(2) The following procedure shall be applicable in the event that the matter is set down for evidentiary hearing pursuant to subparagraph (1)(ii) of this paragraph: : (i) Unless the Board's order setting the case for hearing provides otherwise, or unless prehearing conference is waived by all the parties, a prehearing conference shall be held not later than the eighth day following the date of service of such order. Any requests for extension of the date of the prehearing conference shall be made in the answer to the show cause order and shall contain a showing of exceptional circumstances necessitating extension of the prehearing date. (ii) The hearing shall commence no later than the fifteenth day after the date of the prehearing conference. Any requests for extension of the date of the hearing shall be made by motion and shall contain a showing of exceptional circumstances necessitating extension of the hearing date. (iii) Upon the conclusion of the hearing, the examiner shall immediately certify the entire record to the Board. Proposed findings and conclusions and supporting briefs with reasons why the Board should or should not issue a tentative decision shall be filed with the Board within ten days of the date of the conclusion of the hearing. The Board may thereupon issue a tentative decision or may at once issue its final decision establishing temporary subsidy mail rates. (iv) In the event that the Board issues a tentative decision, the parties may not file separate exceptions and briefs, but may file in lieu thereof exceptions and briefs in support thereof in one document. Such documents shall be filed within 10 days of service of the tentative decision, shall not exceed 25 pages and shall comply with the specifications of 302.31(c), unless the Board directs otherwise in the tentative decision. If no such documents are filed within the prescribed time, the tentative decision shall, without further proceedings, become the final decision of the Board. If such documents are duly filed, no further pleadings will be permitted and the proceeding shall stand submitted to the Board for final decision. The Board will not entertain petitions for reconsidera tion of its final order in any case where it has issued a tentative decision. A petition for reconsideration may be filed in any case where the Board has issued a final order pursuant to subparagraph (1) (i) of this paragraph or subdivision (iii) of this subparagraph, which prescribes rates different from those proposed in the order to show cause. (3) The pendency of any motion or petition in a temporary subsidy mail rate proceeding shall not be grounds for deferring procedural dates. INFORMAL MAIL RATE CONFERENCE § 302.311 Invocation of procedure. Conferences between members of the Board's staff, representatives of air carriers, the Post Office Department and other interested persons may be called by the Board's staff for the purpose of considering and clarifying issues and factual material in pending proceedings for the establishment of rates for the transportation of mail. § 302.312 Scope of conferences. The mail rate conferences shall be limited to the discussion of, and possible agreement on, particular issues and related factual material in accordance with sound rate-making principles. The duties and powers of the Board's staff in rate conferences essentially will not be different, therefore, from the duties and powers it has in the processing of rate cases not involving a rate conference. The staff function in both instances is to present clearly to the Board the issues and the related material facts, together with recommendations. The Board will make an independent determination of the soundness of the staff's analyses and recommendations. § 302.313 Participants in conferences. The persons entitled to be present in mail rate conferences will be the representatives of the carrier whose rates are in issue, the staff of the Postmaster General, and the Board's staff. No other person will attend unless the Board's staff deems his presence necessary in the interest of one or more purposes to be accomplished, and in such case his participation will be limited to such specific purposes. No person, however, shall have the duty to attend merely by reason of invitation by the Board's staff. (a) Nondisclosure of information. As a condition to participation, every participant, during the period of the conference and for 90 days after its termination, or until the Board takes public action with respect to the facts and issues covered in the conference, whichever is earlier: (1) Shall, except for necessary disclosures in the course of employment in connection with conference business, hold the information obtained in conference in absolute confidence and trust; (2) shall not deal, directly or indirectly, for the account of himself, his immediate family, members of his firm or company, or as a trustee, in securities of the carrier involved in the rate conference except that under exceptional circumstances special permission may be obtained in advance from the Board; and (3) shall adopt effective controls for the confidential handling of such information and shall instruct personnel under his supervision, who by reason of their employment come into