,i #aafth ,,congress #b;d ,session ,h4 ,r4 #hejd ,,in ,,the ,,house ,,of ,,representatives ,october #b1 #bjbj,mr4 ,de,fazio 7for himself and ,mr4 ,larsen of ,washington7 introduced the following bill2 which was referred to the ,committee on ,financial ,services1 and in addition to the ,committees on ,transportation and ,infrastructure1 and the ,budget1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to extend the ,payroll ,support ,program1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,payroll ,support ,program ,extension ,act4 #b4 ,definitions ,unless otherwise specified1 the definitions in section #djajb7;a7 of title #di1 ,united ,states ,code1 shall apply to this ,act1 except that-- 7#a7 the term airline catering employee means an employee who performs airline catering services2 7#b7 the term airline catering services means preparation1 assembly1 or both1 of food1 beverages1 provisions and related supplies for delivery1 and the delivery of such items1 directly to aircraft or to a location on or near airport property for subsequent delivery to aircraft2 7#c7 the term contractor means-- 7,a7 a person that performs1 under contract with a passenger air carrier conducting operations under part #aba of title #ad1 ,code of ,federal ,regulations-- 7i7 catering functions2 or 7ii7 functions on the property of an airport that are directly related to the air transportation of persons1 property1 or mail1 including but not limited to the loading and unloading of property on aircraft2 assistance to passengers under part #chb of title #ad1 ,code of ,federal ,regulations2 security2 airport ticketing and check-in functions2 ground-handling of aircraft2 or aircraft cleaning and sanitization functions and waste removal2 or 7,b7 a subcontractor that performs such functions2 7#d7 the term employee means an individual1 other than a corporate officer1 who is employed by an air carrier or a contractor2 and 7#e7 the term ,secretary means the ,secretary of the ,treasury4 #c4 ,pandemic relief for aviation workers 7a7 ,financial assistance for employee wages1 salaries1 and benefits ,notwithstanding any other provision of law1 to preserve aviation jobs and compensate air carrier industry workers1 the ,secretary shall provide financial assistance that shall exclusively be used for the continuation of payment of employee wages1 salaries1 and benefits to-- 7#a7 passenger air carriers1 in an aggregate amount up to #be1ejj1jjj1jjj2 7#b7 cargo air carriers1 in an aggregate amount up to #cjj1jjj1jjj2 and 7#c7 contractors1 in an aggregate amount up to #c1jjj1jjj1jjj4 7b7 ,administrative expenses ,notwithstanding any other provision of law1 the ,secretary may use funds made available under section #daab7;b7 of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgb7;b77 for costs and administrative expenses associated with providing financial assistance under this ,act4 #d4 ,procedures for providing payroll support 7a7 ,awardable amounts ,the ,secretary shall provide financial assistance under this ,act-- 7#a7 to an air carrier required to file reports pursuant to part #bda of title #ad1 ,code of ,federal ,regulations1 as of ,march #bg1 #bjbj1 in an amount equal to-- 7,a7 the amount such air carrier received under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc72 or 7,b7 at the request of such air carrier1 or in the event such an air carrier did not receive assistance under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc71 the amount of the salaries and benefits reported by the air carrier to the ,department of ,transportation pursuant to such part #bda1 for the period from ,october #a1 #bjai1 through ,march #ca1 #bjbj2 7#b7 to an air carrier that did not transmit reports under such part #bda1 as of ,march #bg1 #bjbj1 in an amount equal to-- 7,a7 the amount such air carrier received under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc71 plus an additional #ae percent of such amount2 7,b7 in the event such an air carrier did not receive assistance under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc71 an amount that such an air carrier certifies1 using sworn financial statements or other appropriate data1 as the amount of total salaries and related fringe benefits that such air carrier incurred and would be required to be reported to the ,department of ,transportation pursuant to such part #bda1 if the air carrier were required to transmit such information during the period from ,october #a1 #bjai1 through ,march #ca1 #bjbj2 or 7,c7 at the request of such carrier1 provided such carrier received assistance under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc71 the sum of-- 7i7 the amount that such air carrier certifies1 using sworn financial statements or other appropriate data1 as the amount of total salaries and related fringe benefits that such air carrier incurred and would be required to be reported to the ,department of ,transportation pursuant to such part #bda1 if the carrier were required to transmit such information during the period from ,october #a1 #bjai1 through ,march #ca1 #bjbj2 and 7ii7 an additional amount equal to the difference between the amount certified under clause 7i7 and the amount the air carrier received under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc72 and 7#c7 to a contractor in an amount equal to-- 7,a7 the amount such contractor received under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc72 