Legislación

US (United States) Code. Title 49. Subtitle VII. Part A. Subpart II. Chapter 417: Operations of carriers

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-CITE-

49 USC CHAPTER 417 - OPERATIONS OF CARRIERS 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

-HEAD-

CHAPTER 417 - OPERATIONS OF CARRIERS

-MISC1-

SUBCHAPTER I - REQUIREMENTS

Sec.

41701. Classification of air carriers.

41702. Interstate air transportation.

41703. Navigation of foreign civil aircraft.

41704. Transporting property not to be transported in

aircraft cabins.

41705. Discrimination against handicapped individuals.

41706. Prohibitions against smoking on scheduled flights.

41707. Incorporating contract terms into written instrument.

41708. Reports.

41709. Records of air carriers.

41710. Time requirements.

41711. Air carrier management inquiry and cooperation with

other authorities.

41712. Unfair and deceptive practices and unfair methods of

competition.

41713. Preemption of authority over prices, routes, and

service.

41714. Availability of slots.

41715. Phase-out of slot rules at certain airports.

41716. Interim slot rules at New York airports.

41717. Interim application of slot rules at Chicago O'Hare

International Airport.

41718. Special Rules (!1) for Ronald Reagan Washington

National Airport.

41719. Air service termination notice.

41720. Joint venture agreements.

41721. Reports by carriers on incidents involving animals

during air transportation.(!1)

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

41731. Definitions.

41732. Basic essential air service.

41733. Level of basic essential air service.

41734. Ending, suspending, and reducing basic essential air

service.

41735. Enhanced essential air service.

41736. Air transportation to noneligible places.

41737. Compensation guidelines, limitations, and claims.

41738. Fitness of air carriers.

41739. Air carrier obligations.

41740. Joint proposals.

41741. Insurance.

41742. Essential air service authorization.

41743. Airports not receiving sufficient service.

41744. Preservation of basic essential air service at single

carrier dominated hub airports.

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

41761. Purpose.

41762. Definitions.

41763. Federal credit instruments.

41764. Use of Federal facilities and assistance.

41765. Administrative expenses.

41766. Funding.

41767. Termination.

AMENDMENTS

2000 - Pub. L. 106-181, title II, Secs. 203(b), 204(b), 210(b),

231(j)(2), title VII, Sec. 710(b), Apr. 5, 2000, 114 Stat. 93, 94,

102, 115, 160, added items 41715 to 41718, redesignated former

items 41715 and 41716 as 41719 and 41720, respectively, and added

items 41721, 41743, and 41744, subchapter III heading, and items

41761 to 41767.

1998 - Pub. L. 105-277, div. C, title I, Sec. 110(f)(2), Oct. 21,

1998, 112 Stat. 2681-590, which directed amendment of the analysis

for subchapter I of chapter 417 by adding item 41716 without

specifying the Code title or Act for chapter 417, was executed by

adding item 41716 to this analysis to reflect the probable intent

of Congress.

1996 - Pub. L. 104-264, title II, Sec. 278(d), Oct. 9, 1996, 110

Stat. 3250, substituted "Essential air service authorization" for

"Ending effective date" in item 41742.

1994 - Pub. L. 103-429, Sec. 6(52), Oct. 31, 1994, 108 Stat.

4385, made technical correction to chapter heading.

Pub. L. 103-305, title II, Secs. 206(b), 207(b), Aug. 23, 1994,

108 Stat. 1587, 1588, added items 41714 and 41715.

-SECREF-

CHAPTER REFERRED TO IN OTHER SECTIONS

This chapter is referred to in sections 40109, 44901, 46301 of

this title.

-FOOTNOTE-

(!1) So in original. Does not conform to section catchline.

-End-

-CITE-

49 USC SUBCHAPTER I - REQUIREMENTS 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

SUBCHAPTER I - REQUIREMENTS

-End-

-CITE-

49 USC Sec. 41701 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41701. Classification of air carriers

-STATUTE-

The Secretary of Transportation may establish -

(1) reasonable classifications for air carriers when required

because of the nature of the transportation provided by them; and

(2) reasonable requirements for each class when the Secretary

decides those requirements are necessary in the public interest.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1140.)

-MISC1-

HISTORICAL AND REVISION NOTES

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Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41701 49 App.:1386(a). Aug. 23, 1958, Pub. L.

85-726, Sec. 416(a), 72

Stat. 771.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

--------------------------------------------------------------------

In this section, before clause (1), the words "from time to time"

are omitted as unnecessary. In clauses (1) and (2), the word "just"

is omitted as being included in "reasonable". In clause (1), the

word "groups" is omitted as being included in "classifications".

The words "transportation provided" are substituted for "services

performed" for consistency in the revised title. In clause (2), the

word "requirements" is substituted for "rules and regulations

pursuant to and consistent with the provisions of this subchapter"

as being more appropriate and for consistency in the revised title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41702 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41702. Interstate air transportation

-STATUTE-

An air carrier shall provide safe and adequate interstate air

transportation.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1140.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41702 49 App.:1374(a)(1). Aug. 23, 1958, Pub. L.

85-726, Sec. 404(a)(1), 72

Stat. 760; Mar. 22, 1972,

Pub. L. 92-259, Sec. 1, 86

Stat. 95; Oct. 24, 1978,

Pub. L. 95-504, Sec. 23, 92

Stat. 1724.

49 Aug. 23, 1958, Pub. L.

App.:1551(a)(4)(C) 85-726, 72 Stat. 731, Sec.

(related to 49 1601(a)(4)(C) (related to

App.:1374(a)(1)). Sec. 404(a)(1)); added Oct.

4, 1984, Pub. L. 98-443,

Sec. 3(c), 98 Stat. 1703.

--------------------------------------------------------------------

This section is substituted for 49 App.:1374(a)(1) because 49

App.:1551(a)(4)(C) provides that 49 App.:1374 no longer applies to

interstate or overseas air transportation except insofar as 49

App.:1374 requires air carriers to provide safe and adequate

service.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41703 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41703. Navigation of foreign civil aircraft

-STATUTE-

(a) Permitted Navigation. - A foreign aircraft, not part of the

armed forces of a foreign country, may be navigated in the United

States only -

(1) if the country of registry grants a similar privilege to

aircraft of the United States;

(2) by an airman holding a certificate or license issued or

made valid by the United States Government or the country of

registry;

(3) if the Secretary of Transportation authorizes the

navigation; and

(4) if the navigation is consistent with terms the Secretary

may prescribe.

(b) Requirements for Authorizing Navigation. - The Secretary may

authorize navigation under this section only if the Secretary

decides the authorization is -

(1) in the public interest; and

(2) consistent with any agreement between the Government and

the government of a foreign country.

aircraft permitted to navigate in the United States under this

section to provide air commerce in the United States. However, the

aircraft may take on for compensation, at a place in the United

States, passengers or cargo destined for another place in the

United States only if -

(1) specifically authorized under section 40109(g) of this

title; or

(2) under regulations the Secretary prescribes authorizing air

carriers to provide otherwise authorized air transportation with

foreign registered aircraft under lease or charter to them

without crew.

(d) Permit Requirements Not Affected. - This section does not

affect section 41301 or 41302 of this title. However, a foreign air

carrier holding a permit under section 41302 does not need to

obtain additional authorization under this section for an operation

authorized by the permit.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1140.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41703(a) 49 App.:1508(b) Aug. 23, 1958, Pub. L.

(1st sentence). 85-726, Sec. 1108(b) (1st,

2d, last sentences), 72

Stat. 798, 799.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

41703(b) 49 App.:1508(b) (2d

sentence).

App.:1551(b)(1)(E).

41703(c) 49 App.:1508(b) (3d Aug. 23, 1958, Pub. L.

sentence). 85-726, Sec. 1108(b) (3d

sentence), 72 Stat. 799;

Feb. 15, 1980, Pub. L.

96-192, Sec. 20, 94 Stat. 43.

App.:1551(b)(1)(E).

41703(d) 49 App.:1508(b)

(last sentence).

--------------------------------------------------------------------

In subsection (a), the word "country" is substituted for "nation"

for consistency in the revised title and with other titles of the

United States Code. In clause (3), the words "permit, order, or

regulation issued" are omitted as surplus. In clause (4), the words

"conditions, and limitations" are omitted as being included in

"terms".

In subsection (b)(2), the word "agreement" is substituted for

"treaty, convention, or agreement" for clarity and consistency in

the revised title. The words "which may be in force" are omitted as

surplus. The words "or countries" are omitted because of 1:1.

In subsection (c), before clause (1), the word "place" is

substituted for "point", and the word "passengers" is substituted

for "persons", for consistency in the revised title.

In subsection (d), the word "affect" is substituted for "limit,

modify, or amend" to eliminate unnecessary words.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 40103, 40109, 44101,

46301 of this title.

-End-

-CITE-

49 USC Sec. 41704 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41704. Transporting property not to be transported in aircraft

cabins

-STATUTE-

Under regulations or orders of the Secretary of Transportation,

an air carrier shall transport as baggage the property of a

passenger traveling in air transportation that may not be carried

in an aircraft cabin because of a law or regulation of the United

States. The carrier is liable to pay an amount not more than the

amount declared to the carrier by that passenger for actual loss

of, or damage to, the property caused by the carrier. The carrier

may impose reasonable charges and conditions for its liability.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1141.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41704 49 App.:1516. Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

1116; added Aug. 5, 1974,

Pub. L. 93-366, Sec. 205, 88

Stat. 418.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

--------------------------------------------------------------------

The words "as may be necessary", "which . . . lawfully", and "by

such person" are omitted as surplus. The words "The carrier is

liable to pay an amount not more than" are substituted for "shall

assume liability . . . within" for clarity. The words "to such

person" are omitted as surplus. The words "The carrier may impose"

are added for clarity. The words "terms and" are omitted as covered

by "conditions".

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 40109, 46301 of this

title.

-End-

-CITE-

49 USC Sec. 41705 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41705. Discrimination against handicapped individuals

-STATUTE-

(a) In General. - In providing air transportation, an air

carrier, including (subject to section 40105(b)) any foreign air

carrier, may not discriminate against an otherwise qualified

individual on the following grounds:

(1) the individual has a physical or mental impairment that

substantially limits one or more major life activities.

(2) the individual has a record of such an impairment.

(3) the individual is regarded as having such an impairment.

(b) Each Act Constitutes Separate Offense. - For purposes of

section 46301(a)(3)(E), a separate violation occurs under this

section for each individual act of discrimination prohibited by

subsection (a).

(1) In general. - The Secretary shall investigate each

complaint of a violation of subsection (a).

(2) Publication of data. - The Secretary shall publish

disability-related complaint data in a manner comparable to other

consumer complaint data.

(3) Review and report. - The Secretary shall regularly review

all complaints received by air carriers alleging discrimination

on the basis of disability and shall report annually to Congress

on the results of such review.

(4) Technical assistance. - Not later than 180 days after the

date of the enactment of this subsection, the Secretary shall -

(A) implement a plan, in consultation with the Department of

Justice, the United States Architectural and Transportation

Barriers Compliance Board, and the National Council on

Disability, to provide technical assistance to air carriers and

individuals with disabilities in understanding the rights and

responsibilities set forth in this section; and

(B) ensure the availability and provision of appropriate

technical assistance manuals to individuals and entities with

rights or responsibilities under this section.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1141; Pub. L.

106-181, title VII, Sec. 707(a), Apr. 5, 2000, 114 Stat. 158.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41705 49 App.:1374(c). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

404(c); added Oct. 2, 1986,

Pub. L. 99-435, Sec. 2(a),

100 Stat. 1080.

--------------------------------------------------------------------

In this section, before clause (1), the words "on the following

grounds" are substituted for "by reason of such handicap" and "For

purposes of paragraph (1) of this subsection the term 'handicapped

individual' means any individual who" because of the restatement.

-REFTEXT-

REFERENCES IN TEXT

The date of the enactment of this subsection, referred to in

subsec. (c)(4), is the date of enactment of Pub. L. 106-181, which

was approved Apr. 5, 2000.

-MISC2-

AMENDMENTS

2000 - Pub. L. 106-181 designated existing provisions as subsec.

(a), inserted heading, substituted "carrier, including (subject to

section 40105(b)) any foreign air carrier," for "carrier" in

introductory provisions, and added subsecs. (b) and (c).

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

ESTABLISHMENT OF HIGHER INTERNATIONAL STANDARDS

Pub. L. 106-181, title VII, Sec. 707(c), Apr. 5, 2000, 114 Stat.

158, provided that: "The Secretary [of Transportation] shall work

with appropriate international organizations and the aviation

authorities of other nations to bring about the establishment of

higher standards for accommodating handicapped passengers in air

transportation, particularly with respect to foreign air carriers

that code-share with air carriers."

RESTRICTIONS ON AIR TRANSPORTATION OF PEANUTS; SCIENTIFIC STUDY ON

EFFECT OF AIRBORNE PARTICLES ON PASSENGERS

Pub. L. 106-69, title III, Sec. 346, Oct. 9, 1999, 113 Stat.

1023, provided that: "Hereafter, none of the funds made available

under this Act or any other Act, may be used to implement, carry

out, or enforce any regulation issued under section 41705 of title

49, United States Code, including any regulation contained in part

382 of title 14, Code of Federal Regulations, or any other

provision of law (including any Act of Congress, regulation, or

Executive order or any official guidance or correspondence

thereto), that requires or encourages an air carrier (as that term

is defined in section 40102 of title 49, United States Code) to, on

intrastate or interstate air transportation (as those terms are

defined in section 40102 of title 49, United States Code) -

"(1) provide a peanut-free buffer zone or any other related

peanut-restricted area; or

"(2) restrict the distribution of peanuts,

until 90 days after submission to the Congress and the Secretary of

a peer-reviewed scientific study that determines that there are

severe reactions by passengers to peanuts as a result of contact

with very small airborne peanut particles of the kind that

passengers might encounter in an aircraft."

Similar provisions were contained in Pub. L. 105-277, div. A,

Sec. 101(g) [title III, Sec. 372], Oct. 21, 1998, 112 Stat.

2681-439, 2681-479.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 46301 of this

title.

-End-

-CITE-

49 USC Sec. 41706 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41706. Prohibitions against smoking on scheduled flights

-STATUTE-

(a) Smoking Prohibition in Intrastate and Interstate Air

Transportation. - An individual may not smoke in an aircraft in

scheduled passenger interstate air transportation or scheduled

passenger intrastate air transportation.

(b) Smoking Prohibition in Foreign Air Transportation. - The

Secretary of Transportation shall require all air carriers and

foreign air carriers to prohibit smoking in any aircraft in

scheduled passenger foreign air transportation.

(1) In general. - If a foreign government objects to the

application of subsection (b) on the basis that subsection (b)

provides for an extraterritorial application of the laws of the

United States, the Secretary shall waive the application of

subsection (b) to a foreign air carrier licensed by that foreign

government at such time as an alternative prohibition negotiated

under paragraph (2) becomes effective and is enforced by the

Secretary.

(2) Alternative prohibition. - If, pursuant to paragraph (1), a

foreign government objects to the prohibition under subsection

(b), the Secretary shall enter into bilateral negotiations with

the objecting foreign government to provide for an alternative

smoking prohibition.

(d) Regulations. - The Secretary shall prescribe such regulations

as are necessary to carry out this section.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1141; Pub. L.

106-181, title VII, Sec. 708(a), Apr. 5, 2000, 114 Stat. 159.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41706 49 App.:1374(d)(1). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

404(d)(1); added Dec. 22,

1987, Pub. L. 100-202, Sec.

328(a), 101 Stat. 1329-382;

Nov. 21, 1989, Pub. L.

101-164, Sec. 335 (less

effective date), 103 Stat.

1098, 1099.

49 App.:1374 (note). Nov. 21, 1989, Pub. L.

101-164, Sec. 335 (related

to effective date), 103

Stat. 1099.

--------------------------------------------------------------------

In subsection (a), before clause (1), the words "On and after the

date of expiration of the 4-month period following December 22,

1987" are omitted as executed. The words "of an aircraft" are added

for clarity. The text of 49 App.:1374 (note) is omitted as

executed.

AMENDMENTS

2000 - Pub. L. 106-181 amended section catchline and text

generally. Prior to amendment, text read as follows:

"(a) General. - An individual may not smoke in the passenger

cabin or lavatory of an aircraft on a scheduled airline flight

segment in air transportation or intrastate air transportation that

is -

"(1) between places in a State of the United States, the

District of Columbia, Puerto Rico, or the Virgin Islands;

"(2) between a place in any jurisdiction referred to in clause

(1) of this subsection (except Alaska and Hawaii) and a place in

any other of those jurisdictions; or

"(3)(A) scheduled for not more than 6 hours' duration; and

"(B)(i) between a place referred to in clause (1) of this

subsection (except Alaska and Hawaii) and Alaska or Hawaii; or

"(ii) between Alaska and Hawaii.

"(b) Regulations. - The Secretary of Transportation shall

prescribe regulations necessary to carry out this section."

EFFECTIVE DATE OF 2000 AMENDMENT

Pub. L. 106-181, title VII, Sec. 708(b), Apr. 5, 2000, 114 Stat.

159, provided that: "The amendment made by subsection (a) [amending

this section] shall take effect on the date that is 60 days after

the date of the enactment of this Act [Apr. 5, 2000]."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41707 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41707. Incorporating contract terms into written instrument

-STATUTE-

To the extent the Secretary of Transportation prescribes by

regulation, an air carrier may incorporate by reference in a ticket

or written instrument any term of the contract for providing

interstate air transportation.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1141.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41707 49 App.:1381(b). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

411(b); added Oct. 4, 1984,

Pub. L. 98-443, Sec. 7(a),

98 Stat. 1706.

--------------------------------------------------------------------

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41708 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41708. Reports

-STATUTE-

(a) Application. - To the extent the Secretary of Transportation

finds necessary to carry out this subpart, this section and section

41709 of this title apply to a person controlling an air carrier or

affiliated (within the meaning of section 11343(c) of this title)

with a carrier.

