I

104TH CONGRESS

1ST SESSION H. R. 1392

To enhance the safety of air travel through a more effective Federal Aviation

Administration, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

APRIL 4, 1995

Mr. LIGHTFOOT introduced the following bill; which was referred to the

Committee on Transportation and Infrastructure

A BILL

To enhance the safety of air travel through a more effective

Federal Aviation Administration, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Federal Aviation

5 Administration Reform Act of 1995’’.

6 SEC. 2. FINDINGS.

7 Congress finds the following:

8 (1) There is widespread agreement within gov9 ernment and the aviation industry that reform of the

10 Federal Aviation Administration is necessary to
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1 safely and efficiently accommodate the projected

2 growth of aviation within the next decade.

3 (2) Reestablishing the Federal Aviation Admin4 istration as an independent agency will ensure that

5 the agency is able to manage and regulate the safety

6 of the air traffic control system without second7 guessing or interference by politically appointed De8 partment of Transportation officials.

9 (3) The Federal procurement system interferes

10 with the ability of the Federal Aviation Administra11 tion to keep pace with new technology.

12 (4) The Federal personnel system is inflexible

13 and unable to match resources with the real person14 nel needs of the Federal Aviation Administration.

15 (5) The existing budget system does not allow

16 for long-term planning or timely acquisition of tech17 nology by the Federal Aviation Administration.

18 (6) Without reforms in the areas of procure19 ment, personnel, and financing, the Federal Aviation

20 Administration will continue to experience delays

21 and cost overruns in its major airspace moderniza22 tion programs.

23 (7) Other internal management reforms will

24 help the Federal Aviation Administration become
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1 more responsive to the needs of its customers, who

2 are the users of the air traffic control system.

3 SEC. 3. OBJECTIVES.

4 The objectives of this Act are—

5 (1) to establish the Federal Aviation Adminis6 tration as an independent agency;

7 (2) to provide for appointment by the President

8 of an Administrator of the Federal Aviation Admin9 istration with a fixed term in office of 7 years;

10 (3) to appoint a select panel to review and re11 port to Congress regarding innovative financing

12 mechanisms for ensuring adequate funding for exist13 ing and future aviation infrastructure needs;

14 (4) to establish a management advisory board

15 in the Federal Aviation Administration to advise the

16 Administrator on management, policy, spending, and

17 regulatory matters under the jurisdiction of the

18 agency;

19 (5) to mandate that final action must be taken

20 on all rulemakings of the Federal Aviation Adminis21 tration within 18 months after the date of their ini22 tiation;

23 (6) to establish a pilot program for procure24 ment reform under which the Federal Aviation Ad-
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1 ministration is exempt from various laws governing

2 Federal acquisition practices; and

3 (7) to establish a pilot program for personnel

4 reform under which the Federal Aviation Adminis5 tration is exempt from the civil service rules of title

6 5, United States Code, except for provisions relating

7 to employee benefits.

8 SEC. 4. DEFINITIONS.

9 For the purposes of this Act—

10 (1) the term ‘‘Administration’’ means the Fed11 eral Aviation Administration established under sec12 tion 4; and

13 (2) the term ‘‘Administrator’’ means the Ad14 ministrator of the Federal Aviation Administration

15 appointed under section 6(a).

16 SEC. 5. ESTABLISHMENT.

17 There is established as an independent establishment

18 in the executive branch the Federal Aviation Administra19 tion. The Administration shall succeed the Federal Avia20 tion Administration of the Department of Transportation

21 in existence on the effective date of this Act.

22 SEC. 6. OFFICERS.

23 (a) ADMINISTRATOR.—The Administration shall be

24 administered by an Administrator, who shall be appointed

25 by the President to a 7-year term of office, by and with
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1 the advice and consent of the Senate. The Administrator

2 shall carry out all functions transferred to the Adminis3 trator by this Act and shall have authority and control

4 over all personnel, programs, and activities of the Admin5 istration. The Administrator may be removed by the Presi6 dent for neglect of duty or malfeasance in office. The Ad7 ministrator shall be compensated at the rate prescribed

8 for level II of the Executive Schedule.

