The
Transportation Department has assessed a $1.6 million penalty on
Southwest Airlines for violations of the tarmac delay rule that occurred during
a snowstorm in Chicago last January.
According to a consent order, 16 flights at Chicago Midway were held on the
tarmac for between 16 and 66 minutes longer than the three-hour maximum for domestic flights.
Southwest explained that it became overwhelmed by a staff shortage, a breakdown
in its crew scheduling system and a storm that dumped a foot of snow on the
airport.
While it agreed to the penalty amount for the purposes of settlement, the
carrier noted for the record that it disputes the DOT’s interpretation of the
what the maximum penalty can be. The law sets a maximum penalty of $27,500 per
violation, which the DOT believes can be assessed on a per-passenger basis.
Southwest claims it can be assessed only on a per-flight or per-day basis.
The $1.6 million is the largest penalty assessed by the DOT for violations
of its tarmac delay rule. Of the total penalty amount, however, only $600,000
is immediately payable in cash.
The DOT is crediting $269,000 to Southwest for
compensation already paid to passengers, and is crediting an additional
$431,000 for the acquisition and operation of equipment and software to monitor
the location and movements of its aircraft on the ground at 32 airports.
The remaining $300,000 will be waived if the carrier refrains from repeat
violations for one year.