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[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3936 Reported in House (RH)]

                                                 Union Calendar No. 438

104th CONGRESS

  2d Session

                               H. R. 3936

                      [Report No. 104-801, Part I]

_______________________________________________________________________

                                 A BILL

  To encourage the development of a commercial space industry in the 
                 United States, and for other purposes.

_______________________________________________________________________

                           September 17, 1996

        Reported from the Committee on Science with an amendment

                           September 17, 1996

 Referral to the Committee on Government Reform and Oversight extended 
             for a period not later than September 17, 1996

                           September 17, 1996

The Committee on Government Reform and Oversight discharged; committed 
   to the Committee of the Whole House on the State of the Union and 
                         ordered to be printed

                                                 Union Calendar No. 438
104th CONGRESS
  2d Session
                                H. R. 3936

                      [Report No. 104-801, Part I]

  To encourage the development of a commercial space industry in the 
                 United States, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             August 1, 1996

Mr. Walker (for himself, Mr. Sensenbrenner, Mr. Largent, Mr. Weldon of 
 Florida, Mr. Rohrabacher, Mr. Hilleary, Mr. Stockman, Mr. Davis, Mr. 
   Calvert, Mr. Baker of California, Mrs. Seastrand, and Mr. Tiahrt) 
 introduced the following bill; which was referred to the Committee on 
  Science, and in addition to the Committee on Government Reform and 
 Oversight, for a period to be subsequently determined by the Speaker, 
 in each case for consideration of such provisions as fall within the 
                jurisdiction of the committee concerned

                           September 17, 1996

        Reported from the Committee on Science with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

                           September 17, 1996

 Referral to the Committee on Government Reform and Oversight extended 
             for a period not later than September 17, 1996

                           September 17, 1996

The Committee on Government Reform and Oversight discharged; committed 
   to the Committee of the Whole House on the State of the Union and 
                         ordered to be printed
[For text of introduced bill, see copy of bill as introduced on August 
                                1, 1996]

                                 A BILL

 
  To encourage the development of a commercial space industry in the 
                 United States, and for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Space 
Commercialization Promotion Act of 1996''.
    (b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.

          TITLE I--PROMOTION OF COMMERCIAL SPACE OPPORTUNITIES

Sec. 101. Commercialization of space station.
Sec. 102. Commercial space launch amendments.
Sec. 103. Exceptions to employment restrictions.
Sec. 104. Launch voucher demonstration program.
Sec. 105. Promotion of United States Global Positioning System 
                            standards.
Sec. 106. Purchase of space science data.

                        TITLE II--REMOTE SENSING

Sec. 201. Land Remote Sensing Policy Act of 1992 amendments.
Sec. 202. Acquisition of earth remote sensing data.

    TITLE III--FEDERAL ACQUISITION OF SPACE TRANSPORTATION SERVICES

Sec. 301. Requirement to procure commercial space transportation 
                            services.
Sec. 302. Acquisition of space transportation services.
Sec. 303. Launch Services Purchase Act of 1990 amendments.
Sec. 304. Use of excess intercontinental ballistic missiles.

SEC. 2. DEFINITIONS.

    For purposes of this Act--
            (1) the term ``Administrator'' means the Administrator of 
        the National Aeronautics and Space Administration;
            (2) the term ``commercial provider'' means any person 
        providing space transportation services or other space-related 
        activities, primary control of which is held by persons other 
        than Federal, State, local, and foreign governments;
            (3) the term ``payload'' means anything that a person 
        undertakes to transport to, from, or within outer space, or in 
        suborbital trajectory, by means of a space transportation 
        vehicle, but does not include the space transportation vehicle 
        itself except for its components which are specifically 
        designed or adapted for that payload;
            (4) the term ``space-related activities'' includes research 
        and development, manufacturing, processing, service, and other 
        associated and support activities;
            (5) the term ``space transportation services'' means the 
        preparation of a space transportation vehicle and its payloads 
        for transportation to, from, or within outer space, or in 
        suborbital trajectory, and the conduct of transporting a 
        payload to, from, or within outer space, or in suborbital 
        trajectory;
            (6) the term ``space transportation vehicle'' means any 
        vehicle constructed for the purpose of operating in, or 
        transporting a payload to, from, or within, outer space, or in 
        suborbital trajectory, and includes any component of such 
        vehicle not specifically designed or adapted for a payload;
            (7) the term ``State'' means each of the several States of 
        the Union, the District of Columbia, the Commonwealth of Puerto 
        Rico, the Virgin Islands, Guam, American Samoa, the 
Commonwealth of the Northern Mariana Islands, and any other 
commonwealth, territory, or possession of the United States; and
            (8) the term ``United States commercial provider'' means a 
        commercial provider, organized under the laws of the United 
        States or of a State, which is--
                    (A) more than 50 percent owned by United States 
                nationals; or
                    (B) a subsidiary of a foreign company and the 
                Secretary of Transportation finds that--
                            (i) such subsidiary has in the past 
                        evidenced a substantial commitment to the 
                        United States market through--
                                    (I) investments in the United 
                                States in long-term research, 
                                development, and manufacturing 
                                (including the manufacture of major 
                                components and subassemblies); and
                                    (II) significant contributions to 
                                employment in the United States; and
                            (ii) the country or countries in which such 
                        foreign company is incorporated or organized, 
                        and, if appropriate, in which it principally 
                        conducts its business, affords reciprocal 
                        treatment to companies described in 
                        subparagraph (A) comparable to that afforded to 
                        such foreign company's subsidiary in the United 
                        States, as evidenced by--
                                    (I) providing comparable 
                                opportunities for companies described 
                                in subparagraph (A) to participate in 
                                Government sponsored research and 
                                development similar to that authorized 
                                under this Act;
                                    (II) providing no barriers to 
                                companies described in subparagraph (A) 
                                with respect to local investment 
                                opportunities that are not provided to 
                                foreign companies in the United States; 
                                and
                                    (III) providing adequate and 
                                effective protection for the 
                                intellectual property rights of 
                                companies described in subparagraph 
                                (A).

