American Association of Airport Executives &
Airports Council International - North America
Legislative Affairs
Representing the nation's airports in Washington, D.C.

 

S. 1994 Federal Aviation Reauthorization Act of 1996


[Congressional Record: September 18, 1996 (Senate)]
[Page S10759-S10776]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]



 
              FEDERAL AVIATION REAUTHORIZATION ACT OF 1996

  The Senate continued with the consideration of the bill.


                                  Vote

  The PRESIDING OFFICER. Under the previous order, the question is on 
passage of H.R. 3539, as amended. The yeas and nays have been ordered. 
The clerk will call the roll.
  The legislative clerk called the roll.
  Mr. FORD. I announce that the Senator from West Virginia [Mr. 
Rockefeller] is necessarily absent.
  The PRESIDING OFFICER (Ms. Snowe). Are there any other Senators in 
the Chamber who desire to vote?
  The result was announced--yeas 99, nays 0, as follows:

                      [Rollcall Vote No. 293 Leg.]

                                YEAS--99

     Abraham
     Akaka
     Ashcroft
     Baucus
     Bennett
     Biden
     Bingaman
     Bond
     Boxer
     Bradley
     Breaux
     Brown
     Bryan
     Bumpers
     Burns
     Byrd
     Campbell
     Chafee
     Coats
     Cochran
     Cohen
     Conrad
     Coverdell
     Craig
     D'Amato
     Daschle
     DeWine
     Dodd
     Domenici
     Dorgan
     Exon
     Faircloth
     Feingold
     Feinstein
     Ford
     Frahm
     Frist
     Glenn
     Gorton
     Graham
     Gramm
     Grams
     Grassley
     Gregg
     Harkin
     Hatch
     Hatfield
     Heflin
     Helms
     Hollings
     Hutchison
     Inhofe
     Inouye
     Jeffords
     Johnston
     Kassebaum
     Kempthorne
     Kennedy
     Kerrey
     Kerry
     Kohl
     Kyl
     Lautenberg
     Leahy
     Levin
     Lieberman
     Lott
     Lugar
     Mack
     McCain
     McConnell
     Mikulski
     Moseley-Braun
     Moynihan
     Murkowski
     Murray
     Nickles
     Nunn
     Pell
     Pressler
     Pryor
     Reid
     Robb
     Roth
     Santorum
     Sarbanes
     Shelby
     Simon
     Simpson
     Smith
     Snowe
     Specter
     Stevens
     Thomas
     Thompson
     Thurmond
     Warner
     Wellstone
     Wyden

                             NOT VOTING--1

       
     Rockefeller
       
  The bill (H.R. 3539), as amended, was passed, as follows:
       Resolved, That the bill from the House of Representatives 
     (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.

[[Page S10760]]

                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.
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 equipment.
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 activities.
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 Administration.
Sec. 405. Authorization for State-specific safety measures.
Sec. 406. Sense of the Senate regarding the air ambulance exemption 
              from certain 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 vessels.
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.

  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 Transportation.
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.
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 OPERATIONS.

       (a) Authorization of Appropriations From General 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--
       (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 amended 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 inserting 
     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 inserting 
     ``$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''.

     SEC. 105. INTERACCOUNT FLEXIBILITY.

       Section 106 is amended by adding at the end the following 
     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 paragraph (1) 
     may not result in a net decrease of more than 5 percent, or a 
     net increase of more than 10 percent, in the budget authority 
     available under any appropriation 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 authority 
     pursuant to this section only after--
       ``(A) submitting a written explanation of the proposed 
     transfer to the Committees on Transportation and 
     Infrastructure and Appropriations of the House of 
     Representatives and the Committees on Commerce, Science, and 
     Transportation and Appropriations of the Senate; and
       ``(B) 30 days have passed after the explanation is 
     submitted and none of the committees notifies the 
     Administrator in writing that it objects to the proposed 
     transfer within the 30 day period.''.
          TITLE II--AIRPORT IMPROVEMENT PROGRAM MODIFICATIONS

     SEC. 201. PAVEMENT MAINTENANCE PROGRAM.

