[House Report 115-296]
[From the U.S. Government Publishing Office]
115th Congress } { REPORT
HOUSE OF REPRESENTATIVES
1st Session } { 115-296
======================================================================
21ST CENTURY AVIATION INNOVATION, REFORM, AND REAUTHORIZATION ACT
----------
REPORT
OF THE
COMMITTEE ON TRANSPORTATION
AND INFRASTRUCTURE
together with
DISSENTING VIEWS
[TO ACCOMPANY H.R. 2997]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
September 6, 2017.--Ordered to be printed
-----------------------------------------------------------------------------
21ST CENTURY AVIATION INNOVATION, REFORM, AND REAUTHORIZATION ACT
-----------------------------------------------------------------------------
115th Congress } { REPORT
HOUSE OF REPRESENTATIVES
1st Session } { 115-296
======================================================================
21ST CENTURY AVIATION INNOVATION, REFORM, AND REAUTHORIZATION ACT
----------
REPORT
OF THE
COMMITTEE ON TRANSPORTATION
AND INFRASTRUCTURE
together with
DISSENTING VIEWS
[TO ACCOMPANY H.R. 2997]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
September 6, 2017.--Ordered to be printed
__________
U.S. GOVERNMENT PUBLISHING OFFICE
26-747 PDF WASHINGTON : 2017
_______________________________________________________________________
115th Congress } { REPORT
HOUSE OF REPRESENTATIVES
1st Session } { 115-296
======================================================================
21ST CENTURY AVIATION INNOVATION, REFORM, AND REAUTHORIZATION ACT
_______
September 6, 2017.--Committed to the Committee of the Whole House on
the State of the Union and ordered to be printed
_______
Mr. Shuster, from the Committee on Transportation and Infrastructure,
submitted the following
R E P O R T
together with
DISSENTING VIEWS
[To accompany H.R. 2997]
[Including cost estimate of the Congressional Budget Office]
The Committee on Transportation and Infrastructure, to whom
was referred the bill (H.R. 2997) to transfer operation of air
traffic services currently provided by the Federal Aviation
Administration to a separate not-for-profit corporate entity,
to reauthorize programs of the Federal Aviation Administration,
and for other purposes, having considered the same, report
favorably thereon with an amendment and recommend that the bill
as amended do pass.
CONTENTS
Page
Purpose of Legislation........................................... 102
Background and Need for Legislation.............................. 102
Hearings and Roundtables......................................... 123
Legislative History and Consideration............................ 127
Committee Votes.................................................. 130
Committee Oversight Findings..................................... 151
New Budget Authority and Tax Expenditures........................ 151
Congressional Budget Office Cost Estimate........................ 151
Performance Goals and Objectives................................. 168
Advisory of Earmarks............................................. 169
Duplication of Federal Programs.................................. 169
Disclosure of Directed Rulemakings............................... 169
Federal Mandate Statement........................................ 171
Preemption Clarification......................................... 171
Advisory Committee Statement..................................... 171
Applicability of Legislative Branch.............................. 172
Section-by-Section Analysis of Legislation....................... 172
Changes in Existing Law Made by the Bill, as Reported............ 213
Dissenting Views................................................. 458
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``21st Century
Aviation Innovation, Reform, and Reauthorization Act'' or the ``21st
Century AIRR Act''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Effective date.
TITLE I--AUTHORIZATIONS
Subtitle A--Funding of FAA Programs
Sec. 101. Airport planning and development and noise compatibility
planning and programs.
Sec. 102. Facilities and equipment.
Sec. 103. FAA operations.
Sec. 104. Adjustment to AIP program funding.
Sec. 105. Funding for aviation programs.
Sec. 106. Applicability.
Subtitle B--Passenger Facility Charges
Sec. 111. Passenger facility charge modernization.
Sec. 112. Pilot program for passenger facility charge authorizations.
Subtitle C--Airport Improvement Program Modifications
Sec. 121. Clarification of airport obligation to provide FAA airport
space.
Sec. 122. Mothers' rooms at airports.
Sec. 123. Extension of competitive access reports.
Sec. 124. Grant assurances.
Sec. 125. Government share of project costs.
Sec. 126. Updated veterans' preference.
Sec. 127. Special rule.
Sec. 128. Marshall Islands, Micronesia, and Palau.
Sec. 129. Nondiscrimination.
Sec. 130. State block grant program expansion.
Sec. 131. Midway Island Airport.
Sec. 132. Property conveyance releases.
Sec. 133. Minority and disadvantaged business participation.
Sec. 134. Contract tower program.
Sec. 135. Airport access roads in remote locations.
Sec. 136. Buy America requirements.
Subtitle D--Airport Noise and Environmental Streamlining
Sec. 151. Recycling plans for airports.
Sec. 152. Pilot program sunset.
Sec. 153. Extension of grant authority for compatible land use planning
and projects by State and local governments.
Sec. 154. Updating airport noise exposure maps.
Sec. 155. Stage 3 aircraft study.
Sec. 156. Addressing community noise concerns.
Sec. 157. Study on potential health impacts of overflight noise.
Sec. 158. Environmental mitigation pilot program.
Sec. 159. Aircraft noise exposure.
Sec. 160. Community involvement in FAA NextGen projects located in
metroplexes.
Sec. 161. Critical habitat on or near airport property.
Sec. 162. Clarification of reimbursable allowed costs of FAA memoranda
of agreement.
TITLE II--AMERICAN AIR NAVIGATION SERVICES CORPORATION
Sec. 201. Purposes.
Subtitle A--Establishment of Air Traffic Services Provider
Sec. 211. American Air Navigation Services Corporation.
Subtitle B--Amendments to Federal Aviation Laws
Sec. 221. Definitions.
Sec. 222. Sunset of FAA air traffic entities and officers.
Sec. 223. Role of Administrator.
Sec. 224. Emergency powers.
Sec. 225. Presidential transfers in time of war.
Sec. 226. Airway capital investment plan before date of transfer.
Sec. 227. Aviation facilities before date of transfer.
Sec. 228. Judicial review.
Sec. 229. Civil penalties.
Subtitle C--Other Matters
Sec. 241. Use of Federal technical facilities.
Sec. 242. Ensuring progress on NextGen priorities before date of
transfer.
Sec. 243. Severability.
Sec. 244. Prohibition on receipt of Federal funds.
TITLE III--FAA SAFETY CERTIFICATION REFORM
Subtitle A--General Provisions
Sec. 301. Definitions.
Sec. 302. Safety Oversight and Certification Advisory Committee.
Subtitle B--Aircraft Certification Reform
Sec. 311. Aircraft certification performance objectives and metrics.
Sec. 312. Organization designation authorizations.
Sec. 313. ODA review.
Sec. 314. Type certification resolution process.
Sec. 315. Safety enhancing equipment and systems for small general
aviation airplanes.
Sec. 316. Review of certification process for small general aviation
airplanes.
Subtitle C--Flight Standards Reform
Sec. 331. Flight standards performance objectives and metrics.
Sec. 332. FAA task force on flight standards reform.
Sec. 333. Centralized safety guidance database.
Sec. 334. Regulatory Consistency Communications Board.
Subtitle D--Safety Workforce
Sec. 341. Safety workforce training strategy.
Sec. 342. Workforce review.
Subtitle E--International Aviation
Sec. 351. Promotion of United States aerospace standards, products, and
services abroad.
Sec. 352. Bilateral exchanges of safety oversight responsibilities.
Sec. 353. FAA leadership abroad.
Sec. 354. Registration, certification, and related fees.
TITLE IV--SAFETY
Subtitle A--General Provisions
Sec. 401. FAA technical training.
Sec. 402. Safety critical staffing.
Sec. 403. International efforts regarding tracking of civil aircraft.
Sec. 404. Aircraft data access and retrieval systems.
Sec. 405. Advanced cockpit displays.
Sec. 406. Marking of towers.
Sec. 407. Cabin evacuation.
Sec. 408. ODA staffing and oversight.
Sec. 409. Funding for additional safety needs.
Sec. 410. Funding for additional FAA licensing needs.
Sec. 411. Emergency medical equipment on passenger aircraft.
Sec. 412. HIMS program.
Sec. 413. Acceptance of voluntarily provided safety information.
Sec. 414. Flight attendant duty period limitations and rest
requirements.
Sec. 415. Secondary cockpit barriers.
Sec. 416. Aviation maintenance industry technical workforce.
Sec. 417. Critical airfield markings.
Subtitle B--Unmanned Aircraft Systems
Sec. 431. Definitions.
Sec. 432. Codification of existing law; additional provisions.
Sec. 433. Unmanned aircraft test ranges.
Sec. 434. Sense of Congress regarding unmanned aircraft safety.
Sec. 435. UAS privacy review.
Sec. 436. Public UAS operations by Tribal governments.
Sec. 437. Evaluation of aircraft registration for small unmanned
aircraft.
Sec. 438. Study on roles of governments relating to low-altitude
operation of small unmanned aircraft.
Sec. 439. Study on financing of unmanned aircraft services.
Sec. 440. Update of FAA comprehensive plan.
Sec. 441. Cooperation related to certain counter-UAS technology.
TITLE V--AIR SERVICE IMPROVEMENTS
Subtitle A--Airline Customer Service Improvements
Sec. 501. Reliable air service in American Samoa.
Sec. 502. Cell phone voice communication ban.
Sec. 503. Advisory committee for aviation consumer protection.
Sec. 504. Improved notification of insecticide use.
Sec. 505. Advertisements and disclosure of fees for passenger air
transportation.
Sec. 506. Involuntarily bumping passengers after aircraft boarded.
Sec. 507. Availability of consumer rights information.
Sec. 508. Consumer complaints hotline.
Sec. 509. Widespread disruptions.
Sec. 510. Involuntarily denied boarding compensation.
Sec. 511. Consumer information on actual flight times.
Sec. 512. Advisory committee for transparency in air ambulance
industry.
Sec. 513. Air ambulance complaints.
Sec. 514. Passenger rights.
Subtitle B--Aviation Consumers With Disabilities
Sec. 541. Select subcommittee.
Sec. 542. Aviation consumers with disabilities study.
Sec. 543. Feasibility study on in-cabin wheelchair restraint systems.
Sec. 544. Access advisory committee recommendations.
Subtitle C--Small Community Air Service
Sec. 551. Essential air service authorization.
Sec. 552. Extension of final order establishing mileage adjustment
eligibility.
Sec. 553. Study on essential air service reform.
Sec. 554. Small community air service.
Sec. 555. Air transportation to noneligible places.
TITLE VI--MISCELLANEOUS
Sec. 601. Review of FAA strategic cybersecurity plan.
Sec. 602. Consolidation and realignment of FAA services and facilities.
Sec. 603. FAA review and reform.
Sec. 604. Aviation fuel.
Sec. 605. Right to privacy when using air traffic control system.
Sec. 606. Air shows.
Sec. 607. Part 91 review, reform, and streamlining.
Sec. 608. Aircraft registration.
Sec. 609. Air transportation of lithium cells and batteries.
Sec. 610. Remote tower pilot program for rural and small communities.
Sec. 611. Ensuring FAA readiness to provide seamless oceanic
operations.
Sec. 612. Sense of Congress regarding women in aviation.
Sec. 613. Obstruction evaluation aeronautical studies.
Sec. 614. Aircraft leasing.
Sec. 615. Report on obsolete test equipment.
Sec. 616. Retired military controllers.
Sec. 617. Pilots sharing flight expenses with passengers.
Sec. 618. Aviation rulemaking committee for part 135 pilot rest and
duty rules.
Sec. 619. Metropolitan Washington Airports Authority.
Sec. 620. Terminal Aerodrome Forecast.
Sec. 621. Federal Aviation Administration employees stationed on Guam.
Sec. 622. Technical corrections.
Sec. 623. Application of veterans' preference to Federal Aviation
Administration personnel management system.
Sec. 624. Public aircraft eligible for logging flight times.
Sec. 625. Federal Aviation Administration workforce review.
Sec. 626. State taxation.
Sec. 627. Aviation and aerospace workforce of the future.
Sec. 628. Future aviation and aerospace workforce study.
Sec. 629. FAA leadership on civil supersonic aircraft.
Sec. 630. Oklahoma registry office.
Sec. 631. Foreign air transportation under United States-European Union
Air Transport Agreement.
Sec. 632. Training on human trafficking for certain staff.
Sec. 633. Part 107 implementation improvements.
Sec. 634. Part 107 transparency and technology improvements.
Sec. 635. Prohibitions against smoking on passenger flights.
Sec. 636. Consumer protection requirements relating to large ticket
agents.
Sec. 637. Agency procurement reporting requirements.
Sec. 638. Zero-emission vehicles and technology.
Sec. 639. Employee Assault Prevention and Response Plans.
Sec. 640. Study on training of customer-facing air carrier employees.
Sec. 641. Minimum dimensions for passenger seats.
Sec. 642. Study of ground transportation options.
SEC. 2. EFFECTIVE DATE.
Except as otherwise expressly provided, this Act and the amendments
made by this Act shall take effect on the date of enactment of this
Act.
TITLE I--AUTHORIZATIONS
Subtitle A--Funding of FAA Programs
SEC. 101. AIRPORT PLANNING AND DEVELOPMENT AND NOISE COMPATIBILITY
PLANNING AND PROGRAMS.
(a) Authorization.--Section 48103(a) of title 49, United States Code,
is amended by striking ``section 47504(c)'' and all that follows
through the period at the end and inserting the following: ``section
47504(c)--
``(1) $3,597,000,000 for fiscal year 2018;
``(2) $3,666,000,000 for fiscal year 2019;
``(3) $3,746,000,000 for fiscal year 2020;
``(4) $3,829,000,000 for fiscal year 2021;
``(5) $3,912,000,000 for fiscal year 2022; and
``(6) $3,998,000,000 for fiscal year 2023.''.
(b) Obligation Authority.--Section 47104(c) of title 49, United
States Code, is amended in the matter preceding paragraph (1) by
striking ``September 30, 2017,'' and inserting ``September 30, 2023,''.
SEC. 102. FACILITIES AND EQUIPMENT.
(a) Authorization of Appropriations From Airport and Airway Trust
Fund.--Section 48101(a) of title 49, United States Code, is amended by
striking paragraphs (1) through (5) and inserting the following:
``(1) $2,920,000,000 for fiscal year 2018.
``(2) $2,984,000,000 for fiscal year 2019.
``(3) $3,049,000,000 for fiscal year 2020.''.
(b) Set Asides.--Section 48101(d) of title 49, United States Code, is
amended by inserting ``, carried out using amounts appropriated under
subsection (a),'' after ``air traffic control modernization project''.
(c) Authorization of Appropriations From General Fund.--
(1) In general.--Title 49, United States Code, is amended by
inserting after section 48101 the following:
``Sec. 48101a. Other facilities and equipment
``There is authorized to be appropriated to the Secretary of
Transportation to acquire, establish, and improve facilities and
equipment (other than facilities and equipment relating to air traffic
services)--
``(1) $189,000,000 for fiscal year 2021;
``(2) $193,000,000 for fiscal year 2022; and
``(3) $198,000,000 for fiscal year 2023.''.
(2) Clerical amendment.--The analysis for chapter 481 of
title 49, United States Code, is amended by inserting after the
item relating to section 48101 the following:
``48101a. Other facilities and equipment.''.
(3) Conforming amendments.--
(A) Submission of budget information and legislative
recommendations and comments.--Section 48109 of title
49, United States Code, is amended by inserting ``,
48101a,'' before ``or 48102''.
(B) Reprogramming notification requirement.--Section
48113 of title 49, United States Code, is amended by
inserting ``48101a,'' before ``or 48103''.
SEC. 103. FAA OPERATIONS.
(a) Authorization of Appropriations From General Fund.--Section
106(k)(1) of title 49, United States Code, is amended--
(1) in the paragraph heading by inserting ``from general
fund'' after ``maintenance''; and
(2) by striking subparagraphs (A) through (E) and inserting
the following:
``(A) $2,059,000,000 for fiscal year 2018;
``(B) $2,126,000,000 for fiscal year 2019;
``(C) $2,197,000,000 for fiscal year 2020;
``(D) $1,957,000,000 for fiscal year 2021;
``(E) $2,002,000,000 for fiscal year 2022; and
``(F) $2,047,000,000 for fiscal year 2023.''.
(b) Authorization of Appropriations From Airport and Airway Trust
Fund.--Section 106(k)(2) of title 49, United States Code, is amended to
read as follows:
``(2) Salaries, operations, and maintenance from airport and
airway trust fund.--There is authorized to be appropriated to
the Secretary out of the Airport and Airway Trust Fund
established under section 9502 of the Internal Revenue Code of
1986 for salaries, operations, and maintenance of the
Administration--
``(A) $8,073,000,000 for fiscal year 2018;
``(B) $8,223,000,000 for fiscal year 2019; and
``(C) $8,374,000,000 for fiscal year 2020.''.
(c) Authority To Transfer Funds.--Section 106(k)(3) of title 49,
United States Code, is amended--
(1) by striking ``fiscal years 2012 through 2017'' and
inserting ``fiscal years 2018 through 2020''; and
(2) by striking ``paragraph (1)'' each place it appears and
inserting ``paragraphs (1) and (2)''.
SEC. 104. ADJUSTMENT TO AIP PROGRAM FUNDING.
Section 48112 of title 49, United States Code, and the item relating
to such section in the analysis for chapter 481 of such title, are
repealed.
SEC. 105. FUNDING FOR AVIATION PROGRAMS.
Section 48114(a)(1)(A)(ii) of title 49, United States Code, is
amended by striking ``in fiscal year 2014 and each fiscal year
thereafter'' and inserting ``in fiscal years 2014 through 2017''.
SEC. 106. APPLICABILITY.
This subtitle, and the amendments made by this subtitle, shall apply
only to fiscal years beginning after September 30, 2017.
Subtitle B--Passenger Facility Charges
SEC. 111. PASSENGER FACILITY CHARGE MODERNIZATION.
Section 40117(b) of title 49, United States Code, is amended--
(1) in paragraph (1) by striking ``or $3'' and inserting
``$3, $4, or $4.50'';
(2) by repealing paragraph (4);
(3) in paragraph (6)--
(A) by striking ``specified in paragraphs (1) and
(4)'' and inserting ``specified in paragraph (1)''; and
(B) by striking ``imposed under paragraph (1) or
(4)'' and inserting ``imposed under paragraph (1)'';
and
(4) in paragraph (7)(A)--
(A) by striking ``specified in paragraphs (1), (4),
and (6)'' and inserting ``specified in paragraphs (1)
and (6)''; and
(B) by striking ``imposed under paragraph (1) or
(4)'' and inserting ``imposed under paragraph (1)''.
SEC. 112. PILOT PROGRAM FOR PASSENGER FACILITY CHARGE AUTHORIZATIONS.
Section 40117(l) of title 49, United States Code, is amended--
(1) in the subsection heading by striking ``at Nonhub
Airports''; and
(2) in paragraph (1) by striking ``nonhub''.
Subtitle C--Airport Improvement Program Modifications
SEC. 121. CLARIFICATION OF AIRPORT OBLIGATION TO PROVIDE FAA AIRPORT
SPACE.
Section 44502 of title 49, United States Code, is amended by adding
at the end the following:
``(f) Airport Space.--
``(1) In general.--Except as provided in paragraph (2), the
Administrator of the Federal Aviation Administration may not
require an airport owner, operator, or sponsor (as defined in
section 47102) to provide building construction, maintenance,
utilities, administrative support, or space on airport property
to the Federal Aviation Administration without adequate
compensation.
``(2) Exceptions.--Paragraph (1) does not apply in any case
in which an airport owner, operator, or sponsor--
``(A) provides land or buildings without compensation
prior to the date of transfer (as defined in section
90101(a)) to the Federal Aviation Administration for
facilities used to carry out activities related to air
traffic control or navigation pursuant to a grant
assurance; or
``(B) provides goods or services to the Federal
Aviation Administration without compensation or at
below-market rates pursuant to a negotiated agreement
between the owner, operator, or sponsor and the
Administrator.''.
SEC. 122. MOTHERS' ROOMS AT AIRPORTS.
(a) Lactation Area Defined.--Section 47102 of title 49, United States
Code, is amended by adding at the end the following:
``(29) `lactation area' means a room or other location in a
commercial service airport that--
``(A) provides a location for members of the public
to express breast milk that is shielded from view and
free from intrusion from the public;
``(B) has a door that can be locked;
``(C) includes a place to sit, a table or other flat
surface, and an electrical outlet;
``(D) is readily accessible to and usable by
individuals with disabilities, including individuals
who use wheelchairs; and
``(E) is not located in a restroom.''.
(b) Project Grant Written Assurances for Large and Medium Hub
Airports.--
(1) In general.--Section 47107(a) of title 49, United States
Code, is amended--
(A) in paragraph (20) by striking ``and'' at the end;
(B) in paragraph (21) by striking the period at the
end and inserting ``; and''; and
(C) by adding at the end the following:
``(22) with respect to a medium or large hub airport, the
airport owner or operator will maintain a lactation area in
each passenger terminal building of the airport in the sterile
area (as defined in section 1540.5 of title 49, Code of Federal
Regulations) of the building.''.
(2) Applicability.--
(A) In general.--The amendment made by paragraph (1)
shall apply to a project grant application submitted
for a fiscal year beginning on or after the date that
is 2 years after the date of enactment of this Act.
(B) Special rule.--The requirement in the amendment
made by paragraph (1) that a lactation area be located
in the sterile area of a passenger terminal building
shall not apply with respect to a project grant
application for a period of time, determined by the
Secretary of Transportation, if the Secretary
determines that construction or maintenance activities
make it impracticable or unsafe for the lactation area
to be located in the sterile area of the building.
(c) Terminal Development Costs.--Section 47119(a) of title 49, United
States Code, is amended by adding at the end the following:
``(3) Lactation areas.--In addition to the projects described
in paragraph (1), the Secretary may approve a project for
terminal development for the construction or installation of a
lactation area at a commercial service airport.''.
(d) Pre-Existing Facilities.--On application by an airport sponsor,
the Secretary may determine that a lactation area in existence on the
date of enactment of this Act complies with the requirement of section
47107(a)(22) of title 49, United States Code, as added by this section,
notwithstanding the absence of one of the facilities or characteristics
referred to in the definition of the term ``lactation area'' in section
47102 of such title, as added by this section.
SEC. 123. EXTENSION OF COMPETITIVE ACCESS REPORTS.
Section 47107(r)(3) of title 49, United States Code, is amended by
striking ``October 1, 2017'' and inserting ``October 1, 2023''.
SEC. 124. GRANT ASSURANCES.
(a) Construction of Recreational Aircraft.--Section 47107 is amended
by adding at the end the following:
``(u) Construction of Recreational Aircraft.--
``(1) In general.--The construction of a covered aircraft
shall be treated as an aeronautical activity for purposes of--
``(A) determining an airport's compliance with a
grant assurance made under this section or any other
provision of law; and
``(B) the receipt of Federal financial assistance for
airport development.
``(2) Covered aircraft defined.--In this subsection, the term
`covered aircraft' means an aircraft--
``(A) used or intended to be used exclusively for
recreational purposes; and
``(B) constructed or under construction by a private
individual at a general aviation airport.''.
(b) Community Use of Airport Land.--Section 47107 of title 49, United
States Code, as amended by this section, is further amended by adding
at the end the following:
``(v) Community Use of Airport Land.--
``(1) In general.--Notwithstanding subsection (a)(13), and
subject to paragraph (2), the sponsor of a public-use airport
shall not be considered to be in violation of this subtitle, or
to be found in violation of a grant assurance made under this
section, or under any other provision of law, as a condition
for the receipt of Federal financial assistance for airport
development, solely because the sponsor has entered into an
agreement, including a revised agreement, with a local
government providing for the use of airport property for an
interim compatible recreational purpose at below fair market
value.
``(2) Restrictions.--This subsection shall apply only--
``(A) to an agreement regarding airport property that
was initially entered into before the publication of
the Federal Aviation Administration's Policy and
Procedures Concerning the Use of Airport Revenue, dated
February 16, 1999;
``(B) if the agreement between the sponsor and the
local government is subordinate to any existing or
future agreements between the sponsor and the
Secretary, including agreements related to a grant
assurance under this section;
``(C) to airport property that was acquired under a
Federal airport development grant program;
``(D) if the airport sponsor has provided a written
statement to the Administrator that the property made
available for a recreational purpose will not be needed
for any aeronautical purpose during the next 10 years;
``(E) if the agreement includes a term of not more
than 2 years to prepare the airport property for the
interim compatible recreational purpose and not more
than 10 years of use for that purpose;
``(F) if the recreational purpose will not impact the
aeronautical use of the airport;
``(G) if the airport sponsor provides a certification
that the sponsor is not responsible for preparation,
start-up, operations, maintenance, or any other costs
associated with the recreational purpose; and
``(H) if the recreational purpose is consistent with
Federal land use compatibility criteria under section
47502.
``(3) Statutory construction.--Nothing in this subsection may
be construed as permitting a diversion of airport revenue for
the capital or operating costs associated with the community
use of airport land.''.
SEC. 125. GOVERNMENT SHARE OF PROJECT COSTS.
Section 47109(a) of title 49, United States Code, is amended--
(1) in paragraph (1) by striking ``primary airport having at
least .25 percent of the total number of passenger boardings
each year at all commercial service airports;'' and inserting
``medium or large hub airport;''; and
(2) by striking paragraph (5) and inserting the following:
``(5) 95 percent for a project that--
``(A) the Administrator determines is a successive
phase of a multi-phase construction project for which
the sponsor received a grant in fiscal year 2011; and
``(B) for which the United States Government's share
of allowable project costs could otherwise be 90
percent under paragraph (2) or (3).''.
SEC. 126. UPDATED VETERANS' PREFERENCE.
Section 47112(c)(1)(C) of title 49, United States Code, is amended--
(1) by striking ``or Operation New Dawn for more'' and
inserting ``Operation New Dawn, Operation Inherent Resolve,
Operation Freedom's Sentinel, or any successor contingency
operation to such operations for more''; and
(2) by striking ``or Operation New Dawn (whichever is
later)'' and inserting ``Operation New Dawn, Operation Inherent
Resolve, Operation Freedom's Sentinel, or any successor
contingency operation to such operations (whichever is
later)''.
SEC. 127. SPECIAL RULE.
Section 47114(d)(3) of title 49, United States Code, is amended by
adding at the end the following:
``(C) During fiscal years 2018 through 2020--
``(i) an airport that accrued apportionment
funds under subparagraph (A) in fiscal year
2013 that is listed as having an unclassified
status under the most recent national plan of
integrated airport systems shall continue to
accrue apportionment funds under subparagraph
(A) at the same amount the airport accrued
apportionment funds in fiscal year 2013,
subject to the conditions of this paragraph;
``(ii) notwithstanding the period of
availability as described in section 47117(b),
an amount apportioned to an airport under
clause (i) shall be available to the airport
only during the fiscal year in which the amount
is apportioned; and
``(iii) notwithstanding the waiver permitted
under section 47117(c)(2), an airport receiving
apportionment funds under clause (i) may not
waive its claim to any part of the apportioned
funds in order to make the funds available for
a grant for another public-use airport.
``(D) An airport that re-establishes its classified
status shall be eligible to accrue apportionment funds
pursuant to subparagraph (A) so long as such airport
retains its classified status.''.
SEC. 128. MARSHALL ISLANDS, MICRONESIA, AND PALAU.
Section 47115 of title 49, United States Code, is amended--
(1) by striking subsection (i);
(2) by redesignating subsection (j) as subsection (i); and
(3) in subsection (i) (as so redesignated) by striking
``fiscal years 2012 through 2017'' and inserting ``fiscal years
2017 through 2023''.
SEC. 129. NONDISCRIMINATION.
Section 47123 of title 49, United States Code, is amended--
(1) by striking ``The Secretary of Transportation'' and
inserting the following:
``(a) In General.--The Secretary of Transportation''; and
(2) by adding at the end the following:
``(b) Indian Employment.--
``(1) Tribal sponsor preference.--Consistent with section
703(i) of the Civil Rights Act of 1964 (42 U.S.C. 2000e-2(i)),
nothing in this section shall preclude the preferential
employment of Indians living on or near a reservation on a
project or contract at--
``(A) an airport sponsored by an Indian tribal
government; or
``(B) an airport located on an Indian reservation.
``(2) State preference.--A State may implement a preference
for employment of Indians on a project carried out under this
subchapter near an Indian reservation.
``(3) Implementation.--The Secretary shall cooperate with
Indian tribal governments and the States to implement this
subsection.
``(4) Indian tribal government defined.--In this section, the
term `Indian tribal government' has the same meaning given that
term in section 102 of the Robert T. Stafford Disaster Relief
and Emergency Assistance Act (42 U.S.C. 5122).''.
SEC. 130. STATE BLOCK GRANT PROGRAM EXPANSION.
Section 47128(a) of title 49, United States Code, is amended by
striking ``not more than 9 qualified States for fiscal years 2000 and
2001 and 10 qualified States for each fiscal year thereafter'' and
inserting ``not more than 20 qualified States for each fiscal year''.
SEC. 131. MIDWAY ISLAND AIRPORT.
Section 186(d) of the Vision 100--Century of Aviation Reauthorization
Act (117 Stat. 2518) is amended in the first sentence by striking
``fiscal years 2012 through 2017'' and inserting ``fiscal years 2017
through 2023''.
SEC. 132. PROPERTY CONVEYANCE RELEASES.
Section 817(a) of the FAA Modernization and Reform Act of 2012 (49
U.S.C. 47125 note) is amended--
(1) by striking ``or section 23'' and inserting ``, section
23''; and
(2) by inserting ``, or section 47125 of title 49, United
States Code'' before the period at the end.
SEC. 133. MINORITY AND DISADVANTAGED BUSINESS PARTICIPATION.
Congress finds the following:
(1) While significant progress has occurred due to the
establishment of the airport disadvantaged business enterprise
program (49 U.S.C. 47107(e) and 47113), discrimination and
related barriers continue to pose significant obstacles for
minority- and women-owned businesses seeking to do business in
airport-related markets across the Nation. These continuing
barriers merit the continuation of the airport disadvantaged
business enterprise program.
(2) Congress has received and reviewed testimony and
documentation of race and gender discrimination from numerous
sources, including congressional hearings and roundtables,
scientific reports, reports issued by public and private
agencies, news stories, reports of discrimination by
organizations and individuals, and discrimination lawsuits.
This testimony and documentation shows that race- and gender-
neutral efforts alone are insufficient to address the problem.
(3) This testimony and documentation demonstrates that
discrimination across the Nation poses a barrier to full and
fair participation in airport-related businesses of women
business owners and minority business owners in the racial
groups detailed in parts 23 and 26 of title 49, Code of Federal
Regulations, and has impacted firm development and many aspects
of airport-related business in the public and private markets.
(4) This testimony and documentation provides a strong basis
that there is a compelling need for the continuation of the
airport disadvantaged business enterprise program and the
airport concessions disadvantaged business enterprise program
to address race and gender discrimination in airport-related
business.
SEC. 134. CONTRACT TOWER PROGRAM.
(a) Air Traffic Control Contract Program.--
(1) Special rule.--Section 47124(b)(1)(B) of title 49, United
States Code, is amended by striking ``exceeds the benefit for a
period of 18 months after such determination is made'' and
inserting the following: ``exceeds the benefit--
``(i) for the 1-year period after such
determination is made; or
``(ii) if an appeal of such determination is
requested, for the 1-year period described in
subsection (d)(4)(D)''.
(2) Funding of cost-share program.--Section 47124(b)(3)(E) of
title 49, United States Code, is amended to read as follows:
``(E) Funding.--Amounts appropriated pursuant to
section 106(k)(1) may be used to carry out this
paragraph.''.
(3) Construction of air traffic control towers.--
(A) Grants.--Section 47124(b)(4)(A) of title 49,
United States Code, is amended in each of clauses
(i)(III) and (ii)(III) by inserting ``, including
remote air traffic control tower equipment certified by
the Federal Aviation Administration'' after ``1996''.
(B) Eligibility.--Section 47124(b)(4)(B) of title 49,
United States Code, is amended to read as follows:
``(B) Eligibility.--
``(i) Before date of transfer.--Before the
date of transfer (as defined in section
90101(a)), an airport sponsor shall be eligible
for a grant under this paragraph only if--
``(I)(aa) the sponsor is a
participant in the Federal Aviation
Administration contract tower program
established under subsection (a) and
continued under paragraph (1) or the
pilot program established under
paragraph (3); or
``(bb) construction of a nonapproach
control tower would qualify the sponsor
to be eligible to participate in such
program;
``(II) the sponsor certifies that it
will pay not less than 10 percent of
the cost of the activities for which
the sponsor is receiving assistance
under this paragraph;
``(III) the Secretary affirmatively
accepts the proposed contract tower
into a contract tower program under
this section and certifies that the
Secretary will seek future
appropriations to pay the Federal
Aviation Administration's cost of the
contract to operate the tower to be
constructed under this paragraph;
``(IV) the sponsor certifies that it
will pay its share of the cost of the
contract to operate the tower to be
constructed under this paragraph; and
``(V) in the case of a tower to be
constructed under this paragraph from
amounts made available under section
47114(d)(2) or 47114(d)(3)(B), the
Secretary certifies that--
``(aa) the Federal Aviation
Administration has consulted
the State within the borders of
which the tower is to be
constructed and the State
supports the construction of
the tower as part of its State
airport capital plan; and
``(bb) the selection of the
tower for funding is based on
objective criteria.
``(ii) On and after date of transfer.--On and
after the date of transfer (as defined in
section 90101(a)), an airport sponsor shall be
eligible for a grant under this paragraph only
if--
``(I) the Secretary determines that
the tower to be constructed at the
sponsor's airport using the amounts of
the grant will be operated pursuant to
an agreement entered into by the
American Air Navigation Services
Corporation and an entity pursuant to
section 90302(c)(3);
``(II) the sponsor certifies that it
will pay not less than 10 percent of
the cost of the activities for which
the sponsor is receiving assistance
under this paragraph; and
``(III) in the case of a tower to be
constructed under this paragraph from
amounts made available under section
47114(d)(2) or 47114(d)(3)(B), the
Secretary certifies that--
``(aa) the Federal Aviation
Administration has consulted
the State within the borders of
which the tower is to be
constructed and the State
supports the construction of
the tower as part of its State
airport capital plan; and
``(bb) the selection of the
tower for funding is based on
objective criteria.''.
(C) Limitation on federal share.--Section 47124(b)(4)
of title 49, United States Code, is amended by striking
subparagraph (C).
(4) Benefit-to-cost calculation for program applicants.--
Section 47124(b)(3) of title 49, United States Code, is amended
by adding at the end the following:
``(G) Benefit-to-cost calculation.--Not later than 90
days after receiving an application to the Contract
Tower Program, the Secretary shall calculate a benefit-
to-cost ratio (as described in subsection (d)) for the
applicable air traffic control tower for purposes of
selecting towers for participation in the Contract
Tower Program.''.
(b) Safety Audits.--Section 47124(c) of title 49, United States Code,
is amended--
(1) by striking ``The Secretary'' and inserting the
following:
``(1) Before date of transfer.--Before the date of transfer
(as defined in section 90101(a)), the Secretary''; and
(2) by adding at the end the following:
``(2) On and after date of transfer.--On and after the date
of transfer (as defined in section 90101(a)), oversight of air
traffic control towers that receive funding under this section
shall be carried out in accordance with performance-based
regulations and minimum safety standards prescribed under
section 90501.''.
(c) Criteria To Evaluate Participants.--Section 47124 of title 49,
United States Code, is amended by adding at the end the following:
``(d) Criteria To Evaluate Participants.--
``(1) Timing of evaluations.--
``(A) Towers participating in cost-share program.--In
the case of an air traffic control tower that is
operated under the program established under subsection
(b)(3), the Secretary shall annually calculate a
benefit-to-cost ratio with respect to the tower.
``(B) Towers participating in contract tower
program.--In the case of an air traffic control tower
that is operated under the program established under
subsection (a) and continued under subsection (b)(1),
the Secretary shall not calculate a benefit-to-cost
ratio after the date of enactment of this subsection
with respect to the tower unless the Secretary
determines that the annual aircraft traffic at the
airport where the tower is located has decreased--
``(i) by more than 25 percent from the
previous year; or
``(ii) by more than 60 percent cumulatively
in the preceding 3-year period.
``(2) Costs to be considered.--In establishing a benefit-to-
cost ratio under this section with respect to an air traffic
control tower, the Secretary shall consider only the following
costs:
``(A) The Federal Aviation Administration's actual
cost of wages and benefits of personnel working at the
tower.
``(B) The Federal Aviation Administration's actual
telecommunications costs directly associated with the
tower.
``(C) The Federal Aviation Administration's costs of
purchasing and installing any air traffic control
equipment that would not have been purchased or
installed except for the operation of the tower.
``(D) The Federal Aviation Administration's actual
travel costs associated with maintaining air traffic
control equipment that is owned by the Administration
and would not be maintained except for the operation of
the tower.
``(3) Other criteria to be considered.--In establishing a
benefit-to-cost ratio under this section with respect to an air
traffic control tower, the Secretary shall add a 10 percentage
point margin of error to the benefit-to-cost ratio
determination to acknowledge and account for the direct and
indirect economic and other benefits that are not included in
the criteria the Secretary used in calculating that ratio.
``(4) Review of cost-benefit determinations.--In issuing a
benefit-to-cost ratio determination under this section with
respect to an air traffic control tower located at an airport,
the Secretary shall implement the following procedures:
``(A) The Secretary shall provide the airport (or the
State or local government having jurisdiction over the
airport) at least 90 days following the date of receipt
of the determination to submit to the Secretary a
request for an appeal of the determination, together
with updated or additional data in support of the
appeal.
``(B) Upon receipt of a request for an appeal
submitted pursuant to subparagraph (A), the Secretary
shall--
``(i) transmit to the Administrator of the
Federal Aviation Administration any updated or
additional data submitted in support of the
appeal; and
``(ii) provide the Administrator not more
than 90 days to review the data and provide a
response to the Secretary based on the review.
``(C) After receiving a response from the
Administrator pursuant to subparagraph (B), the
Secretary shall--
``(i) provide the airport, State, or local
government that requested the appeal at least
30 days to review the response; and
``(ii) withhold from taking further action in
connection with the appeal during that 30-day
period.
``(D) If, after completion of the appeal procedures
with respect to the determination, the Secretary
requires the tower to transition into the program
established under subsection (b)(3), the Secretary
shall not require a cost-share payment from the
airport, State, or local government for 1 year
following the last day of the 30-day period described
in subparagraph (C).''.
SEC. 135. AIRPORT ACCESS ROADS IN REMOTE LOCATIONS.
Notwithstanding section 47102 of title 49, United States Code, for
fiscal years 2017 through 2020, the definition of the term ``terminal
development'' under that section includes the development of an airport
access road that--
(1) is located in a noncontiguous State;
(2) is not more than 3 miles in length;
(3) connects to the nearest public roadways of not more than
the 2 closest census designated places; and
(4) is constructed for the purpose of connecting the census
designated places with a planned or newly constructed airport.
SEC. 136. BUY AMERICA REQUIREMENTS.
(a) Notice of Waivers.--If the Secretary of Transportation determines
that it is necessary to waive the application of section 50101(a) of
title 49, United States Code, based on a finding under section 50101(b)
of that title, the Secretary, at least 10 days before the date on which
the waiver takes effect, shall--
(1) make publicly available, in an easily identifiable
location on the website of the Department of Transportation, a
detailed written justification of the waiver determination; and
(2) provide an informal public notice and comment opportunity
on the waiver determination.
(b) Annual Report.--For each fiscal year, the Secretary shall submit
to the Committee on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on waivers issued under section
50101 of title 49, United States Code, during the fiscal year.
Subtitle D--Airport Noise and Environmental Streamlining
SEC. 151. RECYCLING PLANS FOR AIRPORTS.
Section 47106(a)(6) of title 49, United States Code, is amended by
inserting ``that includes the project'' before ``, the master plan''.
SEC. 152. PILOT PROGRAM SUNSET.
(a) In General.--Section 47140 of title 49, United States Code, is
repealed.
(b) Conforming Amendment.--Section 47140a of title 49, United States
Code, is redesignated as section 47140.
(c) Clerical Amendments.--The analysis for chapter 471 of title 49,
United States Code, is amended--
(1) by striking the items relating to sections 47140 and
47140a; and
(2) by inserting after the item relating to section 47139 the
following:
``47140. Increasing the energy efficiency of airport power sources.''.
SEC. 153. EXTENSION OF GRANT AUTHORITY FOR COMPATIBLE LAND USE PLANNING
AND PROJECTS BY STATE AND LOCAL GOVERNMENTS.
Section 47141(f) of title 49, United States Code, is amended by
striking ``September 30, 2017'' and inserting ``September 30, 2023''.
SEC. 154. UPDATING AIRPORT NOISE EXPOSURE MAPS.
Section 47503(b) of title 49, United States Code, is amended to read
as follows:
``(b) Revised Maps.--
``(1) In general.--An airport operator that submitted a noise
exposure map under subsection (a) shall submit a revised map to
the Secretary if, in an area surrounding an airport, a change
in the operation of the airport would establish a substantial
new noncompatible use, or would significantly reduce noise over
existing noncompatible uses, that is not reflected in either
the existing conditions map or forecast map currently on file
with the Federal Aviation Administration.
``(2) Timing.--A submission under paragraph (1) shall be
required only if the relevant change in the operation of the
airport occurs during--
``(A) the forecast period of the applicable noise
exposure map submitted by an airport operator under
subsection (a); or
``(B) the implementation period of the airport
operator's noise compatibility program.''.
SEC. 155. STAGE 3 AIRCRAFT STUDY.
(a) Study.--Not later than 180 days after the date of enactment of
this Act, the Comptroller General of the United States shall initiate a
review of the potential benefits, costs, and other impacts that would
result from a phaseout of covered stage 3 aircraft.
(b) Contents.--The review shall include--
(1) a determination of the number, types, frequency of
operations, and owners and operators of covered stage 3
aircraft;
(2) an analysis of the potential benefits, costs, and other
impacts to air carriers, general aviation operators, airports,
communities surrounding airports, and the general public
associated with phasing out or reducing the operations of
covered stage 3 aircraft, assuming such a phaseout or reduction
is put into effect over a reasonable period of time;
(3) a determination of lessons learned from the phaseout of
stage 2 aircraft that might be applicable to a phaseout or
reduction in the operations of covered stage 3 aircraft,
including comparisons between the benefits, costs, and other
impacts associated with the phaseout of stage 2 aircraft and
the potential benefits, costs, and other impacts determined
under paragraph (2);
(4) a determination of the costs and logistical challenges
associated with recertifying stage 3 aircraft capable of
meeting stage 4 noise levels; and
(5) a determination of stakeholder views on the feasibility
and desirability of phasing out covered stage 3 aircraft,
including the views of--
(A) air carriers;
(B) airports;
(C) communities surrounding airports;
(D) aircraft and avionics manufacturers;
(E) operators of covered stage 3 aircraft other than
air carriers; and
(F) such other stakeholders and aviation experts as
the Comptroller General considers appropriate.
(c) Report.--Not later than 18 months after the date of enactment of
this Act, the Comptroller General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the review.
(d) Covered Stage 3 Aircraft Defined.--In this section, the term
``covered stage 3 aircraft'' means an aircraft weighing more than
75,000 pounds that is not capable of meeting the stage 4 noise levels
in part 36 of title 14, Code of Federal Regulations.
SEC. 156. ADDRESSING COMMUNITY NOISE CONCERNS.
When proposing a new area navigation departure procedure, or amending
an existing procedure that would direct aircraft between the surface
and 6,000 feet above ground level over noise sensitive areas, the
Administrator of the Federal Aviation Administration shall consider the
feasibility of dispersal headings or other lateral track variations to
address community noise concerns, if--
(1) the affected airport operator, in consultation with the
affected community, submits a request to the Administrator for
such a consideration;
(2) the airport operator's request would not, in the judgment
of the Administrator, conflict with the safe and efficient
operation of the national airspace system; and
(3) the effect of a modified departure procedure would not
significantly increase noise over noise sensitive areas, as
determined by the Administrator.
SEC. 157. STUDY ON POTENTIAL HEALTH IMPACTS OF OVERFLIGHT NOISE.
(a) In General.--Not later than 180 days after the date of enactment
of this Act, the Administrator of the Federal Aviation Administration
shall enter into an agreement with an eligible institution of higher
education to conduct a study on the health impacts of noise from
aircraft flights on residents exposed to a range of noise levels from
such flights.
(b) Scope of Study.--The study shall--
(1) include an examination of the incremental health impacts
attributable to noise exposure that result from aircraft
flights, including sleep disturbance and elevated blood
pressure;
(2) be focused on residents in the metropolitan area of--
(A) Boston;
(B) Chicago;
(C) the District of Columbia;
(D) New York;
(E) the Northern California Metroplex;
(F) Phoenix;
(G) the Southern California Metroplex; or
(H) such other area as may be identified by the
Administrator;
(3) consider, in particular, the incremental health impacts
on residents living partly or wholly underneath flight paths
most frequently used by aircraft flying at an altitude lower
than 10,000 feet, including during takeoff or landing; and
(4) include an assessment of the relationship between a
perceived increase in aircraft noise, including as a result of
a change in flight paths that increases the visibility of
aircraft from a certain location, and an actual increase in
aircraft noise, particularly in areas with high or variable
levels of nonaircraft-related ambient noise.
(c) Eligibility.--An institution of higher education is eligible to
conduct the study if the institution--
(1) has--
(A) a school of public health that has participated
in the Center of Excellence for Aircraft Noise and
Aviation Emissions Mitigation of the Federal Aviation
Administration; or
(B) a center for environmental health that receives
funding from the National Institute of Environmental
Health Sciences;
(2) is located in one of the areas identified in subsection
(b);
(3) applies to the Administrator in a timely fashion;
(4) demonstrates to the satisfaction of the Administrator
that the institution is qualified to conduct the study;
(5) agrees to submit to the Administrator, not later than 3
years after entering into an agreement under subsection (a),
the results of the study, including any source materials used;
and
(6) meets such other requirements as the Administrator
determines necessary.
(d) Report.--Not later than 90 days after the Administrator receives
the results of the study, the Administrator shall submit to the
Committee on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report containing the results.
SEC. 158. ENVIRONMENTAL MITIGATION PILOT PROGRAM.
(a) In General.--The Secretary of Transportation shall carry out a
pilot program involving not more than 6 projects at public-use airports
in accordance with this section.
(b) Grants.--In carrying out the program, the Secretary may make
grants to sponsors of public-use airports from funds apportioned under
section 47117(e)(1)(A) of title 49, United States Code.
(c) Use of Funds.--Amounts from a grant received by the sponsor of a
public-use airport under the program shall be used for environmental
mitigation projects that will measurably reduce or mitigate aviation
impacts on noise, air quality, or water quality at the airport or
within 5 miles of the airport.
(d) Eligibility.--Notwithstanding any other provision of chapter 471
of title 49, United States Code, an environmental mitigation project
approved under this section shall be treated as eligible for assistance
under that chapter.
(e) Selection Criteria.--In selecting from among applicants for
participation in the program, the Secretary may give priority
consideration to projects that--
(1) will achieve the greatest reductions in aircraft noise,
airport emissions, or airport water quality impacts either on
an absolute basis or on a per dollar of funds expended basis;
and
(2) will be implemented by an eligible consortium.
(f) Federal Share.--The Federal share of the cost of a project
carried out under the program shall be 50 percent.
(g) Maximum Amount.--Not more than $2,500,000 may be made available
by the Secretary in grants under the program for any single project.
(h) Identifying Best Practices.--The Secretary may establish and
publish information identifying best practices for reducing or
mitigating aviation impacts on noise, air quality, and water quality at
airports or in the vicinity of airports based on the projects carried
out under the program.
(i) Sunset.--The program shall terminate 5 years after the Secretary
makes the first grant under the program.
(j) Definitions.--In this section, the following definitions apply:
(1) Eligible consortium.--The term ``eligible consortium''
means a consortium that is comprised of 2 or more of the
following entities:
(A) Businesses incorporated in the United States.
(B) Public or private educational or research
organizations located in the United States.
(C) Entities of State or local governments in the
United States.
(D) Federal laboratories.
(2) Environmental mitigation project.--The term
``environmental mitigation project'' means a project that--
(A) introduces new environmental mitigation
techniques or technologies that have been proven in
laboratory demonstrations;
(B) proposes methods for efficient adaptation or
integration of new concepts into airport operations;
and
(C) will demonstrate whether new techniques or
technologies for environmental mitigation are--
(i) practical to implement at or near
multiple public-use airports; and
(ii) capable of reducing noise, airport
emissions, or water quality impacts in
measurably significant amounts.
SEC. 159. AIRCRAFT NOISE EXPOSURE.
(a) Review.--The Administrator of the Federal Aviation Administration
shall conduct a review of the relationship between aircraft noise
exposure and its effects on communities around airports.
(b) Report.--
(1) In general.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall submit to
Congress a report containing the results of the review.
(2) Preliminary recommendations.--The report shall contain
such preliminary recommendations as the Administrator
determines appropriate for revising the land use compatibility
guidelines in part 150 of title 14, Code of Federal
Regulations, based on the results of the review and in
coordination with other agencies.
SEC. 160. COMMUNITY INVOLVEMENT IN FAA NEXTGEN PROJECTS LOCATED IN
METROPLEXES.
(a) Community Involvement Policy.--Not later than 180 days after the
date of enactment of this Act, the Administrator of the Federal
Aviation Administration shall complete a review of the Federal Aviation
Administration's community involvement practices for Next Generation
Air Transportation System (NextGen) projects located in metroplexes
identified by the Administration. The review shall include, at a
minimum, a determination of how and when to engage airports and
communities in performance-based navigation proposals.
(b) Report.--Not later than 60 days after completion of the review,
the Administrator shall submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the Committee on
Commerce, Science, and Transportation of the Senate a report on--
(1) how the Administration will improve community involvement
practices for NextGen projects located in metroplexes;
(2) how and when the Administration will engage airports and
communities in performance-based navigation proposals; and
(3) lessons learned from NextGen projects and pilot programs
and how those lessons learned are being integrated into
community involvement practices for future NextGen projects
located in metroplexes.
SEC. 161. CRITICAL HABITAT ON OR NEAR AIRPORT PROPERTY.
(a) Federal Agency Requirements.--The Secretary of Transportation, to
the maximum extent practicable, shall work with the heads of
appropriate Federal agencies to ensure that designations of critical
habitat, as that term is defined in section 3 of the Endangered Species
Act of 1973 (16 U.S.C. 1532), on or near airport property do not--
(1) result in conflicting statutory, regulatory, or Federal
grant assurance requirements for airports or aircraft
operators;
(2) interfere with the safe operation of aircraft; or
(3) occur on airport-owned lands that have become attractive
habitat for a threatened or endangered species because such
lands--
(A) have been prepared for future development;
(B) have been designated as noise buffer land; or
(C) are held by the airport to prevent encroachment
of uses that are incompatible with airport operations.
(b) State Requirements.--In a State where a State agency is
authorized to designate land on or near airport property for the
conservation of a threatened or endangered species in the State, the
Secretary, to the maximum extent practicable, shall work with the State
in the same manner as the Secretary works with the heads of Federal
agencies under subsection (a).
SEC. 162. CLARIFICATION OF REIMBURSABLE ALLOWED COSTS OF FAA MEMORANDA
OF AGREEMENT.
Section 47504(c)(2) of title 49, United States Code, is amended--
(1) in subparagraph (D) by striking ``and'' at the end;
(2) in subparagraph (E) by striking the period at the end and
inserting ``; and''; and
(3) by adding at the end the following:
``(F) to an airport operator of a congested airport (as
defined in section 47175) and a unit of local government
referred to in paragraph (1)(B) to carry out a project to
mitigate noise, if the project--
``(i) consists of--
``(I) replacement windows, doors, and the
installation of through-the-wall air-
conditioning units; or
``(II) a contribution of the equivalent costs
to be used for reconstruction, if
reconstruction is the preferred local solution;
``(ii) is located at a school near the airport; and
``(iii) is included in a memorandum of agreement
entered into before September 30, 2002, even if the
airport has not met the requirements of part 150 of
title 14, Code of Federal Regulations, and only if the
financial limitations of the memorandum are applied.''.
TITLE II--AMERICAN AIR NAVIGATION SERVICES CORPORATION
SEC. 201. PURPOSES.
It is declared to be the purpose of Congress in this title to
transfer operation of air traffic services currently provided by the
Federal Aviation Administration to a separate not-for-profit corporate
entity to provide for the more efficient operation and improvement of
air traffic services.
Subtitle A--Establishment of Air Traffic Services Provider
SEC. 211. AMERICAN AIR NAVIGATION SERVICES CORPORATION.
(a) In General.--Title 49, United States Code, is amended by adding
at the end the following:
``Subtitle XI--American Air Navigation Services Corporation
``Chapter Sec.
``901. General Provisions................................... 90101
``903. Establishment of Air Traffic Services Provider; 90301
Transfer of Air Traffic
Services.
``905. Regulation of Air Traffic Services Provider.......... 90501
``907. General Rights of Access to Airspace, Airports, and 90701
Air Traffic Services Vital for
Ensuring Safe Operations for All
Users.
``909. Continuity of Air Traffic Services to Department of 90901
Defense and Other Public
Agencies.
``911. Employee Management.................................. 91101
``913. Other Matters........................................ 91301
``915. Congressional Oversight of Air Traffic Services 91501
Provider.
``CHAPTER 901--GENERAL PROVISIONS
``Sec.
``90101. Definitions.
``Sec. 90101. Definitions
``(a) In General.--In this subtitle, the following definitions apply:
``(1) Administrator.--The term `Administrator' means the
Administrator of the FAA.
``(2) Air traffic services.--The term `air traffic services'
means services--
``(A) used for the monitoring, directing, control,
and guidance of aircraft or flows of aircraft and for
the safe conduct of flight, including communications,
navigation, and surveillance services and provision of
aeronautical information; and
``(B) provided directly, or contracted for, by the
FAA before the date of transfer.
``(3) Air traffic services user.--The term `air traffic
services user' means any individual or entity using air traffic
services provided by the Corporation within United States
airspace or international airspace delegated to the United
States.
``(4) Board.--The term `Board' means the Board of Directors
of the Corporation.
``(5) CEO.--The term `CEO' means the Chief Executive Officer
of the Corporation.
``(6) Charge; fee.--The terms `charge' and `fee' mean any
rate, charge, fee, or other service charge for the use of air
traffic services.
``(7) Corporation.--The term `Corporation' means the American
Air Navigation Services Corporation established under this
subtitle.
``(8) Date of transfer.--The term `date of transfer' means
the date on which the Corporation assumes operational control
of air traffic services from the FAA pursuant to this subtitle,
which shall be October 1, 2020.
``(9) Director.--The term `Director' means a Director of the
Board.
``(10) FAA.--The term `FAA' means the Federal Aviation
Administration.
``(11) Interim ceo.--The term `Interim CEO' means the Interim
Chief Executive Officer of the Corporation.
``(12) Regional air carrier.--The term `regional air carrier'
means an air carrier operating under part 121 of title 14, Code
of Federal Regulations, that--
``(A) exclusively or primarily operates aircraft with
a seating capacity of 76 seats or fewer; and
``(B) is not majority owned or controlled by any
other air carrier or air carrier holding company.
``(13) Secretary.--The term `Secretary' means the Secretary
of Transportation.
``(b) Applicability of Other Definitions.--Except with respect to the
terms specifically defined in this subtitle, the definitions contained
in section 40102(a) shall apply to the terms used in this subtitle.
``CHAPTER 903--ESTABLISHMENT OF AIR TRAFFIC SERVICES PROVIDER; TRANSFER
OF AIR TRAFFIC SERVICES
``Sec.
``90301. Establishment of Corporation.
``90302. Transfer of air traffic services.
``90303. Role of Secretary in transferring air traffic services to
Corporation.
``90304. Status and applicable laws.
``90305. Nomination Panels for Board.
``90306. Board of Directors.
``90307. Fiduciary duties and qualifications of Directors.
``90308. Bylaws and duties.
``90309. Committees of Board; independent auditors.
``90310. Advisory Board.
``90311. Officers and their responsibilities.
``90312. Authority of Corporation.
``90313. Charges and fees for air traffic services.
``90314. Preemption of authority over air traffic services.
``90315. Actions by and against Corporation.
``90316. Transfer of Federal personnel to Corporation.
``90317. Transfer of facilities to Corporation.
``90318. Approval of transferred air navigation facilities and other
equipment.
``90319. Use of spectrum systems and data.
``90320. Transition plan.
``Sec. 90301. Establishment of Corporation
``(a) Federal Charter.--There is established a federally chartered,
not-for-profit corporation to be known as the `American Air Navigation
Services Corporation', which shall be incorporated in a State of its
choosing.
``(b) Corporation Name.--
``(1) In general.--The Corporation may conduct its business
and affairs, and otherwise hold itself out, as the `American
Air Navigation Services Corporation' in any jurisdiction.
``(2) Exclusive right.--The Corporation shall have the
exclusive right to use the name `American Air Navigation
Services Corporation'.
``(3) Alternative name.--The Corporation may do business
under a name other than the `American Air Navigation Services
Corporation' at its choosing.
``Sec. 90302. Transfer of air traffic services
``(a) In General.--The Secretary shall transfer operational control
over air traffic services within United States airspace and
international airspace delegated to the United States to the
Corporation on the date of transfer in a systematic and orderly manner
that ensures continuity of safe air traffic services.
``(b) Management and Operation of Air Traffic Services.--Subject to
section 90501, including the performance-based regulations and minimum
safety standards prescribed under that section, the Corporation may
establish and carry out plans for the management and operation of air
traffic services within United States airspace and international
airspace delegated to the United States.
``(c) Entities Authorized To Provide Air Traffic Services After Date
of Transfer.--After the date of transfer, no entity, other than the
Corporation, is authorized or permitted to provide air traffic services
within United States airspace or international airspace delegated to
the United States, except for--
``(1) the Department of Defense, as authorized by chapter
909;
``(2) entities to which the United States has delegated
certain air traffic services responsibilities;
``(3) entities with which the Corporation has contracted for
the provision of air traffic services; and
``(4) entities authorized to operate an unmanned aircraft
traffic management system or service pursuant to section 45506
or 45507.
``Sec. 90303. Role of Secretary in transferring air traffic services to
Corporation
``(a) In General.--As appropriate, and except as otherwise provided,
the Secretary shall manage and execute the transfer of operational
control over air traffic services pursuant to section 90302(a) and any
related transition processes and procedures.
``(b) Nondelegation.--Except as otherwise provided, the Secretary may
not delegate any of the authority or requirements under this subtitle
to the Administrator.
``Sec. 90304. Status and applicable laws
``(a) Non-Federal Entity.--The Corporation is not a department,
agency, or instrumentality of the United States Government, and is not
subject to title 31.
``(b) Liability.--The United States Government shall not be liable
for the actions or inactions of the Corporation.
``(c) Not-For-Profit Corporation.--The Corporation shall maintain its
status as a not-for-profit corporation exempt from taxation under the
Internal Revenue Code of 1986.
``(d) No Federal Guarantee.--Any debt assumed by the Corporation
shall not have an implied or explicit Federal guarantee.
``Sec. 90305. Nomination Panels for Board
``(a) In General.--The Nomination Panels described in subsection (b)
shall be responsible for nominating individuals to serve as Directors
pursuant to section 90306.
``(b) Nomination Panels.--The Nomination Panels shall be as follows:
``(1) Passenger air carrier nomination panel.--A Passenger
Air Carrier Nomination Panel composed of passenger air carrier
representatives, with each air carrier with more than
30,000,000 annual passenger enplanements designating 1
representative to the Panel.
``(2) Cargo air carrier nomination panel.--A Cargo Air
Carrier Nomination Panel composed of cargo air carrier
representatives, with each all-cargo air carrier with more than
1,000,000 total annual enplaned cargo revenue tons designating
1 representative to the Panel.
``(3) Regional air carrier nomination panel.--A Regional Air
Carrier Nomination Panel composed of regional air carrier
representatives, with each of the 3 largest regional air
carriers, as measured by annual passenger enplanements,
designating 1 representative to the Panel.
``(4) General aviation nomination panel.--A General Aviation
Nomination Panel composed of 6 representatives designated by
the principal organization representing noncommercial owners
and recreational operators of general aviation aircraft.
``(5) Business aviation nomination panel.--A Business
Aviation Nomination Panel composed of--
``(A) 2 representatives designated by the principal
organization representing owners, operators, and users
of general aviation aircraft used exclusively in
furtherance of business enterprises;
``(B) 2 representatives designated by the principal
organization representing aviation-related businesses,
including fixed-base operators; and
``(C) 2 representatives designated by the principal
organization representing aerospace manufacturers of
general aviation aircraft and equipment.
``(6) Air traffic controller nomination panel.--An Air
Traffic Controller Nomination Panel composed of 6
representatives designated by the largest organization engaged
in collective bargaining on behalf of air traffic controllers
employed by the Corporation.
``(7) Airport nomination panel.--An Airport Nomination Panel
composed of--
``(A) 3 representatives designated by the principal
organization representing commercial service airports;
and
``(B) 3 representatives designated by the principal
organization representing airport executives.
``(8) Commercial pilot nomination panel.--A Commercial Pilot
Nomination Panel composed of commercial pilot representatives,
with each organization engaged in collective bargaining on
behalf of air carrier pilots with more than 5,000 members
designating 1 member to the Panel.
``(c) Determination of Entities.--
``(1) Before date of transfer.--Before the date of transfer,
and not later than 30 days after the date of enactment of this
subtitle, the Secretary shall determine the entities referred
to in subsection (b).
``(2) After date of transfer.--On and after the date of
transfer, the Board shall determine the entities referred to in
subsection (b), in accordance with the bylaws of the
Corporation.
``(3) Statistics.--In determining annual statistics for
purposes of this subsection, the Secretary and the Board shall
utilize data published by the Department of Transportation for
the most recent calendar year.
``(4) Limitations.--
``(A) Single designation.--No entity determined under
this subsection may designate a representative to more
than 1 Nomination Panel.
``(B) Carriers owned or controlled by same holding
company.--If 2 or more air carriers determined under
this subsection are owned or controlled by the same
holding company, only 1 of those air carriers may
designate a representative to a Nomination Panel.
``(d) Terms.--An individual on a Nomination Panel shall serve at the
pleasure of the entity that the individual is representing.
``(e) Qualifications.--Only an individual who is a citizen of the
United States may be designated to a Nomination Panel.
``(f) Prohibitions.--An individual may not serve on a Nomination
Panel if the individual is--
``(1) an officer or employee of the Corporation;
``(2) a Member of Congress or an elected official serving in
a State, local, or Tribal government; or
``(3) an officer or employee of the Federal Government or any
State, local, or Tribal government.
``(g) Largest Organization Engaged in Collective Bargaining on Behalf
of Air Traffic Controllers Employed by the Corporation Defined.--Before
the date of transfer, in this section, the term `largest organization
engaged in collective bargaining on behalf of air traffic controllers
employed by the Corporation' means the largest organization engaged in
collective bargaining on behalf of air traffic controllers employed by
the FAA.
``Sec. 90306. Board of Directors
``(a) Authority.--The powers of the Corporation shall be vested in a
Board of Directors that governs the Corporation.
``(b) Composition of Board.--The Board shall be composed of the
following Directors:
``(1) The CEO.
``(2) 2 Directors appointed by the Secretary.
``(3) 1 Director nominated by the Passenger Air Carrier
Nomination Panel.
``(4) 1 Director nominated by the Cargo Air Carrier
Nomination Panel.
``(5) 1 Director nominated by the Regional Air Carrier
Nomination Panel.
``(6) 1 Director nominated by the General Aviation Nomination
Panel.
``(7) 1 Director nominated by the Business Aviation
Nomination Panel.
``(8) 1 Director nominated by the Air Traffic Controller
Nomination Panel.
``(9) 1 Director nominated by the Airport Nomination Panel.
``(10) 1 Director nominated by the Commercial Pilot
Nomination Panel.
``(11) 2 Directors nominated and selected by the other
Directors.
``(c) Nominations and Appointments.--
``(1) Prior to date of transfer.--
``(A) Submission of nomination lists.--Before the
date of transfer, and not later than 60 days after the
date of enactment of this subtitle, each Nomination
Panel shall submit to the Secretary a list, chosen by
consensus, of 4 individuals nominated to be Directors.
``(B) Appointment and selection.--Not later than 30
days after the date on which the last nomination list
is submitted under subparagraph (A), the Secretary
shall--
``(i) appoint 2 individuals to be Directors
under subsection (b)(2); and
``(ii) select, pursuant to subsection (b),
the appropriate number of individuals to be
Directors from each nomination list.
``(C) Resubmission.--A Nomination Panel shall
resubmit a list submitted under subparagraph (A), not
later than 15 days after notification by the Secretary
of the need to resubmit the list, if the Secretary
determines that an individual on the list is--
``(i) not qualified to serve as a Director
under section 90307; or
``(ii) otherwise not fit to serve as a
Director.
``(D) At-large directors.--Not later than 30 days
after the Secretary appoints and selects the Directors
pursuant to subparagraph (B), the Board shall nominate
and select the additional Directors under subsection
(b)(11) by a two-thirds vote.
``(2) After date of transfer.--
``(A) Nomination.--As appropriate, a Nomination Panel
shall submit to the Board a list, chosen by consensus,
of 4 individuals nominated to be Directors.
``(B) Selection.--The Board shall select, pursuant to
subsection (b), the appropriate number of individuals
to be Directors from a list submitted by a Nomination
Panel.
``(C) Resubmission.--A Nomination Panel shall
resubmit a list submitted under subparagraph (A), not
later than 15 days after notification by the Board of
the need to resubmit the list, if the Board determines
that more than 1 individual on the list is--
``(i) not qualified to serve as a Director
under section 90307; or
``(ii) otherwise not fit to serve as a
Director.
``(D) At-large directors.--The Board shall nominate
and select Directors under subsection (b)(11) in
accordance with the bylaws of the Corporation.
``(E) Appointed directors.--None of the Directors
appointed by the Secretary under subsection (b)(2)
shall be subject to approval by the Board.
``(d) Chairperson.--The Chairperson of the Board shall--
``(1) be selected from among the Directors (other than the
CEO) by a majority vote of the Directors; and
``(2) subject to subsection (e), serve until replaced by a
majority vote of the Directors.
``(e) Terms.--
``(1) Initial terms.--The term of each Director appointed, or
nominated and selected, before the date of transfer (other than
the CEO) shall expire on the date that is 2 years after the
date of transfer.
``(2) Subsequent terms.--The term of each Director appointed,
or nominated and selected, on or after the date of transfer
(other than the CEO) shall be 4 years, except as provided by
paragraph (3).
``(3) Staggering.--The Board shall stagger the duration of
the terms of the initial Directors appointed, or nominated and
selected, after the date of transfer to promote the stability
of the Board.
``(4) Term limit.--Except as provided by subsection (f)(3), a
Director may not serve on the Board for more than 8 years.
``(f) Vacancies.--
``(1) Before date of transfer.--Before the date of transfer,
a vacancy on the Board shall be filled in the manner in which
the original appointment or selection was made.
``(2) After date of transfer.--After the date of transfer, a
vacancy on the Board shall be filled in the manner in which the
original appointment was made (in the case of Directors
appointed under subsection (b)(2)) or in the manner described
under subsection (c)(2) (in the case of Directors nominated by
Nomination Panels or the Board).
``(3) Service until successor takes office.--A Director may
serve after the expiration of the Director's term until a
successor has been appointed or nominated and selected.
``(g) Meetings and Quorum.--
``(1) Meetings.--
``(A) In general.--The Board shall meet at the call
of the Chairperson (or as otherwise provided in the
bylaws) and, at a minimum, on a quarterly basis.
``(B) Initial meeting.--Not later than 90 days after
the date of enactment of this subtitle, the Board shall
hold its initial meeting.
``(C) In-person meeting.--At least 1 meeting of the
Board each year shall be conducted in person.
``(2) Quorum.--A quorum of the Board, consisting of a
majority of the Directors then in office, shall be required to
conduct any business of the Board.
``(3) Approval of board actions.--Except as otherwise
provided, the threshold for approving Board actions shall be as
set forth in the bylaws.
``(h) Removal of Directors.--A Director may be removed in accordance
with section 90307(c) and the bylaws of the Corporation.
``Sec. 90307. Fiduciary duties and qualifications of Directors
``(a) Fiduciary Duties.--The fiduciary duties of a Director shall be
solely and exclusively to the Corporation.
``(b) Qualifications.--
``(1) In general.--Only a citizen of the United States may be
appointed or nominated as a Director.
``(2) Prohibitions.--An individual may not serve as a
Director if the individual--
``(A) is an officer, agent, or employee of the
Corporation (other than the CEO);
``(B) is, or has been within the preceding 2 years, a
Member of Congress;
``(C) is an elected official serving in a State,
local, or Tribal government;
``(D) is an officer or employee of the Federal
Government or any State, local, or Tribal government;
``(E) is a director, officer, trustee, agent, or
employee of--
``(i) a bargaining agent that represents
employees of the Corporation;
``(ii) an entity that has a material interest
as a supplier, client, or user of the
Corporation's services; or
``(iii) any of the entities determined under
section 90305(c);
``(F) receives any form of compensation or material
benefit from an entity that has a material interest as
a supplier, client, or user of the Corporation's
services, excluding compensation from a defined benefit
plan resulting from the individual's past employment;
or
``(G) has or holds any other fiduciary duty, legal
obligation, office, employed position, or material
interest that would prevent the individual from
satisfying the requirements of subsection (a) under the
applicable laws of the State in which the Corporation
is incorporated.
``(3) Exception.--Subparagraphs (C) and (D) of paragraph (2)
shall not apply to an individual solely because the individual
is an elected member of a school board or is employed by an
institution of higher education (as defined in section 101 of
the Higher Education Act of 1965 (20 U.S.C. 1001)).
``(c) Breach of Fiduciary Duty to Corporation.--
``(1) In general.--The Board shall remove any Director who
breaches a fiduciary duty to the Corporation--
``(A) pursuant to procedures to be established in the
bylaws of the Corporation; and
``(B) not later than 30 days after determining that a
breach has occurred.
``(2) Limited private right of action.--The Corporation shall
have the exclusive right to seek injunctive or monetary relief
(or both) against a Director or former Director for a breach of
a fiduciary duty to the Corporation.
``(d) Prohibition on Indemnification and Certain Insurance.--
Notwithstanding section 90312 or any other provision of law, the
Corporation shall neither indemnify nor procure insurance to indemnify
any Director for liability relating to a breach of a fiduciary duty to
the Corporation.
``Sec. 90308. Bylaws and duties
``(a) In General.--The Board shall adopt and amend the bylaws of the
Corporation.
``(b) Bylaws.--The bylaws of the Corporation shall include, at a
minimum--
``(1) the duties and responsibilities of the Board (including
those described in subsection (c)), officers, Advisory Board,
and committees of the Corporation; and
``(2) the operational procedures of the Corporation.
``(c) Duties and Responsibilities of Board.--The Board shall be
responsible for actions of the Corporation, including--
``(1) adoption of an annual budget;
``(2) approval of a strategic plan, including updates
thereto, and other plans supporting the strategy laid out in
the strategic plan;
``(3) adoption of an annual action plan;
``(4) authorization of any form or instrument of
indebtedness, including loans and bond issues;
``(5) assessment, modification, and collection of charges and
fees for air traffic services in accordance with the standards
described in section 90313;
``(6) hiring and supervision of the CEO;
``(7) establishment and maintenance of an appropriately
funded reserve fund;
``(8) adoption of a code of conduct and code of ethics for
Directors, officers, agents, and employees of the Corporation;
``(9) establishment of a process for ensuring that the
fiduciary duties of a Director are solely and exclusively to
the Corporation;
``(10) establishment of a process for the removal of a
Director, including the removal of a Director for breach of a
fiduciary duty to the Corporation; and
``(11) adoption of a process for filling vacancies on the
Board.
``Sec. 90309. Committees of Board; independent auditors
``(a) Committees of Board.--The Board shall establish and maintain a
Safety Committee, a Compensation Committee, a Technology Committee, and
such other committees as the Board determines are necessary or
appropriate to carry out the responsibilities of the Board effectively.
Such committees shall be composed solely of Directors.
``(b) Independent Auditors.--The Board shall retain independent
auditors to conduct annual audits of the Corporation's financial
statements and internal controls.
``Sec. 90310. Advisory Board
``(a) Establishment.--There shall be an Advisory Board of the
Corporation.
``(b) Duties.--The Advisory Board--
``(1) shall conduct such activities as the Board determines
appropriate;
``(2) shall submit to the Board recommendations for Directors
to be nominated and selected under section 90306(b)(11); and
``(3) may, on its own initiative, study, report, and make
recommendations to the Board on matters relating to the
Corporation's provision of air traffic services and associated
safety considerations.
``(c) Membership.--
``(1) Number.--The Advisory Board shall consist of not more
than 15 individuals, who are citizens of the United States,
representing interested entities.
``(2) Representatives.--The members of the Advisory Board
shall include, at a minimum, representatives of the following:
``(A) Air carriers.
``(B) General aviation.
``(C) Business aviation.
``(D) Commercial service airports.
``(E) Operators and manufacturers of commercial
unmanned aircraft systems.
``(F) Appropriate labor organizations.
``(G) The Department of Defense.
``(H) Small communities, including at least 1
community primarily served by a nonhub airport.
``(d) Structure; Terms.--The membership and structure of the Advisory
Board, including the duration that individuals may serve on the
Advisory Board, shall be determined by the Board in accordance with the
bylaws of the Corporation.
``Sec. 90311. Officers and their responsibilities
``(a) Chief Executive Officer.--
``(1) Hiring.--
``(A) In general.--The Corporation shall have a Chief
Executive Officer, who shall be hired by the Board to
manage the Corporation.
``(B) Qualifications.--The CEO shall be an individual
who--
``(i) is a citizen of the United States;
``(ii) satisfies the qualifications to serve
as a Director under section 90307; and
``(iii) by reason of professional background
and experience, is especially qualified to
manage the Corporation.
``(2) Duties.--The CEO shall--
``(A) be responsible for the management and direction
of the Corporation, including its officers and
employees, and for the exercise of all powers and
responsibilities of the Corporation;
``(B) establish Corporation offices and define the
responsibilities and duties of the offices, with full
authority to organize the Corporation as required; and
``(C) designate an officer of the Corporation who is
vested with the authority to act in the capacity of the
CEO if the CEO is absent or incapacitated.
``(3) Scope of authority.--
``(A) In general.--The CEO shall be subject to the
policy guidance of the Board, report to the Board, and
serve at the pleasure of the Board.
``(B) Authority of board.--The Board may modify or
revoke actions of the CEO pursuant to procedures set
forth in the bylaws of the Corporation.
``(b) Other Officers and Employees.--
``(1) In general.--The CEO shall appoint such other officers
and employees of the Corporation as the CEO determines
appropriate.
``(2) Chief operating officer; chief financial officer.--An
appointment of an individual as chief operating officer or
chief financial officer by the CEO shall be subject to the
approval of the Board.
``(3) Delegation of functions.--The CEO may delegate to the
other officers and employees of the Corporation any of the
functions of the Corporation.
``(4) Compensation.--Compensation for the CEO, chief
operating officer, and chief financial officer shall be set by
the Board.
``(c) Interim CEO.--
``(1) Hiring.--Not later than 60 days after the date of the
Secretary's appointment and selection of Directors under
section 90306(c)(1)(B), the Board shall hire an Interim Chief
Executive Officer who meets the qualifications specified in
subsection (a)(1)(B).
``(2) Authority and term.--
``(A) Authority.--The Interim CEO shall--
``(i) exercise the same authority as the CEO,
including serving on the Board;
``(ii) carry out the same duties as the CEO;
and
``(iii) be subject to the same prohibitions
and limitations as the CEO.
``(B) Term.--The Interim CEO shall serve until the
Board hires a CEO.
``(3) Statutory construction.--Nothing in this subsection may
be construed to restrict the ability of the Board to hire the
individual serving as the Interim CEO to be the CEO.
``Sec. 90312. Authority of Corporation
``(a) General Authority.--Except as otherwise provided in this
subtitle, the Corporation--
``(1) shall have perpetual succession in its corporate name
unless dissolved by law;
``(2) may adopt and use a corporate seal;
``(3) may own, lease, use, improve, and dispose of such
property as the Corporation considers necessary to carry out
the purposes of the Corporation;
``(4) may contract with other parties;
``(5) may sue or be sued;
``(6) may be held liable under civil and criminal law;
``(7) may indemnify the Directors, including the Interim CEO
or CEO, and other officers, agents, and employees of the
Corporation; and
``(8) shall have such other corporate powers as are necessary
or appropriate to carry out the purposes of this subtitle and
of the Corporation.
``(b) Limitations.--
``(1) Business activities.--The Corporation may only engage
in business activities that are--
``(A) related to carrying out air traffic services;
or
``(B) ancillary or incidental to carrying out such
services.
``(2) Equity shares.--The Corporation may not issue or sell
equity shares in the Corporation.
``Sec. 90313. Charges and fees for air traffic services
``(a) Assessment and Collection of Charges and Fees.--Beginning on
the date of transfer, and subject to this section and section 90502,
the Corporation may assess and collect charges and fees from air
traffic services users for air traffic services provided by the
Corporation in United States airspace or international airspace
delegated to the United States.
``(b) Board Approval of Charges and Fees.--The Board shall--
``(1) approve a proposal for--
``(A) an initial schedule of charges and fees
pursuant to subsection (g); and
``(B) any change in the charges or fees;
``(2) provide air traffic services users and other interested
persons notice of a proposal approved under paragraph (1) in a
manner and form prescribed by the Secretary; and
``(3) submit a proposal approved under paragraph (1) (other
than a proposal to decrease a charge or fee) to the Secretary
90 days prior to the effective date of the proposal in a manner
and form prescribed by the Secretary.
``(c) Secretarial Review.--
``(1) Public comment.--Upon receiving a proposal from the
Corporation under subsection (b)(3), the Secretary shall
solicit public comments on the proposal for a 30-day period.
``(2) Secretarial approval.--
``(A) In general.--Not later than 15 days after the
last day of the 30-day public comment period, the
Secretary shall--
``(i) approve the proposal upon determining
that the proposal complies with the standards
in subsection (d); or
``(ii) disapprove the proposal upon
determining that the proposal does not comply
with the standards in subsection (d).
``(B) Effectiveness of proposal.--If the Secretary
does not issue a timely decision pursuant to
subparagraph (A), the proposal shall be deemed
approved.
``(d) Standards.--The Secretary shall apply the following standards
in reviewing a proposal from the Corporation under subsection (c):
``(1) The amount or type of charges and fees paid by an air
traffic services user may not--
``(A) be determinant of the air traffic services
provided to the user; or
``(B) adversely impact the ability of the user to use
or access any part of the national airspace system.
``(2) Charges and fees shall be consistent with the document
titled `ICAO's Policies on Charges for Airports and Air
Navigation Services', Ninth Edition, 2012.
``(3) Charges and fees may not be discriminatory.
``(4) Charges and fees shall be consistent with United States
international obligations.
``(5) Certain categories of air traffic services users may be
charged on a flat fee basis so long as the charge or fee is
otherwise consistent with this subsection.
``(6) Charges and fees may not be imposed for air traffic
services provided with respect to operations of aircraft that
qualify as public aircraft under sections 40102(a) and 40125.
``(7) Charges and fees may not be imposed for air traffic
services provided with respect to aircraft operations conducted
pursuant to part 91, 133, 135, 136, or 137 of title 14, Code of
Federal Regulations.
``(8) Charges and fees may not be structured such that air
traffic services users have incentives to operate in ways that
diminish safety to avoid the charges and fees.
``(9) Charges and fees, based on reasonable and financially
sound projections, may not generate revenues exceeding the
Corporation's current and anticipated financial requirements in
relation to the provision of air traffic services.
``(e) Corporation's Financial Requirements.--In determining whether a
proposal received from the Corporation under subsection (b) would
generate revenues in compliance with subsection (d)(9), the Secretary
shall consider costs and other liabilities of the Corporation,
including--
``(1) costs incurred before the date of transfer;
``(2) operations and maintenance costs;
``(3) management and administrative costs;
``(4) depreciation costs;
``(5) interest costs and other expenses related to debt
servicing;
``(6) cash reserves or other requirements needed to maintain
credit ratings or comply with debt covenants; and
``(7) any tax liability.
``(f) Payment of Charges and Fees.--
``(1) In general.--An air traffic services user shall pay a
charge or fee assessed by the Corporation under subsection (a)
for services rendered and any interest and penalties assessed
under paragraph (2).
``(2) Late payment or nonpayment.--The Corporation may assess
and collect interest and penalties for late payment or
nonpayment of a charge or fee assessed by the Corporation under
subsection (a).
``(3) Private right of action.--The Corporation may file suit
in any district court of the United States having jurisdiction
over the parties, without respect to the amount in controversy
and without regard to the citizenship of the parties, to
enforce this subsection not later than 2 years after the date
on which a claim accrues. A claim accrues, under this
paragraph, upon the rendering of the relevant air traffic
services by the Corporation.
``(g) Initial Schedule.--Notwithstanding subsection (b)(3), the
Corporation shall propose an initial schedule of charges and fees at
least 180 days before the date of transfer.
``(h) Aircraft Operation Defined.--In this section, the term
`aircraft operation' means the movement of an aircraft beginning with
the take-off of the aircraft and ending with the landing of the
aircraft.
``Sec. 90314. Preemption of authority over air traffic services
``(a) State Defined.--In this section, the term `State' means a
State, the District of Columbia, and a territory or possession of the
United States.
``(b) Preemption.--A State, political subdivision of a State, or
political authority of at least 2 States may not enact or enforce a
law, regulation, or other provision having the force and effect of law
related to air traffic services.
``(c) Airport Owner or Operator.--Subsection (b) may not be construed
to limit a State, political subdivision of a State, or political
authority of at least 2 States that owns or operates a landing area
from carrying out its proprietary powers and rights over the landing
area.
``Sec. 90315. Actions by and against Corporation
``(a) Jurisdiction for Legal Actions Generally.--
``(1) Jurisdiction of united states district courts.--The
United States district courts shall have original jurisdiction
over all actions brought by or against the Corporation, except
as otherwise provided in this subtitle.
``(2) Removal of actions in state courts.--Any action brought
in a State court to which the Corporation is a party shall be
removed to the appropriate United States district court under
the provisions of chapter 89 of title 28.
``(b) Testimony of Corporation Employees.--
``(1) In general.--Except with the consent of the chief legal
officer of the Corporation, employees of the Corporation may
not provide expert opinion or expert testimony in civil
litigation related to the Corporation.
``(2) Exceptions.--The Corporation may prescribe the
circumstances, if any, under which employees of the Corporation
may provide expert opinion or expert testimony in civil
litigation related to the Corporation.
``Sec. 90316. Transfer of Federal personnel to Corporation
``(a) Transfer of FAA Employees to Corporation.--
``(1) Process.--Not later than 180 days after the date of
enactment of this subtitle, the Secretary, after meeting and
conferring with the CEO and representatives of the labor
organizations recognized under section 7111 of title 5 as
exclusive representatives of FAA employees, shall commence a
process to determine, consistent with the purposes of this
subtitle, which activities and employees, or categories of
employees, of the FAA shall be transferred to the Corporation
on or before the date of transfer.
``(2) Determination; transfer.--The Secretary shall--
``(A) not later than 180 days prior to the date of
transfer, complete the determination of which
activities, employees, or categories of employees shall
be transferred to the Corporation under paragraph (1);
``(B) upon completing the determination, notify the
CEO, the labor organizations recognized under section
7111 of title 5 as exclusive representatives of FAA
employees, and all affected employees of such
determination; and
``(C) on or before the date of transfer, transfer
such activities, employees, or categories of employees.
``(b) Subsequent Transfer of Employees.--
``(1) In general.--
``(A) Transfers from faa to corporation.--During the
180-day period beginning on the date of transfer, the
Secretary, after meeting and conferring with the CEO
and representatives of the certified labor
organizations recognized under section 91105 and labor
organizations recognized under section 7111 of title 5
as exclusive representatives of FAA employees, may
transfer an employee from the FAA to the Corporation if
the Secretary, after meeting and conferring with the
CEO and the representatives, finds that the
determination with respect to the employee under
subsection (a) was inconsistent with the purposes of
this subtitle.
``(B) Transfers from corporation to faa.--During the
180-day period beginning on the date of transfer, the
Secretary, after meeting and conferring with the CEO
and representatives of the certified labor
organizations recognized under section 91105 and labor
organizations recognized under section 7111 of title 5
as exclusive representatives of FAA employees, may
transfer an employee from the Corporation to the FAA if
the Secretary, after the consultation with the CEO and
the representatives, finds that the determination with
respect to the employee under subsection (a) was
inconsistent with the purposes of this subtitle.
``(2) Reemployment of federal employees.--An employee
transferred from the Corporation to the FAA under this
subsection shall be entitled to the same rights and benefits,
and reemployment, in the same manner as if covered by section
3582 of title 5 notwithstanding section 8347(o), 8713, or 8914
of such title.
``(3) Election of benefits for employees subject to delayed
transfer to corporation.--In the case of an employee of the FAA
transferred to the Corporation under this subsection, such
employee shall be afforded the opportunity to make the election
provided under section 91102(b) with respect to benefits.
``(c) Corporation Employee Benefits.--At least 180 days before the
date of transfer, the Corporation shall establish a compensation and
benefits program for--
``(1) employees hired by the Corporation after the date of
transfer; and
``(2) employees that make the election under section
91102(b)(1)(A)(ii).
``(d) Protections for Employees Not Transferred to Corporation.--For
those employees of the FAA directly involved in the operation of air
traffic services who are not transferred to the Corporation pursuant to
subsection (a) or who transferred back to the FAA pursuant to
subsection (b), the Secretary shall provide to such employees
compensation and benefits consistent with the applicable collective-
bargaining agreement that are not less than the level of compensation
and benefits provided to such FAA employees prior to the date of
transfer unless mutually agreed to by the FAA and representatives of
the certified labor organization.
``(e) Suitability, Clearances, and Medical Qualifications.--All
federally issued or federally required credentials, certificates,
clearances, medical qualifications, access rights, substance testing
results, and any other Federal permissions or approvals held by any
employee of the FAA in the operation of air traffic services that are
valid and effective on the day prior to the date of transfer shall
remain valid and effective after the date of transfer--
``(1) unless revoked for cause; or
``(2) until equivalent or substantially equivalent
credentials, certificates, clearances, medical qualifications,
access rights, substance testing results, and any other Federal
permissions or approvals have been issued to the employee on or
after the date of transfer.
``(f) Transition Agreements.--
``(1) Bipartite agreement.--
``(A) Meetings.--At least 180 days before the date of
transfer, the Corporation shall meet with the labor
organizations recognized under section 7111 of title 5
as exclusive representatives of FAA employees to
resolve employment-related transition matters that
affect employees represented by those labor
organizations and that are not otherwise covered under
this section.
``(B) Duty to bargain in good faith.--The Corporation
and the labor organizations described in subparagraph
(A) (in this subsection referred to as the `parties')
shall be subject to the duty to bargain in good faith
under chapter 911 in any meetings pursuant to this
paragraph.
``(C) Dispute resolution procedures.--If the parties
fail to reach an agreement over the initial or
subsequent employment-related transition issues not
otherwise covered under this section, the matters shall
be subject to the dispute resolution procedures
established under subsections (a), (b), and (e) of
section 91107.
``(2) Tripartite agreement.--
``(A) Meetings.--At least 1 year before the date of
transfer, the Corporation and the FAA shall meet with
the labor organizations recognized under section 7111
of title 5 as exclusive representatives of FAA
employees to resolve transition matters related to the
separation of air traffic services from the FAA
pursuant to this subtitle that affect employees
represented by those labor organizations and that are
not otherwise covered under this section.
``(B) Duty to bargain in good faith.--To the extent
applicable, the Corporation and the labor organizations
described in subparagraph (A) shall be subject to the
duty to bargain in good faith under chapter 911 in any
meetings pursuant to this paragraph.
``(C) Dispute resolution procedures.--If the
Corporation and the certified labor organizations
described in subparagraph (A) fail to reach an
agreement over the initial or subsequent transition
issues related to the separation of air traffic
services from the FAA, not otherwise covered under this
section, the matters shall be subject to the dispute
resolution procedures established under subsections
(a), (b), and (e) of section 91107.
``Sec. 90317. Transfer of facilities to Corporation
``(a) Inventory of FAA Property and Facilities.--At least 1 year
before the date of transfer, the Secretary, in consultation with the
CEO, shall identify the licenses, patents, software rights, and real
and personal property, including air navigation facilities (as defined
in section 40102(a)) of the United States under FAA jurisdiction, that
are necessary and appropriate for the Corporation to carry out the air
traffic services transferred to the Corporation under this subtitle.
``(b) Transfer of Federal Property.--
``(1) Conveyance of property to corporation.--On the date of
transfer, the Secretary shall convey, without charge, all
right, title, and interest of the United States in, and the
use, possession, and control of, properties identified under
subsection (a).
``(2) Sale of property by corporation after date of
transfer.--If the Corporation sells any of the property
conveyed to the Corporation under paragraph (1), the
Corporation shall use the proceeds received from the sale of
such property for the acquisition or improvement of air
navigation facilities or other capital assets.
``(3) Reversionary interest.--Any conveyance of real property
under this section located at an FAA technical facility shall
be subject to the condition that all right, title, and interest
in the real property shall revert to the United States and be
placed under the administrative control of the Secretary if--
``(A) the Corporation determines the real property is
no longer necessary to carry out the air traffic
services transferred to the Corporation under this
subtitle; and
``(B) the Secretary determines the reversion is
necessary to protect the interests of the United
States.
``(4) Safety air traffic services equipment in remote
locations.--
``(A) Maintenance by corporation.--Any equipment
identified pursuant to subsection (a) and conveyed to
the Corporation pursuant to paragraph (1) that is
located in a noncontiguous State of the United States
and is critical to the safe provision of air traffic
services in that State may not be sold and shall be
maintained and, as determined necessary by the
Corporation, upgraded by the Corporation.
``(B) Equipment critical to safe provision of air
traffic services.--For purposes of this paragraph,
equipment critical to the safe provision of air traffic
services includes GPS receivers, data link
transceivers, ADS-B, multi-function displays, flight
information services, moving map displays, terrain
databases, airport lighting, and mountain pass cameras.
``(c) Consolidation and Realignment of Transferred Services and
Facilities.--
``(1) In general.--At least 180 days before the date of
transfer, and subject to section 91107, the Corporation, in
consultation with representatives of labor organizations
representing operations and maintenance employees of the air
traffic control system, shall establish a process for the
realignment and consolidation of services and facilities to be
transferred to the Corporation from the FAA.
``(2) Moratorium.--Except as otherwise provided, there shall
be a moratorium on any effort by the Administrator or the
Corporation to consolidate or realign air traffic services or
facilities until the process required by paragraph (1) is
established.
``Sec. 90318. Approval of transferred air navigation facilities and
other equipment
``On the date of transfer, the Corporation is authorized to operate
all air navigation facilities and other equipment conveyed pursuant to
section 90317 without additional approval or certification by the
Secretary.
``Sec. 90319. Use of spectrum systems and data
``Beginning on the date of transfer, the Secretary shall provide the
Corporation with such access to the spectrum systems used by the FAA
before the date of transfer to provide air traffic services, and any
successor spectrum systems, and to the data from such systems, as is
necessary to enable the Corporation to provide air traffic services
under this subtitle.
``Sec. 90320. Transition plan
``(a) Transition Team.--Not later than 120 days after the date of
enactment of this subtitle, the Secretary, after meeting and conferring
with the CEO or Interim CEO, shall establish a transition team to
develop, consistent with this subtitle, a transition plan to be
reviewed by the Secretary and, if approved, utilized by the Department
of Transportation during the period in which air traffic services are
transferred from the FAA to the Corporation.
``(b) Membership.--The transition team shall consist of 12
individuals, who are citizens of the United States, as follows:
``(1) 5 representatives appointed by the Secretary,
including--
``(A) the Deputy Administrator of the FAA;
``(B) the Director of the FAA Mike Monroney
Aeronautical Center;
``(C) the Director of the FAA William J. Hughes
Technical Center; and
``(D) 2 representatives from the Office of Management
and Budget, appointed with the concurrence of the
Director of the Office of Management and Budget.
``(2) 1 representative appointed by the exclusive bargaining
representative of air traffic controllers certified under
section 7111 of title 5.
``(3) 1 representative appointed by the exclusive bargaining
representative for airway transportation systems specialists in
the Air Traffic Organization technical operations services
certified under section 7111 of title 5.
``(4) 5 representatives appointed by the CEO.
``(c) Transition Plan.--
``(1) In general.--Not later than 45 days after the
establishment of the transition team, the transition team shall
develop and submit to the Secretary an executable transition
plan.
``(2) Contents.--The transition plan shall set forth a plan
for the Secretary, in consultation with the CEO or Interim CEO,
to--
``(A) identify property, facilities, equipment, and
obligations, contractual or otherwise, related to the
provision of air traffic services; and
``(B) safely and efficiently transfer Federal
personnel, property, facilities, equipment, and
obligations, contractual and otherwise, related to the
provision of air traffic services to the Corporation on
or before the date of transfer.
``(d) Secretarial Review.--
``(1) In general.--Not later than 30 days after receipt of
the transition plan, the Secretary shall review and, if
appropriate, approve the plan.
``(2) Disapproval.--If the Secretary does not approve a
submitted transition plan, the transition team shall revise the
plan and resubmit it to the Secretary not later than 30 days
after receiving notice of the disapproval by the Secretary.
``(e) Termination.--The transition team shall terminate upon approval
of a transition plan by the Secretary.
``CHAPTER 905--REGULATION OF AIR TRAFFIC SERVICES PROVIDER
``Sec.
``90501. Safety oversight and regulation of Corporation.
``90502. Resolution of disputes concerning air traffic services charges
and fees.
``90503. International agreements and activities.
``90504. Availability of safety information.
``90505. Reporting of safety violations to FAA.
``90506. Insurance requirements.
``Sec. 90501. Safety oversight and regulation of Corporation
``(a) Performance-Based Regulations and Minimum Safety Standards.--
After consultation with the Corporation and the FAA's certified
bargaining representatives and before the date of transfer, the
Secretary shall--
``(1) prescribe performance-based regulations and minimum
safety standards for the operation of air traffic services by
the Corporation;
``(2) prescribe performance-based regulations and minimum
safety standards for the certification and operation of air
navigation facilities (other than facilities that may be
operated without additional approval or certification pursuant
to section 90318); and
``(3) identify policies and other administrative materials of
the FAA in effect before the date of transfer for providing air
traffic services that will apply to the Corporation.
``(b) Safety Management System.--
``(1) In general.--The regulations and standards prescribed
pursuant to subsection (a) shall include a safety management
system for air traffic services provided by the Corporation.
``(2) Foundation.--The safety management system shall be
based on the safety management system used by the Air Traffic
Organization of the FAA before the date of transfer.
``(3) Use by corporation.--Beginning on the date of transfer,
the Corporation shall use the safety management system,
including any changes thereto, when assessing and managing
risks in all procedures, processes, and practices necessary to
provide air traffic services.
``(4) FAA oversight.--To the maximum extent practicable, for
at least 2 years after the date of transfer, the Air Traffic
Safety Oversight Service of the FAA shall employ the same
oversight processes and procedures in use before the date of
transfer.
``(c) Proposals To Modify Air Traffic Management Procedures,
Assignments, and Classifications of Airspace.--
``(1) Submission of proposals to secretary.--The Corporation
or another interested party may submit to the Secretary a
proposal to modify--
``(A) air traffic management procedures, assignments,
classifications of airspace, or other actions affecting
airspace access that are developed pursuant to the
safety management system; and
``(B) FAA policies and other administrative materials
identified under subsection (a)(2).
``(2) Review and approval of proposals.--The regulations and
standards prescribed under subsection (a)(1) shall include a
process for expedited review and approval of a proposal
received under paragraph (1).
``(3) Standard for approval.--The Secretary shall approve a
proposal received under paragraph (1) if the Secretary
determines that the proposal complies with the regulations and
standards prescribed under subsection (a)(1) and is otherwise
consistent with the public interest, including that the
proposal would not materially reduce access to a public-use
airport.
``(4) Approvals and disapprovals.--
``(A) In general.--During the 45-day period beginning
on the date of receipt of a proposal under paragraph
(1), the Secretary shall approve or disapprove the
proposal.
``(B) Written explanation.--If the Secretary
disapproves the proposal, the Secretary shall provide--
``(i) a written explanation of the
Secretary's decision, including--
``(I) any instances of inconsistency
with the regulations and standards
prescribed under subsection (a)(1); and
``(II) any other information that
formed the basis for the Secretary's
decision; and
``(ii) a description of any modifications to
the proposal that are necessary to obtain
approval.
``(5) Failure to act.--If the Secretary fails to act on a
proposal received under paragraph (1) during the 45-day period
described in paragraph (4)(A), the Corporation or other party
making the proposal shall be entitled to a writ of mandamus in
a Federal district court with venue.
``(d) Judicial Review.--
``(1) In general.--Any decision made by the Secretary to
approve or disapprove a proposal received under subsection
(c)(1) shall be subject to judicial review pursuant to
subsections (a), (b), (d), and (e) of section 46110.
``(2) Standard of review.--
``(A) Disapprovals.--In the case of a petition filed
under section 46110(a) to review a decision of the
Secretary that disapproves a proposal received from the
Corporation under subsection (c)(1), the court shall,
without deference to the Secretary's determination,
review de novo the record to determine if the
Secretary's determination is consistent with the
regulations and standards prescribed under subsection
(a)(1).
``(B) Approvals.--In the case of a petition filed
under section 46110(a) to review a decision of the
Secretary that approves a proposal received from the
Corporation under subsection (c)(1), the court may
overturn the approval only upon a finding of clear
error or an abuse of discretion.
``(e) Compilation.--
``(1) Establishment.--The Corporation shall establish and
maintain a compilation of the policies and other materials
identified under subsection (a)(2).
``(2) Updates.--The Corporation shall update the compilation
each time a proposal described in subsection (c)(1)(B) is
approved.
``(3) Publication.--The Corporation shall make the
compilation available to the public.
``(f) Special Rules for Proposals Affecting Certain Airspace.--The
regulations and standards prescribed under subsection (a)(1) shall
include procedures (including advance submission of necessary
supporting data, analysis, and documentation) for the Secretary to
evaluate, at least 180 days before its submission under subsection
(c)(1), a proposal for an airspace change that would affect airspace
that is--
``(1) within an area designated as a `Metroplex' by the FAA
as of March 30, 2017;
``(2) within an area subject to a major, large-scale airspace
redesign project; or
``(3) adjacent to or containing special use airspace.
``(g) Exempted Airspace Actions.--The requirements of this section
shall not apply to--
``(1) temporary airspace actions directed by the
Administrator or Secretary;
``(2) airspace actions as described in section 90904; or
``(3) certain emergency circumstances, as defined by the
Secretary by regulation.
``(h) Delegation.--Notwithstanding section 90303(b), and except for
the process and procedures required by section 90703(b), the Secretary
may delegate safety oversight functions to the Administrator.
``Sec. 90502. Resolution of disputes concerning air traffic services
charges and fees
``(a) Authority To Request Secretary's Determination.--
``(1) In general.--The Secretary shall issue a determination
as to whether a charge or fee assessed by the Corporation for
the use of air traffic services in United States airspace or
international airspace delegated to the United States is
correct if a written complaint for such determination is filed
with the Secretary by an air traffic services user not later
than 60 days after the air traffic services user receives an
assessment or invoice from the Corporation.
``(2) Treatment of interest and penalties.--In this section,
the terms `charge' and `fee' include any interest and penalty
relating thereto.
``(b) Procedural Regulations.--At least 270 days before the date of
transfer, the Secretary shall publish in the Federal Register final
regulations, policy statements, or guidelines establishing the
procedures for acting upon written complaints filed under subsection
(a)(1) and requests of the Corporation pursuant to subsection (e)(3).
``(c) Determination of Correctness.--In determining under subsection
(a)(1) whether a charge or fee is correct, the Secretary shall
determine only if the charge or fee is consistent with approved charges
or fees pursuant to section 90313.
``(d) Decisions by Secretary.--The final regulations, policy
statements, or guidelines required in subsection (b) shall provide for
the following:
``(1) Not later than 90 days after an air traffic services
user files with the Secretary a written complaint relating to
an assessed or invoiced air traffic services charge or fee, the
Secretary shall issue a final order determining whether the
charge or fee is correct.
``(2) Not later than 30 days after such complaint is filed
with the Secretary, the Secretary shall dismiss the complaint
if no significant dispute exists or shall assign the matter to
an administrative law judge. Thereafter, the matter shall be
handled in accordance with part 302 of title 14, Code of
Federal Regulations, or as modified by the Secretary, to ensure
an orderly disposition of the matter within the 90-day period
referred to in paragraph (1) and any specifically applicable
provisions of this section.
``(3) The administrative law judge shall issue a recommended
decision not later than 45 days after the complaint is assigned
or within such shorter period as the Secretary may specify.
``(4) If the Secretary, upon the expiration of 90 days after
the filing of the complaint, has not issued a final order, the
decision of the administrative law judge shall be deemed to be
the final order of the Secretary.
``(5) Any party to the dispute may seek review of a final
order of the Secretary under this subsection in the Circuit
Court of Appeals for the District of Columbia Circuit or the
court of appeals in the circuit with venue.
``(6) Any findings of fact in a final order of the Secretary
under this subsection, if supported by substantial evidence,
shall be conclusive if challenged in a court pursuant to this
subsection. No objection to such a final order may be
considered by the court unless objection was urged before an
administrative law judge or the Secretary at a proceeding under
this subsection or, if not so urged, unless there were
reasonable grounds for failure to do so.
``(e) Payment Under Protest; Guarantee of Air Traffic Services User
Access.--
``(1) Payment under protest.--
``(A) In general.--Any charge or fee that is the
subject of a complaint that is not dismissed by the
Secretary shall be paid by the complainant air traffic
services user to the Corporation under protest.
``(B) Referral or credit.--Any amounts paid under
this subsection by a complainant air traffic services
user to the Corporation under protest shall be subject
to refund or credit to the air traffic services user in
accordance with directions in the final order of the
Secretary within 30 days of such order.
``(C) Timely repayment.--In order to ensure the
timely repayment, with interest, of amounts in dispute
determined not to be correct by the Secretary, the
Corporation shall obtain a letter of credit, or surety
bond, or other suitable credit facility, equal to the
amount in dispute that is due during the 90-day period
referred to in subsection (d)(1), plus interest, unless
the Corporation and the air traffic services user agree
otherwise.
``(D) Deadline.--The letter of credit, or surety
bond, or other suitable credit facility shall be
provided to the Secretary not later than 20 days after
the filing of the complaint and shall remain in effect
for 30 days after the issuance of a timely final order
by the Secretary determining whether such charge or fee
is correct.
``(2) Guarantee of air traffic services user access.--
Contingent upon an air traffic services user's compliance with
the requirements of paragraph (1) and pending the issuance of a
final order by the Secretary determining the correctness of a
charge or fee that is the subject of a complaint filed under
subsection (a)(1), the Corporation may not withhold air traffic
services as a means of enforcing the charge or fee.
``(3) Noncompliance.--Prior to the issuance of a final order
by the Secretary determining the correctness of a charge or fee
that is the subject of a complaint filed under subsection
(a)(1), if an air traffic services user does not comply with
the requirements of paragraph (1), the Corporation shall
withhold air traffic services from the user if the Corporation
requests and receives approval from the Secretary to withhold
air traffic services.
``Sec. 90503. International agreements and activities
``(a) Consistency With International Obligations and Laws of Other
Countries.--The Corporation shall provide air traffic services under
this subtitle in a manner that is consistent with any obligation
assumed by the United States in a treaty, convention, or agreement that
may be in force between the United States and a foreign country or
foreign countries or between the United States and an international
organization, and shall take into consideration any applicable laws and
requirements of foreign countries.
``(b) Prohibition.--The Corporation may not negotiate on behalf of or
otherwise represent the United States before any foreign government or
international organization.
``Sec. 90504. Availability of safety information
``(a) Safety Information.--The Corporation shall make available to
air traffic services users and the public--
``(1) the same type of safety information made available by
the FAA before the date of transfer;
``(2) any additional safety information needed by air traffic
services users to operate safely; and
``(3) any updates or revisions to the safety information
referred to in paragraphs (1) and (2).
``(b) Meteorological Services; Aeronautical Charts.--The Corporation
may provide for the dissemination of available aviation-related
meteorological information and aeronautical charts to air traffic
services users.
``Sec. 90505. Reporting of safety violations to FAA
``(a) In General.--In a manner, form, and process prescribed by the
Administrator, the Corporation shall report to the Administrator
complaints or instances of--
``(1) noncompliance with or deviations from air traffic
control clearances or instructions;
``(2) noncompliant operations in controlled airspace or
special use airspace; and
``(3) any other observed activities endangering persons or
property in the air or on the ground.
``(b) Assistance in Enforcement Actions.--The Corporation shall
provide necessary assistance in any enforcement action taken by the
Administrator resulting from a report of the Corporation or another
person or entity.
``(c) Statutory Construction.--This section may not be construed to
limit the authority of the Administrator to undertake enforcement
actions upon the Administrator's initiative.
``Sec. 90506. Insurance requirements
``The Corporation shall maintain adequate liability insurance
policies and coverages, as determined by the Secretary, including
complete indemnification of employees of the Corporation for acts
within the scope of employment.
``CHAPTER 907--GENERAL RIGHTS OF ACCESS TO AIRSPACE, AIRPORTS, AND AIR
TRAFFIC SERVICES VITAL FOR ENSURING SAFE OPERATIONS FOR ALL USERS
``Sec.
``90701. Access to airspace.
``90702. Access to airports.
``90703. Contract tower service after date of transfer.
``90704. Availability of safety information to general aviation
operators.
``90705. Special rules and appeals process for air traffic management
procedures, assignments, and classifications of airspace.
``90706. Definitions.
``Sec. 90701. Access to airspace
``The Secretary shall take such actions as are necessary to ensure
that an air traffic services user is not denied access to airspace or
air traffic services on the basis that the user is exempt from charges
and fees under section 90313.
``Sec. 90702. Access to airports
``In carrying out section 90501(c)(3), the Secretary shall determine
whether a proposal would materially reduce access to a public-use
airport, including a general aviation or rural airport.
``Sec. 90703. Contract tower service after date of transfer
``(a) Transfer of Contract Tower Agreements to Corporation.--In
carrying out section 91302(e), the Secretary shall take such actions as
are necessary to ensure that the Corporation assumes the contract and
other obligations associated with the operation of an air traffic
control tower that, prior to the date of transfer, was operated under a
contract pursuant to section 47124.
``(b) Special Rules for Proposals Relating to Operation of Contract
Towers.--
``(1) In general.--The regulations and standards prescribed
under section 90501(a)(1) shall include procedures for the
Secretary to evaluate, under section 90501(c), a proposal for
an airspace change, including an airspace reclassification,
that results from the proposed closure of a tower that is
operating under a contract with the Corporation and that, prior
to the date of transfer, was operated under a contract with the
Secretary pursuant to section 47124.
``(2) Procedures.--The procedures required pursuant to
paragraph (1) shall include--
``(A) the advance submission by the Corporation of
necessary supporting data, analysis, and documentation
related to--
``(i) the safety risk management assessment
of the proposed contract tower closure;
``(ii) an assessment of the impact of the
proposed closure on the operation of the
national airspace system;
``(iii) an assessment of the impact of the
proposed closure on local communities,
including with respect to air service;
``(iv) an assessment, in consultation with
the Secretary of Defense and the Secretary of
Homeland Security, as appropriate, of any
impact of the proposed closure on military
aviation readiness and training, homeland
security aviation operations, emergency
management and disaster aviation operations,
and law enforcement aviation operations; and
``(v) any other safety or operational
information the Secretary determines to be
necessary to understand the safety impact of
the proposed closure; and
``(B) a process to receive input from the public,
impacted air traffic services users, local communities,
and the airport operator of the airport where the
contract tower proposed to be closed is located.
``Sec. 90704. Availability of safety information to general aviation
operators
``In carrying out section 90504, the Corporation shall ensure that
the safety information referenced in that section is made available to
general aviation operators.
``Sec. 90705. Special rules and appeals process for air traffic
management procedures, assignments, and
classifications of airspace
``(a) In General.--If the Corporation proposes to modify, reduce,
decommission, or eliminate an air traffic service or air navigation
facility that would result in the loss of or material reduction in
access to a public-use airport or adjacent airspace for any class,
category, or type of aircraft or aircraft operation, as determined by
the Secretary, the Secretary shall designate an officer to issue a
notice in the Federal Register and establish a docket that includes--
``(1) a copy of the Corporation's proposal;
``(2) available data on the usage of the affected air traffic
service or air navigation facility;
``(3) an assessment of the designated officer on the effects
of the proposal; and
``(4) an assessment of the designated officer on any proposed
action to mitigate the loss of or material reduction in access
to the public-use airport or adjacent airspace.
``(b) Proceeding.--The designated officer shall provide an
opportunity for public comment on the proposal for a period of at least
60 days.
``(c) Decision.--Not later than 30 days after the last day of the
public comment period, the designated officer shall--
``(1) determine whether the proposal is in the public
interest, including whether any material reduction in access to
a public-use airport or adjacent airspace has been mitigated to
the maximum extent practicable; and
``(2) approve or disapprove the proposal on that basis.
``(d) Relationship to Other Requirements.--Notwithstanding section
90501(c), a proposal described in subsection (a)--
``(1) shall be subject to the process established in this
section; and
``(2) may not be implemented unless approved under this
section.
``(e) Appeals and Secretarial Review.--
``(1) Written petition for review.--A petition for an appeal
of a decision of the designated officer under subsection (c)
shall be submitted in writing to the Secretary not later than
30 days after the date of the decision.
``(2) Secretarial review.--The Secretary shall review and
make a determination with respect to a timely filed petition
under paragraph (1) not later than 30 days after the date of
receipt of the petition.
``(f) Decisional Standards.--In making a determination under this
section, neither the Secretary nor the designated officer may consider
any factor not directly germane to--
``(1) the safe operation or navigation of an aircraft; or
``(2) the sufficiency of mitigation efforts related to a
material reduction in access to a public-use airport or
adjacent airspace.
``(g) Judicial Review.--
``(1) In general.--Any determination made by the Secretary
under subsection (e)(2) shall be subject to judicial review
pursuant to subsections (a), (b), (d), and (e) of section
46110.
``(2) Standard of review.--
``(A) Disapprovals.--In the case of a petition filed
under section 46110(a) to review a determination of the
Secretary that disapproves a proposal, the court shall,
without deference to the Secretary's determination,
review de novo the record to determine if the
Secretary's determination is in the public interest.
``(B) Approvals.--In the case of a petition filed
under section 46110(a) to review a determination of the
Secretary that approves a proposal, the court may
overturn the approval only upon a finding of clear
error or an abuse of discretion.
``Sec. 90706. Definitions
``In this chapter, the following definitions apply:
``(1) Material reduction.--The term `material reduction'
means, with respect to access to a public-use airport,
including a general aviation or rural airport, a materially
diminished ability to safely operate or navigate to or from the
airport or adjacent airspace during a time of day, weather
condition, or season of the year.
``(2) Rural airport.--The term `rural airport' means a
public-use airport located in a rural area (as that term is
defined in section 520 of the Housing Act of 1949 (42 U.S.C.
1490)).
``CHAPTER 909--CONTINUITY OF AIR TRAFFIC SERVICES TO DEPARTMENT OF
DEFENSE AND OTHER PUBLIC AGENCIES
``Sec.
``90901. Continuity of air traffic services provided by Department of
Defense.
``90902. Military and other public aircraft exempt from user fees.
``90903. Air traffic services for Federal agencies.
``90904. Emergency powers of Armed Forces.
``90905. Adherence to international agreements related to operations of
Armed Forces.
``90906. Primacy of Armed Forces in times of war.
``90907. Cooperation with Department of Defense and other Federal
agencies after date of transfer.
``Sec. 90901. Continuity of air traffic services provided by Department
of Defense
``After the date of transfer, the Department of Defense, as directed
by the President, is authorized and permitted to provide air traffic
services within United States airspace and international airspace
delegated to the United States.
``Sec. 90902. Military and other public aircraft exempt from user fees
``The Corporation may not impose charges or fees for operations of
aircraft owned or operated by the Armed Forces or other aircraft that
qualify as public aircraft under sections 40102(a) and 40125.
``Sec. 90903. Air traffic services for Federal agencies
``Before the date of transfer, the Secretary shall establish
processes, requirements, procedures, and regulations and take any other
measure necessary, consistent with the purposes of this subtitle, to
ensure that all United States Government activities supported by the
FAA's operation of air traffic services as of the date of transfer
receive support from the Corporation after the date of transfer and on
an ongoing basis.
``Sec. 90904. Emergency powers of Armed Forces
``The requirements of section 90501 shall not apply to airspace
actions necessitated by an exercise of authority under section 40106.
``Sec. 90905. Adherence to international agreements related to
operations of Armed Forces
``In carrying out section 90503, the Corporation shall ensure that
the obligations described in that section include obligations related
to operations of the Armed Forces.
``Sec. 90906. Primacy of Armed Forces in times of war
``The President may make temporary transfers to the Secretary of
Defense pursuant to section 40107(b).
``Sec. 90907. Cooperation with Department of Defense and other Federal
agencies after date of transfer
``At least 1 year prior to the date of transfer, the Corporation, the
Department of Transportation, and each Federal department or agency
supported by the FAA's operation of air traffic services, including the
Armed Forces, shall enter into a tripartite agreement to--
``(1) ensure cooperation between the Corporation and the
department or agency on the delivery of air traffic services;
``(2) facilitate the safe provision of air traffic services
to the department or agency; and
``(3) address how the Corporation and the department or
agency will coordinate and communicate on the day-to-day
operations of the national airspace system.
``CHAPTER 911--EMPLOYEE MANAGEMENT
``Sec.
``91101. Definitions.
``91102. Employee management and benefits election.
``91103. Labor and employment policy.
``91104. Bargaining units.
``91105. Recognition of labor organizations.
``91106. Collective-bargaining agreements.
``91107. Collective-bargaining dispute resolution.
``91108. Potential and pending grievances, arbitrations, and
settlements.
``91109. Prohibition on striking and other activities.
``91110. Legal action.
``Sec. 91101. Definitions
``In this chapter, the following definitions apply:
``(1) Agency.--The term `Agency' means, as the context
requires, the Department of Transportation or the FAA.
``(2) Air traffic controller.--
``(A) In general.--The term `air traffic controller'
means an employee of the Corporation who, in an air
traffic control facility or flight service station
facility--
``(i) is actively engaged--
``(I) in the separation and control
of air traffic; or
``(II) in providing preflight,
inflight, or airport advisory service
to aircraft operators; or
``(ii) is the immediate supervisor of any
employee described in clause (i).
``(B) Limitation.--Notwithstanding subparagraph (A),
the definition of `air traffic controller' for purposes
of section 8336(e) of chapter 83 of title 5 and section
8412(e) of chapter 84 of such title shall mean only
employees actively engaged in the separation of air
traffic and the immediate supervisors of such
employees, as set forth in section 8331(30) of such
title, and section 8401(35) of such title.
``(3) Authority.--The term `Authority' means the Federal
Labor Relations Authority, as described in section 7104(a) of
title 5.
``(4) Service.--The term `Service' means the Federal
Mediation and Conciliation Service established by section 202
of the Labor Management Relations Act, 1947 (29 U.S.C. 172).
``Sec. 91102. Employee management and benefits election
``(a) Authority of CEO.--
``(1) In general.--Except as otherwise provided by law, the
CEO shall classify and fix the compensation and benefits of
employees in the Corporation.
``(2) Negotiations.--In developing, making changes to, and
implementing wages, hours, and other terms and conditions of
employment, including when establishing the compensation and
benefits program under section 90316(c), the Corporation shall
negotiate with exclusive representatives recognized under
section 91105.
``(3) Before date of transfer.--For purposes of paragraph
(2), before the date of transfer, the term `exclusive
representatives recognized under section 91105' shall refer to
labor organizations recognized under section 7111 of title 5 as
exclusive representatives of FAA employees.
``(b) Former Federal Employees.--
``(1) Federal retirement benefits.--
``(A) Election of retirement benefits.--At least 90
days before the date of transfer, an employee
transferring to the Corporation who will be subject to
either the Civil Service Retirement System under
chapter 83 of title 5 (in this section referred to as
`CSRS') or the Federal Employees Retirement System
under chapter 84 of title 5 (in this section referred
to as `FERS') on the day immediately preceding the date
of transfer shall elect either to--
``(i) retain the employee's coverage under
either CSRS or FERS, as applicable, in lieu of
coverage by the Corporation's employee benefits
system established under section 90316(c); or
``(ii) receive a deferred annuity, lump-sum
benefit, or any other benefit available to the
employee under CSRS or FERS, in the same manner
that would have been available to the employee
if the employee had voluntarily separated from
Federal employment on the day before the date
of transfer.
``(B) Thrift savings plan accounts.--An employee who
makes the election under subparagraph (A)(ii) shall
have the option to transfer the balance in the
employee's Thrift Savings Plan account to the plan
under the Corporation's retirement system, consistent
with applicable law and the terms of the Corporation's
plan.
``(C) Periodic election.--The Corporation shall
provide for periodic election seasons during which an
employee who transferred to the Corporation on the date
of transfer may become eligible for retirement benefits
under the Corporation's employee benefits system
established under section 90316(c) by making an
election under subparagraph (A)(ii).
``(D) Continuity of annuitant benefits.--
Notwithstanding any other provision of law, any
individual who is receiving an annuity under chapter 83
or chapter 84 of title 5 may continue to receive such
annuity while employed by the Corporation.
``(E) High-3 determination.--With respect to any
employee who retains CSRS or FERS coverage pursuant to
subparagraph (A), such employee's basic pay while with
the Corporation shall be included in any determination
of such employee's average pay under section 8331(4) or
8401(3), as the case may be, of title 5 when
calculating the annuity (if any) of such employee. For
purposes of this section, an employee's basic pay shall
be defined as such employee's total annual salary or
wages from the Corporation, including any location-
based adjustment.
``(2) Payments to civil service retirement and disability
fund.--For employees of the Corporation who elect to retain
their coverage under either CSRS or FERS pursuant to paragraph
(1), the Corporation shall only be required to pay to the Civil
Service Retirement and Disability Fund--
``(A) such employee deductions and agency
contributions as are required by sections 8334, 8422,
and 8423 of title 5; and
``(B) such additional amounts, not to exceed 2
percent of the amounts under subparagraph (A), as are
determined necessary by the Office of Personnel
Management to pay the cost of administering retirement
benefits for employees who retire from the Corporation
after the date of transfer under either CSRS or FERS,
for their survivors, and for survivors of employees of
the Corporation who die after the date of transfer
(which amounts shall be available to the Office of
Personnel Management as provided in section
8348(a)(1)(B) of title 5).
``(3) Thrift savings fund.--The Corporation shall pay to the
Thrift Savings Fund such employee and agency contributions as
are required by section 8432 of title 5 for employees who elect
to retain their coverage under FERS pursuant to paragraph (1).
``(4) Health benefits plan election.--Any employee of the
Corporation who was subject to the Federal Employees Health
Benefits Program under chapter 89 of title 5 (in this section
referred to as `FEHBP') on the day immediately preceding the
date of transfer shall have the option to receive health
benefits from a health benefit plan established by the
Corporation under section 90316(c) or to continue coverage
under FEHBP without interruption.
``(5) Payments to employees health benefits fund.--For
employees of the Corporation who elect to retain their coverage
under FEHBP pursuant to paragraph (4), the Corporation shall
pay to the Employees Health Benefits Fund--
``(A) such employee deductions and agency
contributions as are required by subsections (a)
through (f) of section 8906 of title 5; and
``(B) such amounts as are determined necessary by the
Office of Personnel Management under paragraph (6) to
reimburse the Office of Personnel Management for
contributions under section 8906(g)(1) of title 5.
``(6) Reimbursement amounts.--The amounts required to be paid
by the Corporation under paragraph (5)(B) shall be equal to the
amount of Government contributions for retired employees who
retire from the Corporation after the date of transfer under
either CSRS or FERS, for survivors of such retired employees,
and for survivors of employees of the Corporation who die after
the date of transfer, with said amounts prorated to reflect
only that portion of the total service of such employees and
retired persons that was performed for the Corporation after
the date of transfer.
``(7) Additional benefits.--Subject to the provisions of this
chapter, any employee of the Corporation who was subject to the
provisions of subchapter I of chapter 85 (concerning
unemployment compensation) and chapters 87 (concerning life
insurance), 89A (concerning enhanced dental benefits), and 89B
(concerning enhanced vision benefits) of title 5 shall have the
option to continue coverage under such provisions without
interruption in lieu of applicable coverage by the
Corporation's employee benefits system established under
section 90316(c). The Corporation shall withhold from pay, and
shall make contributions, under the provisions of title 5
referred to in this subsection at the same rates applicable to
agencies of the Federal Government for such employees.
``(8) Workers compensation.--Officers and employees of the
Corporation shall be covered by, and shall be considered
employees for purposes of, subchapter I of chapter 81 of title
5 (concerning compensation for work injuries). The Corporation
shall make contributions to the Employees' Compensation Fund
under the provisions of section 8147 of title 5 at the same
rates applicable to agencies of the Federal Government.
``(9) Non-foreign area.--To the extent consistent with law,
the Non-Foreign Area Retirement Equity Assurance Act of 2009
shall apply to officers and employees of the Corporation
transferred under section 90316.
``(10) Transfer of leave.--Sick and annual leave, credit
hours, and compensatory time of officers and employees of the
Corporation, whether accrued before or after the date of
transfer, shall be obligations of the Corporation under the
provisions of this chapter.
``(11) Whistleblower protection.--Neither the Corporation,
nor any officer or employee of the Corporation, may take any
action described in subsection (b)(8), (b)(9), or (b)(13), or
the final paragraph of subsection (b), of section 2302 of title
5 (relating to whistleblower protection).
``Sec. 91103. Labor and employment policy
``(a) Application of Chapter 71 of Title 5.--To the extent not
inconsistent with this chapter, labor-management relations shall be
subject to the provisions of chapter 71 of title 5, provided that the
obligation of the Corporation and an exclusive bargaining
representative recognized under section 91105 to bargain collectively
in good faith over conditions of employment shall mean to bargain over
the same wages, hours, and other terms and conditions of employment as
are negotiable under section 8(d) of the Act of July 5, 1935, as
amended (29 U.S.C. 158(d)), and without application of section
7103(a)(14) of title 5 and section 7117 of title 5, which shall not
apply.
``(b) Applicability.--To the limited extent necessary for the
implementation of this chapter, the Corporation shall have the rights
and obligations of an agency under chapter 71 of title 5.
``(c) Application of Fair Labor Standards Act.--The provisions of the
Fair Labor Standards Act of 1938 (29 U.S.C. 201 et seq.) shall apply to
the Corporation and to its officers and employees.
``(d) Reporting and Disclosure.--The provisions of the Labor-
Management Reporting and Disclosure Act of 1959 (29 U.S.C. 401 et seq.)
shall be applicable to labor organizations that have or are seeking to
attain recognition under section 91105, and to such organizations'
officers, agents, shop stewards, other representatives, and members.
``(e) Right To Collectively Bargain.--Each employee of the
Corporation shall have the right, freely and without fear of penalty or
reprisal, to form, join, and assist a labor organization or to refrain
from any such activity, and each employee shall be protected in the
exercise of this right. Such right shall include the right to engage in
collective bargaining with respect to the same wages, hours, and other
terms and conditions of employment as are negotiable under section 8(d)
of the Act of July 5, 1935, as amended (29 U.S.C. 158(d)).
``Sec. 91104. Bargaining units
``(a) In General.--Pursuant to section 7112 of title 5 and subject to
the requirements of this chapter, the Authority shall decide in each
case the unit appropriate for collective bargaining with the
Corporation.
``(b) Previously Certified Units.--Notwithstanding subsection (a),
the Authority may not adopt, certify, or decide upon bargaining units
that include employees in bargaining units previously certified by the
Authority that are smaller in geographic scope than such previously
certified bargaining units, unless the Authority finds by compelling
evidence that such previously certified units would not, absent
modification, remain units appropriate for collective bargaining with
the Corporation.
``(c) Other Units.--
``(1) Previous certifications.--Notwithstanding subsection
(a) or (b), the Authority shall not recognize or certify any
bargaining unit different than the bargaining units previously
certified by the Authority prior to the date described in
section 91105(g).
``(2) Supervisors and management officials.--Notwithstanding
section 7135(a)(2) of title 5, a bargaining unit may not
include, or be modified to include, any supervisor or
management official, as those terms are defined in section
7103(a) of title 5.
``Sec. 91105. Recognition of labor organizations
``(a) Application of Chapter 71 of Title 5.--To the extent not
inconsistent with this chapter, section 7111 of title 5 shall apply to
the recognition and certification of labor organizations for the
employees of the Corporation and the Corporation shall accord exclusive
recognition to and bargain collectively with a labor organization when
the organization has been selected by a majority of the employees in an
appropriate unit as their representative.
``(b) Recognition of Exclusive Representative.--Notwithstanding
subsection (a), each labor organization that, immediately before the
date of transfer, was recognized as the exclusive representative for a
bargaining unit of employees of the Agency shall be deemed to be
recognized on the date of transfer or thereafter as the exclusive
representative for those employees of the Corporation in the same or
similar bargaining unit unless another representative for a bargaining
unit of employees is certified pursuant to section 7111 of title 5 and
this section.
``(c) Expiration of Term.--Every collective-bargaining agreement or
arbitration award that applies to an employee of the Agency and that is
in force immediately before the date of transfer continues in force
until its term expires. To the extent that the Corporation assumes the
functions and responsibilities that, prior to the date of transfer,
were conducted by the Agency, agreements and supplements (including any
arbitration award, as applicable) covering employees of the Agency that
are in effect on the date of transfer shall continue to be recognized
by and binding on the Corporation, the bargaining representative, and
all covered employees until altered or amended pursuant to law. Any
agreement, supplement, or arbitration award continued by this section
is deemed to be an agreement, supplement, or arbitration award binding
on the Corporation, the bargaining representative, and all covered
employees for purposes of this chapter and title 5.
``(d) Limitation on Application.--Notwithstanding section 91103,
sections 7106 and 7113 of title 5 shall not apply to this chapter.
``(e) Continuation of Bargaining.--If an exclusive representative and
the Agency are engaged in bargaining (whether concerning a collective-
bargaining agreement, issues related to the transfer of functions and
responsibilities from the Agency to the Corporation, or otherwise)
prior to the date of transfer, such bargaining shall continue between
the exclusive representative and the Corporation, and the Corporation
shall be bound by any commitments made during bargaining by the Agency.
``(f) Statutory Construction.--Nothing in this section may be
construed to prohibit the waiving of hearings by stipulation for the
purpose of a consent election in conformity with regulations and rules
of decision of the Authority.
``(g) Limitation.--Notwithstanding any other provision of this
chapter or any provision of title 5, no bargaining unit or part of a
bargaining unit consisting of employees of the Corporation represented
by a labor organization pursuant to subsection (b) may be reviewed,
rescinded, amended, altered, or varied, other than--
``(1) to include in the unit any employees who are not
represented by a labor organization, or
``(2) to merge bargaining units that are represented by the
same labor organization,
before the first day of the last 3 months of the first collective
agreement entered into after the date of transfer that applies to those
employees and that has resulted from collective bargaining between such
labor organization and the Corporation.
``(h) Deduction.--
``(1) In general.--Notwithstanding section 91103, section
7115 of title 5 shall not apply to this chapter.
``(2) Dues.--When a labor organization holds exclusive
recognition, the Corporation shall deduct the regular and
periodic dues, initiation fees, and assessments (not including
fines and penalties) of the organization from the pay of all
members of the organization in the unit of recognition if the
Corporation (or, before the date of transfer, the Agency) has
received from each employee, on whose account such deductions
are made, a written assignment which shall be irrevocable for a
period of not more than 1 year.
``(3) Continuation.--Any agreement described in subsection
(c) that provides for deduction by the Agency of the regular
and periodic dues, initiation fees, and assessments (not
including fines and penalties) of the labor organization from
the pay of its members shall continue in full force and effect
and the obligation for such deductions shall be assumed by the
Corporation. No such deduction may be made from the pay of any
employee except on the employee's written assignment, which
shall be irrevocable for a period of not more than 1 year.
``Sec. 91106. Collective-bargaining agreements
``(a) In General.--Except as provided under section 91105(c),
collective-bargaining agreements between the Corporation and bargaining
representatives shall be effective for not less than 2 years.
``(b) Procedures.--Collective-bargaining agreements between the
Corporation and bargaining representatives recognized under section
91105 may include procedures for resolution by the parties of
grievances and adverse actions arising under the agreement, including
procedures culminating in binding third-party arbitration, or the
parties may adopt such procedures by mutual agreement in the event of a
dispute. Such procedures shall be applicable to disputes arising under
section 91109.
``(c) Limitation on Application.--Notwithstanding section 91103,
section 7121(c) of title 5 shall not apply to this chapter.
``(d) Dispute Resolution Procedures.--The Corporation and bargaining
representatives recognized under section 91105 may by mutual agreement
adopt procedures for the resolution of disputes or impasses arising in
the negotiation of a collective-bargaining agreement.
``Sec. 91107. Collective-bargaining dispute resolution
``(a) Resolution of Disputes.--
``(1) In general.--If, prior to 90 days after the expiration
of the term collective-bargaining agreement or 90 days after
the parties begin mid-term negotiations, the Corporation and
the exclusive bargaining representative of the employees of the
Corporation (in this section referred to collectively as the
`parties') do not reach an agreement under sections 7114(a)(1),
7114(a)(4), and 7114(b) of title 5 (as such sections apply to
the Corporation under this chapter), or section 91106(d) of
this chapter, the Corporation and the bargaining representative
shall use the mediation services of the Service to attempt to
reach such agreement in accordance with part 1425 of title 29,
Code of Federal Regulations (as in effect on the date of
enactment of this subtitle).
``(2) Mediation period.--The mediation period under paragraph
(1) may not exceed 60 days unless extended by written agreement
of the parties.
``(b) Binding Arbitration for Term Bargaining.--
``(1) Three member private arbitration board.--If the
mediation services of the Service under subsection (a)(1) do
not lead to the resolution of issues in controversy arising
from the negotiation of a term collective-bargaining agreement,
the parties shall submit their issues in controversy to a
private arbitration board consisting of 3 members.
``(2) Appointment of arbitration board.--
``(A) Preparation of list of arbitrators.--The
Director of the Service shall provide for the
appointment of the 3 members of an arbitration board
by--
``(i) preparing a list of not fewer than 15
names of arbitrators of nationwide reputation
and professional stature with at least 20 years
of experience in labor-management arbitration
and considerable experience in interest
arbitration in major industries; and
``(ii) providing the list to the parties.
``(B) Selection of arbitrators by parties.--Not later
than 10 days after receiving a list of names under
subparagraph (A), the parties shall each select one
arbitrator. The arbitrators selected by the parties do
not need to be arbitrators whose names appear on the
list.
``(C) Selection of third arbitrator.--Not later than
7 days after the date on which the 2 arbitrators are
selected by the parties under subparagraph (B), the 2
arbitrators, acting jointly, shall select a third
person from the list prepared under subparagraph (A).
``(D) Failure to act.--If either of the parties fails
to select a person or if the 2 arbitrators are unable
to agree on the third person in 7 days, the parties
shall make the selection by alternately striking names
on the list prepared under subparagraph (A), beginning
with the party chosen on a random basis, until one
arbitrator remains.
``(3) Framing issues in controversy.--If the parties do not
agree on the framing of the issues to be submitted for
arbitration, the arbitration board shall frame the issues.
``(4) Hearings.--The arbitration board shall give the parties
a full and fair hearing, including an opportunity to present
evidence and witnesses in support of their claims and an
opportunity to present their case in person, by counsel, or by
other representative as they may elect.
``(5) Decisions.--The arbitration board shall render its
written decision not later than 90 days after the date of its
appointment. Decisions of the arbitration board shall be
conclusive and binding upon the parties.
``(6) Evidence.--The arbitration board shall consider and
afford the proper weight to all of the evidence presented by
the parties.
``(7) Costs.--The parties shall share costs of the
arbitration equally.
``(c) Ratification of Agreements.--Upon reaching a voluntary
agreement or at the conclusion of the binding arbitration under
subsection (b), the final agreement, except for those matters decided
by a private arbitration board, shall be--
``(1) subject to ratification by the exclusive bargaining
representative of the employees, if so requested by the
bargaining representative; and
``(2) subject to approval by the head of the Corporation in
accordance with section 7114(c) of title 5.
``(d) Mid-Term Bargaining.--
``(1) Preparation of list of arbitrators.--If the mediation
services of the Service under subsection (a) do not lead to the
resolution of issues in controversy arising from the
negotiation of a mid-term collective-bargaining agreement, the
Director shall provide the parties a list of not fewer than 10
names of arbitrators of nationwide reputation and professional
stature with at least 20 years of experience in labor-
management arbitration and considerable experience in interest
arbitration in major industries.
``(2) Selection of arbitrator.--The parties shall alternately
strike names on the list, beginning with the party chosen on a
random basis, until one arbitrator remains.
``(3) Decision.--The arbitrator shall hold a hearing, and not
later than 90 days after date of the appointment of the
arbitrator, issue a written decision resolving the issues in
controversy. The decision shall be conclusive and binding upon
the parties.
``(e) Enforcement.--To enforce this section, either party may bring
suit in the United States District Court for the District of Columbia,
which shall hear and resolve the enforcement action on an expedited
basis.
``(f) Application.--Notwithstanding section 91103(a), section 7119 of
title 5 shall not apply to this chapter.
``Sec. 91108. Potential and pending grievances, arbitrations, and
settlements
``(a) In General.--The Corporation is deemed to be the employer
referred to in any agreement or supplement referred to in section
91105(c) for the purpose of any arbitration proceeding or arbitration
award. Any agreement concerning any employee that resolves a potential
or filed grievance that is binding on the Agency shall, to the extent
that the employee becomes an employee of the Corporation, become
binding on the Corporation.
``(b) Existing Binding Agreements.--Any agreement or supplement
referred to in section 91105(c) is binding on--
``(1) the Corporation as if it were the employer referred to
in such agreement or supplement;
``(2) the bargaining representative that is a party to the
agreement or supplement; and
``(3) the employees of the Corporation in the bargaining unit
with respect to whom that bargaining representative has been
certified.
``(c) Jurisdiction.--Subject to section 91103, the Authority shall
retain jurisdiction over all matters arising before the date of
transfer in relation to the interpretation and application of any
agreement or supplement referred to in section 91105(c), whether or not
such agreement or supplement has expired.
``(d) Existing Grievances or Arbitrations.--Grievances or
arbitrations that were filed or commenced before the date of transfer
with respect to any agreement or supplement referred to in section
91105(c) shall be continued as though the Corporation were the employer
referred to in the agreement or supplement.
``(e) Proceedings After Date of Transfer.--Where events giving rise
to a grievance under any agreement or supplement referred to in section
91105(c) occurred before the date of transfer but the proceedings had
not commenced before that date, the proceedings may be commenced on or
after the date of transfer in accordance with such agreement or
supplement as though the Corporation were the employer referred to in
such agreement or supplement.
``(f) Actions Deemed To Be by Corporation.--For the purposes of
subsections (c), (d), and (e), anything done, or not done, by the
Agency is deemed to have been done, or to have not been done, as the
case may be, by the Corporation.
``(g) Exceptions to Arbitral Awards.--
``(1) In general.--Notwithstanding section 91103, section
7122 of title 5 shall not apply to this chapter.
``(2) Actions to vacate.--Either party to grievance
arbitration under this chapter may file an action pursuant to
section 91110(a) to enforce the arbitration process or to
vacate or enforce an arbitration award. An arbitration award
may only be vacated on the grounds, and pursuant to the
standards, that would be applicable to an action to vacate an
arbitration award brought in the Federal courts under section
301 of the Labor Management Relations Act, 1947 (29 U.S.C.
185).
``Sec. 91109. Prohibition on striking and other activities
``(a) In General.--Employees of the Corporation are prohibited from--
``(1) participating in a strike, work stoppage, or slowdown
against the Corporation; or
``(2) picketing the Corporation in a labor-management dispute
if such picketing interferes with the Corporation's operations.
``(b) Termination.--An employee who participates in an activity
described in subsection (a) shall be terminated from employment with
the Corporation.
``Sec. 91110. Legal action
``(a) In General.--Consistent with the requirements of section 90315,
actions to enforce the arbitration process or vacate or enforce an
arbitral award under section 91108(g)(2) between the Corporation and a
labor organization representing Corporation employees, or between any
such labor organizations, may be brought in any district court of the
United States having jurisdiction of the parties, without respect to
the amount in controversy.
``(b) Authorized Acts.--A labor organization recognized under section
91105 and the Corporation shall be bound by the authorized acts of
their agents. Any labor organization may sue or be sued as an entity
and on behalf of the employees whom it represents in the courts of the
United States. Any money judgment against a labor organization in a
district court of the United States shall be enforceable only against
the organization as an entity and against its assets, and shall not be
enforceable against any individual member or his assets.
``(c) Jurisdiction.--Under this subtitle, for the purposes of actions
and proceedings by or against labor organizations in the district
courts of the United States, district courts shall be deemed to have
jurisdiction of a labor organization--
``(1) in the district in which such organization maintains
its principal offices; or
``(2) in any district in which its duly authorized officers
or agents are engaged in representing or acting for employee
members.
``(d) Summons or Subpoena.--The service of summons, subpoena, or
other legal process of any court of the United States upon an officer
or agent of a labor organization, in his capacity as such, shall
constitute service upon the labor organization.
``CHAPTER 913--OTHER MATTERS
``Sec.
``91301. Termination of Government functions.
``91302. Savings provisions.
``Sec. 91301. Termination of Government functions
``Except as otherwise provided in this subtitle, whenever any
function vested by law in the Secretary, Administrator, Department of
Transportation, or FAA has been transferred to the Corporation pursuant
to this subtitle, it shall no longer be a function of the Government.
``Sec. 91302. Savings provisions
``(a) Completed Administrative Actions.--
``(1) In general.--Completed administrative actions of the
Department of Transportation or the FAA shall not be affected
by the enactment of this subtitle, but shall continue in effect
according to their terms until amended, modified, superseded,
terminated, set aside, or revoked in accordance with law.
``(2) Completed administrative action defined.--In paragraph
(1), the term `completed administrative action' includes
orders, determinations, rules, regulations, personnel actions,
permits, agreements, grants, contracts, certificates, licenses,
registrations, and privileges.
``(b) Continued Effectiveness of Pending Actions.--
``(1) Pending actions and proceedings.--The provisions of
this subtitle shall not affect any proceedings of the
Department of Transportation or the FAA pending on the date of
transfer, including--
``(A) notices of proposed rulemaking related to
activities of the FAA, without regard to whether the
activities are transferred to the Corporation; and
``(B) an application for a license, a permit, a
certificate, or financial assistance pending on the
date of transfer before the Department of
Transportation or the FAA, or any officer thereof, with
respect to activities of the Department or the FAA,
without regard to whether the activities are
transferred to the Corporation.
``(2) Effect of orders.--Orders issued in any proceedings
referred to in paragraph (1) shall continue in effect until
modified, terminated, superseded, or revoked in accordance with
law. Nothing in this subsection prohibits the discontinuance or
modification of any such proceeding under the same terms and
conditions and to the same extent that such proceeding could
have been discontinued or modified if this subtitle had not
been enacted.
