Sec. 5. Surcharge on first and business class tickets
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/bill/118/s/2599/is/section-5A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Beginning on January 1, 2024, the Administrator, in coordination with the Secretary of the Treasury, shall ensure that each operator selling a qualifying ticket assesses, at the time of purchase, a surcharge on each qualifying ticket in an amount determined under subsection (b), which amount shall be remitted to the Administrator. Subject to paragraph (2), the amount of a surcharge assessed under subsection
(a)shall be— with respect to a qualifying ticket on a flight with an estimated flight time of not more than 2 hours, $75; with respect to a qualifying ticket on a flight with an estimated flight time of more than 2 hours but not more than 6 hours, $200; and with respect to a qualifying ticket on a flight with an estimated flight time of more than 6 hours, $600. Beginning in calendar year 2025, the Administrator shall annually adjust the amounts described in paragraph
(1)by the percentage that is equal to the sum obtained by adding— the rate of inflation, as determined by the Administrator using the changes for the 12-month period ending the preceding November 30 in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor; and 10 percentage points. After adjustments under subparagraph
(A)the amount of a surcharge on a qualifying ticket assessed under subsection
(a)shall be additionally adjusted as follows: If the operator of the flight for which the qualifying ticket is being purchased reasonably anticipates that the flight will be made using an aircraft that is in the top 10 percent of aircraft in the United States (for narrow-body aircraft or wide-body aircraft, as applicable) for fuel efficiency, as measured using the certification procedures in Volume III of Annex 16 to the Convention on International Civil Aviation, the amount of the surcharge shall be reduced by 25 percent. If the operator of the flight for which the qualifying ticket is being purchased reasonably anticipates that the flight will consume sustainable aviation fuel, the amount of the surcharge shall be reduced by a percentage equal to the percentage reduction in the calculated greenhouse gas emissions achieved by the fuel or mix of fuels anticipated to be consumed, as compared to traditional jet fuel. If the operator of the flight for which the qualifying ticket is being purchased surrendered offset certificates to the Administrator pursuant to subsection
(c)in the previous calendar year, the amount of the surcharge shall be reduced by the percentage determined under paragraphs
(3)and
(4)of that subsection. For purposes of determining the offset credit described in subsection (b)(2)(B)(iii), an operator of flights for which qualifying tickets are sold may surrender to the Administrator certificates for greenhouse gas emissions captured directly from the ambient air and disposed of in secure geological storage in exchange for an offset credit in accordance with this subsection. The Administrator shall issue to an operator of a flight for which qualifying tickets are sold certificates for the total quantity of greenhouse gas emissions, expressed in tons of carbon dioxide-equivalent, that are captured directly from the ambient air and disposed of in secure geological storage (in compliance with the regulations required under section 45Q(f)(2) of the Internal Revenue Code of 1986) by facilities that— are owned by the operator; or have entered into a binding, exclusive agreement with the operator to capture and dispose of in secure geological storage a specified quantity of greenhouse gas emissions. For purposes of subsection (b)(2)(B)(iii), the total amount of the offset credit for any year shall be equal to the percentage obtained by dividing— the quantity of certificates described in paragraph
(1)surrendered to the Administrator by the operator during the previous calendar year; by the total net lifecycle greenhouse gas emissions for the fuel or mix of fuels consumed by all of the flights operated by the operator in the previous calendar year as regularly scheduled flights subject to part 121 of title 14, Code of Federal Regulations (or successor regulations). The quantity determined under paragraph
(3)may not exceed— for calendar year 2025, the percentage determined under paragraph
(3)shall not exceed 50 percent; and for each of calendar years 2026 through 2049, the percentage determined under paragraph
(3)shall not exceed a maximum percentage that is 2 percentage points lower than the maximum percentage for the previous calendar year. Beginning in calendar year 2050, and in each calendar year thereafter, no certificates under this subsection may be surrendered to the Administrator for purposes of determining the amount of the adjustment under subsection (b)(2)(B)(iii). A certificate issued by the Administrator under this subsection shall expire 1 year after the date of issuance. By not later than January 1, 2024, the Administrator shall promulgate regulations to ensure that any certificates issued under this subsection are for greenhouse gas emissions that— are captured directly from the ambient air and disposed of in secure geological storage; and would not have otherwise been captured directly from the ambient air and disposed of in secure geological storage but for the offset credit described in subsection (b)(2)(B)(iii). In this subsection, the term actual surcharge amount , with respect to a flight for which a surcharge under subsection
(a)was assessed for 1 or more qualifying tickets, means the product obtained by multiplying— the actual quantity of qualifying tickets sold for the flight; and the amount of the surcharge for a qualifying ticket for that flight, as determined in accordance with this section using— the estimated flight time for the flight; the actual model of the aircraft used for the flight; and the calculated lifecycle greenhouse gas emissions of the fuel or mix of fuels consumed during the flight. After the termination of a flight for which a surcharge under subsection
(a)was assessed on 1 or more qualifying tickets, the operator of the flight shall determine the actual surcharge amount for the flight. If the actual surcharge amount for a flight differs from the total of the surcharges assessed for all qualifying tickets for that flight, the operator of the flight shall— not later than 7 days after the termination of the flight, submit to the Administrator a report containing an itemized statement describing the discrepancy; and if the actual surcharge amount for the flight is greater than the total of the surcharges assessed for all qualifying tickets for that flight, remit to the Administrator, not later than 30 days after the date on which the operator submits to the Administrator the report required under subparagraph (A), an amount equal to the difference between— the actual surcharge amount for the flight; and the total of the surcharges assessed for all qualifying tickets for the flight.