VERNON'S TEXAS CIVIL STATUTES
TITLE 3A. AERONAUTICS
Art. 46c-6. DEPARTMENT POWERS AND DUTIES. Subds. 1, 2.
Repealed by Acts 1995, 74th Leg., ch. 165, Sec. 24(a), eff. Sept. 1,
1995.
Subd. 3. Air Carriers. (a) The department is granted and
vested with the right, power and authority to promulgate and
administer economic rules and regulations over air carriers. The
department shall promulgate and administer rules providing for the
safety of air carriers subject to the requirements of this Act. The
department shall be vested with broad discretion in promulgating
such rules and regulations. Without limiting the right, power and
authority of the department, to the extent necessary to enable it to
perform its functions, it shall determine the financial,
managerial, and equipment fitness and operational capability of
each air carrier, require filing of such reports and other data of
air carriers as the department may deem necessary, inspect air
carrier facilities and equipment, and adopt a program, rules and
regulations necessary to effectuate its duties hereunder to the
extent that its rules and regulations do not conflict with federal
rules and legislation concerning functions within the jurisdiction
of federal agencies.
(b) No air carrier shall operate as such, after this Act
goes into effect, without having first obtained from the department
a certificate of public convenience and necessity or a certificate
of operating authority; provided, however, that all operating
rights and privileges granted to any air carrier by the department
prior to the passage of this Act shall continue in effect,
authorizing the same service under the same terms and conditions as
previously granted by the department. Upon notice and hearing,
certificates shall be subject to revocation or suspension for
violation of the department's regulations, the provisions of this
Act or the regulations or laws of the United States or any
authorized agency or board thereof. Proceedings for the refusal,
suspension, or revocation of a certificate are governed by the
Administrative Procedure and Texas Register Act, as amended
(Article 6252-13a, Vernon's Texas Civil Statutes). Any such
certificates so revoked or suspended may be reinstated upon order
of the department on its own motion or upon application of the air
carrier, when the department finds reinstatement to be in the
public interest. Prior to issuing or amending a certificate of
public convenience and necessity or a certificate of operating
authority, the department shall consider the encouragement and
development of an intrastate air transportation system properly
adapted to the present and future needs of the State of Texas, and
in addition shall consider the financial responsibility of the air
carrier, its proposed points of service or routes and rates or
charges, the effect, if any, upon existing air carriers and CAB
certificated carriers, and any other factors similarly related to
the interest and safety of the public. Nothing in this Act affects
any litigation pending on the effective date of this Act.
(b-1) The department by rule may establish reasonable
classifications of air carriers. In the interest of limiting the
scope of regulation, the department by rule may exempt any class of
air carriers from any or all of the requirements of this Act or from
any or all rules promulgated pursuant to this Act if the exemption
is just and reasonable and is in the public interest.
(c) No application for a certificate shall be received and
filed by the department unless the same shall be in writing under
oath in original and six copies filed with the Executive Director of
the department and contain the following information:
(1) The name and address of the applicant and the names and
addresses of its officers, if any, and full information concerning
the financial condition and physical properties of the applicant.
(2) The complete route or routes over which the applicant
desires to operate or intended points of service, together with the
description of each aircraft which the applicant intends to use.
(3) A proposed schedule of service and schedule of rates to
be charged between the several points or localities to be served.
(4) It shall be accompanied by plats or maps showing the
route or routes over which the applicant desires to operate, on
which plats or maps shall be delineated the line or lines of any
existing air carrier or airlines, whether or not subject to this
Act, serving such territory, and shall point out the need for
additional air service.
(5) Such other information, exhibits and other data in
regard to the application as may be required by duly promulgated
rules and regulations of the department.
(6) Every application filed with the department for a
certificate shall be accompanied by a filing fee in an amount
determined by the department, but not less than $200, which fee
shall be in addition to any other fees and taxes and shall be
retained by the department, whether the application is approved or
not, to defray operating expenses.
Copies of such application shall be transmitted
contemporaneously by certified mail, return receipt requested, to
the Civil Aeronautics Board, the Federal Aviation Administration
and to any air carrier or CAB certificated carrier, which serves, or
is authorized to serve, over the routes or to the service points
proposed to be served by the applicant. Upon receipt of such
application in proper form, the department shall set a date for
public hearing which may be conducted by the commission, or at its
discretion, by the Executive Director, or any staff member of the
department.
Any other provision of this Act notwithstanding, carriers
certificated by the Civil Aeronautics Board pursuant to the Federal
Aviation Act of 1958, as now or hereafter amended, together with any
other interested party shall be afforded the right to appear and
present evidence and arguments at such hearing on all issues
involved in any such hearing. The final determination of such
application shall be made by the department by written order
setting forth its findings and served upon the parties in such
manner as the department shall specify, and such application may be
granted or denied, in whole, or in part. The order of the
department granting any application and the certificate issued
thereunder shall be voidable upon appeal unless the department
shall set forth in its order full and complete findings of fact
pointing out in detail the basis on which it made each of its
findings on the factors related to the interest and safety of the
public as provided in Subsection (b) of this Subdivision.
