[Senate Report 105-294]
[From the U.S. Government Publishing Office]



                                                       Calendar No. 532
105th Congress                                                   Report
                                 SENATE

 2d Session                                                     105-294
_______________________________________________________________________


 
                 CENTENNIAL OF FLIGHT COMMEMORATION ACT

                               __________

                              R E P O R T

                                 OF THE

                   COMMITTEE ON GOVERNMENTAL AFFAIRS

                          UNITED STATES SENATE

                             TOGETHER WITH

                            ADDITIONAL VIEWS

                              TO ACCOMPANY

                                S. 1397

TO ESTABLISH A COMMISSION TO ASSIST IN COMMEMORATION OF THE CENTENNIAL 
     OF POWERED FLIGHT AND THE ACHIEVEMENTS OF THE WRIGHT BROTHERS





                August 25, 1998.--Ordered to be printed.


   Filed under authority of the order of the Senate of July 31, 1998


                   COMMITTEE ON GOVERNMENTAL AFFAIRS

                   FRED THOMPSON, Tennessee, Chairman
WILLIAM V. ROTH, Jr., Delaware       JOHN GLENN, Ohio
TED STEVENS, Alaska                  CARL LEVIN, Michigan
SUSAN M. COLLINS, Maine              JOSEPH I. LIEBERMAN, Connecticut
SAM BROWNBACK, Kansas                DANIEL K. AKAKA, Hawaii
PETE V. DOMENICI, New Mexico         RICHARD J. DURBIN, Illinois
THAD COCHRAN, Mississippi            ROBERT G. TORRICELLI, New Jersey
DON NICKLES, Oklahoma                MAX CLELAND, Georgia
ARLEN SPECTER, Pennsylvania
             Hannah S. Sistare, Staff Director and Counsel
                       Dan Blair, Senior Counsel
                         Johanna Hardy, Counsel
                 Leonard Weiss, Minority Staff Director
         Sebastian O'Kelly, Minority Professional Staff Member
                       Lynn L. Baker, Chief Clerk


                            C O N T E N T S

                              ----------                              
                                                                   Page
  I. Purpose and summary..............................................1
 II. Background.......................................................1
III. Legislative history..............................................7
 IV. Section-by-section analysis......................................7
  V. Estimated cost of legislation....................................9
 VI. Evaluation of regulatory impact.................................11
VII. Changes to existing law.........................................11
VIII.Additional views of Chairman Thompson...........................12



                                                       Calendar No. 532
105th Congress                                                   Report
                                 SENATE

 2d Session                                                     105-294
_______________________________________________________________________


                 CENTENNIAL OF FLIGHT COMMEMORATION ACT

                                _______
                                

                August 25, 1998.--Ordered to be printed.

   Filed under authority of the order of the Senate of July 31, 1998

_______________________________________________________________________


Mr. Thompson, from the Committee on Governmental Affairs, submitted the 
                               following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                   [To accompany S. 1397 as amended]

    The Committee on Governmental Affairs, to which was 
referred the bill (S. 1397) to establish a commission in 
commemoration of the centennial of powered flight and the 
achievements of the Wright brothers, having considered the 
same, reports favorably thereon with an amendment and 
recommends that the bill do pass.

                         I. Purpose and Summary

    S. 1397, the Centennial of Flight Commemoration Act, 
establishes a commission to assist in the commemoration of the 
centennial of powered flight and the achievement of the Wright 
brothers.

                             II. Background

    S. 1397 was introduced by Senators Helms, Glenn, DeWine, 
and Faircloth to establish a commission to assist in the 
commemoration of the centennial of powered flight and the 
achievements of the Wright brothers.

Introduction

    The Committee adopted Senator Glenn's Amendment in the 
Nature of a Substitute as offered in mark-up by Senator Levin 
and voted to report that version of the bill out of Committee. 
Sen. Glenn's amendment which he proposed on behalf of himself, 
Sen. Helms, Sen. DeWine, and Sen. Faircloth, incorporates many 
suggested changes made by Chairman Thompson and others. The 
changes are designed to help minimize the potential for waste 
and abuse. Where appropriate, this report will highlight key 
differences between the original bill and that of Sen. Glenn's 
amendment and explain why those changes were made.

