PUBLIC LAW 107-206—AUG. 2, 2002 116 STAT. 917 "(B) Service provided under this paragraph, including service provided to points served in conjunction with service being subsidized under the Essential Air Service contract, may not be applied toward any of the minimum eligibility requirements of this section.". (5) SELECTION OF CARRIERS TO BUSH POINTS.— Section 5402 of title 39, United States Code, is amended by adding at the end the following: "(h)(1) Except as provided under paragraph (7), on a city pair route in the State of Alaska, the Postal Service shall offer equitable tender of 70 percent of the nonpriority bypass mail on the route to all carriers providing scheduled passenger service in accordance with part 121 or part 135 that— "(A) meet the requirements of subsection (g)(1); "(B) provided 20 percent or more of the passenger service (as calculated in paragraph (5)) between the city pair for the 12 months preceding the date on which the 121 passenger aircraft or the 135 passenger carrier seek tender of nonpriority bypass mail; and "(C) meet the requirements of paragraph (2). "(2) To remain eligible for equitable tender under this subsection, the carrier or aircraft shall— "(A) continue to provide not less than 20 percent of the passenger service on the city pair route for which the carrier is seeking the tender of such nonpriority bypass mail; "(B)(i) for operations under part 121, operate aircraft t3rpe certificated to carry at least 19 passengers; "(ii) for operations under part 135, operate aircraft type certificated to carry at least 5 passengers; or "(iii) for operations under part 135 where only a water landing is available, operate aircraft type certificated to carry at least 3 passengers; "(C) insure all available passenger seats on the city pair route on which the carrier seeks tender of such mail; and "(D) operate flights under its published schedule. "(3)(A) Except as provided under subparagraph (E), if a 135 passenger carrier serves a city pair route in the State of Alaska and meets the requirements of paragraph (1) or (2) when a 121 passenger carrier becomes qualified to be tendered nonpriority bypass mail on such route with a 121 passenger aircraft in accordance with paragraphs (1) and (2), the qualifying 135 passenger carriers on that route shall convert to operations with a 121 passenger aircraft within 5 years after the 121 passenger aircraft begins receiving tender on that route in order to remain eligible for equitable tender under paragraph (1). The 135 carrier shall— "(i) begin the process of conversion not later than 2 years after the 121 passenger aircraft begins carrying nonpriority bypass mail on that route; and "(ii) submit a part 121 compliance statement not later than 4 years after the 121 passenger aircraft begins carrying nonpriority bypass mail on that route. "(B) Completion of conversion under subparagraph (A) shall not be required if all 121 passenger carriers discontinue the carriage of nonpriority bypass mail with 121 passenger aircraft on the city pair route. "(C) Any qualified carrier operating in the State of Alaska under this section may request a waiver from subparagraph (A). Such a request, at the discretion of the Secretary, may be granted
�
