[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4439 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 4439

 To establish an Airport Screening Organization in the Transportation 
            Security Administration, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            December 6, 2005

    Mr. Daniel E. Lungren of California (for himself, Mr. Rogers of 
Alabama, Mr. McCaul of Texas, Mr. Reichert, and Ms. Harris) introduced 
  the following bill; which was referred to the Committee on Homeland 
                                Security

_______________________________________________________________________

                                 A BILL


 
 To establish an Airport Screening Organization in the Transportation 
            Security 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.

    This Act may be cited as the ``Transportation Security 
Administration Reorganization Act of 2005''.

                     TITLE I--TSA MANAGEMENT REFORM

SEC. 101. AIRPORT SCREENING ORGANIZATION.

    The Homeland Security Act of 2002 (6 U.S.C. 101 et seq.) is amended 
by adding at the end the following:

         ``TITLE XVIII--TRANSPORTATION SECURITY ADMINISTRATION

``SEC. 1801. AIRPORT SCREENING ORGANIZATION.

    ``(a) Establishment.--There is established in the Transportation 
Security Administration an organization to be known as the `Airport 
Screening Organization'.
    ``(b) Mission.--The Airport Screening Organization shall seek to 
improve the delivery of Federal security screening services for 
passenger air transportation by increasing efficiency, taking better 
advantage of new technologies, reducing unit costs, and responding more 
effectively to the needs of the traveling public, while enhancing 
aviation security.
    ``(c) Chief Operating Officer.--
            ``(1) Appointment.--The head of the Airport Screening 
        Organization shall be the Chief Operating Officer. The Chief 
        Operating Officer shall be appointed by the Assistant Secretary 
        for Homeland Security (Transportation Security Administration). 
        The Chief Operating Officer shall report directly to the 
        Assistant Secretary and be subject to the authority of the 
        Assistant Secretary.
            ``(2) Compensation.--The annual rate of basic pay of the 
        Chief Operating Officer shall be set by the Assistant Secretary 
        in accordance with the personnel management system established 
        under section 114(n) of title 49, United States Code.
            ``(3) Bonus.--In addition to the annual rate of basic pay 
        established under paragraph (2), the Chief Operating Officer 
        may receive a bonus for any calendar year based on the 
        Assistant Secretary's evaluation of the Chief Operating 
        Officer's performance in relation to the goals set forth in the 
        agreement described in subsection (d).
    ``(d) Annual Performance Agreement.--The Chief Operating Officer 
shall enter into an annual performance agreement with the Assistant 
Secretary that sets forth measurable organization and individual goals 
for the Chief Operating Officer in key operational areas and describes 
specific targets and how the goals will be achieved. The agreement 
shall be subject to review and renegotiation on an annual basis.
    ``(e) Responsibilities.--
            ``(1) In general.--The responsibilities of the Assistant 
        Secretary to provide for the day-to-day Federal security 
        screening operations for passenger air transportation, as 
        specified in section 114(e)(1) of title 49, United States Code, 
        shall be carried out by the Assistant Secretary acting through 
        the Chief Operating Officer.
            ``(2) Limitations.--The responsibilities of the Chief 
        Operating Officer shall be limited to operational activities 
        and shall not include any regulatory or oversight function.
    ``(f) Strategic Plan.--The Chief Operating Officer shall develop a 
5-year strategic plan for Federal security screening operations for 
passenger air transportation, including a clear statement of the 
mission and objectives for the system's effectiveness, efficiency, and 
productivity and measurable organization-wide performance goals.
    ``(g) Elements of Airport Screening Organization.--
            ``(1) In general.--The Airport Screening Organization shall 
        be composed of those elements of the Transportation Security 
        Administration that have a direct connection with or give 
        support to the provision of the day-to-day Federal security 
        screening operations for passenger air transportation, as 
        determined by the Assistant Secretary.
            ``(2) Framework agreement.--The Chief Operating Officer 
        shall enter into an agreement with the Assistant Secretary that 
        establishes the relationship of the Airport Screening 
        Organization with the other organizations of the Transportation 
        Security Administration.
    ``(h) Performance Goals.--The Chief Operating Officer shall--
            ``(1) optimize use of existing management flexibilities and 
        authorities to improve the efficiency of Federal security 
        screening operations for passenger air transportation and 
        increase the capacity of the system;
            ``(2) instill accountability for achieving performance 
        goals at all levels of management;
            ``(3) develop methods to accelerate advancement and 
        deployment of technologies and equipment to improve security, 
        reduce passenger inconvenience, and reduce costs related to 
        Federal security screening operations for passenger air 
        transportation;
            ``(4) develop agreements with the Assistant Secretary and 
        users of the products, services, and capabilities that the 
        Airport Screening Organization will provide;
            ``(5) consult with customers and the traveling public 
        (including direct users such as airlines and airports) and 
        focus on producing results that satisfy the Airport Screening 
        Organization's external customer needs;
            ``(6) establish strong incentives for managers to achieve 
        results; and
            ``(7) formulate and recommend to the Assistant Secretary 
        any management, fiscal, or legislative changes necessary for 
        the Airport Screening Organization to achieve its performance 
        goals.
    ``(i) Cost Accounting System.--
            ``(1) Development.--The Chief Operating Officer shall 
        develop a cost accounting system that adequately and accurately 
        reflects the investments, operating and overhead costs, 
        revenues, and other financial measurement and reporting aspects 
        of the operations, functions, and activities of the Airport 
        Screening Organization.
            ``(2) Annual report.--Not later than 90 days after the date 
        completion of the cost accounting system under paragraph (1), 
        and by March 1 of every year thereafter, the Chief Operating 
        Officer shall submit to the Committee on Homeland Security of 
        the House of Representatives and the Committees on Commerce, 
        Science, and Transportation and Homeland Security and 
        Governmental Affairs of the Senate a report on the annual cost 
        of Federal security screening services for passenger air 
        transportation at each commercial service airport. The report 
        shall take into consideration existing direct and indirect 
        costs as determined by the cost accounting system.
    ``(j) Air Transportation Defined.--In this section, the term `air 
transportation' has the meaning given that term by section 40102 of 
title 49, United States Code, and includes intrastate air 
transportation.''.

