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Page:United States Statutes at Large Volume 92 Part 2.djvu/444

 92 STAT. 1724

PUBLIC LAW 95-504—OCT. 24, 1978 " P R O C E D U R E S FOR P R O C E S S I N G APPLICATION S rOR PERMITS

Rules.

"(h) The Board shall promulgate rules establishing simplified procedures for— "(1) the disposition of applications for a permit to engage in foreign air transportation pursuant to this section; and "(2) the alteration, amendment, modification, suspension, or transfer of all or any part of any permit pursuant to subsection (f) of this section. Such rules shall provide for adequate notice and an opportunity for all interested persons to file appropriate written evidence and argument, but need not provide for oral evidentiary hearings.". (2) That portion of the table of contents contained in the first section of such Act which appears under the side heading

Notice.

"Sec. 402. Permits to foreign air carriers."

is amended by inserting at the end thereof " (h) Procedures for processing applications for permits.". NOTICE OF TARIFF CHANGES

SEC. 22. Section 403(c) of the Federal Aviation Act of 1958 (49 U.S.C. 1373 (c)) is amended to read as follows: u NOTICE OF TARIFF CHANGES

•,

-• '

49 USC 1482.

"(c)(1) Except as provided in paragraph (2) of this subsection, no change shall be made in any rate, fare, or charge, or any classification, rule, regulation, or practice affecting such rate, fare, or charge, or the value of the service thereunder, specified in any effective tariff of any air carrier until thirty days after notice of the proposed change has been filed, posted, and published in accordance with subsection (a) of this section, except the Board may establish an alternative notice requirement, of not less than twenty-five days, to allow an air carrier to match the fares or charges specified in another air carrier's proposed tariff. Any notice specified under this subsection shall plainly state the change proposed to be made and the time such change will take effect. "(2) If the effect of any proposed tariff change would be to institute a fare that is outside of the applicable range of fares specified in subparagraphs (A) and (B) of section 1002(d)(4) of this Act, or specified by the Board under section 1002(d)(7) of this Act, or would be to institute a fare to which such range of fares does not apply, then such proposed change shall not be implemented except after sixty days' notice filed in accordance with regulations prescribed by the Board. "(3) In exercising its power to suspend tariffs under sections 1002(g) and 1002(j) of this Act, the Board shall file and deliver a statement in writing of its reasons for such suspension, as required under section 1002(g), at least thirty days before the date on which the affected tariff would otherwise go into effect.". RATES OF CARRIAGE FOR PERSONS AND PROPERTY

49 USC 1386.

SEC. 23. Section 404(a)(1) of the Federal Aviation Act of 1958 (49 U.S.C. 1374(a)(1)) is amended by inserting "authorized to engage in scheduled air transportation by certificate or by exemption under section 416(b)(3) of this title" immediately before the first semicolon.

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Page:United States Statutes at Large Volume 92 Part 2.djvu/445

 •-V »-««i^a^»^"'^

PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1725

3IAIL AND COMPENSATION

SEC. 24. (a)(1) Clause (3) of the second sentence of section 406(b) of the Federal Aviation Act of 1958 (49 U.S.C. 1376(b)) is amended to read as follows: " (3) the need of each such air carrier (other than a charter air carrier) for compensation for the transportation of mail sufficient to insure the performance of such service, and— "(A) durino; the period beginning on the date of enactment of this clause and ending on January 1, 1983, both dates inclusive, together with all other revenue of the air carrier from the service for which the compensation is being paid; and " (B) after January 1, 1983, together with all other revenue of the air carrier; to enable such air carrier under honest, economical, and efficient managemeiit, to provide (except for modifications with respect to an individual point determined after January 1, 1983, to be required by the public interest, after giving interested parties an opportunity for an evidentiary hearing with respect to air transportation for such individual point) air transportation of at least the same extent, character, and quality as that provided during the year ending December 31, 1977, to maintain and continue the development of air transportation to the extent and of the character and quality required for the commerce of the United States, the Postal Service, and the national defense.". (2) Section 406(b) of the Federal Aviation Act of 1958 is amended by inserting after the second sentence the following new sentences: ''Xotwithstanding any other provision of this section, rates of compensation paid to any carrier under this section for service performed between the date of enactment of this sentence and January 1, 1983, shall be based on the subsidy need of such carrier with respect to service performed to points for which such carrier was entitled to receive compensation for serving during calendar year 1977. In the case of any local service carrier, such subsidy need shall be based on the adjusted eligible need of such carrier determined in a matter consistent with the provisions of Local Service Class Subsidy Kate VIII, with technical adjustments, and in the case of any other carrier receiving compensation during the twelve months ended June 30, 1978, such subsidy need shall be determined pursuant to the method in effect during the tAvelve months ended June 30, 1978. Any air carrier receiving compensation from the Board pursuant to this section which, before January 1, 1986, terminates service to a point for which such compensation is paid shall not, if such service is resumed by such air carrier, be eligible for compensation from the Board under this section for such service. Nothing in this subsection shall be construed as prohibiting any air carrier specified in the preceding sentence from applying for and receiving compensation for such service under section 419 of this title.". (b) Subsection (c) of such section 406 (49 U.S.C. 1376(c)) is amended by adding at the end thereof the following new sentence: "The Board shall make no payments under this section for any services performed after January 1, 1986.". LOCAL SERVICE AIR CARRIER COMPENSATION

SEC. 25. (a) The last sentence of section 406(b) of the Federal Aviation Act of 1958 (49 U.S.C. 1376(b)) is amended as follows: (1) By striking out "the year 1966" and inserting in lieu thereof "the years 1964, 1965, and 1966".

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license: Creative Commons - Attribution Share-Alike - https://creativecommons.org/licenses/by-sa/4.0/


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Page:United States Statutes at Large Volume 92 Part 2.djvu/446

 92 STAT. 1726

49 USC 1376 °*'*®-

PUBLIC LAW 95-504—OCT. 24, 1978 (2) By striking out "Rate III - A " and inserting in lieu thereof "Rates III and III - A ". (3) By striking out "order E-23850 (44 CAB 637 et seq.)" and inserting in lieu thereof "orders E-21311 and E-23850 (41 CAB 138 et seq. and 44 CAB 637 et seq.)". (b) Section 12(b) of Public Law 95-163, Ninety-fifth Congress, approved November 9, 1977, is amended by striking out "the year 1966" and inserting in lieu thereof "the year 1964, 1965, or 1966". MERGERS AND CONTROL

SEC. 26. (a) Section 408 of the Federal Aviation Act of 1958 (49 U.S.C. 1378) is amended as follows: (1) Subsection (a) of such section 408 (49 U.S.C. 1378(a)) is amended to read as follows: ,

.

 * ».> f

" ACT S PROHIBITED

"SEC. 408. (a) Except as provided in subsection (b) of this section, it shall be unlawful— " (1) for two or more air carriers, or for any air carrier and any other common carrier or any person substantially engaged in the business of aeronautics, to consolidate or merge their properties, or a substantial portion thereof, into one person for the ownership, management, or operation of the properties previously in separate ownerships; "(2) for any air carrier, any person controlling an air carrier, any other common carrier, or any person substantially engaged in the business of aeronautics, to purchase, lease, or contract to operate all or a substantial portion of the properties of any air carrier; "(3) for any air carrier or person controlling an air carrier to purchase, lease, or contract to operate all or a substantial portion of the properties of any person substantially engaged in the business of aeronautics otherwise than as an air carrier; "(4) for any foreign air carrier or person controlling a foreign air carrier to acquire control in any manner whatsoever of any citizen of the United States substantially engaged in the business of aeronautics; " (5) for any air carrier or person controlling an air carrier, any other common carrier, or any person substantially engaged in the business of aeronautics to acquire control of any air carrier in any manner whatsoever; "(6) for any air carrier or person controlling a certificated air carrier to acquire control, in any manner whatsoever, of any person substantially engaged in the business of aeronautics other than as an air carrier; or " (7) for any person to continue to maintain any relationship established in violation of any of the foregoing paragraphs of t i l l s SUll^SGCtlOIl •

(2) Subsection (b) of such section 408 (49 U.S.C. 1378(b)) is amended to read as follows: uPOWER OF BOARD

"(b)(1) In any case in which one or more of the parties to a consolidation, merger, purchase, lease, operating contract, or acquisition of control, specified in subsection (a) of this section is an air carrier

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Page:United States Statutes at Large Volume 92 Part 2.djvu/447

 •"I****""

PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1727

holding a valid certificate issued by the Board under section 401(d) of this section to engage in interstate or overseas air transportation, a Ante, p. 1712. foreign air carrier, or a person controlling, controlled by, or under common control with, such an air carrier or a foreign air carrier, the person seeking approval of such transaction shall present an application to the Board, and, at the same time, a copy to the Attorney General and the Secretary of Transportation, and thereupon the Board shall notify the persons involved in the transaction and other persons known to have a substantial interest in the proceeding, of the manner in which the Board will proceed in disposing of such application. Unless, after a hearing, the Board finds that th^ transaction Avill not be consistent with the public interest or that the conditions of this section will not be fulfilled, it shall, by order, approve such transaction, upon such terms and conditions as it shall find to be just and reasonable and with such modifications as it may prescribe, except the Board shall not approve such transaction— " (A) if it would result in a monopoly or would be in furtherance Monopolization, of any combination or conspiracy to monopolize or to attempt to monopolize the business of air transportation in any region of the United States; or "(B) the effect of which in any region of the United States may Competition, be substantially to lessen competition, or to tend to create a monopoly, or which in any other manner would be in restraint of trade, unless the Board finds that the anticompetitive effects of the proposed transaction are outweighed in the public interest by the probable effect of the transaction in meeting significant transportation conveniences and needs of the public, and unless it finds that such significant transportation conveniences and needs may not be satisfied by a reasonably available alternative having, materially less anticompetitive effects. The party challenging the transaction shall bear the burden of provin/^r the anticompetitive effects of such transaction, and the proponents of the transaction shall bear the burden of proving that it meets the significant transportation conveniences and needs of the public and that such conveniences and needs may not be satisfied by a less anticompetitive alternative. " (2) In any case in which the Board determines that the transaction Notice. which is the subject of the application does not affect the control of an Publication air carrier directly engaged in the operation of aircraft in air trans- in Federal portation, and determines that neither the Attorney General, nor the Register. Secretary, nor any other person disclosing a substantial interest in the transaction then currently is requesting a hearing, the Board, no sooner than 30 days after publication in the Federal Register of notice of the Board's intention to dispose of such application without a hearing (a copy of which notice shall be furnished by the Board to the Attorney General and the Secretary not later than the day following the date of such publication), may determine that the public interest does not require a hearing and, in accordance with the standards set forth in subparagraphs (A) and (B) of paragraph (1) of this subsection, by order, approve or disapprove such transaction. "(3)(A) In any case in which none of the parties to a consolidation, merger, purchase, lease, operating contract, or acquisition of control, specified in subsection (a) of this section, is an air carrier holding a valid certificate issued by the Board under section 401(d) of this title to engage in interstate or overseas air transportation, a foreign air carrier, or a person controlling, controlled by, or under common control with, such an air carrier or a foreign air carrier, any person seeking

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Page:United States Statutes at Large Volume 92 Part 2.djvu/448

 92 STAT. 1728

"; Application filing.

.:-.

49 USC 1378.

PUBLIC LAW 95-504—OCT. 24, 1978 approval of such transaction shall file with the B o a r d not later than the forty-fifth day before the effective date of such transaction, a statement of its intent to enter into any of the prohibited acts set forth in subsection (a) of this section. The B o a r d may, within forty-five days after the date of such filing, require such person to file an application for approval pursuant to the requirements of paragraph (1) of this subsection if it finds either that the proposed transaction may monopolize, tend to monopolize, or otherwise restrain competition in air transportation in any section of the country or that the person may not be fit, willing, and able to properly perform the transportation authorized by any license which is a part of such transaction and to conform to the provisions of this Act and the rules, regulations, and requirements of the Board issued pursuant to this Act. Subject to subparagraph (B) of this paragraph, if the Board fails to require such person to file an application pursuant to such paragraph (1) within such forty-five days, the proposed transaction shall not be subject to subsection (a) of this section. " (B) If the Board determines that any transaction is not subject to subsection (a) of this section as a result of the last sentence of subparagraph (A) of this paragraph and such transaction received such statutory exemption due to any fraud, misrepresentation, or omission of relevant and material facts, the B o a r d may, pursuant to rules which it is authorized to prescribe, make such transaction subject to subsection (a) of this section.". (b) Section 408(c) of such Act is amended by inserting "any person controlling such air carrier," after "air carrier," the first place it appears in such subsection. INTERLOCKS

SEC. 27. (a) Section 409 of the Federal Aviation Act of 1958 (49 U.S.C. 1379) is amended by striking out the center heading of such section and the center heading for subsection (a) of such section and inserting in lieu thereof the following section center heading: "INTERLOCKING

Repeal.

RELATIONSHIPS".

(b) Section 409 of the Federal Aviation Act of 1958 is also amended by striking out " SEC. 409. (a) " and inserting in lieu thereof " SEC. 409.". (c) Section 409 (as amended by subsections (a) and (b) of this section) is amended as follows: (1) Paragraph s (1), (2), and (3) are each amended by striking out "is engaged in any phase of" and inserting in lieu thereof "is substantially engaged in the business of". (2) Paragraph s (4), (5), and (6) are each amended by striking out "engaged in any phase of" and inserting in lieu thereof "substantially engaged in the business of". (d) Section 409(b) of the Federal Aviation Act of 1958 (49 TJ.S.C. 1379 (b)) is hereby repealed. (e) That portion of the table of contents contained in the first section of the Federal Aviation Act of 1958 which appears under the center heading "TITLE IV—AIR CARRIER ECONOMIC REGULATION"

is amended by striking out "Sec. 409. Prohibited interests. "(a) Interlocldng relationships. "(b) Profit from transfer of securities." and inserting in lieu thereof "Sec. 409. Interlocking relationships.".

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Page:United States Statutes at Large Volume 92 Part 2.djvu/449

 PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1729

AGREEMENTS

SEC. 28. (a) Section 412(a) of the Federal Aviation Act of 1958 (49 U.S.C. 1382(a)) is amended— (1) by inserting in the subsection center heading "AFFECTING FOREIGN AIR TRANSPORTATION" immediately after "AGREEMENTS"; and (2) by inserting "foreign" immediately after "affecting". (b) Section 412(b) of such Act is amended by inserting "affecting foreign air transportation" immediately after "agreement" each place it appears in such section. (c) Section 412 of such Act is further amended by adding at the end thereof the following new subsections: "FILING

AND

APPROVAL

OF

AGREEMENTS

AFFECTING

INTERSTATE OR

OVERSEAS AIR TRANSPORTATION

"(c)(1) Any air carrier may file with the Board a true copy, or, if oral, a true and complete memorandum, of any contract or agreement (whether enforceable by provisions for liquidated damages, penalties, bonds, or otherwise), or a request for authority to discuss possible cooperative working arrangements, affecting interstate or overseas air transportation and in force on the effective date of this subsection, or thereafter entered into, or any modification or cancellation thereof, between such air carrier and any other air carrier, foreign air carrier, or other carrier. "(2)(A) The Board shall by order disapprove any contract, agreement, or request filed pursuant to paragraph (1) of this subsection, whether or not previously approved by it, that it finds to be adverse to the public interest or in violation of this Act, and shall by order approve any contract, agreement, or request, or any modification or cancellation thereof, that it does not find to be adverse to the public interest, or in violation of this Act, except that.— "(i) the Board may not approve or, after periodic review, continue its approval of any such contract, agreement, or request, or any modification or cancellation thereof, which substantially reduces or eliminates competition, unless it finds that the contract, agreement, or request is necessary to meet a serious transportation need or to secure important public benefits and it does not find that such need can be met or such benefits can be secured by reasonably available alternative means having materially less anticompetitive effects; "(ii) the Board may not approve any contract or agreement between an air carrier not directly engaged in the operation of aircraft in air transportation and a common carrier subject to the Interstate Commerce Act, as amended, governing the compensation to be received by such common carrier for transportation services performed by it; and "(iii) the Board may not approve any such contract or agreement, or any modification or cancellation thereof, that limits the level of capacity among air carriers in markets in which they compete, that fixes rates, fares, or charges between or among air carriers (except for joint rates, fares, or charges). "(B) I n any proceeding before the Board involving the application of the standards set forth in subparagraph (A)(i) of this paragraph, the party opposing the proposed contract, agreement, or request shall have the burden of proving the reduction or elimination of competition, and the availability of alternative means having less anticompeti-

39-194 O—80—pt. 2—-29: QL3

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Page:United States Statutes at Large Volume 92 Part 2.djvu/450

 9 2 STAT. 1730

PUBLIC LAW 95-504—OCT. 24, 1978 tive effects, and the party defending the proposed contract, agreement, or request shall have the burden of proving transportation need or public benefits. " (C) The findings required by subparagraph (A)(i) of this paragraph, shall be included in any order of the B o a r d approving or disapproving any contract or agreement, or any memorandum of any contract or agreement, or any modification or cancellation thereof, or any request. "PROCEEDINGS UPON

Written notice.

Hearings.

FILING

" (d) Upon the filing of any contract or agreement, or any modification or cancellation thereof, or any request for authority to discuss possible cooperative working arrangements, pursuant to subsection (a) or (c) of this section, the Board, in accordance with regulations which it prescribes, shall provide to the Attorney General and the Secretary of Transportation written notice of, and an opportunity to submit written comments on, the filed document. The B o a r d may, upon its own initiative or if requested by the Attorney General or such Secretary, hold a hearing, in accordance with regulations prescribed by the Board, to determine if a contract or agreement, or request for discussion authority, whether or not previously approved, is consistent with the provisions of this Act.". (d) That portion of the table of contents which appears under the side heading "Sec. 412. Pooling and other agreements." is amended by striking out i"(a) Filing of agreements required. ' "(b) Approval by Board." • and inserting in lieu thereof "(a) Filing of agreements affecting foreign air transportation required. "(b) Approval by Board. "(c) Filing and approval of agreements affecting interstate or overseas air transportation. "(d) Proceedings upon filing.". MUTUAL AID AGREEMENTS
 * V

SEC. 29. (a) Section 412 of the Federal Aviation Act of 1958 (49 U.S.C. 1382) is amended by adding at the end thereof the following new subsection: " M U T U A L AID AGREEMENTS

" (e)(1) Notwithstanding any other provision of law, any mutual aid agreement between air carriers which was approved by the B o a r d before the date of enactment of this subsection and which is in effect on such date of enactment shall be deemed disapproved and not in effect on and after such date of enactment. " (2) No air carrier shall enter into any mutual a i d agreement with any ottier air carrier, unless such air carrier files a t r u e copy of such agreement w i t h the B o a r d and the Board approves such agreement pursuant to the provisions of this section. Notwithstanding subsection (c) of this section, the B o a r d shall not approve any such agreement unless such agreement provides (A) that any air carrier will not receive payments for any period which exceed 60 per centum of the direct operating expenses during such period, (B) that benefits under the agreement are not payable for more than eight weeks during any labor strike, and that such benefits may not be for losses incurred

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Page:United States Statutes at Large Volume 92 Part 2.djvu/451

 PUBLIC LAW 95-504—OCT. 24, 1978 during the first thirty days of any labor strike, and (C) that any party to such agreement will agree to submit the issues causing any labor strike to binding arbitiation pursuant to the Railway Labor Act if the striking employees request such binding arbitration. " (3) For purposes of this subsection, the term— " (A) 'mutual aid agreement' means any contract or agreement between air carriers which provides that any such air carrier will receive paymejits from the other air carriers which are parties to such contract or agreement for any period during which such air carrier is not engaging in air transportation, or is providing reduced levels of service in air transportation, due to a labor strike; and "(B) 'direct operating expenses' includes interest expenses but does not include depreciation or amortization expenses.". (b) That portion of the table of contents contained in the first section of the Federal Aviation Act of 1958 which appears under the side heading

92 STAT. 1731

45 USC 151. "Mutual aid agreement."

"Direct operating expenses."

