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Extensions of Remarks May 26, 1988 EXTENSIONS OF REMARKS 12745 EXTENSIONS OF REMARKS (4) to the extent consistent with this Act, by persons who are not air carriers who own AIR TRAFFIC CONTROL shall be subject to the District of Columbia one or more business aircraft. IMPROVEMENT Business Corporation Act <D.C. Code, § 29- <4> A class of shares to be known as Class 301 et seq.). D, consisting of not more than 7% percent (b) WAR OR NATIONAL EMERGENCY.- of all shares of common stock issued by the (!) TRANSFER OF FUNCTIONS.-In the event Corporation, which may only be purchased HON. JOE BARTON of a declared war or national emergency, by persons who are employed by an air car­ OF TEXAS the President may by Executive order trans­ rier as pilots. IN THE HOUSE OF REPRESENTATIVES fer any functions, personnel, property, <5 > A class of shares to be known as Class records, funds, and other matters relating to Thursday, May 26, 1988 E, consisting of not more than 7% percent the Corporation to the Department of De­ of all shares of common stock issued by the Mr. BARTON of Texas. Mr. Speaker, today, fense. Corporation, which may only be purchased I rise with the hope of beginning the process (2) DEVELOPMENT OF PLANS.-The Board, in consultation with the Secretary of Defense, by persons who are air traffic controllers. toward creating a truly safe and efficient air <6> A class of shares to be known as Class traffic control [ATC] system. Each day, travel­ shall develop plans for the effective dis­ charge of the functions of the Corporation F, consisting of 7% percent of all shares of ers must face an air traffic control system par­ in the event of a declared war or national common stock issued by the Corporation, alyzed by increased volume, frequent delays emergency. which shall be owned by the Secretary of and diminished safety. SEC. 102. INCORPORATION. Transportation on behalf of the United Within the constraints of Government bu­ (a) APPOINTMENT OF INCORPORATORS.-The States. reaucracy, the Federal Aviation Administration President shall appoint 5 incorporators, by (7) A class of shares to be known as Class [FAA] cannot respond in a timely fashion to and with the advice and consent of the G, consisting of 7% percent of all shares of the growing needs of the air traffic control Senate, who shall serve as the initial board common stock issued by the Corporation, which shall be owned by the Secretary of system. Federal personnel and procurement of directors of the Corporation until the first annual meeting of stockholders, or Defense on behalf of the United States. regulations pose major road blocks to efficient (b) PRICE OF FIRST ISSUE.-The shares Of management and safety. Air traffic control fa­ until a board of directors is elected in ac­ cordance with section 104, whichever is common stock first issued by the Corpora­ cilities remain understaffed and the civil serv­ later. tion shall be sold at a price equal to not ice system provides no incentives for new (b) FuNCTIONS OF INCORPORATORS.-The in­ more than $100 for each share. controllers. Just as discouraging, few facilities corporators appointed under this section (C) VOTING RIGHTS.- have needed modern radar technology. shall- ( 1) IN GENERAL.-Each share of common Today, I have introduced legislation incorpo­ <1) subject to approval by the President, stock in the Corporation- rating several excellent ideas for improve­ draft and file articles of incorporation for <A> shall be vested with all voting rights; ment. The following legislation would divest the Corporation, draft the initial bylaws of and ATC facilities, personnel, and equipment to a the Corporation, and take any other actions <B> shall be entitled to one vote. (2) AssiGNMENT.-A person owning one or nonprofit, user-owned corporation. The corpo­ necessary to the establishment and initial operation of the corporation; more shares of Class B, C, E, D, E, of F ration's stockholders would be limited to air­ <2> arrange for an initial stock offering in stock may assign the right to vote all or part lines, private pilots, business aircraft owners, accordance with section 103; and of their shares to any person eligible to own airline pilots, air traffic controllers, and Federal (3) establish initial criteria for determin­ shares of that class of stock. Government users. At the same time, the FAA ing who is a private pilot and what is a busi­ (d) INSPECTION AND COPYING RIGHTS.-The would retain its existing safety functions. ness aircraft for purposes of section 102<a> right of a holder of stock issued by the Cor­ I believe this revolutionary new concept (2) and <3>. poration to inspect and copy records of the warrants extensive hearings and review. This (C) ARTICLES OF INCORPORATION.