``(c) Continued Effectiveness of Administrative and Judicial
Actions.--No causes of action or actions by or against the Department
of Transportation or the FAA arising from acts or omissions occurring
before the date of transfer shall abate by reason of the enactment of
this subtitle.
``(d) Substitution or Addition of Parties to Judicial Actions.--
Except as provided by subsection (e)(2), if, on the date of transfer,
the Department of Transportation or the FAA, or any officer thereof in
the officer's capacity, is a party to an action and, under this
subtitle, the performance of that activity of the Department, FAA, or
officer is transferred to the Corporation, such action shall be
continued with the CEO substituted or added as a party.
``(e) Air Traffic Services Liabilities and Obligations.--
``(1) Assumption of obligations.--Except as provided in
paragraph (2), the Corporation shall assume--
``(A) all obligations (tangible and incorporeal,
present, and executory) associated with the air traffic
services transferred under this subtitle on the date of
transfer, including leases, permits, licenses,
contracts, agreements, accounts receivable, and
accounts payable; and
``(B) all claims and liabilities associated with the
air traffic services transferred under this subtitle
pending on the date of transfer.
``(2) Claims and actions that remain liabilities of united
states.--
``(A) Claims and actions arising in tort.--All claims
and actions arising in tort pending on the date of
transfer and arising out of the alleged acts or
omissions of employees of the FAA who transfer to the
Corporation shall remain liabilities of the United
States.
``(B) Contingent liabilities.--All contingent
liabilities existing on the date of transfer shall
remain with the United States, including (without
limitation) environmental and intellectual property
infringement claims.
``(C) Other claims and liabilities.--All other claims
and liabilities arising out of the alleged acts or
omissions of the United States before the date of
transfer (including those arising under an agreement
referred to in section 91105(c)) whose remedy is
financial or monetary in nature shall remain
liabilities of the United States.
``(D) Access of federal representatives to employees
and records.--The Secretary shall ensure that, before
the date of transfer, the Corporation has agreed to
allow representatives of the Secretary and the Attorney
General such access as they may require to employees
and records of the Corporation for all purposes
relating to the handling of such claims under this
paragraph.
``CHAPTER 915--CONGRESSIONAL OVERSIGHT OF AIR TRAFFIC SERVICES PROVIDER
``Sec.
``91501. Inspector General reports to Congress on transition.
``91502. State of air traffic services.
``91503. Submission of annual financial report.
``91504. Submission of strategic plan.
``91505. Submission of annual action plan.
``Sec. 91501. Inspector General reports to Congress on transition
``(a) In General.--Before the date of transfer, the Inspector General
of the Department of Transportation shall submit regular reports to
Congress on the progress of the preparation of the Department of
Transportation and of the Corporation for the transfer of operational
control of air traffic services under this subtitle.
``(b) Timing.--The reports described in subsection (a) shall be
submitted, at a minimum, on a quarterly basis until the date of
transfer.
``(c) Sunset.--This section shall expire on the date of transfer.
``(d) Statutory Construction.--Nothing in this section may be
construed to limit the authority of the Inspector General of the
Department of Transportation to conduct oversight of the Department of
Transportation's interactions with the Corporation after the date of
transfer.
``Sec. 91502. State of air traffic services
``(a) Report.--Not later than 2 years after the date of transfer, and
on or before March 31 of every second year beginning thereafter--
``(1) the Corporation shall submit to the Secretary a report
on the state of air traffic services; and
``(2) the Secretary shall submit the report to Congress.
``(b) Contents.--The report shall include, as appropriate,
information on--
``(1) access to airports and services for all users,
including access with respect to rural areas;
``(2) charges and fees, safety, and areas in which the
Corporation has identified efficiencies in the system,
including staffing and facilities realignment or consolidation;
``(3) the safe, fair, and timely provision of air traffic
services by the Corporation;
``(4) the sound operation of the Corporation and the impact
of any activities of the Corporation on United States airspace;
``(5) the cooperation and interaction of the Corporation with
the Department of Defense, the Department of Transportation,
the FAA, and other Federal departments and agencies, including
any agreements between the Corporation and those departments
and agencies;
``(6) compliance of the Corporation with United States
obligations under international treaties and agreements;
``(7) compliance of the Corporation with Federal safety,
environmental, corporate, and tax laws and regulations;
``(8) compliance of the Corporation with Federal laws related
to employees of the Corporation;
``(9) follow-up on Inspector General and Government
Accountability Office audits, investigations, and reports
involving the Corporation, including any recommendations
included in such reports;
``(10) compliance of the Corporation with other Federal
requirements, including requirements relating to public
disclosure, publication of fees, annual reporting, and
establishment of the Advisory Board and other committees;
``(11) actions and activities of the CEO and Board and their
adherence to their duties and responsibilities;
``(12) compliance of the Corporation with requirements
related to rural, remote, and small community air traffic
services;
``(13) compliance of the Corporation with requirements
related to claims of incorrect fees and resolution of fee
disputes;
``(14) compliance of the Corporation with requirements to
report safety violations to the FAA, cooperate with FAA
investigations, and assist in FAA enforcement actions;
``(15) actions in times of emergencies and times of war;
``(16) progress made by the Corporation in implementing
system modernization efforts and ongoing capital investments,
plans of the Corporation for next steps in implementing such
efforts and investments, current efficiencies and benefits of
previously implemented systems improvements, and current needs
for improvement; and
``(17) such other matters as the Secretary, in consultation
with the Administrator, determines appropriate.
``Sec. 91503. Submission of annual financial report
``(a) Annual Financial Report.--
``(1) In general.--Not later than 1 year after the date of
transfer, and annually thereafter, the Corporation shall
publish a report on the activities of the Corporation during
the prior year.
``(2) Contents; availability.--The annual report shall
contain financial and operational performance information
regarding the Corporation, as well as information on the
compensation (including bonuses and other financial incentives)
of each Director, the CEO, and officers of the Corporation, and
shall be made publicly available.
``(3) Propriety information.--The Corporation shall ensure
that any propriety information that may be contained in the
annual report is not made public.
``(b) Submission.--Each year, on the date the annual report required
pursuant to subsection (a) is published--
``(1) the Corporation shall submit the report to the
Secretary; and
``(2) the Secretary shall submit the report to Congress.
``Sec. 91504. Submission of strategic plan
``(a) Submission of Strategic Plan.--Not later than 15 days after the
initial strategic plan is approved by the Board pursuant to section
90308(c)--
``(1) the Corporation shall submit the strategic plan to the
Secretary; and
``(2) the Secretary shall submit the strategic plan to
Congress.
``(b) Updates to Strategic Plan.--Not later than 15 days after an
update to the strategic plan is approved by the Board pursuant to
section 90308(c)--
``(1) the Corporation shall submit the updated strategic plan
to the Secretary; and
``(2) the Secretary shall submit the updated strategic plan
to Congress.
``Sec. 91505. Submission of annual action plan
``(a) In General.--The Corporation shall develop an annual report on
the goals of the Corporation for the following year.
``(b) Contents.--The report shall contain goals for the Corporation
to meet that are specific, tangible, and actionable, in order to
expedite improvements to, and maintain the integrity of, air traffic
services provided by the Corporation.
``(c) Submission.--Not later than 1 year after the date of transfer,
and annually thereafter--
``(1) the Corporation shall submit the report to the
Secretary; and
``(2) the Secretary shall submit the report to Congress.
``(d) Public Availability.--The Corporation shall publish, and make
available to the public, each report submitted to the Secretary under
subsection (c).
``(e) Proprietary Information.--In carrying out this section, the
Corporation may take necessary actions to prevent the public disclosure
of proprietary information.''.
(b) Analysis for Title 49.--The analysis for title 49, United States
Code, is amended by adding at the end the following:
``XI. American Air Navigation Services Corporation.......... 90101''.
Subtitle B--Amendments to Federal Aviation Laws
SEC. 221. DEFINITIONS.
Section 40102(a) of title 49, United States Code, is amended by
adding at the end the following:
``(48) `American Air Navigation Services Corporation' means
the American Air Navigation Services Corporation established by
subtitle XI.''.
SEC. 222. SUNSET OF FAA AIR TRAFFIC ENTITIES AND OFFICERS.
(a) Air Traffic Services Committee.--Section 106(p) of title 49,
United States Code, is amended--
(1) in paragraph (7) by adding at the end the following:
``(I) Sunset.--The Committee shall terminate and this
paragraph shall cease to be effective beginning on the
date of transfer (as defined in section 90101(a)).'';
and
(2) by adding at the end the following:
``(9) Sunset of air traffic advisory role.--Beginning on the
date of transfer (as defined in section 90101(a)), the Council
shall not develop or submit comments, recommended
modifications, or dissenting views directly regarding the
American Air Navigation Services Corporation or air traffic
services.''.
(b) Chief Operating Officer.--Section 106(r) of title 49, United
States Code, is amended by adding at the end the following:
``(6) Sunset.--The position of Chief Operating Officer shall
terminate and this subsection shall cease to be effective
beginning on the date of transfer (as defined in section
90101(a)).''.
(c) Chief NextGen Officer.--Section 106(s) of title 49, United States
Code, is amended by adding at the end the following:
``(8) Sunset.--The position of Chief NextGen Officer shall
terminate and this subsection shall cease to be effective
beginning on the date of transfer (as defined in section
90101(a)).''.
SEC. 223. ROLE OF ADMINISTRATOR.
Section 40103(b) of title 49, United States Code, is amended--
(1) in paragraph (1) by striking ``The Administrator'' each
place it appears and inserting ``Before the date of transfer
(as defined in section 90101(a)), the Administrator'';
(2) by striking paragraph (2) and inserting the following:
``(2) The Administrator shall--
``(A) before the date of transfer (as defined in section
90101(a)), prescribe air traffic regulations on the flight of
aircraft (including regulations on safe altitudes) for--
``(i) navigating, protecting, and identifying
aircraft;
``(ii) protecting individuals and property on the
ground;
``(iii) using the navigable airspace efficiently; and
``(iv) preventing collisions between aircraft,
between aircraft and land or water vehicles, and
between aircraft and airborne objects; and
``(B) on and after the date of transfer (as defined in
section 90101(a)), prescribe safety regulations on the flight
of aircraft (including regulations on safe altitudes) for--
``(i) navigating, protecting, and identifying
aircraft;
``(ii) protecting individuals and property on the
ground;
``(iii) ensuring equitable access to and use of
airspace; and
``(iv) preventing collisions between aircraft,
between aircraft and land or water vehicles, and
between aircraft and airborne objects.''; and
(3) in paragraph (3) by striking ``Administrator'' each place
it appears and inserting ``Secretary''.
SEC. 224. EMERGENCY POWERS.
Section 40106(a) of title 49, United States Code, is amended--
(1) in the matter preceding paragraph (1) by striking ``air
traffic'';
(2) in paragraph (1) by inserting ``and the American Air
Navigation Services Corporation'' after ``Administration''; and
(3) in paragraph (2) by inserting ``and the American Air
Navigation Services Corporation'' after ``Administrator''.
SEC. 225. PRESIDENTIAL TRANSFERS IN TIME OF WAR.
Section 40107(b) of title 49, United States Code, is amended to read
as follows:
``(b) During War.--If war occurs, the President by Executive order
may temporarily transfer to the Secretary of Defense a duty, power,
activity, or facility of the Administrator or the American Air
Navigation Services Corporation. In making the transfer, the President
may temporarily transfer records, property, officers, and employees of
the Administration or the American Air Navigation Services Corporation
to the Department of Defense.''.
SEC. 226. AIRWAY CAPITAL INVESTMENT PLAN BEFORE DATE OF TRANSFER.
Section 44501(b) of title 49, United States Code, is amended--
(1) in the first sentence by striking ``The Administrator''
and inserting ``Before the date of transfer (as defined in
section 90101(a)), the Administrator'';
(2) in paragraph (4)(B) by striking ``and'' at the end;
(3) in paragraph (5) by striking the period at the end and
inserting ``; and''; and
(4) by adding at the end the following:
``(6) for fiscal years 2017 through 2020, a process under
which the Administrator shall continue to comply with the
requirements of this section before the date of transfer (as
defined in section 90101(a)).''.
SEC. 227. AVIATION FACILITIES BEFORE DATE OF TRANSFER.
(a) General Authority.--Section 44502(a) of title 49, United States
Code, is amended--
(1) in paragraph (1) by striking ``The Administrator of the
Federal Aviation Administration may'' and inserting ``Before
the date of transfer (as defined in section 90101(a)), the
Secretary of Transportation may'';
(2) in paragraph (2) by striking ``The cost'' and inserting
``Before the date of transfer (as defined in section 90101(a)),
the cost'';
(3) in paragraph (3) by striking ``The Secretary'' and
inserting ``Before the date of transfer (as defined in section
90101(a)), the Secretary'';
(4) by striking paragraph (4);
(5) by redesignating paragraph (5) as paragraph (4); and
(6) in paragraph (4) (as so redesignated) by striking ``The
Administrator'' and inserting ``Before the date of transfer (as
defined in section 90101(a)), the Secretary of
Transportation''.
(b) Certification of Necessity.--Section 44502(b) of title 49, United
States Code, is amended--
(1) by striking ``Except'' and inserting ``Before the date of
transfer (as defined in section 90101(a)), except''; and
(2) by striking ``the Administrator of the Federal Aviation
Administration'' and inserting ``the Secretary of
Transportation''.
(c) Ensuring Conformity With Plans and Policies.--Section 44502(c) of
title 49, United States Code, is amended--
(1) in paragraph (1)--
(A) by striking ``Administrator of the Federal
Aviation Administration'' the second, third, and fourth
places it appears and inserting ``Secretary of
Transportation'';
(B) by striking ``by the Administrator of the Federal
Aviation Administration under section 40103(b)(1) of
this title''; and
(C) by striking ``Congress'' and inserting
``Congress, the American Air Navigation Services
Corporation,''; and
(2) in paragraph (2)--
(A) by striking ``Administrator of the Federal
Aviation Administration'' and inserting ``Secretary of
Transportation''; and
(B) by striking ``that the Administrator'' and
inserting ``that the Secretary''.
(d) Transfers of Instrument Landing Systems.--Section 44502(e) of
title 49, United States Code, is amended by striking ``An airport may
transfer'' and inserting ``Before the date of transfer (as defined in
section 90101(a)), an airport may transfer''.
SEC. 228. JUDICIAL REVIEW.
Section 46110(a) of title 49, United States Code, is amended by
striking ``or subsection (l) or (s) of section 114'' and inserting
``subsection (l) or (s) of section 114, or section 90501''.
SEC. 229. CIVIL PENALTIES.
Section 46301(a)(1)(A) of title 49, United States Code, is amended by
striking ``or section 47133'' and inserting ``section 47133, or section
90501(b)(3)''.
Subtitle C--Other Matters
SEC. 241. USE OF FEDERAL TECHNICAL FACILITIES.
(a) In General.--The Administrator of the Federal Aviation
Administration shall make Administration technical facilities available
to the American Air Navigation Services Corporation for air traffic
control research and development projects.
(b) Cooperative Agreement.--
(1) In general.--To ensure the safe transition of air traffic
services, not later than 180 days prior to the date of transfer
(as defined in section 90101(a) of title 49, United States
Code, as added by this Act), the Administrator shall enter into
an agreement with the American Air Navigation Services
Corporation, for a period of not less than 5 years, concerning
services that could be provided at the Federal Aviation
Administration technical center, including the integrated air
traffic control laboratories.
(2) Services defined.--In this subsection, the term
``services'' includes--
(A) activities associated with the approval of a
safety management system under chapter 905 of title 49,
United States Code, as added by this Act; and
(B) any other activity the Secretary considers
necessary to promote safety in air traffic services,
including verification of the safety functions of new
air traffic control technologies.
(c) Statutory Construction.--Nothing in this title, or the amendments
made by this title, may be construed to limit the safety regulatory
authority of the Department of Transportation, including the research
and development functions of the Department.
(d) Safety.--Before the date of transfer (as defined by section
90101(a) of title 49, United States Code, as added by this Act) all
operational testing and integration of air traffic control systems
conducted by the Administration shall continue.
SEC. 242. ENSURING PROGRESS ON NEXTGEN PRIORITIES BEFORE DATE OF
TRANSFER.
(a) Near-Term NextGen Priorities.--Prior to the date of transfer (as
defined by section 90101(a) of title 49, United States Code, as added
by this Act), the Administrator of the Federal Aviation Administration,
in consultation with the NextGen Advisory Committee, shall prioritize
the implementation of the following programs:
(1) Multiple runway operations.
(2) Performance-based navigation.
(3) Surface operations and data sharing.
(4) Data communications.
(b) Near-Term NextGen Performance Goals.--
(1) In general.--The Administrator, in consultation with the
NextGen Advisory Committee, shall establish quantifiable near-
term NextGen performance goals for each of the programs
prioritized under subsection (a).
(2) Tracking.--The Administrator shall track the performance
goals in a publicly available and transparent manner.
(3) Measuring benefits.--The Administrator shall establish
the performance goals in a manner that allows Congress,
stakeholders, and the public to clearly measure the delivery of
NextGen benefits between 2018 and 2020, including with respect
to--
(A) increasing safety;
(B) reducing aviation's impact on the environment;
(C) enhancing controller productivity; and
(D) increasing predictability, airspace capacity, and
efficiency.
(c) NextGen Metrics Report.--Section 106(s)(5) of title 49, United
States Code, is amended by adding at the end the following:
``(I) Developing, as part of the annual report
required under paragraph (4), a description of the
progress made in meeting the near-term NextGen
performance goals required pursuant to section 242 of
the 21st Century AIRR Act and delivering near-term
NextGen benefits.''.
(d) Chief NextGen Officer Responsibility for Meeting Near-Term
NextGen Goals.--Section 106(s)(3) of title 49, United States Code, is
amended by adding at the end the following: ``In evaluating the
performance of the Chief NextGen Officer, the Administrator shall
consider the progress made in meeting the near-term NextGen performance
goals required pursuant to section 242 of the 21st Century AIRR Act and
delivering near-term NextGen benefits.''.
SEC. 243. SEVERABILITY.
If a provision of this title (including any amendment made by this
title) or its application to any person or circumstance is held
invalid, neither the remainder of this title nor the application of the
provision to other persons or circumstances shall be affected.
SEC. 244. PROHIBITION ON RECEIPT OF FEDERAL FUNDS.
Notwithstanding any other provision of law, the Corporation
established under section 90301 of title 49, United States Code, as
added by this Act, may not accept or receive any funds from the
uncommitted balance of the Airport and Airway Trust Fund established
under section 9502 of the Internal Revenue Code of 1986 (26 U.S.C.
9502).
TITLE III--FAA SAFETY CERTIFICATION REFORM
Subtitle A--General Provisions
SEC. 301. DEFINITIONS.
In this title, the following definitions apply:
(1) FAA.--The term ``FAA'' means the Federal Aviation
Administration.
(2) Safety oversight and certification advisory committee.--
The term ``Safety Oversight and Certification Advisory
Committee'' means the Safety Oversight and Certification
Advisory Committee established under section 302.
(3) Systems safety approach.--The term ``systems safety
approach'' means the application of specialized technical and
managerial skills to the systematic, forward-looking
identification and control of hazards throughout the lifecycle
of a project, program, or activity.
SEC. 302. SAFETY OVERSIGHT AND CERTIFICATION ADVISORY COMMITTEE.
(a) In General.--Not later than 60 days after the date of enactment
of this Act, the Secretary of Transportation shall establish a Safety
Oversight and Certification Advisory Committee (in this section
referred to as the ``Advisory Committee'').
(b) Duties.--The Advisory Committee shall provide advice to the
Secretary on policy-level issues facing the aviation community that are
related to FAA certification and safety oversight programs and
activities, including, at a minimum, the following:
(1) Aircraft and flight standards certification processes,
including efforts to streamline those processes.
(2) Implementation and oversight of safety management
systems.
(3) Risk-based oversight efforts.
(4) Utilization of delegation and designation authorities.
(5) Regulatory interpretation standardization efforts.
(6) Training programs.
(7) Expediting the rulemaking process and giving priority to
rules related to safety.
(c) Functions.--The Advisory Committee shall carry out the following
functions (as the functions relate to FAA certification and safety
oversight programs and activities):
(1) Foster industry collaboration in an open and transparent
manner.
(2) Consult with, and ensure participation by--
(A) the private sector, including representatives
of--
(i) general aviation;
(ii) commercial aviation;
(iii) aviation labor;
(iv) aviation maintenance;
(v) aviation, aerospace, and avionics
manufacturing;
(vi) unmanned aircraft systems operators and
manufacturers; and
(vii) the commercial space transportation
industry;
(B) members of the public; and
(C) other interested parties.
(3) Establish consensus national goals, strategic objectives,
and priorities for the most efficient, streamlined, and cost-
effective certification and oversight processes in order to
maintain the safety of the aviation system and, at the same
time, allow the FAA to meet future needs and ensure that
aviation stakeholders remain competitive in the global
marketplace.
(4) Provide policy guidance for the FAA's certification and
safety oversight efforts.
(5) Provide ongoing policy reviews of the FAA's certification
and safety oversight efforts.
(6) Make appropriate legislative, regulatory, and guidance
recommendations for the air transportation system and the
aviation safety regulatory environment.
(7) Establish performance objectives for the FAA and
industry.
(8) Establish performance metrics and goals for the FAA and
the regulated aviation industry to be tracked and reviewed as
streamlining and certification reform and regulation
standardization efforts progress.
(9) Provide a venue for tracking progress toward national
goals and sustaining joint commitments.
(10) Develop recruiting, hiring, training, and continuing
education objectives for FAA aviation safety engineers and
aviation safety inspectors.
(11) Provide advice and recommendations to the FAA on how to
prioritize safety rulemaking projects.
(12) Improve the development of FAA regulations by providing
information, advice, and recommendations related to aviation
issues.
(13) Facilitate the validation of United States products
abroad.
(d) Membership.--
(1) In general.--The Advisory Committee shall be composed of
the following members:
(A) The Administrator of the FAA (or the
Administrator's designee).
(B) Individuals appointed by the Secretary to
represent the following interests:
(i) Aircraft and engine manufacturers.
(ii) Avionics and equipment manufacturers.
(iii) Labor organizations, including
collective bargaining representatives of FAA
aviation safety inspectors and aviation safety
engineers.
(iv) General aviation operators.
(v) Air carriers.
(vi) Business aviation operators.
(vii) Unmanned aircraft systems manufacturers
and operators.
(viii) Aviation safety management expertise.
(ix) Aviation maintenance.
(2) Nonvoting members.--
(A) In general.--In addition to the members appointed
under paragraph (1), the Advisory Committee shall be
composed of nonvoting members appointed by the
Secretary from among individuals representing FAA
safety oversight program offices.
(B) Duties.--The nonvoting members shall--
(i) take part in deliberations of the
Advisory Committee; and
(ii) provide input with respect to any final
reports or recommendations of the Advisory
Committee.
(C) Limitation.--The nonvoting members may not
represent any stakeholder interest other than FAA
safety oversight program offices.
(3) Terms.--Each member and nonvoting member of the Advisory
Committee appointed by the Secretary shall be appointed for a
term of 2 years.
(4) Committee characteristics.--The Advisory Committee shall
have the following characteristics:
(A) An executive-level membership, with members who
can represent and enter into commitments for their
organizations.
(B) The ability to obtain necessary information from
experts in the aviation and aerospace communities.
(C) A membership size that enables the Committee to
have substantive discussions and reach consensus on
issues in a timely manner.
(D) Appropriate expertise, including expertise in
certification and risked-based safety oversight
processes, operations, policy, technology, labor
relations, training, and finance.
(5) Limitation on statutory construction.--Public Law 104-65
(2 U.S.C. 1601 et seq.) may not be construed to prohibit or
otherwise limit the appointment of any individual as a member
of the Advisory Committee.
(e) Chairperson.--
(1) In general.--The Chairperson of the Advisory Committee
shall be appointed by the Secretary from among those members of
the Advisory Committee that are executive-level members of the
aviation industry.
(2) Term.--Each member appointed under paragraph (1) shall
serve a term of 1 year as Chairperson.
(f) Meetings.--
(1) Frequency.--The Advisory Committee shall meet at least
twice each year at the call of the Chairperson.
(2) Public attendance.--The meetings of the Advisory
Committee shall be open to the public.
(g) Special Committees.--
(1) Establishment.--The Advisory Committee may establish
special committees composed of private sector representatives,
members of the public, labor representatives, and other
interested parties in complying with consultation and
participation requirements under this section.
(2) Rulemaking advice.--A special committee established by
the Advisory Committee may--
(A) provide rulemaking advice and recommendations to
the Administrator with respect to aviation-related
issues;
(B) afford the FAA additional opportunities to obtain
firsthand information and insight from those parties
that are most affected by existing and proposed
regulations; and
(C) expedite the development, revision, or
elimination of rules without circumventing public
rulemaking processes and procedures.
(3) Applicable law.--Public Law 92-463 shall not apply to a
special committee established by the Advisory Committee.
(h) Sunset.--The Advisory Committee shall terminate on the last day
of the 6-year period beginning on the date of the initial appointment
of the members of the Advisory Committee.
(i) Termination of Air Traffic Procedures Advisory Committee.--The
Air Traffic Procedures Advisory Committee established by the FAA shall
terminate on the date of the initial appointment of the members of the
Advisory Committee.
Subtitle B--Aircraft Certification Reform
SEC. 311. AIRCRAFT CERTIFICATION PERFORMANCE OBJECTIVES AND METRICS.
(a) In General.--Not later than 120 days after the date on which the
Safety Oversight and Certification Advisory Committee is established
under section 302, the Administrator of the FAA shall establish
performance objectives and apply and track metrics for the FAA and the
aviation industry relating to aircraft certification in accordance with
this section.
(b) Collaboration.--The Administrator shall carry out this section in
collaboration with the Safety Oversight and Certification Advisory
Committee.
(c) Performance Objectives.--In carrying out subsection (a), the
Administrator shall establish performance objectives for the FAA and
the aviation industry to ensure that, with respect to aircraft
certification, progress is made toward, at a minimum--
(1) eliminating certification delays and improving cycle
times;
(2) increasing accountability for both FAA and industry
entities;
(3) achieving full utilization of FAA delegation and
designation authorities;
(4) fully implementing risk management principles and a
systems safety approach;
(5) reducing duplication of effort;
(6) increasing transparency;
(7) establishing and providing training, including recurrent
training, in auditing and a systems safety approach to
certification oversight;
(8) improving the process for approving or accepting
certification actions between the FAA and bilateral partners;
(9) maintaining and improving safety;
(10) streamlining the hiring process for--
(A) qualified systems safety engineers to support FAA
efforts to implement a systems safety approach; and
(B) qualified systems engineers to guide the
engineering of complex systems within the FAA; and
(11) maintaining the leadership of the United States in
international aviation and aerospace.
(d) Performance Metrics.--In carrying out subsection (a), the
Administrator shall apply and track performance metrics for the FAA and
the regulated aviation industry established by the Safety Oversight and
Certification Advisory Committee.
(e) Data Generation.--
(1) Baselines.--Not later than 1 year after the date on which
the Safety Oversight and Certification Advisory Committee
establishes initial performance metrics for the FAA and the
regulated aviation industry under section 302, the
Administrator shall generate initial data with respect to each
of the metrics applied and tracked under this section.
(2) Measuring progress toward goals.--The Administrator shall
use the metrics applied and tracked under this section to
generate data on an ongoing basis and to measure progress
toward the achievement of national goals established by the
Safety Oversight and Certification Advisory Committee.
(f) Publication.--The Administrator shall make data generated using
the metrics applied and tracked under this section available to the
public in a searchable, sortable, and downloadable format through the
internet website of the FAA and other appropriate methods and shall
ensure that the data is made available in a manner that--
(1) does not provide identifying information regarding an
individual or entity; and
(2) protects proprietary information.
SEC. 312. ORGANIZATION DESIGNATION AUTHORIZATIONS.
(a) In General.--Chapter 447 of title 49, United States Code, is
amended by adding at the end the following:
``Sec. 44736. Organization designation authorizations
``(a) Delegations of Functions.--
``(1) In general.--Except as provided in paragraph (3), when
overseeing an ODA holder, the Administrator of the FAA shall--
``(A) require, based on an application submitted by
the ODA holder and approved by the Administrator (or
the Administrator's designee), a procedures manual that
addresses all procedures and limitations regarding the
functions to be performed by the ODA holder;
``(B) delegate fully to the ODA holder each of the
functions to be performed as specified in the
procedures manual, unless the Administrator determines,
after the date of the delegation and as a result of an
inspection or other investigation, that the public
interest and safety of air commerce requires a
limitation with respect to 1 or more of the functions;
and
``(C) conduct regular oversight activities by
inspecting the ODA holder's delegated functions and
taking action based on validated inspection findings.
``(2) Duties of oda holders.--An ODA holder shall--
``(A) perform each function delegated to the ODA
holder in accordance with the approved procedures
manual for the delegation;
``(B) make the procedures manual available to each
member of the appropriate ODA unit; and
``(C) cooperate fully with oversight activities
conducted by the Administrator in connection with the
delegation.
``(3) Existing oda holders.--With regard to an ODA holder
operating under a procedures manual approved by the
Administrator before the date of enactment of this section, the
Administrator shall--
``(A) at the request of the ODA holder and in an
expeditious manner, approve revisions to the ODA
holder's procedures manual;
``(B) delegate fully to the ODA holder each of the
functions to be performed as specified in the
procedures manual, unless the Administrator determines,
after the date of the delegation and as a result of an
inspection or other investigation, that the public
interest and safety of air commerce requires a
limitation with respect to one or more of the
functions; and
``(C) conduct regular oversight activities by
inspecting the ODA holder delegated functions and
taking action based on validated inspection findings.
``(b) ODA Office.--
``(1) Establishment.--Not later than 90 days after the date
of enactment of this section, the Administrator of the FAA
shall identify, within the FAA Office of Aviation Safety, a
centralized policy office to be known as the Organization
Designation Authorization Office or the ODA Office.
``(2) Purpose.--The purpose of the ODA Office shall be to
oversee and ensure the consistency of the FAA's audit functions
under the ODA program across the FAA.
``(3) Functions.--The ODA Office shall--
``(A) improve performance and ensure full utilization
of the authorities delegated under the ODA program;
``(B) create a more consistent approach to audit
priorities, procedures, and training under the ODA
program;
``(C) review, in a timely fashion, a random sample of
limitations on delegated authorities under the ODA
program to determine if the limitations are
appropriate;
``(D) ensure national consistency in the
interpretation and application of the requirements of
the ODA program, including any limitations, and in the
performance of the ODA program; and
``(E) at the request of an ODA holder, review and
approve new limitations to ODA functions.
``(c) Definitions.--In this section, the following definitions apply:
``(1) FAA.--The term `FAA' means the Federal Aviation
Administration.
``(2) ODA holder.--The term `ODA holder' means an entity
authorized to perform functions pursuant to a delegation made
by the Administrator of the FAA under section 44702(d).
``(3) ODA unit.--The term ``ODA unit'' means a group of 2 or
more individuals who perform, under the supervision of an ODA
holder, authorized functions under an ODA.
``(4) Organization.--The term ``organization'' means a firm,
partnership, corporation, company, association, joint-stock
association, or governmental entity.
``(5) Organization designation authorization; oda.--The term
`Organization Designation Authorization' or `ODA' means an
authorization by the FAA under section 44702(d) for an
organization comprised of 1 or more ODA units to perform
approved functions on behalf of the FAA.''.
(b) Clerical Amendment.--The analysis for chapter 447 of title 49,
United States Code, is amended by adding at the end the following:
``44736. Organization designation authorizations.''.
SEC. 313. ODA REVIEW.
(a) Establishment of Expert Review Panel.--
(1) Expert panel.--Not later than 60 days after the date of
enactment of this Act, the Administrator of the FAA shall
convene a multidisciplinary expert review panel (in this
section referred to as the ``Panel'').
(2) Composition of panel.--
(A) Appointment of members.--The Panel shall be
composed of not more than 20 members appointed by the
Administrator.
(B) Qualifications.--The members appointed to the
Panel shall--
(i) each have a minimum of 5 years of
experience in processes and procedures under
the ODA program; and
(ii) represent, at a minimum, ODA holders,
aviation manufacturers, safety experts, and FAA
labor organizations, including labor
representatives of FAA aviation safety
inspectors and aviation safety engineers.
(b) Survey.--The Panel shall conduct a survey of ODA holders and ODA
program applicants to document and assess FAA certification and
oversight activities, including use of the ODA program and the
timeliness and efficiency of the certification process.
(c) Assessment and Recommendations.--The Panel shall assess and make
recommendations concerning--
(1) the FAA's processes and procedures under the ODA program
and whether the processes and procedures function as intended;
(2) the best practices of and lessons learned by ODA holders
and individuals who provide oversight of ODA holders;
(3) performance incentive policies related to the ODA program
for FAA personnel;
(4) training activities related to the ODA program for FAA
personnel and ODA holders;
(5) the impact, if any, that oversight of the ODA program has
on FAA resources and the FAA's ability to process applications
for certifications outside of the ODA program; and
(6) the results of the survey conducted under subsection (b).
(d) Report.--Not later than 180 days after the date the Panel is
convened under subsection (a), the Panel shall submit to the
Administrator, the Safety Oversight and Certification Advisory
Committee, the Committee on Transportation and Infrastructure of the
House of Representatives, and the Committee on Commerce, Science, and
Transportation of the Senate a report on the findings and
recommendations of the Panel.
(e) Definitions.--The definitions contained in section 44736 of title
49, United States Code, as added by this Act, apply to this section.
(f) Applicable Law.--Public Law 92-463 shall not apply to the Panel.
(g) Sunset.--The Panel shall terminate on the date of submission of
the report under subsection (d), or on the date that is 1 year after
the Panel is convened under subsection (a), whichever occurs first.
SEC. 314. TYPE CERTIFICATION RESOLUTION PROCESS.
(a) In General.--Section 44704(a) of title 49, United States Code, is
amended by adding at the end the following:
``(6) Type certification resolution process.--
``(A) In general.--Not later than 15 months after the
date of enactment of this paragraph, the Administrator
shall establish an effective, timely, and milestone-
based issue resolution process for type certification
activities under this subsection.
``(B) Process requirements.--The resolution process
shall provide for--
``(i) resolution of technical issues at pre-
established stages of the certification
process, as agreed to by the Administrator and
the type certificate applicant;
``(ii) automatic elevation to appropriate
management personnel of the Federal Aviation
Administration and the type certificate
applicant of any major certification process
milestone that is not completed or resolved
within a specific period of time agreed to by
the Administrator and the type certificate
applicant; and
``(iii) resolution of a major certification
process milestone elevated pursuant to clause
(ii) within a specific period of time agreed to
by the Administrator and the type certificate
applicant.
``(C) Major certification process milestone
defined.--In this paragraph, the term `major
certification process milestone' means a milestone
related to a type certification basis, type
certification plan, type inspection authorization,
issue paper, or other major type certification activity
agreed to by the Administrator and the type certificate
applicant.''.
(b) Technical Amendment.--Section 44704 of title 49, United States
Code, is amended in the section heading by striking ``airworthiness
certificates,,'' and inserting ``airworthiness certificates,''.
SEC. 315. SAFETY ENHANCING EQUIPMENT AND SYSTEMS FOR SMALL GENERAL
AVIATION AIRPLANES.
(a) Policy.--Not later than 180 days after the date of enactment of
this Act, the Administrator of the FAA shall establish and begin
implementation of a risk-based policy that streamlines the installation
of safety enhancing equipment and systems for small general aviation
airplanes in a manner that reduces regulatory delays and significantly
improves safety.
(b) Inclusion of Certain Equipment and Systems.--The safety enhancing
equipment and systems for small general aviation airplanes referred to
in subsection (a) shall include, at a minimum, the replacement or
retrofit of primary flight displays, auto pilots, engine monitors, and
navigation equipment.
(c) Collaboration.--In carrying out this section, the Administrator
shall collaborate with general aviation operators, general aviation
manufacturers, and appropriate FAA labor groups, including
representatives of FAA aviation safety inspectors and aviation safety
engineers certified under section 7111 of title 5, United States Code.
(d) Small General Aviation Airplane Defined.--In this section, the
term ``small general aviation airplane'' means an airplane that--
(1) is certified to the standards of part 23 of title 14,
Code of Federal Regulations;
(2) has a seating capacity of fewer than 9 passengers; and
(3) is not used in scheduled passenger-carrying operations
under part 121 or 135 of title 14, Code of Federal Regulations.
SEC. 316. REVIEW OF CERTIFICATION PROCESS FOR SMALL GENERAL AVIATION
AIRPLANES.
(a) In General.--Not later than 1 year after the date of enactment of
this Act, the Inspector General of the Department of Transportation
shall initiate a review of the Federal Aviation Administration's
implementation of the final rule titled ``Revision of Airworthiness
Standards for Normal, Utility, Acrobatic, and Commuter Category
Airplanes'' (81 Fed. Reg. 96572).
(b) Considerations.--In carrying out the review, the Inspector
General shall assess--
(1) how the rule puts into practice the Administration's
efforts to implement performance and risk-based safety
standards;
(2) whether the Administration's implementation of the rule
has improved safety and reduced the regulatory cost burden for
the Administration and the aviation industry; and
(3) if there are lessons learned from, and best practices
developed as a result of, the rule that could be applied to
airworthiness standards for other categories of aircraft.
(c) Report.--Not later than 180 days after the date of initiation of
the review, the Inspector General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the review, including findings and
recommendations.
Subtitle C--Flight Standards Reform
SEC. 331. FLIGHT STANDARDS PERFORMANCE OBJECTIVES AND METRICS.
(a) In General.--Not later than 120 days after the date on which the
Safety Oversight and Certification Advisory Committee is established
under section 302, the Administrator of the FAA shall establish
performance objectives and apply and track metrics for the FAA and the
aviation industry relating to flight standards activities in accordance
with this section.
(b) Collaboration.--The Administrator shall carry out this section in
collaboration with the Safety Oversight and Certification Advisory
Committee.
(c) Performance Objectives.--In carrying out subsection (a), the
Administrator shall establish performance objectives for the FAA and
the aviation industry to ensure that, with respect to flight standards
activities, progress is made toward, at a minimum--
(1) eliminating delays with respect to such activities;
(2) increasing accountability for both FAA and industry
entities;
(3) achieving full utilization of FAA delegation and
designation authorities;
(4) fully implementing risk management principles and a
systems safety approach;
(5) reducing duplication of effort;
(6) eliminating inconsistent regulatory interpretations and
inconsistent enforcement activities;
(7) improving and providing greater opportunities for
training, including recurrent training, in auditing and a
systems safety approach to oversight;
(8) developing and allowing utilization of a single master
source for guidance;
(9) providing and utilizing a streamlined appeal process for
the resolution of regulatory interpretation questions;
(10) maintaining and improving safety; and
(11) increasing transparency.
(d) Metrics.--In carrying out subsection (a), the Administrator shall
apply and track performance metrics for the FAA and the regulated
aviation industry established by the Safety Oversight and Certification
Advisory Committee.
(e) Data Generation.--
(1) Baselines.--Not later than 1 year after the date on which
the Safety Oversight and Certification Advisory Committee
establishes initial performance metrics for the FAA and the
regulated aviation industry under section 302, the
Administrator shall generate initial data with respect to each
of the metrics applied and tracked under this section.
(2) Measuring progress toward goals.--The Administrator shall
use the metrics applied and tracked under this section to
generate data on an ongoing basis and to measure progress
toward the achievement of national goals established by the
Safety Oversight and Certification Advisory Committee.
(f) Publication.--The Administrator shall make data generated using
the metrics applied and tracked under this section available to the
public in a searchable, sortable, and downloadable format through the
internet website of the FAA and other appropriate methods and shall
ensure that the data is made available in a manner that--
(1) does not provide identifying information regarding an
individual or entity; and
(2) protects proprietary information.
SEC. 332. FAA TASK FORCE ON FLIGHT STANDARDS REFORM.
(a) Establishment.--Not later than 90 days after the date of
enactment of this Act, the Administrator of the FAA shall establish the
FAA Task Force on Flight Standards Reform (in this section referred to
as the ``Task Force'').
(b) Membership.--
(1) Appointment.--The membership of the Task Force shall be
appointed by the Administrator.
(2) Number.--The Task Force shall be composed of not more
than 20 members.
(3) Representation requirements.--The membership of the Task
Force shall include representatives, with knowledge of flight
standards regulatory processes and requirements, of--
(A) air carriers;
(B) general aviation;
(C) business aviation;
(D) repair stations;
(E) unmanned aircraft systems operators;
(F) flight schools;
(G) labor unions, including those representing FAA
aviation safety inspectors; and
(H) aviation safety experts.
(c) Duties.--The duties of the Task Force shall include, at a
minimum, identifying best practices and providing recommendations, for
current and anticipated budgetary environments, with respect to--
(1) simplifying and streamlining flight standards regulatory
processes;
(2) reorganizing Flight Standards Services to establish an
entity organized by function rather than geographic region, if
appropriate;
(3) FAA aviation safety inspector training opportunities;
(4) FAA aviation safety inspector standards and performance;
and
(5) achieving, across the FAA, consistent--
(A) regulatory interpretations; and
(B) application of oversight activities.
(d) Report.--Not later than 1 year after the date of enactment of
this Act, the Task Force shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report detailing--
(1) the best practices identified and recommendations
provided by the Task Force under subsection (c); and
(2) any recommendations of the Task Force for additional
regulatory action or cost-effective legislative action.
(e) Applicable Law.--Public Law 92-463 shall not apply to the Task
Force.
(f) Termination.--The Task Force shall terminate on the earlier of--
(1) the date on which the Task Force submits the report
required under subsection (d); or
(2) the date that is 18 months after the date on which the
Task Force is established under subsection (a).
SEC. 333. CENTRALIZED SAFETY GUIDANCE DATABASE.
(a) Establishment.--Not later than 1 year after the date of enactment
of this Act, the Administrator of the FAA shall establish a centralized
safety guidance database that will--
(1) encompass all of the regulatory guidance documents of the
FAA Office of Aviation Safety;
(2) contain, for each such guidance document, a link to the
Code of Federal Regulations provision to which the document
relates; and
(3) be publicly available in a manner that--
(A) does not provide identifying information
regarding an individual or entity; and
(B) protects proprietary information.
(b) Data Entry Timing.--
(1) Existing documents.--Not later than 14 months after the
date of enactment of this Act, the Administrator shall begin
entering into the database established under subsection (a) all
of the regulatory guidance documents of the Office of Aviation
Safety that are in effect and were issued before the date on
which the Administrator begins such entry process.
(2) New documents and changes.--On and after the date on
which the Administrator begins the document entry process under
paragraph (1), the Administrator shall ensure that all new
regulatory guidance documents of the Office of Aviation Safety
and any changes to existing documents are included in the
database established under subsection (a).
(c) Consultation Requirement.--In establishing the database under
subsection (a), the Administrator shall consult and collaborate with
appropriate stakeholders, including labor organizations (including
those representing aviation workers and FAA aviation safety inspectors)
and industry stakeholders.
(d) Regulatory Guidance Documents Defined.--In this section, the term
``regulatory guidance documents'' means all forms of written
information issued by the FAA that an individual or entity may use to
interpret or apply FAA regulations and requirements, including
information an individual or entity may use to determine acceptable
means of compliance with such regulations and requirements.
SEC. 334. REGULATORY CONSISTENCY COMMUNICATIONS BOARD.
(a) Establishment.--Not later than 180 days after the date of
enactment of this Act, the Administrator of the FAA shall establish a
Regulatory Consistency Communications Board (in this section referred
to as the ``Board'').
(b) Consultation Requirement.--In establishing the Board, the
Administrator shall consult and collaborate with appropriate
stakeholders, including FAA labor organizations (including labor
organizations representing FAA aviation safety inspectors) and industry
stakeholders.
(c) Membership.--The Board shall be composed of FAA representatives,
appointed by the Administrator, from--
(1) the Flight Standards Service;
(2) the Aircraft Certification Service; and
(3) the Office of the Chief Counsel.
(d) Functions.--The Board shall carry out the following functions:
(1) Establish, at a minimum, processes by which--
(A) FAA personnel and regulated entities may submit
anonymous regulatory interpretation questions without
fear of retaliation; and
(B) FAA personnel may submit written questions, and
receive written responses, as to whether a previous
approval or regulatory interpretation issued by FAA
personnel in another office or region is correct or
incorrect.
(2) Meet on a regular basis to discuss and resolve questions
submitted pursuant to paragraph (1) and the appropriate
application of regulations and policy with respect to each
question.
(3) Provide to an individual or entity that submitted a
question pursuant to paragraph (1) a timely response to the
question.
(4) Establish a process to make resolutions of common
regulatory interpretation questions publicly available to FAA
personnel and regulated entities without providing any
identifying data of the individuals or entities that submitted
the questions and in a manner that protects any proprietary
information.
(5) Ensure the incorporation of resolutions of questions
submitted pursuant to paragraph (1) into regulatory guidance
documents.
(e) Performance Metrics, Timelines, and Goals.--Not later than 180
days after the date on which the Safety Oversight and Certification
Advisory Committee establishes performance metrics for the FAA and the
regulated aviation industry under section 302, the Administrator, in
collaboration with the Advisory Committee, shall--
(1) establish performance metrics, timelines, and goals to
measure the progress of the Board in resolving regulatory
interpretation questions submitted pursuant to subsection
(d)(1); and
(2) implement a process for tracking the progress of the
Board in meeting the metrics, timelines, and goals established
under paragraph (1).
Subtitle D--Safety Workforce
SEC. 341. SAFETY WORKFORCE TRAINING STRATEGY.
(a) Safety Workforce Training Strategy.--Not later than 60 days after
the date of enactment of this Act, the Administrator of the FAA shall
establish a safety workforce training strategy that--
(1) allows employees participating in organization management
teams or conducting ODA program audits to complete, in a timely
fashion, appropriate training, including recurrent training, in
auditing and a systems safety approach to oversight;
(2) seeks knowledge-sharing opportunities between the FAA and
the aviation industry regarding new equipment and systems, best
practices, and other areas of interest;
(3) functions within the current and anticipated budgetary
environments; and
(4) includes milestones and metrics for meeting the
requirements of paragraphs (1), (2), and (3).
(b) Report.--Not later than 270 days after the date of establishment
of the strategy required under subsection (a), the Administrator shall
submit to the Committee on Transportation and Infrastructure of the
House of Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on the implementation of the
strategy and progress in meeting any milestones and metrics included in
the strategy.
(c) Definitions.--In this section, the following definitions apply:
(1) ODA; oda holder.--The terms ``ODA'' and ``ODA holder''
have the meanings given those terms in section 44736 of title
49, United States Code, as added by this Act.
(2) Organization management team.--The term ``organization
management team'' means a team consisting of FAA aviation
safety engineers, flight test pilots, and aviation safety
inspectors overseeing an ODA holder and its certification
activity.
SEC. 342. WORKFORCE REVIEW.
(a) Workforce Review.--Not later than 90 days after the date of
enactment of this Act, the Comptroller General of the United States
shall conduct a review to assess the workforce and training needs of
the FAA Office of Aviation Safety in the anticipated budgetary
environment.
(b) Contents.--The review required under subsection (a) shall
include--
(1) a review of current aviation safety inspector and
aviation safety engineer hiring, training, and recurrent
training requirements;
(2) an analysis of the skills and qualifications required of
aviation safety inspectors and aviation safety engineers for
successful performance in the current and future projected
aviation safety regulatory environment, including the need for
a systems engineering discipline within the FAA to guide the
engineering of complex systems, with an emphasis on auditing
designated authorities;
(3) a review of current performance incentive policies of the
FAA, as applied to the Office of Aviation Safety, including
awards for performance;
(4) an analysis of ways the FAA can work with industry and
labor, including labor groups representing FAA aviation safety
inspectors and aviation safety engineers, to establish
knowledge-sharing opportunities between the FAA and the
aviation industry regarding new equipment and systems, best
practices, and other areas of interest; and
(5) recommendations on the most effective qualifications,
training programs (including e-learning training), and
performance incentive approaches to address the needs of the
future projected aviation safety regulatory system in the
anticipated budgetary environment.
(c) Report.--Not later than 270 days after the date of enactment of
this Act, the Comptroller General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the review required under subsection (a).
Subtitle E--International Aviation
SEC. 351. PROMOTION OF UNITED STATES AEROSPACE STANDARDS, PRODUCTS, AND
SERVICES ABROAD.
Section 40104 of title 49, United States Code, is amended by adding
at the end the following:
``(d) Promotion of United States Aerospace Standards, Products, and
Services Abroad.--The Administrator shall take appropriate actions to--
``(1) promote United States aerospace safety standards
abroad;
``(2) facilitate and vigorously defend approvals of United
States aerospace products and services abroad;
``(3) with respect to bilateral partners, utilize bilateral
safety agreements and other mechanisms to improve validation of
United States type certificated aeronautical products and
appliances and enhance mutual acceptance in order to eliminate
redundancies and unnecessary costs; and
``(4) with respect to foreign safety authorities, streamline
validation and coordination processes.''.
SEC. 352. BILATERAL EXCHANGES OF SAFETY OVERSIGHT RESPONSIBILITIES.
Section 44701(e) of title 49, United States Code, is amended by
adding at the end the following:
``(5) Foreign airworthiness directives.--
``(A) Acceptance.--The Administrator may accept an
airworthiness directive issued by an aeronautical
safety authority of a foreign country, and leverage
that authority's regulatory process, if--
``(i) the country is the state of design for
the product that is the subject of the
airworthiness directive;
``(ii) the United States has a bilateral
safety agreement relating to aircraft
certification with the country;
``(iii) as part of the bilateral safety
agreement with the country, the Administrator
has determined that such aeronautical safety
authority has a certification system relating
to safety that produces a level of safety
equivalent to the level produced by the system
of the Federal Aviation Administration;
``(iv) the aeronautical safety authority of
the country utilizes an open and transparent
notice and comment process in the issuance of
airworthiness directives; and
``(v) the airworthiness directive is
necessary to provide for the safe operation of
the aircraft subject to the directive.
``(B) Alternative approval process.--Notwithstanding
subparagraph (A), the Administrator may issue a Federal
Aviation Administration airworthiness directive instead
of accepting an airworthiness directive otherwise
eligible for acceptance under such subparagraph, if the
Administrator determines that such issuance is
necessary for safety or operational reasons due to the
complexity or unique features of the Federal Aviation
Administration airworthiness directive or the United
States aviation system.
``(C) Alternative means of compliance.--The
Administrator may--
``(i) accept an alternative means of
compliance, with respect to an airworthiness
directive accepted under subparagraph (A), that
was approved by the aeronautical safety
authority of the foreign country that issued
the airworthiness directive; or
``(ii) notwithstanding subparagraph (A), and
at the request of any person affected by an
airworthiness directive accepted under such
subparagraph, approve an alternative means of
compliance with respect to the airworthiness
directive.
``(D) Limitation.--The Administrator may not accept
an airworthiness directive issued by an aeronautical
safety authority of a foreign country if the
airworthiness directive addresses matters other than
those involving the safe operation of an aircraft.''.
SEC. 353. FAA LEADERSHIP ABROAD.
(a) In General.--To promote United States aerospace safety standards,
reduce redundant regulatory activity, and facilitate acceptance of FAA
design and production approvals abroad, the Administrator of the FAA
shall--
(1) attain greater expertise in issues related to dispute
resolution, intellectual property, and export control laws to
better support FAA certification and other aerospace regulatory
activities abroad;
(2) work with United States companies to more accurately
track the amount of time it takes foreign authorities,
including bilateral partners, to validate United States type
certificated aeronautical products;
(3) provide assistance to United States companies that have
experienced significantly long foreign validation wait times;
(4) work with foreign authorities, including bilateral
partners, to collect and analyze data to determine the
timeliness of the acceptance and validation of FAA design and
production approvals by foreign authorities and the acceptance
and validation of foreign-certified products by the FAA;
(5) establish appropriate benchmarks and metrics to measure
the success of bilateral aviation safety agreements and to
reduce the validation time for United States type certificated
aeronautical products abroad; and
(6) work with foreign authorities, including bilateral
partners, to improve the timeliness of the acceptance and
validation of FAA design and production approvals by foreign
authorities and the acceptance and validation of foreign-
certified products by the FAA.
(b) Report.--Not later than 1 year after the date of enactment of
this Act, the Administrator of the FAA shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report that--
(1) describes the FAA's strategic plan for international
engagement;
(2) describes the structure and responsibilities of all FAA
offices that have international responsibilities, including the
Aircraft Certification Office, and all the activities conducted
by those offices related to certification and production;
(3) describes current and forecasted staffing and travel
needs for the FAA's international engagement activities,
including the needs of the Aircraft Certification Office in the
current and forecasted budgetary environment;
(4) provides recommendations, if appropriate, to improve the
existing structure and personnel and travel policies supporting
the FAA's international engagement activities, including the
activities of the Aviation Certification Office, to better
support the growth of United States aerospace exports; and
(5) identifies cost-effective policy initiatives, regulatory
initiatives, or legislative initiatives needed to improve and
enhance the timely acceptance of United States aerospace
products abroad.
(c) International Travel.--The Administrator of the FAA, or the
Administrator's designee, may authorize international travel for any
FAA employee, without the approval of any other person or entity, if
the Administrator determines that the travel is necessary--
(1) to promote United States aerospace safety standards; or
(2) to support expedited acceptance of FAA design and
production approvals.
SEC. 354. REGISTRATION, CERTIFICATION, AND RELATED FEES.
Section 45305 of title 49, United States Code, is amended--
(1) in subsection (a) by striking ``Subject to subsection
(b)'' and inserting ``Subject to subsection (c)'';
(2) by redesignating subsections (b) and (c) as subsections
(c) and (d), respectively; and
(3) by inserting after subsection (a) the following:
``(b) Certification Services.--Subject to subsection (c), and
notwithstanding section 45301(a), the Administrator may establish and
collect a fee from a foreign government or entity for services related
to certification, regardless of where the services are provided, if the
fee--
``(1) is established and collected in a manner consistent
with aviation safety agreements; and
``(2) does not exceed the estimated costs of the services.''.
TITLE IV--SAFETY
Subtitle A--General Provisions
SEC. 401. FAA TECHNICAL TRAINING.
(a) E-Learning Training Pilot Program.--Not later than 90 days after
the date of enactment of this Act, the Administrator of the Federal
Aviation Administration, in collaboration with the exclusive bargaining
representatives of covered FAA personnel, shall establish an e-learning
training pilot program in accordance with the requirements of this
section.
(b) Curriculum.--The pilot program shall--
(1) include a recurrent training curriculum for covered FAA
personnel to ensure that the personnel receive instruction on
the latest aviation technologies, processes, and procedures;
(2) focus on providing specialized technical training for
covered FAA personnel, as determined necessary by the
Administrator;
(3) include training courses on applicable regulations of the
Federal Aviation Administration; and
(4) consider the efficacy of instructor-led online training.
(c) Pilot Program Termination.--The pilot program shall terminate 1
year after the date of establishment of the pilot program.
(d) E-Learning Training Program.--Upon termination of the pilot
program, the Administrator shall establish an e-learning training
program that incorporates lessons learned for covered FAA personnel as
a result of the pilot program.
(e) Definitions.--In this section, the following definitions apply:
(1) Covered faa personnel.--The term ``covered FAA
personnel'' means airway transportation systems specialists and
aviation safety inspectors of the Federal Aviation
Administration.
(2) E-learning training.--The term ``e-learning training''
means learning utilizing electronic technologies to access
educational curriculum outside of a traditional classroom.
SEC. 402. SAFETY CRITICAL STAFFING.
(a) Update of FAA's Safety Critical Staffing Model.--Not later than
270 days after the date of enactment of this Act, and at least 2 years
before the date of transfer, the Administrator of the Federal Aviation
Administration shall update the safety critical staffing model of the
Administration to determine the number of aviation safety inspectors
that will be needed to fulfill the safety oversight mission of the
Administration before and after the date of transfer, including safety
oversight of the American Air Navigation Services Corporation.
(b) Audit by DOT Inspector General.--
(1) In general.--Not later than 90 days after the date on
which the Administrator has updated the safety critical
staffing model under subsection (a), the Inspector General of
the Department of Transportation shall conduct an audit of the
staffing model.
(2) Contents.--The audit shall include, at a minimum--
(A) a review of the assumptions and methodologies
used in devising and implementing the staffing model to
assess the adequacy of the staffing model in predicting
the number of aviation safety inspectors needed--
(i) to properly fulfill the mission of the
Administration before and after the date of
transfer;
(ii) to meet the future growth of the
aviation industry; and
(iii) to provide proper oversight of air
traffic services after the date of transfer;
and
(B) a determination on whether the staffing model
takes into account the Administration's authority to
fully utilize designees before and after the date of
transfer.
(3) Report on audit.--
(A) Report to secretary.--Not later than 30 days
after the date of completion of the audit, the
Inspector General shall submit to the Secretary a
report on the results of the audit.
(B) Report to congress.--Not later than 60 days after
the date of receipt of the report, the Secretary shall
submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the
Committee on Commerce, Science, and Transportation of
the Senate a copy of the report, together with, if
appropriate, a description of any actions taken or to
be taken to address the results of the audit.
(c) Date of Transfer Defined.--In this section, the term ``date of
transfer'' has the meaning given that term in section 90101(a) of title
49, United States Code, as added by this Act.
SEC. 403. INTERNATIONAL EFFORTS REGARDING TRACKING OF CIVIL AIRCRAFT.
The Administrator of the Federal Aviation Administration shall
exercise leadership on creating a global approach to improving aircraft
tracking by working with--
(1) foreign counterparts of the Administrator in the
International Civil Aviation Organization and its subsidiary
organizations;
(2) other international organizations and fora; and
(3) the private sector.
SEC. 404. AIRCRAFT DATA ACCESS AND RETRIEVAL SYSTEMS.
(a) Assessment.--Not later than 90 days after the date of enactment
of this Act, the Administrator of the Federal Aviation Administration
shall initiate an assessment of aircraft data access and retrieval
systems for part 121 air carrier aircraft that are used in extended
overwater operations to--
(1) determine if the systems provide improved access and
retrieval of aircraft data and cockpit voice recordings in the
event of an aircraft accident; and
(2) assess the cost effectiveness of each system assessed.
(b) Systems To Be Examined.--The systems to be examined under this
section shall include, at a minimum--
(1) automatic deployable flight recorders;
(2) emergency locator transmitters; and
(3) satellite-based solutions.
(c) Report.--Not later than 1 year after the date of initiation of
the assessment, the Administrator shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the assessment.
(d) Part 121 Air Carrier Defined.--In this section, the term ``part
121 air carrier'' means an air carrier that holds a certificate issued
under part 121 of title 14, Code of Federal Regulations.
SEC. 405. ADVANCED COCKPIT DISPLAYS.
(a) In General.--Not later than 180 days after the date of enactment
of this Act, the Administrator of the Federal Aviation Administration
shall initiate a review of heads-up display systems, heads-down display
systems employing synthetic vision systems, and enhanced vision systems
(in this section referred to as ``HUD systems'', ``SVS'', and ``EVS'',
respectively).
(b) Contents.--The review shall--
(1) evaluate the impacts of single- and dual-installed HUD
systems, SVS, and EVS on the safety and efficiency of aircraft
operations within the national airspace system; and
(2) review a sufficient quantity of commercial aviation
accidents or incidents in order to evaluate if HUD systems,
SVS, and EVS would have produced a better outcome in that
accident or incident.
(c) Consultation.--In conducting the review, the Administrator shall
consult with aviation manufacturers, representatives of pilot groups,
aviation safety organizations, and any government agencies the
Administrator considers appropriate.
(d) Report.--Not later than 1 year after the date of enactment of
this Act, the Administrator shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report containing the results of the review, the actions the
Administrator plans to take with respect to the systems reviewed, and
the associated timeline for such actions.
SEC. 406. MARKING OF TOWERS.
Section 2110 of the FAA Extension, Safety, and Security Act of 2016
(49 U.S.C. 44718 note) is amended--
(1) by striking subsections (a) through (c) and inserting the
following:
``(a) Application.--
``(1) In general.--Except as provided by paragraph (2), not
later than 1 year after the date of enactment of the 21st
Century AIRR Act or the availability of the database developed
by the Administrator of the Federal Aviation Administration
pursuant to subsection (c), whichever is later, all covered
towers shall be either--
``(A) clearly marked consistent with applicable
guidance in the advisory circular of the Federal
Aviation Administration issued December 4, 2015 (AC 70/
7460-IL); or
``(B) included in the database described in
subsection (c).
``(2) Meteorological evaluation tower.--A covered tower that
is a meteorological evaluation tower shall be subject to the
requirements of paragraphs (1)(A) and (1)(B).'';
(2) by redesignating subsections (d) and (e) as subsections
(b) and (c), respectively;
(3) in subsection (b)(1)(A) (as so redesignated)--
(A) in clause (i)(I) by striking ``self-standing or''
and inserting ``a meteorological evaluation tower or
tower''; and
(B) in clause (ii)--
(i) in subclause (IV) by striking ``or'' at
the end;
(ii) in subclause (V) by striking the period
at the end and inserting a semicolon; and
(iii) by adding at the end the following:
``(VI) is located within the right-
of-way of a rail carrier, including
within the boundaries of a rail yard,
and is used for a railroad purpose;
``(VII) is determined by the
Administrator to pose no hazard to air
navigation; or
``(VIII) has already mitigated any
hazard to aviation safety in accordance
with Federal Aviation Administration
guidance or as otherwise approved by
the Administrator.''; and
(4) in subsection (c) (as so redesignated)--
(A) by striking paragraph (1) and inserting the
following:
``(1) develop a database that contains the location and
height of each covered tower that, pursuant to subsection (a),
the owner or operator of such tower elects not to mark, except
that meteorological evaluation towers shall be marked and
contained in the database;'';
(B) in paragraph (3) by striking ``and'' at the end;
(C) in paragraph (4) by striking the period at the
end and inserting a semicolon; and
(D) by adding at the end the following:
``(5) ensure that the tower information in the database is
de-identified and that the information only includes the
location and height of covered towers; and
``(6) make the database available for use not later than 1
year after the date of enactment of the 21st Century AIRR
Act.''.
SEC. 407. CABIN EVACUATION.
(a) Review.--The Administrator of the Federal Aviation Administration
shall review--
(1) evacuation certification of transport-category aircraft
used in air transportation, with regard to--
(A) emergency conditions, including impacts into
water;
(B) crew procedures used for evacuations under actual
emergency conditions; and
(C) any relevant changes to passenger demographics
and legal requirements (including the Americans with
Disabilities Act of 1990) that affect emergency
evacuations; and
(2) recent accidents and incidents where passengers evacuated
such aircraft.
(b) Consultation; Review of Data.--In conducting the review, the
Administrator shall--
(1) consult with the National Transportation Safety Board,
transport-category aircraft manufacturers, air carriers, and
other relevant experts and Federal agencies, including groups
representing passengers, airline crewmembers, maintenance
employees, and emergency responders; and
(2) review relevant data with respect to evacuation
certification of transport-category aircraft.
(c) Report to Congress.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall submit to the Committee
on Transportation and Infrastructure of the House of Representatives
and the Committee on Commerce, Science, and Transportation of the
Senate a report on the results of the review and related
recommendations, if any, including any recommendations for revisions to
the assumptions and methods used for assessing evacuation certification
of transport-category aircraft.
SEC. 408. ODA STAFFING AND OVERSIGHT.
(a) Report to Congress.--Not later than 270 days after the date of
enactment of this Act, the Administrator of the Federal Aviation
Administration shall submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the Committee on
Commerce, Science, and Transportation of the Senate a report on the
Administration's progress with respect to--
(1) determining what additional model inputs and labor
distribution codes are needed to identify ODA oversight
staffing needs prior to and after the date of transfer;
(2) developing and implementing system-based evaluation
criteria and risk-based tools to aid ODA team members in
targeting their oversight activities;
(3) developing agreements and processes for sharing resources
to ensure adequate oversight of ODA personnel performing
certification and inspection work at supplier and company
facilities; and
(4) ensuring full utilization of ODA authority prior to and
after the date of transfer.
(b) Definitions.--In this section, the following definitions apply:
(1) Date of transfer.--The term ``date of transfer'' has the
meaning given that term in section 90101(a) of title 49, United
States Code, as added by this Act.
(2) ODA.--the term ``ODA'' has the meaning given that term in
section 44736 of title 49, United States Code, as added by this
Act.
SEC. 409. FUNDING FOR ADDITIONAL SAFETY NEEDS.
Section 44704 of title 49, United States Code, is amended by adding
at the end the following:
``(f) Funding for Additional Safety Needs.--
``(1) Acceptance of applicant-provided funds.--
Notwithstanding any other provision of law, the Administrator
may accept funds from an applicant for a certificate under this
section to hire additional staff or obtain the services of
consultants and experts to facilitate the timely processing,
review, and issuance of certificates under this section.
``(2) Rules of construction.--
``(A) In general.--Nothing in this section may be
construed as permitting the Administrator to grant
priority or afford any preference to an applicant
providing funds under paragraph (1).
``(B) Policies and procedures.--The Administrator
shall implement such policies and procedures as may be
required to ensure that the acceptance of funds under
paragraph (1) does not prejudice the Administrator in
the issuance of any certificate to an applicant.
``(3) Receipts credited as offsetting collections.--
Notwithstanding section 3302 of title 31, any funds accepted
under this subsection--
``(A) shall be credited as offsetting collections to
the account that finances the activities and services
for which the funds are accepted;
``(B) shall be available for expenditure only to pay
the costs of activities and services for which the
funds are accepted; and
``(C) shall remain available until expended.''.
SEC. 410. FUNDING FOR ADDITIONAL FAA LICENSING NEEDS.
(a) In General.--Chapter 509 of title 51, United States Code, is
amended by adding at the end the following:
``Sec. 50924. Funding to facilitate FAA licensing
``(a) In General.--Notwithstanding any other provision of law, the
Secretary of Transportation may accept funds from a person applying for
a license or permit under this chapter to hire additional staff or
obtain the services of consultants and experts--
``(1) to facilitate the timely processing, review, and
issuance of licenses or permits issued under this chapter;
``(2) to conduct environmental activities, studies, or
reviews associated with such licenses or permits; or
``(3) to conduct additional activities associated with or
necessitated by such licenses or permits, including pre-
application consultation, hazard area determination, or on-site
inspection.
``(b) Rules of Construction.--
``(1) In general.--Nothing in this section may be construed
as permitting the Secretary to grant priority or afford any
preference to an applicant providing funds under subsection
(a).
``(2) Policies and procedures.--The Secretary shall implement
such policies and procedures as may be required to ensure that
the acceptance of funds under subsection (a) does not prejudice
the Secretary in the issuance of any license or permit to an
applicant.
``(c) Receipts Credited as Offsetting Collections.--Notwithstanding
section 3302 of title 31, any funds accepted under this section--
``(1) shall be credited as offsetting collections to the
account that finances the activities and services for which the
funds are accepted;
``(2) shall be available for expenditure only to pay the
costs of activities and services for which the funds are
accepted; and
``(3) shall remain available until expended.''.
(b) Clerical Amendment.--The analysis for chapter 509 of title 51,
United States Code, is amended by adding at the end the following:
``50924. Funding to facilitate FAA licensing.''.
SEC. 411. EMERGENCY MEDICAL EQUIPMENT ON PASSENGER AIRCRAFT.
(a) In General.--Not later than 1 year after the date of enactment of
this Act, the Administrator of the Federal Aviation Administration
shall evaluate and revise, as appropriate, regulations in part 121 of
title 14, Code of Federal Regulations, regarding emergency medical
equipment, including the contents of first-aid kits, applicable to all
certificate holders operating passenger aircraft under that part.
(b) Consideration.--In carrying out subsection (a), the Administrator
shall consider whether the minimum contents of approved emergency
medical kits, including approved first-aid kits, include appropriate
medications and equipment to meet the emergency medical needs of
children.
SEC. 412. HIMS PROGRAM.
Not later than 180 days after the date of enactment of this Act, the
Administrator of the Federal Aviation Administration shall conduct a
human intervention motivation study (HIMS) program for flight
crewmembers employed by commercial air carriers operating in United
States airspace.
SEC. 413. ACCEPTANCE OF VOLUNTARILY PROVIDED SAFETY INFORMATION.
(a) In General.--There shall be a presumption that an individual's
voluntary disclosure of an operational or maintenance issue related to
aviation safety under an aviation safety action program meets the
criteria for acceptance as a valid disclosure under such program.
(b) Disclaimer Required.--Any dissemination of a disclosure that was
submitted and accepted under an aviation safety action program pursuant
to the presumption under subsection (a), but that has not undergone
review by an event review committee, shall be accompanied by a
disclaimer stating that the disclosure--
(1) has not been reviewed by an event review committee tasked
with reviewing such disclosures; and
(2) may subsequently be determined to be ineligible for
inclusion in the aviation safety action program.
(c) Rejection of Disclosure.--A disclosure described under subsection
(a) shall be rejected from an aviation safety action program if, after
a review of the disclosure, an event review committee tasked with
reviewing such disclosures determines that the disclosure fails to meet
the criteria for acceptance under such program.
(d) Aviation Safety Action Program Defined.--In this section, the
term ``aviation safety action program'' means a program established in
accordance with Federal Aviation Administration Advisory Circular 120-
66B, issued November 15, 2002 (including any similar successor advisory
circular), to allow an individual to voluntarily disclose operational
or maintenance issues related to aviation safety.
SEC. 414. FLIGHT ATTENDANT DUTY PERIOD LIMITATIONS AND REST
REQUIREMENTS.
(a) Modification of Final Rule.--
(1) In general.--Not later than 30 days after the date of
enactment of this Act, the Secretary of Transportation shall
modify the final rule of the Federal Aviation Administration
published in the Federal Register on August 19, 1994 (59 Fed.
Reg. 42974; relating to flight attendant duty period
limitations and rest requirements) in accordance with the
requirements of this subsection.
(2) Contents.--The final rule, as modified under paragraph
(1), shall ensure that--
(A) a flight attendant scheduled to a duty period of
14 hours or less is given a scheduled rest period of at
least 10 consecutive hours; and
(B) the rest period is not reduced under any
circumstances.
(b) Fatigue Risk Management Plan.--
(1) Submission of plan by part 121 air carriers.--Not later
than 90 days after the date of enactment of this Act, each air
carrier operating under part 121 of title 14, Code of Federal
Regulations (in this section referred to as a ``part 121 air
carrier''), shall submit to the Administrator of the Federal
Aviation Administration for review and acceptance a fatigue
risk management plan for the carrier's flight attendants.
(2) Contents of plan.--A fatigue risk management plan
submitted by a part 121 air carrier under paragraph (1) shall
include the following:
(A) Current flight time and duty period limitations.
(B) A rest scheme consistent with such limitations
that enables the management of flight attendant
fatigue, including annual training to increase
awareness of--
(i) fatigue;
(ii) the effects of fatigue on flight
attendants; and
(iii) fatigue countermeasures.
(C) Development and use of a methodology that
continually assesses the effectiveness of
implementation of the plan, including the ability of
the plan--
(i) to improve alertness; and
(ii) to mitigate performance errors.
(3) Review.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall review and
accept or reject each fatigue risk management plan submitted
under this subsection. If the Administrator rejects a plan, the
Administrator shall provide suggested modifications for
resubmission of the plan.
(4) Plan updates.--
(A) In general.--A part 121 air carrier shall update
its fatigue risk management plan under paragraph (1)
every 2 years and submit the update to the
Administrator for review and acceptance.
(B) Review.--Not later than 1 year after the date of
submission of a plan update under subparagraph (A), the
Administrator shall review and accept or reject the
update. If the Administrator rejects an update, the
Administrator shall provide suggested modifications for
resubmission of the update.
(5) Compliance.--A part 121 air carrier shall comply with the
fatigue risk management plan of the air carrier that is
accepted by the Administrator under this subsection.
(6) Civil penalties.--A violation of this subsection by a
part 121 air carrier shall be treated as a violation of chapter
447 of title 49, United States Code, for purposes of the
application of civil penalties under chapter 463 of that title.
SEC. 415. SECONDARY COCKPIT BARRIERS.
Not later than 1 year after the date of enactment of this Act, the
Administrator of the Federal Aviation Administration shall issue an
order requiring the installation of a secondary cockpit barrier on each
aircraft that is manufactured for delivery to a passenger air carrier
in the United States operating under the provisions of part 121 of
title 14, Code of Federal Regulations.
SEC. 416. AVIATION MAINTENANCE INDUSTRY TECHNICAL WORKFORCE.
(a) Study.--The Comptroller General of the United States shall
conduct a study on technical workers in the aviation maintenance
industry.
(b) Contents.--In conducting the study, the Comptroller General
shall--
(1) analyze the current Standard Occupational Classification
system with regard to the aviation profession, particularly
technical workers in the aviation maintenance industry;
(2) analyze how changes to the Federal employment
classification of aviation maintenance industry workers might
affect government data on unemployment rates and wages;
(3) analyze how changes to the Federal employment
classification of aviation maintenance industry workers might
affect projections for future aviation maintenance industry
workforce needs and project technical worker shortfalls;
(4) analyze the impact of Federal regulation, including
Federal Aviation Administration oversight of certification,
testing, and education programs, on employment of technical
workers in the aviation maintenance industry;
(5) develop recommendations on how Federal Aviation
Administration regulations and policies could be improved to
address aviation maintenance industry needs for technical
workers; and
(6) develop recommendations for better coordinating actions
by government, educational institutions, and businesses to
support workforce growth in the aviation maintenance industry.
(c) Report.--Not later than 1 year after the date of enactment of
this Act, the Comptroller General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the study.
(d) Definitions.-- In this section, the following definitions apply:
(1) Aviation maintenance industry.--The term ``aviation
maintenance industry'' means repair stations certificated under
part 145 of title 14, Code of Federal Regulations.
(2) Technical worker.--The term ``technical worker'' means an
individual authorized under part 43 of title 14, Code of
Federal Regulations, to maintain, rebuild, alter, or perform
preventive maintenance on an aircraft, airframe, aircraft
engine, propeller, appliance, or component part or employed by
an entity so authorized to perform such a function.
SEC. 417. CRITICAL AIRFIELD MARKINGS.
Not later than 180 days after the date of enactment of this Act, the
Administrator of the Federal Aviation Administration shall issue a
request for proposal for a study that includes--
(1) an independent, third party study to assess the
durability of Type III and Type I glass beads applied to
critical markings over a 2-year period at not fewer than 2
primary airports in varying weather conditions to measure the
retroflectivity levels of such markings on a quarterly basis;
and
(2) a study at 2 other airports carried out by applying Type
III beads on half of the centerline and Type I beads to the
other half and providing for assessments from pilots through
surveys administered by a third party as to the visibility and
performance of the Type III glass beads as compared to the Type
I glass beads over a 1-year period.
Subtitle B--Unmanned Aircraft Systems
SEC. 431. DEFINITIONS.
Except as otherwise provided, the definitions contained in section
45501 of title 49, United States Code (as added by this Act), shall
apply to this subtitle.
SEC. 432. CODIFICATION OF EXISTING LAW; ADDITIONAL PROVISIONS.
(a) In General.--Subtitle VII of title 49, United States Code, is
amended by inserting after chapter 453 the following:
``CHAPTER 455--UNMANNED AIRCRAFT SYSTEMS
``Sec.
``45501. Definitions.
``45502. Integration of civil unmanned aircraft systems into national
airspace system.
``45503. Risk-based permitting of unmanned aircraft systems.
``45504. Public unmanned aircraft systems.
``45505. Special rules for certain unmanned aircraft systems.
``45506. Certification of new air navigation facilities for unmanned
aircraft and other aircraft.
``45507. Special rules for certain UTM and low-altitude CNS.
``45508. Operation of small unmanned aircraft.
``45509. Special rules for model aircraft.
``45510. Carriage of property for compensation or hire.
``45511. Micro UAS operations.
``Sec. 45501. Definitions
``In this chapter, the following definitions apply:
``(1) Aerial data collection.--The term `aerial data
collection' means the gathering of data by a device aboard an
unmanned aircraft during flight, including imagery, sensing,
and measurement by such device.
``(2) Arctic.--The term `Arctic' means the United States zone
of the Chukchi Sea, Beaufort Sea, and Bering Sea north of the
Aleutian chain.
``(3) Certificate of waiver; certificate of authorization.--
The terms `certificate of waiver' and `certificate of
authorization' mean a Federal Aviation Administration grant of
approval for a specific flight operation.
``(4) CNS.--The term `CNS' means a communication, navigation,
or surveillance system or service.
``(5) Model aircraft.--the term `model aircraft' means an
unmanned aircraft that is--
``(A) capable of sustained flight in the atmosphere;
``(B) flown within visual line of sight of the person
operating the aircraft; and
``(C) flown for hobby or recreational purposes.
``(6) Permanent areas.--The term `permanent areas' means
areas on land or water that provide for launch, recovery, and
operation of small unmanned aircraft.
``(7) Public unmanned aircraft system.--The term `public
unmanned aircraft system' means an unmanned aircraft system
that meets the qualifications and conditions required for
operation of a public aircraft (as defined in section
40102(a)).
``(8) Sense-and-avoid capability.--The term `sense-and-avoid
capability' means the capability of an unmanned aircraft to
remain a safe distance from and to avoid collisions with other
airborne aircraft.
``(9) Small unmanned aircraft.--The term `small unmanned
aircraft' means an unmanned aircraft weighing less than 55
pounds, including everything that is on board the aircraft.
``(10) Unmanned aircraft.--The term `unmanned aircraft' means
an aircraft that is operated without the possibility of direct
human intervention from within or on the aircraft.
``(11) Unmanned aircraft system.--The term `unmanned aircraft
system' means an unmanned aircraft and associated elements
(including communication links and the components that control
the unmanned aircraft) that are required for the pilot in
command to operate safely and efficiently in the national
airspace system.
``(12) UTM.--The term `UTM' means an unmanned aircraft
traffic management system or service.
``Sec. 45502. Integration of civil unmanned aircraft systems into
national airspace system
``(a) Required Planning for Integration.--
``(1) Comprehensive plan.--Not later than November 10, 2012,
the Secretary of Transportation, in consultation with
representatives of the aviation industry, Federal agencies that
employ unmanned aircraft systems technology in the national
airspace system, and the unmanned aircraft systems industry,
shall develop a comprehensive plan to safely accelerate the
integration of civil unmanned aircraft systems into the
national airspace system.
``(2) Contents of plan.--The plan required under paragraph
(1) shall contain, at a minimum, recommendations or projections
on--
``(A) the rulemaking to be conducted under subsection
(b), with specific recommendations on how the
rulemaking will--
``(i) define the acceptable standards for
operation and certification of civil unmanned
aircraft systems;
``(ii) ensure that any civil unmanned
aircraft system includes a sense-and-avoid
capability; and
``(iii) establish standards and requirements
for the operator and pilot of a civil unmanned
aircraft system, including standards and
requirements for registration and licensing;
``(B) the best methods to enhance the technologies
and subsystems necessary to achieve the safe and
routine operation of civil unmanned aircraft systems in
the national airspace system;
``(C) a phased-in approach to the integration of
civil unmanned aircraft systems into the national
airspace system;
``(D) a timeline for the phased-in approach described
under subparagraph (C);
``(E) creation of a safe airspace designation for
cooperative manned and unmanned flight operations in
the national airspace system;
``(F) establishment of a process to develop
certification, flight standards, and air traffic
requirements for civil unmanned aircraft systems at
test ranges where such systems are subject to testing;
``(G) the best methods to ensure the safe operation
of civil unmanned aircraft systems and public unmanned
aircraft systems simultaneously in the national
airspace system; and
``(H) incorporation of the plan into the annual
NextGen Implementation Plan document (or any successor
document) of the Federal Aviation Administration.
``(3) Deadline.--The plan required under paragraph (1) shall
provide for the safe integration of civil unmanned aircraft
systems into the national airspace system as soon as
practicable, but not later than September 30, 2015.
``(4) Report to congress.--Not later than February 14, 2013,
the Secretary shall submit to Congress a copy of the plan
required under paragraph (1).
``(5) Roadmap.--Not later than February 14, 2013, the
Secretary shall approve and make available in print and on the
Administration's internet website a 5-year roadmap for the
introduction of civil unmanned aircraft systems into the
national airspace system, as coordinated by the Unmanned
Aircraft Program Office of the Administration. The Secretary
shall update the roadmap annually.
``(b) Rulemaking.--Not later than 18 months after the date on which
the plan required under subsection (a)(1) is submitted to Congress
under subsection (a)(4), the Secretary shall publish in the Federal
Register--
``(1) a final rule on small unmanned aircraft systems that
will allow for civil operation of such systems in the national
airspace system, to the extent the systems do not meet the
requirements for expedited operational authorization under
section 45508;
``(2) a notice of proposed rulemaking to implement the
recommendations of the plan required under subsection (a)(1),
with the final rule to be published not later than 16 months
after the date of publication of the notice; and
``(3) an update to the Administration's most recent policy
statement on unmanned aircraft systems, contained in Docket No.
FAA-2006-25714.
``(c) Expanding Use of Unmanned Aircraft Systems in Arctic.--
``(1) In general.--Not later than August 12, 2012, the
Secretary shall develop a plan and initiate a process to work
with relevant Federal agencies and national and international
communities to designate permanent areas in the Arctic where
small unmanned aircraft may operate 24 hours per day for
research and commercial purposes. The plan for operations in
these permanent areas shall include the development of
processes to facilitate the safe operation of unmanned aircraft
beyond line of sight. Such areas shall enable over-water
flights from the surface to at least 2,000 feet in altitude,
with ingress and egress routes from selected coastal launch
sites.
``(2) Agreements.--To implement the plan under paragraph (1),
the Secretary may enter into an agreement with relevant
national and international communities.
``(3) Aircraft approval.--Not later than 1 year after the
entry into force of an agreement necessary to effectuate the
purposes of this subsection, the Secretary shall work with
relevant national and international communities to establish
and implement a process, or may apply an applicable process
already established, for approving the use of unmanned aircraft
in the designated permanent areas in the Arctic without regard
to whether an unmanned aircraft is used as a public aircraft, a
civil aircraft, or a model aircraft.
``Sec. 45503. Risk-based permitting of unmanned aircraft systems
``(a) In General.--Not later than 120 days after the date of
enactment of this section, the Administrator of the Federal Aviation
Administration shall establish procedures for issuing permits under
this section with respect to certain unmanned aircraft systems and
operations thereof.
``(b) Permitting Standards.--Upon the submission of an application in
accordance with subsection (d), the Administrator shall issue a permit
with respect to the proposed operation of an unmanned aircraft system
if the Administrator determines that the unmanned aircraft system and
the proposed operation achieve a level of safety that is equivalent
to--
``(1) other unmanned aircraft systems and operations
permitted under regulation, exemption, or other authority
granted by the Administrator; or
``(2) any other aircraft operation approved by the
Administrator with similar risk characteristics or profiles.
``(c) Safety Criteria for Consideration.--In determining whether a
proposed operation meets the standards described in subsection (b), the
Administrator shall consider the following safety criteria:
``(1) The kinetic energy of the unmanned aircraft system.
``(2) The location of the proposed operation, including the
proximity to--
``(A) structures;
``(B) congested areas;
``(C) special-use airspace; and
``(D) persons on the ground.
``(3) The nature of the operation, including any proposed
risk mitigation.
``(4) Any known hazard of the proposed operation and the
severity and likelihood of such hazard.
``(5) Any known failure modes of the unmanned aircraft
system, failure mode effects and criticality, and any
mitigating features or capabilities.
``(6) The operational history of relevant technologies, if
available.
``(7) Any history of civil penalties or certificate actions
by the Administrator against the applicant seeking the permit.
``(8) Any other safety criteria the Administrator considers
appropriate.
``(d) Application.--An application under this section shall include
evidence that the unmanned aircraft system and the proposed operation
thereof meet the standards described in subsection (b) based on the
criteria described in subsection (c).
``(e) Scope of Permit.--A permit issued under this section shall--
``(1) be valid for 5 years;
``(2) constitute approval of both the airworthiness of the
unmanned aircraft system and the proposed operation of such
system;
``(3) be renewable for additional 5-year periods; and
``(4) contain any terms necessary to ensure aviation safety.
``(f) Notice.--Not later than 120 days after the Administrator
receives a complete application under subsection (d), the Administrator
shall provide the applicant written notice of a decision to approve or
disapprove of the application or to request a modification of the
application that is necessary for approval of the application.
``(g) Permitting Process.--The Administrator shall issue a permit
under this section without regard to subsections (b) through (d) of
section 553 of title 5 and chapter 35 of title 44 if the Administrator
determines that the operation permitted will not occur near a congested
area.
``(h) Exemption From Certain Requirements.--To the extent consistent
with aviation safety, the Administrator may exempt applicants under
this section from paragraphs (1) through (3) of section 44711(a).
``(i) Withdrawal.--The Administrator may, at any time, modify or
withdraw a permit issued under this section.
``(j) Applicability.--This section shall not apply to small unmanned
aircraft systems and operations authorized by the final rule on small
unmanned aircraft systems issued pursuant to section 45502(b)(1).
``(k) Expedited Review.--The Administrator shall review and act upon
applications under this section on an expedited basis for unmanned
aircraft systems and operations thereof to be used primarily in, or
primarily in direct support of, emergency preparedness, emergency
response, or disaster recovery efforts, including efforts in connection
with natural disasters and severe weather events.
``Sec. 45504. Public unmanned aircraft systems
``(a) Guidance.--Not later than November 10, 2012, the Secretary of
Transportation shall issue guidance regarding the operation of public
unmanned aircraft systems to--
``(1) expedite the issuance of a certificate of authorization
process;
``(2) provide for a collaborative process with public
agencies to allow for an incremental expansion of access to the
national airspace system as technology matures and the
necessary safety analysis and data become available, and until
standards are completed and technology issues are resolved;
``(3) facilitate the capability of public agencies to develop
and use test ranges, subject to operating restrictions required
by the Federal Aviation Administration, to test and operate
unmanned aircraft systems; and
``(4) provide guidance on a public entity's responsibility
when operating an unmanned aircraft without a civil
airworthiness certificate issued by the Administration.
``(b) Standards for Operation and Certification.--Not later than
December 31, 2015, the Administrator shall develop and implement
operational and certification requirements for the operation of public
unmanned aircraft systems in the national airspace system.
``(c) Agreements With Government Agencies.--
``(1) In general.--Not later than May 14, 2012, the Secretary
shall enter into agreements with appropriate government
agencies to simplify the process for issuing certificates of
waiver or authorization with respect to applications seeking
authorization to operate public unmanned aircraft systems in
the national airspace system.
``(2) Contents.--The agreements shall--
``(A) with respect to an application described in
paragraph (1)--
``(i) provide for an expedited review of the
application;
``(ii) require a decision by the
Administrator on approval or disapproval within
60 business days of the date of submission of
the application; and
``(iii) allow for an expedited appeal if the
application is disapproved;
``(B) allow for a one-time approval of similar
operations carried out during a fixed period of time;
and
``(C) allow a government public safety agency to
operate unmanned aircraft weighing 4.4 pounds or less,
if operated--
``(i) within the line of sight of the
operator;
``(ii) less than 400 feet above the ground;
``(iii) during daylight conditions;
``(iv) within Class G airspace; and
``(v) outside of 5 statute miles from any
airport, heliport, seaplane base, spaceport, or
other location with aviation activities.
``Sec. 45505. Special rules for certain unmanned aircraft systems
``(a) In General.--Notwithstanding any other requirement of this
subtitle, and not later than August 12, 2012, the Secretary of
Transportation shall determine if certain unmanned aircraft systems may
operate safely in the national airspace system before completion of the
plan and rulemaking required by section 45502 or the guidance required
under section 45504.
``(b) Assessment of Unmanned Aircraft Systems.--In making the
determination under subsection (a), the Secretary shall determine, at a
minimum--
``(1) which types of unmanned aircraft systems, if any, as a
result of their size, weight, speed, operational capability,
proximity to airports and populated areas, and operation within
visual line of sight do not create a hazard to users of the
national airspace system or the public or pose a threat to
national security; and
``(2) whether a certificate of waiver, certificate of
authorization, or airworthiness certification under section
44704 is required for the operation of unmanned aircraft
systems identified under paragraph (1).
``(c) Requirements for Safe Operation.--If the Secretary determines
under this section that certain unmanned aircraft systems may operate
safely in the national airspace system, the Secretary shall establish
requirements for the safe operation of such aircraft systems in the
national airspace system.
``Sec. 45506. Certification of new air navigation facilities for
unmanned aircraft and other aircraft
``(a) In General.--Not later than 18 months after the date of
enactment of this section, and notwithstanding section 2208 of the FAA
Extension, Safety, and Security Act of 2016 (49 U.S.C. 40101 note), the
Administrator of the Federal Aviation Administration shall initiate a
rulemaking to establish procedures for issuing air navigation facility
certificates pursuant to section 44702 to operators of--
``(1) UTM for unmanned aircraft operations that occur
primarily or exclusively in airspace 400 feet above ground
level and below; and
``(2) low-altitude CNS for aircraft operations that occur
primarily or exclusively in airspace 400 feet above ground
level and below.
``(b) Minimum Requirements.--In issuing a final rule pursuant to
subsection (a), the Administrator, at a minimum, shall provide for the
following:
``(1) Certification standards.--The Administrator shall issue
an air navigation facility certificate under the final rule if
the Administrator determines that a UTM or low-altitude CNS
facilitates or improves the safety of unmanned aircraft or
other aircraft operations that occur primarily or exclusively
in airspace 400 feet above ground level and below, including
operations conducted under a waiver issued pursuant to subpart
D of part 107 of title 14, Code of Federal Regulations.
``(2) Criteria for consideration.--In determining whether a
UTM or low-altitude CNS meets the standard described in
paragraph (1), the Administrator shall, as appropriate,
consider--
``(A) protection of persons and property on the
ground;
``(B) remote identification of aircraft;
``(C) collision avoidance with respect to obstacles
and aircraft;
``(D) deconfliction of aircraft trajectories;
``(E) safe and reliable interoperability or
noninterference with air traffic control and other
systems operated in the national airspace system;
``(F) detection of noncooperative aircraft;
``(G) geographic and local factors;
``(H) aircraft equipage; and
``(I) qualifications, if any, necessary to operate
the UTM or low-altitude CNS.
``(3) Application.--An application for an air navigation
facility certificate under the final rule shall include
evidence that the UTM or low-altitude CNS meets the standard
described in paragraph (1) based on the criteria described in
paragraph (2).
``(4) Scope of certificate.--The Administrator shall ensure
that an air navigation facility certificate issued under the
final rule--
``(A) constitutes approval of the UTM or low-altitude
CNS for the duration of the term of the certificate;
``(B) constitutes authorization to operate the UTM or
low-altitude CNS for the duration of the term of the
certificate; and
``(C) contains such limitations and conditions as may
be necessary to ensure aviation safety.
``(5) Notice.--Not later than 120 days after the
Administrator receives a complete application under the final
rule, the Administrator shall provide the applicant with a
written approval, disapproval, or request to modify the
application.
``(6) Low risk areas.--Under the final rule, the
Administrator shall establish expedited procedures for approval
of UTM or low-altitude CNS operated in--
``(A) airspace away from congested areas; or
``(B) other airspace above areas in which operations
of unmanned aircraft pose very low risk.
``(7) Exemption from certain requirements.--To the extent
consistent with aviation safety, the Administrator may exempt
applicants under the final rule from requirements under
sections 44702, 44703, and 44711.
``(8) Certificate modifications and revocations.--A
certificate issued under the final rule may, at any time, be
modified or revoked by the Administrator.
``(c) Consultation.--In carrying out this section, the Administrator
shall consult with other Federal agencies, as appropriate.
``Sec. 45507. Special rules for certain UTM and low-altitude CNS
``(a) In General.--Notwithstanding any other requirement of this
chapter, and not later than 120 days after the date of enactment of
this section, the Secretary of Transportation shall determine if
certain UTM and low-altitude CNS may operate safely in the national
airspace system before completion of the rulemaking required by section
45506.
``(b) Assessment of UTM and Low-Altitude CNS.--In making the
determination under subsection (a), the Secretary shall determine, at a
minimum, which types of UTM and low-altitude CNS, if any, as a result
of their operational capabilities, reliability, intended use, and areas
of operation, and the characteristics of the aircraft involved, do not
create a hazard to users of the national airspace system or the public.
``(c) Requirements for Safe Operation.--If the Secretary determines
that certain UTM and low-altitude CNS may operate safely in the
national airspace system, the Secretary shall establish requirements
for their safe operation in the national airspace system.
``(d) Expedited Procedures.--The Secretary shall provide expedited
procedures for reviewing and approving UTM or low-altitude CNS operated
to monitor or control aircraft operated primarily or exclusively in
airspace above--
``(1) croplands;
``(2) areas other than congested areas; and
``(3) other areas in which the operation of unmanned aircraft
poses very low risk.
``(e) Consultation.--In carrying out this section, the Administrator
shall consult with other Federal agencies, as appropriate.
``Sec. 45508. Operation of small unmanned aircraft
``(a) Exemption and Certificate of Waiver or Authorization for
Certain Operations.--Not later than 270 days after the date of
enactment of this section, the Administrator of the Federal Aviation
Administration shall establish a procedure for granting an exemption
and issuing a certificate of waiver or authorization for the operation
of a small unmanned aircraft system in United States airspace for the
purposes described in section 45501(1).
``(b) Operation of Exemption and Certificate of Waiver or
Authorization.--
``(1) Exemption.--An exemption granted under this section
shall--
``(A) exempt the operator of a small unmanned
aircraft from the provisions of title 14, Code of
Federal Regulations, that are exempted in Exemption No.
11687, issued on May 26, 2015, Regulatory Docket Number
FAA-2015-0117, or in a subsequent exemption; and
``(B) contain conditions and limitations described in
paragraphs 3 through 31 of such Exemption No. 11687, or
conditions and limitations of a subsequent exemption.
``(2) Certificate of waiver or authorization.--A certificate
of waiver or authorization issued under this section shall
allow the operation of small unmanned aircraft according to--
``(A) the standard provisions and air traffic control
special provisions of the certificate of waiver or
authorization FAA Form 7711-1 (7-74); or
``(B) the standard and special provisions of a
subsequent certificate of waiver or authorization.
``(c) Notice to Administrator.--Before operating a small unmanned
aircraft pursuant to a certificate of waiver or authorization granted
under this section, the operator shall provide written notice to the
Administrator, in a form and manner specified by the Administrator,
that contains such information and assurances as the Administrator
determines necessary in the interest of aviation safety and the
efficiency of the national airspace system, including a certification
that the operator has read, understands, and will comply with all
terms, conditions, and limitations of the certificate of waiver or
authorization.
``(d) Waiver of Airworthiness Certificate.--Notwithstanding section
44711(a)(1), the holder of a certificate of waiver or authorization
granted under this section may operate a small unmanned aircraft under
the terms, conditions, and limitations of such certificate without an
airworthiness certificate.
``(e) Procedure.--The granting of an exemption or the issuance of a
certificate of waiver or authorization, or any other action authorized
by this section, shall be made without regard to--
``(1) section 553 of title 5; or
``(2) chapter 35 of title 44.
``(f) Statutory Construction.--Nothing in this section may be
construed to--
``(1) affect the issuance of a rule by or any other activity
of the Secretary of Transportation or the Administrator under
any other provision of law; or
``(2) invalidate an exemption or certificate of waiver or
authorization issued by the Administrator before the date of
enactment of this section.
``(g) Effective Periods.--An exemption or certificate of waiver or
authorization issued under this section, or an amendment of such
exemption or certificate, shall cease to be valid on the effective date
of a final rule on small unmanned aircraft systems issued under section
45502(b)(1).
``Sec. 45509. Special rules for model aircraft
``(a) In General.--Notwithstanding any other provision of law
relating to the incorporation of unmanned aircraft systems into Federal
Aviation Administration plans and policies, including this subtitle,
the Administrator of the Federal Aviation Administration may not
promulgate any rule or regulation regarding a model aircraft or an
aircraft being developed as a model aircraft (other than the
registration of certain model aircraft pursuant to section 44103), if--
``(1) the aircraft is flown strictly for hobby or
recreational use;
``(2) the aircraft is operated in accordance with a
community-based set of safety guidelines and within the
programming of a community-based organization;
``(3) the aircraft is limited to not more than 55 pounds
unless otherwise certified through a design, construction,
inspection, flight test, and operational safety program
administered by a community-based organization;
``(4) the aircraft is operated in a manner that does not
interfere with and gives way to any manned aircraft;
``(5) the aircraft is not operated over or within the
property of a fixed site facility that operates amusement rides
available for use by the general public or the property
extending 500 lateral feet beyond the perimeter of such
facility unless the operation is authorized by the owner of the
amusement facility; and
``(6) when flown within 5 miles of an airport, the operator
of the aircraft provides the airport operator and the airport
air traffic control tower (when an air traffic facility is
located at the airport) with prior notice of the operation
(model aircraft operators flying from a permanent location
within 5 miles of an airport should establish a mutually agreed
upon operating procedure with the airport operator and the
airport air traffic control tower (when an air traffic facility
is located at the airport)).
``(b) Commercial Operation for Instructional or Educational
Purposes.--A flight of an unmanned aircraft shall be treated as a
flight of a model aircraft for purposes of subsection (a) (regardless
of any compensation, reimbursement, or other consideration exchanged or
incidental economic benefit gained in the course of planning,
operating, or supervising the flight), if the flight is--
``(1) conducted for instructional or educational purposes;
and
``(2) operated or supervised by a member of a community-based
organization recognized pursuant to subsection (e).
``(c) Statutory Construction.--Nothing in this section may be
construed to limit the authority of the Administrator to pursue
enforcement action against persons operating model aircraft who
endanger the safety of the national airspace system.
``(d) Community-Based Organization Defined.--In this section, the
term `community-based organization' means an entity that--
``(1) is described in section 501(c)(3) of the Internal
Revenue Code of 1986;
``(2) is exempt from tax under section 501(a) of the Internal
Revenue Code of 1986;
``(3) the mission of which is demonstrably the furtherance of
model aviation;
``(4) provides a comprehensive set of safety guidelines for
all aspects of model aviation addressing the assembly and
operation of model aircraft and that emphasize safe
aeromodeling operations within the national airspace system and
the protection and safety of individuals and property on the
ground;
``(5) provides programming and support for any local charter
organizations, affiliates, or clubs; and
``(6) provides assistance and support in the development and
operation of locally designated model aircraft flying sites.
``(e) Recognition of Community-Based Organizations.--Not later than
180 days after the date of enactment of this section, the Administrator
shall establish, and make available to the public, a process for
recognizing community-based organizations that meet the eligibility
criteria under subsection (d).
``Sec. 45510. Carriage of property for compensation or hire
``(a) In General.--Not later than 1 year after the date of enactment
of this section, the Secretary of Transportation shall issue a final
rule authorizing the carriage of property by operators of small
unmanned aircraft systems for compensation or hire within the United
States.
``(b) Contents.--The final rule required under subsection (a) shall
provide for the following:
``(1) Small uas air carrier certificate.--The Administrator
of the Federal Aviation Administration, at the direction of the
Secretary, shall establish a small UAS air carrier certificate
for persons that undertake directly, or by lease or other
arrangement, the operation of small unmanned aircraft systems
to carry property in air transportation, including commercial
fleet operations with highly automated unmanned aircraft
systems. The requirements to obtain a small UAS air carrier
certificate shall--
``(A) account for the unique characteristics of
highly automated small unmanned aircraft systems; and
``(B) include only those obligations necessary for
the safe operation of small unmanned aircraft systems.
``(2) Small uas air carrier certification process.--The
Administrator, at the direction of the Secretary, shall
establish a process for the issuance of a small UAS air carrier
certificate described in paragraph (1) that is streamlined,
simple, performance-based, and risk-based. Such certification
process shall consider--
``(A) safety and the mitigation of operational risks
from highly automated small unmanned aircraft systems
to the safety of other aircraft, and persons and
property on the ground;
``(B) the safety and reliability of highly automated
small unmanned aircraft system design, including
technological capabilities and operational limitations
to mitigate such risks; and
``(C) the competencies and compliance programs of
manufacturers, operators, and companies that both
manufacture and operate small unmanned aircraft systems
and components.
``(3) Small uas air carrier classification.--The Secretary
shall develop a classification system for small unmanned
aircraft systems air carriers to establish economic authority
for the carriage of property by small unmanned aircraft systems
for compensation or hire. Such classification shall only
require--
``(A) registration with the Department of
Transportation; and
``(B) a valid small UAS air carrier certificate as
described in paragraph (1).
``Sec. 45511. Micro UAS operations
``(a) In General.--Not later than 60 days after the date of enactment
of this section, the Administrator of the Federal Aviation
Administration shall charter an aviation rulemaking advisory committee
to develop recommendations for regulations under which any person may
operate a micro unmanned aircraft system, the aircraft component of
which weighs 4.4 pounds or less, including payload, without the person
operating the system being required to pass any airman certification
requirement, including any requirements under section 44703, part 61 of
title 14, Code of Federal Regulations, or any other rule or regulation
relating to airman certification.
``(b) Considerations.--In developing recommendations for the
operation of micro unmanned aircraft systems under subsection (a), the
members of the aviation rulemaking advisory committee shall consider
rules for operation of such systems--
``(1) at an altitude of less than 400 feet above ground
level;
``(2) with an airspeed of not greater than 40 knots;
``(3) within the visual line of sight of the operator;
``(4) during the hours between sunrise and sunset;
``(5) by an operator who has passed an aeronautical knowledge
and safety test administered by the Federal Aviation
Administration online specifically for the operation of micro
unmanned aircraft systems, with such test being of a length and
difficulty that acknowledges the reduced operational complexity
and low risk of micro unmanned aircraft systems;
``(6) not over unprotected persons uninvolved in its
operation; and
``(7) at least 5 statute miles from the geographic center of
a tower-controlled airport or airport denoted on a current
Federal Aviation Administration-published aeronautical chart,
except that a micro unmanned aircraft system may be operated
closer than 5 statute miles to the airport if the operator--
``(A) provides prior notice to the airport operator;
and
``(B) receives, for a tower-controlled airport, prior
approval from the air traffic control facility located
at the airport.
``(c) Consultation.--
``(1) In general.--In developing recommendations for
recommended regulations under subsection (a), the aviation
rulemaking advisory committee shall consult with--
``(A) unmanned aircraft systems stakeholders,
including manufacturers of micro unmanned aircraft
systems;
``(B) community-based aviation organizations;
``(C) the Center of Excellence for Unmanned Aircraft
Systems; and
``(D) appropriate Federal agencies.
``(2) FACA.--The Federal Advisory Committee Act (5 U.S.C.
App.) shall not apply to an aviation rulemaking advisory
committee chartered under this section.
``(d) Rulemaking.--Not later than 180 days after the date of receipt
of the recommendations under subsection (a), the Administrator shall
issue regulations incorporating recommendations of the aviation
rulemaking advisory committee that provide for the operation of micro
unmanned aircraft systems in the United States--
``(1) without an airman certificate; and
``(2) without an airworthiness certificate for the associated
unmanned aircraft.
``(e) Scope of Regulations.--
``(1) In general.--In determining whether a person may
operate an unmanned aircraft system under 1 or more of the
circumstances described under paragraphs (1) through (3) of
subsection (b), the Administrator shall use a risk-based
approach and consider, at a minimum, the physical and
functional characteristics of the unmanned aircraft system.
``(2) Limitation.--The Administrator may only issue
regulations under this section for unmanned aircraft systems
that the Administrator determines may be operated safely in the
national airspace system pursuant to those regulations.
``(f) Rules of Construction.--Nothing in this section may be
construed--
``(1) to prohibit a person from operating an unmanned
aircraft system under a circumstance described under paragraphs
(1) through (3) of subsection (b) if--
``(A) the circumstance is allowed by regulations
issued under this section; and
``(B) the person operates the unmanned aircraft
system in a manner prescribed by the regulations; or
``(2) to limit or affect in any way the Administrator's
authority to conduct a rulemaking, make a determination, or
carry out any activity related to unmanned aircraft or unmanned
aircraft systems under any other provision of law.''.
(b) Conforming Amendments.--
(1) Repeals.--
(A) In general.--Sections 332(a), 332(b), 332(d),
333, 334, and 336 of the FAA Modernization and Reform
Act of 2012 (49 U.S.C. 40101 note) are repealed.
(B) Clerical amendment.--The items relating to
sections 333, 334, and 336 of the FAA Modernization and
Reform Act of 2012 (49 U.S.C. 40101 note) in the table
of contents contained in section 1(b) of that Act are
repealed.
(2) Penalties.--Section 46301 of title 49, United States
Code, is amended--
(A) in subsection (a)--
(i) in paragraph (1)(A) by inserting
``chapter 455,'' after ``chapter 451,''; and
(ii) in paragraph (5)(A)(i) by striking ``or
chapter 451,'' and inserting ``chapter 451,
chapter 455,'';
(B) in subsection (d)(2) by inserting ``chapter
455,'' after ``chapter 451,''; and
(C) in subsection (f)(1)(A)(i) by striking ``or
chapter 451'' and inserting ``chapter 451, or chapter
455''.
(3) Clerical amendment.--The analysis for subtitle VII of
title 49, United States Code, is amended by inserting after the
item relating to chapter 453 the following:
``455. Unmanned aircraft systems............................ 45501''.
SEC. 433. UNMANNED AIRCRAFT TEST RANGES.
(a) Extension of Program.--Section 332(c)(1) of the FAA Modernization
and Reform Act of 2012 (49 U.S.C. 40101 note) is amended by striking
``September 30, 2019'' and inserting ``the date that is 6 years after
the date of enactment of the 21st Century AIRR Act''.
(b) Sense-and-Avoid and Beyond Line of Sight Systems at Test
Ranges.--
(1) In general.--To the extent consistent with aviation
safety, the Administrator of the Federal Aviation
Administration shall permit and encourage flights of unmanned
aircraft equipped with sense-and-avoid and beyond line of sight
systems at the 6 test ranges designated under section 332(c) of
the FAA Modernization and Reform Act of 2012.
(2) Waivers.--In carrying out paragraph (1), the
Administrator may waive the requirements of section 44711 of
title 49, United States Code, including related regulations, to
the extent consistent with aviation safety.
(c) Test Range Defined.--In this section, the term ``test range''
means a defined geographic area where research and development are
conducted.
SEC. 434. SENSE OF CONGRESS REGARDING UNMANNED AIRCRAFT SAFETY.
It is the sense of Congress that--
(1) the unauthorized operation of unmanned aircraft near
airports presents a serious hazard to aviation safety;
(2) a collision between an unmanned aircraft and a
conventional aircraft in flight could jeopardize the safety of
persons aboard the aircraft and on the ground;
(3) Federal aviation regulations, including sections 91.126
through 91.131 of title 14, Code of Federal Regulations,
prohibit unauthorized operation of an aircraft in controlled
airspace near an airport;
(4) Federal aviation regulations, including section 91.13 of
title 14, Code of Federal Regulations, prohibit the operation
of an aircraft in a careless or reckless manner so as to
endanger the life or property of another;
(5) the Administrator of the Federal Aviation Administration
should pursue all available civil and administrative remedies
available to the Administrator, including referrals to other
government agencies for criminal investigations, with respect
to persons who operate unmanned aircraft in an unauthorized
manner;
(6) the Administrator should place particular priority on
continuing measures, including partnerships with
nongovernmental organizations, to educate the public about the
dangers to the public safety of operating unmanned aircraft
near airports without the appropriate approvals or
authorizations; and
(7) manufacturers and retail sellers of small unmanned
aircraft systems should take steps to educate consumers about
the safe and lawful operation of such systems.
SEC. 435. UAS PRIVACY REVIEW.
(a) Review.--The Secretary of Transportation, in consultation with
the heads of appropriate Federal agencies, appropriate State and local
officials, and subject-matter experts and in consideration of relevant
efforts led by the National Telecommunications and Information
Administration, shall carry out a review to identify any potential
reduction of privacy specifically caused by the integration of unmanned
aircraft systems into the national airspace system.
(b) Consultation.--In carrying out the review, the Secretary shall
consult with the National Telecommunications and Information
Administration of the Department of Commerce on its ongoing efforts
responsive to the Presidential memorandum titled ``Promoting Economic
Competitiveness While Safeguarding Privacy, Civil Rights, and Civil
Liberties in Domestic Use of Unmanned Aircraft Systems'' and dated
February 15, 2015.
(c) Report.--Not later than 180 days after the date of enactment of
this Act, the Secretary shall submit to the Committee on Transportation
and Infrastructure of the House of Representatives and the Committee on
Commerce, Science, and Transportation of the Senate a report on the
results of the review required under subsection (a).
SEC. 436. PUBLIC UAS OPERATIONS BY TRIBAL GOVERNMENTS.
(a) Public UAS Operations by Tribal Governments.--Section
40102(a)(41) of title 49, United States Code, is amended by adding at
the end the following:
``(F) An unmanned aircraft that is owned and operated
by, or exclusively leased for at least 90 continuous
days by, an Indian Tribal government, as defined in
section 102 of the Robert T. Stafford Disaster Relief
and Emergency Assistance Act (42 U.S.C. 5122), except
as provided in section 40125(b).''.
(b) Conforming Amendment.--Section 40125(b) of title 49, United
States Code, is amended by striking ``or (D)'' and inserting ``(D), or
(F)''.
SEC. 437. EVALUATION OF AIRCRAFT REGISTRATION FOR SMALL UNMANNED
AIRCRAFT.
(a) Metrics.--Beginning not later than 180 days after the date of
enactment of this Act, the Administrator of the Federal Aviation
Administration shall develop and track metrics to assess compliance
with and effectiveness of the registration of small unmanned aircraft
systems by the Federal Aviation Administration pursuant to the interim
final rule issued on December 16, 2015, entitled ``Registration and
Marking Requirements for Small Unmanned Aircraft'' (80 Fed. Reg. 78593)
and any subsequent final rule, including metrics with respect to--
(1) the levels of compliance with the interim final rule and
any subsequent final rule;
(2) the number of enforcement actions taken by the
Administration for violations of or noncompliance with the
interim final rule and any subsequent final rule, together with
a description of the actions; and
(3) the effect of the interim final rule and any subsequent
final rule on compliance with any fees associated with the use
of small unmanned aircraft systems.
(b) Evaluation.--The Inspector General of the Department of
Transportation shall evaluate--
(1) the Administration's progress in developing and tracking
the metrics set forth in subsection (a); and
(2) the reliability, effectiveness, and efficiency of the
Administration's registration program for small unmanned
aircraft.
(c) Report.--Not later than 1 year after the date of enactment of
this Act, the Inspector General of the Department of Transportation
shall submit to the Committee on Transportation and Infrastructure of
the House of Representatives and the Committee on Commerce, Science,
and Transportation of the Senate a report containing--
(1) the results of the evaluation required under subsection
(b); and
(2) recommendations to the Administrator and Congress for
improvements to the registration process for small unmanned
aircraft.
SEC. 438. STUDY ON ROLES OF GOVERNMENTS RELATING TO LOW-ALTITUDE
OPERATION OF SMALL UNMANNED AIRCRAFT.
(a) In General.--Not later than 60 days after the date of enactment
of this Act, the Inspector General of the Department of Transportation
shall initiate a study on--
(1) the regulation and oversight of the low-altitude
operations of small unmanned aircraft and small unmanned
aircraft systems; and
(2) the appropriate roles and responsibilities of Federal,
State, local, and Tribal governments in regulating and
overseeing the operations of small unmanned aircraft in
airspace 400 feet above ground level and below.
(b) Considerations.--In carrying out the study, the Inspector General
shall consider, at a minimum--
(1) the recommendations of Task Group 1 of the Drone Advisory
Committee chartered by the Federal Aviation Administration on
August 31, 2016;
(2) the legal and policy requirements necessary for the safe
and financially viable development and growth of the unmanned
aircraft industry;
(3) the interests of Federal, State, local, and Tribal
governments affected by low-altitude operations of small
unmanned aircraft;
(4) the existing authorities of Federal, State, local, and
Tribal governments to protect the interests referenced in
paragraph (3);
(5) the degree of regulatory consistency required for the
safe and financially viable growth and development of the
unmanned aircraft industry;
(6) the degree of local variance possible among regulations
consistent with the safe and financially viable growth and
development of the unmanned aircraft industry;
(7) the appropriate roles of State, local, and Tribal
governments in regulating the operations of small unmanned
aircraft within the lateral boundaries of their jurisdiction in
the categories of airspace described in subsection (a)(2);
(8) the subjects and types of regulatory authority that
should remain with the Federal Government;
(9) the infrastructure requirements necessary for monitoring
the low-altitude operations of small unmanned aircraft and
enforcing applicable laws;
(10) the number of small businesses involved in the various
sectors of the unmanned aircraft industry and operating as
primary users of small unmanned aircraft; and
(11) any best practices, lessons learned, or policies of
jurisdictions outside the United States relating to local or
regional regulation and oversight of small unmanned aircraft
and other emergent technologies.
(c) Report to Congress.--Not later than 180 days after initiating the
study, the Inspector General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the study.
SEC. 439. STUDY ON FINANCING OF UNMANNED AIRCRAFT SERVICES.
(a) In General.--Not later than 60 days after the date of enactment
of this Act, the Comptroller General of the United States shall
initiate a study on appropriate fee mechanisms to recover the costs
of--
(1) the regulation and safety oversight of unmanned aircraft
and unmanned aircraft systems; and
(2) the provision of air navigation services to unmanned
aircraft and unmanned aircraft systems.
(b) Considerations.--In carrying out the study, the Comptroller
General shall consider, at a minimum--
(1) the recommendations of Task Group 3 of the Drone Advisory
Committee chartered by the Federal Aviation Administration on
August 31, 2016;
(2) the total annual costs incurred by the Federal Aviation
Administration for the regulation and safety oversight of
activities related to unmanned aircraft;
(3) the annual costs attributable to various types, classes,
and categories of unmanned aircraft activities;
(4) air traffic services provided to unmanned aircraft
operating under instrument flight rules, excluding public
aircraft;
(5) the number of full-time Federal Aviation Administration
employees dedicated to unmanned aircraft programs;
(6) the use of privately operated UTM and other privately
operated unmanned aircraft systems;
(7) the projected growth of unmanned aircraft operations for
various applications and the estimated need for regulation,
oversight, and other services;
(8) the number of small businesses involved in the various
sectors of the unmanned aircraft industry and operating as
primary users of unmanned aircraft; and
(9) any best practices or policies utilized by jurisdictions
outside the United States relating to partial or total recovery
of regulation and safety oversight costs related to unmanned
aircraft and other emergent technologies.
(c) Report to Congress.--Not later than 180 days after initiating the
study, the Comptroller General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report containing recommendations on appropriate fee mechanisms to
recover the costs of regulating and providing air navigation services
to unmanned aircraft and unmanned aircraft systems.
SEC. 440. UPDATE OF FAA COMPREHENSIVE PLAN.
(a) In General.--Not later than 270 days after the date of enactment
of this Act, the Secretary of Transportation shall update the
comprehensive plan required by section 332 of the FAA Modernization and
Reform Act of 2012 (49 U.S.C. 40101 note) to develop a concept of
operations for the integration of unmanned aircraft into the national
airspace system.
(b) Considerations.--In carrying out the update, the Secretary shall
consider, at a minimum--
(1) the potential use of UTM and other technologies to ensure
the safe and lawful operation of unmanned aircraft in the
national airspace system;
(2) the appropriate roles, responsibilities, and authorities
of government agencies and the private sector in identifying
and reporting unlawful or harmful operations and operators of
unmanned aircraft;
(3) the use of models, threat assessments, probabilities, and
other methods to distinguish between lawful and unlawful
operations of unmanned aircraft; and
(4) appropriate systems, training, intergovernmental
processes, protocols, and procedures to mitigate risks and
hazards posed by unlawful or harmful operations of unmanned
aircraft systems.
(c) Consultation.--The Secretary shall carry out the update in
consultation with representatives of the aviation industry, Federal
agencies that employ unmanned aircraft systems technology in the
national airspace system, and the unmanned aircraft systems industry.
SEC. 441. COOPERATION RELATED TO CERTAIN COUNTER-UAS TECHNOLOGY.
In matters relating to the use of systems in the national airspace
system intended to mitigate threats posed by errant or hostile unmanned
aircraft system operations, the Secretary of Transportation shall
consult with the Secretary of Defense to streamline deployment of such
systems by drawing upon the expertise and experience of the Department
of Defense in acquiring and operating such systems consistent with the
safe and efficient operation of the national airspace system.
TITLE V--AIR SERVICE IMPROVEMENTS
Subtitle A--Airline Customer Service Improvements
SEC. 501. RELIABLE AIR SERVICE IN AMERICAN SAMOA.
Section 40109(g) of title 49, United States Code, is amended--
(1) in paragraph (2) by striking subparagraph (C) and
inserting the following:
``(C) review the exemption at least every 30 days (or, in the
case of an exemption that is necessary to provide and sustain
air transportation in American Samoa between the islands of
Tutuila and Manu'a, at least every 180 days) to ensure that the
unusual circumstances that established the need for the
exemption still exist.''; and
(2) by striking paragraph (3) and inserting the following:
``(3) Renewal of exemptions.--
``(A) In general.--Except as provided in subparagraph
(B), the Secretary may renew an exemption (including
renewals) under this subsection for not more than 30
days.
``(B) Exception.--The Secretary may renew an
exemption (including renewals) under this subsection
that is necessary to provide and sustain air
transportation in American Samoa between the islands of
Tutuila and Manu'a for not more than 180 days.
``(4) Continuation of exemptions.--An exemption granted by
the Secretary under this subsection may continue for not more
than 5 days after the unusual circumstances that established
the need for the exemption cease.''.
SEC. 502. CELL PHONE VOICE COMMUNICATION BAN.
(a) In General.--Subchapter I of chapter 417 of title 49, United
States Code, is amended by adding at the end the following:
``Sec. 41725. Prohibition on certain cell phone voice communications
``(a) Prohibition.--The Secretary of Transportation shall issue
regulations--
``(1) to prohibit an individual on an aircraft from engaging
in voice communications using a mobile communications device
during a flight of that aircraft in scheduled passenger
interstate or intrastate air transportation; and
``(2) that exempt from the prohibition described in paragraph
(1) any--
``(A) member of the flight crew on duty on an
aircraft;
``(B) flight attendant on duty on an aircraft; and
``(C) Federal law enforcement officer acting in an
official capacity.
``(b) Definitions.--In this section, the following definitions apply:
``(1) Flight.--The term `flight' means, with respect to an
aircraft, the period beginning when the aircraft takes off and
ending when the aircraft lands.
``(2) Mobile communications device.--
``(A) In general.--The term `mobile communications
device' means any portable wireless telecommunications
equipment utilized for the transmission or reception of
voice data.
``(B) Limitation.--The term `mobile communications
device' does not include a phone installed on an
aircraft.''.
(b) Clerical Amendment.--The analysis for chapter 417 of title 49,
United States Code, is amended by inserting after the item relating to
section 41724 the following:
``41725. Prohibition on certain cell phone voice communications.''.
SEC. 503. ADVISORY COMMITTEE FOR AVIATION CONSUMER PROTECTION.
Section 411 of the FAA Modernization and Reform Act of 2012 (49
U.S.C. 42301 prec. note) is amended--
(1) in subsection (b)--
(A) by redesignating paragraphs (3) and (4) as
paragraphs (4) and (5), respectively; and
(B) by inserting after paragraph (2) the following:
``(3) independent distributors of travel;'';
(2) in subsection (g) by striking ``first 2 calendar years''
and inserting ``first 6 calendar years''; and
(3) in subsection (h) by striking ``September 30, 2017'' and
inserting ``September 30, 2023''.
SEC. 504. IMPROVED NOTIFICATION OF INSECTICIDE USE.
Section 42303(b) of title 49, United States Code, is amended to read
as follows:
``(b) Required Disclosures.--An air carrier, foreign air carrier, or
ticket agent selling, in the United States, a ticket for a flight in
foreign air transportation to a country listed on the internet website
established under subsection (a) shall--
``(1) disclose, on its own internet website or through other
means, that the destination country may require the air carrier
or foreign air carrier to treat an aircraft passenger cabin
with insecticides prior to the flight or to apply an aerosol
insecticide in an aircraft cabin used for such a flight when
the cabin is occupied with passengers; and
``(2) refer the purchaser of the ticket to the internet
website established under subsection (a) for additional
information.''.
SEC. 505. ADVERTISEMENTS AND DISCLOSURE OF FEES FOR PASSENGER AIR
TRANSPORTATION.
(a) Full Fare Advertising.--
(1) In general.--Section 41712 of title 49, United States
Code, is amended by adding at the end the following:
``(d) Full Fare Advertising.--
``(1) In general.--It shall not be an unfair or deceptive
practice under subsection (a) for a covered entity to state in
an advertisement or solicitation for passenger air
transportation the base airfare for the air transportation if
the covered entity clearly and separately discloses--
``(A) the government-imposed fees and taxes
associated with the air transportation; and
``(B) the total cost of the air transportation.
``(2) Form of disclosure.--
``(A) In general.--For purposes of paragraph (1), the
information described in paragraphs (1)(A) and (1)(B)
shall be disclosed in the advertisement or solicitation
in a manner that clearly presents the information to
the consumer.
``(B) Internet advertisements and solicitations.--For
purposes of paragraph (1), with respect to an
advertisement or solicitation for passenger air
transportation that appears on an internet website or a
mobile application, the information described in
paragraphs (1)(A) and (1)(B) may be disclosed through a
link or pop-up, as such terms may be defined by the
Secretary, that displays the information in a manner
that is easily accessible and viewable by the consumer.
``(3) Definitions.--In this subsection, the following
definitions apply:
``(A) Base airfare.--The term `base airfare' means
the cost of passenger air transportation, excluding
government-imposed fees and taxes.
``(B) Covered entity.--The term `covered entity'
means an air carrier, including an indirect air
carrier, foreign air carrier, ticket agent, or other
person offering to sell tickets for passenger air
transportation or a tour or tour component that must be
purchased with air transportation.''.
(2) Limitation on statutory construction.--Nothing in the
amendment made by paragraph (1) may be construed to affect any
obligation of a person that sells air transportation to
disclose the total cost of the air transportation, including
government-imposed fees and taxes, prior to purchase of the air
transportation.
(3) Regulations.--Not later than 120 days after the date of
enactment of this Act, the Secretary of Transportation shall
issue final regulations to carry out the amendment made by
paragraph (1).
(4) Effective date.--This subsection, and the amendments made
by this subsection, shall take effect on the earlier of--
(A) the effective date of regulations issued under
paragraph (3); and
(B) the date that is 180 days after the date of
enactment of this Act.
(b) Disclosure of Fees.--Section 41712 of title 49, United States
Code, as amended by this section, is further amended by adding at the
end the following:
``(e) Disclosure of Fees.--
``(1) In general.--It shall be an unfair or deceptive
practice under subsection (a) for any air carrier, foreign air
carrier, or ticket agent to fail to include, in an internet
fare quotation for a specific itinerary in air transportation
selected by a consumer--
``(A) a clear and prominent statement that additional
fees for checked baggage and carry-on baggage may
apply; and
``(B) a prominent link that connects directly to a
list of all such fees.
``(2) Savings provision.--Nothing in this subsection may be
construed to derogate or limit any responsibilities of an air
carrier, foreign air carrier, or ticket agent under section
399.85 of title 14, Code of Federal Regulations, or any
successor provision.''.
SEC. 506. INVOLUNTARILY BUMPING PASSENGERS AFTER AIRCRAFT BOARDED.
Section 41712 of title 49, United States Code, as amended by this
Act, is further amended by adding at the end the following:
``(f) Involuntarily Denied Boarding After Aircraft Boarded.--
``(1) In general.--It shall be an unfair or deceptive
practice under subsection (a) for an air carrier or foreign air
carrier subject to part 250 of title 14, Code of Federal
Regulations, to involuntarily deplane a revenue passenger
onboard an aircraft, if the revenue passenger--
``(A) is traveling on a confirmed reservation; and
``(B) checked-in for the relevant flight prior to the
check-in deadline.
``(2) Savings provision.--Nothing in this subsection may be
construed to limit the authority of an air carrier, foreign air
carrier, or airman to remove a passenger in accordance with--
``(A) section 91.3, 121.533(d), or 121.580 of title
14, Code of Federal Regulations, or any successor
provision; or
``(B) any other applicable Federal, State, or local
law.''.
SEC. 507. AVAILABILITY OF CONSUMER RIGHTS INFORMATION.
Section 42302(b) of title 49, United States Code, is amended--
(1) in the matter preceding paragraph (1) by striking ``on
the'' and inserting ``in a prominent place on the homepage of
the primary'';
(2) in paragraph (2) by striking ``and'' at the end;
(3) in paragraph (3) by striking the period at the end and
inserting ``; and''; and
(4) by adding at the end the following:
``(4) the air carrier's customer service plan.''.
SEC. 508. CONSUMER COMPLAINTS HOTLINE.
Section 42302 of title 49, United States Code, is amended by adding
at the end the following:
``(d) Use of New Technologies.--The Secretary shall periodically
evaluate the benefits of using mobile phone applications or other
widely used technologies to provide new means for air passengers to
communicate complaints in addition to the telephone number established
under subsection (a) and shall provide such new means as the Secretary
determines appropriate.''.
SEC. 509. WIDESPREAD DISRUPTIONS.
(a) In General.--Chapter 423 of title 49, United States Code, is
amended by adding at the end the following:
``Sec. 42304. Widespread disruptions
``(a) General Requirements.--In the event of a widespread disruption,
a covered air carrier shall immediately publish, via a prominent link
on the air carrier's public internet website, a clear statement
indicating whether, with respect to a passenger of the air carrier
whose travel is interrupted as a result of the widespread disruption,
the air carrier will--
``(1) provide for hotel accommodations;
``(2) arrange for ground transportation;
``(3) provide meal vouchers;
``(4) arrange for air transportation on another air carrier
or foreign air carrier to the passenger's destination; and
``(5) provide for sleeping facilities inside the airport
terminal.
``(b) Definitions.--In this section, the following definitions apply:
``(1) Widespread disruption.--The term `widespread
disruption' means, with respect to a covered air carrier, the
interruption of all or the overwhelming majority of the air
carrier's systemwide flight operations, including flight delays
and cancellations, as the result of the failure of 1 or more
computer systems or computer networks of the air carrier.
``(2) Covered air carrier.--The term `covered air carrier'
means an air carrier that provides scheduled passenger air
transportation by operating an aircraft that as originally
designed has a passenger capacity of 30 or more seats.
``(c) Savings Provision.--Nothing in this section may be construed to
modify, abridge, or repeal any obligation of an air carrier under
section 42301.''.
(b) Conforming Amendment.--The analysis for chapter 423 of title 49,
United States Code, is amended by adding at the end the following:
``42304. Widespread disruptions.''.
SEC. 510. INVOLUNTARILY DENIED BOARDING COMPENSATION.
Not later than 60 days after the date of enactment of this Act, the
Secretary of Transportation shall issue a final rule to revise part 250
of title 14, Code of Federal Regulations, to clarify that--
(1) there is not a maximum level of compensation an air
carrier or foreign air carrier may pay to a passenger who is
involuntarily denied boarding as the result of an oversold
flight;
(2) the compensation levels set forth in that part are the
minimum levels of compensation an air carrier or foreign air
carrier must pay to a passenger who is involuntarily denied
boarding as the result of an oversold flight; and
(3) an air carrier or foreign air carrier must proactively
offer to pay compensation to a passenger who is voluntarily or
involuntarily denied boarding on an oversold flight, rather
than waiting until the passenger requests the compensation.
SEC. 511. CONSUMER INFORMATION ON ACTUAL FLIGHT TIMES.
(a) Study.--The Secretary of Transportation shall conduct a study on
the feasibility and advisability of modifying regulations contained in
section 234.11 of title 14, Code of Federal Regulations, to ensure
that--
(1) a reporting carrier (including its contractors), during
the course of a reservation or ticketing discussion or other
inquiry, discloses to a consumer upon reasonable request the
projected period between the actual wheels-off and wheels-on
times for a reportable flight; and
(2) a reporting carrier displays, on the public internet
website of the carrier, information on the actual wheels-off
and wheels-on times during the most recent calendar month for a
reportable flight.
(b) Definitions.--In this section, the terms ``reporting carrier''
and ``reportable flight'' have the meanings given those terms in
section 234.2 of title 14, Code of Federal Regulations (as in effect on
the date of enactment of this Act).
(c) Report.--Not later than 1 year after the date of enactment of
this Act, the Secretary shall submit to the Committee on Transportation
and Infrastructure of the House of Representatives and the Committee on
Commerce, Science, and Transportation of the Senate a report on the
results of the study.
SEC. 512. ADVISORY COMMITTEE FOR TRANSPARENCY IN AIR AMBULANCE
INDUSTRY.
(a) In General.--Not later than 90 days after the date of enactment
of this Act, the Secretary of Transportation shall establish an
advisory committee to make recommendations for a rulemaking--
(1) to require air ambulance operators to clearly disclose
charges for air transportation services separately from charges
for non-air transportation services within any invoice or bill;
and
(2) to provide other consumer protections for customers of
air ambulance operators.
(b) Composition of the Advisory Committee.--The advisory committee
shall be composed of the following members:
(1) The Secretary of Transportation.
(2) 1 representative, to be appointed by the Secretary, of
each of the following:
(A) Each relevant Federal agency, as determined by
the Secretary.
(B) Air ambulance operators.
(C) State insurance regulators.
(D) Health insurance providers.
(E) Consumer groups.
(c) Recommendations.--The advisory committee shall make
recommendations with respect to each of the following:
(1) Cost-allocation methodologies needed to ensure that
charges for air transportation services are separated from
charges for non-air transportation services.
(2) Cost- or price-allocation methodologies to prevent
commingling of charges for air transportation services and
charges for non-air transportation services in bills and
invoices.
(3) Formats for bills and invoices to ensure that customers
and State insurance regulators can clearly distinguish between
charges for air transportation services and charges for non-air
transportation services.
(4) Data or industry references related to aircraft operating
costs to be used in determining the proper allocation of
charges for air transportation services and charges for non-air
transportation services.
(5) Guidance materials to instruct States, political
subdivisions of States, and political authorities of 2 or more
States on referring to the Secretary allegations of unfair or
deceptive practices or unfair methods of competition by air
ambulance operators.
(6) Protections for customers of air ambulance operators,
after consideration of the circumstances in which the services
of air ambulance operators are used.
(7) Protections of proprietary cost data from inappropriate
public disclosure.
(8) Such other matters as the Secretary determines necessary
or appropriate.
(d) Report.--Not later than 180 days after the date of the first
meeting of the advisory committee, the advisory committee shall submit
to the Secretary, the Committee on Transportation and Infrastructure of
the House of Representatives, and the Committee on Commerce, Science,
and Transportation of the Senate a report containing the
recommendations made under subsection (c).
(e) Rulemaking.--Not later than 180 days after the date of receipt of
the report under subsection (d), the Secretary shall consider the
recommendations of the advisory committee and issue a final rule--
(1) to require air ambulance operators to clearly disclose
charges for air transportation services separately from charges
for non-air transportation services within any invoice or bill;
and
(2) to provide other consumer protections for customers of
air ambulance operators.
(f) Definitions.--In this section, the following definitions apply:
(1) Air ambulance operator.--The term ``air ambulance
operator'' means an air carrier operating pursuant to part 135
of title 14, Code of Federal Regulations, that provides
medical, ambulance, or related services.
(2) Non-air transportation services.--The term ``non-air
transportation services'' means those services provided by air
ambulance operators but not other air carriers operating
pursuant to part 135 of title 14, Code of Federal Regulations.
(g) Termination.--The advisory committee shall terminate on the date
of submission of the report under subsection (d).
(h) Nature of Air Ambulance Services.--The non-air transportation
services of air ambulance operators and prices thereof are neither
services nor prices of an air carrier for purposes of section 41713 of
title 49, United States Code.
SEC. 513. AIR AMBULANCE COMPLAINTS.
(a) Consumer Complaints.--Section 42302 of title 49, United States
Code, is amended--
(1) in subsection (a) by inserting ``(including
transportation by air ambulance)'' after ``air
transportation'';
(2) in subsection (b)--
(A) in the matter preceding paragraph (1)--
(i) by inserting ``, and an air ambulance
operator,'' after ``passenger seats''; and
(ii) by inserting ``or operator'' after
``Internet Web site of the carrier''; and
(B) in paragraph (2) by inserting ``or operator''
after ``mailing address of the air carrier''; and
(3) by striking subsection (c) and inserting the following:
``(c) Notice to Passengers on Boarding or Billing Documentation.--
``(1) Air carriers and foreign air carriers.--An air carrier
or foreign air carrier providing scheduled air transportation
using any aircraft that as originally designed has a passenger
capacity of 30 or more passenger seats shall include the
hotline telephone number established under subsection (a) on--
``(A) prominently displayed signs of the carrier at
the airport ticket counters in the United States where
the air carrier operates; and
``(B) any electronic confirmation of the purchase of
a passenger ticket for air transportation issued by the
air carrier.
``(2) Air ambulance operators.--An air ambulance operator
shall include the hotline telephone number established under
subsection (a) on any invoice, bill, or other communication
provided to a passenger or customer of the operator.''.
(b) Unfair and Deceptive Practices and Unfair Methods of
Competition.--Section 41712(a) of title 49, United States Code, is
amended--
(1) by inserting ``air ambulance customer,'' after ``foreign
air carrier,'' the first place it appears; and
(2) by adding at the end the following: ``In this subsection,
the term `air carrier' includes an air ambulance operator and
the term `air transportation' includes any transportation
provided by an air ambulance.''.
SEC. 514. PASSENGER RIGHTS.
(a) Guidelines.--Not later than 90 days after the date of enactment
of this Act, the Secretary of Transportation shall require each air
carrier to submit for approval a 1-page document that accurately
describes the rights of passengers in air transportation, including
guidelines for the following:
(1) Compensation (regarding rebooking options, refunds,
meals, and lodging) for flight delays of various lengths.
(2) Compensation (regarding rebooking options, refunds,
meals, and lodging) for flight cancellations.
(3) Compensation for mishandled baggage, including delayed,
damaged, pilfered, or lost baggage.
(4) Voluntary relinquishment of a ticketed seat due to
overbooking or priority of other passengers.
(5) Involuntary denial of boarding and forced removal for
whatever reason, including for safety and security reasons.
(b) Approval of Guidelines.--Not later than 90 days after each air
carrier submits its guidelines for approval to the Secretary under
subsection (a), the air carrier shall make available such 1-page
document on its website.
Subtitle B--Aviation Consumers With Disabilities
SEC. 541. SELECT SUBCOMMITTEE.
Section 411 of the FAA Modernization and Reform Act of 2012 (49
U.S.C. 42301 prec. note), as amended by this Act, is further amended--
(1) by redesignating subsections (g) and (h) as subsections
(h) and (i), respectively; and
(2) by inserting after subsection (f) the following:
``(g) Select Subcommittee for Aviation Consumers With Disabilities.--
``(1) In general.--The Secretary shall establish a select
subcommittee of the advisory committee to advise the Secretary
and the advisory committee on issues related to the air travel
needs of passengers with disabilities.
``(2) Duties.--The select subcommittee shall--
``(A) identify the disability-related access barriers
encountered by passengers with disabilities;
``(B) determine the extent to which the programs and
activities of the Department of Transportation are
addressing the barriers identified under subparagraph
(A);
``(C) recommend consumer protection improvements
related to the air travel experience of passengers with
disabilities;
``(D) advise the Secretary with regard to the
implementation of section 41705 of title 49, United
States Code; and
``(E) conduct such other activities as the Secretary
considers necessary to carry out this subsection.
``(3) Membership.--
``(A) Composition.--The select subcommittee shall be
composed of members appointed by the Secretary,
including at least 1 individual representing each of
the following:
``(i) National disability organizations.
``(ii) Air carriers and foreign air carriers
with flights in air transportation.
``(iii) Airport operators.
``(iv) Contractor service providers.
``(B) Inclusion.--A member of the select subcommittee
may also be a member of the advisory committee.
``(4) Reports.--
``(A) In general.--Not later than 1 year after the
date of establishment of the select subcommittee, the
select subcommittee shall submit to the advisory
committee and the Secretary a report on the air travel
needs of passengers with disabilities that includes--
``(i) an assessment of existing disability-
related access barriers and any emerging
disability-related access barriers that will
likely be an issue in the next 5 years;
``(ii) an evaluation of the extent to which
the programs and activities of the Department
of Transportation are eliminating disability-
related access barriers;
``(iii) a description of consumer protection
improvements related to the air travel
experience of passengers with disabilities; and
``(iv) any recommendations for legislation,
regulations, or other actions that the select
subcommittee considers appropriate.
``(B) Report to congress.--Not later than 60 days
after the date on which the Secretary receives the
report under subparagraph (A), the Secretary shall
submit to Congress a copy of the report, including any
additional findings or recommendations that the
Secretary considers appropriate.
``(5) Chairperson.--The Secretary shall designate, from among
the individuals appointed under paragraph (3), an individual to
serve as chairperson of the select subcommittee.
``(6) Vacancies and travel expenses.--Subsections (c) and (d)
shall apply to the select subcommittee.
``(7) Termination.--The select subcommittee established under
this subsection shall terminate upon submission of the report
required under paragraph (4)(A).''.
SEC. 542. AVIATION CONSUMERS WITH DISABILITIES STUDY.
(a) Study.--Not later than 180 days after the date of enactment of
this Act, the Comptroller General of the United States shall conduct a
study that includes--
(1) a review of airport accessibility best practices for
individuals with disabilities, including best practices that
improve infrastructure facilities and communications methods,
including those related to wayfinding, amenities, and passenger
care;
(2) a review of air carrier and airport training policies
related to section 41705 of title 49, United States Code;
(3) a review of air carrier training policies related to
properly assisting passengers with disabilities; and
(4) a review of accessibility best practices that exceed
those recommended under Public Law 90-480 (popularly known as
the Architectural Barriers Act of 1968; 42 U.S.C. 4151 et
seq.), the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.),
the Air Carrier Access Act of 1986 (Public Law 99-435; 100
Stat. 1080 et seq.), and the Americans with Disabilities Act of
1990 (42 U.S.C. 12101 et seq.).
(b) Report.--Not later than 1 year after the date of enactment of
this Act, the Comptroller General shall submit to the Secretary of
Transportation, the Committee on Transportation and Infrastructure of
the House of Representatives, and the Committee on Commerce, Science,
and Transportation of the Senate a report on the study, including
findings and recommendations.
SEC. 543. FEASIBILITY STUDY ON IN-CABIN WHEELCHAIR RESTRAINT SYSTEMS.
(a) Study.--Not later than 2 years after the date of enactment of
this Act, the Secretary of Transportation, in consultation with the
Architectural and Transportation Barriers Compliance Board, aircraft
manufacturers, and air carriers, shall conduct a study to determine--
(1) the feasibility of in-cabin wheelchair restraint systems;
and
(2) if feasible, the ways in which individuals with
significant disabilities using wheelchairs, including power
wheelchairs, can be accommodated with in-cabin wheelchair
restraint systems.
(b) Report.--Not later than 1 year after the initiation of the study
under subsection (a), the Secretary of Transportation shall submit to
the Committee on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on the findings of the study.
SEC. 544. ACCESS ADVISORY COMMITTEE RECOMMENDATIONS.
(a) In General.--Not later than 1 year after the date of enactment of
this Act, the Secretary of Transportation shall issue a notice of
proposed rulemaking addressing--
(1) accommodations for air travelers with disabilities with
respect to in-flight entertainment;
(2) accessible lavatories on single-aisle aircraft; and
(3) service animals.
(b) Rulemaking.--Not later than 1 year after the date on which the
notice of proposed rulemaking is issued, the Secretary shall publish a
final rule based on such notice.