       (a) Pavement Maintenance.--Chapter 471 is amended by adding 
     the following section at the end of subchapter I:

[[Page S10761]]

     ``Sec. 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 extend 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 Administrator may 
     designate not more than 10 projects. The regulations 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 preceding calendar 
     year. In designating a project, the Administrator shall take 
     into consideration geographical, climatological, 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 subparagraph (D);
       (B) by striking ``; and'' at the end of subparagraph (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 PRIMARY 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 section 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;
       ``(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 airport, 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 projected to be realized by users of the 
     local airport system;'';
       (2) by redesignating paragraph (3) of subsection (d) as 
     paragraph (5), and by inserting after paragraph (2) of that 
     subsection the following:
       ``(3) the airport improvement priorities of the States, and 
     regional offices of the Administration, to the extent such 
     priorities are not in conflict with paragraphs (1) and (2) of 
     this subsection;
       ``(4) any increase in the number of passenger boardings in 
     the preceding 12-month period at the airport at which the 
     project will be carried out, with priority consideration to 
     be given to projects at airports at which, during that 
     period, the number of passenger boardings was 20 percent or 
     greater than the number of such boardings during the 12-month 
     period preceding that period; and'';
       (3) by redesignating the second subsection (f) as 
     subsection (g); and
       (4) by adding at the end the following:
       ``(h) Priority for Letters of Intent.--In making grants in 
     a fiscal year with funds made available under this section, 
     the Secretary shall fulfill intentions to obligate under 
     section 47110(e).''.

     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 airports 
     bearing such designation at any time is 12. The Secretary may 
     only so designate an airport (other than an airport 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 Authorization Amendments 
     and Base Closure and Realignment Act (10 U.S.C. 2687 note); 
     or
       ``(C) section 2905 of the Defense Base Closure 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 commercial passenger aircraft 
     takeoffs and landings; or
       ``(B) enhance airport and air traffic control system 
     capacity in a metropolitan area or reduce current and 
     projected flight delays.''.
       (b) Additional Designation Periods.--Section 47118(d) is 
     amended by striking ``designation.'' and inserting 
     ``designation, and for subsequent 5-fiscal-year periods if 
     the Secretary determines that the airport satisfies the 
     designation 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 inserting ``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''.
       (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 paragraph (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.''.
                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 conduct a 
     study and submit to the Congress a report on whether, 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 Federal 
     Government or providing for shared responsibilities between 
     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 security 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).
       (c) Certification of Screening Companies.--The Federal 
     Aviation Administrator is directed to certify companies 
     providing security screening and to improve the training and 
     testing of security screeners through development of uniform 
     performance standards for providing security 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:

     ``Sec. 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 services 
     described in subsection (b). The National Transportation 
     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 Transportation Safety Board 
     shall work with an air carrier involved in an accident in air 
     commerce and facilitate the procurement by that air carrier 
     of the services of family advocates who are not otherwise 
     employed 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 facilitate 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

[[Page S10762]]

       ``(D) carry out such other related duties as the National 
     Transportation Safety Board determines to be appropriate.
       ``(2) Definitions.--For purposes of this subsection, the 
     following definitions shall apply:
       ``(A) Air carrier.--The term `air carrier' has the meaning 
     provided that term in section 40102(a)(2).
       ``(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 SYSTEMS.

       (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:

     ``Sec. 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 Transportation Safety 
     Board (hereafter in this section referred to as the `Board') 
     shall, in consultation and coordination with the 
     Administrator of the Federal Aviation Administration 
     (hereafter in this section referred to as the 
     `Administrator'), develop a system for classifying air 
     carrier accident and pertinent safety data maintained by the 
     Board.
       ``(b) Requirements for Classification System.--
       ``(1) In general.--The system developed under this section 
     shall provide for the classification of accident and safety 
     data in a manner that, in comparison to the system in effect 
     on the date of enactment of this section, provides for--
       ``(A) safety-related categories that provide clearer 
     descriptions of the passenger safety effects associated with 
     air transportation;
       ``(B) clearer descriptions of passenger safety concerns 
     associated with air transportation accidents; and
       ``(C) a report to the Congress by the Board that describes 
     methods for accurately informing the public of the concerns 
     referred to in subparagraph (B) through regular reporting of 
     accident and safety data obtained through the system 
     developed under this section.
       ``(2) Public comment.--Upon developing a system of 
     classification under paragraph (1), the Board 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 accident and safety information.--
       ``(A) In general.--Not later than the date specified in 
     subsection (a), the Board shall prepare 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 include recommendations concerning 
     the adoption or revision of requirements for reporting 
     accident and safety data.
       ``(5) Recommendations of the administrator.--The 
     Administrator may, from time to time, request the Board to 
     consider revisions (including additions 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 Systems.--Section 
     44713 is amended by adding at the end the following new 
     subsection:
       ``(e) Automated Surveillance Targeting Systems.--
       ``(1) In general.--The Administrator shall give high 
     priority to developing and deploying a fully enhanced safety 
     performance analysis system that includes automated 
     surveillance to assist the Administrator in prioritizing and 
     targeting surveillance and inspection activities of the 
     Federal Aviation Administration.
       ``(2) Deadlines for deployment.--
       ``(A) Initial phase.--The initial phase of the operational 
     deployment of the system developed 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 December 31, 1999. By that date, all principal 
     operations and maintenance inspectors of the Administration, 
     and appropriate supervisors and analysts of the 
     Administration shall have been provided access to the 
     necessary information and resources to carry out the system.
       ``(3) Integration of information.--In developing the system 
     under this section, the Administration shall consider the 
     near-term integration of accident and incident data into the 
     safety performance analysis system under this subsection.''.

     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 Academy of Sciences (or 
     the head of another equivalent entity) shall establish a 
     panel (hereinafter in this section as the ``panel'').
       (2) Expertise.--Each member of the panel established under 
     this subsection shall have expertise in weapons and explosive 
     detection technology, security, air carrier and airport 
     operations, or another appropriate area. The Director of the 
     National Academy of Sciences (or the head of another 
     equivalent entity) shall ensure that the panel has an 
     appropriate number of representatives of the areas specified 
     in the preceding sentence.
       (c) Study.--The panel established under subsection (b), in 
     consultation with the National Science and Technology 
     Council, representatives of appropriate Federal 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 commercial aviation;
       (2) determine how the technologies referred to in paragraph 
     (1) may more effectively be used for promotion and 
     improvement of security at airport and aviation facilities 
     and other secured areas; and
       (3) on the basis of the assessments and determinations made 
     under paragraphs (1) and (2), identify the most promising 
     technologies for the improvement of the efficiency and cost-
     effectiveness of weapons and explosive detection.
       (d) Cooperation.--The National Science and Technology 
     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 
     provided for in subsection (c), in providing the panel, for 
     the study under this section--
       (1) expertise; and
       (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 Administrator 
     considers to be appropriate. Upon receipt of a report 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 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 security 
     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 individual who is 
     the subject of the investigation does not satisfactorily 
     account for;
       ``(ii) that individual is unable to support statements made 
     on the application of that individual;
       ``(iii) there are significant inconsistencies in the 
     information provided on the application of that individual; 
     or
       ``(iv) information becomes available during the employment 
     investigation indicating a possible conviction for one of the 
     crimes listed in subsection (b)(1)(B).''.
       (b) Applicability.--The amendment made by subsection (a)(3) 
     shall apply to individuals hired to perform functions 
     described in section

[[Page S10763]]

     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 Administrator determines to be 
     appropriate, require such employment investigations or 
     criminal history records checks for individuals performing 
     those functions on the date of enactment of this Act. Nothing 
     in section 44936 of title 49, United States Code, as amended 
     by subsection (a) precludes the Administration from 
     permitting the employment of an individual on an interim 
     basis while employment or criminal history record checks 
     required by that section are being conducted.

     SEC. 306. INTERIM DEPLOYMENT OF COMMERCIALLY AVAILABLE 
                   EXPLOSIVE DETECTION EQUIPMENT.

