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

other purposes.space industry in the United States, and for

SEPTEMBER 17, 1996

Reported from the Committee on Science with an

amendment

SEPTEMBER 17, 1996

Referral to the Committee on Government Reform and

ber 17, 1996Oversight extended for a period not later than SeptemSEPTEMBER 17, 1996

The Committee on Government Reform and Oversight

printedHouse on the State of the Union and ordered to bedischarged; committed to the Committee of the Whole
IB

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]
2

•HR 3936 RH

A BILL

To encourage the development of a commercial space

industry in the United States, and for other purposes.

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

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

4 (a) SHORT TITLE.—This Act may be cited as the

5 ‘‘Space Commercialization Promotion Act of 1996’’.

6 (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.

7 SEC. 2. DEFINITIONS.

8 For purposes of this Act—

9 (1) the term ‘‘Administrator’’ means the Admin10 istrator of the National Aeronautics and Space Ad11 ministration;
3

•HR 3936 RH

1 (2) the term ‘‘commercial provider’’ means any

2 person providing space transportation services or

3 other space-related activities, primary control of

4 which is held by persons other than Federal, State,

5 local, and foreign governments;

6 (3) the term ‘‘payload’’ means anything that a

7 person undertakes to transport to, from, or within

8 outer space, or in suborbital trajectory, by means of

9 a space transportation vehicle, but does not include

10 the space transportation vehicle itself except for its

11 components which are specifically designed or adapt12 ed for that payload;

13 (4) the term ‘‘space-related activities’’ includes

14 research and development, manufacturing, processing,

15 service, and other associated and support activities;

16 (5) the term ‘‘space transportation services’’

17 means the preparation of a space transportation vehi18 cle and its payloads for transportation to, from, or

19 within outer space, or in suborbital trajectory, and

20 the conduct of transporting a payload to, from, or

21 within outer space, or in suborbital trajectory;

22 (6) the term ‘‘space transportation vehicle’’

23 means any vehicle constructed for the purpose of oper24 ating in, or transporting a payload to, from, or with25 in, outer space, or in suborbital trajectory, and in-
4

•HR 3936 RH

1 cludes any component of such vehicle not specifically

2 designed or adapted for a payload;

3 (7) the term ‘‘State’’ means each of the several

4 States of the Union, the District of Columbia, the

5 Commonwealth of Puerto Rico, the Virgin Islands,

6 Guam, American Samoa, the Commonwealth of the

7 Northern Mariana Islands, and any other common8 wealth, territory, or possession of the United States;

9 and

10 (8) the term ‘‘United States commercial pro11 vider’’ means a commercial provider, organized under

12 the laws of the United States or of a State, which is—

13 (A) more than 50 percent owned by United

14 States nationals; or

15 (B) a subsidiary of a foreign company and

16 the Secretary of Transportation finds that—

17 (i) such subsidiary has in the past evi18 denced a substantial commitment to the

19 United States market through—

20 (I) investments in the United

21 States in long-term research, develop22 ment, and manufacturing (including

23 the manufacture of major components

24 and subassemblies); and
5

•HR 3936 RH

1 (II) significant contributions to

2 employment in the United States; and

3 (ii) the country or countries in which

4 such foreign company is incorporated or or5 ganized, and, if appropriate, in which it

6 principally conducts its business, affords re7 ciprocal treatment to companies described

8 in subparagraph (A) comparable to that af9 forded to such foreign company’s subsidiary

10 in the United States, as evidenced by—

11 (I) providing comparable oppor12 tunities for companies described in

13 subparagraph (A) to participate in

14 Government sponsored research and de15 velopment similar to that authorized

16 under this Act;

17 (II) providing no barriers to com18 panies described in subparagraph (A)

19 with respect to local investment oppor20 tunities that are not provided to for21 eign companies in the United States;

22 and

23 (III) providing adequate and ef24 fective protection for the intellectual
6

•HR 3936 RH

1 property rights of companies described

2 in subparagraph (A).

3 TITLE I—PROMOTION OF COM4 MERCIAL SPACE OPPORTUNI5 TIES

6 SEC. 101. COMMERCIALIZATION OF SPACE STATION.

7 (a) POLICY.—The Congress declares that a priority

8 goal of constructing the International Space Station is the

9 economic development of Earth orbital space. The Congress

10 further declares that free and competitive markets create the

11 most efficient conditions for promoting economic develop12 ment, and should therefore govern the economic development

13 of Earth orbital space. The Congress further declares that

14 free market principles should be used in operating and add15 ing capabilities to the Space Station whenever possible.

16 (b) REPORT.—The Administrator shall deliver to the

17 Congress, within 60 days after the date of the enactment

18 of this Act, a market study that examines the role of com19 mercial ventures which could supply, use, service, or aug20 ment the International Space Station, the specific policies

21 and initiatives the Administrator is advancing to encour22 age these commercial opportunities, the cost savings to be

23 realized by the international partnership from applying

24 commercial approaches to cost-shared operations, and the
7

•HR 3936 RH

1 cost reimbursements to the United States Government from

2 commercial users of the Space Station.

3 SEC. 102. COMMERCIAL SPACE LAUNCH AMENDMENTS.

4 (a) AMENDMENTS.—Chapter 701 of title 49, United

5 States Code, is amended—

6 (1) in the table of sections—

7 (A) by amending the item relating to sec8 tion 70104 to read as follows:

‘‘70104. Restrictions on launches, operations, and reentries.’’;

9 (B) by amending the item relating to sec10 tion 70108 to read as follows:

‘‘70108. Prohibition, suspension, and end of launches, operation of launch sites

and reentry sites, and reentries.’’;

11 (C) by amending the item relating to sec12 tion 70109 to read as follows:

‘‘70109. Preemption of scheduled launches or reentries.’’;

13 and

14 (D) by adding at the end the following new

15 items:

‘‘70120. Regulations.

