[Congressional Record Volume 145, Number 34 (Thursday, March 4, 1999)]
[Senate]
[Pages S2286-S2307]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. WARNER:
  S. 536. A bill entitled the ``Wendell H. Ford National Air 
Transportation System Improvement Act of 1999''; to the Committee on 
Commerce, Science, and Transportation.

[[Page S2287]]

 wendell h. ford national air transportation system improvement act of 
                                  1999

  Mr. WARNER. Mr. President, I rise today to share with my colleagues 
my strong opposition and serious concerns about safety and service 
impacts resulting from S. 82, the Air Transportation Improvement Act. 
This legislation has been reported from the Commerce Committee and 
reauthorizes the activities of the Federal Aviation Administration.
  My remarks today will focus on the unwise provisions included in this 
bill which tear apart the Perimeter and High Density rules at Reagan 
National Airport. These rules have been in effect--either in regulation 
or in statute--for nearly 30 years. Since 1986, these rules have been a 
critical ingredient in providing for significant capital investments 
and a balance in service among this region's three airports--Dulles 
International, Reagan National, and Baltimore-Washington International.
  First and foremost, I believe these existing rules have greatly 
benefitted the traveling public--the consumer. The provisions in the 
Committee bill will severely reduce the level of service that Reagan 
National now provides and, as a result, consumer convenience in air 
travel will suffer greatly.
  The provisions in S. 82 differ dramatically from the provisions 
included in the legislation the Senate passed last year by a vote of 92 
to 1. Of the four slot-controlled airports in the country--Reagan 
National, O'Hare International in Chicago, and Kennedy and LaGuardia in 
New York--only Reagan National received a significant increase in take-
off and landing slots from last year's bill--24 per day to 48 per day.
  This increase is unjustified and not supported by any evidence that 
it is needed. Today, Reagan National handles approximately 800 take-off 
and landing operations per day, Chicago's O'Hare handles approximately 
2,000 take-off and landing operations per day. Yet, in the Committee-
reported bill Reagan National would receive another 48 slots while 
O'Hare would receive only another 30 slots per day. This is a 
disproportionate increase especially when one compares the size and 
daily operations of the airports. Again, at New York's Kennedy and 
LaGuardia, there are no changes in this year's bill from the provisions 
included in the bill passed by the Senate last year.
  Mr. President, to gain a full understanding of the severe impact that 
these changes will have on our regional airports, one must examine the 
recent history of these three airports. Prior to 1986, Dulles and 
Reagan National were federally-owned and managed by the FAA. The level 
of service provided at these airports was deplorable. At National, 
consumers were routinely subject to traffic gridlock, insufficient 
parking, and routine flight cancellations and delays. Dulles was an 
isolated, underutilized airport.
  For years, the debate raged within the FAA and the surrounding 
communities about the future of Reagan National. Should it be improved, 
expanded or closed? This ongoing uncertainly produced an atmosphere 
where no investments were made in National and Dulles and service 
continued to deteriorate.
  A national commission, now known as the Holton Commission, was 
created in 1984 and led by former Virginia Governor Linwood Holton and 
former Secretary of Transportation Elizabeth Dole to resolve these 
long-standing controversies which plagued both airports. The result was 
a recommendation to transfer Federal ownership of the airports so that 
sorely needed capital investments to improve safety and service could 
be made.
  I was pleased to have participated in the development of the 1986 
legislation to transfer operations of these airports to a regional 
authority. It was a fair compromise of the many issues which had 
stalled any improvements at both airports over the years. The 
regulatory High Density Rule was placed in the statute so that neither 
the FAA nor the Authority could change it unilaterally. The previous 
passenger cap was repealed, thereby ending growth controls, in exchange 
for a freeze on slots. Lastly, the perimeter rule at 1,250 miles was 
established.

  For those interested in securing capital investments at both 
airports, the transfer of these airports under a long-term lease 
arrangement to the Metropolitan Washington Airports Authority gave MWAA 
the power to sell bonds to finance the long-overdue work. The Authority 
has sold millions of dollars in bonds which has financed the new 
terminal, rehabilitation of the existing terminal, a new control tower 
and parking facilities at Reagan National.
  These improvements would not have been possible without the 1986 
Transfer Act which included the High Density Rule, and the Perimeter 
Rule. Limitations on operations at National had long been in effect 
through FAA regulations, but now were part of the balanced compromise 
in the Transfer Act.
  For those who feared significant increases in flight activity at 
National and who for years had prevented any significant investments in 
National, they were now willing to support major rehabilitation work at 
National to improve service. They were satisfied that these guarantees 
would ensure that Reagan National would not become another ``Dulles or 
BWI''. Citizens had received legislative assurances that there would be 
no growth at Reagan National in terms of permitted scheduled flights 
beyond on the 37-per-hour-limit.
  These critical decisions in the 1986 Transfer Act were made to fix 
both the aircraft activity level at Reagan National and to set its role 
as a short/medium haul airport. These compromises served to insulate 
the airport from its long history of competing efforts to increase and 
to decrease its use.
  Since the transfer, the Authority has worked to maintain the balance 
in service between Dulles and Reagan National. The limited growth 
principle for Reagan National has been executed by the Authority in all 
of its planning assumptions and the Master Plan. While we have all 
witnessed the transformation of National into a quality airport today, 
these improvements in terminals, the control tower and parking 
facilities were all determined to meet the needs of this airport for 
the foreseeable future based on the continuation of the High Density 
and Perimeter rules. These improvements, however, have purposely not 
included an increase in the number of gates for aircraft or airfield 
capacity.
  Prior to the 1986 Transfer Act, while National was mired in 
controversy and poor service, Dulles was identified as the region's 
growth airport. Under FAA rules and the Department of Transportation's 
1981 Metropolitan Washington Airports Policy, it was recognized that 
Dulles had the capacity for growth and a suitable environment to 
accommodate this growth. Following enactment of the Transfer Act, 
plans, capital investments and bonding decisions made by the Authority 
all factored in the High Density and Perimeter rules.
  Mr. President, I provide this history on the issues which stalled 
improvements at the region's airports in the 1970s and 1980s because it 
is important to understanding how these airports have operated so 
effectively over the past thirteen years.
  Everyone one of us should ask ourselves if the 1986 Transfer Act has 
met our expectations. For me, the answer is a resounding yes. Long-
overdue capital investments have been made in Reagan National and 
Dulles. The surrounding communities have been given an important voice 
in the management of these airports. We have seen unprecedented 
stability in the growth of both airports. Most importantly, the 
consumer has benefitted by enhanced service at Reagan National.
  For these reasons, I strongly oppose the Committee bill to add 48 
slots, or another 16,000 flights annually, at Reagan National. There is 
no justification for an increase of this size. It is not recommended by 
the Administration, by the airline industry, by the Metropolitan 
Washington Airports Authority or by the consumer.
  Last year, I cautiously supported a modest increase in flights at 
Reagan National because I believed it was a fair compromise of the many 
competing demands in the airline industry today. While many of my 
constituents strongly opposed this limited increase in aircraft 
activity at National, I came to the conclusion that this growth could 
be accommodated without significantly disrupting consumer services or 
safety.
  Mr. President, I deeply regret that the Committee did not include in 
S.82 the provisions from last year's bill which was the result of an 
agreement

[[Page S2288]]

between the Chairman, the Majority Leader and those of us representing 
this region. I am prepared today to stand behind our agreement and will 
continue to work with the Commerce Committee to ensure that they 
understand how detrimental this excessive increase in flights will be 
for our hard-fought regional balance, air traffic safety and consumer 
service.
  At a time when the Committee is considering legislation to protect 
air travel consumer rights, why are we considering legislation that 
will do nothing but severely disrupt consumer services at Reagan 
National?
  The capital improvements made at Reagan National since the 1986 
Transfer Act have not expanded the 44 gates or expanded airfield 
capacity. All of the improvements that have been made have been on the 
landside of the airport. No improvements have been made to accommodate 
increase aircraft capacity. Expanding flights at National to a level 
included in the Committee bill will simply ``turn back the clock'' at 
National to the days of traffic gridlock, overcrowded terminal activity 
and flight delays--all to the detriment of the traveling public.
  This ill-advised scheme is sure to return Reagan National to an 
airport plagued by delays and inconvenience. This proposal threatens to 
overwhelm the new facilities, just as the previous facilities were 
overwhelmed. However, now it would be worse. Now, we would be facing 
increased aircraft delays. There would be delays and inconvenience both 
on the ground and in the air.
  Any discussion of operations at Reagan National cannot occur without 
a recognition of the impact these increased flights will have on 
aircraft noise. One of the principal reasons why many in the Washington 
region were so wary of improvements at Reagan National, making it more 
attractive for additional flights and increased noise levels, appears 
to be coming true.
  My colleagues will attempt to persuade you that these new flights, 
based on noise measurement techniques, will not result in noticeable 
increases in noise levels. The plain fact is that the increased flights 
included in the Committee bill will result in about 16,000 new flights 
each year at Reagan National. Do any of us believe that 16,000 new 
flights will not result in a ``noticeable'' increase in noise.
  Mr. President, I regret that I must oppose the recommendations of the 
Commerce Committee to add another 48 slots at Reagan National. This is 
an unjustified increase that has not been thoroughly examined by the 
FAA. I believe it has the very real possibility of jeopardizing the 
significant improvements made at Reagan National in the past 10 years 
and will return the airport to the days of poor service, delays and 
overcrowding.
  The current temporary extension of FAA activities and AIP funding 
expires at the end of this month. I readily recognize that the Congress 
must move forward with a full reauthorization proposal. Due to the 
press of time, it is regrettable that the Committee has decided to make 
such a significant change from last year's bill. This new approach does 
not aid our efforts to enact a full FAA reauthorization bill for our 
communities.
  For these reasons, I am introducing today the FAA legislation passed 
by the Senate last September by a vote of 92 to 1. It provides for a 
modest increase in flights at Reagan National both inside and beyond 
the 1,250-mile perimeter.
  Mr. President, I also intend to exercise all of my rights and engage 
in an extensive debate on these important issues.
  Mr. President, this bill is exactly the bill passed by the U.S. 
Senate last year with a vote of 91 Senators to 1 no vote.
  Mr. President, this is the bill which said that there shall be 24 
slots in the judgment of the Senate. It was to go to the House, which 
it did. The House and the Senate could not reconcile their differences. 
I worked very carefully with Senator McCain. I want to make it clear we 
had an understanding that I would support this bill of 24 even though I 
felt the slots were too many.
  I had every reason to believe that in the negotiations with the 
House, the number of slots would come down below 24--usually the House 
and Senate split their differences--to, say 12, which although I still 
would not like to see 12 additional slots, for safety and other 
reasons, 90 other Senators felt there should be additional slots.
  So recognizing the preponderance of the Senate wanted additional 
slots, I was willing to accept. Senator McCain did not break his deal 
with me because the House would not accept any. So now he will soon be 
back here on the floor, presumably with another bill for 48 slots. I 
think that is too high. My bill hopefully will be put on as an 
amendment, as a substitute, in the course of that deliberation.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 536

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

     SECTION 1. SHORT TITLE; TABLE OF SECTIONS.

       (a) Short Title.--This Act may be cited as the ``Wendell H. 
     Ford National Air Transportation System Improvement Act of 
     1998''.
       (b) Table of Sections.--The table of sections for this Act 
     is as follows:

Sec. 1. Short title; table of sections.
Sec. 2. Amendments to title 49, United States Code.

                        TITLE I--AUTHORIZATIONS

Sec. 101. Federal Aviation Administration operations.
Sec. 102. Air navigation facilities and equipment.
Sec. 103. Airport planning and development and noise compatibility 
              planning and programs.
Sec. 104. Reprogramming notification requirement.
Sec. 105. Airport security program.
Sec. 106. Contract tower programs
Sec. 107. Automated surface observation system stations.

            TITLE II--AIRPORT IMPROVEMENT PROGRAM AMENDMENTS

Sec. 201. Removal of the cap on discretionary fund.
Sec. 202. Innovative use of airport grant funds.
Sec. 203. Matching share.
Sec. 204. Increase in apportionment for noise compatibility planning 
              and programs.
Sec. 205. Technical amendments.
Sec. 206. Repeal of period of applicability.
Sec. 207. Report on efforts to implement capacity enhancements.
Sec. 208. Prioritization of discretionary projects.
Sec. 209. Public notice before grant assurance requirement waived.
Sec. 210. Definition of public aircraft.
Sec. 211. Terminal development costs.
Sec. 212. Airfield pavement conditions.
Sec. 213. Discretionary grants.

                 TITLE III--AMENDMENTS TO AVIATION LAW

Sec. 301. Severable services contracts for periods crossing fiscal 
              years.
Sec. 302. Foreign carriers eligible for waiver under Airport Noise and 
              Capacity Act.
Sec. 303. Government and industry consortia.
Sec. 304. Implementation of Article 83 Bis of the Chicago Convention.
Sec. 305. Foreign aviation services authority.
Sec. 306. Flexibility to perform criminal history record checks; 
              technical amendments to Pilot Records Improvement Act.
Sec. 307. Aviation insurance program amendments.
Sec. 308. Technical corrections to civil penalty provisions.
Sec. 309. Criminal penalty for pilots operating in air transportation 
              without an airman's certificate.
Sec. 310. Nondiscriminatory interline interconnection requirements.

                TITLE IV--TITLE 49 TECHNICAL CORRECTIONS

Sec. 401. Restatement of 49 U.S.C. 106(g).
Sec. 402. Restatement of 49 U.S.C. 44909.

                         TITLE V--MISCELLANEOUS

Sec. 501. Oversight of FAA response to year 2000 problem.
Sec. 502. Cargo collision avoidance systems deadline.
Sec. 503. Runway safety areas; precision approach path indicators.
Sec. 504. Airplane emergency locators.
Sec. 505. Counterfeit aircraft parts.
Sec. 506. FAA may fine unruly passengers.
Sec. 507. Higher standards for handicapped access.
Sec. 508. Conveyances of United States Government land.
Sec. 509. Flight operations quality assurance rules.
Sec. 510. Wide area augmentation system.
Sec. 511. Regulation of Alaska air guides.
Sec. 512. Application of FAA regulations.
Sec. 513. Human factors program.
Sec. 514. Independent validation of FAA costs and allocations.
Sec. 515. Whistleblower protection for FAA employees.
Sec. 516. Report on modernization of oceanic ATC system.
Sec. 517. Report on air transportation oversight system.

[[Page S2289]]

Sec. 518. Recycling of EIS.
Sec. 519. Protection of employees providing air safety information.
Sec. 520. Improvements to air navigation facilities.
Sec. 521. Denial of airport access to certain air carriers.
Sec. 522. Tourism.
Sec. 523. Equivalency of FAA and EU safety standards.
Sec. 524. Sense of the Senate on property taxes on public-use airports.
Sec. 525. Federal Aviation Administration Personnel Management System.
Sec. 526. Aircraft and aviation component repair and maintenance 
              advisory panel.
Sec. 527. Report on enhanced domestic airline competition.
Sec. 528. Aircraft situational display data.
Sec. 529. To express the sense of the Senate concerning a bilateral 
              agreement between the United States and the United 
              Kingdom regarding Charlotte-London route.
Sec. 530. To express the sense of the Senate concerning a bilateral 
              agreement between the United States and the United 
              Kingdom regarding Cleveland-London route.
Sec. 531. Allocation of Trust Fund funding.
Sec. 532. Taos Pueblo and Blue Lakes Wilderness Area demonstration 
              project.
Sec. 533. Airline marketing disclosure.
Sec. 534. Certain air traffice control towers.
Sec. 535. Compensation under the Death on the High Seas Act.

                TITLE VI--AVIATION COMPETITION PROMOTION

Sec. 601. Purpose.
Sec. 602. Establishment of small community aviation development 
              program.
Sec. 603. Community-carrier air service program.
Sec. 604. Authorization of appropriations.
Sec. 605. Marketing practices.
Sec. 606. Slot exemptions for nonstop regional jet service.
Sec. 607. Exemptions to perimeter rule at Ronald Reagan Washington 
              National Airport.
Sec. 608. Additional slot exemptions at Chicago O'Hare International 
              Airport.
Sec. 609. Consumer notification of e-ticket expiration dates.
Sec. 610. Joint venture agreements.
Sec. 611. Regional air service incentive options.
Sec. 612. GAO study of air transportation needs.

                  TITLE VII--NATIONAL PARK OVERFLIGHTS

Sec. 701. Findings.
Sec. 702. Air tour management plans for national parks.
Sec. 703. Advisory group.
Sec. 704. Overflight fee report.
Sec. 705. Prohibition of commercial air tours over the Rocky Mountain 
              National Park.

             TITLE VIII--CENTENNIAL OF FLIGHT COMMEMORATION

Sec. 801. Short title.
Sec. 802. Findings.
Sec. 803. Establishment.
Sec. 804. Membership.
Sec. 805. Duties.
Sec. 806. Powers.
Sec. 807. Staff and support services.
Sec. 808. Contributions.
Sec. 809. Exclusive right to name, logos, emblems, seals, and marks.
Sec. 810. Reports.
Sec. 811. Audit of financial transactions.
Sec. 812. Advisory board.
Sec. 813. Definitions.
Sec. 814. Termination.
Sec. 815. Authorization of appropriations.

   TITLE IX--EXTENSION OF AIRPORT AND AIRWAY TRUST FUND EXPENDITURE 
                               AUTHORITY

Sec. 901. Extension of expenditure authority.

     SEC. 2. AMENDMENTS TO TITLE 49, UNITED STATES CODE.

       Except as otherwise expressly provided, whenever in this 
     Act an amendment or repeal is expressed in terms of an 
     amendment to, or a repeal of, a section or other provision, 
     the reference shall be considered to be made to a section or 
     other provision of title 49, United States Code.
                        TITLE I--AUTHORIZATIONS

     SEC. 101. FEDERAL AVIATION ADMINISTRATION OPERATIONS.

       (a) In General.--Section 106(k) is amended to read as 
     follows:
       ``(k) Authorization of Appropriations for Operations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Secretary of Transportation for operations of the 
     Administration $5,631,000,000 for fiscal year 1999 and 
     $5,784,000,000 for fiscal year 2000. Of the amounts 
     authorized to be appropriated for fiscal year 1999, not more 
     than $9,100,000 shall be used to support air safety efforts 
     through payment of United States membership obligations, to 
     be paid as soon as practicable.
       ``(2) Authorized expenditures.--Of the amounts appropriated 
     under paragraph (1) $450,000 may be used for wildlife hazard 
     mitigation measures and management of the wildlife strike 
     database of the Federal Aviation Administration.
       ``(3) University consortium.--There are authorized to be 
     appropriated not more than $9,100,000 for the 3 fiscal year 
     period beginning with fiscal year 1999 to support a 
     university consortium established to provide an air safety 
     and security management certificate program, working 
     cooperatively with the Federal Aviation Administration and 
     United States air carriers. Funds authorized under this 
     paragraph--
       ``(A) may not be used for the construction of a building or 
     other facility; and
       ``(B) shall be awarded on the basis of open competition.''.
       (b) Coordination.--The authority granted the Secretary 
     under section 41717 of title 49, United States Code, does not 
     affect the Secretary's authority under any other provision of 
     law.

     SEC. 102. AIR NAVIGATION FACILITIES AND EQUIPMENT.

       (a) In General.--Section 48101(a) is amended by striking 
     paragraphs (1) and (2) and inserting the following:
       ``(1) for fiscal year 1999--
       ``(A) $222,800,000 for engineering, development, test, and 
     evaluation: en route programs;
       ``(B) $74,700,000 for engineering, development, test, and 
     evaluation: terminal programs;
       ``(C) $108,000,000 for engineering, development, test, and 
     evaluation: landing and navigational aids;
       ``(D) $17,790,000 for engineering, development, test, and 
     evaluation: research, test, and evaluation equipment and 
     facilities programs;
       ``(E) $391,358,300 for air traffic control facilities and 
     equipment: en route programs;
       ``(F) $492,315,500 for air traffic control facilities and 
     equipment: terminal programs;
       ``(G) $38,764,400 for air traffic control facilities and 
     equipment: flight services programs;
       ``(H) $50,500,000 for air traffic control facilities and 
     equipment: other ATC facilities programs;
       ``(I) $162,400,000 for non-ATC facilities and equipment 
     programs;
       ``(J) $14,500,000 for training and equipment facilities 
     programs;
       ``(K) $280,800,000 for mission support programs;
       ``(L) $235,210,000 for personnel and related expenses; and
       ``(2) $2,189,000,000 for fiscal year 2000.''.
       (b) Continuation of ILS Inventory Program.--Section 
     44502(a)(4)(B) is amended--
       (1) by striking ``fiscal years 1995 and 1996'' and 
     inserting ``fiscal years 1999 and 2000''; and
       (2) by striking ``acquisition,'' and inserting 
     ``acquisition under new or existing contracts,''.
       (c) Life-Cycle Cost Estimates.--The Administrator of the 
     Federal Aviation Administration shall establish life-cycle 
     cost estimates for any air traffic control modernization 
     project the total life-cycle costs of which equal or exceed 
     $50,000,000.

     SEC. 103. AIRPORT PLANNING AND DEVELOPMENT AND NOISE 
                   COMPATIBILITY PLANNING AND PROGRAMS.

       (a) Extension and Authorization.--Section 48103 is amended 
     by--
       (1) striking ``September 30, 1996,'' and inserting 
     ``September 30, 1998,''; and
       (2) striking ``$2,280,000,000 for fiscal years ending 
     before October 1, 1997, and $4,627,000,000 for fiscal years 
     ending before October 1, 1998.'' and inserting 
     ``$2,410,000,000 for fiscal years ending before October 1, 
     1999 and $4,885,000,000 for fiscal years ending before 
     October 1, 2000.''.
       (b) Project Grant Authority.--Section 47104(c) is amended 
     by striking ``1998,'' and inserting ``2002,''.

     SEC. 104. REPROGRAMMING NOTIFICATION REQUIREMENT.

       Before reprogramming any amounts appropriated under section 
     106(k), 48101(a), or 48103 of title 49, United States Code, 
     for which notification of the Committees on Appropriations of 
     the Senate and the House of Representatives is required, the 
     Secretary of Transportation shall submit a written 
     explanation of the proposed reprogramming to the Committee on 
     Commerce, Science, and Transportation of the Senate and the 
     Committee on Transportation and Infrastructure of the House 
     of Representatives.

     SEC. 105. AIRPORT SECURITY PROGRAM.

       (a) In General.--Chapter 471 (as amended by section 202(a) 
     of this Act) is amended by adding at the end thereof the 
     following new section:

     ``Sec. 47136. Airport security program

       ``(a) General Authority.--To improve security at public 
     airports in the United States, the Secretary of 
     Transportation shall carry out not less than 1 project to 
     test and evaluate innovative airport security systems and 
     related technology.
       ``(b) Priority.--In carrying out this section, the 
     Secretary shall give the highest priority to a request from 
     an eligible sponsor for a grant to undertake a project that--
       ``(1) evaluates and tests the benefits of innovative 
     airport security systems or related technology, including 
     explosives detection systems, for the purpose of improving 
     airport and aircraft physical security and access control; 
     and
       ``(2) provides testing and evaluation of airport security 
     systems and technology in an operational, test bed 
     environment.
       ``(c) Matching Share.--Notwithstanding section 47109, the 
     United States Government's share of allowable project costs 
     for a project under this section is 100 percent.

