I
104TH CONGRESS
2D SESSION
H. R. 3539
To amend title 49, United States Code, to reauthorize programs of the
Federal Aviation Administration, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
MAY 29, 1996
Mr. SHUSTER (for himself, Mr. DUNCAN, Mr. OBERSTAR, and Mr. LIPINSKI)
introduced the following bill; which was referred to the Committee on
Transportation and Infrastructure, and in addition to the Committees on
Ways and Means, and Rules, for a period to be subsequently determined
by the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
A BILL
To amend title 49, United States Code, to reauthorize pro-
grams of the Federal Aviation Administration, and for
other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Federal Aviation Authorization Act of 1996’’.
(b) TABLE OF CONTENTS.—
Sec. 1. Short title; table of contents.
Sec. 2. Amendments to title 49, United States Code.
Sec. 3. Applicability.
(2) by striking ‘‘$17,583,500,000’’ and all that
follows through the period at the end and inserting
the following: ‘‘$2,280,000,000 for fiscal years end-
ing before October 1, 1997, $4,627,000,000 for fis-
cal years ending before October 1, 1998, and
$7,039,000,000 for fiscal years ending before Octo-
ber 1, 1999.’’.
(b) OBLIGATIONAL AUTHORITY.—Section 47104(c)
is amended by striking ‘‘1996’’ and inserting ‘‘1999’’.
SEC. 102. AIRWAY FACILITIES IMPROVEMENT PROGRAM.
(a) AUTHORIZATION OF APPROPRIATIONS.—Section
48101(a) is amended by striking paragraphs (1) through
(4) and inserting the following:
‘‘(1) $2,068,000,000 for fiscal year 1997.
‘‘(2) $2,129,000,000 for fiscal year 1998.
‘‘(3) $2,191,000,000 for fiscal year 1999.’’.
(b) CLERICAL
AMENDMENTS.—Chapter 481 is
amended—
(1) by striking the heading for section 48101
and inserting the following:
‘‘§ 48101. Air navigation facilities and equipment’’; and
(2) in the table of sections by striking the item
relating to section 48101 and inserting the follow-
ing:
‘‘48101. Air navigation facilities and equipment.’’.
SEC. 103. OPERATIONS OF FAA.
(a) AUTHORIZATION
OF
APPROPRIATIONS
FROM
GENERAL FUND.—Section 106(k) is amended by striking
‘‘$4,088,000,000’’ and all that follows through the period
at the end and inserting the following: ‘‘$5,158,000,000
for fiscal year 1997, $5,344,000,000 for fiscal year 1998,
and $5,538,000,000 for fiscal year 1999.’’.
(b) AUTHORIZATION
OF
APPROPRIATIONS
FROM
TRUST FUND.—Section 48104(c) is amended—
(1) in the subsection heading by striking
‘‘1996’’ and inserting ‘‘1999’’; and
(2) by striking ‘‘1994, 1995, and 1996’’ and in-
serting ‘‘1994 through 1999’’.
(c) LIMITATION
ON OBLIGATING
OR EXPENDING
AMOUNTS.—Section 48108(c) is amended by striking
‘‘1996’’ and inserting ‘‘1999’’.
(d) CLERICAL
AMENDMENTS.—Chapter 481 is
amended—
(1) by striking the heading for section 48104
and inserting the following:
‘‘§ 48104. Operations and maintenance’’; and
(2) in the table of sections for such chapter by
striking the item relating to section 48104 and in-
serting the following:
‘‘48104. Operations and maintenance.’’.
TITLE II—AIRPORT
DEVELOPMENT FINANCING
SEC. 201. APPORTIONMENTS.
(a) AMOUNTS APPORTIONED TO SPONSORS.—
(1) 
PRIMARY
AIRPORTS.—Section
47114(c)(1)(A) is amended—
(A) by striking ‘‘and’’ at the end of clause
(iii);
(B) in clause (iv) by striking ‘‘additional’’
and inserting ‘‘of the next 500,000’’;
(C) by striking the period at the end of
clause (iv) and inserting ‘‘; and’’; and
(D) by adding at the end the following:
‘‘(v) $.50 for each additional passenger board-
ing at the airport during the prior calendar year.’’.
(2) 
CARGO
SERVICE
AIRPORTS.—Section
47114(c)(2)(A) is amended by striking ‘‘3.5’’ and in-
serting ‘‘2.5’’.
(3) 
REPEAL
OF
LIMITATION.—Section
47114(c)(3) is repealed.
(b) AMOUNTS APPORTIONED TO STATES.—Section
47114(d)(2) of such title is amended—
(1) by striking ‘‘12’’ and inserting ‘‘18.5’’;
(2) in subparagraph (A) by striking ‘‘one’’ and
inserting ‘‘0.66’’;
(3) in each of subparagraphs (B) and (C) by
striking ‘‘49.5’’ and inserting ‘‘49.67’’; and
(4) in each of subparagraphs (B) and (C) by
striking ‘‘except’’ the second place it appears and all
that follows through ‘‘title,’’ and inserting ‘‘exclud-
ing primary airports but including reliever and non-
primary commercial service airports,’’.
SEC. 202. DISCRETIONARY FUND.
Section 47115 is amended by striking the second sub-
section (f), relating to minimum amounts to be credited,
and inserting the following:
‘‘(g) MINIMUM AMOUNT TO BE CREDITED.—
‘‘(1) GENERAL RULE.—In a fiscal year, there
shall be credited to the fund, out of amounts made
available under section 48103 of this title, an
amount that is equal to or greater than the total
amount required from the fund to carry out in the
fiscal year letters of intent issued before January 1,
1996, under section 47110(e) of this title or the Air-
port and Airway Improvement Act of 1982. The
amount credited is exclusive of amounts that have
been apportioned in a prior fiscal year under section
47114 of this title and that remain available for ob-
ligation.
‘‘(2) REDUCTION OF APPORTIONMENTS.—In a
fiscal year in which the amount credited under sub-
section (a) is less than the minimum amount to be
credited under paragraph (1), the total amount cal-
culated under paragraph (3) shall be reduced by an
amount that, when credited to the fund, together
with the amount credited under subsection (a),
equals such minimum amount.
‘‘(3) AMOUNT
OF
REDUCTION.—For a fiscal
year, the total amount available to make a reduction
to carry out paragraph (2) is the total of the
amounts determined under sections 47114(c)(1)(A),
47114(c)(2), 47114(d), and 47117(e) of this title.
Each amount shall be reduced by an equal percent-
age to achieve the reduction.’’.
SEC. 203. USE OF APPORTIONED AMOUNTS.
(a) PERIOD OF AVAILABILITY.—Section 47117(b) is
amended by inserting before the period at the end of the
first sentence the following: ‘‘or the 3 fiscal years imme-
diately following that year in the case of a primary airport
that had less than .05 percent of the total boardings in
the United States in the preceding calendar year’’.
(b) SPECIAL APPORTIONMENT CATEGORIES.—Sec-
tion 47117(e)(1) is amended—
(1) by striking ‘‘made available under section
48103’’ and inserting ‘‘available to the discretionary
fund under section 47115’’;
(2) by striking subparagraphs (A), (C), and
(D);
(3) by redesignating subparagraphs (B) and
(E) as subparagraphs (A) and (B), respectively;
(4) in subparagraph (A), as so redesignated, by
striking ‘‘at least 12.5’’ and inserting ‘‘At least 31’’;
(5) by adding at the end of subparagraph (A),
as so redesignated, the following: ‘‘The Secretary
may count the amount of grants made for such plan-
ning and programs with funds apportioned under
section 47114 in that fiscal year in determining
whether or not such 25 percent requirement is being
met in that fiscal year.’’;
(6) in subparagraph (B), as so redesignated, by
striking ‘‘at least 2.25’’ and all that follows through
‘‘1996,’’ and inserting ‘‘At least 4 percent for each
fiscal year thereafter’’; and
(7) by inserting before the period at the end of
subparagraph (B), as so redesignated, the following:
‘‘and to sponsors of noncommercial service airports
for grants for operational and maintenance expenses
at any such airport if the amount of such grants to
the sponsor of the airport does not exceed $30,000
in that fiscal year, if the Secretary determines that
the airport is adversely affected by the closure or re-
alignment of a military base, and if the sponsor of
the airport certifies that the airport would otherwise
close if the airport does not receive the grant’’.
SEC. 204. DESIGNATING CURRENT AND FORMER MILITARY
AIRPORTS.
(a) GENERAL REQUIREMENTS.—Section 47118(a) is
amended—
(1) by striking ‘‘not more than 15’’;
(2) by inserting after the first sentence the fol-
lowing: ‘‘The maximum number of airports which
may be designated by the Secretary under this sec-
tion at any time is 10.’’; and
(3) by striking ‘‘reduce delays’’ and all that fol-
lows through ‘‘landings’’ and inserting the following:
‘‘enhance airport and air traffic control system ca-
pacity in major metropolitan areas and reduce cur-
rent and projected flight delays’’.
(b) SURVEY AND CONSIDERATIONS.—Section 47118
is amended—
(1) in subsections (a) and (d) by striking ‘‘sec-
tion 
47117(e)(1)(E)’’ 
and 
inserting 
‘‘section
47117(e)(1)(B)’’; and
(2) by striking subsections (b) and (c) and re-
designating subsections (d), (e), and (f) as sub-
sections (b), (c), and (d), respectively.
(c) PARKING LOTS, FUEL FARMS, AND UTILITIES.—
Subsection (d) of section 47118, as redesignated by sub-
section (b) of this section, is amended by striking ‘‘the
fiscal years ending September 30, 1993–1996,’’ and in-
serting ‘‘for fiscal years beginning after September 30,
1992,’’.
SEC. 205. SELECT PANEL ON AIRPORT AND AGENCY FI-
NANCING.
(a) ESTABLISHMENT.—There is established an advi-
sory committee which shall be known as the Select Panel
on Airport and Agency Financing (hereinafter in this sec-
tion referred to as the ‘‘panel’’).
(b) FUNCTIONS.—The panel shall evaluate and rec-
ommend innovative financing mechanisms for ensuring
adequate funding for airport capital needs and Federal
Aviation Administration capital and operating needs.
(c) MEMBERSHIP.—The panel shall consist of 15
members as follows:
(1) 7 members appointed by the Secretary of
Transportation, in consultation with the Secretary of
the Treasury, of whom—
(A) 3 shall have expertise in aviation; and
(B) 3 shall have expertise in financing, in-
cluding at least 1 with expertise in airport fi-
nancing.
(2) 8 members appointed by Congress as fol-
lows:
(A) 1 member appointed by each of the
chairman and ranking minority member of the
Committee on Transportation and Infrastruc-
ture of the House of Representatives.
(B) 1 member appointed by each of the
chairman and ranking minority member of the
Committee on Appropriations of the House of
Representatives.
(C) 1 member appointed by each of the
chairman and ranking minority member of the
Committee on Commerce, Science, and Trans-
portation of the Senate.
(D) 1 member appointed by each of the
chairman and ranking minority member of the
Committee on Appropriations of the Senate.
