regulatory Flexibility Determination

The Regulatory Flexibility Act of 1980 (Pub. L. 96-354, codified as
amended at 5 U.S.C. 601-612) (RFA) establishes "as a principle of
regulatory issuance that agencies shall endeavor, consistent with the
objectives of the rule and of applicable statutes, to fit regulatory
and informational requirements to the scale of the businesses,
organizations, and governmental jurisdictions subject to regulation. To
achieve this principle, agencies are required to solicit and consider
flexible regulatory proposals and to explain the rationale for their
actions to assure that such proposals are given serious
consideration." Public Law 96-354, 2(b), Sept. 19, 1980. The RFA
covers a wide-range of small entities, including small businesses, not-
for-profit organizations, and small governmental jurisdictions.
Agencies must perform a review to determine whether a rule will have a
significant economic impact on a substantial number of small entities.
If the agency determines that it will, the agency must prepare a
regulatory flexibility analysis as described in the RFA.

Compliance cost of this proposed AD comes from the removal and
replacement of the exhaust system parts. Estimated compliance cost per
engine is identified below.

Labor cost = 64 repair hours per engine * $85 Mean Hourly Wage =
$5,440.

Cost of Parts = $63,000 per engine (Source: GE Aviation Czech).

$5,440 labor per engine + $63,000 parts per engine = $68,440
compliance cost per engine.

To estimate the revenue impacts of the proposed AD on these 38
small operators, the FAA used the total estimated one-time costs of
compliance per each engine ($68,440) and divided it by the estimated
annual revenue of each entity ($700,000). The FAA determined all 38
small businesses that would be affected by this proposed AD would
experience impacts of approximately 9 percent of their annual revenue
during the implementation of this AD ($68,440 / $700,000).

Initial Regulatory Flexibility Analysis

Under Section 603(b) and (c) of the RFA, the initial analysis must
address the following six areas:

(1) Description of reasons the agency is considering the action;

(2) Statement of the legal basis and objectives for the proposed
rule;

(3) Description of the record keeping and other compliance
requirements of the proposed rule;

(4) All federal rules that may duplicate, overlap, or conflict with
the proposed rule;

(5) Description and an estimated number of small entities to which
the proposed rule will apply; and

(6) Describe alternatives considered.

Reasons the Agency Is Considering the Action

This proposed AD was prompted by a review by the manufacturer that
identified the possibility of a PT overspeed and the uncontained
release of PT blades. The FAA is proposing this AD to prevent
uncontained release of the PT blades. This proposed AD would require
installing a modified engine outlet system. The unsafe condition, if
not addressed, could result in failure of the PT blades, uncontained
release of the blades, damage to the engine, and damage to the
airplane.

Legal Basis and Objectives for the Proposed Rule

The FAA's legal basis for this proposed AD is discussed in detail
under the "Authority for this Rulemaking" section.

Description and an Estimated Number of Small Entities to Which the
Proposed Rule Would Apply


This proposed AD would apply to all GE Aviation Czech s.r.o. M601D-
11, M601E-11, M601E-11A, M601E-11AS, M601E-11S, M601F, H75-100, H75-
200, H80, H80-100, H80-200, H85-100, and H85-200 turboprop engines.
These engines are typically installed on airplanes that are owned and
operated by aerial application businesses, which is a small segment of
the aviation industry. These airplanes, also known as "crop-dusters,"
spread fertilizer, insecticides, fungicides, and weed killers.1
---------------------------------------------------------------------------

1 "Flying Low Is Flying High As Demand for Crop-Dusters
Soars", by Jonathan Welsh, updated Aug. 14, 2009: https://www.wsj.com/articles/SB125020758399330769. Accessed on July 26,
2019.
---------------------------------------------------------------------------

The FAA searched the 2018 Aircraft Registration database that
contains the records of all U.S. Civil Aircraft maintained by the FAA's
Aircraft Registration Branch and identified 42 airplanes with GE H80
series engines or equivalent turboprop engines installed. The Aircraft
Registration database shows that 38 companies own these 42 airplanes--4
companies own 2 airplanes, while the remaining 34 companies own 1
airplane each. Based on these registration records, the FAA assumes
that approximately each entity or business owned one airplane.

By using the Small Business Administration (SBA)'s size standards
and the North American Industry Classification System (NAICS) code
classifications, the FAA is able to determine whether a business is
small or not. These entities would operate under NAICS code 115112,
Soil Preparation, Planting, and Cultivating. The size standards for
this NAICS code as provided by SBA's Size Standards Table2 is $7.5
million in annual revenues. Therefore, entities generating less than
$7.5 million in annual revenues would be treated as small businesses
for the purposes of this analysis.
---------------------------------------------------------------------------

2 https://www.sba.gov/sites/default/files/files/Size_Standards_Table.pdf
Accessed on July 26, 2019.
---------------------------------------------------------------------------

The FAA assumes that all 38 operators above that would be affected
by this proposed AD are small businesses because $700,000 annual
revenue for a first-class, used turbine agricultural aviation plane3
is a reasonable industry estimate. On average, entities operating in
the aerial application industry would generate approximately $700,000
each year ($700,000 x 1 crop-duster airplane), which is below $7.5
million revenue size standards for NAICS code 115112. Therefore, the
FAA assumes all 38 registered company owners or operators to be small
entities.
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3 "How much does it cost?" by Bill Lavender, April 3, 2017.
https://agairupdate.com/how-much-does-it-cost/ Accessed on July 26,
2019.
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Record-Keeping and Other Compliance Requirements of the Proposed Rule

There are no record-keeping costs associated with this proposed
rule.

Duplicative, Overlapping, or Conflicting Federal Rules

There are no relevant Federal rules that may duplicate, overlap, or
conflict with this proposed rule.

Alternatives to the Proposed AD

There is no direct safety alternative to the modification of the
engine outlet system. The modification addresses a safety issue aimed
at preventing an uncontained release of the PT blades.

Regulatory Findings

The FAA determined that this proposed AD would not have federalism
implications under Executive Order 13132. This proposed AD would not
have a substantial direct effect on the States, on the relationship
between the national Government and the States, or on the distribution
of power and responsibilities among the various levels of government.

For the reasons discussed above, I certify this proposed
regulation:

(1) Is not a "significant regulatory action" under Executive
Order 12866, and

(2) Will not affect intrastate aviation in Alaska.

List of Subjects in 14 CFR Part 39

Air transportation, Aircraft, Aviation safety, Incorporation by
reference, Safety.

The Proposed Amendment

Accordingly, under the authority delegated to me by the
Administrator, the FAA proposes to amend 14 CFR part 39 as follows:

PART 39--AIRWORTHINESS DIRECTIVES

1. The authority citation for part 39 continues to read as follows:

Authority: 49 U.S.C. 106(g), 40113, 44701.

Sec. 39.13 [Amended]

2. The FAA amends Sec. 39.13 by adding the following new airworthiness
directive (AD):