[[Page S2290]]

       ``(d) Terms and Conditions.--The Secretary may establish 
     such terms and conditions as the Secretary determines 
     appropriate for carrying out a project under this section, 
     including terms and conditions relating to the form and 
     content of a proposal for a project, project assurances, and 
     schedule of payments.
       ``(e) Eligible Sponsor Defined.--In this section, the term 
     `eligible sponsor' means a nonprofit corporation composed of 
     a consortium of public and private persons, including a 
     sponsor of a primary airport, with the necessary engineering 
     and technical expertise to successfully conduct the testing 
     and evaluation of airport and aircraft related security 
     systems.
       ``(f) Authorization of Appropriations.--Of the amounts made 
     available to the Secretary under section 47115 in a fiscal 
     year, the Secretary shall make available not less than 
     $5,000,000 for the purpose of carrying out this section.''.
       (b) Conforming Amendment.--The chapter analysis for such 
     chapter (as amended by section 202(b) of this Act) is amended 
     by inserting after the item relating to section 47135 the 
     following:

``47136. Airport security program.''.

     SEC. 106. CONTRACT TOWER PROGRAM.

       There are authorized to be appropriated to the Secretary of 
     Transportation such sums as may be necessary to carry out the 
     Federal Contract Tower Program under title 49, United States 
     Code.

     SEC. 107. AUTOMATED SURFACE OBSERVATION SYSTEM STATIONS.

       The Administrator of the Federal Aviation Administration 
     shall not terminate human weather observers for Automated 
     Surface Observation System stations until--
       (1) the Secretary of Transportation determines that the 
     System provides consistent reporting of changing 
     meteorological conditions and notifies the Congress in 
     writing of that determination; and
       (2) 60 days have passed since the report was submitted to 
     the Congress.
            TITLE II--AIRPORT IMPROVEMENT PROGRAM AMENDMENTS

     SEC. 201. REMOVAL OF THE CAP ON DISCRETIONARY FUND.

       Section 47115(g) is amended by striking paragraph (4).

     SEC. 202. INNOVATIVE USE OF AIRPORT GRANT FUNDS.

       (a) Codification and Improvement of 1996 Program.--
     Subchapter I of chapter 471 is amended by adding at the end 
     thereof the following:

     ``Sec. 47135. Innovative financing techniques

       ``(a) In General.--The Secretary of Transportation is 
     authorized to carry out a demonstration program under which 
     the Secretary may approve applications under this subchapter 
     for not more than 20 projects for which grants received under 
     the subchapter may be used to implement innovative financing 
     techniques.
       ``(b) Purpose.--The purpose of the demonstration program 
     shall be to provide information on the use of innovative 
     financing techniques for airport development projects.
       ``(c) Limitation--In no case shall the implementation of an 
     innovative financing technique under this section be used in 
     a manner giving rise to a direct or indirect guarantee of any 
     airport debt instrument by the United States Government.
       ``(d) Innovative Financing Technique Defined.--In this 
     section, the term `innovative financing technique' includes 
     methods of financing projects that the Secretary determines 
     may be beneficial to airport development, including--
       ``(1) payment of interest;
       ``(2) commercial bond insurance and other credit 
     enhancement associated with airport bonds for eligible 
     airport development; and
       ``(3) flexible non-Federal matching requirements.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     471 is amended by inserting after the item relating to 
     section 47134 the following:

``47135. Innovative financing techniques.''.

     SEC. 203. MATCHING SHARE.

       Section 47109(a)(2) is amended by inserting ``not more 
     than'' before ``90 percent''.

     SEC. 204. INCREASE IN APPORTIONMENT FOR NOISE COMPATIBILITY 
                   PLANNING AND PROGRAMS.

       Section 47117(e)(1)(A) is amended by striking ``31'' each 
     time it appears and substituting ``35''.

     SEC. 205. TECHNICAL AMENDMENTS.

       (a) Use of Apportionments for Alaska, Puerto Rico, and 
     Hawaii.--Section 47114(d)(3) is amended to read as follows:
       ``(3) An amount apportioned under paragraph (2) of this 
     subsection for airports in Alaska, Hawaii, or Puerto Rico may 
     be made available by the Secretary for any public airport in 
     those respective jurisdictions.''.
       (b) Supplemental Apportionment for Alaska.--Section 
     47114(e) is amended--
       (1) by striking ``Alternative'' in the subsection caption 
     and inserting ``Supplemental'';
       (2) in paragraph (1) by--
       (A) striking ``Instead of apportioning amounts for airports 
     in Alaska under'' and inserting ``Notwithstanding''; and
       (B) striking ``those airports'' and inserting ``airports in 
     Alaska''; and
       (3) striking paragraph (3) and inserting the following:
       ``(3) An amount apportioned under this subsection may be 
     used for any public airport in Alaska.''.
       (c) Repeal of Apportionment Limitation on Commercial 
     Service Airports in Alaska.--Section 47117 is amended by 
     striking subsection (f) and redesignating subsections (g) and 
     (h) as subsections (f) and (g), respectively.
       (d) Discretionary Fund Definition.--
       (1) Section 47115 is amended--
       (A) by striking ``25'' in subsection (a) and inserting 
     ``12.5''; and
       (B) by striking the second sentence in subsection (b).
       (2) Section 47116 is amended--
       (A) by striking ``75'' in subsection (a) and inserting 
     ``87.5'';
       (B) by redesignating paragraphs (1) and (2) in subsection 
     (b) as subparagraphs (A) and (B), respectively, and inserting 
     before subparagraph (A), as so redesignated, the following:
       ``(1) one-seventh for grants for projects at small hub 
     airports (as defined in section 41731 of this title); and
       ``(2) the remaining amounts based on the following:''.
       (e) Continuation of Project Funding.--Section 47108 is 
     amended by adding at the end thereof the following:
       ``(e) Change in Airport Status.--If the status of a primary 
     airport changes to a nonprimary airport at a time when a 
     development project under a multiyear agreement under 
     subsection (a) is not yet completed, the project shall remain 
     eligible for funding from discretionary funds under section 
     47115 of this title at the funding level and under the terms 
     provided by the agreement, subject to the availability of 
     funds.''.
       (f) Grant Eligibility for Private Reliever Airports.--
     Section 47102(17)(B) is amended by--
       (1) striking ``or'' at the end of clause (i) and 
     redesignating clause (ii) as clause (iii); and
       (2) inserting after clause (i) the following:
       ``(ii) a privately-owned airport that, as a reliever 
     airport, received Federal aid for airport development prior 
     to October 9, 1996, but only if the Administrator issues 
     revised administrative guidance after July 1, 1998, for the 
     designation of reliever airports; or''.
       (g) Reliever Airports Not Eligible for Letters of Intent.--
     Section 47110(e)(1) is amended by striking ``or reliever''.
       (h) Passenger Facility Fee Waiver for Certain Class of 
     Carriers.--Section 40117(e)(2) is amended--
       (1) by striking ``and'' after the semicolon in subparagraph 
     (B);
       (2) by striking ``payment.'' in subparagraph (C) and 
     inserting ``payment; and''; and
       (3) by adding at the end thereof the following:
       ``(D) in Alaska aboard an aircraft having a seating 
     capacity of less than 20 passengers.''.
       (i) Passenger Facility Fee Waiver for Certain Class of 
     Carriers or for Service to Airports in Isolated 
     Communities.--Section 40117(i) is amended--
       (1) by striking ``and'' at the end of paragraph (1);
       (2) by striking ``transportation.'' in paragraph (2)(D) and 
     inserting ``transportation; and''; and
       (3) by adding at the end thereof the following:
       ``(3) may permit a public agency to request that collection 
     of a passenger facility fee be waived for--
       ``(A) passengers enplaned by any class of air carrier or 
     foreign air carrier if the number of passengers enplaned by 
     the carriers in the class constitutes not more than one 
     percent of the total number of passengers enplaned annually 
     at the airport at which the fee is imposed; or
       ``(B) passengers enplaned on a flight to an airport--
       ``(i) that has fewer than 2,500 passenger boardings each 
     year and receives scheduled passenger service; or
       ``(ii) in a community which has a population of less than 
     10,000 and is not connected by a land highway or vehicular 
     way to the land-connected National Highway System within a 
     State.''.
       (j) Use of the Word ``gift'' and Priority for Airports in 
     Surplus Property Disposal.--
       (1) Section 47151 is amended--
       (A) by striking ``give'' in subsection (a) and inserting 
     ``convey to'';
       (B) by striking ``gift'' in subsection (a)(2) and inserting 
     ``conveyance'';
       (C) by striking ``giving'' in subsection (b) and inserting 
     ``conveying'';
       (D) by striking ``gift'' in subsection (b) and inserting 
     ``conveyance''; and
       (E) by adding at the end thereof the following:
       ``(d) Priority for Public Airports.--Except for requests 
     from another Federal agency, a department, agency, or 
     instrumentality of the Executive Branch of the United States 
     Government shall give priority to a request by a public 
     agency (as defined in section 47102 of this title) for 
     surplus property described in subsection (a) of this section 
     for use at a public airport.''.
       (2) Section 47152 is amended--
       (A) by striking ``gifts'' in the section caption and 
     inserting ``conveyances''; and
       (B) by striking ``gift'' in the first sentence and 
     inserting ``conveyance''.
       (3) The chapter analysis for chapter 471 is amended by 
     striking the item relating to section 47152 and inserting the 
     following:

``47152. Terms of conveyances.''.

       (4) Section 47153(a) is amended--
       (A) by striking ``gift'' in paragraph (1) and inserting 
     ``conveyance'';

[[Page S2291]]

       (B) by striking ``given'' in paragraph (1)(A) and inserting 
     ``conveyed''; and
       (C) by striking ``gift'' in paragraph (1)(B) and inserting 
     ``conveyance''.
       (k) Apportionment for Cargo Only Airports.--Section 
     47114(c)(2)(A) is amended by striking ``2.5 percent'' and 
     inserting ``3 percent''.
       (l) Flexibility in Pavement Design Standards.--Section 
     47114(d) is amended by adding at the end thereof the 
     following:
       ``(4) The Secretary may permit the use of State highway 
     specifications for airfield pavement construction using funds 
     made available under this subsection at nonprimary airports 
     with runways of 5,000 feet or shorter serving aircraft that 
     do not exceed 60,000 pounds gross weight, if the Secretary 
     determines that--
       ``(A) safety will not be negatively affected; and
       ``(B) the life of the pavement will not be shorter than it 
     would be if constructed using Administration standards.
     An airport may not seek funds under this subchapter for 
     runway rehabilitation or reconstruction of any such airfield 
     pavement constructed using State highway specifications for a 
     period of 10 years after construction is completed.''.

     SEC. 206. REPEAL OF PERIOD OF APPLICABILITY.

       Section 125 of the Federal Aviation Reauthorization Act of 
     1996 (49 U.S.C. 47114 note) is repealed.

     SEC. 207. REPORT ON EFFORTS TO IMPLEMENT CAPACITY 
                   ENHANCEMENTS.

       Within 9 months after the date of enactment of this Act, 
     the Secretary of Transportation shall report to the Committee 
     on Commerce, Science, and Transportation of the Senate and 
     the Committee on Transportation and Infrastructure of the 
     House of Representatives on efforts by the Federal Aviation 
     Administration to implement capacity enhancements and 
     improvements, such as precision runway monitoring systems, 
     and the time frame for implementation of such enhancements 
     and improvements.

     SEC. 208. PRIORITIZATION OF DISCRETIONARY PROJECTS.

       Section 47120 is amended by--
       (1) inserting ``(a) In General.--'' before ``In''; and
       (2) adding at the end thereof the following:
       ``(b) Discretionary Funding To Be Used for Higher Priority 
     Projects.--The Administrator of the Federal Aviation 
     Administration shall discourage airport sponsors and airports 
     from using entitlement funds for lower priority projects by 
     giving lower priority to discretionary projects submitted by 
     airport sponsors and airports that have used entitlement 
     funds for projects that have a lower priority than the 
     projects for which discretionary funds are being 
     requested.''.

     SEC. 209. PUBLIC NOTICE BEFORE GRANT ASSURANCE REQUIREMENT 
                   WAIVED.

       (a) In General.--Notwithstanding any other provision of law 
     to the contrary, the Secretary of Transportation may not 
     waive any assurance required under section 47107 of title 49, 
     United States Code, that requires property to be used for 
     aeronautical purposes unless the Secretary provides notice to 
     the public not less than 30 days before issuing any such 
     waiver. Nothing in this section shall be construed to 
     authorize the Secretary to issue a waiver of any assurance 
     required under that section.
       (b) Effective Date.--This section applies to any request 
     filed on or after the date of enactment of this Act.

     SEC. 210. DEFINITION OF PUBLIC AIRCRAFT.

       Section 40102(a)(37)(B)(ii) is amended--
       (1) by striking ``or'' at the end of subclause (I);
       (2) by striking the ``States.'' in subclause (II) and 
     inserting ``States; or''; and
       (3) by adding at the end thereof the following:

       ``(III) transporting persons aboard the aircraft if the 
     aircraft is operated for the purpose of prisoner 
     transport.''.

     SEC. 211. TERMINAL DEVELOPMENT COSTS.

       Section 40117 is amended by adding at the end thereof the 
     following:
       ``(j) Shell of Terminal Building.--In order to enable 
     additional air service by an air carrier with less than 50 
     percent of the scheduled passenger traffic at an airport, the 
     Secretary may consider the shell of a terminal building 
     (including heating, ventilation, and air conditioning) and 
     aircraft fueling facilities adjacent to an airport terminal 
     building to be an eligible airport-related project under 
     subsection (a)(3)(E).''.

     SEC. 212. AIRFIELD PAVEMENT CONDITIONS.

       (a) Evaluation of Options.--The Administrator of the 
     Federal Aviation Administration shall evaluate options for 
     improving the quality of information available to the 
     Administration on airfield pavement conditions for airports 
     that are part of the national air transportation system, 
     including--
       (1) improving the existing runway condition information 
     contained in the Airport Safety Data Program by reviewing and 
     revising rating criteria and providing increased training for 
     inspectors;
       (2) requiring such airports to submit pavement condition 
     index information as part of their airport master plan or as 
     support in applications for airport improvement grants; and
       (3) requiring all such airports to submit pavement 
     condition index information on a regular basis and using this 
     information to create a pavement condition database that 
     could be used in evaluating the cost-effectiveness of project 
     applications and forecasting anticipated pavement needs.
       (b) Report to Congress.--The Administrator shall transmit a 
     report, containing an evaluation of such options, to the 
     Senate Committee on Commerce, Science, and Transportation and 
     the House of Representatives Committee on Transportation and 
     Infrastructure not later than 12 months after the date of 
     enactment of this Act.

     SEC. 213. DISCRETIONARY GRANTS.

       Notwithstanding any limitation on the amount of funds that 
     may be expended for grants for noise abatement, if any funds 
     made available under section 48103 of title 49, United States 
     Code, remain available at the end of the fiscal year for 
     which those funds were made available, and are not allocated 
     under section 47115 of that title, or under any other 
     provision relating to the awarding of discretionary grants 
     from unobligated funds made available under section 48103 of 
     that title, the Secretary of Transportation may use those 
     funds to make discretionary grants for noise abatement 
     activities.
                 TITLE III--AMENDMENTS TO AVIATION LAW

     SEC. 301. SEVERABLE SERVICES CONTRACTS FOR PERIODS CROSSING 
                   FISCAL YEARS.

       (a) Chapter 401 is amended by adding at the end thereof the 
     following:

     ``Sec. 40125. Severable services contracts for periods 
       crossing fiscal years

       ``(a) In General.--The Administrator of the Federal 
     Aviation Administration may enter into a contract for 
     procurement of severable services for a period that begins in 
     one fiscal year and ends in the next fiscal year if (without 
     regard to any option to extend the period of the contract) 
     the contract period does not exceed one year.
       ``(b) Obligation of Funds.--Funds made available for a 
     fiscal year may be obligated for the total amount of a 
     contract entered into under the authority of subsection (a) 
     of this section.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     401 is amended by adding at the end thereof the following:

``40125. Severable services contracts for periods crossing fiscal 
              years.''.

     SEC. 302. FOREIGN CARRIERS ELIGIBLE FOR WAIVER UNDER AIRPORT 
                   NOISE AND CAPACITY ACT.

       The first sentence of section 47528(b)(1) is amended by 
     inserting ``or foreign air carrier'' after ``air carrier'' 
     the first place it appears and after ``carrier'' the first 
     place it appears.

     SEC. 303. GOVERNMENT AND INDUSTRY CONSORTIA.

       Section 44903 is amended by adding at the end thereof the 
     following:
       ``(f) Government and Industry Consortia.--The Administrator 
     may establish at airports such consortia of government and 
     aviation industry representatives as the Administrator may 
     designate to provide advice on matters related to aviation 
     security and safety. Such consortia shall not be considered 
     federal advisory committees for purposes of the Federal 
     Advisory Committee Act (5 U.S.C. App.).''.

     SEC. 304. IMPLEMENTATION OF ARTICLE 83 BIS OF THE CHICAGO 
                   CONVENTION.

       Section 44701 is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following:
       ``(e) Bilateral Exchanges of Safety Oversight 
     Responsibilities.--
       ``(1) Notwithstanding the provisions of this chapter, and 
     pursuant to Article 83 bis of the Convention on International 
     Civil Aviation, the Administrator may, by a bilateral 
     agreement with the aeronautical authorities of another 
     country, exchange with that country all or part of their 
     respective functions and duties with respect to aircraft 
     described in subparagraphs (A) and (B), under the following 
     articles of the Convention:
       ``(A) Article 12 (Rules of the Air).
       ``(B) Article 31 (Certificates of Airworthiness).
       ``(C) Article 32a (Licenses of Personnel).
     ``(2) The agreement under paragraph (1) may apply to--
       ``(A) aircraft registered in the United States operated 
     pursuant to an agreement for the lease, charter, or 
     interchange of the aircraft or any similar arrangement by an 
     operator that has its principal place of business, or, if it 
     has no such place of business, its permanent residence, in 
     another country; or
       ``(B) aircraft registered in a foreign country operated 
     under an agreement for the lease, charter, or interchange of 
     the aircraft or any similar arrangement by an operator that 
     has its principal place of business, or, if it has no such 
     place of business, its permanent residence, in the United 
     States.
       ``(3) The Administrator relinquishes responsibility with 
     respect to the functions and duties transferred by the 
     Administrator as specified in the bilateral agreement, under 
     the Articles listed in paragraph (1) of this subsection for 
     United States-registered aircraft transferred abroad as 
     described in subparagraph (A) of that paragraph, and accepts 
     responsibility with respect to the functions and duties under 
     those Articles for aircraft registered abroad that are 
     transferred to the United States as described in subparagraph 
     (B) of that paragraph.
       ``(4) The Administrator may, in the agreement under 
     paragraph (1), predicate the transfer of these functions and 
     duties on any conditions the Administrator deems necessary 
     and prudent.''.

[[Page S2292]]

     SEC. 305. FOREIGN AVIATION SERVICES AUTHORITY.

       Section 45301 is amended by striking ``government.'' in 
     subsection (a)(2) and inserting ``government or to any entity 
     obtaining services outside the United States.''.

     SEC. 306. FLEXIBILITY TO PERFORM CRIMINAL HISTORY RECORD 
                   CHECKS; TECHNICAL AMENDMENTS TO PILOT RECORDS 
                   IMPROVEMENT ACT.

       Section 44936 is amended--
       (1) by striking ``subparagraph (C))'' in subsection 
     (a)(1)(B) and inserting ``subparagraph (C), or in the case of 
     passenger, baggage, or property screening at airports, the 
     Administrator decides it is necessary to ensure air 
     transportation security)'';
       (2) by striking ``individual'' in subsection (f)(1)(B)(ii) 
     and inserting ``individual's performance as a pilot''; and
       (3) by inserting ``or from a foreign government or entity 
     that employed the individual,'' in subsection (f)(14)(B) 
     after ``exists,''.

     SEC. 307. AVIATION INSURANCE PROGRAM AMENDMENTS.

       (a) Reimbursement of Insured Party's Subrogee.--Subsection 
     (a) of 44309 is amended--
       (1) by striking the subsection caption and the first 
     sentence, and inserting the following:
       ``(a) Losses.--
       ``(1) A person may bring a civil action in a district court 
     of the United States or in the United States Court of Federal 
     Claims against the United States Government when--
       ``(A) a loss insured under this chapter is in dispute; or
       ``(B)(i) the person is subrogated to the rights against the 
     United States Government of a party insured under this 
     chapter (other than under subsection 44305(b) of this title), 
     under a contract between the person and such insured party; 
     and
       ``(ii) the person has paid to such insured party, with the 
     approval of the Secretary of Transportation, an amount for a 
     physical damage loss that the Secretary of Transportation has 
     determined is a loss covered under insurance issued under 
     this chapter (other than insurance issued under subsection 
     44305(b) of this title).''; and
       (2) by resetting the remainder of the subsection as a new 
     paragraph and inserting ``(2)'' before ``A civil action''.
       (b) Extension of Aviation Insurance Program.--Section 44310 
     is amended by striking ``1998.'' and inserting ``2003.''.

     SEC. 308. TECHNICAL CORRECTIONS TO CIVIL PENALTY PROVISIONS.

       Section 46301 is amended--
       (1) by striking ``46302, 46303, or'' in subsection 
     (a)(1)(A);
       (2) by striking ``individual'' the first time it appears in 
     subsection (d)(7)(A) and inserting ``person''; and
       (3) by inserting ``or the Administrator'' in subsection (g) 
     after ``Secretary''.

     SEC. 309. CRIMINAL PENALTY FOR PILOTS OPERATING IN AIR 
                   TRANSPORTATION WITHOUT AN AIRMAN'S CERTIFICATE.

       (a) In General.--Chapter 463 of title 49, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 46317. Criminal penalty for pilots operating in air 
       transportation without an airman's certificate

       ``(a) Application.--This section applies only to aircraft 
     used to provide air transportation.
       ``(b) General Criminal Penalty.--An individual shall be 
     fined under title 18, imprisoned for not more than 3 years, 
     or both, if that individual--
       ``(1) knowingly and willfully serves or attempts to serve 
     in any capacity as an airman without an airman's certificate 
     authorizing the individual to serve in that capacity; or
       ``(2) knowingly and willfully employs for service or uses 
     in any capacity as an airman an individual who does not have 
     an airman's certificate authorizing the individual to serve 
     in that capacity.
       ``(c) Controlled Substance Criminal Penalty.--(1) In this 
     subsection, the term `controlled substance' has the same 
     meaning given that term in section 102 of the Comprehensive 
     Drug Abuse Prevention and Control Act of 1970 (21 U.S.C. 
     802).
       ``(2) An individual violating subsection (b) shall be fined 
     under title 18, imprisoned for not more than 5 years, or 
     both, if the violation is related to transporting a 
     controlled substance by aircraft or aiding or facilitating a 
     controlled substance violation and that transporting, aiding, 
     or facilitating--
       ``(A) is punishable by death or imprisonment of more than 1 
     year under a Federal or State law; or
       ``(B) is related to an act punishable by death or 
     imprisonment for more than 1 year under a Federal or State 
     law related to a controlled substance (except a law related 
     to simple possession (as that term is used in section 
     46306(c)) of a controlled substance).
       ``(3) A term of imprisonment imposed under paragraph (2) 
     shall be served in addition to, and not concurrently with, 
     any other term of imprisonment imposed on the individual 
     subject to the imprisonment.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 463 of title 49, United States Code, is 
     amended by adding at the end the following:

``46317. Criminal penalty for pilots operating in air transportation 
              without an airman's certificate.''.

