SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Airport Improvement Program 
Temporary Extension Act of 1994''.

                  TITLE I_AIRPORT IMPROVEMENT PROGRAM

SEC. 101. AIRPORT IMPROVEMENT PROGRAM AUTHORIZATION.

    (a) Authorization._The second sentence of section 505(a) of the 
Airport and Airway Improvement Act of 1982 (49 App. U.S.C. 2204(a)) is 
amended_
        (1) by striking ``and'' after ``1992,''; and
        (2) by inserting ``, and $15,413,157,000 for fiscal years 
    ending before October 1, 1994'' before the period at the end.
    (b) Obligational Authority._Section 505(b)(1) of the Airport and 
Airway Improvement Act of 1982 (49 App. U.S.C. 2204(b)(1)) is amended 
by striking ``September 30, 1993'' and inserting ``June 30, 1994''.

SEC. 102. APPORTIONMENT OF FUNDS.

    Section 507(b)(3)(A) of the Airport and Airway Improvement Act of 
1982 (49 App. U.S.C. 2206(b)(3)(A)) is amended_
        (1) by striking ``or reducing the amount authorized or'' and 
    inserting ``the amount'';
        (2) by inserting ``to less than $1,900,000,000'' after ``to be 
    obligated''; and
        (3) by striking ``limited or reduced''.

SEC. 103. MINIMUM AMOUNT FOR PRIMARY AIRPORTS.

    Section 507(b)(1) of the Airport and Airway Improvement Act of 1982 
(49 App. U.S.C. 2206(b)(1)) is amended by striking ``$400,000'' and 
inserting ``$500,000''.

SEC. 104. DISCRETIONARY FUND.

    (a) Minimum Amount To Be Credited._Section 507(c) of the Airport 
and Airway Improvement Act of 1982 (49 App. U.S.C. 2206(c)) is amended 
by adding at the end the following new paragraph:
        ``(5) Special rule._(A) In any fiscal year not less than 
    $325,000,000 of the amount made available under section 505(a) 
    shall be credited to the discretionary fund established by 
    paragraph (1), and such $325,000,000 shall be exclusive of amounts 
    that have been apportioned in a prior year under this section and 
    which remain available for obligation.
        ``(B) In any fiscal year in which the amount credited to the 
    discretionary fund pursuant to paragraph (1) is less than 
    $325,000,000, the total amount calculated under subparagraph (C) of 
    this paragraph shall be reduced by an amount which, when credited 
    to the discretionary fund, will, together with the amount credited 
    pursuant to paragraph (1), equal $325,000,000.
        ``(C) The total amount, for any fiscal year, that is subject to 
    reduction pursuant to subparagraph (B) shall be the sum of_
            ``(i) the amount determined under subsection (a)(1);
            ``(ii) the amount determined under subsection (a)(2);
            ``(iii) the amount determined under subsection (a)(3);
            ``(iv) the amount determined under section 508(d)(1);
            ``(v) the amount determined under section 508(d)(2);
            ``(vi) the amount determined under section 508(d)(3);
            ``(vii) the amount determined under section 508(d)(4); and
            ``(viii) the amount determined under section 508(d)(5).
        ``(D) To accomplish a reduction pursuant to subparagraph (B), 
    each of the amounts described in subparagraphs (C)(i) through 
    (C)(viii), respectively, shall be reduced by an equal 
    percentage.''.
    (b) Effective Date._The amendment made by subsection (a) shall take 
effect on July 1, 1994.

SEC. 105. USE OF APPORTIONED AND DISCRETIONARY FUNDS.

    Section 508(d) of the Airport and Airway Improvement Act of 1982 
(49 App. U.S.C. 2207(d)) is amended_
        (1) in paragraph (1), by striking ``10'' and inserting ``5'';
        (2) in paragraph (3), by striking ``2.5'' wherever it appears 
    and inserting ``1.5''; and
        (3) in paragraph (4), by striking ``\1/2\'' and inserting ``\3/
    4\''.

