established under this section. Such members shall consist
of appropriate Federal Government officials and represent-
atives of the aviation industry, Administration employees,
the financial community, and State and local governments.
(c) TRAVEL AND PER DIEM.—Each member of the
panel established under this section shall be paid actual
travel expenses, and per diem in lieu of subsistence expenses
when away from his or her usual place of residence, in ac-
cordance with section 5703 of title 5, United States Code.
(d) APPLICABILITY OF FEDERAL ADVISORY COMMIT-
TEES ACT.—The select panel established under this section
shall be subject to the Federal Advisory Committee Act (5
U.S.C. App.).
(e) REPORT.—Not later than 1 year after the date of
the appointment of the last member to the panel under sub-
section (b), the panel shall submit to Congress and the Fed-
eral Aviation Administration a report on the results of the
review conducted under this section.
SEC. 10. TRANSFER OF PERSONNEL, PROPERTY, RECORDS,
AND FUNDS.
So much of the personnel, property, records, funds, ac-
counts, and unexpended balances of appropriations, alloca-
tions, and other funds of the Department of Transportation
and the Federal Aviation Administration as are employed,
used, held, available, or to be made available, in connection
with the functions which under this Act (including the
amendments made by this Act) are made functions of the
Federal Aviation Administration established by section
1311 of title 49, United States Code, are transferred to the
Federal Aviation Administration.
SEC. 11. SAVINGS PROVISIONS.
(a) ORDERS, REGULATIONS, CONTRACTS, AND CER-
TIFICATES.—All orders, determinations, rules, regulations,
permits, contracts, certificates, licenses, and privileges—
(1) which have been issued, made, granted, or al-
lowed to become effective by the President or any Fed-
eral department or agency or official thereof or by a
court of competent jurisdiction, on or after the effec-
tive date of this section in regard to functions which
under this Act (including the amendments made by
this Act) are made functions of the Federal Aviation
Administration established by section 1311 of title 49,
United States Code; and
(2) which are in effect on the effective date of
this section,
shall continue in effect according to their terms until modi-
fied, terminated, superseded, set aside, or revoked in accord-
ance with law by the President, the Federal Aviation Board,
or other authorized officials, by a court of competent juris-
diction, or by operation of law.
(b) PROCEEDINGS
AND APPLICATIONS.—The provi-
sions of this Act (including the amendments made by this
Act) shall not affect any proceedings or any application
for any license, permit, certificate, or financial assistance
pending on the effective date of this section, and such pro-
ceedings and applications, to the extent that they relate to
functions under this Act that are made functions of the Ad-
ministration, shall be continued. Orders shall be issued in
such proceedings, appeals shall be taken therefrom, and
payments shall be made pursuant to such orders, as if this
Act had not been enacted; and orders issued in any such
proceedings shall continue in effect until modified, termi-
nated, superseded, or revoked by a duly authorized official,
by a court of competent jurisdiction, or by operation of law.
Nothing in this subsection shall be deemed to prohibit the
discontinuance or modification of any such proceeding
under the same terms and conditions and to the extent that
such proceeding could have been discontinued or modified
if this Act had not been enacted.
(c) SUITS.—
(1) EFFECT ON PENDING SUITS.—The provisions
of this Act (including the amendments made by this
Act) shall not affect suits commenced prior to the ef-
fective date of this section.
(2) PROCEDURES.—In all suits commenced prior
to the effective date of this section, proceedings shall
be had, appeals taken, and judgments rendered in the
same manner and effect as if this Act had not been
enacted.
(d) ADMINISTRATOR.—If the Chief Executive Officer of
the Federal Aviation Administration is not appointed by
the Federal Aviation Board on the effective date of this sec-
tion, the person serving as the Administrator of the Federal
Aviation Administration on the day before such effective
date shall act as the Chief Executive Officer until the Chief
Executive Officer is appointed as provided in section 1313
of title 49, United States Code. While so acting, such person
shall receive compensation at the rate such person was re-
ceiving on the day before such effective date.
(e) AGREEMENTS WITH DEPARTMENT OF DEFENSE.—
Any agreement between the Federal Aviation Administra-
tion and the Department of Defense in effect on the day
before the date of the enactment of this Act shall remain
in effect until terminated in accordance with the terms of
such agreement.
SEC. 12. LAWS AND REGULATIONS.
