‘‘(V) $3,469,000 for GPS civil require-
ments; 
‘‘(W) $20,000,000 for Safe Flight 21, 
Alaska Capstone; 
‘‘(X) $8,907,000 for airports technology 
research—capacity; 
‘‘(Y) $9,805,000 for airports technology 
research—safety; 
‘‘(15) for fiscal year 2010, $486,502,000, in-
cluding— 
‘‘(A) $8,546,000 for fire research and safe-
ty; 
‘‘(B) $4,075,000 for propulsion and fuel 
systems; 
‘‘(C) $2,700,000 for advanced materials 
and structural safety; 
‘‘(D) $3,608,000 for atmospheric hazards 
and digital system safety; 
‘‘(E) $14,688,000 for aging aircraft; 
‘‘(F) $2,153,000 for aircraft catastrophic 
failure prevention research; 
‘‘(G) $36,967,000 for flightdeck mainte-
nance, system integration, and human factors; 
‘‘(H) $8,334,000 for aviation safety risk 
analysis;
‘‘(I) $15,471,000 for air traffic control, 
technical operations, and human factors; 
‘‘(J) $7,149,000 for aeromedical research; 
‘‘(K) $23,286,000 for weather program; 
‘‘(L) $6,236,000 for unmanned aircraft 
systems research; 
‘‘(M) $18,100,000 for the Next Generation 
Air Transportation System Joint Planning and 
Development Office; 
‘‘(N) $10,412,000 for wake turbulence; 
‘‘(O) $34,678,000 for environment and en-
ergy; 
‘‘(P) $1,827,000 for system planning and 
resource management; 
‘‘(Q) $3,644,000 for William J. Hughes 
Technical Center Laboratory Facility; 
‘‘(R) $90,000,000 for the Center for Ad-
vanced Aviation System Development; 
‘‘(S) $5,000,000 for the Airport Coopera-
tive Research Program—capacity; 
‘‘(T) $5,000,000 for the Airport Coopera-
tive Research Program—environment; 
‘‘(U) $5,000,000 for the Airport Coopera-
tive Research Program—safety;
‘‘(V) $3,416,000 for GPS civil require-
ments; 
‘‘(W) $20,000,000 for Safe Flight 21, 
Alaska Capstone; 
‘‘(X) $8,907,000 for airports technology 
research—capacity; 
‘‘(Y) $9,805,000 for airports technology 
research—safety; and 
‘‘(16) for fiscal year 2011, $514,832,000, in-
cluding— 
‘‘(A) $8,815,000 for fire research and safe-
ty; 
‘‘(B) $4,150,000 for propulsion and fuel 
systems; 
‘‘(C) $2,747,000 for advanced materials 
and structural safety; 
‘‘(D) $3,687,000 for atmospheric hazards 
and digital system safety; 
‘‘(E) $14,903,000 for aging aircraft; 
‘‘(F) $2,181,000 for aircraft catastrophic 
failure prevention research; 
‘‘(G) $39,245,000 for flightdeck mainte-
nance, system integration and human factors; 
‘‘(H) $8,446,000 for aviation safety risk 
analysis;
‘‘(I) $15,715,000 for air traffic control, 
technical operations, and human factors; 
‘‘(J) $7,390,000 for aeromedical research; 
‘‘(K) $23,638,000 for weather program; 
‘‘(L) $6,295,000 for unmanned aircraft 
systems research; 
‘‘(M) $18,100,000 for the Next Generation 
Air Transportation System Joint Planning and 
Development Office; 
‘‘(N) $10,471,000 for wake turbulence; 
‘‘(O) $34,811,000 for environment and en-
ergy; 
‘‘(P) $1,836,000 for system planning and 
resource management; 
‘‘(Q) $3,758,000 for William J. Hughes 
Technical Center Laboratory Facility; 
‘‘(R) $114,000,000 for Center for Ad-
vanced Aviation System Development; 
‘‘(S) $5,000,000 for the Airport Coopera-
tive Research Program—capacity; 
‘‘(T) $5,000,000 for the Airport Coopera-
tive Research Program—environment; 
‘‘(U) $5,000,000 for the Airport Coopera-
tive Research Program—safety;
‘‘(V) $3,432,000 for GPS civil require-
ments; 
‘‘(W) $20,000,000 for Safe Flight 21, 
Alaska Capstone; 
‘‘(X) $8,907,000 for airports technology 
research—capacity; 
‘‘(Y) $9,805,000 for airports technology 
research—safety.’’. 
SEC. 105. FUNDING FOR AVIATION PROGRAMS. 
(a) AIRPORT
AND AIRWAY TRUST FUND GUAR-
ANTEE.—Section 48114(a)(1)(A) is amended to read as 
follows: 
‘‘(A) IN GENERAL.—The total budget re-
sources made available from the Airport and 
Airway Trust Fund each fiscal year through fis-
cal year 2011 pursuant to sections 48101, 
48102, 48103, and 106(k) shall— 
‘‘(i) in each of fiscal years 2008 and 
2009, be equal to 95 percent of the esti-
mated level of receipts plus interest cred-
ited to the Airport and Airway Trust Fund 
for that fiscal year; and 
‘‘(ii) in each of fiscal years 2010 and 
2011, be equal to the sum of—
‘‘(I) 95 percent of the estimated 
level of receipts plus interest credited 
to the Airport and Airway Trust 
Fund for that fiscal year; and 
‘‘(II) the actual level of receipts 
plus interest credited to the Airport 
and Airway Trust Fund for the sec-
ond preceding fiscal year minus the 
total amount made available for obli-
gation from the Airport and Airway 
Trust Fund for the second preceding 
fiscal year. 
Such amounts may be used only for aviation in-
vestment programs listed in subsection (b).’’. 
(b) ADDITIONAL AUTHORIZATIONS OF APPROPRIA-
TIONS FROM THE GENERAL FUND.—Section 48114(a)(2) 
is amended by striking ‘‘2007’’ and inserting ‘‘2011’’. 
(c) ESTIMATED LEVEL OF RECEIPTS PLUS INTER-
EST DEFINED.—Section 48114(b)(2) is amended— 
(1) in the paragraph heading by striking 
‘‘LEVEL’’ and inserting ‘‘ESTIMATED LEVEL’’; and 
(2) by striking ‘‘level of receipts plus interest’’ 
and inserting ‘‘estimated level of receipts plus inter-
est’’.
(d) 
ENFORCEMENT
OF
GUARANTEES.—Section 
48114(c)(2) is amended by striking ‘‘2007’’ and inserting 
‘‘2011’’. 
Subtitle B—Passenger Facility 
Charges 
SEC. 111. PFC AUTHORITY. 
(a) PFC DEFINED.—Section 40117(a)(5) is amend-
ed to read as follows: 
‘‘(5) PASSENGER FACILITY CHARGE.—The term 
‘passenger facility charge’ means a charge or fee im-
posed under this section.’’. 
(b) INCREASE IN PFC MAXIMUM LEVEL.—Section 
40117(b)(4) is amended by striking ‘‘$4.00 or $4.50’’ and 
inserting ‘‘$4.00, $4.50, $5.00, $6.00, or $7.00’’. 
(c) PILOT PROGRAM FOR PFC AT NONHUB AIR-
PORTS.—Section 40117(l) is amended— 
(1) by striking paragraph (7); and 
(2) by redesignating paragraph (8) as para-
graph (7). 
(d) CORRECTION OF REFERENCES.— 
(1) SECTION 40117.—Section 40117 is amend-
ed— 
(A) in the section heading by striking 
‘‘fees’’ and inserting ‘‘charges’’;
(B) in the heading for subsection (e) by 
striking ‘‘FEES’’ and inserting ‘‘CHARGES’’; 
(C) in the heading for subsection (l) by 
striking ‘‘FEE’’ and inserting ‘‘CHARGE’’; 
(D) in the heading for paragraph (5) of 
subsection (l) by striking ‘‘FEE’’ and inserting 
‘‘CHARGE’’; 
(E) in the heading for subsection (m) by 
striking ‘‘FEES’’ and inserting ‘‘CHARGES’’; 
(F) in the heading for paragraph (1) of 
subsection (m) by striking ‘‘FEES’’ and insert-
ing ‘‘CHARGES’’; 
(G) by striking ‘‘fee’’ each place it appears 
(other than the second sentence of subsection 
(g)(4)) and inserting ‘‘charge’’; and 
(H) by striking ‘‘fees’’ each place it ap-
pears and inserting ‘‘charges’’. 
(2) OTHER
REFERENCES.—Subtitle VII is 
amended by striking ‘‘fee’’ and inserting ‘‘charge’’ 
each place it appears in each of the following sec-
tions: 
(A) Section 47106(f)(1). 
