#
In the Senate of the United States,
September 18, 1996.
Resolved, That the bill from the House of Representa-
tives (H.R. 3539) entitled ‘‘An Act to amend title 49, United
States Code, to reauthorize programs of the Federal Aviation
Administration, and for other purposes’’, do pass with the
following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Federal Aviation Reauthorization Act of 1996’’.
(b) TABLE OF CONTENTS.—
Sec. 1. Short title; table of contents.
Sec. 2. Amendments to title 49, United States Code.
TITLE I—REAUTHORIZATION OF FAA PROGRAMS
Sec. 101. Federal Aviation Administration operations.
Sec. 102. Air navigation facilities.
Sec. 103. Research and development.
Sec. 104. Airport improvement program.
Sec. 105. Interaccount flexibility.
TITLE II—AIRPORT IMPROVEMENT PROGRAM MODIFICATIONS
Sec. 201. Pavement maintenance program.
HR 3539 EAS1S
Sec. 202. Maximum percentages of amount made available for grants to certain
primary airports.
Sec. 203. Discretionary fund.
Sec. 204. Designating current and former military airports.
Sec. 205. State block grant program.
Sec. 206. Access to airports by intercity buses.
TITLE III—AVIATION SAFETY AND SECURITY
Sec. 301. Report including proposed legislation on funding for airport security.
Sec. 302. Family advocacy.
Sec. 303. Accident and safety data classification; report on effects of publication
and automated surveillance targeting systems.
Sec. 304. Weapons and explosive detection study.
Sec. 305. Requirement for criminal history records checks.
Sec. 306. Interim deployment of commercially available explosive detection equip-
ment.
Sec. 307. Audit of performance of background checks for certain personnel.
Sec. 308. Sense of the Senate on passenger profiling.
Sec. 309. Authority to use certain funds for airport security programs and activi-
ties.
Sec. 310. Development of aviation security liaison agreement.
Sec. 311. Regular joint threat assessments.
Sec. 312. Baggage match report.
Sec. 313. Enhanced security programs.
Sec. 314. Report on air cargo.
TITLE IV—MISCELLANEOUS PROVISIONS
Sec. 401. Acquisition of housing units.
Sec. 402. Protection of voluntarily submitted information.
Sec. 403. Application of FAA regulations.
Sec. 404. Sense of the Senate regarding the funding of the Federal Aviation Ad-
ministration.
Sec. 405. Authorization for State-specific safety measures.
Sec. 406. Sense of the Senate regarding the air ambulance exemption from cer-
tain Federal excise taxes.
Sec. 407. FAA safety mission.
Sec. 408. Carriage of candidates in State and local elections.
Sec. 409. Train whistle requirements.
Sec. 410. Limitation on authority of States to regulate gambling devices on ves-
sels.
Sec. 411. Special flight rules in the vicinity of Grand Canyon National Park.
Sec. 412. Increased fees.
Sec. 413. Transfer of air traffic control tower; closing of flight service stations.
Sec. 414. Sense of the Senate regarding acts of international terrorism.
Sec. 415. Reporting for procurement contracts.
Sec. 416. Provisions relating to limited scope audit.
Sec. 417. Advance electronic transmission of cargo and passenger information.
TITLE V—COMMERCIAL SPACE LAUNCH ACT AMENDMENTS
Sec. 501. Commercial space launch amendments.
HR 3539 EAS1S
TITLE VI—AIR TRAFFIC MANAGEMENT SYSTEM PERFORMANCE
IMPROVEMENT ACT
Sec. 601. Short title.
Sec. 602. Definitions.
Sec. 603. Effective date.
Subtitle A—General Provisions
Sec. 621. Findings.
Sec. 622. Purposes.
Sec. 623. Regulation of civilian air transportation and related services by the
Federal Aviation Administration and Department of Transpor-
tation.
Sec. 624. Regulations.
Sec. 625. Personnel and services.
Sec. 626. Contracts.
Sec. 627. Facilities.
Sec. 628. Property.
Sec. 629. Transfers of funds from other Federal agencies.
Sec. 630. Management Advisory Council.
Sec. 631. Aircraft engine standards.
Sec. 632. Rural air fare study.
Subtitle B—Federal Aviation Administration Streamlining Programs
Sec. 651. Review of acquisition management system.
Sec. 652. Air traffic control modernization reviews.
Sec. 653. Federal Aviation Administration personnel management system.
Sec. 654. Conforming amendment.
Subtitle C—System To Fund Certain Federal Aviation Administration
Functions
Sec. 671. Findings.
Sec. 672. Purposes.
Sec. 673. User fees for various Federal Aviation Administration services.
Sec. 674. Independent assessment and task force to review existing and innovative
funding mechanisms.
Sec. 675. Procedure for consideration of certain funding proposals.
Sec. 676. Administrative provisions.
Sec. 677. Advance appropriations for Airport and Airway Trust Fund activities.
Sec. 678. Rural Air Service Survival Act.
TITLE VII—PILOT RECORDS
Sec. 701. Short title.
Sec. 702. Employment investigations of pilot applicants.
Sec. 703. Study of minimum standards for pilot qualifications.
TITLE VIII—ABOLITION OF BOARD OF REVIEW
Sec. 801. Abolition of Board of Review and related authority.
Sec. 802. Sense of the Senate.
Sec. 803. Conforming amendments in other law.
Sec. 804. Definitions.
Sec. 805. Increase in number of Presidentially appointed members of Board.
Sec. 806. Reconstituted Board to function without interruption.
HR 3539 EAS1S
Sec. 807. Operational slots at National Airport.
Sec. 808. Airports authority support of Board.
TITLE IX—AIRPORT REVENUE PROTECTION
Sec. 901. Short title.
Sec. 902. Findings; purpose.
Sec. 903. Definitions.
Sec. 904. Restriction on use of airport revenues.
Sec. 905. Regulations; audits and accountability.
Sec. 906. Conforming amendments to the Internal Revenue Code of 1986.
TITLE X—EXTENSION OF AIRPORT AND AIRWAY TRUST FUND
EXPENDITURE AUTHORITY
Sec. 1001. Expenditures from airport and airway trust fund.
SEC. 2. AMENDMENTS TO TITLE 49, UNITED STATES CODE.
Except as otherwise specifically provided, whenever 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.
TITLE I—REAUTHORIZATION OF
FAA PROGRAMS
SEC. 101. FEDERAL AVIATION ADMINISTRATION OPER-
ATIONS.
(a) AUTHORIZATION OF APPROPRIATIONS FROM GEN-
ERAL FUND.—Section 106(k) is amended—
(1) by striking ‘‘and’’ after ‘‘1995,’’; and
(2) by inserting before the period at the end the
following: ‘‘, and $5,000,000,000 for fiscal year
1997.’’.
(b) AUTHORIZATION
OF
APPROPRIATIONS
FROM
TRUST FUND.—Section 48104(b) is amended—
HR 3539 EAS1S
(1) in the subsection heading by striking ‘‘FOR
FISCAL YEARS 1993’’; and
(2) by striking the phrase ‘‘for fiscal year 1993’’.
(c) CLERICAL AMENDMENT.—Section 48108 is amend-
ed by striking subsection (c).
SEC. 102. AIR NAVIGATION FACILITIES.
Section 48101(a) is amended by adding at the end the
following:
‘‘(5) For the fiscal years ending September 30,
1991–1997, $17,929,000,000.’’.
SEC. 103. RESEARCH AND DEVELOPMENT.
Section 48102(a) is amended by striking ‘‘title:’’ and
all that follows through the end of the subsection, and insert-
ing the following: ‘‘title, $206,000,000 for fiscal year 1997.’’.
SEC. 104. AIRPORT IMPROVEMENT PROGRAM.
(a) AUTHORIZATION
OF APPROPRIATIONS.—Section
48103 is amended—
(1) by striking ‘‘and $21,958,500,000’’ and in-
serting ‘‘$19,200,500,000’’; and
(2) by inserting before the period at the end the
following: ‘‘, $21,480,500,000 for fiscal years ending
before October 1, 1997.
(b) OBLIGATIONAL AUTHORITY.—Section 47104(c) is
amended by striking ‘‘1996’’ and inserting ‘‘1997’’.
HR 3539 EAS1S
SEC. 105. INTERACCOUNT FLEXIBILITY.
Section 106 is amended by adding at the end the fol-
lowing new subsection:
‘‘(l) INTERACCOUNT FLEXIBILITY.—
‘‘(1) Except as provided in paragraph (2), the
Administrator may transfer budget authority derived
from trust funds among appropriations authorized by
subsection (k) and sections 48101 and 48102, if the
aggregate estimated outlays in such accounts in the
fiscal year in which the transfers are made will not
be increased as a result of such transfer.
‘‘(2) The transfer of budget authority under
paragraph (1) may be made only to the extent that
outlays do not exceed the aggregate estimated outlays.
‘‘(3) A transfer of budget authority under para-
graph (1) may not result in a net decrease of more
than 5 percent, or a net increase of more than 10 per-
cent, in the budget authority available under any ap-
propriation involved in that transfer.
‘‘(4) Any action taken pursuant to this section
shall be treated as a reprogramming of funds that is
subject to review by the appropriate committees of the
Congress.
‘‘(5) The Administrator may transfer budget au-
thority pursuant to this section only after—
HR 3539 EAS1S
‘‘(A) submitting a written explanation of
the proposed transfer to the Committees on
Transportation and Infrastructure and Appro-
priations of the House of Representatives and the
Committees on Commerce, Science, and Trans-
portation and Appropriations of the Senate; and
‘‘(B) 30 days have passed after the expla-
nation is submitted and none of the committees
notifies the Administrator in writing that it ob-
jects to the proposed transfer within the 30 day
period.’’.
TITLE 
II—AIRPORT 
IMPROVE-
MENT PROGRAM MODIFICA-
TIONS
SEC. 201. PAVEMENT MAINTENANCE PROGRAM.
(a) PAVEMENT
MAINTENANCE.—Chapter 471 is
amended by adding the following section at the end of sub-
chapter I:
‘‘§ 47132. Pavement maintenance
‘‘(a) IN GENERAL.—The Administrator of the Federal
Aviation Administration shall issue guidelines to carry out
a pavement maintenance pilot project to preserve and ex-
tend the useful life of runways, taxiways, and aprons at
airports for which apportionments are made under section
47114(d). The regulations shall provide that the Adminis-
HR 3539 EAS1S
trator may designate not more than 10 projects. The regula-
tions shall provide criteria for the Administrator to use in
choosing the projects. At least 2 such projects must be in
States without a primary airport that had 0.25 percent or
more of the total boardings in the United States in the pre-
ceding calendar year. In designating a project, the Admin-
istrator shall take into consideration geographical, climato-
logical, and soil diversity.
‘‘(b) EFFECTIVE DATE.—This section shall be effective
beginning on the date of enactment of the Federal Aviation
Reauthorization Act of 1996 and ending on September 30,
1999.’’.
(b) COMPLIANCE WITH FEDERAL MANDATES.—
(1) USE OF AIP GRANTS.—Section 47102(3) is
amended—
(A) in subparagraph (E) by inserting ‘‘or
under section 40117’’ before the period at the
end; and
(B) in subparagraph (F) by striking ‘‘paid
for by a grant under this subchapter and’’.
(2) USE OF PASSENGER FACILITY CHARGES.—
Section 40117(a)(3) is amended—
(A) by inserting ‘‘and’’ at the end of sub-
paragraph (D);
HR 3539 EAS1S
(B) by striking ‘‘; and’’ at the end of sub-
paragraph (E) and inserting a period; and
(C) by striking subparagraph (F).
(c) CONFORMING AMENDMENT.—The chapter analysis
for subchapter I of chapter 471 is amended by inserting
after the item relating to section 47131 the following new
item:
‘‘47132. Pavement maintenance.’’.
SEC. 202. MAXIMUM PERCENTAGES OF AMOUNT MADE
AVAILABLE FOR GRANTS TO CERTAIN PRI-
MARY AIRPORTS.
Section 47114 is amended by adding at the end thereof
the following:
‘‘(g) SLIDING SCALE.—
‘‘(1) Notwithstanding any other provision of this
title, of the amount newly made available under sec-
tion 48103 of this title for fiscal year 1997 to make
grants, not more than the percentage of such amount
newly made available that is specified in paragraph
(2) shall be distributed in total in such fiscal year for
grants described in paragraph (3).
