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This is not an official legal edition of the United States Code. This is an editorial compilation of 

United States Code, 2000 Edition, with revisions to incorporate P.L. 108-428 which extended the 

liability indemnification regime and P.L. 108-492, the Commercial Space Launch Amendments 

Act of 2004. produced by the FAA Office of Commercial Space Transportation. Official legal 

editions of the United States Code are available through the Government Printing Office. 

49 USC CHAPTER 701 - COMMERCIAL SPACE LAUNCH ACTIVITIES 

TITLE 49 - TRANSPORTATION 

SUBTITLE IX - COMMERCIAL SPACE TRANSPORTATION 

CHAPTER 701 - COMMERCIAL SPACE LAUNCH ACTIVITIES 

 Sec. 

 70101. Findings and purposes. 

 70102. Definitions. 

 70103. General authority. 

 70104. Restrictions on launches, operations, and reentries. 

 70105. License applications and requirements.

 70105a. Experimental permits. 

 70106. Monitoring activities. 

 70107. Effective periods, and modifications, suspensions, and 

 revocations, of licenses. 

 70108. Prohibition, suspension, and end of launches, operation of 

 launch sites and reentry sites, and reentries. 

 70109. Preemption of scheduled launches or reentries. 

 70109a. Space advertising. 

 70110. Administrative hearings and judicial review. 

 70111. Acquiring United States Government property and services. 

 70112. Liability insurance and financial responsibility 

 requirements. 

 70113. Paying claims exceeding liability insurance and financial 

 responsibility requirements. 

 70114. Disclosing information. 

 70115. Enforcement and penalty. 

 70116. Consultation. 

 70117. Relationship to other executive agencies, laws, and 

 international obligations. 

 70118. User fees. 

 70119. Office of Commercial Space Transportation. 

 70120. Regulations. 

 70121. Report to Congress. 

 Sec. 70101. Findings and purposes 

 (a) Findings. - Congress finds that - 

 (1) the peaceful uses of outer space continue to be of great 

 value and to offer benefits to all mankind; 

 (2) private applications of space technology have achieved a 

 significant level of commercial and economic activity and offer 

 the potential for growth in the future, particularly in the 

 United States; 

 (3) new and innovative equipment and services are being sought, 

 produced, and offered by entrepreneurs in telecommunications, 

 information services, microgravity research, human space flight,

 and remote sensing technologies; 

 (4) the private sector in the United States has the capability 

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 of developing and providing private launching, reentry, 

 and associated services that would complement the launching, 

 reentry, and associated capabilities of the United 

 States Government; 

 (5) the development of commercial launch vehicles, reentry 

 vehicles, and associated services would enable the United States 

 to retain its competitive position internationally, contributing 

 to the national interest and economic well-being of the United 

 States; 

 (6) providing launch services and reentry services by the 

 private sector is consistent with the national security and 

 foreign policy interests of the United States and would be 

 facilitated by stable, minimal, and appropriate regulatory 

 guidelines that are fairly and expeditiously applied; 

 (7) the United States should encourage private sector launches, 

 reentries, and associated services and, only to the extent 

 necessary, regulate those launches, reentries, and services to 

 ensure compliance with international obligations of the United 

 States and to protect the public health and safety, safety of 

 property, and national security and foreign policy interests of 

 the United States; 

 (8) space transportation, including the establishment and 

 operation of launch sites, reentry sites, and complementary 

 facilities, the providing of launch services and reentry 

 services, the establishment of support facilities, and the 

 providing of support services, is an important element of the 

 transportation system of the United States, and in connection 

 with the commerce of the United States there is a need to develop 

 a strong space transportation infrastructure with significant 

 private sector involvement; 

 (9) the participation of State governments in encouraging and 

 facilitating private sector involvement in space-related 

 activity, particularly through the establishment of a space 

 transportation-related infrastructure, including launch sites, 

 reentry sites, complementary facilities, and launch site and 

 reentry site support facilities, is in the national interest and 

 is of significant public benefit; 

 (10) the goal of safely opening space to the American people and 

 their private commercial, scientific, and cultural enterprises 

 should guide Federal space investments, policies, and regulations; 

 (11) private industry has begun to develop commercial launch 

 vehicles capable of carrying human beings into space and greater 

 private investment in these efforts will stimulate the Nation’s 

 commercial space transportation industry as a whole; 

 (12) space transportation is inherently risky, and the future 

 of the commercial human space flight industry will depend on its 

 ability to continually improve its safety performance; 

 (13) a critical area of responsibility for the Department of 

 Transportation is to regulate the operations and safety of the 

 emerging commercial human space flight industry; 

 (14) the public interest is served by creating a clear 

 legal, regulatory, and safety regime for commercial human space 

 flight; and 

 (15) the regulatory standards governing human space flight 

 must evolve as the industry matures so that regulations neither 

 stifle technology development nor expose crew or space flight 

 participants to avoidable risks as the public comes to expect 

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 greater safety for crew and space flight participants from the 

 industry. 

 (b) Purposes. - The purposes of this chapter are - 

 (1) to promote economic growth and entrepreneurial activity 

 through use of the space environment for peaceful purposes; 

 (2) to encourage the United States private sector to provide 

 launch vehicles, reentry vehicles, and associated services by - 

 (A) simplifying and expediting the issuance and transfer of 

 commercial licenses; 

 (B) facilitating and encouraging the use of 

 Government-developed space technology; and 

 (C) promoting the continuous improvement of the safety of 

 launch vehicles designed to carry humans, including through 

 the issuance of regulations, to the extent permitted by this 

 chapter; 

 (3) to provide that the Secretary of Transportation is to 

 oversee and coordinate the conduct of commercial launch and 

 reentry operations, issue permits and 

 commercial licenses and transfer commercial licenses 

 authorizing those operations, and protect the public health and 

 safety, safety of property, and national security and foreign 

 policy interests of the United States; and 

 (4) to facilitate the strengthening and expansion of the United 

 States space transportation infrastructure, including the 

 enhancement of United States launch sites and launch-site support 

 facilities, and development of reentry sites, with Government, 

 State, and private sector involvement, to support the full range 

 of United States space-related activities. 

 

 Sec. 70102. Definitions 

 In this chapter - 

 (1) ''citizen of the United States'' means - 

 (A) an individual who is a citizen of the United States; 

 (B) an entity organized or existing under the laws of the 

 United States or a State; or 

 (C) an entity organized or existing under the laws of a 

 foreign country if the controlling interest (as defined by the 

 Secretary of Transportation) is held by an individual or entity 

 described in subclause (A) or (B) of this clause. 

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

 of a contractor or subcontractor of a licensee or transferee, who 

 performs activities in the course of that employment directly 

 relating to the launch, reentry, or other operation of or in a 

 launch vehicle or reentry vehicle that carries human beings. 

 (3) ''executive agency'' has the same meaning given that term 

 in section 105 of title 5. 