(B) Section 47110(e)(5). 
(C) Section 47114(f). 
(D) Section 47134(g)(1).
(E) Section 47139(b). 
(F) Section 47524(e). 
(G) Section 47526(2). 
SEC. 112. PFC ELIGIBILITY FOR BICYCLE STORAGE. 
(a) IN GENERAL.—Section 40117(a)(3) is amended 
by adding at the end the following: 
‘‘(H) A project to construct secure bicycle 
storage facilities that are to be used by pas-
sengers at the airport and that are in compli-
ance with applicable security standards.’’. 
(b) REPORT TO CONGRESS.—Not later than one year 
after the date of enactment of this Act, the Administrator 
of the Federal Aviation Administration shall submit to 
Congress a report on the progress being made by airports 
to install bicycle parking for airport customers and airport 
employees. 
SEC. 113. NOISE COMPATIBILITY PROJECTS. 
Section 40117(b) is amended by adding at the end 
the following: 
‘‘(7) 
NOISE
MITIGATION
FOR
CERTAIN 
SCHOOLS.— 
‘‘(A) IN
GENERAL.—In addition to the 
uses specified in paragraphs (1), (4), and (6), 
the Secretary may authorize a passenger facility 
charge imposed under paragraph (1) or (4) at
a large hub airport that is the subject of an 
amended judgment and final order in con-
demnation filed on January 7, 1980, by the Su-
perior Court of the State of California for the 
county of Los Angeles, to be used for a project 
to carry out noise mitigation for a building, or 
for the replacement of a relocatable building 
with a permanent building, in the noise im-
pacted area surrounding the airport at which 
such building is used primarily for educational 
purposes, notwithstanding the air easement 
granted or any terms to the contrary in such 
judgment and final order, if— 
‘‘(i) the Secretary determines that the 
building is adversely affected by airport 
noise; 
‘‘(ii) the building is owned or char-
tered by the school district that was the 
plaintiff in case number 986,442 or 
986,446, which was resolved by such judg-
ment and final order; 
‘‘(iii) the project is for a school identi-
fied in one of the settlement agreements 
effective February 16, 2005, between the 
airport and each of the school districts;
‘‘(iv) in the case of a project to re-
place a relocatable building with a perma-
nent building, the eligible project costs are 
limited to the actual structural construc-
tion costs necessary to mitigate aircraft 
noise in instructional classrooms to an in-
terior noise level meeting current stand-
ards of the Federal Aviation Administra-
tion; and 
‘‘(v) the project otherwise meets the 
requirements of this section for authoriza-
tion of a passenger facility charge. 
‘‘(B) ELIGIBLE PROJECT COSTS.—In sub-
paragraph (A)(iv), the term ‘eligible project 
costs’ means the difference between the cost of 
standard school construction and the cost of 
construction necessary to mitigate classroom 
noise to the standards of the Federal Aviation 
Administration.’’. 
SEC. 114. INTERMODAL GROUND ACCESS PROJECT PILOT 
PROGRAM. 
Section 40117 is amended by adding at the end the 
following: 
‘‘(n) PILOT PROGRAM FOR PFC ELIGIBILITY FOR 
INTERMODAL GROUND ACCESS PROJECTS.—
‘‘(1) PFC ELIGIBILITY.—Subject to the require-
ments of this subsection, the Secretary shall estab-
lish a pilot program under which the Secretary may 
authorize, at no more than 5 airports, a passenger 
facility charge imposed under subsection (b)(1) or 
(b)(4) to be used to finance the eligible cost of an 
intermodal ground access project. 
‘‘(2) INTERMODAL
GROUND
ACCESS
PROJECT 
DEFINED.—In this section, the term ‘intermodal 
ground access project’ means a project for con-
structing a local facility owned or operated by an eli-
gible agency that is directly and substantially related 
to the movement of passengers or property traveling 
in air transportation. 
‘‘(3) ELIGIBLE COSTS.— 
‘‘(A) IN GENERAL.—For purposes of para-
graph (1), the eligible cost of an intermodal 
ground access project shall be the total cost of 
the project multiplied by the ratio that— 
‘‘(i) the number of individuals pro-
jected to use the project to gain access to 
or depart from the airport; bears to 
‘‘(ii) the total number of the individ-
uals projected to use the facility.
‘‘(B) DETERMINATIONS REGARDING PRO-
JECTED PROJECT USE.— 
‘‘(i) IN
GENERAL.—Except as pro-
vided by clause (ii), the Secretary shall de-
termine the projected use of a project for 
purposes of subparagraph (A) at the time 
the project is approved under this sub-
section. 
‘‘(ii) 
PUBLIC
TRANSPORTATION 
PROJECTS.—In the case of a project ap-
proved under this section to be financed in 
part using funds administered by the Fed-
eral Transit Administration, the Secretary 
shall use the travel forecasting model for 
the project at the time such project is ap-
proved by the Federal Transit Administra-
tion to enter preliminary engineering to de-
termine the projected use of the project for 
purposes of subparagraph (A).’’. 
SEC. 115. IMPACTS ON AIRPORTS OF ACCOMMODATING 
CONNECTING PASSENGERS. 
(a) STUDY.—Not later than 90 days after the date 
of enactment of this Act, the Secretary of Transportation 
shall initiate a study to evaluate—
(1) the impacts on airports of accommodating 
connecting passengers; and 
(2) the treatment of airports at which the ma-
jority of passengers are connecting passengers under 
the passenger facility charge program authorized by 
section 40117 of title 49, United States Code. 
(b) CONTENTS OF STUDY.—In conducting the study, 
the Secretary shall review, at a minimum, the following: 
(1) the differences in facility needs, and the 
costs for constructing, maintaining, and operating 
those facilities, for airports at which the majority of 
passengers are connecting passengers as compared 
to airports at which the majority of passengers are 
originating and destination passengers; 
(2) whether the costs to an airport of accommo-
dating additional connecting passengers differs from 
the cost of accommodating additional originating 
and destination passengers; 
(3) for each airport charging a passenger facil-
ity charge, the percentage of passenger facility 
charge revenue attributable to connecting passengers 
and the percentage of such revenue attributable to 
originating and destination passengers; 
(4) the potential effects on airport revenues of 
requiring airports to charge different levels of pas-
senger facility charges on connecting passengers and 
originating and destination passengers; and 
(5) the added costs to air carriers of collecting 
passenger facility charges under a system in which 
different levels of passenger facility charges are im-
posed on connecting passengers and originating and 
destination passengers. 
(c) REPORT TO CONGRESS.— 
(1) IN
GENERAL.—Not later than one year 
after the date of initiation of the study, the Sec-
retary shall submit to Congress a report on the re-
sults of the study. 
(2) CONTENTS.—The report shall include— 
(A) the findings of the Secretary on each 
of the subjects listed in subsection (b); and 
(B) recommendations, if any, of the Sec-
retary based on the results of the study for any 
changes to the passenger facility charge pro-
gram, including recommendations as to whether 
different levels of passenger facility charges 
should be imposed on connecting passengers 
and originating and destination passengers.
Subtitle C—Fees for FAA Services 
SEC. 121. UPDATE ON OVERFLIGHTS. 
(a) ESTABLISHMENT AND ADJUSTMENT OF FEES.— 
Section 45301(b) is amended to read as follows: 
‘‘(b) 
ESTABLISHMENT
AND
ADJUSTMENT
OF 
FEES.— 
‘‘(1) IN GENERAL.—In establishing and adjust-
ing fees under subsection (a), the Administrator 
shall ensure that the fees are reasonably related to 
the Administration’s costs, as determined by the Ad-
ministrator, of providing the services rendered. Serv-
ices for which costs may be recovered include the 
costs of air traffic control, navigation, weather serv-
ices, training, and emergency services which are 
available to facilitate safe transportation over the 
United States and the costs of other services pro-
vided by the Administrator, or by programs financed 
by the Administrator, to flights that neither take off 
nor land in the United States. The determination of 
such costs by the Administrator, and the allocation 
of such costs by the Administrator to services pro-
vided, are not subject to judicial review. 
‘‘(2) ADJUSTMENT
OF
FEES.—The Adminis-
trator shall adjust the overflight fees established by 
subsection (a)(1) by expedited rulemaking and begin
collections under the adjusted fees by October 1, 
2008. In developing the adjusted overflight fees, the 
Administrator may seek and consider the rec-
ommendations offered by an aviation rulemaking 
committee for overflight fees that are provided to 
the Administrator by June 1, 2008, and are in-
tended to ensure that overflight fees are reasonably 
related to the Administrator’s costs of providing air 
traffic control and related services to overflights. 
