Looks like California is now regulating flight schools

Its also a money grab by the state. $5,000 application fee, and .75% of all revenues. I'm thinking the dollar signs were on the minds of the lawmakers not 'students best interests'.

There goes any one man flight instructors.
 
Does this apply to any CFI/flight school, or just the 141 schools? I can certainly see why this is a good thing, but it could also be very bad for the mom-n-pop places and freelance CFIs.
 
OldTownPilot said:
Its also a money grab by the state. $5,000 application fee, and .75% of all revenues. I'm thinking the dollar signs were on the minds of the lawmakers not 'students best interests'.

There goes any one man flight instructors.
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I don't see it that way. The application fee and .75% of all revenues have been required to be paid by other secondary and vocational schools. In the past, flight schools have been exempt from these reguations because the states believed the FAA was regulating flight schools.

With such high profile schools as Silver State Helicopters, Jet University, RAA and Tab Express closing after taking millions of dollars in student tuition and not providing the flight training, it became obvious that the FAA was not regulating flight schools.

The .75% goes into a fund that is used to pay students back if a school closes and does not provide the training and/or classes.

The fund protects the students and it also protects the legitimate flight school businesses because now a student will have the money (from the fund) if his flight school goes out of business. He can then use that money to continue his education at another legitimate flight school.

Frankly, I would not want to spend thousands of dollars doing business with a flight school that can not afford a $5000 application fee as well as proper insurance and proper funding.

The weak schools will close. The strong schools will get stronger. The bad guys will not set up flight schools in California.

Joe
 
Don't worry this law won't affect a lot of flight schools because in order to pay you actually have to be profitable. But as others have said... good job California, way to step on the throats of business owners. I can't wait till this state crashes totally.
 
JOEFRIDAY2 said:
The weak schools will close. The strong schools will get stronger. The bad guys will not set up flight schools in California.
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The weak schools will close, the strong schools will get weaker until they too close, and nobody will set up a flight school in California. THAT'S how things work in the real world, Joey
 
XcalibeR said:
Does this apply to any CFI/flight school, or just the 141 schools? I can certainly see why this is a good thing, but it could also be very bad for the mom-n-pop places and freelance CFIs.
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It says schools that offer "commercial pilot programs"... does that mean the CPL or or just commercial in that they sell training, even for PPL?

Regulations issued by the Bureau require that flight training facilities with commercial pilot programs submit an application for approval to operate within the state along with a $5,000 application fee.
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JOEFRIDAY2 said:
I

With such high profile schools as Silver State Helicopters, Jet University, RAA and Tab Express closing after taking millions of dollars in student tuition and not providing the flight training,
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What exactly does that have anything to do with the rest of legitimate flight schools? Nothing. This is jut another way to tax business in California.
 
Mike H said:
The weak schools will close, the strong schools will get weaker until they too close, and nobody will set up a flight school in California. THAT'S how things work in the real world, Joey
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I don't see it that way. The private post secondary school business is having a strong run in California these days while complying with these same regulations.

It's going to be a bonanza for those flight schools that do comply with the regulations because there will be less competition. The regulations are not difficult nor are they anything that anyone in the legitimate school business should have trouble meeting when they are collecting tens of thousands of dollars from each student.

Joe
 
Socal321 said:
What exactly does that have anything to do with the rest of legitimate flight schools? Nothing. This is jut another way to tax business in California.
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This is not a tax. The $5000 is an application fee that a school pays one time. That money is used to fund the department, staff, etc. that regulates the private postsecondary schools. This means that taxpayers do not have to absorb these regulatory costs.

The .75% goes into the student tuition recovery fund. This .75% is paid by all private postsecondary school students. (not just flight school students) If a school goes out of business (which flight schools in California have been known to do), the the student is able to recover his tuition.

I would be willing to pay $7.50 per $1000 to "insure" my flight school tuition. Ask the students from Silver State, Jet University, Tab Express or RAA if they would have paid the $7.50?

If we did not have scammers in this industry then we would not need these regulations. Unfortunately with the money in this industry, the scammers have come out and been able to get away with stealing students tuition money for decades. Now we finally have the regulation. That's how things work.

Joe
 
JOEFRIDAY2 said:
I don't see it that way. The private post secondary school business is having a strong run in California these days while complying with these same regulations.
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Private post secondary School business is having a strong run because almost 2 out of 10 are unemployed in California. Schooling goes up during down times. Nobody is training in california flight schools other than the occasional guy from Egypt or India.


JOEFRIDAY2 said:
It's going to be a bonanza for those flight schools that do comply with the regulations because there will be less competiion. The regulations are not difficult nor are they anything that anyone in the legitimate school business should have trouble meeting when they are collecting tens of thousands of dollars from each student.

Joe
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What?? Why would you care about bonanzas at flight schools? Are you an owner? Less competition means more expensive rates for you. And why are you for flight schools being penalized for doing business in CA? Other than that JetUniveristy is BAD....
 
Breaking News:
More flight schools move to Phoenix.



I wonder if the JAL place at Napa is subject to this?

I think there are 5 All ATPs locations. Does that mean that they have a $25k application fee?

FWIW, the Test Pilot course at the NTPS is $840,000 now. Aaaanold wants his cut. :D
 
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