 (4) ''launch'' means to place or try to place a launch vehicle 

 or reentry vehicle and any payload, crew, or space flight 

 participant from Earth - 

 (A) in a suborbital trajectory; 

 (B) in Earth orbit in outer space; or 

 (C) otherwise in outer space, 

 including activities involved in the preparation of a launch 

 vehicle or payload for launch, when those activities take place 

 at a launch site in the United States. 

 (5) ''launch property'' means an item built for, or used in, 

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 the launch preparation or launch of a launch vehicle. 

 (6) ''launch services'' means - 

 (A) activities involved in the preparation of a launch 

 vehicle, payload, crew (including crew training), or space 

 flight participant for launch; and 

 (B) the conduct of a launch. 

 (7) ''launch site'' means the location on Earth from which a 

 launch takes place (as defined in a license the Secretary issues 

 or transfers under this chapter) and necessary facilities at that 

 location. 

 (8) ''launch vehicle'' means - 

 (A) a vehicle built to operate in, or place a payload or human 

 beings in, outer space; and 

 (B) a suborbital rocket. 

 (9) ''obtrusive space advertising'' means advertising in outer 

 space that is capable of being recognized by a human being on the 

 surface of the Earth without the aid of a telescope or other 

 technological device. 

 (10) ''payload'' means an object that a person undertakes to 

 place in outer space by means of a launch vehicle or reentry 

 vehicle, including components of the vehicle specifically 

 designed or adapted for that object. 

 (11) except in section 70104(c), ‘permit’ means an experimental 

 permit issued under section 70105a. 

 (12) ''person'' means an individual and an entity organized or 

 existing under the laws of a State or country. 

 (13) ''reenter'' and ''reentry'' mean to return or attempt to 

 return, purposefully, a reentry vehicle and its payload, crew, or 

 space flight participants, if any, from Earth orbit or from outer 

 space to Earth. 

 (14) ''reentry services'' means - 

 (A) activities involved in the preparation of a reentry 

 vehicle payload, crew (including crew training), 

 or space flight participant, if any, for reentry; and 

 (B) the conduct of a reentry. 

 (15) ''reentry site'' means the location on Earth to which a 

 reentry vehicle is intended to return (as defined in a license 

 the Secretary issues or transfers under this chapter). 

 (16) ''reentry vehicle'' means a vehicle designed to return 

 from Earth orbit or outer space to Earth, or a reusable launch 

 vehicle designed to return from Earth orbit or outer space to 

 Earth, substantially intact.

 (17) ‘space flight participant’ means an individual, who is 

 not crew, carried within a launch vehicle or reentry vehicle. 

 (18) ''State'' means a State of the United States, the District 

 of Columbia, and a territory or possession of the United States. 

 (19) unless and until regulations take effect under section 

 70120(c)(2), ‘suborbital rocket’ means a vehicle, rocket-propelled 

 in whole or in part, intended for flight on a suborbital 

 trajectory, and the thrust of which is greater than its lift 

 for the majority of the rocket-powered portion of its ascent. 

 (20) ‘suborbital trajectory’ means the intentional flight path 

 of a launch vehicle, reentry vehicle, or any portion thereof, 

 whose vacuum instantaneous impact point does not leave the 

 surface of the Earth. 

 (21) ''third party'' means a person except – 

 (A) the United States Government or the Government's 

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 contractors or subcontractors involved in launch services or 

 reentry services; 

 (B) a licensee or transferee under this chapter; 

 (C) a licensee's or transferee's contractors, subcontractors, 

 or customers involved in launch services or reentry services;

 (D) the customer's contractors or subcontractors involved in 

 launch services or reentry services; or 

 (E) crew or space flight participants. 

 (22) ''United States'' means the States of the United States, 

 the District of Columbia, and the territories and possessions of 

 the United States. 

 

 Sec. 70103. General authority 

 (a) General. - The Secretary of Transportation shall carry out 

 this chapter. 

 (b) Facilitating Commercial Launches and Reentries. - In carrying 

 out this chapter, the Secretary shall - 

 (1) encourage, facilitate, and promote commercial space 

 launches and reentries by the private sector including those 

 involving space flight participants; and 

 (2) take actions to facilitate private sector involvement in 

 commercial space transportation activity, and to promote 

 public-private partnerships involving the United States 

 Government, State governments, and the private sector to build, 

 expand, modernize, or operate a space launch and reentry 

 infrastructure.

 (c) Safety. — In carrying out the responsibilities under 

 subsection (b), the Secretary shall encourage, facilitate, and 

 promote the continuous improvement of the safety of launch 

 vehicles designed to carry humans, and the Secretary may, 

 consistent with this chapter, promulgate regulations to carry 

 out this subsection. 

 (d) Executive Agency Assistance. - When necessary, the head of an 

 executive agency shall assist the Secretary in carrying out this 

 chapter. 

 

 Sec. 70104. Restrictions on launches, operations, and reentries 

 (a) Requirement. – A license issued or transferred under 

 this chapter, or a permit, is required for the following: 

 (1) for a person to launch a launch vehicle or to operate a 

 launch site or reentry site, or to reenter a reentry vehicle, in 

 the United States. 

 (2) for a citizen of the United States (as defined in section 

 70102(1)(A) or (B) of this title) to launch a launch vehicle or 

 to operate a launch site or reentry site, or to reenter a reentry 

 vehicle, outside the United States. 

 (3) for a citizen of the United States (as defined in section 

 70102(1)(C) of this title) to launch a launch vehicle or to 

 operate a launch site or reentry site, or to reenter a reentry 

 vehicle, outside the United States and outside the territory of a 

 foreign country unless there is an agreement between the United 

 States Government and the government of the foreign country 

 providing that the government of the foreign country has 

 jurisdiction over the launch or operation or reentry. 

 (4) for a citizen of the United States (as defined in section 

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 70102(1)(C) of this title) to launch a launch vehicle or to 

 operate a launch site or reentry site, or to reenter a reentry 

 vehicle, in the territory of a foreign country if there is an 

 agreement between the United States Government and the government 

 of the foreign country providing that the United States 

 Government has jurisdiction over the launch or operation or 

 reentry. Notwithstanding this subsection, a permit shall not 

 authorize a person to operate a launch site or reentry site.

 (b) Compliance With Payload Requirements. - The holder of a 

 license or permit under this chapter may launch or reenter a payload only 

 if the payload complies with all requirements of the laws of the 

 United States related to launching or reentering a payload. 

 (c) Preventing Launches and Reentries. - The Secretary of 

 Transportation shall establish whether all required licenses, 

 authorizations, and permits required for a payload have been 

 obtained. If no license, authorization, or permit is required, the 

 Secretary may prevent the launch or reentry if the Secretary 

 decides the launch or reentry would jeopardize the public health 

 and safety, safety of property, or national security or foreign 

 policy interest of the United States. 