(b) Requirements. - The Secretary may require an air carrier or

foreign air carrier -

(1)(A) to file annual, monthly, periodical, and special reports

with the Secretary in the form and way prescribed by the

Secretary; and

(B) to file the reports under oath;

(2) to provide specific answers to questions on which the

Secretary considers information to be necessary; and

(3) to file with the Secretary a copy of each agreement,

arrangement, contract, or understanding between the carrier and

another carrier or person related to transportation affected by

this subpart.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1141.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41708(a) 49 App.:1377(e) Aug. 23, 1958, Pub. L.

(last sentence). 85-726, Sec. 407(e) (last

sentence), 72 Stat. 766.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

41708(b) 49 App.:1377(a). Aug. 23, 1958, Pub. L.

85-726, Sec. 407(a), 72

Stat. 766; Feb. 15, 1980,

Pub. L. 96-192, Sec. 10, 94

Stat. 38.

App.:1551(b)(1)(E).

--------------------------------------------------------------------

In subsection (a), the word "reasonably" is omitted as surplus.

The words "carry out" are substituted for "administration" for

consistency in the revised title. The words "section 11343(c) of

this title" are substituted for "section 5(8) of the Interstate

Commerce Act, as amended" in section 407(e) of the Federal Aviation

Act of 1958 (Public Law 85-726, 72 Stat. 766), to cite the

corresponding section of the revised title and correct the

inaccurate reference to the definition of "affiliate".

In subsection (b)(3), the word "copy" is substituted for "true

copy" to eliminate an unnecessary word. The word "transportation"

is substituted for "traffic" for consistency in the revised title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41709 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41709. Records of air carriers

-STATUTE-

(a) Requirements. - The Secretary of Transportation shall

prescribe the form of records to be kept by an air carrier,

including records on the movement of traffic, receipts and

expenditures of money, and the time period during which the records

shall be kept. A carrier may keep only records prescribed or

approved by the Secretary. However, a carrier may keep additional

records if the additional records do not impair the integrity of

the records prescribed or approved by the Secretary and are not an

unreasonable financial burden on the carrier.

(b) Inspection. - (1) The Secretary at any time may -

(A) inspect the land, buildings, and equipment of an air

carrier or foreign air carrier when necessary to decide under

subchapter II of this chapter or section 41102, 41103, or 41302

of this title whether a carrier is fit, willing, and able; and

(B) inspect records kept or required to be kept by an air

carrier, foreign air carrier, or ticket agent.

(2) The Secretary may employ special agents or auditors to carry

out this subsection.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1142.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41709(a) 49 App.:1377(d). Aug. 23, 1958, Pub. L.

85-726, Sec. 407(d), 72

Stat. 766.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

41709(b) 49 App.:1377(e) Aug. 23, 1958, Pub. L.

(1st-3d sentences). 85-726, Sec. 407(e) (1st-3d

sentences), 72 Stat. 766;

Jan. 3, 1975, Pub. L.

93-623, Sec. 7(b), 88 Stat.

2105; restated Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(t),

98 Stat. 1708.

App.:1551(b)(1)(E).

--------------------------------------------------------------------

In subsection (a), the word "unreasonable" is substituted for

"undue" for consistency in the revised title and with other titles

of the United States Code.

In subsection (b)(1)(A) and (B), the word "inspect" is

substituted for "have access to" for consistency in the revised

title and with other titles of the Code.

In subsection (b)(2), the words "to carry out this subsection"

are substituted for "who shall have authority under the orders of

the Board to inspect and examine lands, buildings, equipment,

accounts, records, and memorandums to which the Board has access

under this subsection" to eliminate unnecessary words.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 41708 of this

title.

-End-

-CITE-

49 USC Sec. 41710 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41710. Time requirements

-STATUTE-

When a matter requiring action of the Secretary of Transportation

is submitted under section 40109(a) or (c)-(h), 41309, or 42111 of

this title and an evidentiary hearing -

(1) is ordered, the Secretary shall make a final decision on

the matter not later than the last day of the 12th month that

begins after the date the matter is submitted; or

(2) is not ordered, the Secretary shall make a final decision

on the matter not later than the last day of the 6th month that

begins after the date the matter is submitted.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1142.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41710 49 App.:1490. Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

1010; added Oct. 24, 1978,

Pub. L. 95-504, Sec. 38(a),

92 Stat. 1743.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

--------------------------------------------------------------------

In this section, before clause (1), the words "matter requiring

action of the Secretary" are substituted for "application or other

written document" for clarity. The reference to 49 App.:1378 and

1379 is omitted as obsolete because under 49 App.:1551(a)(7), those

sections ceased to be in effect on January 1, 1989. The words "on

or after the one-hundred-eightieth day after October 24, 1978" are

omitted as executed. In clauses (1) and (2), the words "order or"

are omitted as surplus.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 40109, 46301 of this

title.

-End-

-CITE-

49 USC Sec. 41711 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41711. Air carrier management inquiry and cooperation with

other authorities

-STATUTE-

In carrying out this subpart, the Secretary of Transportation may

(1) inquire into the management of the business of an air

carrier and obtain from the air carrier, and a person

controlling, controlled by, or under common control with the

carrier, information the Secretary decides reasonably is

necessary to carry out the inquiry;

(2) confer and hold a joint hearing with a State authority; and

(3) exchange information related to aeronautics with a

government of a foreign country through appropriate departments,

agencies, and instrumentalities of the United States Government.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1142.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41711(1) 49 App.:1385. Aug. 23, 1958, Pub. L.

85-726, Secs. 204(b), (c),

415, 72 Stat. 743, 770.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

41711(2) 49 App.:1324(b).

App.:1551(b)(1)(E).

41711(3) 49 App.:1324(c)

App.:1551(b)(1)(E).

--------------------------------------------------------------------

In this section, before clause (1), the words "In carrying out"

are substituted for "in connection with any matter arising under

this chapter within its jurisdiction" and "in the administration

and enforcement of this chapter" in 49 App.:1324(b) and "For the

purpose of exercising and performing its powers and duties under

this chapter" in 49 App.:1385, and added (as the words relate to 49

App.:1324(c)), for clarity and consistency in this section. In

clause (1), the words "full and complete reports and other" are

omitted as surplus. In clause (2), the words "State aeronautical

agency, or other" are omitted as surplus. The text of 49

App.:1324(b) (words after 3d comma) is omitted as surplus because

of 49:322(c)(3). In clause (3), the words "government of a foreign

country" are substituted for "foreign governments" for consistency

in the revised title and with other titles of the United States

Code.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41712 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41712. Unfair and deceptive practices and unfair methods of

competition

-STATUTE-

(a) In General. - On the initiative of the Secretary of

Transportation or the complaint of an air carrier, foreign air

carrier, or ticket agent, and if the Secretary considers it is in

the public interest, the Secretary may investigate and decide

whether an air carrier, foreign air carrier, or ticket agent has

been or is engaged in an unfair or deceptive practice or an unfair

method of competition in air transportation or the sale of air

transportation. If the Secretary, after notice and an opportunity

for a hearing, finds that an air carrier, foreign air carrier, or

ticket agent is engaged in an unfair or deceptive practice or

unfair method of competition, the Secretary shall order the air

carrier, foreign air carrier, or ticket agent to stop the practice

or method.

(b) E-Ticket Expiration Notice. - It shall be an unfair or

deceptive practice under subsection (a) for any air carrier,

foreign air carrier, or ticket agent utilizing electronically

transmitted tickets for air transportation to fail to notify the

purchaser of such a ticket of its expiration date, if any.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1143; Pub. L.

106-181, title II, Sec. 221, Apr. 5, 2000, 114 Stat. 102.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41712 49 App.:1381(a). Aug. 23, 1958, Pub. L.

85-726, Sec. 411(a), 72

Stat. 769; Oct. 4, 1984,

Pub. L. 98-443, Sec. 7(a),

98 Stat. 1706.

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

--------------------------------------------------------------------

The words "such action by" are omitted as surplus. The words

"opportunity for a" are added for consistency in the revised title

and with other titles of the United States Code.

AMENDMENTS

2000 - Pub. L. 106-181 designated existing provisions as subsec.

(a), inserted heading, and added subsec. (b).

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 46301 of this

title.

-End-

-CITE-

49 USC Sec. 41713 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41713. Preemption of authority over prices, routes, and

service

-STATUTE-

(a) Definition. - In this section, "State" means a State, the

District of Columbia, and a territory or possession of the United

States.

(b) Preemption. - (1) Except as provided in this subsection, a

State, political subdivision of a State, or political authority of

at least 2 States may not enact or enforce a law, regulation, or

other provision having the force and effect of law related to a

price, route, or service of an air carrier that may provide air

transportation under this subpart.

(2) Paragraphs (1) and (4) of this subsection do not apply to air

transportation provided entirely in Alaska unless the

transportation is air transportation (except charter air

transportation) provided under a certificate issued under section

41102 of this title.

(3) This subsection does not limit a State, political subdivision

of a State, or political authority of at least 2 States that owns

or operates an airport served by an air carrier holding a

certificate issued by the Secretary of Transportation from carrying

out its proprietary powers and rights.

(4) Transportation by air carrier or carrier affiliated with a

direct air carrier. -

(A) General rule. - Except as provided in subparagraph (B), a

State, political subdivision of a State, or political authority

of 2 or more States may not enact or enforce a law, regulation,

or other provision having the force and effect of law related to

a price, route, or service of an air carrier or carrier

affiliated with a direct air carrier through common controlling

ownership when such carrier is transporting property by aircraft

or by motor vehicle (whether or not such property has had or will

have a prior or subsequent air movement).

(B) Matters not covered. - Subparagraph (A) -

(i) shall not restrict the safety regulatory authority of a

State with respect to motor vehicles, the authority of a State

to impose highway route controls or limitations based on the

size or weight of the motor vehicle or the hazardous nature of

the cargo, or the authority of a State to regulate motor

carriers with regard to minimum amounts of financial

responsibility relating to insurance requirements and

self-insurance authorization; and

(ii) does not apply to the transportation of household goods,

as defined in section 13102 of this title.

limit the applicability of paragraph (1).

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1143; Pub. L.

103-305, title VI, Sec. 601(b)(1), (2)(A), Aug. 23, 1994, 108 Stat.

1605, 1606; Pub. L. 105-102, Sec. 2(23), Nov. 20, 1997, 111 Stat.

2205.)

-MISC1-

HISTORICAL AND REVISION NOTES

PUB. L. 103-272

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41713(a) 49 App.:1305(c), Aug. 23, 1958, Pub. L.

(d) (related to 85-726, 72 Stat. 731, Sec.

(a), (b)(1), (c)). 105(a)(2), (b)(1), (c), (d)

(related to (a), (b)(1),

(c)); added Oct. 24, 1978,

Pub. L. 95-504, Sec. 4(a),

92 Stat. 1708.

41713(b)(1) 49 App.:1305(a)(1). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

105(a)(1); added Oct. 24,

1978, Pub. L. 95-504, Sec.

4(a), 92 Stat. 1707; Oct. 4,

1984, Pub. L. 98-443, Sec.

9(u), 98 Stat. 1709.

41713(b)(2) 49 App.:1305(a)(2).

49 Aug. 23, 1958, Pub. L.

App.:1551(b)(1)(E). 85-726, 72 Stat. 731, Sec.

1601(b)(1)(E); added Oct. 4,

1984, Pub. L. 98-443, Sec.

3(e), 98 Stat. 1704.

41713(b)(3) 49 App.:1305(b)(1).

App.:1551(b)(1)(E).

--------------------------------------------------------------------

In subsection (a), the words "the term" are omitted as surplus.

The words "the Commonwealth of Puerto Rico, the Commonwealth of the

Northern Mariana Islands, Guam, the Virgin Islands, and" are

omitted as surplus because of the definition of "territory or

possession of the United States" in section 40102(a) of the revised

title, 48:734, and section 502 of the Covenant to Establish a

Commonwealth of the Northern Mariana Islands in Political Union

with the United States of America. The text of 49 App.:1305(c) is

omitted as obsolete.

In subsection (b)(1) and (3), the words "interstate agency or

other" are omitted as surplus. The word "authority" is substituted

for "agency" for consistency in the revised title and with other

titles of the United States Code.

In subsection (b)(1), the word "rule" is omitted as being

synonymous with "regulation". The words "standard" and "having

authority" are omitted as surplus.

In subsection (b)(2), the words "pursuant to a certificate issued

by the Board", "by air of persons, property, or mail", and "the

State of" are omitted as surplus.

PUB. L. 105-102

This amends 49:41713(b)(4)(B)(ii) to correct a cross-reference

necessary because of the restatement of subtitle IV of title 49 by

the ICC Termination Act (Public Law 104-88, 109 Stat. 803).

AMENDMENTS

1997 - Subsec. (b)(4)(B)(ii). Pub. L. 105-102 substituted "13102"

for "10102".

1994 - Subsec. (b)(2). Pub. L. 103-305, Sec. 601(b)(2)(A),

substituted "Paragraphs (1) and (4) of this subsection do" for

"Paragraph (1) of this subsection does".

Subsec. (b)(4). Pub. L. 103-305, Sec. 601(b)(1), added par. (4).

EFFECTIVE DATE OF 1994 AMENDMENT

Amendment by Pub. L. 103-305 effective Jan. 1, 1995, see section

601(d) of Pub. L. 103-305, set out as a note under section 10521 of

this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 14501, 40109, 46301 of

this title.

-End-

-CITE-

49 USC Sec. 41714 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41714. Availability of slots

-STATUTE-

(a) Making Slots Available for Essential Air Service. -

(1) Operational authority. - If basic essential air service

under subchapter II of this chapter is to be provided from an

eligible point to a high density airport (other than Ronald

Reagan Washington National Airport), the Secretary of

Transportation shall ensure that the air carrier providing or

selected to provide such service has sufficient operational

authority at the high density airport to provide such service.

The operational authority shall allow flights at reasonable times

taking into account the needs of passengers with connecting

flights.

(2) Exemptions. - If necessary to carry out the objectives of

paragraph (1), the Secretary shall by order grant exemptions from

the requirements of subparts K and S of part 93 of title 14, Code

of Federal Regulations (pertaining to slots at high density

airports), to air carriers using Stage 3 aircraft or to commuter

air carriers, unless such an exemption would significantly

increase operational delays.

(3) Assurance of access. - If the Secretary finds that an

exemption under paragraph (2) would significantly increase

operational delays, the Secretary shall take such action as may

be necessary to ensure that an air carrier providing or selected

to provide basic essential air service is able to obtain access

to a high density airport.

(4) Action by the secretary. - The Secretary shall issue a

final order under this subsection on or before the 60th day after

receiving a request from an air carrier for operational authority

under this subsection.

(b) Slots for Foreign Air Transportation. -

(1) Exemptions. - If the Secretary finds it to be in the public

interest at a high density airport (other than Ronald Reagan

Washington National Airport), the Secretary may grant by order

exemptions from the requirements of subparts K and S of part 93

of title 14, Code of Federal Regulations (pertaining to slots at

high density airports), to enable air carriers and foreign air

carriers to provide foreign air transportation using Stage 3

aircraft.

(2) Slot withdrawals. - The Secretary may not withdraw a slot

at Chicago O'Hare International Airport from an air carrier in

order to allocate that slot to a carrier to provide foreign air

transportation.

(3) Equivalent rights of access. - The Secretary shall not take

a slot at a high density airport from an air carrier and award

such slot to a foreign air carrier if the Secretary determines

that air carriers are not provided equivalent rights of access to

airports in the country of which such foreign air carrier is a

citizen.

(4) Conversions of slots. - Effective May 1, 2000, slots at

Chicago O'Hare International Airport allocated to an air carrier

as of November 1, 1999, to provide foreign air transportation

shall be made available to such carrier to provide interstate or

intrastate air transportation.

the public interest, the Secretary may by order grant exemptions

from the requirements under subparts K and S of part 93 of title

14, Code of Federal Regulations (pertaining to slots at high

density airports), to enable new entrant air carriers to provide

air transportation at high density airports (other than Ronald

Reagan Washington National Airport).

(d) Special Rules for Ronald Reagan Washington National Airport.

(1) In general. - Notwithstanding sections 49104(a)(5) and

49111(e) of this title, or any provision of this section, the

Secretary may, only under circumstances determined by the

Secretary to be exceptional, grant by order to an air carrier

currently holding or operating a slot at Ronald Reagan Washington

National Airport an exemption from requirements under subparts K

and S of part 93 of title 14, Code of Federal Regulations

(pertaining to slots at Ronald Reagan Washington National

Airport), to enable that carrier to provide air transportation

with Stage 3 aircraft at Ronald Reagan Washington National

Airport; except that such exemption shall not -

(A) result in an increase in the total number of slots per

day at Ronald Reagan Washington National Airport;

(B) result in an increase in the total number of slots at

Ronald Reagan Washington National Airport from 7:00 ante

meridiem to 9:59 post meridiem;

Washington National Airport in any 1-hour period by more than 2

operations;

(D) result in the withdrawal or reduction of slots operated

by an air carrier;

(E) result in a net increase in noise impact on surrounding

communities resulting from changes in timing of operations

permitted under this subsection; and

(F) continue in effect on or after the date on which the

final rules issued under subsection (f) become effective.

(2) Limitation on applicability. - Nothing in this subsection

shall adversely affect Exemption No. 5133, as from time-to-time

amended and extended.