Subtitle C--Small Community Air Service
SEC. 551. ESSENTIAL AIR SERVICE AUTHORIZATION.
Section 41742(a)(2) of title 49, United States Code, is amended by
striking ``$150,000,000 for fiscal year 2011'' and all that follows
before ``to carry out'' and inserting ``$178,000,000 for fiscal year
2018, $182,000,000 for fiscal year 2019, $185,000,000 for fiscal year
2020, $327,000,000 for fiscal year 2021, $337,000,000 for fiscal year
2022, and $347,000,000 for fiscal year 2023''.
SEC. 552. EXTENSION OF FINAL ORDER ESTABLISHING MILEAGE ADJUSTMENT
ELIGIBILITY.
Section 409(d) of the Vision 100--Century of Aviation Reauthorization
Act (49 U.S.C. 41731 note) is amended by striking ``September 30,
2017'' and inserting ``September 30, 2023''.
SEC. 553. STUDY ON ESSENTIAL AIR SERVICE REFORM.
(a) Study.--
(1) In general.--The Comptroller General of the United States
shall conduct a study on the effects of section 6 of the
Airport and Airway Extension Act of 2011, Part IV (Public Law
112-27), section 421 of the FAA Modernization and Reform Act of
2012 (Public Law 112-95), and other relevant Federal laws
enacted after 2010, including the amendments made by those
laws, on the Essential Air Service program.
(2) Scope.--In conducting the study under paragraph (1), the
Comptroller General shall analyze, at a minimum--
(A) the impact of each relevant Federal law,
including the amendments made by each law, on the
Essential Air Service program;
(B) what actions communities and air carriers have
taken to reduce ticket prices or increase enplanements
as a result of each law;
(C) the issuance of waivers by the Secretary under
section 41731(e) of title 49, United States Code;
(D) whether budgetary savings resulted from each law;
and
(E) options for further reform of the Essential Air
Service program.
(b) Report.--Not later than 180 days after the date of enactment of
this Act, the Comptroller General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the study conducted under subsection (a).
SEC. 554. SMALL COMMUNITY AIR SERVICE.
(a) Eligibility.--Section 41743(c) of title 49, United States Code,
is amended--
(1) by striking paragraph (1) and inserting the following:
``(1) Size.--On the date of submission of the relevant
application under subsection (b), the airport serving the
community or consortium--
``(A) is not larger than a small hub airport, as
determined using the Department of Transportation's
most recently published classification; and
``(B) has--
``(i) insufficient air carrier service; or
``(ii) unreasonably high air fares.'';
(2) in paragraph (4)--
(A) by striking ``once,'' and inserting ``once in a
10-year period,''; and
(B) by inserting ``at any time'' after ``different
project''; and
(3) in paragraph (5)--
(A) by redesignating subparagraphs (E) and (F) as
subparagraphs (F) and (G), respectively; and
(B) by inserting after subparagraph (D) the
following:
``(E) the assistance will be used to help restore
scheduled passenger air service that has been
terminated;''.
(b) Authorization of Appropriations.--Section 41743(e)(2) of title
49, United States Code, is amended to read as follows:
``(2) Authorization of appropriations.--There is authorized
to be appropriated to the Secretary $10,000,000 for each of
fiscal years 2018 through 2023 to carry out this section, of
which $4,800,000 per fiscal year shall be used to carry out the
pilot program established under subsection (i). Such sums shall
remain available until expended.''.
(c) Regional Air Transportation Pilot Program.--Section 41743 of
title 49, United States Code, is amended by adding at the end the
following:
``(i) Regional Air Transportation Pilot Program.--
``(1) Establishment.--The Secretary shall establish a
regional air transportation pilot program to provide operating
assistance to air carriers in order to provide air service to
communities not receiving sufficient air carrier service.
``(2) Grants.--The Secretary shall provide grants under the
program to encourage and maintain air service at reasonable
airfares between communities that have experienced, as
determined by the Secretary, significant declines in air
service.
``(3) Application required.--In order to participate in the
program, a State, local government, economic development
authority, or other public entity shall submit to the Secretary
an application, in a manner that the Secretary prescribes, that
contains--
``(A) an identification of an air carrier that has
provided a written agreement to provide the air service
in partnership with the applicant;
``(B) assurances that the applicant will provide the
non-Federal share and that the non-Federal share is not
derived from airport revenue;
``(C) a proposed route structure serving not more
than 8 communities; and
``(D) a timeline for commencing the air service to
the communities within the proposed route structure.
``(4) Criteria for participation.--The Secretary may approve
up to 3 applications each fiscal year, subject to the
availability of funds, if the Secretary determines that--
``(A) the proposal of the applicant can reasonably be
expected to encourage and improve levels of air service
between the relevant communities;
``(B) the applicant has adequate financial resources
to ensure the commitment to the communities;
``(C) the airports serving the communities are
nonhub, small hub, or medium hub airports, as
determined using the Department of Transportation's
most recently published classifications; and
``(D) the air carrier commits to serving the
communities for at least 2 years.
``(5) Priorities.--The Secretary shall prioritize
applications that--
``(A) would initiate new or reestablish air service
in communities where air fares are higher than the
average air fares for all communities;
``(B) are more likely to result in self-sustaining
air service at the end of the program;
``(C) request a Federal share lower than 50 percent;
and
``(D) propose to use grant funds in a timely fashion.
``(6) Federal share.--The Federal share of the cost of
operating assistance provided under the program may not exceed
50 percent.
``(7) Sunset.--This subsection shall cease to be effective on
October 1, 2023.''.
SEC. 555. AIR TRANSPORTATION TO NONELIGIBLE PLACES.
(a) Definitions.--Section 41731(a)(1)(A)(ii) of title 49, United
States Code, is amended by striking ``Wendell H. Ford Aviation
Investment and Reform Act for the 21st Century,'' and inserting ``FAA
Extension, Safety, and Security Act of 2016 (Public Law 114-190),''.
(b) Program Sunset.--Section 41736 of title 49, United States Code,
is amended by adding at the end the following:
``(h) Sunset.--
``(1) Proposals.--No proposal under subsection (a) may be
accepted by the Secretary after the date of enactment of this
subsection.
``(2) Program.--The Secretary may not provide any
compensation under this section after the date that is 2 years
after the date of enactment of this subsection.''.
TITLE VI--MISCELLANEOUS
SEC. 601. REVIEW OF FAA STRATEGIC CYBERSECURITY PLAN.
(a) In General.--Not later than 120 days after the date on which the
Interim Chief Executive Officer (CEO) of the American Air Navigation
Services Corporation is hired, the Administrator of the Federal
Aviation Administration, in consultation with the Interim CEO (or the
CEO of the American Air Navigation Services Corporation, as
appropriate), shall initiate a review of the comprehensive and
strategic framework of principles and policies (referred to in this
section as the ``framework'') developed pursuant to section 2111 of the
FAA Extension, Safety, and Security Act of 2016 (49 U.S.C. 44903 note).
(b) Contents.--In undertaking the review, the Administrator shall--
(1) determine how the framework should be updated to reflect
the transfer from the Federal Aviation Administration to the
American Air Navigation Services Corporation of operational
control of air traffic services within United States airspace
and international airspace delegated to the United States; and
(2) modify the framework to support the Federal Aviation
Administration in establishing cybersecurity standards to
assist the American Air Navigation Services Corporation in
responsibilities associated with managing air traffic services
in a secure manner after the date of transfer (as defined in
section 90101(a) of title 49, United States Code, as added by
this Act).
(c) Report to Congress.--Not later than 120 days after initiating the
review required by subsection (a), the Administrator shall submit to
the Committee on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on the results of the review,
including a description of any modifications made to the framework.
SEC. 602. CONSOLIDATION AND REALIGNMENT OF FAA SERVICES AND FACILITIES.
(a) In General.--Section 804(a) of the FAA Modernization and Reform
Act of 2012 (49 U.S.C. 44501 note) is amended--
(1) in paragraph (2) by striking ``The purpose of the report
shall be--'' and all that follows through ``(B) to reduce'' and
inserting ``The purpose of the report shall be to reduce''; and
(2) by striking paragraph (4) and inserting the following:
``(4) Input.--The report shall be prepared by the
Administrator (or the Administrator's designee) with the
participation of--
``(A) representatives of labor organizations
representing air traffic control system employees of
the FAA; and
``(B) industry stakeholders.''.
(b) FAA Air Traffic Control Facility Consolidation and Realignment
Projects.--Notwithstanding section 90317(c) of title 49, United States
Code, as added by this Act, the Secretary of Transportation shall
continue to carry out any consolidation or realignment project
commenced under section 804 of the FAA Modernization and Reform Act of
2012.
SEC. 603. FAA REVIEW AND REFORM.
(a) Agency Report.--Not later than 60 days after the date of
enactment of this Act, the Administrator of the Federal Aviation
Administration shall submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the Committee on
Commerce, Science, and Transportation of the Senate a detailed analysis
of any actions taken to address the findings and recommendations
included in the report required under section 812(d) of the FAA
Modernization and Reform Act of 2012 (49 U.S.C. 106 note), including--
(1) consolidating, phasing-out, or eliminating duplicative
positions, programs, roles, or offices;
(2) eliminating or streamlining wasteful practices;
(3) eliminating or phasing-out redundant, obsolete, or
unnecessary functions;
(4) reforming and streamlining inefficient processes so that
the activities of the Administration are completed in an
expedited and efficient manner; and
(5) reforming or eliminating ineffectual or outdated
policies.
(b) Additional Review.--Not later than 1 year after the date of
transfer, as defined in section 90101(a) of title 49, United States
Code, as added by this Act, the Administrator shall undertake and
complete a thorough review of each program, office, and organization
within the Administration to identify--
(1) duplicative positions, programs, roles, or offices;
(2) wasteful practices;
(3) redundant, obsolete, or unnecessary functions;
(4) inefficient processes; and
(5) ineffectual or outdated policies.
(c) Actions To Streamline and Reform FAA.--Not later than 60 days
after the date of completion of the review under subsection (b), the
Administrator shall undertake such actions as may be necessary to
address the findings of the Administrator under such subsection.
(d) Report to Congress.--Not later than 120 days after the date of
completion of the review under subsection (b), the Administrator shall
submit to the Committee on Transportation and Infrastructure of the
House of Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on the actions taken by the
Administrator pursuant to subsection (c), including any recommendations
for legislative or administrative actions.
SEC. 604. AVIATION FUEL.
(a) Use of Unleaded Aviation Gasoline.--The Administrator of the
Federal Aviation Administration shall allow the use of an unleaded
aviation gasoline in an aircraft as a replacement for a leaded gasoline
if the Administrator--
(1) determines that an unleaded aviation gasoline qualifies
as a replacement for an approved leaded gasoline;
(2) identifies the aircraft and engines that are eligible to
use the qualified replacement unleaded gasoline; and
(3) adopts a process (other than the traditional means of
certification) to allow eligible aircraft and engines to
operate using qualified replacement unleaded gasoline in a
manner that ensures safety.
(b) Timing.--The Administrator shall adopt the process described in
subsection (a)(3) not later than 180 days after the later of--
(1) the date of completion of the Piston Aviation Fuels
Initiative of the Administration; or
(2) the date of publication of an American Society for
Testing and Materials Production Specification for an unleaded
aviation gasoline.
(c) Sense of Congress.--It is the sense of Congress that the Piston
Aviation Fuels Initiative of the Administration and the American
Society for Testing and Materials should work to find an appropriate
unleaded aviation gasoline by January 1, 2023.
SEC. 605. RIGHT TO PRIVACY WHEN USING AIR TRAFFIC CONTROL SYSTEM.
Notwithstanding any other provision of law, the Administrator of the
Federal Aviation Administration shall, upon request of a private
aircraft owner or operator, block the registration number of the
aircraft of the owner or operator from any public dissemination or
display, except in data made available to a Government agency, for the
noncommercial flights of the owner or operator.
SEC. 606. AIR SHOWS.
On an annual basis, the Administrator of the Federal Aviation
Administration shall work with representatives of Administration-
approved air shows, the general aviation community, and stadiums and
other large outdoor events and venues to identify and resolve, to the
maximum extent practicable, scheduling conflicts between
Administration-approved air shows and large outdoor events and venues
where--
(1) flight restrictions will be imposed pursuant to section
521 of title V of division F of Public Law 108-199 (118 Stat.
343); or
(2) any other restriction will be imposed pursuant to Federal
Aviation Administration Flight Data Center Notice to Airmen 4/
3621 (or any successor notice to airmen).
SEC. 607. PART 91 REVIEW, REFORM, AND STREAMLINING.
(a) Establishment of Task Force.--Not later than 90 days after the
date of enactment of this Act, the Administrator of the Federal
Aviation Administration shall establish a task force comprised of
representatives of the general aviation industry who regularly perform
part 91 operations, labor unions (including those representing FAA
aviation safety inspectors and FAA aviation safety engineers),
manufacturers, and the Government to--
(1) conduct an assessment of the FAA oversight and
authorization processes and requirements for aircraft under
part 91; and
(2) make recommendations to streamline the applicable
authorization and approval processes, improve safety, and
reduce regulatory cost burdens and delays for the FAA and
aircraft owners and operators who operate pursuant to part 91.
(b) Contents.--In conducting the assessment and making
recommendations under subsection (a), the task force shall consider--
(1) process reforms and improvements to allow the FAA to
review and approve applications in a fair and timely fashion;
(2) the appropriateness of requiring an authorization for
each experimental aircraft rather than using a broader all
makes and models approach;
(3) ways to improve the timely response to letters of
authorization applications for aircraft owners and operators
who operate pursuant to part 91, including setting deadlines
and granting temporary or automatic authorizations if deadlines
are missed by the FAA;
(4) methods for enhancing the effective use of delegation
systems;
(5) methods for training the FAA's field office employees in
risk-based and safety management system oversight; and
(6) such other matters related to streamlining part 91
authorization and approval processes as the task force
considers appropriate.
(c) Report to Congress.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall submit to the
Committee on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on the results of the
task force's assessment.
(2) Contents.--The report shall include an explanation of how
the Administrator will--
(A) implement the recommendations of the task force;
(B) measure progress in implementing the
recommendations; and
(C) measure the effectiveness of the implemented
recommendations.
(d) Implementation of Recommendations.--Not later than 18 months
after the date of enactment of this Act, the Administrator shall
implement the recommendations made under this section.
(e) Definitions.--In this section, the following definitions apply:
(1) FAA.--The term ``FAA'' means the Federal Aviation
Administration.
(2) Part 91.--The term ``part 91'' means part 91 of title 14,
Code of Federal Regulations.
(f) Applicable Law.--Public Law 92-463 shall not apply to the task
force.
(g) Sunset.--The task force shall terminate on the day the
Administrator submits the report required under subsection (c).
SEC. 608. AIRCRAFT REGISTRATION.
Not later than 180 days after the date of enactment of this Act, the
Administrator of the Federal Aviation Administration shall initiate a
rulemaking to increase the duration of aircraft registrations for
noncommercial general aviation aircraft to 10 years.
SEC. 609. AIR TRANSPORTATION OF LITHIUM CELLS AND BATTERIES.
(a) Cooperative Efforts To Ensure Compliance With Safety
Regulations.--
(1) In general.--The Secretary of Transportation, in
coordination with appropriate Federal agencies, shall carry out
cooperative efforts to ensure that shippers who offer lithium
ion and lithium metal batteries for air transport to or from
the United States comply with U.S. Hazardous Materials
Regulations and ICAO Technical Instructions.
(2) Cooperative efforts.--The cooperative efforts the
Secretary shall carry out pursuant to paragraph (1) include the
following:
(A) Encouraging training programs at locations
outside the United States from which substantial cargo
shipments of lithium ion or lithium metal batteries
originate for manufacturers, freight forwarders, and
other shippers and potential shippers of lithium ion
and lithium metal batteries.
(B) Working with Federal, regional, and international
transportation agencies to ensure enforcement of U.S.
Hazardous Materials Regulations and ICAO Technical
Instructions with respect to shippers who offer
noncompliant shipments of lithium ion and lithium metal
batteries.
(C) Sharing information, as appropriate, with
Federal, regional, and international transportation
agencies regarding noncompliant shipments.
(D) Pursuing a joint effort with the international
aviation community to develop a process to obtain
assurances that appropriate enforcement actions are
taken to reduce the likelihood of noncompliant
shipments, especially with respect to jurisdictions in
which enforcement activities historically have been
limited.
(E) Providing information in brochures and on the
internet in appropriate foreign languages and dialects
that describes the actions required to comply with U.S.
Hazardous Materials Regulations and ICAO Technical
Instructions.
(F) Developing joint efforts with the international
aviation community to promote a better understanding of
the requirements of and methods of compliance with U.S.
Hazardous Materials Regulations and ICAO Technical
Instructions.
(3) Reporting.--Not later than 120 days after the date of
enactment of this Act, and annually thereafter for 2 years, the
Secretary shall submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the
Committee on Commerce, Science, and Transportation of the
Senate a report on compliance with the policy set forth in
subsection (e) and the cooperative efforts carried out, or
planned to be carried out, under this subsection.
(b) Lithium Battery Air Safety Advisory Committee.--
(1) Establishment.--Not later than 60 days after the date of
enactment of this Act, the Secretary shall establish, in
accordance with the requirements of the Federal Advisory
Committee Act (5 U.S.C. App.), a lithium ion and lithium metal
battery air safety advisory committee (in this subsection
referred to as the ``Committee'').
(2) Duties.--The Committee shall--
(A) facilitate communication between manufacturers of
lithium ion and lithium metal cells and batteries,
manufacturers of products incorporating both large and
small lithium ion and lithium metal batteries, air
carriers, and the Federal Government regarding the safe
air transportation of lithium ion and lithium metal
cells and batteries and the effectiveness and economic
and social impacts of the regulation of such
transportation;
(B) provide the Secretary, the Federal Aviation
Administration, and the Pipeline and Hazardous
Materials Safety Administration with timely information
about new lithium ion and lithium metal battery
technology and transportation safety practices and
methodologies;
(C) provide a forum for the Secretary to provide
information on and to discuss the activities of the
Department of Transportation relating to lithium ion
and lithium metal battery transportation safety, the
policies underlying the activities, and positions to be
advocated in international forums;
(D) provide a forum for the Secretary to provide
information and receive advice on--
(i) activities carried out throughout the
world to communicate and enforce relevant
United States regulations and the ICAO
Technical Instructions; and
(ii) the effectiveness of the activities;
(E) provide advice and recommendations to the
Secretary with respect to lithium ion and lithium metal
battery air transportation safety, including how best
to implement activities to increase awareness of
relevant requirements and their importance to travelers
and shippers; and
(F) review methods to decrease the risk posed by air
shipment of undeclared hazardous materials and efforts
to educate those who prepare and offer hazardous
materials for shipment via air transport.
(3) Membership.--The Committee shall be composed of the
following members:
(A) Individuals appointed by the Secretary to
represent--
(i) large volume manufacturers of lithium ion
and lithium metal cells and batteries;
(ii) domestic manufacturers of lithium ion
and lithium metal batteries or battery packs;
(iii) manufacturers of consumer products
powered by lithium ion and lithium metal
batteries;
(iv) manufacturers of vehicles powered by
lithium ion and lithium metal batteries;
(v) marketers of products powered by lithium
ion and lithium metal batteries;
(vi) cargo air service providers based in the
United States;
(vii) passenger air service providers based
in the United States;
(viii) pilots and employees of air service
providers described in clauses (vi) and (vii);
(ix) shippers of lithium ion and lithium
metal batteries for air transportation;
(x) manufacturers of battery-powered medical
devices or batteries used in medical devices;
and
(xi) employees of the Department of
Transportation, including employees of the
Federal Aviation Administration and the
Pipeline and Hazardous Materials Safety
Administration.
(B) Representatives of such other Government
departments and agencies as the Secretary determines
appropriate.
(C) Any other individuals the Secretary determines
are appropriate to comply with Federal law.
(4) Report.--
(A) In general.--Not later than 180 days after the
establishment of the Committee, the Committee shall
submit to the Secretary, the Committee on
Transportation and Infrastructure of the House of
Representatives, and the Committee on Commerce,
Science, and Transportation of the Senate a report
that--
(i) describes and evaluates the steps being
taken in the private sector and by
international regulatory authorities to
implement and enforce requirements relating to
the safe transportation by air of bulk
shipments of lithium ion cells and batteries;
and
(ii) identifies any areas of enforcement or
regulatory requirements for which there is
consensus that greater attention is needed.
(B) Independent statements.--Each member of the
Committee shall be provided an opportunity to submit an
independent statement of views with the report
submitted pursuant to subparagraph (A).
(5) Meetings.--
(A) In general.--The Committee shall meet at the
direction of the Secretary and at least twice a year.
(B) Preparation for icao meetings.--Notwithstanding
subparagraph (A), the Secretary shall convene a meeting
of the Committee in connection with and in advance of
each meeting of the International Civil Aviation
Organization, or any of its panels or working groups,
addressing the safety of air transportation of lithium
ion and lithium metal batteries to brief Committee
members on positions to be taken by the United States
at such meeting and provide Committee members a
meaningful opportunity to comment.
(6) Termination.--The Committee shall terminate on the date
that is 6 years after the date on which the Committee is
established.
(7) Termination of future of aviation advisory committee.--
The Future of Aviation Advisory Committee shall terminate on
the date on which the lithium ion battery air safety advisory
committee is established.
(c) Medical Device Batteries.--
(1) Limited exceptions to restrictions on air transportation
of medical device batteries.--The Secretary shall issue limited
exceptions to the restrictions on transportation of lithium ion
and lithium metal batteries to allow the shipment on a
passenger aircraft of not more than 2 replacement batteries
specifically used for a medical device if--
(A) the intended destination of the batteries is not
serviced daily by cargo aircraft if a battery is
required for medically necessary care; or
(B) with regard to a shipper of lithium ion or
lithium metal batteries for medical devices that cannot
comply with a charge limitation in place at the time,
each battery is--
(i) individually packed in an inner packaging
that completely encloses the battery;
(ii) placed in a rigid outer packaging; and
(iii) protected to prevent a short circuit.
(2) Medical device defined.--ln this subsection, the term
``medical device'' means an instrument, apparatus, implement,
machine, contrivance, implant, or in vitro reagent, including
any component, part, or accessory thereof, which is intended
for use in the diagnosis of disease or other conditions, or in
the cure, mitigation, treatment, or prevention of disease, in a
person.
(3) Savings clause.--Nothing in this subsection may be
construed as expanding or restricting any authority of the
Secretary under section 828 of the FAA Modernization and Reform
Act of 2012 (49 U.S.C. 44701 note).
(d) Packaging Improvements.--Not later than 180 days after the date
of enactment of this Act, the Secretary, in consultation with
interested stakeholders, shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate an
evaluation of current practices for the packaging of lithium ion
batteries and cells for air transportation, including recommendations,
if any, to improve the packaging of such batteries and cells for air
transportation in a safe, efficient, and cost-effective manner.
(e) Department of Transportation Policy on International
Representation.--It shall be the policy of the Department of
Transportation to support the participation of industry in all panels
and working groups of the Dangerous Goods Panel of the International
Civil Aviation Organization and any other international test or
standard setting organization that considers proposals on the safety or
transportation of lithium ion and lithium metal batteries in which the
United States participates.
(f) Harmonization With ICAO Technical Instructions.--Pursuant to
section 828 of the FAA Modernization and Reform Act of 2012 (49 U.S.C.
44701 note), not later than 30 days after the date of enactment of this
Act, the Secretary shall conform United States regulations on the air
transport of lithium cells and batteries with the lithium cells and
batteries requirements in the 2015-2016 edition of the ICAO Technical
Instructions (including all addenda), including the revised standards
adopted by the International Civil Aviation Organization that became
effective on April 1, 2016.
(g) Definitions.--In this section, the following definitions apply:
(1) ICAO technical instructions.--The term ``ICAO Technical
Instructions'' has the meaning given that term in section
828(c) of the FAA Modernization and Reform Act of 2012 (49
U.S.C. 44701 note).
(2) U.S. hazardous materials regulations.--The term ``U.S.
Hazardous Materials Regulations'' means the regulations in
parts 100 through 177 of title 49, Code of Federal Regulations
(including amendments adopted after the date of enactment of
this Act).
SEC. 610. REMOTE TOWER PILOT PROGRAM FOR RURAL AND SMALL COMMUNITIES.
(a) In General.--Not later than 180 days after the date of enactment
of this Act, the Secretary of Transportation shall establish a pilot
program under which, upon approval of an application submitted by an
operator of a public-use airport, the Secretary shall install and
operate at the airport a remote air traffic control tower in order to
assess the operational benefits of remote air traffic control towers.
(b) Applications.--The operator of an airport seeking to participate
in the pilot program shall submit to the Secretary for approval an
application that is in such form and contains such information as the
Secretary may require.
(c) Selection Criteria.--
(1) Selection of airports.--From among the applications
submitted under subsection (b), the Secretary, after
consultation with representatives of labor organizations
representing operators and employees of the air traffic control
system, shall select for participation in the pilot program 7
airports as follows:
(A) 1 nonhub, primary airport.
(B) 3 nonprimary airports without existing air
traffic control towers.
(C) 2 airports with air traffic control towers
participating in a program established under section
47124 of title 49, United States Code.
(D) 1 airport selected at the discretion of the
Secretary.
(2) Priority selection.--In selecting from among the
applications submitted under subsection (b), the Secretary
shall give priority to applicants that can best demonstrate the
capabilities and potential of remote air traffic control
towers, including applicants proposing to operate multiple
remote air traffic control towers from a single facility.
(3) Authority to reallocate airport selection.--If the
Secretary receives an insufficient number of applications, the
Secretary may reallocate the distribution of airport sites
described in paragraph (1).
(d) Asset Classification.--For purposes of section 90317 of title 49,
United States Code, as added by this Act, a remote air traffic control
tower, including ancillary equipment, installed with Government funds
pursuant to this section shall be considered to be an air navigation
facility.
(e) Safety Risk Management Panel.--
(1) Safety risk management panel meeting.--Prior to the
operational use of a remote air traffic control tower, the
Secretary shall convene a safety risk management panel for the
tower to address any safety issues with respect to the tower.
(2) Safety risk management panel best practices.--The safety
risk management panels shall be created and utilized in a
manner similar to that of safety risk management panels
previously established for remote air traffic control towers,
taking into account--
(A) best practices that have been developed; and
(B) operational data from remote air traffic control
towers located in the United States.
(f) Airport Improvement Program.--The pilot program shall be eligible
for airport improvement funding under chapter 471 of title 49, United
States Code.
(g) Possible Expansion of Program.--Not later than 30 days after the
date that the first remote air traffic control tower is commissioned,
the Administrator of the Federal Aviation Administration shall
establish a repeatable process by which future certified remote air
traffic control tower systems may be commissioned at additional
airports.
(h) Definitions.--
(1) In general.--In this section, the following definitions
apply:
(A) Air navigation facility.--The term ``air
navigation facility'' has the meaning given that term
in section 40102(a) of title 49, United States Code.
(B) Remote air traffic control tower.--The term
``remote air traffic control tower'' means a remotely
operated air navigation facility, including all
necessary system components, that provides the
functions and capabilities of an air traffic control
tower.
(2) Applicability of other definitions.--The terms ``nonhub
airport'', ``primary airport'', and ``public-use airport'' have
the meanings given such terms in section 47102 of title 49,
United States Code.
(i) Sunset.--The pilot program shall terminate on the day before the
date of transfer, as defined in section 90101(a) of title 49, United
States Code, as added by this Act.
SEC. 611. ENSURING FAA READINESS TO PROVIDE SEAMLESS OCEANIC
OPERATIONS.
Not later than September 30, 2018, the Secretary of Transportation
shall make a final investment decision for the implementation of a
reduced oceanic separation capability that, by March 31, 2019, shall be
operational and in use providing capabilities at least equivalent to
that offered in neighboring airspace, and such service shall be
provided in the same manner as terrestrial surveillance is provided.
SEC. 612. SENSE OF CONGRESS REGARDING WOMEN IN AVIATION.
It is the sense of Congress that the aviation industry should explore
all opportunities, including pilot training, science, technology,
engineering, and mathematics education, and mentorship programs, to
encourage and support female students and aviators to pursue a career
in aviation.
SEC. 613. OBSTRUCTION EVALUATION AERONAUTICAL STUDIES.
The Secretary of Transportation may implement the policy set forth in
the notice of proposed policy titled ``Proposal to Consider the Impact
of One Engine Inoperative Procedures in Obstruction Evaluation
Aeronautical Studies'' published by the Department of Transportation on
April 28, 2014 (79 Fed. Reg. 23300), only if the policy is adopted
pursuant to a notice and comment rulemaking and, for purposes of
Executive Order 12866 (5 U.S.C. 601 note; relating to regulatory
planning and review), is treated as a significant regulatory action
within the scope of section 3(f)(1) of such Order.
SEC. 614. AIRCRAFT LEASING.
Section 44112(b) of title 49, United States Code, is amended--
(1) by striking ``on land or water''; and
(2) by inserting ``operational'' before ``control''.
SEC. 615. REPORT ON OBSOLETE TEST EQUIPMENT.
(a) Report.--Not later than 180 days after the date of enactment of
this Act, the Administrator of the Federal Aviation Administration
shall submit to the Committee on Transportation and Infrastructure of
the House of Representatives and the Committee on Commerce, Science,
and Transportation of the Senate a report on the National Test
Equipment Program of the Federal Aviation Administration (in this
section referred to as the ``Program'').
(b) Contents.--The report shall include--
(1) a list of all known outstanding requests for test
equipment, cataloged by type and location, under the Program;
(2) a description of the current method under the Program of
ensuring calibrated equipment is in place for utilization;
(3) a plan by the Administrator for appropriate inventory of
such equipment;
(4) the Administrator's recommendations for increasing
multifunctionality in future test equipment and all known and
foreseeable manufacturer technological advances; and
(5) a plan to replace, as appropriate, obsolete test
equipment throughout the service areas.
SEC. 616. RETIRED MILITARY CONTROLLERS.
Section 44506(f) of title 49, United States Code, is amended--
(1) in paragraph (3) by inserting ``except for individuals
covered by a program described in paragraph (4),'' after
``section 3307 of title 5,''; and
(2) by adding at the end the following:
``(4) Retired military controllers.--The Administrator may
establish a program to provide an original appointment to a
position as an air traffic controller for individuals who--
``(A) are on terminal leave pending retirement from
active duty military service or have retired from
active duty military service within 5 years of applying
for the appointment; and
``(B) within 5 years of applying for the appointment,
have held either an air traffic control specialist
certification or a facility rating according to
Administration standards.''.
SEC. 617. PILOTS SHARING FLIGHT EXPENSES WITH PASSENGERS.
(a) Guidance.--
(1) In general.--Not later than 90 days after the date of
enactment of this Act, the Administrator of the Federal
Aviation Administration shall make publicly available, in a
clear and concise format, advisory guidance that describes how
a pilot may share flight expenses with passengers in a manner
consistent with Federal law, including regulations.
(2) Examples included.--The guidance shall include examples
of--
(A) flights for which pilots and passengers may share
expenses;
(B) flights for which pilots and passengers may not
share expenses;
(C) the methods of communication that pilots and
passengers may use to arrange flights for which
expenses are shared; and
(D) the methods of communication that pilots and
passengers may not use to arrange flights for which
expenses are shared.
(b) Report.--
(1) In general.--Not later than 180 days after the date on
which guidance is made publicly available under subsection (a),
the Comptroller General of the United States shall submit to
the Committee on Transportation and Infrastructure of the House
of Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report analyzing Federal policy
with respect to pilots sharing flight expenses with passengers.
(2) Evaluations included.--The report submitted under
paragraph (1) shall include an evaluation of--
(A) the rationale for such Federal policy;
(B) safety and other concerns related to pilots
sharing flight expenses with passengers; and
(C) benefits related to pilots sharing flight
expenses with passengers.
SEC. 618. AVIATION RULEMAKING COMMITTEE FOR PART 135 PILOT REST AND
DUTY RULES.
(a) In General.--Not later than 180 days after the date of enactment
of this Act, the Administrator of the Federal Aviation Administration
shall convene an aviation rulemaking committee to review, and develop
findings and recommendations regarding, pilot rest and duty rules under
part 135 of title 14, Code of Federal Regulations.
(b) Duties.--The Administrator shall--
(1) not later than 2 years after the date of enactment of
this Act, submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the
Committee on Commerce, Science, and Transportation of the
Senate a report based on the findings of the aviation
rulemaking committee; and
(2) not later than 1 year after the date of submission of the
report under paragraph (1), issue a notice of proposed
rulemaking based on any consensus recommendations reached by
the aviation rulemaking committee.
(c) Composition.--The aviation rulemaking committee shall consist of
members appointed by the Administrator, including--
(1) representatives of industry;
(2) representatives of aviation labor organizations,
including collective bargaining units representing pilots who
are covered by part 135 of title 14, Code of Federal
Regulations, and subpart K of part 91 of such title; and
(3) aviation safety experts with specific knowledge of flight
crewmember education and training requirements under part 135
of such title.
(d) Considerations.--The Administrator shall direct the aviation
rulemaking committee to consider--
(1) recommendations of prior part 135 rulemaking committees;
(2) accommodations necessary for small businesses;
(3) scientific data derived from aviation-related fatigue and
sleep research;
(4) data gathered from aviation safety reporting programs;
(5) the need to accommodate the diversity of operations
conducted under part 135; and
(6) other items, as appropriate.
SEC. 619. METROPOLITAN WASHINGTON AIRPORTS AUTHORITY.
(a) Findings.--Congress finds that--
(1) the Metropolitan Washington Airports Authority (in this
section referred to as ``MWAA''), which operates Ronald Reagan
Washington National Airport and Dulles International Airport by
lease with the Department of Transportation, has routinely
performed poorly on audits conducted by the Inspector General
of the Department of Transportation;
(2) the responsible stewardship of taxpayer-owned assets by
MWAA is of great concern to Congress;
(3) a March 20, 2015, audit conducted by the Inspector
General titled ``MWAA's Office of Audit Does Not Have an
Adequate Quality Assurance and Improvement Program'' (Report
No. ZA-2015-035) found that MWAA's quality assurance and
improvement program did not conform with the standards of the
Institute of Internal Auditors; and
(4) the Inspector General's audit made 7 recommendations to
strengthen MWAA governance, its Office of Audit, and its
quality assurance and improvement program.
(b) Implementing Audit Recommendations.--
(1) Study.--The Inspector General of the Department of
Transportation shall conduct a study on MWAA's progress in
implementing the recommendations of the audit referred to in
subsection (a).
(2) Report.--The Inspector General shall submit to the
Committee on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on the study, including
the Inspector General's findings, conclusions, and
recommendations for strengthening and improving MWAA's Office
of Audit.
SEC. 620. TERMINAL AERODROME FORECAST.
(a) In General.--The Administrator of the Federal Aviation
Administration shall permit a covered air carrier to operate to or from
a location in a noncontiguous State without a Terminal Aerodrome
Forecast or Meteorological Aerodrome Report if--
(1) such location is determined to be under visual
meteorological conditions;
(2) a current Area Forecast, supplemented by other local
weather observations or reports, is available; and
(3) an alternate airport that has an available Terminal
Aerodrome Forecast and weather report is specified.
(b) Procedures.--A covered air carrier shall--
(1) have approved procedures for dispatch or release and
enroute weather evaluation; and
(2) operate under instrument flight rules enroute to the
destination.
(c) Covered Air Carrier Defined.--In this section, the term ``covered
air carrier'' means an air carrier operating in a noncontiguous State
under part 121 of title 14, Code of Federal Regulations.
SEC. 621. FEDERAL AVIATION ADMINISTRATION EMPLOYEES STATIONED ON GUAM.
It is the sense of Congress that--
(1) the Administrator of the Federal Aviation Administration
and the Secretary of Defense should seek an agreement that
would enable Federal Aviation Administration employees
stationed on Guam to have access to Department of Defense
hospitals, commissaries, and exchanges on Guam;
(2) access to these facilities is important to ensure the
health and well-being of Federal Aviation Administration
employees and their families; and
(3) in exchange for this access, the Federal Aviation
Administration should make payments to cover the applicable
administrative costs incurred by the Department of Defense in
carrying out the agreement.
SEC. 622. TECHNICAL CORRECTIONS.
(a) Airport Capacity Enhancement Projects at Congested Airports.--
Section 40104(c) of title 49, United States Code, is amended by
striking ``section 47176'' and inserting ``section 47175''.
(b) Passenger Facility Charges.--Section 40117(a)(5) of title 49,
United States Code, is amended by striking ``charge or charge'' and
inserting ``charge''.
(c) Overflights of National Parks.--Section 40128(a)(3) of title 49,
United States Code, is amended by striking ``under part 91 of the title
14,'' and inserting ``under part 91 of title 14,''.
(d) Plans To Address Needs of Families of Passengers Involved in
Foreign Air Carrier Accidents.--Section 41313(c)(16) of title 49,
United States Code, is amended by striking ``An assurance that the
foreign air carrier'' and inserting ``An assurance that''.
(e) Operations of Carriers.--The analysis for chapter 417 of title
49, United States Code, is amended by striking the item relating to
section 41718 and inserting the following:
``41718. Special rules for Ronald Reagan Washington National
Airport.''.
(f) Schedules for Certain Transportation of Mail.--Section 41902(a)
of title 49, United States Code, is amended by striking ``section
41906'' and inserting ``section 41905''.
(g) Weighing Mail.--Section 41907 of title 49, United States Code, is
amended by striking ``and -administrative'' and inserting ``and
administrative''.
(h) Structures Interfering With Air Commerce or National Security.--
Section 44718(b)(1) of title 49, United States Code, is amended--
(1) in the matter preceding subparagraph (A) by striking
``air navigation facilities and equipment'' and inserting ``air
or space navigation facilities and equipment''; and
(2) in subparagraph (A)--
(A) in clause (v) by striking ``and'' at the end;
(B) by redesignating clause (vi) as clause (vii); and
(C) by inserting after clause (v) the following:
``(vi) the impact on launch and reentry for
launch and reentry vehicles arriving or
departing from a launch site or reentry site
licensed by the Secretary of Transportation;
and''.
(i) Fees Involving Aircraft Not Providing Air Transportation.--
Section 45302 of title 49, United States Code, is amended by striking
``44703(f)(2)'' each place it appears and inserting ``44703(g)(2)''.
(j) Chapter 465.--The analysis for chapter 465 of title 49, United
States Code, is amended by striking the following:
``46503. Repealed.''.
(k) Solicitation and Consideration of Comments.--Section 47171(l) of
title 49, United States Code, is amended by striking ``4371'' and
inserting ``4321''.
(l) Adjustments to Compensation for Significantly Increased Costs.--
Section 426 of the FAA Modernization and Reform Act of 2012 is
amended--
(1) in subsection (a) (49 U.S.C. 41737 note) by striking
``Secretary'' and inserting ``Secretary of Transportation'';
and
(2) in subsection (c) (49 U.S.C. 41731 note) by striking
``the Secretary may waive'' and inserting ``the Secretary of
Transportation may waive''.
(m) Aircraft Departure Queue Management Pilot Program.--Section
507(a) of the FAA Modernization and Reform Act of 2012 (49 U.S.C. 44505
note) is amended by striking ``section 48101(a)'' and inserting
``section 48101(a) of title 49, United States Code,''.
SEC. 623. APPLICATION OF VETERANS' PREFERENCE TO FEDERAL AVIATION
ADMINISTRATION PERSONNEL MANAGEMENT SYSTEM.
Section 40122(g)(2)(B) of title 49, United States Code, is amended--
(1) by inserting ``3304(f),'' before ``3308-3320''; and
(2) by inserting ``3330a, 3330b, 3330c, and 3330d,'' before
``relating''.
SEC. 624. PUBLIC AIRCRAFT ELIGIBLE FOR LOGGING FLIGHT TIMES.
The Administrator of the Federal Aviation Administration shall issue
regulations modifying section 61.51(j)(4) of title 14, Code of Federal
Regulations, so as to include aircraft under the direct operational
control of forestry and fire protection agencies as public aircraft
eligible for logging flight times.
SEC. 625. FEDERAL AVIATION ADMINISTRATION WORKFORCE REVIEW.
(a) In General.--Not later than 120 days after the date of enactment
of this Act, the Comptroller General of the United States shall conduct
a review to assess the workforce and training needs of the Federal
Aviation Administration (in this section referred to as the ``FAA'') in
the anticipated budgetary environment.
(b) Contents.--In conducting the review, the Comptroller General
shall--
(1) identify the long-term workforce and training needs of
the FAA workforce;
(2) assess the impact of automation, digitalization, and
artificial intelligence on the FAA workforce;
(3) analyze the skills and qualifications required of the FAA
workforce for successful performance in the current and future
projected aviation environment;
(4) review current performance incentive policies of the FAA,
including awards for performance;
(5) analyze ways in which the FAA can work with industry and
labor, including labor groups representing the FAA workforce,
to establish knowledge-sharing opportunities between the FAA
and the aviation industry regarding new equipment and systems,
best practices, and other areas of interest; and
(6) develop recommendations on the most effective
qualifications, training programs (including e-learning
training), and performance incentive approaches to address the
needs of the future projected aviation regulatory system in the
anticipated budgetary environment.
(c) Report.--Not later than 270 days after the date of enactment of
this Act, the Comptroller General shall submit to the Committee on
Transportation and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a
report on the results of the review.
SEC. 626. STATE TAXATION.
Section 40116(d)(2)(A) of title 49, United States Code, is amended by
adding at the end the following:
``(v) except as otherwise provided under section 47133, levy
or collect a tax, fee, or charge, first taking effect after the
date of enactment of this clause, upon any business located at
a commercial service airport or operating as a permittee of
such an airport that is not generally imposed on sales or
services by that State, political subdivision, or authority
unless wholly utilized for airport or aeronautical purposes.''.
SEC. 627. AVIATION AND AEROSPACE WORKFORCE OF THE FUTURE.
(a) Findings.--Congress finds that--
(1) in 2016, United States air carriers carried a record high
number of passengers on domestic flights, 719 million
passengers;
(2) the United States aerospace and defense industry employed
1.7 million workers in 2015, or roughly 2 percent of the
Nation's total employment base;
(3) the average salary of an employee in the aerospace and
defense industry is 44 percent above the national average;
(4) in 2015, the aerospace and defense industry contributed
nearly $202.4 billion in value added to the United States
economy;
(5) an effective aviation industry relies on individuals with
unique skill sets, many of which can be directly obtained
through career and technical education opportunities; and
(6) industry and the Federal Government have taken some
actions to attract qualified individuals to careers in aviation
and aerospace and to retain qualified individuals in such
careers.
(b) Sense of Congress.--It is the sense of Congress that--
(1) public and private education institutions should make
available to students and parents information on approved
programs of study and career pathways, including career
exploration, work-based learning opportunities, dual and
concurrent enrollment opportunities, and guidance and
advisement resources;
(2) public and private education institutions should partner
with aviation and aerospace companies to promote career paths
available within the industry and share information on the
unique benefits and opportunities the career paths offer;
(3) aviation companies, including air carriers,
manufacturers, commercial space companies, unmanned aircraft
system companies, and repair stations, should create
opportunities, through apprenticeships or other mechanisms, to
attract young people to aviation and aerospace careers and to
enable individuals to gain the critical skills needed to thrive
in such professions; and
(4) the Federal Government should consider the needs of men
and women interested in pursuing careers in the aviation and
aerospace industry, the long-term personnel needs of the
aviation and aerospace industry, and the role of aviation in
the United States economy in the creation and administration of
educational and financial aid programs.
SEC. 628. FUTURE AVIATION AND AEROSPACE WORKFORCE STUDY.
(a) In General.--Not later than 90 days after the date of enactment
of this Act, the Comptroller General of the United States shall conduct
a study--
(1) to identify the factors influencing the supply of
individuals pursuing a career in the aviation or aerospace
industry; and
(2) to identify best practices or programs to incentivize,
recruit, and retain young people in aviation and aerospace
professions.
(b) Consultation.--The Comptroller General shall conduct the study in
consultation with--
(1) appropriate Federal agencies; and
(2) the aviation and aerospace industry, institutions of
higher education, and labor stakeholders.
(c) Report to Congress.--Not later than 1 year after the date of
enactment of this Act, the Comptroller General shall submit to the
Committee on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report on the results of the study and
related recommendations.
SEC. 629. FAA LEADERSHIP ON CIVIL SUPERSONIC AIRCRAFT.
(a) In General.--The Administrator of the Federal Aviation
Administration shall exercise leadership in the creation of Federal and
international policies, regulations, and standards relating to the
certification and safe and efficient operation of civil supersonic
aircraft.
(b) Exercise of Leadership.--In carrying out subsection (a), the
Administrator shall--
(1) consider the needs of the aerospace industry and other
stakeholders when creating policies, regulations, and standards
that enable the safe commercial deployment of civil supersonic
aircraft technology and the safe and efficient operation of
civil supersonic aircraft; and
(2) obtain the input of aerospace industry stakeholders
regarding--
(A) the appropriate regulatory framework and timeline
for permitting the safe and efficient operation of
civil supersonic aircraft within United States
airspace, including updating or modifying existing
regulations on such operation;
(B) issues related to standards and regulations for
the type certification and safe operation of civil
supersonic aircraft, including noise certification,
including--
(i) the operational differences between
subsonic aircraft and supersonic aircraft;
(ii) costs and benefits associated with
landing and takeoff noise requirements for
civil supersonic aircraft, including impacts on
aircraft emissions;
(iii) public and economic benefits of the
operation of civil supersonic aircraft and
associated aerospace industry activity; and
(iv) challenges relating to ensuring that
standards and regulations aimed at relieving
and protecting the public health and welfare
from aircraft noise and sonic booms are
economically reasonable, technologically
practicable, and appropriate for civil
supersonic aircraft; and
(C) other issues identified by the Administrator or
the aerospace industry that must be addressed to enable
the safe commercial deployment and safe and efficient
operation of civil supersonic aircraft.
(c) International Leadership.--The Administrator, in the appropriate
international forums, shall take actions that--
(1) demonstrate global leadership under subsection (a);
(2) address the needs of the aerospace industry identified
under subsection (b); and
(3) protect the public health and welfare.
(d) Report to Congress.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall submit to the Committee
on Transportation and Infrastructure of the House of Representatives
and the Committee on Commerce, Science, and Transportation of the
Senate a report detailing--
(1) the Administrator's actions to exercise leadership in the
creation of Federal and international policies, regulations,
and standards relating to the certification and safe and
efficient operation of civil supersonic aircraft;
(2) planned, proposed, and anticipated actions to update or
modify existing policies and regulations related to civil
supersonic aircraft, including those identified as a result of
industry consultation and feedback; and
(3) a timeline for any actions to be taken to update or
modify existing policies and regulations related to civil
supersonic aircraft.
SEC. 630. OKLAHOMA REGISTRY OFFICE.
The Administrator of the Federal Aviation Administration shall
consider the aircraft registry office in Oklahoma City, Oklahoma, as
excepted during a Government shutdown or emergency (as it provides
excepted services) to ensure that it remains open during any Government
shutdown or emergency.
SEC. 631. FOREIGN AIR TRANSPORTATION UNDER UNITED STATES-EUROPEAN UNION
AIR TRANSPORT AGREEMENT.
(a) Certain Foreign Air Transportation Permits.--The Secretary of
Transportation may not issue a permit under section 41302 of title 49,
United States Code, or an exemption under section 40109 of such title,
authorizing a person to provide foreign air transportation as a foreign
air carrier under the United States-European Union Air Transport
Agreement of April 2007 (as amended) in a proceeding in which the
applicability of Article 17 bis of such Agreement has been raised by an
interested person, unless the Secretary--
(1) finds that issuing the permit or exemption would be
consistent with the intent set forth in Article 17 bis of the
Agreement, that opportunities created by the Agreement do not
undermine labor standards or the labor-related rights and
principles contained in the laws of the respective parties to
the Agreement; and
(2) imposes on the permit or exemption such conditions as may
be necessary to ensure that the person complies with the intent
of Article 17 bis.
(b) Public Interest Test.--Section 41302(2) of title 49, United
States Code, is amended--
(1) in subparagraph (A) by striking ``under an agreement with
the United States Government; or'' and inserting ``; and''; and
(2) in subparagraph (B) by striking ``the foreign air
transportation'' and inserting ``after considering the totality
of the circumstances, including the factors set forth in
section 40101(a), the foreign air transportation''.
(c) Public Interest Requirements.--
(1) Policy.--Section 40101(a) of title 49, United States
Code, is amended by adding at the end the following:
``(17) preventing entry into United States markets by flag of
convenience carriers.''.
(2) International air transportation.--Section 40101(e)(9) of
title 49, United States Code, is amended--
(A) in subparagraph (D) by striking ``and'' at the
end;
(B) in subparagraph (E) by striking the period at the
end and inserting ``; and''; and
(C) by adding at the end the following:
``(F) erosion of labor standards associated with flag
of convenience carriers.''.
(3) Flag of convenience carrier defined.--Section 40102(a) of
title 49, United States Code, as amended by this Act, is
further amended by adding at the end the following:
``(49) `flag of convenience carrier' means a foreign air
carrier that is established in a country other than the home
country of its majority owner or owners in order to avoid
regulations of the home country.''.
SEC. 632. TRAINING ON HUMAN TRAFFICKING FOR CERTAIN STAFF.
(a) In General.--Chapter 447 of title 49, United States Code, as
amended by this Act, is further amended by adding at the end the
following:
``Sec. 44737. Training on human trafficking for certain staff
``In addition to other training requirements, each air carrier shall
provide training--
``(1) to ticket counter agents, gate agents, and other air
carrier workers whose jobs require regular interaction with
passengers; and
``(2) on recognizing and responding to potential human
trafficking victims.''.
(b) Clerical Amendment.--The analysis for chapter 447 of title 49,
United States Code, as amended by this Act, is further amended by
adding at the end the following:
``44737. Training on human trafficking for certain staff.''.
SEC. 633. PART 107 IMPLEMENTATION IMPROVEMENTS.
(a) In General.--Not later than 30 days after the date of enactment
of this section, the Administrator of the Federal Aviation
Administration shall publish a direct final rule--
(1) revising section 107.205 of title 14, Code of Federal
Regulations, by striking the second sentence of subsections (a)
and (c); and
(2) revising section 107.25 of such title by striking ``and
is not transporting another person's property for compensation
or hire''.
(b) Determination of Waiver.--In determining whether to grant a
waiver under part 107 of title 14, Code of Federal Regulations, to
authorize transportation of another's property for compensation or hire
beyond the visual line of sight of the remote pilot, from a moving
vehicle, or over people, the Administrator shall consider the
technological capabilities of the unmanned aircraft system, the
qualifications of the remote pilot, and the operational environment.
SEC. 634. PART 107 TRANSPARENCY AND TECHNOLOGY IMPROVEMENTS.
(a) Transparency.--Not later than 30 days after the date of enactment
of this Act, the Administrator of the Federal Aviation Administration
shall publish on the Federal Aviation Administration website a
representative sample of the safety justifications, offered by
applicants for small unmanned aircraft system waivers and airspace
authorizations, that have been approved by the Administration for each
regulation waived or class of airspace authorized, except that any
published justification shall not reveal proprietary or commercially
sensitive information.
(b) Technology Improvements.--Not later than 90 days after the date
of enactment of this Act, the Administrator shall revise the online
waiver and certificates of authorization processes--
(1) to provide real time confirmation that an application
filed online has been received by the Administration; and
(2) to provide an applicant with an opportunity to review the
status of the applicant's application.
SEC. 635. PROHIBITIONS AGAINST SMOKING ON PASSENGER FLIGHTS.
Section 41706 of title 49, United States Code, is amended--
(1) by redesignating subsection (d) as subsection (e); and
(2) by inserting after subsection (c) the following:
``(d) Electronic Cigarettes.--
``(1) Inclusion.--The use of an electronic cigarette shall be
treated as smoking for purposes of this section.
``(2) Electronic cigarette defined.--In this section, the
term `electronic cigarette' means a device that delivers
nicotine to a user of the device in the form of a vapor that is
inhaled to simulate the experience of smoking.''.
SEC. 636. CONSUMER PROTECTION REQUIREMENTS RELATING TO LARGE TICKET
AGENTS.
(a) In General.--Not later than 90 days after the date of enactment
of this Act, the Secretary of Transportation shall issue a final rule
to require large ticket agents to adopt minimum customer service
standards.
(b) Purpose.--The purpose of the final rule shall be to ensure that,
to the maximum extent practicable, there is a consistent level of
consumer protection regardless of where consumers purchase air fares
and related air transportation services.
(c) Standards.--In issuing the final rule, the Secretary shall
consider, at a minimum, establishing standards for--
(1) providing prompt refunds when ticket refunds are due,
including fees for optional services that consumers purchased
but were not able to use due to a flight cancellation or
oversale situation;
(2) providing an option to hold a reservation at the quoted
fare without payment, or to cancel without penalty, for 24
hours;
(3) disclosing cancellation policies, seating configurations,
and lavatory availability with respect to flights;
(4) notifying customers in a timely manner of itinerary
changes; and
(5) responding promptly to customer complaints.
(d) Definitions.--In this section, the following shall apply:
(1) Ticket agent.--
(A) In general.--Subject to subparagraph (B), the
term ``ticket agent'' has the meaning given that term
in section 40102(a) of title 49, United States Code.
(B) Inclusion.--The term ``ticket agent'' includes a
person who acts as an intermediary involved in the sale
of air transportation directly or indirectly to
consumers, including by operating an electronic airline
information system, if the person--
(i) holds the person out as a source of
information about, or reservations for, the air
transportation industry; and
(ii) receives compensation in any way related
to the sale of air transportation.
(2) Large ticket agent.--The term ``large ticket agent''
means a ticket agent with annual revenues of $100,000,000 or
more.
SEC. 637. AGENCY PROCUREMENT REPORTING REQUIREMENTS.
Section 40110(d) of title 49, United States Code, is amended by
adding at the end the following:
``(5) Annual report on the purchase of foreign manufactured
articles.--
``(A) Report.--Not later than 90 days after the end
of the fiscal year, the Secretary of Transportation
shall submit a report to Congress on the dollar amount
of the acquisitions made by the agency from entities
that manufacture the articles, materials, or supplies
outside of the United States in such fiscal year.
``(B) Contents.--The report required by subparagraph
(A) shall separately indicate--
``(i) the dollar value of any articles,
materials, or supplies purchased that were
manufactured outside of the United States; and
``(ii) a summary of the total procurement
funds spent on goods manufactured in the United
States versus funds spent on goods manufactured
outside of the United States.
``(C) Availability of report.--The Secretary shall
make the report under subparagraph (A) publicly
available on the agency's website not later than 30
days after submission to Congress.''.
SEC. 638. ZERO-EMISSION VEHICLES AND TECHNOLOGY.
(a) Passenger Facility Charge Eligibility.--Section 40117(a)(3) of
title 49, United States Code, is amended by adding at the end the
following:
``(H) A project for--
``(i) converting or retrofitting vehicles and
ground support equipment into eligible zero-
emission vehicles and equipment (as defined in
section 47102); or
``(ii) acquiring, by purchase or lease,
eligible zero-emission vehicles and equipment
(as defined in section 47102).''.
(b) Airport Improvement Program Eligibility.--
(1) Airport development defined.--Section 47102(3) of title
49, United States Code, is amended by adding at the end the
following:
``(P) converting or retrofitting vehicles and ground
support equipment into eligible zero-emission vehicles
and equipment or acquiring, by purchase or lease,
eligible zero-emission vehicles and equipment.
``(Q) constructing or modifying airport facilities to
install a microgrid in order to provide increased
resilience to severe weather, terrorism, and other
causes of grid failures.''.
(2) Additional definitions.--Section 47102 of title 49,
United States Code, as amended by this Act, is further amended
by adding at the end the following:
``(30) `eligible zero-emission vehicle and equipment' means a
zero-emission vehicle, equipment related to such a vehicle, and
ground support equipment that includes zero-emission technology
that is--
``(A) used exclusively at a commercial service
airport; or
``(B) used exclusively to transport people or
materials to and from a commercial service airport.
``(31) `microgrid' means a localized grouping of electricity
sources and loads that normally operates connected to and
synchronous with the traditional centralized electrical grid,
but can disconnect and function autonomously as physical or
economic conditions dictate.
``(32) `zero-emission vehicle' means a zero-emission vehicle
as defined in section 88.102-94 of title 40, Code of Federal
Regulations, or a vehicle that produces zero exhaust emissions
of any criteria pollutant (or precursor pollutant) under any
possible operational modes and conditions.''.
(3) Special apportionment categories.--Section 47117(e)(1)(A)
of title 49, United States Code, is amended by inserting ``for
airport development described in section 47102(3)(P),'' after
``under section 47141,''.
(c) Zero-Emission Program.--Chapter 471 of title 49, United States
Code, is amended--
(1) by striking section 47136;
(2) by redesignating section 47136a as section 47136; and
(3) in section 47136, as so redesignated, by striking
subsections (a) and (b) and inserting the following:
``(a) In General.--The Secretary of Transportation may establish a
pilot program under which the sponsors of not less than 10 public-use
airports may use funds made available under this chapter or section
48103 for use at such airports to carry out--
``(1) activities associated with the acquisition, by purchase
or lease, and operation of zero-emission vehicles, including
removable power sources for such vehicles; and
``(2) the construction or modification of infrastructure to
facilitate the delivery of fuel and services necessary for the
use of such vehicles.
``(b) Eligibility.--A public-use airport is eligible for
participation in the program if the vehicles or ground support
equipment are--
``(1) used exclusively at the airport; or
``(2) used exclusively to transport people or materials to
and from the airport.'';
(4) in section 47136, as so redesignated, by striking
subsections (d) and (e) and inserting the following:
``(d) Federal Share.--The Federal share of the cost of a project
carried out under the program shall be the Federal share specified in
section 47109.
``(e) Technical Assistance.--
``(1) In general.--The sponsor of a public-use airport may
use not more than 10 percent of the amounts made available to
the sponsor under the program in any fiscal year for--
``(A) technical assistance; and
``(B) project management support to assist the
airport with the solicitation, acquisition, and
deployment of zero-emission vehicles, related
equipment, and supporting infrastructure.
``(2) Providers of technical assistance.--To receive the
technical assistance or project management support described in
paragraph (1), participants in the program may use--
``(A) a nonprofit organization selected by the
Secretary; or
``(B) a university transportation center receiving
grants under section 5505 in the region of the
airport.'';
(5) in section 47136, as so redesignated, in subsection (f)
by striking ``section 47136'' and inserting ``the inherently
low emission airport vehicle pilot program''; and
(6) in section 47136, as so redesignated, by adding at the
end the following:
``(g) Allowable Project Cost.--The allowable project cost for the
acquisition of a zero-emission vehicle shall be the total cost of
purchasing or leasing the vehicle, including the cost of technical
assistance or project management support described in subsection (e).
``(h) Flexible Procurement.--A sponsor of a public-use airport may
use funds made available under the program to acquire, by purchase or
lease, a zero-emission vehicle and a removable power source in separate
transactions, including transactions by which the airport purchases the
vehicle and leases the removable power source.
``(i) Testing Required.--A sponsor of a public-use airport may not
use funds made available under the program to acquire a zero-emission
vehicle unless that make, model, or type of vehicle has been tested by
a Federal vehicle testing facility acceptable to the Secretary.
``(j) Removable Power Source Defined.--In this section, the term
`removable power source' means a power source that is separately
installed in, and removable from, a zero-emission vehicle and may
include a battery, a fuel cell, an ultra-capacitor, or other advanced
power source used in a zero-emission vehicle.''.
(d) Clerical Amendment.--The analysis for chapter 471 of title 49,
United States Code, is amended by striking the items relating to
sections 47136 and 47136a and inserting the following:
``47136. Zero-emission airport vehicles and infrastructure.''.
SEC. 639. EMPLOYEE ASSAULT PREVENTION AND RESPONSE PLANS.
(a) In General.--Not later than 90 days after the date of enactment
of this Act, each air carrier operating under part 121 of title 14,
Code of Federal Regulations (in this section referred to as a ``part
121 air carrier''), shall submit to the Administrator of the Federal
Aviation Administration for review and acceptance an Employee Assault
Prevention and Response Plan related to the customer service agents of
the air carrier and that is developed in consultation with the labor
union representing such agents.
(b) Contents of Plan.--An Employee Assault Prevention and Response
Plan submitted under subsection (a) shall include the following:
(1) Reporting protocols for air carrier customer service
agents who have been the victim of a verbal or physical
assault.
(2) Protocols for the immediate notification of law
enforcement after an incident of verbal or physical assault
committed against an air carrier customer service agent.
(3) Protocols for informing Federal law enforcement with
respect to violations of section 46503 of title 49, United
States Code.
(4) Protocols for ensuring that a passenger involved in a
violent incident with a customer service agent of an air
carrier is not allowed to move through airport security or
board an aircraft until appropriate law enforcement has had an
opportunity to assess the incident and take appropriate action.
(5) Protocols for air carriers to inform passengers of
Federal laws protecting Federal, airport, and air carrier
employees who have security duties within an airport.
(c) Employee Training.--A part 121 air carrier shall conduct initial
and recurrent training for all employees, including management, of the
air carrier with respect to the plan required under subsection (a),
which shall include training on de-escalating hostile situations,
written protocols on dealing with hostile situations, and the reporting
of relevant incidents.
SEC. 640. STUDY ON TRAINING OF CUSTOMER-FACING AIR CARRIER EMPLOYEES.
(a) In General.--Not later than 180 days after the date of enactment
of this Act, the Secretary of Transportation shall conduct a study on
the training received by customer-facing employees of air carriers.
(b) Contents.--The study shall include--
(1) an analysis of the training received by customer-facing
employees with respect to the management of disputes on
aircraft; and
(2) an examination of how institutions of higher learning, in
coordination with air carriers, customer-facing employees and
their representatives, consumer advocacy organizations, and
other stakeholders, could--
(A) review such training and related practices;
(B) produce recommendations; and
(C) if determined appropriate, provide supplemental
training.
(c) Report.--Not later than 1 year after the date of enactment of
this Act, the Secretary shall submit to the Committee on Transportation
and Infrastructure of the House of Representatives and the Committee on
Commerce, Science, and Transportation of the Senate a report on the
results of the study.
SEC. 641. MINIMUM DIMENSIONS FOR PASSENGER SEATS.
(a) In General.--Not later than 1 year after the date of enactment of
this Act, and after providing notice and an opportunity for comment,
the Administrator of the Federal Aviation Administration shall issue
regulations that establish minimum dimensions for passenger seats on
aircraft operated by air carriers in interstate air transportation or
intrastate air transportation, including minimums for seat pitch,
width, and length, and that are necessary for the safety and health of
passengers.
(b) Definitions.--The definitions contained in section 40102(a) of
title 49, United States Code, apply to this section.
SEC. 642. STUDY OF GROUND TRANSPORTATION OPTIONS.
Not later than 1 year after the date of enactment of this Act, the
Comptroller General of the United States shall conduct a study that
examines the ground transportation options at the Nation's 10 busiest
airports in order to--
(1) understand the impact of new and emerging transportation
options for travelers to get into and out of airports;
(2) determine whether it is appropriate to use airport
improvement funds and revenues from passenger facility charges
to address traffic congestion and passenger travel times
between urban commercial centers and airports; and
(3) review guidelines and requirements for airport
improvement funds and passenger facility charges to determine
under what conditions such funds may be used to address traffic
congestion in urban commercial centers for travel to airports.
Purpose of Legislation
H.R. 2997, the 21st Century Aviation Innovation, Reform,
and Reauthorization Act (21st Century AIRR Act), as amended,
reauthorizes the Nation's aviation programs, including the
Federal Aviation Administration's (FAA) safety and
infrastructure programs, the Department of Transportation's
(DOT) aviation consumer protection programs, and other
aviation-related programs. It transfers operation of air
traffic control (ATC) services currently provided by the FAA to
an independent, not-for-profit corporate entity. H.R. 2997, as
amended, establishes a stable, self-sustaining, cost-based user
fee structure to finance the entity. The bill includes
provisions to guide the transition from an FAA-operated service
to one provided by the new entity. H.R. 2997, as amended, also
reforms and streamlines the FAA's various safety, oversight,
and certification programs to foster the more efficient use of
government and private sector resources and makes various
conforming amendments for purposes of consistency.
Background and Need for Legislation
Aviation is a major driver of economic growth and the ATC
system is an essential component of this important sector of
the economy. According to the FAA, civil aviation contributes
roughly $1.6 trillion in total economic activity and supports
over 11 million jobs.\1\ United States airspace, the busiest
and most expansive in the world, covers roughly 30 million
square miles--constituting more than 17 percent of the world's
airspace.\2\ The ATC system is operated by the FAA's more than
14,000 federal air traffic controllers in 317 air traffic
control facilities.\3\ Every day, air traffic controllers
safely handle more than 50,000 operations.\4\ The FAA also has
safety oversight of civil aviation, including regulatory
oversight of airlines, airports, aviation manufacturers,
pilots, controllers, flight attendants, general aviation
operators, commercial space operators and launch sites, and
unmanned aircraft systems and their operators.
---------------------------------------------------------------------------
\1\Federal Aviation Administration, The Economic Impact of Civil
Aviation on the U.S. Economy, November 2016, p. 3, available at https:/
/www.faa.gov/air_traffic/publications/media/2016-economic-impact-
report_FINAL.pdf.
\2\Federal Aviation Administration, The Economic Impact of Civil
Aviation on the U.S. Economy, January 2015, p. 1. https://www.faa.gov/
air_traffic/publications/media/2015-economic-impact-report.pdf.
\3\Federal Aviation Administration, A Plan for the Future: 10-Year
Strategy for the Air Traffic Control Workforce, 2015-2014, p. 10, and
https://www.faa.gov/jobs/career_fields/aviation_careers/atc_roles.
\4\FAA Press Release, July 6, 2011. https://www.faa.gov/news/
press_releases/news_story.cfm?newsId=12903.
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While the United States has one of the safest ATC systems
in the world, the system has struggled to keep up with
increasing demand. According to the FAA, airline delays and
cancellations cost passengers, shippers, and airlines nearly
$33 billion annually.\5\ The FAA projects passenger growth to
average two percent per year, reaching one billion passengers
by 2029.\6\ To help the ATC system better prepare for this
forecasted growth, the FAA has been working for decades to
modernize the system, which remains based on World War II-era
radar technology. Without modernization, controllers and
aircraft operators will continue to be forced to use the
airspace in a very inefficient way.
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\5\Nextor, Total Delay Impact Study: A Comprehensive Assessment of
the Costs and Impacts of Flight Delay in the United States, Final
Report, October 2010, p. vii http://www.isr.umd.edu/NEXTOR/pubs/
TDI_Report_Final_10_18_10_V3.pdf.
\6\FAA Press Release, March 16, 2015. https://www.faa.gov/news/
press_releases/news_story.cfm?newsId=18434.
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NEXTGEN
In 2003, the FAA began its most recent effort to modernize
the Nation's ATC system, known as ``NextGen.'' Originally,
NextGen was intended to transform the ATC system from a radar-
based system to a satellite-based system. However, according to
government reports, NextGen, initially marketed as a 20-year,
$40 billion program, has been plagued by decades of cost and
schedule overruns and has produced only incremental
improvements in capacity and safety. Passengers and aircraft
operators have seen limited benefits from recent FAA
modernization programs and those benefits are certainly not in
line with taxpayer dollars invested in NextGen--over $7 billion
to date.\7\
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\7\Letter from Calvin Scovel, Inspector General, U.S. Department of
Transportation, to Bill Shuster, Chairman, House Committee on
Transportation and Infrastructure, September 30, 2016.
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According to the Department of Transportation Inspector
General (DOT IG), ``since its inception a decade ago, FAA's
progress in implementing NextGen has not met the expectations
of Congress and industry stakeholders, and key modernization
efforts have experienced significant cost increases and
schedule delays.''\8\ In looking at what the FAA has promised
NextGen would achieve over the years, Calvin Scovel, the DOT
IG, has warned, ``the initial estimates from nine or 10 years
back called for $20 billion in federal investments, $20 billion
in private investments with a stated goal of completing
implementation of the program by 2025. . . . We're clearly not
going to make it with a total of $40 billion in investments,
federal and private. We're probably looking at years beyond
2025--perhaps another 10 even. We're probably also looking at
total expenditures on the magnitude two to three times that of
the initial $40 billion.''\9\
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\8\Office of Inspector General, U.S. Department of Transportation,
FAA Made Limited Progress in Implementing NextGen Provisions of the FAA
Modernization and Reform Act of 2012, AV-2014-027, Jan. 28, 2014, p. 2.
\9\Statement of Calvin Scovel, Inspector General, U.S. Department
of Transportation, before the House Aviation Subcommittee, Hearing on
ATC Modernization, February 5, 2014; see also, Statement of Calvin
Scovel, Inspector General, U.S. Department of Transportation, before
the House Transportation and Infrastructure Committee, The Need to
Reform FAA and Air Traffic Control to Build a 21st Century Aviation
System for America, May 17, 2017.
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Government auditing reports outline ongoing troubles with
the FAA's delivery and implementation of ATC modernization
programs. In a 2016 report, the DOT IG found that eight of
FAA's 15 ongoing major system acquisitions experienced a
cumulative cost increase of $3.8 billion beyond original
estimates and delays ranging from seven to 174 months, with an
average delay of 51 months.\10\ Similarly, according to the
Government Accountability Office (GAO), ``[t]he three [ATC]
programs with the largest cost increases--more than $4
billion--are key to ATC modernization.''\11\ Most recently, the
DOT IG testified before the Transportation and Infrastructure
Committee stating, ``FAA's reforms have also fallen short in
improving its delivery of new technologies and capabilities.
Major projects--including some critical to NextGen--have
experienced cost increases and schedule slips . . . several
systemic issues underlie FAA's problems in delivering new
technologies on time and within budget. These include
overambitious plans, unreliable cost and schedule estimates,
unstable requirements, software development problems, poorly
defined benefits, and ineffective contract and program
management.''\12\
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\10\Office of the Inspector General, U.S. Department of
Transportation, FAA Reforms Have Not Achieved Expected Cost, Efficiency
and Modernization Outcomes, AV-2016-15, January 20, 2016, p. 13.
\11\U.S. Government Accountability Office, Air Traffic Control
Modernization: Management Challenges Associated with Program Costs and
Schedules Could Hinder NextGen Implementation, GAO-12-223, February
2012, p. 12.
\12\Statement of Calvin Scovel, Inspector General, U.S. Department
of Transportation, before the House Transportation and Infrastructure
Committee, The Need to Reform FAA and Air Traffic Control to Build a
21st Century Aviation System for America, May 17, 2017.
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The extent to which FAA realigns and consolidates ATC
facilities is another important component of the agency's
NextGen implementation efforts. To comply with the law, the FAA
provided Congress with a plan for consolidating and realigning
its facilities. The DOT IG found that the plan is
``significantly less comprehensive than previous consolidation
plans . . . ,'' and does not include a process for realigning
and consolidating facilities that manage high-altitude
traffic.\13\ Further, in another report, the DOT IG found that
despite the fact that FAA's air traffic operations dropped 23
percent between fiscal years 2000 and 2012, the FAA's ATC
facility footprint has remained essentially unchanged.\14\
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\13\Office of the Inspector General, U.S. Department of
Transportation, FAA's Implementation of the FAA Modernization and
Reform Act of 2012 Remains Incomplete, CC-2014-010, February 5, 2014,
p. 3.
\14\Office of the Inspector General, U.S. Department of
Transportation, FAA Reforms Have Not Achieved Expected Cost,
Efficiency, and Modernization Outcomes, January 15, 2016, AV-2016-015,
pp. 8-9.
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Finally, the DOT IG found ``. . . FAA's organizational
culture . . . has been slow to embrace NextGen's
transformational vision.''\15\ Gaps in leadership have further
undermined the Agency's efforts to advance NextGen.''\16\ A
recent GAO survey found that aviation stakeholders lack
confidence in FAA's ability to implement ATC modernization.\17\
More than three times as many of the stakeholders said that
FAA's overall implementation of NextGen was not going well than
those who said it was going well.\18\
---------------------------------------------------------------------------
\15\Id.
\16\Supra note 12, p. 3.
\17\U.S. Government Accountability Office, Air Traffic Control
System: Selected Stakeholders' Perspectives on Operations,
Modernization, and Structure, September 2014, GAO-14-770, p. 11.
\18\Id.
---------------------------------------------------------------------------
OVERVIEW OF PREVIOUS AIR TRAFFIC CONTROL REFORM EFFORTS IN THE UNITED
STATES
In 1981, the FAA began an effort to modernize the ATC
system by updating facilities and equipment to meet the
anticipated demands of a growing volume of post-deregulation
air traffic.\19\ At the time, the modernization was estimated
to cost roughly $12 billion\20\ and take more than 10 years to
complete.\21\ However, in the ensuing years the effort
encountered cost overruns, schedule delays, and performance
shortfalls, which resulted in calls to reform the FAA. There
have been previous bipartisan ATC reform recommendations
calling for an independent, nongovernmental, self-financing
entity, including:
---------------------------------------------------------------------------
\19\This included plans to replace the computers at air route
traffic control centers with new software, consoles and displays,
facility consolidation, new secondary radars, upgraded weather services
and a new landing system. U.S. Government Accountability Office, FAA's
Plan to Improve the Air Traffic Control System, AFMD-83-34, 1983
available at: http://www.gao.gov/assets/140/139683.pdf.
\20\U.S. Government Accountability Office, Transportation:
Examination of the Federal Aviation Administration's Plan for the
National Airspace System--Interim Report, AFMD-82-66, 1982, p.2. This
report claims initial estimates to be roughly $10 billion; however, a
later GAO report states the $12 billion figure.
\21\Gerald L. Dillingham, U.S. Government Accountability Office,
Testimony before the Subcommittee on Aviation, Committee on
Transportation and Infrastructure, House of Representatives, FAA's
Modernization Efforts--Past, President and Future, October 30, 2003, p.
1.
---------------------------------------------------------------------------
--In 1988, the Aviation Safety Commission urged
creation of a self-financing air navigation service
provider free of federal personnel and procurement
rules, to be overseen by a board that would include
industry stakeholders.\22\
---------------------------------------------------------------------------
\22\Aviation Safety Commission, Aviation Safety Commission Final
Report and Recommendations, April 1988, p. 1 The Aviation Safety
Commission was created under the Aviation Safety Commission Act of 1986
(P.L. 99-591). The Commission was created to conduct an intensive
inquiry into the safety of the nation's aviation system.
---------------------------------------------------------------------------
--In its 1993 report, the National Commission to
Ensure a Strong Competitive Airline Industry, chaired
by former Virginia Governor Gerald Baliles, recommended
that the FAA be ``reinvented'' and restructured as an
independent federal corporate entity, with its
expenditures and revenues removed from the federal
budget.\23\
---------------------------------------------------------------------------
\23\The National Commission to Ensure a Strong Competitive Airline
Industry, Change, Challenge and Competition: A Report to the President
and Congress, August 1993, pp. 8-9.
---------------------------------------------------------------------------
--Also in 1993, then-Vice President Al Gore's task
force on government reorganization proposed a detailed
plan for shifting ATC to a user-fee supported
government corporation to be called the U.S. Air
Traffic Services Corporation (USATS).
--In 1997, the National Civil Aviation Review
Commission, chaired by former Secretary of
Transportation Norman Mineta, recommended a financially
self-supporting ATC entity within the FAA.\24\ Cost-
based user fees from airlines would provide a revenue
stream outside the federal budget process and support
bonding to finance large-scale modernization.\25\
---------------------------------------------------------------------------
\24\National Civil Aviation Review Commission, Avoiding Aviation
Gridlock and Reducing the Accident Rate, December 1997.
\25\Id. at 144.
---------------------------------------------------------------------------
--In 2007, the Bush administration called for a
hybrid, cost-based system for financing FAA programs,
under which commercial airlines and business jet
operators would pay direct charges for ATC services
while general aviation (GA) non-jet operators would
continue to pay the GA fuel tax.\26\
---------------------------------------------------------------------------
\26\Gerald L. Dillingham, U.S. Government Accountability Office,
Testimony Before the Subcommittee on Aviation, Committee on
Transportation and Infrastructure, Observations on Selected Changes to
FAA's Funding and Budget Structure in the Administration's
Reauthorization Program, GAO-07625T, March 21, 2007, p. 5.
---------------------------------------------------------------------------
Congress responded by enacting only portions of the Baliles
and Mineta commissions' recommendations.\27\ In 1995, Congress
passed legislation exempting FAA from most federal personnel
rules and allowed the agency to implement a new personnel
management system that provided greater flexibility in hiring,
training, and compensating personnel.\28\ In 1996, other
legislation was passed that included additional personnel
reforms and required the agency to establish a cost accounting
system.\29\ In 1995, Congress also granted FAA relief from
principal federal acquisition laws and regulations.\30\ All of
the reforms were intended to allow the FAA to act more like a
business. In April 2000, Congress required the appointment of a
Chief Operating Officer to oversee the day-to-day operation and
modernization of the ATC system.\31\ However, Congress rejected
the proposal to shift from excise taxes to user fees.\32\
Similarly, the 110th Congress did not include the Bush
administration's finance reform proposal in the FAA
reauthorization legislation.
---------------------------------------------------------------------------
\27\Robert W. Poole, The Urgent Need to Reform the FAA's Air
Traffic Control System, March 2007, p. 18.
\28\Fiscal Year 1996 Department of Transportation and Related
Agencies Appropriations Act, Section 347(a), P.L. 104-50, Nov. 15,
1995.
\29\Federal Aviation Reauthorization Act of 1996, Sections 253 &
276, P.L. 104-264, Oct. 9, 1996.
\30\Fiscal Year 1996 Department of Transportation and Related
Agencies Appropriations Act, Section 347(a), P.L. 104-50, Nov. 15,
1995.
\31\Wendell H. Ford Aviation Investment and Reform Act for the 21st
Century, Section 303, P.L. 106-181, Apr. 5, 2000.
\32\Robert W. Poole, The Urgent Need to Reform the FAA's Air
Traffic Control System, March 2007, p. 18.
---------------------------------------------------------------------------
In February 2016, an FAA reauthorization bill was
introduced in the House of Representatives that included a
proposal to divest ATC to a not-for-profit corporation subject
to arms-length federal oversight and regulation.\33\ The
proposal addressed matters including corporate governance,
labor and employment policy, and transition processes. H.R.
2997, as amended, includes many of the same provisions and
also, based upon feedback from stakeholder groups and those
with expertise, adds or changes other provisions related to
specific oversight processes, governance, and continuity of
service.
---------------------------------------------------------------------------
\33\H.R. 4441, 114th Cong. (2016).
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THE CONTINUING NEED FOR ATC REFORM IN THE UNITED STATES
In a January 2016 report, the DOT IG found that previous
efforts by both the executive and legislative branches to
reform the FAA have failed.\34\ Since the implementation of FAA
personnel and procurement reforms in the 1990's, costs to
operate the ATC system have continued to rise while operational
productivity has declined.\35\ Between fiscal years 1996 and
2012, the DOT IG found that FAA's total budget grew by 95
percent, from $8.1 billion to $15.9 billion, and its total
costs for personnel, compensation, and benefits increased by 98
percent, from $3.7 billion to $7.3 billion, while air traffic
dropped 23 percent.\36\ The DOT IG attributed FAA's
disappointing personnel and procurement reform outcomes largely
to the agency's failure to take full advantage of its
authorities when implementing new personnel systems, and not
using business like practices to improve its operational
efficiency and cost effectiveness.\37\ In addition, FAA's
workforce levels have remained relatively constant over the
past two decades and the number of air traffic facilities the
FAA operates has not changed since 2000 despite the drop in air
traffic.\38\ The DOT IG stated that FAA's organizational
culture, which has been resistant to change, further deters its
reform efforts.\39\
---------------------------------------------------------------------------
\34\Department of Transportation, Office of Inspector General, FAA
Reforms Have Not Achieved Expected Cost, Efficiency, and Modernization
Outcomes, January 15, 2016, AV-2016-015, p. 2.
\35\Id. at 8.
\36\Id.
\37\Id. at 2.
\38\Id. at 8.
\39\Id. at 2.
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Today, the FAA, like other federal agencies, must conduct
capital project planning, including efforts to modernize the
ATC system, on the basis of an annual congressional
appropriations cycle. The agency is likewise impacted by
sequestration, extensions, continuing resolutions, and
government shutdowns. Three years of federal budget disputes;
the FAA's decision in April 2013 to furlough ten percent of its
air traffic controller workforce to meet sequester-driven
budgetary cuts; the partial shutdown of the FAA in August 2011
due to the lapse of FAA's operating authority; and the
continuing schedule delays and cost overruns that have plagued
FAA's efforts to modernize the ATC system, have all helped
rekindle the debate over ATC reform. The lack of a steady,
predictable funding stream, as well as short-term authorization
extensions, are not conducive to the long-term planning needed
to deliver large, multi-year capital projects like ATC
modernization.
The Reason Foundation, the Brookings Institution, and the
Cato Institute have all found that aviation safety and
efficiency would be enhanced by providing a steady, predictable
funding stream (via direct charges paid by users) for ATC
modernization, as well as more effective management.\40\
Proponents of ATC reform argue that, under some reform
scenarios, a self-financed ATC service provider would access
capital through the private markets.\41\ In addition, a self-
financed ATC service provider would be free from federal
procurement regulations that, according to some observers, have
prevented the FAA from purchasing and deploying new
technologies in a timely, cost-efficient manner in some
cases.\42\
---------------------------------------------------------------------------
\40\Robert W. Poole, Why An Air Traffic Control Corporation Makes
Sense, Reason Foundation Policy Study No. 278, February 2001, p. 15,
available at: http://reason.org/files/
c1a82c766aec1c5b8ee55404ca00fb30.pdf; Chris Edwards, Privatize the
FAA!, Cato Institute, April 24, 2013; and Dorothy Robyn, Air Support:
Creating a Safer and More Reliable Air Traffic Control System, The
Brookings Institution, July 2008, pp. 18-19, available at: http://
www.cato.org/publications/commentary/privatize-faa.
\41\Robert W. Poole, Organization and Innovation in Air Traffic
Control, Hudson Institute Initiative on Future Innovation, 2013, p. 5.
\42\Id.
---------------------------------------------------------------------------
At a March 24, 2015 Subcommittee on Aviation hearing,
witnesses urged Congress to consider comprehensive reform of
how the FAA is governed and financed.\43\ Dorothy Robyn, a
former Clinton administration official, citing ongoing problems
with NextGen implementation, declining budget projections for
FAA, and the prospect of another sequester-related shutdown,
recommended that Congress move the Air Traffic Organization out
of the FAA and replace the aviation excise taxes with cost-
based charges on commercial and business aircraft
operators.\44\ Citing the success of commercialized ATC service
providers abroad, all the witnesses supported separating ATC
services from the FAA and establishing an independent, not-for-
profit corporation governed by stakeholders and financed by
user fees to manage the Nation's ATC system.
---------------------------------------------------------------------------
\43\Statements by Robert Poole, the Reason Foundation; Doug Parker,
President and CEO, American Airlines, on behalf of A4A; Dorothy Robyn;
and David Grizzle, former COO of the FAA, before the Subcommittee on
Aviation, House Transportation and Infrastructure Committee, ``Options
for FAA Air Traffic Control Reform'', March 24, 2015, available at:
http://transport.house.gov/calendar/eventsingle.aspx?EventID=398745.
\44\Statement of Dorothy Robyn, House Committee on Transportation
and Infrastructure, Subcommittee on Aviation, ``Options for FAA Air
Traffic Control Reform'', March 24, 2015, available at: http://
transport.house.gov/calendar/eventsingle.aspx?EventID=398745.
---------------------------------------------------------------------------
Similarly, a wide range of aviation stakeholder groups have
called for governance and/or finance reform of the FAA's ATC
operations. In May 2015, the Eno Center for Transportation's
NextGen Working Group issued a report on options for ATC reform
in the United States.\45\ The Eno report recommended that ATC
services should be taken out of the direct control of the
federal government and be provided by a more independent
organization, be it a non-profit organization or a government
corporation.\46\ Under the Eno proposal, the entity would have
a non-profit mandate, and all key stakeholders would be
represented in a governing board.\47\ The Eno report called for
replacing the current funding of the ATC system, with direct
payments to the ATC provider.\48\
---------------------------------------------------------------------------
\45\Eno Center for Transportation NextGen Working Group, Final
Report, May 2015, available at: https://www.enotrans.org/wp-content/
uploads/wpsc/downloadables/NextGen-Final-Report-12am2.pdf.
\46\Id. at 61.
\47\Id.
\48\Id.
---------------------------------------------------------------------------
On February 1, 2016, a bipartisan group of former federal
officials sent a letter to the House Committee on
Transportation and Infrastructure calling for ``bipartisan
support for transformational change'' of the ATC system,
specifically the establishment of a federally chartered, non-
profit organization that would be governed and funded by the
stakeholders and users of the aviation system.\49\ The
officials asserted that Congress should enact reforms now given
the fact that ATC infrastructure and technology are falling
behind the world's ATC providers.\50\
---------------------------------------------------------------------------
\49\ Letter from former Senators Byron Dorgan (D-ND) and Trent Lott
(R-MS); former Secretaries of Transportation James Burnley, Norman
Mineta, and Mary Peters; former FAA Administrator Randy Babbitt; former
FAA Chief Operating Officers Russell Chew, Hank Krakowski, and David
Grizzle; and former White House National Economic Council Special
Assistant Dorothy Robyn to Bill Shuster, Chairman, Committee on
Transportation and Infrastructure (Feb. 1, 2016).
\50\ Id.
---------------------------------------------------------------------------
At a May 17, 2017 Full Committee hearing, witnesses
presented views in favor of separating ATC from the government
and cited the FAA's performance record in support of ATC
reform. Dorothy Robyn, the former Clinton Administration
official, cited the incongruity of housing a technology service
business within a federal safety regulator.\51\ Calvin Scovel
III, the DOT IG, testified that targeted reforms of FAA
programs and processes did not lead to the intended
results.\52\ Finally, Paul Rinaldi, President of the National
Air Traffic Controllers Association, indicated that unstable
funding of the current system had resulted in systemic problems
such as staffing shortfalls.\53\
---------------------------------------------------------------------------
\51\ Statement of Dorothy Robyn, House Committee on Transportation
and Infrastructure, ``The Need to Reform FAA and Air Traffic Control to
Build a 21st Century Aviation System for America'', May 17, 2017,
available at: https://transportation.house.gov/uploadedfiles/2017-05-
17_-_robyn_testimony.pdf.
\52\ Statement of Calvin Scovel III, House Committee on
Transportation and Infrastructure, ``The Need to Reform FAA and Air
Traffic Control to Build a 21st Century Aviation System for America'',
May 17, 2017, available at: https://transportation.house.gov/
uploadedfiles/2017-05-17_-_scovel_testimony.pdf.
\53\ Statement of Paul Rinaldi, House Committee on Transportation
and Infrastructure, ``The Need to Reform FAA and Air Traffic Control to
Build a 21st Century Aviation System for America'', May 17, 2017,
available at: https://transportation.house.gov/uploadedfiles/2017-05-
17_-_rinaldi_testimony.pdf.
---------------------------------------------------------------------------
At a June 8, 2017 Full Committee hearing, Secretary of
Transportation Elaine Chao provided testimony about the need
for a nimble air traffic service provider. Secretary Chao cited
the lack of flexibility within government and the problems
caused by reliance upon federal appropriations and procurement
as impediments to modernization. She also indicated that
shifting ATC out of government is necessary to realize the
continued innovation and modernization required to ensure U.S.
leadership.\54\
---------------------------------------------------------------------------
\54\ Statement of Secretary Elaine Chao, House Committee on
Transportation and Infrastructure, ``Building a 21st Century
Infrastructure for America: Federal Aviation Administration
Authorization'', June 8, 2017, available at: https://
transportation.house.gov/uploadedfiles/2017-06-08_-
_secretary_chao_testimony.pdf.
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OVERVIEW OF FOREIGN AIR TRAFFIC CONTROL REFORM EFFORTS
Since 1987, more than 60 nations have shifted the
responsibility for providing ATC services from the aviation
safety regulator to an independent, self-financed ATC service
provider.\55\ While some of these service providers are
government corporations, the ATC service providers of Canada
(non-profit) and the United Kingdom (for profit) are private,
and their respective governments regulate them, but do not run
their day-to-day operations.\56\
---------------------------------------------------------------------------
\55\Robert W. Poole, Reason Foundation, Testimony before the
Committee on Transportation and Infrastructure, House of
Representatives, Review of Air Traffic Control Reform Proposals,
February 10, 2016, p. 3.
\56\Robert W. Poole, Jr., The Urgent Need to Reform the FAA's Air
Traffic Control System, Reason Foundation, March 2007, p. 12.
---------------------------------------------------------------------------
The DOT IG conducted a study on the performance of four Air
Navigation Service Providers (ANSPs).\57\ According to the DOT
IG, since these countries separated their respective ANSPs,
there has been no evidence of any degradation in aviation
safety levels.\58\ Similarly, in a 2005 report that studied
five independent, self-financed ATC service providers, the GAO
found that the safety of ATC services ``remained the same or
improved''; the nongovernmental, self-financing ATC service
providers had lowered their costs and ``improved efficiency'';
and all ATC service providers also invested in new technologies
and equipment.\59\
---------------------------------------------------------------------------
\57\Office of the Inspector General, U.S. Department of
Transportation, There Are Significant Differences Between FAA and
Foreign Countries' Processes for Operating Air Navigation Systems, AV-
2015-084, September 2, 2015. The ANSPs studied by the DOT IG included:
Canada, France, Germany, and the United Kingdom.
\58\Id. at 8.
\59\ U.S. Government Accountability Office, Air Traffic Control:
Characteristics and Performance of Selected International Air
Navigation Service Providers and Lessons Learned from Their
Commercialization, GAO-05-769, July 2005, p. 4. ANSPs studied included:
Australia, Canada, Germany, New Zealand and the United Kingdom.
---------------------------------------------------------------------------
In October 2014, the MITRE Corporation (MITRE) prepared a
report at the request of the FAA on six international civil
aviation authorities (CAAs).\60\ The six countries shared the
experience of separating the ANSP from the government.\61\ In
all cases, MITRE found that the separation of the ANSP from the
CAA was reasonably successful.\62\ While there were
difficulties in the shift to an independent regulator of a
corporatized ANSP, adjustments were made in response to the
difficulties encountered.\63\ The CAAs interviewed by MITRE
were unanimous in stating that the separation of the ATC from
the CAA was worth it.\64\ The benefits outlined in the study
included increased focus on safety by the regulator and the
ANSP, improved efficiency of the ANSP, reduction in total cost
to users, and improved participation by aviation
stakeholders.\65\
---------------------------------------------------------------------------
\60\Dan Brown, Tom Berry, Steve Welman and E.J. Spear, The MITRE
Corporation, CAA International Structures, October 2014.
\61\Studied Canada, New Zealand, Australia, France, Germany, and
the United Kingdom. The CAAs were selected because their level of
technological sophistication is similar to the FAA's and because their
countries share many common economic and political characteristics with
the United States.
\62\ Id. at 9.
\63\Id.
\64\Id.
\65\Id. at 9-10.
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21st Century Aviation Innovation, Reform, and Reauthorization Act
The 21st Century AIRR Act creates the American Air
Navigation Services Corporation (Corporation), an independent,
federally chartered, not-for-profit corporation to operate and
modernize ATC services.
Corporation and Governance
The Corporation will be an independent entity completely
outside the government and exempt from taxation as a not-for-
profit corporation. The federal government will not be liable
for any action or inaction of the Corporation and will not
explicitly or implicitly guarantee any debt or obligation of
the Corporation. The Corporation, which will have all the
powers and authorities of any other private corporation, will
be responsible for providing ATC services and necessary safety
information to ATC service users to ensure the safe and
efficient management of air traffic.
The Corporation will be governed by a Board of Directors.
There will be 13 Directors, consisting of two appointed by the
Secretary of Transportation (Secretary), two ``at-large''
Directors nominated by a two-thirds vote of the other
Directors, the CEO, and eight Directors nominated by eight
different aviation stakeholder panels, called Nomination
Panels. With regard to the Nomination Panels, the Secretary,
within 30 days of enactment, will identify stakeholder groups
that will appoint representatives to the eight Nomination
Panels. Each of the following eight aviation stakeholder
communities will have a Nomination Panel: passenger air
carriers, cargo air carriers, regional air carriers, general
aviation (GA), business aviation, airports, air traffic
controllers, and commercial pilots.
The Board of Directors will be populated through a two-step
process by which the Nomination Panels will nominate Directors
to the Board. Before the date of transfer, each nomination
panel submits to the Secretary a list, chosen by consensus, of
four qualified individuals nominated to be Directors. The
Secretary is required, no later than 30 days after the last
nomination list submission, to appoint two individuals to be
Directors, and select the appropriate number of individuals to
be Directors from each list submitted by the nomination panels.
After the date of transfer, the lists of four qualified
individuals nominated to be Directors is submitted to the Board
of Directors for selection. The Secretary continues the
appointment of two Directors as needed to fill vacant seats.
The Board's composition will be:
--Two Directors appointed by the Secretary of
Transportation;
--The Chief Executive Officer (CEO) of the
Corporation;
--One Director nominated by the Passenger Air Carrier
Nomination Panel;
--One Director nominated by the Cargo Air Carrier
Nomination Panel;
--One Director nominated by the Regional Air Carrier
Nomination Panel;
--One Director nominated by the General Aviation
Nomination Panel;
--One Director nominated by the Business Aviation
Nomination Panel;
--One Director nominated by the Air Traffic
Controller Nomination Panel;
--One Director nominated by the Airport Nomination
Panel;
--One Director nominated by the Commercial Pilot
Nomination Panel; and
--Two ``at-large'' Directors nominated and selected
by the other Directors on the Board.
The terms of the first Directors will expire two years
after the date of transfer. Following the date of transfer,
Directors will serve staggered terms. A Director can serve
after the expiration of the Director's term until a successor
has taken office. Directors are term-limited to eight years.
The fiduciary duties of the Directors will be to the
Corporation, not to the stakeholder groups that nominated them
or the Nomination Panels. If a Director breaches the fiduciary
duty to the Corporation, the Director must be removed, and the
Board may pursue legal action. There are also certain
qualifications for individuals to serve as Directors. Directors
must be American citizens and are subject to restrictions that
prohibit individuals with possible conflicts of interest from
serving on the Board. No employees of the Corporation (except
the CEO), government officials or employees, employees of any
bargaining agent representing employees of the Corporation, or
employees of any entity with a material interest as a user or
supplier of the Corporation services can serve as a Director.
A Director may be removed by the Board in accordance with
the Corporation's bylaws. The Board is responsible for hiring a
CEO to manage and direct the day-to-day operations of the
Corporation, a Chief Financial Officer, and a Chief Operating
Officer. The CEO, who must be an American citizen, will also be
responsible for all officers and employees of the Corporation,
and will serve at the pleasure of the Board. Compensation,
including bonuses and other financial incentives, for the Board
and CEO will be set forth in the bylaws and included in the
Corporation's annual financial report. The Corporation is also
required to establish a Compensation Committee.
The Board will be responsible for corporate governance of
the Corporation, and has the sole authority to amend corporate
bylaws, adopt annual budgets, approve strategic plans, approve
the issuance of bonds, and to hire a CEO. The Board will be
required to maintain a Safety Committee composed of Directors
to ensure the Corporation will maintain and improve upon the
current high level of safety in the ATC system. The Board will
also establish a Technology Committee.
The Corporation will have an Advisory Board consisting of
no more than 15 individuals representing interested persons,
including: air carriers, GA, business aviation, commercial
service airports; operators and manufacturers of commercial
unmanned aircraft systems; appropriate labor organizations; the
Department of Defense (DOD); and small communities. The
Advisory Board will conduct activities directed by the Board of
Directors and may on its own initiative study, report, and make
ATC services-related recommendations to the Board of Directors.
The Advisory Board will also make recommendations to the Board
on the selection of ``at-large'' Directors.
Transition
The Secretary will manage and oversee the transfer of ATC
services to the Corporation to ensure that the transition
receives the proper level of attention and to ensure that the
FAA Administrator remains focused on the safe operation of the
ATC services, near-term NextGen projects, and other important
responsibilities. The transfer of operational control of ATC
services, as well as all federal personnel, facilities, and
activities needed to provide those services, will occur on
October 1, 2020.
Between date of enactment and date of transfer, there will
be formal processes for determining which activities and
personnel will move to the Corporation or be retained at the
FAA. These processes include a transition team made up of
different representatives from the FAA and the Corporation, to
recommend processes for how the transition will be carried out.
Other more informal processes will be taking place as well to
ensure that inward-facing FAA protocols for ATC services are
either carried over to the Corporation or rewritten as outward-
facing safety regulations. The processes and negotiations will
involve the Corporation, the Secretary, the FAA, and
appropriate labor organizations. To ensure Congress is kept
well-informed on the transition, the DOT IG will submit
quarterly reports on the progress of the transition.
Safety oversight and regulation of the Corporation
The Secretary will be responsible for the performance-based
safety oversight of the Corporation. Prior to the date of
transfer, the Secretary will prescribe performance-based
regulations and minimum safety standards for the Corporation's
operation of ATC services. The regulations will include a
safety management system (SMS) for the assessment and
management of risk in all procedures, processes, and practices
necessary to operate ATC services. Initially, this SMS will be
based on the one currently used by the FAA, but specific safety
review processes with the Secretary's approval will allow the
Corporation to modify the SMS as needed over time. The safety
standards combined with the SMS will ensure that the
Corporation continues and improves upon the safety the ATC
system currently enjoys.
The Corporation will be required to maintain adequate
levels of insurance and coverage to provide complete
indemnification of the Corporation's employees and protect the
Corporation from financial harm. As part of the safety
oversight of the Corporation, the Secretary will determine what
constitutes adequate levels of insurance.
The Corporation, as an independent, not-for-profit, private
corporation, will not exercise any regulatory authority,
meaning the Secretary will be responsible for taking any
regulatory action related to ATC services, including the
reclassification of airspace or imposition of required equipage
standards. The Corporation, as the provider of ATC services,
will be in a unique position of being able to analyze how
airspace or an air route should be configured. As part of the
transition, the Secretary will establish a process for the
expeditious review of proposed changes to the airspace by the
Corporation. To be clear, the Corporation will only be able to
suggest changes to airspace classifications or other similar
changes, and the Secretary will be solely responsible for
exercising regulatory power to enact those changes. The
National airspace will remain a federally regulated, sovereign
domain of the United States. The Corporation will simply
provide ATC services to the users of the National airspace.
Financing
The Corporation will be funded entirely through charges and
fees assessed and collected from air traffic services users.
The charges and fees must be consistent with a set of statutory
charging principles including the following:
--Charges and fees must be consistent with the
International Civil Aviation Organization's (ICAO)
Policies on Charges for Air Navigation Services, Ninth
Edition, 2012;
--Charges for certain categories of users may be
charged on a flat-fee basis;
--Charges and fees may not be discriminatory;
--Charges and fees may not be structured in a manner
that incentivizes unsafe operations to avoid charges
and fees;
--Access to airspace cannot be based on the level of
charges a user pays or whether the user is subject to
charges at all; and
--Charges and fees may not violate any international
obligation of the United States.
--Charges and fees may not be imposed for air traffic
services provided to public use aircraft under sections
40102(a) and 40125.
--Charges may not be imposed on GA aircraft
operations under Parts 91, 135, 136, and 137 of Title
14, Code of Federal Regulations.
--Charges and fees must be based on reasonable and
financially sound projections of what is needed to
provide the current and projected provision of air
traffic services.
To reiterate, charges may not be imposed on aircraft
operations under Parts 91, 135, 136, and 137 of Title 14, Code
of Federal Regulations. These operations include private
aviation, air ambulance, air taxi, agricultural, air tours, and
certain industrial flights. GA users will support the aviation
system just as they always have, through fuel taxes that are
controlled by Congress. Further, military and other public
aircraft flights will also be exempt from the charges.
The Corporation's Board of Directors will be responsible
for setting and approving the charges and fees for ATC
services. The Secretary must approve initial charges and fees
as well as any increases to the charges and fees following a
public comment period. The Secretary must apply statutory
criteria in reviewing such charges and fees proposals by the
Corporation and the Secretary will also review any charge and
fee assessments under dispute. Disputed decisions of the
Secretary are subject to judicial review.
As an independent, not-for-profit Corporation, the
Corporation will be able to issue revenue bonds and other debt
instruments in the private markets, providing more stable and
effective capital financing, however, the Corporation will not
be permitted to issue or sell equity shares or stock in the
Corporation.
Employee Management
Over 30,000 federal personnel will transfer from the FAA to
the Corporation, including more than 14,000 air traffic
controllers. A central tenant of the bill is that federal
employees who transfer to the Corporation will be kept whole in
terms of the benefits or compensation they received and were
promised as federal employees. Transferred federal employees
may retain their federal retirement and health insurance plans
or opt for the benefit plans offered by the Corporation. For
employees retaining their federal retirement and health
insurance plans, the Corporation will pay any required
deductions and employer contributions.
To ensure total system continuity, many aspects of existing
federal labor-management relations will be preserved through
partial application of the laws that currently apply to the FAA
and its labor organizations. The rights of air traffic
controllers and other employees to participate in labor
organizations and to collectively bargain will also be
preserved. The Corporation must recognize and bargain with the
labor organizations selected by the employees and comply with
the terms of collective-bargaining agreements (CBAs) and
arbitration awards in effect on the date of transfer until such
agreements and awards expire or are lawfully altered or
amended. CBAs must be effective for no less than two years.
Because ATC services are so vital to the national economy,
the Corporation's employees are prohibited from engaging in any
strike or other organized disruption. Disputes arising from
CBAs must be resolved through mediation. If mediation fails,
the dispute will be resolved through binding arbitration. There
is an absolute ban on striking.
Continuity of Air Service and Access
Preserving air service and airspace access for all users of
the National Airspace System (NAS), especially general and
business aviation users, is critical to ensuring the success of
American aviation. No airspace user may be denied access to
airspace or air traffic services on the basis that a user is
exempt from paying charges or fees.
If the Corporation proposes an airspace or other change
that materially reduces access to airspace or an airport, it
triggers a multi-step review process by the Corporation and DOT
to ensure that the reduction in access is mitigated, and the
change is in the public interest. The process also includes the
ability for users and communities to appeal the decision to the
Secretary and the judicial system.
The bill also directs the Secretary to develop a process
for the Secretary to review any proposals to close an air
traffic control tower that prior to the date of transfer was
operated under the FAA's Contract Tower Program. The process
would apply when the proposed closure would result in an
airspace change and at the request of the airport sponsor.
There are other types of changes or locations where changes may
occur, that will merit special attention by the Secretary. For
example, changes near major airports or specific national
security or defense designations will have a longer review
period than other airspace modification proposals.
BENEFITS OF ATC REFORM
ATC reform would separate air traffic services from the
federal regulator (the FAA) by transferring it to a federally
chartered, independent, not-for-profit Corporation. Under the
21st Century AIRR Act, ATC service would be provided by a not-
for-profit entity, while oversight and all regulation of the
airspace would continue to be provided by the FAA. ATC reform
will result in real benefits to the flying public, taxpayers,
and other users of the aviation system, including--
--Reducing the size of the Federal government. ATC
reform will result in more than 30,000 Federal
employees moving to the private sector, reducing the
size of the FAA significantly. The Federal employees
will be held harmless in their transition to the
private sector. But, it is important to note that the
very same air traffic controllers who are providing ATC
services as federal employees on the day before
transition will be back at work providing ATC services
as employees of the new service provider on the day
after transition. Continuity of air services will be
maintained, but the federal bureaucracy will be greatly
reduced.
--Ensuring the travelling public is not charged twice
for ATC facilities they have already paid for. ATC
reform transfers all ATC assets to the new entity
without any charge. This is because the users of the
airspace and the travelling public have largely funded
ATC facilities and equipment through the Airport and
Airway Trust Fund. The Trust Fund receives its revenue
from taxes on passengers, air cargo, and aviation
fuels, meaning the users of the airspace and the
travelling public have largely funded the construction
of the system. Requiring payment for any property
transferred to the new service provider would result in
double-charging the travelling public that already paid
for the property in the first place. The new service
provider should use its capital to invest in new and
modern technologies rather than crumbling buildings and
antiquated computers.
--Resolving the inherent conflict of interest that
exists when the regulator regulates itself. With ATC
reform, the FAA will continue to regulate and be able
to focus on the safety of the U.S. aviation system and
airspace. The new entity will provide and modernize ATC
services, nothing more. Since 1987, over 60 nations
have successfully separated their ATC service provider
from their government safety regulator. Overwhelming
evidence from U.S. government and other reports shows
that separating ATC operations has led to better
performance on safety, modernization, service quality,
cost, and financial stability. In 2014, the FAA asked
MITRE to investigate six international regulators to
determine the impact on the regulator after the service
provider had been spun off. MITRE concluded, ``The
collective experience . . . is quite good.''\66\
Additionally, MITRE found that ``. . .in each case the
safety record of the [service provider] was equal to,
or better than, the record prior to the separation. . .
. ''\67\ The regulators interviewed were ``unanimous in
stating that the separation of the [regulator] from air
traffic service provision was worth it. Among the
benefits they expressed were an increased focus on
safety by the Regulator and the [service provider],
improved efficiency of the [service provider],
reduction in total cost to users, and improved
participation by aviation stakeholders.''\68\
---------------------------------------------------------------------------
\66\ CAA International Structures, MITRE Corporation, p. 7 (October
2014).
\67\ Id. at 7.
\68\ Id. at 9-10.
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--Lowering the cost of flight and protecting the
taxpayer. International experience has shown that the
efficiencies gained through ATC reform result in lower
costs for all system users. In Canada, inflation-
adjusted ATC fees are now 45% lower than the aviation
taxes they replaced.\69\ The new service provider will
not receive Federal appropriations nor will its debt be
considered to be backed by the Federal government. ATC
reform also incorporates best practices and lessons
learned from countries around the world by requiring
the service provider to maintain sufficient capital
reserves to mitigate unanticipated downturns in air
traffic.
---------------------------------------------------------------------------
\69\ Canada's Air Traffic Provider Announces Lowered Fees; U.S.
Should Embrace Same Model, Marc Scribner, Competitive Enterprise
Institute, https://cei.org/blog/canadas-air-traffic-provider-announces-
lowered-fees-us-should-embrace-same-model, (May 30, 2017).
---------------------------------------------------------------------------
--Reinstating the United States as the world leader
in ATC services. The United States has the most
expansive and safest airspace in the world and yet it
is still operating a system that is based on antiquated
technologies. ATC services in the United States are
certainly not the most efficient. While other countries
have separated their ATC service provider from their
government regulator, the United States has lagged
behind. Instead, the United States has kept its ATC
service provider within a government bureaucracy that
is vulnerable to political instabilities. Private ATC
service providers, such as UK NATS in the United
Kingdom or NavCanada in Canada, have already deployed
technologies that the FAA is still working to develop.
While the taxes that are used to fund the FAA's air
traffic organization have stayed the same over the
years, NavCanada has lowered its user fees on the
traveling public four times. Still, there are
significant differences between the FAA and other ATC
service providers. Other ATC service providers have
deployed new technologies, increased the efficiency and
safety of their systems, and reduced the cost to the
traveling public.\70\ The FAA, on the other hand, has
had a series of modernization programs over the past
three decades that have failed to deliver promised
efficiencies while its budget has increased by 95% in
roughly two decades.\71\
---------------------------------------------------------------------------
\70\ Id.
\71\Office of the Inspector General, U.S. Department of
Transportation, FAA Reforms Have Not Achieved Expected Cost, Efficiency
and Modernization Outcomes, AV-2016-15 (2016).
---------------------------------------------------------------------------
--Removing ATC modernization from onerous and
bureaucratic government procurement processes and
dysfunctional budgetary cycles. Since 2003, the FAA has
been undergoing its modernization initiative known as
``NextGen''. At its inception, the modernization
initiative was marketed as a way to fundamentally
transform how air traffic would be managed. Both the
National Research Council and the DOT IG have pointed
out that instead of fundamentally changing how air
traffic is managed, as initially promised, the FAA's
NextGen effort has shifted to replacing and updating
decades-old equipment and systems.\72\ The GAO has
documented instances where budget uncertainty has
affected FAA's ability to perform its mission.\73\
Additionally, there are questions regarding how the FAA
manages NextGen programs. For instance, the DOT IG has
expressed concerns with the FAA's practice of dividing
its programs into multiple segments and funding each
segment separately.\74\ The DOT IG points out that
while this may minimize risk, it ``. . . masks how much
a program will ultimately cost. . .'' and ``. . . makes
it difficult to track what capabilities or benefits
will be delivered, total cost of the program, and when
the program will be complete.''\75\
---------------------------------------------------------------------------
\72\ A Review of the Next Generation Air Transportation System:
Implications and Importance of System Architecture, p. 3, National
Research Council, The National Academies Press (2015); and Total Costs,
Schedules, and Benefits of FAA's NextGen Transformational Programs
Remain Uncertain, Department of Transportation Office of the Inspector
General, p. 17, AV-2017-009 (November 10, 2016).
\73\ Government Accountability Office, Aviation Finance:
Observations on the Effects of Budget Uncertainty on FAA, GAO-16-198R
p.3 (November 19, 2015).
\74\ Total Costs, Schedules, and Benefits of FAA's NextGen
Transformational Programs Remain Uncertain, Department of
Transportation Office of the Inspector General, pp.4-5, AV-2017-009
(November 10, 2016); see also, FAA Reforms Have Not Achieved Expected
Cost, Efficiency, and Modernization Outcomes, Department of
Transportation Office of the Inspector General, AV-2016-015, p. 12
(January 15, 2016).
\75\ Id.
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ATC reform will help expedite long-term ATC system
modernization by freeing the new service provider from
government dysfunction, political interference, and the
growing unreliability of the annual appropriations
process. The new service provider will be able to avoid
the risks that accompany politically-driven Federal
budget and authorization processes, including resource
constraints, continuing resolutions, authorization
extensions, sequestration, and government shutdowns.
Free of the bureaucratic red tape of the FAA's
procurement processes, the new service provider will be
able to access the financial markets and leverage
private funding for multi-year capital projects. This
in turn will allow funding to transform ATC services
and still perform continuous technology refreshments to
keep the technology up-to-date and competitive with
that of our global peers.
--Offering real reform rather than targeted reforms
that have already been tried and have failed: Since
1995, Congress has passed procurement, personnel, and
structural reforms granting the FAA unique authorities
to allow it to run more like a business. The FAA has
fundamentally failed to take advantage of these reforms
and its performance has simply not improved. The DOT IG
determined that the agency's total budget, operations
budget, and compensation costs have nearly doubled,
while productivity at its network of air traffic
facilities has decreased substantially.\76\ The DOT IG
also found that FAA has not accelerated delivery of new
technologies and has not reduced costs or schedule as
anticipated with its transition to the acquisition
management system. Giving the FAA greater budgetary and
procurement flexibilities would require Congress to
cede greater oversight and management of NextGen
programs to the very Agency that has failed to deliver
on NextGen promises and benefits in the first place.
---------------------------------------------------------------------------
\76\Statement of Calvin Scovel III, House Committee on
Transportation and Infrastructure, ``The Need to Reform FAA and Air
Traffic Control to Build a 21st Century Aviation System for America'',
May 17, 2017, available at: https://www.oig.dot.gov/sites/default/
files/DOT%20IG%20Scovel%20Statement%20for%20May%2017%20FAA%20hearing%5E5
-17-17.pdf
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--Ensuring continuity of ATC services to GA. H.R.
2997 ensures the new service provider's entire mission
will be to provide the safest, most efficient, and
modern ATC services possible to all system users. GA is
a vital segment of our aviation community, which is why
the bill includes two GA seats on the Board of
Directors of the new corporation to ensure parity in
corporate governance. The new ATC service provider will
be legally prohibited from charging user fees to any
segment of GA. Instead, GA will support the aviation
system as it always has: through fuel taxes. The new
service provider will be prohibited from unilaterally
restricting airspace or airport access in any way. GA
operators will be guided through the National airspace
operating under the same rules that apply today--with
safety as the first priority. Any changes to ATC
procedures must be in accordance with the law and
approved by the FAA before they can be implemented.
H.R. 2997 requires that if the new service provider
proposes to alter the airspace in a way that might
restrict access, it would be subject to strict
governmental review and approval.
--Ensuring national defense and continuity of ATC
services to public aircraft, including DoD aircraft.
Under the 21st Century AIRR Act, sole responsibility
for national defense, national intelligence, and the
national airspace remains with the Federal government.
The new entity will provide a service, nothing more.
The Corporation will support all United States
government flight activities currently supported by the
FAA. Every day, in the U.S. and overseas DOD and other
Government aircraft operate alongside civilian aircraft
in the same airspace operated by the same air traffic
controllers. Under H.R. 2997, none of this would change
unless approved by the FAA with the input of DOD and
other Federal government stakeholders. The DOD will
continue to provide ATC services within U.S. airspace
same as it does today. The Corporation, DOT, and other
Federal agencies supported by FAA's current operation
of ATC services, including DOD, will reach agreements
to ensure cooperation, facilitate the safe provision of
ATC services, and address coordination and
communication of day-to-day operations after the date
of transfer. The emergency powers of the Armed Forces
are preserved, as is the President's authority to
temporarily transfer ATC services to the Secretary of
Defense in times of war. The DOD will have a seat on
the Advisory Board of the Corporation. Lastly, DOD and
other government agencies are exempt from paying users
fees or charges for ATC services.
STRUCTURE AND AUTHORITY OF THE PRIVATE ATC SERVICE PROVIDER
In separating and transferring the provision of ATC
services from the federal government, the bill respects the
bounds of the Constitution by structuring the new ATC service
provider as an independent, private entity and clearly
delineating the commercial activities of the new service
provider from the governmental functions that remain with the
FAA and DOT. From a historical perspective, ATC began as a not-
for-profit business in the 1920s that was financed through
private means. In the 1930s, the ATC service provider was taken
over by the federal government. Since that time, the federal
government has operated ATC services and simultaneously
regulated its own operation of those services.
H.R. 2997 divests the ATC service business from the
government and returns it to the private sector, as a not-for-
profit private corporation, called the American Air Navigation
Services Corporation.\77\ The Corporation is exclusively
authorized to operate ATC services within United States
airspace and international airspace delegated to the United
States.\78\ The airspace itself remains a federally regulated,
sovereign domain of the United States just as it is today. The
bill essentially licenses the Corporation to provide such
services subject to federal economic and safety regulation.
Among other things, the Corporation is prohibited from
discriminating in the provision of its services and may not
deny a user its services without the approval of the Secretary,
much akin to common carriers in the transportation sector.\79\
---------------------------------------------------------------------------
\77\See H.R. 2997 section 211 (adding 49 U.S.C. 90301).
\78\See H.R. 2997 section 211 (adding 49 U.S.C. 90302).
\79\See, e.g., 49. U.S.C. 11101 (establishing the common carrier
requirement for rail carriers that they provide service upon request);
49 U.S.C. 14101 (establishing the common carrier requirement for water
carriers that they provide service upon request); 49 U.S.C. 15701
(establishing the common carrier requirement for certain pipeline
carriers that they provide service upon request).
---------------------------------------------------------------------------
From a Constitutional perspective, the bill ensures the
Corporation will exist as a private commercial service provider
subject to arms-length federal regulation and oversight in line
with other sectors of aviation and aerospace industries. This
structure is achieved by the precise construction of the
Corporation and its authorized activities. This is evident in
the Corporation's structure, ownership, oversight by the
government, goals, management, and funding, all of which were
crafted to ensure its private status.\80\
---------------------------------------------------------------------------
\80\See Dept. of Transp. v. Ass'n of Am. R.R., 135 S. Ct. 1225,
1231-32 (2015) (Dept. of Transp.) (setting forth the factors the Court
considered to determine whether a statutorily created entity was
governmental or private in nature).
---------------------------------------------------------------------------
The Corporation is established as an independent not-for-
profit business that will be incorporated in a State of its
choosing.\81\ It is not a department, agency, or
instrumentality of the federal government, nor is it owned by
the government.\82\ It would perform no governmental functions
whatsoever. As such, the Corporation is governed by a Board of
Directors made up of 13 disinterested, independent directors,
none of which are appointed by the President and confirmed by
the Senate.\83\ Of the 13 Board Members, nine are nominated by
panels of stakeholders, two are selected by the Secretary of
Transportation, and two selected at-large by the other Board
members. All directors hold a fiduciary duty solely and
exclusively to the Corporation, and are subject to removal from
the Board for violating that duty. This structure will ensure
the Board members, regardless of how or by whom they are
selected, act in the interest of the Corporation. To further
ensure its independence, the Corporation is also prohibited
from issuing stock, so it will be neither owned nor controlled
by the government or any other private entity.\84\ The
Corporation therefore will not be governed or owned by any of
the stakeholders, nor the government, but will be independent
and privately managed as a not-for-profit corporation.\85\
---------------------------------------------------------------------------
\81\Compare H.R. 2997 section 211 (adding 49 U.S.C. 90304)
(establishing the Corporation as a not-for-profit corporation) with
Ass'n of Am. R.R. v. Dept. of Transp., 821 F.3d 19, 27 (D.C. Cir. 2016)
(Ass'n of Am. R.R.) (noting that Amtrak was ``operated `as a for-profit
corporation' charged with ``undertak[ing] initiatives . . . designed to
maximize its revenues.''' when determining whether ``an economically
self-interested entity [was] exercis[ing] regulatory authority over its
rivals'' in violation of the Constitution).
\82\See H.R. 2997 section 211 (adding 49 U.S.C. 90304). Further, as
a private entity, the Corporation is prohibited from negotiating on
behalf of the government before any international organization. See
H.R. 2997 section 211 (adding 49 U.S.C. 90503).
\83\See H.R. 2997 section 211 (adding 49 U.S.C. 90306). In Dept. of
Transp., the Supreme Court, in finding Amtrak to be governmental in
nature, looked at its Board composition, citing that eight of the nine
members were appointed by the President and confirmed by the Senate.
Dept. of Transp., 135 S. Ct. at 1231.
\84\Compare H.R. 2997 section 211 (adding 49 U.S.C. 90312
(prohibiting the Corporation from issuing equity shares)), with Dept.
of Transp., 135 S. Ct. at 1231 (explaining all preferred stock of
Amtrak and a majority of its common stock was owned by the government).
\85\Compare H.R. 2997 section 211 (adding 49 U.S.C. 90304), with
Dept. of Transp. 135 S. Ct. at 1231-32 (focusing on the ownership of
Amtrak by the government, Amtrak's structure, and the government's role
in appointing 8 of its 9 Directors in determining Amtrak was
governmental).
---------------------------------------------------------------------------
The Corporation is also free from the government's
management of its day-to-day activities, and is free to operate
and manage ATC services within the United States' airspace
subject to federal regulation.\86\ In that regard, the
Corporation will be no different than any other regulated
company in the aviation and aerospace industry. For example the
Secretary will prescribe performance-based regulations, similar
to those applicable to other transportation companies, to
govern safety and airspace management procedures.\87\ Further,
the Corporation is required to report to the Secretary and
Congress on safety performance and its financial
conditions,\88\ however, such federal reporting requirements
are commonplace among regulated industries.\89\ Finally, the
Corporation will have no financial ties to the government, its
debt will not be backed by the government and it will be
precluded from receiving federal funding from the Airport and
Airway Trust Fund, which is the primary source of funding for
the FAA's current operation of ATC services and its safety
oversight programs.\90\ Instead, like other private service
providers, the Corporation will raise revenue through charging
fees for its services.\91\ It will also be free to issue bonds,
repaid by its fees for services.\92\ This structure will
provide the Corporation with the commercial freedom necessary
to reliably operate and maintain a technology business
untethered from the politically driven, and uncertain,
government budgetary processes.
---------------------------------------------------------------------------
\86\Compare H.R. 2997 section 211 (adding 49 U.S.C. 90302), with
Dept. of Transp. 135 S. Ct. at 1232 (in determining Amtrak to be
governmental, the Court focused on the significant government
involvement in Amtrak's operations, including requiring certain routes,
applying the Freedom of Information Act to Amtrak, requiring certain
considerations when making improvements to the Northeast Corridor, and
applying Buy American requirements to Amtrak purchases of $1 million or
more).
\87\See, generally, 49 U.S.C. Chapter 447 (establishing the federal
government's regulation of aviation safety); 49 U.S.C. Subtitle VII,
Part A, Subpart ii (establishing the federal government's economic
regulation of air transportation); 49 U.S.C. Subtitle V, Part A
(establishing the federal role in the safety regulation of rail
carriers); 49 U.S.C. Chapter 601 (establishing the federal government's
authority to regulate the safety of pipeline transportation and
pipeline facilities); 49 U.S.C. Chapter 51 (establishing the federal
government's authority to regulate the safe transportation of hazardous
materials).
\88\See H.R. 2997 section 211 (adding 49 U.S.C. 90501 (safety
regulation of the new Corporation); 90505 (requiring safety violations
be reported to the Secretary); 91502-91505 (requiring certain plans be
submitted to the Secretary)).
\89\See 49 U.S.C. 41708 (authorizing the Secretary of
Transportation to require certain reports from air carriers); 49 U.S.C.
11145 (requiring annual reports of rail carriers, lessors, and
associations to be filed with the Surface Transportation Board); 49
U.S.C. 11162 (requiring each rail carrier to have a cost accounting
system that complies with Board rules); 49 U.S.C. 11163 (establishing
uniform expense and revenue accounting and reporting for rail
carriers).
\90\Compare H.R. 2997 section 211 (adding 49 U.S.C. 90304
(prohibiting the government for being liable for the actions of the
Corporation, prohibiting the government from being liable for the debt
of the Corporation)) and section 244 (prohibiting the Corporation from
receiving federal funds from the Airport and Airway Trust Fund), with
Dept. of Transp., 135 S. Ct. at 1232 (explaining Amtrak is ``dependent
on federal financial support'' receiving over $41 billion in federal
subsidies over its then-43 year history, with ``recent years []
subsidies exceed[ing] $1 billion annually'').
\91\See H.R. 2997 section 211 (adding 49 U.S.C. 90313).
\92\See H.R. 2997 section 211 (adding 49 U.S.C. 90308).
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While created by the government, the Corporation would
neither be controlled by the government, nor operated for the
government's benefit.\93\ The Corporation is established as an
``autonomous private enterprise''.\94\
---------------------------------------------------------------------------
\93\Dept. of Transp., 135 S. Ct. at 1232 (``Amtrak was created by
the Government, is controlled by the Government, and operates for the
Government's benefit.'')
\94\Id. (stating ``Amtrak is not an autonomous private
enterprise'').
---------------------------------------------------------------------------
As a private entity, the H.R. 2997 ensures a clear
delineation of the Corporation's activities vis-a-vis the
federal government. Currently, the government is acting as both
the technology service-provider and the safety regulator--
regulating itself. The bill carefully separates the ATC
business operations of the FAA, which are fundamentally
commercial in nature, from the government regulator. Thus, all
``significant'' or regulatory authority of the federal
government remains solely with the DOT and FAA, while only
those activities related to the provision of ATC service are
removed from the federal government.
The Corporation is authorized to manage and operate air
traffic services within the federally regulated, sovereign
domain of United States airspace and international airspace
assigned to the United States.\95\ The federal government would
continue in its traditional, longstanding role of aviation
safety regulator. It would establish and approve performance-
based regulations and minimum safety standards for the
provision of air traffic services, operation of air navigation
facilities, and the enforcement of safety requirements.\96\ To
the extent ATC service is currently legally necessary, that is
because the obligation arises from congressionally authorized
FAA regulations; it would not and cannot arise from any
authority or power of the Corporation.\97\ That constitutional
reality is acknowledged and honored in this bill. Under HR
2997, while the Corporation, like any other private entity or
individual, may propose changes to airspace management or
related regulations, it cannot regulate when and where ATC
service must be used.\98\ Indeed, there are certain flight
operations for which the Secretary has determined no ATC
service is required at all. But, like other common-carriers
granted license by the government to operate, the Corporation
must provide ATC services and may not deny them without
governmental approval or authority to do so.\99\
---------------------------------------------------------------------------
\95\See H.R. 2997 section 211 (adding 49 U.S.C. 90302).
\96\See H.R. 2997 section 211 (adding 49 U.S.C. 90501 (continuing
the Secretary's authority to establish airspace safety management and
procedures); 90505 (clarifying that enforcement authority of
noncompliance with air traffic procedures remains with the FAA)).
\97\See 14 C.F.R. 91.130.
\98\See H.R. 2997 section 211 (adding 49 U.S.C. 90501 (requiring
the Secretary to prescribe and change the performance-based regulations
and requiring the Corporation to following the safety regulations)).
\99\See H.R. 2997 section 211 (adding 49 U.S.C. 90501-90502).
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Also, like other private entities, the Corporation is
allowed to establish fees and charges, including late charges,
for its services.\100\ However, this commercial discretion to
set a price for service is subject to economic regulatory
processes and approvals. Under H.R. 2997, the Board has a duty
to establish its own fees and charges, including late fees,
penalties, and interest, for the services the Corporation
provides.\101\ Regardless of whether there are changes to
increase or decrease fees and charges, the Board must approve
all fees and charges taking into account certain standards,
such as complying with international standards and obligations,
complying with statutory fee principles, non-discrimination,
not reducing airspace access, and not reducing safety.\102\
---------------------------------------------------------------------------
\100\Compare H.R. 2997 section 211 (adding 49 U.S.C. 90308 and
90313 (requiring the Corporation to establish fees and charges for its
services)), with 49 U.S.C. 10702 (requiring a rail carrier to establish
rates for services).
\101\See H.R. 2997 section 211 (adding 49 U.S.C. 90308 and 90313).
It is important to note that the Corporation may only set fees and
charges for its own services, not fees and charges for the services or
products of other private entities. See Sunshine Anthracite Coal Co. v.
Adkins, 310 U.S. 381, 398-99 (1940) (analyzing a private entity that
proposed coal prices for the industry); Carter v. Carter Coal, 298 U.S.
238, 310-311 (evaluating a delegation to a majority of coal producers
of the power to fix the hours and wages for all producers in the entire
coal industry); Pittston Co. v. United States, 368 F.3d 385, 395-96
(4th Cir. 2004) (analyzing a private entity that was created to collect
industry-wide assessments and premiums for benefits, and to manage the
amount of benefits and who received the benefits for the industry).
\102\See H.R. 2997 section 211 (adding 49 U.S.C. 90313). Section
90308 in conjunction with 90313(d) applies principles and standards for
the Board's establishment of fees and charges. Those standards include
the following:
``(1) The amount or type of charges and fees paid by an air
traffic services user may not--
``(A) be determinant of the air traffic services provided to
the user; or
``(B) adversely impact the ability of the user to use or access
any part of the national airspace system.
``(2) Charges and fees shall be consistent with the document
titled 'ICAO's Policies on Charges for Airports and Air Navigation
Services', Ninth Edition, 2012.
``(3) Charges and fees may not be discriminatory.
``(4) Charges and fees shall be consistent with United States
international obligations.
``(5) Certain categories of air traffic services users may be
charged on a flat fee basis so long as the charge or fee is otherwise
consistent with this subsection.
``(6) Charges and fees may not be imposed for air traffic
services provided with respect to operations of aircraft that qualify
as public aircraft under sections 40102(a) and 40125.
``(7) Charges and fees may not be imposed for air traffic
services provided with respect to aircraft operations conducted
pursuant to part 91, 133, 135, 136, or 137 of title 14, Code of Federal
Regulations.
``(8) Charges and fees may not be structured such that air
traffic services users have incentives to operate in ways that diminish
safety to avoid the charges and fees.
``(9) Charges and fees, based on reasonable and financially sound
projections, may not generate revenues exceeding the Corporation's
current and anticipated financial requirements in relation to the
provision of air traffic services.''
---------------------------------------------------------------------------
Even where private entities are granted certain authority in statute,
such power is permissible if the statute ``gives detailed guidance'' on
how to carry-out those responsibilities. Pittston, 368 F.3d at 397. See
also A.L.A. Schechter Poultry Corp. v. United States, 295 U.S. 495,
539-42 (1935) (holding that the delegation of authority to draw up
binding codes of competition violated the nondelegation doctrine
because the statute lacked adequate standards to develop the codes).
For the initial schedule of fees and charges, which would
include any proposed late fees, penalties, and interest, the
Corporation must propose the schedule 180 days before the date
of transfer to the Secretary.\103\ Then, the Secretary must
review the schedule to ensure it complies with the standards of
review and, if so, approve it, before the schedule takes
effect.\104\ For any subsequent increase in fees and charges,
the Secretary must also review and approve the schedule to
determine if it complies with the standards outlined in
statute. Furthermore, any fee or charge assessed by the
Corporation may be challenged by the ATC service user through a
complaint process established by the Secretary.\105\ The
Secretary retains the authority to issue a final decision,
however, it must be within 90 days of receiving the
complaint.\106\ While many common carriers are free to
establish their own fees for service, many still are subject to
economic regulatory challenge by their customers, similar to
the Corporation under the bill.
---------------------------------------------------------------------------
\103\See H.R. 2997 section 211 (adding 49 U.S.C. 90313).
\104\See Id.
\105\See H.R. 2997 section 211 (adding 49 U.S.C. 90502).
\106\See H.R. 2997 section 211 (adding 49 U.S.C. 90502 (requiring
the Secretary to issue the final decision in a fee complaint)).
---------------------------------------------------------------------------
The Corporation, like other private businesses, may seek
redress in the courts for non-payment of fees and charges.\107\
This mechanism to collect delinquent payments is an exercise of
a limited private right of action necessary to protect the
economic interests of the Corporation; it is not the
enforcement of a law of general applicability on behalf of the
public or the United States.\108\ This distinction is
important. The Corporation requires the same rights as other
private commercial service providers, especially a common
carrier, in the private sector. And, like any private person,
the Corporation must be able to protect its own interests
through the civil justice system. Such an exercise or
invocation of a statutory, limited private right of action to
protect an economic interest is not an exercise of sovereign
governmental powers.
---------------------------------------------------------------------------
\107\Compare H.R. 2997 section 211 (adding 49 U.S.C. 90313
(allowing the Corporation to sue to enforce failure to pay fees)), with
49 U.S.C. 10743 (requiring shippers in the railroad industry to pay the
rail carrier's rates, and allowing a rail carrier to bring an action to
enforce payment of such rates) and 49 U.S.C. 11704 (granting a person
injured by a rail carrier's failure to obey an order of the Surface
Transportation Board the right to enforce orders of the Board in United
States District Courts).
\108\See Pittston, 368 F.3d at 396-397 (noting the private entity
had the ``power to sue for monies owed to itself, which is not a
governmental power, but a private one'' and holding that such powers
``clearly do not violate the nondelegation doctrine'').
---------------------------------------------------------------------------
Regardless of whether a user pays fees owed or not, the
Corporation cannot deny service to any user for failure to pay
fees or charges without the approval of the Secretary.\109\
Similar to other common carriers, the Corporation cannot deny
any user of ATC services airspace access without governmental
approval.\110\
---------------------------------------------------------------------------
\109\See H.R. 2997 section 211 (adding 49 U.S.C. 90502).
\110\See H.R. 2997 section 211 (adding 49 U.S.C. 90501-90502).
---------------------------------------------------------------------------
The structures and mechanisms set forth in H.R. 2997 and
outlined above recognize both the unique nature of the air
traffic services the private Corporation will provide and the
federal government's exclusive regulatory control over
aviation, including ATC, and the sovereign domain of the
National airspace. H.R. 2997 ensures a clear separation between
the Corporation, a private entity, and the government with it's
ongoing and exclusive role as a regulator, and as such respects
the bounds of the Constitution.
Hearings and Roundtables
The Committee on Transportation and Infrastructure and its
Subcommittee on Aviation, held the following hearings on
subjects related to matters addressed in H.R. 2997, as amended,
during the 115th Congress:
On June 8, 2017, the Committee on Transportation and
Infrastructure held a hearing entitled Building a 21st
Century Infrastructure for America: Federal Aviation
Administration Authorization. The purpose of this
hearing was to hear testimony from the Secretary of
Transportation Elaine Chao on issues related to the
FAA, the programs it administers, and FAA authorization
and reform.
On May 17, 2017, the Committee on Transportation and
Infrastructure held a hearing entitled The Need to
Reform FAA and Air Traffic Control to Build a 21st
Century Aviation System for America. The purpose of
this hearing was to discuss the need for fundamental
reform of the ATC system and to receive testimony from
the DOT IG, the president of the National Air Traffic
Controllers Association, a former Clinton and Obama
administration official, the Director of Transportation
Policy of the Reason Foundation, and the president of
Hartzell Propeller.
On May 2, 2017, the Committee on Transportation and
Infrastructure held a hearing entitled Oversight of
U.S. Airline Customer Service. The purpose of this
hearing was to hear testimony from major airlines and a
consumer group concerning the state of customer
services issues within the U.S. aviation system. The
Committee received testimony from representatives of
United Airlines, Southwest Airlines, American Airlines,
Alaska Airlines, and an aviation consultant from
Consumers Union.
On April 4, 2017, the Subcommittee on Aviation held a
hearing entitled Building a 21st Century Infrastructure
for America: Enabling Innovation in the National
Airspace. The purpose of this hearing was to hear about
new aviation and aerospace technologies, users, and
business models, and to learn about the role of
innovation in building a 21st century aviation
transportation system. This hearing addressed any
potential challenges operators may face when
integrating new technology into the National airspace.
The Subcommittee received testimony from
representatives of the FAA, Amazon Prime Air, FlyGLO,
AirMap, Virgin Galactic, and VDOS Global.
On March 8, 2017, the Subcommittee on Aviation held a
hearing entitled Building a 21st Century Infrastructure
for America: Air Transportation in the United States in
the 21st Century. The purpose of this hearing was to
hear about the current state of the U.S. air
transportation industry from a variety of perspectives.
The Subcommittee received testimony from
representatives of Alaska Air Group, Inc., SkyWest,
Inc., Air Transport Services Group, Association of
Flight Attendants-CWA, and Travelers United.
On March 1, 2017, the Subcommittee on Aviation held a
hearing entitled Building a 21st Century Infrastructure
for America: State of American Airports. The purpose of
this hearing was to hear about the current state of
commercial service and general aviation airports across
the Nation and discuss the challenges and opportunities
associated with building a globally competitive 21st
century aviation infrastructure. The Subcommittee
received testimony from representatives of diversely
sized airports, including Dallas/Fort Worth
International Airport, Seattle-Tacoma International
Airport, Pittsburgh International Airport, Asheville
Regional Airport, and the Ventura County Department of
Airports.
On February 15, 2017, the Subcommittee on Aviation
held a hearing entitled Building a 21st Century
Infrastructure for America: State of American Aviation
Manufacturing. The purpose of this hearing was to hear
about the current state of civil aviation
manufacturing, including the economic, regulatory, and
general health of American civil aviation
manufacturing. The Subcommittee also heard about the
challenges being faced in the industry. The
Subcommittee received testimony from representatives of
the FAA, Boeing Company, Pratt and Whitney, and Textron
Aviation.
On February 1, 2017, the Committee on Transportation and
Infrastructure held a hearing entitled Building a 21st Century
Infrastructure for America. The purpose of this hearing was to
hear about challenges facing our Nation's current
transportation infrastructure and a vision for a modern 21st
century transportation infrastructure. The Committee received
testimony from representatives of FedEx Corporation, Cargill,
BMW North America, Vermeer Corporation, and the AFL-CIO.
The Committee on Transportation and Infrastructure
and its Subcommittee on Aviation, held the following
hearings and roundtables on subjects related to matters
addressed in H.R. 2997, as amended, during the 114th
Congress:
On February 10, 2016, the Committee on Transportation
and Infrastructure held a hearing entitled Review of
ATC Reform Proposals. The purpose of this hearing was
to examine proposals to reform the ATC operations of
the FAA.
On June 22, 2016, the Subcommittee on Aviation held a
hearing entitled FAA Oversight of Commercial Space
Transportation. The purpose of this hearing was to
explore issues related to the FAA's oversight of the
commercial space transportation industry.
On June 15, 2016, the Subcommittee on Aviation held a
hearing entitled A Review of the Federal Aviation
Administration's Air Traffic Controller Hiring,
Staffing and Training Plans. The purpose of this
hearing was to review the FAA's air traffic controller
hiring, staffing, and training plans.
On December 8, 2015, the Subcommittee on Aviation
held a roundtable entitled Review of Federal Aviation
Administration Air Traffic Controller Staffing. The
purpose of this roundtable was to examine concerns with
staffing levels at major ATC facilities and discuss if
the FAA's current training and hiring processes are
adequate.
On May 21, 2015, the Subcommittee on Aviation held a
roundtable entitled FAA Reauthorization: Airport
Financing and Development. The purpose of this
roundtable was to discuss issues related to airport
financing and development.
On April 30, 2015, the Subcommittee on Aviation held
a roundtable entitled Ensuring the Safety of Our
Nation's Aviation System. The purpose of this
roundtable was to discuss aviation safety issues and
policies as the Committee on Transportation and
Infrastructure works toward the reauthorization of the
FAA.
On March 24, 2015, the Subcommittee on Aviation held
a roundtable entitled Options for FAA Air Traffic
Control Reform. The purpose of this hearing was to
discuss options for reforming ATC operations at the
FAA.
On March 3, 2015, the Subcommittee on Aviation held a
roundtable entitled Federal Aviation Administration
Reauthorization: Enabling a 21st Century Aviation. The
purpose of the hearing was to receive testimony on
issues related to the FAA and federal aviation programs
with a view toward reauthorizing the programs before
they expire on September 30, 2015.
On February 25, 2015, the Subcommittee on Aviation
held a roundtable entitled Issues Regarding Modernizing
and Operating the Nation's Airspace System held on
February 25, 2015. The purpose of this roundtable was
to discuss issues related to the FAA's modernization
and operation of the Nation's airspace system.
On January 21, 2015, the Committee on Transportation
and Infrastructure held a hearing entitled FAA
Reauthorization: Reforming and Streamlining the FAA's
Regulatory Certification Processes. The purpose of this
hearing was to prepare for the FAA reauthorization, to
hear witnesses' testimony on FAA's certification
processes, to examine progress the FAA has made to
streamline the processes since the last
reauthorization, and to determine areas in need of
additional reform.
The Committee on Transportation and Infrastructure and its
Subcommittee on Aviation, held the following hearings on
subjects related to matters addressed in H.R. 2997, as amended,
during the 113th Congress:
On July 23, 2014, the Subcommittee on Aviation held a
hearing entitled Domestic Aviation Manufacturing:
Challenges and Opportunities. The purpose of this
hearing was to review the state of American aviation
manufacturing. The Subcommittee heard about the
economic health of American aviation manufacturing and
challenges the industry is facing.
On June 18, 2014, the Subcommittee on Aviation held a
hearing entitled Airport Finance and Development. The
hearing explored the current and future needs of
aviation infrastructure and how we can fund these
growing needs. Airports and airlines are at odds on
increasing or lifting the passenger facility charge
(PFC), so this hearing provided an opportunity to hear
various stakeholders' perspectives as the Committee
prepared for the next reauthorization bill.
On February 5, 2014, the Subcommittee on Aviation
held a hearing entitled The FAA Modernization and
Reform Act of 2012: Two Years Later. After nearly two
years since the FAA Modernization and Reform Act of
2012 (FMRA) was signed into Public Law, the
Subcommittee heard from witnesses regarding the
progress the FAA had made in implementing provisions in
the FRMA over the two year period.
On December 12, 2013, the Subcommittee on Aviation
held a hearing entitled The State of American Aviation.
The purpose of this hearing was to hear from
government, industry, and other stakeholders on the
state of American aviation and learn about any issues
or policy areas they believe need to be addressed in
the next FAA reauthorization.