       Section 44913(a) is amended--
       (1) by redesignating paragraph (3) as paragraph (4); and
       (2) by inserting after paragraph (2) the following:
       ``(3) Until such time as the Administrator determines that 
     equipment certified under paragraph (1) is commercially 
     available and has successfully completed operational testing 
     as provided in paragraph (1), the Administrator shall 
     facilitate the deployment of such approved commercially 
     available explosive detection devices as the Administrator 
     determines will enhance aviation security significantly. The 
     Administrator 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 required installation of commercially 
     available equipment 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.''.

     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 computer-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 AIRPORT SECURITY 
                   PROGRAMS AND ACTIVITIES.

       (a) In General.--Notwithstanding any other provision of 
     law, funds referred to in subsection (b) may be used to 
     expand and enhance air transportation security programs 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.

     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 Administration 
     and the Director of the Federal Bureau of Investigation shall 
     carry out joint threat and vulnerability assessments on 
     security every 3 years, or more frequently, as necessary, 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 President'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 report 
     shall also assess the extent to which implementation of 
     baggage match requirements, coupled with the best available 
     technologies and methodologies, such as passenger profiling, 
     enhance domestic aviation security.

     SEC. 313. ENHANCED SECURITY PROGRAMS.

       (a) In General.--Chapter 449 is amended by adding at the 
     end of subchapter I the following:

     ``Sec. 44916. Assessments and evaluations

       ``(a) In General.--
       ``(1) Periodic assessments.--The Administrator shall 
     require each air carrier and airport (including the airport 
     owner or operator in cooperation with the air carriers and 
     vendors serving each airport) that provides for intrastate, 
     interstate, or foreign air transportation to conduct periodic 
     vulnerability assessments of the security systems of that air 
     carrier or airport, respectively. The Administration shall 
     perform periodic audits of the assessments referred to in 
     paragraph (1).
       ``(2) Investigations.--The Administrator shall conduct 
     periodic and unannounced inspections of security systems of 
     airports and air carriers to determine the effectiveness and 
     vulnerabilities of such systems. To the extent allowable by 
     law, the Administrator may provide for anonymous tests of 
     those security 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.''.

     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 implemented 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 materials transported in 
     air commerce. The report shall include an assessment of the 
     effectiveness of such changes, any additional 
     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 following:
       ``(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.--Notwithstanding section 1341 
     of title 31, United States Code, the Administrator may 
     acquire an interest in a housing unit under paragraph (1) 
     even if there is an obligation 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 Administrator 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 
     Transportation 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 housing unit is 
     the most cost-beneficial means of providing necessary 
     accommodations in carrying out this part.
       ``(4) Payment of fees.--The Administrator may pay, when 
     due, fees resulting from the acquisition of an interest in a 
     housing unit under this subsection from any amounts made 
     available to the Administrator.''.

     SEC. 402. PROTECTION OF VOLUNTARILY SUBMITTED INFORMATION.

       (a) In General.--Chapter 401 is amended by redesignating 
     section 40120 as section 40121 and by inserting after section 
     40119 the following:

     ``Sec. 40120. Protection of voluntarily submitted information

       ``(a) In General.--Notwithstanding any other provision of 
     law, neither the Administrator of the Federal Aviation 
     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 inhibit the 
     voluntary provision of that type of information and that the 
     receipt of that type of information aids in fulfilling the 
     Administrator's safety and security responsibilities; and
       ``(2) withholding such information from disclosure 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:

``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 
     Administrator of the Federal Aviation Administration shall 
     consider the extent to which Alaska is not served by 
     transportation modes other than aviation, and shall establish 
     such regulatory distinctions as the Administrator deems 
     appropriate.

     SEC. 404. SENSE OF THE SENATE REGARDING THE FUNDING OF THE 
                   FEDERAL AVIATION ADMINISTRATION.

       (a) Findings.--The Senate finds that--
       (1) the Congress is responsible for ensuring that the 
     financial needs of the Federal Aviation Administration, 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 Airport and 
     Airway Trust Fund, which provides most of 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 Administration 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 Administration's long-term 
     funding needs; and

[[Page S10764]]

       (7) without immediate action by the Congress to ensure that 
     the Federal Aviation Administration's financial needs are 
     met, air travelers' confidence in the system could be 
     undermined.
       (b) Sense of the Senate.--It is the sense of the Senate 
     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 Administration.