          TITLE I--PROMOTION OF COMMERCIAL SPACE OPPORTUNITIES

SEC. 101. COMMERCIALIZATION OF SPACE STATION.

    (a) Policy.--The Congress declares that a priority goal of 
constructing the International Space Station is the economic 
development of Earth orbital space. The Congress further declares that 
free and competitive markets create the most efficient conditions for 
promoting economic development, and should therefore govern the 
economic development of Earth orbital space. The Congress further 
declares that free market principles should be used in operating and 
adding capabilities to the Space Station whenever possible.
    (b) Report.--The Administrator shall deliver to the Congress, 
within 60 days after the date of the enactment of this Act, a market 
study that examines the role of commercial ventures which could supply, 
use, service, or augment the International Space Station, the specific 
policies and initiatives the Administrator is advancing to encourage 
these commercial opportunities, the cost savings to be realized by the 
international partnership from applying commercial approaches to cost-
shared operations, and the cost reimbursements to the United States 
Government from commercial users of the Space Station.

SEC. 102. COMMERCIAL SPACE LAUNCH AMENDMENTS.

    (a) Amendments.--Chapter 701 of title 49, United States Code, is 
amended--
            (1) in the table of sections--
                    (A) by amending the item relating to section 70104 
                to read as follows:

``70104. Restrictions on launches, operations, and reentries.'';
                    (B) by amending the item relating to section 70108 
                to read as follows:

``70108. Prohibition, suspension, and end of launches, operation of 
                            launch sites and reentry sites, and 
                            reentries.'';
                    (C) by amending the item relating to section 70109 
                to read as follows:

``70109. Preemption of scheduled launches or reentries.'';
                and
                    (D) by adding at the end the following new items:

``70120. Regulations.
``70121. Report to Congress.'';
            (2) in section 70101--
                    (A) by inserting ``microgravity research,'' after 
                ``information services,'' in subsection (a)(3);
                    (B) by inserting ``, reentry,'' after ``launching'' 
                both places it appears in subsection (a)(4);
                    (C) by inserting ``, reentry vehicles,'' after 
                ``launch vehicles'' in subsection (a)(5);
                    (D) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(6);
                    (E) by inserting ``, reentries,'' after 
                ``launches'' both places it appears in subsection 
                (a)(7);
                    (F) by inserting ``, reentry sites,'' after 
                ``launch sites'' in subsection (a)(8);
                    (G) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(8);
                    (H) by inserting ``reentry sites,'' after ``launch 
                sites,'' in subsection (a)(9);
                    (I) by inserting ``and reentry site'' after 
                ``launch site'' in subsection (a)(9);
                    (J) by inserting ``, reentry vehicles,'' after 
                ``launch vehicles'' in subsection (b)(2);
                    (K) by striking ``launch'' in subsection (b)(2)(A);
                    (L) by inserting ``and reentry'' after ``conduct of 
                commercial launch'' in subsection (b)(3);
                    (M) by striking ``launch'' after ``and transfer 
                commercial'' in subsection (b)(3); and
                    (N) by inserting ``and development of reentry 
                sites,'' after ``launch-site support facilities,'' in 
                subsection (b)(4);
            (3) in section 70102--
                    (A) by striking ``and any payload'' and inserting 
                in lieu thereof ``or reentry vehicle and any payload 
                from Earth'' in paragraph (3);
                    (B) in paragraph (5)--
                            (i) by redesignating subparagraphs (A) and 
                        (B) as subparagraphs (B) and (C), respectively; 
                        and
                            (ii) by inserting before subparagraph (B), 
                        as so redesignated by clause (i) of this 
                        subparagraph, the following new subparagraph:
                    ``(A) activities directly related to the 
                preparation of a launch site or payload facility for 
                one or more launches;'';
                    (C) by inserting ``or reentry vehicle'' after 
                ``means of a launch vehicle'' in paragraph (8);
                    (D) by redesignating paragraphs (10) through (12) 
                as paragraphs (14) through (16), respectively;
                    (E) by inserting after paragraph (9) the following 
                new paragraphs:
            ``(10) `reenter' and `reentry' mean to return or attempt to 
        return, purposefully, a reentry vehicle and its payload, if 
        any, from Earth orbit or from outer space to Earth.
            ``(11) `reentry services' means--
                    ``(A) activities involved in the preparation of a 
                reentry vehicle and its payload, if any, for reentry; 
                and
                    ``(B) the conduct of a reentry.
            ``(12) `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).
            ``(13) `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 outer space to Earth, 
        substantially intact.''; and
                    (F) by inserting ``or reentry services'' after 
                ``launch services'' each place it appears in paragraph 
                (15), as so redesignated by subparagraph (D) of this 
                paragraph;
            (4) in section 70103--
                    (A) by striking ``The Secretary'' in subsection (a) 
                and inserting in lieu thereof ``Except as provided in 
                section 70122, the Secretary''; and
                    (B) in subsection (b)--
                            (i) by inserting ``and Reentries and State 
                        Sponsored Spaceports'' after ``Launches'' in 
                        the subsection heading;
                            (ii) by striking ``by the private sector'' 
                        in paragraph (1) and inserting in lieu thereof 
                        ``and reentries by the private sector and State 
                        sponsored spaceports'' after ``space 
                        launches''; and
                            (iii) by inserting ``and reentry'' after 
                        ``space launch'' in paragraph (2);
            (5) in section 70104--
                    (A) by amending the section designation and heading 
                to read as follows:
``Sec. 70104. Restrictions on launches, operations, and reentries'';
                    (B) by inserting ``or reentry site, or to reenter a 
                reentry vehicle,'' after ``operate a launch site'' each 
                place it appears in subsection (a);
                    (C) by inserting ``or reentry'' after ``launch or 
                operation'' in subsection (a)(3) and (4);
                    (D) in subsection (b)--
                            (i) by striking ``launch license'' and 
                        inserting in lieu thereof ``license'';
                            (ii) by inserting ``or reenter'' after 
                        ``may launch''; and
                            (iii) by inserting ``or reentering'' after 
                        ``related to launching''; and
                    (E) in subsection (c)--
                            (i) by amending the subsection heading to 
                        read as follows: ``Preventing Launches and 
                        Reentries.--'';
                            (ii) by inserting ``or reentry'' after 
                        ``prevent the launch''; and
                            (iii) by inserting ``or reentry'' after 
                        ``decides the launch'';
            (6) in section 70105--
                    (A) by inserting ``(1)'' before ``A person may 
                apply'' in subsection (a);
                    (B) by striking ``receiving an application'' both 
                places it appears in subsection (a) and inserting in 
                lieu thereof ``accepting an application in accordance 
                with criteria established pursuant to subsection 
                (b)(2)(D)'';
                    (C) by inserting at the end of subsection (a) the 
                following: ``The Secretary shall submit 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 7 days after any occurrence when a license is not 
                issued within the deadline established by this 
                subsection.'';
                    (D) by adding at the end of subsection (a) the 
                following new paragraph:
    ``(2) In carrying out paragraph (1), the Secretary may establish 
procedures for certification of the safety of launch vehicles, reentry 
vehicles, safety systems, procedures, services, or personnel that may 
be used in conducting licensed commercial space launch or reentry 
activities.'';
                    (E) by inserting ``or a reentry site, or the 
                reentry of a reentry vehicle,'' after ``operation of a 
                launch site'' in subsection (b)(1);
                    (F) by striking ``or operation'' and inserting in 
                lieu thereof ``, operation, or reentry'' in subsection 
                (b)(2)(A);
                    (G) by striking ``and'' at the end of subsection 
                (b)(2)(B);
                    (H) by striking the period at the end of subsection 
                (b)(2)(C) and inserting in lieu thereof ``; and'';
                    (I) by adding at the end of subsection (b)(2) the 
                following new subparagraph:
            ``(D) regulations establishing criteria for accepting or 
        rejecting an application for a license under this chapter 
        within 60 days after receipt of such application.''; and
                    (J) by inserting ``, including the requirement to 
                obtain a license,'' after ``waive a requirement'' in 
