SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Civilian Space Authorization Act, Fiscal Years 1998 and
1999’’.
(b) TABLE OF CONTENTS.—
Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
TITLE I—AUTHORIZATION OF APPROPRIATIONS
Subtitle A—Authorizations
Sec. 101. Human space flight.
Sec. 102. Science, aeronautics, and technology.
Sec. 103. Mission support.
Sec. 104. Inspector General.
Sec. 105. Total authorization.
Sec. 106. Office of Commercial Space Transportation authorization.
Sec. 107. Office of Space Commerce.
Sec. 108. United States-Mexico Foundation for Science.
Subtitle B—Restructuring the National Aeronautics and Space Administration
Sec. 111. Findings.
Sec. 112. Restructuring reports.
Subtitle C—Limitations and Special Authority
Sec. 121. Use of funds for construction.
Sec. 122. Availability of appropriated amounts.
Sec. 123. Reprogramming for construction of facilities.
Sec. 124. Consideration by committees.
Sec. 125. Limitation on obligation of unauthorized appropriations.
Sec. 126. Use of funds for scientific consultations or extraordinary expenses.
Sec. 127. Mission to Planet Earth limitation.
Sec. 128. Space operations.
Sec. 129. International Space University Limitation.
TITLE II—INTERNATIONAL SPACE STATION
Sec. 201. Findings.
Sec. 202. Commercialization of Space Station.
Sec. 203. Space Station accounting reports.
Sec. 204. Report on international hardware agreements.
Sec. 205. International Space Station limitations.
TITLE III—MISCELLANEOUS PROVISIONS
Sec. 301. Commercial space launch amendments.
Sec. 302. Requirement for independent cost analysis.
Sec. 303. Office of Space Commerce.
Sec. 304. National Aeronautics and Space Act of 1958 amendments.
Sec. 305. Procurement.
Sec. 306. Acquisition of space science data.
Sec. 307. Commercial space goods and services.
Sec. 308. Acquisition of earth science data.
Sec. 309. EOSDIS report.
Sec. 310. Shuttle privatization.
Sec. 311. Launch voucher demonstration program amendments.
Sec. 312. Use of abandoned and underutilized buildings, grounds, and facilities.
Sec. 313. Cost effectiveness calculations.
Sec. 314. Foreign contract limitation.
Sec. 315. Authority to reduce or suspend contract payments based on substan-
tial evidence of fraud.
Sec. 316. Next Generation Internet.
Sec. 317. Limitations.
Sec. 318. Notice.
Sec. 319. Sense of Congress on the Year 2000 problem.
Sec. 320. National Oceanographic Partnership Program.
Sec. 321. National Science Foundation Antarctic Program.
Sec. 322. Buy American.
Sec. 323. Unitary Wind Tunnel Plan Act of 1949 amendments.
SEC. 2. FINDINGS.
The Congress makes the following findings:
(1) The National Aeronautics and Space Ad-
ministration should aggressively pursue actions and
reforms directed at reducing institutional costs, in-
cluding management restructuring, facility consoli-
dation, 
procurement 
reform, 
personnel 
base
downsizing, and convergence with other defense and
commercial sector systems.
(2) The National Aeronautics and Space Ad-
ministration must reverse its current trend toward
becoming an operational agency, and return to its
proud history as the Nation’s leader in basic sci-
entific, air, and space research.
(3) The United States is on the verge of creat-
ing and using new technologies in microsatellites, in-
formation processing, and space launches that could
radically alter the manner in which the Federal Gov-
ernment approaches its space mission.
(4) The overwhelming preponderance of the
Federal Government’s requirements for routine, non-
emergency manned and unmanned space transpor-
tation can be met most effectively, efficiently, and
economically by a free and competitive market in
privately developed and operated space transpor-
tation services.
(5) In formulating a national space transpor-
tation service policy, the National Aeronautics and
Space Administration should aggressively promote
the pursuit by commercial providers of development
of advanced space transportation technologies in-
cluding reusable space vehicles, single-stage-to-orbit
vehicles, and human space systems.
(6) The Federal Government should invest in
the types of research and innovative technology in
which United States commercial providers do not in-
vest, while avoiding competition with the activities in
which United States commercial providers do invest.
