[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2115 Enrolled Bill (ENR)]
H.R.2115
One Hundred Eighth Congress
of the
United States of America
AT THE FIRST SESSION
Begun and held at the City of Washington on Tuesday,
the seventh day of January, two thousand and three
An Act
To amend title 49, United States Code, to reauthorize programs for the
Federal Aviation Administration, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Vision 100--
Century of Aviation Reauthorization Act''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Amendments to title 49, United States Code.
Sec. 3. Applicability.
Sec. 4. Findings.
TITLE I--AIRPORT AND AIRWAY IMPROVEMENTS
Subtitle A--Funding of FAA Programs
Sec. 101. Airport planning and development and noise compatibility
planning and programs.
Sec. 102. Air navigation facilities and equipment.
Sec. 103. Federal Aviation Administration operations.
Sec. 104. Funding for aviation programs.
Sec. 105. Agreements for operation of airport facilities.
Sec. 106. Insurance.
Subtitle B--Passenger Facility Fees
Sec. 121. Low-emission airport vehicles and ground support equipment.
Sec. 122. Use of fees to pay debt service.
Sec. 123. Streamlining of the passenger facility fee program.
Sec. 124. Financial management of passenger facility fees.
Subtitle C--AIP Modifications
Sec. 141. Airfield pavement.
Sec. 142. Replacement of baggage conveyor systems.
Sec. 143. Authority to use certain funds for airport security programs
and activities.
Sec. 144. Grant assurances.
Sec. 145. Clarification of allowable project costs.
Sec. 146. Apportionments to primary airports.
Sec. 147. Cargo airports.
Sec. 148. Considerations in making discretionary grants.
Sec. 149. Flexible funding for nonprimary airport apportionments.
Sec. 150. Use of apportioned amounts.
Sec. 151. Increase in apportionment for, and flexibility of, noise
compatibility planning programs.
Sec. 152. Pilot program for purchase of airport development rights.
Sec. 153. Military airport program.
Sec. 154. Airport safety data collection.
Sec. 155. Airport privatization pilot program.
Sec. 156. Innovative financing techniques.
Sec. 157. Airport security program.
Sec. 158. Emission credits for air quality projects.
Sec. 159. Low-emission airport vehicles and infrastructure.
Sec. 160. Compatible land use planning and projects by State and local
governments.
Sec. 161. Temporary increase in Government share of certain AIP project
costs.
Sec. 162. Share of airport project costs.
Sec. 163. Federal share for private ownership of airports.
Sec. 164. Disposition of land acquired for noise compatibility purposes.
Sec. 165. Hangar construction grant assurance.
Sec. 166. Terminal development costs.
Subtitle D--Miscellaneous
Sec. 181. Design-build contracting.
Sec. 182. Pilot program for innovative financing of air traffic control
equipment.
Sec. 183. Cost sharing of air traffic modernization projects.
Sec. 184. Facilities and equipment reports.
Sec. 185. Civil penalty for permanent closure of an airport without
providing sufficient notice.
Sec. 186. Midway Island Airport.
Sec. 187. Intermodal planning.
Sec. 188. Marshall Islands, Micronesia, and Palau.
Sec. 189. Limitation on approval of certain programs.
Sec. 190. Conveyance of airport.
TITLE II--FAA ORGANIZATION
Subtitle A--FAA Reform
Sec. 201. Management advisory committee members.
Sec. 202. Reorganization of the air traffic services subcommittee.
Sec. 203. Clarification of the responsibilities of the Chief Operating
Officer.
Sec. 204. Deputy Administrator.
Subtitle B--Miscellaneous
Sec. 221. Controller staffing.
Sec. 222. Whistleblower protection under acquisition management system.
Sec. 223. FAA purchase cards.
Sec. 224. Procurement.
Sec. 225. Definitions.
Sec. 226. Air traffic controller retirement.
Sec. 227. Design organization certificates.
Sec. 228. Judicial review.
Sec. 229. Overflight fees.
TITLE III--ENVIRONMENTAL PROCESS
Subtitle A--Aviation Development Streamlining
Sec. 301. Short title.
Sec. 302. Findings.
Sec. 303. Airport capacity enhancement.
Sec. 304. Aviation project streamlining.
Sec. 305. Elimination of duplicative requirements.
Sec. 306. Construction of certain airport capacity projects.
Sec. 307. Issuance of orders.
Sec. 308. Limitations.
Sec. 309. Relationship to other requirements.
Subtitle B--Miscellaneous
Sec. 321. Report on long-term environmental improvements.
Sec. 322. Noise disclosure.
Sec. 323. Overflights of national parks.
Sec. 324. Noise exposure maps.
Sec. 325. Implementation of Chapter 4 noise standards.
Sec. 326. Reduction of noise and emissions from civilian aircraft.
Sec. 327. Special rule for airport in Illinois.
TITLE IV--AIRLINE SERVICE IMPROVEMENTS
Subtitle A--Small Community Air Service
Sec. 401. Exemption from hold-in requirements.
Sec. 402. Adjustments to account for significantly increased costs.
Sec. 403. Joint proposals.
Sec. 404. Essential air service authorization.
Sec. 405. Community and regional choice programs.
Sec. 406. Code-sharing pilot program.
Sec. 407. Tracking service.
Sec. 408. EAS local participation program.
Sec. 409. Measurement of highway miles for purposes of determining
eligibility of essential air service subsidies.
Sec. 410. Incentive program.
Sec. 411. National Commission on Small Community Air Service.
Sec. 412. Small community air service.
Subtitle B--Miscellaneous
Sec. 421. Data on incidents and complaints involving passenger and
baggage security screening.
Sec. 422. Delay reduction actions.
Sec. 423. Collaborative decisionmaking pilot program.
Sec. 424. Competition disclosure requirement for large and medium hub
airports.
Sec. 425. Slot exemptions at Ronald Reagan Washington National Airport.
Sec. 426. Definition of commuter aircraft.
Sec. 427. Airfares for members of the Armed Forces.
Sec. 428. Air carriers required to honor tickets for suspended service.
TITLE V--AVIATION SAFETY
Sec. 501. Counterfeit or fraudulently represented parts violations.
Sec. 502. Runway safety standards.
Sec. 503. Civil penalties.
Sec. 504. Improvement of curriculum standards for aviation maintenance
technicians.
Sec. 505. Assessment of wake turbulence research and development
program.
Sec. 506. FAA inspector training.
Sec. 507. Air transportation oversight system plan.
TITLE VI--AVIATION SECURITY
Sec. 601. Certificate actions in response to a security threat.
Sec. 602. Justification for air defense identification zone.
Sec. 603. Crew training.
Sec. 604. Study of effectiveness of transportation security system.
Sec. 605. Airport security improvement projects.
Sec. 606. Charter security.
Sec. 607. CAPPS2.
Sec. 608. Report on passenger prescreening program.
Sec. 609. Arming cargo pilots against terrorism.
Sec. 610. Removal of cap on TSA staffing level.
Sec. 611. Foreign repair stations.
Sec. 612. Flight training.
Sec. 613. Deployment of screeners at Kenai, Homer, and Valdez, Alaska.
TITLE VII--AVIATION RESEARCH
Sec. 701. Authorization of appropriations.
Sec. 702. Federal Aviation Administration Science and Technology
Scholarship Program.
Sec. 703. National Aeronautics and Space Administration Science and
Technology Scholarship Program.
Sec. 704. Research program to improve airfield pavements.
Sec. 705. Ensuring appropriate standards for airfield pavements.
Sec. 706. Development of analytical tools and certification methods.
Sec. 707. Research on aviation training.
Sec. 708. FAA Center for Excellence for applied research and training in
the use of advanced materials in transport aircraft.
Sec. 709. Air Transportation System Joint Planning and Development
Office.
Sec. 710. Next generation air transportation senior policy committee.
Sec. 711. Rotorcraft research and development initiative.
Sec. 712. Airport Cooperative Research Program.
TITLE VIII--MISCELLANEOUS
Sec. 801. Definitions.
Sec. 802. Report on aviation safety reporting system.
Sec. 803. Anchorage air traffic control.
Sec. 804. Extension of Metropolitan Washington Airports Authority.
Sec. 805. Improvement of aviation information collection.
Sec. 806. Government-financed air transportation.
Sec. 807. Air carrier citizenship.
Sec. 808. United States presence in global air cargo industry.
Sec. 809. Availability of aircraft accident site information.
Sec. 810. Notice concerning aircraft assembly.
Sec. 811. Type certificates.
Sec. 812. Reciprocal airworthiness certification.
Sec. 813. International role of the FAA.
Sec. 814. Flight attendant certification.
Sec. 815. Air quality in aircraft cabins.
Sec. 816. Recommendations concerning travel agents.
Sec. 817. Reimbursement for losses incurred by general aviation
entities.
Sec. 818. International air show.
Sec. 819. Report on certain market developments and government policies.
Sec. 820. International air transportation.
Sec. 821. Reimbursement of air carriers for certain screening and
related activities.
Sec. 822. Charter airlines.
Sec. 823. General aviation flights at Ronald Reagan Washington National
Airport.
Sec. 824. Review of air carrier compensation.
Sec. 825. Noise control plan for certain airports.
Sec. 826. GAO report on airlines' actions to improve finances and on
executive compensation.
Sec. 827. Private air carriage in Alaska.
Sec. 828. Report on waivers of preference for buying goods produced in
the United States.
Sec. 829. Navigation fees.
TITLE IX--EXTENSION OF AIRPORT AND AIRWAY TRUST FUND EXPENDITURE
AUTHORITY
Sec. 901. Extension of expenditure authority.
Sec. 902. Technical correction to flight segment.
SEC. 2. AMENDMENTS TO TITLE 49, UNITED STATES CODE.
Except as otherwise expressly provided, whenever in this Act an
amendment or repeal is expressed in terms of an amendment to, or a
repeal of, a section or other provision, the reference shall be
considered to be made to a section or other provision of title 49,
United States Code.
SEC. 3. APPLICABILITY.
Except as otherwise specifically provided, this Act and the
amendments made by this Act shall apply only to fiscal years beginning
after September 30, 2003.
SEC. 4. FINDINGS.
Congress finds the following:
(1) The United States has revolutionized the way people travel,
developing new technologies and aircraft to move people more
efficiently and more safely.
(2) Past Federal investment in aeronautics research and
development has benefited the economy and national security of the
United States and the quality of life of its citizens.
(3) The total impact of civil aviation on the United States
economy exceeds $900,000,000,000 annually and accounts for 9
percent of the gross national product and 11,000,000 jobs in the
national workforce. Civil aviation products and services generate a
significant surplus for United States trade accounts, and amount to
significant numbers of the Nation's highly skilled, technologically
qualified work force.
(4) Aerospace technologies, products, and services underpin the
advanced capabilities of our men and women in uniform and those
charged with homeland security.
(5) Future growth in civil aviation increasingly will be
constrained by concerns related to aviation system safety and
security, aviation system capabilities, aircraft noise, emissions,
and fuel consumption.
(6) Revitalization and coordination of the United States
efforts to maintain its leadership in aviation and aeronautics are
critical and must begin now.
(7) A recent report by the Commission on the Future of the
United States Aerospace Industry outlined the scope of the problems
confronting the aerospace and aviation industries in the United
States and found that--
(A) aerospace will be at the core of the Nation's
leadership and strength throughout the 21st century;
(B) aerospace will play an integral role in the Nation's
economy, security, and mobility; and
(C) global leadership in aerospace is a national
imperative.
(8) Despite the downturn in the global economy, projections of
the Federal Aviation Administration indicate that upwards of
1,000,000,000 people will fly annually by 2013. Efforts must begin
now to prepare for future growth in the number of airline
passengers.
(9) The United States must increase its investment in research
and development to revitalize the aviation and aerospace
industries, to create jobs, and to provide educational assistance
and training to prepare workers in those industries for the future.
TITLE I--AIRPORT AND AIRWAY IMPROVEMENTS
Subtitle A--Funding of FAA Programs
SEC. 101. AIRPORT PLANNING AND DEVELOPMENT AND NOISE COMPATIBILITY
PLANNING AND PROGRAMS.
(a) Authorization.--Section 48103 is amended--
(1) by striking ``September 30, 1998'' and inserting
``September 30, 2003''; and
(2) by striking paragraphs (1) through (5) and inserting the
following:
``(1) $3,400,000,000 for fiscal year 2004;
``(2) $3,500,000,000 for fiscal year 2005;
``(3) $3,600,000,000 for fiscal year 2006; and
``(4) $3,700,000,000 for fiscal year 2007.''.
(b) Obligational Authority.--Section 47104(c) is amended by
striking ``September 30, 2003'' and inserting ``September 30, 2007''.
SEC. 102. AIR NAVIGATION FACILITIES AND EQUIPMENT.
Section 48101 is amended--
(1) in subsection (a) by striking paragraphs (1) through (5)
and inserting the following:
``(1) $3,138,000,000 for fiscal year 2004;
``(2) $2,993,000,000 for fiscal year 2005;
``(3) $3,053,000,000 for fiscal year 2006; and
``(4) $3,110,000,000 for fiscal year 2007.'';
(2) by striking subsections (b), (d), and (e) and redesignating
subsection (c) as subsection (b);
(3) by inserting after subsection (b) (as so redesignated) the
following:
``(c) Enhanced Safety and Security for Aircraft Operations in the
Gulf of Mexico.--Of amounts appropriated under subsection (a), such
sums as may be necessary for fiscal years 2004 through 2007 may be used
to expand and improve the safety, efficiency, and security of air
traffic control, navigation, low altitude communications and
surveillance, and weather services in the Gulf of Mexico.
``(d) Operational Benefits of Wake Vortex Advisory System.--Of
amounts appropriated under subsection (a), such sums as may be
necessary for each of fiscal years 2004 through 2007 may be used for
the development and analysis of wake vortex advisory systems.
``(e) Ground-Based Precision Navigational Aids.--Of amounts
appropriated under subsection (a), such sums as may be necessary for
each of fiscal years 2004 to 2007 may be used to establish a program
for the installation of a precision approach aid designed to improve
aircraft accessibility at mountainous airports with limited land if the
approach aid is able to provide curved and segmented approach guidance
for noise abatement purposes and other such approach aids and is
certified or approved by the Administrator.'';
(4) in subsection (f)--
(A) by striking ``for fiscal years beginning after
September 30, 2000''; and
(B) by inserting ``may be used'' after ``necessary''; and
(5) by adding at the end the following:
``(h) Standby Power Efficiency Program.--Of amounts appropriated
under subsection (a), such sums as may be necessary for each of fiscal
years 2004 through 2007 may be used by the Secretary of Transportation,
in cooperation with the Secretary of Energy and, where applicable, the
Secretary of Defense, to establish a program to improve the efficiency,
cost effectiveness, and environmental performance of standby power
systems at Federal Aviation Administration sites, including the
implementation of fuel cell technology.
``(i) Pilot Program To Provide Incentives for Development of New
Technologies.--Of amounts appropriated under subsection (a), $500,000
for fiscal year 2004 may be used for the conduct of a pilot program to
provide operating incentives to users of the airspace for the
deployment of new technologies, including technologies to facilitate
expedited flight routing and sequencing of takeoffs and landings.''.
SEC. 103. FEDERAL AVIATION ADMINISTRATION OPERATIONS.
(a) In General.--Section 106(k)(1) is amended to read as follows:
``(1) Salaries, operations, and maintenance.--There is
authorized to be appropriated to the Secretary of Transportation
for salaries, operations, and maintenance of the Administration--
``(A) $7,591,000,000 for fiscal year 2004;
``(B) $7,732,000,000 for fiscal year 2005;
``(C) $7,889,000,000 for fiscal year 2006; and
``(D) $8,064,000,000 for fiscal year 2007.
Such sums shall remain available until expended.''.
(b) Authorized Expenditures.--Section 106(k)(2) is amended--
(1) by striking subparagraphs (A) and (B) and subparagraphs (F)
through (I);
(2) by redesignating subparagraphs (C), (D), and (E) as
subparagraphs (A), (B), and (C), respectively;
(3) in subparagraphs (A), (B), and (C) (as so redesignated) by
striking ``fiscal years 2000 through 2003'' and inserting ``fiscal
years 2004 through 2007''; and
(4) by adding after subparagraph (C) (as so redesignated) the
following:
``(D) Such sums as may be necessary for fiscal years 2004
through 2007 for the Center for Management Development of the
Federal Aviation Administration to operate training courses and
to support associated student travel for both residential and
field courses.
``(E) Such sums as may be necessary for fiscal years 2004
through 2007 to carry out and expand the Air Traffic Control
Collegiate Training Initiative.
``(F) Such sums as may be necessary for fiscal years 2004
through 2007 for the completion of the Alaska aviation safety
project with respect to the 3 dimensional mapping of Alaska's
main aviation corridors.
``(G) Such sums as may be necessary for fiscal years 2004
through 2007 to carry out the Aviation Safety Reporting
System.''.
(c) Airline Data and Analysis.--There is authorized to be
appropriated to the Secretary of Transportation, out of the Airport and
Airway Trust Fund established by section 9502 of the Internal Revenue
Code of 1986 (26 U.S.C. 9502), $3,971,000 for fiscal year 2004,
$4,045,000 for fiscal year 2005, $4,127,000 for fiscal year 2006, and
$4,219,000 for fiscal year 2007 to gather aviation data and conduct
analyses of such data in the Bureau of Transportation Statistics of the
Department of Transportation.
SEC. 104. FUNDING FOR AVIATION PROGRAMS.
(a) In General.--Chapter 481 is further amended by adding at the
end the following:
``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 through fiscal year 2007 pursuant to sections 48101,
48102, 48103, and 106(k) of title 49, United States Code, shall
be equal to the level of receipts plus interest credited to the
Airport and Airway Trust Fund for that fiscal year. Such
amounts may be used only for aviation investment programs
listed in subsection (b).
``(B) Guarantee.--No funds may be appropriated or limited
for aviation investment programs listed in subsection (b)
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 2007, 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) Level of receipts plus interest.--The term `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 2007 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.''.
(b) Conforming Amendment.--The analysis for chapter 481 is amended
by adding at the end the following:
``48114. Funding for aviation programs.''.
(c) Repeal.--Section 106 of the Wendell H. Ford Aviation Investment
and Reform Act for the 21st Century (49 U.S.C. 48101 note) and the item
relating to such section in the table of contenets in section 1(b) of
such Act are repealed.
SEC. 105. AGREEMENTS FOR OPERATION OF AIRPORT FACILITIES.
Section 47124 is amended--
(1) by striking subsection (a) and inserting the following:
``(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.'';
(2) by striking subsection (b)(2) and inserting the following:
``(2) 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) in subsection (b)(3)--
(A) in the paragraph heading by striking ``pilot'';
(B) by striking ``pilot'' each place it appears; and
(C) in subparagraph (E) by striking ``$6,000,000 per fiscal
year'' and inserting ``$6,500,000 for fiscal 2004, $7,000,000
for fiscal year 2005, $7,500,000 for fiscal year 2006, and
$8,000,000 for fiscal year 2007''; and
(4) in subsection (b)(4)(C) by striking ``$1,100,000.'' and
inserting ``$1,500,000.''.
SEC. 106. INSURANCE.
(a) Aircraft Manufacturers.--
(1) In general.--Section 44302 is amended by adding at the end
the following:
``(g) Aircraft Manufacturers.--
``(1) In general.--The Secretary may provide to an aircraft
manufacturer insurance for loss or damage resulting from operation
of an aircraft by an air carrier and involving war or terrorism.
``(2) Amount.--Insurance provided by the Secretary under this
subsection shall be for loss or damage in excess of the greater of
the amount of available primary insurance or $50,000,000.
``(3) Terms and conditions.--Insurance provided by the
Secretary under this subsection shall be subject to the terms and
conditions set forth in this chapter and such other terms and
conditions as the Secretary may prescribe.''.
(2) Definition of aircraft manufacturer.--Section 44301 is
amended--
(A) by redesignating paragraphs (1) and (2) as paragraphs
(2) and (3), respectively; and
(B) by inserting before paragraph (2) (as so redesignated)
the following:
``(1) `aircraft manufacturer' means any company or other
business entity, the majority ownership and control of which is by
United States citizens, that manufactures aircraft or aircraft
engines.''.
(3) Coverage.--Section 44303(a) is amended--
(A) in the subsection heading by striking ``In general''
and inserting ``In General''; and
(B) by adding at the end the following:
``(6) loss or damage of an aircraft manufacturer resulting from
operation of an aircraft by an air carrier and involving war or
terrorism.''.
(b) Aircraft Manufacturer Liability for Third-Party Claims Arising
Out of Acts of Terrorism.--Section 44303(b) is amended by adding at the
end the following: ``The Secretary may extend the provisions of this
subsection to an aircraft manufacturer (as defined in section 44301) of
the aircraft of the air carrier involved.''.
(c) Premiums and Limitations on Coverage and Claims.--Section
44306(b) is amended by striking ``air'' and inserting ``insurance''.
(d) Ending Effective Date.--Section 44310 is amended by striking
``December 31, 2004'' and inserting ``March 30, 2008''.
(e) Technical Correction.--Effective November 19, 2001, section
124(b) of the Aviation and Transportation Security Act (115 Stat. 631)
is amended by striking ``to carry out foreign policy'' and inserting
``to carry out the foreign policy''.
Subtitle B--Passenger Facility Fees
SEC. 121. LOW-EMISSION AIRPORT VEHICLES AND GROUND SUPPORT EQUIPMENT.
(a) In General.--Section 40117(a)(3) is amended by inserting at the
end the following:
``(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.''.
(b) Maximum Cost for Certain Low-Emission Technology Projects.--
Section 40117(b) is amended by adding at the end the following:
``(5) Maximum cost for certain low-emission technology
projects.--The maximum cost that may be financed by imposition of a
passenger facility fee 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.''.
(c) Ground Support Equipment Defined.--Section 40117(a) is
amended--
(1) by redesignating paragraphs (4) and (5) as paragraphs (5)
and (6), respectively; and
(2) by inserting after paragraph (3) the following:
``(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.''.
(d) Guidance.--The Secretary, in consultation with the
Administrator of the Environmental Protection Agency, shall issue
guidance determining eligibility of projects, and how benefits to air
quality must be demonstrated, under the amendments made by this
section.
SEC. 122. USE OF FEES TO PAY DEBT SERVICE.
Sections 40117(b) is further amended by adding at the end the
following:
``(6) Debt service for certain projects.--In addition to the
uses specified in paragraphs (1) and (4), the Secretary may
authorize a passenger facility fee imposed under paragraph (1) or
(4) 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.''.
SEC. 123. STREAMLINING OF THE PASSENGER FACILITY FEE PROGRAM.
(a) Application Requirements.--Section 40117(c) is amended--
(1) by adding at the end of paragraph (2) the following:
``(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.'';
(2) by redesignating paragraph (3) as paragraph (4);
(3) by inserting after paragraph (2) the following:
``(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 fee 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).''; and
(4) in the first sentence of paragraph (4) (as redesignated by
paragraph (2) of this subsection) by striking ``shall'' and
inserting ``may''.
(b) Pilot Program for Passenger Facility Fee Authorizations at
Nonhub Airports.--Section 40117 is amended by adding at the end the
following:
``(l) Pilot Program for Passenger Facility Fee 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 fees. An
eligible agency may impose in accordance with the provisions of
this subsection a passenger facility fee 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
fee 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 fee is sought;
``(B) the amount of revenue from passenger facility fees
that is proposed to be collected for each project; and
``(C) the level of the passenger facility fee 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 fee 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 fee.--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 fee 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) Sunset.--This subsection shall cease to be effective
beginning on the date that is 3 years after the date of issuance of
regulations to carry out this subsection.
``(8) 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.''.
(c) Clarification of Applicability of PFC's to Military Charters.--
Section 40117(e)(2) is amended--
(1) by striking the period at the end of subparagraph (C) and
inserting a semicolon;
(2) by striking ``and'' at the end of subparagraph (D);
(3) by striking the period at the end of subparagraph (E) and
inserting ``; and''; and
(4) by adding after subparagraph (E) the following:
``(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.''.
(d) Technical Amendments.--Section 40117(a)(3)(C) is amended--
(1) by striking ``for costs'' and inserting ``A project for
costs''; and
(2) by striking the semicolon and inserting a period.
(e) Eligibility of Airport Ground Access Transportation Projects.--
Not later than 60 days after the enactment of this Act, the
Administrator of the Federal Aviation Administration shall publish in
the Federal Register the current policy of the Administration,
consistent with current law, with respect to the eligibility of airport
ground access transportation projects for the use of passenger facility
fees under section 40117 of title 49, United States Code.
SEC. 124. FINANCIAL MANAGEMENT OF PASSENGER FACILITY FEES.
Section 40117 is further amended by adding at the end the
following:
``(m) Financial Management of Fees.--
``(1) Handling of fees.--A covered air carrier shall segregate
in a separate account passenger facility revenue equal to the
average monthly liability for fees 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 fees is entitled to receive the interest on
passenger facility fee 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 fees 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.''.
Subtitle C--AIP Modifications
SEC. 141. AIRFIELD PAVEMENT.
Section 47102(3)(H) is amended by inserting ``nonhub airports and''
before ``airports that are not primary airports''.
SEC. 142. REPLACEMENT OF BAGGAGE CONVEYOR SYSTEMS.
Section 47102(3)(B)(x) is amended by striking the period at the end
and inserting the following: ``; except that such activities shall be
eligible for funding under this subchapter only using amounts
apportioned under section 47114.''.
SEC. 143. AUTHORITY TO USE CERTAIN FUNDS FOR AIRPORT SECURITY PROGRAMS
AND ACTIVITIES.
Section 308 of the Federal Aviation Reauthorization Act of 1996 (49
U.S.C. 44901 note; 110 Stat. 3253), and the item relating to such
section in the table of contents contained in section 1(b) of that Act,
are repealed.
SEC. 144. GRANT ASSURANCES.
(a) Statute of Limitations..--Section 47107(l)(5)(A) is amended by
inserting ``or any other governmental entity'' after ``sponsor''.
(b) Audit Certification.--Section 47107(m) is amended--
(1) in paragraph (1) by striking ``promulgate regulations
that'' and inserting ``include a provision in the compliance
supplement provisions to'';
(2) in paragraph (1) by striking ``and opinion of the review'';
and
(3) by striking paragraph (3).
SEC. 145. CLARIFICATION OF ALLOWABLE PROJECT COSTS.
Section 47110(b)(1) is amended by inserting before the semicolon at
the end ``and any cost of moving a Federal facility impeding the
project if the rebuilt facility is of an equivalent size and type''.
SEC. 146. APPORTIONMENTS TO PRIMARY AIRPORTS.
