Memorandum

City of Lawrence

Public Works

TO:	Brandon McGuire, Assistant to the City Manager
FROM:	Charles F. Soules, Director of Public Works
CC:
DATE:	January 4, 2018
RE:	Policy & Procedures / Minimum Standards

The City received a revised Parachute Landing Area Assessment from the FAA dated January 25, 2017.  The Assessment identified three (3) areas at the Lawrence Municipal Airport that could accommodate skydiving activities (attached).

The Airport Advisory Board has drafted Policies/Procedures and Minimum Standards for this activity.  Following is a brief summary of the proposed procedures/requirements to conduct skydiving activities: 

· Parachute Operators must meet and comply with all FAA and USPA requirements for skydiving activities

· An operator will submit a plan of operations for approval including:

1. Communications plan

2. Identification of aircraft and pilot

3. Hours of operation

4. Altitudes to be used

5. Name and contact information of operator

• All participants must be 18 years old and provide a Release or Waiver of Liability

• The operator will be required to have issued appropriate Notice to Airmen (NOTAM)

• On each day parachute operations are conducted the operator will hold a briefing with the Fixed Based Operator (FBO) and Emergency Services

• Insurance for conducting a commercial Aeronautical Activity meeting the Minimum Standards prescribed in Attachment A

The City purchases from its broker, AJ Gallagher, an Aviation Commercial General Liability Policy with the QBE Insurance Company.  The policy covers the City for sums it becomes legally obligated to pay as damages because of bodily injury or property damage resulting from our aviation operations.  This policy excludes from coverage the operation of parachuting, skydiving, training for skydiving, and the rental and use of skydiving equipment.  This policy also excludes from coverage the defense costs involved with defending a claim associated with skydiving. 

Our broker has advised that the City must transfer the risk of a skydiving operation exposure at our airport to the skydiving operator.  Our broker expects the skydiving operation to procure liability insurance that protects the City for any losses or damages that may occur from the skydiving operation at the City airport.  Our broker has also advised the City that:

- There are approximately ten insurance carriers in our area that could provide coverage for a skydiving operation.

- There would be insurance agents in the area that could assist a skydiving operator in procuring coverage.

- The costs for a skydiving operation are reasonable based upon the operation’s history and experience in the field.

- The skydivers could get insurance for their jumps and the costs were not expensive.

Next steps:

· The designated Parachute Landing Area (PLA) will need maintained (alternative landing area 1 from FAA memorandum)

· The City will revise the Airport Layout Plan (ALP) and submit to the FAA

· Upon receipt of a proposal to conduct a skydiving operation that meets the minimum standards, complies with FAA and USPA regulations, and Lawrence Municipal Airport policies and procedures an agreement will be executed

· A fee will need to be developed to recover the costs for the above work and staff time to review the parachute operations, proposed operational and communications plan and monitor the event/activity (if staff is needed or required to be on site while the activity is conducted)

· Consideration of hours of operation