(7) International cooperation in space explo-
ration and science activities serves the United States
national interest—
(A) when it—
(i) reduces the cost of undertaking
missions the United States Government
would pursue unilaterally;
(ii) enables the United States to pur-
sue missions that it could not otherwise af-
ford to pursue unilaterally; or
(iii) enhances United States capabili-
ties to use and develop space for the bene-
fit of United States citizens; and
(B) when it does not—
(i) otherwise harm or interfere with
the ability of United States commercial
providers to develop or explore space com-
mercially;
(ii) interfere with the ability of Fed-
eral agencies to use space to complete their
missions;
(iii) undermine the ability of United
States commercial providers to compete fa-
vorably with foreign entities in the com-
mercial space arena; or
(iv) transfer sensitive or commercially
advantageous technologies or knowledge
from the United States to other countries
or foreign entities except as required by
those countries or entities to make their
contribution to a multilateral space project
in partnership with the United States, or
on a quid pro quo basis.
(8) The National Aeronautics and Space Ad-
ministration and the Department of Defense can co-
operate more effectively in leveraging their mutual
capabilities to conduct joint space missions that im-
prove United States space capabilities and reduce
the cost of conducting space missions.
SEC. 3. DEFINITIONS.
For purposes of this Act—
(1) the term ‘‘Administrator’’ means the Ad-
ministrator 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 ‘‘institution of higher education’’
has the meaning given such term in section 1201(a)
of the Higher Education Act of 1965 (20 U.S.C.
1141(a));
(4) 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 common-
wealth, territory, or possession of the United States;
and
(5) the term ‘‘United States commercial pro-
vider’’ 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 evi-
denced a substantial commitment to the
United States market through—
(I) investments in the United
States in long-term research, develop-
ment, and manufacturing (including
(i) shall only be for Space Station re-
search or for the purposes described in sec-
tion 102(2); and
(ii) shall be administered by the Office
of Life and Microgravity Sciences and Ap-
plications.
(2) For Space Shuttle Operations—
(A) for fiscal year 1998, $2,494,400,000;
and
(B) for fiscal year 1999, $2,625,600,000.
(3) For Space Shuttle Safety and Performance
Upgrades—
(A) for fiscal year 1998, $483,400,000, in-
cluding related Construction of Facilities for—
(i) Repair of Payload Changeout
Room Wall in Ceiling, Pad A, Kennedy
Space Center, $2,200,000;
(ii) Restoration of Pad Surface and
Slope, Kennedy Space Center, $1,800,000;
and
(iii) Rehabilitation of 480V Electrical
Distribution System, Kennedy Space Cen-
ter, $2,800,000; and
(B) for fiscal year 1999, $392,900,000.
(4) For Payload and Utilization Operations—
(A) for fiscal year 1998, $247,400,000;
and
(B) for fiscal year 1999, $178,600,000.
SEC. 102. SCIENCE, AERONAUTICS, AND TECHNOLOGY.
There are authorized to be appropriated to the Na-
tional Aeronautics and Space Administration for Science,
Aeronautics, and Technology the following amounts:
(1) For Space Science—
(A) for fiscal year 1998, $2,079,800,000,
of which—
(i) $47,600,000 shall be for the Grav-
ity Probe B;
(ii) $5,000,000 shall be for participa-
tion in Clementine 2 (Air Force Program
Element 0603401F ‘‘Advanced Spacecraft
Technology’’);
(iii) $3,400,000 shall be for the Near
Earth Object Survey;
(iv) $529,400,000 shall be for Mission
Operations and Data Analysis, of which
$150,000,000 shall be for data analysis;
and
(v) $5,000,000 shall be for the Solar
B program; and
(B) for fiscal year 1999, $2,085,400,000,
of which—
(i) $5,000,000 shall be for participa-
tion in Clementine 2 (Air Force Program
Element 0603401F ‘‘Advanced Spacecraft
Technology’’);
(ii) $3,400,000 shall be for the Near
Earth Object Survey;
(iii) $561,100,000 shall be for Mission
Operations and Data Analysis, of which
$184,400,000 shall be for data analysis;
and
(iv) $15,000,000 shall be for the Solar
B program.
(2) For Life and Microgravity Sciences and Ap-
plications—
(A) for fiscal year 1998, $234,200,000, of
which—
(i) $2,000,000 shall be for research
and early detection systems for breast and
ovarian cancer and other women’s health
issues; and
(ii) $2,000,000, shall be for modifica-
tions for the installation of the Bio-Plex,
Johnson Space Center; and
(B) for fiscal year 1999, $249,800,000, of
which $2,000,000 shall be for research and
early detection systems for breast and ovarian
cancer and other women’s health issues.