(a) In General.--Section 47114(c)(1) is amended by adding at the
end the following:
``(F) Special rule for fiscal years 2004 and 2005.--
Notwithstanding subparagraph (A) and the absence of scheduled
passenger aircraft service at an airport, the Secretary may
apportion in fiscal years 2004 and 2005 to the sponsor of the
airport an amount equal to the amount apportioned to that
sponsor in fiscal year 2002 or 2003, whichever amount is
greater, if the Secretary finds that--
``(i) the passenger boardings at the airport were below
10,000 in calendar year 2002 or 2003;
``(ii) the airport had at least 10,000 passenger
boardings and scheduled passenger aircraft service in
either calendar year 2000 or 2001; and
``(iii) the reason that passenger boardings described
in clause (i) were below 10,000 was the decrease in
passengers following the terrorist attacks of September 11,
2001.''.
(b) Special Rule for Transitioning Airports.--Section 47114(f)(3)
is amended--
(1) in the paragraph heading by striking ``airorts'' and
inserting ``airports''; and
(2) in subparagraph (B) by striking ``fiscal years 2000 through
2003'' and inserting ``fiscal year 2004''.
SEC. 147. CARGO AIRPORTS.
Section 47114(c)(2) is amended--
(1) in the paragraph heading by striking ``only''; and
(2) in subparagraph (A) by striking ``3 percent'' and inserting
``3.5 percent''.
SEC. 148. CONSIDERATIONS IN MAKING DISCRETIONARY GRANTS.
Section 47115(d) is amended to read as follows:
``(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.''.
SEC. 149. FLEXIBLE FUNDING FOR NONPRIMARY AIRPORT APPORTIONMENTS.
(a) Project Grant Agreements.--Section 47108(a) is amended by
inserting ``or 47114(d)(3)(A)'' after ``under section 47114(c)''.
(b) Allowable Project Costs.--Section 47110 is amended--
(1) in subsection (b)(2)(C) by striking ``of this title'' and
inserting ``or section 47114(d)(3)(A)'';
(2) in subsection (g)--
(A) by inserting ``or section 47114(d)(3)(A)'' after ``of
section 47114(c)''; and
(B) by striking ``of project'' and inserting ``of the
project''; and
(3) by adding at the end the following:
``(h) Nonprimary Airports.--The Secretary may decide that the costs
of revenue producing aeronautical support facilities, including fuel
farms and hangars, are allowable for an airport development project at
a nonprimary airport if the Government's share of such costs is paid
only with funds apportioned to the airport sponsor under section
47114(d)(3)(A) and if the Secretary determines that the sponsor has
made adequate provision for financing airside needs of the airport.''.
(c) Waiver.--Section 47117(c)(2) is amended to read as follows:
``(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) Terminal Development Costs.--Section 47119(b) is amended--
(1) by striking ``or'' at the end of paragraph (3);
(2) by striking the period at the end of paragraph (4) and
inserting ``; or''; and
(3) by adding at the end the following:
``(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 section
47110(d).''.
SEC. 150. USE OF APPORTIONED AMOUNTS.
The first sentence of section 47117(b) is amended by striking
``primary airport'' and all that follows through ``calendar year'' and
inserting ``nonhub airport or any airport that is not a commercial
service airport''.
SEC. 151. INCREASE IN APPORTIONMENT FOR, AND FLEXIBILITY OF, NOISE
COMPATIBILITY PLANNING PROGRAMS.
Section 47117(e)(1)(A) is amended--
(1) by striking ``At least 34 percent'' and inserting ``At
least 35 percent'';
(2) by striking ``of this title and'' and inserting a comma;
(3) by striking ``of this title.'' and inserting ``, 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, and 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
(4) by striking ``34 percent requirement'' and inserting ``35
percent requirement''.
SEC. 152. PILOT PROGRAM FOR PURCHASE OF AIRPORT DEVELOPMENT RIGHTS.
(a) In General.--Subchapter I of chapter 471 is amended by adding
at the end the following:
``Sec. 47138. Pilot program for purchase of airport development rights
``(a) In General.--The Secretary of Transportation shall establish
a pilot program to support the purchase, by a State or political
subdivision of a State, of development rights associated with, or
directly affecting the use of, privately owned public use airports
located in that State. Under the program, the Secretary may make a
grant to a State or political subdivision of a State from funds
apportioned under section 47114 for the purchase of such rights.
``(b) Grant Requirements.--
``(1) In general.--The Secretary may not make a grant under
subsection (a) unless the grant is made--
``(A) to enable the State or political subdivision to
purchase development rights in order to ensure that the airport
property will continue to be available for use as a public
airport; and
``(B) subject to a requirement that the State or political
subdivision acquire an easement or other appropriate covenant
requiring that the airport shall remain a public use airport in
perpetuity.
``(2) Matching requirement.--The amount of a grant under the
program may not exceed 90 percent of the costs of acquiring the
development rights.
``(c) Grant Standards.--The Secretary shall prescribe standards for
grants under subsection (a), including--
``(1) grant application and approval procedures; and
``(2) requirements for the content of the instrument recording
the purchase of the development rights.
``(d) Release of Purchased Rights and Covenant.--Any development
rights purchased under the program shall remain the property of the
State or political subdivision unless the Secretary approves the
transfer or disposal of the development rights after making a
determination that the transfer or disposal of that right is in the
public interest.
``(e) Limitation.--The Secretary may not make a grant under the
pilot program for the purchase of development rights at more than 10
airports.''.
(b) Conforming Amendment.--The analysis for chapter 471 is amended
by inserting after the item relating to section 47137 the following:
``47138. Pilot program for purchase of airport development rights.''.
SEC. 153. MILITARY AIRPORT PROGRAM.
Section 47118 is amended--
(1) in subsection (e) by striking ``Not more than $7,000,000
for each airport from amounts the Secretary distributes under
section 47115 of this title for a fiscal year is available'' and
inserting ``From amounts the Secretary distributes to an airport
under section 47115, $10,000,000 for each of fiscal years 2004 and
2005, and $7,000,000 for each fiscal year thereafter, is
available'';
(2) in subsection (f) by striking ``Not more than a total of
$7,000,000 for each airport from amounts the Secretary distributes
under section 47115 of this title for fiscal years beginning after
September 30, 1992, is available'' and inserting the following:
``(1) Construction.--From amounts the Secretary distributes to
an airport under section 47115, $10,000,000 for each of fiscal
years 2004 and 2005, and $7,000,000 for each fiscal year
thereafter, is available''; and
(3) by adding at the end of subsection (f) the following:
``(2) Reimbursement.--Upon approval of the Secretary, the
sponsor of a current or former military airport the Secretary
designates under this section may use an amount apportioned under
section 47114, or made available under section 47115 or
47117(e)(1)(B), to the airport for reimbursement of costs incurred
by the airport in fiscal years 2003 and 2004 for construction,
improvement, or repair described in paragraph (1).''.
SEC. 154. AIRPORT SAFETY DATA COLLECTION.
Section 47130 is amended to read as follows:
``Sec. 47130. Airport safety data collection
``Notwithstanding any other provision of law, the Administrator of
the Federal Aviation Administration may award a contract, using sole
source or limited source authority, or enter into a cooperative
agreement with, or provide a grant from amounts made available under
section 48103 to, a private company or entity for the collection of
airport safety data. In the event that a grant is provided under this
section, the United States Government's share of the cost of the data
collection shall be 100 percent.''.
SEC. 155. AIRPORT PRIVATIZATION PILOT PROGRAM.
(a) In General.--Section 47134(b)(1) is amended--
(1) in subparagraph (A) by striking clauses (i) and (ii) and
inserting the following:
``(i) in the case of a primary airport, by at least 65
percent of the scheduled air carriers serving the airport
and by scheduled and nonscheduled air carriers whose
aircraft landing at the airport during the preceding
calendar year, had a total landed weight during the
preceding calendar year of at least 65 percent of the total
landed weight of all aircraft landing at the airport during
such year; or
``(ii) in the case of a nonprimary airport, by the
Secretary after the airport has consulted with at least 65
percent of the owners of aircraft based at that airport, as
determined by the Secretary.'';
(2) by redesignating subparagraph (B) as subparagraph (C); and
(3) by inserting after subparagraph (A) the following:
``(B) Objection to exemption.--An air carrier shall be
deemed to have approved a sponsor's application for an
exemption under subparagraph (A) unless the air carrier has
submitted an objection, in writing, to the sponsor within 60
days of the filing of the sponsor's application with the
Secretary, or within 60 days of the service of the application
upon that air carrier, whichever is later.''.
(b) Effective Date.--The amendments made by subsection (a) shall
not affect any application submitted before the date of enactment of
this Act.
SEC. 156. INNOVATIVE FINANCING TECHNIQUES.
The first sentence of section 47135(a) is amended by inserting
after ``approve'' the following: ``, after the date of enactment of the
Vision 100--Century of Aviation Reauthorization Act,''.
SEC. 157. AIRPORT SECURITY PROGRAM.
Section 47137 is amended--
(1) by redesignating subsections (e) and (f) as subsections (f)
and (g), respectively; and
(2) by inserting after subsection (d) the following:
``(e) Administration.--The Secretary, in cooperation with the
Secretary of Homeland Security, shall administer the program authorized
by this section.''.
SEC. 158. EMISSION CREDITS FOR AIR QUALITY PROJECTS.
(a) Emissions Credit.--Subchapter I of chapter 471 is further
amended by adding at the end the following:
``Sec. 47139. Emission credits for air quality projects
``(a) In General.--The Administrator of the Environmental
Protection Agency, in consultation with the Secretary of
Transportation, shall issue guidance on how to ensure that airport
sponsors receive appropriate emission reduction credits for carrying
out projects described in sections 40117(a)(3)(G), 47102(3)(F),
47102(3)(K), and 47102(3)(L). Such guidance shall include, at a
minimum, the following conditions:
``(1) The provision of credits is consistent with the Clean Air
Act (42 U.S.C. 7402 et seq.).
``(2) Credits generated by the emissions reductions are kept by
the airport sponsor and may only be used for purposes of any
current or future general conformity determination under the Clean
Air Act or as offsets under the Environmental Protection Agency's
new source review program for projects on the airport or associated
with the airport.
``(3) Credits are calculated and provided to airports on a
consistent basis nationwide.
``(4) Credits are provided to airport sponsors in a timely
manner.
``(5) The establishment of a method to assure the Secretary
that, for any specific airport project for which funding is being
requested, the appropriate credits will be granted.
``(b) Assurance of Receipt of Credits.--As a condition for making a
grant for a project described in section 47102(3)(F), 47102(3)(K),
47102(3)(L), or 47140 or as a condition for granting approval to
collect or use a passenger facility fee for a project described in
section 40117(a)(3)(G), 47103(3)(F), 47102(3)(K), 47102(3)(L), or
47140, the Secretary must receive assurance from the State in which the
project is located, or from the Administrator of the Environmental
Protection Agency where there is a Federal implementation plan, that
the airport sponsor will receive appropriate emission credits in
accordance with the conditions of this section.
``(c) Previously Approved Projects.--The Administrator of the
Environmental Protection Agency, in consultation with the Secretary,
shall determine how to provide appropriate emissions credits to airport
projects previously approved under section 47136 consistent with the
guidance and conditions specified in subsection (a).
``(d) State Authority Under CAA.--Nothing in this section shall be
construed as overriding existing State law or regulation pursuant to
section 116 of the Clean Air Act (42 U.S.C. 7416).''.
(b) Conforming Amendment.--The analysis for chapter 471 is further
amended by inserting after the item relating to section 47138 the
following:
``47139. Emission credits for air quality projects.''.
SEC. 159. LOW-EMISSION AIRPORT VEHICLES AND INFRASTRUCTURE.
(a) Airport Ground Support Equipment Emissions Retrofit Pilot
Program.--
(1) In general.--Subchapter I of chapter 471 is further amended
by adding at the end the following:
``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.''.
(2) Conforming amendment.--The analysis for chapter 471 is
further amended by inserting after the item relating to section
47139 the following:
``47140. Airport ground support equipment emissions retrofit pilot
program.''.
(b) Activities Added to Definition of Airport Development.--
(1) In general.--Section 47102(3) is amended--
(A) by striking subparagraphs (J), (K), and (L) and
redesignating subparagraph (M) as subparagraph (J); and
(B) by adding at the end the following:
``(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.''.
(2) Guidance.--
(A) Eligible low-emission modifications and improvements.--
The Secretary of Transportation, in consultation with the
Administrator of the Environmental Protection Agency, shall
issue guidance describing eligible low-emission modifications
and improvements, and stating how airport sponsors will
demonstrate benefits, under section 47102(3)(K) of title 49,
United States Code, as added by this subsection.
(B) Eligible low-emission vehicle technology.--The
Secretary, in consultation with the Administrator, shall issue
guidance describing eligible low-emission vehicle technology,
and stating how airport sponsors will demonstrate benefits,
under section 47102(3)(L) of title 49, United States Code, as
added by this subsection.
(c) Allowable Project Cost.--Section 47110(b) is amended--
(1) by striking ``and'' at the end of paragraph (4);
(2) by striking the period at the end of paragraph (5) and
inserting ``; and''; and
(3) by adding at the end the following:
``(6) if the cost is for a project not described in section
47102(3) for acquiring for use at a commercial service airport
vehicles and ground support equipment owned by an airport that
include low-emission technology, but only to the extent of the
incremental cost of equipping such vehicles or equipment with low-
emission technology, as determined by the Secretary.''.
(d) Low-Emission Technology Equipment.--Section 47102 (as amended
by section 801 of this Act) is further amended by inserting after
paragraph (10) the following:
``(11) `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.''.
SEC. 160. COMPATIBLE LAND USE PLANNING AND PROJECTS BY STATE AND LOCAL
GOVERNMENTS.
(a) In General.--Subchapter I of chapter 471 is further amended by
adding at the end the following:
``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, 2007.''.
(b) Conforming Amendment.--The analysis of subchapter I of chapter
471 is further amended by adding at the end the following:
``47141. Compatible land use planning and projects by State and local
governments.''.
SEC. 161. TEMPORARY INCREASE IN GOVERNMENT SHARE OF CERTAIN AIP PROJECT
COSTS.
Notwithstanding section 47109(a) of title 49, United States Code,
the Government's share of allowable project costs for a grant made in
each of fiscal years 2004 through 2007 under chapter 471 of that title
for a project described in paragraph (2) or (3) of that section shall
be 95 percent.
SEC. 162. SHARE OF AIRPORT PROJECT COSTS.
(a) In General.--Section 47109 is amended--
(1) by redesignating subsection (c) as subsection (d); and
(2) by inserting after subsection (b) the following:
``(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).''.
(b) Conforming Amendment.--Subsection (a) of section 47109 is
amended by striking ``Except as provided in subsection (b)'' and
inserting ``Except as provided in subsection (b) or subsection (c)''.
SEC. 163. FEDERAL SHARE FOR PRIVATE OWNERSHIP OF AIRPORTS.
Section 47109(a)(4) is amended by striking ``40 percent'' and
inserting ``70 percent''.
SEC. 164. DISPOSITION OF LAND ACQUIRED FOR NOISE COMPATIBILITY
PURPOSES.
Section 47107(c)(2)(A)(iii) is amended by inserting before the
semicolon at the end the following: ``, including the purchase of
nonresidential buildings or property in the vicinity of residential
buildings or property previously purchased by the airport as part of a
noise compatibility program''.
SEC. 165. HANGAR CONSTRUCTION GRANT ASSURANCE.
Section 47107(a) is amended--
(1) by striking ``and'' at the end of paragraph (19);
(2) by striking the period at the end of paragraph (20) and
inserting ``; and''; and
(3) by adding at the end the following:
``(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.''.
SEC. 166. TERMINAL DEVELOPMENT COSTS.
Section 47119(a) is amended to read as follows:
``(a) 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 section 47110(d).
``(4) Conditions for grant.--An amount is available for a grant
under this subsection only if--
``(A) the sponsor submits the certification required under
section 47110(d);
``(B) the Secretary of Transportation 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 subsection (b)(1)
and (2).''.
Subtitle D--Miscellaneous
SEC. 181. DESIGN-BUILD CONTRACTING.
(a) In General.--Subchapter I of chapter 471 is further amended by
adding at the end the following:
``Sec. 47142. Design-build contracting
``(a) In General.--The Administrator of the Federal Aviation
Administration may approve an application of an airport sponsor under
this section to authorize the airport sponsor to award a design-build
contract using a selection process permitted under applicable State or
local law if--
``(1) the Administrator approves the application using criteria
established by the Administrator;
``(2) the design-build contract is in a form that is approved
by the Administrator;
``(3) the Administrator is satisfied that the contract will be
executed pursuant to competitive procedures and contains a
schematic design adequate for the Administrator to approve the
grant;
``(4) use of a design-build contract will be cost effective and
expedite the project;
``(5) the Administrator is satisfied that there will be no
conflict of interest; and
``(6) the Administrator is satisfied that the selection process
will be as open, fair, and objective as the competitive bid system
and that at least 3 or more bids will be submitted for each project
under the selection process.
``(b) Reimbursement of Costs.--The Administrator may reimburse an
airport sponsor for design and construction costs incurred before a
grant is made pursuant to this section if the project is approved by
the Administrator in advance and is carried out in accordance with all
administrative and statutory requirements that would have been
applicable under this chapter if the project were carried out after a
grant agreement had been executed.
``(c) Design-Build Contract Defined.--In this section, the term
`design-build contract' means an agreement that provides for both
design and construction of a project by a contractor.''.
(b) Conforming Amendment.--The analysis for chapter 471 is further
amended by inserting after the item relating to section 47141 the
following:
``47142. Design-build contracting.''.
SEC. 182. PILOT PROGRAM FOR INNOVATIVE FINANCING OF AIR TRAFFIC CONTROL
EQUIPMENT.
(a) In General.--In order to test the cost effectiveness and
feasibility of long-term financing of modernization of major air
traffic control systems, the Administrator of the Federal Aviation
Administration may establish a pilot program to test innovative
financing techniques through amending, subject to section 1341 of title
31, United States Code, a contract for more than one, but not more than
20, fiscal years to purchase and install air traffic control equipment
for the Administration. Such amendments may be for more than one, but
not more than 10, fiscal years.
(b) Cancellation.--A contract described in subsection (a) may
include a cancellation provision if the Administrator determines that
such a provision is necessary and in the best interest of the United
States. Any such provision shall include a cancellation liability
schedule that covers reasonable and allocable costs incurred by the
contractor through the date of cancellation plus reasonable profit, if
any, on those costs. Any such provision shall not apply if the contract
is terminated by default of the contractor.
(c) Contract Provisions.--If feasible and practicable for the pilot
program, the Administrator may make an advance contract provision to
achieve economic-lot purchases and more efficient production rates.
(d) Limitation.--The Administrator may not amend a contract under
this section until the program for the terminal automation replacement
systems has been rebaselined in accordance with the acquisition
management system of the Administration.
(e) Annual Reports.--At the end of each fiscal year during the term
of the pilot program, the Administrator shall transmit to the Committee
on Commerce, Science, and Transportation of the Senate and the
Committee on Transportation and Infrastructure of the House of
Representatives a report on how the Administrator has implemented in
such fiscal year the pilot program, the number and types of contracts
or contract amendments that are entered into under the program, and the
program's cost effectiveness.
(f) Funding.--Out of amounts appropriated under section 48101 for
fiscal year 2004, such sums as may be necessary shall be available to
carry out this section.
SEC. 183. COST SHARING OF AIR TRAFFIC MODERNIZATION PROJECTS.
(a) In General.--Chapter 445 is amended by adding at the end the
following:
``Sec. 44517. Program to permit cost sharing of air traffic
modernization projects
``(a) In General.--Subject to the requirements of this section, the
Secretary may carry out a program under which the Secretary may make
grants to project sponsors for not more than 10 eligible projects per
fiscal year for the purpose of improving aviation safety and enhancing
mobility of the Nation's air transportation system by encouraging non-
Federal investment in critical air traffic control equipment and
software.
``(b) Federal Share.--The Federal share of the cost of an eligible
project carried out under the program shall not exceed 33 percent. The
non-Federal share of the cost of an eligible project shall be provided
from non-Federal sources, including revenues collected pursuant to
section 40117.
``(c) Limitation on Grant Amounts.--No eligible project may receive
more than $5,000,000 in Federal funds under the program.
``(d) Funding.--The Secretary shall use amounts appropriated under
section 48101(a) to carry out the program.
``(e) Definitions.--In this section, the following definitions
apply:
``(1) Eligible project.--The term `eligible project' means a
project to purchase equipment or software relating to the Nation's
air traffic control system that is certified or approved by the
Administrator of the Federal Aviation Administration and that
promotes safety, efficiency, or mobility. Such projects may
include--
``(A) airport-specific air traffic facilities and
equipment, including local area augmentation systems,
instrument landing systems, weather and wind shear detection
equipment, and lighting improvements;
``(B) automation tools to effect improvements in airport
capacity, including passive final approach spacing tools and
traffic management advisory equipment; and
``(C) equipment and software that enhance airspace control
procedures or assist in en route surveillance, including
oceanic and offshore flight tracking.
``(2) Project sponsor.--The term `project sponsor' means any
major user of the national airspace system, as determined by the
Secretary, including a public-use airport or a joint venture
between a public-use airport and one or more air carriers.
``(f) Transfers of Equipment.--Notwithstanding any other provision
of law, and upon agreement by the Administrator, a project sponsor may
transfer, without consideration, to the Federal Aviation
Administration, facilities, equipment, or automation tools, the
purchase of which was assisted by a grant made under this section, if
such facilities, equipment or tools meet Federal Aviation
Administration operation and maintenance criteria.
``(g) Guidelines.--The Administrator shall issue advisory
guidelines on the implementation of the program. The guidelines shall
not be subject to administrative rulemaking requirements under
subchapter II of chapter 5 of title 5.''.
(b) Conforming Amendment.--The analysis for chapter 445 is amended
by adding at the end the following:
``44517. Program to permit cost sharing of air traffic modernization
projects.''.
SEC. 184. FACILITIES AND EQUIPMENT REPORTS.
(a) Biannual Reports.--Beginning 180 days after the date of
enactment of this Act, the Administrator of the Federal Aviation
Administration shall transmit a report to the Senate Committee on
Commerce, Science, and Transportation and the House of Representatives
Committee on Transportation and Infrastructure every 6 months that
describes--
(1) the 10 largest programs funded under section 48101(a) of
title 49, United States Code;
(2) any changes in the budget for such programs;
(3) the program schedule; and
(4) technical risks associated with the programs.
(b) Sunset Provision.--This section shall cease to be effective
beginning on the date that is 4 years after the date of enactment of
this Act.
SEC. 185. CIVIL PENALTY FOR PERMANENT CLOSURE OF AN AIRPORT WITHOUT
PROVIDING SUFFICIENT NOTICE.
(a) In General.--Chapter 463 is amended by adding at the end the
following:
``Sec. 46319. Permanent closure of an airport without providing
sufficient notice
``(a) Prohibition.--A public agency (as defined in section 47102)
may not permanently close an airport listed in the national plan of
integrated airport systems under section 47103 without providing
written notice to the Administrator of the Federal Aviation
Administration at least 30 days before the date of the closure.
``(b) Publication of Notice.--The Administrator shall publish each
notice received under subsection (a) in the Federal Register.
``(c) Civil Penalty.--A public agency violating subsection (a)
shall be liable for a civil penalty of $10,000 for each day that the
airport remains closed without having given the notice required by this
section.''.
(b) Conforming Amendment.--The analysis for chapter 463 is amended
by adding at the end the following:
``46319. Permanent closure of an airport without providing sufficient
notice.''.
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 ending before
October 1, 2007, 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.
SEC. 187. INTERMODAL PLANNING.
Section 47106(c)(1)(A) is amended--
(1) by striking ``and'' at the end of clause (i);
(2) by adding ``and'' at the end of clause (ii); and
(3) by adding at the end the following:
``(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;''.
SEC. 188. MARSHALL ISLANDS, MICRONESIA, AND PALAU.
Section 47115 is amended by adding at the end the following:
``(j) Marshall Islands, Micronesia, and Palau.--For fiscal years
2004 through 2007, 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. 189. LIMITATION ON APPROVAL OF CERTAIN PROGRAMS.
Section 47504(b) is amended by adding at the end the following:
``(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.''.
SEC. 190. CONVEYANCE OF AIRPORT.
(a) Offer of Conveyance.--Subject to the requirements of this
section, the Chaluka Corporation is hereby offered ownership of the
surface estate in the former Nikolski Radio Relay Site on Umnak Island,
Alaska, and the Aleut Corporation is hereby offered the subsurface
estate of that Site, in exchange for relinquishment by the Chaluka
Corporation and the Aleut Corporation of Lot 1, Section 14, Township 81
South, Range 133 West, Seward Meridian, Alaska.
(b) Acceptance and Relinquishment.--
(1) In general.--The Secretary of the Interior shall convey the
land as provided in subsection (c) if the Chaluka Corporation and
the Aleut Corporation take the actions specified in paragraphs (2)
and (3), respectively.
(2) Chaluka corporation.--As a condition for conveyance under
subsection (c), the Chaluka Corporation shall notify the Secretary
of the Interior within 180 days after the date of enactment of this
Act that, by means of a legally binding resolution of the Board of
Directors, the Chaluka Corporation--
(A) accepts the offer under subsection (a);
(B) confirms that the area surveyed by the Bureau of Land
Management for the purpose of fulfilling the Chaluka
Corporation's final entitlements under sections 12(a) and 12(b)
of the Alaska Native Claims Settlement Act (43 U.S.C. 1611(a)
and (b)), identified as Group Survey Number 773, accurately
represents the Chaluka Corporation's final, irrevocable Alaska
Native Claims Settlement Act priorities and entitlements unless
any tract in Group Survey Number 773 is ultimately not conveyed
as the result of an appeal; and
(C) relinquishes Lot 1, Section 14, Township 81 South,
Range 133 West, Seward Meridian, Alaska, which will be charged
against the Chaluka Corporation's final entitlement under
section 12(b) of the Alaska Native Claims Settlement Act (43
U.S.C. 1611(b)).
(3) Aleut corporation.--As a condition for the conveyance under
subsection (c), the Aleut Corporation shall notify the Secretary of
the Interior within 180 days after the date of enactment of this
Act that, by means of a legally binding resolution of the Board of
Directors, accompanied by the written legal opinion of counsel as
to the legal sufficiency of the Board of Directors' action, the
Aleut Corporation--
(A) accepts the offer under subsection (a); and
(B) relinquishes all rights to Lot 1, Section 14, Township
81 South, Range 133 West, Seward Meridian, Alaska.
(c) Requirement To Convey.--
(1) Conveyance.--Notwithstanding the existence of Public Land
Order 2374, upon receipt from the Chaluka Corporation and from the
Aleut Corporation of their acceptances made in accordance with the
requirements of subsections (b)(2) and (b)(3), respectively, of the
offer under subsection (a), the Secretary of the Interior shall
convey to the Chaluka Corporation the surface estate, and to the
Aleut Corporation the subsurface estate, of--
(A) Phase I lands as soon as practicable; and
(B) each parcel of Phase II lands upon completion of
environmental restoration of Phase II lands in accordance with
applicable law.
