VZCZCXYZ0000
RR RUEHWEB

DE RUEHBU #0932/01 1161204
ZNR UUUUU ZZH
R 261204Z APR 06
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 4295
INFO RUEHAC/AMEMBASSY ASUNCION 5490
RUEHBR/AMEMBASSY BRASILIA 5292
RUEHLP/AMEMBASSY LA PAZ APR MONTEVIDEO 5498
RUEHSG/AMEMBASSY SANTIAGO 5086
RUEHRI/AMCONSUL RIO DE JANEIRO 1960
RUEHSO/AMCONSUL SAO PAULO 2868
RUEANHA/FAA WASHDC
RUERKJA/FAA SOUTHERN REGN HQ
RUEAYVF/FAA MIAMI

UNCLAS BUENOS AIRES 000932 
 
SIPDIS 
 
SIPDIS 
 
EB/TRA FOR JEFF HORWITZ 
EB/TRA/OTP FOR BIRD MATTINGLEY 
FAA WASHDC FOR MIKE DANIEL AND CECELIA CAPESTANY 
FAA SOUTHERN REGN HQ FOR FRED WALKER 
FAA MIAMI FOR JAVIER RODRIGUEZ 
 
E.O. 12958: N/A 
TAGS: EAIR ECON AR
SUBJECT: ARGENTINA REQUESTS EXPANDED FAA ASSISTANCE WITH 
CIVIL AVIATION AUTHORITY TRANSFER 
 
REF: (05) BUENOS AIRES 2612 
 
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Summary 
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¶1.  Senior FAA officials visited Buenos Aires April 18-21 to 
meet with the Air Regions Command (ARC), an Air Force command 
that is the country's civil aviation authority (CAA).  The 
focus of the visit was a review of the ARC's progress six 
months after the October 2005 announcement of Argentina's 
recovery of its International Aviation Safety Assessment 
(IASA) Category 1 flight safety rating (reftel).  The visit 
took on broader implications when Minister of Defense Nilda 
Garre and Secretary of Transportation Ricardo Jaime sought 
meetings to request FAA assistance with the process of 
transferring the CAA out of the Ministry of Defense to the 
Ministry of Planning's Secretariat of Transportation.  Garre 
told the Ambassador that President Kirchner has urged her to 
work with the Ministry of Planning on a strategy to transfer 
the CAA to the Secretariat of Transportation.  Jaime, who is 
one of Kirchner's closest advisors, added during his meeting 
with the FAA that the GOA is willing to make the necessary 
investment of time and resources to bring about an orderly 
transition.  The officials responded that the FAA could 
tailor the assistance in any way the GOA deems necessary, 
including appending a new agreement to the existing technical 
assistance arrangement with the ARC or initiating a separate 
assistance contract.  Post will follow up with the GOA for 
details on the nature of the assistance on the transfer of 
the CAA to civilian control.  End Summary. 
 
---------------------------- 
FAA Visit Finds Good Results 
---------------------------- 
 
¶2.  FAA Southern Region Executive Director Fred Walker, FAA 
International Programs and Policy Division Director Mike 
Daniel, and FAA Flight Standards Director of the Miami 
International Field Office Javier Rodriguez visited Buenos 
Aires from April 18-21 as part of the required six-month 
review following Argentina's recovery of International 
Aviation Safety Assessment (IASA) Category 1 rating in 
October 2005 (reftel).  Their visit focused on the operations 
within the Air Force's Air Regions Command (ARC) which serves 
as the country's civil aviation authority (CAA). 
 
¶3.  The six-month review consisted of discussions with 
managers of the ARC's component operations, airworthiness, 
and air traffic organizations as well as an evaluation of the 
FAA's ongoing monthly technical assistance.  Walker told Air 
Force Chief of Staff General Eduardo Schiaffino during the 
visit's initial meeting that he was pleased to see ongoing 
progress within the ARC.  Walker also commended ARC 
Commandant Brigadier Carlos Matiak "for not resting on the 
laurels of Category 1" and for working to develop a "culture 
change within the ARC to strive for continuous improvements 
in air safety."  During the meeting, the office of Minister 
of Defense Nilda Garre called requesting a meeting with the 
FAA officials to discuss the process of transferring the 
country's CAA function from military to civilian control. 
 
----------------------------------- 
Defense Minister Seeks FAA Guidance 
----------------------------------- 
 
¶4.  Walker, Daniel, Rodriguez, and Econoff (notetaker) 
accompanied the Ambassador to a meeting with Defense Minister 
Garre on April 19.  Garre was accompanied by Secretary for 
Military Affairs Jose Maria Vasquez Ocampo, Under Secretary 
for Technical Affairs German Montenegro, General Schiaffino, 
and Brigadier Matiak.  The Ambassador outlined the purpose of 
the FAA's visit as a follow-up to last year's Category 1 
announcement.  He noted that President Kirchner had 
underscored the importance of that announcement to the 
country's economy going forward.  He added that Planning 
 
 
 
Minister De Vido had stressed early in the FAA's technical 
assistance process that the program was one of President 
Kirchner's highest priorities.   Walker emphasized the 
importance of political support in the technical process of 
regaining Category 1 and commended the ARC for its efforts to 
maintain and surpass international safety standards. 
Rodriguez observed that the effort behind regaining Category 
1 and the ongoing improvements within the ARC made Argentina 
an ideal partner for the FAA in the region.  He told Garre 
that for these reasons the FAA International Field Office in 
Miami had begun discussions with the ARC on organizing a 
regional air safety conference in Buenos Aires. 
 
