[Congressional Record Volume 142, Number 33 (Tuesday, March 12, 1996)]
[House]
[Pages H2053-H2068]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       FEDERAL AVIATION ADMINISTRATION REVITALIZATION ACT OF 1995

  Mr. SHUSTER. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 2276), as amended, to establish the Federal Aviation 
Administration as an independent establishment in the executive branch, 
and for other purposes.
  The Clerk read as follows:

                               H.R. 2276

       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 ``Federal Aviation 
     Administration Revitalization Act of 1995''.

     SEC. 2. AMENDMENT OF 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 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. ESTABLISHMENT OF FEDERAL AVIATION ADMINISTRATION.

       Subtitle II is amended by adding at the end the following:

             ``CHAPTER 13--FEDERAL AVIATION ADMINISTRATION

                   ``SUBCHAPTER I--GENERAL PROVISIONS

``1301. Definitions.

            ``SUBCHAPTER II--ORGANIZATION AND ADMINISTRATIVE

``1311. Establishment.
``1312. Federal Aviation Board.
``1313. Officers.
``1314. Personnel management program.
``1315. Management Advisory Committee.
``1316. Authority to carry out certain transferred functions, duties, 
              and powers.

                      ``SUBCHAPTER III--AUTHORITY

``1331. Functions.

[[Page H2054]]

``1332. Regulations.
``1333. Finality of decisions; appeals.
``1334. Procurement program.
``1335. Judicial review of actions in carrying out certain transferred 
              duties and powers.

                   ``SUBCHAPTER I--GENERAL PROVISIONS

     ``Sec. 1301. Definitions

       ``In this chapter, the following definitions apply:
       ``(1) Administration.--The term `Administration' means the 
     Federal Aviation Administration established by section 1311.
       ``(2) Aeronautics, air commerce, and air navigation 
     facility.--The terms `aeronautics', `air commerce', and `air 
     navigation facility' have the same meanings given those terms 
     in section 40102(a) of this title.
       ``(3) Airport and airway trust fund.--The term `Airport and 
     Airway Trust Fund' means the Airport and Airway Trust Fund 
     established by section 9502 of the Internal Revenue Code of 
     1986.
       ``(4) Board.--The term `Board' means the Federal Aviation 
     Board established by section 1312.
       ``(5) Chief executive officer.--The term `Chief Executive 
     Officer' means the Chief Executive Officer of the Federal 
     Aviation Administration.

            ``SUBCHAPTER II--ORGANIZATION AND ADMINISTRATIVE

     ``Sec. 1311. Establishment

       ``There is established in the executive branch as an 
     independent establishment the Federal Aviation 
     Administration. The Administration shall succeed the Federal 
     Aviation Administration of the Department of Transportation 
     in existence on the day before the effective date of this 
     section.

     ``Sec. 1312. Federal Aviation Board

       ``(a) In General.--There is established a Federal Aviation 
     Board which shall serve as the head of the Administration.
       ``(b) Functions.--
       ``(1) In general.--The Board shall be responsible for the 
     major policy functions of the Administration, including the 
     following:
       ``(A) The appointment and removal of the Chief Executive 
     Officer and the approval of other senior officers of the 
     Administration under section 1313.
       ``(B) The approval and submission to Congress of major 
     contracts under section 1334(d).
       ``(C) The approval of major regulatory actions under 
     section 1332(b).
       ``(D) The issuance of letters of intent under section 
     47110(e).
       ``(E) The approval and submission to Congress of the 
     Administration's plans for personnel management and 
     acquisition management programs under sections 1314 and 1334.
       ``(F) The approval of the agency's annual budget 
     submission.
       ``(G) Long-range and strategic planning for the 
     Administration.
       ``(H) The representation of the Administration at public 
     events to the extent practicable.
       ``(I) Such other significant actions as the Board considers 
     appropriate.
       ``(2) Nondelegable functions.--The Board may not delegate 
     the functions described in subparagraphs (A) through (F) of 
     paragraph (1).
       ``(3) Not subject to entities created by executive order.--
     The Administration shall not submit decisions for the 
     approval of, and shall not be bound by the decisions or 
     recommendations of, any committee, board, or other 
     organization established by Executive order.
       ``(c) Membership.--
       ``(1) Voting members.--The Board shall be composed of 3 
     voting members to be appointed by the President, by and with 
     the advice and consent of the Senate. The initial members of 
     the Board shall be appointed as soon as practicable after the 
     date of the enactment of the Federal Aviation Administration 
     Revitalization Act of 1995.
       ``(2) Non-voting members.--The Secretary of Transportation 
     (or the Secretary's designee) and the Secretary of Defense 
     (or the Secretary's designee) shall serve as non-voting 
     members of the Board.
       ``(d) Qualifications.--
       ``(1) In general.--Members appointed to the Board under 
     subsection (c)(1) shall represent the public interest and 
     shall be selected from individuals who are knowledgeable in 
     aviation. Members of the Board may not--
       ``(A) have a pecuniary interest in, or own stock in or 
     bonds of, an aeronautical enterprise;
       ``(B) engage in another business, vocation, or employment; 
     and
       ``(C) be a member of any organization a substantial part of 
     whose activities are for the purpose of influencing aviation-
     related legislation.
       ``(2) Definition.--In this subsection, the term 
     `influencing legislation' has the meaning such term has under 
     section 4911(d) of the Internal Revenue Code of 1986 (26 
     U.S.C. 4911(d)).
       ``(e) Terms.--
       ``(1) In general.--Subject to paragraphs (2) and (3), each 
     member of the Board appointed under subsection (c)(1) shall 
     be appointed for a term of 7 years.
       ``(2) Terms of initial appointees.--As designated by the 
     President at the time of appointment, of the members first 
     appointed under subsection (c)(1)--
       ``(A) 1 shall be appointed for a term of 3 years;
       ``(B) 1 shall be appointed for a term of 5 years; and
       ``(C) 1 shall be appointed for a term of 7 years.
       ``(3) Vacancies.--Any member appointed under subsection 
     (c)(1) to fill a vacancy occurring before the expiration of 
     the term for which the member's predecessor was appointed 
     shall be appointed only for the remainder of that term. A 
     member may serve after the expiration of that member's term 
     until a successor has taken office.
       ``(f) Removal.--Members of the Board appointed under 
     subsection (c)(1) may be removed by the President for 
     inefficiency, neglect of duty, or malfeasance in office.
       ``(g) Chairperson.--The Chairperson of the Board shall be 
     appointed by the President, by and with the advice and 
     consent of the Senate. At the time of such appointment, the 
     President shall establish the term of the Chairperson. Such 
     term may not exceed the term of the Chairperson's appointment 
     to the Board.
       ``(h) Quorum.--Two members of the Board appointed under 
     subsection (c)(1) shall constitute a quorum for carrying out 
     the duties and powers of the Board.
       ``(i) Basic Pay.--
       ``(1) Chairperson.--The Chairperson of the Board shall be 
     paid at a rate equal to the rate of basic pay payable for 
     level II of the Executive Schedule.
       ``(2) Other members.--The other voting members of the Board 
     shall be paid at a rate equal to the rate of basic pay 
     payable for level III of the Executive Schedule.

     ``Sec. 1313. Officers

       ``(a) Chief Executive Officers.--
       ``(1) Appointment.--The Board shall appoint a Chief 
     Executive Officer.
       ``(2) Duties.--The Board shall delegate to the Chief 
     Executive Officer the responsibility for managing the day-to-
     day operation of the Administration, including (except as 
     provided in section 1312(b)) the hiring and firing of 
     employees, acquisition of facilities and equipment, issuance 
     of rules, airworthiness directives, and advisory circulars, 
     preparation of the annual budget submission, the awarding of 
     grants, and such other functions as the Board considers 
     appropriate.
       ``(3) Removal.--The Chief Executive Officer shall serve at 
     the pleasure of the Board; except that the Board shall make 
     every effort to ensure stability and continuity in the 
     leadership of the Administration.
       ``(4) Basic pay.--Subject to section 1314(f), the Chief 
     Executive Officer shall be paid at a rate to be determined by 
     the Board.
       ``(b) Other Officers.--Subject to the approval of the 
     Board, the Chief Executive Officer shall appoint other senior 
     officers who shall each have such duties as the Chief 
     Executive Officer may prescribe.
       ``(c) Chief Counsel.--Subject to the approval of the Board, 
     the Chief Executive Officer shall appoint a Chief Counsel who 
     shall be the chief legal officer for all legal matters 
     arising from the activities of the Administration.
       ``(d) Inspector General.--There shall be in the 
     Administration an Inspector General who shall be appointed in 
     accordance with the Inspector General Act of 1978 (5 U.S.C. 
     App.).
       ``(e) Aircraft Noise Ombudsman.--
       ``(1) Establishment.--There shall be in the Administration 
     an Aircraft Noise Ombudsman who shall be appointed by the 
     Board.
       ``(2) Duties and responsibilities.--The Ombudsman shall--
       ``(A) serve as a liaison with the public on issues 
     regarding aircraft noise; and
       ``(B) be consulted when the Administration proposes changes 
     in aircraft routes so as to minimize any increases in 
     aircraft noise over populated areas.

     ``Sec. 1314. Personnel management program

       ``(a) Exemption From Certain Provisions of Title 5, United 
     States Code.--
       ``(1) In general.--Except as otherwise provided in this 
     Act, the Administration shall be exempt from parts II and III 
     of title 5.
       ``(2) Effective date.--The exemption provided by paragraph 
     (1) shall not take effect until the expiration of the 180-
     period described in subsection (d)(2).
       ``(b) Development of Personnel Management System.--
       ``(1) In general.--Not later than 180 days after the date 
     of the enactment of the Federal Aviation Administration 
     Revitalization Act of 1995, the Board shall develop a 
     personnel management system for the Administration.
       ``(2) Consultation and negotiation.--In developing the 
     personnel management system, the Board shall negotiate with 
     the exclusive bargaining representatives of employees of the 
     Administration certified under section 7111 of title 5 and 
     other employees of the Administration and shall consult with 
     nongovernmental experts in personnel management systems. The 
     negotiation with the exclusive bargaining representatives 
     shall be completed on or before the 90th day after the date 
     of enactment referred to in paragraph (1).
       ``(3) Mediation.--If the Board does not reach an agreement 
     under paragraph (2) with the exclusive bargaining 
     representatives on any provision of the personnel management 
     system, the services of the Federal Mediation and 
     Conciliation Service shall be used to attempt to reach such 
     agreement. If the services of the Federal Mediation and 
     Conciliation Service do not lead to an agreement, the Board 
     shall include in the plan to be submitted to Congress under 
     subsection (d) the

[[Page H2055]]

     objections of the exclusive bargaining representatives and 
     the reasons for the objections.
       ``(4) Continuation of agreements.--Collective bargaining 
     agreements and labor management relations under chapter 71 of 
     title 5 shall remain in effect for the Administration until 
     amended or modified under the personnel management system.
       ``(5) Goals.--The goal of the personnel management system 
     to be developed by the Board under paragraph (1) shall be to 
     provide, consistent with the requirements of this section, 
     the Administration with the ability--
       ``(A) to hire and fire employees as in the private sector;
       ``(B) to promote and pay employees based on merit;
       ``(C) to provide market-based salaries (designed to attract 
     the best qualified employees) within available resources;
       ``(D) to provide pay increases and other incentives to 
     staff facilities that are difficult to staff;
       ``(E) to move personnel to those facilities where they are 
     most needed; and
       ``(F) to provide an opportunity for collective bargaining 
     and other consultation with employees concerning terms and 
     conditions of employment.
       ``(6) Safeguards.--The personnel management system shall 
     include safeguards to ensure that travel expenses of 
     employees of the Administration (including meal and lodging 
     expenses) are not excessive.
       ``(c) Experts Evaluation.--The arrangements entered into by 
     the Board with the experts consulted by the Board under 
     subsection (b) shall provide for those experts to evaluate 
     the personnel management system developed by the Board and 
     submit to Congress the results of such evaluation before the 
     last day of the 180-day period referred to in subsection 
     (b)(1).
       ``(d) Notice to Congress.--
       ``(1) In general.--Upon development of the personnel 
     management system under subsection (b), the Board shall 
     submit to Congress a comprehensive plan describing the 
     personnel management system, along with all existing or 
     proposed rules or regulations relevant to the system.
       ``(2) Implementation.--The Board may begin to implement the 
     personnel management system only after the expiration of the 
     180-day period that begins on the date of submission of the 
     plan to Congress under paragraph (1).
       ``(e) Employee Rights and Benefits.--Nothing in this 
     section shall be construed as exempting the Administration 
     and employees of the Administration from any of the following 
     provisions of title 5:
       ``(1) Section 2302(b)(8) (relating to whistleblower 
     protection) and related enforcement provisions.
       ``(2) Sections 3308 through 3320 (relating to veterans 
     preference).
       ``(3) Sections 7311(3) and 7311(4) (relating to limitations 
     on the right to strike).
       ``(4) Sections 2302(b)(1) and 7204 (relating to 
     antidiscrimination) and related enforcement provisions and 
     provisions of law referred to in section 2302(b)(1).
       ``(5) Chapter 71 (relating to labor-management relations).
       ``(6) Chapter 73 (relating to suitability, security, and 
     conduct).
       ``(7) Chapter 81 (relating to compensation for work 
     injuries).
       ``(8) Chapter 83 (relating to retirement).
       ``(9) Chapter 84 (relating to the Federal Employees' 
     Retirement System).
       ``(10) Chapter 85 (relating to unemployment compensation).
       ``(11) Chapter 87 (relating to life insurance).
       ``(12) Chapter 89 (relating to health insurance).
       ``(f) Pay Restrictions.--
       ``(1) Maximum rate of pay.--No officer (including the Chief 
     Executive Officer) or employee of the Administration may 
     receive annual pay in excess of the annual rate of basic pay 
     payable for level II of the Executive Schedule unless the 
     Board provides written notification to Congress of such 
     higher rate of pay and 30 days (excluding Saturdays, Sundays, 
     and holidays, and any day on which neither House of Congress 
     is in session because of an adjournment sine die, a recess of 
     more than 3 days, or an adjournment of more than 3 days) have 
     elapsed since the date of such notification.
       ``(2) Percentage of employees above level es-1 of senior 
     executive service.--Not more than 0.35 percent of the 
     officers (including members of the Board and the Chief 
     Executive Officer) and employees of the Administration may be 
     paid at a rate which equals or exceeds the rate payable for 
     level ES-1 of the Senior Executive Service.
       ``(3) Raises and bonuses.--No officer (including the Chief 
     Executive Officer) or employee of the Administration who is 
     paid at a rate which exceeds the rate payable for level ES-1 
     of the Senior Executive Service may receive in a calendar 
     year raises or bonuses (excluding cost-of-living increases 
     and increases that are the results of a promotion) that total 
     more than 15 percent of the annual rate of pay of the officer 
     or employee on the day before the first day of such calendar 
     year.
       ``(g) Contracts Between FAA and Former FAA Employees.--
     Before the Administration may enter into a contract with an 
     individual who has been employed by the Administration at any 
     time during the 2-year period preceding the expected date of 
     entry into the contract or with a corporation, partnership, 
     or other entity in which such a former employee is a partner, 
     principal officer, or majority stockholder or which is 
     otherwise controlled or predominantly staffed by 1 or more of 
     such former employees, the Board must first approve of the 
     entry into the contract as being essential to the mission of 
     the Administration.
       ``(h) Use of Unobligated Amounts for Bonuses and Deficit 
     Reduction.--
       ``(1) In general.--Of amounts available to the 
     Administration specifically for administrative expenses for a 
     fiscal year beginning after September 30, 1996, that the 
     Administration estimates on September 1 of that fiscal year 
     will not be obligated by an office of the Administration 
     before the end of the fiscal year--
       ``(A) the Board may use up to 50 percent to pay bonuses to 
     personnel of such office of the Administration; and
       ``(B) the remainder shall be divided between and deposited 
     in--
       ``(i) the general fund of the Treasury and used exclusively 
     for deficit reduction; and
       ``(ii) the Airport and Airway Trust Fund;

     in the same ratio that amounts appropriated for operations of 
     the Administration for that fiscal year from the General Fund 
     of the Treasury bears to amounts appropriated from the 
     Airport and Airway Trust Fund for that fiscal year.
       ``(2) Reports.--The Director of the Office of Management 
     and Budget shall submit a report to Congress by not later 
     than December 31 of each year on the implementation of this 
     subsection in the preceding fiscal year, describing the 
     effectiveness of this subsection in reducing the deficit.