(2) Phase i liability limit.--Notwithstanding section 107 of
the Comprehensive Environmental Response, Compensation, and
Liability Act of 1980 (42 U.S.C. 9607), neither the Chaluka
Corporation nor the Aleut Corporation shall be subject to any
liability for--
(A) the presence or release of a hazardous substance, as
that term is defined by section 101(14) of that Act (16 U.S.C.
9601(14)), on Phase I lands or the presence of solid waste on
Phase I lands, which predates conveyance of those lands to the
Chaluka Corporation and the Aleut Corporation pursuant to this
section; or
(B) any release, from any of the hazardous substances or
solid wastes referred to in subparagraph (A), following
conveyance of Phase I lands under this section, so long as the
presence of or releases from those hazardous substances or
solid wastes are not the result of actions by the Chaluka
Corporation or the Aleut Corporation.
(3) Continued access over hill and beach streets.--The surface
estate conveyed under paragraph (1) shall be subject to the
public's right of access over Hill and Beach Streets, located on
Tract B of United States Survey 4904.
(d) Treatment as ancsa lands.--Conveyances made under subsection
(c) shall be considered to be conveyances under the Alaska Native
Claims Settlement Act (43 U.S.C. 1601 et seq.), and are subject to the
provisions of that Act except sections 14(c)(3), 14(c)(4), and 17(b)(3)
(43 U.S.C. 1613(c)(3), 1613(c)(4), and 1616(b)(3)).
(e) Authority To Convey Certain Other Lands.--The Secretary of the
Interior shall at no cost to the recipient convey ownership of--
(1) an estate in fee simple in--
(A) each of Lots 1, 2, 5, 6, and 9 of Tract B of Amended
United States Survey 4904 that is the subject of an Aleutian
Housing Authority mutual help occupancy agreement, to the
Aleutian Housing Authority; and
(B) the remainder of such Lots to the current occupants;
and
(2) an estate in fee simple in the Nikolski powerhouse land,
to--
(A) the Indian Reorganization Act Tribal Government for the
Native Village of Nikolski, upon completion of the
environmental restoration described in subsection (f), if after
the restoration the powerhouse continues to be located on the
Nikolski powerhouse land; or
(B) the surface estate to the Chaluka Corporation and the
subsurface estate to the Aleut Corporation, if after the
restoration, the Nikolski powerhouse is no longer located on
the Nikolski powerhouse land. -
(f) Restoration of Powerhouse Land.--The Denali Commission, in
consultation with the appropriate agency of the State of Alaska, is
authorized to arrange for environmental restoration, in accordance with
applicable law, of the areas on, beneath, and adjacent to the Nikolski
powerhouse land that are contaminated as a result of powerhouse
operations and activities.
(g) Access.--As a condition of the conveyance of land under
subsection (c), the Chaluka Corporation shall permit the United States
Government, and its agents, employees, and contractors, to have
unrestricted access to the airfield at Nikolski in perpetuity for site
investigation, restoration, remediation, and environmental monitoring
of the former Nikolski Radio Relay Site and reasonable access to that
airfield, and to other land conveyed under this section, for any
activity associated with management of lands owned by the United States
and for other governmental purposes without cost to the Government.
(h) Survey Requirements.--
(1) BLM surveys.--The Bureau of Land Management is not required
to conduct additional on-the-ground surveys as a result of
conveyances under this section. The patent to the Chaluka
Corporation may be based on protracted section lines and lotting
where relinquishment under subsection (b)(2)(C) results in a change
to the Chaluka Corporation's final boundaries.
(2) Monumentation.--No additional monumentation is required to
complete those final boundaries.
(i) Authorization of Appropriations.--
(1) Federal agencies.--There is authorized to be appropriated
to the Department of the Interior and other appropriate agencies
such sums as are necessary to carry out the provisions of this
section.
(2) Powerhouse land restoration.--There is authorized to be
appropriated $1,500,000 to reimburse the appropriate State of
Alaska agency for costs required for environmental restoration of
the Nikolski powerhouse land, in accordance with applicable law.
(j) Termination.--This section shall cease to be effective if
either the Chaluka Corporation or the Aleut Corporation affirmatively
rejects the offer under subsection (a) or if after 180 days following
the date of enactment of this Act either corporation has not taken the
actions specified in subsection (b)(2) or (b)(3), respectively.
(k) Definitions.--In this section, the following definitions apply:
(1) The term ``Aleut Corporation'' means the regional
corporation established under the Alaska Native Claims Settlement
Act (43 U.S.C. 1601 et seq.) for the region in which the Native
Village of Nikolski, Alaska, is located.
(2) The term ``Chaluka Corporation'' means the village
corporation established under the Alaska Native Claims Settlement
Act (43 U.S.C. 1601 et seq.) for the Native Village of Nikolski,
Alaska.
(3) The term ``former Nikolski Radio Relay Site'' means the
portions of Tracts A, B, and C of Public Land Order 2374 that are
surveyed as Tracts 37, 37A, 38, 39, and 39A of Township 83 South,
Range 136 West, Seward Meridian, Alaska, and Tract B of United
States Survey 4904, Alaska, except--
(A) Lots 1, 2, 5, 6, and 9 of Tract B of Amended United
States Survey 4904; and
(B) the Nikolski powerhouse land.
(4) The term ``Nikolski powerhouse land'' means the parcel of
land upon which is located the power generation building for
supplying power to the Native Village of Nikolski, the boundaries
of which are described generally as follows: Beginning at the point
at which the southerly boundary of Tract 39 of Township 83 South,
Range 136 West, Seward Meridian, Alaska, intersects the easterly
boundary of the road that connects the Native Village of Nikolski
and the airfield at Nikolski; then meandering in a northeasterly
direction along the easterly boundary of that road until the road
intersects the westerly boundary of the road that connects Umnak
Lake and the airfield; then meandering in a southerly direction
along the western boundary of that Umnak Lake road until that
western boundary intersects the southern boundary of such Tract 39;
then proceeding eastward along the southern boundary of such Tract
39 to the beginning point.
(5) The term ``Phase I lands'' means Tract 39 of Township 83
South, Range 136 West, Seward Meridian, excluding the Nikolski
powerhouse land.
(6) The term ``Phase II lands'' means the portion of the former
Nikolski Radio Relay Site not conveyed as Phase I lands.
TITLE II--FAA ORGANIZATION
Subtitle A--FAA Reform
SEC. 201. MANAGEMENT ADVISORY COMMITTEE MEMBERS.
Section 106(p) is amended--
(1) in the subsection heading by inserting ``and Air Traffic
Services Board'' after ``Council''; and
(2) in paragraph (2)--
(A) by striking ``consist of'' and all that follows through
``members, who'' and inserting ``consist of 13 members, who'';
(B) by inserting after ``Senate'' in subparagraph (C)(i)
``, except that initial appointments made after May 1, 2003,
shall be made by the Secretary of Transportation'';
(C) by striking the semicolon at the end of subparagraph
(C)(ii) and inserting ``; and''; and
(D) by striking ``employees, by--'' in subparagraph (D) and
all that follows through the period at the end of subparagraph
(E) and inserting ``employees, by the Secretary of
Transportation.''.
SEC. 202. REORGANIZATION OF THE AIR TRAFFIC SERVICES SUBCOMMITTEE.
Section 106(p) is amended--
(1) by striking paragraph (3) and inserting the following:
``(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.'';
(2) in paragraph (4)(C) by inserting ``or Air Traffic Services
Committee'' after ``Council'' each place it appears;
(3) in paragraph (5) by inserting ``, the Air Traffic Services
Committee,'' after ``Council'';
(4) in paragraph (6)(C)--
(A) by striking ``subcommittee'' in the subparagraph
heading and inserting ``committee'';
(B) by striking ``member'' and inserting ``members'';
(C) by striking ``under paragraph (2)(E)'' the first place
it appears and inserting ``to the Air Traffic Services
Committee''; and
(D) by striking ``of the members first'' and all that
follows through the period at the end and inserting ``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).'';
(5) in paragraph (6)(D) by striking ``under paragraph (2)(E)''
and inserting ``to the Committee'';
(6) in paragraph (6)(E) by inserting ``or Committee'' after
``Council'';
(7) in paragraph (6)(F) by inserting ``of the Council or
Committee'' after ``member'';
(8) in the second sentence of subparagraph (6)(G)--
(A) by striking ``Council'' and inserting ``Committee'';
and
(B) by striking ``appointed under paragraph (2)(E)'';
(9) in paragraph (6)(H)--
(A) by striking ``subcommittee'' in the subparagraph
heading and inserting ``committee'';
(B) by striking ``under paragraph (2)(E)'' in clause (i)
and inserting ``to the Committee''; and
(C) by striking ``Air Traffic Services Subcommittee'' and
inserting ``Committee'';
(10) in paragraph (6)(I)(i)--
(A) by striking ``appointed under paragraph (2)(E) is'' and
inserting ``is serving as''; and
(B) by striking ``Subcommittee'' and inserting
``Committee'';
(11) in paragraph (6)(I)(ii)--
(A) by striking ``appointed under paragraph (2)(E)'' and
inserting ``who is a member of the Committee''; and
(B) by striking ``Subcommittee'' and inserting
``Committee'';
(12) in paragraph (6)(K) by inserting ``or Committee'' after
``Council'';
(13) in paragraph (6)(L) by inserting ``or Committee'' after
``Council'' each place it appears; and
(14) in paragraph (7)--
(A) by striking ``subcommittee'' in the paragraph heading
and inserting ``committee'';
(B) by striking subparagraph (A) and inserting the
following:
``(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').'';
(C) by redesignating subparagraphs (B) through (F) as
subparagraphs (D) through (H), respectively;
(D) by inserting after subparagraph (A) the following:
``(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.'';
(E) by striking ``Subcommittee'' each place it appears in
subparagraphs (D) and (E) (as redesignated by subparagraph (C)
of this paragraph) and inserting ``Committee'';
(F) by striking ``approve'' in subparagraph (E)(v)(I) (as
so redesignated) and inserting ``make recommendations on'';
(G) by striking ``request'' in subparagraph (E)(v)(II) (as
so redesignated) and inserting ``recommendations'';
(H) by striking ``ensure that the budget request supports''
in subparagraph (E)(v)(III) (as so redesignated) and inserting
``base such budget recommendations on'';
(I) by striking ``The Secretary shall submit'' in
subparagraph (E) (as so redesignated) and all that follows
through the period at the end of such subparagraph (E);
(J) by striking subparagraph (F) (as so redesignated) and
inserting the following:
``(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.'';
(K) in subparagraph (G) (as so redesignated)--
(i) by striking clause (i);
(ii) by redesignating clauses (ii), (iii), and (iv) as
clauses (i), (ii), and (iii), respectively; and
(iii) by striking ``Subcommittee'' each place it
appears in clauses (i), (ii), and (iii) (as so
redesignated) and inserting ``Committee'';
(L) in subparagraph (H) (as so redesignated)--
(i) by striking ``Subcommittee'' each place it appears
and inserting ``Committee'';
(ii) by striking ``Administrator, the Council'' each
place it appears in clauses (i) and (ii) and inserting
``Secretary''; and
(iii) in clause (ii) by striking ``(B)(i)'' and
inserting ``(D)(i)''; and
(M) by adding at the end the following:
``(I) Authorization.--There are authorized to be
appropriated to the Committee such sums as may be necessary for
the Committee to carry out its activities.''.
SEC. 203. CLARIFICATION OF THE RESPONSIBILITIES OF THE CHIEF OPERATING
OFFICER.
Section 106(r) is amended--
(1) in each of paragraphs (1)(A) and (2)(A) by striking ``Air
Traffic Services Subcommittee of the Aviation Management Advisory
Council'' and inserting ``Air Traffic Services Committee'';
(2) in paragraph (2)(B) by inserting ``in'' before ``paragraph
(3).'';
(3) in paragraph (3) by striking ``Air Traffic Control
Subcommittee of the Aviation Management Advisory Committee'' and
inserting ``Air Traffic Services Committee'';
(4) in paragraph (4) by striking ``Transportation and
Congress'' and inserting ``Transportation, the Committee on
Transportation and Infrastructure of the House of Representatives,
and the Committee on Commerce, Science, and Transportation of the
Senate'';
(5) in paragraph (5)(A)--
(A) by striking ``develop a'' and inserting ``implement
the''; and
(B) by striking ``, including the establishment of'' and
inserting ``in order to further'';
(6) in paragraph (5)(B)--
(A) by striking ``review'' and all that follows through
``Administration,'' and inserting ``oversee the day-to-day
operational functions of the Administration for air traffic
control,'';
(B) by striking ``and'' at the end of clause (ii);
(C) by striking the period at the end of clause (iii) and
inserting ``; and''; and
(D) by adding at the end the following:
``(iv) the management of cost-reimbursable
contracts.'';
(7) in paragraph (5)(C)(i) by striking ``prepared by the
Administrator'';
(8) in paragraph (5)(C)(ii) by striking ``and the Secretary of
Transportation'' and inserting ``and the Committee''; and
(9) in paragraph (5)(C)(iii)--
(A) by inserting ``agency's'' before ``annual''; and
(B) by striking ``developed under subparagraph (A) of this
subsection.'' and inserting ``for air traffic control
services.''.
SEC. 204. DEPUTY ADMINISTRATOR.
Section 106(d) is amended--
(1) by redesignating paragraphs (2) and (3) as (3) and (4),
respectively; and
(2) by inserting after paragraph (1) the following:
``(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.''.
Subtitle B--Miscellaneous
SEC. 221. CONTROLLER STAFFING.
(a) Annual Report.--Beginning with the submission of the Budget of
the United States to the Congress for fiscal year 2005, the
Administrator of the Federal Aviation Administration shall transmit a
report to the Senate Committee on Commerce, Science, and Transportation
and the House of Representatives Committee on Transportation and
Infrastructure that describes the overall air traffic controller
staffing plan, including strategies to address anticipated retirement
and replacement of air traffic controllers.
(b) Human Capital Workforce Strategy.--
(1) Development.--The Administrator shall develop a
comprehensive human capital workforce strategy to determine the
most effective method for addressing the need for more air traffic
controllers that is identified in the June 2002 report of the
General Accounting Office.
(2) Completion date.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall complete development
of the strategy.
(3) Report.--Not later than 30 days after the date on which the
strategy is completed, the Administrator shall transmit to Congress
a report describing the strategy.
SEC. 222. WHISTLEBLOWER PROTECTION UNDER ACQUISITION MANAGEMENT SYSTEM.
Section 40110(d)(2)(C) is amended by striking ``355).'' and
inserting ``355), except for section 315 (41 U.S.C. 265). For the
purpose of applying section 315 of that Act to the system, the term
`executive agency' is deemed to refer to the Federal Aviation
Administration.''.
SEC. 223. FAA PURCHASE CARDS.
(a) In General.--The Administrator of the Federal Aviation
Administration shall take appropriate actions to implement the
recommendations contained in the report of the General Accounting
Office entitled ``FAA Purchase Cards: Weak Controls Resulted in
Instances of Improper and Wasteful Purchases and Missing Assets'',
numbered GAO-03-405 and dated March 21, 2003.
(b) Report.--Not later than 1 year after the date of enactment of
this Act, the Administrator shall transmit to Congress a report
containing a description of the actions taken by the Administrator
under this section.
SEC. 224. PROCUREMENT.
(a) Duties and Powers.--Section 40110(c) is amended--
(1) by striking ``Administration--'' and all that follows
through ``(2) may--'' and inserting ``Administration may--'';
(2) by striking subparagraph (D);
(3) by redesignating subparagraphs (A), (B), (C), (E), and (F)
as paragraphs (1), (2), (3), (4), and (5), respectively; and
(4) by moving such paragraphs (1) through (5) 2 ems to the
left.
(b) Acquisition Management System.--Section 40110(d) is amended--
(1) in paragraph (1)--
(A) by striking ``, not later than January 1, 1996,''; and
(B) by striking ``provides for more timely and cost-
effective acquisitions of equipment and materials.'' and
inserting the following:
``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.''; and
(2) by striking paragraph (4), relating to the effective date,
and inserting the following:
``(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.''.
(c) Authority of Administrator To Acquire Services.--Section
106(f)(2)(A)(ii) is amended by inserting ``, services,'' after
``property''.
SEC. 225. DEFINITIONS.
(a) In General.--Section 40102(a) is amended--
(1) by redesignating paragraphs (38) through (42) as paragraphs
(43) through (47), respectively;
(2) by inserting after paragraph (37) the following:
``(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.'';
(3) by redesignating paragraphs (33) through (37) as paragraphs
(37) through (41) respectively;
(4) by inserting after paragraph (32) the following:
``(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.'';
(5) by redesignating paragraph (32) as paragraph (35);
(6) by inserting after paragraph (31) the following:
``(34) `nonhub airport' means a commercial service airport (as
defined in section 47102) that has less than 0.05 percent of the
passenger boardings.'';
(7) by redesignating paragraphs (30) and (31) as paragraphs
(32) and (33), respectively;
(8) by inserting after paragraph (29) the following:
``(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.'';
(9) by redesignating paragraph (29) as paragraph (30); and
(10) by inserting after paragraph (28) the following:
``(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.''.
(b) Conforming Amendments.--
(1) Air service termination notice.--Section 41719(d) is
amended--
(A) by striking paragraph (1); and
(B) by redesignating paragraphs (2) through (5) as
paragraphs (1) through (4), respectively.
(2) Small community air service.--Section 41731(a) is amended
by striking paragraphs (3) through (5).
(3) Airports not receiving sufficient service.--Section 41743
is amended--
(A) in subsection (c)(1) by striking ``(as that term is
defined in section 41731(a)(5))''; and
(B) in subsection (f) by striking ``(as defined in section
41731(a)(3))''.
(4) Preservation of basic essential air service at single
carrier dominated hub airports.--Section 41744(b) is amended by
striking ``(as defined in section 41731)''.
(5) Regional air service incentive program.--Section 41762 is
amended--
(A) by striking paragraphs (11) and (15); and
(B) by redesignating paragraphs (12), (13), (14), and (16)
as paragraphs (11), (12), (13), and (14), respectively.
SEC. 226. AIR TRAFFIC CONTROLLER RETIREMENT.
(a) Air Traffic Controller Defined.--
(1) Civil service retirement system.--Section 8331 of title 5,
United States Code, is amended--
(A) by striking ``and'' at the end of paragraph (27);
(B) by striking the period at the end of paragraph (28) and
inserting ``; and''; and
(C) by adding at the end the following:
``(29) the term `air traffic controller' or `controller'
means--
``(A) a controller within the meaning of section 2109(1);
and
``(B) a civilian employee of the Department of
Transportation or the Department of Defense who is the
immediate supervisor of a person described in section
2109(1)(B).''.
(2) Federal employees' retirement system.--Section 8401 of
title 5, United States Code, is amended--
(A) by striking ``and'' at the end of paragraph (33);
(B) by striking the period at the end of paragraph (34) and
inserting ``; and''; and
(C) by adding at the end the following:
``(35) the term `air traffic controller' or `controller'
means--
``(A) a controller within the meaning of section 2109(1);
and
``(B) a civilian employee of the Department of
Transportation or the Department of Defense who is the
immediate supervisor of a person described in section
2109(1)(B).''.
(3) Mandatory separation treatment not affected.--
(A) Civil service retirement system.--Section 8335(a) of
title 5, United States Code, is amended by adding at the end
the following: ``For purposes of this subsection, the term `air
traffic controller' or `controller' has the meaning given to it
under section 8331(29)(A).''.
(B) Federal employees' retirement system.--Section 8425(a)
of title 5, United States Code, is amended by adding at the end
the following: ``For purposes of this subsection, the term `air
traffic controller' or `controller' has the meaning given to it
under section 8401(35)(A).''.
(b) Modified Annuity Computation Rule for Certain Air Traffic
Controllers Under FERS.--
(1) In general.--Section 8415 of title 5, United States Code,
is amended--
(A) by redesignating subsections (e) through (j) as
subsections (f) through (k), respectively, and by redesignating
the second subsection (i) as subsection (l); and
(B) by inserting after subsection (d) the following:
``(e) The annuity of an air traffic controller or former air
traffic controller retiring under section 8412(a) is computed under
subsection (a), except that if the individual has had at least 5 years
of service as an air traffic controller as defined by section
2109(1)(A)(i), so much of the annuity as is computed with respect to
such type of service shall be computed by multiplying 1\7/10\ percent
of the individual's average pay by the years of such service.''.
(2) Conforming amendments.--(A) Section 8422(d)(2) of title 5,
United States Code, is amended by striking ``8415(i)'' and
inserting ``8415(j)''.
(B) Section 8452(d)(1) of such title is amended by striking
``subsection (f)'' and inserting ``subsection (g)''.
(C) Section 8468(b)(1)(A) of such title is amended by striking
``through (g)'' and inserting ``through (h)''.
(D) Section 302(a) of the Federal Employees' Retirement System
Act of 1986 (5 U.S.C. 8331 note) is amended--
(i) in paragraph (1)(D)(VI), by striking ``subsection (g)''
and inserting ``subsection (h)'';
(ii) in paragraph (9), by striking ``8415(f)'' and
inserting ``8415(g)''; and
(iii) in paragraph (12)(B)(ii), by striking ``through (f)''
and inserting ``through (g)''.
(c) Effective Date.--
(1) In general.--This section and the amendments made by this
section--
(A) shall take effect on the 60th day after the date of
enactment of this Act; and
(B) shall apply with respect to--
(i) any annuity entitlement to which is based on an
individual's separation from service occurring on or after
the effective date of this section; and
(ii) any service performed by any such individual
before, on, or after the effective date of this section,
subject to paragraph (2).
(2) Special rule.--
(A) Deposit requirement.--For purposes of determining
eligibility for immediate retirement under section 8412(e) of
title 5, United States Code, the amendment made by subsection
(a)(2) shall, with respect to any service described in
subparagraph (B), be disregarded unless there is deposited into
the Civil Service Retirement and Disability Fund, with respect
to such service, in such time, form, and manner as the Office
of Personnel Management by regulation requires, an amount equal
to the amount by which--
(i) the deductions from pay which would have been
required for such service if the amendments made by
subsection (a)(2) had been in effect when such service was
performed, exceeds
(ii) the unrefunded deductions or deposits actually
made under subchapter II of chapter 84 of such title with
respect to such service.
An amount under this subparagraph shall include interest,
computed under paragraphs (2) and (3) of section 8334(e) of
such title 5.
(B) Prior service described.--This paragraph applies with
respect to any service performed by an individual before the
effective date of this section as an employee described in
section 8401(35)(B) of title 5, United States Code (as amended
by subsection (a)(2)).
SEC. 227. DESIGN ORGANIZATION CERTIFICATES.
(a) General Authority To Issue Certificates.--Effective on the last
day of the 7-year period beginning on the date of enactment of this
Act, section 44702(a) is amended by inserting ``design organization
certificates,'' after ``airman certificates,''.
(b) Design Organization Certificates.--
(1) Plan.--Not later than 4 years after the date of enactment
of this Act, the Administrator of the Federal Aviation
Administration 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
plan for the development and oversight of a system for
certification of design organizations to certify compliance with
the requirements and minimum standards prescribed under section
44701(a) of title 49, United States Code, for the type
certification of aircraft, aircraft engines, propellers, or
appliances.
(2) Issuance of certificates.--Section 44704 is amended by
adding at the end the following:
``(e) Design Organization Certificates.--
``(1) Issuance.--Beginning 7 years after the date of enactment
of this subsection, the Administrator may issue a design
organization certificate to a design organization to authorize the
organization to certify compliance with the requirements and
minimum standards prescribed under section 44701(a) for the type
certification of aircraft, aircraft engines, propellers, or
appliances.
``(2) Applications.--On receiving an application for a design
organization certificate, the Administrator shall examine and rate
the design organization submitting the application, in accordance
with regulations to be prescribed by the Administrator, to
determine whether the design organization has adequate engineering,
design, and testing capabilities, standards, and safeguards to
ensure that the product being certificated is properly designed and
manufactured, performs properly, and meets the regulations and
minimum standards prescribed under section 44701(a).
``(3) Issuance of type certificates based on design
organization certification.--The Administrator may rely on
certifications of compliance by a design organization when making a
finding under subsection (a).
``(4) Public safety.--The Administrator shall include in a
design organization certificate issued under this subsection 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.''.
(c) Reinspection and Reexamination.--Section 44709(a) is amended by
inserting ``design organization, production certificate holder,'' after
``appliance,''.
(d) Prohibitions.--Section 44711(a)(7) is amended by striking
``agency'' and inserting ``agency, design organization certificate, ''.
(e) Conforming Amendments.--
(1) Section heading.--Section 44704 is amended by striking the
section designation and heading and inserting the following:
``Sec. 44704. Type certificates, production certificates, airworthiness
certificates, and design organization certificates''.
(2) Chapter analysis.--The analysis for chapter 447 is amended
by striking the item relating to section 44704 and inserting the
following:
``44704. Type certificates, production certificates, airworthiness
certificates, and design organization certificates.''.
SEC. 228. JUDICIAL REVIEW.
The first sentence of section 46110(a) is amended--
(1) by striking ``safety''; and
(2) by striking ``under this part'' and inserting ``in whole or
in part under this part, part B, or subsection (l) or (s) of
section 114''.
SEC. 229. OVERFLIGHT FEES.
(a) Adoption and Legalization of Certain Rules.--
(1) Applicability and effect of certain law.--Notwithstanding
section 141(d)(1) of the Aviation and Transportation Security Act
(49 U.S.C. 44901 note), section 45301(b)(1)(B) of title 49, United
States Code, is deemed to apply to and to have effect with respect
to the authority of the Administrator of the Federal Aviation
Administration with respect to the interim final rule and final
rule, relating to overflight fees, issued by the Administrator on
May 30, 2000, and August 13, 2001, respectively.
(2) Adoption and legalization.--The interim final rule and
final rule referred to in subsection (a), including the fees issued
pursuant to those rules, are adopted, legalized, and confirmed as
fully to all intents and purposes as if the same had, by prior Act
of Congress, been specifically adopted, authorized, and directed as
of the date those rules were originally issued.
(3) Fees to which applicable.--This subsection applies to fees
assessed after November 19, 2001, and before April 8, 2003, and
fees collected after the requirements of subsection (b) have been
met.
(b) Deferred Collection of Fees.--The Administrator shall defer
collecting fees under section 45301(a)(1) of title 49, United States
Code, until the Administrator (1) reports to Congress responding to the
issues raised by the court in Air Transport Association of Canada v.
Federal Aviation Administration and Administrator, FAA, decided on
April 8, 2003, and (2) consults with users and other interested parties
regarding the consistency of the fees established under such section
with the international obligations of the United States.
(c) Enforcement.--The Administrator shall take an appropriate
enforcement action under subtitle VII of title 49, United States Code,
against any user that does not pay a fee under section 45301(a)(1) of
such title.