(3) For Mission to Planet Earth, subject to the
limitations set forth in section 127—
(A) for fiscal year 1998, $1,417,300,000,
of which—
(i) $50,000,000 shall be for commer-
cial Earth science data purchases under
section 308(a);
(ii) $8,000,000 shall be for continuing
operations of the Midcourse Space Experi-
ment spacecraft constructed for the Ballis-
tic Missile Defense Organization, except
that such funds may not be obligated un-
less the Administrator receives independent
validation of the scientific requirements for
Midcourse Space Experiment data; and
(iii) $10,000,000 shall be for the
lightning mapper, except that such funds
may not be obligated unless the Adminis-
trator receives independent validation of
the scientific requirements for lightning
mapper data; and
(B) for fiscal year 1999, $1,446,300,000,
of which—
(i) $50,000,000 shall be for commer-
cial Earth science data purchases under
section 308(a); and
(ii) $10,000,000 shall be for the light-
ning mapper, except that such funds may
not be obligated unless the Administrator
receives independent validation of the sci-
entific requirements for lightning mapper
data.
(4) For Aeronautics and Space Transportation
Technology—
(A) for fiscal year 1998, $1,769,500,000,
of which—
(i) $920,100,000 shall be for Aero-
nautical Research and Technology, of
which not more than $35,700,000 shall be
for High Performance Computing and
Communications;
(ii) $696,600,000 shall be for Ad-
vanced Space Transportation Technology,
including—
(I) $333,500,000, which shall
only be for the X–33 advanced tech-
nology demonstration vehicle program,
including $3,700,000 for rehabilita-
tion and modification of the B2 test
stand, Stennis Space Center;
(II) $150,000,000, which shall
only be for a program of focused tech-
nology demonstrations to support the
competitive awarding of a contract to
develop, build, and flight test an ex-
perimental single-stage-to-orbit dem-
onstration vehicle, which will be a
complementary follow-on to the X–33,
and which uses design concepts dif-
ferent from, and technologies more
advanced than, the design concepts
and technologies used for the X–33
program; and
(III) $150,000,000, which shall
only be for the procurement of an ex-
perimental vehicle described in sub-
clause (II), after the expiration of 30
days after the Administrator has
transmitted to the Committee on
Science of the House of Representa-
tives and the Committee on Com-
merce, Science, and Transportation of
the Senate a written report including
a plan for the experimental vehicle
program and the projected costs
thereof; and
(iii) 152,800,000 shall be for Com-
mercial Technology, of which $5,000,000
shall be for business facilitators, selected
by the National Aeronautics and Space Ad-
ministration from among candidates who
receive at least 25 percent of their re-
sources from non-Federal sources; and
(B) for fiscal year 1999, $1,816,400,000,
of which—
(i) $837,400,000 shall be for Aero-
nautical Research and Technology;
(ii) $818,600,000 shall be for Ad-
vanced Space Transportation Technology,
including—
(I) $313,900,000, which shall
only be for the X–33 advanced tech-
nology demonstration vehicle program;
(II) $425,000,000, which shall
only be for the procurement of an ex-
perimental vehicle described in sub-
paragraph (A)(ii)(II); and
(III) $40,770,000, which shall
only be for the Advanced Space
Transportation program; and
(iii) $160,400,000 shall be for Com-
mercial Technology, of which $5,000,000
shall be for business facilitators, selected
by the National Aeronautics and Space Ad-
ministration from among candidates who
receive at least 25 percent of their re-
sources from non-Federal sources.
(5) For Mission Communication Services—
(A) for fiscal year 1998, $400,800,000;
and
(B) for fiscal year 1999, $436,100,000.
(6) For Academic Programs—
(A) for fiscal year 1998, $102,200,000, of
which—
(i) $15,300,000 shall be for the Na-
tional Space Grant College and Fellowship
Program; and
(ii) $46,700,000 shall be for minority
university research and education, includ-
SEC. 106. OFFICE OF COMMERCIAL SPACE TRANSPOR-
TATION AUTHORIZATION.
There are authorized to be appropriated to the Sec-
retary of Transportation for the activities of the Office
of Commercial Space Transportation—
(1) for fiscal year 1998, $6,000,000; and
(2) for fiscal year 1999, $6,000,000.
SEC. 107. OFFICE OF SPACE COMMERCE.
There are authorized to be appropriated to the Sec-
retary of Commerce for the activities of the Office of
Space Commerce established by section 303 of this Act—
(1) for fiscal year 1998, $500,000; and
(2) for fiscal year 1999, $500,000.
