DOT and FAA Airport Legal Determination and Opinion Letter Abstracts of 2023 (2025) / Chapter Skim
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Timberview Helicopters, Inc. v. Okaloosa County, Florida No. 16-21-14
Timberview Helicopters, Inc. v. Okaloosa County, Florida No. 16-21-14
Pages 1-7
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: Okaloosa Executive Airport (DTS) Holding: Violation of Grant Assurance 22, Economic Nondiscrimination No Violation of: Grant Assurance 1, General Federal Requirements Grant Assurance 5, Preserving Rights and Powers Grant Assurance 19, Operation and Maintenance Grant Assurance 21, Compatible Land Use Grant Assurance 29, Airport Layout Plan Grant Assurance 38, Hangar Construction Abstract: Okaloosa County, Florida (Okaloosa or County)
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1.) Grant Assurance 5 Timberview alleged that Okaloosa violated Grant Assurance 5, Preserving Rights and Powers, "when it allowed other activities, including permitting ongoing residential development to encroach into the immediate vicinity of the Airport, and allowing a small but vocal number of Airport neighbors to demand Okaloosa County address their noise complaints by attacking Timberview and its helicopter tour flight operations." (Director's Determination, p.
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) , that the record showed that Okaloosa County did not control development around the airport, that Okaloosa took reasonable measures to oppose residential development or other incompatible land uses around the airport even though the City of Destin did not always accept Okaloosa's suggestions, and that Timberview failed to provide the Director substantive evidence supporting its allegation that Okaloosa is in noncompliance with Grant Assurance 5, Preserving Rights and Powers.
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7.) Grant Assurance 38 Timberview alleged that Okaloosa violated Grant Assurance 38, Hangar Construction, when the County terminated commercial tour flights, thereby preventing Timberview from making a return on the investment it had made in the 37-year lease for Hangar 7-1.
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Whether the County violated Grant Assurance 22, Economic Nondiscrimination, by not approving Timberview's Draft Agreement to conduct commercial operations. As to the first issue, the Director noted that the County had articulated several concerns with respect to Timberview's helicopter operations, including its incompatibility with the residential nature of the surrounding community and need to minimize the impacts of flights through operational requirements, including flights after sunset.
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However, the record does not show that during negotiations of the Draft Agreement -- or written into the Draft Agreement itself -- that Okaloosa specifically required Timberview to submit reasonable accounting documentation to support its past adjusted gross revenue payment … or for [ ] alleged gross revenue underpayments." (Director's Determination, p.
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18.) Consequently, the Director ruled: "Okaloosa's actions imposing local flight operational requirements on Timberview beyond what is federally required is unreasonable … Okaloosa is applying discriminatory terms and conditions in its lease terms and minimum standards against Timberview as well as unfair practices against other aeronautical users at the Airport.
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