SECTION 1. SHORT TITLE; AMENDMENTS TO TITLE 49,
UNITED STATES CODE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Airport Security Federalization Act of 2001’’.
(b) AMENDMENTS TO TITLE 49, UNITED STATES
CODE.—Except as otherwise specifically provided, when-
ever in this Act an amendment or repeal is expressed in
terms of an amendment to, or repeal of, a section or other
provision of law, the reference shall be considered to be
made to a section or other provision of title 49, United
States Code.
(c) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title; amendments to title 49, United States Code; table of con-
tents.
TITLE I—AVIATION SECURITY
Sec. 101. Transportation Security Administration.
Sec. 102. Screening of passengers and property.
Sec. 103. Security programs.
Sec. 104. Employment standards and training.
Sec. 105. Deployment of Federal air marshals.
Sec. 106. Enhanced security measures.
Sec. 107. Criminal history record check for screeners and others.
Sec. 108. Passenger and baggage screening fee.
Sec. 109. Authorizations of appropriations.
Sec. 110. Limitation on liability for acts to thwart criminal violence or aircraft
piracy.
Sec. 111. Passenger manifests.
Sec. 112. Transportation security oversight board.
Sec. 113. Airport improvement programs.
Sec. 114. Technical corrections.
Sec. 115. Alcohol and controlled substance testing.
Sec. 116. Conforming amendments to subtitle VII.
Sec. 117. Savings provision.
Sec. 118. Budget submissions.
Sec. 119. Aircraft operations in enhanced class B airspace.
Sec. 120. Waivers for certain isolated communities.
Sec. 121. Assessments of threats to airports.
Sec. 122. Requirement to honor passenger tickets of other carriers.
Sec. 123. Sense of Congress on certain aviation matters.
TITLE II—VICTIMS COMPENSATION
Sec. 201. Limitation on liability for damages arising out of crashes of Sep-
tember 11, 2001.
TITLE I—AVIATION SECURITY
SEC. 101. TRANSPORTATION SECURITY ADMINISTRATION.
(a) IN GENERAL.—Chapter 1 is amended by adding
at the end the following:
‘‘§ 114. Transportation Security Administration
‘‘(a) IN GENERAL.—The Transportation Security
Administration shall be an administration of the Depart-
ment of Transportation.
‘‘(b) UNDER SECRETARY.—
‘‘(1) APPOINTMENT.—The head of the Adminis-
tration shall be the Under Secretary of Transpor-
tation for Security. The Under Secretary shall be
appointed by the President, by and with the advice
and consent of the Senate.
‘‘(2) QUALIFICATIONS.—The Under Secretary
must—
‘‘(A) be a citizen of the United States; and
‘‘(B) have experience in a field directly re-
lated to transportation or security.
‘‘(3) TERM.—The term of office of an indi-
vidual appointed as the Under Secretary shall be 5
years.
‘‘(c) LIMITATION ON PECUNIARY INTERESTS.—The
Under Secretary may not have a pecuniary interest in, or
own stock in or bonds of, a transportation or security en-
terprise, or an enterprise that makes equipment that could
be used for security purposes.
‘‘(d) FUNCTIONS.—
‘‘(1) IN GENERAL.—The Under Secretary shall
be responsible for security in all modes of transpor-
tation, including—
‘‘(A) carrying out chapter 449 relating to
civil aviation security; and
‘‘(B) security responsibilities over nonavia-
tion modes of transportation that are exercised
by Administrations of the Department of
Transportation (other than the Federal Avia-
tion Administration).
‘‘(2) SCHEDULE
FOR
ASSUMPTION
OF
CIVIL
AVIATION SECURITY FUNCTIONS.—Not later than 3
months after the date of enactment of this section,
the Under Secretary shall assume civil aviation secu-
rity functions and responsibilities under chapter 449
in accordance with a schedule to be developed by the
Secretary of Transportation, in consultation with air
carriers, foreign air carriers, and the Administrator
of the Federal Aviation Administration. The Under
Secretary shall publish an appropriate notice of the
transfer of such security functions and responsibil-
ities before assuming the functions and responsibil-
ities.
‘‘(3) ASSIGNMENT OF CONTRACTS.—Upon re-
quest of the Under Secretary, an air carrier or for-
eign air carrier carrying out a screening or security
function under chapter 449 may enter into an agree-
ment with the Under Secretary to transfer any con-
tract the carrier has entered into with respect to
carrying out such function, before the Under Sec-
retary assumes responsibility of such function.