     ``Sec. 1315. Management Advisory Committee

       ``(a) Establishment.--There is established an advisory 
     committee which shall be known as the Federal Aviation 
     Management Advisory Committee (hereinafter in this section 
     referred to as the `Management Advisory Committee').
       ``(b) Membership.--The Management Advisory Committee shall 
     consist of 17 members, who shall be appointed as follows:
       ``(1) 1 member appointed by the Speaker of the House of 
     Representatives;
       ``(2) 1 member appointed by the minority leader of the 
     House of Representatives;
       ``(3) 1 member appointed by the majority leader of the 
     Senate;
       ``(4) 1 member appointed by the minority leader of the 
     Senate;
       ``(5) 13 members appointed by the Board 12 of whom shall 
     represent 1 of the following interests:
       ``(A) Airline passengers.
       ``(B) General aviation and sport aviation.
       ``(C) Business aviation.
       ``(D) Hub airports.
       ``(E) Non-hub and general aviation airports.
       ``(F) Major airlines and national airlines.
       ``(G) Regional airlines and air taxis.
       ``(H) Cargo airlines and charter airlines.
       ``(I) Aircraft manufacturers.
       ``(J) Airline employees.
       ``(K) Federal Aviation Administration employees.
       ``(L) State aviation officials.
       ``(c) Functions.--The Management Advisory Committee shall 
     provide advice and counsel to the Administration on issues 
     which affect or are affected by the operations of the 
     Administration. The Management Advisory Committee shall hold 
     quarterly meetings. The Administration shall give the 
     Management Advisory Committee access to internal documents 
     (other than proprietary information and documents relating to 
     on-going litigation) and personnel of the Administration. The 
     Management Advisory Committee shall function as an oversight 
     resource for management, policy, spending, and regulatory 
     matters under the jurisdiction of the Administration.
       ``(d) Chairman.--The Management Advisory Committee shall 
     elect a chairman of the Management Advisory Committee from 
     among its members.
       ``(e) Terms of Members.--
       ``(1) Members appointed by congress.--Members appointed 
     under subsections (b)(1) through (b)(4) shall be appointed 
     for a term of 2 years.
       ``(2) Members appointed by the board.--Members appointed 
     under subsection (b)(5) shall be appointed for a term of 3 
     years.
       ``(f) Travel and Per Diem.--Each member of the Management 
     Advisory Committee shall be paid actual travel expenses, and 
     per diem in lieu of subsistence expenses when away from his 
     or her usual place of residence, in accordance with section 
     5703 of title 5.
       ``(g) Utilization of Personnel From FAA.--The 
     Administration shall make available to the Management 
     Advisory Committee such staff, information, and 
     administrative services and assistance as may reasonably be 
     required to enable the Management Advisory Committee to carry 
     out its responsibilities under this section.
       ``(h) Applicability of Federal Advisory Committee Act.--The 
     Management Advisory Committee shall be subject to the Federal 
     Advisory Committee Act (5 U.S.C. App.); except that section 
     14(a)(2)(B) of such Act (relating to the termination of 
     advisory committees) shall not apply to the Committee.

     ``Sec. 1316. Authority to carry out certain transferred 
       functions, duties, and powers

       ``Except as otherwise provided in this chapter, in carrying 
     out a function, duty, or power transferred under the Federal 
     Aviation Administration Revitalization Act of

[[Page H2056]]

     1995 (including the amendments made by such Act), the 
     Administration has the same authority that was vested in the 
     department, agency, or instrumentality of the United States 
     Government carrying out the function, duty, or power 
     immediately before the transfer. An action of the 
     Administration in carrying out the function, duty, or power 
     has the same effect as when carried out by the department, 
     agency, or instrumentality.

                      ``SUBCHAPTER III--AUTHORITY

     ``Sec. 1331. Functions

       ``(a) In General.--The functions of the Federal Aviation 
     Administration shall be all functions vested in the Board, 
     the Chief Executive Officer, or the Federal Aviation 
     Administration by this title or by law enacted after the date 
     of the enactment of this chapter. Such functions include 
     functions of the Administration, the Board, and the Chief 
     Executive Officer under the following provisions of this 
     title:
       ``(1) Section 308(b).
       ``(2) Section 353.
       ``(3) Section 1114(d).
       ``(4) Section 1131(c).
       ``(5) Subsections (c) and (d) of section 1132.
       ``(6) Section 1135.
       ``(7) Section 1153(c).
       ``(8) Subsections (a), (c), and (d) of section 40101.
       ``(9) Section 40102(a)(8).
       ``(10) Section 40103(b).
       ``(11) Section 40104.
       ``(12) Section 40105.
       ``(13) Section 40106(a).
       ``(14) Section 40107.
       ``(15) Section 40108.
       ``(16) Section 40109(b).
       ``(17) Subsections (a) and (b) of section 40110.
       ``(18) Section 40111.
       ``(19) Section 40112.
       ``(20) Section 40113.
       ``(21) Section 40114.
       ``(22) Section 40115.
       ``(23) Section 40117.
       ``(24) Section 40119.
       ``(25) Section 41714.
       ``(26) Chapter 441.
       ``(27) Chapter 443.
       ``(28) Chapter 445.
       ``(29) Chapter 447.
       ``(30) Chapter 449.
       ``(31) Chapter 451.
       ``(32) Chapter 453.
       ``(33) Chapter 461.
       ``(34) Section 46301.
       ``(35) Section 46302.
       ``(36) Section 46303.
       ``(37) Section 46304.
       ``(38) Section 46306.
       ``(39) Section 46308.
       ``(40) Section 46311.
       ``(41) Section 46313.
       ``(42) Section 46315.
       ``(43) Section 46316.
       ``(44) Chapter 465.
       ``(45) Chapter 471.
       ``(46) Chapter 473.
       ``(47) Chapter 475.
       ``(48) Chapter 481.
       ``(49) Chapter 491.
       ``(b) Incidental Functions.--In addition, the functions of 
     the Administration shall include all functions of the 
     Department of Transportation on the effective date of this 
     section which the Administration determines are incidental 
     to, helpful to, or necessary for the performance of the 
     functions referred to in subsection (a) or which relate 
     primarily to those functions.

     ``Sec. 1332. Regulations

       ``(a) General Authority.--The Administration may issue, 
     rescind, and amend such regulations as are necessary to carry 
     out its functions.
       ``(b) Approval of Board.--
       ``(1) General rule.--The Administration may only issue a 
     proposed regulation, final regulation, airworthiness 
     directive, or advisory circular that may result in the 
     expenditure by State, local, and tribal governments in the 
     aggregate, or by the private sector, of $10,000,000 or more 
     (adjusted annually for inflation) in any 1 year if the Board 
     first approves of the issuance of such regulation, directive, 
     or circular.
       ``(2) Emergency action.--In an emergency, the Chief 
     Executive Officer may issue a regulation, directive, or 
     circular described in paragraph (1) without prior Board 
     approval but subject to Board ratification following 
     issuance.
       ``(c) Review by DOT.--
       ``(1) Submission.--Before the Administration issues any 
     proposed or final regulation--
       ``(A) the Administration shall submit a copy of the 
     regulation to the Secretary of Transportation;
       ``(B) the Administration shall provide the Secretary with a 
     period of 5 days (excluding Saturdays, Sundays, and holidays) 
     beginning on the date of such submission to determine whether 
     or not the regulation is likely to have a significant effect 
     on other modes of transportation in the national 
     transportation system or the Secretary's aviation 
     responsibilities, including national defense 
     responsibilities; and
       ``(C) if the Secretary determines, before the last day of 
     such 5-day period, that the regulation is likely to have such 
     a significant effect, the Administration shall provide the 
     Secretary with an additional period of 45 days to assess the 
     effect of the regulation on other modes of transportation in 
     the national transportation system and the Secretary's 
     aviation responsibilities, including national defense 
     responsibilities.
       ``(2) Recommendations.--The Secretary may recommend to the 
     Administration modifications of a proposed or final 
     regulation necessary to minimize the adverse effect of such 
     regulation on other modes of transportation in the national 
     transportation system or the Secretary's aviation 
     responsibilities, including national defense 
     responsibilities. The Administration may make any 
     modifications recommended by the Secretary. If the 
     Administration does not make a modification recommended by 
     the Secretary, the Administration shall include in the 
     publication of the proposed or final regulation a description 
     of the recommended modification and the reasons for not 
     making the modification.
       ``(3) Exceptions.--This subsection shall not apply to the 
     following types of regulations:
       ``(A) Regulations pertaining to agency organization, 
     procedure, or practice.
       ``(B) Regulations pertaining solely to navigational aids.
       ``(C) Regulations pertaining solely to airspace 
     designations and configurations.
       ``(D) Regulations pertaining solely to standard instrument 
     approach procedures.
       ``(E) Regulations pertaining solely to aircraft design.
       ``(F) Regulations pertaining to the personnel management 
     system developed under section 1314.
       ``(G) Regulations pertaining to the acquisition management 
     system developed under section 1334.
       ``(4) Emergency action.--In an emergency, a regulation may 
     take effect for the duration of the emergency and before the 
     Secretary completes review of the regulation under this 
     subsection, as determined necessary by the Chief Executive 
     Officer or the Board.
       ``(d) Automatic Termination Date.--Any regulation issued by 
     the Administration after the effective date of this section 
     which is likely to result in the annual expenditure by State, 
     local, and tribal governments in the aggregate, or by the 
     private sector, of $25,000,000 or more (adjusted annually for 
     inflation) in any 1 year must contain an automatic 
     termination date. The termination date shall also apply to 
     any advisory circular issued by the Administration and 
     pertaining solely to such regulation.
       ``(e) Emergency Defined.--In this section, the term 
     `emergency' means a situation where there is good cause for 
     finding that consideration by the Board or by the Department 
     of Transportation is impracticable or contrary to the public 
     interest.

     ``Sec. 1333. Finality of decisions; appeals

       ``Decisions of the Administration made pursuant to the 
     exercise of the functions enumerated in subtitle VII of this 
     title shall be administratively final, and appeals as 
     currently authorized by law shall be taken directly to the 
     National Transportation Safety Board or to any court of 
     competent jurisdiction, as appropriate.

     ``Sec. 1334. Procurement program

       ``(a) Exemption From Procurement Laws.--
       ``(1) In general.--The following laws and regulations shall 
     not apply to the Federal Aviation Administration:
       ``(A) Title III of the Federal Property and Administrative 
     Services Act of 1949 (41 U.S.C. 251-266).
       ``(B) The Office of Federal Procurement Policy Act (41 
     U.S.C. 401 et seq.).
       ``(C) The Federal Acquisition Streamlining Act of 1994 
     (Public Law 103-355).
       ``(D) The Small Business Act (15 U.S.C. 631 et seq.); 
     except that the Administration shall provide reasonable 
     opportunities to small business concerns and small business 
     concerns owned and controlled by socially and economically 
     disadvantaged individuals to be awarded contracts.
       ``(E) Subchapter V of chapter 35 of title 31 (relating to 
     the procurement protest system).
       ``(F) The Brooks Automatic Data Processing Act (40 U.S.C. 
     759).
       ``(G) Section 3709 of the Revised Statutes of the United 
     States (41 U.S.C. 5).
       ``(H) The Federal Acquisition Regulation and any laws not 
     listed in subparagraphs (A) through (G) providing authority 
     to promulgate regulations in the Federal Acquisition 
     Regulation.
       ``(2) Effective date.--The exemption provided by paragraph 
     (1) shall not take effect until the expiration of the 180-day 
     period referred to in subsection (c)(2).
       ``(b) Development of Acquisition Management System.--
       ``(1) In general.--Not later than 180 days after the date 
     of the enactment of the Federal Aviation Administration 
     Revitalization Act of 1995, the Federal Aviation Board, in 
     consultation with such nongovernmental experts in acquisition 
     management systems as the Board may employ, shall develop an 
     acquisition management system for the Administration.
       ``(2) Consultation.--In developing the acquisition 
     management system, the Board shall consult nongovernmental 
     experts in acquisition management systems.
       ``(3) Goals.--The acquisition management system to be 
     developed by the Board under paragraph (1) shall be 
     designed--
       ``(A) to ensure that services are procured and new 
     equipment is installed and certified as quickly as possible 
     without sacrificing principles of fairness and protection 
     against waste, fraud, and abuse; and
       ``(B) to ensure a common interoperable air traffic control 
     system with the military.

[[Page H2057]]

       ``(4) Experts evaluation.--The arrangements entered into by 
     the Board with the experts consulted by the Board under 
     paragraph (2) shall provide for those experts to evaluate the 
     acquisition management system developed by the Board and 
     submit to Congress the results of such evaluation before the 
     last day of the 180-day period referred to in paragraph (1).
       ``(c) Notice to Congress.--
       ``(1) In general.--Upon the development of the acquisition 
     management system, the Board shall submit a comprehensive 
     plan describing the acquisition management system to 
     Congress, along with all existing or proposed rules or 
     regulations relevant to the system.
       ``(2) Implementation.--The Administration may begin to 
     implement the acquisition management system only after the 
     expiration of the 180-day period that begins on the date on 
     which the plan is submitted to Congress under paragraph (1). 
     The acquisition management system shall apply to contracts 
     entered into after the expiration of such 180-day period.
       ``(d) Contracts.--
       ``(1) Approval of certain contracts.--The Administration 
     may only enter into a contract that has a total contract 
     value, including all options, of an amount greater than 
     $100,000,000 if the Board first approves of the entry into 
     the contract.
       ``(2) Notice to congress of certain contracts.--In addition 
     to complying with paragraph (1), the Administration may only 
     enter into a contract that has a total contract value, 
     including all options, of an amount greater than $250,000,000 
     if the Board provides written notice to Congress of the 
     proposed entry into the contract, together with a description 
     of the contract and at least 30 calendar days elapse after 
     the date of such notification.

     ``Sec. 1335. Judicial review of actions in carrying out 
       certain transferred duties and powers

       ``(a) Judicial Review.--An action of the Administration in 
     carrying out a duty or power transferred under the Department 
     of Transportation Act (Public Law 89-670) and under the 
     Federal Aviation Administration Revitalization Act of 1995 
     and an action of the Administrator of the Federal Aviation 
     Administration in carrying out a duty or power specifically 
     assigned to the Administrator by the Department of 
     Transportation Act and transferred to the Administration by 
     the Federal Aviation Administration Revitalization Act of 
     1995 may be reviewed judicially to the same extent and in the 
     same way as if the action had been an action by the 
     department, agency, or instrumentality of the United States 
     Government carrying out the duty or power immediately before 
     the transfer.
       ``(b) Application of Procedural Requirements.--A statutory 
     requirement related to notice, an opportunity for a hearing, 
     action on the record, or administrative review that applied 
     to a duty or power transferred by the Acts referred to in 
     subsection (a) applies to the Administration when carrying 
     out the duty or power.''.

     SEC. 4. BUDGET OF ADMINISTRATION.