SEC. 102. RISK MANAGEMENT.

    The Homeland Security Act of 2002 (6 U.S.C. 101 et sec.) is amended 
by adding after section 1801 (as added by section 101 of this Act) the 
following:

``SEC. 1802. RISK MANAGEMENT SYSTEM.

    ``(a) In General.--The Assistant Secretary for Homeland Security 
(Transportation Security Administration) shall develop a risk 
management system to dynamically assess and measure potential threats 
to and from the Nation's transportation system across all modes of 
transportation.
    ``(b) Consultation.--The Assistant Secretary shall develop the risk 
management system in consultation with State and local government 
agencies, industry stakeholders, and other appropriate Federal 
agencies, including Federal agencies outside the Department of Homeland 
Security.
    ``(c) National Transportation Security Policy.--Upon completion of 
the risk management system, the Assistant Secretary, to the extent 
feasible, shall develop national transportation security policies in a 
manner consistent with the system.
    ``(d) Review of Regulations.--
            ``(1) Review.--Not later than 90 days after the date of 
        development of the risk management system, the Assistant 
        Secretary shall conduct a review of all regulations issued by 
        the Transportation Security Administration under interim final 
        rule authority.
            ``(2) Modifications.--After completing the review, the 
        Assistant Secretary shall modify such regulations in a manner 
        consistent with the risk management system.
    ``(e) Review of Statutory Requirements.--
            ``(1) Review.--Not later than 180 days after the date of 
        development of the risk management system, the Assistant 
        Secretary shall conduct a review of chapter 449 of title 49, 
        United States Code, and other provisions of that title relating 
        to transportation security.
            ``(2) Report.--After completing the review, the Assistant 
        Secretary submit to the Committee on Homeland Security of the 
        House of Representatives and the Committees on Commerce, 
        Science, and Transportation and Homeland Security and 
        Governmental Affairs of the Senate a report on the results of 
        the review, including recommendations for amendment of title 
        49, United States Code, in a manner consistent with the risk 
        management system.''.

SEC. 103. TRANSPORTATION SECTOR ADVISORY COUNCILS.

    The Homeland Security Act of 2002 (6 U.S.C. 101 et seq.) is amended 
by adding after section 1802 (as added by section 102 of this Act) the 
following:

``SEC. 1803. TRANSPORTATION SECTOR ADVISORY COUNCILS.