"Sec. 412. Pooling and other agreements."

is amended by inseiting at the end thereof " (e) Mutual aid agreements.". ANTITRUST

EXEMPTION

SEC. 30. (a) Section 414 of the Federal Aviation Act of 1958 (49 U.S.C. 1384) is amended to read as follows: "ANTITRUST EXEMPTION

"SEC. 414. In any order made under section 408, 409, or 412 of this Act, the Board may, as part of such order, exempt any person affected by such order from the operations of the 'antitrust laws' set forth in subsection (a) of the first section of the Clayton Act (15 U.S.C. 12) to the extent necessary to enable such person to proceed with the transaction specifically approved by the Board in such order and those transactions necessarily contemplated by such order, except that the Board may not exempt such person unless it determines that such exemption is required in the public interest.". (b) That portion of the table of contents contained in the first section of such Act which appears under the center heading " TITLE IV—AIK CARRIER ECONOMIC REGULATION"

is amended by striking out "Sec. 414. Legal restraints."

and inserting in lieu thereof

"Sec. 414. Antitrust exemption.". EXEMPTION

AUTHORITY

SEC. 31. (a) Section 416(b)(1) of the Federal Aviation Act of 1958 (49 U.S.C. 1386(b)(1)) is amended to read as follows: 'EXEMPTIONS

"(b)(1) Except as provided in paragraph (2) of this subsection, the Board, from time to time and to the extent necessary, may exempt from the requirements of this title or any provision thereof, or any rule.

49 USC 1378, 1379, 1382.

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Page:United States Statutes at Large Volume 92 Part 2.djvu/452

 92 STAT. 1732

49 USC 1386.

PUBLIC LAW 95-504—OCT. 24, 1978 regulation, term, condition, or limitation prescribed thereunder, any person or class of persons if it finds that the exemption is consistent with the public interest. (b) Section 416(b) of such Act is amended by adding at the end thereof the following new paragraph: "(3) The Board may by order relieve foreign air carriers who are not directly engaged in the operation of aircraft in foreign air transportation from the provisions of this Act to the extent and for such periods as such relief may be in the public interest.". COMMUTER EXEMPTION

49 USC 1371.

Infra.

SEC. 32. Section 416(b) of the Federal Aviation Act of 1958 (49 TJ.S.C. 1386(b)) is further amended by adding at the end thereof the following new paragraphs: "(4) Subject to paragraph (5) of this subsection, any air carrier in air transportation which provides (A) passenger service solely with aircraft having a maximum passenger capacity of less than fifty-six passengers, or (B) cargo service in air transportation solely with aircraft having a maximum payload capacity of less than eighteen thousand pounds, shall be exempt from the requirements of subsection (a) of section 401 of this title, and of such other sections of this Act as may be prescribed in regulations promulgated by the Board, if such air carrier conforms to such liability insurance requirements and such other reasonable regulations as the Board shall from time to time adopt in the public interest. The Board may by regulation increase the passenger or property capacities specified in this paragraph when the public interest so requires. "(5) The exemption from section 401 of this title or any other requirement of this Act shall not apply to any air transportation by any air carrier between points both of which are in the State of Alaska, or one of which is in the State of Alaska and the other in Canada, unless such air carrier also holds authority to provide such air transportation from the State of Alaska. "(6) Any air carrier operating within the State of Alaska pursuant to the exemption from section 401 of this title shall not be subject to any limitation, promulgated by the Board, on the number or location of points to be served by such air carrier, or any limitation on the frequency of service by such air carrier to points within such State, unless the Board, after a hearing, finds that the opefa.tion of such air carrier substantially impairs the ability of a certificated air carrier to provide the service authorized by its certificate, including but not limited to, the minimum service requirement for such State specified in Section 419(c)(2) of this title.". SMALL COMMUNITY AIR SERVICE

SEC. 33. (a) Title IV of the Federal Aviation Act of 1958 is amended by adding at the end thereof the following new section. "SMALL COMMUNITY AIR SERVICE "GUARANTEED ESSENTIAL AIR TRANSPORTATION

"Eligible point." 49 USC 1389.

"SEC. 419. (a)(1) For purposes of this subsection, the term 'eligible point' means any point in the United States to which, on the date of enactment of this section, any air carrier— " (A) is providing service pursuant to a certificate issued to such carrier under section 401 of this title; or

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Page:United States Statutes at Large Volume 92 Part 2.djvu/453

 PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1733

"(B) is authorized pursuant to such certificate to provide such service, but such service is suspended on such date of enactment. "(2)(A) With respect to each eligible point which on the date of enactment of this section is served by not more than one air carrier holding a certificate issued under section 401 of this title, not later 49 USC 1371. than the last day of the one-year period beginning on such date of enactment, the Board, after considering the views of any interested community and the State agency of the State in which such community is located, shall determine what is essential air transportation for such point. "(B) With respect to any eligible point which on the date of enactment of this section is served by more than one air carrier holding a certificate issued under section 401 of this title and which thereafter receives service by not more than one such air carrier, not later than the last day of the six-month period beginning on the date on which the Board receives notice that service to such point will be provided by not more than one such air carrier, the Board, after considering the views of any interested community and the State agency of the State in which such community is located, shall determine what is essential air transportation to such point. "(C) The Board shall periodically review the determination of Review, what is essential air transportation to each eligible point, and may, based upon such review and consultations with any interested community and the State agency of the State in which such community is located, make appropriate adjustments as to what is essential air transportation to such point. "(3) No air carrier shall terminate, suspend, or reduce air transportation to any eligible point below the level of essential air transportation established by the Board under paragraph (2) unless such air carrier— " (A) if such air carrier— "(i) holds a certificate issued under section 401 of this title, or "(ii) does not hold such a certificate, but is receiving compensation pursuant to paragraph (5) of this subsection for service to such eligible point, has given the Board, the appropriate State agency or agencies, and the communities affected at least ninety days notice prior to such termination, suspension, or reduction; and "(B) if such air carrier does not hold such a certificate and is not receiving compensation pursuant to paragraph (5) of this subsection for service to such eligible point, has given the Board, the appropriate State agency or agencies, and the communities affected at least thirty days notice prior to such termination, suspension, or reduction. _ " (4) Whenever the Board determines that essential air transportation will not be provided to any eligible point without compensation— "(A) the Board shall provide notice that applications may be submitted by any air carrier which is willing to provide essential air transportation to such point for compensation under this subsection. In selecting an applicant to provide essential air transportation to such point for compensation the Board shall, among other factors, specifically consider— "(i) the desirability of developing an integrated linear system of air transportation whenever such a system most adequately meets the air transportation needs of the communities involved;

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Page:United States Statutes at Large Volume 92 Part 2.djvu/454

 92 STAT. 1734

49 USC 1386. Compensation rate, establishment.

Service extension. Ante, p. 1720.

49 USC 1376.

Losses, compensation.

49 USC 1371.

PUBLIC LAW 95-504—OCT. 24, 1978 " (ii) the experience of the applicant in providing scheduled air service in the vicinity of the communities for which essential air transportation is proposed to be provided; and "(iii) notwithstanding the provisions of clause (ii), with respect to any eligible point in the State of Alaska, the experience of an applicant in providing scheduled air service, or significant patterns of nonscheduled air service pursuant to an exemption granted pursuant to section 416 of this title, in Alaska; and "(B) the Board shall establish, in accordance with the guidelines promulgated under subsection (d) of this section, a rate of compensation to be paid for providing such essential air transportation. "(5) The Board shall make payments of compensation under this subsection at times and in a manner determined by the Board to be appropriate. The Board shall continue to pay compensation to any air carrier to provide essential air transportation to any eligible point only for so long as the Board determines it is necessary in order to maintain essential air transportation to such eligible point. "(6) Notwithstanding section 401(j) of this title, if an air carrier has provided notice to the Board under paragraph (3) of such air carrier's intention to suspend, terminate, or reduce service to any eligible point below the level of essential air transportation to such point, and if at the conclusion of the applicable period of notice the Board has not been able to find another air carrier to provide essential air transportation to such point, the Board shall require the carrier which provided such notice to continue such service to such point for an additional 30-day period, or until another air carrier has begun to provide essential air transportation to such point, whichever first occurs. If at the end of such 30-day period the Board determines that no other air carrier can be secured to provide essential air transportation to such eligible point on a continuing basis, either with or without compensation, then the Board shall extend such requirement for such additional 30-day periods (making the same determination at the end of each such period) as may be necessary to continue air transportation to such eligible point until an air carrier can be secured to provide essential air transportation to such eligible point on a continuing basis. " (7)(A) If any air carrier (i) which is providing air transportation to any eligible point, and (ii) which is receiving compensation under this subsection or under section 406 of this title for providing such air transportation to such point, is required by the Board to continue service to such point beyond the date on which such air carrier would, but for paragraph (6) of this subsection, be able to suspend, terminate, or reduce service to such point below the level of essential air transportation to such point, then after such date such air carrier shall continue to receive such compensation until the Board finds another air carrier to provide essential air transportation to such point. "(B) If the Board requires an air carrier which holds a certificate issued under section 401 of this title and which is providing air transportation to any eligible point without compensation pursuant to paragraph (5) of this subsection or section 406 of this title to continue to provide essential air transportation to such point beyond the 90-day notice period after which, but for paragraph (6) of this subsection, such air carrier would be able to suspend, terminate, or reduce service to such point below essential air transportation for such point, then the Board shall compensate such air carrier for any losses that the air carrier incurs in complying with this subparagraph after the last day of such 90-day period, except that the Board shall not make any pay-