9 (b) DEPUTY ADMINISTRATOR.—There shall be in the

10 Administration a Deputy Administrator, who shall be ap11 pointed by the President, by and with the advice and con12 sent of the Senate. The Deputy Administrator shall per13 form such functions, duties, and powers as the Adminis14 trator shall prescribe. The Deputy Administrator shall act

15 for and perform the functions of the Administrator when

16 the Administrator is absent or unable to serve, or when

17 the office of the Administrator is vacant. The Deputy Ad18 ministrator shall be compensated at the rate prescribed

19 for level III of the Executive Schedule.

20 (c) ASSISTANT ADMINISTRATORS.—The Adminis21 trator shall appoint no more than 8 Assistant Administra22 tors who shall perform such functions as the Adminis23 trator shall prescribe. The Administrator shall designate

24 the order in which the Assistant Administrators shall act

25 for and perform the functions of the Administrator when
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1 the Administrator, or in the Administrator’s place the

2 Deputy Administrator, is absent or unable to serve, or

3 when the offices of the Administrator and the Deputy Ad4 ministrator are vacant. An Assistant Administrator shall

5 be compensated at the rate prescribed for level IV in the

6 Executive Schedule.

7 (d) CHIEF COUNSEL.—There shall be in the Adminis8 tration a Chief Counsel, who shall be appointed by the

9 Administrator. The Chief Counsel shall be the chief legal

10 officer for all legal matters arising from the conduct of

11 the functions of the Administration. The Chief Counsel

12 shall be compensated at the rate prescribed for level IV

13 of the Executive Schedule.

14 (e) INSPECTOR GENERAL.—There shall be in the Ad15 ministration an Inspector General appointed in accordance

16 with the Inspector General Act of 1978 (5 U.S.C. App.).

17 The Inspector General shall be compensated at the rate

18 prescribed for level IV of the Executive Schedule.

19 (f) LIMITATIONS.—Each of the officers referred to in

20 this section must be a citizen of the United States. The

21 Administrator must be a civilian.

22 SEC. 7. FUNCTIONS OF ADMINISTRATOR.

23 (a) IN GENERAL.—The Administrator shall be re24 sponsible for the exercise of all powers and the discharge

25 of all duties of the Administration.
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1 (b) GOVERNANCE OF STATUTES.—In carrying out

2 the functions of the Administration under this Act, the

3 Administrator shall be governed by all applicable statutes,

4 including the policy standards set forth in subtitle VII of

5 title 49, United States Code.

6 (c) LIMITATION ON STATUTORY CONSTRUCTION.—

7 Nothing in this Act shall be construed to limit in any man8 ner the authority of the Administrator to promote safety

9 by establishing and administering accident prevention pro10 grams, encouraging airport development, educating the

11 public on the importance of aeronautics, and encouraging

12 the adoption of worldwide safety standards.

13 (d) FINALITY OF DECISIONS; APPEALS.—Decisions

14 of the Administrator made pursuant to the exercise of the

15 functions enumerated in subtitle VII of title 49, United

16 States Code, shall be administratively final, and appeals

17 as currently authorized by law shall be taken directly to

18 the National Transportation Safety Board or to any court

19 of competent jurisdiction, as appropriate.

20 SEC. 8. TRANSFERS AND INCIDENTAL PROVISIONS.

21 (a) TRANSFER OF FUNCTIONS, PERSONNEL

22 RECORDS, AND ACCOUNTS.—The following are trans23 ferred to the Administration:

24 (1) All functions vested by law in the Federal

25 Aviation Administration of the Department of
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1 Transportation or its Administrator, and all func2 tions vested by law in the Secretary of Transpor3 tation or the Department of Transportation which

4 are administered through the Federal Aviation Ad5 ministration.

6 (2) The functions of the Department of Trans7 portation or the Federal Aviation Administration of

8 the Department of Transportation necessary and ap9 propriate for the performance of the functions trans10 ferred by paragraph (1).