(d) RESTRICTION ON APPOINTMENT OF CURRENT
AVIATION EMPLOYEES.—A member appointed under sub-
section (c)(1) may not be an employee of an airline, air-
port, or aviation trade association at the time of appoint-
ment or while serving on the panel.
(e) CHAIRMAN.—The Secretary of Transportation, in
consultation with the Secretary of the Treasury, shall des-
ignate a chairman of the panel from among the members
appointed under subsection (c)(1).
(f) CHARTER.—The Secretary of Transportation, in
consultation with the Secretary of the Treasury, shall pro-
vide the panel with a charter of the matters to be evalu-
ated and addressed by the panel. The charter, at a mini-
mum, shall direct the panel to undertake the following:
(1) Evaluate and identify current and expected
airport capital needs and Federal Aviation Adminis-
tration capital and operating needs.
(2) Assess the ability of various financing mech-
anisms to meet airport capital requirements by type
and size of airport. The financing mechanisms to be
assessed under this paragraph include the airport
improvement program, passenger facility charges,
tax-exempt bonds, State and local assistance, airport
privatization, infrastructure banks, government-
sponsored enterprises, and leveraging of Federal air-
port funding. In conducting the assessment under
this paragraph, the panel shall consider the special
problems of non-hub airports and general aviation
airports.
(b) REQUIREMENTS FOR PROJECT GRANT APPLICA-
TIONS.—Section 47106(a) is amended—
(1) by inserting ‘‘, including transportation and
land use plans’’ before the semicolon at the end of
paragraph (1);
(2) by striking ‘‘and’’ at the end of paragraph
(4);
(3) by striking the period at the end of para-
graph (5) and inserting ‘‘; and’’; and
(4) by adding at the end the following:
‘‘(6) with respect to a project for the location
of an airport, the sponsor has—
‘‘(A) provided the metropolitan planning
organization authorized to conduct metropolitan
planning for the area in which the airport is to
be located with not less than 30 days (i) to re-
view the airport master plan or the airport lay-
out plan in which the project is described and
depicted, and (ii) to submit comments on such
plans to the sponsor; and
‘‘(B) included in the sponsor’s application
to the Secretary the sponsor’s written responses
to any comments made by the metropolitan
planning organization.’’.
SEC. 302. COMPLIANCE WITH FEDERAL MANDATES.
(a) USE
OF AIP GRANTS.—Section 47102(3) is
amended—
(1) in subparagraph (E) by inserting ‘‘or under
section 40117’’ before the period at the end; and
(2) in subparagraph (F) by striking ‘‘paid for
by a grant under this subchapter and’’.
(b) USE OF PASSENGER FACILITY CHARGES.—Sec-
tion 40117(a)(3) is amended—
(1) by inserting ‘‘and’’ at the end of subpara-
graph (D);
(2) by striking ‘‘; and’’ at the end of subpara-
graph (E) and inserting a period; and
(3) by striking subparagraph (F).
SEC. 303. RUNWAY MAINTENANCE PROGRAM.
(a) AUTHORITY.—Section 47105 is amended by add-
ing at the end the following:
‘‘(g) RUNWAY MAINTENANCE PROGRAM.—The Sec-
retary may carry out a pilot program in each of fiscal
years 1997, 1998, and 1999 under which the Secretary
may approve applications under this subchapter for not
more than 10 projects in each of such fiscal years to pre-
serve and extend the useful life of runways and taxiways
at any airport for which an amount is apportioned under
section 47114(d).’’.
(b) INCLUSION IN AIRPORT DEVELOPMENT ACTIVI-
TIES.—Section 47102(3) is amended by adding at the end
the following:
‘‘(H) preserving and extending the useful
life of runways and taxiways at a public-use air-
port under the pilot program authorized by sec-
tion 47105(g) of this title.’’.
SEC. 304. ACCESS TO AIRPORTS BY INTERCITY BUSES.
Section 47107(a) is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(18);
(2) by striking the period at the end of para-
graph (19) and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(20) the airport owner or operator will permit,
to the maximum extent practicable, intercity buses
to have access to the airport.’’.
SEC. 305. COST REIMBURSEMENT FOR PROJECTS COM-
MENCED PRIOR TO GRANT AWARD.
(a) 
COST
REIMBURSEMENT.—Section
47110(b)(2)(C) is amended to read as follows:
‘‘(C) if the Government’s share is paid only
with amounts apportioned under section 47114(c)(1)
and (2) of this title and if the cost is incurred—
‘‘(i) after September 30, 1996;
‘‘(ii) before a grant agreement is executed
for the project; and
‘‘(iii) in accordance with an airport layout
plan approved by the Secretary and with all
statutory and administrative requirements that
would have been applicable to the project if the
project had been carried out after the grant
agreement had been executed.’’.
(b) USE OF DISCRETIONARY FUNDS.—Section 47110
is amended by adding at the end the following:
‘‘(g) USE OF DISCRETIONARY FUNDS.—A project for
which cost reimbursement is provided under subsection
(b)(2)(C) shall not receive priority consideration with re-
spect to the use of discretionary funds made available
under section 47115 of this title even if the amounts made
available under sections 47114(c)(1) and 47114(c)(2) are
not sufficient to cover the Government’s share of the cost
of project.’’.
SEC. 306. SELECTION OF PROJECTS FOR GRANTS FROM
DISCRETIONARY FUND.
Section 47115(d) is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(2);
(2) by striking the period at the end of para-
graph (3) and inserting a semicolon; and
(3) by adding at the end the following:
‘‘(4) the priority that the State gives to the
project; and
‘‘(5) the projected growth in the number of pas-
sengers that will be using the airport at which the
project will be carried out.’’.