    ``(a) Establishment.--Not later than 90 days after the date of 
enactment of this section, the Assistant Secretary for Homeland 
Security (Transportation Security Administration) shall establish a 
transportation sector advisory council for each mode of transportation 
under the jurisdiction of the Transportation Security Administration.
    ``(b) Functions.--
            ``(1) In general.--An advisory council established under 
        this section for a transportation mode shall provide advice and 
        counsel to the Assistant Secretary on issues related to the 
        transportation mode which affect or are affected by actions of 
        the Assistant Secretary, including actions relating to 
        management, policy, spending, and regulatory matters, including 
        interim final rules, under the jurisdiction of the Assistant 
        Secretary.
            ``(2) Review of rulemaking and cost-benefit analysis 
        processes.--The advisory councils established under this 
        section shall conduct a coordinated review of the rulemaking 
        and cost-benefit analysis processes of the Transportation 
        Security Administration and develop recommendations to improve 
        the processes and ensure that the public interest is fully 
        protected.
    ``(c) Membership.--An advisory council for a transportation mode 
established under this section shall be composed of members appointed 
by the Assistant Secretary from among experts in the transportation 
mode, including representatives of labor and management.
    ``(d) Comments, Recommendations, and Dissenting Views.--An advisory 
council established under this section for a transportation mode shall 
submit to the Assistant Secretary comments, recommendations, and 
dissenting views with respect to actions of the Transportation Security 
Administration on matters affecting the transportation mode, including 
management, policy, spending, funding, and regulatory matters.
    ``(e) Submissions.--The Assistant Secretary shall include in any 
submission to Congress, the Secretary for Homeland Security, or the 
general public, and in any submission for publication in the Federal 
Register, a description of any comments, recommendations, or dissenting 
views received from an advisory council established under this section 
related to the submission, together with reasons for any differences 
between views of the advisory council and the Assistant Secretary.
    ``(f) Federal Advisory Committee Act.--The Federal Advisory 
Committee Act (5 U.S.C. App.) shall not apply to an advisory council 
established under this section.''.

SEC. 104. FUNDING ALLOCATIONS.

    (a) Formula.--The Assistant Secretary for Homeland Security 
(Transportation Security Administration) shall establish a methodology 
for allocating funds among airports for operational costs related to 
the screening of passengers and baggage under section 44901 of title 
49, United States Code. To the maximum extent practical, the Assistant 
Secretary shall ensure that the methodology reflects costs as 
determined under section 1801(i) of the Homeland Security Act of 2002.
    (b) Hold Harmless.--The Assistant Secretary shall ensure that 
funding is available for operational costs related to the screening of 
passengers and baggage at an airport, as determined under subsection 
(a), without regard to whether the operator of the airport is 
participating in the Federal security screening partnership program 
established under section 44920 of title 49, United States Code.

SEC. 105. NON-SCREENER PERSONNEL.

    (a) Report to Congress.--Not later than 180 days after the date of 
enactment of this Act, the Comptroller General shall submit to the 
Committee on Homeland Security of the House of Representatives and the 
Committees on Commerce, Science, and Transportation and Homeland 
Security and Governmental Affairs of the Senate a report on personnel 
of the Transportation Security Administration deployed at commercial 
service airports not directly related to passenger and baggage 
screening.
    (b) Contents.--The report shall contain--
            (1) information on the number of positions at each airport 
        and their functions;
            (2) an analysis of the cost of non-screening related 
        activities and the need for such activities; and
            (3) recommendations on which positions, if any, can be 
        eliminated without degradation of security screening 
        activities.

SEC. 106. PROCUREMENT.

    (a) Report to Congress.--Not later than 180 days after the date of 
enactment of this Act, the Comptroller General shall submit to the 
Committee on Homeland Security of the House of Representatives and the 
Committees on Commerce, Science, and Transportation and Homeland 
Security and Governmental Affairs of the Senate a report on whether the 
acquisition management system of the Transportation Security 
Administration authorized under section 114(o) of title 49, United 
States Code, has assisted the Transportation Security Administration in 
meeting its overall security mission.
    (b) Contents.--The report shall contain--
            (1) a comparison of the acquisition management system of 
        the Transportation Security Administration to the Federal 
        Acquisition Regulation; and
            (2) recommendations on whether to continue, modify, or 
        eliminate the acquisition management system of the 
        Transportation Security Administration.

SEC. 107. CONFORMING AMENDMENT.

    The table of contents contained in section 1(b) of the Homeland 
Security Act of 2002 (116 Stat. 2135) is amended by adding at the end 
the following:

         ``TITLE XVIII--TRANSPORTATION SECURITY ADMINISTRATION

``Sec. 1801. Airport Screening Organization.
``Sec. 1802. Risk management system.
``Sec. 1803. Transportation sector advisory councils.
``Sec. 1804. Passenger identification documents.''.

                      TITLE II--AVIATION SECURITY

SEC. 201. FEDERAL SECURITY SCREENING PARTNERSHIP PROGRAM.