¶5.  Daniel said that the FAA stood ready to continue offering 
assistance as the GOA deemed necessary.  Garre responded that 
the GOA wants the FAA's guidance on transferring the aviation 
authority to civilian control.  According to Garre, the 
Kirchner administration wants to surpass the international 
standards and "not settle for low safety levels."  She added 
that "regaining Category 1 was good news" and "the country 
does not want to create only a perception of being concerned 
with safety."  Garre explained that Secretary Ocampo's office 
"has already started talks with the Planning Ministry 
regarding the transfer of the CAA to the Transportation 
Secretariat."  She said that the Kirchner administration saw 
 
SIPDIS 
the transfer to civilian control as the next logical step for 
aviation in Argentina.  She added, "the president has been 
pressuring me to start the process," but the talks have 
"focused on what resources the Secretary of Transportation 
needs to implement a gradual transfer."  Daniel said that the 
FAA could arrange to amend the existing agreement with the 
ARC or could initiate a separate assistance contract. 
(Comment: This change would follow two other recent transfers 
of responsibility out of the Air Force: the National 
Aeronautic Police and the National Meteorological Service. 
The Ministry of Planning has also absorbed the former 
Ministry of Economy agency in charge of procuring and 
producing national defense technologies. End Comment.) 
 
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Transportation Secretary Seeks FAA Guidance 
------------------------------------------- 
 
¶6.  The elevated scope of the post-Category 1 visit continued 
when Matiak and National Airport System Regulating Agency 
Vice President Alejandro Orchansky arranged for Econcouns 
(notetaker), Walker, Daniel, Rodriguez, and Econoff 
(interpreter) to meet with Secretary of Transportation 
Ricardo Jaime on April 21.  (Note: Orchansky had been an 
active participant in the ARC's project to regain Category 1 
and represented the broader GOA during the FAA's technical 
assistance visits, ensuring that the ARC had the funding, 
personnel, and resources for the project.  End note.)  Walker 
presented an overview of what the follow-up visit had shown. 
He observed that the GOA's support of the ARC's efforts to 
regain and maintain Category 1 has been obvious.  He stated 
that in light of the GOA's commitment and the ARC's progress 
the FAA is interested in strengthening ties with Argentina's 
CAA to promote safety standards in the region and around the 
world.  He underscored the value of continuity in the CAA and 
the broader GOA as fundamental to strengthening these ties as 
well as building on the momentum the ARC has generated. 
Walker added that the GOA would need to evaluate the utility 
of the FAA's assistance to date and said that the FAA was 
prepared to offer other assistance the GOA deemed necessary. 
 
¶7.  Daniel mentioned the April 19 meeting with Garre on the 
military-to-civilian transition and reiterated the offer of 
FAA assistance "whatever the end state, with whatever CAA the 
GOA wants to establish."  He said that "the chemistry between 
Matiak and Orchansky facilitated ideal working conditions 
that allowed the ARC to meet the international standards to 
restore Category 1."  He emphasized that their working 
relationship would be an important factor in the transition 
process.  Matiak recounted how the ARC had initially resisted 
acknowledging its difficulties.  He said that the members of 
 
 
 
the ARC have come to realize that the FAA's assistance was 
critical and facilitated reaching Category 1 in a much 
shorter timeframe than if the ARC had done the work alone. 
 
¶8.  Jaime echoed Garre's statement that the Defense and 
Planning ministries have been coordinating efforts to bring 
about the transfer of the aviation authority to civilian 
control.  He added that the GOA wants to move forward with 
FAA assistance.  He said the country's first challenge in 
this endeavor would be maintaining Category 1, especially in 
light of economic growth in general and tourism growth in 
particular.  The second challenge is "creating the right 
civil aviation organization within the Ministry of Planning." 
 Jaime said that the GOA is committed to an orderly 
transition and "will take the time that is needed to make the 
change appropriately." 
 
--------------------------------------- 
The Aviation Sector Continues to Expand 
--------------------------------------- 
 
¶9.  Walker highlighted the need to partner with a country 
like Argentina on the setting and enforcing of safety 
standards.  He noted that, as Jaime indicated, aviation 
industry forecasters have predicted that air traffic will 
triple by 2025, but that no government will be able to triple 
the standards-enforcement resources needed to ensure safety. 
Econcouns observed that the FAA will be assisting with the 
certification of existing and new Argentine air carriers that 
want to initiate service to the U.S.  He noted that this 
primarily safety function will have a positive economic 
impact as an increasing number of airlines work to satisfy 
the rapidly growing demand for travel between the U.S. and 
Argentina. 
 
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Comment 
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¶10.  The FAA's six-month follow-up visit started as a 
low-key, technical visit and ended with one of President 
Kirchner's closest advisors asking for increased FAA 
assistance.  The GOA worked on restoring its IASA Category 1 
rating from 2002 to 2004, but succeeded only after concluding 
a formal technical assistance agreement with the FAA.  The 
GOA had also taken steps in the past to transfer the CAA to 
civilian control, but the CAA remained within the Ministry of 
Defense.  The requested FAA assistance will help make that 
possible without an unwarranted decline in flight safety. 
Post will follow up with the GOA for details on the nature 
and terms of the requested assistance. 
 
¶11.  To see more Buenos Aires reporting, visit our classified 
website at: http://www.state.sgov.gov/p/wha/buenosaires 
GUTIERREZ