‘‘(e) ADDITIONAL DUTIES AND POWERS.—In addi-
tion to carrying out the functions specified in subsection
(d), the Under Secretary shall—
‘‘(1) receive, assess, and distribute intelligence
information related to transportation security;
‘‘(2) assess threats to transportation;
‘‘(3) develop policies, strategies, and plans for
dealing with threats to transportation security;
‘‘(4) make other plans related to transportation
security, including coordinating countermeasures
with appropriate departments, agencies, and instru-
mentalities of the United States Government;
‘‘(5) serve as the primary liaison for transpor-
tation security to the intelligence and law enforce-
ment communities;
‘‘(6) supervise all airport security and screening
services using Federal uniformed personnel;
‘‘(7) on a day-to-day basis, manage and provide
operational guidance to the field security resources
of the Administration, including Federal Security
Managers as provided by section 44933;
‘‘(8) enforce security-related regulations and re-
quirements;
‘‘(9) identify and undertake research and devel-
opment activities necessary to enhance transpor-
tation security;
‘‘(10) inspect, maintain, and test security facili-
ties, equipment, and systems;
‘‘(11) ensure the adequacy of security measures
for the transportation of cargo;
‘‘(12) oversee the implementation, and ensure
the adequacy, of security measures at airports and
other transportation facilities;
‘‘(13) perform background checks for airport
security 
screening 
personnel, 
individuals 
with
unescorted access to secure areas of airports, and
other transportation security personnel;
‘‘(14) develop standards for the hiring and re-
tention of security screening personnel;
‘‘(15) train and test security screening per-
sonnel; and
‘‘(16) carry out such other duties, and exercise
such other powers, relating to transportation secu-
rity as the Under Secretary considers appropriate, to
the extent authorized by law.
‘‘(f) ACQUISITIONS.—
‘‘(1) IN
GENERAL.—The Under Secretary is
authorized—
‘‘(A) to acquire (by purchase, lease, con-
demnation, or otherwise) such real property, or
any interest therein, within and outside the con-
tinental United States, as the Under Secretary
considers necessary;
‘‘(B) to acquire (by purchase, lease, con-
demnation, or otherwise) and to construct, re-
pair, operate, and maintain such personal prop-
erty (including office space and patents), or any
interest therein, within and outside the conti-
nental United States, as the Under Secretary
considers necessary;
‘‘(C) to lease to others such real and per-
sonal property and to provide by contract or
otherwise for necessary facilities for the welfare
of its employees and to acquire maintain and
operate equipment for these facilities;
‘‘(D) to acquire (by purchase, lease, con-
demnation, or otherwise) and to construct, re-
pair, operate, and maintain research and test-
ing sites and facilities; and
‘‘(E) in cooperation with the Administrator
of the Federal Aviation Administration, to uti-
lize the research and development facilities of
the Federal Aviation Administration located in
Atlantic City, New Jersey.
‘‘(2) TITLE.—Title to any property or interest
therein acquired pursuant to this subsection shall be
held by the Government of the United States.
‘‘(g) TRANSFERS OF FUNDS.—The Under Secretary
is authorized to accept transfers of unobligated balances
and unexpended balances of funds appropriated to other
Federal agencies (as such term is defined in section
551(1) of title 5) to carry out functions transferred, on
or after the date of enactment of this section, by law to
the Under Secretary.
‘‘(h) REGULATIONS.—
‘‘(1) IN GENERAL.—The Under Secretary is au-
thorized to issue, rescind, and revise such regula-
tions as are necessary to carry out the functions of
the Administration.
‘‘(2) EMERGENCY PROCEDURES.—
‘‘(A) IN GENERAL.—Notwithstanding any
other provision of law or executive order (in-
cluding an executive order requiring a cost-ben-
efit analysis) if the Under Secretary determines
that a regulation or security directive must be
issued immediately in order to protect transpor-
tation security, the Under Secretary shall issue
the regulation or security directive without pro-
viding notice or an opportunity for comment
and without prior approval of the Secretary.
‘‘(B) REVIEW BY TRANSPORTATION SECU-
RITY
OVERSIGHT
BOARD.—Any regulation or
security directive issued under this paragraph
shall be subject to disapproval by the Transpor-
tation Security Oversight Board established
under section 44951. Any regulation or security
directive issued under this paragraph shall re-
main effective until disapproved by the Board
or rescinded by the Under Secretary.
‘‘(i) PERSONNEL AND SERVICES; COOPERATION BY
UNDER SECRETARY.—
‘‘(1) AUTHORITY OF UNDER SECRETARY.—In
carrying out the functions of the Administration, the
Under Secretary shall have the same authority as is
provided to the Administrator of the Federal Avia-
tion Administration under subsections (l) and (m) of
section 106.
‘‘(2) AUTHORITY
OF
AGENCY
HEADS.—The
head of a Federal agency shall have the same au-
thority to provide services, supplies, equipment, per-
sonnel, and facilities to the Under Secretary as the
head has to provide services, supplies, equipment,
personnel, and facilities to the Administrator of the
Federal Aviation Administration under section
106(m).