11 (3) So much of the personnel, property, records,

12 funds, accounts, and unexpended balances of appro13 priations, allocations, and other moneys of the De14 partment of Transportation as are employed, used,

15 held, available, or to be made available in connection

16 with the functions transferred by paragraphs (1)

17 and (2).

18 (b) DELEGATION AND EXERCISE OF FUNCTIONS.—

19 The Administrator shall exercise all functions transferred

20 by subsection (a) of this section and any other function

21 vested in the Federal Aviation Administration or the Ad22 ministrator of the Federal Aviation Administration by any

23 law enacted on or after the date of the enactment of this

24 Act. The Administrator may from time to time make such

25 provisions as the Administrator shall deem appropriate
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1 authorizing the performance by any other officer, em2 ployee, or office of the Administration of such functions.

3 SEC. 9. REGULATIONS.

4 In the performance of the functions of the Adminis5 trator and the Administration, the Administrator is au6 thorized to issue, rescind, and amend such regulations as

7 are necessary to carry such functions. The issuance of

8 such regulations shall be governed by the provisions of

9 chapter 5 of title 5, United States Code. The Adminis10 trator must issue a final regulation not later than 18

11 months after the date of initiation of any rulemaking pro12 ceeding by the Administration or notify Congress in writ13 ing of the reasons for not issuing such regulation.

14 SEC. 10. DELEGATION.

15 Except as otherwise provided in this Act, the Admin16 istrator may delegate any function to such officers and

17 employees of the Administration as the Administrator may

18 designate and may authorize such successive redelegations

19 of such functions in the Administration as may be nec20 essary or appropriate. No delegation of functions by the

21 Administrator under this section or under any other provi22 sion of this Act shall relieve the Administrator of respon23 sibility for the administration of such functions.
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1 SEC. 11. PERSONNEL AND SERVICES.

2 (a) OFFICERS AND EMPLOYEES.—In the perform3 ance of the functions of the Administrator and in addition

4 to the officers provided for by section 6, the Administrator

5 is authorized to appoint, transfer, and fix the compensa6 tion of such officers and employees, including attorneys,

7 as may be necessary to carry out the functions of the Ad8 ministrator and the Administration. Except as otherwise

9 provided by law, such officers and employees shall be ap10 pointed in accordance with the civil service laws and com11 pensated in accordance with title 5, United States Code.

12 (b) EXPERTS AND CONSULTANTS.—The Adminis13 trator is authorized to obtain the services of experts and

14 consultants in accordance with section 3109 of title 5,

15 United States Code.

16 (c) TRANSPORTATION AND PER DIEM EXPENSES.—

17 The Administrator is authorized to pay transportation ex18 penses, and per diem in lieu of subsistence expenses, in

19 accordance with chapter 57 of title 5, United States Code.

20 (d) USE OF PERSONNEL FROM OTHER AGENCIES.—

21 The Administrator is authorized to utilize, on a reimburs22 able basis, the services of personnel of any other Federal

23 agency.

24 (e) VOLUNTARY SERVICES.—(1)(A) The Adminis25 trator is authorized to accept voluntary and uncompen26 sated services without regard to the provisions of section
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1 1342 of title 31, United States Code, if such services will

2 not be used to displace Federal employees employed on

3 a full-time, part-time, or seasonal basis.

4 (B) The Administrator is authorized to accept volun5 teer service in accordance with the provisions of section

6 3111 of title 5, United States Code.

7 (2) The Administrator is authorized to provide for

8 incidental expenses, including transportation, lodging, and

9 subsistence for such volunteers.

10 (3) An individual who provides voluntary services

11 under this subsection shall not be considered a Federal

12 employee for any purpose other than for purposes of chap13 ter 81 of title 5, United States Code, relating to com14 pensation for work injuries, and chapter 171 of title 28,

15 United States Code, relating to tort claims.

16 SEC. 12. CONTRACTS.

17 The Administrator is authorized to enter into and

18 perform such contracts, leases, cooperative agreements, or

19 other transactions as may be necessary to carry out the

20 functions of the Administrator and the Administration.