SEC. 
108. 
UNITED 
STATES-MEXICO 
FOUNDATION 
FOR
SCIENCE.
There are authorized to be appropriated to the Na-
tional Aeronautics and Space Administration for the Unit-
ed States-Mexico Foundation for Science—
(1) $1,000,000 for fiscal year 1998; and
(2) $1,000,000 for fiscal year 1999.
Subtitle B—Restructuring the Na-
tional Aeronautics and Space
Administration
SEC. 111. FINDINGS.
The Congress finds that—
(1) the restructuring of the National Aero-
nautics and Space Administration is essential to ac-
complishing the space missions of the United States
while simultaneously balancing the Federal budget;
(2) to restructure the National Aeronautics and
Space Administration rapidly without reducing mis-
sion content and safety requires objective financial
judgment; and
(3) a formal economic review of its missions
and the Federal assets that support them is required
in order to plan and implement needed restructuring
of the National Aeronautics and Space Administra-
tion.
SEC. 112. RESTRUCTURING REPORTS.
(a) IMPLEMENTATION REPORT.—The Administrator
shall transmit to Congress, no later than 90 days after
the date of the enactment of this Act, a report—
(1) describing its restructuring activities by fis-
cal year, including, at a minimum, a description of
all actions taken or planned to be taken after July
31, 1995, and before October 1, 2002, including
contracts terminated or consolidated; reductions in
force; relocations of personnel and facilities; sales,
closures, or mothballing of capital assets or facilities;
and net savings to be realized from such actions by
fiscal year; and
(2) describing the status of the implementation
of recommendations resulting from the Zero Base
Review, particularly with respect to the designation
of lead Centers and any increases and decreases in
the roles and responsibilities of all Centers.
(b) PROPOSED LEGISLATION.—The President shall
propose to Congress, not later than 180 days after the
date of the enactment of this Act, all enabling legislation
required to carry out actions described by the Administra-
tor’s report under subsection (a).
Subtitle C—Limitations and
Special Authority
SEC. 121. USE OF FUNDS FOR CONSTRUCTION.
(a) AUTHORIZED USES.—Funds appropriated under
sections 101 (1) through (4), 102, and 103 (1) and (2),
and funds appropriated for research operations support
under section 103(4), may be used for the construction
of new facilities and additions to, repair of, rehabilitation
of, or modification of existing facilities at any location in
support of the purposes for which such funds are author-
ized.
(b) LIMITATION.—No funds may be expended pursu-
ant to subsection (a) for a project, the estimated cost of
which to the National Aeronautics and Space Administra-
tion, including collateral equipment, exceeds $500,000,
until 30 days have passed after the Administrator has no-
tified the Committee on Science of the House of Rep-
resentatives and the Committee on Commerce, Science,
and Transportation of the Senate of the nature, location,
and estimated cost to the National Aeronautics and Space
Administration of such project.
(c) TITLE TO FACILITIES.—If funds are used pursu-
ant to subsection (a) for grants to institutions of higher
education, or to nonprofit organizations whose primary
purpose is the conduct of scientific research, for purchase
or construction of additional research facilities, title to
such facilities shall be vested in the United States unless
the Administrator determines that the national program
of aeronautical and space activities will best be served by
vesting title in the grantee institution or organization.
Each such grant shall be made under such conditions as
the Administrator shall determine to be required to ensure
that the United States will receive therefrom benefits ade-
quate to justify the making of that grant.
SEC. 122. AVAILABILITY OF APPROPRIATED AMOUNTS.
To the extent provided in appropriations Acts, appro-
priations authorized under subtitle A may remain avail-
able without fiscal year limitation.
SEC. 123. REPROGRAMMING FOR CONSTRUCTION OF FA-
CILITIES.
(a) IN GENERAL.—Appropriations authorized for
construction of facilities under section 101(3)(A) (i)
through (iii), 102 (2)(A)(ii) and (4)(A)(ii)(I), or 103(3)—
(1) may be varied upward by 10 percent in the
discretion of the Administrator; or
(2) may be varied upward by 25 percent, to
meet unusual cost variations, after the expiration of
15 days following a report on the circumstances of
such action by the Administrator to the Committee
on Science of the House of Representatives and the
Committee on Commerce, Science, and Transpor-
tation of the Senate.