‘‘(3) AIRCRAFT
ALTITUDE.—Nothing in this 
section shall require the Administrator to take into 
account aircraft altitude in establishing any fee for 
aircraft operations in en route or oceanic airspace. 
‘‘(4) COSTS DEFINED.—In this subsection, the 
term ‘costs’ includes those costs associated with the 
operation, maintenance, leasing costs, and overhead 
expenses of the services provided and the facilities 
and equipment used in such services, including the 
projected costs for the period during which the serv-
ices will be provided. 
‘‘(5) PUBLICATION; COMMENT.—The Adminis-
trator shall publish in the Federal Register any fee 
schedule under this section, including any adjusted 
overflight fee schedule, and the associated collection 
process as an interim final rule, pursuant to which
public comment will be sought and a final rule 
issued.’’. 
(b) ADJUSTMENTS.—Section 45301 is amended by 
adding at the end the following: 
‘‘(e) ADJUSTMENTS.—In addition to adjustments 
under subsection (b), the Administrator may periodically 
adjust the fees established under this section.’’. 
SEC. 122. REGISTRATION FEES. 
(a) IN GENERAL.—Chapter 453 is amended by add-
ing at the end the following: 
‘‘§ 45305. Registration, certification, and related fees 
‘‘(a) GENERAL AUTHORITY AND FEES.—The Admin-
istrator of the Federal Aviation Administration shall es-
tablish the following fees for services and activities of the 
Administration: 
‘‘(1) $130 for registering an aircraft. 
‘‘(2) $45 for replacing an aircraft registration. 
‘‘(3) $130 for issuing an original dealer’s air-
craft certificate. 
‘‘(4) $105 for issuing an aircraft certificate 
(other than an original dealer’s aircraft certificate). 
‘‘(5) $80 for issuing a special registration num-
ber. 
‘‘(6) $50 for issuing a renewal of a special reg-
istration number.
‘‘(7) $130 for recording a security interest in 
an aircraft or aircraft part. 
‘‘(8) $50 for issuing an airman certificate. 
‘‘(9) $25 for issuing a replacement airman cer-
tificate. 
‘‘(10) $42 for issuing an airman medical certifi-
cate. 
‘‘(11) $100 for providing a legal opinion per-
taining to aircraft registration or recordation. 
‘‘(b) FEES CREDITED
AS OFFSETTING COLLEC-
TIONS.— 
‘‘(1) IN
GENERAL.—Notwithstanding section 
3302 of title 31, any fee authorized to be collected 
under this section shall, subject to appropriation 
made in advance— 
‘‘(A) be credited as offsetting collections to 
the account that finances the activities and 
services for which the fee is imposed; 
‘‘(B) be available for expenditure only to 
pay the costs of activities and services for which 
the fee is imposed; and 
‘‘(C) remain available until expended. 
‘‘(2) CONTINUING APPROPRIATIONS.—The Ad-
ministrator may continue to assess, collect, and 
spend fees established under this section during any
period in which the funding for the Federal Aviation 
Administration is provided under an Act providing 
continuing appropriations in lieu of the Administra-
tion’s regular appropriations. 
‘‘(3) ADJUSTMENTS.—The Administrator shall 
periodically adjust the fees established by subsection 
(a) when cost data from the cost accounting system 
developed pursuant to section 45303(e) reveal that 
the cost of providing the service is higher or lower 
than the cost data that were used to establish the 
fee then in effect.’’. 
(b) CLERICAL AMENDMENT.—The analysis for chap-
ter 453 is amended by adding at the end the following: 
‘‘45305. Registration, certification, and related fees.’’. 
(c) FEES INVOLVING AIRCRAFT NOT PROVIDING AIR 
TRANSPORTATION.—Section 45302(e) is amended— 
(1) by striking ‘‘A fee’’ and inserting the fol-
lowing: 
‘‘(1) IN GENERAL.—A fee’’; and 
(2) by adding at the end the following: 
‘‘(2) EFFECT
OF
IMPOSITION
OF
OTHER 
FEES.—A fee may not be imposed for a service or 
activity under this section during any period in 
which a fee for the same service or activity is im-
posed under section 45305.’’.
Subtitle D—AIP Modifications 
SEC. 131. AMENDMENTS TO AIP DEFINITIONS. 
(a) AIRPORT DEVELOPMENT.—Section 47102(3) is 
amended— 
(1) in subparagraph (B)(iv) by striking ‘‘20’’ 
and inserting ‘‘9’’; and 
(2) by adding at the end the following: 
‘‘(M) construction of mobile refueler park-
ing within a fuel farm at a nonprimary airport 
meeting the requirements of section 112.8 of 
title 40, Code of Federal Regulations. 
‘‘(N) terminal development under section 
47119(a). 
‘‘(O) acquiring and installing facilities and 
equipment to provide air conditioning, heating, 
or electric power from terminal-based, non-ex-
clusive use facilities to aircraft parked at a pub-
lic use airport for the purpose of reducing en-
ergy use or harmful emissions as compared to 
the provision of such air conditioning, heating, 
or electric power from aircraft-based systems.’’. 
(b) AIRPORT
PLANNING.—Section 47102(5) is 
amended by inserting before the period at the end the fol-
lowing: ‘‘and developing an environmental management 
system’’.
(c) GENERAL AVIATION AIRPORT.—Section 47102 is 
amended— 
(1) by redesignating paragraphs (23) through 
(25) as paragraphs (25) through (27), respectively; 
(2) by redesignating paragraphs (8) through 
(22) as paragraphs (9) through (23), respectively; 
and 
(3) by inserting after paragraph (7) the fol-
lowing: 
‘‘(8) ‘general aviation airport’ means a public 
airport that is located in a State and that, as deter-
mined by the Secretary— 
‘‘(A) does not have scheduled service; or 
‘‘(B) has scheduled service with less that 
2,500 passenger boardings each year.’’. 
(d) REVENUE PRODUCING AERONAUTICAL SUPPORT 
FACILITIES.—Section 47102 is amended by inserting 
after paragraph (23) (as redesignated by subsection (c)(2) 
of this section) the following: 
‘‘(24) ‘revenue producing aeronautical support 
facilities’ means fuel farms, hangar buildings, self- 
service credit card aeronautical fueling systems, air-
plane wash racks, major rehabilitation of a hangar 
owned by a sponsor, or other aeronautical support
facilities that the Secretary determines will increase 
the revenue producing ability of the airport.’’. 
(e) TERMINAL DEVELOPMENT.—Section 47102 is 
further amended by adding at the end the following: 
‘‘(28) ‘terminal development’ means— 
‘‘(A) development of— 
‘‘(i) an airport passenger terminal 
building, including terminal gates; 
‘‘(ii) access roads servicing exclusively 
airport traffic that leads directly to or 
from an airport passenger terminal build-
ing; and 
‘‘(iii) walkways that lead directly to or 
from an airport passenger terminal build-
ing; and 
‘‘(B) the cost of a vehicle described in sec-
tion 47119(a)(1)(B).’’. 
SEC. 132. AMENDMENTS TO GRANT ASSURANCES. 
(a) 
GENERAL
WRITTEN
ASSURANCES.—Section 
47107(a)(16)(D)(ii) is amended by inserting before the 
semicolon at the end the following: ‘‘, except in the case 
of a relocation or replacement of an existing airport facil-
ity that meets the conditions of section 47110(d)’’. 
(b) WRITTEN ASSURANCES ON ACQUIRING LAND.—
(1) 
USE
OF
PROCEEDS.—Section 
47107(c)(2)(A)(iii) is amended by striking ‘‘paid to 
the Secretary’’ and all that follows before the semi-
colon and inserting ‘‘reinvested in another project at 
the airport or transferred to another airport as the 
Secretary prescribes under paragraph (4)’’. 
(2) ELIGIBLE PROJECTS.—Section 47107(c) is 
amended by adding at the end the following: 
‘‘(4) PRIORITIES FOR REINVESTMENT.—In ap-
proving the reinvestment or transfer of proceeds 
under subsection (c)(2)(A)(iii), the Secretary shall 
give preference, in descending order, to the following 
actions: 
‘‘(A) Reinvestment in an approved noise 
compatibility project. 
‘‘(B) Reinvestment in an approved project 
that is eligible for funding under section 
47117(e). 
‘‘(C) Reinvestment in an approved airport 
development project that is eligible for funding 
under section 47114, 47115, or 47117. 
‘‘(D) Transfer to a sponsor of another 
public airport to be reinvested in an approved 
noise compatibility project at such airport.
‘‘(E) Payment to the Secretary for deposit 
in the Airport and Airway Trust Fund.’’. 