‘‘70121. Report to Congress.’’;

16 (2) in section 70101—

17 (A) by inserting ‘‘microgravity research,’’

18 after ‘‘information services,’’ in subsection (a)(3);

19 (B) by inserting ‘‘, reentry,’’ after ‘‘launch20 ing’’ both places it appears in subsection (a)(4);
8

•HR 3936 RH

1 (C) by inserting ‘‘, reentry vehicles,’’ after

2 ‘‘launch vehicles’’ in subsection (a)(5);

3 (D) by inserting ‘‘and reentry services’’

4 after ‘‘launch services’’ in subsection (a)(6);

5 (E) by inserting ‘‘, reentries,’’ after

6 ‘‘launches’’ both places it appears in subsection

7 (a)(7);

8 (F) by inserting ‘‘, reentry sites,’’ after

9 ‘‘launch sites’’ in subsection (a)(8);

10 (G) by inserting ‘‘and reentry services’’

11 after ‘‘launch services’’ in subsection (a)(8);

12 (H) by inserting ‘‘reentry sites,’’ after

13 ‘‘launch sites,’’ in subsection (a)(9);

14 (I) by inserting ‘‘and reentry site’’ after

15 ‘‘launch site’’ in subsection (a)(9);

16 (J) by inserting ‘‘, reentry vehicles,’’ after

17 ‘‘launch vehicles’’ in subsection (b)(2);

18 (K) by striking ‘‘launch’’ in subsection

19 (b)(2)(A);

20 (L) by inserting ‘‘and reentry’’ after ‘‘con21 duct of commercial launch’’ in subsection (b)(3);

22 (M) by striking ‘‘launch’’ after ‘‘and trans23 fer commercial’’ in subsection (b)(3); and
9

•HR 3936 RH

1 (N) by inserting ‘‘and development of re2 entry sites,’’ after ‘‘launch-site support facili3 ties,’’ in subsection (b)(4);

4 (3) in section 70102—

5 (A) by striking ‘‘and any payload’’ and in6 serting in lieu thereof ‘‘or reentry vehicle and

7 any payload from Earth’’ in paragraph (3);

8 (B) in paragraph (5)—

9 (i) by redesignating subparagraphs (A)

10 and (B) as subparagraphs (B) and (C), re11 spectively; and

12 (ii) by inserting before subparagraph

13 (B), as so redesignated by clause (i) of this

14 subparagraph, the following new subpara15 graph:

16 ‘‘(A) activities directly related to the prepa17 ration of a launch site or payload facility for

18 one or more launches;’’;

19 (C) by inserting ‘‘or reentry vehicle’’ after

20 ‘‘means of a launch vehicle’’ in paragraph (8);

21 (D) by redesignating paragraphs (10)

22 through (12) as paragraphs (14) through (16),

23 respectively;

24 (E) by inserting after paragraph (9) the fol25 lowing new paragraphs:
10

•HR 3936 RH

1 ‘‘(10) ‘reenter’ and ‘reentry’ mean to return or

2 attempt to return, purposefully, a reentry vehicle and

3 its payload, if any, from Earth orbit or from outer

4 space to Earth.

5 ‘‘(11) ‘reentry services’ means—

6 ‘‘(A) activities involved in the preparation

7 of a reentry vehicle and its payload, if any, for

8 reentry; and

9 ‘‘(B) the conduct of a reentry.

10 ‘‘(12) ‘reentry site’ means the location on Earth

11 to which a reentry vehicle is intended to return (as

12 defined in a license the Secretary issues or transfers

13 under this chapter).

14 ‘‘(13) ‘reentry vehicle’ means a vehicle designed

15 to return from Earth orbit or outer space to Earth,

16 or a reusable launch vehicle designed to return from

17 outer space to Earth, substantially intact.’’; and

18 (F) by inserting ‘‘or reentry services’’ after

19 ‘‘launch services’’ each place it appears in para20 graph (15), as so redesignated by subparagraph

21 (D) of this paragraph;

22 (4) in section 70103—

23 (A) by striking ‘‘The Secretary’’ in sub24 section (a) and inserting in lieu thereof ‘‘Except
11

•HR 3936 RH

1 as provided in section 70122, the Secretary’’;

2 and

3 (B) in subsection (b)—

4 (i) by inserting ‘‘AND REENTRIES AND

5 STATE SPONSORED SPACEPORTS’’ after

6 ‘‘LAUNCHES’’ in the subsection heading;

7 (ii) by striking ‘‘by the private sector’’

8 in paragraph (1) and inserting in lieu

9 thereof ‘‘and reentries by the private sector

10 and State sponsored spaceports’’ after

11 ‘‘space launches’’; and

12 (iii) by inserting ‘‘and reentry’’ after

13 ‘‘space launch’’ in paragraph (2);

14 (5) in section 70104—

15 (A) by amending the section designation

16 and heading to read as follows:

17 ‘‘§ 70104. Restrictions on launches, operations, and re18 entries’’;

19 (B) by inserting ‘‘or reentry site, or to reen20 ter a reentry vehicle,’’ after ‘‘operate a launch

21 site’’ each place it appears in subsection (a);

22 (C) by inserting ‘‘or reentry’’ after ‘‘launch

23 or operation’’ in subsection (a)(3) and (4);

24 (D) in subsection (b)—
12

•HR 3936 RH

1 (i) by striking ‘‘launch license’’ and

2 inserting in lieu thereof ‘‘license’’;

3 (ii) by inserting ‘‘or reenter’’ after

4 ‘‘may launch’’; and

5 (iii) by inserting ‘‘or reentering’’ after

6 ‘‘related to launching’’; and

7 (E) in subsection (c)—

8 (i) by amending the subsection heading

9 to read as follows: ‘‘PREVENTING LAUNCHES

10 AND REENTRIES.—’’;

11 (ii) by inserting ‘‘or reentry’’ after

12 ‘‘prevent the launch’’; and

13 (iii) by inserting ‘‘or reentry’’ after

14 ‘‘decides the launch’’;