possession of information obtained at the conference, that such information is confidential and must not be disclosed to anyone except to the extent absolutely necessary in the course of employment, and must not be misused. The word "information", as used in paragraph (b) of this section, shall refer only to information obtained at the conference regarding the future course of action or position of the Board or the Board's staff with respect to the facts or issues discussed at the conference. (b) Signed statement required. Every representative of a carrier actually present at any conference shall sign a statement that he has read this entire instruction and promises to abide by it and advise any other participant to whom he discloses any confidential information of the restrictions imposed above. Every representative of the Postmaster General actually present at any conference shall, on his own behalf, sign a statement to the same effect. (c) Presumption of having conference information. A director of any carrier, which has had a representative at the conference, who deals either directly or indirectly for himself, his immediate family, members of his firm or company, or as a trustee, in securities of the air carrier involved in the conference, during the restricted period set forth above, shall be presumed to have come into possession of information obtained at the conference knowing that such information was subject to the restrictions imposed above; but such presumption can be rebutted. (d) Compliance report required. Within ten (10) days after the expiration of the time specified for keeping conference matters confidential every participant, as defined in this section, shall file a verified compliance report with the Secretary of the Board stating that he has complied in every respect with the conditions of this section, or if he has not so complied, stating in detail in what respects he has failed to comply. (e) Persons subject to the provisions of this section. For the purposes of this section, participants shall include (1) any representative of any carrier and any representative of the Postmaster General actually present at the conference; (2) the carrier and the officers of any carrier which has had a representative at the conference; (3) the directors of any carrier, which has had a representative at the conference, the members of any firm of attorneys or consultants, which has had a representative at the conference, and the members of the Postmaster General's staff, who come into possession of information obtained at the conference, knowing that such information is subject to the restrictions imposed in this section.* § 302.315 Information to be requested from carrier. With respect to the rate for the future period, the carrier will be requested to submit detailed estimates as to traffic, revenues and expenses by appropriate periods and the investment which will be required to perform the operations for a full future year. Full and adequate support shall be presented for all estimates, particularly where such estimates deviate materially from the carrier's past experience. With respect to the rate for a past period, essentially the same procedure shall be followed. Other information or data likewise may be requested by the Board's staff. All data submitted by the carrier shall be certified by a responsible officer. 2 Restrictions on disclosure of confidential information and dealing in air carrier securities are imposed upon the Board's staff pursuant to applicable law. §302.316 Staff analysis of data for submission of answers thereto. After a careful analysis of these data, the Board's staff will, in most cases, send the carrier what might be termed a statement of exceptions showing areas of differences. Where practicable, the carrier may submit its answer to these exceptions. Conferences will then be scheduled to work out a clear understanding and resolution of the issues and facts from the standpoint of sound ratemaking principles. § 302.317 Availability of data to Post Office Department. The representatives of the Postmaster General shall have access to all conference data and, insofar as practicable, shall be furnished copies of all pertinent data prepared by the Board's staff and the carrier, and a reasonable time shall be allowed to get acquainted with the facts and issues and to make any presentation deemed necessary. Provided, That in cases other than those involving an issue as to the service mail rates payable by the Postmaster General pursuant to section 406 (c) of the act or Reorganization Plan 10 of 1953, or those involving any period prior to October 1, 1953, representatives of the Postmaster General shall be furnished with copies of data under this provision only upon their written request. § 302.318 Post-conference procedure. The rate conferences not being in the nature of proceedings, no briefs, or argument, or any formal steps, will be entertained by the Board. The form, content and time of the staff's presentation to the Board are entirely matters of inernal procedure. Any party to the mail ate proceeding may, through the Board's staff, request the opportunity to submit a written or oral statement to the Board on any unresolved issue. The Board will grant such requests whenever t deems such action desirable in the inerest of further clarification and undertanding of the issues. The granting of in opportunity for such further presenation shall not, however, impair the ights that any party might otherwise lave under the act and the rules of ractice. 