REGULATORY IMPACT STATEMENT In accordance with paragraph 11(b) of rule XXVI of the Standing Rules of the Senate, the Committee believes that the bill should not impose a significant regulatory, economic, or paperwork burden, nor should it adversely affect the personal privacy of any individual. SECTION-BY-SECTION ANALYSIS SECTION 1 This section amends subsection (b)(3) of the first section of Public Law 99-618, which authorized the Secretary of Transportation to release restrictions on the use of certain property conveyed to the Peninsula Airport Commission in Newport News, VA, by substituting "20.5 acres" for "7.5 acres". This provision modifies the current law release of restrictions on the use of property at the Patrick Henry Airport to authorize the conveyance of 13 additional acres of real property. This section also repeals subsection (b)(4) of the first section of Public Law 99-618, which restricted the conveyance of property at the Airport to the City of Newport News, VA. SECTION 2 Section 2 amends section 511(a)(12) of the Airport and Airway Improvement Act of 1982, which conditions the approval of an airport development project on airport sponsor assurances to the Secretary of Transportation that all revenues generated by the airport will be substantially related to the actual air transportation of passengers or property. The amendment to section 511(a)(12) provides an exception to this limitation for revenues generated from a contract between the State of Hawaii and a commercial licensee permitting the display and sale of in-bond merchandise at a location both on and off airport properties within that State. Such revenues may be expended for any transportation purpose, including, but not limited to airports, harbors, and highways of that State provided that: (i) they are limited to revenues attributable to sales of inbond merchandise from other than airport properties; (ii) they must be in excess of 150 percent of the requirements of the airport revenue fund for a period of twelve months following the State's annual estimate of the airport's requirements; and (iii) the revenues shall not be available for transportation expenses other than those related to air transportation after December 31, 1995. In recognition of the circumstances unique to the State of Hawaii, the Committee proposed to grant limited authority to the State to transfer, for a period of five years, funds generated from duty-free off-airport premises in excess of 150 percent of the annual expenditure requirements of the State's Airport Revenue Fund, which includes noise abatement projects and debt service. However, if the off-airport duty-free sales are below the 150 percent threshold, no funds may be transferred from the Airport Revenue Fund for any other transportation project. CHANGES IN EXISTING LAw In compliance with paragraph 12 of rule XXVI of the Standing Rules of the Senate, changes in existing law made by the bill, as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new material is printed in italic, existing law in which no change is proposed is shown in roman): THE ACT OF NOVEMBER 6, 1986 (Public Law 99-618) Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) notwithstanding section 16 of the Federal Airport Act (as in effect on May 14, 1947), the Secretary of Transportation is authorized, subject to section 4 of the Act of October 1, 1949 (50 U.S.C. App. 1622c) and subsection (b) of this section, to grant releases from any of the terms, conditions, reservations, and restrictions contained in the deed of conveyance dated May 14, 1947, under which the United States conveyed certain property in Newport News, and York County, Virginia, to the Peninsula Airport Commission for airport purposes. (b) Any release granted by the Secretary of Transportation under subsection (a) of this section shall be subject to the following conditions (1) The Peninsula Airport Commission shall agree that in leasing or conveying any interest in the property which the United States conveyed to such Commission by the deed described in subsection (a), the Commission will receive an amount for such interest which is equal to the fair lease value or the fair market value, as the case may be (as determined pursuant to regulations issued by the Secretary). (2) Any amount so received by the Peninsula Airport Commission shall be used by the Commission for the development, improvement, operation, or maintenance of a public airport. (3) Any release granted by the Secretary of Transportation under subsection (a) of this section may not apply to more than [7.5 acres] 20.5 acres of real property. [(4) The Peninsula Airport Commission may not lease or convey any interest in any of the property which the United States conveyed to such Commission by the deed described in subsection (a), to any person or business concern other than the City of Newport News, Virginia.] AIRPORT AND AIRWAY IMPROVEMENT ACT OF 1982 Section 511 of that Act SEC. 511. PROJECT SPONSORSHIP. (a) SPONSORSHIP.-As a condition precedent to approval of an airport development project contained in a project grant application submitted under this title, the Secretary shall receive assurances, in writing, satisfactory to the Secretary, that— (1) through (11) (12) all revenues generated by the airport, if it is a public airport, and any local taxes on aviation fuel (other than taxes in effect on the date of the enactment of the Airport and Airway Safety and Capacity Expansion Act of 1987) will be expended for the capital or operating costs of the airport, the local airport system, or other local facilities which are owned or operated by the owner or operator of the airport and directly and substantially related to the actual air transportation of passengers or property; except that if covenants or assurances in debt obligations issued before September 3, 1982, by the owner or operator of the airport, or provisions enacted before September 3, 1982, in the governing statutes controlling the owner or operator's financing, provide for the use of the revenues from any of the airport owner or operator's facilities, including the airport, to support not only the airport but also the airport owner or operator's general debt obligations or other facilities, then this limitation on the use of all other revenues generated by the airport (and, in the case of a public airport, local taxes on aviation fuel) shall not apply; and except further that this limitation on the use of all other revenues generated by the airport shall not apply to revenues generated from a contract between the State of Hawaii and a commercial licensee permitting the display and sale of in-bond merchandise at a location both on and off airport properties within that State, and revenues so generated may be expended for any transportation purpose, including, but not limited to, airports, harbors, and highways of that State only if (A) the revenues which may be so used are limited to revenues attributable to sales of in-bond merchandise from other than airport properties; (B) the revenues which may be so used are in excess of 150 percent of the requirements of the airport revenue fund for a period of twelve months following the State's annual estimate of the airport's requirements; and (C) the revenues described in subparagraph (A) of this paragraph are not available for transportation expenses other than those related to air transportation after December 31, 1995; |