(c) 
CLERICAL
AMENDMENT.—Section 
47107(c)(2)(B)(iii) is amended by striking ‘‘the Fund’’ 
and inserting ‘‘the Airport and Airway Trust Fund estab-
lished under section 9502 of the Internal Revenue Code 
of 1986 (26 U.S.C. 9502)’’. 
SEC. 133. GOVERNMENT SHARE OF PROJECT COSTS. 
Section 47109 is amended— 
(1) in subsection (a) by striking ‘‘provided in 
subsection (b) or subsection (c) of this section’’ and 
inserting ‘‘otherwise specifically provided in this sec-
tion’’; and 
(2) by adding at the end the following: 
‘‘(e) SPECIAL RULE FOR TRANSITION FROM SMALL 
HUB TO MEDIUM HUB STATUS.—If the status of a small 
hub airport changes to a medium hub airport, the Govern-
ment’s share of allowable project costs for the airport may 
not exceed 90 percent for the first 2 fiscal years following 
such change in hub status. 
‘‘(f) SPECIAL RULE FOR ECONOMICALLY DEPRESSED 
COMMUNITIES.—The Government’s share of allowable 
project costs shall be 95 percent for a project at an airport 
that—
‘‘(1) is receiving subsidized air service under 
subchapter II of chapter 417; and 
‘‘(2) is located in an area that meets one or 
more of the criteria established in section 301(a) of 
the Public Works and Economic Development Act of 
1965 (42 U.S.C. 3161(a)), as determined by the 
Secretary of Commerce.’’. 
SEC. 134. AMENDMENTS TO ALLOWABLE COSTS. 
(a) 
ALLOWABLE
PROJECT
COSTS.—Section 
47110(b)(2) is amended— 
(1) by striking ‘‘or’’ at the end of subparagraph 
(C); 
(2) by striking the semicolon at the end of sub-
paragraph (D) and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(E) if the cost is for airport development and 
is incurred before execution of the grant agreement, 
but in the same fiscal year as execution of the grant 
agreement, and if— 
‘‘(i) the cost was incurred before execution 
of the grant agreement due to the short con-
struction season in the vicinity of the airport; 
‘‘(ii) the cost is in accordance with an air-
port layout plan approved by the Secretary and 
with all statutory and administrative require-
ments that would have been applicable to the 
project if the project had been carried out after 
execution of the grant agreement; 
‘‘(iii) the sponsor notifies the Secretary be-
fore authorizing work to commence on the 
project; and 
‘‘(iv) the sponsor’s decision to proceed with 
the project in advance of execution of the grant 
agreement does not affect the priority assigned 
to the project by the Secretary for the alloca-
tion of discretionary funds;’’. 
(b) RELOCATION OF AIRPORT-OWNED FACILITIES.— 
Section 47110(d) is amended to read as follows: 
‘‘(d) RELOCATION
OF
AIRPORT-OWNED
FACILI-
TIES.—The Secretary may determine that the costs of re-
locating or replacing an airport-owned facility are allow-
able for an airport development project at an airport only 
if— 
‘‘(1) the Government’s share of such costs will 
be paid with funds apportioned to the airport spon-
sor under section 47114(c)(1) or 47114(d); 
‘‘(2) the Secretary determines that the reloca-
tion or replacement is required due to a change in 
the Secretary’s design standards; and
‘‘(3) the Secretary determines that the change 
is beyond the control of the airport sponsor.’’. 
(c) NONPRIMARY AIRPORTS.—Section 47110(h) is 
amended— 
(1) by inserting ‘‘construction of’’ before ‘‘rev-
enue producing’’; and 
(2) by striking ‘‘, including fuel farms and 
hangars,’’. 
SEC. 135. UNIFORM CERTIFICATION TRAINING FOR AIR-
PORT 
CONCESSIONS 
UNDER 
DISADVAN-
TAGED BUSINESS ENTERPRISE PROGRAM. 
(a) IN GENERAL.—Section 47107(e) is amended— 
(1) by redesignating paragraph (8) as para-
graph (9); and 
(2) by inserting after paragraph (7) the fol-
lowing: 
‘‘(8) MANDATORY TRAINING PROGRAM FOR AIR-
PORT CONCESSIONS.— 
‘‘(A) IN
GENERAL.—Not later than one 
year after the date of enactment of the FAA 
Reauthorization Act of 2007, the Secretary 
shall establish a mandatory training program 
for persons described in subparagraph (C) on 
the certification of whether a small business 
concern in airport concessions qualifies as a
small business concern owned and controlled by 
a socially and economically disadvantaged indi-
vidual for purposes of paragraph (1). 
‘‘(B) 
IMPLEMENTATION.—The 
training 
program may be implemented by one or more 
private entities approved by the Secretary. 
‘‘(C) PARTICIPANTS.—A person referred to 
in paragraph (1) is an official or agent of an 
airport owner or operator who is required to 
provide a written assurance under paragraph 
(1) that the airport owner or operator will meet 
the percentage goal of paragraph (1) or who is 
responsible for determining whether or not a 
small business concern in airport concessions 
qualifies as a small business concern owned and 
controlled by a socially and economically dis-
advantaged individual for purposes of para-
graph (1). 
‘‘(D) 
AUTHORIZATION
OF
APPROPRIA-
TIONS.—There are authorized to be appro-
priated such sums as may be necessary to carry 
out this paragraph.’’. 
(b) REPORT.—Not later than 24 months after the 
date of enactment of this Act, the Secretary shall submit 
to the Committee on Transportation and Infrastructure
of the House of Representatives, the Committee on Com-
merce, Science, and Transportation of the Senate, and 
other appropriate committees of Congress a report on the 
results of the training program conducted under the 
amendment made by subsection (a). 
SEC. 136. PREFERENCE FOR SMALL BUSINESS CONCERNS 
OWNED AND CONTROLLED BY DISABLED 
VETERANS. 
Section 47112(c) is amended by adding at the end 
the following: 
‘‘(3) A contract involving labor for carrying out an 
airport development project under a grant agreement 
under this subchapter must require that a preference be 
given to the use of small business concerns (as defined 
in section 3 of the Small Business Act (15 U.S.C. 1632)) 
owned and controlled by disabled veterans.’’. 
SEC. 137. CALCULATION OF STATE APPORTIONMENT FUND. 
Section 47114(d) is amended— 
(1) in paragraph (2)— 
(A) by striking ‘‘Except as provided in 
paragraph (3), the Secretary’’ and inserting 
‘‘The Secretary’’; and 
(B) by striking ‘‘18.5 percent’’ and insert-
ing ‘‘10 percent’’; and
(2) by striking paragraph (3) and inserting the 
following: 
‘‘(3) ADDITIONAL AMOUNT.— 
‘‘(A) 
IN
GENERAL.—In 
addition 
to 
amounts apportioned under paragraph (2) and 
subject to subparagraph (B), the Secretary 
shall apportion to each airport, excluding pri-
mary airports but including reliever and nonpri-
mary commercial service airports, in States the 
lesser of— 
‘‘(i) $150,000; or 
‘‘(ii) 1/5 of the most recently pub-
lished estimate of the 5-year costs for air-
port improvement for the airport, as listed 
in the national plan of integrated airport 
systems developed by the Federal Aviation 
Administration under section 47103. 
‘‘(B) REDUCTION.—In any fiscal year in 
which the total amount made available for ap-
portionment under paragraph (2) is less than 
$300,000,000, the Secretary shall reduce, on a 
prorated basis, the amount to be apportioned 
under subparagraph (A) and make such reduc-
tion available to be apportioned under para-
graph (2), so as to apportion under paragraph 
(2) a minimum of $300,000,000.’’. 
SEC. 138. REDUCING APPORTIONMENTS. 
Section 47114(f)(1) is amended— 
(1) by striking ‘‘and’’ at the end of subpara-
graph (A); 
(2) in subparagraph (B)— 
(A) by inserting ‘‘except as provided by 
subparagraph (C),’’ before ‘‘in the case’’; and 
(B) by striking the period at the end and 
inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(C) in the case of a charge of more than 
$4.50 imposed by the sponsor of an airport en-
planing at least one percent of the total number 
of boardings each year in the United States, 
100 percent of the projected revenues from the 
charge in the fiscal year but not more than 100 
percent of the amount that otherwise would be 
apportioned under this section.’’. 
SEC. 139. MINIMUM AMOUNT FOR DISCRETIONARY FUND. 
Section 47115(g)(1) is amended by striking ‘‘sum 
of—’’ and all that follows through the period at the end 
of 
subparagraph 
(B) 
and 
inserting 
‘‘sum 
of 
$520,000,000.’’.