    (a) Screening Entities.--Section 44920 of title 49, United States 
Code, is amended--
            (1) in the section heading by striking ``Security screening 
        opt-out program'' and inserting ``Federal security screening 
        partnership program'';
            (2) by striking ``private screening company'' each place it 
        appears and insert ``screening entity'';
            (3) by striking ``company'' each place it appears and 
        inserting ``entity'';
            (4) in the heading for subsection (c) by striking ``Private 
        Screening Company'' and inserting ``Screening Entity'';
            (5) in the heading for subsection (d) by striking ``Private 
        Screening Companies'' and inserting ``Screening Entities'';
            (6) in subsection (d)(2)--
                    (A) by striking ``private screening companies'' and 
                inserting ``screening entities''; and
                    (B) by inserting ``, or the screening entity is a 
                governmental entity or affiliate'' before the period; 
                and
            (7) in subsection (f) by striking ``the pilot program''.
    (b) Program Modifications.--Section 44920 of such title is amended 
by adding at the end the following:
    ``(g) Standard Operating Procedures and Requirements for Security 
Screening.--
            ``(1) Development and updating.--The Assistant Secretary 
        for Homeland Security (Transportation Security Administration) 
        shall--
                    ``(A) develop, document, and update, as necessary, 
                minimum standard operating procedures and requirements 
                for the security screening of passengers in air 
                transportation and interstate air transportation; and
                    ``(B) conduct safety and hazard analyses of the 
                standard operating procedures and requirements 
                developed under subparagraph (A).
            ``(2) Submission to secretary.--The Assistant Secretary 
        shall submit to the Secretary of Homeland Security--
                    ``(A) the procedures and requirements developed 
                under paragraph (1)(A), together with the results of 
                the safety and hazard analysis conducted under 
                paragraph (1)(B) and any other necessary information; 
                and
                    ``(B) any material update to the procedures and 
                requirements.
            ``(3) Technical review and approval.--Not later than 60 
        days after the date of receipt of the procedures and 
        requirements, or any update thereto, under paragraph (2), the 
        Secretary shall--
                    ``(A) complete a technical review of the procedures 
                and requirements or update under sections 862(b) and 
                863(d)(2) of the Homeland Security Act of 2002 (6 
                U.S.C. 441(b); 442(d)(2)); and
                    ``(B) approve or disapprove the procedures and 
                requirements or update.
            ``(4) Effect of approval.--
                    ``(A) Issuance of certificates of conformance.--In 
                accordance with section 863(d)(3) of that Act (6 U.S.C. 
                442(d)(3)), the Secretary shall issue a certificate of 
                conformance to a screening entity providing screening 
                services at an airport under this section if the 
                screening entity--
                            ``(i) demonstrates to the satisfaction of 
                        the Secretary the ability to perform in 
                        accordance with standard operating procedures 
                        and requirements, and any update thereto, 
                        approved by the Secretary under paragraph (3); 
                        and
                            ``(ii) agrees as a condition of its 
                        screening services contract--
                                    ``(I) to perform in accordance with 
                                the such standard operating procedures 
                                and requirements, and any update 
                                thereto; and
                                    ``(II) maintain liability insurance 
                                coverage at policy limits and in 
                                accordance with conditions to be 
                                established at the time of contracting 
                                pursuant to section 864 of that Act (6 
                                U.S.C. 443).
                    ``(B) Litigation and risk management protections.--
                A screening entity that receives a certificate of 
                conformance under subparagraph (A) shall be entitled to 
                all litigation and risk management protections 
                applicable thereto.
                    ``(C) Liability of operators of airports and other 
                third parties.--Liability protections and defenses 
                available to a screening entity that receives a 
                certificate of conformance under subparagraph (A) shall 
                extend to operators of airports and other third parties 
                as provided by section 864 of that Act (6 U.S.C. 443).
                    ``(D) Reciprocal waiver of claims.--A reciprocal 
                waiver of claims shall be deemed to have been entered 
                into between a screening entity that receives a 
                certificate of conformance under subparagraph (A) and 
                its contractors, subcontractors, suppliers, vendors and 
                customers, and contractors and subcontractors of the 
                customers involved in the use or operation of the 
                screening services of the screening entity.
