everyone involved throughout all the steps of a transac- tion. As a self-regulatory body, we invite all brokers to actively participate and engage with us so that we can embody the change we want to see in our industry.” Currently, there is no standard by which to evaluate a broker, nor any single source for determining whether a broker has a good business reputation. Further, there are no training requirements for brokers or their employees. NATA’s new committee, including brokers and charter operators, is considering: 1. Establishing a broker registry, which would be a self-identifying process for individual brokers and broker companies. 2. Creating and publishing a list of minimum stan- dards to become a “certified aviation advisor.” To qualify, the individual and company must dem- onstrate aviation knowledge through an online system. 3. Maintaining the certification of aviation advisors through continued education. “The main reason for the creation of the commit- tee was to form solid lines of communication between operators and charter brokers,” said Ryan Waguespack, NATA’s Senior Vice President. “Good communication creates better experiences with brokers and operators, giving the consumer an excellent experience.” The committee’s goal is to communicate to the world that there are ethical, knowledgeable representatives in the broker world representing buyers in charter transac- tions,” added Waguespack. The committee expects a neutral board will oversee the broker registry and moderate any conflicts or reports of disreputable activity. The committee proposes brokers must remain in good standing to maintain a listing on the registry. If a com- pany or individual fails to meet ethical business require- ments or is out of the business for some period of time, then the company or individual would fall to “inactive” or be removed from the list entirely, after a review by neutral parties. “Standards are good for everyone in the marketplace, especially customers,” said Weeber. “Standards would also create barriers to entry for those who might soil our mutual and collective reputations.” Aviation Business Journal | Spring 2020 “The committee’s goal is to communicate to the world that there are ethical, knowledgeable representatives in the broker world representing buyers in charter transactions.” You may be thinking—haven’t we seen this movie before? Haven’t other organizations attempted to estab- lish best practices and other requirements for air charter brokers? Yes. But, NATA and committee members believe this is the right time for the following reasons: • First, Part 135 safety landed on the NTSB’s Most Wanted List in 2019. Whether this is a fair des- ignation can be debated, but increased focus on charter safety necessitates that other aspects of the industry—including brokers—increase their focus on safety. • Second, the FAA has greatly increased its focus on illegal charter operations. Again, this means charter operators, brokers, and consumers should be more in tune with regulatory requirements and safety practices for the protection of both the con- sumer and the broker. • Third, the committee’s goal is to have better trained and qualified brokers over the next few years—not necessarily to cut people out of the industry, unless they aren’t willing to become bet- ter trained and qualified. • Finally, the infiltration of high-volume brokers with point-click-sell transactions has raised questions about the applicability of quick transactions in avia- tion. Should an app or an untrained employee make feasibility decisions and give passengers advice? Overall, committee members assert they should ride the steam of previous initiatives using a clearer scope than, perhaps, those efforts. “Private aviation means taking the time to put the client’s interests first,” said Weeber. “We have a duty of loyalty to the client, so the standards committee intends to establish, monitor, and find a way to enforce best practices in broker activity.” Lindsey McFarren is the president of McFarren Aviation Consulting, which specializes in compliance, operations and safety for Part 91 and Part 135 aviation organizations. Visit www.McFarrenaviation.com for more information, or contact Lindsey at [email protected]. 63