History

    The story of the Wright Brothers and the history of flight 
is a special and uniquely American story of persistence, 
ingenuity, risk-taking, and beating the odds. That day on the 
wind-swept dunes of Kitty Hawk, North Carolina, the two bike 
shop owners from Dayton, Ohio broke the bounds of gravity with 
their flyer and set in course a revolution that has been felt 
throughout the world.
    This revolution has progressed in step with the years of 
the 20th century. And it is a progression that has been led by 
the men and women of our nation. From the Wright Brothers, to 
Lindbergh's crossing, to the first supersonic flight, to the 
space program, to today's sophisticated military and civilian 
aircraft, America has always been a world leader in flight, 
with the Federal government playing a critical part in 
advancing an undertaking that has dramatically changed the 
world. Flight has changed the course of transportation, 
communication, commerce and warfare and altered the way people 
think about human limits and potential. It is truly one of the 
great achievements of this century.
    Among other duties, the commission established in the bill 
will coordinate commemorative events on both a national and 
international basis as we approach 2003, the 100th anniversary 
of the Wright Brothers' flight. We have used these type of 
commissions in the past to celebrate many of our country's 
achievements. According to the Congressional Research Service 
there were at least 8 Federal commemoration commissions in the 
last 15 years alone. Over the years there have been 
celebrations in this way ranging from our country's 
bicentennial and the anniversary of the Civil War, to 
celebrations of Eleanor Roosevelt's 100th birthday and the 
German-American Tricentennial. There is precedent for taking 
the approach encompassed in the legislation and the Committee 
believes that it is an appropriate way to celebrate this 
historical event.

The Centennial of Flight Commission

    The bill, as reported, establishes a Centennial of Flight 
Commission (Commission). Sen. Glenn's amendment lowers the 
number of members on the Commission significantly from 21 
members (in the original bill) to 6 members in order to allow 
the Commission to be run more efficiently. The remaining 
members were appointed as members of a new 19 member 
AdvisoryBoard outlined in Section 12.
    The Commission is composed of the Director of the National 
Air and Space Museum of the Smithsonian Institution, the 
Administrator of the National Aeronautics and Space 
Administration (NASA), the Chairman of the First Flight 
Centennial Foundation of North Carolina, the Chairman of the 
2003 Committee of Ohio, the president or head (not from Ohio or 
North Carolina) of a United States aeronautical society, 
foundation, or organization of national stature chosen by the 
Commission, and the Administrator of the Federal Aviation 
Administration (FAA).
    All members of the Commission, except the unspecified head 
of an aeronautical society, may instead select a designee from 
their respective entity to serve on the Commission. The 
restriction on the unspecified head of an aeronautical society 
to be selected by the Commission designating a subordinate was 
added because of the desire that the members of the Commission 
have the appropriate experience and expertise. Because the 
other organizations represented are clearly outlined in the 
bill, there was less concern about designees selected from 
those entities.
    Further, the head of the unspecified aeronautical society 
must not be from Ohio or North Carolina. This restriction was 
made to try to balance the representation on the Commission.
    The members of the Commission may not be paid. The 
Commission may adopt a policy, by unanimous vote, for members 
of the Commission and others to be reimbursed for appropriate 
travel expenses they incur while carrying out their duties. The 
amendment requires the unanimous consent of all Commission 
members before policy is set for travel expenses because of a 
concern related to the potential for abuse.
    The chairperson may only be chosen by the Commission from 
among the Director of the National Air and Space Museum or his 
designee, the Administrator of NASA or his designee, or the 
head of the US aeronautical society not from North Carolina or 
Ohio. In order to try to balance the interests on the 
Commission and make this a national-oriented Commission, the 
chairperson is to be chosen from one of the entities of 
national stature.

Duties of the Commission

    The Commission's duties include encouraging and promoting 
the national and international participation in the 
commemoration of the centennial of powered flight. This 
involves organizing and maintaining a calendar of events, 
coordinating celebration dates to take place throughout the 
United States, and publishing relevant informational brochures 
and pamphlets. The Commission must ensure that its efforts do 
not duplicate the efforts 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.

