H. R. 2115—25
buildings or property previously purchased by the airport as part
of a noise compatibility program’’.
SEC. 165. HANGAR CONSTRUCTION GRANT ASSURANCE.
Section 47107(a) is amended—
(1) by striking ‘‘and’’ at the end of paragraph (19);
(2) by striking the period at the end of paragraph (20)
and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(21) if the airport owner or operator and a person who
owns an aircraft agree that a hangar is to be constructed
at the airport for the aircraft at the aircraft owner’s expense,
the airport owner or operator will grant to the aircraft owner
for the hangar a long-term lease that is subject to such terms
and conditions on the hangar as the airport owner or operator
may impose.’’.
SEC. 166. TERMINAL DEVELOPMENT COSTS.
Section 47119(a) is amended to read as follows:
‘‘(a) REPAYING BORROWED MONEY.—
‘‘(1) TERMINAL DEVELOPMENT COSTS INCURRED AFTER JUNE
30, 1970, AND BEFORE JULY 12, 1976.—An amount apportioned
under section 47114 and made available to the sponsor of
a commercial service airport at which terminal development
was carried out after June 30, 1970, and before July 12, 1976,
is available to repay immediately money borrowed and used
to pay the costs for such terminal development if those costs
would be allowable project costs under section 47110(d) if they
had been incurred after September 3, 1982.
‘‘(2) TERMINAL
DEVELOPMENT
COSTS
INCURRED
BETWEEN
JANUARY 1, 1992, AND OCTOBER 31, 1992.—An amount appor-
tioned under section 47114 and made available to the sponsor
of a nonhub airport at which terminal development was carried
out between January 1, 1992, and October 31, 1992, is available
to repay immediately money borrowed and to pay the costs
for such terminal development if those costs would be allowable
project costs under section 47110(d).
‘‘(3) TERMINAL
DEVELOPMENT
COSTS
AT
PRIMARY
AIR-
PORTS.—An amount apportioned under section 47114 or avail-
able under subsection (b)(3) to a primary airport—
‘‘(A) that was a nonhub airport in the most recent
year used to calculate apportionments under section 47114;
‘‘(B) that is a designated airport under section 47118
in fiscal year 2003; and
‘‘(C) at which terminal development is carried out
between January 2003 and August 2004,
is available to repay immediately money borrowed and used
to pay the costs for such terminal development if those costs
would be allowable project costs under section 47110(d).
‘‘(4) CONDITIONS FOR GRANT.—An amount is available for
a grant under this subsection only if—
‘‘(A) the sponsor submits the certification required
under section 47110(d);
‘‘(B) the Secretary of Transportation decides that using
the amount to repay the borrowed money will not defer
an airport development project outside the terminal area
at that airport; and
H. R. 2115—26
‘‘(C) amounts available for airport development under
this subchapter will not be used for additional terminal
development projects at the airport for at least 1 year
beginning on the date the grant is used to repay the bor-
rowed money.
‘‘(5) APPLICABILITY
OF
CERTAIN
LIMITATIONS.—A grant
under this subsection shall be subject to the limitations in
subsection (b)(1) and (2).’’.
Subtitle D—Miscellaneous
SEC. 181. DESIGN-BUILD CONTRACTING.
(a) IN GENERAL.—Subchapter I of chapter 471 is further
amended by adding at the end the following:
‘‘§ 47142. Design-build contracting
‘‘(a) IN GENERAL.—The Administrator of the Federal Aviation
Administration may approve an application of an airport sponsor
under this section to authorize the airport sponsor to award a
design-build contract using a selection process permitted under
applicable State or local law if—
‘‘(1) the Administrator approves the application using cri-
teria established by the Administrator;
‘‘(2) the design-build contract is in a form that is approved
by the Administrator;
‘‘(3) the Administrator is satisfied that the contract will
be executed pursuant to competitive procedures and contains
a schematic design adequate for the Administrator to approve
the grant;
‘‘(4) use of a design-build contract will be cost effective
and expedite the project;
‘‘(5) the Administrator is satisfied that there will be no
conflict of interest; and
‘‘(6) the Administrator is satisfied that the selection process
will be as open, fair, and objective as the competitive bid
system and that at least 3 or more bids will be submitted
for each project under the selection process.
‘‘(b) REIMBURSEMENT
OF
COSTS.—The Administrator may
reimburse an airport sponsor for design and construction costs
incurred before a grant is made pursuant to this section if the
project is approved by the Administrator in advance and is carried
out in accordance with all administrative and statutory require-
ments that would have been applicable under this chapter if the
project were carried out after a grant agreement had been executed.
‘‘(c) DESIGN-BUILD CONTRACT DEFINED.—In this section, the
term ‘design-build contract’ means an agreement that provides for
both design and construction of a project by a contractor.’’.
(b) CONFORMING AMENDMENT.—The analysis for chapter 471
is further amended by inserting after the item relating to section
47141 the following:
‘‘47142. Design-build contracting.’’.
SEC. 182. PILOT PROGRAM FOR INNOVATIVE FINANCING OF AIR
TRAFFIC CONTROL EQUIPMENT.
(a) IN GENERAL.—In order to test the cost effectiveness and
feasibility of long-term financing of modernization of major air
H. R. 2115—27
traffic control systems, the Administrator of the Federal Aviation
Administration may establish a pilot program to test innovative
financing techniques through amending, subject to section 1341
of title 31, United States Code, a contract for more than one,
but not more than 20, fiscal years to purchase and install air
traffic control equipment for the Administration. Such amendments
may be for more than one, but not more than 10, fiscal years.