Except to the extent otherwise provided in this Act (in-
cluding the amendments made by this Act), all laws, rules,
regulations, and executive orders in effect and applicable
to the Federal Aviation Administration of the Department
of Transportation and to the Administrator of such Admin-
istration on the day before the effective date of this Act shall,
on and after such effective date, be applicable to the Federal
Aviation Administration and the Federal Aviation Board
established by this Act (including the amendments made by
this Act), until such law, rule, regulation, or executive order
is repealed or otherwise modified or amended.
SEC. 13. TERMINATION OF FAA OF DOT.
The Federal Aviation Administration of the Depart-
ment of Transportation is terminated.
SEC. 14. CORRESPONDING REDUCTIONS IN OFFICE OF SEC-
RETARY.
The Secretary of Transportation shall terminate 200
employee positions in the Office of the Secretary to reflect
reductions in the aviation responsibilities in the Office of
the Secretary by enactment of this Act.
SEC. 15. CONFORMING AMENDMENTS.
(a) FEDERAL AVIATION ADMINISTRATION IN DOT.—
(1) IN GENERAL.—Subject to paragraph (2), sub-
sections (a) through (j) of section 106 are repealed.
(2) TECHNICAL ADJUSTMENTS.—
(A) IN GENERAL.—Subchapter II of chapter
13 (as inserted by section 3 of this Act) is
amended—
(i) by adding at the end the following
new section heading:
‘‘§ 1317. Civil Aeromedical Institute’’; and
(ii) by inserting the text of section
106(j) as an undesignated paragraph under
such section heading.
(B) CHAPTER ANALYSIS AMENDMENT.—The
analysis for such chapter is amended by adding
after the item relating to section 1316 the follow-
ing:
‘‘1317. Civil Aeromedical Institute.’’.
(3) AUTHORIZATION
OF
APPROPRIATIONS
FOR
FAA OPERATIONS.—
(A) FISCAL YEAR 1996.—Section 106(k) is
amended by—
(i) striking ‘‘(k) AUTHORIZATION
OF
APPROPRIATIONS
FOR
OPERATIONS.—’’;
and
(ii) by striking ‘‘Secretary of Trans-
portation’’ and inserting ‘‘Federal Aviation
Administration’’.
(B) CONFORMING
AMENDMENT.—Effective
September 30, 1996, section 106, as amended by
this subsection, and the item relating to section
106 in the analysis for chapter 1 are repealed.
(b) GENERAL DUTIES AND POWERS OF THE DEPART-
MENT OF TRANSPORTATION.—
(1) LEADERSHIP, CONSULTATION, AND COOPERA-
TION.—Section 301(6) is amended by striking ‘‘, with
particular attention to aircraft noise, and including’’
and inserting ‘‘and’’.
(2) POLICY ON LANDS, WILDLIFE AND WATER-
FOWL REFUGES, AND HISTORIC SITES.—Section 303
is amended—
(A) in subsection (b) by inserting ‘‘and the
Federal Aviation Administration’’ after ‘‘of
Transportation’’; and
(B) in subsection (c) by inserting ‘‘and Ad-
ministration’’ after ‘‘Secretary’’.
(3) REPORTS.—Section 308(b) is amended—
(A) by striking ‘‘Secretary’’ the 1st place it
appears 
and 
inserting 
‘‘Federal 
Aviation
Board’’;
(B) by striking ‘‘Department’’ and inserting
‘‘Federal Aviation Administration’’; and
(C) by striking ‘‘Secretary’’ the 2nd and
3rd places it appears and inserting ‘‘Board’’.
(4) MEMBERS OF THE ARMED FORCES.—Section
324 is amended—
(A) by striking subsection (a) and inserting
the following:
‘‘(a) IN GENERAL.—
‘‘(1) FAA.—The Federal Aviation Administra-
tion, to ensure that national defense interests are safe-
guarded properly and that the Administration is ad-
vised properly about the needs and special problems
of the armed forces, shall provide for participation of
members of the armed forces in carrying out the du-
ties and powers of the Administration related to the
regulation and protection of air traffic, including
providing for, and research and development of, air
navigation facilities, and the allocation of airspace.
‘‘(2) SECRETARY
OF
TRANSPORTATION.—The
Secretary of Transportation may provide for partici-
pation of members of the armed forces in carrying out
other duties and powers of the Secretary.’’; and
(B) in subsection (d) by inserting after
‘‘Transportation’’ each place it appears the fol-
lowing: ‘‘or Federal Aviation Administration’’.
