Officials of Rocky Mountain Helicopters say they will not accept a $700,000 settlement proposed by the Federal Aviation Administration concerning alleged safety violations.

The civil penalties resulted from a nationwide inspection of Rocky Mountain Helicopters' aircraft, personnel and services by a team of 15 FAA inspectors in February 1988.Company officials noted "all maintenance and operational discrepancies discovered during the inspection were immediately corrected by management whether they agreed or disagreed with the interpretations of the Federal Air Regulations."

Most of the federal findings involved company record keeping; however, many findings centered on the confusion aircraft operators had concerning whether they could fly aircraft safely with inoperative non-essential equipment, such as air conditioners.

The FAA later approved a new regulation allowing operators to designate non-essential items that will not result in the grounding of safe aircraft.