A BILL

	To amend title 49, United States Code, to authorize appropriations for the
Federal Aviation Administration for fiscal years 1999, 2000, 2001, 2002, 2003,
and 2004 and for other purposes.

	Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,

SEC. 1. SHORT TITLE; TABLE OF CONTENTS.

	(a) SHORT TITLE.--This Act may be cited as the "Federal Aviation
Administration Authorization Act of 1999".

	(b) TABLE OF CONTENTS.--

Sec.   1. Short title; table of contents.
Sec.   2. Amendments to title 49, United States Code.
Sec.   3. Effective date.


			Title I--AUTHORIZATIONS

Sec. 101. Federal Aviation Administration operations.
Sec. 102. Air navigation facilities.
Sec. 103. Research, engineering and development.
Sec. 104. Airport planning and development and noise compatibility
		planning and programs.
Sec. 105. Airport and Airway Trust Fund audits.


Title II--AMENDMENTS TO AVIATION LAW

Sec. 201. Severable services contracts for periods crossing fiscal years.
Sec. 202. Airport Noise and Capacity Act Amendments.
Sec. 203. Government and industry consortia.
Sec. 204. Passenger facility fees.  
Sec. 205. Implementation of Article 83 bis of the Chicago Convention.
Sec. 206. User funding of the Federal Aviation Administration.
Sec. 207. Cost recovery for foreign aviation services and clarification of
overflight fee
		authority. 
Sec. 208. Flexibility to perform criminal history record checks; technical
amendments
		to Pilot Records Improvement Act of 1996.
Sec. 209. Extension of aviation insurance program.
Sec. 210. Technical correction to civil penalty provision.
Sec. 211. Improvements to air navigation facilities.  
Sec. 212. Whistleblower protection for FAA employees; Hatch Act enforcement;
		Federal Procurement Integrity Act; merit system principles.
Sec. 213. Federal Aviation Administration personnel management system.
Sec. 214. Transitional user fee authority.
Sec. 215. Amendment of statute prohibiting the bringing of hazardous substances
aboard
		an aircraft
Sec. 216. Airport Security Program.
Sec. 217. Essential Air Service.
Sec. 218. FAA may fine unruly passengers.
Sec. 219. Delegation of authority for cargo inspections.
Sec. 220. Amendment of statute prohibiting piloting an aircraft without a valid
airman's
		certificate.


TITLE III--AIRPORT IMPROVEMENT PROGRAM AMENDMENTS

Sec. 301.  Removal of the cap on discretionary fund. 
Sec. 302.  Innovative use of airport grant funds.
Sec. 303.  Matching share for state block grant program.
Sec. 304.  Increase in apportionment for, and flexibility of, noise
compatibility planning
		and programs.
Sec. 305.  Increase in state apportionment.
Sec. 306.  Discretionary use of unused apportionments.
Sec. 307.  Pavement maintenance.
Sec. 308.  Preservation of primary apportionments when air service is
temporarily
		interrupted.
Sec. 309.  Limitation on project eligibility at large and medium airports.
Sec. 310.  Public notice before grant assurance waived.
Sec. 311.  Intermodal planning.
Sec. 312.  Airport improvements to increase rural access to the air
transportation
		system.
Sec. 313.  Military airports.
Sec. 314.  Letters of intent.
Sec. 315.  Technical amendments.


TITLE IV--COMMERCIAL SPACE TRANSPORTATION AMENDMENTS

Sec. 401.  Commercial Space Transportation Authorization.
Sec. 402.  Repeal of requirement for uniform guidelines for acquisition of
surplus
	property.
Sec. 403.  Extension of payment of excess claims authority for a commercial
space
		launch and reentry.


TITLE V--PERFORMANCE BASED ORGANIZATION FOR AIR TRAFFIC SERVICES

Sec. 501. Establishment of Performance Based Organization.
Sec. 502. Relationship of ATS and the Administrator.
Sec. 503. Five-year evaluation.
Sec. 504. Fees for air traffic service.
Sec. 505. Financing a performance based organization for air traffic
		services.
Sec. 506. Adjustment of certain aviation excise taxes.


TITLE VI--FAMILY ASSISTANCE

Sec. 601.  Responsibilities of National Transportation Safety Board.
Sec. 602.  Air carrier plans.
Sec. 603.  Foreign air carrier plans.
Sec. 604.  Applicability of Death on the High Seas Act.


TITLE VII--PASSENGER SERVICE AVAILABILITY; MAIL RATES

Sec. 701. Non-discrimination in airline travel.
Sec. 702. Airline service restoration pilot program.
Sec. 703. Waiver of local contribution.
Sec. 704. Joint fares and interline agreements.
Sec. 705. Policy for air service to rural areas.
Sec. 706. Clarification of air carrier code-sharing obligations.
Sec. 707. Repeal of mail rate-setting authority.
Sec. 708. Access to High Density Airports.


TITLE VIII--TRANSFER OF AERONAUTICAL CHARTING ACTIVITY

Sec. 801. Transfer of functions, powers, and duties.
Sec. 802. Transfer of office, personnel and funds.
Sec. 803. Amendment to title 49, United States Code.
Sec. 804. Savings provision.
Sec. 805. National ocean survey.
Sec. 806. National Oceanic and Atmospheric Administration: nautical and 
		aeronautical products, sale and distribution.