Powers of the Commission

    The Commission may appoint advisory committees and task 
forces from among the membership of the Advisory Board. The 
original bill did not restrict the membership of the committees 
and task forces. Sen. Glenn's amendment made this change to set 
limits as to the number and size of the committees and task 
forces. The changes are designed to help ensure that the 
committees and task forces are selected from a pool of 
qualified participants.
    The Commission may request appropriate assistance, support, 
and information from federal departments or agencies. Sen. 
Glenn's amendment changed the language of the original bill to 
combine two separate sections: one relating to assistance and 
support and the other relating to requests for information. The 
change was made for clarification of the responsibilities given 
to the head of the department or agency providing the 
assistance or information.
    Sen. Glenn's amendment altered the Commission's ability to 
procure and make legal agreements. The original bill contained 
no requirements for how the Commission should minimize the cost 
of procuring property or office space and the bill allowed any 
agent of the Commission to procure or enter into binding legal 
agreements. In view of the lack of cost controls, this section 
was changed by Sen. Glenn's amendment. Only the Commission, not 
its agents, may procure or make legal agreements that bind the 
Commission. Further, the Commission must obtain property, 
equipment, and office space through the General Services 
Administration (GSA) or the Smithsonian Institution, unless 
other available office space, property, or equipment is less 
costly. Normally, GSA handles federal property management, 
however, there was some indication that the Smithsonian 
Institution may be able to provide office space and property to 
the Commission. Because of this they were added along with GSA. 
Property, except historically significant items, possessed by 
the Commission after termination of the Commission are to be 
transferred to GSA. Historically significant items will be 
returned to the appropriate entity as recommended by the 
Commission in its final report.
    The Commission may use the United States mails in the same 
manner as any federal agency.

Commission staff and support

    The Commission has the authority to hire staff and an 
Executive Director. The Executive Director will be chosen by 
the Commission from among detailees of agencies and 
organizations represented on the Commission. Further, the 
Commission may hire staff as it considers appropriate without 
regard to the provisions of Title 5, United States Code, with 
the exception noted below.
    In order to ensure a quality applicant pool and that hiring 
procedures are not influenced by political affiliation, Sen. 
Glenn's amendment requires that all personnel, including the 
Executive Director, be appointed in accord with merit system 
principles. These principles are found in section 2301 of title 
5, United States Code. These principles include the directive 
that recruitment should be from a qualified pool of applicants 
and selection and advancement should be determined solely on 
the basis of relative ability, knowledge, and skills, after 
fair and open competition which assures that all receive an 
equal opportunity. All employees and applicants should receive 
fair and equitable treatment in all aspects of personnel 
management without regard to political affiliation.
    Upon request by the Chairperson of the Commission, the head 
of any federal department or agency is permitted to detail, on 
either a non-reimbursable or reimbursable basis, department or 
agency personnel to the Commission to assist the Commission in 
carrying out its duties. The Commission may also obtain support 
services from the Smithsonian Institution and may receive staff 
support from the non-profit sector. Further, the Commission may 
enter into cooperative agreements with federal agencies, state 
and local governments, and the private sector.
    Sen. Glenn's amendment does not provide for the hiring of 
experts and consultants. Thereis no need to hire experts and 
consultants given that, if the Commission needed to procure services 
such as for the design of its logo, trademark, or brochures, it has the 
authority to procure such services in Section 6 of the bill as 
reported. Alternatively, the Commission could receive a donation of 
services for the design of the logo or brochure. The elimination of the 
specific experts and consultants provision was intended to restrict the 
hiring of unnecessary consultants such as management consultants. It is 
understood that expertise may be drawn from other federal agencies, 
state and local governments, and relevant private organizations if 
necessary.

Fundraising, contributions, and authorization of appropriations

    The original bill authorized $250,000 per year and 
unlimited fundraising. Yet, the potential for waste, fraud and 
abuse exists where the funding for the Commission comes from 
both appropriated funds and monies resulting from Commission 
fundraising activities, resulting in a commingling of those 
funds. Many previous commissions used both appropriated funds 
and fundraised money. However, based on the reviews of these 
past commission operations, it is clear that either all the 
funds should be raised by the Commission or all the funds 
should be appropriated. With regards to this Commission, 
Senators Glenn and Helms expressed concern that the Commission 
would be in direct competition for funds with private 
organizations organizing events for the celebration. Because of 
these concerns, the amendment prohibits the raising and receipt 
of private monies and, to compensate for being unable to 
receive private monies, allows for a higher authorization 
($2,000,000 per fiscal year) than was in the original bill. The 
Commission may only receive donations of personal services, 
volunteers, and donations of historic materials. If funds are 
generated from licensing royalties from the Commission's 
trademark or logo, those funds must be deposited into the 
Treasury after termination of the Commission.