15 (6) in section 70105—

16 (A) by inserting ‘‘(1)’’ before ‘‘A person

17 may apply’’ in subsection (a);

18 (B) by striking ‘‘receiving an application’’

19 both places it appears in subsection (a) and in20 serting in lieu thereof ‘‘accepting an application

21 in accordance with criteria established pursuant

22 to subsection (b)(2)(D)’’;

23 (C) by inserting at the end of subsection (a)

24 the following: ‘‘The Secretary shall submit to the

25 Committee on Science of the House of Represent-
13

•HR 3936 RH

1 atives and the Committee on Commerce, Science,

2 and Transportation of the Senate a written no3 tice not later than 7 days after any occurrence

4 when a license is not issued within the deadline

5 established by this subsection.’’;

6 (D) by adding at the end of subsection (a)

7 the following new paragraph:

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

9 establish procedures for certification of the safety of launch

10 vehicles, reentry vehicles, safety systems, procedures, serv11 ices, or personnel that may be used in conducting licensed

12 commercial space launch or reentry activities.’’;

13 (E) by inserting ‘‘or a reentry site, or the

14 reentry of a reentry vehicle,’’ after ‘‘operation of

15 a launch site’’ in subsection (b)(1);

16 (F) by striking ‘‘or operation’’ and insert17 ing in lieu thereof ‘‘, operation, or reentry’’ in

18 subsection (b)(2)(A);

19 (G) by striking ‘‘and’’ at the end of sub20 section (b)(2)(B);

21 (H) by striking the period at the end of sub22 section (b)(2)(C) and inserting in lieu thereof ‘‘;

23 and’’;

24 (I) by adding at the end of subsection (b)(2)

25 the following new subparagraph:
14

•HR 3936 RH

1 ‘‘(D) regulations establishing criteria for accept2 ing or rejecting an application for a license under

3 this chapter within 60 days after receipt of such ap4 plication.’’; and

5 (J) by inserting ‘‘, including the require6 ment to obtain a license,’’ after ‘‘waive a require7 ment’’ in subsection (b)(3);

8 (7) in section 70106(a)—

9 (A) by inserting ‘‘or reentry site’’ after ‘‘ob10 server at a launch site’’;

11 (B) by inserting ‘‘or reentry vehicle’’ after

12 ‘‘assemble a launch vehicle’’; and

13 (C) by inserting ‘‘or reentry vehicle’’ after

14 ‘‘with a launch vehicle’’;

15 (8) in section 70108—

16 (A) by amending the section designation

17 and heading to read as follows:

18 ‘‘§ 70108. Prohibition, suspension, and end of

19 launches, operation of launch sites and

20 reentry sites, and reentries’’;

21 and

22 (B) in subsection (a)—

23 (i) by inserting ‘‘or reentry site, or re24 entry of a reentry vehicle,’’ after ‘‘operation

25 of a launch site’’; and
15

•HR 3936 RH

1 (ii) by inserting ‘‘or reentry’’ after

2 ‘‘launch or operation’’;

3 (9) in section 70109—

4 (A) by amending the section designation

5 and heading to read as follows:

6 ‘‘§ 70109. Preemption of scheduled launches or reen7 tries’’;

8 (B) in subsection (a)—

9 (i) by inserting ‘‘or reentry’’ after ‘‘en10 sure that a launch’’;

11 (ii) by inserting ‘‘, reentry site,’’ after

12 ‘‘United States Government launch site’’;

13 (iii) by inserting ‘‘or reentry date com14 mitment’’ after ‘‘launch date commitment’’;

15 (iv) by inserting ‘‘or reentry’’ after

16 ‘‘obtained for a launch’’;

17 (v) by inserting ‘‘, reentry site,’’ after

18 ‘‘access to a launch site’’;

19 (vi) by inserting ‘‘, or services related

20 to a reentry,’’ after ‘‘amount for launch

21 services’’; and

22 (vii) by inserting ‘‘or reentry’’ after

23 ‘‘the scheduled launch’’; and

24 (C) in subsection (c), by inserting ‘‘or re25 entry’’ after ‘‘prompt launching’’;
16

•HR 3936 RH

1 (10) in section 70110—

2 (A) by inserting ‘‘or reentry’’ after ‘‘prevent

3 the launch’’ in subsection (a)(2); and

4 (B) by inserting ‘‘or reentry site, or reentry

5 of a reentry vehicle,’’ after ‘‘operation of a

6 launch site’’ in subsection (a)(3)(B);

7 (11) in section 70111—

8 (A) by inserting ‘‘or reentry’’ after

9 ‘‘launch’’ in subsection (a)(1)(A);

10 (B) by inserting ‘‘and reentry services’’

11 after ‘‘launch services’’ in subsection (a)(1)(B);

12 (C) in subsection (a)(1), by inserting after

13 subparagraph (B) the following:

14 ‘‘The Secretary shall establish criteria and procedures for

15 determining the priority of competing requests from the pri16 vate sector and State governments for property and services

17 under this section.’’;

18 (D) by inserting ‘‘or reentry services’’ after

19 ‘‘or launch services’’ in subsection (a)(2);

20 (E) by striking ‘‘actual costs’’ in subsection

21 (b)(1) and inserting in lieu thereof ‘‘additive

22 costs only’’;

23 (F) by inserting ‘‘or reentry’’ after ‘‘com24 mercial launch’’ both places it appears in sub25 section (b)(1);
17

•HR 3936 RH

1 (G) by inserting ‘‘or reentry services’’ after

2 ‘‘launch services’’ in subsection (b)(2)(C);

3 (H) by inserting after subsection (b)(2) the

4 following new paragraph:

5 ‘‘(3) The Secretary shall ensure the establishment of

6 uniform guidelines for, and consistent implementation of,

7 this section by all Federal agencies.’’;