(e) Study. -

(1) Matters to be considered. - The Secretary shall continue

the Secretary's current examination of slot regulations and shall

ensure that the examination includes consideration of -

(A) whether improvements in technology and procedures of the

air traffic control system and the use of quieter aircraft make

it possible to eliminate the limitations on hourly operations

imposed by the high density rule contained in part 93 of title

14 of the Code of Federal Regulations or to increase the number

of operations permitted under such rule;

(B) the effects of the elimination of limitations or an

increase in the number of operations allowed on each of the

following:

(i) congestion and delay in any part of the national

aviation system;

(ii) the impact of noise on persons living near the

airport;

(iii) competition in the air transportation system;

(iv) the profitability of operations of airlines serving

the airport; and

(v) aviation safety;

the ability of air carriers to provide essential air service

under subchapter II of this chapter;

(D) the impact of such allocation process upon the ability of

new entrant air carriers to obtain slots in time periods that

enable them to provide service;

(E) the impact of such allocation process on the ability of

foreign air carriers to obtain slots;

(F) the fairness of such process to air carriers and the

extent to which air carriers are provided equivalent rights of

access to the air transportation market in the countries of

which foreign air carriers holding slots are citizens;

(G) the impact, on the ability of air carriers to provide

domestic and international air service, of the withdrawal of

slots from air carriers in order to provide slots for foreign

air carriers; and

(H) the impact of the prohibition on slot withdrawals in

subsections (b)(2) and (b)(3) of this section on the aviation

relationship between the United States Government and foreign

governments, including whether the prohibition in such

subsections will require the withdrawal of slots from general

and military aviation in order to meet the needs of air

carriers and foreign air carriers providing foreign air

transportation (and the impact of such withdrawal on general

aviation and military aviation) and whether slots will become

available to meet the needs of air carriers and foreign air

carriers to provide foreign air transportation as a result of

the planned relocation of Air Force Reserve units and the Air

National Guard at O'Hare International Airport.

(2) Report. - Not later than January 31, 1995, the Secretary

shall complete the current examination of slot regulations and

shall transmit to the Committee on Commerce, Science, and

Transportation of the Senate and the Committee on Transportation

and Infrastructure of the House of Representatives a report

containing the results of such examination.

(f) Rulemaking. - The Secretary shall conduct a rulemaking

proceeding based on the results of the study described in

subsection (e). In the course of such proceeding, the Secretary

shall issue a notice of proposed rulemaking not later than August

1, 1995, and shall issue a final rule not later than 90 days after

public comments are due on the notice of proposed rulemaking.

(g) Weekend Operations. - The Secretary shall consider the

advisability of revising section 93.227 of title 14, Code of

Federal Regulations, so as to eliminate weekend schedules from the

determination of whether the 80 percent standard of subsection

(a)(1) of that section has been met.

(h) Definitions. - In this section and sections 41715-41718 and

41734(h), the following definitions apply:

(1) Commuter air carrier. - The term "commuter air carrier"

means a commuter operator as defined or applied in subpart K or S

of part 93 of title 14, Code of Federal Regulations.

(2) High density airport. - The term "high density airport"

means an airport at which the Administrator limits the number of

instrument flight rule takeoffs and landings of aircraft.

(3) New entrant air carrier. - The term "new entrant air

carrier" means an air carrier that does not hold a slot at the

airport concerned and has never sold or given up a slot at that

airport after December 16, 1985, and a limited incumbent carrier.

(4) Slot. - The term "slot" means a reservation for an

instrument flight rule takeoff or landing by an air carrier of an

aircraft in air transportation.

(5) Limited incumbent air carrier. - The term "limited

incumbent air carrier" has the meaning given that term in subpart

S of part 93 of title 14, Code of Federal Regulations; except

that -

(A) "20" shall be substituted for "12" in sections

93.213(a)(5), 93.223(c)(3), and 93.225(h);

(B) for purposes of such sections, the term "slot" shall

include "slot exemptions"; and

Administrator shall not count, for the purposes of section

93.213(a)(5), slots currently held by an air carrier but leased

out on a long-term basis by that carrier for use in foreign air

transportation and renounced by the carrier for return to the

Department of Transportation or the Federal Aviation

Administration.

(6) Regional jet. - The term "regional jet" means a passenger,

turbofan-powered aircraft with a certificated maximum passenger

seating capacity of less than 71.

(7) Nonhub airport. - The term "nonhub airport" means an

airport that had less than .05 percent of the total annual

boardings in the United States as determined under the Federal

Aviation Administration's Primary Airport Enplanement Activity

Summary for Calendar Year 1997.

(8) Small hub airport. - The term "small hub airport" means an

airport that had at least .05 percent, but less than .25 percent,

of the total annual boardings in the United States as determined

under the summary referred to in paragraph (7).

(9) Medium hub airport. - The term "medium hub airport" means

an airport that each year has at least .25 percent, but less than

1.0 percent, of the total annual boardings in the United States

as determined under the summary referred to in paragraph (7).

(i) 60-Day Application Process. -

(1) Request for slot exemptions. - Any slot exemption request

filed with the Secretary under this section or section 41716 or

41717 (other than subsection (c)) shall include -

(A) the names of the airports to be served;

(B) the times requested; and

(2) Action on request; failure to act. - Within 60 days after a

slot exemption request under this section or section 41716 or

41717 (other than subsection (c)) is received by the Secretary,

the Secretary shall -

(A) approve the request if the Secretary determines that the

requirements of the section under which the request is made are

met;

(B) return the request to the applicant for additional

information relating to the request to provide air

transportation; or

(3) 60-day period tolled for timely request for more

information. - If the Secretary returns under paragraph (2)(B)

the request for additional information during the first 20 days

after the request is filed, then the 60-day period under

paragraph (2) shall be tolled until the date on which the

additional information is filed with the Secretary.

(4) Failure to determine deemed approval. - If the Secretary

neither approves the request under paragraph (2)(A) nor denies

the request under paragraph (2)(C) within the 60-day period

beginning on the date the request is received, excepting any days

during which the 60-day period is tolled under paragraph (3),

then the request is deemed to have been approved on the 61st day,

after the request was filed with the Secretary.

(j) Exemptions May Not Be Transferred. - No exemption from the

requirements of subparts K and S of part 93 of title 14, Code of

Federal Regulations, granted under this section or section 41716,

41717, or 41718 may be bought, sold, leased, or otherwise

transferred by the carrier to which it is granted.

(k) Affiliated Carriers. - For purposes of this section and

sections 41716, 41717, and 41718, an air carrier that operates

under the same designator code, or has or enters into a code-share

agreement, with any other air carrier shall not qualify for a new

slot or slot exemption as a new entrant or limited incumbent air

carrier at an airport if the total number of slots and slot

exemptions held by the two carriers at the airport exceed 20 slots

and slot exemptions.

-SOURCE-

(Added Pub. L. 103-305, title II, Sec. 206(a)(1), Aug. 23, 1994,

108 Stat. 1584; amended Pub. L. 104-287, Sec. 5(9), Oct. 11, 1996,

110 Stat. 3389; Pub. L. 105-66, title III, Sec. 345, Oct. 27, 1997,

111 Stat. 1449; Pub. L. 105-102, Sec. 2(24), Nov. 20, 1997, 111

Stat. 2205; Pub. L. 105-154, Sec. 2(a)(1)(C), (2), Feb. 6, 1998,

112 Stat. 3; Pub. L. 106-181, title II, Sec. 231(a), (d)(2)-(4),

Apr. 5, 2000, 114 Stat. 106, 112.)

-MISC1-

HISTORICAL AND REVISION NOTES

PUB. L. 105-102

This amends 49:41714(d)(1) to make a conforming cross-reference

necessary because of the restatement of the Metropolitan Washington

Airports Act of 1986 (Public Law 99-500, 100 Stat. 1783-373, Public

Law 99-591, 100 Stat. 3341-376) by section 2(26) of this Act as

chapter 491 of title 49.

AMENDMENTS

2000 - Subsec. (a)(3). Pub. L. 106-181, Sec. 231(d)(2), struck

out before period at end "; except that the Secretary shall not be

required to make slots available at O'Hare International Airport in

Chicago, Illinois, if the number of slots available for basic

essential air service (including slots specifically designated as

essential air service slots and slots used for such purposes) to

and from such airport is at least 132 slots".

Subsec. (b)(2). Pub. L. 106-181, Sec. 231(d)(3), inserted "at

Chicago O'Hare International Airport" after "a slot" and struck out

before period at end "if the withdrawal of that slot would result

in the withdrawal of slots from an air carrier at O'Hare

International Airport under section 93.223 of title 14, Code of

Federal Regulations, in excess of the total withdrawn from that air

carrier as of October 31, 1993".

Subsec. (b)(4). Pub. L. 106-181, Sec. 231(d)(4), amended heading

and text of par. (4) generally. Prior to amendment, text read as

follows: "This subsection and exemptions issued under this

subsection shall cease to be in effect when the final rules issued

under subsection (f) become effective."

Subsec. (c). Pub. L. 106-181, Sec. 231(a)(4), reenacted subsec.

heading and struck out "(1) In general. - " before "If the

Secretary finds", "and the circumstances to be exceptional" before

", the Secretary may by", and par. (2) heading and text. Text of

par. (2) read as follows: "Exemptions issued under this subsection

shall cease to be in effect on or after the date on which the final

rules issued under subsection (f) become effective."

Subsec. (h). Pub. L. 106-181, Sec. 231(a)(5)(A), in introductory

provisions, substituted "and sections 41715-41718 and 41734(h)" for

"and section 41734(h)".

Subsec. (h)(3). Pub. L. 106-181, Sec. 231(a)(5)(B), struck out

"as defined in subpart S of part 93 of title 14, Code of Federal

Regulations" before period at end.

Subsec. (h)(5) to (9). Pub. L. 106-181, Sec. 231(a)(5)(C), added

pars. (5) to (9).

Subsec. (i). Pub. L. 106-181, Sec. 231(a)(1), amended heading and

text of subsec. (i) generally. Prior to amendment, text read as

follows: "Within 120 days after receiving an application for an

exemption under subsection (a)(2) to improve air service between a

nonhub airport (as defined in section 41731(a)(4)) and a high

density airport subject to the exemption authority under subsection

(a), the Secretary shall grant or deny the exemption. The Secretary

shall notify the Senate Committee on Commerce, Science, and

Transportation and the House Committee on Transportation and

Infrastructure of the grant or denial within 14 calendar days after

the determination and state the reasons for the determination."

Subsecs. (j), (k). Pub. L. 106-181, Sec. 231(a)(2), (3), added

subsecs. (j) and (k).

1998 - Subsecs. (a)(1), (b)(1), (c)(1), (d). Pub. L. 105-154

substituted "Ronald Reagan Washington National Airport" for

"Washington National Airport" wherever appearing in text and in

subsec. (d) heading.

1997 - Subsec. (d)(1). Pub. L. 105-102 substituted "sections

49104(a)(5) and 49111(e) of this title" for "sections 6005(c)(5)

and 6009(e) of the Metropolitan Washington Airports Act of 1986".

Subsec. (i). Pub. L. 105-66 added subsec. (i).

1996 - Subsec. (e)(2). Pub. L. 104-287 substituted

"Transportation and Infrastructure" for "Public Works and

Transportation".

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

RETURN OF WITHDRAWN SLOTS

Pub. L. 106-181, title II, Sec. 231(d)(5), Apr. 5, 2000, 114

Stat. 112, provided that: "The Secretary [of Transportation] shall

return any slot withdrawn from an air carrier under section

41714(b) of title 49, United States Code, before the date of the

enactment of this Act [Apr. 5, 2000], to that carrier on April 30,

2000."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 40109, 41715, 41716,

41717, 41718, 46301 of this title.

-End-

-CITE-

49 USC Sec. 41715 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41715. Phase-out of slot rules at certain airports

-STATUTE-

(a) Termination. - The rules contained in subparts S and K of

part 93, title 14, Code of Federal Regulations, shall not apply -

(1) after July 1, 2002, at Chicago O'Hare International

Airport; and

(2) after January 1, 2007, at LaGuardia Airport or John F.

Kennedy International Airport.

(b) Statutory Construction. - Nothing in this section and

sections 41714 and 41716-41718 shall be construed -

(1) as affecting the Federal Aviation Administration's

authority for safety and the movement of air traffic; and

(2) as affecting any other authority of the Secretary to grant

exemptions under section 41714.

(1) In general. - Before the award of slot exemptions under

sections 41714 and 41716-41718, the Secretary of Transportation

may consider, among other determining factors, whether the

petitioning air carrier's proposal provides the maximum benefit

to the United States economy, including the number of United

States jobs created by the air carrier, its suppliers, and

related activities. The Secretary should give equal consideration

to the consumer benefits associated with the award of such

exemptions.

(2) Applicability. - Paragraph (1) does not apply in any case

in which the air carrier requesting the slot exemption is

proposing to use under the exemption a type of aircraft for which

there is not a competing United States manufacturer.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 231(b)(2), Apr. 5, 2000, 114

Stat. 108.)

-MISC1-

PRIOR PROVISIONS

A prior section 41715 was renumbered section 41719 of this title.

EFFECTIVE DATE

Section applicable only to fiscal years beginning after Sept. 30,

1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41714 of this title.

-End-

-CITE-

49 USC Sec. 41716 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41716. Interim slot rules at New York airports

-STATUTE-

(a) Exemptions for Air Service to Small and Nonhub Airports. -

Subject to section 41714(i), the Secretary of Transportation shall

grant, by order, exemptions from the requirements under subparts K

and S of part 93 of title 14, Code of Federal Regulations

(pertaining to slots at high density airports) to any air carrier

to provide nonstop air transportation, using an aircraft with a

certificated maximum seating capacity of less than 71, between

LaGuardia Airport or John F. Kennedy International Airport and a

small hub airport or nonhub airport -

(1) if the air carrier was not providing such air

transportation during the week of November 1, 1999;

(2) if the number of flights to be provided between such

airports by the air carrier during any week will exceed the

number of flights provided by the air carrier between such

airports during the week of November 1, 1999; or

(3) if the air transportation to be provided under the

exemption will be provided with a regional jet as replacement of

turboprop air transportation that was being provided during the

week of November 1, 1999.

(b) Exemptions for New Entrant and Limited Incumbent Air

Carriers. - Subject to section 41714(i), the Secretary shall grant,

by order, exemptions from the requirements under subparts K and S

of part 93 of title 14, Code of Federal Regulations (pertaining to

slots at high density airports), to any new entrant air carrier or

limited incumbent air carrier to provide air transportation to or

from LaGuardia Airport or John F. Kennedy International Airport if

the number of slot exemptions granted under this subsection to such

air carrier with respect to such airport when added to the slots

and slot exemptions held by such air carrier with respect to such

airport does not exceed 20.

under this section with respect to any aircraft that is not a Stage

3 aircraft (as defined by the Secretary).

(d) Preservation of Certain Existing Slot-Related Air Service. -

An air carrier that provides air transportation of passengers from

LaGuardia Airport or John F. Kennedy International Airport to a

small hub airport or nonhub airport, or to an airport that is

smaller than a nonhub airport, on or before the date of the

enactment of this subsection pursuant to an exemption from the

requirements of subparts K and S of part 93 of title 14, Code of

Federal Regulations (pertaining to slots at high density airports),

or where slots were issued to an air carrier conditioned on a

specific airport being served, may not terminate air transportation

for that route before July 1, 2003, unless -

(1) before October 1, 1999, the Secretary received a written

air service termination notice for that route; or

(2) after September 30, 1999, the air carrier submits an air

service termination notice under section 41719 for that route and

the Secretary determines that the carrier suffered excessive

losses, including substantial losses on operations on that route

during any three quarters of the year immediately preceding the

date of submission of the notice.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 231(c), Apr. 5, 2000, 114

Stat. 109.)

-REFTEXT-

REFERENCES IN TEXT

The date of the enactment of this subsection, referred to in

subsec. (d), is the date of enactment of Pub. L. 106-181, which was

approved Apr. 5, 2000.

-MISC1-

PRIOR PROVISIONS

A prior section 41716 was renumbered section 41720 of this title.

EFFECTIVE DATE

Section applicable only to fiscal years beginning after Sept. 30,

1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41714, 41715, 41743 of

this title.

-End-

-CITE-

49 USC Sec. 41717 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41717. Interim application of slot rules at Chicago O'Hare

International Airport

-STATUTE-

(a) Slot Operating Window Narrowed. - Effective July 1, 2001, the

requirements of subparts K and S of part 93 of title 14, Code of

Federal Regulations, do not apply with respect to aircraft

operating before 2:45 post meridiem and after 8:14 post meridiem at

Chicago O'Hare International Airport.

(b) Exemptions for Air Service to Small and Nonhub Airports. -

Effective May 1, 2000, subject to section 41714(i), the Secretary

of Transportation shall grant, by order, exemptions from the

requirements of subparts K and S of part 93 of title 14, Code of

Federal Regulations (pertaining to slots at high density airports),

to any air carrier to provide nonstop air transportation, using an

aircraft with a certificated maximum seating capacity of less than

71, between Chicago O'Hare International Airport and a small hub or

nonhub airport -

(1) if the air carrier was not providing such air

transportation during the week of November 1, 1999;

(2) if the number of flights to be provided between such

airports by the air carrier during any week will exceed the

number of flights provided by the air carrier between such

airports during the week of November 1, 1999; or

(3) if the air transportation to be provided under the

exemption will be provided with a regional jet as replacement of

turboprop air transportation that was being provided during the

week of November 1, 1999.

Carriers. -

(1) In general. - The Secretary shall grant, by order, 30

exemptions from the requirements under subparts K and S of part

93 of title 14, Code of Federal Regulations, to any new entrant

air carrier or limited incumbent air carrier to provide air

transportation to or from Chicago O'Hare International Airport.