Intellectual property rights

    The Commission may devise any logo, emblem, seal, or 
descriptive or designating mark that may be required to carry 
out its duties. The Commission will have the exclusive right to 
use, or to allow or refuse the use of the logo or mark devised 
by the Commission. The funds derived from licensing may be used 
by the Commission to carry out its official duties, however, 
any excess must be returned to Treasury after termination of 
the Commission. The original bill allowed the royalties from 
licensing to go to the First Flight Centennial Foundation of 
North Carolina and the 2003 Committee of Ohio. The amendment 
does not allow distribution of these funds to any entity other 
than the Treasury upon termination of the Commission. There was 
an appearance of a conflict of interest for these two 
organizations to have representation on the Commission and 
derive financial rewards from decisions of that Commission. 
Further, any profits derived by the Commission should be 
retained by the Federal government and should not go to private 
interests.
    Sen. Glenn's amendment also specifies the Air and Space 
Museum of the Smithsonian Institution as the recipient of the 
licensing rights after termination of the Commission.

Reports

    The Commission must file a report to Congress each fiscal 
year describing the activities of the Commission during that 
fiscal year. The report must also include information such as 
recommendations regarding other activities, recommendations on 
participation by agencies such as issuing commemorative coins, 
medals, and stamps, recommendations on appropriate legislation 
or administrative action, an accounting of funds received and 
expended, and an accounting of any cooperative agreements and 
contracts entered into by the Commission. Sen. Glenn's 
amendment adds the requirement that there be an accounting of 
cooperative agreements and contracts to minimize the likelihood 
that inappropriate agreements are made.
    This reporting requirement is consistent with 
recommendations made in the past by the General Accounting 
Office. Such reports will help in monitoring the Commission's 
progress as well as identify difficulties requiring 
congressional attention.
    The Commission must also file a final report to Congress 
and the President by June 30, 2004 summarizing the activities 
of the Commission, a final accounting of funds received and 
expended, findings and conclusions, and specific 
recommendations concerning the final disposition of any 
historically significant items acquired by the Commission.

Audits

    The original bill required the Inspector General of the 
General Services Administration to audit the financial 
transactions of the Commission and to submit one report after 
the termination of the Commission. Sen. Glenn's amendment 
transfers this responsibility to the Comptroller General of the 
General Accounting Office (GAO). The amendment also requires 
GAO to audit the Commission on an annual basis, however the 
amendment does not require the GAO to file an annual report. 
GAO must audit the financial transactions of the Commission 
annually and make such information available to any duly 
authorized Congressional committee upon request. GAO is 
required to file a final audit report to the President and 
Congress by September 30, 2004.

Advisory Board

    Sen. Glenn's amendment created the Advisory Board to allow 
for some level of participation by those removed from the 
Commission membership in the original bill as well as for those 
groups who would be interested in the celebration of flight. 
The Advisory Board may only advise the Commission members in 
their duties and participate in the various committees and task 
forces. The Advisory Board does not have the powers outlined in 
the bill that belong to the Commission. The Advisory Board 
members shall not be paid, but may receive travel expenses 
according to the policy adopted unanimously by the Commission.

Definitions

    The amendment adds definitions for ``Advisory Board'' and 
``designee,'' and clarifies the definition of ``First Flight.'' 
The definition for ``designee'' was added to clarify that those 
designees chosen to serve on the Commission or Advisory Board 
must be from the same agency, department,or organization as the 
person who has the authority to designate him or her.

Termination and the National Archives

    The Commission terminates 60 days after the submission of 
its final report, which is due June 30, 2004. The amendment 
adds that the Commission must transfer all documents and 
materials, not otherwise accounted for in the bill, to the 
National Archives or other appropriate federal entity upon 
termination of the Commission. This change is to ensure that 
all historically significant materials and documentation are 
adequately preserved after the termination of the Commission 
and that such items are retained by the federal government.