8 (I) by striking ‘‘or its payload for launch’’

9 in subsection (d) and inserting in lieu thereof

10 ‘‘or reentry vehicle, or the payload of either, for

11 launch or reentry’’; and

12 (J) by inserting ‘‘, reentry vehicle,’’ after

13 ‘‘manufacturer of the launch vehicle’’ in sub14 section (d);

15 (12) in section 70112—

16 (A) in subsection (a)(1), by inserting

17 ‘‘launch, reentry, or site operator’’ after ‘‘(1)

18 When a’’;

19 (B) by inserting ‘‘or reentry’’ after ‘‘one

20 launch’’ in subsection (a)(3);

21 (C) by inserting ‘‘or reentry services’’ after

22 ‘‘launch services’’ in subsection (a)(4);

23 (D) in subsection (b)(1), by inserting

24 ‘‘launch, reentry, or site operator’’ after ‘‘(1) A’’;
18

•HR 3936 RH

1 (E) by inserting ‘‘or reentry services’’ after

2 ‘‘launch services’’ each place it appears in sub3 section (b);

4 (F) by inserting ‘‘applicable’’ after ‘‘carried

5 out under the’’ in paragraphs (1) and (2) of sub6 section (b);

7 (G) by striking ‘‘, Space, and Technology’’

8 in subsection (d)(1);

9 (H) by inserting ‘‘OR REENTRIES’’ after

10 ‘‘LAUNCHES’’ in the heading for subsection (e);

11 (I) by inserting ‘‘or reentry site or a re12 entry’’ after ‘‘launch site’’ in subsection (e); and

13 (J) in subsection (f), by inserting ‘‘launch,

14 reentry, or site operator’’ after ‘‘carried out

15 under a’’;

16 (13) in section 70113 (a)(1) and (d) (1) and (2),

17 by inserting ‘‘or reentry’’ after ‘‘one launch’’ each

18 place it appears;

19 (14) in section 70115(b)(1)(D)(i)—

20 (A) by inserting ‘‘reentry site,’’ after

21 ‘‘launch site,’’; and

22 (B) by inserting ‘‘or reentry vehicle’’ after

23 ‘‘launch vehicle’’ both places it appears;

24 (15) in section 70117—
19

•HR 3936 RH

1 (A) by inserting ‘‘or reentry site, or to reen2 ter a reentry vehicle’’ after ‘‘operate a launch

3 site’’ in subsection (a);

4 (B) by inserting ‘‘or reentry’’ after ‘‘ap5 proval of a space launch’’ in subsection (d);

6 (C) by amending subsection (f) to read as

7 follows:

8 ‘‘(f) LAUNCH NOT AN EXPORT; REENTRY NOT AN IM9 PORT.—A launch vehicle, reentry vehicle, or payload that

10 is launched or reentered is not, because of the launch or

11 reentry, an export or import, respectively, for purposes of

12 a law controlling exports or imports.’’; and

13 (D) in subsection (g)—

14 (i) by striking ‘‘operation of a launch

15 vehicle or launch site,’’ in paragraph (1)

16 and inserting in lieu thereof ‘‘reentry, oper17 ation of a launch vehicle or reentry vehicle,

18 operation of a launch site or reentry site,’’;

19 and

20 (ii) by inserting ‘‘reentry,’’ after

21 ‘‘launch,’’ in paragraph (2); and

22 (16) by adding at the end the following new sec23 tions:
20

•HR 3936 RH

1 ‘‘§ 70120. Regulations

2 ‘‘The Secretary of Transportation, within 6 months

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

4 regulations to carry out this chapter that include—

5 ‘‘(1) guidelines for industry to obtain sufficient

6 insurance coverage for potential damages to third

7 parties;

8 ‘‘(2) procedures for requesting and obtaining li9 censes to operate a commercial launch vehicle or re10 entry vehicle;

11 ‘‘(3) procedures for requesting and obtaining op12 erator licenses for launch or reentry;

13 ‘‘(4) procedures for requesting and obtaining

14 launch site or reentry site operator licenses; and

15 ‘‘(5) procedures for the application of govern16 ment indemnification.

17 ‘‘§ 70121. Report to Congress

18 ‘‘The Secretary of Transportation shall submit to Con19 gress an annual report to accompany the President’s budget

20 request that—

21 ‘‘(1) describes all activities undertaken under

22 this chapter, including a description of the process for

23 the application for and approval of licenses under

24 this chapter and recommendations for legislation that

25 may further commercial launches and reentries; and
21

•HR 3936 RH

1 ‘‘(2) reviews the performance of the regulatory

2 activities and the effectiveness of the Office of Com3 mercial Space Transportation.’’.

4 (b) EFFECTIVE DATE.—The amendments made by sub5 section (a)(6)(B) shall take effect upon the effective date of

6 final regulations issued pursuant to section 70105(b)(2)(D)

7 of title 49, United States Code, as added by subsection

8 (a)(6)(I).

9 SEC. 103. EXCEPTIONS TO EMPLOYMENT RESTRICTIONS.

10 (a) GENERAL RULE.—Section 207 (a) and (c) of title

11 18, United States Code, and section 27(f)(1) of the Federal

12 Procurement Policy Act (41 U.S.C. 423(f)(1)) shall not

13 apply to employees or former employees of the National Aer14 onautics and Space Administration seeking employment

15 with an entity that is awarded the Space Flight Operations

16 Contract for the Space Shuttle.

17 (b) EXCEPTIONS.—Subsection (a) shall not apply to

18 an employee who, while employed with the National Aero19 nautics and Space Administration, was actively and sig20 nificantly involved in the selection of the entity that is

21 awarded the Space Flight Operations Contract for the

22 Space Shuttle.
22

•HR 3936 RH

1 SEC. 104. LAUNCH VOUCHER DEMONSTRATION PROGRAM.

2 Section 504 of the National Aeronautics and Space

3 Administration Authorization Act, Fiscal Year 1993 (15

4 U.S.C. 5803) is amended—

5 (1) in subsection (a)—

6 (A) by striking ‘‘the Office of Commercial

7 Programs within’’; and

8 (B) by striking ‘‘Such program shall not be

9 effective after September 30, 1995.’’;

10 (2) by striking subsection (c); and

11 (3) by redesignating subsections (d) and (e) as

12 subsections (c) and (d), respectively.