 (d) Single License or Permit.—The Secretary of Transportation 

 shall ensure that only 1 license or permit is required from the 

 Department of Transportation to conduct activities involving crew 

 or space flight participants, including launch and reentry, for 

 which a license or permit is required under this chapter. The 

 Secretary shall ensure that all Department of Transportation 

 regulations relevant to the licensed or permitted activity are 

 satisfied. 

 Sec. 70105. License applications and requirements 

 (a) Applications. - (1) A person may apply to the Secretary of 

 Transportation for a license or transfer of a license under this 

 chapter in the form and way the Secretary prescribes. Consistent 

 with the public health and safety, safety of property, and national 

 security and foreign policy interests of the United States, the 

 Secretary, not later than 180 days after receiving an application, 

 shall issue or transfer a license if the Secretary decides in 

 writing that the applicant complies, and will continue to comply, 

 with this chapter and regulations prescribed under this chapter. 

 The Secretary shall inform the applicant of any pending issue and 

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

 a decision not later than 120 days after receiving an application. 

 The Secretary shall transmit to the Committee on Science of the 

 House of Representatives and the Committee on Commerce, Science, 

 and Transportation of the Senate a written notice not later than 30 

 days after any occurrence when the Secretary has not taken action 

 on a license application within the deadline established by this 

 subsection. 

 (2) In carrying out paragraph (1), the Secretary may establish 

 procedures for safety approvals of launch vehicles, reentry 

 vehicles, safety systems, processes, services, or personnel 

 (including approval procedures for the purpose of protecting the 

 health and safety of crews and space flight participants, to the 

 extent permitted by subsections (b)and (c)) that may be used in 

 conducting licensed commercial space launch or reentry activities. 

 (b) Requirements. - (1) Except as provided in this subsection, 

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 all requirements of the laws of the United States applicable to the 

 launch of a launch vehicle or the operation of a launch site or a 

 reentry site, or the reentry of a reentry vehicle, are requirements 

 for a license or permit under this chapter. 

 (2) The Secretary may prescribe - 

 (A) any term necessary to ensure compliance with this chapter, 

 including on-site verification that a launch, operation, or 

 reentry complies with representations stated in the application; 

 (B) any additional requirement necessary to protect the public 

 health and safety, safety of property, national security 

 interests, and foreign policy interests of the United States; 

 (C) by regulation that a requirement of a law of the United 

 States not be a requirement for a license or permit if the 

 Secretary, after consulting with the head of the appropriate 

 executive agency, decides that the requirement is not necessary 

 to protect the public health and safety, safety of property, 

 and national security and foreign policy interests of the United 

 States; 

 (D) additional license requirements, for a launch vehicle 

 carrying a human being for compensation or hire, necessary to 

 protect the health and safety of crew or space flight participants, 

 only if such requirements are imposed pursuant to final regulations 

 issued in accordance with subsection (c); and 

 (E) regulations establishing criteria for accepting or rejecting 

 an application for a license or permit under this chapter within 

 60 days after receipt of such application. 

 (3) The Secretary may waive a requirement, including the 

 requirement to obtain a license, for an individual applicant if the 

 Secretary decides that the waiver is in the public interest and 

 will not jeopardize the public health and safety, safety of 

 property, and national security and foreign policy interests of the 

 United States. The Secretary may not grant a waiver under this 

 paragraph that would permit the launch or reentry of a launch 

 vehicle or a reentry vehicle without a license or permit if a 

 human being will be on board. 

 (4) The holder of a license or a permit under this chapter may 

 launch or reenter crew only if— 

 (A) the crew has received training and has satisfied medical 

 or other standards specified in the license or permit in 

 accordance with regulations promulgated by the Secretary; 

 (B) the holder of the license or permit has informed any 

 individual serving as crew in writing, prior to executing any 

 contract or other arrangement to employ that individual (or, in 

 the case of an individual already employed as of the date of 

 enactment of the Commercial Space Launch Amendments Act of 2004, 

 as early as possible, but in any event prior to any launch in 

 which the individual will participate as crew), that the United 

 States Government has not certified the launch vehicle as safe 

 for carrying crew or space flight participants; and 

 (C) the holder of the license or permit and crew have complied 

 with all requirements of the laws of the United States that apply 

 to crew. 

 (5) The holder of a license or a permit under this chapter may 

 launch or reenter a space flight participant only if— 

 (A) in accordance with regulations promulgated by the Secretary, 

 the holder of the license or permit has informed the space flight 

 participant in writing about the risks of the launch and reentry, 

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 including the safety record of the launch or reentry vehicle type, 

 and the Secretary has informed the space flight participant in 

 writing of any relevant information related to risk or probable 

 loss during each phase of flight gathered by the Secretary in making 

 the determination required by section 70112(a)(2) and (c); 

 (B) the holder of the license or permit has informed any space 

 flight participant in writing, prior to receiving any compensation 

 from that space flight participant or (in the case of a space 

 flight participant not providing compensation) otherwise concluding 

 any agreement to fly that space flight participant, that the United 

 States Government has not certified the launch vehicle as safe for 

 carrying crew or space flight participants; 

 (C) in accordance with regulations promulgated by the Secretary, 

 the space flight participant has provided written informed consent to 

 participate in the launch and reentry and written certification of 

 compliance with any regulations promulgated under paragraph (6)(A); and 

 (D) the holder of the license or permit has complied with any 

 regulations promulgated by the Secretary pursuant to paragraph (6). 

 (6)(A) The Secretary may issue regulations requiring space flight 

 participants to undergo an appropriate physical examination prior 

 to a launch or reentry under this chapter. This subparagraph shall 

 cease to be in effect three years after the date of enactment of 

 the Commercial Space Launch Amendments Act of 2004. 

 (B) The Secretary may issue additional regulations setting 

 reasonable requirements for space flight participants, including 

 medical and training requirements. Such regulations shall not be 

 effective before the expiration of 3 years after the date of 

 enactment of the Commercial Space Launch Amendments Act of 2004. 

 (c) Safety Regulations.— (1) The Secretary may issue regulations 

 governing the design or operation of a launch vehicle to protect 

 the health and safety of crew and space flight participants. 

 (2) Regulations issued under this subsection shall— 

 (A) describe how such regulations would be applied when the 

 Secretary is determining whether to issue a license under this 

 chapter; 

 (B) apply only to launches in which a vehicle will be carrying 

 a human being for compensation or hire; 

 (C) be limited to restricting or prohibiting design features 

 or operating practices that— 

 (i) have resulted in a serious or fatal injury (as defined in 

 49 CFR 830, as in effect on November 10, 2004) to crew or space 

 flight participants during a licensed or permitted commercial 

 human space flight; or 

 (ii) contributed to an unplanned event or series of events 

 during a licensed or permitted commercial human space flight 

 that posed a high risk of causing a serious or fatal injury 

 (as defined in 49 CFR 830, as in effect on November 10, 2004) 

 to crew or space flight participants; and 

 (D) be issued with a description of the instance or instances 

 when the design feature or operating practice being restricted 

 or prohibited contributed to a result or event described in 

 subparagraph (C). 