TITLE IX--WHISTLEBLOWER PROTECTION

Sec. 901.  Protection of employees providing air safety information.
Sec. 902.  Civil penalty.


TITLE X--NATIONAL PARKS AIR TOUR MANAGEMENT 

Sec. 1001.  Short title.
Sec. 1002.  Findings.
Sec. 1003.  Air tour management plans for national parks.
Sec. 1004.  Advisory group.
Sec. 1005.  Reports.
Sec. 1006.  Exemptions.
Sec. 1007.  Definitions.


TITLE XI--TITLE 49 TECHNICAL CORRECTIONS

Sec. 1101.  Restatement of 49 U.S.C. 106(g).
Sec. 1102.  Restatement of 49 U.S.C. 46306.
Sec. 1103.  Restatement of 49 U.S.C. 44909.
Sec. 1104.  Restatement of 49 U.S.C. 46301(a).
Sec. 1105.  Restatement of 49 U.S.C. 47122(b).


TITLE XII--PREVENTION OF FRAUD INVOLVING AIRCRAFT OR SPACE VEHICLE PARTS

Sec. 1201.  Short title.
Sec. 1202.  Prevention of frauds involving aircraft or space vehicle parts in
interstate or
		foreign commerce.
Sec. 1203.  Related amendments to other sections of title 18.


Title XIII--INTERNAL REVENUE CODE AMENDMENTS

Sec. 1301. Amendments to the Airport and Airway Trust Fund.





SEC. 2. AMENDMENTS TO TITLE 49, UNITED STATES CODE.

	Except as otherwise expressly provided, whenever in this Act an amendment
or repeal is expressed in terms of an amendment to, or a repeal of, a section or
other provision, the reference shall be considered to be made to a section or
other provision of title 49, United States Code.

SEC. 3. EFFECTIVE DATE.

	Except as otherwise expressly provided, this Act and the amendments made by
this Act shall be effective on the date of enactment.

TITLE I--AUTHORIZATIONS

SEC. 101. FEDERAL AVIATION ADMINISTRATION OPERATIONS.

	Section 106(k) is amended to read as follows:

	"(k)  AUTHORIZATION OF APPROPRIATIONS FOR OPERATIONS.--(1)There is
authorized to be appropriated to the Secretary of Transportation for operations
of the Administration  $6,039,000,000 for fiscal year 2000, and such sums as
necessary for fiscal years 2001, 2002, 2003 and 2004.
	
"(2) Of the amounts authorized by this subsection, not more than $9,100,000 for
the 3-fiscal-year period beginning with fiscal year 2001 shall be used to
support a university consortium established to provide an air safety and
security management certificate program, working cooperatively with the Federal
Aviation Administration and United States air carriers.  Funds authorized under
this paragraph--

	"(A) may not be used for the construction of a building or other facility;

	"(B) shall be awarded on the basis of open competition; and

	"(C) may not constitute more than a 50-percent share of the total costs of
the consortium.". 

SEC. 102. AIR NAVIGATION FACILITIES.

	Section 48101(a) is amended by inserting the following at the end:

	"(3) $2,319,000,000 for fiscal year 2000.

	"(4) such sums as necessary for fiscal years 2001, 2002, 2003 and 2004.".

SEC. 103. RESEARCH, ENGINEERING AND DEVELOPMENT.

	Section 48102(a) is amended--

	(1) by striking paragraphs (1) through (4) and redesignating paragraph (5)
as paragraph (1); and

	(2) by inserting the following:

	"(2) $173,000,000 for fiscal year 2000.

	"(3) such sums as necessary for fiscal years 2001, 2002, 2003, and 2004.".

SEC. 104. AIRPORT PLANNING AND DEVELOPMENT AND NOISE COMPATIBILITY PLANNING AND
PROGRAMS.

	(a)  AUTHORIZATION OF APPROPRIATIONS.--Section 48103 is amended--

	(1) by inserting "newly" before "available";

	(2) by striking "$1,205,000,000" and all that follows through the period at
the end and inserting the following:  "$2,410,000,000 for fiscal years ending
before October 1, 1999, $1,600,000,000 for fiscal years ending before October 1,
2000, $1,600,000,000 for fiscal years ending before October 1, 2001,
$1,600,000,000 for fiscal years ending before October 1, 2002, $1,600,000,000
for fiscal years ending before October 1, 2003, and $1,600,000,000 for fiscal
years ending before October 1, 2004.".

	(b) PROJECT GRANT AUTHORITY.--Section 47104(c) is amended by striking "March
31, 1999" and inserting "September 30, 2004".

SEC. 105. AIRPORT AND AIRWAY TRUST FUND AUDITS.

	(a) AUTHORIZATION.--Chapter 481 is amended by adding at the end a new
section as follows:

"Sec. 48112. Airport and Airway Trust Fund audits

	"For fiscal years beginning after September 30, 2000, there is authorized
to be appropriated from the Airport and Airway Trust Fund established under
section 9502 of the Internal Revenue Code of 1986 (26 U.S.C. 9502), to remain
available until expended, to the Secretary of Transportation such sums as
necessary for the Office of Inspector General for the conduct of annual audits
of financial statements of the Federal Aviation Administration required by 31
U.S.C. 3521.".

