Latest news with #OrganizationDesignationAuthorization
Yahoo
3 days ago
- Business
- Yahoo
FAA extending program allowing Boeing to perform tasks on agency's behalf
The Federal Aviation Administration (FAA) said Thursday it would renew a program that allows Boeing to perform tasks on behalf of the agency for three years. Boeing's Organization Designation Authorization (ODA) will become effective on June 1. 'Before making the decision, the FAA closely monitored specific criteria and saw improvements in most areas. Criteria included implementing policies prohibiting interference with ODA unit members; assessing the ODA unit's ability to effectively self-audit and ensure follow-through of post-audit activities; and monitoring the ODA unit's ability to complete projects independently,' the FAA said in a statement announcing the agreement. 'The FAA will continue to closely monitor Boeing's performance throughout its renewal period,' it added. The move follows months of scrutiny due to concerns about the aviation manufacturer's safety standards after a midair accident took place on a Boeing 737 Max 9 last year. A door on an Alaska Airlines flight flew open, and a later investigation revealed the incident was caused by the absence of four missing bolts. Since then, whistleblowers have stepped forward alleging the company prioritized speed over quality in production stages. The FAA said it would continue 'aggressive oversight' of Boeing under the renewed program and opted to extend ODA for three years instead of the proposed five-year agreement. 'We remain committed to working under the agency's detailed and rigorous oversight,' a Boeing spokesperson said in a statement. 'We have taken purposeful steps to strengthen our ODA program over the past three years in alignment with FAA requirements, and we will continue those improvements.' In May, the Department of Justice (DOJ) dropped its case against Boeing after the company agreed to a deal to resolve two 737 Max plane crashes in 2018 and 2019, respectively, killing 346 people. Under the terms, Boeing would pay or invest more than $1.1 billion, including an additional $445 million for the crash victims' families. However, senators say the company should be held to a higher standard. 'Whistleblowers, the Federal Aviation Administration (FAA), and the National Transportation Safety Board (NTSB) have indicated that a dysfunctional safety culture persists at the company, even as Boeing executives evade blame for the company's failures while pocketing millions in pay and bonuses,' Sens. Elizabeth Warren (D-Mass.) and Richard Blumenthal (D-Conn.) wrote in a letter to Attorney General Pam Bondi before the deal was complete. They said 'manufacturing errors and defects in Boeing aircraft are not one-offs.' Despite criticism of the company's culture and handling of the fatal crashes, DOJ officials have lauded their deal with Boeing. 'Ultimately, in applying the facts, the law, and Department policy, we are confident that this resolution is the most just outcome with practical benefits,' a Justice Department spokesperson said in a statement to The Associated Press. 'Nothing will diminish the victims' losses, but this resolution holds Boeing financially accountable, provides finality and compensation for the families and makes an impact for the safety of future air travelers.' Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.


The Hill
3 days ago
- Business
- The Hill
FAA extending program allowing Boeing to perform tasks on agency's behalf
The Federal Aviation Administration (FAA) said Thursday it would renew a program that allows Boeing to perform tasks on behalf of the agency for three years. Boeing's Organization Designation Authorization (ODA) will become effective on June 1. 'Before making the decision, the FAA closely monitored specific criteria and saw improvements in most areas. Criteria included implementing policies prohibiting interference with ODA unit members; assessing the ODA unit's ability to effectively self-audit and ensure follow-through of post-audit its activities; and monitoring the ODA unit's ability to complete projects independently,' the FAA said in a statement announcing the agreement. 'The FAA will continue to closely monitor Boeing's performance throughout its renewal period,' it added. The move follows months of scrutiny due to concerns about the aviation manufacturer's safety standards after a mid-air accident took place on a Boeing 737 MAX 9 last year. A door on the Alaska Airline flight flew open and a later investigation revealed the incident was caused by the absence of four missing bolts. Since then, whistleblowers have stepped forward alleging the company prioritized speed over quality in production stages. The FAA said it would continue 'aggressive oversight' of Boeing under the renewed program and opted to extend ODA for three years instead of the proposed five year agreement. Boeing did not immediately respond to The Hill's request for comment on the matter. In May, the Department of Justice (DOJ) dropped its case against Boeing after the company agreed to a deal to resolve two 737 Max plane crashes in 2018 and 2019 respectively, that crashed killing 346 people. Under the terms, Boeing would pay or invest more than $1.1 billion, including an additional $445 million for the crash victims' families. However, senators say the company should be held to a higher standard. 'Whistleblowers, the Federal Aviation Administration (FAA), and the National Transportation Safety Board (NTSB) have indicated that a dysfunctional safety culture persists at the company, even as Boeing executives evade blame for the company's failures while pocketing millions in pay and bonuses,' Sens. Elizabeth Warren (D-Mass.) and Richard Blumenthal (D-Conn.) Sens. Elizabeth Warren (D-Mass.) and Richard Blumenthal (D-Conn.) wrote in a letter to Attorney General Pam Bondi before the deal was complete. They said 'manufacturing errors and defects in Boeing aircraft are not one-offs.' Despite criticism for the company's culture and handling of the fatal crashes, DOJ officials have lauded their deal with Boeing. 'Ultimately, in applying the facts, the law, and Department policy, we are confident that this resolution is the most just outcome with practical benefits,' a Justice Department spokesperson said in a statement to the Associated Press. 'Nothing will diminish the victims' losses, but this resolution holds Boeing financially accountable, provides finality and compensation for the families and makes an impact for the safety of future air travelers.'