            ``(5) Information for establishing limits of liability 
        insurance.--A screening entity seeking a certificate of 
        conformance under paragraph (4)(A) shall provide to the 
        Secretary necessary information for establishing the limits of 
        liability insurance required to be maintained by the entity 
        under section 864(a) of that Act (6 U.S.C. 443(a)).
            ``(6) Approved product list.--If the Secretary issues a 
        certificate of conformance to a screening entity under 
        paragraph (4)(A), the Secretary shall, upon the request of the 
        screening entity, place the entity's screening services on an 
        Approved Product List for Homeland Security as provided by 
        section 863(d)(3) of that Act (6 U.S.C. 442(d)(3)).
            ``(7) Monitoring.--The Assistant Secretary shall regularly 
        monitor and inspect the operations of a screening entity 
        providing screening services at an airport under this section 
        to ensure that the entity is meeting the minimum standard 
        operating procedures and requirements for the security 
        screening of passengers in air transportation and interstate 
        air transportation established under paragraph (1) and all 
        other applicable requirements for screening services under this 
        chapter.
    ``(h) Performance Goals.--
            ``(1) In general.--The Assistant Secretary shall develop 
        performance goals for a screening entity providing screening 
        services at an airport under this section.
            ``(2) Level of screening services and protection.--The 
        performance goals developed under paragraph (1) shall ensure 
        that screening services and protection provided by a screening 
        entity at an airport under this section will provide a greater 
        level of protection, and result in a lower unit cost, than the 
        screening services and protection that would be provided at the 
        airport by Federal Government personnel under this chapter.
            ``(3) Incentives.--The Assistant Secretary may establish 
        incentives for screening entities that meet or exceed the 
        performance goals developed under paragraph (1).
    ``(i) Daily Operational Decisions.--The Assistant Secretary shall 
not become involved in the daily operational decisions of a screening 
entity providing screening services at an airport under this section, 
except as required under subsection (g)(7).
    ``(j) Investment.--The Assistant Secretary, in consultation with 
the airport operator, may allow a screening entity providing screening 
services at an airport under this section to provide security screening 
equipment and modifications to the physical infrastructure of the 
airport as necessary to improve the efficiency or effectiveness of the 
screening operations.
    ``(k) Share in Savings Program.--
            ``(1) Authority to make grants.--Subject to the 
        availability of appropriations, the Secretary shall make a 
        grant to the operator of an airport at which screening services 
        are being provided under a contract entered into under this 
        section for a fiscal year in an amount equal to not less than 
        90 percent of the amount of annual cost savings (if any) 
        realized as a result of the contract, as compared to the cost 
        for such services when using Federal Government employees.
            ``(2) Amount of grants.--
                    ``(A) In general.--The amount of a grant under 
                paragraph (1) shall be determined by the Assistant 
                Secretary in accordance with the cost accounting system 
                developed under section 1801(i) of the Homeland 
                Security Act of 2002.
                    ``(B) Credit for investments.--The Assistant 
                Secretary shall credit toward the cost savings 
                calculated under paragraph (1) the annual cost savings 
                in security services achieved as a result of 
                investments made under subsection (j).
            ``(3) Period of eligibility.--
                    ``(A) First 5 fiscal years.--The Assistant 
                Secretary shall make a grant to an airport operator 
                under paragraph (1) for each of the first 5 fiscal 
                years for which the Assistant Secretary calculates an 
                annual cost savings in security services for the 
                airport under paragraph (1).
                    ``(B) Subsequent fiscal years.--If the Assistant 
                Secretary makes a grant to an airport operator under 
                paragraph (1) for 5 fiscal years, the Assistant 
                Secretary may continue to make grants to the airport 
                operator for a fiscal year in an amount equal to a 
                portion of the annual cost savings, as determined by 
                the Assistant Secretary, calculated for the airport 
                under paragraph (1).
            ``(4) Use of grants.--An airport operator receiving a grant 
        under this subsection may use the amounts of the grant for 
        costs associated with aviation security, including debt service 
        related to airport security enhancements.''.
    (c) Conforming Amendments.--Section 44920 of such title is 
amended--
            (1) in subsection (e) by striking ``provide Federal 
        Government supervisors to''; and
            (2) in subsection (f) by striking ``the pilot program'' and 
        inserting ``, and revoke a certificate of conformance issued 
        under subsection (g),''.
    (d) Chapter Analysis.--The analysis for chapter 449 of such title 
is amended by striking the item relating to section 44920 and inserting 
the following:

