One Hundred Twelfth Congress of the United States of America 2d SessionBegun and held at the City of Washington on Tuesday, the third day of January, two thousand and twelve S. 1956 IN THE SENATE OF THE UNITED STATES AN ACT To prohibit operators of civil aircraft of the United States from participating in the European Union’s emissions trading scheme, and for other purposes.

1.

Short title

This Act may be cited as the European Union Emissions Trading Scheme Prohibition Act of 2011.

2.

Prohibition on participation in the European Union's emissions trading scheme

(a)

In general

The Secretary of Transportation shall prohibit an operator of a civil aircraft of the United States from participating in the emissions trading scheme unilaterally established by the European Union in EU Directive 2003/87/EC of October 13, 2003, as amended, in any case in which the Secretary determines the prohibition to be, and in a manner that is, in the public interest, taking into account— (1)the impacts on U.S. consumers, U.S. carriers, and U.S. operators; (2)the impacts on the economic, energy, and environmental security of the United States; and (3)the impacts on U.S. foreign relations, including existing international commitments. (b)

Public hearing

After determining that a prohibition under this section may be in the public interest, the Secretary must hold a public hearing at least 30 days before imposing any prohibition. (c)

Reassessment of determination of public interest

The Secretary— (1)may reassess a determination under subsection (a) that a prohibition under that subsection is in the public interest at any time after making such a determination; and (2)shall reassess such a determination after— (A)any amendment by the European Union to the EU Directive referred to in subsection (a); or (B)the adoption of any international agreement pursuant to section 3(1). (C)enactment of a public law or issuance of a final rule after formal agency rulemaking, in the United State to address aircraft emissions.

3.

Negotiations

(a)

In general

The Secretary of Transportation, the Administrator of the Federal Aviation Administration, and other appropriate officials of the United States Government— (1)should, as appropriate, use their authority to conduct international negotiations, including using their authority to conduct international negotiations to pursue a worldwide approach to address aircraft emissions, including the environmental impact of aircraft emissions; and (2)shall, as appropriate and except as provided in subsection (b), take other actions under existing authorities that are in the public interest necessary to hold operators of civil aircraft of the United States harmless from the emissions trading scheme referred to under section 2. (b)

Exclusion of payment of taxes and penalties

Actions taken under subsection (a)(2) may not include the obligation or expenditure of any amounts in the Airport and Airway Trust Fund established under section 9905 of the Internal Revenue Code of 1986, or amounts otherwise made available to the Department of Transportation or any other Federal agency pursuant to appropriations Acts, for the payment of any tax or penalty imposed on an operator of civil aircraft of the United States pursuant to the emissions trading scheme referred to under section 2.

4.

Definition of civil aircraft of the United States

In this Act, the term civil aircraft of the United States has the meaning given the term under section 40102(a) of title 49, United States Code.

Speaker of the House of Representatives Vice President of the United States and President of the Senate