	(b) CONFORMING AMENDMENT.--The analysis of chapter 481 is amended by
inserting at the end the following:

"48112. Airport and Airway Trust Fund audits.".


TITLE II--AMENDMENTS TO AVIATION LAW

SEC. 201.  SEVERABLE SERVICES CONTRACTS FOR PERIODS CROSSING FISCAL YEARS.

	(a)  Chapter 401 is amended by adding the following new section:

"Sec. 40125.  Severable services contracts for periods crossing fiscal years

	"(a)  General.--The Administrator of the Federal Aviation Administration may
enter into a contract for procurement of severable services for a period that
begins in one fiscal year and ends in the next fiscal year if (without regard to
any option to extend the period of the contract) the contract period does not
exceed one year.

	"(b)  Obligation Of Funds.--Funds made available for a fiscal year may be
obligated for the total amount of a contract entered into under the authority of
subsection (a) of this section.".
	
	(b) CONFORMING AMENDMENT.--The analysis of chapter 401 is amended by
inserting the following at the end:

"40125. Severable services contracts for periods crossing fiscal years.".

SEC. 202. AIRPORT NOISE AND CAPACITY ACT AMENDMENTS.

	(a) FOREIGN CARRIERS ELIGIBLE FOR WAIVER.--Section 47528(b)(1) is amended
in the first sentence by inserting "or foreign air carrier" after "air carrier"
and after "carrier" the first time each appears.  

	(b) EXEMPTION FOR AIRCRAFT MODIFICATION OR DISPOSAL.--Section 47528 is
amended--

	(1) by inserting "or (f)" after "(b)" in subsection (a); and

	(2) by inserting a new subsection at the end as follows:

	"(f) AIRCRAFT MODIFICATION OR DISPOSAL.--  After December 31, 1999, the
Secretary may provide a procedure under which a person may operate a Stage 1 or
Stage 2 airplane in nonrevenue service to or from an airport in the United
States in order to:

	"(1) sell the aircraft outside the United states;

	"(2) sell the aircraft for scrapping; or 

	"(3) obtain modifications to the aircraft to meet Stage 3 noise levels.".

SEC. 203.  GOVERNMENT AND INDUSTRY CONSORTIA.

	Section 44903 is amended by adding the following new subsection at the end:

	"(f) GOVERNMENT AND INDUSTRY CONSORTIA.--The Administrator may establish at
individual airports such consortia of government and aviation industry
representatives as the Administrator may designate to provide advice on matters
related to aviation security and safety.  Such consortia shall not be considered
federal advisory committees.".

SEC. 204. PASSENGER FACILITY FEES.

	(a) PFC INCREASE.--Section 40117 is amended--

	(1) in paragraph (b)(1) by striking "or $3" and substituting "$3, $4, or
$5"; and

	(2) by inserting the following at the end:

	"(j) FEES OF MORE THAN $4.--(1) When submitting an application for a
passenger facility fee under this section of more than $4, an eligible agency
shall separately submit to the Secretary the written competition plan specified
by paragraph (2) if the application is for a primary airport--

	"(A) having at least 1 percent of the total number of passenger boardings
each year at all commercial service airports, and

	"(B) at which more than 50 percent of the total number of passenger
boardings each year is by a single air carrier and its regional affiliates.

	"(2) As specified by paragraph (1), an eligible agency shall submit a
written competition plan for the airport, including the availability of airport
gates and related facilities, leasing and sub-leasing arrangements, gate-use
requirements, patterns of air service, gate-assignment policy, financial
constraints, airport controls over air- and ground-side capacity, whether the
airport intends to build or acquire gates that would be used as common
facilities, and airfare levels compared to other large airports.

	"(3) The Secretary shall, within the time limit established by subsection
(c)(3), review the description and plan submitted under this subsection to
determine whether the current and projected competition factors at the airport,
as described, are likely to contribute to the policy objectives of increased
competition between and among passenger air carriers.  If the Secretary
determines that the submitted plan fails to address needs for increased
competition at the airport, the Secretary shall disapprove the imposition of a
fee of more than $4 on the basis of competition factors.

	"(k) SURFACE TRANSPORTATION PROJECTS.--The Secretary may approve an
application by an eligible agency for a surface transportation project to
improve access to an airport having at least .25 percent of the total number of
passenger boardings each year at all commercial service airports, under this
section only if the Secretary finds that the eligible agency has made adequate
provision for financing safety, security and capacity needs of the airport.