SEC. 140. MARSHALL ISLANDS, MICRONESIA, AND PALAU. 
Section 47115(j) is amended by striking ‘‘fiscal years 
2004 through 2007’’ and inserting ‘‘fiscal years 2008 
through 2011’’. 
SEC. 141. USE OF APPORTIONED AMOUNTS. 
Section 47117(e)(1)(A) is amended— 
(1) in the first sentence— 
(A) by striking ‘‘35 percent’’ and inserting 
‘‘$300,000,000’’; 
(B) by striking ‘‘and’’ after ‘‘47141,’’; and 
(C) by inserting before the period at the 
end the following: ‘‘, and for water quality miti-
gation projects to comply with the Federal 
Water Pollution Control Act (33 U.S.C. 1251 et 
seq.) as approved in an environmental record of 
decision for an airport development project 
under this title’’; and 
(2) in the second sentence by striking ‘‘such 35 
percent requirement is’’ and inserting ‘‘the require-
ments of the preceding sentence are’’. 
SEC. 142. SALE OF PRIVATE AIRPORT TO PUBLIC SPONSOR. 
(a) IN GENERAL.—Section 47133(b) is amended— 
(1) by striking ‘‘Subsection (a) shall not apply 
if’’ and inserting the following: 
‘‘(1) PRIOR
LAWS
AND
AGREEMENTS.—Sub-
section (a) shall not apply if’’; and
(2) by adding at the end the following: 
‘‘(2) SALE
OF
PRIVATE
AIRPORT
TO
PUBLIC 
SPONSOR.—In the case of a privately owned airport, 
subsection (a) shall not apply to the proceeds from 
the sale of the airport to a public sponsor if— 
‘‘(A) the sale is approved by the Secretary; 
‘‘(B) funding is provided under this sub-
title for any portion of the public sponsor’s ac-
quisition of airport land; and 
‘‘(C) an amount equal to the remaining 
unamortized portion of any airport improve-
ment grant made to that airport for purposes 
other than land acquisition, amortized over a 
20-year period, plus an amount equal to the 
Federal share of the current fair market value 
of any land acquired with an airport improve-
ment grant made to that airport on or after Oc-
tober 1, 1996, is repaid to the Secretary by the 
private owner. 
‘‘(3) TREATMENT
OF
REPAYMENTS.—Repay-
ments referred to in paragraph (2)(C) shall be treat-
ed as a recovery of prior year obligations.’’. 
(b) APPLICABILITY TO GRANTS.—The amendments 
made by subsection (a) shall apply to grants issued on 
or after October 1, 1996.
SEC. 143. AIRPORT PRIVATIZATION PILOT PROGRAM. 
(a) APPROVAL REQUIREMENTS.—Section 47134 is 
amended 
in 
subsections 
(b)(1)(A)(i), 
(b)(1)(A)(ii), 
(c)(4)(A), and (c)(4)(B) by striking ‘‘65 percent’’ each 
place it appears and inserting ‘‘75 percent’’. 
(b) PROHIBITION ON RECEIPT OF FUNDS.— 
(1) SECTION 47134.—Section 47134 is amended 
by adding at the end the following: 
‘‘(n) PROHIBITION
ON
RECEIPT
OF
CERTAIN 
FUNDS.—An airport receiving an exemption under sub-
section (b) shall be prohibited from receiving apportion-
ments under section 47114 or discretionary funds under 
section 47115.’’. 
(2) 
CONFORMING
AMENDMENTS.—Section 
47134(g) is amended— 
(A) in the subsection heading by striking 
‘‘APPORTIONMENTS;’’; 
(B) in paragraph (1) by striking the semi-
colon at the end and inserting ‘‘; or’’; 
(C) by striking paragraph (2); and 
(D) by redesignating paragraph (3) as 
paragraph (2). 
(c) FEDERAL SHARE OF PROJECT COSTS.—Section 
47109(a) is amended— 
(1) by striking the semicolon at the end of 
paragraph (3) and inserting ‘‘; and’’;
(2) by striking paragraph (4); and 
(3) by redesignating paragraph (5) as para-
graph (4). 
SEC. 144. AIRPORT SECURITY PROGRAM. 
Section 
47137(g) 
is 
amended 
by 
striking 
‘‘$5,000,000’’ and inserting ‘‘$8,500,000’’. 
SEC. 145. SUNSET OF PILOT PROGRAM FOR PURCHASE OF 
AIRPORT DEVELOPMENT RIGHTS. 
Section 47138 is amended by adding at the end the 
following: 
‘‘(f) SUNSET.—This section shall not be in effect 
after September 30, 2007.’’. 
SEC. 146. EXTENSION OF GRANT AUTHORITY FOR COMPAT-
IBLE LAND USE PLANNING AND PROJECTS 
BY STATE AND LOCAL GOVERNMENTS. 
Section 47141(f) is amended by striking ‘‘September 
30, 2007’’ and inserting ‘‘September 30, 2011’’. 
SEC. 147. REPEAL OF LIMITATIONS ON METROPOLITAN 
WASHINGTON AIRPORTS AUTHORITY. 
Section 49108, and the item relating to such section 
in the analysis for chapter 491, are repealed. 
SEC. 148. MIDWAY ISLAND AIRPORT. 
Section 186(d) of the Vision 100—Century of Avia-
tion Reauthorization Act (117 Stat. 2518) is amended by
striking ‘‘October 1, 2007’’ and inserting ‘‘October 1, 
2011’’. 
SEC. 149. PUERTO RICO MINIMUM GUARANTEE. 
Section 47114(e) is amended— 
(1) in the subsection heading by inserting ‘‘AND 
PUERTO RICO’’ after ‘‘ALASKA’’; and 
(2) by adding at the end the following: 
‘‘(5) PUERTO RICO MINIMUM GUARANTEE.—In 
any fiscal year in which the total amount appor-
tioned to airports in Puerto Rico under subsections 
(c) and (d) is less than 1.5 percent of the total 
amount apportioned to all airports under subsections 
(c) and (d), the Secretary shall apportion to the 
Puerto Rico Ports Authority for airport development 
projects in such fiscal year an amount equal to the 
difference between 1.5 percent of the total amounts 
apportioned under subsections (c) and (d) in such 
fiscal year and the amount otherwise apportioned 
under subsections (c) and (d) to airports in Puerto 
Rico in such fiscal year.’’. 
SEC. 150. MISCELLANEOUS AMENDMENTS. 
(a) TECHNICAL CHANGES TO NATIONAL PLAN OF 
INTEGRATED
AIRPORT
SYSTEMS.—Section 47103 is 
amended— 
(1) in subsection (a)—
(A) by striking ‘‘each airport to—’’ and in-
serting ‘‘the airport system to—’’; 
(B) in paragraph (1) by striking ‘‘system 
in the particular area;’’ and inserting ‘‘system, 
including connection to the surface transpor-
tation network; and’’; 
(C) in paragraph (2) by striking ‘‘; and’’ 
and inserting a period; and 
(D) by striking paragraph (3); 
(2) in subsection (b)— 
(A) in paragraph (1) by striking the semi-
colon and inserting ‘‘; and’’; 
(B) by striking paragraph (2) and redesig-
nating paragraph (3) as paragraph (2); and 
(C) in paragraph (2) (as so redesignated) 
by striking ‘‘, Short Takeoff and Landing/Very 
Short Takeoff and Landing aircraft oper-
ations,’’; and 
(3) in subsection (d) by striking ‘‘status of 
the’’. 
(b) UPDATE
VETERANS
PREFERENCE
DEFINI-
TION.—Section 47112(c) is amended— 
(1) in paragraph (1)—
(A) in subparagraph (B) by striking ‘‘sepa-
rated from’’ and inserting ‘‘discharged or re-
leased from active duty in’’; and 
(B) by adding at the end the following: 
‘‘(C) ‘Afghanistan-Iraq war veteran’ means an 
individual who served on active duty (as defined by 
section 101 of title 38) in the armed forces for a pe-
riod of more than 180 consecutive days, any part of 
which occurred during the period beginning on Sep-
tember 11, 2001, and ending on the date prescribed 
by presidential proclamation or by law as the last 
date of Operation Iraqi Freedom, and who was sepa-
rated from the armed forces under honorable condi-
tions.’’; and 
(2) in paragraph (2) by striking ‘‘veterans and’’ 
and inserting ‘‘veterans, Afghanistan-Iraq war vet-
erans, and’’. 