SEC. 106. REIMBURSEMENT FOR PAST EXPENDITURES.

    Section 513(a)(2) of the Airport and Airway Improvement Act of 1982 
(49 App. U.S.C. 2212(a)(2)) is amended_
        (1) by striking ``or'' at the end of subparagraph (A);
        (2) by inserting ``or'' after the semicolon at the end of 
    subparagraph (B); and
        (3) by inserting after subparagraph (B) the following:
        ``(C)(i) it was incurred_
            ``(I) during fiscal year 1994;
            ``(II) before execution of a grant agreement with respect 
        to the project but in accordance with an airport layout plan 
        approved by the Secretary and in accordance with all applicable 
        statutory and administrative requirements that would have been 
        applicable to the project if the grant agreement had been 
        executed; and
            ``(III) for work related to a project for which a grant 
        agreement was previously executed during fiscal year 1994; and
        ``(ii) its Federal share is only paid with sums apportioned 
    under sections 507(a)(1) and 507(a)(2).''.

SEC. 107. TERMINAL DEVELOPMENT.

    Section 513(b)(2) of the Airport and Airway Improvement Act of 1982 
(49 App. U.S.C. 2212(b)(2)) is amended_
        (1) in the second sentence_
            (A) by inserting after ``may be used'' the following: ``, 
        subject to the approval of the Secretary, (A)''; and
            (B) by striking the period at the end and inserting the 
        following: ``, and (B) by the sponsor of a reliever airport for 
        the types of project costs allowable under paragraph (1) of 
        this subsection, including project costs allowable for a 
        commercial service airport which annually has .05 percent or 
        less of the total enplanements in the United States.''; and
        (2) by adding at the end the following: ``All or any portion of 
    the sums to be distributed at the discretion of the Secretary under 
    sections 507(c) and 507(d) for any fiscal year may be distributed 
    for use by primary airports each of which annually has .05 percent 
    or less of the total enplanements in the United States for project 
    costs allowable under paragraph (1) of this subsection.''.

SEC. 108. EXPENDITURES FROM AIRPORT AND AIRWAY TRUST FUND.

    Section 9502(d)(1)(A) of the Internal Revenue Code of 1986 
(relating to expenditures from Airport and Airway Trust Fund) is 
amended by striking ``(as such Acts were in effect on the date of the 
enactment of the Airport and Airway Safety, Capacity, Noise 
Improvement, and Intermodal Transportation Act of 1992)'' and inserting 
``or the Airport Improvement Program Temporary Extension Act of 1994 
(as such Acts were in effect on the date of the enactment of the 
Airport Improvement Program Temporary Extension Act of 1994)''.

SEC. 109. UPWARD ADJUSTMENTS.

    (a) In General._The second sentence of section 505(b)(1) of the 
Airport and Airway Improvement Act of 1982 (49 App. U.S.C. 2204(b)(1)) 
is further amended by_
        (1) inserting ``(A)'' before ``Apportioned''; and
        (2) inserting before the period at the end ``; and (B) funds 
    which have been recovered by the United States from grants made 
    under this title if such funds are obligated only for increases 
    under sections 512(b)(2) and 512(b)(3) of this title in the maximum 
    obligation of the United States for any other grant made under this 
    title''.
    (b) Retroactive Effective Date._The amendment made by subsection 
(a) shall take effect October 1, 1993.

      TITLE II_AIRPORT-AIR CARRIER DISPUTES REGARDING AIRPORT FEES

SEC. 201. EMERGENCY AUTHORITY TO FREEZE CERTAIN AIRPORT FEES.