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 PUBLIC LAW 95-504^OCT. 24, 1978

92 STAT. 1735

ments under this subparagraph, to any trunk air carrier for service to such point after the last day of the one-year period beginning on the date on which any payment is made to such air carrier under this subparagraph for service to such point. "(C) If the Board requires an air carrier which does not hold a certificate issued under section 401 of this title, but which is providing air transportation to any eligible point without compensation pursuant to paragraph (5) of this subsection or section 406 of this title to continue to provide essential air transportation to such point beyond the 30-day notice period after which, but for paragraph (6) of this subsection, such air carrier would be able to suspend, terminate, or reduce service to such point below essential air transportation for such point, then the Board shall compensate such air carrier for any losses that such air carrier incurs in complying with this paragraph after the last day of such 30-day period. "(9) During any period for which the Board requires any air carrier to continue providing air transportation to an eligible point which such air carrier has proposed to terminate, reduce, or suspend, the Board shall continue to make every effort to secure an air carrier to provide at least essential air transportation to such eligible point, on a continuing basis. "(10) Unless the Board has determined what is essential air transportation for any eligible point pursuant to paragraph (2) of this subsection, the Board shall, upon petition of any appropriate representative of such point, prohibit any termination, suspension, or reduction of air transportation which reasonably appears to deprive such point of essential air transportation, until the Board has completed such determination. "(11)(A) After January 1, 1983, any air carrier may file an application with the Board seeking to have any compensation provided under section 406 of this title to the air carrier then serving an eligible point terminated in order to allow the applicant air carrier to provide air transportaton to that eligible point for compensation under this section. The Board shall grant such application, after notice and a hearing if requested by the air carrier receiving subsidy under section 406, taking into consideration the objectives specified in subparagraphs (A)(i) and (ii) of paragraph (5) of this subsection, if the applicant can show that termination of the compensation being paid under section 406, and that the provision of service by such applicant with compensation under this section, will result in a substantial— " (i) improvement in the air service being provided such eligible point; and "(ii) decrease in the amount of compensation that will be required to continue essential air transportation to such eligible point. "(B) After January 1, 1983, any air carrier may file an application with the Board seeking to have the compensation provided under this section to the air carrier then serving an eligible point, and which has been serving such eli^^ible point for at least two years preceding the date on which such application is filed, terminated in order to allow the applicant air carrier to provide essential air transportation to such eligible point for compensation under this section. The Board shall grant such application, after notice and a hearing if requested by an air carrier receiving compensation under this section, taking into consideration the objectives specified in subparagraphs (A)(i) and (ii) of paragraph (4} of this subsection, if the applicant air carrier can show that termination of the compensation being provided to the air carrier

49 USC 1371. 49 USC 1376.

Petition,

Application.

Notice and hearing.

Application,

Notice and hearing,

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 92 STAT. 1736

PUBLIC LAW 95-504—OCT. 24, 1978 then serving such eligible point, and the provision of essential air transportation for compensation under this section by the applicant air carrier will result in a substantial— "(i) improvement in the air transportation being provided such eligible point with no increase in the amount of compensation then being paid; or "(ii) decrease in the amount of compensation that will be required to continue essential air transportation to that eligible point. "(C) In disposing of each application filed under this subsection, the Board shall, in addition to considering the objectives specified in subparagraphs (A)(i) and (ii) of paragraph (4), solicit and give great weight to the opinions of the communities affected by the proposed replacement of an air carrier under this subsection. u OTHER AIR SERVICE

"Eligible point." 49 USC 1371.

Eligible point designation, rules.

Review.

49 USC 1376. Withdrawal.

"(b)(1) For purposes of this subsection, the term 'eligible point' means— "(A) any point in the United States which has been deleted from a certificate issued under section 401 of this title between July 1, 1968, and the date of enactment of this section, both dates inclusive, and which the Board designates pursuant to paragraph 2 of this subsection; and "(B) any other point in the State of Alaska or Hawaii designated by the Board under paragraph 2 of this subsection. "(2)(A) Not later than January 1, 1980, after considering the views of State agencies and other interested parties, the Board shall, by rule, establish objective criteria for designating points as eligible points. In establishing or modifying such criteria, the Board shall consider, among other factors, the level of traffic generated by the point concerned, its future traffic generating potential, the cost to the Federal Government of providing essential air transportation to such point, the alternative means of transportation available to the residents of such point for access to the national transportation system and its principal communities of interest, and the degree of isolation of such point from the national air transportation system. The Board may, from time to time, by rule, modify the criteria established by it under this subparagraph. "(B) Not later than January 1, 1980, the Board shall begin to review each point described in paragraph (1)(A) of this subsection to determine whether such point shall be designated as an eligible point under the criteria established under subparagraph (B) of this paragraph. The review and designation of each such point shall be completed before January 1, 1982. "(C) On or after January 1, 1982, the Board, upon application by any interested party, may designate any point an eligible point under the criteria established under subparagraph (B) of this paragraph (i) if such point is in the State of Alaska or the State of Hawaii, and (ii) if such designation would not increase the total number of points receiving a subsidy under this section and section 406 of this title above the total number of points receiving a subsidy under such section 406 on July 1, 1968. "(3) The designation of any point b^ the Board under paragraph (2) oi this subsection as an eligible point may be withdrawn if the point no longer meets the criteria for designation as an eligible point.

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Page:United States Statutes at Large Volume 92 Part 2.djvu/457

 PUBLIC LAW 95-504—OCT. 24, 1978 "(4)(A) With respect to any point which the Board designates as an eligible point pursuant to paragraph (2) of this subsection, not later than the last day of the six-month period beginning on the date on which the Board makes such designation, the Board, after considering the views of any interested community and the State agency of the State in which such community is located, shall determine what is essential air transportation to such point. "(B) The Board shall periodically review the determination of what is essential air transportation to each eligible point, and may, based upon such review and consultations with any interested community and any State agency of the State in which such community is located, make appropriate adjustments as to what is essential air transportation to such point. "(5) Whenever the Board determines that essential air transportation will not be provided to any eligible point without compensation— "(A) the Board shall provide notice that applications may be submitted by any air carrier which is willing to provide essential air transportation to such point for compensation under this subsection. In selecting an applicant to provide essential air transportation to such point for compensation, the Board shall, among other factors, specifically consider— "(i) the desirability of developing an integrated linear system of air transportation whenever such a system most adequately meets the air transportation needs of the communities involved; "(ii) the experience of the applicant in providing scheduled air service in the vicinity of the communities for which essential air transportation is proposed to be provided; and "(iii) notwithstanding the provisions of clause (ii), with respect to any eligible point in the State of Alaska, the experience of an applicant in providing scheduled air service, or significant patterns of nonscheduled air service pursuant to an exemption granted pursuant to section 416 of this title, in Alaska; and " (B) the Board shall establish, in accordance with the guidelines promulgated under subsection (d) of this section, a rate of compensation to be paid for providing such essential air transportation. "(6) The Board shall make payments of compensation under this subsection at times and in a manner determined by the Board to be appropriate. The Board shall continue to pay compensation to any air carrier to provide essential air transportation to any eligible point only for so long as the Board determines it is necessary in order to maintain essential air transportation to such eligible point. "(7) Prior to terminating, suspending, or reducing essential air transportation to any eligible point, an air carrier— " (A) if such air carrier— "(i) holds a certificate issued under section 401 of this title, or "(ii) does not hold such a certificate, but is receiving compensation pursuant to paragraph (6) of this subsection for service to such eligible point, shall give the Board, the appropriate State agency or agencies, and the communities affected at least ninety days notice prior to such termination, suspension, or reduction; and " (B) if such air carrier does not hold such a certificate and is not receiving compensation pursuant to paragraph (6) of this subsection for service to such eligible point, shall give the Board,

92 STAT. 1737 Determination, consultation.

Review.

Notice.

Applicant selection.

49 USC 1386. Compensation rate, establishment. Payments.

Notice.

49 USC 1371.

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Page:United States Statutes at Large Volume 92 Part 2.djvu/458

 92 STAT. 1738

Application.

Notice and hearing.