302.319 Effect of conference agree ments. No agreements or understanding eached in rate conferences as to facts or issues shall in any respect be binding on the Board or any participant. Any party to mail rate proceedings will have the same rights to file an answer and take other procedural steps as though no rate conference had been held. The fact, however, that rate conferences were held and certain agreements or understandings may have been reached on certain facts and issues renders it proper to provide that upon the filing of an answer by any party to the rate proceeding all issues going to the establishment of a rate shall be open, except insofar as limited in prehearing conference in accordance with § 302.23. § 302.320 Waiver of §§ 302.313 and 302.314. After the termination of a mail rate conference hereunder, the carrier, whose rates were in issue, may petition the Board for a release from the obligations imposed upon it and all other persons by §§ 302.313 and 302.314. The Board will grant such petition only after a detailed and convincing showing is made in the petition and supporting exhibits and documents that there is no reasonable possibility that any of the abuses sought to be prevented will occur or that the Board's processes will in any way be prejudiced. There will be no hearing or oral argument on the petition and the Board will grant or deny the request without assigning reasons therefor. § 302.321 Time of commencing and terminating conference. At the commencement of an informal mail rate conference pursuant to this section, the members of the Board's staff conducting such conferences shall issue to each person present at such conference a written statement to the effect that such conference is being conducted pursuant to this section and stating the time of commencement of such conference; and at the termination of such conference the members of the Board's staff conducting such conference shall note in writing on such statement the time of termination of such conference. Subpart D-Rules Applicable to Exemption Proceedings § 302.400 Applicability of this subpart. This subpart sets forth the special rules applicable to proceedings on applications for exemption orders pursuant to section 101(3) or section 416(b)(1) of the Act. It further provides for the granting of exemptions upon the Board's own initiative and for the granting of emergency exemptions. As far as is consistent with this subpart, the provisions of Subpart A of this part also apply to such proceedings. Proceedings for the issuance of exemptions by regulation shall remain subject to the provisions governing rule making. Additional requirements for applications for interim extension of fixed-term temporary route authorizations granted by exemption are set out in § 302.909. See also §§ 377.10 (c) and 399.18 of this chapter. [PR-100, 31 F.R. 13944, Nov. 1, 1966] § 302.401 Filing of application. (a) Filing. An application for exemption shall conform to the formal requirements of §§ 302.3 and 302.4. Such application shall be assigned a docket number and any additional documents filed in connection with such exemption shall be identified by the assigned docket number. 8 302.402 Contents of application. (a) Title. An application filed pursuant to this subpart shall be entitled "Application for Exemption”. (b) Factual detail. The application shall set forth the section or sections of the act, or the rule, regulation, term, condition, or limitation prescribed thereunder from which exemption is desired and shall state in detail the facts relied upon to establish that the enforcement of the provisions from which exemption is sought, is or would be an undue burden upon the applicant by reason of the limited extent of, or unusual circumstances affecting, the operations of such applicant and that enforcement of such provision is not in the public interest. (c) Supporting evidence. The application shall be accompanied by a statement of economic data or other matters which the applicant desires the Board to officially notice, and by affidavits establishing such other facts as the applicant desires the Board to rely upon. (d) Record of service. An application shall indicate the names of the parties served as required by § 302.403. tion from sections 403 and 404 of the act or an application for exemption which will permit the applicant to render irregular services only other than between specified points, a copy of an application shall be served on the following parties who shall be presumed to have an interest in the subject matter of the application: (1) Any air carrier which is authorized to render regular service to any point involved in the application; (2) any person whose application for a certificate of public convenience and necessity, or for an exemption, authorizing regular service to or from any such point has been filed with, and has not finally been disposed of by, the Board; (3) the chief executive of any State, territory, or possession of the