Why the proposed Part 149 organisations are not required
History of RAAO’s
The first of these bodies was the GFA. It set the benchmark and CASA used the structure as a template for other bodies.
Today, the GFA is withering away as it chews itself up in an amateur bureaucratic feast.
There is a lesson here for all recreational aviation bodies.
Unfortunately, many of those CASA employees who are driving the P149 solution are refugees from the very bodies they seek to regulate and perhaps their minds are closed to the legal constructs associated with them and thus potentially any other solutions. This is aided and abetted by the existing bodies who are concerned with their continued existence as distinct from representing the interests of their members. It may be subtle but interest in the continued existence of a organisation is not necessarily the same as the interests of the members of that organisation.
Conversely can you imagine the outcry if all the private pilots of Australia were required to join a national aviation association?
Associations as Part 149 organisations
We are all required to join a P149 organisation to pursue our chosen field of recreational aviation by virtue of the various CAO’s. If there was not this requirement they would probably not exist.
Typically these organisations are associations incorporated under various Sate statutes. The common law and in most cases, statute, the relationship between the members and the Association is that of a contract. The common law has held for centuries that a contract cannot be altered except by the agreement of both parties. This means that the rights and liabilities of the members cannot be altered without the concurrence of the membership. These rights and liabilities cannot be imposed unilaterally by an executive and or board acting alone or by an external third party unless the members delegate that authority.
Associations act for the benefit of members, not for its own purpose or for an external third party. What may be good for the third party or the association as a body or its employees may not be of benefit to the members. For example, CASA may command that RA-Aus employ a minimum of 20 staff on a minimum salary of $100,000 per annum to remain a RAAO. This is clearly not beneficial to the members but of benefit to the organisation’s employees and CASA.
The Moral Hazard
In the main P149 organisation currently receive funding to carry out certain activities on behalf of CASA. Whilst this financial link exists the Board, charged with maintaining a financially liquid organisation whilst meeting the stringencies associated with the funding, will always have regard to this ongoing arrangement in any negotiations with CASA. In this case it is unlikely that a P149 organisation will fearlessly advocate on behalf of members.
Conflict of Interest
The arrangements imposed by CASA through the various CAO’s and funding agreements place the organisations in a position of conflict between their roles as advocates on behalf of the members and the role required by the CASA arrangements as regulators. For example an agreement between CASA and GFA:
“D.CASA has for a number of years provided the Organisation with financial assistance for ensuring that the Members conduct Aviation Activities in accordance with the CASA Approved Procedures. This financial assistance has been limited to certain functions, but has been conditional on the Organisation performing other functions set by CASA as requirements for the continued operation of the CASA Regulatory Exemptions.”
Moreover in executing the agreement GFA (“the Organisation”):
“The Organisation warrants that no conflict of interest or risk of conflict of interest exists in relation to the performance of its obligations under this Deed.”
Can you imagine a trade union or similar body designed to advocate on behalf of its members entering into such a deed? It is self evident that the role of a regulator is naturally conflicted with the role of an advocate, especially when a financial pipeline is attached the regulator role.
CASA’s ignorance of other legislation
In constructing the P149 paradigm it appears to act as though the only legislation that matters is that which CASA administers. This is not the case. Clearly the various Associations Acts must be taken into account, potentially the Corporations Act in as much as it may govern the activities of large associations acting nationwide and the Human Rights legislation by demanding membership of an organisation (the “freedom to associate” also includes the freedom not to associate) to name a few.
A better way?
CASA currently delegates many activities to individuals and organisations. AOPA has previously proposed a company to undertake these contracted roles for CASA. I understand that similar ideas are being examined by RA-Aus. The concept has merit. Private bodies and individuals are able to charge fees for service which are in the main determined by the market place. GA exists in this sort of environment. So why cant recreational aviation.
Sure, the existing bodies may be casualties but they really only exist as a result of legislative compulsion. They would need to demonstrate their worth in the long run by showing real benefits for members.
Summary
Of all tyrannies, a tyranny sincerely exercised for the good of its victims may be the most oppressive. It would be better to live under robber barons than under omnipotent moral busybodies. The robber baron's cruelty may sometimes sleep, his cupidity may at some point be satiated; but those who torment us for our own good will torment us without end for they do so with the approval of their own conscience.
C. S. Lewis English essayist & juvenile novelist (1898 - 1963)