(2) Deadline for granting exemptions. - The Secretary shall

grant an exemption under paragraph (1) within 45 days of the date

of the request for such exemption if the person making the

request qualifies as a new entrant air carrier or limited

incumbent air carrier.

(d) Slots Used To Provide Turboprop Service. -

(1) In general. - Except as provided in paragraph (2), a slot

used to provide turboprop air transportation that is replaced

with regional jet air transportation under subsection (b)(3) may

not be used, sold, leased, or otherwise transferred after the

date the slot exemption is granted to replace the turboprop air

transportation.

(2) Two-for-one exception. - An air carrier that otherwise

could not use 2 slots as a result of paragraph (1) may use 1 of

such slots to provide air transportation.

(3) Withdrawal of slot. - If the Secretary determines that an

air carrier that is using a slot under paragraph (2) is no longer

providing the air transportation that replaced the turboprop air

transportation, the Secretary shall withdraw the slot that is

being used under paragraph (2).

(4) Continuation. - If the Secretary determines that an air

carrier that is using a slot under paragraph (2) is no longer

providing the air transportation that replaced the turboprop air

transportation with a regional jet, the Secretary shall withdraw

the slot being used by the air carrier under paragraph (2) but

shall allow the air carrier to continue to hold the exemption

granted to the air carrier under subsection (b)(3).

(e) International Service at O'Hare Airport. -

(1) Termination of requirements. - Subject to paragraph (2),

the requirements of subparts K and S of part 93 of title 14, Code

of Federal Regulations, shall be of no force and effect at

Chicago O'Hare International Airport after May 1, 2000, with

respect to any aircraft providing foreign air transportation.

(2) Exception relating to reciprocity. - The Secretary may

limit access to Chicago O'Hare International Airport with respect

to foreign air transportation being provided by a foreign air

carrier domiciled in a country to which an air carrier provides

nonstop air transportation from the United States if the country

in which that carrier is domiciled does not provide reciprocal

airport access for air carriers.

(f) Stage 3 Aircraft Required. - An exemption may not be granted

under this section with respect to any aircraft that is not a Stage

3 aircraft (as defined by the Secretary).

(g) Preservation of Certain Existing Slot-Related Air Service. -

An air carrier that provides air transportation of passengers from

Chicago O'Hare International Airport to a small hub airport or

nonhub airport, or to an airport that is smaller than a nonhub

airport, on or before the date of the enactment of this subsection

pursuant to an exemption from the requirements of subparts K and S

of part 93 of title 14, Code of Federal Regulations (pertaining to

slots at high density airports), or where slots were issued to an

air carrier conditioned on a specific airport being served, may not

terminate air transportation service for that route for a period of

1 year after the date on which those requirements cease to apply to

such airport unless -

(1) before October 1, 1999, the Secretary received a written

air service termination notice for that route; or

(2) after September 30, 1999, the air carrier submits an air

service termination notice under section 41719 for that route and

the Secretary determines that the carrier suffered excessive

losses, including substantial losses on operations on that route

during the calendar quarters immediately preceding submission of

the notice.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 231(d)(1), Apr. 5, 2000, 114

Stat. 110.)

-REFTEXT-

REFERENCES IN TEXT

The date of the enactment of this subsection, referred to in

subsec. (g), is the date of enactment of Pub. L. 106-181, which was

approved Apr. 5, 2000.

-MISC1-

EFFECTIVE DATE

Section applicable only to fiscal years beginning after Sept. 30,

1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41714, 41715 of this

title.

-End-

-CITE-

49 USC Sec. 41718 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41718. Special rules for Ronald Reagan Washington National

Airport

-STATUTE-

(a) Beyond-Perimeter Exemptions. - The Secretary shall grant, by

order, 12 exemptions from the application of sections 49104(a)(5),

49109, 49111(e), and 41714 of this title to air carriers to operate

limited frequencies and aircraft on select routes between Ronald

Reagan Washington National Airport and domestic hub airports and

exemptions from the requirements of subparts K and S of part 93,

Code of Federal Regulations, if the Secretary finds that the

exemptions will -

(1) provide air transportation with domestic network benefits

in areas beyond the perimeter described in that section;

(2) increase competition by new entrant air carriers or in

multiple markets;

(3) not reduce travel options for communities served by small

hub airports and medium hub airports within the perimeter

described in section 49109; and

(4) not result in meaningfully increased travel delays.

(b) Within-Perimeter Exemptions. - The Secretary shall grant, by

order, 12 exemptions from the requirements of sections 49104(a)(5),

49111(e), and 41714 of this title and subparts K and S of part 93

of title 14, Code of Federal Regulations, to air carriers for

providing air transportation to airports that were designated as

medium hub or smaller airports within the perimeter established for

civil aircraft operations at Ronald Reagan Washington National

Airport under section 49109. The Secretary shall develop criteria

for distributing slot exemptions for flights within the perimeter

to such airports under this paragraph in a manner that promotes air

transportation -

(1) by new entrant air carriers and limited incumbent air

carriers;

(2) to communities without existing nonstop air transportation

to Ronald Reagan Washington National Airport;

(3) to small communities;

(4) that will provide competitive nonstop air transportation on

a monopoly nonstop route to Ronald Reagan Washington National

Airport; or

(5) that will produce the maximum competitive benefits,

including low fares.

(1) Stage 3 aircraft required. - An exemption may not be

granted under this section with respect to any aircraft that is

not a Stage 3 aircraft (as defined by the Secretary).

(2) General exemptions. - The exemptions granted under

subsections (a) and (b) may not be for operations between the

hours of 10:00 p.m. and 7:00 a.m. and may not increase the number

of operations at Ronald Reagan Washington National Airport in any

1-hour period during the hours between 7:00 a.m. and 9:59 p.m. by

more than two operations.

(3) Allocation of within-perimeter exemptions. - Of the

exemptions granted under subsection (b) -

(A) four shall be for air transportation to small hub

airports and nonhub airports; and

(B) eight shall be for air transportation to medium hub and

smaller airports.

(4) Applicability to exemption no. 5133. - Nothing in this

section affects Exemption No. 5133, as from time-to-time amended

and extended.

(d) Application Process. -

(1) Deadline for submission. - All requests for exemptions

under this section must be submitted to the Secretary not later

than the 30th day following the date of the enactment of this

subsection.

(2) Deadline for comments. - All comments with respect to any

request for an exemption under this section must be submitted to

the Secretary not later than the 45th day following the date of

the enactment of this subsection.

(3) Deadline for final decision. - Not later than the 90th day

following the date of the enactment of this Act, the Secretary

shall make a decision regarding whether to approve or deny any

request that is submitted to the Secretary in accordance with

paragraph (1).

(e) Applicability of Certain Laws. - Neither the request for, nor

the granting of an exemption, under this section shall be

considered for purposes of any Federal law a major Federal action

significantly affecting the quality of the human environment.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 231(e)(1), Apr. 5, 2000, 114

Stat. 112.)

-REFTEXT-

REFERENCES IN TEXT

The date of the enactment of this subsection, referred to in

subsec. (d)(1), (2), is the date of enactment of Pub. L. 106-181,

which was approved Apr. 5, 2000.

The date of the enactment of this Act, referred to in subsec.

(d)(3), probably means the date of enactment of Pub. L. 106-181,

which enacted this section and was approved Apr. 5, 2000.

-MISC1-

EFFECTIVE DATE

Section applicable only to fiscal years beginning after Sept. 30,

1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41714, 41715, 49104 of

this title.

-End-

-CITE-

49 USC Sec. 41719 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41719. Air service termination notice

-STATUTE-

(a) In General. - An air carrier may not terminate interstate air

transportation from a nonhub airport included on the Secretary of

Transportation's latest published list of such airports, unless

such air carrier has given the Secretary at least 45 days' notice

before such termination.

(b) Exceptions. - The requirements of subsection (a) shall not

apply when -

(1) the carrier involved is experiencing a sudden or unforeseen

financial emergency, including natural weather related

emergencies, equipment-related emergencies, and strikes;

(2) the termination of transportation is made for seasonal

purposes only;

(3) the carrier involved has operated at the affected nonhub

airport for 180 days or less;

(4) the carrier involved provides other transportation by jet

from another airport serving the same community as the affected

nonhub airport; or

(5) the carrier involved makes alternative arrangements, such

as a change of aircraft size, or other types of arrangements with

a part 121 or part 135 air carrier, that continues uninterrupted

service from the affected nonhub airport.

1995, the Secretary shall establish terms and conditions under

which regional/commuter carriers can be excluded from the

termination notice requirement.

(d) Definitions. - In this section, the following definitions

apply:

(1) Nonhub airport. - The term "nonhub airport" has the meaning

that term has under section 41731(a)(4).

(2) Part 121 air carrier. - The term "part 121 air carrier"

means an air carrier to which part 121 of title 14, Code of

Federal Regulations, applies.

(3) Part 135 air carrier. - The term "part 135 air carrier"

means an air carrier to which part 135 of title 14, Code of

Federal Regulations, applies.

(4) Regional/commuter carriers. - The term "regional/commuter

carrier" means -

(A) a part 135 air carrier; or

(B) a part 121 air carrier that provides air transportation

exclusively with aircraft having a seating capacity of no more

than 70 passengers.

(5) Termination. - The term "termination" means the cessation

of all service at an airport by an air carrier.

-SOURCE-

(Added Pub. L. 103-305, title II, Sec. 207(a), Aug. 23, 1994, 108

Stat. 1587, Sec. 41715; amended Pub. L. 103-429, Sec. 6(53), Oct.

31, 1994, 108 Stat. 4385; Pub. L. 104-287, Sec. 5(73), Oct. 11,

1996, 110 Stat. 3396; renumbered Sec. 41719, Pub. L. 106-181, title

II, Sec. 231(b)(1), Apr. 5, 2000, 114 Stat. 108.)

-MISC1-

HISTORICAL AND REVISION NOTES

This amends 49:41715(a) to conform to the style of title 49.

AMENDMENTS

2000 - Pub. L. 106-181 renumbered section 41715 of this title as

this section.

1996 - Subsec. (a). Pub. L. 104-287 substituted "Secretary of

Transportation's" for "Secretary's".

1994 - Subsec. (d)(1). Pub. L. 103-429 substituted "41731(a)(4)"

for "41731(a)(3)".

EFFECTIVE DATE

Section 207(d) of Pub. L. 103-305 provided that: "The amendments

made by this section [enacting this section and amending section

46301 of this title] shall take effect on February 1, 1995."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41716, 41717, 46301 of

this title.

-End-

-CITE-

49 USC Sec. 41720 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41720. Joint venture agreements

-STATUTE-

(a) Definitions. - In this section, the following definitions

apply:

(1) Joint venture agreement. - The term "joint venture

agreement" means an agreement between two or more major air

carriers on or after January 1, 1998, with regard to (A)

code-sharing, blocked-space arrangements, long-term wet leases

(as defined in section 207.1 of title 14, Code of Federal

Regulations) of a substantial number (as defined by the Secretary

by regulation) of aircraft, or frequent flyer programs, or (B)

any other cooperative working arrangement (as defined by the

Secretary by regulation) between 2 or more major air carriers

that affects more than 15 percent of the total number of

available seat miles offered by the major air carriers.

(2) Major air carrier. - The term "major air carrier" means a

passenger air carrier that is certificated under chapter 411 of

this title and included in Carrier Group III under criteria

contained in section 04 of part 241 of title 14, Code of Federal

Regulations.

(b) Submission of Joint Venture Agreement. - At least 30 days

before a joint venture agreement may take effect, each of the major

air carriers that entered into the agreement shall submit to the

Secretary -

(1) a complete copy of the joint venture agreement and all

related agreements; and

(2) other information and documentary material that the

Secretary may require by regulation.

(1) In general. - The Secretary may extend the 30-day period

referred to in subsection (b) until -

(A) in the case of a joint venture agreement with regard to

code-sharing, the 150th day following the last day of such

period; and

(B) in the case of any other joint venture agreement, the

60th day following the last day of such period.

(2) Publication of reasons for extension. - If the Secretary

extends the 30-day period referred to in subsection (b), the

Secretary shall publish in the Federal Register the Secretary's

reasons for making the extension.

(d) Termination of Waiting Period. - At any time after the date

of submission of a joint venture agreement under subsection (b),

the Secretary may terminate the waiting periods referred to in

subsections (b) and (c) with respect to the agreement.

(e) Regulations. - The effectiveness of a joint venture agreement

may not be delayed due to any failure of the Secretary to issue

regulations to carry out this section.

(f) Memorandum To Prevent Duplicative Reviews. - Promptly after

the date of enactment of this section, the Secretary shall consult

with the Assistant Attorney General of the Antitrust Division of

the Department of Justice in order to establish, through a written

memorandum of understanding, preclearance procedures to prevent

unnecessary duplication of effort by the Secretary and the

Assistant Attorney General under this section and the antitrust

laws of the United States, respectively.

(g) Prior Agreements. - With respect to a joint venture agreement

entered into before the date of enactment of this section as to

which the Secretary finds that -

(1) the parties submitted the agreement to the Secretary before

such date of enactment; and

(2) the parties submitted all information on the agreement

requested by the Secretary,

the waiting period described in paragraphs (2) and (3) shall begin

on the date, as determined by the Secretary, on which all such

information was submitted and end on the last day to which the

period could be extended under this section.

(h) Limitation on Statutory Construction. - The authority granted

to the Secretary under this section shall not in any way limit the

authority of the Attorney General to enforce the antitrust laws as

defined in the first section of the Clayton Act (15 U.S.C. 12).

-SOURCE-

(Added Pub. L. 105-277, div. C, title I, Sec. 110(f)(1), Oct. 21,

1998, 112 Stat. 2681-588, Sec. 41716; renumbered Sec. 41720 and

amended Pub. L. 106-181, title II, Sec. 231(b)(1), title VII, Sec.

709, Apr. 5, 2000, 114 Stat. 108, 159.)

-REFTEXT-

REFERENCES IN TEXT

The date of enactment of this section, referred to in subsecs.

(f) and (g), is the date of enactment of Pub. L. 105-277, which was

approved Oct. 21, 1998.

-COD-

CODIFICATION

Pub. L. 105-277, Sec. 110(f)(1), which directed amendment of

subchapter I of chapter 417 by adding this section at the end,

without specifying a Code title or Act, was executed by adding this

section at the end of this subchapter to reflect the probable

intent of Congress.

-MISC1-

AMENDMENTS

2000 - Pub. L. 106-181 renumbered section 41716 of this title as

this section.

Subsec. (a)(1). Pub. L. 106-181, Sec. 709, substituted "an

agreement between two or more major air carriers" for "an agreement

entered into by a major air carrier".

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

-End-

-CITE-

49 USC Sec. 41721 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER I - REQUIREMENTS

-HEAD-

Sec. 41721. Reports by carriers on incidents involving animals

during air transport

-STATUTE-

(a) In General. - An air carrier that provides scheduled

passenger air transportation shall submit monthly to the Secretary

a report on any incidents involving the loss, injury, or death of

an animal (as defined by the Secretary of Transportation) during

air transport provided by the air carrier. The report shall be in

such form and contain such information as the Secretary determines

appropriate.

(b) Training of Air Carrier Employees. - The Secretary shall work

with air carriers to improve the training of employees with respect

to the air transport of animals and the notification of passengers

of the conditions under which the air transport of animals is

conducted.

Agriculture shall enter into a memorandum of understanding to

ensure the sharing of information that the Secretary receives under

subsection (a).

(d) Publication of Data. - The Secretary shall publish data on

incidents and complaints involving the loss, injury, or death of an

animal during air transport in a manner comparable to other

consumer complaint and incident data.

(e) Air Transport. - For purposes of this section, the air

transport of an animal includes the entire period during which an

animal is in the custody of an air carrier, from check-in of the

animal prior to departure until the animal is returned to the owner

or guardian of the animal at the final destination of the animal.

-SOURCE-

(Added Pub. L. 106-181, title VII, Sec. 710(a), Apr. 5, 2000, 114

Stat. 159.)

-MISC1-

EFFECTIVE DATE

Section applicable only to fiscal years beginning after Sept. 30,

1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-End-

-CITE-

49 USC SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-SECREF-

SUBCHAPTER REFERRED TO IN OTHER SECTIONS

This subchapter is referred to in sections 329, 40117, 41709,

41714 of this title; title 39 section 5402.

-End-

-CITE-

49 USC Sec. 41731 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41731. Definitions

-STATUTE-

(a) General. - In this subchapter -

(1) "eligible place" means a place in the United States that -

(A)(i) was an eligible point under section 419 of the Federal

Aviation Act of 1958 before October 1, 1988;

(ii) received scheduled air transportation at any time after

January 1, 1990; and

(iii) is not listed in Department of Transportation Orders

89-9-37 and 89-12-52 as a place ineligible for compensation

under this subchapter; or

(B) determined,(!1) on or after October 1, 1988, and before

the date of the enactment of the Wendell H. Ford Aviation

Investment and Reform Act for the 21st Century, under this

subchapter by the Secretary to be eligible to receive

subsidized small community air service under section 41736(a).

(2) "enhanced essential air service" means scheduled air

transportation to an eligible place of a higher level or quality

than basic essential air service described in section 41732 of

this title.

(3) "hub airport" means an airport that each year has at least

.25 percent of the total annual boardings in the United States.

(4) "nonhub airport" means an airport that each year has less

than .05 percent of the total annual boardings in the United

States.

(5) "small hub airport" means an airport that each year has at

least .05 percent, but less than .25 percent, of the total annual

boardings in the United States.