TITLE III--ENVIRONMENTAL PROCESS
Subtitle A--Aviation Development Streamlining
SEC. 301. SHORT TITLE.
This title may be cited as ``Aviation Streamlining Approval Process
Act of 2003''.
SEC. 302. FINDINGS.
Congress finds that--
(1) airports play a major role in interstate and foreign
commerce;
(2) congestion and delays at our Nation's major airports have a
significant negative impact on our Nation's economy;
(3) airport capacity enhancement projects at congested airports
are a national priority and should be constructed on an expedited
basis;
(4) airport capacity enhancement projects must include an
environmental review process that provides local citizenry an
opportunity for consideration of and appropriate action to address
environmental concerns; and
(5) the Federal Aviation Administration, airport authorities,
communities, and other Federal, State, and local government
agencies must work together to develop a plan, set and honor
milestones and deadlines, and work to protect the environment while
sustaining the economic vitality that will result from the
continued growth of aviation.
SEC. 303. AIRPORT CAPACITY ENHANCEMENT.
Section 40104 is amended by adding at the end the following:
``(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.''.
SEC. 304. AVIATION PROJECT STREAMLINING.
(a) In General.--Chapter 471 is amended by inserting after
subchapter II the following:
``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 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.
``Sec. 47172. Air traffic procedures for airport capacity enhancement
projects at congested airports
``(a) In General.--The Administrator of the Federal Aviation
Administration may consider prescribing flight procedures to avoid or
minimize potentially significant adverse noise impacts of an airport
capacity enhancement project at a congested airport that involves the
construction of new runways or the reconfiguration of existing runways
during the environmental planning process for the project. If the
Administrator determines that noise mitigation flight procedures are
consistent with safe and efficient use of the navigable airspace, the
Administrator may commit, at the request of the airport sponsor and in
a manner consistent with applicable Federal law, to prescribing such
procedures in any record of decision approving the project.
``(b) Modification.--Notwithstanding any commitment by the
Administrator under subsection (a), the Administrator may initiate
changes to such procedures if necessary to maintain safety and
efficiency in light of new information or changed circumstances.
``Sec. 47173. Airport funding of FAA staff
``(a) Acceptance of Sponsor-Provided Funds.--Notwithstanding any
other provision of law, the Administrator of the Federal Aviation
Administration may accept funds from an airport sponsor, including
funds provided to the sponsor under section 47114(c), 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 an airport development
project.
``(b) Administrative Provision.--Instead of payment from an airport
sponsor from funds apportioned to the sponsor under section 47114, the
Administrator, with agreement of the sponsor, may transfer funds that
would otherwise be apportioned to the sponsor under section 47114 to
the account used by the Administrator for activities described in
subsection (a).
``(c) Receipts Credited as Offsetting Collections.--Notwithstanding
section 3302 of title 31, any funds accepted under this section, except
funds transferred pursuant to subsection (b)--
``(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.
``(d) Maintenance of Effort.--No funds may be accepted pursuant to
subsection (a), or transferred pursuant to subsection (b), in any
fiscal year in which the Federal Aviation Administration does not
allocate at least the amount it expended in fiscal year 2002 (excluding
amounts accepted pursuant to section 337 of the Department of
Transportation and Related Agencies Appropriations Act, 2002 (115 Stat.
862)) for the activities described in subsection (a).
``Sec. 47174. Authorization of appropriations
``In addition to the amounts authorized to be appropriated under
section 106(k), there is authorized to 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), $4,200,000 for fiscal year 2004 and for each fiscal year
thereafter to facilitate the timely processing, review, and completion
of environmental activities associated with airport capacity
enhancement projects at congested airports.
``Sec. 47175. Definitions
``In this subchapter, the following definitions apply:
``(1) Airport sponsor.--The term `airport sponsor' has the
meaning given the term `sponsor' under section 47102.
``(2) Congested airport.--The term `congested airport' means an
airport that accounted for at least 1 percent of all delayed
aircraft operations in the United States in the most recent year
for which such data is available and an airport listed in table 1
of the Federal Aviation Administration's Airport Capacity Benchmark
Report 2001.
``(3) Airport capacity enhancement project.--The term `airport
capacity enhancement project' means--
``(A) a project for construction or extension of a runway,
including any land acquisition, taxiway, or safety area
associated with the runway or runway extension; and
``(B) such other airport development projects as the
Secretary may designate as facilitating a reduction in air
traffic congestion and delays.
``(4) Aviation safety project.--The term `aviation safety
project' means an aviation project that--
``(A) has as its primary purpose reducing the risk of
injury to persons or damage to aircraft and property, as
determined by the Administrator; and
``(B)(i) is needed to respond to a recommendation from the
National Transportation Safety Board, as determined by the
Administrator; or
``(ii) is necessary for an airport to comply with part 139
of title 14, Code of Federal Regulations (relating to airport
certification).
``(5) Aviation security project.--The term `aviation security
project' means a security project at an airport required by the
Department of Homeland Security.
``(6) Federal agency.--The term `Federal agency' means a
department or agency of the United States Government.''.
(b) Conforming Amendment.--The analysis for such chapter is amended
by adding at the end the following:
``SUBCHAPTER III--AVIATION DEVELOPMENT STREAMLINING
``47171. Expedited, coordinated environmental review process.
``47172. Air traffic procedures for airport capacity enhancement
projects at congested airports.
``47173. Airport funding of FAA staff.
``47174. Authorization of appropriations.
``47175. Definitions.''.
SEC. 305. ELIMINATION OF DUPLICATIVE REQUIREMENTS.
Section 47106(c) is amended--
(1) by inserting ``and'' after the semicolon at the end of
paragraph (1)(A)(iii) (as added by this Act);
(2) by striking subparagraph (B) of paragraph (1);
(3) by redesignating subparagraph (C) of paragraph (1) as
subparagraph (B);
(4) in paragraph (2)(A) by striking ``stage 2'' and inserting
``stage 3'';
(5) by striking paragraph (4);
(6) by redesignating paragraph (5) as paragraph (4); and
(7) in paragraph (4) (as so redesignated) by striking
``(1)(C)'' and inserting ``(1)(B)''.
SEC. 306. CONSTRUCTION OF CERTAIN AIRPORT CAPACITY PROJECTS.
Section 47504(c)(2) is amended--
(1) by moving subparagraphs (C) and (D) 2 ems to the right;
(2) by striking ``and'' at the end of subparagraph (C);
(3) by striking the period at the end of subparagraph (D) and
inserting ``; and''; and
(4) by adding at the end the following:
``(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.''.
SEC. 307. ISSUANCE OF ORDERS.
Not later than 180 days after the date of enactment of this Act,
the Secretary of Transportation shall publish the final Federal
Aviation Administration Order 1050.1E, Environmental Impacts: Policies
and Procedures. Not later than 180 days after the date of publication
of such final order, the Secretary shall publish for public comment the
revised Federal Aviation Administration Order 5050.4B, Airport
Environmental Handbook.
SEC. 308. LIMITATIONS.
Nothing in this subtitle, including any amendment made by this
title, shall preempt or interfere with--
(1) any practice of seeking public comment;
(2) any power, jurisdiction, or authority that a State agency
or an airport sponsor has with respect to carrying out an airport
capacity enhancement project; and
(3) any obligation to comply with the provisions of the
National Environmental Policy Act of 1969 (42 U.S.C. 4371 et seq.)
and the regulations issued by the Council on Environmental Quality
to carry out such Act.
SEC. 309. RELATIONSHIP TO OTHER REQUIREMENTS.
The coordinated review process required under the amendments made
by this subtitle shall apply to an airport capacity enhancement project
at a congested airport whether or not the project is designated by the
Secretary of Transportation as a high-priority transportation
infrastructure project under Executive Order 13274 (67 Fed. Reg. 59449;
relating to environmental stewardship and transportation infrastructure
project reviews).
Subtitle B--Miscellaneous
SEC. 321. REPORT ON LONG-TERM ENVIRONMENTAL IMPROVEMENTS.
(a) In General.--The Secretary of Transportation, in consultation
with the Administrator of the National Aeronautics and Space
Administration, shall conduct a study of ways to reduce aircraft noise
and emissions and to increase aircraft fuel efficiency. The study
shall--
(1) explore new operational procedures for aircraft to achieve
those goals;
(2) identify both near-term and long-term options to achieve
those goals;
(3) identify infrastructure changes that would contribute to
attainment of those goals;
(4) identify emerging technologies that might contribute to
attainment of those goals;
(5) develop a research plan for application of such emerging
technologies, including new combustor and engine design concepts
and methodologies for designing high bypass ratio turbofan engines
so as to minimize the effects on climate change per unit of
production of thrust and flight speed; and
(6) develop an implementation plan for exploiting such emerging
technologies to attain those goals.
(b) Report.--The Secretary shall transmit a report on the study to
the Senate Committee on Commerce, Science, and Transportation and the
House of Representatives Committee on Transportation and Infrastructure
within 1 year after the date of enactment of this Act.
(c) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary $500,000 for fiscal year 2004 to carry
out this section.
SEC. 322. NOISE DISCLOSURE.
(a) Noise Disclosure System Implementation Study.--The
Administrator of the Federal Aviation Administration shall conduct a
study to determine the feasibility of developing a program under which
prospective home buyers of property located in the vicinity of an
airport could be notified of information derived from noise exposure
maps that may affect the use and enjoyment of the property. The study
shall assess the scope, administration, usefulness, and burdensomeness
of any such program, the costs and benefits of such a program, and
whether participation in such a program should be voluntary or
mandatory.
(b) Public Availability of Noise Exposure Maps.--The Administrator
shall make noise exposure and land use information from noise exposure
maps available to the public via the Internet on its website in an
appropriate format.
(c) Noise Exposure Map.--In this section, the term ``noise exposure
map'' means a noise exposure map prepared under section 47503 of title
49, United States Code.
SEC. 323. OVERFLIGHTS OF NATIONAL PARKS.
(a) In General.--Section 40128 is amended--
(1) in subsection (a)(1) by inserting ``, as defined by this
section,'' after ``lands'' the first place it appears;
(2) in subsections (b)(3)(A) and (b)(3)(B) by inserting ``over
a national park'' after ``operations'';
(3) in subsection (b)(3)(C) by inserting ``over a national park
that are also'' after ``operations'';
(4) in subsection (b)(3)(D) by striking ``at the park'' and
inserting ``over a national park'';
(5) in subsection (b)(3)(E) by inserting ``over a national
park'' after ``operations'' the first place it appears;
(6) in subsections (c)(2)(A)(i) and (c)(2)(B) by inserting
``over a national park'' after ``operations'';
(7) in subsection (f)(1) by inserting ``over a national park''
after ``operation'';
(8) in subsection (f)(4)(A)--
(A) by striking ``commercial air tour operation'' and
inserting ``commercial air tour operation over a national
park''; and
(B) by striking ``park, or over tribal lands,'' and
inserting ``park (except the Grand Canyon National Park), or
over tribal lands (except those within or abutting the Grand
Canyon National Park),'';
(9) in subsection (f)(4)(B) by inserting ``over a national
park'' after ``operation''; and
(10) in the heading for paragraph (4) of subsection (f) by
inserting ``over a national park'' after ``operation''.
(b) Quiet Technology Rulemaking for Air Tours Over Grand Canyon
National Park.--
(1) Deadline for rule.--No later than January 2005, the
Secretary of Transportation shall issue a final rule to establish
standards for quiet technology that are reasonably achievable at
Grand Canyon National Park, based on the Supplemental Notice of
Proposed Rulemaking on Noise Limitations for Aircraft Operations in
the Vicinity of Grand Canyon National Park, published in the
Federal Register on March 24, 2003.
(2) Resolution of disputes.--Subject to applicable
administrative law and procedures, if the Secretary determines that
a dispute among interested parties (including outside groups) or
government agencies cannot be resolved within a reasonable time
frame and could delay finalizing the rulemaking described in
subsection (a), or implementation of final standards under such
rule, due to controversy over adoption of quiet technology routes,
establishment of incentives to encourage adoption of such routes,
establishment of incentives to encourage adoption of quite
technology, or other measures to achieve substantial restoration of
natural quiet, the Secretary shall refer such dispute to a
recognized center for environmental conflict resolution.
SEC. 324. NOISE EXPOSURE MAPS.
Section 47503 is amended--
(1) in subsection (a) by striking ``1985,'' and inserting ``a
forecast period that is at least 5 years in the future''; and
(2) by striking subsection (b) and inserting the following:
``(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.''.
SEC. 325. IMPLEMENTATION OF CHAPTER 4 NOISE STANDARDS.
Not later than April 1, 2005, the Secretary of Transportation shall
issue final regulations to implement Chapter 4 noise standards,
consistent with the recommendations adopted by the International Civil
Aviation Organization.
SEC. 326. REDUCTION OF NOISE AND EMISSIONS FROM CIVILIAN AIRCRAFT.
(a) Establishment of Research Program.--From amounts made available
under section 48102(a) of title 49, United States Code, the Secretary
of Transportation shall establish a research program related to
reducing community exposure to civilian aircraft noise or emissions
through grants or other measures authorized under section 106(l)(6) of
such title, including reimbursable agreements with other Federal
agencies. The program shall include participation by educational and
research institutions that have existing facilities for developing and
testing noise reduction engine technology.
(b) Designation of Institute as a Center of Excellence.--The
Administrator of the Federal Aviation Administration shall designate an
institution described in subsection (a) as a Center of Excellence for
Noise and Emission Research.
SEC. 327. SPECIAL RULE FOR AIRPORT IN ILLINOIS.
(a) In General.--Nothing in this title shall be construed to
preclude the application of any provision of this Act to the State of
Illinois or any other sponsor of a new airport proposed to be
constructed in the State of Illinois.
(b) Authority of the Governor.--Nothing in this title shall be
construed to preempt the authority of the Governor of the State of
Illinois as of August 1, 2001, to approve or disapprove airport
development projects.
TITLE IV--AIRLINE SERVICE IMPROVEMENTS
Subtitle A--Small Community Air Service
SEC. 401. EXEMPTION FROM HOLD-IN REQUIREMENTS.
Section 41734 is amended by adding at the end the following:
``(i) Exemption From Hold-In Requirements.--If, after the date of
enactment of this subsection, an air carrier commences air
transportation to an eligible place that is not receiving scheduled
passenger air service as a result of the failure of the eligible place
to meet requirements contained in an appropriations Act, the air
carrier shall not be subject to the requirements of subsections (b) and
(c) with respect to such air transportation.''.
SEC. 402. ADJUSTMENTS TO ACCOUNT FOR SIGNIFICANTLY INCREASED COSTS.
(a) In General.--Section 41737 is amended by adding at the end the
following:
``(e) Adjustments to Account for Significantly Increased Costs.--
``(1) In general.--If the Secretary determines that air
carriers are experiencing significantly increased costs in
providing air service or air transportation for which compensation
is being paid under this subchapter, the Secretary may increase the
rates of compensation payable under this subchapter without regard
to any agreement or requirement relating to the renegotiation of
contracts or any notice requirement under section 41734.
``(2) Readjustment if costs subsequently decline.--If an
adjustment is made under paragraph (1), and total unit costs
subsequently decrease to at least the total unit cost reflected in
the compensation rate, then the Secretary may reverse the
adjustment previously made under paragraph (1) without regard to
any agreement or requirement relating to the renegotiation of
contracts or any notice requirement under section 41734.
``(3) Significantly increased costs defined.--In this
subsection, the term `significantly increased costs' means a total
unit cost increase (but not increases in individual unit costs) of
10 percent or more in relation to the total unit cost reflected in
the compensation rate, based on the carrier's internal audit of its
financial statements if such cost increase is incurred for a period
of at least 2 consecutive months.''.
(b) Effective Date.--The amendment made by subsection (a) shall
take effect 30 days after the date of enactment of this Act.
SEC. 403. JOINT PROPOSALS.
Section 41740 is amended by inserting ``, including joint fares,''
after ``joint proposals''.
SEC. 404. ESSENTIAL AIR SERVICE AUTHORIZATION.
Section 41742 is amended--
(1) in subsection (a)(2)--
(A) by striking ``$15,000,000'' and inserting
``$77,000,000''; and
(B) by inserting before the period at the end ``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'';
(2) by adding at the end of subsection (a) the following:
``(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.''; and
(3) by striking subsection (c).
SEC. 405. COMMUNITY AND REGIONAL CHOICE PROGRAMS.
Subchapter II of chapter 417 is amended by adding at the end the
following:
``Sec. 41745. Community and regional choice programs
``(a) Alternate Essential Air Service Pilot Program.--
``(1) Establishment.--The Secretary of Transportation shall
establish an alternate essential air service pilot program in
accordance with the requirements of this section.
``(2) Assistance to eligible places.--In carrying out the
program, the Secretary, instead of paying compensation to an air
carrier to provide essential air service to an eligible place, may
provide assistance directly to a unit of local government having
jurisdiction over the eligible place or a State within the
boundaries of which the eligible place is located.
``(3) Use of assistance.--A unit of local government or State
receiving assistance for an eligible place under the program may
use the assistance for any of the following purposes:
``(A) To provide assistance to air carriers that will use
smaller equipment to provide the service and to consider
increasing the frequency of service using such smaller
equipment if the Secretary determines that passenger safety
would not be compromised by the use of such smaller equipment
and if the State or unit of local government waives the minimum
service requirements under section 41732(b).
``(B) To provide assistance to an air carrier to provide
on-demand air taxi service to and from the eligible place.
``(C) To provide assistance to a person to provide
scheduled or on-demand surface transportation to and from the
eligible place and an airport in another place.
``(D) In combination with other units of local government
in the same region, to provide transportation services to and
from all the eligible places in that region at an airport or
other transportation center that can serve all the eligible
places in that region.
``(E) To purchase aircraft to provide transportation to and
from the eligible place or to purchase a fractional share in an
aircraft to provide such transportation after the effective
date of a rule the Secretary issues relating to fractional
ownership.
``(F) To pay for other transportation or related services
that the Secretary may permit.
``(b) Community Flexibility Pilot Program.--
``(1) In general.--The Secretary shall establish a pilot
program for not more than 10 eligible places or consortia of units
of local government.
``(2) Election.--Under the program, the sponsor of an airport
serving an eligible place may elect to forego any essential air
service for which compensation is being provided under this
subchapter for a 10-year period in exchange for a grant from the
Secretary equal in value to twice the compensation paid to provide
such service in the most recent 12-month period.
``(3) Grant.--Notwithstanding any other provision of law, the
Secretary shall make a grant to each airport sponsor participating
in the program for use on any project that--
``(A) is eligible for assistance under chapter 471 and
complies with the requirements of that chapter;
``(B) is located on the airport property; or
``(C) will improve airport facilities in a way that would
make such facilities more usable for general aviation.
``(c) Fractionally Owned Aircraft.--After the effective date of the
rule referred to in subsection (a)(3)(E), only those operating rules
that relate to an aircraft that is fractionally owned apply when an
aircraft described in subsection (a)(3)(E) is used to provide
transportation described in subsection (a)(3)(E).
``(d) Applications.--
``(1) In general.--An entity seeking to participate in a
program under this section shall submit to the Secretary an
application in such form and containing such information as the
Secretary may require.
``(2) Required information.--At a minimum, the application
shall include--
``(A) a statement of the amount of compensation or
assistance required; and
``(B) a description of how the compensation or assistance
will be used.
``(e) Participation Requirements.--An eligible place for which
compensation or assistance is provided under this section in a fiscal
year shall not be eligible in that fiscal year for the essential air
service that it would otherwise be entitled to under this subchapter.
``(f) Subsequent Participation.--A unit of local government
participating in the program under this subsection (a) in a fiscal year
shall not be prohibited from participating in the basic essential air
service program under this subchapter in a subsequent fiscal year if
such unit is otherwise eligible to participate in such program.
``(g) Funding.--Amounts appropriated or otherwise made available to
carry out the essential air service program under this subchapter shall
be available to carry out this section.''.
SEC. 406. CODE-SHARING PILOT PROGRAM.
(a) In General.--The Secretary of Transportation shall establish a
pilot program under which the Secretary may require air carriers
providing service with compensation under subchapter II of chapter 417
of title 49, United States Code, and major air carriers (as defined in
section 41716(a)(2) of such title) serving large hub airports (as
defined in section 40102 of such title) to participate in multiple
code-share arrangements consistent with normal industry practice
whenever and wherever the Secretary determines that such multiple code-
sharing arrangements would improve air transportation services.
(b) Limitation.--The Secretary may not require air carriers to
participate in the pilot program under this section for more than 10
communities receiving service under subchapter II of chapter 417 of
title 49, United States Code.
SEC. 407. TRACKING SERVICE.
Subchapter II of chapter 417 is further amended by adding at the
end the following:
``Sec. 41746. Tracking service
``The Secretary of Transportation shall require a carrier that
provides essential air service to an eligible place and that receives
compensation for such service under this subchapter to report not less
than semiannually--
``(1) the percentage of flights to and from the place that
arrive on time as defined by the Secretary; and
``(2) such other information as the Secretary considers
necessary to evaluate service provided to passengers traveling to
and from such place.''.
SEC. 408. EAS LOCAL PARTICIPATION PROGRAM.
(a) In General.--Subchapter II of chapter 417 is further amended by
adding at the end the following:
``Sec. 41747. EAS local participation program
``(a) In General.--The Secretary of Transportation shall establish
a pilot program under which not more than 10 designated essential air
service communities located in proximity to hub airports are required
to assume 10 percent of their essential air service subsidy costs for a
4-year period.
``(b) Designation of Communities.--
``(1) In general.--The Secretary may not designate any
community under this section unless it is located within 100 miles
by road of a hub airport and is not located in a noncontiguous
State. In making the designation, the Secretary may take into
consideration the total traveltime between a community and the
nearest hub airport, taking into account terrain, traffic, weather,
road conditions, and other relevant factors.
``(2) One community per state.--The Secretary may not
designate--
``(A) more than 1 community per State under this section;
or
``(B) a community in a State in which another community
that is eligible to participate in the essential air service
program has elected not to participate in the essential air
service program as part of a pilot program under section 41745.
``(c) Appeal of Designation.--A community may appeal its
designation under this section. The Secretary may withdraw the
designation of a community under this section based on--
``(1) the airport sponsor's ability to pay; or
``(2) the relative lack of financial resources in a community,
based on a comparison of the median income of the community with
other communities in the State.
``(d) Non-Federal Share.--
``(1) Non-federal amounts.--For purposes of this section, the
non-Federal portion of the essential air service subsidy may be
derived from contributions in kind, or through reduction in the
amount of the essential air service subsidy through reduction of
air carrier costs, increased ridership, prepurchase of tickets, or
other means. The Secretary shall provide assistance to designated
communities in identifying potential means of reducing the amount
of the subsidy without adversely affecting air transportation
service to the community.
``(2) Application with other matching requirements.--This
section shall apply to the Federal share of essential air service
provided this subchapter, after the application of any other non-
Federal share matching requirements imposed by law.
``(e) Eligibility for Other Programs Not Affected.--Nothing in this
section affects the eligibility of a community or consortium of
communities, an airport sponsor, or any other person to participate in
any program authorized by this subchapter. A community designated under
this section may participate in any program (including pilot programs)
authorized by this subchapter for which it is otherwise eligible--
``(1) without regard to any limitation on the number of
communities that may participate in that program; and
``(2) without reducing the number of other communities that may
participate in that program.
``(f) Secretary to Report to Congress on Impact.--The Secretary
shall transmit a report to the Committee on Commerce, Science, and
Transportation of the Senate and the Committee on Transportation and
Infrastructure of the House of Representatives on--
``(1) the economic condition of communities designated under
this section before their designation;
``(2) the impact of designation under this section on such
communities at the end of each of the 3 years following their
designation; and
``(3) the impact of designation on air traffic patterns
affecting air transportation to and from communities designated
under this section.''.
(b) Conforming Amendment.--The analysis for subchapter II of
chapter 417 is amended by adding at the end the following:
``41745. Community and regional choice programs.
``41746. Tracking service.
``41747. EAS local participation program.''.
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, 2007.
SEC. 410. INCENTIVE PROGRAM.
(a) Purposes.--The purposes of this section are--
(1) to enable essential air service communities to increase
boardings and the level of passenger usage of airport facilities at
an eligible place by providing technical, financial, and other
marketing assistance to such communities and to States;
(2) to reduce subsidy costs under subchapter II of this chapter
as a consequence of such increased usage; and
(3) to provide such communities with opportunities to obtain,
retain, and improve transportation services.
(b) Marketing Program.--Subchapter II of chapter 417 is further
amended by adding at the end the following:
``Sec. 41748. Marketing program
``(a) In General.--The Secretary of Transportation shall establish
a marketing incentive program for eligible places that receive
subsidized service by an air carrier under section 41733. Under the
program, the sponsor of the airport serving such an eligible place may
receive a grant of not more than $50,000 in a fiscal year to develop
and implement a marketing plan to increase passenger boardings and the
level of passenger usage of its airport facilities.
``(b) Matching Requirement; Success Bonuses--
``(1) In general.--Except as provided in paragraphs (2) and
(3), not less than 25 percent of the publicly financed costs
associated with a marketing plan to be developed and implemented
under this section shall come from non-Federal sources. For
purposes of this section--
``(A) the non-Federal portion of the publicly financed
costs may be derived from contributions in kind; and
``(B) matching contributions from a State or unit of local
government may not be derived, directly or indirectly, from
Federal funds, but the use by the State or unit of local
government of proceeds from the sale of bonds to provide the
matching contribution is not considered to be a contribution
derived directly or indirectly from Federal funds, without
regard to the Federal income tax treatment of interest paid on
those bonds or the Federal income tax treatment of those bonds.
``(2) Bonus for 25-percent increase in usage.--Except as
provided in paragraph (3), if, after any 12-month period during
which a marketing plan has been in effect under this section with
respect to an eligible place, the Secretary determines that the
marketing plan has increased average monthly boardings, or the
level of passenger usage, at the airport serving the eligible
place, by 25 percent or more, then only 10 percent of the publicly
financed costs associated with the marketing plan shall be required
to come from non-Federal sources under this subsection for the
following 12-month period.
``(3) Bonus for 50-percent increase in usage.--If, after any
12-month period during which a marketing plan has been in effect
under this section with respect to an eligible place, the Secretary
determines that the marketing plan has increased average monthly
boardings, or the level of passenger usage, at the airport serving
the eligible place, by 50 percent or more, then no portion of the
publicly financed costs associated with the marketing plan shall be
required to come from non-Federal sources under this subsection for
the following 12-month period.''.
(b) Conforming Amendment.--The analysis for subchapter II of
chapter 417 is further amended by adding at the end the following:
``41748. Marketing program.''.
SEC. 411. NATIONAL COMMISSION ON SMALL COMMUNITY AIR SERVICE.
(a) Establishment.--There is established a commission to be known
as the ``National Commission on Small Community Air Service'' (in this
section referred to as the ``Commission'').