	"(l) PROJECT COST SHARING.--In order to carry out the policy of section
47101(a)(5) of this title, the Secretary may approve an application under this
section by an eligible agency to participate in a cost-sharing agreement with
one or more eligible surface transportation agencies for a surface
transportation project under title 23 or chapter 53 of title 49, United States
Code, if the Secretary finds that-- 

	"(1) the eligible agency or an eligible surface transportation agency
participating in the project will hold good title to property used for the
project, and the eligible agency will own or operate the project; 

	"(2) use of passenger facility fees is limited to capital costs for new
construction of a facility or for acquisition of equipment;

	"(3) the project is directly and substantially related to the air
transportation of passengers and property; 

	"(4) the project is consistent with the transportation improvement program
developed in accordance with sections 134 and 135 of title 23 or section 5304 of
title 49, United States Code, to address documented surface congestion problems
that directly and significantly affect airport access, or the project is
incidental to an otherwise justified surface transportation project but provides
substantially improved direct access to an airport;

	"(5) the subsection will be administered by the Secretary in accordance with
the requirements of title 23 or chapter 53 of title 49, United States Code,
applicable to the project;

	"(6) the proportion of the total cost of the project contributed by the
eligible agency under this section shall not exceed the proportion of the direct
aviation-related use of the facility compared to the total use of the facility
as determined by the Secretary;

	"(7) there is an opportunity for public comment on the project, particularly
by airport users, concerning the transportation, social, economic, and
environmental effects of the project; and

	"(8) the agreement meets any other conditions required by the Secretary.".

	(b) REDUCTION IN ENTITLEMENT FUNDS.--Section 47114(f) is amended--
	
	(1) by inserting a paragraph designator "(1)" before "An";

	(2) by striking "reduced by" and all that follows and substituting the
following:  

"reduced by--

	"(A) an amount equal to 50 percent of the projected revenues from the fee
in the fiscal year but not by more than 50 percent of the amount that otherwise
would be apportioned under this section, if the sponsor has imposed a passenger
facility fee of $1, $2, or $3 in the fiscal year; or 

	"(B) an amount equal to 100 percent of the amount that would otherwise be
apportioned to the sponsor under this section, if the sponsor has imposed a
passenger facility fee of $4 or $5 in the fiscal year."; and 

	(3) by inserting a new paragraph at the end as follows:

	"(2) A reduction in apportionment required by paragraphs (1)(A) or (1)(B)
of this subsection shall not take effect until the first fiscal year following
the year in which the collection of a fee imposed under section 40117 of this
title is begun.".

SEC. 205. IMPLEMENTATION OF ARTICLE 83 BIS OF THE CHICAGO CONVENTION.

	Section 44701 is amended by--

	(a) redesignating subsection (e) as subsection (f); and

	(b) inserting following subsection (d) a new subsection (e) as follows: 

	"(e) Bilateral Exchanges Of Safety Oversight Responsibilities.--(1)
Notwithstanding the provisions of this chapter, and pursuant to Article 83 bis
of the Convention on International Civil Aviation, the Administrator may, by a
bilateral agreement with the aeronautical authorities of another country,
exchange with that country all or part of their respective functions and duties
with respect to aircraft described in subparagraphs (A) and (B), under the
following articles of the Convention: Article 12 (Rules of the Air); Article 31
(Certificates of Airworthiness); or Article 32a (Licenses of Personnel).  Such
agreement may apply to--

	"(A) aircraft registered in the United States operated pursuant to an
agreement for the lease, charter, or interchange of the aircraft or any similar
arrangement by an operator that has its principal place of business or, if it
has no such place of business, its permanent residence in another country; or

	"(B) aircraft registered in a foreign country operated under an agreement
for the lease, charter, or interchange of the aircraft or any similar
arrangement by an operator that has its principal place of business or, if it
has no such place of business, its permanent residence in the United States.

	"(2) The Administrator relinquishes responsibility with respect to the
functions and duties transferred by the Administrator as specified in the
bilateral agreement, under the Articles listed in paragraph (1) of this
subsection for United States-registered aircraft transferred abroad as described
in subparagraph (1)(A) of this subsection, and accepts responsibility with
respect to the functions and duties under those Articles for aircraft registered
abroad that are transferred to the United States as described in subparagraph
(1)(B) of this subsection.

	"(3) The Administrator may, in the agreement, predicate the transfer of
these functions and duties on any conditions the Administrator deems necessary
and prudent.".

SEC. 206.  USER FUNDING OF THE FEDERAL AVIATION ADMINISTRATION.

	Section 48104(a) is amended--

	(1) in paragraph (1), by striking "; and" and substituting ";";

	(2) in paragraph (2), by striking the period at the end and substituting ";
and"; and

	(3) by adding the following at the end:

	"(3) any cost incurred by the Federal Aviation Administration after
September 30, 1999, that is authorized by law.".

SEC. 207.  COST RECOVERY FOR FOREIGN AVIATION SERVICES AND CLARIFICATION OF
OVERFLIGHT FEE AUTHORITY.

	Section 45301 is amended--

	(1) in paragraph (a)(2), by inserting "or to any entity obtaining services
outside the United States" before the period; and

	(2) in subparagraph (b)(1)(B) by--

	(A) striking "directly"; and

	(B) striking the period after "rendered" and inserting the phrase ",
including both direct and indirect costs, as determined by the Administrator,
using generally accepted accounting principles and internationally accepted
economic principles.".

SEC. 208.  FLEXIBILITY TO PERFORM CRIMINAL HISTORY RECORD CHECKS; TECHNICAL
AMENDMENTS TO PILOT RECORDS IMPROVEMENT ACT OF 1996.