(b) Limitation on Authority To Decide a Place Not an Eligible

Place. - The Secretary of Transportation may not decide that a

place described in subsection (a)(1) of this section is not an

eligible place on the basis of a passenger subsidy at that place or

on another basis that is not specifically stated in this

subchapter.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1143; Pub. L.

106-181, title II, Sec. 208, Apr. 5, 2000, 114 Stat. 95.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41731(a)(1) 49 App.:1389(a)(1). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(a); added Oct. 24, 1978,

Pub. L. 95-504, Sec. 33(a),

92 Stat. 1732; Dec. 8, 1983,

Pub. L. 98-213, Sec. 10, 97

Stat. 1461; Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(r),

98 Stat. 1708; restated Dec.

30, 1987, Pub. L. 100-223,

Sec. 202(a)(1), (2), (b)(1),

101 Stat. 1507, 1508;

restated Nov. 5, 1990, Pub.

L. 101-508, Sec. 9113(a),

104 Stat. 1388-363.

41731(a)(2) 49 App.:1389(k)(2). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(k)(2)-(5); added Oct.

24, 1978, Pub. L. 95-504,

Sec. 33(a), 92 Stat. 1732;

Dec. 8, 1983, Pub. L.

98-213, Sec. 10, 97 Stat.

1461; Oct. 4, 1984, Pub. L.

98-443, Sec. 9(r), 98 Stat.

1708; restated Dec. 30,

1987, Pub. L. 100-223, Sec.

202(a)(1), (2), (b)(1), 101

Stat. 1507, 1517.

41731(a)(3) 49 App.:1389(k)(3).

41731(a)(4) 49 App.:1389(k)(4).

41731(a)(5) 49 App.:1389(k)(5).

41731(b) 49 App.:1389(a)(2).

--------------------------------------------------------------------

In this subchapter (except subsection (a)(1)(A) of this section),

the word "place" is substituted for "point" for clarity and

consistency in the revised title.

In subsection (a)(1)(A), the words "was an eligible point . . .

before October 1, 1988" are substituted for "is defined as an

eligible point . . . as in effect before October 1, 1988" for

clarity and to eliminate unnecessary words.

In subsection (a)(2), the words "described in section 41732 of

this title" are added for clarity.

In subsection (a)(3)-(5), the word "boardings" is substituted for

"enplanements" for clarity and consistency in the revised title.

-REFTEXT-

REFERENCES IN TEXT

Section 419 of the Federal Aviation Act of 1958, referred to in

subsec. (a)(1)(A)(i), is section 419 of Pub. L. 85-726, which was

classified to section 1389 of former Title 49, Transportation, and

was repealed and reenacted as this subchapter by Pub. L. 103-272,

Secs. 1(e), 7(b), July 5, 1994, 108 Stat. 1143, 1379.

The date of the enactment of the Wendell H. Ford Aviation

Investment and Reform Act for the 21st Century, referred to in

subsec. (a)(1)(B), is the date of enactment of Pub. L. 106-181,

which was approved Apr. 5, 2000.

-MISC2-

AMENDMENTS

2000 - Subsec. (a)(1). Pub. L. 106-181 redesignated subpars. (A),

(B), and (C) as cls. (i), (ii), and (iii), respectively, of subpar

(A) and added subpar. (B).

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

MARKETING PRACTICES

Pub. L. 106-181, title II, Sec. 207, Apr. 5, 2000, 114 Stat. 94,

provided that:

"(a) Review of Marketing Practices That Adversely Affect Service

to Small or Medium Communities. - Not later than 180 days after the

date of the enactment of this Act [Apr. 5, 2000], the Secretary [of

Transportation] shall review the marketing practices of air

carriers that may inhibit the availability of quality, affordable

air transportation services to small- and medium-sized communities,

including -

"(1) marketing arrangements between airlines and travel agents;

"(2) code-sharing partnerships;

"(3) computer reservation system displays;

"(4) gate arrangements at airports;

"(5) exclusive dealing arrangements; and

"(6) any other marketing practice that may have the same

effect.

"(b) Regulations. - If the Secretary finds, after conducting the

review, that marketing practices inhibit the availability of

affordable air transportation services to small- and medium-sized

communities, then, after public notice and an opportunity for

comment, the Secretary may issue regulations that address the

problem or take other appropriate action.

"(c) Statutory Construction. - Nothing in this section expands

the authority or jurisdiction of the Secretary to issue regulations

under chapter 417 of title 49, United States Code, or under any

other law."

RESTRICTIONS ON ESSENTIAL AIR SERVICE SUBSIDIES

Pub. L. 106-181, title II, Sec. 205, Apr. 5, 2000, 114 Stat. 94,

provided that: "The Secretary [of Transportation] may provide

assistance under subchapter II of chapter 417 of title 49, United

States Code, with respect to a place that is located within 70

highway miles of a hub airport (as defined by section 41731 of such

title) if the most commonly used highway route between the place

and the hub airport exceeds 70 miles."

Pub. L. 106-69, title III, Sec. 332, Oct. 9, 1999, 113 Stat.

1022, provided that: "Hereafter, notwithstanding 49 U.S.C. 41742,

no essential air service subsidies shall be provided to communities

in the 48 contiguous States that are located fewer than 70 highway

miles from the nearest large or medium hub airport, or that require

a rate of subsidy per passenger in excess of $200 unless such point

is greater than 210 miles from the nearest large or medium hub

airport."

Similar provisions were contained in the following prior

appropriation act:

Pub. L. 105-277, div. A, Sec. 101(g) [title III, Sec. 334], Oct.

21, 1998, 112 Stat. 2681-439, 2681-471.

Pub. L. 105-66, title III, Sec. 336, Oct. 27, 1997, 111 Stat.

1447.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 41719, 41743,

41744, 47116 of this title.

-FOOTNOTE-

(!1) So in original. Probably should be "was determined,".

-End-

-CITE-

49 USC Sec. 41732 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41732. Basic essential air service

-STATUTE-

(a) General. - Basic essential air service provided under section

41733 of this title is scheduled air transportation of passengers

and cargo -

(1) to a hub airport that has convenient connecting or

single-plane air service to a substantial number of destinations

beyond that airport; or

(2) to a small hub or nonhub airport, when in Alaska or when

the nearest hub airport is more than 400 miles from an eligible

place.

(b) Minimum Requirements. - Basic essential air service shall

include at least the following:

(1)(A) for a place not in Alaska, 2 daily round trips 6 days a

week, with not more than one intermediate stop on each flight; or

(B) for a place in Alaska, a level of service at least equal to

that provided in 1976 or 2 round trips a week, whichever is

greater, except that the Secretary of Transportation and the

appropriate State authority of Alaska may agree to a different

level of service after consulting with the affected community.

(2) flights at reasonable times considering the needs of

passengers with connecting flights at the airport and at prices

that are not excessive compared to the generally prevailing

prices of other air carriers for like service between similar

places.

(3) for a place not in Alaska, service provided in an aircraft

with an effective capacity of at least 15 passengers if the

average daily boardings at the place in any calendar year from

1976-1986 were more than 11 passengers unless -

(A) that level-of-service requirement would require paying

compensation in a fiscal year under section 41733(d) or

41734(d) or (e) of this title for the place when compensation

otherwise would not have been paid for that place in that year;

(B) the affected community agrees with the Secretary in

writing to the use of smaller aircraft to provide service to

the place.

(4) service accommodating the estimated passenger and property

traffic at an average load factor, for each class of traffic

considering seasonal demands for the service, of not more than -

(A) 50 percent; or

(B) 60 percent when service is provided by aircraft with more

than 14 passenger seats.

(5) service provided in aircraft with at least 2 engines and

using 2 pilots, unless scheduled air transportation has not been

provided to the place in aircraft with at least 2 engines and

using 2 pilots for at least 60 consecutive operating days at any

time since October 31, 1978.

(6) service provided by pressurized aircraft when the service

is provided by aircraft that regularly fly above 8,000 feet in

altitude.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1144.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41732(a) 49 App.:1389(k)(1) Aug. 23, 1958, Pub. L.

(1st sentence). 85-726, 72 Stat. 731, Sec.

419(k)(1); added Oct. 24,

1978, Pub. L. 95-504, Sec.

33(a), 92 Stat. 1732; Dec.

8, 1983, Pub. L. 98-213,

Sec. 10, 97 Stat. 1461; Oct.

4, 1984, Pub. L. 98-443,

Sec. 9(r), 98 Stat. 1708;

restated Dec. 30, 1987, Pub.

L. 100-223, Sec. 202(a)(1),

(2), (b)(1), 101 Stat. 1507,

1516.

41732(b) 49 App.:1389(k)(1)

(last sentence).

--------------------------------------------------------------------

In subsection (a), before clause (1), the words "provided under

section 41733 of this title" are added for clarity. In clause (2),

the words "from an eligible place" are added for clarity.

In subsection (b), before clause (1), the words "Basic essential

air service" are substituted for "Such transportation" for clarity

and consistency in the revised title. In clause (1)(B), the word

"1976" is substituted for "calendar year 1976" to eliminate

unnecessary words. The words "appropriate State authority of

Alaska" are substituted for "State agency of the State of Alaska"

for clarity and consistency with the source provisions restated in

section 41734(a) of the revised title. The words "agree to a

different level of service" are substituted for "otherwise

specified under an agreement" for clarity. In clause (2), the word

"prices" is substituted for "rates, fares, and charges" and "fares"

because of the definition of "price" in section 40102(a) of the

revised title. In clause (3), before subclause (A), the word

"boardings" is substituted for "enplanements" for clarity and

consistency in the revised title. The words "from 1976-1986" are

substituted for "beginning after December 31, 1975, and ending on

or before December 31, 1986" to eliminate unnecessary words. In

subclause (B), the words "affected community" are substituted for

"community concerned" for consistency with the source provisions

restated in clause (1)(B) of this section. In clause (5), the words

"for at least 60 consecutive operating days" are substituted for

"on each of 60 consecutive operating days" for clarity.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 41731 of this

title.

-End-

-CITE-

49 USC Sec. 41733 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41733. Level of basic essential air service

-STATUTE-

(a) Decisions Made Before October 1, 1988. - For each eligible

place for which a decision was made before October 1, 1988, under

section 419 of the Federal Aviation Act of 1958, establishing the

level of essential air transportation, the level of basic essential

air service for that place shall be the level established by the

Secretary of Transportation for that place by not later than

December 29, 1988.

(b) Decisions Not Made Before October 1, 1988. - (1) The

Secretary shall decide on the level of basic essential air service

for each eligible place for which a decision was not made before

October 1, 1988, establishing the level of essential air

transportation, when the Secretary receives notice that service to

that place will be provided by only one air carrier. The Secretary

shall make the decision by the last day of the 6-month period

beginning on the date the Secretary receives the notice. The

Secretary may impose notice requirements necessary to carry out

this subsection. Before making a decision, the Secretary shall

consider the views of any interested community and the appropriate

State authority of the State in which the community is located.

(2) Until the Secretary has made a decision on a level of basic

essential air service for an eligible place under this subsection,

the Secretary, on petition by an appropriate representative of the

place, shall prohibit an air carrier from ending, suspending, or

reducing air transportation to that place that appears to deprive

the place of basic essential air service.

that basic essential air service will not be provided to an

eligible place without compensation, the Secretary shall provide

notice that an air carrier may apply to provide basic essential air

service to the place for compensation under this section. In

selecting an applicant, the Secretary shall consider, among other

factors -

(A) the demonstrated reliability of the applicant in providing

scheduled air service;

(B) the contractual and marketing arrangements the applicant

has made with a larger carrier to ensure service beyond the hub

airport;

a larger carrier to allow passengers and cargo of the applicant

at the hub airport to be transported by the larger carrier

through one reservation, ticket, and baggage check-in;

(D) the preferences of the actual and potential users of air

transportation at the eligible place, giving substantial weight

to the views of the elected officials representing the users; and

(E) for an eligible place in Alaska, the experience of the

applicant in providing, in Alaska, scheduled air service, or

significant patterns of non-scheduled air service under an

exemption granted under section 40109(a) and (c)-(h) of this

title.

(2) Under guidelines prescribed under section 41737(a) of this

title, the Secretary shall pay the rate of compensation for

providing basic essential air service under this section and

section 41734 of this title.

(d) Compensation Payments. - The Secretary shall pay compensation

under this section at times and in the way the Secretary decides is

appropriate. The Secretary shall end payment of compensation to an

air carrier for providing basic essential air service to an

eligible place when the Secretary decides the compensation is no

longer necessary to maintain basic essential air service to the

place.

(e) Review. - The Secretary shall review periodically the level

of basic essential air service for each eligible place. Based on

the review and consultations with an interested community and the

appropriate State authority of the State in which the community is

located, the Secretary may make appropriate adjustments in the

level of service, to the extent such adjustments are to a level not

less than the basic essential air service level established under

subsection (a) for the airport that serves the community.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1145; Pub. L.

106-181, title II, Sec. 209(b), Apr. 5, 2000, 114 Stat. 95.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41733(a) 49 Aug. 23, 1958, Pub. L.

App.:1389(b)(1)(A) 85-726, 72 Stat. 731, Sec.

(less last sentence 419(b)(1), (3), (4), (9);

last 24 words), (C). added Oct. 24, 1978, Pub.

L. 95-504, Sec. 33(a), 92

Stat. 1732; Dec. 8, 1983,

Pub. L. 98-213, Sec. 10, 97

Stat. 1461; Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(r),

98 Stat. 1708; restated

Dec. 30, 1987, Pub. L.

100-223, Sec. 202(a)(1),

(2), (b)(1), 101 Stat.

1507, 1508, 1509, 1511.

41733(b)(1) 49

App.:1389(b)(1)(A)

(last sentence last

24 words), (B).

41733(b)(2) 49 App.:1389(b)(9).

41733(c) 49 App.:1389(b)(3).

41733(d) 49 App.:1389(b)(4).

41733(e) 49

App.:1389(b)(1)(D).

--------------------------------------------------------------------

In subsection (a), the words "the level of basic essential air

service for that place shall be the level established by the

Secretary of Transportation for that place" are substituted for

"Such determination shall be made" because the determinations for

those places have been made. The words "by not later than December

29, 1988" are substituted for "no later than the last day of the

1-year period beginning on December 30, 1987" for clarity. The

words "and only after consideration of the views of any interested

community and the State agency of the State in which such community

is located" and 49 App.:1389(b)(1)(C) are omitted as executed.

In subsections (b)(1) and (e), the words "appropriate State

authority" are substituted for "State agency" for clarity and

consistency with the source provisions restated in section 41734(a)

of the revised title.

In section (b)(2), the words "that appears to deprive" are

substituted for "which reasonably appears to deprive" to eliminate

an unnecessary word.

In subsection (c)(1), before clause (A), the words "an air

carrier may apply to provide basic essential air service to the

place for compensation" are substituted for "applications may be

submitted by any air carrier that is willing to provide such

service to such point for compensation" for clarity and to

eliminate unnecessary words.

-REFTEXT-

REFERENCES IN TEXT

Section 419 of the Federal Aviation Act of 1958, referred to in

subsec. (a), is section 419 of Pub. L. 85-726, which was classified

to section 1389 of former Title 49, Transportation, and was

repealed and reenacted as this subchapter by Pub. L. 103-272, Secs.

1(e), 7(b), July 5, 1994, 108 Stat. 1143, 1379.

-MISC2-

AMENDMENTS

2000 - Subsec. (e). Pub. L. 106-181 inserted before period at end

", to the extent such adjustments are to a level not less than the

basic essential air service level established under subsection (a)

for the airport that serves the community".

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

EFFECT ON CERTAIN ORDERS

Pub. L. 106-181, title II, Sec. 209(c), Apr. 5, 2000, 114 Stat.

95, provided that: "All orders issued by the Secretary [of

Transportation] after September 30, 1999, and before the date of

the enactment of this Act [Apr. 5, 2000] establishing, modifying,

or revoking essential air service levels shall be null and void

beginning on the 90th day following such date of enactment. During

the 90-day period, the Secretary shall reconsider such orders and

shall issue new orders consistent with the amendments made by this

section [amending this section and section 41742 of this title]."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 41732, 41734,

41735, 41736 of this title.

-End-

-CITE-

49 USC Sec. 41734 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41734. Ending, suspending, and reducing basic essential air

service

-STATUTE-

(a) Notice Required. - An air carrier may end, suspend, or reduce

air transportation to an eligible place below the level of basic

essential air service established for that place under section

41733 of this title only after giving the Secretary of

Transportation, the appropriate State authority, and the affected

communities at least 90 days' notice before ending, suspending, or

reducing that transportation.

(b) Continuation of Service for 30 Days After Notice Period. - If

at the end of the notice period under subsection (a) of this

section the Secretary has not found another air carrier to provide

basic essential air service to the eligible place, the Secretary

shall require the carrier providing notice to continue to provide

basic essential air service to the place for an additional 30-day

period or until another carrier begins to provide basic essential

air service to the place, whichever occurs first.

at the end of the 30-day period under subsection (b) of this

section the Secretary decides another air carrier will not provide

basic essential air service to the place on a continuing basis, the

Secretary shall require the carrier providing service to continue

to provide service for additional 30-day periods until another

carrier begins providing service on a continuing basis. At the end

of each 30-day period, the Secretary shall decide if another

carrier will provide service on a continuing basis.

