Aviation Investment and Modernization Act of 2008

Aviation Investment and Modernization Act of 2008 - Amends federal transportation law to authorize appropriations for FY2008-FY2011 for: (1) Federal Aviation Administration (FAA) operations; (2) FAA air navigation facilities and equipment; (3) civil aviation research and development (R&D); (4) airport planning and development and noise compatibility planning programs; (5) certain other aviation programs; and (6) administrative expenses for certain airport programs.

Revises passenger facility charge (PFC) provisions granting an eligible public agency that controls a commercial service airport the authority to impose a PFC on passengers boarding an aircraft. Establishes an alternative PFC collection pilot program.

Authorizes the FAA Administrator to carry out a pilot program for certain airports to take over operational responsibility for airport terminal area air navigation equipment.

Revises the federal share of costs for certain airport improvement projects.

Directs the Secretary of Transportation to carry out an environmental mitigation demonstration pilot program to reduce the impact of aircraft in the vicinity of airports.

Establishes an Air Traffic Control Modernization Oversight Board.

Authorizes the Secretary to carry out a pilot program for non-federal acquisition of Automatic Dependent Surveillance-Broadcast (ADS-B) ground stations.

Requires: (1) the FAA Administrator to make recommendations for the realignment of FAA services and facilities to assist in the transition to next generation facilities; and (2) the head of a participating department or federal agency to establish an office to coordinate its Next Generation Air Transportation System activities with other departments or federal agencies.

Requires each air carrier to submit for the Secretary's approval a contingency service plan to provide passengers with: (1) adequate food, potable water, and restroom facilities in cases of a substantially delayed flight departure or disembarkment; and (2) an option to deplane if more than three hours have elapsed, and during any subsequent three-hour periods of delay.

Increases additional funding for each fiscal year for the essential air service program.

Extends the small community air service development program through FY2011.

Establishes an advisory committee for aviation consumer protection.

Sets forth requirements with respect to: (1) installation of systems to alert controllers and flight crews to potential runway incursions; (2) the reduction of aircraft fuel tank flammability; and (3) research grant programs to reduce civilian aircraft noise and emissions and to develop jet fuel from clean coal.

Establishes pilot projects for the safe integration of unmanned aerial systems into the National Airspace System.

Extends the Secretary's authority to provide insurance and reinsurance against loss or damage arising out of any risk from the operation of a domestic or foreign aircraft.

Authorizes the Secretary of the Interior to waive the prohibition against commercial air tour operations over a national park or tribal lands when there are 100 or fewer such operations conducted in a year, or there is a voluntary agreement to manage such operations over the park.

American Infrastructure Investment and Improvement Act of 2008 - Amends the Internal Revenue Code to extend through FY2011: (1) the excise tax on the transportation by air of persons and property; and (2) Airport and Airway Trust Fund expenditure authority. Modifies the excise tax on aviation-grade kerosene.

Establishes the Air Traffic Control System Modernization Account.

Imposes a surtax on fuel used in aircraft which is part of a fractional ownership program.