``44920. Federal security screening partnership program.''.

SEC. 202. DECLARATION ON PROVISION OF SCREENING SERVICES.

    (a) In General.--Subchapter I of chapter 449 of title 49, United 
States Code, is amended by adding at the end the following::
``Sec. 44926. Declaration on provision of screening services
    ``Not later than March 31 of each year, the operator of each 
airport subject to the requirements of section 44901 shall submit to 
the Assist Secretary for Homeland Security (Transportation Security 
Administration) a written notice on whether the operator intends to 
submit an application under section 44920 or to continue to allow the 
use of Federal employees to provided screening services for passenger 
air transportation for the subsequent fiscal year.''.
    (b) Conforming Amendment.--The analysis for such subchapter is 
amended by adding at the end the following:

``44926. Declaration on provision of screening services.''.

                     TITLE III--PASSENGER SCREENING

SEC. 301. PASSENGER IDENTIFICATION DOCUMENTS.

    The Homeland Security Act of 2002 (6 U.S.C. 101 et seq.) is amended 
by adding after section 1803 (as added by section 102 of this Act) the 
following:

``SEC. 1804. PASSENGER IDENTIFICATION DOCUMENTS.

    ``(a) In General.--Not later than 180 days after the date of 
enactment of this section, the Assistant Secretary of Homeland Security 
(Transportation Security Administration) shall issue regulations to 
require a passenger to present an acceptable personal identification 
document for inspection before entering a sterile area of an airport in 
the United States. Such inspections shall be carried out by personnel 
designated by the Assistant Secretary.
    ``(b) Acceptable Personal Identification Documents.--
            ``(1) In general.--In carrying out subsection (a), the 
        Assistant Secretary shall establish a list of acceptable 
        personal identification documents.
            ``(2) Minimum requirements.--The Assistant Secretary may 
        include a personal identification document on the list to be 
        established under paragraph (1) only if the document is issued 
        under the authority of the United States Government, a State, 
        or a foreign government and includes each of the following:
                    ``(A) The individual's full legal name.
                    ``(B) The individual's date of birth.
                    ``(C) The individual's gender.
                    ``(D) A photograph of the individual.
                    ``(E) The individual's signature.
                    ``(F) Physical security features designed to 
                prevent tampering, counterfeiting, and duplication of 
                the document for fraudulent purposes.
            ``(3) Drivers' licenses and personal identification 
        cards.--The Assistant Secretary shall include on the list to be 
        established under paragraph (1) drivers' licenses and personal 
        identification cards that meet the requirements of section 202 
        of the Real ID Act of 2005 (49 U.S.C. 30301 note).
    ``(c) Procedures and Standards.--In carrying out subsection (a), 
the Assistant Secretary shall establish--
            ``(1) procedures to match the name on a personal 
        identification document with the name on an airline boarding 
        document;
            ``(2) procedures to match the photograph on a personal 
        identification document with the passenger presenting the 
        document; and
            ``(3) standards for training personnel who check personal 
        identification documents to recognize unacceptable and false 
        identification documents.
    ``(d) Failure to Present Acceptable Identification Documents.--A 
passenger attempting to enter a sterile area of an airport in the 
United States who does not present an acceptable identification 
document shall be subject to such additional security screening as the 
Assistant Secretary determines to be appropriate before the passenger 
may be admitted to the sterile area.
    ``(e) Knowing Presentation of False Identification Documents; 
Penalties.--A passenger who knowingly presents a false identification 
document in an attempt to enter a sterile area of an airport in the 
United States shall be fined under title 18, United States Code, 
imprisoned for not more than 5 years, or both.
    ``(f) Definitions.--In this section, the following definitions 
apply:
            ``(1) False.--The term `false' has the meaning given such 
        term by section 1028(d) of title 18, United States Code.
            ``(2) Passenger.--The term `passenger' means an individual 
        to be carried aboard a passenger aircraft to be operated by an 
        air carrier or foreign air carrier in air transportation or 
        intrastate air transportation (as such terms are defined in 
        section 40102 of title 49, United States Code).
            ``(3) Sterile area.--The term `sterile area' means any part 
        of an airport that is regularly accessible to passengers after 
        having cleared a passenger security checkpoint.''.

SEC. 302. IMMEDIATE INTERNATIONAL PASSENGER PRESCREENING PILOT PROGRAM.

    (a) Pilot Program.--Not later than 90 days after the date of 
enactment of this Act, the Secretary of Homeland Security shall 
initiate a pilot program to evaluate the use of automated systems for 
the immediate prescreening of passengers on flights in foreign air 
transportation, as defined by section 40102 of title 49, United States 
Code, that are bound for the United States.
    (b) Requirements.--At a minimum, with respect to a passenger on a 
flight described in subsection (a) operated by an air carrier or 
foreign air carrier, the automated systems evaluated under the pilot 
program shall--
            (1) compare the passenger's information against the 
        integrated and consolidated terrorist watchlist maintained by 
        the Federal Government and provide the results of the 
        comparison to the air carrier or foreign air carrier before the 
        passenger is permitted board the flight;
            (2) provide functions similar to the advanced passenger 
        information system established under section 431 of the Tariff 
        Act of 1930 (19 U.S.C. 1431); and
            (3) make use of machine-readable data elements on passports 
        and other travel and entry documents in a manner consistent 
        with international standards.
    (c) Operation.--The pilot program shall be conducted--
            (1) in not fewer than 2 foreign airports; and
            (2) in collaboration with not fewer than one air carrier at 
        each airport participating in the pilot program.
    (d) Evaluation of Automated Systems.--In conducting the pilot 
program, the Secretary shall evaluate not more than 3 automated 
systems. One or more of such systems shall be commercially available 
and currently in use to prescreen passengers.
    (e) Privacy Protection.--The Secretary shall ensure that the 
passenger data is collected under the pilot program in a manner 
consistent with the standards established under section 552a of title 
5, United States Code.
    (f) Duration.--The Secretary shall conduct the pilot program for 
not fewer than 90 days.
    (g) Passenger Defined.--In this section, the term ``passenger'' 
includes members of the flight crew.
    (h) Report.--Not later than 30 days after the date of completion of 
the pilot program, the Secretary shall submit to the Committee on 
Homeland Security of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate a report containing 
the following:
            (1) An assessment of the technical performance of each of 
        the tested systems, including the system's accuracy, 
        scalability, and effectiveness with respect to measurable 
        factors, including, at a minimum, passenger throughput, the 
        rate of flight diversions, and the rate of false negatives and 
        positives.
            (2) A description of the provisions of each tested system 
        to protect the civil liberties and privacy rights of 
        passengers, as well as a description of the adequacy of an 
        immediate redress or appeals process for passengers denied 
        authorization to travel.
            (3) Cost projections for implementation of each tested 
        system, including--
                    (A) projected costs to the Department of Homeland 
                Security; and
                    (B) projected costs of compliance to air carriers 
                operating flights described in subsection (a).
            (4) A determination as to which tested system is the best-
        performing and most efficient system to ensure immediate 
        prescreening of international passengers. Such determination 
        shall be made after consultation with individuals in the 
        private sector having expertise in airline industry, travel, 
        tourism, privacy, national security, or computer security 
        issues.
            (5) A plan to fully deploy the best-performing and most 
        efficient system tested by not later than January 1, 2007.