‘‘(2) If the amount newly made available is—
‘‘(A) not more than $1,150,000,000, then the
percentage is 47.0;
HR 3539 EAS1S
‘‘(B) more than $1,150,000,000 but not
more than $1,250,000,000, then the percentage is
46.0;
‘‘(C) more than $1,250,000,000 but not
more than $1,350,000,000, then the percentage is
45.4;
‘‘(D) more than $1,350,000,000 but not
more than $1,450,000,000, then the percentage is
44.8; or
‘‘(E) more than $1,450,000,000 but not
more than $1,550,000,000, then the percentage is
44.3.
‘‘(3) This subsection applies to the aggregate
amount of grants in a fiscal year for projects at those
primary airports that each have not less than 0.25
per centum of the total passenger boardings in the
United States in the preceding calendar year.’’.
SEC. 203. DISCRETIONARY FUND.
Section 47115 is amended—
(1) by striking ‘‘and’’ at the end of subsection
(d)(2) and inserting a comma and the following: ‘‘,
including, in the case of a project at a reliever air-
port, the number of operations projected to be diverted
from a primary airport to that reliever airport as a
result of the project, as well as the cost savings pro-
HR 3539 EAS1S
SEC. 204. DESIGNATING CURRENT AND FORMER MILITARY
AIRPORTS.
(a) GENERAL REQUIREMENTS.—Section 47118(a) is
amended to read as follows:
‘‘(a) GENERAL REQUIREMENTS.—The Secretary of
Transportation shall designate current or former military
airports for which grants may be made under section
47117(e)(1)(E) of this title. The maximum number of air-
ports bearing such designation at any time is 12. The Sec-
retary may only so designate an airport (other than an air-
port so designated before August 24, 1994) if—
‘‘(1) the airport is a former military installation
closed or realigned under—
‘‘(A) section 2687 of title 10;
‘‘(B) section 201 of the Defense Authoriza-
tion Amendments and Base Closure and Re-
alignment Act (10 U.S.C. 2687 note); or
‘‘(C) section 2905 of the Defense Base Clo-
sure and Realignment Act of 1990 (10 U.S.C.
2687 note); or
‘‘(2) the Secretary finds that such grants
would—
‘‘(A) reduce delays at an airport with more
than 20,000 hours of annual delays in commer-
cial passenger aircraft takeoffs and landings; or
HR 3539 EAS1S
‘‘(B) enhance airport and air traffic control
system capacity in a metropolitan area or re-
duce current and projected flight delays.’’.
(b) ADDITIONAL
DESIGNATION
PERIODS.—Section
47118(d) is amended by striking ‘‘designation.’’ and insert-
ing ‘‘designation, and for subsequent 5-fiscal-year periods
if the Secretary determines that the airport satisfies the des-
ignation criteria under subsection (a) at the beginning of
each such subsequent 5-fiscal-year period.’’.
(c) PARKING LOTS, FUEL FARMS, AND UTILITIES.—
Subsection (f) of section 47118 is amended by striking ‘‘the
fiscal years ending September 30, 1993–1996,’’ and insert-
ing ‘‘for fiscal years beginning after September 30, 1992,’’.
(d) ONE-YEAR EXTENSION.—Section 47117(e)(1)(E)
is amended by striking ‘‘and 1996,’’ and inserting ‘‘1996,
and 1997,’’.
SEC. 205. STATE BLOCK GRANT PROGRAM.
(a) PARTICIPATING STATES.—Section 47128(b) is
amended—
(1) by striking paragraph (2);
(2) by redesignating subparagraphs (A) through
(E) of paragraph (1) as paragraphs (1) through (5),
respectively; and
(3) by striking ‘‘(1) A State’’ and inserting ‘‘A
State’’.
HR 3539 EAS1S
(b) USE
OF
STATE
PRIORITY
SYSTEM.—Section
47128(c) is amended by adding at the end the following:
‘‘In carrying out this subsection, the Secretary shall permit
a State to use the priority system of the State if such system
is not inconsistent with the national priority system.’’.
(c) CHANGE OF EXPIRATION DATE.—Section 47128(d)
is amended by striking ‘‘1996’’ and inserting ‘‘1997’’.
SEC. 206. 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 or
other modes of transportation to have access to the
airport, but the sponsor does not have any obligation
under this paragraph, or because of it, to fund special
facilities for intercity bus service or for other modes
of transportation.’’.
HR 3539 EAS1S
TITLE III—AVIATION SAFETY
AND SECURITY
SEC. 301. REPORT INCLUDING PROPOSED LEGISLATION ON
FUNDING FOR AIRPORT SECURITY.
(a) IN GENERAL.—Not later than 30 days after the
date of enactment of this Act, the Administrator shall con-
duct a study and submit to the Congress a report on wheth-
er, and if so, how to transfer certain responsibilities of air
carriers under Federal law for security activities conducted
onsite at airports to airport operators who are subject to
section 44903 of title 49, United States Code, or to the Fed-
eral Government or providing for shared responsibilities be-
tween air carriers and airport operators or the Federal
Government.
(b) CONTENTS
OF REPORT.—The report submitted
under this section shall—
(1) examine potential sources of Federal and
non-Federal revenue that may be used to fund secu-
rity activities including but not limited to providing
grants from funds received as fees collected under a
fee system established under subpart C of this title
and the amendments made by that subpart; and
(2) provide legislative proposals, if necessary, for
accomplishing the transfer of responsibilities referred
to in subsection (a).
HR 3539 EAS1S
(c) CERTIFICATION OF SCREENING COMPANIES.—The
Federal Aviation Administrator is directed to certify com-
panies providing security screening and to improve the
training and testing of security screeners through develop-
ment of uniform performance standards for providing secu-
rity screening services.
SEC. 302. FAMILY ADVOCACY.
(a) IN GENERAL.—Subchapter III of chapter 11 of
title 49, United States Code, is amended by adding at the
end the following new section:
‘‘§ 1136. Family advocacy
‘‘(a) IN GENERAL.—The National Transportation
Safety Board shall establish a program consistent with its
existing authority to provide family advocacy services for
aircraft accidents described in subsection (b)(1) and serve
as the lead agency in coordinating the provision of the serv-
ices described in subsection (b). The National Transpor-
tation Safety Board shall, as necessary, in carrying out the
program, cooperate with the Secretary of Transportation,
the Administrator of the Federal Aviation Administration,
and such other public and private organizations as may
be appropriate.
‘‘(b) FAMILY ADVOCACY SERVICES.—
‘‘(1) IN
GENERAL.—The National Transpor-
tation Safety Board shall work with an air carrier
HR 3539 EAS1S
involved in an accident in air commerce and facili-
tate the procurement by that air carrier of the serv-
ices of family advocates who are not otherwise em-
ployed by an air carrier and who are not employed
by the Federal Aviation Administration to, in the
event of an accident in air commerce—
‘‘(A) apply standards of conduct specified
by the National Transportation Safety Board;
‘‘(B) to the extent practicable, direct and fa-
cilitate all communication among air carriers,
surviving passengers, families of passengers,
news reporters, the Federal Government, and the
governments of States and political subdivisions
thereof;
‘‘(C) coordinate with a representative of the
air carrier to jointly direct the notification of the
next of kin of victims of the accident; and
‘‘(D) carry out such other related duties as
the National Transportation Safety Board deter-
mines to be appropriate.
‘‘(2) DEFINITIONS.—For purposes of this sub-
section, the following definitions shall apply:
‘‘(A) AIR CARRIER.—The term ‘air carrier’
has the meaning provided that term in section
40102(a)(2).
HR 3539 EAS1S
‘‘(B) FAMILY ADVOCATE.—The term ‘family
advocate’ shall have the meaning provided that
term by the National Transportation Safety
Board by regulation.’’.
(b) GUIDELINES.—Not later than 90 days after the
date of enactment of this Act, the National Transportation
Safety Board shall issue guidelines for the implementation
of the program established by the Board under section 1136
of title 49, United States Code, as added by subsection (a).
(c) CONFORMING AMENDMENT.—The chapter analysis
for subchapter III of chapter 11 of title 49, United States
Code, is amended by adding at the end the following:
‘‘1136. Family advocacy.’’.
SEC. 303. ACCIDENT AND SAFETY DATA CLASSIFICATION;
REPORT ON EFFECTS OF PUBLICATION AND
AUTOMATED SURVEILLANCE TARGETING SYS-
TEMS.
(a) ACCIDENT AND SAFETY DATA CLASSIFICATION.—
(1) IN GENERAL.—Subchapter II of chapter 11 of
title 49, United States Code, is amended by adding
at the end the following new section:
‘‘§ 1119. Accident and safety data classification and
publication
‘‘(a) IN GENERAL.—Not later than 90 days after the
date of enactment of this section, the National Transpor-
tation Safety Board (hereafter in this section referred to
HR 3539 EAS1S
shall provide adequate opportunity for public review
and comment.
‘‘(3) FINAL
CLASSIFICATION.—After providing
for public review and comment, and after consulting
with the Administrator, the Board shall issue final
classifications. The Board shall ensure that air travel
accident and safety data covered under this section is
classified in accordance with the final classifications
issued under this section for data for calendar year
1997, and for each subsequent calendar year.
‘‘(4) REPORT
ON
THE
EFFECTS
ASSOCIATED
WITH PUBLICATION OF AIR TRANSPORTATION ACCI-
DENT AND SAFETY INFORMATION.—
‘‘(A) IN GENERAL.—Not later than the date
specified in subsection (a), the Board shall pre-
pare and submit to the Congress a report on the
effects and potential of the publication of air
transportation accident safety information.
‘‘(B) CONTENT AND FORM OF REPORT.—The
report prepared under this paragraph shall in-
clude recommendations concerning the adoption
or revision of requirements for reporting accident
and safety data.
‘‘(5) RECOMMENDATIONS
OF
THE
ADMINIS-
TRATOR.—The Administrator may, from time to time,
HR 3539 EAS1S
request the Board to consider revisions (including ad-
ditions to the classification system developed under
this section). The Board shall respond to any request
made by the Administrator under this section not
later than 90 days after receiving that request.
‘‘(c) PRESENTATION OF FINAL CLASSIFICATIONS TO
THE INTERNATIONAL CIVIL AVIATION ORGANIZATION.—Not
later than 90 days after final classifications are issued
under subsection (b)(3), the Administrator shall—
‘‘(1) present to the International Civil Aviation
Organization the final classification system developed
under this section; and
‘‘(2) seek the adoption of that system by the
International Civil Aviation Organization.’’.
(2) CONFORMING
AMENDMENT.—The chapter
analysis for subchapter II of chapter 11 of title 49,
United States Code, is amended by adding at the end
the following new item:
‘‘1119. Accident and safety data classification and publication.’’.
(b) AUTOMATED
SURVEILLANCE
TARGETING
SYS-
TEMS.—Section 44713 is amended by adding at the end the
following new subsection:
‘‘(e) AUTOMATED SURVEILLANCE TARGETING SYS-
TEMS.—
‘‘(1) IN GENERAL.—The Administrator shall give
high priority to developing and deploying a fully en-
HR 3539 EAS1S
hanced safety performance analysis system that in-
cludes automated surveillance to assist the Adminis-
trator in prioritizing and targeting surveillance and
inspection activities of the Federal Aviation Adminis-
tration.
‘‘(2) DEADLINES FOR DEPLOYMENT.—
‘‘(A) INITIAL PHASE.—The initial phase of
the operational deployment of the system devel-
oped under this subsection shall begin not later
than December 31, 1997.
‘‘(B) FINAL
PHASE.—The final phase of
field deployment of the system developed under
this subsection shall begin not later than Decem-
ber 31, 1999. By that date, all principal oper-
ations and maintenance inspectors of the Admin-
istration, and appropriate supervisors and ana-
lysts of the Administration shall have been pro-
vided access to the necessary information and re-
sources to carry out the system.
‘‘(3) INTEGRATION OF INFORMATION.—In devel-
oping the system under this section, the Administra-
tion shall consider the near-term integration of acci-
dent and incident data into the safety performance
analysis system under this subsection.’’.
HR 3539 EAS1S
SEC. 304. WEAPONS AND EXPLOSIVE DETECTION STUDY.
(a) IN GENERAL.—The Administrator of the Federal
Aviation Administration (hereafter in this section referred
to as the ‘‘Administrator’’) shall enter into an arrangement
with the Director of the National Academy of Sciences (or
if the National Academy of Sciences is not available, the
head of another equivalent entity) to conduct a study in
accordance to this section.
(b) PANEL OF EXPERTS.—
(1) IN
GENERAL.—In carrying out a study
under this section, the Director of the National Acad-
emy of Sciences (or the head of another equivalent en-
tity) shall establish a panel (hereinafter in this sec-
tion as the ‘‘panel’’).
