[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2641 Introduced in House (IH)]

103d CONGRESS
  1st Session
                                H. R. 2641

To amend the Federal Aviation Act of 1958 to prohibit the issuance of a 
 certificate of public convenience and necessity to an applicant which 
  is controlled by a person who has controlled 1 or more air carriers 
which have filed, in the aggregate, 2 or more petitions for bankruptcy.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 14, 1993

  Mr. Rahall introduced the following bill; which was referred to the 
              Committee on Public Works and Transportation

_______________________________________________________________________

                                 A BILL


 
To amend the Federal Aviation Act of 1958 to prohibit the issuance of a 
 certificate of public convenience and necessity to an applicant which 
  is controlled by a person who has controlled 1 or more air carriers 
which have filed, in the aggregate, 2 or more petitions for bankruptcy.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. LIMITATION ON ISSUANCE OF CERTIFICATES OF PUBLIC CONVENIENCE 
              AND NECESSITY.

    Section 401 of the Federal Aviation Act of 1958 (49 U.S.C. App. 
1371) is amended by adding at the end the following new subsection:
    ``(s) Limitation on Issuance of Certificates.--
            ``(1) General rule.--No certificate shall be issued to an 
        applicant under this section if such applicant is controlled by 
        a person who controls or had controlled, in any manner 
        whatsoever, 1 or more air carriers which filed, while under 
        such control, in the aggregate, 2 or more petitions under the 
        bankruptcy laws contained in title 11 of the United States 
        Code.
            ``(2) Invalidation of certain certificates.--If a 
        certificate was issued to an applicant under this section after 
        January 1, 1993, and before the date of the enactment of this 
        subsection, and such certificate could not have been issued to 
        the applicant under the rule contained in paragraph (1), such 
        certificate shall no longer be valid after such date of 
        enactment.
            ``(3) Presumption.--For the purposes of this subsection, 
        any person owning 5 percent or more of the voting securities of 
        an air carrier shall be presumed to be in control of the air 
        carrier unless the Secretary finds otherwise.''.

SEC. 2. CONFORMING AMENDMENT.

    The table of contents contained in the first section of the Federal 
Aviation Act of 1958 is amended by adding at the end of the matter 
relating to section 401 the following new item:

                                  ``(s) Limitation on issuance of 
                                        certificates.''.

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