                        III. Legislative History

    S. 1397 was introduced in the Senate by Senator Helms (R-
NC) on November 7, 1997 for himself and Senators Glenn, Dewine, 
and Faircloth. Rep. Tony Hall (D-OH) introduced a similar bill, 
H.R. 2305, in the House of Representatives on July 30, 1997 and 
it was referred to the House Government Reform and Oversight 
Subcommittee on Civil Service. The provisions of H.R. 2305 were 
also offered as an amendment to H.R. 4057, the Airport 
Improvement Program Reauthorization Act of 1998, which was 
ordered to be reported to the House from the House Committee on 
Transportation and Infrastructure on July 20, 1998.
    The Senate Committee on Governmental Affairs considered S. 
1397 on July 15, 1998. Sen. Levin (D-MI) offered an Amendment 
in the Nature of a Substitute on behalf of Sen. Glenn (D-OH) 
who was unable to attend the Committee business meeting. The 
Committee unanimously adopted the amendment by voice vote. The 
Committee voted to order the bill reported as amended by voice 
vote. Senators Domenici, Nickles and Chairman Thompson stated 
that they opposed the motion to report S. 1397.

              IV. Section-by-Section Analysis (as amended)

    Section 1 titles the Act as the ``Centennial of Flight 
Commemoration Act.'' Section 2 provides the Act's findings. The 
findings note that: December 17, 2003 will be the 100th 
anniversary of manned, powered flight; the first flight in 1903 
represented the fulfillment of man's age-old dream to fly; the 
airplane has dramatically changed warfare, transportation and 
commerce worldwide; the Wright brothers achievement was a 
triumph of American ingenuity, inventiveness, diligence, and an 
inspiration to all Americans; the creativity and daring shown 
by the Wrights is still needed today; it is appropriate to 
celebrate the centennial of flight through local, national, and 
international observances and activities.
    Section 3 establishes the Centennial of Flight Commission.
    Section 4 states that the Commission shall be comprised of 
the following 6 members: the heads of the Air and Space Museum, 
NASA, the FAA, the 2003 Committee of Ohio, the First Flight 
Foundation of North Carolina, and a U.S. aeronautical society, 
foundation, or organization of national stature or prominence 
(as chosen by the other Commission members). With the exception 
of the member from the U.S. aeronautical organization (who 
cannot be from Ohio or North Carolina), designees from the 
respective organizations may serve on the Commission.
    The remaining provisions in this section establish 
procedures for the operation of the Commission. Members will 
serve without pay and may be reimbursed for travel and per diem 
expenses, pursuant to current law and a policy unanimously 
adopted by the Commission. Three members represent a quorum and 
there shall be a nonvoting Chairman (excepting in cases of a 
tie vote) who must come from one of the national entities 
(except the FAA) on the Commission.
    Section 5 establishes the duties of the Commission. They 
include: representing the United States in international events 
commemorating the centennial; promoting national and 
international participation by flight-related groups; 
coordinating with state-based flight organizations; acting as a 
clearinghouse for information; and encouraging the publication 
of historical works on aviation.
    Section 6 establishes the powers of the Commission. It may 
form an advisory committee or task force, but only from among 
the membership of the Advisory Board established in Section 12. 
It is authorized to procure goods and services and shall seek 
assistance, where appropriate from other Federal agencies or 
departments. It shall seek office space and equipment from the 
Smithsonian or GSA, unless other office space and equipment is 
less costly. It can utilize the mails like any other Federal 
agency. The authority to purchase property, goods and services 
is strictly limited to the Commission.
    Section 7 provides for the hiring of staff. There shall be 
an Executive Director chosen by the Commission from detailees 
from entities represented on the Commission and paid no more 
than maximum pay rate for the Senior Executive Service. Other 
staff may be hired too, although they cannot be paid at a rate 
higher than GS-14 of the General Schedule. In both instances, 
staff appointments are exempt from the provisions of Title 5, 
U.S.C., although they must be made consistent with the merit 
principles under Section 2301 of that Title. The Commission may 
use detailees, on a reimbursable or nonreimbursable basis, from 
other agencies.
    Provisions in this section also guide the use of 
administrative services (provided by the Smithsonian at its 
discretion), cooperative agreements, and outside program 
support.
    Section 8 stipulates that the Commission may accept 
donations of personal services and historic materials, as well 
as use volunteers. Funds remaining to the Commission upon 
termination can be used to dispose of historic materials--
further remaining funds shall be returned to the Treasury.
    Section 9 authorizes the Commission to establish and 
license a logo, seal, or mark and to use any resulting 
royalties to carry out its responsibilities under this Act. 
Upon termination of the Commission, all licensing rights revert 
to the Air and Space Museum.
    Section 10 requires that the Commission shall submit an 
annual report (and final report on June 30, 2004) to Congress 
describing its activities for that year and accounting for 
funds spent.
    Section 11 requires the GAO to annually audit the 
Commission's transactions and spending and submit a final 
report to Congress on June 30, 2004.
    Section 12 establishes a 19 member unpaid Advisory Board to 
guide the Commission. Its membership shall be made up of 5 
Federal officials and 14 private citizens (appointed by the 
President, Speaker and Majority Leader). The President shall 
appoint the Chair.
    Seven members shall constitute a quorum for a meeting and 
all meetings shall be open to the public.
    Section 13 establishes definitions for the terms: Advisory 
Board, centennial of powered flight, Commission, designee, and 
First Flight.
    Section 14 states that the Commission shall terminate 60 
days after submittal of its final report.
    Section 15 authorizes $2 million per year (FY 1999--2004) 
in appropriations for the Commission.