	Section 44936 is amended --

	(1) in subsection (a)(1)(B), by striking "described in subparagraph (C)" and
inserting "the Administrator decides is necessary to ensure air transportation
security";

	(2) by striking subsection (a)(1)(C);

	(3) in subsection (a)(1)(D), by striking "(C)" and inserting "(B)" and  by
redesignating subsection (a)(1)(D) as subsection (a)(1)(C);

	(4) in subsection (f)(1)(B) by inserting "(except a branch of the United
States Armed Forces, the National Guard, a reserve component of the United
States Armed Forces, or the National Aeronautics and Space Administration)"
after "person" the first place it appears;

	(5) in subsection (f)(1)(B)(ii), by striking "individual" and inserting
"individual's performance as a pilot"; 

	(6) in subsection (f)(4), by striking "and (1)(B)" and inserting ", (1)(B)
and (2)(A)";

	(7) in subsection (f)(5), by striking the period in the first sentence and 
inserting ", except that the Administrator may allow, under terms established by
the Administrator, a designated individual to accept the written consent on
behalf of the Administrator.";

	(8) in subparagraph (f)(14)(B) by inserting "or from a foreign government
or entity that employed the individual" after "exists,"; and

	(9) in subsection (f), by adding a new subsection as follows:

	"(15) ELECTRONIC ACCESS TO FAA RECORDS.--For the purpose of increasing
timely and efficient access to Federal Aviation Administration records described
in subsection (f)(1) of this section, the Administrator may allow, under terms
established by the Administrator, a designated individual to have electronic
access to a specified data base containing information about such records.". 

SEC. 209.  EXTENSION OF AVIATION INSURANCE PROGRAM.

	Section 44310 is amended by striking "March 31, 1999" and substituting
"December 31, 2004".

SEC. 210.  TECHNICAL CORRECTION TO CIVIL PENALTY PROVISION.

	Section 46301 is amended--

	(1) in subparagraph (d)(7)(A) by striking "individual" the first time it
appears and substituting "person"; and

	(2) in subsection (g) by inserting "or the Administrator" after
"Secretary".

SEC.  211.  IMPROVEMENTS TO AIR NAVIGATION FACILITIES.  

	Section 44502(a) is amended by adding a new paragraph (5) at the end to read
as follows:

	"(5) The Administrator may improve real property leased for air navigation
facilities when the improvements primarily benefit the government, are essential
for mission accomplishment, and the government's interest in the improvements is
protected.  Such improvements may be made without regard to the cost of the
improvements in relation to the cost of the lease.".

SEC. 212. WHISTLEBLOWER PROTECTION FOR FAA EMPLOYEES; HATCH ACT ENFORCEMENT;
FEDERAL PROCUREMENT INTEGRITY ACT; MERIT SYSTEM PRINCIPLES.

	(a) WHISTLEBLOWER PROTECTION.--Section 347(b)(1) of Public Law 104-50 (49
U.S.C. 106, note) is amended by striking "protection;" and inserting
"protection, including the provisions for investigations and enforcement as
provided in chapter 12 of title 5, United States Code;".

	(b) HATCH ACT ENFORCEMENT.-- Section 347(b)(5) of the Department of
Transportation and Related Agencies Appropriations Act, 1996 (49 U.S.C. 106
note; 109 Stat. 460) is amended by inserting before the semicolon at the end the
following: ", including the provisions for investigation and enforcement as
provided in chapter 12 of title 5, United States Code concerning subchapter
III--Political Activities".

	(c) FEDERAL PROCUREMENT INTEGRITY ACT.--Section 348(b)(2) of the Department
of Transportation and Related Agencies Appropriations Act, 1996 (49 U.S.C. 40110
note; 109 Stat. 460) is amended by striking the period and inserting the
following:

", except for 41 U.S.C. 423; provided that subparagraphs (f) and (g) of section
423 shall not apply to the Federal Aviation Administration's Acquisition
Management System; provided further that within 90 days following enactment of
the Federal Aviation Administration Authorization Act of 1999, the Administrator
of the Federal Aviation Administration shall adopt definitions for its
Acquisition Management System that are consistent with the purpose and intent of
this section and that will allow the full application of the criminal, civil and
administrative remedies provided; and provided further that the Administrator
shall have the authority to take an adverse personnel action provided in 41
U.S.C. 423(e)(3)(A)(iv), but shall take any such actions in accordance with the
procedures contained in the Federal Aviation Administration's Personnel
Management System.".

	(d) MERIT SYSTEMS PRINCIPLES.--Section 347(a) of Public Law 104-50 (49
U.S.C. 106 note) is amended by adding the following at the end:

"The personnel management system is governed by merit systems principles
consistent with those expressed in 5 U.S.C. 2301.".

SEC. 213. FEDERAL AVIATION ADMINISTRATION PERSONNEL MANAGEMENT SYSTEM.

	(a) MEDIATION--Section 40122(a)(2) is amended by adding at the end the
following: "The 60-day period shall not include any period during which Congress
has adjourned sine die.".

	(b) RIGHT TO CONTEST ADVERSE PERSONNEL ACTIONS--Section 40122 is amended by
adding at the end the following:

	"(g) RIGHT TO CONTEST ADVERSE PERSONNEL ACTIONS--An employee of the
Administration who is the subject of a major adverse personnel action may
contest the action either through any contractual grievance procedure that is
applicable to the employee as a member of the collective bargaining unit or
through the Administration's internal process relating to review of major
adverse personnel actions of the Administration, known as Guaranteed Fair
Treatment or under section 347(c) of the Department of Transportation and
Related Agencies Appropriations Act, 1996.

