SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Aviation Capacity Expansion 
Act''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) The reliability and efficiency of the national air 
        transportation system significantly depend on the efficiency of 
        Chicago O'Hare International Airport. Because of O'Hare's 
        central location, and the magnitude of the demand for air 
        transportation services in northeast Illinois and northwest 
        Indiana, O'Hare has an essential role in the national air 
        transportation system. The reliability and efficiency of 
        interstate air transportation for residents and businesses in 
        many States depend on efficient processing of air traffic 
        operations at O'Hare.
            (2) The largest efficient hub airports in the United States 
        are designed with multiple parallel runways without substantial 
        runway intersections. O'Hare cannot efficiently perform its 
        role in the national air transportation system unless it has 
        such a design.
            (3) New runway construction projects are local decisions 
        that are supported by the Federal Government through the 
        Airport Improvement Program and other programs. Given the 
        importance of air travel to our national economy, and the 
        importance of O'Hare to national air transportation, it is 
        critical that the Federal Government does all it can to 
        facilitate redesign of O'Hare and the development of a 
        supplemental air carrier airport located near Peotone, 
        Illinois.
            (4) The Governor of Illinois and the Mayor of Chicago have 
        determined that redesign of O'Hare and the development of a 
        supplemental air carrier airport located near Peotone, 
        Illinois, as described in this Act, are each necessary and 
        desirable to provide reliable and efficient air commerce.
            (5) On December 5, 2001, the Governor of Illinois and the 
        Mayor of Chicago signed an historic agreement that would 
        modernize O'Hare International Airport, by providing for--
                    (A) east-west parallel runways;
                    (B) construction of a south suburban airport near 
                Peotone;
                    (C) addressing traffic congestion along the 
                Northwest Corridor, including western airport access;
                    (D) continuation of the operation of Chicago Meigs 
                Field; and
                    (E) maintenance of the quality of life for 
                residents near the airports.
            (6) The importance of increasing commercial air service at 
        the Gary-Chicago and Greater Rockford Airports is also 
        recognized.

SEC. 3. AIRPORT REDESIGN.

    (a) Necessity of O'Hare Runway Redesign and Development of South 
Suburban Airport.--
            (1) It is the policy of Congress that redesign and 
        reconstruction of Chicago O'Hare International Airport in Cook 
        and DuPage Counties, Illinois, in accordance with the runway 
        redesign plan, and the development of a south suburban airport 
        in the Chicago metropolitan region, are each required to 
        improve the efficiency of, and relieve congestion in, the 
        national air transportation system.
            (2)(A) The Administrator of the Federal Aviation 
        Administration shall implement the Federal policy described in 
        paragraph (1) by facilitating approval, funding, construction, 
        and implementation of--
                    (i) the runway redesign plan upon receipt of an 
                application from Chicago for approval of an airport 
                layout plan that includes the runway redesign plan; and
                    (ii) the south suburban airport upon receipt of an 
                application from the State of Illinois or a political 
                subdivision thereof for approval of an airport layout 
                plan for a south suburban airport.
            (B) Implementation of the plan described in subparagraph 
        (A) shall be subject to application of Federal laws with 
        respect to environmental protection and environmental analysis 
        including the National Environmental Policy Act and the 
        determination of the Administrator of the Federal Aviation 
        Administration that the plan meets the criteria regarding 
        practicability, safety, and efficiency, and is consistent with 
        Federal Aviation Administration design criteria.
            (3) The State shall not enact or enforce any law respecting 
        aeronautics that interferes with, or has the effect of 
        interfering with, implementation of Federal policy with respect 
        to the runway redesign plan including sections 38.01, 47, and 
        48 of the Illinois Aeronautics Act.
            (4) All environmental reviews, analyses, and opinions 
        related to issuance of permits, licenses, or approvals by 
        operation of Federal law relating to the runway redesign plan 
        or the south suburban airport shall be conducted on an 
        expedited basis. Each Federal agency having jurisdiction shall 
        complete environmental-related reviews on an expedited and 
        coordinated basis.
            (5) If the Administrator of the Federal Aviation 
        Administration determines that construction or operation of the 
        runway redesign plan would not conform, within the meaning of 
        section 176(c) of the  Clean Air Act, to an applicable 
implementation plan approved or promulgated under section 110 of the 
Clean Air Act, the Environmental Protection Agency shall forthwith 
cause or promulgate a revision of such implementation plan sufficient 
for the runway redesign plan to satisfy the requirements of section 
176(c) of the Clean Air Act.
