DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2018-0895; Product Identifier 2018-CE-037-AD]
RIN 2120-AA64

Airworthiness Directives; Pacific Aerospace Limited Airplanes

AGENCY: Federal Aviation Administration (FAA), Department of
Transportation (DOT).

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: We propose to adopt a new airworthiness directive (AD) for
Pacific Aerospace Limited Model 750XL airplanes. This proposed AD
results from mandatory continuing airworthiness information (MCAI)
originated by an aviation authority of another country to identify and
correct an unsafe condition on an aviation product. The MCAI describes
the unsafe condition as non-compliant insulation lagging on the
refrigerant hoses of the air-conditioning system. We are issuing this
proposed AD to require actions to address the unsafe condition on these
products.

DATES: We must receive comments on this proposed AD by December 7, 2018.

ADDRESSES: You may send comments by any of the following methods:

Federal eRulemaking Portal: Go to http://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: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue SE, Washington, DC 20590, between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays.

For service information identified in this proposed AD, contact
Pacific Aerospace Limited, Airport Road, Hamilton, Private Bag 3027,
Hamilton 3240, New Zealand; phone: +64 7843 6144; fax: +64 843 6134;
email: pacific@aerospace.co.nz; internet: www.aerospace.co.nz. You may
review this referenced service information at the FAA, Policy and
Innovation Division, 901 Locust, Kansas City, Missouri 64106. For
information on the availability of this material at the FAA, call (816)
329-4148.

Examining the AD Docket

You may examine the AD docket on the internet at http://www.regulations.
gov by searching for and locating Docket No. FAA-2018-
0895; 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 proposed AD, the regulatory evaluation, any comments received, and
other information. The street address for Docket Operations (telephone
(800) 647-5527) is in the ADDRESSES section. Comments will be available
in the AD docket shortly after receipt.

FOR FURTHER INFORMATION CONTACT: Mike Kiesov, Aerospace Engineer, FAA,
Small Airplane Standards Branch, 901 Locust, Room 301, Kansas City,
Missouri 64106; telephone: (816) 329-4144; fax: (816) 329-4090; email:
mike.kiesov@faa.gov.

SUPPLEMENTARY INFORMATION:

Comments Invited

We invite you to send any written relevant data, views, or
arguments about this proposed AD. Send your comments to an address
listed under the ADDRESSES section. Include "Docket No. FAA-2018-0895;
Product Identifier 2018-CE-037-AD" at the beginning of your comments.
We specifically invite comments on the overall regulatory, economic,
environmental, and energy aspects of this proposed AD. We will consider
all comments received by the closing date and may amend this proposed
AD because of those comments.

We will post all comments we receive, without change, to http://
regulations.gov, including any personal information you provide. We
will also post a report summarizing each substantive verbal contact we
receive about this proposed AD.

Discussion

The Civil Aviation Authority (CAA), which is the aviation authority
for New Zealand, has issued AD DCA/750XL/29, dated July 5, 2018
(referred to after this as "the MCAI"), to correct an unsafe
condition for Pacific Aerospace Limited Model 750XL airplanes. The MCAI
states:

The insulation lagging provided by the air-conditioning supplier
has been found to be non-compliant and may cause large amounts of
smoke in the cabin in the event of a fire. DCA/750XL/29 issued to
mandate the instructions in Pacific Aerospace Mandatory Service
Bulletin (MSB) PACSB/XL/086 issue 2, dated 6 April 2018, or later
approved revision to correct non-compliant insulation lagging on the
refrigerant hoses of the air-conditioning system.

You may examine the MCAI on the internet at http://www.regulations.gov
by searching for and locating Docket No. FAA-2018-0895.

Related Service Information Under 1 CFR Part 51

Pacific Aerospace Limited has issued Pacific Aerospace Service
Bulletin PACSB/XL/086, Issue 2, dated April 6, 2018. The service
information provides instructions for replacing the noncompliant
insulation lagging with compliant materials. 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 and Requirements of This Proposed AD

This product has been approved by the aviation authority of another
country, and is approved for operation in the United States. Pursuant
to our bilateral agreement with this State of Design Authority, they
have notified us of the unsafe condition described in the MCAI and
service information referenced above. We are proposing this AD because
we evaluated all information and determined the unsafe condition exists
and is likely to exist or develop on other products of the same type
design.

Costs of Compliance

We estimate that this proposed AD will affect 22 products of U.S.
registry. We also estimate that it would take about 32 work-hours per
product to comply with the basic requirements of this proposed AD. The
average labor rate is $85 per work-hour. Required parts would cost about
$500 per product.

Based on these figures, we estimate the cost of this proposed AD on
U.S. operators to be $70,840, or $3,220 per product.

According to the manufacturer, some of the costs of this proposed
AD may be covered under warranty, thereby reducing the cost impact on
affected individuals. We do not control warranty coverage for affected
individuals. As a result, we have included all costs in our cost
estimate.

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.

We are 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 small airplanes, gliders,
balloons, airships, domestic business jet transport airplanes, and
associated appliances to the Director of the Policy and Innovation
Division.

Regulatory Findings

We 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,

(2) Is not a "significant rule" under the DOT Regulatory Policies
and Procedures (44 FR 11034, February 26, 1979),

(3) Will not affect intrastate aviation in Alaska, and

(4) Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.

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):