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372

HELICOPTER AIR SERVICE PROGRAM

a measure of Federal assistance. It would be ill advised to demonstrate to the vanguard of third level service that it can expect the same treatment just about the time it is reaching the point of self-sufficiency.

Finally, and a very important point, is the fact that the helicopter representatives at a recent meeting with FAA, pleaded poverty when it was suggested that they undertake to improve their safety standards. For 26 years the scheduled airlines have had certificated flight dispatchers, licensed by the Federal Government, in charge of operational control that underwrote safe control that underwrote safe control over the movement of the air carrier aircraft. It dismays us, as it must you gentlemen of the Senate, to hear a carrier plead that the use of federally licensed air safety personnel would increase their costs when they are in desperate straits.

First of all, we think there is no justification in the argument that using federally licensed dispatchers would "raise the costs of operation."

New York Airways presently uses federally licensed dispatchers and is happy to do so, because it not only inures a safe operation, but also insures an economical operation.

It is quite evident that dispatchers exercise economic operational control that can make the difference between a profitable and an unprofitable operation.

But if subsidy is to be removed, there is no guarantee that the helicopter airlines will maintain even the present level of dispatching, except that which is imposed by FAA for instrument operation.

These helicopter airlines need safety and economy, and it is best provided by the same means under which the scheduled air carriers operate. It is shocking to hear them say "we can't afford it."

Please give full consideration to these aspects of scheduled helicopter airline operation in your deliberations on the subsidy question.

Yours truly,

R. E. COMMERCE, President.

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STATEMENT OF THE CHICAGO ASSOCIATION OF COMMERCE AND INDUSTRY SUBMITTED TO THE AVIATION SUBCOMMITTEE OF THE SENATE COMMITTEE ON COMMERCE CONCERNING FEDERALLY SUPPORTED HELICOPTER SERVICE

We commend Senator Monroney for scheduling public hearings on the subject of whether the Government should continue, expand, or limit federally supported helicopter air service and appreciate the opportunity to make our views known. 

On a recommendation of our aviation committee, the board of directors of the Chicago Association of Commerce and Industry on March 5, 1965, authorized me to urge the strongest possible support to continuation of subsidy payments required by Chicago Helicopter Airways, in accordance with the program approved by the Civil Aeronautics Board. It is the view of this association that sudden curtailment of funds for this program would be a deterrent to the orderly development of an important means of transportation and would be contrary to the best interest of the Nation. 

The Chicago Association of Commerce and Industry is a voluntary organization of individuals, firms, and corporations, organized and existing under the laws of the State of Illinois. It has approximately 5,660 members. The total number of individuals identified with our association activities is more than 11,000. Through committees and a professional staff, these individuals join together to work in improving the city's commercial, industrial, and civic operations. Although the name of our organization is the Chicago Association of Commerce and Industry, it functions as the chamber of commerce for the Chicago metropolitan area. 

The Chicago metropolitan area has been designated as such by the Bureau of the Census, U.S. Department of Commerce, and includes six counties in Illinois and two counties in Indiana. In this area is included not only the city of Chicago, but approximately 270 suburban incorporated communities. 

Within this area are located 14,000 manufacturing establishments, where a total of nearly 1 million people are employed. Total employment in the area is over 3 million. The population of the area is now over 7 million. This Chicago metropolitan area extends for miles around Lake Michigan, roughly from Gary, Ind., to Waukegan, Ill. Along Lake Michigan this area is solidly built up for 69 miles. Through the central part of the metropolitan area due west of Chicago, it is built up solidly, with minor exceptions, for over 25 miles. The Chicago metropolitan area covers 4,653 square miles, an area larger than the combined States of Delaware, Rhode Island, and the District of Columbia.