(2) EXPERTISE.—Each member of the panel es-
tablished under this subsection shall have expertise in
weapons and explosive detection technology, security,
air carrier and airport operations, or another appro-
priate area. The Director of the National Academy of
Sciences (or the head of another equivalent entity)
shall ensure that the panel has an appropriate num-
ber of representatives of the areas specified in the pre-
ceding sentence.
(c) STUDY.—The panel established under subsection
(b), in consultation with the National Science and Tech-
nology Council, representatives of appropriate Federal
HR 3539 EAS1S
agencies, and appropriate members of the private sector,
shall—
(1) assess the weapons and explosive detection
technologies that are available at the time of the study
that are capable of being effectively deployed in com-
mercial aviation;
(2) determine how the technologies referred to in
paragraph (1) may more effectively be used for pro-
motion and improvement of security at airport and
aviation facilities and other secured areas; and
(3) on the basis of the assessments and deter-
minations made under paragraphs (1) and (2), iden-
tify the most promising technologies for the improve-
ment of the efficiency and cost-effectiveness of weap-
ons and explosive detection.
(d) COOPERATION.—The National Science and Tech-
nology Council shall take such action as may be necessary
to facilitate, to the maximum extent practicable and upon
request of the Director of the National Academy of Sciences
(or the head of another equivalent entity), the cooperation
of representatives of appropriate Federal agencies, as pro-
vided for in subsection (c), in providing the panel, for the
study under this section—
(1) expertise; and
HR 3539 EAS1S
(2) to the extent allowable by law, resources and
facilities.
(e) REPORTS.—The Director of the National Academy
of Sciences (or the head of another equivalent entity) shall,
pursuant to an arrangement entered into under subsection
(a), submit to the Administrator such reports as the Admin-
istrator considers to be appropriate. Upon receipt of a re-
port under this subsection, the Administrator shall submit
a copy of the report to the appropriate committees of the
Congress.
(f) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated, for each of fiscal years 1997
through 2001, such sums as may be necessary to carry out
this section.
SEC. 305. REQUIREMENT FOR CRIMINAL HISTORY RECORDS
CHECKS.
(a) IN GENERAL.—Section 44936(a)(1) is amended—
(1) by redesignating subparagraphs (A) and (B)
as clauses (i) and (ii), respectively;
(2) by striking ‘‘(1)’’ and inserting ‘‘(1)(A)’’;
and
(3) by adding at the end the following:
‘‘(B) The Administrator shall require by regulation
that an employment investigation (including a criminal
HR 3539 EAS1S
history record check in any case described in subparagraph
(C)) be conducted for—
‘‘(i) individuals who will be responsible for
screening passengers or property under section 44901
of this title;
‘‘(ii) supervisors of the individuals described in
clause (i); and
‘‘(iii) such other individuals who exercise secu-
rity functions associated with baggage or cargo, as the
Administrator determines is necessary to ensure air
transportation security.
‘‘(C) Under the regulations issued under subparagraph
(B), a criminal history record check shall, as a minimum,
be conducted in any case in which—
‘‘(i) an employment investigation reveals a gap
in employment of 12 months or more that the indi-
vidual who is the subject of the investigation does not
satisfactorily account for;
‘‘(ii) that individual is unable to support state-
ments made on the application of that individual;
‘‘(iii) there are significant inconsistencies in the
information provided on the application of that indi-
vidual; or
‘‘(iv) information becomes available during the
employment investigation indicating a possible con-
HR 3539 EAS1S
viction for one of the crimes listed in subsection
(b)(1)(B).’’.
(b) APPLICABILITY.—The amendment made by sub-
section (a)(3) shall apply to individuals hired to perform
functions described in section 44936(a)(1)(B) of title 49,
United States Code, after the date of the enactment of this
Act, except that the Administrator may, as the Adminis-
trator determines to be appropriate, require such employ-
ment investigations or criminal history records checks for
individuals performing those functions on the date of enact-
ment of this Act. Nothing in section 44936 of title 49, Unit-
ed States Code, as amended by subsection (a) precludes the
Administration from permitting the employment of an in-
dividual on an interim basis while employment or criminal
history record checks required by that section are being con-
ducted.
SEC. 306. INTERIM DEPLOYMENT OF COMMERCIALLY AVAIL-
ABLE EXPLOSIVE DETECTION EQUIPMENT.
Section 44913(a) is amended—
(1) by redesignating paragraph (3) as para-
graph (4); and
(2) by inserting after paragraph (2) the follow-
ing:
‘‘(3) Until such time as the Administrator deter-
mines that equipment certified under paragraph (1)
HR 3539 EAS1S
is commercially available and has successfully com-
pleted operational testing as provided in paragraph
(1), the Administrator shall facilitate the deployment
of such approved commercially available explosive de-
tection devices as the Administrator determines will
enhance aviation security significantly. The Adminis-
trator shall require that equipment deployed under
this paragraph be replaced by equipment certified
under paragraph (1) when equipment certified under
paragraph (1) becomes commercially available. The
Administrator is authorized, based on operational
considerations at individual airports, to waive the re-
quired installation of commercially available equip-
ment under paragraph (1) in the interests of aviation
security.’’.
SEC. 307. AUDIT OF PERFORMANCE OF BACKGROUND
CHECKS FOR CERTAIN PERSONNEL.
Section 44936(a) is amended by adding at the end the
following:
‘‘(3) The Administrator shall provide for the
periodic audit of the effectiveness of criminal history
record checks conducted under paragraph (1) of this
subsection.’’.
HR 3539 EAS1S
SEC. 
308. 
SENSE 
OF 
THE 
SENATE 
ON 
PASSENGER
PROFILING.
It is the sense of the Senate that the Administrator
of the Federal Aviation Administration, in consultation
with the intelligence and law enforcement communities,
should continue to assist air carriers in developing com-
puter-assisted and other appropriate passenger profiling
programs which should be used in conjunction with other
security measures and technologies.
SEC. 309. AUTHORITY TO USE CERTAIN FUNDS FOR AIR-
PORT SECURITY PROGRAMS AND ACTIVITIES.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law, funds referred to in subsection (b) may be used
to expand and enhance air transportation security pro-
grams and other activities (including the improvement of
facilities and the purchase and deployment of equipment)
to ensure the safety and security of passengers and other
persons involved in air travel.
(b) COVERED FUNDS.—The following funds may be
used under subsection (a):
(1) Project grants made under subchapter 1 of
chapter 471 of title 49, United States Code.
(2) Passenger facility fees collected under section
40117 of title 49, United States Code.
HR 3539 EAS1S
SEC. 310. DEVELOPMENT OF AVIATION SECURITY LIAISON
AGREEMENT.
The Secretary of Transportation and the Attorney
General, acting through the Administrator of the Federal
Aviation Administration and the Director of the Federal
Bureau of Investigation, shall enter into an interagency
agreement providing for the establishment of an aviation
security liaison at existing appropriate Federal agencies’
field offices in or near cities served by a designated high-
risk airport.
SEC. 311. REGULAR JOINT THREAT ASSESSMENTS.
The Administrator of the Federal Aviation Adminis-
tration and the Director of the Federal Bureau of Investiga-
tion shall carry out joint threat and vulnerability assess-
ments on security every 3 years, or more frequently, as nec-
essary, at airports determined to be high risk.
SEC. 312. BAGGAGE MATCH REPORT.
Within 30 days after the completion of the passenger
bag match pilot program recommended by the Vice Presi-
dent’s Commission on Aviation Security, the Administrator
shall submit a report to Congress on the safety effectiveness
and operational effectiveness of the pilot program. The re-
port shall also assess the extent to which implementation
of baggage match requirements, coupled with the best avail-
able technologies and methodologies, such as passenger
profiling, enhance domestic aviation security.
HR 3539 EAS1S
SEC. 313. ENHANCED SECURITY PROGRAMS.
(a) IN GENERAL.—Chapter 449 is amended by adding
at the end of subchapter I the following:
‘‘§ 44916. Assessments and evaluations
‘‘(a) IN GENERAL.—
‘‘(1) PERIODIC
ASSESSMENTS.—The Adminis-
trator shall require each air carrier and airport (in-
cluding the airport owner or operator in cooperation
with the air carriers and vendors serving each air-
port) that provides for intrastate, interstate, or for-
eign air transportation to conduct periodic vulner-
ability assessments of the security systems of that air
carrier or airport, respectively. The Administration
shall perform periodic audits of the assessments re-
ferred to in paragraph (1).
‘‘(2) INVESTIGATIONS.—The Administrator shall
conduct periodic and unannounced inspections of se-
curity systems of airports and air carriers to deter-
mine the effectiveness and vulnerabilities of such sys-
tems. To the extent allowable by law, the Adminis-
trator may provide for anonymous tests of those secu-
rity systems.’’.
(b) CLERICAL AMENDMENT.—The table of sections for
such chapter is amended by inserting after the item relating
to section 44915 the following:
‘‘44916. Assessments and evaluations.’’.
HR 3539 EAS1S
SEC. 314. REPORT ON AIR CARGO.
Within —— days after the date of enactment of this
Act, the Secretary of Transportation shall prepare a report
for the Congress on any changes recommended and imple-
mented as a result of the Vice President’s Commission on
Aviation Security to enhance and supplement screening
and inspection of cargo, mail, and company-shipped mate-
rials transported in air commerce. The report shall include
an assessment of the effectiveness of such changes, any addi-
tional recommendations, and, if necessary, any legislative
proposals necessary to carry out additional changes.
TITLE IV—MISCELLANEOUS
PROVISIONS
SEC. 401. ACQUISITION OF HOUSING UNITS.
Section 40110 is amended—
(1) by redesignating subsection (b) as subsection
(c); and
(2) by inserting after subsection (a) the follow-
ing:
‘‘(b) ACQUISITION OF HOUSING UNITS.—
‘‘(1) AUTHORITY.—In carrying out this part, the
Administrator may acquire interests in housing units
outside the contiguous United States.
‘‘(2) CONTINUING OBLIGATIONS.—Notwithstand-
ing section 1341 of title 31, United States Code, the
Administrator may acquire an interest in a housing
HR 3539 EAS1S
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 acquire an interest in a housing
unit under paragraph (1) only if the Administrator
transmits to the Committee on Transportation and
Infrastructure of the House of Representatives and the
Committee on Commerce, Science, and Transpor-
tation of the Senate at least 30 days before completing
the acquisition a report containing—
‘‘(A) a description of the housing unit and
its price; and
‘‘(B) a certification that acquiring the hous-
ing unit is the most cost-beneficial means of pro-
viding necessary accommodations in carrying
out this part.
‘‘(4) PAYMENT
OF
FEES.—The Administrator
may pay, when due, fees resulting from the acquisi-
tion of an interest in a housing unit under this sub-
section from any amounts made available to the Ad-
ministrator.’’.
HR 3539 EAS1S
SEC. 402. PROTECTION OF VOLUNTARILY SUBMITTED IN-
FORMATION.
(a) IN GENERAL.—Chapter 401 is amended by redesig-
nating section 40120 as section 40121 and by inserting
after section 40119 the following:
‘‘§ 40120. Protection of voluntarily submitted informa-
tion
‘‘(a) IN GENERAL.—Notwithstanding any other provi-
sion of law, neither the Administrator of the Federal Avia-
tion Administration, nor any agency receiving information
from the Administrator, shall disclose voluntarily-provided
safety or security related information if the Administrator
finds that—
‘‘(1) the disclosure of the information would in-
hibit the voluntary provision of that type of informa-
tion and that the receipt of that type of information
aids in fulfilling the Administrator’s safety and secu-
rity responsibilities; and
‘‘(2) withholding such information from disclo-
sure would be consistent with the Administrator’s
safety and security responsibilities.
‘‘(b) REGULATIONS.—The Administrator shall issue
regulations to carry out this section.’’.
(b) CONFORMING AMENDMENT.—The table of sections
at the beginning of chapter 401 is amended by striking the
item relating to section 40120 and inserting the following:
HR 3539 EAS1S
‘‘40120. Protection of voluntarily submitted information.
‘‘40121. Relationship to other laws.’’.
SEC. 403. APPLICATION OF FAA REGULATIONS.
In revising title 14, Code of Federal Regulations, in
a manner affecting intrastate aviation in Alaska, the Ad-
ministrator of the Federal Aviation Administration shall
consider the extent to which Alaska is not served by trans-
portation modes other than aviation, and shall establish
such regulatory distinctions as the Administrator deems ap-
propriate.
SEC. 404. SENSE OF THE SENATE REGARDING THE FUND-
ING OF THE FEDERAL AVIATION ADMINISTRA-
TION.