 (3) Beginning 8 years after the date of enactment of the 

 Commercial Space Launch Amendments Act of 2004, the Secretary 

 may propose regulations under this subsection without regard to 

 paragraph (2)(C) and (D). Any such regulations shall take into 

 consideration the evolving standards of safety in the commercial 

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 space flight industry. 

 (4) Nothing in this subsection shall be construed to limit the 

 authority of the Secretary to issue requirements or regulations 

 to protect the public health and safety, safety of property, 

 national security interests, and foreign policy interests of 

 the United States. 

 (d) Procedures and Timetables. - The Secretary shall establish 

 procedures and timetables that expedite review of a license or 

 permit application and reduce the regulatory burden for an 

 applicant.

 Sec. 70105a. Experimental permits 

 (a) A person may apply to the Secretary of Transportation for an 

 experimental permit under this section in the form and manner the 

 Secretary prescribes. Consistent with the protection of the public 

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

 foreign policy interests of the United States, the Secretary, not 

 later than 120 days after receiving an application pursuant to this 

 section, shall issue a permit if the Secretary decides in writing 

 that the applicant complies, and will continue to comply, with this 

 chapter and regulations prescribed under this chapter. The Secretary 

 shall inform the applicant of any pending issue and action required 

 to resolve the issue if the Secretary has not made a decision not 

 later than 90 days after receiving an application. The Secretary 

 shall transmit to the Committee on Science of the House of 

 Representatives and Committee on Commerce, Science, and 

 Transportation of the Senate a written notice not later than 

 15 days after any occurrence when the Secretary has failed to 

 act on a permit within the deadline established by this section. 

 (b) In carrying out subsection (a), the Secretary may establish 

 procedures for safety approvals of launch vehicles, reentry vehicles, 

 safety systems, processes, services, or personnel that may be used 

 in conducting commercial space launch or reentry activities pursuant 

 to a permit. 

 (c) In order to encourage the development of a commercial space 

 flight industry, the Secretary may when issuing permits use the 

 authority granted under section 70105(b)(2)(C). 

 (d) The Secretary may issue a permit only for reusable suborbital 

 rockets that will be launched or reentered solely for— 

 (1) research and development to test new design concepts, new 

 equipment, or new operating techniques; 

 (2) showing compliance with requirements as part of the process 

 for obtaining a license under this chapter; or 

 (3) crew training prior to obtaining a license for a launch or 

 reentry using the design of the rocket for which the permit 

 would be issued. 

 (e) Permits issued under this section shall — 

 (1) authorize an unlimited number of launches and reentries for 

 a particular suborbital rocket design for the uses described in 

 subsection (d); and 

 (2) specify the type of modifications that may be made to the 

 suborbital rocket without changing the design to an extent that 

 would invalidate the permit. 

 (f) Permits shall not be transferable. 

 (g) A permit may not be issued for, and a permit that has 

 already been issued shall cease to be valid for, a particular design 

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 for a reusable suborbital rocket after a license has been issued for 

 the launch or reentry of a rocket of that design. 

 (h) No person may operate a reusable suborbital rocket under a 

 permit for carrying any property or human being for compensation 

 or hire. 

 (i) For the purposes of sections 70106, 70107, 70108, 70109, 

 70110, 70112, 70115, 70116, 70117, and 70121 of this chapter— 

 (1) a permit shall be considered a license; 

 (2) the holder of a permit shall be considered a licensee; 

 (3) a vehicle operating under a permit shall be considered 

 to be licensed; and 

 (4) the issuance of a permit shall be considered licensing. 

 This subsection shall not be construed to allow the transfer of 

 a permit. 

 Sec. 70106. Monitoring activities 

 (a) General Requirements. - A licensee under this chapter must 

 allow the Secretary of Transportation to place an officer or 

 employee of the United States Government or another individual as 

 an observer at a launch site or reentry site the licensee uses, at 

 a production facility or assembly site a contractor of the licensee 

 uses to produce or assemble a launch vehicle or reentry vehicle at 

 a site used for crew or space flight participant training, or 

 at a site at which a payload is integrated with a launch vehicle or 

 reentry vehicle. The observer will monitor the activity of the 

 licensee or contractor at the time and to the extent the Secretary 

 considers reasonable to ensure compliance with the license or to 

 carry out the duties of the Secretary under section 70104(c), 

 70105, and 70105a of this title. A licensee must cooperate with 

 an observer carrying out this subsection. 

 (b) Contracts. - To the extent provided in advance in an 

 appropriation law, the Secretary may make a contract with a person 

 to carry out subsection (a) of this section. 

 

 Sec. 70107. Effective periods, and modifications, suspensions, and 

 revocations, of licenses 

 (a) Effective Periods of Licenses. - The Secretary of 

 Transportation shall specify the period for which a license issued 

 or transferred under this chapter is in effect. 

 (b) Modifications. – (1)On the initiative of the Secretary or on 

 application of the licensee, the Secretary may modify a license 

 issued or transferred under this chapter if the Secretary decides 

 the modification will comply with this chapter.

 (2) The Secretary shall modify a license issued or transferred 

 under this chapter whenever a modification is needed for the 

 license to be in conformity with a regulation that was issued 

 pursuant to section 70105(c) after the issuance of the license. 

 This paragraph shall not apply to permits. 

 (c) Suspensions and Revocations. - The Secretary may suspend or 

 revoke a license if the Secretary decides that - 

 (1) the licensee has not complied substantially with a 

 requirement of this chapter or a regulation prescribed under this 

 chapter; or 

 (2) the suspension or revocation is necessary to protect the 

 public health and safety, the safety of property, or a national 

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 security or foreign policy interest of the United States. 

 (d) Additional Suspensions.—(1) The Secretary may suspend a 

 license when a previous launch or reentry under the license has 

 resulted in a serious or fatal injury (as defined in 49 CFR 830, 

 as in effect on November 10, 2004) to crew or space flight 

 participants and the Secretary has determined that continued 

 operations under the license are likely to cause additional 

 serious or fatal injury (as defined in 49 CFR 830, as in effect 

 on November 10,2004) to crew or space flight participants. 

 (2) Any suspension imposed under this subsection shall be for 

 as brief a period as possible and,in any event, shall cease 

 when the Secretary— 

 (A) has determined that the licensee has taken sufficient 

 steps to reduce the likelihood of a recurrence of the serious 

 or fatal injury; or 

 (B) has modified the license pursuant to subsection (b) to 

 sufficiently reduce the likelihood of a recurrence of the 

 serious or fatal injury. 

 (3) This subsection shall not apply to permits. 

 (e) Effective Periods of Modifications, Suspensions, and 

 Revocations. - Unless the Secretary specifies otherwise, a 

 modification, suspension, or revocation under this section takes 

 effect immediately and remains in effect during a review under 

 section 70110 of this title. 

 (f) Notification. - The Secretary shall notify the licensee in 

 writing of the decision of the Secretary under this section and any 

 action the Secretary takes or proposes to take based on the 

 decision. 