On October 30, 2013, the Subcommittee on Aviation
held a hearing entitled Review of the FAA's
Certification Process: Ensuring an Efficient,
Effective, and Safe Process. The purpose of the hearing
was to review the FAA's progress in implementing
provisions in the Reform Act, which required the agency
to develop plans to streamline their certification
process and address regional inconsistencies.
On July 17, 2013, the Subcommittee on Aviation held a
hearing entitled Causes of Delays to the FAA's NextGen
Program. The purpose of the hearing was to address the
delays in the FAA's implementation of NextGen as
outlined in an audit conducted by the DOT IG.
On May 16, 2013, the Subcommittee on Aviation held a
hearing entitled Review of the FAA's Progress in
Implementing the FAA Modernization and Reform Act. The
hearing was a continuation of the February 2013 hearing
addressing the FAA's progress in implementing the FMRA.
On February 27, 2013, the Subcommittee on Aviation
held a hearing entitled Implementation of the FAA
Reauthorization and Reform Act: One Year Later. The
purpose of the hearing was to address the progress that
the FAA had made in the implementation of the FMRA.
Legislative History and Consideration
On June 22, 2017, House Committee on Transportation and
Infrastructure Chairman Bill Shuster (R-PA), Subcommittee on
Aviation Chairman Frank A. LoBiondo (R-NJ), Subcommittee on
Highways and Transit Chairman Sam Graves (R-MO), Subcommittee
on Aviation Vice Chairman Paul Mitchell (R-MI), Representative
Colleen Hanabusa (D-HI), and Representative Kyrsten Sinema (D-
AZ) introduced H.R. 2997, the 21st Century AIRR Act. On June
27, 2017, the Committee on Transportation and Infrastructure
met in open session and ordered the bill reported, as amended,
favorably to the House by a recorded vote of 32 to 25 with a
quorum present.
During consideration of the bill, the Committee dispensed
with amendments as follows:
The following amendments were approved by voice vote:
An amendment offered by Representative Barletta
designated 015;
An amendment offered by Representative Davis
designated 026;
An amendment offered by Representative Mitchell
designated 014;
An amendment offered by Representative Comstock
designated 018;
An amendment offered by Representative Garamendi
designated 019;
An amendment offered by Representative Carson
designated 013;
Amendments considered en bloc and consisting of:
An amendment by Representative Brownley
designated 020;
An amendment by Representative Bustos
designated 020; Amendments by Representative
Huffman designated 055 and 057;
An amendment by Representative Johnson of
Georgia designated 033;
An amendment by Representative Lawrence
designated 024;
An amendment by Representative Lowenthal
designated 019;
An amendment by Delegate Norton designated
034;
An amendment by Representative Payne
designated 020;
An amendment by Representative Barletta
designated 016;
An amendment by Representative Comstock
designated 017;
An amendment by Representative Rodney Davis
of Illinois designated 025;
An amendment by Representative Lewis
designated 009;
An amendment by Representative Woodall
designated 003;
An amendment by Representative Sanford
designated 032;
An amendment by Representative Larsen
designated 023;
An amendment by Representative Young
designated 070;
An amendment by Representative Mast
designated 017;
An amendment by Representative Rokita
designated 023;
An amendment by Representative LoBiondo
designated 020;
An amendment by Representative Bustos
designated 021; and An amendment by
Representative Brownley designated 019;
An amendment offered by Representative Perry
designated 050;
An amendment offered by Delegate Norton designated
033;
An amendment offered by Representative Lipinski
designated 027;
Amendments considered en bloc and consisting of:
An amendment by Representative Lipinski
designated 043;
An amendment by Representative Bost
designated 001, as modified;
An amendment by Representative Rouzer
designated as 001;
An amendment by Representative Lipinski
designated 034;
An amendment by Representative Barletta
designated 017;
An amendment by Representative Garamendi
designated 026;
An amendment by Representative Cohen
designated 045;
An amendment by Representative Nolan
designated 037, as modified;
An amendment by Representative Nolan
designated 041, as modified;
An amendment by Representative Wilson
designated 027, as modified; and An amendment
by Representative DeSaulnier designated 023, as
modified.
The following amendment was defeated by voice vote:
An amendment offered by Representative Cohen
designated 043;
The following amendments were approved by recorded vote:
An amendment offered by Delegate Norton designated
033;
An amendment offered by Representative Lipinski
designated 027;
The following amendments were defeated by recorded vote:
An amendment offered by Representative DeFazio
designated 045;
An amendment offered by Delegate Norton designated
031;
An amendment offered by Representative Perry
designated 051;
An amendment offered by Representative Nadler
designated 022;
An amendment offered by Representative Eddie Bernice
Johnson of Texas designated 016;
An amendment offered by Representative Larsen
designated 021;
An amendment offered by Representative Lipinski
designated 041;
An amendment offered by Representative Nolan
designated 042;
An amendment offered by Representative Titus
designated 013;
An amendment offered by Representative Huffman
designated 056;
An amendment offered by Representative DeFazio
designated 053;
An amendment offered by Representative Lipinski
designated 039;
An amendment offered by Representative Lowenthal
designated 018;
An amendment offered by Representative Titus
designated 011;
An amendment offered by Representative DeFazio
designated 051; and
An amendment offered by Representative Titus
designated 012.
The following amendments were offered and withdrawn:
An amendment offered by Representative Rokita
designated 020;
An amendment offered by Representative Rokita
designated 021;
An amendment offered by Representative Rokita
designated 022;
An amendment offered by Representative Rokita
designated 024;
An amendment offered by Representative Capuano
designated 029;
An amendment offered by Representative Lewis
designated 010;
An amendment offered by Representative Johnson of
Georgia designated 034;
An amendment offered by Representative Lowenthal
designated 017;
An amendment offered by Representative Eddie Bernice
Johnson of Texas designated 013;
An amendment offered by Representative Johnson of
Georgia designated 035;
An amendment offered by Representative Johnson of
Texas designated 015;
An amendment offered by Representative Cohen
designated 042;
An amendment offered by Representative Garamendi
designated 021;
An amendment offered by Representative Lipinski
designated 038;
An amendment offered by Representative Nolan
designated 044;
An amendment offered by Representative Lipinski
designated 042;
An amendment offered by Representative Lipinski
designated 044;
An amendment offered by Representative Lipinski
designated 037;
An amendment offered by Representative Maloney
designated 029;
An amendment offered by Representative Graves
designated 015; and An amendment offered by
Representative Sanford 28 designated 028.
Committee Votes
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires each committee report to include the
total number of votes cast for and against on each record vote
on a motion to report and on any amendment offered to the
measure or matter, and the names of those members voting for
and against. During Committee consideration of H.R. 2997,
record votes were taken on the following amendments and final
passage:
An amendment offered by Representative DeFazio
designated 045;
An amendment offered by Delegate Norton designated
031;
An amendment offered by Representative Perry
designated 051;
An amendment offered by Representative Nadler
designated 022;
An amendment offered by Representative Eddie Bernice
Johnson of Texas designated 016;
An amendment offered by Representative Larsen
designated 021;
An amendment offered by Representative Lipinski
designated 041;
An amendment offered by Representative Nolan
designated 042;
An amendment offered by Representative Titus
designated 013;
An amendment offered by Representative Huffman
designated 056;
An amendment offered by Representative DeFazio
designated 053;
An amendment offered by Delegate Norton designated
033;
An amendment offered by Representative Lipinski
designated 039;
An amendment offered by Representative Lowenthal
designated 018;
An amendment offered by Representative Titus
designated 011;
An amendment offered by Representative DeFazio
designated 051;
An amendment offered by Representative Titus
designated 012;
An amendment offered by Representative Lipinski
designated 027; and Vote ordering H.R. 2997, as
amended, reported favorably.
The Committee disposed of these votes as follows:
Committee Oversight Findings
With respect to the requirements of clause 3(c)(1) of rule
XIII of the Rules of the House of Representatives, the
Committee's oversight findings and recommendations are
reflected in this report.
New Budget Authority and Tax Expenditures
Clause 3(c)(2) of rule XIII of the Rules of the House of
Representatives does not apply where a cost estimate and
comparison prepared by the Director of the Congressional Budget
Office under section 402 of the Congressional Budget Act of
1974 has been timely submitted prior to the filing of the
report and is included in the report. Such a cost estimate is
included in this report.
Congressional Budget Office Cost Estimate
With respect to the requirement of clause 3(c)(3) of rule
XIII of the Rules of the House of Representatives and section
402 of the Congressional Budget Act of 1974, the Committee has
received the enclosed cost estimate for H.R. 2997, as amended,
from the Director of the Congressional Budget Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, July 11, 2017.
Hon. Bill Shuster,
Chairman, Committee on Transportation and Infrastructure,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 2997, the 21st
Century Aviation Innovation, Reform, and Reauthorization Act.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Megan
Carroll.
Sincerely,
Keith Hall, Director.
Enclosure.
H.R. 2997--21st Century Aviation Innovation, Reform, and
Reauthorization Act
Summary: H.R. 2997 would establish a federally chartered,
not-for-profit corporation (known as the American Air
Navigation Services (AANS) Corporation) to assume
responsibility for operating the U.S. air traffic control
system, a function currently performed by the Federal Aviation
Administration (FAA). The proposed corporation would be
governed by a 13-member board of directors composed of
individuals representing certain aviation stakeholder groups.
To finance the costs of providing air traffic services, the
bill would authorize the corporation to charge fees to users of
such services and to issue debt.
The Secretary of Transportation would manage and oversee
the transition of operational control over air traffic services
to the proposed corporation, which would occur on October 1,
2020. Until that time, the bill would authorize appropriations
for the FAA to continue to operate, maintain, and modernize the
air traffic control system and carry out the agency's other
traditional responsibilities related to civil aviation. After
the proposed transition of all air traffic control-related
personnel and programs to the AANS Corporation, the bill would
authorize additional appropriations for FAA and the Department
of Transportation (DOT) to continue to meet traditional
aviation-related responsibilities, such as performing certain
regulatory and safety-related activities, making grants to
airports to support capital projects, and subsidizing air
service to certain rural communities.
Although the proposed corporation would be independent and
autonomous, in CBO's view it would effectively act as an agent
of the federal government in carrying out a regulatory
function. Hence, in keeping with guidance specified by the 1967
President's Commission on Budget Concepts, the proposed
corporation's cash flows should be recorded in the federal
budget. More specifically, fees charged by the proposed
corporation should be recorded as federal revenues, and its
expenditures should be classified as federal direct spending.
On that basis, CBO estimates that enacting H.R. 2997 would:
Increase net direct spending by $90.7
billion over the 2018-2027 period;
Increase net revenues by $70.0 billion over
the 2018-2027 period;
Increase net deficits stemming from revenues
and direct spending by about $20.7 billion over the
2018-2027 period; and
Result in discretionary outlays totaling
$52.3 billion over the 2018-2027 period, subject to the
appropriation of authorized amounts.
Pay-as-you-go procedures apply because enacting the
legislation would affect direct spending and revenues. CBO
estimates that enacting H.R. 2997 would increase net direct
spending and on-budget deficits by more than $5 billion in one
or more of the four consecutive 10-year periods beginning in
2028.
The estimated changes in direct spending and revenues under
H.R. 2997 reflect CBO's assessment of the budgetary effects of
enacting H.R. 2997 as a stand-alone measure. Ultimately,
however, the net budgetary impact of activities related to air
traffic control under H.R. 2997 would depend on the details of
additional legislation that lies beyond the scope of this cost
estimate. H.R. 2997 does not address other important aspects of
federal activities related to aviation--in particular,
provisions of current law that govern aviation-related excise
taxes that cover most of the FAA's costs related to air traffic
services and other programs. Similarly, although H.R. 2997
authorizes a marked reduction in future appropriations for the
FAA that comport with the envisioned transfer of operational
control over the air traffic control system to the AANS
Corporation, whether subsequent reductions in future
discretionary funding for the agency occur would depend on
appropriations enacted by future Congresses. As a result, the
ultimate net budgetary impact of corporatizing air traffic
control under H.R. 2997 could differ considerably from the
estimates presented in this analysis, but CBO cannot provide an
analysis of such potential impacts because they would depend on
the details of future legislation (see the discussion below
under the heading ``Additional Information'').
H.R. 2997 would impose intergovernmental and private-sector
mandates as defined in the Unfunded Mandates Reform Act (UMRA)
on operators of air ambulances. The bill also would preempt
state authority over air traffic control services. Based on
information from the FAA, public airport operators, and state
aviation agencies, CBO estimates that the cost of the mandates
on public entities would fall below the annual threshold
established in UMRA for intergovernmental mandates ($78 million
in 2017, adjusted annually for inflation). The bill would
impose additional mandates on private entities including users
of air traffic services, air carriers, manufacturers of
aircraft, and ticket agents. CBO estimates that the aggregate
cost of mandates on private entities would well exceed the
annual threshold established in UMRA for private-sector
mandates ($156 million in 2017, adjusted annually for
inflation).
Estimated Cost to the Federal Government: The estimated
budgetary effect of H.R. 2997 is shown in the following table.
The costs of this legislation fall within budget function 400
(transportation).
--------------------------------------------------------------------------------------------------------------------------------------------------------
By fiscal year, in billions of dollars--
--------------------------------------------------------------------------------------------------
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2017-2022 2017-2027
--------------------------------------------------------------------------------------------------------------------------------------------------------
INCREASES IN DIRECT SPENDING
Estimated Budget Authority........................... 0.0 0.2 0.3 0.4 13.1 13.6 14.0 14.4 14.9 15.3 15.7 27.6 102.0
Estimated Outlays.................................... 0.0 0.0 0.0 * 9.3 11.6 12.7 13.6 14.1 14.5 15.0 20.8 90.7
INCREASES IN REVENUES
Estimated Revenues................................... 0.0 0.0 0.0 0.0 9.0 9.3 9.6 10.0 10.3 10.7 11.1 18.3 70.0
NET INCREASE IN THE DEFICIT FROM CHANGES IN DIRECT SPENDING AND REVENUES
Impact on Deficit.................................... 0.0 0.0 0.0 * 0.3 2.3 3.1 3.6 3.8 3.8 3.9 2.6 20.7
INCREASES IN SPENDING SUBJECT TO APPROPRIATION
Estimated Authorization Level........................ 0.0 13.2 13.5 13.8 2.5 2.5 2.6 0.0 0.0 0.0 0.0 45.6 48.2
Estimated Outlays.................................... 0.0 10.5 12.4 13.4 5.0 4.0 3.6 1.2 0.9 0.7 0.7 45.2 52.3
--------------------------------------------------------------------------------------------------------------------------------------------------------
Notes:Components may not sum to totals due to rounding. * = less than $50 million.
Background
The FAA is responsible for most federal activities related
to civil aviation under current law. The agency receives
funding for most of its programs and activities--operations;
maintaining air navigation facilities and equipment; and
research, engineering, and development--in annual appropriation
acts. The bulk of those funds are used to operate and maintain
the air traffic control system. In addition, the FAA receives
funding for the Airport Improvement Program (AIP), which makes
grants to public-use airports for projects to enhance safety
and increase their capacity; that funding is provided in
authorization acts as contract authority (a mandatory form of
budget authority). Finally, DOT receives annual appropriations
to make payments to air carriers to subsidize their costs to
provide service to certain small communities.
Historically, the funds for aviation programs come from the
general fund of the Treasury and the Airport and Airway Trust
Fund. That trust fund is an accounting mechanism in the federal
budget that records receipts from certain taxes paid by users
of the air transportation system--primarily excise taxes on
commercial airline tickets--and spending to cover a portion of
the FAA's programs and DOT's payments to air carriers. Annual
spending from the fund is not automatically triggered by the
collection of tax revenues or transfers of interest earnings
but is controlled by annual appropriation acts.
In 2017, CBO estimates, revenues credited to the Airport
and Airway Trust Fund will total $15.1 billion, slightly less
than the $15.7 billion in new funding provided from the fund
for FAA programs and DOT's payments to air carriers. The FAA
also received $1 billion in appropriations from the general
fund for 2017, bringing total discretionary funding (including
appropriations and obligation limitations on AIP contract
authority) to $16.6 billion. That amount includes:
$10.7 billion for the full operating and
capital costs of providing air traffic control services
(including ancillary support services);
$3.35 billion for AIP grants to airports;
$2.4 billion for other FAA activities,
particularly those related to regulating the safety of
civil aviation; and
$150 million for DOT to make payments to air
carriers that provide service to certain rural
communities through the Essential Air Service program.
If discretionary resources for FAA and DOT aviation
activities (including obligation limitations) were assumed to
remain at the 2017 level adjusted for inflation, CBO projects
that discretionary funding would grow to $20.4 billion in 2027.
CBO also estimates that, if aviation-related excise taxes
credited to the Airport and Airway Trust Fund are extended,
they will grow at roughly the same rate as the economy and
total $21.3 billion in 2027.\1\
---------------------------------------------------------------------------
\1\Under current law, most aviation-related excise taxes that
provide funding for federal aviation programs are scheduled to expire
after September 30, 2017; however, under rules governing CBO's baseline
projections, revenues from excise taxes that are credited to trust
funds are assumed to continue in effect beyond their scheduled
expiration date.
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Major provisions
H.R. 2997 would establish the AANS Corporation, a federally
chartered, not-for-profit corporation to assume responsibility
for operating the U.S. air traffic control system. A 13-member
board of directors (including a board-appointed chief executive
officer) would govern the proposed corporation. The Secretary
of Transportation would appoint two directors; eight others
would be nominated by panels of individuals representing
certain aviation stakeholders.\2\ Those 10 board members would
select two additional ``at large'' members.
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\2\The eight nominating panels established under S. 2997 would
represent passenger, cargo, and regional air carriers; noncommercial
owners and recreational operators of general aviation; business
aviation (including users of general aviation aircraft exclusively to
further business interests, aviation-related businesses, and aerospace
manufacturers of aircraft and equipment used in general aviation); air
traffic controllers; airports; and commercial pilots.
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Under H.R. 2997, the corporation would be the only entity
authorized to provide air traffic services within U.S. airspace
other than the Department of Defense and certain other entities
with existing responsibilities. The corporation also would be
responsible for maintaining and modernizing the infrastructure
and equipment associated with the air traffic control system.
To cover the costs of operating and managing that system, the
bill would authorize the corporation to charge fees to users of
air traffic control services, require users to pay such fees,
and specify that the corporation could enforce that requirement
in U.S. courts. In addition to funding from user fees, the
corporation would be authorized to issue debt to finance its
costs. The bill would prohibit the corporation from issuing or
selling equity shares in the corporation.
The Secretary of Transportation would manage and oversee
the transition of operational control over air traffic services
to the proposed corporation, which would occur on October 1,
2020. The bill outlines procedures for identifying the federal
personnel to be transferred to the corporation and specifies
that certain provisions of laws related to labor-management
relations that currently apply to the FAA and its labor
organizations would continue to apply to all employees of the
new corporation (including individuals hired after the date of
transfer). Transferred employees would have the option to
retain their existing federal health and retirement benefits or
could choose to participate in benefit plans offered by the new
corporation.
The bill also would convey to the corporation, for no
consideration, any real and personal property (including air
navigation facilities), and related licenses, patents, software
rights, and other items deemed necessary for providing air
traffic services. The conveyance would include access to
systems using the dedicated portion of the electromagnetic
spectrum used by the FAA to provide air traffic services and
data from such systems. Under the bill, ownership of real
property at FAA's technical facilities would revert to the
federal government if the corporation deemed such property to
be no longer needed to provide air traffic services and the
Secretary of Transportation determined that a reversion was
necessary to protect the national interest. The bill would
authorize the corporation to sell other real property (except
for certain property located in noncontiguous states) and use
the proceeds to make capital investments related to air traffic
control infrastructure.
Until fiscal year 2021, when the transfer would occur, the
FAA would continue to operate, maintain, and modernize the air
traffic control system and carry out the agency's other primary
responsibilities related to regulating the safety of civil
aviation and providing grants to airports to support capital
projects. Starting in 2021, the corporation would assume
responsibility for air traffic control. The FAA and DOT would
continue to carry out certain activities related to regulating
the safety of civil aviation (including air navigation services
provided by the corporation), providing AIP grants to airports,
and making payments to subsidize air service to rural
communities.
Budgetary treatment of the AANS Corporation
Although the proposed corporation would be independent and
autonomous, in CBO's view it would effectively act as an agent
of the federal government in carrying out a regulatory
function. In particular:
The AANS Corporation would be the only
entity authorized to provide air traffic services
within U.S. airspace other than the Department of
Defense and certain other entities with existing
responsibilities.
The bill would authorize the corporation to
charge fees to users of air traffic control services,
require users to pay such fees, and specify that the
corporation could enforce that requirement in U.S.
courts.
Hence, in keeping with guidance specified by the 1967
President's Commission on Budget Concepts, the proposed
corporation's cash flows should be recorded in the federal
budget. Although the report issued by that commission has no
legal status, it remains the primary authoritative statement on
the scope of the federal budget. The commission recommended
that, ``the budget should, as a general rule, be comprehensive
of the full range of federal activities. Borderline agencies
and transactions should be included . . . unless there are
exceptionally persuasive reasons for exclusion.''\3\
---------------------------------------------------------------------------
\3\President's Commission on Budget Concepts, Report of the
President's Commission on Budget Concepts (October 1967), p.25.
---------------------------------------------------------------------------
CBO has adhered to that principle since the Congressional
budget process was established.\4\ For example, since the 1990s
CBO and the Office of Management and Budget have included
amounts collected and spent by the Universal Service Fund each
year in the federal budget even though the company that manages
the fund is not part of the federal government and the charges
that telecommunications companies are required to pay do not
flow through the U.S. Treasury.
---------------------------------------------------------------------------
\4\See Congressional Budget Office, How CBO Determines Whether to
Classify an Activity as Governmental When Estimating Its Budgetary
Effects (June 2017), https://www.cbo.gov/publication/52803.
---------------------------------------------------------------------------
More specifically, the user fees that would be assessed by
the AANS Corporation should be classified as federal revenues,
largely because of their compulsory nature. In CBO's view,
subsequent spending of such fees, as well as any spending
financed by debt issued by the corporation (which would be
backed by the entity's authority to set fees at levels
necessary to recover its costs and to compel users to pay such
fees), should be classified as federal direct spending because
that spending would not be contingent on any further
legislation.
Basis of Estimate: H.R. 2997 would effectively reclassify,
from discretionary to mandatory, federal spending related to
air traffic control. Broadly speaking, CBO expects that the
amount of spending for air traffic control under H.R. 2997
would be similar to the amount of spending for such activities
reflected in CBO's baseline projections. In that sense,
increases in direct spending for the proposed AANS Corporation
would reduce the need for future appropriations to the FAA.
However, in CBO's cost estimates for proposed legislation,
changes in authorized spending subject to appropriation are not
estimated relative to CBO's baseline projections; rather, we
report the differences between amounts authorized to be
appropriated under proposed legislation and authorization
levels specified for future years under current law. Under
current law, no authorizations for federal aviation programs
are in place beyond 2017.
For this estimate CBO assumes that H.R. 2997 will be
enacted early in fiscal year 2018 and that appropriations will
be provided as specified by the bill. Estimates of outlays are
based on historical spending patterns for major activities
carried out by the FAA. We also assume that the proposed
transfer of operational control over air traffic control
services would occur on the date specified in the legislation,
that the AANS Corporation would begin to collect and spend user
fees in fiscal year 2021, and that it would continue to
administer spending of balances previously appropriated to the
FAA for activities related to air traffic control.
Over the next 10 years, CBO estimates that enacting H.R.
2997 would increase direct spending by $90.7 billion and
increase revenues by $70.0 billion. Additionally, discretionary
spending to implement the bill would total $52.3 billion,
subject to appropriation of the authorized amounts, CBO
estimates (see Table 2).
TABLE 2--EFFECTS ON DIRECT SPENDING AND REVENUES UNDER H.R. 2997
--------------------------------------------------------------------------------------------------------------------------------------------------------
By fiscal year, in billions of dollars--
-----------------------------------------------------------------------------------------------------
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2018-2022 2018-2027
--------------------------------------------------------------------------------------------------------------------------------------------------------
INCREASES IN DIRECT SPENDING
Operations of the AANS Corporation
Estimated Budget Authority.................... 0.0 0.0 0.0 12.6 13.0 13.4 13.8 14.2 14.6 15.1 25.6 96.7
Estimated Outlays............................. 0.0 0.0 0.0 9.3 11.6 12.7 13.6 14.1 14.5 15.0 20.8 90.7
Civil Service Retirement and Health Benefits
Estimated Budget Authority.................... 0.0 0.0 * * * * * * * * * *
Estimated Outlays............................. 0.0 0.0 * * * * * * * * * *
Airport Improvement Program
Estimated Budget Authority.................... 0.2 0.3 0.4 0.5 0.6 0.6 0.6 0.6 0.6 0.6 2.0 5.2
Estimated Outlays............................. 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total Changes
Estimated Budget Authority.................... 0.2 0.3 0.4 13.1 13.6 14.0 14.4 14.9 15.3 15.7 27.6 102.0
Estimated Outlays............................. 0.0 0.0 * 9.3 11.6 12.7 13.6 14.1 14.5 15.0 20.8 90.7
INCREASES AND DECREASES (-) IN REVENUES
Gross AANS Corporation Fees for Air Traffic 0.0 0.0 0.0 12.2 12.6 13.0 13.5 14.0 14.5 15.0 24.7 94.6
Services.........................................
Reduced Revenues from Payroll and Income Taxes.... 0.0 0.0 0.0 -3.2 -3.3 -3.4 -3.5 -3.6 -3.8 -3.9 -6.4 -24.6
Net Changes in Revenues....................... 0.0 0.0 0.0 9.0 9.3 9.6 10.0 10.3 10.7 11.1 18.3 70.0
NET INCREASE IN THE DEFICIT FROM
CHANGES IN DIRECT SPENDING AND REVENUES
Impact on Deficit................................. 0.0 0.0 * 0.3 2.3 3.1 3.6 3.8 3.8 3.9 2.6 20.7
--------------------------------------------------------------------------------------------------------------------------------------------------------
Note: * = between -$50 million and $50 million; Components may not sum to totals due to rounding.
aBudget authority for the Airport Improvement Program is provided as contract authority, a mandatory form of budget authority; however outlays from that
contract authority are subject to limitations on obligations specified in annual appropriation acts and are therefore considered discretionary.
Direct spending
Nearly all of the estimated increase in direct spending
under H.R. 2997 represents spending by the proposed
corporation. In addition, CBO estimates that transferring FAA
employees to the AANS Corporation would affect federal spending
for health and retirement benefits for some people. In
contrast, CBO expects that conveying property related to air
traffic control to the proposed corporation and authorizing the
corporation to sell such property and spend the proceeds would
have no significant net effect on the federal budget. Finally,
H.R. 2997 would increase mandatory contract authority for the
Airport Improvement Program, but because FAA's authority to
spend such contract authority would be subject to obligation
limitations specified in annual appropriation acts, any
resulting outlays would be considered discretionary.
Operations of the AANS Corporation. Under H.R. 2997 the
corporation would have authority to levy fees on users of air
traffic services and to use those amounts to cover all of the
entity's financial requirements, including debt service costs
stemming from the corporation's authority to issue bonds. CBO
estimates that resulting direct spending would total $90.7
billion over the 2021-2027 period.
For this estimate, CBO assumes that the corporation's
annual funding requirements would largely remain in line with
current estimates of the FAA's full operating and capital costs
related to air traffic control. According to the FAA, funding
related to air traffic control totals nearly $10.7 billion in
2017. Assuming that spending for personnel, facilities and
equipment, and other expenses grow at rates of anticipated
growth for wages and infrastructure-related investments, CBO
estimates that the corporation would obligate roughly $12.1
billion in 2021 to assume control of those activities.
In addition, CBO expects that the corporation would
increase capital spending relative to that base amount,
particularly to make additional investments in facilities,
equipment, and technologies related to modernizing the air
traffic control system, commonly referred to as NextGen. Over
the past several years, a wide range of studies and reports
prepared by the DOT's Inspector General, the Government
Accountability Office (GAO), and aviation stakeholders
generally characterize the FAA's existing efforts to implement
projects related to NextGen as behind schedule, particularly
compared to technologies used by providers of air navigation
services in other countries.\5\ In addition, representatives of
organizations that would be represented on the proposed
corporation's board of directors have generally called for a
reprioritization of modernization activities to accelerate the
adoption of technologies that would increase the efficiency of
air traffic operations.
---------------------------------------------------------------------------
\5\See for example: Government Accountability Office, Air Traffic
Control Modernization: Management Challenges Associated with Program
Costs and Schedules Could Hinder NextGen Implementation, February 2012,
GAO-12-223, http://www.gao.gov/assets/590/588627.pdf; and Office of
Inspector General, Department of Transportation, Audit Report: FAA
Reforms Have Not Achieved Expected Cost, Efficiency, and Modernization
Outcomes (January 15, 2016), AV-2016-015, https://www.oig.dot.gov/
sites/default/files/FAA%20Organizational%20Structure-
Final%20Report%5E1-15-16.pdf
---------------------------------------------------------------------------
According to the FAA, under current law, the agency plans
to spend roughly $1 billion annually over the next several
years for modernization activities. Under H.R. 2997, CBO
expects that the corporation would exercise its authority to
issue bonds to raise funds to make additional investments. The
timing and magnitude of such investments is highly uncertain
and would depend on priorities identified by the corporation.
For this estimate, CBO assumes that additional capital spending
related to modernization would average between $500 million and
$600 million annually, bringing the total amount of
modernization-related spending to about $1.5 billion per year
over the 2021-2027 period.\6\
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\6\The authority to borrow directly from the public and then
obligate amounts so borrowed is considered borrowing authority, a
mandatory form of budget authority. In the case of the ATC Corporation,
proceeds from the sale of bonds would be considered a means of
financing and not reflected in budget totals. Rather, the budget would
record obligations incurred against amounts borrowed at the time when
such obligations occur, and outlays would reflect the timing and pace
of capital acquisitions and related debt service costs.
---------------------------------------------------------------------------
All told, CBO estimates that budget authority recorded for
the corporation would total $12.6 billion in 2021 and gradually
increase to $15.1 billion by 2027, for a total of nearly $96.7
billion over the 2021-2027 period. That amount includes $4
billion in borrowing authority stemming from the corporation's
authority to issue bonds. CBO expects that most of the funding
would be derived from fees that the corporation would charge
for air traffic services, as discussed below under the heading
``Revenues''. (In addition, CBO assumes that in the initial
years following the transition, the corporation would oversee
residual spending of amounts previously appropriated to the FAA
for activities related to air traffic control.)
In total, assuming that outlays of the AANS Corporation
would follow historical spending patterns for the FAA, CBO
estimates that resulting expenditures would total $91 billion
over the 2021-2027 period. That amount includes $56 billion in
personnel costs, $19 billion for capital spending related to
air navigation facilities and equipment (including $3.5 billion
in additional investments to modernize such facilities and
equipment), and $16 billion in other costs and ongoing expenses
related to providing air traffic services. (Those amounts do
not include residual spending of appropriations provided to the
FAA before the proposed transition; see the discussion under
the heading ``Spending Subject to Appropriation.'')
Changes in Civil Service Retirement and Health Benefits.
For purposes of this estimate, CBO assumes that the AANS
Corporation would provide salaries and benefits that are
comparable to those offered to FAA employees under current law.
However, the proposed transition could cause some retirement-
eligible employees to retire earlier than they would under
current law. CBO estimates that about 5 percent of retirement-
eligible employees in 2020 and 2021 would retire an average of
one year earlier than under current law. Accelerated retirement
for that group of about 500 employees (approximately one
quarter of whom are estimated to be air traffic controllers)
would, on net, increase mandatory spending for retirement
annuities and Federal Employees Health Benefit premiums for the
period of time during which those early retirees would remain
employees under current law. Over the long run, however,
annuity payments to such individuals--which are based in part
on years of service and salary levels--would be slightly lower
than they otherwise would have been if those individuals had
remained in service and continued to earn pay increases. CBO
projects that net increases in mandatory spending would total
about $23 million over the 2020-2027 period.
Budgetary Effects of Conveying Property and Access to
Spectrum-Related Data and Systems to the AANS Corporation. H.R.
2997 would specify procedures for the Secretary of
Transportation to convey to the AANS Corporation, for no
consideration, any real and personal property (including air
navigation facilities) deemed necessary for providing air
traffic services. Once the property was conveyed, the
corporation could sell it and use the proceeds to make capital
investments related to air traffic control infrastructure.
The proposed conveyances would affect the budget only to
the extent that they would affect the timing or magnitude of
cash flows that the affected assets would otherwise generate
under current law. The FAA already has broad authority to sell
such property and spend the proceeds; because any increase in
receipts from property sales is offset by a corresponding
increase in spending soon thereafter, the agency's use of such
authority ultimately has no significant net effect on federal
spending. Similarly, although the timing and magnitude of
receipts and spending associated with transactions pursued by
the corporation could differ from those that might occur under
current law, CBO estimates that transactions under H.R. 2997
would ultimately have no net effect on the federal budget.
H.R. 2997 would retain the existing legal framework
governing the use of the electromagnetic spectrum. As a result,
the spectrum currently used by the FAA would continue to be
managed as federal frequencies but would be used by the
corporation. For this estimate, CBO assumes that requiring the
Secretary to provide the corporation access to spectrum-related
data and systems would have no significant effect on the use or
disposition of FAA's spectrum assignments relative to current
law. As a result, CBO estimates that the bill would have a
negligible effect on direct spending for spectrum relocation or
research activities and would not affect the timing or amount
of offsetting receipts from future auctions of commercial
licenses.
Airport Improvement Program. Through the AIP, the FAA
provides grants to public-use airports for projects to enhance
safety and increase airports' capacity for passengers and
aircraft. Under H.R. 2997, the FAA would continue to operate
this program after transferring operational control over air
traffic control to the AANS Corporation.
H.R. 2997 would provide contract authority for the AIP
through fiscal year 2023. The FAA Extension, Safety and
Security Act of 2016 provided the FAA with $3.35 billion in
contract authority through September 30, 2017. Pursuant to
provisions of law that govern CBO's baseline projections,
funding for certain expiring programs--such as contract
authority for AIP--is assumed to continue beyond the scheduled
expiration date for budget projection purposes. Consistent with
that practice, CBO's baseline incorporates the assumption that
AIP contract authority over the 2018-2027 period will remain at
the 2017 level of $3.35 billion per year.
Relative to current law, H.R. 2997 would provide $22.7
billion in new contract authority. That amount includes $3.6
billion in 2018 and amounts for subsequent years that would
gradually increase to just under $4 billion by 2023. Consistent
with CBO's methodology for projecting contract authority under
proposed legislation, we assume that contract authority for AIP
would continue to be provided after 2023 and would remain at
about $4 billion annually.
Under that assumption, CBO estimates that contract
authority under H.R. 2997 would exceed the levels of contract
authority already projected in the CBO baseline by $5.2 billion
over the 2018-2027 period. (Because spending from contract
authority is controlled by obligation limitations specified in
annual appropriation acts, outlays of the AIP are considered
discretionary.)
Revenues
Upon assuming operational control over air traffic
services, H.R. 2997 would authorize the AANS Corporation to
charge fees to users of such services, require users to pay
such fees, and allow the corporation to enforce that
requirement in U.S. courts. The bill would specify certain
requirements that the corporation must follow in setting such
fees. In particular, fees must be consistent with certain
policies set forth by the International Civil Aviation
Organization, which generally relate the reasonableness of fees
levied by providers of air navigation services to the cost of
providing such services. Under H.R. 2997, fees could not be
imposed for services provided for operations that involve
aircraft owned or operated by the U.S. military or operations
of aircraft that are considered public aircraft. The bill also
would prohibit the corporation from charging fees for services
to support operations of civil aircraft related to air tours;
non-scheduled service; or recreational, private, agricultural,
and certain industrial activities.
The bill would require the AANS Corporation to publish the
initial schedule of fees at least 180 days before the date when
it would assume operational control over air traffic services
and outline procedures through which users of such services
could dispute the reasonableness of such fees. Under the bill,
the Secretary of Transportation would have a role in overseeing
any such disputes.
For this estimate, CBO assumes that the corporation would
begin collecting fees on October 1, 2020, and that such fees
would be set as necessary to cover its annual funding
requirements (including debt service on any bonds issued). CBO
estimates those amounts would initially total about $12.2
billion in 2021 and grow to $15.0 billion by 2027. We estimate
that revenues from fees would be roughly equal to those
amounts.\7\
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\7\Estimates of user fees under H.R. 2997 are equivalent to roughly
70 percent of the total amount of aviation-related revenues included in
CBO's baseline projections. H.R. 2997 would not extend those taxes
beyond their scheduled expiration nor would it address whether the fees
would be collected or terminated once the ATC Corporation assumes
responsibility for air traffic control. Under current law, most
aviation-related excise taxes are scheduled to expire after March 31,
2016; however, pursuant to provisions of law that govern CBO's baseline
projections, such taxes are assumed to continue beyond their scheduled
expiration date for budget projection purposes (see Additional
Information).
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Because excise taxes and other indirect business taxes
(such as assessments by the AANS Corporation) reduce the base
of income and payroll taxes, higher amounts of those indirect
business taxes would lead to reductions in revenues from income
and payroll taxes. As a result, revenues from the fees
collected by the corporation would be partially offset in the
federal budget by a loss of income and payroll tax receipts
equal to about 26 percent of the fees each year. Thus, CBO
estimates that enacting H.R. 2997 would increase net revenues
by about $70 billion over the 2021-2027 period.
Spending subject to appropriation
H.R. 2997 would authorize appropriations totaling $48.2
billion over the 2018-2023 period for the FAA and related DOT
activities. Most of that amount--$40.6 billion--would be
specifically authorized for those agencies to continue to
operate all functions, including those related to air traffic
control, through fiscal year 2020. Starting in 2021, the AANS
Corporation would assume operational control over the air
traffic control system, and the FAA and other offices within
the Department of Transportation would continue to perform
certain regulatory and safety-related functions, provide grants
to airports to support capital projects, make payments to air
carriers that provide service to certain rural communities, and
carry out other administrative requirements. For those
activities, the bill would authorize appropriations totaling
$7.6 billion over the 2021-2022 period.
Assuming appropriation of the specified amounts (as well as
the enactment of limitations on obligations of contract
authority for the Airport Improvement Program that are
consistent with funding levels provided under H.R. 2997), CBO
estimates that discretionary spending to implement H.R. 2997
would total $52.3 billion over the 2018-2027 period (see Table
3).
TABLE 3. CHANGES IN SPENDING SUBJECT TO APPROPRIATION UNDER H.R. 2997
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By fiscal year, in billions of dollars--
-----------------------------------------------------------------------------------------------------
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2018-2022 2018-2027
--------------------------------------------------------------------------------------------------------------------------------------------------------
INCREASES IN SPENDING SUBJECT TO APPROPRIATION
FAA Operations:
Authorization Level........................... 10.1 10.3 10.6 2.0 2.0 2.0 0.0 0.0 0.0 0.0 35.0 37.1
Estimated Outlays............................. 9.0 10.0 10.4 2.9 2.3 2.1 0.2 0.1 * * 34.6 37.1
Air Navigation Facilities and Equipment:
Authorization Level........................... 2.9 3.0 3.0 0.2 0.2 0.2 0.0 0.0 0.0 0.0 9.3 9.5
Estimated Outlays............................. 1.3 2.0 2.5 1.5 0.9 0.6 0.3 0.1 * * 8.2 9.3
Airport Improvement Programa:
Authorization Level........................... 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Estimated Outlays............................. * 0.2 0.3 0.4 0.4 0.5 0.6 0.6 0.6 0.6 1.3 4.3
Essential Air Service and Other Activities:
Estimated Authorization Level................. 0.2 0.2 0.2 0.3 0.3 0.4 0.0 0.0 0.0 0.0 1.3 1.6
Estimated Outlays............................. 0.1 0.2 0.2 0.3 0.3 0.4 0.1 * 0.0 0.0 1.1 1.6
Total Changes:
Estimated Authorization Level............. 13.2 13.5 13.8 2.5 2.5 2.6 0.0 0.0 0.0 0.0 45.6 48.2
Estimated Outlays......................... 10.5 12.4 13.4 5.0 4.0 3.6 1.2 0.9 0.7 0.7 45.2 52.3
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Notes: FAA = Federal Aviation Administration; * = less than $50 million.
a Budget authority for the Airport Improvement Program is provided as contract authority, a mandatory form of budget authority; however, outlays from
that contract authority are subject to limitations on obligations specified in annual appropriation acts and are therefore considered discretionary.
FAA Operations. H.R. 2997 would authorize appropriations
totaling $31.1 billion over the 2018-2020 period for FAA
operations, primarily for salaries and expenses related to
operating the air traffic control system. (Funding for FAA
operations in 2017 totals $9.6 billion.) Starting in 2021,
responsibility for most activities funded through that account
would shift to the AANS Corporation, and the FAA would remain
responsible for a much smaller set of regulatory and safety-
related activities. For those remaining purposes the bill would
authorize appropriations totaling $6.0 billion over the 2021-
2023 period. Assuming appropriation of the amounts authorized
over the 2018-2023 period, CBO estimates that resulting outlays
would total $37.1 billion over the 2018-2027 period.
Air Navigation Facilities and Equipment. H.R. 2997 would
authorize appropriations totaling $9.0 billion over the 2018-
2020 period for programs to maintain and modernize
infrastructure and systems for communication, navigation, and
surveillance related to air travel. (Funding for facilities and
equipment totals nearly $2.9 billion in 2017.) Starting in 2021
the AANS Corporation would assume primary responsibility for
operating, maintaining, and modernizing such infrastructure and
equipment. The bill would authorize additional appropriations
totaling $580 million over the 2021-2023 period for the FAA to
carry out residual responsibilities related to the safety of
air navigation facilities and equipment that would not be
performed by the AANS Corporation. Assuming appropriation of
the authorized amounts, CBO estimates that resulting outlays
would total $9.3 billion over the 2018-2027 period (and $243
million in later years).
Airport Improvement Program. The proposed transfer of
control over air traffic control would not affect the AIP,
which the FAA would continue to administer under H.R. 2997. CBO
estimates that contract authority for AIP grants to airports
under H.R. 2997 would exceed the amounts of contract authority
already assumed in the CBO baseline by $5.2 billion over the
2018-2027 period. Such grants support planning and development
of capital projects to enhance the infrastructure and capacity
of public-use airports.
Assuming that annual appropriations acts set obligation
limitations for AIP spending that are equal to the levels of
contract authority projected under H.R. 2997, CBO estimates
that discretionary outlays for the program over the 2018-2027
period would total $4.3 billion more than amounts projected in
CBO's baseline through 2027 (and $940 million in later years).
Essential Air Service and Other Activities. H.R. 2997 would
authorize appropriations totaling $178 million in 2018 and $1.6
billion over the 2018-2023 period for the Essential Air Service
program, through which DOT makes payments to air carriers that
provide service to certain rural communities. (Discretionary
funding for such payments in 2017 totals $150 million.) The
bill also would authorize the appropriation of $10 million
annually over the 2018-2023 period for grants to help small
communities enhance air service and would require DOT and the
Government Accountability Office to complete various studies,
reports, and administrative requirements. Assuming
appropriation of amounts specified and estimated to be
necessary for required studies, reports and administrative
activities, CBO estimates that resulting outlays would total
$1.6 billion over the next 10 years.
Pay-As-You-Go considerations: The Statutory Pay-As-You-Go
Act of 2010 establishes budget-reporting and enforcement
procedures for legislation affecting direct spending or
revenues. The net changes in outlays and revenues that are
subject to those pay-as-you-go procedures are shown in the
following table.
CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR H.R. 2997, AS ORDERED REPORTED BY THE HOUSE COMMITTEE ON TRANSPORTATION AND INFRASTRUCTURE ON JUNE 27, 2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
------------------------------------------------------------------------------------------------------------------------
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2017-2022 2017-2027
--------------------------------------------------------------------------------------------------------------------------------------------------------
NET INCREASE IN THE DEFICIT
Statutory Pay-As-You-Go Impact. 0 0 0 9 296 2,253 3,099 3,585 3,751 3,830 3,898 2,557 20,721
Memorandum:
Changes in Outlays......... 0 0 0 9 9,276 11,565 12,740 13,565 14,082 14,513 14,952 20,850 90,702
Changes in Revenues........ 0 0 0 0 8,981 9,312 9,641 9,980 10,331 10,683 11,054 18,292 69,980
--------------------------------------------------------------------------------------------------------------------------------------------------------
Increase in long term direct spending and deficits: CBO
estimates that enacting the legislation would increase net
direct spending and on-budget deficits by more than $5 billion
in at least one of the four consecutive 10-year periods
beginning in 2028. The effects in future years would be a
continuation of the trends shown for the first decade.
Additional information: The estimated changes in direct
spending and revenues under H.R. 2997 reflect CBO's assessment
of the budgetary impacts of enacting H.R. 2997 as a stand-alone
measure. Ultimately, however, the net budgetary impact of
activities related to air traffic control under H.R. 2997 would
depend on the details of subsequent legislation that lies
beyond the scope of this cost estimate. CBO cannot predict
whether such additional legislation will be enacted pursuant to
H.R. 2997, but expects that the overall net budgetary impact of
shifting responsibility for air traffic control to the AANS
Corporation would not necessarily increase future deficits by
the amounts reflected in this cost estimate if additional
legislation consistent with H.R. 2997 was enacted.
Broadly speaking, while CBO estimates that the proposed
corporation would spend more than the FAA otherwise will under
current law for capital investments to modernize infrastructure
and equipment related to the air traffic control system, CBO
expects that underlying costs related to operating and
maintaining that system would not change significantly under
H.R. 2997. As a result, CBO expects that shifting
responsibility for those costs to the proposed corporation
would not materially change the magnitude of spending related
to air traffic control if future appropriations for the FAA's
retained responsibilities were reduced accordingly to reflect
the shift--from mandatory to discretionary--of such spending.
Under H.R. 2997, CBO expects that overall amounts of such
federal spending would remain more or less the same, with
incremental increases in spending stemming primarily from the
AANS Corporation's authority to issue debt to finance
additional investments related to modernization.
Similarly, if future tax-related legislation separate from
H.R. 2997 was enacted to reduce existing aviation-related
excise taxes by amounts equivalent to new user fees that would
be charged by the AANS Corporation under H.R. 2997, the
resulting amount of revenues available to support air traffic
control (and other aviation activities) would be largely
unchanged and could continue to cover most, if not all
aviation-related spending.
Thus, if such additional legislation were enacted--
consistent with the proposed changes envisioned on H.R. 2997--
to effectively keep both aviation-related spending and revenues
in line with current levels, CBO expects that resulting net
increases in future deficits would largely reflect increased
capital spending by the AANS Corporation to finance investments
related to modernization, which CBO estimates will total about
$3.5 billion over the period covered by this estimate. (That
estimate of modernization spending is uncertain and could be
higher or lower depending on future investment-related
decisions of the AANS Corporation.)
Intergovernmental and private-sector impact: The bill
contains intergovernmental and private-sector mandates as
defined in UMRA. CBO estimates that the aggregate cost of the
mandates on public entities would fall below the annual
threshold established in UMRA for intergovernmental mandates
($78 million in 2017, adjusted annually for inflation).
However, CBO estimates that the aggregate cost of the mandates
on private entities would well exceed the annual threshold
established in UMRA for private-sector mandates ($156 million
in 2017, adjusted annually for inflation).
Mandates that apply to both public and private entities
The bill would require operators of air ambulances to
provide contact information on their website and in their
communications to facilitate those consumers who may want to
file complaints about service. The bill also would require air
ambulance operators to disclose charges for air transportation
services separately on invoices and provide consumer
protections, if determined to be appropriate by the Secretary
of Transportation. According to industry sources, there are
about 300 air medical services in the United States. CBO
estimates that the cost to comply with the requirements, which
are mostly administrative, would be small.
Mandates and other effects on public entities
The bill would preempt state and local authority over air
traffic control services. Although the preemption would limit
the application of state and local laws and regulations, CBO
estimates that the bill would impose no duty on state or local
governments that would result in additional spending or a loss
of revenues.
The bill would benefit public airports by expanding federal
grant programs and the ability of airports to charge passenger
fees that support airport improvement projects. Any costs those
entities incur to meet grant requirements would result from
complying with conditions of federal assistance.
Mandates that apply to private entities only
User Fees for Air Traffic Control Services. The bill would
require users of air traffic services provided by the American
Air Navigation Services Corporation to pay fees for the use of
those services. Such users would include air carriers and other
private entities. CBO estimates that those fees would total
about $12 billion in 2021 and gradually increase thereafter.
Other Requirements for Air Carriers. The bill would impose
several other mandates on air carriers. Specifically, the bill
would require that air carriers:
Prepare a fatigue risk management plan for
flight attendants, a document describing passengers'
rights, and an employee assault prevention and response
plan;
Provide training to flight attendants and
other employees and comply with requirements for pilot
rest to be developed by an aviation rulemaking
committee;
Provide information on company websites or
through other means about countries that may require an
airplane to be treated with insecticides;
Include links to their customer service
plans on their websites and provide information about
baggage fees in internet fare quotations;
Provide information about compensation and
accommodations in the event of a widespread disruption
of their operations;
Ensure medical kits contain supplies for
treating children in emergencies, if determined to be
appropriate by the FAA;
Comply with prohibitions on involuntarily
deplaning passengers and requirements for compensating
passengers denied boarding; and
Comply with the bill's prohibitions against
in-flight voice communications on mobile devices.
On the basis of information about existing training
programs and current industry practices, CBO estimates that the
cost of most of the other mandates in the above list would be
small and that none would impose significant additional costs
on air carriers relative to UMRA's threshold.
The bill also would require air carriers to meet standards
for seat dimensions established in a future FAA rulemaking. The
cost of the mandate would include any loss of income stemming
from a reduction in the number of seats available for
passengers, which would depend on minimum dimensions that would
be set forth in those regulations.
Requirements for other entities
Manufacturers of Aircraft. The bill would impose a mandate
on manufacturers by requiring them to install a secondary
cockpit barrier on aircraft that are manufactured for delivery
to passenger air carriers in the United States. Such barriers
would include retractable screens and would have to be
installed only on new aircraft delivered to passenger air
carriers in the United States. Based on information from
industry sources, CBO estimates that the cost of installing
such barriers would total no more than $15 million annually.
Ticket Agents. The bill would impose a mandate on ticket
agents with annual revenues of $100 million or more by
requiring them to meet minimum customer service standards to be
established in future regulations. The bill would direct the
Secretary of Transportation to consider standards for prompt
refunds, options to hold fares at no cost, disclosures of
cancellation policies, and notifications of itinerary changes.
The cost of the mandate would depend on the standards set by
the Secretary.
Estimate prepared by: Federal costs and revenues: Megan
Carroll (FAA, AANS Corporation spending and fees); Lori Housman
(health benefits); Amber Marcellino (retirement benefits); and
Kathleen Gramp (spectrum); Impact on state, local, and tribal
governments: Jon Sperl; Impact on the private sector: Amy Petz.
Estimate approved by: H. Samuel Papenfuss, Deputy Assistant
Director for Budget Analysis.
Performance Goals and Objectives
With respect to the requirement of clause 3(c)(4) of rule
XIII of the Rules of the House of Representatives, the
performance goals and objectives of this legislation, as
amended, are to reauthorize federal aviation programs
administered by the FAA, including operating and capital
funding. The legislation, as amended, also seeks to reform and
modernize the structure of the Nation's ATC system by
transferring operation of ATC services and related personnel
and assets from the FAA to an independent, not-for-profit
corporate entity to provide for more efficient operation and
development of air traffic services in the United States. The
legislation, as amended, also reforms and streamlines the FAA's
safety certification processes and improves various aviation
safety programs. Finally, H.R. 2997, as amended, addresses
airline consumer issues and continues the process of
integrating unmanned aircraft systems (UAS) into the National
Airspace.
Advisory of Earmarks
Pursuant to clause 9 of rule XXI of the Rules of the House
of Representatives, the Committee is required to include a list
of congressional earmarks, limited tax benefits, or limited
tariff benefits as defined in clause 9(e), 9(f), and 9(g) of
rule XXI of the Rules of the House of Representatives. No
provision in the bill, as amended, includes an earmark, limited
tax benefit, or limited tariff benefit under clause 9(e), 9(f),
or 9(g) of rule XXI.
Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII of the Rules of the
House of Representatives, the Committee finds that no provision
of H.R. 2997, as amended, establishes or reauthorizes a program
of the federal government known to be duplicative of another
federal program, a program that was included in any report from
the Government Accountability Office to Congress pursuant to
section 21 of Public Law 111-139, or a program related to a
program identified in the most recent Catalog of Federal
Domestic Assistance.
Disclosure of Directed Rulemakings
Pursuant to section 3(i) of H. Res. 5, 115th Cong. (2017),
the Committee estimates that enacting H.R. 2997, as amended,
specifically directs the completion of specific rule makings
within the meaning of section 551 of title 5, United States
Code.
Section 211 of H.R. 2997, as amended, requires the
Secretary to establish procedures and regulations to ensure
that all government activities supported by the FAA's provision
of air traffic services will receive support from the
Corporation.
Section 211 of H.R. 2997, as amended, further requires the
Secretary to issue performance-based regulations and safety
standards for the operation of air traffic services by the
Corporation, including the establishment of a safety management
system. The Secretary must also establish procedures by which
the Corporation would notify users of proposed charges and fees
and also how the Secretary would review such proposals.
Section 211 of H.R. 2997, as amended, also requires the
Secretary to prescribe regulations establishing the procedures
for acting upon a written complaint disputing air traffic
services charges and fees.
Section 411 of H.R. 2997, as amended, requires the
Administrator to review and revise current regulations
regarding first aid kits on Part 121 air carriers to ensure the
needs of children are met.
Section 414 of H.R. 2997, as amended, requires the
Administrator to revise current regulations regarding the
flight attendant duty period limitations and rest requirements.
Section 416 of H.R. 2997, as amended, directs the
Administrator to revise an ongoing rulemaking for the marking
of covered towers as defined in the section.
Section 432 of H.R. 2997, as amended, requires the
Administrator to issue regulations for the certification of
unmanned aircraft traffic management (UTM) systems as air
navigation facilities.
Section 432 of H.R. 2997, as amended, also requires the
Secretary to issue safety and economic regulations for air
carriers using small unmanned aircraft systems (UAS) to
transport property.
Section 432 of H.R. 2997, as amended, also requires the
Administrator to establish a procedure for granting
authorization for certain small unmanned aircraft.
Section 432 of H.R. 2997, as amended, also requires the
Administrator to issue regulations to authorize operation of
small unmanned aircraft weighting 4.4 pounds or less without
airman or airworthiness certifications.
Section 502 of H.R. 2997, as amended, requires the
Secretary to issue regulations to prohibit certain uses of
mobile devices onboard aircraft.
Section 505 of H.R. 2997, as amended, requires the
Secretary to issue final regulations to amend section 41712 of
title 49, United States Code, by clarifying that it is not an
unfair or deceptive practice for an air carrier, indirect air
carrier, foreign carrier, ticket agent, or other person
offering to sell tickets for passenger air transportation, or a
tour or tour component that must be purchased with air
transportation, to state in an advertisement or solicitation
the base fare for passenger air transportation as long as the
government-imposed taxes and fees and the total costs of the
air transportation are clearly and separately disclosed.
Section 510 of H.R. 2997, as amended, requires the
Secretary to issue such a final rule to clarify the levels of
compensation that may be paid to passengers who are
involuntarily denied boarding.
Section 512 of H.R. 2997, as amended, requires the
Secretary to issue regulations requiring air ambulance
operators to disclose charges for air transportation services
from charges for non-air transportation services and other
consumer protections for users of air ambulance services.
Section 514 of H.R. 2997, as amended, requires the
Secretary to approve one-page submissions from air carriers
that describe compensation or other customer service policies.
Section 544 of H.R. 2997, as amended, requires the
Secretary to issue regulations concerning accommodations for
air travelers with disabilities relating to in-flight
entertainment, accessible lavatories on single-aisle aircraft,
and service animals.
Section 608 requires the Administrator to carry out a
rulemaking to increase the duration of aircraft registrations
for noncommercial general aviation aircraft to ten years.
Section 609 of H.R. 2997, as amended, requires the
Secretary to promulgate a rulemaking to ensure that United
States regulations on air transport of lithium cells and
batteries are consistent with the requirements in the ICAO
Technical Instructions.
Section 613 of H.R. 2997, as amended, requires the
Secretary to conduct a notice and comment rulemaking before DOT
can implement the policy set forth in the notice of proposed
policy entitled ``Proposal To Consider the Impact of One Engine
Inoperative Procedures in Obstruction Evaluation Aeronautical
Studies'' published by DOT on April 28, 2014.
Section 618 of H.R. 2997, as amended, directs the
Administrator to issue a notice of proposed rulemaking based on
any consensus recommendations from the aviation rulemaking
committee established in the section on flight and duty times
for Part 135 pilots.
Section 633 of H.R. 2997, as amended, requires the
Secretary to publish a direct final rule on the expansion of
waiver authority for the operation of UAS beyond visual line of
sight, over people, or at night for the purposes of
transporting property.
Section 636 of H.R. 2997, as amended, directs the Secretary
to issue a final rule to require large ticket agents to adopt
minimum customer service standards.
Section 641 of H.R. 2997, as amended, directs the
Administrator to issue a rule that establishes minimum
dimensions for passenger seats on aircraft operated by air
carriers in interstate air transportation or intrastate air
transportation, including minimums for seat pitch, width, and
length, and that are necessary for the safety and health of
passengers.
Federal Mandate Statement
The Committee adopts as its own the estimate of federal
mandates prepared by the Director of the Congressional Budget
Office pursuant to section 423 of the Unfunded Mandates Reform
Act (Public Law 104-4).
Preemption Clarification
Section 423 of the Congressional Budget Act of 1974
requires the report of any Committee on a bill or joint
resolution to include a statement on the extent to which the
bill or joint resolution is intended to preempt state, local,
or tribal law. The Committee states that section 211 of H.R.
2997, as amended, contains a new section 90314, title 49,
United States Code that clarifies and continues preemption of
authority over air traffic services. Civil aviation has long
been exclusively regulated by the federal government. The
application of myriad and inconsistent state, local, and tribal
laws to aviation would be detrimental to the safe and efficient
operation of the United States aviation system.
Advisory Committee Statement
Sections 302, 512, and 609 of this legislation, as amended,
each establish an advisory committee, as defined by section 2
of the Federal Advisory Committee Act (5 U.S.C. app.). Pursuant
to section 5 of the Federal Advisory Committee Act, the
Committee determines that the functions of these advisory
committees are not being carried out by existing agencies or
advisory commissions. The Committee notes that section 302
specifically terminates an existing advisory committee upon the
appointment of members to the newly created advisory committee.
The Committee also determines that the advisory committees have
a clearly defined purpose, fairly balanced membership, and meet
all of the other requirements of section 5(b) of the Federal
Advisory Committee Act.
Applicability of Legislative Branch
The Committee finds section 211 of the bill, as amended
specifically chapter 911 of title 49, United States Code, as
added by that sectionu does relate to the terms and conditions
of employment or access to public services or accommodations
within the meaning of section 102(b)(3) of the Congressional
Accountability Act (Public Law 104-1). However, these
provisions are not made applicable to the legislative branch,
but rather apply only to the Corporation, a federally
chartered, private, not-for-profit Corporation created by
section 211. Applying such provisions to the legislative branch
would be duplicative of laws and regulations already applicable
to the legislative branch.
Section-by-Section Analysis of Legislation
Title I--Authorizations
SUBTITLE A--FUNDING OF FAA PROGRAMS
Section 101. Airport planning and development and noise compatibility
planning and programs
This section authorizes from the Airport and Airway Trust
Fund the following amounts for the FAA's Airport Improvement
Program (AIP) account: $3.597 billion for fiscal year 2018;
$3.666 billion for fiscal year 2019; $3.746 billion for fiscal
year 2020; $3.829 billion for fiscal year 2021; $3.912 billion
for fiscal year 2022; and $3.998 billion for fiscal year 2023.
In addition, this section extends the obligation authority to
September 30, 2023.
The FAA has invested in an innovative and timely program
known as the Airport Privatization Pilot Program (APPP). Given
the current and anticipated budgetary environment, there has
never been a time for greater emphasis on the need for private
investment to work alongside the federal government to expedite
and fund projects that are vital to the National Airspace
System (NAS). The APPP offers such an opportunity. Project
applications which have been preliminarily accepted will
leverage considerable private capital, reduce the need for
traditional federal investment in public-use infrastructure,
and create new jobs for the Nation. To fulfill the intent of
the APPP, FAA should expedite final processing of pending
applications and provide priority funding for projects that are
associated with the APPP and enable innovative financing of
infrastructure projects.
Section 102. Facilities and equipment
This section authorizes from the Airport and Airway Trust
Fund the following amounts for FAA's Facilities & Equipment
(F&E) account: $2.920 billion for fiscal year 2018; $2.984
billion for fiscal year 2019; and $3.049 billion for fiscal
year 2020. Starting in fiscal year 2020, the Corporation will
fund F&E activities related to ATC services from fees collected
by the Corporation. Starting in fiscal year 2021, F&E
activities, such as those related to safety oversight, that
will remain with the FAA, will be funded from the General Fund.
This section also authorizes from the General Fund the
following for FAA's F&E account: $189 million for fiscal year
2021; $193 million for fiscal year 2022; and $198 million for
fiscal year 2023.
Section 103. FAA operations
This section authorizes from the General Fund the following
for FAA's Operations account: $2.059 billion for fiscal year
2018; $2.126 billion for fiscal year 2019; $2.197 billion for
fiscal year 2020; $1.957 billion for fiscal year 2021; $2.002
billion for fiscal year 2022; and $2.047 billion for fiscal
year 2023. This section additionally authorizes from the
Airport and Airway Trust Fund the following for FAA's
Operations account: $8.073 billion for fiscal year 2018; $8.223
billion for fiscal year 2019; and $8.374 billion for fiscal
year 2020. Starting in fiscal year 2020, the Corporation will
fund all Operations activities related to ATC services from
fees collected by the Corporation.
Section 104. Adjustment to AIP program funding
This section discontinues a formula required in the FAA
Modernization and Reform Act of 2012 (Public Law 112-95) that
created additional contract authority for AIP if the
appropriated funding levels for the F&E program were not equal
to the authorized levels included in the Act.
Section 105. Funding for aviation programs
This section discontinues the Airport and Airway Trust Fund
guarantee included in the FAA Modernization and Reform Act of
2012, which provided a formula to determine the amount to be
made available from the aviation trust fund each year to fund
the FAA.
Section 106. Applicability
This section sets the effective date of subtitle A at
October 1, 2017.
SUBTITLE B--PASSENGER FACILITY CHARGES
Section 111. Passenger facility charge modernization
This section eliminates the following criteria imposed on a
Passenger Facility Charge (PFC) of $4 or $4.50: (1) that the
Secretary must find, for medium or large hub airports, that a
PFC of $4 or $4.50 will be used to fund a project that makes a
``significant contribution to improving air safety and
security, increasing competition among air carriers, reducing
current or anticipated congestion, or reducing the impact of
aviation noise on people living near the airport;'' and (2)
that the Secretary must find that a PFC of $4 or $4.50 will be
used to fund a project that cannot be expected to be funded
through AIP.
Section 112. Pilot program for PFC authorizations
This section expands the pilot program expediting the
authorization of a PFC at nonhub airports to all primary
airports.
SUBTITLE C--AIRPORT IMPROVEMENT PROGRAM MODIFICATIONS
Section 121. Clarification of airport obligation to provide FAA airport
space
This section prohibits the FAA from requiring airports to
provide the agency with construction services or building space
without compensation or reimbursement, with certain exceptions.
Section 122. Mothers' rooms at airports
This section requires, within two years of enactment,
medium and large airports to maintain a ``lactation area'' in
the sterile areas of each passenger terminal building for
mothers to feed their infants. This section also allows the
Secretary to temporarily waive the requirement that the
lactation area be located in the sterile area if construction
activities make it impracticable or unsafe to do so.
Additionally, it allows the construction or installation of
lactation areas to be eligible for AIP funding at any
commercial service airport.
Section 123. Extension of competitive access reports
This section extends the sunset date of competition access
reports in section 47107(r)(3) of title 49, United States Code,
through fiscal year 2023.
Section 124. Grant assurances
This section allows GA airports to permit the construction
of exclusively recreational aircraft by private individuals in
airport hangars without violating any grant assurances.
Further, it permits the leasing of airport land not needed for
aeronautical purposes to local governments for recreational
use, provided the use is temporary and does not interfere with
the safety of the airport.
Section 125. Government share of project costs
This section corrects an unintentional effect of section
137 of the FAA Modernization and Reform Act of 2012 by ensuring
that small airports that received an AIP grant in fiscal year
2011 for a multi-phased project will be able to complete that
project with the 95 percent federal share that was assumed in
the project planning.
Section 126. Updated veterans' preference
This section updates the definition of ``Afghanistan-Iraq
war veteran'' used for veteran's preference purposes when
entering into contracts to carry out airport development
projects.
Section 127. Special rule
This section extends for fiscal years 2018 through 2020
authority for airports without a classified status listed in
the National Plan of Integrated Airport Systems to continue
receiving the non-primary entitlement funding they received
from AIP in fiscal year 2013.
Section 128. Marshall Islands, Micronesia, and Palau
This section extends AIP eligibility for discretionary
grants and funding from the Small Airport Fund to airports
located in the Republic of the Marshall Islands, the Federated
States of Micronesia, and Palau.
Section 129. Nondiscrimination
This section ensures Indian tribes may establish employment
and contracting preference for projects at tribally owned
airports or airports located on Indian reservations, consistent
with the Civil Rights Act of 1964.
Section 130. State Block Grant Program expansion
This section expands the number of states allowed to
participate in the State Block Grant Program from 10 states to
20 states.
Section 131. Midway Island Airport
This section extends the authority of the Secretary to
enter into a reimbursable agreement with the Secretary of the
Interior to provide AIP discretionary funds for airport
development projects at Midway Island Airport.
Section 132. Property conveyance releases
This section authorizes the Secretary to grant an airport,
city, or county a release from any of the terms, conditions,
reservations, or restrictions contained in a deed in which the
United States conveyed certain property. The section also
requires that the airport, city, or county receive fair market
value for the sale of any property interest and dedicate any
sale proceeds to airport development.
Section 133. Minority and disadvantaged business participation
This section declares the findings of Congress that there
remains a compelling need for the continuation of the airport
disadvantaged business enterprise (DBE) program and the airport
concessions DBE program.
Section 134. Contract Tower Program
This section amends the FAA Contract Tower Programs in
several ways. Before an airport is admitted into the contract
tower program, the FAA performs a rigorous benefit-cost (b/c)
analysis to ensure that the safety benefits will outweigh the
economic costs. This section identifies the criteria that
should be used to evaluate airports in the program as well as
those applying to enter the program. The section also outlines
the criteria that may not be used by the FAA in the b/c
analysis. Additionally, except for airports in the contract
tower cost-share program, it prohibits the Secretary from
calculating a new b/c ratio for airports in the program unless
the annual aircraft traffic at the airport decreases by more
than 25 percent from the previous year or by more than 60
percent cumulatively over a three-year period. Further, this
section requires the Secretary, within 90 days of receiving an
application to the program, to calculate a b/c ratio for the
purposes of selecting towers for participation in the program.
This section requires the Secretary to automatically add a 10-
percentage point margin of error to the b/c ratio to
acknowledge and account for the direct and indirect economic
effects and other factors that are not included in the criteria
the Secretary used in calculating that ratio. This section
outlines procedures to ensure that airports have an adequate
opportunity to review and appeal the FAA's b/c analysis. The
section clarifies that construction and improvement of towers
whose airport sponsors participated in the FAA Contract Tower
Program before the date of transfer of the operation of air
traffic services to the Corporation will remain eligible for
AIP grant funding and outlines what the eligibility
requirements will be for such grant funding both before and
after the date of transfer. This section, additionally, sets
forth how safety oversight of contract towers will be conducted
both before and after the date of transfer to the ATC
Corporation. Lastly, it eliminates the cap on the federal share
of contract tower construction costs.
To ensure that airports with high levels of traffic are
providing adequate levels of air traffic service, the Committee
believes that the FAA should assess whether FAA contract towers
at small or medium hub airports operating on the date of
enactment would be more appropriately operated as FAA-staffed
ATC Towers.
Section 135. Airport access roads in remote locations
This section expands the permissible use of AIP funds for
fiscal years 2017 through 2020 to include the development of an
airport access road in a non-contiguous state for the purpose
of enabling the construction of new airports.
Section 136. Buy America requirements
This section requires the FAA to issue an informal public
notice of any project-specific Buy America waiver within 10
days prior to the issuing of the waiver. The justification of
the waiver determination is required to be publicly available
and easily accessible on the DOT's website and the Secretary is
required to provide a public comment opportunity period.
SUBTITLE D--AIRPORT NOISE AND ENVIRONMENTAL STREAMLINING
Section 151. Recycling plans for airports
This section clarifies that projects appearing in an
airport master plan must address the feasibility of solid waste
recycling, which was a requirement under the FAA Modernization
and Reform Act of 2012.
Section 152. Pilot program sunset
This section repeals the airport ground support equipment
emissions retrofit pilot program established under section
47140 of title 49, United States Code.
Section 153. Extension of grant authority for compatible land use
planning and projects by state and local governments
This section extends the grant program for the compatible
land use planning and project program through September 30,
2023.
Section 154. Updating airport noise exposure maps
This section revises section 47503(b) of title 49, United
States Code, to clarify when airports must submit updated noise
exposure maps to the Secretary in order to encourage additional
participation in the Part 150 noise mitigation program.
Section 155. Stage 3 aircraft study
This section directs the Comptroller General to conduct a
review of the benefits, costs, and other impacts of a phase out
of stage 3 aircraft. The Comptroller General is required to
submit a report to Congress no later than 18 months after the
date of enactment.
Section 156. Addressing community noise concerns
This section requires the FAA to consider the feasibility
of dispersal headings or other lateral track variations to
address noise concerns from affected communities when proposing
new area navigation departure procedures or amending an
existing procedure below 6,000 feet over noise sensitive areas.
Section 157. Study on potential health impact of overflight noise
This section directs the Administrator to enter into an
agreement with an eligible institution of higher education, to
conduct a study on the health impacts of noise from aircraft
flights on residents exposed to a range of noise levels
focusing on a major metropolitan area. The areas that may be
studied include, but are not limited to, Boston, Chicago, New
York, the Northern California Metroplex, Phoenix, the Southern
California Metroplex, and Washington, District of Columbia. The
FAA is required to submit a report to Congress no later than 90
days after it receives the results of the study.
Section 158. Environmental mitigation pilot program
The section directs the Secretary to carry out a pilot
program comprised of no more than six projects at public-use
airports aimed at achieving the most cost-effective and
measurable reductions in or mitigation of the impacts of
aircraft noise, airport emissions, and water quality at the
airport or within five miles of the airport.
Section 159. Airport noise exposure
The section directs the Administrator to conduct a review
of the relationship between aircraft noise and its effect on
communities surrounding airports. FAA is required to submit a
report to Congress no later than two years after the date of
enactment containing preliminary recommendations the
Administrator determines appropriate for revising the land use
compatibility guidelines in Part 150 of title 14, Code of
Federal Regulations.
Section 160. Community involvement in FAA NextGen projects located in
metroplexes
The section directs the Administrator, no later than 180
days after the date of enactment, to conduct a review of the
FAA's community involvement in NextGen projects located in
metroplexes. FAA is required to submit a report to Congress no
later than 60 days after completion of the review on how they
can improve community involvement, how they will engage
airports and communities in projects, and lessons learned from
NextGen projects and pilot programs.
Section 161. Critical habitat on or near airport property
This section directs the Secretary to work with other
federal agencies and states to ensure that designations of
critical habitat on or near airports do not interfere with the
safe operation of aircraft.
Section 162. Clarification of reimbursable allowed costs of FAA
memoranda of agreement
The section amends existing law to clarify that certain
noise mitigation projects are an eligible AIP expense under
certain existing FAA memorandums of agreement.
Title II--American Air Navigation Services Corporation
Section 201. Purposes
This section establishes that the purpose of the title is
to transfer air traffic services and related assets from the
FAA to a separate not-for-profit corporate entity to provide
more efficient operation and improvement of air traffic
services in the United States.
SUBTITLE A--ESTABLISHMENT OF AIR TRAFFIC SERVICES PROVIDER
Section 211. American Air Navigation Services Corporation
This section amends title 49, United States Code, by
inserting a new Subtitle XI--the American Air Navigation
Services Corporation--at its end. The new Subtitle XI contains
the following provisions:
Chapter 901--General provisions
Section 211 of the bill also adds a new chapter 901 of
title 49, United States Code, by adding the following new
section:
Section 90101. Definitions
This section provides a number of definitions and sets
October 1, 2020, as the date on which the Corporation assumes
operational control of air traffic services from the FAA.
Chapter 903--Establishment of air traffic services provider; transfer
of air traffic services
Section 211 of the bill also adds a new chapter 903 of
title 49, United States Code, by adding the following new
sections:
Section 90301. Establishment of Corporation
This section establishes the Corporation as a federally
chartered, not-for-profit corporation; entitles the Corporation
to exclusive use of the name American Air Navigation Services
Corporation; allows the Corporation to be incorporated in a
state of its choosing; and allows it to do business under a
name of its choosing.
Section 90302. Transfer of air traffic services
This section directs the Secretary to transfer operational
control over air traffic services within the United States
airspace and airspace delegated the United States to the
Corporation on the date of transfer. It grants the Corporation
exclusive permission to provide air traffic services within
United States airspace, except for the DOD (as determined by
the President), entities to which the United States has
delegated certain air traffic responsibilities, entities with
which the Corporation has contracted, and certain providers of
unmanned aircraft traffic management systems.
Section 90303. Role of Secretary in transferring air
traffic services to Corporation
This section directs the Secretary to manage and execute
the transfer of air traffic services to the Corporation. It
prohibits the Secretary from delegating authority under the
subtitle to the Administrator unless otherwise provided.
Section 90304. Status and applicable laws
This section establishes the legal status and laws
applicable to the Corporation. The section also clarifies that
the federal government is not liable for any actions or
inactions of the Corporation. Additionally, it directs that the
Corporation be required to maintain its not-for-profit status
under the Internal Revenue Code of 1986. Lastly, it clarifies
that the federal government does not implicitly or explicitly
guarantee the Corporation's debt.
Section 90305. Nomination Panels for Board
This section defines the composition, terms and
qualifications of the Nomination Panels for the Board of
Directors of the Corporation. The Nomination Panels will be
responsible for nominating qualified persons to serve on the
Board of Directors of the Corporation. The Nomination Panels
will be comprised of representatives appointed by the following
aviation stakeholder groups: passenger air carriers, cargo air
carriers, regional air carriers, GA, business aviation, air
traffic controllers, airports, and commercial pilots.
Section 90306. Board of Directors
This section vests the powers of the Corporation in a Board
of Directors that governs the Corporation. It establishes the
following composition of the Board:
--The Chief Executive Officer (CEO) of the
Corporation;
--Two Directors appointed by the Secretary of
Transportation;
--One Director nominated by the Passenger Air Carrier
Nomination Panel;
--One Director nominated by the Cargo Air Carrier
Nomination Panel;
--One Director nominated by the Regional Air Carrier
Nomination Panel;
--One Director nominated by the General Aviation
Nomination Panel;
--One Director nominated by the Business Aviation
Nomination Panel
--One Director nominated by the Air Traffic
Controller Nomination Panel;
--One Director nominated by the Airport Nomination
Panel;
--One Director nominated by the Commercial Pilot
Nomination Panel; and
--Two ``at-large'' Directors nominated and selected
by the other Directors on the Board.
This section outlines the nomination and appointment
processes for both before and after the date of transfer.
Before the date of transfer, each nomination panel submits to
the Secretary a list, chosen by consensus, of four qualified
individuals nominated to be Directors. The Secretary is
required, no later than 30 days after the last nomination list
submission, to appoint two individuals to be Directors, and
select the appropriate number of individuals to be Directors
from each list submitted by the nomination panels. After the
date of transfer, the lists of four qualified individuals
nominated to be Directors is submitted to the Board of
Directors for selection. The Secretary continues the
appointment of two Directors as needed to fill vacant seats.
The section also outlines multiple other duties of the
Board; establishes the authority, terms, requirements, and
certain processes of the Board; and outlines the reporting
requirements and accountability of the Corporation.
Lastly, this section directs that each Director will serve
terms that are four years in duration and imposes a term
limitation eight years.
Section 90307. Fiduciary duties and qualifications of
Directors
This section outlines the qualifications necessary to serve
on the Board and establishes the fiduciary duties of a Director
to be solely and exclusively to the Corporation and not to the
Nomination Panels, nor the stakeholder groups that nominated
them. Directors must be United States citizens and may not be a
government employee, employee of a union, or employee of a
business that is a user of the Corporation's services or has a
material interest in the Corporation. It also includes a
private right of action for the Corporation in the event of
breach of a Director's fiduciary duty.
Section 90308. Bylaws and Duties
This section outlines the required bylaws of the
Corporation and the duties and responsibilities of the Board
including:
--Adoption of an annual budget;
--Approval of a strategic plan and updates to that
plan;
--Authorization for issuance of indebtedness;
--Assessment, modification, and collection of air
traffic services charges and fees;
--Hiring and supervision of the CEO;
--Establishment and maintenance of an appropriately
funded reserve fund;
--Establishment of a process to ensure the fiduciary
duty of a Director is solely and exclusively to the
Corporation;
--Establishment of a process to remove a Director;
and
--Adoption of a process for filling vacancies on the
Board.
Section 90309. Committees of Board; independent auditors
This section requires the Board of Directors to establish a
Safety Committee, a Compensation Committee, a Technology
Committee, and any other committee the Board deems necessary or
appropriate to carry out the Corporation's responsibilities. It
requires that the Corporation retain independent auditors to
review financial statements and internal controls.
Section 90310. Advisory Board
This section establishes an Advisory Board to provide
policy advice to the Board of Directors and gives the Advisory
Board the authority to submit recommendations for independent
Directors. The Advisory Board will include not more than 15
members, including representatives of air carriers; GA;
business aviation; commercial service airports; operators and
manufacturers of commercial unmanned aircraft systems;
appropriate labor organizations; DOD; and small communities,
including those served by nonhub airports.
Section 90311. Officers and their responsibilities
This section requires the Board of Directors to select and
hire a CEO, establishes the CEO's duties and scope of
authority, and authorizes an interim CEO position to serve
prior to the date of transfer and until the Board of Directors
hires a CEO. It also sets forth the process for the CEO to
appoint a Chief Operating Officer and a Chief Financial Officer
subject to the approval of the Board.
Section 90312. Authority of Corporation
This section outlines the general corporate powers of the
Corporation, including the ability to enter contracts, acquire
property, indemnify employees, and be a party to lawsuits. The
section also prohibits the Corporation from selling or issuing
equity shares in the Corporation.
Section 90313. Charges and fees for air traffic services
This section allows the Corporation to assess and collect
charges and fees from certain categories of air traffic service
users beginning on the date of transfer. It also outlines the
duties of the Board to approve air traffic charges and fees.
The section establishes processes for providing air traffic
services users notice of any changes in fees or charges. The
section additionally requires the Corporation to publish an
initial fee schedule at least 180 days before the date of
transfer that must be approved by the Secretary. Increases in
charges or fees also require Secretarial approval and must be
submitted at least 90 days before the effective date. Further,
the section establishes criteria for Secretarial reviews
including consistency with the United States' international
obligations, ICAO Policies on Charges for Air Navigation
Services (Ninth Edition), non-discrimination, safety
considerations, and the Corporation's financial requirements.
Additionally, it prohibits charges and fees on public aircraft
operations, including those operated by the armed services, and
GA operations. The sections sets forth that users will incur an
obligation to pay fees upon the rendering of air traffic
services by the Corporation, allowing the Corporation to file
suit to collect delinquent fees, and assess penalties and
interest for delinquent payment.
Section 90314. Preemption of authority over air traffic
services
This section preempts the application of state, local, and
tribal law to ATC services.
Section 90315. Actions by and against Corporation
This section gives federal courts, rather than state or
local courts, original jurisdiction over any lawsuit by or
against the Corporation. This limits the ability of Corporation
employees to provide expert testimony or expert opinion in
certain circumstances.
Section 90316. Transfer of federal personnel to Corporation
This section establishes the processes and procedures for
transferring federal employees to the Corporation. It is the
intent of the Committee that employees who transfer from the
FAA to the Corporation be guaranteed a continuation of their
pay, benefits, and working conditions, unless and until they
transfer into new programs that may be established or developed
by the Corporation after meeting its bargaining obligations
with the exclusive representatives of the employees of the
Corporation.
The process of determining which employees, categories of
employees and activities that will be transferred to
Corporation must be completed 180 days prior to the date of
transfer. In order to ensure that the Secretary's assessments
and determinations are thoroughly informed, the Secretary is
directed to consult with the relevant labor organizations that
have first-hand knowledge of the operational needs of air
traffic services. It is also essential that the Secretary
consult with the CEO who is ultimately responsible for
Corporation's management and performance after the date of
transfer. Towards that end, Section 90316 requires the FAA, the
Corporation, and labor organizations representing their
employees to be proactive to resolve all transition issues in
an expeditious manner.
Within 180 days of enactment, the Secretary is required to
meet and confer with the Corporation and current labor
organizations to determine which activities and categories of
employees should be transferred to the Corporation. Similarly,
during the transition to the new Corporation, Section 90316
requires the parties to engage in negotiations and reach either
bipartite or tripartite agreements, as appropriate, to ensure
that their collective bargaining agreements and the other
working conditions that apply to FAA employees are jointly
updated to reflect that the Corporation is not a Federal entity
and the employees working for the Corporation are no longer
Federal employees. The parties also should be proactive in
resolving transition issues related to the separation of air
traffic services from the FAA, including, but not limited to:
Air Traffic Safety Action Plan (ATSAP), Fatigue Risk
Management, Professional Standards, technology development,
approval, testing, training, and implementation.
The parties are encouraged to work collaboratively to
resolve all issues related to the transition and the workforce,
and to implement the dispute resolution procedures on a timely
basis should they be unable to reach agreement.
As part of the transition process, the Committee
anticipates that the Secretary, the CEO, or both, may revisit a
determination to transfer employees to the Corporation or to
retain them at the FAA should be revisited. It is important
that flexibility exist during the initial phase of the
Corporation's existence to ensure the proper allocation of
functions, activities, resources and personnel. Therefore, this
section provides for a process during the first 180 days
following the date of transfer, by which employees may be
transferred to Corporation from the FAA or vice versa if the
Secretary determines that the placement of the employee was
inconsistent with the purposes of the subtitle. The section
also includes protections of employment rights and benefits for
employees transferred between Corporation and the FAA. These
protections extend to personnel whom the Secretary decides to
retain within the FAA. The inclusion of these persons is
intended to ensure that their rights are protected throughout
the transition.
Section 90316 includes other provisions to aid in a smooth
transfer of employees to Corporation. FAA air traffic
controllers and other key personnel work in restricted access
environments that are owned or leased by the federal
government. They are required to have specialized clearances,
determinations of suitability, and medical qualifications in
order to perform their duties. Therefore, in order to ensure a
seamless transition and to mitigate any latent risks of lapses
in credentialing, this section ensures the ongoing validity of
all required credentials, certificates, clearances, and any
other permissions or approvals necessary for employees
transferred to Corporation to continue their work on the date
of transfer and beyond. Such ``grandfathered'' credentials
shall remain valid until equivalent or substantially equivalent
credentials may be issued. However, the federal government may
revoke any credential for cause.
Section 90317. Transfer of facilities to Corporation
This section sets forth a process by which the Secretary
must identify and transfer assets necessary to carry out air
traffic services to the Corporation without charge. The section
requires that the Corporation use proceeds from the sale of any
assets received from the government to acquire or improve new
air navigation facilities or other assets. It requires
maintenance by the Corporation of equipment that is located in
a noncontiguous state of the United States that is determined
necessary to the Corporation. It also establishes a moratorium
on consolidation or realignment of air traffic services
facilities until requisite processes are established, and
directs the Corporation to establish a process for the
consolidation or realignment of facilities, in consultation
with labor, six months before the date of transfer.
Section 90318. Approval of transferred air navigation
facilities and other equipment
This section authorizes the Corporation to operate air
navigation facilities and other assets received from the FAA
without separate certification or approval.
Section 90319. Use of spectrum systems and data
This section directs the Secretary to provide the
Corporation with access to the spectrum systems (and any
successor systems) and any data from those systems, that the
FAA had been using before the date of transfer to provide air
traffic services.
Section 90320. Transition plan
This section requires the Secretary, after conferring with
the CEO of the Corporation, to establish a transition team
whose purpose is to develop a transition plan consistent with
this subtitle, to be reviewed by the Secretary, and if
approved, utilized by DOT during the transition period of air
traffic services from FAA to the Corporation.
Chapter 905--Regulation of Air Traffic Services Provider
Section 211 of the bill also adds a new chapter 905 of
title 49, United States Code, by adding the following new
sections:
Section 90501. Safety oversight and regulation of
Corporation
This section directs DOT to conduct safety oversight of the
Corporation, including the issuance of performance-based
regulations and minimum safety standards for the operation of
air traffic services as well as for the certification and
operation of air navigation facilities. It directs DOT to
identify the policies and administrative materials of the FAA
for providing air traffic services before the date of transfer
that will apply to the Corporation after the date of transfer.
The section requires the Corporation to submit any proposals to
change airspace or traffic management procedures to DOT, who
must approve, disapprove, or modify such proposals on an
expedited basis. Additionally, it allows the Secretary to
delegate safety oversight functions to the Administrator.
Lastly, the section brings oversight of the Corporation in line
with the rest of the aviation industry.
Section 90502. Resolution of disputes concerning air
traffic services charges and fees
This section establishes a dispute resolution mechanism for
fees assessed to users. It requires that the Secretary
establish a process for the handling of complaints and make
determinations of correctness of fees.
Section 90503. International agreements and activities
This section requires that the Corporation provide air
traffic services in a manner consistent with the United States'
sovereign obligations under various international agreements or
applicable foreign laws. The section also clarifies that the
Corporation cannot represent or negotiate on behalf of the
United States before any foreign government or international
organization.
Section 90504. Availability of safety information
This section requires that the Corporation provide users
with the same safety information provided to users by the FAA
before the date of transfer, as well as any additional safety
information necessary for safe use of air traffic services. The
section also permits the Corporation to provide weather
information and maps used by flight crews.
Section 90505. Reporting of safety violations to FAA
This section requires the Corporation to report possible
safety violations it observes to the FAA, and assist the FAA in
any related enforcement action.
Section 90506. Insurance requirements
This section requires that the Corporation obtain insurance
policies and coverages sufficient to cover the anticipated
liability risks of its operations, including indemnification of
employees acting within their scope of employment to protect
them against legal actions that may be brought against them in
their individual capacity.
Chapter 907--General Rights of Access to Airspace, Airports, and Air
Traffic Services Vital to Ensuring Safe Operations for All
Users
Section 211 of the bill adds a new chapter 907 of title 49,
United States Code, by adding the following new sections:
Section 90701. Access to airspace
This section directs the Secretary to ensure that no user
is denied access to airspace on the basis of the user being
exempt from charges and fees, pursuant to section 90313.
Section 90702. Access to airports
This section requires the Secretary to establish a
determination, with respect to carrying out section
90501(c)(3), on whether a proposal would materially reduce
access to a public use airport, which includes GA airports or
rural airports.
Section 90703. Contract tower service after date of
transfer
This section directs the Secretary to take necessary
actions to ensure the Corporation meets all contractual
obligations of FAA contract towers that were in operation
before the date of transfer. This section also outlines special
rules governing the proposed closure of air traffic control
towers that participated in FAA Contract Tower Program before
the date of transfer when the proposed closure would result in
an airspace change or reclassification. It also includes a
process for meaningful analysis of potential impacts of such a
closure and community involvement. The section outlines the
impacts that must be analyzed by the Corporation as part of the
review process.
Existing contracts between contract tower operators and the
FAA began on July 1, 2015, and continue for five years. The
Committee is aware that current contracts may expire during the
transition period to the Corporation. Given the importance of
contract towers to over 250 smaller airports in rural America
and major metropolitan areas, it is clear that the Contract
Tower Program should continue without interruption during the
transition period. As validated by the DOT IG, the Contract
Tower Program is cost effective, saving the FAA and taxpayers
millions of dollars each year. It plays a major role in the
Nation's air transportation system, handling approximately 30
percent of all tower aircraft operations in the United States,
including almost half of all military operations at civilian
airports. The Committee believes that FAA and the Corporation
should consider the merits of renewing the current contracts
that may expire during the transition period to ensure complete
continuity of air service and access for all airspace users.
Nothing in this section should be construed to limit the
ability of the Corporation to convert a former FAA contract
tower into the post-transfer equivalent of an FAA Air Traffic
Control Tower in order to provide better air traffic services
at an airport.
Section 90704. Availability of safety information to
general aviation operators
This section requires the Corporation, in carrying out
section 90504, to disclose all safety information to air
traffic services users, including GA operators and the public.
Section 90705. Special rules and appeals process for air
traffic management procedures, assignments, and
classifications of airspace
This section sets forth special rules and decisional
standards for the Secretary when reviewing a proposal by the
Corporation to modify, reduce, decommission, or eliminate an
air traffic service or navigation facility that would hinder
access to a public-use airport or airspace for any class,
category, or type of aircraft in operation. It outlines the
judicial review process for such determinations.
Section 90706. Definitions
This section provides a number of definitions for this
chapter.
Chapter 909--Continuity of Air Traffic Services to DOD and Other Public
Agencies
Section 211 of the bill adds a new chapter 909 of title 49,
United States Code, by adding the following new sections:
Section 90901. Continuity of air traffic services provided
by DOD
As directed by the President, this section permits the DOD
to provide air traffic services within United States airspace
and international airspace delegated to the United States after
the date of transfer.
Section 90902. Military and other public aircraft exempt
from user fees
This section prohibits the Corporation from imposing any
charges or fees on aircraft owned or operated by the Armed
Forces and other public aircraft.
Section 90903. Air traffic services for federal agencies
This section requires the Secretary to establish processes
ensuring that the Corporation supports all activities of the
United States government supported by FAA before the date of
transfer and on an ongoing basis thereafter.
Section 90904. Emergency powers of armed forces
This section clarifies that the safety oversight
requirements outlined in section 90501 do not apply to airspace
actions authorized under section 40106 of title 49, United
States Code.
Section 90905. Adherence to international agreements
related to operations of armed forces
This section requires the Corporation, in carrying out
section 90503, to ensure that all obligations described in that
section include obligations related to the operations of the
Armed Forces.
Section 90906. Primacy of armed forced in times of war
This section allows for the temporary transfer of a duty,
power, activity, or facility of the Administrator or the
Corporation to DOD by the President during war.
Section 90907. Cooperation with DOD and other federal
agencies after date of transfer
This section requires the Corporation, DOT, and all federal
agencies supported by the FAA's operation of air traffic
services enter into a tripartite agreement to ensure
cooperation between the entities, facilitate the safe provision
of services, and address coordination and communication of day-
to-day operations after the date of transfer.
Chapter 911--Employee Management
Section 211 of the bill also adds a new chapter 911 of
title 49, United States Code, by adding the following new
sections:
Section 91101. Definitions
This section sets forth certain definitions relating to
employee management.
Section 91102. Employee management and benefits election
This section establishes the CEO's authority to set wages,
hours, and other terms of employment just like other private
entities throughout the Nation. It ensures that employees
initially transferred from the federal government to the
Corporation are kept whole in terms of their benefits by
allowing them to elect whether to retain federal benefits or
opt for comparable benefits offered by the Corporation. To do
so, the section substitutes the Corporation for the government,
to ensure the government's employer obligations are transferred
to the Corporation. This section also extends several important
laws, including whistleblower safeguards, to the Corporation
and its employees.
Section 91103. Labor and employment policy
This section applies much of the Federal Service Labor-
Management Relations Statute (FSLMRS) that governs labor-
management relations in the federal government to the
Corporation and its employees. Primarily, this includes the
union prohibition on the right to strike and other actions that
would disrupt the operation of the air traffic control system.
It preserves air traffic controllers' and other employees'
existing right to participate in labor organizations or refrain
from doing so, if desired, commonly referred to as an ``open
shop.'' It also continues other laws as applicable to the
Corporation and its labor organizations to ensure fairness and
transparency in labor relations and reporting.
Section 91104. Bargaining units
This section preserves the existing structure of bargaining
units to ensure the units are system-wide and not divided
piecemeal across the country. Further, it clearly prohibits
supervisors and managers from joining a union.
Section 91105. Recognition of labor organizations
This section requires the Corporation to recognize and
bargain with the labor organizations selected by its employees.
This section is designed to maintain continuity in labor-
management relations, ensure a smooth transition, and minimize
the potential for disruption to the employees and the
Corporation.
This section also requires the employees and the
Corporation to comply with the terms of collective-bargaining
agreements and arbitration awards in effect on the date of
transfer until such agreements and awards expire or are
lawfully altered or amended. The Committee understands that
this will ensure productive labor-management relations and
seamless ATC service operations throughout the transition.
Section 91106. Collective-bargaining agreements
This section establishes certain requirements for
collective bargaining agreements, including that such
agreements be effective for no less than two years.
Section 91107. Collective-bargaining dispute resolution
This section establishes a process by which the Corporation
and labor organizations will resolve their disputes arising in
collective bargaining. The need for finality in the negotiation
of collective-bargaining agreements between the Corporation and
its employees is important to all stakeholders. Section 91107
sets forth a process by which the Corporation and the labor
organization will resolve disputes arising from negotiation
impasses for both term collective-bargaining agreements and
mid-term bargaining.
The first step of the process for term bargaining or mid-
term bargaining is to negotiate in good faith. After 90 days of
negotiation, the parties may invoke the mediation services of
the Federal Mediation and Conciliation Service (FMCS). This
mediation period shall last 60 days, unless extended by the
parties. If no resolution is reached through negotiation,
binding arbitration is invoked. This is where the term
bargaining and mid-term bargaining differs slightly in process.
For term bargaining, the binding arbitration is conducted
by a three-member arbitration board with one arbitrator
selected by each party, and the third selected by those two
arbitrators from a list of 15 well-qualified arbitrators (e.g.,
the National Academy of Arbitrators, the American Arbitration
Association) prepared by the Director of the FMCS. Once
selected, the arbitration board must hold a hearing, including
presentations of evidence and witnesses. The arbitration board
must give proper weight to the evidence and, not later than 90
days from appointment, issue its decision. The parties must
share in the costs of arbitration. This section is enforceable
in United States District Court for the District of Columbia.
Unlike term bargaining, mid-term bargaining is resolved by
a single arbitrator, instead of a board. The arbitrator must be
of national reputation and significant experience, just as is
required for the arbitration board for term bargaining. The
selection process for the arbitrator begins with the
development of a list of ten arbitrators by the FMCS, from
which each party strikes a name until one is left. The
arbitrator must hold a hearing and issue a written decision
within 90 days. This section is also enforceable in United
States District Court for the District of Columbia.
Both processes for term and mid-term bargaining will help
ensure peaceful labor-management relations through a
prescriptive, conclusive, and binding process. The Committee
prefers resolution of disputes and impasses through
negotiations or mutually agreed to terms and processes;
however, when such negotiations break down, the section
provides for certainty in the resolution of disputes that will
ensure the safe, efficient, and continuous provision of air
traffic control services.
Section 91108. Potential and pending grievances,
arbitrations, and settlements
This section transfers existing enforceable grievance
awards and arbitration awards as obligations of the
Corporation, and preserves employees' and management's rights
in such agreements in effect on the date of transfer. Any
grievances or arbitrations pending on the date of transfer are
also transferred with the Corporation stepping into the shoes
of the employer; however, to the extent such proceedings
require financial or monetary reward, such financial or
monetary liability remains with the government by operation of
this section in conjunction with section 91302. The Committee
does not want to burden the Corporation with financial or
monetary liability arising from the acts or omissions of the
federal government. However, where a grievance or arbitration
award would require the Corporation to change its practices or
to take actions as the successor to the FAA as an employer,
such change in practice or action should be required of the
Corporation. This section permits either party to an
arbitration award to seek judicial action to vacate such an
award pursuant to section 91110(a).
Section 91109. Prohibition on striking and other activities
This section strictly prohibits employees from engaging in
strikes, work stoppages, slowdowns, and picketing of the
Corporation and requires termination of employees who engage in
such activity. The burden of proof and other standards
established in Schapansky v. Department of Transportation, 735
F.2d 477 (Fed. Cir. 1984) and its progeny shall apply to any
resolution of disputes arising under this section.
Section 91110. Legal action
To ensure uniformity in legal actions and precedent across
the country, given the national make-up of air traffic control
services, this section establishes the jurisdiction of federal
district courts to hear cases brought to enforce or vacate
arbitration awards. It also establishes federal court
jurisdiction for actions by and against labor organizations
under this bill. In conjunction with section 90315, the federal
courts shall have jurisdiction over all actions by and against
the Corporation and all labor-related actions. Keeping the
jurisdiction in the federal courts will ensure consistency by
preventing state laws and courts from being invoked which would
result in piecemeal and possibly inconsistent legal decisions.
Furthermore, federal courts already have the requisite
experience with regard to the federal labor statutes and
processes involved in this chapter, and, therefore, are best
equipped to continue interpreting and applying them.
Chapter 913--Other Matters
Section 211 of the bill also adds a new chapter 913 of
title 49, United States Code, by adding the following new
sections:
Section 91301. Termination of government functions
This section clarifies that any activity vested in law in
the Secretary, Administrator, DOT, or the FAA that has been
transferred to the Corporation pursuant to this Act shall cease
to be a function of the government after the date of transfer.
Section 91302. Savings provisions
This section ensures the continued effectiveness of the
government's pending and completed administrative actions and
proceedings, including rulemakings, licensing proceedings,
certain contract obligations, and various applications, until
they are amended, modified, superseded, terminated, set aside
or revoked. It also ensures that certain legal claims, based on
the government's acts or omissions before the date of transfer,
will continue to be available after the date of transfer. The
section requires the Corporation to assume air traffic services
related assets and liabilities from the FAA, and ensures
certain liabilities, such as torts claims arising from the acts
of transferred FAA employees, and environmental claims, remain
with the federal government.
Chapter 915--Congressional Oversight of Air Traffic Services Provider
Section 211 of the bill also adds a new chapter 915 of
title 49, United States Code, by adding the following new
sections:
Section 91501. Inspector General reports to congress on
transition
This section requires the DOT IG, up until the date of
transfer, to submit quarterly reports to Congress on the
progress of the preparation of the DOT and the Corporation for
the transfer of operational control of air traffic services.
Section 91502. State of air traffic services
This section requires the Corporation, not later than two
years after the date of transfer, and every two years
thereafter, to submit a report on the state of air traffic
services, covering charges and fees, safety, interaction
between the Corporation and federal agencies, the Corporation's
compliance with various laws, international treaties/
agreements, and more.
The Committee has supported the FAA's efforts over the past
decade to deploy proven, cost effective, commercial off-the-
shelf integrated control and monitoring systems to improve
safety, efficiency and situational awareness for controllers.
However, the Committee recognizes that the FAA has been unable
to deploy cost effective, safe and modern off-the-shelf
technology that could improve the efficiency and safety of the
NAS. The transfer of responsibility of providing ATC services
to the Corporation will enable the new service provider to
utilize such off-the-shelf technology more quickly should it so
choose.
Section 91503. Submission of annual financial report
Starting not later than one year after the date of
transfer, this section requires the Corporation to annually
submit a report on the financial and operational performance
information of the Corporation during the previous year to the
Secretary, which will subsequently be submitted to Congress.
Section 91504. Submission of a strategic plan
This section requires the Corporation, no later than 15
days after the initial strategic plan of the Corporation is
approved by the Board, to submit the strategic plan to the
Secretary, who shall then submit it to Congress. Also, it
requires a similar submittal process for any updates to the
strategic plan.
Section 91505. Submission of annual action plan
This section requires the Corporation to develop an annual
report on the goals of the Corporation for the following year,
including specific and tangible goals to help expedite the
improvement of the Corporation as a whole. Not later than one
year after the date of transfer and on an annual basis
thereafter, this section requires the Corporation to submit the
report to the Secretary and the Secretary to submit the report
to Congress.
SUBTITLE B--AMENDMENTS TO FEDERAL AVIATION LAWS
Section 221. Definitions
This section adds the definition of ``American Air
Navigation Services Corporation'' to section 40102 of title 49,
United States Code.
Section 222. Sunset of FAA air traffic entities and officers
This section sunsets the FAA's Air Traffic Services
Committee, the Air Traffic Organization Chief Operating Officer
position, and the Chief NextGen Officer position on the date of
transfer, and amends the authorities of the FAA's Management
Advisory Council and Aircraft Noise Ombudsman to reflect the
separation of air traffic services.
Section 223. Role of administrator
This section clarifies that while the Corporation may
conceive of and design changes to the airspace after the date
of transfer as part of its provision of air traffic services,
the FAA will continue prescribing regulations relating to the
safe operation of aircraft, and will ensure equitable access to
and use of airspace.
Section 224. Emergency powers
This section requires appropriate military authorities to
inform the Corporation as early as possible if military
aircraft will deviate from safety regulations due to an
emergency or urgent military necessity.
Section 225. Presidential transfers in time of war
This section provides the President the same authority
related to the Corporation as the President has related to the
FAA if war should occur. It also clarifies that if war occurs,
the President would have the power to temporarily transfer to
the Secretary of Defense an activity or facility of the
Corporation (or of the FAA).
Section 226. Airway Capital Investment Plan before date of transfer
This section terminates the requirement that the
Administrator produce an annual Airway Capital Investment Plan
following the date of transfer. After the date of transfer, the
Corporation will be responsible for such investment planning
and will be required to provide an annual report containing
financial and operational performance information and to retain
independent auditors to conduct annual audits of the
Corporation's financial statements and internal controls.
Section 227. Aviation facilities before date of transfer
This section sunsets certain authorities of the
Administrator relating to the purchase and maintenance of air
navigation facilities on the date of transfer. Such activities
will be conducted by the Corporation after the date of
transfer. The section adds the Corporation to a list of
entities that must be consulted before the establishment of
military aviation facilities to ensure conformity with plans
and policies regarding airspace.
Section 228. Judicial review
This section amends existing law by allowing a person
disclosing a substantial interest in an order issued by the
Secretary or the Administrator with respect to aviation duties
and powers designated to be carried out by the Administrator to
apply for judicial review of the order.
Section 229. Civil penalties
This section amends existing law to add section 90501 to
the list of sections to which a civil penalty may be imposed.
It also allows the Secretary to impose a civil penalty of not
more than $25,000 for violations of 90501.
SUBTITLE C--OTHER MATTERS
Section 241. Use of federal technical facilities
This section ensures the ongoing availability of the FAA's
research facilities to the Corporation.
Section 242. Ensuring progress on NextGen priorities before date of
transfer
This section directs the Administrator, in consultation
with the NextGen Advisory Committee, to prioritize the
implementation of the following programs: Multiple Runway
Operations; Performance-Based Navigation; Surface Operations
and Data Training; and Data Communications. The section also
directs the Administrator to establish near-term NextGen goals
and amends existing law to require a NextGen metrics report to
be included as part of the annual report required under the
law.
Section 243. Severability
The section serves as the severability clause for the title
in the event one or more parts of the title are found to be
invalid.
Section 244. Prohibition on the receipt of federal funds
The section prohibits the Corporation from accepting or
receiving any of the uncommitted balance of the Airport and
Airway Trust Fund.
Title III--FAA Safety Certification Reform
SUBTITLE A--GENERAL PROVISIONS
Section 301. Definitions
This section sets forth definitions applicable to this
title.
Section 302. Safety Oversight and Certification Advisory Committee
This section establishes the Safety Oversight and
Certification Advisory Committee (SOCAC), comprised of industry
stakeholders, including GA, commercial aviation, aviation
labor, aviation maintenance, and more, and the Administrator.
The SOCAC is responsible for providing advice to the Secretary
on policy level issues related to FAA safety certification and
oversight programs and activities, and establishing consensus
national goals, strategic objectives and priorities to achieve
the most efficient, streamlined and cost-effective
certification and oversight processes. The SOCAC sunsets after
six years.
SUBTITLE B--AIRCRAFT CERTIFICATION REFORM
Section 311. Aircraft certification performance objectives and metrics
This section directs the Administrator to work with the
SOCAC to establish performance objectives for the FAA and the
aviation industry related to aircraft certification, and apply
and track performance metrics for both FAA and aviation
industry. These performance objectives for aircraft
certification shall ensure that progress is being made in
eliminating delays, increasing accountability, and achieving
full utilization of delegation, while maintaining leadership of
the United States in international aviation. The data for the
metrics will be publicly available on the FAA's website.
Section 312. Organization designation authorizations
This section amends existing law by requiring that when
overseeing an organization designation authorization (ODA)
holder, the Administrator must require a procedures manual that
addresses all procedures and limitations regarding the ODA's
functions to ensure that such functions are delegated fully to
the ODA (unless there is a safety or public interest reason to
not delegate functions). This section establishes a centralized
ODA policy office within the FAA's Office of Aviation Safety to
oversee and ensure the consistency of audit functions under the
ODA program across the FAA.
Section 313. ODA review
This section establishes a multidisciplinary expert review
panel consisting of members appointed by the Administrator to
conduct a survey of ODA holders and applicants to obtain
feedback on the FAA's efforts involving the ODA program and
make recommendations to improve the FAA's ODA-related
activities. Within six months of the Panel convening, they will
submit a report to the FAA and relevant congressional
committees on any findings and recommendations.
Section 314. Type certification resolution process
This section requires the Administrator to establish a type
certification resolution process, in which the certificate
applicant and FAA will establish for each project specific
certification milestones and timeframes for those milestones.
If the milestones are not met within the specific timeframe,
the milestone will be automatically elevated to the appropriate
management levels of both the applicant and FAA and resolved
within a specific period of time.
Section 315. Safety enhancing equipment and systems for small general
aviation airplanes
This section requires, within 180 days of enactment, that
the Administrator establish and begin implementation of a risk-
based policy that streamlines the installation of safety
enhancing technologies for small GA aircraft so that the safety
benefits of such technologies for small GA aircraft can be
realized.
Section 316. Review of certification process for small general aviation
airplanes
The section directs the DOT IG to review the final rule
titled ``Revision of Airworthiness Standards for Normal,
Utility, Acrobatic and Commuter Category Airplanes.'' In this
review, the DOT IG will assess how the rule puts into practice
the FAA's efforts to implement performance based safety
standards, if the rule has improved safety and reduced
regulatory cost burden and lessons learned.
SUBTITLE C--FLIGHT STANDARDS REFORM
Section 331. Flight standards performance objectives and metrics
The section directs the Administrator, in collaboration
with the SOCAC established in section 302, to establish
performance objectives and to apply and track metrics for the
FAA and aviation industry relating to flight standards
activities, and achieving national goals established by the
Advisory Committee.
Section 332. FAA Task Force on Flight Standards Reform
This section directs the FAA to establish an FAA Task Force
on Flight Standards Reform (Task Force). The Task Force will be
comprised of 20 industry experts and stakeholders, and be
responsible for identifying best practices and providing
recommendations for simplifying and streamlining flight
standards processes, training for aviation safety inspectors,
and to achieve consistency in FAA regulatory interpretations
and oversight.
Section 333. Centralized Safety Guidance Database
The section directs the Administrator to establish a
Central Safety Guidance Database that will include all
regulatory guidance documents of the FAA Office of Aviation
Safety within one year of enactment, and make the database
available to the public.
Section 334. Regulatory Consistency Communications Board
This section requires the Administrator to establish a
Regional Consistency Communications Board that will be composed
of FAA representatives from Flight Standards Service, Aircraft
Certification Service and Office of the Chief Counsel. The
Board will be responsible for establishing a process by which
FAA personnel as well as regulated entities may submit
regulatory interpretation questions anonymously without fear of
retaliation. The SOCAC will establish performance metrics for
both industry and the FAA in regard to the actions of the
Board.
SUBTITLE D--SAFETY WORKFORCE
Section 341. Safety workforce training strategy
This section directs the FAA to establish a safety
workforce training strategy that addresses a number of goals.
These goals include allowing employees participating in
organization management teams or ODA program audits to complete
appropriate training in auditing, identifying a systems safety
approach to oversight, and seeking knowledge-sharing
opportunities between the FAA and aviation industry.
Section 342. Workforce review
This section directs the Comptroller General of the United
States to conduct a study to assess the workforce and training
needs of the FAA's Office of Aviation Safety. This study will
look at current hiring and training requirements for inspectors
and engineers, and analyze the skills and qualifications of
safety inspectors and engineers.
SUBTITLE E--INTERNATIONAL AVIATION
Section 351. Promotion of United States aerospace standards, products,
and services abroad
This section directs the Administrator to take appropriate
actions to promote United States aerospace standards abroad, to
defend approvals of United States aerospace products and
services abroad and to utilize bilateral safety agreements to
improve validation of United States certified products.
Section 352. Bilateral exchanges of safety oversight responsibilities
This section grants the Administrator the ability to accept
an airworthiness directive necessary to provide for safe
operation of aircraft issued by the aeronautical authority of a
foreign country and leverage their regulatory process, if
certain criteria are met. The section also allows for an
alternative approval process and alternative means of
compliance under certain circumstances.
Section 353. FAA leadership abroad
The section directs the Administrator to promote United
States aerospace safety standards abroad and to work with
foreign governments to facilitate the acceptance of FAA
approvals and standards internationally. The Administrator is
directed to further assist American companies who have
experienced significantly long foreign validation wait times
and work with foreign governments to improve the timeliness of
their acceptance of FAA validations and approvals. This section
requires FAA to track and analyze the amount of time it takes
foreign authorities to validate certificated aeronautical
product types certified in the United States and establish
benchmarks and metrics to reduce the validation times.
Section 354. Registration, certification, and related fees
This section amends existing law by allowing the
Administrator to establish and collect a fee from a foreign
government or entity for certification services if the fee is
consistent with aviation safety agreements and does not exceed
the cost of the services.
Title IV--Safety
SUBTITLE A--GENERAL PROVISIONS
Section 401. FAA technical training
Within 90 days of enactment, this section requires the
Administrator to establish an e-learning training pilot program
to provide technical training for FAA personnel on the latest
aviation technologies, processes, and procedures. The section
terminates the pilot program one year after establishment.
After elimination of the pilot program, the FAA will establish
a permanent e-Learning program that utilizes lessons learned
from the pilot.
Section 402. Safety critical staffing
This section directs the Administrator to update the FAA's
safety critical staffing model within 270 days of the date of
enactment and at least two years before the date of transfer.
This section requires the DOT IG to conduct a study of the
staffing model used by the FAA to determine the number of
aviation safety inspectors that are needed to fulfill the
mission of the FAA and adequately ensure aviation safety.
Lastly, this section requires reports on the audit to both the
Secretary and to Congress.
Section 403. International efforts regarding tracking of civil aircraft
This section directs the Administrator to exercise
leadership on creating a global approach to improve aircraft
tracking by working with foreign counterparts in the ICAO,
other international organizations, and the private sector.
Section 404. Aircraft data access and retrieval systems
This section requires the FAA to initiate a study of
aircraft data access and retrieval technologies for Part 121
commercial aircraft used in extended overwater operations to
determine if such technologies provide improved access and
retrieval of the data in the event of an accident. A report to
Congress is required not later than one year after initiation
of the study.
Section 405. Advanced cockpit displays
This section requires the FAA to review heads-up display
systems, heads-down display systems employing synthetic vision
systems, and enhanced vision systems and the impacts of single
and dual installed heads-up systems within 180 days of
enactment. A report to Congress is required no later than one
year after enactment.
Section 406. Marking of towers
This section includes a technical correction to section
2110 of the FAA Extension, Safety and Security Act of 2016 to
clarify that the term ``covered towers'' does not include
towers located within the right-of-way of a rail carrier,
including within the boundaries of a rail yard, and are used
for railroad purposes. Furthermore, to ensure safety while
providing flexibility to covered tower operators, section 2110
is revised to allow covered tower operators or owners to either
submit the tower's information into the database established in
the section or mark the tower according to FAA marking
requirements. This option does not apply to Meterological
Evaluations Towers, which must be both marked in accordance
with FAA marking requirements and entered into the database.
Section 407. Cabin evacuation
This section requires the FAA, in consultation with
National Transportation Safety Board and appropriate
stakeholders, to review evacuation certification of transport
category aircraft, including emergency conditions, crew
procedures, relevant changes to passenger demographics, legal
requirements that affect emergency evacuations, and recent
accidents and incidents where passengers had to evacuate. The
section also requires, not later than one year after the date
of enactment, a report to be submitted to Congress on the
results of the review and any associated recommendations.
Section 408. ODA staffing and oversight
This section directs the Administrator to report to
Congress no later than 270 days after enactment on its progress
in implementing specific DOT IG recommendations regarding the
FAA's staffing and oversight of ODA prior to the date of
transfer. The section requires the report to contain the FAA's
progress with respect to ensuring full ODA utilization
authority prior to and after the date of transfer.
Section 409. Funding for additional safety needs
This section allows the Administrator to accept funds from
an applicant for a certificate in order to hire additional
support staff or to obtain the services of consultants and
experts to help streamline the review and issuance of
certificates. This section outlines other policies and
procedures to be implemented by the Administrator to ensure
that the acceptance of funds does not prejudice the
Administrator in the issuance of any certificate. The section
contains a clause requiring that any funds accepted under the
section shall be credited as offsetting collections.
Section 410. Funding for additional FAA licensing needs
This section allows the Secretary to accept funds from a
person applying for a license or permit in order to hire
additional staff or to obtain the services of consultants or
experts to help streamline the issuances of licenses or
permits. It outlines policies and procedures to be implemented
by the Secretary and contains a clause requiring that any funds
accepted under the section shall be credited as offsetting
collections.
Section 411. Emergency medical equipment on passenger aircraft
This section directs the Administrator to evaluate and
revise existing regulations on emergency medical equipment, and
consider whether the minimum contents of approved medical kits
on passenger aircraft meet the emergency needs of children.
Section 412. HIMS program
This section authorizes the existing human intervention
motivation study (HIMS) program for flight crewmembers employed
by commercial air carriers operating in the United States.
Section 413. Acceptance of voluntarily provided safety information
This section requires the FAA to automatically accept
voluntary disclosures submitted under the Aviation Safety
Action Program into the program even if they have not undergone
a review by the event review committee. This requires a
disclaimer be attached to the disclosure that states the
disclosure has not gone through an event review committee. If
the event review committee determines that the disclosure fails
to meet criteria for acceptance, the disclosure will be
rejected from the program.
Section 414. Flight attendant duty period limitations and rest
requirements
This section directs the Administrator to revise the final
rule issued on August 19, 1994, related to flight attendant
duty period limitations and rest requirements. The revised rule
must ensure that a flight attendant has at least a scheduled
rest period of 10 consecutive hours, and that the rest period
cannot be reduced under any circumstances. This section
requires, within 90 days after enactment, all Part 121 air
carriers to submit to the Administrator a fatigue risk
management plan. The Administrator is required to review and
accept or reject the fatigue risk management plan for each Part
121 carrier. If the Administrator rejects a plan, the
Administrator must provide modifications needed for the
resubmission of the plan. Part 121 air carriers must update
their fatigue risk management plans every two years and
resubmit them to the Administrator. If a Part 121 air carrier
violates this subsection, it shall be subject to civil
penalties.
Section 415. Secondary cockpit barriers
This section requires, not later than one year after the
date of enactment, the Administrator to issue an order
requiring the installation of a secondary cockpit barrier on
all new passenger air carrier aircraft.
Section 416. Aviation maintenance industry technical workforce
This section requires the Comptroller General to conduct a
study and issue recommendations on aviation workforce data and
workforce needs in the aviation maintenance sector. It also
requires a report to Congress no later than one year after the
date of enactment.
Section 417. Critical airfield markings
This section requires a study on the durability of and use
of Type III and Type I retroflective glass beads on airport
runways.
SUBTITLE B--UNMANNED AIRCRAFT SYSTEMS
Section 431. Definitions
This section sets forth definitions applicable to this
subtitle.
Section 432. Codification of existing law; additional provisions
This section amends existing law by inserting a new Chapter
455, ``Unmanned Aircraft Systems'' (UAS) in order to codify
UAS-related provisions included in the FAA Modernization and
Reform Act of 2012 and to add several new UAS-related
provisions to the Chapter. Chapter 455 contains the following
provisions:
Section 45501. Definitions
This section codifies definitions from section 331 of the
FAA Modernization and Reform Act of 2012 and adds new
definitions for terms used in this chapter.
Section 45502. Integration of civil UAS into national
airspace system
This section codifies portions of section 332 of the FAA
Modernization and Reform Act of 2012 that require the Secretary
to develop a comprehensive plan and roadmap for UAS
integration. The provisions also require the Secretary to
conduct a rulemaking relating to the operation of small UAS
(sUAS) and to take actions to expand use of UAS in Arctic
regions.
Section 45503. Risk-Based permitting of UAS
This section establishes a new basis for licensing any UAS
and UAS operations not covered by regulations applicable to the
operation of sUAS. This section sets forth permitting standards
and certain criteria that the Administrator must consider in
assessing applications, and provides the FAA with flexibility
to waive certain statutory requirements if the operations will
occur away from congested areas. The permits issued under this
section will have a validity of five years. Further,
applications for UAS operations related to disaster recovery
and emergency preparedness would be handled on an expedited
basis.
Section 45504. Public UAS
This section codifies section 334 of the FAA Modernization
and Reform Act of 2012, which directs the Secretary to take
steps to facilitate operations of UAS by government entities.
Section 45505. Special rules for certain UAS
This section codifies section 333 of the FAA Modernization
and Reform Act of 2012, which directs the Secretary to
determine if certain UAS may operate in the NAS. Assessment of
the UAS operations will determine which types of UAS do not
create a hazard to users of the NAS or to national security,
and will determine whether a certificate of waiver or
authorization of airworthiness is required. If the Secretary
determines certain UAS may operate safely in the NAS, the
Secretary shall establish requirements for the safe operation
of such systems.
Section 45506. Certification of new air navigation
facilities for unmanned aircraft and other aircraft
This section establishes a rulemaking process to develop
standards for unmanned aircraft traffic management system (UTM)
and other communication, navigation, and surveillance systems
for low altitude airspace including expedited procedures to
authorize operations posing very low risk. In the long-term,
the Committee believes that use of UTM should facilitate more
advanced operations of UAS including beyond visual line of
sight and nighttime operations on a routine basis. The
Committee also anticipates that operators could cite UTM use in
support of applications for waiver from provisions of Part 107,
title 14 Code of Federal Regulations and other authorizations.
The Committee believes that the final rule promulgated pursuant
to this section will, in the long-run, result in comprehensive
authorizations for the use of UTM in a variety of scenarios.
The criteria for these rules are intended to facilitate safe
operation of UAS and interoperability with air traffic control
and other systems used in the National Airspace.
Section 44507. Special rules for certain UTM and low
altitude Communication, Navigation, Surveillance
This section establishes a process for the FAA to approve
certain UTM and low altitude Communication, Navigation, and
Surveillance prior to the completion of the rulemaking required
under section 45506. This section requires the FAA to create
expedited procedures for approving systems operated in airspace
above croplands and other areas in which the operation of
unmanned aircraft pose very low risk. The Committee believes
that the operators and the FAA could use the authority of
section 45507 in the near-term to begin use of UTM to enhance
operations of UAS, such as beyond visual line of sight flights
and nighttime flights, on a routine basis. The knowledge and
experience gained under this section will inform, and
ultimately improve, the FAA's regulatory framework for UTM and
UAS in the long-term, including the rules required under
section 45506. Furthermore, the Committee believes that
advanced operations and uses of UTM should be authorized on an
expedited basis in airspace above croplands and other such
areas in which the risks to persons and property is very low.
Croplands and other agricultural areas are often sparsely
inhabited or uninhabited expanses of land and the airspace
above may be ideal for demonstrating the potential of UTM to
facilitate advanced operations of UAS. The Committee notes
that, in certain cases, airspace above such lands may be used
by manned aviation operators. In such cases, the Committee
expects that the FAA will take any necessary measures to ensure
aviation safety. The knowledge formed and experience gained in
authorizing and conducting such operations in these areas will
enable government and industry to work towards use of UAS and
UTM in more complex operating environments. The Committee also
anticipates that operators could cite UTM use in support of
applications for waiver from provisions of Part 107, title 14
Code of Federal Regulations and other authorizations.
Section 45508. Operation of small unmanned aircraft
This section establishes a streamlined process for the FAA
to permit the operation of sUAS used for aerial data collection
prior to the agency's completion of the rulemaking for such
aircraft. Aerial data collection includes applications such as
imaging, measurement, and other forms of sensing.
Section 45509. Special rules for model aircraft
This section codifies, in part, section 336 of the FAA
Modernization and Reform Act of 2012, which establishes
criteria under which an aircraft may be operated as a model
aircraft under certain conditions. It also allows certain
qualified not-for-profit organizations to receive payment for
instruction in the flight of model aircraft. The section
includes conforming amendments, specifically provisions that
would allow the FAA to assess civil penalties for violations
under chapter 455. The section allows the FAA to require
aircraft registration. The section clarifies that current
certification processes will remain available pending
completion of the air carrier rulemaking.
Section 45510. Carriage of property for compensation or
hire
This section requires the Secretary to issue a final rule
authorizing sUAS operators to carry property for compensation
or hire within the United States. This section requires the
Administrator to establish the sUAS air carrier certificate,
establish a streamlined, performance-based, and risk-based
certification process, and create a sUAS air carrier
classification, all for the purposes of carriage of property
for compensation or hire.
Section 45511. Micro UAS operations
This section charters an aviation rulemaking committee to
develop recommendations for regulations under which any person
may operate a micro unmanned aircraft system. It also requires
the Secretary to charter the advisory committee no later than
60 days after the date of enactment. Additionally, it requires
the Secretary, no later than 180 days after receiving the
recommendations, to issue regulations regarding the
recommendations of the rulemaking committee.
Section 433. Unmanned aircraft test ranges
This section includes several provisions relating to UAS
test ranges established by the FAA Modernization and Reform Act
of 2012, and extends the authorization of the test ranges for
six years. This section directs the Administrator to permit the
operation of aircraft equipped with sense-and-avoid and beyond
line of sight technologies at the test ranges and, in
furtherance of that objective, provides the Administrator the
ability to waive certain statutory requirements.
Section 434. Sense of Congress regarding unmanned aircraft safety
This section expresses the concern of Congress about the
safety risks caused by unauthorized operation of UAS in
proximity to airports and the safety risks of potential
collisions between UAS and conventional passenger aircraft. It
further expresses Congress' sense that the FAA should take
measures to reduce such risks through enforcement actions and
educational initiatives.
Section 435. UAS privacy review
This section directs the Secretary to conduct a study to
identify potential reductions in privacy caused specifically by
UAS. It also directs the Secretary to consider the efforts led
by and consult with the National Telecommunications and
Information Administration relating to privacy and UAS
integration. Additionally, the section requires the Secretary
to submit a report to Congress on the study's findings within
six months of enactment of this Act.
Section 436. Public UAS operations by tribal governments
This section allows certain tribal governments to operate
unmanned aircraft as public aircraft.
Section 437. Evaluation of aircraft registration for small unmanned
aircraft
This section directs the Administrator to develop metrics,
assess compliance and effectiveness of the agency's Interim
Final Rule entitled ``Registration and Marking Requirements for
Small Unmanned Aircraft. (80 Fed. Reg. 78,593). It directs the
DOT IG to evaluate the Administration's progress in developing
these metrics and also the reliability, effectiveness and
efficiency of the program, and provide a report to Congress.
Section 438. Study on roles of governments relating to low-altitude
operation of small unmanned aircraft
This section requires the DOT IG to study and report to
Congress on the regulation of low-altitude operations of small
unmanned aircraft and the appropriate roles and
responsibilities of federal, state, local, and tribal
governments in regulating such activity. It also requires the
DOT IG to consider various factors including recommendations of
the Drone Advisory Committee, the interests of various
jurisdictions, the interests of industry, and other factors.
Section 439. Study on financing of unmanned aircraft services
This section requires the Comptroller General to study
appropriate fee mechanisms to recover the costs of the FAA
regulation and oversight of unmanned aircraft. It requires the
Comptroller General to consider a number of factors including
resources necessary for safe unmanned aircraft operations and
best practices or policies of other countries. The section
requires the Comptroller General to report to Congress.
Section 440. Update of FAA comprehensive plan
This section requires the FAA to update the comprehensive
plan required by the FAA Modernization and Reform Act of 2012
to include a concept of operations addressing unlawful or
harmful operations of unmanned aircraft.
Section 441. Cooperation related to certain counter-UAS technology
This section requires the Secretary to consult with the
Secretary of Defense on matters related to the deployment of
counter-UAS in the NAS by drawing upon the expertise and
experience of the DOD.
Title V--Air Service Improvements
SUBTITLE A--AIRLINE CUSTOMER SERVICE IMPROVEMENTS
Section 501. Reliable air service in American Samoa
This section requires the Secretary to review the emergency
air transportation by foreign carriers exemption, in the case
of sustaining air transportation between the Islands of Tutuila
and Manu'a in American Samoa, every 180 days instead of every
30 days.
Section 502. Cell phone voice communication ban
This section directs the Secretary to issue regulations
prohibiting an individual on an aircraft from using a cell
phone during a domestic scheduled passenger flight, with
exemptions applying to any member of the flight crew or flight
attendant on duty on an aircraft, as well as federal law
enforcement acting in an official capacity.
Section 503. Advisory Committee for Aviation Consumer Protection
This section adds independent distributors of travel to the
Advisory Committee for Aviation Consumer Protection created
under the FAA Modernization and Reform Act of 2012 and extends
it through fiscal year 2023.
Section 504. Improved notification of insecticide use
This section requires that air carriers disclose to
passengers whether a country with which they are booking a
ticket to may treat the aircraft with insecticide or apply an
aerosol insecticide when the cabin is occupied with passengers.
Section 505. Advertisements and disclosure of fees for passenger air
transportation
This section states that it is not an unfair and deceptive
practice for an air carrier to post the base airfare for air
transportation in an advertisement or solicitation if the
additional taxes, fees, and total cost of the air
transportation are disclosed clearly to the consumer via a link
on the air carrier's website. The section requires the
Secretary to issue a final regulation no later than four months
after the date of enactment. It also makes it an unfair and
deceptive practice to fail to disclose additional fees for
checked or carry-on baggage in a link when providing an
internet fare quotation to a consumer.
Section 506. Involuntarily bumping passengers after aircraft boarded
This section amends existing law by making it an unfair and
deceptive practice to involuntarily deplane a revenue
passenger, who is traveling on a confirmed reservation, and
checked-in prior to the check-in deadline of the flight, after
they have boarded the aircraft.
Section 507. Availability of consumer rights information
This section requires air carriers to post customer service
and consumer information on the homepage of the air carrier's
website.
Section 508. Consumer complaints hotline
This section requires the Secretary to evaluate the
benefits of mobile phone applications or other technologies and
to utilize such technologies to supplement the consumer
complaints hotline established under the FAA Modernization and
Reform Act of 2012.
Section 509. Widespread disruptions
This section adds a new section to existing law to require
air carriers, in the event of a widespread disruption, to
immediately publish on their website whether or not the air
carrier will provide accommodations and other amenities for
impacted passengers. The term ``widespread disruption'' is
defined in the section.
Section 510. Involuntarily denied boarding compensation
This section requires the Secretary, no later than 60 days
after the date of enactment, to issue a final rule clarifying
current regulation with respect to compensation offered in the
event of an involuntary denied boarding of a revenue passenger.
Section 511. Consumer information on actual flight times
This section directs the Secretary to conduct a study on
the feasibility and advisability of modifying regulations
regarding the actual wheels off and wheels on times for
reportable flights. Requires a report to Congress no later than
one year after the date of enactment.
Section 512. Advisory committee for transparency in air ambulance
industry
This section establishes an advisory committee to improve
transparency among air ambulances in a variety of ways and
requires the advisory committee to produce recommendations on
various methodologies to be included in a report to Congress.
When appointing federal agency representatives, the Secretary
may consider a representative from the Department of Health and
Human Services and the Medicare Payment Advisory Commission.
The section also requires the Secretary to issue a final rule
on any recommendations on the disclosure of charges.
Section 513. Air ambulance complaints
This section amends existing law to include air ambulance
operators in the scope of certain consumer protection laws and
to enable consumers to report alleged unfair and deceptive
practices by air ambulances to the Secretary.
Section 514. Passenger rights
This section requires air carriers to submit to the
Secretary a one-page document outlining the rights of
passengers. The document shall include the various forms of
compensation in the event of flight delays and cancellations,
compensation for mishandled or lost baggage, voluntary denied
boarding practices due to overbooking, and involuntary denied
boarding practices. This document will be made available on the
air carrier's website.
SUBTITLE B--AVIATION CONSUMERS WITH DISABILITIES
Section 541. Select subcommittee
This section establishes a Select Subcommittee for Aviation
Consumers with Disabilities to the Advisory Committee for
Aviation Consumer Protection that was created by the FAA
Modernization and Reform Act of 2012. The Select Subcommittee
will advise the Secretary on issues related to air travel for
consumers with disabilities and will be comprised of members
appointed by the Secretary from national disability
organizations, air carriers and foreign air carriers, airport
operators, and contract service providers. This section
requires both a report to the Advisory Committee and a report
to Congress.
Section 542. Aviation consumers with disabilities study
This section requires the Comptroller General to complete a
study reviewing accessibility best practices for individuals
with disabilities, specifically those recommended under the
Architectural Barriers Act of 1960, the Rehabilitation Act of
1973, the Air Carrier Access Act of 1986, and the Americans
with Disabilities Act of 1990. This section also requires a
report to be submitted no later than one year after the date of
enactment to the Secretary and to Congress with findings and
recommendations.
Section 543. Feasibility study on in-cabin wheelchair restraint systems
This section requires the Secretary, no later than two
years after enactment, to conduct a study on the feasibility of
in-cabin wheelchair restraint systems and other ways air travel
consumers with disabilities can be safely accommodated within
them. It also requires the feasibility study to be done in
consultation with the Architectural and Transportation Barriers
Compliance Board, aircraft manufacturers, and air carriers, and
requires a report no later than one year after the completion
of the study.
Section 544. Access advisory committee recommendations
This section directs the Secretary to issue a notice of
proposed rulemaking addressing accommodations for travelers
with disabilities, specifically with respect to accommodations
for in-flight entertainment, accessible lavatories on single-
aisle aircraft, and service animals, and requires the Secretary
to issue a final rule no later than one year thereafter.
SUBTITLE C--SMALL COMMUNITY AIR SERVICE
Section 551. Essential Air Service authorization
This section authorizes the Essential Air Service Program
(EAS) at the following levels: $178 million for fiscal year
2018; $182 million for fiscal year 2019; $185 million for
fiscal year 2020; $327 million for fiscal year 2021; $337
million for fiscal year 2022; and $347 million for fiscal year
2023.
Section 552. Extension of final order establishing mileage adjustment
eligibility
This section extends the effectiveness of a statutory
clarification that the most commonly used route between an
eligible place and the nearest medium or large hub airport is
to be measured by highway mileage when reviewing any action to
eliminate compensation for EAS to such place, or to terminate
the location's compensation eligibility for such service.
Section 553. Study on essential air service reform
This section requires the Comptroller General to conduct a
report on the effectiveness and budgetary savings of reforms
made to the EAS program over the past five years, and requires
that the report contain options for further reform of the
program.
Section 554. Small Community Air Service
This section allows any airport that is a small hub or
smaller to apply for a grant under the Small Community Air
Service Development Program (SCASDP). Additionally, it directs
the Secretary to give special consideration to communities
seeking to restore scheduled air service that has been
terminated. This section authorizes the appropriation for the
SCASDP of $10 million in fiscal year 2018 through fiscal year
2023, of which $4.8 million each year is made available for a
new Regional Air Transportation Pilot Program. The pilot
program will focus on establishing or reestablishing air
service to communities that have experienced declines in
service. Allows communities to reapply for SCASDP grants after
10 years.
Section 555. Air Transportation to Noneligible Places
This section amends existing law to extend the definition
of what constitutes an ``eligible place'' to receive small
community air service funding through the FAA Extension,
Safety, and Security Act of 2016. This section also terminates
the Air Transportation to Noneligible Places program two years
after the date of enactment of the subsection.
Title VI--Miscellaneous
Section 601. Review of FAA strategic cybersecurity plan
Not later than 120 days after the interim CEO of the
Corporation is hired, the Administrator, in consultation with
the interim CEO, is directed to conduct a review of the
aviation cybersecurity framework that was developed as part of
the FAA Extension, Safety and Security Act of 2016 (P.L. 114-
190). In conducting the review, the Administrator is tasked
with considering how the framework should be updated to reflect
the transfer of operational control of air traffic services
from the FAA to the Corporation. This section requires a report
to Congress no later than 120 days after the review is
initiated.
Section 602. Consolidation and realignment of FAA services and
facilities
This section amends section 804 of the FAA Modernization
and Reform Act of 2012 by clarifying the input the
Administrator should receive in preparing a National Facilities
Realignment and Consolidation Report. Notwithstanding new
section 90317(c), it directs the Secretary to continue to carry
out any consolidation or realignment project commenced under
Section 804.
Section 603. FAA review and reform
This section requires the FAA to complete a report on
actions the agency has taken to implement reforms to eliminate
wasteful, inefficient, or redundant practices, procedures, or
positions as required by section 812 of the FAA Modernization
and Reform Act of 2012. Requires the FAA to conduct an
additional review to identify additional wasteful, inefficient,
or redundant practices, procedures, or positions in need of
reform.
Section 604. Aviation fuel
This section directs the Administrator to allow the use of
qualified unleaded aviation gasoline in aircraft as a
replacement for leaded gasoline, and identifies the aircraft
and engines that are eligible to use the qualified replacement
unleaded gasoline. It adopts a process that allows eligible
aircraft and engines to operate safely with the qualified
replacement unleaded gasoline. This section expresses that it
is the Sense of Congress that the Piston Aviation Fuels
Initiative of the Administration, in collaboration with the
American Society for Testing and Materials, should work to find
an appropriate unleaded fuel by January 1, 2023.
Section 605. Right to privacy when using air traffic control system
This section ensures that the aircraft owners will continue
to be able to request that their aircraft registration
information not be publicly displayed in the Aircraft
Situational Display.
Section 606. Air shows
This section encourages the Administrator to work on an
annual basis with airshows, GA communities, stadiums, and other
large outdoor events and venues to identify and resolve
scheduling conflicts between approved air shows and large
outdoor events that have temporary flight restrictions imposed.
Section 607. Part 91 review, reform, and streamlining
This section directs the FAA to establish a Task Force
comprised of GA aircraft owners, operators, labor, and
government representatives. The Task Force will assess the
oversight and authorization processes and requirements for
aircraft under Part 91, title 14, Code of Federal Regulations,
and make recommendations to streamline the processes and reduce
regulatory cost burdens and delays. The section sunsets the
program on the day the report is submitted to Congress. The
Administrator is directed to implement the recommendations of
the Task Force.
Section 608. Aircraft registration
This section directs the Administrator to initiate a
rulemaking to increase the duration of registration for
noncommercial GA aircraft to 10 years.
Section 609. Air transportation of lithium cells and batteries
This section directs the Secretary, in coordination with
appropriate federal agencies, to carry out cooperative efforts
to ensure shippers of lithium ion and lithium metal batteries
for air transport comply with ICAO Technical Instructions and
Hazardous Material Regulations in the United States and work
with appropriate federal agencies and international partners to
ensure enforcement of existing applicable regulations. The
section establishes the Lithium Ion Battery Safety Advisory
Committee to facilitate communications between manufacturers of
lithium ion cells and batteries, manufacturers whose products
incorporate such batteries, and the federal government on the
effectiveness and economic impacts of regulation of the
transportation of lithium ion cells and batteries. This section
requires a review of best practices for safe transportation of
these batteries and how to reduce the risk and safety threats
posed by the air transportation of undeclared hazardous
materials. The Advisory Committee will be comprised of industry
and government representatives appointed by the Secretary and
will terminate six years after the Committee has been
established.
This section also directs the Secretary, in consultation
with interested stakeholders, to submit to appropriate
Congressional Committees an evaluation of current practices for
packaging of lithium ion batteries and cells and any
suggestions to improve the packaging in a safe, efficient, and
cost effective manner. This section directs the Secretary to
harmonize the regulations of the United States regarding air
transport of lithium cells and batteries with ICAO technical
standards. It additionally directs the Secretary to issue a
limited exception on the restriction of the air transportation
of medical device batteries with specific parameters. Lastly,
this section establishes a policy for the DOT to support the
participation of industry in working groups associated with
ICAO addressing the safe air transportation of these batteries.
Section 610. Remote tower pilot program for rural or small communities
This section directs the Secretary to establish a remote
ATC tower pilot program to assess the benefits of such towers.
This section sets forth the criteria the Secretary, after
consultation with representatives of labor organizations
representing employees of the ATC system, must use in the
selection of sites where remote towers will be installed. The
section additionally directs the Secretary to convene safety
risk management panels for each remote tower site to review
best practices that have already been developed and to analyze
operational data from remote towers. This section requires that
the pilot program established be eligible for airport
improvement funding and that the Secretary establish a
repeatable process to help expand the program.
Section 611. Ensuring FAA readiness to provide seamless oceanic
operations
No later than September 30, 2018, this section requires the
Secretary to make a final investment decision on the
implementation of a reduced oceanic separation capability that
shall be operational by March 31, 2019.
Section 612. Sense of Congress regarding women in aviation
This section expresses the Sense of Congress on the
importance of the aviation industry encouraging and supporting
women pursuing careers in aviation.
Section 613. Obstruction evaluation aeronautical studies
This section requires the Secretary to pursue adoption of
the proposed policy titled ``Proposal to Consider the Impact of
One Engine Inoperative Procedures in Obstruction Evaluation
Aeronautical Studies'' only if the policy is treated as a
significant regulatory action pursuant to Executive Order
12866.
Section 614. Aircraft leasing
This section clarifies existing law to say an aircraft
lessor is only liable for losses and damages when the aircraft
is in operational control of said lessor.
Section 615. Report on obsolete test equipment
This section requires the Administrator to submit a report
on the National Test Equipment Program of the FAA to identify
obsolete test equipment and provide a plan to replace that
equipment no later than 180 days after the date of enactment.
Section 616. Retired military controllers
This section amends the current statutory hiring process
for air traffic controllers. It directs the Administrator to
establish a program that enables military controllers to be
considered for an original appointment to an air traffic
controller position when the individual: (1) is on terminal
leave pending retirement from active duty military or retired
from active duty military service within five years of applying
to the air traffic controller position; and (2) within five
years of applying to the air traffic controller position, has
held either an air traffic control specialist certification or
a facility rating.
Section 617. Pilots sharing flight expenses with passengers
This section requires the Secretary to issue advisory
guidance on how pilots can share flight expenses with other
passengers within the parameters of existing federal law.
Section 618. Aviation rulemaking committee for Part 135 pilot rest and
duty rules
This section establishes an aviation rulemaking committee
(ARC), which will be comprised of industry representatives,
labor organizations, and safety experts, to review and provide
recommendations on pilot rest and duty rules for Part 135
operations. It requires the Administrator to submit a report on
it findings and issue a notice of proposed rulemaking based on
the consensus recommendations of the ARC not later than one
year after submittal of the report to Congress. Because the men
and women who operate aircraft in this environment are most
affected by these rules on a day-to-day basis and have the most
direct knowledge of the limitations of current rules, the
Committee believes such an evaluation should include the
participation of Part 135/91k pilot labor from the largest
private aviation operator in the world.