(a) FINDINGS.—The Senate finds that—
(1) the Congress is responsible for ensuring that
the financial needs of the Federal Aviation Adminis-
tration, the agency that performs the critical function
of overseeing the Nation’s air traffic control system
and ensuring the safety of air travelers in the United
States, are met;
(2) the number of air traffic control equipment
and power failures is increasing, which could place at
risk the reliability of our Nation’s air traffic control
system;
(3) aviation excise taxes that constitute the Air-
port and Airway Trust Fund, which provides most of
HR 3539 EAS1S
the funding for the Federal Aviation Administration,
have expired;
(4) the surplus in the Airport and Airway Trust
Fund will be spent by the Federal Aviation Adminis-
tration by December 1996;
(5) the existing system of funding the Federal
Aviation Administration will not provide the agency
with sufficient short-term or long-term funding;
(6) this Act creates a sound process to review
Federal Aviation Administration funding and develop
a funding system to meet the Federal Aviation Ad-
ministration’s long-term funding needs; and
(7) without immediate action by the Congress to
ensure that the Federal Aviation Administration’s fi-
nancial needs are met, air travelers’ confidence in the
system could be undermined.
(b) SENSE OF THE SENATE.—It is the sense of the Sen-
ate that there should be an immediate enactment of an 18-
month reinstatement of the aviation excise taxes to provide
short-term funding for the Federal Aviation Administra-
tion.
SEC. 405. AUTHORIZATION FOR STATE-SPECIFIC SAFETY
MEASURES.
There are authorized to be appropriated to the Federal
Aviation Administration not more than $10,000,000 for fis-
HR 3539 EAS1S
cal year 1997 for the purpose of addressing State-specific
aviation safety problems identified by the National Trans-
portation Safety Board.
SEC. 406. SENSE OF THE SENATE REGARDING THE AIR AM-
BULANCE EXEMPTION FROM CERTAIN FED-
ERAL EXCISE TAXES.
It is the sense of the Senate that, if the excise taxes
imposed by section 4261 or 4271 of the Internal Revenue
Code of 1986 are reinstated, the exemption from those taxes
provided by section 4261(f) of such Code for air transpor-
tation by helicopter for the purpose of providing emergency
medical services should be broadened to include air trans-
portation by fixed-wing aircraft for that purpose.
SEC. 407. FAA SAFETY MISSION.
(a) IN GENERAL.—Section 40104 is amended—
(1) by inserting ‘‘safety of’’ before ‘‘air com-
merce’’ in the section caption;
(2) by inserting ‘‘SAFETY OF’’ before ‘‘AIR COM-
MERCE’’ in the caption of subsection (a); and
(3) by and inserting ‘‘safety of’’ before ‘‘air com-
merce’’ in subsection (a).
(b) CLERICAL AMENDMENT.—The table of sections for
chapter 401 is amended by striking the item relating to sec-
tion 40104 and inserting:
‘‘40104. Promotion of civil aeronautics and air commerce safety.’’.
HR 3539 EAS1S
SEC. 408. CARRIAGE OF CANDIDATES IN STATE AND LOCAL
ELECTIONS.
The Administrator of the Federal Aviation Adminis-
tration shall revise section 91.321 of the Administration’s
regulations (14 C.F.R. 91.321), relating to the carriage of
candidates in Federal elections, to make the same or similar
rules applicable to the carriage of candidates for election
to public office in State and local government elections.
SEC. 409. TRAIN WHISTLE REQUIREMENTS.
The Secretary of Transportation may not implement
regulations issued under section 20153(b) of title 49, United
States Code, requiring audible warnings to be sounded by
a locomotive horn at highway-rail grade crossings, unless—
(1) in implementing the regulations or providing
an exception to the regulations under section 20158(c)
of such title, the Secretary of Transportation takes
into account, among other criteria—
(A) the interest of the communities that, as
of July 30, 1996—
(i) have in effect restrictions on sound-
ing of a locomotive horn at highway-rail
grade crossings; or
(ii) have not been subject to the routine
(as the term is defined by the Secretary)
sounding of a locomotive horn at highway-
rail grade crossings; and
HR 3539 EAS1S
(B) the past safety record at each grade
crossing involved; and
(2) whenever the Secretary determines that sup-
plementary safety measures (as that term is defined
in section 20153(a) of title 49, United States Code)
are necessary to provide an exception referred to in
paragraph (1), the Secretary—
(A) having considered the extent to which
local communities have established public aware-
ness initiatives and highway-rail crossing traffic
law enforcement programs allows for a period of
not to exceed 3 years, beginning on the date of
that determination, for the installation of those
measures; and
(B) works in partnership with affected com-
munities to provide technical assistance and to
develop a reasonable schedule for the installation
of those measures.
SEC. 410. LIMITATION ON AUTHORITY OF STATES TO REGU-
LATE GAMBLING DEVICES ON VESSELS.
Subsection (b)(2) of section 5 of the Act of January
2, 1951 (commonly referred to as the ‘‘Johnson Act’’) (64
Stat. 1135, chapter 1194; 15 U.S.C. 1175), is amended by
adding at the end the following:
HR 3539 EAS1S
‘‘(C) EXCLUSION OF CERTAIN VOYAGES AND
SEGMENTS.—Except for a voyage or segment of
a voyage that occurs within the boundaries of the
State of Hawaii, a voyage or segment of a voy-
age is not described in subparagraph (B) if such
voyage or segment includes or consists of a seg-
ment—
‘‘(i) that begins that ends in the same
State;
‘‘(ii) that is part of a voyage to an-
other State or to a foreign country; and
‘‘(iii) in which the vessel reaches the
other State or foreign country within 3
days after leaving the State in which such
segment begins.’’.
SEC. 411. SPECIAL FLIGHT RULES IN THE VICINITY OF
GRAND CANYON NATIONAL PARK.
The Secretary of Transportation, acting through the
Administrator of the Federal Aviation Administration,
shall take such action as may be necessary to provide 30
additional days for comment by interested persons on the
special flight rules in the vicinity of Grand Canyon Na-
tional Park described in the notice of proposed rulemaking
issued on July 31, 1996, at 61 Fed. Reg. 40120 et seq.
HR 3539 EAS1S
SEC. 412. INCREASED FEES.
Notwithstanding any other provision of law, the Sur-
face Transportation Board shall not increase fees for serv-
ices in connection with rail maximum rate complaints pur-
suant to 49 CFR part 1002, STB Ex Parte No. 542.
SEC. 413. TRANSFER OF AIR TRAFFIC CONTROL TOWER;
CLOSING OF FLIGHT SERVICE STATIONS.
(a) HICKORY, NORTH CAROLINA TOWER.—
(1) TRANSFER.—The Administrator of the Fed-
eral Aviation Administration may transfer any title,
right, or interest the United States has in the air
traffic control tower located at the Hickory Regional
Airport to the City of Hickory, North Carolina, for
the purpose of enabling the city to provide air traffic
control services to operators of aircraft.
(2) STUDY.—The Administrator shall conduct a
study to determine whether the number of operations
at Hickory Regional Airport meet the criteria for
contract towers and shall certify in writing to the
Committee on Commerce, Science, and Transpor-
tation of the Senate and the Committee on Commerce
and Infrastructure of the House of Representatives
whether that airport meets those criteria.
(b) NEW BERN–CRAVEN COUNTY STATION.—The Ad-
ministrator shall not close the New Bern–Craven County
flight services station or the Hickory Regional Airport flight
HR 3539 EAS1S
service station unless the Administrator certifies in writing
to the Committee on Commerce, Science, and Transpor-
tation of the Senate and the Committee on Transportation
and Infrastructure of the House of Representatives that such
closure will not result in a derogation of air safety and
that it will reduce costs to taxpayers.
SEC. 414. SENSE OF THE SENATE REGARDING ACTS OF
INTERNATIONAL TERRORISM.
(a) FINDINGS.—The Senate finds that—
(1) there has been an intensification in the op-
pression and disregard for human life among nations
that are willing to export terrorism;
(2) there has been an increase in attempts by
criminal terrorists to murder airline passengers
through the destruction of civilian airliners and the
deliberate fear and death inflicted through bombings
of buildings and the kidnapping of tourists and
Americans residing abroad; and
(3) information widely available demonstrates
that a significant portion of international terrorist
activity is state-sponsored, -organized, -condoned, or
-directed.
(b) SENSE OF THE SENATE.—It is the sense of the Sen-
ate that if evidence establishes beyond a clear and reason-
able doubt that any act of hostility towards any United
HR 3539 EAS1S
States citizen was an act of international terrorism spon-
sored, organized, condoned, or directed by any nation, a
state of war should be considered to exist or to have existed
between the United States of America and that nation, be-
ginning as of the moment that the act of aggression occurs.
SEC. 415. REPORTING FOR PROCUREMENT CONTRACTS.
Section 47112 is amended by adding at the end the
following new subsection:
‘‘(d) REPORTING FOR PROCUREMENT CONTRACTS.—
(1) The Secretary of Transportation shall promulgate regu-
lations to require that each grant agreement that includes
the awarding of any contract that includes Federal funds
in an amount greater than or equal to $5,000,000 under
this subchapter provides for a report to the Secretary that
states—
‘‘(A) the number of bids from qualified, respon-
sive and reasonable bidders that were in amounts
lower than the amount specified in the bid submitted
by the bidder awarded the contract;
‘‘(B) for each bid referred to in subparagraph A
(other than the bid submitted by the bidder awarded
the contract) the amount by which the bid submitted
by the bidder awarded the contract exceeded the lower
bid.
HR 3539 EAS1S
‘‘(2) APPLICABILITY.—This subsection shall apply to
grants referred to in this paragraph that are awarded on
or after the date of enactment of this Act.’’.
SEC. 416. PROVISIONS RELATING TO LIMITED SCOPE
AUDIT.
(a) IN
GENERAL.—Subparagraph (C) of section
103(a)(3) of the Employee Retirement Income Security Act
of 1974 (29 U.S.C. 1023(a)(3)(C)) is amended by adding
at the end the following new clause:
‘‘(ii) If an accountant is offering his opin-
ion under this section in the case of an employee
pension benefit plan, the accountant shall, to the
extent consistent with generally accepted audit-
ing standards, rely on the work of any independ-
ent public accountant of any bank or similar in-
stitution or insurance carrier regulated and su-
pervised and subject to periodic investigation by
a State or Federal agency that holds assets or
processes transactions of the employee pension
benefit plan.’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 103(a)(3)(A) of such Act (29 U.S.C.
1023(a)(3)(A)) is amended by striking ‘‘subparagraph
(C)’’ and inserting ‘‘subparagraph (C)(i)’’.
HR 3539 EAS1S
(2) Section 103(a)(3)(C) of such Act (29 U.S.C.
1023(a)(3)(C)) is amended by striking ‘‘(C) The’’ and
inserting ‘‘(C)(i) In the case of an employee benefit
plan other than an employee pension benefit plan,
the’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall apply with respect to opinions required under
section 103(a)(3)(A) of the Employee Retirement Income
Security Act of 1974 for plan years beginning on or after
January 1 of the calendar year following the date of the
enactment of this Act.
SEC. 417. ADVANCE ELECTRONIC TRANSMISSION OF CARGO
AND PASSENGER INFORMATION.
(a) CARGO INFORMATION.—
(1) IN GENERAL.—Section 431(b) of the Tariff
Act of 1930 (19 U.S.C. 1431(b)) is amended—
(A) by striking ‘‘Any manifest’’ and insert-
ing ‘‘(1) Any manifest’’, and
(B) by adding at the end the following new
paragraph:
‘‘(2)(A) Every passenger air carrier required to make
entry or to obtain clearance under the customs laws of the
United States (or the authorized agent of such carrier) shall
provide by electronic transmission cargo manifest informa-
tion described in subparagraph (B) in advance of such
HR 3539 EAS1S
entry or clearance in such manner as the Secretary shall
prescribe.
‘‘(B) The information described in this subparagraph
is as follows:
‘‘(i) The airport of arrival or departure, which-
ever is appropriate.
‘‘(ii) The airline prefix code.
‘‘(iii) The carrier code.
‘‘(iv) The flight number.
‘‘(v) The date of scheduled arrival or date of de-
parture, whichever is appropriate.
‘‘(vi) The permit to proceed to the destination, if
applicable.
‘‘(vii) The master and house air waybill numbers
and quantities.
‘‘(viii) The first airport of lading of the cargo.
‘‘(ix) A description and weight of the cargo.
‘‘(x) The shipper’s name and address from all
air waybills.
‘‘(xi) The consignee name and address from all
air waybills.
‘‘(xii) Notice that actual boarded quantities are
not equal to air waybill quantities.
‘‘(xiii) Transfer or transit information.
‘‘(xiv) Warehouse or other location of the cargo.
HR 3539 EAS1S
‘‘(xv) Any other data that the Secretary may by
regulation prescribe.’’.
