Untitled Texas Attorney General Opinion

Mr. Charles Murphy Opinion No. c-763 Director, Texas Aeronautics Commission Rc: Whether a certificate Austin, Texas issued by Texas Aero- nautics Commission remains In effect, when the airline holding the Intrastate certificate, commences interstate flights and related Dear Mr. Murphy: questions. Your letter requeating an opinion of this office reads, in part, as follows: "We respectfully request an attorney general's opinion answering the following two questions re- garding this grant~edauthority. The facts are that the Texas Aeronautics "- ommlssion (TAC) has issued's certifl- cate authorizing Haod Airlines to serve various specific points in Texas. Hood Airlines, in the future, will initiate scheduled flight service to Texarkana, Arkansas and Shreveport, Louisiana. "The question is: Upon Hood Airline's inaugura- tion of these flights, will this certificate now in effect remain in effect or will it become void? Further, will all or any part of Hood Airlines' flight operation be subject to the authority of the TAC? "QUestion #2. The facts are that Dal Airlines ia Initiating scheduled flight service from Dallas to points in-Texas and to Port Polk, Louisiana.. Dal Airlines, by application to the TAC, voluntarily submits Itself to the authority of the TAC and asks that it be given a certificate to serve the points on its flights located within the boundaries of Texas which are of a purely intrastate nature." -3670- Mr. Charles Murphy, page 2 (c-763) Subdivision 3 of Article 46c-6, Vernon's Civil Statutes provides, in part, as follows: "Subdivision 3. Scheduled Intrastate Carriers, For the public convenlenco and necessity, the Com- mission flexas Aeronautics Commission7 is granted the right, power and authority to exercise econoalc and safety regulations over only scheduled intra- state carriers not holding certificates of convenience and necessity from the Civil Aeronautics Board under the Federal Aviation Act of 1958, as now or hereln- after amended. . . . . The Commission shall be vested with a broad discretion in promulgating such regulations, and no intrastate air carrier shall operate within the State of Texas unless and until it has met the standards prescribed, and has been issue: a certificate to do so by the Commission, . . . (Emphasis added) It is a general rule that commerce wholly confined within the jurisdiction and territory of one state is intra- state commerce. 12 Tex.Jur.2d 165. If the origin and ultimate destination are ~both within the same state, the shipment is intrastate in character. CtalvestonH&S.A.Ry Co. V. Wood Hagenbarth Cattle Co., 105 Tex. 178, 146 S.W: 538 1912); St. Louis B&M Ry. Co. v. True Bros., 140 S.W. 837 Tex.Clv.App. 1911). Congress has pre-empted the field of interstate air transportation In regard to routes and nolnts to be served bv Interstate air carriers to the ex- clusion of Conflicting regulations by the states. Applica- tion of Frontier Airlines, Inc. 122 N.W.2d 476, 175 Neb. 501 (1963); 49 U.S.C.A., Sections 1301 (lo), 1301 (21) and 1371 (a). Clearly, the Texas Aeronautics Commission Is authorized to issue certificates only to those carriers whose operations, including points of origin and destlna- tion for commercial airline traffic, remain wholly within the State of Texas. It is our opinion that the certificate issued by the Texas Aeronautics Commission to Hood Airlines would become void upon initiation of flight service to destination pointsoutside the State of Texas. Article 466-6 provides no authority for the issuance of a certificate to commercial airlines operating any portion of their flight service with origin or destination points outside the State of Texas. Also, the Texas Aeronautics Commission would have no right, power, or authority to exercise economic and safety regulations over any part of Hood Airlines flight operations. -3671- Mr. Charles Murphy, page 3 (C-763) Answering your second question, it is our opinion that the Texas Aeronautics Commission has no authority to issue a certificate for Dal Airlines to serve points within the State of Texas, as Dal Airlines proposes to and will main- tain a portion of its flight operations with origin or desti- nation points outside the State of Texas. SUMMARY ------- Upon initiation of airline service with origin or destination points outside the State of Texas, the Texas Aeronautics Commission's certificate of authority for service of intra- state points in Texas, becomes void, and the Commission would have no right, power or authority to exercise economic and safety control over any part of the operations of an airline conducting such interstate flights. Very truly yours, WAGGONER CARR Attorney General of Texas ,’ SZH?fk-ti- BY: Gordon Rouser Assistant GH:sck APPROVED: OPINION COMMITTEE W. V. Geppert, Chairman John Reeves Malcolm Quick Kerns Taylor W. E. Allen APPROVED FOR THE ATTORNEY GENERAL BY; T. B. Wright -3672-