(c) CONSOLIDATION OF TERMINAL DEVELOPMENT 
PROVISIONS.—Section 47119 is amended— 
(1) by redesignating subsections (a), (b), (c) 
and (d) as subsections (b), (c), (d) and (e), respec-
tively; and 
(2) by inserting before subsection (b) (as so re-
designated) the following: 
‘‘(a) TERMINAL DEVELOPMENT PROJECTS.—
‘‘(1) IN GENERAL.—The Secretary may approve 
a project for terminal development (including 
multimodal terminal development) in a nonrevenue- 
producing public-use area of a commercial service 
airport— 
‘‘(A) if the sponsor certifies that the air-
port, on the date the grant application is sub-
mitted to the Secretary, has— 
‘‘(i) all the safety equipment required 
for certification of the airport under sec-
tion 44706; 
‘‘(ii) all the security equipment re-
quired by regulation; and 
‘‘(iii) provided for access by pas-
sengers to the area of the airport for 
boarding or exiting aircraft that are not 
air carrier aircraft; 
‘‘(B) if the cost is directly related to mov-
ing passengers and baggage in air commerce 
within the airport, including vehicles for moving 
passengers between terminal facilities and be-
tween terminal facilities and aircraft; and 
‘‘(C) under terms necessary to protect the 
interests of the Government.
‘‘(2) PROJECT IN REVENUE-PRODUCING AREAS 
AND NONREVENUE-PRODUCING PARKING LOTS.—In 
making a decision under paragraph (1), the Sec-
retary may approve as allowable costs the expenses 
of terminal development in a revenue-producing area 
and construction, reconstruction, repair, and im-
provement in a nonrevenue-producing parking lot 
if— 
‘‘(A) 
except 
as 
provided 
in 
section 
47108(e)(3), the airport does not have more 
than .05 percent of the total annual passenger 
boardings in the United States; and 
‘‘(B) the sponsor certifies that any needed 
airport development project affecting safety, se-
curity, or capacity will not be deferred because 
of the Secretary’s approval.’’; 
(3) in paragraphs (3) and (4)(A) of subsection 
(b) (as redesignated by paragraph (1) of this sub-
section) by striking ‘‘section 47110(d)’’ and insert-
ing ‘‘subsection (a)’’; and 
(4) in paragraph (5) of subsection (b) (as re-
designated by paragraph (1) of this subsection) by 
striking ‘‘subsection (b)(1) and (2)’’ and inserting 
‘‘subsections (c)(1) and (c)(2)’’;
(5) in paragraphs (2)(A), (3), and (4) of sub-
section (c) (as redesignated by paragraph (1) of this 
subsection) by striking ‘‘section 47110(d) of this 
title’’ and inserting ‘‘subsection (a)’’; 
(6) in paragraph (2)(B) of subsection (c) (as 
redesignated by paragraph (1) of this subsection) by 
striking ‘‘section 47110(d)’’ and inserting ‘‘sub-
section (a)’’; 
(7) in subsection (c)(5) (as redesignated by 
paragraph (1) of this subsection) by striking ‘‘sec-
tion 47110(d)’’ and inserting ‘‘subsection (a)’’; and 
(8) by adding at the end the following: 
‘‘(f) LIMITATION ON DISCRETIONARY FUNDS.—The 
Secretary may distribute not more than $20,000,000 from 
the discretionary fund established under section 47115 for 
terminal development projects at a nonhub airport or a 
small hub airport that is eligible to receive discretionary 
funds under section 47108(e)(3).’’. 
(d) ANNUAL REPORT.—Section 47131(a) is amend-
ed— 
(1) by striking ‘‘April 1’’ and inserting ‘‘June 
1’’; and 
(2) by striking paragraphs (1), (2), (3), and (4) 
and inserting the following:
‘‘(1) a summary of airport development and 
planning completed; 
‘‘(2) a summary of individual grants issued; 
‘‘(3) an accounting of discretionary and appor-
tioned funds allocated; 
‘‘(4) the allocation of appropriations; and’’. 
(e) CORRECTION
TO EMISSION CREDITS PROVI-
SION.—Section 47139 is amended— 
(1) 
in 
subsection 
(a) 
by 
striking 
‘‘47102(3)(F),’’; and 
(2) in subsection (b)— 
(A) by striking ‘‘47102(3)(F),’’; and 
(B) by striking ‘‘47103(3)(F),’’. 
(f) CONFORMING AMENDMENT TO CIVIL PENALTY 
ASSESSMENT
AUTHORITY.—Section 
46301(d)(2) 
is 
amended by inserting ‘‘46319,’’ after ‘‘46318,’’. 
(g) OTHER CONFORMING AMENDMENTS.—Sections 
40117(a)(3)(B) and 47108(e)(3) are each amended by 
striking ‘‘section 47110(d)’’ each place it appears and in-
serting ‘‘section 47119(a)’’. 
(h) CORRECTION TO SURPLUS PROPERTY AUTHOR-
ITY.—Section 47151(e) is amended by striking ‘‘(other 
than real property’’ and all that follows through ‘‘(10 
U.S.C. 2687 note))’’.
(i) AIRPORT CAPACITY BENCHMARK REPORTS.—Sec-
tion 47175(2) is amended by striking ‘‘Airport Capacity 
Benchmark Report 2001’’ and inserting ‘‘2001 and 2004 
Airport Capacity Benchmark Reports or table 1 of the 
Federal Aviation Administration’s most recent airport ca-
pacity benchmark report’’. 
TITLE 
II—NEXT 
GENERATION 
AIR 
TRANSPORTATION 
SYS-
TEM AND AIR TRAFFIC CON-
TROL MODERNIZATION 
SEC. 201. MISSION STATEMENT; SENSE OF CONGRESS. 
(a) FINDINGS.—Congress finds the following: 
(1) The United States faces a great national 
challenge as the Nation’s aviation infrastructure is 
at a crossroads. 
(2) The demand for aviation services, a critical 
element of the United States economy, vital in sup-
porting the quality of life of the people of the United 
States, and critical in support of the Nation’s de-
fense and national security, is growing at an ever in-
creasing rate. At the same time, the ability of the 
United States air transportation system to expand 
and change to meet this increasing demand is lim-
ited.
(3) The aviation industry accounts for more 
than 10,000,000 jobs in the United States and con-
tributes approximately $900,000,000,000 annually 
to the United States gross domestic product. 
(4) The United States air transportation sys-
tem continues to drive economic growth in the 
United States and will continue to be a major eco-
nomic driver as air traffic triples over the next 20 
years. 
(5) The Next Generation Air Transportation 
System (in this section referred to as the ‘‘NextGen 
System’’) is the system for achieving long-term 
transformation of the United States air transpor-
tation system that focuses on developing and imple-
menting new technologies and that will set the stage 
for the long-term development of a scalable and 
more flexible air transportation system without com-
promising the unprecedented safety record of United 
States aviation. 
(6) The benefits of the NextGen System, in 
terms of promoting economic growth and develop-
ment, are enormous. 
(7) The NextGen System will guide the path of 
the United States air transportation system in the 
challenging years ahead.
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that— 
(1) modernizing the air transportation system 
is a national priority and the United States must 
make a commitment to revitalizing this essential 
component of the Nation’s transportation infrastruc-
ture; 
(2) one fundamental requirement for the suc-
cess of the NextGen System is strong leadership and 
sufficient resources; 
(3) the Joint Planning and Development Office 
of the Federal Aviation Administration and the Next 
Generation Air Transportation System Senior Policy 
Committee, each established by Congress in 2003, 
will lead and facilitate this important national mis-
sion to ensure that the programs and capabilities of 
the NextGen System are carefully integrated and 
aligned; 
(4) Government agencies and industry must 
work together, carefully integrating and aligning 
their work to meet the needs of the NextGen System 
in the development of budgets, programs, planning, 
and research; 
(5) the Department of Transportation, the Fed-
eral Aviation Administration, the Department of De-
fense, the Department of Homeland Security, the 
Department of Commerce, and the National Aero-
nautics and Space Administration must work in co-
operation and make transformational improvements 
to the United States air transportation infrastruc-
ture a priority; and 
(6) due to the critical importance of the 
NextGen System to the economic and national secu-
rity of the United States, partner departments and 
agencies must be provided with the resources re-
quired to complete the implementation of the 
NextGen System. 
SEC. 202. NEXT GENERATION AIR TRANSPORTATION SYS-
TEM JOINT PLANNING AND DEVELOPMENT 
OFFICE. 
(a) ESTABLISHMENT.— 
(1) ASSOCIATE ADMINISTRATOR FOR THE NEXT 
GENERATION AIR TRANSPORTATION SYSTEM.—Sec-
tion 709(a) of Vision 100—Century of Aviation Re-
authorization Act (49 U.S.C. 40101 note; 117 Stat. 