(2) 
CONFORMING
AMENDMENT.—Subsection
(d)(1)(A) of section 431 of such Act is amended by in-
serting before the semicolon ‘‘or subsection (b)(2)’’.
(b) PASSENGER INFORMATION.—The Part II of title
IV of the Tariff Act of 1930 is amended by inserting after
section 431 the following new section:
‘‘SEC. 432. PASSENGER MANIFEST INFORMATION REQUIRED
FOR AIR CARRIERS.
‘‘(a) IN GENERAL.—Every passenger air carrier re-
quired to make entry or obtain clearance under the customs
laws of the United States (or the authorized agent of such
carrier) shall provide by electronic transmission passenger
manifest information described in subsection (b) in advance
of such entry or clearance in such manner and form as the
Secretary shall prescribe.
‘‘(b) INFORMATION DESCRIBED.—The information de-
scribed in this subsection is as follows:
‘‘(1) Full name of each passenger.
‘‘(2) Date of birth and citizenship of each pas-
senger.
‘‘(3) Passport number and country of issuance of
each passenger.
‘‘(4) Passenger name record.
HR 3539 EAS1S
‘‘(5) Any additional data that the Secretary, by
regulation, determines is reasonably necessary to en-
sure aviation safety pursuant to the Customs laws of
the United States.’’.
(c) DEFINITION.—Section 401 of the Tariff Act of 1930
is amended by adding at the end the following new sub-
section:
‘‘(t) PASSENGER AIR CARRIER.—The term ‘passenger
air carrier’ means an air carrier (as defined in section
40102(a)(2) of title 49, United States Code) or foreign air
carrier (as defined in section 40102(a)(21) of such title 49)
that provides transportation of passengers to or from any
place in the United States.’’.
(d) EFFECTIVE DATE.—The amendments made by this
section shall take effect 45 days after the date of the enact-
ment of this Act.
TITLE V—COMMERCIAL SPACE
LAUNCH ACT AMENDMENTS
SEC. 501. COMMERCIAL SPACE LAUNCH AMENDMENTS.
(a) AMENDMENTS.—Chapter 701 of title 49, United
States Code, is amended—
(1) in the table of sections—
(A) by amending the item relating to sec-
tion 70104 to read as follows:
‘‘70104. Restrictions on launches, operations, and reentries.’’;
HR 3539 EAS1S
(B) by amending the item relating to sec-
tion 70108 to read as follows:
‘‘70108. Prohibition, suspension, and end of launches, operation of launch sites
and reentry sites, and reentries.’’;
and
(C) by amending the item relating to sec-
tion 70109 to read as follows:
‘‘70109. Preemption of scheduled launches or reentries.’’;
(2) in section 70101—
(A) by inserting ‘‘microgravity research,’’
after ‘‘information services,’’ in subsection (a)(3);
(B) by inserting ‘‘, reentry,’’ after ‘‘launch-
ing’’ both places it appears in subsection (a)(4);
(C) by inserting ‘‘, reentry vehicles,’’ after
‘‘launch vehicles’’ in subsection (a)(5);
(D) by inserting ‘‘and reentry services‘’
after ‘‘launch services’’ in subsection (a)(6);
(E) 
by 
inserting 
‘‘, 
reentries,’’ 
after
‘‘launches’’ both places it appears in subsection
(a)(7);
(F) by inserting ‘‘, reentry sites,’’ after
‘‘launch sites’’ in subsection (a)(8);
(G) by inserting ‘‘and reentry services’’
after ‘‘launch services’’ in subsection (a)(8);
(H) by inserting ‘‘reentry sites,’’ after
‘‘launch sites,’’ in subsection (a)(9);
HR 3539 EAS1S
(I) by inserting ‘‘and reentry site’’ after
‘‘launch site’’ in subsection (a)(9);
(J) by inserting ‘‘reentry vehicles,’’ after
‘‘launch vehicles’’ in subsection (b)(2);
(K) by striking ‘‘launch’’ in subsection
(b)(2)(A);
(L) by inserting ‘‘and reentry’’ after ‘‘com-
mercial launch’’ in subsection (b)(3);
(M) by striking ‘‘launch’’ after ‘‘and trans-
fer commercial’’ in subsection (b)(3); and
(N) by inserting ‘‘and development of re-
entry sites,’’ after ‘‘launch-site support facili-
ties,’’ in subsection (b)(4);
(3) in section 70102—
(A) by striking ‘‘and any payload’’ and in-
serting in lieu thereof ‘‘or reentry vehicle and
any payload from Earth’’ in paragraph (3);
(B) by inserting ‘‘or reentry vehicle’’ after
‘‘means of a launch vehicle’’ in paragraph (8);
(C) by redesignating paragraphs (10)
through (12) as paragraphs (14) through (16),
respectively;
(D) by inserting after paragraph (9) the fol-
lowing new paragraphs:
HR 3539 EAS1S
‘‘(10) ‘reenter’ and ‘reentry’ mean to return or
attempt to return, purposefully, a reentry vehicle and
its payload, if any, from Earth orbit or from outer
space to Earth.
‘‘(11) ‘reentry services’ means—
‘‘(A) activities involved in the preparation
of a reentry vehicle and its payload, if any, for
reentry; and
‘‘(B) the conduct of a reentry.
‘‘(12) ‘reentry site’ means the location on Earth
to which a reentry vehicle is intended to return (as
defined in a license the Secretary issues or transfers
under this chapter).
‘‘(13) ‘reentry vehicle’ means a vehicle designed
to return from Earth orbit or outer space to Earth,
or a reusable launch vehicle designed to return from
outer space substantially intact.’’; and
(E) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ each place it appears in para-
graph (15), as so redesignated by subparagraph
(C) of this paragraph;
(4) in section 70103(b)—
(A) by inserting ‘‘AND REENTRIES’’ after
‘‘LAUNCHES’’ in the subsection heading;
HR 3539 EAS1S
(B) by inserting ‘‘and reentries’’ after
‘‘space launches’’ in paragraph (1); and
(C) by inserting ‘‘and reentry’’ after ‘‘space
launch’’ in paragraph (2);
(5) in section 70104—
(A) by amending the section designation
and heading to read as follows:
‘‘§ 70104. Restrictions on launches, operations, and re-
entries’’;
(B) by inserting ‘‘or reentry site, or to reen-
ter a reentry vehicle,’’ after ‘‘operate a launch
site’’ each place it appears in subsection (a);
(C) by inserting ‘‘or reentry’’ after ‘‘launch
or operation’’ in subsection (a)(3) and (4);
(D) in subsection (b)—
(i) by striking ‘‘launch license’’ and
inserting in lieu thereof ‘‘license’’;
(ii) by inserting ‘‘or reenter’’ after
‘‘may launch’’; and
(iii) by inserting ‘‘or reentering’’ after
‘‘related to launching’’; and
(E) in subsection (c)—
(i) by amending the subsection heading
to read as follows: ‘‘PREVENTING LAUNCHES
AND REENTRIES.—’’;
HR 3539 EAS1S
(ii) by inserting ‘‘or reentry’’ after
‘‘prevent the launch’’; and
(iii) by inserting ‘‘or reentry’’ after
‘‘decides the launch’’;
(6) in section 70105—
(A) by inserting ‘‘or a reentry site, or the
reentry of a reentry vehicle,’’ after ‘‘operation of
a launch site’’ in subsection (b)(1); and
(B) by striking ‘‘or operation’’ and insert-
ing in lieu thereof ‘‘, operation, or reentry’’ in
subsection (b)(2)(A);
(7) in section 70106(a)—
(A) by inserting ‘‘or reentry site’’ after ‘‘ob-
server at a launch site’’;
(B) by inserting ‘‘or reentry vehicle’’ after
‘‘assemble a launch vehicle’’; and
(C) by inserting ‘‘or reentry vehicle’’ after
‘‘with a launch vehicle’’;
(8) in section 70108—
(A) by amending the section designation
and heading to read as follows:
‘‘§ 70108. 
Prohibition, 
suspension, 
and 
end 
of
launches, operation of launch sites and
reentry sites, and reentries’’;
and
HR 3539 EAS1S
(B) in subsection (a)—
(i) by inserting ‘‘or reentry site, or re-
entry of a reentry vehicle,’’ after ‘‘operation
of a launch site’’; and
(ii) by inserting ‘‘or reentry’’ after
‘‘launch or operation’’;
(9) in section 70109—
(A) by amending the section designation
and heading to read as follows:
‘‘§ 70109. Preemption of scheduled launches or reen-
tries’’;
(B) in subsection (a)—
(i) by inserting ‘‘or reentry’’ after ‘‘en-
sure that a launch’’;
(ii) by inserting ‘‘, reentry site,’’ after
‘‘United States Government launch site’’;
(iii) by inserting ‘‘or reentry date com-
mitment’’ after ‘‘launch date commitment’’;
(iv) by inserting ‘‘or reentry’’ after
‘‘obtained for a launch’’;
(v) by inserting ‘‘, reentry site,’’ after
‘‘access to a launch site’’;
(vi) by inserting ‘‘, or services related
to a reentry,’’ after ‘‘amount for launch
services’’; and
HR 3539 EAS1S
(vii) by inserting ‘‘or reentry’’ after
‘‘the scheduled launch’’; and
(C) in subsection (c), by inserting ‘‘or re-
entry’’ after ‘‘prompt launching’’;
(10) in section 70110—
(A) by inserting ‘‘or reentry’’ after ‘‘prevent
the launch’’ in subsection (a)(2); and
(B) by inserting ‘‘or reentry site, or reentry
of a reentry vehicle,’’ after ‘‘operation of a
launch site’’ in subsection (a)(3)(B);
(11) in section 70111—
(A) 
by 
inserting 
‘‘or 
reentry’’ 
after
‘‘launch’’ in subsection (a)(1)(A);
(B) by inserting ‘‘and reentry services’’
after ‘‘launch services’’ in subsection (a)(1)(B);
(C) by inserting ‘‘or reentry services’’ after
‘‘or launch services’’ in subsection (a)(2);
(D) by inserting ‘‘or reentry’’ after ‘‘com-
mercial launch’’ both places it appears in sub-
section (b)(1);
(E) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ in subsection (b)(2)(C);
(F) by striking ‘‘or its payload for launch’’
in subsection (d) and inserting in lieu thereof
HR 3539 EAS1S
‘‘or reentry vehicle, or the payload of either, for
launch or reentry’’; and
(G) by inserting ‘‘, reentry vehicle,’’ after
‘‘manufacturer of the launch vehicle’’ in sub-
section (d);
(12) in section 70112—
(A) by inserting ‘‘or reentry’’ after ‘‘one
launch’’ in subsection (a)(3);
(B) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ in subsection (a)(4);
(C) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ each place it appears in sub-
section (b);
(D) by inserting ‘‘applicable’’ after ‘‘carried
out under the’’ in paragraphs (1) and (2) of sub-
section (b);
(E) by striking ‘‘, Space, and Technology’’
in subsection (d)(1);
(F) by inserting ‘‘OR REENTRIES’’ after
‘‘LAUNCHES’’ in the heading for subsection (e);
and
(G) by inserting ‘‘or reentry site or a re-
entry’’ after ‘‘launch site’’ in subsection (e);
HR 3539 EAS1S
(13) in section 70113(a)(1) and (d)(1) and (2),
by inserting ‘‘or reentry’’ after ‘‘one launch’’ each
place it appears;
(14) in section 70115(b)(1)(D)(i)—
(A) by inserting ‘‘reentry site,’’ after
‘‘launch site,’’; and
(B) by inserting ‘‘or reentry vehicle’’ after
‘‘launch vehicle’’ both places it appears; and
(15) in section 70117—
(A) by inserting ‘‘or reentry site, or to reen-
ter a reentry vehicle’’ after ‘‘operate a launch
site’’ in subsection (a);
(B) by inserting ‘‘or reentry’’ after ‘‘ap-
proval of a space launch’’ in subsection (d);
(C) by amending subsection (f) to read as
follows:
‘‘(f) LAUNCH NOT AN EXPORT; REENTRY NOT AN IM-
PORT.—A launch vehicle, reentry vehicle, or payload that
is launched or reentered is not, because of the launch or
reentry, an export or import, respectively, for purposes of
a law controlling exports or imports.’’; and
(D) in subsection (g)—
(i) by striking ‘‘operation of a launch
vehicle or launch site,’’ in paragraph (1)
and inserting in lieu thereof ‘‘reentry, oper-
HR 3539 EAS1S
ation of a launch vehicle or reentry vehicle,
or operation of a launch site or reentry
site,’’; and
(ii) 
by 
inserting 
‘‘reentry,’’ 
after
‘‘launch,’’ in paragraph (2).