     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 fiscal 
     year 1997 for the purpose of addressing State-specific 
     aviation safety problems identified by the National 
     Transportation Safety Board.

     SEC. 406. SENSE OF THE SENATE REGARDING THE AIR AMBULANCE 
                   EXEMPTION FROM CERTAIN FEDERAL 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 
     transportation by helicopter for the purpose of providing 
     emergency medical services should be broadened to include air 
     transportation 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 commerce'' in 
     the section caption;
       (2) by inserting ``Safety of'' before ``Air Commerce'' in 
     the caption of subsection (a); and
       (3) by and inserting ``safety of'' before ``air commerce'' 
     in subsection (a).
       (b) Clerical Amendment.--The table of sections for chapter 
     401 is amended by striking the item relating to section 40104 
     and inserting:

``40104. Promotion of civil aeronautics and air commerce safety.''.

     SEC. 408. CARRIAGE OF CANDIDATES IN STATE AND LOCAL 
                   ELECTIONS.

       The Administrator of the Federal Aviation Administration 
     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 sounding 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
       (B) the past safety record at each grade crossing involved; 
     and
       (2) whenever the Secretary determines that supplementary 
     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 awareness 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 communities to 
     provide technical assistance and to develop a reasonable 
     schedule for the installation of those measures.

     SEC. 410. LIMITATION ON AUTHORITY OF STATES TO REGULATE 
                   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:
       ``(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 
     voyage is not described in subparagraph (B) if such voyage or 
     segment includes or consists of a segment--
       ``(i) that begins that ends in the same State;
       ``(ii) that is part of a voyage to another 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 National Park described 
     in the notice of proposed rulemaking issued on July 31, 1996, 
     at 61 Fed. Reg. 40120 et seq.

     SEC. 412. INCREASED FEES.

       Notwithstanding any other provision of law, the Surface 
     Transportation Board shall not increase fees for services in 
     connection with rail maximum rate complaints pursuant 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 Federal 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 Transportation 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 Administrator 
     shall not close the New Bern-Craven County flight services 
     station or the Hickory Regional Airport flight service 
     station unless the Administrator certifies in writing to the 
     Committee on Commerce, Science, and Transportation 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 oppression 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 Senate 
     that if evidence establishes beyond a clear and reasonable 
     doubt that any act of hostility towards any United States 
     citizen was an act of international terrorism sponsored, 
     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, beginning 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 regulations 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, responsive 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.
       ``(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 opinion under this 
     section in the case of an employee pension benefit plan, the 
     accountant shall, to the extent consistent with generally 
     accepted auditing standards, rely on the work of any 
     independent public accountant of any bank or similar 
     institution or insurance carrier regulated and supervised 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)''.
       (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 inserting ``(1) Any 
     manifest'', and
       (B) by adding at the end the following new paragraph:

[[Page S10765]]

       ``(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 information 
     described in subparagraph (B) in advance of such 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, whichever is 
     appropriate.
       ``(ii) The airline prefix code.
       ``(iii) The carrier code.
       ``(iv) The flight number.
       ``(v) The date of scheduled arrival or date of departure, 
     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.
       ``(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 inserting 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 required 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 described in 
     this subsection is as follows:
       ``(1) Full name of each passenger.
       ``(2) Date of birth and citizenship of each passenger.
       ``(3) Passport number and country of issuance of each 
     passenger.
       ``(4) Passenger name record.
       ``(5) Any additional data that the Secretary, by 
     regulation, determines is reasonably necessary to ensure 
     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 subsection:
       ``(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 enactment 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 section 70104 to read 
     as follows:

``70104. Restrictions on launches, operations, and reentries.'';

       (B) by amending the item relating to section 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 section 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 ``launching'' 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);
       (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 ``commercial 
     launch'' in subsection (b)(3);
       (M) by striking ``launch'' after ``and transfer 
     commercial'' in subsection (b)(3); and
       (N) by inserting ``and development of reentry sites,'' 
     after ``launch-site support facilities,'' in subsection 
     (b)(4);
       (3) in section 70102--
       (A) by striking ``and any payload'' and inserting 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 following new 
     paragraphs:
       ``(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 paragraph (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;
       (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:

     ``Sec. 70104. Restrictions on launches, operations, and 
       reentries'';

       (B) by inserting ``or reentry site, or to reenter 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.--'';
       (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 inserting in lieu 
     thereof ``, operation, or reentry'' in subsection (b)(2)(A);
       (7) in section 70106(a)--
       (A) by inserting ``or reentry site'' after ``observer 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:

     ``Sec. 70108. Prohibition, suspension, and end of launches, 
       operation of launch sites and reentry sites, and 
       reentries'';

     and
       (B) in subsection (a)--
       (i) by inserting ``or reentry site, or reentry 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:

     ``Sec. 70109. Preemption of scheduled launches or 
       reentries'';

       (B) in subsection (a)--
       (i) by inserting ``or reentry'' after ``ensure that a 
     launch'';
       (ii) by inserting ``, reentry site,'' after ``United States 
     Government launch site'';
       (iii) by inserting ``or reentry date commitment'' 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
       (vii) by inserting ``or reentry'' after ``the scheduled 
     launch''; and
       (C) in subsection (c), by inserting ``or reentry'' 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);

[[Page S10766]]

       (D) by inserting ``or reentry'' after ``commercial launch'' 
     both places it appears in subsection (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 ``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 subsection (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 subsection (b);
       (D) by inserting ``applicable'' after ``carried out under 
     the'' in paragraphs (1) and (2) of subsection (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 reentry'' after 
     ``launch site'' in subsection (e);
       (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 reenter a reentry 
     vehicle'' after ``operate a launch site'' in subsection (a);
       (B) by inserting ``or reentry'' after ``approval of a space 
     launch'' in subsection (d);
       (C) by amending subsection (f) to read as follows:
       ``(f) Launch Not an Export; Reentry Not an Import.--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, operation 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 licensed 
     commercial space launch or reentry activities.'';
       (D) by striking ``and'' at the end of subsection (b)(2)(B);
       (E) by striking the period at the end of subsection 
     (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 accepting or 
     rejecting an application for a license under this chapter 
     within 60 days after receipt of such application.''; 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 subsection.
       (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:
       ``(A) activities directly related to the preparation 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 Reentries''; 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 
     Representatives 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 subparagraph 
     (B) the following:
     ``The Secretary shall establish criteria and procedures for 
     determining the priority of competing requests from the 
     private 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 following 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, reentry, or 
     site operator'' after ``carried out under a''.
       (c) Regulations.--(1) Chapter 701 of title 49, United 
     States Code, is amended by adding at the end the following 
     new section:

     ``Sec. 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--
       ``(1) guidelines for industry to obtain sufficient 
     insurance coverage for potential damages to third parties;
       ``(2) procedures for requesting and obtaining licenses to 
     operate a commercial launch vehicle and reentry vehicle;
       ``(3) procedures for requesting and obtaining operator 
     licenses for launch and reentry; and
       ``(4) procedures for the application of government 
     indemnification.''.
       (2) The table of sections for such chapter 701 is amended 
     by adding after the item relating to section 70119 the 
     following new item:

``70120. Regulations.''.
  TITLE VI--AIR TRAFFIC MANAGEMENT SYSTEM PERFORMANCE IMPROVEMENT ACT

     SEC. 601. SHORT TITLE.

       This title may be cited as the ``Air Traffic Management 
     System Performance Improvement Act of 1996''.

     SEC. 602. DEFINITIONS.

       For the purposes of this title, the following definitions 
     shall apply:
       (1) Administration.--The term ``Administration'' means the 
     Federal Aviation Administration.
       (2) Administrator.--The term ``Administrator'' means the 
     Administrator of the Federal Aviation 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 government 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 benefit received by the general public, military, and 
     other users of Administration's services.
       (3) The Administration must become a more efficient, 
     effective, and different organization to meet future 
     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 receipts 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 recognize 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 effective airport expansion 
     and system modernization, these needs cannot be met.
       (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 government 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,

[[Page S10767]]

     an independent review must be performed to assess the funding 
     needs and assumptions for operations, capital spending, 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 operational 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 
     Administration 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 technology by the 
     Administration.
       (16) Without reforms in the areas of procurement, 
     personnel, funding, and governance, the Administration 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.