(d) Continuation of Compensation After Notice Period. - If an air

carrier receiving compensation under section 41733 of this title

for providing basic essential air service to an eligible place is

required to continue to provide service to the place under this

section after the 90-day notice period under subsection (a) of this

section, the Secretary shall continue to pay that compensation

after the last day of that period. The Secretary shall pay the

compensation until the Secretary finds another carrier to provide

the service to the place or the 90th day after the end of that

notice period, whichever is earlier. If, after the 90th day after

the end of the 90-day notice period, the Secretary has not found

another carrier to provide the service, the carrier required to

continue to provide that service shall receive compensation

sufficient -

(1) to pay for the fully allocated actual cost to the carrier

of performing the basic essential air service that was being

provided when the 90-day notice was given under subsection (a) of

this section plus a reasonable return on investment that is at

least 5 percent of operating costs; and

(2) to provide the carrier an additional return that recognizes

the demonstrated additional lost profits from opportunities

foregone and the likelihood that those lost profits increase as

the period during which the carrier is required to provide the

service continues.

(e) Compensation to Air Carriers Originally Providing Service

Without Compensation. - If the Secretary requires an air carrier

providing basic essential air service to an eligible place without

compensation under section 41733 of this title to continue

providing that service after the 90-day notice period required by

subsection (a) of this section, the Secretary shall provide the

carrier with compensation after the end of the 90-day notice period

that is sufficient -

(1) to pay for the fully allocated actual cost to the carrier

of performing the basic essential air service that was being

provided when the 90-day notice was given under subsection (a) of

this section plus a reasonable return on investment that is at

least 5 percent of operating costs; and

(2) to provide the carrier an additional return that recognizes

the demonstrated additional lost profits from opportunities

foregone and the likelihood that those lost profits increase as

the period during which the carrier is required to provide the

service continues.

(f) Finding Replacement Carriers. - When the Secretary requires

an air carrier to continue to provide basic essential air service

to an eligible place, the Secretary shall continue to make every

effort to find another carrier to provide at least that basic

essential air service to the place on a continuing basis.

(g) Transfer of Authority. - If an air carrier, providing basic

essential air service under section 41733 of this title between an

eligible place and an airport at which the Administrator of the

Federal Aviation Administration limits the number of instrument

flight rule takeoffs and landings of aircraft, provides notice

under subsection (a) of this section of an intention to end,

suspend, or reduce that service and another carrier is found to

provide the service, the Secretary shall require the carrier

providing notice to transfer any operational authority the carrier

has to land or take off at that airport related to the service to

the eligible place to the carrier that will provide the service, if

(1) the carrier that will provide the service needs the

authority; and

(2) the authority to be transferred is being used to provide

air service to another eligible place.

(h) Nonconsideration of Slot Availability. - In determining what

is basic essential air service and in selecting an air carrier to

provide such service, the Secretary shall not consider as a factor

whether slots at a high density airport are available for providing

such service.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1146; Pub. L.

103-305, title II, Sec. 206(c), Aug. 23, 1994, 108 Stat. 1587; Pub.

L. 103-429, Sec. 6(81), Oct. 31, 1994, 108 Stat. 4388.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41734(a) 49 App.:1389(b)(2). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(b)(2), (5)-(8); added

Oct. 24, 1978, Pub. L.

95-504, Sec. 33(a), 92

Stat. 1732; Dec. 8, 1983,

Pub. L. 98-213, Sec. 10, 97

Stat. 1461; Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(r),

98 Stat. 1708; restated

Dec. 30, 1987, Pub. L.

100-223, Sec. 202(a)(1),

(2), (b)(1), 101 Stat.

1507, 1509, 1510.

41734(b) 49 App.:1389(b)(5)

(1st sentence).

41734(c) 49 App.:1389(b)(5)

(last sentence).

41734(d) 49

App.:1389(b)(6)(A).

41734(e) 49

App.:1389(b)(6)(B).

41734(f) 49 App.:1389(b)(8).

41734(g) 49 App.:1389(b)(7).

--------------------------------------------------------------------

In subsection (b), the words "If at the end of the notice period

under subsection (a) of this section" are substituted for "If an

air carrier has provided notice to the Secretary under paragraph

(2) of such air carrier's intention to suspend, terminate, or

reduce service to any eligible point below the level of basic

essential air service to such point, and if at the conclusion of

the applicable period of notice" for clarity and to eliminate

unnecessary words.

In subsection (c), the words "either with or without

compensation" are omitted as unnecessary. The words "shall require

the carrier providing service to continue to provide service for

additional 30-day periods" are substituted for "shall extend such

requirement for such additional 30-day periods . . . as may be

necessary to continue basic essential air service to such eligible

point", and the words "the Secretary shall decide if another

carrier will provide service on a continuing basis" are substituted

for "making the same determination", for clarity.

In subsections (d)(1) and (e)(1), the word "fair" is omitted as

being included in "reasonable".

In subsection (d), before clause (1), the words "basic essential

air service" are substituted for "air transportation" and "such

transportation" for consistency with the source provisions restated

in this section. The words "to continue to provide service to the

place under this section after the 90-day notice period under

subsection (a) of this section" are substituted for "to continue

service to such point beyond the date on which such carrier would,

but for paragraph (5), be able to suspend, terminate, or reduce

such service below the level of basic essential air service to such

point" to eliminate unnecessary words.

In subsection (e), before clause (1), the words "basic essential

air service" are substituted for "air transportation" for

consistency with the source provisions restated in this section.

The words "after the end of the 90-day notice period that is" are

substituted for "then" for clarity.

In subsection (f), the words "basic essential air service" are

substituted for "air transportation which such air carrier has

proposed to terminate, reduce, or suspend" for consistency with the

source provisions restated in this section.

In subsection (g)(2), the words "the authority to be transferred

is being used only to provide air service to the eligible place"

are substituted for "unless . . . such authority is being used to

provide air service with respect to more than 1 eligible point" for

clarity and because of the restatement.

AMENDMENTS

1994 - Subsec. (g)(2). Pub. L. 103-429 amended par. (2)

generally. Prior to amendment, par. (2) read as follows: "the

authority to be transferred is being used only to provide air

service to the eligible place."

Subsec. (h). Pub. L. 103-305 added subsec. (h).

EFFECTIVE DATE OF 1994 AMENDMENT

Amendment by Pub. L. 103-429 effective July 5, 1994, see section

9 of Pub. L. 103-429, set out as a note under section 321 of this

title.

-CROSS-

DEFINITIONS

For definitions of the terms "slot" and "high density airport"

used in subsec. (h) of this section, see section 41714(h) of this

title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 41714, 41732,

41733, 41735 of this title.

-End-

-CITE-

49 USC Sec. 41735 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41735. Enhanced essential air service

-STATUTE-

(a) Proposals. - (1) A State or local government may submit a

proposal to the Secretary of Transportation for enhanced essential

air service to an eligible place for which basic essential air

service is being provided under section 41733 of this title. The

proposal shall -

(A) specify the level and type of enhanced essential air

service the State or local government considers appropriate; and

(B) include an agreement related to compensation required for

the proposed service.

(2) The agreement submitted under paragraph (1)(B) of this

subsection shall provide that -

(A) the State or local government or a person pay 50 percent of

the compensation required for the proposed service and the United

States Government pay the remaining 50 percent; or

(B)(i) the Government pay 100 percent of the compensation; and

(ii) if the proposed service is not successful for at least a

2-year period under the criteria prescribed by the Secretary

under paragraph (3) of this subsection, the eligible place is not

eligible for air service or air transportation for which

compensation is paid by the Secretary under this subchapter.

(3) The Secretary shall prescribe by regulation objective

criteria for deciding whether enhanced essential air service to an

eligible place under this section is successful in terms of -

(A) increasing passenger usage of the airport facilities at the

place; and

(B) reducing the amount of compensation provided by the

Secretary under this subchapter for that service.

(b) Decisions. - Not later than 90 days after receiving a

proposal under subsection (a) of this section, the Secretary shall

(1) approve the proposal if the Secretary decides the proposal

is reasonable; or

(2) if the Secretary decides the proposal is not reasonable,

disapprove the proposal and notify the State or local government

of the disapproval and the reasons for the disapproval.

compensation under this section when and in the way the Secretary

decides is appropriate. Compensation for enhanced essential air

service under this section may be paid only for the costs incurred

in providing air service to an eligible place that are in addition

to the costs incurred in providing basic essential air service to

the place under section 41733 of this title. The Secretary shall

continue to pay compensation under this section only as long as -

(A) the air carrier maintains the level of enhanced essential

air service;

(B) the State or local government or person agreeing to pay

compensation under this section continues to pay the

compensation; and

maintain the service to the place.

(2) The Secretary may require the State or local government or

person agreeing to pay compensation under this section to make

advance payments or provide other security to ensure that timely

payments are made.

(d) Review. - (1) The Secretary shall review periodically the

enhanced essential air service provided to each eligible place

under this section.

(2) For service for which the Government pays 50 percent of the

compensation, based on the review and consultation with the

affected community and the State or local government or person

paying the remaining 50 percent of the compensation, the Secretary

shall make appropriate adjustments in the type and level of service

to the place.

(3) For service for which the Government pays 100 percent of the

compensation, based on the review and consultation with the State

or local government submitting the proposal, the Secretary shall

decide whether the service has succeeded for at least a 2-year

period under the criteria prescribed under subsection (a)(3) of

this section. If unsuccessful, the place is not eligible for air

service or air transportation for which compensation is paid by the

Secretary under this subchapter.

(e) Ending, Suspending, and Reducing Air Transportation. - An air

carrier may end, suspend, or reduce air transportation to an

eligible place below the level of enhanced essential air service

established for that place by the Secretary under this section only

after giving the Secretary, the affected community, and the State

or local government or person paying compensation for that service

at least 30 days' notice before ending, suspending, or reducing the

service. This subsection does not relieve the carrier of an

obligation under section 41734 of this title.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1148.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41735(a) 49 App.:1389(c)(1), Aug. 23, 1958, Pub. L.

(3)(C). 85-726, 72 Stat. 731, Sec.

419(c); added Oct. 24,

1978, Pub. L. 95-504, Sec.

33(a), 92 Stat. 1732; Dec.

8, 1983, Pub. L. 98-213,

Sec. 10, 97 Stat. 1461;

Oct. 4, 1984, Pub. L.

98-443, Sec. 9(r), 98 Stat.

1708; restated Dec. 30,

1987, Pub. L. 100-223, Sec.

202(a)(1), (2), (b)(1), 101

Stat. 1507, 1512.

41735(b) 49 App.:1389(c)(2).

41735(c) 49

App.:1389(c)(5)-(7).

41735(d) 49

App.:1389(c)(3)(A),

(B).

41735(e) 49 App.:1389(c)(4).

--------------------------------------------------------------------

In subsections (a)(2)(B)(ii) and (d)(3), the words "air service

or air transportation for which compensation is paid" are

substituted for "air service for which compensation is payable" for

consistency with the source provisions restated in sections 41733

and 41736 of the revised title.

In subsection (a)(3), the word "prescribe" is substituted for

"establish" for consistency in the revised title.

In subsection (b), before clause (1), the words "issue a

decision" are omitted as unnecessary because of the restatement.

In subsection (c)(1)(B), the words "State or local government or

person agreeing to pay compensation under this section" are

substituted for "government or person agreeing to pay any

non-Federal share" for clarity.

In subsection (c)(2), the words "State or local government or

person agreeing to pay compensation under this section" are

substituted for "non-Federal payments for enhanced essential air

service under this subsection" for clarity.

In subsection (d)(2), the words "For service for which the

Government pays 50 percent of the compensation" are substituted for

"If the enhanced essential air service approved under this

subsection is to be at a 50 percent Federal share" because of the

restatement. The words "the remaining 50 percent" are substituted

for "the non-Federal" for clarity and consistency in this section.

In subsection (d)(3), the words "For service for which the

Government pays 100 percent of the compensation" are substituted

for "If the enhanced essential air service approved under this

subsection is to be at a 100 percent Federal share" because of the

restatement.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41736 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41736. Air transportation to noneligible places

-STATUTE-

(a) Proposals and Decisions. - (1) A State or local government

may propose to the Secretary of Transportation that the Secretary

provide compensation to an air carrier to provide air

transportation to a place that is not an eligible place under this

subchapter. Not later than 90 days after receiving a proposal under

this section, the Secretary shall -

(A) decide whether to designate the place as eligible to

receive compensation under this section; and

(B)(i) approve the proposal if the State or local government or

a person is willing and able to pay 50 percent of the

compensation for providing the transportation, and notify the

State or local government of the approval; or

(ii) disapprove the proposal if the Secretary decides the

proposal is not reasonable under paragraph (2) of this

subsection, and notify the State or local government of the

disapproval and the reasons for the disapproval.

(2) In deciding whether a proposal is reasonable, the Secretary

shall consider, among other factors -

(A) the traffic-generating potential of the place;

(B) the cost to the United States Government of providing the

proposed transportation; and

(b) Approval for Certain Air Transportation. - Notwithstanding

subsection (a)(1)(B) of this section, the Secretary shall approve a

proposal under this section to compensate an air carrier for

providing air transportation to a place in the 48 contiguous States

or the District of Columbia and designate the place as eligible for

compensation under this section if -

(1) at any time before October 23, 1978, the place was served

by a carrier holding a certificate under section 401 of the

Federal Aviation Act of 1958;

(2) the place is more than 50 miles from the nearest small hub

airport or an eligible place;

(3) the place is more than 150 miles from the nearest hub

airport; and

(4) the State or local government submitting the proposal or a

person is willing and able to pay 25 percent of the cost of

providing the compensated transportation.

Paragraph (4) does not apply to any community approved for service

under this section during the period beginning October 1, 1991, and

ending December 31, 1997.

designates a place under subsection (a)(1) of this section as

eligible for compensation under this section, the Secretary shall

decide, not later than 6 months after the date of the designation,

on the level of air transportation to be provided under this

section. Before making a decision, the Secretary shall consider the

views of any interested community, the appropriate State authority

of the State in which the place is located, and the State or local

government or person agreeing to pay compensation for the

transportation under subsection (b)(4) of this section.

(2) After making the decision under paragraph (1) of this

subsection, the Secretary shall provide notice that any air carrier

that is willing to provide the level of air transportation

established under paragraph (1) for a place may submit an

application to provide the transportation. In selecting an

applicant, the Secretary shall consider, among other factors -

(A) the factors listed in section 41733(c)(1) of this title;

and

(B) the views of the State or local government or person

agreeing to pay compensation for the transportation.

(d) Compensation Payments. - (1) The Secretary shall pay

compensation under this section when and in the way the Secretary

decides is appropriate. The Secretary shall continue to pay

compensation under this section only as long as -

(A) the air carrier maintains the level of air transportation

established by the Secretary under subsection (c)(1) of this

section;

(B) the State or local government or person agreeing to pay

compensation for transportation under this section continues to

pay that compensation; and

maintain the transportation to the place.

(2) The Secretary may require the State or local government or

person agreeing to pay compensation under this section to make

advance payments or provide other security to ensure that timely

payments are made.

(e) Review. - The Secretary shall review periodically the level

of air transportation provided under this section. Based on the

review and consultation with any interested community, the

appropriate State authority of the State in which the community is

located, and the State or local government or person paying

compensation under this section, the Secretary may make appropriate

adjustments in the level of transportation.

(f) Withdrawal of Eligibility Designations. - After providing

notice and an opportunity for interested persons to comment, the

Secretary may withdraw the designation of a place under subsection

(a)(1) of this section as eligible to receive compensation under

this section if the place has received air transportation under

this section for at least 2 years and the Secretary decides the

withdrawal would be in the public interest. The Secretary by

regulation shall prescribe standards for deciding whether the

withdrawal of a designation under this subsection is in the public

interest. The standards shall include the factors listed in

subsection (a)(2) of this section.

(g) Ending, Suspending, and Reducing Air Transportation. - An air

carrier providing air transportation for compensation under this

section may end, suspend, or reduce that transportation below the

level of transportation established by the Secretary under this

section only after giving the Secretary, the affected community,

and the State or local government or person paying compensation

under this section at least 30 days' notice before ending,

suspending, or reducing the transportation.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1149; Pub. L.

106-181, title II, Sec. 202, Apr. 5, 2000, 114 Stat. 91.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41736(a) 49 App.:1389(d)(1), Aug. 23, 1958, Pub. L.

(2)(A), (C). 85-726, 72 Stat. 731, Sec.

419(d); added Oct. 24,

1978, Pub. L. 95-504, Sec.

33(a), 92 Stat. 1732; Dec.

8, 1983, Pub. L. 98-213,

Sec. 10, 97 Stat. 1461;

Oct. 4, 1984, Pub. L.

98-443, Sec. 9(r), 98 Stat.

1708; restated Dec. 30,

1987, Pub. L. 100-223, Sec.

202(a)(1), (2), (b)(1), 101

Stat. 1507, 1513.

41736(b) 49

App.:1389(d)(2)(B).

41736(c)(1) 49

App.:1389(d)(3)(A).

41736(c)(2) 49 App.:1389(d)(4).

41736(d) 49 App.:1389(d)(5),

(7), (8).

41736(e) 49

App.:1389(d)(3)(B).

41736(f) 49

App.:1389(d)(2)(D).

41736(g) 49 App.:1389(d)(6).

--------------------------------------------------------------------

In subsection (a)(1), before clause (A), the words "that the

Secretary provide compensation to an air carrier to provide air

transportation" are substituted for "for compensated air

transportation in accordance with this subsection" for clarity. In

clause (B)(i), the word "transportation" is substituted for

"proposed compensated air transportation" to eliminate unnecessary

words.

In subsections (c)-(g), the word "transportation" is substituted

for "service" for consistency with the source provisions restated

in subsections (a) and (b) of this section.

In subsections (c)(1) and (e), the words "appropriate State

authority" are substituted for "State agency" for clarity and

consistency with the source provisions restated in section 41734(a)

of the revised title.

In subsection (d), the text of 49 App.:1389(d)(5) is omitted as

unnecessary because of the restatement.

In subsection (f), the word "prescribe" is substituted for

"establish" for consistency in the revised title and with other

titles of the United States Code.

