(a) Regulations; Issuance of Licenses; Fees. The department is authorized to provide for the licensing of air schools, and of aeronautics instructors giving instructions in ground subjects pertaining to aeronautics. For each license of an air school, it may charge a fee not exceeding fifteen dollars ($15.00), and for each license of an aeronautics instructor in ground subjects pertaining to aeronautics, it may charge a fee not exceeding ten dollars ($10.00), except that the fee for the license of an aeronautics instructor shall not be charged in addition to the fee for the license of an air school in the event there is only one (1) aeronautics instructor instructing at that air school and that instructor is the operator of the air school. Any person licensed under this section must be then currently licensed as an instructor-pilot by the civil aeronautics authority of the United States.

(b) Refusal to Issue Suspension or Revocation. The department may refuse to issue or may suspend or revoke, temporarily or permanently, any license of an air school or aeronautics instructor required pursuant to this section if it reasonably determines upon notice and opportunity for hearing that such air school or aeronautics instructor is not qualified. In arriving at such determination, the department shall be governed by the standards prescribed in § 42-2-209, and shall consider, among other things, whether the school or instructor has violated any statute of this state or the United States relating to aeronautics or the rules and regulations promulgated pursuant to those statutes, or whether the aeronautics instructor or any aeronautics instructor of the air school is addicted to the use of narcotics or other habit-forming drugs or to the excessive use of intoxicating liquor, or has made any false statements of a material nature in connection with an application to the department under this chapter, or has been guilty of conduct dangerous to the public safety or the safety of those engaged in aeronautics.

(c) Unlawful Operation. It is unlawful for a person to operate an air school or for any aeronautics instructor to give instructions in ground subjects pertaining to aeronautics without an appropriate license as may be duly required by rule or regulation promulgated under subsection (a). It is unlawful for any aeronautics instructor to give instruction in flying unless the instructor has an appropriate effective instructor's rating, certificate, permit or license as a flight instructor issued by the United States.