SEC. 307. STATE BLOCK GRANT PROGRAM.
(a) PARTICIPATING
STATES.—Section 47128 is
amended—
(1) in subsection (a) by striking ‘‘7’’ and insert-
ing ‘‘10’’;
(2) in subsection (b)(1)—
(A) by striking ‘‘(1)’’; and
(B) by redesignating subparagraphs (A)
through (E) as paragraphs (1) through (5), re-
spectively; and
(3) by striking subsection (b)(2).
(b) USE
OF STATE PRIORITY SYSTEM.—Section
47128(c) is amended—
(1) by striking ‘‘(b)(1) (B) or (C)’’ and insert-
ing ‘‘(b)(2) or (b)(3)’’; and
(2) by adding at the end the following: ‘‘In car-
rying out this subsection, the Secretary shall permit
a State to use the priority system of the State if
‘‘(1) The airport will continue to be available
for public use on reasonable terms and conditions
and without unjust discrimination.
‘‘(2) The operation of the airport will not be in-
terrupted in the event that the purchaser or lessee
becomes insolvent or seeks or becomes subject to any
State or Federal bankruptcy, reorganization, insol-
vency, liquidation, or dissolution proceeding or any
petition or similar law seeking the dissolution or re-
organization of the purchaser or lessee or the ap-
pointment of a receiver, trustee, custodian, or liq-
uidator for the purchaser or lessee or a substantial
part of the purchaser or lessee’s property, assets, or
business.
‘‘(3) The purchaser or lessee will maintain and
improve the facilities of the airport.
‘‘(4) Every fee of the airport imposed on an air
carrier on the day before the date of the sale or
lease of the airport will not increase faster than the
rate of inflation unless a higher amount is agreed to
by the air carrier or air carriers that carried more
than 50 percent of the total passenger boardings at
the airport in the preceding calendar year.
‘‘(5) Safety and security at the airport will be
maintained at the highest possible levels.
‘‘(6) The adverse effects of noise from oper-
ations at the airport will be mitigated to the same
extent as at a public airport.
‘‘(7) Any adverse effects on the environment
from airport operations will be mitigated to the same
extent as at a public airport.
‘‘(d) PARTICIPATION OF CERTAIN AIRPORTS.—If the
Secretary approves under subsection (b) applications with
respect to 6 airports, at least one of the airports must
be an airport that is not a commercial service airport.
‘‘(e) PASSENGER
FACILITY
FEES; APPORTION-
MENTS.—An airport receiving an exemption under sub-
section (b) shall not be prohibited from imposing a pas-
senger facility fee under section 40117 of this title or re-
ceiving apportionments under section 47114 notwithstand-
ing that the sponsor of the airport is not a public agency.
‘‘(f) EFFECTIVENESS OF EXEMPTIONS.—An exemp-
tion granted under subsection (b) shall continue in effect
only so long as the facilities sold or leased continue to be
used for airport purposes.’’.
(2) CONFORMING AMENDMENT.—The table of
sections for such chapter is further amended by add-
ing at the end the following:
‘‘47133. Private ownership of airports.’’.
(b) TAXATION.—Section 40116(b) is amended—
(1) by striking ‘‘a State or’’ and inserting ‘‘a
State, a’’; and
(2) by inserting after ‘‘of a State’’ the follow-
ing: ‘‘, and any person that has purchased or leased
an airport under section 47133 of this title’’.
(c) RESOLUTION
OF AIRPORT-AIR CARRIER DIS-
PUTES CONCERNING AIRPORT FEES.—Section 47129(a)
is amended by adding at the end the following:
‘‘(4) FEES IMPOSED BY PRIVATELY-OWNED AIR-
PORTS.—In evaluating the reasonableness of a fee
imposed by an airport receiving an exemption under
section 47133 of this title, the Secretary shall con-
sider whether the airport has complied with section
47133(c)(4).’’.
SEC. 309. USE OF NOISE SET-ASIDE FUNDS BY NON-AIR-
PORT SPONSORS.
Section 47505 is amended—
(1) by redesignating subsection (b) as sub-
section (c);
(2) in subsection (c), as so redesignated, by
striking ‘‘subsection (a) of’’ and inserting ‘‘sub-
section (a) or (b) of’’; and
(3) by inserting after subsection (a) the follow-
ing:
‘‘(b) GRANTS TO NON-AIRPORT SPONSORS.—
‘‘(1) AUTHORITY.—The Secretary may make a
grant under this subsection to a State or unit of
local government that is not the owner or operator
of the airport for preparation of an airport land use
compatibility plan or implementation of an airport
land use compatibility project.
‘‘(2) PLANNING AUTHORITY.—In order to be el-
igible to receive a grant under this subsection for
preparation of an airport land use compatibility
plan, the State or unit of local government must
have authority to plan and adopt land use control
measures, including zoning, in the planning area.
‘‘(3) COORDINATION
OF
PLANNING
ACTIVI-
TIES.—
‘‘(A) CONSISTENCY
WITH
OTHER
PLAN-
NING.—An airport land use compatibility plan
prepared by a State or unit of local government
under this subsection may not duplicate or be
inconsistent with an airport noise compatibility
program prepared by an airport operator under
this chapter or with other planning carried out
by the airport operator.
‘‘(B) CONSULTATION WITH AIRPORT OWN-
ERS AND OPERATORS.—A State or unit of local
government receiving a grant under this sub-
section for preparation of an airport land use
compatibility plan shall consult with the owner
or operator of the airport for which the plan is
being prepared regarding any recommended air-
port land use compatibility measure identified
in the plan and any aviation data on which such
recommendation is made.