2582) is amended— 
(A) by redesignating paragraphs (2), (3), 
and (4) as paragraphs (3), (4), and (5), respec-
tively; and
(B) by inserting after paragraph (1) the 
following: 
‘‘(2) The director of the Office shall be the Associate 
Administrator for the Next Generation Air Transportation 
System, who shall be appointed by the Administrator of 
the Federal Aviation Administration. The Associate Ad-
ministrator shall report to the Administrator.’’. 
(2) RESPONSIBILITIES.—Section 709(a)(3) of 
such Act (as redesignated by paragraph (1) of this 
subsection) is amended— 
(A) in subparagraph (G) by striking ‘‘; 
and’’ and inserting a semicolon; 
(B) in subparagraph (H) by striking the 
period at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following: 
‘‘(I) establishing specific quantitative goals 
for the safety, capacity, efficiency, performance, 
and environmental impacts of each phase of 
Next Generation Air Transportation System im-
plementation activities and measuring actual 
operational experience against those goals, tak-
ing into account noise pollution reduction con-
cerns of affected communities to the greatest 
extent practicable in establishing the environ-
mental goals;
‘‘(J) working to ensure global interoper-
ability of the Next Generation Air Transpor-
tation System; 
‘‘(K) working to ensure the use of weather 
information and space weather information in 
the Next Generation Air Transportation System 
as soon as possible; 
‘‘(L) overseeing, with the Administrator of 
the Federal Aviation Administration, the selec-
tion of products or outcomes of research and 
development activities that would be moved to 
the next stage of a demonstration project; and 
‘‘(M) maintaining a baseline modeling and 
simulation environment for testing and evalu-
ating alternative concepts to satisfy Next Gen-
eration Air Transportation enterprise architec-
ture requirements.’’. 
(3) COOPERATION
WITH
OTHER
FEDERAL 
AGENCIES.—Section 709(a)(4) of such Act (as re-
designated by paragraph (1) of this subsection) is 
amended— 
(A) by striking ‘‘(4)’’ and inserting 
‘‘(4)(A)’’; and 
(B) by adding at the end the following:
‘‘(B) The Secretary of Defense, the Administrator of 
the National Aeronautics and Space Administration, the 
Secretary of Commerce, the Secretary of Homeland Secu-
rity, and the head of any other Federal agency from which 
the Secretary of Transportation requests assistance under 
subparagraph (A) shall designate a senior official in the 
agency to be responsible for— 
‘‘(i) carrying out the activities of the agency re-
lating to the Next Generation Air Transportation 
System in coordination with the Office, including the 
execution of all aspects of the work of the agency in 
developing and implementing the integrated work 
plan described in subsection (b)(5); 
‘‘(ii) serving as a liaison for the agency in ac-
tivities of the agency relating to the Next Generation 
Air Transportation System and coordinating with 
other Federal agencies involved in activities relating 
to the System; and 
‘‘(iii) ensuring that the agency meets its obliga-
tions as set forth in any memorandum of under-
standing executed by or on behalf of the agency re-
lating to the Next Generation Air Transportation 
System. 
‘‘(C) The head of a Federal agency referred to in sub-
paragraph (B) shall ensure that—
‘‘(i) the responsibilities of the agency relating to 
the Next Generation Air Transportation System are 
clearly communicated to the senior official of the 
agency designated under subparagraph (B); and 
‘‘(ii) the performance of the senior official in 
carrying out the responsibilities of the agency relat-
ing to the Next Generation Air Transportation Sys-
tem is reflected in the official’s annual performance 
evaluations and compensation. 
‘‘(D) The head of a Federal agency referred to in 
subparagraph (B) shall— 
‘‘(i) establish or designate an office within the 
agency to carry out its responsibilities under the 
memorandum of understanding under the super-
vision of the designated official; and 
‘‘(ii) ensure that the designated official has suf-
ficient budgetary authority and staff resources to 
carry out the agency’s Next Generation Air Trans-
portation System responsibilities as set forth in the 
integrated plan under subsection (b). 
‘‘(E) Not later than 6 months after the date of enact-
ment of this subparagraph, the head of each Federal agen-
cy that has responsibility for carrying out any activity 
under the integrated plan under subsection (b) shall exe-
cute a memorandum of understanding with the Office obli-
gating that agency to carry out the activity.’’. 
(4) COORDINATION WITH OMB.—Section 709(a) 
of such Act (117 Stat. 2582) is further amended by 
adding at the end the following: 
‘‘(6)(A) The Office shall work with the Director of 
the Office of Management and Budget to develop a process 
whereby the Director will identify projects related to the 
Next Generation Air Transportation System across the 
agencies referred to in paragraph (4)(A) and consider the 
Next Generation Air Transportation System as a unified, 
cross-agency program. 
‘‘(B) The Director, to the maximum extent prac-
ticable, shall— 
‘‘(i) ensure that— 
‘‘(I) each Federal agency covered by the 
plan has sufficient funds requested in the Presi-
dent’s budget, as submitted under section 
1105(a) of title 31, United States Code, for 
each fiscal year covered by the plan to carry out 
its responsibilities under the plan; and 
‘‘(II) the development and implementation 
of the Next Generation Air Transportation Sys-
tem remains on schedule;
‘‘(ii) include, in the President’s budget, a state-
ment of the portion of the estimated budget of each 
Federal agency covered by the plan that relates to 
the activities of the agency under the Next Genera-
tion Air Transportation System initiative; and 
‘‘(iii) identify and justify as part of the Presi-
dent’s budget submission any inconsistencies be-
tween the plan and amounts requested in the budg-
et. 
‘‘(7) The Associate Administrator of the Next Gen-
eration Air Transportation System shall be a voting mem-
ber of the Joint Resources Council of the Federal Aviation 
Administration.’’. 
(b) INTEGRATED PLAN.—Section 709(b) of such Act 
(117 Stat. 2583) is amended— 
(1) in the matter preceding paragraph (1)— 
(A) by striking ‘‘meets air’’ and inserting 
‘‘meets anticipated future air’’; and 
(B) by striking ‘‘beyond those currently in-
cluded in the Federal Aviation Administration’s 
operational evolution plan’’; 
(2) by striking ‘‘and’’ at the end of paragraph 
(3); 
(3) by striking the period at the end of para-
graph (4) and inserting ‘‘; and’’; and
(4) by adding at the end the following: 
‘‘(5) a multiagency integrated work plan for the 
Next Generation Air Transportation System that in-
cludes— 
‘‘(A) an outline of the activities required to 
achieve the end-state architecture, as expressed 
in the concept of operations and enterprise ar-
chitecture documents, that identifies each Fed-
eral agency or other entity responsible for each 
activity in the outline; 
‘‘(B) details on a year-by-year basis of spe-
cific accomplishments, activities, research re-
quirements, rulemakings, policy decisions, and 
other milestones of progress for each Federal 
agency or entity conducting activities relating to 
the Next Generation Air Transportation Sys-
tem; 
‘‘(C) for each element of the Next Genera-
tion Air Transportation System, an outline, on 
a year-by-year basis, of what is to be accom-
plished in that year toward meeting the Next 
Generation Air Transportation System’s end- 
state architecture, as expressed in the concept 
of operations and enterprise architecture docu-
ments, as well as identifying each Federal agen-
cy or other entity that will be responsible for 
each component of any research, development, 
or implementation program; 
‘‘(D) an estimate of all necessary expendi-
tures on a year-by-year basis, including a state-
ment of each Federal agency or entity’s respon-
sibility for costs and available resources, for 
each stage of development from the basic re-
search stage through the demonstration and im-
plementation phase; 
‘‘(E) a clear explanation of how each step 
in the development of the Next Generation Air 
Transportation System will lead to the following 
step and of the implications of not successfully 
completing a step in the time period described 
in the integrated work plan; 
‘‘(F) a transition plan for the implementa-
tion of the Next Generation Air Transportation 
System that includes date-specific milestones 
for the implementation of new capabilities into 
the national airspace system; and 
‘‘(G) date-specific timetables for meeting 
the environmental goals identified in subsection 
(a)(3)(I).’’.
(c) OPERATIONAL EVOLUTION PARTNERSHIP.—Sec-
tion 709(d) of such Act (117 Stat. 2584) is amended to 
read as follows: 
‘‘(d) OPERATIONAL EVOLUTION PARTNERSHIP.— 
The Administrator of the Federal Aviation Administration 
shall develop and publish annually the document known 
as the ‘Operational Evolution Partnership’, or any suc-
cessor document, that provides a detailed description of 
how the agency is implementing the Next Generation Air 
Transportation System.’’. 
(d) AUTHORIZATION OF APPROPRIATIONS.—Section 
709(e) of such Act (117 Stat. 2584) is amended by strik-
ing ‘‘2010’’ and inserting ‘‘2011’’. 