Reuters
4 days ago
- Business
- Reuters
US FAA extends Boeing regulatory delegation program by three years
WASHINGTON, May 29 (Reuters) - The U.S. Federal Aviation Administration on Thursday said it would extend by three years a program that allows Boeing to perform some tasks on the agency's behalf. In May 2022, the agency agreed to renew Boeing's Organization Designation Authorization program for three years rather than the five years Boeing had asked for. The FAA said Thursday before the decision to again extend the program that "FAA closely monitored specific criteria and saw improvements in most areas." The agency added it "will continue to closely monitor Boeing's performance throughout its renewal period."
Yahoo
4 days ago
- Business
- Yahoo
US FAA extends Boeing regulatory delegation program by three years
WASHINGTON (Reuters) - The U.S. Federal Aviation Administration on Thursday said it would extend by three years a program that allows Boeing to perform some tasks on the agency's behalf. In May 2022, the agency agreed to renew Boeing's Organization Designation Authorization program for three years rather than the five years Boeing had asked for. The FAA said Thursday before the decision to again extend the program that "FAA closely monitored specific criteria and saw improvements in most areas." The agency added it "will continue to closely monitor Boeing's performance throughout its renewal period." Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
02-04-2025
- Business
- Yahoo
Boeing CEO testifies before Senate committee on restoring safety and its 'tarnished reputation'
April 2 (UPI) -- Boeing CEO Kelly Ortberg will testify Wednesday before the Senate Committee on Commerce, Science and Transportation to face questions on how the company is addressing production and safety issues. Committee chair Sen. Ted Cruz, R-Texas, said in a statement Boeing has been subject to ramped up safety audits as well as intensified oversight from the Federal Aviation Administration since a door blew off on Alaska Airlines Flight 1282 in 2024. "Given Boeing's past missteps and problems, the flying public deserves to hear what changes are being made to rehabilitate the company's tarnished reputation," Cruz said. "I appreciate that Boeing CEO Kelly Ortberg has agreed to testify before the Senate Commerce Committee to detail what steps the company has taken to strengthen its commitment to a safety-focused, quality-driven culture." Cruz added that Boeing has been a great American manufacturer and "and all of us should want to see it thrive." "Boeing has made missteps in recent years - and it is unacceptable,"Ortberg said in written testimony ahead of the committee hearing. Sen. Maria Cantwell, D-Wash., in a Tuesday letter to the FAA, raised "critical concerns" regarding a program called Organization Designation Authorization that allows Boeing to certify its own work. She urged the FAA to deal with those concerns before its decision expected in May on whether to renew the company's authorization. Cantwell plans to question Ortberg about the ODA at Wednesday's hearing. Boeing has not commented on Cantwell's letter. The FAA said it would respond directly to her. In her letter Cantwell questioned why the agency asked for the ODA to resume in August 2023 for Boeing's 737 and 787 production lines when FAA data showed quality declining. In January, nearly a year after the 737 Max jet door plug blow-out during an Alaska Airlines flight, Boeing detailed some safety improvement steps it had taken. Then-FAA Administrator Mike Whittaker said that improving safety at Boeing was "not a one-year project." Whittaker said Boeing needed a :fundamental cultural shift" oriented around safety.