       (a) In General.--Section 48109 of title 49, United States 
     Code, is amended to read as follows:

     ``Sec. 48109. Budget information and legislative 
       recommendations and comments

       ``(a) Preparation.--Subject to approval of the Federal 
     Aviation Board, the Chief Executive Officer shall prepare an 
     annual budget for the Administration.
       ``(b) Submission of Budget to DOT.--
       ``(1) In general.--At the same time that agencies of the 
     Department of Transportation having jurisdiction over other 
     modes of transportation are required to submit their budgets 
     to the Secretary of Transportation, the Administration shall 
     submit to the Secretary the budget prepared by the 
     Administration and approved by the Board. The Secretary shall 
     review the budget and may recommend to the Administration 
     modifications in the budget necessary to ensure that the 
     budget is consistent with the needs of the national 
     transportation system and the Secretary's aviation 
     responsibilities. The Administration may modify the budget to 
     adopt any recommendation made by the Secretary.
       ``(2) Opportunity for comment.--At least 30 days before 
     submitting a budget to the Secretary under paragraph (1), the 
     Administration shall submit a draft of the budget to the 
     Management Advisory Committee established by section 1315 for 
     comment.
       ``(c) Submission of Budget to Congress.--
       ``(1) In general.--When the Board submits to the President 
     or the Director of the Office of Management and Budget any 
     budget information, legislative recommendation, or comment on 
     legislation about amounts authorized in section 48101 or 
     section 48102, the Board concurrently shall submit a copy of 
     the information, recommendation, or comment to the Speaker of 
     the House of Representatives, the Committees on 
     Transportation and Infrastructure and Appropriations of the 
     House of Representatives, the President of the Senate, and 
     the Committees on Commerce, Science, and Transportation and 
     Appropriations of the Senate.
       ``(2) Special rule with respect to annual budgets.--The 
     annual budget of the Administration submitted to Congress 
     shall include--
       ``(A) budget requests and Airport and Airway Trust Fund 
     estimates for the ensuing 4 fiscal years;
       ``(B) a numerical ranking, by degree of importance to the 
     national airspace system, of the Administration's requests 
     for funding of air traffic control modernization projects 
     under section 48101;
       ``(C) the total number of man-years of direct effort the 
     Administration estimates it will use under support service 
     contracts (including professional, technical, engineering, 
     site preparation, and installation and other services 
     comparable to those performed by Government employees, but 
     not including maintenance as part of a supply contract, 
     janitorial, research and development, or construction 
     services or services incidental to supply contracts) during 
     the fiscal year for which the budget is being submitted;
       ``(D) any modifications made by the Administration under 
     subsection (b) with respect to the budget; and
       ``(E) if the Administration does not adopt a recommendation 
     made by the Secretary under subsection (b), a description of 
     the recommendation and the reasons for not adopting the 
     recommendation.

     Subparagraph (C) shall take effect with the budget submission 
     for fiscal year 1997. The estimate under subparagraph (C) for 
     such budget submission shall include for comparison the 
     estimated total number of man-years of direct effort the 
     Administration used under such support service contracts in 
     each of fiscal years 1992 and 1995.''.
       (b) Conforming Amendment.--The analysis for chapter 481 is 
     amended by striking the item relating to section 48109 and 
     inserting the following:

``48109. Budget information and legislative recommendations and 
              comments.''.

     SEC. 5. COST-BENEFIT ANALYSIS FOR MINIMUM SAFETY STANDARDS.

       Section 44701 is amended by adding at the end the 
     following:
       ``(f) Cost-Benefit Analysis.--
       ``(1) In general.--For any regulation or standard to be 
     issued under subsection (a) or (b) that is likely to result 
     in annualized compliance costs in excess of $25,000,000, the 
     Administration shall, in addition to other requirements in 
     law, identify and publish together with such regulation or 
     standard the following:
       ``(A) The benefits of the regulation or standard, 
     quantified where appropriate and feasible, and otherwise 
     qualitatively described, including in appropriate cases, the 
     nature and number of deaths or injuries that the regulation 
     or standard is designed to prevent.
       ``(B) The approximate number of aircraft, airports, airmen, 
     or cabin crew affected by the regulation or standard.
       ``(C) The probable cost of fulfilling the requirements of 
     the regulation or standard, quantified where appropriate and 
     feasible, and otherwise qualitatively described, including in 
     appropriate cases any adverse effects on competition or 
     disruption or dislocation of air service or other commercial 
     practices engaged in by the entities affected by such 
     requirements.
       ``(D) Alternative means of achieving the objective of the 
     regulation or standard while minimizing the costs, adverse 
     effects on competition, and the disruption or dislocation of 
     air service or the commercial practices affected by the 
     regulation or standard and a statement as to why the 
     Administration chose the regulation or standard adopted in 
     preference to the alternatives considered.
       ``(2) Emergency.--In the case of an emergency, the Chief 
     Executive Officer or the Board may suspend the application of 
     this subsection for the duration of the emergency.
       ``(3) Nonapplicability to advisory circulars.--This 
     subsection shall not apply to advisory circulars.''.

     SEC. 6. AMENDMENT TO INSPECTOR GENERAL ACT OF 1978.

       Section 11 of the Inspector General Act of 1978 (5 U.S.C. 
     App.) is amended--
       (1) in paragraph (1) by inserting ``or Federal Aviation 
     Administration'' after ``Community Service''; and
       (2) in paragraph (2) by inserting ``the Federal Aviation 
     Administration,'' after ``United States Information 
     Agency,''.

     SEC. 7. PASSENGER FACILITY CHARGES.

       (a) Fee Retained by Airlines.--
       (1) Deadline for response to petition.--Not later than 75 
     days after the date of the enactment of this Act, the 
     Administrator of the Federal Aviation Administration shall 
     issue a notice of a proposed rulemaking or a denial of the 
     petition in Docket 27791 of the Federal Aviation 
     Administration (relating to increasing the fee that airlines 
     retain in collecting passenger facility charges).
       (2) Effect of failure to respond.--If the Administrator 
     does not respond to the petition in the docket referred to in 
     paragraph (1) as required by paragraph (1), the fee increase 
     sought by the petitioner in such docket shall become 
     effective after the 75th day referred to in paragraph (1) 
     until such date as the Administrator responds to such 
     petition.
       (b) Review of Program.--The Secretary of Transportation 
     shall complete the review required by section 121 of the 
     Federal Aviation Administration Reauthorization Act of 1994 
     (108 Stat. 1581) not later than the 75th day following the 
     date of the enactment of this Act.

     SEC. 8. SELECT PANEL TO REVIEW INNOVATIVE FUNDING MECHANISMS.

       (a) Establishment.--The Federal Aviation Board shall 
     establish a select panel to review

[[Page H2058]]

     and report to Congress regarding innovative financing 
     mechanisms for ensuring adequate funding for existing and 
     future aviation infrastructure needs and for funding the 
     operations of the Federal Aviation Administration in a manner 
     that would provide for future growth in the Nation's air 
     traffic system, improve the management and performance of the 
     air traffic control system, and make the Administration more 
     efficient and effective. The financing mechanisms to be 
     reviewed shall include, but not be limited to, loan 
     guarantees, financial partnerships with for-profit private 
     sector entities, multi-year appropriations, revolving loan 
     funds, mandatory spending authority, authority to borrow, and 
     restructured grant programs.
       (b) Appointment of Members.--Not later than 90 days after 
     the date of the appointment of at least 2 members of the 
     Board, the Board shall appoint members to the panel 
     established under this section. Such members shall consist of 
     appropriate Federal Government officials and representatives 
     of the aviation industry, Administration employees, the 
     financial community, and State and local governments.
       (c) Independent Audit.--Immediately following appointment 
     of the panel, and utilizing funds appropriated for Federal 
     Aviation Administration headquarters operations, the panel 
     shall contract with an entity independent of the Federal 
     Aviation Administration and the Department of Transportation 
     to conduct a complete audit of the financial requirements of 
     the agency, including anticipated air traffic forecasts, 
     other workload measures, and estimated productivity gains 
     which lead to budgetary requirements. The independent audit 
     shall be completed no later than 180 days after contract 
     award and shall be submitted to the panel.
       (d) Travel and Per Diem.--Each member of the panel 
     established under this section shall be paid actual travel 
     expenses, and per diem in lieu of subsistence expenses when 
     away from his or her usual place of residence, in accordance 
     with section 5703 of title 5, United States Code.
       (e) Applicability of Federal Advisory Committees Act.--The 
     select panel established under this section shall be subject 
     to the Federal Advisory Committee Act (5 U.S.C. App.).
       (f) Report.--Not later than 1 year after the date of the 
     appointment of the last member to the panel under subsection 
     (b), the panel shall submit to Congress and the Federal 
     Aviation Administration a report on the results of the review 
     conducted under this section.

     SEC. 9. TRANSFER OF PERSONNEL, PROPERTY, RECORDS, AND FUNDS.

       So much of the personnel, property, records, funds, 
     accounts, and unexpended balances of appropriations, 
     allocations, and other funds of the Department of 
     Transportation and the Federal Aviation Administration as are 
     employed, used, held, available, or to be made available, in 
     connection with the functions which under this Act (including 
     the amendments made by this Act) are made functions of the 
     Federal Aviation Administration established by section 1311 
     of title 49, United States Code, are transferred to the 
     Federal Aviation Administration.

     SEC. 10. SAVINGS PROVISIONS.

       (a) Orders, Regulations, Contracts, and Certificates.--All 
     orders, determinations, rules, regulations, permits, 
     contracts, certificates, licenses, and privileges--
       (1) which have been issued, made, granted, or allowed to 
     become effective by the President or any Federal department 
     or agency or official thereof or by a court of competent 
     jurisdiction, on or after the effective date of this section 
     in regard to functions which under this Act (including the 
     amendments made by this Act) are made functions of the 
     Federal Aviation Administration established by section 1311 
     of title 49, United States Code; and
       (2) which are in effect on the effective date of this 
     section,

     shall continue in effect according to their terms until 
     modified, terminated, superseded, set aside, or revoked in 
     accordance with law by the President, the Federal Aviation 
     Board, or other authorized officials, by a court of competent 
     jurisdiction, or by operation of law.
       (b) Proceedings and Applications.--The provisions of this 
     Act (including the amendments made by this Act) shall not 
     affect any proceedings or any application for any license, 
     permit, certificate, or financial assistance pending on the 
     effective date of this section, and such proceedings and 
     applications, to the extent that they relate to functions 
     under this Act that are made functions of the Administration, 
     shall be continued. Orders shall be issued in such 
     proceedings, appeals shall be taken therefrom, and payments 
     shall be made pursuant to such orders, as if this Act had not 
     been enacted; and orders issued in any such proceedings shall 
     continue in effect until modified, terminated, superseded, or 
     revoked by a duly authorized official, by a court of 
     competent jurisdiction, or by operation of law. Nothing in 
     this subsection shall be deemed to prohibit the 
     discontinuance or modification of any such proceeding under 
     the same terms and conditions and to the extent that such 
     proceeding could have been discontinued or modified if this 
     Act had not been enacted.
       (c) Suits.--
       (1) Effect on pending suits.--The provisions of this Act 
     (including the amendments made by this Act) shall not affect 
     suits commenced prior to the effective date of this section.
       (2) Procedures.--In all suits commenced prior to the 
     effective date of this section, proceedings shall be had, 
     appeals taken, and judgments rendered in the same manner and 
     effect as if this Act had not been enacted.
       (d) Administrator.--If the Chief Executive Officer of the 
     Federal Aviation Administration is not appointed by the 
     Federal Aviation Board on the effective date of this section, 
     the person serving as the Administrator of the Federal 
     Aviation Administration on the day before such effective date 
     shall act as the Chief Executive Officer until the Chief 
     Executive Officer is appointed as provided in section 1313 of 
     title 49, United States Code. While so acting, such person 
     shall receive compensation at the rate such person was 
     receiving on the day before such effective date.
       (e) Agreements With Department of Defense.--Any agreement 
     between the Federal Aviation Administration and the 
     Department of Defense in effect on the day before the date of 
     the enactment of this Act shall remain in effect until 
     terminated in accordance with the terms of such agreement.

     SEC. 11. LAWS AND REGULATIONS.

       Except to the extent otherwise provided in this Act 
     (including the amendments made by this Act), all laws, rules, 
     regulations, and executive orders in effect and applicable to 
     the Federal Aviation Administration of the Department of 
     Transportation and to the Administrator of such 
     Administration on the day before the effective date of this 
     Act shall, on and after such effective date, be applicable to 
     the Federal Aviation Administration and the Federal Aviation 
     Board established by this Act (including the amendments made 
     by this Act), until such law, rule, regulation, or executive 
     order is repealed or otherwise modified or amended.

     SEC. 12. TERMINATION OF FAA OF DOT.

       The Federal Aviation Administration of the Department of 
     Transportation is terminated.

     SEC. 13. CORRESPONDING REDUCTIONS IN OFFICE OF SECRETARY.

       The Secretary of Transportation shall terminate 200 
     employee positions in the Office of the Secretary to reflect 
     reductions in the aviation responsibilities in the Office of 
     the Secretary by enactment of this Act.

     SEC. 14. CONFORMING AMENDMENTS.

       (a) Federal Aviation Administration in DOT.--
       (1) In general.--Subject to paragraph (2), subsections (a) 
     through (j) of section 106 are repealed.
       (2) Technical adjustments.--
       (A) In general.--Subchapter II of chapter 13 (as inserted 
     by section 3 of this Act) is amended--
       (i) by adding at the end the following new section heading:

     ``Sec. 1317. Civil Aeromedical Institute''; and

       (ii) by inserting the text of section 106(j) as an 
     undesignated paragraph under such section heading.
       (B) Chapter analysis amendment.--The analysis for such 
     chapter is amended by adding after the item relating to 
     section 1316 the following:

``1317. Civil Aeromedical Institute.''.

       (3) Authorization of appropriations for faa operations.--
       (A) Fiscal year 1996.--Section 106(k) is amended by--
       (i) striking ``(k) Authorization of Appropriations for 
     Operations.--''; and
       (ii) by striking ``Secretary of Transportation'' and 
     inserting ``Federal Aviation Administration''.
       (B) Conforming amendment.--Effective September 30, 1996, 
     section 106, as amended by this subsection, and the item 
     relating to section 106 in the analysis for chapter 1 are 
     repealed.
       (b) General Duties and Powers of the Department of 
     Transportation.--
       (1) Leadership, consultation, and cooperation.--Section 
     301(6) is amended by striking ``, with particular attention 
     to aircraft noise, and including'' and inserting ``and''.
       (2) Policy on lands, wildlife and waterfowl refuges, and 
     historic sites.--Section 303 is amended--
       (A) in subsection (b) by inserting ``and the Federal 
     Aviation Administration'' after ``of Transportation''; and
       (B) in subsection (c) by inserting ``and Administration'' 
     after ``Secretary''.
       (3) Reports.--Section 308(b) is amended--
       (A) by striking ``Secretary'' the 1st place it appears and 
     inserting ``Federal Aviation Board'';
       (B) by striking ``Department'' and inserting ``Federal 
     Aviation Administration''; and
       (C) by striking ``Secretary'' the 2nd and 3rd places it 
     appears and inserting ``Board''.
       (4) Members of the armed forces.--Section 324 is amended--
       (A) by striking subsection (a) and inserting the following:
       ``(a) In General.--
       ``(1) FAA.--The Federal Aviation Administration, to ensure 
     that national defense interests are safeguarded properly and 
     that the Administration is advised properly about the needs 
     and special problems of the armed forces, shall provide for 
     participation of members of the armed forces in carrying out 
     the duties and powers of the Administration related to the 
     regulation and protection of air traffic, including providing 
     for, and research and development of, air navigation 
     facilities, and the allocation of airspace.