13 SEC. 105. PROMOTION OF UNITED STATES GLOBAL POSI14 TIONING SYSTEM STANDARDS.

15 (a) FINDING.—The Congress finds that the Global Po16 sitioning System, including satellites, signal equipment,

17 ground stations, data links, and associated command and

18 control facilities, has become an essential element in civil,

19 scientific, and military space development because of the

20 emergence of a United States commercial industry which

21 provides Global Positioning System equipment and related

22 services.

23 (b) INTERNATIONAL COOPERATION.—The Congress

24 therefore encourages the President to—

25 (1) undertake a coordinated effort within the ex26 ecutive branch to promote cooperation with foreign
23

•HR 3936 RH

1 governments and international organizations to ad2 vance United States interests with respect to the Glob3 al Positioning System standards and augmentations;

4 and

5 (2) ensure the operation of the Global Position6 ing System on a continuous worldwide basis free of

7 direct user fees.

8 SEC. 106. PURCHASE OF SPACE SCIENCE DATA.

9 (a) IN GENERAL.—To the maximum extent possible,

10 while satisfying the National Aeronautics and Space Ad11 ministration’s scientific requirements, the National Aero12 nautics and Space Administration shall, where cost effec13 tive, purchase from the United States private sector space

14 science data. Examples of such data include scientific data

15 concerning the elemental and mineralogical resources of the

16 moon and the planets, Earth environmental data obtained

17 through remote sensing observations, and solar storm mon18 itoring.

19 (b) COMPETITIVE BIDDING.—(1) Contracts for the

20 purchase of space science data under this section shall be

21 awarded in a process of full, fair, and open competitive bid22 ding.

23 (2) Submission of cost data, either for the purposes of

24 supporting the bid or fulfilling the contract, shall not be

25 required of bidders or awardees of the contract, except in
24

•HR 3936 RH

1 cases where only one credible bid meeting the requirements

2 of the solicitation is received.

3 (3) Reasonable performance specifications, rather than

4 design or construction specifications, shall be used to the

5 maximum extent feasible to define requirements for United

6 States commercial providers with respect to the design, con7 struction, or operation of equipment used in obtaining

8 space science data under contracts entered into under this

9 section. This subsection shall not be construed to prohibit

10 the Federal Government from requiring compliance with

11 applicable safety standards.

12 (4) Contracts under this section shall not provide for

13 the Federal Government to obtain ownership of data not

14 specifically sought by the Federal Government.

15 (c) LIMITATION.—This section does not authorize the

16 National Aeronautics and Space Administration to provide

17 financial assistance for the development of systems for the

18 collection of space science data.

19 TITLE II—REMOTE SENSING

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

21 AMENDMENTS.

22 The Land Remote Sensing Policy Act of 1992 is

23 amended—

24 (1) in section 2 (15 U.S.C. 5601)—
25

•HR 3936 RH

1 (A) by amending paragraph (5) to read as

2 follows:

3 ‘‘(5) Commercialization of land remote sensing is

4 a near-term goal, and should remain a long-term

5 goal, of United States policy.’’;

6 (B) by striking paragraph (6) and redesig7 nating paragraphs (7) through (16) as para8 graphs (6) through (15), respectively; and

9 (C) in paragraph (11), as so redesignated

10 by subparagraph (B) of this paragraph, by strik11 ing ‘‘determining the design’’ and all that follows

12 through ‘‘international consortium’’ and insert13 ing in lieu thereof ‘‘ensuring the continuity of

14 Landsat quality data’’;

15 (2) in section 101 (15 U.S.C. 5611)—

16 (A) by inserting the following after sub17 section (b)(4):

18 ‘‘The Director of the Office of Science and Technology Pol19 icy shall, no later than 60 days after the date of the enact20 ment of the Space Commercialization Promotion Act of

21 1996, transmit the management plan to the Committee on

22 Science of the House of Representatives and the Committee

23 on Commerce, Science, and Transportation of the Senate.’’;

24 (B) in subsection (c)—
26

•HR 3936 RH

1 (i) by inserting ‘‘and’’ at the end of

2 paragraph (6);

3 (ii) by striking paragraph (7); and

4 (iii) by redesignating paragraph (8) as

5 paragraph (7); and

6 (C) in subsection (e)(1)—

7 (i) by inserting ‘‘and’’ at the end of

8 subparagraph (A);

9 (ii) by striking ‘‘, and’’ at the end of

10 subparagraph (B) and inserting in lieu

11 thereof a period; and

12 (iii) by striking subparagraph (C);

13 (3) in section 201 (15 U.S.C. 5621)—

14 (A) by inserting ‘‘(1)’’ after ‘‘NATIONAL SE15 CURITY.—’’ in subsection (b);

16 (B) in subsection (b)(1), as so designated by

17 subparagraph (A) of this paragraph, by striking

18 ‘‘No license’’ and inserting in lieu thereof ‘‘Ex19 cept as provided in paragraph (3), no license’’;

20 (C) by adding at the end of subsection (b)

21 the following new paragraphs:

22 ‘‘(2) The Secretary, within 6 months after the date of

23 the enactment of the Space Commercialization Promotion

24 Act of 1996, shall publish in the Federal Register a complete

25 and specific list of all information required to comprise a
27

•HR 3936 RH

1 complete application for a license under this title. An appli2 cation shall be considered complete when the applicant has

3 provided all information required by the list most recently

4 published in the Federal Register before the date the appli5 cation was first submitted. Unless the Secretary has, within

6 30 days after receipt of an application, notified the appli7 cant of information necessary to complete an application,

8 the Secretary may not deny the application on the basis

9 of the absence of any such information.

