Contact:  Steve Hansen (Director of Communications)  (202) 225-7749
 Email: Steve.Hansen@mail.house.gov
     Justin Harclerode (Deputy Director of Communications)  (202) 226-8767
  Email: Justin.Harclerod@mail.house.gov

To:  National Desk/Transportation Reporter
September 30, 2002

        Washington, D.C. - A Congressional Subcommittee on Wednesday will markup legislation to provide financial relief to the aviation community  still struggling with reduced levels of travel after the September 11th attacks, and to reform the Federal Aviation Administration (FAA) and improve air traffic control.

        The markup by the U.S. House Aviation Subcommittee, chaired by U.S. Rep. John L. Mica (R-FL), is scheduled to begin at 10:30 a.m. on Wednesday, October 2nd in 2167 Rayburn House Office Building.  Live audio and video broadcasts of the hearing will be available at the Committee’s website:

        The Subcommittee held an oversight hearing last Tuesday on the financial state of the airline industry, during which members of the aviation community outlined possible courses of action to improve the industry’s condition.  In July, the Subcommittee also held a hearing to examine the problems with the FAA Chief Operating Officer and air traffic control oversight board.

        The legislation, which has not yet been introduced in the House, will include several key provisions based, in part, on information obtained at these hearings.
 
        - War Risk Insurance – the bill will:

• Limit airline liability for 3rd party damages (i.e., injuries to people in a building or on the ground) from acts of terrorism to $100 million.
• Extend existing war risk policies until the end of next year at premiums no higher than now.  Currently, DOT has been extending the policies for
• 60-day periods and raising the premiums.  The current policies expire on 10/16/02.  These policies cover only damages to third parties, not damages to passengers, crew or the aircraft itself.  The bill would extend the coverage to these as well.
• Correct the provision that now limits DOT to extending the coverage for only 60-day increments.

        - Federal Aviation Administration Reform – the bill will:

• Allow the final vacancies on the Management Advisory Council (MAC) to be filled without Senate confirmation.
• Separate the Air Traffic Services Board (ATSB) from the MAC (it is now a subcommittee of the MAC) and make it a stand-alone Board within the FAA.
• Make the FAA Administrator the Chairman of the ATSB.
• Eliminate compensation for Members of the ATSB.
• Change the job description of the COO to “implementing the strategic plan” rather than “developing the strategic plan” and to “overseeing day-to-day operations of the air traffic control system” rather than “reviewing operations of that system” as that job description is more appropriate for a COO.  Require the COO to develop a comprehensive plan with specific performance goals for managing cost-reimbursable contracts as recommended by the Inspector General.

• Establish a deadline for the screening of mail so that it can be carried on passenger airlines; and make clear that postal workers would be considered Federal employees and allowed to do the screening.
• Allow citizens of U.S territories and possessions to be screeners.
• Delete the requirement that there be Federal law enforcement officers at all airports and permit local law enforcement officers to perform that function.
• Exempt military charters, performed by civilian aircraft, from the provisions of the Aviation and Transportation Security Act.
• Exempt recurrent training of foreign pilots from the DOJ background check requirement since they already know how to fly a plane.
• Allow airline employees with a disqualifying crime on their record to apply for waivers in order to keep their job.
• Require TSA to reevaluate the seating of air marshals on an aircraft after the cockpit doors are hardened.