[[Page H2059]]

       ``(2) Secretary of transportation.--The Secretary of 
     Transportation may provide for participation of members of 
     the armed forces in carrying out other duties and powers of 
     the Secretary.''; and
       (B) in subsection (d) by inserting after ``Transportation'' 
     each place it appears the following: ``or Federal Aviation 
     Administration''.
       (5) Judicial review.--Section 351(a) is amended--
       (A) by striking ``An'' and inserting ``Subject to section 
     1335, an''; and
       (B) by striking ``, the Federal Highway Administration, or 
     the Federal Aviation Administration'' and inserting ``or the 
     Federal Highway Administration''.
       (6) Authority to carry out certain transferred duties and 
     powers.--Section 352 is amended by striking ``, the Federal 
     Highway Administration, and the Federal Aviation 
     Administration'' and inserting ``and the Federal Highway 
     Administration''.
       (7) Toxicological testing.--Section 353(a) is amended--
       (A) by inserting before ``conducts'' the following: ``or 
     the Federal Aviation Administration'';
       (B) by inserting after ``Department'' the second place it 
     appears ``or Administration''; and
       (C) by inserting before ``shall'' each place it appears 
     ``or Chief Executive Officer of the Administration''.
       (c) Functions of FAA.--
       (1) National transportation safety board.--
       (A) Disclosure of drug test information to ntsb.--Section 
     1114(d)(1) is amended--
       (i) by inserting before ``shall'' the following: ``and the 
     Federal Aviation Administration'';
       (ii) in subparagraph (A) by inserting before ``under post-
     accident'' the following: ``or the Administration''; and
       (iii) in subparagraph (A) by inserting before ``, when'' 
     the following: ``or the Administration''.
       (B) Investigation of certain accidents.--Section 1131(c)(1) 
     is amended by inserting ``or the Federal Aviation 
     Administration, as the case may be,'' after 
     ``Transportation''.
       (C) Civil aircraft accident investigations.--Section 1132 
     is amended--
       (i) in the heading to subsection (c) by striking 
     ``Secretary'' and inserting ``Federal Aviation 
     Administration'';
       (ii) in subsection (c) by striking ``Secretary of 
     Transportation'' and inserting ``Federal Aviation 
     Administration'';
       (iii) in subsection (c) by striking ``Secretary'' the 2nd 
     and 3rd places it appears and inserting ``Administration''; 
     and
       (iv) in subsection (d) by striking ``Secretary'' each place 
     it appears and inserting ``Administration''.
       (D) Review of other agency action.--Section 1133(1) is 
     amended by striking ``Secretary of Transportation'' and 
     inserting ``Federal Aviation Administration''.
       (E) Responses to safety recommendations.--Section 1135 is 
     amended--
       (i) by striking the section heading and inserting the 
     following:

     ``Sec. 1135. DOT's and FAA's responses to safety 
       recommendations'';

       (ii) in subsection (a) by inserting after ``Secretary of 
     Transportation'' the following: ``or the Federal Aviation 
     Administration'';
       (iii) in subsection (a) by inserting ``or the 
     Administration'' after ``Secretary'' the 2nd and 3rd places 
     it appears;
       (iv) in subsection (d) by striking ``shall'' and inserting 
     ``and the Administration shall each'';
       (v) in subsection (d) by inserting before ``during'' the 
     following: ``or Administration''; and
       (vi) in subsection (d) by inserting after ``Secretary's'' 
     the following: ``or Administration's''.
       (F) Judicial review.--Section 1153(c) is amended--
       (i) in the subsection heading by striking ``Administrator'' 
     and inserting ``Administration'';
       (ii) by striking ``the Administrator of''; and
       (iii) by striking ``Administrator'' the second and third 
     places it appears and inserting ``Administration''.
       (G) Conforming amendment.--The analysis to chapter 11 is 
     amended by striking the item relating to section 1135 and 
     inserting the following:

``1135. DOT's and FAA's responses to safety recommendations.''.

       (2) Intermodal transportation advisory board.--Section 
     5502(b) is amended to read as follows:
       ``(b) Membership.--The Board consists of--
       ``(1) the Secretary, who serves as chairman;
       ``(2) the Chief Executive Officer of the Federal Aviation 
     Administration or the Chief Executive Officer's designee; and
       ``(3) the Administrator, or the Administrator's designee, 
     of--
       ``(A) the Federal Highway Administration;
       ``(B) the Maritime Administration;
       ``(C) the Federal Railroad Administration; and
       ``(D) the Federal Transit Administration.''.
       (3) General provisions relating to air commerce and 
     safety.--
       (A) Policy.--Section 40101 is amended--
       (i) in subsection (a) by inserting after ``Secretary of 
     Transportation'' the following: ``and the Federal Aviation 
     Administration'';
       (ii) in subsection (c) by striking ``Administrator of 
     the''; and
       (iii) in subsection (d) by striking ``Administrator'' and 
     inserting ``Administration''.
       (B) Definitions.--Section 40102(a) is amended--
       (i) in paragraphs (8)(B) and (37) by striking ``the 
     Administrator of'';
       (ii) in paragraph (20) by striking ``Administrator'' and 
     inserting ``Federal Aviation Administration''; and
       (iii) by moving the second sentence of paragraph (37) 2 ems 
     to the left.
       (C) Sovereignty and use of air space.--Section 40103 is 
     amended--
       (i) in subsection (a)(2) by inserting after ``Secretary of 
     Transportation'' the following: ``and the Federal Aviation 
     Administration''; and
       (ii) in subsection (b)--

       (I) by striking ``Administrator of the''; and
       (II) by striking ``Administrator'' each place it appears 
     after the first and inserting ``Administration''.

       (D) Promotion of civil aeronautics and air commerce.--
     Section 40104 is amended--
       (i) in subsection (a) by striking ``Administrator of the'';
       (ii) in subsection (a) by striking ``Administrator'' each 
     place it appears after the first and inserting 
     ``Administration''; and
       (iii) in subsection (b) by striking ``Secretary of 
     Transportation'' and inserting ``Administration''.
       (E) International negotiations, agreements, and 
     obligations.--Section 40105 is amended--
       (i) in subsection (a) by striking ``Administrator of the'';
       (ii) in the heading to subsection (b) by striking 
     ``Administrator'' and inserting ``Administration'';
       (iii) in subsection (b)(1) by striking ``Administrator'' 
     and inserting ``Administration''; and
       (iv) in subsection (c)(1) by inserting before the semicolon 
     ``and the Federal Aviation Administration''.
       (F) Emergency powers.--Section 40106 is amended--
       (i) in subsection (a)--

       (I) in paragraph (1) by striking ``Administrator of the''; 
     and
       (II) in paragraph (2) by striking ``Administrator'' and 
     inserting ``Administration''; and

       (ii) in subsection (b)(2) by inserting after ``Secretary of 
     Transportation'' the following: ``or the Federal Aviation 
     Administration''.
       (G) Presidential transfers.--Section 40107 is amended--
       (i) in subsection (a) by striking ``Administrator of the''; 
     and
       (ii) by striking ``Administrator'' each place it appears 
     after the first and inserting ``Administration''.
       (H) Training schools.--Section 40108 is amended--
       (i) in subsection (a) by striking ``Administrator of the''; 
     and
       (ii) by striking ``Administrator'' each place it appears 
     after the first and inserting ``Administration''.
       (I) Authority to exempt.--Section 40109(b) is amended--
       (i) by striking ``Administrator of the''; and
       (ii) by striking ``Administrator'' the second place it 
     appears and inserting ``Administration''.
       (J) General procurement authority.--Section 40110 is 
     amended--
       (i) in subsection (a) by striking ``Administrator of the'';
       (ii) in subsection (a)(1) by striking ``Administrator'' and 
     inserting ``Administration'';
       (iii) in subsection (b) by striking ``Administrator of'' 
     the first place it appears and inserting ``Chief Executive 
     Officer of'';
       (iv) in subsection (b)(2)(E) by striking ``Administrator of 
     the''; and
       (v) in subsection (b)(2)(E) by striking ``Administrator;'' 
     and inserting ``Administration;''.
       (K) Multiyear procurement contracts for services and 
     related items.--Section 40111 is amended--
       (i) in subsection (a) by striking ``Administrator of the''; 
     and
       (ii) in subsections (b) and (c) by striking 
     ``Administrator'' each place it appears and inserting 
     ``Administration''.
       (L) Multiyear procurement contracts for property.--Section 
     40112 is amended--
       (i) in subsection (a) by striking ``Administrator of the'';
       (ii) in subsections (b), (c), and (e)(2) by striking 
     ``Administrator'' each place it appears and inserting 
     ``Administration''; and
       (iii) by adding at the end the following:
       ``(g) Limitation.--This section and section 40111 shall not 
     be effective to the extent they are inconsistent with the 
     acquisition management system being implemented under section 
     1334.''.
       (M) Administrative.--Section 40113 is amended--
       (i) in subsection (a) by striking ``(or the Administrator 
     of'' and inserting ``and'';
       (ii) in subsection (a) by striking ``Administrator)'' and 
     inserting ``Administration'';
       (iii) in subsection (a) by striking ``Administrator'' the 
     last place it appears and inserting ``Administration'';
       (iv) in subsection (b) by striking ``has'' the 1st place it 
     appears and inserting ``and the Administration have'';
       (v) in subsection (c) by striking ``The Secretary'' and all 
     that follows through ``Administrator)'' and inserting ``In 
     carrying out aviation safety functions, duties, and powers, 
     the Federal Aviation Administration'';

[[Page H2060]]

       (vi) in subsection (c) by striking ``to assist the 
     Secretary or Administrator of'' and inserting ``to assist'';
       (vii) in subsection (d) by striking ``Administrator of 
     the'';
       (viii) in subsection (d) by striking ``Administrator'' the 
     last place it appears and inserting ``Administration'';
       (ix) in subsection (e) by striking ``Administrator'' each 
     place it appears and inserting ``Administration''; and
       (x) by adding at the end the following:
       ``(f) Exemptions.--
       ``(1) FAA review of regulations.--Prior to issuing any 
     regulation or granting any exemption to a regulation issued 
     under this chapter that affects the transportation of 
     hazardous materials by air, the Secretary shall provide the 
     Administration an opportunity for review, and the 
     Administration may disapprove such action if the 
     Administration determines that there would be an adverse 
     effect on aviation safety.
       ``(2) Proposed changes.--The Administration may, in the 
     interest of aviation safety, propose to the Secretary 
     regulatory changes affecting the transportation of hazardous 
     materials by air.
       ``(3) Enforcement.--Enforcement actions for violations of 
     this chapter or of any regulations issued under this chapter 
     that affect the transportation of hazardous materials by air 
     shall be brought by the Administration.''.
       (N) Reports and records.--Section 40114 is amended--
       (i) in subsection (a)(1) by striking ``(or the 
     Administrator of'' and inserting ``and'';
       (ii) in subsection (a)(1) by striking ``Administrator)'' 
     and inserting ``Administration'';
       (iii) in subsection (a)(1) by striking ``Administrator'' 
     the last place it appears and inserting ``Administration'';
       (iv) in subsection (a)(2) by striking ``(or the 
     Administrator'' and inserting ``and the Administration'';
       (v) in subsection (a)(2) by striking ``Administrator)'' and 
     inserting ``Administration''; and
       (vi) in subsection (a)(2) by striking ``Administrator'' the 
     last 2 places it appears and inserting ``Administration''.
       (O) Withholding information.--Section 40115(a) is amended 
     by inserting after ``Secretary of Transportation'' each place 
     it appears the following: ``or Federal Aviation 
     Administration''.
       (P) Passenger facility fees.--Section 40117 is amended--
       (i) in subsection (b)(1) by striking ``Secretary of 
     Transportation'' and inserting ``Federal Aviation 
     Administration''; and
       (ii) in subsections (c) through (i) by striking 
     ``Secretary'' each place it appears and inserting 
     ``Administration''.
       (Q) Security and research and development activities.--
     Section 40119 is amended--
       (i) in subsection (a) by striking ``Administrator of the''; 
     and
       (ii) in subsections (b) and (c) by striking 
     ``Administrator'' each place it appears and inserting 
     ``Administration''.
       (4) Navigation of foreign civil aircraft.--Section 41703 is 
     amended--
       (A) in subsection (a)(3) by inserting ``, after 
     consultation with the Federal Aviation Administration,'' 
     after ``Secretary of Transportation''; and
       (B) in subsection (b) by inserting ``, after consultation 
     with the Federal Aviation Administration,'' after 
     ``Secretary'' the 2nd place it appears.
       (5) Slots.--Section 41714 is amended--
       (A) in subsection (a)(1) by striking ``Secretary of 
     Transportation'' and inserting ``Federal Aviation 
     Administration'';
       (B) in subsections (a)(2), (a)(3), (a)(4), (b)(1), (b)(2), 
     (c), (d), (f), and (g) by striking ``Secretary'' and 
     ``secretary'' each place they appear and inserting 
     ``Administration'' and ``administration'', respectively;
       (C) in subsection (b)(3) by striking ``Secretary'' the 
     first place it appears and inserting ``Administration'';
       (D) in subsection (b)(3) by inserting after ``Secretary'' 
     the second place it appears the following: ``of 
     Transportation'';
       (E) in subsection (h)(2) by striking ``Administrator'' and 
     inserting ``Administration''; and
       (F) by adding at the end the following:
       ``(i) Consultation With DOT.--In making determinations with 
     respect to essential air service, exceptional circumstances, 
     and the public interest, the Administration shall consult 
     with the Secretary of Transportation.''.
       (6) Registration and recordation of aircraft.--Chapter 441 
     (other than section 44109) is amended--
       (A) by striking ``Administrator of the'' each place it 
     appears;
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies and the 
     3rd place it appears in section 44111(d)) and inserting 
     ``Administration''; and
       (C) in section 44102(b) by striking ``Secretary of 
     Transportation'' and inserting ``Federal Aviation 
     Administration''.
       (7) Insurance.--Chapter 443 is amended--
       (A) by striking ``Secretary of Transportation'' each place 
     it appears and inserting ``Federal Aviation Administration''; 
     and
       (B) by striking ``Secretary'' each place it appears (other 
     than a place to which subparagraph (A) applies, the 2nd, 3rd, 
     and 5th places it appears in section 44305(b), the 1st place 
     it appears in section 44307(a)(1), the 2nd place it appears 
     in section 44307(b), and the 3rd place it appears in section 
     44307(d)) and inserting ``Administration''.
       (8) Facilities, personnel, and research.--Chapter 445 is 
     amended--
       (A) by striking ``Administrator of the'' each place it 
     appears (other than the 1st place it appears in section 
     44501(c)(2)(B) and the last place it appears in section 
     44502(c)(1));
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies, the 
     1st place it appears in section 44501(c)(2)(B), the last 
     place it appears in section 44502(c), and in section 
     44507(3)) and inserting ``Administration'';
       (C) in section 44506(b) by striking ``Administrators of the 
     Federal Aviation Administration and'' and inserting ``Federal 
     Aviation Administration and the Administrator of the'';
       (D) in section 44506(c) by striking ``Department of 
     Transportation'' and inserting ``Administration'';
       (E) in section 44506(d) by striking ``Public Works and 
     Transportation'' and inserting ``Transportation and 
     Infrastructure'';
       (F) in section 44507--
       (i) by striking ``106(j)'' and inserting ``1317''; and
       (ii) by striking ``the Administrator'' in paragraph (3) and 
     inserting ``the Federal Aviation Board'';
       (G) in section 44514(b) by striking ``Secretary and the'';
       (H) by striking ``Secretary of Transportation'' each place 
     it appears and inserting ``Federal Aviation Administration''; 
     and
       (I) by striking ``Secretary'' each place it appears (other 
     than in sections 44501(b)(1)(B), 44502(c)(1), and 44505(a)(3) 
     and a place to which subparagraphs (G) and (H) apply) and 
     inserting ``Administration''.
       (9) Safety regulation.--Chapter 447 is amended--
       (A) by striking ``Administrator of the'' each place it 
     appears (other than the 2nd place it appears in section 
     44714, the 2nd place it appears in section 44715(a)(2), the 
     1st, 4th, 7th, 9th, 10th, and 11th places it appears in 
     section 44715(c), the 1st and 3rd places it appears in 
     section 44715(d)(1), the 2nd place it appears in section 
     44715(d)(2), the 1st, 3rd, and 5th places it appears in 
     section 44715(e), and the 2nd, 4th, and 6th places it appears 
     in section 44715(f));
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies, the 
     3rd place it appears in section 44703(f)(2), the 3rd place it 
     appears in section 44713(d)(2), the 2nd place it appears in 
     section 44714, the 2nd place it appears in section 
     44715(a)(2), the 1st, 4th, 7th, 9th, 10th, and 11th places it 
     appears in section 44715(c), the 1st and 3rd places it 
     appears in section 44715(d)(1), the 2nd place it appears in 
     section 44715(d)(2), the 1st, 3rd, and 5th places it appears 
     in section 44715(e), the 2nd, 4th, and 6th places it appears 
     in section 44715(f), and in section 44720(b)(2)) and 
     inserting ``Administration'';
       (C) in section 44702(d)(3) by striking ``Administrator's'' 
     and inserting ``Administration's'';
       (D) in the subsection heading to section 44709(b) by 
     striking ``Administrator'' and inserting ``Administration'';
       (E) in section 44720(b)(2) by striking ``Administrator'' 
     each place it appears and inserting ``Federal Aviation 
     Administration'';
       (F) by striking ``Secretary of Transportation'' each place 
     it appears (other than in sections 44712(b)(2) and 44723) and 
     inserting ``Federal Aviation Administration'';
       (G) in section 44723 by striking ``Secretary of 
     Transportation'' and inserting ``Federal Aviation Board''; 
     and
       (H) by striking ``Secretary'' each place it appears (other 
     than in sections 44712(b)(2) and 44720 and a place to which 
     subparagraph (F) or (G) applies) and inserting 
     ``Administration''.
       (10) Security.--Chapter 449 is amended--
       (A) by striking ``Administrator of the'' each place it 
     appears;
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies, the 
     1st two places it appears in section 44932(a), the 1st place 
     it appears in section 44932(b), the 1st place it appears in 
     section 44932(c), the 5th place it appears in section 
     44933(a), and each place it appears in section 44934(b)) and 
     inserting ``Administration'';
       (C) in section 44933(b)(4) by striking ``Administrator's'' 
     and inserting ``Administration's'';
       (D) by striking the heading for section 44932 and inserting 
     ``Civil aviation security'';
       (E) by striking subsection (a) of section 44932 and 
     redesignating subsections (b) and (c) as subsections (a) and 
     (b), respectively;
       (F) in section 44932(a), as redesignated by subparagraph 
     (E), by striking ``Assistant Administrator'' and inserting 
     ``officer designated by the Chief Executive Officer of the 
     Federal Aviation Administration'';
       (G) in section 44932(b), as redesignated by subparagraph 
     (E), by striking ``Assistant Administrator'' and inserting 
     ``Administration'';
       (H) in sections 44933(a) and 44934(b) by striking 
     ``Assistant Administrator for Civil Aviation Security'' and 
     inserting ``officer designated by the Chief Executive Officer 
     of the Administration'';
       (I) in section 44934(b)(1) by striking ``Assistant 
     Administrator'' and inserting ``Administration'';
       (J) by striking ``Secretary of Transportation'' each place 
     it appears (other than in sections 44903(b)(1), 
     44907(d)(1)(C), 44907(d)(3), 44907(e), 44907(f), 44911(b), 
     44912(a)(3), 44931, and 44938(a)) and inserting ``Federal 
     Aviation Administration'';