21 The Administrator may enter into such contracts, leases,

22 agreements, and transactions with any Federal agency or

23 any instrumentality of the United States, or with any

24 State, territory, or possession, or with any political sub25 division thereof, or with any person, firm, association, cor-
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1 poration, or educational institution, on such terms and

2 conditions as the Administrator may consider appropriate.

3 The authority of the Administrator to enter into contracts

4 and leases under this section shall be to such extent or

5 in such amounts as are provided in appropriation Acts.

6 SEC. 13. BUDGET.

7 Each year the Administrator shall prepare a budget

8 for the Administration, which shall contain estimates of

9 the financial condition and operations of the Administra10 tion for the current and ensuing 4 fiscal years, and the

11 actual condition and results of operations for the last com12 pleted fiscal year. Such budget shall be submitted to the

13 Office of Management and Budget, under such rules and

14 regulations as the President may establish as to the date

15 of submission, the form and content, the classification of

16 data, and the manner in which such reports shall be pre17 pared and presented. The budget submission shall include

18 a statement of income and expenses and analysis of the

19 surplus or deficit in the Airport and Airway Trust Fund,

20 and any other such supplementary information as is nec21 essary or desirable to make known about the financial con22 dition and operations of the Administration. The annual

23 budget shall be included in the budget submitted by the

24 President pursuant to chapter 11 of title 31, United

25 States Code.
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1 SEC. 14. USE OF FACILITIES.

2 With their consent, the Administrator may, with or

3 without reimbursement, use the services, equipment, per4 sonnel, and facilities of Federal agencies and other public

5 and private agencies and may cooperate with other public

6 and private agencies and instrumentalities in the use of

7 services, equipment, personnel, and facilities. The head of

8 each Federal agency shall cooperate with the Adminis9 trator in making the services, equipment, personnel, and

10 facilities of the Federal agency available to the Adminis11 trator. The head of a Federal agency is authorized, not12 withstanding any other provision of law, to transfer to or

13 to receive from the Administration, without reimburse14 ment, supplies and equipment other than administrative

15 supplies or equipment.

16 SEC. 15. ACQUISITION AND MAINTENANCE OF PROPERTY.

17 (a) ACQUISITION.—The Administrator is author18 ized—

19 (1) to acquire (by purchase, lease, condemna20 tion, or otherwise), construct, improve, repair, oper21 ate, and maintain—

22 (A) air traffic control facilities and equip23 ment;

24 (B) research and testing sites and facili25 ties; and
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1 (C) such other real and personal property

2 (including office space and patents), or any in3 terest therein, within and outside the continen4 tal United States as the Administrator consid5 ers necessary;

6 (2) to lease to others such real and personal

7 property; and

8 (3) to provide by contract or otherwise for eat9 ing facilities and other necessary facilities for the

10 welfare of employees of the Administration at its in11 stallations and to purchase and maintain equipment

12 for such facilities.

13 (b) TITLE.—Title to any property or interest therein

14 acquired pursuant to this section shall be in the United

15 States.

16 SEC. 16. MANAGEMENT ADVISORY COMMITTEE.

17 (a) ESTABLISHMENT.—There is established an advi18 sory committee which shall be known as the Federal Avia19 tion Management Advisory Committee (hereinafter in this

20 section referred to as the ‘‘Management Advisory Commit21 tee’’).

22 (b) MEMBERSHIP.—The Management Advisory Com23 mittee shall consist of 11 members, who shall consist of—
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1 (1) the Secretary of Transportation or the des2 ignee of the Secretary (who shall serve as Chair3 man);

4 (2) the Secretary of Defense or the designee of

5 the Secretary;

6 (3) 5 members appointed by the President;

7 (4) 2 members, 1 appointed by the majority

8 leader of the Senate and the other appointed by the

9 minority leader of the Senate; and

10 (5) 2 members, 1 appointed by the Speaker of

11 the House of Representatives and the other ap12 pointed by the minority leader of the House of Rep13 resentatives.