SEC. 303. INTERNATIONAL COOPERATIVE EFFORTS.

    To ensure that the collection of passenger information is 
standardized among nations, the Secretary of Homeland Security is 
encouraged to pursue international cooperative efforts in the 
appropriate forum to set technology standards for passenger data and 
collection systems.

SEC. 304. COMPUTER ASSISTED PASSENGER PRESCREENING SYSTEM.

    (a) Report.--Not later than 6 months after the date of enactment of 
this Act, the Assistant Secretary for Homeland Security (Transportation 
Security Administration) shall submit to the Committee on Homeland 
Security of the House of Representatives and the Committees on Homeland 
Security and Governmental Affairs and Commerce, Science, and 
Transportation of the Senate a report containing--
            (1) information on the percentage of airline passengers 
        that are designated for secondary search on a daily basis by 
        the Computer Assisted Passenger Prescreening System (in this 
        section referred to as ``CAPPS'');
            (2) information on the percentage of such airline 
        passengers that have been found to be terrorists or associates 
        of terrorists;
            (3) information on the annual cost of administering CAPPS; 
        and
            (4) an evaluation of whether CAPPS screening should be 
        continued after the full deployment of the Secure Flight 
        program.
    (b) Form of Report.--The report prepared under this section may be 
submitted in a classified form.
    (c) Limitation on Secondary Screening.--The Assistant Secretary, in 
cooperation with appropriate Federal agencies and the representatives 
of the aviation industry, shall develop a process to ensure that a 
passenger who has successfully completed a finger-print based 
background check conducted by the Department of Homeland Security, or 
holds a security clearance issued by the Department of Homeland 
Security, is not subject to secondary screening as the result of a 
designation under CAPPS.

SEC. 305. SECURE FLIGHT PROGRAM.

    (a) Non-Federal Data.--Not later than 90 days after the date of 
enactment of this Act, the Secretary of Homeland Security shall begin 
to use data obtained from non-Federal sources to instantaneously verify 
or disprove the identity of an individual who as a result of 
implementation of the Secure Flight program (or any successor program 
related to advanced passenger prescreening) is delayed or prohibited 
from boarding an aircraft or is otherwise determined to pose a security 
threat.
    (b) Limitation.--The Secretary shall not purchase, compile, obtain, 
or otherwise possess any data obtained from non-Federal sources to 
verify or disprove the identity of an individual under subsection (a), 
other than data provided by an individual for the purpose of 
determining the individual's identity.

                   TITLE IV--MISCELLANEOUS PROVISIONS

SEC. 401. FEDERAL FLIGHT DECK OFFICERS.