    (a) Complaint By Air Carrier._
        (1) Filing._An air carrier may file prior to June 30, 1994, 
    with the Secretary a written complaint alleging that any increased 
    fee imposed upon such air carrier by the owner or operator of an 
    airport is not reasonable. The air carrier shall simultaneously 
    file with the Secretary proof that a copy of the complaint has been 
    served on the owner or operator of the airport.
        (2) Opportunity to respond._Before issuing an order under 
    subsection (b), the Secretary shall provide the owner or operator 
    of the airport an opportunity to respond to the filed complaint.
        (3) Frivolous complaint._If the Secretary determines that a 
    complaint is frivolous, the Secretary may refuse to accept the 
    complaint for filing.
    (b) Order By The Secretary._
        (1) In general._Except as provided by paragraph (2), the 
    Secretary shall issue, within 7 days after the filing of a 
    complaint in accordance with subsection (a), an order prohibiting 
    the owner or operator of the airport from collecting the increased 
    portion of the fee that is the subject of the complaint, unless the 
    Secretary makes a preliminary determination that the increased fee 
    is reasonable. Subject to subsection (d), the order shall cease to 
    be effective on June 30, 1994.
        (2) Limitation._The Secretary shall not issue an order under 
    this subsection prohibiting the collection of any portion of a fee 
    for which the Secretary's informal mediation assistance was 
    requested on March 21, 1994.
    (c) Opportunity To Comment And Furnish Related Material._Within a 
period prescribed by the Secretary, the owner or operator of the 
airport and any affected air carrier may submit comments to the 
Secretary on a complaint filed under subsection (a) and furnish to the 
Secretary any related documents or other material.
    (d) Action on Complaint._Based on comments and material provided 
under subsection (c), the Secretary may take appropriate action on the 
complaint, including termination or other modification of any order 
issued under subsection (b).
    (e) Applicability._This section does not apply to a fee imposed 
pursuant to a written agreement binding on air carriers using the 
facilities of an airport.
    (f) Effect on Existing Agreements._Nothing in this section shall 
adversely affect any existing written agreement between an air carrier 
and the owner or operator of an airport.

SEC. 202. DEFINITIONS.

    For purposes of this title_
        (1) the term ``fee'' means any rate, rental charge, landing 
    fee, or other service charge for the use of airport facilities; and
        (2) the term ``Secretary'' means the Secretary of 
    Transportation.

             TITLE III_REFORM OF AIR TRAFFIC CONTROL SYSTEM

SEC. 301. AIR TRAFFIC CONTROL SYSTEM.

    (a) Study._The Secretary of Transportation shall undertake a study 
of management, regulatory, and legislative reforms which would enable 
the air traffic control system of the Federal Aviation Administration 
to provide better services to users and reduce the costs of providing 
services, without reducing the safety of the system or the availability 
of the system to all categories of users and without changing the basic 
organizational structure under which the system is part of the Federal 
Aviation Administration.
    (b) Components._The study to be conducted under subsection (a) 
shall include the following:
        (1) Evaluation of reforms which would streamline procurement, 
    enhance the ability to attract and retain adequate staff at hard-
    to-staff facilities, simplify the personnel process, provide 
    funding stability, ensure continuity of leadership, and reduce the 
    incidence of unnecessarily detailed management oversight.
        (2) Identification of any existing laws or regulations 
    governing procurement or personnel which are having an adverse 
    effect on the operation or modernization of the air traffic control 
    system.
        (3) Evaluation of a range of possible reforms and the 
    advantages and disadvantages of each possible reform.
        (4) Comparison of the advantages and disadvantages of each 
    possible reform with the comparable advantages and disadvantages to 
    be achieved under any proposal of the Secretary of Transportation 
    to create a separate Federal corporate entity to operate the air 
    traffic control system.
    (c) Deadline._The results of the study to be conducted under 
subsection (a) shall be contained in a report which shall be completed 
by the Secretary of Transportation on or before the date which is 180 
days after the date of the enactment of this Act, or the date on which 
the Secretary submits to Congress proposed legislation to create a 
separate corporate entity to operate the air traffic control system, 
whichever date occurs first.
    (d) Transmittal._On the date of completion of the report under 
subsection (c), the Secretary of Transportation shall transmit copies 
of the report to the Committee on Commerce, Science, and Transportation 
of the Senate and the Committee on Public Works and Transportation of 
the House of Representatives.