10 ‘‘(3) The Secretary shall grant a license under this title

11 to any United States commercial provider (as such term

12 is defined in section 2 of the Space Commercialization Pro13 motion Act of 1996) whose application is in full compliance

14 with the requirements of this title.’’;

15 (D) in subsection (c), by amending the sec16 ond sentence thereof to read as follows: ‘‘If the

17 Secretary has not granted the license within such

18 120-day period, the Secretary shall inform the

19 applicant, within such period, of any pending

20 issues and actions required to be carried out by

21 the applicant or the Secretary in order to result

22 in the granting of a license.’’; and

23 (E) in subsection (e)(2)(B), by striking

24 ‘‘and the importance of promoting widespread
28

•HR 3936 RH

1 access to remote sensing data from United States

2 and foreign systems’’;

3 (4) in section 202 (15 U.S.C. 5622)—

4 (A) by striking ‘‘section 506’’ in subsection

5 (b)(1) and inserting in lieu thereof ‘‘section

6 507’’;

7 (B) in subsection (b)(2), by striking ‘‘as

8 soon as such data are available and on reason9 able terms and conditions’’ and inserting in lieu

10 thereof ‘‘on reasonable terms and conditions, in11 cluding the provision of such data in a timely

12 manner’’;

13 (C) in subsection (b)(6), by striking ‘‘any

14 agreement’’ and inserting in lieu thereof ‘‘any

15 significant or substantial agreement relating to

16 land remote sensing’’; and

17 (D) by inserting after paragraph (6) of sub18 section (b) the following:

19 ‘‘The Secretary may not terminate, modify, or suspend a

20 license issued pursuant to this title on the basis of an agree21 ment the Secretary receives notification of under paragraph

22 (6) unless the Secretary has, within 30 days after receipt

23 of such notification, transmitted to the licensee a statement

24 that such agreement is inconsistent with the national secu-
29

•HR 3936 RH

1 rity or international obligations of the United States, in2 cluding an explanation of such inconsistency.’’;

3 (5) in section 203 (15 U.S.C. 5623)—

4 (A) in subsection (a)(2), by striking ‘‘under

5 this title and’’ and inserting in lieu thereof

6 ‘‘under this title or’’;

7 (B) in subsection (a)(3), by striking ‘‘pro8 vide penalties’’ and inserting in lieu thereof

9 ‘‘seek, in a United States District Court with

10 personal jurisdiction over the licensee, penalties’’;

11 and

12 (C) in subsection (b), by striking ‘‘(a)(3),’’;

13 (6) in section 204 (15 U.S.C. 5624), by striking

14 ‘‘may’’ and inserting in lieu thereof ‘‘shall’’;

15 (7) in section 205(c) (15 U.S.C. 5625(c)), by

16 striking ‘‘if such remote sensing space system is li17 censed by the Secretary before commencing operation’’

18 and inserting in lieu thereof ‘‘if such private remote

19 sensing space system will be licensed by the Secretary

20 before commencing its commercial operation’’;

21 (8) by adding at the end of title II the following

22 new section:

23 ‘‘SEC. 206. NOTIFICATION.

24 ‘‘(a) LIMITATIONS ON LICENSEE.—Not later than 30

25 days after a determination by the Secretary to require a
30

•HR 3936 RH

1 licensee to limit collection or distribution of data from a

2 system licensed under this title, the Secretary shall provide

3 written notification to Congress of such determination, in4 cluding the reasons therefor, the limitations imposed on the

5 licensee, and the period during which such limitations

6 apply.

7 ‘‘(b) TERMINATION, MODIFICATION, OR SUSPEN8 SION.—Not later than 30 days after an action by the Sec9 retary to seek an order of injunction or other judicial deter10 mination pursuant to section 203(a)(2), the Secretary shall

11 provide written notification to Congress of such action and

12 the reasons therefor.’’;

13 (9) in section 301 (15 U.S.C. 5631)—

14 (A) by inserting ‘‘, that are not being com15 mercially developed’’ after ‘‘and its environ16 ment’’ in subsection (a)(2)(B); and

17 (B) by adding at the end the following new

18 subsection:

19 ‘‘(d) DUPLICATION OF COMMERCIAL SECTOR ACTIVI20 TIES.—The Federal Government shall not undertake activi21 ties under this section which duplicate activities available

22 from the commercial sector, unless such activities would re23 sult in significant cost savings to the Federal Government.’’;

24 (10) in section 302 (15 U.S.C. 5632)—

25 (A) by striking ‘‘(a) GENERAL RULE.—’’;
31

•HR 3936 RH

1 (B) by striking ‘‘, including unenhanced

2 data gathered under the technology demonstra3 tion program carried out pursuant to section

4 303,’’ and inserting in lieu thereof ‘‘that is not

5 otherwise available from the commercial sector’’;

6 and

7 (C) by striking subsection (b);

8 (11) by repealing section 303 (15 U.S.C. 5633);

9 (12) in section 401(b)(3) (15 U.S.C. 5641(b)(3)),

10 by striking ‘‘, including any such enhancements devel11 oped under the technology demonstration program

12 under section 303,’’;

13 (13) in section 501(a) (15 U.S.C. 5651(a)), by

14 striking ‘‘section 506’’ and inserting in lieu thereof

15 ‘‘section 507’’;

16 (14) in section 502(c)(7) (15 U.S.C. 5652(c)(7)),

17 by striking ‘‘section 506’’ and inserting in lieu thereof

18 ‘‘section 507’’;

19 (15) in section 506 (15 U.S.C. 5656)—

20 (A) by inserting ‘‘(1)’’ after ‘‘COMMUNICA21 TIONS COMMISSION.—’’ in subsection (a);