     SEC. 310. NONDISCRIMINATORY INTERLINE INTERCONNECTION 
                   REQUIREMENTS.

       (a) In General.--Subchapter I of chapter 417 of title 49, 
     United States Code, is amended by adding at the end thereof 
     the following:

     ``Sec. 41716. Interline agreements for domestic 
       transportation

       ``(a) Nondiscriminatory Requirements.--If a major air 
     carrier that provides air service to an essential airport 
     facility has any agreement involving ticketing, baggage and 
     ground handling, and terminal and gate access with another 
     carrier, it shall provide the same services to any requesting 
     air carrier that offers service to a community selected for 
     participation in the program under section 41743 under 
     similar terms and conditions and on a nondiscriminatory basis 
     within 30 days after receiving the request, as long as the 
     requesting air carrier meets such safety, service, financial, 
     and maintenance requirements, if any, as the Secretary may by 
     regulation establish consistent with public convenience and 
     necessity. The Secretary must review any proposed agreement 
     to determine if the requesting carrier meets operational 
     requirements consistent with the rules, procedures, and 
     policies of the major carrier. This agreement may be 
     terminated by either party in the event of failure to meet 
     the standards and conditions outlined in the agreement.''.
       ``(b) Definitions.--In this section the term `essential 
     airport facility' means a large hub airport (as defined in 
     section 41731(a)(3)) in the contiguous 48 States in which one 
     carrier has more than 50 percent of such airport's total 
     annual enplanements.''.
       (b) Clerical amendment.--The chapter analysis for chapter 
     417 of title 49, United States Code, is amended by inserting 
     after the item relating to section 41715 the following:

``41716. Interline agreements for domestic transportation.''.
                TITLE IV--TITLE 49 TECHNICAL CORRECTIONS

     SEC. 401. RESTATEMENT OF 49 U.S.C. 106(G).

       (a) In General.--Section 106(g) is amended by striking 
     ``40113(a), (c), and (d), 40114(a), 40119, 44501(a) and (c), 
     44502(a)(1), (b) and (c), 44504, 44505, 44507, 44508, 44511-
     44513, 44701-44716, 44718(c), 44721(a), 44901, 44902, 
     44903(a)-(c) and (e), 44906, 44912, 44935-44937, and 44938(a) 
     and (b), chapter 451, sections 45302-45304,'' and inserting 
     ``40113(a), (c)-(e), 40114(a), and 40119, and chapter 445 
     (except sections 44501(b), 44502(a)(2)-(4), 44503, 44506, 
     44509, 44510, 44514, and 44515), chapter 447 (except sections 
     44717, 44718(a) and (b), 44719, 44720, 44721(b), 44722, and 
     44723), chapter 449 (except sections 44903(d), 44904, 44905, 
     44907-44911, 44913, 44915, and 44931-44934), chapter 451, 
     chapter 453, sections''.
       (b) Technical Correction.--The amendment made by this 
     section may not be construed as making a substantive change 
     in the language replaced.

     SEC. 402. RESTATEMENT OF 49 U.S.C. 44909.

       Section 44909(a)(2) is amended by striking ``shall'' and 
     inserting ``should''.
                         TITLE V--MISCELLANEOUS

     SEC. 501. OVERSIGHT OF FAA RESPONSE TO YEAR 2000 PROBLEM.

       The Administrator of the Federal Aviation Administration 
     shall report to the Senate Committee on Commerce, Science, 
     and Transportation and the House Committee on Transportation 
     and Infrastructure every 3 months, in oral or written form, 
     on electronic data processing problems associated with the 
     year 2000 within the Administration.

     SEC. 502. CARGO COLLISION AVOIDANCE SYSTEMS DEADLINE.

       (a) In General.--The Administrator of the Federal Aviation 
     Administration shall require by regulation that, not later 
     than December 31, 2002, collision avoidance equipment be 
     installed on each cargo aircraft with a payload capacity of 
     15,000 kilograms or more.
       (b) Extension.--The Administrator may extend the deadline 
     imposed by subsection (a) for not more than 2 years if the 
     Administrator finds that the extension is needed to promote--
       (1) a safe and orderly transition to the operation of a 
     fleet of cargo aircraft equipped with collision avoidance 
     equipment; or
       (2) other safety or public interest objectives.
       (c) Collision Avoidance Equipment.--For purposes of this 
     section, the term ``collision avoidance equipment'' means 
     TCAS II equipment (as defined by the Administrator), or any 
     other similar system approved by the Administration for 
     collision avoidance purposes.

     SEC. 503. RUNWAY SAFETY AREAS; PRECISION APPROACH PATH 
                   INDICATORS.

       Within 6 months after the date of enactment of this Act, 
     the Administrator of the Federal Aviation Administration 
     shall solicit comments on the need for--
       (1) the improvement of runway safety areas; and
       (2) the installation of precision approach path indicators.

     SEC. 504. AIRPLANE EMERGENCY LOCATORS.

       (a) Requirement.--Section 44712(b) is amended to read as 
     follows:
       ``(b) Nonapplication.--Subsection (a) does not apply to 
     aircraft when used in--
       ``(1) scheduled flights by scheduled air carriers holding 
     certificates issued by the Secretary of Transportation under 
     subpart II of this part;
       ``(2) training operations conducted entirely within a 50-
     mile radius of the airport from which the training operations 
     begin;

[[Page S2293]]

       ``(3) flight operations related to the design and testing, 
     manufacture, preparation, and delivery of aircraft;
       ``(4) showing compliance with regulations, exhibition, or 
     air racing; or
       ``(5) the aerial application of a substance for an 
     agricultural purpose.''.
       (b) Compliance.--Section 44712 is amended by redesignating 
     subsection (c) as subsection (d), and by inserting after 
     subsection (b) the following:
       ``(c) Compliance.--An aircraft is deemed to meet the 
     requirement of subsection (a) if it is equipped with an 
     emergency locator transmitter that transmits on the 121.5/243 
     megahertz frequency or the 406 megahertz frequency, or with 
     other equipment approved by the Secretary for meeting the 
     requirement of subsection (a).''.
       (c) Effective Date; Regulations.--
       (1) Regulations.--The Secretary of Transportation shall 
     promulgate regulations under section 44712(b) of title 49, 
     United States Code, as amended by this section not later than 
     January 1, 2002.
       (2) Effective date.--The amendments made by this section 
     shall take effect on January 1, 2002.

     SEC. 505. COUNTERFEIT AIRCRAFT PARTS.

       (a) Denial; Revocation; Amendment of Certificate.--
       (1) In general.--Chapter 447 is amended by adding at the 
     end thereof the following:

     ``Sec. 44725. Denial and revocation of certificate for 
       counterfeit parts violations

       ``(a) Denial of Certificate.--
       ``(1) In general.--Except as provided in paragraph (2) of 
     this subsection and subsection (e)(2) of this section, the 
     Administrator may not issue a certificate under this chapter 
     to any person--
       ``(A) convicted of a violation of a law of the United 
     States or of a State relating to the installation, 
     production, repair, or sale of a counterfeit or falsely-
     represented aviation part or material; or
       ``(B) subject to a controlling or ownership interest of an 
     individual convicted of such a violation.
       ``(2) Exception.--Notwithstanding paragraph (1), the 
     Administrator may issue a certificate under this chapter to a 
     person described in paragraph (1) if issuance of the 
     certificate will facilitate law enforcement efforts.
       ``(b) Revocation of Certificate.--
       ``(1) In general.--Except as provided in subsections (f) 
     and (g) of this section, the Administrator shall issue an 
     order revoking a certificate issued under this chapter if the 
     Administrator finds that the holder of the certificate, or an 
     individual who has a controlling or ownership interest in the 
     holder--
       ``(A) was convicted of a violation of a law of the United 
     States or of a State relating to the installation, 
     production, repair, or sale of a counterfeit or falsely-
     represented aviation part or material; or
       ``(B) knowingly carried out or facilitated an activity 
     punishable under such a law.
       ``(2) No authority to review violation.--In carrying out 
     paragraph (1) of this subsection, the Administrator may not 
     review whether a person violated such a law.
       ``(c) Notice Requirement.--Before the Administrator revokes 
     a certificate under subsection (b), the Administrator shall--
       ``(1) advise the holder of the certificate of the reason 
     for the revocation; and
       ``(2) provide the holder of the certificate an opportunity 
     to be heard on why the certificate should not be revoked.
       ``(d) Appeal.--The provisions of section 44710(d) apply to 
     the appeal of a revocation order under subsection (b). For 
     the purpose of applying that section to such an appeal, 
     `person' shall be substituted for `individual' each place it 
     appears.
       ``(e) Aquittal or Reversal.--
       ``(1) In general.--The Administrator may not revoke, and 
     the Board may not affirm a revocation of, a certificate under 
     subsection (b)(1)(B) of this section if the holder of the 
     certificate, or the individual, is acquitted of all charges 
     related to the violation.
       ``(2) Reissuance.--The Administrator may reissue a 
     certificate revoked under subsection (b) of this section to 
     the former holder if--
       ``(A) the former holder otherwise satisfies the 
     requirements of this chapter for the certificate;
       ``(B) the former holder, or individual, is acquitted of all 
     charges related to the violation on which the revocation was 
     based; or
       ``(C) the conviction of the former holder, or individual, 
     of the violation on which the revocation was based is 
     reversed.
       ``(f) Waiver.--The Administrator may waive revocation of a 
     certificate under subsection (b) of this section if--
       ``(1) a law enforcement official of the United States 
     Government, or of a State (with respect to violations of 
     State law), requests a waiver; or
       ``(2) the waiver will facilitate law enforcement efforts.
       ``(g) Amendment of Certificate.--If the holder of a 
     certificate issued under this chapter is other than an 
     individual and the Administrator finds that--
       ``(1) an individual who had a controlling or ownership 
     interest in the holder committed a violation of a law for the 
     violation of which a certificate may be revoked under this 
     section, or knowingly carried out or facilitated an activity 
     punishable under such a law; and
       ``(2) the holder satisfies the requirements for the 
     certificate without regard to that individual,

     then the Administrator may amend the certificate to impose a 
     limitation that the certificate will not be valid if that 
     individual has a controlling or ownership interest in the 
     holder. A decision by the Administrator under this subsection 
     is not reviewable by the Board.''.
       (2) Conforming amendment.--The chapter analysis for chapter 
     447 is amended by adding at the end thereof the following:

``44725. Denial and revocation of certificate for counterfeit parts 
              violations''.

       (b) Prohibition on Employment.--Section 44711 is amended by 
     adding at the end thereof the following:
       ``(c) Prohibition on Employment of Convicted Counterfeit 
     Part Dealers.--No person subject to this chapter may employ 
     anyone to perform a function related to the procurement, 
     sale, production, or repair of a part or material, or the 
     installation of a part into a civil aircraft, who has been 
     convicted of a violation of any Federal or State law relating 
     to the installation, production, repair, or sale of a 
     counterfeit or falsely-represented aviation part or 
     material.''.

     SEC. 506. FAA MAY FINE UNRULY PASSENGERS.

       (a) In General.--Chapter 463 is amended by redesignating 
     section 46316 as section 46317, and by inserting after 
     section 46315 the following:

     ``Sec. 46316. Interference with cabin or flight crew

       ``(a) In General.--An individual who interferes with the 
     duties or responsibilities of the flight crew or cabin crew 
     of a civil aircraft, or who poses an imminent threat to the 
     safety of the aircraft or other individuals on the aircraft, 
     is liable to the United States Government for a civil penalty 
     of not more than $10,000, which shall be paid to the Federal 
     Aviation Administration and deposited in the account 
     established by section 45303(c).
       ``(b) Compromise and Setoff.--
       ``(1) The Secretary of Transportation or the Administrator 
     may compromise the amount of a civil penalty imposed under 
     subsection (a).
       ``(2) The Government may deduct the amount of a civil 
     penalty imposed or compromised under this section from 
     amounts it owes the individual liable for the penalty.''.
       (b) Conforming Change.--The chapter analysis for chapter 
     463 is amended by striking the item relating to section 46316 
     and inserting after the item relating to section 46315 the 
     following:

``46316. Interference with cabin or flight crew.
``46317. General criminal penalty when specific penalty not 
              provided.''.

     SEC. 507. HIGHER STANDARDS FOR HANDICAPPED ACCESS.

       (a) Establishment of Higher International Standards.--The 
     Secretary of Transportation shall work with appropriate 
     international organizations and the aviation authorities of 
     other nations to bring about their establishment of higher 
     standards for accommodating handicapped passengers in air 
     transportation, particularly with respect to foreign air 
     carriers that code-share with domestic air carriers.
       (b) Increased Civil Penalties.--Section 46301(a) is amended 
     by--
       (1) inserting ``41705,'' after ``41704,'' in paragraph 
     (1)(A); and
       (2) adding at the end thereof the following:
       ``(7) Unless an air carrier that violates section 41705 
     with respect to an individual provides that individual a 
     credit or voucher for the purchase of a ticket on that air 
     carrier or any affiliated air carrier in an amount 
     (determined by the Secretary) of--
       ``(A) not less than $500 and not more than $2,500 for the 
     first violation; or
       ``(B) not less than $2,500 and not more than $5,000 for any 
     subsequent violation, then that air carrier is liable to the 
     United States Government for a civil penalty, determined by 
     the Secretary, of not more than 100 percent of the amount of 
     the credit or voucher so determined. For purposes of this 
     paragraph, each act of discrimination prohibited by section 
     41705 constitutes a separate violation of that section.''.

     SEC. 508. CONVEYANCES OF UNITED STATES GOVERNMENT LAND.

       (a) In General.--Section 47125(a) is amended to read as 
     follows:
       ``(a) Conveyances to Public Agencies.--
       ``(1) Request for conveyance.--Except as provided in 
     subsection (b) of this section, the Secretary of 
     Transportation--
       ``(A) shall request the head of the department, agency, or 
     instrumentality of the United States Government owning or 
     controlling land or airspace to convey a property interest in 
     the land or airspace to the public agency sponsoring the 
     project or owning or controlling the airport when necessary 
     to carry out a project under this subchapter at a public 
     airport, to operate a public airport, or for the future 
     development of an airport under the national plan of 
     integrated airport systems; and
       ``(B) may request the head of such a department, agency, or 
     instrumentality to convey a property interest in the land or 
     airspace to such a public agency for a use that will 
     complement, facilitate, or augment airport development, 
     including the development of additional revenue from both 
     aviation and nonaviation sources.
       ``(2) Response to request for certain conveyances.--Within 
     4 months after receiving a request from the Secretary under 
     paragraph (1), the head of the department, agency, or 
     instrumentality shall--

[[Page S2294]]

       ``(A) decide whether the requested conveyance is consistent 
     with the needs of the department, agency, or instrumentality;
       ``(B) notify the Secretary of the decision; and
       ``(C) make the requested conveyance if--
       ``(i) the requested conveyance is consistent with the needs 
     of the department, agency, or instrumentality;
       ``(ii) the Attorney General approves the conveyance; and
       ``(iii) the conveyance can be made without cost to the 
     United States Government.
       ``(3) Reversion.--Except as provided in subsection (b), a 
     conveyance under this subsection may only be made on the 
     condition that the property interest conveyed reverts to the 
     Government, at the option of the Secretary, to the extent it 
     is not developed for an airport purpose or used consistently 
     with the conveyance.''.
       (b) Release of Certain Conditions.--Section 47125 is 
     amended--
       (1) by redesignating subsection (b) as subsection (c); and
       (2) by inserting the following after subsection (a):
       ``(b) Release of Certain Conditions.--The Secretary may 
     grant a release from any term, condition, reservation, or 
     restriction contained in any conveyance executed under this 
     section, section 16 of the Federal Airport Act, section 23 of 
     the Airport and Airway Development Act of 1970, or section 
     516 of the Airport and Airway Improvement Act of 1982, to 
     facilitate the development of additional revenue from 
     aeronautical and nonaeronautical sources if the Secretary--
       ``(1) determines that the property is no longer needed for 
     aeronautical purposes;
       ``(2) determines that the property will be used solely to 
     generate revenue for the public airport;
       ``(3) provides preliminary notice to the head of the 
     department, agency, or instrumentality that conveyed the 
     property interest at least 30 days before executing the 
     release;
       ``(4) provides notice to the public of the requested 
     release;
       ``(5) includes in the release a written justification for 
     the release of the property; and
       ``(6) determines that release of the property will advance 
     civil aviation in the United States.''.
       (c) Effective Date.--Section 47125(b) of title 49, United 
     States Code, as added by subsection (b) of this section, 
     applies to property interests conveyed before, on, or after 
     the date of enactment of this Act.
       (d) Iditarod Area School District.--Notwithstanding any 
     other provision of law (including section 47125 of title 49, 
     United States Code, as amended by this section), the 
     Administrator of the Federal Aviation Administration, or the 
     Administrator of the General Services Administration, may 
     convey to the Iditarod Area School District without 
     reimbursement all right, title, and interest in 12 acres of 
     property at Lake Minchumina, Alaska, identified by the 
     Administrator of the Federal Aviation Administration, 
     including the structures known as housing units 100 through 
     105 and as utility building 301.

     SEC. 509. FLIGHT OPERATIONS QUALITY ASSURANCE RULES.

       Not later than 90 days after the date of enactment of this 
     Act, the Administrator shall issue a notice of proposed 
     rulemaking to develop procedures to protect air carriers and 
     their employees from civil enforcement action under the 
     program known as Flight Operations Quality Assurance. Not 
     later than 1 year after the last day of the period for public 
     comment provided for in the notice of proposed rulemaking, 
     the Administrator shall issue a final rule establishing those 
     procedures.

     SEC. 510. WIDE AREA AUGMENTATION SYSTEM.

       (a) Plan.--The Administrator shall identify or develop a 
     plan to implement WAAS to provide navigation and landing 
     approach capabilities for civilian use and make a 
     determination as to whether a backup system is necessary. 
     Until the Administrator determines that WAAS is the sole 
     means of navigation, the Administration shall continue to 
     develop and maintain a backup system.
       (b) Report.--Within 6 months after the date of enactment of 
     this Act, the Administrator shall--
       (1) report to the Senate Committee on Commerce, Science, 
     and Transportation and the House of Representatives Committee 
     on Transportation and Infrastructure, on the plan developed 
     under subsection (a);
       (2) submit a timetable for implementing WAAS; and
       (3) make a determination as to whether WAAS will ultimately 
     become a primary or sole means of navigation and landing 
     approach capabilities.
       (c) WAAS Defined.--For purposes of this section, the term 
     ``WAAS'' means wide area augmentation system.
       (d) Funding Authorization.--There are authorized to be 
     appropriated to the Secretary of Transportation such sums as 
     may be necessary to carry out this section.

     SEC. 511. REGULATION OF ALASKA AIR GUIDES.

       The Administrator shall reissue the notice to operators 
     originally published in the Federal Register on January 2, 
     1998, which advised Alaska guide pilots of the applicability 
     of part 135 of title 14, Code of Federal Regulations, to 
     guide pilot operations. In reissuing the notice, the 
     Administrator shall provide for not less than 60 days of 
     public comment on the Federal Aviation Administration action. 
     If, notwithstanding the public comments, the Administrator 
     decides to proceed with the action, the Administrator shall 
     publish in the Federal Register a notice justifying the 
     Administrator's decision and providing at least 90 days for 
     compliance.

     SEC. 512. APPLICATION OF FAA REGULATIONS.

       Section 40113 is amended by adding at the end thereof the 
     following:
       ``(f) Application of Certain Regulations to Alaska.--In 
     amending title 14, Code of Federal Regulations, in a manner 
     affecting intrastate aviation in Alaska, the Administrator of 
     the Federal Aviation Administration shall consider the extent 
     to which Alaska is not served by transportation modes other 
     than aviation, and shall establish such regulatory 
     distinctions as the Administrator considers appropriate.''.

     SEC. 513. HUMAN FACTORS PROGRAM.

       (a) In General.--Chapter 445 is amended by adding at the 
     end thereof the following:

     ``Sec. 44516. Human factors program

       ``(a) Oversight Committee.--The Administrator of the 
     Federal Aviation Administration shall establish an advanced 
     qualification program oversight committee to advise the 
     Administrator on the development and execution of Advanced 
     Qualification Programs for air carriers under this section, 
     and to encourage their adoption and implementation.
       ``(b) Human Factors Training.--
       ``(1) Air traffic controllers.--The Administrator shall--
       ``(A) address the problems and concerns raised by the 
     National Research Council in its report `The Future of Air 
     Traffic Control' on air traffic control automation; and
       ``(B) respond to the recommendations made by the National 
     Research Council.
       ``(2) Pilots and flight crews.--The Administrator shall 
     work with the aviation industry to develop specific training 
     curricula, within 12 months after the date of enactment of 
     the Wendell H. Ford National Air Transportation System 
     Improvement Act of 1998, to address critical safety problems, 
     including problems of pilots--
       ``(A) in recovering from loss of control of the aircraft, 
     including handling unusual attitudes and mechanical 
     malfunctions;
       ``(B) in deviating from standard operating procedures, 
     including inappropriate responses to emergencies and 
     hazardous weather;
       ``(C) in awareness of altitude and location relative to 
     terrain to prevent controlled flight into terrain; and
       ``(D) in landing and approaches, including nonprecision 
     approaches and go-around procedures.
       ``(c) Accident Investigations.--The Administrator, working 
     with the National Transportation Safety Board and 
     representatives of the aviation industry, shall establish a 
     process to assess human factors training as part of accident 
     and incident investigations.
       ``(d) Test Program.--The Administrator shall establish a 
     test program in cooperation with United States air carriers 
     to use model Jeppesen approach plates or other similar tools 
     to improve nonprecision landing approaches for aircraft.
       ``(e) Advanced Qualification Program Defined.--For purposes 
     of this section, the term `advanced qualification program' 
     means an alternative method for qualifying, training, 
     certifying, and ensuring the competency of flight crews and 
     other commercial aviation operations personnel subject to the 
     training and evaluation requirements of Parts 121 and 135 of 
     title 14, Code of Federal Regulations.''.
       (b) Automation and Associated Training.--The Administrator 
     shall complete the Administration's updating of training 
     practices for automation and associated training requirements 
     within 12 months after the date of enactment of this Act.
       (c) Conforming Amendment.--The chapter analysis for chapter 
     445 is amended by adding at the end thereof the following:

``44516. Human factors program.''.

     SEC. 514. INDEPENDENT VALIDATION OF FAA COSTS AND 
                   ALLOCATIONS.