14 (c) FUNCTIONS.—The Management Advisory Com15 mittee shall provide advice and counsel to the Adminis16 trator on issues which affect or are affected by the oper17 ations of the Administrator. The Management Advisory

18 Committee shall hold quarterly meetings. The Administra19 tion shall give the Management Advisory Committee ac20 cess to internal documents and personnel of the Adminis21 tration. The Management Advisory Committee shall func22 tion as an oversight resource for management, policy,

23 spending, and regulatory matters under the jurisdiction

24 of the Administration.
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1 (d) QUALIFICATIONS.—Members appointed to the

2 Management Advisory Committee under this section shall

3 be selected from among individuals who are experts in dis4 ciplines relevant to the aviation industry and who are able

5 collectively to represent a balanced view of the issues im6 portant to airlines, general aviation, business aviation, air7 ports, shippers, industry and Administration employees,

8 aircraft manufacturers, and the traveling public.

9 (e) TERMS OF MEMBERS.—Members of the Manage10 ment Advisory Committee appointed under subsection

11 (b)(3) shall be appointed for a term of 3 years, except

12 that the initial appointment of such members shall be for

13 1, 2, and 3 years so that their terms as members will be

14 staggered. Members of the Management Advisory Com15 mittee appointed under subsections (b)(4) and (b)(5) shall

16 be appointed for a term of 2 years.

17 (f) TRAVEL AND PER DIEM.—Each member of the

18 Management Advisory Committee shall be paid actual

19 travel expenses, and per diem in lieu of subsistence ex20 penses when away from his or her usual place of residence,

21 in accordance with section 5703 of title 5, United States

22 Code.

23 (g) DETAIL OF PERSONNEL FROM FAA.—The Ad24 ministrator shall make available to the Management Advi25 sory Committee such staff, information, and administra-
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1 tive services and assistance as may reasonably be required

2 to enable the Management Advisory Committee to carry

3 out its responsibilities under this section.

4 (h) APPLICABILITY OF FEDERAL ADVISORY COMMIT5 TEE ACT.—The Management Advisory Committee shall be

6 subject to the Federal Advisory Committee Act (5 U.S.C.

7 App.).

8 SEC. 17. SELECT PANEL TO REVIEW INNOVATIVE FUNDING

9 MECHANISMS.

10 (a) ESTABLISHMENT.—The Administrator shall es11 tablish a select panel to review and report to Congress re12 garding innovative financing mechanisms for ensuring

13 adequate funding for existing and future aviation infra14 structure needs. The financing mechanisms to be reviewed

15 shall include, but not be limited to, loan guarantees, finan16 cial partnerships with for-profit private sector entities,

17 multi-year appropriations, revolving loan funds, manda18 tory spending authority, authority to borrow, and restruc19 tured grant programs.

20 (b) APPOINTMENT OF MEMBERS.—Not later than 90

21 days after the date of the appointment of the Adminis22 trator, the Administrator shall appoint members to the

23 panel established under this section. Such members shall

24 consist of appropriate Federal Government officials and

25 representatives of the aviation industry, Administration
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1 employees, the financial community, and State and local

2 governments.

3 (c) TRAVEL AND PER DIEM.—Each member of the

4 panel established under this section shall be paid actual

5 travel expenses, and per diem in lieu of subsistence ex6 penses when away from his or her usual place of residence,

7 in accordance with section 5703 of title 5, United States

8 Code.

9 (d) APPLICABILITY OF FEDERAL ADVISORY COMMIT10 TEES ACT.—The select panel established under this sec11 tion shall be subject to the Federal Advisory Committee

12 Act (5 U.S.C. App.).

13 (e) REPORT.—Not later than 1 year after the date

14 of the appointment of the last member to the panel under

15 subsection (b), the panel shall submit to Congress and the

16 Administration a report on the results of the review con17 ducted under this section.

18 SEC. 18. TRANSFERS OF FUNDS FROM OTHER FEDERAL

19 AGENCIES.

20 The Administrator is authorized to accept transfers

21 from other Federal agencies to funds which are available

22 to carry out functions transferred by this Act to the Ad23 ministrator or functions assigned by law to the Adminis24 trator on or after the date of the enactment of this Act.
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1 SEC. 19. SEAL OF ADMINISTRATION.