-REFTEXT-

REFERENCES IN TEXT

Section 401 of the Federal Aviation Act of 1958, referred to in

subsec. (b)(1), is section 401 of Pub. L. 85-726, which was

classified to section 1371 of former Title 49, Transportation, and

was repealed by Pub. L. 103-272, Sec. 7(b), July 5, 1994, 108 Stat.

1379, the first section of which enacted subtitles II, III, and V

to X of Title 49, Transportation. For disposition of section 1371

of former Title 49, see Table at the beginning of Title 49.

-MISC2-

AMENDMENTS

2000 - Subsec. (b). Pub. L. 106-181 inserted concluding

provisions.

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 41731, 41738 of

this title.

-End-

-CITE-

49 USC Sec. 41737 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41737. Compensation guidelines, limitations, and claims

-STATUTE-

(a) Compensation Guidelines. - (1) The Secretary of

Transportation shall prescribe guidelines governing the rate of

compensation payable under this subchapter. The guidelines shall be

used to determine the reasonable amount of compensation required to

ensure the continuation of air service or air transportation under

this subchapter. The guidelines shall -

(A) provide for a reduction in compensation when an air carrier

does not provide service or transportation agreed to be provided;

(B) consider amounts needed by an air carrier to promote public

use of the service or transportation for which compensation is

being paid; and

air carriers providing scheduled air transportation of

passengers, property, and mail on aircraft of the type the

Secretary decides is appropriate for providing the service or

transportation for which compensation is being provided.

(2) Promotional amounts described in paragraph (1)(B) of this

subsection shall be a special, segregated element of the

compensation provided to a carrier under this subchapter.

(b) Required Finding. - The Secretary may pay compensation to an

air carrier for providing air service or air transportation under

this subchapter only if the Secretary finds the carrier is able to

provide the service or transportation in a reliable way.

claim from an air carrier for compensation under this subchapter,

the Secretary shall -

(1) pay or deny the United States Government's share of a

claim; and

(2) if denying the claim, notify the carrier of the denial and

the reasons for the denial.

(d) Authority To Make Agreements and Incur Obligations. - (1) The

Secretary may make agreements and incur obligations from the

Airport and Airway Trust Fund established under section 9502 of the

Internal Revenue Code of 1986 (26 U.S.C. 9502) to pay compensation

under this subchapter. An agreement by the Secretary under this

subsection is a contractual obligation of the Government to pay the

Government's share of the compensation.

(2) Not more than $38,600,000 is available to the Secretary out

of the Fund for each of the fiscal years ending September 30,

1993-1998, to incur obligations under this section. Amounts made

available under this section remain available until expended.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1151.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41737(a) 49 App.:1389(f). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(e)(2)-(g); added Oct.

24, 1978, Pub. L. 95-504,

Sec. 33(a), 92 Stat. 1732;

Dec. 8, 1983, Pub. L.

98-213, Sec. 10, 97 Stat.

1461; Oct. 4, 1984, Pub. L.

98-443, Sec. 9(r), 98 Stat.

1708; restated Dec. 30,

1987, Pub. L. 100-223, Sec.

202(a)(1), (2), (b)(1), 101

Stat. 1507, 1515.

41737(b) 49 App.:1389(e)(2).

41737(c) 49 App.:1389(g).

41737(d) 49 App.:1389(l). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(l); added Nov. 5, 1990,

Pub. L. 101-508, Sec.

9113(b)(1), 104 Stat.

1388-363.

--------------------------------------------------------------------

In subsection (a)(1), before clause (A), the word "prescribe" is

substituted for "establish" to eliminate an executed word. The

words "air service or air transportation under this subchapter" are

substituted for "air service under this section" for consistency

with the source provisions restated in sections 41733, 41735, and

41736 of the revised title. In clause (C), the words "the service

or transportation for which compensation is being provided" are

substituted for "such service" for clarity.

In subsection (a)(2), the words "compensation provided to a

carrier under this subchapter" are substituted for "required

compensation" for clarity.

In subsection (b), the words "air service or air transportation"

are substituted for "air service" for consistency with the source

provisions restated in sections 41733, 41735, and 41736 of the

revised title.

In subsection (d)(2), the reference to fiscal year 1992 is

omitted as obsolete.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41110, 41733 of this

title.

-End-

-CITE-

49 USC Sec. 41738 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41738. Fitness of air carriers

-STATUTE-

Notwithstanding section 40109(a) and (c)-(h) of this title, an

air carrier may provide air service to an eligible place or air

transportation to a place designated under section 41736 of this

title only when the Secretary of Transportation decides that -

(1) the carrier is fit, willing, and able to perform the

service or transportation; and

(2) aircraft used to provide the service or transportation, and

operations related to the service or transportation, conform to

the safety standards prescribed by the Administrator of the

Federal Aviation Administration.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1152.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41738 49 App.:1389(e)(1). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(e)(1); added Oct. 24,

1978, Pub. L. 95-504, Sec.

33(a), 92 Stat. 1732; Dec.

8, 1983, Pub. L. 98-213,

Sec. 10, 97 Stat. 1461; Oct.

4, 1984, Pub. L. 98-443,

Sec. 9(r), 98 Stat. 1708;

restated Dec. 30, 1987, Pub.

L. 100-223, Sec. 202(a)(1),

(2), (b)(1), 101 Stat. 1507,

1515.

--------------------------------------------------------------------

In this section, before clause (1), the words "air transportation

to a place" are substituted for "service to a point" for

consistency with the source provisions restated in sections 41733,

41735, and 41736 of the revised title. In clauses (1) and (2), the

words "service or transportation" are substituted for "such

service" for consistency with the source provisions restated in

sections 41733, 41735, and 41736 of the revised title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41739 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41739. Air carrier obligations

-STATUTE-

If at least 2 air carriers make an agreement to operate under or

use a single carrier designator code to provide air transportation,

the carrier whose code is being used shares responsibility with the

other carriers for the quality of transportation provided the

public under the code by the other carriers.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1152.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41739 49 App.:1389(i). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(i); added Oct. 24, 1978,

Pub. L. 95-504, Sec. 33(a),

92 Stat. 1732; Dec. 8, 1983,

Pub. L. 98-213, Sec. 10, 97

Stat. 1461; Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(r),

98 Stat. 1708; restated Dec.

30, 1987, Pub. L. 100-223,

Sec. 202(a)(1), (2), (b)(1),

101 Stat. 1507, 1516.

--------------------------------------------------------------------

The words "quality of transportation" are substituted for

"quality of service" for clarity and consistency in this section.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41740 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41740. Joint proposals

-STATUTE-

The Secretary of Transportation shall encourage the submission of

joint proposals by 2 or more air carriers for providing air service

or air transportation under this subchapter through arrangements

that maximize the service or transportation to and from major

destinations beyond the hub.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1152.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41740 49 App.:1389(j). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(j); added Oct. 24, 1978,

Pub. L. 95-504, Sec. 33(a),

92 Stat. 1732; Dec. 8, 1983,

Pub. L. 98-213, Sec. 10, 97

Stat. 1461; Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(r),

98 Stat. 1708; restated Dec.

30, 1987, Pub. L. 100-223,

Sec. 202(a)(1), (2), (b)(1),

101 Stat. 1507, 1516.

--------------------------------------------------------------------

The words "air service or air transportation" are substituted for

"air service", and the words "the service or transportation" are

substituted for "service", for consistency with the source

provisions restated in sections 41733, 41735, and 41736 of the

revised title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41741 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41741. Insurance

-STATUTE-

The Secretary of Transportation may pay an air carrier

compensation under this subchapter only when the carrier files with

the Secretary an insurance policy or self-insurance plan approved

by the Secretary. The policy or plan must be sufficient to pay for

bodily injury to, or death of, an individual, or for loss of or

damage to property of others, resulting from the operation of

aircraft, but not more than the amount of the policy or plan

limits.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1152.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41741 49 App.:1389(h). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(h); added Oct. 24, 1978,

Pub. L. 95-504, Sec. 33(a),

92 Stat. 1732; Dec. 8, 1983,

Pub. L. 98-213, Sec. 10, 97

Stat. 1461; Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(r),

98 Stat. 1708; restated Dec.

30, 1987, Pub. L. 100-223,

Sec. 202(a)(1), (2), (b)(1),

101 Stat. 1507, 1516.

--------------------------------------------------------------------

The words "The Secretary of Transportation may pay . . . only

when" are substituted for "An air carrier shall not receive . . .

unless" for clarity. The words "approved by the Secretary" are

substituted for "complies with regulations or orders issued by the

Secretary governing the filing and approval" to eliminate

unnecessary words. The words "The policy or plan must be sufficient

to pay . . . but not more than the amount of the policy or plan

limits" are substituted for "in the amount prescribed by the

Secretary which are conditioned to pay, within the amount of such

insurance, amounts" because of the restatement. The words "for

which such air carrier may become liable" are omitted as

unnecessary. The word "individual" is substituted for "person"

because it is more precise. The word "operation" is substituted for

"operation or maintenance" because it is inclusive.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-End-

-CITE-

49 USC Sec. 41742 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41742. Essential air service authorization

-STATUTE-

(a) In General. -

(1) Authorization. - Out of the amounts received by the Federal

Aviation Administration credited to the account established under

section 45303 of this title or otherwise provided to the

Administration, the sum of $50,000,000 is authorized and shall be

made available immediately for obligation and expenditure to

carry out the essential air service program under this subchapter

for each fiscal year.

(2) Additional funds. - In addition to amounts authorized under

paragraph (1), there is authorized to be appropriated $15,000,000

for each fiscal year to carry out the essential air service

program under this subchapter.

(b) Funding for Small Community Air Service. - Notwithstanding

any other provision of law, moneys credited to the account

established under section 45303(a) of this title, including the

funds derived from fees imposed under the authority contained in

section 45301(a) of this title, shall be used to carry out the

essential air service program under this subchapter.

Notwithstanding section 47114(g) (!1) of this title, any amounts

from those fees that are not obligated or expended at the end of

the fiscal year for the purpose of funding the essential air

service program under this subchapter shall be made available to

the Administration for use in improving rural air safety under

subchapter I of chapter 471 of this title and shall be used

exclusively for projects at rural airports under this subchapter.

subsections (a) and (b), in fiscal year 1997, amounts in excess of

$75,000,000 that are collected in fees pursuant to section

45301(a)(1) of this title shall be available for the essential air

service program under this subchapter, in addition to amounts

specifically provided for in appropriations Acts.

-SOURCE-

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1152; Pub. L.

104-264, title II, Sec. 278(c), Oct. 9, 1996, 110 Stat. 3249; Pub.

L. 106-181, title II, Sec. 209(a), Apr. 5, 2000, 114 Stat. 95.)

-MISC1-

HISTORICAL AND REVISION NOTES

--------------------------------------------------------------------

Revised Source (U.S. Code) Source (Statutes at Large)

Section

--------------------------------------------------------------------

41742 49 App.:1389(m). Aug. 23, 1958, Pub. L.

85-726, 72 Stat. 731, Sec.

419(m); added Oct. 24, 1978,

Pub. L. 95-504, Sec. 33(a),

92 Stat. 1732; Dec. 8, 1983,

Pub. L. 98-213, Sec. 10, 97

Stat. 1461; Oct. 4, 1984,

Pub. L. 98-443, Sec. 9(r),

98 Stat. 1708; restated Dec.

30, 1987, Pub. L. 100-223,

Sec. 202(a)(1), (2), (b)(1),

101 Stat. 1507, 1517; Nov.

5, 1990, Pub. L. 101-508,

Sec. 9113(b)(1), 104 Stat.

1388-363.

--------------------------------------------------------------------

-REFTEXT-

REFERENCES IN TEXT

Section 47114 of this title, referred to in subsec. (b), does not

contain a subsec. (g).

-MISC2-

AMENDMENTS

2000 - Subsec. (a). Pub. L. 106-181 designated existing

provisions as par. (1), inserted heading, realigned margins, and

added par. (2).

1996 - Pub. L. 104-264 amended section generally, substituting

provisions relating to essential air service authorization for

provisions stating that this subchapter was not effective after

Sept. 30, 1998.

EFFECTIVE DATE OF 2000 AMENDMENT

Amendment by Pub. L. 106-181 applicable only to fiscal years

beginning after Sept. 30, 1999, see section 3 of Pub. L. 106-181,

set out as a note under section 106 of this title.

EFFECTIVE DATE OF 1996 AMENDMENT

Amendment by Pub. L. 104-264 effective on date that is 30 days

after Oct. 9, 1996, see section 203 of Pub. L. 104-264, set out as

a note under section 106 of this title.

Except as otherwise specifically provided, amendment by Pub. L.

104-264 applicable only to fiscal years beginning after Sept. 30,

1996, and not to be construed as affecting funds made available for

a fiscal year ending before Oct. 1, 1996, see section 3 of Pub. L.

104-264, set out as a note under section 106 of this title.

FINDINGS

Section 278(b) of Pub. L. 104-264 provided that: "Congress finds

that -

"(1) air service in rural areas is essential to a national and

international transportation network;

"(2) the rural air service infrastructure supports the safe

operation of all air travel;

"(3) rural air service creates economic benefits for all air

carriers by making the national aviation system available to

passengers from rural areas;

"(4) rural air service has suffered since deregulation;

"(5) the essential air service program under the Department of

Transportation -

"(A) provides essential airline access to rural and isolated

rural communities throughout the Nation;

"(B) is necessary for the economic growth and development of

rural communities;

"(C) is a critical component of the national and

international transportation system of the United States; and

"(D) has endured serious funding cuts in recent years; and

"(6) a reliable source of funding must be established to

maintain air service in rural areas and the essential air service

program."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41110 of this title.

-FOOTNOTE-

(!1) See References in Text note below.

-End-

-CITE-

49 USC Sec. 41743 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41743. Airports not receiving sufficient service

-STATUTE-

(a) Small Community Air Service Development Pilot Program. - The

Secretary of Transportation shall establish a pilot program that

meets the requirements of this section for improving air carrier

service to airports not receiving sufficient air carrier service.

(b) Application Required. - In order to participate in the

program established under subsection (a), a community or consortium

of communities shall submit an application to the Secretary in such

form, at such time, and containing such information as the

Secretary may require, including -

(1) an assessment of the need of the community or consortium

for access, or improved access, to the national air

transportation system; and

(2) an analysis of the application of the criteria in

subsection (c) to that community or consortium.

consortia of communities, for participation in the program

established under subsection (a), the Secretary shall apply the

following criteria:

(1) Size. - For calendar year 1997, the airport serving the

community or consortium was not larger than a small hub airport

(as that term is defined in section 41731(a)(5)), and -

(A) had insufficient air carrier service; or

(B) had unreasonably high air fares.

(2) Characteristics. - The airport presents characteristics,

such as geographic diversity or unique circumstances, that will

demonstrate the need for, and feasibility of, the program

established under subsection (a).

(3) State limit. - No more than four communities or consortia

of communities, or a combination thereof, may be located in the

same State.

(4) Overall limit. - No more than 40 communities or consortia

of communities, or a combination thereof, may be selected to

participate in the program.

(5) Priorities. - The Secretary shall give priority to

communities or consortia of communities where -

(A) air fares are higher than the average air fares for all

communities;

(B) the community or consortium will provide a portion of the

cost of the activity to be assisted under the program from

local sources other than airport revenues;

establish, a public-private partnership to facilitate air

carrier service to the public; and

(D) the assistance will provide material benefits to a broad

segment of the travelling public, including business,

educational institutions, and other enterprises, whose access

to the national air transportation system is limited.

(d) Types of Assistance. - The Secretary may use amounts made

available under this section -

(1) to provide assistance to an air carrier to subsidize

service to and from an underserved airport for a period not to

exceed 3 years;

(2) to provide assistance to an underserved airport to obtain

service to and from the underserved airport; and

(3) to provide assistance to an underserved airport to

implement such other measures as the Secretary, in consultation

with such airport, considers appropriate to improve air service

both in terms of the cost of such service to consumers and the

availability of such service, including improving air service

through marketing and promotion of air service and enhanced

utilization of airport facilities.

(e) Authority To Make Agreements. -

(1) In general. - The Secretary may make agreements to provide

assistance under this section.

(2) Authorization of appropriations. - There is authorized to

be appropriated to the Secretary $20,000,000 for fiscal year 2001

and $27,500,000 for each of fiscal years 2002 and 2003 to carry

out this section. Such sums shall remain available until

expended.

(f) Additional Action. - Under the pilot program established

under subsection (a), the Secretary shall work with air carriers

providing service to participating communities and major air

carriers (as defined in section 41716(a)(2)) serving large hub

airports (as defined in section 41731(a)(3)) to facilitate

joint-fare arrangements consistent with normal industry practice.

(g) Designation of Responsible Official. - The Secretary shall

designate an employee of the Department of Transportation -

(1) to function as a facilitator between small communities and

air carriers;

(2) to carry out this section;

(3) to ensure that the Bureau of Transportation Statistics

collects data on passenger information to assess the service

needs of small communities;

(4) to work with and coordinate efforts with other Federal,

State, and local agencies to increase the viability of service to

small communities and the creation of aviation development zones;

and

(5) to provide policy recommendations to the Secretary and

Congress that will ensure that small communities have access to

quality, affordable air transportation services.

(h) Air Service Development Zone. - The Secretary shall designate

an airport in the program as an Air Service Development Zone and

work with the community or consortium on means to attract business

to the area surrounding the airport, to develop land use options

for the area, and provide data, working with the Department of

Commerce and other agencies.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 203(a), Apr. 5, 2000, 114

Stat. 92.)

