§40117. Passenger facility fees
(a)
(1) "airport", "commercial service airport", and "public agency" have the same meanings given those terms in section 47102 of this title.
(2) "eligible agency" means a public agency that controls a commercial service airport.
(3) "eligible airport-related project" means a project-
(A) for airport development or airport planning under subchapter I of chapter 471 of this title;
(B) for terminal development described in section 47110(d) of this title;
(C) for airport noise capability planning under section 47505 of this title;
(D) to carry out noise compatibility measures eligible for assistance under section 47504 of this title, whether or not a program for those measures has been approved under section 47504;
(E) for constructing gates and related areas at which passengers board or exit aircraft; and
(F) in addition to projects eligible under subparagraph (A), the construction, reconstruction, repair, or improvement of areas of an airport used for the operation of aircraft or actions to mitigate the environmental effects of such construction, reconstruction, repair, or improvement when the construction, reconstruction, repair, improvement, or action is necessary for compliance with the responsibilities of the operator or owner of the airport under the Americans with Disabilities Act of 1990, the Clean Air Act, or the Federal Water Pollution Control Act with respect to the airport.
(4) "passenger facility fee" means a fee imposed under this section.
(5) "passenger facility revenue" means revenue derived from a passenger facility fee.
(b)
(2) A State, political subdivision of a State, or authority of a State or political subdivision that is not the eligible agency may not regulate or prohibit the imposition or collection of a passenger facility fee or the use of the passenger facility revenue.
(3) A passenger facility fee may be imposed on a passenger of an air carrier or foreign air carrier originating or connecting at the commercial service airport that the agency controls.
(c)
(2) Before submitting an application, the eligible agency must provide reasonable notice to, and an opportunity for consultation with, air carriers and foreign air carriers operating at the airport. The Secretary shall prescribe regulations that define reasonable notice and contain at least the following requirements:
(A) The agency must provide written notice of individual projects being considered for financing by a passenger facility fee and the date and location of a meeting to present the projects to air carriers and foreign air carriers operating at the airport.
(B) Not later than 30 days after written notice is provided under subparagraph (A) of this paragraph, each air carrier and foreign air carrier operating at the airport must provide to the agency written notice of receipt of the notice. Failure of a carrier to provide the notice may be deemed certification of agreement with the project by the carrier under subparagraph (D) of this paragraph.
(C) Not later than 45 days after written notice is provided under subparagraph (A) of this paragraph, the agency must conduct a meeting to provide air carriers and foreign air carriers with descriptions of projects and justifications and a detailed financial plan for projects.
(D) Not later than 30 days after the meeting, each air carrier and foreign air carrier must provide to the agency certification of agreement or disagreement with projects (or total plan for the projects). Failure to provide the certification is deemed certification of agreement with the project by the carrier. A certification of disagreement is void if it does not contain the reasons for the disagreement.
(3) After receiving an application, the Secretary shall provide notice and an opportunity to air carriers, foreign air carriers, and other interested persons to comment on the application. The Secretary shall make a final decision on the application not later than 120 days after receiving it.
(d)
(1) the amount and duration of the proposed passenger facility fee will result in revenue (including interest and other returns on the revenue) that is not more than the amount necessary to finance the specific project;
(2) each project is an eligible airport-related project that will-
(A) preserve or enhance capacity, safety, or security of the national air transportation system;
(B) reduce noise resulting from an airport that is part of the system; or
(C) provide an opportunity for enhanced competition between or among air carriers and foreign air carriers; and
(3) the application includes adequate justification for each of the specific projects.
(e)
(A) if the Secretary approves an application that the agency has submitted under subsection (c) of this section; and
(B) subject to terms the Secretary may prescribe to carry out the objectives of this section.
(2) A passenger facility fee may not be collected from a passenger-
(A) for more than 2 boardings on a one-way trip or a trip in each direction of a round trip;
(B) for the boarding to an eligible place under subchapter II of chapter 417 of this title for which essential air service compensation is paid under subchapter II;
(C) for a project the Secretary does not approve under this section before October 1, 1993, if, during the fiscal year ending September 30, 1993, the amount available for obligation under subchapter II of chapter 417 of this title is less than $38,600,000, except that this clause-
(i) does not apply if the amount available for obligation under subchapter II of chapter 417 of this title is less than $38,600,000 because of sequestration or other general appropriations reductions applied proportionately to appropriations accounts throughout an appropriation law; and
(ii) does not affect the authority of the Secretary to approve the imposition of a fee or the use of revenues, derived from a fee imposed under an approval made under this section, by a public agency that has received an approval to impose a fee under this section before September 30, 1993, regardless of whether the fee is being imposed on September 30, 1993; and
(D) enplaning at an airport if the passenger did not pay for the air transportation which resulted in such enplanement, including any case in which the passenger obtained the ticket for the air transportation with a frequent flier award coupon without monetary payment.
(f)
(2) A project financed with a passenger facility fee may not be subject to an exclusive long-term lease or use agreement of an air carrier or foreign air carrier, as defined by regulations of the Secretary.
(3) A lease or use agreement of an air carrier or foreign air carrier related to a project whose construction or expansion was financed with a passenger facility fee may not restrict the eligible agency from financing, developing, or assigning new capacity at the airport with passenger facility revenue.
(g)
(2) An eligible agency may not include in its price base the part of the capital costs of a project paid for by using passenger facility revenue to establish a price under a contract between the agency and an air carrier or foreign air carrier.
(3) For a project for terminal development, gates and related areas, or a facility occupied or used by at least one air carrier or foreign air carrier on an exclusive or preferential basis, a price payable by an air carrier or foreign air carrier using the facilities must at least equal the price paid by an air carrier or foreign air carrier using a similar facility at the airport that was not financed with passenger facility revenue.
(h)
(2) The Secretary periodically shall audit and review the use by an eligible agency of passenger facility revenue. After review and a public hearing, the Secretary may end any part of the authority of the agency to impose a passenger facility fee to the extent the Secretary decides that the revenue is not being used as provided in this section.
(3) The Secretary may set off amounts necessary to ensure compliance with this section against amounts otherwise payable to an eligible agency under subchapter I of chapter 471 of this title if the Secretary decides a passenger facility fee is excessive or that passenger facility revenue is not being used as provided in this section.
(i)
(1) may prescribe the time and form by which a passenger facility fee takes effect; and
(2) shall-
(A) require an air carrier or foreign air carrier and its agent to collect a passenger facility fee that an eligible agency imposes under this section;
(B) establish procedures for handling and remitting money collected;
(C) ensure that the money, less a uniform amount the Secretary determines reflects the average necessary and reasonable expenses (net of interest accruing to the carrier and agent after collection and before remittance) incurred in collecting and handling the fee, is paid promptly to the eligible agency for which they are collected; and
(D) require that the amount collected for any air transportation be noted on the ticket for that air transportation.
(
| Revised Section | Source (U.S. Code) | Source (Statutes at Large) |
|---|---|---|
| 40117(a)(1) | 49 App.:1513(e) (15)(A), (B), (D). | Aug. 23, 1958,
|
| 40117(a)(2) | (no source). | |
| 40117(a)(3) | 49 App.:1513(e) (15)(C). | |
| 40117(a)(4), (5) | (no source). | |
| 40117(b)(1) | 49 App.:1513(e)(1). | |
| 40117(b)(2) | 49 App.:1513(e)(8) (1st sentence). | |
| 40117(b)(3) | 49 App.:1513(e)(6) (1st sentence). | |
| 40117(c)(1), (2) | 49 App.:1513(e) (11)(A)–(C). | |
| 40117(c)(3) | 49 App.:1513(e) (11)(D), (E) (last sentence). | |
| 40117(d) | 49 App.:1513(e)(2), (5). | |
| 40117(e) (1)(A) | 49 App.:1513(e) (11)(E) (1st sentence). | |
| 40117(e) (1)(B) | 49 App.:1513(e)(13). | |
| 40117(e) (2)(A) | 49 App.:1513(e)(6) (last sentence). | |
| 40117(e) (2)(B) | 49 App.:1513(e)(3). | |
| 40117(e) (2)(C) | 49 App.:1513(e)(4). | Aug. 23, 1958,
|
| 40117(f)(1) | 49 App.:1513(e)(8) (last sentence). | |
| 40117(f)(2), (3) | 49 App.:1513(e)(9). | |
| 40117(g) | 49 App.:1513(e)(7). | |
| 40117(h) | 49 App.:1513(e)(12). | |
| 40117(i) | 49 App.:1513(e)(10), (14). |
In subsection (a), before clause (1), the text of 49 App.:1513(e)(15)(A) is omitted for clarity and because the terms "air carrier" and "foreign air carrier" are used the first time they appear in each subsection. The text of 49 App.:1513(e)(15)(D) is omitted because the complete name of the Secretary of Transportation is used the first time the term appears in this section. Clauses (2), (4), and (5) are added to avoid repeating the source provisions throughout this section. In clause (3)(D), the words "without regard to" are omitted as surplus.
In subsection (b)(1), the words "bonds and other" are omitted as surplus.
In subsection (b)(2), the word "limit" is omitted as being included in "regulate".
In subsection (d), before clause (1), the text of 49 App.:1513(e)(5) is omitted as executed. The words "approve an application that an eligible agency has submitted under subsection (c) of this section" are substituted for "grant a public agency which controls a commercial service airport authority to impose a fee under this subsection" for clarity.
In subsection (e)(1)(B), the words "and conditions" are omitted as being included in "terms".
Subsection (e)(2)(A) is substituted for 49 App.:1513(e)(6) (last sentence) to eliminate unnecessary words.
In subsection (e)(2)(B), the words "a public agency which controls any other airport", "If a passenger of an air carrier is being provided air service", and "with respect to such air service" are omitted as surplus.
In subsection (f)(3), the words "financed with" are substituted for "carried out through the use of" for consistency in this section and to eliminate unnecessary words.
In subsection (g), the word "price" is substituted for "rate, fee, or charge" and "rates, fees, and charges" to eliminate unnecessary words.
In subsection (g)(2), the words "Except as provided by subparagraph (C)" and "by means of depreciation, amortization, or any other method" are omitted as surplus.
In subsection (h)(1), the word "agent" is substituted for "agency" to correct an error in the source provisions.
In subsection (i), before clause (1), the words "Not later than May 4, 1991" are omitted as obsolete.
References in Text
The Americans with Disabilities Act of 1990, referred to in subsec. (a)(3)(F), is
The Clean Air Act, referred to in subsec. (a)(3)(F), is act July 14, 1955, ch. 360,
The Federal Water Pollution Control Act, referred to in subsec. (a)(3)(F), is act June 30, 1948, ch. 758, as amended generally by
Amendments
1994-Subsec. (a)(3)(F).
Subsec. (d)(3).
Subsec. (e)(2)(D).
Limitation on Statutory Construction of Subsection (e)(2)(D)
Section 204(a)(2) of
Section Referred to in Other Sections
This section is referred to in sections 40116, 46301, 46316, 47111, 47114, 47524, 47526 of this title.