Amends the Vision 100--Century of Aviation Reauthorization Act to extend through FY2008 the effectiveness of any final order of the Secretary of Transportation, including existing final orders, with respect to the eligibility for essential air service subsidies of any place in the United States based on highway mileage between it and the nearest medium hub airport or large hub airport.
Amends federal transportation law to extend funding through December 31, 2007, for: (1) grants for airport planning and development and airport noise compatibility planning and programs; (2) operating expenses of the Federal Aviation Administration (FAA); (3) air navigation facilities; and (4) civil aviation research and development activities.
Extends through December 31, 2007, the authority of the Secretary to: (1) incur obligations to make project grants for public-use airports; and (2) limit the liability of air carriers to third parties for claims arising out of acts of terrorism.