To amend the Internal Revenue Code of 1986 to extend the funding and expenditure authority of the Airport and Airway Trust Fund, to amend title 49, United States Code, to extend authorizations for the airport improvement program, and for other purposes.

Summary: Airport and Airway Extension Act of 2010 - Amends the Internal Revenue Code to extend through July 3, 2010: (1) increased excise taxes on aviation fuels and the excise tax on air transportation of persons and property; and (2) the expenditure authority for the Airport and Airway Trust Fund.

Increases the authorization of appropriations for the period beginning on October 1, 2009, for airport planning and development and noise compatibility planning projects, and extends such authorization through July 3, 2010. Sets forth a formula for calculating funding apportionments of airport improvement program (AIP) projects by the Administrator of the Federal Aviation Administration (FAA). Extends through July 3, 2010, the authority of the Secretary of Transportation to make AIP project grants.

Extends through July 3, 2010: (1) the pilot program for passenger facility fee authorizations at nonhub airports; and (2) disclosure requirements for large and medium hub airports applying for AIP grants.

Directs the Secretary of Transportation to extend through July 3, 2010, the termination date of insurance coverage for domestic or foreign-flag aircraft, and grants the Secretary discretionary authority to further extend such coverage through September 30, 2010. Extends through September 30, 2010, the authority of the Secretary to limit air carrier liability for claims arising out of acts of terrorism.

Extends through July 3, 2010: (1) grant eligibility for airports located in the Marshall Islands, Micronesia, and Palau; (2) grants to state and local governments for land use compatibility projects under the AIP; and (3) authority for approving an application of the Metropolitan Washington Airports Authority for an airport development project grant or for permission to impose a passenger facility fee.

Amends the Vision 100--Century of Aviation Reauthorization Act to extend through July 3, 2010: (1) the temporary increase to 95% of the federal government's share of certain AIP project costs; and (2) funding for airport development at Midway Island Airport.

Extends through July 3, 2010, and increases for the period beginning on October 1, 2009, the authorization of appropriations for: (1) Federal Aviation Administration (FAA) operations; (2) air navigation facilities and equipment; and (3) civil aviation research and development.

SECTION 1. SHORT TITLE.
    This Act may be cited as the ``Airport and Airway Extension Act of 
2010''.
SEC. 2. EXTENSION OF TAXES FUNDING AIRPORT AND AIRWAY TRUST FUND.
    (a) Fuel Taxes.--Subparagraph (B) of section 4081(d)(2) of the 
Internal Revenue Code of 1986 is amended by striking ``April 30, 2010'' 
and inserting ``July 3, 2010''.
    (b) Ticket Taxes.--
        (1) Persons.--Clause (ii) of section 4261(j)(1)(A) of the 
    Internal Revenue Code of 1986 is amended by striking ``April 30, 
    2010'' and inserting ``July 3, 2010''.
        (2) Property.--Clause (ii) of section 4271(d)(1)(A) of such 
    Code is amended by striking ``April 30, 2010'' and inserting ``July 
    3, 2010''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on May 1, 2010.
SEC. 3. EXTENSION OF AIRPORT AND AIRWAY TRUST FUND EXPENDITURE 
AUTHORITY.
    (a) In General.--Paragraph (1) of section 9502(d) of the Internal 
Revenue Code of 1986 is amended--
        (1) by striking ``May 1, 2010'' and inserting ``July 4, 2010''; 
    and
        (2) by inserting ``or the Airport and Airway Extension Act of 
    2010'' before the semicolon at the end of subparagraph (A).
    (b) Conforming Amendment.--Paragraph (2) of section 9502(e) of such 
Code is amended by striking ``May 1, 2010'' and inserting ``July 4, 
2010''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on May 1, 2010.
SEC. 4. EXTENSION OF AIRPORT IMPROVEMENT PROGRAM.
    (a) Authorization of Appropriations.--
        (1) In general.--Section 48103(7) of title 49, United States 
    Code, is amended to read as follows:
        ``(7) $3,024,657,534 for the period beginning on October 1, 
    2009, and ending on July 3, 2010.''.
        (2) Availability of amounts.--Sums made available pursuant to 
    the amendment made by paragraph (1) shall remain available until 
    expended.
        (3) Program implementation.--For purposes of calculating 
    funding apportionments and meeting other requirements under 
    sections 47114, 47115, 47116, and 47117 of title 49, United States 
    Code, for the period beginning on October 1, 2009, and ending on 
    July 3, 2010, the Administrator of the Federal Aviation 
    Administration shall--
            (A) first calculate funding apportionments on an annualized 
        basis as if the total amount available under section 48103 of 
        such title for fiscal year 2010 were $4,000,000,000; and
            (B) then reduce by 17 percent--
                (i) all funding apportionments calculated under 
            subparagraph (A); and
                (ii) amounts available pursuant to sections 47117(b) 
            and 47117(f)(2) of such title.
    (b) Project Grant Authority.--Section 47104(c) of such title is 
amended by striking ``April 30, 2010,'' and inserting ``July 3, 
2010,''.
SEC. 5. EXTENSION OF EXPIRING AUTHORITIES.
    (a) Section 40117(l)(7) of title 49, United States Code, is amended 
by striking ``May 1, 2010.'' and inserting ``July 4, 2010.''.
    (b) Section 44302(f)(1) of such title is amended--
        (1) by striking ``April 30, 2010,'' and inserting ``July 3, 
    2010,''; and
        (2) by striking ``July 31, 2010,'' and inserting ``September 
    30, 2010,''.
    (c) Section 44303(b) of such title is amended by striking ``July 
31, 2010,'' and inserting ``September 30, 2010,''.
    (d) Section 47107(s)(3) of such title is amended by striking ``May 
1, 2010.'' and inserting ``July 4, 2010.''.
    (e) Section 47115(j) of such title is amended by striking ``May 1, 
2010,'' and inserting ``July 4, 2010,''.
    (f) Section 47141(f) of such title is amended by striking ``April 
30, 2010.'' and inserting ``July 3, 2010.''.
    (g) Section 49108 of such title is amended by striking ``April 30, 
2010,'' and inserting ``July 3, 2010,''.
    (h) Section 161 of the Vision 100--Century of Aviation 
Reauthorization Act (49 U.S.C. 47109 note) is amended by striking ``May 
1, 2010,'' and inserting ``July 4, 2010,''.
    (i) Section 186(d) of such Act (117 Stat. 2518) is amended by 
striking ``May 1, 2010,'' and inserting ``July 4, 2010,''.
    (j) The amendments made by this section shall take effect on May 1, 
2010.
SEC. 6. FEDERAL AVIATION ADMINISTRATION OPERATIONS.
    Section 106(k)(1)(F) of title 49, United States Code, is amended to 
read as follows:
            ``(F) $7,070,158,159 for the period beginning on October 1, 
        2009, and ending on July 3, 2010.''.
SEC. 7. AIR NAVIGATION FACILITIES AND EQUIPMENT.
    Section 48101(a)(6) of title 49, United States Code, is amended to 
read as follows:
        ``(6) $2,220,252,132 for the period beginning on October 1, 
    2009, and ending on July 3, 2010.''.
SEC. 8. RESEARCH, ENGINEERING, AND DEVELOPMENT.
    Section 48102(a)(14) of title 49, United States Code, is amended to 
read as follows:
        ``(14) $144,049,315 for the period beginning on October 1, 
    2009, and ending on July 3, 2010.''.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.