PUBLIC LAW 95-504—OCT. 24, 1978 the appropriate State agency or agencies, and the communities affected such notice (not to exceed 30 days), as the Board shall by regulation prescribe. "(8)(A) After January 1, 1983, any air carrier may file an application with the Board seeking to have the compensation provided under this subsection to the air carrier then serving an eligible point, and which has been serving such eligible point for at least 2 years preceding the date on which such application is filed, terminated in order to allow the applicant air carrier to provide essential air transportation to such eligible point for compensation under this subsection. The Board shall grant such application, after notice and a hearing if requested by an air carrier receiving compensation under this section, taking into consideration the objectives specified in subparagraphs (A)(i) and (ii) of paragraph (5) of this subsection, if the applicant can show that termination of the compensation being provided to the air carrier then serving such eligible point, and that the provision of essential air transportation for compensation under this subsection by the applicant, will result in a substantial— " (i) improvement in the air transportation being provided such eligible point with no increase in the amount of compensation then being paid; or "(ii) decrease in the amount of compensation that Avill be required to continue essential air transportation to that eligible point. "(B) In disposing of each application filed under this paragraph, the Board shall, in addition to considering the objectives specified in subparagraphs (A)(i) and (ii) of paragraph (5), solicit and give great weight to the opinions of the communities affected by the proposed replacement of an air carrier under this subsection. u LEVEL o r

"Commuter air carrier." Ante, p. 1732. Compensation and service, conditions.

Safety standard regulations.

SAFETY

"(c)(1) For purposes of this subsection the term 'commuter air carrier' means an air carrier exempt from any requirement of this Act under section 416(b)(3) of this title. "(2) Notwithstanding section 416(b) of this title, the Board shall not provide an;^ compensation under this section to any commuter air carrier to provide service to any eligible point, and the Board shall prohibit any commuter air carrier from providing service to any eligible point, unless the Board determines that such commuter air carrier— "(A) is fit, willing, and able to perform such service; and " (B) that all aircraft which will be used to perform such service and all operations relating to such service will conform to the safety standards established by the Administrator under paragraph (3) of this subsection. "(3) Not later than the one-hundred-eightieth day after the date of enactment of this paragraph, the Administrator, by regulation, shall establish safety standards (A) for aircraft being used by commuter air carriers to provide any service described in paragraph (2) of this subsection, and (B) for all operations relating to such service. Such safety standards shall become effective not later than the last day of the eighteenth month which begins after such date of enactment and shall impose requirements upon such commuter air carriers to assure that the level of safety provided to persons traveling on such commuter

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 PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1739

air carriers is, to the maximum feasible extent, equivalent to the level of safety provided to persons traveling on air carriers which provide service pursuant to certificates issued under section 401 of this title. 49 USC 1371. "GUIDKLTNES FOR

COMPENSATION

"(d) The Board shall, by rule, establish guidelines to be used by the Rule. Board in computing the fair and reasonable amount of compensation required to insure the continuation of essential air transportation to any eligible point. Such guidelines shall include expense elements based upon representative costs of air carriers providing scheduled air transportation of persons, property, and mail, using aircraft of the type determined by the Board to be appropriate for providing essential air transportation to the eligible point. a INSURANCE

"(e) No air carrier shall receive any compensation under this section unless such air carrier complies with regulations or orders issued by the Board governing the filing and approval of policies of insurance or plans for self-insurance in the amount prescribed by the Board which are conditioned to pay, within the amount of such insurance, amounts for which such air carrier may become liable for bodily injuries to or the death of any person, or for loss of or damage to property of others, resulting from the operation or maintenance of aircraft. a DEFINITION

"(f) For purposes of this section, the term 'essential air transporta- "Essential air tion' means scheduled air transportation of persons to a point provided transportation, under such criteria as the Board determines satisfies the needs of the community concerned for air transportation to one or more communities of interest and insures access to the Nation's air transportation system, at rates, fares, and charges which are not imjust, unreasonable, unjustly discriminatory, unduly preferential, or unduly prejudicial, and— "(1) with respect to air transportation to any point (other than in the State of Alaska), in no case shall essential air transportation be specified as fewer than two daily round trips, 5 days per week, < or the level of service provided by air carriers to such point based on the schedules of STich air carriers in effect for calendar year 1977, whichever is less; and "(2) with respect to air transportation to any point in Alaska, essential air transportation shall not be specified at a level of service less than that which existed for such point during calendar year 1976, or two round trips per week, whichever is greater, unless otherwise specified under an agreement between the Board and the State agency of the State of Alaska, after consultation with the community affected. "^; a. DURATION OF PR0GRA3I

" (g) This section shall cease to be in effect after the last day of the ten-year period which begins on the date of enactment of this section.". (b) That portion of the table of contents which appears under the center heading

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 92 STAT. 1740

PUBLIC LAW 95-504—OCT. 24, 1978 "TITLE IV—AIR CAKRIEB ECONOMIC REGULATION

is amended by adding at the end thereof "Sec. 419. Small community air service. "(a) Guaranteed essential air transportation. "(b) Other air service. "(c) Level of safety. "(d) Guidelines for compensation. "(e) Insurance. "(f) Definitions. "(g) Duration of program.". PRESIDENTIAL REVIEW OF INTERNATIONAL ROUTE CASES

SEC. 34. Section 801(a) of the Federal Aviation Act of 1958 (49 U.S.C. 1461 (a)) is amended to read as follows: " THE PRESIDENT OF THE UNITED

49 USC 1372. Disapproval, issuance.

49 USC 1486.

STATES

" SEC. 801. (a) The issuance, denial, transfer, amendment, cancellation, suspension, or revocation of, and the terms, conditions, and limitations contained in, any certificate authorizing an air carrier to engage in foreign air transportation, or any permit issuable to any foreign air carrier under section 402 of this Act, shall be presented to the President for review. The President shall have the r i g h t to disapprove any such Board action concerning such certificates or permits solely upon the basis of foreign relations or national defense considerations which are within the President's jurisdiction, but not upon the basis of economic or carrier selection considerations. Any such disapproval shall be issued in a public document, setting forth the reasons for the disapproval to the extent national security permits, within sixty days after submission of the Board's action to the President. Any such Board action so disapproved shall be null and void. Any such Board action not disapproved within the foregoing time limits shall take effect as action of the Board, not the President, and as such shall be subject to judicial review as provided in section 1006 of this Act.". ASSESSMENT OF CIVIL PENALTIES

Notice and hearing. 49 USC 1371. 49 USC 1482.

Compromise.

49 USC 1341, 1401, 1421, 1441.

SEC. 35. (a) Paragraph (1) of subsection (a) of section 901 of the Federal Aviation Act of 1958 (49 U.S.C. 1471(a)(1)) is amended by inserting after the fourth sentence thereof the following new sentences: " The amount of any such civil penalty for any violation of any provision of title IV of this Act, or any rule, regulation, or order issued thereunder, or under section 1002(i) of this Act, or any term, condition, or limitation of any permit or certificate issued under title IV shall be assessed by the Board only after notice and an opportunity for a hearing and after written notice upon a finding of violation by the Board. Judicial review of any order of the B o a r d assessing such a penalty may be obtained only pursuant to section 1006 of this Act.". (b) Paragraph (2) of subsection (a) of such section 901 is amended to read as follows: " (2) Any civil penalty may be compromised by the Secretary of Transportation in the case of violations of title III, V, VI, or X II of this Act, or any rule, regulation, or order issued thereunder, or by the National Transportation Safety Board in the case of violations of title VII of this Act, or any rule, regulation, or order issued thereunder, or by the Postmaster General in the case of regulations issued by him.

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 PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1741

The amount of such penalty when finally determined or fixed by order of the Board, or the amount agreed upon in compromise, may be deducted from any sums which the United States owes to the person charged.". PROCEDURES FOR CIVIL PENALTIES

SEC. 36. (a) The first sentence of subsection (b)(1) of section 903 of the Federal Aviation Act of 1958 (49 U.S.C. 1473(b)(1)) is amended by inserting "or assessed" immediately after "imposed". (b) The second sentence of subsection (b)(1) of such section 903 is amended by inserting "with respect to proceedings involving penalties other than those assessed by the Board," immediately after "except that". RATES

SEC. 37. (a) Subsection (d) of section 1002 of the Federal Aviation Act of 1958 (49 U.S.C. 1482 (d)) is amended— (1) in paragraph (1), by inserting "or (4)" immediately after "paragraph (2)"; and (2) by adding at the end thereof the following new paragraphs: Unjust or "(4) The Board shall not have authority to find any fare for inter- unreasonable state or overseas air transportation of persons to be unjust or unreason- fares, findings. able on the basis that such fare is too low or too high if— " (A) with respect to any proposed increase filed with the Board on or after July 1, 1979 (other than any proposed increase in any fare filed by any air carrier if such proposed fare is for air transportation between any pair of points and such air carrier provides air transportation to 70 per centum or more of the persons traveling in air transportation between such points on aircraft operated by air carriers with certificates issued under section 401 of this Act), such proposed fare would not be more than 5 per centum 49 USC 1371 higher than the standard industry fare level for the same or essentially similar class of service, except that, while no increase of any fare within the limits specified in this subparagraph may be suspended, an increase in such fare, above the standard industry fare level shall be found unlawful if that increase results in a fare which is unduly preferential, unduly prejudicial, or unjustly discriminatory; or "(B) with respect to any proposed decrease filed after the date of enactment of this paragraph, the proposed fare would not be more than 50 per centum lower than the standard industry fare level for the same or essentially similar class of service, except that this provision shall not apply to any proposed decrease in any fare if the Board determines that such proposed fare would be predatory. In determining whether any fare for air transportation of persons is unjust or unreasonable on the basis that it is too high, the Board shall take into consideration reasonably estimated or foreseeable future costs and revenues for a reasonably limited future period during which the fare at issue would be in effect. "(5) In any Board proceeding under paragraph (1) of this subsection with respect to interstate or overseas air transportation of persons, the party opposing any fare or charge on the basis that it is too low shall have the burden of proving that the fare or charge is too low. "(6)(A) For purposes of paragraph (4) of this section, 'standard "Standard industry fare level' means the fare level (as adjusted only in accord- industry ance with subparagraph (B) of-this paragraph) in effect on July 1, fare level." 1977, for each interstate or overseas pair of points, for each class of

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Page:United States Statutes at Large Volume 92 Part 2.djvu/462

 92 STAT. 1742

Adjustments.

