APPORTIONMENT OF FUNDS.

SEC. 106. APPORTIONMENT OF FUNDS. (a) General Rules.— Section 507 is amended to read as follows: “SEC. 507. APPORTIONMENT OF FUNDS. “(a) Apportionment.— On the first day of each fiscal year for which any amount is authorized to be obligated for the purposes of section 505 of this title, the amount made available for the fiscal year under such section and not previously apportioned shall be apportioned by the Secretary as follows: “(1) Primary airports.— To the sponsor of each primary airport, as follows: “(A) $7.80 for each of the first 50,000 passengers enplaned at the airport; “(B) $5.20 for each of the next 50,000 passengers enplaned at the airport; “(C) $2.60 for each of the next 400,000 passengers enplaned at the airport; and 101 STAT. 1495 “(D) $0.65 for each additional passenger enplaned at the airport. “(2) Cargo service airports.— To the sponsors of airports which are served by aircraft providing air transportation of only property (including mail) with an aggregate annual landed weight in excess of 100,000,000 pounds, 3 percent of the amount made available under section 505 for such fiscal year (but not to exceed $50,000,000) as follows: In the proportion which the aggregate annual landed weight of all such aircraft landing at each such airport bears to the total aggregate annual landed weight of all such aircraft landing at all such airports. “(3) States.— To the States, 12 percent of the amount made available under section 505 for such fiscal year, as follows: “(A) Insular areas.— For airports, 1 percent of such amounts to Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, the Trust Territory of the Pacific Islands, and the Virgin Islands. “(B) States.— For airports, other than primary airports and airports described in section 508(d)(3), ½ of the remaining 99 percent in the proportion which the population of each State (other than a State to which subparagraph (A) applies) bears to the total population of all such States and ½ of the remaining 99 percent in the proportion which the area of each such State bears to the total area of all such States. “(b) Special Rules.— “(1) Maximum and minimum amounts for primary airports.— The Secretary shall not apportion less than $300,000 nor more than $16,000,000 under subsection (a)(1) to an airport sponsor for any primary airport for any fiscal year. “(2) Limitation on total apportionments to primary and cargo service airports.— “(A) General rule.— In no event shall the total amount of all apportionments under subsections (a)(1) and (a)(2) for any fiscal year exceed 49.5 percent of the amount authorized to be obligated for such fiscal year for the purposes of section 505 of this title. “(B) Distribution.— In any case in which apportionments in a fiscal year would be reduced by subparagraph (A), the Secretary shall for such fiscal year reduce the apportionment to each sponsor of an airport under subsections (a)(1) and (a)(2) proportionately so that such 49.5 percent amount is achieved. “(3) Effect of obligation ceiung on primary and cargo service apportionments.— “(A) Overall limit.— If any Act of Congress has the effect of limiting or reducing the amount authorized or available to be obligated for any fiscal year for the purposes of section 505 of this title, the total amount of all apportionments under subsections (a)(1) and (a)(2) for such fiscal year shall not exceed 49.5 percent of such limited or reduced amount. “(B) Distribution.— In any case in which apportionments in a fiscal year would be reduced by subparagraph (A), the Secretary shall for such fiscal year reduce the apportionment to each sponsor of an airport under subsections (a)(1) 101 STAT. 1496and (a)(2) proportionately so that such 49.5 percent amount is achieved. “(4) Maximum percentage of apportionments to any cargo service airport.— The Secretary shall not apportion to the sponsor of any airport more than 8 percent of the total amount of apportionments under subsection (a)(2) for any fiscal year. “(5) Treatment of Alaska.— “(A) Apportionment formula.— Notwithstanding any other provision of subsection (a), for any fiscal year for which funds are made available under section 505 of this title the Secretary may apportion funds for airports in the State of Alaska in the same manner in which funds were apportioned in fiscal year 1980 under section 15(a) of the Airport and Airway Development Act of 1970. “(B) Minimum apportionment.— In no event shall the total amount apportioned for such airports under this paragraph for any fiscal year be less than the minimum amounts that were required to be apportioned to such airports in fiscal year 1980 under section 15(a)(3)(A) of such Act. “(C) Hold harmless.— In no event shall a primary airport be apportioned less under this paragraph for a fiscal year than it would be apportioned for such fiscal year under subsection (a)(1). “(D) Expenditures at commercial service airports.— In no event shall the amount of funds apportioned under this paragraph which are expended at any commercial service airport in the State of Alaska during a fiscal year exceed 110 percent of the amount apportioned to such airport for such fiscal year. “(E) Discretionary funding.