SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Regulatory Integrity Act of 2016''.

SEC. 2. PUBLICATION OF INFORMATION RELATING TO PENDING REGULATORY
              ACTIONS.

    (a) Amendment.--Chapter 3 of title 5, United States Code, is
amended by inserting after section 306 the following new section:
``Sec. 307. Information regarding pending agency regulatory action
    ``(a) Definitions.--In this section:
            ``(1) Agency regulatory action.--The term `agency
        regulatory action' means guidance, policy statement, directive,
        rule making, or adjudication issued by an Executive agency.
            ``(2) Aggrandizement.--The term `aggrandizement' means--
                    ``(A) any communication emphasizing the importance
                of the Executive agency or agency regulatory action
                that does not have the clear purpose of informing the
                public of the substance or status of the Executive
                agency or agency regulatory action; or
                    ``(B) any communication that is puffery.
            ``(3) Public communication.--The term `public
        communication'--
                    ``(A) means any method (including written, oral, or
                electronic) of disseminating information to the public,
                including an agency statement (written or verbal),
                blog, video, audio recording, or other social media
                message; and
                    ``(B) does not include a notice published in the
                Federal Register pursuant to section 553 or any
                requirement to publish pursuant to this section.
            ``(4) Rule making.--The term `rule making' has the meaning
        given that term under section 551.
    ``(b) Information To Be Posted Online.--
            ``(1) Requirement.--The head of each Executive agency shall
        make publicly available in a searchable format in a prominent
        location either on the website of the Executive agency or in
        the rule making docket on Regulations.gov the following
        information:
                    ``(A) Pending agency regulatory action.--A list of
                each pending agency regulatory action and with regard
                to each such action--
                            ``(i) the date on which the Executive
                        agency first began to develop or consider the
                        agency regulatory action;
                            ``(ii) the status of the agency regulatory
                        action;
                            ``(iii) an estimate of the date of upon
                        which the agency regulatory action will be
                        final and in effect;
                            ``(iv) a brief description of the agency
                        regulatory action;
                            ``(v) if applicable, a list of agency
                        regulatory actions issued by the Executive
                        agency, or any other Executive agency, that
                        duplicate or overlap with the agency regulatory
                        action; and
                            ``(vi) if a regulatory impact analysis or
                        similar cost-benefit analysis has been
                        conducted, the findings of such analysis,
                        including any data or formula used for purposes
                        of such analysis.
                    ``(B) Public communication.--For each pending
                agency regulatory action, a list of each public
                communication about the pending agency regulatory
                action issued by the Executive agency and with regard
                to each such communication--
                            ``(i) the date of the communication;
                            ``(ii) the intended audience of the
                        communication;
                            ``(iii) the method of communication; and
                            ``(iv) a copy of the original
                        communication.
            ``(2) Period.--The head of each Executive agency shall
        publish the information required under paragraph (1)(A) not
        later than 24 hours after a public communication relating to a
        pending agency regulatory action is issued and shall maintain
        the public availability of such information not less than 5
        years after the date on which the pending agency regulatory
        action is finalized.
    ``(c) Requirements for Public Communications.--Any public
communication issued by an Executive agency that refers to a pending
agency regulatory action--
            ``(1) shall specify whether the Executive agency is
        considering alternatives, including alternatives that may
        conflict with the intent, objective, or methodology of such
        agency regulatory action;
            ``(2) shall specify whether the Executive agency is
        accepting or will be accepting comments;
            ``(3) shall expressly disclose that the Executive agency is
        the source of the information to the intended recipients; and
            ``(4) may not--
                    ``(A) solicit support for or promote the pending
                agency regulatory action;
                    ``(B) be sent through the private email account of
                an officer or employee of the Executive agency; or
                    ``(C) include statements of aggrandizement for the
                Executive agency, any Federal employee, or the pending
                agency regulatory action.
    ``(d) Reporting.--
            ``(1) In general.--Not later than January 15 of each year,
        the head of an Executive agency that communicated about a
        pending agency regulatory action during the previous fiscal
        year shall submit to each committee of Congress with
        jurisdiction over the activities of the Executive agency a
        report indicating--
                    ``(A) the number pending agency regulatory actions
                the Executive agency issued public communications about
                during that fiscal year;
                    ``(B) the average number of public communications
                issued by the Executive agency for each pending agency
                regulatory action during that fiscal year;
                    ``(C) the 5 pending agency regulatory actions with
                the highest number of public communications issued by
                the Executive agency in that fiscal year; and
                    ``(D) a copy of each public communication for the
                pending agency regulatory actions identified in
                subparagraph (C).
            ``(2) Availability of reports.--The head of an Executive
        agency that is required to submit a report under paragraph (1)
        shall make the report publicly available in a searchable format
        in a prominent location on the website of the Executive
        agency.''.
    (b) Technical and Conforming Amendment.--The table of sections for
chapter 3 of title 5, United States

 Code, is amended by adding after the item relating to section 306 the
following new item:

``307. Information regarding pending agency regulatory action.''.

            Passed the House of Representatives September 14, 2016.

            Attest:

                                                 KAREN L. HAAS,

                                                                 Clerk.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Reinvigorating Antibiotic and
Diagnostic Innovation Act of 2015''.

SEC. 2. CLINICAL TESTING EXPENSES FOR QUALIFIED INFECTIOUS DISEASE
              PRODUCTS.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 is amended by adding at the end
the following new section:

``SEC. 45S. CLINICAL TESTING EXPENSES FOR QUALIFIED INFECTIOUS DISEASE
              PRODUCTS.

    ``(a) General Rule.--For purposes of section 38, the qualified
infectious disease product credit determined under this section for the
taxable year is an amount equal to 50 percent of the qualified clinical
testing expenses for the taxable year.
    ``(b) Qualified Clinical Testing Expenses.--For purposes of this
section--
            ``(1) Qualified clinical testing expenses.--
                    ``(A) In general.--Except as otherwise provided in
                this paragraph, the term `qualified clinical testing
                expenses' means the amounts which are paid or incurred
                by the taxpayer during the taxable year which would be
                described in subsection (b) of section 41 if such
                subsection were applied with the modifications set
                forth in subparagraph (B).
                    ``(B) Modifications.--For purposes of subparagraph
                (A), subsection (b) of section 41 shall be applied--
                            ``(i) by substituting `clinical testing'
                        for `qualified research' each place it appears
                        in paragraphs (2) and (3) of such subsection,
                        and
                            ``(ii) by substituting `100 percent' for
                        `65 percent' in paragraph (3)(A) of such
                        subsection.
                    ``(C) Exclusion for amounts funded by grants,
                etc.--The term `qualified clinical testing expenses'
                shall not include any amount to the extent such amount
                is funded by any grant, contract, or otherwise by
                another person (or any governmental entity).
                    ``(D) Special rule.--For purposes of this
                paragraph, section 41 shall be deemed to remain in
                effect for periods after enactment of this section.
            ``(2) Clinical testing.--
                    ``(A) In general.--The term `clinical testing'
                means any human clinical testing--
                            ``(i) which is carried out under an
                        exemption for a drug being tested as an
                        antibiotic or antifungal drug under section
                        505(i) of the Federal Food, Drug, and Cosmetic
                        Act (or regulations issued under such section),
                            ``(ii) which occurs before the date on
                        which an application with respect to such drug
                        is approved under section 505(b) of such Act
                        or, if the drug is a biological product, before
                        the date on which a license for such drug is
                        issued under section 351 of the Public Health
                        Service Act, and
                            ``(iii) which is conducted by or on behalf
                        of the taxpayer to whom exemption under section
                        505(i) of such Act is granted.
                    ``(B) Testing must be related to use as qualified
                infectious disease product.--Human clinical testing
                shall be taken into account under subparagraph (A) only
                to the extent such testing is related to the use of the
                drug as a qualified infectious disease product.
    ``(c) Coordination With Credit for Increasing Research
Expenditures.--
            ``(1) In general.--Except as provided in paragraph (2), any
        qualified clinical testing expenses for a taxable year to which
        an election under this section applies shall not be taken into
        account for purposes of determining the credit allowable under
        section 41 for such taxable year.
            ``(2) Expenses included in determining base period research
        expenses.--Any qualified clinical testing expenses for any
        taxable year which are qualified research expenses (within the
        meaning of section 41(b)) shall be taken into account in
        determining base period research expenses for purposes of
        applying section 41 to subsequent taxable years.
    ``(d) Definitions and Special Rules.--
            ``(1) Qualified infectious disease product.--For purposes
        of this section, the term `qualified infectious disease
        product' means any drug or biological product for human use
        that--
                    ``(A) is intended to treat a serious or life-
                threatening infection, including those caused by--
                            ``(i) an antibacterial or antifungal
                        resistant pathogen (including novel or emerging
                        infectious pathogens), or
                            ``(ii) qualifying pathogens listed by the
                        Secretary of Health and Human Services under
                        section 505E(f) of the Federal Food, Drug, and
                        Cosmetic Act (21 U.S.C. 351 et seq.), and
                    ``(B) is intended to treat an infection for which
                there is an unmet medical need as defined by the
                Secretary of Health and Human Services.
            ``(2) Special limitation on foreign testing.--
                    ``(A) In general.--No credit shall be allowed under
                this section with respect to any clinical testing
                conducted outside the United States unless--
                            ``(i) such testing is conducted outside the
                        United States because there is an insufficient
                        testing population in the United States, and
                            ``(ii) such testing is conducted by a
                        United States person or by any other person who
                        is not related to the taxpayer to whom
                        exemption under section 505(i) of the Federal
                        Food, Drug, and Cosmetic Act is granted.
                    ``(B) Insufficient testing population.--For
                purposes of this section, the testing population in the
                United States is insufficient if there are not within
                the United States the number of available and
                appropriate human subjects needed to produce reliable
                and timely data from the clinical investigation.
            ``(3) Certain rules made applicable.--Rules similar to the
        rules of paragraphs (1) and (2) of section 41(f) shall apply
        for purposes of this section.
            ``(4) Election.--This section shall apply to any taxpayer
        for any taxable year only if such taxpayer elects (at such time
        and in such manner as the Secretary may by regulations
        prescribe) to have this section apply for such taxable year.
    ``(e) Transferability.--
            ``(1) In general.--Any taxpayer holding a credit under this
        section may transfer for valuable consideration unused but
        otherwise allowable credit for use by a qualified
        pharmaceutical research taxpayer. A taxpayer that transfers any
        amount of credit under this section shall file a notification
        of such transfer to the Secretary in accordance with procedures
        and forms prescribed by the Secretary.
            ``(2) Use of transferred credit.--Any qualified
        pharmaceutical research taxpayer that receives credit that has
        been transferred shall use such credit for the taxable year in
        which the transfer occurred. Any unused amounts of such credit
        may be carried back or forward to other taxable years in
        accordance with section 39.
            ``(3) Definition of qualified pharmaceutical research
        taxpayer.--For purposes of this section, the term `qualified
        pharmaceutical research taxpayer' means any domestic
        corporation the primary mission of which is pharmaceutical
        research or development.''.
    (b) Made Part of Business Credit.--Section 38(b) of such Code is
amended by striking ``plus'' at the end of paragraph (35), by striking
the period at the end of paragraph (36) and inserting ``, plus'', and
by adding at the end the following new paragraph:
            ``(37) the qualified infectious disease product credit
        determined under section 45S(a).''.
    (c) Clerical Amendments.--The table of sections for subpart D of
part IV of subchapter A of chapter 1 of such Code is amended by adding
at the end the following new item:

``45S. Clinical testing expenses for qualified infectious disease
                            products.''.
    (d) Effective Date.--The amendment made by this section shall apply
to amounts paid or incurred after the date of the enactment of this
Act.

SEC. 3. CLINICAL TESTING EXPENSES FOR RAPID INFECTIOUS DISEASES
              DIAGNOSTIC TESTS.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986, as amended by section 2, is
amended by adding at the end the following new section:

``SEC. 45T. CLINICAL TESTING EXPENSES FOR RAPID INFECTIOUS DISEASES
              DIAGNOSTIC TESTS.

    ``(a) General Rule.--For purposes of section 38, the credit
determined under this section for the taxable year is an amount equal
to 50 percent of the qualified clinical testing expenses for the
taxable year.
    ``(b) Qualified Clinical Testing Expenses.--For purposes of this
section--
            ``(1) Qualified clinical testing expenses.--
                    ``(A) In general.--Except as otherwise provided in
                this paragraph, the term `qualified clinical testing
                expenses' means the amounts which are paid or incurred
                by the taxpayer during the taxable year which would be
                described in subsection (b) of section 41 if such
                subsection were applied with the modifications set
                forth in subparagraph (B).
                    ``(B) Modifications.--For purposes of subparagraph
                (A), subsection (b) of section 41 shall be applied--
                            ``(i) by substituting `clinical testing'
                        for `qualified research' each place it appears
                        in paragraphs (2) and (3) of such subsection,
                        and
                            ``(ii) by substituting `100 percent' for
                        `65 percent' in paragraph (3)(A) of such
                        subsection.
                    ``(C) Exclusion for amounts funded by grants,
                etc.--The term `qualified clinical testing expenses'
                shall not include any amount to the extent such amount
                is funded by any grant, contract, or otherwise by
                another person (or any governmental entity).
                    ``(D) Special rule.--For purposes of this
                paragraph, section 41 shall be deemed to remain in
                effect for periods after enactment of this section.
            ``(2) Clinical testing.--
                    ``(A) In general.--The term `clinical testing'
                means any human clinical testing--
                            ``(i) which is carried out under an
                        exemption for a device being tested under
                        section 520(g) of the Federal Food, Drug, and
                        Cosmetic Act (or regulations issued under such
                        section),
                            ``(ii) which is related only to such use as
                        a qualified rapid infectious diseases
                        diagnostic test,
                            ``(iii) which occurs before the date on
                        which an application with respect to such
                        device receives premarket approval, if
                        required, under section 515 of such Act, or
                        receives clearance, if required, under section
                        510(k) of such Act, and
                            ``(iv) which is conducted by or on behalf
                        of the taxpayer to whom the exemption under
                        section 520(g) of such Act was granted.
    ``(c) Coordination With Credit for Increasing Research
Expenditures.--
            ``(1) In general.--Except as provided in paragraph (2), any
        qualified clinical testing expenses for a taxable year to which
        an election under this section applies shall not be taken into
        account for purposes of determining the credit allowable under
        section 41 for such taxable year.
            ``(2) Expenses included in determining base period research
        expenses.--Any qualified clinical testing expenses for any
        taxable year which are qualified research expenses (within the
        meaning of section 41(b)) shall be taken into account in
        determining base period research expenses for purposes of
        applying section 41 to subsequent taxable years.
    ``(d) Definitions and Special Rules.--
            ``(1) Qualified rapid infectious diseases diagnostic
        test.--For purposes of this section, the term `qualified rapid
        infectious diseases diagnostic test' means an in-vitro
        diagnostic (IVD) device that provides results in less than four
        hours and that is used to identify or detect the presence,
        concentration, or characteristics of a serious or life-
        threatening infection, including those caused by (1) an
        antibacterial or antifungal resistant pathogen, including novel
        or emerging infectious pathogens or (2) qualifying pathogens
        listed by the Secretary of Health and Human Services under
        Chapter V (21 U.S.C. 351 et seq.) section 505E(f).
            ``(2) Special limitation on foreign testing.--
                    ``(A) In general.--No credit shall be allowed under
                this section with respect to any clinical testing
                conducted outside the United States unless--
                            ``(i) such testing is conducted outside the
                        United States because there is an insufficient
                        testing population in the United States, and
                            ``(ii) such testing is conducted by a
                        United States person or by any other person who
                        is not related to the taxpayer to whom the
                        exemption under section 520(g) of Federal Food,
                        Drug, and Cosmetic Act was granted.
                    ``(B) Insufficient testing population.--For
                purposes of this section, the testing population in the
                United States is insufficient if there are not within
                the United States the number of available and
                appropriate human subjects needed to produce reliable
                and timely data from the clinical investigation.
            ``(3) Certain rules made applicable.--Rules similar to the
        rules of paragraphs (1) and (2) of section 41(f) shall apply
        for purposes of this section.
            ``(4) Election.--This section shall apply to any taxpayer
        for any taxable year only if such taxpayer elects (at such time
        and in such manner as the Secretary may by regulations
        prescribe) to have this section apply for such taxable year.
    ``(e) Transferability.--
            ``(1) In general.--Any taxpayer holding a credit under this
        section may transfer for valuable consideration unused but
        otherwise allowable credit for use by a qualified diagnostics
        research taxpayer. A taxpayer that transfers any amount of
        credit under this section shall file a notification of such
        transfer to the Secretary in accordance with procedures and
        forms prescribed by the Secretary.
            ``(2) Use of transferred credit.--Any qualified diagnostics
        research taxpayer that receives credit that has been
        transferred shall use such credit for the taxable year in which
        the transfer occurred. Any unused amounts of such credit may be
        carried back or forward to other taxable years in accordance
        with section 39.
            ``(3) Definition of qualified diagnostics research
        taxpayer.--For purposes of this section, the term `qualified
        diagnostics research taxpayer' means any domestic corporation
        that derives--
                    ``(A) any gross income from research or development
                on diagnostic tests used to identify or detect the
                presence, concentration or characteristics of a serious
                or life-threatening infectious disease or pathogen; or
                    ``(B) any gross income from research or development
                on qualified infectious disease products within the
                meaning given to such term in section 505E(g) of the
                Federal, Food, Drug, and Cosmetic Act; or
                    ``(C) more than 50 percent of its gross income from
                activities related to health care.''.
    (b) Made Part of Business Credit.--Section 38(b) of such Code, as
amended by section 2, is amended by striking ``plus'' at the end of
paragraph (36), by striking the period at the end of paragraph (37) and
inserting ``, plus'', and by adding at the end the following new
paragraph:
            ``(38) the credit determined under section 45T(a).''.
    (c) Clerical Amendment.--The table of sections for subpart D of
part IV of subchapter A of chapter 1 of such Code, as amended by
section 2, is amended by adding at the end the following new item:

``Sec. 45T. Clinical testing expenses for rapid infectious diseases
                            diagnostic tests.''.
    (d) Effective Date.--The amendment made by this section shall apply
to amounts paid or incurred after the date of the enactment of this
Act.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Religious Land Use and
Institutionalized Persons Act of 2000''.

SEC. 2. PROTECTION OF LAND USE AS RELIGIOUS EXERCISE.

    (a) Substantial Burdens.--
            (1) General rule.--No government shall impose or implement
        a land use regulation in a manner that imposes a substantial
        burden on the religious exercise of a person, including a
        religious assembly or institution, unless the government
        demonstrates that imposition of the burden on that person,
        assembly, or institution--
                    (A) is in furtherance of a compelling governmental
                interest; and
                    (B) is the least restrictive means of furthering
                that compelling governmental interest.
            (2) Scope of application.--This subsection applies in any
        case in which--
                    (A) the substantial burden is imposed in a program
                or activity that receives Federal financial assistance,
                even if the burden results from a rule of general
                applicability;
                    (B) the substantial burden affects, or removal of
                that substantial burden would affect, commerce with
                foreign nations, among the several States, or with
                Indian tribes, even if the burden results from a rule
                of general applicability; or
                    (C) the substantial burden is imposed in the
                implementation of a land use regulation or system of
                land use regulations, under which a government makes,
                or has in place formal or informal procedures or
                practices that permit the government to make,
                individualized assessments of the proposed uses for the
                property involved.
    (b) Discrimination and Exclusion.--
            (1) Equal terms.--No government shall impose or implement a
        land use regulation in a manner that treats a religious
        assembly or institution on less than equal terms with a
        nonreligious assembly or institution.
            (2) Nondiscrimination.--No government shall impose or
        implement a land use regulation that discriminates against any
        assembly or institution on the basis of religion or religious
        denomination.
            (3) Exclusions and limits.--No government shall impose or
        implement a land use regulation that--
                    (A) totally excludes religious assemblies from a
                jurisdiction; or
                    (B) unreasonably limits religious assemblies,
                institutions, or structures within a jurisdiction.

SEC. 3. PROTECTION OF RELIGIOUS EXERCISE OF INSTITUTIONALIZED PERSONS.

    (a) General Rule.--No government shall impose a substantial burden
on the religious exercise of a person residing in or confined to an
institution, as defined in section 2 of the Civil Rights of
Institutionalized Persons Act (42 U.S.C. 1997), even if the burden
results from a rule of general applicability, unless the government
demonstrates that imposition of the burden on that person--
            (1) is in furtherance of a compelling governmental
        interest; and
            (2) is the least restrictive means of furthering that
        compelling governmental interest.
    (b) Scope of Application.--This section applies in any case in
which--
            (1) the substantial burden is imposed in a program or
        activity that receives Federal financial assistance; or
            (2) the substantial burden affects, or removal of that
        substantial burden would affect, commerce with foreign nations,
        among the several States, or with Indian tribes.

SEC. 4. JUDICIAL RELIEF.

    (a) Cause of Action.--A person may assert a violation of this Act
as a claim or defense in a judicial proceeding and obtain appropriate
relief against a government. Standing to assert a claim or defense
under this section shall be governed by the general rules of standing
under article III of the Constitution.
    (b) Burden of Persuasion.--If a plaintiff produces prima facie
evidence to support a claim alleging a violation of the Free Exercise
Clause or a violation of section 2, the government shall bear the
burden of persuasion on any element of the claim, except that the
plaintiff shall bear the burden of persuasion on whether the law
(including a regulation) or government practice that is challenged by
the claim substantially burdens the plaintiff's exercise of religion.
    (c) Full Faith and Credit.--Adjudication of a claim of a violation
of section 2 in a non-Federal forum shall not be entitled to full faith
and credit in a Federal court unless the claimant had a full and fair
adjudication of that claim in the non-Federal forum.
    (d) Attorneys' Fees.--Section 722(b) of the Revised Statutes (42
U.S.C. 1988(b)) is amended--
            (1) by inserting ``the Religious Land Use and
        Institutionalized Persons Act of 2000,'' after ``Religious
        Freedom Restoration Act of 1993,''; and
            (2) by striking the comma that follows a comma.
    (e) Prisoners.--Nothing in this Act shall be construed to amend or
repeal the Prison Litigation Reform Act of 1995 (including provisions
of law amended by that Act).
    (f) Authority of United States To Enforce This Act.--The United
States may bring an action for injunctive or declaratory relief to
enforce compliance with this Act. Nothing in this subsection shall be
construed to deny, impair, or otherwise affect any right or authority
of the Attorney General, the United States, or any agency, officer, or
employee of the United States, acting under any law other than this
subsection, to institute or intervene in any proceeding.
    (g) Limitation.--If the only jurisdictional basis for applying a
provision of this Act is a claim that a substantial burden by a
government on religious exercise affects, or that removal of that
substantial burden would affect, commerce with foreign nations, among
the several States, or with Indian tribes, the provision shall not
apply if the government demonstrates that all substantial burdens on,
or the removal of all substantial burdens from, similar religious
exercise throughout the Nation would not lead in the aggregate to a
substantial effect on commerce with foreign nations, among the several
States, or with Indian tribes.

SEC. 5. RULES OF CONSTRUCTION.

    (a) Religious Belief Unaffected.--Nothing in this Act shall be
construed to authorize any government to burden any religious belief.
    (b) Religious Exercise Not Regulated.--Nothing in this Act shall
create any basis for restricting or burdening religious exercise or for
claims against a religious organization, including any religiously
affiliated school or university, not acting under color of law.
    (c) Claims to Funding Unaffected.--Nothing in this Act shall create
or preclude a right of any religious organization to receive funding or
other assistance from a government, or of any person to receive
government funding for a religious activity, but this Act may require a
government to incur expenses in its own operations to avoid imposing a
substantial burden on religious exercise.
    (d) Other Authority To Impose Conditions on Funding Unaffected.--
Nothing in this Act shall--
            (1) authorize a government to regulate or affect, directly
        or indirectly, the activities or policies of a person other
        than a government as a condition of receiving funding or other
        assistance; or
            (2) restrict any authority that may exist under other law
        to so regulate or affect, except as provided in this Act.
    (e) Governmental Discretion in Alleviating Burdens on Religious
Exercise.--A government may avoid the preemptive force of any provision
of this Act by changing the policy or practice that results in a
substantial burden on religious exercise, by retaining the policy or
practice and exempting the substantially burdened religious exercise,
by providing exemptions from the policy or practice for applications
that substantially burden religious exercise, or by any other means
that eliminates the substantial burden.
    (f) Effect on Other Law.--With respect to a claim brought under
this Act, proof that a substantial burden on a person's religious
exercise affects, or removal of that burden would affect, commerce with
foreign nations, among the several States, or with Indian tribes, shall
not establish any inference or presumption that Congress intends that
any religious exercise is, or is not, subject to any law other than
this Act.
    (g) Broad Construction.--This Act shall be construed in favor of a
broad protection of religious exercise, to the maximum extent permitted
by the terms of this Act and the Constitution.
    (h) No Preemption or Repeal.--Nothing in this Act shall be
construed to preempt State law, or repeal Federal law, that is equally
as protective of religious exercise as, or more protective of religious
exercise than, this Act.
    (i) Severability.--If any provision of this Act or of an amendment
made by this Act, or any application of such provision to any person or
circumstance, is held to be unconstitutional, the remainder of this
Act, the amendments made by this Act, and the application of the
provision to any other person or circumstance shall not be affected.

SEC. 6. ESTABLISHMENT CLAUSE UNAFFECTED.

    Nothing in this Act shall be construed to affect, interpret, or in
any way address that portion of the first amendment to the Constitution
prohibiting laws respecting an establishment of religion (referred to
in this section as the ``Establishment Clause''). Granting government
funding, benefits, or exemptions, to the extent permissible under the
Establishment Clause, shall not constitute a violation of this Act. In
this section, the term ``granting'', used with respect to government
funding, benefits, or exemptions, does not include the denial of
government funding, benefits, or exemptions.

SEC. 7. AMENDMENTS TO RELIGIOUS FREEDOM RESTORATION ACT.

    (a) Definitions.--Section 5 of the Religious Freedom Restoration
Act of 1993 (42 U.S.C. 2000bb-2) is amended--
            (1) in paragraph (1), by striking ``a State, or a
        subdivision of a State'' and inserting ``or of a covered
        entity'';
            (2) in paragraph (2), by striking ``term'' and all that
        follows through ``includes'' and inserting ``term `covered
        entity' means''; and
            (3) in paragraph (4), by striking all after ``means'' and
        inserting ``religious exercise, as defined in section 8 of the
        Religious Land Use and Institutionalized Persons Act of
        2000.''.
    (b) Conforming Amendment.--Section 6(a) of the Religious Freedom
Restoration Act of 1993 (42 U.S.C. 2000bb-3(a)) is amended by striking
``and State''.

SEC. 8. DEFINITIONS.

    In this Act:
            (1) Claimant.--The term ``claimant'' means a person raising
        a claim or defense under this Act.
            (2) Demonstrates.--The term ``demonstrates'' means meets
        the burdens of going forward with the evidence and of
        persuasion.
            (3) Free exercise clause.--The term ``Free Exercise
        Clause'' means that portion of the first amendment to the
        Constitution that proscribes laws prohibiting the free exercise
        of religion.
            (4) Government.--The term ``government''--
                    (A) means--
                            (i) a State, county, municipality, or other
                        governmental entity created under the authority
                        of a State;
                            (ii) any branch, department, agency,
                        instrumentality, or official of an entity
                        listed in clause (i); and
                            (iii) any other person acting under color
                        of State law; and
                    (B) for the purposes of sections 4(b) and 5,
                includes the United States, a branch, department,
                agency, instrumentality, or official of the United
                States, and any other person acting under color of
                Federal law.
            (5) Land use regulation.--The term ``land use regulation''
        means a zoning or landmarking law, or the application of such a
        law, that limits or restricts a claimant's use or development
        of land (including a structure affixed to land), if the
        claimant has an ownership, leasehold, easement, servitude, or
        other property interest in the regulated land or a contract or
        option to acquire such an interest.
            (6) Program or activity.--The term ``program or activity''
        means all of the operations of any entity described in
        paragraph (1) or (2) of section 606 of the Civil Rights Act of
        1964 (42 U.S.C. 2000d-4a).
            (7) Religious exercise.--
                    (A) In general.--The term ``religious exercise''
                includes any exercise of religion, whether or not
                compelled by, or central to, a system of religious
                belief.
                    (B) Rule.--The use, building, or conversion of real
                property for the purpose of religious exercise shall be
                considered to be religious exercise of the person or
                entity that uses or intends to use the property for
                that purpose.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Repatriate Our Patriots Act''.

SEC. 2. DEFINITION.

    In this Act, the term ``special veteran'' means an individual who
is an alien and is described in section 101(2) of title 38, United
States Code, except the term--
            (1) only includes individuals who were discharged or
        released from the Armed Forces under honorable conditions;
            (2) does not include individuals who have been convicted of
        voluntary manslaughter, murder, rape, sexual abuse of a minor,
        or any offense under chapter 113B of title 18, United States
        Code (relating to terrorism); and
            (3) does not include individuals who have been determined
        to be a child abuser or a pedophile.

SEC. 3. PROTECTING SPECIAL VETERANS FROM REMOVAL.

    Notwithstanding any other provision of law, including section 237
of the Immigration and Nationality Act (8 U.S.C. 1227), a special
veteran shall not be removed from the United States.

SEC. 4. NATURALIZATION FOR SPECIAL VETERANS.

    (a) In General.--Notwithstanding any other provision of law, a
special veteran shall be naturalized as a citizen of the United States
upon the filing of the appropriate application, paying the appropriate
fees, and, except as provided in subsection (b), taking and subscribing
before an officer of the Department of Homeland Security within the
United States to the oath of allegiance required by section 337 of the
Immigration and Nationality (8 U.S.C. 1448). The Secretary of Homeland
Security shall take steps to ensure that the period in which an
application for naturalization under this section is pending does not
exceed 90 days. The Secretary shall furnish each special veteran
naturalized under this section with a certificate of citizenship.
    (b) Special Veterans Abroad.--In the case of a special veteran
residing abroad, the application for naturalization may be filed from
abroad, and the oath of allegiance described in subsection (a) may be
subscribed to abroad at United States embassies, consulates, and, as
practicable, United States military installations overseas pursuant to
the procedures available under section 1701(d) of the National Defense
Authorization Act for Fiscal Year 2004 (8 U.S.C. 1443a) for
naturalization proceedings overseas for members of the Armed Forces and
their spouses and children.
    (c) Waiver.--Consistent with section 337(a) of the Immigration and
Nationality Act (8 U.S.C. 1448(a)), the Secretary of Homeland Security
may waive the taking of the oath of allegiance described in subsection
(a) by a special veteran if, in the opinion of the Secretary, the
special veteran is unable to understand, or to communicate an
understanding of, its meaning because of a physical or developmental
disability or mental impairment.

SEC. 5. TREATMENT OF SPECIAL VETERANS IN REMOVAL PROCEEDINGS OR ORDERED
              REMOVED.

    In the case of a special veteran in removal proceedings on the date
of the enactment of this Act, the Secretary of Homeland Security shall
cancel the removal of the special veteran. In the case of a special
veteran who was ordered removed before the date of the enactment of
this Act, the Attorney General shall rescind any outstanding order of
removal, and any finding that the special veteran is subject to removal
or is inadmissible. In the case of a special veteran physically present
in the United States whose status as an alien lawfully admitted for
permanent residence was rescinded before the date of the enactment of
this Act, the Secretary of Homeland Security shall allow the veteran to
adjust status to that of an alien lawfully admitted for permanent
residence without regard to any numerical limitation in the Immigration
and Nationality Act (8 U.S.C. 1101 et seq.).

SEC. 6. RETURN OF SPECIAL VETERANS REMOVED FROM THE UNITED STATES.

    Not later than 180 days after the date of the enactment of this
Act, the Secretary shall establish a program and application procedure
to permit special veterans removed from the United States before the
date of the enactment of this Act to enter the United States as an
alien lawfully admitted for permanent residence without regard to any
numerical limitation in the Immigration and Nationality Act (8 U.S.C.
1101 et seq.).

SEC. 7. ACCESS TO MILITARY BENEFITS.

    A special veteran who has been naturalized or has obtained the
status of an alien lawfully admitted for permanent residence pursuant
to this Act shall be eligible for all military and veterans benefits
for which the special veteran would have been eligible if the special
veteran had never been ordered removed, been removed, or voluntarily
departed, from the United States.

SEC. 8. IDENTIFICATION OF SPECIAL VETERANS.

    (a) Identification.--The Secretary of Homeland Security shall
identify immigration cases involving special veterans by--
            (1) inquiring of every alien processed prior to initiating
        removal proceedings whether the alien is a special veteran; and
            (2) keeping records of special veterans who have been
        detained under the immigration laws, had removal proceedings
        against them initiated before the date of the enactment of this
        Act, or been removed before such date.
    (b) Record Annotation.--When the Secretary has identified a case
under subsection (a), the Secretary shall annotate all immigration and
naturalization records of the Department of Homeland Security relating
to the special veteran involved so as to reflect that identification
and afford an opportunity to track the outcomes for the veteran. Such
annotation shall include--
            (1) the veteran's branch of military service;
            (2) whether or not the veteran served during a period of
        military hostilities described in section 329 of the
        Immigration and Nationality Act (8 U.S.C. 1440); and
            (3) the veteran's immigration status at the time of
        enlistment.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Respirator Access Assurance Act of
2005''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) Each year millions of workers, responders, and citizens
        in the United States and around the world depend on the
        availability of respirators made in the United States for
        protection against exposure to hazardous materials and in the
        event of terrorist incidents, airborne disease epidemics, and
        other disasters.
            (2) Respirators are tested, and the design and labeling of
        respirators is regulated by an independent Federal agency, the
        National Institute for Occupational Safety and Health, which is
        part of the Centers for Disease Control and Prevention. NIOSH
        establishes the performance standards for respirators,
        independently tests and certifies that respirators meet its
        standards, and performs follow-up field audits of respirators
        to ensure continued compliance with NIOSH performance
        standards. Prior to the establishment of NIOSH, respirators
        were approved by the United States Bureau of Mines.
            (3) Respirator manufacturers and sellers do not and cannot
        control or determine the manner in which their products are
        used.
            (4) Manufacturers and sellers of respirators designed and
        labeled in compliance with NIOSH requirements have been named
        as defendants in a substantial number of product liability
        claims alleging that these NIOSH-approved designs and warnings
        are defective.
            (5) Respirators are sold in and have an effect on
        interstate commerce.
            (6) Manufacturers of respirators may cease making such
        products, in principal part because of the costs of litigation.
            (7) A continued United States capacity to manufacture and
        distribute respirators is necessary to assure that these
        products remain available. Lack of availability of respirators
        will increase risks to the health of millions of American
        workers and emergency responders.
            (8) The protections set forth in this Act are needed to
        assure the continued commercial availability of lifesaving
        respirators.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Manufacturer.--The term ``Manufacturer'' means any
        person who, in the course of a business conducted for that
        purpose, designs, makes, produces, packages, or labels any
        respirator or component part of a respirator, or engages
        another to do so.
            (2) NIOSH.--The term ``NIOSH'' means the National Institute
        for Occupational Safety and Health.
            (3) NIOSH approval.--The term ``NIOSH approval'' means a
        certificate or formal document issued by NIOSH stating that an
        individual respirator or combination of respirators has met the
        minimum requirements of part 84 of title 42, Code of Federal
        Regulations, or part 11 of title 30, Code of Federal
        Regulations, and that the manufacturer is authorized to use and
        attach an approval label to any respirator manufactured in
        conformance with the plans and specifications upon which the
        approval was based. For purposes of this Act, NIOSH approval
        shall also mean certification or approval by any Federal
        Government agency with authority to approve respirators,
        including the United States Bureau of Mines and the Mine Safety
        and Health Administration.
            (4) Respirator.--The term ``Respirator'' means any device,
        including component or replacement parts for a device, designed
        to provide the wearer with respiratory protection against
        inhalation of a hazardous atmosphere.
            (5) Seller.--The term ``Seller'' means a person or entity,
        including a retailer, distributor, or wholesaler, that is
        regularly engaged in selling respirators.

SEC. 4. EFFECT OF NIOSH APPROVAL OF DESIGN AND LABELING.

    (a) In General.--A manufacturer or seller of a respirator shall not
be subject to any claim for defective design or warning relating to a
respirator or any claim which is based on such an allegation if such
respirator has received a NIOSH approval, and such respirator is
manufactured in compliance with the NIOSH-approved design and labeling
in effect on the date of manufacture. This provision shall not apply to
a respirator that fails to comply with the NIOSH-approved design and
labeling standards in effect on the date of manufacture.
    (b) Withdrawal of Approval.--Subsection (a) shall not apply to a
manufacturer or seller of a respirator if NIOSH withdraws its approval
for the respirator that is the subject of the claim involved based on a
finding by NIOSH that the manufacturer or seller--
            (1) withheld from or misrepresented to NIOSH material
        information about the respirator's design or labeling and the
        respirator otherwise would not have been approved; or
            (2) made an illegal payment to a NIOSH official or employee
        for the purpose of securing or maintaining approval of the
        respirator's design or labeling.
    (c) Statute of Limitations.--A statute of limitations that would
otherwise apply to claims to which subsection (b) applies shall not
begin to run until the date on which NIOSH withdraws its approval for
the respirator involved.

SEC. 5. PREEMPTION AND STATUTORY CONSTRUCTION.

    (a) Preemption.--The provisions of this Act shall supersede any and
all State or local laws insofar as they may now or hereafter relate to
any claim for defective design or warning relating to a respirator or
any claim which is based on such an allegation if such respirator
complied with the NIOSH-approved design and labeling in effect on the
date of manufacture.
    (b) Statutory Construction.--Nothing in this Act may be construed
to affect any defense available to a defendant under any other
provision of State or Federal law, or to create a cause of action or
Federal court jurisdiction pursuant to section 1331 or 1332 of title
28, United States Code, that otherwise would not exist under applicable
law.

SEC. 6. APPLICABILITY.

    This Act applies to any civil action in a Federal or State court,
on the basis of any legal theory, for harm allegedly caused, directly
or indirectly, by a respirator, a respirator manufacturer, or a
respirator seller.

SEC. 7. EFFECTIVE DATE.

    This Act shall become effective upon enactment and shall apply to
any action that has not proceeded to trial as of the date of enactment,
regardless of when the respirator was manufactured or sold.


SECTION 1. FORMULA AND TERMS FOR ALLOCATIONS TO PREVENT HOMELESSNESS
              FOR INDIVIDUALS LIVING WITH HIV OR AIDS.

    (a) In General.--Subsection (c) of section 854 of the AIDS Housing
Opportunity Act (42 U.S.C. 12903(c)) is amended by--
            (1) redesignating paragraph (3) as paragraph (5); and
            (2) striking paragraphs (1) and (2) and inserting the
        following:
            ``(1) Allocation of resources.--
                    ``(A) Allocation formula.--The Secretary shall
                allocate 90 percent of the amount approved in
                appropriations Acts under section 863 among States and
                metropolitan statistical areas as follows:
                            ``(i) 75 percent of such amounts among--
                                    ``(I) cities that are the most
                                populous unit of general local
                                government in a metropolitan
                                statistical area with a population
                                greater than 500,000, as determined on
                                the basis of the most recent census,
                                and with more than 2,000 individuals
                                living with HIV or AIDS, using the data
                                specified in subparagraph (B); and
                                    ``(II) States with more than 2,000
                                individuals living with HIV or AIDS
                                outside of metropolitan statistical
                                areas.
                            ``(ii) 25 percent of such amounts among
                        States and metropolitan statistical areas based
                        on the method described in subparagraph (C).
                    ``(B) Source of data.--For purposes of allocating
                amounts under this paragraph for any fiscal year, the
                number of individuals living with HIV or AIDS shall be
                the number of such individuals as confirmed by the
                Director of the Centers for Disease Control and
                Prevention, as of December 31 of the most recent
                calendar year for which such data is available.
                    ``(C) Allocation under subparagraph (A)(ii).--For
                purposes of allocating amounts under subparagraph
                (A)(ii), the Secretary shall develop a method that
                accounts for--
                            ``(i) differences in housing costs among
                        States and metropolitan statistical areas based
                        on the fair market rental established pursuant
                        to section 8(c) of the United States Housing
                        Act of 1937 (42 U.S.C. 1437f(c)) or another
                        methodology established through a notice
                        published by the Secretary in the Federal
                        Register; and
                            ``(ii) differences in poverty rates among
                        States and metropolitan statistical areas based
                        on area poverty indexes or another methodology
                        established through a notice published by the
                        Secretary in the Federal Register.
            ``(2) Maintaining grants.--
                    ``(A) Continued eligibility of fiscal year 2016
                grantees.--A grantee that received an allocation in
                fiscal year 2016 shall continue to be eligible for
                allocations under paragraph (1) in subsequent fiscal
                years, subject to--
                            ``(i) the amounts available from
                        appropriations Acts under section 863;
                            ``(ii) approval under section 105 by the
                        Secretary of the most recent comprehensive
                        housing affordability strategy for the grantee;
                        and
                            ``(iii) the requirements of subparagraph
                        (C).
                    ``(B) Adjustments.--Allocations to grantees
                described in subparagraph (A) shall be adjusted
                annually based on sections 203 (except subsection (d))
                and 209 of division C of the Consolidated and Further
                Continuing Appropriations Act, 2012 (Public Law 112-55;
                125 Stat. 693) except that, in lieu of the number of
                cases of AIDS, such sections shall be adjusted, through
                a notice published by the Secretary in the Federal
                Register, to reflect the number of individuals living
                with HIV or AIDS, and the allocation factors under
                paragraph (1)(C) of this subsection.
                    ``(C) Redetermination of continued eligibility.--
                The Secretary shall redetermine the continued
                eligibility of a grantee that received an allocation in
                fiscal year 2016 at least once during the 10-year
                period following fiscal year 2016.
                    ``(D) Adjustment to grants.--For each of fiscal
                years 2017, 2018, 2019, 2020, and 2021, the Secretary
                shall ensure that a grantee that received an allocation
                in the prior fiscal year does not receive an allocation
                that is 5 percent less than or 10 percent greater than
                the share of total available formula funds allocated to
                such grantee in the preceding fiscal year.
            ``(3) Alternative grantees.--
                    ``(A) Requirements.--The Secretary may award funds
                reserved for a grantee eligible under paragraph (1) to
                an alternative grantee if--
                            ``(i) the grantee submits to the Secretary
                        a written agreement between the grantee and the
                        alternative grantee that describes how the
                        alternative grantee will take actions
                        consistent with the applicable comprehensive
                        housing affordability strategy for the grantee
                        approved under section 105 of this Act;
                            ``(ii) the Secretary approves the written
                        agreement described in clause (i) and agrees to
                        award funds to the alternative grantee; and
                            ``(iii) the written agreement does not
                        exceed a term of 10 years.
                    ``(B) Renewal.--An agreement approved pursuant to
                subparagraph (A) may be renewed by the parties with the
                approval of the Secretary.
                    ``(C) Definition.--In this paragraph, the term
                `alternative grantee' means a public housing agency (as
                defined in section 3(b) of the United States Housing
                Act of 1937 (42 U.S.C. 1437a(b))), a unified funding
                agency (as defined in section 401 of the McKinney-Vento
                Homeless Assistance Act (42 U.S.C. 11360)), a State, a
                unit of general local government, or an instrumentality
                of State or local government.
            ``(4) Reallocations.--If a State or the city that is the
        most populous unit of general local government in a
        metropolitan statistical area declines an allocation under
        paragraph (1)(A), or the Secretary determines, in accordance
        with criteria specified in regulation, that a State or the city
        that is the most populous unit of general local government in a
        metropolitan statistical area that is eligible for an
        allocation under paragraph (1)(A) is unable to properly
        administer such allocation, the Secretary shall reallocate any
        funds reserved for such State or metropolitan statistical area
        as follows:
                    ``(A) For funds reserved for a State--
                            ``(i) to eligible metropolitan statistical
                        areas within the State on a pro rata basis; or
                            ``(ii) if there is no eligible metropolitan
                        statistical area within a State, to
                        metropolitan cities and urban counties within
                        the State that are eligible for a grant under
                        section 106 of the Housing and Community
                        Development Act of 1974 (42 U.S.C. 5306), on a
                        pro rata basis.
                    ``(B) For funds reserved for a metropolitan
                statistical area, to the State in which the
                metropolitan statistical area is located.
                    ``(C) If the Secretary is unable to make a
                reallocation under subparagraph (A) or (B), the
                Secretary shall make such funds available on a pro rata
                basis under the formula in paragraph (1)(A).''.
    (b) Amendment to Definitions.--Section 853 of the AIDS Housing
Opportunity Act (42 U.S.C. 12902) is amended--
            (1) in paragraph (1), by inserting ``or `AIDS''' before
        ``means''; and
            (2) by inserting at the end the following new paragraphs:
            ``(15) The term `HIV' means infection with the human
        immunodeficiency virus.
            ``(16) The term `individuals living with HIV or AIDS'
        means, with respect to the counting of cases in a geographic
        area during a period of time, the sum of--
                    ``(A) the number of living non-AIDS cases of HIV in
                the area; and
                    ``(B) the number of living cases of AIDS in the
                area.''.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Rural Aviation Improvement Act''.

SEC. 2. REPEAL OF ESSENTIAL AIR SERVICE LOCAL PARTICIPATION PROGRAM.

    (a) In General.--Subchapter II of chapter 417 of title 49, United
States Code, is amended by striking section 41747, and such title 49
shall be applied as if such section 41747 had not been enacted.
    (b) Clerical Amendment.--The analysis for chapter 417 of title 49,
United States Code, is amended by striking the item relating to section
41747.

SEC. 3. PER PASSENGER SUBSIDY FOR ESSENTIAL AIR SERVICE.

    (a) In General.--Section 41742 of title 49, United States Code, is
amended by adding at the end the following:
    ``(c) Per Passenger Subsidy Cap.--
            ``(1) In general.--The Secretary of Transportation may not
        provide compensation to an air carrier to provide air
        transportation under this subchapter to an otherwise eligible
        place in the 48 contiguous States if the eligible place--
                    ``(A) is located fewer than 70 highway miles from
                the nearest large or medium hub airport; or
                    ``(B) is fewer than 210 miles from the nearest
                large or medium hub airport and requires a per
                passenger subsidy in excess of the dollar amount
                described in paragraph (2).
            ``(2) Dollar amount of per passenger subsidy.--
                    ``(A) In general.--The dollar amount described in
                this paragraph is--
                            ``(i) for calendar year 2008, $200; and
                            ``(ii) for each calendar year after
                        calendar year 2008, $200 increased by an amount
                        equal to--
                                    ``(I) $200, multiplied by
                                    ``(II) the percentage (if any) by
                                which the CPI for the preceding
                                calendar year exceeds the CPI for
                                calendar year 2007.
                    ``(B) Rounding.--Any increase under subparagraph
                (A)(ii) shall be rounded to the nearest dollar.
            ``(3) Definitions.--In this subsection:
                    ``(A) CPI for the preceding calendar year.--The
                term `CPI for the preceding calendar year' means the
                average of the Consumer Price Index as of the close of
                the 12-month period ending on August 31 of such
                calendar year.
                    ``(B) Consumer price index.--The term `Consumer
                Price Index' means the last Consumer Price Index for
                all-urban consumers published by the Department of
                Labor.''.
    (b) Per Passenger Subsidy Defined.--Section 41731(a) of title 49,
United States Code, is amended by adding at the end the following:
            ``(3) `per passenger subsidy' means--
                    ``(A) the total compensation provided by the
                Secretary of Transportation to an air carrier under
                this subchapter that is necessary for the air carrier
                to provide air transportation to an eligible place,
                divided by
                    ``(B) the total number of passengers using such air
                transportation.''.
    (c) Conforming Repeal.--Section 332 of the Department of
Transportation and Related Agencies Appropriations Act, 2000 (Public
Law 106-69; 49 U.S.C. 41731 note) is repealed.

SEC. 4. COMMUNITIES ABOVE PER PASSENGER SUBSIDY CAP.

    (a) In General.--Subchapter II of chapter 417 of title 49, United
States Code, is amended by adding at the end the following:
``Sec. 41749. Essential air service for eligible places above per
              passenger subsidy cap
    ``(a) Proposals.--A State or local government may submit a proposal
to the Secretary of Transportation for compensation for an air carrier
to provide air transportation to a place described in subsection (b).
    ``(b) Place Described.--A place described in this subsection is a
place--
            ``(1) that is otherwise an eligible place; and
            ``(2) for which the per passenger subsidy exceeds the
        dollar amount allowable under section 41742(c).
    ``(c) Decisions.--Not later than 90 days after receiving a proposal
under subsection (a) for compensation for an air carrier to provide air
transportation to a place described in subsection (b), the Secretary
shall--
            ``(1) decide whether to provide compensation for the air
        carrier to provide air transportation to the place; and
            ``(2) approve the proposal if the State or local government
        or a person is willing and able to pay the difference between--
                    ``(A) the per passenger subsidy; and
                    ``(B) the dollar amount allowable for such subsidy
                under section 41742(c).
    ``(d) Compensation Payments.--
            ``(1) In general.--The Secretary shall pay compensation
        under this section at such time and in such manner as the
        Secretary determines is appropriate.
            ``(2) Duration of payments.--The Secretary shall continue
        to pay compensation under this section only as long as--
                    ``(A) the State or local government or person
                agreeing to pay compensation under subsection (c)(2)
                continues to pay such compensation; and
                    ``(B) the Secretary decides the compensation is
                necessary to maintain air transportation to the place.
    ``(e) Review.--
            ``(1) In general.--The Secretary shall periodically review
        the type and level of air service provided under this section.
            ``(2) Consultation.--The Secretary may make appropriate
        adjustments in the type and level of air service to a place
        under this section based on the review under paragraph (1) and
        consultation with the affected community and the State or local
        government or person agreeing to pay compensation under
        subsection (c)(2).
    ``(f) Ending, Suspending, and Reducing Air Transportation.--An air
carrier providing air transportation to a place under this section may
end, suspend, or reduce such air transportation if, not later than 30
days before ending, suspending, or reducing such air transportation,
the air carrier provides notice of the intent of the air carrier to
end, suspend, or reduce such air transportation to--
            ``(1) the Secretary;
            ``(2) the affected community; and
            ``(3) the State or local government or person agreeing to
        pay compensation under subsection (c)(2).''.
    (b) Clerical Amendment.--The analysis for chapter 417 of title 49,
United States Code, is amended by adding after the item relating to
section 41748 the following new item:

``41749. Essential air service for eligible places above per passenger
                            subsidy cap.''.

SEC. 5. PREFERRED ESSENTIAL AIR SERVICE.

    (a) In General.--Subchapter II of chapter 417 of title 49, United
States Code, as amended by section 4, is further amended by adding
after section 41749 the following:
``Sec. 41750. Preferred essential air service
    ``(a) Proposals.--A State or local government may submit a proposal
to the Secretary of Transportation for compensation for a preferred air
carrier described in subsection (b) to provide air transportation to an
eligible place.
    ``(b) Preferred Air Carrier Described.--A preferred air carrier
described in this subsection is an air carrier that--
            ``(1) submits an application under section 41733(c) to
        provide air transportation to an eligible place;
            ``(2) is not the air carrier that submits the lowest cost
        bid to provide air transportation to the eligible place; and
            ``(3) is an air carrier that the affected community prefers
        to provide air transportation to the eligible place instead of
        the air carrier that submits the lowest cost bid.
    ``(c) Decisions.--Not later than 90 days after receiving a proposal
under subsection (a) for compensation for a preferred air carrier
described in subsection (b) to provide air transportation to an
eligible place, the Secretary shall--
            ``(1) decide whether to provide compensation for the
        preferred air carrier to provide air transportation to the
        eligible place; and
            ``(2) approve the proposal if the State or local government
        or a person is willing and able to pay the difference between--
                    ``(A) the rate of compensation the Secretary would
                provide to the air carrier that submits the lowest cost
                bid to provide air transportation to the eligible
                place; and
                    ``(B) the rate of compensation the preferred air
                carrier estimates to be necessary to provide air
                transportation to the eligible place.
    ``(d) Compensation Payments.--
            ``(1) In general.--The Secretary shall pay compensation
        under this section at such time and in such manner as the
        Secretary determines is appropriate.
            ``(2) Duration of payments.--The Secretary shall continue
        to pay compensation under this section only as long as--
                    ``(A) the State or local government or person
                agreeing to pay compensation under subsection (c)(2)
                continues to pay such compensation; and
                    ``(B) the Secretary decides the compensation is
                necessary to maintain air transportation to the
                eligible place.
    ``(e) Review.--
            ``(1) In general.--The Secretary shall periodically review
        the type and level of air service provided under this section.
            ``(2) Consultation.--The Secretary may make appropriate
        adjustments in the type and level of air service to an eligible
        place under this section based on the review under paragraph
        (1) and consultation with the affected community and the State
        or local government or person agreeing to pay compensation
        under subsection (c)(2).
    ``(f) Ending, Suspending, and Reducing Air Transportation.--A
preferred air carrier providing air transportation to an eligible place
under this section may end, suspend, or reduce such air transportation
if, not later than 30 days before ending, suspending, or reducing such
air transportation, the preferred air carrier provides notice of the
intent of the preferred air carrier to end, suspend, or reduce such air
transportation to--
            ``(1) the Secretary;
            ``(2) the affected community; and
            ``(3) the State or local government or person agreeing to
        pay compensation under subsection (c)(2).''.
    (b) Clerical Amendment.--The analysis for chapter 417 of title 49,
United States Code, as amended by section 4, is further amended by
adding after the item relating to section 41749 the following new item:

``41750. Preferred essential air service.''.

SEC. 6. RESTORATION OF ELIGIBILITY TO A PLACE DETERMINED BY THE
              SECRETARY TO BE INELIGIBLE FOR SUBSIDIZED ESSENTIAL AIR
              SERVICE.

    Section 41733 of title 49, United States Code, is amended by adding
at the end the following new subsection:
    ``(f) Restoration of Eligibility for Subsidized Essential Air
Service.--
            ``(1) In general.--If the Secretary of Transportation
        terminates the eligibility of an otherwise eligible place to
        receive basic essential air service by an air carrier for
        compensation under subsection (c), a State or local government
        may submit to the Secretary a proposal for restoring such
        eligibility.
            ``(2) Determination by secretary.--If the per passenger
        subsidy required by the proposal submitted by a State or local
        government under paragraph (1) does not exceed the per
        passenger subsidy cap provided under section 41742(c), the
        Secretary shall issue an order restoring the eligibility of the
        otherwise eligible place to receive basic essential air service
        by an air carrier for compensation under subsection (c).''.

SEC. 7. CALCULATION OF HIGHWAY MILEAGE TO MEDIUM AND LARGE HUB
              AIRPORTS.

    (a) In General.--Section 41731 of title 49, United States Code, is
amended by adding at the end the following:
    ``(c) Calculation of Highway Mileage to Medium and Large Hub
Airports.--
            ``(1) In general.--In any determination under this
        subchapter of compensation or eligibility for compensation for
        essential air service based on the highway mileage of an
        eligible place from the nearest medium hub airport or large hub
        airport, the highway mileage shall be that of the most commonly
        used route, as identified under paragraph (2).
            ``(2) Most commonly used route.--The Secretary of
        Transportation shall identify the most commonly used route
        between an eligible place and the nearest medium hub airport or
        large hub airport by--
                    ``(A) consulting with the Governor or a designee of
                the Governor in the State in which the eligible place
                is located; and
                    ``(B) considering the certification of the Governor
                or a designee of the Governor as to the most commonly
                used route.
            ``(3) Applicability.--This subsection shall apply only to
        eligible places in the 48 contiguous States and the District of
        Columbia.''.
    (b) Conforming Amendment.--Section 409 of Vision 100--Century of
Aviation Reauthorization Act (Public Law 108-176; 49 U.S.C. 41731 note)
is repealed.

SEC. 8. OFFICE OF RURAL AVIATION.

    (a) Establishment.--There is established within the Office of the
Secretary of Transportation the Office of Rural Aviation (referred to
in this section as the ``Office'').
    (b) Functions.--The functions of the Office are--
            (1) to develop a uniform 4-year contract for air carriers
        providing essential air service to communities under subchapter
        II of chapter 417 of title 49, United States Code;
            (2) to develop a mechanism for comparing applications
        submitted by air carriers under section 41733(c) to provide
        essential air service to communities, including comparing--
                    (A) estimates from air carriers on--
                            (i) the cost of providing essential air
                        service; and
                            (ii) the revenues air carriers expect to
                        receive when providing essential air service;
                        and
                    (B) estimated schedules for air transportation; and
            (3) to select an air carrier from among air carriers
        applying to provide essential air service, based on the
        criteria described in paragraph (2).

SEC. 9. EXTENSION OF AUTHORITY TO MAKE AGREEMENTS UNDER THE ESSENTIAL
              AIR SERVICE PROGRAM.

    Section 41743(e)(2) of title 49, United States Code, is amended by
striking ``2008'' and inserting ``2011''.

SEC. 10. ADJUSTMENTS TO COMPENSATION FOR SIGNIFICANTLY INCREASED COSTS.

    Section 41737 of title 49, United States Code, is amended--
            (1) in subsection (a)(1)--
                    (A) in subparagraph (B), by striking ``; and'' and
                inserting a semicolon;
                    (B) in subparagraph (C), by striking the period and
                inserting ``; and''; and
                    (C) by adding at the end the following:
                    ``(D) provide for an adjustment in compensation to
                account for significant increases in fuel costs, in
                accordance with subsection (e).''; and
            (2) in subsection (e)--
                    (A) in paragraph (1), by striking ``may'' and
                inserting ``shall''; and
                    (B) in paragraph (2), by striking ``may'' and
                inserting ``shall''.

SEC. 11. CHARTER AIR CARRIER PASSENGER BOARDINGS.

    Notwithstanding any other provision of law, the Secretary of
Transportation shall treat passenger boardings on aircraft operated by
charter air carriers at airports receiving essential air service under
subchapter II of chapter 417 of title 49, United States Code, as
passenger boardings for purposes of section 47114(c)(1)(E) of such
title.

SEC. 12. AUTHORIZATION OF APPROPRIATIONS FOR ESSENTIAL AIR SERVICE.

    (a) Adjustment to Authorization of Appropriations.--Section 41742
of title 49, United States Code, is amended--
            (1) in subsection (a)(2), by striking ``$77,000,000'' and
        inserting ``$33,000,000''; and
            (2) in subsection (b), by striking ``Notwithstanding
        section 47114'' and all that follows.
    (b) Funds From Airport and Airway Trust Fund.--Section 41737(d)(2)
of title 49, United States Code, is amended to read as follows:
            ``(2) In addition to amounts authorized to be appropriated
        under section 41742(a), not more than $50,000,000 shall be
        available to the Secretary out of the Fund for each of the
        fiscal years 2008 through 2011 to incur obligations under this
        section. Amounts made available under this section remain
        available until expended.''.