22 (B) by inserting at the end of subsection (a)

23 the following new paragraph:

24 ‘‘(2) The Federal Communications Commission, with25 in 6 months after the date of the enactment of the Space
32

•HR 3936 RH

1 Commercialization Promotion Act of 1996, shall publish in

2 the Federal Register a complete and specific list of all infor3 mation required to comprise a complete application de4 scribed in paragraph (1). An application shall be consid5 ered complete when the applicant has provided all informa6 tion required by the list most recently published in the Fed7 eral Register before the date the application was first sub8 mitted. Unless the Federal Communications Commission

9 has, within 30 days after receipt of an application, notified

10 the applicant of information necessary to complete an ap11 plication, the Federal Communications Commission may

12 not deny the application on the basis of the absence of any

13 such information.’’; and

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

15 subsection:

16 ‘‘(e) FEES.—The Federal Communications Commis17 sion shall ensure that any licensing or other fees that a pri18 vate remote sensing space system operator subject to the li19 censing requirements of title II is required to pay such

20 Commission shall be proportional to the cost to the Commis21 sion of the radio licensing process for such person relative

22 to the cost to the Commission of licensing other entities sub23 ject to the fee.’’; and

24 (16) in section 507 (15 U.S.C. 5657)—
33

•HR 3936 RH

1 (A) by amending subsection (a) to read as

2 follows:

3 ‘‘(a) RESPONSIBILITY OF THE SECRETARY OF DE4 FENSE.—The Secretary shall consult with the Secretary of

5 Defense on all matters under this Act affecting national se6 curity. The Secretary of Defense shall be responsible for de7 termining those conditions, consistent with this Act, nec8 essary to meet national security concerns of the United

9 States, and for notifying the Secretary promptly of such

10 conditions. Not later than 60 days after receiving a request

11 from the Secretary, the Secretary of Defense shall rec12 ommend to the Secretary any conditions for a license issued

13 under title II, consistent with this Act, that the Secretary

14 of Defense determines are needed to protect the national se15 curity of the United States. If no such recommendation has

16 been received by the Secretary within such 60-day period,

17 the Secretary shall deem activities proposed in the license

18 application to be consistent with the protection of the na19 tional security of the United States.’’;

20 (B) by striking subsection (b) (1) and (2)

21 and inserting in lieu thereof the following:

22 ‘‘(b) RESPONSIBILITY OF THE SECRETARY OF

23 STATE.—(1) The Secretary shall consult with the Secretary

24 of State on all matters under this Act affecting inter25 national obligations of the United States. The Secretary of
34

•HR 3936 RH

1 State shall be responsible for determining those conditions,

2 consistent with this Act, necessary to meet international ob3 ligations of the United States and for notifying the Sec4 retary promptly of such conditions. Not later than 60 days

5 after receiving a request from the Secretary, the Secretary

6 of State shall recommend to the Secretary any conditions

7 for a license issued under title II, consistent with this Act,

8 that the Secretary of State determines are needed to meet

9 international obligations of the United States. If no such

10 recommendation has been received by the Secretary within

11 such 60-day period, the Secretary shall deem activities pro12 posed in the license application to be consistent with the

13 international obligations and policies of the United States.

14 ‘‘(2) Appropriate United States Government agencies

15 are authorized and encouraged to provide to developing na16 tions, as a component of international aid, resources for

17 purchasing remote sensing data, training, and analysis

18 from United States commercial providers.’’; and

19 (C) in subsection (d), by striking ‘‘Secretary

20 may require’’ and inserting in lieu thereof ‘‘Sec21 retary shall, where appropriate, require’’.

22 SEC. 202. ACQUISITION OF EARTH REMOTE SENSING DATA.

23 (a) ACQUISITION.—To the maximum extent possible,

24 while satisfying the National Aeronautics and Space Ad25 ministration’s scientific requirements, the Administrator
35

•HR 3936 RH

1 shall, where cost effective, acquire space-based and airborne

2 Earth remote sensing data, services, distribution, and ap3 plications provided by the United States private sector to

4 meet Government goals for Mission to Planet Earth.

5 (b) STUDY.—(1) The Administrator shall conduct a

6 study to determine the extent to which the baseline scientific

7 requirements of Mission to Planet Earth can be met by the

8 private sector, and how the National Aeronautics and Space

9 Administration will meet such requirements which cannot

10 be met by the private sector.

11 (2) The study conducted under this subsection shall—

12 (A) make recommendations to promote the avail13 ability of information from the National Aeronautics

14 and Space Administration to the private sector to en15 able the private sector to better meet the baseline sci16 entific requirements of Mission to Planet Earth;

17 (B) make recommendations to promote the dis18 semination to the private sector of information on ad19 vanced technology research and development per20 formed by or for the National Aeronautics and Space

21 Administration; and

22 (C) identify policy, regulatory, and legislative

23 barriers to the implementation of the recommenda24 tions made under this subsection.
36

•HR 3936 RH

1 (3) The results of the study conducted under this sub2 section shall be transmitted to the Congress within 6 months

3 after the date of the enactment of this Act.

4 (c) ADMINISTRATION.—This section shall be carried

5 out as part of the Commercial Remote Sensing Program

6 at the Stennis Space Center.

7 TITLE III—FEDERAL ACQUISI8 TION OF SPACE TRANSPOR9 TATION SERVICES

10 SEC. 301. REQUIREMENT TO PROCURE COMMERCIAL SPACE

11 TRANSPORTATION SERVICES.

12 (a) IN GENERAL.—Except as otherwise provided in

13 this section, the Federal Government shall acquire space

14 transportation services from United States commercial pro15 viders whenever such services are required in the course of

16 its activities. To the maximum extent practicable, the Fed17 eral Government shall plan missions to accommodate the

18 space transportation services capabilities of United States

19 commercial providers.