(5) 
JUDICIAL
REVIEW.—Section 
351(a) 
is
amended—
(A) by striking ‘‘An’’ and inserting ‘‘Subject
to section 1335, an’’; and
(B) by striking ‘‘, the Federal Highway Ad-
ministration, or the Federal Aviation Adminis-
tration’’ and inserting ‘‘or the Federal Highway
Administration’’.
(6) AUTHORITY TO CARRY OUT CERTAIN TRANS-
FERRED
DUTIES
AND
POWERS.—Section 352 is
amended by striking ‘‘, the Federal Highway Admin-
istration, and the Federal Aviation Administration’’
and inserting ‘‘and the Federal Highway Administra-
tion’’.
(7) TOXICOLOGICAL TESTING.—Section 353(a) is
amended—
(A) by inserting before ‘‘conducts’’ the fol-
lowing: ‘‘or the Federal Aviation Administra-
tion’’;
(B) by inserting after ‘‘Department’’ the
second place it appears ‘‘or Administration’’;
and
(C) by inserting before ‘‘shall’’ each place it
appears ‘‘or Chief Executive Officer of the Ad-
ministration’’.
(c) FUNCTIONS OF FAA.—
(1) 
NATIONAL
TRANSPORTATION
SAFETY
BOARD.—
(A) DISCLOSURE OF DRUG TEST INFORMA-
TION TO NTSB.—Section 1114(d)(1) is amend-
ed—
(i) by inserting before ‘‘shall’’ the fol-
lowing: ‘‘and the Federal Aviation Adminis-
tration’’;
(ii) in subparagraph (A) by inserting
before ‘‘under post-accident’’ the following:
‘‘or the Administration’’; and
(iii) in subparagraph (A) by inserting
before ‘‘, when’’ the following: ‘‘or the Ad-
ministration’’.
(B) INVESTIGATION
OF
CERTAIN
ACCI-
DENTS.—Section 1131(c)(1) is amended by in-
serting ‘‘or the Federal Aviation Administration,
as the case may be,’’ after ‘‘Transportation’’.
(C) CIVIL AIRCRAFT ACCIDENT INVESTIGA-
TIONS.—Section 1132 is amended—
(i) in the heading to subsection (c) by
striking ‘‘SECRETARY’’ and inserting ‘‘FED-
ERAL AVIATION ADMINISTRATION’’;
(ii) in subsection (c) by striking ‘‘Sec-
retary of Transportation’’ and inserting
‘‘Federal Aviation Administration’’;
(iii) in subsection (c) by striking ‘‘Sec-
retary’’ the 2nd and 3rd places it appears
and inserting ‘‘Administration’’; and
(iv) in subsection (d) by striking ‘‘Sec-
retary’’ each place it appears and inserting
‘‘Administration’’.
(D) REVIEW OF OTHER AGENCY ACTION.—
Section 1133(1) is amended by striking ‘‘Sec-
retary of Transportation’’ and inserting ‘‘Fed-
eral Aviation Administration’’.
(E) RESPONSES TO SAFETY RECOMMENDA-
TIONS.—Section 1135 is amended—
(i) by striking the section heading and
inserting the following:
‘‘§ 1135. DOT’s and FAA’s responses to safety rec-
ommendations’’;
(ii) in subsection (a) by inserting after
‘‘Secretary of Transportation’’ the following:
‘‘or the Federal Aviation Administration’’;
(iii) in subsection (a) by inserting ‘‘or
the Administration’’ after ‘‘Secretary’’ the
2nd and 3rd places it appears;
(iv) in subsection (d) by striking
‘‘shall’’ and inserting ‘‘and the Administra-
tion shall each’’;
(v) in subsection (d) by inserting before
‘‘during’’ the following: ‘‘or Administra-
tion’’; and
(vi) in subsection (d) by inserting after
‘‘Secretary’s’’ the following: ‘‘or Administra-
tion’s’’.
(F) JUDICIAL REVIEW.—Section 1153(c) is
amended—
(i) in the subsection heading by strik-
ing ‘‘ADMINISTRATOR’’ and inserting ‘‘AD-
MINISTRATION’’;
(ii) by striking ‘‘the Administrator of’’;
and
(iii) by striking ‘‘Administrator’’ the
second and third places it appears and in-
serting ‘‘Administration’’.
(G) CONFORMING AMENDMENT.—The analy-
sis to chapter 11 is amended by striking the item
relating to section 1135 and inserting the follow-
ing:
‘‘1135. DOT’s and FAA’s responses to safety recommendations.’’.