The aggregate amount authorized to be appropriated for
construction of facilities under sections 101(3)(A) (i)
through (iii), 102 (2)(A)(ii) and (4)(A)(ii)(I), and 103(3)
shall not be increased as a result of actions authorized
under paragraphs (1) and (2) of this subsection.
(b) SPECIAL RULE.—Where the Administrator deter-
mines that new developments in the national program of
aeronautical and space activities have occurred; and that
such developments require the use of additional funds for
the purposes of construction, expansion, or modification
of facilities at any location; and that deferral of such ac-
tion until the enactment of the next National Aeronautics
and Space Administration authorization Act would be in-
consistent with the interest of the Nation in aeronautical
and space activities, the Administrator may use up to
$10,000,000 of the amounts authorized under sections
101(3)(A) 
(i) 
through 
(iii), 
102 
(2)(A)(ii) 
and
(4)(A)(ii)(I), and 103(3) for each fiscal year for such pur-
poses. No such funds may be obligated until a period of
30 days has passed after the Administrator has transmit-
ted to the Committee on Commerce, Science, and Trans-
portation of the Senate and the Committee on Science of
the House of Representatives a written report describing
the nature of the construction, its costs, and the reasons
therefor.
SEC. 124. CONSIDERATION BY COMMITTEES.
Notwithstanding any other provision of law—
(1) no amount appropriated to the National
Aeronautics and Space Administration may be used
for any program for which the President’s annual
budget request included a request for funding, but
for which the Congress denied or did not provide
funding;
(2) no amount appropriated to the National
Aeronautics and Space Administration may be used
for any program in excess of the amount actually
authorized for the particular program under this
title; and
(3) no amount appropriated to the National
Aeronautics and Space Administration may be used
for any program which has not been presented to
the Congress in the President’s annual budget re-
quest or the supporting and ancillary documents
thereto,
unless a period of 30 days has passed after the receipt
by the Committee on Science of the House of Representa-
tives and the Committee on Commerce, Science, and
Transportation of the Senate of notice given by the Ad-
ministrator containing a full and complete statement of
the action proposed to be taken and the facts and cir-
cumstances relied upon in support of such proposed ac-
tion. The National Aeronautics and Space Administration
shall keep the Committee on Science of the House of Rep-
resentatives and the Committee on Commerce, Science,
and Transportation of the Senate fully and currently in-
formed with respect to all activities and responsibilities
within the jurisdiction of those committees. Except as oth-
erwise provided by law, any Federal department, agency,
or independent establishment shall furnish any informa-
tion requested by either committee relating to any such
activity or responsibility.
SEC. 125. LIMITATION ON OBLIGATION OF UNAUTHORIZED
APPROPRIATIONS.
(a) REPORTS TO CONGRESS.—
(1) REQUIREMENT.—Not later than—
(A) 30 days after the later of the date of
the enactment of an Act making appropriations
to the National Aeronautics and Space Admin-
istration for fiscal year 1998 and the date of
the enactment of this Act; and
(B) 30 days after the date of the enact-
ment of an Act making appropriations to the
National Aeronautics and Space Administration
for fiscal year 1999,
the Administrator shall submit a report to Congress
and to the Comptroller General.
(2) CONTENTS.—The reports required by para-
graph (1) shall specify—
(A) the portion of such appropriations
which are for programs, projects, or activities
not authorized under subtitle A of this title, or
which are in excess of amounts authorized for
the relevant program, project, or activity under
this Act; and
(B) the portion of such appropriations
which are authorized under this Act.
(b) FEDERAL REGISTER NOTICE.—The Adminis-
trator shall, coincident with the submission of each report
required by subsection (a), publish in the Federal Register
a notice of all programs, projects, or activities for which
funds are appropriated but which were not authorized
under this Act, and solicit public comment thereon regard-
ing the impact of such programs, projects, or activities on
the conduct and effectiveness of the national aeronautics
and space program.
(c) LIMITATION.—Notwithstanding any other provi-
sion of law, no funds may be obligated for any programs,
projects, or activities of the National Aeronautics and
Space Administration for fiscal year 1998 or 1999 not au-
thorized under this Act until 30 days have passed after
the close of the public comment period contained in a no-
tice required by subsection (b).
SEC. 126. USE OF FUNDS FOR SCIENTIFIC CONSULTATIONS
OR EXTRAORDINARY EXPENSES.
Not more than $30,000 of the funds appropriated
under section 102 may be used for scientific consultations
or extraordinary expenses, upon the authority of the Ad-
ministrator.