20 (b) EXCEPTIONS.—(1) The Federal Government shall

21 not be required to acquire space transportation services

22 under subsection (a) if, on a case-by-case basis, the Admin23 istrator or, in the case of a national security issue, the Sec24 retary of Defense, determines that—
37

•HR 3936 RH

1 (A) a payload requires the unique capabilities of

2 the space shuttle;

3 (B) space transportation services that meet spe4 cific mission requirements would not be reasonably

5 available from United States commercial providers

6 when required;

7 (C) the use of space transportation services from

8 United States commercial providers poses an unac9 ceptable risk of loss of a unique scientific opportunity;

10 (D) the use of space transportation services from

11 United States commercial providers is inconsistent

12 with national security objectives; or

13 (E) it is more cost effective to transport a pay14 load in conjunction with a test or demonstration of

15 a space transportation vehicle owned by the Federal

16 Government.

17 (2) Determinations under paragraph (1) shall be made

18 by the Administrator or the Secretary of the Air Force.

19 (c) PARTNERSHIPS.—The acquisition of space trans20 portation services in connection with a payload with re21 spect to which the Federal Government has provided a

22 greater amount of the funding required for construction and

23 operation than any other source, shall be subject to the re24 quirements of this section.
38

•HR 3936 RH

1 (d) DELAYED EFFECT.—Subsections (a) and (c) shall

2 not apply to space transportation services and space trans3 portation vehicles acquired or owned by the Federal Govern4 ment before the date of the enactment of this Act, or with

5 respect to which a contract for such acquisition or owner6 ship has been entered into before such date.

7 (e) HISTORICAL PURPOSES.—This section shall not be

8 construed to prohibit the Federal Government from acquir9 ing, owning, or maintaining space transportation vehicles

10 solely for historical display purposes.

11 SEC. 302. ACQUISITION OF SPACE TRANSPORTATION SERV12 ICES.

13 (a) COMPETITIVE BIDDING.—(1) Contracts for the ac14 quisition of space transportation services by the Federal

15 Government shall be awarded subject to applicable Federal

16 law requiring full, fair, and open competition, including

17 section 2304 of title 10, United States Code, and section

18 311 of the National Aeronautics and Space Act of 1958 (42

19 U.S.C. 2459c).

20 (2) Bidders for a contract for the acquisition by the

21 Federal Government of space transportation services shall

22 not be required to provide cost data for the purpose of sup23 porting such a bid or fulfilling such a contract, except in

24 cases where only one credible bid meeting the requirements

25 of the solicitation is received.
39

•HR 3936 RH

1 (b) SPECIFICATION SYSTEMS.—Reasonable perform2 ance specifications, rather than design or construction spec3 ifications, shall be used to the maximum extent feasible to

4 define requirements for United States commercial providers

5 bidding to provide or providing space transportation serv6 ices to the Federal Government. This subsection shall not

7 be construed to prohibit the Federal Government from re8 quiring compliance with applicable safety standards.

9 SEC. 303. LAUNCH SERVICES PURCHASE ACT OF 1990

10 AMENDMENTS.

11 The Launch Services Purchase Act of 1990 (42 U.S.C.

12 2465b et seq.) is amended—

13 (1) by striking section 202;

14 (2) in section 203—

15 (A) by striking paragraphs (1) and (2); and

16 (B) by redesignating paragraphs (3) and

17 (4) as paragraphs (1) and (2), respectively;

18 (3) by striking sections 204 and 205; and

19 (4) in section 206—

20 (A) by striking ‘‘(a) COMMERCIAL PAY21 LOADS ON THE SPACE SHUTTLE.—’’; and

22 (B) by striking subsection (b).
40

•HR 3936 RH

1 SEC. 304. USE OF EXCESS INTERCONTINENTAL BALLISTIC

2 MISSILES.

3 (a) IN GENERAL.—The Federal Government shall

4 not—

5 (1) convert any missile described in subsection

6 (c) to a space transportation vehicle configuration or

7 otherwise use any such missile to place a payload in

8 space; or

9 (2) transfer ownership of any such missile to an10 other person,

11 except as provided in subsection (b).

12 (b) AUTHORIZED FEDERAL USES.—(1) A missile de13 scribed in subsection (c) may be converted for use as a space

14 transportation vehicle by the Federal Government if—

15 (A) except as provided in paragraph (2), at least

16 120 days before such conversion the agency seeking to

17 use the missile as a space transportation vehicle

18 transmits to the Committee on National Security and

19 the Committee on Science of the House of Representa20 tives, and to the Committee on Armed Services and

21 the Committee on Commerce, Science, and Transpor22 tation of the Senate, a report that contains—

23 (i) a certification that the use of such mis24 sile—

25 (I) would result in significant cost sav26 ings to the Federal Government when com-
41

•HR 3936 RH

1 pared to the cost of acquiring space trans2 portation services from United States com3 mercial providers; and

4 (II) meets all mission requirements of

5 the agency, including performance, schedule,

6 and risk requirements; and

7 (ii) comments obtained from United States

8 commercial providers in response to prior public

9 notice published in the Commerce Business

10 Daily;

11 (B) the use of such missile is consistent with

12 international obligations of the United States; and

13 (C) the Secretary of Defense approves of such

14 conversion.

15 (2) The requirement under paragraph (1)(A) that the

16 report described in that subparagraph must be transmitted

17 at least 120 days before conversion of the missile shall not

18 apply if the Secretary of Defense determines that compli19 ance with that requirement would be inconsistent with

20 meeting immediate national security requirements.

21 (c) MISSILES REFERRED TO.—The missiles referred to

22 in this section are missiles owned by the United States that

23 were formerly used by the Department of Defense for na24 tional defense purposes as intercontinental ballistic missiles
42

•HR 3936 RH

1 and that have been retired from service in compliance with

2 international obligations of the United States.