	"(h) ELECTION OF FORUM.--Where a major adverse personnel action may be
contested through more than one of the indicated fora (e.g., the contractual
grievance procedure, the Federal Aviation Administration's internal process or
that of the Merit Systems Protection Board), an employee must elect the forum
through which the matter will be contested.  Nothing in this section is intended
to allow an employee to contest an action through more than one forum unless
otherwise allowed by law.

	"(i) DEFINITION.--For purposes of this section, the term "major adverse
personnel action" means a suspension of more than 14 days, a reduction in pay or
grade, a removal for conduct or performance, a nondisciplinary removal, a
furlough of 30 days or less (but not including placement in a nonpay status as
the result of a lapse of appropriations or an enactment by Congress), or a
reduction in force action.". 

	(c) APPLICABILITY OF MERIT SYSTEMS PROTECTION BOARD PROVISIONS.--Section
347(b) of the Department of Transportation and Related Agencies Appropriations
Act, 1996 (109 Stat. 460) is amended--

	(1) by striking "and" at the end of paragraph (6);

	(2) by striking the period at the end of paragraph (7) and inserting ";
and"; and

	(3) by adding at the end the following:

	"(8) sections 1204, 1211-1218, 1221, and 7701-7703, relating to the Merit
Systems Protection Board.".

	(d) APPEALS TO MERIT SYSTEMS PROTECTION BOARD- Section 347(c) of the
Department of Transportation and Related Agencies Appropriations Act, 1996 is
amended to read as follows:

	"(c) APPEALS TO MERIT SYSTEMS PROTECTION BOARD- Under the new personnel
management system developed and implemented under subsection (a), an employee of
the Federal Aviation Administration may submit an appeal to the Merit Systems
Protection Board and may seek judicial review of any resulting final orders or
decisions of the Board from any action that was appealable to the Board under
any law, rule, or regulation as of March 31, 1996.".

SEC. 214.  TRANSITIONAL USER FEE AUTHORITY.

	(a) Chapter 453 is amended by adding the following new section at the end:

"Sec. 45305.  Transitional user fee authority

	"(a) GENERAL.--(1) The Administrator of the Federal Aviation Administration
shall establish a schedule of new fees and a collection process for such fees,
payable by operators described in paragraph (3), for the provision of air
traffic control services provided by the Federal Aviation Administration to such
operators.  Such fees shall be effective until replaced by the schedule of fees
for air traffic services adopted under section 45331.

	"(2) Such fees shall reflect the full cost of providing air traffic
services, including costs associated with the depreciation, research,
engineering, and development, and the operation and maintenance of facilities
and infrastructure, based on cost accounting principles.

	"(3) Such fees shall be payable by--

	"(A) a person holding a certificate under part 119 of title 14, Code of
Federal Regulations;

	"(B) a person holding a certificate under part 125 of title 14, Code of
Federal Regulations, to operate an aircraft for compensation or hire; or 

	"(C) a foreign air carrier directly providing air transportation.   

	"(b) CONSULTATION, PUBLICATION AND COMMENT ON FEES.--The Administrator shall
publish in the Federal Register an initial fee schedule and associated
collection process as an interim final rule not later than September 30, 1999,
provided that the Administrator shall consult with interested operators who may
be subject to the fees prior to such publication.  After the Administrator
receives public comment on the interim final rule, the Administrator shall issue
a final rule as early as practicable.

	"(c) DEPOSIT OF FEES.--Fees collected under this section shall be deposited
in the Airport and Airway Trust Fund (26 U.S.C. 9502).

	"(d) REDUCTION OF TAXES FOR FISCAL YEAR 2000.--Prior to October 1, 1999, if
the sum of estimated receipts from fees established under this section for
fiscal year 2000 and estimated receipts from excise taxes to be credited to the
Airport and Airway Trust Fund for fiscal year 2000 is projected to exceed the
budgetary requirements for the Federal Aviation Administration for fiscal year
2001 as shown in the Budget of the United States Government for Fiscal Year
2000, aviation excise taxes that would otherwise be applicable shall be reduced
in the same manner as provided in section 506 of the Federal Aviation
Administration Authorization Act of 1999.

	"(e) COLLECTION AND AVAILABILITY OF FEES.--Fees authorized under this
section shall be collected and available for obligation only to the extent and
in the amount provided in advance in appropriations acts. Such fees are
authorized to be appropriated to remain available until expended.".

	(b) CONFORMING AMENDMENT.--The analysis of chapter 453 is amended by
inserting the following at the end:

"45305. Transitional user fee authority.".

SEC. 215. AMENDMENT OF STATUTE PROHIBITING THE BRINGING OF HAZARDOUS SUBSTANCES
ABOARD AN AIRCRAFT.

	Section 46312 is amended--

	(1) by striking "A" and inserting "(a) GENERAL.--A"; and

	(2) by adding at the end a new subsection as follows:

	"(b) KNOWLEDGE OF REGULATIONS.--Knowledge by the person of the existence of
a regulation or requirement related to the transportation of hazardous material
prescribed by the Secretary under this part is not an element of an offense
under this section.".