or 7,b7 in the event such contractor did not receive assistance under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc71 an amount that the contractor certifies1 using sworn financial statements or other appropriate data1 as the amount of wages1 salaries1 benefits1 and other compensation that such contractor paid the employees of such contractor during the period from ,october #a1 #bjai1 through ,march #ca1 #bjbj4 7b7 ,deadlines and procedures 7#a7 ,in general 7,a7 ,forms2 terms and conditions ,financial assistance provided to an air carrier or contractor under this ,act shall-- 7i7 be in such form1 on such terms and conditions 7including requirements for audits and the clawback of any financial assistance provided upon failure by a passenger air carrier1 cargo air carrier1 or contractor to honor the assurances specified in section #e71 as agreed to by the ,secretary and the recipient for assistance received under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc71 except where inconsistent with this ,act2 or 7ii7 in the event such an air carrier or contractor did not receive assistance under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc71 be in such form1 on such terms and conditions 7including requirements for audits and the clawback of any financial assistance provided upon failure by a passenger air carrier1 cargo air carrier1 or contractor to honor the assurances specified in section #e71 as the ,secretary determines appropriate4 7,b7 ,procedures ,the ,secretary shall publish streamlined and expedited procedures not later than #e days after the date of enactment of this ,act for air carriers and contractors to submit requests for financial assistance under this ,act4 7#b7 ,deadline for immediate payroll assistance ,not later than #aj days after the date of enactment of this ,act1 the ,secretary shall make initial payments to air carriers and contractors that submit requests for financial assistance approved by to the ,secretary4 7d7 ,pro rata reductions ,the amounts under subsections 7a77#a77;,b7 and 7a77#b77;,b7 shall1 to the maximum extent practicable1 be subject to the same pro rata reduction applied by the ,secretary to air carriers or contractors1 as applicable1 that received assistance under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc74 7e7 ,audits ,the ,inspector ,general of the ,department of the ,treasury shall audit certifications made under subsection 7a74 #e4 ,required assurances 7a7 ,in general ,to be eligible for financial assistance under this ,act1 an air carrier or contractor shall enter into an agreement with the ,secretary1 or otherwise certify in such form and manner as the ,secretary shall prescribe1 that the air carrier or contractor shall-- 7#a7 refrain from conducting involuntary furloughs or reducing pay rates and benefits until-- 7,a7 with respect to air carriers1 ,march #ca1 #bjba2 or 7,b7 with respect to contractors1 ,march #ca1 #bjba1 or the date on which the contractor exhausts such financial assistance1 whichever is later2 7#b7 ensure that neither the air carrier or contractor nor any affiliate of the air carrier or contractor may1 in any transaction1 purchase an equity security of the air carrier or contractor or the parent company of the air carrier or contractor that is listed on a national securities exchange through-- 7,a7 with respect to air carriers1 ,march #ca1 #bjbb2 or 7,b7 with respect to contractors1 ,march #ca1 #bjbb1 or the date on which the contractor exhausts such financial assistance1 whichever is later2 7#c7 ensure that the air carrier or contractor shall not pay dividends1 or make other capital distributions1 with respect to common stock 7or equivalent interest7 of the air carrier or contractor through-- 7,a7 with respect to air carriers1 ,march #ca1 #bjbb2 or 7,b7 with respect to contractors1 ,march #ca1 #bjbb1 or the date on which the contractor exhausts such financial assistance1 whichever is later2 7#d7 meet the requirements of sections #f and #g2 and 7#e7 affirm that the air carrier or contractor has-- 7,a7 in the case of an air carrier or contractor that received loans1 loan guarantees1 other investments1 or financial assistance under title ,,iv of the ,,cares ,act1 recalled any employees involuntarily furloughed by such air carrier or contractor between ,march #bg1 #bjbj1 and the date such air carrier or contractor enters into an agreement with the ,secretary for financial assistance under this ,act1 compensated such employees for lost pay and benefits1 and restored the rights and protections for such employees as if they had not been involuntarily furloughed2 or 7,b7 in the case of an air carrier or contractor that did not receive loans1 loan guarantees1 other investments1 or financial assistance under title ,,iv of the ,,cares ,act1 recalled any employees involuntarily furloughed by such air carrier or contractor between ,october #a1 #bjbj1 and the date such air carrier or contractor enters into an agreement with the ,secretary for financial assistance under this ,act1 compensated such employees for lost pay and benefits1 and restored the rights and protections for such employees as if they had not been involuntarily furloughed4 #f4 ,protection of collective bargaining agreements 7a7 ,in general ,neither the ,secretary1 nor any other actor1 department1 or agency of the ,federal ,government1 shall condition the issuance of