2 The Administrator shall cause a seal of office to be

3 made for the Administration of such design as the Admin4 istrator shall approve. Judicial notice shall be taken of

5 such seal.

6 SEC. 20. STATUS OF ADMINISTRATION UNDER CERTAIN

7 LAWS.

8 For purposes of section 551(1) of title 5, United

9 States Code, the Administration is an agency. For pur10 poses of chapter 9 of such title, the Administration is an

11 independent regulatory agency.

12 SEC. 21. SAVINGS PROVISIONS.

13 (a) ORDERS, REGULATIONS, CONTRACTS, AND CER14 TIFICATES.—All orders, determinations, rules, regula15 tions, permits, contracts, certificates, licenses, and privi16 leges—

17 (1) which have been issued, made, granted, or

18 allowed to become effective by the President or any

19 Federal department or agency or official thereof or

20 by a court of competent jurisdiction, on or after the

21 date of the enactment of this Act, in regard to func22 tions which are transferred under this Act to the

23 Administration, and

24 (2) which are in effect at the time of the effec25 tive date of this Act,
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1 shall continue in effect according to their terms until

2 modified, terminated, superseded, set aside, or revoked in

3 accordance with law by the President, the Administrator,

4 or other authorized officials, by a court of competent juris5 diction, or by operation of law.

6 (b) PROCEEDINGS AND APPLICATIONS.—The provi7 sions of this Act shall not affect any proceedings or any

8 application for any license, permit, certificate, or financial

9 assistance pending at the time of the effective date of this

10 Act; and such proceedings and applications, to the extent

11 that they relate to functions so transferred, shall be con12 tinued. Orders shall be issued in such proceedings, appeals

13 shall be taken therefrom, and payments shall be made pur14 suant to such orders, as if this Act had not been enacted;

15 and orders issued in any such proceedings shall continue

16 in effect until modified, terminated, superseded, or re17 voked by a duly authorized official, by a court of com18 petent jurisdiction, or by operation of law. Nothing in this

19 subsection shall be deemed to prohibit the discontinuance

20 or modification of any such proceeding under the same

21 terms and conditions and to the extent that such proceed22 ing could have been discontinued or modified if this Act

23 had not been enacted.
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1 (c) SUITS.—(1) The provisions of this Act shall not

2 affect suits commenced prior to the effective date of this

3 Act.

4 (2) In all such suits, proceedings shall be had, ap5 peals taken, and judgments rendered in the same manner

6 and effect as if this Act had not been enacted.

7 (d) OFFICERS.—In any case involving one or more

8 officers required by this Act to be appointed by and with

9 the advice and consent of the Senate who shall not have

10 entered upon office on the effective date of this Act, the

11 President may designate any officer whose appointment

12 was required to be made by and with the advice and con13 sent of the Senate and who was such an officer imme14 diately prior to the effective date of this Act, to act in

15 such office until the office is filled as provided in this Act.

16 While so acting, any such person shall receive compensa17 tion at the rates provided by this Act of the respective

18 office in which he or she acts.

19 SEC. 22. LAWS AND REGULATIONS.

20 Except to the extent otherwise provided in this Act,

21 all laws, rules, and regulations in effect and applicable to

22 the Federal Aviation Administration of the Department

23 of Transportation and to the Administrator of such Ad24 ministration on the date immediately preceding the effec25 tive date of this Act shall, on and after such effective date,
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1 be applicable to the Federal Aviation Administration and

2 the Administrator established by this Act, until such law,

3 rule, or regulation is repealed or otherwise modified or

4 amended.

5 SEC. 23. PILOT PROGRAM FOR PROCUREMENT REFORM.

6 (a) PILOT PROGRAM.—The Administrator shall con7 duct a pilot program under which a trial acquisition man8 agement system is used to procure goods and services by

9 the Administration.