       (a) Independent Assessment.--
       (1) Initiation.--Not later than 90 days after the date of 
     enactment of this Act, the Inspector General of the 
     Department of Transportation shall initiate the analyses 
     described in paragraph (2). In conducting the analyses, the 
     Inspector General shall ensure that the analyses are carried 
     out by 1 or more entities that are independent of the Federal 
     Aviation Administration. The Inspector General may use the 
     staff and resources of the Inspector General or may contract 
     with independent entities to conduct the analyses.
       (2) Assessment of adequacy and accuracy of faa cost data 
     and attributions.--To ensure that the method for capturing 
     and distributing the overall costs of the Federal Aviation 
     Administration is appropriate and reasonable, the Inspector 
     General shall conduct an assessment that includes the 
     following:
       (A)(i) Validation of Federal Aviation Administration cost 
     input data, including an audit of the reliability of Federal 
     Aviation Administration source documents and the integrity 
     and reliability of the Federal Aviation Administration's data 
     collection process.
       (ii) An assessment of the reliability of the Federal 
     Aviation Administration's system for tracking assets.
       (iii) An assessment of the reasonableness of the Federal 
     Aviation Administration's bases for establishing asset values 
     and depreciation rates.

[[Page S2295]]

       (iv) An assessment of the Federal Aviation Administration's 
     system of internal controls for ensuring the consistency and 
     reliability of reported data to begin immediately after full 
     operational capability of the cost accounting system.
       (B) A review and validation of the Federal Aviation 
     Administration's definition of the services to which the 
     Federal Aviation Administration ultimately attributes its 
     costs, and the methods used to identify direct costs 
     associated with the services.
       (C) An assessment and validation of the general cost pools 
     used by the Federal Aviation Administration, including the 
     rationale for and reliability of the bases on which the 
     Federal Aviation Administration proposes to allocate costs of 
     services to users and the integrity of the cost pools as well 
     as any other factors considered important by the Inspector 
     General. Appropriate statistical tests shall be performed to 
     assess relationships between costs in the various cost pools 
     and activities and services to which the costs are attributed 
     by the Federal Aviation Administration.
       (b) Deadline.--The independent analyses described in this 
     section shall be completed no later than 270 days after the 
     contracts are awarded to the outside independent contractors. 
     The Inspector General shall submit a final report combining 
     the analyses done by its staff with those of the outside 
     independent contractors to the Secretary of Transportation, 
     the Administrator, the Committee on Commerce, Science, and 
     Transportation of the Senate, and the Committee on 
     Transportation and Infrastructure of the House of 
     Representatives. The final report shall be submitted by the 
     Inspector General not later than 300 days after the award of 
     contracts.
       (c) Funding.--There are authorized to be appropriated such 
     sums as may be necessary for the cost of the contracted audit 
     services authorized by this section.

     SEC. 515. WHISTLEBLOWER PROTECTION FOR FAA EMPLOYEES.

       Section 347(b)(1) of Public Law 104-50 (49 U.S.C. 106, 
     note) is amended by striking ``protection;'' and inserting 
     ``protection, including the provisions for investigations and 
     enforcement as provided in chapter 12 of title 5, United 
     States Code;''.

     SEC. 516. REPORT ON MODERNIZATION OF OCEANIC ATC SYSTEM.

       The Administrator of the Federal Aviation Administration 
     shall report to the Congress on plans to modernize the 
     oceanic air traffic control system, including a budget for 
     the program, a determination of the requirements for 
     modernization, and, if necessary, a proposal to fund the 
     program.

     SEC. 517. REPORT ON AIR TRANSPORTATION OVERSIGHT SYSTEM.

       Beginning in 1999, the Administrator of the Federal 
     Aviation Administration shall report biannually to the 
     Congress on the air transportation oversight system program 
     announced by the Administration on May 13, 1998, in detail on 
     the training of inspectors, the number of inspectors using 
     the system, air carriers subject to the system, and the 
     budget for the system.

     SEC. 518. RECYCLING OF EIS.

       Notwithstanding any other provision of law to the contrary, 
     the Secretary of Transportation may authorize the use, in 
     whole or in part, of a completed environmental assessment or 
     environmental impact study for a new airport construction 
     project on the air operations area, that is substantially 
     similar in nature to one previously constructed pursuant to 
     the completed environmental assessment or environmental 
     impact study in order to avoid unnecessary duplication of 
     expense and effort, and any such authorized use shall meet 
     all requirements of Federal law for the completion of such an 
     assessment or study.

     SEC. 519. PROTECTION OF EMPLOYEES PROVIDING AIR SAFETY 
                   INFORMATION.

       (a) General Rule.--Chapter 421 of title 49, United States 
     Code, is amended by adding at the end the following new 
     subchapter:

           ``SUBCHAPTER III--WHISTLEBLOWER PROTECTION PROGRAM

     ``Sec. 42121. Protection of employees providing air safety 
       information

       ``(a) Discrimination Against Airline Employees.--No air 
     carrier or contractor or subcontractor of an air carrier may 
     discharge an employee of the air carrier or the contractor or 
     subcontractor of an air carrier or otherwise discriminate 
     against any such employee with respect to compensation, 
     terms, conditions, or privileges of employment because the 
     employee (or any person acting pursuant to a request of the 
     employee)--
       ``(1) provided, caused to be provided, or is about to 
     provide or cause to be provided to the Federal Government 
     information relating to any violation or alleged violation of 
     any order, regulation, or standard of the Federal Aviation 
     Administration or any other provision of Federal law relating 
     to air carrier safety under this subtitle or any other law of 
     the United States;
       ``(2) has filed, caused to be filed, or is about to file or 
     cause to be filed a proceeding relating to any violation or 
     alleged violation of any order, regulation, or standard of 
     the Federal Aviation Administration or any other provision of 
     Federal law relating to air carrier safety under this 
     subtitle or any other law of the United States;
       ``(3) testified or will testify in such a proceeding; or
       ``(4) assisted or participated or is about to assist or 
     participate in such a proceeding.
       ``(b) Department of Labor Complaint Procedure.--
       ``(1) Filing and notification.--
       ``(A) In general.--In accordance with this paragraph, a 
     person may file (or have a person file on behalf of that 
     person) a complaint with the Secretary of Labor if that 
     person believes that an air carrier or contractor or 
     subcontractor of an air carrier discharged or otherwise 
     discriminated against that person in violation of subsection 
     (a).
       ``(B) Requirements for filing complaints.--A complaint 
     referred to in subparagraph (A) may be filed not later than 
     90 days after an alleged violation occurs. The complaint 
     shall state the alleged violation.
       ``(C) Notification.--Upon receipt of a complaint submitted 
     under subparagraph (A), the Secretary of Labor shall notify 
     the air carrier, contractor, or subcontractor named in the 
     complaint and the Administrator of the Federal Aviation 
     Administration of the--
       ``(i) filing of the complaint;
       ``(ii) allegations contained in the complaint;
       ``(iii) substance of evidence supporting the complaint; and
       ``(iv) opportunities that are afforded to the air carrier, 
     contractor, or subcontractor under paragraph (2).
       ``(2) Investigation; preliminary order.--
       ``(A) In general.--
       ``(i) Investigation.--Not later than 60 days after receipt 
     of a complaint filed under paragraph (1) and after affording 
     the person named in the complaint an opportunity to submit to 
     the Secretary of Labor a written response to the complaint 
     and an opportunity to meet with a representative of the 
     Secretary to present statements from witnesses, the Secretary 
     of Labor shall conduct an investigation and determine whether 
     there is reasonable cause to believe that the complaint has 
     merit and notify in writing the complainant and the person 
     alleged to have committed a violation of subsection (a) of 
     the Secretary's findings.
       ``(ii) Order.--Except as provided in subparagraph (B), if 
     the Secretary of Labor concludes that there is reasonable 
     cause to believe that a violation of subsection (a) has 
     occurred, the Secretary shall accompany the findings referred 
     to in clause (i) with a preliminary order providing the 
     relief prescribed under paragraph (3)(B).
       ``(iii) Objections.--Not later than 30 days after the date 
     of notification of findings under this paragraph, the person 
     alleged to have committed the violation or the complainant 
     may file objections to the findings or preliminary order and 
     request a hearing on the record.
       ``(iv) Effect of filing.--The filing of objections under 
     clause (iii) shall not operate to stay any reinstatement 
     remedy contained in the preliminary order.
       ``(v) Hearings.--Hearings conducted pursuant to a request 
     made under clause (iii) shall be conducted expeditiously. If 
     a hearing is not requested during the 30-day period 
     prescribed in clause (iii), the preliminary order shall be 
     deemed a final order that is not subject to judicial review.
       ``(B) Requirements.--
       ``(i) Required showing by complainant.--The Secretary of 
     Labor shall dismiss a complaint filed under this subsection 
     and shall not conduct an investigation otherwise required 
     under subparagraph (A) unless the complainant makes a prima 
     facie showing that any behavior described in paragraphs (1) 
     through (4) of subsection (a) was a contributing factor in 
     the unfavorable personnel action alleged in the complaint.
       ``(ii) Showing by employer.--Notwithstanding a finding by 
     the Secretary that the complainant has made the showing 
     required under clause (i), no investigation otherwise 
     required under subparagraph (A) shall be conducted if the 
     employer demonstrates, by clear and convincing evidence, that 
     the employer would have taken the same unfavorable personnel 
     action in the absence of that behavior.
       ``(iii) Criteria for determination by Secretary.--The 
     Secretary may determine that a violation of subsection (a) 
     has occurred only if the complainant demonstrates that any 
     behavior described in paragraphs (1) through (4) of 
     subsection (a) was a contributing factor in the unfavorable 
     personnel action alleged in the complaint.
       ``(iv) Prohibition.--Relief may not be ordered under 
     subparagraph (A) if the employer demonstrates by clear and 
     convincing evidence that the employer would have taken the 
     same unfavorable personnel action in the absence of that 
     behavior.
       ``(3) Final order.--
       ``(A) Deadline for issuance; settlement agreements.--
       ``(i) In general.--Not later than 120 days after conclusion 
     of a hearing under paragraph (2), the Secretary of Labor 
     shall issue a final order that--

       ``(I) provides relief in accordance with this paragraph; or
       ``(II) denies the complaint.

       ``(ii) Settlement agreement.--At any time before issuance 
     of a final order under this paragraph, a proceeding under 
     this subsection may be terminated on the basis of a 
     settlement agreement entered into by the Secretary of Labor, 
     the complainant, and the air carrier, contractor, or 
     subcontractor alleged to have committed the violation.
       ``(B) Remedy.--If, in response to a complaint filed under 
     paragraph (1), the Secretary of Labor determines that a 
     violation of subsection (a) has occurred, the Secretary of 
     Labor shall order the air carrier, contractor, or 
     subcontractor that the Secretary of

[[Page S2296]]

     Labor determines to have committed the violation to--
       ``(i) take action to abate the violation;
       ``(ii) reinstate the complainant to the former position of 
     the complainant and ensure the payment of compensation 
     (including back pay) and the restoration of terms, 
     conditions, and privileges associated with the employment; 
     and
       ``(iii) provide compensatory damages to the complainant.
       ``(C) Costs of complaint.--If the Secretary of Labor issues 
     a final order that provides for relief in accordance with 
     this paragraph, the Secretary of Labor, at the request of the 
     complainant, shall assess against the air carrier, 
     contractor, or subcontractor named in the order an amount 
     equal to the aggregate amount of all costs and expenses 
     (including attorney and expert witness fees) reasonably 
     incurred by the complainant (as determined by the Secretary 
     of Labor) for, or in connection with, the bringing of the 
     complaint that resulted in the issuance of the order.
       ``(4) Review.--
       ``(A) Appeal to court of appeals.--
       ``(i) In general.--Not later than 60 days after a final 
     order is issued under paragraph (3), a person adversely 
     affected or aggrieved by that order may obtain review of the 
     order in the United States court of appeals for the circuit 
     in which the violation allegedly occurred or the circuit in 
     which the complainant resided on the date of that violation.
       ``(ii) Requirements for judicial review.--A review 
     conducted under this paragraph shall be conducted in 
     accordance with chapter 7 of title 5. The commencement of 
     proceedings under this subparagraph shall not, unless ordered 
     by the court, operate as a stay of the order that is the 
     subject of the review.
       ``(B) Limitation on collateral attack.--An order referred 
     to in subparagraph (A) shall not be subject to judicial 
     review in any criminal or other civil proceeding.
       ``(5) Enforcement of order by secretary of labor.--
       ``(A) In general.--If an air carrier, contractor, or 
     subcontractor named in an order issued under paragraph (3) 
     fails to comply with the order, the Secretary of Labor may 
     file a civil action in the United States district court for 
     the district in which the violation occurred to enforce that 
     order.
       ``(B) Relief.--In any action brought under this paragraph, 
     the district court shall have jurisdiction to grant any 
     appropriate form of relief, including injunctive relief and 
     compensatory damages.
       ``(6) Enforcement of order by parties.--
       ``(A) Commencement of action.--A person on whose behalf an 
     order is issued under paragraph (3) may commence a civil 
     action against the air carrier, contractor, or subcontractor 
     named in the order to require compliance with the order. The 
     appropriate United States district court shall have 
     jurisdiction, without regard to the amount in controversy or 
     the citizenship of the parties, to enforce the order.
       ``(B) Attorney fees.--In issuing any final order under this 
     paragraph, the court may award costs of litigation (including 
     reasonable attorney and expert witness fees) to any party if 
     the court determines that the awarding of those costs is 
     appropriate.
       ``(c) Mandamus.--Any nondiscretionary duty imposed by this 
     section shall be enforceable in a mandamus proceeding brought 
     under section 1361 of title 28.
       ``(d) Nonapplicability To Deliberate Violations.--
     Subsection (a) shall not apply with respect to an employee of 
     an air carrier, or contractor or subcontractor of an air 
     carrier who, acting without direction from the air carrier 
     (or an agent, contractor, or subcontractor of the air 
     carrier), deliberately causes a violation of any requirement 
     relating to air carrier safety under this subtitle or any 
     other law of the United States.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     421 of title 49, United States Code, is amended by adding at 
     the end the following:

           ``SUBCHAPTER III--WHISTLEBLOWER PROTECTION PROGRAM

``42121. Protection of employees providing air safety information.''.

       (c) Civil Penalty.--Section 46301(a)(1)(A) of title 49, 
     United States Code, is amended by striking ``subchapter II of 
     chapter 421,'' and inserting ``subchapter II or III of 
     chapter 421,''.

     SEC. 520. IMPROVEMENTS TO AIR NAVIGATION FACILITIES.

       Section 44502(a) is amended by adding at the end thereof 
     the following:
       ``(5) The Administrator may improve real property leased 
     for air navigation facilities without regard to the costs of 
     the improvements in relation to the cost of the lease if--
       ``(A) the improvements primarily benefit the government;
       ``(B) are essential for mission accomplishment; and
       ``(C) the government's interest in the improvements is 
     protected.''.

     SEC. 521. DENIAL OF AIRPORT ACCESS TO CERTAIN AIR CARRIERS.

       Section 47107 is amended by adding at the end thereof the 
     following:
       ``(q) Denial of Access.--
       ``(1) Effect of denial.--If an owner or operator of an 
     airport described in paragraph (2) denies access to an air 
     carrier described in paragraph (3), that denial shall not be 
     considered to be unreasonable or unjust discrimination or a 
     violation of this section.
       ``(2) Airports to which subsection applies.--An airport is 
     described in this paragraph if it--
       ``(A) is designated as a reliever airport by the 
     Administrator of the Federal Aviation Administration;
       ``(B) does not have an operating certificate issued under 
     part 139 of title 14, Code of Federal Regulations (or any 
     subsequent similar regulations); and
       ``(C) is located within a 35-mile radius of an airport that 
     has--
       ``(i) at least 0.05 percent of the total annual boardings 
     in the United States; and
       ``(ii) current gate capacity to handle the demands of a 
     public charter operation.
       ``(3) Air carriers described.--An air carrier is described 
     in this paragraph if it conducts operations as a public 
     charter under part 380 of title 14, Code of Federal 
     Regulations (or any subsequent similar regulations) with 
     aircraft that is designed to carry more than 9 passengers per 
     flight.
       ``(4) Definitions.--In this subsection:
       ``(A) Air carrier; air transportation; aircraft; airport.--
     The terms `air carrier', `air transportation', `aircraft', 
     and `airport' have the meanings given those terms in section 
     40102 of this title.
       ``(B) Public charter.--The term `public charter' means 
     charter air transportation for which the general public is 
     provided in advance a schedule containing the departure 
     location, departure time, and arrival location of the 
     flights.''.

     SEC. 522. TOURISM.

       (a) Findings.--Congress finds that--
       (1) through an effective public-private partnership, 
     Federal, State, and local governments and the travel and 
     tourism industry can successfully market the United States as 
     the premiere international tourist destination in the world;
       (2) in 1997, the travel and tourism industry made a 
     substantial contribution to the health of the Nation's 
     economy, as follows:
       (A) The industry is one of the Nation's largest employers, 
     directly employing 7,000,000 Americans, throughout every 
     region of the country, heavily concentrated among small 
     businesses, and indirectly employing an additional 9,200,000 
     Americans, for a total of 16,200,000 jobs.
       (B) The industry ranks as the first, second, or third 
     largest employer in 32 States and the District of Columbia, 
     generating a total tourism-related annual payroll of 
     $127,900,000,000.
       (C) The industry has become the Nation's third-largest 
     retail sales industry, generating a total of $489,000,000,000 
     in total expenditures.
       (D) The industry generated $71,700,000,000 in tax revenues 
     for Federal, State, and local governments;
       (3) the more than $98,000,000,000 spent by foreign visitors 
     in the United States in 1997 generated a trade services 
     surplus of more than $26,000,000,000;
       (4) the private sector, States, and cities currently spend 
     more than $1,000,000,000 annually to promote particular 
     destinations within the United States to international 
     visitors;
       (5) because other nations are spending hundreds of millions 
     of dollars annually to promote the visits of international 
     tourists to their countries, the United States will miss a 
     major marketing opportunity if it fails to aggressively 
     compete for an increased share of international tourism 
     expenditures as they continue to increase over the next 
     decade;
       (6) a well-funded, well-coordinated international marketing 
     effort--combined with additional public and private sector 
     efforts--would help small and large businesses, as well as 
     State and local governments, share in the anticipated 
     phenomenal growth of the international travel and tourism 
     market in the 21st century;
       (7) by making permanent the successful visa waiver pilot 
     program, Congress can facilitate the increased flow of 
     international visitors to the United States;
       (8) Congress can increase the opportunities for attracting 
     international visitors and enhancing their stay in the United 
     States by--
       (A) improving international signage at airports, seaports, 
     land border crossings, highways, and bus, train, and other 
     public transit stations in the United States;
       (B) increasing the availability of multilingual tourist 
     information; and
       (C) creating a toll-free, private-sector operated, 
     telephone number, staffed by multilingual operators, to 
     provide assistance to international tourists coping with an 
     emergency;
       (9) by establishing a satellite system of accounting for 
     travel and tourism, the Secretary of Commerce could provide 
     Congress and the President with objective, thorough data that 
     would help policymakers more accurately gauge the size and 
     scope of the domestic travel and tourism industry and its 
     significant impact on the health of the Nation's economy; and
       (10) having established the United States National Tourism 
     Organization under the United States National Tourism 
     Organization Act of 1996 (22 U.S.C. 2141 et seq.) to increase 
     the United States share of the international tourism market 
     by developing a national travel and tourism strategy, 
     Congress should support a long-term marketing effort and 
     other important regulatory reform initiatives to promote 
     increased travel to the United States for the benefit of 
     every sector of the economy.
       (b) Purposes.--The purposes of this section are to provide 
     international visitor initiatives and an international 
     marketing program to enable the United States travel and

[[Page S2297]]

     tourism industry and every level of government to benefit 
     from a successful effort to make the United States the 
     premiere travel destination in the world.
       (c) International Visitor Assistance Task Force.--
       (1) Establishment.--Not later than 9 months after the date 
     of enactment of this Act, the Secretary of Commerce shall 
     establish an Intergovernmental Task Force for International 
     Visitor Assistance (hereafter in this subsection referred to 
     as the ``Task Force'').
       (2) Duties.--The Task Force shall examine--
       (A) signage at facilities in the United States, including 
     airports, seaports, land border crossings, highways, and bus, 
     train, and other public transit stations, and shall identify 
     existing inadequacies and suggest solutions for such 
     inadequacies, such as the adoption of uniform standards on 
     international signage for use throughout the United States in 
     order to facilitate international visitors' travel in the 
     United States;
       (B) the availability of multilingual travel and tourism 
     information and means of disseminating, at no or minimal cost 
     to the Government, of such information; and
       (C) facilitating the establishment of a toll-free, private-
     sector operated, telephone number, staffed by multilingual 
     operators, to provide assistance to international tourists 
     coping with an emergency.
       (3) Membership.--The Task Force shall be composed of the 
     following members:
       (A) The Secretary of Commerce.
       (B) The Secretary of State.
       (C) The Secretary of Transportation.
       (D) The Chair of the Board of Directors of the United 
     States National Tourism Organization.
       (E) Such other representatives of other Federal agencies 
     and private-sector entities as may be determined to be 
     appropriate to the mission of the Task Force by the Chairman.
       (4) Chairman.--The Secretary of Commerce shall be Chairman 
     of the Task Force. The Task Force shall meet at least twice 
     each year. Each member of the Task Force shall furnish 
     necessary assistance to the Task Force.
       (5) Report.--Not later than 18 months after the date of the 
     enactment of this Act, the Chairman of the Task Force shall 
     submit to the President and to Congress a report on the 
     results of the review, including proposed amendments to 
     existing laws or regulations as may be appropriate to 
     implement such recommendations.
       (d) Travel and Tourism Industry Satellite System of 
     Accounting.--
       (1) In general.--The Secretary of Commerce shall complete, 
     as soon as may be practicable, a satellite system of 
     accounting for the travel and tourism industry.
       (2) Funding.--To the extent any costs or expenditures are 
     incurred under this subsection, they shall be covered to the 
     extent funds are available to the Department of Commerce for 
     such purpose.
       (e) Authorization of Appropriations.--
       (1) Authorization.--Subject to paragraph (2), there are 
     authorized to be appropriated such sums as may be necessary 
     for the purpose of funding international promotional 
     activities by the United States National Tourism Organization 
     to help brand, position, and promote the United States as the 
     premiere travel and tourism destination in the world.
       (2) Restrictions on use of funds.--None of the funds 
     appropriated under paragraph (1) may be used for purposes 
     other than marketing, research, outreach, or any other 
     activity designed to promote the United States as the 
     premiere travel and tourism destination in the world, except 
     that the general and administrative expenses of operating the 
     United States National Tourism Organization shall be borne by 
     the private sector through such means as the Board of 
     Directors of the Organization shall determine.
       (3) Report to congress.--Not later than March 30 of each 
     year in which funds are made available under subsection (a), 
     the Secretary shall submit to the Committee on Commerce of 
     the House of Representatives and the Committee on Commerce, 
     Science, and Transportation of the Senate a detailed report 
     setting forth--
       (A) the manner in which appropriated funds were expended;
       (B) changes in the United States market share of 
     international tourism in general and as measured against 
     specific countries and regions;
       (C) an analysis of the impact of international tourism on 
     the United States economy, including, as specifically as 
     practicable, an analysis of the impact of expenditures made 
     pursuant to this section;
       (D) an analysis of the impact of international tourism on 
     the United States trade balance and, as specifically as 
     practicable, an analysis of the impact on the trade balance 
     of expenditures made pursuant to this section; and
       (E) an analysis of other relevant economic impacts as a 
     result of expenditures made pursuant to this section.