Section 619. Metropolitan Washington Airports Authority
This section directs the DOT IG to conduct a study of the
Metropolitan Washington Airports Authority (MWAA) to determine
if MWAA has adopted previous DOT IG recommendations regarding
MWAA's Office of Audit.
Section 620. Terminal aerodrome forecast
This section directs the FAA to allow a Part 121 air
carrier operating in a noncontiguous state to conduct
operations to a destination in a noncontiguous state if certain
operational weather requirements are met. This section
clarifies flight rules for a non-contiguous state to ensure
Alaska receives available weather information, and intends that
without a written finding of necessity, based on objective
evidence of imminent threat to safety, the Administrator shall
not promulgate any Operation Specification, Policy or Guidance
Document that is more restrictive or requires procedures which
are not expressly stated in the regulations. Furthermore, when
operating in Alaska it is the intent of this provision to
include a variety of weather sources, including Modulated
Automated Weather Systems, when determining a visual flight
rule forecast for an airport or landing area in Alaska. Lastly,
it clarifies flight rules for a non-contiguous state to ensure
operators receive available weather information.
Section 621. Federal Aviation Administration employees stationed on
Guam
This section states the Sense of Congress that the
Administrator and the Secretary of Defense should seek an
agreement that would enable FAA employees stationed on Guam to
have access to DOD hospitals, commissaries, and exchanges in
Guam.
Section 622. Technical corrections
This section makes technical corrections to several
provisions contained in the FAA Modernization and Reform Act of
2012 and title 49, United States Code.
Section 623. Application of Veterans' Preference to Federal Aviation
Administration Personnel Management System
This section applies title 5 veterans' hiring preference to
the FAA.
Section 624. Public aircraft eligible for logging flight times
This section directs the Administrator to update current
regulations for logging of flight time to include aircraft
under operational control of forest fire protection agencies.
Section 625. Federal Aviation Administration workforce review
This section requires the Comptroller General to conduct a
review and develop recommendations to assess the long-term
workforce and training needs of the FAA. It additionally
requires that the review be conducted no later than 120 days
after the date of enactment, and requires a report to Congress
on the recommendations no later than 270 days after the date of
enactment.
Section 626. State taxation
This section clarifies existing law to ensure non-generally
applied taxes and fees generated at airports are wholly used
for airport or aeronautical purposes.
Section 627. Aviation and aerospace workforce of the future
This section expresses the Sense of Congress on how
important it is to ensure the prevalence of programs and career
pathway initiatives leading to employment in the aviation
sector.
Section 628. Future Aviation and Aerospace workforce study
This section requires the Comptroller General to conduct a
study on various factors and best practices influencing the
supply of young individuals in the aviation and aerospace
industry. Additionally, it requires the study be conducted no
later than 90 days after the date of enactment and that a
report be submitted to Congress no later than one year after
the date of enactment.
Section 629. FAA Leadership on Civil Supersonic Aircraft
This section requires the FAA to exercise leadership and
produce a report to Congress on the development of civil
supersonic aircraft. Additionally, it requires the
Administrator to submit the report to Congress no later than
one year after the date of enactment.
Section 630. Oklahoma registry office
This section directs the Administrator to consider the
FAA's aircraft registry office located in Oklahoma City,
Oklahoma, as excepted during a government shutdown or emergency
to ensure it remains open.
Section 631. Foreign Air Transportation Under United States--European
Union Air Transport Agreement
This section ensures that permits or exemptions issued by
the Secretary to foreign air carriers do not undermine any
labor standards and prevent market entry into the United States
by ``flag of convenience carriers.'' If an interested person
raises the applicability of Article 17 bis of the United
States-European Union Air Transport Agreement of 2007, the
Secretary would be prohibited from issuing a foreign air
carrier permit or exemption unless the Secretary finds issuance
would be consistent with Article 17 bis, and imposes additional
conditions on such permit or exemption to ensure compliance
with Article 17 bis. Also, the section adds to the necessary
required findings before the Secretary may issue a permit to a
foreign air carrier from any jurisdiction.
Section 632. Training on human trafficking for certain staff
This section extends existing training requirements
regarding human trafficking for flight attendants to other
frontline airline personnel. The personnel in this section
includes ticket counter agents, gate agents, and other
employees who engage in regular interaction with passengers.
Section 633. Part 107 Implementation improvements
This section gives the Administrator the authority to grant
a waiver to operate beyond visual line of sight, over people,
or at night for the purposes of transporting property. It
requires the Secretary to publish a direct final rule on the
expansion of waiver authority no later than 30 days after the
date of enactment.
Section 634. Part 107 Transparency and technology improvements
This section requires FAA to publish information on
approved small UAS waivers and airspace authorizations and
provide real time data on application status.
Section 635. Prohibitions against smoking on passenger flights
This section amends the statutory definition of smoking to
ban the use of e-cigarettes on commercial aircraft.
Section 636. Consumer protection requirements relating to large ticket
agents
This section requires the Secretary to issue a final rule,
no later than 90 days after the date of enactment, requiring
large ticket agents to adopt minimum customer service
standards. These standards include, issuing refunds for
optional fees, disclosing policies on cancellation, and
notifying passenger of itinerary changes, among others. This
section defines the term ``large ticket agent'' to mean a
ticket agent with an annual revenue of $100,000,000.00 or more.
Section 637. Agency procurement reporting requirements
This section requires the Secretary to submit a report on
the value of acquisitions made by the agency from entities that
manufacture supplies outside of the United States. The report
is required to indicate the dollar value of any materials or
supplies purchased that were manufactured outside the United
States as well as a summary of the total procurement of funds
spent on said goods compared to goods manufactured in the
United States. The report is required no later than 90 days
after the end of the fiscal year.
Section 638. Zero-emission vehicles and technology
This section reforms the FAA's Voluntary Airport Low
Emissions and Zero Emissions Vehicle Programs and clarifies
that airports have the option to use AIP or PFCs to fund
projects under those programs.
Section 639. Employee assault prevention and response plans
This section requires Part 121 air carriers, in
collaboration with the FAA, to establish employee assault
prevention and response plans. This section requires the plans
to be developed in consultation with the labor union
representing customer service agents. The section also directs
that the plans include reporting protocols for customer service
agents who have been assaulted, for notifying law enforcement,
and for informing federal law enforcement of certain
violations.
Section 640. Study on training of customer-facing air carrier employees
This section requires the Secretary to conduct a study on
training received by air carriers' customer-facing employees
and take appropriate actions to address any shortcomings in the
training by way of recommendations and, if determined
appropriate, other supplemental training. Additionally, it
requires the study to be conducted no later than 180 days after
the date of enactment, and a report to Congress no later than
one year thereafter.
Section 641. Minimum dimensions for passenger seats
This section requires the FAA to issue regulations
establishing minimum seat dimension standards on passenger
aircraft for the health and safety of airline passengers. These
regulations may only be established after a public notice and
opportunity for comment period.
Section 642. Study on ground transportation options
This section requires the Comptroller General to conduct a
study on ground transportation options to and from major
airports. The study should review the ground transportation
options at various airports and determine whether or not it is
appropriate to use AIP and PFC funds to address congestion
issues to airports.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italics, and existing law in which no
change is proposed is shown in roman):
TITLE 49, UNITED STATES CODE
Subtitle Sec.
Department of Transportation...................................101
* * * * * * *
American Air Navigation Services Corporation.................90101
SUBTITLE I--DEPARTMENT OF TRANSPORTATION
* * * * * * *
CHAPTER 1--ORGANIZATION
* * * * * * *
Sec. 106. Federal Aviation Administration
(a) The Federal Aviation Administration is an administration
in the Department of Transportation.
(b) The head of the Administration is the Administrator, who
shall be appointed by the President, by and with the advice and
consent of the Senate. When making an appointment, the
President shall consider the fitness of the individual to carry
out efficiently the duties and powers of the office. Except as
provided in subsection (f) or in other provisions of law, the
Administrator reports directly to the Secretary of
Transportation. The term of office for any individual appointed
as Administrator after August 23, 1994, shall be 5 years.
(c) The Administrator must--
(1) be a citizen of the United States;
(2) be a civilian; and
(3) have experience in a field directly related to
aviation.
(d)(1) The Administration has a Deputy Administrator, who
shall be appointed by the President. In making an appointment,
the President shall consider the fitness of the appointee to
efficiently carry out the duties and powers of the office. The
Deputy Administrator shall be a citizen of the United States
and have experience in a field directly related to aviation. An
officer on active duty in an armed force may be appointed as
Deputy Administrator. However, if the Administrator is a former
regular officer of an armed force, the Deputy Administrator may
not be an officer on active duty in an armed force, a retired
regular officer of an armed force, or a former regular officer
of an armed force.
(2) The annual rate of basic pay of the Deputy Administrator
shall be set by the Secretary but shall not exceed the annual
rate of basic pay payable to the Administrator of the Federal
Aviation Administration.
(3) An officer on active duty or a retired officer serving as
Deputy Administrator is entitled to hold a rank and grade not
lower than that held when appointed as Deputy Administrator.
The Deputy Administrator may elect to receive (A) the pay
provided by law for the Deputy Administrator, or (B) the pay
and allowances or the retired pay of the military grade held.
If the Deputy Administrator elects to receive the military pay
and allowances or retired pay, the Administration shall
reimburse the appropriate military department from funds
available for the expenses of the Administration.
(4) The appointment and service of a member of the armed
forces as a Deputy Administrator does not affect the status,
office, rank, or grade held by that member, or a right or
benefit arising from the status, office, rank, or grade. The
Secretary of a military department does not control the member
when the member is carrying out duties and powers of the Deputy
Administrator.
(e) The Administrator and the Deputy Administrator may not
have a pecuniary interest in, or own stock in or bonds of, an
aeronautical enterprise, or engage in another business,
vocation, or employment.
(f) Authority of the Secretary and the Administrator.--
(1) Authority of the Secretary.--Except as provided
in paragraph (2), the Secretary of Transportation shall
carry out the duties and powers, and controls the
personnel and activities, of the Administration.
Neither the Secretary nor the Administrator may submit
decisions for the approval of, or be bound by the
decisions or recommendations of, a committee, board, or
organization established by executive order.
(2) Authority of the Administrator.--The
Administrator--
(A) is the final authority for carrying out
all functions, powers, and duties of the
Administration relating to--
(i) the appointment and employment of
all officers and employees of the
Administration (other than Presidential
and political appointees);
(ii) the acquisition and maintenance
of property, services, and equipment of
the Administration;
(iii) except as otherwise provided in
paragraph (3), the promulgation of
regulations, rules, orders, circulars,
bulletins, and other official
publications of the Administration; and
(iv) any obligation imposed on the
Administrator, or power conferred on
the Administrator, by the Air Traffic
Management System Performance
Improvement Act of 1996 (or any
amendment made by that Act);
(B) shall offer advice and counsel to the
President with respect to the appointment and
qualifications of any officer or employee of
the Administration to be appointed by the
President or as a political appointee;
(C) may delegate, and authorize successive
redelegations of, to an officer or employee of
the Administration any function, power, or duty
conferred upon the Administrator, unless such
delegation is prohibited by law; and
(D) except as otherwise provided for in this
title, and notwithstanding any other provision
of law, shall not be required to coordinate,
submit for approval or concurrence, or seek the
advice or views of the Secretary or any other
officer or employee of the Department of
Transportation on any matter with respect to
which the Administrator is the final authority.
(3) Regulations.--
(A) In general.--In the performance of the
functions of the Administrator and the
Administration, the Administrator is authorized
to issue, rescind, and revise such regulations
as are necessary to carry out those functions.
The issuance of such regulations shall be
governed by the provisions of chapter 5 of
title 5. The Administrator shall act upon all
petitions for rulemaking no later than 6 months
after the date such petitions are filed by
dismissing such petitions, by informing the
petitioner of an intention to dismiss, or by
issuing a notice of proposed rulemaking or
advanced notice of proposed rulemaking. The
Administrator shall issue a final regulation,
or take other final action, not later than 16
months after the last day of the public comment
period for the regulations or, in the case of
an advanced notice of proposed rulemaking, if
issued, not later than 24 months after the date
of publication in the Federal Register of
notice of the proposed rulemaking. On February
1 and August 1 of each year the Administrator
shall submit to the Committee on Transportation
and Infrastructure of the House of
Representatives and the Committee on Commerce,
Science, and Transportation of the Senate a
letter listing each deadline the Administrator
missed under this subparagraph during the 6-
month period ending on such date, including an
explanation for missing the deadline and a
projected date on which the action that was
subject to the deadline will be taken.
(B) Approval of Secretary of
Transportation.--(i) The Administrator may not
issue a proposed regulation or final regulation
that is likely to result in the expenditure by
State, local, and tribal governments in the
aggregate, or by the private sector, of
$250,000,000 or more (adjusted annually for
inflation beginning with the year following the
date of the enactment of the Wendell H. Ford
Aviation Investment and Reform Act for the 21st
Century) in any year, or any regulation which
is significant, unless the Secretary of
Transportation approves the issuance of the
regulation in advance. For purposes of this
paragraph, a regulation is significant if the
Administrator, in consultation with the
Secretary (as appropriate), determines that the
regulation is likely to--
(I) have an annual effect on the
economy of $250,000,000 or more or
adversely affect in a substantial and
material way the economy, a sector of
the economy, productivity, competition,
jobs, the environment, public health or
safety, or State, local, or tribal
governments or communities; or
(II) raise novel or significant legal
or policy issues arising out of legal
mandates that may substantially and
materially affect other transportation
modes.
(ii) In an emergency, the Administrator may
issue a regulation described in clause (i)
without prior approval by the Secretary, but
any such emergency regulation is subject to
ratification by the Secretary after it is
issued and shall be rescinded by the
Administrator within 5 days (excluding
Saturdays, Sundays, and legal public holidays)
after issuance if the Secretary fails to ratify
its issuance.
(iii) Any regulation that does not meet the
criteria of clause (i), and any regulation or
other action that is a routine or frequent
action or a procedural action, may be issued by
the Administrator without review or approval by
the Secretary.
(iv) The Administrator shall submit a copy of
any regulation requiring approval by the
Secretary under clause (i) to the Secretary,
who shall either approve it or return it to the
Administrator with comments within 45 days
after receiving it.
(C) Periodic review.--(i) Beginning on the
date which is 3 years after the date of the
enactment of the Air Traffic Management System
Performance Improvement Act of 1996, the
Administrator shall review any unusually
burdensome regulation issued by the
Administrator after such date of enactment
beginning not later than 3 years after the
effective date of the regulation to determine
if the cost assumptions were accurate, the
benefit of the regulations, and the need to
continue such regulations in force in their
present form.
(ii) The Administrator may identify for
review under the criteria set forth in clause
(i) unusually burdensome regulations that were
issued before the date of the enactment of the
Air Traffic Management System Performance
Improvement Act of 1996 and that have been in
force for more than 3 years.
(iii) For purposes of this subparagraph, the
term ``unusually burdensome regulation'' means
any regulation that results in the annual
expenditure by State, local, and tribal
governments in the aggregate, or by the private
sector, of $25,000,000 or more (adjusted
annually for inflation beginning with the year
following the date of the enactment of the Air
Traffic Management System Performance Act of
1996) in any year.
(iv) The periodic review of regulations may
be performed by advisory committees and the
Management Advisory Council established under
subsection (p).
(4) Definition of political appointee.--For purposes
of this subsection, the term ``political appointee''
means any individual who--
(A) is employed in a position listed in
sections 5312 through 5316 of title 5 (relating
to the Executive Schedule);
(B) is a limited term appointee, limited
emergency appointee, or noncareer appointee in
the Senior Executive Service, as defined under
paragraphs (5), (6), and (7), respectively, of
section 3132(a) of title 5; or
(C) is employed in a position in the
executive branch of the Government of a
confidential or policy-determining character
under schedule C of subpart C of part 213 of
title 5 of the Code of Federal Regulations.
(g) Duties and Powers of Administrator.--(1) Except as
provided in paragraph (2) of this subsection, the Administrator
shall carry out--
(A) duties and powers of the Secretary of
Transportation under subsection (f) of this section
related to aviation safety (except those related to
transportation, packaging, marking, or description of
hazardous material) and stated in sections 308(b),
1132(c) and (d), 40101(c), 40103(b), 40106(a), 40108,
40109(b), 40113(a), 40113(c), 40113(d), 40113(e),
40114(a), and 40119, chapter 445 (except sections
44501(b), 44502(a)(2), 44502(a)(3), 44502(a)(4), 44503,
44506, 44509, 44510, 44514, and 44515), chapter 447
(except sections 44717, 44718(a), 44718(b), 44719,
44720, 44721(b), 44722, and 44723), chapter 449 (except
sections 44903(d), 44904, 44905, 44907-44911, 44913,
44915, and 44931-44934), chapter 451, chapter 453,
sections 46104, 46301(d) and (h)(2), 46303(c), 46304-
46308, 46310, 46311, and 46313-46316, chapter 465, and
sections 47504(b) (related to flight procedures),
47508(a), and 48107 of this title; and
(B) additional duties and powers prescribed by the
Secretary of Transportation.
(2) In carrying out sections 40119, 44901, 44903(a)-(c) and
(e), 44906, 44912, 44935-44937, 44938(a) and (b), and 48107 of
this title, paragraph (1)(A) of this subsection does not apply
to duties and powers vested in the Director of Intelligence and
Security by section 44931 of this title.
(h) Section 40101(d) of this title applies to duties and
powers specified in subsection (g)(1) of this section. Any of
those duties and powers may be transferred to another part of
the Department only when specifically provided by law or a
reorganization plan submitted under chapter 9 of title 5. A
decision of the Administrator in carrying out those duties or
powers is administratively final.
(i) The Deputy Administrator shall carry out duties and
powers prescribed by the Administrator. The Deputy
Administrator acts for the Administrator when the Administrator
is absent or unable to serve, or when the office of the
Administrator is vacant.
(j) There is established within the Federal Aviation
Administration an institute to conduct civil aeromedical
research under section 44507 of this title. Such institute
shall be known as the ``Civil Aeromedical Institute''. Research
conducted by the institute should take appropriate advantage of
capabilities of other government agencies, universities, or the
private sector.
(k) Authorization of Appropriations for Operations.--
(1) Salaries, operations, and maintenance from
general fund._There is authorized to be appropriated to
the Secretary of Transportation for salaries,
operations, and maintenance of the Administration--
[(A) $9,653,000,000 for fiscal year 2012;
[(B) $9,539,000,000 for fiscal year 2013;
[(C) $9,596,000,000 for fiscal year 2014;
[(D) $9,653,000,000 for fiscal year 2015; and
[(E) $9,909,724,000 for each of fiscal years
2016 and 2017.]
(A) $2,059,000,000 for fiscal year 2018;
(B) $2,126,000,000 for fiscal year 2019;
(C) $2,197,000,000 for fiscal year 2020;
(D) $1,957,000,000 for fiscal year 2021;
(E) $2,002,000,000 for fiscal year 2022; and
(F) $2,047,000,000 for fiscal year 2023.
Such sums shall remain available until expended.
[(2) Authorized expenditures.--Out of amounts
appropriated under paragraph (1), the following
expenditures are authorized:
[(A) Such sums as may be necessary for fiscal
years 2012 through 2015 to carry out and expand
the Air Traffic Control Collegiate Training
Initiative.
[(B) Such sums as may be necessary for fiscal
years 2012 through 2015 for the completion of
the Alaska aviation safety project with respect
to the 3 dimensional mapping of Alaska's main
aviation corridors.
[(C) Such sums as may be necessary for fiscal
years 2012 through 2015 to carry out the
Aviation Safety Reporting System and the
development and maintenance of helicopter
approach procedures.]
(2) Salaries, operations, and maintenance from
airport and airway trust fund.--There is authorized to
be appropriated to the Secretary out of the Airport and
Airway Trust Fund established under section 9502 of the
Internal Revenue Code of 1986 for salaries, operations,
and maintenance of the Administration--
(A) $8,073,000,000 for fiscal year 2018;
(B) $8,223,000,000 for fiscal year 2019; and
(C) $8,374,000,000 for fiscal year 2020.
(3) Administering program within available funding.--
Notwithstanding any other provision of law, in each of
[fiscal years 2012 through 2017] fiscal years 2018
through 2020, if the Secretary determines that the
funds appropriated under [paragraph (1)] paragraphs (1)
and (2) are insufficient to meet the salary,
operations, and maintenance expenses of the Federal
Aviation Administration, as authorized by this section,
the Secretary shall reduce nonsafety-related activities
of the Administration as necessary to reduce such
expenses to a level that can be met by the funding
available under [paragraph (1)] paragraphs (1) and (2)
(l) Personnel and Services.--
(1) Officers and employees.--Except as provided in
subsections (a) and (g) of section 40122, the
Administrator is authorized, in the performance of the
functions of the Administrator, to appoint, transfer,
and fix the compensation of such officers and
employees, including attorneys, as may be necessary to
carry out the functions of the Administrator and the
Administration. In fixing compensation and benefits of
officers and employees, the Administrator shall not
engage in any type of bargaining, except to the extent
provided for in section 40122(a), nor shall the
Administrator be bound by any requirement to establish
such compensation or benefits at particular levels.
(2) Experts and consultants.--The Administrator is
authorized to obtain the services of experts and
consultants in accordance with section 3109 of title 5.
(3) Transportation and per diem expenses.--The
Administrator is authorized to pay transportation
expenses, and per diem in lieu of subsistence expenses,
in accordance with chapter 57 of title 5.
(4) Use of personnel from other agencies.--The
Administrator is authorized to utilize the services of
personnel of any other Federal agency (as such term is
defined under section 551(1) of title 5).
(5) Voluntary services.--
(A) General rule.--In exercising the
authority to accept gifts and voluntary
services under section 326 of this title, and
without regard to section 1342 of title 31, the
Administrator may not accept voluntary and
uncompensated services if such services are
used to displace Federal employees employed on
a full-time, part-time, or seasonal basis.
(B) Incidental expenses.--The Administrator
is authorized to provide for incidental
expenses, including transportation, lodging,
and subsistence, for volunteers who provide
voluntary services under this subsection.
(C) Limited treatment as federal employees.--
An individual who provides voluntary services
under this subsection shall not be considered a
Federal employee for any purpose other than for
purposes of chapter 81 of title 5, relating to
compensation for work injuries, and chapter 171
of title 28, relating to tort claims.
(6) Contracts.--The Administrator is authorized to
enter into and perform such contracts, leases,
cooperative agreements, or other transactions as may be
necessary to carry out the functions of the
Administrator and the Administration. The Administrator
may enter into such contracts, leases, cooperative
agreements, and other transactions with any Federal
agency (as such term is defined in section 551(1) of
title 5) or any instrumentality of the United States,
any State, territory, or possession, or political
subdivision thereof, any other governmental entity, or
any person, firm, association, corporation, or
educational institution, on such terms and conditions
as the Administrator may consider appropriate.
(m) Cooperation by Administrator.--With the consent of
appropriate officials, the Administrator may, with or without
reimbursement, use or accept the services, equipment,
personnel, and facilities of any other Federal agency (as such
term is defined in section 551(1) of title 5) and any other
public or private entity. The Administrator may also cooperate
with appropriate officials of other public and private agencies
and instrumentalities concerning the use of services,
equipment, personnel, and facilities. The head of each Federal
agency shall cooperate with the Administrator in making the
services, equipment, personnel, and facilities of the Federal
agency available to the Administrator. The head of a Federal
agency is authorized, notwithstanding any other provision of
law, to transfer to or to receive from the Administration, with
or without reimbursement, supplies, personnel, services, and
equipment other than administrative supplies or equipment.
(n) Acquisition.--
(1) In general.--The Administrator is authorized--
(A) to acquire (by purchase, lease,
condemnation, or otherwise), construct,
improve, repair, operate, and maintain--
(i) air traffic control facilities
and equipment;
(ii) research and testing sites and
facilities; and
(iii) such other real and personal
property (including office space and
patents), or any interest therein,
within and outside the continental
United States as the Administrator
considers necessary;
(B) to lease to others such real and personal
property; and
(C) to provide by contract or otherwise for
eating facilities and other necessary
facilities for the welfare of employees of the
Administration at the installations of the
Administration, and to acquire, operate, and
maintain equipment for these facilities.
(2) Title.--Title to any property or interest therein
acquired pursuant to this subsection shall be held by
the Government of the United States.
(o) Transfers of Funds.--The Administrator is authorized to
accept transfers of unobligated balances and unexpended
balances of funds appropriated to other Federal agencies (as
such term is defined in section 551(1) of title 5) to carry out
functions transferred by law to the Administrator or functions
transferred pursuant to law to the Administrator on or after
the date of the enactment of the Air Traffic Management System
Performance Improvement Act of 1996.
(p) Management Advisory Council and Air Traffic Services
Board.--
(1) Establishment.--Within 3 months after the date of
the enactment of the Air Traffic Management System
Performance Improvement Act of 1996, the Administrator
shall establish an advisory council which shall be
known as the Federal Aviation Management Advisory
Council (in this subsection referred to as the
``Council''). With respect to Administration
management, policy, spending, funding, and regulatory
matters affecting the aviation industry, the Council
may submit comments, recommended modifications, and
dissenting views to the Administrator. The
Administrator shall include in any submission to
Congress, the Secretary, or the general public, and in
any submission for publication in the Federal Register,
a description of the comments, recommended
modifications, and dissenting views received from the
Council, together with the reasons for any differences
between the views of the Council and the views or
actions of the Administrator.
(2) Membership.--The Council shall consist of 13
members, who shall consist of--
(A) a designee of the Secretary of
Transportation;
(B) a designee of the Secretary of Defense;
(C) 10 members representing aviation
interests, appointed by--
(i) in the case of initial
appointments to the Council, the
President by and with the advice and
consent of the Senate, except that
initial appointments made after May 1,
2003, shall be made by the Secretary of
Transportation; and
(ii) in the case of subsequent
appointments to the Council, the
Secretary of Transportation; and
(D) 1 member appointed, from among
individuals who are the leaders of their
respective unions of air traffic control system
employees, by the Secretary of Transportation.
(3) Qualifications.--No officer or employee of the
United States Government may be appointed to the
Council under paragraph (2)(C) or to the Air Traffic
Services Committee.
(4) Functions.--
(A) In general.--(i) The Council shall
provide advice and counsel to the Administrator
on issues which affect or are affected by the
operations of the Administrator. The Council
shall function as an oversight resource for
management, policy, spending, and regulatory
matters under the jurisdiction of the
Administration.
(ii) The Council shall review the rulemaking
cost-benefit analysis process and develop
recommendations to improve the analysis and
ensure that the public interest is fully
protected.
(iii) The Council shall review the process
through which the Administration determines to
use advisory circulars and service bulletins.
(B) Meetings.--The Council shall meet on a
regular and periodic basis or at the call of
the chairman or of the Administrator.
(C) Access to documents and staff.--The
Administration may give the Council or Air
Traffic Services Committee appropriate access
to relevant documents and personnel of the
Administration, and the Administrator shall
make available, consistent with the authority
to withhold commercial and other proprietary
information under section 552 of title 5
(commonly known as the ``Freedom of Information
Act''), cost data associated with the
acquisition and operation of air traffic
service systems. Any member of the Council or
Air Traffic Services Committee who receives
commercial or other proprietary data from the
Administrator shall be subject to the
provisions of section 1905 of title 18,
pertaining to unauthorized disclosure of such
information.
(5) Federal Advisory Committee Act not to apply.--The
Federal Advisory Committee Act (5 U.S.C. App.) does not
apply to the Council, the Air Traffic Services
Committee, or such aviation rulemaking committees as
the Administrator shall designate.
(6) Administrative matters.--
(A) Terms of members appointed under
paragraph (2)(c).--Members of the Council
appointed under paragraph (2)(C) shall be
appointed for a term of 3 years. Of the members
first appointed by the President under
paragraph (2)(C)--
(i) 3 shall be appointed for terms of
1 year;
(ii) 4 shall be appointed for terms
of 2 years; and
(iii) 3 shall be appointed for terms
of 3 years.
(B) Term for air traffic control
representative.--The member appointed under
paragraph (2)(D) shall be appointed for a term
of 3 years, except that the term of such
individual shall end whenever the individual no
longer meets the requirements of paragraph
(2)(D).
(C) Terms for Air Traffic Services Committee
members.--The members appointed to the Air
Traffic Services Committee shall be appointed
for a term of 5 years, except that the first
members of the Committee shall be the members
of the Air Traffic Services Subcommittee of the
Council on the day before the date of enactment
of the Vision 100--Century of Aviation
Reauthorization Act who shall serve in an
advisory capacity until such time as the
President appoints the members of the Committee
under paragraph (7).
(D) Reappointment.--An individual may not be
appointed to the Committee to more than two 5-
year terms.
(E) Vacancy.--Any vacancy on the Council or
Committee shall be filled in the same manner as
the original appointment, except that any
vacancy caused by a member appointed by the
President under paragraph (2)(C)(i) shall be
filled by the Secretary in accordance with
paragraph (2)(C)(ii). Any member appointed to
fill a vacancy occurring before the expiration
of the term for which the member's predecessor
was appointed shall be appointed for the
remainder of that term.
(F) Continuation in office.--A member of the
Council or Committee whose term expires shall
continue to serve until the date on which the
member's successor takes office.
(G) Removal.--Any member of the Council
appointed under paragraph (2)(D) may be removed
for cause by the President or Secretary whoever
makes the appointment. Any member of the
Committee may be removed for cause by the
Secretary.
(H) Claims against members of Committee.--
(i) In general.--A member appointed
to the Committee shall have no personal
liability under Federal law with
respect to any claim arising out of or
resulting from an act or omission by
such member within the scope of service
as a member of the Committee.
(ii) Effect on other law.--This
subparagraph shall not be construed--
(I) to affect any other
immunity or protection that may
be available to a member of the
Subcommittee under applicable
law with respect to such
transactions;
(II) to affect any other
right or remedy against the
United States under applicable
law; or
(III) to limit or alter in
any way the immunities that are
available under applicable law
for Federal officers and
employees.
(I) Ethical considerations.--
(i) Financial disclosure.--During the
entire period that an individual is
serving as a member of the Committee,
such individual shall be treated as
serving as an officer or employee
referred to in section 101(f) of the
Ethics in Government Act of 1978 for
purposes of title I of such Act; except
that section 101(d) of such Act shall
apply without regard to the number of
days of service in the position.
(ii) Restrictions on post-
employment.--For purposes of section
207(c) of title 18, an individual who
is a member of the Committee shall be
treated as an employee referred to in
section 207(c)(2)(A)(i) of such title
during the entire period the individual
is a member of the Committee; except
that subsections (c)(2)(B) and (f) of
section 207 of such title shall not
apply.
(J) Chairman; vice chairman.--The Council
shall elect a chair and a vice chair from among
the members appointed under paragraph (2)(C),
each of whom shall serve for a term of 1 year.
The vice chair shall perform the duties of the
chairman in the absence of the chairman.
(K) Travel and per diem.--Each member of the
Council or Committee shall be paid actual
travel expenses, and per diem in lieu of
subsistence expenses when away from his or her
usual place of residence, in accordance with
section 5703 of title 5.
(L) Detail of personnel from the
administration.--The Administrator shall make
available to the Council or Committee such
staff, information, and administrative services
and assistance as may reasonably be required to
enable the Council or Committee to carry out
its responsibilities under this subsection.
(7) Air Traffic Services Committee.--
(A) Establishment.--The Administrator shall
establish a committee that is independent of
the Council by converting the Air Traffic
Services Subcommittee of the Council, as in
effect on the day before the date of enactment
of the Vision 100--Century of Aviation
Reauthorization Act, into such committee. The
committee shall be known as the Air Traffic
Services Committee (in this subsection referred
to as the ``Committee'').
(B) Membership and qualifications.--Subject
to paragraph (6)(C), the Committee shall
consist of five members, one of whom shall be
the Administrator and shall serve as
chairperson. The remaining members shall be
appointed by the President with the advice and
consent of the Senate and--
(i) shall have a fiduciary
responsibility to represent the public
interest;
(ii) shall be citizens of the United
States; and
(iii) shall be appointed without
regard to political affiliation and
solely on the basis of their
professional experience and expertise
in one or more of the following areas
and, in the aggregate, should
collectively bring to bear expertise in
all of the following areas:
(I) Management of large
service organizations.
(II) Customer service.
(III) Management of large
procurements.
(IV) Information and
communications technology.
(V) Organizational
development.
(VI) Labor relations.
(C) Prohibitions on members of Committee.--No
member of the Committee may--
(i) have a pecuniary interest in, or
own stock in or bonds of, an aviation
or aeronautical enterprise, except an
interest in a diversified mutual fund
or an interest that is exempt from the
application of section 208 of title 18;
(ii) engage in another business
related to aviation or aeronautics; or
(iii) be a member of any organization
that engages, as a substantial part of
its activities, in activities to
influence aviation-related legislation.
(D) General responsibilities.--
(i) Oversight.--The Committee shall
oversee the administration, management,
conduct, direction, and supervision of
the air traffic control system.
(ii) Confidentiality.--The Committee
shall ensure that appropriate
confidentiality is maintained in the
exercise of its duties.
(E) Specific responsibilities.--The Committee
shall have the following specific
responsibilities:
(i) Strategic plans.--To review,
approve, and monitor the strategic plan
for the air traffic control system,
including the establishment of--
(I) a mission and objectives;
(II) standards of performance
relative to such mission and
objectives, including safety,
efficiency, and productivity;
and
(III) annual and long-range
strategic plans.
(ii) Modernization and improvement.--
To review and approve--
(I) methods to accelerate air
traffic control modernization
and improvements in aviation
safety related to air traffic
control; and
(II) procurements of air
traffic control equipment in
excess of $100,000,000.
(iii) Operational plans.--To review
the operational functions of the air
traffic control system, including--
(I) plans for modernization
of the air traffic control
system;
(II) plans for increasing
productivity or implementing
cost-saving measures; and
(III) plans for training and
education.
(iv) Management.--To--
(I) review and approve the
Administrator's appointment of
a Chief Operating Officer under
section 106(r);
(II) review the
Administrator's selection,
evaluation, and compensation of
senior executives of the
Administration who have program
management responsibility over
significant functions of the
air traffic control system;
(III) review and approve the
Administrator's plans for any
major reorganization of the
Administration that would
impact on the management of the
air traffic control system;
(IV) review and approve the
Administrator's cost accounting
and financial management
structure and technologies to
help ensure efficient and cost-
effective air traffic control
operation; and
(V) review the performance
and compensation of managers
responsible for major
acquisition projects, including
the ability of the managers to
meet schedule and budget
targets.
(v) Budget.--To--
(I) review and make
recommendations on the budget
request of the Administration
related to the air traffic
control system prepared by the
Administrator;
(II) submit such budget
recommendations to the
Secretary; and
(III) base such budget
recommendations on the annual
and long-range strategic plans.
(F) Committee personnel matters and
expenses.--
(i) Personnel matters.--The Committee
may appoint and terminate for purposes
of employment by the Committee any
personnel that may be necessary to
enable the Committee to perform its
duties, and may procure temporary and
intermittent services under section
40122.
(ii) Travel expenses.--Each member of
the Committee shall receive travel
expenses, including per diem in lieu of
subsistence, in accordance with
applicable provisions under subchapter
I of chapter 57 of title 5, United
States Code.
(G) Administrative matters.--
(i) Powers of chair.--Except as
otherwise provided by a majority vote
of the Committee, the powers of the
chairperson shall include--
(I) establishing committees;
(II) setting meeting places
and times;
(III) establishing meeting
agendas; and
(IV) developing rules for the
conduct of business.
(ii) Meetings.--The Committee shall
meet at least quarterly and at such
other times as the chairperson
determines appropriate.
(iii) Quorum.--Three members of the
Committee shall constitute a quorum. A
majority of members present and voting
shall be required for the Committee to
take action.
(H) Authorization.--There are authorized to
be appropriated to the Committee such sums as
may be necessary for the Committee to carry out
its activities.
(I) Sunset.--The Committee shall terminate
and this paragraph shall cease to be effective
beginning on the date of transfer (as defined
in section 90101(a)).
(8) Air traffic control system defined.--In this
section, the term ``air traffic control system'' has
the meaning such term has under section 40102(a).
(9) Sunset of air traffic advisory role.--Beginning
on the date of transfer (as defined in section
90101(a)), the Council shall not develop or submit
comments, recommended modifications, or dissenting
views directly regarding the American Air Navigation
Services Corporation or air traffic services.
(q) Aircraft Noise Ombudsman.--
(1) Establishment.--There shall be in the
Administration an Aircraft Noise Ombudsman.
(2) General duties and responsibilities.--The
Ombudsman shall--
(A) be appointed by the Administrator;
(B) serve as a liaison with the public on
issues regarding aircraft noise; and
(C) be consulted when the Administration
proposes changes in aircraft routes so as to
minimize any increases in aircraft noise over
populated areas.
(3) Number of full-time equivalent employees.--The
appointment of an Ombudsman under this subsection shall
not result in an increase in the number of full-time
equivalent employees in the Administration.
(r) Chief Operating Officer.--
(1) In general.--
(A) Appointment.--There shall be a Chief
Operating Officer for the air traffic control
system to be appointed by the Administrator,
with the approval of the Air Traffic Services
Committee. The Chief Operating Officer shall
report directly to the Administrator and shall
be subject to the authority of the
Administrator.
(B) Qualifications.--The Chief Operating
Officer shall have a demonstrated ability in
management and knowledge of or experience in
aviation.
(C) Term.--The Chief Operating Officer shall
be appointed for a term of 5 years.
(D) Removal.--The Chief Operating Officer
shall serve at the pleasure of the
Administrator, except that the Administrator
shall make every effort to ensure stability and
continuity in the leadership of the air traffic
control system.
(E) Vacancy.--Any individual appointed to
fill a vacancy in the position of Chief
Operating Officer occurring before the
expiration of the term for which the
individual's predecessor was appointed shall be
appointed for the remainder of that term.
(2) Compensation.--
(A) In general.--The Chief Operating Officer
shall be paid at an annual rate of basic pay to
be determined by the Administrator, with the
approval of the Air Traffic Services Committee.
The annual rate may not exceed the annual
compensation paid under section 102 of title 3.
The Chief Operating Officer shall be subject to
the post-employment provisions of section 207
of title 18 as if the position of Chief
Operating Officer were described in section
207(c)(2)(A)(i) of that title.
(B) Bonus.--In addition to the annual rate of
basic pay authorized by subparagraph (A), the
Chief Operating Officer may receive a bonus for
any calendar year not to exceed 30 percent of
the annual rate of basic pay, based upon the
Administrator's evaluation of the Chief
Operating Officer's performance in relation to
the performance goals set forth in the
performance agreement described in paragraph
(3).
(3) Annual performance agreement.--The Administrator
and the Chief Operating Officer, in consultation with
the Air Traffic Services Committee, shall enter into an
annual performance agreement that sets forth measurable
organization and individual goals for the Chief
Operating Officer in key operational areas. The
agreement shall be subject to review and renegotiation
on an annual basis.
(4) Annual performance report.--The Chief Operating
Officer shall prepare and transmit to the Secretary of
Transportation, the Committee on Transportation and
Infrastructure of the House of Representatives, and the
Committee on Commerce, Science, and Transportation of
the Senate an annual management report containing such
information as may be prescribed by the Secretary.
(5) Responsibilities.--The Administrator may delegate
to the Chief Operating Officer, or any other authority
within the Administration responsibilities, including
the following:
(A) Strategic plans.--To implement the
strategic plan of the Administration for the
air traffic control system in order to
further--
(i) a mission and objectives;
(ii) standards of performance
relative to such mission and
objectives, including safety,
efficiency, and productivity;
(iii) annual and long-range strategic
plans; and
(iv) methods of the Administration to
accelerate air traffic control
modernization and improvements in
aviation safety related to air traffic
control.
(B) Operations.--To oversee the day-to-day
operational functions of the Administration for
air traffic control, including--
(i) modernization of the air traffic
control system;
(ii) increasing productivity or
implementing cost-saving measures;
(iii) training and education; and
(iv) the management of cost-
reimbursable contracts.
(C) Budget.--To--
(i) develop a budget request of the
Administration related to the air
traffic control system;
(ii) submit such budget request to
the Administrator and the Committee;
and
(iii) ensure that the budget request
supports the agency's annual and long-
range strategic plans for air traffic
control services.
(6) Sunset.--The position of Chief Operating Officer
shall terminate and this subsection shall cease to be
effective beginning on the date of transfer (as defined
in section 90101(a)).
(s) Chief NextGen Officer.--
(1) In general.--
(A) Appointment.--There shall be a Chief
NextGen Officer appointed by the Administrator,
with the approval of the Secretary. The Chief
NextGen Officer shall report directly to the
Administrator and shall be subject to the
authority of the Administrator.
(B) Qualifications.--The Chief NextGen
Officer shall have a demonstrated ability in
management and knowledge of or experience in
aviation and systems engineering.
(C) Term.--The Chief NextGen Officer shall be
appointed for a term of 5 years.
(D) Removal.--The Chief NextGen Officer shall
serve at the pleasure of the Administrator,
except that the Administrator shall make every
effort to ensure stability and continuity in
the leadership of the implementation of
NextGen.
(E) Vacancy.--Any individual appointed to
fill a vacancy in the position of Chief NextGen
Officer occurring before the expiration of the
term for which the individual's predecessor was
appointed shall be appointed for the remainder
of that term.
(2) Compensation.--
(A) In general.--The Chief NextGen Officer
shall be paid at an annual rate of basic pay to
be determined by the Administrator. The annual
rate may not exceed the annual compensation
paid under section 102 of title 3. The Chief
NextGen Officer shall be subject to the
postemployment provisions of section 207 of
title 18 as if the position of Chief NextGen
Officer were described in section
207(c)(2)(A)(i) of that title.
(B) Bonus.--In addition to the annual rate of
basic pay authorized by subparagraph (A), the
Chief NextGen Officer may receive a bonus for
any calendar year not to exceed 30 percent of
the annual rate of basic pay, based upon the
Administrator's evaluation of the Chief NextGen
Officer's performance in relation to the
performance goals set forth in the performance
agreement described in paragraph (3).
(3) Annual performance agreement.--The Administrator
and the Chief NextGen Officer, in consultation with the
Federal Aviation Management Advisory Council, shall
enter into an annual performance agreement that sets
forth measurable organization and individual goals for
the Chief NextGen Officer in key operational areas. The
agreement shall be subject to review and renegotiation
on an annual basis. In evaluating the performance of
the Chief NextGen Officer, the Administrator shall
consider the progress made in meeting the near-term
NextGen performance goals required pursuant to section
242 of the 21st Century AIRR Act and delivering near-
term NextGen benefits.
(4) Annual performance report.--The Chief NextGen
Officer shall prepare and transmit to the Secretary of
Transportation, the Committee on Transportation and
Infrastructure of the House of Representatives, the
Committee on Science, Space, and Technology of the
House of Representatives, and the Committee on
Commerce, Science, and Transportation of the Senate an
annual management report containing such information as
may be prescribed by the Secretary.
(5) Responsibilities.--The responsibilities of the
Chief NextGen Officer include the following:
(A) Implementing NextGen activities and
budgets across all program offices of the
Federal Aviation Administration.
(B) Coordinating the implementation of
NextGen activities with the Office of
Management and Budget.
(C) Reviewing and providing advice on the
Administration's modernization programs,
budget, and cost accounting system with respect
to NextGen.
(D) With respect to the budget of the
Administration--
(i) developing a budget request of
the Administration related to the
implementation of NextGen;
(ii) submitting such budget request
to the Administrator; and
(iii) ensuring that the budget
request supports the annual and long-
range strategic plans of the
Administration with respect to NextGen.
(E) Consulting with the Administrator on the
Capital Investment Plan of the Administration
prior to its submission to Congress.
(F) Developing an annual NextGen
implementation plan.
(G) Ensuring that NextGen implementation
activities are planned in such a manner as to
require that system architecture is designed to
allow for the incorporation of novel and
currently unknown technologies into NextGen in
the future and that current decisions do not
bias future decisions unfairly in favor of
existing technology at the expense of
innovation.
(H) Coordinating with the NextGen Joint
Planning and Development Office with respect to
facilitating cooperation among all Federal
agencies whose operations and interests are
affected by the implementation of NextGen.
(I) Developing, as part of the annual report
required under paragraph (4), a description of
the progress made in meeting the near-term
NextGen performance goals required pursuant to
section 242 of the 21st Century AIRR Act and
delivering near-term NextGen benefits.
(6) Exception.--If the Administrator appoints as the
Chief NextGen Officer, pursuant to paragraph (1)(A), an
Executive Schedule employee covered by section 5315 of
title 5, then paragraphs (1)(B), (1)(C), (2), and (3)
of this subsection shall not apply to such employee.
(7) NextGen defined.--For purposes of this
subsection, the term ``NextGen'' means the Next
Generation Air Transportation System.
(8) Sunset.--The position of Chief NextGen Officer
shall terminate and this subsection shall cease to be
effective beginning on the date of transfer (as defined
in section 90101(a)).
(t) Aviation Safety Whistleblower Investigation Office.--
(1) Establishment.--There is established in the
Federal Aviation Administration (in this subsection
referred to as the ``Agency'') an Aviation Safety
Whistleblower Investigation Office (in this subsection
referred to as the ``Office'').
(2) Director.--
(A) Appointment.--The head of the Office
shall be the Director, who shall be appointed
by the Secretary of Transportation.
(B) Qualifications.--The Director shall have
a demonstrated ability in investigations and
knowledge of or experience in aviation.
(C) Term.--The Director shall be appointed
for a term of 5 years.
(D) Vacancies.--Any individual appointed to
fill a vacancy in the position of the Director
occurring before the expiration of the term for
which the individual's predecessor was
appointed shall be appointed for the remainder
of that term.
(3) Complaints and investigations.--
(A) Authority of Director.--The Director
shall--
(i) receive complaints and
information submitted by employees of
persons holding certificates issued
under title 14, Code of Federal
Regulations (if the certificate holder
does not have a similar in-house
whistleblower or safety and regulatory
noncompliance reporting process) and
employees of the Agency concerning the
possible existence of an activity
relating to a violation of an order, a
regulation, or any other provision of
Federal law relating to aviation
safety;
(ii) assess complaints and
information submitted under clause (i)
and determine whether a substantial
likelihood exists that a violation of
an order, a regulation, or any other
provision of Federal law relating to
aviation safety has occurred; and
(iii) based on findings of the
assessment conducted under clause (ii),
make recommendations to the
Administrator of the Agency, in
writing, regarding further
investigation or corrective actions.
(B) Disclosure of identities.--The Director
shall not disclose the identity of an
individual who submits a complaint or
information under subparagraph (A)(i) unless--
(i) the individual consents to the
disclosure in writing; or
(ii) the Director determines, in the
course of an investigation, that the
disclosure is required by regulation,
statute, or court order, or is
otherwise unavoidable, in which case
the Director shall provide the
individual reasonable advanced notice
of the disclosure.
(C) Independence of Director.--The Secretary,
the Administrator, or any officer or employee
of the Agency may not prevent or prohibit the
Director from initiating, carrying out, or
completing any assessment of a complaint or
information submitted under subparagraph (A)(i)
or from reporting to Congress on any such
assessment.
(D) Access to information.--In conducting an
assessment of a complaint or information
submitted under subparagraph (A)(i), the
Director shall have access to all records,
reports, audits, reviews, documents, papers,
recommendations, and other material of the
Agency necessary to determine whether a
substantial likelihood exists that a violation
of an order, a regulation, or any other
provision of Federal law relating to aviation
safety may have occurred.
(4) Responses to recommendations.--Not later than 60
days after the date on which the Administrator receives
a report with respect to an investigation, the
Administrator shall respond to a recommendation made by
the Director under paragraph (3)(A)(iii) in writing and
retain records related to any further investigations or
corrective actions taken in response to the
recommendation.
(5) Incident reports.--If the Director determines
there is a substantial likelihood that a violation of
an order, a regulation, or any other provision of
Federal law relating to aviation safety has occurred
that requires immediate corrective action, the Director
shall report the potential violation expeditiously to
the Administrator and the Inspector General of the
Department of Transportation.
(6) Reporting of criminal violations to Inspector
General.--If the Director has reasonable grounds to
believe that there has been a violation of Federal
criminal law, the Director shall report the violation
expeditiously to the Inspector General.
(7) Annual reports to Congress.--Not later than
October 1 of each year, the Director shall submit to
Congress a report containing--
(A) information on the number of submissions
of complaints and information received by the
Director under paragraph (3)(A)(i) in the
preceding 12-month period;
(B) summaries of those submissions;
(C) summaries of further investigations and
corrective actions recommended in response to
the submissions; and
(D) summaries of the responses of the
Administrator to such recommendations.
* * * * * * *
SUBTITLE VII--AVIATION PROGRAMS
PART A - AIR COMMERCE AND SAFETY
Chapter Sec.
SUBPART I - GENERAL
General Provisions...........................................40101
* * * * * * *
SUBPART III - SAFETY
* * * * * * *
45501nmanned aircraft systems.........................................
* * * * * * *
PART A--AIR COMMERCE AND SAFETY
* * * * * * *
SUBPART I--GENERAL
* * * * * * *
CHAPTER 401--GENERAL PROVISIONS
Sec. 40101. Policy
(a) Economic Regulation.--In carrying out subpart II of this
part and those provisions of subpart IV applicable in carrying
out subpart II, the Secretary of Transportation shall consider
the following matters, among others, as being in the public
interest and consistent with public convenience and necessity:
(1) assigning and maintaining safety as the highest
priority in air commerce.
(2) before authorizing new air transportation
services, evaluating the safety implications of those
services.
(3) preventing deterioration in established safety
procedures, recognizing the clear intent,
encouragement, and dedication of Congress to further
the highest degree of safety in air transportation and
air commerce, and to maintain the safety vigilance that
has evolved in air transportation and air commerce and
has come to be expected by the traveling and shipping
public.
(4) the availability of a variety of adequate,
economic, efficient, and low-priced services without
unreasonable discrimination or unfair or deceptive
practices.
(5) coordinating transportation by, and improving
relations among, air carriers, and encouraging fair
wages and working conditions.
(6) placing maximum reliance on competitive market
forces and on actual and potential competition--
(A) to provide the needed air transportation
system; and
(B) to encourage efficient and well-managed
air carriers to earn adequate profits and
attract capital, considering any material
differences between interstate air
transportation and foreign air transportation.
(7) developing and maintaining a sound regulatory
system that is responsive to the needs of the public
and in which decisions are reached promptly to make it
easier to adapt the air transportation system to the
present and future needs of--
(A) the commerce of the United States;
(B) the United States Postal Service; and
(C) the national defense.
(8) encouraging air transportation at major urban
areas through secondary or satellite airports if
consistent with regional airport plans of regional and
local authorities, and if endorsed by appropriate State
authorities--
(A) encouraging the transportation by air
carriers that provide, in a specific market,
transportation exclusively at those airports;
and
(B) fostering an environment that allows
those carriers to establish themselves and
develop secondary or satellite airport
services.
(9) preventing unfair, deceptive, predatory, or
anticompetitive practices in air transportation.
(10) avoiding unreasonable industry concentration,
excessive market domination, monopoly powers, and other
conditions that would tend to allow at least one air
carrier or foreign air carrier unreasonably to increase
prices, reduce services, or exclude competition in air
transportation.
(11) maintaining a complete and convenient system of
continuous scheduled interstate air transportation for
small communities and isolated areas with direct
financial assistance from the United States Government
when appropriate.
(12) encouraging, developing, and maintaining an air
transportation system relying on actual and potential
competition--
(A) to provide efficiency, innovation, and
low prices; and
(B) to decide on the variety and quality of,
and determine prices for, air transportation
services.
(13) encouraging entry into air transportation
markets by new and existing air carriers and the
continued strengthening of small air carriers to ensure
a more effective and competitive airline industry.
(14) promoting, encouraging, and developing civil
aeronautics and a viable, privately-owned United States
air transport industry.
(15) strengthening the competitive position of air
carriers to at least ensure equality with foreign air
carriers, including the attainment of the opportunity
for air carriers to maintain and increase their
profitability in foreign air transportation.
(16) ensuring that consumers in all regions of the
United States, including those in small communities and
rural and remote areas, have access to affordable,
regularly scheduled air service.
(17) preventing entry into United States markets by
flag of convenience carriers.
(b) All-Cargo Air Transportation Considerations.--In carrying
out subpart II of this part and those provisions of subpart IV
applicable in carrying out subpart II, the Secretary of
Transportation shall consider the following matters, among
others and in addition to the matters referred to in subsection
(a) of this section, as being in the public interest for all-
cargo air transportation:
(1) encouraging and developing an expedited all-cargo
air transportation system provided by private
enterprise and responsive to--
(A) the present and future needs of shippers;
(B) the commerce of the United States; and
(C) the national defense.
(2) encouraging and developing an integrated
transportation system relying on competitive market
forces to decide the extent, variety, quality, and
price of services provided.
(3) providing services without unreasonable
discrimination, unfair or deceptive practices, or
predatory pricing.
(c) General Safety Considerations.--In carrying out subpart
III of this part and those provisions of subpart IV applicable
in carrying out subpart III, the Administrator of the Federal
Aviation Administration shall consider the following matters:
(1) the requirements of national defense and
commercial and general aviation.
(2) the public right of freedom of transit through
the navigable airspace.
(d) Safety Considerations in Public Interest.--In carrying
out subpart III of this part and those provisions of subpart IV
applicable in carrying out subpart III, the Administrator shall
consider the following matters, among others, as being in the
public interest:
(1) assigning, maintaining, and enhancing safety and
security as the highest priorities in air commerce.
(2) regulating air commerce in a way that best
promotes safety and fulfills national defense
requirements.
(3) encouraging and developing civil aeronautics,
including new aviation technology.
(4) controlling the use of the navigable airspace and
regulating civil and military operations in that
airspace in the interest of the safety and efficiency
of both of those operations.
(5) consolidating research and development for air
navigation facilities and the installation and
operation of those facilities.
(6) developing and operating a common system of air
traffic control and navigation for military and civil
aircraft.
(7) providing assistance to law enforcement agencies
in the enforcement of laws related to regulation of
controlled substances, to the extent consistent with
aviation safety.
(e) International Air Transportation.--In formulating United
States international air transportation policy, the Secretaries
of State and Transportation shall develop a negotiating policy
emphasizing the greatest degree of competition compatible with
a well-functioning international air transportation system,
including the following:
(1) strengthening the competitive position of air
carriers to ensure at least equality with foreign air
carriers, including the attainment of the opportunity
for air carriers to maintain and increase their
profitability in foreign air transportation.
(2) freedom of air carriers and foreign air carriers
to offer prices that correspond to consumer demand.
(3) the fewest possible restrictions on charter air
transportation.
(4) the maximum degree of multiple and permissive
international authority for air carriers so that they
will be able to respond quickly to a shift in market
demand.
(5) eliminating operational and marketing
restrictions to the greatest extent possible.
(6) integrating domestic and international air
transportation.
(7) increasing the number of nonstop United States
gateway cities.
(8) opportunities for carriers of foreign countries
to increase their access to places in the United States
if exchanged for benefits of similar magnitude for air
carriers or the traveling public with permanent linkage
between rights granted and rights given away.
(9) eliminating discrimination and unfair competitive
practices faced by United States airlines in foreign
air transportation, including--
(A) excessive landing and user fees;
(B) unreasonable ground handling
requirements;
(C) unreasonable restrictions on operations;
(D) prohibitions against change of gauge;
[and]
(E) similar restrictive practices[.]; and
(F) erosion of labor standards associated
with flag of convenience carriers.
(10) promoting, encouraging, and developing civil
aeronautics and a viable, privately-owned United States
air transport industry.
(f) Strengthening Competition.--In selecting an air carrier
to provide foreign air transportation from among competing
applicants, the Secretary of Transportation shall consider, in
addition to the matters specified in subsections (a) and (b) of
this section, the strengthening of competition among air
carriers operating in the United States to prevent unreasonable
concentration in the air carrier industry.
Sec. 40102. Definitions
(a) General Definitions.--In this part--
(1) ``aeronautics'' means the science and art of
flight.
(2) ``air carrier'' means a citizen of the United
States undertaking by any means, directly or
indirectly, to provide air transportation.
(3) ``air commerce'' means foreign air commerce,
interstate air commerce, the transportation of mail by
aircraft, the operation of aircraft within the limits
of a Federal airway, or the operation of aircraft that
directly affects, or may endanger safety in, foreign or
interstate air commerce.
(4) ``air navigation facility'' means a facility
used, available for use, or designed for use, in aid of
air navigation, including--
(A) a landing area;
(B) runway lighting and airport surface
visual and other navigation aids;
(C) apparatus, equipment, software, or
service for distributing aeronautical and
meteorological information to air traffic
control facilities or aircraft;
(D) communication, navigation, or
surveillance equipment for air-to-ground or
air-to-air applications;
(E) any structure, equipment, or mechanism
for guiding or controlling flight in the air or
the landing and takeoff of aircraft; and
(F) buildings, equipment, and systems
dedicated to the national airspace system.
(5) ``air transportation'' means foreign air
transportation, interstate air transportation, or the
transportation of mail by aircraft.
(6) ``aircraft'' means any contrivance invented,
used, or designed to navigate, or fly in, the air.
(7) ``aircraft engine'' means an engine used, or
intended to be used, to propel an aircraft, including a
part, appurtenance, and accessory of the engine, except
a propeller.
(8) ``airman'' means an individual--
(A) in command, or as pilot, mechanic, or
member of the crew, who navigates aircraft when
under way;
(B) except to the extent the Administrator of
the Federal Aviation Administration may provide
otherwise for individuals employed outside the
United States, who is directly in charge of
inspecting, maintaining, overhauling, or
repairing aircraft, aircraft engines,
propellers, or appliances; or
(C) who serves as an aircraft dispatcher or
air traffic control-tower operator.
(9) ``airport'' means a landing area used regularly
by aircraft for receiving or discharging passengers or
cargo.
(10) ``all-cargo air transportation'' means the
transportation by aircraft in interstate air
transportation of only property or only mail, or both.
(11) ``appliance'' means an instrument, equipment,
apparatus, a part, an appurtenance, or an accessory
used, capable of being used, or intended to be used, in
operating or controlling aircraft in flight, including
a parachute, communication equipment, and another
mechanism installed in or attached to aircraft during
flight, and not a part of an aircraft, aircraft engine,
or propeller.
(12) ``cargo'' means property, mail, or both.
(13) ``charter air carrier'' means an air carrier
holding a certificate of public convenience and
necessity that authorizes it to provide charter air
transportation.
(14) ``charter air transportation'' means charter
trips in air transportation authorized under this part.
(15) ``citizen of the United States'' means--
(A) an individual who is a citizen of the
United States;
(B) a partnership each of whose partners is
an individual who is a citizen of the United
States; or
(C) a corporation or association organized
under the laws of the United States or a State,
the District of Columbia, or a territory or
possession of the United States, of which the
president and at least two-thirds of the board
of directors and other managing officers are
citizens of the United States, which is under
the actual control of citizens of the United
States, and in which at least 75 percent of the
voting interest is owned or controlled by
persons that are citizens of the United States.
(16) ``civil aircraft'' means an aircraft except a
public aircraft.
(17) ``civil aircraft of the United States'' means an
aircraft registered under chapter 441 of this title.
(18) ``conditional sales contract'' means a
contract--
(A) for the sale of an aircraft, aircraft
engine, propeller, appliance, or spare part,
under which the buyer takes possession of the
property but title to the property vests in the
buyer at a later time on--
(i) paying any part of the purchase
price;
(ii) performing another condition; or
(iii) the happening of a contingency;
or
(B) to bail or lease an aircraft, aircraft
engine, propeller, appliance, or spare part,
under which the bailee or lessee--
(i) agrees to pay an amount
substantially equal to the value of the
property; and
(ii) is to become, or has the option
of becoming, the owner of the property
on complying with the contract.
(19) ``conveyance'' means an instrument, including a
conditional sales contract, affecting title to, or an
interest in, property.
(20) ``Federal airway'' means a part of the navigable
airspace that the Administrator designates as a Federal
airway.
(21) ``foreign air carrier'' means a person, not a
citizen of the United States, undertaking by any means,
directly or indirectly, to provide foreign air
transportation.
(22) ``foreign air commerce'' means the
transportation of passengers or property by aircraft
for compensation, the transportation of mail by
aircraft, or the operation of aircraft in furthering a
business or vocation, between a place in the United
States and a place outside the United States when any
part of the transportation or operation is by aircraft.
(23) ``foreign air transportation'' means the
transportation of passengers or property by aircraft as
a common carrier for compensation, or the
transportation of mail by aircraft, between a place in
the United States and a place outside the United States
when any part of the transportation is by aircraft.
(24) ``interstate air commerce'' means the
transportation of passengers or property by aircraft
for compensation, the transportation of mail by
aircraft, or the operation of aircraft in furthering a
business or vocation--
(A) between a place in--
(i) a State, territory, or possession
of the United States and a place in the
District of Columbia or another State,
territory, or possession of the United
States;
(ii) a State and another place in the
same State through the airspace over a
place outside the State;
(iii) the District of Columbia and
another place in the District of
Columbia; or
(iv) a territory or possession of the
United States and another place in the
same territory or possession; and
(B) when any part of the transportation or
operation is by aircraft.
(25) ``interstate air transportation'' means the
transportation of passengers or property by aircraft as
a common carrier for compensation, or the
transportation of mail by aircraft--
(A) between a place in--
(i) a State, territory, or possession
of the United States and a place in the
District of Columbia or another State,
territory, or possession of the United
States;
(ii) Hawaii and another place in
Hawaii through the airspace over a
place outside Hawaii;
(iii) the District of Columbia and
another place in the District of
Columbia; or
(iv) a territory or possession of the
United States and another place in the
same territory or possession; and
(B) when any part of the transportation is by
aircraft.
(26) ``intrastate air carrier'' means a citizen of
the United States undertaking by any means to provide
only intrastate air transportation.
(27) ``intrastate air transportation'' means the
transportation by a common carrier of passengers or
property for compensation, entirely in the same State,
by turbojet-powered aircraft capable of carrying at
least 30 passengers.
(28) ``landing area'' means a place on land or water,
including an airport or intermediate landing field,
used, or intended to be used, for the takeoff and
landing of aircraft, even when facilities are not
provided for sheltering, servicing, or repairing
aircraft, or for receiving or discharging passengers or
cargo.
(29) ``large hub airport'' means a commercial service
airport (as defined in section 47102) that has at least
1.0 percent of the passenger boardings.
(30) ``mail'' means United States mail and foreign
transit mail.
(31) ``medium hub airport'' means a commercial
service airport (as defined in section 47102) that has
at least 0.25 percent but less than 1.0 percent of the
passenger boardings.
(32) ``navigable airspace'' means airspace above the
minimum altitudes of flight prescribed by regulations
under this subpart and subpart III of this part,
including airspace needed to ensure safety in the
takeoff and landing of aircraft.
(33) ``navigate aircraft'' and ``navigation of
aircraft'' include piloting aircraft.
(34) ``nonhub airport'' means a commercial service
airport (as defined in section 47102) that has less
than 0.05 percent of the passenger boardings.
(35) ``operate aircraft'' and ``operation of
aircraft'' mean using aircraft for the purposes of air
navigation, including--
(A) the navigation of aircraft; and
(B) causing or authorizing the operation of
aircraft with or without the right of legal
control of the aircraft.
(36) ``passenger boardings''--
(A) means, unless the context indicates
otherwise, revenue passenger boardings in the
United States in the prior calendar year on an
aircraft in service in air commerce, as the
Secretary determines under regulations the
Secretary prescribes; and
(B) includes passengers who continue on an
aircraft in international flight that stops at
an airport in the 48 contiguous States, Alaska,
or Hawaii for a nontraffic purpose.
(37) ``person'', in addition to its meaning under
section 1 of title 1, includes a governmental authority
and a trustee, receiver, assignee, and other similar
representative.
(38) ``predatory'' means a practice that violates the
antitrust laws as defined in the first section of the
Clayton Act (15 U.S.C. 12).
(39) ``price'' means a rate, fare, or charge.
(40) ``propeller'' includes a part, appurtenance, and
accessory of a propeller.
(41) ``public aircraft'' means any of the following:
(A) Except with respect to an aircraft
described in subparagraph (E), an aircraft used
only for the United States Government, except
as provided in section 40125(b).
(B) An aircraft owned by the Government and
operated by any person for purposes related to
crew training, equipment development, or
demonstration, except as provided in section
40125(b).
(C) An aircraft owned and operated by the
government of a State, the District of
Columbia, or a territory or possession of the
United States or a political subdivision of one
of these governments, except as provided in
section 40125(b).
(D) An aircraft exclusively leased for at
least 90 continuous days by the government of a
State, the District of Columbia, or a territory
or possession of the United States or a
political subdivision of one of these
governments, except as provided in section
40125(b).
(E) An aircraft owned or operated by the
armed forces or chartered to provide
transportation or other commercial air service
to the armed forces under the conditions
specified by section 40125(c). In the preceding
sentence, the term ``other commercial air
service'' means an aircraft operation that (i)
is within the United States territorial
airspace; (ii) the Administrator of the Federal
Aviation Administration determines is available
for compensation or hire to the public, and
(iii) must comply with all applicable civil
aircraft rules under title 14, Code of Federal
Regulations.
(F) An unmanned aircraft that is owned and
operated by, or exclusively leased for at least
90 continuous days by, an Indian Tribal
government, as defined in section 102 of the
Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5122),
except as provided in section 40125(b).
(42) ``small hub airport'' means a commercial service
airport (as defined in section 47102) that has at least
0.05 percent but less than 0.25 percent of the
passenger boardings.
(43) ``spare part'' means an accessory, appurtenance,
or part of an aircraft (except an aircraft engine or
propeller), aircraft engine (except a propeller),
propeller, or appliance, that is to be installed at a
later time in an aircraft, aircraft engine, propeller,
or appliance.
(44) ``State authority'' means an authority of a
State designated under State law--
(A) to receive notice required to be given a
State authority under subpart II of this part;
or
(B) as the representative of the State before
the Secretary of Transportation in any matter
about which the Secretary is required to
consult with or consider the views of a State
authority under subpart II of this part.
(45) ``ticket agent'' means a person (except an air
carrier, a foreign air carrier, or an employee of an
air carrier or foreign air carrier) that as a principal
or agent sells, offers for sale, negotiates for, or
holds itself out as selling, providing, or arranging
for, air transportation.
(46) ``United States'' means the States of the United
States, the District of Columbia, and the territories
and possessions of the United States, including the
territorial sea and the overlying airspace.
(47) ``air traffic control system'' means the
combination of elements used to safely and efficiently
monitor, direct, control, and guide aircraft in the
United States and United States-assigned airspace,
including--
(A) allocated electromagnetic spectrum and
physical, real, personal, and intellectual
property assets making up facilities,
equipment, and systems employed to detect,
track, and guide aircraft movement;
(B) laws, regulations, orders, directives,
agreements, and licenses;
(C) published procedures that explain
required actions, activities, and techniques
used to ensure adequate aircraft separation;
and
(D) trained personnel with specific technical
capabilities to satisfy the operational,
engineering, management, and planning
requirements for air traffic control.
(48) ``American Air Navigation Services Corporation''
means the American Air Navigation Services Corporation
established by subtitle XI.
(49) ``flag of convenience carrier'' means a foreign
air carrier that is established in a country other than
the home country of its majority owner or owners in
order to avoid regulations of the home country.
(b) Limited Definition.--In subpart II of this part,
``control'' means control by any means.
Sec. 40103. Sovereignty and use of airspace
(a) Sovereignty and Public Right of Transit.--(1) The United
States Government has exclusive sovereignty of airspace of the
United States.
(2) A citizen of the United States has a public right of
transit through the navigable airspace. To further that right,
the Secretary of Transportation shall consult with the
Architectural and Transportation Barriers Compliance Board
established under section 502 of the Rehabilitation Act of 1973
(29 U.S.C. 792) before prescribing a regulation or issuing an
order or procedure that will have a significant impact on the
accessibility of commercial airports or commercial air
transportation for handicapped individuals.
(b) Use of Airspace.--(1) [The Administrator] Before the date
of transfer (as defined in section 90101(a)), the Administrator
of the Federal Aviation Administration shall develop plans and
policy for the use of the navigable airspace and assign by
regulation or order the use of the airspace necessary to ensure
the safety of aircraft and the efficient use of airspace. [The
Administrator] Before the date of transfer (as defined in
section 90101(a)), the Administrator may modify or revoke an
assignment when required in the public interest.
[(2) The Administrator shall prescribe air traffic
regulations on the flight of aircraft (including regulations on
safe altitudes) for--
[(A) navigating, protecting, and identifying
aircraft;
[(B) protecting individuals and property on the
ground;
[(C) using the navigable airspace efficiently; and
[(D) preventing collision between aircraft, between
aircraft and land or water vehicles, and between
aircraft and airborne objects.]
(2) The Administrator shall--
(A) before the date of transfer (as defined in
section 90101(a)), prescribe air traffic regulations on
the flight of aircraft (including regulations on safe
altitudes) for--
(i) navigating, protecting, and identifying
aircraft;
(ii) protecting individuals and property on
the ground;
(iii) using the navigable airspace
efficiently; and
(iv) preventing collisions between aircraft,
between aircraft and land or water vehicles,
and between aircraft and airborne objects; and
(B) on and after the date of transfer (as defined in
section 90101(a)), prescribe safety regulations on the
flight of aircraft (including regulations on safe
altitudes) for--
(i) navigating, protecting, and identifying
aircraft;
(ii) protecting individuals and property on
the ground;
(iii) ensuring equitable access to and use of
airspace; and
(iv) preventing collisions between aircraft,
between aircraft and land or water vehicles,
and between aircraft and airborne objects.
(3) To establish security provisions that will encourage and
allow maximum use of the navigable airspace by civil aircraft
consistent with national security, the [Administrator]
Secretary , in consultation with the Secretary of Defense,
shall--
(A) establish areas in the airspace the
[Administrator] Secretary decides are necessary in the
interest of national defense; and
(B) by regulation or order, restrict or prohibit
flight of civil aircraft that the [Administrator]
Secretary cannot identify, locate, and control with
available facilities in those areas.
(4) Notwithstanding the military exception in section
553(a)(1) of title 5, subchapter II of chapter 5 of title 5
applies to a regulation prescribed under this subsection.
(c) Foreign Aircraft.--A foreign aircraft, not part of the
armed forces of a foreign country, may be navigated in the
United States as provided in section 41703 of this title.
(d) Aircraft of Armed Forces of Foreign Countries.--Aircraft
of the armed forces of a foreign country may be navigated in
the United States only when authorized by the Secretary of
State.
(e) No Exclusive Rights at Certain Facilities.--A person does
not have an exclusive right to use an air navigation facility
on which Government money has been expended. However, providing
services at an airport by only one fixed-based operator is not
an exclusive right if--
(1) it is unreasonably costly, burdensome, or
impractical for more than one fixed-based operator to
provide the services; and
(2) allowing more than one fixed-based operator to
provide the services requires a reduction in space
leased under an agreement existing on September 3,
1982, between the operator and the airport.
Sec. 40104. Promotion of civil aeronautics and safety of air commerce
(a) Developing Civil Aeronautics and Safety of Air
Commerce.--The Administrator of the Federal Aviation
Administration shall encourage the development of civil
aeronautics and safety of air commerce in and outside the
United States. In carrying out this subsection, the
Administrator shall take action that the Administrator
considers necessary to establish, within available resources, a
program to distribute civil aviation information in each region
served by the Administration. The program shall provide, on
request, informational material and expertise on civil aviation
to State and local school administrators, college and
university officials, and officers of other interested
organizations.
(b) International Role of the FAA.--The Administrator shall
promote and achieve global improvements in the safety,
efficiency, and environmental effect of air travel by
exercising leadership with the Administrator's foreign
counterparts, in the International Civil Aviation Organization
and its subsidiary organizations, and other international
organizations and fora, and with the private sector.
(c) Airport Capacity Enhancement Projects at Congested
Airports.--In carrying out subsection (a), the Administrator
shall take action to encourage the construction of airport
capacity enhancement projects at congested airports as those
terms are defined in [section 47176] section 47175 .
(d) Promotion of United States Aerospace Standards, Products,
and Services Abroad.--The Administrator shall take appropriate
actions to--
(1) promote United States aerospace safety standards
abroad;
(2) facilitate and vigorously defend approvals of
United States aerospace products and services abroad;
(3) with respect to bilateral partners, utilize
bilateral safety agreements and other mechanisms to
improve validation of United States type certificated
aeronautical products and appliances and enhance mutual
acceptance in order to eliminate redundancies and
unnecessary costs; and
(4) with respect to foreign safety authorities,
streamline validation and coordination processes.
* * * * * * *
Sec. 40106. Emergency powers
(a) Deviations From Regulations.--Appropriate military
authority may authorize aircraft of the armed forces of the
United States to deviate from [air traffic] regulations
prescribed under section 40103(b)(1) and (2) of this title when
the authority decides the deviation is essential to the
national defense because of a military emergency or urgent
military necessity. The authority shall--
(1) give the Administrator of the Federal Aviation
Administration and the American Air Navigation Services
Corporation prior notice of the deviation at the
earliest practicable time; and
(2) to the extent time and circumstances allow, make
every reasonable effort to consult with the
Administrator and the American Air Navigation Services
Corporation and arrange for the deviation in advance on
a mutually agreeable basis.
(b) Suspension of Authority.--(1) When the President decides
that the government of a foreign country is acting
inconsistently with the Convention for the Suppression of
Unlawful Seizure of Aircraft or that the government of a
foreign country allows territory under its jurisdiction to be
used as a base of operations or training of, or as a sanctuary
for, or arms, aids, or abets, a terrorist organization that
knowingly uses the unlawful seizure, or the threat of an
unlawful seizure, of an aircraft as an instrument of policy,
the President may suspend the authority of--
(A) an air carrier or foreign air carrier to provide
foreign air transportation to and from that foreign
country;
(B) a person to operate aircraft in foreign air
commerce to and from that foreign country;
(C) a foreign air carrier to provide foreign air
transportation between the United States and another
country that maintains air service with the foreign
country; and
(D) a foreign person to operate aircraft in foreign
air commerce between the United States and another
country that maintains air service with the foreign
country.
(2) The President may act under this subsection without
notice or a hearing. The suspension remains in effect for as
long as the President decides is necessary to ensure the
security of aircraft against unlawful seizure. Notwithstanding
section 40105(b) of this title, the authority of the President
to suspend rights under this subsection is a condition to a
certificate of public convenience and necessity, air carrier
operating certificate, foreign air carrier or foreign aircraft
permit, or foreign air carrier operating specification issued
by the Secretary of Transportation under this part.
(3) An air carrier or foreign air carrier may not provide
foreign air transportation, and a person may not operate
aircraft in foreign air commerce, in violation of a suspension
of authority under this subsection.
Sec. 40107. Presidential transfers
(a) General Authority.--The President may transfer to the
Administrator of the Federal Aviation Administration a duty,
power, activity, or facility of a department, agency, or
instrumentality of the executive branch of the United States
Government, or an officer or unit of a department, agency, or
instrumentality of the executive branch, related primarily to
selecting, developing, testing, evaluating, establishing,
operating, or maintaining a system, procedure, facility, or
device for safe and efficient air navigation and air traffic
control. In making a transfer, the President may transfer
records and property and make officers and employees from the
department, agency, instrumentality, or unit available to the
Administrator.
[(b) During War.--If war occurs, the President by executive
order may transfer to the Secretary of Defense a duty, power,
activity, or facility of the Administrator. In making the
transfer, the President may transfer records, property,
officers, and employees of the Administration to the Department
of Defense.]
(b) During War.--If war occurs, the President by Executive
order may temporarily transfer to the Secretary of Defense a
duty, power, activity, or facility of the Administrator or the
American Air Navigation Services Corporation. In making the
transfer, the President may temporarily transfer records,
property, officers, and employees of the Administration or the
American Air Navigation Services Corporation to the Department
of Defense.
* * * * * * *
Sec. 40109. Authority to exempt
(a) Air Carriers and Foreign Air Carriers Not Engaged
Directly in Operating Aircraft.--(1) The Secretary of
Transportation may exempt from subpart II of this part--
(A) an air carrier not engaged directly in operating
aircraft in air transportation; or
(B) a foreign air carrier not engaged directly in
operating aircraft in foreign air transportation.
(2) The exemption is effective to the extent and for periods
that the Secretary decides are in the public interest.
(b) Safety Regulation.--The Administrator of the Federal
Aviation Administration may grant an exemption from a
regulation prescribed in carrying out sections 40103(b)(1) and
(2), 40119, 44901, 44903, 44906, and 44935-44937 of this title
when the Administrator decides the exemption is in the public
interest.
(c) Other Economic Regulation.--Except as provided in this
section, the Secretary may exempt to the extent the Secretary
considers necessary a person or class of persons from a
provision of chapter 411, chapter 413 (except sections 41307
and 41310(b)-(f)), chapter 415 (except sections 41502, 41505,
and 41507-41509), chapter 417 (except sections 41703, 41704,
41710, 41713, and 41714), chapter 419, subchapter II of chapter
421, and sections 44909 and 46301(b) of this title, or a
regulation or term prescribed under any of those provisions,
when the Secretary decides that the exemption is consistent
with the public interest.
(d) Labor Requirements.--The Secretary may not exempt an air
carrier from section 42112 of this title. However, the
Secretary may exempt from section 42112(b)(1) and (2) an air
carrier not providing scheduled air transportation, and the
operations conducted during daylight hours by an air carrier
providing scheduled air transportation, when the Secretary
decides that--
(1) because of the limited extent of, or unusual
circumstances affecting, the operation of the air
carrier, the enforcement of section 42112(b)(1) and (2)
of this title is or would be an unreasonable burden on
the air carrier that would obstruct its development and
prevent it from beginning or continuing operations; and
(2) the exemption would not affect adversely the
public interest.
(e) Maximum Flying Hours.--The Secretary may not exempt an
air carrier under this section from a provision referred to in
subsection (c) of this section, or a regulation or term
prescribed under any of those provisions, that sets maximum
flying hours for pilots or copilots.
(f) Smaller Aircraft.--(1) An air carrier is exempt from
section 41101(a)(1) of this title, and the Secretary may exempt
an air carrier from another provision of subpart II of this
part, if the air carrier--
(A)(i) provides passenger transportation only with
aircraft having a maximum capacity of 55 passengers; or
(ii) provides the transportation of cargo only with
aircraft having a maximum payload of less than 18,000
pounds; and
(B) complies with liability insurance requirements
and other regulations the Secretary prescribes.
(2) The Secretary may increase the passenger or payload
capacities when the public interest requires.
(3)(A) An exemption under this subsection applies to an air
carrier providing air transportation between 2 places in
Alaska, or between Alaska and Canada, only if the carrier is
authorized by Alaska to provide the transportation.
(B) The Secretary may limit the number or location of places
that may be served by an air carrier providing transportation
only in Alaska under an exemption from section 41101(a)(1) of
this title, or the frequency with which the transportation may
be provided, only when the Secretary decides that providing the
transportation substantially impairs the ability of an air
carrier holding a certificate issued by the Secretary to
provide its authorized transportation, including the minimum
transportation requirement for Alaska specified under section
41732(b)(1)(B) of this title.
(g) Emergency Air Transportation by Foreign Air Carriers.--
(1) To the extent that the Secretary decides an exemption is in
the public interest, the Secretary may exempt by order a
foreign air carrier from the requirements and limitations of
this part for not more than 30 days to allow the foreign air
carrier to carry passengers or cargo in interstate air
transportation in certain markets if the Secretary finds that--
(A) because of an emergency created by unusual
circumstances not arising in the normal course of
business, air carriers holding certificates under
section 41102 of this title cannot accommodate traffic
in those markets;
(B) all possible efforts have been made to
accommodate the traffic by using the resources of the
air carriers, including the use of--
(i) foreign aircraft, or sections of foreign
aircraft, under lease or charter to the air
carriers; and
(ii) the air carriers' reservations systems
to the extent practicable;
(C) the exemption is necessary to avoid unreasonable
hardship for the traffic in the markets that cannot be
accommodated by the air carriers; and
(D) granting the exemption will not result in an
unreasonable advantage to any party in a labor dispute
where the inability to accommodate traffic in a market
is a result of the dispute.
(2) When the Secretary grants an exemption to a foreign air
carrier under this subsection, the Secretary shall--
(A) ensure that air transportation that the foreign
air carrier provides under the exemption is made
available on reasonable terms;
(B) monitor continuously the passenger load factor of
air carriers in the market that hold certificates under
section 41102 of this title; and
[(C) review the exemption at least every 30 days to
ensure that the unusual circumstances that established
the need for the exemption still exist.]
(C) review the exemption at least every 30 days (or,
in the case of an exemption that is necessary to
provide and sustain air transportation in American
Samoa between the islands of Tutuila and Manu'a, at
least every 180 days) to ensure that the unusual
circumstances that established the need for the
exemption still exist.
[(3) The Secretary may renew an exemption (including
renewals) under this subsection for not more than 30 days. An
exemption may continue for not more than 5 days after the
unusual circumstances that established the need for the
exemption cease.]
(3) Renewal of exemptions.--
(A) In general.--Except as provided in
subparagraph (B), the Secretary may renew an
exemption (including renewals) under this
subsection for not more than 30 days.
(B) Exception.--The Secretary may renew an
exemption (including renewals) under this
subsection that is necessary to provide and
sustain air transportation in American Samoa
between the islands of Tutuila and Manu'a for
not more than 180 days.
(4) Continuation of exemptions.--An exemption granted
by the Secretary under this subsection may continue for
not more than 5 days after the unusual circumstances
that established the need for the exemption cease.
(h) Notice and Opportunity for Hearing.--The Secretary may
act under subsections (d) and (f)(3)(B) of this section only
after giving the air carrier notice and an opportunity for a
hearing.
Sec. 40110. General procurement authority
(a) General.--In carrying out this part, the Administrator of
the Federal Aviation Administration--
(1) to the extent that amounts are available for
obligation, may acquire services or, by condemnation or
otherwise, an interest in property, including an
interest in airspace immediately adjacent to and needed
for airports and other air navigation facilities owned
by the United States Government and operated by the
Administrator;
(2) may construct and improve laboratories and other
test facilities; and
(3) may dispose of any interest in property for
adequate compensation, and the amount so received
shall--
(A) be credited to the appropriation current
when the amount is received;
(B) be merged with and available for the
purposes of such appropriation; and
(C) remain available until expended.
(b) Purchase of Housing Units.--
(1) Authority.--In carrying out this part, the
Administrator may purchase a housing unit (including a
condominium or a housing unit in a building owned by a
cooperative) that is located outside the contiguous
United States if the cost of the unit is $300,000 or
less.
(2) Adjustments for inflation.--For fiscal years
beginning after September 30, 1997, the Administrator
may adjust the dollar amount specified in paragraph (1)
to take into account increases in local housing costs.
(3) Continuing obligations.--Notwithstanding section
1341 of title 31, the Administrator may purchase a
housing unit under paragraph (1) even if there is an
obligation thereafter to pay necessary and reasonable
fees duly assessed upon such unit, including fees
related to operation, maintenance, taxes, and
insurance.
(4) Certification to Congress.--The Administrator may
purchase a housing unit under paragraph (1) only if, at
least 30 days before completing the purchase, the
Administrator transmits to the Committee on
Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science,
and Transportation of the Senate a report containing--
(A) a description of the housing unit and its
price;
(B) a certification that the price does not
exceed the median price of housing units in the
area; and
(C) a certification that purchasing the
housing unit is the most cost-beneficial means
of providing necessary accommodations in
carrying out this part.
(5) Payment of fees.--The Administrator may pay, when
due, fees resulting from the purchase of a housing unit
under this subsection from any amounts made available
to the Administrator.
(c) Duties and Powers.--When carrying out subsection (a) of
this section, the Administrator of the Federal Aviation
Administration may--
(1) notwithstanding section 1341(a)(1) of title 31,
lease an interest in property for not more than 20
years;
(2) consider the reasonable probable future use of
the underlying land in making an award for a
condemnation of an interest in airspace;
(3) construct, or acquire an interest in, a public
building (as defined in section 3301(a) of title 40)
only under a delegation of authority from the
Administrator of General Services; and
(4) dispose of property under subsection (a)(2) of
this section, except for airport and airway property
and technical equipment used for the special purposes
of the Administration, only under sections 121, 123,
and 126 and chapter 5 of title 40.
(d) Acquisition Management System.--
(1) In general.--In consultation with such non-
governmental experts in acquisition management systems
as the Administrator may employ, and notwithstanding
provisions of Federal acquisition law, the
Administrator shall develop and implement an
acquisition management system for the Administration
that addresses the unique needs of the agency and, at a
minimum, provides for--
(A) more timely and cost-effective
acquisitions of equipment, services, property,
and materials; and
(B) the resolution of bid protests and
contract disputes related thereto, using
consensual alternative dispute resolution
techniques to the maximum extent practicable.
(2) Applicability of federal acquisition law.--The
following provisions of Federal acquisition law shall
not apply to the new acquisition management system
developed and implemented pursuant to paragraph (1):
(A) Division C (except sections 3302,
3501(b), 3509, 3906, 4710, and 4711) of
subtitle I of title 41.
(B) Division B (except sections 1704 and
2303) of subtitle I of title 41.
(C) The Federal Acquisition Streamlining Act
of 1994 (Public Law 103-355). However, section
4705 of title 41 shall apply to the new
acquisition management system developed and
implemented pursuant to paragraph (1). For the
purpose of applying section 4705 of title 41 to
the system, the term ``executive agency'' is
deemed to refer to the Federal Aviation
Administration.
(D) The Small Business Act (15 U.S.C. 631 et
seq.), except that all reasonable opportunities
to be awarded contracts shall be provided to
small business concerns and small business
concerns owned and controlled by socially and
economically disadvantaged individuals.
(E) The Competition in Contracting Act.
(F) Subchapter V of chapter 35 of title 31,
relating to the procurement protest system.
(G) The Federal Acquisition Regulation and
any laws not listed in subparagraphs (A)
through (F) providing authority to promulgate
regulations in the Federal Acquisition
Regulation.
(3) Certain provisions of division B (except sections
1704 and 2303) of subtitle I of title 41.--
Notwithstanding paragraph (2)(B), chapter 21 of title
41 shall apply to the new acquisition management system
developed and implemented under paragraph (1) with the
following modifications:
(A) Sections 2101 and 2106 of title 41 shall
not apply.
(B) Within 90 days after the date of the
enactment of the Wendell H. Ford Aviation
Investment and Reform Act for the 21st Century,
the Administrator shall adopt definitions for
the acquisition management system that are
consistent with the purpose and intent of the
Office of Federal Procurement Policy Act.
(C) After the adoption of those definitions,
the criminal, civil, and administrative
remedies provided under the Office of Federal
Procurement Policy Act apply to the acquisition
management system.
(D) In the administration of the acquisition
management system, the Administrator may take
adverse personnel action under section
27(e)(3)(A)(iv) of the Office of Federal
Procurement Policy Act in accordance with the
procedures contained in the Administration's
personnel management system.
(4) Adjudication of certain bid protests and contract
disputes.--A bid protest or contract dispute that is
not addressed or resolved through alternative dispute
resolution shall be adjudicated by the Administrator
through Dispute Resolution Officers or Special Masters
of the Federal Aviation Administration Office of
Dispute Resolution for Acquisition, acting pursuant to
sections 46102, 46104, 46105, 46106 and 46107 and shall
be subject to judicial review under section 46110 and
to section 504 of title 5.
(5) Annual report on the purchase of foreign
manufactured articles.--
(A) Report.--Not later than 90 days after the
end of the fiscal year, the Secretary of
Transportation shall submit a report to
Congress on the dollar amount of the
acquisitions made by the agency from entities
that manufacture the articles, materials, or
supplies outside of the United States in such
fiscal year.
(B) Contents.--The report required by
subparagraph (A) shall separately indicate--
(i) the dollar value of any articles,
materials, or supplies purchased that
were manufactured outside of the United
States; and
(ii) a summary of the total
procurement funds spent on goods
manufactured in the United States
versus funds spent on goods
manufactured outside of the United
States.
(C) Availability of report.--The Secretary
shall make the report under subparagraph (A)
publicly available on the agency's website not
later than 30 days after submission to
Congress.
(e) Prohibition on Release of Offeror Proposals.--
(1) General rule.--Except as provided in paragraph
(2), a proposal in the possession or control of the
Administrator may not be made available to any person
under section 552 of title 5.
(2) Exception.--Paragraph (1) shall not apply to any
portion of a proposal of an offeror the disclosure of
which is authorized by the Administrator pursuant to
procedures published in the Federal Register. The
Administrator shall provide an opportunity for public
comment on the procedures for a period of not less than
30 days beginning on the date of such publication in
order to receive and consider the views of all
interested parties on the procedures. The procedures
shall not take effect before the 60th day following the
date of such publication.
(3) Proposal defined.--In this subsection, the term
``proposal'' means information contained in or
originating from any proposal, including a technical,
management, or cost proposal, submitted by an offeror
in response to the requirements of a solicitation for a
competitive proposal.
* * * * * * *
Sec. 40116. State taxation
(a) Definition.--In this section, ``State'' includes the
District of Columbia, a territory or possession of the United
States, and a political authority of at least 2 States.
(b) Prohibitions.--Except as provided in subsection (c) of
this section and section 40117 of this title, a State, a
political subdivision of a State, and any person that has
purchased or leased an airport under section 47134 of this
title may not levy or collect a tax, fee, head charge, or other
charge on--
(1) an individual traveling in air commerce;
(2) the transportation of an individual traveling in
air commerce;
(3) the sale of air transportation; or
(4) the gross receipts from that air commerce or
transportation.
(c) Aircraft Taking Off or Landing in State.--A State or
political subdivision of a State may levy or collect a tax on
or related to a flight of a commercial aircraft or an activity
or service on the aircraft only if the aircraft takes off or
lands in the State or political subdivision as part of the
flight.
(d) Unreasonable Burdens and Discrimination Against
Interstate Commerce.--(1) In this subsection--
(A) ``air carrier transportation property'' means
property (as defined by the Secretary of
Transportation) that an air carrier providing air
transportation owns or uses.
(B) ``assessment'' means valuation for a property tax
levied by a taxing district.
(C) ``assessment jurisdiction'' means a geographical
area in a State used in determining the assessed value
of property for ad valorem taxation.
(D) ``commercial and industrial property'' means
property (except transportation property and land used
primarily for agriculture or timber growing) devoted to
a commercial or industrial use and subject to a
property tax levy.
(2)(A) A State, political subdivision of a State, or
authority acting for a State or political subdivision may not
do any of the following acts because those acts unreasonably
burden and discriminate against interstate commerce:
(i) assess air carrier transportation property at a
value that has a higher ratio to the true market value
of the property than the ratio that the assessed value
of other commercial and industrial property of the same
type in the same assessment jurisdiction has to the
true market value of the other commercial and
industrial property.
(ii) levy or collect a tax on an assessment that may
not be made under clause (i) of this subparagraph.
(iii) levy or collect an ad valorem property tax on
air carrier transportation property at a tax rate
greater than the tax rate applicable to commercial and
industrial property in the same assessment
jurisdiction.
(iv) levy or collect a tax, fee, or charge, first
taking effect after August 23, 1994, exclusively upon
any business located at a commercial service airport or
operating as a permittee of such an airport other than
a tax, fee, or charge wholly utilized for airport or
aeronautical purposes.
(v) except as otherwise provided under section 47133,
levy or collect a tax, fee, or charge, first taking
effect after the date of enactment of this clause, upon
any business located at a commercial service airport or
operating as a permittee of such an airport that is not
generally imposed on sales or services by that State,
political subdivision, or authority unless wholly
utilized for airport or aeronautical purposes.
(B) Subparagraph (A) of this paragraph does not apply to an
in lieu tax completely used for airport and aeronautical
purposes.
(e) Other Allowable Taxes and Charges.--Except as provided in
subsection (d) of this section, a State or political
subdivision of a State may levy or collect--
(1) taxes (except those taxes enumerated in
subsection (b) of this section), including property
taxes, net income taxes, franchise taxes, and sales or
use taxes on the sale of goods or services; and
(2) reasonable rental charges, landing fees, and
other service charges from aircraft operators for using
airport facilities of an airport owned or operated by
that State or subdivision.
(f) Pay of Air Carrier Employees.--(1) In this subsection--
(A) ``pay'' means money received by an employee for
services.
(B) ``State'' means a State of the United States, the
District of Columbia, and a territory or possession of
the United States.
(C) an employee is deemed to have earned 50 percent
of the employee's pay in a State or political
subdivision of a State in which the scheduled flight
time of the employee in the State or subdivision is
more than 50 percent of the total scheduled flight time
of the employee when employed during the calendar year.
(2) The pay of an employee of an air carrier having regularly
assigned duties on aircraft in at least 2 States is subject to
the income tax laws of only the following:
(A) the State or political subdivision of the State
that is the residence of the employee.
(B) the State or political subdivision of the State
in which the employee earns more than 50 percent of the
pay received by the employee from the carrier.
(3) Compensation paid by an air carrier to an employee
described in subsection (a) in connection with such employee's
authorized leave or other authorized absence from regular
duties on the carrier's aircraft in order to perform services
on behalf of the employee's airline union shall be subject to
the income tax laws of only the following:
(A) The State or political subdivision of the State
that is the residence of the employee.
(B) The State or political subdivision of the State
in which the employee's scheduled flight time would
have been more than 50 percent of the employee's total
scheduled flight time for the calendar year had the
employee been engaged full time in the performance of
regularly assigned duties on the carrier's aircraft.
Sec. 40117. Passenger facility charges
(a) Definitions.--In this section, the following definitions
apply:
(1) Airport, commercial service airport, and public
agency.--The terms ``airport'', ``commercial service
airport'', and ``public agency'' have the meaning those
terms have under section 47102.
(2) Eligible agency.--The term ``eligible agency''
means a public agency that controls a commercial
service airport.
(3) Eligible airport-related project.--The term
``eligible airport-related project'' means any of the
following projects:
(A) A project for airport development or
airport planning under subchapter I of chapter
471.
(B) A project for terminal development
described in section 47119(a).
(C) A project for costs of terminal
development referred to in subparagraph (B)
incurred after August 1, 1986, at an airport
that did not have more than .25 percent of the
total annual passenger boardings in the United
States in the most recent calendar year for
which data is available and at which total
passenger boardings declined by at least 16
percent between calendar year 1989 and calendar
year 1997.
(D) A project for airport noise capability
planning under section 47505.
(E) A project to carry out noise
compatibility measures eligible for assistance
under section 47504, whether or not a program
for those measures has been approved under
section 47504.
(F) A project for constructing gates and
related areas at which passengers board or exit
aircraft. In the case of a project required to
enable additional air service by an air carrier
with less than 50 percent of the annual
passenger boardings at an airport, the project
for constructing gates and related areas may
include structural foundations and floor
systems, exterior building walls and load-
bearing interior columns or walls, windows,
door and roof systems, building utilities
(including heating, air conditioning,
ventilation, plumbing, and electrical service),
and aircraft fueling facilities adjacent to the
gate.
(G) A project for converting vehicles and
ground support equipment used at a commercial
service airport to low-emission technology (as
defined in section 47102) or to use cleaner
burning conventional fuels, retrofitting of any
such vehicles or equipment that are powered by
a diesel or gasoline engine with emission
control technologies certified or verified by
the Environmental Protection Agency to reduce
emissions, or acquiring for use at a commercial
service airport vehicles and ground support
equipment that include low-emission technology
or use cleaner burning fuels if the airport is
located in an air quality nonattainment area
(as defined in section 171(2) of the Clean Air
Act (42 U.S.C. 7501(2))) or a maintenance area
referred to in section 175A of such Act (42
U.S.C. 7505a) and if such project will result
in an airport receiving appropriate emission
credits as described in section 47139.
(H) A project for--
(i) converting or retrofitting
vehicles and ground support equipment
into eligible zero-emission vehicles
and equipment (as defined in section
47102); or
(ii) acquiring, by purchase or lease,
eligible zero-emission vehicles and
equipment (as defined in section
47102).
(4) Ground support equipment.--The term ``ground
support equipment'' means service and maintenance
equipment used at an airport to support aeronautical
operations and related activities.
(5) Passenger facility charge.--The term ``passenger
facility charge'' means a [charge or charge] charge
imposed under this section.
(6) Passenger facility revenue.--The term ``passenger
facility revenue'' means revenue derived from a
passenger facility charge.
(b) General Authority.--(1) The Secretary of Transportation
may authorize under this section an eligible agency to impose a
passenger facility charge of $1, $2, [or $3] $3, $4, or $4.50
on each paying passenger of an air carrier or foreign air
carrier boarding an aircraft at an airport the agency controls
to finance an eligible airport-related project, including
making payments for debt service on indebtedness incurred to
carry out the project, to be carried out in connection with the
airport or any other airport the agency controls.
(2) A State, political subdivision of a State, or authority
of a State or political subdivision that is not the eligible
agency may not regulate or prohibit the imposition or
collection of a passenger facility charge or the use of the
passenger facility revenue.
(3) A passenger facility charge may be imposed on a passenger
of an air carrier or foreign air carrier originating or
connecting at the commercial service airport that the agency
controls.
[(4) In lieu of authorizing a charge under paragraph (1), the
Secretary may authorize under this section an eligible agency
to impose a passenger facility charge of $4.00 or $4.50 on each
paying passenger of an air carrier or foreign air carrier
boarding an aircraft at an airport the agency controls to
finance an eligible airport-related project, including making
payments for debt service on indebtedness incurred to carry out
the project, if the Secretary finds--
[(A) in the case of an airport that has more than .25
percent of the total number of annual boardings in the
United States, that the project will make a significant
contribution to improving air safety and security,
increasing competition among air carriers, reducing
current or anticipated congestion, or reducing the
impact of aviation noise on people living near the
airport; and
[(B) that the project cannot be paid for from funds
reasonably expected to be available for the programs
referred to in section 48103.]
(5) Maximum cost for certain low-emission technology
projects.--The maximum cost that may be financed by imposition
of a passenger facility charge under this section for a project
described in subsection (a)(3)(G) with respect to a vehicle or
ground support equipment may not exceed the incremental amount
of the project cost that is greater than the cost of acquiring
a vehicle or equipment that is not low-emission and would be
used for the same purpose, or the cost of low-emission
retrofitting, as determined by the Secretary.
(6) Debt service for certain projects.--In addition to the
uses [specified in paragraphs (1) and (4)] specified in
paragraph (1) , the Secretary may authorize a passenger
facility charge [imposed under paragraph (1) or (4)] imposed
under paragraph (1) to be used for making payments for debt
service on indebtedness incurred to carry out at the airport a
project that is not an eligible airport-related project if the
Secretary determines that such use is necessary due to the
financial need of the airport.
(7) Noise mitigation for certain schools.--
(A) In general.--In addition to the uses [specified
in paragraphs (1), (4), and (6)] specified in
paragraphs (1) and (6) , the Secretary may authorize a
passenger facility charge [imposed under paragraph (1)
or (4)] imposed under paragraph (1) at a large hub
airport that is the subject of an amended judgment and
final order in condemnation filed on January 7, 1980,
by the Superior Court of the State of California for
the county of Los Angeles, to be used for a project to
carry out noise mitigation for a building, or for the
replacement of a relocatable building with a permanent
building, in the noise impacted area surrounding the
airport at which such building is used primarily for
educational purposes, notwithstanding the air easement
granted or any terms to the contrary in such judgment
and final order, if--
(i) the Secretary determines that the
building is adversely affected by airport
noise;
(ii) the building is owned or chartered by
the school district that was the plaintiff in
case number 986,442 or 986,446, which was
resolved by such judgment and final order;
(iii) the project is for a school identified
in 1 of the settlement agreements effective
February 16, 2005, between the airport and each
of the school districts;
(iv) in the case of a project to replace a
relocatable building with a permanent building,
the eligible project costs are limited to the
actual structural construction costs necessary
to mitigate aircraft noise in instructional
classrooms to an interior noise level meeting
current standards of the Federal Aviation
Administration; and
(v) the project otherwise meets the
requirements of this section for authorization
of a passenger facility charge.
(B) Eligible project costs.--In subparagraph (A)(iv),
the term ``eligible project costs'' means the
difference between the cost of standard school
construction and the cost of construction necessary to
mitigate classroom noise to the standards of the
Federal Aviation Administration.
(c) Applications.--(1) An eligible agency must submit to the
Secretary an application for authority to impose a passenger
facility charge. The application shall contain information and
be in the form that the Secretary may require by regulation.
(2) Before submitting an application, the eligible agency
must provide reasonable notice to, and an opportunity for
consultation with, air carriers and foreign air carriers
operating at the airport. The Secretary shall prescribe
regulations that define reasonable notice and contain at least
the following requirements:
(A) The agency must provide written notice of
individual projects being considered for financing by a
passenger facility charge and the date and location of
a meeting to present the projects to air carriers and
foreign air carriers operating at the airport.
(B) Not later than 30 days after written notice is
provided under subparagraph (A) of this paragraph, each
air carrier and foreign air carrier operating at the
airport must provide to the agency written notice of
receipt of the notice. Failure of a carrier to provide
the notice may be deemed certification of agreement
with the project by the carrier under subparagraph (D)
of this paragraph.
(C) Not later than 45 days after written notice is
provided under subparagraph (A) of this paragraph, the
agency must conduct a meeting to provide air carriers
and foreign air carriers with descriptions of projects
and justifications and a detailed financial plan for
projects.
(D) Not later than 30 days after the meeting, each
air carrier and foreign air carrier must provide to the
agency certification of agreement or disagreement with
projects (or total plan for the projects). Failure to
provide the certification is deemed certification of
agreement with the project by the carrier. A
certification of disagreement is void if it does not
contain the reasons for the disagreement.
(E) The agency must include in its application or
notice submitted under subparagraph (A) copies of all
certifications of agreement or disagreement received
under subparagraph (D).
(F) For the purpose of this section, an eligible
agency providing notice and an opportunity for
consultation to an air carrier or foreign air carrier
is deemed to have satisfied the requirements of this
paragraph if the eligible agency limits such notices
and consultations to air carriers and foreign air
carriers that have a significant business interest at
the airport. In the subparagraph, the term
``significant business interest'' means an air carrier
or foreign air carrier that had no less than 1.0
percent of passenger boardings at the airport in the
prior calendar year, had at least 25,000 passenger
boardings at the airport in the prior calendar year, or
provides scheduled service at the airport.
(3) Before submitting an application, the eligible agency
must provide reasonable notice and an opportunity for public
comment. The Secretary shall prescribe regulations that define
reasonable notice and provide for at least the following under
this paragraph:
(A) A requirement that the eligible agency provide
public notice of intent to collect a passenger facility
charge so as to inform those interested persons and
agencies that may be affected. The public notice may
include--
(i) publication in local newspapers of
general circulation;
(ii) publication in other local media; and
(iii) posting the notice on the agency's
Internet website.
(B) A requirement for submission of public comments
no sooner than 30 days, and no later than 45 days,
after the date of the publication of the notice.
(C) A requirement that the agency include in its
application or notice submitted under subparagraph (A)
copies of all comments received under subparagraph (B).
(4) After receiving an application, the Secretary may provide
notice and an opportunity to air carriers, foreign air
carriers, and other interested persons to comment on the
application. The Secretary shall make a final decision on the
application not later than 120 days after receiving it.
(d) Limitations on Approving Applications.--The Secretary may
approve an application that an eligible agency has submitted
under subsection (c) of this section to finance a specific
project only if the Secretary finds, based on the application,
that--
(1) the amount and duration of the proposed passenger
facility charge will result in revenue (including
interest and other returns on the revenue) that is not
more than the amount necessary to finance the specific
project;
(2) each project is an eligible airport-related
project that will--
(A) preserve or enhance capacity, safety, or
security of the national air transportation
system;
(B) reduce noise resulting from an airport
that is part of the system; or
(C) provide an opportunity for enhanced
competition between or among air carriers and
foreign air carriers;
(3) the application includes adequate justification
for each of the specific projects; and
(4) in the case of an application to impose a charge
of more than $3.00 for an eligible surface
transportation or terminal project, the agency has made
adequate provision for financing the airside needs of
the airport, including runways, taxiways, aprons, and
aircraft gates.
(e) Limitations on Imposing Charges.--(1) An eligible agency
may impose a passenger facility charge only--
(A) if the Secretary approves an application that the
agency has submitted under subsection (c) of this
section; and
(B) subject to terms the Secretary may prescribe to
carry out the objectives of this section.
(2) A passenger facility charge may not be collected from a
passenger--
(A) for more than 2 boardings on a one-way trip or a
trip in each direction of a round trip;
(B) for the boarding to an eligible place under
subchapter II of chapter 417 of this title for which
essential air service compensation is paid under
subchapter II;
(C) enplaning at an airport if the passenger did not
pay for the air transportation which resulted in such
enplanement, including any case in which the passenger
obtained the ticket for the air transportation with a
frequent flier award coupon without monetary payment;
(D) on flights, including flight segments, between 2
or more points in Hawaii;
(E) in Alaska aboard an aircraft having a seating
capacity of less than 60 passengers; and
(F) enplaning at an airport if the passenger did not
pay for the air transportation which resulted in such
enplanement due to charter arrangements and payment by
the Department of Defense.
(f) Limitations on Contracts, Leases, and Use Agreements.--
(1) A contract between an air carrier or foreign air carrier
and an eligible agency made at any time may not impair the
authority of the agency to impose a passenger facility charge
or to use the passenger facility revenue as provided in this
section.
(2) A project financed with a passenger facility charge may
not be subject to an exclusive long-term lease or use agreement
of an air carrier or foreign air carrier, as defined by
regulations of the Secretary.
(3) A lease or use agreement of an air carrier or foreign air
carrier related to a project whose construction or expansion
was financed with a passenger facility charge may not restrict
the eligible agency from financing, developing, or assigning
new capacity at the airport with passenger facility revenue.
(g) Treatment of Revenue.--(1) Passenger facility revenue is
not airport revenue for purposes of establishing a price under
a contract between an eligible agency and an air carrier or
foreign air carrier.
(2) An eligible agency may not include in its price base the
part of the capital costs of a project paid for by using
passenger facility revenue to establish a price under a
contract between the agency and an air carrier or foreign air
carrier.
(3) For a project for terminal development, gates and related
areas, or a facility occupied or used by at least one air
carrier or foreign air carrier on an exclusive or preferential
basis, a price payable by an air carrier or foreign air carrier
using the facilities must at least equal the price paid by an
air carrier or foreign air carrier using a similar facility at
the airport that was not financed with passenger facility
revenue.
(4) Passenger facility revenues that are held by an air
carrier or an agent of the carrier after collection of a
passenger facility charge constitute a trust fund that is held
by the air carrier or agent for the beneficial interest of the
eligible agency imposing the charge. Such carrier or agent
holds neither legal nor equitable interest in the passenger
facility revenues except for any handling fee or retention of
interest collected on unremitted proceeds as may be allowed by
the Secretary.
(h) Compliance.--(1) As necessary to ensure compliance with
this section, the Secretary shall prescribe regulations
requiring recordkeeping and auditing of accounts maintained by
an air carrier or foreign air carrier and its agent collecting
a passenger facility charge and by the eligible agency imposing
the charge.
(2) The Secretary periodically shall audit and review the use
by an eligible agency of passenger facility revenue. After
review and a public hearing, the Secretary may end any part of
the authority of the agency to impose a passenger facility
charge to the extent the Secretary decides that the revenue is
not being used as provided in this section.
(3) The Secretary may set off amounts necessary to ensure
compliance with this section against amounts otherwise payable
to an eligible agency under subchapter I of chapter 471 of this
title if the Secretary decides a passenger facility charge is
excessive or that passenger facility revenue is not being used
as provided in this section.
(i) Regulations.--The Secretary shall prescribe regulations
necessary to carry out this section. The regulations--
(1) may prescribe the time and form by which a
passenger facility charge takes effect;
(2) shall--
(A) require an air carrier or foreign air
carrier and its agent to collect a passenger
facility charge that an eligible agency imposes
under this section;
(B) establish procedures for handling and
remitting money collected;
(C) ensure that the money, less a uniform
amount the Secretary determines reflects the
average necessary and reasonable expenses (net
of interest accruing to the carrier and agent
after collection and before remittance)
incurred in collecting and handling the charge,
is paid promptly to the eligible agency for
which they are collected; and
(D) require that the amount collected for any
air transportation be noted on the ticket for
that air transportation; and
(3) may permit an eligible agency to request that
collection of a passenger facility charge be waived
for--
(A) passengers enplaned by any class of air
carrier or foreign air carrier if the number of
passengers enplaned by the carriers in the
class constitutes not more than one percent of
the total number of passengers enplaned
annually at the airport at which the charge is
imposed; or
(B) passengers enplaned on a flight to an
airport--
(i) that has fewer than 2,500
passenger boardings each year and
receives scheduled passenger service;
or
(ii) in a community which has a
population of less than 10,000 and is
not connected by a land highway or
vehicular way to the land-connected
National Highway System within a State.
(j) Limitation on Certain Actions.--A State, political
subdivision of a State, or authority of a State or political
subdivision that is not the eligible agency may not tax,
regulate, or prohibit or otherwise attempt to control in any
manner, the imposition or collection of a passenger facility
charge or the use of the revenue from the passenger facility
charge.
(k) Competition Plans.--
(1) In general.--Beginning in fiscal year 2001, no
eligible agency may impose a passenger facility charge
under this section with respect to a covered airport
(as such term is defined in section 47106(f)) unless
the agency has submitted to the Secretary a written
competition plan in accordance with such section. This
subsection does not apply to passenger facility charges
in effect before the date of the enactment of this
subsection.
(2) Secretary shall ensure implementation and
compliance.--The Secretary shall review any plan
submitted under paragraph (1) to ensure that it meets
the requirements of this section, and shall review its
implementation from time-to-time to ensure that each
covered airport successfully implements its plan.
(l) Pilot Program for Passenger Facility Charge
Authorizations [at Nonhub Airports].--
(1) In general.--The Secretary shall establish a
pilot program to test alternative procedures for
authorizing eligible agencies for [nonhub] airports to
impose passenger facility charges. An eligible agency
may impose in accordance with the provisions of this
subsection a passenger facility charge under this
section. For purposes of the pilot program, the
procedures in this subsection shall apply instead of
the procedures otherwise provided in this section.
(2) Notice and opportunity for consultation.--The
eligible agency must provide reasonable notice and an
opportunity for consultation to air carriers and
foreign air carriers in accordance with subsection
(c)(2) and must provide reasonable notice and
opportunity for public comment in accordance with
subsection (c)(3).
(3) Notice of intention.--The eligible agency must
submit to the Secretary a notice of intention to impose
a passenger facility charge under this subsection. The
notice shall include--
(A) information that the Secretary may
require by regulation on each project for which
authority to impose a passenger facility charge
is sought;
(B) the amount of revenue from passenger
facility charges that is proposed to be
collected for each project; and
(C) the level of the passenger facility
charge that is proposed.
(4) Acknowledgement of receipt and indication of
objection.--The Secretary shall acknowledge receipt of
the notice and indicate any objection to the imposition
of a passenger facility charge under this subsection
for any project identified in the notice within 30 days
after receipt of the eligible agency's notice.
(5) Authority to impose charge.--Unless the Secretary
objects within 30 days after receipt of the eligible
agency's notice, the eligible agency is authorized to
impose a passenger facility charge in accordance with
the terms of its notice under this subsection.
(6) Regulations.--Not later than 180 days after the
date of enactment of this subsection, the Secretary
shall propose such regulations as may be necessary to
carry out this subsection.
(7) Acknowledgement not an order.--An acknowledgement
issued under paragraph (4) shall not be considered an
order issued by the Secretary for purposes of section
46110.
(m) Financial Management of Charges.--
(1) Handling of charges.--A covered air carrier shall
segregate in a separate account passenger facility
revenue equal to the average monthly liability for
charges collected under this section by such carrier or
any of its agents for the benefit of the eligible
agencies entitled to such revenue.
(2) Trust fund status.--If a covered air carrier or
its agent fails to segregate passenger facility revenue
in violation of the subsection, the trust fund status
of such revenue shall not be defeated by an inability
of any party to identify and trace the precise funds in
the accounts of the air carrier.
(3) Prohibition.--A covered air carrier and its
agents may not grant to any third party any security or
other interest in passenger facility revenue.
(4) Compensation to eligible entities.--A covered air
carrier that fails to comply with any requirement of
this subsection, or otherwise unnecessarily causes an
eligible entity to expend funds, through litigation or
otherwise, to recover or retain payment of passenger
facility revenue to which the eligible entity is
otherwise entitled shall be required to compensate the
eligible agency for the costs so incurred.
(5) Interest on amounts.--A covered air carrier that
collects passenger facility charges is entitled to
receive the interest on passenger facility charge
accounts if the accounts are established and maintained
in compliance with this subsection.
(6) Existing regulations.--The provisions of section
158.49 of title 14, Code of Federal Regulations, that
permit the commingling of passenger facility charges
with other air carrier revenue shall not apply to a
covered air carrier.
(7) Covered air carrier defined.--In this section,
the term ``covered air carrier'' means an air carrier
that files for chapter 7 or chapter 11 of title 11
bankruptcy protection, or has an involuntary chapter 7
of title 11 bankruptcy proceeding commenced against it,
after the date of enactment of this subsection.
(n) Use of Revenues at Previously Associated Airport.--
Notwithstanding the requirements relating to airport control
under subsection (b)(1), the Secretary may authorize use of a
passenger facility charge under subsection (b) to finance an
eligible airport-related project if--
(1) the eligible agency seeking to impose the new
charge controls an airport where a $2.00 passenger
facility charge became effective on January 1, 2013;
and
(2) the location of the project to be financed by the
new charge is at an airport that was under the control
of the same eligible agency that had controlled the
airport described in paragraph (1).
* * * * * * *
Sec. 40122. Federal Aviation Administration personnel management system
(a) In General.--
(1) Consultation and negotiation.--In developing and
making changes to the personnel management system
initially implemented by the Administrator of the
Federal Aviation Administration on April 1, 1996, the
Administrator shall negotiate with the exclusive
bargaining representatives of employees of the
Administration certified under section 7111 of title 5
and consult with other employees of the Administration.
(2) Dispute resolution.--
(A) Mediation.--If the Administrator does not
reach an agreement under paragraph (1) or the
provisions referred to in subsection (g)(2)(C)
with the exclusive bargaining representative of
the employees, the Administrator and the
bargaining representative--
(i) shall use the services of the
Federal Mediation and Conciliation
Service to attempt to reach such
agreement in accordance with part 1425
of title 29, Code of Federal
Regulations (as in effect on the date
of enactment of the FAA Modernization
and Reform Act of 2012); or
(ii) may by mutual agreement adopt
alternative procedures for the
resolution of disputes or impasses
arising in the negotiation of the
collective-bargaining agreement.
(B) Mid-term bargaining.--If the services of
the Federal Mediation and Conciliation Service
under subparagraph (A)(i) do not lead to the
resolution of issues in controversy arising
from the negotiation of a mid-term collective-
bargaining agreement, the Federal Service
Impasses Panel shall assist the parties in
resolving the impasse in accordance with
section 7119 of title 5.
(C) Binding arbitration for term
bargaining.--
(i) Assistance from federal service
impasses panel.--If the services of the
Federal Mediation and Conciliation
Service under subparagraph (A)(i) do
not lead to the resolution of issues in
controversy arising from the
negotiation of a term collective-
bargaining agreement, the Administrator
and the exclusive bargaining
representative of the employees (in
this subparagraph referred to as the
``parties'') shall submit their issues
in controversy to the Federal Service
Impasses Panel. The Panel shall assist
the parties in resolving the impasse by
asserting jurisdiction and ordering
binding arbitration by a private
arbitration board consisting of 3
members.
(ii) Appointment of arbitration
board.--The Executive Director of the
Panel shall provide for the appointment
of the 3 members of a private
arbitration board under clause (i) by
requesting the Director of the Federal
Mediation and Conciliation Service to
prepare a list of not less than 15
names of arbitrators with Federal
sector experience and by providing the
list to the parties. Not later than 10
days after receiving the list, the
parties shall each select one person
from the list. The 2 arbitrators
selected by the parties shall then
select a third person from the list not
later than 7 days after being selected.
If either of the parties fails to
select a person or if the 2 arbitrators
are unable to agree on the third person
in 7 days, the parties shall make the
selection by alternately striking names
on the list until one arbitrator
remains.
(iii) Framing issues in
controversy.--If the parties do not
agree on the framing of the issues to
be submitted for arbitration, the
arbitration board shall frame the
issues.
(iv) Hearings.--The arbitration board
shall give the parties a full and fair
hearing, including an opportunity to
present evidence in support of their
claims and an opportunity to present
their case in person, by counsel, or by
other representative as they may elect.
(v) Decisions.--The arbitration board
shall render its decision within 90
days after the date of its appointment.
Decisions of the arbitration board
shall be conclusive and binding upon
the parties.
(vi) Matters for consideration.--The
arbitration board shall take into
consideration such factors as--
(I) the effect of its
arbitration decisions on the
Federal Aviation
Administration's ability to
attract and retain a qualified
workforce;
(II) the effect of its
arbitration decisions on the
Federal Aviation
Administration's budget; and
(III) any other factors whose
consideration would assist the
board in fashioning a fair and
equitable award.
(vii) Costs.--The parties shall share
costs of the arbitration equally.
(3) Ratification of agreements.--Upon reaching a
voluntary agreement or at the conclusion of the binding
arbitration under paragraph (2)(C), the final
agreement, except for those matters decided by an
arbitration board, shall be subject to ratification by
the exclusive bargaining representative of the
employees, if so requested by the bargaining
representative, and the final agreement shall be
subject to approval by the head of the agency in
accordance with the provisions referred to in
subsection (g)(2)(C).
(4) Cost savings and productivity goals.--The
Administration and the exclusive bargaining
representatives of the employees shall use every
reasonable effort to find cost savings and to increase
productivity within each of the affected bargaining
units.
(5) Annual budget discussions.--The Administration
and the exclusive bargaining representatives of the
employees shall meet annually for the purpose of
finding additional cost savings within the
Administration's annual budget as it applies to each of
the affected bargaining units and throughout the
agency.
(b) Expert Evaluation.--On the date that is 3 years after the
personnel management system is implemented, the Administration
shall employ outside experts to provide an independent
evaluation of the effectiveness of the system within 3 months
after such date. For this purpose, the Administrator may
utilize the services of experts and consultants under section
3109 of title 5 without regard to the limitation imposed by the
last sentence of section 3109(b) of such title, and may
contract on a sole source basis, notwithstanding any other
provision of law to the contrary.
(c) Pay Restriction.--No officer or employee of the
Administration may receive an annual rate of basic pay in
excess of the annual rate of basic pay payable to the
Administrator.
(d) Ethics.--The Administration shall be subject to Executive
Order No. 12674 and regulations and opinions promulgated by the
Office of Government Ethics, including those set forth in
section 2635 of title 5 of the Code of Federal Regulations.
(e) Employee Protections.--Until July 1, 1999, basic wages
(including locality pay) and operational differential pay
provided employees of the Administration shall not be
involuntarily adversely affected by reason of the enactment of
this section, except for unacceptable performance or by reason
of a reduction in force or reorganization or by agreement
between the Administration and the affected employees'
exclusive bargaining representative.
(f) Labor-Management Agreements.--Except as otherwise
provided by this title, all labor-management agreements
covering employees of the Administration that are in effect on
the effective date of the Air Traffic Management System
Performance Improvement Act of 1996 shall remain in effect
until their normal expiration date, unless the Administrator
and the exclusive bargaining representative agree to the
contrary.
(g) Personnel Management System.--
(1) In general.--In consultation with the employees
of the Administration and such non-governmental experts
in personnel management systems as he may employ, and
notwithstanding the provisions of title 5 and other
Federal personnel laws, the Administrator shall develop
and implement, not later than January 1, 1996, a
personnel management system for the Administration that
addresses the unique demands on the agency's workforce.
Such a new system shall, at a minimum, provide for
greater flexibility in the hiring, training,
compensation, and location of personnel.
(2) Applicability of title 5.--The provisions of
title 5 shall not apply to the new personnel management
system developed and implemented pursuant to paragraph
(1), with the exception of--
(A) section 2302(b), relating to
whistleblower protection, including the
provisions for investigation and enforcement as
provided in chapter 12 of title 5;
(B) sections 3304(f), 3308-3320, 3330a,
3330b, 3330c, and 3330d, relating to veterans'
preference;
(C) chapter 71, relating to labor-management
relations;
(D) section 7204, relating to
antidiscrimination;
(E) chapter 73, relating to suitability,
security, and conduct;
(F) chapter 81, relating to compensation for
work injury;
(G) chapters 83-85, 87, and 89, relating to
retirement, unemployment compensation, and
insurance coverage;
(H) sections 1204, 1211-1218, 1221, and 7701-
7703, relating to the Merit Systems Protection
Board;
(I) subsections (b), (c), and (d) of section
4507 (relating to Meritorious Executive or
Distinguished Executive rank awards) and
subsections (b) and (c) of section 4507a
(relating to Meritorious Senior Professional or
Distinguished Senior Professional rank awards),
except that--
(i) for purposes of applying such
provisions to the personnel management
system--
(I) the term ``agency'' means
the Department of
Transportation;
(II) the term ``senior
executive'' means a Federal
Aviation Administration
executive;
(III) the term ``career
appointee'' means a Federal
Aviation Administration career
executive; and
(IV) the term ``senior career
employee'' means a Federal
Aviation Administration career
senior professional;
(ii) receipt by a career appointee or
a senior career employee of the rank of
Meritorious Executive or Meritorious
Senior Professional entitles the
individual to a lump-sum payment of an
amount equal to 20 percent of annual
basic pay, which shall be in addition
to the basic pay paid under the Federal
Aviation Administration Executive
Compensation Plan; and
(iii) receipt by a career appointee
or a senior career employee of the rank
of Distinguished Executive or
Distinguished Senior Professional
entitles the individual to a lump-sum
payment of an amount equal to 35
percent of annual basic pay, which
shall be in addition to the basic pay
paid under the Federal Aviation
Administration Executive Compensation
Plan; and
(J) subject to paragraph (4) of this
subsection, section 6329, relating to disabled
veteran leave.
(3) Appeals to Merit Systems Protection Board.--Under
the new personnel management system developed and
implemented under paragraph (1), an employee of the
Administration may submit an appeal to the Merit
Systems Protection Board and may seek judicial review
of any resulting final orders or decisions of the Board
from any action that was appealable to the Board under
any law, rule, or regulation as of March 31, 1996.
Notwithstanding any other provision of law, retroactive
to April 1, 1996, the Board shall have the same
remedial authority over such employee appeals that it
had as of March 31, 1996.
(4) Certification of disabled veteran leave.--In
order to verify that leave credited to an employee
pursuant to paragraph (2)(J) is used for treating a
service-connected disability, that employee shall,
notwithstanding section 6329(c) of title 5, submit to
the Assistant Administrator for Human Resource
Management of the Federal Aviation Administration
certification, in such form and manner as the
Administrator of the Federal Aviation Administration
may prescribe, that the employee used that leave for
purposes of being furnished treatment for that
disability by a health care provider.
(5) Effective date.--This subsection shall take
effect on April 1, 1996.
(h) Right To Contest Adverse Personnel Actions.--An employee
of the Federal Aviation Administration who is the subject of a
major adverse personnel action may contest the action either
through any contractual grievance procedure that is applicable
to the employee as a member of the collective bargaining unit
or through the Administration's internal process relating to
review of major adverse personnel actions of the
Administration, known as Guaranteed Fair Treatment, or under
section 40122(g)(3).
(i) Election of Forum.--Where a major adverse personnel
action may be contested through more than one of the indicated
forums (such as the contractual grievance procedure, the
Federal Aviation Administration's internal process, or that of
the Merit Systems Protection Board), an employee must elect the
forum through which the matter will be contested. Nothing in
this section is intended to allow an employee to contest an
action through more than one forum unless otherwise allowed by
law.
(j) Definition.--In this section, the term ``major adverse
personnel action'' means a suspension of more than 14 days, a
reduction in pay or grade, a removal for conduct or
performance, a nondisciplinary removal, a furlough of 30 days
or less (but not including placement in a nonpay status as the
result of a lapse of appropriations or an enactment by
Congress), or a reduction in force action.
* * * * * * *
Sec. 40125. Qualifications for public aircraft status
(a) Definitions.--In this section, the following definitions
apply:
(1) Commercial purposes.--The term ``commercial
purposes'' means the transportation of persons or
property for compensation or hire, but does not include
the operation of an aircraft by the armed forces for
reimbursement when that reimbursement is required by
any Federal statute, regulation, or directive, in
effect on November 1, 1999, or by one government on
behalf of another government under a cost reimbursement
agreement if the government on whose behalf the
operation is conducted certifies to the Administrator
of the Federal Aviation Administration that the
operation is necessary to respond to a significant and
imminent threat to life or property (including natural
resources) and that no service by a private operator is
reasonably available to meet the threat.
(2) Governmental function.--The term ``governmental
function'' means an activity undertaken by a
government, such as national defense, intelligence
missions, firefighting, search and rescue, law
enforcement (including transport of prisoners,
detainees, and illegal aliens), aeronautical research,
or biological or geological resource management.
(3) Qualified non-crewmember.--The term ``qualified
non-crewmember'' means an individual, other than a
member of the crew, aboard an aircraft--
(A) operated by the armed forces or an
intelligence agency of the United States
Government; or
(B) whose presence is required to perform, or
is associated with the performance of, a
governmental function.
(4) Armed forces.--The term ``armed forces'' has the
meaning given such term by section 101 of title 10.
(b) Aircraft Owned by Governments.--An aircraft described in
subparagraph (A), (B), (C), [or (D)] (D), or (F) of section
40102(a)(41) does not qualify as a public aircraft under such
section when the aircraft is used for commercial purposes or to
carry an individual other than a crewmember or a qualified non-
crewmember.
(c) Aircraft Owned or Operated by the Armed Forces.--
(1) In general.--Subject to paragraph (2), an
aircraft described in section 40102(a)(41)(E) qualifies
as a public aircraft if--
(A) the aircraft is operated in accordance
with title 10;
(B) the aircraft is operated in the
performance of a governmental function under
title 14, 31, 32, or 50 and the aircraft is not
used for commercial purposes; or
(C) the aircraft is chartered to provide
transportation or other commercial air service
to the armed forces and the Secretary of
Defense (or the Secretary of the department in
which the Coast Guard is operating) designates
the operation of the aircraft as being required
in the national interest.
(2) Limitation.--An aircraft that meets the criteria
set forth in paragraph (1) and that is owned or
operated by the National Guard of a State, the District
of Columbia, or any territory or possession of the
United States, qualifies as a public aircraft only to
the extent that it is operated under the direct control
of the Department of Defense.
(d) Search and Rescue Purposes.--An aircraft described in
section 40102(a)(41)(D) that is not exclusively leased for at
least 90 continuous days by the government of a State, the
District of Columbia, or a territory or possession of the
United States or a political subdivision of 1 of those
governments, qualifies as a public aircraft if the
Administrator determines that--
(1) there are extraordinary circumstances;
(2) the aircraft will be used for the performance of
search and rescue missions;
(3) a community would not otherwise have access to
search and rescue services; and
(4) a government entity demonstrates that granting
the waiver is necessary to prevent an undue economic
burden on that government.
* * * * * * *
Sec. 40128. Overflights of national parks
(a) In General.--
(1) General requirements.--A commercial air tour
operator may not conduct commercial air tour operations
over a national park or tribal lands, as defined by
this section, except--
(A) in accordance with this section;
(B) in accordance with conditions and
limitations prescribed for that operator by the
Administrator; and
(C) in accordance with any applicable air
tour management plan or voluntary agreement
under subsection (b)(7) for the park or tribal
lands.
(2) Application for operating authority.--
(A) Application required.--Before commencing
commercial air tour operations over a national
park or tribal lands, a commercial air tour
operator shall apply to the Administrator for
authority to conduct the operations over the
park or tribal lands.
(B) Competitive bidding for limited capacity
parks.--Whenever an air tour management plan
limits the number of commercial air tour
operations over a national park during a
specified time frame, the Administrator, in
cooperation with the Director, shall issue
operation specifications to commercial air tour
operators that conduct such operations. The
operation specifications shall include such
terms and conditions as the Administrator and
the Director find necessary for management of
commercial air tour operations over the park.
The Administrator, in cooperation with the
Director, shall develop an open competitive
process for evaluating proposals from persons
interested in providing commercial air tour
operations over the park. In making a selection
from among various proposals submitted, the
Administrator, in cooperation with the
Director, shall consider relevant factors,
including--
(i) the safety record of the person
submitting the proposal or pilots
employed by the person;
(ii) any quiet aircraft technology
proposed to be used by the person
submitting the proposal;
(iii) the experience of the person
submitting the proposal with commercial
air tour operations over other national
parks or scenic areas;
(iv) the financial capability of the
person submitting the proposal;
(v) any training programs for pilots
provided by the person submitting the
proposal; and
(vi) responsiveness of the person
submitting the proposal to any relevant
criteria developed by the National Park
Service for the affected park.
(C) Number of operations authorized.--In
determining the number of authorizations to
issue to provide commercial air tour operations
over a national park, the Administrator, in
cooperation with the Director, shall take into
consideration the provisions of the air tour
management plan, the number of existing
commercial air tour operators and current level
of service and equipment provided by any such
operators, and the financial viability of each
commercial air tour operation.
(D) Cooperation with NPS.--Before granting an
application under this paragraph, the
Administrator, in cooperation with the
Director, shall develop an air tour management
plan in accordance with subsection (b) and
implement such plan.
(E) Time limit on response to ATMP
applications.--The Administrator shall make
every effort to act on any application under
this paragraph and issue a decision on the
application not later than 24 months after it
is received or amended.
(F) Priority.--In acting on applications
under this paragraph to provide commercial air
tour operations over a national park, the
Administrator shall give priority to an
application under this paragraph in any case in
which a new entrant commercial air tour
operator is seeking operating authority with
respect to that national park.
(3) Exception.--Notwithstanding paragraph (1),
commercial air tour operators may conduct commercial
air tour operations over a national park [under part 91
of the title 14,] under part 91 of title 14, Code of
Federal Regulations if--
(A) such activity is permitted under part 119
of such title;
(B) the operator secures a letter of
agreement from the Administrator and the
national park superintendent for that national
park describing the conditions under which the
operations will be conducted; and
(C) the total number of operations under this
exception is limited to not more than five
flights in any 30-day period over a particular
park.
(4) Special rule for safety requirements.--
Notwithstanding subsection (c), an existing commercial
air tour operator shall apply, not later than 90 days
after the date of the enactment of this section, for
operating authority under part 119, 121, or 135 of
title 14, Code of Federal Regulations. A new entrant
commercial air tour operator shall apply for such
authority before conducting commercial air tour
operations over a national park or tribal lands. The
Administrator shall make every effort to act on any
such application for a new entrant and issue a decision
on the application not later than 24 months after it is
received or amended.
(5) Exemption for national parks with 50 or fewer
flights each year.--
(A) In general.--Notwithstanding paragraph
(1), a national park that has 50 or fewer
commercial air tour operations over the park
each year shall be exempt from the requirements
of this section, except as provided in
subparagraph (B).
(B) Withdrawal of exemption.--If the Director
determines that an air tour management plan or
voluntary agreement is necessary to protect
park resources and values or park visitor use
and enjoyment, the Director shall withdraw the
exemption of a park under subparagraph (A).
(C) List of parks.--
(i) In general.--The Director and
Administrator shall jointly publish a
list each year of national parks that
are covered by the exemption provided
under this paragraph.
(ii) Notification of withdrawal of
exemption.--The Director shall inform
the Administrator, in writing, of each
determination to withdraw an exemption
under subparagraph (B).
(D) Annual report.--A commercial air tour
operator conducting commercial air tour
operations over a national park that is exempt
from the requirements of this section shall
submit to the Administrator and the Director a
report each year that includes the number of
commercial air tour operations the operator
conducted during the preceding 1-year period
over such park.
(b) Air Tour Management Plans.--
(1) Establishment.--
(A) In general.--The Administrator, in
cooperation with the Director, shall establish
an air tour management plan for any national
park or tribal land for which such a plan is
not in effect whenever a person applies for
authority to conduct a commercial air tour
operation over the park. The air tour
management plan shall be developed by means of
a public process in accordance with paragraph
(4).
(B) Objective.--The objective of any air tour
management plan shall be to develop acceptable
and effective measures to mitigate or prevent
the significant adverse impacts, if any, of
commercial air tour operations upon the natural
and cultural resources, visitor experiences,
and tribal lands.
(C) Exception.--An application to begin or
expand commercial air tour operations at Crater
Lake National Park or Great Smoky Mountains
National Park may be denied without the
establishment of an air tour management plan by
the Director of the National Park Service if
the Director determines that such operations
would adversely affect park resources or
visitor experiences.
(2) Environmental determination.--In establishing an
air tour management plan under this subsection, the
Administrator and the Director shall each sign the
environmental decision document required by section 102
of the National Environmental Policy Act of 1969 (42
U.S.C. 4332) which may include a finding of no
significant impact, an environmental assessment, or an
environmental impact statement and the record of
decision for the air tour management plan.
(3) Contents.--An air tour management plan for a
national park--
(A) may prohibit commercial air tour
operations over a national park in whole or in
part;
(B) may establish conditions for the conduct
of commercial air tour operations over a
national park, including commercial air tour
routes, maximum or minimum altitudes, time-of-
day restrictions, restrictions for particular
events, maximum number of flights per unit of
time, intrusions on privacy on tribal lands,
and mitigation of noise, visual, or other
impacts;
(C) shall apply to all commercial air tour
operations over a national park that are also
within 1/2 mile outside the boundary of a
national park;
(D) shall include incentives (such as
preferred commercial air tour routes and
altitudes, relief from caps and curfews) for
the adoption of quiet aircraft technology by
commercial air tour operators conducting
commercial air tour operations over a national
park;
(E) shall provide for the initial allocation
of opportunities to conduct commercial air tour
operations over a national park if the plan
includes a limitation on the number of
commercial air tour operations for any time
period; and
(F) shall justify and document the need for
measures taken pursuant to subparagraphs (A)
through (E) and include such justifications in
the record of decision.
(4) Procedure.--In establishing an air tour
management plan for a national park or tribal lands,
the Administrator and the Director shall--
(A) hold at least one public meeting with
interested parties to develop the air tour
management plan;
(B) publish the proposed plan in the Federal
Register for notice and comment and make copies
of the proposed plan available to the public;
(C) comply with the regulations set forth in
sections 1501.3 and 1501.5 through 1501.8 of
title 40, Code of Federal Regulations (for
purposes of complying with the regulations, the
Federal Aviation Administration shall be the
lead agency and the National Park Service is a
cooperating agency); and
(D) solicit the participation of any Indian
tribe whose tribal lands are, or may be,
overflown by aircraft involved in a commercial
air tour operation over the park or tribal
lands to which the plan applies, as a
cooperating agency under the regulations
referred to in subparagraph (C).
(5) Judicial review.--An air tour management plan
developed under this subsection shall be subject to
judicial review.
(6) Amendments.--The Administrator, in cooperation
with the Director, may make amendments to an air tour
management plan. Any such amendments shall be published
in the Federal Register for notice and comment. A
request for amendment of an air tour management plan
shall be made in such form and manner as the
Administrator may prescribe.
(7) Voluntary agreements.--
(A) In general.--As an alternative to an air
tour management plan, the Director and the
Administrator may enter into a voluntary
agreement with a commercial air tour operator
(including a new entrant commercial air tour
operator and an operator that has interim
operating authority) that has applied to
conduct commercial air tour operations over a
national park to manage commercial air tour
operations over such national park.
(B) Park protection.--A voluntary agreement
under this paragraph with respect to commercial
air tour operations over a national park shall
address the management issues necessary to
protect the resources of such park and visitor
use of such park without compromising aviation
safety or the air traffic control system and
may--
(i) include provisions such as those
described in subparagraphs (B) through
(E) of paragraph (3);
(ii) include provisions to ensure the
stability of, and compliance with, the
voluntary agreement; and
(iii) provide for fees for such
operations.
(C) Public review.--The Director and the
Administrator shall provide an opportunity for
public review of a proposed voluntary agreement
under this paragraph and shall consult with any
Indian tribe whose tribal lands are, or may be,
flown over by a commercial air tour operator
under a voluntary agreement under this
paragraph. After such opportunity for public
review and consultation, the voluntary
agreement may be implemented without further
administrative or environmental process beyond
that described in this subsection.
(D) Termination.--
(i) In general.--A voluntary
agreement under this paragraph may be
terminated at any time at the
discretion of--
(I) the Director, if the
Director determines that the
agreement is not adequately
protecting park resources or
visitor experiences; or
(II) the Administrator, if
the Administrator determines
that the agreement is adversely
affecting aviation safety or
the national aviation system.
(ii) Effect of termination.--If a
voluntary agreement with respect to a
national park is terminated under this
subparagraph, the operators shall
conform to the requirements for interim
operating authority under subsection
(c) until an air tour management plan
for the park is in effect.
(c) Interim Operating Authority.--
(1) In general.--Upon application for operating
authority, the Administrator shall grant interim
operating authority under this subsection to a
commercial air tour operator for commercial air tour
operations over a national park or tribal lands for
which the operator is an existing commercial air tour
operator.
(2) Requirements and limitations.--Interim operating
authority granted under this subsection--
(A) shall provide annual authorization only
for the greater of--
(i) the number of flights used by the
operator to provide the commercial air
tour operations over a national park
within the 12-month period prior to the
date of the enactment of this section;
or
(ii) the average number of flights
per 12-month period used by the
operator to provide such operations
within the 36-month period prior to
such date of enactment, and, for
seasonal operations, the number of
flights so used during the season or
seasons covered by that 12-month
period;
(B) may not provide for an increase in the
number of commercial air tour operations over a
national park conducted during any time period
by the commercial air tour operator above the
number that the air tour operator was
originally granted unless such an increase is
agreed to by the Administrator and the
Director;
(C) shall be published in the Federal
Register to provide notice and opportunity for
comment;
(D) may be revoked by the Administrator for
cause;
(E) shall terminate 180 days after the date
on which an air tour management plan is
established for the park or tribal lands;
(F) shall promote protection of national park
resources, visitor experiences, and tribal
lands;
(G) shall promote safe commercial air tour
operations;
(H) shall promote the adoption of quiet
technology, as appropriate; and
(I) may allow for modifications of the
interim operating authority without further
environmental review beyond that described in
this subsection, if--
(i) adequate information regarding
the existing and proposed operations of
the operator under the interim
operating authority is provided to the
Administrator and the Director;
(ii) the Administrator determines
that there would be no adverse impact
on aviation safety or the air traffic
control system; and
(iii) the Director agrees with the
modification, based on the professional
expertise of the Director regarding the
protection of the resources, values,
and visitor use and enjoyment of the
park.
(3) New entrant air tour operators.--
(A) In general.--The Administrator, in
cooperation with the Director, may grant
interim operating authority under this
paragraph to an air tour operator for a
national park or tribal lands for which that
operator is a new entrant air tour operator
without further environmental process beyond
that described in this paragraph, if--
(i) adequate information on the
proposed operations of the operator is
provided to the Administrator and the
Director by the operator making the
request;
(ii) the Administrator agrees that
there would be no adverse impact on
aviation safety or the air traffic
control system; and
(iii) the Director agrees, based on
the Director's professional expertise
regarding the protection of park
resources and values and visitor use
and enjoyment.
(B) Safety limitation.--The Administrator may
not grant interim operating authority under
subparagraph (A) if the Administrator
determines that it would create a safety
problem at the park or on the tribal lands, or
the Director determines that it would create a
noise problem at the park or on the tribal
lands.