                subsection (b)(3);
            (7) in section 70106(a)--
                    (A) by inserting ``or reentry site'' after 
                ``observer at a launch site'';
                    (B) by inserting ``or reentry vehicle'' after 
                ``assemble a launch vehicle''; and
                    (C) by inserting ``or reentry vehicle'' after 
                ``with a launch vehicle'';
            (8) in section 70108--
                    (A) by amending the section designation and heading 
                to read as follows:
``Sec. 70108. Prohibition, suspension, and end of launches, operation 
              of launch sites and reentry sites, and reentries'';
        and
                    (B) in subsection (a)--
                            (i) by inserting ``or reentry site, or 
                        reentry of a reentry vehicle,'' after 
                        ``operation of a launch site''; and
                            (ii) by inserting ``or reentry'' after 
                        ``launch or operation'';
            (9) in section 70109--
                    (A) by amending the section designation and heading 
                to read as follows:
``Sec. 70109. Preemption of scheduled launches or reentries'';
                    (B) in subsection (a)--
                            (i) by inserting ``or reentry'' after 
                        ``ensure that a launch'';
                            (ii) by inserting ``, reentry site,'' after 
                        ``United States Government launch site'';
                            (iii) by inserting ``or reentry date 
                        commitment'' after ``launch date commitment'';
                            (iv) by inserting ``or reentry'' after 
                        ``obtained for a launch'';
                            (v) by inserting ``, reentry site,'' after 
                        ``access to a launch site'';
                            (vi) by inserting ``, or services related 
                        to a reentry,'' after ``amount for launch 
                        services''; and
                            (vii) by inserting ``or reentry'' after 
                        ``the scheduled launch''; and
                    (C) in subsection (c), by inserting ``or reentry'' 
                after ``prompt launching'';
            (10) in section 70110--
                    (A) by inserting ``or reentry'' after ``prevent the 
                launch'' in subsection (a)(2); and
                    (B) by inserting ``or reentry site, or reentry of a 
                reentry vehicle,'' after ``operation of a launch site'' 
                in subsection (a)(3)(B);
            (11) in section 70111--
                    (A) by inserting ``or reentry'' after ``launch'' in 
                subsection (a)(1)(A);
                    (B) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(1)(B);
                    (C) in subsection (a)(1), by inserting after 
                subparagraph (B) the following:
``The Secretary shall establish criteria and procedures for determining 
the priority of competing requests from the private sector and State 
governments for property and services under this section.'';
                    (D) by inserting ``or reentry services'' after ``or 
                launch services'' in subsection (a)(2);
                    (E) by striking ``actual costs'' in subsection 
                (b)(1) and inserting in lieu thereof ``additive costs 
                only'';
                    (F) by inserting ``or reentry'' after ``commercial 
                launch'' both places it appears in subsection (b)(1);
                    (G) by inserting ``or reentry services'' after 
                ``launch services'' in subsection (b)(2)(C);
                    (H) by inserting after subsection (b)(2) the 
                following new paragraph:
    ``(3) The Secretary shall ensure the establishment of uniform 
guidelines for, and consistent implementation of, this section by all 
Federal agencies.'';
                    (I) by striking ``or its payload for launch'' in 
                subsection (d) and inserting in lieu thereof ``or 
                reentry vehicle, or the payload of either, for launch 
                or reentry''; and
                    (J) by inserting ``, reentry vehicle,'' after 
                ``manufacturer of the launch vehicle'' in subsection 
                (d);
            (12) in section 70112--
                    (A) in subsection (a)(1), by inserting ``launch, 
                reentry, or site operator'' after ``(1) When a'';
                    (B) by inserting ``or reentry'' after ``one 
                launch'' in subsection (a)(3);
                    (C) by inserting ``or reentry services'' after 
                ``launch services'' in subsection (a)(4);
                    (D) in subsection (b)(1), by inserting ``launch, 
                reentry, or site operator'' after ``(1) A'';
                    (E) by inserting ``or reentry services'' after 
                ``launch services'' each place it appears in subsection 
                (b);
                    (F) by inserting ``applicable'' after ``carried out 
                under the'' in paragraphs (1) and (2) of subsection 
                (b);
                    (G) by striking ``, Space, and Technology'' in 
                subsection (d)(1);
                    (H) by inserting ``or Reentries'' after 
                ``Launches'' in the heading for subsection (e);
                    (I) by inserting ``or reentry site or a reentry'' 
                after ``launch site'' in subsection (e); and
                    (J) in subsection (f), by inserting ``launch, 
                reentry, or site operator'' after ``carried out under 
                a'';
            (13) in section 70113 (a)(1) and (d) (1) and (2), by 
        inserting ``or reentry'' after ``one launch'' each place it 
        appears;
            (14) in section 70115(b)(1)(D)(i)--
                    (A) by inserting ``reentry site,'' after ``launch 
                site,''; and
                    (B) by inserting ``or reentry vehicle'' after 
                ``launch vehicle'' both places it appears;
            (15) in section 70117--
                    (A) by inserting ``or reentry site, or to reenter a 
                reentry vehicle'' after ``operate a launch site'' in 
                subsection (a);
                    (B) by inserting ``or reentry'' after ``approval of 
                a space launch'' in subsection (d);
                    (C) by amending subsection (f) to read as follows:
    ``(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.''; 
and
                    (D) in subsection (g)--
                            (i) by striking ``operation of a launch 
                        vehicle or launch site,'' in paragraph (1) and 
                        inserting in lieu thereof ``reentry, operation 
                        of a launch vehicle or reentry vehicle, 
                        operation of a launch site or reentry site,''; 
                        and
                            (ii) by inserting ``reentry,'' after 
                        ``launch,'' in paragraph (2); and
            (16) by adding at the end the following new sections:
``Sec. 70120. Regulations
    ``The Secretary of Transportation, within 6 months after the date 
of the enactment of this section, shall issue regulations to carry out 
this chapter that include--
            ``(1) guidelines for industry to obtain sufficient 
        insurance coverage for potential damages to third parties;
            ``(2) procedures for requesting and obtaining licenses to 
        operate a commercial launch vehicle or reentry vehicle;
            ``(3) procedures for requesting and obtaining operator 
        licenses for launch or reentry;
            ``(4) procedures for requesting and obtaining launch site 
        or reentry site operator licenses; and
            ``(5) procedures for the application of government 
        indemnification.
``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.''.
    (b) Effective Date.--The amendments made by subsection (a)(6)(B) 
shall take effect upon the effective date of final regulations issued 
pursuant to section 70105(b)(2)(D) of title 49, United States Code, as 
added by subsection (a)(6)(I).