10 (b) EXEMPTION FROM PROCUREMENT LAWS.—(1)

11 The following laws and regulations shall not apply to the

12 trial acquisition management system used under the pilot

13 program:

14 (A) Title III of the Federal Property and Ad15 ministrative Services Act of 1949 (41 U.S.C. 251–

16 266).

17 (B) The Office of Federal Procurement Policy

18 Act (41 U.S.C. 401 et seq.).

19 (C) The Federal Acquisition Streamlining Act

20 of 1994 (Public Law 103–355).

21 (D) The Brooks Automatic Data Processing

22 Act (40 U.S.C. 759).

23 (E) The Federal Acquisition Regulation and

24 any laws not listed in subparagraphs (A) through
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1 (D) providing authority to promulgate regulations in

2 the Federal Acquisition Regulation.

3 (2) The exemption from procurement laws provided

4 by paragraph (1) shall not take effect until the expiration

5 of the 90-day period referred to in subsection (d)(2).

6 (c) DEVELOPMENT OF TRIAL ACQUISITION MANAGE7 MENT SYSTEM.—Not later than 2 years after the effective

8 date of this Act, the Administrator shall develop a trial

9 acquisition management system for use in the pilot pro10 gram under subsection (a). In developing the trial system,

11 the Administrator shall ensure that the benefits of com12 petition, efficient management, and oversight of the acqui13 sition process are attained.

14 (d) NOTICE TO CONGRESS.—(1) Upon completion of

15 the development of the trial acquisition management sys16 tem, the Administrator shall submit a comprehensive plan

17 describing the trial acquisition management system to

18 Congress, along with all existing or proposed rules or regu19 lations relevant to the system.

20 (2) The Administrator may begin to implement the

21 trial acquisition management system only after the expira22 tion of the 90-day period that begins on the date on which

23 the plan is submitted to Congress under paragraph (1).

24 (e) TERMINATION.—Effective October 1, 2002, au25 thority for the trial acquisition management system under
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1 this section shall terminate, and acquisitions of the Ad2 ministration shall become subject to all otherwise applica3 ble acquisition laws and regulations.

4 SEC. 24. PILOT PROGRAM FOR PERSONNEL MANAGEMENT

5 REFORM.

6 (a) PILOT PROGRAM.—The Administrator shall con7 duct a pilot program under which a trial personnel man8 agement system is used for the management, compensa9 tion, and advancement of Administration employees.

10 (b) EXEMPTION FROM CERTAIN PROVISIONS OF

11 TITLE 5, UNITED STATES CODE.—(1) Except as other12 wise provided in this section, under the pilot program, the

13 Administration shall be exempt from parts II and III of

14 title 5, United States Code.

15 (2) Such exemption shall not take effect until the ex16 piration of the later of the periods referred to in subsection

17 (d)(2).

18 (c) DEVELOPMENT OF TRIAL PERSONNEL MANAGE19 MENT SYSTEM.—Not later than 2 years after the effective

20 date of this Act, the Administrator shall develop a trial

21 personnel management system for use in the pilot program

22 under subsection (a). In developing the trial system, the

23 Administrator shall ensure that the benefits of a merit24 based system are preserved and that the trial system pro25 vides for training of employees, as well as an adverse ac-
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1 tion procedure in cases where performance is unaccept2 able.

3 (d) NOTICE TO CONGRESS.—(1) Upon completion of

4 the development of the trial personnel management sys5 tem, the Administrator shall submit a comprehensive plan

6 describing the trial personnel management system to Con7 gress, along with all existing or proposed rules or regula8 tions relevant to the system.

9 (2) The Administrator may begin to implement the

10 trial personnel management system only after—

11 (A) the expiration of the 90-day period that be12 gins on the date on which the plan is submitted to

13 Congress under paragraph (1); or

14 (B) the expiration of the 2-year period begin15 ning on the effective date of this Act;

16 whichever is later.

17 (e) EMPLOYEE RIGHTS AND BENEFITS.—The enact18 ment of this section shall not result in the exemption of

19 employees of the Administration from any of the following

20 provisions of title 5, United States Code:

21 (1) Chapter 63 (relating to leave).