                   TITLE IV_MISCELLANEOUS PROVISIONS

SEC. 401. GRANDFATHER PROVISION FOR FAA DEMONSTRATION PROJECT.

    (a) In general._Notwithstanding the termination of the personnel 
demonstration project for certain Federal Aviation Administration 
employees on June 17, 1994, pursuant to section 4703 of title 5, United 
States Code, the Federal Aviation Administration, subject to subsection 
(d), shall continue to pay quarterly retention allowance payments in 
accordance with subsection (b) to those employees who are entitled to 
quarterly retention allowance payments under the demonstration project 
as of June 16, 1994.
    (b) Computation Rules._
        (1) In general._The amount of each quarterly retention 
    allowance payment to which an employee is entitled under subsection 
    (a) shall be the amount of the last quarterly retention allowance 
    payment paid to such employee under the personnel demonstration 
    project prior to June 17, 1994, reduced by that portion of the 
    amount of any increase in the employee's annual rate of basic pay 
    subsequent to June 17, 1994, from any source, which is allocable to 
    the quarter for which the allowance is to be paid (or, if 
    applicable, to that portion of the quarter for which the allowance 
    is to be paid). For purposes of the preceding sentence, the 
    increase in an employee's annual rate of basic pay includes_
            (A) any increase under section 5303 of title 5, United 
        States Code;
            (B) any increase in locality-based comparability payments 
        under section 5304 of such title 5 (except if, or to the extent 
        that, such increase is offset by a reduction of an interim 
        geographic adjustment under section 302 of the Federal 
        Employees Pay Comparability Act of 1990 (5 U.S.C. 5304 note));
            (C) any establishment or increase in a special rate of pay 
        under section 5305 of such title 5;
            (D) any increase in basic pay pursuant to a promotion under 
        section 5334 of such title 5;
            (E) any periodic step-increase under section 5335 of such 
        title 5;
            (F) any additional step-increase under section 5336 of such 
        title 5; and
            (G) any other increase in annual rate of basic pay under 
        any other provision of law.
        (2) Section rule._In the case of an employee on leave without 
    pay or other similar status for any part of the quarter prior to 
    June 17, 1994, based on which the amount of the allowance payments 
    for such employee under subsection (a) are computed, the ``amount 
    of the last quarterly retention allowance payment paid to such 
    employee under the personnel demonstration project prior to June 
    17, 1994'' shall, for purposes of paragraph (1), be deemed to be 
    the amount of the allowance which would have been payable to such 
    employee for such quarter under such project had such employee been 
    in pay status throughout such quarter.
    (c) Termination._An employee's entitlement to quarterly retention 
allowance payments under this section shall cease when_
        (1) the amount of such allowance is reduced to zero under 
    subsection (b), or
        (2) the employee separates or moves to a position in which the 
    employee would not, prior to June 17, 1994, have been entitled to 
    receive an allowance under the demonstration project,
whichever is earlier.
    (d) Special Payment Rule._The Administrator of the Federal Aviation 
Administration may make payment for the costs incurred under the 
program established by subsection (a) for the period between June 18, 
1994, and September 30, 1994, following the end of the first full pay 
period that begins on or after October 1, 1994, subject to 
appropriations made available in fiscal year 1995.
    (e) Study of Recruitment and Retention Incentives._The 
Administrator of the Federal Aviation Administration shall conduct a 
study of impediments that may exist to achieving appropriate air 
traffic controller staffing levels at hard-to-staff facilities. In 
conducting such study, the Administrator shall identify and evaluate 
the extent to which special incentives, of a financial or non-financial 
nature, could be useful in recruiting or retaining air traffic 
controllers at such facilities. The Administrator shall submit to the 
Committee on Commerce, Science, and Transportation of the Senate and 
the Committee on Public Works and Transportation of the House of 
Representatives not later than 180 days after the date of enactment of 
this Act a report on (1) the results of such study, (2) planned 
administrative actions, and (3) any recommended legislation.