     SEC. 523. EQUIVALENCY OF FAA AND EU SAFETY STANDARDS.

       The Administrator of the Federal Aviation Administration 
     shall determine whether the Administration's safety 
     regulations are equivalent to the safety standards set forth 
     in European Union Directive 89/336EEC. If the Administrator 
     determines that the standards are equivalent, the 
     Administrator shall work with the Secretary of Commerce to 
     gain acceptance of that determination pursuant to the Mutual 
     Recognition Agreement between the United States and the 
     European Union of May 18, 1998, in order to ensure that 
     aviation products approved by the Administration are 
     acceptable under that Directive.

     SEC. 524. SENSE OF THE SENATE ON PROPERTY TAXES ON PUBLIC-USE 
                   AIRPORTS.

       It is the sense of the Senate that--
       (1) property taxes on public-use airports should be 
     assessed fairly and equitably, regardless of the location of 
     the owner of the airport; and
       (2) the property tax recently assessed on the City of The 
     Dalles, Oregon, as the owner and operator of the Columbia 
     Gorge Regional/The Dalles Municipal Airport, located in the 
     State of Washington, should be repealed.

     SEC. 525. FEDERAL AVIATION ADMINISTRATION PERSONNEL 
                   MANAGEMENT SYSTEM.

       (a) Applicability of Merit Systems Protection Board 
     Provisions.--Section 347(b) of the Department of 
     Transportation and Related Agencies Appropriations Act, 1996 
     (109 Stat. 460) is amended--
       (1) by striking ``and'' at the end of paragraph (6);
       (2) by striking the period at the end of paragraph (7) and 
     inserting a semicolon and ``and''; and
       (3) by adding at the end thereof the following:
       ``(8) sections 1204, 1211-1218, 1221, and 7701-7703, 
     relating to the Merit Systems Protection Board.''.
       (b) Appeals to Merit Systems Protection Board.--Section 
     347(c) of the Department of Transportation and Related 
     Agencies Appropriations Act, 1996 is amended to read as 
     follows:
       ``(c) Appeals to Merit Systems Protection Board.--Under the 
     new personnel management system developed and implemented 
     under subsection (a), an employee of the Federal Aviation 
     Administration may submit an appeal to the Merit Systems 
     Protection Board and may seek judicial review of any 
     resulting final orders or decisions of the Board from any 
     action that was appealable to the Board under any law, rule, 
     or regulation as of March 31, 1996.''.

     SEC 526. AIRCRAFT AND AVIATION COMPONENT REPAIR AND 
                   MAINTENANCE ADVISORY PANEL.

       (a) Establishment of Panel.--The Administrator of the 
     Federal Aviation Administration--
       (1) shall establish an Aircraft Repair and Maintenance 
     Advisory Panel to review issues related to the use and 
     oversight of aircraft and aviation component repair and 
     maintenance facilities located within, or outside of, the 
     United States; and
       (2) may seek the advice of the panel on any issue related 
     to methods to improve the safety of domestic or foreign 
     contract aircraft and aviation component repair facilities.
       (b) Membership.--The panel shall consist of--
       (1) 8 members, appointed by the Administrator as follows:
       (A) 3 representatives of labor organizations representing 
     aviation mechanics;
       (B) 1 representative of cargo air carriers;
       (C) 1 representative of passenger air carriers;
       (D) 1 representative of aircraft and aviation component 
     repair stations;
       (E) 1 representative of aircraft manufacturers; and
       (F) 1 representative of the aviation industry not described 
     in the preceding subparagraphs;
       (2) 1 representative from the Department of Transportation, 
     designated by the Secretary of Transportation;
       (3) 1 representative from the Department of State, 
     designated by the Secretary of State; and
       (4) 1 representative from the Federal Aviation 
     Administration, designated by the Administrator.
       (c) Responsibilities.--The panel shall--
       (1) determine how much aircraft and aviation component 
     repair work and what type of aircraft and aviation component 
     repair work is being performed by aircraft and aviation 
     component repair stations located within, and outside of, the 
     United States to better understand and analyze methods to 
     improve the safety and oversight of such facilities; and
       (2) provide advice and counsel to the Administrator with 
     respect to aircraft and aviation component repair work 
     performed by those stations, staffing needs, and any safety 
     issues associated with that work.
       (d) FAA To Request Information From Foreign Aircraft Repair 
     Stations.--
       (1) Collection of information.--The Administrator shall by 
     regulation request aircraft and aviation component repair 
     stations located outside the United States to submit such 
     information as the Administrator may require in order to 
     assess safety issues and enforcement actions with respect to 
     the work performed at those stations on aircraft used by 
     United States air carriers.
       (2) Drug and alcohol testing information.--Included in the 
     information the Administrator requests under paragraph (1) 
     shall be information on the existence and administration of 
     employee drug and alcohol testing programs in place at such 
     stations, if applicable.
       (3) Description of work done.--Included in the information 
     the Administrator requests under paragraph (1) shall be 
     information on

[[Page S2298]]

     the amount and type of aircraft and aviation component repair 
     work performed at those stations on aircraft registered in 
     the United States.
       (e) FAA To Request Information About Domestic Aircraft 
     Repair Stations.--If the Administrator determines that 
     information on the volume of the use of domestic aircraft and 
     aviation component repair stations is needed in order to 
     better utilize Federal Aviation Administration resources, the 
     Administrator may--
       (1) require United States air carriers to submit the 
     information described in subsection (d) with respect to their 
     use of contract and noncontract aircraft and aviation 
     component repair facilities located in the United States; and
       (2) obtain information from such stations about work 
     performed for foreign air carriers.
       (f) FAA To Make Information Available to Public.--The 
     Administrator shall make any information received under 
     subsection (d) or (e) available to the public.
       (g) Termination.--The panel established under subsection 
     (a) shall terminate on the earlier of--
       (1) the date that is 2 years after the date of enactment of 
     this Act; or
       (2) December 31, 2000.
       (h) Annual Report to Congress.--The Administrator shall 
     report annually to the Congress on the number and location of 
     air agency certificates that were revoked, suspended, or not 
     renewed during the preceding year.
       (i) Definitions.--Any term used in this section that is 
     defined in subtitle VII of title 49, United States Code, has 
     the meaning given that term in that subtitle.

     SEC. 527. REPORT ON ENHANCED DOMESTIC AIRLINE COMPETITION.

       (a) Findings.--The Congress makes the following findings:
       (1) There has been a reduction in the level of competition 
     in the domestic airline business brought about by mergers, 
     consolidations, and proposed domestic alliances.
       (2) Foreign citizens and foreign air carriers may be 
     willing to invest in existing or start-up airlines if they 
     are permitted to acquire a larger equity share of a United 
     States airline.
       (b) Study.--The Secretary of Transportation, after 
     consulting the appropriate Federal agencies, shall study and 
     report to the Congress not later than December 31, 1998, on 
     the desirability and implications of--
       (1) decreasing the foreign ownership provision in section 
     40102(a)(15) of title 49, United States Code, to 51 percent 
     from 75 percent; and
       (2) changing the definition of air carrier in section 
     40102(a)(2) of such title by substituting ``a company whose 
     principal place of business is in the United States'' for ``a 
     citizen of the United States''.

     SEC. 528. AIRCRAFT SITUATIONAL DISPLAY DATA.

       (a) In General.--A memorandum of agreement between the 
     Administrator of the Federal Aviation Administration and any 
     person directly that obtains aircraft situational display 
     data from the Administration shall require that--
       (1) the person demonstrate to the satisfaction of the 
     Administrator that such person is capable of selectively 
     blocking the display of any aircraft-situation-display-to-
     industry derived data related to any identified aircraft 
     registration number; and
       (2) the person agree to block selectively the aircraft 
     registration numbers of any aircraft owner or operator upon 
     the Administration's request.
       (b) Existing Memoranda To Be Conformed.--The Administrator 
     shall conform any memoranda of agreement, in effect on the 
     date of enactment of this Act, between the Administration and 
     a person under which that person obtains such data to 
     incorporate the requirements of subsection (a) within 30 days 
     after that date.

     SEC. 529. TO EXPRESS THE SENSE OF THE SENATE CONCERNING A 
                   BILATERAL AGREEMENT BETWEEN THE UNITED STATES 
                   AND THE UNITED KINGDOM REGARDING CHARLOTTE-
                   LONDON ROUTE.

       (a) Definitions.--In this section:
       (1) Air carrier.--The term ``air carrier'' has the meaning 
     given that term in section 40102 of title 49, United States 
     Code.
       (2) Bermuda ii agreement.--The term ``Bermuda II 
     Agreement'' means the Agreement Between the United States of 
     America and United Kingdom of Great Britain and Northern 
     Ireland Concerning Air Services, signed at Bermuda on July 
     23, 1977 (TIAS 8641).
       (3) Charlotte-london (gatwick) route.--The term 
     ``Charlotte-London (Gatwick) route'' means the route between 
     Charlotte, North Carolina, and the Gatwick Airport in London, 
     England.
       (4) Foreign air carrier.--The term ``foreign air carrier'' 
     has the meaning given that term in section 40102 of title 49, 
     United States Code.
       (5) Secretary.--The term ``Secretary'' means the Secretary 
     of Transportation.
       (b) Findings.--Congress finds that--
       (1) under the Bermuda II Agreement, the United States has a 
     right to designate an air carrier of the United States to 
     serve the Charlotte-London (Gatwick) route;
       (2) the Secretary awarded the Charlotte-London (Gatwick) 
     route to US Airways on September 12, 1997, and on May 7, 
     1998, US Airways announced plans to launch nonstop service in 
     competition with the monopoly held by British Airways on the 
     route and to provide convenient single-carrier one-stop 
     service to the United Kingdom from dozens of cities in North 
     Carolina and South Carolina and the surrounding region;
       (3) US Airways was forced to cancel service for the 
     Charlotte-London (Gatwick) route for the summer of 1998 and 
     the following winter because the Government of the United 
     Kingdom refused to provide commercially viable access to 
     Gatwick Airport;
       (4) British Airways continues to operate monopoly service 
     on the Charlotte-London (Gatwick) route and recently upgraded 
     the aircraft for that route to B-777 aircraft;
       (5) British Airways had been awarded an additional monopoly 
     route between London England and Denver, Colorado, resulting 
     in a total of 10 monopoly routes operated by British Airways 
     between the United Kingdom and points in the United States;
       (6) monopoly service results in higher fares to passengers; 
     and
       (7) US Airways is prepared, and officials of the air 
     carrier are eager, to initiate competitive air service on the 
     Charlotte-London (Gatwick) route as soon as the Government of 
     the United Kingdom provides commercially viable access to the 
     Gatwick Airport.
       (c) Sense of the Senate.--It is the sense of the Senate 
     that the Secretary should--
       (1) act vigorously to ensure the enforcement of the rights 
     of the United States under the Bermuda II Agreement;
       (2) intensify efforts to obtain the necessary assurances 
     from the Government of the United Kingdom to allow an air 
     carrier of the United States to operate commercially viable, 
     competitive service for the Charlotte-London (Gatwick) route; 
     and
       (3) ensure that the rights of the Government of the United 
     States and citizens and air carriers of the United States are 
     enforced under the Bermuda II Agreement before seeking to 
     renegotiate a broader bilateral agreement to establish 
     additional rights for air carriers of the United States and 
     foreign air carriers of the United Kingdom.

     SEC. 530. TO EXPRESS THE SENSE OF THE SENATE CONCERNING A 
                   BILATERAL AGREEMENT BETWEEN THE UNITED STATES 
                   AND THE UNITED KINGDOM REGARDING CLEVELAND-
                   LONDON ROUTE.

       (a) Definitions.--In this section:
       (1) Air carrier.--The term ``air carrier'' has the meaning 
     given that term in section 40102 of title 49, United States 
     Code.
       (2) Aircraft.--The term ``aircraft'' has the meaning given 
     that term in section 40102 of title 49, United States Code.
       (3) Air transportation.--The term ``air transportation'' 
     has the meaning given that term in section 40102 of title 49, 
     United States Code.
       (4) Bermuda ii agreement.--The term ``Bermuda II 
     Agreement'' means the Agreement Between the United States of 
     America and United Kingdom of Great Britain and Northern 
     Ireland Concerning Air Services, signed at Bermuda on July 
     23, 1977 (TIAS 8641).
       (5) Cleveland-london (gatwick) route.--The term 
     ``Cleveland-London (Gatwick) route'' means the route between 
     Cleveland, Ohio, and the Gatwick Airport in London, England.
       (6) Foreign air carrier.--The term ``foreign air carrier'' 
     has the meaning given that term in section 40102 of title 49, 
     United States Code.
       (7) Secretary.--The term ``Secretary'' means the Secretary 
     of Transportation.
       (8) Slot.--The term ``slot'' means a reservation for an 
     instrument flight rule takeoff or landing by an air carrier 
     of an aircraft in air transportation.
       (b) Findings.--Congress finds that--
       (1) under the Bermuda II Agreement, the United States has a 
     right to designate an air carrier of the United States to 
     serve the Cleveland-London (Gatwick) route;
       (2)(A) on December 3, 1996, the Secretary awarded the 
     Cleveland-London (Gatwick) route to Continental Airlines;
       (B) on June 15, 1998, Continental Airlines announced plans 
     to launch nonstop service on that route on February 19, 1999, 
     and to provide single-carrier one-stop service between 
     London, England (from Gatwick Airport) and dozens of cities 
     in Ohio and the surrounding region; and
       (C) on August 4, 1998, the Secretary tentatively renewed 
     the authority of Continental Airlines to carry out the 
     nonstop service referred to in subparagraph (B) and selected 
     Cleveland, Ohio, as a new gateway under the Bermuda II 
     Agreement;
       (3) unless the Government of the United Kingdom provides 
     Continental Airlines commercially viable access to Gatwick 
     Airport, Continental Airlines will not be able to initiate 
     service on the Cleveland-London (Gatwick) route; and
       (4) Continental Airlines is prepared to initiate 
     competitive air service on the Cleveland-London (Gatwick) 
     route when the Government of the United Kingdom provides 
     commercially viable access to the Gatwick Airport.
       (c) Sense of the Senate.--It is the sense of the Senate 
     that the Secretary should--
       (1) act vigorously to ensure the enforcement of the rights 
     of the United States under the Bermuda II Agreement;
       (2) intensify efforts to obtain the necessary assurances 
     from the Government of the United Kingdom to allow an air 
     carrier of the United States to operate commercially viable, 
     competitive service for the Cleveland-London (Gatwick) route; 
     and
       (3) ensure that the rights of the Government of the United 
     States and citizens and

[[Page S2299]]

     air carriers of the United States are enforced under the 
     Bermuda II Agreement before seeking to renegotiate a broader 
     bilateral agreement to establish additional rights for air 
     carriers of the United States and foreign air carriers of the 
     United Kingdom, including the right to commercially viable 
     competitive slots at Gatwick Airport and Heathrow Airport in 
     London, England, for air carriers of the United States.

     SEC. 531. ALLOCATION OF TRUST FUND FUNDING.

        (a) Definitions.--In this section:
       (1) Airport and airway trust fund.--The term ``Airport and 
     Airway Trust Fund'' means the trust fund established under 
     section 9502 of the Internal Revenue Code of 1986.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of Transportation.
       (3) State.--The term ``State'' means each of the States, 
     the District of Columbia, and the Commonwealth of Puerto 
     Rico.
       (4) State dollar contribution to the airport and airway 
     trust fund.--The term ``State dollar contribution to the 
     Airport and Airway Trust Fund'', with respect to a State and 
     fiscal year, means the amount of funds equal to the amounts 
     transferred to the Airport and Airway Trust Fund under 
     section 9502 of the Internal Revenue Code of 1986 that are 
     equivalent to the taxes described in section 9502(b) of the 
     Internal Revenue Code of 1986 that are collected in that 
     State.
       (b) Reporting.--
       (1) In general.--As soon as practicable after the date of 
     enactment of this Act, and annually thereafter, the Secretary 
     of the Treasury shall report to the Secretary the amount 
     equal to the amount of taxes collected in each State during 
     the preceding fiscal year that were transferred to the 
     Airport and Airway Trust Fund.
       (2) Report by secretary.--Not later than 90 days after the 
     date of enactment of this Act, and annually thereafter, the 
     Secretary shall prepare and submit to Congress a report that 
     provides, for each State, for the preceding fiscal year--
       (A) the State dollar contribution to the Airport and Airway 
     Trust Fund; and
       (B) the amount of funds (from funds made available under 
     section 48103 of title 49, United States Code) that were made 
     available to the State (including any political subdivision 
     thereof) under chapter 471 of title 49, United States Code.

     SEC. 532. TAOS PUEBLO AND BLUE LAKES WILDERNESS AREA 
                   DEMONSTRATION PROJECT.

       Within 18 months after the date of enactment of this Act, 
     the Administrator of the Federal Aviation Administration 
     shall work with the Taos Pueblo to study the feasibility of 
     conducting a demonstration project to require all aircraft 
     that fly over Taos Pueblo and the Blue Lake Wilderness Area 
     of Taos Pueblo, New Mexico, to maintain a mandatory minimum 
     altitude of at least 5,000 feet above ground level.

     SEC. 533. AIRLINE MARKETING DISCLOSURE.

       (a) Definitions.--In this section:
       (1) Air carrier.--The term ``air carrier'' has the meaning 
     given that term in section 40102 of title 49, United States 
     Code.
       (2) Air transportation.--The term ``air transportation'' 
     has the meaning given that term in section 40102 of title 49, 
     United States Code.
       (b) Final Regulations.--Not later than 90 days after the 
     date of enactment of this Act, the Secretary of 
     Transportation shall promulgate final regulations to provide 
     for improved oral and written disclosure to each consumer of 
     air transportation concerning the corporate name of the air 
     carrier that provides the air transportation purchased by 
     that consumer. In issuing the regulations issued under this 
     subsection, the Secretary shall take into account the 
     proposed regulations issued by the Secretary on January 17, 
     1995, published at page 3359, volume 60, Federal Register.

     SEC. 534. CERTAIN AIR TRAFFIC CONTROL TOWERS.

       Notwithstanding any other provision of law, regulation, 
     intergovernmental circular advisories or other process, or 
     any judicial proceeding or ruling to the contrary, the 
     Federal Aviation Administration shall use such funds as 
     necessary to contract for the operation of air traffic 
     control towers, located in Salisbury, Maryland; Bozeman, 
     Montana; and Boca Raton, Florida: Provided, That the Federal 
     Aviation Administration has made a prior determination of 
     eligibility for such towers to be included in the contract 
     tower program.

     SEC. 535. COMPENSATION UNDER THE DEATH ON THE HIGH SEAS ACT.

       (a) In General.--Section 2 of the Death on the High Seas 
     Act (46 U.S.C. App. 762) is amended by--
       (1) inserting ``(a) In General.--'' before ``The 
     recovery''; and
       (2) adding at the end thereof the following:
       ``(b) Commercial Aviation.--
       ``(1) In general.--If the death was caused during 
     commercial aviation, additional compensation for nonpecuniary 
     damages for wrongful death of a decedent is recoverable in a 
     total amount, for all beneficiaries of that decedent, that 
     shall not exceed the greater of the pecuniary loss sustained 
     or a sum total of $750,000 from all defendants for all 
     claims. Punitive damages are not recoverable.
       ``(2) Inflation adjustment.--The $750,000 amount shall be 
     adjusted, beginning in calendar year 2000 by the increase, if 
     any, in the Consumer Price Index for all urban consumers for 
     the prior year over the Consumer Price Index for all urban 
     consumers for the calendar year 1998.
       ``(3) Nonpecuniary damages.--For purposes of this 
     subsection, the term `nonpecuniary damages' means damages for 
     loss of care, comfort, and companionship.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     applies to any death caused during commercial aviation 
     occurring after July 16, 1996.
                TITLE VI--AVIATION COMPETITION PROMOTION

     SEC. 601. PURPOSE.

       The purpose of this title is to facilitate, through a 4-
     year pilot program, incentives and projects that will help up 
     to 40 communities or consortia of communities to improve 
     their access to the essential airport facilities of the 
     national air transportation system through public-private 
     partnerships and to identify and establish ways to overcome 
     the unique policy, economic, geographic, and marketplace 
     factors that may inhibit the availability of quality, 
     affordable air service to small communities.

     SEC. 602. ESTABLISHMENT OF SMALL COMMUNITY AVIATION 
                   DEVELOPMENT PROGRAM.

       Section 102 is amended by adding at the end thereof the 
     following:
       ``(g) Small Community Air Service Development Program.--
       ``(1) Establishment.--The Secretary shall establish a 4-
     year pilot aviation development program to be administered by 
     a program director designated by the Secretary.
       ``(2) Functions.--The program director shall--
       ``(A) function as a facilitator between small communities 
     and air carriers;
       ``(B) carry out section 41743 of this title;
       ``(C) carry out the airline service restoration program 
     under sections 41744, 41745, and 41746 of this title;
       ``(D) ensure that the Bureau of Transportation Statistics 
     collects data on passenger information to assess the service 
     needs of small communities;
       ``(E) work with and coordinate efforts with other Federal, 
     State, and local agencies to increase the viability of 
     service to small communities and the creation of aviation 
     development zones; and
       ``(F) provide policy recommendations to the Secretary and 
     the Congress that will ensure that small communities have 
     access to quality, affordable air transportation services.
       ``(3) Reports.--The program director shall provide an 
     annual report to the Secretary and the Congress beginning in 
     1999 that--
       ``(A) analyzes the availability of air transportation 
     services in small communities, including, but not limited to, 
     an assessment of the air fares charged for air transportation 
     services in small communities compared to air fares charged 
     for air transportation services in larger metropolitan areas 
     and an assessment of the levels of service, measured by types 
     of aircraft used, the availability of seats, and scheduling 
     of flights, provided to small communities;
       ``(B) identifies the policy, economic, geographic and 
     marketplace factors that inhibit the availability of quality, 
     affordable air transportation services to small communities; 
     and
       ``(C) provides policy recommendations to address the 
     policy, economic, geographic, and marketplace factors 
     inhibiting the availability of quality, affordable air 
     transportation services to small communities.''.

     SEC. 603. COMMUNITY-CARRIER AIR SERVICE PROGRAM.