Service classes, rules.

Rule. Complaint.

49 USC 1482.

49 USC 1302.

Uniform method. 49 USC 1482a. 49 USC 1371. Notice.

PUBLIC LAW 95-504—OCT. 24, 1978 service existing on that date, and in effect on the effective date of the establishment of each additional class of service established after July 1, 1977. "(B) The Board shall, not less than semiannually, adjust each standard industry fare level specified in subparagraph (A) by increasing or decreasing such fare level, as the case may be, by the percentage change from the last previous period in the actual operating cost per available seat-mile for interstate and overseas transportation combined. In determining the standard, the Board shall make no adjustment to costs actually incurred. "(C) Not later than July 1, 1979, the Board shall issue rules modifying the rules governing those classes of service in existence on July 1, 1977, which classes provide lower fare levels during off-peak periods, so as to expand the period of availability of such classes. The Board shall allow any air carrier to establish additional classes of service in accordance with the objectives of subsection (e)(5) of this section or as may be otherwise consistent with the public interest. "(7) The Board may by rule increase the percentage specified in paragraph (4)(B) of this subsection. "(8) Whenever a complaint is filed with the Board by a civic party under this subsection alleging that any individual or joint fare or charge demanded, charged, collected, or received for interstate or overseas air transportation is or will be unjustly discriminatory, unduly preferential, unduly prejudicial, or predatory, the Board shall grant, deny, or dismiss such complaint within ninety days after such complaint is filed.". (b) Subsection (e) of such section 1002 is amended to read as follows: ((RULE o r RATEMAKING "(e) In exercising and performing its power and duties with respect to determining rates, fares, and charges described in paragraph (1) of subsection (d) of this section, the Board shall take into consideration, among other factors— "(1) the criteria set forth in section 102 of this Act; "(2) the need for adequate and efficient transportation of persons and property at the lowest cost consistent with the furnishing of such service; "(3) the effect of prices upon the movement of traffic; "(4) the desirability of a variety of price and service options such as peak and off-peak pricing or other pricing mechanisms to improve economic efficiency and provide low-cost air service; and "(5) the desirability of allowing an air carrier to determine prices in response to particular competitive market conditions on the basis of such air carrier's individual costs.", (c)(1) Whenever the Board pursuant to its authority under section 1002 of the Federal Aviation Act of 1958 (49 U.S.C. 1482) prescribes a uniform method generally applicable to the establishment of joint fares, and the divisions thereof, between air carriers holding certificates issued under section 401 of such Act, it shall make such uniform method applicable to the establishment of joint fares, and the divisions thereof, between such air carriers and commuter air carriers. Any commuter air carrier which has an agreement with any air carrier to provide service for persons and property which includes transporta-

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 PUBLIC LAW 95-504—OCT. 24, 1978 tion over its routes and transportation by such air carrier in air transportation shall provide at least ninety days notice to such air carrier and to the Board prior to modifying, suspending, or terminating such service, and if such commuter air carrier fails to provide such notice, any uniform method made applicable to the establishment of joint fares, and the divisions thereof, between air carriers and commuter air carriers in accordance with the preceding sentence shall not apply to such commuter air carrier. (2) For purposes of this subsection— (A) the terms "air carrier" and "Board" have the meanings given such terms in the Federal Aviation Act of 1958; and (B) the term "commuter air carrier" means any air carrier operating pursuant to section 416(b)(3) of the Federal Aviation Act of 1958 (49 U.S.C. 1386(b)(3)) who operates at least five round trips per week between one pair of points, pursuant to flight schedules. (3) Paragraph (1) of this subsection shall apply to any uniform method described in such paragraph which the Board prescribes on or after December 27.1974.

92 STAT. 1743

Definitions. 49 USC 1301 note.

T I M E REQUIREMENTS

SEC. 38. (a) Title X of the Federal Aviation Act of 1958 (49 U.S.C. 1481 et seq.) is amended by adding at the end thereof the following new section: "TIME REQUIREMENTS

"SEC. 1010. In the case of any application or other written document submitted to the Board under section 408, 409, 412, or 416 of this Act on or after the one-hundred-eightieth day after the date of enactment of this section, the Board shall— "(1) if the Board orders an evidentiary hearing, issue a final order or decision with respect to such written document, not later than the last day of the twelfth month which begins after the submission of such document, except in the case of an application submitted under section 408 of this Act, the Board shall issue its final order or decision not later than the last day of the sixth month after submission; or "(2) if the Board does not order an evidentiary hearing, issue a final order or decision with respect to such document, not later than the last day of the sixth month which begins after the date of the submission of such document.", (b) That portion of the table of contents contained in the first section of such Act which appears under the center heading "TITLE X—PROCEDURE"

is amended by adding at the end thereof "Sec. 1010. Time requirements.". W I T H H O L D I N G OP INFORMATION

SEC. 39. Section 1104 of the Federal Aviation Act of 1958 (49 U.S.C. 1504) is amended to read as follows:

Final order or decision, issuance. 49 USC 1490. 49 USC 1378, 1379, 1382.

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 92 STAT. 1744

^

PUBLIC LAW 95-504—OCT. 24, 1978 "WITHHOLDING

49 USC 1504.

OF INFORMATION

"SEC. 1104. Any person may make written objection to the public disclosure of information contained in any application, report, or document filed pursuant to provisions of this Act or of any information obtained by the Board, the Secretary of State, or the Secretary of Transportation pursuant to the provisions of this Act stating the grounds for such objection. Any information contained in such application, report, or document, or any such other information obtained by the Board, the Secretary of State, or the Secretary of Transportation, shall be withheld from public disclosure by the Board, the Secretary of State, or the Secretary of Transportation, as the case may be, if disclosure of such information would prejudice the formulation and presentation of positions of the United States in international negotiations and adversely affect the competitive position of any air carrier in foreign air transportation. The Board, the Secretary of State, or the Secretary of Transportation, as the case may be, shall be responsible for classified information in accordance with appropriate law, except that nothing in this section shall authorize the withholding of information by the Board, the Secretary of State, or the Secretary of Transportation from the duly authorized committees of Congress.". SUNSET PROVISIONS

SEC. 40. (a) The Federal Aviation Act of 1958 (49 U.S.C. 1301 et seq.) is amended by adding at the end thereof the following new title: "TITLE XVI—SUNSET PROVISIONS "TERMINATION OF CIVIL AERONAUTICS BOARD AND TRANSFER OF CERTAIN FUNCTIONS "TERMINATION OF AUTHORITY

49 USC 1551.

Ante, p. 1712.

^ 49 USC 1375.

"SEC. 1601. (a)(1) The following provisions of this Act (to the extent such provisions relate to interstate and overseas air transportation of persons) and the authority of the Board with respect to such provisions (to the same extent) shall cease to be in effect on December 31, 1981: "(A) Sections 401(d)(1), (2), and (3) of this Act (insofar as such sections require a determination of consistency with the public convenience and necessity and insofar as section 401(d)(3) prohibits persons holding certificates under section 401(d)(1) or (d)(2) from obtaining certificates to provide interstate or overseas charter air transportation of persons). "(B) Section 401(d)(8) of this Act. "(C) Section 401(e)(1) of this Act (insofar as such section permits the Board to specify terminal and intermediate points). "(D) Section 401(j) of this Act (except with respect to essential air transportation). " (E) Sections 401(n)(1) and (4) of this Act. " (F) Section 404(a) of this Act (insofar as such section requires any air carrier to provide air transportation authorized by its certificate). " (Gr) Section 405(b) of this Act (insofar as such section requires the filing of any statement or schedule by any air carrier).

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 PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1745

"(2) The following provisions of this Act (to the extent such provisions relate to interstate and overseas air transportation of persons) and the authority of the Board with respect to such provisions (to the same extent) shall cease to be in effect on January 1, 1983: " (A) Section 403 of this Act. "(B) Section 404 of this Act (except insofar as such section requires air carriers to provide safe and adequate service). "(C) Section 407(b) and (c) of this Act. "(D) Sections 1002(d)(1) and (d)(2), (e), (g), (h),and (i) of this Act. "(3) The authority of the Board under sections 408 and 409 of this Act (relating to interstate and overseas air transportation) and the authority of the Board under section 414 of this Act (relating to such sections 408 and 409) is transferred to the Department of Justice on January 1, 1983. " (4) Title II of this Act shall cease to be in effect on January 1, 1985.

49 USC 1373. 49 USC 1374. 49 USC 1377. Ante, p. 1741. 49 USC 1378, 1379. 49 USC 1384. 49 USC 1321.

"TRANSFER OF CERTAIN AUTHORITY

"(b)(1) The following authority of the Board is transferred to the following Federal departments and instrumentalities: "(A) The authority of the Board under sections 406(b)(3) and (c) of this Act to provide compensation for air transportation to Ante, p. 1725. small communities and under section 419 of this Act is transferred Ante, p. 1732. to the Department of Transportation. "(B) The authority of the Board under this Act with respect to foreign air transportation is transferred to the Department of Transportation which shall exercise such authority in consultation with the Department of State. "(C) The authority of the Board under sections 408 and 409 of this Act (relating to foreign air transportation), the authority of the Board under section 412 of this Act, and the authority of 49 USC 1382. the Board under section 414 of this Act (relating to such sections 408, 409, and 412) is transferred to the Department of Justice. "(D) The authority of the Board under this Act with respect to the determination of the rates for the carriage of mails in interstate and overseas air transportation is transferred to the Postal Service and such authority shall be exercised through negotiations or competitive bidding. "(2) Any authority transferred under paragraph (1) of this subsection shall take effect on January 1, 1985. 'REPORT AND ASSESSMENT BY BOARD

"(c) Not later than January 1, 1984, the Board shall prepare and Review, submit to the Congress a comprehensive review of the Board's imple- submittal mentation of the provisions of this Act during the preceding initial to Congress. period of this Act's existence, and a comprehensive review of each of the Board's programs under this Act. Each such review shall be made available to the committee or committees of the Senate and House of Representatives having jurisdiction with respect to the annual authorization of funds for the Board and its programs for the fiscal year beginning October 1, 1983.