(b) Membership.--
(1) Composition.--The Commission shall be composed of nine
members of whom--
(A) three members shall be appointed by the Secretary;
(B) two members shall be appointed by the majority leader
of the Senate;
(C) one member shall be appointed by the minority leader of
the Senate;
(D) two members shall be appointed by the Speaker of the
House of Representatives; and
(E) one member shall be appointed by the minority leader of
the House of Representatives.
(2) Qualifications.--Of the members appointed by the Secretary
under paragraph (1)(A)--
(A) one member shall be a representative of a regional
airline;
(B) one member shall be a representative of a small hub
airport or nonhub airport (as such terms are defined in section
40102 of title 49, United States Code); and
(C) one member shall be a representative of a State
aviation agency.
(3) Terms.--Members shall be appointed for the life of the
Commission.
(4) Vacancies.--A vacancy in the Commission shall be filled in
the manner in which the original appointment was made.
(5) Travel expenses.--Members 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.
(c) Chairperson.--The Secretary shall designate, from among the
individuals appointed under subsection (b)(1), an individual to serve
as chairperson of the Commission.
(d) Duties.--
(1) Study.--The Commission shall undertake a study of--
(A) the challenges faced by small communities in the United
States with respect to retaining and enhancing their scheduled
commercial air service; and
(B) whether the existing Federal programs charged with
helping small communities are adequate for them to retain and
enhance their existing air service.
(2) Essential air service communities.--In conducting the
study, the Commission shall pay particular attention to the state
of scheduled commercial air service in communities currently served
by the essential air service program.
(e) Recommendations.--Based on the results of the study under
subsection (d), the Commission shall make such recommendations as it
considers necessary to--
(1) improve the state of scheduled commercial air service at
small communities in the United States, especially communities
described in subsection (d)(2); and
(2) improve the ability of small communities to retain and
enhance their existing air service.
(f) Report.--Not later than 6 months after the date on which
initial appointments of members to the Commission are completed, the
Commission shall transmit to the President and Congress a report on the
activities of the Commission, including recommendations made by the
Commission under subsection (e).
(g) Commission Panels.--The chairperson of the Commission shall
establish such panels consisting of members of the Commission as the
chairperson determines appropriate to carry out the functions of the
Commission.
(h) Commission Personnel Matters.--
(1) Staff.--The Commission may appoint and fix the pay of such
personnel as it considers appropriate.
(2) Staff of federal agencies.--Upon request of the chairperson
of the Commission, the head of any department or agency of the
United States may detail, on a reimbursable basis, any of the
personnel of that department or agency to the Commission to assist
it in carrying out its duties under this section.
(3) Other staff and support.--Upon the request of the
Commission, or a panel of the Commission, the Secretary shall
provide the Commission or panel with professional and
administrative staff and other support, on a reimbursable basis, to
assist the Commission or panel in carrying out its
responsibilities.
(i) Obtaining Official Data.--The Commission may secure directly
from any department or agency of the United States information (other
than information required by any statute of the United States to be
kept confidential by such department or agency) necessary for the
Commission to carry out its duties under this section. Upon request of
the chairperson of the Commission, the head of that department or
agency shall furnish such nonconfidential information to the
Commission.
(j) Termination.--The Commission shall terminate on the 30th day
following the date of transmittal of the report under subsection (f).
(k) Applicability of the Federal Advisory Committee Act.--The
Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to the
Commission.
(l) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary $250,000 to be used to fund the
Commission.
SEC. 412. SMALL COMMUNITY AIR SERVICE.
Section 41743 is amended--
(1) in the heading of subsection (a) by striking ``Pilot'';
(2) in subsection (a) by striking ``pilot'';
(3) in subsection (c)--
(A) by striking paragraph (3) and inserting the following:
``(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.'';
(B) by adding at the end of paragraph (4) the following:
``No community, consortia of communities, nor combination
thereof may participate in the program in support of the same
project more than once, 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.''; and
(C) in paragraph (5)--
(i) by striking ``and'' at the end of subparagraph (C);
(ii) by striking the period at the end of subparagraph
(D) and inserting ``; and''; and
(iii) by adding at the end the following:
``(E) the assistance will be used in a timely fashion.'';
(4) in subsection (e)(2)--
(A) by striking ``and'' the first place it appears and
inserting a comma; and
(B) by inserting after ``2003'' the following ``, and
$35,000,000 for each of fiscal years 2004 through 2008''; and
(5) in subsection (f) by striking ``pilot''.
Subtitle B--Miscellaneous
SEC. 421. DATA ON INCIDENTS AND COMPLAINTS INVOLVING PASSENGER AND
BAGGAGE SECURITY SCREENING.
Section 329 is amended by adding at the end the following:
``(e) Incidents and Complaints Involving Passenger and Baggage
Security Screening.--
``(1) Publication of data.--The Secretary of Transportation
shall publish data on incidents and complaints involving passenger
and baggage security screening in a manner comparable to other
consumer complaint and incident data.
``(2) Monthly reports from secretary of homeland security.--To
assist in the publication of data under paragraph (1), the
Secretary of Transportation may request the Secretary of Homeland
Security to periodically report on the number of complaints about
security screening received by the Secretary of Homeland
Security.''.
SEC. 422. DELAY REDUCTION ACTIONS.
(a) In General.--Subchapter I of chapter 417 is amended by adding
at the end the following new section:
``Sec. 41722. Delay reduction actions
``(a) Scheduling Reduction Meetings.--The Secretary of
Transportation may request that air carriers meet with the
Administrator of the Federal Aviation Administration to discuss flight
reductions at severely congested airports to reduce overscheduling and
flight delays during hours of peak operation if--
``(1) the Administrator determines that it is necessary to
convene such a meeting; and
``(2) the Secretary determines that the meeting is necessary to
meet a serious transportation need or achieve an important public
benefit.
``(b) Meeting Conditions.--Any meeting under subsection (a)--
``(1) shall be chaired by the Administrator;
``(2) shall be open to all scheduled air carriers; and
``(3) shall be limited to discussions involving the airports
and time periods described in the Administrator's determination.
``(c) Flight Reduction Targets.--Before any such meeting is held,
the Administrator shall establish flight reduction targets for the
meeting and notify the attending air carriers of those targets not less
than 48 hours before the meeting.
``(d) Delay Reduction Offers.--An air carrier attending the meeting
shall make any offer to meet a flight reduction target to the
Administrator rather than to another carrier.
``(e) Transcript.--The Administrator shall ensure that a transcript
of the meeting is kept and made available to the public not later than
3 business days after the conclusion of the meeting.''.
(b) Conforming Amendment.--The analysis for chapter 417 is amended
by striking the item relating to section 41721 and inserting the
following:
``41721. Reports by carriers on incidents involving animals during air
transport.
``41722. Delay reduction actions.''.
SEC. 423. COLLABORATIVE DECISIONMAKING PILOT PROGRAM.
(a) In General.--Chapter 401 is amended by adding at the end the
following:
``Sec. 40129. Collaborative decisionmaking pilot program
``(a) Establishment.--Not later than 90 days after the date of
enactment of this section, the Administrator of the Federal Aviation
Administration shall establish a collaborative decisionmaking pilot
program in accordance with this section.
``(b) Duration.--Except as provided in subsection (k), the pilot
program shall be in effect for a period of 2 years.
``(c) Guidelines.--
``(1) Issuance.--The Administrator, with the concurrence of the
Attorney General, shall issue guidelines concerning the pilot
program. Such guidelines, at a minimum, shall--
``(A) define a capacity reduction event;
``(B) establish the criteria and process for determining
when a capacity reduction event exists that warrants the use of
collaborative decisionmaking among carriers at airports
participating in the pilot program; and
``(C) prescribe the methods of communication to be
implemented among carriers during such an event.
``(2) Views.--The Administrator may obtain the views of
interested parties in issuing the guidelines.
``(d) Effect of Determination of Existence of Capacity Reduction
Event.--Upon a determination by the Administrator that a capacity
reduction event exists, the Administrator may authorize air carriers
and foreign air carriers operating at an airport participating in the
pilot program to communicate for a period of time not to exceed 24
hours with each other concerning changes in their respective flight
schedules in order to use air traffic capacity most effectively. The
Administration shall facilitate and monitor such communication. The
Attorney General, or the Attorney General's designee, may monitor such
communication.
``(e) Selection of Participating Airports.--Not later than 30 days
after the date on which the Administrator establishes the pilot
program, the Administrator shall select 2 airports to participate in
the pilot program from among the most capacity-constrained airports in
the Nation based on the Administration's Airport Capacity Benchmark
Report 2001 or more recent data on airport capacity that is available
to the Administrator. The Administrator shall select an airport for
participation in the pilot program if the Administrator determines that
collaborative decisionmaking among air carriers and foreign air
carriers would reduce delays at the airport and have beneficial effects
on reducing delays in the national airspace system as a whole.
``(f) Eligibility of Air Carriers.--An air carrier or foreign air
carrier operating at an airport selected to participate in the pilot
program is eligible to participate in the pilot program if the
Administrator determines that the carrier has the operational and
communications capability to participate in the pilot program.
``(g) Modification or Termination of Pilot Program at an Airport.--
The Administrator, with the concurrence of the Attorney General, may
modify or end the pilot program at an airport before the term of the
pilot program has expired, or may ban an air carrier or foreign air
carrier from participating in the program, if the Administrator
determines that the purpose of the pilot program is not being furthered
by participation of the airport or air carrier or if the Secretary of
Transportation, with the concurrence of the Attorney General, finds
that the pilot program or the participation of an air carrier or
foreign air carrier in the pilot program has had, or is having, an
adverse effect on competition among carriers.
``(h) Antitrust Immunity.--
``(1) In general.--Unless, within 5 days after receiving notice
from the Secretary of the Secretary's intention to exercise
authority under this subsection, the Attorney General submits to
the Secretary a written objection to such action, including reasons
for such objection, the Secretary may exempt an air carrier's or
foreign air carrier's activities that are necessary to participate
in the pilot program under this section from the antitrust laws for
the sole purpose of participating in the pilot program. Such
exemption shall not extend to any discussions, agreements, or
activities outside the scope of the pilot program.
``(2) Antitrust laws defined.--In this section, the term
`antitrust laws' has the meaning given that term in the first
section of the Clayton Act (15 U.S.C. 12).
``(i) Consultation With Attorney General.--The Secretary shall
consult with the Attorney General regarding the design and
implementation of the pilot program, including determining whether a
limit should be set on the number of occasions collaborative
decisionmaking could be employed during the initial 2-year period of
the pilot program.
``(j) Evaluation.--
``(1) In general.--Before the expiration of the 2-year period
for which the pilot program is authorized under subsection (b), the
Administrator shall determine whether the pilot program has
facilitated more effective use of air traffic capacity and the
Secretary, with the concurrence of the Attorney General, shall
determine whether the pilot program has had an adverse effect on
airline competition or the availability of air services to
communities. The Administrator shall also examine whether capacity
benefits resulting from the participation in the pilot program of
an airport resulted in capacity benefits to other parts of the
national airspace system.
``(2) Obtaining necessary data.--The Administrator may require
participating air carriers and airports to provide data necessary
to evaluate the pilot program's impact.
``(k) Extension of Pilot Program.--At the end of the 2-year period
for which the pilot program is authorized, the Administrator, with the
concurrence of the Attorney General, may continue the pilot program for
an additional 2 years and expand participation in the program to up to
7 additional airports if the Administrator determines pursuant to
subsection (j) that the pilot program has facilitated more effective
use of air traffic capacity and if the Secretary, with the concurrence
of the Attorney General, determines that the pilot program has had no
adverse effect on airline competition or the availability of air
services to communities. The Administrator shall select the additional
airports to participate in the extended pilot program in the same
manner in which airports were initially selected to participate.''.
(b) Conforming Amendment.--The analysis for chapter 401 is amended
by adding at the end the following:
``40129. Collaborative decisionmaking pilot program.''.
SEC. 424. COMPETITION DISCLOSURE REQUIREMENT FOR LARGE AND MEDIUM HUB
AIRPORTS.
Section 47107 is amended by adding at the end the following:
``(s) 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, 2008.''.
SEC. 425. SLOT EXEMPTIONS AT RONALD REAGAN WASHINGTON NATIONAL AIRPORT.
(a) Beyond-Perimeter Exemptions.--Section 41718(a) is amended by
striking ``12'' and inserting ``24''.
(b) Within-Perimeter Exemptions.--Section 41718(b) is amended--
(1) by striking ``12'' and inserting ``20''; and
(2) by striking ``that were designated as medium hub or smaller
airports''.
(c) Limitations.--
(1) General exemptions.--Section 41718(c)(2) is amended by
striking ``two'' and inserting ``3''.
(2) Allocation of within-perimeter exemptions.--Section
41718(c)(3) is amended--
(A) in subparagraph (A)--
(i) by striking ``four'' and inserting ``without regard
to the criteria contained in subsection (b)(1), six''; and
(ii) by striking ``and'' at the end;
(B) in subparagraph (B)--
(i) by striking ``eight'' and inserting ``ten''; and
(ii) by striking the period at the end and inserting
``; and''; and
(C) by adding at the end the following:
``(C) four shall be for air transportation to airports
without regard to their size.''.
(d) Application Procedures.--Section 41718(d) is amended to read as
follows:
``(d) Application Procedures.--The Secretary shall establish
procedures to ensure that all requests for exemptions under this
section are granted or denied within 90 days after the date on which
the request is made.''.
SEC. 426. DEFINITION OF COMMUTER AIRCRAFT.
(a) In General.--Section 41718 is amended by adding at the end the
following:
``(f) Commuters Defined.--For purposes of aircraft operations at
Ronald Reagan Washington National Airport under subpart K of part 93 of
title 14, Code of Federal Regulations, the term `commuters' means
aircraft operations using aircraft having a certificated maximum
seating capacity of 76 or less.''.
(b) Regulations.--The Administrator of the Federal Aviation
Administration shall revise regulations to take into account the
amendment made by subsection (a).
SEC. 427. AIRFARES FOR MEMBERS OF THE ARMED FORCES.
(a) Findings.--Congress finds that--
(1) the Armed Forces is comprised of approximately 1,400,000
members who are stationed on active duty at more than 6,000
military bases in 146 different countries;
(2) the United States is indebted to the members of the Armed
Forces, many of whom are in grave danger due to their engagement
in, or exposure to, combat;
(3) military service, especially in the current war against
terrorism, often requires members of the Armed Forces to be
separated from their families on short notice, for long periods of
time, and under very stressful conditions;
(4) the unique demands of military service often preclude
members of the Armed Forces from purchasing discounted advance
airline tickets in order to visit their loved ones at home; and
(5) it is the patriotic duty of the people of the United States
to support the members of the Armed Forces who are defending the
Nation's interests around the world at great personal sacrifice.
(b) Sense of Congress.--It is the sense of Congress that each
United States air carrier should--
(1) establish for all members of the Armed Forces on active
duty reduced air fares that are comparable to the lowest airfare
for ticketed flights; and
(2) offer flexible terms that allow members of the Armed Forces
on active duty to purchase, modify, or cancel tickets without time
restrictions, fees, and penalties.
SEC. 428. AIR CARRIERS REQUIRED TO HONOR TICKETS FOR SUSPENDED SERVICE.
Section 145(c) of the Aviation and Transportation Security Act (49
U.S.C. 40101 note) is amended by striking ``more than'' and all that
follows through ``after'' and inserting ``more than 36 months after''.
TITLE V--AVIATION SAFETY
SEC. 501. COUNTERFEIT OR FRAUDULENTLY REPRESENTED PARTS VIOLATIONS.
Section 44726(a)(1) is amended--
(1) by striking ``or'' at the end of subparagraph (A);
(2) by redesignating subparagraph (B) as subparagraph (C);
(3) by inserting after subparagraph (A) the following:
``(B) whose certificate is revoked under subsection (b);
or''; and
(4) in subparagraph (C) (as redesignated by paragraph (2) of
this section) by striking ``convicted of such a violation.'' and
inserting ``described in subparagraph (A) or (B).''.
SEC. 502. RUNWAY SAFETY STANDARDS.
(a) In General.--Chapter 447 is amended by adding at the end the
following:
``Sec. 44727. Runway safety areas
``(a) Airports in Alaska.--An airport owner or operator in the
State of Alaska shall not be required to reduce the length of a runway
or declare the length of a runway to be less than the actual pavement
length in order to meet standards of the Federal Aviation
Administration applicable to runway safety areas.
``(b) Study.--
``(1) In general.--The Secretary shall conduct a study of
runways at airports in States other than Alaska to determine which
airports are affected by standards of the Federal Aviation
Administration applicable to runway safety areas and to assess how
operations at those airports would be affected if the owner or
operator of the airport is required to reduce the length of a
runway or declare the length of a runway to be less than the actual
pavement length in order to meet such standards.
``(2) Report.--Not later than 9 months after the date of
enactment of this section, the Secretary shall transmit to the
Committee on Commerce, Science, and Transportation of the Senate
and the Committee on Transportation and Infrastructure of the House
of Representatives a report containing the results of the study.''.
(b) Conforming Amendment.--The analysis for chapter 447 is amended
by adding at the end the following:
``44727. Runway safety areas.''.
SEC. 503. CIVIL PENALTIES.
(a) Increase in Maximum Civil Penalty.--Section 46301(a) is
amended--
(1) by striking ``$1,000'' in paragraph (1) and inserting
``$25,000 (or $1,100 if the person is an individual or small
business concern)'';
(2) by striking ``or'' the last place it appears in paragraph
(1)(A);
(3) by striking ``section)'' in paragraph (1)(A) and inserting
``section), or section 47133'';
(4) by striking paragraphs (2), (3), (6), and (7) and
redesignating paragraphs (4), (5), and (8) as paragraphs (2), (3),
and (4), respectively;
(5) by striking ``41715'' each place it appears in paragraph
(2), as redesignated, and inserting ``41719'';
(6) by striking ``paragraphs (1) and (2)'' in paragraph (4), as
redesignated, and inserting ``paragraph (1)''; and
(7) by adding at the end the following:
``(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), or chapter
449 (except sections 44902, 44903(d), 44904, and 44907-
44909) 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.''.
(b) Increase in Limit on Administrative Authority and Civil
Penalty.--Section 46301(d) is amended--
(1) by striking ``more than $50,000;'' in paragraph (4)(A) and
inserting ``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;''; and
(2) by striking ``is $50,000.'' in paragraph (8) and inserting
``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.''.
(c) Small Business Concern Defined.--Section 46301 is amended by
adding at the end the following:
``(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).''.
(d) Conforming Amendments.--Title 49 is amended--
(1) in section 41705(b) by striking ``46301(a)(3)(E)'' and
inserting ``46301''; and
(2) in section 46304(a) by striking ``, (2), or (3)''.
SEC. 504. IMPROVEMENT OF CURRICULUM STANDARDS FOR AVIATION MAINTENANCE
TECHNICIANS.
(a) In General.--The Administrator of the Federal Aviation
Administration shall ensure that the training standards for airframe
and powerplant mechanics under part 65 of title 14, Code of Federal
Regulations, are updated and revised in accordance with this section.
The Administrator may update and revise the training standards through
the initiation of a formal rulemaking or by issuing an advisory
circular or other agency guidance.
(b) Elements for Consideration.--The updated and revised standards
required under subsection (a) shall include those curriculum
adjustments that are necessary to more accurately reflect current
technology and maintenance practices.
(c) Certification.--Any adjustment or modification of current
curriculum standards made pursuant to this section shall be reflected
in the certification examinations of airframe and powerplant mechanics.
(d) Completion.--The revised and updated training standards
required by subsection (a) shall be completed not later than 12 months
after the date of enactment of this Act.
(e) Periodic Reviews and Updates.--The Administrator shall review
the content of the curriculum standards for training airframe and
powerplant mechanics referred to in subsection (a) every 3 years after
completion of the revised and updated training standards required under
subsection (a) as necessary to reflect current technology and
maintenance practices.
SEC. 505. ASSESSMENT OF WAKE TURBULENCE RESEARCH AND DEVELOPMENT
PROGRAM.
(a) Assessment.--The Administrator of the Federal Aviation
Administration shall enter into an arrangement with the National
Research Council for an assessment of the Federal Aviation
Administration's proposed wake turbulence research and development
program. The assessment shall include--
(1) an evaluation of the research and development goals and
objectives of the program;
(2) a listing of any additional research and development
objectives that should be included in the program;
(3) any modifications that will be necessary for the program to
achieve the program's goals and objectives on schedule and within
the proposed level of resources; and
(4) an evaluation of the roles, if any, that should be played
by other Federal agencies, such as the National Aeronautics and
Space Administration and the National Oceanic and Atmospheric
Administration, in wake turbulence research and development, and
how those efforts could be coordinated.
(b) Report.--A report containing the results of the assessment
shall be provided to the Committee on Science of the House of
Representatives and to the Committee on Commerce, Science, and
Transportation of the Senate not later than 1 year after the date of
enactment of this Act.
(c) Authorization of Appropriations.--There is authorized to be
appropriated to the Administrator of the Federal Aviation
Administration $500,000 for fiscal year 2004 to carry out this section.
SEC. 506. FAA INSPECTOR TRAINING.
(a) Study.--
(1) In general.--The Comptroller General shall conduct a study
of the training of the aviation safety inspectors of the Federal
Aviation Administration (in this section referred to as ``FAA
inspectors'').
(2) Contents.--The study shall include--
(A) an analysis of the type of training provided to FAA
inspectors;
(B) actions that the Federal Aviation Administration has
undertaken to ensure that FAA inspectors receive up-to-date
training on the latest technologies;
(C) the extent of FAA inspector training provided by the
aviation industry and whether such training is provided without
charge or on a quid pro quo basis; and
(D) the amount of travel that is required of FAA inspectors
in receiving training.
(3) Report.--Not later than 1 year after the date of enactment
of this Act, the Comptroller General 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 on the results of the study.
(b) Sense of the House.--It is the sense of the House of
Representatives that--
(1) FAA inspectors should be encouraged to take the most up-to-
date initial and recurrent training on the latest aviation
technologies;
(2) FAA inspector training should have a direct relation to an
individual's job requirements; and
(3) if possible, a FAA inspector should be allowed to take
training at the location most convenient for the inspector.
(c) Workload of Inspectors.--
(1) Study by national academy of sciences.--Not later than 90
days after the date of enactment of this Act, the Administrator of
the Federal Aviation Administration shall make appropriate
arrangements for the National Academy of Sciences to conduct a
study of the assumptions and methods used by the Federal Aviation
Administration to estimate staffing standards for FAA inspectors to
ensure proper oversight over the aviation industry, including the
designee program.
(2) Contents.--The study shall include the following:
(A) A suggested method of modifying FAA inspectors staffing
models for application to current local conditions or applying
some other approach to developing an objective staffing
standard.
(B) The approximate cost and length of time for developing
such models.
(3) Report.--Not later than 12 months after the initiation of
the arrangements under subsection (a), the National Academy of
Sciences shall transmit to Congress a report on the results of the
study.
SEC. 507. AIR TRANSPORTATION OVERSIGHT SYSTEM PLAN.
(a) In General.--Within 90 days after the date of enactment of this
Act, the Administrator of the Federal Aviation Administration shall
transmit to the Senate Committee on Commerce, Science, and
Transportation and the House of Representatives Committee on
Transportation and Infrastructure a plan containing an implementation
schedule for addressing problems with the air transportation oversight
system that have been identified in reports by the Comptroller General
and the Inspector General of the Department of Transportation.
(b) Plan Requirements.--The plan transmitted by the Administrator
under subsection (a) shall set forth the action the Administration will
take under the plan--
(1) to develop specific, clear, and meaningful inspection
guidance for the use by Administration aviation safety inspectors
and analysts;
(2) to provide adequate training to Administration aviation
safety inspectors in system safety concepts, risk analysis, and
auditing;
(3) to ensure that aviation safety inspectors with the
necessary qualifications and experience are physically located
where they can satisfy the most important needs;
(4) to establish strong national leadership for the air
transportation oversight system and to ensure that the system is
implemented consistently across Administration field offices; and
(5) to extend the air transportation oversight system beyond
the 10 largest air carriers, so it governs oversight of smaller air
carriers as well.
TITLE VI--AVIATION SECURITY
SEC. 601. CERTIFICATE ACTIONS IN RESPONSE TO A SECURITY THREAT.
(a) In General.--Chapter 461 is amended by adding at the end the
following:
``Sec. 46111. Certificate actions in response to a security threat
``(a) Orders.--The Administrator of Federal Aviation Administration
shall issue an order amending, modifying, suspending, or revoking any
part of a certificate issued under this title if the Administrator is
notified by the Under Secretary for Border and Transportation Security
of the Department of Homeland Security that the holder of the
certificate poses, or is suspected of posing, a risk of air piracy or
terrorism or a threat to airline or passenger safety. If requested by
the Under Secretary, the order shall be effective immediately.
``(b) Hearings for Citizens.--An individual who is a citizen of the
United States who is adversely affected by an order of the
Administrator under subsection (a) is entitled to a hearing on the
record.
``(c) Hearings.--When conducting a hearing under this section, the
administrative law judge shall not be bound by findings of fact or
interpretations of laws and regulations of the Administrator or the
Under Secretary.
``(d) Appeals.--An appeal from a decision of an administrative law
judge as the result of a hearing under subsection (b) shall be made to
the Transportation Security Oversight Board established by section 115.
The Board shall establish a panel to review the decision. The members
of this panel (1) shall not be employees of the Transportation Security
Administration, (2) shall have the level of security clearance needed
to review the determination made under this section, and (3) shall be
given access to all relevant documents that support that determination.
The panel may affirm, modify, or reverse the decision.
``(e) Review.--A person substantially affected by an action of a
panel under subsection (d), or the Under Secretary when the Under
Secretary decides that the action of the panel under this section will
have a significant adverse impact on carrying out this part, may obtain
review of the order under section 46110. The Under Secretary and the
Administrator shall be made a party to the review proceedings. Findings
of fact of the panel are conclusive if supported by substantial
evidence.
``(f) Explanation of Decisions.--An individual who commences an
appeal under this section shall receive a written explanation of the
basis for the determination or decision and all relevant documents that
support that determination to the maximum extent that the national
security interests of the United States and other applicable laws
permit.
``(g) Classified Evidence.--
``(1) In general.--The Under Secretary, in consultation with
the Administrator and the Director of Central Intelligence, shall
issue regulations to establish procedures by which the Under
Secretary, as part of a hearing conducted under this section, may
provide an unclassified summary of classified evidence upon which
the order of the Administrator was based to the individual
adversely affected by the order.
``(2) Review of classified evidence by administrative law
judge.--
``(A) Review.--As part of a hearing conducted under this
section, if the order of the Administrator issued under
subsection (a) is based on classified information (as defined
in section 1(a) of the Classified Information Procedures Act
(18 U.S.C. App.), such information may be submitted by the
Under Secretary to the reviewing administrative law judge,
pursuant to appropriate security procedures, and shall be
reviewed by the administrative law judge ex parte and in
camera.