       (a) In General.--Subchapter II of chapter 417 is amended by 
     adding at the end thereof the following:

     ``Sec. 41743. Air service program for small communities

       ``(a) Communities Program.--Under advisory guidelines 
     prescribed by the Secretary of Transportation, a small 
     community or a consortia of small communities or a State may 
     develop an assessment of its air service requirements, in 
     such form as the program director designated by the Secretary 
     under section 102(g) may require, and submit the assessment 
     and service proposal to the program director.
       ``(b) Selection of Participants.--In selecting community 
     programs for participation in the communities program under 
     subsection (a), the program director shall apply criteria, 
     including geographical diversity and the presentation of 
     unique circumstances, that will demonstrate the feasibility 
     of the program. For purposes of this subsection, the 
     application of geographical diversity criteria means criteria 
     that--
       ``(1) will promote the development of a national air 
     transportation system; and
       ``(2) will involve the participation of communities in all 
     regions of the country.
       ``(c) Carriers Program.--The program director shall invite 
     part 121 air carriers and regional/commuter carriers (as such 
     terms are defined in section 41715(d) of this title) to offer 
     service proposals in response to, or in conjunction with, 
     community aircraft service assessments submitted to the 
     office under subsection (a). A service proposal under this 
     paragraph shall include--
       ``(1) an assessment of potential daily passenger traffic, 
     revenues, and costs necessary for the carrier to offer the 
     service;
       ``(2) a forecast of the minimum percentage of that traffic 
     the carrier would require the community to garner in order 
     for the carrier to start up and maintain the service; and

[[Page S2300]]

       ``(3) the costs and benefits of providing jet service by 
     regional or other jet aircraft.
       ``(d) Program Support Function.--The program director shall 
     work with small communities and air carriers, taking into 
     account their proposals and needs, to facilitate the 
     initiation of service. The program director--
       ``(1) may work with communities to develop innovative means 
     and incentives for the initiation of service;
       ``(2) may obligate funds appropriated under section 604 of 
     the Wendell H. Ford National Air Transportation System 
     Improvement Act of 1998 to carry out this section;
       ``(3) shall continue to work with both the carriers and the 
     communities to develop a combination of community incentives 
     and carrier service levels that--
       ``(A) are acceptable to communities and carriers; and
       ``(B) do not conflict with other Federal or State programs 
     to facilitate air transportation to the communities;
       ``(4) designate an airport in the program as an Air Service 
     Development Zone and work with the community on means to 
     attract business to the area surrounding the airport, to 
     develop land use options for the area, and provide data, 
     working with the Department of Commerce and other agencies;
       ``(5) take such other action under this chapter as may be 
     appropriate.
       ``(e) Limitations.--
       ``(1) Community support.--The program director may not 
     provide financial assistance under subsection (c)(2) to any 
     community unless the program director determines that--
       ``(A) a public-private partnership exists at the community 
     level to carry out the community's proposal;
       ``(B) the community will make a substantial financial 
     contribution that is appropriate for that community's 
     resources, but of not less than 25 percent of the cost of the 
     project in any event;
       ``(C) the community has established an open process for 
     soliciting air service proposals; and
       ``(D) the community will accord similar benefits to air 
     carriers that are similarly situated.
       ``(2) Amount.--The program director may not obligate more 
     than $30,000,000 of the amounts appropriated under 604 of the 
     Wendell H. Ford National Air Transportation System 
     Improvement Act of 1998 over the 4 years of the program.
       ``(3) Number of participants.--The program established 
     under subsection (a) shall not involve more than 40 
     communities or consortia of communities.
       ``(f) Report.--The program director shall report through 
     the Secretary to the Congress annually on the progress made 
     under this section during the preceding year in expanding 
     commercial aviation service to smaller communities.

     ``Sec. 41744. Pilot program project authority

       ``(a) In General.--The program director designated by the 
     Secretary of Transportation under section 102(g)(1) shall 
     establish a 4-year pilot program--
       ``(1) to assist communities and States with inadequate 
     access to the national transportation system to improve their 
     access to that system; and
       ``(2) to facilitate better air service link-ups to support 
     the improved access.
       ``(b) Project Authority.--Under the pilot program 
     established pursuant to subsection (a), the program director 
     may--
       ``(1) out of amounts appropriated under section 604 of the 
     Wendell H. Ford National Air Transportation System 
     Improvement Act of 1998, provide financial assistance by way 
     of grants to small communities or consortia of small 
     communities under section 41743 of up to $500,000 per year; 
     and
       ``(2) take such other action as may be appropriate.
       ``(c) Other Action.--Under the pilot program established 
     pursuant to subsection (a), the program director may 
     facilitate service by--
       ``(1) working with airports and air carriers to ensure that 
     appropriate facilities are made available at essential 
     airports;
       ``(2) collecting data on air carrier service to small 
     communities; and
       ``(3) providing policy recommendations to the Secretary to 
     stimulate air service and competition to small communities.
       ``(d) Additional Action.--Under the pilot program 
     established pursuant to subsection (a), the Secretary shall 
     work with air carriers providing service to participating 
     communities and major air carriers serving large hub airports 
     (as defined in section 41731(a)(3)) to facilitate joint fare 
     arrangements consistent with normal industry practice.

     ``Sec. 41745. Assistance to communities for service

       ``(a) In General.--Financial assistance provided under 
     section 41743 during any fiscal year as part of the pilot 
     program established under section 41744(a) shall be 
     implemented for not more than--
       ``(1) 4 communities within any State at any given time; and
       ``(2) 40 communities in the entire program at any time.
     For purposes of this subsection, a consortium of communities 
     shall be treated as a single community.
       ``(b) Eligibility.--In order to participate in a pilot 
     project under this subchapter, a State, community, or group 
     of communities shall apply to the Secretary in such form and 
     at such time, and shall supply such information, as the 
     Secretary may require, and shall demonstrate to the 
     satisfaction of the Secretary that--
       ``(1) the applicant has an identifiable need for access, or 
     improved access, to the national air transportation system 
     that would benefit the public;
       ``(2) the pilot project will provide material benefits to a 
     broad section of the travelling public, businesses, 
     educational institutions, and other enterprises whose access 
     to the national air transportation system is limited;
       ``(3) the pilot project will not impede competition; and
       ``(4) the applicant has established, or will establish, 
     public-private partnerships in connection with the pilot 
     project to facilitate service to the public.
       ``(c) Coordination With Other Provisions of Subchapter.--
     The Secretary shall carry out the 4-year pilot program 
     authorized by this subchapter in such a manner as to 
     complement action taken under the other provisions of this 
     subchapter. To the extent the Secretary determines to be 
     appropriate, the Secretary may adopt criteria for 
     implementation of the 4-year pilot program that are the same 
     as, or similar to, the criteria developed under the preceding 
     sections of this subchapter for determining which airports 
     are eligible under those sections. The Secretary shall also, 
     to the extent possible, provide incentives where no direct, 
     viable, and feasible alternative service exists, taking into 
     account geographical diversity and appropriate market 
     definitions.
       ``(d) Maximization of Participation.--The Secretary shall 
     structure the program established pursuant to section 
     41744(a) in a way designed to--
       ``(1) permit the participation of the maximum feasible 
     number of communities and States over a 4-year period by 
     limiting the number of years of participation or otherwise; 
     and
       ``(2) obtain the greatest possible leverage from the 
     financial resources available to the Secretary and the 
     applicant by--
       ``(A) progressively decreasing, on a project-by-project 
     basis, any Federal financial incentives provided under this 
     chapter over the 4-year period; and
       ``(B) terminating as early as feasible Federal financial 
     incentives for any project determined by the Secretary after 
     its implementation to be--
       ``(i) viable without further support under this subchapter; 
     or
       ``(ii) failing to meet the purposes of this chapter or 
     criteria established by the Secretary under the pilot 
     program.
       ``(e) Success Bonus.--If Federal financial incentives to a 
     community are terminated under subsection (d)(2)(B) because 
     of the success of the program in that community, then that 
     community may receive a one-time incentive grant to ensure 
     the continued success of that program.
       ``(f) Program To Terminate in 4 Years.--No new financial 
     assistance may be provided under this subchapter for any 
     fiscal year beginning more than 4 years after the date of 
     enactment of the Wendell H. Ford National Air Transportation 
     System Improvement Act of 1998.

     ``Sec. 41746. Additional authority

       ``In carrying out this chapter, the Secretary--
       ``(1) may provide assistance to States and communities in 
     the design and application phase of any project under this 
     chapter, and oversee the implementation of any such project;
       ``(2) may assist States and communities in putting together 
     projects under this chapter to utilize private sector 
     resources, other Federal resources, or a combination of 
     public and private resources;
       ``(3) may accord priority to service by jet aircraft;
       ``(4) take such action as may be necessary to ensure that 
     financial resources, facilities, and administrative 
     arrangements made under this chapter are used to carry out 
     the purposes of title VI of the Wendell H. Ford National Air 
     Transportation System Improvement Act of 1998; and
       ``(5) shall work with the Federal Aviation Administration 
     on airport and air traffic control needs of communities in 
     the program.

     ``Sec. 41747. Air traffic control services pilot program

       ``(a) In General.--To further facilitate the use of, and 
     improve the safety at, small airports, the Administrator of 
     the Federal Aviation Administration shall establish a pilot 
     program to contract for Level I air traffic control services 
     at 20 facilities not eligible for participation in the 
     Federal Contract Tower Program.
       ``(b) Program Components.--In carrying out the pilot 
     program established under subsection (a), the Administrator 
     may--
       ``(1) utilize current, actual, site-specific data, forecast 
     estimates, or airport system plan data provided by a facility 
     owner or operator;
       ``(2) take into consideration unique aviation safety, 
     weather, strategic national interest, disaster relief, 
     medical and other emergency management relief services, 
     status of regional airline service, and related factors at 
     the facility;
       ``(3) approve for participation any facility willing to 
     fund a pro rata share of the operating costs used by the 
     Federal Aviation Administration to calculate, and, as 
     necessary, a 1:1 benefit-to-cost ratio, as required for 
     eligibility under the Federal Contract Tower Program; and

[[Page S2301]]

       ``(4) approve for participation no more than 3 facilities 
     willing to fund a pro rata share of construction costs for an 
     air traffic control tower so as to achieve, at a minimum, a 
     1:1 benefit-to-cost ratio, as required for eligibility under 
     the Federal Contract Tower Program, and for each of such 
     facilities the Federal share of construction costs does not 
     exceed $1,000,000.
       ``(c) Report.--One year before the pilot program 
     established under subsection (a) terminates, the 
     Administrator shall report to the Congress on the 
     effectiveness of the program, with particular emphasis on the 
     safety and economic benefits provided to program participants 
     and the national air transportation system.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     417 is amended by inserting after the item relating to 
     section 41742 the following:

``41743. Air service program for small communities.
``41744. Pilot program project authority.
``41745. Assistance to communities for service.
``41746. Additional authority.
``41747. Air traffic control services pilot program.''.

       (c) Waiver of Local Contribution.--Section 41736(b) is 
     amended by inserting after paragraph (4) the following:
     ``Paragraph (4) does not apply to any community approved for 
     service under this section during the period beginning 
     October 1, 1991, and ending December 31, 1997.''.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary of Transportation such 
     sums as may be necessary to carry out section 41747 of title 
     49, United States Code.

     SEC. 604. AUTHORIZATION OF APPROPRIATIONS.

       To carry out sections 41743 through 41746 of title 49, 
     United States Code, for the 4 fiscal-year period beginning 
     with fiscal year 1999--
       (1) there are authorized to be appropriated to the 
     Secretary of Transportation not more than $10,000,000; and
       (2) not more than $20,000,000 shall be made available, if 
     available, to the Secretary for obligation and expenditure 
     out of the account established under section 45303(a) of 
     title 49, United States Code.
     To the extent that amounts are not available in such account, 
     there are authorized to be appropriated such sums as may be 
     necessary to provide the amount authorized to be obligated 
     under paragraph (2) to carry out those sections for that 4 
     fiscal-year period.

     SEC. 605. MARKETING PRACTICES.

       Section 41712 is amended by--
       (1) inserting ``(a) In General.--'' before ``On''; and
       (2) adding at the end thereof the following:
       ``(b) Marketing Practices That Adversely Affect Service to 
     Small or Medium Communities.--Within 180 days after the date 
     of enactment of the Wendell H. Ford National Air 
     Transportation System Improvement Act of 1998, the Secretary 
     shall review the marketing practices of air carriers that may 
     inhibit the availability of quality, affordable air 
     transportation services to small and medium-sized 
     communities, including--
       ``(1) marketing arrangements between airlines and travel 
     agents;
       ``(2) code-sharing partnerships;
       ``(3) computer reservation system displays;
       ``(4) gate arrangements at airports;
       ``(5) exclusive dealing arrangments; and
       ``(6) any other marketing practice that may have the same 
     effect.
       ``(c) Regulations.--If the Secretary finds, after 
     conducting the review required by subsection (b), that 
     marketing practices inhibit the availability of such service 
     to such communities, then, after public notice and an 
     opportunity for comment, the Secretary shall promulgate 
     regulations that address the problem.''.

     SEC. 606. SLOT EXEMPTIONS FOR NONSTOP REGIONAL JET SERVICE.

       (a) In General.--Subchapter I of chapter 417 is amended 
     by--
       (1) redesignating section 41715 as 41716; and
       (2) inserting after section 41714 the following:

     ``Sec. 41715. Slot exemptions for nonstop regional jet 
       service.

       ``(a) In General.--Within 90 days after receiving an 
     application for an exemption to provide nonstop regional jet 
     air service between--
       ``(1) an airport with fewer than 2,000,000 annual 
     enplanements; and
       ``(2) a high density airport subject to the exemption 
     authority under section 41714(a),

     the Secretary of Transportation shall grant or deny the 
     exemption in accordance with established principles of safety 
     and the promotion of competition.
       ``(b) Existing Slots Taken Into Account.--In deciding to 
     grant or deny an exemption under subsection (a), the 
     Secretary may take into consideration the slots and slot 
     exemptions already used by the applicant.
       ``(c) Conditions.--The Secretary may grant an exemption to 
     an air carrier under subsection (a)--
       ``(1) for a period of not less than 12 months;
       ``(2) for a minimum of 2 daily roundtrip flights; and
       ``(3) for a maximum of 3 daily roundtrip flights.
       ``(d) Change of Nonhub, Small Hub, or Medium Hub Airport; 
     Jet Aircraft.--The Secretary may, upon application made by an 
     air carrier operating under an exemption granted under 
     subsection (a)--
       ``(1) authorize the air carrier or an affiliated air 
     carrier to upgrade service under the exemption to a larger 
     jet aircraft; or
       ``(2) authorize an air carrier operating under such an 
     exemption to change the nonhub airport or small hub airport 
     for which the exemption was granted to provide the same 
     service to a different airport that is smaller than a large 
     hub airport (as defined in section 47134(d)(2)) if--
       ``(A) the air carrier has been operating under the 
     exemption for a period of not less than 12 months; and
       ``(B) the air carrier can demonstrate unmitigatable losses.
       ``(e) Forefeiture for Misuse.--Any exemption granted under 
     subsection (a) shall be terminated immediately by the 
     Secretary if the air carrier to which it was granted uses the 
     slot for any purpose other than the purpose for which it was 
     granted or in violation of the conditions under which it was 
     granted.
       ``(f) Restoration of Air Service.--To the extent that--
       ``(1) slots were withdrawn from an air carrier under 
     section 41714(b);
       ``(2) the withdrawal of slots under that section resulted 
     in a net loss of slots; and
       ``(3) the net loss of slots and slot exemptions resulting 
     from the withdrawal had an adverse effect on service to 
     nonhub airports and in other domestic markets,

     the Secretary shall give priority consideration to the 
     request of any air carrier from which slots were withdrawn 
     under that section for an equivalent number of slots at the 
     airport where the slots were withdrawn. No priority 
     consideration shall be given under this subsection to an air 
     carrier described in paragraph (1) when the net loss of slots 
     and slot exemptions is eliminated.
       ``(g) Priority to New Entrants and Limited Incumbent 
     Carriers.--
       ``(1) In general.--In granting slot exemptions under this 
     section the Secretary shall give priority consideration to an 
     application from an air carrier that, as of July 1, 1998, 
     operated or held fewer than 20 slots or slot exemptions at 
     the high density airport for which it filed an exemption 
     application.
       ``(2) Limitation.--No priority may be given under paragraph 
     (1) to an air carrier that, at the time of application, 
     operates or holds 20 or more slots and slot exemptions at the 
     airport for which the exemption application is filed.
       ``(3) Affiliated carriers.--The Secretary shall treat all 
     commuter air carriers that have cooperative agreements, 
     including code-share agreements, with other air carriers 
     equally for determining eligibility for exemptions under this 
     section regardless of the form of the corporate relationship 
     between the commuter air carrier and the other air carrier.
       ``(h) Stage 3 Aircraft Required.--An exemption may not be 
     granted under this section with respect to any aircraft that 
     is not a Stage 3 aircraft (as defined by the Secretary).
       ``(i) Regional Jet Defined.--In this section, the term 
     `regional jet' means a passenger, turbofan-powered aircraft 
     carrying not fewer than 30 and not more than 50 
     passengers.''.
       (b) Conforming Amendments.--
       (1) Section 40102 is amended by inserting after paragraph 
     (28) the following:
       ``(28A) Limited incumbent air carrier.--The term `limited 
     incumbent air carrier' has the meaning given that term in 
     subpart S of part 93 of title 14, Code of Federal 
     Regulations, except that `20' shall be substituted for `12' 
     in sections 93.213(a)(5), 93.223(c)(3), and 93.226(h) as such 
     sections were in effect on August 1, 1998.''.
       (2) The chapter analysis for chapter 417 is amended by 
     striking the item relating to section 41716 and inserting the 
     following:

``41715. Slot exemptions for nonstop regional jet service.
``41716. Air service termination notice.''.

     SEC. 607. EXEMPTIONS TO PERIMETER RULE AT RONALD REAGAN 
                   WASHINGTON NATIONAL AIRPORT.

       (a) In General.--Subchapter I of chapter 417, as amended by 
     section 606, is amended by--
       (1) redesignating section 41716 as 41717; and
       (2) inserting after section 41715 the following:

     ``Sec. 41716. Special Rules for Ronald Reagan Washington 
       National Airport

       ``(a) Beyond-Perimeter Exemptions.--The Secretary shall by 
     order grant exemptions from the application of sections 
     49104(a)(5), 49109, 49111(e), and 41714 of this title to air 
     carriers to operate limited frequencies and aircraft on 
     select routes between Ronald Reagan Washington National 
     Airport and domestic hub airports of such carriers and 
     exemptions from the requirements of subparts K and S of part 
     93, Code of Federal Regulations, if the Secretary finds that 
     the exemptions will--
       ``(1) provide air transportation service with domestic 
     network benefits in areas beyond the perimeter described in 
     that section;
       ``(2) increase competition in multiple markets;
       ``(3) not reduce travel options for communities served by 
     small hub airports and medium hub airports within the 
     perimeter described in section 49109 of title 49, United 
     States Code; and
       ``(4) not result in meaningfully increased travel delays.
       ``(b) Within-Perimeter Exemptions.--The Secretary shall by 
     order grant exemptions from the requirements of sections 
     49104(a)(5),

[[Page S2302]]

     49111(e), and 41714 of this title and subparts K and S of 
     part 93 of title 14, Code of Federal Regulations, to commuter 
     air carriers for service to airports with fewer than 
     2,000,000 annual enplanements within the perimeter 
     established for civil aircraft operations at Ronald Reagan 
     Washington National Airport under section 49109. The 
     Secretary shall develop criteria for distributing slot 
     exemptions for flights within the perimeter to such airports 
     under this paragraph in a manner consistent with the 
     promotion of air transportation.
       ``(c) Limitations.--
       ``(1) Stage 3 aircraft required.--An exemption may not be 
     granted under this section with respect to any aircraft that 
     is not a Stage 3 aircraft (as defined by the Secretary).
       ``(2) General exemptions.--The exemptions granted under 
     subsections (a) and (b) may not increase the number of 
     operations at Ronald Reagan Washington National Airport in 
     any 1-hour period during the hours between 7:00 a.m. and 9:59 
     p.m. by more than 2 operations.''.
       ``(3) Additional exemptions.--The Secretary shall grant 
     exemptions under subsections (a) and (b) that--
       ``(A) will result in 12 additional daily air carrier slot 
     exemptions at such airport for long-haul service beyond the 
     perimeter;
       ``(B) will result in 12 additional daily commuter slot 
     exemptions at such airport; and
       ``(C) will not result in additional daily commuter slot 
     exemptions for service to any within-the-perimeter airport 
     that is not smaller than a large hub airport (as defined in 
     section 47134(d)(2)).
       ``(4) Assessment of safety, noise and environmental 
     impacts.--The Secretary shall assess the impact of granting 
     exemptions, including the impacts of the additional slots and 
     flights at Ronald Reagan Washington National Airport provided 
     under subsections (a) and (b) on safety, noise levels and the 
     environment within 90 days of the date of the enactment of 
     this Act. The environmental assessment shall be carried out 
     in accordance with parts 1500-1508 of title 40, Code of 
     Federal Regulations. Such environmental assessment shall 
     include a public meeting.
       ``(5) Applicability with exemption 5133.--Nothing in this 
     section affects Exemption No. 5133, as from time-to-time 
     amended and extended.''.
       (b) Override of MWAA Restriction.--Section 49104(a)(5) is 
     amended by adding at the end thereof the following:
       ``(D) Subparagraph (C) does not apply to any increase in 
     the number of instrument flight rule takeoffs and landings 
     necessary to implement exemptions granted by the Secretary 
     under section 41716.''.
       (c) MWAA Noise-Related Grant Assurances.--
       (1) In general.--In addition to any condition for approval 
     of an airport development project that is the subject of a 
     grant application submitted to the Secretary of 
     Transportation under chapter 471 of title 49, United States 
     Code, by the Metropolitan Washington Airports Authority, the 
     Authority shall be required to submit a written assurance 
     that, for each such grant made to the Authority for fiscal 
     year 1999 or any subsequent fiscal year--
       (A) the Authority will make available for that fiscal year 
     funds for noise compatibility planning and programs that are 
     eligible to receive funding under chapter 471 of title 49, 
     United States Code, in an amount not less than 10 percent of 
     the aggregate annual amount of financial assistance provided 
     to the Authority by the Secretary as grants under chapter 471 
     of title 49, United States Code; and
       (B) the Authority will not divert funds from a high 
     priority safety project in order to make funds available for 
     noise compatibility planning and programs.
       (2) Waiver.--The Secretary of Transportation may waive the 
     requirements of paragraph (1) for any fiscal year for which 
     the Secretary determines that the Metropolitan Washington 
     Airports Authority is in full compliance with applicable 
     airport noise compatibility planning and program requirements 
     under part 150 of title 14, Code of Federal Regulations.
       (3) Sunset.--This subsection shall cease to be in effect 5 
     years after the date of enactment of this Act, if on that 
     date the Secretary of Transportation certifies that the 
     Metropolitan Washington Airports Authority has achieved full 
     compliance with applicable noise compatibility planning and 
     program requirements under part 150 of title 14, Code of 
     Federal Regulations.
       (d) Noise Compatibility Planning and Programs.--Section 
     47117(e) is amended by adding at the end the following:
       ``(3) The Secretary shall give priority in making grants 
     under paragraph (1)(A) to applications for airport noise 
     compatibility planning and programs at and around airports 
     where operations increase under title VI of the Wendell H. 
     Ford National Air Transportation System Improvement Act of 
     1998 and the amendments made by that title.''.
       (e) Conforming Amendments.--
       (1) Section 49111 is amended by striking subsection (e).
       (2) The chapter analysis for chapter 417, as amended by 
     section 606(b) of this Act, is amended by striking the item 
     relating to section 41716 and inserting the following:

``41716. Special Rules for Ronald Reagan Washington National Airport.
``41717. Air service termination notice.''.