‘‘(4) APPROVAL OF AIRPORT OWNER OR OPERA-
TOR REQUIRED.—The Administrator may make a
grant to a State or unit of local government under
this subsection for preparation of an airport land
use compatibility plan or implementation of an air-
port land use compatibility project only after receiv-
ing the approval of the owner or operator of the air-
port for which the plan or project is being prepared
or implemented. Such approval shall be based on
whether the plan or program, including the use of
any noise exposure contours on which the plan or
project is based, has been coordinated with the air-
port and is consistent with airport operation and
planning.
‘‘(5) WRITTEN
ASSURANCES.—The Adminis-
trator may make a grant to a State or unit of local
government under this subsection only after receiv-
ing from the State or unit of local government such
written assurances as the Administrator determines
necessary to achieve the purposes of this subsection.
‘‘(6) GUIDELINES.—The Administrator may es-
tablish guidelines in carrying out this subsection.
‘‘(7) DEFINITIONS.—In this subsection, the fol-
lowing definitions apply:
‘‘(A) AIRPORT COMPATIBLE LAND USE.—
The term ‘airport compatible land use’ means
any land use that is usually compatible with—
‘‘(i) the noise levels associated with an
airport, as established under this chapter;
‘‘(ii) airport design standards issued
by the Administrator; and
‘‘(iii) regulations issued to carry out
section 44718 of this title.
‘‘(B) AIRPORT LAND USE COMPATIBILITY
PLAN.—The term ‘airport land use compatibil-
ity plan’ means the product of a process to de-
termine the extent, type, nature, location, and
timing of measures to improve the compatibility
of land use with the existing forecast level of
aviation activity at an airport.
‘‘(C) AIRPORT LAND USE COMPATIBILITY
PROJECT.—The term ‘airport land use compat-
ibility project’ means a project that is contained
in an airport land use compatibility plan and
determined by the Administrator to enhance
airport compatible land use.’’.
TITLE IV—MISCELLANEOUS
PROVISIONS
SEC. 401. PURCHASE OF HOUSING UNITS.
Section 40110 is amended—
(1) by redesignating subsection (b) as sub-
section (c); and
(2) by inserting after subsection (a) the follow-
ing:
‘‘(b) PURCHASE OF HOUSING UNITS.—
‘‘(1) AUTHORITY.—In carrying out this part,
the Administrator may purchase a housing unit (in-
cluding a condominium or a housing unit in a build-
ing owned by a cooperative) that is located outside
the contiguous United States if the cost of the unit
is $200,000 or less.
‘‘(2) 
CONTINUING
OBLIGATIONS.—Notwith-
standing section 1341 of title 31, United States
Code, the Administrator may purchase a housing
unit under paragraph (1) even if there is an obliga-
tion thereafter to pay necessary and reasonable fees
duly assessed upon such unit, including fees related
to operation, maintenance, taxes, and insurance.
‘‘(3) CERTIFICATION TO CONGRESS.—The Ad-
ministrator may purchase a housing unit under
paragraph (1) only if, at least 30 days before com-
pleting the purchase, the Administrator transmits 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 containing—
‘‘(A) a description of the housing unit and
its price;
‘‘(B) a certification that the price does not
exceed the median price of housing units in the
area; and
‘‘(C) a certification that purchasing the
housing unit is the most cost-beneficial means
of providing necessary accommodations in car-
rying out this part.
‘‘(4) PAYMENT OF FEES.—The Administrator
may pay, when due, fees resulting from the purchase
of a housing unit under this subsection from any
amounts made available to the Administrator.’’.
SEC. 402. TECHNICAL CORRECTION RELATING TO STATE
TAXATION.
Section 40116(b) of title 49, United States Code, is
amended by striking ‘‘subsection (c) of this section and’’.
SEC. 403. PROTECTION OF VOLUNTARY SUBMISSION OF IN-
FORMATION.
(a) IN GENERAL.—Chapter 401 is amended by redes-
ignating section 40120 as section 40121 and by inserting
after section 40119 the following:
‘‘§ 40120. Protection of voluntary submission of infor-
mation
‘‘(a) GENERAL RULE.—Notwithstanding any other
provision of law, neither the Administrator of the Federal
Aviation Administration, nor any agency receiving infor-
mation from the Administrator, may disclose voluntarily
provided safety or security related information if the Ad-
ministrator finds that—
‘‘(1) the disclosure of the information would in-
hibit the voluntary provision of that type of informa-
tion;
‘‘(2) the receipt of that type of information
would aid in fulfilling the Administrator’s safety and
security responsibilities; and
‘‘(3) the information was provided to the Ad-
ministrator for a purpose other than to avoid an en-
forcement action.
‘‘(b) REGULATIONS.—The Administrator may issue
regulations to carry out this section.’’.
(b) CONFORMING AMENDMENT.—The table of sec-
tions for chapter 401 is amended by striking the item re-
lating to section 40120 and inserting the following:
‘‘40120. Protection of voluntary submission of information.
‘‘40121. Relationship to other laws.’’.
SEC. 404. SUPPLEMENTAL TYPE CERTIFICATES.
Section 44704 is amended—
(1) by redesignating subsections (b) and (c) as
subsections (c) and (d), respectively; and
(2) by inserting after subsection (a) the follow-
ing:
‘‘(b) SUPPLEMENTAL TYPE CERTIFICATES.—
‘‘(1) ISSUANCE.—The Administrator may issue
a type certificate designated as a supplemental type
certificate for a change to an aircraft, aircraft en-
gine, propeller, or appliance.