            (6) In this section:
                    (A) The term ``runway redesign plan'' means--
                            (i) 6 parallel runways at O'Hare oriented 
                        in the east-west direction with the capability, 
                        to the extent determined by the Administrator 
                        to be practicable, safe, and efficient, for 4 
                        simultaneous independent instrument aircraft 
                        arrivals, and all associated taxiways, 
                        navigational facilities, passenger handling 
                        facilities, and other related facilities; and
                            (ii) the closure of existing runways 14L-
                        32R, 14R-32L, and 18-36.
                    (B) The term ``south suburban airport'' means an 
                additional air carrier airport in the vicinity of 
                Peotone, Illinois.
                    (C) The term ``Administrator'' means the 
                Administrator of the Federal Aviation Administration or 
                his designee.
    (b) Phasing of Construction.--Approval by the Administrator of an 
airport layout plan that includes the runway redesign plan shall 
provide that any runway located more than 2500 feet south of existing 
runway 9R-27L shall not begin construction before January 1, 2011.
    (c) Western Public Roadway Access.--The Administrator shall not 
consider an airport layout plan submitted by Chicago that includes the 
runway redesign plan, unless it includes public roadway access through 
the western boundary of O'Hare to passenger terminal and parking 
facilities. Approval of western public road access shall be subject to 
the condition that the cost of construction be paid for from airport 
revenues.
    (d) Noise Mitigation.--
            (1) Approval by the Administrator of an airport layout plan 
        that includes the runway redesign plan shall require Chicago to 
        offer acoustical treatment of all single-family houses and 
        schools located within the 65 DNL noise contour for each 
        construction phase of the runway redesign plan, subject to 
        Federal Aviation Administration guidelines and specifications 
        of general applicability. The Administrator shall determine 
        that Chicago's plan for acoustical treatment is financially 
        feasible.
            (2)(A) Approval by the Administrator of an airport layout 
        plan that includes the runway redesign plan shall be subject to 
        the condition that noise impact of aircraft operations at 
        O'Hare in the calendar year immediately following the year in 
        which the first new runway is first used, and in each calendar 
        year thereafter, will be less than the noise impact in calendar 
        year 2000.
            (B) The Administrator shall make the determination 
        described in subparagraph (A)--
                    (i) using, to the extent practicable, the 
                procedures specified in part 150 of title 14, Code of 
                Federal Regulations;
                    (ii) using the same method for calendar year 2000 
                and for each forecast year; and
                    (iii) by determining noise impact solely in terms 
                of the aggregate number of square miles and the 
                aggregate number of single-family houses and schools 
                exposed to 65 or greater decibels using the DNL metric, 
                including only single-family houses and schools in 
                existence on the last day of calendar year 2000.
            (C) The condition described in paragraph (1) shall be 
        enforceable exclusively by the Administrator, using noise 
        mitigation measures approved or approvable under part 150 of 
        title 14, Code of Federal Regulations.
    (e) South Suburban Airport Federal Funding.--The Administrator 
shall give priority consideration to a letter of intent application 
submitted by the State of Illinois or a political subdivision thereof 
for the construction of the south suburban airport. The Administrator 
shall consider the letter not later than 90 days after the 
Administrator issues final approval of the airport layout plan for the 
south suburban airport.
    (f) Federal Construction.--
            (1) On July 1, 2004, or as soon practicable thereafter, the 
        Administrator shall construct the runway redesign plan as a 
        Federal project, if--
                    (A) the Administrator finds, after notice and 
                opportunity for public comment, that a continuous 
                course of construction of the runway redesign plan has 
                not commenced and is not reasonably expected to 
                commence by December 1, 2004;
                    (B) Chicago agrees in writing to construction of 
                the runway redesign plan as a Federal project;
                    (C) Chicago enters into an agreement, acceptable to 
                the Administrator, to protect the interests of the 
                United States Government with respect to the 
                construction, operation, and maintenance of the runway 
                redesign plan; and
                    (D) Chicago provides, without cost to the United 
                States Government, land, easements, rights-of-way, 
                rights of entry, and other interests in land or 
                property necessary to permit construction of the runway 
                redesign plan as a Federal project and to protect the 
                interests of the United States Government in its 
                construction, operation, maintenance, and use.