‘‘(j) PERSONNEL MANAGEMENT SYSTEM.—The per-
sonnel management system established by the Adminis-
trator of the Federal Aviation Administration under sec-
tion 40122 shall apply to employees of the Transportation
Security Administration, except that subject to the re-
quirements of such section, the Under Secretary may
make such modifications to the personnel management
system with respect to such employees as the Under Sec-
retary considers appropriate.
‘‘(k) ACQUISITION MANAGEMENT SYSTEM.—The ac-
quisition management system established by the Adminis-
trator of the Federal Aviation Administration under sec-
tion 40110 shall apply to acquisitions of equipment and
materials by the Transportation Security Administration,
except that subject to the requirements of such section,
the Under Secretary may make such modifications to the
acquisition management system with respect to such ac-
quisitions of equipment and materials as the Under Sec-
retary considers appropriate.
‘‘(l) AUTHORITY
OF INSPECTOR GENERAL.—The
Transportation Security Administration shall be subject to
the Inspector General Act of 1978 (5 U.S.C. App.) and
other laws relating to the authority of the Inspector Gen-
eral of the Department of Transportation.’’.
(b) CONFORMING AMENDMENT.—The analysis for
chapter 1 is amended by adding at the end the following:
‘‘114. Transportation Security Administration.’’.
(c) POSITION OF UNDER SECRETARY IN EXECUTIVE
SCHEDULE.—Section 5313 of title 5, United States Code,
is amended by adding at the end the following:
‘‘The Under Secretary of Transportation for
Security’’.
(d) PERSONNEL
OF OTHER AGENCIES.—The last
sentence of section 106(m) is amended by inserting ‘‘per-
sonnel and’’ before ‘‘supplies and equipment’’.
(e) SECURITY AND RESEARCH AND DEVELOPMENT
ACTIVITIES.—Section 40119 is amended—
(1) in subsection (a) by striking ‘‘Administrator
of the Federal Aviation Administration’’ and insert-
ing ‘‘Under Secretary of Transportation for Secu-
rity’’; and
(2) in subsections (b) and (c) by striking ‘‘Ad-
ministrator’’ each place it appears and inserting
‘‘Under Secretary’’.
(f) REFERENCES TO FAA IN CHAPTER 449.—Chap-
ter 449 is amended—
(1) in section 44904(b)(5) by striking ‘‘the Ad-
ministration’’ and inserting ‘‘the Transportation Se-
curity Administration’’;
(2) 
in 
the 
second 
sentence 
of 
section
44913(a)(1) by striking ‘‘of the Administration’’ and
inserting ‘‘of the Transportation Security Adminis-
tration’’;
(3) in section 44916(a)—
(A) in the first sentence by striking ‘‘Ad-
ministrator’’ and inserting ‘‘Under Secretary of
Transportation for Security’’; and
(B) in the second sentence by striking
‘‘Administration’’ and inserting ‘‘Transpor-
tation Security Administration’’;
(4) in each of sections 44933(a) and 44934(b)
by striking ‘‘Assistant Administrator for Civil Avia-
tion Security’’ and inserting ‘‘Under Secretary’’;
(5) in section 44934(b)(1) by striking ‘‘Assist-
ant Administrator’’ and inserting ‘‘Under Sec-
retary’’;
(6) by striking sections 44931 and 44932 and
the items relating to such sections in the analysis for
such chapter;
(7) by striking ‘‘Administrator’’ each place it
appears in such chapter (except in subsections (f)
and (h) of section 44936) and inserting ‘‘Under Sec-
retary’’;
(8) by striking ‘‘Administrator’s’’ each place it
appears in such chapter and inserting ‘‘Under Sec-
retary’s’’; and
(9) by striking ‘‘of the Federal Aviation Admin-
istration’’ each place it appears in such chapter (ex-
cept in section 44936(f)) and inserting ‘‘of Trans-
portation for Security’’.
SEC. 102. SCREENING OF PASSENGERS AND PROPERTY.
Section 44901 of such title is amended—
(1) in subsection (a)—
(A) by striking ‘‘a cabin of’’; and
‘‘(e) SUPERVISION OF SCREENING.—All screening of
passengers and property at airports under this section
shall be supervised by uniformed Federal personnel of the
Transportation Security Administration who shall have
the power to order the dismissal of any individual per-
forming such screening.
‘‘(f) LIMITATION ON RIGHT TO STRIKE.—An indi-
vidual that screens passengers or property, or both, at an
airport under this section may not participate in a strike,
or assert the right to strike, against the person (including
a governmental entity) employing such individual to per-
form such screening.