(C) ATMP limitation.--The Administrator may
grant interim operating authority under
subparagraph (A) of this paragraph only if the
air tour management plan for the park or tribal
lands to which the application relates has not
been developed within 24 months after the date
of the enactment of this section.
(d) Commercial Air Tour Operator Reports.--
(1) Report.--Each commercial air tour operator
conducting a commercial air tour operation over a
national park under interim operating authority granted
under subsection (c) or in accordance with an air tour
management plan or voluntary agreement under subsection
(b) shall submit to the Administrator and the Director
a report regarding the number of commercial air tour
operations over each national park that are conducted
by the operator and such other information as the
Administrator and Director may request in order to
facilitate administering the provisions of this
section.
(2) Report submission.--Not later than 90 days after
the date of enactment of the FAA Modernization and
Reform Act of 2012, the Administrator and the Director
shall jointly issue an initial request for reports
under this subsection. The reports shall be submitted
to the Administrator and the Director with a frequency
and in a format prescribed by the Administrator and the
Director.
(e) Exemptions.--This section shall not apply to--
(1) the Grand Canyon National Park; or
(2) tribal lands within or abutting the Grand Canyon
National Park.
(f) Lake Mead.--This section shall not apply to any air tour
operator while flying over or near the Lake Mead National
Recreation Area, solely as a transportation route, to conduct
an air tour over the Grand Canyon National Park. For purposes
of this subsection, an air tour operator flying over the Hoover
Dam in the Lake Mead National Recreation Area en route to the
Grand Canyon National Park shall be deemed to be flying solely
as a transportation route.
(g) Definitions.--In this section, the following definitions
apply:
(1) Commercial air tour operator.--The term
``commercial air tour operator'' means any person who
conducts a commercial air tour operation over a
national park.
(2) Existing commercial air tour operator.--The term
``existing commercial air tour operator'' means a
commercial air tour operator that was actively engaged
in the business of providing commercial air tour
operations over a national park at any time during the
12-month period ending on the date of the enactment of
this section.
(3) New entrant commercial air tour operator.--The
term ``new entrant commercial air tour operator'' means
a commercial air tour operator that--
(A) applies for operating authority as a
commercial air tour operator for a national
park or tribal lands; and
(B) has not engaged in the business of
providing commercial air tour operations over
the national park or tribal lands in the 12-
month period preceding the application.
(4) Commercial air tour operation over a national
park.--
(A) In general.--The term ``commercial air
tour operation over a national park'' means any
flight, conducted for compensation or hire in a
powered aircraft where a purpose of the flight
is sightseeing over a national park, within 1/2
mile outside the boundary of any national park
(except the Grand Canyon National Park), or
over tribal lands (except those within or
abutting the Grand Canyon National Park),
during which the aircraft flies--
(i) below a minimum altitude,
determined by the Administrator in
cooperation with the Director, above
ground level (except solely for
purposes of takeoff or landing, or
necessary for safe operation of an
aircraft as determined under the rules
and regulations of the Federal Aviation
Administration requiring the pilot-in-
command to take action to ensure the
safe operation of the aircraft); or
(ii) less than 1 mile laterally from
any geographic feature within the park
(unless more than 1/2 mile outside the
boundary).
(B) Factors to consider.--In making a
determination of whether a flight is a
commercial air tour operation over a national
park for purposes of this section, the
Administrator may consider--
(i) whether there was a holding out
to the public of willingness to conduct
a sightseeing flight for compensation
or hire;
(ii) whether a narrative that
referred to areas or points of interest
on the surface below the route of the
flight was provided by the person
offering the flight;
(iii) the area of operation;
(iv) the frequency of flights
conducted by the person offering the
flight;
(v) the route of flight;
(vi) the inclusion of sightseeing
flights as part of any travel
arrangement package offered by the
person offering the flight;
(vii) whether the flight would have
been canceled based on poor visibility
of the surface below the route of the
flight; and
(viii) any other factors that the
Administrator and the Director consider
appropriate.
(5) National park.--The term ``national park'' means
any unit of the National Park System.
(6) Tribal lands.--The term ``tribal lands'' means
Indian country (as that term is defined in section 1151
of title 18) that is within or abutting a national
park.
(7) Administrator.--The term ``Administrator'' means
the Administrator of the Federal Aviation
Administration.
(8) Director.--The term ``Director'' means the
Director of the National Park Service.
* * * * * * *
SUBPART II--ECONOMIC REGULATION
* * * * * * *
CHAPTER 413--FOREIGN AIR TRANSPORTATION
* * * * * * *
Sec. 41302. Permits of foreign air carriers
The Secretary of Transportation may issue a permit to a
person (except a citizen of the United States) authorizing the
person to provide foreign air transportation as a foreign air
carrier if the Secretary finds that--
(1) the person is fit, willing, and able to provide
the foreign air transportation to be authorized by the
permit and to comply with this part and regulations of
the Secretary; and
(2)(A) the person is qualified, and has been
designated by the government of its country, to provide
the foreign air transportation [under an agreement with
the United States Government; or]; and
(B) [the foreign air transportation] after
considering the totality of the circumstances,
including the factors set forth in section 40101(a),
the foreign air transportation to be provided under the
permit will be in the public interest.
* * * * * * *
Sec. 41313. Plans to address needs of families of passengers involved
in foreign air carrier accidents
(a) Definitions.--In this section, the following definitions
apply:
(1) Aircraft accident.--The term ``aircraft
accident'' means any aviation disaster, regardless of
its cause or suspected cause, that occurs within the
United States; and
(2) Passenger.--The term ``passenger'' has the
meaning given such term by section 1136.
(b) Submission of Plans.--A foreign air carrier providing
foreign air transportation under this chapter shall transmit to
the Secretary of Transportation and the Chairman of the
National Transportation Safety Board a plan for addressing the
needs of the families of passengers involved in an aircraft
accident that involves an aircraft under the control of the
foreign air carrier and results in a major loss of life.
(c) Contents of Plans.--To the extent permitted by foreign
law which was in effect on the date of the enactment of this
section, a plan submitted by a foreign air carrier under
subsection (b) shall include the following:
(1) Telephone number.--A plan for publicizing a
reliable, toll-free telephone number and staff to take
calls to such number from families of passengers
involved in an aircraft accident that involves an
aircraft under the control of the foreign air carrier
and results in a significant loss of life.
(2) Notification of families.--A process for
notifying, in person to the extent practicable, the
families of passengers involved in an aircraft accident
that involves an aircraft under the control of the
foreign air carrier and results in a significant loss
of life before providing any public notice of the names
of such passengers. Such notice shall be provided by
using the services of--
(A) the organization designated for the
accident under section 1136(a)(2); or
(B) other suitably trained individuals.
(3) Notice provided as soon as possible.--An
assurance that the notice required by paragraph (2)
shall be provided as soon as practicable after the
foreign air carrier has verified the identity of a
passenger on the foreign aircraft, whether or not the
names of all of the passengers have been verified.
(4) List of passengers.--An assurance that the
foreign air carrier shall provide, immediately upon
request, and update a list (based on the best available
information at the time of the request) of the names of
the passengers aboard the aircraft (whether or not such
names have been verified), to--
(A) the director of family support services
designated for the accident under section
1136(a)(1); and
(B) the organization designated for the
accident under section 1136(a)(2).
(5) Consultation regarding disposition of remains and
effects.--An assurance that the family of each
passenger will be consulted about the disposition of
any remains and personal effects of the passenger that
are within the control of the foreign air carrier.
(6) Return of possessions.--An assurance that, if
requested by the family of a passenger, any possession
(regardless of its condition) of that passenger that is
within the control of the foreign air carrier will be
returned to the family unless the possession is needed
for the accident investigation or a criminal
investigation.
(7) Unclaimed possessions retained.--An assurance
that any unclaimed possession of a passenger within the
control of the foreign air carrier will be retained by
the foreign air carrier for not less than 18 months
after the date of the accident.
(8) Monuments.--An assurance that the family of each
passenger will be consulted about construction by the
foreign air carrier of any monument to the passengers
built in the United States, including any inscription
on the monument.
(9) Equal treatment of passengers.--An assurance that
the treatment of the families of nonrevenue passengers
will be the same as the treatment of the families of
revenue passengers.
(10) Service and assistance to families of
passengers.--An assurance that the foreign air carrier
will work with any organization designated under
section 1136(a)(2) on an ongoing basis to ensure that
families of passengers receive an appropriate level of
services and assistance following an accident.
(11) Compensation to service organizations.--An
assurance that the foreign air carrier will provide
reasonable compensation to any organization designated
under section 1136(a)(2) for services and assistance
provided by the organization.
(12) Travel and care expenses.--An assurance that the
foreign air carrier will assist the family of any
passenger in traveling to the location of the accident
and provide for the physical care of the family while
the family is staying at such location.
(13) Resources for plan.--An assurance that the
foreign air carrier will commit sufficient resources to
carry out the plan.
(14) Substitute measures.--If a foreign air carrier
does not wish to comply with paragraph (10), (11), or
(12), a description of proposed adequate substitute
measures for the requirements of each paragraph with
which the foreign air carrier does not wish to comply.
(15) Training of employees and agents.--An assurance
that the foreign air carrier will provide adequate
training to the employees and agents of the carrier to
meet the needs of survivors and family members
following an accident.
(16) Consultation on carrier response not covered by
plan.-- [An assurance that the foreign air carrier] An
assurance that , in the event that the foreign air
carrier volunteers assistance to United States citizens
within the United States with respect to an aircraft
accident outside the United States involving major loss
of life, the foreign air carrier will consult with the
Board and the Department of State on the provision of
the assistance.
(17) Notice concerning liability for manmade
structures.--
(A) In general.--An assurance that, in the
case of an accident that results in significant
damage to a manmade structure or other property
on the ground that is not government-owned, the
foreign air carrier will promptly provide
notice, in writing, to the extent practicable,
directly to the owner of the structure or other
property about liability for any property
damage and means for obtaining compensation.
(B) Minimum contents.--At a minimum, the
written notice shall advise an owner (i) to
contact the insurer of the property as the
authoritative source for information about
coverage and compensation; (ii) to not rely on
unofficial information offered by foreign air
carrier representatives about compensation by
the foreign air carrier for accident-site
property damage; and (iii) to obtain
photographic or other detailed evidence of
property damage as soon as possible after the
accident, consistent with restrictions on
access to the accident site.
(18) Simultaneous electronic transmission of NTSB
hearing.--An assurance that, in the case of an accident
in which the National Transportation Safety Board
conducts a public hearing or comparable proceeding at a
location greater than 80 miles from the accident site,
the foreign air carrier will ensure that the proceeding
is made available simultaneously by electronic means at
a location open to the public at both the origin city
and destination city of the foreign air carrier's
flight if that city is located in the United States.
(d) Permit and Exemption Requirement.--The Secretary shall
not approve an application for a permit under section 41302
unless the applicant has included as part of the application or
request for exemption a plan that meets the requirements of
subsection (c).
(e) Limitation on Liability.--A foreign air carrier shall not
be liable for damages in any action brought in a Federal or
State court arising out of the performance of the foreign air
carrier in preparing or providing a passenger list pursuant to
a plan submitted by the foreign air carrier under subsection
(c), unless the liability was caused by conduct of the foreign
air carrier which was grossly negligent or which constituted
intentional misconduct.
* * * * * * *
CHAPTER 417--OPERATIONS OF CARRIERS
SUBCHAPTER I--REQUIREMENTS
Sec.
41701. Classification of air carriers.
* * * * * * *
[41718. Special Rules for Ronald Reagan Washington National Airport.]
41718. Special rules for Ronald Reagan Washington National Airport.
* * * * * * *
41725. Prohibition on certain cell phone voice communications.
SUBCHAPTER I--REQUIREMENTS
* * * * * * *
Sec. 41706. Prohibitions against smoking on passenger flights
(a) Smoking Prohibition in Interstate and Intrastate Air
Transportation.--An individual may not smoke--
(1) in an aircraft in scheduled passenger interstate
or intrastate air transportation; or
(2) in an aircraft in nonscheduled passenger
interstate or intrastate air transportation, if a
flight attendant is a required crewmember on the
aircraft (as determined by the Administrator of the
Federal Aviation Administration).
(b) Smoking Prohibition in Foreign Air Transportation.--The
Secretary of Transportation shall require all air carriers and
foreign air carriers to prohibit smoking--
(1) in an aircraft in scheduled passenger foreign air
transportation; and
(2) in an aircraft in nonscheduled passenger foreign
air transportation, if a flight attendant is a required
crewmember on the aircraft (as determined by the
Administrator or a foreign government).
(c) Limitation on Applicability.--
(1) In general.--If a foreign government objects to
the application of subsection (b) on the basis that
subsection (b) provides for an extraterritorial
application of the laws of the United States, the
Secretary shall waive the application of subsection (b)
to a foreign air carrier licensed by that foreign
government at such time as an alternative prohibition
negotiated under paragraph (2) becomes effective and is
enforced by the Secretary.
(2) Alternative prohibition.--If, pursuant to
paragraph (1), a foreign government objects to the
prohibition under subsection (b), the Secretary shall
enter into bilateral negotiations with the objecting
foreign government to provide for an alternative
smoking prohibition.
(d) Electronic Cigarettes.--
(1) Inclusion.--The use of an electronic cigarette
shall be treated as smoking for purposes of this
section.
(2) Electronic cigarette defined.--In this section,
the term ``electronic cigarette'' means a device that
delivers nicotine to a user of the device in the form
of a vapor that is inhaled to simulate the experience
of smoking.
[(d)] (e) Regulations.--The Secretary shall prescribe such
regulations as are necessary to carry out this section.
* * * * * * *
Sec. 41712. Unfair and deceptive practices and unfair methods of
competition
(a) In General.--On the initiative of the Secretary of
Transportation or the complaint of an air carrier, foreign air
carrier, air ambulance customer, or ticket agent, and if the
Secretary considers it is in the public interest, the Secretary
may investigate and decide whether an air carrier, foreign air
carrier, or ticket agent has been or is engaged in an unfair or
deceptive practice or an unfair method of competition in air
transportation or the sale of air transportation. If the
Secretary, after notice and an opportunity for a hearing, finds
that an air carrier, foreign air carrier, or ticket agent is
engaged in an unfair or deceptive practice or unfair method of
competition, the Secretary shall order the air carrier, foreign
air carrier, or ticket agent to stop the practice or method. In
this subsection, the term ``air carrier'' includes an air
ambulance operator and the term ``air transportation'' includes
any transportation provided by an air ambulance.
(b) E-Ticket Expiration Notice.--It shall be an unfair or
deceptive practice under subsection (a) for any air carrier,
foreign air carrier, or ticket agent utilizing electronically
transmitted tickets for air transportation to fail to notify
the purchaser of such a ticket of its expiration date, if any.
(c) Disclosure Requirement for Sellers of Tickets for
Flights.--
(1) In general.--It shall be an unfair or deceptive
practice under subsection (a) for any ticket agent, air
carrier, foreign air carrier, or other person offering
to sell tickets for air transportation on a flight of
an air carrier to fail to disclose, whether verbally in
oral communication or in writing in written or
electronic communication, prior to the purchase of a
ticket--
(A) the name of the air carrier providing the
air transportation; and
(B) if the flight has more than one flight
segment, the name of each air carrier providing
the air transportation for each such flight
segment.
(2) Internet offers.--In the case of an offer to sell
tickets described in paragraph (1) on an Internet Web
site, disclosure of the information required by
paragraph (1) shall be provided on the first display of
the Web site following a search of a requested
itinerary in a format that is easily visible to a
viewer.
(d) Full Fare Advertising.--
(1) In general.--It shall not be an unfair or
deceptive practice under subsection (a) for a covered
entity to state in an advertisement or solicitation for
passenger air transportation the base airfare for the
air transportation if the covered entity clearly and
separately discloses--
(A) the government-imposed fees and taxes
associated with the air transportation; and
(B) the total cost of the air transportation.
(2) Form of disclosure.--
(A) In general.--For purposes of paragraph
(1), the information described in paragraphs
(1)(A) and (1)(B) shall be disclosed in the
advertisement or solicitation in a manner that
clearly presents the information to the
consumer.
(B) Internet advertisements and
solicitations.--For purposes of paragraph (1),
with respect to an advertisement or
solicitation for passenger air transportation
that appears on an internet website or a mobile
application, the information described in
paragraphs (1)(A) and (1)(B) may be disclosed
through a link or pop-up, as such terms may be
defined by the Secretary, that displays the
information in a manner that is easily
accessible and viewable by the consumer.
(3) Definitions.--In this subsection, the following
definitions apply:
(A) Base airfare.--The term ``base airfare''
means the cost of passenger air transportation,
excluding government-imposed fees and taxes.
(B) Covered entity.--The term ``covered
entity'' means an air carrier, including an
indirect air carrier, foreign air carrier,
ticket agent, or other person offering to sell
tickets for passenger air transportation or a
tour or tour component that must be purchased
with air transportation.
(e) Disclosure of Fees.--
(1) In general.--It shall be an unfair or deceptive
practice under subsection (a) for any air carrier,
foreign air carrier, or ticket agent to fail to
include, in an internet fare quotation for a specific
itinerary in air transportation selected by a
consumer--
(A) a clear and prominent statement that
additional fees for checked baggage and carry-
on baggage may apply; and
(B) a prominent link that connects directly
to a list of all such fees.
(2) Savings provision.--Nothing in this subsection
may be construed to derogate or limit any
responsibilities of an air carrier, foreign air
carrier, or ticket agent under section 399.85 of title
14, Code of Federal Regulations, or any successor
provision.
(f) Involuntarily Denied Boarding After Aircraft Boarded.--
(1) In general.--It shall be an unfair or deceptive
practice under subsection (a) for an air carrier or
foreign air carrier subject to part 250 of title 14,
Code of Federal Regulations, to involuntarily deplane a
revenue passenger onboard an aircraft, if the revenue
passenger--
(A) is traveling on a confirmed reservation;
and
(B) checked-in for the relevant flight prior
to the check-in deadline.
(2) Savings provision.--Nothing in this subsection
may be construed to limit the authority of an air
carrier, foreign air carrier, or airman to remove a
passenger in accordance with--
(A) section 91.3, 121.533(d), or 121.580 of
title 14, Code of Federal Regulations, or any
successor provision; or
(B) any other applicable Federal, State, or
local law.
* * * * * * *
Sec. 41725. Prohibition on certain cell phone voice communications
(a) Prohibition.--The Secretary of Transportation shall issue
regulations--
(1) to prohibit an individual on an aircraft from
engaging in voice communications using a mobile
communications device during a flight of that aircraft
in scheduled passenger interstate or intrastate air
transportation; and
(2) that exempt from the prohibition described in
paragraph (1) any--
(A) member of the flight crew on duty on an
aircraft;
(B) flight attendant on duty on an aircraft;
and
(C) Federal law enforcement officer acting in
an official capacity.
(b) Definitions.--In this section, the following definitions
apply:
(1) Flight.--The term ``flight'' means, with respect
to an aircraft, the period beginning when the aircraft
takes off and ending when the aircraft lands.
(2) Mobile communications device.--
(A) In general.--The term ``mobile
communications device'' means any portable
wireless telecommunications equipment utilized
for the transmission or reception of voice
data.
(B) Limitation.--The term ``mobile
communications device'' does not include a
phone installed on an aircraft.
SUBCHAPTER II--SMALL COMMUNITY AIR SERVICE
Sec. 41731. Definitions
(a) General.--In this subchapter--
(1) ``eligible place'' means a place in the United
States that--
(A)(i)(I) was an eligible point under section
419 of the Federal Aviation Act of 1958 before
October 1, 1988;
(II) received scheduled air transportation at
any time after January 1, 1990; and
(III) is not listed in Department of
Transportation Orders 89-9-37 and 89-12-52 as a
place ineligible for compensation under this
subchapter; or
(ii) was determined, on or after October 1,
1988, and before the date of the enactment of
the [Wendell H. Ford Aviation Investment and
Reform Act for the 21st Century,] FAA
Extension, Safety, and Security Act of 2016
(Public Law 114-190), under this subchapter by
the Secretary of Transportation to be eligible
to receive subsidized small community air
service under section 41736(a);
(B) had an average of 10 enplanements per
service day or more, as determined by the
Secretary, during the most recent fiscal year
beginning after September 30, 2012;
(C) had an average subsidy per passenger of
less than $1,000 during the most recent fiscal
year, as determined by the Secretary; and
(D) is a community that, at any time during
the period between September 30, 2010, and
September 30, 2011, inclusive--
(i) received essential air service
for which compensation was provided to
an air carrier under this subchapter;
or
(ii) received a 90-day notice of
intent to terminate essential air
service and the Secretary required the
air carrier to continue to provide such
service to the community.
(2) ``enhanced essential air service'' means
scheduled air transportation to an eligible place of a
higher level or quality than basic essential air
service described in section 41732 of this title.
(b) Limitation on Authority To Decide a Place Not an Eligible
Place.--The Secretary may not decide that a place described in
subsection (a)(1) of this section is not an eligible place on
any basis that is not specifically stated in this subchapter.
(c) Exception for Locations in Alaska and Hawaii.--
Subparagraphs (B), (C), and (D) of subsection (a)(1) shall not
apply with respect to locations in the State of Alaska or the
State of Hawaii.
(d) Exceptions for Locations More Than 175 Driving Miles From
the Nearest Large or Medium Hub Airport.--Subsection (a)(1)(B)
shall not apply with respect to locations that are more than
175 driving miles from the nearest large or medium hub airport.
(e) Waivers.--For fiscal year 2013 and each fiscal year
thereafter, the Secretary may waive, on an annual basis,
subsection (a)(1)(B) with respect to a location if the location
demonstrates to the Secretary's satisfaction that the reason
the location averages fewer than 10 enplanements per day is due
to a temporary decline in enplanements.
(f) Definition.--For purposes of subsection (a)(1)(B), the
term ``enplanements'' means the number of passengers enplaning,
at an eligible place, on flights operated by the subsidized
essential air service carrier.
* * * * * * *
Sec. 41736. Air transportation to noneligible places
(a) Proposals and Decisions.--(1) A State or local government
may propose to the Secretary of Transportation that the
Secretary provide compensation to an air carrier to provide air
transportation to a place that is not an eligible place under
this subchapter. Not later than 90 days after receiving a
proposal under this section, the Secretary shall--
(A) decide whether to designate the place as eligible
to receive compensation under this section; and
(B)(i) approve the proposal if the State or local
government or a person is willing and able to pay 50
percent of the compensation for providing the
transportation, and notify the State or local
government of the approval; or
(ii) disapprove the proposal if the Secretary decides
the proposal is not reasonable under paragraph (2) of
this subsection, and notify the State or local
government of the disapproval and the reasons for the
disapproval.
(2) In deciding whether a proposal is reasonable, the
Secretary shall consider, among other factors--
(A) the traffic-generating potential of the place;
(B) the cost to the United States Government of
providing the proposed transportation; and
(C) the distance of the place from the closest hub
airport.
(b) Approval for Certain Air Transportation.--Notwithstanding
subsection (a)(1)(B) of this section, the Secretary shall
approve a proposal under this section to compensate an air
carrier for providing air transportation to a place in the 48
contiguous States or the District of Columbia and designate the
place as eligible for compensation under this section if--
(1) at any time before October 23, 1978, the place
was served by a carrier holding a certificate under
section 401 of the Federal Aviation Act of 1958;
(2) the place is more than 50 miles from the nearest
small hub airport or an eligible place;
(3) the place is more than 150 miles from the nearest
hub airport; and
(4) the State or local government submitting the
proposal or a person is willing and able to pay 25
percent of the cost of providing the compensated
transportation.
Paragraph (4) does not apply to any community approved for
service under this section during the period beginning October
1, 1991, and ending December 31, 1997.
(c) Level of Air Transportation.--(1) If the Secretary
designates a place under subsection (a)(1) of this section as
eligible for compensation under this section, the Secretary
shall decide, not later than 6 months after the date of the
designation, on the level of air transportation to be provided
under this section. Before making a decision, the Secretary
shall consider the views of any interested community, the
appropriate State authority of the State in which the place is
located, and the State or local government or person agreeing
to pay compensation for the transportation under subsection
(b)(4) of this section.
(2) After making the decision under paragraph (1) of this
subsection, the Secretary shall provide notice that any air
carrier that is willing to provide the level of air
transportation established under paragraph (1) for a place may
submit an application to provide the transportation. In
selecting an applicant, the Secretary shall consider, among
other factors--
(A) the factors listed in section 41733(c)(1) of this
title; and
(B) the views of the State or local government or
person agreeing to pay compensation for the
transportation.
(d) Compensation Payments.--(1) The Secretary shall pay
compensation under this section when and in the way the
Secretary decides is appropriate. The Secretary shall continue
to pay compensation under this section only as long as--
(A) the air carrier maintains the level of air
transportation established by the Secretary under
subsection (c)(1) of this section;
(B) the State or local government or person agreeing
to pay compensation for transportation under this
section continues to pay that compensation; and
(C) the Secretary decides the compensation is
necessary to maintain the transportation to the place.
(2) The Secretary may require the State or local government
or person agreeing to pay compensation under this section to
make advance payments or provide other security to ensure that
timely payments are made.
(e) Review.--The Secretary shall review periodically the
level of air transportation provided under this section. Based
on the review and consultation with any interested community,
the appropriate State authority of the State in which the
community is located, and the State or local government or
person paying compensation under this section, the Secretary
may make appropriate adjustments in the level of
transportation.
(f) Withdrawal of Eligibility Designations.--After providing
notice and an opportunity for interested persons to comment,
the Secretary may withdraw the designation of a place under
subsection (a)(1) of this section as eligible to receive
compensation under this section if the place has received air
transportation under this section for at least 2 years and the
Secretary decides the withdrawal would be in the public
interest. The Secretary by regulation shall prescribe standards
for deciding whether the withdrawal of a designation under this
subsection is in the public interest. The standards shall
include the factors listed in subsection (a)(2) of this
section.
(g) Ending, Suspending, and Reducing Air Transportation.--An
air carrier providing air transportation for compensation under
this section may end, suspend, or reduce that transportation
below the level of transportation established by the Secretary
under this section only after giving the Secretary, the
affected community, and the State or local government or person
paying compensation under this section at least 30 days' notice
before ending, suspending, or reducing the transportation.
(h) Sunset.--
(1) Proposals.--No proposal under subsection (a) may
be accepted by the Secretary after the date of
enactment of this subsection.
(2) Program.--The Secretary may not provide any
compensation under this section after the date that is
2 years after the date of enactment of this subsection.
* * * * * * *
Sec. 41742. Essential air service authorization
(a) In General.--
(1) Authorization.--Out of the amounts received by
the Federal Aviation Administration credited to the
account established under section 45303 of this title
or otherwise provided to the Administration, the sum of
$50,000,000 for each fiscal year is authorized and
shall be made available immediately for obligation and
expenditure to carry out the essential air service
program under this subchapter.
(2) Additional funds.--In addition to amounts
authorized under paragraph (1), there is authorized to
be appropriated out of the Airport and Airway Trust
Fund (established under section 9502 of the Internal
Revenue Code of 1986) [$150,000,000 for fiscal year
2011, $143,000,000 for fiscal year 2012, $118,000,000
for fiscal year 2013, $107,000,000 for fiscal year
2014, $93,000,000 for fiscal year 2015, and
$175,000,000 for each of fiscal years 2016 and 2017]
$178,000,000 for fiscal year 2018, $182,000,000 for
fiscal year 2019, $185,000,000 for fiscal year 2020,
$327,000,000 for fiscal year 2021, $337,000,000 for
fiscal year 2022, and $347,000,000 for fiscal year 2023
to carry out the essential air service program under
this subchapter of which not more than $12,000,000 per
fiscal year may be used for the marketing incentive
program for communities and for State marketing
assistance.
(3) Authorization for additional employees.--In
addition to amounts authorized under paragraphs (1) and
(2), there are authorized to be appropriated such sums
as may be necessary for the Secretary of Transportation
to hire and employ 4 additional employees for the
office responsible for carrying out the essential air
service program.
(b) Distribution of Additional Funds.--Notwithstanding any
other provision of law, in any fiscal year in which funds
credited to the account established under section 45303,
including the funds derived from fees imposed under the
authority contained in section 45301(a), exceed the $50,000,000
made available under subsection (a)(1), such funds shall be
made available immediately for obligation and expenditure to
carry out the essential air service program under this
subchapter.
(c) Availability of Funds.--The funds made available under
this section shall remain available until expended.
Sec. 41743. Airports not receiving sufficient service
(a) Small Community Air Service Development Program.--The
Secretary of Transportation shall establish a program that
meets the requirements of this section for improving air
carrier service to airports not receiving sufficient air
carrier service.
(b) Application Required.--In order to participate in the
program established under subsection (a), a community or
consortium of communities shall submit an application to the
Secretary in such form, at such time, and containing such
information as the Secretary may require, including--
(1) an assessment of the need of the community or
consortium for access, or improved access, to the
national air transportation system; and
(2) an analysis of the application of the criteria in
subsection (c) to that community or consortium.
(c) Criteria for Participation.--In selecting communities, or
consortia of communities, for participation in the program
established under subsection (a), the Secretary shall apply the
following criteria:
[(1) Size.--For calendar year 1997, the airport
serving the community or consortium was not larger than
a small hub airport, and--
[(A) had insufficient air carrier service; or
[(B) had unreasonably high air fares.]
(1) Size.--On the date of submission of the relevant
application under subsection (b), the airport serving
the community or consortium--
(A) is not larger than a small hub airport,
as determined using the Department of
Transportation's most recently published
classification; and
(B) has--
(i) insufficient air carrier service;
or
(ii) unreasonably high air fares.
(2) Characteristics.--The airport presents
characteristics, such as geographic diversity or unique
circumstances, that will demonstrate the need for, and
feasibility of, the program established under
subsection (a).
(3) State limit.--Not more than 4 communities or
consortia of communities, or a combination thereof,
from the same State may be selected to participate in
the program in any fiscal year.
(4) Overall limit.--No more than 40 communities or
consortia of communities, or a combination thereof, may
be selected to participate in the program in each year
for which funds are appropriated for the program. No
community, consortia of communities, nor combination
thereof may participate in the program in support of
the same project more than [once,] once in a 10-year
period, but any community, consortia of communities, or
combination thereof may apply, subsequent to such
participation, to participate in the program in support
of a different project at any time .
(5) Priorities.--The Secretary shall give priority to
communities or consortia of communities where--
(A) air fares are higher than the average air
fares for all communities;
(B) the community or consortium will provide
a portion of the cost of the activity to be
assisted under the program from local sources
other than airport revenues;
(C) the community or consortium has
established, or will establish, a public-
private partnership to facilitate air carrier
service to the public;
(D) the assistance will provide material
benefits to a broad segment of the travelling
public, including business, educational
institutions, and other enterprises, whose
access to the national air transportation
system is limited;
(E) the assistance will be used to help
restore scheduled passenger air service that
has been terminated;
[(E)] (F) the assistance will be used in a
timely fashion; and
[(F)] (G) multiple communities cooperate to
submit a regional or multistate application to
consolidate air service into one regional
airport.
(d) Types of Assistance.--The Secretary may use amounts made
available under this section--
(1) to provide assistance to an air carrier to
subsidize service to and from an underserved airport
for a period not to exceed 3 years;
(2) to provide assistance to an underserved airport
to obtain service to and from the underserved airport;
and
(3) to provide assistance to an underserved airport
to implement such other measures as the Secretary, in
consultation with such airport, considers appropriate
to improve air service both in terms of the cost of
such service to consumers and the availability of such
service, including improving air service through
marketing and promotion of air service and enhanced
utilization of airport facilities.
(e) Authority To Make Agreements.--
(1) In general.--The Secretary may make agreements to
provide assistance under this section.
[(2) Authorization of appropriations.--There is
authorized to be appropriated to the Secretary
$6,000,000 for each of fiscal years 2012 through 2015
to carry out this section. Such sums shall remain
available until expended.]
(2) Authorization of appropriations.--There is
authorized to be appropriated to the Secretary
$10,000,000 for each of fiscal years 2018 through 2023
to carry out this section, of which $4,800,000 per
fiscal year shall be used to carry out the pilot
program established under subsection (i). Such sums
shall remain available until expended.
(f) Additional Action.--Under the program established under
subsection (a), the Secretary shall work with air carriers
providing service to participating communities and major air
carriers (as defined in section 41716(a)(2)) serving large hub
airports to facilitate joint-fare arrangements consistent with
normal industry practice.
(g) Designation of Responsible Official.--The Secretary shall
designate an employee of the Department of Transportation--
(1) to function as a facilitator between small
communities and air carriers;
(2) to carry out this section;
(3) to ensure that the Bureau of Transportation
Statistics collects data on passenger information to
assess the service needs of small communities;
(4) to work with and coordinate efforts with other
Federal, State, and local agencies to increase the
viability of service to small communities and the
creation of aviation development zones; and
(5) to provide policy recommendations to the
Secretary and Congress that will ensure that small
communities have access to quality, affordable air
transportation services.
(h) Air Service Development Zone.--The Secretary shall
designate an airport in the program as an Air Service
Development Zone and work with the community or consortium on
means to attract business to the area surrounding the airport,
to develop land use options for the area, and provide data,
working with the Department of Commerce and other agencies.
(i) Regional Air Transportation Pilot Program.--
(1) Establishment.--The Secretary shall establish a
regional air transportation pilot program to provide
operating assistance to air carriers in order to
provide air service to communities not receiving
sufficient air carrier service.
(2) Grants.--The Secretary shall provide grants under
the program to encourage and maintain air service at
reasonable airfares between communities that have
experienced, as determined by the Secretary,
significant declines in air service.
(3) Application required.--In order to participate in
the program, a State, local government, economic
development authority, or other public entity shall
submit to the Secretary an application, in a manner
that the Secretary prescribes, that contains--
(A) an identification of an air carrier that
has provided a written agreement to provide the
air service in partnership with the applicant;
(B) assurances that the applicant will
provide the non-Federal share and that the non-
Federal share is not derived from airport
revenue;
(C) a proposed route structure serving not
more than 8 communities; and
(D) a timeline for commencing the air service
to the communities within the proposed route
structure.
(4) Criteria for participation.--The Secretary may
approve up to 3 applications each fiscal year, subject
to the availability of funds, if the Secretary
determines that--
(A) the proposal of the applicant can
reasonably be expected to encourage and improve
levels of air service between the relevant
communities;
(B) the applicant has adequate financial
resources to ensure the commitment to the
communities;
(C) the airports serving the communities are
nonhub, small hub, or medium hub airports, as
determined using the Department of
Transportation's most recently published
classifications; and
(D) the air carrier commits to serving the
communities for at least 2 years.
(5) Priorities.--The Secretary shall prioritize
applications that--
(A) would initiate new or reestablish air
service in communities where air fares are
higher than the average air fares for all
communities;
(B) are more likely to result in self-
sustaining air service at the end of the
program;
(C) request a Federal share lower than 50
percent; and
(D) propose to use grant funds in a timely
fashion.
(6) Federal share.--The Federal share of the cost of
operating assistance provided under the program may not
exceed 50 percent.
(7) Sunset.--This subsection shall cease to be
effective on October 1, 2023.
* * * * * * *
CHAPTER 419--TRANSPORTATION OF MAIL
* * * * * * *
Sec. 41902. Schedules for certain transportation of mail
(a) Requirement.--Except as provided in [section 41906]
section 41905 of this title and section 5402 of title 39, an
air carrier may transport mail by aircraft between places in
Alaska only under a schedule designated or required to be
established under subsection (c) of this section for the
transportation of mail.
(b) Statements on Places and Schedules.--Every air carrier
shall file with the United States Postal Service a statement
showing--
(1) the places between which the carrier is
authorized to transport mail in Alaska;
(2) every schedule of aircraft regularly operated by
the carrier between places described in paragraph (1)
and every change in each schedule; and
(3) for each schedule, the places served by the
carrier and the time of arrival at, and departure from,
each such place.
(c) Designating and Additional Schedules.--The Postal Service
may--
(1) designate any schedule of an air carrier filed
under subsection (b)(2) of this section for the
transportation of mail between the places between which
the carrier is authorized by its certificate to
transport mail; and
(2) require the carrier to establish additional
schedules for the transportation of mail between those
places.
(d) Changing Schedules.--A schedule designated or required to
be established for the transportation of mail under subsection
(c) of this section may be changed only after 10 days' notice
of the change is filed as provided in subsection (b)(2) of this
section. The Postal Service may disapprove a proposed change in
a schedule or amend or modify the schedule or proposed change.
* * * * * * *
Sec. 41907. Weighing mail
The United States Postal Service may weigh mail transported
by aircraft between places in Alaska and make statistical [and
- administrative] and administrative computations necessary in
the interest of mail service. When the Secretary of
Transportation decides that additional or more frequent
weighings of mail are advisable or necessary to carry out this
part, the Postal Service shall provide the weighings, but it is
not required to provide them for continuous periods of more
than 30 days.
* * * * * * *
CHAPTER 423--PASSENGER AIR SERVICE IMPROVEMENTS
Sec.
42301. Emergency contingency plans.
* * * * * * *
42304. Widespread disruptions.
* * * * * * *
Sec. 42302. Consumer complaints
(a) In General.--The Secretary of Transportation shall
establish a consumer complaints toll-free hotline telephone
number for the use of passengers in air transportation
(including transportation by air ambulance) and shall take
actions to notify the public of--
(1) that telephone number; and
(2) the Internet Web site of the Aviation Consumer
Protection Division of the Department of
Transportation.
(b) Notice to Passengers on the Internet.--An air carrier or
foreign air carrier providing scheduled air transportation
using any aircraft that as originally designed has a passenger
capacity of 30 or more passenger seats, and an air ambulance
operator, shall include [on the] in a prominent place on the
homepage of the primary Internet Web site of the carrier or
operator --
(1) the hotline telephone number established under
subsection (a);
(2) the e-mail address, telephone number, and mailing
address of the air carrier or operator for the
submission of complaints by passengers about air travel
service problems; [and]
(3) the Internet Web site and mailing address of the
Aviation Consumer Protection Division of the Department
of Transportation for the submission of complaints by
passengers about air travel service problems[.]; and
(4) the air carrier's customer service plan.
[(c) Notice to Passengers on Boarding Documentation.--An air
carrier or foreign air carrier providing scheduled air
transportation using any aircraft that as originally designed
has a passenger capacity of 30 or more passenger seats shall
include the hotline telephone number established under
subsection (a) on--
[(1) prominently displayed signs of the carrier at
the airport ticket counters in the United States where
the air carrier operates; and
[(2) any electronic confirmation of the purchase of a
passenger ticket for air transportation issued by the
air carrier.]
(c) Notice To Passengers on Boarding or Billing
Documentation.--
(1) Air carriers and foreign air carriers.--An air
carrier or foreign air carrier providing scheduled air
transportation using any aircraft that as originally
designed has a passenger capacity of 30 or more
passenger seats shall include the hotline telephone
number established under subsection (a) on--
(A) prominently displayed signs of the
carrier at the airport ticket counters in the
United States where the air carrier operates;
and
(B) any electronic confirmation of the
purchase of a passenger ticket for air
transportation issued by the air carrier.
(2) Air ambulance operators.--An air ambulance
operator shall include the hotline telephone number
established under subsection (a) on any invoice, bill,
or other communication provided to a passenger or
customer of the operator.
(d) Use of New Technologies.--The Secretary shall
periodically evaluate the benefits of using mobile phone
applications or other widely used technologies to provide new
means for air passengers to communicate complaints in addition
to the telephone number established under subsection (a) and
shall provide such new means as the Secretary determines
appropriate.
Sec. 42303. Use of insecticides in passenger aircraft
(a) Information To Be Provided on the Internet.--The
Secretary of Transportation shall establish, and make available
to the general public, an Internet Web site that contains a
listing of countries that may require an air carrier or foreign
air carrier to treat an aircraft passenger cabin with
insecticides prior to a flight in foreign air transportation to
that country or to apply an aerosol insecticide in an aircraft
cabin used for such a flight when the cabin is occupied with
passengers.
[(b) Required Disclosures.--An air carrier, foreign air
carrier, or ticket agent selling, in the United States, a
ticket for a flight in foreign air transportation to a country
listed on the Internet Web site established under subsection
(a) shall refer the purchaser of the ticket to the Internet Web
site established under subsection (a) for additional
information.]
(b) Required Disclosures.--An air carrier, foreign air
carrier, or ticket agent selling, in the United States, a
ticket for a flight in foreign air transportation to a country
listed on the internet website established under subsection (a)
shall--
(1) disclose, on its own internet website or through
other means, that the destination country may require
the air carrier or foreign air carrier to treat an
aircraft passenger cabin with insecticides prior to the
flight or to apply an aerosol insecticide in an
aircraft cabin used for such a flight when the cabin is
occupied with passengers; and
(2) refer the purchaser of the ticket to the internet
website established under subsection (a) for additional
information.
Sec. 42304. Widespread disruptions
(a) General Requirements.--In the event of a widespread
disruption, a covered air carrier shall immediately publish,
via a prominent link on the air carrier's public internet
website, a clear statement indicating whether, with respect to
a passenger of the air carrier whose travel is interrupted as a
result of the widespread disruption, the air carrier will--
(1) provide for hotel accommodations;
(2) arrange for ground transportation;
(3) provide meal vouchers;
(4) arrange for air transportation on another air
carrier or foreign air carrier to the passenger's
destination; and
(5) provide for sleeping facilities inside the
airport terminal.
(b) Definitions.--In this section, the following definitions
apply:
(1) Widespread disruption.--The term ``widespread
disruption'' means, with respect to a covered air
carrier, the interruption of all or the overwhelming
majority of the air carrier's systemwide flight
operations, including flight delays and cancellations,
as the result of the failure of 1 or more computer
systems or computer networks of the air carrier.
(2) Covered air carrier.--The term ``covered air
carrier'' means an air carrier that provides scheduled
passenger air transportation by operating an aircraft
that as originally designed has a passenger capacity of
30 or more seats.
(c) Savings Provision.--Nothing in this section may be
construed to modify, abridge, or repeal any obligation of an
air carrier under section 42301.
* * * * * * *
SUBPART III--SAFETY
* * * * * * *
CHAPTER 441--REGISTRATION AND RECORDATION OF AIRCRAFT
* * * * * * *
Sec. 44112. Limitation of liability
(a) Definitions.--In this section--
(1) ``lessor'' means a person leasing for at least 30
days a civil aircraft, aircraft engine, or propeller.
(2) ``owner'' means a person that owns a civil
aircraft, aircraft engine, or propeller.
(3) ``secured party'' means a person having a
security interest in, or security title to, a civil
aircraft, aircraft engine, or propeller under a
conditional sales contract, equipment trust contract,
chattel or corporate mortgage, or similar instrument.
(b) Liability.--A lessor, owner, or secured party is liable
for personal injury, death, or property loss or damage [on land
or water] only when a civil aircraft, aircraft engine, or
propeller is in the actual possession or operational control of
the lessor, owner, or secured party, and the personal injury,
death, or property loss or damage occurs because of--
(1) the aircraft, engine, or propeller; or
(2) the flight of, or an object falling from, the
aircraft, engine, or propeller.
* * * * * * *
CHAPTER 445--FACILITIES, PERSONNEL, AND RESEARCH
Sec. 44501. Plans and policy
(a) Long Range Plans and Policy Requirements.--The
Administrator of the Federal Aviation Administration shall make
long range plans and policy for the orderly development and use
of the navigable airspace, and the orderly development and
location of air navigation facilities, that will best meet the
needs of, and serve the interests of, civil aeronautics and the
national defense, except for needs of the armed forces that are
peculiar to air warfare and primarily of military concern.
(b) Airway Capital Investment Plan.-- [The Administrator]
Before the date of transfer (as defined in section 90101(a)),
the Administrator of the Federal Aviation Administration shall
review, revise, and publish a national airways system plan,
known as the Airway Capital Investment Plan, before the
beginning of each fiscal year. The plan shall set forth--
(1) for a 10-year period, the research, engineering,
and development programs and the facilities and
equipment that the Administrator considers necessary
for a system of airways, air traffic services, and
navigation aids that will--
(A) meet the forecasted needs of civil
aeronautics;
(B) meet the requirements that the Secretary
of Defense establishes for the support of the
national defense; and
(C) provide the highest degree of safety in
air commerce;
(2) for the first and 2d years of the plan, detailed
annual estimates of--
(A) the number, type, location, and cost of
acquiring, operating, and maintaining required
facilities and services;
(B) the cost of research, engineering, and
development required to improve safety, system
capacity, and efficiency; and
(C) personnel levels required for the
activities described in subclauses (A) and (B)
of this clause;
(3) for the 3d, 4th, and 5th years of the plan,
estimates of the total cost of each major program for
the 3-year period, and additional major research
programs, acquisition of systems and facilities, and
changes in personnel levels that may be required to
meet long range objectives and that may have
significant impact on future funding requirements;
(4) a 10-year investment plan that considers long
range objectives that the Administrator considers
necessary to--
(A) ensure that safety is given the highest
priority in providing for a safe and efficient
airway system; and
(B) meet the current and projected growth of
aviation and the requirements of interstate
commerce, the United States Postal Service, and
the national defense; [and]
(5) a list of capital projects that are part of the
Next Generation Air Transportation System and funded by
amounts appropriated under section 48101(a)[.]; and
(6) for fiscal years 2017 through 2020, a process
under which the Administrator shall continue to comply
with the requirements of this section before the date
of transfer (as defined in section 90101(a)).
(c) National Aviation Research Plan.--(1) The Administrator
of the Federal Aviation Administration shall prepare and
publish annually a national aviation research plan and submit
the plan to the Committee on Commerce, Science, and
Transportation of the Senate and the Committee on Science of
the House of Representatives. The plan shall be submitted not
later than the date of submission of the President's budget to
Congress.
(2)(A) The plan shall describe, for a 5-year period, the
research, engineering, and development that the Administrator
of the Federal Aviation Administration considers necessary--
(i) to ensure the continued capacity, safety, and
efficiency of aviation in the United States,
considering emerging technologies and forecasted needs
of civil aeronautics; and
(ii) to provide the highest degree of safety in air
travel.
(B) The plan shall--
(i) provide estimates by year of the schedule, cost,
and work force levels for each active and planned major
research and development project under sections 40119,
44504, 44505, 44507, 44509, 44511-44513, and 44912 of
this title, including activities carried out under
cooperative agreements with other Federal departments
and agencies;
(ii) specify the goals and the priorities for
allocation of resources among the major categories of
research and development activities, including the
rationale for the priorities identified;
(iii) identify the allocation of resources among
long-term research, near-term research, and development
activities;
(iv) identify the individual research and development
projects in each funding category that are described in
the annual budget request;
(v) highlight the research and development activities
that address specific recommendations of the research
advisory committee established under section 44508 of
this title, and document the recommendations of the
committee that are not accepted, specifying the reasons
for nonacceptance; and
(vi) highlight the research and development
technology transfer activities that promote technology
sharing among government, industry, and academia
through the Stevenson-Wydler Technology Innovation Act
of 1980.
(3) Subject to section 40119(b) of this title and regulations
prescribed under section 40119(b), the Administrator of the
Federal Aviation Administration shall submit to the committees
named in paragraph (1) of this subsection an annual report on
the accomplishments of the research completed during the prior
fiscal year, including a description of the dissemination to
the private sector of research results and a description of any
new technologies developed. The report shall be submitted with
the plan required under paragraph (1) and be organized to allow
comparison with the plan in effect for the prior fiscal year.
The report shall be prepared in accordance with requirements of
section 1116 of title 31.
Sec. 44502. General facilities and personnel authority
(a) General Authority.--(1) [The Administrator of the Federal
Aviation Administration may] Before the date of transfer (as
defined in section 90101(a)), the Secretary of Transportation
may --
(A) acquire, establish, improve, operate, and
maintain air navigation facilities; and
(B) provide facilities and personnel to regulate and
protect air traffic.
(2) [The cost] Before the date of transfer (as defined in
section 90101(a)), the cost of site preparation work associated
with acquiring, establishing, or improving an air navigation
facility under paragraph (1)(A) of this subsection shall be
charged to amounts available for that purpose appropriated
under section 48101(a) of this title. The Secretary of
Transportation may make an agreement with an airport owner or
sponsor (as defined in section 47102 of this title) so that the
owner or sponsor will provide the work and be paid or
reimbursed by the Secretary from the appropriated amounts.
(3) [The Secretary] Before the date of transfer (as defined
in section 90101(a)), the Secretary of Transportation may
authorize a department, agency, or instrumentality of the
United States Government to carry out any duty or power under
this subsection with the consent of the head of the department,
agency, or instrumentality.
[(4) Purchase of instrument landing system.--
[(A) Establishment of program.--The Secretary shall
purchase precision approach instrument landing system
equipment for installation at airports on an expedited
basis.
[(B) Authorization.--No less than $30,000,000 of the
amounts appropriated under section 48101(a) for each of
fiscal years 2000 through 2002 shall be used for the
purpose of carrying out this paragraph, including
acquisition under new or existing contracts, site
preparation work, installation, and related
expenditures.]
[(5)] (4) Improvements on leased properties.-- [The
Administrator] Before the date of transfer (as defined in
section 90101(a)), the Secretary of Transportation may make
improvements to real property leased for no or nominal
consideration for an air navigation facility, regardless of
whether the cost of making the improvements exceeds the cost of
leasing the real property, if--
(A) the improvements primarily benefit the
Government;
(B) the improvements are essential for accomplishment
of the mission of the Federal Aviation Administration;
and
(C) the interest of the United States Government in
the improvements is protected.
(b) Certification of Necessity.-- [Except] Before the date of
transfer (as defined in section 90101(a)), except for
Government money expended under this part or for a military
purpose, Government money may be expended to acquire,
establish, construct, operate, repair, alter, or maintain an
air navigation facility only if [the Administrator of the
Federal Aviation Administration] the Secretary of
Transportation certifies in writing that the facility is
reasonably necessary for use in air commerce or for the
national defense. An interested person may apply for a
certificate for a facility to be acquired, established,
constructed, operated, repaired, altered, or maintained by or
for the person.
(c) Ensuring Conformity With Plans and Policies.--(1) To
ensure conformity with plans and policies for, and allocation
of, airspace [by the Administrator of the Federal Aviation
Administration under section 40103(b)(1) of this title], a
military airport, military landing area, or missile or rocket
site may be acquired, established, or constructed, or a runway
may be altered substantially, only if the [Administrator of the
Federal Aviation Administration] Secretary of Transportation is
given reasonable prior notice so that the [Administrator of the
Federal Aviation Administration] Secretary of Transportation
may advise the appropriate committees of [Congress] Congress,
the American Air Navigation Services Corporation, and
interested departments, agencies, and instrumentalities of the
Government on the effect of the acquisition, establishment,
construction, or alteration on the use of airspace by aircraft.
A disagreement between the [Administrator of the Federal
Aviation Administration] Secretary of Transportation and the
Secretary of Defense or the Administrator of the National
Aeronautics and Space Administration may be appealed to the
President for a final decision.
(2) To ensure conformity, an airport or landing area not
involving the expenditure of Government money may be
established or constructed, or a runway may be altered
substantially, only if the [Administrator of the Federal
Aviation Administration] Secretary of Transportation is given
reasonable prior notice so [that the Administrator] that the
Secretary may provide advice on the effects of the
establishment, construction, or alteration on the use of
airspace by aircraft.
(d) Public Use and Emergency Assistance.--(1) The head of a
department, agency, or instrumentality of the Government having
jurisdiction over an air navigation facility owned or operated
by the Government may provide, under regulations the head of
the department, agency, or instrumentality prescribes, for
public use of the facility.
(2) The head of a department, agency, or instrumentality of
the Government having jurisdiction over an airport or emergency
landing field owned or operated by the Government may provide,
under regulations the head of the department, agency, or
instrumentality prescribes, for assistance, and the sale of
fuel, oil, equipment, and supplies, to an aircraft, but only
when necessary, because of an emergency, to allow the aircraft
to continue to the nearest airport operated by private
enterprise. The head of the department, agency, or
instrumentality shall provide for the assistance and sale at
the prevailing local fair market value as determined by the
head of the department, agency, or instrumentality. An amount
that the head decides is equal to the cost of the assistance
provided and the fuel, oil, equipment, and supplies sold shall
be credited to the appropriation from which the cost was paid.
The balance shall be credited to miscellaneous receipts.
(e) Transfers of Instrument Landing Systems.-- [An airport
may transfer] Before the date of transfer (as defined in
section 90101(a)), an airport may transfer , without
consideration, to the Administrator of the Federal Aviation
Administration an instrument landing system (and associated
approach lighting equipment and runway visual range equipment)
that conforms to performance specifications of the
Administrator if a Government airport aid program, airport
development aid program, or airport improvement project grant
was used to assist in purchasing the system. The Administrator
shall accept the system and operate and maintain it under
criteria of the Administrator.
(f) Airport Space.--
(1) In general.--Except as provided in paragraph (2),
the Administrator of the Federal Aviation
Administration may not require an airport owner,
operator, or sponsor (as defined in section 47102) to
provide building construction, maintenance, utilities,
administrative support, or space on airport property to
the Federal Aviation Administration without adequate
compensation.
(2) Exceptions.--Paragraph (1) does not apply in any
case in which an airport owner, operator, or sponsor--
(A) provides land or buildings without
compensation prior to the date of transfer (as
defined in section 90101(a)) to the Federal
Aviation Administration for facilities used to
carry out activities related to air traffic
control or navigation pursuant to a grant
assurance; or
(B) provides goods or services to the Federal
Aviation Administration without compensation or
at below-market rates pursuant to a negotiated
agreement between the owner, operator, or
sponsor and the Administrator.
* * * * * * *
Sec. 44506. Air traffic controllers
(a) Research on Effect of Automation on Performance.--To
develop the means necessary to establish appropriate selection
criteria and training methodologies for the next generation of
air traffic controllers, the Administrator of the Federal
Aviation Administration shall conduct research to study the
effect of automation on the performance of the next generation
of air traffic controllers and the air traffic control system.
The research shall include investigating--
(1) methods for improving and accelerating future air
traffic controller training through the application of
advanced training techniques, including the use of
simulation technology;
(2) the role of automation in the air traffic control
system and its physical and psychological effects on
air traffic controllers;
(3) the attributes and aptitudes needed to function
well in a highly automated air traffic control system
and the development of appropriate testing methods for
identifying individuals with those attributes and
aptitudes;
(4) innovative methods for training potential air
traffic controllers to enhance the benefits of
automation and maximize the effectiveness of the air
traffic control system; and
(5) new technologies and procedures for exploiting
automated communication systems, including Mode S
Transponders, to improve information transfers between
air traffic controllers and aircraft pilots.
(b) Research on Human Factor Aspects of Automation.--The
Administrators of the Federal Aviation Administration and
National Aeronautics and Space Administration may make an
agreement for the use of the National Aeronautics and Space
Administration's unique human factor facilities and expertise
in conducting research activities to study the human factor
aspects of the highly automated environment for the next
generation of air traffic controllers. The research activities
shall include investigating--
(1) human perceptual capabilities and the effect of
computer-aided decision making on the workload and
performance of air traffic controllers;
(2) information management techniques for advanced
air traffic control display systems; and
(3) air traffic controller workload and performance
measures, including the development of predictive
models.
(c) Collegiate Training Initiative.--(1) The Administrator of
the Federal Aviation Administration may maintain the Collegiate
Training Initiative program by making new agreements and
continuing existing agreements with institutions of higher
education (as defined by the Administrator) under which the
institutions prepare students for the position of air traffic
controller with the Department of Transportation (as defined in
section 2109 of title 5). The Administrator may establish
standards for the entry of institutions into the program and
for their continued participation.
(2)(A) The Administrator of the Federal Aviation
Administration may appoint an individual who has successfully
completed a course of training in a program described in
paragraph (1) of this subsection to the position of air traffic
controller noncompetitively in the excepted service (as defined
in section 2103 of title 5). An individual appointed under this
paragraph serves at the pleasure of the Administrator, subject
to section 7511 of title 5. However, an appointment under this
paragraph may be converted from one in the excepted service to
a career conditional or career appointment in the competitive
civil service (as defined in section 2102 of title 5) when the
individual achieves full performance level air traffic
controller status, as decided by the Administrator.
(B) The authority under subparagraph (A) of this paragraph to
make appointments in the excepted service expires on October 6,
1997, except that the Administrator of the Federal Aviation
Administration may extend the authority for one or more
successive one-year periods.
(d) Air Traffic Control Specialist Qualification Training.--
(1) Appointment of air traffic control specialists.--
The Administrator is authorized to appoint a qualified
air traffic control specialist candidate for placement
in an airport traffic control facility if the candidate
has--
(A) received a control tower operator
certification (referred to in this subsection
as a ``CTO'' certificate); and
(B) satisfied all other applicable
qualification requirements for an air traffic
control specialist position, including
successful completion of orientation training
at the Federal Aviation Administration Academy.
(2) Compensation and benefits.--An individual
appointed under paragraph (1) shall receive the same
compensation and benefits, and be treated in the same
manner as, any other individual appointed as a
developmental air traffic controller.
(3) Report.--Not later than 2 years after the date of
enactment of the FAA Modernization and Reform Act of
2012, the Administrator shall submit to Congress a
report that evaluates the effectiveness of the air
traffic control specialist qualification training
provided pursuant to this section, including the
graduation rates of candidates who received a CTO
certificate and are working in airport traffic control
facilities.
(4) Additional appointments.--If the Administrator
determines that air traffic control specialists
appointed pursuant to this subsection are more
successful in carrying out the duties of an air traffic
controller than air traffic control specialists hired
from the general public without any such certification,
the Administrator shall increase, to the maximum extent
practicable, the number of appointments of candidates
who possess such certification.
(5) Reimbursement for travel expenses associated with
certifications.--
(A) In general.--Subject to subparagraph (B),
the Administrator may accept reimbursement from
an educational entity that provides training to
an air traffic control specialist candidate to
cover reasonable travel expenses of the
Administrator associated with issuing
certifications to such candidates.
(B) Treatment of reimbursements.--
Notwithstanding section 3302 of title 31, any
reimbursement authorized to be collected under
subparagraph (A) shall--
(i) be credited as offsetting
collections to the account that
finances the activities and services
for which the reimbursement is
accepted;
(ii) be available for expenditure
only to pay the costs of activities and
services for which the reimbursement is
accepted, including all costs
associated with collecting such
reimbursement; and
(iii) remain available until
expended.
(e) Staffing Report.--The Administrator of the Federal
Aviation Administration shall submit annually to the Committee
on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate a report containing--
(1) the staffing standards used to determine the
number of air traffic controllers needed to operate the
air traffic control system of the United States;
(2) a 3-year projection of the number of controllers
needed to be employed to operate the system to meet the
standards; and
(3) a detailed plan for employing the controllers,
including projected budget requests.
(f) Hiring of Certain Air Traffic Control Specialists.--
(1) Consideration of applicants.--
(A) Ensuring selection of most qualified
applicants.--In appointing individuals to the
position of air traffic controller, the
Administrator shall give preferential
consideration to qualified individuals
maintaining 52 consecutive weeks of air traffic
control experience involving the full-time
active separation of air traffic after receipt
of an air traffic certification or air traffic
control facility rating within 5 years of
application while serving at--
(i) a Federal Aviation Administration
air traffic control facility;
(ii) a civilian or military air
traffic control facility of the
Department of Defense; or
(iii) a tower operating under
contract with the Federal Aviation
Administration under section 47124.
(B) Consideration of additional applicants.--
(i) In general.--After giving
preferential consideration to
applicants under subparagraph (A), the
Administrator shall consider additional
applicants for the position of air
traffic controller by referring an
approximately equal number of
individuals for appointment among the 2
applicant pools described in this
subparagraph. The number of individuals
referred for consideration from each
group shall not differ by more than 10
percent.
(ii) Pool 1.--Pool 1 applicants are
individuals who--
(I) have successfully
completed air traffic
controller training and
graduated from an institution
participating in the Collegiate
Training Initiative program
maintained under subsection
(c)(1) and who have received
from the institution--
(aa) an appropriate
recommendation; or
(bb) an endorsement
certifying that the
individual would have
met the requirements in
effect as of December
31, 2013, for an
appropriate
recommendation;
(II) are eligible for a
veterans recruitment
appointment pursuant to section
4214 of title 38 and provide a
Certificate of Release or
Discharge from Active Duty
within 120 days of the
announcement closing;
(III) are eligible veterans
(as defined in section 4211 of
title 38) maintaining aviation
experience obtained in the
course of the individual's
military experience; or
(IV) are preference eligible
veterans (as defined in section
2108 of title 5).
(iii) Pool 2.--Pool 2 applicants are
individuals who apply under a vacancy
announcement recruiting from all United
States citizens.
(2) Use of biographical assessments.--
(A) Biographical assessments.--The
Administrator shall not use any biographical
assessment when hiring under paragraph (1)(A)
or paragraph (1)(B)(ii).
(B) Reconsideration of applicants
disqualified on basis of biographical
assessments.--
(i) In general.--If an individual
described in paragraph (1)(A) or
paragraph (1)(B)(ii), who applied for
the position of air traffic controller
with the Administration in response to
Vacancy Announcement FAA-AMC-14-
ALLSRCE-33537 (issued on February 10,
2014), was disqualified from the
position as the result of a
biographical assessment, the
Administrator shall provide the
applicant an opportunity to reapply for
the position as soon as practicable
under the revised hiring practices.
(ii) Waiver of age restriction.--The
Administrator shall waive any maximum
age restriction for the position of air
traffic controller with the
Administration that would otherwise
disqualify an individual from the
position if the individual--
(I) is reapplying for the
position pursuant to clause (i)
on or before December 31, 2017;
and
(II) met the maximum age
requirement on the date of the
individual's previous
application for the position
during the interim hiring
process.
(3) Maximum entry age for experienced controllers.--
Notwithstanding section 3307 of title 5, except for
individuals covered by a program described in paragraph
(4), the maximum limit of age for an original
appointment to a position as an air traffic controller
shall be 35 years of age for those maintaining 52 weeks
of air traffic control experience involving the full-
time active separation of air traffic after receipt of
an air traffic certification or air traffic control
facility rating in a civilian or military air traffic
control facility.
(4) Retired military controllers.--The Administrator
may establish a program to provide an original
appointment to a position as an air traffic controller
for individuals who--
(A) are on terminal leave pending retirement
from active duty military service or have
retired from active duty military service
within 5 years of applying for the appointment;
and
(B) within 5 years of applying for the
appointment, have held either an air traffic
control specialist certification or a facility
rating according to Administration standards.
* * * * * * *
CHAPTER 447--SAFETY REGULATION
Sec.
44701. General requirements.
* * * * * * *
44736. Organization designation authorizations.
44737. Training on human trafficking for certain staff.
Sec. 44701. General requirements
(a) Promoting Safety.--The Administrator of the Federal
Aviation Administration shall promote safe flight of civil
aircraft in air commerce by prescribing--
(1) minimum standards required in the interest of
safety for appliances and for the design, material,
construction, quality of work, and performance of
aircraft, aircraft engines, and propellers;
(2) regulations and minimum standards in the interest
of safety for--
(A) inspecting, servicing, and overhauling
aircraft, aircraft engines, propellers, and
appliances;
(B) equipment and facilities for, and the
timing and manner of, the inspecting,
servicing, and overhauling; and
(C) a qualified private person, instead of an
officer or employee of the Administration, to
examine and report on the inspecting,
servicing, and overhauling;
(3) regulations required in the interest of safety
for the reserve supply of aircraft, aircraft engines,
propellers, appliances, and aircraft fuel and oil,
including the reserve supply of fuel and oil carried in
flight;
(4) regulations in the interest of safety for the
maximum hours or periods of service of airmen and other
employees of air carriers; and
(5) regulations and minimum standards for other
practices, methods, and procedure the Administrator
finds necessary for safety in air commerce and national
security.
(b) Prescribing Minimum Safety Standards.--The Administrator
may prescribe minimum safety standards for--
(1) an air carrier to whom a certificate is issued
under section 44705 of this title; and
(2) operating an airport serving any passenger
operation of air carrier aircraft designed for at least
31 passenger seats.
(c) Reducing and Eliminating Accidents.--The Administrator
shall carry out this chapter in a way that best tends to reduce
or eliminate the possibility or recurrence of accidents in air
transportation. However, the Administrator is not required to
give preference either to air transportation or to other air
commerce in carrying out this chapter.
(d) Considerations and Classification of Regulations and
Standards.--When prescribing a regulation or standard under
subsection (a) or (b) of this section or any of sections 44702-
44716 of this title, the Administrator shall--
(1) consider--
(A) the duty of an air carrier to provide
service with the highest possible degree of
safety in the public interest; and
(B) differences between air transportation
and other air commerce; and
(2) classify a regulation or standard appropriate to
the differences between air transportation and other
air commerce.
(e) Bilateral Exchanges of Safety Oversight
Responsibilities.--
(1) In general.--Notwithstanding the provisions of
this chapter, the Administrator, pursuant to Article 83
bis of the Convention on International Civil Aviation
and by a bilateral agreement with the aeronautical
authorities of another country, may exchange with that
country all or part of their respective functions and
duties with respect to registered aircraft under the
following articles of the Convention: Article 12 (Rules
of the Air); Article 31 (Certificates of
Airworthiness); or Article 32a (Licenses of Personnel).
(2) Relinquishment and acceptance of
responsibility.--The Administrator relinquishes
responsibility with respect to the functions and duties
transferred by the Administrator as specified in the
bilateral agreement, under the Articles listed in
paragraph (1) for United States-registered aircraft
described in paragraph (4)(A) transferred abroad and
accepts responsibility with respect to the functions
and duties under those Articles for aircraft registered
abroad and described in paragraph (4)(B) that are
transferred to the United States.
(3) Conditions.--The Administrator may predicate, in
the agreement, the transfer of functions and duties
under this subsection on any conditions the
Administrator deems necessary and prudent, except that
the Administrator may not transfer responsibilities for
United States registered aircraft described in
paragraph (4)(A) to a country that the Administrator
determines is not in compliance with its obligations
under international law for the safety oversight of
civil aviation.
(4) Registered aircraft defined.--In this subsection,
the term ``registered aircraft'' means--
(A) aircraft registered in the United States
and operated pursuant to an agreement for the
lease, charter, or interchange of the aircraft
or any similar arrangement by an operator that
has its principal place of business or, if it
has no such place of business, its permanent
residence in another country; and
(B) aircraft registered in a foreign country
and operated under an agreement for the lease,
charter, or interchange of the aircraft or any
similar arrangement by an operator that has its
principal place of business or, if it has no
such place of business, its permanent residence
in the United States.
(5) Foreign airworthiness directives.--
(A) Acceptance.--The Administrator may accept
an airworthiness directive issued by an
aeronautical safety authority of a foreign
country, and leverage that authority's
regulatory process, if--
(i) the country is the state of
design for the product that is the
subject of the airworthiness directive;
(ii) the United States has a
bilateral safety agreement relating to
aircraft certification with the
country;
(iii) as part of the bilateral safety
agreement with the country, the
Administrator has determined that such
aeronautical safety authority has a
certification system relating to safety
that produces a level of safety
equivalent to the level produced by the
system of the Federal Aviation
Administration;
(iv) the aeronautical safety
authority of the country utilizes an
open and transparent notice and comment
process in the issuance of
airworthiness directives; and
(v) the airworthiness directive is
necessary to provide for the safe
operation of the aircraft subject to
the directive.
(B) Alternative approval process.--
Notwithstanding subparagraph (A), the
Administrator may issue a Federal Aviation
Administration airworthiness directive instead
of accepting an airworthiness directive
otherwise eligible for acceptance under such
subparagraph, if the Administrator determines
that such issuance is necessary for safety or
operational reasons due to the complexity or
unique features of the Federal Aviation
Administration airworthiness directive or the
United States aviation system.
(C) Alternative means of compliance.--The
Administrator may--
(i) accept an alternative means of
compliance, with respect to an
airworthiness directive accepted under
subparagraph (A), that was approved by
the aeronautical safety authority of
the foreign country that issued the
airworthiness directive; or
(ii) notwithstanding subparagraph
(A), and at the request of any person
affected by an airworthiness directive
accepted under such subparagraph,
approve an alternative means of
compliance with respect to the
airworthiness directive.
(D) Limitation.--The Administrator may not
accept an airworthiness directive issued by an
aeronautical safety authority of a foreign
country if the airworthiness directive
addresses matters other than those involving
the safe operation of an aircraft.
(f) Exemptions.--The Administrator may grant an exemption
from a requirement of a regulation prescribed under subsection
(a) or (b) of this section or any of sections 44702-44716 of
this title if the Administrator finds the exemption is in the
public interest.
* * * * * * *
Sec. 44704. Type certificates, production certificates, [airworthiness
certificates,,] airworthiness certificates, and
design and production organization certificates
(a) Type Certificates.--
(1) Issuance, investigations, and tests.--The
Administrator of the Federal Aviation Administration
shall issue a type certificate for an aircraft,
aircraft engine, or propeller, or for an appliance
specified under paragraph (2)(A) of this subsection
when the Administrator finds that the aircraft,
aircraft engine, propeller, or appliance is properly
designed and manufactured, performs properly, and meets
the regulations and minimum standards prescribed under
section 44701(a) of this title. On receiving an
application for a type certificate, the Administrator
shall investigate the application and may conduct a
hearing. The Administrator shall make, or require the
applicant to make, tests the Administrator considers
necessary in the interest of safety.
(2) Specifications.--The Administrator may--
(A) specify in regulations those appliances
that reasonably require a type certificate in
the interest of safety;
(B) include in a type certificate terms
required in the interest of safety; and
(C) record on the certificate a numerical
specification of the essential factors related
to the performance of the aircraft, aircraft
engine, or propeller for which the certificate
is issued.
(3) Special rules for new aircraft and appliances.--
Except as provided in paragraph (4), if the holder of a
type certificate agrees to permit another person to use
the certificate to manufacture a new aircraft, aircraft
engine, propeller, or appliance, the holder shall
provide the other person with written evidence, in a
form acceptable to the Administrator, of that
agreement. Such other person may manufacture a new
aircraft, aircraft engine, propeller, or appliance
based on a type certificate only if such other person
is the holder of the type certificate or has permission
from the holder.
(4) Limitation for aircraft manufactured before
august 5, 2004.--Paragraph (3) shall not apply to a
person who began the manufacture of an aircraft before
August 5, 2004, and who demonstrates to the
satisfaction of the Administrator that such manufacture
began before August 5, 2004, if the name of the holder
of the type certificate for the aircraft does not
appear on the airworthiness certificate or
identification plate of the aircraft. The holder of the
type certificate for the aircraft shall not be
responsible for the continued airworthiness of the
aircraft. A person may invoke the exception provided by
this paragraph with regard to the manufacture of only
one aircraft.
(5) Release of data.--
(A) In general.--Notwithstanding any other
provision of law, the Administrator may make
available upon request, to a person seeking to
maintain the airworthiness or develop product
improvements of an aircraft, engine, propeller,
or appliance, engineering data in the
possession of the Administration relating to a
type certificate or a supplemental type
certificate for such aircraft, engine,
propeller, or appliance, without the consent of
the owner of record, if the Administrator
determines that--
(i) the certificate containing the
requested data has been inactive for 3
or more years, except that the
Administrator may reduce this time if
required to address an unsafe condition
associated with the product;
(ii) after using due diligence, the
Administrator is unable to find the
owner of record, or the owner of
record's heir, of the type certificate
or supplemental type certificate; and
(iii) making such data available will
enhance aviation safety.
(B) Engineering data defined.--In this
section, the term ``engineering data'' as used
with respect to an aircraft, engine, propeller,
or appliance means type design drawing and
specifications for the entire aircraft, engine,
propeller, or appliance or change to the
aircraft, engine, propeller, or appliance,
including the original design data, and any
associated supplier data for individual parts
or components approved as part of the
particular certificate for the aircraft,
engine, propeller, or appliance.
(C) Requirement to maintain data.--The
Administrator shall maintain engineering data
in the possession of the Administration
relating to a type certificate or a
supplemental type certificate that has been
inactive for 3 or more years.
(6) Type certification resolution process.--
(A) In general.--Not later than 15 months
after the date of enactment of this paragraph,
the Administrator shall establish an effective,
timely, and milestone-based issue resolution
process for type certification activities under
this subsection.
(B) Process requirements.--The resolution
process shall provide for--
(i) resolution of technical issues at
pre-established stages of the
certification process, as agreed to by
the Administrator and the type
certificate applicant;
(ii) automatic elevation to
appropriate management personnel of the
Federal Aviation Administration and the
type certificate applicant of any major
certification process milestone that is
not completed or resolved within a
specific period of time agreed to by
the Administrator and the type
certificate applicant; and
(iii) resolution of a major
certification process milestone
elevated pursuant to clause (ii) within
a specific period of time agreed to by
the Administrator and the type
certificate applicant.
(C) Major certification process milestone
defined.--In this paragraph, the term ``major
certification process milestone'' means a
milestone related to a type certification
basis, type certification plan, type inspection
authorization, issue paper, or other major type
certification activity agreed to by the
Administrator and the type certificate
applicant.
(b) Supplemental Type Certificates.--
(1) Issuance.--The Administrator may issue a type
certificate designated as a supplemental type
certificate for a change to an aircraft, aircraft
engine, propeller, or appliance.
(2) Contents.--A supplemental type certificate issued
under paragraph (1) shall consist of the change to the
aircraft, aircraft engine, propeller, or appliance with
respect to the previously issued type certificate for
the aircraft, aircraft engine, propeller, or appliance.
(3) Requirement.--If the holder of a supplemental
type certificate agrees to permit another person to use
the certificate to modify an aircraft, aircraft engine,
propeller, or appliance, the holder shall provide the
other person with written evidence, in a form
acceptable to the Administrator, of that agreement. A
person may change an aircraft, aircraft engine,
propeller, or appliance based on a supplemental type
certificate only if the person requesting the change is
the holder of the supplemental type certificate or has
permission from the holder to make the change.
(c) Production Certificates.--The Administrator shall issue a
production certificate authorizing the production of a
duplicate of an aircraft, aircraft engine, propeller, or
appliance for which a type certificate has been issued when the
Administrator finds the duplicate will conform to the
certificate. On receiving an application, the Administrator
shall inspect, and may require testing of, a duplicate to
ensure that it conforms to the requirements of the certificate.
The Administrator may include in a production certificate terms
required in the interest of safety.
(d) Airworthiness Certificates.--(1) The registered owner of
an aircraft may apply to the Administrator for an airworthiness
certificate for the aircraft. The Administrator shall issue an
airworthiness certificate when the Administrator finds that the
aircraft conforms to its type certificate and, after
inspection, is in condition for safe operation. The
Administrator shall register each airworthiness certificate and
may include appropriate information in the certificate. The
certificate number or other individual designation the
Administrator requires shall be displayed on the aircraft. The
Administrator may include in an airworthiness certificate terms
required in the interest of safety.
(2) A person applying for the issuance or renewal of an
airworthiness certificate for an aircraft for which ownership
has not been recorded under section 44107 or 44110 of this
title must submit with the application information related to
the ownership of the aircraft the Administrator decides is
necessary to identify each person having a property interest in
the aircraft and the kind and extent of the interest.
(e) Design and Production Organization Certificates.--
(1) Issuance.--Beginning January 1, 2013, the
Administrator may issue a certificate to a design
organization, production organization, or design and
production organization to authorize the organization
to certify compliance of aircraft, aircraft engines,
propellers, and appliances with the requirements and
minimum standards prescribed under section 44701(a). An
organization holding a certificate issued under this
subsection shall be known as a certified design and
production organization (in this subsection referred to
as a ``CDPO'').
(2) Applications.--On receiving an application for a
CDPO certificate, the Administrator shall examine and
rate the organization submitting the application, in
accordance with regulations to be prescribed by the
Administrator, to determine whether the organization
has adequate engineering, design, and production
capabilities, standards, and safeguards to make
certifications of compliance as described in paragraph
(1).
(3) Issuance of certificates based on CDPO
findings.--The Administrator may rely on certifications
of compliance by a CDPO when making determinations
under this section.
(4) Public safety.--The Administrator shall include
in a CDPO certificate terms required in the interest of
safety.
(5) No effect on power of revocation.--Nothing in
this subsection affects the authority of the Secretary
of Transportation to revoke a certificate.
(f) Funding for Additional Safety Needs.--
(1) Acceptance of applicant-provided funds.--
Notwithstanding any other provision of law, the
Administrator may accept funds from an applicant for a
certificate under this section to hire additional staff
or obtain the services of consultants and experts to
facilitate the timely processing, review, and issuance
of certificates under this section.
(2) Rules of construction.--
(A) In general.--Nothing in this section may
be construed as permitting the Administrator to
grant priority or afford any preference to an
applicant providing funds under paragraph (1).
(B) Policies and procedures.--The
Administrator shall implement such policies and
procedures as may be required to ensure that
the acceptance of funds under paragraph (1)
does not prejudice the Administrator in the
issuance of any certificate to an applicant.
(3) Receipts credited as offsetting collections.--
Notwithstanding section 3302 of title 31, any funds
accepted under this subsection--
(A) shall be credited as offsetting
collections to the account that finances the
activities and services for which the funds are
accepted;
(B) shall be available for expenditure only
to pay the costs of activities and services for
which the funds are accepted; and
(C) shall remain available until expended.
* * * * * * *
Sec. 44718. Structures interfering with air commerce or national
security
(a) Notice.--By regulation or by order when necessary, the
Secretary of Transportation shall require a person to give
adequate public notice, in the form and way the Secretary
prescribes, of the construction, alteration, establishment, or
expansion, or the proposed construction, alteration,
establishment, or expansion, of a structure or sanitary
landfill when the notice will promote--
(1) safety in air commerce;
(2) the efficient use and preservation of the
navigable airspace and of airport traffic capacity at
public-use airports; or
(3) the interests of national security, as determined
by the Secretary of Defense.
(b) Studies.--
(1) In general.--Under regulations prescribed by the
Secretary, if the Secretary decides that constructing
or altering a structure may result in an obstruction of
the navigable airspace, an interference with [air
navigation facilities and equipment] air or space
navigation facilities and equipment or the navigable
airspace, or, after consultation with the Secretary of
Defense, an adverse impact on military operations and
readiness, the Secretary of Transportation shall
conduct an aeronautical study to decide the extent of
any adverse impact on the safe and efficient use of the
airspace, facilities, or equipment. In conducting the
study, the Secretary shall--
(A) consider factors relevant to the
efficient and effective use of the navigable
airspace, including--
(i) the impact on arrival, departure,
and en route procedures for aircraft
operating under visual flight rules;
(ii) the impact on arrival,
departure, and en route procedures for
aircraft operating under instrument
flight rules;
(iii) the impact on existing public-
use airports and aeronautical
facilities;
(iv) the impact on planned public-use
airports and aeronautical facilities;
(v) the cumulative impact resulting
from the proposed construction or
alteration of a structure when combined
with the impact of other existing or
proposed structures; [and]
(vi) the impact on launch and reentry
for launch and reentry vehicles
arriving or departing from a launch
site or reentry site licensed by the
Secretary of Transportation; and
[(vi)] (vii) other factors relevant
to the efficient and effective use of
navigable airspace; and
(B) include the finding made by the Secretary
of Defense under subsection (f).
(2) Report.--On completing the study, the Secretary
of Transportation shall issue a report disclosing the
extent of the--
(A) adverse impact on the safe and efficient
use of the navigable airspace that the
Secretary finds will result from constructing
or altering the structure; and
(B) unacceptable risk to the national
security of the United States, as determined by
the Secretary of Defense under subsection (f).
(3) Severability.--A determination by the Secretary
of Transportation on hazard to air navigation under
this section shall remain independent of a
determination of unacceptable risk to the national
security of the United States by the Secretary of
Defense under subsection (f).
(c) Broadcast Applications and Tower Studies.--In carrying
out laws related to a broadcast application and conducting an
aeronautical study related to broadcast towers, the
Administrator of the Federal Aviation Administration and the
Federal Communications Commission shall take action necessary
to coordinate efficiently--
(1) the receipt and consideration of, and action on,
the application; and
(2) the completion of any associated aeronautical
study.
(d) Limitation on Construction of Landfills.--
(1) In general.--No person shall construct or
establish a municipal solid waste landfill (as defined
in section 258.2 of title 40, Code of Federal
Regulations, as in effect on the date of the enactment
of this subsection) that receives putrescible waste (as
defined in section 257.3-8 of such title) within 6
miles of a public airport that has received grants
under chapter 471 and is primarily served by general
aviation aircraft and regularly scheduled flights of
aircraft designed for 60 passengers or less unless the
State aviation agency of the State in which the airport
is located requests that the Administrator of the
Federal Aviation Administration exempt the landfill
from the application of this subsection and the
Administrator determines that such exemption would have
no adverse impact on aviation safety.
(2) Limitation on applicability.--Paragraph (1) shall
not apply in the State of Alaska and shall not apply to
the construction, establishment, expansion, or
modification of, or to any other activity undertaken
with respect to, a municipal solid waste landfill if
the construction or establishment of the landfill was
commenced on or before the date of the enactment of
this subsection.
(e) Review of Aeronautical Studies.--The Administrator of the
Federal Aviation Administration shall develop procedures to
allow the Department of Defense and the Department of Homeland
Security to review and comment on an aeronautical study
conducted pursuant to subsection (b) prior to the completion of
the study.
(f) National Security Finding.--As part of an aeronautical
study conducted under subsection (b), the Secretary of Defense
shall--
(1) make a finding on whether the construction,
alteration, establishment, or expansion of a structure
or sanitary landfill included in the study would result
in an unacceptable risk to the national security of the
United States; and
(2) transmit the finding to the Secretary of
Transportation for inclusion in the report required
under subsection (b)(2).
(g) Definitions.--In this section, the following definitions
apply:
(1) Adverse impact on military operations and
readiness.--The term ``adverse impact on military
operations and readiness'' has the meaning given the
term in section 211.3 of title 32, Code of Federal
Regulations, as in effect on January 6, 2014.
(2) Unacceptable risk to the national security of the
united states.--The term ``unacceptable risk to the
national security of the United States'' has the
meaning given the term in section 211.3 of title 32,
Code of Federal Regulations, as in effect on January 6,
2014.
* * * * * * *
Sec. 44736. Organization designation authorizations
(a) Delegations of Functions.--
(1) In general.--Except as provided in paragraph (3),
when overseeing an ODA holder, the Administrator of the
FAA shall--
(A) require, based on an application
submitted by the ODA holder and approved by the
Administrator (or the Administrator's
designee), a procedures manual that addresses
all procedures and limitations regarding the
functions to be performed by the ODA holder;
(B) delegate fully to the ODA holder each of
the functions to be performed as specified in
the procedures manual, unless the Administrator
determines, after the date of the delegation
and as a result of an inspection or other
investigation, that the public interest and
safety of air commerce requires a limitation
with respect to 1 or more of the functions; and
(C) conduct regular oversight activities by
inspecting the ODA holder's delegated functions
and taking action based on validated inspection
findings.
(2) Duties of oda holders.--An ODA holder shall--
(A) perform each function delegated to the
ODA holder in accordance with the approved
procedures manual for the delegation;
(B) make the procedures manual available to
each member of the appropriate ODA unit; and
(C) cooperate fully with oversight activities
conducted by the Administrator in connection
with the delegation.
(3) Existing oda holders.--With regard to an ODA
holder operating under a procedures manual approved by
the Administrator before the date of enactment of this
section, the Administrator shall--
(A) at the request of the ODA holder and in
an expeditious manner, approve revisions to the
ODA holder's procedures manual;
(B) delegate fully to the ODA holder each of
the functions to be performed as specified in
the procedures manual, unless the Administrator
determines, after the date of the delegation
and as a result of an inspection or other
investigation, that the public interest and
safety of air commerce requires a limitation
with respect to one or more of the functions;
and
(C) conduct regular oversight activities by
inspecting the ODA holder delegated functions
and taking action based on validated inspection
findings.
(b) ODA Office.--
(1) Establishment.--Not later than 90 days after the
date of enactment of this section, the Administrator of
the FAA shall identify, within the FAA Office of
Aviation Safety, a centralized policy office to be
known as the Organization Designation Authorization
Office or the ODA Office.
(2) Purpose.--The purpose of the ODA Office shall be
to oversee and ensure the consistency of the FAA's
audit functions under the ODA program across the FAA.
(3) Functions.--The ODA Office shall--
(A) improve performance and ensure full
utilization of the authorities delegated under
the ODA program;
(B) create a more consistent approach to
audit priorities, procedures, and training
under the ODA program;
(C) review, in a timely fashion, a random
sample of limitations on delegated authorities
under the ODA program to determine if the
limitations are appropriate;
(D) ensure national consistency in the
interpretation and application of the
requirements of the ODA program, including any
limitations, and in the performance of the ODA
program; and
(E) at the request of an ODA holder, review
and approve new limitations to ODA functions.
(c) Definitions.--In this section, the following definitions
apply:
(1) FAA.--The term ``FAA'' means the Federal Aviation
Administration.
(2) ODA holder.--The term ``ODA holder'' means an
entity authorized to perform functions pursuant to a
delegation made by the Administrator of the FAA under
section 44702(d).
(3) ODA unit.--The term ``ODA unit'' means a group of
2 or more individuals who perform, under the
supervision of an ODA holder, authorized functions
under an ODA.
(4) Organization.--The term ``organization'' means a
firm, partnership, corporation, company, association,
joint-stock association, or governmental entity.
(5) Organization designation authorization; oda.--The
term ``Organization Designation Authorization'' or
``ODA'' means an authorization by the FAA under section
44702(d) for an organization comprised of 1 or more ODA
units to perform approved functions on behalf of the
FAA.
Sec. 44737. Training on human trafficking for certain staff
In addition to other training requirements, each air carrier
shall provide training--
(1) to ticket counter agents, gate agents, and other
air carrier workers whose jobs require regular
interaction with passengers; and
(2) on recognizing and responding to potential human
trafficking victims.
* * * * * * *
CHAPTER 453--FEES
* * * * * * *
Sec. 45302. Fees involving aircraft not providing air transportation
(a) Application.--This section applies only to aircraft not
used to provide air transportation.
(b) General Authority and Maximum Fees.--The Administrator of
the Federal Aviation Administration may impose fees to pay for
the costs of issuing airman certificates to pilots and
certificates of registration of aircraft and processing forms
for major repairs and alterations of fuel tanks and fuel
systems of aircraft. The following fees may not be more than
the amounts specified:
(1) $12 for issuing an airman's certificate to a
pilot.
(2) $25 for registering an aircraft after the
transfer of ownership.
(3) $15 for renewing an aircraft registration.
(4) $7.50 for processing a form for a major repair or
alteration of a fuel tank or fuel system of an
aircraft.
(c) Adjustments.--The Administrator shall adjust the maximum
fees established by subsection (b) of this section for changes
in the Consumer Price Index of All Urban Consumers published by
the Secretary of Labor.
(d) Credit to Account and Availability.--Money collected from
fees imposed under this section shall be credited to the
account in the Treasury from which the Administrator incurs
expenses in carrying out chapter 441 and sections 44701-44716
of this title (except sections 44701(c), [44703(f)(2)]
44703(g)(2) , and 44713(d)(2)). The money is available to the
Administrator to pay expenses for which the fees are collected.
(e) Effective Date.--(1) In general.--A fee may not be
imposed under this section before the date on which the
regulations prescribed under sections 44111(d), [44703(f)(2)]
44703(g)(2) , and 44713(d)(2) of this title take effect.
(2) Effect of imposition of other fees.--A fee may not be
imposed for a service or activity under this section during any
period in which a fee for the same service or activity is
imposed under section 45305.
* * * * * * *
Sec. 45305. Registration, certification, and related fees
(a) General Authority and Fees.-- [Subject to subsection (b)]
Subject to subsection (c) , the Administrator of the Federal
Aviation Administration shall establish and collect a fee for
each of the following services and activities of the
Administration that does not exceed the estimated costs of the
service or activity:
(1) Registering an aircraft.
(2) Reregistering, replacing, or renewing an aircraft
registration certificate.
(3) Issuing an original dealer's aircraft
registration certificate.
(4) Issuing an additional dealer's aircraft
registration certificate (other than the original).
(5) Issuing a special registration number.
(6) Issuing a renewal of a special registration
number reservation.
(7) Recording a security interest in an aircraft or
aircraft part.
(8) Issuing an airman certificate.
(9) Issuing a replacement airman certificate.
(10) Issuing an airman medical certificate.
(11) Providing a legal opinion pertaining to aircraft
registration or recordation.
(b) Certification Services.--Subject to subsection (c), and
notwithstanding section 45301(a), the Administrator may
establish and collect a fee from a foreign government or entity
for services related to certification, regardless of where the
services are provided, if the fee--
(1) is established and collected in a manner
consistent with aviation safety agreements; and
(2) does not exceed the estimated costs of the
services.
[(b)] (c) Limitation on Collection.--No fee may be collected
under this section unless the expenditure of the fee to pay the
costs of activities and services for which the fee is imposed
is provided for in advance in an appropriations Act.
[(c)] (d) Fees Credited as Offsetting Collections.--
(1) In general.--Notwithstanding section 3302 of
title 31, any fee authorized to be collected under this
section shall--
(A) be credited as offsetting collections to
the account that finances the activities and
services for which the fee is imposed;
(B) be available for expenditure only to pay
the costs of activities and services for which
the fee is imposed, including all costs
associated with collecting the fee; and
(C) remain available until expended.
(2) Continuing appropriations.--The Administrator may
continue to assess, collect, and spend fees established
under this section during any period in which the
funding for the Federal Aviation Administration is
provided under an Act providing continuing
appropriations in lieu of the Administration's regular
appropriations.
(3) Adjustments.--The Administrator shall adjust a
fee established under subsection (a) for a service or
activity if the Administrator determines that the
actual cost of the service or activity is higher or
lower than was indicated by the cost data used to
establish such fee.
* * * * * * *
CHAPTER 455--UNMANNED AIRCRAFT SYSTEMS
Sec.
45501. Definitions.
45502. Integration of civil unmanned aircraft systems into national
airspace system.
45503. Risk-based permitting of unmanned aircraft systems.
45504. Public unmanned aircraft systems.
45505. Special rules for certain unmanned aircraft systems.
45506. Certification of new air navigation facilities for unmanned
aircraft and other aircraft.
45507. Special rules for certain UTM and low-altitude CNS.
45508. Operation of small unmanned aircraft.
45509. Special rules for model aircraft.
45510. Carriage of property for compensation or hire.
45511. Micro UAS operations.
Sec. 45501. Definitions
In this chapter, the following definitions apply:
(1) Aerial data collection.--The term ``aerial data
collection'' means the gathering of data by a device
aboard an unmanned aircraft during flight, including
imagery, sensing, and measurement by such device.
(2) Arctic.--The term ``Arctic'' means the United
States zone of the Chukchi Sea, Beaufort Sea, and
Bering Sea north of the Aleutian chain.
(3) Certificate of waiver; certificate of
authorization.--The terms ``certificate of waiver'' and
``certificate of authorization'' mean a Federal
Aviation Administration grant of approval for a
specific flight operation.
(4) CNS.--The term ``CNS'' means a communication,
navigation, or surveillance system or service.
(5) Model aircraft.--the term ``model aircraft''
means an unmanned aircraft that is--
(A) capable of sustained flight in the
atmosphere;
(B) flown within visual line of sight of the
person operating the aircraft; and
(C) flown for hobby or recreational purposes.
(6) Permanent areas.--The term ``permanent areas''
means areas on land or water that provide for launch,
recovery, and operation of small unmanned aircraft.
(7) Public unmanned aircraft system.--The term
``public unmanned aircraft system'' means an unmanned
aircraft system that meets the qualifications and
conditions required for operation of a public aircraft
(as defined in section 40102(a)).
(8) Sense-and-avoid capability.--The term ``sense-
and-avoid capability'' means the capability of an
unmanned aircraft to remain a safe distance from and to
avoid collisions with other airborne aircraft.
(9) Small unmanned aircraft.--The term ``small
unmanned aircraft'' means an unmanned aircraft weighing
less than 55 pounds, including everything that is on
board the aircraft.
(10) Unmanned aircraft.--The term ``unmanned
aircraft'' means an aircraft that is operated without
the possibility of direct human intervention from
within or on the aircraft.
(11) Unmanned aircraft system.--The term ``unmanned
aircraft system'' means an unmanned aircraft and
associated elements (including communication links and
the components that control the unmanned aircraft) that
are required for the pilot in command to operate safely
and efficiently in the national airspace system.
(12) UTM.--The term ``UTM'' means an unmanned
aircraft traffic management system or service.
Sec. 45502. Integration of civil unmanned aircraft systems into
national airspace system
(a) Required Planning for Integration.--
(1) Comprehensive plan.--Not later than November 10,
2012, the Secretary of Transportation, in consultation
with representatives of the aviation industry, Federal
agencies that employ unmanned aircraft systems
technology in the national airspace system, and the
unmanned aircraft systems industry, shall develop a
comprehensive plan to safely accelerate the integration
of civil unmanned aircraft systems into the national
airspace system.
(2) Contents of plan.--The plan required under
paragraph (1) shall contain, at a minimum,
recommendations or projections on--
(A) the rulemaking to be conducted under
subsection (b), with specific recommendations
on how the rulemaking will--
(i) define the acceptable standards
for operation and certification of
civil unmanned aircraft systems;
(ii) ensure that any civil unmanned
aircraft system includes a sense-and-
avoid capability; and
(iii) establish standards and
requirements for the operator and pilot
of a civil unmanned aircraft system,
including standards and requirements
for registration and licensing;
(B) the best methods to enhance the
technologies and subsystems necessary to
achieve the safe and routine operation of civil
unmanned aircraft systems in the national
airspace system;
(C) a phased-in approach to the integration
of civil unmanned aircraft systems into the
national airspace system;
(D) a timeline for the phased-in approach
described under subparagraph (C);
(E) creation of a safe airspace designation
for cooperative manned and unmanned flight
operations in the national airspace system;
(F) establishment of a process to develop
certification, flight standards, and air
traffic requirements for civil unmanned
aircraft systems at test ranges where such
systems are subject to testing;
(G) the best methods to ensure the safe
operation of civil unmanned aircraft systems
and public unmanned aircraft systems
simultaneously in the national airspace system;
and
(H) incorporation of the plan into the annual
NextGen Implementation Plan document (or any
successor document) of the Federal Aviation
Administration.
(3) Deadline.--The plan required under paragraph (1)
shall provide for the safe integration of civil
unmanned aircraft systems into the national airspace
system as soon as practicable, but not later than
September 30, 2015.
(4) Report to congress.--Not later than February 14,
2013, the Secretary shall submit to Congress a copy of
the plan required under paragraph (1).
(5) Roadmap.--Not later than February 14, 2013, the
Secretary shall approve and make available in print and
on the Administration's internet website a 5-year
roadmap for the introduction of civil unmanned aircraft
systems into the national airspace system, as
coordinated by the Unmanned Aircraft Program Office of
the Administration. The Secretary shall update the
roadmap annually.
(b) Rulemaking.--Not later than 18 months after the date on
which the plan required under subsection (a)(1) is submitted to
Congress under subsection (a)(4), the Secretary shall publish
in the Federal Register--
(1) a final rule on small unmanned aircraft systems
that will allow for civil operation of such systems in
the national airspace system, to the extent the systems
do not meet the requirements for expedited operational
authorization under section 45508;
(2) a notice of proposed rulemaking to implement the
recommendations of the plan required under subsection
(a)(1), with the final rule to be published not later
than 16 months after the date of publication of the
notice; and
(3) an update to the Administration's most recent
policy statement on unmanned aircraft systems,
contained in Docket No. FAA-2006-25714.
(c) Expanding Use of Unmanned Aircraft Systems in Arctic.--
(1) In general.--Not later than August 12, 2012, the
Secretary shall develop a plan and initiate a process
to work with relevant Federal agencies and national and
international communities to designate permanent areas
in the Arctic where small unmanned aircraft may operate
24 hours per day for research and commercial purposes.
The plan for operations in these permanent areas shall
include the development of processes to facilitate the
safe operation of unmanned aircraft beyond line of
sight. Such areas shall enable over-water flights from
the surface to at least 2,000 feet in altitude, with
ingress and egress routes from selected coastal launch
sites.
(2) Agreements.--To implement the plan under
paragraph (1), the Secretary may enter into an
agreement with relevant national and international
communities.
(3) Aircraft approval.--Not later than 1 year after
the entry into force of an agreement necessary to
effectuate the purposes of this subsection, the
Secretary shall work with relevant national and
international communities to establish and implement a
process, or may apply an applicable process already
established, for approving the use of unmanned aircraft
in the designated permanent areas in the Arctic without
regard to whether an unmanned aircraft is used as a
public aircraft, a civil aircraft, or a model aircraft.
Sec. 45503. Risk-based permitting of unmanned aircraft systems
(a) In General.--Not later than 120 days after the date of
enactment of this section, the Administrator of the Federal
Aviation Administration shall establish procedures for issuing
permits under this section with respect to certain unmanned
aircraft systems and operations thereof.
(b) Permitting Standards.--Upon the submission of an
application in accordance with subsection (d), the
Administrator shall issue a permit with respect to the proposed
operation of an unmanned aircraft system if the Administrator
determines that the unmanned aircraft system and the proposed
operation achieve a level of safety that is equivalent to--
(1) other unmanned aircraft systems and operations
permitted under regulation, exemption, or other
authority granted by the Administrator; or
(2) any other aircraft operation approved by the
Administrator with similar risk characteristics or
profiles.
(c) Safety Criteria for Consideration.--In determining
whether a proposed operation meets the standards described in
subsection (b), the Administrator shall consider the following
safety criteria:
(1) The kinetic energy of the unmanned aircraft
system.
(2) The location of the proposed operation, including
the proximity to--
(A) structures;
(B) congested areas;
(C) special-use airspace; and
(D) persons on the ground.
(3) The nature of the operation, including any
proposed risk mitigation.
(4) Any known hazard of the proposed operation and
the severity and likelihood of such hazard.
(5) Any known failure modes of the unmanned aircraft
system, failure mode effects and criticality, and any
mitigating features or capabilities.
(6) The operational history of relevant technologies,
if available.
(7) Any history of civil penalties or certificate
actions by the Administrator against the applicant
seeking the permit.
(8) Any other safety criteria the Administrator
considers appropriate.
(d) Application.--An application under this section shall
include evidence that the unmanned aircraft system and the
proposed operation thereof meet the standards described in
subsection (b) based on the criteria described in subsection
(c).
(e) Scope of Permit.--A permit issued under this section
shall--
(1) be valid for 5 years;
(2) constitute approval of both the airworthiness of
the unmanned aircraft system and the proposed operation
of such system;
(3) be renewable for additional 5-year periods; and
(4) contain any terms necessary to ensure aviation
safety.
(f) Notice.--Not later than 120 days after the Administrator
receives a complete application under subsection (d), the
Administrator shall provide the applicant written notice of a
decision to approve or disapprove of the application or to
request a modification of the application that is necessary for
approval of the application.
(g) Permitting Process.--The Administrator shall issue a
permit under this section without regard to subsections (b)
through (d) of section 553 of title 5 and chapter 35 of title
44 if the Administrator determines that the operation permitted
will not occur near a congested area.
(h) Exemption from Certain Requirements.--To the extent
consistent with aviation safety, the Administrator may exempt
applicants under this section from paragraphs (1) through (3)
of section 44711(a).
(i) Withdrawal.--The Administrator may, at any time, modify
or withdraw a permit issued under this section.
(j) Applicability.--This section shall not apply to small
unmanned aircraft systems and operations authorized by the
final rule on small unmanned aircraft systems issued pursuant
to section 45502(b)(1).
(k) Expedited Review.--The Administrator shall review and act
upon applications under this section on an expedited basis for
unmanned aircraft systems and operations thereof to be used
primarily in, or primarily in direct support of, emergency
preparedness, emergency response, or disaster recovery efforts,
including efforts in connection with natural disasters and
severe weather events.
Sec. 45504. Public unmanned aircraft systems
(a) Guidance.--Not later than November 10, 2012, the
Secretary of Transportation shall issue guidance regarding the
operation of public unmanned aircraft systems to--
(1) expedite the issuance of a certificate of
authorization process;
(2) provide for a collaborative process with public
agencies to allow for an incremental expansion of
access to the national airspace system as technology
matures and the necessary safety analysis and data
become available, and until standards are completed and
technology issues are resolved;
(3) facilitate the capability of public agencies to
develop and use test ranges, subject to operating
restrictions required by the Federal Aviation
Administration, to test and operate unmanned aircraft
systems; and
(4) provide guidance on a public entity's
responsibility when operating an unmanned aircraft
without a civil airworthiness certificate issued by the
Administration.
(b) Standards for Operation and Certification.--Not later
than December 31, 2015, the Administrator shall develop and
implement operational and certification requirements for the
operation of public unmanned aircraft systems in the national
airspace system.
(c) Agreements With Government Agencies.--
(1) In general.--Not later than May 14, 2012, the
Secretary shall enter into agreements with appropriate
government agencies to simplify the process for issuing
certificates of waiver or authorization with respect to
applications seeking authorization to operate public
unmanned aircraft systems in the national airspace
system.
(2) Contents.--The agreements shall--
(A) with respect to an application described
in paragraph (1)--
(i) provide for an expedited review
of the application;
(ii) require a decision by the
Administrator on approval or
disapproval within 60 business days of
the date of submission of the
application; and
(iii) allow for an expedited appeal
if the application is disapproved;
(B) allow for a one-time approval of similar
operations carried out during a fixed period of
time; and
(C) allow a government public safety agency
to operate unmanned aircraft weighing 4.4
pounds or less, if operated--
(i) within the line of sight of the
operator;
(ii) less than 400 feet above the
ground;
(iii) during daylight conditions;
(iv) within Class G airspace; and
(v) outside of 5 statute miles from
any airport, heliport, seaplane base,
spaceport, or other location with
aviation activities.
Sec. 45505. Special rules for certain unmanned aircraft systems
(a) In General.--Notwithstanding any other requirement of
this subtitle, and not later than August 12, 2012, the
Secretary of Transportation shall determine if certain unmanned
aircraft systems may operate safely in the national airspace
system before completion of the plan and rulemaking required by
section 45502 or the guidance required under section 45504.
(b) Assessment of Unmanned Aircraft Systems.--In making the
determination under subsection (a), the Secretary shall
determine, at a minimum--
(1) which types of unmanned aircraft systems, if any,
as a result of their size, weight, speed, operational
capability, proximity to airports and populated areas,
and operation within visual line of sight do not create
a hazard to users of the national airspace system or
the public or pose a threat to national security; and
(2) whether a certificate of waiver, certificate of
authorization, or airworthiness certification under
section 44704 is required for the operation of unmanned
aircraft systems identified under paragraph (1).
(c) Requirements for Safe Operation.--If the Secretary
determines under this section that certain unmanned aircraft
systems may operate safely in the national airspace system, the
Secretary shall establish requirements for the safe operation
of such aircraft systems in the national airspace system.
Sec. 45506. Certification of new air navigation facilities for unmanned
aircraft and other aircraft
(a) In General.--Not later than 18 months after the date of
enactment of this section, and notwithstanding section 2208 of
the FAA Extension, Safety, and Security Act of 2016 (49 U.S.C.
40101 note), the Administrator of the Federal Aviation
Administration shall initiate a rulemaking to establish
procedures for issuing air navigation facility certificates
pursuant to section 44702 to operators of--
(1) UTM for unmanned aircraft operations that occur
primarily or exclusively in airspace 400 feet above
ground level and below; and
(2) low-altitude CNS for aircraft operations that
occur primarily or exclusively in airspace 400 feet
above ground level and below.
(b) Minimum Requirements.--In issuing a final rule pursuant
to subsection (a), the Administrator, at a minimum, shall
provide for the following:
(1) Certification standards.--The Administrator shall
issue an air navigation facility certificate under the
final rule if the Administrator determines that a UTM
or low-altitude CNS facilitates or improves the safety
of unmanned aircraft or other aircraft operations that
occur primarily or exclusively in airspace 400 feet
above ground level and below, including operations
conducted under a waiver issued pursuant to subpart D
of part 107 of title 14, Code of Federal Regulations.
(2) Criteria for consideration.--In determining
whether a UTM or low-altitude CNS meets the standard
described in paragraph (1), the Administrator shall, as
appropriate, consider--
(A) protection of persons and property on the
ground;
(B) remote identification of aircraft;
(C) collision avoidance with respect to
obstacles and aircraft;
(D) deconfliction of aircraft trajectories;
(E) safe and reliable interoperability or
noninterference with air traffic control and
other systems operated in the national airspace
system;
(F) detection of noncooperative aircraft;
(G) geographic and local factors;
(H) aircraft equipage; and
(I) qualifications, if any, necessary to
operate the UTM or low-altitude CNS.
(3) Application.--An application for an air
navigation facility certificate under the final rule
shall include evidence that the UTM or low-altitude CNS
meets the standard described in paragraph (1) based on
the criteria described in paragraph (2).
(4) Scope of certificate.--The Administrator shall
ensure that an air navigation facility certificate
issued under the final rule--
(A) constitutes approval of the UTM or low-
altitude CNS for the duration of the term of
the certificate;
(B) constitutes authorization to operate the
UTM or low-altitude CNS for the duration of the
term of the certificate; and
(C) contains such limitations and conditions
as may be necessary to ensure aviation safety.
(5) Notice.--Not later than 120 days after the
Administrator receives a complete application under the
final rule, the Administrator shall provide the
applicant with a written approval, disapproval, or
request to modify the application.
(6) Low risk areas.--Under the final rule, the
Administrator shall establish expedited procedures for
approval of UTM or low-altitude CNS operated in--
(A) airspace away from congested areas; or
(B) other airspace above areas in which
operations of unmanned aircraft pose very low
risk.
(7) Exemption from certain requirements.--To the
extent consistent with aviation safety, the
Administrator may exempt applicants under the final
rule from requirements under sections 44702, 44703, and
44711.
(8) Certificate modifications and revocations.--A
certificate issued under the final rule may, at any
time, be modified or revoked by the Administrator.
(c) Consultation.--In carrying out this section, the
Administrator shall consult with other Federal agencies, as
appropriate.
Sec. 45507. Special rules for certain UTM and low-altitude CNS
(a) In General.--Notwithstanding any other requirement of
this chapter, and not later than 120 days after the date of
enactment of this section, the Secretary of Transportation
shall determine if certain UTM and low-altitude CNS may operate
safely in the national airspace system before completion of the
rulemaking required by section 45506.
(b) Assessment of UTM and low-Altitude CNS.--In making the
determination under subsection (a), the Secretary shall
determine, at a minimum, which types of UTM and low-altitude
CNS, if any, as a result of their operational capabilities,
reliability, intended use, and areas of operation, and the
characteristics of the aircraft involved, do not create a
hazard to users of the national airspace system or the public.
(c) Requirements for Safe Operation.--If the Secretary
determines that certain UTM and low-altitude CNS may operate
safely in the national airspace system, the Secretary shall
establish requirements for their safe operation in the national
airspace system.
(d) Expedited Procedures.--The Secretary shall provide
expedited procedures for reviewing and approving UTM or low-
altitude CNS operated to monitor or control aircraft operated
primarily or exclusively in airspace above--
(1) croplands;
(2) areas other than congested areas; and
(3) other areas in which the operation of unmanned
aircraft poses very low risk.
(e) Consultation.--In carrying out this section, the
Administrator shall consult with other Federal agencies, as
appropriate.
Sec. 45508. Operation of small unmanned aircraft
(a) Exemption and Certificate of Waiver or Authorization for
Certain Operations.--Not later than 270 days after the date of
enactment of this section, the Administrator of the Federal
Aviation Administration shall establish a procedure for
granting an exemption and issuing a certificate of waiver or
authorization for the operation of a small unmanned aircraft
system in United States airspace for the purposes described in
section 45501(1).
(b) Operation of Exemption and Certificate of Waiver or
Authorization.--
(1) Exemption.--An exemption granted under this
section shall--
(A) exempt the operator of a small unmanned
aircraft from the provisions of title 14, Code
of Federal Regulations, that are exempted in
Exemption No. 11687, issued on May 26, 2015,
Regulatory Docket Number FAA-2015-0117, or in a
subsequent exemption; and
(B) contain conditions and limitations
described in paragraphs 3 through 31 of such
Exemption No. 11687, or conditions and
limitations of a subsequent exemption.
(2) Certificate of waiver or authorization.--A
certificate of waiver or authorization issued under
this section shall allow the operation of small
unmanned aircraft according to--
(A) the standard provisions and air traffic
control special provisions of the certificate
of waiver or authorization FAA Form 7711-1 (7-
74); or
(B) the standard and special provisions of a
subsequent certificate of waiver or
authorization.
(c) Notice to Administrator.--Before operating a small
unmanned aircraft pursuant to a certificate of waiver or
authorization granted under this section, the operator shall
provide written notice to the Administrator, in a form and
manner specified by the Administrator, that contains such
information and assurances as the Administrator determines
necessary in the interest of aviation safety and the efficiency
of the national airspace system, including a certification that
the operator has read, understands, and will comply with all
terms, conditions, and limitations of the certificate of waiver
or authorization.
(d) Waiver of Airworthiness Certificate.--Notwithstanding
section 44711(a)(1), the holder of a certificate of waiver or
authorization granted under this section may operate a small
unmanned aircraft under the terms, conditions, and limitations
of such certificate without an airworthiness certificate.
(e) Procedure.--The granting of an exemption or the issuance
of a certificate of waiver or authorization, or any other
action authorized by this section, shall be made without regard
to--
(1) section 553 of title 5; or
(2) chapter 35 of title 44.
(f) Statutory Construction.--Nothing in this section may be
construed to--
(1) affect the issuance of a rule by or any other
activity of the Secretary of Transportation or the
Administrator under any other provision of law; or
(2) invalidate an exemption or certificate of waiver
or authorization issued by the Administrator before the
date of enactment of this section.
(g) Effective Periods.--An exemption or certificate of waiver
or authorization issued under this section, or an amendment of
such exemption or certificate, shall cease to be valid on the
effective date of a final rule on small unmanned aircraft
systems issued under section 45502(b)(1).
Sec. 45509. Special rules for model aircraft
(a) In General.--Notwithstanding any other provision of law
relating to the incorporation of unmanned aircraft systems into
Federal Aviation Administration plans and policies, including
this subtitle, the Administrator of the Federal Aviation
Administration may not promulgate any rule or regulation
regarding a model aircraft or an aircraft being developed as a
model aircraft (other than the registration of certain model
aircraft pursuant to section 44103), if--
(1) the aircraft is flown strictly for hobby or
recreational use;
(2) the aircraft is operated in accordance with a
community-based set of safety guidelines and within the
programming of a community-based organization;
(3) the aircraft is limited to not more than 55
pounds unless otherwise certified through a design,
construction, inspection, flight test, and operational
safety program administered by a community-based
organization;
(4) the aircraft is operated in a manner that does
not interfere with and gives way to any manned
aircraft;
(5) the aircraft is not operated over or within the
property of a fixed site facility that operates
amusement rides available for use by the general public
or the property extending 500 lateral feet beyond the
perimeter of such facility unless the operation is
authorized by the owner of the amusement facility; and
(6) when flown within 5 miles of an airport, the
operator of the aircraft provides the airport operator
and the airport air traffic control tower (when an air
traffic facility is located at the airport) with prior
notice of the operation (model aircraft operators
flying from a permanent location within 5 miles of an
airport should establish a mutually agreed upon
operating procedure with the airport operator and the
airport air traffic control tower (when an air traffic
facility is located at the airport)).
(b) Commercial Operation for Instructional or Educational
Purposes.--A flight of an unmanned aircraft shall be treated as
a flight of a model aircraft for purposes of subsection (a)
(regardless of any compensation, reimbursement, or other
consideration exchanged or incidental economic benefit gained
in the course of planning, operating, or supervising the
flight), if the flight is--
(1) conducted for instructional or educational
purposes; and
(2) operated or supervised by a member of a
community-based organization recognized pursuant to
subsection (e).
(c) Statutory Construction.--Nothing in this section may be
construed to limit the authority of the Administrator to pursue
enforcement action against persons operating model aircraft who
endanger the safety of the national airspace system.
(d) Community-Based Organization Defined.--In this section,
the term ``community-based organization'' means an entity
that--
(1) is described in section 501(c)(3) of the Internal
Revenue Code of 1986;
(2) is exempt from tax under section 501(a) of the
Internal Revenue Code of 1986;
(3) the mission of which is demonstrably the
furtherance of model aviation;
(4) provides a comprehensive set of safety guidelines
for all aspects of model aviation addressing the
assembly and operation of model aircraft and that
emphasize safe aeromodeling operations within the
national airspace system and the protection and safety
of individuals and property on the ground;
(5) provides programming and support for any local
charter organizations, affiliates, or clubs; and
(6) provides assistance and support in the
development and operation of locally designated model
aircraft flying sites.
(e) Recognition of Community-Based Organizations.--Not later
than 180 days after the date of enactment of this section, the
Administrator shall establish, and make available to the
public, a process for recognizing community-based organizations
that meet the eligibility criteria under subsection (d).
Sec. 45510. Carriage of property for compensation or hire
(a) In General.--Not later than 1 year after the date of
enactment of this section, the Secretary of Transportation
shall issue a final rule authorizing the carriage of property
by operators of small unmanned aircraft systems for
compensation or hire within the United States.
(b) Contents.--The final rule required under subsection (a)
shall provide for the following:
(1) Small uas air carrier certificate.--The
Administrator of the Federal Aviation Administration,
at the direction of the Secretary, shall establish a
small UAS air carrier certificate for persons that
undertake directly, or by lease or other arrangement,
the operation of small unmanned aircraft systems to
carry property in air transportation, including
commercial fleet operations with highly automated
unmanned aircraft systems. The requirements to obtain a
small UAS air carrier certificate shall--
(A) account for the unique characteristics of
highly automated small unmanned aircraft
systems; and
(B) include only those obligations necessary
for the safe operation of small unmanned
aircraft systems.
(2) Small uas air carrier certification process.--The
Administrator, at the direction of the Secretary, shall
establish a process for the issuance of a small UAS air
carrier certificate described in paragraph (1) that is
streamlined, simple, performance-based, and risk-based.
Such certification process shall consider--
(A) safety and the mitigation of operational
risks from highly automated small unmanned
aircraft systems to the safety of other
aircraft, and persons and property on the
ground;
(B) the safety and reliability of highly
automated small unmanned aircraft system
design, including technological capabilities
and operational limitations to mitigate such
risks; and
(C) the competencies and compliance programs
of manufacturers, operators, and companies that
both manufacture and operate small unmanned
aircraft systems and components.
(3) Small uas air carrier classification.--The
Secretary shall develop a classification system for
small unmanned aircraft systems air carriers to
establish economic authority for the carriage of
property by small unmanned aircraft systems for
compensation or hire. Such classification shall only
require--
(A) registration with the Department of
Transportation; and
(B) a valid small UAS air carrier certificate
as described in paragraph (1).
Sec. 45511. Micro UAS operations
(a) In General.--Not later than 60 days after the date of
enactment of this section, the Administrator of the Federal
Aviation Administration shall charter an aviation rulemaking
advisory committee to develop recommendations for regulations
under which any person may operate a micro unmanned aircraft
system, the aircraft component of which weighs 4.4 pounds or
less, including payload, without the person operating the
system being required to pass any airman certification
requirement, including any requirements under section 44703,
part 61 of title 14, Code of Federal Regulations, or any other
rule or regulation relating to airman certification.
(b) Considerations.--In developing recommendations for the
operation of micro unmanned aircraft systems under subsection
(a), the members of the aviation rulemaking advisory committee
shall consider rules for operation of such systems--
(1) at an altitude of less than 400 feet above ground
level;
(2) with an airspeed of not greater than 40 knots;
(3) within the visual line of sight of the operator;
(4) during the hours between sunrise and sunset;
(5) by an operator who has passed an aeronautical
knowledge and safety test administered by the Federal
Aviation Administration online specifically for the
operation of micro unmanned aircraft systems, with such
test being of a length and difficulty that acknowledges
the reduced operational complexity and low risk of
micro unmanned aircraft systems;
(6) not over unprotected persons uninvolved in its
operation; and
(7) at least 5 statute miles from the geographic
center of a tower-controlled airport or airport denoted
on a current Federal Aviation Administration-published
aeronautical chart, except that a micro unmanned
aircraft system may be operated closer than 5 statute
miles to the airport if the operator--
(A) provides prior notice to the airport
operator; and
(B) receives, for a tower-controlled airport,
prior approval from the air traffic control
facility located at the airport.
(c) Consultation.--
(1) In general.--In developing recommendations for
recommended regulations under subsection (a), the
aviation rulemaking advisory committee shall consult
with--
(A) unmanned aircraft systems stakeholders,
including manufacturers of micro unmanned
aircraft systems;
(B) community-based aviation organizations;
(C) the Center of Excellence for Unmanned
Aircraft Systems; and
(D) appropriate Federal agencies.
(2) FACA.--The Federal Advisory Committee Act (5
U.S.C. App.) shall not apply to an aviation rulemaking
advisory committee chartered under this section.
(d) Rulemaking.--Not later than 180 days after the date of
receipt of the recommendations under subsection (a), the
Administrator shall issue regulations incorporating
recommendations of the aviation rulemaking advisory committee
that provide for the operation of micro unmanned aircraft
systems in the United States--
(1) without an airman certificate; and
(2) without an airworthiness certificate for the
associated unmanned aircraft.
(e) Scope of Regulations.--
(1) In general.--In determining whether a person may
operate an unmanned aircraft system under 1 or more of
the circumstances described under paragraphs (1)
through (3) of subsection (b), the Administrator shall
use a risk-based approach and consider, at a minimum,
the physical and functional characteristics of the
unmanned aircraft system.
(2) Limitation.--The Administrator may only issue
regulations under this section for unmanned aircraft
systems that the Administrator determines may be
operated safely in the national airspace system
pursuant to those regulations.
(f) Rules of Construction.--Nothing in this section may be
construed--
(1) to prohibit a person from operating an unmanned
aircraft system under a circumstance described under
paragraphs (1) through (3) of subsection (b) if--
(A) the circumstance is allowed by
regulations issued under this section; and
(B) the person operates the unmanned aircraft
system in a manner prescribed by the
regulations; or
(2) to limit or affect in any way the Administrator's
authority to conduct a rulemaking, make a
determination, or carry out any activity related to
unmanned aircraft or unmanned aircraft systems under
any other provision of law.
* * * * * * *
SUBPART IV--ENFORCEMENT AND PENALTIES
* * * * * * *
CHAPTER 461--INVESTIGATIONS AND PROCEEDINGS
* * * * * * *
Sec. 46110. Judicial review
(a) Filing and Venue.--Except for an order related to a
foreign air carrier subject to disapproval by the President
under section 41307 or 41509(f) of this title, a person
disclosing a substantial interest in an order issued by the
Secretary of Transportation (or the Under Secretary of
Transportation for Security with respect to security duties and
powers designated to be carried out by the Under Secretary or
the Administrator of the Federal Aviation Administration with
respect to aviation duties and powers designated to be carried
out by the Administrator) in whole or in part under this part,
part B, [or subsection (l) or (s) of section 114] subsection
(l) or (s) of section 114, or section 90501 may apply for
review of the order by filing a petition for review in the
United States Court of Appeals for the District of Columbia
Circuit or in the court of appeals of the United States for the
circuit in which the person resides or has its principal place
of business. The petition must be filed not later than 60 days
after the order is issued. The court may allow the petition to
be filed after the 60th day only if there are reasonable
grounds for not filing by the 60th day.
(b) Judicial Procedures.--When a petition is filed under
subsection (a) of this section, the clerk of the court
immediately shall send a copy of the petition to the Secretary,
Under Secretary, or Administrator, as appropriate. The
Secretary, Under Secretary, or Administrator shall file with
the court a record of any proceeding in which the order was
issued, as provided in section 2112 of title 28.
(c) Authority of Court.--When the petition is sent to the
Secretary, Under Secretary, or Administrator, the court has
exclusive jurisdiction to affirm, amend, modify, or set aside
any part of the order and may order the Secretary, Under
Secretary, or Administrator to conduct further proceedings.
After reasonable notice to the Secretary, Under Secretary, or
Administrator, the court may grant interim relief by staying
the order or taking other appropriate action when good cause
for its action exists. Findings of fact by the Secretary, Under
Secretary, or Administrator, if supported by substantial
evidence, are conclusive.
(d) Requirement for Prior Objection.--In reviewing an order
under this section, the court may consider an objection to an
order of the Secretary, Under Secretary, or Administrator only
if the objection was made in the proceeding conducted by the
Secretary, Under Secretary, or Administrator or if there was a
reasonable ground for not making the objection in the
proceeding.
(e) Supreme Court Review.--A decision by a court under this
section may be reviewed only by the Supreme Court under section
1254 of title 28.
* * * * * * *
CHAPTER 463--PENALTIES
Sec. 46301. Civil penalties
(a) General Penalty.--(1) A person is liable to the United
States Government for a civil penalty of not more than $25,000
(or $1,100 if the person is an individual or small business
concern) for violating--
(A) chapter 401 (except sections 40103(a) and (d),
40105, 40116, and 40117), chapter 411, chapter 413
(except sections 41307 and 41310(b)-(f)), chapter 415
(except sections 41502, 41505, and 41507-41509),
chapter 417 (except sections 41703, 41704, 41710,
41713, and 41714), chapter 419, subchapter II or III of
chapter 421, chapter 423, chapter 441 (except section
44109), section 44502(b) or (c), chapter 447 (except
sections 44717 and 44719-44723), chapter 449 (except
sections 44902, 44903(d), 44904, 44907(a)-(d)(1)(A) and
(d)(1)(C)-(f), and 44908), chapter 451, chapter 455,
section 47107(b) (including any assurance made under
such section), [or section 47133] section 47133, or
section 90501(b)(3) of this title;
(B) a regulation prescribed or order issued under any
provision to which clause (A) of this paragraph
applies;
(C) any term of a certificate or permit issued under
section 41102, 41103, or 41302 of this title; or
(D) a regulation of the United States Postal Service
under this part.
(2) A separate violation occurs under this subsection for
each day the violation (other than a violation of section
41719) continues or, if applicable, for each flight involving
the violation (other than a violation of section 41719).
(3) Penalty for diversion of aviation revenues.--The amount
of a civil penalty assessed under this section for a violation
of section 47107(b) of this title (or any assurance made under
such section) or section 47133 of this title may be increased
above the otherwise applicable maximum amount under this
section to an amount not to exceed 3 times the amount of
revenues that are used in violation of such section.
(4) Aviation security violations- Notwithstanding paragraph
(1) of this subsection, the maximum civil penalty for violating
chapter 449 shall be $10,000; except that the maximum civil
penalty shall be $25,000 in the case of a person operating an
aircraft for the transportation of passengers or property for
compensation (except an individual serving as an airman).
(5) Penalties applicable to individuals and small business
concerns.--
(A) An individual (except an airman serving as an
airman) or small business concern is liable to the
Government for a civil penalty of not more than $10,000
for violating--
(i) chapter 401 (except sections 40103(a) and
(d), 40105, 40106(b), 40116, and 40117),
section 44502 (b) or (c), chapter 447 (except
sections 44717-44723), chapter 449 (except
sections 44902, 44903(d), 44904, and 44907-
44909), [or chapter 451,] chapter 451, chapter
455, or section 46314(a) of this title; or
(ii) a regulation prescribed or order issued
under any provision to which clause (i)
applies.
(B) A civil penalty of not more than $10,000 may be
imposed for each violation under paragraph (1)
committed by an individual or small business concern
related to--
(i) the transportation of hazardous material;
(ii) the registration or recordation under
chapter 441 of an aircraft not used to provide
air transportation;
(iii) a violation of section 44718(d),
relating to the limitation on construction or
establishment of landfills;
(iv) a violation of section 44725, relating
to the safe disposal of life-limited aircraft
parts; or
(v) a violation of section 40127 or section
41705, relating to discrimination.
(C) Notwithstanding paragraph (1), the maximum civil
penalty for a violation of section 41719 committed by
an individual or small business concern shall be $5,000
instead of $1,000.
(D) Notwithstanding paragraph (1), the maximum civil
penalty for a violation of section 41712 (including a
regulation prescribed or order issued under such
section) or any other regulation prescribed by the
Secretary by an individual or small business concern
that is intended to afford consumer protection to
commercial air transportation passengers shall be
$2,500 for each violation.
(6) Failure To Collect Airport Security Badges.--
Notwithstanding paragraph (1), any employer (other than a
governmental entity or airport operator) who employs an
employee to whom an airport security badge or other identifier
used to obtain access to a secure area of an airport is issued
before, on, or after the date of enactment of this paragraph
and who does not collect or make reasonable efforts to collect
such badge from the employee on the date that the employment of
the employee is terminated and does not notify the operator of
the airport of such termination within 24 hours of the date of
such termination shall be liable to the Government for a civil
penalty not to exceed $10,000.
(b) Smoke Alarm Device Penalty.--(1) A passenger may not
tamper with, disable, or destroy a smoke alarm device located
in a lavatory on an aircraft providing air transportation or
intrastate air transportation.
(2) An individual violating this subsection is liable to the
Government for a civil penalty of not more than $2,000.
(c) Procedural Requirements.--(1) The Secretary of
Transportation may impose a civil penalty for the following
violations only after notice and an opportunity for a hearing:
(A) a violation of subsection (b) of this section or
chapter 411, chapter 413 (except sections 41307 and
41310(b)-(f)), chapter 415 (except sections 41502,
41505, and 41507-41509), chapter 417 (except sections
41703, 41704, 41710, 41713, and 41714), chapter 419,
subchapter II of chapter 421, chapter 423, or section
44909 of this title.
(B) a violation of a regulation prescribed or order
issued under any provision to which clause (A) of this
paragraph applies.
(C) a violation of any term of a certificate or
permit issued under section 41102, 41103, or 41302 of
this title.
(D) a violation under subsection (a)(1) of this
section related to the transportation of hazardous
material.
(2) The Secretary shall give written notice of the finding of
a violation and the civil penalty under paragraph (1) of this
subsection.
(d) Administrative Imposition of Penalties.--(1) In this
subsection--
(A) ``flight engineer'' means an individual who holds
a flight engineer certificate issued under part 63 of
title 14, Code of Federal Regulations.
(B) ``mechanic'' means an individual who holds a
mechanic certificate issued under part 65 of title 14,
Code of Federal Regulations.
(C) ``pilot'' means an individual who holds a pilot
certificate issued under part 61 of title 14, Code of
Federal Regulations.
(D) ``repairman'' means an individual who holds a
repairman certificate issued under part 65 of title 14,
Code of Federal Regulations.
(2) The Administrator of the Federal Aviation Administration
may impose a civil penalty for a violation of chapter 401
(except sections 40103(a) and (d), 40105, 40106(b), 40116, and
40117), chapter 441 (except section 44109), section 44502(b) or
(c), chapter 447 (except sections 44717 and 44719-44723),
chapter 451, chapter 455, section 46301(b), section 46302 (for
a violation relating to section 46504), section 46318, section
46319, section 46320, or section 47107(b) (as further defined
by the Secretary under section 47107(k) and including any
assurance made under section 47107(b)) of this title or a
regulation prescribed or order issued under any of those
provisions. The Secretary of Homeland Security may impose a
civil penalty for a violation of chapter 449 (except sections
44902, 44903(d), 44907(a)-(d)(1)(A), 44907(d)(1)(C)-(f), 44908,
and 44909), section 46302 (except for a violation relating to
section 46504), or section 46303 of this title or a regulation
prescribed or order issued under any of those provisions. The
Secretary of Homeland Security or Administrator shall give
written notice of the finding of a violation and the penalty.
(3) In a civil action to collect a civil penalty imposed by
the Secretary of Homeland Security or Administrator under this
subsection, the issues of liability and the amount of the
penalty may not be reexamined.
(4) Notwithstanding paragraph (2) of this subsection, the
district courts of the United States have exclusive
jurisdiction of a civil action involving a penalty the
Secretary of Homeland Security or Administrator initiates if--
(A) the amount in controversy is more than--
(i) $50,000 if the violation was committed by
any person before the date of enactment of the
Vision 100-- Century of Aviation
Reauthorization Act;
(ii) $400,000 if the violation was committed
by a person other than an individual or small
business concern on or after that date; or
(iii) $50,000 if the violation was committed
by an individual or small business concern on
or after that date;
(B) the action is in rem or another action in rem
based on the same violation has been brought;
(C) the action involves an aircraft subject to a lien
that has been seized by the Government; or
(D) another action has been brought for an injunction
based on the same violation.
(5)(A) The Administrator may issue an order imposing a
penalty under this subsection against an individual acting as a
pilot, flight engineer, mechanic, or repairman only after
advising the individual of the charges or any reason the
Administrator relied on for the proposed penalty and providing
the individual an opportunity to answer the charges and be
heard about why the order shall not be issued.
(B) An individual acting as a pilot, flight engineer,
mechanic, or repairman may appeal an order imposing a penalty
under this subsection to the National Transportation Safety
Board. After notice and an opportunity for a hearing on the
record, the Board shall affirm, modify, or reverse the order.
The Board may modify a civil penalty imposed to a suspension or
revocation of a certificate.
(C) When conducting a hearing under this paragraph, the Board
is not bound by findings of fact of the Administrator but is
bound by all validly adopted interpretations of laws and
regulations the Administrator carries out and of written agency
policy guidance available to the public related to sanctions to
be imposed under this section unless the Board finds an
interpretation is arbitrary, capricious, or otherwise not
according to law.
(D) When an individual files an appeal with the Board under
this paragraph, the order of the Administrator is stayed.
(6) An individual substantially affected by an order of the
Board under paragraph (5) of this subsection, or the
Administrator when the Administrator decides that an order of
the Board under paragraph (5) will have a significant adverse
impact on carrying out this part, may obtain judicial review of
the order under section 46110 of this title. The Administrator
shall be made a party to the judicial review proceedings.
Findings of fact of the Board are conclusive if supported by
substantial evidence.
(7)(A) The Administrator may impose a penalty on a person
(except an individual acting as a pilot, flight engineer,
mechanic, or repairman) only after notice and an opportunity
for a hearing on the record.
(B) In an appeal from a decision of an administrative law
judge as the result of a hearing under subparagraph (A) of this
paragraph, the Administrator shall consider only whether--
(i) each finding of fact is supported by a
preponderance of reliable, probative, and substantial
evidence;
(ii) each conclusion of law is made according to
applicable law, precedent, and public policy; and
(iii) the judge committed a prejudicial error that
supports the appeal.
(C) Except for good cause, a civil action involving a penalty
under this paragraph may not be initiated later than 2 years
after the violation occurs.
(D) In the case of a violation of section 47107(b) of this
title or any assurance made under such section--
(i) a civil penalty shall not be assessed against an
individual;
(ii) a civil penalty may be compromised as provided
under subsection (f); and
(iii) judicial review of any order assessing a civil
penalty may be obtained only pursuant to section 46110
of this title.
(8) The maximum civil penalty the Under Secretary,
Administrator, or Board may impose under this subsection is--
(A) $50,000 if the violation was committed by any
person before the date of enactment of the Vision 100--
Century of Aviation Reauthorization Act;
(B) $400,000 if the violation was committed by a
person other than an individual or small business
concern on or after that date; or
(C) $50,000 if the violation was committed by an
individual or small business concern on or after that
date.
(9) This subsection applies only to a violation occurring
after August 25, 1992.
(e) Penalty Considerations.--In determining the amount of a
civil penalty under subsection (a)(3) of this section related
to transportation of hazardous material, the Secretary shall
consider--
(1) the nature, circumstances, extent, and gravity of
the violation;
(2) with respect to the violator, the degree of
culpability, any history of prior violations, the
ability to pay, and any effect on the ability to
continue doing business; and
(3) other matters that justice requires.
(f) Compromise and Setoff.--(1)(A) The Secretary may
compromise the amount of a civil penalty imposed for
violating--
(i) chapter 401 (except sections 40103(a) and (d),
40105, 40116, and 40117), chapter 441 (except section
44109), section 44502(b) or (c), chapter 447 (except
sections 44717 and 44719-44723), chapter 449 (except
sections 44902, 44903(d), 44904, 44907(a)-(d)(1)(A) and
(d)(1)(C)-(f), 44908, and 44909), [or chapter 451]
chapter 451, or chapter 455 of this title; or
(ii) a regulation prescribed or order issued under
any provision to which clause (i) of this subparagraph
applies.
(B) The Postal Service may compromise the amount of a civil
penalty imposed under subsection (a)(1)(D) of this section.
(2) The Government may deduct the amount of a civil penalty
imposed or compromised under this subsection from amounts it
owes the person liable for the penalty.
(g) Judicial Review.--An order of the Secretary or the
Administrator imposing a civil penalty may be reviewed
judicially only under section 46110 of this title.
(h) Nonapplication.--(1) This section does not apply to the
following when performing official duties:
(A) a member of the armed forces of the United
States.
(B) a civilian employee of the Department of Defense
subject to the Uniform Code of Military Justice.
(2) The appropriate military authority is responsible for
taking necessary disciplinary action and submitting to the
Secretary (or the Under Secretary of Transportation for
Security with respect to security duties and powers designated
to be carried out by the Under Secretary or the Administrator
with respect to aviation safety duties and powers designated to
be carried out by the Administrator) a timely report on action
taken.
(i) Small Business Concern Defined.--In this section, the
term ``small business concern'' has the meaning given that term
in section 3 of the Small Business Act (15 U.S.C. 632).
* * * * * * *
CHAPTER 465--SPECIAL AIRCRAFT JURISDICTION OF THE UNITED STATES
Sec.
46501. Definitions.
* * * * * * *
[46503. Repealed.]
* * * * * * *
* * * * * * *
PART B--AIRPORT DEVELOPMENT AND NOISE
* * * * * * *
CHAPTER 471--AIRPORT DEVELOPMENT
SUBCHAPTER I--AIRPORT IMPROVEMENT
Sec.
47101. Policies.
* * * * * * *
[47136. Inherently low-emission airport vehicle pilot program.
[47136a. Zero-emission airport vehicles and infrastructure.]
47136. Zero-emission airport vehicles and infrastructure.
* * * * * * *
[47140. Airport ground support equipment emissions retrofit pilot
program.
[47140a. Increasing the energy efficiency of airport power sources.]
47140. Increasing the energy efficiency of airport power sources.
* * * * * * *
SUBCHAPTER III--AVIATION DEVELOPMENT STREAMLINING
* * * * * * *
SUBCHAPTER I--AIRPORT IMPROVEMENT
* * * * * * *
Sec. 47102. Definitions
In this subchapter--
(1) ``air carrier airport'' means a public airport
regularly served by--
(A) an air carrier certificated by the
Secretary of Transportation under section 41102
of this title (except a charter air carrier);
or
(B) at least one air carrier--
(i) operating under an exemption from
section 41101(a)(1) of this title that
the Secretary grants; and
(ii) having at least 2,500 passenger
boardings at the airport during the
prior calendar year.
(2) ``airport''--
(A) means--
(i) an area of land or water used or
intended to be used for the landing and
taking off of aircraft;
(ii) an appurtenant area used or
intended to be used for airport
buildings or other airport facilities
or rights of way; and
(iii) airport buildings and
facilities located in any of those
areas; and
(B) includes a heliport.
(3) ``airport development'' means the following
activities, if undertaken by the sponsor, owner, or
operator of a public-use airport:
(A) constructing, repairing, or improving a
public-use airport, including--
(i) removing, lowering, relocating,
marking, and lighting an airport
hazard; and
(ii) preparing a plan or
specification, including carrying out a
field investigation.
(B) acquiring for, or installing at, a
public-use airport--
(i) a navigation aid or another aid
(including a precision approach system)
used by aircraft for landing at or
taking off from the airport, including
preparing the site as required by the
acquisition or installation;
(ii) safety or security equipment,
including explosive detection devices,
universal access systems, and emergency
call boxes, the Secretary requires by
regulation for, or approves as
contributing significantly to, the
safety or security of individuals and
property at the airport and integrated
in-pavement lighting systems for
runways and taxiways and other runway
and taxiway incursion prevention
devices;
(iii) equipment to remove snow, to
measure runway surface friction, or for
aviation-related weather reporting,
including closed circuit weather
surveillance equipment if the airport
is located in Alaska;
(iv) firefighting and rescue
equipment at an airport that serves
scheduled passenger operations of air
carrier aircraft designed for more than
9 passenger seats;
(v) aircraft deicing equipment and
structures (except aircraft deicing
fluids and storage facilities for the
equipment and fluids);
(vi) interactive training systems;
(vii) windshear detection equipment
that is certified by the Administrator
of the Federal Aviation Administration;
(viii) stainless steel adjustable
lighting extensions approved by the
Administrator;
(ix) engineered materials arresting
systems as described in the Advisory
Circular No. 150/5220-22 published by
the Federal Aviation Administration on
August 21, 1998, including any revision
to the circular; and
(x) replacement of baggage conveyor
systems, and reconfiguration of
terminal baggage areas, that the
Secretary determines are necessary to
install bulk explosive detection
devices; except that such activities
shall be eligible for funding under
this subchapter only using amounts
apportioned under section 47114.
(C) acquiring an interest in land or
airspace, including land for future airport
development, that is needed--
(i) to carry out airport development
described in subclause (A) or (B) of
this clause; or
(ii) to remove or mitigate an
existing airport hazard or prevent or
limit the creation of a new airport
hazard.
(D) acquiring land for, or constructing, a
burn area training structure on or off the
airport to provide live fire drill training for
aircraft rescue and firefighting personnel
required to receive the training under
regulations the Secretary prescribes, including
basic equipment and minimum structures to
support the training under standards the
Administrator of the Federal Aviation
Administration prescribes.
(E) relocating after December 31, 1991, an
air traffic control tower and any navigational
aid (including radar) if the relocation is
necessary to carry out a project approved by
the Secretary under this subchapter or under
section 40117.
(F) constructing, reconstructing, repairing,
or improving an airport, or purchasing capital
equipment for an airport, if necessary for
compliance with the responsibilities of the
operator or owner of the airport under the
Americans with Disabilities Act of 1990 (42
U.S.C. 12101 et seq.), the Clean Air Act (42
U.S.C. 7401 et seq.), and the Federal Water
Pollution Control Act (33 U.S.C. 1251 et seq.),
except constructing or purchasing capital
equipment that would benefit primarily a
revenue-producing area of the airport used by a
nonaeronautical business.
(G) acquiring land for, or work necessary to
construct, a pad suitable for deicing aircraft
before takeoff at a commercial service airport,
including constructing or reconstructing paved
areas, drainage collection structures,
treatment and discharge systems, appropriate
lighting, paved access for deicing vehicles and
aircraft, and including acquiring glycol
recovery vehicles, but not including acquiring
aircraft deicing fluids or constructing or
reconstructing storage facilities for aircraft
deicing equipment or fluids.
(H) routine work to preserve and extend the
useful life of runways, taxiways, and aprons at
nonhub airports and airports that are not
primary airports, under guidelines issued by
the Administrator of the Federal Aviation
Administration.
(I) constructing, reconstructing, or
improving an airport, or purchasing nonrevenue
generating capital equipment to be owned by an
airport, for the purpose of transferring
passengers, cargo, or baggage between the
aeronautical and ground transportation modes on
airport property.
(J) constructing an air traffic control tower
or acquiring and installing air traffic
control, communications, and related equipment
at an air traffic control tower under the terms
specified in section 47124(b)(4).
(K) work necessary to construct or modify
airport facilities to provide low-emission fuel
systems, gate electrification, and other
related air quality improvements at a
commercial service airport if the airport is
located in an air quality nonattainment or
maintenance area (as defined in sections 171(2)
and 175A of the Clean Air Act (42 U.S.C.
7501(2); 7505a) and if such project will result
in an airport receiving appropriate emission
credits, as described in section 47139.