 

 Sec. 70108. Prohibition, suspension, and end of launches, operation 

 of launch sites and reentry sites, and reentries 

 (a) General Authority. - The Secretary of Transportation may 

 prohibit, suspend, or end immediately the launch of a launch 

 vehicle or the operation of a launch site or reentry site, or 

 reentry of a reentry vehicle, licensed under this chapter if the 

 Secretary decides the launch or operation or reentry is detrimental 

 to the public health and safety, the safety of property, or a 

 national security or foreign policy interest of the United States. 

 (b) Effective Periods of Orders. - An order under this section 

 takes effect immediately and remains in effect during a review 

 under section 70110 of this title. 

 

 Sec. 70109. Preemption of scheduled launches or reentries 

 (a) General. - With the cooperation of the Secretary of Defense 

 and the Administrator of the National Aeronautics and Space 

 Administration, the Secretary of Transportation shall act to ensure 

 that a launch or reentry of a payload is not preempted from access 

 to a United States Government launch site, reentry site, or launch 

 property, except for imperative national need, when a launch date 

 commitment or reentry date commitment from the Government has been 

 obtained for a launch or reentry licensed under this chapter. A 

 licensee or transferee preempted from access to a launch site, 

 reentry site, or launch property does not have to pay the 

 Government any amount for launch services, or services related to a 

 reentry, attributable only to the scheduled launch or reentry 

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 prevented by the preemption. 

 (b) Imperative National Need Decisions. - In consultation with 

 the Secretary of Transportation, the Secretary of Defense or the 

 Administrator shall decide when an imperative national need 

 requires preemption under subsection (a) of this section. That 

 decision may not be delegated. 

 (c) Reports. - In cooperation with the Secretary of 

 Transportation, the Secretary of Defense or the Administrator, as 

 appropriate, shall submit to Congress not later than 7 days after a 

 decision to preempt under subsection (a) of this section, a report 

 that includes an explanation of the circumstances justifying the 

 decision and a schedule for ensuring the prompt launching or 

 reentry of a preempted payload. 

 

 Sec. 70109a. Space advertising 

 (a) Licensing. - Notwithstanding the provisions of this chapter 

 or any other provision of law, the Secretary may not, for the 

 launch of a payload containing any material to be used for the 

 purposes of obtrusive space advertising - 

 (1) issue or transfer a license under this chapter; or 

 (2) waive the license requirements of this chapter. 

 (b) Launching. - No holder of a license under this chapter may 

 launch a payload containing any material to be used for purposes of 

 obtrusive space advertising. 

 (c) Commercial Space Advertising. - Nothing in this section shall 

 apply to nonobtrusive commercial space advertising, including 

 advertising on - 

 (1) commercial space transportation vehicles; 

 (2) space infrastructure payloads; 

 (3) space launch facilities; and 

 (4) launch support facilities. 

 

 Sec. 70110. Administrative hearings and judicial review 

 (a) Administrative Hearings. - The Secretary of Transportation 

 shall provide an opportunity for a hearing on the record to - 

 (1) an applicant under this chapter, for a decision of the 

 Secretary under section 70105(a) or 70105a of this title to issue or 

 transfer a license with terms or deny the issuance or transfer of 

 a license; 

 (2) an owner or operator of a payload under this chapter, for a 

 decision of the Secretary under section 70104(c) of this title to 

 prevent the launch or reentry of the payload; and 

 (3) a licensee under this chapter, for a decision of the 

 Secretary under - 

 (A) section 70107(b) or (c) of this title to modify, suspend, 

 or revoke a license; or 

 (B) section 70108(a) of this title to prohibit, suspend, or 

 end a launch or operation of a launch site or reentry site, or 

 reentry of a reentry vehicle, licensed by the Secretary. 

 (b) Judicial Review. - A final action of the Secretary under this 

 chapter is subject to judicial review as provided in chapter 7 of 

 title 5. 

 Sec. 70111. Acquiring United States Government property and 

 Services 

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 (a) General Requirements and Considerations. - (1) The Secretary 

 of Transportation shall facilitate and encourage the acquisition by 

 the private sector and State governments of - 

 (A) launch or reentry property of the United States Government 

 that is excess or otherwise is not needed for public use; and 

 (B) launch services and reentry services, including utilities, 

 of the Government otherwise not needed for public use. 

 (2) In acting under paragraph (1) of this subsection, the 

 Secretary shall consider the commercial availability on reasonable 

 terms of substantially equivalent launch property or launch 

 services or reentry services from a domestic source, whether such 

 source is located on or off a Federal range. 

 (b) Price. - (1) In this subsection, ''direct costs'' means the 

 actual costs that - 

 (A) can be associated unambiguously with a commercial launch or 

 reentry effort; and 

 (B) the Government would not incur if there were no commercial 

 launch or reentry effort. 

 (2) In consultation with the Secretary, the head of the executive 

 agency providing the property or service under subsection (a) of 

 this section shall establish the price for the property or 

 service. The price for - 

 (A) acquiring launch property by sale or transaction instead of 

 sale is the fair market value; 

 (B) acquiring launch property (except by sale or transaction 

 instead of sale) is an amount equal to the direct costs, 

 including specific wear and tear and property damage, the 

 Government incurred because of acquisition of the property; and 

 (C) launch services or reentry services is an amount equal to 

 the direct costs, including the basic pay of Government civilian 

 and contractor personnel, the Government incurred because of 

 acquisition of the services. 

 (3) The Secretary shall ensure the establishment of uniform 

 guidelines for, and consistent implementation of, this section by 

 all Federal agencies. 

 (c) Collection by Secretary. - The Secretary may collect a 

 payment under this section with the consent of the head of the 

 executive agency establishing the price. Amounts collected under 

 this subsection shall be deposited in the Treasury. Amounts (except 

 for excess launch property) shall be credited to the appropriation 

 from which the cost of providing the property or services was paid. 

 (d) Collection by Other Governmental Heads. - The head of a 

 department, agency, or instrumentality of the Government may 

 collect a payment for an activity involved in producing a launch 

 vehicle or reentry vehicle, or the payload of either, for launch or 

 reentry if the activity was agreed to by the owner or manufacturer 

 of the launch vehicle, reentry vehicle, or payload. 

 

 Sec. 70112. Liability insurance and financial responsibility 

 Requirements 

 (a) General Requirements. - (1) When a launch or reentry license 

 is issued or transferred under this chapter, the licensee or 

 transferee shall obtain liability insurance or demonstrate 

 financial responsibility in amounts to compensate for the maximum 

 probable loss from claims by - 

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 (A) a third party for death, bodily injury, or property damage 

 or loss resulting from an activity carried out under the license; 

 and 

 (B) the United States Government against a person for damage or 

 loss to Government property resulting from an activity carried 

 out under the license. 

 (2) The Secretary of Transportation shall determine the amounts 

 required under paragraph (1)(A) and (B) of this subsection, after 

 consulting with the Administrator of the National Aeronautics and 

 Space Administration, the Secretary of the Air Force, and the heads 

 of other appropriate executive agencies. 