(d) Any certificate held, owned or obtained by any air
carrier operating under the provisions of this Act may be sold,
assigned, leased, transferred or inherited; provided, however,
that any proposed sale, lease, assignment or transfer shall be
first presented in writing to the department for its approval or
disapproval and after public notice and public hearing the
department may disapprove such proposed sale, assignment, lease or
transfer if it is found and determined by the department that such
proposed sale, assignment, lease or transfer is not in good faith or
that the proposed purchaser, assignee, lessee or transferee is not
in good faith or that the proposed purchaser, assignee, lessee or
transferee is not able or capable of continuing the operation of the
equipment proposed to be sold, assigned, leased or transferred in
such manner as to render the services required by the certificate
held, or that the proposed sale, assignment, lease or transfer is
not in the best public interest. The department in approving or
disapproving any sale, assignment, lease or transfer of any
certificate may take into consideration all the requirements and
qualifications of a regular applicant required in this Act and
apply the same as necessary qualifications of any proposed
purchaser, assignee, lessee or transferee. Every application filed
with the department for an order approving the lease, sale or
transfer of any certificate of convenience and necessity shall be
accompanied by a filing fee in an amount equal to one-half of the
application fee required for a certificate, which fee shall be in
addition to any other fees and taxes and shall be retained by the
department whether the lease, sale or transfer of the certificate
is approved or not.
(e) In an appeal of a department action other than
revocation or suspension of a certificate, the department action
shall be sustained unless there is no substantial evidence to
support it. An appeal of the revocation or suspension of a
certificate shall be tried in the same manner as appeals from
justice court to the county court. Appeals from any final judgment
of the District Court may be taken by any party to the cause in the
manner provided for in civil actions generally, but no appeal bond
shall be required of the department.
(f) Repealed by Acts 1995, 74th Leg., ch. 165, Sec. 24(a),
eff. Sept. 1, 1995.
(g) No carrier may limit its liability for loss of or damage
to freight or baggage unless the carrier files a limiting tariff
with the department before the claimed loss or damage. The
department shall establish specific liability limits under its
rule-making authority.
Subds. 4 to 10. Repealed by Acts 1995, 74th Leg., ch. 165,
Sec. 24(a), eff. Sept. 1, 1995.
Amended by Acts 1969, 61st Leg., p. 1394, ch. 424, Sec. 1, eff.
Sept. 1, 1969. Subd. 3 amended by Acts 1973, 63rd Leg., p. 745, ch.
324, Sec. 1, eff. Aug. 27, 1973; Subd. 3(b-1) added by Acts 1977,
65th Leg., p. 380, ch. 189, Sec. 1, eff. May 20, 1977; Subd. 3(g)
added by Acts 1977, 65th Leg., p. 54, ch. 30, Sec. 1, eff. March 29,
1977; Subd. 6(b) amended by Acts 1977, 65th Leg., p. 308, ch. 142,
Sec. 1, eff. May 13, 1977; Subd. 10 amended by Acts 1979, 66th Leg.,
p. 31, ch. 22, Sec. 1, eff. Aug. 27, 1979; Subds. 1 and 2 amended by
Acts 1981, 67th Leg., p. 2861, ch. 767, Sec. 3, eff. Sept., 1981;
Subd. 3(a), (b), (c), (d) amended by Acts 1981, 67th Leg., p. 2863,
ch. 767, Sec. 4, eff. Sept. 1, 1981; Subd. 6(b) amended by Acts
1981, 67th Leg., p. 2865, ch. 767, Sec. 5, eff. Sept. 1, 1981;
Subds. 7, 8, 10 amended by Acts 1981, 67th Leg., p. 2861, ch. 767,
Sec. 3, eff. Sept. 1, 1981; Subd. 8 amended by Acts 1985, 69th Leg.,
ch. 239, Sec. 1, eff. Sept. 1, 1985; amended by Acts 1987, 70th
Leg., ch. 33, Sec. 1, eff. Sept. 1, 1987. Amended by Acts 1989, 71st
Leg., 1st C.S., ch. 39, Sec. 2, eff. Oct. 18, 1989; Subd. 3(c)
amended by Acts 1991, 72nd Leg., 1st C.S., ch. 7, Sec. 1.12, eff.
Sept. 1, 1991; Subd. 7 amended by Acts 1991, 72nd Leg., 1st C.S.,
ch. 7, Sec. 1.13, eff. Sept. 1, 1991; Subd. 8(c) amended by Acts
1991, 72nd Leg., 1st C.S., ch. 7, Sec. 1.14, eff. Sept. 1, 1991;
Subd. 10 amended by Acts 1991, 72nd Leg., 1st C.S., ch. 7, Sec.
1.13, eff. Sept. 1, 1991; Subds. 1, 2 repealed by Acts 1995, 74th
Leg., ch. 165, Sec. 24(a), eff. Sept. 1, 1995; Subd. 3(b), (e)
amended by Acts 1995, 74th Leg., ch. 165, Sec. 20, eff. Sept. 1,
1995; Subd. 3(f) and Subds. 4 to 10 repealed by Acts 1995, 74th
Leg., ch. 165, Sec. 24(a), eff. Sept. 1, 1995; Subd. 10(d) amended
by Acts 1995, 74th Leg., ch. 636, Sec. 1, eff. Aug. 28, 1995.