(L) a project for the acquisition or
conversion of vehicles and ground support
equipment, owned by a commercial service
airport, to low-emission technology, if the
airport is located in an air quality
nonattainment or maintenance area (as defined
in sections 171(2) and 175A of the Clean Air
Act (42 U.S.C. 7501(2); 7505a) and if such
project will result in an airport receiving
appropriate emission credits as described in
section 47139.
(M) construction of mobile refueler parking
within a fuel farm at a nonprimary airport
meeting the requirements of section 112.8 of
title 40, Code of Federal Regulations.
(N) terminal development under section
47119(a).
(O) acquiring and installing facilities and
equipment to provide air conditioning, heating,
or electric power from terminal-based,
nonexclusive use facilities to aircraft parked
at a public use airport for the purpose of
reducing energy use or harmful emissions as
compared to the provision of such air
conditioning, heating, or electric power from
aircraft-based systems.
(P) converting or retrofitting vehicles and
ground support equipment into eligible zero-
emission vehicles and equipment or acquiring,
by purchase or lease, eligible zero-emission
vehicles and equipment.
(Q) constructing or modifying airport
facilities to install a microgrid in order to
provide increased resilience to severe weather,
terrorism, and other causes of grid failures.
(4) ``airport hazard'' means a structure or object of
natural growth located on or near a public-use airport,
or a use of land near the airport, that obstructs or
otherwise is hazardous to the landing or taking off of
aircraft at or from the airport.
(5) ``airport planning'' means planning as defined by
regulations the Secretary prescribes and includes--
(A) integrated airport system planning;
(B) developing an environmental management
system; and
(C) developing a plan for recycling and
minimizing the generation of airport solid
waste, consistent with applicable State and
local recycling laws, including the cost of a
waste audit.
(6) ``amount made available under section 48103'' or
``amount newly made available'' means the amount
authorized for grants under section 48103 as that
amount may be limited in that year by a subsequent law,
but as determined without regard to grant obligation
recoveries made in that year or amounts covered by
section 47107(f).
(7) ``commercial service airport'' means a public
airport in a State that the Secretary determines has at
least 2,500 passenger boardings each year and is
receiving scheduled passenger aircraft service.
(8) ``general aviation airport'' means a public
airport that is located in a State and that, as
determined by the Secretary--
(A) does not have scheduled service; or
(B) has scheduled service with less than
2,500 passenger boardings each year.
(9) ``integrated airport system planning'' means
developing for planning purposes information and
guidance to decide the extent, kind, location, and
timing of airport development needed in a specific area
to establish a viable, balanced, and integrated system
of public-use airports, including--
(A) identifying system needs;
(B) developing an estimate of systemwide
development costs;
(C) conducting studies, surveys, and other
planning actions, including those related to
airport access, needed to decide which
aeronautical needs should be met by a system of
airports; and
(D) standards prescribed by a State, except
standards for safety of approaches, for airport
development at nonprimary public-use airports.
(10) ``landed weight'' means the weight of aircraft
transporting only cargo in intrastate, interstate, and
foreign air transportation, as the Secretary determines
under regulations the Secretary prescribes.
(11) ``large hub airport'' means a commercial service
airport that has at least 1.0 percent of the passenger
boardings.
(12) ``low-emission technology'' means technology for
vehicles and equipment whose emission performance is
the best achievable under emission standards
established by the Environmental Protection Agency and
that relies exclusively on alternative fuels that are
substantially nonpetroleum based, as defined by the
Department of Energy, but not excluding hybrid systems
or natural gas powered vehicles.
(13) ``medium hub airport'' means a commercial
service airport that has at least 0.25 percent but less
than 1.0 percent of the passenger boardings.
(14) ``nonhub airport'' means a commercial service
airport that has less than 0.05 percent of the
passenger boardings.
(15) ``passenger boardings''--
(A) means, unless the context indicates
otherwise, revenue passenger boardings in the
United States in the prior calendar year on an
aircraft in service in air commerce, as the
Secretary determines under regulations the
Secretary prescribes; and
(B) includes passengers who continue on an
aircraft in international flight that stops at
an airport in the 48 contiguous States, Alaska,
or Hawaii for a nontraffic purpose.
(16) ``primary airport'' means a commercial service
airport the Secretary determines to have more than
10,000 passenger boardings each year.
(17) ``project'' means a project, separate projects
included in one project grant application, or all
projects to be undertaken at an airport in a fiscal
year, to achieve airport development or airport
planning.
(18) ``project cost'' means a cost involved in
carrying out a project.
(19) ``project grant'' means a grant of money the
Secretary makes to a sponsor to carry out at least one
project.
(20) ``public agency'' means--
(A) a State or political subdivision of a
State;
(B) a tax-supported organization; or
(C) an Indian tribe or pueblo.
(21) ``public airport'' means an airport used or
intended to be used for public purposes--
(A) that is under the control of a public
agency; and
(B) of which the area used or intended to be
used for the landing, taking off, or surface
maneuvering of aircraft is publicly owned.
(22) ``public-use airport'' means--
(A) a public airport; or
(B) a privately-owned airport used or
intended to be used for public purposes that
is--
(i) a reliever airport; or
(ii) determined by the Secretary to
have at least 2,500 passenger boardings
each year and to receive scheduled
passenger aircraft service.
(23) ``reliever airport'' means an airport the
Secretary designates to relieve congestion at a
commercial service airport and to provide more general
aviation access to the overall community.
(24) ``revenue producing aeronautical support
facilities'' means fuel farms, hangar buildings, self-
service credit card aeronautical fueling systems,
airplane wash racks, major rehabilitation of a hangar
owned by a sponsor, or other aeronautical support
facilities that the Secretary determines will increase
the revenue producing ability of the airport.
(25) ``small hub airport'' means a commercial service
airport that has at least 0.05 percent but less than
0.25 percent of the passenger boardings.
(26) ``sponsor'' means--
(A) a public agency that submits to the
Secretary under this subchapter an application
for financial assistance; and
(B) a private owner of a public-use airport
that submits to the Secretary under this
subchapter an application for financial
assistance for the airport.
(27) ``State'' means a State of the United States,
the District of Columbia, Puerto Rico, the Virgin
Islands, American Samoa, the Northern Mariana Islands,
the Trust Territory of the Pacific Islands, and Guam.
(28) ``terminal development'' means--
(A) development of--
(i) an airport passenger terminal
building, including terminal gates;
(ii) access roads servicing
exclusively airport traffic that leads
directly to or from an airport
passenger terminal building; and
(iii) walkways that lead directly to
or from an airport passenger terminal
building; and
(B) the cost of a vehicle described in
section 47119(a)(1)(B).
(29) ``lactation area'' means a room or other
location in a commercial service airport that--
(A) provides a location for members of the
public to express breast milk that is shielded
from view and free from intrusion from the
public;
(B) has a door that can be locked;
(C) includes a place to sit, a table or other
flat surface, and an electrical outlet;
(D) is readily accessible to and usable by
individuals with disabilities, including
individuals who use wheelchairs; and
(E) is not located in a restroom.
(30) ``eligible zero-emission vehicle and equipment''
means a zero-emission vehicle, equipment related to
such a vehicle, and ground support equipment that
includes zero-emission technology that is--
(A) used exclusively at a commercial service
airport; or
(B) used exclusively to transport people or
materials to and from a commercial service
airport.
(31) ``microgrid'' means a localized grouping of
electricity sources and loads that normally operates
connected to and synchronous with the traditional
centralized electrical grid, but can disconnect and
function autonomously as physical or economic
conditions dictate.
(32) ``zero-emission vehicle'' means a zero-emission
vehicle as defined in section 88.102-94 of title 40,
Code of Federal Regulations, or a vehicle that produces
zero exhaust emissions of any criteria pollutant (or
precursor pollutant) under any possible operational
modes and conditions.
* * * * * * *
Sec. 47104. Project grant authority
(a) General Authority.--To maintain a safe and efficient
nationwide system of public-use airports that meets the present
and future needs of civil aeronautics, the Secretary of
Transportation may make project grants under this subchapter
from the Airport and Airway Trust Fund.
(b) Incurring Obligations.--The Secretary may incur
obligations to make grants from amounts made available under
section 48103 of this title as soon as the amounts are
apportioned under section 47114(c) and (d)(2) of this title.
(c) Expiration of Authority.--After [September 30, 2017,]
September 30, 2023, the Secretary may not incur obligations
under subsection (b) of this section, except for obligations of
amounts--
(1) remaining available after that date under section
47117(b) of this title; or
(2) recovered by the United States Government from
grants made under this chapter if the amounts are
obligated only for increases under section 47108(b)(2)
and (3) of this title in the maximum amount of
obligations of the Government for any other grant made
under this title.
* * * * * * *
Sec. 47106. Project grant application approval conditioned on
satisfaction of project requirements
(a) Project Grant Application Approval.--The Secretary of
Transportation may approve an application under this subchapter
for a project grant only if the Secretary is satisfied that--
(1) the project is consistent with plans (existing at
the time the project is approved) of public agencies
authorized by the State in which the airport is located
to plan for the development of the area surrounding the
airport;
(2) the project will contribute to carrying out this
subchapter;
(3) enough money is available to pay the project
costs that will not be paid by the United States
Government under this subchapter;
(4) the project will be completed without
unreasonable delay;
(5) the sponsor has authority to carry out the
project as proposed; and
(6) if the project is for an airport that has an
airport master plan that includes the project , the
master plan addresses issues relating to solid waste
recycling at the airport, including--
(A) the feasibility of solid waste recycling
at the airport;
(B) minimizing the generation of solid waste
at the airport;
(C) operation and maintenance requirements;
(D) the review of waste management contracts;
and
(E) the potential for cost savings or the
generation of revenue.
(b) Airport Development Project Grant Application Approval.--
The Secretary may approve an application under this subchapter
for an airport development project grant for an airport only if
the Secretary is satisfied that--
(1) the sponsor, a public agency, or the Government
holds good title to the areas of the airport used or
intended to be used for the landing, taking off, or
surface maneuvering of aircraft, or that good title
will be acquired;
(2) the interests of the community in or near which
the project may be located have been given fair
consideration; and
(3) the application provides touchdown zone and
centerline runway lighting, high intensity runway
lighting, or land necessary for installing approach
light systems that the Secretary, considering the
category of the airport and the kind and volume of
traffic using it, decides is necessary for safe and
efficient use of the airport by aircraft.
(c) Environmental Requirements.--(1) The Secretary may
approve an application under this subchapter for an airport
development project involving the location of an airport or
runway or a major runway extension--
(A) only if the sponsor certifies to the Secretary
that--
(i) an opportunity for a public hearing was
given to consider the economic, social, and
environmental effects of the location and the
location's consistency with the objectives of
any planning that the community has carried
out;
(ii) the airport management board has voting
representation from the communities in which
the project is located or has advised the
communities that they have the right to
petition the Secretary about a proposed
project; and
(iii) with respect to an airport development
project involving the location of an airport,
runway, or major runway extension at a medium
or large hub airport, the airport sponsor has
made available to and has provided upon request
to the metropolitan planning organization in
the area in which the airport is located, if
any, a copy of the proposed amendment to the
airport layout plan to depict the project and a
copy of any airport master plan in which the
project is described or depicted; and
(B) if the application is found to have a significant
adverse effect on natural resources, including fish and
wildlife, natural, scenic, and recreation assets, water
and air quality, or another factor affecting the
environment, only after finding that no possible and
prudent alternative to the project exists and that
every reasonable step has been taken to minimize the
adverse effect.
(2) The Secretary may approve an application under this
subchapter for an airport development project that does not
involve the location of an airport or runway, or a major runway
extension, at an existing airport without requiring an
environmental impact statement related to noise for the project
if--
(A) completing the project would allow operations at
the airport involving aircraft complying with the noise
standards prescribed for ``stage 3'' aircraft in
section 36.1 of title 14, Code of Federal Regulations,
to replace existing operations involving aircraft that
do not comply with those standards; and
(B) the project meets the other requirements under
this subchapter.
(3) At the Secretary's request, the sponsor shall give the
Secretary a copy of the transcript of any hearing held under
paragraph (1)(A) of this subsection.
(4) The Secretary may make a finding under paragraph (1)(B)
of this subsection only after completely reviewing the matter.
The review and finding must be a matter of public record.
(d) Withholding Approval.--(1) The Secretary may withhold
approval of an application under this subchapter for amounts
apportioned under section 47114(c) and (e) of this title for
violating an assurance or requirement of this subchapter only
if--
(A) the Secretary provides the sponsor an opportunity
for a hearing; and
(B) not later than 180 days after the later of the
date of the application or the date the Secretary
discovers the noncompliance, the Secretary finds that a
violation has occurred.
(2) The 180-day period may be extended by--
(A) agreement between the Secretary and the sponsor;
or
(B) the hearing officer if the officer decides an
extension is necessary because the sponsor did not
follow the schedule the officer established.
(3) A person adversely affected by an order of the Secretary
withholding approval may obtain review of the order by filing a
petition in the United States Court of Appeals for the District
of Columbia Circuit or in the court of appeals of the United
States for the circuit in which the project is located. The
action must be brought not later than 60 days after the order
is served on the petitioner.
(e) Reports Relating to Construction of Certain New Hub
Airports.--At least 90 days prior to the approval under this
subchapter of a project grant application for construction of a
new hub airport that is expected to have 0.25 percent or more
of the total annual enplanements in the United States, the
Secretary shall submit to Congress a report analyzing the
anticipated impact of such proposed new airport on--
(1) the fees charged to air carriers (including
landing fees), and other costs that will be incurred by
air carriers, for using the proposed airport;
(2) air transportation that will be provided in the
geographic region of the proposed airport; and
(3) the availability and cost of providing air
transportation to rural areas in such geographic
region.
(f) Competition Plans.--
(1) Prohibition.--Beginning in fiscal year 2001, no
passenger facility charge may be approved for a covered
airport under section 40117 and no grant may be made
under this subchapter for a covered airport unless the
airport has submitted to the Secretary a written
competition plan in accordance with this subsection.
(2) Contents.--A competition plan under this
subsection shall include information on the
availability of airport gates and related facilities,
leasing and sub-leasing arrangements, gate-use
requirements, gate-assignment policy, financial
constraints, airport controls over air- and ground-side
capacity, and whether the airport intends to build or
acquire gates that would be used as common facilities.
(3) Special rule for fiscal year 2002.--This
subsection does not apply to any passenger facility fee
approved, or grant made, in fiscal year 2002 if the fee
or grant is to be used to improve security at a covered
airport.
(4) Covered airport defined.--In this subsection, the
term ``covered airport'' means a commercial service
airport--
(A) that has more than .25 percent of the
total number of passenger boardings each year
at all such airports; and
(B) at which one or two air carriers control
more than 50 percent of the passenger
boardings.
(g) Consultation with Secretary of Homeland Security.--The
Secretary shall consult with the Secretary of Homeland Security
before approving an application under this subchapter for an
airport development project grant for activities described in
section 47102(3)(B)(ii) only as they relate to security
equipment or section 47102(3)(B)(x) only as they relate to
installation of bulk explosive detection system.
Sec. 47107. Project grant application approval conditioned on
assurances about airport operations
(a) General Written Assurances.--The Secretary of
Transportation may approve a project grant application under
this subchapter for an airport development project only if the
Secretary receives written assurances, satisfactory to the
Secretary, that--
(1) the airport will be available for public use on
reasonable conditions and without unjust
discrimination;
(2) air carriers making similar use of the airport
will be subject to substantially comparable charges--
(A) for facilities directly and substantially
related to providing air transportation; and
(B) regulations and conditions, except for
differences based on reasonable
classifications, such as between--
(i) tenants and nontenants; and
(ii) signatory and nonsignatory
carriers;
(3) the airport operator will not withhold
unreasonably the classification or status of tenant or
signatory from an air carrier that assumes obligations
substantially similar to those already imposed on air
carriers of that classification or status;
(4) a person providing, or intending to provide,
aeronautical services to the public will not be given
an exclusive right to use the airport, with a right
given to only one fixed-base operator to provide
services at an airport deemed not to be an exclusive
right if--
(A) the right would be unreasonably costly,
burdensome, or impractical for more than one
fixed-base operator to provide the services;
and
(B) allowing more than one fixed-base
operator to provide the services would require
reducing the space leased under an existing
agreement between the one fixed-base operator
and the airport owner or operator;
(5) fixed-base operators similarly using the airport
will be subject to the same charges;
(6) an air carrier using the airport may service
itself or use any fixed-base operator allowed by the
airport operator to service any carrier at the airport;
(7) the airport and facilities on or connected with
the airport will be operated and maintained suitably,
with consideration given to climatic and flood
conditions;
(8) a proposal to close the airport temporarily for a
nonaeronautical purpose must first be approved by the
Secretary;
(9) appropriate action will be taken to ensure that
terminal airspace required to protect instrument and
visual operations to the airport (including operations
at established minimum flight altitudes) will be
cleared and protected by mitigating existing, and
preventing future, airport hazards;
(10) appropriate action, including the adoption of
zoning laws, has been or will be taken to the extent
reasonable to restrict the use of land next to or near
the airport to uses that are compatible with normal
airport operations;
(11) each of the airport's facilities developed with
financial assistance from the United States Government
and each of the airport's facilities usable for the
landing and taking off of aircraft always will be
available without charge for use by Government aircraft
in common with other aircraft, except that if the use
is substantial, the Government may be charged a
reasonable share, proportionate to the use, of the cost
of operating and maintaining the facility used;
(12) the airport owner or operator will provide,
without charge to the Government, property interests of
the sponsor in land or water areas or buildings that
the Secretary decides are desirable for, and that will
be used for, constructing at Government expense,
facilities for carrying out activities related to air
traffic control or navigation;
(13) the airport owner or operator will maintain a
schedule of charges for use of facilities and services
at the airport--
(A) that will make the airport as self-
sustaining as possible under the circumstances
existing at the airport, including volume of
traffic and economy of collection; and
(B) without including in the rate base used
for the charges the Government's share of costs
for any project for which a grant is made under
this subchapter or was made under the Federal
Airport Act or the Airport and Airway
Development Act of 1970;
(14) the project accounts and records will be kept
using a standard system of accounting that the
Secretary, after consulting with appropriate public
agencies, prescribes;
(15) the airport owner or operator will submit any
annual or special airport financial and operations
reports to the Secretary that the Secretary reasonably
requests and make such reports available to the public;
(16) the airport owner or operator will maintain a
current layout plan of the airport that meets the
following requirements:
(A) the plan will be in a form the Secretary
prescribes;
(B) the Secretary will approve the plan and
any revision or modification before the plan,
revision, or modification takes effect;
(C) the owner or operator will not make or
allow any alteration in the airport or any of
its facilities if the alteration does not
comply with the plan the Secretary approves,
and the Secretary is of the opinion that the
alteration may affect adversely the safety,
utility, or efficiency of the airport; and
(D) when an alteration in the airport or its
facility is made that does not conform to the
approved plan and that the Secretary decides
adversely affects the safety, utility, or
efficiency of any property on or off the
airport that is owned, leased, or financed by
the Government, the owner or operator, if
requested by the Secretary, will--
(i) eliminate the adverse effect in a
way the Secretary approves; or
(ii) bear all cost of relocating the
property or its replacement to a site
acceptable to the Secretary and of
restoring the property or its
replacement to the level of safety,
utility, efficiency, and cost of
operation that existed before the
alteration was made, except in the case
of a relocation or replacement of an
existing airport facility that meets
the conditions of section 47110(d);
(17) each contract and subcontract for program
management, construction management, planning studies,
feasibility studies, architectural services,
preliminary engineering, design, engineering,
surveying, mapping, and related services will be
awarded in the same way that a contract for
architectural and engineering services is negotiated
under chapter 11 of title 40 or an equivalent
qualifications-based requirement prescribed for or by
the sponsor;
(18) the airport and each airport record will be
available for inspection by the Secretary on reasonable
request, and a report of the airport budget will be
available to the public at reasonable times and places;
(19) the airport owner or operator will submit to the
Secretary and make available to the public an annual
report listing in detail--
(A) all amounts paid by the airport to any
other unit of government and the purposes for
which each such payment was made; and
(B) all services and property provided to
other units of government and the amount of
compensation received for provision of each
such service and property;
(20) the airport owner or operator will permit, to
the maximum extent practicable, intercity buses or
other modes of transportation to have access to the
airport, but the sponsor does not have any obligation
under this paragraph, or because of it, to fund special
facilities for intercity bus service or for other modes
of transportation; [and]
(21) if the airport owner or operator and a person
who owns an aircraft agree that a hangar is to be
constructed at the airport for the aircraft at the
aircraft owner's expense, the airport owner or operator
will grant to the aircraft owner for the hangar a long-
term lease that is subject to such terms and conditions
on the hangar as the airport owner or operator may
impose[.]; and
(22) with respect to a medium or large hub airport,
the airport owner or operator will maintain a lactation
area in each passenger terminal building of the airport
in the sterile area (as defined in section 1540.5 of
title 49, Code of Federal Regulations) of the building.
(b) Written Assurances on Use of Revenue.--(1) The Secretary
of Transportation may approve a project grant application under
this subchapter for an airport development project only if the
Secretary receives written assurances, satisfactory to the
Secretary, that local taxes on aviation fuel (except taxes in
effect on December 30, 1987) and the revenues generated by a
public airport will be expended for the capital or operating
costs of--
(A) the airport;
(B) the local airport system; or
(C) other local facilities owned or operated by the
airport owner or operator and directly and
substantially related to the air transportation of
passengers or property.
(2) Paragraph (1) of this subsection does not apply if a
provision enacted not later than September 2, 1982, in a law
controlling financing by the airport owner or operator, or a
covenant or assurance in a debt obligation issued not later
than September 2, 1982, by the owner or operator, provides that
the revenues, including local taxes on aviation fuel at public
airports, from any of the facilities of the owner or operator,
including the airport, be used to support not only the airport
but also the general debt obligations or other facilities of
the owner or operator.
(3) This subsection does not prevent the use of a State tax
on aviation fuel to support a State aviation program or the use
of airport revenue on or off the airport for a noise mitigation
purpose.
(c) Written Assurances on Acquiring Land.--(1) In this
subsection, land is needed for an airport purpose (except a
noise compatibility purpose) if--
(A)(i) the land may be needed for an aeronautical
purpose (including runway protection zone) or serves as
noise buffer land; and
(ii) revenue from interim uses of the land
contributes to the financial self-sufficiency of the
airport; and
(B) for land purchased with a grant the owner or
operator received not later than December 30, 1987, the
Secretary of Transportation or the department, agency,
or instrumentality of the Government that made the
grant was notified by the owner or operator of the use
of the land and did not object to the use and the land
is still being used for that purpose.
(2) The Secretary of Transportation may approve an
application under this subchapter for an airport development
project grant only if the Secretary receives written
assurances, satisfactory to the Secretary, that if an airport
owner or operator has received or will receive a grant for
acquiring land and--
(A) if the land was or will be acquired for a noise
compatibility purpose (including land serving as a
noise buffer either by being undeveloped or developed
in a way that is compatible with using the land for
noise buffering purposes)--
(i) the owner or operator will dispose of the
land at fair market value at the earliest
practicable time after the land no longer is
needed for a noise compatibility purpose;
(ii) the disposition will be subject to
retaining or reserving an interest in the land
necessary to ensure that the land will be used
in a way that is compatible with noise levels
associated with operating the airport; and
(iii) the part of the proceeds from disposing
of the land that is proportional to the
Government's share of the cost of acquiring the
land will be reinvested in another project at
the airport or transferred to another airport
as the Secretary prescribes under paragraph
(4); or
(B) if the land was or will be acquired for an
airport purpose (except a noise compatibility
purpose)--
(i) the owner or operator, when the land no
longer is needed for an airport purpose, will
dispose of the land at fair market value or
make available to the Secretary an amount equal
to the Government's proportional share of the
fair market value;
(ii) the disposition will be subject to
retaining or reserving an interest in the land
necessary to ensure that the land will be used
in a way that is compatible with noise levels
associated with operating the airport; and
(iii) the part of the proceeds from disposing
of the land that is proportional to the
Government's share of the cost of acquiring the
land will be reinvested in another project at
the airport or transferred to another airport
as the Secretary prescribes under paragraph
(4).
(3) Proceeds referred to in paragraph (2)(A)(iii) and
(B)(iii) of this subsection and deposited in the Airport and
Airway Trust Fund are available as provided in subsection (f)
of this section.
(4) In approving the reinvestment or transfer of proceeds
under paragraph (2)(A)(iii) or (2)(B)(iii), the Secretary shall
give preference, in descending order, to the following actions:
(A) Reinvestment in an approved noise compatibility
project.
(B) Reinvestment in an approved project that is
eligible for funding under section 47117(e).
(C) Reinvestment in an approved airport development
project that is eligible for funding under section
47114, 47115, or 47117.
(D) Transfer to a sponsor of another public airport
to be reinvested in an approved noise compatibility
project at that airport.
(E) Payment to the Secretary for deposit in the
Airport and Airway Trust Fund established under section
9502 of the Internal Revenue Code of 1986.
(5)(A) A lease at fair market value by an airport owner or
operator of land acquired for a noise compatibility purpose
using a grant provided under this subchapter shall not be
considered a disposal for purposes of paragraph (2).
(B) The airport owner or operator may use revenues
from a lease described in subparagraph (A) for an
approved airport development project that is eligible
for funding under section 47114, 47115, or 47117.
(C) The Secretary shall coordinate with each airport
owner or operator to ensure that leases described in
subparagraph (A) are consistent with noise buffering
purposes.
(D) The provisions of this paragraph apply to all
land acquired before, on, or after the date of
enactment of this paragraph.
(d) Assurances of Continuation as Public-Use Airport.--The
Secretary of Transportation may approve an application under
this subchapter for an airport development project grant for a
privately owned public-use airport only if the Secretary
receives appropriate assurances that the airport will continue
to function as a public-use airport during the economic life
(that must be at least 10 years) of any facility at the airport
that was developed with Government financial assistance under
this subchapter.
(e) Written Assurances of Opportunities for Small Business
Concerns.--(1) The Secretary of Transportation may approve a
project grant application under this subchapter for an airport
development project only if the Secretary receives written
assurances, satisfactory to the Secretary, that the airport
owner or operator will take necessary action to ensure, to the
maximum extent practicable, that at least 10 percent of all
businesses at the airport selling consumer products or
providing consumer services to the public are small business
concerns (as defined by regulations of the Secretary) owned and
controlled by a socially and economically disadvantaged
individual (as defined in section 47113(a) of this title) or
qualified HUBZone small business concerns (as defined in
section 3(p) of the Small Business Act).
(2) An airport owner or operator may meet the percentage goal
of paragraph (1) of this subsection by including any business
operated through a management contract or subcontract. The
dollar amount of a management contract or subcontract with a
disadvantaged business enterprise shall be added to the total
participation by disadvantaged business enterprises in airport
concessions and to the base from which the airport's percentage
goal is calculated. The dollar amount of a management contract
or subcontract with a non-disadvantaged business enterprise and
the gross revenue of business activities to which the
management contract or subcontract pertains may not be added to
this base.
(3) Except as provided in paragraph (4) of this subsection,
an airport owner or operator may meet the percentage goal of
paragraph (1) of this subsection by including the purchase from
disadvantaged business enterprises of goods and services used
in businesses conducted at the airport, but the owner or
operator and the businesses conducted at the airport shall make
good faith efforts to explore all available options to achieve,
to the maximum extent practicable, compliance with the goal
through direct ownership arrangements, including joint ventures
and franchises.
(4)(A) In complying with paragraph (1) of this subsection, an
airport owner or operator shall include the revenues of car
rental firms at the airport in the base from which the
percentage goal in paragraph (1) is calculated.
(B) An airport owner or operator may require a car rental
firm to meet a requirement under paragraph (1) of this
subsection by purchasing or leasing goods or services from a
disadvantaged business enterprise. If an owner or operator
requires such a purchase or lease, a car rental firm shall be
permitted to meet the requirement by including purchases or
leases of vehicles from any vendor that qualifies as a small
business concern owned and controlled by a socially and
economically disadvantaged individual or as a qualified HUBZone
small business concern (as defined in section 3(p) of the Small
Business Act).
(C) This subsection does not require a car rental firm to
change its corporate structure to provide for direct ownership
arrangements to meet the requirements of this subsection.
(5) This subsection does not preempt--
(A) a State or local law, regulation, or policy
enacted by the governing body of an airport owner or
operator; or
(B) the authority of a State or local government or
airport owner or operator to adopt or enforce a law,
regulation, or policy related to disadvantaged business
enterprises.
(6) An airport owner or operator may provide opportunities
for a small business concern owned and controlled by a socially
and economically disadvantaged individual or a qualified
HUBZone small business concern (as defined in section 3(p) of
the Small Business Act) to participate through direct
contractual agreement with that concern.
(7) An air carrier that provides passenger or property-
carrying services or another business that conducts
aeronautical activities at an airport may not be included in
the percentage goal of paragraph (1) of this subsection for
participation of small business concerns at the airport.
(8) Not later than April 29, 1993, the Secretary of
Transportation shall prescribe regulations to carry out this
subsection.
(f) Availability of Amounts.--An amount deposited in the
Airport and Airway Trust Fund under--
(1) subsection (c)(2)(A)(iii) of this section is
available to the Secretary of Transportation to make a
grant for airport development or airport planning under
section 47104 of this title;
(2) subsection (c)(2)(B)(iii) of this section is
available to the Secretary--
(A) to make a grant for a purpose described
in section 47115(b) of this title; and
(B) for use under section 47114(d)(2) of this
title at another airport in the State in which
the land was disposed of under subsection
(c)(2)(B)(ii) of this section; and
(3) subsection (c)(2)(B)(iii) of this section is in
addition to an amount made available to the Secretary
under section 48103 of this title and not subject to
apportionment under section 47114 of this title.
(g) Ensuring Compliance.--(1) To ensure compliance with this
section, the Secretary of Transportation--
(A) shall prescribe requirements for sponsors that
the Secretary considers necessary; and
(B) may make a contract with a public agency.
(2) The Secretary of Transportation may approve an
application for a project grant only if the Secretary is
satisfied that the requirements prescribed under paragraph
(1)(A) of this subsection have been or will be met.
(h) Modifying Assurances and Requiring Compliance With
Additional Assurances.--
(1) In general.--Subject to paragraph (2), before
modifying an assurance required of a person receiving a
grant under this subchapter and in effect after
December 29, 1987, or to require compliance with an
additional assurance from the person, the Secretary of
Transportation must--
(A) publish notice of the proposed
modification in the Federal Register; and
(B) provide an opportunity for comment on the
proposal.
(2) Public notice before waiver of aeronautical land-
use assurance.--Before modifying an assurance under
subsection (c)(2)(B) that requires any property to be
used for an aeronautical purpose, the Secretary must
provide notice to the public not less than 30 days
before making such modification.
(i) Relief From Obligation To Provide Free Space.--When a
sponsor provides a property interest in a land or water area or
a building that the Secretary of Transportation uses to
construct a facility at Government expense, the Secretary may
relieve the sponsor from an obligation in a contract made under
this chapter, the Airport and Airway Development Act of 1970,
or the Federal Airport Act to provide free space to the
Government in an airport building, to the extent the Secretary
finds that the free space no longer is needed to carry out
activities related to air traffic control or navigation.
(j) Use of Revenue in Hawaii.--(1) In this subsection--
(A) ``duty-free merchandise'' and ``duty-free sales
enterprise'' have the same meanings given those terms
in section 555(b)(8) of the Tariff Act of 1930 (19
U.S.C. 1555(b)(8)).
(B) ``highway'' and ``Federal-aid system'' have the
same meanings given those terms in section 101(a) of
title 23.
(2) Notwithstanding subsection (b)(1) of this section, Hawaii
may use, for a project for construction or reconstruction of a
highway on a Federal-aid system that is not more than 10 miles
by road from an airport and that will facilitate access to the
airport, revenue from the sales at off-airport locations in
Hawaii of duty-free merchandise under a contract between Hawaii
and a duty-free sales enterprise. However, the revenue
resulting during a Hawaiian fiscal year may be used only if the
amount of the revenue, plus amounts Hawaii receives in the
fiscal year from all other sources for costs Hawaii incurs for
operating all airports it operates and for debt service related
to capital projects for the airports (including interest and
amortization of principal costs), is more than 150 percent of
the projected costs for the fiscal year.
(3)(A) Revenue from sales referred to in paragraph (2) of
this subsection in a Hawaiian fiscal year that Hawaii may use
may not be more than the amount that is greater than 150
percent as determined under paragraph (2).
(B) The maximum amount of revenue Hawaii may use under
paragraph (2) of this subsection is $250,000,000.
(4) If a fee imposed or collected for rent, landing, or
service from an aircraft operator by an airport operated by
Hawaii is increased during the period from May 4, 1990, through
December 31, 1994, by more than the percentage change in the
Consumer Price Index of All Urban Consumers for Honolulu,
Hawaii, that the Secretary of Labor publishes during that
period and if revenue derived from the fee increases because
the fee increased, the amount under paragraph (3)(B) of this
subsection shall be reduced by the amount of the projected
revenue increase in the period less the part of the increase
attributable to changes in the Index in the period.
(5) Hawaii shall determine costs, revenue, and projected
revenue increases referred to in this subsection and shall
submit the determinations to the Secretary of Transportation. A
determination is approved unless the Secretary disapproves it
not later than 30 days after it is submitted.
(6) Hawaii is not eligible for a grant under section 47115 of
this title in a fiscal year in which Hawaii uses under
paragraph (2) of this subsection revenue from sales referred to
in paragraph (2). Hawaii shall repay amounts it receives in a
fiscal year under a grant it is not eligible to receive because
of this paragraph to the Secretary of Transportation for
deposit in the discretionary fund established under section
47115.
(7)(A) This subsection applies only to revenue from sales
referred to in paragraph (2) of this subsection from May 5,
1990, through December 30, 1994, and to amounts in the Airport
Revenue Fund of Hawaii that are attributable to revenue before
May 4, 1990, on sales referred to in paragraph (2).
(B) Revenue from sales referred to in paragraph (2) of this
subsection from May 5, 1990, through December 30, 1994, may be
used under paragraph (2) in any Hawaiian fiscal year, including
a Hawaiian fiscal year beginning after December 31, 1994.
(k) Policies and Procedures To Ensure Enforcement Against
Illegal Diversion of Airport Revenue.--
(1) In general.--Not later than 90 days after August
23, 1994, the Secretary of Transportation shall
establish policies and procedures that will assure the
prompt and effective enforcement of subsections (a)(13)
and (b) of this section and grant assurances made under
such subsections. Such policies and procedures shall
recognize the exemption provision in subsection (b)(2)
of this section and shall respond to the information
contained in the reports of the Inspector General of
the Department of Transportation on airport revenue
diversion and such other relevant information as the
Secretary may by law consider.
(2) Revenue diversion.--Policies and procedures to be
established pursuant to paragraph (1) of this
subsection shall prohibit, at a minimum, the diversion
of airport revenues (except as authorized under
subsection (b) of this section) through--
(A) direct payments or indirect payments,
other than payments reflecting the value of
services and facilities provided to the
airport;
(B) use of airport revenues for general
economic development, marketing, and
promotional activities unrelated to airports or
airport systems;
(C) payments in lieu of taxes or other
assessments that exceed the value of services
provided; or
(D) payments to compensate nonsponsoring
governmental bodies for lost tax revenues
exceeding stated tax rates.
(3) Efforts to be self-sustaining.--With respect to
subsection (a)(13) of this section, policies and
procedures to be established pursuant to paragraph (1)
of this subsection shall take into account, at a
minimum, whether owners and operators of airports, when
entering into new or revised agreements or otherwise
establishing rates, charges, and fees, have undertaken
reasonable efforts to make their particular airports as
self-sustaining as possible under the circumstances
existing at such airports.
(4) Administrative safeguards.--Policies and
procedures to be established pursuant to paragraph (1)
shall mandate internal controls, auditing requirements,
and increased levels of Department of Transportation
personnel sufficient to respond fully and promptly to
complaints received regarding possible violations of
subsections (a)(13) and (b) of this section and grant
assurances made under such subsections and to alert the
Secretary to such possible violations.
(5) Statute of limitations.--In addition to the
statute of limitations specified in subsection (m)(7),
with respect to project grants made under this
chapter--
(A) any request by a sponsor or any other
governmental entity to any airport for
additional payments for services conducted off
of the airport or for reimbursement for capital
contributions or operating expenses shall be
filed not later than 6 years after the date on
which the expense is incurred; and
(B) any amount of airport funds that are used
to make a payment or reimbursement as described
in subparagraph (A) after the date specified in
that subparagraph shall be considered to be an
illegal diversion of airport revenues that is
subject to subsection (m).
(l) Audit Certification.--
(1) In general.--The Secretary of Transportation,
acting through the Administrator of the Federal
Aviation Administration, shall include a provision in
the compliance supplement provisions to require a
recipient of a project grant (or any other recipient of
Federal financial assistance that is provided for an
airport) to include as part of an annual audit
conducted under sections 7501 through 7505 of title 31,
a review concerning the funding activities with respect
to an airport that is the subject of the project grant
(or other Federal financial assistance) and the
sponsors, owners, or operators (or other recipients)
involved.
(2) Content of review.--A review conducted under
paragraph (1) shall provide reasonable assurances that
funds paid or transferred to sponsors are paid or
transferred in a manner consistent with the applicable
requirements of this chapter and any other applicable
provision of law (including regulations promulgated by
the Secretary or the Administrator).
(m) Recovery of Illegally Diverted Funds.--
(1) In general.--Not later than 180 days after the
issuance of an audit or any other report that
identifies an illegal diversion of airport revenues (as
determined under subsections (b) and (k) and section
47133), the Secretary, acting through the
Administrator, shall--
(A) review the audit or report;
(B) perform appropriate factfinding; and
(C) conduct a hearing and render a final
determination concerning whether the illegal
diversion of airport revenues asserted in the
audit or report occurred.
(2) Notification.--Upon making such a finding, the
Secretary, acting through the Administrator, shall
provide written notification to the sponsor and the
airport of--
(A) the finding; and
(B) the obligations of the sponsor to
reimburse the airport involved under this
paragraph.
(3) Administrative action.--The Secretary may
withhold any amount from funds that would otherwise be
made available to the sponsor, including funds that
would otherwise be made available to a State,
municipality, or political subdivision thereof
(including any multimodal transportation agency or
transit authority of which the sponsor is a member
entity) as part of an apportionment or grant made
available pursuant to this title, if the sponsor--
(A) receives notification that the sponsor is
required to reimburse an airport; and
(B) has had an opportunity to reimburse the
airport, but has failed to do so.
(4) Civil action.--If a sponsor fails to pay an
amount specified under paragraph (3) during the 180-day
period beginning on the date of notification and the
Secretary is unable to withhold a sufficient amount
under paragraph (3), the Secretary, acting through the
Administrator, may initiate a civil action under which
the sponsor shall be liable for civil penalty in an
amount equal to the illegal diversion in question plus
interest (as determined under subsection (n)).
(5) Disposition of penalties.--
(A) Amounts withheld.--The Secretary or the
Administrator shall transfer any amounts
withheld under paragraph (3) to the Airport and
Airway Trust Fund.
(B) Civil penalties.--With respect to any
amount collected by a court in a civil action
under paragraph (4), the court shall cause to
be transferred to the Airport and Airway Trust
Fund any amount collected as a civil penalty
under paragraph (4).
(6) Reimbursement.--The Secretary, acting through the
Administrator, shall, as soon as practicable after any
amount is collected from a sponsor under paragraph (4),
cause to be transferred from the Airport and Airway
Trust Fund to an airport affected by a diversion that
is the subject of a civil action under paragraph (4),
reimbursement in an amount equal to the amount that has
been collected from the sponsor under paragraph (4)
(including any amount of interest calculated under
subsection (n)).
(7) Statute of limitations.--No person may bring an
action for the recovery of funds illegally diverted in
violation of this section (as determined under
subsections (b) and (k)) or section 47133 after the
date that is 6 years after the date on which the
diversion occurred.
(n) Interest.--
(1) In general.--Except as provided in paragraph (2),
the Secretary, acting through the Administrator, shall
charge a minimum annual rate of interest on the amount
of any illegal diversion of revenues referred to in
subsection (m) in an amount equal to the average
investment interest rate for tax and loan accounts of
the Department of the Treasury (as determined by the
Secretary of the Treasury) for the applicable calendar
year, rounded to the nearest whole percentage point.
(2) Adjustment of interest rates.--If, with respect
to a calendar quarter, the average investment interest
rate for tax and loan accounts of the Department of the
Treasury exceeds the average investment interest rate
for the immediately preceding calendar quarter, rounded
to the nearest whole percentage point, the Secretary of
the Treasury may adjust the interest rate charged under
this subsection in a manner that reflects that change.
(3) Accrual.--Interest assessed under subsection (m)
shall accrue from the date of the actual illegal
diversion of revenues referred to in subsection (m).
(4) Determination of applicable rate.--The applicable
rate of interest charged under paragraph (1) shall--
(A) be the rate in effect on the date on
which interest begins to accrue under paragraph
(3); and
(B) remain at a rate fixed under subparagraph
(A) during the duration of the indebtedness.
(o) Payment by Airport to Sponsor.--If, in the course of an
audit or other review conducted under this section, the
Secretary or the Administrator determines that an airport owes
a sponsor funds as a result of activities conducted by the
sponsor or expenditures by the sponsor for the benefit of the
airport, interest on that amount shall be determined in the
same manner as provided in paragraphs (1) through (4) of
subsection (n), except that the amount of any interest assessed
under this subsection shall be determined from the date on
which the Secretary or the Administrator makes that
determination.
(p) Notwithstanding any written assurances prescribed in
subsections (a) through (o), a general aviation airport with
more than 300,000 annual operations may be exempt from having
to accept scheduled passenger air carrier service, provided
that the following conditions are met:
(1) No scheduled passenger air carrier has provided
service at the airport within 5 years prior to January
1, 2002.
(2) The airport is located within or underneath the
Class B airspace of an airport that maintains an
airport operating certificate pursuant to section 44706
of title 49.
(3) The certificated airport operating under section
44706 of title 49 does not contribute to significant
passenger delays as defined by DOT/FAA in the ``Airport
Capacity Benchmark Report 2001''.
(q) An airport that meets the conditions of paragraphs (1)
through (3) of subsection (p) is not subject to section 47524
of title 49 with respect to a prohibition on all scheduled
passenger service.
(r) Competition Disclosure Requirement.--
(1) In general.--The Secretary of Transportation may
approve an application under this subchapter for an
airport development project grant for a large hub
airport or a medium hub airport only if the Secretary
receives assurances that the airport sponsor will
provide the information required by paragraph (2) at
such time and in such form as the Secretary may
require.
(2) Competitive access.--On February 1 and August 1
of each year, an airport that during the previous 6-
month period has been unable to accommodate one or more
requests by an air carrier for access to gates or other
facilities at that airport in order to provide service
to the airport or to expand service at the airport
shall transmit a report to the Secretary that--
(A) describes the requests;
(B) provides an explanation as to why the
requests could not be accommodated; and
(C) provides a time frame within which, if
any, the airport will be able to accommodate
the requests.
(3) Sunset provision.--This subsection shall cease to
be effective beginning [October 1, 2017] October 1,
2023 .
(s) Agreements Granting Through-The-Fence Access to General
Aviation Airports.--
(1) In general.--Subject to paragraph (2), a sponsor
of a general aviation airport shall not be considered
to be in violation of this subtitle, or to be in
violation of a grant assurance made under this section
or under any other provision of law as a condition for
the receipt of Federal financial assistance for airport
development, solely because the sponsor enters into an
agreement that grants to a person that owns residential
real property adjacent to or near the airport access to
the airfield of the airport for the following:
(A) Aircraft of the person.
(B) Aircraft authorized by the person.
(2) Through-the-fence agreements.--
(A) In general.--An agreement described in
paragraph (1) between an airport sponsor and a
property owner (or an association representing
such property owner) shall be a written
agreement that prescribes the rights,
responsibilities, charges, duration, and other
terms the airport sponsor determines are
necessary to establish and manage the airport
sponsor's relationship with the property owner.
(B) Terms and conditions.--An agreement
described in paragraph (1) between an airport
sponsor and a property owner (or an association
representing such property owner) shall require
the property owner, at minimum--
(i) to pay airport access charges
that, as determined by the airport
sponsor, are comparable to those
charged to tenants and operators on-
airport making similar use of the
airport;
(ii) to bear the cost of building and
maintaining the infrastructure that, as
determined by the airport sponsor, is
necessary to provide aircraft located
on the property adjacent to or near the
airport access to the airfield of the
airport;
(iii) to maintain the property for
residential, noncommercial use for the
duration of the agreement;
(iv) to prohibit access to the
airport from other properties through
the property of the property owner; and
(v) to prohibit any aircraft
refueling from occurring on the
property.
(t) Renewal of Certain Leases.--
(1) In general.--Notwithstanding subsection (a)(13),
an airport owner or operator who renews a covered lease
shall not be treated as violating a written assurance
requirement under this section as a result of such
renewal.
(2) Covered lease defined.--In this subsection, the
term ``covered lease'' means a lease--
(A) originally entered into before the date
of enactment of this subsection;
(B) under which a nominal lease rate is
provided;
(C) under which the lessee is a Federal or
State government entity; and
(D) that supports the operation of military
aircraft by the Air Force or Air National
Guard--
(i) at the airport; or
(ii) remotely from the airport.
(u) Construction of Recreational Aircraft.--
(1) In general.--The construction of a covered
aircraft shall be treated as an aeronautical activity
for purposes of--
(A) determining an airport's compliance with
a grant assurance made under this section or
any other provision of law; and
(B) the receipt of Federal financial
assistance for airport development.
(2) Covered aircraft defined.--In this subsection,
the term ``covered aircraft'' means an aircraft--
(A) used or intended to be used exclusively
for recreational purposes; and
(B) constructed or under construction by a
private individual at a general aviation
airport.
(v) Community Use of Airport Land.--
(1) In general.--Notwithstanding subsection (a)(13),
and subject to paragraph (2), the sponsor of a public-
use airport shall not be considered to be in violation
of this subtitle, or to be found in violation of a
grant assurance made under this section, or under any
other provision of law, as a condition for the receipt
of Federal financial assistance for airport
development, solely because the sponsor has entered
into an agreement, including a revised agreement, with
a local government providing for the use of airport
property for an interim compatible recreational purpose
at below fair market value.
(2) Restrictions.--This subsection shall apply only--
(A) to an agreement regarding airport
property that was initially entered into before
the publication of the Federal Aviation
Administration's Policy and Procedures
Concerning the Use of Airport Revenue, dated
February 16, 1999;
(B) if the agreement between the sponsor and
the local government is subordinate to any
existing or future agreements between the
sponsor and the Secretary, including agreements
related to a grant assurance under this
section;
(C) to airport property that was acquired
under a Federal airport development grant
program;
(D) if the airport sponsor has provided a
written statement to the Administrator that the
property made available for a recreational
purpose will not be needed for any aeronautical
purpose during the next 10 years;
(E) if the agreement includes a term of not
more than 2 years to prepare the airport
property for the interim compatible
recreational purpose and not more than 10 years
of use for that purpose;
(F) if the recreational purpose will not
impact the aeronautical use of the airport;
(G) if the airport sponsor provides a
certification that the sponsor is not
responsible for preparation, start-up,
operations, maintenance, or any other costs
associated with the recreational purpose; and
(H) if the recreational purpose is consistent
with Federal land use compatibility criteria
under section 47502.
(3) Statutory construction.--Nothing in this
subsection may be construed as permitting a diversion
of airport revenue for the capital or operating costs
associated with the community use of airport land.
* * * * * * *
Sec. 47109. United States Government's share of project costs
(a) General.--Except as otherwise provided in this section,
the United States Government's share of allowable project costs
is--
(1) 75 percent for a project at a [primary airport
having at least .25 percent of the total number of
passenger boardings each year at all commercial service
airports;] medium or large hub airport;
(2) not more than 90 percent for a project funded by
a grant issued to and administered by a State under
section 47128, relating to the State block grant
program;
(3) 90 percent for a project at any other airport;
(4) 70 percent for a project funded by the
Administrator from the discretionary fund under section
47115 at an airport receiving an exemption under
section 47134; and
[(5) for fiscal year 2002, 100 percent for a project
described in section 47102(3)(J), 47102(3)(K), or
47102(3)(L). ]
(5) 95 percent for a project that--
(A) the Administrator determines is a
successive phase of a multi-phase construction
project for which the sponsor received a grant
in fiscal year 2011; and
(B) for which the United States Government's
share of allowable project costs could
otherwise be 90 percent under paragraph (2) or
(3).
(b) Increased Government Share.--If, under subsection (a) of
this section, the Government's share of allowable costs of a
project in a State containing unappropriated and unreserved
public lands and nontaxable Indian lands (individual and
tribal) of more than 5 percent of the total area of all lands
in the State, is less than the share applied on June 30, 1975,
under section 17(b) of the Airport and Airway Development Act
of 1970, the Government's share under subsection (a) of this
section shall be increased by the lesser of--
(1) 25 percent;
(2) one-half of the percentage that the area of
unappropriated and unreserved public lands and
nontaxable Indian lands in the State is of the total
area of the State; or
(3) the percentage necessary to increase the
Government's share to the percentage that applied on
June 30, 1975, under section 17(b) of the Act.
(c) Grandfather Rule.--
(1) In general.--In the case of any project approved
after September 30, 2003, at a small hub airport or
nonhub airport that is located in a State containing
unappropriated and unreserved public lands and
nontaxable Indian lands (individual and tribal) of more
than 5 percent of the total area of all lands in the
State, the Government's share of allowable costs of the
project shall be increased by the same ratio as the
basic share of allowable costs of a project divided
into the increased (Public Lands States) share of
allowable costs of a project as shown on documents of
the Federal Aviation Administration dated August 3,
1979, at airports for which the general share was 80
percent on August 3, 1979. This subsection shall apply
only if--
(A) the State contained unappropriated and
unreserved public lands and nontaxable Indian
lands of more than 5 percent of the total area
of all lands in the State on August 3, 1979;
and
(B) the application under subsection (b),
does not increase the Government's share of
allowable costs of the project.
(2) Limitation.--The Government's share of allowable
project costs determined under this subsection shall
not exceed the lesser of 93.75 percent or the highest
percentage Government share applicable to any project
in any State under subsection (b), except that at a
primary non-hub and non-primary commercial service
airport located in a State as set forth in paragraph
(1) of this subsection that is within 15 miles of
another State as set forth in paragraph (1) of this
subsection, the Government's share shall be an average
of the Government share applicable to any project in
each of the States.
(d) Special Rule for Privately Owned Reliever Airports.--If a
privately owned reliever airport contributes any lands,
easements, or rights-of-way to carry out a project under this
subchapter, the current fair market value of such lands,
easements, or rights-of-way shall be credited toward the non-
Federal share of allowable project costs.
(e) Special Rule for Transition From Small Hub to Medium Hub
Status.--If the status of a small hub airport changes to a
medium hub airport, the Government's share of allowable project
costs for the airport may not exceed 90 percent for the first 2
fiscal years after such change in hub status.
(f) Special Rule for Economically Distressed Communities.--
The Government's share of allowable project costs shall be 95
percent for a project at an airport that--
(1) is receiving essential air service for which
compensation was provided to an air carrier under
subchapter II of chapter 417; and
(2) is located in an area that meets one or more of
the criteria established in section 301(a) of the
Public Works and Economic Development Act of 1965 (42
U.S.C. 3161(a)), as determined by the Secretary of
Commerce.
* * * * * * *
Sec. 47112. Carrying out airport development projects
(a) Construction Work.--The Secretary of Transportation may
inspect and approve construction work for an airport
development project carried out under a grant agreement under
this subchapter. The construction work must be carried out in
compliance with regulations the Secretary prescribes. The
regulations shall require the sponsor to make necessary cost
and progress reports on the project. The regulations may amend
or modify a contract related to the project only if the
contract was made with actual notice of the regulations.
(b) Prevailing Wages.--A contract for more than $2,000
involving labor for an airport development project carried out
under a grant agreement under this subchapter must require
contractors to pay labor minimum wage rates as determined by
the Secretary of Labor under sections 3141-3144, 3146, and 3147
of title 40. The minimum rates must be included in the bids for
the work and in the invitation for those bids.
(c) Veterans' Preference.--(1) In this subsection--
(A) ``disabled veteran'' has the same meaning given
that term in section 2108 of title 5.
(B) ``Vietnam-era veteran'' means an individual who
served on active duty (as defined in section 101 of
title 38) in the armed forces for more than 180
consecutive days, any part of which occurred after
August 4, 1964, and before May 8, 1975, and who was
discharged or released from active duty in the armed
forces under honorable conditions.
(C) ``Afghanistan-Iraq war veteran'' means an
individual who served on active duty (as defined in
section 101 of title 38) in the armed forces in support
of Operation Enduring Freedom, Operation Iraqi Freedom,
[or Operation New Dawn for more] Operation New Dawn,
Operation Inherent Resolve, Operation Freedom's
Sentinel, or any successor contingency operation to
such operations for more than 180 consecutive days, any
part of which occurred after September 11, 2001, and
before the date prescribed by presidential proclamation
or by law as the last day of Operation Enduring
Freedom, Operation Iraqi Freedom, [or Operation New
Dawn (whichever is later)] Operation New Dawn,
Operation Inherent Resolve, Operation Freedom's
Sentinel, or any successor contingency operation to
such operations (whichever is later) , and who was
discharged or released from active duty in the armed
forces under honorable conditions.
(D) ``Persian Gulf veteran'' means an individual who
served on active duty in the armed forces in the
Southwest Asia theater of operations during the Persian
Gulf War for more than 180 consecutive days, any part
of which occurred after August 2, 1990, and before the
date prescribed by presidential proclamation or by law,
and who was discharged or released from active duty in
the armed forces under honorable conditions.
(2) A contract involving labor for carrying out an airport
development project under a grant agreement under this
subchapter must require that preference in the employment of
labor (except in executive, administrative, and supervisory
positions) be given to Vietnam-era veterans, Persian Gulf
veterans, Afghanistan-Iraq war veterans, disabled veterans, and
small business concerns (as defined in section 3 of the Small
Business Act (15 U.S.C. 632)) owned and controlled by disabled
veterans when they are available and qualified for the
employment.
* * * * * * *
Sec. 47114. Apportionments
(a) Definition.--In this section, ``amount subject to
apportionment'' means the amount newly made available under
section 48103 of this title for a fiscal year.
(b) Apportionment Date.--On the first day of each fiscal
year, the Secretary of Transportation shall apportion the
amount subject to apportionment for that fiscal year as
provided in this section.
(c) Amounts Apportioned to Sponsors.--
(1) Primary airports.--
(A) Apportionment.--The Secretary shall
apportion to the sponsor of each primary
airport for each fiscal year an amount equal
to--
(i) $7.80 for each of the first
50,000 passenger boardings at the
airport during the prior calendar year;
(ii) $5.20 for each of the next
50,000 passenger boardings at the
airport during the prior calendar year;
(iii) $2.60 for each of the next
400,000 passenger boardings at the
airport during the prior calendar year;
(iv) $.65 for each of the next
500,000 passenger boardings at the
airport during the prior calendar year;
and
(v) $.50 for each additional
passenger boarding at the airport
during the prior calendar year.
(B) Minimum and maximum apportionments.--Not
less than $650,000 nor more than $22,000,000
may be apportioned under subparagraph (A) of
this paragraph to an airport sponsor for a
primary airport for each fiscal year.
(C) Special rule.--In any fiscal year in
which the total amount made available under
section 48103 is $3,200,000,000 or more--
(i) the amount to be apportioned to a
sponsor under subparagraph (A) shall be
increased by doubling the amount that
would otherwise be apportioned;
(ii) the minimum apportionment to a
sponsor under subparagraph (B) shall be
$1,000,000 rather than $650,000; and
(iii) the maximum apportionment to a
sponsor under subparagraph (B) shall be
$26,000,000 rather than $22,000,000.
(D) New airports.--Notwithstanding
subparagraph (A), the Secretary shall apportion
on the first day of the first fiscal year
following the official opening of a new airport
with scheduled passenger air transportation an
amount equal to the minimum amount set forth in
subparagraph (B) or (C), as appropriate, to the
sponsor of such airport.
(E) Use of previous fiscal year's
apportionment.--Notwithstanding subparagraph
(A), the Secretary may apportion to an airport
sponsor in a fiscal year an amount equal to the
amount apportioned to that sponsor in the
previous fiscal year if the Secretary finds
that--
(i) passenger boardings at the
airport fell below 10,000 in the
calendar year used to calculate the
apportionment;
(ii) the airport had at least 10,000
passenger boardings in the calendar
year prior to the calendar year used to
calculate apportionments to airport
sponsors in a fiscal year; and
(iii) the cause of the shortfall in
passenger boardings was a temporary but
significant interruption in service by
an air carrier to that airport due to
an employment action, natural disaster,
or other event unrelated to the demand
for air transportation at the affected
airport.
(F) Special rule for fiscal year 2017.--
Notwithstanding subparagraph (A), the Secretary
shall apportion to a sponsor of an airport
under that subparagraph for fiscal year 2017 an
amount based on the number of passenger
boardings at the airport during calendar year
2012 if the airport--
(i) had 10,000 or more passenger
boardings during calendar year 2012;
(ii) had fewer than 10,000 passenger
boardings during the calendar year used
to calculate the apportionment for
fiscal year 2017 under subparagraph
(A); and
(iii) had scheduled air service at
any point during the calendar year used
to calculate the apportionment for
fiscal year 2017 under subparagraph
(A).
(2) Cargo airports.--
(A) Apportionment.--Subject to subparagraph (D), the
Secretary shall apportion an amount equal to 3.5
percent of the amount subject to apportionment each
fiscal year to the sponsors of airports served by
aircraft providing air transportation of only cargo
with a total annual landed weight of more than
100,000,000 pounds.
(B) Suballocation formula.--Any funds apportioned
under subparagraph (A) to sponsors of airports
described in subparagraph (A) shall be allocated among
those airports in the proportion that the total annual
landed weight of aircraft described in subparagraph (A)
landing at each of those airports bears to the total
annual landed weight of those aircraft landing at all
those airports.
(C) Limitation.--In any fiscal year in which the
total amount made available under section 48103 is less
than $3,200,000,000, not more than 8 percent of the
amount apportioned under subparagraph (A) may be
apportioned for any one airport.
(D) Distribution to other airports.--Before
apportioning amounts to the sponsors of airports under
subparagraph (A) for a fiscal year, the Secretary may
set-aside a portion of such amounts for distribution to
the sponsors of other airports, selected by the
Secretary, that the Secretary finds will be served
primarily by aircraft providing air transportation of
only cargo.
(E) Determination of landed weight.--Landed weight
under this paragraph is the landed weight of aircraft
landing at each airport described in subparagraph (A)
during the prior calendar year.
(d) Amounts Apportioned for General Aviation Airports.--
(1) Definitions.--In this subsection, the following
definitions apply:
(A) Area.--The term ``area'' includes land
and water.
(B) Population.--The term ``population''
means the population stated in the latest
decennial census of the United States.
(2) Apportionment.--Except as provided in paragraph
(3), the Secretary shall apportion to the States 18.5
percent of the amount subject to apportionment for each
fiscal year as follows:
(A) 0.66 percent of the apportioned amount to
Guam, American Samoa, the Northern Mariana
Islands, and the Virgin Islands.
(B) Except as provided in paragraph (4),
49.67 percent of the apportioned amount for
airports, excluding primary airports but
including reliever and nonprimary commercial
service airports, in States not named in
subparagraph (A) in the proportion that the
population of each of those States bears to the
total population of all of those States.
(C) Except as provided in paragraph (4),
49.67 percent of the apportioned amount for
airports, excluding primary airports but
including reliever and nonprimary commercial
service airports, in States not named in
subparagraph (A) in the proportion that the
area of each of those States bears to the total
area of all of those States.
(3) Special rule.--In any fiscal year in which the
total amount made available under section 48103 is
$3,200,000,000 or more, rather than making an
apportionment under paragraph (2), the Secretary shall
apportion 20 percent of the amount subject to
apportionment for each fiscal year as follows:
(A) To each airport, excluding primary
airports but including reliever and nonprimary
commercial service airports, in States the
lesser of--
(i) $150,000; or
(ii) 1/5 of the most recently
published estimate of the 5-year costs
for airport improvement for the
airport, as listed in the national plan
of integrated airport systems developed
by the Federal Aviation Administration
under section 47103.
(B) Any remaining amount to States as
follows:
(i) 0.62 percent of the remaining
amount to Guam, American Samoa, the
Commonwealth of the Northern Mariana
Islands, and the Virgin Islands.
(ii) Except as provided in paragraph
(4), 49.69 percent of the remaining
amount for airports, excluding primary
airports but including reliever and
nonprimary commercial service airports,
in States not named in clause (i) in
the proportion that the population of
each of those States bears to the total
population of all of those States.
(iii) Except as provided in paragraph
(4), 49.69 percent of the remaining
amount for airports, excluding primary
airports but including reliever and
nonprimary commercial service airports,
in States not named in clause (i) in
the proportion that the area of each of
those States bears to the total area of
all of those States.
(C) During fiscal years 2018 through 2020--
(i) an airport that accrued
apportionment funds under subparagraph
(A) in fiscal year 2013 that is listed
as having an unclassified status under
the most recent national plan of
integrated airport systems shall
continue to accrue apportionment funds
under subparagraph (A) at the same
amount the airport accrued
apportionment funds in fiscal year
2013, subject to the conditions of this
paragraph;
(ii) notwithstanding the period of
availability as described in section
47117(b), an amount apportioned to an
airport under clause (i) shall be
available to the airport only during
the fiscal year in which the amount is
apportioned; and
(iii) notwithstanding the waiver
permitted under section 47117(c)(2), an
airport receiving apportionment funds
under clause (i) may not waive its
claim to any part of the apportioned
funds in order to make the funds
available for a grant for another
public-use airport.
(D) An airport that re-establishes its
classified status shall be eligible to accrue
apportionment funds pursuant to subparagraph
(A) so long as such airport retains its
classified status.
(4) Airports in Alaska, Puerto Rico, and Hawaii.--An
amount apportioned under paragraph (2) or (3) to
Alaska, Puerto Rico, or Hawaii for airports in such
State may be made available by the Secretary for any
public airport in those respective jurisdictions.
(5) Use of state highway specifications.--
(A) In general.--The Secretary may permit the
use of State highway specifications for
airfield pavement construction using funds made
available under this subsection at nonprimary
airports with runways of 5,000 feet or shorter
serving aircraft that do not exceed 60,000
pounds gross weight if the Secretary determines
that--
(i) safety will not be negatively
affected; and
(ii) the life of the pavement will
not be shorter than it would be if
constructed using Administration
standards.
(B) Limitation.--An airport may not seek
funds under this subchapter for runway
rehabilitation or reconstruction of any such
airfield pavement constructed using State
highway specifications for a period of 10 years
after construction is completed unless the
Secretary determines that the rehabilitation or
reconstruction is required for safety reasons.
(6) Integrated airport system planning.--
Notwithstanding any other provision of this subsection,
funds made available under this subsection may be used
for integrated airport system planning that encompasses
one or more primary airports.
(7) Eligibility to receive primary airport minimum
apportionment amount.--Notwithstanding any other provision of
this subsection, the Secretary may apportion to an airport
sponsor in a fiscal year an amount equal to the minimum
apportionment available under subsection (c)(1)(B) if the
Secretary finds that the airport--
(A) received scheduled or unscheduled air service
from a large certificated air carrier (as defined in
part 241 of title 14, Code of Federal Regulations, or
such other regulations as may be issued by the
Secretary under the authority of section 41709) in the
calendar year used to calculate the apportionment; and
(B) had more than 10,000 passenger boardings in the
calendar year used to calculate the apportionment.
(e) Supplemental Apportionment for Alaska.--
(1) In general.--Notwithstanding subsections (c) and
(d) of this section, the Secretary may apportion
amounts for airports in Alaska in the way in which
amounts were apportioned in the fiscal year ending
September 30, 1980, under section 15(a) of the Act.
However, in apportioning amounts for a fiscal year
under this subsection, the Secretary shall apportion--
(A) for each primary airport at least as much
as would be apportioned for the airport under
subsection (c)(1) of this section; and
(B) a total amount at least equal to the
minimum amount required to be apportioned to
airports in Alaska in the fiscal year ending
September 30, 1980, under section 15(a)(3)(A)
of the Act.
(2) Authority for discretionary grants.--This
subsection does not prohibit the Secretary from making
project grants for airports in Alaska from the
discretionary fund under section 47115 of this title.
(3) Airports eligible for funds.--An amount
apportioned under this subsection may be used for any
public airport in Alaska.
(4) Special rule.--In any fiscal year in which the
total amount made available under section 48103 is
$3,200,000,000 or more, the amount that may be
apportioned for airports in Alaska under paragraph (1)
shall be increased by doubling the amount that would
otherwise be apportioned.
(f) Reducing Apportionments.--
(1) In general.--Subject to paragraph (3), an amount
that would be apportioned under this section (except
subsection (c)(2) in a fiscal year to the sponsor of an
airport having at least .25 percent of the total number
of boardings each year in the United States and for
which a charge is imposed in the fiscal year under
section 40117 of this title shall be reduced by an
amount equal to--
(A) in the case of a charge of $3.00 or
less--
(i) except as provided in clause
(ii), 50 percent of the projected
revenues from the charge in the fiscal
year but not by more than 50 percent of
the amount that otherwise would be
apportioned under this section; or
(ii) with respect to an airport in
Hawaii, 50 percent of the projected
revenues from the charge in the fiscal
year but not by more than 50 percent of
the excess of--
(I) the amount that otherwise
would be apportioned under this
section; over
(II) the amount equal to the
amount specified in subclause
(I) multiplied by the
percentage of the total
passenger boardings at the
applicable airport that are
comprised of interisland
passengers; and
(B) in the case of a charge of more than
$3.00--
(i) except as provided in clause
(ii), 75 percent of the projected
revenues from the charge in the fiscal
year but not by more than 75 percent of
the amount that otherwise would be
apportioned under this section; or
(ii) with respect to an airport in
Hawaii, 75 percent of the projected
revenues from the charge in the fiscal
year but not by more than 75 percent of
the excess of--
(I) the amount that otherwise
would be apportioned under this
section; over
(II) the amount equal to the
amount specified in subclause
(I) multiplied by the
percentage of the total
passenger boardings at the
applicable airport that are
comprised of interisland
passengers.
(2) Effective date of reduction.--A reduction in an
apportionment required by paragraph (1) shall not take
effect until the first fiscal year following the year
in which the collection of the charge imposed under
section 40117 is begun.
(3) Special rule for transitioning airports.--
(A) In general.--Beginning with the fiscal
year following the first calendar year in which
the sponsor of an airport has more than .25
percent of the total number of boardings in the
United States, the sum of the amount that would
be apportioned under this section after
application of paragraph (1) in a fiscal year
to such sponsor and the projected revenues to
be derived from the charge in such fiscal year
shall not be less than the sum of the
apportionment to such airport for the preceding
fiscal year and the revenues derived from such
charge in the preceding fiscal year.
(B) Effective period.--Subparagraph (A) shall
be in effect for fiscal year 2004.
(g) Supplemental Apportionment for Puerto Rico and United
States Territories.--The Secretary shall apportion amounts for
airports in Puerto Rico and all other United States territories
in accordance with this section. This subsection does not
prohibit the Secretary from making project grants for airports
in Puerto Rico or other United States territories from the
discretionary fund under section 47115.
Sec. 47115. Discretionary fund
(a) Existence and Amounts in Fund.--The Secretary of
Transportation has a discretionary fund. The fund consists of--
(1) amounts subject to apportionment for a fiscal
year that are not apportioned under section 47114(c)-
(e) of this title; and
(2) 12.5 percent of amounts not apportioned under
section 47114 of this title because of section
47114(f).
(b) Availability of Amounts.--Subject to subsection (c) of
this section and section 47117(e) of this title, the fund is
available for making grants for any purpose for which amounts
are made available under section 48103 of this title that the
Secretary considers most appropriate to carry out this
subchapter.
(c) Minimum Percentage for Primary and Reliever Airports.--At
least 75 percent of the amount in the fund and distributed by
the Secretary in a fiscal year shall be used for making
grants--
(1) to preserve and enhance capacity, safety, and
security at primary and reliever airports; and
(2) to carry out airport noise compatibility planning
and programs at primary and reliever airports.
(d) Considerations.--
(1) For capacity enhancement projects.--In selecting
a project for a grant to preserve and improve capacity
funded in whole or in part from the fund, the Secretary
shall consider--
(A) the effect that the project will have on
overall national transportation system
capacity;
(B) the benefit and cost of the project,
including, in the case of a project at a
reliever airport, the number of operations
projected to be diverted from a primary airport
to the reliever airport as a result of the
project, as well as the cost savings projected
to be realized by users of the local airport
system;
(C) the financial commitment from non-United
States Government sources to preserve or
improve airport capacity;
(D) the airport improvement priorities of the
States to the extent such priorities are not in
conflict with subparagraphs (A) and (B);
(E) the projected growth in the number of
passengers or aircraft that will be using the
airport at which the project will be carried
out; and
(F) the ability of the project to foster
United States competitiveness in securing
global air cargo activity at a United States
airport.
(2) For all projects.--In selecting a project for a
grant under this section, the Secretary shall consider
among other factors whether--
(A) funding has been provided for all other
projects qualifying for funding during the
fiscal year under this chapter that have
attained a higher score under the numerical
priority system employed by the Secretary in
administering the fund; and
(B) the sponsor will be able to commence the
work identified in the project application in
the fiscal year in which the grant is made or
within 6 months after the grant is made,
whichever is later.
(e) Waiving Percentage Requirement.--If the Secretary decides
the Secretary cannot comply with the percentage requirement of
subsection (c) of this section in a fiscal year because there
are insufficient qualified grant applications to meet that
percentage, the amount the Secretary determines will not be
distributed as required by subsection (c) is available for
obligation during the fiscal year without regard to the
requirement.
(f) Consideration of Diversion of Revenues in Awarding
Discretionary Grants.--
(1) General rule.--Subject to paragraph (2), in
deciding whether or not to distribute funds to an
airport from the discretionary funds established by
subsection (a) of this section and section 47116 of
this title, the Secretary shall consider as a factor
militating against the distribution of such funds to
the airport the fact that the airport is using revenues
generated by the airport or by local taxes on aviation
fuel for purposes other than capital or operating costs
of the airport or the local airports system or other
local facilities which are owned or operated by the
owner or operator of the airport and directly and
substantially related to the actual air transportation
of passengers or property.
(2) Required finding.--Paragraph (1) shall apply only
when the Secretary finds that the amount of revenues
used by the airport for purposes other than capital or
operating costs in the airport's fiscal year preceding
the date of the application for discretionary funds
exceeds the amount of such revenues in the airport's
first fiscal year ending after August 23, 1994,
adjusted by the Secretary for changes in the Consumer
Price Index of All Urban Consumers published by the
Bureau of Labor Statistics of the Department of Labor.
(g) Minimum Amount To Be Credited.--
(1) General rule.--In a fiscal year, there shall be
credited to the fund, out of amounts made available
under section 48103 of this title, an amount that is at
least equal to the sum of--
(A) $148,000,000; plus
(B) the total amount required from the fund
to carry out in the fiscal year letters of
intent issued before January 1, 1996, under
section 47110(e) of this title or the Airport
and Airway Improvement Act of 1982.
The amount credited is exclusive of amounts that have
been apportioned in a prior fiscal year under section
47114 of this title and that remain available for
obligation.
(2) Reduction of apportionments.--In a fiscal year in
which the amount credited under subsection (a) is less
than the minimum amount to be credited under paragraph
(1), the total amount calculated under paragraph (3)
shall be reduced by an amount that, when credited to
the fund, together with the amount credited under
subsection (a), equals such minimum amount.
(3) Amount of reduction.--For a fiscal year, the
total amount available to make a reduction to carry out
paragraph (2) is the total of the amounts determined
under sections 47114(c)(1)(A), 47114(c)(2), 47114(d),
and 47117(e) of this title. Each amount shall be
reduced by an equal percentage to achieve the
reduction.
(h) Priority for Letters of Intent.--In making grants in a
fiscal year with funds made available under this section, the
Secretary shall fulfill intentions to obligate under section
47110(e).
[(i) Considerations for Project Under Expanded Security
Eligibility.--In order to assure that funding under this
subchapter is provided to the greatest needs, the Secretary, in
selecting a project described in section 47102(3)(J) for a
grant, shall consider the non-federal resources available to
sponsor, the use of such non-federal resources, and the degree
to which the sponsor is providing increased funding for the
project.]
[(j)] (i) Marshall Islands, Micronesia, and Palau.--For
[fiscal years 2012 through 2017] fiscal years 2017 through 2023
, the sponsors of airports located in the Republic of the
Marshall Islands, Federated States of Micronesia, and Republic
of Palau shall be eligible for grants under this section and
section 47116.
* * * * * * *
Sec. 47117. Use of apportioned amounts
(a) Grant Purpose.--Except as provided in this section, an
amount apportioned under section 47114(c)(1) or (d)(2) of this
title is available for making grants for any purpose for which
amounts are made available under section 48103 of this title.
(b) Period of Availability.--An amount apportioned under
section 47114 of this title is available to be obligated for
grants under the apportionment only during the fiscal year for
which the amount was apportioned and the 2 fiscal years
immediately after that year or the 3 fiscal years immediately
following that year in the case of a nonhub airport or any
airport that is not a commercial service airport. If the amount
is not obligated under the apportionment within that time, it
shall be added to the discretionary fund.
(c) Primary Airports.--(1) An amount apportioned to a sponsor
of a primary airport under section 47114(c)(1) of this title is
available for grants for any public-use airport of the sponsor
included in the national plan of integrated airport systems.
(2) Waiver.--A sponsor of an airport may make an agreement
with the Secretary of Transportation waiving the sponsor's
claim to any part of the amount apportioned for the airport
under sections 47114(c) and 47114(d)(3)(A) if the Secretary
agrees to make the waived amount available for a grant for
another public-use airport in the same State or geographical
area as the airport, as determined by the Secretary.
(d) State Use.--An amount apportioned to a State under--
(1) section 47114(d)(2)(A) of this title is available
for grants for airports located in the State; and
(2) section 47114(d)(2)(B) or (C) of this title is
available for grants for airports described in section
47114(d)(2)(B) or (C) and located in the State.
(e) Special Apportionment Categories.--(1) The Secretary
shall use amounts available to the discretionary fund under
section 47115 of this title for each fiscal year as follows:
(A) At least 35 percent, but not more than
$300,000,000, for grants for airport noise
compatibility planning under section 47505(a)(2), for
carrying out noise compatibility programs under section
47504(c), for noise mitigation projects approved in an
environmental record of decision for an airport
development project under this title, for compatible
land use planning and projects carried out by State and
local governments under section 47141, for airport
development described in section 47102(3)(P), for
airport development described in section 47102(3)(F),
47102(3)(K), or 47102(3)(L) to comply with the Clean
Air Act (42 U.S.C. 7401 et seq.), and for water quality
mitigation projects to comply with the Act of June 30,
1948 (33 U.S.C. 1251 et seq.), approved in an
environmental record of decision for an airport
development project under this title. The Secretary may
count the amount of grants made for such planning and
programs with funds apportioned under section 47114 in
that fiscal year in determining whether or not the
requirements of the preceding sentence are being met in
that fiscal year.
(B) at least 4 percent to sponsors of current or
former military airports designated by the Secretary
under section 47118(a) of this title for grants for
developing current and former military airports to
improve the capacity of the national air transportation
system and to sponsors of noncommercial service
airports for grants for operational and maintenance
expenses at any such airport if the amount of such
grants to the sponsor of the airport does not exceed
$30,000 in that fiscal year, if the Secretary
determines that the airport is adversely affected by
the closure or realignment of a military base, and if
the sponsor of the airport certifies that the airport
would otherwise close if the airport does not receive
the grant.
(C) In any fiscal year in which the total amount made
available under section 48103 is $3,200,000,000 or
more, at least two-thirds of 1 percent for grants to
sponsors of reliever airports which have--
(i) more than 75,000 annual operations;
(ii) a runway with a minimum usable landing
distance of 5,000 feet;
(iii) a precision instrument landing
procedure;
(iv) a minimum number of aircraft, to be
determined by the Secretary, based at the
airport; and
(v) been designated by the Secretary as a
reliever airport to an airport with 20,000
hours of annual delays in commercial passenger
aircraft takeoffs and landings.
(2) If the Secretary decides that an amount required to be
used for grants under paragraph (1) of this subsection cannot
be used for a fiscal year because there are insufficient
qualified grant applications, the amount the Secretary
determines cannot be used is available during the fiscal year
for grants for other airports or for other purposes for which
amounts are authorized for grants under section 48103 of this
title.
(3) Priority.--The Secretary shall give priority in making
grants under paragraph (1)(A) to applications for airport noise
compatibility planning and programs at and around--
(A) Chicago O'Hare International Airport;
(B) LaGuardia Airport;
(C) John F. Kennedy International Airport; and
(D) Ronald Reagan Washington National Airport.
(f) Discretionary Use of Apportionments.--
(1) In general.--Subject to paragraph (2), if the
Secretary finds that all or part of an amount of an
apportionment under section 47114 is not required
during a fiscal year to fund a grant for which the
apportionment may be used, the Secretary may use during
such fiscal year the amount not so required to make
grants for any purpose for which grants may be made
under section 48103. The finding may be based on the
notifications that the Secretary receives under section
47105(f) or on other information received from airport
sponsors.
(2) Restoration of apportionments.--
(A) In general.--If the fiscal year for which
a finding is made under paragraph (1) with
respect to an apportionment is not the last
fiscal year of availability of the
apportionment under subsection (b), the
Secretary shall restore to the apportionment an
amount equal to the amount of the apportionment
used under paragraph (1) for a discretionary
grant whenever a sufficient amount is made
available under section 48103.
(B) Period of availability.--If restoration
under this paragraph is made in the fiscal year
for which the finding is made or the succeeding
fiscal year, the amount restored shall be
subject to the original period of availability
of the apportionment under subsection (b). If
the restoration is made thereafter, the amount
restored shall remain available in accordance
with subsection (b) for the original period of
availability of the apportionment plus the
number of fiscal years during which a
sufficient amount was not available for the
restoration.
(3) Newly available amounts.--
(A) Restored amounts to be unavailable for
discretionary grants.--Of an amount newly
available under section 48103 of this title, an
amount equal to the amounts restored under
paragraph (2) shall not be available for
discretionary grant obligations under section
47115.
(B) Use of remaining amounts.--Subparagraph
(A) does not impair the Secretary's authority
under paragraph (1), after a restoration under
paragraph (2), to apply all or part of a
restored amount that is not required to fund a
grant under an apportionment to fund
discretionary grants.
(4) Limitations on obligations apply.--Nothing in
this subsection shall be construed to authorize the
Secretary to incur grant obligations under section
47104 for a fiscal year in an amount greater than the
amount made available under section 48103 for such
obligations for such fiscal year.
(g) Limiting Authority of Secretary.--The authority of the
Secretary to make grants during a fiscal year from amounts that
were apportioned for a prior fiscal year and remain available
for approved airport development project grants under
subsection (b) of this section may be impaired only by a law
enacted after September 3, 1982, that expressly limits that
authority.
* * * * * * *
Sec. 47119. Terminal development costs
(a) Terminal Development Projects.--
(1) In general.--The Secretary of Transportation may
approve a project for terminal development (including
multimodal terminal development) in a nonrevenue-
producing public-use area of a commercial service
airport--
(A) if the sponsor certifies that the
airport, on the date the grant application is
submitted to the Secretary, has--
(i) all the safety equipment required
for certification of the airport under
section 44706;
(ii) all the security equipment
required by regulation; and
(iii) provided for access by
passengers to the area of the airport
for boarding or exiting aircraft that
are not air carrier aircraft;
(B) if the cost is directly related to moving
passengers and baggage in air commerce within
the airport, including vehicles for moving
passengers between terminal facilities and
between terminal facilities and aircraft; and
(C) under terms necessary to protect the
interests of the Government.
(2) Project in revenue-producing areas and
nonrevenue- producing parking lots.--In making a
decision under paragraph (1), the Secretary may approve
as allowable costs the expenses of terminal development
in a revenue-producing area and construction,
reconstruction, repair, and improvement in a
nonrevenue-producing parking lot if--
(A) except as provided in section
47108(e)(3), the airport does not have more
than .05 percent of the total annual passenger
boardings in the United States; and
(B) the sponsor certifies that any needed
airport development project affecting safety,
security, or capacity will not be deferred
because of the Secretary's approval.
(3) Lactation areas.--In addition to the projects
described in paragraph (1), the Secretary may approve a
project for terminal development for the construction
or installation of a lactation area at a commercial
service airport.
(b) Repaying Borrowed Money.--
(1) Terminal development costs incurred after June 30, 1970,
and before July 12, 1976.--An amount apportioned under section
47114 and made available to the sponsor of a commercial service
airport at which terminal development was carried out after
June 30, 1970, and before July 12, 1976, is available to repay
immediately money borrowed and used to pay the costs for such
terminal development if those costs would be allowable project
costs under section 47110(d) if they had been incurred after
September 3, 1982.
(2) Terminal development costs incurred between January 1,
1992, and October 31, 1992.--An amount apportioned under
section 47114 and made available to the sponsor of a nonhub
airport at which terminal development was carried out between
January 1, 1992, and October 31, 1992, is available to repay
immediately money borrowed and to pay the costs for such
terminal development if those costs would be allowable project
costs under section 47110(d).
(3) Terminal development costs at primary airports.--An
amount apportioned under section 47114 or available under
subsection (b)(3) to a primary airport--
(A) that was a nonhub airport in the most recent year
used to calculate apportionments under section 47114;
(B) that is a designated airport under section 47118
in fiscal year 2003; and
(C) at which terminal development is carried out
between January 2003 and August 2004,
is available to repay immediately money borrowed and used to
pay the costs for such terminal development if those costs
would be allowable project costs under subsection (a).
(4) Conditions for grant.--An amount is available for a grant
under this subsection only if--
(A) the sponsor submits the certification required
under subsection (a);
(B) the Secretary decides that using the amount to
repay the borrowed money will not defer an airport
development project outside the terminal area at that
airport; and
(C) amounts available for airport development under
this subchapter will not be used for additional
terminal development projects at the airport for at
least 1 year beginning on the date the grant is used to
repay the borrowed money.
(5) Applicability of certain limitations.--A grant under this
subsection shall be subject to the limitations in subsections
(c)(1) and (c)(2).
(c) Availability of Amounts.--In a fiscal year, the Secretary
may make available--
(1) to a sponsor of a primary airport, any part of
amounts apportioned to the sponsor for the fiscal year
under section 47114(c)(1) of this title to pay project
costs allowable under subsection (a);
(2) on approval of the Secretary, not more than
$200,000 of the amount that may be distributed for the
fiscal year from the discretionary fund established
under section 47115 of this title--
(A) to a sponsor of a nonprimary commercial
service airport to pay project costs allowable
under subsection (a); and
(B) to a sponsor of a reliever airport for
the types of project costs allowable under
subsection (a), including project costs
allowable for a commercial service airport that
each year does not have more than .05 percent
of the total boardings in the United States;
(3) for use by a primary airport that each year does
not have more than .05 percent of the total boardings
in the United States, any part of amounts that may be
distributed for the fiscal year from the discretionary
fund and small airport fund to pay project costs
allowable under subsection (a);
(4) not more than $25,000,000 to pay project costs
allowable for the fiscal year under subsection (a) for
projects at commercial service airports that were not
eligible for assistance for terminal development during
the fiscal year ending September 30, 1980, under
section 20(b) of the Airport and Airway Development Act
of 1970; or
(5) to a sponsor of a nonprimary airport, any part of
amounts apportioned to the sponsor for the fiscal year
under section 47114(d)(3)(A) for project costs
allowable under subsection (a).
(d) Nonhub Airports.--With respect to a project at a
commercial service airport which annually has less than 0.05
percent of the total enplanements in the United States, the
Secretary may approve the use of the amounts described in
subsection (a) notwithstanding the requirements of sections
47107(a)(17), 47112, and 47113.
(e) Determination of Passenger Boarding at Commercial Service
Airports.--For the purpose of determining whether an amount may
be distributed for a fiscal year from the discretionary fund in
accordance with subsection (b)(2)(A) to a commercial service
airport, the Secretary shall make the determination of whether
or not a public airport is a commercial service airport on the
basis of the number of passenger boardings and type of air
service at the public airport in the calendar year that
includes the first day of such fiscal year or the preceding
calendar year, whichever is more beneficial to the airport.
(f) Limitation on Discretionary Funds.--The Secretary may
distribute not more than $20,000,000 from the discretionary
fund established under section 47115 for terminal development
projects at a nonhub airport or a small hub airport that is
eligible to receive discretionary funds under section
47108(e)(3).
* * * * * * *
Sec. 47123. Nondiscrimination
[The Secretary of Transportation] (a) In General._ The
Secretary of Transportation shall take affirmative action to
ensure that an individual is not excluded because of race,
creed, color, national origin, or sex from participating in an
activity carried out with money received under a grant under
this subchapter. The Secretary shall prescribe regulations
necessary to carry out this section. The regulations shall be
similar to those in effect under title VI of the Civil Rights
Act of 1964 (42 U.S.C. 2000d et seq.). This section is in
addition to title VI of the Act.
(b) Indian Employment.--
(1) Tribal sponsor preference.--Consistent with
section 703(i) of the Civil Rights Act of 1964 (42
U.S.C. 2000e-2(i)), nothing in this section shall
preclude the preferential employment of Indians living
on or near a reservation on a project or contract at--
(A) an airport sponsored by an Indian tribal
government; or
(B) an airport located on an Indian
reservation.
(2) State preference.--A State may implement a
preference for employment of Indians on a project
carried out under this subchapter near an Indian
reservation.
(3) Implementation.--The Secretary shall cooperate
with Indian tribal governments and the States to
implement this subsection.
(4) Indian tribal government defined.--In this
section, the term ``Indian tribal government'' has the
same meaning given that term in section 102 of the
Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5122).
Sec. 47124. Agreements for State and local operation of airport
facilities
(a) Government Relief From Liability.--The Secretary of
Transportation shall ensure that an agreement under this
subchapter with a qualified entity (as determined by the
Secretary), State, or a political subdivision of a State to
allow the entity, State, or subdivision to operate an airport
facility relieves the United States Government from any
liability arising out of, or related to, acts or omissions of
employees of the entity, State, or subdivision in operating the
airport facility.
(b) Air Traffic Control Contract Program.--
(1) Contract tower program.--
(A) Continuation.--The Secretary shall
continue the low activity (Visual Flight Rules)
level I air traffic control tower contract
program established under subsection (a) of
this section for towers existing on December
30, 1987, and extend the program to other
towers as practicable.
(B) Special rule.--If the Secretary
determines that a tower already operating under
the program continued under this paragraph has
a benefit-to-cost ratio of less than 1.0, the
airport sponsor or State or local government
having jurisdiction over the airport shall not
be required to pay the portion of the costs
that [exceeds the benefit for a period of 18
months after such determination is made]
exceeds the benefit--
(i) for the 1-year period after such
determination is made; or
(ii) if an appeal of such
determination is requested, for the 1-
year period described in subsection
(d)(4)(D).
(C) Use of excess funds.--If the Secretary
finds that all or part of an amount made
available to carry out the program continued
under this paragraph is not required during a
fiscal year, the Secretary may use, during such
fiscal year, the amount not so required to
carry out the program established under
paragraph (3).
(2) General authority.--The Secretary may make a contract
with a qualified entity (as determined by the Secretary) or, on
a sole source basis, with a State or a political subdivision of
a State to allow the entity, State, or subdivision to operate
an airport traffic control tower classified as a level I
(Visual Flight Rules) tower if the Secretary decides that the
entity, State, or subdivision has the capability to comply with
the requirements of this paragraph. The contract shall require
that the entity, State, or subdivision comply with applicable
safety regulations in operating the facility and with
applicable competition requirements in making a subcontract to
perform work to carry out the contract.
(3) Contract air traffic control tower program.--
(A) In general.--The Secretary shall establish a
program to contract for air traffic control services at
nonapproach control towers, as defined by the
Secretary, that do not qualify for the contract tower
program established under subsection (a) and continued
under paragraph (1) (in this paragraph referred to as
the ``Contract Tower Program'').
(B) Program components.--In carrying out the program,
the Secretary shall--
(i) utilize for purposes of cost-benefit
analyses, current, actual, site-specific data,
forecast estimates, or airport master plan data
provided by a facility owner or operator and
verified by the Secretary; and
(ii) approve for participation only
facilities willing to fund a pro rata share of
the operating costs of the air traffic control
tower to achieve a 1-to-1 benefit-to-cost ratio
using actual site-specific contract tower
operating costs in any case in which there is
an operating air traffic control tower, as
required for eligibility under the Contract
Tower Program.
(C) Priority.--In selecting facilities to participate
in the program, the Secretary shall give priority to
the following facilities:
(i) Air traffic control towers that are
participating in the Contract Tower Program but
have been notified that they will be terminated
from such program because the Secretary has
determined that the benefit-to-cost ratio for
their continuation in such program is less than
1.0.
(ii) Air traffic control towers that the
Secretary determines have a benefit-to-cost
ratio of at least .50.
(iii) Air traffic control towers of the
Federal Aviation Administration that are closed
as a result of the air traffic controllers
strike in 1981.
(iv) Air traffic control towers located at
airports or points at which an air carrier is
receiving compensation under the essential air
service program under this chapter.
(v) Air traffic control towers located at
airports that are prepared to assume partial
responsibility for maintenance costs.
(vi) Air traffic control towers located at
airports with safety or operational problems
related to topography, weather, runway
configuration, or mix of aircraft.
(vii) Air traffic control towers located at
an airport at which the community has been
operating the tower at its own expense.
(D) Costs exceeding benefits.--If the costs of
operating an air traffic tower under the program exceed
the benefits, the airport sponsor or State or local
government having jurisdiction over the airport shall
pay the portion of the costs that exceed such benefit,
with the maximum allowable local cost share capped at
20 percent.
[(E) Funding.--Of the amounts appropriated pursuant
to section 106(k)(1), not more than $10,350,000 for
each of fiscal years 2012 through 2017 may be used to
carry out this paragraph.]
(E) Funding.--Amounts appropriated pursuant to
section 106(k)(1) may be used to carry out this
paragraph.
(F) Use of excess funds.--If the Secretary finds that
all or part of an amount made available under this
paragraph is not required during a fiscal year, the
Secretary may use, during such fiscal year, the amount
not so required to carry out the program continued
under paragraph (1).
(G) Benefit-to-cost calculation.--Not later than 90
days after receiving an application to the Contract
Tower Program, the Secretary shall calculate a benefit-
to-cost ratio (as described in subsection (d)) for the
applicable air traffic control tower for purposes of
selecting towers for participation in the Contract
Tower Program.
(4) Construction of air traffic control towers.--
(A) Grants.--The Secretary may provide grants to a
sponsor of--
(i) a primary airport--
(I) from amounts made available under
sections 47114(c)(1) and 47114(c)(2)
for the construction or improvement of
a nonapproach control tower, as defined
by the Secretary, and for the
acquisition and installation of air
traffic control, communications, and
related equipment to be used in that
tower;
(II) from amounts made available
under sections 47114(c)(1) and
47114(c)(2) for reimbursement for the
cost of construction or improvement of
a nonapproach control tower, as defined
by the Secretary, incurred after
October 1, 1996, if the sponsor
complied with the requirements of
sections 47107(e), 47112(b), and
47112(c) in constructing or improving
that tower; and
(III) from amounts made available
under sections 47114(c)(1) and
47114(c)(2) for reimbursement for the
cost of acquiring and installing in
that tower air traffic control,
communications, and related equipment
that was acquired or installed after
October 1, 1996, including remote air
traffic control tower equipment
certified by the Federal Aviation
Administration ; and
(ii) a public-use airport that is not a
primary airport--
(I) from amounts made available under
sections 47114(c)(2) and 47114(d) for
the construction or improvement of a
nonapproach control tower, as defined
by the Secretary, and for the
acquisition and installation of air
traffic control, communications, and
related equipment to be used in that
tower;
(II) from amounts made available
under sections 47114(c)(2) and
47114(d)(3)(A) for reimbursement for
the cost of construction or improvement
of a nonapproach control tower, as
defined by the Secretary, incurred
after October 1, 1996, if the sponsor
complied with the requirements of
sections 47107(e), 47112(b), and
47112(c) in constructing or improving
that tower; and
(III) from amounts made available
under sections 47114(c)(2) and
47114(d)(3)(A) for reimbursement for
the cost of acquiring and installing in
that tower air traffic control,
communications, and related equipment
that was acquired or installed after
October 1, 1996, including remote air
traffic control tower equipment
certified by the Federal Aviation
Administration .
[(B) Eligibility.--An airport sponsor shall be
eligible for a grant under this paragraph only if--
[(i)(I) the sponsor is a participant in the
Federal Aviation Administration contract tower
program established under subsection (a) and
continued under paragraph (1) or the pilot
program established under paragraph (3); or
[(II) construction of a nonapproach control
tower would qualify the sponsor to be eligible
to participate in such program;
[(ii) the sponsor certifies that it will pay
not less than 10 percent of the cost of the
activities for which the sponsor is receiving
assistance under this paragraph;
[(iii) the Secretary affirmatively accepts
the proposed contract tower into a contract
tower program under this section and certifies
that the Secretary will seek future
appropriations to pay the Federal Aviation
Administration's cost of the contract to
operate the tower to be constructed under this
paragraph;
[(iv) the sponsor certifies that it will pay
its share of the cost of the contract to
operate the tower to be constructed under this
paragraph; and
[(v) in the case of a tower to be constructed
under this paragraph from amounts made
available under section 47114(d)(2) or
47114(d)(3)(B), the Secretary certifies that--
[(I) the Federal Aviation
Administration has consulted the State
within the borders of which the tower
is to be constructed and the State
supports the construction of the tower
as part of its State airport capital
plan; and
[(II) the selection of the tower for
funding is based on objective criteria.
[(C) Limitation on Federal share.--The Federal share
of the cost of construction of a nonapproach control
tower under this paragraph may not exceed $2,000,000.]
(B) Eligibility.--
(i) Before date of transfer.--Before the date
of transfer (as defined in section 90101(a)),
an airport sponsor shall be eligible for a
grant under this paragraph only if--
(I)(aa) the sponsor is a participant
in the Federal Aviation Administration
contract tower program established
under subsection (a) and continued
under paragraph (1) or the pilot
program established under paragraph
(3); or
(bb) construction of a
nonapproach control tower would
qualify the sponsor to be
eligible to participate in such
program;
(II) the sponsor certifies that it
will pay not less than 10 percent of
the cost of the activities for which
the sponsor is receiving assistance
under this paragraph;
(III) the Secretary affirmatively
accepts the proposed contract tower
into a contract tower program under
this section and certifies that the
Secretary will seek future
appropriations to pay the Federal
Aviation Administration's cost of the
contract to operate the tower to be
constructed under this paragraph;
(IV) the sponsor certifies that it
will pay its share of the cost of the
contract to operate the tower to be
constructed under this paragraph; and
(V) in the case of a tower to be
constructed under this paragraph from
amounts made available under section
47114(d)(2) or 47114(d)(3)(B), the
Secretary certifies that--
(aa) the Federal Aviation
Administration has consulted
the State within the borders of
which the tower is to be
constructed and the State
supports the construction of
the tower as part of its State
airport capital plan; and
(bb) the selection of the
tower for funding is based on
objective criteria.
(ii) On and after date of transfer.--On and
after the date of transfer (as defined in
section 90101(a)), an airport sponsor shall be
eligible for a grant under this paragraph only
if--
(I) the Secretary determines that the
tower to be constructed at the
sponsor's airport using the amounts of
the grant will be operated pursuant to
an agreement entered into by the
American Air Navigation Services
Corporation and an entity pursuant to
section 90302(c)(3);
(II) the sponsor certifies that it
will pay not less than 10 percent of
the cost of the activities for which
the sponsor is receiving assistance
under this paragraph; and
(III) in the case of a tower to be
constructed under this paragraph from
amounts made available under section
47114(d)(2) or 47114(d)(3)(B), the
Secretary certifies that--
(aa) the Federal Aviation
Administration has consulted
the State within the borders of
which the tower is to be
constructed and the State
supports the construction of
the tower as part of its State
airport capital plan; and
(bb) the selection of the
tower for funding is based on
objective criteria.
(c) Safety Audits.-- [The Secretary]
(1) Before date of transfer._Before the date of
transfer (as defined in section 90101(a)), the
Secretary shall establish uniform standards and
requirements for regular safety assessments of air
traffic control towers that receive funding under this
section.
(2) On and after date of transfer.--On and after the
date of transfer (as defined in section 90101(a)),
oversight of air traffic control towers that receive
funding under this section shall be carried out in
accordance with performance-based regulations and
minimum safety standards prescribed under section
90501.
(d) Criteria to Evaluate Participants.--
(1) Timing of evaluations.--
(A) Towers participating in cost-share
program.--In the case of an air traffic control
tower that is operated under the program
established under subsection (b)(3), the
Secretary shall annually calculate a benefit-
to-cost ratio with respect to the tower.
(B) Towers participating in contract tower
program.--In the case of an air traffic control
tower that is operated under the program
established under subsection (a) and continued
under subsection (b)(1), the Secretary shall
not calculate a benefit-to-cost ratio after the
date of enactment of this subsection with
respect to the tower unless the Secretary
determines that the annual aircraft traffic at
the airport where the tower is located has
decreased--
(i) by more than 25 percent from the
previous year; or
(ii) by more than 60 percent
cumulatively in the preceding 3-year
period.
(2) Costs to be considered.--In establishing a
benefit-to-cost ratio under this section with respect
to an air traffic control tower, the Secretary shall
consider only the following costs:
(A) The Federal Aviation Administration's
actual cost of wages and benefits of personnel
working at the tower.
(B) The Federal Aviation Administration's
actual telecommunications costs directly
associated with the tower.
(C) The Federal Aviation Administration's
costs of purchasing and installing any air
traffic control equipment that would not have
been purchased or installed except for the
operation of the tower.
(D) The Federal Aviation Administration's
actual travel costs associated with maintaining
air traffic control equipment that is owned by
the Administration and would not be maintained
except for the operation of the tower.
(3) Other criteria to be considered.--In establishing
a benefit-to-cost ratio under this section with respect
to an air traffic control tower, the Secretary shall
add a 10 percentage point margin of error to the
benefit-to-cost ratio determination to acknowledge and
account for the direct and indirect economic and other
benefits that are not included in the criteria the
Secretary used in calculating that ratio.
(4) Review of cost-benefit determinations.--In
issuing a benefit-to-cost ratio determination under
this section with respect to an air traffic control
tower located at an airport, the Secretary shall
implement the following procedures:
(A) The Secretary shall provide the airport
(or the State or local government having
jurisdiction over the airport) at least 90 days
following the date of receipt of the
determination to submit to the Secretary a
request for an appeal of the determination,
together with updated or additional data in
support of the appeal.
(B) Upon receipt of a request for an appeal
submitted pursuant to subparagraph (A), the
Secretary shall--
(i) transmit to the Administrator of
the Federal Aviation Administration any
updated or additional data submitted in
support of the appeal; and
(ii) provide the Administrator not
more than 90 days to review the data
and provide a response to the Secretary
based on the review.
(C) After receiving a response from the
Administrator pursuant to subparagraph (B), the
Secretary shall--
(i) provide the airport, State, or
local government that requested the
appeal at least 30 days to review the
response; and
(ii) withhold from taking further
action in connection with the appeal
during that 30-day period.
(D) If, after completion of the appeal
procedures with respect to the determination,
the Secretary requires the tower to transition
into the program established under subsection
(b)(3), the Secretary shall not require a cost-
share payment from the airport, State, or local
government for 1 year following the last day of
the 30-day period described in subparagraph
(C).
* * * * * * *
Sec. 47128. State block grant program
(a) General Requirements.--The Secretary of Transportation
shall issue guidance to carry out a State block grant program.
The guidance shall provide that the Secretary may designate
[not more than 9 qualified States for fiscal years 2000 and
2001 and 10 qualified States for each fiscal year thereafter]
not more than 20 qualified States for each fiscal year to
assume administrative responsibility for all airport grant
amounts available under this subchapter, except for amounts
designated for use at primary airports.
(b) Applications and Selection.--A State wishing to
participate in the program must submit an application to the
Secretary. The Secretary shall select a State on the basis of
its application only after--
(1) deciding the State has an organization capable of
effectively administering a block grant made under this
section;
(2) deciding the State uses a satisfactory airport
system planning process;
(3) deciding the State uses a programming process
acceptable to the Secretary;
(4) finding that the State has agreed to comply with
United States Government standard requirements for
administering the block grant, including the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.), State and local environmental policy acts,
Executive orders, agency regulations and guidance, and
other Federal environmental requirements; and
(5) finding that the State has agreed to provide the
Secretary with program information the Secretary
requires.
(c) Safety and Security Needs and Needs of System.--Before
deciding whether a planning process is satisfactory or a
programming process is acceptable under subsection (b)(2) or
(b)(3) of this section, the Secretary shall ensure that the
process provides for meeting critical safety and security needs
and that the programming process ensures that the needs of the
national airport system will be addressed in deciding which
projects will receive money from the Government. In carrying
out this subsection, the Secretary shall permit a State to use
the priority system of the State if such system is not
inconsistent with the national priority system.
(d) Environmental Analysis and Coordination Requirements.--A
Federal agency, other than the Federal Aviation Administration,
that is responsible for issuing an approval, license, or permit
to ensure compliance with a Federal environmental requirement
applicable to a project or activity to be carried out by a
State using amounts from a block grant made under this section
shall--
(1) coordinate and consult with the State;
(2) use the environmental analysis prepared by the
State for the project or activity if such analysis is
adequate; and
(3) as necessary, consult with the State to describe
the supplemental analysis the State must provide to
meet applicable Federal requirements.
* * * * * * *
[Sec. 47136. Inherently low-emission airport vehicle pilot program
[(a) In General.--The Secretary of Transportation shall carry
out a pilot program at not more than 10 public-use airports
under which the sponsors of such airports may use funds made
available under section 48103 for use at such airports to carry
out inherently low-emission vehicle activities. Notwithstanding
any other provision of this subchapter, inherently low-emission
vehicle activities shall for purposes of the pilot program be
treated as eligible for assistance under this subchapter.
[(b) Location in Air Quality Nonattainment Areas.--
[(1) In general.--A public-use airport shall be
eligible for participation in the pilot program only if
the airport is located in an air quality nonattainment
area (as defined in section 171(2) of the Clean Air Act
(42 U.S.C. 7501(2)).
[(2) Shortage of candidates.--If the Secretary
receives an insufficient number of applications from
public-use airports located in such areas, then the
Secretary may consider applications from public-use
airports that are not located in such areas.
[(c) Selection Criteria.--In selecting from among applicants
for participation in the pilot program, the Secretary shall
give priority consideration to applicants that will achieve the
greatest air quality benefits measured by the amount of
emissions reduced per dollar of funds expended under the pilot
program.
[(d) United States Government's Share.--Notwithstanding any
other provision of this subchapter, the United States
Government's share of the costs of a project carried out under
the pilot program shall be 50 percent.
[(e) Maximum Amount.--Not more than $2,000,000 may be
expended under the pilot program at any single public-use
airport.
[(f) Technical Assistance.--
[(1) In general.--The sponsor of a public-use airport
carrying out inherently low-emission vehicle activities
under the pilot program may use not more than 10
percent of the amounts made available for expenditure
at the airport in a fiscal year under the pilot program
to receive technical assistance in carrying out such
activities.
[(2) University transportation center.--To the
maximum extent practicable, participants in the pilot
program shall use a university transportation center
(as defined in section 5506 of this title) in the
region of the airport to receive technical assistance
described in paragraph (1).
[(g) Materials Identifying Best Practices.--The Administrator
may develop and make available materials identifying best
practices for carrying out low-emission vehicle activities
based on the projects carried out under the pilot program and
other sources.
[(h) Report to Congress.--Not later than 18 months after the
date of the enactment of this section, the Secretary shall
transmit to the Committee on Transportation and Infrastructure
of the House of Representatives and the Committee on Commerce,
Science, and Transportation of the Senate a report containing--
[(1) an evaluation of the effectiveness of the pilot
program;
[(2) an identification of other public-use airports
that expressed an interest in participating in the
pilot program; and
[(3) a description of the mechanisms used by the
Secretary to ensure that the information and know-how
gained by participants in the pilot program is
transferred among the participants and to other
interested parties, including other public-use
airports.
[(i) Inherently Low-Emission Vehicle Activity Defined.--In
this section, the term ``inherently low-emission vehicle
activity'' means--
[(1) the construction of infrastructure or
modifications at public-use airports to enable the
delivery of fuel and services necessary for the use of
vehicles that are certified as inherently low-emission
vehicles under title 40 of the Code of Federal
Regulations and that--
[(A) operate exclusively on compressed
natural gas, liquefied natural gas, liquefied
petroleum gas, electricity, hydrogen, or a
blend at least 85 percent of which is methanol;
[(B) are labeled in accordance with section
88.312-93(c) of such title; and
[(C) are located or primarily used at public-
use airports;
[(2) the construction of infrastructure or
modifications at public-use airports to enable the
delivery of fuel and services necessary for the use of
nonroad vehicles that--
[(A) operate exclusively on compressed
natural gas, liquefied natural gas, liquefied
petroleum gas, electricity, hydrogen, or a
blend at least 85 percent of which is methanol;
[(B) meet or exceed the standards set forth
in section 86.1708-99 of such title or the
standards set forth in section 89.112(a) of
such title, and are in compliance with the
requirements of section 89.112(b) of such
title; and
[(C) are located or primarily used at public-
use airports;
[(3) the payment of that portion of the cost of
acquiring vehicles described in this subsection that
exceeds the cost of acquiring other vehicles or engines
that would be used for the same purpose; or
[(4) the acquisition of technological capital
equipment to enable the delivery of fuel and services
necessary for the use of vehicles described in
paragraph (1).]
Sec. [47136a.] 47136. Zero-emission airport vehicles and
infrastructure
[(a) In General.--The Secretary of Transportation may
establish a pilot program under which the sponsor of a public-
use airport may use funds made available under section 47117 or
section 48103 for use at such airport to carry out activities
associated with the acquisition and operation of zero-emission
vehicles (as defined in section 88.102-94 of title 40, Code of
Federal Regulations), including the construction or
modification of infrastructure to facilitate the delivery of
fuel and services necessary for the use of such vehicles.
[(b) Location in Air Quality Nonattainment Areas.--
[(1) In general.--A public-use airport may be
eligible for participation in the program only if the
airport is located in a nonattainment area (as defined
in section 171 of the Clean Air Act (42 U.S.C. 7501)).
[(2) Shortage of applicants.--If the Secretary
receives an insufficient number of applications from
public-use airports located in such areas, the
Secretary may permit public-use airports that are not
located in such areas to participate in the program.]
(a) In General.--The Secretary of Transportation may
establish a pilot program under which the sponsors of not less
than 10 public-use airports may use funds made available under
this chapter or section 48103 for use at such airports to carry
out--
(1) activities associated with the acquisition, by
purchase or lease, and operation of zero-emission
vehicles, including removable power sources for such
vehicles; and
(2) the construction or modification of
infrastructure to facilitate the delivery of fuel and
services necessary for the use of such vehicles.
(b) Eligibility.--A public-use airport is eligible for
participation in the program if the vehicles or ground support
equipment are--
(1) used exclusively at the airport; or
(2) used exclusively to transport people or materials
to and from the airport.
(c) Selection Criteria.--In selecting from among applicants
for participation in the program, the Secretary shall give
priority consideration to applicants that will achieve the
greatest air quality benefits measured by the amount of
emissions reduced per dollar of funds expended under the
program.
[(d) Federal Share.--Notwithstanding any other provision of
this subchapter, the Federal share of the costs of a project
carried out under the program shall be 50 percent.
[(e) Technical Assistance.--
[(1) In general.--The sponsor of a public-use airport
carrying out activities funded under the program may
not use more than 10 percent of the amounts made
available under the program in any fiscal year for
technical assistance in carrying out such activities.
[(2) Use of university transportation center.--
Participants in the program may use a university
transportation center receiving grants under section
5506 in the region of the airport to receive the
technical assistance described in paragraph (1).]
(d) Federal Share.--The Federal share of the cost of a
project carried out under the program shall be the Federal
share specified in section 47109.
(e) Technical Assistance.--
(1) In general.--The sponsor of a public-use airport
may use not more than 10 percent of the amounts made
available to the sponsor under the program in any
fiscal year for--
(A) technical assistance; and
(B) project management support to assist the
airport with the solicitation, acquisition, and
deployment of zero-emission vehicles, related
equipment, and supporting infrastructure.
(2) Providers of technical assistance.--To receive
the technical assistance or project management support
described in paragraph (1), participants in the program
may use--
(A) a nonprofit organization selected by the
Secretary; or
(B) a university transportation center
receiving grants under section 5505 in the
region of the airport.
(f) Materials Identifying Best Practices.--The Secretary may
develop and make available materials identifying best practices
for carrying out activities funded under the program based on
projects carried out under [section 47136] the inherently low
emission airport vehicle pilot program and other sources.
(g) Allowable Project Cost.--The allowable project cost for
the acquisition of a zero-emission vehicle shall be the total
cost of purchasing or leasing the vehicle, including the cost
of technical assistance or project management support described
in subsection (e).
(h) Flexible Procurement.--A sponsor of a public-use airport
may use funds made available under the program to acquire, by
purchase or lease, a zero-emission vehicle and a removable
power source in separate transactions, including transactions
by which the airport purchases the vehicle and leases the
removable power source.
(i) Testing Required.--A sponsor of a public-use airport may
not use funds made available under the program to acquire a
zero-emission vehicle unless that make, model, or type of
vehicle has been tested by a Federal vehicle testing facility
acceptable to the Secretary.
(j) Removable Power Source Defined.--In this section, the
term ``removable power source'' means a power source that is
separately installed in, and removable from, a zero-emission
vehicle and may include a battery, a fuel cell, an ultra-
capacitor, or other advanced power source used in a zero-
emission vehicle.
* * * * * * *
[Sec. 47140. Airport ground support equipment emissions retrofit pilot
program
[(a) In General.--The Secretary of Transportation shall carry
out a pilot program at not more than 10 commercial service
airports under which the sponsors of such airports may use an
amount made available under section 48103 to retrofit existing
eligible airport ground support equipment that burns
conventional fuels to achieve lower emissions utilizing
emission control technologies certified or verified by the
Environmental Protection Agency.
[(b) Location in Air Quality Nonattainment or Maintenance
Areas.--A commercial service airport shall be eligible for
participation in the pilot program only if the airport is
located in an air quality nonattainment area (as defined in
section 171(2) of the Clean Air Act (42 U.S.C. 7501(2))) or a
maintenance area referred to in section 175A of such Act (42
U.S.C. 7505a).
[(c) Selection Criteria.--In selecting from among applicants
for participation in the pilot program, the Secretary shall
give priority consideration to applicants that will achieve the
greatest air quality benefits measured by the amount of
emissions reduced per dollar of funds expended under the pilot
program.
[(d) Maximum Amount.--Not more than $500,000 may be expended
under the pilot program at any single commercial service
airport.
[(e) Guidelines.--The Secretary, in consultation with the
Administrator of the Environmental Protection Agency, shall
establish guidelines regarding the types of retrofit projects
eligible under the pilot program by considering remaining
equipment useful life, amounts of emission reduction in
relation to the cost of projects, and other factors necessary
to carry out this section. The Secretary may give priority to
ground support equipment owned by the airport and used for
airport purposes.
[(f) Eligible Equipment Defined.--In this section, the term
``eligible equipment'' means ground service or maintenance
equipment that is located at the airport, is used to support
aeronautical and related activities at the airport, and will
remain in operation at the airport for the life or useful life
of the equipment, whichever is earlier.]
Sec. [47140a.] 47140. Increasing the energy efficiency of airport
power sources
(a) In General.--The Secretary of Transportation shall
establish a program under which the Secretary shall encourage
the sponsor of each public-use airport to assess the airport's
energy requirements, including heating and cooling, base load,
back-up power, and power for on-road airport vehicles and
ground support equipment, in order to identify opportunities to
increase energy efficiency at the airport.
(b) Grants.--
(1) In general.--The Secretary may make grants from
amounts made available under section 48103 to assist
airport sponsors that have completed the assessment
described in subsection (a) to acquire or construct
equipment, including hydrogen equipment and related
infrastructure, that will increase energy efficiency at
the airport.
(2) Application.--To be eligible for a grant under
paragraph (1), the sponsor of a public-use airport
shall submit an application to the Secretary at such
time, in such manner, and containing such information
as the Secretary may require.
Sec. 47141. Compatible land use planning and projects by State and
local governments
(a) In General.--The Secretary of Transportation may make
grants, from amounts set aside under section 47117(e)(1)(A), to
States and units of local government for development and
implementation of land use compatibility plans and
implementation of land use compatibility projects resulting
from those plans for the purposes of making the use of land
areas around large hub airports and medium hub airports
compatible with aircraft operations. The Secretary may make a
grant under this section for a land use compatibility plan or a
project resulting from such plan only if--
(1) the airport operator has not submitted a noise
compatibility program to the Secretary under section
47504 or has not updated such program within the
preceding 10 years; and
(2) the land use plan or project meets the
requirements of this section.
(b) Eligibility.--In order to receive a grant under this
section, a State or unit of local government must--
(1) have the authority to plan and adopt land use
control measures, including zoning, in the planning
area in and around a large or medium hub airport;
(2) enter into an agreement with the airport owner or
operator that the development of the land use
compatibility plan will be done cooperatively; and
(3) provide written assurance to the Secretary that
it will achieve, to the maximum extent possible,
compatible land uses consistent with Federal land use
compatibility criteria under section 47502(3) and that
those compatible land uses will be maintained.
(c) Assurances.--The Secretary shall require a State or unit
of local government to which a grant may be made under this
section for a land use plan or a project resulting from such
plan to provide--
(1) assurances satisfactory to the Secretary that the
plan--
(A) is reasonably consistent with the goal of
reducing existing noncompatible land uses and
preventing the introduction of additional
noncompatible land uses;
(B) addresses ways to achieve and maintain
compatible land uses, including zoning,
building codes, and any other land use
compatibility measures under section
47504(a)(2) that are within the authority of
the State or unit of local government to
implement;
(C) uses noise contours provided by the
airport operator that are consistent with the
airport operation and planning, including any
noise abatement measures adopted by the airport
operator as part of its own noise mitigation
efforts;
(D) does not duplicate, and is not
inconsistent with, the airport operator's noise
compatibility measures for the same area; and
(E) has been approved jointly by the airport
owner or operator and the State or unit of
local government; and
(2) such other assurances as the Secretary determines
to be necessary to carry out this section.
(d) Guidelines.--The Secretary shall establish guidelines to
administer this section in accordance with the purposes and
conditions described in this section. The Secretary may require
a State or unit of local government to which a grant may be
made under this section to provide progress reports and other
information as the Secretary determines to be necessary to
carry out this section.
(e) Eligible Projects.--The Secretary may approve a grant
under this section to a State or unit of local government for a
project resulting from a land use compatibility plan only if
the Secretary is satisfied that the project is consistent with
the guidelines established by the Secretary under this section,
the State or unit of local government has provided the
assurances required by this section, the State or unit of local
government has implemented (or has made provision to implement)
those elements of the plan that are not eligible for Federal
financial assistance, and that the project is not inconsistent
with applicable Federal Aviation Administration standards.
(f) Sunset.--This section shall not be in effect after
[September 30, 2017] September 30, 2023 .
* * * * * * *
SUBCHAPTER III--AVIATION DEVELOPMENT STREAMLINING
Sec. 47171. Expedited, coordinated environmental review process
(a) Aviation Project Review Process.--The Secretary of
Transportation shall develop and implement an expedited and
coordinated environmental review process for airport capacity
enhancement projects at congested airports, aviation safety
projects, and aviation security projects that--
(1) provides for better coordination among the
Federal, regional, State, and local agencies concerned
with the preparation of environmental impact statements
or environmental assessments under the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.);
(2) provides that all environmental reviews,
analyses, opinions, permits, licenses, and approvals
that must be issued or made by a Federal agency or
airport sponsor for such a project will be conducted
concurrently, to the maximum extent practicable; and
(3) provides that any environmental review, analysis,
opinion, permit, license, or approval that must be
issued or made by a Federal agency or airport sponsor
for such a project will be completed within a time
period established by the Secretary, in cooperation
with the agencies identified under subsection (d) with
respect to the project.
(b) Aviation Projects Subject to a Streamlined Environmental
Review Process.--
(1) Airport capacity enhancement projects at
congested airports.--An airport capacity enhancement
project at a congested airport shall be subject to the
coordinated and expedited environmental review process
requirements set forth in this section.
(2) Aviation safety and aviation security projects.--
(A) In general.--The Administrator of the
Federal Aviation Administration may designate
an aviation safety project or aviation security
project for priority environmental review. The
Administrator may not delegate this designation
authority. A designated project shall be
subject to the coordinated and expedited
environmental review process requirements set
forth in this section.
(B) Project designation criteria.--The
Administrator shall establish guidelines for
the designation of an aviation safety project
or aviation security project for priority
environmental review. Such guidelines shall
provide for consideration of--
(i) the importance or urgency of the
project;
(ii) the potential for undertaking
the environmental review under existing
emergency procedures under the National
Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.);
(iii) the need for cooperation and
concurrent reviews by other Federal or
State agencies;
(iv) the prospect for undue delay if
the project is not designated for
priority review; and
(v) for aviation security projects,
the views of the Department of Homeland
Security.
(c) High Priority of and Agency Participation in Coordinated
Reviews.--
(1) High priority for environmental reviews.--Each
Federal agency with jurisdiction over an environmental
review, analysis, opinion, permit, license, or approval
shall accord any such review, analysis, opinion,
permit, license, or approval involving an airport
capacity enhancement project at a congested airport or
a project designated under subsection (b)(2) the
highest possible priority and conduct the review,
analysis, opinion, permit, license, or approval
expeditiously.
(2) Agency participation.--Each Federal agency
described in subsection (d) shall formulate and
implement administrative, policy, and procedural
mechanisms to enable the agency to participate in the
coordinated environmental review process under this
section and to ensure completion of environmental
reviews, analyses, opinions, permits, licenses, and
approvals described in subsection (a) in a timely and
environmentally responsible manner.
(d) Identification of Jurisdictional Agencies.--With respect
to each airport capacity enhancement project at a congested
airport or a project designated under subsection (b)(2), the
Secretary shall identify, as soon as practicable, all Federal
and State agencies that may have jurisdiction over
environmental-related matters that may be affected by the
project or may be required by law to conduct an environmental-
related review or analysis of the project or determine whether
to issue an environmental-related permit, license, or approval
for the project.
(e) State Authority.--Under a coordinated review process
being implemented under this section by the Secretary with
respect to a project at an airport within the boundaries of a
State, the Governor of the State, consistent with State law,
may choose to participate in such process and provide that all
State agencies that have jurisdiction over environmental-
related matters that may be affected by the project or may be
required by law to conduct an environmental-related review or
analysis of the project or determine whether to issue an
environmental- related permit, license, or approval for the
project, be subject to the process.
(f) Memorandum of Understanding.--The coordinated review
process developed under this section may be incorporated into a
memorandum of understanding for a project between the Secretary
and the heads of other Federal and State agencies identified
under subsection (d) with respect to the project and, if
applicable, the airport sponsor.
(g) Use of Interagency Environmental Impact Statement
Teams.--
(1) In general.--The Secretary may utilize an
interagency environmental impact statement team to
expedite and coordinate the coordinated environmental
review process for a project under this section. When
utilizing an interagency environmental impact statement
team, the Secretary shall invite Federal, State and
Tribal agencies with jurisdiction by law, and may
invite such agencies with special expertise, to
participate on an interagency environmental impact
statement team.
(2) Responsibility of interagency environmental
impact statement team.--Under a coordinated
environmental review process being implemented under
this section, the interagency environmental impact
statement team shall assist the Federal Aviation
Administration in the preparation of the environmental
impact statement. To facilitate timely and efficient
environmental review, the team shall agree on agency or
Tribal points of contact, protocols for communication
among agencies, and deadlines for necessary actions by
each individual agency (including the review of
environmental analyses, the conduct of required
consultation and coordination, and the issuance of
environmental opinions, licenses, permits, and
approvals). The members of the team may formalize their
agreement in a written memorandum.
(h) Lead Agency Responsibility.--The Federal Aviation
Administration shall be the lead agency for projects designated
under subsection (b)(2) and airport capacity enhancement
projects at congested airports and shall be responsible for
defining the scope and content of the environmental impact
statement, consistent with regulations issued by the Council on
Environmental Quality. Any other Federal agency or State agency
that is participating in a coordinated environmental review
process under this section shall give substantial deference, to
the extent consistent with applicable law and policy, to the
aviation expertise of the Federal Aviation Administration.
(i) Effect of Failure To Meet Deadline.--
(1) Notification of Congress and CEQ.--If the
Secretary determines that a Federal agency, State
agency, or airport sponsor that is participating in a
coordinated review process under this section with
respect to a project has not met a deadline established
under subsection (a)(3) for the project, the Secretary
shall notify, within 30 days of the date of such
determination, the Committee on Commerce, Science, and
Transportation of the Senate, the Committee on
Transportation and Infrastructure of the House of
Representatives, the Council on Environmental Quality,
and the agency or sponsor involved about the failure to
meet the deadline.
(2) Agency report.--Not later than 30 days after date
of receipt of a notice under paragraph (1), the agency
or sponsor involved shall submit a report to the
Secretary, the Committee on Transportation and
Infrastructure of the House of Representatives, the
Committee on Commerce, Science, and Transportation of
the Senate, and the Council on Environmental Quality
explaining why the agency or sponsor did not meet the
deadline and what actions it intends to take to
complete or issue the required review, analysis,
opinion, permit, license, or approval.
(j) Purpose and Need.--For any environmental review,
analysis, opinion, permit, license, or approval that must be
issued or made by a Federal or State agency that is
participating in a coordinated review process under this
section and that requires an analysis of purpose and need for
the project, the agency, notwithstanding any other provision of
law, shall be bound by the project purpose and need as defined
by the Secretary.
(k) Alternatives Analysis.--The Secretary shall determine the
reasonable alternatives to an airport capacity enhancement
project at a congested airport or a project designated under
subsection (b)(2). Any other Federal agency, or State agency
that is participating in a coordinated review process under
this section with respect to the project shall consider only
those alternatives to the project that the Secretary has
determined are reasonable.
(l) Solicitation and Consideration of Comments.--In applying
subsections (j) and (k), the Secretary shall solicit and
consider comments from interested persons and governmental
entities in accordance with the National Environmental Policy
Act of 1969 (42 U.S.C. [4371] 4321 et seq.).
(m) Monitoring by Task Force.--The Transportation
Infrastructure Streamlining Task Force, established by
Executive Order 13274 (67 Fed. Reg. 59449; relating to
environmental stewardship and transportation infrastructure
project reviews), may monitor airport projects that are subject
to the coordinated review process under this section.
* * * * * * *
CHAPTER 475--NOISE
* * * * * * *
SUBCHAPTER I--NOISE ABATEMENT
* * * * * * *
Sec. 47503. Noise exposure maps
(a) Submission and Preparation.--An airport operator may
submit to the Secretary of Transportation a noise exposure map
showing the noncompatible uses in each area of the map on the
date the map is submitted, a description of estimated aircraft
operations during a forecast period that is at least 5 years in
the future and how those operations will affect the map. The
map shall--
(1) be prepared in consultation with public agencies
and planning authorities in the area surrounding the
airport; and
(2) comply with regulations prescribed under section
47502 of this title.
[(b) Revised Maps.--If, in an area surrounding an airport, a
change in the operation of the airport would establish a
substantial new noncompatible use, or would significantly
reduce noise over existing noncompatible uses, that is not
reflected in either the existing conditions map or forecast map
currently on file with the Federal Aviation Administration, the
airport operator shall submit a revised noise exposure map to
the Secretary showing the new noncompatible use or noise
reduction.]
(b) Revised Maps.--
(1) In general.--An airport operator that submitted a
noise exposure map under subsection (a) shall submit a
revised map to the Secretary if, in an area surrounding
an airport, a change in the operation of the airport
would establish a substantial new noncompatible use, or
would significantly reduce noise over existing
noncompatible uses, that is not reflected in either the
existing conditions map or forecast map currently on
file with the Federal Aviation Administration.
(2) Timing.--A submission under paragraph (1) shall
be required only if the relevant change in the
operation of the airport occurs during--
(A) the forecast period of the applicable
noise exposure map submitted by an airport
operator under subsection (a); or
(B) the implementation period of the airport
operator's noise compatibility program.
Sec. 47504. Noise compatibility programs
(a) Submissions.--(1) An airport operator that submitted a
noise exposure map and related information under section
47503(a) of this title may submit a noise compatibility program
to the Secretary of Transportation after--
(A) consulting with public agencies and planning
authorities in the area surrounding the airport, United
States Government officials having local responsibility
for the airport, and air carriers using the airport;
and
(B) notice and an opportunity for a public hearing.
(2) A program submitted under paragraph (1) of this
subsection shall state the measures the operator has taken or
proposes to take to reduce existing noncompatible uses and
prevent introducing additional noncompatible uses in the area
covered by the map. The measures may include--
(A) establishing a preferential runway system;
(B) restricting the use of the airport by a type or
class of aircraft because of the noise characteristics
of the aircraft;
(C) constructing barriers and acoustical shielding
and soundproofing public buildings;
(D) using flight procedures to control the operation
of aircraft to reduce exposure of individuals to noise
in the area surrounding the airport; and
(E) acquiring land, air rights, easements,
development rights, and other interests to ensure that
the property will be used in ways compatible with
airport operations.
(b) Approvals.--(1) The Secretary shall approve or disapprove
a program submitted under subsection (a) of this section
(except as the program is related to flight procedures referred
to in subsection (a)(2)(D) of this section) not later than 180
days after receiving it. The Secretary shall approve the
program (except as the program is related to flight procedures
referred to in subsection (a)(2)(D)) if the program--
(A) does not place an unreasonable burden on
interstate or foreign commerce;
(B) is reasonably consistent with achieving the goal
of reducing noncompatible uses and preventing the
introduction of additional noncompatible uses; and
(C) provides for necessary revisions because of a
revised map submitted under section 47503(b) of this
title.
(2) A program (except as the program is related to flight
procedures referred to in subsection (a)(2)(D) of this section)
is deemed to be approved if the Secretary does not act within
the 180-day period.
(3) The Secretary shall submit any part of a program related
to flight procedures referred to in subsection (a)(2)(D) of
this section to the Administrator of the Federal Aviation
Administration. The Administrator shall approve or disapprove
that part of the program.
(4) The Secretary shall not approve in fiscal years 2004
through 2007 a program submitted under subsection (a) if the
program requires the expenditure of funds made available under
section 48103 for mitigation of aircraft noise less than 65
DNL.
(c) Grants.--(1) The Secretary may incur obligations to make
grants from amounts available under section 48103 of this title
to carry out a project under a part of a noise compatibility
program approved under subsection (b) of this section. A grant
may be made to--
(A) an airport operator submitting the program; and
(B) a unit of local government in the area
surrounding the airport, if the Secretary decides the
unit is able to carry out the project.
(2) Soundproofing and acquisition of certain residential
buildings and properties.--The Secretary may incur obligations
to make grants from amounts made available under section 48103
of this title--
(A) for projects to soundproof residential
buildings--
(i) if the airport operator received approval
for a grant for a project to soundproof
residential buildings pursuant to section
301(d)(4)(B) of the Airport and Airway Safety
and Capacity Expansion Act of 1987;
(ii) if the airport operator submits updated
noise exposure contours, as required by the
Secretary; and
(iii) if the Secretary determines that the
proposed projects are compatible with the
purposes of this chapter;
(B) to an airport operator and unit of local
government referred to in paragraph (1)(A) or (1)(B) of
this subsection to soundproof residential buildings
located on residential properties, and to acquire
residential properties, at which noise levels are not
compatible with normal operations of an airport--
(i) if the airport operator amended an
existing local aircraft noise regulation during
calendar year 1993 to increase the maximum
permitted noise levels for scheduled air
carrier aircraft as a direct result of
implementation of revised aircraft noise
departure procedures mandated for aircraft
safety purposes by the Administrator of the
Federal Aviation Administration for
standardized application at airports served by
scheduled air carriers;
(ii) if the airport operator submits updated
noise exposure contours, as required by the
Secretary; and
(iii) if the Secretary determines that the
proposed projects are compatible with the
purposes of this chapter;
(C) to an airport operator and unit of local
government referred to in paragraph (1)(A) or (1)(B) of
this subsection to carry out any part of a program
developed before February 18, 1980, or before
implementing regulations were prescribed, if the
Secretary decides the program is substantially
consistent with reducing existing noncompatible uses
and preventing the introduction of additional
noncompatible uses and the purposes of this chapter
will be furthered by promptly carrying out the program;
(D) to an airport operator and unit of local
government referred to in paragraph (1)(A) or (1)(B) of
this subsection to soundproof a building in the noise
impact area surrounding the airport that is used
primarily for educational or medical purposes and that
the Secretary decides is adversely affected by airport
noise; [and]
(E) to an airport operator of a congested airport (as
defined in section 47175) and a unit of local
government referred to in paragraph (1)(B) of this
subsection to carry out a project to mitigate noise in
the area surrounding the airport if the project is
included as a commitment in a record of decision of the
Federal Aviation Administration for an airport capacity
enhancement project (as defined in section 47175) even
if that airport has not met the requirements of part
150 of title 14, Code of Federal Regulations[.]; and
(F) to an airport operator of a congested airport (as
defined in section 47175) and a unit of local
government referred to in paragraph (1)(B) to carry out
a project to mitigate noise, if the project--
(i) consists of--
(I) replacement windows, doors, and
the installation of through-the-wall
air-conditioning units; or
(II) a contribution of the equivalent
costs to be used for reconstruction, if
reconstruction is the preferred local
solution;
(ii) is located at a school near the airport;
and
(iii) is included in a memorandum of
agreement entered into before September 30,
2002, even if the airport has not met the
requirements of part 150 of title 14, Code of
Federal Regulations, and only if the financial
limitations of the memorandum are applied.
(3) An airport operator may agree to make a grant made under
paragraph (1)(A) of this subsection available to a public
agency in the area surrounding the airport if the Secretary
decides the agency is able to carry out the project.
(4) The Government's share of a project for which a grant is
made under this subsection is the greater of--
(A) 80 percent of the cost of the project; or
(B) the Government's share that would apply if the
amounts available for the project were made available
under subchapter I of chapter 471 of this title for a
project at the airport.
(5) The provisions of subchapter I of chapter 471 of this
title related to grants apply to a grant made under this
chapter, except--
(A) section 47109(a) and (b) of this title; and
(B) any provision that the Secretary decides is
inconsistent with, or unnecessary to carry out, this
chapter.
(6) Aircraft noise primarily caused by military aircraft.--
The Secretary may make a grant under this subsection for a
project even if the purpose of the project is to mitigate the
effect of noise primarily caused by military aircraft at an
airport.
(d) Government Relief From Liability.--The Government is not
liable for damages from aviation noise because of action taken
under this section.
(e) Grants for Assessment of Flight Procedures.--
(1) In general.--In accordance with subsection
(c)(1), the Secretary may make a grant to an airport
operator to assist in completing environmental review
and assessment activities for proposals to implement
flight procedures at such airport that have been
approved as part of an airport noise compatibility
program under subsection (b).
(2) Additional staff.--The Administrator may accept
funds from an airport operator, including funds
provided to the operator under paragraph (1), to hire
additional staff or obtain the services of consultants
in order to facilitate the timely processing, review,
and completion of environmental activities associated
with proposals to implement flight procedures at such
airport that have been approved as part of an airport
noise compatibility program under subsection (b).
(3) Receipts credited as offsetting collections.--
Notwithstanding section 3302 of title 31, any funds
accepted under this section--
(A) shall be credited as offsetting
collections to the account that finances the
activities and services for which the funds are
accepted;
(B) shall be available for expenditure only
to pay the costs of activities and services for
which the funds are accepted; and
(C) shall remain available until expended.
(f) Determination of Fair Market Value of Residential
Properties.--In approving a project to acquire residential real
property using financial assistance made available under this
section or chapter 471, the Secretary shall ensure that the
appraisal of the property to be acquired disregards any
decrease or increase in the fair market value of the real
property caused by the project for which the property is to be
acquired, or by the likelihood that the property would be
acquired for the project, other than that due to physical
deterioration within the reasonable control of the owner.
* * * * * * *
PART C--FINANCING
* * * * * * *
CHAPTER 481--AIRPORT AND AIRWAY TRUST FUND AUTHORIZATIONS
Sec.
48101. Air navigation facilities and equipment.
48101a. Other facilities and equipment.
* * * * * * *
[48112. Adjustment to AIP program funding.]
* * * * * * *
Sec. 48101. Air navigation facilities and equipment
(a) General Authorization of Appropriations.--Not more than a
total of the following amounts may be appropriated to the
Secretary of Transportation out of the Airport and Airway Trust
Fund established under section 9502 of the Internal Revenue
Code of 1986 (26 U.S.C. 9502) to acquire, establish, and
improve air navigation facilities under section 44502(a)(1)(A)
of this title:
[(1) $2,731,000,000 for fiscal year 2012.
[(2) $2,715,000,000 for fiscal year 2013.
[(3) $2,730,000,000 for fiscal year 2014.
[(4) $2,730,000,000 for fiscal year 2015.
[(5) $2,855,000,000 for each of fiscal years 2016 and
2017.]
(1) $2,920,000,000 for fiscal year 2018.
(2) $2,984,000,000 for fiscal year 2019.
(3) $3,049,000,000 for fiscal year 2020.
(b) Availability of Amounts.--Amounts appropriated under this
section remain available until expended.
(c) Automated Surface Observation System/Automated Weather
Observing System Upgrade.--Of the amounts appropriated under
subsection (a), such sums as may be necessary may be used for
the implementation and use of upgrades to the current automated
surface observation system/automated weather observing system,
if the upgrade is successfully demonstrated.
(d) Life-Cycle Cost Estimates.--The Administrator of the
Federal Aviation Administration shall establish life-cycle cost
estimates for any air traffic control modernization project,
carried out using amounts appropriated under subsection (a),
the total life-cycle costs of which equal or exceed
$50,000,000.
Sec. 48101a. Other facilities and equipment
There is authorized to be appropriated to the Secretary of
Transportation to acquire, establish, and improve facilities
and equipment (other than facilities and equipment relating to
air traffic services)--
(1) $189,000,000 for fiscal year 2021;
(2) $193,000,000 for fiscal year 2022; and
(3) $198,000,000 for fiscal year 2023.
* * * * * * *
Sec. 48103. Airport planning and development and noise compatibility
planning and programs
(a) In General.--There shall be available to the Secretary of
Transportation out of the Airport and Airway Trust Fund
established under section 9502 of the Internal Revenue Code of
1986 to make grants for airport planning and airport
development under section 47104, airport noise compatibility
planning under section 47505(a)(2), and carrying out noise
compatibility programs under [section 47504(c) $3,350,000,000
for each of fiscal years 2012 through 2017.] section 47504(c)--
(1) $3,597,000,000 for fiscal year 2018;
(2) $3,666,000,000 for fiscal year 2019;
(3) $3,746,000,000 for fiscal year 2020;
(4) $3,829,000,000 for fiscal year 2021;
(5) $3,912,000,000 for fiscal year 2022; and
(6) $3,998,000,000 for fiscal year 2023.
(b) Availability of Amounts.--Amounts made available under
subsection (a) shall remain available until expended.
* * * * * * *
Sec. 48109. Submission of budget information and legislative
recommendations and comments
When the Administrator of the Federal Aviation Administration
submits to the Secretary of Transportation, the President, or
the Director of the Office of Management and Budget any budget
information, legislative recommendation, or comment on
legislation about amounts authorized in section 48101, 48101a,
or 48102 of this title, the Administrator concurrently shall
submit a copy of the information, recommendation, or comment to
the Speaker of the House of Representatives, the Committees on
Transportation and Infrastructure and Appropriations of the
House, the President of the Senate, and the Committees on
Commerce, Science, and Transportation and Appropriations of the
Senate.
* * * * * * *
[Sec. 48112. Adjustment to AIP program funding
[On the effective date of a general appropriations Act
providing appropriations for a fiscal year beginning after
September 30, 2000, for the Federal Aviation Administration,
the amount made available for a fiscal year under section 48103
shall be increased by the amount, if any, by which--
[(1) the amount authorized to be appropriated under
section 48101 for such fiscal year; exceeds
[(2) the amounts appropriated for programs funded
under such section for such fiscal year.
Any contract authority made available by this section shall be
subject to an obligation limitation.]
Sec. 48113. Reprogramming notification requirement
Before reprogramming any amounts appropriated under section
106(k), 48101(a), 48101a, or 48103, for which notification of
the Committees on Appropriations of the Senate and the House of
Representatives is required, the Secretary of Transportation
shall transmit a written explanation of the proposed
reprogramming to the Committee on Commerce, Science, and
Transportation of the Senate and the Committee on
Transportation and Infrastructure of the House of
Representatives.
Sec. 48114. Funding for aviation programs
(a) Authorization of Appropriations.--
(1) Airport and Airway Trust Fund guarantee.--
(A) In general.--The total budget resources
made available from the Airport and Airway
Trust Fund each fiscal year pursuant to
sections 48101, 48102, 48103, and 106(k)
shall--
(i) in fiscal year 2013, be equal to
90 percent of the estimated level of
receipts plus interest credited to the
Airport and Airway Trust Fund for that
fiscal year; and
(ii) [in fiscal year 2014 and each
fiscal year thereafter] in fiscal years
2014 through 2017 , be equal to the sum
of--
(I) 90 percent of the
estimated level of receipts
plus interest credited to the
Airport and Airway Trust Fund
for that fiscal year; and
(II) the actual level of
receipts plus interest credited
to the Airport and Airway Trust
Fund for the second preceding
fiscal year minus the total
amount made available for
obligation from the Airport and
Airway Trust Fund for the
second preceding fiscal year.
Such amounts may be used only for the aviation
investment programs listed in subsection
(b)(1).
(B) Guarantee.--No funds may be appropriated
or limited for aviation investment programs
listed in subsection (b)(1) unless the amount
described in subparagraph (A) has been
provided.
(2) Additional authorizations of appropriations from
the general fund.--In any fiscal year through fiscal
year 2017, if the amount described in paragraph (1) is
appropriated, there is further authorized to be
appropriated from the general fund of the Treasury such
sums as may be necessary for the Federal Aviation
Administration Operations account.
(b) Definitions.--In this section, the following definitions
apply:
(1) Total budget resources.--The term ``total budget
resources'' means the total amount made available from
the Airport and Airway Trust Fund for the sum of
obligation limitations and budget authority made
available for a fiscal year for the following budget
accounts that are subject to the obligation limitation
on contract authority provided in this title and for
which appropriations are provided pursuant to
authorizations contained in this title:
(A) 69-8106-0-7-402 (Grants in Aid for
Airports).
(B) 69-8107-0-7-402 (Facilities and
Equipment).
(C) 69-8108-0-7-402 (Research and
Development).
(D) 69-8104-0-7-402 (Trust Fund Share of
Operations).
(2) Estimated level of receipts plus interest.--The
term ``estimated level of receipts plus interest''
means the level of excise taxes and interest credited
to the Airport and Airway Trust Fund under section 9502
of the Internal Revenue Code of 1986 for a fiscal year
as set forth in the President's budget baseline
projection as defined in section 257 of the Balanced
Budget and Emergency Deficit Control Act of 1985
(Public Law 99-177) (Treasury identification code 20-
8103-0-7-402) for that fiscal year submitted pursuant
to section 1105 of title 31, United States Code.