[[Page H2061]]

       (K) by striking ``Secretary'' each place it appears (other 
     than a place to which subparagraph (J) applies, the 1st place 
     it appears in section 44903(d), in section 44903(b)(1), the 
     2nd place it appears in section 44907(b), the 3rd place it 
     appears in section 44907(c), in section 44907(d)(1)(C), the 
     3rd place it appears in section 44907(d)(2)(A)(ii), the 2nd 
     and 3rd places it appears in section 44907(d)(2)(B), in 
     section 44907(d)(3), the 2nd place it appears in section 
     44907(d)(4), in sections 44907(e) and 44907(f), the 4th place 
     it appears in section 44908(a), the 1st place it appears in 
     section 44908(b), the 2nd place it appears in section 
     44909(a), and in sections 44910, 44911, 44912(a)(3), 44931, 
     44934, and 44938(a)) and inserting ``Administration'';
       (L) in section 44905(g) by striking ``Department of 
     Transportation'' and inserting ``Federal Aviation 
     Administration'';
       (M) in sections 44907(d)(1)(C), 44907(d)(3), 44907(e), and 
     44907(f) by inserting ``or Federal Aviation Administration'' 
     after ``of Transportation'';
       (N) in section 44907(d)(3) by inserting ``or 
     Administration'' after ``Secretary'' the 2nd place it 
     appears; and
       (O) in the chapter analysis by striking the item relating 
     to section 44932 and inserting the following:

``44932. Civil aviation security.''.

       (11) Alcohol and controlled substances testing.--Chapter 
     451 is amended--
       (A) by striking ``Administrator of the'' each place it 
     appears; and
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies) and 
     inserting ``Administration''.
       (12) Fees.--Chapter 453 is amended--
       (A) by striking ``Administrator of the'' each place it 
     appears;
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies) and 
     inserting ``Administration'';
       (C) in section 45301(a) by inserting after ``Secretary of 
     Transportation'' the following: ``and the Federal Aviation 
     Administration, as the case may be,''; and
       (D) in section 45301(c)(4) by striking ``Administrator's'' 
     and inserting ``Administration's''.
       (13) Investigations and proceedings.--Chapter 461 is 
     amended--
       (A) in sections 46101(a)(1), 46102(a), 46103(a)(1), and 
     46104(a)--
       (i) by striking ``(or the Administrator of'' and inserting 
     ``(or''; and
       (ii) by striking ``Administrator)'' and inserting 
     ``Administration)'';
       (B) by striking ``Administrator of the'' each place it 
     appears (other than a place to which subparagraph (A)(i) 
     applies and in section 46101(b));
       (C) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) or (B) applies) 
     and inserting ``Administration'';
       (D) in section 46109 by inserting ``or the Federal Aviation 
     Administration'' after ``Transportation''; and
       (E) in the subsection heading to section 46107(c) by 
     striking ``Administrator'' and inserting ``Administration''.
       (14) Penalties.--Chapter 463 is amended--
       (A) in section 46301(c)--
       (i) by inserting ``by other than air'' after 
     ``transportation'' in paragraph (1)(D);
       (ii) by redesignating paragraph (2) as paragraph (3);
       (iii) by inserting after paragraph (1) the following:
       ``(2) FAA notice and hearing.--The Federal Aviation 
     Administration may impose a civil penalty for violations 
     under subsection (a)(1) of this section related to the 
     transportation by air of hazardous material only after notice 
     and an opportunity for a hearing.'';
       (iv) by inserting ``or Administration, as appropriate,'' 
     after ``Secretary'' in paragraph (3), as so redesignated; and
       (v) by striking ``paragraph (1) of'' in such paragraph (3).
       (B) in section 46301(d)(2) by striking ``Administrator of 
     the'';
       (C) in subsections (d) and (e) of section 46301--
       (i) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies) and 
     inserting ``Administration''; and
       (ii) by striking ``Secretary'' each place it appears and 
     inserting ``Administration'';
       (D) in section 46301(f) by inserting ``or Administration, 
     as the case may be,'' after ``Secretary'';
       (E) in section 46301(g) by inserting ``and an order of the 
     Administration'' before ``imposing'';
       (F) in section 46301(h)(2) by striking the parenthetical 
     phrase and inserting ``or Administration, as appropriate,'';
       (G) in section 46302(b) by striking ``Secretary of 
     Transportation'' and inserting ``Federal Aviation 
     Administration'';
       (H) in section 46303--
       (i) by striking ``Secretary of Transportation'' and 
     inserting ``Federal Aviation Administration''; and
       (ii) by striking ``Administrator of the'';
       (I) in section 46304--
       (i) by striking ``Administrator of the''; and
       (ii) by striking ``Administrator'' each place it appears 
     (other than a place to which clause (i) applies) and 
     inserting ``Administration'';
       (J) in section 46306 by striking ``Administrator of the'' 
     each place it appears;
       (K) in section 46308(2) by striking ``Administrator of 
     the'';
       (L) in section 46311--
       (i) by striking ``Administrator of the''; and
       (ii) by striking ``Administrator'' each place it appears 
     (other than a place to which clause (i) applies) and 
     inserting ``Administration'';
       (M) in section 46313--
       (i) by striking ``Administrator of the''; and
       (ii) by striking ``Administrator'' the 2nd place it appears 
     and inserting ``Administration'';
       (N) in section 46315(b)(1) by striking ``Administrator of 
     the''; and
       (O) in section 46316(a)--
       (i) by striking ``Administrator of the''; and
       (ii) by striking ``Administrator'' the 2nd place it appears 
     and inserting ``Administration''.
       (15) Special aircraft jurisdiction of united states.--
     Section 46505(d)(2) is amended by striking ``Administrator of 
     the''.
       (16) Airport development.--Chapter 471 is amended--
       (A) by striking ``Secretary of Transportation'' each place 
     it appears (other than in section 47102(1)(A)) and inserting 
     ``Federal Aviation Administration'';
       (B) by striking ``Secretary'' each place it appears (other 
     than a place to which subparagraph (A) applies, in sections 
     47101(h), 47102(1)(A), 47102(1)(B)(i), 47103(a), 47103(c), 
     47106(c)(2), 47107(j)(4), 47110(e), and 47112(b), and the 2nd 
     and 3rd places it appears in section 47153(b)) and inserting 
     ``Administration'';
       (C) in section 47106(c)(1)(B)(ii) by inserting ``of the 
     Environmental Protection Agency'' after ``Administrator'';
       (D) in section 47106(c)(2) by striking ``Secretary'' and 
     inserting ``Federal Aviation Administration'';
       (E) in sections 47106(c)(3) and 47110(d)(2)(B) by striking 
     ``Secretary's'' and inserting ``Administration's'';
       (F) in section 47107(k) by striking ``Public Works and 
     Transportation'' and inserting ``Transportation and 
     Infrastructure'';
       (G) in section 47110(e)--
       (i) by striking ``Secretary'' each place (other than the 
     2nd and 6th places) it appears and inserting ``Federal 
     Aviation Board''; and
       (ii) by striking ``Secretary'' the 2nd and 6th places it 
     appears and inserting ``Federal Aviation Administration'';
       (H) in the heading for each of sections 47117(h), 
     47129(a)(3), and 47129(c) by striking ``Secretary'' and 
     inserting ``Administration'';
       (I) in the subsection heading for section 47129(a) by 
     striking ``Secretary's'' and inserting ``Administration's''; 
     and
       (J) in section 47130 by striking ``Administrator of the''.
       (17) International airport facilities.--Chapter 473 is 
     amended--
       (A) in section 47302--
       (i) by striking ``Secretary of Transportation'' in 
     subsection (a)(1) and inserting ``Federal Aviation 
     Administration''; and
       (ii) by striking ``Secretary of Transportation or'' in 
     subsection (c) and inserting ``Federal Aviation 
     Administration or the Secretary of'';
       (B) in section 47303--
       (i) by striking ``Secretary of Transportation or'' and 
     inserting ``Federal Aviation Administration or the Secretary 
     of''; and
       (ii) in paragraph (1) by striking ``Secretary'' and 
     inserting ``agency head'';
       (C) in section 47304--
       (i) by striking ``Secretary of Transportation or'' in 
     subsection (a) and inserting ``Federal Aviation 
     Administration or the Secretary of'';
       (ii) by striking ``Secretary'' the 2nd and 3rd places it 
     appears in subsection (a) and inserting ``agency head'';
       (iii) by striking ``Secretary of Transportation'' the 1st 
     place it appears in subsection (b) and inserting ``Federal 
     Aviation Administration'';
       (iv) by striking ``Secretary of Transportation or'' in 
     subsection (b)(2) and inserting ``Chief Executive Officer of 
     the Federal Aviation Administration or the Secretary of'';
       (v) by striking ``Secretary of Transportation'' each place 
     it appears in subsection (c) and inserting ``Federal Aviation 
     Administration''; and
       (vi) by striking ``Secretary of Transportation or'' in 
     subsection (d)(2) and inserting ``Chief Executive Officer of 
     the Federal Aviation Administration or the Secretary of'';
       (D) in section 47305--
       (i) by striking ``Secretary of Transportation'' in 
     subsection (a) and inserting ``Federal Aviation 
     Administration'';
       (ii) by striking ``Secretary'' the 3rd and 4th places it 
     appears in subsection (a) and inserting ``agency head''; and
       (iii) by striking ``Secretary of Transportation or'' in 
     subsection (b) and inserting ``Chief Executive Officer of the 
     Federal Aviation Administration or the Secretary of''; and
       (E) in section 47306 by striking ``Secretary of 
     Transportation'' and inserting ``Federal Aviation 
     Administration''.
       (18) Noise.--Chapter 475 is amended--
       (A) by striking ``Administrator of the'' each place it 
     appears (other than the 1st place it appears in section 
     47502, the 2nd place it appears in section 47509(a), the 2nd 
     place it appears in section 47509(c), the 2nd place it 
     appears in section 47509(d), and the 2nd place it appears in 
     section 47509(e));

[[Page H2062]]

       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies, the 
     1st place it appears in section 47502, the 2nd place it 
     appears in section 47509(a), the 2nd place it appears in 
     section 47509(c), the 2nd place it appears in section 
     47509(d), and the 2nd place it appears in section 47509(e)) 
     and inserting ``Administration'';
       (C) by striking ``Secretary of Transportation'' each place 
     it appears and inserting ``Federal Aviation Administration''; 
     and
       (D) by striking ``Secretary'' each place it appears (other 
     than a place to which subparagraph (C) applies) and inserting 
     ``Administration''.
       (19) Financing.--Chapter 481 (other than section 48109) is 
     amended--
       (A) by striking ``Administrator of the'' each place it 
     appears;
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies) and 
     inserting ``Administration'';
       (C) by striking ``Secretary of Transportation'' each place 
     it appears and inserting ``Federal Aviation Administration'';
       (D) by striking ``Secretary'' each place it appears (other 
     than a place to which subparagraph (C) applies and the 1st 
     place it appears in section 48105) and inserting 
     ``Administration'';
       (E) in section 48102(d)(2) by striking ``Public Works and 
     Transportation'' and inserting ``Transportation and 
     Infrastructure''; and
       (F) in section 48108(b)(2) by striking ``Department of 
     Transportation'' and inserting ``Federal Aviation 
     Administration''.
       (20) Miscellaneous.--Chapter 491 is amended--
       (A) by striking ``Administrator of the'' each place it 
     appears;
       (B) by striking ``Administrator'' each place it appears 
     (other than a place to which subparagraph (A) applies) and 
     inserting ``Administration'';
       (C) by striking ``Secretary of Transportation'' each place 
     it appears and inserting ``Federal Aviation Administration''; 
     and
       (D) by striking ``Secretary'' each place it appears (other 
     than a place to which subparagraph (C) applies and in section 
     49103(b)(1)) and inserting ``Administration''.
       (21) Commercial space launch activities.--Subtitle IX is 
     amended--
       (A) by striking ``Secretary of Transportation'' each place 
     it appears and inserting ``Federal Aviation Administration'';
       (B) by striking ``Secretary'' each place it appears (other 
     than a place to which subparagraph (A) applies, the 1st place 
     it appears in section 70109(a), the 2nd place it appears in 
     each of sections 70109(b), 70109(c), 70112(a)(2), and 
     70112(b)(2), the 2nd and 3rd places it appears in each of 
     sections 70116(a) and 70116(b), in section 70117(b)(2), and 
     the 2nd place it appears in each of sections 70303(b)(2) and 
     70304(a)) and inserting ``Administration''; and
       (C) in the subsection heading to section 70111(c) by 
     striking ``Secretary'' and inserting ``Administration''.
       (d) Title 5, United States Code.--
       (1) Executive schedule pay rates.--
       (A) Administrator.--Section 5313 of title 5, United States 
     Code, is amended by striking ``Administrator, Federal 
     Aviation Administration.''.
       (B) Deputy administrator.--Section 5315 of such title is 
     amended by striking ``Deputy Administrator, Federal Aviation 
     Administration.''.
       (2) Definitions.--Section 2109 of title 5, United States 
     Code, is amended--
       (A) by striking ``Department of Transportation'' each place 
     it appears and inserting ``Federal Aviation Administration''; 
     and
       (B) by striking ``Secretary of Transportation'' and 
     inserting ``Chief Executive Officer of the Federal Aviation 
     Administration''.
       (3) Expense of training.--Section 4109(c) of title 5, 
     United States Code, is amended by striking ``Administrator, 
     Federal Aviation Administration,'' and inserting ``Federal 
     Aviation Administration''.
       (4) Reduction in retirement pay for former members of 
     uniform services.--Section 5532(f) of title 5, United States 
     Code, is repealed.
       (5) Differential pay.--Chapter 55 of title 5, United States 
     Code, is amended--
       (A) in the heading to section 5546a by striking ``the 
     Federal Aviation Administration and'';
       (B) in section 5546a(a) by striking ``Administrator of the 
     Federal Aviation Administration (hereafter in this section 
     referred to as the `Administrator') and the'';
       (C) in subsections (a)(1), (a)(2), (c), (d), (e), and 
     (f)(1) of section 5546a--
       (i) by striking ``Administrator or the'' each place it 
     appears; and
       (ii) by striking ``the Federal Aviation Administration or'' 
     each place it appears;
       (D) by striking ``; and'' at the end of section 5546a(a)(2) 
     and inserting a period;
       (E) by striking paragraph (3) of section 5446a(a);
       (F) in section 5546a(f)--
       (i) by striking ``(1)''; and
       (ii) by striking paragraph (2); and
       (G) in the item relating to section 5546a of the analysis 
     for such chapter by striking ``the Federal Aviation 
     Administration and''.
       (e) Coast Guard Cooperation.--Chapter 5 of title 14, United 
     States Code, is amended--
       (1) in the heading to section 82 by striking 
     ``Administrator of'';
       (2) in sections 81, 82, and 90(b) by striking ``the 
     Administrator of'' each place it appears;
       (3) in section 90(b) by striking ``Administrator may'' and 
     inserting ``Administration may''; and
       (4) in the item relating to section 82 of the analysis for 
     such chapter by striking ``Administrator of''.
       (f) Access to National Driver Register.--Section 
     30305(b)(3) of title 49, United States Code, is amended--
       (1) by striking ``the Administrator of''; and
       (2) by striking ``Administrator'' each place it appears 
     after the first and inserting ``Administration''.
       (g) Wolf Trap Farm Park.--The Wolf Trap Farm Park Act (16 
     U.S.C. 284-284j) is amended--
       (1) in section 4(e)--
       (A) by striking ``Administrator of the''; and
       (B) by striking ``Administrator'' each place it appears 
     after the first and inserting ``Administration''; and
       (2) in section 8(b) by striking ``Administrator of the'' 
     each place it appears.
       (h) Certification of Firearms.--Section 922(p)(5)(A) of 
     title 18, United States Code, is amended by striking ``the 
     Administrator of''.
       (i) National Air and Space Museum Advisory Board.--Section 
     1(a) of the Act entitled ``An Act to establish a national air 
     museum, and for other purposes'', approved August 12, 1946 
     (20 U.S.C. 77(a)), is amended by striking ``Administrator of 
     the Federal'' and all that follows through the first 
     succeeding comma and inserting ``Chief Executive Officer of 
     the Federal Aviation Administration,''.
       (j) Federal Property.--Section 602(d)(14) of the Federal 
     Property and Administrative Services Act of 1949 (40 U.S.C. 
     474(d)(14)) is amended by striking ``Administrator of the'' 
     and all that follows through ``or'' and inserting ``Federal 
     Aviation Administration or''.
       (k) Noise Control.--The Noise Control Act of 1972 (42 
     U.S.C. 4901-4918) is amended--
       (1) in section 12(a)(2)(B) (42 U.S.C. 4911(a)(2)(B))--
       (A) by striking ``Administrator of the'';
       (B) by striking ``611 of the Federal Aviation Act of 1958'' 
     and inserting ``44709(b)(1)(B) or 44715 of title 49, United 
     States Code,''; and
       (C) by striking ``such Administrator'' each place it 
     appears and inserting ``such Administration'';
       (2) in the last sentence of section 12(a) by striking 
     ``such Administrator'' and inserting ``the agency'';
       (3) in section 12(b)(1)(A) by striking ``Administrator'' 
     the 2nd place it appears and inserting ``Administration'';
       (4) in sections 12(b)(1)(B) and 12(e) by striking 
     ``Administrator'' and inserting ``agency'';
       (5) in section 12(c)--
       (A) by striking ``Administrator of the'' the 2nd place it 
     appears; and
       (B) by striking ``611 of the Federal Aviation Act of 
     1958,'' and inserting ``44715 of title 49, United States 
     Code,'';
       (6) in section 16(a) (42 U.S.C. 4915(a))--
       (A) by striking ``Administrator of the'' the 2nd place it 
     appears;
       (B) by striking ``611 of the Federal Aviation Act of 1958'' 
     and inserting ``44715 of title 49, United States Code,''; and
       (C) by striking ``Administrator'' the 3rd place it appears 
     and inserting ``agency'';
       (7) in section 16(b)--
       (A) by inserting ``the Federal Aviation'' before 
     ``Administration''; and
       (B) by striking ``Administrator'' each place it appears 
     after the 1st and inserting ``agency''; and
       (8) in section 16(c) by striking ``Administrator'' and 
     inserting ``agency''.
       (l) Phase-out of Halon.--Section 604(d)(3) of the Clean Air 
     Act (42 U.S.C. 7671c(d)(3)) is amended by striking 
     ``Administrator of the'' each place it appears.

