US FAA extends program allowing Boeing to conduct agency tasks like inspections

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By David Shepardson

WASHINGTON (Reuters) - The U.S. Federal Aviation Administration said on Thursday it would extend by three years a program that allows Boeing to perform some tasks on the agency's behalf like inspections, saying the planemaker had made improvements.

Boeing's quality and safety efforts have faced harsh criticism and intense scrutiny since a January 2024 mid-air emergency involving a new Alaska Airlines 737 MAX 9 that was missing four key bolts.

The Organization Designation Authorization - known as ODA - program allows an independent unit within Boeing to perform FAA-delegated tasks like inspections and approving repairs.

In May 2022, the agency agreed to renew Boeing's ODA for three years rather than the five Boeing had asked for to ensure the planemaker implemented "required improvements."

Before making the decision to again extend the ODA program, the FAA said on Thursday it had "closely monitored specific criteria and saw improvements in most areas," adding that it "will continue to closely monitor Boeing’s performance throughout its renewal period."

Boeing said it remains "committed to working under the agency’s detailed and rigorous oversight" and has taken steps to strengthen the ODA program over the past three years in alignment with FAA requirements, and will continue improvements.

The planemaker said its renewal request did not seek a specific timeframe.

Last month, Democratic U.S. Senator Maria Cantwell of Washington told Reuters the FAA should address critical concerns before deciding whether to extend the program.

Following the Air Alaska incident, then-FAA Administrator Mike Whitaker in February 2024 ordered Boeing to implement a safety and quality improvement plan and acknowledged that prior oversight "was too hands off." Transportation Secretary Sean Duffy said in March that Boeing needs strict oversight.

After the 2024 incident, the FAA took the unprecedented step of imposing a production cap of 38 planes per month on Boeing's 737 MAX, which remains in place.

The FAA continues to inspect all Boeing 737 MAXs and 787 Dreamliners before issuing airworthiness certificates for individual planes, rather than delegating those tasks to Boeing.

Congress passed sweeping reforms in December 2020 on how the FAA certifies new airplanes after two fatal 737 MAX crashes killed 346 people and led to the plane's 20-month grounding.

The Office of Inspector General said FAA officials in 2023 sought to allow Boeing’s ODA to resume issuing final airworthiness certificates for 737 and 787s. Before FAA senior officials could approve the request, the Alaska mid-air emergency occurred.

(Reporting by David Shepardson; Editing by Bill Berkrot and Nia Williams)