 (3) For the total claims related to one launch or reentry, a 

 licensee or transferee is not required to obtain insurance or 

 demonstrate financial responsibility of more than - 

 (A)(i) $500,000,000 under paragraph (1)(A) of this subsection; 

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 (ii) $100,000,000 under paragraph (1)(B) of this subsection; or 

 (B) the maximum liability insurance available on the world 

 market at reasonable cost if the amount is less than the 

 applicable amount in clause (A)(i) or (ii) of this paragraph. 

 (4) An insurance policy or demonstration of financial 

 responsibility under this subsection shall protect the following, 

 to the extent of their potential liability for involvement in 

 launch services or reentry services, at no cost to the Government: 

 (A) the Government. 

 (B) executive agencies and personnel, contractors, and 

 subcontractors of the Government. 

 (C) contractors, subcontractors, and customers of the licensee 

 or transferee. 

 (D) contractors and subcontractors of the customer. 

 (b) Reciprocal Waiver of Claims. - (1) A launch or reentry 

 license issued or transferred under this chapter shall contain a 

 provision requiring the licensee or transferee to make a reciprocal 

 waiver of claims with its contractors, subcontractors, and 

 customers, and contractors and subcontractors of the customers, 

 involved in launch services or reentry services under which each 

 party to the waiver agrees to be responsible for property damage or 

 loss it sustains, or for personal injury to, death of, or property 

 damage or loss sustained by its own employees resulting from an 

 activity carried out under the applicable license. 

 (2) The Secretary of Transportation shall make, for the 

 Government, executive agencies of the Government involved in launch 

 services or reentry services, and contractors and subcontractors 

 involved in launch services or reentry services, a reciprocal 

 waiver of claims with the licensee or transferee, contractors, 

 subcontractors, crew, space flight participants, and customers of 

 the licensee or transferee, and contractors and subcontractors of 

 the customers, involved in launch services or reentry services 

 under which each party to the waiver agrees to be responsible 

 for property damage or loss it sustains, or for personal injury 

 to, death of, or property damage or loss sustained by its own 

 employees or by space flight participants resulting from an activity 

 carried out under the applicable license. The waiver applies only to 

 the extent that claims are more than the amount of insurance or 

 demonstration of financial responsibility required under subsection 

 (a)(1)(B) of this section. After consulting with the Administrator 

 and the Secretary of the Air Force, the Secretary of Transportation 

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 may waive, for the Government and a department, agency, and 

 instrumentality of the Government, the right to recover damages for 

 damage or loss to Government property to the extent insurance is 

 not available because of a policy exclusion the Secretary of 

 Transportation decides is usual for the type of insurance involved. 

 (c) Determination of Maximum Probable Losses. - The Secretary of 

 Transportation shall determine the maximum probable losses under 

 subsection (a)(1)(A) and (B) of this section associated with an 

 activity under a license not later than 90 days after a licensee or 

 transferee requires a determination and submits all information the 

 Secretary requires. The Secretary shall amend the determination as 

 warranted by new information. 

 (d) Annual Report. - (1) Not later than November 15 of each year, 

 the Secretary of Transportation shall submit to the Committee on 

 Commerce, Science, and Transportation of the Senate and the 

 Committee on Science of the House of Representatives a report on 

 current determinations made under subsection (c) of this section 

 related to all issued licenses and the reasons for the 

 determinations. 

 (2) Not later than May 15 of each year, the Secretary of 

 Transportation shall review the amounts specified in subsection 

 (a)(3)(A) of this section and submit a report to Congress that 

 contains proposed adjustments in the amounts to conform with 

 changed liability expectations and availability of insurance on the 

 world market. The proposed adjustment takes effect 30 days after a 

 report is submitted. 

 (e) Launches or Reentries Involving Government Facilities and 

 Personnel. - The Secretary of Transportation shall establish 

 requirements consistent with this chapter for proof of financial 

 responsibility and other assurances necessary to protect the 

 Government and its executive agencies and personnel from liability, 

 death, bodily injury, or property damage or loss as a result of a 

 launch or operation of a launch site or reentry site or a reentry 

 involving a facility or personnel of the Government. The Secretary 

 may not relieve the Government of liability under this subsection 

 for death, bodily injury, or property damage or loss resulting from 

 the willful misconduct of the Government or its agents. 

 (f) Collection and Crediting Payments. - The head of a 

 department, agency, or instrumentality of the Government shall 

 collect a payment owed for damage or loss to Government property 

 under its jurisdiction or control resulting from an activity 

 carried out under a launch or reentry license issued or transferred 

 under this chapter. The payment shall be credited to the current 

 applicable appropriation, fund, or account of the department, 

 agency, or instrumentality. 

 

 Sec. 70113. Paying claims exceeding liability insurance and 

 financial responsibility requirements 

 (a) General Requirements. - (1) To the extent provided in advance 

 in an appropriation law or to the extent additional legislative 

 authority is enacted providing for paying claims in a compensation 

 plan submitted under subsection (d) of this section, the Secretary 

 of Transportation shall provide for the payment by the United 

 States Government of a successful claim (including reasonable 

 litigation or settlement expenses) of a third party against a 

 licensee or transferee under this chapter, a contractor, 

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 subcontractor, or customer of the licensee or transferee, or a 

 contractor or subcontractor of a customer, but not against a space 

 flight participant, resulting from an activity carried out under 

 the license issued or transferred under this chapter for death, 

 bodily injury, or property damage or loss resulting from an 

 activity carried out under the license. However, claims may be 

 paid under this section only to the extent the total amount of 

 successful claims related to one launch or reentry - 

 (A) is more than the amount of insurance or demonstration of 

 financial responsibility required under section 70112(a)(1)(A) of 

 this title; and 

 (B) is not more than $1,500,000,000 (plus additional amounts 

 necessary to reflect inflation occurring after January 1, 1989) 

 above that insurance or financial responsibility amount. 

 (2) The Secretary may not provide for paying a part of a claim 

 for which death, bodily injury, or property damage or loss results 

 from willful misconduct by the licensee or transferee. To the 

 extent insurance required under section 70112(a)(1)(A) of this 

 title is not available to cover a successful third party liability 

 claim because of an insurance policy exclusion the Secretary 

 decides is usual for the type of insurance involved, the Secretary 

 may provide for paying the excluded claims without regard to the 

 limitation contained in section 70112(a)(1). 

 (b) Notice, Participation, and Approval. - Before a payment under 

 subsection (a) of this section is made - 

 (1) notice must be given to the Government of a claim, or a 

 civil action related to the claim, against a party described in 

 subsection (a)(1) of this section for death, bodily injury, or 

 property damage or loss; 

 (2) the Government must be given an opportunity to participate 

 or assist in the defense of the claim or action; and 

 (3) the Secretary must approve any part of a settlement to be 

 paid out of appropriations of the Government. 