-The arti­ Corporation shall not be subject to the re­ much needed legislation can serve as a cles of incorporation filed by the incorpora­ quirements of section 45<b> of the District guidepost as we struggle to restore safety, ef­ tors in accordance with subsection (b)- of Columbia Business Corporation Act <D.C. <1) shall provide for cumulative voting ficiency, and traveler confidence. In the Code, § 29-345<b>> relating to the percent­ under section 27(d) of the District of Colum­ age of stock which a stockholder must hold coming months, I urge my colleagues to care­ bia Business Corporation Act <D.C. Code, to have such rights. fully consider the merits of this landmark legis­ § 29-327(d)); lation: (2) may be amended, altered, changed, or SEC. 104. DIRECTORS AND OFFICERS. H.R. 4693 repealed by a vote of not less than 66% per­ (a) BOARD OF DIRECTORS.- (!) ELECTION.-The Corporation shall have Be it enacted by the Senate and House of cent of the outstanding shares of the voting capital stock of the Corportation. a board of directors consisting of 15 individ­ Representatives of the United States of uals who are citizens of the United States, America in Congress assembled, SEC. 103. ISSUANCE OF STOCK. <a> IN GENERAL.-The Corporation may selected annually as follows: SECTION. 1. SHORT TITLE. issue and have outstanding, in such num­ <A> 6 members elected by shareholders This Act may be cited as the "Air Traffic bers and amounts as it shall determine, owning one or more shares of Class A stock. Control Service Improvement Act of 1988". shares of capital stock of a total par value <B> 3 members elected by shareholders TITLE I-AIR TRAFFIC CONTROL of $100,000,000 consisting of 6 classes as fol­ owning one or more shares of Class B stock. CORPORATION lows: <C> 2 members elected by shareholders SEC. 101. ESTABLISHMENT OF CORPORATION. <1) A class of shares to be known as Class owning one or more shares of Class C stock. (a) IN GENERAL.-There is established a A, consisting of not more than 40 percent of (D) 1 member elected by shareholders non-profit corporation, to be known as the all shares of common stock issued by the owning one or more shares of Class D stock. Airways Corporation, which- Corporation, which may only be purchased <E> 1 member elected by shareholders ( 1) shall operate the air traffic control by persons who are air carriers. owning one or more shares of Class E stock. system of the United States after the com­ (2) A class of shares to be known as Class <F> 1 member appointed by the Secretary pletion of transfers of air traffic control fa­ B, consisting of not more than 20 percent of of Transportation. cilities and equipment under section 201; all shares of common stock issued by the <G) 1 member appointed by the Secretary <2> except as provided in subsection <b>, Corporation, which may only be purchased of Defense. shall not be an agency or establishment of by persons who are private pilots. <2> CHAIRMAN.-The Board shall elect one the United States Government; <3) A class of shares to be known as Class of its members annually to serve as Chair­ (3) shall have its principal office in the C, consisting of not more than 10 percent of man of the Board. District of Columbia and is deemed to be a all shares of common stock issued by the (3) COMPENSATION AND EXPENSES.-Mem­ resident thereof; and Corporation, which may only be purchased bers of the Board may receive compensation e This "bullet" symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor. 12746 EXTENSIONS OF REMARKS May 26, 1988 in accordance with rules established by the <1 > the Corporation shall notify the Secre­ port where such towers and aids are located Board. tary of State regarding the initiation, con­ and to which such landing slots relate. (b) PRESIDENT OF CORPORATION AND AP­ duct, and foreign policy implications of such (b) COMPENSATION.-In consideration for POINTMENT OF OTHER OFFICERS.- negotiations; and property transferred by the United States (1) APPOINTMENT.-The Corporation shall (2) the Secretary of State shall advise the pursuant to subsection <a> the Corporation have a president and such other officers as Corporation of relevant foreign policy con­ shall pay into the General Fund of the may be appointed by the Board from among siderations and, upon request of the Corpo­ Treasury $100,000,000, and shall relinquish persons who are citizens of the United ration, shall render such assistance as may all rights of the Corporation to amounts in States.
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