``(B) Security clearances.--Pursuant to existing procedures
and requirements, the Under Secretary shall, in coordination,
as necessary, with the heads of other affected departments or
agencies, ensure that administrative law judges reviewing
orders of the Administrator under this section possess security
clearances appropriate for their work under this section.
``(3) Unclassified summaries of classified evidence.--As part
of a hearing conducted under this section and upon the request of
the individual adversely affected by an order of the Administrator
under subsection (a), the Under Secretary shall provide to the
individual and reviewing administrative law judge, consistent with
the procedures established under paragraph (1), an unclassified
summary of any classified information upon which the order of the
Administrator is based.''.
(b) Conforming Amendment.--The analysis for chapter 461 is amended
by adding at the end the following:
``46111. Certificate actions in response to a security threat.''.
SEC. 602. JUSTIFICATION FOR AIR DEFENSE IDENTIFICATION ZONE.
(a) In General.--If the Administrator of the Federal Aviation
Administration establishes an Air Defense Identification Zone (in this
section referred as an ``ADIZ''), the Administrator 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, not later than 60 days after the date of
establishing the ADIZ, a report containing an explanation of the need
for the ADIZ. The Administrator also shall transmit to the Committees
updates of the report every 60 days until the ADIZ is rescinded. The
reports and updates shall be transmitted in classified form.
(b) Existing ADIZ.--If an ADIZ is in effect on the date of
enactment of this Act, the Administrator shall transmit an initial
report under subsection (a) not later than 30 days after such date of
enactment.
(c) Description of Changes To Improve Operations.--A report
transmitted by the Administrator under this section shall include a
description of any changes in procedures or requirements that could
improve operational efficiency or minimize operational impacts of the
ADIZ on pilots and controllers. This portion of the report may be
transmitted in classified or unclassified form.
(d) Definition.--In this section, the terms ``Air Defense
Identification Zone'' and ``ADIZ'' each mean a zone established by the
Administrator with respect to airspace under 18,000 feet in
approximately a 15- to 38-mile radius around Washington, District of
Columbia, for which security measures are extended beyond the existing
15-mile no-fly zone around Washington and in which general aviation
aircraft are required to adhere to certain procedures issued by the
Administrator.
SEC. 603. CREW TRAINING.
Section 44918 is amended to read as follows:
``Sec. 44918. Crew training
``(a) Basic Security Training.--
``(1) In general.--Each air carrier providing scheduled
passenger air transportation shall carry out a training program for
flight and cabin crew members to prepare the crew members for
potential threat conditions.
``(2) Program elements.--An air carrier training program under
this subsection shall include, at a minimum, elements that address
each of the following:
``(A) Recognizing suspicious activities and determining the
seriousness of any occurrence.
``(B) Crew communication and coordination.
``(C) The proper commands to give passengers and attackers.
``(D) Appropriate responses to defend oneself.
``(E) Use of protective devices assigned to crew members
(to the extent such devices are required by the Administrator
of the Federal Aviation Administration or the Under Secretary
for Border and Transportation Security of the Department of
Homeland Security).
``(F) Psychology of terrorists to cope with hijacker
behavior and passenger responses.
``(G) Situational training exercises regarding various
threat conditions.
``(H) Flight deck procedures or aircraft maneuvers to
defend the aircraft and cabin crew responses to such procedures
and maneuvers.
``(I) The proper conduct of a cabin search, including
explosive device recognition.
``(J) Any other subject matter considered appropriate by
the Under Secretary.
``(3) Approval.--An air carrier training program under this
subsection shall be subject to approval by the Under Secretary.
``(4) Minimum standards.--Not later than one year after the
date of enactment of the Vision 100--Century of Aviation
Reauthorization Act, the Under Secretary may establish minimum
standards for the training provided under this subsection and for
recurrent training.
``(5) Existing programs.--Notwithstanding paragraphs (3) and
(4), any training program of an air carrier to prepare flight and
cabin crew members for potential threat conditions that was
approved by the Administrator or the Under Secretary before the
date of enactment of the Vision 100--Century of Aviation
Reauthorization Act may continue in effect until disapproved or
ordered modified by the Under Secretary.
``(6) Monitoring.--The Under Secretary, in consultation with
the Administrator, shall monitor air carrier training programs
under this subsection and periodically shall review an air
carrier's training program to ensure that the program is adequately
preparing crew members for potential threat conditions. In
determining when an air carrier's training program should be
reviewed under this paragraph, the Under Secretary shall consider
complaints from crew members. The Under Secretary shall ensure that
employees responsible for monitoring the training programs have the
necessary resources and knowledge.
``(7) Updates.--The Under Secretary, in consultation with the
Administrator, shall order air carriers to modify training programs
under this subsection to reflect new or different security threats.
``(b) Advanced Self-Defense Training.--
``(1) In general.--Not later than one year after the date of
enactment of the Vision 100--Century of Aviation Reauthorization
Act, the Under Secretary shall develop and provide a voluntary
training program for flight and cabin crew members of air carriers
providing scheduled passenger air transportation.
``(2) Program elements.--The training program under this
subsection shall include both classroom and effective hands-on
training in the following elements of self-defense:
``(A) Deterring a passenger who might present a threat.
``(B) Advanced control, striking, and restraint techniques.
``(C) Training to defend oneself against edged or contact
weapons.
``(D) Methods to subdue and restrain an attacker.
``(E) Use of available items aboard the aircraft for self-
defense.
``(F) Appropriate and effective responses to defend
oneself, including the use of force against an attacker.
``(G) Any other element of training that the Under
Secretary considers appropriate.
``(3) Participation not required.--A crew member shall not be
required to participate in the training program under this
subsection.
``(4) Compensation.--Neither the Federal Government nor an air
carrier shall be required to compensate a crew member for
participating in the training program under this subsection.
``(5) Fees.--A crew member shall not be required to pay a fee
for the training program under this subsection.
``(6) Consultation.--In developing the training program under
this subsection, the Under Secretary shall consult with law
enforcement personnel and security experts who have expertise in
self-defense training, terrorism experts, representatives of air
carriers, the director of self-defense training in the Federal Air
Marshals Service, flight attendants, labor organizations
representing flight attendants, and educational institutions
offering law enforcement training programs.
``(7) Designation of tsa official.--The Under Secretary shall
designate an official in the Transportation Security Administration
to be responsible for implementing the training program under this
subsection. The official shall consult with air carriers and labor
organizations representing crew members before implementing the
program to ensure that it is appropriate for situations that may
arise on board an aircraft during a flight.
``(c) Limitation.--Actions by crew members under this section shall
be subject to the provisions of section 44903(k).''.
SEC. 604. STUDY OF EFFECTIVENESS OF TRANSPORTATION SECURITY SYSTEM.
(a) In General.--The Secretary of Homeland Security, in
consultation with representatives of the aviation community, shall
study the effectiveness of the aviation security system, including the
air marshal program, hardening of cockpit doors, and security screening
of passengers, checked baggage, and cargo.
(b) Report.--The Secretary shall transmit a report of the
Secretary's findings and conclusions together with any recommendations,
including legislative recommendations, the Secretary may have for
improving the effectiveness of aviation security to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure within 6
months after the date of enactment of this Act. In the report the
Secretary shall also describe any redeployment of Transportation
Security Administration resources based on those findings and
conclusions. The Secretary may submit the report to the Committees in
classified and redacted form. The Secretary shall submit the report in
lieu of the annual report required under section 44938(a) of title 49,
United States Code, that is due March 31, 2004.
SEC. 605. AIRPORT SECURITY IMPROVEMENT PROJECTS.
(a) In General.--Subchapter I of chapter 449 is amended by adding
at the end the following:
``Sec. 44923. Airport security improvement projects
``(a) Grant Authority.--Subject to the requirements of this
section, the Under Secretary for Border and Transportation Security of
the Department of Homeland Security may make grants to airport
sponsors--
``(1) for projects to replace baggage conveyer systems related
to aviation security;
``(2) for projects to reconfigure terminal baggage areas as
needed to install explosive detection systems;
``(3) for projects to enable the Under Secretary to deploy
explosive detection systems behind the ticket counter, in the
baggage sorting area, or in line with the baggage handling system;
and
``(4) for other airport security capital improvement projects.
``(b) Applications.--A sponsor seeking a grant under this section
shall submit to the Under Secretary an application in such form and
containing such information as the Under Secretary prescribes.
``(c) Approval.--The Under Secretary, after consultation with the
Secretary of Transportation, may approve an application of a sponsor
for a grant under this section only if the Under Secretary determines
that the project will improve security at an airport or improve the
efficiency of the airport without lessening security.
``(d) Letters of Intent.--
``(1) Issuance.--The Under Secretary may issue a letter of
intent to a sponsor committing to obligate from future budget
authority an amount, not more than the Federal Government's share
of the project's cost, for an airport security improvement project
(including interest costs and costs of formulating the project).
``(2) Schedule.--A letter of intent under this subsection shall
establish a schedule under which the Under Secretary will reimburse
the sponsor for the Government's share of the project's costs, as
amounts become available, if the sponsor, after the Under Secretary
issues the letter, carries out the project without receiving
amounts under this section.
``(3) Notice to under secretary.--A sponsor that has been
issued a letter of intent under this subsection shall notify the
Under Secretary of the sponsor's intent to carry out a project
before the project begins.
``(4) Notice to congress.--The Under Secretary shall transmit
to the Committees on Appropriations and Transportation and
Infrastructure of the House of Representatives and the Committees
on Appropriations and Commerce, Science and Transportation of the
Senate a written notification at least 3 days before the issuance
of a letter of intent under this section.
``(5) Limitations.--A letter of intent issued under this
subsection is not an obligation of the Government under section
1501 of title 31, and the letter is not deemed to be an
administrative commitment for financing. An obligation or
administrative commitment may be made only as amounts are provided
in authorization and appropriations laws.
``(6) Statutory construction.--Nothing in this subsection shall
be construed to prohibit the obligation of amounts pursuant to a
letter of intent under this subsection in the same fiscal year as
the letter of intent is issued.
``(e) Federal Share.--
``(1) In general.--The Government's share of the cost of a
project under this section shall be 90 percent for a project at a
medium or large hub airport and 95 percent for a project at any
other airport.
``(2) Existing letters of intent.--The Under Secretary shall
revise letters of intent issued before the date of enactment of
this section to reflect the cost share established in this
subsection with respect to grants made after September 30, 2003.
``(f) Sponsor Defined.--In this section, the term `sponsor' has the
meaning given that term in section 47102.
``(g) Applicability of Certain Requirements.--The requirements that
apply to grants and letters of intent issued under chapter 471 (other
than section 47102(3)) shall apply to grants and letters of intent
issued under this section.
``(h) Aviation Security Capital Fund.--
``(1) In general.--There is established within the Department
of Homeland Security a fund to be known as the Aviation Security
Capital Fund. The first $250,000,000 derived from fees received
under section 44940(a)(1) in each of fiscal years 2004 through 2007
shall be available to be deposited in the Fund. The Under Secretary
shall impose the fee authorized by section 44940(a)(1) so as to
collect at least $250,000,000 in each of such fiscal years for
deposit into the Fund. Amounts in the Fund shall be available to
the Under Secretary to make grants under this section.
``(2) Allocations.--Of the amount made available under
paragraph (1) for a fiscal year, $125,000,000 shall be allocated in
such a manner that--
``(A) 40 percent shall be made available for large hub
airports;
``(B) 20 percent shall be made available for medium hub
airports;
``(C) 15 percent shall be made available for small hub
airports and nonhub airports; and
``(D) 25 percent shall be distributed by the Secretary to
any airport on the basis of aviation security risks.
``(3) Discretionary grants.--Of the amount made available under
paragraph (1) for a fiscal year, $125,000,000 shall be used to make
discretionary grants, with priority given to fulfilling intentions
to obligate under letters of intent issued under subsection (d).
``(i) Authorization of Appropriations.--
``(1) In general.--In addition to amounts made available under
subsection (h), there is authorized to be appropriated to carry out
this section $250,000,000 for each of fiscal years 2004 through
2007. Such sums shall remain available until expended.
``(2) Allocations.--50 percent of amounts appropriated pursuant
to this subsection for a fiscal year shall be used for making
allocations under subsection (h)(2) and 50 percent of such amounts
shall be used for making discretionary grants under subsection
(h)(3).''.
(b) Conforming Amendments.--
(1) Use of passenger fee funds.--Section 44940(a)(1) is amended
by inserting after subparagraph (G) the following:
``(H) The costs of security-related capital improvements at
airports.
``(I) The costs of training pilots and flight attendants
under sections 44918 and 44921.''.
(2) Limitation on collection.--Section 44940(d)(4) is amended
by striking ``Act.'' and inserting ``Act or in section 44923.''.
(3) Chapter analysis.--The analysis for subchapter I of chapter
449 is amended by adding at the end the following:
``44923. Airport security improvement projects.''.
SEC. 606. CHARTER SECURITY.
(a) In General.--Section 44903 is amended by adding at the end the
following:
``(l) Air Charter Program.--
``(1) In general.--The Under Secretary for Border and
Transportation Security of the Department of Homeland Security
shall implement an aviation security program for charter air
carriers (as defined in section 40102(a)) with a maximum
certificated takeoff weight of more than 12,500 pounds.
``(2) Exemption for armed forces charters.--
``(A) In general.--Paragraph (1) and the other requirements
of this chapter do not apply to passengers and property carried
by aircraft when employed to provide charter transportation to
members of the armed forces.
``(B) Security procedures.--The Secretary of Defense, in
consultation with the Secretary of Homeland Security and the
Secretary of Transportation, shall establish security
procedures relating to the operation of aircraft when employed
to provide charter transportation to members of the armed
forces to or from an airport described in section 44903(c).
``(C) Armed forces defined.--In this paragraph, the term
`armed forces' has the meaning given that term by section
101(a)(4) of title 10.''.
(b) Repeal.--Section 132 of the Aviation and Transportation
Security Act (49 U.S.C. 44944 note) is repealed.
SEC. 607. CAPPS2.
(a) In General.--The Under Secretary for Border and Transportation
Security of the Department of Homeland Security shall not implement, on
other than a test basis, the computer assisted passenger prescreening
system (commonly known as and in this section referred to as
``CAPPS2'') until the Under Secretary provides to Congress a
certification that--
(1) a procedure is established enabling airline passengers, who
are delayed or prohibited from boarding a flight because CAPPS2
determined that they might pose a security threat, to appeal such
determination and correct information contained in CAPPS2;
(2) the error rate of the Government and private data bases
that will be used to both establish identity and assign a risk
level to a passenger under CAPPS2 will not produce a large number
of false positives that will result in a significant number of
passengers being mistaken as a security threat;
(3) the Under Secretary has demonstrated the efficacy and
accuracy of all search tools in CAPPS2 and has demonstrated that
CAPPS2 can make an accurate predictive assessment of those
passengers who would constitute a security threat;
(4) the Secretary of Homeland Security has established an
internal oversight board to oversee and monitor the manner in which
CAPPS2 is being implemented;
(5) the Under Secretary has built in sufficient operational
safeguards to reduce the opportunities for abuse;
(6) substantial security measures are in place to protect
CAPPS2 from -unauthorized access by hackers or other intruders;
(7) the Under Secretary has adopted policies establishing
effective oversight of the use and operation of the system; and
(8) there are no specific privacy concerns with the
technological architecture of the system.
(b) GAO Report.--Not later than 90 days after the date on which
certification is provided under subsection (a), the Comptroller General
shall submit a report to the Committees on Appropriations of the House
of Representatives and the Senate, the Committee on Transportation and
Infrastructure of the House of Representatives, and the Committee on
Commerce, Science and Transportation of the Senate that assesses the
impact of CAPPS2 on the issues listed in subsection (a) and on privacy
and civil liberties. The report shall include any recommendations for
practices, procedures, regulations, or legislation to eliminate or
minimize adverse effect of CAPPS2 on privacy, discrimination, and other
civil liberties.
SEC. 608. REPORT ON PASSENGER PRESCREENING PROGRAM.
(a) In General.--Within 90 days after the date of enactment of this
Act, the Secretary of Homeland Security, after consultation with the
Attorney General, shall submit a report in writing to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure on the
potential impact of the Transportation Security Administration's
proposed Computer Assisted Passenger Prescreening system, commonly
known as CAPPS2, on the privacy and civil liberties of United States
citizens.
(b) Specific Issues To Be Addressed.--The report shall address the
following:
(1) Whether and for what period of time data gathered on
individual travelers will be retained, who will have access to such
data, and who will make decisions concerning access to such data.
(2) How the Transportation Security Administration will treat
the scores assigned to individual travelers to measure the
likelihood they may pose a security threat, including how long such
scores will be retained and whether and under what circumstances
they may be shared with other governmental, nongovernmental, or
commercial entities.
(3) The role airlines and outside vendors or contractors will
have in implementing and operating the system, and to what extent
will they have access, or the means to obtain access, to data,
scores, or other information generated by the system.
(4) The safeguards that will be implemented to ensure that
data, scores, or other information generated by the system will be
used only as officially intended.
(5) The procedures that will be implemented to mitigate the
effect of any errors, and what procedural recourse will be
available to passengers who believe the system has wrongly barred
them from taking flights.
(6) The oversight procedures that will be implemented to ensure
that, on an ongoing basis, privacy and civil liberties issues will
continue to be considered and addressed with high priority as the
system is installed, operated, and updated.
SEC. 609. ARMING CARGO PILOTS AGAINST TERRORISM.
(a) Sense of Congress.--It is the sense of Congress that members of
a flight deck crew of a cargo aircraft should be armed with a firearm
or taser to defend the cargo aircraft against an attack by terrorists
that could result in the use of the aircraft as a weapon of mass
destruction or for other terrorist purposes.
(b) Arming Cargo Pilots Against Terrorism.--Section 44921 is
amended--
(1) in subsection (a) by striking ``passenger'' each place that
it appears;
(2) in subsection (k)(2) by striking ``or,'' and all that
follows before the period at the end and inserting ``or any other
flight deck crew member''; and
(3) by adding at the end of subsection (k) the following:
``(3) All-cargo air transportation.--In this section, the term
`air transportation' includes all-cargo air transportation.''.
(c) Time for Implementation.--In carrying out the amendments made
by subsection (d), the Under Secretary for Border and Transportation
Security of the Department of Homeland Security shall ensure that
passenger and cargo pilots are treated equitably in receiving access to
training as Federal flight deck officers.
(d) Effect on Other Laws.--The requirements of subsection (e) shall
have no effect on the deadlines for implementation contained in section
44921 of title 49, United States Code, as in effect on the day before
the date of enactment of this Act.
SEC. 610. REMOVAL OF CAP ON TSA STAFFING LEVEL.
The matter appearing under the heading ``Aviation Security'' in the
appropriations for the Transportation Security Administration in the
Transportation and Related Agencies Appropriation Act, 2003 (Public Law
108-7; 117 Stat. 386) is amended by striking the fifth proviso.
SEC. 611. FOREIGN REPAIR STATIONS.
(a) Oversight Plan.--Within 90 days after the date of enactment of
this Act, the Administrator of the Federal Aviation Administration
shall transmit to the Senate Committee on Commerce, Science, and
Transportation and the House of Representatives Committee on
Transportation and Infrastructure a plan containing an implementation
schedule to strengthen oversight of domestic and foreign repair
stations and ensure that foreign repair stations that are certified by
the Administrator under part 145 of title 14, Code of Federal
Regulations, are subject to an equivalent level of safety, oversight,
and quality control as those located in the United States.
(b) Repair Station Security.--
(1) In general.--Subchapter I of chapter 449 is further amended
by adding at the end the following:
``Sec. 44924. Repair station security
``(a) Security Review and Audit.--To ensure the security of
maintenance and repair work conducted on air carrier aircraft and
components at foreign repair stations, the Under Secretary for Border
and Transportation Security of the Department of Homeland Security, in
consultation with the Administrator of the Federal Aviation
Administration, shall complete a security review and audit of foreign
repair stations that are certified by the Administrator under part 145
of title 14, Code of Federal Regulations, and that work on air carrier
aircraft and components. The review shall be completed not later than
18 months after the date on which the Under Secretary issues
regulations under subsection (f).
``(b) Addressing Security Concerns.--The Under Secretary shall
require a foreign repair station to address the security issues and
vulnerabilities identified in a security audit conducted under
subsection (a) within 90 days of providing notice to the repair station
of the security issues and vulnerabilities so identified and shall
notify the Administrator that a deficiency was identified in the
security audit.
``(c) Suspensions and Revocations of Certificates.--
``(1) Failure to carry out effective security measures.--If,
after the 90th day on which a notice is provided to a foreign
repair station under subsection (b), the Under Secretary determines
that the foreign repair station does not maintain and carry out
effective security measures, the Under Secretary shall notify the
Administrator of the determination. Upon receipt of the
determination, the Administrator shall suspend the certification of
the repair station until such time as the Under Secretary
determines that the repair station maintains and carries out
effective security measures and transmits the determination to the
Administrator.
``(2) Immediate security risk.--If the Under Secretary
determines that a foreign repair station poses an immediate
security risk, the Under Secretary shall notify the Administrator
of the determination. Upon receipt of the determination, the
Administrator shall revoke the certification of the repair station.
``(3) Procedures for appeals.--The Under Secretary, in
consultation with the Administrator, shall establish procedures for
appealing a revocation of a certificate under this subsection.
``(d) Failure To Meet Audit Deadline.--If the security audits
required by subsection (a) are not completed on or before the date that
is 18 months after the date on which the Under Secretary issues
regulations under subsection (f), the Administrator shall be barred
from certifying any foreign repair station until such audits are
completed for existing stations.
``(e) Priority for Audits.--In conducting the audits described in
subsection (a), the Under Secretary and the Administrator shall give
priority to foreign repair stations located in countries identified by
the Government as posing the most significant security risks.
``(f) Regulations.--Not later than 240 days after the date of
enactment of this section, the Under Secretary, in consultation with
the Administrator, shall issue final regulations to ensure the security
of foreign and domestic aircraft repair stations.
``(g) Report to Congress.--If the Under Secretary does not issue
final regulations before the deadline specified in subsection (f), the
Under 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
an explanation as to why the deadline was not met and a schedule for
issuing the final regulations.''.
(2) Conforming amendment.--The analysis for subchapter I of
chapter 449 is further amended by adding at the end the following:
``44924. Repair station security.''.
SEC. 612. FLIGHT TRAINING.
(a) In General.--Section 44939 is amended to read as follows:
``Sec. 44939. Training to operate certain aircraft
``(a) Waiting Period.--A person operating as a flight instructor,
pilot school, or aviation training center or subject to regulation
under this part may provide training in the operation of any aircraft
having a maximum certificated takeoff weight of more than 12,500 pounds
to an alien (as defined in section 101(a)(3) of the Immigration and
Nationality Act (8 U.S.C. 1101(a)(3))) or to any other individual
specified by the Secretary of Homeland Security only if--
``(1) that person has first notified the Secretary that the
alien or individual has requested such training and submitted to
the Secretary, in such form as the Secretary may prescribe, the
following information about the alien or individual:
``(A) full name, including any aliases used by the
applicant or variations in spelling of the applicant's name;
``(B) passport and visa information;
``(C) country of citizenship;
``(D) date of birth;
``(E) dates of training; and
``(F) fingerprints collected by, or under the supervision
of, a Federal, State, or local law enforcement agency or by
another entity approved by the Federal Bureau of Investigation
or the Secretary of Homeland Security, including fingerprints
taken by United States Government personnel at a United States
embassy or consulate; and
``(2) the Secretary has not directed, within 30 days after
being notified under paragraph (1), that person not to provide the
requested training because the Secretary has determined that the
individual presents a risk to aviation or national security.
``(b) Interruption of Training.--If the Secretary of Homeland
Security, more than 30 days after receiving notification under
subsection (a) from a person providing training described in subsection
(a), determines that the individual presents a risk to aviation or
national security, the Secretary shall immediately notify the person
providing the training of the determination and that person shall
immediately terminate the training.
``(c) Notification.--A person operating as a flight instructor,
pilot school, or aviation training center or subject to regulation
under this part may provide training in the operation of any aircraft
having a maximum certificated takeoff weight of 12,500 pounds or less
to an alien (as defined in section 101(a)(3) of the Immigration and
Nationality Act (8 U.S.C. 1101(a)(3))) or to any other individual
specified by the Secretary of Homeland Security only if that person has
notified the Secretary that the individual has requested such training
and furnished the Secretary with that individual's identification in
such form as the Secretary may require.
``(d) Expedited Processing.--Not later than 60 days after the date
of enactment of this section, the Secretary shall establish a process
to ensure that the waiting period under subsection (a) shall not exceed
5 days for an alien (as defined in section 101(a)(3) of the Immigration
and Nationality Act (8 U.S.C. 1101(a)(3))) who--
``(1) holds an airman's certification of a foreign country that
is recognized by an agency of the United States, including a
military agency, that permits an individual to operate a multi-
engine aircraft that has a certificated takeoff weight of more than
12,500 pounds;
``(2) is employed by a foreign air carrier that is certified
under part 129 of title 14, Code of Federal Regulations, and that
has a security program approved under section 1546 of title 49,
Code of Federal Regulations;
``(3) is an individual that has unescorted access to a secured
area of an airport designated under section 44936(a)(1)(A)(ii); or
``(4) is an individual that is part of a class of individuals
that the Secretary has determined that providing aviation training
to presents minimal risk to aviation or national security because
of the aviation training already possessed by such class of
individuals.
``(e) Training.--In subsection (a), the term `training' means
training received from an instructor in an aircraft or aircraft
simulator and does not include recurrent training, ground training, or
demonstration flights for marketing purposes.
``(f) Nonapplicability to Certain Foreign Military Pilots.--The
procedures and processes required by subsections (a) through (d) shall
not apply to a foreign military pilot endorsed by the Department of
Defense for flight training in the United States and seeking training
described in subsection (e) in the United States.
``(g) Fee.--
``(1) In general.--The Secretary of Homeland Security may
assess a fee for an investigation under this section, which may not
exceed $100 per individual (exclusive of the cost of transmitting
fingerprints collected at overseas facilities) during fiscal years
2003 and 2004. For fiscal year 2005 and thereafter, the Secretary
may adjust the maximum amount of the fee to reflect the costs of
such an investigation.
``(2) Offset.--Notwithstanding section 3302 of title 31, any
fee collected under this section--
``(A) shall be credited to the account in the Treasury from
which the expenses were incurred and shall be available to the
Secretary for those expenses; and
``(B) shall remain available until expended.
``(h) Interagency Cooperation.--The Attorney General, the Director
of Central Intelligence, and the Administrator of the Federal Aviation
Administration shall cooperate with the Secretary in implementing this
section.
``(i) Security Awareness Training for Employees.--The Secretary
shall require flight schools to conduct a security awareness program
for flight school employees to increase their awareness of suspicious
circumstances and activities of individuals enrolling in or attending
flight school.''.