— Nothing in this paragraph shall be construed as prohibiting the Secretary from making additional project grants to airports in the State of Alaska from the discretionary fund established by subsection (c). “(6) Eligibility.— “(A) Alaska.— Notwithstanding subsection (a)(3)(B), funds apportioned under such subsection for airports in the State of Alaska may be made available by the Secretary for public airports described in section 508(d)(3)(C) in such State. “(B) Puerto rico.— Notwithstanding subsection (a)(3)(B), funds apportioned under such subsection for airports in the Commonwealth of Puerto Rico may be made available by the Secretary for primary airports and airports described in section 508(a)(3) in such Commonwealth. “(c) Discretionary Fund.— “(1) Establishment.— Subject to section 508(d) and paragraph (2) of this subsection any amounts— “(A) which are made available for a fiscal year under section 505, “(B) which have not been previously apportioned by the Secretary, and “(C) which are not apportioned under subsections (a) and (b)(5) of this subsection, shall constitute a discretionary fund to be distributed at the discretion of the Secretary. Such discretionary fund shall be 101 STAT. 1497used for making grants for any of the purposes for which funds are made available under section 505 as the Secretary considers most appropriate for carrying out the purposes of this title. “(2) Level of funding for preserving and enhancing capacity, safety, and security.— Subject to section 508(d) and paragraph (4) of this subsection, not less than 75 percent of the funds in the discretionary fund pursuant to paragraph (1) and distributed by the Secretary under this subsection in a fiscal year beginning after September 30, 1987, shall be used for making grants for any of the following purposes: preserving and enhancing capacity, safety, and security at primary airports and reliever airports and carrying out airport noise compatibility planning and programs at primary airports and reliever airports. “(3) Selection criteria.— In selecting projects for grants described in paragraph (2) for preserving and enhancing capacity at airports, the Secretary shall consider each proposed project s effect on overall national air transportation system capacity, project benefit and cost, and the financial commitment of the airport operator or other non-Federal funding sources to preserve or enhance airport capacity. “(4) Limitation.— If the Secretary determines that the Secretary will not be able to comply with the percentage requirement established by paragraph (2) in any fiscal year because the number of qualified applications submitted in compliance with this title is insufficient to meet such percentages, the portion of funds which the Secretary determines will not be so distributed shall be available for obligation during such fiscal year without regard to such requirement. “(d) Calendar Year as Basis for Determining Certain Apportionments.— “(1) Passengers enplaned.— For purposes of determining apportionments for any fiscal year under subsection (a)(1), the number of passengers enplaned at an airport shall be based on the number of passengers enplaned at such airport during the preceding calendar year. “(2) Landed weight.— For purposes of determining apportionments for any fiscal year under subsection (a)(2), the landed weight of aircraft landing at an airport referred to in subsection (a)(2) shall be based on the landed weight of aircraft landing at such airport and all such airports during the preceding calendar year. “(e) Definitions.— As used in subsection (a)(3)— “(1) Population.— The term ‘population’ means the population according to the latest decennial census of the United States. “(2) Area.— The term ‘area’ includes both land and water.”. (b) Conforming Amendments.— (1) Section 505.— Section 505(a) is amended by striking out “sections 507(a)(1), (2), (3)(A), or” and inserting in lieu thereof “sections 507(a)(1), 507(a)(2), 507(a)(3), 507(c), and”. (2) Section 508.— Section 508 is amended— (A) in subsection (a) by striking out “paragraph (1), (2), or (4) of section 507(a)” and inserting in lieu thereof “subsection (a) or (b)(5) of section 507”; (B) in subsection (a) by striking out “507(a)(3)” and inserting in lieu thereof “507(c)”; 101 STAT. 1498 (C) in subsection (c) by striking out “507(a)(2)” each place it appears and inserting in lieu thereof “507(a)(3)”; (D) in subsection (d)(3) by striking out “paragraph (4) of section 507(a)” and inserting in lieu thereof “section 507(b)(5)”; and (E) in subsection (e)(i) by striking out “507(a)” and inserting in lieu thereof “507(a) or 507(b)(5)”. (3) Section 509.— Section 509 is amended— (A) in subsection (a)(2) by striking out “507(a)” and inserting in lieu thereof “507”; and (B) in subsection (e) by striking out “507(a)(1)” and inserting in lieu thereof “507(a)(1) or 507(a)(2)”. (4) Section 512.— Section 512(a) is amended by striking out “507(a)(1)” and inserting in lieu thereof “507(a)(1) or 507(a)(2)”. (5) Section 513.— Section 513(b) is amended— (A) in paragraph (2) by striking out “507(a)(3)” and inserting in lieu thereof “507(c)”; and (B) in paragraph (4) by striking out “507(a)” and inserting in lieu thereof “507(a) or 507(b)(5)”. (c) Effective Date.— The amendments made by this section shall take effect October 1, 1987, and apply to fiscal years beginning on and after such date.