(b) ADDITIONAL AMENDMENTS.—(1) Section 70105 of
title 49, United States Code, is amended—
(A) by inserting ‘‘(1)’’ before ‘‘A person may
apply’’ in subsection (a);
(B) by striking ‘‘receiving an application’’ both
places it appears in subsection (a) and inserting in
lieu thereof ‘‘accepting an application in accordance
with criteria established pursuant to subsection
(b)(2)(D)’’;
(C) by adding at the end of subsection (a) the
following new paragraph:
‘‘(2) In carrying out paragraph (1), the Secretary may
establish procedures for certification of the safety of a
launch vehicle, reentry vehicle, or safety system, procedure,
service, or personnel that may be used in conducting li-
censed commercial space launch or reentry activities.’’;
(D) by striking ‘‘and’’ at the end of subsection
(b)(2)(B);
HR 3539 EAS1S
(E) by striking the period at the end of sub-
section (b)(2)(C) and inserting in lieu thereof ‘‘;
and’’;
(F) by adding at the end of subsection (b)(2) the
following new subparagraph:
‘‘(D) regulations establishing criteria for accept-
ing or rejecting an application for a license under
this chapter within 60 days after receipt of such ap-
plication.’’; and
(G) by inserting ‘‘, or the requirement to obtain
a license,’’ after ‘‘waive a requirement’’ in subsection
(b)(3).
(2) The amendment made by paragraph (1)(B) shall
take effect upon the effective date of final regulations issued
pursuant to section 70105(b)(2)(D) of title 49, United
States Code, as added by paragraph (1)(F) of this sub-
section.
(3) Section 70102(5) of title 49, United States Code,
is amended—
(A) by redesignating subparagraphs (A) and (B)
as subparagraphs (B) and (C), respectively; and
(B) by inserting before subparagraph (B), as so
redesignated by subparagraph (A) of this paragraph,
the following new subparagraph:
HR 3539 EAS1S
‘‘(A) activities directly related to the prepa-
ration of a launch site or payload facility for
one or more launches;’’.
(4) Section 70103(b) of title 49, United States Code,
is amended—
(A) in the subsection heading, as amended by
subsection (a)(4)(A) of this section, by inserting ‘‘AND
STATE SPONSORED SPACEPORTS’’ after ‘‘AND REEN-
TRIES’’; and
(B) in paragraph (1), by inserting ‘’and State
sponsored spaceports’’ after ‘‘private sector’’.
(5) Section 70105(a)(1) of title 49, United States Code,
as amended by subsection (b)(1) of this section, is amended
by inserting at the end the following: ‘‘The Secretary shall
submit to the Committee on Science of the House of Rep-
resentatives and the Committee on Commerce, Science, and
Transportation of the Senate a written notice not later than
7 days after any occurrence when a license is not issued
within the deadline established by this subsection.’’.
(6) Section 70111 of title 49, United States Code, is
amended—
(A) in subsection (a)(1), by inserting after sub-
paragraph (B) the following:
‘‘The Secretary shall establish criteria and procedures for
determining the priority of competing requests from the pri-
HR 3539 EAS1S
vate sector and State governments for property and services
under this section.’’;
(B) by striking ‘‘actual costs’’ in subsection
(b)(1) and inserting in lieu thereof ‘‘additive costs
only’’; and
(C) by inserting after subsection (b)(2) the fol-
lowing new paragraph:
‘‘(3) The Secretary shall ensure the establishment of
uniform guidelines for, and consistent implementation of,
this section by all Federal agencies.’’.
(7) Section 70112 of title 49, United States Code, is
amended—
(A) in subsection (a)(1), by inserting ‘‘launch,
reentry, or site operator’’ after ‘‘(1) When a’’;
(B) in subsection (b)(1), by inserting ‘‘launch,
reentry, or site operator’’ after ‘‘(1)A’’; and
(C) in subsection (f), by inserting ‘‘launch, re-
entry, or site operator’’ after ‘‘carried out under a’’.
(c) REGULATIONS.—(1) Chapter 701 of title 49, Unit-
ed States Code, is amended by adding at the end the follow-
ing new section:
‘‘§ 70120. Regulations
‘‘The Secretary of Transportation, within 6 months
after the date of the enactment of this section, shall issue
regulations to carry out this chapter that include—
HR 3539 EAS1S
‘‘(1) guidelines for industry to obtain sufficient
insurance coverage for potential damages to third
parties;
‘‘(2) procedures for requesting and obtaining li-
censes to operate a commercial launch vehicle and re-
entry vehicle;
‘‘(3) procedures for requesting and obtaining op-
erator licenses for launch and reentry; and
‘‘(4) procedures for the application of govern-
ment indemnification.’’.
(2) The table of sections for such chapter 701 is amend-
ed by adding after the item relating to section 70119 the
following new item:
‘‘70120. Regulations.’’.
TITLE VI—AIR TRAFFIC MANAGE-
MENT SYSTEM PERFORMANCE
IMPROVEMENT ACT
SEC. 601. SHORT TITLE.
This title may be cited as the ‘‘Air Traffic Manage-
ment System Performance Improvement Act of 1996’’.
SEC. 602. DEFINITIONS.
For the purposes of this title, the following definitions
shall apply:
(1) ADMINISTRATION.—The term ‘‘Administra-
tion’’ means the Federal Aviation Administration.
HR 3539 EAS1S
(2) 
ADMINISTRATOR.—The 
term 
‘‘Adminis-
trator’’ means the Administrator of the Federal Avia-
tion Administration.
(3) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Transportation.
SEC. 603. EFFECTIVE DATE.
The provisions of this title and the amendments made
by this title shall take effect on the date that is 30 days
after the date of the enactment of this Act.
Subtitle A—General Provisions
SEC. 621. FINDINGS.
The Congress finds the following:
(1) In many respects the Administration is a
unique agency, being one of the few non-defense gov-
ernment agencies that operates 24 hours a day, 365
days of the year, while continuing to rely on outdated
technology to carry out its responsibilities for a state-
of-the-art industry.
(2) Until January 1, 1996, users of the air
transportation system paid 70 percent of the budget
of the Administration, with the remaining 30 percent
coming from the General Fund. The General Fund
contribution over the years is one measure of the bene-
fit received by the general public, military, and other
users of Administration’s services.
HR 3539 EAS1S
(3) The Administration must become a more effi-
cient, effective, and different organization to meet fu-
ture challenges.
(4) The need to balance the Federal budget
means that it may become more and more difficult to
obtain sufficient General Fund contributions to meet
the Administration’s future budget needs.
(5) Congress must keep its commitment to the
users of the national air transportation system by
seeking to spend all moneys collected from them each
year and deposited into the Airport and Airway
Trust Fund. Existing surpluses representing past re-
ceipts must also be spent for the purposes for which
such funds were collected.
(6) The aviation community and the employees
of the Administration must come together to improve
the system. The Administration must continue to rec-
ognize who its customers are and what their needs
are, and to design and redesign the system to make
safety improvements and increase productivity.
(7) The Administration projects that commercial
operations will increase by 18 percent and passenger
traffic by 35 percent by the year 2002. Without effec-
tive airport expansion and system modernization,
these needs cannot be met.
HR 3539 EAS1S
(8) Absent significant and meaningful reform,
future challenges and needs cannot be met.
(9) The Administration must have a new way of
doing business.
(10) There is widespread agreement within gov-
ernment and the aviation industry that reform of the
Administration is essential to safely and efficiently
accommodate the projected growth of aviation within
the next decade.
(11) To the extent that the Congress determines
that certain segments of the aviation community are
not required to pay all of the costs of the government
services which they require and benefits which they
receive, the Congress should appropriate the difference
between such costs and any receipts received from
such segment.
(12) Prior to the imposition of any new charges
or user fees on segments of the industry, an independ-
ent review must be performed to assess the funding
needs and assumptions for operations, capital spend-
ing, and airport infrastructure.
(13) An independent, thorough, and complete
study and assessment must be performed of the costs
to the Administration and the costs driven by each
segment of the aviation system for safety and oper-
HR 3539 EAS1S
ational services, including the use of the air traffic
control system and the Nation’s airports.
(14) Because the Administration is a unique
Federal entity in that it is a participant in the daily
operations of an industry, and because the national
air transportation system faces significant problems
without significant changes, the Administration has
been authorized to change the Federal procurement
and personnel systems to ensure that the Administra-
tion has the ability to keep pace with new technology
and is able to match resources with the real personnel
needs of the Administration.
(15) The existing budget system does not allow
for long-term planning or timely acquisition of tech-
nology by the Administration.
(16) Without reforms in the areas of procure-
ment, personnel, funding, and governance, the Admin-
istration will continue to experience delays and cost
overruns in its major modernization programs and
needed improvements in the performance of the air
traffic management system will not occur.
(17) All reforms should be designed to help the
Administration become more responsive to the needs
of its customers and maintain the highest standards
of safety.
HR 3539 EAS1S
SEC. 622. PURPOSES.
The purposes of this title are—
(1) to ensure that final action shall be taken on
all notices of proposed rulemaking of the Administra-
tion within 18 months after the date of their publica-
tion;
(2) to permit the Administration, with Congres-
sional review, to establish a program to improve air
traffic management system performance and to estab-
lish appropriate levels of cost accountability for air
traffic management services provided by the Adminis-
tration;
(3) to establish a more autonomous and account-
able Administration within the Department of Trans-
portation; and
(4) to make the Administration a more efficient
and effective organization, able to meet the needs of
a dynamic, growing industry, and to ensure the safe-
ty of the traveling public.
SEC. 623. REGULATION OF CIVILIAN AIR TRANSPORTATION
AND RELATED SERVICES BY THE FEDERAL
AVIATION ADMINISTRATION AND DEPART-
MENT OF TRANSPORTATION.
(a) IN GENERAL.—Section 106 is amended—
(1) by striking ‘‘The Administrator’’ in the fifth
sentence of subsection (b) and inserting ‘‘Except as
HR 3539 EAS1S
provided in subsection (f) of this section or in other
provisions of law, the Administrator’’; and
(2) by striking subsection (f) and inserting the
following:
‘‘(f) AUTHORITY OF THE SECRETARY AND THE ADMIN-
ISTRATOR.—
‘‘(1) AUTHORITY OF THE SECRETARY.—Except
as provided in paragraph (2), the Secretary of Trans-
portation shall carry out the duties and powers of the
Administration.
‘‘(2) AUTHORITY OF THE ADMINISTRATOR.—The
Administrator—
‘‘(A) is the final authority for carrying out
all functions, powers, and duties of the Adminis-
tration relating to—
‘‘(i) except as otherwise provided in
paragraph (3), the promulgation of regula-
tions, rules, orders, circulars, bulletins, and
other official publications of the Adminis-
tration; and
‘‘(ii) any obligation imposed on the
Administrator, or power conferred on the
Administrator, by the Air Traffic Manage-
ment System Performance Improvement Act
HR 3539 EAS1S
of 1996 (or any amendment made by that
Act);
‘‘(B) shall offer advice and counsel to the
President with respect to the appointment and
qualifications of any officer or employee of the
Administration to be appointed by the President
or as a political appointee;
‘‘(C) may delegate, and authorize successive
redelegations of, to an officer or employee of the
Administration any function, power, or duty
conferred upon the Administrator, unless such
delegation is prohibited by law; and
‘‘(D) except as otherwise provided for in
this title, and notwithstanding any other provi-
sion of law to the contrary, shall not be required
to coordinate, submit for approval or concur-
rence, or seek the advice or views of the Secretary
or any other officer or employee of the Depart-
ment of Transportation on any matter with re-
spect to which the Administrator is the final au-
thority.
‘‘(3) DEFINITION
OF
POLITICAL
APPOINTEE.—
For purposes of this subsection, the term ‘political ap-
pointee’ means any individual who—
HR 3539 EAS1S
‘‘(A) is employed in a position on the Exec-
utive Schedule under sections 5312 through 5316
of title 5;
‘‘(B) is a limited term appointee, limited
emergency appointee, or noncareer appointee in
the Senior Executive Service as defined under
section 3132(a) (5), (6), and (7) of title 5, re-
spectively; or
‘‘(C) is employed in a position in the execu-
tive branch of the Government of a confidential
or policy-determining character under Schedule
C of subpart C of part 213 of title 5 of the Code
of Federal Regulations.’’.
(b) PRESERVATION OF EXISTING AUTHORITY.—Noth-
ing in this title or the amendments made by this title limits
any authority granted to the Administrator by statute or
by delegation that was in effect on the day before the date
of enactment of this Act.
SEC. 624. REGULATIONS.