     SEC. 15. REFERENCES.

       A reference in any law, regulation, document, record, map, 
     or other paper of the United States to the Secretary of 
     Transportation (and any reference to the Administrator of the 
     Federal Aviation Administration) with respect to a function 
     which under this Act (including the amendments made by this 
     Act) is made a function of the Federal Aviation 
     Administration established by section 1311 of title 49, 
     United States Code, shall be deemed to be a reference to the 
     Federal Aviation Administration established by such section.

     SEC. 16. EFFECTIVE DATE.

       (a) In General.--Except as provided in subsection (b), this 
     Act (including the amendments made by this Act) shall take 
     effect on the 90th day following the date of the enactment of 
     this Act.
       (b) Exceptions.--Section 1312 of title 49, United States 
     Code, and section 7 of this Act shall take effect on the date 
     of the enactment of this Act. The amendments made by section 
     14(d)(5) of this Act, relating to differential pay, shall 
     take effect on the date the Federal Aviation Board begins 
     implementation of the personnel management system for the 
     Federal Aviation Administration under section 1314(d)(2) of 
     title 49, United States Code.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Pennsylvania [Mr. Shuster] and the gentleman from Minnesota [Mr. 
Oberstar] will each be recognized for 30 minutes.
  The Chair recognizes the gentleman from Pennsylvania [Mr. Shuster].
  Mr. SHUSTER. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I rise in strong support of the FAA Revitalization Act. 
This is

[[Page H2063]]

legislation which will put us in a position to move into the next 
century with a modern air traffic control system, with a system that 
will provide America and the world with the best FAA and the best air 
traffic control.
  I am very pleased that we have 62 cosponsors. This is bipartisan 
legislation. The gentleman from Minnesota [Mr. Oberstar], the 
distinguished ranking member of the full committee; the gentleman from 
Illinois [Mr. Lipinski], the distinguished ranking member of the 
subcommittee; the gentleman from Tennessee [Mr. Duncan], the 
distinguished ranking member of the subcommittee; and myself all are 
among those 62 bipartisan cosponsors. This is legislation whose time 
has come.
  Since airline deregulation in 1978, passenger traffic has more than 
doubled to now over 500 million passengers a year. Even more 
significantly, commercial air travel is increasing at a rate of between 
4.5 and 5 percent a year, which means that as we move into the next 
century, we will soon experience 1 billion, that is with a B, 
commercial air travelers a year.
  The 10 largest U.S. airlines conduct nearly 15,000 flights a day. If 
we add commuter, military and general aviation flights, there are over 
107,000 flights per day. This is expected to increase by about another 
20,000 flights a day by the year 2002. The FAA's existing structure 
simply does not give it the flexibility to cope, not only with the 
current situation, let alone this future growth.
  As some of my colleagues know, my background is in the electronic 
computer industry. I was absolutely stunned to realize that vacuum 
tubes are still used in approximately 500 of the FAA air traffic 
control facilities. In fact, in 1994 the FAA spent nearly $50 million 
on the purchase of vacuum tubes. Most businesses replaced their vacuum 
tube computers many, many years ago.
  Further, the FAA's cumbersome procurement process results in these 
aging computers constantly breaking down. In fact, there have been at 
least 6 failures at the air traffic control center in Leesburg, VA. The 
longest was a 28-hour outage just last June 7.
  FAA officials say that computers failed 20 times during a 4-month 
period at very important centers such as Chicago, Washington, Dallas, 
Cleveland, and New York. Failures have also been reported at Boston, 
Kansas City, Atlanta, San Juan, Houston, Oakland, and Miami.

  Indeed, beyond this very serious problem which must be corrected, the 
FAA's bureaucratic personnel system results in some air traffic control 
facilities being overstaffed while others are understaffed. Indeed, 
under the FAA's funding systems, users pay into the trust fund with no 
assurance of getting their money back in the form of proposed 
infrastructure investments. Indeed, GAO has stated that the FAA's 
management structure has often been unable to fully cope with all the 
problems.
  The good news, however, Mr. Speaker, is that there is a solution. The 
solution is this legislation, which exempts the agency from current 
personnel and procurement laws and gives the FAA an opportunity to 
develop procurement and personnel systems best suited to its own unique 
mission. Further, this legislation makes the FAA independent so it 
would not be subject to the bureaucratic interference from DOT.
  It creates a board to oversee the operation of the new independent 
agency. The board would select a CEO to actually run the agency. 
Indeed, this legislation is the answer to modernizing the FAA so that 
we can be in a position, as we move into the next century, to provide 
the kind of both safety and efficiency which is so necessary,
  This legislation will make air travel safer. New computers, a 
rational personnel system, and quicker decisions will all make air 
travel safer.
  It will also make flying more affordable. Today our airlines are 
experiencing delays which have an added cost of $2.5 billion a year. 
Savings from reductions in these delays can be passed on to passengers, 
so this will permit facilities to be more efficient all across the 
country.
  Indeed, this legislation will reform and streamline bureaucracy. At 
least 200 positions at DOT can be eliminated, whose only job is to 
oversee the FAA. This legislation will reduce the regulatory burden on 
the aviation industry. There are provisions in this bill to ensure that 
the FAA considers the costs to air travelers as well as the benefits of 
major new regulatory initiatives.
  For all these reasons, I would urge my colleagues to vote for this 
bipartisan legislation. It passed by voice vote without a single 
dissenting vote out of our committee, has strong bipartisan support, 
and I urge the passage of this legislation.
  Mr. Speaker, I reserve the balance of my time.

                              {time}  1545

  Mr. OBERSTAR. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, today marks a watershed day that I have long looked 
forward to since, in fact, 1987 when I introduced the first independent 
FAA bill, then with bipartisan support as we have today. But this is 
the first time in all the years that I have introduced and reintroduced 
that bill that it has made its way to the floor. For that, I salute our 
chairman of the full committee, the gentleman from Pennsylvania [Mr. 
Shuster], for his splendid cooperation, his willingness to move this 
legislation along as a high priority item for our committee. For that I 
salute our chairman of the Subcommittee on Aviation, the gentleman from 
Tennessee [Mr. Duncan], who has taken on the burdensome task of 
learning all the intricacies of aviation, learning the importance of 
this agency and its role in modern aviation not only in the U.S. but 
worldwide and who has become a champion of aviation in the brief tenure 
that he has had as our chairman, and to our ranking Democratic member, 
the gentleman from Illinois [Mr. Lipinski], who, though a longtime 
member of the Subcommittee on Aviation, has just recently assumed the 
role of the leader on our side for the Subcommittee on Aviation and who 
likewise has devoted himself and plunged in with great enthusiasm into 
this subject matter, and I am very grateful to the gentleman for the 
job he has done and for the workload and responsibility that he has 
shouldered.
  For many years of hearings of inquiry into the FAA, of safety in the 
field of aviation, one issue has jumped out, and that is the role of 
the FAA within this huge Department of Transportation subjugated to the 
interest to the will, to the changing of the leadership at the top of 
this department, and consequently with effects upon the FAA itself, 
have oftentimes gone months without an administrator under both 
Democratic and Republican administrations, without regard to which 
party was in control of the government. The FAA continued to have a 
back door sort of relationship with the Department of Transportation 
and yet one in which the Secretary of Transportation was all too 
willing to insert himself or herself into the internal affairs of this 
safety-conscious agency.
  It became so painfully clear to me that what Congress did in response 
to the Johnson administration's initiative in 1966, bringing all modes 
together in one Department of Transportation, was flawed in this 
respect: that the Federal Aviation Administration should not be 
included in that department, that it should be, as it rightfully ought 
to be, an independent agency. It ought to have its own independent 
status because that is the status of aviation. It stands separately in 
our national picture. It is at the heart of a $600 billion sector of 
our national economy. Ten percent of our gross domestic product is 
related to aviation.
  The FAA ought to stand on a par, frankly, with the other departments 
of government and not be subsumed under one. At the hearings that we 
had on FAA reform, all but one of the living former administrators of 
FAA endorsed a concept of an independent agency. Those former 
administrators served over a 30-year period from 1961 to 1991 in which 
there was a revolution in technology in the field of aviation. They 
served in Democratic and Republican administrations from President 
Kennedy to President Bush. They served at a time when FAA was 
independent and at a time when it was part of the Department of 
Transportation, and every one of them said the FAA should be 
independent.
  Now, the present Secretary of Transportation does not support that 
concept, and I understand no sitting Secretary of Transportation ever 
wanted

[[Page H2064]]

to see the FAA become an independent agency. Of course, if the FAA is 
out from under DOT, the Secretary loses it as the majority of the 
Department of Transportation's total work force. And that is another 
problem that has disturbed me very much in this past year and a half 
when the FAA took more like 70 percent of the personnel reductions that 
the Department of Transportation experienced. That is unfair and 
unreasonable. They should not have had that kind of reduction.

  Another concern that I have is in the rulemaking, particularly in the 
safety rulemaking side of the FAA's responsibility. And that I consider 
its primary responsibility. There are 15 signoffers on a rulemaking 
from the time it emanates from the office of certification until it 
becomes a rule, and more than half of that time spent in signoffs is 
the regulation marching its way through the Department of 
Transportation.
  Well, as Chairman Shuster said a moment ago, there will be personnel 
savings if the FAA is moved out from under the department. There will 
be efficiency savings. There will be ability for the FAA to move ahead 
more effectively, more dynamically on modernization of the air traffic 
control system. And I think the whole aviation community in the United 
States and worldwide will have a greater sense of appreciation and 
respect for this autonomous, independent agency.
  I use the word autonomous because the antidote for an independent FAA 
is a proposal to give the agency more flexibility or autonomy within 
the department. Friends, believe me, it will not happen. As long as the 
FAA is within the Department of Transportation, that agency, that 
department, is going to exert every measure of control that it can over 
the FAA, and doing business will simply be as it always has been.
  We need a change. We need dynamic, progressive, forward-looking 
change in personnel, in procurement, in management of the safety 
function of the FAA, and being the leader worldwide in aviation, and 
restoring to FAA a leadership role as an independent agency will put it 
back in charge. And that is what we achieve with this legislation.
  Mr. Speaker, I reserve the balance of my time.
  Mr. SHUSTER. Mr. Speaker, I yield 5 minutes to the gentleman from 
Tennessee [Mr. Duncan], the distinguished chairman of our subcommittee.
  (Mr. DUNCAN asked and was given permission to revise and extend his 
remarks.)
  Mr. DUNCAN. Mr. Speaker, I thank the distinguished chairman of our 
full committee for yielding me this time. And let me pay a special 
tribute to the gentleman from Pennsylvania [Mr. Shuster], for his 
outstanding leadership in helping move this legislation through our 
committee and to the floor today, and particularly for the really 
tremendous job he is doing as chairman of our full committee.
  H.R. 2276 is an outstanding bill that enjoys widespread bipartisan 
support here in the House. It will help bring long overdue and needed 
reforms to the Federal Aviation Administration.
  I want to also thank my ranking member, the ranking member of my 
subcommittee, the gentleman from Illinois [Mr. Lipinski]. I do not 
think anyone could have a kinder ranking member than I do on our 
subcommittee, and we have really worked well together. I want to also 
though mention for a few moments the gentleman from Minnesota [Mr. 
Oberstar], because I do not think that anyone in the entire Congress 
knows aviation issues better than the gentleman from Minnesota [Mr. 
Oberstar]. He serves as chairman of this subcommittee for many years, 
and he has really worked well with me in so many different ways, and I 
thank him for all of that and for this strong support of this 
legislation.
  It would not be right though to go any further without mentioning our 
colleague from Iowa, Mr. Jim Ross Lightfoot. The gentleman from Iowa 
[Mr. Lightfoot] really wrote the bulk, or a large portion of this bill, 
and his activities in regard to this legislation have also been 
tremendously meaningful in carrying this legislation forward.
  Last year, the Subcommittee on Aviation held several days of hearings 
on various proposals to restructure our Nation's air traffic control 
system. From these hearings, it became very clear that a consensus of 
members as well as the aviation community supported a independent FAA. 
This process of which I am very proud has enabled us to develop an 
outstanding bill that has been endorsed by more than 30 leading 
aviation groups.
  No other legislation in regard to aviation has ever had this kind of 
support. This bill has been endorsed by the Aircraft Owners' and 
Pilots' Association, the National Air Traffic Controllers' Association, 
the General Aviation Manufacturers' Association, the National Business 
Aircraft Association, the National Air Transportation Association, and 
many, many others.
  I believe this legislation could be the most dramatic change in 
aviation since at least the Airline Deregulation Act of 1978, and 
perhaps since the Federal Aviation Act of 1958. I think we have a bill 
that the American people can and will support strongly.
  I want the Members to know that this legislation is supported 
probably by every facet of the aviation community, business, labor, and 
all others.
  Mr. Speaker, H.R. 2276 enjoys support from those representing general 
aviation, aircraft manufacturers, our Nation's small aircraft owners, 
the FAA air traffic controllers and many, many others. Also, as the 
gentleman from Minnesota [Mr. Oberstar] just pointed out, every living 
FAA former administrator, except for one who has not taken a position, 
supports this legislation. Since airline deregulation in 1978, air 
passenger traffic has doubled and is now over 500 million per year. 
According to several aviation experts, traffic is expected to top at 
least 800 million and maybe even a billion by the year 2002.
  The 10 largest U.S. airlines conduct almost 15,000 flights per day at 
airports all across this country. If you add in commuter, military and 
general aviation, there are over 107,000 flights every day. 
Unfortunately the FAA's existing structure does not give it the 
flexibility to cope with even the existing situation let alone future 
growth. The FAA's cumbersome procurement process brought on by years of 
bureaucratic inertia have resulted in aging computers and 30-year-old, 
air traffic control equipment that constantly breaks down. Their 
antiquated equipment causes airplanes to be delayed and certainly 
shakes public confidence in the safety of flying. In fact, air traffic 
computers have failed and continue to fail at centers all across this 
country.

