Is NetJets Operating Under Part 135?

NetJets Inc. is one of the largest players in the private aviation industry. It is known for its fractional ownership model, offering customers a more accessible way to experience private jet travel.

To understand the operational framework of NetJets, it is essential to delve into the regulatory environment. The Federal Aviation Administration (FAA) governs all aspects of civil aviation in the United States. One of its regulatory sets, FAR Part 135, is crucial for understanding the operations of companies like NetJets.

FAR Part 135 Overview

FAR Part 135 covers air charter and on-demand service operations. This regulation encompasses a wide range of requirements, including strict maintenance standards, pilot qualifications, and operational controls. Companies operating under Part 135 need to adhere to rigorous safety inspections and detailed record-keeping. These rules ensure higher safety standards but also come with significant compliance costs.

Fractional Ownership Explained

NetJets pioneered the concept of fractional aircraft ownership. This model allows individuals or businesses to purchase a share of an aircraft, giving them access to the full fleet at a fraction of the cost. Owners buy a share in a specific aircraft, which entitles them to a set number of flying hours per year. This approach makes private jet travel more affordable and flexible.

Fractional ownership combines the benefits of full ownership and charter services. Owners have more control than with traditional charter services and less commitment than full ownership. The model suits frequent flyers who need the flexibility and convenience of private jet travel.

NetJets’ Regulatory Status

NetJets operates under FAR Part 91, Subpart K, specifically designed for fractional ownership programs. This subpart includes regulations tailored to the fractional ownership model but borrows many safety standards from Part 135.

Part 91 regulations are generally less stringent than Part 135, especially concerning operational control and pilot duty times. However, Subpart K introduces several additional requirements aimed at ensuring safety and reliability on par with Part 135 standards.

Operational Control

Under Part 91, Subpart K, the fractional ownership company, not the individual owner, retains operational control of the aircraft. This arrangement ensures that the fleet is operated by experienced and qualified personnel, maintaining high safety standards. Owners benefit from a professionally managed and maintained fleet without the complexities of direct operational control.

Safety Standards

NetJets holds itself to rigorous safety standards, often exceeding FAA requirements. The company maintains a robust safety management system (SMS), which includes regular audits, training, and incident reporting. These measures ensure ongoing compliance and continual improvement in safety practices.

Pilot Qualifications

NetJets hires highly experienced pilots and provides extensive training programs. Pilots operate under the same stringent standards as those flying under Part 135. They undergo regular training, including recurrent training sessions, emergency drills, and proficiency checks. This focus on pilot qualifications ensures the highest level of safety and professionalism.

Maintenance Standards

NetJets employs a comprehensive maintenance program that meets or exceeds Part 135 standards. The company uses advanced technologies and strict protocols to ensure the safety and reliability of its fleet. Maintenance activities include regular inspections, preventive maintenance, and immediate attention to any discrepancies. This rigorous approach minimizes downtime and maximizes aircraft availability for owners.

Customer Experience

NetJets offers a luxury experience tailored to the needs of its owners. Customers enjoy personalized services, including customized flight plans and premium in-flight amenities. NetJets’ operations team coordinates every aspect of the journey, ensuring a seamless and comfortable travel experience. The company’s commitment to customer satisfaction extends beyond the flight itself, encompassing all interactions and services provided.

Why Part 91 Subpart K?

Choosing Part 91 Subpart K allows NetJets to offer more flexible and cost-effective solutions compared to Part 135 operators. The fractional ownership model benefits from reduced regulatory burdens, which translates to lower costs and greater operational flexibility. Owners enjoy a high level of service comparable to that of Part 135 operators but with more favorable financial terms.

Industry Implications

NetJets’ model has influenced the broader private aviation industry. Many companies have adopted similar fractional ownership programs, leveraging the advantages of Part 91 Subpart K regulations. This trend has expanded the market for private jet travel, making it more accessible to a broader range of customers. As a result, the private aviation industry has seen significant growth and innovation.

Conclusion

NetJets operates under Part 91, Subpart K, rather than Part 135. This regulatory choice aligns with its fractional ownership model, providing both flexibility and rigorous safety standards. Customers enjoy a high level of service and safety, ensuring a premium travel experience. NetJets’ success demonstrates the viability of the fractional ownership model and its impact on the private aviation industry.