SEC. 127. MISSION TO PLANET EARTH LIMITATION.
No funds appropriated pursuant to this Act shall be
used for Earth System Science Pathfinders for a fiscal
year unless the Administrator has certified to the Commit-
tee on Science of the House of Representatives and the
Committee on Commerce, Science, and Transportation of
the Senate that at least $50,000,000 are available for that
fiscal year for obligations by the Commercial Remote
Sensing Program at Stennis Space Center for commercial
data purchases under section 308(a). No funds appro-
priated pursuant to section 102(3) shall—
(1) be transferred to any museum; or
(2) be used for the United States Man and the
Biosphere Program, or related projects.
SEC. 128. SPACE OPERATIONS.
No funds appropriated pursuant to this Act shall be
used for Phase Two of the Consolidated Space Operations
Contract until a period of 30 days has passed after the
Administrator has transmitted to the Committee on
Science of the House of Representatives and the Commit-
tee on Commerce, Science, and Transportation of the Sen-
ate a written report which—
(1) compares the cost-effectiveness of the single
cost-plus contract approach of the Consolidated
Space Operations Contract and a multiple fixed-
price contracts approach;
(2) analyzes the differences in the competition
generated through the bidding process used for the
Consolidated Space Operations Contract as opposed
to multiple fixed-price contracts; and
(3) describes how the Consolidated Space Oper-
ations Contract can be transformed into fixed-price
contracts, and whether the National Aeronautics and
Space Administration intends to make such a transi-
tion.
SEC. 129. INTERNATIONAL SPACE UNIVERSITY.
Funds appropriated pursuant to this Act may be used
by the National Aeronautics and Space Administration to
pay the tuition expenses of any National Aeronautics and
Space Administration employee attending programs of the
International Space University held in the United States.
Funds appropriated pursuant to this Act may not be used
to pay tuition costs of the National Aeronautics and Space
Administration employees attending programs of the
International Space University outside of the United
States.
TITLE II—INTERNATIONAL
SPACE STATION
SEC. 201. FINDINGS.
The Congress finds that—
(1) the development, assembly, and operation of
the International Space Station is in the national in-
terest of the United States;
(2) the significant involvement by commercial
providers in marketing and using, competitively serv-
icing, and commercially augmenting the operational
capabilities of the International Space Station dur-
ing its assembly and operational phases will lower
costs and increase benefits to the international part-
ners; and
(3) when completed, the International Space
Station will be the largest, most capable micro-
gravity research facility ever developed. It will pro-
vide a lasting framework for conducting large-scale
science programs with international partners and it
is the next step in the human exploration of space.
The United States should commit to completing this
program, thereby reaping the benefits of scientific
research and international cooperation.
SEC. 202. 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 Con-
gress further declares that free and competitive markets
create the most efficient conditions for promoting eco-
nomic development, and should therefore govern the eco-
nomic development of Earth orbital space. The Congress
further declares that the use of free market principles in
operating, servicing, allocating the use of, and adding ca-
pabilities to the Space Station, and the resulting fullest
possible engagement of commercial providers and partici-
pation of commercial users, will reduce Space Station
operational costs for all partners and the Federal Govern-
ment’s share of the United States burden to fund oper-
ations.
(b) REPORTS.—(1) The Administrator shall deliver to
the Committee on Science of the House of Representatives
and the Committee on Commerce, Science, and Transpor-
tation of the Senate, within 90 days after the date of the
enactment of this Act, a study that identifies and exam-
ines—
(A) the opportunities for commercial providers
to play a role in International Space Station activi-
ties, including operation, use, servicing, and aug-
mentation;
(B) the potential cost savings to be derived
from commercial providers playing a role in each of
these activities;
(C) which of the opportunities described in sub-
paragraph (A) the Administrator plans to make
available to commercial providers in fiscal year 1998
and 1999;
(D) the specific policies and initiatives the Ad-
ministrator is advancing to encourage and facilitate
these commercial opportunities; and
(E) the revenues and cost reimbursements to
the Federal Government from commercial users of
the Space Station.
(2) The Administrator shall deliver to the Committee
on Science of the House of Representatives and the Com-
mittee on Commerce, Science, and Transportation of the
Senate, within 180 days after the date of the enactment
of this Act, an independently-conducted market study that
examines and evaluates potential industry interest in pro-
viding commercial goods and services for the operation,
servicing, and augmentation of the International Space
Station, and in the commercial use of the International
Space Station. This study shall also include updates to
the cost savings and revenue estimates made in the study
described in paragraph (1) based on the external market
assessment.