SEC. 103. EXCEPTIONS TO EMPLOYMENT RESTRICTIONS.

    (a) General Rule.--Section 207 (a) and (c) of title 18, United 
States Code, and section 27(f)(1) of the Federal Procurement Policy Act 
(41 U.S.C. 423(f)(1)) shall not apply to employees or former employees 
of the National Aeronautics and Space Administration seeking employment 
with an entity that is awarded the Space Flight Operations Contract for 
the Space Shuttle.
    (b) Exceptions.--Subsection (a) shall not apply to an employee who, 
while employed with the National Aeronautics and Space Administration, 
was actively and significantly involved in the selection of the entity 
that is awarded the Space Flight Operations Contract for the Space 
Shuttle.

SEC. 104. LAUNCH VOUCHER DEMONSTRATION PROGRAM.

    Section 504 of the National Aeronautics and Space Administration 
Authorization Act, Fiscal Year 1993 (15 U.S.C. 5803) is amended--
            (1) in subsection (a)--
                    (A) by striking ``the Office of Commercial Programs 
                within''; and
                    (B) by striking ``Such program shall not be 
                effective after September 30, 1995.'';
            (2) by striking subsection (c); and
            (3) by redesignating subsections (d) and (e) as subsections 
        (c) and (d), respectively.

SEC. 105. PROMOTION OF UNITED STATES GLOBAL POSITIONING SYSTEM 
              STANDARDS.

    (a) Finding.--The Congress finds that the Global Positioning 
System, including satellites, signal equipment, ground stations, data 
links, and associated command and control facilities, has become an 
essential element in civil, scientific, and military space development 
because of the emergence of a United States commercial industry which 
provides Global Positioning System equipment and related services.
    (b) International Cooperation.--The Congress therefore encourages 
the President to--
            (1) undertake a coordinated effort within the executive 
        branch to promote cooperation with foreign governments and 
        international organizations to advance United States interests 
        with respect to the Global Positioning System standards and 
        augmentations; and
            (2) ensure the operation of the Global Positioning System 
        on a continuous worldwide basis free of direct user fees.

SEC. 106. PURCHASE OF SPACE SCIENCE DATA.

    (a) In General.--To the maximum extent possible, while satisfying 
the National Aeronautics and Space Administration's scientific 
requirements, the National Aeronautics and Space Administration shall, 
where cost effective, purchase from the United States private sector 
space science data. Examples of such data include scientific data 
concerning the elemental and mineralogical resources of the moon and 
the planets, Earth environmental data obtained through remote sensing 
observations, and solar storm monitoring.
    (b) Competitive Bidding.--(1) Contracts for the purchase of space 
science data under this section shall be awarded in a process of full, 
fair, and open competitive bidding.
    (2) Submission of cost data, either for the purposes of supporting 
the bid or fulfilling the contract, shall not be required of bidders or 
awardees of the contract, except in cases where only one credible bid 
meeting the requirements of the solicitation is received.
    (3) Reasonable performance specifications, rather than design or 
construction specifications, shall be used to the maximum extent 
feasible to define requirements for United States commercial providers 
with respect to the design, construction, or operation of equipment 
used in obtaining space science data under contracts entered into under 
this section. This subsection shall not be construed to prohibit the 
Federal Government from requiring compliance with applicable safety 
standards.
    (4) Contracts under this section shall not provide for the Federal 
Government to obtain ownership of data not specifically sought by the 
Federal Government.
    (c) Limitation.--This section does not authorize the National 
Aeronautics and Space Administration to provide financial assistance 
for the development of systems for the collection of space science 
data.

                        TITLE II--REMOTE SENSING

SEC. 201. LAND REMOTE SENSING POLICY ACT OF 1992 AMENDMENTS.