‘‘(g) DEPUTIZATION OF AIRPORT SCREENING PER-
SONNEL.—The Under Secretary shall deputize, for en-
forcement of such Federal laws as the Under Secretary
determines appropriate, all airport screening personnel as
Federal transportation security agents and shall ensure
that such agents operate under common standards and
common uniform, insignia, and badges.’’.
SEC. 103. SECURITY PROGRAMS.
Section 44903(c) is amended—
(1) in the first sentence of paragraph (1)—
(A) by striking ‘‘a law enforcement pres-
ence’’ and inserting ‘‘a law enforcement or mili-
tary presence’’; and
(B) by inserting after ‘‘at each of those
airports’’ the following: ‘‘and at each location at
those airports where passengers are screened’’;
and
(2) in paragraph (2)(C)(i) by striking ‘‘shall
issue an amendment to air carrier security programs
to require’’ and inserting ‘‘shall require’’.
SEC. 104. EMPLOYMENT STANDARDS AND TRAINING.
(a) EMPLOYMENT STANDARDS.—Section 44935(a) is
amended—
(1) in the first sentence by inserting ‘‘, per-
sonnel who screen passengers and property,’’ after
‘‘air carrier personnel’’;
(2) by striking ‘‘and’’ at the end of paragraph
(4);
(3) by striking the period at the end of para-
graph (5) and inserting a semicolon; and
(4) by adding at the end the following:
‘‘(6) a requirement that all personnel who
screen passengers and property be citizens of the
United States;
‘‘(7) a requirement that any private security
firm retained to provide airport security services be
owned and controlled by a citizen of the United
States, to the extent that the President determines
that there are firms owned and controlled by such
citizens;
‘‘(8) minimum compensation levels, when ap-
propriate;
‘‘(9) a preference for the hiring of any indi-
vidual who is a member or former member of the
armed forces and who is entitled, under statute, to
retired, retirement, or retainer pay on account of
service as a member of the armed forces; and
‘‘(10) a preference for the hiring of any indi-
vidual who is a former employee of an air carrier
and whose employment with the air carrier was ter-
minated as a result of a reduction in the workforce
of the air carrier.’’.
(b) FINAL RULES ESTABLISHING TRAINING STAND-
ARDS FOR SCREENERS.—Section 44935(e)(1) is amended
by striking ‘‘May 31, 2001’’ and inserting ‘‘6 months after
the date of enactment of the Airport Security Federaliza-
tion Act of 2001’’.
(c) EMPLOYMENT
STANDARDS
FOR
SCREENERS;
UNIFORMS.—Section 44935 is amended by adding at the
end the following:
‘‘(g) TRAINING FOR ALL SCREENERS, SUPERVISORS,
AND INSTRUCTORS.—
‘‘(1) IN GENERAL.—The Under Secretary shall
require any individual who screens passengers and
property pursuant to section 44901, and the super-
visors and instructors of such individuals, to have
satisfactorily completed all initial, recurrent, and ap-
propriate specialized training necessary to ensure
compliance with the requirements of this section.
‘‘(2) ON-THE-JOB
PORTION
OF
SCREENER’S
TRAINING.—Notwithstanding paragraph (1), the
Under Secretary may permit an individual, during
the on-the-job portion of training, to perform secu-
rity functions if the individual is closely supervised
and does not make independent judgments as to
whether persons or property may enter secure areas
or aircraft or whether cargo may be loaded aboard
aircraft without further inspection.
‘‘(3) EFFECT OF SCREENER’S FAILURE OF OP-
ERATION
TEST.—The Under Secretary may not
allow an individual to perform a screening function
after the individual has failed an operational test re-
lated to that function until the individual has suc-
cessfully completed remedial training.
‘‘(h) UNIFORMS.—The Under Secretary shall require
any individual who screens passengers and property pur-
suant section 44901 to be attired in a uniform, approved
by the Under Secretary, while on duty.’’.
(d) 
INTERIM
EMPLOYMENT
STANDARDS
FOR
SCREENING PERSONNEL.—In the period beginning 30
days after the date of the enactment of this Act and end-
ing on the first date that a final rule issued by the Under
Secretary of Transportation for Security under section
44935(e)(1) of title 49, United States Code, takes effect,
the following requirements shall apply to an individual
who screens passengers and property pursuant to section
44901 of such title (in this subsection referred to as a
‘‘screener’’):
(1) EDUCATION.—A screener shall have a high
school diploma, a general equivalency diploma, or a
combination of education and experience that the
Under Secretary has determined to have equipped
the individual to perform the duties of the screening
position.
(2) BASIC
APTITUDES
AND
PHYSICAL
ABILI-
TIES.—A screener shall have basic aptitudes and
physical abilities (including color perception, visual
and aural acuity, physical coordination, and motor
skills) and shall have—