To strengthen certain provisions relating to arms export licenses, and for other purposes.

Summary: Strengthening America's Satellite Industry Act - Expresses the sense of Congress that the President should increase U.S. diplomatic efforts to strengthen arms export controls to ensure that such controls are supportive of U.S. arms export controls, particularly with respect to countries of concern to the United States. Requires the President to report annually to the appropriate congressional committees for five years regarding such diplomatic activities.

Amends the Foreign Assistance Act of 1961 to require that information regarding certain defense items exported without a license under the Arms Control and Export Act be included in the annual military assistance report.

Amends the Arms Export Control Act to direct the President to report to Congress, by country and by international organization, regarding the total dollar value of major defense equipment and defense articles exported pursuant to licenses for the previous fiscal year.

Authorizes the President to remove satellites and related components from the United States Munitions List, except for any satellite or related component that may be transferred to, or launched into outer space by, the People's Republic of China (PRC).

Directs the Inspector General of the Department of State to: (1) review Department investigations of possible misuse of U.S.-origin defense items; and (2) and report to Congress.

Directs the Secretary of State to report to Congress regarding placing the export licensing functions of the Department's Directorate of Defense Trade Controls on a self-financing basis.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Strengthening America's Satellite 
Industry Act''.

SEC. 2. DIPLOMATIC EFFORTS TO STRENGTHEN NATIONAL AND INTERNATIONAL 
              ARMS EXPORT CONTROLS.

    (a) Sense of Congress.--It is the sense of Congress that the 
President should redouble United States diplomatic efforts to 
strengthen national and international arms export controls by 
establishing a senior-level initiative to ensure that those arms export 
controls are comparable to and supportive of United States arms export 
controls, particularly with respect to countries of concern to the 
United States.
    (b) Report.--Not later than 1 year after the date of the enactment 
of this Act, and annually thereafter for 4 years, the President shall 
transmit to the Committee on Foreign Affairs of the House of 
Representatives and the Committee on Foreign Relations of the Senate a 
report on United States diplomatic efforts described in subsection (a).

SEC. 3. REPORTING REQUIREMENT FOR UNLICENSED EXPORTS.

    Section 655(b) of the Foreign Assistance Act of 1961 (22 U.S.C. 
2415(b)) is amended--
            (1) in paragraph (2), by striking ``or'' at the end;
            (2) in paragraph (3), by striking the period at the end and 
        inserting ``; or''; and
            (3) by adding at the end the following:
            ``(4) were exported without a license under section 38 of 
        the Arms Export Control Act (22 U.S.C. 2778) pursuant to an 
        exemption established under the International Traffic in Arms 
        Regulations, other than defense articles exported in 
        furtherance of a letter of offer and acceptance under the 
        Foreign Military Sales program or a technical assistance or 
        manufacturing license agreement, including the specific 
        exemption provision in the regulation under which the export 
        was made.''.

SEC. 4. REPORT ON VALUE OF MAJOR DEFENSE EQUIPMENT AND DEFENSE ARTICLES 
              EXPORTED UNDER SECTION 38 OF THE ARMS EXPORT CONTROL ACT.

    Section 38 of the Arms Export Control Act (22 U.S.C. 2778) is 
amended by adding at the end the following:
    ``(k) Report.--
            ``(1) In general.--The President shall transmit to the 
        Committee on Foreign Affairs of the House of Representatives 
        and the Committee on Foreign Relations of the Senate a report 
        that contains a detailed listing, by country and by 
        international organization, of the total dollar value of major 
        defense equipment and defense articles exported pursuant to 
        licenses authorized under this section for the previous fiscal 
        year.
            ``(2) Inclusion in annual budget.--The report required by 
        this subsection shall be included in the supporting information 
        of the annual budget of the United States Government required 
        to be submitted to Congress under section 1105 of title 31, 
        United States Code.''.

SEC. 5. AUTHORITY TO REMOVE SATELLITES AND RELATED COMPONENTS FROM THE 
              UNITED STATES MUNITIONS LIST.

    (a) Authority.--Except as provided in subsection (b) and subject to 
subsection (d), the President is authorized to remove satellites and 
related components from the United States Munitions List, consistent 
with the procedures in section 38(f) of the Arms Export Control Act (22 
U.S.C. 2778(f)).
    (b) Exception.--The authority of subsection (a) may not be 
exercised with respect to any satellite or related component that may, 
directly or indirectly, be transferred to, or launched into outer space 
by, the People's Republic of China.
    (c) United States Munitions List.--In this section, the term 
``United States Munitions List'' means the list referred to in section 
38(a)(1) of the Arms Export Control Act (22 U.S.C. 2778(a)(1)).
    (d) Effective Date.--The President may not exercise the authority 
provided in this section before the date that is 90 days after the date 
of the enactment of this Act.

SEC. 6. REVIEW AND REPORT OF INVESTIGATIONS OF VIOLATIONS OF SECTION 3 
              OF THE ARMS EXPORT CONTROL ACT.

    (a) Review.--The Inspector General of the Department of State shall 
conduct a review of investigations by the Department of State during 
each of fiscal years 2010 through 2014 of any and all possible 
violations of section 3 of the Arms Export Control Act (22 U.S.C. 2753) 
with respect to misuse of United States-origin defense items to 
determine whether the Department of State has fully complied with the 
requirements of such section, as well as its own internal procedures 
(and whether such procedures are adequate), for reporting to Congress 
any information regarding the unlawful use or transfer of United 
States-origin defense articles, defense services, and technology by 
foreign countries, as required by such section.
    (b) Report.--The Inspector General of the Department of State shall 
submit to the Committee on Foreign Affairs of the House of 
Representatives and the Committee on Foreign Relations of the Senate 
for each of fiscal years 2010 through 2014 a report that contains the 
findings and results of the review conducted under subsection (a). The 
report shall be submitted in unclassified form to the maximum extent 
possible, but may include a classified annex.

SEC. 7. REPORT ON SELF-FINANCING OPTIONS FOR EXPORT LICENSING FUNCTIONS 
              OF DDTC OF THE DEPARTMENT OF STATE.

    Not later than 90 days after the date of the enactment of this Act, 
the Secretary of State shall submit to the Committee on Foreign Affairs 
of the House of Representatives and the Committee on Foreign Relations 
of the Senate a report on possible mechanisms to place the export 
licensing functions of the Directorate of Defense Trade Controls of the 
Department of State on a 100 percent self-financing basis.