39-194 O—80—pt. 2

30: QL3

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Page:United States Statutes at Large Volume 92 Part 2.djvu/466

 92 STAT. 1746

PUBLIC LAW 95-504—OCT. 24, 1978 'ELEMENTS OF BOARD CONSIDERATION

Review provisions.

Ante, p. 1713. 49 USC 1382.

Continuation, opinion and recommendations.

49 USC 1461.

"(d) The comprehensive review of the Board's implementation of this Act, prepared for submission under subsection (c), shall include— "(1) a detailed comparison of the degree of competition within the airline industry as of the year preceding enactment of this section and the final year covered by the review; "(2) a comparison of the degree of pricing competition in the industry during those two one-year periods; "(3) a comparison of the extent of unused authority held by the industry during those two one-year periods, with details as to the number of nonstop route segments which have been transferred from one carrier to another under section 401(d)(5) of his Act; "(4) an assessment of the degree to which agreements approved under section 412 of this Act have affirmatively or negatively affected the degree of competition within the industry; "(5) a comparison of the extent of air transportation service provided to small communities during the two one-year periods specified above, together with details as to the comparative subsidy costs during these two periods; "(6) an assessment of the degree, if any, to which the administrative process has been expedited under this Act; "(7) an assessment of the impact of the foregoing changes upon the national air transportation system in terms of benefits or detriments to the traveling and shipping public, the Postal Service, and the national defense, and the benefits and detriments to air carriers, certificated and uncertificated; and "(8) the Board's opinion as to whether the foregoing changes in combination, have improved or harmed this Nation's domestic air transportation system and the United States-flag foreign air transportation system. This assessment shall be accompanied by a detailed opinion from the Board as to whether the public interest requires continuation of the Board and its functions beyond January 1, 1985, and, if it is the Board's conclusion that it should continue to exist, detailed recommendations as to how the provisions of this Act should be revised to insure continued improvement of the Nation's air transportation system beyond January 1, 1985. The Board's assessment under this subsection shall also be accompanied by a comparative analysis of procedures under section 801 of this Act before and after the date of enactment of the Airline Deregulation Act of 1978, together with the Board's opinion as to the benefits of each set of procedures. " E L E M E N T S FOR EACH COMPREHENSIVE REVIEW

"' (e) Each comprehensive review of the Board's programs under this Act, prepared for submission under subsection (c) of this section, shall include— "(1) an identification of the objectives intended for the program, and the problem or need which the program was intended to address; "(2) an identification of any other programs having similar or potentially conflicting or duplicative objectives;

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Page:United States Statutes at Large Volume 92 Part 2.djvu/467

 PUBLIC LAW 95-504—OCT. 24, 1978

.

92 STAT. 1747

" (3) an assessment of alternative methods of achieving the purposes of the program; " (4) a justification for the authorization of new budget authority, and an explanation of the manner in which it conforms to and integrates with other efforts; " (5) an assessment of the degree to which the original objectives of the program have been achieved, expressed in terms of the performance, impact, or accomplishments of the program and of the problem or need which it was intended to address, and employing the procedures or methods of analysis appropriate to the type or character of the program; " (6) a statement of the performance and accomplishments of the program in each of the previous four completed fiscal years and in the year of submission, and of the budgetary costs incurred in the operation of the program; " (7) a statement of the number and types of beneficiaries or persons or entities by the program; " (8) an assessment of the effect of the program on the national economy, including, but not limited to, the effects on competition, economic stability, employment, unemployment, productivity, energy consumption and conservation, and price inflation, including costs to consumers and to businesses; " (9) an assessment of the impact of the program on the Nation's health and safety; "(10) an assessment of the degree to which the overall administration of the program, as expressed in the rules, regulations, orders, standards, criteria, and decisions of the officers executing the program, are believed to meet the objectives of the Congress in enacting this Act; "(11) a projection of the anticipated needs for accomplishing the objectives of the program, including an estimate if applicable of the date on which, and the conditions under which, the program may fulfill such objectives; "(12) an analysis of the services which could be provided and performance which could be achieved if the program were contained at a level less than, equal to. or greater than the existing level; and " (13) recommendations for necessary transitional requirements in the event that funding for such program is discontinued, including proposals for such executive or legislative action as may be necessary to prevent such discontinuation from being unduly disruptive.", (b) That portion of the table of contents contained in the first section of such Act is amended by inserting at the end thereof "TITLE XVI—SUNSET PROVISIONS

"SEC. 1601. Termination of Civil Aeronautics Board and transfer of certain functions. " (a) Termination of authority. "(b) Transfer of certain authority. "(c) Report and assessment by Board. "(d) Elements for Board consideration. "(e) Elements for each comprehensive review.".

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Page:United States Statutes at Large Volume 92 Part 2.djvu/468

 92 STAT. 174«

PUBLIC LAW 95-504—OCT. 24, 1978 AMENDMENTS TO THE AIRPORT AND AIRWAY DEVELOPMENT ACT OF 1970

Air carrier airport designation.

49 USC 1729.

SEC. 41. (a) Section 29 of the Airport and Airway Development Act of 1970 is amended— (1) by striking out "Notwithstanding" and inserting in lieu thereof the following: "(a) SERVICE BY INTRASTATE A I R CARRIER.—Notwithstanding"; and

49 USC 1371.

49 USC 1711.

(2) by inserting at the end thereof the following new subsection: "(b) SUSPENDED OR DELETED SERVICE.—Notwithstanding any other provision of this title, any public airport which, on the date of enactment of the Airline Deregulation Act of 1978, is regularly served by an air carrier (other than a charter air carrier) certificated by the Civil Aeronautics Board under section 401 of the Federal Aviation Act of 1958 shall be deemed to be an air carrier airport (other than a commuter service airport) for the purposes of this title. This subsection shall cease to be in effect after September 30, 1980.". (b) Paragraph (1) of section 11 of the Airport and Airway Development Act of 1970 is amended by striking out "(other than a supplemental air carrier)" and inserting in lieu thereof " (other than a charter air carrier)", GOVERNMENT GUARANTEE OF EQUIPMENT LOANS

Definitions.

49 USC 1324 note.

49 USC 1301.

SEC. 42. (a)(1) The first sentence of the first section of the Act entitled "An Act to provide for Government guarantee of private loans of certain air carriers for purchase of modern aircraft and equipment, to foster the development and use of modern transport aircraft by such carriers, and for other purposes", approved September 7, 1957 (49 U.S.C. 1324 note) (hereinafter in this section referred to as the "Act"), is amended by inserting "and to promote the development of local, feeder, and short-haul charter air transportation of cargo" after "and short-haul air transportation". (2) The second sentence of the first section of the Act is amended by inserting ", charter air carriers, commuter air carriers, and intrastate air carriers" immediately after "air carriers", (b) Section 2 of the Act is amended to read as follows: "SEC. 2. As used in this Act— "(1) 'aircraft purchase loan' means any loan, or commitment in connection therewith, made for the purchase of commercial transport aircraft, including spare parts normally associated therewith; "(2) 'air carrier" means any air carrier holding a certificate of public convenience and necessity issued by the Civil Aeronautics Board under section 401(d)(1) of the Federal Aviation Act of 1958 (49 U.S.C. 1371(d)(1)); "(3) 'charter air carrier' has the meaning given such term in section 101 (14) of the Federal x\viation Act of 1958; "(4) 'charter air transportation' has the meaning given such term in section 101(15) of the Federal Aviation Act of 1958; "(5) 'commuter air carrier' means any air carrier operating pursuant to section 416(b)(3) of the Federal Aviation Act of 1958 (49 U.S.C. 1386(b)(3)) who operates at least five round trip flights per week between one pair of points in accordance with published flight schedules;

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Page:United States Statutes at Large Volume 92 Part 2.djvu/469

 PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1749

"(6) 'intrastate air carrier' means any citizen of the United States who undertakes, whether directly or indirectly or by a lease or any other arrangement, to engage primarily in intrastate air transportation (as such term is defined in section 101(26) of the Federal Aviation Act of 1958); and "(7) 'Secretary' means the Secretary of Transportation.". (c) Section 3 of the Act is amended to read as follows: "SEC. 3. The Secretary is authorized to guarantee any lender against loss of principal or interest on any aircraft purchase loan made by such lender to— "(1) any air carrier whose certificate (A) authorizes such air carrier to provide local or feeder air service, (B) authorizes scheduled passenger operations the major portion of which are conducted within the State of Hawaii, (C) authorizes operations (the major portion of which is conducted either within Alaska or between Alaska and the forty-eight contiguous States), within the State of Alaska (including service between Alaska and the forty-eight contiguous States, and between Alaska and adjacent Canadian territory), or (D) authorizes metropolitan helicopter service, "(2) any charter air carrier for the purchase of any all-cargo nonconvertible aircraft, "(3) any commuter air carrier, or " (4) any intrastate air carrier. Such guarantee shall be made in such form, on such terms and conditions, and pursuant to such regulations, as the Secretary deems necessary and which are not inconsistent with the provisions of this Act.". (d) Section 4 of the Act is amended to read as follows: "SEC. 4. (a) Subject to subsection (b) of this section, no guaranty shall be made— " (1) extending to more than the unpaid interest and 90 percent of the unpaid principal of any loan; " (2) on any loan or combination of loans for more than 90 percent of the purchase price of the aircraft, including spare parts, to be purchased therewith; "(3) on any loan whose terms permit full repayment more than 15 years after the date thereof; "(4) wherein the total face amount of such loan, and of any other loans to the same air carrier, charter air carrier, commuter air carrier, or intrastate air carrier or corporate predecessor of such air carrier, charter air carrier, commuter air carrier, or intrastate air carrier guaranteed and outstanding under the terms of this Act exceeds $100,000,000; "(5) unless the Secretary finds that, without such guaranty, in the amount thereof, the air carrier, charter air carrier, commuter air carrier, or intrastate air carrier would be unable to obtain necessary funds for the purchase of needed aircraft on reasonable terms; "(6) unless the Secretary finds that the aircraft to be purchased with the guaranteed loan is needed to improve the service and efficiency of operation of the air carrier, charter air carrier, commuter air carrier, or intrastate air carrier; "(7) unless the Secretary finds that the prospective earning power—

49 USC 1301. Eligible lenders. 49 USC 1324 note.

Restrictions. 49 USC 1324 note.

