I 

108TH CONGRESS 

2D SESSION H. R. 3752

To promote the development of the emerging commercial human space flight 

industry, to extend the liability indemnification regime for the commercial 

space transportation industry, to authorize appropriations for the Office 

of the Associate Administrator for Commercial Space Transportation, 

and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 3, 2004

Mr. ROHRABACHER (for himself, Mr. BOEHLERT, Mr. HALL, Mr. GORDON, 

and Mr. LAMPSON) introduced the following bill; which was referred to 

the Committee on Science 

A BILL

To promote the development of the emerging commercial 

human space flight industry, to extend the liability indemnification regime for the commercial space transportation industry, to authorize appropriations for the Office 

of the Associate Administrator for Commercial Space 

Transportation, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Commercial Space 

5 Launch Amendments Act of 2004’’. 
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1 SEC. 2. FINDINGS. 

2 The Congress finds that—

3 (1) the goal of opening space to the American 

4 people and their private commercial, scientific, and 

5 cultural enterprises should guide Federal space in6 vestments, policies, and regulations; 

7 (2) private industry has begun to develop com8 mercial launch vehicles capable of carrying human 

9 beings into space, and greater private investment in 

10 these efforts will stimulate the Nation’s commercial 

11 space transportation industry as a whole; 

12 (3) space transportation is inherently risky; 

13 (4) a critical area of responsibility for the Of14 fice of the Associate Administrator for Commercial 

15 Space Transportation is to regulate the emerging 

16 commercial human space flight industry; and 

17 (5) the public interest is served by creating a 

18 clear legal and regulatory regime for commercial 

19 human space flight. 

20 SEC. 3. AMENDMENTS. 

21 (a) FINDINGS AND PURPOSES.—Section 70101 of 

22 title 49, United States Code, is amended—

23 (1) in subsection (a)(3), by inserting ‘‘human 

24 space flight,’’ after ‘‘microgravity research,’’; and 

25 (2) in subsection (a)(4)—

26 (A) by striking ‘‘satellite’’; and 
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1 (B) by striking ‘‘services now available 

2 from’’ and inserting ‘‘capabilities of’’. 

3 (b) DEFINITIONS.—Section 70102 of title 49, United 

4 States Code, is amended—

5 (1) by redesignating paragraphs (2) through 

6 (17) as paragraphs (3), (4), (5), (6), (7), (8), (9), 

7 (10), (12), (13), (14), (15), (16), (18), (21), and 

8 (22), respectively; 

9 (2) by inserting after paragraph (1) the fol10 lowing new paragraph: 

11 ‘‘(2) ‘crew’ means any employee of a licensee or 

12 transferee, or of a contractor or subcontractor of a 

13 licensee or transferee, who performs activities in the 

14 course of that employment directly relating to the 

15 launch, reentry, or other operation of or in a launch 

16 vehicle or reentry vehicle that carries human 

17 beings.’’; 

18 (3) in paragraph (4), as so redesignated by 

19 paragraph (1) of this subsection, by inserting ‘‘, 

20 crew, or space flight participant’’ after ‘‘any pay21 load’’; 

22 (4) in paragraph (6)(A), as so redesignated by 

23 paragraph (1) of this subsection, by striking ‘‘and 

24 payload’’ and inserting ‘‘, payload, crew (including 

25 crew training), or space flight participant’’; 
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1 (5) in paragraph (8)(A), as so redesignated by 

2 paragraph (1) of this subsection, by inserting ‘‘or 

3 human beings’’ after ‘‘place a payload’’; 

4 (6) by inserting after paragraph (10), as so re5 designated by paragraph (1) of this subsection, the 

6 following new paragraph: 

7 ‘‘(11) ‘permit’ means an experimental permit 

8 issued under section 70105.’’. 

9 (7) in paragraph (13), as so redesignated by 

10 paragraph (1) of this subsection, by inserting ‘‘crew, 

11 or space flight participants,’’ after ‘‘and its pay12 load,’’; 

13 (8) in paragraph (14)(A), as so redesignated by 

14 paragraph (1) of this subsection, by striking ‘‘and 

15 its payload’’ inserting ‘‘and payload, crew (including 

16 crew training), or space flight participant’’; 

17 (9) by inserting after paragraph (16), as so re18 designated by paragraph (1) of this subsection, the 

19 following new paragraph: 

20 ‘‘(17) ‘space flight participant’ means an indi21 vidual, who is not crew, carried within a launch vehi22 cle or reentry vehicle.’’; 

23 (10) by inserting after paragraph (18), as so 

24 redesignated by paragraph (1) of this subsection, the 

25 following new paragraphs: 
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1 ‘‘(19) ‘suborbital rocket’ means a rocket-pro2 pelled vehicle intended for flight on a suborbital tra3 jectory whose thrust is greater than its lift for the 

4 majority of the powered portion of its flight. 