(b) CANCELLATION.—A contract described in subsection (a) may
include a cancellation provision if the Administrator determines
that such a provision is necessary and in the best interest of
the United States. Any such provision shall include a cancellation
liability schedule that covers reasonable and allocable costs incurred
by the contractor through the date of cancellation plus reasonable
profit, if any, on those costs. Any such provision shall not apply
if the contract is terminated by default of the contractor.
(c) CONTRACT PROVISIONS.—If feasible and practicable for the
pilot program, the Administrator may make an advance contract
provision to achieve economic-lot purchases and more efficient
production rates.
(d) LIMITATION.—The Administrator may not amend a contract
under this section until the program for the terminal automation
replacement systems has been rebaselined in accordance with the
acquisition management system of the Administration.
(e) ANNUAL REPORTS.—At the end of each fiscal year during
the term of the pilot program, the Administrator shall transmit
to the Committee on Commerce, Science, and Transportation of
the Senate and the Committee on Transportation and Infrastructure
of the House of Representatives a report on how the Administrator
has implemented in such fiscal year the pilot program, the number
and types of contracts or contract amendments that are entered
into under the program, and the program’s cost effectiveness.
(f) FUNDING.—Out of amounts appropriated under section 48101
for fiscal year 2004, such sums as may be necessary shall be
available to carry out this section.
SEC. 183. COST SHARING OF AIR TRAFFIC MODERNIZATION PROJECTS.
(a) IN GENERAL.—Chapter 445 is amended by adding at the
end the following:
‘‘§ 44517. Program to permit cost sharing of air traffic mod-
ernization projects
‘‘(a) IN GENERAL.—Subject to the requirements of this section,
the Secretary may carry out a program under which the Secretary
may make grants to project sponsors for not more than 10 eligible
projects per fiscal year for the purpose of improving aviation safety
and enhancing mobility of the Nation’s air transportation system
by encouraging non-Federal investment in critical air traffic control
equipment and software.
‘‘(b) FEDERAL SHARE.—The Federal share of the cost of an
eligible project carried out under the program shall not exceed
33 percent. The non-Federal share of the cost of an eligible project
shall be provided from non-Federal sources, including revenues
collected pursuant to section 40117.
‘‘(c) LIMITATION ON GRANT AMOUNTS.—No eligible project may
receive more than $5,000,000 in Federal funds under the program.
‘‘(d) FUNDING.—The Secretary shall use amounts appropriated
under section 48101(a) to carry out the program.
H. R. 2115—28
‘‘(e) DEFINITIONS.—In this section, the following definitions
apply:
‘‘(1) ELIGIBLE PROJECT.—The term ‘eligible project’ means
a project to purchase equipment or software relating to the
Nation’s air traffic control system that is certified or approved
by the Administrator of the Federal Aviation Administration
and that promotes safety, efficiency, or mobility. Such projects
may include—
‘‘(A) airport-specific air traffic facilities and equipment,
including local area augmentation systems, instrument
landing systems, weather and wind shear detection equip-
ment, and lighting improvements;
‘‘(B) automation tools to effect improvements in airport
capacity, including passive final approach spacing tools
and traffic management advisory equipment; and
‘‘(C) equipment and software that enhance airspace
control procedures or assist in en route surveillance,
including oceanic and offshore flight tracking.
‘‘(2) PROJECT SPONSOR.—The term ‘project sponsor’ means
any major user of the national airspace system, as determined
by the Secretary, including a public-use airport or a joint ven-
ture between a public-use airport and one or more air carriers.
‘‘(f) TRANSFERS
OF EQUIPMENT.—Notwithstanding any other
provision of law, and upon agreement by the Administrator, a
project sponsor may transfer, without consideration, to the Federal
Aviation Administration, facilities, equipment, or automation tools,
the purchase of which was assisted by a grant made under this
section, if such facilities, equipment or tools meet Federal Aviation
Administration operation and maintenance criteria.
‘‘(g) GUIDELINES.—The Administrator shall issue advisory
guidelines on the implementation of the program. The guidelines
shall not be subject to administrative rulemaking requirements
under subchapter II of chapter 5 of title 5.’’.
(b) CONFORMING AMENDMENT.—The analysis for chapter 445
is amended by adding at the end the following:
‘‘44517. Program to permit cost sharing of air traffic modernization projects.’’.
SEC. 184. FACILITIES AND EQUIPMENT REPORTS.
(a) BIANNUAL REPORTS.—Beginning 180 days after the date
of enactment of this Act, the Administrator of the Federal Aviation
Administration shall transmit a report to the Senate Committee
on Commerce, Science, and Transportation and the House of Rep-
resentatives Committee on Transportation and Infrastructure every
6 months that describes—
(1) the 10 largest programs funded under section 48101(a)
of title 49, United States Code;
(2) any changes in the budget for such programs;
(3) the program schedule; and
(4) technical risks associated with the programs.
(b) SUNSET PROVISION.—This section shall cease to be effective
beginning on the date that is 4 years after the date of enactment
of this Act.
SEC. 185. CIVIL PENALTY FOR PERMANENT CLOSURE OF AN AIRPORT
WITHOUT PROVIDING SUFFICIENT NOTICE.
(a) IN GENERAL.—Chapter 463 is amended by adding at the
end the following: