SEC. 1033. MINIMUM ANNUAL PURCHASE
REQUIREMENTS FOR CHARTER AIR TRANSPORTATION SERVICES FROM
CARRIERS PARTICIPATING IN THE CIVIL RESERVE AIR FLEET.
(a) In General- Chapter 931 of title 10, United States Code, is
amended by adding at the end the following new section:
`Sec.
9515. Charter air transportation services: minimum annual
purchase amount for carriers participating in Civil Reserve Air
Fleet
`(a) In
General- The Secretary of Defense shall take steps to--
`(1)
improve the predictability in Department of Defense charter
requirements;
`(2) strengthen Civil Reserve Airlift Fleet participation to
assure adequate capacity is available to meet steady-state,
surge and mobilization requirements; and
`(3) provide incentives for commercial air passenger carriers
to provide newer, more efficient and reliable aircraft for
Department of Defense service rather than older, fully
depreciated aircraft.
`(b)
Consideration of Recommendations- In carrying out subsection
(a), the Secretary of Defense shall consider the recommendations
on courses of action for the Civil Reserve Air Fleet as outlined
in the report required by Section 356 of the National Defense
Authorization Act for 2008 (Public Law 110-181).
`(c) Contracts for Charter Air Transportation Services- The
Secretary of Defense may award to an air carrier or an air
carrier contractor team arrangement participating in the Civil
Reserve Air Fleet on a fiscal year basis a one-year contract for
charter air transportation services with a minimum purchase
amount under such contract determined in accordance with this
section.
`(d) Eligible Charter Air Transportation Carriers- In order to
be eligible for payments under the minimum purchase amount
provided by this section, an air carrier (or any air carrier
participating in an air carrier contractor team arrangement)--
`(1)
if under contract with the Department of Defense in the prior
fiscal year, shall have an average on-time pick up rate, based
on factors within such air carrier's control, of at least 90
percent;
`(2) shall offer such amount of commitment to the Civil
Reserve Air Fleet in excess of the minimum required for
participation in the Civil Reserve Air Fleet as the Secretary
of Defense shall specify for purposes of this section; and
`(3) may not have refused a Department of Defense request to
act as a host for other Civil Reserve Air Fleet carriers at
intermediate staging bases during the prior fiscal year.
`(e)
Aggregate Minimum Purchase Amount- (1) The aggregate amount of
the minimum purchase amount for all contracts awarded under
subsection (c) for a fiscal year shall be based on forecast
needs, but may not exceed the amount equal to 80 percent of the
average annual expenditure of the Department of Defense for
charter air transportation services during the five-fiscal year
period ending in the fiscal year before the fiscal year for
which such contracts are awarded.
`(2)
In calculating the average annual expenditure of the
Department of Defense for charter air transportation services
for purposes of paragraph (1), the Secretary of Defense shall
omit from the calculation any fiscal year exhibiting unusually
high demand for charter air transportation services if the
Secretary determines that the omission of such fiscal year
from the calculation will result in a more accurate forecast
of anticipated charter air transportation services for
purposes of that paragraph.
`(f)
Allocation of Minimum Purchase Among Charter Air Transportation
Contracts- (1) The aggregate amount of the minimum purchase
amount for all contracts awarded under subsection (c) for a
fiscal year, as determined under subsection (e), shall be
allocated among all air carriers and air carrier contractor team
arrangements awarded contracts under subsection (c) for such
fiscal year in proportion to the commitments of such carriers to
the Civil Reserve Air Fleet for such fiscal year.
`(2)
In determining the minimum purchase amount payable under
paragraph (1) under a contract under subsection (c) for
charter air transportation services provided by an air carrier
or air carrier contractor team arrangement during the fiscal
year covered by such contract, the Secretary of Defense may
adjust the amount allocated to such carrier or arrangement
under paragraph (2) to take into account periods during such
fiscal year when charter air transportation services of such
carrier or a carrier in such arrangement are unavailable for
usage by the Department of Defense, including during periods
of refused business or suspended operations or when such
carrier is placed in nonuse status pursuant to section 2640 of
this title for safety reasons.
`(g)
Distribution of Amounts- If any amount available under this
section for the minimum purchase of charter air transportation
services from a carrier or air carrier contractor team
arrangement for a fiscal year under a contract under subsection
(c) is not utilized to purchase charter air transportation
services from the carrier or arrangement in such fiscal year,
such amount shall be provided to the carrier or arrangement
before the first day of the following fiscal year.
`(h) Commitment of Funds- (1) The Secretary of each military
department shall transfer to the transportation working capital
fund a percentage of the total amount anticipated to be required
in such fiscal year for the payment of minimum purchase amounts
under all contracts awarded under subsection (c) for such fiscal
year equivalent to the percentage of the anticipated use of
charter air transportation services by such military department
during such fiscal year from all carriers under contracts
awarded under subsection (c) for such fiscal year.
`(2)
Any amounts required to be transferred under paragraph (1)
shall be transferred by the last day of the fiscal year
concerned to meet the requirements of subsection (g) unless
minimum purchase amounts have already been distributed by the
Secretary of Defense under subsection (g) as of that date.
`(i)
Availability of Airlift Services- (1) From the total amount
of charter air transportation services available for a
fiscal year under all contracts awarded under subsection (c)
for such fiscal year, a military department shall be
entitled to obtain a percentage of such services equal to
the percentage of the contribution of the military
department to the transportation working capital fund for
such fiscal year under subsection (h).
`(2)
A military department may transfer any entitlement to
charter air transportation services under paragraph (1) to
any other military department or to any other agency,
element, or component of the Department of Defense.
`(j)
Definition- In this section, the term `charter air
transportation' has the meaning given such term in section
40102(14) of title 49, United States Code, except that it only
means such transportation for which the Secretary of Defense has
entered into a contract for the purpose of passenger travel.
`(k) Sunset- The authorities in this section shall expire on
December 31, 2015.'.
(b) Clerical Amendment- The table of sections at the beginning
of chapter 941 of such title is amended by adding at the end the
following new item:
`9515. Charter air transportation services: minimum annual
purchase amount for carriers participating in Civil Reserve Air
Fleet.'.
(c) Report to Congress; Limitation on Exercise of Authority-
(1)
REPORT- The Secretary of Defense shall submit to the
congressional defense committees a written report on the
actions taken under subsections (a) and (b) of section 9515 of
title 10, United States Code, as added by subsection (a),
along with the anticipated risks and benefits of such actions.
(2) LIMITATION- No authority under subsections (c) through (I)
of such section may be implemented until 30 days after the
date on which the Secretary submits the report required under
paragraph (1).
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Minimum annual purchase requirements
for airlift services from carriers participating in the Civil
Reserve Air Fleet (sec. 1034)
The committee recommends a provision that would allow the
Department of Defense to guarantee higher minimum levels of
business than are currently authorized by law to United States
air carriers participating in the Civil Reserve Air Fleet (CRAF).
This provision was included in the set of provisions in the
authorization request of the Department of Defense.
Section 356 of the National Defense Authorization Act for Fiscal
Year 2008 (Public Law 110-181) required the Secretary of Defense
to provide for an independent assessment of the viability of the
CRAF program. Section 356 required a report on a number of
issues. This direction asked for the assessment to make specific
recommendations for improving the CRAF program, including
assessing potential incentives for increasing participation in
the CRAF program. One potential method for increasing
participation specifically identified was the option of
establishing a minimum annual purchase amount during peacetime.
Although the report was supposed to be delivered to the
congressional defense committees by April 1, 2008, the Department
has indicated that this report will not be ready until later this
year.
In anticipation that the report could recommend establishing
minimum annual purchase amounts during peacetime, the committee
believes that the legislative option for doing so this year
should remain open. |