 (c) Withholding Payments. - The Secretary may withhold a payment 

 under subsection (a) of this section if the Secretary certifies 

 that the amount is not reasonable. However, the Secretary shall 

 deem to be reasonable the amount of a claim finally decided by a 

 court of competent jurisdiction. 

 (d) Surveys, Reports, and Compensation Plans. - (1) If as a 

 result of an activity carried out under a license issued or 

 transferred under this chapter the total of claims related to one 

 launch or reentry is likely to be more than the amount of required 

 insurance or demonstration of financial responsibility, the 

 Secretary shall - 

 (A) survey the causes and extent of damage; and 

 (B) submit expeditiously to Congress a report on the results of 

 the survey. 

 (2) Not later than 90 days after a court determination indicates 

 that the liability for the total of claims related to one launch or 

 reentry may be more than the required amount of insurance or 

 demonstration of financial responsibility, the President, on the 

 recommendation of the Secretary, shall submit to Congress a 

 compensation plan that - 

 (A) outlines the total dollar value of the claims; 

 (B) recommends sources of amounts to pay for the claims; 

 (C) includes legislative language required to carry out the 

 plan if additional legislative authority is required; and 

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 (D) for a single event or incident, may not be for more than 

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 (3) A compensation plan submitted to Congress under paragraph (2) 

 of this subsection shall - 

 (A) have an identification number; and 

 (B) be submitted to the Senate and the House of Representatives 

 on the same day and when the Senate and House are in session. 

 (e) Congressional Resolutions. - (1) In this subsection, 

 ''resolution'' - 

 (A) means a joint resolution of Congress the matter after the 

 resolving clause of which is as follows: ''That the Congress 

 approves the compensation plan numbered _ _ _ _ _ submitted to 

 the Congress on _ _ _ _ _ _ _, 20_ _.'', with the blank spaces 

 being filled appropriately; but 

 (B) does not include a resolution that includes more than one 

 compensation plan. 

 (2) The Senate shall consider under this subsection a 

 compensation plan requiring additional appropriations or 

 legislative authority not later than 60 calendar days of continuous 

 session of Congress after the date on which the plan is submitted 

 to Congress. 

 (3) A resolution introduced in the Senate shall be referred 

 immediately to a committee by the President of the Senate. All 

 resolutions related to the same plan shall be referred to the same 

 committee. 

 (4)(A) If the committee of the Senate to which a resolution has 

 been referred does not report the resolution within 20 calendar 

 days after it is referred, a motion is in order to discharge the 

 committee from further consideration of the resolution or to 

 discharge the committee from further consideration of the plan. 

 (B) A motion to discharge may be made only by an individual 

 favoring the resolution and is highly privileged (except that the 

 motion may not be made after the committee has reported a 

 resolution on the plan). Debate on the motion is limited to one 

 hour, to be divided equally between those favoring and those 

 opposing the resolution. An amendment to the motion is not in 

 order. A motion to reconsider the vote by which the motion is 

 agreed to or disagreed to is not in order. 

 (C) If the motion to discharge is agreed to or disagreed to, the 

 motion may not be renewed and another motion to discharge the 

 committee from another resolution on the same plan may not be made. 

 (5)(A) After a committee of the Senate reports, or is discharged 

 from further consideration of, a resolution, a motion to proceed to 

 the consideration of the resolution is in order at any time, even 

 though a similar previous motion has been disagreed to. The motion 

 is highly privileged and is not debatable. An amendment to the 

 motion is not in order. A motion to reconsider the vote by which 

 the motion is agreed to or disagreed to is not in order. 

 (B) Debate on the resolution referred to in subparagraph (A) of 

 this paragraph is limited to not more than 10 hours, to be divided 

 equally between those favoring and those opposing the resolution. 

 A motion further to limit debate is not debatable. An amendment 

 to, or motion to recommit, the resolution is not in order. A 

 motion to reconsider the vote by which the resolution is agreed to 

 or disagreed to is not in order. 

 (6) The following shall be decided in the Senate without debate: 

 (A) a motion to postpone related to the discharge from 

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 (B) a motion to postpone consideration of a resolution. 

 (C) a motion to proceed to the consideration of other business. 

 (D) an appeal from a decision of the chair related to the 

 application of the rules of the Senate to the procedures related 

 to a resolution. 

 (f) Application. - This section applies to a license issued or 

 transferred under this chapter for which the Secretary receives a 

 complete and valid application not later than December 31, 2009.1

 This section does not apply to permits.

 

 Sec. 70114. Disclosing information 

 The Secretary of Transportation, an officer or employee of the 

 United States Government, or a person making a contract with the 

 Secretary under section 70106(b) of this title may disclose 

 information under this chapter that qualifies for an exemption 

 under section 552(b)(4) of title 5 or is designated as confidential 

 by the person or head of the executive agency providing the 

 information only if the Secretary decides withholding the 

 information is contrary to the public or national interest. 

 

 Sec. 70115. Enforcement and penalty 

 (a) Prohibitions. - A person may not violate this chapter, a 

 regulation prescribed under this chapter, or any term of a license 

 issued or transferred under this chapter. 

 (b) General Authority. - (1) In carrying out this chapter, the 

 Secretary of Transportation may - 

 (A) conduct investigations and inquiries; 

 (B) administer oaths; 

 (C) take affidavits; and 

 (D) under lawful process - 

 (i) enter at a reasonable time a launch site, reentry site, 

 production facility, assembly site of a launch vehicle or 

 reentry vehicle, crew or space flight participant training 

 site, or site at which a payload is integrated with 

 a launch vehicle or reentry vehicle to inspect an object to 

 which this chapter applies or a record or report the Secretary 

 requires be made or kept under this chapter; and 

 (ii) seize the object, record, or report when there is 

 probable cause to believe the object, record, or report was 

 used, is being used, or likely will be used in violation of 

 this chapter. 

 (2) The Secretary may delegate a duty or power under this chapter 

 related to enforcement to an officer or employee of another 

 executive agency with the consent of the head of the agency. 

 (c) Civil Penalty. - (1) After notice and an opportunity for a 

 hearing on the record, a person the Secretary finds to have 

 violated subsection (a) of this section is liable to the United 

 States Government for a civil penalty of not more than $100,000. A 

 separate violation occurs for each day the violation continues. 

 (2) In conducting a hearing under paragraph (1) of this 

 subsection, the Secretary may - 

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 (A) subpoena witnesses and records; and 

 (B) enforce a subpoena in an appropriate district court of the 

 United States. 

 (3) The Secretary shall impose the civil penalty by written 

 notice. The Secretary may compromise or remit a penalty imposed, 

 or that may be imposed, under this section. 

 (4) The Secretary shall recover a civil penalty not paid after 

 the penalty is final or after a court enters a final judgment for 

 the Secretary. 

 

 Sec. 70116. Consultation 

 (a) Matters Affecting National Security. - The Secretary of 

 Transportation shall consult with the Secretary of Defense on a 

 matter under this chapter affecting national security. The 

 Secretary of Defense shall identify and notify the Secretary of 

 Transportation of a national security interest relevant to an 

 activity under this chapter. 