United States in which any such point is located; and (4) the chief executive of the city, town, or other unit of local government at any such point located in the United States or any territory or possession thereof. (c) Additional service of notice. The Board may, in its discretion, order additional service made on such person or persons as the facts of the situation warrant. § 302.404 Posting of application. The Board shall cause a copy of every application for exemption filed with it to be posted promptly on a public bulletin board at its principal offices in Washington, D. C. § 302.405 Dismissal of incomplete ap plication. (a) Dismissal. The Board may, on its own motion or the motion of any party in interest, dismiss an application for exemption which fails in any material respect to comply with the requirements of this part. (b) Additional data. The Board may request the filing of additional data with respect to any application for exemption or any answer or reply filed by a party in interest in connection therewith. § 302.406 Answers to applications for exemptions. Within ten (10) days after filing of an application for exemption, any party in interest may file an answer in support of or in opposition to the grant of a requested exemption. Such answer shall set forth in detail the reasons why the party believes the exemption should be granted or denied. The answer shall Within seven (7) days after service of an answer, an applicant for exemption may file a reply thereto in conformity with the provisions of § 302.402. § 302.408 Request for hearing. Although in the usual course of disposition of an application for exemption no formal hearing will be granted to the applicant or to a party in interest opposing such exemption, the Board may, in its discretion, order such proceeding set down for hearing. Any applicant, or any party in interest opposing an application, who desires to request a hearing on an application for exemption shall set forth in detail in his request the reasons why the filing of affidavits or other written evidence will not permit the fair and expeditious disposition of the application, and, to the extent that such request is dependent upon factual assertions, shall accompany such request by affidavits establishing such facts. In the event a hearing is ordered by the Board, Subpart A of this part shall govern the proceedings. § 302.409 Exemptions on the Board's initiative. Where required by the circumstances and the public interest, the Board may enter exemption orders on its own initiative. § 302.410 Emergency exemptions. (a) Applicability. Where required by the circumstances and the public interest, the Board may, upon request or upon its own initiative, enter exemption orders pursuant to section 101 (3) or section 416(b) of the act, or deny applications therefor, upon less than the normal period provided for filing answers (§ 302.406) and replies thereto (§ 302.407) and upon no notice. In particular proceedings the Board may specify a lesser time within which answers and replies thereto may be filed and notify interested persons of this time period. Where the public interest so requires, the Board may act without awaiting the filing of answers or replies thereto. (b) Applications. Applications for emergency exemption need not conform to the requirements of Subparts A and D of this part except that they must be in writing and must set forth, with detailed facts and evidence in support thereof, the grounds on which the exemption is requested. In addition, any applicant requesting such action shall state the reasons it deems adequate to justify departure from the normal procedures and shall state which air carriers have been notified in accordance with paragraph (c) of this section. The Board, moreover, may require additional information from any applicant before acting on the application. (c) Notice. Except where the Board consents that no notice need be given, applicants for emergency exemption shall notify any air carrier which is authorized to render route-type service between points or areas involved in the application that such request has been filled. Such notification shall be made in the same manner of communication, contain the same information, and be dispatched at the same time, as the application made with the Board. Subpart E-Rules Applicable to Proceedings With Respect to Rates, Fares and Charges § 302.500 Applicability of this subpart. This subpart sets forth the special rules applicable to proceedings with respect to rates, fares and charges. For information as to other applicable rules, reference should be made to Subpart A of this part, to the Federal Aviation Act, and to the substantive rules, regulations and orders of the Board. § 302.501 Institution of proceedings. A proceeding to determine rates, fares, or charges for the transportation of persons or property by aircraft, or the lawful classification, rule, regulation, or practice affecting such rates, fares or charges, may be instituted by the filling of a petition or complaint by any person, or by the issuance of an order by the Board. § 302.502 Contents of petition or complaint. If a petition or complaint is filed it shall state the reasons why the rates, fares, or charges, or the classification, |