                  V. Estimated Cost of the Legislation

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, July 21, 1998.
Hon. Fred D. Thompson,
Chairman, Committee on Governmental Affairs,
U.S. Senate, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 1397, the Centennial 
of Flight Commemoration Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Victoria V. 
Heid.
            Sincerely,
                                              James L. Blum
                                   (For June E. O'Neill, Director.)
    Enclosure.

               congressional budget office cost estimate

S. 1397--Centennial of Flight Commemoration Act

    Summary: S. 1397 would establish a Centennial of Flight 
Commission and a First Flight Centennial Federal Advisory Board 
to plan activities observing the 100th anniversary of powered 
flight on December 17, 2003. The bill would authorize the 
appropriation of $2 million a year through fiscal year 2004 for 
implementing the bill.
    Assuming appropriation of the authorized amounts, CBO 
estimates that enacting S. 1397 would increase discretionary 
outlays by about $1 million in fiscal year 1999 and about $9 
million over the 1999-2003 period. Enacting the bill could 
affect direct spending and governmental receipts, so pay-as-
you-go procedures would apply, but CBO estimates that any such 
effects would be insignificant.
    S. 1397 contains no intergovernmental or private sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would have no significant impact on the budgets of state, 
local, or tribal governments.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 1397 is shown in the following table. 
The costs of this legislation fall within budget function 400 
(transportation).

                                    [By fiscal year, in millions of dollars]                                    
----------------------------------------------------------------------------------------------------------------
                                                                  1999      2000      2001      2002      2003  
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION                                       
                                                                                                                
Authorization level...........................................         2         2         2         2         2
Estimated outlays.............................................         1         2         2         2         2
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For the purposes of this estimate, CBO 
assumes that S. 1397 will be enacted by October 1, 1998, and 
that the authorized amount will be appropriated for each year. 
The proposed commission would be composed of six members that 
would, in coordination with other federal agencies, plan 
programs and activities for the 100th anniversary of powered 
flight. The commission's executive director and staff would 
receive compensation. The commission would be required to 
complete an annual report, and the General Accounting Office 
(GAO) would be required to audit the financial transactions of 
the commission annually and submit a report no later than 
September 30, 2004.
    Spending subject to appropriation: S. 1397 would authorize 
annual appropriations of $2 million for required activities of 
the commission, the advisory board, and GAO. CBO estimates that 
implementing the bill would increase discretionary outlays by 
about $1 million in fiscal year 1999 and by about $9 million 
over the 1999-2003 period, assuming appropriation of the 
authorized amounts.
    Direct spending and revenues: S. 1397 would authorize the 
commission to license the name ``Centennial of Flight 
Commission'' and to spend any funds received from licensing 
royalties. The bill also would authorize the commission to 
accept donations of money, personal services, and historic 
materials. Cash donations collected under this authority would 
be recorded as governmental receipts (revenues), and their 
expenditure would constitute direct spending. CBO estimates 
that any licensing royalties and donations would total less 
than $500,000 each year.
    Pay-as-you-go considerations: Section 252 of the Balanced 
Budget and Emergency Deficit Control Act sets up pay-as-you-go 
procedures for legislation affecting direct spending or 
receipts. S. 1397 could affect both direct spending and 
receipts; therefore, pay-as-you-go procedures would apply. CBO 
estimates, however, that any changes in receipts from donations 
or licensing royalties to the commission and consequent changes 
in direct spending would both total less than $500,000 each 
year.
    Intergovernmental and private-sector impact: S. 1397 
contains no intergovernmental or private sector mandates as 
defined in UMRA and would have no significant impact on the 
budgets of state, local, or tribal governments.
    Previous CBO estimate: On July 17, 1998, CBO prepared a 
cost estimate for H.R. 4057, the Airport Improvement 
Reauthorization Act of 1998, as ordered reported by the House 
Committee on Transportation and Infrastructure on June 25, 
1998. S. 1397 is similar to Title VII of H.R. 4057, but H.R. 
4057 would authorize appropriations of $250,000 a year instead 
of $2 million a year.
    Estimate prepared by: Victoria V. Heid.
    Estimate approved by: Paul N. Van de Water, Assistant 
Director for Budget Analysis.