(b) Procedures.--
(1) In general.--Not later than 60 days after the date of
enactment of this Act, the Secretary of Homeland Security shall
promulgate an interim final rule to implement section 44939 of
title 49, United States Code, as amended by subsection (a).
(2) Use of overseas facilities.--In order to implement section
44939 of title 49, United States Code, as amended by subsection
(a), United States Embassies and Consulates that possess
appropriate fingerprint collection equipment and personnel
certified to capture fingerprints shall provide fingerprint
services to aliens covered by that section if the Secretary
requires fingerprints in the administration of that section, and
shall transmit the fingerprints to the Secretary or other agency
designated by the Secretary. The Attorney General and the Secretary
of State shall cooperate with the Secretary of Homeland Security in
carrying out this paragraph.
(3) Use of united states facilities.--If the Secretary of
Homeland Security requires fingerprinting in the administration of
section 44939 of title 49, United States Code, the Secretary may
designate locations within the United States that will provide
fingerprinting services to individuals covered by that section.
(c) Effective Date.--The amendment made by subsection (a) takes
effect on the effective date of the interim final rule required by
subsection (b)(1).
(d) Report.--Not later than 1 year after the date of enactment of
this Act, the Secretary of Homeland Security shall submit to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure a report
on the effectiveness of the activities carried out under section 44939
of title 49, United States Code, in reducing risks to aviation security
and national security.
SEC. 613. DEPLOYMENT OF SCREENERS AT KENAI, HOMER, AND VALDEZ, ALASKA.
Not later than 45 days after the date of enactment of this Act, the
Administrator of the Transportation Security Administration shall
deploy Federal screeners at Kenai, Homer, and Valdez, Alaska.
TITLE VII--AVIATION RESEARCH
SEC. 701. AUTHORIZATION OF APPROPRIATIONS.
Section 48102(a) is amended--
(1) by striking ``to carry out sections 44504'' and inserting
``for conducting civil aviation research and development under
sections 44504'';
(2) by striking ``and'' at the end of paragraph (7);
(3) by striking the period at the end of paragraph (8) and
inserting a semicolon; and
(4) by adding at the end the following new paragraphs:
``(9) for fiscal year 2004, $346,317,000, including--
``(A) $65,000,000 for Improving Aviation Safety;
``(B) $24,000,000 for Weather Safety Research;
``(C) $27,500,000 for Human Factors and Aeromedical
Research;
``(D) $30,000,000 for Environmental Research and
Development, of which $20,000,000 shall be for research
activities related to reducing community exposure to civilian
aircraft noise or emissions;
``(E) $7,000,000 for Research Mission Support;
``(F) $10,000,000 for the Airport Cooperative Research
Program;
``(G) $1,500,000 for carrying out subsection (h) of this
section;
``(H) $42,800,000 for Advanced Technology Development and
Prototyping;
``(I) $30,300,000 for Safe Flight 21;
``(J) $90,800,000 for the Center for Advanced Aviation
System Development;
``(K) $9,667,000 for Airports Technology-Safety; and
``(L) $7,750,000 for Airports Technology-Efficiency;
``(10) for fiscal year 2005, $356,192,000, including--
``(A) $65,705,000 for Improving Aviation Safety;
``(B) $24,260,000 for Weather Safety Research;
``(C) $27,800,000 for Human Factors and Aeromedical
Research;
``(D) $30,109,000 for Environmental Research and
Development, of which $20,000,000 shall be for research
activities related to reducing community exposure to civilian
aircraft noise or emissions;
``(E) $7,076,000 for Research Mission Support;
``(F) $10,000,000 for the Airport Cooperative Research
Program;
``(G) $1,650,000 for carrying out subsection (h) of this
section;
``(H) $43,300,000 for Advanced Technology Development and
Prototyping;
``(I) $31,100,000 for Safe Flight 21;
``(J) $95,400,000 for the Center for Advanced Aviation
System Development;
``(K) $2,200,000 for Free Flight Phase 2;
``(L) $9,764,000 for Airports Technology-Safety; and
``(M) $7,828,000 for Airports Technology-Efficiency;
``(11) for fiscal year 2006, $352,157,000, including--
``(A) $66,447,000 for Improving Aviation Safety;
``(B) $24,534,000 for Weather Safety Research;
``(C) $28,114,000 for Human Factors and Aeromedical
Research;
``(D) $30,223,000 for Environmental Research and
Development, of which $20,000,000 shall be for research
activities related to reducing community exposure to civilian
aircraft noise or emissions;
``(E) $7,156,000 for Research Mission Support;
``(F) $10,000,000 for the Airport Cooperation Research
Program;
``(G) $1,815,000 for carrying out subsection (h) of this
section;
``(H) $42,200,000 for Advanced Technology Development and
Prototyping;
``(I) $23,900,000 for Safe Flight 21;
``(J) $100,000,000 for the Center for Advanced Aviation
System Development;
``(K) $9,862,000 for Airports Technology-Safety; and
``(L) $7,906,000 for Airports Technology-Efficiency; and
``(12) for fiscal year 2007, $356,261,000, including--
``(A) $67,244,000 for Improving Aviation Safety;
``(B) $24,828,000 for Weather Safety Research;
``(C) $28,451,000 for Human Factors and Aeromedical
Research;
``(D) $30,586,000 for Environmental Research and
Development, of which $20,000,000 shall be for research
activities related to reducing community exposure to civilian
aircraft noise or emissions;
``(E) $7,242,000 for Research Mission Support;
``(F) $10,000,000 for the Airport Cooperation Research
Program;
``(G) $1,837,000 for carrying out subsection (h) of this
section;
``(H) $42,706,000 for Advanced Technology Development and
Prototyping;
``(I) $24,187,000 for Safe Flight 21;
``(J) $101,200,000 for the Center for Advanced Aviation
System Development;
``(K) $9,980,000 for Airports Technology-Safety; and
``(L) $8,000,000 for Airports Technology-Efficiency.''.
SEC. 702. FEDERAL AVIATION ADMINISTRATION SCIENCE AND TECHNOLOGY
SCHOLARSHIP PROGRAM.
(a)(1) The Administrator of the Federal Aviation Administration
shall establish a Federal Aviation Administration Science and
Technology Scholarship Program to award scholarships to individuals
that is designed to recruit and prepare students for careers in the
Federal Aviation Administration.
(2) Individuals shall be selected to receive scholarships under
this section through a competitive process primarily on the basis of
academic merit, with consideration given to financial need and the goal
of promoting the participation of individuals identified in section 33
or 34 of the Science and Engineering Equal Opportunities Act.
(3) To carry out the Program the Administrator shall enter into
contractual agreements with individuals selected under paragraph (2)
under which the individuals agree to serve as full-time employees of
the Federal Aviation Administration, for the period described in
subsection (f)(1), in positions needed by the Federal Aviation
Administration and for which the individuals are qualified, in exchange
for receiving a scholarship.
(b) In order to be eligible to participate in the Program, an
individual must--
(1) be enrolled or accepted for enrollment as a full-time
student at an institution of higher education, as a junior or
senior undergraduate or graduate student, in an academic field or
discipline described in the list made available under subsection
(d);
(2) be a United States citizen or permanent resident; and
(3) at the time of the initial scholarship award, not be an
employee (as defined in section 2105 of title 5, United States
Code).
(c) An individual seeking a scholarship under this section shall
submit an application to the Administrator at such time, in such
manner, and containing such information, agreements, or assurances as
the Administrator may require.
(d) The Administrator shall make publicly available a list of
academic programs and fields of study for which scholarships under the
Program may be utilized and shall update the list as necessary.
(e)(1) The Administrator may provide a scholarship under the
Program for an academic year if the individual applying for the
scholarship has submitted to the Administrator, as part of the
application required under subsection (c), a proposed academic program
leading to a degree in a program or field of study on the list made
available under subsection (d).
(2) An individual may not receive a scholarship under this section
for more than 4 academic years, unless the Administrator grants a
waiver.
(3) The dollar amount of a scholarship under this section for an
academic year shall be determined under regulations issued by the
Administrator, but shall in no case exceed the cost of attendance.
(4) A scholarship provided under this section may be expended for
tuition, fees, and other authorized expenses as established by the
Administrator by regulation.
(5) The Administrator may enter into a contractual agreement with
an institution of higher education under which the amounts provided for
a scholarship under this section for tuition, fees, and other
authorized expenses are paid directly to the institution with respect
to which the scholarship is provided.
(f)(1) The period of service for which an individual shall be
obligated to serve as an employee of the Federal Aviation
Administration is, except as provided in subsection (h)(2), 24 months
for each academic year for which a scholarship under this section is
provided.
(2)(A) Except as provided in subparagraph (B), obligated service
under paragraph (1) shall begin not later than 60 days after the
individual obtains the educational degree for which the scholarship was
provided.
(B) The Administrator may defer the obligation of an individual to
provide a period of service under paragraph (1) if the Administrator
determines that such a deferral is appropriate. The Administrator shall
prescribe the terms and conditions under which a service obligation may
be deferred through regulation.
(g)(1) Scholarship recipients who fail to maintain a high level of
academic standing, as defined by the Administrator by regulation, who
are dismissed from their educational institutions for disciplinary
reasons, or who voluntarily terminate academic training before
graduation from the educational program for which the scholarship was
awarded, shall be in breach of their contractual agreement and, in lieu
of any service obligation arising under such agreement, shall be liable
to the United States for repayment within 1 year after the date of
default of all scholarship funds paid to them and to the institution of
higher education on their behalf under the agreement, except as
provided in subsection (h)(2). The repayment period may be extended by
the Administrator when determined to be necessary, as established by
regulation.
(2) Scholarship recipients who, for any reason, fail to begin or
complete their service obligation after completion of academic
training, or fail to comply with the terms and conditions of deferment
established by the Administrator pursuant to subsection (f)(2)(B),
shall be in breach of their contractual agreement. When recipients
breach their agreements for the reasons stated in the preceding
sentence, the recipient shall be liable to the United States for an
amount equal to--
(A) the total amount of scholarships received by such
individual under this section; plus
(B) the interest on the amounts of such awards which would be
payable if at the time the awards were received they were loans
bearing interest at the maximum legal prevailing rate, as
determined by the Treasurer of the United States,
multiplied by 3.
(h)(1) Any obligation of an individual incurred under the Program
(or a contractual agreement thereunder) for service or payment shall be
canceled upon the death of the individual.
(2) The Administrator shall by regulation provide for the partial
or total waiver or suspension of any obligation of service or payment
incurred by an individual under the Program (or a contractual agreement
thereunder) whenever compliance by the individual is impossible or
would involve extreme hardship to the individual, or if enforcement of
such obligation with respect to the individual would be contrary to the
best interests of the Government.
(i) For purposes of this section--
(1) the term ``cost of attendance'' has the meaning given that
term in section 472 of the Higher Education Act of 1965;
(2) the term ``institution of higher education'' has the
meaning given that term in section 101(a) of the Higher Education
Act of 1965; and
(3) the term ``Program'' means the Federal Aviation
Administration Science and Technology Scholarship Program
established under this section.
(j)(1) There is authorized to be appropriated to the Federal
Aviation Administration for the Program $10,000,000 for each fiscal
year.
(2) Amounts appropriated under this section shall remain available
for 2 fiscal years.
(k) The Administrator may provide temporary internships to full-
time students enrolled in an undergraduate or post-graduate program
leading to an advanced degree in an aerospace-related or aviation
safety-related field of endeavor.
SEC. 703. NATIONAL AERONAUTICS AND SPACE ADMINISTRATION SCIENCE AND
TECHNOLOGY SCHOLARSHIP PROGRAM.
(a)(1) The Administrator of the National Aeronautics and Space
Administration shall establish a National Aeronautics and Space
Administration Science and Technology Scholarship Program to award
scholarships to individuals that is designed to recruit and prepare
students for careers in the National Aeronautics and Space
Administration.
(2) Individuals shall be selected to receive scholarships under
this section through a competitive process primarily on the basis of
academic merit, with consideration given to financial need and the goal
of promoting the participation of individuals identified in section 33
or 34 of the Science and Engineering Equal Opportunities Act.
(3) To carry out the Program the Administrator shall enter into
contractual agreements with individuals selected under paragraph (2)
under which the individuals agree to serve as full-time employees of
the National Aeronautics and Space Administration, for the period
described in subsection (f)(1), in positions needed by the National
Aeronautics and Space Administration and for which the individuals are
qualified, in exchange for receiving a scholarship.
(b) In order to be eligible to participate in the Program, an
individual must--
(1) be enrolled or accepted for enrollment as a full-time
student at an institution of higher education, as a junior or
senior undergraduate or graduate student, in an academic field or
discipline described in the list made available under subsection
(d);
(2) be a United States citizen or permanent resident; and
(3) at the time of the initial scholarship award, not be an
employee (as defined in section 2105 of title 5, United States
Code).
(c) An individual seeking a scholarship under this section shall
submit an application to the Administrator at such time, in such
manner, and containing such information, agreements, or assurances as
the Administrator may require.
(d) The Administrator shall make publicly available a list of
academic programs and fields of study for which scholarships under the
Program may be utilized and shall update the list as necessary.
(e)(1) The Administrator may provide a scholarship under the
Program for an academic year if the individual applying for the
scholarship has submitted to the Administrator, as part of the
application required under subsection (c), a proposed academic program
leading to a degree in a program or field of study on the list made
available under subsection (d).
(2) An individual may not receive a scholarship under this section
for more than 4 academic years, unless the Administrator grants a
waiver.
(3) The dollar amount of a scholarship under this section for an
academic year shall be determined under regulations issued by the
Administrator, but shall in no case exceed the cost of attendance.
(4) A scholarship provided under this section may be expended for
tuition, fees, and other authorized expenses as established by the
Administrator by regulation.
(5) The Administrator may enter into a contractual agreement with
an institution of higher education under which the amounts provided for
a scholarship under this section for tuition, fees, and other
authorized expenses are paid directly to the institution with respect
to which the scholarship is provided.
(f)(1) The period of service for which an individual shall be
obligated to serve as an employee of the National Aeronautics and Space
Administration is, except as provided in subsection (h)(2), 24 months
for each academic year for which a scholarship under this section is
provided.
(2)(A) Except as provided in subparagraph (B), obligated service
under paragraph (1) shall begin not later than 60 days after the
individual obtains the educational degree for which the scholarship was
provided.
(B) The Administrator may defer the obligation of an individual to
provide a period of service under paragraph (1) if the Administrator
determines that such a deferral is appropriate. The Administrator shall
prescribe the terms and conditions under which a service obligation may
be deferred through regulation.
(g)(1) Scholarship recipients who fail to maintain a high level of
academic standing, as defined by the Administrator by regulation, who
are dismissed from their educational institutions for disciplinary
reasons, or who voluntarily terminate academic training before
graduation from the educational program for which the scholarship was
awarded, shall be in breach of their contractual agreement and, in lieu
of any service obligation arising under such agreement, shall be liable
to the United States for repayment within 1 year after the date of
default of all scholarship funds paid to them and to the institution of
higher education on their behalf under the agreement, except as
provided in subsection (h)(2). The repayment period may be extended by
the Administrator when determined to be necessary, as established by
regulation.
(2) Scholarship recipients who, for any reason, fail to begin or
complete their service obligation after completion of academic
training, or fail to comply with the terms and conditions of deferment
established by the Administrator pursuant to subsection (f)(2)(B),
shall be in breach of their contractual agreement. When recipients
breach their agreements for the reasons stated in the preceding
sentence, the recipient shall be liable to the United States for an
amount equal to--
(A) the total amount of scholarships received by such
individual under this section; plus
(B) the interest on the amounts of such awards which would be
payable if at the time the awards were received they were loans
bearing interest at the maximum legal prevailing rate, as
determined by the Treasurer of the United States,
multiplied by 3.
(h)(1) Any obligation of an individual incurred under the Program
(or a contractual agreement thereunder) for service or payment shall be
canceled upon the death of the individual.
(2) The Administrator shall by regulation provide for the partial
or total waiver or suspension of any obligation of service or payment
incurred by an individual under the Program (or a contractual agreement
thereunder) whenever compliance by the individual is impossible or
would involve extreme hardship to the individual, or if enforcement of
such obligation with respect to the individual would be contrary to the
best interests of the Government.
(i) For purposes of this section--
(1) the term ``cost of attendance'' has the meaning given that
term in section 472 of the Higher Education Act of 1965;
(2) the term ``institution of higher education'' has the
meaning given that term in section 101(a) of the Higher Education
Act of 1965; and
(3) the term ``Program'' means the National Aeronautics and
Space Administration Science and Technology Scholarship Program
established under this section.
(j)(1) There is authorized to be appropriated to the National
Aeronautics and Space Administration for the Program $10,000,000 for
each fiscal year.
(2) Amounts appropriated under this section shall remain available
for 2 fiscal years.
(k) The Administrator may provide temporary internships to full-
time students enrolled in an undergraduate or post-graduate program
leading to an advanced degree in an aerospace-related or aviation
safety-related field of endeavor.
SEC. 704. RESEARCH PROGRAM TO IMPROVE AIRFIELD PAVEMENTS.
(a) Continuation of Program.--The Administrator of the Federal
Aviation Administration shall continue the program to consider awards
to nonprofit concrete and asphalt pavement research foundations to
improve the design, construction, rehabilitation, and repair of
airfield pavements to aid in the development of safer, more cost
effective, and more durable airfield pavements.
(b) Use of Grants or Cooperative Agreements.--The Administrator may
use grants or cooperative agreements in carrying out this section.
(c) Statutory Construction.--Nothing in this section requires the
Administrator to prioritize an airfield pavement research program above
safety, security, Flight 21, environment, or energy research programs.
SEC. 705. ENSURING APPROPRIATE STANDARDS FOR AIRFIELD PAVEMENTS.
(a) In General.--The Administrator of the Federal Aviation
Administration shall review and determine whether the Federal Aviation
Administration's standards used to determine the appropriate thickness
for asphalt and concrete airfield pavements are in accordance with the
Federal Aviation Administration's standard 20-year-life requirement
using the most up-to-date available information on the life of airfield
pavements. If the Administrator determines that such standards are not
in accordance with that requirement, the Administrator shall make
appropriate adjustments to the Federal Aviation Administration's
standards for airfield pavements.
(b) Report.--Within 1 year after the date of enactment of this Act,
the Administrator shall report the results of the review conducted
under subsection (a) and the adjustments, if any, made on the basis of
that review to the Senate Committee on Commerce, Science, and
Transportation and the House of Representatives Committee on
Transportation and Infrastructure and Committee on Science.
SEC. 706. DEVELOPMENT OF ANALYTICAL TOOLS AND CERTIFICATION METHODS.
The Federal Aviation Administration shall conduct research to
promote the development of analytical tools to improve existing
certification methods and to reduce the overall costs for the
certification of new products.
SEC. 707. RESEARCH ON AVIATION TRAINING.
Section 48102(h)(1) of title 49, United States Code, is amended--
(1) by striking ``or'' at the end of subparagraph (B);
(2) by striking the period at the end of subparagraph (C) and
inserting ``; or''; and
(3) by adding at the end the following new subparagraph:
``(D) research on the impact of new technologies and
procedures, particularly those related to aircraft flight deck
and air traffic management functions, on training requirements
for pilots and air traffic controllers.''.
SEC. 708. FAA CENTER FOR EXCELLENCE FOR APPLIED RESEARCH AND TRAINING
IN THE USE OF ADVANCED MATERIALS IN TRANSPORT AIRCRAFT.
(a) In General.--The Administrator of the Federal Aviation
Administration shall develop a Center for Excellence focused on applied
research and training on the durability and maintainability of advanced
materials in transport airframe structures. The Center shall--
(1) promote and facilitate collaboration among academia, the
Federal Aviation Administration's Transportation Division, and the
commercial aircraft industry, including manufacturers, commercial
air carriers, and suppliers; and
(2) establish goals set to advance technology, improve
engineering practices, and facilitate continuing education in
relevant areas of study.
(b) Authorization of Appropriations.--There is authorized to be
appropriated to the Administrator $500,000 for fiscal year 2004 to
carry out this section.
SEC. 709. AIR TRANSPORTATION SYSTEM JOINT PLANNING AND DEVELOPMENT
OFFICE.
(a) Establishment.--(1) The Secretary of Transportation shall
establish in the Federal Aviation Administration a joint planning and
development office to manage work related to the Next Generation Air
Transportation System. The office shall be known as the Next Generation
Air Transportation System Joint Planning and Development Office (in
this section referred to as the ``Office'').
(2) The responsibilities of the Office shall include--
(A) creating and carrying out an integrated plan for a Next
Generation Air Transportation System pursuant to subsection (b);
(B) overseeing research and development on that system;
(C) creating a transition plan for the implementation of that
system;
(D) coordinating aviation and aeronautics research programs to
achieve the goal of more effective and directed programs that will
result in applicable research;
(E) coordinating goals and priorities and coordinating research
activities within the Federal Government with United States
aviation and aeronautical firms;
(F) coordinating the development and utilization of new
technologies to ensure that when available, they may be used to
their fullest potential in aircraft and in the air traffic control
system;
(G) facilitating the transfer of technology from research
programs such as the National Aeronautics and Space Administration
program and the Department of Defense Advanced Research Projects
Agency program to Federal agencies with operational
responsibilities and to the private sector; and
(H) reviewing activities relating to noise, emissions, fuel
consumption, and safety conducted by Federal agencies, including
the Federal Aviation Administration, the National Aeronautics and
Space Administration, the Department of Commerce, and the
Department of Defense.
(3) The Office shall operate in conjunction with relevant programs
in the Department of Defense, the National Aeronautics and Space
Administration, the Department of Commerce and the Department of
Homeland Security. The Secretary of Transportation may request
assistance from staff from those Departments and other Federal
agencies.
(4) In developing and carrying out its plans, the Office shall
consult with the public and ensure the participation of experts from
the private sector including representatives of commercial aviation,
general aviation, aviation labor groups, aviation research and
development entities, aircraft and air traffic control suppliers, and
the space industry.
(b) Integrated Plan.--The integrated plan shall be designed to
ensure that the Next Generation Air Transportation System meets air
transportation safety, security, mobility, efficiency, and capacity
needs beyond those currently included in the Federal Aviation
Administration's operational evolution plan and accomplishes the goals
under subsection (c). The integrated plan shall include--
(1) a national vision statement for an air transportation
system capable of meeting potential air traffic demand by 2025;
(2) a description of the demand and the performance
characteristics that will be required of the Nation's future air
transportation system, and an explanation of how those
characteristics were derived, including the national goals,
objectives, and policies the system is designed to further, and the
underlying socioeconomic determinants, and associated models and
analyses;
(3) a multiagency research and development roadmap for creating
the Next Generation Air Transportation System with the
characteristics outlined under clause (ii), including--
(A) the most significant technical obstacles and the
research and development activities necessary to overcome them,
including for each project, the role of each Federal agency,
corporations, and universities;
(B) the annual anticipated cost of carrying out the
research and development activities; and
(C) the technical milestones that will be used to evaluate
the activities; and
(4) a description of the operational concepts to meet the
system performance requirements for all system users and a timeline
and anticipated expenditures needed to develop and deploy the
system to meet the vision for 2025.
(c) Goals.--The Next Generation Air Transportation System shall--
(1) improve the level of safety, security, efficiency, quality,
and affordability of the National Airspace System and aviation
services;
(2) take advantage of data from emerging ground-based and
space-based communications, navigation, and surveillance
technologies;
(3) integrate data streams from multiple agencies and sources
to enable situational awareness and seamless global operations for
all appropriate users of the system, including users responsible
for civil aviation, homeland security, and national security;
(4) leverage investments in civil aviation, homeland security,
and national security and build upon current air traffic management
and infrastructure initiatives to meet system performance
requirements for all system users;
(5) be scalable to accommodate and encourage substantial growth
in domestic and international transportation and anticipate and
accommodate continuing technology upgrades and advances;
(6) accommodate a wide range of aircraft operations, including
airlines, air taxis, helicopters, general aviation, and unmanned
aerial vehicles; and
(7) take into consideration, to the greatest extent
practicable, design of airport approach and departure flight paths
to reduce exposure of noise and emissions pollution on affected
residents.
(d) Reports.--The Administrator of the Federal Aviation
Administration shall transmit to the Committee on Commerce, Science,
and Transportation in the Senate and the Committee on Transportation
and Infrastructure and the Committee on Science in the House of
Representatives--
(1) not later than 1 year after the date of enactment of this
Act, the integrated plan required in subsection (b); and
(2) annually at the time of the President's budget request, a
report describing the progress in carrying out the plan required
under subsection (b) and any changes to that plan.
(e) Authorization of Appropriations.--There are authorized to be
appropriated to the Office $50,000,000 for each of the fiscal years
2004 through 2010.
SEC. 710. NEXT GENERATION AIR TRANSPORTATION SENIOR POLICY COMMITTEE.
(a) In General.--The Secretary of Transportation shall establish a
senior policy committee to work with the Next Generation Air
Transportation System Joint Planning and Development Office. The senior
policy committee shall be chaired by the Secretary.
(b) Membership.--In addition to the Secretary, the senior policy
committee shall be composed of--
(1) the Administrator of the Federal Aviation Administration
(or the Administrator's designee);
(2) the Administrator of the National Aeronautics and Space
Administration (or the Administrator's designee);
(3) the Secretary of Defense (or the Secretary's designee);
(4) the Secretary of Homeland Security (or the Secretary's
designee);
(5) the Secretary of Commerce (or the Secretary's designee);
(6) the Director of the Office of Science and Technology Policy
(or the Director's designee); and
(7) designees from other Federal agencies determined by the
Secretary of Transportation to have an important interest in, or
responsibility for, other aspects of the system.
(c) Function.--The senior policy committee shall--
(1) advise the Secretary of Transportation regarding the
national goals and strategic objectives for the transformation of
the Nation's air transportation system to meet its future needs;
(2) provide policy guidance for the integrated plan for the air
transportation system to be developed by the Next Generation Air
Transportation System Joint Planning and Development Office;
(3) provide ongoing policy review for the transformation of the
air transportation system;
(4) identify resource needs and make recommendations to their
respective agencies for necessary funding for planning, research,
and development activities; and
(5) make legislative recommendations, as appropriate, for the
future air transportation system.
(d) Consultation.--In carrying out its functions under this
section, the senior policy committee shall consult with, and ensure
participation by, the private sector (including representatives of
general aviation, commercial aviation, aviation labor, and the space
industry), members of the public, and other interested parties and may
do so through a special advisory committee composed of such
representatives.
SEC. 711. ROTORCRAFT RESEARCH AND DEVELOPMENT INITIATIVE.
(a) Objective.--The Administrator of the Federal Aviation
Administration shall establish a rotorcraft initiative with the
objective of developing, and demonstrating in a relevant environment,
within 10 years after the date of the enactment of this Act,
technologies to enable rotorcraft with the following improvements
relative to rotorcraft existing as of the date of the enactment of this
Act:
(1) 80 percent reduction in noise levels on takeoff and on
approach and landing as perceived by a human observer.