22 (2) Chapter 71 (relating to labor-management

23 relations).

24 (3) Chapter 73 (relating to suitability, security,

25 and conduct).
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1 (4) Chapter 81 (relating to compensation for

2 work injuries).

3 (5) Chapter 83 (relating to retirement).

4 (6) Chapter 84 (relating to the Federal Em5 ployees’ Retirement System).

6 (7) Chapter 87 (relating to life insurance).

7 (8) Chapter 89 (relating to health insurance).

8 (f) EMPLOYEE PROTECTIONS.—Employment rights,

9 wages, and benefits of employees of the Administration

10 shall not be adversely affected, except for unacceptable

11 performance or by reason of a reduction in force or reorga12 nization, during the period commencing on the effective

13 date of this Act and ending on the date determined under

14 subsection (b)(2).

15 (g) COLLECTIVE-BARGAINING AGREEMENTS.—All

16 collective-bargaining agreements covering employees of the

17 Administration that are in effect on the effective date of

18 this Act shall remain in effect until their normal expiration

19 date, unless the Administrator and the exclusive bargain20 ing representative agree to the contrary.

21 (h) TERMINATION.—Effective October 1, 2002, au22 thority for the trial personnel management system under

23 this section shall terminate, and employees of the Admin24 istration shall become subject to all provisions of parts II

25 and III of title 5, United States Code.
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1 SEC. 25. EVALUATION AND REPORT ON PILOT PROGRAMS.

2 Not later than 120 days before the termination of au3 thority for the trial acquisition and personnel management

4 systems authorized under sections 23 and 24 of this Act,

5 the Management Advisory Panel shall prepare and submit

6 to the Administrator and to Congress a report evaluating

7 the results of the pilot programs in acquisition and person8 nel reform. The report shall fully discuss those elements

9 of the programs that the Panel judges to be effective and

10 those that were not successful, and the report shall make

11 recommendations with respect to extending, modifying, or

12 terminating the acquisition and personnel management

13 systems established under the pilot programs.

14 SEC. 26. AMENDMENT TO INSPECTOR GENERAL ACT OF

15 1978.

16 Section 11 of the Inspector General Act of 1978 (5

17 U.S.C. App.) is amended—

18 (1) in paragraph (1) by striking ‘‘or Small

19 Business,’’ and inserting ‘‘Small Business, Federal

20 Aviation Administration,’’; and

21 (2) in paragraph (2) by inserting ‘‘the Federal

22 Aviation Administration,’’ after ‘‘United States In23 formation Agency,’’.
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1 SEC. 27. AMENDMENTS TO EXECUTIVE SCHEDULE.

2 (a) ADMINISTRATOR.—Section 5313 of title 5, United

3 States Code, is amended by adding at the end the follow4 ing:

5 ‘‘Administrator, Federal Aviation Adminis6 tration.’’.

7 (b) DEPUTY ADMINISTRATOR.—Section 5314 of title

8 5, United States Code, is amended by striking ‘‘Adminis9 trator, Federal Aviation Administration.’’ and inserting

10 the following:

11 ‘‘Deputy Administrator, Federal Aviation Ad12 ministration.’’.

13 (c) ASSISTANT ADMINISTRATORS; CHIEF COUN14 SEL.—Section 5315 of title 5, United States Code, is

15 amended by striking ‘‘Deputy Administrator, Federal

16 Aviation Administration.’’ and inserting the following:

17 ‘‘Assistant Administrators, Federal Aviation

18 Administration (8).

19 ‘‘Chief Counsel, Federal Aviation Administra20 tion.’’.

21 (d) INSPECTOR GENERAL.—Section 5316 of title 5,

22 United States Code, is amended by adding at the end of

23 the following:

24 ‘‘Inspector General, Federal Aviation Adminis25 tration.’’.
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1 SEC. 28. EFFECTIVE DATE.

2 The provisions of this Act shall take effect upon the

3 expiration of the 180-day period following the date of the

4 enactment of this Act.

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