       (f) Report.--Within 1 year after the date of enactment of 
     this Act, and biannually thereafter, the Secretary shall 
     certify to the United States Senate Committee on Commerce, 
     Science, and Transportation, the United States House of 
     Representatives Committee on Transportation and 
     Infrastructure, the Governments of Maryland, Virginia, and 
     West Virginia and the metropolitan planning organization for 
     Washington D.C. that noise standards, air traffic congestion, 
     airport-related vehicular congestion, safety standards, and 
     adequate air service to communities served by small hub 
     airports and medium hub airports within the perimeter 
     described in section 49109 of title 49, United States Code, 
     have been maintained at appropriate levels.

     SEC. 608. ADDITIONAL SLOT EXEMPTIONS AT CHICAGO O'HARE 
                   INTERNATIONAL AIRPORT.

       (a) In General.--Chapter 417, as amended by section 607, is 
     amended by--
       (1) redesignating section 41717 as 41718; and
       (2) inserting after section 41716 the following:

     ``Sec. 41717. Special Rules for Chicago O'Hare International 
       Airport

       ``(a) In General.--The Secretary of Transportation shall 
     grant 30 slot exemptions over a 3-year period beginning on 
     the date of enactment of the Wendell H. Ford National Air 
     Transportation System Improvement Act of 1998 at Chicago 
     O'Hare International Airport.
       ``(b) Equipment and Service Requirements.--
       ``(1) Stage 3 aircraft required.--An exemption may not be 
     granted under this section with respect to any aircraft that 
     is not a Stage 3 aircraft (as defined by the Secretary).
       ``(2) Service provided.--Of the exemptions granted under 
     subsection (a)--
       ``(A) 18 shall be used only for service to underserved 
     markets, of which no fewer than 6 shall be designated as 
     commuter slot exemptions; and
       ``(B) 12 shall be air carrier slot exemptions.
       ``(c) Procedural Requirements.--Before granting exemptions 
     under subsection (a), the Secretary shall--
       ``(1) conduct an environmental review, taking noise into 
     account, and determine that the granting of the exemptions 
     will not cause a significant increase in noise;
       ``(2) determine whether capacity is available and can be 
     used safely and, if the Secretary so determines then so 
     certify;
       ``(3) give 30 days notice to the public through publication 
     in the Federal Register of the Secretary's intent to grant 
     the exemptions; and
       ``(4) consult with appropriate officers of the State and 
     local government on any related noise and environmental 
     issues.
       ``(d) Underserved Market Defined.--In this section, the 
     term `service to underserved markets' means passenger air 
     transportation service to an airport that is a nonhub airport 
     or a small hub airport (as defined in paragraphs (4) and (5), 
     respectively, of section 41731(a)).''.
       (b) Studies.--
       (1) 3-year report.--The Secretary shall study and submit a 
     report 3 years after the first exemption granted under 
     section 41717(a) of title 49, United States Code, is first 
     used on the impact of the additional slots on the safety, 
     environment, noise, access to underserved markets, and 
     competition at Chicago O'Hare International Airport.
       (2) DOT study in 2000.--The Secretary of Transportation 
     shall study community noise levels in the areas surrounding 
     the 4 high-density airports after the 100 percent Stage 3 
     fleet requirements are in place, and compare those levels 
     with the levels in such areas before 1991.
       (c) Conforming Amendment.--The chapter analysis for chapter 
     417, as amended by section 607(b) of this Act, is amended by 
     striking the item relating to section 41717 and inserting the 
     following:

``41717. Special Rules for Chicago O'Hare International Airport.
``41718. Air service termination notice.''.

     SEC. 609. CONSUMER NOTIFICATION OF E-TICKET EXPIRATION DATES.

       Section 41712, as amended by section 605 of this Act, is 
     amended by adding at the end thereof the following:
       ``(d) E-Ticket Expiration Notice.--It shall be an unfair or 
     deceptive practice under subsection (a) for any air carrier 
     utilizing electronically transmitted tickets to fail to 
     notify the purchaser of such a ticket of its expiration date, 
     if any.''.

     SEC. 610. JOINT VENTURE AGREEMENTS.

       (a) In General.--Subchapter I of chapter 417, as amended by 
     section 608, is amended by adding at the end the following:

     ``Sec. 41719. Joint venture agreements

       ``(a) Definitions.--In this section--
       ``(1) Joint venture agreement.--The term `joint venture 
     agreement' means an agreement entered into by a major air 
     carrier on or after January 1, 1998, with regard to (A) code-
     sharing, blocked-space arrangements, long-term wet leases (as 
     defined in section 207.1 of title 14, Code of Federal 
     Regulations) of a substantial number (as defined by the 
     Secretary by regulation) of aircraft, or frequent flyer 
     programs, or (B) any other cooperative working arrangement 
     (as defined by the Secretary by regulation) between 2 or more 
     major air carriers that affects more than 15 percent of the 
     total number of available seat miles offered by the major air 
     carriers.

[[Page S2303]]

       ``(2) Major air carrier.--The term `major air carrier' 
     means a passenger air carrier that is certificated under 
     chapter 411 of this title and included in Carrier Group III 
     under criteria contained in section 04 of part 241 of title 
     14, Code of Federal Regulations.
       ``(b) Submission of Joint Venture Agreement.--At least 30 
     days before a joint venture agreement may take effect, each 
     of the major air carriers that entered into the agreement 
     shall submit to the Secretary--
       ``(1) a complete copy of the joint venture agreement and 
     all related agreements; and
       ``(2) other information and documentary material that the 
     Secretary may require by regulation.
       ``(c) Extension of Waiting Period.--
       ``(1) In general.--The Secretary may extend the 30-day 
     period referred to in subsection (b) until--
       ``(A) in the case of a joint venture agreement with regard 
     to code-sharing, the 150th day following the last day of such 
     period; and
       ``(B) in the case of any other joint venture agreement, the 
     60th day following the last day of such period.
       ``(2) Publication of reasons for extension.--If the 
     Secretary extends the 30-day period referred to in subsection 
     (b), the Secretary shall publish in the Federal Register the 
     reasons of the Secretary for making the extension.
       ``(d) Termination of Waiting Period.--At any time after the 
     date of submission of a joint venture agreement under 
     subsection (b), the Secretary may terminate the waiting 
     periods referred to in subsections (b) and (c) with respect 
     to the agreement.
       ``(e) Regulations.--The effectiveness of a joint venture 
     agreement may not be delayed due to any failure of the 
     Secretary to issue regulations to carry out this subsection.
       ``(f) Memorandum To Prevent Duplicative Reviews.--Promptly 
     after the date of enactment of this section, the Secretary 
     shall consult with the Assistant Attorney General of the 
     Antitrust Division of the Department of Justice in order to 
     establish, through a written memorandum of understanding, 
     preclearance procedures to prevent unnecessary duplication of 
     effort by the Secretary and the Assistant Attorney General 
     under this section and the United States antitrust laws, 
     respectively.
       ``(g) Prior Agreements.--With respect to a joint venture 
     agreement entered into before the date of enactment of this 
     section as to which the Secretary finds that--
       ``(1) the parties have submitted the agreement to the 
     Secretary before such date of enactment; and
       ``(2) the parties have submitted any information on the 
     agreement requested by the Secretary,

     the waiting period described in paragraphs (2) and (3) shall 
     begin on the date, as determined by the Secretary, on which 
     all such information was submitted and end on the last day to 
     which the period could be extended under this section.
       ``(h) Limitation on Statutory Construction.--The authority 
     granted to the Secretary under this subsection shall not in 
     any way limit the authority of the Attorney General to 
     enforce the antitrust laws as defined in the first section of 
     the Clayton Act (15 U.S.C. 12).''.
       (b) Conforming Amendment.--The analysis for subchapter I of 
     such chapter is amended by adding at the end the following:

``41716. Joint venture agreements.''.

     SEC. 611. REGIONAL AIR SERVICE INCENTIVE OPTIONS.

       (a) Purpose.--The purpose of this section is to provide the 
     Congress with an analysis of means to improve service by jet 
     aircraft to underserved markets by authorizing a review of 
     different programs of Federal financial assistance, including 
     loan guarantees like those that would have been provided for 
     by section 2 of S. 1353, 105th Congress, as introduced, to 
     commuter air carriers that would purchase regional jet 
     aircraft for use in serving those markets.
       (b) Study.--The Secretary of Transportation shall study the 
     efficacy of a program of Federal loan guarantees for the 
     purchase of regional jets by commuter air carriers. The 
     Secretary shall include in the study a review of options for 
     funding, including alternatives to Federal funding. In the 
     study, the Secretary shall analyze--
       (1) the need for such a program;
       (2) its potential benefit to small communities;
       (3) the trade implications of such a program;
       (4) market implications of such a program for the sale of 
     regional jets;
       (5) the types of markets that would benefit the most from 
     such a program;
       (6) the competititve implications of such a program; and
       (7) the cost of such a program.
       (c) Report.--The Secretary shall submit a report of the 
     results of the study to the Senate Committee on Commerce, 
     Science, and Transportation and the House of Representatives 
     Committee on Transportation and Infrastructure not later than 
     24 months after the date of enactment of this Act.

     SEC. 612. GAO STUDY OF AIR TRANSPORTATION NEEDS.

       The General Accounting Office shall conduct a study of the 
     current state of the national airport network and its ability 
     to meet the air transportation needs of the United States 
     over the next 15 years. The study shall include airports 
     located in remote communities and reliever airports. In 
     assessing the effectiveness of the system the Comptroller 
     General may consider airport runway length of 5,500 feet or 
     the equivalent altitude-adjusted length, air traffic control 
     facilities, and navigational aids.
                 TITLE VII--NATIONAL PARKS OVERFLIGHTS

     SEC. 701. FINDINGS.

       The Congress finds that--
       (1) the Federal Aviation Administration has sole authority 
     to control airspace over the United States;
       (2) the Federal Aviation Administration has the authority 
     to preserve, protect, and enhance the environment by 
     minimizing, mitigating, or preventing the adverse effects of 
     aircraft overflights on the public and tribal lands;
       (3) the National Park Service has the responsibility of 
     conserving the scenery and natural and historic objects and 
     wildlife in national parks and of providing for the enjoyment 
     of the national parks in ways that leave the national parks 
     unimpaired for future generations;
       (4) the protection of tribal lands from aircraft 
     overflights is consistent with protecting the public health 
     and welfare and is essential to the maintenance of the 
     natural and cultural resources of Indian tribes;
       (5) the National Parks Overflights Working Group, composed 
     of general aviation, air tour, environmental, and Native 
     American representatives, recommended that the Congress enact 
     legislation based on its consensus work product; and
       (6) this title reflects the recommendations made by that 
     Group.

     SEC. 702. AIR TOUR MANAGEMENT PLANS FOR NATIONAL PARKS.

       (a) In General.--Chapter 401, as amended by section 301 of 
     this Act, is amended by adding at the end the following:

     ``Sec. 40126. Overflights of national parks

       ``(a) In General.--
       ``(1) General requirements.--A commercial air tour operator 
     may not conduct commercial air tour operations over a 
     national park or tribal lands except--
       ``(A) in accordance with this section;
       ``(B) in accordance with conditions and limitations 
     prescribed for that operator by the Administrator; and
       ``(C) in accordance with any effective air tour management 
     plan for that park or those tribal lands.
       ``(2) Application for operating authority.--
       ``(A) Application required.--Before commencing commercial 
     air tour operations over a national park or tribal lands, a 
     commercial air tour operator shall apply to the Administrator 
     for authority to conduct the operations over that park or 
     those tribal lands.
       ``(B) Competitive bidding for limited capacity parks.--
     Whenever a commercial air tour management plan limits the 
     number of commercial air tour flights over a national park 
     area during a specified time frame, the Administrator, in 
     cooperation with the Director, shall authorize commercial air 
     tour operators to provide such service. The authorization 
     shall specify such terms and conditions as the Administrator 
     and the Director find necessary for management of commercial 
     air tour operations over the national park. The 
     Administrator, in cooperation with the Director, shall 
     develop an open competitive process for evaluating proposals 
     from persons interested in providing commercial air tour 
     services over the national park. In making a selection from 
     among various proposals submitted, the Administrator, in 
     cooperation with the Director, shall consider relevant 
     factors, including--
       ``(i) the safety record of the company or pilots;
       ``(ii) any quiet aircraft technology proposed for use;
       ``(iii) the experience in commercial air tour operations 
     over other national parks or scenic areas;
       ``(iv) the financial capability of the company;
       ``(v) any training programs for pilots; and
       ``(vi) responsiveness to any criteria developed by the 
     National Park Service or the affected national park.
       ``(C) Number of operations authorized.--In determining the 
     number of authorizations to issue to provide commercial air 
     tour service over a national park, the Administrator, in 
     cooperation with the Director, shall take into consideration 
     the provisions of the air tour management plan, the number of 
     existing commercial air tour operators and current level of 
     service and equipment provided by any such companies, and the 
     financial viability of each commercial air tour operation.
       ``(D) Cooperation with nps.--Before granting an application 
     under this paragraph, the Administrator shall, in cooperation 
     with the Director, develop an air tour management plan in 
     accordance with subsection (b) and implement such plan.
       ``(E) Time limit on response to ATMP applications.--The 
     Administrator shall act on any such application and issue a 
     decision on the application not later than 24 months after it 
     is received or amended.
       ``(3) Exception.--Notwithstanding paragraph (1), commercial 
     air tour operators may conduct commercial air tour operations 
     over a national park under part 91 of the Federal Aviation 
     Regulations (14 CFR 91.1 et seq.) if--
       ``(A) such activity is permitted under part 119 (14 CFR 
     119.1(e)(2));

[[Page S2304]]

       ``(B) the operator secures a letter of agreement from the 
     Administrator and the national park superintendent for that 
     national park describing the conditions under which the 
     flight operations will be conducted; and
       ``(C) the total number of operations under this exception 
     is limited to not more than 5 flights in any 30-day period 
     over a particular park.
       ``(4) Special rule for safety requirements.--
     Notwithstanding subsection (c), an existing commercial air 
     tour operator shall, not later than 90 days after the date of 
     enactment of the Wendell H. Ford National Air Transportation 
     System Improvement Act of 1998, apply for operating authority 
     under part 119, 121, or 135 of the Federal Aviation 
     Regulations (14 CFR Pt. 119, 121, or 135). A new entrant 
     commercial air tour operator shall apply for such authority 
     before conducting commercial air tour operations over a 
     national park or tribal lands.
       ``(b) Air Tour Management Plans.--
       ``(1) Establishment of atmps.--
       ``(A) In general.--The Administrator shall, in cooperation 
     with the Director, establish an air tour management plan for 
     any national park or tribal land for which such a plan is not 
     already in effect whenever a person applies for authority to 
     operate a commercial air tour over the park. The development 
     of the air tour management plan is to be a cooperative 
     undertaking between the Federal Aviation Administration and 
     the National Park Service. The air tour management plan shall 
     be developed by means of a public process, and the agencies 
     shall develop information and analysis that explains the 
     conclusions that the agencies make in the application of the 
     respective criteria. Such explanations shall be included in 
     the Record of Decision and may be subject to judicial review.
       ``(B) Objective.--The objective of any air tour management 
     plan shall be to develop acceptable and effective measures to 
     mitigate or prevent the significant adverse impacts, if any, 
     of commercial air tours upon the natural and cultural 
     resources and visitor experiences and tribal lands.
       ``(2) Environmental determination.--In establishing an air 
     tour management plan under this subsection, the Administrator 
     and the Director shall each sign the environmental decision 
     document required by section 102 of the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4332) which may 
     include a finding of no significant impact, an environmental 
     assessment, or an environmental impact statement, and the 
     Record of Decision for the air tour management plan.
       ``(3) Contents.--An air tour management plan for a national 
     park--
       ``(A) may prohibit commercial air tour operations in whole 
     or in part;
       ``(B) may establish conditions for the conduct of 
     commercial air tour operations, including commercial air tour 
     routes, maximum or minimum altitudes, time-of-day 
     restrictions, restrictions for particular events, maximum 
     number of flights per unit of time, intrusions on privacy on 
     tribal lands, and mitigation of noise, visual, or other 
     impacts;
       ``(C) shall apply to all commercial air tours within \1/2\ 
     mile outside the boundary of a national park;
       ``(D) shall include incentives (such as preferred 
     commercial air tour routes and altitudes, relief from caps 
     and curfews) for the adoption of quiet aircraft technology by 
     commercial air tour operators conducting commercial air tour 
     operations at the park;
       ``(E) shall provide for the initial allocation of 
     opportunities to conduct commercial air tours if the plan 
     includes a limitation on the number of commercial air tour 
     flights for any time period; and
       ``(F) shall justify and document the need for measures 
     taken pursuant to subparagraphs (A) through (E).
       ``(4) Procedure.--In establishing a commercial air tour 
     management plan for a national park, the Administrator and 
     the Director shall--
       ``(A) initiate at least one public meeting with interested 
     parties to develop a commercial air tour management plan for 
     the park;
       ``(B) publish the proposed plan in the Federal Register for 
     notice and comment and make copies of the proposed plan 
     available to the public;
       ``(C) comply with the regulations set forth in sections 
     1501.3 and 1501.5 through 1501.8 of title 40, Code of Federal 
     Regulations (for purposes of complying with those 
     regulations, the Federal Aviation Administration is the lead 
     agency and the National Park Service is a cooperating 
     agency); and
       ``(D) solicit the participation of any Indian tribe whose 
     tribal lands are, or may be, overflown by aircraft involved 
     in commercial air tour operations over a national park or 
     tribal lands, as a cooperating agency under the regulations 
     referred to in paragraph (4)(C).
       ``(5) Amendments.--Any amendment of an air tour management 
     plan shall be published in the Federal Register for notice 
     and comment. A request for amendment of an air tour 
     management plan shall be made in such form and manner as the 
     Administrator may prescribe.
       ``(c) Interim Operating Authority.--
       ``(1) In general.--Upon application for operating 
     authority, the Administrator shall grant interim operating 
     authority under this paragraph to a commercial air tour 
     operator for a national park or tribal lands for which the 
     operator is an existing commercial air tour operator.
       ``(2) Requirements and limitations.--Interim operating 
     authority granted under this subsection--
       ``(A) shall provide annual authorization only for the 
     greater of--
       ``(i) the number of flights used by the operator to provide 
     such tours within the 12-month period prior to the date of 
     enactment of the Wendell H. Ford National Air Transportation 
     System Improvement Act of 1998; or
       ``(ii) the average number of flights per 12-month period 
     used by the operator to provide such tours within the 36-
     month period prior to such date of enactment, and, for 
     seasonal operations, the number of flights so used during the 
     season or seasons covered by that 12-month period;
       ``(B) may not provide for an increase in the number of 
     operations conducted during any time period by the commercial 
     air tour operator to which it is granted unless the increase 
     is agreed to by the Administrator and the Director;
       ``(C) shall be published in the Federal Register to provide 
     notice and opportunity for comment;
       ``(D) may be revoked by the Administrator for cause;
       ``(E) shall terminate 180 days after the date on which an 
     air tour management plan is established for that park or 
     those tribal lands; and
       ``(F) shall--
       ``(i) promote protection of national park resources, 
     visitor experiences, and tribal lands;
       ``(ii) promote safe operations of the commercial air tour;
       ``(iii) promote the adoption of quiet technology, as 
     appropriate; and
       ``(iv) allow for modifications of the operation based on 
     experience if the modification improves protection of 
     national park resources and values and of tribal lands.
       ``(3) New entrant air tour operators.--
       ``(A) In general.--The Administrator, in cooperation with 
     the Director, may grant interim operating authority under 
     this paragraph to an air tour operator for a national park 
     for which that operator is a new entrant air tour operator if 
     the Administrator determines the authority is necessary to 
     ensure competition in the provision of commercial air tours 
     over that national park or those tribal lands.
       ``(B) Safety limitation.--The Administrator may not grant 
     interim operating authority under subparagraph (A) if the 
     Administrator determines that it would create a safety 
     problem at that park or on tribal lands, or the Director 
     determines that it would create a noise problem at that park 
     or on tribal lands.
       ``(C) ATMP limitation.--The Administrator may grant interim 
     operating authority under subparagraph (A) of this paragraph 
     only if the air tour management plan for the park or tribal 
     lands to which the application relates has not been developed 
     within 24 months after the date of enactment of the Wendell 
     H. Ford National Air Transportation System Improvement Act of 
     1998.
       ``(d) Definitions.--In this section, the following 
     definitions apply:
       ``(1) Commercial air tour.--The term `commercial air tour' 
     means any flight conducted for compensation or hire in a 
     powered aircraft where a purpose of the flight is 
     sightseeing. If the operator of a flight asserts that the 
     flight is not a commercial air tour, factors that can be 
     considered by the Administrator in making a determination of 
     whether the flight is a commercial air tour, include, but are 
     not limited to--
       ``(A) whether there was a holding out to the public of 
     willingness to conduct a sightseeing flight for compensation 
     or hire;
       ``(B) whether a narrative was provided that referred to 
     areas or points of interest on the surface;
       ``(C) the area of operation;
       ``(D) the frequency of flights;
       ``(E) the route of flight;
       ``(F) the inclusion of sightseeing flights as part of any 
     travel arrangement package; or
       ``(G) whether the flight or flights in question would or 
     would not have been canceled based on poor visibility of the 
     surface.
       ``(2) Commercial air tour operator.--The term `commercial 
     air tour operator' means any person who conducts a commercial 
     air tour.
       ``(3) Existing commercial air tour operator.--The term 
     `existing commercial air tour operator' means a commercial 
     air tour operator that was actively engaged in the business 
     of providing commercial air tours over a national park at any 
     time during the 12-month period ending on the date of 
     enactment of the Wendell H. Ford National Air Transportation 
     System Improvement Act of 1998.
       ``(4) New entrant commercial air tour operator.--The term 
     `new entrant commercial air tour operator' means a commercial 
     air tour operator that--
       ``(A) applies for operating authority as a commercial air 
     tour operator for a national park; and
       ``(B) has not engaged in the business of providing 
     commercial air tours over that national park or those tribal 
     lands in the 12-month period preceding the application.
       ``(5) Commercial air tour operations.--The term `commercial 
     air tour operations' means commercial air tour flight 
     operations conducted--
       ``(A) over a national park or within \1/2\ mile outside the 
     boundary of any national park;
       ``(B) below a minimum altitude, determined by the 
     Administrator in cooperation with the Director, above ground 
     level (except

[[Page S2305]]

     solely for purposes of takeoff or landing, or necessary for 
     safe operation of an aircraft as determined under the rules 
     and regulations of the Federal Aviation Administration 
     requiring the pilot-in-command to take action to ensure the 
     safe operation of the aircraft); and
       ``(C) less than 1 mile laterally from any geographic 
     feature within the park (unless more than \1/2\ mile outside 
     the boundary).
       ``(6) National park.--The term `national park' means any 
     unit of the National Park System.
       ``(7) Tribal lands.--The term `tribal lands' means `Indian 
     country', as defined by section 1151 of title 18, United 
     States Code, that is within or abutting a national park.
       ``(8) Administrator.--The term `Administrator' means the 
     Administrator of the Federal Aviation Administration.
       ``(9) Director.--The term `Director' means the Director of 
     the National Park Service.''.
       (b) Exemptions.--
       (1) Grand canyon.--Section 40126 of title 49, United States 
     Code, as added by subsection (a), does not apply to--
       (A) the Grand Canyon National Park; or
       (B) Indian country within or abutting the Grand Canyon 
     National Park.
       (2) Alaska.--The provisions of this title and section 40126 
     of title 49, United States Code, as added by subsection (a), 
     do not apply to any land or waters located in Alaska.
       (3) Compliance with other regulations.--For purposes of 
     section 40126 of title 49, United States Code--
       (A) regulations issued by the Secretary of Transportation 
     and the Administrator of the Federal Aviation Administration 
     under section 3 of Public Law 100-91 (16 U.S.C. 1a-1, note); 
     and
       (B) commercial air tour operations carried out in 
     compliance with the requirements of those regulations,
     shall be deemed to meet the requirements of such section 
     40126.
       (c) Clerical Amendment.--The table of sections for chapter 
     401 is amended by adding at the end thereof the following:

``40126. Overflights of national parks.''.