(2) INTERMODAL
TRANSPORTATION
ADVISORY
BOARD.—Section 5502(b) is amended to read as fol-
lows:
‘‘(b) MEMBERSHIP.—The Board consists of—
‘‘(1) the Secretary, who serves as chairman;
‘‘(2) the Chief Executive Officer of the Federal
Aviation Administration or the Chief Executive Offi-
cer’s designee; and
‘‘(3) the Administrator, or the Administrator’s
designee, of—
‘‘(A) the Federal Highway Administration;
‘‘(B) the Maritime Administration;
‘‘(C) the Federal Railroad Administration;
and
‘‘(D) the Federal Transit Administration.’’.
(3) GENERAL
PROVISIONS
RELATING
TO
AIR
COMMERCE AND SAFETY.—
(A) POLICY.—Section 40101 is amended—
(i) in subsection (a) by inserting after
‘‘Secretary of Transportation’’ the following:
‘‘and the Federal Aviation Administration’’;
(ii) in subsection (c) by striking ‘‘Ad-
ministrator of the’’; and
(iii) in subsection (d) by striking ‘‘Ad-
ministrator’’ and inserting ‘‘Administra-
tion’’.
(B) DEFINITIONS.—Section 40102(a) is
amended—
(i) in paragraphs (8)(B) and (37) by
striking ‘‘the Administrator of’’;
(ii) in paragraph (20) by striking
‘‘Administrator’’ and inserting ‘‘Federal
Aviation Administration’’; and
(iii) by moving the second sentence of
paragraph (37) 2 ems to the left.
(C) 
SOVEREIGNTY
AND
USE
OF
AIR
SPACE.—Section 40103 is amended—
(i) in subsection (a)(2) by inserting
after ‘‘Secretary of Transportation’’ the fol-
lowing: ‘‘and the Federal Aviation Adminis-
tration’’; and
(ii) in subsection (b)—
(I) by striking ‘‘Administrator of
the’’; and
(II) by striking ‘‘Administrator’’
each place it appears after the first
and inserting ‘‘Administration’’.
(D) PROMOTION
OF
CIVIL
AERONAUTICS
AND AIR COMMERCE.—Section 40104 is amend-
ed—
(i) in subsection (a) by striking ‘‘Ad-
ministrator of the’’;
(ii) in subsection (a) by striking ‘‘Ad-
ministrator’’ each place it appears after the
first and inserting ‘‘Administration’’; and
(iii) in subsection (b) by striking ‘‘Sec-
retary of Transportation’’ and inserting
‘‘Administration’’.
(E) INTERNATIONAL NEGOTIATIONS, AGREE-
MENTS, AND
OBLIGATIONS.—Section 40105 is
amended—
(i) in subsection (a) by striking ‘‘Ad-
ministrator of the’’;
(ii) in the heading to subsection (b) by
striking ‘‘ADMINISTRATOR’’ and inserting
‘‘ADMINISTRATION’’;
(iii) in subsection (b)(1) by striking
‘‘Administrator’’ and inserting ‘‘Adminis-
tration’’; and
(iv) in subsection (c)(1) by inserting
before the semicolon ‘‘and the Federal Avia-
tion Administration’’.
(F) EMERGENCY POWERS.—Section 40106
is amended—
(i) in subsection (a)—
(I) in paragraph (1) by striking
‘‘Administrator of the’’; and
(II) in paragraph (2) by striking
‘‘Administrator’’ and inserting ‘‘Ad-
ministration’’; and
(ii) in subsection (b)(2) by inserting
after ‘‘Secretary of Transportation’’ the fol-
lowing: ‘‘or the Federal Aviation Adminis-
tration’’.
(G) PRESIDENTIAL
TRANSFERS.—Section
40107 is amended—
(i) in subsection (a) by striking ‘‘Ad-
ministrator of the’’; and
(ii) by striking ‘‘Administrator’’ each
place it appears after the first and inserting
‘‘Administration’’.
(H) TRAINING SCHOOLS.—Section 40108 is
amended—
(i) in subsection (a) by striking ‘‘Ad-
ministrator of the’’; and
(ii) by striking ‘‘Administrator’’ each
place it appears after the first and inserting
‘‘Administration’’.
(I) 
AUTHORITY
TO
EXEMPT.—Section
40109(b) is amended—
(i) by striking ‘‘Administrator of the’’;
and
(ii) by striking ‘‘Administrator’’ the
second place it appears and inserting ‘‘Ad-
ministration’’.