 (b) Matters Affecting Foreign Policy. - The Secretary of 

 Transportation shall consult with the Secretary of State on a 

 matter under this chapter affecting foreign policy. The Secretary 

 of State shall identify and notify the Secretary of Transportation 

 of a foreign policy interest or obligation relevant to an activity 

 under this chapter. 

 (c) Other Matters. - In carrying out this chapter, the Secretary 

 of Transportation shall consult with the head of another executive 

 agency - 

 (1) to provide consistent application of licensing requirements 

 under this chapter; 

 (2) to ensure fair treatment for all license applicants; and 

 (3) when appropriate. 

 

 Sec. 70117. Relationship to other executive agencies, laws, and 

 international obligations 

 (a) Executive Agencies. - Except as provided in this chapter, a 

 person is not required to obtain from an executive agency a 

 license, approval, waiver, or exemption to launch a launch vehicle 

 or operate a launch site or reentry site, or to reenter a reentry 

 vehicle. 

 (b) Federal Communications Commission and Secretary of Commerce. 

 - This chapter does not affect the authority of - 

 (1) the Federal Communications Commission under the 

 Communications Act of 1934 (47 U.S.C. 151 et seq.); or 

 (2) the Secretary of Commerce under the Land Remote Sensing 

 Policy Act of 1992 (15 U.S.C. 5601 et seq.). 

 (c) States and Political Subdivisions. - A State or political 

 subdivision of a State - 

 (1) may not adopt or have in effect a law, regulation, 

 standard, or order inconsistent with this chapter; but 

 (2) may adopt or have in effect a law, regulation, standard, or 

 order consistent with this chapter that is in addition to or more 

 stringent than a requirement of, or regulation prescribed under, 

 this chapter. 

 (d) Consultation. - The Secretary of Transportation is encouraged 

 to consult with a State to simplify and expedite the approval of a 

 space launch or reentry activity. 

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 (e) Foreign Countries. - The Secretary of Transportation shall - 

 (1) carry out this chapter consistent with an obligation the 

 United States Government assumes in a treaty, convention, or 

 agreement in force between the Government and the government of a 

 foreign country; and 

 (2) consider applicable laws and requirements of a foreign 

 country when carrying out this chapter. 

 (f) Launch Not an Export; Reentry Not an Import. - A launch 

 vehicle, reentry vehicle, or payload that is launched or reentered 

 is not, because of the launch or reentry, an export or import, 

 respectively, for purposes of a law controlling exports or imports, 

 except that payloads launched pursuant to foreign trade zone 

 procedures as provided for under the Foreign Trade Zones Act (19 

 U.S.C. 81a-81u) shall be considered exports with regard to customs 

 entry. 

 (g) Nonapplication. - This chapter does not apply to - 

 (1) a launch, reentry, operation of a launch vehicle or reentry 

 vehicle, operation of a launch site or reentry site, or other 

 space activity the Government carries out for the Government; or 

 (2) planning or policies related to the launch, reentry, 

 operation, or activity. 

 

 Sec. 70118. User fees 

 The Secretary of Transportation may collect a user fee for a 

 regulatory or other service conducted under this chapter only if 

 specifically authorized by this chapter. 

 

 Sec. 70119. Office of Commercial Space Transportation 

 There are authorized to be appropriated to the Secretary of 

 Transportation for the activities of the Office of the Associate 

 Administrator for Commercial Space Transportation - 

 (1) $12,607,000 for fiscal year 2001; and 

 (2) $16,478,000 for fiscal year 2002. 

 

 Sec. 70120. Regulations 

 (a) In General. - The Secretary of Transportation, within 9 

 months after the date of the enactment of this section, shall issue 

 regulations to carry out this chapter that include - 

 (1) guidelines for industry and State governments to obtain 

 sufficient insurance coverage for potential damages to third 

 parties; 

 (2) procedures for requesting and obtaining licenses to launch 

 a commercial launch vehicle; 

 (3) procedures for requesting and obtaining operator licenses 

 for launch; 

 (4) procedures for requesting and obtaining launch site 

 operator licenses; and 

 (5) procedures for the application of government 

 indemnification. 

 (b) Reentry. - The Secretary of Transportation, within 6 months 

 after the date of the enactment of this section, shall issue a 

 notice of proposed rulemaking to carry out this chapter that 

 includes - 

 (1) procedures for requesting and obtaining licenses to reenter 

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 a reentry vehicle; 

 (2) procedures for requesting and obtaining operator licenses 

 for reentry; and 

 (3) procedures for requesting and obtaining reentry site 

 operator licenses. 

 (c) Amendments. — (1) Not later than 12 months after the date 

 of enactment of the Commercial Space Launch Amendments Act of 

 2004, the Secretary shall publish proposed regulations to carry 

 out that Act, including regulations relating to crew, space flight 

 participants, and permits for launch or reentry of reusable 

 suborbital rockets. Not later than 18 months after such date of 

 enactment, the Secretary shall issue final regulations. 

 (2)(A) Starting 3 years after the date of enactment of the 

 Commercial Space Launch Amendments Act of 2004, the Secretary 

 may issue final regulations changing the definition of suborbital 

 rocket under this chapter. No such regulation may take effect 

 until 180 days after the Secretary has submitted the regulation 

 to the Congress. 

 (B) The Secretary may issue regulations under this paragraph 

 only if the Secretary has determined that the definition in 

 section 70102 does not describe, or will not continue to 

 describe, all appropriate vehicles and only those vehicles. 

 In making that determination, the Secretary shall take into 

 account the evolving nature of the commercial space launch 

 industry. 

 (d) Effective Date. — (1) Licenses for the launch or reentry of 

 launch vehicles or reentry vehicles with human beings on board 

 and permits may be issued by the Secretary prior to the issuance 

 of the regulations described in subsection (c). 

 (2) As soon as practicable after the date of enactment of the 

 Commercial Space Launch Amendments Act of 2004, the Secretary 

 shall issue guidelines or advisory circulars to guide the 

 implementation of that Act until regulations are issued. 

 (3) Notwithstanding paragraphs (1) and (2), no licenses for 

 the launch or reentry of launch vehicles or reentry vehicles with 

 human beings on board or permits may be issued starting three 

 years after the date of enactment of the Commercial Space Launch 

 Amendments Act of 2004 unless the final regulations described in 

 subsection (c) have been issued. 

 Sec. 70121. Report to Congress 

 The Secretary of Transportation shall submit to Congress an 

 annual report to accompany the President's budget request that - 

 (1) describes all activities undertaken under this chapter, 

 including a description of the process for the application for 

 and approval of licenses under this chapter and recommendations 

 for legislation that may further commercial launches and 

 reentries; and 

 (2) reviews the performance of the regulatory activities and 

 the effectiveness of the Office of Commercial Space 

 Transportation. 

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