(3) The Administrator shall deliver to the Congress,
no later than the submission of the President’s annual
budget request for fiscal year 1999, a report detailing how
many proposals (whether solicited or not) the National
Aeronautics and Space Administration received during
calendar year 1997 regarding commercial operation, serv-
icing, utilization, or augmentation of the International
Space Station, broken down by each of these four cat-
egories, and specifying how many agreements the National
Aeronautics and Space Administration has entered into in
response to these proposals, also broken down by these
four categories.
SEC. 203. SPACE STATION ACCOUNTING REPORTS.
(a) INITIAL REPORT.—Not later than 90 days after
the date of the enactment of this Act, the Administrator
shall transmit to the Congress a report containing a de-
scription of all Space Station-related agreements entered
into by the United States with a foreign entity after Sep-
tember 30, 1993, along with—
(1) a complete accounting of all costs to the
United States incurred during fiscal years 1994
through 1996 pursuant to each such agreement; and
(2) an estimate of future costs to the United
States pursuant to each such agreement.
(b) ANNUAL REPORTS.—Not later than 60 days after
the end of each fiscal year beginning with fiscal year 1997,
the Administrator shall transmit to the Congress a report
containing a description of all Space Station-related agree-
ments entered into by the United States with a foreign
entity during the preceding fiscal year, along with—
(1) a complete accounting of all costs to the
United States incurred during that fiscal year pur-
suant to each such agreement; and
(2) an estimate of future costs to the United
States pursuant to each such agreement.
SEC. 204. REPORT ON INTERNATIONAL HARDWARE AGREE-
MENTS.
Not later than 90 days after the date of the enact-
ment of this Act, the Administrator shall transmit to the
Committee on Science of the House of Representatives
and the Committee on Commerce, Science, and Transpor-
tation of the Senate a report on—
(1) agreements that have been reached with for-
eign entities to transfer to a foreign entity the devel-
opment and manufacture of International Space Sta-
tion hardware baselined to be provided by the Unit-
ed States; and
(2) the impact of those agreements on United
States operating costs and United States utilization
shares of the International Space Station.
At least 90 days before entering into any additional agree-
ments of the type described in paragraph (1), the Admin-
istrator shall report to the Committee on Science of the
House of Representatives and the Committee on Com-
merce, Science, and Transportation of the Senate the na-
ture of the proposed agreement and the anticipated cost,
schedule, commercial, and utilization impacts of the pro-
posed agreement.
SEC. 205. INTERNATIONAL SPACE STATION LIMITATIONS.
(a) TRANSFER OF FUNDS TO RUSSIA.—No funds or
in-kind payments shall be transferred to any entity of the
Russian Government or any Russian contractor to per-
form work on the International Space Station which the
Russian Government pledged, at any time, to provide at
its expense. This section shall not apply to the purchase
or modification of the Russian built, United States owned
Functional Cargo Block, known as the ‘‘FGB’’.
(b) CONTINGENCY PLAN FOR RUSSIAN ELEMENTS IN
CRITICAL PATH.—The Administrator shall develop and
deliver to Congress, within 30 days after the date of the
enactment of this Act, a contingency plan for the removal
or replacement of each Russian Government element of
the International Space Station that lies in the Station’s
critical path. Such plan shall include—
(1) decision points for removing or replacing
those elements if the International Space Station is
to be completed by the end of the calendar year
2002;
(2) the cost of implementing each such decision;
and
(3) the cost of removing or replacing a Russian
Government critical path element after its decision
point has passed, if—
(A) the decision at that point was not to
remove or replace the Russian Government ele-
ment; and
(B) the National Aeronautics and Space
Administration later determines that the Rus-
sian Government will be unable to provide the
critical path element in a manner to allow com-
pletion of the International Space Station by
the end of calendar year 2002.
(c) MONTHLY CERTIFICATION
ON RUSSIAN STA-
TUS.—The Administrator shall certify to the Congress on
the first day of each month whether or not the Russians
have performed work expected of them and necessary to
complete the International Space Station by the end of
calendar year 2002. Such certification shall also include
a statement of the Administrator’s judgment concerning
Russia’s ability to perform work anticipated and required
to complete the International Space Station by the end
of 2002 before the next certification under this subsection.
Each certification under this subsection shall include a
judgment that the first element launch will or will not take
place by October 31, 1998.