(e) CONTINGENCY PLANNING.—The Associate Ad-
ministrator for the Next Generation Air Transportation 
System shall, as part of the design of the System, develop 
contingency plans for dealing with the degradation of the 
System in the event of a natural disaster, major equip-
ment failure, or act of terrorism. 
SEC. 203. NEXT GENERATION AIR TRANSPORTATION SEN-
IOR POLICY COMMITTEE. 
(a) MEETINGS.—Section 710(a) of Vision 100—Cen-
tury of Aviation Reauthorization Act (49 U.S.C. 40101 
note; 117 Stat. 2584) is amended by inserting before the
period at the end the following ‘‘and shall meet at least 
twice each year’’. 
(b) ANNUAL REPORT.—Section 710 of such Act (117 
Stat. 2584) is amended by adding at the end the following: 
‘‘(e) ANNUAL REPORT.— 
‘‘(1) SUBMISSION
TO
CONGRESS.—Not later 
than one year after the date of enactment of this 
subsection, and annually thereafter on the date of 
submission of the President’s budget request to Con-
gress under section 1105(a) of title 31, United 
States Code, the Secretary shall submit to the Com-
mittee on Transportation and Infrastructure and the 
Committee on Science and Technology of the House 
of Representatives and the Committee on Commerce, 
Science, and Transportation of the Senate a report 
summarizing the progress made in carrying out the 
integrated work plan required by section 709(b)(5) 
and any changes in that plan. 
‘‘(2) CONTENTS.—The report shall include— 
‘‘(A) a copy of the updated integrated 
work plan; 
‘‘(B) a description of the progress made in 
carrying out the integrated work plan and any 
changes in that plan, including any changes
based on funding shortfalls and limitations set 
by the Office of Management and Budget; 
‘‘(C) a detailed description of— 
‘‘(i) the success or failure of each item 
of the integrated work plan for the pre-
vious year and relevant information as to 
why any milestone was not met; and 
‘‘(ii) the impact of not meeting the 
milestone and what actions will be taken in 
the future to account for the failure to 
complete the milestone; 
‘‘(D) an explanation of any change to fu-
ture years in the integrated work plan and the 
reasons for such change; and 
‘‘(E) an identification of the levels of fund-
ing for each agency participating in the inte-
grated work plan devoted to programs and ac-
tivities under the plan for the previous fiscal 
year and in the President’s budget request.’’. 
SEC. 204. AUTOMATIC DEPENDENT SURVEILLANCE-BROAD-
CAST SERVICES. 
(a) REPORT ON FAA PROGRAM AND SCHEDULE.— 
(1) IN
GENERAL.—The Administrator of the 
Federal Aviation Administration shall prepare a re-
port detailing the program and schedule for inte-
grating automatic dependent surveillance-broadcast 
(in this section referred to as ‘‘ADS-B’’) technology 
into the national airspace system. 
(2) CONTENTS.—The report shall include— 
(A) a description of segment 1 and seg-
ment 2 activity to acquire ADS-B services; 
(B) a description of plans for implementa-
tion of advanced operational procedures and 
ADS-B air-to-air applications; and 
(C) a discussion of protections that the 
Administration will require as part of any con-
tract or program in the event of a contractor’s 
default, bankruptcy, acquisition by another en-
tity, or any other event jeopardizing the unin-
terrupted provision of ADS-B services. 
(3) SUBMISSION TO CONGRESS.—Not later than 
90 days after the date of enactment of this Act, the 
Administrator shall submit to the Committee on 
Transportation and Infrastructure of the House of 
Representatives and the Committee on Commerce, 
Science, and Transportation of the Senate the report 
prepared under paragraph (1). 
(b) REQUIREMENTS OF FAA CONTRACTS FOR ADS- 
B SERVICES.—Any contract entered into by the Adminis-
trator with an entity to acquire ADS-B services shall con-
tain terms and conditions that— 
(1) require approval by the Administrator be-
fore the contract may be assigned to or assumed by 
another entity, including any successor entity, sub-
sidiary of the contractor, or other corporate entity; 
(2) provide that the assets, equipment, hard-
ware, and software used in the performance of the 
contract be designated as critical national infrastruc-
ture for national security and related purposes; 
(3) require the contractor to provide continued 
broadcast services for a reasonable period, as deter-
mined by the Administrator, until the provision of 
such services can be transferred to another vendor 
or to the Government in the event of a termination 
of the contract; 
(4) require the contractor to provide continued 
broadcast services for a reasonable period, as deter-
mined by the Administrator, until the provision of 
such services can be transferred to another vendor 
or to the Government in the event of material non-
performance, as determined by the Administrator; 
and 
(5) permit the Government to acquire or utilize 
for a reasonable period, as determined by the Ad-
ministrator, the assets, equipment, hardware, and 
software necessary to ensure the continued and un-
interrupted provision of ADS-B services and to have 
ready access to such assets, equipment, hardware, 
and software through its own personnel, agents, or 
others, if the Administrator provides reasonable 
compensation for such acquisition or utilization. 
(c) REVIEW BY DOT INSPECTOR GENERAL.— 
(1) IN
GENERAL.—The Inspector General of 
the Department of Transportation shall conduct a 
review concerning the Federal Aviation Administra-
tion’s award and oversight of any contract entered 
into by the Administration to provide ADS-B serv-
ices for the national airspace system. 
(2) CONTENTS.—The review shall include, at a 
minimum— 
(A) an examination of how program risks 
are being managed; 
(B) an assessment of expected benefits at-
tributable to the deployment of ADS-B services, 
including the implementation of advanced oper-
ational procedures and air-to-air applications as 
well as to the extent to which ground radar will 
be retained;
(C) a determination of whether the Admin-
istration has established sufficient mechanisms 
to ensure that all design, acquisition, operation, 
and maintenance requirements have been met 
by the contractor; 
(D) an assessment of whether the Admin-
istration and any contractors are meeting cost, 
schedule, and performance milestones, as meas-
ured against the original baseline of the Admin-
istration’s program for providing ADS-B serv-
ices; 
(E) an assessment of whether security 
issues are being adequately addressed in the 
overall design and implementation of the ADS- 
B system; and 
(F) any other matters or aspects relating 
to contract implementation and oversight that 
the Inspector General determines merit atten-
tion. 
(3) REPORTS
TO
CONGRESS.—The Inspector 
General shall periodically, on at least an annual 
basis, submit to the Committee on Transportation 
and Infrastructure of the House of Representatives 
and the Committee on Commerce, Science, and
Transportation of the Senate a report on the results 
of the review conducted under this subsection. 
SEC. 205. INCLUSION OF STAKEHOLDERS IN AIR TRAFFIC 
CONTROL MODERNIZATION PROJECTS. 
(a) IN GENERAL.—The Administrator of the Federal 
Aviation Administration shall establish a process for in-
cluding in the planning, development, and deployment of 
air traffic control modernization projects (including the 
Next Generation Air Transportation System) and collabo-
rating with qualified employees selected by each exclusive 
collective bargaining representative of employees of the 
Administration who are likely to be impacted by such plan-
ning, development, and deployment. 
(b) PARTICIPATION.— 
(1) BARGAINING OBLIGATIONS AND RIGHTS.— 
Participation in the process described in subsection 
(a) shall not be construed as a waiver of any bar-
gaining 
obligations 
or 
rights 
under 
section 
40122(a)(1) or 40122(g)(2)(C) of title 49, United 
States Code. 
(2) CAPACITY AND COMPENSATION.—Exclusive 
collective bargaining representatives and selected 
employees participating in the process described in 
subsection (a) shall—
(A) serve in a collaborative and advisory 
capacity; and 
(B) receive appropriate travel and per 
diem expenses in accordance with the travel 
policies of the Administration in addition to any 
regular compensation and benefits. 
(c) REPORT.—Not later than 180 days after the date 
of enactment of this Act, the Administrator shall submit 
to the Committee on Transportation and Infrastructure 
of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate a 
report on the implementation of this section. 
SEC. 206. GAO REVIEW OF CHALLENGES ASSOCIATED WITH 
TRANSFORMING TO THE NEXT GENERATION 
AIR TRANSPORTATION SYSTEM. 
(a) IN GENERAL.—The Comptroller General shall 
conduct a review of the progress and challenges associated 
with transforming the Nation’s air traffic control system 
into the Next Generation Air Transportation System (in 
this section referred to as the ‘‘NextGen System’’). 
(b) REVIEW.—The review shall include the following: 
(1) An evaluation of the continued implementa-
tion and institutionalization of the processes that are 
key to the ability of the Air Traffic Organization to 
effectively maintain management structures and sys-