                         VI. Regulatory Impact

    Paragraph 11(b)(1) of rule XXVI of the Standing Rules of 
the Senate requires that each report accompanying a bill 
evaluate ``the regulatory impact which would be incurred in 
carrying out this bill.'' The enactment of this legislation 
will not have significant regulatory impact.

                      VII. Changes to existing law

    According to paragraph 12 of rule XXVI of the Standing 
Rules of the Senate, changes in existing law made by the bill, 
as reported, should be reflected in the report. There are no 
changes to existing law.

              VIII. ADDITIONAL VIEWS OF CHAIRMAN THOMPSON

    Although the bill was ordered to be reported out by voice 
vote, I, along with Senators Nickles and Domenici, expressed 
opposition to reporting S. 1397. There were many problems with 
S. 1397 relating to management, and potential for abuses. The 
suggested changes to Senator Glenn's Amendment in the Nature of 
a Substitute that I and others made were incorporated in the 
Amendment. Many of my concerns stem from past experience with 
Commissions of this kind. Previous Commissions have 
demonstrated serious problems relating to mismanagement, fraud, 
waste, and abuse. I hope, if this bill is enacted into law, 
that my changes will minimize the potential for these sorts of 
problems.
    My concern, however, does not end with the potential for 
abuse and mismanagement. Even if the potential for abuse is 
minimized, I am concerned about the precedent the establishment 
of this Commission may create. There have been nine other 
Commissions similar to the Centennial of Flight Commission. 
They include: the Civil War Centennial Commission, the American 
Revolution Bicentennial Commission, the National Parks 
Centennial Commission, the Presidential Commission for the 
German-American Tricentennial, the Presidential Commission on 
the Bicentennial of the United States Constitution, the 
Commission on the Eleanor Roosevelt Centennial, the Christopher 
Columbus Quincentenary Jubilee Commission, the Dwight David 
Eisenhower Centennial Commission, and the Thomas Jefferson 
Commemoration Commission. All of these Commissions are 
national-in-scope--they focus on events or people of national 
significance.
    Although powered flight is important to our nation and the 
world, it is clear that North Carolina and Ohio have a 
particular interest in this event as exemplified by their 
specified representation on the Commission as compared to other 
states. I am of the opinion that organizations and state and 
local governments of these two states would be able to handle 
the responsibilities given to this Commission and, in fact, 
they will be coordinating activities at the same time the 
Commission, if established, is carrying out its duties. I think 
that by establishing this Commission, we will be opening the 
door to many other Commissions that may have some national 
significance but for which state and local governments, and 
private entities would be better entities to handle the various 
responsibilities.
    Finally, I have a concern with the amount of the 
authorization. From examining problems with past Commissions, 
it seems that many problems stemmed from the commingling of 
fundraised money and appropriated funds. Because of the 
potential of the commingling of funds and because Senators 
Glenn and Helms were concerned about conflicting with 
fundraising activities of other entities, Senator Glenn's 
Amendment authorizes all of the funds and restricts fundraising 
activity by the Commission. Even though the Commission would 
not be able to fundraise money, I am not convinced that 
$2,000,000 per year is necessary. Past Commissions have had 
significantly lower authorizations and there was no adequate 
showing as to why $2,000,000 was necessary.
    Because of my concerns about opening the door to other 
Commissions more properly left to the states and private 
sector, the problems of abuse in previous Commissions, and the 
concerns of the amount of funds authorized, I entered my 
opposition to this bill for the record. I do, however, wish to 
make it clear that the bill, as amended, I believe, is 
substantially better than what was originally introduced in the 
Senate in terms of reducing the potential for mismanagement and 
abuse.

                                                     Fred Thompson.

                                
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