SEC. 216. AIRPORT SECURITY PROGRAM.

	(a) IN GENERAL.--Chapter 471 is amended by adding the following new
section:

"Sec. 47136. Airport security program

	"(a) GENERAL AUTHORITY.--To improve security at public airports in the
United States, the Secretary of Transportation shall carry out one or more
projects to test and evaluate innovative aviation security systems and related
technology.

	"(b) PRIORITY.--In carrying out this section, the Secretary shall give the
highest priority to a request by an eligible sponsor for a grant to undertake a
project that--

	"(1) evaluates and tests the benefits of innovative airport security systems
or related technology, including explosives detection systems, for the purpose
of improving aviation security, including aircraft physical security, access
control, and passenger and baggage screening; and

	"(2) provides testing and evaluation of aviation security systems and
technology in an operational, test bed environment.

	"(c) MATCHING SHARE.--Notwithstanding section 47109, the United States
Government's share of allowable project costs for a project under this section
is 100 percent.

	"(d) TERMS AND CONDITIONS.--The Secretary may establish such terms and
conditions as the Secretary determines appropriate for carrying out a project
under this section, including terms and conditions relating to the form and
content of a proposal for a project, project assurances, and schedule of
payments.

	"(e) ELIGIBLE SPONSOR DEFINED.--In this section, the term "eligible sponsor"
means a nonprofit corporation composed of a consortium of public and private
persons, including a sponsor of a primary airport, with the necessary
engineering and technical expertise to successfully conduct the testing and
evaluation of airport and aircraft related security systems.

	"(f) AUTHORIZATION OF APPROPRIATIONS.--Of the amounts made available to the
Secretary under section 47115 in a fiscal year, the Secretary shall make
available $2,000,000 for the purpose of carrying out this section.".

	(b) CONFORMING AMENDMENT.--The analysis for subchapter 1 of such chapter is
amended by adding at the end the following:

"47136. Airport security program.".

Sec. 217. ESSENTIAL AIR SERVICE.

	Section 41742(a) is amended by striking "provided to the Administration" and
inserting "made available to the Department of Transportation".

SEC. 218. FAA MAY FINE UNRULY PASSENGERS.

(a) IN GENERAL- Chapter 463 is amended by redesignating section 46316 as section
46317, and by inserting after section 46315 the following:

"Sec. 46316. Interference with cabin or flight crew

	"(a) GENERAL.--An individual who interferes with the duties or
responsibilities of the flight crew or cabin crew of a civil aircraft, or who
poses an imminent threat to the safety of the aircraft or other individuals on
the aircraft, is liable to the United States Government for a civil penalty of
not more than $10,000.

	"(b) COMPROMISE AND SETOFF.--(1) The Secretary of Transportation or the
Administrator may compromise the amount of a civil penalty imposed under
subsection (a).

	"(2) The Government may deduct the amount of a civil penalty imposed or
compromised under this section from amounts it owes the individual liable for
the penalty.".

	(b) CONFORMING CHANGE.--The chapter analysis for chapter 463 is amended by
striking the item relating to section 46316 and inserting after the item
relating to section 46315 the following:

"46316. Interference with cabin or flight crew.
"46317. General criminal penalty when specific penalty not provided.".

SEC. 219.  DELEGATION OF AUTHORITY FOR CARGO INSPECTIONS.

	(a) DELEGATION OF AUTHORITY.--Subchapter II of chapter 449 is amended by
adding at the end the following new section:  

" Sec. 44939. Delegation

	"(a) DELEGATION AUTHORITY.--Subject to regulations, supervision and review
that the Administrator of the Federal Aviation Administration may prescribe, the
Administrator may delegate to a qualified private person, or to an employee
under supervision of that person, a matter related to:

	"(1) the examination, testing, and inspection necessary to approve a program
under this chapter for the security of cargo to be carried on aircraft carrying
passengers in air transportation or intrastate air transportation; and

	"(2) preliminary approval of a program under this chapter for the security
of cargo to be carried on aircraft carrying passengers in air transportation or
intrastate air transportation, subject to the Administrator's final approval.

	"(b) AUTHORITY TO RESCIND DELEGATION.--The Administrator may rescind a
delegation under this section at any time for any reason the administrator
considers appropriate.

	"(c) RECONSIDERATION OF ACTION.--A person affected by an action of a private
person under this section may apply for reconsideration of the action by the
Administrator.  On the Administrator's own initiative, the Administrator may
reconsider the action of a private person at any time.  If the Administrator
decides on reconsideration that the action is unreasonable or unwarranted, the
Administrator shall change, modify, or reverse the action.  If the Administrator
decides the action is warranted, the Administrator shall affirm the action.".

	(b) CONFORMING AMENDMENT.--The analysis of chapter 449 is amended by
inserting at the end the following:

"44939. Delegation.".

SEC. 220.  AMENDMENT OF STATUTE PROHIBITING PILOTING AN AIRCRAFT WITHOUT A VALID
AIRMAN'S CERTIFICATE.

	Section 46306(a) is amended to read as follows:

	"(a) APPLICATION.--Except for subsection (b)(7), this section applies only
to aircraft not used to provide air transportation.".