‘‘(2) CONTENTS.—A supplemental type certifi-
cate issued under paragraph (1) shall consist of the
change to the aircraft, aircraft engine, propeller, or
appliance with respect to the previously issued type
certificate for the aircraft, aircraft engine, propeller,
or appliance.
‘‘(3) REQUIREMENT.—If the holder of a supple-
mental type certificate agrees to permit another per-
son to use the certificate to modify an aircraft, air-
craft engine, propeller, or appliance, the holder shall
provide the other person with written evidence, in
a form acceptable to the Administrator, of that
agreement. A person may change an aircraft, air-
craft engine, propeller, or appliance based on a sup-
plemental type certificate only if the person request-
ing the change is the holder of the supplemental
type certificate or has permission from the holder
to make the change.’’.
SEC. 405. RESTRICTION ON USE OF REVENUES.
(a) IN GENERAL.—Section 44706 is amended by
adding at the end the following:
‘‘(d) USE OF REVENUES.—
‘‘(1) PROHIBITION.—A person holding an air-
port operating certificate under this section may not
expend local taxes on aviation fuel (except taxes in
effect on December 30, 1987) or the revenues gen-
erated by the airport for any purpose other than the
capital or operating costs of—
‘‘(A) the airport;
‘‘(B) the local airport system; or
‘‘(C) other local facilities owned or oper-
ated by the person and directly and substan-
tially related to the air transportation of pas-
sengers or property.
‘‘(2) EXCEPTIONS.—Paragraph (1) does not
apply if a provision enacted not later than Septem-
ber 2, 1982, in a law controlling financing by the
owner or operator, or a covenant or assurance in a
debt obligation issued not later than September 2,
1982, by the owner or operator, provides that the
revenues, including local taxes on aviation fuel at
public airports, from any of the facilities of the
owner or operator, including the airport, be used to
support not only the airport but also the general
debt obligations or other facilities of the owner or
operator.
‘‘(3) AUTHORITY TO ISSUE WAIVERS TO AIR-
PORTS
NOT
RECEIVING
GRANT
ASSISTANCE.—The
Administrator may waive the application of para-
graph (1) with respect to any airport that has not
received grant assistance under chapter 471 of this
title or the Airport and Airway Improvement Act of
1982 in the 10-year period ending on the date of the
enactment of this subsection.
‘‘(4) LIMITATION
ON
STATUTORY
CONSTRUC-
TION.—This subsection does not prevent the use of
a State tax on aviation fuel to support a State avia-
tion program or the use of airport revenue on or off
the airport for a noise mitigation purpose.’’.
(b) PENALTIES.—Section 46301(a)(5) is amended to
read as follows:
‘‘(5) PENALTY
FOR
DIVERSION
OF
AVIATION
REVENUES.—The amount of a civil penalty assessed
under this section for a violation of section 47107(b)
of this title (or any assurance made under such sec-
tion) or section 44706(d) of this title may be in-
creased above the otherwise applicable maximum
amount under this section to an amount not to ex-
ceed 3 times the amount of revenues that are used
in violation of such section.’’.
SEC. 406. DISCRETIONARY AUTHORITY FOR CRIMINAL HIS-
TORY RECORDS CHECKS.
(a) IN GENERAL.—Section 44936(a)(1) is amend-
ed—
(1) by striking ‘‘(1) The Administrator’’ and in-
serting the following:
‘‘(1) EMPLOYEES.—
‘‘(A) PERSONS WITH ACCESS TO AIRCRAFT
AND OTHER SECURED AREAS.—The Adminis-
trator’’;
(2) by moving the remainder of the text of sub-
paragraph (A), as designated by paragraph (1) of
this subsection, 2 ems to the right;
(3) by redesignating subparagraphs (A) and
(B) as clauses (i) and (ii), respectively; and
(4) by adding at the end the following:
‘‘(B) PERSONS RESPONSIBLE FOR SCREEN-
ING PASSENGERS AND PROPERTY.—
‘‘(i) IN GENERAL.—The Administrator
may require by regulation that an employ-
ment investigation (including a criminal
history record check in cases in which the
employment investigation reveals a gap in
employment of 12 months or more that the
individual does not satisfactorily account
for) be conducted for individuals who will
be responsible for screening passengers
and property under section 44901 of this
title and their supervisors.
‘‘(ii) SPECIAL RULE.—If an individual
requires a criminal history record check
under clause (i), the individual may be em-
ployed as a screener until the check is
completed if the individual is subject to su-
pervision.’’.
(b) APPLICABILITY.—The amendments made by sub-
section (a) shall not apply to an individual employed as
a screener, or a supervisor of screeners, on the day before
the date of the enactment of this Act.
SEC. 407. AUTHORITY TO CLOSE AIRPORT LOCATED NEAR
CLOSED OR REALIGNED MILITARY BASE.
Notwithstanding any other provision of a law, rule,
or grant assurance, an airport that is not a commercial
service airport may be closed by its sponsor without any
obligation to repay grants made under chapter 471 of title
49, United States Code, the Airport and Airway Improve-
ment Act of 1982, or any other law if the airport is located
within 3 miles of a military base which has been closed
or realigned.
SEC. 408. CONSTRUCTION OF RUNWAYS.
Notwithstanding section 332 of the Department of
Transportation and Related Agencies Appropriations Act,
1996 (109 Stat. 457) or any other provision of law that
specifically restricts the number of runways at a single
international airport, the Secretary of Transportation may
obligate funds under chapters 471 and 481 of title 49,
United States Code, for any project to construct a new
runway at such airport, unless this section is expressly re-
pealed.