     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 Administration within 
     18 months after the date of their publication;
       (2) to permit the Administration, with Congressional 
     review, to establish a program to improve air traffic 
     management system performance and to establish appropriate 
     levels of cost accountability for air traffic management 
     services provided by the Administration;
       (3) to establish a more autonomous and accountable 
     Administration within the Department of Transportation; 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 safety of the traveling 
     public.

     SEC. 623. REGULATION OF CIVILIAN AIR TRANSPORTATION AND 
                   RELATED SERVICES BY THE FEDERAL AVIATION 
                   ADMINISTRATION AND DEPARTMENT 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 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 Administrator.--
       ``(1) Authority of the secretary.--Except as provided in 
     paragraph (2), the Secretary of Transportation 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 Administration relating 
     to--
       ``(i) except as otherwise provided in paragraph (3), the 
     promulgation of regulations, rules, orders, circulars, 
     bulletins, and other official publications of the 
     Administration; and
       ``(ii) any obligation imposed on the Administrator, or 
     power conferred on the Administrator, by the Air Traffic 
     Management System Performance Improvement Act 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 provision of law to the contrary, 
     shall not be required to coordinate, submit for approval or 
     concurrence, or seek the advice or views of the Secretary or 
     any other officer or employee of the Department of 
     Transportation on any matter with respect to which the 
     Administrator is the final authority.
       ``(3) Definition of political appointee.--For purposes of 
     this subsection, the term `political appointee' means any 
     individual who--
       ``(A) is employed in a position on the Executive 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, respectively; or
       ``(C) is employed in a position in the executive 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.--Nothing 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 paragraph (4); and
       (2) by inserting after paragraph (2) the following:
       ``(3) Regulations.--
       ``(A) In general.--In the performance of the functions of 
     the Administrator and the Administration, the Administrator 
     is authorized to issue, rescind, and revise such regulations 
     as are necessary to carry out those functions. The issuance 
     of such regulations shall be governed by the provisions of 
     chapter 5 of title 5. The Administrator shall act upon all 
     petitions for rulemaking no later than 6 months after the 
     date such petitions are filed by dismissing such petitions, 
     by informing the petitioner of an intention to dismiss, or by 
     issuing a notice of proposed rulemaking or advanced notice of 
     proposed rulemaking. 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 rulemaking 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 transportation.--
       ``(i) The Administrator may not issue a proposed regulation 
     or final regulation 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 Improvement 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, productivity, competition, jobs, the 
     environment, public health or safety, or State, local, or 
     tribal governments or communities;
       ``(II) create a serious inconsistency or otherwise 
     interfere with an action taken or planned by another agency;
       ``(III) materially alter the budgetary 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 Administrator may issue a 
     regulation described in clause (i) without prior approval by 
     the Secretary, but any such emergency regulation is subject 
     to ratification by the Secretary after it is issued and shall 
     be rescinded by the Administrator within 5 days (excluding 
     Saturdays, Sundays, and legal public holidays) after issuance 
     if the Secretary fails to ratify its issuance.
       ``(iii) Any regulation that does not meet the criteria of 
     clause (i), and any regulation or other action that is a 
     routine or frequent action or a procedural action, may be 
     issued by the Administrator without review or approval by the 
     Secretary.
       ``(iv) The Administrator shall submit a copy of any 
     regulation requiring approval by the Secretary under clause 
     (i) to the Secretary, 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 enactment of the Air Traffic 
     Management System Performance Improvement Act of 1996, the 
     Administrator 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 effective date of the regulation to determine if 
     the cost assumptions were accurate, the benefit of the 
     regulations, and the need to continue such regulations 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 issued before the date of enactment of 
     the Air Traffic Management System Performance Improvement Act 
     of 1996 and that have been in force for more than 3 years.
       ``(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 
     governments 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).''.


  

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