                               Speaker of the House of Representatives.







                            Vice President of the United States and    
                                               President of the Senate.
TABLE OF CONTENTS: 
     Title I:  Airport Improvement Program 
     Title II:  Airport-Air Carrier Disputes Regarding Airport Fees 
     Title III:  Reform of Air Traffic Control System 
     Title IV:  Miscellaneous Provisions 
Airport Improvement Program Temporary Extension Act of 1994 - 
Title I:  Airport Improvement Program
 - Amends the Airport and Airway Improvement Act of 1982 to authorize appropriations for FY 1994 for airport development and planning projects. 
(Sec. 101) Extends the obligational authority of the Secretary of Transportation (Secretary) to make grants for airport development and planning projects through June 30, 1994. 
(Sec. 102) Limits to a specified percentage the apportionment for primary and cargo service airports if the Congress enacts a law limiting the apportionment for airport development and planning to less than $1.9 billion for any fiscal year. 
(Sec. 103) Increases the minimum funding for primary airports. 
(Sec. 104) Sets forth a formula for the reduction of funds not apportioned in any fiscal year for primary airports, cargo service airports, and Alaskan airports.  Requires such reduced amounts to be credited to a discretionary fund. 
(Sec. 105) Sets forth mandates that not less than:  (1) five percent (currently, ten) of the funds for airport development and planning be distributed for reliever airports; or (2) 1.5 percent (currently, 2.5 percent) of such funds be distributed for nonprimary commercial service airports and certain noncommercial service public airports. 
(Sec. 106) Provides as an allowable project cost reimbursable by the Government any airport development and planning costs: (1) incurred during FY 1994, before execution of a grant agreement that is in accordance with an approved airport layout plan and applicable requirements, for project work for which the agreement was previously executed during FY 1994; and (2) where the Federal share of such costs is only paid from sums apportioned for primary an cargo service airports. 
(Sec. 107) Limits to no more than $200,000 the amount of discretionary funds that may be used by a sponsor of a reliever airport for project costs related to terminal development, including allowable project costs for commercial service airports enplaning up to .05 percent of total U.S. enplanement.  Allows the unlimited use of such funds for terminal development at primary airports enplaning up to .05 percent of total U.S. enplanements (small airports). 
(Sec. 109) Declares that nothing shall preclude the Secretary, after September 30, 1993, from obligating by grant agreement funds which have been recovered by the United States from grants made for airport development and planning projects if they are obligated only for increases in such grants. 
Title II:  Airport-Air Carrier Disputes Regarding Airport Fees
 - Authorizes air carriers to file with the Secretary complaints alleging the unreasonableness of increased fees imposed upon them by airport operators. Permits airport operators and affected air carriers to submit comments and any related materials to the Secretary with respect to such complaints. 
Title III:  Reform of Air Traffic Control System
 - Directs the Secretary to undertake a study of management, regulatory, and legislative reforms which would enable the Federal Aviation Administration's (FAA) air traffic control system to provide better services to users and reduce the costs of providing such services without reducing the safety or availability or structure of the system. 
Title IV:  Miscellaneous Provisions
 - Requires the FAA to continue to pay quarterly retention allowance payments to certain terminated employees of a FAA demonstration project.  Authorizes the Administrator of the FAA to make payment for costs incurred under such project for a specified period. 
(Sec. 401) Requires the Administrator of the FAA to study, and submit the results to specified congressional committees, of any impediments that may exist in achieving appropriate air traffic controller staffing levels at hard-to-staff facilities.
Airport Improvement Program Temporary Extension Act of 1994