Sky Marshals bill

Transportation Security Enhancement Act of 2001 - Amends Federal transportation law to establish in the Department of Transportation (DOT) the Transportation Security Administration, to be headed by an Under Secretary of Transportation for Security responsible for security in all modes of transportation, including: (1) civil aviation security; and (2) security responsibilities over nonaviation modes of transportation that are exercised by Administrations of DOT (other than the Federal Aviation Administration (FAA)).

Requires the Under Secretary to: (1) assume responsibility for the screening of passengers and property that will be carried in an aircraft in air transportation or intrastate air transportation; and (2) carry out such responsibility using employees of the Transportation Security Administration who are U.S. citizens, or employees of other Federal agencies.

Sets forth provisions requiring: (1) the Under Secretary to develop a personnel system for screeners, including matters covering compensation and the authority of the Administration to suspend or terminate them; (2) airport operators to establish air transportation security programs that also require the presence of law enforcement at airports where passengers are screened; (3) the application of certain employment standards and training requirements to airport security personnel, including (Federal) screeners of passengers and property; (4) deployment of Federal air marshals on passenger flights; (5) specified enhanced aviation-related security measures, including restricting access to the aircraft's cockpit; and (6) imposition on passengers of $2.50 on a one-way trip to cover costs of screening passengers and property.

Establishes the Transportation Security Oversight Board to review Under Secretary issued transportation security-related regulations.