(c) Enforcement of Guarantees.--
(1) Total Airport and Airway Trust Fund funding.--It
shall not be in order in the House of Representatives
or the Senate to consider any bill, joint resolution,
amendment, motion, or conference report that would
cause total budget resources in a fiscal year for
aviation investment programs described in subsection
(b) to be less than the amount required by subsection
(a)(1)(A) for such fiscal year.
(2) Capital priority.--It shall not be in order in
the House of Representatives or the Senate to consider
any bill, joint resolution, amendment, motion, or
conference report that provides an appropriation (or
any amendment thereto) for any fiscal year through
fiscal year 2017 for Research and Development or
Operations if the sum of the obligation limitation for
Grants-in-Aid for Airports and the appropriation for
Facilities and Equipment for such fiscal year is below
the sum of the authorized levels for Grants-in-Aid for
Airports and for Facilities and Equipment for such
fiscal year.
* * * * * * *
Subtitle XI--American Air Navigation Services Corporation
Chapter Sec.
General Provisions...........................................90101
Establishment of Air Traffic Services Provider; Transfer of Air 3.
Traffic Services...........................................90301
Regulation of Air Traffic Services Provider..................90501
General Rights of Access to Airspace, Airports, and Air Traffic 7.
Services Vital for Ensuring Safe Operations for All Users..90701
Continuity of Air Traffic Services to Department of Defense and 9.
Other Public Agencies......................................90901
Employee Management..........................................91101
Other Matters................................................91301
Congressional Oversight of Air Traffic Services Provider.....91501
CHAPTER 901--GENERAL PROVISIONS
Sec.
90101. Definitions.
Sec. 90101. Definitions
(a) In General.--In this subtitle, the following definitions
apply:
(1) Administrator.--The term ``Administrator'' means
the Administrator of the FAA.
(2) Air traffic services.--The term ``air traffic
services'' means services--
(A) used for the monitoring, directing,
control, and guidance of aircraft or flows of
aircraft and for the safe conduct of flight,
including communications, navigation, and
surveillance services and provision of
aeronautical information; and
(B) provided directly, or contracted for, by
the FAA before the date of transfer.
(3) Air traffic services user.--The term ``air
traffic services user'' means any individual or entity
using air traffic services provided by the Corporation
within United States airspace or international airspace
delegated to the United States.
(4) Board.--The term ``Board'' means the Board of
Directors of the Corporation.
(5) CEO.--The term ``CEO'' means the Chief Executive
Officer of the Corporation.
(6) Charge; fee.--The terms ``charge'' and ``fee''
mean any rate, charge, fee, or other service charge for
the use of air traffic services.
(7) Corporation.--The term ``Corporation'' means the
American Air Navigation Services Corporation
established under this subtitle.
(8) Date of transfer.--The term ``date of transfer''
means the date on which the Corporation assumes
operational control of air traffic services from the
FAA pursuant to this subtitle, which shall be October
1, 2020.
(9) Director.--The term ``Director'' means a Director
of the Board.
(10) FAA.--The term ``FAA'' means the Federal
Aviation Administration.
(11) Interim ceo.--The term ``Interim CEO'' means the
Interim Chief Executive Officer of the Corporation.
(12) Regional air carrier.--The term ``regional air
carrier'' means an air carrier operating under part 121
of title 14, Code of Federal Regulations, that--
(A) exclusively or primarily operates
aircraft with a seating capacity of 76 seats or
fewer; and
(B) is not majority owned or controlled by
any other air carrier or air carrier holding
company.
(13) Secretary.--The term ``Secretary'' means the
Secretary of Transportation.
(b) Applicability of Other Definitions.--Except with respect
to the terms specifically defined in this subtitle, the
definitions contained in section 40102(a) shall apply to the
terms used in this subtitle.
CHAPTER 903--ESTABLISHMENT OF AIR TRAFFIC SERVICES PROVIDER; TRANSFER
OF AIR TRAFFIC SERVICES
Sec.
90301. Establishment of Corporation.
90302. Transfer of air traffic services.
90303. Role of Secretary in transferring air traffic services to
Corporation.
90304. Status and applicable laws.
90305. Nomination Panels for Board.
90306. Board of Directors.
90307. Fiduciary duties and qualifications of Directors.
90308. Bylaws and duties.
90309. Committees of Board; independent auditors.
90310. Advisory Board.
90311. Officers and their responsibilities.
90312. Authority of Corporation.
90313. Charges and fees for air traffic services.
90314. Preemption of authority over air traffic services.
90315. Actions by and against Corporation.
90316. Transfer of Federal personnel to Corporation.
90317. Transfer of facilities to Corporation.
90318. Approval of transferred air navigation facilities and other
equipment.
90319. Use of spectrum systems and data.
90320. Transition plan.
Sec. 90301. Establishment of Corporation
(a) Federal Charter.--There is established a federally
chartered, not-for-profit corporation to be known as the
``American Air Navigation Services Corporation'', which shall
be incorporated in a State of its choosing.
(b) Corporation Name.--
(1) In general.--The Corporation may conduct its
business and affairs, and otherwise hold itself out, as
the ``American Air Navigation Services Corporation'' in
any jurisdiction.
(2) Exclusive right.--The Corporation shall have the
exclusive right to use the name ``American Air
Navigation Services Corporation''.
(3) Alternative name.--The Corporation may do
business under a name other than the ``American Air
Navigation Services Corporation'' at its choosing.
Sec. 90302. Transfer of air traffic services
(a) In General.--The Secretary shall transfer operational
control over air traffic services within United States airspace
and international airspace delegated to the United States to
the Corporation on the date of transfer in a systematic and
orderly manner that ensures continuity of safe air traffic
services.
(b) Management and Operation of Air Traffic Services.--
Subject to section 90501, including the performance-based
regulations and minimum safety standards prescribed under that
section, the Corporation may establish and carry out plans for
the management and operation of air traffic services within
United States airspace and international airspace delegated to
the United States.
(c) Entities Authorized To Provide Air Traffic Services After
Date of Transfer.--After the date of transfer, no entity, other
than the Corporation, is authorized or permitted to provide air
traffic services within United States airspace or international
airspace delegated to the United States, except for--
(1) the Department of Defense, as authorized by
chapter 909;
(2) entities to which the United States has delegated
certain air traffic services responsibilities;
(3) entities with which the Corporation has
contracted for the provision of air traffic services;
and
(4) entities authorized to operate an unmanned
aircraft traffic management system or service pursuant
to section 45506 or 45507.
Sec. 90303. Role of Secretary in transferring air traffic services to
Corporation
(a) In General.--As appropriate, and except as otherwise
provided, the Secretary shall manage and execute the transfer
of operational control over air traffic services pursuant to
section 90302(a) and any related transition processes and
procedures.
(b) Nondelegation.--Except as otherwise provided, the
Secretary may not delegate any of the authority or requirements
under this subtitle to the Administrator.
Sec. 90304. Status and applicable laws
(a) Non-federal Entity.--The Corporation is not a department,
agency, or instrumentality of the United States Government, and
is not subject to title 31.
(b) Liability.--The United States Government shall not be
liable for the actions or inactions of the Corporation.
(c) Not-for-profit Corporation.--The Corporation shall
maintain its status as a not-for-profit corporation exempt from
taxation under the Internal Revenue Code of 1986.
(d) No Federal Guarantee.--Any debt assumed by the
Corporation shall not have an implied or explicit Federal
guarantee.
Sec. 90305. Nomination Panels for Board
(a) In General.--The Nomination Panels described in
subsection (b) shall be responsible for nominating individuals
to serve as Directors pursuant to section 90306.
(b) Nomination Panels.--The Nomination Panels shall be as
follows:
(1) Passenger air carrier nomination panel.--A
Passenger Air Carrier Nomination Panel composed of
passenger air carrier representatives, with each air
carrier with more than 30,000,000 annual passenger
enplanements designating 1 representative to the Panel.
(2) Cargo air carrier nomination panel.--A Cargo Air
Carrier Nomination Panel composed of cargo air carrier
representatives, with each all-cargo air carrier with
more than 1,000,000 total annual enplaned cargo revenue
tons designating 1 representative to the Panel.
(3) Regional air carrier nomination panel.--A
Regional Air Carrier Nomination Panel composed of
regional air carrier representatives, with each of the
3 largest regional air carriers, as measured by annual
passenger enplanements, designating 1 representative to
the Panel.
(4) General aviation nomination panel.--A General
Aviation Nomination Panel composed of 6 representatives
designated by the principal organization representing
noncommercial owners and recreational operators of
general aviation aircraft.
(5) Business aviation nomination panel.--A Business
Aviation Nomination Panel composed of--
(A) 2 representatives designated by the
principal organization representing owners,
operators, and users of general aviation
aircraft used exclusively in furtherance of
business enterprises;
(B) 2 representatives designated by the
principal organization representing aviation-
related businesses, including fixed-base
operators; and
(C) 2 representatives designated by the
principal organization representing aerospace
manufacturers of general aviation aircraft and
equipment.
(6) Air traffic controller nomination panel.--An Air
Traffic Controller Nomination Panel composed of 6
representatives designated by the largest organization
engaged in collective bargaining on behalf of air
traffic controllers employed by the Corporation.
(7) Airport nomination panel.--An Airport Nomination
Panel composed of--
(A) 3 representatives designated by the
principal organization representing commercial
service airports; and
(B) 3 representatives designated by the
principal organization representing airport
executives.
(8) commercial pilot nomination panel.--A Commercial
Pilot Nomination Panel composed of commercial pilot
representatives, with each organization engaged in
collective bargaining on behalf of air carrier pilots
with more than 5,000 members designating 1 member to
the Panel.
(c) Determination of Entities.--
(1) Before date of transfer.--Before the date of
transfer, and not later than 30 days after the date of
enactment of this subtitle, the Secretary shall
determine the entities referred to in subsection (b).
(2) After date of transfer.--On and after the date of
transfer, the Board shall determine the entities
referred to in subsection (b), in accordance with the
bylaws of the Corporation.
(3) Statistics.--In determining annual statistics for
purposes of this subsection, the Secretary and the
Board shall utilize data published by the Department of
Transportation for the most recent calendar year.
(4) Limitations.--
(A) Single designation.--No entity determined
under this subsection may designate a
representative to more than 1 Nomination Panel.
(B) Carriers owned or controlled by same
holding company.--If 2 or more air carriers
determined under this subsection are owned or
controlled by the same holding company, only 1
of those air carriers may designate a
representative to a Nomination Panel.
(d) Terms.--An individual on a Nomination Panel shall serve
at the pleasure of the entity that the individual is
representing.
(e) Qualifications.--Only an individual who is a citizen of
the United States may be designated to a Nomination Panel.
(f) Prohibitions.--An individual may not serve on a
Nomination Panel if the individual is--
(1) an officer or employee of the Corporation;
(2) a Member of Congress or an elected official
serving in a State, local, or Tribal government; or
(3) an officer or employee of the Federal Government
or any State, local, or Tribal government.
(g) Largest Organization Engaged in Collective Bargaining on
Behalf of Air Traffic Controllers Employed by the Corporation
Defined.--Before the date of transfer, in this section, the
term ``largest organization engaged in collective bargaining on
behalf of air traffic controllers employed by the Corporation''
means the largest organization engaged in collective bargaining
on behalf of air traffic controllers employed by the FAA.
Sec. 90306. Board of Directors
(a) Authority.--The powers of the Corporation shall be vested
in a Board of Directors that governs the Corporation.
(b) Composition of Board.--The Board shall be composed of the
following Directors:
(1) The CEO.
(2) 2 Directors appointed by the Secretary.
(3) 1 Director nominated by the Passenger Air Carrier
Nomination Panel.
(4) 1 Director nominated by the Cargo Air Carrier
Nomination Panel.
(5) 1 Director nominated by the Regional Air Carrier
Nomination Panel.
(6) 1 Director nominated by the General Aviation
Nomination Panel.
(7) 1 Director nominated by the Business Aviation
Nomination Panel.
(8) 1 Director nominated by the Air Traffic
Controller Nomination Panel.
(9) 1 Director nominated by the Airport Nomination
Panel.
(10) 1 Director nominated by the Commercial Pilot
Nomination Panel.
(11) 2 Directors nominated and selected by the other
Directors.
(c) Nominations and Appointments.--
(1) Prior to date of transfer.--
(A) Submission of nomination lists.--Before
the date of transfer, and not later than 60
days after the date of enactment of this
subtitle, each Nomination Panel shall submit to
the Secretary a list, chosen by consensus, of 4
individuals nominated to be Directors.
(B) Appointment and selection.--Not later
than 30 days after the date on which the last
nomination list is submitted under subparagraph
(A), the Secretary shall--
(i) appoint 2 individuals to be
Directors under subsection (b)(2); and
(ii) select, pursuant to subsection
(b), the appropriate number of
individuals to be Directors from each
nomination list.
(C) Resubmission.--A Nomination Panel shall
resubmit a list submitted under subparagraph
(A), not later than 15 days after notification
by the Secretary of the need to resubmit the
list, if the Secretary determines that an
individual on the list is--
(i) not qualified to serve as a
Director under section 90307; or
(ii) otherwise not fit to serve as a
Director.
(D) At-large directors.--Not later than 30
days after the Secretary appoints and selects
the Directors pursuant to subparagraph (B), the
Board shall nominate and select the additional
Directors under subsection (b)(11) by a two-
thirds vote.
(2) After date of transfer.--
(A) Nomination.--As appropriate, a Nomination
Panel shall submit to the Board a list, chosen
by consensus, of 4 individuals nominated to be
Directors.
(B) Selection.--The Board shall select,
pursuant to subsection (b), the appropriate
number of individuals to be Directors from a
list submitted by a Nomination Panel.
(C) Resubmission.--A Nomination Panel shall
resubmit a list submitted under subparagraph
(A), not later than 15 days after notification
by the Board of the need to resubmit the list,
if the Board determines that more than 1
individual on the list is--
(i) not qualified to serve as a
Director under section 90307; or
(ii) otherwise not fit to serve as a
Director.
(D) At-large directors.--The Board shall
nominate and select Directors under subsection
(b)(11) in accordance with the bylaws of the
Corporation.
(E) Appointed directors.--None of the
Directors appointed by the Secretary under
subsection (b)(2) shall be subject to approval
by the Board.
(d) Chairperson.--The Chairperson of the Board shall--
(1) be selected from among the Directors (other than
the CEO) by a majority vote of the Directors; and
(2) subject to subsection (e), serve until replaced
by a majority vote of the Directors.
(e) Terms.--
(1) Initial terms.--The term of each Director
appointed, or nominated and selected, before the date
of transfer (other than the CEO) shall expire on the
date that is 2 years after the date of transfer.
(2) Subsequent terms.--The term of each Director
appointed, or nominated and selected, on or after the
date of transfer (other than the CEO) shall be 4 years,
except as provided by paragraph (3).
(3) Staggering.--The Board shall stagger the duration
of the terms of the initial Directors appointed, or
nominated and selected, after the date of transfer to
promote the stability of the Board.
(4) Term limit.--Except as provided by subsection
(f)(3), a Director may not serve on the Board for more
than 8 years.
(f) Vacancies.--
(1) Before date of transfer.--Before the date of
transfer, a vacancy on the Board shall be filled in the
manner in which the original appointment or selection
was made.
(2) After date of transfer.--After the date of
transfer, a vacancy on the Board shall be filled in the
manner in which the original appointment was made (in
the case of Directors appointed under subsection
(b)(2)) or in the manner described under subsection
(c)(2) (in the case of Directors nominated by
Nomination Panels or the Board).
(3) Service until successor takes office.--A Director
may serve after the expiration of the Director's term
until a successor has been appointed or nominated and
selected.
(g) Meetings and Quorum.--
(1) Meetings.--
(A) In general.--The Board shall meet at the
call of the Chairperson (or as otherwise
provided in the bylaws) and, at a minimum, on a
quarterly basis.
(B) Initial meeting.--Not later than 90 days
after the date of enactment of this subtitle,
the Board shall hold its initial meeting.
(C) In-person meeting.--At least 1 meeting of
the Board each year shall be conducted in
person.
(2) Quorum.--A quorum of the Board, consisting of a
majority of the Directors then in office, shall be
required to conduct any business of the Board.
(3) Approval of board actions.--Except as otherwise
provided, the threshold for approving Board actions
shall be as set forth in the bylaws.
(h) Removal of Directors.--A Director may be removed in
accordance with section 90307(c) and the bylaws of the
Corporation.
Sec. 90307. Fiduciary duties and qualifications of Directors
(a) Fiduciary Duties.--The fiduciary duties of a Director
shall be solely and exclusively to the Corporation.
(b) Qualifications.--
(1) In general.--Only a citizen of the United States
may be appointed or nominated as a Director.
(2) Prohibitions.--An individual may not serve as a
Director if the individual--
(A) is an officer, agent, or employee of the
Corporation (other than the CEO);
(B) is, or has been within the preceding 2
years, a Member of Congress;
(C) is an elected official serving in a
State, local, or Tribal government;
(D) is an officer or employee of the Federal
Government or any State, local, or Tribal
government;
(E) is a director, officer, trustee, agent,
or employee of--
(i) a bargaining agent that
represents employees of the
Corporation;
(ii) an entity that has a material
interest as a supplier, client, or user
of the Corporation's services; or
(iii) any of the entities determined
under section 90305(c);
(F) receives any form of compensation or
material benefit from an entity that has a
material interest as a supplier, client, or
user of the Corporation's services, excluding
compensation from a defined benefit plan
resulting from the individual's past
employment; or
(G) has or holds any other fiduciary duty,
legal obligation, office, employed position, or
material interest that would prevent the
individual from satisfying the requirements of
subsection (a) under the applicable laws of the
State in which the Corporation is incorporated.
(3) Exception.--Subparagraphs (C) and (D) of
paragraph (2) shall not apply to an individual solely
because the individual is an elected member of a school
board or is employed by an institution of higher
education (as defined in section 101 of the Higher
Education Act of 1965 (20 U.S.C. 1001)).
(c) Breach of Fiduciary Duty to Corporation.--
(1) In general.--The Board shall remove any Director
who breaches a fiduciary duty to the Corporation--
(A) pursuant to procedures to be established
in the bylaws of the Corporation; and
(B) not later than 30 days after determining
that a breach has occurred.
(2) Limited private right of action.--The Corporation
shall have the exclusive right to seek injunctive or
monetary relief (or both) against a Director or former
Director for a breach of a fiduciary duty to the
Corporation.
(d) Prohibition on Indemnification and Certain Insurance.--
Notwithstanding section 90312 or any other provision of law,
the Corporation shall neither indemnify nor procure insurance
to indemnify any Director for liability relating to a breach of
a fiduciary duty to the Corporation.
Sec. 90308. Bylaws and duties
(a) In General.--The Board shall adopt and amend the bylaws
of the Corporation.
(b) Bylaws.--The bylaws of the Corporation shall include, at
a minimum--
(1) the duties and responsibilities of the Board
(including those described in subsection (c)),
officers, Advisory Board, and committees of the
Corporation; and
(2) the operational procedures of the Corporation.
(c) Duties and Responsibilities of Board.--The Board shall be
responsible for actions of the Corporation, including--
(1) adoption of an annual budget;
(2) approval of a strategic plan, including updates
thereto, and other plans supporting the strategy laid
out in the strategic plan;
(3) adoption of an annual action plan;
(4) authorization of any form or instrument of
indebtedness, including loans and bond issues;
(5) assessment, modification, and collection of
charges and fees for air traffic services in accordance
with the standards described in section 90313;
(6) hiring and supervision of the CEO;
(7) establishment and maintenance of an appropriately
funded reserve fund;
(8) adoption of a code of conduct and code of ethics
for Directors, officers, agents, and employees of the
Corporation;
(9) establishment of a process for ensuring that the
fiduciary duties of a Director are solely and
exclusively to the Corporation;
(10) establishment of a process for the removal of a
Director, including the removal of a Director for
breach of a fiduciary duty to the Corporation; and
(11) adoption of a process for filling vacancies on
the Board.
Sec. 90309. Committees of Board; independent auditors
(a) Committees of Board.--The Board shall establish and
maintain a Safety Committee, a Compensation Committee, a
Technology Committee, and such other committees as the Board
determines are necessary or appropriate to carry out the
responsibilities of the Board effectively. Such committees
shall be composed solely of Directors.
(b) Independent Auditors.--The Board shall retain independent
auditors to conduct annual audits of the Corporation's
financial statements and internal controls.
Sec. 90310. Advisory Board
(a) Establishment.--There shall be an Advisory Board of the
Corporation.
(b) Duties.--The Advisory Board--
(1) shall conduct such activities as the Board
determines appropriate;
(2) shall submit to the Board recommendations for
Directors to be nominated and selected under section
90306(b)(11); and
(3) may, on its own initiative, study, report, and
make recommendations to the Board on matters relating
to the Corporation's provision of air traffic services
and associated safety considerations.
(c) Membership.--
(1) Number.--The Advisory Board shall consist of not
more than 15 individuals, who are citizens of the
United States, representing interested entities.
(2) Representatives.--The members of the Advisory
Board shall include, at a minimum, representatives of
the following:
(A) Air carriers.
(B) General aviation.
(C) Business aviation.
(D) Commercial service airports.
(E) Operators and manufacturers of commercial
unmanned aircraft systems.
(F) Appropriate labor organizations.
(G) The Department of Defense.
(H) Small communities, including at least 1
community primarily served by a nonhub airport.
(d) Structure; Terms.--The membership and structure of the
Advisory Board, including the duration that individuals may
serve on the Advisory Board, shall be determined by the Board
in accordance with the bylaws of the Corporation.
Sec. 90311. Officers and their responsibilities
(a) Chief Executive Officer.--
(1) Hiring.--
(A) In general.--The Corporation shall have a
Chief Executive Officer, who shall be hired by
the Board to manage the Corporation.
(B) Qualifications.--The CEO shall be an
individual who--
(i) is a citizen of the United
States;
(ii) satisfies the qualifications to
serve as a Director under section
90307; and
(iii) by reason of professional
background and experience, is
especially qualified to manage the
Corporation.
(2) Duties.--The CEO shall--
(A) be responsible for the management and
direction of the Corporation, including its
officers and employees, and for the exercise of
all powers and responsibilities of the
Corporation;
(B) establish Corporation offices and define
the responsibilities and duties of the offices,
with full authority to organize the Corporation
as required; and
(C) designate an officer of the Corporation
who is vested with the authority to act in the
capacity of the CEO if the CEO is absent or
incapacitated.
(3) Scope of authority.--
(A) In general.--The CEO shall be subject to
the policy guidance of the Board, report to the
Board, and serve at the pleasure of the Board.
(B) Authority of board.--The Board may modify
or revoke actions of the CEO pursuant to
procedures set forth in the bylaws of the
Corporation.
(b) Other Officers and Employees.--
(1) In general.--The CEO shall appoint such other
officers and employees of the Corporation as the CEO
determines appropriate.
(2) Chief operating officer; chief financial
officer.--An appointment of an individual as chief
operating officer or chief financial officer by the CEO
shall be subject to the approval of the Board.
(3) Delegation of functions.--The CEO may delegate to
the other officers and employees of the Corporation any
of the functions of the Corporation.
(4) Compensation.--Compensation for the CEO, chief
operating officer, and chief financial officer shall be
set by the Board.
(c) Interim CEO.--
(1) Hiring.--Not later than 60 days after the date of
the Secretary's appointment and selection of Directors
under section 90306(c)(1)(B), the Board shall hire an
Interim Chief Executive Officer who meets the
qualifications specified in subsection (a)(1)(B).
(2) Authority and term.--
(A) Authority.--The Interim CEO shall--
(i) exercise the same authority as
the CEO, including serving on the
Board;
(ii) carry out the same duties as the
CEO; and
(iii) be subject to the same
prohibitions and limitations as the
CEO.
(B) Term.--The Interim CEO shall serve until
the Board hires a CEO.
(3) Statutory construction.--Nothing in this
subsection may be construed to restrict the ability of
the Board to hire the individual serving as the Interim
CEO to be the CEO.
Sec. 90312. Authority of Corporation
(a) General Authority.--Except as otherwise provided in this
subtitle, the Corporation--
(1) shall have perpetual succession in its corporate
name unless dissolved by law;
(2) may adopt and use a corporate seal;
(3) may own, lease, use, improve, and dispose of such
property as the Corporation considers necessary to
carry out the purposes of the Corporation;
(4) may contract with other parties;
(5) may sue or be sued;
(6) may be held liable under civil and criminal law;
(7) may indemnify the Directors, including the
Interim CEO or CEO, and other officers, agents, and
employees of the Corporation; and
(8) shall have such other corporate powers as are
necessary or appropriate to carry out the purposes of
this subtitle and of the Corporation.
(b) Limitations.--
(1) Business activities.--The Corporation may only
engage in business activities that are--
(A) related to carrying out air traffic
services; or
(B) ancillary or incidental to carrying out
such services.
(2) Equity shares.--The Corporation may not issue or
sell equity shares in the Corporation.
Sec. 90313. Charges and fees for air traffic services
(a) Assessment and Collection of Charges and Fees.--Beginning
on the date of transfer, and subject to this section and
section 90502, the Corporation may assess and collect charges
and fees from air traffic services users for air traffic
services provided by the Corporation in United States airspace
or international airspace delegated to the United States.
(b) Board Approval of Charges and Fees.--The Board shall--
(1) approve a proposal for--
(A) an initial schedule of charges and fees
pursuant to subsection (g); and
(B) any change in the charges or fees;
(2) provide air traffic services users and other
interested persons notice of a proposal approved under
paragraph (1) in a manner and form prescribed by the
Secretary; and
(3) submit a proposal approved under paragraph (1)
(other than a proposal to decrease a charge or fee) to
the Secretary 90 days prior to the effective date of
the proposal in a manner and form prescribed by the
Secretary.
(c) Secretarial Review.--
(1) Public comment.--Upon receiving a proposal from
the Corporation under subsection (b)(3), the Secretary
shall solicit public comments on the proposal for a 30-
day period.
(2) Secretarial approval.--
(A) In general.--Not later than 15 days after
the last day of the 30-day public comment
period, the Secretary shall--
(i) approve the proposal upon
determining that the proposal complies
with the standards in subsection (d);
or
(ii) disapprove the proposal upon
determining that the proposal does not
comply with the standards in subsection
(d).
(B) Effectiveness of proposal.--If the
Secretary does not issue a timely decision
pursuant to subparagraph (A), the proposal
shall be deemed approved.
(d) Standards.--The Secretary shall apply the following
standards in reviewing a proposal from the Corporation under
subsection (c):
(1) The amount or type of charges and fees paid by an
air traffic services user may not--
(A) be determinant of the air traffic
services provided to the user; or
(B) adversely impact the ability of the user
to use or access any part of the national
airspace system.
(2) Charges and fees shall be consistent with the
document titled ``ICAO's Policies on Charges for
Airports and Air Navigation Services'', Ninth Edition,
2012.
(3) Charges and fees may not be discriminatory.
(4) Charges and fees shall be consistent with United
States international obligations.
(5) Certain categories of air traffic services users
may be charged on a flat fee basis so long as the
charge or fee is otherwise consistent with this
subsection.
(6) Charges and fees may not be imposed for air
traffic services provided with respect to operations of
aircraft that qualify as public aircraft under sections
40102(a) and 40125.
(7) Charges and fees may not be imposed for air
traffic services provided with respect to aircraft
operations conducted pursuant to part 91, 133, 135,
136, or 137 of title 14, Code of Federal Regulations.
(8) Charges and fees may not be structured such that
air traffic services users have incentives to operate
in ways that diminish safety to avoid the charges and
fees.
(9) Charges and fees, based on reasonable and
financially sound projections, may not generate
revenues exceeding the Corporation's current and
anticipated financial requirements in relation to the
provision of air traffic services.
(e) Corporation's Financial Requirements.--In determining
whether a proposal received from the Corporation under
subsection (b) would generate revenues in compliance with
subsection (d)(9), the Secretary shall consider costs and other
liabilities of the Corporation, including--
(1) costs incurred before the date of transfer;
(2) operations and maintenance costs;
(3) management and administrative costs;
(4) depreciation costs;
(5) interest costs and other expenses related to debt
servicing;
(6) cash reserves or other requirements needed to
maintain credit ratings or comply with debt covenants;
and
(7) any tax liability.
(f) Payment of Charges and Fees.--
(1) In general.--An air traffic services user shall
pay a charge or fee assessed by the Corporation under
subsection (a) for services rendered and any interest
and penalties assessed under paragraph (2).
(2) Late payment or nonpayment.--The Corporation may
assess and collect interest and penalties for late
payment or nonpayment of a charge or fee assessed by
the Corporation under subsection (a).
(3) Private right of action.--The Corporation may
file suit in any district court of the United States
having jurisdiction over the parties, without respect
to the amount in controversy and without regard to the
citizenship of the parties, to enforce this subsection
not later than 2 years after the date on which a claim
accrues. A claim accrues, under this paragraph, upon
the rendering of the relevant air traffic services by
the Corporation.
(g) Initial Schedule.--Notwithstanding subsection (b)(3), the
Corporation shall propose an initial schedule of charges and
fees at least 180 days before the date of transfer.
(h) Aircraft Operation Defined.--In this section, the term
``aircraft operation'' means the movement of an aircraft
beginning with the take-off of the aircraft and ending with the
landing of the aircraft.
Sec. 90314. Preemption of authority over air traffic services
(a) State Defined.--In this section, the term ``State'' means
a State, the District of Columbia, and a territory or
possession of the United States.
(b) Preemption.--A State, political subdivision of a State,
or political authority of at least 2 States may not enact or
enforce a law, regulation, or other provision having the force
and effect of law related to air traffic services.
(c) Airport Owner or Operator.--Subsection (b) may not be
construed to limit a State, political subdivision of a State,
or political authority of at least 2 States that owns or
operates a landing area from carrying out its proprietary
powers and rights over the landing area.
Sec. 90315. Actions by and against Corporation
(a) Jurisdiction for Legal Actions Generally.--
(1) Jurisdiction of united states district courts.--
The United States district courts shall have original
jurisdiction over all actions brought by or against the
Corporation, except as otherwise provided in this
subtitle.
(2) Removal of actions in state courts.--Any action
brought in a State court to which the Corporation is a
party shall be removed to the appropriate United States
district court under the provisions of chapter 89 of
title 28.
(b) Testimony of Corporation Employees.--
(1) In general.--Except with the consent of the chief
legal officer of the Corporation, employees of the
Corporation may not provide expert opinion or expert
testimony in civil litigation related to the
Corporation.
(2) Exceptions.--The Corporation may prescribe the
circumstances, if any, under which employees of the
Corporation may provide expert opinion or expert
testimony in civil litigation related to the
Corporation.
Sec. 90316. Transfer of Federal personnel to Corporation
(a) Transfer of FAA Employees to Corporation.--
(1) Process.--Not later than 180 days after the date
of enactment of this subtitle, the Secretary, after
meeting and conferring with the CEO and representatives
of the labor organizations recognized under section
7111 of title 5 as exclusive representatives of FAA
employees, shall commence a process to determine,
consistent with the purposes of this subtitle, which
activities and employees, or categories of employees,
of the FAA shall be transferred to the Corporation on
or before the date of transfer.
(2) Determination; transfer.--The Secretary shall--
(A) not later than 180 days prior to the date
of transfer, complete the determination of
which activities, employees, or categories of
employees shall be transferred to the
Corporation under paragraph (1);
(B) upon completing the determination, notify
the CEO, the labor organizations recognized
under section 7111 of title 5 as exclusive
representatives of FAA employees, and all
affected employees of such determination; and
(C) on or before the date of transfer,
transfer such activities, employees, or
categories of employees.
(b) Subsequent Transfer of Employees.--
(1) In general.--
(A) Transfers from faa to corporation.--
During the 180-day period beginning on the date
of transfer, the Secretary, after meeting and
conferring with the CEO and representatives of
the certified labor organizations recognized
under section 91105 and labor organizations
recognized under section 7111 of title 5 as
exclusive representatives of FAA employees, may
transfer an employee from the FAA to the
Corporation if the Secretary, after meeting and
conferring with the CEO and the
representatives, finds that the determination
with respect to the employee under subsection
(a) was inconsistent with the purposes of this
subtitle.
(B) Transfers from corporation to faa.--
During the 180-day period beginning on the date
of transfer, the Secretary, after meeting and
conferring with the CEO and representatives of
the certified labor organizations recognized
under section 91105 and labor organizations
recognized under section 7111 of title 5 as
exclusive representatives of FAA employees, may
transfer an employee from the Corporation to
the FAA if the Secretary, after the
consultation with the CEO and the
representatives, finds that the determination
with respect to the employee under subsection
(a) was inconsistent with the purposes of this
subtitle.
(2) Reemployment of federal employees.--An employee
transferred from the Corporation to the FAA under this
subsection shall be entitled to the same rights and
benefits, and reemployment, in the same manner as if
covered by section 3582 of title 5 notwithstanding
section 8347(o), 8713, or 8914 of such title.
(3) Election of benefits for employees subject to
delayed transfer to corporation.--In the case of an
employee of the FAA transferred to the Corporation
under this subsection, such employee shall be afforded
the opportunity to make the election provided under
section 91102(b) with respect to benefits.
(c) Corporation Employee Benefits.--At least 180 days before
the date of transfer, the Corporation shall establish a
compensation and benefits program for--
(1) employees hired by the Corporation after the date
of transfer; and
(2) employees that make the election under section
91102(b)(1)(A)(ii).
(d) Protections for Employees Not Transferred to
Corporation.--For those employees of the FAA directly involved
in the operation of air traffic services who are not
transferred to the Corporation pursuant to subsection (a) or
who transferred back to the FAA pursuant to subsection (b), the
Secretary shall provide to such employees compensation and
benefits consistent with the applicable collective-bargaining
agreement that are not less than the level of compensation and
benefits provided to such FAA employees prior to the date of
transfer unless mutually agreed to by the FAA and
representatives of the certified labor organization.
(e) Suitability, Clearances, and Medical Qualifications.--All
federally issued or federally required credentials,
certificates, clearances, medical qualifications, access
rights, substance testing results, and any other Federal
permissions or approvals held by any employee of the FAA in the
operation of air traffic services that are valid and effective
on the day prior to the date of transfer shall remain valid and
effective after the date of transfer--
(1) unless revoked for cause; or
(2) until equivalent or substantially equivalent
credentials, certificates, clearances, medical
qualifications, access rights, substance testing
results, and any other Federal permissions or approvals
have been issued to the employee on or after the date
of transfer.
(f) Transition Agreements.--
(1) Bipartite agreement.--
(A) Meetings.--At least 180 days before the
date of transfer, the Corporation shall meet
with the labor organizations recognized under
section 7111 of title 5 as exclusive
representatives of FAA employees to resolve
employment-related transition matters that
affect employees represented by those labor
organizations and that are not otherwise
covered under this section.
(B) Duty to bargain in good faith.--The
Corporation and the labor organizations
described in subparagraph (A) (in this
subsection referred to as the ``parties'')
shall be subject to the duty to bargain in good
faith under chapter 911 in any meetings
pursuant to this paragraph.
(C) Dispute resolution procedures.--If the
parties fail to reach an agreement over the
initial or subsequent employment-related
transition issues not otherwise covered under
this section, the matters shall be subject to
the dispute resolution procedures established
under subsections (a), (b), and (e) of section
91107.
(2) Tripartite agreement.--
(A) Meetings.--At least 1 year before the
date of transfer, the Corporation and the FAA
shall meet with the labor organizations
recognized under section 7111 of title 5 as
exclusive representatives of FAA employees to
resolve transition matters related to the
separation of air traffic services from the FAA
pursuant to this subtitle that affect employees
represented by those labor organizations and
that are not otherwise covered under this
section.
(B) Duty to bargain in good faith.--To the
extent applicable, the Corporation and the
labor organizations described in subparagraph
(A) shall be subject to the duty to bargain in
good faith under chapter 911 in any meetings
pursuant to this paragraph.
(C) Dispute resolution procedures.--If the
Corporation and the certified labor
organizations described in subparagraph (A)
fail to reach an agreement over the initial or
subsequent transition issues related to the
separation of air traffic services from the
FAA, not otherwise covered under this section,
the matters shall be subject to the dispute
resolution procedures established under
subsections (a), (b), and (e) of section 91107.
Sec. 90317. Transfer of facilities to Corporation
(a) Inventory of FAA Property and Facilities.--At least 1
year before the date of transfer, the Secretary, in
consultation with the CEO, shall identify the licenses,
patents, software rights, and real and personal property,
including air navigation facilities (as defined in section
40102(a)) of the United States under FAA jurisdiction, that are
necessary and appropriate for the Corporation to carry out the
air traffic services transferred to the Corporation under this
subtitle.
(b) Transfer of Federal Property.--
(1) Conveyance of property to corporation.--On the
date of transfer, the Secretary shall convey, without
charge, all right, title, and interest of the United
States in, and the use, possession, and control of,
properties identified under subsection (a).
(2) Sale of property by corporation after date of
transfer.--If the Corporation sells any of the property
conveyed to the Corporation under paragraph (1), the
Corporation shall use the proceeds received from the
sale of such property for the acquisition or
improvement of air navigation facilities or other
capital assets.
(3) Reversionary interest.--Any conveyance of real
property under this section located at an FAA technical
facility shall be subject to the condition that all
right, title, and interest in the real property shall
revert to the United States and be placed under the
administrative control of the Secretary if--
(A) the Corporation determines the real
property is no longer necessary to carry out
the air traffic services transferred to the
Corporation under this subtitle; and
(B) the Secretary determines the reversion is
necessary to protect the interests of the
United States.
(4) Safety air traffic services equipment in remote
locations.--
(A) Maintenance by corporation.--Any
equipment identified pursuant to subsection (a)
and conveyed to the Corporation pursuant to
paragraph (1) that is located in a
noncontiguous State of the United States and is
critical to the safe provision of air traffic
services in that State may not be sold and
shall be maintained and, as determined
necessary by the Corporation, upgraded by the
Corporation.
(B) Equipment critical to safe provision of
air traffic services.--For purposes of this
paragraph, equipment critical to the safe
provision of air traffic services includes GPS
receivers, data link transceivers, ADS-B,
multi-function displays, flight information
services, moving map displays, terrain
databases, airport lighting, and mountain pass
cameras.
(c) Consolidation and Realignment of Transferred Services and
Facilities.--
(1) In general.--At least 180 days before the date of
transfer, and subject to section 91107, the
Corporation, in consultation with representatives of
labor organizations representing operations and
maintenance employees of the air traffic control
system, shall establish a process for the realignment
and consolidation of services and facilities to be
transferred to the Corporation from the FAA.
(2) Moratorium.--Except as otherwise provided, there
shall be a moratorium on any effort by the
Administrator or the Corporation to consolidate or
realign air traffic services or facilities until the
process required by paragraph (1) is established.
Sec. 90318. Approval of transferred air navigation facilities and other
equipment
On the date of transfer, the Corporation is authorized to
operate all air navigation facilities and other equipment
conveyed pursuant to section 90317 without additional approval
or certification by the Secretary.
Sec. 90319. Use of spectrum systems and data
Beginning on the date of transfer, the Secretary shall
provide the Corporation with such access to the spectrum
systems used by the FAA before the date of transfer to provide
air traffic services, and any successor spectrum systems, and
to the data from such systems, as is necessary to enable the
Corporation to provide air traffic services under this
subtitle.
Sec. 90320. Transition plan
(a) Transition Team.--Not later than 120 days after the date
of enactment of this subtitle, the Secretary, after meeting and
conferring with the CEO or Interim CEO, shall establish a
transition team to develop, consistent with this subtitle, a
transition plan to be reviewed by the Secretary and, if
approved, utilized by the Department of Transportation during
the period in which air traffic services are transferred from
the FAA to the Corporation.
(b) Membership.--The transition team shall consist of 12
individuals, who are citizens of the United States, as follows:
(1) 5 representatives appointed by the Secretary,
including--
(A) the Deputy Administrator of the FAA;
(B) the Director of the FAA Mike Monroney
Aeronautical Center;
(C) the Director of the FAA William J. Hughes
Technical Center; and
(D) 2 representatives from the Office of
Management and Budget, appointed with the
concurrence of the Director of the Office of
Management and Budget.
(2) 1 representative appointed by the exclusive
bargaining representative of air traffic controllers
certified under section 7111 of title 5.
(3) 1 representative appointed by the exclusive
bargaining representative for airway transportation
systems specialists in the Air Traffic Organization
technical operations services certified under section
7111 of title 5.
(4) 5 representatives appointed by the CEO.
(c) Transition Plan.--
(1) In general.--Not later than 45 days after the
establishment of the transition team, the transition
team shall develop and submit to the Secretary an
executable transition plan.
(2) Contents.--The transition plan shall set forth a
plan for the Secretary, in consultation with the CEO or
Interim CEO, to--
(A) identify property, facilities, equipment,
and obligations, contractual or otherwise,
related to the provision of air traffic
services; and
(B) safely and efficiently transfer Federal
personnel, property, facilities, equipment, and
obligations, contractual and otherwise, related
to the provision of air traffic services to the
Corporation on or before the date of transfer.
(d) Secretarial Review.--
(1) In general.--Not later than 30 days after receipt
of the transition plan, the Secretary shall review and,
if appropriate, approve the plan.
(2) Disapproval.--If the Secretary does not approve a
submitted transition plan, the transition team shall
revise the plan and resubmit it to the Secretary not
later than 30 days after receiving notice of the
disapproval by the Secretary.
(e) Termination.--The transition team shall terminate upon
approval of a transition plan by the Secretary.
CHAPTER 905--REGULATION OF AIR TRAFFIC SERVICES PROVIDER
Sec.
90501. Safety oversight and regulation of Corporation.
90502. Resolution of disputes concerning air traffic services charges
and fees.
90503. International agreements and activities.
90504. Availability of safety information.
90505. Reporting of safety violations to FAA.
90506. Insurance requirements.
Sec. 90501. Safety oversight and regulation of Corporation
(a) Performance-based Regulations and Minimum Safety
Standards.--After consultation with the Corporation and the
FAA's certified bargaining representatives and before the date
of transfer, the Secretary shall--
(1) prescribe performance-based regulations and
minimum safety standards for the operation of air
traffic services by the Corporation;
(2) prescribe performance-based regulations and
minimum safety standards for the certification and
operation of air navigation facilities (other than
facilities that may be operated without additional
approval or certification pursuant to section 90318);
and
(3) identify policies and other administrative
materials of the FAA in effect before the date of
transfer for providing air traffic services that will
apply to the Corporation.
(b) Safety Management System.--
(1) In general.--The regulations and standards
prescribed pursuant to subsection (a) shall include a
safety management system for air traffic services
provided by the Corporation.
(2) Foundation.--The safety management system shall
be based on the safety management system used by the
Air Traffic Organization of the FAA before the date of
transfer.
(3) Use by corporation.--Beginning on the date of
transfer, the Corporation shall use the safety
management system, including any changes thereto, when
assessing and managing risks in all procedures,
processes, and practices necessary to provide air
traffic services.
(4) FAA oversight.--To the maximum extent
practicable, for at least 2 years after the date of
transfer, the Air Traffic Safety Oversight Service of
the FAA shall employ the same oversight processes and
procedures in use before the date of transfer.
(c) Proposals to Modify Air Traffic Management Procedures,
Assignments, and Classifications of Airspace.--
(1) Submission of proposals to secretary.--The
Corporation or another interested party may submit to
the Secretary a proposal to modify--
(A) air traffic management procedures,
assignments, classifications of airspace, or
other actions affecting airspace access that
are developed pursuant to the safety management
system; and
(B) FAA policies and other administrative
materials identified under subsection (a)(2).
(2) Review and approval of proposals.--The
regulations and standards prescribed under subsection
(a)(1) shall include a process for expedited review and
approval of a proposal received under paragraph (1).
(3) Standard for approval.--The Secretary shall
approve a proposal received under paragraph (1) if the
Secretary determines that the proposal complies with
the regulations and standards prescribed under
subsection (a)(1) and is otherwise consistent with the
public interest, including that the proposal would not
materially reduce access to a public-use airport.
(4) Approvals and disapprovals.--
(A) In general.--During the 45-day period
beginning on the date of receipt of a proposal
under paragraph (1), the Secretary shall
approve or disapprove the proposal.
(B) Written explanation.--If the Secretary
disapproves the proposal, the Secretary shall
provide--
(i) a written explanation of the
Secretary's decision, including--
(I) any instances of
inconsistency with the
regulations and standards
prescribed under subsection
(a)(1); and
(II) any other information
that formed the basis for the
Secretary's decision; and
(ii) a description of any
modifications to the proposal that are
necessary to obtain approval.
(5) Failure to act.--If the Secretary fails to act on
a proposal received under paragraph (1) during the 45-
day period described in paragraph (4)(A), the
Corporation or other party making the proposal shall be
entitled to a writ of mandamus in a Federal district
court with venue.
(d) Judicial Review.--
(1) In general.--Any decision made by the Secretary
to approve or disapprove a proposal received under
subsection (c)(1) shall be subject to judicial review
pursuant to subsections (a), (b), (d), and (e) of
section 46110.
(2) Standard of review.--
(A) Disapprovals.--In the case of a petition
filed under section 46110(a) to review a
decision of the Secretary that disapproves a
proposal received from the Corporation under
subsection (c)(1), the court shall, without
deference to the Secretary's determination,
review de novo the record to determine if the
Secretary's determination is consistent with
the regulations and standards prescribed under
subsection (a)(1).
(B) Approvals.--In the case of a petition
filed under section 46110(a) to review a
decision of the Secretary that approves a
proposal received from the Corporation under
subsection (c)(1), the court may overturn the
approval only upon a finding of clear error or
an abuse of discretion.
(e) Compilation.--
(1) Establishment.--The Corporation shall establish
and maintain a compilation of the policies and other
materials identified under subsection (a)(2).
(2) Updates.--The Corporation shall update the
compilation each time a proposal described in
subsection (c)(1)(B) is approved.
(3) Publication.--The Corporation shall make the
compilation available to the public.
(f) Special Rules for Proposals Affecting Certain Airspace.--
The regulations and standards prescribed under subsection
(a)(1) shall include procedures (including advance submission
of necessary supporting data, analysis, and documentation) for
the Secretary to evaluate, at least 180 days before its
submission under subsection (c)(1), a proposal for an airspace
change that would affect airspace that is--
(1) within an area designated as a ``Metroplex'' by
the FAA as of March 30, 2017;
(2) within an area subject to a major, large-scale
airspace redesign project; or
(3) adjacent to or containing special use airspace.
(g) Exempted Airspace Actions.--The requirements of this
section shall not apply to--
(1) temporary airspace actions directed by the
Administrator or Secretary;
(2) airspace actions as described in section 90904;
or
(3) certain emergency circumstances, as defined by
the Secretary by regulation.
(h) Delegation.--Notwithstanding section 90303(b), and except
for the process and procedures required by section 90703(b),
the Secretary may delegate safety oversight functions to the
Administrator.
Sec. 90502. Resolution of disputes concerning air traffic services
charges and fees
(a) Authority to Request Secretary's Determination.--
(1) In general.--The Secretary shall issue a
determination as to whether a charge or fee assessed by
the Corporation for the use of air traffic services in
United States airspace or international airspace
delegated to the United States is correct if a written
complaint for such determination is filed with the
Secretary by an air traffic services user not later
than 60 days after the air traffic services user
receives an assessment or invoice from the Corporation.
(2) Treatment of interest and penalties.--In this
section, the terms ``charge'' and ``fee'' include any
interest and penalty relating thereto.
(b) Procedural Regulations.--At least 270 days before the
date of transfer, the Secretary shall publish in the Federal
Register final regulations, policy statements, or guidelines
establishing the procedures for acting upon written complaints
filed under subsection (a)(1) and requests of the Corporation
pursuant to subsection (e)(3).
(c) Determination of Correctness.--In determining under
subsection (a)(1) whether a charge or fee is correct, the
Secretary shall determine only if the charge or fee is
consistent with approved charges or fees pursuant to section
90313.
(d) Decisions by Secretary.--The final regulations, policy
statements, or guidelines required in subsection (b) shall
provide for the following:
(1) Not later than 90 days after an air traffic
services user files with the Secretary a written
complaint relating to an assessed or invoiced air
traffic services charge or fee, the Secretary shall
issue a final order determining whether the charge or
fee is correct.
(2) Not later than 30 days after such complaint is
filed with the Secretary, the Secretary shall dismiss
the complaint if no significant dispute exists or shall
assign the matter to an administrative law judge.
Thereafter, the matter shall be handled in accordance
with part 302 of title 14, Code of Federal Regulations,
or as modified by the Secretary, to ensure an orderly
disposition of the matter within the 90-day period
referred to in paragraph (1) and any specifically
applicable provisions of this section.
(3) The administrative law judge shall issue a
recommended decision not later than 45 days after the
complaint is assigned or within such shorter period as
the Secretary may specify.
(4) If the Secretary, upon the expiration of 90 days
after the filing of the complaint, has not issued a
final order, the decision of the administrative law
judge shall be deemed to be the final order of the
Secretary.
(5) Any party to the dispute may seek review of a
final order of the Secretary under this subsection in
the Circuit Court of Appeals for the District of
Columbia Circuit or the court of appeals in the circuit
with venue.
(6) Any findings of fact in a final order of the
Secretary under this subsection, if supported by
substantial evidence, shall be conclusive if challenged
in a court pursuant to this subsection. No objection to
such a final order may be considered by the court
unless objection was urged before an administrative law
judge or the Secretary at a proceeding under this
subsection or, if not so urged, unless there were
reasonable grounds for failure to do so.
(e) Payment Under Protest; Guarantee of Air Traffic Services
User Access.--
(1) Payment under protest.--
(A) In general.--Any charge or fee that is
the subject of a complaint that is not
dismissed by the Secretary shall be paid by the
complainant air traffic services user to the
Corporation under protest.
(B) Referral or credit.--Any amounts paid
under this subsection by a complainant air
traffic services user to the Corporation under
protest shall be subject to refund or credit to
the air traffic services user in accordance
with directions in the final order of the
Secretary within 30 days of such order.
(C) Timely repayment.--In order to ensure the
timely repayment, with interest, of amounts in
dispute determined not to be correct by the
Secretary, the Corporation shall obtain a
letter of credit, or surety bond, or other
suitable credit facility, equal to the amount
in dispute that is due during the 90-day period
referred to in subsection (d)(1), plus
interest, unless the Corporation and the air
traffic services user agree otherwise.
(D) Deadline.--The letter of credit, or
surety bond, or other suitable credit facility
shall be provided to the Secretary not later
than 20 days after the filing of the complaint
and shall remain in effect for 30 days after
the issuance of a timely final order by the
Secretary determining whether such charge or
fee is correct.
(2) Guarantee of air traffic services user access.--
Contingent upon an air traffic services user's
compliance with the requirements of paragraph (1) and
pending the issuance of a final order by the Secretary
determining the correctness of a charge or fee that is
the subject of a complaint filed under subsection
(a)(1), the Corporation may not withhold air traffic
services as a means of enforcing the charge or fee.
(3) Noncompliance.--Prior to the issuance of a final
order by the Secretary determining the correctness of a
charge or fee that is the subject of a complaint filed
under subsection (a)(1), if an air traffic services
user does not comply with the requirements of paragraph
(1), the Corporation shall withhold air traffic
services from the user if the Corporation requests and
receives approval from the Secretary to withhold air
traffic services.
Sec. 90503. International agreements and activities
(a) Consistency With International Obligations and Laws of
Other Countries.--The Corporation shall provide air traffic
services under this subtitle in a manner that is consistent
with any obligation assumed by the United States in a treaty,
convention, or agreement that may be in force between the
United States and a foreign country or foreign countries or
between the United States and an international organization,
and shall take into consideration any applicable laws and
requirements of foreign countries.
(b) Prohibition.--The Corporation may not negotiate on behalf
of or otherwise represent the United States before any foreign
government or international organization.
Sec. 90504. Availability of safety information
(a) Safety Information.--The Corporation shall make available
to air traffic services users and the public--
(1) the same type of safety information made
available by the FAA before the date of transfer;
(2) any additional safety information needed by air
traffic services users to operate safely; and
(3) any updates or revisions to the safety
information referred to in paragraphs (1) and (2).
(b) Meteorological Services; Aeronautical Charts.--The
Corporation may provide for the dissemination of available
aviation-related meteorological information and aeronautical
charts to air traffic services users.
Sec. 90505. Reporting of safety violations to FAA
(a) In General.--In a manner, form, and process prescribed by
the Administrator, the Corporation shall report to the
Administrator complaints or instances of--
(1) noncompliance with or deviations from air traffic
control clearances or instructions;
(2) noncompliant operations in controlled airspace or
special use airspace; and
(3) any other observed activities endangering persons
or property in the air or on the ground.
(b) Assistance in Enforcement Actions.--The Corporation shall
provide necessary assistance in any enforcement action taken by
the Administrator resulting from a report of the Corporation or
another person or entity.
(c) Statutory Construction.--This section may not be
construed to limit the authority of the Administrator to
undertake enforcement actions upon the Administrator's
initiative.
Sec. 90506. Insurance requirements
The Corporation shall maintain adequate liability insurance
policies and coverages, as determined by the Secretary,
including complete indemnification of employees of the
Corporation for acts within the scope of employment.
CHAPTER 907--GENERAL RIGHTS OF ACCESS TO AIRSPACE, AIRPORTS, AND AIR
TRAFFIC SERVICES VITAL FOR ENSURING SAFE OPERATIONS FOR ALL USERS
Sec.
90701. Access to airspace.
90702. Access to airports.
90703. Contract tower service after date of transfer.
90704. Availability of safety information to general aviation operators.
90705. Special rules and appeals process for air traffic management
procedures, assignments, and classifications of airspace.
90706. Definitions.
Sec. 90701. Access to airspace
The Secretary shall take such actions as are necessary to
ensure that an air traffic services user is not denied access
to airspace or air traffic services on the basis that the user
is exempt from charges and fees under section 90313.
Sec. 90702. Access to airports
In carrying out section 90501(c)(3), the Secretary shall
determine whether a proposal would materially reduce access to
a public-use airport, including a general aviation or rural
airport.
Sec. 90703. Contract tower service after date of transfer
(a) Transfer of Contract Tower Agreements to Corporation.--In
carrying out section 91302(e), the Secretary shall take such
actions as are necessary to ensure that the Corporation assumes
the contract and other obligations associated with the
operation of an air traffic control tower that, prior to the
date of transfer, was operated under a contract pursuant to
section 47124.
(b) Special Rules for Proposals Relating to Operation of
Contract Towers.--
(1) In general.--The regulations and standards
prescribed under section 90501(a)(1) shall include
procedures for the Secretary to evaluate, under section
90501(c), a proposal for an airspace change, including
an airspace reclassification, that results from the
proposed closure of a tower that is operating under a
contract with the Corporation and that, prior to the
date of transfer, was operated under a contract with
the Secretary pursuant to section 47124.
(2) Procedures.--The procedures required pursuant to
paragraph (1) shall include--
(A) the advance submission by the Corporation
of necessary supporting data, analysis, and
documentation related to--
(i) the safety risk management
assessment of the proposed contract
tower closure;
(ii) an assessment of the impact of
the proposed closure on the operation
of the national airspace system;
(iii) an assessment of the impact of
the proposed closure on local
communities, including with respect to
air service;
(iv) an assessment, in consultation
with the Secretary of Defense and the
Secretary of Homeland Security, as
appropriate, of any impact of the
proposed closure on military aviation
readiness and training, homeland
security aviation operations, emergency
management and disaster aviation
operations, and law enforcement
aviation operations; and
(v) any other safety or operational
information the Secretary determines to
be necessary to understand the safety
impact of the proposed closure; and
(B) a process to receive input from the
public, impacted air traffic services users,
local communities, and the airport operator of
the airport where the contract tower proposed
to be closed is located.
Sec. 90704. Availability of safety information to general aviation
operators
In carrying out section 90504, the Corporation shall ensure
that the safety information referenced in that section is made
available to general aviation operators.
Sec. 90705. Special rules and appeals process for air traffic
management procedures, assignments, and
classifications of airspace
(a) In General.--If the Corporation proposes to modify,
reduce, decommission, or eliminate an air traffic service or
air navigation facility that would result in the loss of or
material reduction in access to a public-use airport or
adjacent airspace for any class, category, or type of aircraft
or aircraft operation, as determined by the Secretary, the
Secretary shall designate an officer to issue a notice in the
Federal Register and establish a docket that includes--
(1) a copy of the Corporation's proposal;
(2) available data on the usage of the affected air
traffic service or air navigation facility;
(3) an assessment of the designated officer on the
effects of the proposal; and
(4) an assessment of the designated officer on any
proposed action to mitigate the loss of or material
reduction in access to the public-use airport or
adjacent airspace.
(b) Proceeding.--The designated officer shall provide an
opportunity for public comment on the proposal for a period of
at least 60 days.
(c) Decision.--Not later than 30 days after the last day of
the public comment period, the designated officer shall--
(1) determine whether the proposal is in the public
interest, including whether any material reduction in
access to a public-use airport or adjacent airspace has
been mitigated to the maximum extent practicable; and
(2) approve or disapprove the proposal on that basis.
(d) Relationship to Other Requirements.--Notwithstanding
section 90501(c), a proposal described in subsection (a)--
(1) shall be subject to the process established in
this section; and
(2) may not be implemented unless approved under this
section.
(e) Appeals and Secretarial Review.--
(1) Written petition for review.--A petition for an
appeal of a decision of the designated officer under
subsection (c) shall be submitted in writing to the
Secretary not later than 30 days after the date of the
decision.
(2) Secretarial review.--The Secretary shall review
and make a determination with respect to a timely filed
petition under paragraph (1) not later than 30 days
after the date of receipt of the petition.
(f) Decisional Standards.--In making a determination under
this section, neither the Secretary nor the designated officer
may consider any factor not directly germane to--
(1) the safe operation or navigation of an aircraft;
or
(2) the sufficiency of mitigation efforts related to
a material reduction in access to a public-use airport
or adjacent airspace.
(g) Judicial Review.--
(1) In general.--Any determination made by the
Secretary under subsection (e)(2) shall be subject to
judicial review pursuant to subsections (a), (b), (d),
and (e) of section 46110.
(2) Standard of review.--
(A) Disapprovals.--In the case of a petition
filed under section 46110(a) to review a
determination of the Secretary that disapproves
a proposal, the court shall, without deference
to the Secretary's determination, review de
novo the record to determine if the Secretary's
determination is in the public interest.
(B) Approvals.--In the case of a petition
filed under section 46110(a) to review a
determination of the Secretary that approves a
proposal, the court may overturn the approval
only upon a finding of clear error or an abuse
of discretion.
Sec. 90706. Definitions
In this chapter, the following definitions apply:
(1) Material reduction.--The term ``material
reduction'' means, with respect to access to a public-
use airport, including a general aviation or rural
airport, a materially diminished ability to safely
operate or navigate to or from the airport or adjacent
airspace during a time of day, weather condition, or
season of the year.
(2) Rural airport.--The term ``rural airport'' means
a public-use airport located in a rural area (as that
term is defined in section 520 of the Housing Act of
1949 (42 U.S.C. 1490)).
CHAPTER 909--CONTINUITY OF AIR TRAFFIC SERVICES TO DEPARTMENT OF
DEFENSE AND OTHER PUBLIC AGENCIES
Sec.
90901. Continuity of air traffic services provided by Department of
Defense.
90902. Military and other public aircraft exempt from user fees.
90903. Air traffic services for Federal agencies.
90904. Emergency powers of Armed Forces.
90905. Adherence to international agreements related to operations of
Armed Forces.
90906. Primacy of Armed Forces in times of war.
90907. Cooperation with Department of Defense and other Federal agencies
after date of transfer.
Sec. 90901. Continuity of air traffic services provided by Department
of Defense
After the date of transfer, the Department of Defense, as
directed by the President, is authorized and permitted to
provide air traffic services within United States airspace and
international airspace delegated to the United States.
Sec. 90902. Military and other public aircraft exempt from user fees
The Corporation may not impose charges or fees for operations
of aircraft owned or operated by the Armed Forces or other
aircraft that qualify as public aircraft under sections
40102(a) and 40125.
Sec. 90903. Air traffic services for Federal agencies
Before the date of transfer, the Secretary shall establish
processes, requirements, procedures, and regulations and take
any other measure necessary, consistent with the purposes of
this subtitle, to ensure that all United States Government
activities supported by the FAA's operation of air traffic
services as of the date of transfer receive support from the
Corporation after the date of transfer and on an ongoing basis.
Sec. 90904. Emergency powers of Armed Forces
The requirements of section 90501 shall not apply to airspace
actions necessitated by an exercise of authority under section
40106.
Sec. 90905. Adherence to international agreements related to operations
of Armed Forces
In carrying out section 90503, the Corporation shall ensure
that the obligations described in that section include
obligations related to operations of the Armed Forces.
Sec. 90906. Primacy of Armed Forces in times of war
The President may make temporary transfers to the Secretary
of Defense pursuant to section 40107(b).
Sec. 90907. Cooperation with Department of Defense and other Federal
agencies after date of transfer
At least 1 year prior to the date of transfer, the
Corporation, the Department of Transportation, and each Federal
department or agency supported by the FAA's operation of air
traffic services, including the Armed Forces, shall enter into
a tripartite agreement to--
(1) ensure cooperation between the Corporation and
the department or agency on the delivery of air traffic
services;
(2) facilitate the safe provision of air traffic
services to the department or agency; and
(3) address how the Corporation and the department or
agency will coordinate and communicate on the day-to-
day operations of the national airspace system.
CHAPTER 911--EMPLOYEE MANAGEMENT
Sec.
91101. Definitions.
91102. Employee management and benefits election.
91103. Labor and employment policy.
91104. Bargaining units.
91105. Recognition of labor organizations.
91106. Collective-bargaining agreements.
91107. Collective-bargaining dispute resolution.
91108. Potential and pending grievances, arbitrations, and settlements.
91109. Prohibition on striking and other activities.
91110. Legal action.
Sec. 91101. Definitions
In this chapter, the following definitions apply:
(1) Agency.--The term ``Agency'' means, as the
context requires, the Department of Transportation or
the FAA.
(2) Air traffic controller.--
(A) In general.--The term ``air traffic
controller'' means an employee of the
Corporation who, in an air traffic control
facility or flight service station facility--
(i) is actively engaged--
(I) in the separation and
control of air traffic; or
(II) in providing preflight,
inflight, or airport advisory
service to aircraft operators;
or
(ii) is the immediate supervisor of
any employee described in clause (i).
(B) Limitation.--Notwithstanding subparagraph
(A), the definition of ``air traffic
controller'' for purposes of section 8336(e) of
chapter 83 of title 5 and section 8412(e) of
chapter 84 of such title shall mean only
employees actively engaged in the separation of
air traffic and the immediate supervisors of
such employees, as set forth in section
8331(30) of such title, and section 8401(35) of
such title.
(3) Authority.--The term ``Authority'' means the
Federal Labor Relations Authority, as described in
section 7104(a) of title 5.
(4) Service.--The term ``Service'' means the Federal
Mediation and Conciliation Service established by
section 202 of the Labor Management Relations Act, 1947
(29 U.S.C. 172).
Sec. 91102. Employee management and benefits election
(a) Authority of CEO.--
(1) In general.--Except as otherwise provided by law,
the CEO shall classify and fix the compensation and
benefits of employees in the Corporation.
(2) Negotiations.--In developing, making changes to,
and implementing wages, hours, and other terms and
conditions of employment, including when establishing
the compensation and benefits program under section
90316(c), the Corporation shall negotiate with
exclusive representatives recognized under section
91105.
(3) Before date of transfer.--For purposes of
paragraph (2), before the date of transfer, the term
``exclusive representatives recognized under section
91105'' shall refer to labor organizations recognized
under section 7111 of title 5 as exclusive
representatives of FAA employees.
(b) Former Federal Employees.--
(1) Federal retirement benefits.--
(A) Election of retirement benefits.--At
least 90 days before the date of transfer, an
employee transferring to the Corporation who
will be subject to either the Civil Service
Retirement System under chapter 83 of title 5
(in this section referred to as ``CSRS'') or
the Federal Employees Retirement System under
chapter 84 of title 5 (in this section referred
to as ``FERS'') on the day immediately
preceding the date of transfer shall elect
either to--
(i) retain the employee's coverage
under either CSRS or FERS, as
applicable, in lieu of coverage by the
Corporation's employee benefits system
established under section 90316(c); or
(ii) receive a deferred annuity,
lump-sum benefit, or any other benefit
available to the employee under CSRS or
FERS, in the same manner that would
have been available to the employee if
the employee had voluntarily separated
from Federal employment on the day
before the date of transfer.
(B) Thrift savings plan accounts.--An
employee who makes the election under
subparagraph (A)(ii) shall have the option to
transfer the balance in the employee's Thrift
Savings Plan account to the plan under the
Corporation's retirement system, consistent
with applicable law and the terms of the
Corporation's plan.
(C) Periodic election.--The Corporation shall
provide for periodic election seasons during
which an employee who transferred to the
Corporation on the date of transfer may become
eligible for retirement benefits under the
Corporation's employee benefits system
established under section 90316(c) by making an
election under subparagraph (A)(ii).
(D) Continuity of annuitant benefits.--
Notwithstanding any other provision of law, any
individual who is receiving an annuity under
chapter 83 or chapter 84 of title 5 may
continue to receive such annuity while employed
by the Corporation.
(E) High-3 determination.--With respect to
any employee who retains CSRS or FERS coverage
pursuant to subparagraph (A), such employee's
basic pay while with the Corporation shall be
included in any determination of such
employee's average pay under section 8331(4) or
8401(3), as the case may be, of title 5 when
calculating the annuity (if any) of such
employee. For purposes of this section, an
employee's basic pay shall be defined as such
employee's total annual salary or wages from
the Corporation, including any location-based
adjustment.
(2) Payments to civil service retirement and
disability fund.--For employees of the Corporation who
elect to retain their coverage under either CSRS or
FERS pursuant to paragraph (1), the Corporation shall
only be required to pay to the Civil Service Retirement
and Disability Fund--
(A) such employee deductions and agency
contributions as are required by sections 8334,
8422, and 8423 of title 5; and
(B) such additional amounts, not to exceed 2
percent of the amounts under subparagraph (A),
as are determined necessary by the Office of
Personnel Management to pay the cost of
administering retirement benefits for employees
who retire from the Corporation after the date
of transfer under either CSRS or FERS, for
their survivors, and for survivors of employees
of the Corporation who die after the date of
transfer (which amounts shall be available to
the Office of Personnel Management as provided
in section 8348(a)(1)(B) of title 5).
(3) Thrift savings fund.--The Corporation shall pay
to the Thrift Savings Fund such employee and agency
contributions as are required by section 8432 of title
5 for employees who elect to retain their coverage
under FERS pursuant to paragraph (1).
(4) Health benefits plan election.--Any employee of
the Corporation who was subject to the Federal
Employees Health Benefits Program under chapter 89 of
title 5 (in this section referred to as ``FEHBP'') on
the day immediately preceding the date of transfer
shall have the option to receive health benefits from a
health benefit plan established by the Corporation
under section 90316(c) or to continue coverage under
FEHBP without interruption.
(5) Payments to employees health benefits fund.--For
employees of the Corporation who elect to retain their
coverage under FEHBP pursuant to paragraph (4), the
Corporation shall pay to the Employees Health Benefits
Fund--
(A) such employee deductions and agency
contributions as are required by subsections
(a) through (f) of section 8906 of title 5; and
(B) such amounts as are determined necessary
by the Office of Personnel Management under
paragraph (6) to reimburse the Office of
Personnel Management for contributions under
section 8906(g)(1) of title 5.
(6) Reimbursement amounts.--The amounts required to
be paid by the Corporation under paragraph (5)(B) shall
be equal to the amount of Government contributions for
retired employees who retire from the Corporation after
the date of transfer under either CSRS or FERS, for
survivors of such retired employees, and for survivors
of employees of the Corporation who die after the date
of transfer, with said amounts prorated to reflect only
that portion of the total service of such employees and
retired persons that was performed for the Corporation
after the date of transfer.
(7) Additional benefits.--Subject to the provisions
of this chapter, any employee of the Corporation who
was subject to the provisions of subchapter I of
chapter 85 (concerning unemployment compensation) and
chapters 87 (concerning life insurance), 89A
(concerning enhanced dental benefits), and 89B
(concerning enhanced vision benefits) of title 5 shall
have the option to continue coverage under such
provisions without interruption in lieu of applicable
coverage by the Corporation's employee benefits system
established under section 90316(c). The Corporation
shall withhold from pay, and shall make contributions,
under the provisions of title 5 referred to in this
subsection at the same rates applicable to agencies of
the Federal Government for such employees.
(8) Workers compensation.--Officers and employees of
the Corporation shall be covered by, and shall be
considered employees for purposes of, subchapter I of
chapter 81 of title 5 (concerning compensation for work
injuries). The Corporation shall make contributions to
the Employees' Compensation Fund under the provisions
of section 8147 of title 5 at the same rates applicable
to agencies of the Federal Government.
(9) Non-foreign area.--To the extent consistent with
law, the Non-Foreign Area Retirement Equity Assurance
Act of 2009 shall apply to officers and employees of
the Corporation transferred under section 90316.
(10) Transfer of leave.--Sick and annual leave,
credit hours, and compensatory time of officers and
employees of the Corporation, whether accrued before or
after the date of transfer, shall be obligations of the
Corporation under the provisions of this chapter.
(11) Whistleblower protection.--Neither the
Corporation, nor any officer or employee of the
Corporation, may take any action described in
subsection (b)(8), (b)(9), or (b)(13), or the final
paragraph of subsection (b), of section 2302 of title 5
(relating to whistleblower protection).
Sec. 91103. Labor and employment policy
(a) Application of Chapter 71 of Title 5.--To the extent not
inconsistent with this chapter, labor-management relations
shall be subject to the provisions of chapter 71 of title 5,
provided that the obligation of the Corporation and an
exclusive bargaining representative recognized under section
91105 to bargain collectively in good faith over conditions of
employment shall mean to bargain over the same wages, hours,
and other terms and conditions of employment as are negotiable
under section 8(d) of the Act of July 5, 1935, as amended (29
U.S.C. 158(d)), and without application of section 7103(a)(14)
of title 5 and section 7117 of title 5, which shall not apply.
(b) Applicability.--To the limited extent necessary for the
implementation of this chapter, the Corporation shall have the
rights and obligations of an agency under chapter 71 of title
5.
(c) Application of Fair Labor Standards Act.--The provisions
of the Fair Labor Standards Act of 1938 (29 U.S.C. 201 et seq.)
shall apply to the Corporation and to its officers and
employees.
(d) Reporting and Disclosure.--The provisions of the Labor-
Management Reporting and Disclosure Act of 1959 (29 U.S.C. 401
et seq.) shall be applicable to labor organizations that have
or are seeking to attain recognition under section 91105, and
to such organizations' officers, agents, shop stewards, other
representatives, and members.
(e) Right To Collectively Bargain.--Each employee of the
Corporation shall have the right, freely and without fear of
penalty or reprisal, to form, join, and assist a labor
organization or to refrain from any such activity, and each
employee shall be protected in the exercise of this right. Such
right shall include the right to engage in collective
bargaining with respect to the same wages, hours, and other
terms and conditions of employment as are negotiable under
section 8(d) of the Act of July 5, 1935, as amended (29 U.S.C.
158(d)).
Sec. 91104. Bargaining units
(a) In General.--Pursuant to section 7112 of title 5 and
subject to the requirements of this chapter, the Authority
shall decide in each case the unit appropriate for collective
bargaining with the Corporation.
(b) Previously Certified Units.--Notwithstanding subsection
(a), the Authority may not adopt, certify, or decide upon
bargaining units that include employees in bargaining units
previously certified by the Authority that are smaller in
geographic scope than such previously certified bargaining
units, unless the Authority finds by compelling evidence that
such previously certified units would not, absent modification,
remain units appropriate for collective bargaining with the
Corporation.
(c) Other Units.--
(1) Previous certifications.--Notwithstanding
subsection (a) or (b), the Authority shall not
recognize or certify any bargaining unit different than
the bargaining units previously certified by the
Authority prior to the date described in section
91105(g).
(2) Supervisors and management officials.--
Notwithstanding section 7135(a)(2) of title 5, a
bargaining unit may not include, or be modified to
include, any supervisor or management official, as
those terms are defined in section 7103(a) of title 5.
Sec. 91105. Recognition of labor organizations
(a) Application of Chapter 71 of Title 5.--To the extent not
inconsistent with this chapter, section 7111 of title 5 shall
apply to the recognition and certification of labor
organizations for the employees of the Corporation and the
Corporation shall accord exclusive recognition to and bargain
collectively with a labor organization when the organization
has been selected by a majority of the employees in an
appropriate unit as their representative.
(b) Recognition of Exclusive Representative.--Notwithstanding
subsection (a), each labor organization that, immediately
before the date of transfer, was recognized as the exclusive
representative for a bargaining unit of employees of the Agency
shall be deemed to be recognized on the date of transfer or
thereafter as the exclusive representative for those employees
of the Corporation in the same or similar bargaining unit
unless another representative for a bargaining unit of
employees is certified pursuant to section 7111 of title 5 and
this section.
(c) Expiration of Term.--Every collective-bargaining
agreement or arbitration award that applies to an employee of
the Agency and that is in force immediately before the date of
transfer continues in force until its term expires. To the
extent that the Corporation assumes the functions and
responsibilities that, prior to the date of transfer, were
conducted by the Agency, agreements and supplements (including
any arbitration award, as applicable) covering employees of the
Agency that are in effect on the date of transfer shall
continue to be recognized by and binding on the Corporation,
the bargaining representative, and all covered employees until
altered or amended pursuant to law. Any agreement, supplement,
or arbitration award continued by this section is deemed to be
an agreement, supplement, or arbitration award binding on the
Corporation, the bargaining representative, and all covered
employees for purposes of this chapter and title 5.
(d) Limitation on Application.--Notwithstanding section
91103, sections 7106 and 7113 of title 5 shall not apply to
this chapter.
(e) Continuation of Bargaining.--If an exclusive
representative and the Agency are engaged in bargaining
(whether concerning a collective-bargaining agreement, issues
related to the transfer of functions and responsibilities from
the Agency to the Corporation, or otherwise) prior to the date
of transfer, such bargaining shall continue between the
exclusive representative and the Corporation, and the
Corporation shall be bound by any commitments made during
bargaining by the Agency.
(f) Statutory Construction.--Nothing in this section may be
construed to prohibit the waiving of hearings by stipulation
for the purpose of a consent election in conformity with
regulations and rules of decision of the Authority.
(g) Limitation.--Notwithstanding any other provision of this
chapter or any provision of title 5, no bargaining unit or part
of a bargaining unit consisting of employees of the Corporation
represented by a labor organization pursuant to subsection (b)
may be reviewed, rescinded, amended, altered, or varied, other
than--
(1) to include in the unit any employees who are not
represented by a labor organization, or
(2) to merge bargaining units that are represented by
the same labor organization,
before the first day of the last 3 months of the first
collective agreement entered into after the date of transfer
that applies to those employees and that has resulted from
collective bargaining between such labor organization and the
Corporation.
(h) Deduction.--
(1) In general.--Notwithstanding section 91103,
section 7115 of title 5 shall not apply to this
chapter.
(2) Dues.--When a labor organization holds exclusive
recognition, the Corporation shall deduct the regular
and periodic dues, initiation fees, and assessments
(not including fines and penalties) of the organization
from the pay of all members of the organization in the
unit of recognition if the Corporation (or, before the
date of transfer, the Agency) has received from each
employee, on whose account such deductions are made, a
written assignment which shall be irrevocable for a
period of not more than 1 year.
(3) Continuation.--Any agreement described in
subsection (c) that provides for deduction by the
Agency of the regular and periodic dues, initiation
fees, and assessments (not including fines and
penalties) of the labor organization from the pay of
its members shall continue in full force and effect and
the obligation for such deductions shall be assumed by
the Corporation. No such deduction may be made from the
pay of any employee except on the employee's written
assignment, which shall be irrevocable for a period of
not more than 1 year.
Sec. 91106. Collective-bargaining agreements
(a) In General.--Except as provided under section 91105(c),
collective-bargaining agreements between the Corporation and
bargaining representatives shall be effective for not less than
2 years.
(b) Procedures.--Collective-bargaining agreements between the
Corporation and bargaining representatives recognized under
section 91105 may include procedures for resolution by the
parties of grievances and adverse actions arising under the
agreement, including procedures culminating in binding third-
party arbitration, or the parties may adopt such procedures by
mutual agreement in the event of a dispute. Such procedures
shall be applicable to disputes arising under section 91109.
(c) Limitation on Application.--Notwithstanding section
91103, section 7121(c) of title 5 shall not apply to this
chapter.
(d) Dispute Resolution Procedures.--The Corporation and
bargaining representatives recognized under section 91105 may
by mutual agreement adopt procedures for the resolution of
disputes or impasses arising in the negotiation of a
collective-bargaining agreement.
Sec. 91107. Collective-bargaining dispute resolution
(a) Resolution of Disputes.--
(1) In general.--If, prior to 90 days after the
expiration of the term collective-bargaining agreement
or 90 days after the parties begin mid-term
negotiations, the Corporation and the exclusive
bargaining representative of the employees of the
Corporation (in this section referred to collectively
as the ``parties'') do not reach an agreement under
sections 7114(a)(1), 7114(a)(4), and 7114(b) of title 5
(as such sections apply to the Corporation under this
chapter), or section 91106(d) of this chapter, the
Corporation and the bargaining representative shall use
the mediation services of the Service to attempt to
reach such agreement in accordance with part 1425 of
title 29, Code of Federal Regulations (as in effect on
the date of enactment of this subtitle).
(2) Mediation period.--The mediation period under
paragraph (1) may not exceed 60 days unless extended by
written agreement of the parties.
(b) Binding Arbitration for Term Bargaining.--
(1) Three member private arbitration board.--If the
mediation services of the Service under subsection
(a)(1) do not lead to the resolution of issues in
controversy arising from the negotiation of a term
collective-bargaining agreement, the parties shall
submit their issues in controversy to a private
arbitration board consisting of 3 members.
(2) Appointment of arbitration board.--
(A) Preparation of list of arbitrators.--The
Director of the Service shall provide for the
appointment of the 3 members of an arbitration
board by--
(i) preparing a list of not fewer
than 15 names of arbitrators of
nationwide reputation and professional
stature with at least 20 years of
experience in labor-management
arbitration and considerable experience
in interest arbitration in major
industries; and
(ii) providing the list to the
parties.
(B) Selection of arbitrators by parties.--Not
later than 10 days after receiving a list of
names under subparagraph (A), the parties shall
each select one arbitrator. The arbitrators
selected by the parties do not need to be
arbitrators whose names appear on the list.
(C) Selection of third arbitrator.--Not later
than 7 days after the date on which the 2
arbitrators are selected by the parties under
subparagraph (B), the 2 arbitrators, acting
jointly, shall select a third person from the
list prepared under subparagraph (A).
(D) Failure to act.--If either of the parties
fails to select a person or if the 2
arbitrators are unable to agree on the third
person in 7 days, the parties shall make the
selection by alternately striking names on the
list prepared under subparagraph (A), beginning
with the party chosen on a random basis, until
one arbitrator remains.
(3) Framing issues in controversy.--If the parties do
not agree on the framing of the issues to be submitted
for arbitration, the arbitration board shall frame the
issues.
(4) Hearings.--The arbitration board shall give the
parties a full and fair hearing, including an
opportunity to present evidence and witnesses in
support of their claims and an opportunity to present
their case in person, by counsel, or by other
representative as they may elect.
(5) Decisions.--The arbitration board shall render
its written decision not later than 90 days after the
date of its appointment. Decisions of the arbitration
board shall be conclusive and binding upon the parties.
(6) Evidence.--The arbitration board shall consider
and afford the proper weight to all of the evidence
presented by the parties.
(7) Costs.--The parties shall share costs of the
arbitration equally.
(c) Ratification of Agreements.--Upon reaching a voluntary
agreement or at the conclusion of the binding arbitration under
subsection (b), the final agreement, except for those matters
decided by a private arbitration board, shall be--
(1) subject to ratification by the exclusive
bargaining representative of the employees, if so
requested by the bargaining representative; and
(2) subject to approval by the head of the
Corporation in accordance with section 7114(c) of title
5.
(d) Mid-Term Bargaining.--
(1) Preparation of list of arbitrators.--If the
mediation services of the Service under subsection (a)
do not lead to the resolution of issues in controversy
arising from the negotiation of a mid-term collective-
bargaining agreement, the Director shall provide the
parties a list of not fewer than 10 names of
arbitrators of nationwide reputation and professional
stature with at least 20 years of experience in labor-
management arbitration and considerable experience in
interest arbitration in major industries.
(2) Selection of arbitrator.--The parties shall
alternately strike names on the list, beginning with
the party chosen on a random basis, until one
arbitrator remains.
(3) Decision.--The arbitrator shall hold a hearing,
and not later than 90 days after date of the
appointment of the arbitrator, issue a written decision
resolving the issues in controversy. The decision shall
be conclusive and binding upon the parties.
(e) Enforcement.--To enforce this section, either party may
bring suit in the United States District Court for the District
of Columbia, which shall hear and resolve the enforcement
action on an expedited basis.
(f) Application.--Notwithstanding section 91103(a), section
7119 of title 5 shall not apply to this chapter.
Sec. 91108. Potential and pending grievances, arbitrations, and
settlements
(a) In General.--The Corporation is deemed to be the employer
referred to in any agreement or supplement referred to in
section 91105(c) for the purpose of any arbitration proceeding
or arbitration award. Any agreement concerning any employee
that resolves a potential or filed grievance that is binding on
the Agency shall, to the extent that the employee becomes an
employee of the Corporation, become binding on the Corporation.
(b) Existing Binding Agreements.--Any agreement or supplement
referred to in section 91105(c) is binding on--
(1) the Corporation as if it were the employer
referred to in such agreement or supplement;
(2) the bargaining representative that is a party to
the agreement or supplement; and
(3) the employees of the Corporation in the
bargaining unit with respect to whom that bargaining
representative has been certified.
(c) Jurisdiction.--Subject to section 91103, the Authority
shall retain jurisdiction over all matters arising before the
date of transfer in relation to the interpretation and
application of any agreement or supplement referred to in
section 91105(c), whether or not such agreement or supplement
has expired.
(d) Existing Grievances or Arbitrations.--Grievances or
arbitrations that were filed or commenced before the date of
transfer with respect to any agreement or supplement referred
to in section 91105(c) shall be continued as though the
Corporation were the employer referred to in the agreement or
supplement.
(e) Proceedings After Date of Transfer.--Where events giving
rise to a grievance under any agreement or supplement referred
to in section 91105(c) occurred before the date of transfer but
the proceedings had not commenced before that date, the
proceedings may be commenced on or after the date of transfer
in accordance with such agreement or supplement as though the
Corporation were the employer referred to in such agreement or
supplement.
(f) Actions Deemed To Be by Corporation.--For the purposes of
subsections (c), (d), and (e), anything done, or not done, by
the Agency is deemed to have been done, or to have not been
done, as the case may be, by the Corporation.
(g) Exceptions to Arbitral Awards.--
(1) In general.--Notwithstanding section 91103,
section 7122 of title 5 shall not apply to this
chapter.
(2) Actions to vacate.--Either party to grievance
arbitration under this chapter may file an action
pursuant to section 91110(a) to enforce the arbitration
process or to vacate or enforce an arbitration award.
An arbitration award may only be vacated on the
grounds, and pursuant to the standards, that would be
applicable to an action to vacate an arbitration award
brought in the Federal courts under section 301 of the
Labor Management Relations Act, 1947 (29 U.S.C. 185).
Sec. 91109. Prohibition on striking and other activities
(a) In General.--Employees of the Corporation are prohibited
from--
(1) participating in a strike, work stoppage, or
slowdown against the Corporation; or
(2) picketing the Corporation in a labor-management
dispute if such picketing interferes with the
Corporation's operations.
(b) Termination.--An employee who participates in an activity
described in subsection (a) shall be terminated from employment
with the Corporation.
Sec. 91110. Legal action
(a) In General.--Consistent with the requirements of section
90315, actions to enforce the arbitration process or vacate or
enforce an arbitral award under section 91108(g)(2) between the
Corporation and a labor organization representing Corporation
employees, or between any such labor organizations, may be
brought in any district court of the United States having
jurisdiction of the parties, without respect to the amount in
controversy.
(b) Authorized Acts.--A labor organization recognized under
section 91105 and the Corporation shall be bound by the
authorized acts of their agents. Any labor organization may sue
or be sued as an entity and on behalf of the employees whom it
represents in the courts of the United States. Any money
judgment against a labor organization in a district court of
the United States shall be enforceable only against the
organization as an entity and against its assets, and shall not
be enforceable against any individual member or his assets.
(c) Jurisdiction.--Under this subtitle, for the purposes of
actions and proceedings by or against labor organizations in
the district courts of the United States, district courts shall
be deemed to have jurisdiction of a labor organization--
(1) in the district in which such organization
maintains its principal offices; or
(2) in any district in which its duly authorized
officers or agents are engaged in representing or
acting for employee members.
(d) Summons or Subpoena.--The service of summons, subpoena,
or other legal process of any court of the United States upon
an officer or agent of a labor organization, in his capacity as
such, shall constitute service upon the labor organization.
CHAPTER 913--OTHER MATTERS
Sec.
91301. Termination of Government functions.
91302. Savings provisions.
Sec. 91301. Termination of Government functions
Except as otherwise provided in this subtitle, whenever any
function vested by law in the Secretary, Administrator,
Department of Transportation, or FAA has been transferred to
the Corporation pursuant to this subtitle, it shall no longer
be a function of the Government.
Sec. 91302. Savings provisions
(a) Completed Administrative Actions.--
(1) In general.--Completed administrative actions of
the Department of Transportation or the FAA shall not
be affected by the enactment of this subtitle, but
shall continue in effect according to their terms until
amended, modified, superseded, terminated, set aside,
or revoked in accordance with law.
(2) Completed administrative action defined.--In
paragraph (1), the term ``completed administrative
action'' includes orders, determinations, rules,
regulations, personnel actions, permits, agreements,
grants, contracts, certificates, licenses,
registrations, and privileges.
(b) Continued Effectiveness of Pending Actions.--
(1) Pending actions and proceedings.--The provisions
of this subtitle shall not affect any proceedings of
the Department of Transportation or the FAA pending on
the date of transfer, including--
(A) notices of proposed rulemaking related to
activities of the FAA, without regard to
whether the activities are transferred to the
Corporation; and
(B) an application for a license, a permit, a
certificate, or financial assistance pending on
the date of transfer before the Department of
Transportation or the FAA, or any officer
thereof, with respect to activities of the
Department or the FAA, without regard to
whether the activities are transferred to the
Corporation.
(2) Effect of orders.--Orders issued in any
proceedings referred to in paragraph (1) shall continue
in effect until modified, terminated, superseded, or
revoked in accordance with law. Nothing in this
subsection prohibits the discontinuance or modification
of any such proceeding under the same terms and
conditions and to the same extent that such proceeding
could have been discontinued or modified if this
subtitle had not been enacted.
(c) Continued Effectiveness of Administrative and Judicial
Actions.--No causes of action or actions by or against the
Department of Transportation or the FAA arising from acts or
omissions occurring before the date of transfer shall abate by
reason of the enactment of this subtitle.
(d) Substitution or Addition of Parties to Judicial
Actions.--Except as provided by subsection (e)(2), if, on the
date of transfer, the Department of Transportation or the FAA,
or any officer thereof in the officer's capacity, is a party to
an action and, under this subtitle, the performance of that
activity of the Department, FAA, or officer is transferred to
the Corporation, such action shall be continued with the CEO
substituted or added as a party.
(e) Air Traffic Services Liabilities and Obligations.--
(1) Assumption of obligations.--Except as provided in
paragraph (2), the Corporation shall assume--
(A) all obligations (tangible and
incorporeal, present, and executory) associated
with the air traffic services transferred under
this subtitle on the date of transfer,
including leases, permits, licenses, contracts,
agreements, accounts receivable, and accounts
payable; and
(B) all claims and liabilities associated
with the air traffic services transferred under
this subtitle pending on the date of transfer.
(2) Claims and actions that remain liabilities of
united states.--
(A) Claims and actions arising in tort.--All
claims and actions arising in tort pending on
the date of transfer and arising out of the
alleged acts or omissions of employees of the
FAA who transfer to the Corporation shall
remain liabilities of the United States.
(B) Contingent liabilities.--All contingent
liabilities existing on the date of transfer
shall remain with the United States, including
(without limitation) environmental and
intellectual property infringement claims.
(C) Other claims and liabilities.--All other
claims and liabilities arising out of the
alleged acts or omissions of the United States
before the date of transfer (including those
arising under an agreement referred to in
section 91105(c)) whose remedy is financial or
monetary in nature shall remain liabilities of
the United States.
(D) Access of federal representatives to
employees and records.--The Secretary shall
ensure that, before the date of transfer, the
Corporation has agreed to allow representatives
of the Secretary and the Attorney General such
access as they may require to employees and
records of the Corporation for all purposes
relating to the handling of such claims under
this paragraph.
CHAPTER 915--CONGRESSIONAL OVERSIGHT OF AIR TRAFFIC SERVICES PROVIDER
Sec.
91501. Inspector General reports to Congress on transition.
91502. State of air traffic services.
91503. Submission of annual financial report.
91504. Submission of strategic plan.
91505. Submission of annual action plan.
Sec. 91501. Inspector General reports to Congress on transition
(a) In General.--Before the date of transfer, the Inspector
General of the Department of Transportation shall submit
regular reports to Congress on the progress of the preparation
of the Department of Transportation and of the Corporation for
the transfer of operational control of air traffic services
under this subtitle.
(b) Timing.--The reports described in subsection (a) shall be
submitted, at a minimum, on a quarterly basis until the date of
transfer.
(c) Sunset.--This section shall expire on the date of
transfer.
(d) Statutory Construction.--Nothing in this section may be
construed to limit the authority of the Inspector General of
the Department of Transportation to conduct oversight of the
Department of Transportation's interactions with the
Corporation after the date of transfer.
Sec. 91502. State of air traffic services
(a) Report.--Not later than 2 years after the date of
transfer, and on or before March 31 of every second year
beginning thereafter--
(1) the Corporation shall submit to the Secretary a
report on the state of air traffic services; and
(2) the Secretary shall submit the report to
Congress.
(b) Contents.--The report shall include, as appropriate,
information on--
(1) access to airports and services for all users,
including access with respect to rural areas;
(2) charges and fees, safety, and areas in which the
Corporation has identified efficiencies in the system,
including staffing and facilities realignment or
consolidation;
(3) the safe, fair, and timely provision of air
traffic services by the Corporation;
(4) the sound operation of the Corporation and the
impact of any activities of the Corporation on United
States airspace;
(5) the cooperation and interaction of the
Corporation with the Department of Defense, the
Department of Transportation, the FAA, and other
Federal departments and agencies, including any
agreements between the Corporation and those
departments and agencies;
(6) compliance of the Corporation with United States
obligations under international treaties and
agreements;
(7) compliance of the Corporation with Federal
safety, environmental, corporate, and tax laws and
regulations;
(8) compliance of the Corporation with Federal laws
related to employees of the Corporation;
(9) follow-up on Inspector General and Government
Accountability Office audits, investigations, and
reports involving the Corporation, including any
recommendations included in such reports;
(10) compliance of the Corporation with other Federal
requirements, including requirements relating to public
disclosure, publication of fees, annual reporting, and
establishment of the Advisory Board and other
committees;
(11) actions and activities of the CEO and Board and
their adherence to their duties and responsibilities;
(12) compliance of the Corporation with requirements
related to rural, remote, and small community air
traffic services;
(13) compliance of the Corporation with requirements
related to claims of incorrect fees and resolution of
fee disputes;
(14) compliance of the Corporation with requirements
to report safety violations to the FAA, cooperate with
FAA investigations, and assist in FAA enforcement
actions;
(15) actions in times of emergencies and times of
war;
(16) progress made by the Corporation in implementing
system modernization efforts and ongoing capital
investments, plans of the Corporation for next steps in
implementing such efforts and investments, current
efficiencies and benefits of previously implemented
systems improvements, and current needs for
improvement; and
(17) such other matters as the Secretary, in
consultation with the Administrator, determines
appropriate.
Sec. 91503. Submission of annual financial report
(a) Annual Financial Report.--
(1) In general.--Not later than 1 year after the date
of transfer, and annually thereafter, the Corporation
shall publish a report on the activities of the
Corporation during the prior year.
(2) Contents; availability.--The annual report shall
contain financial and operational performance
information regarding the Corporation, as well as
information on the compensation (including bonuses and
other financial incentives) of each Director, the CEO,
and officers of the Corporation, and shall be made
publicly available.
(3) Propriety information.--The Corporation shall
ensure that any propriety information that may be
contained in the annual report is not made public.
(b) Submission.--Each year, on the date the annual report
required pursuant to subsection (a) is published--
(1) the Corporation shall submit the report to the
Secretary; and
(2) the Secretary shall submit the report to
Congress.
Sec. 91504. Submission of strategic plan
(a) Submission of Strategic Plan.--Not later than 15 days
after the initial strategic plan is approved by the Board
pursuant to section 90308(c)--
(1) the Corporation shall submit the strategic plan
to the Secretary; and
(2) the Secretary shall submit the strategic plan to
Congress.
(b) Updates to Strategic Plan.--Not later than 15 days after
an update to the strategic plan is approved by the Board
pursuant to section 90308(c)--
(1) the Corporation shall submit the updated
strategic plan to the Secretary; and
(2) the Secretary shall submit the updated strategic
plan to Congress.
Sec. 91505. Submission of annual action plan
(a) In General.--The Corporation shall develop an annual
report on the goals of the Corporation for the following year.
(b) Contents.--The report shall contain goals for the
Corporation to meet that are specific, tangible, and
actionable, in order to expedite improvements to, and maintain
the integrity of, air traffic services provided by the
Corporation.
(c) Submission.--Not later than 1 year after the date of
transfer, and annually thereafter--
(1) the Corporation shall submit the report to the
Secretary; and
(2) the Secretary shall submit the report to
Congress.
(d) Public Availability.--The Corporation shall publish, and
make available to the public, each report submitted to the
Secretary under subsection (c).
(e) Proprietary Information.--In carrying out this section,
the Corporation may take necessary actions to prevent the
public disclosure of proprietary information.
* * * * * * *
----------
VISION 100--CENTURY OF AVIATION REAUTHORIZATION ACT
* * * * * * *
TITLE I--AIRPORT AND AIRWAY IMPROVEMENTS
* * * * * * *
Subtitle D--Miscellaneous
* * * * * * *
SEC. 186. MIDWAY ISLAND AIRPORT.
(a) Findings.--Congress finds that the continued operation of
the Midway Island Airport in accordance with the standards of
the Federal Aviation Administration applicable to commercial
airports is critical to the safety of commercial, military, and
general aviation in the mid-Pacific Ocean region.
(b) Memorandum of Understanding on Sale of Aircraft Fuel.--
The Secretaries of Transportation, Defense, Interior, and
Homeland Security shall enter into a memorandum of
understanding to facilitate the sale of aircraft fuel on Midway
Island at a price that will generate sufficient revenue to
improve the ability of the airport to operate on a self-
sustaining basis in accordance with the standards of the
Federal Aviation Administration applicable to commercial
airports. The memorandum shall also address the long-range
potential of promoting tourism as a means to generate revenue
to operate the airport.
(c) Transfer of Navigation Aids at Midway Island Airport.--
The Midway Island Airport may transfer, without consideration,
to the Administrator the navigation aids at the airport. The
Administrator shall accept the navigation aids and operate and
maintain the navigation aids under criteria of the
Administrator.
(d) Funding to Secretary of the Interior for Midway Island
Airport.--The Secretary of Transportation may enter into a
reimbursable agreement with the Secretary of the Interior for
the purpose of funding airport development, as defined in
section 47102(3) of title 49, United States Code, at Midway
Island Airport for [fiscal years 2012 through 2017] fiscal
years 2017 through 2023 from amounts available in the
discretionary fund established by section 47115 of such title.
The maximum obligation under the agreement for any such fiscal
year shall be $2,500,000.
* * * * * * *
TITLE IV--AIRLINE SERVICE IMPROVEMENTS
Subtitle A--Small Community Air Service
* * * * * * *
SEC. 409. MEASUREMENT OF HIGHWAY MILES FOR PURPOSES OF DETERMINING
ELIGIBILITY OF ESSENTIAL AIR SERVICE SUBSIDIES.
(a) Request for Secretarial Review.--An eligible place (as
defined in section 41731 of title 49, United States Code) with
respect to which the Secretary has, in the 2-year period ending
on the date of enactment of this Act, eliminated (or
tentatively eliminated) compensation for essential air service
to such place, or terminated (or tentatively terminated) the
compensation eligibility of such place for essential air
service, under section 332 of the Department of Transportation
and Related Agencies Appropriations Act, 2000 (49 U.S.C. 41731
note), section 205 of the Wendell H. Ford Aviation Investment
and Reform Act for the 21st Century (49 U.S.C. 41731 note), or
any prior law of similar effect based on the highway mileage of
such place from the nearest hub airport (as defined in section
40102 of such title), may request the Secretary to review such
action.
(b) Determination of Mileage.--In reviewing an action under
subsection (a), the highway mileage between an eligible place
and the nearest medium hub airport or large hub airport is the
highway mileage of the most commonly used route between the
place and the medium hub airport or large hub airport. In
identifying such route, the Secretary shall identify the most
commonly used route for a community by--
(1) consulting with the Governor of a State or the
Governor's designee; and
(2) considering the certification of the Governor of
a State or the Governor's designee as to the most
commonly used route.
(c) Eligibility Determination.--Not later than 60 days after
receiving a request under subsection (a), the Secretary shall--
(1) determine whether the eligible place would have
been subject to an elimination of compensation
eligibility for essential air service, or termination
of the eligibility of such place for essential air
service, under the provisions of law referred to in
subsection (a) based on the determination of the
highway mileage of such place from the nearest medium
hub airport or large hub airport under subsection (b);
and
(2) issue a final order with respect to the
eligibility of such place for essential air service
compensation under subchapter II of chapter 417 of
title 49, United States Code.
(d) Limitation on Period of Final Order.--A final order
issued under subsection (c) shall terminate on [September 30,
2017] September 30, 2023 .
* * * * * * *
----------
FAA MODERNIZATION AND REFORM ACT OF 2012
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``FAA
Modernization and Reform Act of 2012''.
(b) Table of Contents.--The table of contents for this Act is
as follows:
* * * * * * *
TITLE III--SAFETY
* * * * * * *
Subtitle B--Unmanned Aircraft Systems
[Sec. 333. Special rules for certain unmanned aircraft systems.
[Sec. 334. Public unmanned aircraft systems.]
* * * * * * *
[Sec. 336. Special rule for model aircraft.]
* * * * * * *
TITLE III--SAFETY
* * * * * * *
Subtitle B--Unmanned Aircraft Systems
* * * * * * *
SEC. 332. INTEGRATION OF CIVIL UNMANNED AIRCRAFT SYSTEMS INTO NATIONAL
AIRSPACE SYSTEM.
[(a) Required Planning for Integration.--
[(1) Comprehensive plan.--Not later than 270 days
after the date of enactment of this Act, the Secretary
of Transportation, in consultation with representatives
of the aviation industry, Federal agencies that employ
unmanned aircraft systems technology in the national
airspace system, and the unmanned aircraft systems
industry, shall develop a comprehensive plan to safely
accelerate the integration of civil unmanned aircraft
systems into the national airspace system.
[(2) Contents of plan.--The plan required under
paragraph (1) shall contain, at a minimum,
recommendations or projections on--
[(A) the rulemaking to be conducted under
subsection (b), with specific recommendations
on how the rulemaking will--
[(i) define the acceptable standards
for operation and certification of
civil unmanned aircraft systems;
[(ii) ensure that any civil unmanned
aircraft system includes a sense and
avoid capability; and
[(iii) establish standards and
requirements for the operator and pilot
of a civil unmanned aircraft system,
including standards and requirements
for registration and licensing;
[(B) the best methods to enhance the
technologies and subsystems necessary to
achieve the safe and routine operation of civil
unmanned aircraft systems in the national
airspace system;
[(C) a phased-in approach to the integration
of civil unmanned aircraft systems into the
national airspace system;
[(D) a timeline for the phased-in approach
described under subparagraph (C);
[(E) creation of a safe
[(F) airspace designation for cooperative
manned and unmanned flight operations in the
national airspace system;
[(G) establishment of a process to develop
certification, flight standards, and air
traffic requirements for civil unmanned
aircraft systems at test ranges where such
systems are subject to testing;
[(H) the best methods to ensure the safe
operation of civil unmanned aircraft systems
and public unmanned aircraft systems
simultaneously in the national airspace system;
and
[(I) incorporation of the plan into the
annual NextGen Implementation Plan document (or
any successor document) of the Federal Aviation
Administration.
[(3) Deadline.--The plan required under paragraph (1)
shall provide for the safe integration of civil
unmanned aircraft systems into the national airspace
system as soon as practicable, but not later than
September 30, 2015.
[(4) Report to congress.--Not later than 1 year after
the date of enactment of this Act, the Secretary shall
submit to Congress a copy of the plan required under
paragraph (1).
[(5) Roadmap.--Not later than 1 year after the date
of enactment of this Act, the Secretary shall approve
and make available in print and on the Administration's
Internet Web site a 5-year roadmap for the introduction
of civil unmanned aircraft systems into the national
airspace system, as coordinated by the Unmanned
Aircraft Program Office of the Administration. The
Secretary shall update, in coordination with the
Administrator of the National Aeronautics and Space
Administration (NASA) and relevant stakeholders,
including those in industry and academia, the roadmap
annually. The roadmap shall include, at a minimum--
[(A) cost estimates, planned schedules, and
performance benchmarks, including specific
tasks, milestones, and timelines, for unmanned
aircraft systems integration into the national
airspace system, including an identification
of--
[(i) the role of the unmanned
aircraft systems test ranges
established under subsection (c) and
the Unmanned Aircraft Systems Center of
Excellence;
[(ii) performance objectives for
unmanned aircraft systems that operate
in the national airspace system; and
[(iii) research and development
priorities for tools that could assist
air traffic controllers as unmanned
aircraft systems are integrated into
the national airspace system, as
appropriate;
[(B) a description of how the Administration
plans to use research and development,
including research and development conducted
through NASA's Unmanned Aircraft Systems
Traffic Management initiatives, to accommodate,
integrate, and provide for the evolution of
unmanned aircraft systems in the national
airspace system;
[(C) an assessment of critical performance
abilities necessary to integrate unmanned
aircraft systems into the national airspace
system, and how these performance abilities can
be demonstrated; and
[(D) an update on the advancement of
technologies needed to integrate unmanned
aircraft systems into the national airspace
system, including decisionmaking by adaptive
systems, such as sense-and-avoid capabilities
and cyber physical systems security.
[(b) Rulemaking.--Not later than 18 months after the date on
which the plan required under subsection (a)(1) is submitted to
Congress under subsection (a)(4), the Secretary shall publish
in the Federal Register--
[(1) a final rule on small unmanned aircraft systems
that will allow for civil operation of such systems in
the national airspace system, to the extent the systems
do not meet the requirements for expedited operational
authorization under section 333 of this Act;
[(2) a notice of proposed rulemaking to implement the
recommendations of the plan required under subsection
(a)(1), with the final rule to be published not later
than 16 months after the date of publication of the
notice; and
[(3) an update to the Administration's most recent
policy statement on unmanned aircraft systems,
contained in Docket No. FAA-2006-25714.]
(c) Pilot Projects.--
(1) Establishment.--Not later than 180 days after the
date of enactment of this Act, the Administrator shall
establish a program to integrate unmanned aircraft
systems into the national airspace system at 6 test
ranges. The program shall terminate on [September 30,
2019] the date that is 6 years after the date of
enactment of the 21st Century AIRR Act .
(2) Program requirements.--In establishing the
program under paragraph (1), the Administrator shall--
(A) safely designate airspace for integrated
manned and unmanned flight operations in the
national airspace system;
(B) develop certification standards and air
traffic requirements for unmanned flight
operations at test ranges;
(C) coordinate with and leverage the
resources of the National Aeronautics and Space
Administration and the Department of Defense;
(D) address both civil and public unmanned
aircraft systems;
(E) ensure that the program is coordinated
with the Next Generation Air Transportation
System; and
(F) provide for verification of the safety of
unmanned aircraft systems and related
navigation procedures before integration into
the national airspace system.
(3) Test range locations.--In determining the
location of the 6 test ranges of the program under
paragraph (1), the Administrator shall--
(A) take into consideration geographic and
climatic diversity;
(B) take into consideration the location of
ground infrastructure and research needs; and
(C) consult with the National Aeronautics and
Space Administration and the Department of
Defense.
(4) Test range operation.--A project at a test range
shall be operational not later than 180 days after the
date on which the project is established.
(5) Report to congress.--
(A) In general.--Not later than 90 days after
the date of the termination of the program
under paragraph (1), the Administrator shall
submit to the Committee on Commerce, Science,
and Transportation of the Senate and the
Committee on Transportation and Infrastructure
and the Committee on Science, Space, and
Technology of the House of Representatives a
report setting forth the Administrator's
findings and conclusions concerning the
projects.
(B) Additional contents.--The report under
subparagraph (A) shall include a description
and assessment of the progress being made in
establishing special use airspace to fill the
immediate need of the Department of Defense--
(i) to develop detection techniques
for small unmanned aircraft systems;
and
(ii) to validate the sense and avoid
capability and operation of unmanned
aircraft systems.
[(d) Expanding Use of Unmanned Aircraft Systems in Arctic.--
[(1) In general.--Not later than 180 days after the
date of enactment of this Act, the Secretary shall
develop a plan and initiate a process to work with
relevant Federal agencies and national and
international communities to designate permanent areas
in the Arctic where small unmanned aircraft may operate
24 hours per day for research and commercial purposes.
The plan for operations in these permanent areas shall
include the development of processes to facilitate the
safe operation of unmanned aircraft beyond line of
sight. Such areas shall enable over-water flights from
the surface to at least 2,000 feet in altitude, with
ingress and egress routes from selected coastal launch
sites.
[(2) Agreements.--To implement the plan under
paragraph (1), the Secretary may enter into an
agreement with relevant national and international
communities.
[(3) Aircraft approval.--Not later than 1 year after
the entry into force of an agreement necessary to
effectuate the purposes of this subsection, the
Secretary shall work with relevant national and
international communities to establish and implement a
process, or may apply an applicable process already
established, for approving the use of unmanned aircraft
in the designated permanent areas in the Arctic without
regard to whether an unmanned aircraft is used as a
public aircraft, a civil aircraft, or a model
aircraft.]
* * * * * * *
[SEC. 333. SPECIAL RULES FOR CERTAIN UNMANNED AIRCRAFT SYSTEMS.
[(a) In General.--Notwithstanding any other requirement of
this subtitle, and not later than 180 days after the date of
enactment of this Act, the Secretary of Transportation shall
determine if certain unmanned aircraft systems may operate
safely in the national airspace system before completion of the
plan and rulemaking required by section 332 of this Act or the
guidance required by section 334 of this Act.
[(b) Assessment of Unmanned Aircraft Systems.--In making the
determination under subsection (a), the Secretary shall
determine, at a minimum--
[(1) which types of unmanned aircraft systems, if
any, as a result of their size, weight, speed,
operational capability, proximity to airports and
populated areas, and operation within visual line of
sight do not create a hazard to users of the national
airspace system or the public or pose a threat to
national security; and
[(2) whether a certificate of waiver, certificate of
authorization, or airworthiness certification under
section 44704 of title 49, United States Code, is
required for the operation of unmanned aircraft systems
identified under paragraph (1).
[(c) Requirements for Safe Operation.--If the Secretary
determines under this section that certain unmanned aircraft
systems may operate safely in the national airspace system, the
Secretary shall establish requirements for the safe operation
of such aircraft systems in the national airspace system.
[SEC. 334. PUBLIC UNMANNED AIRCRAFT SYSTEMS.
[(a) Guidance.--Not later than 270 days after the date of
enactment of this Act, the Secretary of Transportation shall
issue guidance regarding the operation of public unmanned
aircraft systems to--
[(1) expedite the issuance of a certificate of
authorization process;
[(2) provide for a collaborative process with public
agencies to allow for an incremental expansion of
access to the national airspace system as technology
matures and the necessary safety analysis and data
become available, and until standards are completed and
technology issues are resolved;
[(3) facilitate the capability of public agencies to
develop and use test ranges, subject to operating
restrictions required by the Federal Aviation
Administration, to test and operate unmanned aircraft
systems; and
[(4) provide guidance on a public entity's
responsibility when operating an unmanned aircraft
without a civil airworthiness certificate issued by the
Administration.
[(b) Standards for Operation and Certification.--Not later
than December 31, 2015, the Administrator shall develop and
implement operational and certification requirements for the
operation of public unmanned aircraft systems in the national
airspace system.
[(c) Agreements With Government Agencies.--
[(1) In general.--Not later than 90 days after the
date of enactment of this Act, the Secretary shall
enter into agreements with appropriate government
agencies to simplify the process for issuing
certificates of waiver or authorization with respect to
applications seeking authorization to operate public
unmanned aircraft systems in the national airspace
system.
[(2) Contents.--The agreements shall--
[(A) with respect to an application described
in paragraph (1)--
[(i) provide for an expedited review
of the application;
[(ii) require a decision by the
Administrator on approval or
disapproval within 60 business days of
the date of submission of the
application; and
[(iii) allow for an expedited appeal
if the application is disapproved;
[(B) allow for a one-time approval of similar
operations carried out during a fixed period of
time; and
[(C) allow a government public safety agency
to operate unmanned aircraft weighing 4.4
pounds or less, if operated--
[(i) within the line of sight of the
operator;
[(ii) less than 400 feet above the
ground;
[(iii) during daylight conditions;
[(iv) within Class G airspace; and
[(v) outside of 5 statute miles from
any airport, heliport, seaplane base,
spaceport, or other location with
aviation activities.]
* * * * * * *
[SEC. 336. SPECIAL RULE FOR MODEL AIRCRAFT.
[(a) In General.--Notwithstanding any other provision of law
relating to the incorporation of unmanned aircraft systems into
Federal Aviation Administration plans and policies, including
this subtitle, the Administrator of the Federal Aviation
Administration may not promulgate any rule or regulation
regarding a model aircraft, or an aircraft being developed as a
model aircraft, if--
[(1) the aircraft is flown strictly for hobby or
recreational use;
[(2) the aircraft is operated in accordance with a
community-based set of safety guidelines and within the
programming of a nationwide community-based
organization;
[(3) the aircraft is limited to not more than 55
pounds unless otherwise certified through a design,
construction, inspection, flight test, and operational
safety program administered by a community-based
organization;
[(4) the aircraft is operated in a manner that does
not interfere with and gives way to any manned
aircraft; and
[(5) when flown within 5 miles of an airport, the
operator of the aircraft provides the airport operator
and the airport air traffic control tower (when an air
traffic facility is located at the airport) with prior
notice of the operation (model aircraft operators
flying from a permanent location within 5 miles of an
airport should establish a mutually-agreed upon
operating procedure with the airport operator and the
airport air traffic control tower (when an air traffic
facility is located at the airport)).
[(b) Statutory Construction.--Nothing in this section shall
be construed to limit the authority of the Administrator to
pursue enforcement action against persons operating model
aircraft who endanger the safety of the national airspace
system.
[(c) Model Aircraft Defined.--In this section, the term
``model aircraft'' means an unmanned aircraft that is--
[(1) capable of sustained flight in the atmosphere;
[(2) flown within visual line of sight of the person
operating the aircraft; and
[(3) flown for hobby or recreational purposes.]
TITLE IV--AIR SERVICE IMPROVEMENTS
Subtitle A--Passenger Air Service Improvements
* * * * * * *
SEC. 411. ESTABLISHMENT OF ADVISORY COMMITTEE FOR AVIATION CONSUMER
PROTECTION.
(a) In General.--The Secretary of Transportation shall
establish an advisory committee for aviation consumer
protection to advise the Secretary in carrying out activities
relating to airline customer service improvements.
(b) Membership.--The Secretary shall appoint the members of
the advisory committee, which shall be comprised of one
representative each of--
(1) air carriers;
(2) airport operators;
(3) independent distributors of travel;
[(3)] (4) State or local governments with expertise
in consumer protection matters; and
[(4)] (5) nonprofit public interest groups with
expertise in consumer protection matters.
(c) Vacancies.--A vacancy in the advisory committee shall be
filled in the manner in which the original appointment was
made.
(d) Travel Expenses.--Members of the advisory committee shall
serve without pay but shall receive travel expenses, including
per diem in lieu of subsistence, in accordance with subchapter
I of chapter 57 of title 5, United States Code.
(e) Chairperson.--The Secretary shall designate, from among
the individuals appointed under subsection (b), an individual
to serve as chairperson of the advisory committee.
(f) Duties.--The duties of the advisory committee shall
include--
(1) evaluating existing aviation consumer protection
programs and providing recommendations for the
improvement of such programs, if needed; and
(2) providing recommendations for establishing
additional aviation consumer protection programs, if
needed.
(g) Select Subcommittee for Aviation Consumers With
Disabilities.--
(1) In general.--The Secretary shall establish a
select subcommittee of the advisory committee to advise
the Secretary and the advisory committee on issues
related to the air travel needs of passengers with
disabilities.
(2) Duties.--The select subcommittee shall--
(A) identify the disability-related access
barriers encountered by passengers with
disabilities;
(B) determine the extent to which the
programs and activities of the Department of
Transportation are addressing the barriers
identified under subparagraph (A);
(C) recommend consumer protection
improvements related to the air travel
experience of passengers with disabilities;
(D) advise the Secretary with regard to the
implementation of section 41705 of title 49,
United States Code; and
(E) conduct such other activities as the
Secretary considers necessary to carry out this
subsection.
(3) Membership.--
(A) Composition.--The select subcommittee
shall be composed of members appointed by the
Secretary, including at least 1 individual
representing each of the following:
(i) National disability
organizations.
(ii) Air carriers and foreign air
carriers with flights in air
transportation.
(iii) Airport operators.
(iv) Contractor service providers.
(B) Inclusion.--A member of the select
subcommittee may also be a member of the
advisory committee.
(4) Reports.--
(A) In general.--Not later than 1 year after
the date of establishment of the select
subcommittee, the select subcommittee shall
submit to the advisory committee and the
Secretary a report on the air travel needs of
passengers with disabilities that includes--
(i) an assessment of existing
disability-related access barriers and
any emerging disability-related access
barriers that will likely be an issue
in the next 5 years;
(ii) an evaluation of the extent to
which the programs and activities of
the Department of Transportation are
eliminating disability-related access
barriers;
(iii) a description of consumer
protection improvements related to the
air travel experience of passengers
with disabilities; and
(iv) any recommendations for
legislation, regulations, or other
actions that the select subcommittee
considers appropriate.
(B) Report to congress.--Not later than 60
days after the date on which the Secretary
receives the report under subparagraph (A), the
Secretary shall submit to Congress a copy of
the report, including any additional findings
or recommendations that the Secretary considers
appropriate.
(5) Chairperson.--The Secretary shall designate, from
among the individuals appointed under paragraph (3), an
individual to serve as chairperson of the select
subcommittee.
(6) Vacancies and travel expenses.--Subsections (c)
and (d) shall apply to the select subcommittee.
(7) Termination.--The select subcommittee established
under this subsection shall terminate upon submission
of the report required under paragraph (4)(A).
[(g)] (h) Report to Congress.--Not later than February 1 of
each of the [first 2 calendar years] first 6 calendar years
beginning after the date of enactment of this Act, the
Secretary shall transmit to Congress a report containing--
(1) the recommendations made by the advisory
committee during the preceding calendar year; and
(2) an explanation of how the Secretary has
implemented each recommendation and, for each
recommendation not implemented, the Secretary's reason
for not implementing the recommendation.
[(h)] (i) Termination.--The advisory committee established
under this section shall terminate on [September 30, 2017]
September 30, 2023 .
* * * * * * *
Subtitle B--Essential Air Service
* * * * * * *
SEC. 426. ADJUSTMENTS TO COMPENSATION FOR SIGNIFICANTLY INCREASED
COSTS.
(a) Emergency Across-the-Board Adjustment.--Subject to the
availability of funds, the [Secretary] Secretary of
Transportation may increase the rates of compensation payable
to air carriers under subchapter II of chapter 417 of title 49,
United States Code, to compensate such carriers for increased
aviation fuel costs without regard to any agreement or
requirement relating to the renegotiation of contracts or any
notice requirement under section 41734 of such title.
(b) Expedited Process for Adjustments to Individual
Contracts.--
(1) In general.--Section 41734(d) is amended by
striking ``continue to pay'' and all that follows
through ``compensation sufficient--'' and inserting
``provide the carrier with compensation sufficient--''.
(2) Effective date.--The amendment made by paragraph
(1) shall apply to compensation to air carriers for air
service provided after the 30th day following the date
of enactment of this Act.
(c) Subsidy Cap.--Subject to the availability of funds, [the
Secretary may waive] the Secretary of Transportation may waive
, on a case-by-case basis, the subsidy-per-passenger cap
established by section 332 of the Department of Transportation
and Related Agencies Appropriations Act, 2000 (Public Law 106-
69; 113 Stat. 1022). A waiver issued under this subsection
shall remain in effect for a limited period of time, as
determined by the Secretary.
* * * * * * *
TITLE V--ENVIRONMENTAL STREAMLINING
* * * * * * *
SEC. 507. AIRCRAFT DEPARTURE QUEUE MANAGEMENT PILOT PROGRAM.
(a) In General.--The Secretary of Transportation shall carry
out a pilot program at not more than 5 public-use airports
under which the Federal Aviation Administration shall use funds
made available under [section 48101(a)] section 48101(a) of
title 49, United States Code, to test air traffic flow
management tools, methodologies, and procedures that will allow
air traffic controllers of the Administration to better manage
the flow of aircraft on the ground and reduce the length of
ground holds and idling time for aircraft.
(b) Selection Criteria.--In selecting from among airports at
which to conduct the pilot program, the Secretary shall give
priority consideration to airports at which improvements in
ground control efficiencies are likely to achieve the greatest
fuel savings or air quality or other environmental benefits, as
measured by the amount of reduced fuel, reduced emissions, or
other environmental benefits per dollar of funds expended under
the pilot program.
(c) Maximum Amount.--Not more than a total of $2,500,000 may
be expended under the pilot program at any single public-use
airport.
* * * * * * *
TITLE VIII--MISCELLANEOUS
* * * * * * *
SEC. 804. CONSOLIDATION AND REALIGNMENT OF FAA SERVICES AND FACILITIES.
(a) National Facilities Realignment and Consolidation
Report.--
(1) In general.--The Administrator of the Federal
Aviation Administration shall develop a report, to be
known as the National Facilities Realignment and
Consolidation Report, in accordance with the
requirements of this subsection.
(2) Purpose.-- [The purpose of the report shall be--]
[(A) to support the transition to the Next
Generation Air Transportation System; and]
[(B) to reduce] The purpose of the report
shall be to reduce capital, operating,
maintenance, and administrative costs of the
FAA where such cost reductions can be
implemented without adversely affecting safety.
(3) Contents.--The report shall include--
(A) recommendations of the Administrator on
realignment and consolidation of services and
facilities (including regional offices) of the
FAA; and
(B) for each of the recommendations, a
description of--
(i) the Administrator's
justification;
(ii) the projected costs and savings;
and
(iii) the proposed timing for
implementation.
[(4) Input.--The report shall be developed by the
Administrator (or the Administrator's designee)--
[(A) in coordination with the Chief NextGen
Officer and the Chief Operating Officer of the
Air Traffic Organization of the FAA; and
[(B) with the participation of--
[(i) representatives of labor
organizations representing operations
and maintenance employees of the air
traffic control system; and
[(ii) industry stakeholders.]
(4) Input.--The report shall be prepared by the
Administrator (or the Administrator's designee) with
the participation of--
(A) representatives of labor organizations
representing air traffic control system
employees of the FAA; and
(B) industry stakeholders.
(5) Submission to congress.--Not later than 120 days
after the date of enactment of this Act, the
Administrator shall submit the report to the Committee
on Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science,
and Transportation of the Senate.
(6) Public notice and comment.--The Administrator
shall publish the report in the Federal Register and
allow 45 days for the submission of public comments.
(b) Report to Congress Containing Recommendations of
Administrator.--Not later than 60 days after the last day of
the period for public comment under subsection (a)(6), the
Administrator shall submit to the committees specified in
subsection (a)(5)--
(1) a report containing the recommendations of the
Administrator on realignment and consolidation of
services and facilities (including regional offices) of
the FAA; and
(2) copies of any public comments received by the
Administrator under subsection (a)(6).
(c) Realignment and Consolidation of FAA Services and
Facilities.--Except as provided in subsection (d), the
Administrator shall realign and consolidate the services and
facilities of the FAA in accordance with the recommendations
included in the report submitted under subsection (b).
(d) Congressional Disapproval.--
(1) In general.--The Administrator may not carry out
a recommendation for realignment or consolidation of
services or facilities of the FAA that is included in
the report submitted under subsection (b) if a joint
resolution of disapproval is enacted disapproving such
recommendation before the earlier of--
(A) the last day of the 30-day period
beginning on the date of submission of the
report; or
(B) the adjournment of Congress sine die for
the session during which the report is
transmitted.
(2) Computation of 30-day period.--For purposes of
paragraph (1)(A), the days on which either House of
Congress is not in session because of an adjournment of
more than 3 days to a day certain shall be excluded in
computation of the 30-day period.
(e) Definitions.--In this section, the following definitions
apply:
(1) FAA.--The term ``FAA'' means the Federal Aviation
Administration.
(2) Realignment; consolidation.--
(A) In general.--The terms ``realignment''
and ``consolidation'' include any action that--
(i) relocates functions, services, or
personnel positions;
(ii) discontinues or severs existing
facility functions or services; or
(iii) combines the results described
in clauses (i) and (ii).
(B) Exclusion.--The terms do not include a
reduction in personnel resulting from workload
adjustments.
* * * * * * *
SEC. 817. RELEASE FROM RESTRICTIONS.
(a) In General.--Subject to subsection (b), the Secretary of
Transportation is authorized to grant to an airport, city, or
county a release from any of the terms, conditions,
reservations, or restrictions contained in a deed under which
the United States conveyed to the airport, city, or county an
interest in real property for airport purposes pursuant to
section 16 of the Federal Airport Act (60 Stat. 179) [or
section 23], section 23 of the Airport and Airway Development
Act of 1970 (84 Stat. 232), or section 47125 of title 49,
United States Code .
(b) Condition.--Any release granted by the Secretary pursuant
to subsection (a) shall be subject to the following conditions:
(1) The applicable airport, city, or county shall
agree that in conveying any interest in the real
property which the United States conveyed to the
airport, city, or county, the airport, city, or county
will receive consideration for such interest that is
equal to its fair market value.
(2) Any consideration received by the airport, city,
or county under paragraph (1) shall be used exclusively
for the development, improvement, operation, or
maintenance of a public airport by the airport, city,
or county.
(3) Any other conditions required by the Secretary.
* * * * * * *
----------
FAA EXTENSION, SAFETY, AND SECURITY ACT OF 2016
* * * * * * *
TITLE II--AVIATION SAFETY CRITICAL REFORMS
Subtitle A--Safety
* * * * * * *
SEC. 2110. TOWER MARKING.
[(a) In General.--Not later than 1 year after the date of
enactment of this Act, the Administrator of the Federal
Aviation Administration shall issue regulations to require the
marking of covered towers.
[(b) Marking Required.--The regulations under subsection (a)
shall require that a covered tower be clearly marked in a
manner that is consistent with applicable guidance under the
Federal Aviation Administration Advisory Circular issued
December 4, 2015 (AC 70/7460-1L), or other relevant safety
guidance, as determined by the Administrator.
[(c) Application.--The regulations issued under subsection
(a) shall ensure that--
[(1) all covered towers constructed on or after the
date on which such regulations take effect are marked
in accordance with subsection (b); and
[(2) a covered tower constructed before the date on
which such regulations take effect is marked in
accordance with subsection (b) not later than 1 year
after such effective date.]
(a) Application.--
(1) In general.--Except as provided by paragraph (2),
not later than 1 year after the date of enactment of
the 21st Century AIRR Act or the availability of the
database developed by the Administrator of the Federal
Aviation Administration pursuant to subsection (c),
whichever is later, all covered towers shall be
either--
(A) clearly marked consistent with applicable
guidance in the advisory circular of the
Federal Aviation Administration issued December
4, 2015 (AC 70/7460-IL); or
(B) included in the database described in
subsection (c).
(2) Meteorological evaluation tower.--A covered tower
that is a meteorological evaluation tower shall be
subject to the requirements of paragraphs (1)(A) and
(1)(B).
[(d)] (b) Definitions.--
(1) In General.--In this section, the following
definitions apply:
(A) Covered tower.--
(i) In General.--The term ``covered
tower'' means a structure that--
(I) is [self-standing or] a
meteorological evaluation tower
or tower supported by guy wires
and ground anchors;
(II) is 10 feet or less in
diameter at the above-ground
base, excluding concrete
footing;
(III) at the highest point of
the structure is at least 50
feet above ground level;
(IV) at the highest point of
the structure is not more than
200 feet above ground level;
(V) has accessory facilities
on which an antenna, sensor,
camera, meteorological
instrument, or other equipment
is mounted; and
(VI) is located--
(aa) outside the
boundaries of an
incorporated city or
town; or
(bb) on land that
is--
(AA)
undeveloped; or
(BB) used for
agricultural
purposes.
(ii) Exclusions.--The term ``covered
tower'' does not include any structure
that--
(I) is adjacent to a house,
barn, electric utility station,
or other building;
(II) is within the curtilage
of a farmstead;
(III) supports electric
utility transmission or
distribution lines;
(IV) is a wind-powered
electrical generator with a
rotor blade radius that exceeds
6 feet; [or]
(V) is a street light erected
or maintained by a Federal,
State, local, or tribal
entity[.];
(VI) is located within the
right-of-way of a rail carrier,
including within the boundaries
of a rail yard, and is used for
a railroad purpose;
(VII) is determined by the
Administrator to pose no hazard
to air navigation; or
(VIII) has already mitigated
any hazard to aviation safety
in accordance with Federal
Aviation Administration
guidance or as otherwise
approved by the Administrator.
(B) Undeveloped.--The term ``undeveloped''
means a defined geographic area where the
Administrator determines low-flying aircraft
are operated on a routine basis, such as low-
lying forested areas with predominant tree
cover under 200 feet and pasture and range
land.
(2) Other definitions.--The Administrator shall
define such other terms as may be necessary to carry
out this section.
[(e)] (c) Database.--The Administrator shall--
[(1) develop a database that contains the location
and height of each covered tower;]
(1) develop a database that contains the location and
height of each covered tower that, pursuant to
subsection (a), the owner or operator of such tower
elects not to mark, except that meteorological
evaluation towers shall be marked and contained in the
database;
(2) keep the database current to the extent
practicable;
(3) ensure that any proprietary information in the
database is protected from disclosure in accordance
with law; [and]
(4) ensure that, by virtue of accessing the database,
users agree and acknowledge that information in the
database--
(A) may only be used for aviation safety
purposes; and
(B) may not be disclosed for purposes other
than aviation safety, regardless of whether or
not the information is marked or labeled as
proprietary or with a similar designation[.];
(5) ensure that the tower information in the database
is de-identified and that the information only includes
the location and height of covered towers; and
(6) make the database available for use not later
than 1 year after the date of enactment of the 21st
Century AIRR Act.
* * * * * * *
----------
TITLE 51, UNITED STATES CODE
* * * * * * *
SUBTITLE V--PROGRAMS TARGETING COMMERCIAL OPPORTUNITIES
* * * * * * *
CHAPTER 509--COMMERCIAL SPACE LAUNCH ACTIVITIES
Sec.
50901. Findings and purposes.
* * * * * * *
50924. Funding to facilitate FAA licensing.
* * * * * * *
Sec. 50924. Funding to facilitate FAA licensing
(a) In General.--Notwithstanding any other provision of law,
the Secretary of Transportation may accept funds from a person
applying for a license or permit under this chapter to hire
additional staff or obtain the services of consultants and
experts--
(1) to facilitate the timely processing, review, and
issuance of licenses or permits issued under this
chapter;
(2) to conduct environmental activities, studies, or
reviews associated with such licenses or permits; or
(3) to conduct additional activities associated with
or necessitated by such licenses or permits, including
pre-application consultation, hazard area
determination, or on-site inspection.
(b) Rules of Construction.--
(1) In general.--Nothing in this section may be
construed as permitting the Secretary to grant priority
or afford any preference to an applicant providing
funds under subsection (a).
(2) Policies and procedures.--The Secretary shall
implement such policies and procedures as may be
required to ensure that the acceptance of funds under
subsection (a) does not prejudice the Secretary in the
issuance of any license or permit to an applicant.
(c) Receipts Credited as Offsetting Collections.--
Notwithstanding section 3302 of title 31, any funds accepted
under this section--
(1) shall be credited as offsetting collections to
the account that finances the activities and services
for which the funds are accepted;
(2) shall be available for expenditure only to pay
the costs of activities and services for which the
funds are accepted; and
(3) shall remain available until expended.
* * * * * * *
DISSENTING VIEWS
Although many provisions of H.R. 2997, the ``21st Century
Aviation Innovation, Reform, and Reauthorization Act'' (21st
Century AIRR Act), are products of bipartisan negotiation and
compromise, we strongly object to the bill's main focus: a
controversial and flawed plan to privatize the Nation's air
traffic control system. This privatization plan will disrupt
major Federal Aviation Administration (FAA) safety and
modernization programs, hand over Federal assets free of charge
to a private corporation, threaten access to small, rural, and
mid-sized communities, and likely drive up the cost of air
travel.
The air traffic control privatization plan (title II of the
bill):
Splits the FAA in two, separating up to
35,000 hardworking employees from Federal service and
placing them in the employ of a private corporation
called the American Air Navigation Services
Corporation.
Disrupts all FAA programs and fails to
solve the most significant problems facing the aviation
system. By splitting the FAA in two, the plan leaves
critical FAA safety programs, including programs to
certify new aircraft and equipment and to conduct
robust safety oversight of the airline industry,
subject to year-to-year funding uncertainty. These
safety programs, primarily funded by the Airport and
Airway Trust Fund under current law, are shifted to
funding exclusively from the General Fund of the
Treasury, together with all the budget uncertainty that
it provides.
Conveys free of charge, to a private
corporation, billions of dollars' worth of assets that
American taxpayers have bought and paid for. Taxpayers
have invested approximately $50 billion in these assets
since 1996. The plan hands over taxpayer-purchased air
traffic control facilities and equipment to a private
company. The only two other governments in the world
that have privatized their air traffic control
systems--Canada and the United Kingdom--received
compensation when they transferred public assets. Other
governments, even those that have separated their air
traffic control systems from safety regulators, own air
traffic control assets.
Places air traffic control under the
effective control of airlines, placing access to the
aviation system at risk. Under the bill, three of the
corporation's 13 directors are appointed by airlines,
with the possibility of four additional appointments of
directors friendly to airline interests through two
Secretarial appointments and two appointments decided
by the members of the board. Thus, the airlines may
control a majority of the board and the corporation's
strategic decisions could be designed to benefit
airlines, an industry that is under serious criticism
for anticompetitive practices. The Government
Accountability Office (GAO) reported on February 10,
2016, on aviation experts' concern that ``small and
rural communities could be negatively affected by a
restructured [air traffic control system].''\1\
---------------------------------------------------------------------------
\1\U.S. Gov't Accountability Office, Potential Air Traffic Control
Transition Issues 8, Rpt. No. GAO-16-386R (2016).
---------------------------------------------------------------------------
A Controversial Plan
Steadfast opposition to H.R. 2997's privatization plan
includes bipartisan Senate appropriators as well as a growing
list of aviation stakeholders including the Aircraft Owners and
Pilots Association; the National Business Aviation Association;
the Regional Airline Association; the Professional Aviation
Safety Specialists union, which represents FAA safety
inspectors and technicians; numerous other FAA labor groups;
the United Steel Workers union; the National Air Transportation
Association; the Experimental Aircraft Association; the
National Consumers League; hundreds of mayors, and even NASCAR,
among others. More than 30 general aviation groups criticized
the privatization scheme in H.R. 2997 as a ``fundamentally
flawed'' plan that ``will produce uncertainty and unintended
consequences without achieving the desired outcomes.''\2\
---------------------------------------------------------------------------
\2\Aircraft Owners and Pilots Assoc., et al., ``Statement of 30
General Aviation Groups United In Opposition to H.R. 2997'' (2017).
---------------------------------------------------------------------------
Although some countries have separated air traffic control
systems from aviation safety regulators, only two--Canada and
the United Kingdom (U.K.)--have privatized their systems. But
neither government handed over air traffic control assets free
of charge, as H.R. 2997 requires, and neither the Canadian nor
the U.K. aviation system is remotely comparable to that of the
United States in geographic size, complexity, number of
facilities, number of general aviation aircraft, number of
airports, or even approaches to air traffic control
modernization. The Department of Transportation Inspector
General concluded in a 2015 report that ``[t]here are
significant differences between FAA and the foreign [air
traffic control providers].''\3\
---------------------------------------------------------------------------
\3\Dep't of Transp. Office of the Inspector General, There Are
Significant Differences Between FAA and Foreign Countries' Processes
for Operating Air Navigation Systems 3, Rpt. No. AV-2015-084 (2014).
---------------------------------------------------------------------------
We agree with numerous aviation stakeholders who are
concerned about Congress's inability to promise stable,
predictable funding for aviation programs and the need for the
swiftest possible implementation of the FAA's Next Generation
Air Transportation System (NextGen), which the FAA has already
begun delivering. And we agree that the FAA needs secure,
continuous funding to embark on major capital investment
programs, to operate the air traffic control system, and to
vigorously oversee the safety of the flying public without the
threat of disruption due to sequestration and government
shutdowns.
But we disagree that only the air traffic control system
should be protected from these harms. The entire agency,
especially aviation safety functions, is just as deserving of
insulation from political dysfunction, if not more so. The GAO
reported in 2015 that budget uncertainty compromised the FAA's
ability to make long-term capital investment decisions that
rely on the assurance of stable funding.\4\
---------------------------------------------------------------------------
\4\Gov't Accountability Office, Aviation Finance: Observations on
the Effects of Budget Uncertainty on FAA, Rpt. No. GAO-16-198R (2015).
---------------------------------------------------------------------------
A Solution in Search of Problems
To the extent H.R. 2997 seeks to deliver predictability and
stability for the air traffic control system, it fails to
fulfill its essential purpose. For instance, because delegation
of a regulatory function such as air traffic control to a
private entity is unconstitutional under the non-delegation
doctrine,\5\ the Republican plan requires the Secretary of
Transportation to approve or disapprove numerous important
decisions of the American Air Navigation Services Corporation.
For example, the Secretary must review regulations and
standards proposed by the Corporation; must prescribe
performance-based safety regulations and standards; and must
specifically review proposals for airspace modifications and
procedure changes in busy areas.\6\ The Secretary also reviews
proposals to decommission air traffic control facilities.\7\
This labyrinthine process of Secretarial approval guarantees
delays as the Secretary's decisions are challenged in Federal
court, and major projects could face years of delay in
litigation.\8\
---------------------------------------------------------------------------
\5\See, e.g., Ass'n of Am. R.R. v. U.S. Dep't of Transp., 721 F.3d
666, 670 (D.C. Cir. 2013) (``Federal lawmakers cannot delegate
regulatory authority to a private entity.''), vacated, on other
grounds, Dep't of Transp. v. Ass'n of Am. R.R., 575 U.S.__(2015); see
also Cong. Rsch. Serv., Memorandum to the Hon. Peter A. DeFazio on
Analysis of Constitutional Issues Arising from a Proposal to Authorize
a Federally Chartered Private Corporation to Provide Air Traffic
Control Services (April 10, 2015).
\6\21st Century AIRR Act, Sec. 211 (codifying 49 U.S.C. 90501).
\7\Id. (codifying 49 U.S.C. Sec. 90705).
\8\Id.
---------------------------------------------------------------------------
The bill could also drive up the cost of air travel. Last
year, Richard Anderson, then-CEO of Delta Air Lines, posited in
a letter to Committee Chairman Shuster and Ranking Member
DeFazio that ``[p]rivatization may increase consumer costs''
and asked, ``[W]ho will look out for the public interest after
privatization?''\9\ Moreover, the Corporation would be too big,
and too critical to fail. A longtime proponent of
privatization, Robert Poole, acknowledged during testimony in
the Committee's February 10, 2016, hearing that ``[c]ustomers
would have to pay more'' if the corporation became insolvent.
The U.K. government was forced to bail out the privatized
British air traffic services provider in 2002, and Canada's
provider was forced to take special measures to continue
operating during the post-2001 crisis.\10\
---------------------------------------------------------------------------
\9\Ltr. from Richard Anderson to The Hon. Bill Shuster and The Hon.
Peter A. DeFazio, Feb. 2, 2016 (on file).
\10\Gov't Accountability Office, Characteristics and Performance of
Selected International Air Navigation Service Providers and Lessons
Learned from Their Commercialization 25, Rpt. No. GAO-05-769 (2005);
See Nav Canada, ``Details and Principles Regarding Proposed Revised
Service Charges'' (Oct. 15, 2001), available at http://
www.navcanada.ca/EN/media/Publications/
Service%20Charge%20Announcements/SCA-2001-Details-EN.pdf; Nav Canada,
``Notice of Revised Service Charges'' (Oct. 2, 2002), available at
http://www.navcanada.ca/EN/media/Publications/
Service%20Charge%20Announcements/SCA-2002-Notice-Revised-EN.pdf.
---------------------------------------------------------------------------
Targeted Solutions
Instead of privatization, we support targeted solutions:
removing the FAA from the budget process and the vicissitudes
of annual appropriations, and making serious, top-to-bottom
reforms of the FAA's cumbersome personnel and procurement
rules. These carefully constructed financial and management
reforms solve all of the problems that H.R. 2997 purports to
solve, while avoiding the tremendous harms that privatization
would impose on our aviation system. During Committee
consideration of H.R. 2997, we offered an amendment to strike
the air traffic control privatization title and insert H.R.
2800, the ``Aviation Funding Stability Act'', which provides
such targeted reforms as off-budget, long-term funding for FAA
programs, streamlined and more flexible personnel and
procurement regulations, and modernization of air traffic
control facilities and equipment. Regrettably, the amendment
failed on a party-line vote.
Conclusion
While we support bipartisan provisions of the bill
reforming the FAA's certification processes, advancing the
safe, responsible integration of unmanned aircraft into the
National Airspace System, updating rules on flight attendant
minimum rest, and others, we object to privatization of air
traffic control as a risky experiment that threatens to delay
modernization programs, reduce access, and drive up the cost of
air travel.
Peter A. DeFazio,
Ranking Member.
Eleanor Holmes Norton.
Jerrold Nadler.
Eddie Bernice Johnson.
Elijah E. Cummings.
Rick Larsen.
Michael E. Capuano.
Grace F. Napolitano.
Daniel Lipinski.
Steve Cohen.
Albio Sires.
John Garamendi.
Henry C. ``Hank'' Johnson, Jr.
Andre Carson.
Richard M. Nolan.
Dina Titus.
Sean Patrick Maloney.
Elizabeth H. Esty.
Lois Frankel.
Cheri Bustos.
Jared Huffman.
Julia Brownley.
Frederica S. Wilson.
Donald M. Payne, Jr.
Alan S. Lowenthal.
Brenda L. Lawrence.
Mark DeSaulnier.
[all]