EXEMPTION FROM SUBPART 604

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Control Number 132-2011
Exemption (E) RDIMS 6867361
Exemption (F) 7926950
Issue paper RDIMS 6864409
SEA RDIMS 6930332
EXEMPTION FROM SUBSECTION 700.02(1)
OF THE CANADIAN AVIATION REGULATIONS
Pursuant to Subsection 5.9(2) of the Aeronautics Act, and after having determined that the
exemption is in the public interest and is not likely to adversely affect aviation safety, I hereby
exempt AirSprint Inc., 1910 McCall Landing NE Calgary, Alberta, operating Canadian aircraft
under a fractional ownership program, from the requirements of subsection 700.02(1) of the
Canadian Aviation Regulations (CARs).
Subsection 700.02(1) of the CARs states that no person shall operate an air transport service
unless the person holds and complies with the provisions of an air operator certificate that
authorizes the person to operate that service.
This exemption is granted subject to the following conditions.
INTERPRETATION
Specialized terms are defined in Appendix A, attached to this exemption.
PURPOSE
The purpose of this exemption is to permit AirSprint Inc., to operate Canadian registered aircraft
in a fractional ownership program, with a Temporary Private Operator Certificate issued
pursuant to the Interim Order No. 9 respecting Private Operators, dated 7 July 2011 or any
subsequent Interim Order that the Minister may make for that purpose.
Further, this exemption is to permit AirSprint Inc., to operate Canadian registered aircraft in a
fractional ownership program in accordance with the Private Operator regulations (CAR 604)
once they come into force and supersede the Interim Order respecting Private Operators.
APPLICATION
This exemption applies to AirSprint Inc., while operating Canadian registered aircraft pursuant
to a fractional ownership program as described below, and in which two or more aircraft are
available subject to conditions, for use by the fractional owners who each owns at least a
minimum fractional ownership interest in one aircraft.
The fractional ownership program (“program”) comprises all of the following components:
a) The provision of fractional ownership program management services by a single
fractional ownership program manager, on behalf of the fractional owners.
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Control Number 132-2011
Exemption (E) RDIMS 6867361
Exemption (F) 7926950
Issue paper RDIMS 6864409
SEA RDIMS 6930332
b) Two or more airworthy Canadian registered aircraft;
c) One or more fractional owners per program aircraft, with at least one program
aircraft having more than one owner;
d) Possession of at least a minimum fractional ownership interest in one or more
program aircraft by each fractional owner;
e) An aircraft interchange agreement amongst all of the fractional owners;
f) Multi-year program agreements covering the fractional ownership, fractional
ownership program management services, and aircraft interchange agreement aspects of
the program.
CONDITIONS
This exemption is subject to the following conditions:
1. Fractional ownership program operations must be conducted under a Private Operator
Certificate (POC) held by the fractional ownership program manager.
2. The fractional ownership program manager shall hold an Air Operator Certificate (AOC)
valid for the operation of the largest aircraft type being operated under the fractional
ownership program.
3. Notwithstanding that the aircraft being operated under the fractional ownership program
are operated under a POC, the fractional ownership program manager shall manage all
operations in accordance with the requirements of Divisions III through IX of the
appropriate subpart of Part VII of the CARs, except for the following requirements:
(a) For aeroplanes that are otherwise required to be operated under subpart 4 of Part
VII of the CARs, the fractional ownership program manager may permit, and a pilot may
conduct, a take off in a turbojet powered aeroplane or large aeroplane at a weight in
excess of that allowed by subsection 704.49(1) and 704.50 provided:
(i) The operation is conducted in accordance with a Destination Aerodrome
Analysis plan, as detailed in the company operations manual that includes the
following elements:
(A) Pilot qualifications and experience;
(B) Aircraft performance data related to normal, abnormal and emergency
procedures as provided by the aircraft manufacturer;
(C) Aerodrome facilities and topography;
(D) Runway conditions (including contamination);
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Control Number 132-2011
Exemption (E) RDIMS 6867361
Exemption (F) 7926950
Issue paper RDIMS 6864409
SEA RDIMS 6930332
(E) Aerodrome or area weather reporting;
(F) Appropriate additional runway safety margins, if required;
(G) Aeroplane inoperative equipment; and
(ii) the weight of the aeroplane on landing at the destination or alternate
aerodrome will allow a full stop landing within 80 percent of the landing distance
available (LDA) after taking into account the following:
(A) the pressure-altitude at the destination and alternate aerodrome;
(B) not more than 50 percent of the reported headwind component or not
less than 150 percent of the reported tailwind component; and
(C) that the aeroplane must be landed on a suitable runway, considering
the wind speed and direction, the ground handling characteristics of the
aeroplane, and other conditions as listed in (i) above.
(iii) Subject to (iv) below, when weather reports or forecasts indicate that the
runway may be wet at the estimated time of arrival, no person shall dispatch or
conduct a take-off in a turbojet powered aeroplane unless the LDA at the
destination airport is at least 115 percent of the LDA calculated pursuant to (ii)
above.
(iv) The LDA on a wet runway may be shorter than that required by 3(a)(iii), but
not shorter than that required by 3(a)(ii) above where the aircraft flight manual
includes specific information about landing distances on wet runways.
(b) For aircraft that are otherwise required to be operated under subpart 3 of Part
VII of the CARs, Section 703.86 (minimum crew) is not applicable to operations
under this exemption; all flights must be conducted with a minimum of two pilots.
(c) Division III (Flight Time and Flight Duty Time Limitations and Rest Periods) of
subpart 0 of Part VII of the CARs and the associated standards in Division II of
subpart 0 of Part VII of the Commercial Air Services Standards (CASS) do not apply.
The operator shall instead, comply with the requirements of Division VI of Interim
Order No. 9 respecting Private Operators or such regulatory instrument as may
replace this Division.
4. The fractional ownership program aircraft must be registered in Canada in the name of
the fractional ownership program manager, who shall maintain legal custody and control
of all program aircraft.
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Control Number 132-2011
Exemption (E) RDIMS 6867361
Exemption (F) 7926950
Issue paper RDIMS 6864409
SEA RDIMS 6930332
5. The fractional ownership program manager shall manage the fractional ownership
program in compliance with the terms of their POC as modified by the conditions of this
exemption.
6. Non-financial arrangements of the multi-year program agreements covering the fractional
ownership, fractional ownership program management services, and aircraft interchange
agreement aspects of the program must be readily available to the Minister upon demand.
7. In the case of a program aircraft conducting demonstration flights for the purpose of
soliciting new sales of fractional aircraft interest, the fees charged to the potential
customer must not exceed the operating cost of the flight(s) which are limited to the
following items:
(a) Fuel, oil, lubricants, and other additives,
(b) Travel expenses of the crew, including food, lodging, and ground
transportation,
(c) Hangar and tie-down costs away from the aircraft's base of operation,
(d) Insurance obtained for the specific flight,
(e) Landing fees, airport taxes, and similar assessments,
(f) Customs, foreign permit, and similar fees directly related to the flight,
(g) In flight food and beverages,
(h) Passenger ground transportation,
(i) Flight planning and weather contract services and,
(j) An additional charge not to exceed the equivalent of 100 percent of the
expenses listed in paragraph (a) of this section, to cover expenses such as; crew
salaries, engine / airframe maintenance programs etc.
8. A copy of this exemption must be carried on board the program aircraft at all times that
the aircraft is operating pursuant to the fractional ownership program.
VALIDITY
This exemption is in effect until the earliest of the following:
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Control Number 132-2011
Exemption (E) RDIMS 6867361
Exemption (F) 7926950
Issue paper RDIMS 6864409
SEA RDIMS 6930332
(a)
April 30, 2017 at 23:59 MDT
(b)
the date on which any one of the conditions set out in this exemption is breached; or
(c)
the date on which this exemption is cancelled in writing by the Minister, where he is of
the opinion it is no longer in the public interest, or is likely to have an adverse affect on
aviation safety.
Dated at Winnipeg, Manitoba, Canada this 4th day of June , 2012, on behalf of the Minister of
Transport.
“Original signed by”
Katherine (Kate) Fletcher
Regional Director
Prairie and Northern Region
Civil Aviation
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Control Number 132-2011
Exemption (E) RDIMS 6867361
Exemption (F) 7926950
Issue paper RDIMS 6864409
SEA RDIMS 6930332
APPENDIX A
The following specialized terms referenced in this exemption are to be interpreted as follows:
Interpretation – In this exemption
“aircraft interchange agreement” - means an arrangement, documented by the written
program agreements, under which the program aircraft are available, on an as needed basis,
to each fractional owner.
“fractional owner” or “owner” - means an individual or entity that possesses a minimum
fractional ownership interest in a program aircraft and that has entered into the applicable
program agreements.
“fractional ownership interest” - means the ownership of an interest or holding of a multiyear leasehold interest and/or a multi-year leasehold interest that is convertible into an
ownership interest in a program aircraft.
“minimum fractional ownership interest” – means