-MISC1-

EFFECTIVE DATE

Section applicable only to fiscal years beginning after Sept. 30,

1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-End-

-CITE-

49 USC Sec. 41744 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER II - SMALL COMMUNITY AIR SERVICE

-HEAD-

Sec. 41744. Preservation of basic essential air service at single

carrier dominated hub airports

-STATUTE-

(a) In General. - If the Secretary of Transportation determines

that extraordinary circumstances jeopardize the reliable

performance of essential air service under this subchapter from a

subsidized essential air service community to and from an essential

airport facility, the Secretary may require an air carrier that has

more than 60 percent of the total annual enplanements at the

essential airport facility to take action to enable another air

carrier to provide reliable essential air service to that

community. Actions required by the Secretary under this subsection

may include interline agreements, ground services, subleasing of

gates, and the provision of any other service or facility necessary

for the performance of satisfactory essential air service to that

community.

(b) Essential Airport Facility Defined. - In this section, the

term "essential airport facility" means a large hub airport (as

defined in section 41731) in the contiguous 48 States at which one

air carrier has more than 60 percent of the total annual

enplanements at that airport.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 204(a), Apr. 5, 2000, 114

Stat. 93.)

-MISC1-

EFFECTIVE DATE

Section applicable only to fiscal years beginning after Sept. 30,

1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-End-

-CITE-

49 USC SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE

PROGRAM 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-End-

-CITE-

49 USC Sec. 41761 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

Sec. 41761. Purpose

-STATUTE-

The purpose of this subchapter is to improve service by jet

aircraft to underserved markets by providing assistance, in the

form of Federal credit instruments, to commuter air carriers that

purchase regional jet aircraft for use in serving those markets.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 210(a), Apr. 5, 2000, 114

Stat. 96.)

-MISC1-

EFFECTIVE DATE

Subchapter applicable only to fiscal years beginning after Sept.

30, 1999, see section 3 of Pub. L. 106-181, set out as an Effective

Date of 2000 Amendments note under section 106 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41764 of this title.

-End-

-CITE-

49 USC Sec. 41762 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

Sec. 41762. Definitions

-STATUTE-

In this subchapter, the following definitions apply:

(1) Air carrier. - The term "air carrier" means any air carrier

holding a certificate of public convenience and necessity issued

by the Secretary of Transportation under section 41102.

(2) Aircraft purchase. - The term "aircraft purchase" means the

purchase of commercial transport aircraft, including spare parts

normally associated with the aircraft.

(3) Capital reserve subsidy amount. - The term "capital reserve

subsidy amount" means the amount of budget authority sufficient

to cover estimated long-term cost to the United States Government

of a Federal credit instrument, calculated on a net present value

basis, excluding administrative costs and any incidental effects

on Government receipts or outlays in accordance with provisions

of the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et seq.).

(4) Commuter air carrier. - The term "commuter air carrier"

means an air carrier that primarily operates aircraft designed to

have a maximum passenger seating capacity of 75 or less in

accordance with published flight schedules.

(5) Federal credit instrument. - The term "Federal credit

instrument" means a secured loan, loan guarantee, or line of

credit authorized to be made under this subchapter.

(6) Financial obligation. - The term "financial obligation"

means any note, bond, debenture, or other debt obligation issued

by an obligor in connection with the financing of an aircraft

purchase, other than a Federal credit instrument.

(7) Lender. - The term "lender" means any non-Federal qualified

institutional buyer (as defined by section 230.144A(a) of title

17, Code of Federal Regulations (or any successor regulation)

known as Rule 144A(a) of the Security and Exchange Commission and

issued under the Security Act of 1933 (15 U.S.C. 77a et seq.)),

including -

(A) a qualified retirement plan (as defined in section

4974(c) of the Internal Revenue Code of 1986) that is a

qualified institutional buyer; and

(B) a governmental plan (as defined in section 414(d) of the

Internal Revenue Code of 1986) that is a qualified

institutional buyer.

(8) Line of credit. - The term "line of credit" means an

agreement entered into by the Secretary with an obligor under

section 41763(d) to provide a direct loan at a future date upon

the occurrence of certain events.

(9) Loan guarantee. - The term "loan guarantee" means any

guarantee or other pledge by the Secretary under section 41763(c)

to pay all or part of any of the principal of and interest on a

loan or other debt obligation issued by an obligor and funded by

a lender.

(10) New entrant air carrier. - The term "new entrant air

carrier" means an air carrier that has been providing air

transportation according to a published schedule for less than 5

years, including any person that has received authority from the

Secretary to provide air transportation but is not providing air

transportation.

(11) Nonhub airport. - The term "nonhub airport" means an

airport that each year has less than .05 percent of the total

annual boardings in the United States.

(12) Obligor. - The term "obligor" means a party primarily

liable for payment of the principal of or interest on a Federal

credit instrument, which party may be a corporation, partnership,

joint venture, trust, or governmental entity, agency, or

instrumentality.

(13) Regional jet aircraft. - The term "regional jet aircraft"

means a civil aircraft -

(A) powered by jet propulsion; and

(B) designed to have a maximum passenger seating capacity of

not less than 30 nor more than 75.

(14) Secured loan. - The term "secured loan" means a direct

loan funded by the Secretary in connection with the financing of

an aircraft purchase under section 41763(b).

(15) Small hub airport. - The term "small hub airport" means an

airport that each year has at least .05 percent, but less than

.25 percent, of the total annual boardings in the United States.

(16) Underserved market. - The term "underserved market" means

a passenger air transportation market (as defined by the

Secretary) that -

(A) is served (as determined by the Secretary) by a nonhub

airport or a small hub airport;

(B) is not within a 40-mile radius of an airport that each

year has at least .25 percent of the total annual boardings in

the United States; and

service.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 210(a), Apr. 5, 2000, 114

Stat. 96.)

-REFTEXT-

REFERENCES IN TEXT

The Federal Credit Reform Act of 1990, referred to in par. (3),

is title V of Pub. L. 93-344, as added by Pub. L. 101-508, title

XIII, Sec. 13201(a), Nov. 5, 1990, 104 Stat. 1388-609, as amended,

which is classified generally to subchapter III (Sec. 661 et seq.)

of chapter 17A of Title 2, The Congress. For complete

classification of this Act to the Code, see Short Title note set

out under section 621 of Title 2 and Tables.

The Security Act of 1933, referred to in par. (7), probably means

the Securities Act of 1933, title I of act May 27, 1933, ch. 38, 48

Stat. 74, as amended, which is classified generally to subchapter I

(Sec. 77a et seq.) of chapter 2A of Title 15, Commerce and Trade.

For complete classification of this Act to the Code, see section

77a of Title 15 and Tables.

Sections 414(d) and 4974(c) of the Internal Revenue Code of 1986,

referred to in par. (7), are classified to sections 414(d) and

4974(c), respectively, of Title 26, Internal Revenue Code.

-End-

-CITE-

49 USC Sec. 41763 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

Sec. 41763. Federal credit instruments

-STATUTE-

(a) In General. - Subject to this section and section 41766, the

Secretary of Transportation may enter into agreements with one or

more obligors to make available Federal credit instruments, the

proceeds of which shall be used to finance aircraft purchases.

(b) Secured Loans. -

(1) Terms and limitations. -

(A) In general. - A secured loan under this section with

respect to an aircraft purchase shall be on such terms and

conditions and contain such covenants, representatives,

warranties, and requirements (including requirements for

audits) as the Secretary determines appropriate.

(B) Maximum amount. - No secured loan may be made under this

section -

(i) that extends to more than 50 percent of the purchase

price (including the value of any manufacturer credits,

post-purchase options, or other discounts) of the aircraft,

including spare parts, to be purchased; or

(ii) that, when added to the remaining balance on any other

Federal credit instruments made under this subchapter,

provides more than $100,000,000 of outstanding credit to any

single obligor.

loan shall not be due later than 18 years after the date of

execution of the loan agreement.

(D) Subordination. - The secured loan may be subordinate to

claims of other holders of obligations in the event of

bankruptcy, insolvency, or liquidation of the obligor as

determined appropriate by the Secretary.

(E) Fees. - The Secretary, subject to appropriations, may

establish fees at a level sufficient to cover all or a portion

of the administrative costs to the United States Government of

making a secured loan under this section. The proceeds of such

fees shall be deposited in an account to be used by the

Secretary for the purpose of administering the program

established under this subchapter and shall be available upon

deposit until expended.

(2) Repayment. -

(A) Schedule. - The Secretary shall establish a repayment

schedule for each secured loan under this section based on the

projected cash flow from aircraft revenues and other repayment

sources.

(B) Commencement. - Scheduled loan repayments of principal

and interest on a secured loan under this section shall

commence no later than 3 years after the date of execution of

the loan agreement.

(3) Prepayment. -

(A) Use of excess revenue. - After satisfying scheduled debt

service requirements on all financial obligations and secured

loans and all deposit requirements under the terms of any trust

agreement, bond resolution, or similar agreement securing

financial obligations, the secured loan may be prepaid at

anytime without penalty.

(B) Use of proceeds of refinancing. - The secured loan may be

prepaid at any time without penalty from proceeds of

refinancing from non-Federal funding sources.

(1) In general. - A loan guarantee under this section with

respect to a loan made for an aircraft purchase shall be made in

such form and on such terms and conditions and contain such

covenants, representatives, warranties, and requirements

(including requirements for audits) as the Secretary determines

appropriate.

(2) Maximum amount. - No loan guarantee shall be made under

this section -

(A) that extends to more than the unpaid interest and 50

percent of the unpaid principal on any loan;

(B) that, for any loan or combination of loans, extends to

more than 50 percent of the purchase price (including the value

of any manufacturer credits, post-purchase options, or other

discounts) of the aircraft, including spare parts, to be

purchased with the loan or loan combination;

more than 15 years after the date of execution of the loan; or

(D) that, when added to the remaining balance on any other

Federal credit instruments made under this subchapter, provides

more than $100,000,000 of outstanding credit to any single

obligor.

(3) Fees. - The Secretary, subject to appropriations, may

establish fees at a level sufficient to cover all or a portion of

the administrative costs to the United States Government of

making a loan guarantee under this section. The proceeds of such

fees shall be deposited in an account to be used by the Secretary

for the purpose of administering the program established under

this subchapter and shall be available upon deposit until

expended.

(d) Lines of Credit. -

(1) In general. - Subject to the requirements of this

subsection, the Secretary may enter into agreements to make

available lines of credit to one or more obligors in the form of

direct loans to be made by the Secretary at future dates on the

occurrence of certain events for any aircraft purchase selected

under this section.

(2) Terms and limitations. -

(A) In general. - A line of credit under this subsection with

respect to an aircraft purchase shall be on such terms and

conditions and contain such covenants, representatives,

warranties, and requirements (including requirements for

audits) as the Secretary determines appropriate.

(B) Maximum amount. -

(i) Total amount. - The amount of any line of credit shall

not exceed 50 percent of the purchase price (including the

value of any manufacturer credits, post-purchase options, or

other discounts) of the aircraft, including spare parts.

(ii) 1-year draws. - The amount drawn in any year shall not

exceed 20 percent of the total amount of the line of credit.

direct loan.

(D) Period of availability. - The line of credit shall be

available not more than 5 years after the aircraft purchase

date.

(E) Rights of third-party creditors. -

(i) Against united states government. - A third-party

creditor of the obligor shall not have any right against the

United States Government with respect to any draw on the line

of credit.

(ii) Assignment. - An obligor may assign the line of credit

to one or more lenders or to a trustee on the lender's

behalf.

(F) Subordination. - A direct loan under this subsection may

be subordinate to claims of other holders of obligations in the

event of bankruptcy, insolvency, or liquidation of the obligor

as determined appropriate by the Secretary.

(G) Fees. - The Secretary, subject to appropriations, may

establish fees at a level sufficient to cover all of a portion

of the administrative costs to the United States Government of

providing a line of credit under this subsection. The proceeds

of such fees shall be deposited in an account to be used by the

Secretary for the purpose of administering the program

established under this subchapter and shall be available upon

deposit until expended.

(3) Repayment. -

(A) Schedule. - The Secretary shall establish a repayment

schedule for each direct loan under this subsection.

(B) Commencement. - Scheduled loan repayments of principal or

interest on a direct loan under this subsection shall commence

no later than 3 years after the date of the first draw on the

line of credit and shall be repaid, with interest, not later

than 18 years after the date of the first draw.

(e) Risk Assessment. - Before entering into an agreement under

this section to make available a Federal credit instrument, the

Secretary, in consultation with the Director of the Office of

Management and Budget, shall determine an appropriate capital

reserve subsidy amount for the Federal credit instrument based on

such credit evaluations as the Secretary deems necessary.

(f) Conditions. - Subject to subsection (h), the Secretary may

only make a Federal credit instrument available under this section

if the Secretary finds that -

(1) the aircraft to be purchased with the Federal credit

instrument is a regional jet aircraft needed to improve the

service and efficiency of operation of a commuter air carrier or

new entrant air carrier;

(2) the commuter air carrier or new entrant air carrier enters

into a legally binding agreement that requires the carrier to use

the aircraft to provide service to underserved markets; and

(3) the prospective earning power of the commuter air carrier

or new entrant air carrier, together with the character and value

of the security pledged, including the collateral value of the

aircraft being acquired and any other assets or pledges used to

secure the Federal credit instrument, furnish -

(A) reasonable assurances of the air carrier's ability and

intention to repay the Federal credit instrument within the

terms established by the Secretary -

(i) to continue its operations as an air carrier; and

(ii) to the extent that the Secretary determines to be

necessary, to continue its operations as an air carrier

between the same route or routes being operated by the air

carrier at the time of the issuance of the Federal credit

instrument; and

(B) reasonable protection to the United States.

(g) Limitation on Combined Amount of Federal Credit Instruments.

- The Secretary shall not allow the combined amount of Federal

credit instruments available for any aircraft purchase under this

section to exceed -

(1) 50 percent of the cost of the aircraft purchase; or

(2) $100,000,000 for any single obligor.

(h) Requirement. - Subject to subsection (i), no Federal credit

instrument may be made under this section for the purchase of any

regional jet aircraft that does not comply with the stage 3 noise

levels of part 36 of title 14 of the Code of Federal Regulations,

as in effect on January 1, 1999.

(i) Other Limitations. - No Federal credit instrument shall be

made by the Secretary under this section for the purchase of a

regional jet aircraft unless the commuter air carrier or new

entrant air carrier enters into a legally binding agreement that

requires the carrier to provide scheduled passenger air

transportation to the underserved market for which the aircraft is

purchased for a period of not less than 36 consecutive months after

the date that aircraft is placed in service.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 210(a), Apr. 5, 2000, 114

Stat. 97.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 41762, 41767 of this

title.

-End-

-CITE-

49 USC Sec. 41764 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

Sec. 41764. Use of Federal facilities and assistance

-STATUTE-

(a) Use of Federal Facilities. - To permit the Secretary of

Transportation to make use of such expert advice and services as

the Secretary may require in carrying out this subchapter, the

Secretary may use available services and facilities of other

agencies and instrumentalities of the United States Government -

(1) with the consent of the appropriate Federal officials; and

(2) on a reimbursable basis.

(b) Assistance. - The head of each appropriate department or

agency of the United States Government shall exercise the duties

and powers of that head in such manner as to assist in carrying out

the policy specified in section 41761.

Comptroller General of the United States such information with

respect to any Federal credit instrument made under this subchapter

as the Comptroller General may require to carry out the duties of

the Comptroller General under chapter 7 of title 31, United States

Code.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 210(a), Apr. 5, 2000, 114

Stat. 101.)

-End-

-CITE-

49 USC Sec. 41765 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

Sec. 41765. Administrative expenses

-STATUTE-

In carrying out this subchapter, the Secretary shall use funds

made available by appropriations to the Department of

Transportation for the purpose of administration, in addition to

the proceeds of any fees collected under this subchapter, to cover

administrative expenses of the Federal credit instrument program

under this subchapter.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 210(a), Apr. 5, 2000, 114

Stat. 101.)

-End-

-CITE-

49 USC Sec. 41766 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

Sec. 41766. Funding

-STATUTE-

Of the amounts appropriated under section 106(k) for each of

fiscal years 2001 through 2003, such sums as may be necessary may

be used to carry out this subchapter, including administrative

expenses.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 210(a), Apr. 5, 2000, 114

Stat. 101.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 41763 of this title.

-End-

-CITE-

49 USC Sec. 41767 01/06/03

-EXPCITE-

TITLE 49 - TRANSPORTATION

SUBTITLE VII - AVIATION PROGRAMS

PART A - AIR COMMERCE AND SAFETY

subpart ii - economic regulation

CHAPTER 417 - OPERATIONS OF CARRIERS

SUBCHAPTER III - REGIONAL AIR SERVICE INCENTIVE PROGRAM

-HEAD-

Sec. 41767. Termination

-STATUTE-

(a) Authority To Issue Federal Credit Instruments. - The

authority of the Secretary of Transportation to issue Federal

credit instruments under section 41763 shall terminate on the date

that is 5 years after the date of the enactment of this subchapter.

(b) Continuation of Authority To Administer Program for Existing

Federal Credit Instruments. - On and after the termination date,

the Secretary shall continue to administer the program established

under this subchapter for Federal credit instruments issued under

this subchapter before the termination date until all obligations

associated with such instruments have been satisfied.

-SOURCE-

(Added Pub. L. 106-181, title II, Sec. 210(a), Apr. 5, 2000, 114

Stat. 101.)

-REFTEXT-

REFERENCES IN TEXT

The date of the enactment of this subchapter, referred to in

subsec. (a), is the date of enactment of Pub. L. 106-181, which was

approved Apr. 5, 2000.

-End-

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Idioma:	inglés
País:	Estados Unidos

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Codificación normativa de EEUU (Estados Unidos)Legislación federal estadounidense # Transportation

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