(J) GENERAL PROCUREMENT AUTHORITY.—
Section 40110 is amended—
(i) in subsection (a) by striking ‘‘Ad-
ministrator of the’’;
(ii) in subsection (a)(1) by striking
‘‘Administrator’’ and inserting ‘‘Adminis-
tration’’;
(iii) in subsection (b) by striking ‘‘Ad-
ministrator of’’ the first place it appears
and inserting ‘‘Chief Executive Officer of’’;
(iv) in subsection (b)(2)(E) by striking
‘‘Administrator of the’’; and
(v) in subsection (b)(2)(E) by striking
‘‘Administrator;’’ and inserting ‘‘Adminis-
tration;’’.
(K) MULTIYEAR PROCUREMENT CONTRACTS
FOR
SERVICES
AND
RELATED
ITEMS.—Section
40111 is amended—
(i) in subsection (a) by striking ‘‘Ad-
ministrator of the’’; and
(ii) in subsections (b) and (c) by strik-
ing ‘‘Administrator’’ each place it appears
and inserting ‘‘Administration’’.
(L) MULTIYEAR PROCUREMENT CONTRACTS
FOR PROPERTY.—Section 40112 is amended—
(i) in subsection (a) by striking ‘‘Ad-
ministrator of the’’;
(ii) in subsections (b), (c), and (e)(2)
by striking ‘‘Administrator’’ each place it
appears and inserting ‘‘Administration’’;
and
(iii) by adding at the end the follow-
ing:
‘‘(g) LIMITATION.—This section and section 40111
shall not be effective to the extent they are inconsistent with
the acquisition management system being implemented
under section 1334.’’.
(M) ADMINISTRATIVE.—Section 40113 is
amended—
(i) in subsection (a) by striking ‘‘(or
the Administrator of’’ and inserting ‘‘and’’;
(ii) in subsection (a) by striking ‘‘Ad-
ministrator)’’ and inserting ‘‘Administra-
tion’’;
(iii) in subsection (a) by striking ‘‘Ad-
ministrator’’ the last place it appears and
inserting ‘‘Administration’’;
(iv) in subsection (b) by striking ‘‘has’’
the 1st place it appears and inserting ‘‘and
the Administration have’’;
(v) in subsection (c) by striking ‘‘The
Secretary’’ and all that follows through
‘‘Administrator)’’ and inserting ‘‘In carry-
ing out aviation safety functions, duties,
and powers, the Federal Aviation Adminis-
tration’’;
(vi) in subsection (c) by striking ‘‘to
assist the Secretary or Administrator of’’
and inserting ‘‘to assist’’;
(vii) in subsection (d) by striking ‘‘Ad-
ministrator of the’’;
(viii) in subsection (d) by striking
‘‘Administrator’’ the last place it appears
and inserting ‘‘Administration’’;
(ix) in subsection (e) by striking ‘‘Ad-
ministrator’’ each place it appears and in-
serting ‘‘Administration’’; and
(x) by adding at the end the following:
‘‘(f) EXEMPTIONS.—
‘‘(1) FAA REVIEW OF REGULATIONS.—Prior to
issuing any regulation or granting any exemption to
a regulation issued under this chapter that affects the
transportation of hazardous materials by air, the Sec-
retary shall provide the Administration an oppor-
tunity for review, and the Administration may dis-
approve such action if the Administration determines
that there would be an adverse effect on aviation safe-
ty.
‘‘(2) PROPOSED CHANGES.—The Administration
may, in the interest of aviation safety, propose to the
Secretary regulatory changes affecting the transpor-
tation of hazardous materials by air.
‘‘(3) ENFORCEMENT.—Enforcement actions for
violations of this chapter or of any regulations issued
under this chapter that affect the transportation of
hazardous materials by air shall be brought by the
Administration.’’.
(N) 
REPORTS
AND
RECORDS.—Section
40114 is amended—
(i) in subsection (a)(1) by striking ‘‘(or
the Administrator of’’ and inserting ‘‘and’’;
(ii) in subsection (a)(1) by striking
‘‘Administrator)’’ and inserting ‘‘Adminis-
tration’’;
(iii) in subsection (a)(1) by striking
‘‘Administrator’’ the last place it appears
and inserting ‘‘Administration’’;
(iv) in subsection (a)(2) by striking
‘‘(or the Administrator’’ and inserting ‘‘and
the Administration’’;