     SEC. 703. ADVISORY GROUP.

       (a) Establishment.--Not later than 1 year after the date of 
     enactment of this Act, the Administrator of the Federal 
     Aviation Administration and the Director of the National Park 
     Service shall jointly establish an advisory group to provide 
     continuing advice and counsel with respect to the operation 
     of commercial air tours over and near national parks.
       (b) Membership.--
       (1) In general.--The advisory group shall be composed of--
       (A) a balanced group of --
       (i) representatives of general aviation;
       (ii) representatives of commercial air tour operators;
       (iii) representatives of environmental concerns; and
       (iv) representatives of Indian tribes;
       (B) a representative of the Federal Aviation 
     Administration; and
       (C) a representative of the National Park Service.
       (2) Ex-officio members.--The Administrator and the Director 
     shall serve as ex-officio members.
       (3) Chairperson.--The representative of the Federal 
     Aviation Administration and the representative of the 
     National Park Service shall serve alternating 1-year terms as 
     chairman of the advisory group, with the representative of 
     the Federal Aviation Administration serving initially until 
     the end of the calendar year following the year in which the 
     advisory group is first appointed.
       (c) Duties.--The advisory group shall provide advice, 
     information, and recommendations to the Administrator and the 
     Director--
       (1) on the implementation of this title;
       (2) on the designation of appropriate and feasible quiet 
     aircraft technology standards for quiet aircraft technologies 
     under development for commercial purposes, which will receive 
     preferential treatment in a given air tour management plan;
       (3) on other measures that might be taken to accommodate 
     the interests of visitors to national parks; and
       (4) on such other national park or tribal lands-related 
     safety, environmental, and air touring issues as the 
     Administrator and the Director may request.
       (d) Compensation; Support; FACA.--
       (1) Compensation and travel.--Members of the advisory group 
     who are not officers or employees of the United States, while 
     attending conferences or meetings of the group or otherwise 
     engaged in its business, or while serving away from their 
     homes or regular places of business, each member may be 
     allowed travel expenses, including per diem in lieu of 
     subsistence, as authorized by section 5703 of title 5, United 
     States Code, for persons in the Government service employed 
     intermittently.
       (2) Administrative support.--The Federal Aviation 
     Administration and the National Park Service shall jointly 
     furnish to the advisory group clerical and other assistance.
       (3) Nonapplication of faca.--Section 14 of the Federal 
     Advisory Committee Act (5 U.S.C. App.) does not apply to the 
     advisory group.
       (e) Report.--The Administrator and the Director shall 
     jointly report to the Congress within 24 months after the 
     date of enactment of this Act on the success of this title in 
     providing incentives for quiet aircraft technology.

     SEC. 704. OVERFLIGHT FEE REPORT.

       Not later than 180 days after the date of enactment of this 
     Act, the Administrator of the Federal Aviation Administration 
     shall transmit to Congress a report on the effects proposed 
     overflight fees are likely to have on the commercial air tour 
     industry. The report shall include, but shall not be limited 
     to--
       (1) the viability of a tax credit for the commercial air 
     tour operators equal to the amount of the proposed fee 
     charged by the National Park Service; and
       (2) the financial effects proposed offsets are likely to 
     have on Federal Aviation Administration budgets and 
     appropriations.

     SEC. 705. PROHIBITION OF COMMERCIAL AIR TOURS OVER THE ROCKY 
                   MOUNTAIN NATIONAL PARK.

       Effective beginning on the date of enactment of this Act, 
     no commercial air tour may be operated in the airspace over 
     the Rocky Mountain National Park notwithstanding any other 
     provision of this Act or section 40126 of title 49, United 
     States Code, as added by this Act.
             TITLE VIII--CENTENNIAL OF FLIGHT COMMEMORATION

     SEC. 801. SHORT TITLE.

       This title may be cited as the ``Centennial of Flight 
     Commemoration Act''.

     SEC. 802. FINDINGS.

       Congress finds that--
       (1) December 17, 2003, is the 100th anniversary of the 
     first successful manned, free, controlled, and sustained 
     flight by a power-driven, heavier-than-air machine;
       (2) the first flight by Orville and Wilbur Wright 
     represents the fulfillment of the age-old dream of flying;
       (3) the airplane has dramatically changed the course of 
     transportation, commerce, communication, and warfare 
     throughout the world;
       (4) the achievement by the Wright brothers stands as a 
     triumph of American ingenuity, inventiveness, and diligence 
     in developing new technologies, and remains an inspiration 
     for all Americans;
       (5) it is appropriate to remember and renew the legacy of 
     the Wright brothers at a time when the values of creativity 
     and daring represented by the Wright brothers are critical to 
     the future of the Nation; and
       (6) as the Nation approaches the 100th anniversary of 
     powered flight, it is appropriate to celebrate and 
     commemorate the centennial year through local, national, and 
     international observances and activities.

     SEC. 803. ESTABLISHMENT.

       There is established a commission to be known as the 
     Centennial of Flight Commission.

     SEC. 804. MEMBERSHIP.

       (a) Number and Appointment.--The Commission shall be 
     composed of 6 members, as follows:
       (1) The Director of the National Air and Space Museum of 
     the Smithsonian Institution or his designee.
       (2) The Administrator of the National Aeronautics and Space 
     Administration or his designee.
       (3) The chairman of the First Flight Centennial Foundation 
     of North Carolina, or his designee.
       (4) The chairman of the 2003 Committee of Ohio, or his 
     designee.
       (5) As chosen by the Commission, the president or head of a 
     United States aeronautical society, foundation, or 
     organization of national stature or prominence who will be a 
     person from a State other than Ohio or North Carolina.
       (6) The Administrator of the Federal Aviation 
     Administration, or his designee.
       (b) Vacancies.--Any vacancy in the Commission shall be 
     filled in the same manner in which the original designation 
     was made.
       (c) Compensation.--
       (1) Prohibition of pay.--Except as provided in paragraph 
     (2), members of the Commission shall serve without pay or 
     compensation.
       (2) Travel expenses.--The Commission may adopt a policy, 
     only by unanimous vote, for members of the Commission and 
     related advisory panels to receive travel expenses, including 
     per diem in lieu of subsistence. The policy may not exceed 
     the levels established under sections 5702 and 5703 of title 
     5, United States Code. Members who are Federal employees 
     shall not receive travel expenses if otherwise reimbursed by 
     the Federal Government.
       (d) Quorum.--Three members of the Commission shall 
     constitute a quorum.
       (e) Chairperson.--The Commission shall select a Chairperson 
     of the Commission from the members designated under 
     subsection (a) (1), (2), or (5). The Chairperson may not vote 
     on matters before the Commission except in the case of a tie 
     vote. The Chairperson may be removed by a vote of a majority 
     of the Commission's members.
       (f) Organization.--No later than 90 days after the date of 
     enactment of this Act, the Commission shall meet and select a 
     Chairperson, Vice Chairperson, and Executive Director.

     SEC. 805. DUTIES.

       (a) In General.--The Commission shall--
       (1) represent the United States and take a leadership role 
     with other nations in recognizing the importance of aviation 
     history in general and the centennial of powered flight in 
     particular, and promote participation by the United States in 
     such activities;
       (2) encourage and promote national and international 
     participation and sponsorships in commemoration of the 
     centennial of powered flight by persons and entities such 
     as--

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       (A) aerospace manufacturing companies;
       (B) aerospace-related military organizations;
       (C) workers employed in aerospace-related industries;
       (D) commercial aviation companies;
       (E) general aviation owners and pilots;
       (F) aerospace researchers, instructors, and enthusiasts;
       (G) elementary, secondary, and higher educational 
     institutions;
       (H) civil, patriotic, educational, sporting, arts, 
     cultural, and historical organizations and technical 
     societies;
       (I) aerospace-related museums; and
       (J) State and local governments;
       (3) plan and develop, in coordination with the First Flight 
     Centennial Commission, the First Flight Centennial Foundation 
     of North Carolina, and the 2003 Committee of Ohio, programs 
     and activities that are appropriate to commemorate the 100th 
     anniversary of powered flight;
       (4) maintain, publish, and distribute a calendar or 
     register of national and international programs and projects 
     concerning, and provide a central clearinghouse for, 
     information and coordination regarding, dates, events, and 
     places of historical and commemorative significance regarding 
     aviation history in general and the centennial of powered 
     flight in particular;
       (5) provide national coordination for celebration dates to 
     take place throughout the United States during the centennial 
     year;
       (6) assist in conducting educational, civic, and 
     commemorative activities relating to the centennial of 
     powered flight throughout the United States, especially 
     activities that occur in the States of North Carolina and 
     Ohio and that highlight the activities of the Wright brothers 
     in such States; and
       (7) encourage the publication of popular and scholarly 
     works related to the history of aviation or the anniversary 
     of the centennial of powered flight.
       (b) Nonduplication of Activities.--The Commission shall 
     attempt to plan and conduct its activities in such a manner 
     that activities conducted pursuant to this title enhance, but 
     do not duplicate, traditional and established activities of 
     Ohio's 2003 Committee, North Carolina's First Flight 
     Centennial Commission, the First Flight Centennial 
     Foundation, or any other organization of national stature or 
     prominence.

     SEC. 806. POWERS.

       (a) Advisory Committees and Task Forces.--
       (1) In general.--The Commission may appoint any advisory 
     committee or task force from among the membership of the 
     Advisory Board in section 812.
       (2) Federal cooperation.--To ensure the overall success of 
     the Commission's efforts, the Commission may call upon 
     various Federal departments and agencies to assist in and 
     give support to the programs of the Commission. The head of 
     the Federal department or agency, where appropriate, shall 
     furnish the information or assistance requested by the 
     Commission, unless prohibited by law.
       (3) Prohibition of pay other than travel expenses.--Members 
     of an advisory committee or task force authorized under 
     paragraph (1) shall not receive pay, but may receive travel 
     expenses pursuant to the policy adopted by the Commission 
     under section 804(c)(2).
       (b) Powers of Members and Agents.--Any member or agent of 
     the Commission may, if authorized by the Commission, take any 
     action that the Commission is authorized to take under this 
     title.
       (c) Authority To Procure and To Make Legal Agreements.--
       (1) In general.--Notwithstanding any other provision in 
     this title, only the Commission may procure supplies, 
     services, and property, and make or enter into leases and 
     other legal agreements in order to carry out this title.
       (2) Restriction.--
       (A) In general.--A contract, lease, or other legal 
     agreement made or entered into by the Commission may not 
     extend beyond the date of the termination of the Commission.
       (B) Federal support.--The Commission shall obtain property, 
     equipment, and office space from the General Services 
     Administration or the Smithsonian Institution, unless other 
     office space, property, or equipment is less costly.
       (3) Supplies and property possessed by commission at 
     termination.--Any supplies and property, except historically 
     significant items, that are acquired by the Commission under 
     this title and remain in the possession of the Commission on 
     the date of the termination of the Commission shall become 
     the property of the General Services Administration upon the 
     date of termination.
       (d) Mails.--The Commission may use the United States mails 
     in the same manner and under the same conditions as any other 
     Federal agency.

     SEC. 807. STAFF AND SUPPORT SERVICES.

       (a) Executive Director.--There shall be an Executive 
     Director appointed by the Commission and chosen from among 
     detailees from the agencies and organizations represented on 
     the Commission. The Executive Director may be paid at a rate 
     not to exceed the maximum rate of basic pay payable for the 
     Senior Executive Service.
       (b) Staff.--The Commission may appoint and fix the pay of 
     any additional personnel that it considers appropriate, 
     except that an individual appointed under this subsection may 
     not receive pay in excess of the maximum rate of basic pay 
     payable for GS-14 of the General Schedule.
       (c) Inapplicability of Certain Civil Service Laws.--The 
     Executive Director and staff of the Commission may be 
     appointed without regard to the provisions of title 5, United 
     States Code, governing appointments in the competitive 
     service, and may be paid without regard to the provisions of 
     chapter 51 and subchapter III of chapter 53 of such title, 
     relating to classification and General Schedule pay rates, 
     except as provided under subsections (a) and (b) of this 
     section.
       (d) Merit System Principles.--The appointment of the 
     Executive Director or any personnel of the Commission under 
     subsection (a) or (b) shall be made consistent with the merit 
     system principles under section 2301 of title 5, United 
     States Code.
       (e) Staff of Federal Agencies.--Upon request by the 
     Chairperson of the Commission, the head of any Federal 
     department or agency may detail, on either a nonreimbursable 
     or reimbursable basis, any of the personnel of the department 
     or agency to the Commission to assist the Commission to carry 
     out its duties under this title.
       (f) Administrative Support Services.--
       (1) Reimbursable services.--The Secretary of the 
     Smithsonian Institution may provide to the Commission on a 
     reimbursable basis any administrative support services that 
     are necessary to enable the Commission to carry out this 
     title.
       (2) Nonreimbursable services.--The Secretary may provide 
     administrative support services to the Commission on a 
     nonreimbursable basis when, in the opinion of the Secretary, 
     the value of such services is insignificant or not practical 
     to determine.
       (g) Cooperative Agreements.--The Commission may enter into 
     cooperative agreements with other Federal agencies, State and 
     local governments, and private interests and organizations 
     that will contribute to public awareness of and interest in 
     the centennial of powered flight and toward furthering the 
     goals and purposes of this title.
       (h) Program Support.--The Commission may receive program 
     support from the nonprofit sector.

     SEC. 808. CONTRIBUTIONS.

       (a) Donations.--The Commission may accept donations of 
     personal services and historic materials relating to the 
     implementation of its responsibilities under the provisions 
     of this title.
       (b) Volunteer Services.--Notwithstanding section 1342 of 
     title 31, United States Code, the Commission may accept and 
     use voluntary and uncompensated services as the Commission 
     determines necessary.
       (c) Remaining Funds.--Any funds (including funds received 
     from licensing royalties) remaining with the Commission on 
     the date of the termination of the Commission may be used to 
     ensure proper disposition, as specified in the final report 
     required under section 810(b), of historically significant 
     property which was donated to or acquired by the Commission. 
     Any funds remaining after such disposition shall be 
     transferred to the Secretary of the Treasury for deposit into 
     the general fund of the Treasury of the United States.

     SEC. 809. EXCLUSIVE RIGHT TO NAME, LOGOS, EMBLEMS, SEALS, AND 
                   MARKS.

       (a) In General.--The Commission may devise any logo, 
     emblem, seal, or descriptive or designating mark that is 
     required to carry out its duties or that it determines is 
     appropriate for use in connection with the commemoration of 
     the centennial of powered flight.
       (b) Licensing.--The Commission shall have the sole and 
     exclusive right to use, or to allow or refuse the use of, the 
     name ``Centennial of Flight Commission'' on any logo, emblem, 
     seal, or descriptive or designating mark that the Commission 
     lawfully adopts.
       (c) Effect on Other Rights.--No provision of this section 
     may be construed to conflict or interfere with established or 
     vested rights.
       (d) Use of Funds.--Funds from licensing royalties received 
     pursuant to this section shall be used by the Commission to 
     carry out the duties of the Commission specified by this 
     title.
       (e) Licensing Rights.--All exclusive licensing rights, 
     unless otherwise specified, shall revert to the Air and Space 
     Museum of the Smithsonian Institution upon termination of the 
     Commission.

     SEC. 810. REPORTS.

       (a) Annual Report.--In each fiscal year in which the 
     Commission is in existence, the Commission shall prepare and 
     submit to Congress a report describing the activities of the 
     Commission during the fiscal year. Each annual report shall 
     also include--
       (1) recommendations regarding appropriate activities to 
     commemorate the centennial of powered flight, including--
       (A) the production, publication, and distribution of books, 
     pamphlets, films, and other educational materials;
       (B) bibliographical and documentary projects and 
     publications;
       (C) conferences, convocations, lectures, seminars, and 
     other similar programs;
       (D) the development of exhibits for libraries, museums, and 
     other appropriate institutions;
       (E) ceremonies and celebrations commemorating specific 
     events that relate to the history of aviation;
       (F) programs focusing on the history of aviation and its 
     benefits to the United States and humankind; and
       (G) competitions, commissions, and awards regarding 
     historical, scholarly, artistic, literary, musical, and other 
     works, programs,

[[Page S2307]]

     and projects related to the centennial of powered flight;
       (2) recommendations to appropriate agencies or advisory 
     bodies regarding the issuance of commemorative coins, medals, 
     and stamps by the United States relating to aviation or the 
     centennial of powered flight;
       (3) recommendations for any legislation or administrative 
     action that the Commission determines to be appropriate 
     regarding the commemoration of the centennial of powered 
     flight;
       (4) an accounting of funds received and expended by the 
     Commission in the fiscal year that the report concerns, 
     including a detailed description of the source and amount of 
     any funds donated to the Commission in the fiscal year; and
       (5) an accounting of any cooperative agreements and 
     contract agreements entered into by the Commission.
       (b) Final Report.--Not later than June 30, 2004, the 
     Commission shall submit to the President and Congress a final 
     report. The final report shall contain--
       (1) a summary of the activities of the Commission;
       (2) a final accounting of funds received and expended by 
     the Commission;
       (3) any findings and conclusions of the Commission; and
       (4) specific recommendations concerning the final 
     disposition of any historically significant items acquired by 
     the Commission, including items donated to the Commission 
     under section 808(a)(1).

     SEC. 811. AUDIT OF FINANCIAL TRANSACTIONS.

       (a) In General.--
       (1) Audit.--The Comptroller General of the United States 
     shall audit on an annual basis the financial transactions of 
     the Commission, including financial transactions involving 
     donated funds, in accordance with generally accepted auditing 
     standards.
       (2) Access.--In conducting an audit under this section, the 
     Comptroller General--
       (A) shall have access to all books, accounts, financial 
     records, reports, files, and other papers, items, or property 
     in use by the Commission, as necessary to facilitate the 
     audit; and
       (B) shall be afforded full facilities for verifying the 
     financial transactions of the Commission, including access to 
     any financial records or securities held for the Commission 
     by depositories, fiscal agents, or custodians.
       (b) Final Report.--Not later than September 30, 2004, the 
     Comptroller General of the United States shall submit to the 
     President and to Congress a report detailing the results of 
     any audit of the financial transactions of the Commission 
     conducted by the Comptroller General.

     SEC. 812. ADVISORY BOARD.

       (a) Establishment.--There is established a First Flight 
     Centennial Federal Advisory Board.
       (b) Number and Appointment.--
       (1) In general.--The Board shall be composed of 19 members 
     as follows:
       (A) The Secretary of the Interior, or the designee of the 
     Secretary.
       (B) The Librarian of Congress, or the designee of the 
     Librarian.
       (C) The Secretary of the Air Force, or the designee of the 
     Secretary.
       (D) The Secretary of the Navy, or the designee of the 
     Secretary.
       (E) The Secretary of Transportation, or the designee of the 
     Secretary.
       (F) Six citizens of the United States, appointed by the 
     President, who--
       (i) are not officers or employees of any government (except 
     membership on the Board shall not be construed to apply to 
     the limitation under this clause); and
       (ii) shall be selected based on their experience in the 
     fields of aerospace history, science, or education, or their 
     ability to represent the entities enumerated under section 
     805(a)(2).
       (G) Four citizens of the United States, appointed by the 
     majority leader of the Senate in consultation with the 
     minority leader of the Senate.
       (H) Four citizens of the United States, appointed by the 
     Speaker of the House of Representatives in consultation with 
     the minority leader of the House of Representatives. Of the 
     individuals appointed under this subparagraph--
       (i) one shall be selected from among individuals 
     recommended by the representative whose district encompasses 
     the Wright Brothers National Memorial; and
       (ii) one shall be selected from among individuals 
     recommended by the representatives whose districts encompass 
     any part of the Dayton Aviation Heritage National Historical 
     Park.
       (c) Vacancies.--Any vacancy in the Advisory Board shall be 
     filled in the same manner in which the original designation 
     was made.
       (d) Meetings.--Seven members of the Advisory Board shall 
     constitute a quorum for a meeting. All meetings shall be open 
     to the public.
       (e) Chairperson.--The President shall designate 1 member 
     appointed under subsection (b)(1)(F) as chairperson of the 
     Advisory Board.
       (f) Mails.--The Advisory Board may use the United States 
     mails in the same manner and under the same conditions as a 
     Federal agency.
       (g) Duties.--The Advisory Board shall advise the Commission 
     on matters related to this title.
       (h) Prohibition of Compensation Other Than Travel 
     Expenses.--Members of the Advisory Board shall not receive 
     pay, but may receive travel expenses pursuant to the policy 
     adopted by the Commission under section 804(e).
       (i) Termination.--The Advisory Board shall terminate upon 
     the termination of the Commission.

     SEC. 813. DEFINITIONS.

       In this title:
       (1) Advisory board.--The term ``Advisory Board'' means the 
     Centennial of Flight Federal Advisory Board.
       (2) Centennial of powered flight.--The term ``centennial of 
     powered flight'' means the anniversary year, from December 
     2002 to December 2003, commemorating the 100-year history of 
     aviation beginning with the First Flight and highlighting the 
     achievements of the Wright brothers in developing the 
     technologies which have led to the development of aviation as 
     it is known today.
       (3) Commission.--The term ``Commission'' means the 
     Centennial of Flight Commission.
       (4) Designee.--The term ``designee'' means a person from 
     the respective entity of each entity represented on the 
     Commission or Advisory Board.
       (5) First flight.--The term ``First Flight'' means the 
     first four successful manned, free, controlled, and sustained 
     flights by a power-driven, heavier-than-air machine, which 
     were accomplished by Orville and Wilbur Wright of Dayton, 
     Ohio on December 17, 1903, at Kitty Hawk, North Carolina.

     SEC. 814. TERMINATION.

       The Commission shall terminate not later than 60 days after 
     the submission of the final report required by section 810(b) 
     and shall transfer all documents and material to the National 
     Archives or other appropriate Federal entity.

     SEC. 815. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to carry out this 
     title--
       (1) $250,000 for fiscal year 1999;
       (2) $600,000 for fiscal year 2000;
       (3) $750,000 for fiscal year 2001;
       (4) $900,000 for fiscal year 2002;
       (5) $900,000 for fiscal year 2003; and
       (6) $600,000 for fiscal year 2004.
                                 ______