  Let me also say, Mr. Speaker, this legislation creates a new agency. 
It simply removes the FAA from the cumbersome bureaucracy and 
interference of the department of Transportation. This agency will 
create a board that will also include three members, but will include 
also the Secretaries of Transportation and Defense. The board would 
select a chief executive officer to manage FAA's day-to-day operations.
  For too long, the FAA's management structure has been stymied by 
outdated rules and big government policies that have not allowed for 
innovative management styles used by successful companies in the 
private sector. Today nearly every Federal independent agency, almost 
30, are managed by boards. The only exceptions are law enforcement-type 
agencies.
  Basically, Mr. Speaker, just to sum up, this legislation will really 
bring the FAA into the 21st century. It is very needed. Almost everyone 
who has looked at this agrees with this legislation. I am very proud of 
the product of our subcommittee and our full committee, and I urge the 
support by our members.
  Mr. OBERSTAR. Mr. Speaker, I yield such time as he may consume to the 
gentleman from Illinois [Mr. Lipinski], the distinguished leader for 
our side on the Subcommittee on Aviation.
  Mr. LIPINSKI. Mr. Speaker, I thank the ranking member of the 
committee, whom I affectionately call ``Mr. Aviation,'' for yielding me 
this time.
  Mr. Speaker, I rise in strong support of H.R. 2276, the Federal 
Aviation Administration Revitalization Act. I want to thank the 
chairman of the subcommittee, the gentleman from Tennessee, for all his 
work on this important legislation and for his leadership with the 
Aviation Subcommittee. I have enjoyed working with him and look forward 
to continuing to do so throughout the rest of the year.
  I also want to commend the chairman of the full committee, the 
gentleman from Pennsylvania, and the

[[Page H2065]]

ranking member of the full committee--my predecessor as the ranking 
member on this subcommittee--the gentleman from Minnesota. I know that 
this legislation is the product of considerable effort on all of their 
parts. I look forward to working with them to see this bill enacted 
into law.
  Mr. Speaker, H.R. 2276 directly addresses the problems at the FAA 
that we unfortunately see spelled out on the nightly news on a regular 
basis. The bill recognizes that the problems at the FAA are systematic 
and not related to, or greatly affected by, any particular individual's 
management style or philosophy. It is time to make changes at the 
agency so that the very capable people leading the FAA can have 
flexibility, resources, and management tools to anticipate and develop 
policies for the changes coming in the highly dynamic aviation 
industry.
  This bipartisan legislation has strong support within the 
Transportation and Infrastructure Committee and currently has 62 
cosponsors. It is what the FAA needs to operate effectively and 
efficiently to meet the needs of the 21st century.
  Mr. Speaker, I urge support of the legislation.

                              {time}  1600

  Mr. SHUSTER. Mr. Speaker, I am pleased to yield 2 minutes to the 
gentleman from Pennsylvania [Mr. Clinger], the distinguished senior 
member of our committee.
  Mr. CLINGER. Mr. Speaker, I thank the chairman very much for yielding 
this time to me, and want to commend him for his outstanding leadership 
in helping shape this important piece of legislation and bringing it to 
the floor today in an expedited fashion. In fact, I want to commend all 
of those who have been involved in shaping this legislation. As the 
gentleman from Minnesota [Mr. Oberstar] said, this is indeed an 
exciting day, sort of a landmark day for the entire aviation community, 
and I am pleased to rise in very strong support of this extremely 
important piece of legislation.
  Mr. Speaker, I did serve for 6 years as the ranking Republican on the 
Subcommittee on Aviation working with my good friend and mentor, and 
most of what I have learned about aviation matters came from Jim 
Oberstar. We worked very hard and held countless hearings about the 
enormously, enormously complex regulations under which FAA has to 
operate to build and install a new air traffic control system.
  The FAA is a case book example, Mr. Speaker, of Government regulation 
run amok. The result has been a monumental bungling of one of the most 
critically needed initiatives ever undertaken by the FAA, which is the 
development and purchase of an advanced automation system, This system 
was to have replaced our 1950's era air traffic control system. No 
matter the FAA began in the early 1980's to replace this outdated 
system, today, 25 years later 26 years later, they are still relying on 
the same vacuum-tube equipment to keep aircraft moving through our 
airways, and this is just really one example.
  Mr. Speaker, I spent much of last year pursuing fundamental 
governmentwide procurement reform, and I am pleased in February the 
President signed the DOD Authorization Act, which included many of the 
procurement reforms I have been seeking for some time. Unfortunately, 
the final outcome of that legislation fell somewhat short of our 
initial expectations. What I had hoped for was bold procurement reform 
for every agency of the Federal Government.
  With H.R. 2276, we have an opportunity at least to give the FAA an 
opportunity to make those bold reforms in procurement and personnel 
management. This is long overdue. Before we waste many more years and 
many hundreds of millions of dollars developing systems, we should 
enact this legislation. I urge my colleagues to support H.R. 2276.
  Mr. SHUSTER. Mr. Speaker, I yield 2 minutes to the gentleman from 
Illinois [Mr. Weller] the vice chairman of the Subcommittee on 
Aviation.
  Mr. Speaker, I want to note that the hearing we held in Illinois at 
the request and urging of the gentleman from Illinois [Mr. Weller] to 
examine the power outages at the air traffic control center in Aurora 
outside of Chicago, was very instrumental in helping us to develop the 
legislation which is before us today, and I want to thank the gentleman 
for his very significant contribution to this legislation.
  (Mr. WELLER asked and was given permission to revise and extend his 
remarks.)
  Mr. WELLER. Mr. Speaker, I do want to commend the gentleman from 
Pennsylvania, Chairman Shuster, and the gentleman from Tennessee, 
Chairman Duncan, and the ranking members for this bipartisan effort on 
an issue that is so very important. This legislation, frankly, is 
sorely needed.
  Mr. Speaker, at the Aurora air traffic control center serving the 
world's busiest airport, Chicago-O'Hare, there are 30-year-old 
computers that are still programmed with computer punch cards, and 
today the FAA is still the world's largest purchaser of vacuum tubes. 
Clearly these technologies, computer punch cards and vacuum tubes, are 
technologies that have been abandoned by the private sector decades 
ago. This is clearly an illustration of why we need to bring the FAA 
into the 21st century.
  Mr. Speaker, I rise in support of H.R. 2276, the FAA Revitalization 
Act. Recent computer shutdowns at various air traffic control centers 
have brought to the forefront an issue of grave concern regarding air 
traffic safety. Aurora air traffic control center, which serves the 
world's busiest airport, Chicago O'Hare, is equipped with a 1960's 
vintage IBM 9020 E computer.
  Last year this computer was shut down at least 10 times. In fact, at 
one time in August this computer was shut down for 29 hours, delaying 
air operations throughout the country. Five other major air traffic 
control centers are equipped with this same computer. There have been 
over 50 failures among these five sites within the past year. It is 
clear that this outdated and antiquated equipment is more prone to 
experience problems and outages, and it is time to bring the FAA into 
the 21st century.
  Unfortunately, the FAA today is operating under burdensome, 
cumbersome procurement personnel procedures that make it difficult to 
replace outdated equipment and ensure that facilities are properly 
staffed.
  I would like to touch briefly on the situation we are facing with the 
replacement computers known as the Advanced Automation System. This new 
computer system, which was to be installed in Chicago and other 
centers, is 10 years behind schedule and an estimated $4 billion over 
budget. The FAA has made a commitment to put in place interim computers 
at these centers. However they will not be operational at least for a 
year and a half. Mr. Speaker, I urge that this legislation be adopted.
  Mr. SHUSTER. Mr. Speaker I am pleased to yield 2 minutes to the 
gentleman from Iowa [Mr. Lightfoot], one of the architects of this 
legislation.
  Mr. OBERSTAR. Mr. Speaker, I yield 15 seconds to the gentleman from 
Iowa.
  The SPEAKER pro tempore [Mr. Camp]. The gentleman from Iowa [Mr. 
Lightfoot] is recognized for 2\1/4\ minutes.
  (Mr. LIGHTFOOT asked and was given permission to revise and extend 
his remarks.
  Mr. OBERSTAR. Mr. Speaker, will the gentleman yield?
  Mr. LIGHTFOOT. I yield to the gentleman from Minnesota.
  Mr. OBERSTAR. Mr. Speaker, I wish to pay compliment to the gentleman 
from Iowa [Mr. Lightfoot] for the long years of work that he has 
devoted in the field of aviation and to this issue of an independent 
FAA. The gentleman has been a strong voice and a consistent voice, a 
strong point of support, and I salute him for all his contributions to 
the formulation of this legislation and getting us to the point where 
we are today.
  Mr. LIGHTFOOT. Mr. Speaker, reclaiming my time, I thank the gentleman 
for his kind comments and would like to return the favor as well, 
because part of what we put together the gentleman drew the original 
blueprint for.
  Mr. Speaker, I rise today in support of H.R. 2276, the FAA 
Revitalization Act. At the outset, let me commend Chairmen Shuster and 
Duncan and ranking members Oberstar and Lipinski for bringing forward 
this important legislation for our consideration today. Let me also 
congratulate the staff of

[[Page H2066]]

the Aviation Subcommittee on its hard work getting us here.
  Last year, the Secretary of Transportation, Federico Pena, testified 
that the Clinton administration proposal for a Government owned air 
traffic control corporation was the only solution to the problems that 
exist at the FAA. I was very skeptical of this proposal because I 
personally do not believe we should separate the FAA's safety oversight 
function from the operation of the air traffic control system. Further, 
the General Accounting Office concluded that some of the financial 
assumptions used by the administration made the corporation proposal 
look superficially attractive to those of us trying to balance the 
Federal budget--but were not necessarily realistic.
  In response to the problems we all agree on, that FAA needs 
personnel, procurement, and financial reforms, I introduced H.R. 1392, 
legislation restoring FAA to independent agency status. Frankly, very 
little in this town is original and my proposal owed a great deal to 
previous work on this issue by folks like Jim Oberstar, Wendell Ford, 
and Barry Goldwater.
  Shortly thereafter, the chairman of the Aviation Subcommittee, 
Representative Duncan, concluded his extensive series of hearings on 
FAA reform and also concluded that restoring FAA to independent agency 
status was the best alternative for reform. In September, working as a 
bipartisan team, we introduced the bill before the House today.
  H.R. 2276 largely resembles my original legislation. It restores the 
FAA to independent agency status. It permanently exempts FAA from 
certain onerous procurement and personnel regulations. However, the 
legislation also establishes a Federal Aviation Board to make major 
decisions and a Management Advisory Committee composed of high level 
industry representatives to advise the FAA on certain management, 
policy, spending, and regulatory matters. I am certain these provisions 
will help make the FAA become a more businesslike agency.
  I share the concerns expressed by Mr. Livington, Mr. Wolf, and others 
about the ``off-budget'' provisions originally included in this bill. 
As you all know, the issue of whether to take the trust funds off 
budget is a difficult and divisive one. I commend Mr. Shuster and Mr. 
Duncan for dropping those provisions, temporarily I am sure, so as to 
allow this bill to move forward today.
  However, the bill does contain language creating a select panel to 
review innovative funding mechanisms such as loan guarantees and 
restructured grant programs, to ensure funds are available for future 
improvements in the Nation's aviation infrastructure. I hope the panel 
will look closely at the concept of linked funding, developed by the 
Aircraft Owners and Pilots Association, which will link aviation taxes 
collected to aviation funding. I am currently drafting legislation to 
implement this concept to see if it may hold part of the solution to 
our trust fund difficulties.
  Just as importantly, the bill will allow us to terminate 200 
positions at the Department of Transportation--eliminating duplicative 
bureaucracy that wastes taxpayer dollars. Taxpayer dollars which could 
be better spent funding priority transportation needs.
  In closing, I would like to comment on the Secretary of 
Transportation's position regarding this legislation. The Secretary's 
opposition to an independent FAA is understandable. FAA represents most 
of his budget and employees.
  But the Secretary chooses to deliberately misrepresent this 
legislation. He portrays this legislation as creating a new 
bureaucracy. Far from it, as we have already shown, this legislation 
will reduce over 200 duplicative positions within DOT. In fact, it is 
my hope this legislation will start another debate--about the future of 
the Department of Transportation.
  When it became clear there was no support for the administration's 
ATC corporation proposal, the Secretary suddenly decided that aviation 
faced an imminent funding crisis. So now, the administration proposes 
we abandon the current system of aviation excise taxes and set up an 
entirely new system of aviation taxes--taxes to be determined by the 
administration and raised as it sees fit.
  The basis of the administration's so-called funding crisis comes from 
a projection of FAA's future spending needs versus an extrapolation of 
future funding based on recommendations made by the joint budget 
resolution.
  But this funding crisis is, in my opinion, a phony one. At the 
request of the Transportation Appropriations Subcommittee, the GAO has 
been looking into the methods and assumptions associated with this so-
called funding crisis. An interim report delivered to the 
Transportation Subcommittee last week indicates the Administration, in 
documenting the so-called crisis, is once again rigging the financial 
assumptions to get a predetermined answer.
  As an example Mr. Speaker, the administration forgot to include the 
$2.4 billion in savings over the next 5 years which it estimates will 
come from the personnel and procurement reforms included in this 
legislation and last year's transportation appropriations bill. If we 
didn't know better, we would think this phony funding crisis was just 
another scare tactic from an administration whose resistance to a 7-
year balanced budget is well known.
  Because of the administration's ongoing practice of cooking the books 
to get a predetermined answer and as a means of further resolving any 
doubt about the future funding needs of the FAA, the bill now includes 
a provision directing an independent audit of the FAA. This proposal, 
first advanced by my friend from the other body, Senator Stevens, will 
also help Congress establish how much, if any, of a funding shortfall 
might lie ahead for the agency.
  Companion legislation in the other body would pursue drastic measures 
to deal with a perceived crisis. GAO is already showing this funding 
shortfall may be based on unreliable information provided by the 
administration. In the past few years, you have heard a lot of rhetoric 
from the FAA about making the agency run more like a business. Well no 
business should be based on the sloppy propaganda we have gotten from 
the administration about this so-called funding crisis.
  Mr. Speaker, this bill does not create the Secretary of 
Transportation's Government-owned corporation, or as I call it, the 
Postal Service of the Skies. It also does not give the Secretary the 
new taxes he wanted because they simply are not justified. What we have 
here on the floor today is a bill that everyone should support. A bill 
which has the support of the entire aviation community and a bill which 
will satisfy your constituents' demand for a safe and efficient air 
transportation system. I urge all my colleagues to support this 
legislation.
  Mr. SHUSTER. Mr. Speaker, I am pleased to yield 2 minutes to the 
distinguished gentleman from New Jersey [Mr. Franks], a very important 
member of our committee.
  Mr. FRANKS of New Jersey. Mr. Speaker, first I want to congratulate 
the gentleman from Pennsylvania, Chairman Shuster, the gentleman from 
Tennessee, Chairman Duncan, the gentleman from Illinois, Mr. Lipinski, 
and the gentleman from Minnesota, Mr. Oberstar, for their excellent 
work in bringing this bill to the floor today.
  Mr. Speaker, today I rise in strong support of H.R. 2276, the Federal 
Aviation Administration Revitalization Act of 1995. Although this bill 
contains many worthwhile provisions that will modernize and improve the 
FAA, I want to bring to my colleagues' attention an amendment I offered 
in full committee that is of particular importance to my constituents, 
many of whom have been severely impacted by aircraft noise. 
Specifically, my amendment would establish the position of aircraft 
noise ombudsman within the FAA.
  The idea of an aircraft noise ombudsman is long overdue. In my home 
State of New Jersey, the FAA has either arrogantly dismissed or totally 
ignored the pleas from my constituents for relief. After the Expanded 
East Coast Plan [EECP] was implemented by the FAA in 1987, it took 
years for the FAA to even react to the significant increase in aircraft 
noise over New Jersey that resulted from their policies. By passing 
this bill today, Congress will ensure that there will be an advocate in 
the FAA bureaucracy who will represent the concerns of residents 
affected by airline flight patterns.
  This amendment also gives citizens someone to turn to should they 
have a