    The Land Remote Sensing Policy Act of 1992 is amended--
            (1) in section 2 (15 U.S.C. 5601)--
                    (A) by amending paragraph (5) to read as follows:
            ``(5) Commercialization of land remote sensing is a near-
        term goal, and should remain a long-term goal, of United States 
        policy.'';
                    (B) by striking paragraph (6) and redesignating 
                paragraphs (7) through (16) as paragraphs (6) through 
                (15), respectively; and
                    (C) in paragraph (11), as so redesignated by 
                subparagraph (B) of this paragraph, by striking 
                ``determining the design'' and all that follows through 
                ``international consortium'' and inserting in lieu 
                thereof ``ensuring the continuity of Landsat quality 
                data'';
            (2) in section 101 (15 U.S.C. 5611)--
                    (A) by inserting the following after subsection 
                (b)(4):
``The Director of the Office of Science and Technology Policy shall, no 
later than 60 days after the date of the enactment of the Space 
Commercialization Promotion Act of 1996, transmit the management plan 
to the Committee on Science of the House of Representatives and the 
Committee on Commerce, Science, and Transportation of the Senate.'';
                    (B) in subsection (c)--
                            (i) by inserting ``and'' at the end of 
                        paragraph (6);
                            (ii) by striking paragraph (7); and
                            (iii) by redesignating paragraph (8) as 
                        paragraph (7); and
                    (C) in subsection (e)(1)--
                            (i) by inserting ``and'' at the end of 
                        subparagraph (A);
                            (ii) by striking ``, and'' at the end of 
                        subparagraph (B) and inserting in lieu thereof 
                        a period; and
                            (iii) by striking subparagraph (C);
            (3) in section 201 (15 U.S.C. 5621)--
                    (A) by inserting ``(1)'' after ``National 
                Security.--'' in subsection (b);
                    (B) in subsection (b)(1), as so designated by 
                subparagraph (A) of this paragraph, by striking ``No 
                license'' and inserting in lieu thereof ``Except as 
                provided in paragraph (3), no license'';
                    (C) by adding at the end of subsection (b) the 
                following new paragraphs:
    ``(2) The Secretary, within 6 months after the date of the 
enactment of the Space Commercialization Promotion Act of 1996, shall 
publish in the Federal Register a complete and specific list of all 
information required to comprise a complete application for a license 
under this title. An application shall be considered complete when the 
applicant has provided all information required by the list most 
recently published in the Federal Register before the date the 
application was first submitted. Unless the Secretary has, within 30 
days after receipt of an application, notified the applicant of 
information necessary to complete an application, the Secretary may not 
deny the application on the basis of the absence of any such 
information.
    ``(3) The Secretary shall grant a license under this title to any 
United States commercial provider (as such term is defined in section 2 
of the Space Commercialization Promotion Act of 1996) whose application 
is in full compliance with the requirements of this title.'';
                    (D) in subsection (c), by amending the second 
                sentence thereof to read as follows: ``If the Secretary 
                has not granted the license within such 120-day period, 
                the Secretary shall inform the applicant, within such 
                period, of any pending issues and actions required to 
                be carried out by the applicant or the Secretary in 
                order to result in the granting of a license.''; and
                    (E) in subsection (e)(2)(B), by striking ``and the 
                importance of promoting widespread access to remote 
sensing data from United States and foreign systems'';
            (4) in section 202 (15 U.S.C. 5622)--
                    (A) by striking ``section 506'' in subsection 
                (b)(1) and inserting in lieu thereof ``section 507'';
                    (B) in subsection (b)(2), by striking ``as soon as 
                such data are available and on reasonable terms and 
                conditions'' and inserting in lieu thereof ``on 
                reasonable terms and conditions, including the 
                provision of such data in a timely manner'';
                    (C) in subsection (b)(6), by striking ``any 
                agreement'' and inserting in lieu thereof ``any 
                significant or substantial agreement relating to land 
                remote sensing''; and
                    (D) by inserting after paragraph (6) of subsection 
                (b) the following:
``The Secretary may not terminate, modify, or suspend a license issued 
pursuant to this title on the basis of an agreement the Secretary 
receives notification of under paragraph (6) unless the Secretary has, 
within 30 days after receipt of such notification, transmitted to the 
licensee a statement that such agreement is inconsistent with the 
national security or international obligations of the United States, 
including an explanation of such inconsistency.'';
            (5) in section 203 (15 U.S.C. 5623)--
                    (A) in subsection (a)(2), by striking ``under this 
                title and'' and inserting in lieu thereof ``under this 
                title or'';
                    (B) in subsection (a)(3), by striking ``provide 
                penalties'' and inserting in lieu thereof ``seek, in a 
                United States District Court with personal jurisdiction 
                over the licensee, penalties''; and
                    (C) in subsection (b), by striking ``(a)(3),'';
            (6) in section 204 (15 U.S.C. 5624), by striking ``may'' 
        and inserting in lieu thereof ``shall'';
            (7) in section 205(c) (15 U.S.C. 5625(c)), by striking ``if 
        such remote sensing space system is licensed by the Secretary 
        before commencing operation'' and inserting in lieu thereof 
        ``if such private remote sensing space system will be licensed 
        by the Secretary before commencing its commercial operation'';
            (8) by adding at the end of title II the following new 
        section:

``SEC. 206. NOTIFICATION.