TITLE III-AIRPORT IMPROVEMENT PROGRAM AMENDMENTS

SEC. 301. REMOVAL OF THE CAP ON DISCRETIONARY FUND.  

	Section 47115(g) is amended by repealing paragraph (4).

SEC. 302.  INNOVATIVE USE OF AIRPORT GRANT FUNDS.

	(a) CODIFICATION AND IMPROVEMENT OF 1996 PROGRAM.--Subchapter I of chapter
471 is amended by adding after section 47134 the following:

"47135.  Innovative financing techniques

	"(a) GENERAL.--The Secretary of Transportation is authorized to carry out a
demonstration program under which the Secretary may approve applications under
this subchapter for not more than 5 new projects in a fiscal year at airports
that have less than .25 percent of the boardings at all commercial service
airports for which grants received under the subchapter may be used to implement
innovative financing techniques.

	"(b) PURPOSE.--The purpose of the demonstration program shall be to provide
information on the use of innovative financing techniques for airport
development projects.

	"(c)  LIMITATION.--In no case shall the implementation of an innovative
financing technique under the demonstration program result in a direct or
indirect guarantee of any airport debt instrument by the United States
Government.

	"(d) INNOVATIVE FINANCING TECHNIQUE DEFINED.--In this section, the term
"innovative financing technique" includes methods of financing for projects to
undertake new airport development that the Secretary determines may be
beneficial, including, but not limited to, the following:

	"(1) payment of interest;

	"(2) commercial bond insurance and other credit enhancement associated with
airport bonds for eligible airport development;

	"(3) flexible non-Federal matching requirements; and

	"(4) loans described in subsection (e) of this section."

	"(e) LOANS.--(1) A State designated as a block grant State by the Secretary
under section 47128 may loan to a sponsor all or part of the funds apportioned
to the State pursuant to section 47114(d) of this title to pay the government
share of the allowable costs of an eligible airport development project.  Such
project must meet all requirements of a project undertaken pursuant to section
47128 of this title.  

	"(2) The amount of any loan received for a project under this subsection may
be subordinated to any other debt financing for the project.  

	"(3) The repayment of a loan made under this subsection shall commence not
more than five years after the project is completed.  

	"(4) The term of a loan made under this subsection shall not exceed 30 years
from the date on which the loan funds are obligated.  

	"(5) A loan made under this subsection shall bear interest at or below
market interest rates, as determined by the State, to make the project that is
the subject of the loan feasible.  

	"(6) Amounts repaid to a State from a loan made under this subsection shall
be considered to be Federal funds subject to the requirements of section 47128
and may be obligated-- 

	"(A) for any purpose for which the loan funds were made available under the
State block grant program; and 

	"(B) for use as a capital reserve for other forms of credit enhancement for
project debt in order to improve credit market access or to lower interest rates
for projects eligible for assistance under the State block grant program.  

	"(7) The Secretary shall not approve more than one state application in a
fiscal year, nor more than three in total, to establish state-run loan programs
under this subsection.

	"(8) The Secretary shall, in consultation with participating States, ensure
that procedures and guidelines for making loans under this subsection meet the
requirements of this subsection.".

	(b) CONFORMING AMENDMENT.--The analysis of subchapter I of chapter 471 is
amended by inserting at the end the following:

"47135.  Innovative financing techniques."

SEC. 303.  MATCHING SHARE FOR STATE BLOCK GRANT PROGRAM. 

	Section 47109(a) is amended--

	(1) by redesignating paragraphs (2) and (3) as paragraphs (4) and (5),
respectively; and

	(2) by inserting after paragraph (1) the following:

	"(2) not more than 90 percent for a project funded by a grant issued to and
administered by a State pursuant to the State block grant program established by
section 47128 of this title;

	"(3) for fiscal years beginning after September 30, 2001, in accordance with
guidelines developed by the Secretary--

	"(A) not more than 75 percent for a project at a primary airport having at
least .25 percent of the total number of passenger boardings each year at all
commercial service airports; and

	"(B) not more than 90 percent for a project at any other airport;".

	(3) in paragraph (4), as redesignated, by striking "; and" and inserting
";";

	(4) in paragraph (5), as redesignated, by striking the period and inserting
"; and";

	(5) by inserting a new paragraph as follows:

	"(6) not more than 50 percent for a project described in section
47101(a)(14) of this title; provided, that the government's share of allowable
costs for such a project will only be available if the aviation benefits to the
public exceed the allowable costs of the project.". 

SEC. 304.  INCREASE IN APPORTIONMENT FOR, AND FLEXIBILITY OF, NOISE
COMPATIBILITY PLANNING AND PROGRAMS.

	Section 47117(e)(1)(A) is amended--

	(1) by revising the first sentence to read as follows:

"At least 35 percent, but in any fiscal year not less than $200,000,000, for
grants for airport noise compatibility planning under section 47505(a)(2) of
this title, for carrying out noise compatibility programs under section 47504(c)
of this title, and for noise mitigation projects approved in an environmental
record of decision for an airport development project under this title."; and

	(2) in the second sentence, by striking "31 percent" and inserting "35
percent or minimum funding".



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