            (2) The Administrator may make an agreement with the City 
        of Chicago under which Chicago will provide the work described 
        in paragraph (1), for the benefit of the Administrator.
            (3) The Administrator is authorized and directed to acquire 
        in the name of the United States all land, easements, rights-
        of-way, rights of entry, or other interests in land or property 
        necessary for the runway redesign plan under this section, 
        subject to  such terms and conditions as the Administrator 
deems necessary to protect the interests of the United States.
    (g) Merrill C. Meigs Field.--
            (1) Until January 1, 2026, the Administrator shall withhold 
        all airport grant funds respecting Chicago O'Hare International 
        Airport, other than grants involving national security and 
        safety, unless the Administrator is reasonably satisfied that 
        the following conditions have been met:
                    (A) Merrill C. Meigs Field in Chicago either is 
                being operated by Chicago as an airport or has been 
                closed for reasons beyond Chicago's control.
                    (B) Chicago is providing, at its own expense, all 
                off-airport roads and other access, services, 
                equipment, and other personal property that it provided 
                in connection with the operation of Meigs Field on and 
                prior to December 1, 2001.
                    (C) Chicago is operating Meigs Field, at its own 
                expense, at all times as a public airport in good 
                condition and repair open to all users capable of 
                utilizing the airport, and is maintaining the airport 
                for such public operations at least from 6:00 a.m. to 
                10:00 p.m. 7 days a week whenever weather conditions 
                permit.
                    (D) Chicago is providing or causing its agents or 
                independent contractors to provide all services 
                (including police and fire protection services) 
                provided or offered at Meigs Field on or immediately 
                prior to December 1, 2001, including tie-down, 
                terminal, refueling, and repair services, at rates that 
                reflect actual costs of providing such goods and 
                services.
            (2) After January 1, 2006, the Administrator shall not 
        withhold grant funds under this Act to the extent the 
        Administrator determines that withholding of grant funds would 
        create an unreasonable burden on interstate commerce. If Meigs 
        Field is closed for reasons beyond Chicago's control, the 
        conditions described in subparagraphs (B) through (D) shall not 
        apply.
            (3) The Administrator shall not enforce the conditions 
        listed in paragraph (1) if the State of Illinois enacts a law 
        on or after January 1, 2006, authorizing the closure of Meigs 
        Field.
            (4) Net operating losses resulting from operation of Meigs 
        Field, to the extent consistent with law, are to be paid by the 
        2 air carriers at O'Hare International Airport that paid the 
        highest amount of airport fees and charges at O'Hare 
        International Airport for the preceding calendar year. 
        Notwithstanding any other provision of law, the City of Chicago 
        may use airport revenues generated at O'Hare International 
        Airport to fund the operation of Meigs Field.
    (h) Judicial Review.--An order issued by the Administrator of the 
Federal Aviation Administration, in whole or in part, under this 
section shall be deemed to be an order issued under subtitle VII of 
part A of title 49, United States Code, and shall be reviewed in 
accordance with the procedures in section 46110 of title 49, United 
States Code.
Output: National Aviation Capacity Expansion Act - Directs the Administrator of the Federal Aviation Administration to implement the redesign and reconstruction of Chicago O'Hare International Airport in Cook and DuPage Counties, Illinois, in accordance with a specified runway redesign plan, and the development of a south suburban airport in the Chicago metropolitan region, by facilitating approval, funding, construction, and implementation of such plan and suburban airport.Requires all environmental reviews, analyses, and opinions related to issuance of permits, licenses, or approvals relating to such plan or airport to be conducted on an expedited and coordinated basis.States that approval by the Administrator of an airport layout plan submitted by Chicago that includes the runway redesign plan shall: (1) provide that any runway located more than 2500 feet south of existing runway 9R-27L shall not begin construction before January 2011; and (2) be subject to the condition that noise impact of aircraft operations at O'Hare after the year in which the first new runway is first used will be less than that in 2000. Prohibits the consideration of such a plan unless it includes public roadway access through the western boundary of O'Hare to passenger terminal and parking facilities.Directs the Administrator to give priority consideration to a letter of intent application submitted by the State of Illinois (or a political subdivision thereof) for construction of the suburban airport.Sets forth requirements regarding the construction of the runway redesign plan as a Federal project on or after July 1, 2004.Requires the withholding of all airport grant funds for O'Hare (other than grants involving national security and safety) until January 1, 2026, unless specified conditions with respect to operations at Merrill C. Meigs Field have been met.