    ``(a) Limitations on Licensee.--Not later than 30 days after a 
determination by the Secretary to require a licensee to limit 
collection or distribution of data from a system licensed under this 
title, the Secretary shall provide written notification to Congress of 
such determination, including the reasons therefor, the limitations 
imposed on the licensee, and the period during which such limitations 
apply.
    ``(b) Termination, Modification, or Suspension.--Not later than 30 
days after an action by the Secretary to seek an order of injunction or 
other judicial determination pursuant to section 203(a)(2), the 
Secretary shall provide written notification to Congress of such action 
and the reasons therefor.'';
            (9) in section 301 (15 U.S.C. 5631)--
                    (A) by inserting ``, that are not being 
                commercially developed'' after ``and its environment'' 
                in subsection (a)(2)(B); and
                    (B) by adding at the end the following new 
                subsection:
    ``(d) Duplication of Commercial Sector Activities.--The Federal 
Government shall not undertake activities under this section which 
duplicate activities available from the commercial sector, unless such 
activities would result in significant cost savings to the Federal 
Government.'';
            (10) in section 302 (15 U.S.C. 5632)--
                    (A) by striking ``(a) General Rule.--'';
                    (B) by striking ``, including unenhanced data 
                gathered under the technology demonstration program 
                carried out pursuant to section 303,'' and inserting in 
                lieu thereof ``that is not otherwise available from the 
commercial sector''; and
                    (C) by striking subsection (b);
            (11) by repealing section 303 (15 U.S.C. 5633);
            (12) in section 401(b)(3) (15 U.S.C. 5641(b)(3)), by 
        striking ``, including any such enhancements developed under 
        the technology demonstration program under section 303,'';
            (13) in section 501(a) (15 U.S.C. 5651(a)), by striking 
        ``section 506'' and inserting in lieu thereof ``section 507'';
            (14) in section 502(c)(7) (15 U.S.C. 5652(c)(7)), by 
        striking ``section 506'' and inserting in lieu thereof 
        ``section 507'';
            (15) in section 506 (15 U.S.C. 5656)--
                    (A) by inserting ``(1)'' after ``Communications 
                Commission.--'' in subsection (a);
                    (B) by inserting at the end of subsection (a) the 
                following new paragraph:
    ``(2) The Federal Communications Commission, within 6 months after 
the date of the enactment of the Space Commercialization Promotion Act 
of 1996, shall publish in the Federal Register a complete and specific 
list of all information required to comprise a complete application 
described in paragraph (1). An application shall be considered complete 
when the applicant has provided all information required by the list 
most recently published in the Federal Register before the date the 
application was first submitted. Unless the Federal Communications 
Commission has, within 30 days after receipt of an application, 
notified the applicant of information necessary to complete an 
application, the Federal Communications Commission may not deny the 
application on the basis of the absence of any such information.''; and
                    (C) by adding at the end the following new 
                subsection:
    ``(e) Fees.--The Federal Communications Commission shall ensure 
that any licensing or other fees that a private remote sensing space 
system operator subject to the licensing requirements of title II is 
required to pay such Commission shall be proportional to the cost to 
the Commission of the radio licensing process for such person relative 
to the cost to the Commission of licensing other entities subject to 
the fee.''; and
            (16) in section 507 (15 U.S.C. 5657)--
                    (A) by amending subsection (a) to read as follows:
    ``(a) Responsibility of the Secretary of Defense.--The Secretary 
shall consult with the Secretary of Defense on all matters under this 
Act affecting national security. The Secretary of Defense shall be 
responsible for determining those conditions, consistent with this Act, 
necessary to meet national security concerns of the United States, and 
for notifying the Secretary promptly of such conditions. Not later than 
60 days after receiving a request from the Secretary, the Secretary of 
Defense shall recommend to the Secretary any conditions for a license 
issued under title II, consistent with this Act, that the Secretary of 
Defense determines are needed to protect the national security of the 
United States. If no such recommendation has been received by the 
Secretary within such 60-day period, the Secretary shall deem 
activities proposed in the license application to be consistent with 
the protection of the national security of the United States.'';
                    (B) by striking subsection (b) (1) and (2) and 
                inserting in lieu thereof the following:
    ``(b) Responsibility of the Secretary of State.--(1) The Secretary 
shall consult with the Secretary of State on all matters under this Act 
affecting international obligations of the United States. The Secretary 
of State shall be responsible for determining those conditions, 
consistent with this Act, necessary to meet international obligations 
of the United States and for notifying the Secretary promptly of such 
conditions. Not later than 60 days after receiving a request from the 
Secretary, the Secretary of State shall recommend to the Secretary any 
conditions for a license issued under title II, consistent with this 
Act, that the Secretary of State determines are needed to meet 
international obligations of the United States. If no such 
recommendation has been received by the Secretary within such 60-day 
period, the Secretary shall deem activities proposed in the license 
application to be consistent with the international obligations and 
policies of the United States.
    ``(2) Appropriate United States Government agencies are authorized 
and encouraged to provide to developing nations, as a component of 
international aid, resources for purchasing remote sensing data, 
training, and analysis from United States commercial providers.''; and
                    (C) in subsection (d), by striking ``Secretary may 
                require'' and inserting in lieu thereof ``Secretary 
                shall, where appropriate, require''.

SEC. 202. ACQUISITION OF EARTH REMOTE SENSING DATA.

    (a) Acquisition.--To the maximum extent possible, while satisfying 
the National Aeronautics and Space Administration's scientific 
requirements, the Administrator shall, where cost effective, acquire 
space-based and airborne Earth remote sensing data, services, 
distribution, and applications provided by the United States private 
sector to meet Government goals for Mission to Planet Earth.
    (b) Study.--(1) The Administrator shall conduct a study to 
determine the extent to which the baseline scientific requirements of 
Mission to Planet Earth can be met by the private sector, and how the 
National Aeronautics and Space Administration will meet such 
requirements which cannot be met by the private sector.
    (2) The study conducted under this subsection shall--
            (A) make recommendations to promote the availability of 
        information from the National Aeronautics and Space 
        Administration to the private sector to enable the private 
        sector to better meet the baseline scientific requirements of 
        Mission to Planet Earth;
            (B) make recommendations to promote the dissemination to 
        the private sector of information on advanced technology 
        research and development performed by or for the National 
        Aeronautics and Space Administration; and
            (C) identify policy, regulatory, and legislative barriers 
        to the implementation of the recommendations made under this 
        subsection.
    (3) The results of the study conducted under this subsection shall 
be transmitted to the Congress within 6 months after the date of the 
enactment of this Act.
    (c) Administration.--This section shall be carried out as part of 
the Commercial Remote Sensing Program at the Stennis Space Center.

    TITLE III--FEDERAL ACQUISITION OF SPACE TRANSPORTATION SERVICES

SEC. 301. REQUIREMENT TO PROCURE COMMERCIAL SPACE TRANSPORTATION 
              SERVICES.