TITLE V—METROPOLITAN
WASHINGTON AIRPORTS
SEC. 501. SHORT TITLE.
This title may be cited as the ‘‘Metropolitan Wash-
ington Airports Amendments Act of 1996’’.
SEC. 502. AMENDMENT OF METROPOLITAN WASHINGTON
AIRPORTS ACT OF 1986.
Except as otherwise expressly provided, whenever in
this title an amendment or repeal is expressed in terms
of an amendment to, or repeal of, a section or other provi-
sion, the reference shall be considered to be made to a
section or other provision of the Metropolitan Washington
Airports Act of 1986 (100 Stat. 3341–376 et seq.).
SEC. 503. USE OF LEASED PROPERTY.
Section 6005(c)(2) is amended by inserting before the
period at the end of the second sentence the following:
‘‘which are not inconsistent with the needs of aviation’’.
SEC. 504. BOARD OF DIRECTORS.
(a) APPOINTMENT OF ADDITIONAL MEMBERS.—Sec-
tion 6007(e)(1) is amended—
(1) in the matter preceding subparagraph (A)
by striking ‘‘11’’ and inserting ‘‘15’’;
(2) in subparagraph (D) by striking ‘‘one mem-
ber’’ and inserting ‘‘five members’’.
(b) RESTRICTIONS.—Section 6007(e)(2) is amended
by striking ‘‘except that’’ and all that follows through the
period and inserting ‘‘except that the members appointed
by the President shall be registered voters of States other
than Maryland, Virginia, or the District of Columbia.’’.
(c) TERMS.—Section 6007(e)(3) is amended—
(1) in subparagraph (B) by striking ‘‘and’’ at
the end;
(2) in subparagraph (C) by striking the period
at the end and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(D) by the President after the date of the
enactment of this subparagraph, 2 shall be ap-
pointed for 4 years.
A member may serve after the expiration of that
member’s term until a successor has taken office.’’.
(d) VACANCIES.—Section 6007(e) is further amended
by redesignating paragraphs (4) and (5) as paragraphs
(7) and (8), respectively, and by inserting after paragraph
(3) the following:
‘‘(4) VACANCIES.—A vacancy in the board of
directors shall be filled in the manner in which the
original appointment was made. Any member ap-
pointed to fill a vacancy occurring before the expira-
tion of the term for which the member’s predecessor
was appointed shall be appointed only for the re-
mainder of such term.’’.
(e) POLITICAL
PARTIES
OF
PRESIDENTIAL
AP-
POINTEES.—Section 6007(e) is further amended by in-
serting after paragraph (4), as inserted by subsection (d)
of this section, the following:
‘‘(5) POLITICAL PARTIES OF PRESIDENTIAL AP-
POINTEES.—Not more than 3 of the members of the
board appointed by the President may be of the
same political party.’’.
(f) DUTIES OF PRESIDENTIAL APPOINTEES.—Sec-
tion 6007(e) is further amended by inserting after para-
graph (5), as inserted by subsection (e) of this section,
the following:
‘‘(6) DUTIES OF PRESIDENTIAL APPOINTEES.—
In carrying out their duties on the board, members
of the board appointed by the President shall ensure
that adequate consideration is given to the national
interest.’’.
(g) 
REQUIRED
NUMBER
OF
VOTES.—Section
6007(e)(8), as redesignated by subsection (d) of this sec-
tion, is amended by striking ‘‘Seven’’ and inserting
‘‘Nine’’.
SEC. 505. FEDERAL ADVISORY COMMISSION.
(a) IN GENERAL.—Section 6007(f) is amended by
striking the subsection designation, heading, and para-
graph (1) and inserting the following:
‘‘(f) FEDERAL ADVISORY COMMISSION.—
‘‘(1) COMPOSITION.—There is established a
Federal Advisory Commission of the Airports Au-
thority which shall represent the interests of users of
the Metropolitan Washington Airports and shall be
composed of 9 members appointed by the Secretary
of Transportation.’’.
(b) REFERENCES TO BOARD OF REVIEW.—The Act
is amended—
(1) in section 6007(f) by striking ‘‘Board of Re-
view’’ each place it appears and inserting ‘‘Federal
Advisory Commission’’;
(2) in section 6007(f)(3)—
(A) in the third sentence by striking
‘‘Board’’ each place it appears and inserting
‘‘Commission’’; and
(B) in the fourth sentence by striking
‘‘Board’’ the second place it appears and insert-
ing ‘‘Commission’’;
(3) 
in 
the 
second 
sentence 
of 
section
6007(f)(6), as redesignated by section 8(a) of this
Act, by striking ‘‘Board’’ and inserting ‘‘Commis-
sion’’;
(4) in section 6007(f)(7), as redesignated by
section 8(a) of this Act, by striking ‘‘Board’’ the sec-
ond place it appears and inserting ‘‘Commission’’;
and
(5) in section 6009(b) by striking ‘‘Board of
Review’’ and inserting ‘‘Federal Advisory Commis-
sion’’.
(c) OTHER CONFORMING AMENDMENTS.—Section
6007(f)(2) is amended—
(1) in subparagraph (A)—
(A) by striking ‘‘paragraphs (1)(A) and
(1)(B)’’ and inserting ‘‘paragraph (1)’’; and
(B) by striking the second sentence; and
(2) in subparagraph (D) by striking ‘‘and lists
have been provided for appointments to fill such va-
cancies’’.
SEC. 506. REVIEW PROCEDURE.