5 ‘‘(20) ‘suborbital trajectory’ means the inten6 tional flight path of a launch vehicle, reentry vehicle, 

7 or any portion thereof, whose vacuum instantaneous 

8 impact point does not leave the surface of the 

9 Earth.’’; and 

10 (11) in paragraph (21), as so redesignated by 

11 paragraph (1) of this subsection—

12 (A) by striking ‘‘or’’ at the end of subpara13 graph (C); 

14 (B) by striking the period at the end of 

15 subparagraph (D) and inserting ‘‘; or’’; and 

16 (C) by adding at the end the following new 

17 subparagraph: 

18 ‘‘(E) crew or space flight participants.’’. 

19 (c) COMMERCIAL HUMAN SPACE FLIGHT.—(1) Sec20 tion 70103(a) of title 49, United States Code, is amended 

21 by inserting ‘‘, through the Associate Administrator for 

22 Commercial Space Transportation,’’ after ‘‘Secretary of 

23 Transportation’’. 
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1 (2) Section 70103(b)(1) of title 49, United States 

2 Code, is amended by inserting ‘‘, including those involving 

3 space flight participants’’ after ‘‘private sector’’. 

4 (3) Section 70104(a) of title 49, United States Code, 

5 is amended—

6 (A) by striking ‘‘LICENSE REQUIREMENT.—A 

7 license issued or transferred under this chapter’’ and 

8 inserting ‘‘REQUIREMENT.—A license issued or 

9 transferred under this chapter, or a permit,’’; and 

10 (B) by inserting after paragraph (4) the fol11 lowing: 

12 ‘‘Notwithstanding this subsection, a permit shall not au13 thorize a person to operate a launch site or reentry site.’’. 

14 (4) Section 70104(b) of title 49, United States Code, 

15 is amended by inserting ‘‘or permit’’ after ‘‘holder of a 

16 license’’. 

17 (5) The section heading of section 70105 of title 49, 

18 United States Code, is amended by striking ‘‘LICENSE AP19 PLICATIONS’’ and inserting ‘‘APPLICATIONS’’, and the 

20 item relating to that section in the table of sections for 

21 chapter 701 of title 49, United States Code, is amended 

22 accordingly. 

23 (6) Section 70105(a) of title 49, United States Code, 

24 is amended—
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1 (A) by striking ‘‘APPLICATIONS.— ’’ and insert2 ing ‘‘LICENSES.—’’; 

3 (B) in paragraph (1), by striking ‘‘subsection 

4 (b)(2)(D)’’ both places it appears and inserting 

5 ‘‘subsection (c)(2)(D)’’; and 

6 (C) in paragraph (2), by inserting ‘‘, including 

7 crews,’’ after ‘‘or personnel’’. 

8 (7) Section 70105 of title 49, United States Code, 

9 is amended by redesignating subsections (b) and (c) as 

10 subsections (c) and (d), respectively, and by inserting after 

11 subsection (a) the following new subsection: 

12 ‘‘(b) EXPERIMENTAL PERMITS.—(1) A person may 

13 apply to the Secretary of Transportation for an experi14 mental permit under this subsection in the form and man15 ner the Secretary prescribes. Consistent with the public 

16 health and safety, safety of property, and national security 

17 and foreign policy interests of the United States, the Sec18 retary, not later than 90 days after receiving an applica19 tion pursuant to this subsection, shall issue a permit if 

20 the Secretary decides in writing that the applicant com21 plies, and will continue to comply, with this chapter and 

22 regulations prescribed under this chapter. The Secretary 

23 shall inform the applicant of any pending issue and action 

24 required to resolve the issue if the Secretary has not made 

25 a decision not later than 60 days after receiving an appli-
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1 cation. The Secretary shall transmit to the Committee on 

2 Science of the House of Representatives and Committee 

3 on Commerce, Science, and Transportation of the Senate 

4 a written notice not later than 15 days after any occur5 rence when a permit is not issued within the deadline es6 tablished by this subsection. 

7 ‘‘(2) In carrying out paragraph (1), the Secretary 

8 may establish procedures for safety approvals of launch 

9 vehicles, reentry vehicles, safety systems, processes, serv10 ices, or personnel, including crews, that may be used in 

11 conducting commercial space launch or reentry activities 

12 pursuant to a permit. 

13 ‘‘(3) In order to encourage the development of a com14 mercial space flight industry, the Secretary, to the great15 est extent practicable, shall when issuing permits use the 

16 authority granted under subsection (c)(2)(C). 

17 ‘‘(4) The Secretary may issue a permit only for reus18 able suborbital rockets that will be launched or reentered 

19 solely for—

20 ‘‘(A) research and development to test new de21 sign concepts, new equipment, or new operating 

22 techniques; 

23 ‘‘(B) showing compliance with requirements as 

24 part of the process for obtaining a license under this 

25 chapter; or 
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1 ‘‘(C) crew training prior to obtaining a license 

2 for a launch or reentry using the design of the rock3 et for which the permit would be issued. 

4 ‘‘(5) Permits issued under this subsection shall—

5 ‘‘(A) authorize an unlimited number of launches 

6 and reentries for a particular suborbital rocket de7 sign for the uses described in paragraph (4); and 

8 ‘‘(B) specify the modifications that may be 

9 made to the suborbital rocket without changing the 

10 design to an extent that would invalidate the permit. 

11 ‘‘(6) Permits shall not be transferable. 

12 ‘‘(7) A permit may not be issued for, and a permit 

13 that has already been issued shall cease to be valid for, 

14 a particular design for a reusable suborbital rocket after 

15 a license has been issued for the launch or reentry of a 

16 rocket of that design. 

17 ‘‘(8) No person may operate a reusable suborbital 

18 rocket under a permit for carrying any property or human 

19 being for compensation or hire. 

20 ‘‘(9) For the purposes of sections 70106, 70107, 

21 70108, 70109, 70110, 70112, 70115, 70116, 70117, and 

22 70121 of this chapter—

23 ‘‘(A) a permit shall be considered a license; 

24 ‘‘(B) the holder of a permit shall be considered 

25 a licensee; 
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1 ‘‘(C) a vehicle operating under a permit shall be 

2 considered to be licensed; and 

3 ‘‘(D) the issuance of a permit shall be consid4 ered licensing. 

5 This paragraph shall not be construed to allow the trans6 fer of a permit.’’. 

7 (8) Section 70105(c)(1) of title 49, United States 

8 Code, as so redesignated by paragraph (7) of this sub9 section, is amended by inserting ‘‘or permit’’ after ‘‘for 

10 a license’’. 

11 (9) Section 70105(c)(2)(B) of title 49, United States 

12 Code, as so redesignated by paragraph (7) of this sub13 section, is amended by striking ‘‘an additional require14 ment’’ and inserting ‘‘any additional requirement’’. 

15 (10) Section 70105(c)(2)(C) of title 49, United 

16 States Code, as so redesignated by paragraph (7) of this 

17 subsection, is amended by inserting ‘‘or permit’’ after ‘‘for 

18 a license’’. 

19 (11) Section 70105(c)(2)(D) of title 49, United 

20 States Code, as so redesignated by paragraph (7) of this 

21 subsection, is amended by inserting ‘‘or permit’’ after ‘‘for 

22 a license’’. 

23 (12) Section 70105(c)(3) of title 49, United States 

24 Code, as so redesignated by paragraph (7) of this sub25 section, is amended—
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1 (A) by striking ‘‘, including the requirement to 

2 obtain a license,’’; and 

3 (B) by adding at the end the following: ‘‘Noth4 ing in this paragraph shall be construed to allow the 

5 launch or reentry of a launch vehicle or a reentry ve6 hicle without a license or permit if a human being 

7 will be on board.’’. 

8 (13) Section 70105(c) of title 49, United States 

9 Code, as so redesignated by paragraph (7) of this sub10 section, is amended by adding at the end the following 

11 new paragraphs: 

12 ‘‘(4) The holder of a license or a permit under this 

13 chapter may launch or reenter crew only if—

14 ‘‘(A) the crew has received training and has 

15 satisfied medical or other standards specified in the 

16 license or permit in accordance with regulations pro17 mulgated by the Secretary; and 

18 ‘‘(B) the holder of the license or permit and 

19 crew have complied with all requirements of the laws 

20 of the United States that apply to crew. 

21 ‘‘(5) The holder of a license or a permit under this 

22 chapter may launch or reenter a space flight participant 

23 only if—

24 ‘‘(A) in accordance with regulations promul25 gated by the Secretary, the holder of the license or 
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1 permit has informed the space flight participant in 

2 writing about the risks of the launch or reentry, in3 cluding the safety record of the launch or reentry ve4 hicle type, and the space flight participant has pro5 vided written informed consent to participation in 

6 the launch or reentry; and 

7 ‘‘(B) the holder of the license or permit and 

8 space flight participant have complied with all re9 quirements of the laws of the United States related 

10 to launching or reentering a space flight partici11 pant.’’. 

12 (14) Section 70105(d) of title 49, United States 

13 Code, as so redesignated by paragraph (7) of this sub14 section, is amended by inserting ‘‘or permit’’ after ‘‘of a 

15 license’’. 

16 (15) Section 70106(a) of title 49, United States 

17 Code, is amended—

18 (A) by inserting ‘‘at a site used for crew train19 ing,’’ after ‘‘assemble a launch vehicle or reentry ve20 hicle,’’; and 

21 (B) by striking ‘‘section 70104(c)’’ and insert22 ing ‘‘sections 70104(c) and 70105(c)(4)’’. 

23 (16) Section 70110(a)(1) of title 49, United States 

24 Code, is amended by striking ‘‘70105(a)’’ and inserting 

25 ‘‘70105’’. 
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1 (17) Section 70112(b)(1) of title 49, United States 

2 Code, is amended—

3 (A) by inserting ‘‘crew, space flight partici4 pants,’’ after ‘‘its contractors, subcontractors,’’; and 

5 (B) by inserting ‘‘or by space flight partici6 pants,’’ after ‘‘its own employees,’’. 

7 (18) Section 70112(b)(2) of title 49, United States 

8 Code, is amended—

9 (A) by inserting ‘‘crew, space flight partici10 pants,’’ after ‘‘transferee, contractors, subcontrac11 tors,’’; and 

12 (B) by inserting ‘‘or by space flight partici13 pants,’’ after ‘‘its own employees,’’. 

14 (19) Section 70113(a) of title 49, United States 

15 Code, is amended by inserting ‘‘, but not against a space 

16 flight participant,’’ after ‘‘subcontractor of a customer,’’. 

17 (20) Section 70113(f) of title 49, United States Code, 

18 is amended by striking ‘‘December 31, 2004.’’ and insert19 ing ‘‘December 31, 2007. This section does not apply to 

20 permits.’’. 

21 (21) Section 70115(b)(1)(D)(i) of title 49, United 

22 States Code, is amended by inserting ‘‘crew training site,’’ 

23 after ‘‘site of a launch vehicle or reentry vehicle,’’. 
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1 (22) Section 70119 of title 49, United States Code, 

2 is amended by striking paragraphs (1) and (2) and insert3 ing the following: 

4 ‘‘(1) such sums as may be necessary for fiscal 

5 year 2005; 

6 ‘‘(2) such sums as may be necessary for fiscal 

7 year 2006; and 

8 ‘‘(3) such sums as may be necessary for fiscal 

9 year 2007.’’. 

10 (23) Section 70120 of title 49, United States Code, 

11 is amended by adding at the end the following new sub12 sections: 

13 ‘‘(c) AMENDMENTS.—Not later than 12 months after 

14 the date of enactment of the Commercial Space Launch 

15 Amendments Act of 2004, the Secretary shall publish pro16 posed regulations to carry out that Act, including regula17 tions relating to crew, space flight participants, and per18 mits for launch or reentry of reusable suborbital rockets. 

19 Not later than 18 months after such date of enactment, 

20 the Secretary shall issue final regulations. 

21 ‘‘(d) EFFECTIVE DATE.—(1) Licenses for the launch 

22 or reentry of launch vehicles or reentry vehicles with 

23 human beings on board and permits may be issued by the 

24 Secretary prior to the issuance of the regulations de25 scribed in subsection (c). 
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1 ‘‘(2) As soon as practicable after the date of enact2 ment of the Commercial Space Launch Amendments Act 

3 of 2004, the Secretary shall issue guidelines or advisory 

4 circulars to guide the implementation of that Act until 

5 regulations are issued. 

6 ‘‘(3) Notwithstanding paragraphs (1) and (2), no li7 censes for the launch or reentry of launch vehicles or re8 entry vehicles with human beings on board or permits may 

9 be issued starting three years after the date of enactment 

10 of the Commercial Space Launch Amendments Act of 

11 2004 unless the final regulations described in subsection 

12 (c) have been issued.’’. 

13 SEC. 4. STUDY ON THE GRADUAL ELIMINATION OF COM14 MERCIAL SPACE TRANSPORTATION LIABIL15 ITY RISK SHARING REGIME. 

16 Not later than 60 days after the date of enactment 

17 of this Act, the Secretary of Transportation shall enter 

18 into an appropriate arrangement with the National Acad19 emy of Public Administration to conduct a study of how 

20 best to gradually eliminate the liability risk sharing regime 

21 in the United States for commercial space transportation 

22 under section 70113 of title 49, United States Code. The 

23 study shall assess methods by which the liability risk shar24 ing regime could be eliminated by 2008 or as soon as pos25 sible thereafter and the impact those methods would be 
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1 likely to have on the commercial space transportation in2 dustry. The methods examined shall include incremental 

3 approaches. 

4 SEC. 5. TECHNICAL AMENDMENT. 

5 Section 102(c) of the Commercial Space Act of 1998 

6 is repealed.

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