SECTION 1. REDUCTION OF U.S. CITIZENSHIP VOTING INTEREST OWNERSHIP 
              REQUIREMENT.

    Subchapter I of chapter 417, of title 49, United States Code, is 
amended by adding at the end the following new section:

``SEC. 41714. REDUCTION OF U.S. CITIZENSHIP VOTING INTEREST OWNERSHIP 
              REQUIREMENT.

    ``(a) General Rule.--Notwithstanding the requirement of section 
40102(15) that at least 75 percent of the voting interests of an air 
carrier be owned or controlled by persons who are citizens of the 
United States or of one of its possessions, a person who is not a 
citizen of the United States may purchase voting interests of a 
corporation or association which is, or owns or controls, an air 
carrier without regard to whether or not such purchase would result in 
the corporation or association failing to meet such voting interest 
requirement of section 40102(15) if the Secretary of Transportation 
finds that--
            ``(1) after the purchase--
                    ``(A) the president, chairman of the board of 
                directors, chief operating officer, and two-thirds or 
                more of the board of directors of the corporation or 
                association which is, or owns or controls, the air 
                carrier would be citizens of the United States or one 
                of its possessions; and
                    ``(B) at least 51 percent of the voting interests 
                of the air carrier would be owned or controlled by 
                persons who are citizens of the United States or one of 
                its possessions; and
            ``(2) the purchase is in the public interest.
    ``(b) Factors To Consider for Public Interest Finding.--The 
Secretary, in making the finding required by subsection (a)(2), shall 
consider the following:
            ``(1) The financial condition of the air carrier and the 
        importance of the purchase to the carrier's ability to survive 
        and effectively compete.
            ``(2) The effect of the purchase on the employees of the 
        air carrier.
            ``(3) The effect of the purchase on competition in 
        interstate, overseas, and foreign air transportation.
            ``(4) Whether the laws and regulations of the foreign 
        country of which the purchaser is a citizen would permit a 
        citizen of the United States to acquire, under similar terms 
        and conditions, the same percentage of stock of a person who 
        provides in such foreign country transportation by aircraft of 
        persons or property as a common carrier as the percentage of 
        stock which the person making the purchase would have in the 
        air carrier after the purchase.
            ``(5) The extent to which the purchaser is owned, 
        controlled, or subsidized by a government of a foreign country.
            ``(6) The extent to which a person who is not a citizen of 
        the United States or one of its possessions would, after the 
        purchase, have the power to exercise control over the air 
        carrier.
            ``(7) The extent to which the foreign country of which the 
        purchaser is a citizen permits air carriers to have access to 
        its aviation markets equivalent to the access that the foreign 
        citizen would have to the aviation markets of the United States 
        after the purchase.
    ``(c) Application.--
            ``(1) Submission.--A person interested in making a purchase 
        with respect to which subsection (a) applies must submit an 
        application with respect to such purchase to the Secretary. The 
        application must be in such form and contain such information 
        as the Secretary may, by regulation, require.
            ``(2) Approval or disapproval.--Within 90 days after an 
        application meeting the requirements of paragraph (1) and any 
        regulations issued thereunder is submitted to the Secretary, 
        the Secretary shall approve the application, approve the 
        application subject to such conditions or modifications as the 
        Secretary determines appropriate to carry out the objectives of 
        this section, or disapprove the application.
            ``(3) Presidential review.--
                    ``(A) Presentation.--The approval, with or without 
                conditions or modifications, of any application under 
                this section shall be presented to the President for 
                review.
                    ``(B) Disapproval; conditions.--The President shall 
                have the right to disapprove or impose conditions on 
                the application solely on the basis of national defense 
                considerations including the effect of the purchase on 
                the Civil Reserve Air Fleet program. Any such 
                disapproval or conditions shall be issued in a public 
                document, setting forth the reasons for the disapproval 
                or conditions to the extent national security permits, 
                within 30 days after submission of the Secretary's 
                action to the President.
                    ``(C) Effect of disapproval.--Any action of the 
                Secretary disapproved by the President under this 
                paragraph shall be null and void.
                    ``(D) Effect of expiration of time limit; judicial 
                review.--Any action of the Secretary not disapproved 
                within the 30-day period referred to in subparagraph 
                (B) shall take effect as an action of the Secretary, 
                not the President, and as such shall be subject to 
                judicial review as provided in section 1006 of this 
                Act.''.

SEC. 2. CONFORMING AMENDMENT.

    The analyses for chapter 417 of title 49, United States Code, is 
amended by inserting after the item relating to section 41713 the 
following:

``41714. Reduction of U.S. citizenship voting interest ownership 
                            requirement.''.
Output: Amends Federal transportation law to authorize foreign persons to purchase more than a specified percentage of the voting interests of a U.S. air carrier under certain conditions, including continued minimum 51 percent ownership or control of the voting interests, and continued predominant management of the corporation or association, by U.S. citizens.