financial assistance under this ,act on an air carrier's or contractor's implementation of measures to enter into negotiations with the certified bargaining representative of a craft or class of employees of the air carrier or contractor under the ,railway ,labor ,act 7#de ,u4,s4,c4 #aea et seq47 or the ,national ,labor ,relations ,act 7#bi ,u4,s4,c4 #aea et seq471 regarding pay or other terms and conditions of employment4 7b7 ,air carrier period of effect ,with respect to any air carrier to which financial assistance is provided under this ,act1 this section shall be in effect with respect to the air carrier beginning on the date on which the air carrier is first issued such financial assistance and ending on ,march #ca1 #bjba4 7c7 ,contractor period of effect ,with respect to any contractor to which financial assistance is provided under this ,act1 this section shall be in effect with respect to contractor beginning on the date on which the contractor is first issued such financial assistance and ending on ,march #ca1 #bjba1 or until the date on which all funds are expended1 whichever is later4 #g4 ,limitation on certain employee compensation 7a7 ,in general ,the ,secretary may only provide financial assistance under this ,act to an air carrier or contractor after such carrier or contractor enters into an agreement with the ,secretary which provides that1 during the #b-year period beginning ,october #a1 #bjbj1 and ending ,october #a1 #bjbb1 no officer or employee of the air carrier or contractor whose total compensation exceeded #dbe1jjj in calendar year #bjai 7other than an employee whose compensation is determined through an existing collective bargaining agreement entered into prior to enactment of this ,act7-- 7#a7 will receive from the air carrier or contractor total compensation which exceeds1 during any #ab consecutive months of such #b-year period1 the total compensation received by the officer or employee from the air carrier or contractor in calendar year #bjai2 7#b7 will receive from the air carrier or contractor severance pay or other benefits upon termination of employment with the air carrier or contractor which exceeds twice the maximum total compensation received by the officer or employee from the air carrier or contractor in calendar year #bjai2 and 7#c7 no officer or employee of the air carrier or contractor whose total compensation exceeded #c1jjj1jjj in calendar year #bjai may receive during any #ab consecutive months of such period total compensation in excess of the sum of-- 7,a7 #c1jjj1jjj2 and 7,b7 #ej percent of the excess over #c1jjj1jjj of the total compensation received by the officer or employee from the air carrier or contractor in calendar year #bjai4 7b7 ,total compensation defined ,in this section1 the term total compensation includes salary1 bonuses1 awards of stock1 and other financial benefits provided by an air carrier or contractor to an officer or employee of the air carrier or contractor4 #h4 ,minimum air service guarantees 7a7 ,in general ,the ,secretary of ,transportation is authorized to require1 to the extent reasonable and practicable1 an air carrier provided financial assistance under this ,act to maintain scheduled air transportation1 as the ,secretary of ,transportation determines necessary1 to ensure services to any point served by that air carrier before ,march #a1 #bjbj1 continues to receive a basic level of air service4 7b7 ,required considerations ,when considering whether to exercise the authority provided by this section1 the ,secretary of ,transportation shall take into consideration the air transportation needs of small and remote communities1 the need to maintain well-functioning health care supply chains1 including medical devices and supplies1 and pharmaceutical supply chains1 and such other matters as the public interest requires4 7c7 ,sunset ,the authority provided under this section shall terminate on ,september #a1 #bjbb1 and any requirements issued by the ,secretary of ,transportation under this section shall cease to apply after that date4 #i4 ,tax payer protection 7a7 ,cares act assistance recipients ,with respect to a recipient of assistance under section #daac of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc7 that receives assistance under this ,act1 the ,secretary may receive warrants1 options1 preferred stock1 debt securities1 notes1 or other financial instruments issued by such recipient in the same form and amount1 and under the same terms and conditions1 as agreed to by the ,secretary and the recipient for assistance received under such section #daac to provide appropriate compensation to the ,federal ,government for the provision of the financial assistance under this ,act4 7b7 ,other applicants ,with respect to an applicant that did not receive assistance under such section #daac1 the ,secretary may receive warrants1 options1 preferred stock1 debt securities1 notes1 or other financial instruments issued by an applicant that receives assistance under this ,act in a form and amount that are1 to the maximum extent practicable1 the same as the terms and conditions as agreed to by the ,secretary and similarly situated recipients of assistance under such section #daac to provide appropriate compensation to the ,federal ,government for the provision of the financial assistance under this ,act4 #aj4 ,reports 7a7 ,report ,not later than ,may #a1 #bjba1 the ,secretary shall update and submit to the ,committee on ,transportation and ,infrastructure and the ,committee on ,financial ,services of the ,house of ,representatives and the ,committee on ,commerce1 ,science1 and ,transportation and the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate a report on the financial assistance provided to air carriers and contractors under this ,act1 which includes-- 7#a7 a description of any financial assistance provided to air carrier and contractors under this ,act2 7#b7 any audits of air carriers or contractors receiving financial assistance under this ,act2 7#c7 any reports filed by air carriers or contractors receiving financial assistance under this ,act2 7#d7 any non-compliances by air carriers or contractors receiving financial assistance under this ,act with the terms and conditions of this ,act or agreements entered into with the ,secretary to receive such financial assistance2 and 7#e7 information relating to any clawback of any financial assistance provided to air carriers or contractors under this ,act4 7b7 ,internet updates ,the ,secretary shall update the website of the ,department of the ,treasury on a daily basis as necessary to reflect new or revised distributions of financial assistance under this ,act with respect to each air carrier or contractor that receives such assistance1 the identification of any applicant that applied for financial assistance under this ,act1 and the date of application4 7c7 ,supplemental update ,not later than the last day of the #a-year period following the date of enactment of this ,act1 the ,secretary shall update and submit to the ,committee on ,transportation and ,infrastructure and the ,committee on ,financial ,services of the ,house of ,representatives and the ,committee on ,commerce1 ,science1 and ,transportation and the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate1 the report submitted under subsection 7a74 #aa4 ,coordination ,in implementing this ,act1 the ,secretary shall coordinate with the ,secretary of ,transportation4 #ab4 ,direct appropriation ,notwithstanding any other provision of law1 there is appropriated1 out of amounts in the ,treasury not otherwise appropriated1 #bh1hjj1jjj1jjj to carry out this ,act4 #ac4 ,technical corrections and clarification 7a7 ,section #djjc7;c77#a77;,b7 of the ,,cares ,act 7#ae ,u4,s4,c4 #ijdb7;c77#a77;,b77 is amended-- 7#a7 by striking ,as soon and inserting the following3 7i7 ,in general ,subject to clause 7ii71 as soon 2 and 7#b7 by adding at the end the following3 7ii7 ,requirement ,the procedures and any related guidance issued under clause 7i7 shall not prohibit any air carrier from applying for or receiving a loan or loan guarantee under paragraph 7#a71 7#b71 or 7#c7 of subsection 7b7 based on the amount of the loan or loan guarantee requested4 4 7b7 ,section #daac7;c7 of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgc7;c77 is amended-- 7#a7 by striking section #daab and inserting subsection 7a72 and 7#b7 by striking such section and inserting such subsection4 7c7 ,section #daad of the ,,cares ,act 7#ae ,u4,s4,c4 #ijgd7 is amended by adding at the end the following new subsections3 7c7 ,continued application 7#a7 ,in general ,if1 after ,september #cj1 #bjbj1 a contractor expends funds made available pursuant to section #daab and distributed pursuant to section #daac1 the assurances under this section shall continue to apply until all funds are expended1 notwithstanding the time limits included in paragraphs 7#a7 through 7#c7 of subsection 7a71 or section #daae or #daaf4 7#b7 ,special rule ,not later than ,january #e1 #bjba1 each contractor that has received funds pursuant to such section #daab shall report to the ,secretary on the amount of such funds that the contractor has expended through ,december #ca1 #bjbj4 ,if the contractor has expended an amount that is less than #ej percent of the total amount of funds the contractor received under such section1 the ,secretary shall initiate an action to recover any funds that remain unexpended as of ,january #ca1 #bjba4 7d7 ,clawback of assistance ,any contractor that conducted involuntary furloughs or reduced pay rates and benefits1 between ,march #bg1 #bjbj1 and the date on which the contractor entered into an agreement with the ,secretary related to financial assistance under this subtitle1 shall recall employees who were involuntary furloughed1 or the ,secretary shall claw back such financial assistance1 as necessary4 4 7d7 ,with respect to loans issued under paragraph 7#a7 or 7#b7 of section #djjc7;b7 of the ,,cares ,act 7#ae ,u4,s4,c4 #ijdb7;b77 after the date of enactment of this ,act to an air carrier1 the ,secretary may accept an unsecured debt instrument 7in addition to a senior secured debt instrument7 for a total loan allocation less than #cjj1jjj1jjj1 if the air carrier certifies that the air carrier cannot feasibly issue collateral sufficient to receive the full amount of its loan allocation4 #ad4 ,emergency requirement 7a7 ,in general ,this ,act is designated as an emergency requirement pursuant to section #d7;g7 of the ,statutory ,pay-,as-,you-,go ,act of #bjaj 7#b ,u4,s4,c4 #icc7;g774 7b7 ,designation in ,senate ,in the ,senate1 this ,act is designated as an emergency requirement pursuant to section #daab7;a7 of ,h4 ,con4 ,res4 #ga 7#aaeth ,congress71 the concurrent resolution on the budget for fiscal year #bjah4