Overview
This section outlines the specific criteria for determining the availability of U.S.-flag air carriers and establishes the requirements for documenting exceptions to the Fly America Act. It provides a regulatory framework for when government-funded travelers may use foreign-flag carriers and defines the financial consequences for unauthorized use.
Key Rules
- Mandatory Preference: U.S.-flag air carriers must be used for all Government-financed travel unless they are proven unavailable or their use would impede the agency's mission.
- Invalid Justifications: U.S.-flag carrier service is considered "available" even if a foreign carrier is less expensive, more convenient, or preferred by the traveler.
- Scheduling Principles: Travelers must use U.S. carriers to the farthest interchange point possible. Foreign carriers may only be used to the nearest interchange point to connect with a U.S. carrier.
- The 24-Hour/6-Hour Rules: U.S. carrier service is deemed unavailable if it extends travel time by more than 24 hours at a gateway airport, or increases wait/travel time by 6 hours or more at interchange points or between two points outside the U.S.
- Bilateral Agreements: Use of foreign carriers is permitted without penalty if authorized under a bilateral or multilateral air transport agreement (e.g., "Open Skies" agreements) providing reciprocal rights.
- Disallowance of Funds: Failure to provide a written justification memorandum for using a foreign carrier will result in the government disallowing the expenditure, with the traveler potentially liable for costs based on lost revenue to U.S. carriers.
Practical Implications
- Contractors must ensure travel policies prioritize U.S. carriers regardless of higher ticket prices, as "cost savings" is not a legally defensible reason to bypass the Fly America Act.
- Administrative staff must maintain meticulous documentation, including the statement required by FAR 52.247-63, for every international flight to avoid the risk of non-reimbursement during audits.