    (a) In General.--Except as otherwise provided in this section, the 
Federal Government shall acquire space transportation services from 
United States commercial providers whenever such services are required 
in the course of its activities. To the maximum extent practicable, the 
Federal Government shall plan missions to accommodate the space 
transportation services capabilities of United States commercial 
providers.
    (b) Exceptions.--(1) The Federal Government shall not be required 
to acquire space transportation services under subsection (a) if, on a 
case-by-case basis, the Administrator or, in the case of a national 
security issue, the Secretary of Defense, determines that--
            (A) a payload requires the unique capabilities of the space 
        shuttle;
            (B) space transportation services that meet specific 
        mission requirements would not be reasonably available from 
        United States commercial providers when required;
            (C) the use of space transportation services from United 
        States commercial providers poses an unacceptable risk of loss 
        of a unique scientific opportunity;
            (D) the use of space transportation services from United 
        States commercial providers is inconsistent with national 
        security objectives; or
            (E) it is more cost effective to transport a payload in 
        conjunction with a test or demonstration of a space 
        transportation vehicle owned by the Federal Government.
    (2) Determinations under paragraph (1) shall be made by the 
Administrator or the Secretary of the Air Force.
    (c) Partnerships.--The acquisition of space transportation services 
in connection with a payload with respect to which the Federal 
Government has provided a greater amount of the funding required for 
construction and operation than any other source, shall be subject to 
the requirements of this section.
    (d) Delayed Effect.--Subsections (a) and (c) shall not apply to 
space transportation services and space transportation vehicles 
acquired or owned by the Federal Government before the date of the 
enactment of this Act, or with respect to which a contract for such 
acquisition or ownership has been entered into before such date.
    (e) Historical Purposes.--This section shall not be construed to 
prohibit the Federal Government from acquiring, owning, or maintaining 
space transportation vehicles solely for historical display purposes.

SEC. 302. ACQUISITION OF SPACE TRANSPORTATION SERVICES.

    (a) Competitive Bidding.--(1) Contracts for the acquisition of 
space transportation services by the Federal Government shall be 
awarded subject to applicable Federal law requiring full, fair, and 
open competition, including section 2304 of title 10, United States 
Code, and section 311 of the National Aeronautics and Space Act of 1958 
(42 U.S.C. 2459c).
    (2) Bidders for a contract for the acquisition by the Federal 
Government of space transportation services shall not be required to 
provide cost data for the purpose of supporting such a bid or 
fulfilling such a contract, except in cases where only one credible bid 
meeting the requirements of the solicitation is received.
    (b) Specification Systems.--Reasonable performance specifications, 
rather than design or construction specifications, shall be used to the 
maximum extent feasible to define requirements for United States 
commercial providers bidding to provide or providing space 
transportation services to the Federal Government. This subsection 
shall not be construed to prohibit the Federal Government from 
requiring compliance with applicable safety standards.

SEC. 303. LAUNCH SERVICES PURCHASE ACT OF 1990 AMENDMENTS.

    The Launch Services Purchase Act of 1990 (42 U.S.C. 2465b et seq.) 
is amended--
            (1) by striking section 202;
            (2) in section 203--
                    (A) by striking paragraphs (1) and (2); and
                    (B) by redesignating paragraphs (3) and (4) as 
                paragraphs (1) and (2), respectively;
            (3) by striking sections 204 and 205; and
            (4) in section 206--
                    (A) by striking ``(a) Commercial Payloads on the 
                Space Shuttle.--''; and
                    (B) by striking subsection (b).

SEC. 304. USE OF EXCESS INTERCONTINENTAL BALLISTIC MISSILES.

    (a) In General.--The Federal Government shall not--
            (1) convert any missile described in subsection (c) to a 
        space transportation vehicle configuration or otherwise use any 
        such missile to place a payload in space; or
            (2) transfer ownership of any such missile to another 
        person,
except as provided in subsection (b).
    (b) Authorized Federal Uses.--(1) A missile described in subsection 
(c) may be converted for use as a space transportation vehicle by the 
Federal Government if--
            (A) except as provided in paragraph (2), at least 120 days 
        before such conversion the agency seeking to use the missile as 
        a space transportation vehicle transmits to the Committee on 
        National Security and the Committee on Science of the House of 
        Representatives, and to the Committee on Armed Services and the 
        Committee on Commerce, Science, and Transportation of the 
        Senate, a report that contains--
                    (i) a certification that the use of such missile--
                            (I) would result in significant cost 
                        savings to the Federal Government when compared 
                        to the cost of acquiring space transportation 
                        services from United States commercial 
                        providers; and
                            (II) meets all mission requirements of the 
                        agency, including performance, schedule, and 
                        risk requirements; and
                    (ii) comments obtained from United States 
                commercial providers in response to prior public notice 
                published in the Commerce Business Daily;
            (B) the use of such missile is consistent with 
        international obligations of the United States; and
            (C) the Secretary of Defense approves of such conversion.
    (2) The requirement under paragraph (1)(A) that the report 
described in that subparagraph must be transmitted at least 120 days 
before conversion of the missile shall not apply if the Secretary of 
Defense determines that compliance with that requirement would be 
inconsistent with meeting immediate national security requirements.
    (c) Missiles Referred to.--The missiles referred to in this section 
are missiles owned by the United States that were formerly used by the 
Department of Defense for national defense purposes as intercontinental 
ballistic missiles and that have been retired from service in 
compliance with international obligations of the United States.
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