Airline Bankruptcy Passenger Protection Act of 1993

Summary: Airline Bankruptcy Passenger Protection Act of 1993 - Amends the Federal Aviation Act of 1958 to direct the Secretary of Transportation to issue an order authorizing a covered air carrier to develop an air transportation plan which protects airline ticket holders in the event it becomes a debtor in bankruptcy proceedings after the ticket purchase date. 
Provides that if satisfactory plans have not been submitted by a specified deadline, the Secretary must promulgate regulations requiring all covered air carriers to provide air transportation for such ticket holders.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Airline Bankruptcy Passenger 
Protection Act of 1993''.

SEC. 2. REPORTING AND OTHER REQUIREMENTS.

    (a) In General.--Title IV of the Federal Aviation Act of 1958 (49 
U.S.C. App. 1371-1389) is amended by adding at the end thereof the 
following new section:

``SEC. 420. BANKRUPTCY TRANSPORTATION PLANS.

    ``(a) Development.--
            ``(1) Order.--Not later than 60 days after the date of the 
        enactment of this section, the Secretary shall issue an order 
        authorizing covered air carriers to develop a plan for 
        providing air transportation for any person who holds an 
        airline ticket for provision of such transportation by a 
        covered air carrier who, after the date of purchase of such 
        ticket, becomes a debtor in a case under title 11, United 
        States Code. Such order shall also include an exemption in 
        accordance with section 414.
            ``(2) Deadline for submission.--Any plan developed under 
        paragraph (1) shall be submitted to the Secretary for approval 
        within 180 days after the date of the enactment of this 
        section.
    ``(b) Time Limit and Basis for Approval.--If a plan is submitted to 
the Secretary in accordance with subsection (a), the Secretary shall 
approve or disapprove such plan within 60 days after the date of such 
submission. If the Secretary determines that such plan will provide (or 
would provide if all covered air carriers participate in implementation 
of such plan) satisfactory protection for all persons who hold airline 
tickets described in subsection (a), the Secretary shall approve such 
plan. Otherwise, the Secretary shall disapprove such plan.
    ``(c) Implementation of Approved Plans.--If the Secretary approves 
a plan under this section, the Secretary shall issue an order requiring 
implementation of such plan by the covered air carriers who submitted 
such plan and any other covered air carriers. If there are any covered 
air carriers who did not participate in development of a plan approved 
under this section, such carriers shall be treated under such order and 
plan in the same manner as carriers who did participate in development 
of such plan.
    ``(d) Regulations.--If a plan described in subsection (a) is not 
submitted within 180 days after the date of the enactment of this 
section, or if the Secretary disapproves a plan submitted in accordance 
with subsection (a), or if the Secretary determines that a plan 
approved under this section is not being implemented in a manner which 
provides satisfactory protection for all persons who hold airline 
tickets described in subsection (a), the Secretary shall issue 
regulations requiring all covered air carriers to provide air 
transportation for persons who hold such tickets. Such regulations must 
be issued within 90 days after the expiration of such 180-day period, 
the date of disapproval of such plan, or the date of such 
determination, as the case may be.
    ``(e) Definitions.--For purposes of this section--
            ``(1) Airline ticket.--The term `airline ticket' means any 
        written instrument that embodies a contract of carriage between 
        a covered air carrier and a passenger thereof for interstate or 
        overseas air transportation.
            ``(2) Covered air carrier.--The term `covered air carrier' 
        means--
                    ``(A) an air carrier which provides interstate or 
                overseas air transportation primarily with aircraft 
                having seating for more than 60 passengers and which in 
                the 12-month period preceding the date of the enactment 
                of this section, enplaned more than .2 percent of the 
                total number of passengers enplaned on all aircraft 
                used to provide interstate and overseas air 
                transportation in such period; and
                    ``(B) an air carrier not described in subparagraph 
                (A) who enters into an agreement with an air carrier 
                who is described in subparagraph (A) to operate under 
                or use a single air carrier designator code to provide 
                interstate or overseas air transportation, but only 
                with respect to those operations of the carrier not 
                described in subparagraph (A) which are carried out 
                under such code.
            ``(3) Secretary.--The term `Secretary' means the Secretary 
        of Transportation.''.
    (b) Conforming Amendment to Table of Contents.--The table of 
contents in the first section of the Federal Aviation Act of 1958 is 
amended by adding at the end of the material relating to title IV the 
following:

``Sec. 420. Bankruptcy transportation plans.
                              ``(a) Development.
                              ``(b) Time limit and basis for approval.
                              ``(c) Implementation of approved plans.
                              ``(d) Regulations.
                              ``(e) Definitions.''.