A fractional ownership interest equal to, or greater than, one-sixteenth (1/16)
of at least one subsonic, fixed-wing or rotary wing program aircraft; or

A fractional ownership interest equal to, or greater than, one-thirty-second
(1/32) of at least one rotary wing program aircraft.
“fractional ownership program aircraft” or “program aircraft” - means:
(i) A Canadian registered aircraft in which a fractional owner has a minimal fractional
ownership interest and that has been included in the aircraft interchange agreement
pursuant to the program agreements, or
(ii) A Canadian registered aircraft owned in whole or in part by the program manager
that has been included in the aircraft interchange agreement and is used to supplement
program operations.
“Fractional ownership program management services” or “program management services” mean administrative and aviation support services furnished in accordance with the
applicable requirements of this exemption or provided by the program manager on behalf of
the fractional owners, including, but not limited to, the



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Establishment and implementation of program safety guidelines;
Employment, furnishing, or contracting of pilots and other crewmembers;
Training and qualification of pilots and other crewmembers and personnel;
Scheduling and coordination of the program aircraft and crews;
Maintenance of program aircraft;
Satisfaction of recordkeeping requirements;
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Control Number 132-2011
Exemption (E) RDIMS 6867361
Exemption (F) 7926950
Issue paper RDIMS 6864409
SEA RDIMS 6930332


Development and use of a company operations manual and procedures; and
Application for and maintenance of management agreements and other
authorizations and approvals.
“fractional ownership program manager” or “program manager” means the individual or
entity that offers fractional ownership program management services to fractional owners,
and is designated in the multi-year program agreements, referenced in item (f) of the
application section of this exemption.
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