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Page:United States Statutes at Large Volume 92 Part 2.djvu/470

 92 STAT. 1750

Termination date. 49 USC 1324 note. Ante, p. 1749. Payment by Labor Secretary. 49 USC 1552. Eligibility.

PUBLIC LAW 95-504—OCT. 24, 1978

"(A) of the applicant air carrier or charter air carrier, together with the character and value of the security pledged, furnish (i) reasonable assurances of the applicant's ability to repay the loan within the time fixed therefor, and (ii) reasonable protection to the United States; and "(B) of the applicant commuter air carrier or intrastate air carrier, together with the character and value of the security pledged, furnish (i) reasonable assurances of the applicant's ability and intention to repay the loan within the time fixed therefor, to continue its operations as a commuter air carrier or intrastate air carrier, and to the extent found necessary by the Secretary, to continue its operations as a commuter air carrier or intrastate air carrier between the same route or routes being operated by such applicant at the time of the loan guarantee, and (ii) reasonable protection to the United States; and " (8) on any loan or combination of loans for the purchase of any new turbojet-powered aircraft which does not comply with the noise standards prescribed for new subsonic aircraft in regulations issued by the Secretary acting through the Administrator of the Federal Aviation Administration (14 CFR part 36), as such regulations were in effect on January 1, 1977. "(b) No guaranty shall be made by the Secretary under subsection (a) of this section on any loan for the purchase of any all-cargo nonconvertible aircraft by any charter air carrier in an amount which, together with any other loans guaranteed and outstanding under this Act to such charter air carrier, or corporate predecessor of such charter air carrier, would result in the ratio of the total face amount of such loans to $100,000,000 exceeding the ratio of the amount of charter air transportation of such charter air carrier provided to medium, small, and non-hub airports during the twelve-month period preceding the date on which the application for such guaranty is made by such charter air carrier to the total amount of charter air transportation of such charter air carrier during such twelve-month period.", (e) Section 8 of the Act is amended to read as follows: "SEC. 8. The authority of the Secretary under section 3 of this Act shall terminate five years after the date of enactment of this section.". EMPLOYEE PROTECTION PROGRAM

SEC. 43. (a). GENERAL RULE.— (1) The Secretary of Labor shall,

subject to such amounts as are provided in appropriation Acts, make monthly assistance payments, or reimbursement payments, in amounts computed according to the provisions of this section, to each individual who the Secretary finds, upon application, to be an eligible protected employee. An eligible protected employee shall be a protected employee who on account of a qualifying dislocation (A) has been deprived of employment, or (B) has been adversely affected with respect to his compensation. (2) No employee who is terminated for cause shall receive any assistance under this section. (b) MONTHLY ASSISTANCE COMPUTATION.— (1) An eligible protected

employee shall, subject to such amounts as are provided in appropriation Acts, receive a monthly assistance payment, for each month in which he is an eligible protected employee, in an amount computed by

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Page:United States Statutes at Large Volume 92 Part 2.djvu/471

 PUBLIC LAW 95-504—OCT. 24, 1978 the Secretary. The Secretary, after consultation with the Secretary of Transportation, shall, by rule, promulgate guidelines to be used by him in determining the amount of each monthly assistance payment to be made to a member of each craft and class of protected employees, and what percentage of salary such payment shall constitute for each applicable class or craft of employees. In computing such amounts for any individual protected employee, the Secretary shall deduct from such amounts the full amount of any unemployment compensation received by the protected employee. (2) If an eligible protected employee is offered reasonably comparable employment and such employee does not accept such employment, then such employee's monthly assistance payment under this section shall be reduced to an amount which such employee would have beeen entitled to receive if such employee had accepted such employment. If the acceptance of such comparable employment would require relocation, such employee may elect not to relocate and, in lieu of all other benefits provided herein, to receive the monthly assistance payments to which he would be entitled if this paragraph were not in effect, except that the total number of such payments shall be the lesser of three or the number remaining pursuant to the maximum provided in subsection (e). (c) ASSISTANCE FOR RELOCATION.—If an eligible protected employee relocates in order to obtain other employment, such employee shall, subject to such amounts as are provided in appropriation Acts, receive reasonable moving expenses (as determined by the Secretary) for himself and his immediate family. In addition, such employee shall, subject to such amounts as are provided in appropriation Acts, receive reimbursement payments for any loss resulting from selling his principal place of residence at a price below its fair market value (as determined by the Secretary) or any loss incurred in cancelling such employee's lease agreement or contract of purchase relating to his principal place of residence. (d) DUTY To HIRE PROTECTED EMPLOYEES.— (1) Each person who is a protected employee of an air carrier which is subject to regulation by the Civil Aeronautics Board who is furloughed or otherwise terminated by such an air carrier (other than for cause) prior to the last day of the 10-year period beginning on the date of enactment of this section shall have first right of hire, regardless of age, in his occupational specialty, by any other air carrier hiring additional employees which held a certificate issued under section 401 of the Federal Aviation Act of 1958 prior to such date of enactment. Each such air carrier hiring additional employees shall have a duty to hire such a person before they hire any other person, except that such air carrier may recall any of its own furloughed employees before hiring such a person. Any employee who is furloughed or otherwise terminated (other than for cause), and who is hired by another air carrier under the provisions of this subsection, shall retain his rights of seniority and right of recall with the air carrier that furloughed or terminated him. (2) The Secretary shall establish, ma;intain, ttnd periodically publish a comprehensive list of jobs available with air carriers certificated under section 401 of the Federal Aviation Act of 1958. Such list shall include that information and detail, such as job descriptions and required skills, the Secretary deems relevant and necessary. In addition to publishing the list, the Secretary shall make every effort to

92 STAT. 1751 Guideline rules, consultation.

Relocation.

49 USC 1371.

Job list, establishment and publication.

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Page:United States Statutes at Large Volume 92 Part 2.djvu/472

 PUBLIC LAW 95-504—OCT. 24, 1978

92 STAT. 1752

Reports and data, filing.

Negotiations.

assist an eligible protected employee in finding other employment. Any individual receiving monthly assistance payrnents, moving expenses, or reimbursement payments under this section shall, as a condition to receiving such expenses or payments, cooperate fully with the Secretary in seeking other employment. In order to carry out his responsibilities under this subsection, the Secretary may require each such air carrier to file with the Secretary the reports, data, and other information necessary to fulfill his duties under this subsection. (3) In addition to making monthly assistance or reimbursement payments under this section, the Secretary shall encourage negotiations between air carriers and representatives of eligible protected employees with respect to rehiring practices and seniority. (e)

Submittal to Congress.

"Legislative day."

Appropriation authorization.

PERIOD OF MONTHLY ASSISTANCE PAYMENTS.— (1)

Monthly

assistance payments computed under subsection (b) for a protected employee who has been deprived of employment shall be made each month until the recipient obtains other employment, or until the end of the 72 months occurring immediately after the month such payments were first made to such recipient, whichever first occurs. (2) Monthly assistance payments computed under subsection (b) for a protected employee who has been adversely affected relating to his compensation shall be paid for no longer than 72 months, so long as the total number of monthly assistance payments made under this section for any reason do not exceed 72. (f) KuLES AND REGULATIONS.— (1) The Secretary may issue, amend, and repeal such rules and regulations as may be necessary for the administration of this section. (2) The rule containing the guidelines which is required to be promulgated pursuant to subsection (b) of this section and any other rules or regulations which the Secretary deems necessary to carry out this section shall be promulgated within six months after the date of enactment of this section. (3) The Secretary shall not issue any rule or regulation as a final rule or regulation under this section until 30 legislative days after it has been submitted to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Public Works and Transportation of the House of Representatives. Any rule or regulation issued by the Secretary under this section as a final rule or regulation shall be submitted to the Congress and shall become effective 60 legislative days after the date of such submission, unless during that 60day period either House adopts a resolution stating that that House disapproves such rules or regulations, except that such rules or regulations may become effective on the date, during such 60-day period, that a resolution has been adopted by both Houses stating that the Congress approves of them. (4) For purposes of this subsection, the term "legislative day" means a calendar day on which both Houses of Congress are in session. (g) AIRLINE EMPLOYEES PROTECTIVE ACCOUNT.—All payments under this section shall be made by the Secretary from a separate account maintained in the Treasury of the United States to be known as the Airline Employees Protective Account. There are authorized to be appropriated to such account annually, beginning with the fiscal year ending September 30, 1979, such sums as are necessary to carry out the purposes of this section, including amounts necessary for the

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