    (a) Training and Requalification Training.--Section 44921(c) of 
title 49, United States Code, is amended by adding at the end the 
following:
            ``(3) Dates of training.--The Secretary shall ensure that a 
        pilot who is eligible to receive Federal flight deck officer 
        training is offered, to the maximum extent practicable, a 
        choice of training dates and is provided at least 30 days 
        advance notice of the dates.
            ``(4) Travel to training facilities.--The Secretary shall 
        establish a program to improve travel access to Federal flight 
        deck officer training facilities through the use of charter 
        flights or improved scheduled air carrier service.
            ``(5) Requalification and recurrent training.--
                    ``(A) Standards.--The Secretary shall establish 
                qualification standards for facilities where Federal 
                flight deck officers can receive requalification and 
                recurrent training.
                    ``(B) Locations.--The Secretary shall provide for 
                requalification and recurrent training at 
                geographically diverse facilities, including Federal, 
                State, and local law enforcement and government 
                facilities, and private training facilities that meet 
                the qualification standards established under 
                subparagraph (A).
            ``(6) Costs of training.--
                    ``(A) In general.--The Secretary shall provide 
                Federal flight deck officer training, requalification 
                training, and recurrent training to eligible pilots at 
                no cost to the pilots or the air carriers that employ 
                the pilots.
                    ``(B) Transportation and expenses.--The Secretary 
                may provide travel expenses to a pilot receiving 
                Federal flight deck officer training, requalification 
                training, or recurrent training.
            ``(7) Communications.--Not later than 180 days after the 
        date of enactment of this paragraph, the Secretary shall 
        establish a secure means for personnel of the Transportation 
        Security Administration to communicate with Federal flight deck 
        officers, and for Federal flight deck officers to communicate 
        with each other, in support of the mission of such officers. 
        Such means of communication may include a secure Internet 
        website.''.
    (b) Revocation of Deputization of Pilot as Federal Flight Deck 
Officer.--Section 44921(d)(4) of title 49, United States Code, is 
amended to read as follows:
            ``(4) Revocation.--
                    ``(A) Orders.--The Assistant Secretary of Homeland 
                Security (Transportation Security Administration) may 
                issue, for good cause, an order revoking the 
                deputization of a Federal flight deck officer under 
                this section. The order shall include the specific 
                reasons for the revocation.
                    ``(B) Hearings.--An individual who is adversely 
                affected by an order of the Assistant Secretary under 
                subparagraph (A) is entitled to a hearing on the 
                record. 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 Assistant Secretary.
                    ``(C) Appeals.--An appeal from a decision of an 
                administrative law judge as a result of a hearing under 
                subparagraph (B) shall be made to the Secretary or the 
                Secretary's designee.
                    ``(D) Judicial review of a final order.--The 
                determination and order of the Secretary revoking the 
                deputization of a Federal flight deck officer under 
                this section shall be final and conclusive unless the 
                individual against whom such an order is issued files 
                an application for judicial review under subchapter II 
                of chapter 5 of title 5 (popularly known as the 
                Administrative Procedure Act) within 60 days of entry 
                of such order in the appropriate United States court of 
                appeals.''.
    (c) Federal Flight Deck Officer Firearm Carriage Pilot Program.--
Section 44921(f) of title 49, United States Code, is amended by adding 
at the end the following:
            ``(4) Pilot program.--
                    ``(A) In general.--Not later than 90 days after the 
                date of enactment of this paragraph, the Secretary 
                shall implement a pilot program to allow pilots 
                participating in the Federal flight deck officer 
                program to transport their firearms on their persons. 
                The Secretary may prescribe any training, equipment, or 
                procedures that the Secretary determines necessary to 
                ensure safety and maximize weapon retention.
                    ``(B) Review.--Not later than 1 year after the date 
                of initiation of the pilot program, the Secretary shall 
                conduct a review of the safety record of the pilot 
                program and transmit a report on the results of the 
                review to Congress.
                    ``(C) Option.--If the Secretary as part of the 
                review under subparagraph (B) determines that the 
                safety level obtained under the pilot program is 
                comparable to the safety level determined under 
                existing methods of pilots carrying firearms on 
                aircraft, the Secretary shall allow all pilots 
                participating in the Federal flight deck officer 
                program the option of carrying their firearm on their 
                person subject to such requirements as the Secretary 
                determines appropriate.''.
    (d) Federal Flight Deck Officers on International Flights.--
            (1) Agreements with foreign governments.--The President is 
        encouraged to pursue aggressively agreements with foreign 
        governments to allow maximum deployment of Federal flight deck 
        officers on international flights.
            (2) Report.--Not later than 180 days after the date of 
        enactment of this Act, the President (or the President's 
        designee) shall submit to Congress a report on the status of 
        the President's efforts to allow maximum deployment of Federal 
        flight deck officers on international flights.
    (e) References to Under Secretary.--Section 44921 of title 49, 
United States Code, is amended--
            (1) in subsection (a) by striking ``Under Secretary of 
        Transportation for Security'' and inserting ``Secretary of 
        Homeland Security'';
            (2) by striking ``Under Secretary'' each place it appears 
        and inserting ``Secretary''; and
            (3) by striking ``Under Secretary's'' each place it appears 
        and inserting ``Secretary's''.
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