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                  CONGRESSIONAL BUDGET OFFICE
0COST ESTIMATE

                                                                  October 6, 2017


                                  H.R. 3328
                     Cuban Airport Security Act of 2017

   As reported by the House Committee on Homeland Security on September 13, 2017


 H.R. 3328 would require the Department of Homeland Security (DHS) to report to the
 Congress on the status of security measures at international airports in Cuba. The bill also
 would direct DHS to establish an agreement with the Cuban government to permit U.S.
 federal air marshals to conduct missions on regularly scheduled passenger flights between
 the United States and Cuba and to allow inspectors from the Transportation Security
 Administration to access Cuban airports. Finally, the bill would prohibit U.S. air carriers
 from employing Cuban nationals unless those air carriers meet certain conditions.

 CBO estimates that enacting H.R. 3328 would have no significant effect on the federal
 budget. Based on an analysis of information from DHS, CBO expects that any increase in
 federal costs to meet the bill's requirements, which are largely consistent with existing
 efforts, would not exceed $500,000 in any year. Such spending would be subject to the
 availability of appropriated funds.

 Enacting H.R. 3328 would not affect direct spending or revenues; therefore, pay-as-you-go
 procedures do not apply. CBO estimates that enacting H.R. 3328 would not increase net
 direct spending or on-budget deficits by more than $5 billion in any of the four consecutive
 10-year periods beginning in 2028.

 H.R. 3328 contains no intergovernmental mandates as defined in the Unfunded Mandates
 Reform Act (UMRA) and would not affect the budgets of state, local, or tribal
 governments.

 H.R. 3328 would impose private-sector mandates as defined in UMRA because it would
 prohibit airlines from employing Cuban nationals, unless they publicly disclose the full
 text of their agreements with the government of Cuba for passenger air service; the bill also
 would prohibit airlines, to the extent practicable, from employing Cuban nationals who are
 recruited or trained by entities of the Cuba government. CBO estimates that the cost of
 disclosing an agreement would be small. However, if the terms of the current agreements
 with Cuba prohibit disclosure, airlines would either have to renegotiate those agreements
 (resulting in small costs) or, in the extreme case, terminate passenger air service between
 the United States and Cuba. The current arrangement between the United States and Cuba