Section 106(f), as amended by section 623, is further
amended—
(1) by redesignating paragraph (3) as para-
graph (4); and
(2) by inserting after paragraph (2) the follow-
ing:
HR 3539 EAS1S
‘‘(3) REGULATIONS.—
‘‘(A) IN GENERAL.—In the performance of
the functions of the Administrator and the Ad-
ministration, the Administrator is authorized to
issue, rescind, and revise such regulations as are
necessary to carry out those functions. The issu-
ance of such regulations shall be governed by the
provisions of chapter 5 of title 5. The Adminis-
trator shall act upon all petitions for rulemaking
no later than 6 months after the date such peti-
tions are filed by dismissing such petitions, by
informing the petitioner of an intention to dis-
miss, or by issuing a notice of proposed rule-
making or advanced notice of proposed rule-
making. The Administrator shall issue a final
regulation, or take other final action, not later
than 18 months after the date of publication in
the Federal Register of a notice of proposed rule-
making or, in the case of an advanced notice of
proposed rulemaking, if issued, not later than 24
months after that date.
‘‘(B) APPROVAL OF SECRETARY OF TRANS-
PORTATION.—
‘‘(i) The Administrator may not issue
a proposed regulation or final regulation
HR 3539 EAS1S
that is likely to result in the expenditure by
State, local, and tribal governments in the
aggregate, or by the private sector, of
$50,000,000 or more (adjusted annually for
inflation beginning with the year following
the date of enactment of the Air Traffic
Management System Performance Improve-
ment Act of 1996) in any 1 year, or any
regulation which is significant, unless the
Secretary of Transportation approves the
issuance of the regulation in advance. For
purposes of this paragraph, a regulation is
significant if it is likely to—
‘‘(I) have an annual effect on the
economy of $100,000,000 or more or
adversely affect in a material way the
economy, a sector of the economy, pro-
ductivity, competition, jobs, the envi-
ronment, public health or safety, or
State, local, or tribal governments or
communities;
‘‘(II) create a serious inconsist-
ency or otherwise interfere with an ac-
tion taken or planned by another agen-
cy;
HR 3539 EAS1S
‘‘(III) materially alter the budg-
etary impact of entitlements, grants,
user fees, or loan programs or the
rights and obligations of recipients
thereof; or
‘‘(IV) raise novel legal or policy
issues arising out of legal mandates.
‘‘(ii) In an emergency, the Adminis-
trator may issue a regulation described in
clause (i) without prior approval by the
Secretary, but any such emergency regula-
tion is subject to ratification by the Sec-
retary after it is issued and shall be re-
scinded by the Administrator within 5 days
(excluding Saturdays, Sundays, and legal
public holidays) after issuance if the Sec-
retary fails to ratify its issuance.
‘‘(iii) Any regulation that does not
meet the criteria of clause (i), and any reg-
ulation or other action that is a routine or
frequent action or a procedural action, may
be issued by the Administrator without re-
view or approval by the Secretary.
‘‘(iv) The Administrator shall submit a
copy of any regulation requiring approval
HR 3539 EAS1S
by the Secretary under clause (i) to the Sec-
retary, who shall either approve it or return
it to the Administrator with comments
within 45 days after receiving it.
‘‘(C) PERIODIC REVIEW.—(i) Beginning on
the date which is 3 years after the date of enact-
ment of the Air Traffic Management System Per-
formance Improvement Act of 1996, the Admin-
istrator shall review any unusually burdensome
regulation issued by the Administrator after the
date of enactment of the Air Traffic Management
System Performance Improvement Act of 1996
beginning not later than 3 years after the effec-
tive date of the regulation to determine if the cost
assumptions were accurate, the benefit of the reg-
ulations, and the need to continue such regula-
tions in force in their present form.
‘‘(ii) The Administrator may identify for
review under the criteria set forth in clause (i)
unusually burdensome regulations that were is-
sued before the date of enactment of the Air Traf-
fic Management System Performance Improve-
ment Act of 1996 and that have been in force for
more than 3 years.
HR 3539 EAS1S
‘‘(iii) For purposes of this subparagraph,
the term ‘unusually burdensome regulation’
means any regulation that results in the annual
expenditure by State, local, and tribal govern-
ments in the aggregate, or by the private sector,
of $25,000,000 or more (adjusted annually for
inflation beginning with the year following the
date of enactment of the Air Traffic Management
System Performance Act of 1996) in any year.
‘‘(iv) The periodic review of regulations
may be performed by advisory committees and
the Management Advisory Council established
under subsection (p).’’.
SEC. 625. PERSONNEL AND SERVICES.
Section 106 is amended by adding at the end the fol-
lowing new subsection:
‘‘(l) PERSONNEL AND SERVICES.—
‘‘(1) OFFICERS
AND
EMPLOYEES.—Except as
provided in section 40121(a) of this title and section
347 of Public Law 104–50, the Administrator is au-
thorized, in the performance of the functions of the
Administrator, to appoint, transfer, and fix the com-
pensation of such officers and employees, including
attorneys, as may be necessary to carry out the func-
tions of the Administrator and the Administration.
HR 3539 EAS1S
In fixing compensation and benefits of officers and
employees, the Administrator shall not engage in any
type of bargaining, except to the extent provided for
in section 40121(a), nor shall the Administrator be
bound by any requirement to establish such com-
pensation or benefits at particular levels.
‘‘(2) EXPERTS AND CONSULTANTS.—The Admin-
istrator is authorized to obtain the services of experts
and consultants in accordance with section 3109 of
title 5.
‘‘(3) TRANSPORTATION
AND
PER
DIEM
EX-
PENSES.—The Administrator is authorized to pay
transportation expenses, and per diem in lieu of sub-
sistence expenses, in accordance with chapter 57 of
title 5.
‘‘(4) USE OF PERSONNEL FROM OTHER AGEN-
CIES.—The Administrator is authorized to utilize the
services of personnel of any other Federal agency (as
such term is defined under section 551(1) of title 5).
‘‘(5) VOLUNTARY SERVICES.—
‘‘(A) IN
GENERAL.—(i) In exercising the
authority to accept gifts and voluntary services
under section 326 of this title, and without re-
gard to section 1342 of title 31, the Adminis-
trator may not accept voluntary and uncompen-
HR 3539 EAS1S
sated services if such services are used to displace
Federal employees employed on a full-time, part-
time, or seasonal basis.
‘‘(ii) The Administrator is authorized to
provide for incidental expenses, including trans-
portation, lodging, and subsistence for volunteers
who provide voluntary services under this sub-
section.
‘‘(iii) An individual who provides vol-
untary services under this subsection shall not be
considered a Federal employee for any purpose
other than for purposes of chapter 81 of title 5,
relating to compensation for work injuries, and
chapter 171 of title 28, relating to tort claims.’’.
SEC. 626. CONTRACTS.
Section 106(l), as added by section 625 of this title,
is amended by adding at the end the following new para-
graph:
‘‘(6) CONTRACTS.—The Administrator is author-
ized to enter into and perform such contracts, leases,
cooperative agreements, or other transactions as may
be necessary to carry out the functions of the Admin-
istrator and the Administration. The Administrator
may enter into such contracts, leases, cooperative
agreements, and other transactions with any Federal
HR 3539 EAS1S
agency (as such term is defined in section 551(1) of
title 5) or any instrumentality of the United States,
any State, territory, or possession, or political sub-
division thereof, any other governmental entity, or
any person, firm, association, corporation, or edu-
cational institution, on such terms and conditions as
the Administrator may consider appropriate.’’.
SEC. 627. FACILITIES.
Section 106, as amended by section 625 of this title,
is further amended by adding at the end the following new
subsection:
‘‘(m) COOPERATION BY ADMINISTRATOR.—With the
consent of appropriate officials, the Administrator may,
with or without reimbursement, use or accept the services,
equipment, personnel, and facilities of any other Federal
agency (as such term is defined in section 551(1) of title
5) and any other public or private entity. The Adminis-
trator may also cooperate with appropriate officials of other
public and private agencies and instrumentalities concern-
ing the use of services, equipment, personnel, and facilities.
The head of each Federal agency shall cooperate with the
Administrator in making the services, equipment, person-
nel, and facilities of the Federal agency available to the Ad-
ministrator. The head of a Federal agency is authorized,
notwithstanding any other provision of law, to transfer to
HR 3539 EAS1S
or to receive from the Administration, without reimburse-
ment, supplies and equipment other than administrative
supplies or equipment.’’.
SEC. 628. PROPERTY.
Section 106, as amended by section 627 of this title,
is further amended by adding at the end the following new
subsection:
‘‘(n) ACQUISITION.—
‘‘(1) IN
GENERAL.—The Administrator is au-
thorized—
‘‘(A) to acquire (by purchase, lease, con-
demnation, or otherwise), construct, improve, re-
pair, operate, and maintain—
‘‘(i) air traffic control facilities and
equipment;
‘‘(ii) research and testing sites and fa-
cilities; and
‘‘(iii) such other real and personal
property (including office space and pat-
ents), or any interest therein, within and
outside the continental United States as the
Administrator considers necessary;
‘‘(B) to lease to others such real and per-
sonal property; and
HR 3539 EAS1S
‘‘(C) to provide by contract or otherwise for
eating facilities and other necessary facilities for
the welfare of employees of the Administration at
the installations of the Administration, and to
acquire, operate, and maintain equipment for
these facilities.
‘‘(2) TITLE.—Title to any property or interest
therein acquired pursuant to this subsection shall be
held by the Government of the United States.’’.
SEC. 629. TRANSFERS OF FUNDS FROM OTHER FEDERAL
AGENCIES.
Section 106, as amended by section 628 of this title,
is further amended by adding at the end the following new
subsection:
‘‘(o) TRANSFERS OF FUNDS.—The Administrator 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 by law to the Adminis-
trator or functions transferred pursuant to law to the Ad-
ministrator on or after the date of the enactment of the Air
Traffic Management System Performance Improvement Act
of 1996.’’.
HR 3539 EAS1S
SEC. 630. MANAGEMENT ADVISORY COUNCIL.
Section 106, as amended by section 629 of this title,
is further amended by adding at the end the following new
subsection:
‘‘(p) MANAGEMENT ADVISORY COUNCIL.—
‘‘(1) ESTABLISHMENT.—Within 3 months after
the date of enactment of the Air Traffic Management
System Performance Improvement Act of 1996, the
Administrator shall establish an advisory council
which shall be known as the Federal Aviation Man-
agement Advisory Council (in this subsection referred
to as the ‘Council’). With respect to Administration
management, policy, spending, funding, and regu-
latory matters affecting the aviation industry, the
Council may submit comments, recommended modi-
fications, and dissenting views to the Administrator.
The Administrator shall include in any submission to
Congress, the Secretary, or the general public, and in
any submission for publication in the Federal Reg-
ister, a description of the comments, recommended
modifications, and dissenting views received from the
Council, together with the reasons for any differences
between the views of the Council and the views or ac-
tions of the Administrator.
‘‘(2) MEMBERSHIP.—The Council shall consist of
15 members, who shall consist of—
HR 3539 EAS1S
‘‘(A) a designee of the Secretary of Trans-
portation;
‘‘(B) a designee of the Secretary of Defense;
and
‘‘(C) 13 members representing aviation in-
terests, appointed by the President by and with
the advice and consent of the Senate.
‘‘(3) QUALIFICATIONS.—No member appointed
under paragraph (2)(C) may serve as an officer or
employee of the United States Government while serv-
ing as a member of the Council.
‘‘(4) FUNCTIONS.—
‘‘(A) IN GENERAL.—(i) The Council shall
provide advice and counsel to the Administrator
on issues which affect or are affected by the oper-
ations of the Administrator. The Council shall
function as an oversight resource for manage-
ment, policy, spending, and regulatory matters
under the jurisdiction of the Administration.
‘‘(ii) The Council shall review the rule-
making cost-benefit analysis process and develop
recommendations to improve the analysis and
ensure that the public interest is fully protected.
HR 3539 EAS1S
‘‘(iii) The Council shall review the process
through which the Administration determines to
use advisory circulars and service bulletins.
‘‘(B) MEETINGS.—The Council shall meet
on a regular and periodic basis or at the call of
the chairman or of the Administrator.
‘‘(C) ACCESS TO DOCUMENTS AND STAFF.—
The Administration may give the Council appro-
priate access to relevant documents and person-
nel of the Administration, and the Administrator
shall make available, consistent with the author-
ity to withhold commercial and other propri-
etary information under section 552 of title 5
(commonly known as the ‘Freedom of Informa-
tion Act’), cost data associated with the acquisi-
tion and operation of air traffic service systems.
Any member of the Council who receives com-
mercial or other proprietary data from the Ad-
ministrator shall be subject to the provisions of
section 1905 of title 18, pertaining to unauthor-
ized disclosure of such information.
‘‘(5) FEDERAL ADVISORY COMMITTEE ACT NOT
TO APPLY.—The Federal Advisory Committee Act (5
U.S.C. App.) does not apply to the Council or such
HR 3539 EAS1S
aviation rulemaking committees as the Administrator
shall designate.
‘‘(6) ADMINISTRATIVE MATTERS.—
‘‘(A) TERMS OF MEMBERS.—(i) Except as
provided in subparagraph (B), members of the
Council appointed by the President under para-
graph (2)(C) shall be appointed for a term of 3
years.
‘‘(ii) Of the members first appointed by the
President—
‘‘(I) 4 shall be appointed for terms of
1 year;
‘‘(II) 5 shall be appointed for terms of
2 years; and
‘‘(III) 4 shall be appointed for terms of
3 years.
‘‘(iii) An individual chosen to fill a va-
cancy shall be appointed for the unexpired term
of the member replaced.
‘‘(iv) A member whose term expires shall
continue to serve until the date on which the
member’s successor takes office.
‘‘(B) CHAIRMAN; 
VICE
CHAIRMAN.—The
Council shall elect a chair and a vice chair from
among the members appointed under paragraph
HR 3539 EAS1S
(2)(C), each of whom shall serve for a term of 1
year. The vice chair shall perform the duties of
the chairman in the absence of the chairman.
‘‘(C) TRAVEL AND PER DIEM.—Each mem-
ber of the Council shall be paid actual travel ex-
penses, and per diem in lieu of subsistence ex-
penses when away from his or her usual place of
residence, in accordance with section 5703 of
title 5.
‘‘(D) DETAIL OF PERSONNEL FROM THE AD-
MINISTRATION.—The Administrator shall make
available to the Council such staff, information,
and administrative services and assistance as
may reasonably be required to enable the Council
to carry out its responsibilities under this sub-
section.
‘‘(7) REPORT TO CONGRESS.—The Council, in
conjunction with the Administration, shall undertake
a review of the overall condition of aviation safety in
the United States and emerging trends in the safety
of particular sections of the aviation industry. This
shall include an examination of—
‘‘(A) the extent to which the dual mission of
the Administration to promote and regulate civil
aviation may affect aviation safety and provide
HR 3539 EAS1S
recommendations to Congress for any necessary
changes the Council, in conjunction with Admin-
istration, deems appropriate; and
‘‘(B) the adequacy of staffing and training
resources for safety personnel of the Administra-
tion, including safety inspectors.
The Council shall report to Congress within 180 days
after the date of enactment of this Act on its findings
and recommendations under this paragraph.
SEC. 631. AIRCRAFT ENGINE STANDARDS.
Subsection (a)(1) of section 44715 is amended to read
as follows:
‘‘(a) STANDARDS AND REGULATIONS.—(1) To relieve
and protect the public health and welfare from aircraft
noise, sonic boom, the Administrator of the Federal Avia-
tion Administration, as he deems necessary, shall pre-
scribe—
‘‘(A) standards to measure aircraft noise and
sonic boom;
‘‘(B) regulations to control and abate aircraft
noise and sonic boom; and
‘‘(C)(i) the Environmental Protection Agency
shall consult with the Federal Aviation Administra-
tion on aircraft engine emission standards;
HR 3539 EAS1S
‘‘(ii) the Environmental Protection Agency shall
not change the aircraft engine emission standards if
such change would significantly increase noise and
adversely affect safety;
‘‘(iii) the Administrator, as the Administrator
deems appropriate, shall provide for the participation
of a representative of the Environmental Protection
Agency on such advisory committees or associated
working groups that advise the Administrator on
matters related to the environmental effects of aircraft
and aircraft engines.’’.
SEC. 632. RURAL AIR FARE STUDY.
(a) IN GENERAL.—The Secretary shall conduct a
study to—
(1) compare air fares paid (calculated as both
actual and adjusted air fares) for air transportation
on flights conducted by commercial air carriers—
(A) between—
(i) nonhub airports located in small
communities; and
(ii) large hub airports; and
(B) between large hub airports;
(2) analyze—
HR 3539 EAS1S
(A) the extent to which passenger service
that is provided from nonhub airports is pro-
vided on—
(i) regional commuter commercial air
carriers; or
(ii) major air carriers;
(B) the type of aircraft employed in provid-
ing passenger service at nonhub airports; and
(C) whether there is competition among
commercial air carriers with respect to the pro-
vision of air service to passengers from nonhub
airports.
(b) FINDINGS.—The Secretary shall include in the re-
port of the study conducted under subsection (a) findings
concerning—
(1) whether passengers who use commercial air
carriers to and from rural areas (as defined by the
Secretary) pay a disproportionately greater price for
that transportation than passengers who use commer-
cial air carriers between urban areas (as defined by
the Secretary);
(2) the nature of competition, if any, in rural
markets (as defined by the Secretary) for commercial
air carriers;
HR 3539 EAS1S
(3) whether a relationship exists between higher
air fares and competition among commercial air car-
riers for passengers traveling on jet aircraft from
small communities (as defined by the Secretary) and,
if such a relation exists, the nature of that relation-
ship;
(4) the number of small communities that have
lost air service as a result of the deregulation of com-
mercial air carriers with respect to air fares;
(5) the number of small communities served by
airports with respect to which, after commercial air
carrier fares were deregulated, jet aircraft service was
replaced by turboprop aircraft service; and
(6) where such replacement occurred, any cor-
responding decreases in available seat capacity for
consumers at the airports referred to in that subpara-
graph.
(c) REPORT.—Not later than 60 days after the date
of enactment of this Act, the Secretary shall submit a final
report on the study carried out under subsection (a) to the
Committee on Commerce, Science, and Transportation of
the Senate.
(d) DEFINITIONS.—For purposes of this section, the
following definitions shall apply:
HR 3539 EAS1S
(1) ADJUSTED AIR FARE.—The term ‘‘adjusted
air fare’’ means an actual air fare that is adjusted
for distance traveled by a passenger.
(2) AIR CARRIER.—The term ‘‘air carrier’’ is de-
fined in section 40102(a)(2) of title 49, United States
Code.
(3) AIRPORT.—The term ‘‘airport’’ is defined in
section 40102(9) of such title.
(4) COMMERCIAL AIR CARRIER.—The term ‘‘com-
mercial air carrier’’ means an air carrier that pro-
vides air transportation for commercial purposes (as
determined by the Secretary).
(5) HUB AIRPORT.—The term ‘‘hub airport’’ is
defined in section 41731(a)(2) of such title.
(6) LARGE HUB AIRPORT.—The term ‘‘large hub
airport’’ shall be defined by the Secretary but the def-
inition may not include a small hub airport, as that
term is defined in section 41731(a)(5) of such title.
(7) MAJOR AIR CARRIER.—The term ‘‘major air
carrier’’ shall be defined by the Secretary.
(8) NONHUB AIRPORT.—The term ‘‘nonhub air-
port’’ is defined in section 41731(a)(4) of such title.
(9) REGIONAL
COMMUTER
AIR
CARRIER.—The
term ‘‘regional commuter air carrier’’ shall be defined
by the Secretary.
HR 3539 EAS1S
Subtitle B—Federal Aviation Ad-
ministration Streamlining Pro-
grams
SEC. 651. REVIEW OF ACQUISITION MANAGEMENT SYSTEM.
Not later than April 1, 1999, the Administration shall
employ outside experts to provide an independent evalua-
tion of the effectiveness of its acquisition management sys-
tem within 3 months after such date. The Administrator
shall transmit a copy of the evaluation to the Committee
on Commerce, Science, and Transportation of the Senate,
and the Committee on Transportation and Infrastructure
of the House of Representatives.
SEC. 652. AIR TRAFFIC CONTROL MODERNIZATION RE-
VIEWS.
Chapter 401, as amended by section 402 of this Act,
is amended by redesignating section 40121 as 40123, and
by inserting after section 40120 the following new section:
‘‘§ 40121. Air traffic control modernization reviews
‘‘(a) REQUIRED TERMINATIONS OF ACQUISITIONS.—
The Administrator of the Federal Aviation Administration
(hereafter referred to in this section as the ‘Administrator’)
shall terminate any program initiated after the date of en-
actment of the Air Traffic Management System Perform-
ance Improvement Act of 1996 and funded under the Facili-
ties and Equipment account that—
HR 3539 EAS1S
‘‘(1) is more than 50 percent over the cost goal
established for the program;
‘‘(2) fails to achieve at least 50 percent of the
performance goals established for the program; or
‘‘(3) is more than 50 percent behind schedule as
determined in accordance with the schedule goal es-
tablished for the program.
‘‘(b) 
AUTHORIZED
TERMINATIONS
OF
ACQUISI-
TIONS.—The Administrator shall consider terminating,
under the authority of subsection (a), any substantial ac-
quisition that—
‘‘(1) is more than 10 percent over the cost goal
established for the program;
‘‘(2) fails to achieve at least 90 percent of the
performance goals established for the program; or
‘‘(3) is more than 10 percent behind schedule as
determined in accordance with the schedule goal es-
tablished for the program.
‘‘(c) EXCEPTIONS AND REPORT.—
‘‘(1) CONTINUANCE
OF
PROGRAM, ETC.—Not-
withstanding subsection (a), the Administrator may
continue an acquisitions program required to be ter-
minated under subsection (a) if the Administrator de-
termines that termination would be inconsistent with
HR 3539 EAS1S
the development or operation of the national air
transportation system in a safe and efficient manner.
‘‘(2) DEPARTMENT OF DEFENSE.—The Depart-
ment of Defense shall have the same exemptions from
acquisition laws as are waived by the Administrator
under section 348(b) of Public Law 104–50 when en-
gaged in joint actions to improve or replenish the na-
tional air traffic control system. The Administration
may acquire real property, goods, and services
through the Department of Defense, or other appro-
priate agencies, but is bound by the acquisition laws
and regulations governing those cases.
‘‘(3) REPORT.—If the Administrator makes a de-
termination under paragraph (1), the Administrator
shall transmit a copy of the determination, together
with a statement of the basis for the determination,
to the Committees on Appropriations of the Senate
and the House of Representatives, the Committee on
Commerce, Science, and Transportation of the Senate,
and the Committee on Transportation and Infrastruc-
ture of the House of Representatives.’’.
HR 3539 EAS1S
SEC. 653. FEDERAL AVIATION ADMINISTRATION PERSON-
NEL MANAGEMENT SYSTEM.
Chapter 401, as amended by section 652, is further
amended by inserting after section 40121 the following new
section:
‘‘§ 40122. Federal Aviation Administration personnel
management system
‘‘(a) IN GENERAL.—
‘‘(1) CONSULTATION AND NEGOTIATION.—In de-
veloping and making changes to the personnel man-
agement system initially implemented by the Admin-
istrator on April 1, 1996, the Administrator shall ne-
gotiate with the exclusive bargaining representatives
of employees of the Administration certified under
section 7111 of title 5 and consult with other employ-
ees of the Administration.
‘‘(2) MEDIATION.—If the Administrator does not
reach an agreement under paragraph (1) with the ex-
clusive bargaining representatives, the services of the
Federal Mediation and Conciliation Service shall be
used to attempt to reach such agreement. If the serv-
ices of the Federal Mediation and Conciliation Serv-
ice do not lead to an agreement, the Administrator’s
proposed change to the personnel management system
shall not take effect until 60 days have elapsed after
the Administrator has transmitted the proposed
HR 3539 EAS1S
change, along with the objections of the exclusive bar-
gaining representatives to the change, and the reasons
for such objections, to the Congress.
‘‘(3) COST SAVINGS AND PRODUCTIVITY GOALS.—
The Administration and the exclusive bargaining rep-
resentatives of the employees shall use every reason-
able effort to find cost savings and to increase produc-
tivity within each of the affected bargaining units.
‘‘(4) ANNUAL BUDGET DISCUSSIONS.—The Ad-
ministration and the exclusive bargaining representa-
tives of the employees shall meet annually for the pur-
pose of finding additional cost savings within the Ad-
ministration’s annual budget as it applies to each of
the affected bargaining units and throughout the
agency.
‘‘(b) EXPERT EVALUATION.—On the date that is 3
years after the personnel management system is imple-
mented, the Administration shall employ outside experts to
provide an independent evaluation of the effectiveness of the
system within 3 months after such date. For this purpose,
the Administrator may utilize the services of experts and
consultants under section 3109 of title 5 without regard to
the limitation imposed by the last sentence of section
3109(b) of such title, and may contract on a sole source