(a) 
SUBMISSION
OF
ACTIONS.—Section
6007(f)(4)(A) is amended to read as follows:
‘‘(A) SUBMISSION REQUIRED.—
‘‘(i) IN GENERAL.—An action of the
Airports Authority described in subpara-
graph (B) shall be submitted to the Fed-
eral Advisory Commission, the Speaker of
the House of Representatives, and the
President Pro Tempore of the Senate at
least 60 days before the action is to be-
come effective.
‘‘(ii) URGENT AND COMPELLING CIR-
CUMSTANCES.—An action submitted to the
Federal Advisory Commission and Con-
gress in accordance with clause (i) may be-
come effective before the expiration of the
60-day period referred to in clause (i) if
the board of directors certifies, in writing,
to the Secretary and Congress that urgent
and compelling circumstances exist that
significantly affect the interests of the
traveling public and will not permit waiting
for the expiration of such 60-day period.’’.
(b) RECOMMENDATIONS.—Section 6007(f)(4)(C) is
amended to read as follows:
‘‘(C) RECOMMENDATIONS.—The Federal
Advisory Commission may make to the board of
directors and Congress recommendations re-
garding an action within 30 calendar days of its
submission under this paragraph. Such rec-
ommendations may include a recommendation
that the action not take effect.’’.
(c) EFFECT OF RECOMMENDATIONS.—
(1) REPEAL.—Section 6007(f)(4) is amended
by striking subparagraph (D) and by redesignating
subparagraph (E) as subparagraph (D).
(2) 
CONFORMING
AMENDMENT.—Section
6007(f)(5)(B) is amended by striking ‘‘paragraph
(4)(D)(ii)’’ and inserting ‘‘paragraph (4)’’.
(d) 
EXPIRATION
OF
AUTHORITY.—Section
6007(f)(4) is amended by adding at the end the following:
‘‘(E) EXPIRATION OF AUTHORITY.—
‘‘(i) IN
GENERAL.—Except as pro-
vided in clause (ii), the authority of the
Airports Authority to take any of the ac-
tions described in subparagraph (B) shall
expire on April 30, 1997.
‘‘(ii) SPECIAL RULE.—If on any day
after April 29, 1997, all of the members to
be appointed to the board of directors by
the President under section 6007(e)(1)(D)
are serving on the board, the authority of
the board referred to in clause (i) shall be
effective beginning on such day and shall
expire on September 30, 1998.’’.
(e) PROTECTION
OF CERTAIN ACTIONS.—Actions
taken by the Metropolitan Washington Airports Authority
and submitted to the Board of Review pursuant to section
6007(f)(4) of the Metropolitan Washington Airports Act
of 1986 before the date of the enactment of this Act shall
remain in effect and shall not be set aside solely by reason
of a judicial order invalidating certain functions of the
Board of Review.
SEC. 507. CONGRESSIONAL DISAPPROVAL PROCEDURES.
(a) COMMITTEE REFERRAL.—Section 6007(f)(5)(C)
is amended—
(1) by striking ‘‘Public Works and Transpor-
tation’’ and inserting ‘‘Transportation and Infra-
structure’’; and
(2) by striking ‘‘Commerce, Science and Tech-
nology’’ and inserting ‘‘Commerce, Science, and
Transportation’’.
(b) HOUSE
PROCEDURE.—Section 6007(f)(5) is
amended—
(1) by striking subparagraphs (D), (E), and
(F);
(2) by redesignating subparagraphs (G) and
(H) as subparagraphs (E) and (F), respectively; and
(3) by inserting after subparagraph (C) the fol-
lowing:
of 1996 and ending on December 31, 1999’’ after
‘‘December 31, 1995’’.
(b) TICKET TAXES.—Sections 4261(g) and 4271(d)
of such Code are each amended by striking ‘‘January 1,
1996’’ and inserting ‘‘January 1, 1996, and to transpor-
tation beginning on or after the date which is 30 days
after the date of the enactment of the Federal Aviation
Authorization Act of 1996 and before January 1, 2000’’.
(c) TRANSFERS TO AIRPORT AND AIRWAY TRUST
FUND.—
(1) Subsection (b) of section 9502 of such Code
is amended by striking ‘‘January 1, 1996’’ each
place it appears and inserting ‘‘January 1, 2000’’.
(2) Paragraph (3) of section 9502(f) of such
Code is amended to read as follows:
‘‘(3) TERMINATION.—Notwithstanding the pre-
ceding provisions of this subsection, the Airport and
Airway Trust Fund financing rate shall be zero with
respect to—
‘‘(A) taxes imposed after December 31,
1995, and before the date which is 30 days
after the date of the enactment of the Federal
Aviation Authorization Act of 1996, and
‘‘(B) taxes received after December 31,
1999.’’
(3) Subsection (d) of section 9502 of such Code
is amended by adding at the end the following new
paragraph:
‘‘(5) TRANSFERS FROM AIRPORT AND AIRWAY
TRUST FUND ON ACCOUNT OF REFUNDS OF TAXES
ON TRANSPORTATION BY AIR.—The Secretary of the
Treasury shall pay from time to time from the Air-
port and Airway Trust Fund into the general fund
of the Treasury amounts equivalent to the amounts
paid after December 31, 1995, under section 6402
(relating to authority to make credits or refunds) or
section 6415 (relating to credits or refunds to per-
sons who collected certain taxes) in respect of taxes
under sections 4261 and 4271.’’
(d) EFFECTIVE DATES.—
(1) IN GENERAL.—The amendments made by
this section shall take effect on the date of the en-
actment of this Act, except that the amendment
made by subsection (b) shall not apply to any
amount paid on or before such date.
(2) TRANSFERS.—The amendments made by
subsection (c) shall take effect on January 1, 1996.