[[Page H2067]]

comment, complaint, or suggestion dealing with aircraft noise. As the 
experience in New Jersey demonstrates, the FAA views the very real 
concerns of our constituents regarding aircraft noise as nothing more 
than a minor inconvenience. For example, when the FAA was flooded by 
telephone calls from irate citizens after the EECP was implemented, 
their response was to belatedly install an answering machine on a 
single telephone line which was constantly jammed and to which citizens 
were unable to get through. The American people deserve better 
treatment when it comes to the decisions that directly affect their 
quality of life.
  Moreover, by requiring the ombudsman be appointed by the FAA Board, 
and not by the Administrator, Congress will be assured that the 
position will be filled by a fair and independent individual, and not 
simply serve as a mouthpiece for the FAA bureaucracy. Ideally, I 
believe an aircraft noise activist from New Jersey would be the perfect 
candidate for this new position. After all, no group of citizens are 
more familiar with aircraft noise or the FAA bureaucracy than my 
constituents.
  Mr. Speaker, my amendment is extremely important to the people of New 
Jersey, and to the residents of any area of the Nation affected by 
aircraft noise. I urge my colleagues to demonstrate to their 
constituents that Congress is genuinely interested in mitigating the 
effects of aircraft noise by passing this excellent bill.
  Mr. SHUSTER. Mr. Speaker, I am pleased to yield 1 minute to the 
gentleman from Virginia [Mr. Wolf] the distinguished chairman of the 
Subcommittee on Transportation of the Committee on Appropriations.
  Mr. WOLF. Mr. Speaker, I thank the chairman for yielding me this 
time.
  Mr. Speaker, I understand that the gentleman has proposed an 
amendment in the nature of a substitute which differs in numerous ways 
from the bill, H.R. 2276, that was reported out. I am told the most 
significant of these changes involved the deletion of the off budget 
provisions. Is that accurate?
  Mr. SHUSTER. Mr. Speaker, if the gentleman will yield, the gentleman 
is correct.
  Mr. WOLF. Mr. Speaker, I thank the chairman for that. The other 
thing, for purposes of clarity, would the gentleman briefly describe 
what are some of the other changes that were made from the bill?
  Mr. SHUSTER. I would yield to the distinguished chairman of the 
subcommittee, the gentleman from Tennessee, [Mr. Duncan], for an 
answer.
  Mr. DUNCAN. Mr. Speaker, will the gentleman yield?
  Mr. WOLF. I yield to the gentleman from Tennessee.
  Mr. DUNCAN. Mr. Speaker, the main provision was to take the off 
budget proposal out. We have another insertion there that would allow 
any savings from the FAA from their appropriation to be used, half to 
go to bonuses for FAA employees and half to be applied to the deficit. 
This was simply a way to try to encourage some savings by a Federal 
agency as a way to help in a small way the deficit. But I can assure 
the gentleman we meant in no way to try to sneak this through or pull 
anything over on the Committee on Appropriations. I can assure the 
gentleman that we will work with the gentleman to remove any objections 
that either the gentleman from Virginia or the Committee on 
Appropriations would have in regard to this particular provision.
  Mr. MARTINI. Mr. Speaker, I rise today in support of the Federal 
Aviation Administration Revitalization Act of 1995, H.R. 2276. As a 
member of the House Transportation Subcommittee on Aviation and a 
cosponsor of this bill, I recognize the strong need to revamp and 
modernize the FAA to provide the safest, most efficient, and most cost-
effective delivery of service available.
  It is clear that as the aviation industry grows, the FAA's existing 
structure does not have the flexibility to grow with it. This is a 
responsible bill and exemplifies our efforts to maximize resources. 
First, it will modernize this outdated bureaucratic structure. Next, it 
will help make air travel--a key component of our economy--more 
productive, allowing the FAA to design its own personnel rules and 
avoid interference within the Department of Transportation. Last, with 
this new structure in place, Federal dollars can finally be used for 
new equipment and aviation personnel, not Government bureaucrats.
  Of specific concern to me and thousands of my constituents in 
northern New Jersey is aircraft noise. What has happened over the last 
5 to 8 years has been disheartening to say the least. We have seen the 
FAA, a Federal bureaucracy seemingly so set in its ways, virtually 
dismiss the concerns raised by homeowners affected by Federal policies 
which have increased overhead noise. Mr. Speaker, imagine the 
frustration felt by the taxpaying citizens of Montclair, NJ, who 
continue to be ignored and watch as the quality of their life erodes in 
the wake of thunderous jet engines. Perhaps the FAA's ears have grown 
deaf to concerns from the very noise they have created.
  The people of New Jersey need someone within the FAA who is receptive 
to legitimate noise of concerns. By supporting this important piece of 
legislation, Congress will ensure the residents of New Jersey that 
their concerns will have a seat at the policymaking table. And while I 
believe H.R. 2276 is a giant step in the right direction, I will 
continue to closely monitor all FAA policies which could adversely 
affect my constituents. From this time on the FAA will be accountable 
for its decisions.
  I urge my colleagues to join me in support of this bill and give the 
American people what they deserve--safe and effective air travel.
  Mr. BURTON of Indiana. Mr. Speaker, I rise in strong support of H.R. 
2276, the Federal Aviation Administration Revitalization Act. This 
well-crafted bill, introduced by Congressman Lightfoot and House 
Aviation Subcommittee Chairman John Duncan Jr., was unanimously 
approved by the Aviation Subcommittee and the full House Transportation 
Committee, and enjoys strong bipartisan support. Moreover, it is widely 
supported by the general aviation industry.
  H.R. 2276 presents an opportunity to change and improve our Nation's 
aviation system. For years, those in the aviation industry have 
stressed the crucial need for FAA reform, and the need for the FAA to 
acquire state-of-the-art equipment in a timely manner. H.R. 2276 
accomplishes this goal. This bill makes the FAA independent of the 
Department of Transportation, allowing the FAA to manage and regulate 
the safety of the air traffic control system without second-guessing or 
interference by the Department of Transportation, it frees the FAA from 
burdensome Federal procurement and personnel rules, and it establishes 
a commonsense management structure for the FAA.
  By passage of H.R. 2276, Congress is demonstrating its commitment to 
strengthening the FAA and supporting general aviation and other 
segments of the aviation industry. I urge the prompt passage of this 
legislation so that we can ensure a safer and more efficient aviation 
system for America and its air travelers.
  Mr. RAHALL. Mr. Speaker, I rise in strong support of H.R. 2276, the 
Federal Aviation Administration Revitalization Act which is before us 
today.
  This bill, briefly, calls for the strengthening of the FAA by 
creating it as a separate agency, and will make other meaningful and 
much needed changes in the management of this most critical of Federal 
agencies.
  Important to our consideration of this bill, and I call it to the 
attention of all my colleagues, is that it provides for the 
implementation of numerous reforms of the Agency's procurement and 
personnel management practices. When enacted, this bill will provide 
the FAA and its employees the necessary framework within which 
equipment modernization, cost savings, and labor-management teamwork 
can be fostered and will serve as a model for other Federal agencies.
  It is urgent also that we enact this legislation in order to protect 
and preserve the applicability to the FAA of certain portions of title 
5 of the U.S. Code critical to ensure that FAA employees can continue 
to have the statutory authority to be represented before the Agency and 
closely work with management to further implement needed reforms in a 
cohesive, structured fashion.
  Many other changes to the Agency's structure, leadership, and 
operation are contained in the bill, and are equally important to 
ensure the continued safety of the Nation's air transportation system.
  As many of my colleagues are aware, H.R. 2276 originally contained a 
provision to remove the aviation trust funds off-budget, but in an 
agreement with the Republican leadership, this portion of the bill has 
been removed in order for it to be considered under suspension of the 
rules. I remain committed to this change, and will hope for 
consideration of a free-standing bill, H.R. 842, that will take both 
aviation, highway, and other trust funds off budget later this session.
  The importance of this bill is second only, in my view, of our need 
to increase spending on our aviation infrastructure, rather than 
continue the reductions in spending for such as the Airport Improvement 
Program [AIP] we have seen over the past several funding cycles. It is 
my hope that we can, through the aviation

[[Page H2068]]

funding study authorized in the bill, be provided useful information on 
innovative financing mechanisms that could be used to fund FAA 
operations and the development of aviation infrastructure. In the 
meantime, I believe that the dedicated funds, which are now in surplus, 
contained in the trust fund for aviation purposes should be spent for 
the purpose intended.
  Mr. EWING. Mr. Speaker, I want to thank Chairman Shuster and Aviation 
Subcommittee Chairman Duncan for the expert leadership they have 
demonstrated in bringing this much-needed fundamental FAA reform 
legislation before the House of Representatives today. As a member of 
the Aviation Subcommittee, and as a frequent flyer, I am committed to 
ensuring that our Nation's aviation system remains the safest and most 
efficient in the world. H.R. 2276, the FAA Revitalization Act, is sound 
bipartisan legislation that will strengthen and improve U.S. aviation.
  H.R. 2276 will restore efficiency and accountability to the FAA by 
removing FAA from U.S. Department of Transportation control and 
establishing it as an independent agency. The new FAA will have a 
corporate structure, with a five-member Board of Directors, and a chief 
executive officer from the aviation industry who will oversee the 
Agency's daily operation. This arrangement will provide direct 
accountability and improve FAA's responsiveness to the aviation 
community. It will also save taxpayers money by eliminating 200 FAA 
oversight positions in DOT.
  However, the reforms contained in H.R. 2276 are not just structural. 
The bill implements desperately needed personnel and procurement 
reforms. Under current rules, the FAA does not have the flexibility to 
sufficiently allocate employees to facilities that are chronically 
understaffed, like the Chicago en route center, while other facilities 
are over staffed. H.R. 2276 grants FAA private sector-like powers to 
hire and dismiss employees, a well as the additional flexibility to 
offer incentives to employees for accepting jobs in hard to staff 
facilities. This personnel flexibility is achieved with the support of 
each major FAA employee union, and without weakening employee's rights 
to collectively bargain.
  Finally, H.R. 2276 implements critical FAA procurement reforms. 
Current Federal procurement rules are so inefficient and cumbersome 
that new equipment is often outdated by the time it is installed. This 
problem not only deprives the traveling public and the aviation 
community of the latest and best equipment, but it frequently results 
in substantial Government waste and chronically over-budget projects. 
For example, the FAA's plans to replace its aging en route traffic 
control computers with the new advanced automation system [AAS] is 
nearly 10 years behind schedule and approximately $4 billion over its 
original budget. These cost overruns and delays are clearly 
unacceptable by any reasonable standards.
  Mr. Speaker, H.R. 2276 is true reform legislation. It will 
fundamentally improve and restructure the FAA, which will benefit 
anyone who flies in the United States. For all the reasons I have 
outlined above, I urge all of my colleagues to support passage of H.R. 
2276.
  Mr. FRELINGHUYSEN. Mr. Speaker, today I rise in support of H.R. 2276, 
the Federal Aviation Revitalization Act of 1996. This legislation 
assures that an independent Federal agency will assume the current 
powers of the Federal Aviation Administration [FAA], for aviation 
safety, air traffic control, airway modernization, and yes, aircraft 
noise mitigation. As a Nation we are very dependent on aviation for 
movement of our citizens and movement of many goods and products. We 
need an agency that is responsible to the aviation industry, air 
travelers, as well as all taxpayers across our Nation.
  In my view and the view of many aviation professionals, the 
stonewalling and arrogance which characterize the FAA's response to 
noise complaints, reflects the culture, attitudes, and philosophy of 
its parent bureaucracy, the U.S. Department of Transportation [DOT]. 
Making the FAA independent of the massive DOT bureaucracy, as well as 
the creation of the Management Advisory Committee and the Aircraft 
Noise Ombudsman, will enable the FAA to better represent the taxpayers. 
In a streamlined and independent agency, no decisionmaker will be able 
to hide behind layers of DOT bureaucracy. The three members of the 
Federal Aviation Board, who will administer the FAA, will be more 
visible and publicly accountable.
  My colleague from New Jersey, Congressman Bob Franks, and his 
constituents, have experienced the same frustrations as I have with the 
FAA bureaucracy in the DOT. His successful effort to include in this 
legislation the creation of an Aircraft Noise Ombudsman directly 
addresses the needs for the taxpayers to have an advocate for their 
concerns regarding the very important issue of aircraft noise 
mitigation. The success of the Aircraft Noise Ombudsman will depend on 
the degree to which the FAA changes its approach toward communicating 
with taxpayers and Congress. The establishment of the FAA as an 
independent agency provides a positive starting point.
  Consequently, Mr. Speaker, I ask that my colleagues support H.R. 2276 
and give the American taxpayers a more responsive and efficient Federal 
Aviation Administration.
  Ms. BROWN of Florida. Mr. Speaker, Chairman Shuster, Congressman 
Oberstar, Congressman Duncan, Congressman Lipinski, and I want to 
commend and congratulate you for working together in a bipartisan 
fashion to bring a good bill to the House floor.
  H.R. 2276, the FAA Revitalization Act, addresses FAA's serious 
bureaucracy and procurement problems while ensuring that Congress keeps 
an important oversight role. H.R. 2276 makes the FAA an independent 
agency separate from DOT but still part of the executive branch. H.R. 
2276 exempts the Agency from personnel and procurement systems, subject 
to congressional review. However, this bill does require FAA to develop 
new personnel and procurement systems tailored to meet the FAA's 
specific needs while still maintaining important employee rights such 
as whistleblowers protection, labor-management relations, and laws 
prohibiting discrimination. That's why it is important that H.R. 2276 
be enacted into law before April 1.
  If this bill is not enacted into law before April 1, then the fiscal 
year 1996 Transportation Appropriations Act's requirement that the FAA 
establish new personnel and procurement rules will go into effect. 
Unfortunately, the Appropriations Act does not require the FAA to 
adhere to employee rights that are clearly stated in H.R. 2276, 
especially the protection of labor-management relations. For the last 
several months, I have been hearing from FAA employees in my district 
who are very concerned that Congress will not meet its April 1 deadline 
and that they will lose their rights to negotiate with the FAA about 
the new personnel system. These employees have a great deal at stake. 
Let's get this bill enacted before it's too late.
  Again, I commend my colleagues on their fine work and would ask my 
colleagues to support this bill.
  Mr. SHUSTER. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  Mr. OBERSTAR. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time, and ask all Members to support this 
very important landmark legislation.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Pennsylvania [Mr. Shuster] that the House suspend the 
rules and pass the bill, H.R. 2276, as amended.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.


                             general leave

  Mr. SHUSTER. Mr. Speaker, I ask unanimous consent that all Members 
may have 5 legislative days within which to revise and extend their 
remarks on H.R. 2276, as amended.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Pennsylvania?
  There was no objection.

                          ____________________