(2) Factor of 10 reduction in vibration.
(3) 30 percent reduction in empty weight.
(4) Predicted accident rate equivalent to that of fixed-wing
aircraft in commercial service within 10 years after the date of
the enactment of this Act.
(5) Capability for zero-ceiling, zero-visibility operations.
(b) Implementation.--Within 180 days after the date of the
enactment of this Act, the Administrator of the Federal Aviation
Administration, in cooperation with the Administrator of the National
Aeronautics and Space Administration, shall provide a plan to the
Committee on Science of the House of Representatives and to the
Committee on Commerce, Science, and Transportation of the Senate for
the implementation of the initiative described in subsection (a).
SEC. 712. AIRPORT COOPERATIVE RESEARCH PROGRAM.
Section 44511 is amended by adding at the end the following new
subsection:
``(f) Airport Cooperative Research Program.--
``(1) Establishment.--The Secretary of Transportation shall
establish a 4-year pilot airport cooperative research program to--
``(A) identify problems that are shared by airport
operating agencies and can be solved through applied research
but that are not being adequately addressed by existing Federal
research programs; and
``(B) fund research to address those problems.
``(2) Governance.--The Secretary of Transportation shall
appoint an independent governing board for the research program
established under this subsection. The governing board shall be
appointed from candidates nominated by national associations
representing public airport operating agencies, airport executives,
State aviation officials, and the scheduled airlines, and shall
include representatives of appropriate Federal agencies. Section 14
of the Federal Advisory Committee Act shall not apply to the
governing board.
``(3) Implementation.--The Secretary of Transportation shall
enter into an arrangement with the National Academy of Sciences to
provide staff support to the governing board established under
paragraph (2) and to carry out projects proposed by the governing
board that the Secretary considers appropriate.
``(4) Report.--Not later than 6 months after the expiration of
the program under this subsection, the Secretary shall transmit to
the Congress a report on the program, including recommendations as
to the need for establishing a permanent airport cooperative
research program.''.
TITLE VIII--MISCELLANEOUS
SEC. 801. DEFINITIONS.
(a) In General.--Section 47102 is amended--
(1) by redesignating paragraphs (19) and (20) as paragraphs
(24) and (25), respectively;
(2) by inserting after paragraph (18) the following:
``(23) `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.'';
(3) in paragraph (10) by striking subparagraphs (A) and (B) and
inserting following:
``(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.'';
(4) by redesignating paragraphs (10) through (18) as paragraphs
(14) through (22), respectively;
(5) by inserting after paragraph (9) the following:
``(10) `large hub airport' means a commercial service airport
that has at least 1.0 percent of the passenger boardings.
``(12) `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.
``(13) `nonhub airport' means a commercial service airport that
has less than 0.05 percent of the passenger boardings.''; and
(6) by striking paragraph (6) and inserting the following:
``(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).''.
(b) Conforming Amendment.--Section 47116(b)(1) is amended by
striking ``(as defined in section 41731 of this title)''.
SEC. 802. REPORT ON AVIATION SAFETY REPORTING SYSTEM.
Not later than 90 days after the date of enactment of this Act, the
Administrator of the Federal Aviation Administration shall transmit to
Congress a report on the long-term goals and objectives of the Aviation
Safety Reporting System and how such system interrelates with other
safety reporting systems of the Federal Government.
SEC. 803. ANCHORAGE AIR TRAFFIC CONTROL.
(a) In General.--Not later than September 30, 2004, the
Administrator of the Federal Aviation Administration shall complete a
study and transmit a report to the appropriate committees regarding the
feasibility of consolidating the Anchorage Terminal Radar Approach
Control and the Anchorage Air Route Traffic Control Center at the
existing Anchorage Air Route Traffic Control Center facility.
(b) Appropriate Committees.--In this section, the term
``appropriate committees'' means the Committee on Commerce, Science,
and Transportation of the Senate and the Committee on Transportation
and Infrastructure of the House of Representatives.
SEC. 804. EXTENSION OF METROPOLITAN WASHINGTON AIRPORTS AUTHORITY.
Section 49108 is amended by striking ``2004'' and inserting
``2008''.
SEC. 805. IMPROVEMENT OF AVIATION INFORMATION COLLECTION.
(a) In General.--Section 329(b)(1) is amended by striking ``except
that in no case'' and all that follows through the semicolon at the end
and inserting the following: ``except that, if the Secretary requires
air carriers to provide flight-specific information, the Secretary--
``(A) shall not disseminate fare information for a specific
flight to the general public for a period of at least 9 months
following the date of the flight; and
``(B) shall give due consideration to and address
confidentiality concerns of carriers, including competitive
implications, in any rulemaking prior to adoption of a rule
requiring the dissemination to the general public of any
flight-specific fare;''.
(b) Effective Date.--The amendment made by subsection (a) shall
take effect on the date of the issuance of a final rule to modernize
the Origin and Destination Survey of Airline Passenger Traffic,
pursuant to the Advance Notice of Proposed Rulemaking published July
15, 1998 (Regulation Identifier Number 2105-AC71), that reduces the
reporting burden for air carriers through electronic filing of the
survey data collected under section 329(b)(1) of title 49, United
States Code.
SEC. 806. GOVERNMENT-FINANCED AIR TRANSPORTATION.
Section 40118(f)(2) is amended by inserting before the period at
the end the following: ``, except that it shall not include a contract
for the transportation by air of passengers''.
SEC. 807. AIR CARRIER CITIZENSHIP.
Section 40102(a)(15)(C) is amended by inserting ``which is under
the actual control of citizens of the United States,'' before ``and in
which''.
SEC. 808. UNITED STATES PRESENCE IN GLOBAL AIR CARGO INDUSTRY.
Section 41703 is amended by adding at the end the following:
``(e) Cargo in Alaska.--
``(1) In general.--For the purposes of subsection (c), eligible
cargo taken on or off any aircraft at a place in Alaska in the
course of transportation of that cargo by any combination of 2 or
more air carriers or foreign air carriers in either direction
between a place in the United States and a place outside the United
States shall not be deemed to have broken its international journey
in, be taken on in, or be destined for Alaska.
``(2) Eligible cargo.--For purposes of paragraph (1), the term
`eligible cargo' means cargo transported between Alaska and any
other place in the United States on a foreign air carrier (having
been transported from, or thereafter being transported to, a place
outside the United States on a different air carrier or foreign air
carrier) that is carried--
``(A) under the code of a United States air carrier
providing air transportation to Alaska;
``(B) on an air carrier way bill of an air carrier
providing air transportation to Alaska;
``(C) under a term arrangement or block space agreement
with an air carrier; or
``(D) under the code of a United States air carrier for
purposes of transportation within the United States.''.
SEC. 809. AVAILABILITY OF AIRCRAFT ACCIDENT SITE INFORMATION.
(a) Domestic Air Transportation.--Section 41113(b) is amended--
(1) in paragraph (16) by striking ``the air carrier'' the third
place it appears; and
(2) by adding at the end the following:
``(17)(A) 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 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) 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 air carrier
representatives about compensation by the 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) 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 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 air carrier's flight if that city is located in the United
States.''.
(b) Foreign Air Transportation.--Section 41313(c) is amended by
adding at the end the following:
``(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.''.
(c) Update Plans.--Air carriers and foreign air carriers shall
update their plans under sections 41113 and 41313 of title 49, United
States Code, respectively, to reflect the amendments made by
subsections (a) and (b) of this section not later than 90 days after
the date of enactment of this Act.
SEC. 810. NOTICE CONCERNING AIRCRAFT ASSEMBLY.
(a) In General.--Subchapter I of chapter 417 is amended by adding
at the end the following:
``Sec. 41723. Notice concerning aircraft assembly
``The Secretary of Transportation shall require, beginning after
the last day of the 18-month period following the date of enactment of
this section, an air carrier using an aircraft to provide scheduled
passenger air transportation to display a notice, on an information
placard available to each passenger on the aircraft, that informs the
passengers of the nation in which the aircraft was finally
assembled.''.
(b) Conforming Amendment.--The analysis for chapter 417 is amended
by inserting after the item relating to section 41722 the following:
``41723. Notice concerning aircraft assembly.''.
SEC. 811. TYPE CERTIFICATES.
Section 44704(a) is amended by adding at the end the following:
``(3) 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.''.
SEC. 812. RECIPROCAL AIRWORTHINESS CERTIFICATION.
(a) In General.--As part of their bilateral negotiations with
foreign nations and their civil aviation counterparts, the Secretary of
State and the Administrator of the Federal Aviation Administration
shall facilitate the reciprocal airworthiness certification of aviation
products.
(b) Reciprocal Airworthiness Defined.--In this section, the term
``reciprocal airworthiness certification of aviation products'' means
that the regulatory authorities of each nation perform a similar review
in certifying or validating the certification of aircraft and aircraft
components of other nations.
SEC. 813. INTERNATIONAL ROLE OF THE FAA.
Section 40104(b) is amended to read as follows:
``(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.''.
SEC. 814. FLIGHT ATTENDANT CERTIFICATION.
(a) In General.--Chapter 447 is further amended by adding at the
end the following:
``Sec. 44728. Flight attendant certification
``(a) Certificate Required.--
``(1) In general.--No person may serve as a flight attendant
aboard an aircraft of an air carrier unless that person holds a
certificate of demonstrated proficiency from the Administrator of
the Federal Aviation Administration. Upon the request of the
Administrator or an authorized representative of the National
Transportation Safety Board or another Federal agency, a person who
holds such a certificate shall present the certificate for
inspection within a reasonable period of time after the date of the
request.
``(2) Special rule for current flight attendants.--An
individual serving as a flight attendant on the effective date of
this section may continue to serve aboard an aircraft as a flight
attendant until completion by that individual of the required
recurrent or requalification training and subsequent certification
under this section.
``(3) Treatment of flight attendant after notification.--On the
date that the Administrator is notified by an air carrier that an
individual has the demonstrated proficiency to be a flight
attendant, the individual shall be treated for purposes of this
section as holding a certificate issued under the section.
``(b) Issuance of Certificate.--The Administrator shall issue a
certificate of demonstrated proficiency under this section to an
individual after the Administrator is notified by the air carrier that
the individual has successfully completed all the training requirements
for flight attendants approved by the Administrator.
``(c) Designation of Person To Determine Successful Completion of
Training.--In accordance with part 183 of chapter 14, Code of Federal
Regulation, the director of operations of an air carrier is designated
to determine that an individual has successfully completed the training
requirements approved by the Administrator for such individual to serve
as a flight attendant.
``(d) Specifications Relating to Certificates.--Each certificate
issued under this section shall--
``(1) be numbered and recorded by the Administrator;
``(2) contain the name, address, and description of the
individual to whom the certificate is issued;
``(3) is similar in size and appearance to certificates issued
to airmen;
``(4) contain the airplane group for which the certificate is
issued; and
``(5) be issued not later than 120 days after the Administrator
receives notification from the air carrier of demonstrated
proficiency and, in the case of an individual serving as flight
attendant on the effective date of this section, not later than 1
year after such effective date.
``(e) Approval of Training Programs.--Air carrier flight attendant
training programs shall be subject to approval by the Administrator.
All flight attendant training programs approved by the Administrator in
the 1-year period ending on the date of enactment of this section shall
be treated as providing a demonstrated proficiency for purposes of
meeting the certification requirements of this section.
``(f) Flight Attendant Defined.--In this section, the term `flight
attendant' means an individual working as a flight attendant in the
cabin of an aircraft that has 20 or more seats and is being used by an
air carrier to provide air transportation.''.
(b) Conforming Amendment.--The analysis for chapter 447 is further
amended by adding at the end the following:
``44728. Flight attendant certification.''.
(c) Effective Date.--The amendments made by subsections (a) and (b)
shall take effect on the 365th day following the date of enactment of
this Act.
SEC. 815. AIR QUALITY IN AIRCRAFT CABINS.
(a) In General.--The Administrator of the Federal Aviation
Administration shall undertake the studies and analysis called for in
the report of the National Research Council entitled ``The Airliner
Cabin Environment and the Health of Passengers and Crew''.
(b) Required Activities.--In carrying out this section, the
Administrator, at a minimum, shall--
(1) conduct surveillance to monitor ozone in the cabin on a
representative number of flights and aircraft to determine
compliance with existing Federal Aviation Regulations for ozone;
(2) collect pesticide exposure data to determine exposures of
passengers and crew;
(3) analyze samples of residue from aircraft ventilation ducts
and filters after air quality incidents to identify the
contaminants to which passengers and crew were exposed;
(4) analyze and study cabin air pressure and altitude; and
(5) establish an air quality incident reporting system.
(c) Report.--Not later than 30 months after the date of enactment
of this Act, the Administrator shall transmit to Congress a report on
the findings of the Administrator under this section.
SEC. 816. RECOMMENDATIONS CONCERNING TRAVEL AGENTS.
(a) Report.--Not later than 6 months after the date of enactment of
this Act, the Secretary of Transportation shall transmit to Congress a
report on any actions that should be taken with respect to
recommendations made by the National Commission to Ensure Consumer
Information and Choice in the Airline Industry on--
(1) the travel agent arbiter program; and
(2) the special box on tickets for agents to include their
service fee charges.
(b) Consultation.--In preparing this report, the Secretary shall
consult with representatives from the airline and travel agent
industry.
SEC. 817. REIMBURSEMENT FOR LOSSES INCURRED BY GENERAL AVIATION
ENTITIES.
(a) In General.--The Secretary of Transportation may make grants to
reimburse the following general aviation entities for the security
costs incurred and revenue foregone as a result of the restrictions
imposed by the Federal Government following the terrorist attacks on
the United States that occurred on September 11, 2001:
(1) General aviation entities that operate at Ronald Reagan
Washington National Airport.
(2) Airports that are located within 15 miles of Ronald Reagan
Washington National Airport and were operating under security
restrictions on the date of enactment of this Act and general
aviation entities operating at those airports.
(3) General aviation entities affected by implementation of
section 44939 of title 49, United States Code.
(4) General aviation entities that were affected by Federal
Aviation Administration Notices to Airmen FDC 2/1099 and 3/1862 or
section 352 of the Department of Transportation and Related
Agencies Appropriations Act, 2003 (Public Law 108-7, division I),
or both.
(5) Sightseeing operations that were not authorized to resume
in enhanced class B air space under Federal Aviation Administration
notice to airmen 1/1225.
(b) Documentation.--Reimbursement under this section shall be made
in accordance with sworn financial statements or other appropriate data
submitted by each general aviation entity demonstrating the costs
incurred and revenue foregone to the satisfaction of the Secretary.
(c) General Aviation Entity Defined.--In this section, the term
``general aviation entity'' means any person (other than a scheduled
air carrier or foreign air carrier, as such terms are defined in
section 40102 of title 49, United States Code) that--
(1) operates nonmilitary aircraft under part 91 of title 14,
Code of Federal Regulations, for the purpose of conducting its
primary business;
(2) manufactures nonmilitary aircraft with a maximum seating
capacity of fewer than 20 passengers or aircraft parts to be used
in such aircraft;
(3) provides services necessary for nonmilitary operations
under such part 91; or
(4) operates an airport, other than a primary airport (as such
terms are defined in such section 40102), that--
(A) is listed in the national plan of integrated airport
systems developed by the Federal Aviation Administration under
section 47103 of such title; or
(B) is normally open to the public, is located within the
confines of enhanced class B airspace (as defined by the
Federal Aviation Administration in Notice to Airmen FDC 1/
0618), and was closed as a result of an order issued by the
Federal Aviation Administration in the period beginning
September 11, 2001, and ending January 1, 2002, and remained
closed as a result of that order on January 1, 2002.
Such term includes fixed based operators, flight schools, manufacturers
of general aviation aircraft and products, persons engaged in
nonscheduled aviation enterprises, and general aviation independent
contractors.
(d) Authorization of Appropriations.--There is authorized to be
appropriated to carry out this section $100,000,000. Such sums shall
remain available until expended.
SEC. 818. INTERNATIONAL AIR SHOW.
If the Secretary of Defense conducts activities necessary to enable
the United States to host a major international air show in the United
States, the Secretary of Defense shall coordinate such activities with
the Secretary of Transportation and the Secretary of Commerce.
SEC. 819. REPORT ON CERTAIN MARKET DEVELOPMENTS AND GOVERNMENT
POLICIES.
Within 6 months after the date of enactment of this Act, the
Department of Commerce, in consultation with the Department of
Transportation and other appropriate Federal agencies, shall submit to
the Senate Committee on Commerce, Science, and Transportation, the
House of Representatives Committee on Science, and the House of
Representatives Committee on Transportation and Infrastructure a report
about market developments and government policies influencing the
competitiveness of the United States jet transport aircraft industry
that--
(1) describes the structural characteristics of the United
States and the European Union jet transport industries, and the
markets for these industries;
(2) examines the global market factors affecting the jet
transport industries in the United States and the European Union,
such as passenger and freight airline purchasing patterns, the rise
of low-cost carriers and point-to-point service, the evolution of
new market niches, and direct and indirect operating cost trends;
(3) reviews government regulations in the United States and the
European Union that have altered the competitive landscape for jet
transport aircraft, such as airline deregulation, certification and
safety regulations, noise and emissions regulations, government
research and development programs, advances in air traffic control
and other infrastructure issues, corporate and air travel tax
issues, and industry consolidation strategies;
(4) analyzes how changes in the global market and government
regulations have affected the competitive position of the United
States aerospace and aviation industry vis-a-vis the European Union
aerospace and aviation industry; and
(5) describes any other significant developments that affect
the market for jet transport aircraft.
SEC. 820. INTERNATIONAL AIR TRANSPORTATION.
It is the sense of Congress that, in an effort to modernize its
regulations, the Department of Transportation should formally define
``Fifth Freedom'' and ``Seventh Freedom'' consistently for both
scheduled and charter passenger and cargo traffic.
SEC. 821. REIMBURSEMENT OF AIR CARRIERS FOR CERTAIN SCREENING AND
RELATED ACTIVITIES.
The Secretary of Homeland Security, subject to the availability of
funds (other than amounts in the Aviation Trust Fund) provided for this
purpose, shall reimburse air carriers and airports for--
(1) the screening of catering supplies; and
(2) checking documents at security checkpoints.
SEC. 822. CHARTER AIRLINES.
(a) In General.--Section 41104(b)(1) is amended--
(1) by striking ``paragraph (3)'' and inserting ``paragraphs
(3) and (4)'';
(2) by inserting a comma after ``regularly scheduled charter
air transportation''; and
(3) by striking ``flight unless such air transportation'' and
all that follows through the period at the end and inserting the
following: ``flight, to or from an airport that--
``(A) does not have an airport operating certificate issued
under part 139 of title 14, Code of Federal Regulations (or any
subsequent similar regulation); or
``(B) has an airport operating certificate issued under
part 139 of title 14, Code of Federal Regulations (or any
subsequent similar regulation) if the airport--
``(i) is a reliever airport (as defined in section
47102) and is designated as such in the national plan of
integrated airports maintained under section 47103; and
``(ii) is located within 20 nautical miles (22 statute
miles) of 3 or more airports that each annually account for
at least 1 percent of the total United States passenger
enplanements and at least 2 of which are operated by the
sponsor of the reliever airport.''.
(b) Waivers.--Section 41104(b) is amended by adding at the end the
following:
``(4) Waivers.--The Secretary may waive the application of
paragraph (1)(B) in cases in which the Secretary determines that
the public interest so requires.''.
SEC. 823. GENERAL AVIATION FLIGHTS AT RONALD REAGAN WASHINGTON NATIONAL
AIRPORT.
(a) Security Plan.--The Secretary of Homeland Security shall
develop and implement a security plan to permit general aviation
aircraft to land and take off at Ronald Reagan Washington National
Airport.
(b) Landings and Takeoffs.--The Administrator of the Federal
Aviation Administration shall allow general aviation aircraft that
comply with the requirements of the security plan to land and take off
at the Airport except during any period that the President suspends the
plan developed under subsection (a) due to national security concerns.
(c) Report.--If the President suspends the security plan developed
under subsection (a), the President shall submit to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure a report
on the reasons for the suspension not later than 30 days following the
first day of the suspension. The report may be submitted in classified
form.
SEC. 824. REVIEW OF AIR CARRIER COMPENSATION.
Not later than 6 months after the date of enactment of this Act,
the Comptroller General shall submit to Congress a report on the
criteria and procedures used by the Secretary of Transportation under
the Air Transportation Safety and System Stabilization Act (Public Law
107-42) to compensate air carriers after the terrorist attack of
September 11, 2001, with a particular focus on whether it is
appropriate--
(1) to compensate air carriers for the decrease in value of
their aircraft after September 11, 2001; and
(2) to ensure that comparable air carriers receive comparable
percentages of the maximum compensation payable under section
103(b)(2) of such Act (49 U.S.C. 40101 note).
SEC. 825. NOISE CONTROL PLAN FOR CERTAIN AIRPORTS.
(a) In General.--Notwithstanding chapter 475 of title 49, United
States Code, or any other provision of law or regulation, a sponsor of
a commercial service airport that does not own the airport land and is
a party to a long-term lease agreement with a Federal agency (other
than the Department of Defense or the Department of Transportation) may
impose restrictions on, or prohibit, the operation of Stage 2 aircraft
weighing less than 75,000 pounds, in order to help meet the noise
control plan contained within the lease agreement. A use restriction
imposed pursuant to this section must contain reasonable exemptions for
public health and safety.
(b) Public Notice and Comment.--Prior to imposing restrictions on,
or prohibiting, the operation of Stage 2 aircraft weighing less than
75,000 pounds, the airport sponsor must provide reasonable notice and
the opportunity to comment on the proposed airport use restriction
limited to no more than 90 days.
(c) Definitions.--In this section, the terms ``Stage 2 aircraft''
and ``Stage 3 aircraft'' have the same meaning as those terms have in
chapter 475 of title 49, United States Code.
SEC. 826. GAO REPORT ON AIRLINES' ACTIONS TO IMPROVE FINANCES AND ON
EXECUTIVE COMPENSATION.
(a) Finding.--Congress finds that the United States Government has
by law provided substantial financial assistance to United States
commercial airlines in the form of war risk insurance and reinsurance
and other economic benefits and has imposed substantial economic and
regulatory burdens on those airlines. In order to determine the
economic viability of the domestic commercial airline industry and to
evaluate the need for additional measures or the modification of
existing laws, Congress needs more frequent information and
independently verified information about the financial condition of
these airlines.
(b) GAO Report.--Not later than one year after the date of
enactment of this Act, the Comptroller General shall prepare a report
for Congress analyzing the financial condition of the United States
airline industry in its efforts to reduce the costs, improve the
earnings and profits and balances of each individual air carrier. The
report shall recommend steps that the industry should take to become
financially self-sufficient.
(c) GAO Authority.--In order to compile the report required by
subsection (b), the Comptroller General, or any of the Comptroller
General's duly authorized representatives, shall have access for the
purpose of audit and examination to any books, accounts, documents,
papers, and records of such air carriers that relate to the information
required to compile the report. The Comptroller General shall submit
with the report a certification as to whether the Comptroller General
has had access to sufficient information to make informed judgments on
the matters covered by the report.
(d) Reports to Congress.--The Comptroller General shall transmit
the report required by subsection (b) to the Senate Committee on
Commerce, Science, and Transportation and the House of Representatives
Committee on Transportation and Infrastructure.
SEC. 827. PRIVATE AIR CARRIAGE IN ALASKA.
(a) In General.--Due to the demands of conducting business within
and from the State of Alaska, the Secretary of Transportation shall
permit, under the operating rules of part 91 of title 14 of the Code of
Federal Regulations where common carriage is not involved, a company,
located in the State of Alaska, to organize a subsidiary where the only
enterprise of the subsidiary is to provide air carriage of officials,
employees, guests, and property of the company, or its affiliate, when
the carriage--
(1) originates or terminates in the State of Alaska;
(2) is by an aircraft with no more than 20 seats;
(3) is within the scope of, and incidental to, the business of
the company or its affiliate; and
(4) no charge, assessment, or fee is made for the carriage in
excess of the cost of owning, operating, and maintaining the
airplane.
(b) Limitation on Statutory Construction.--Nothing in this
subsection shall be construed as prohibiting a company from making
intermediate stops in providing air carriage under this section.
SEC. 828. REPORT ON WAIVERS OF PREFERENCE FOR BUYING GOODS PRODUCED IN
THE UNITED STATES.
Not later than 90 days after the date of the enactment of this Act,
the Secretary of Transportation shall submit to Congress a report on
the waiver contained in section 50101(b) of title 49, United States
Code (relating to buying goods produced in the United States). The
report shall, at a minimum, include--
(1) a list of all waivers granted pursuant to that section
during the 2-year period ending on the date of enactment of that
section; and
(2) for each such waiver--
(A) the specific authority under such section 50101(b) for
granting the waiver; and
(B) the rationale for granting the waiver.
SEC. 829. NAVIGATION FEES.
(a) In General.--Section 4(b) of the Rivers and Harbors
Appropriation Act of July 5, 1884 (33 U.S.C. 5(b); 116 Stat. 2133), is
amended--
(1) by striking ``or'' at the end of paragraph (1);
(2) by striking the period at the end of paragraph (2) and
inserting ``; or''; and
(3) by adding at the end the following:
``(3) property taxes on vessels or watercraft, other than
vessels or watercraft that are primarily engaged in foreign
commerce if those taxes are permissible under the United States
Constitution.''.
(b) Effective Date.--The amendment made by subsection (a) is
effective on and after November 25, 2002.
TITLE IX--EXTENSION OF AIRPORT AND AIRWAY TRUST FUND EXPENDITURE
AUTHORITY
SEC. 901. EXTENSION OF EXPENDITURE AUTHORITY.
(a) In General.--Paragraph (1) of section 9502(d) of the Internal
Revenue Code of 1986 (relating to expenditures from Airport and Airway
Trust Fund) is amended--
(1) by striking ``October 1, 2003'' and inserting ``October 1,
2007'', and
(2) by inserting before the semicolon at the end of
subparagraph (A) the following: ``or the Vision 100--Century of
Aviation Reauthorization Act''.
(b) Conforming Amendment.--Paragraph (2) of section 9502(f) of the
Internal Revenue Code of 1986 is amended by striking ``October 1,
2003'' and inserting ``October 1, 2007''.
SEC. 902. TECHNICAL CORRECTION TO FLIGHT SEGMENT.
(a) Special Rule.--Section 4261(e)(4) of the Internal Revenue Code
of 1986 is amended by adding at the end the following new subparagraph:
``(D) Special rule for amounts paid for domestic segments
beginning after 2002.--If an amount is paid during a calendar
year for a domestic segment beginning in a later calendar year,
then the rate of tax under subsection (b) on such amount shall
be the rate in effect for the calendar year in which such
amount is paid.''.
(b) Effective Date.--The amendment made by subsection (a) shall
take effect as if included in the provisions of the Taxpayer Relief Act
of 1997 to which they relate.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.