(d) DECISION ON RUSSIAN CRITICAL PATH ITEMS.—
The President shall provide to Congress a decision, by Au-
gust 1, 1997, on whether or not to proceed with perma-
nent replacement of the Service Module, and each other
Russian element in the critical path for completing the
International Space Station by the end of calendar year
2002. The President shall certify to Congress the reasons
and justification for the decision and the costs associated
with the decision. Such decision shall include a judgment
that the first element launch will or will not take place
by October 31, 1998, and that the stage of assembly com-
plete will or will not take place by December 31, 2002.
If the President decides, after August 1, 1997, to proceed
with a permanent replacement of the Service Module or
any other Russian element in the critical path, the Presi-
dent shall certify to Congress the reasons and justification
for the decision to proceed with permanent replacement,
and the costs associated with that decision, including the
cost difference between making such decision by August
1, 1997, and any later date at which it is made. Such
certification shall include a description of the costs of re-
moving or replacing each critical path item, and the sched-
ule for completing the International Space Station by the
end of calendar year 2002.
(e) ASTRONAUTS
ON MIR.—The National Aero-
nautics and Space Administration shall not place another
United States astronaut on board the Mir Space Station,
without the Space Shuttle attached to Mir, until the Ad-
ministrator certifies to Congress that the Mir Space Sta-
tion meets or exceeds United States safety standards.
Such certification shall be based on an independent review
of the safety of the Mir Space Station.
TITLE III—MISCELLANEOUS
PROVISIONS
SEC. 301. 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 sec-
tion 70104 to read as follows:
‘‘70104. Restrictions on launches, operations, and reentries.’’;
(B) by amending the item relating to sec-
tion 70108 to read as follows:
‘‘70108. Prohibition, suspension, and end of launches, operation of launch sites
and reentry sites, and reentries.’’;
and
(C) by amending the item relating to sec-
tion 70109 to read as follows:
‘‘70109. Preemption of scheduled launches or reentries.’’;
(2) in section 70101—
(A) by inserting ‘‘microgravity research,’’
after ‘‘information services,’’ in subsection
(a)(3);
(B) by inserting ‘‘, reentry,’’ after ‘‘launch-
ing’’ 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 ‘‘com-
mercial launch’’ in subsection (b)(3);
(M) by striking ‘‘launch’’ after ‘‘and trans-
fer commercial’’ in subsection (b)(3); and
(N) by inserting ‘‘and development of re-
entry sites,’’ after ‘‘launch-site support facili-
ties,’’ in subsection (b)(4);
(3) in section 70102—
(A) by striking ‘‘and any payload’’ and in-
serting in lieu thereof ‘‘or reentry vehicle and
any payload from Earth’’ in paragraph (3);
(B) by inserting ‘‘or reentry vehicle’’ after
‘‘means of a launch vehicle’’ in paragraph (8);
(C) by redesignating paragraphs (10)
through (12) as paragraphs (14) through (16),
respectively;
(D) 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 substantially intact.’’; and
(E) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ each place it appears in para-
graph (15), as so redesignated by subparagraph
(C) of this paragraph;
(4) in section 70103(b)—
(A) by inserting ‘‘AND REENTRIES’’ after
‘‘LAUNCHES’’ in the subsection heading;
(B) by inserting ‘‘and reentries’’ after
‘‘space launches’’ in paragraph (1); and
(C) 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:
‘‘§ 70104. Restrictions on launches, operations, and
reentries’’;
(B) by inserting ‘‘or reentry site, or to re-
enter a reentry vehicle,’’ after ‘‘operate a
launch site’’ each place it appears in subsection
(a);
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 head-
ing 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 ‘‘or a reentry site, or the
reentry of a reentry vehicle,’’ after ‘‘operation
of a launch site’’ in subsection (b)(1); and
(B) by striking ‘‘or operation’’ and insert-
ing in lieu thereof ‘‘, operation, or reentry’’ in
subsection (b)(2)(A);
(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:
‘‘§ 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 re-
entry of a reentry vehicle,’’ after ‘‘oper-
ation 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:
‘‘§ 70109. Preemption of scheduled launches or reen-
tries’’;
(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 commit-
ment’’;
(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 re-
entry’’ after ‘‘prompt launching’’;
(10) in section 70110—
(A) by inserting ‘‘or reentry’’ after ‘‘pre-
vent the launch’’ in subsection (a)(2); and
(B) by inserting ‘‘or reentry site, or re-
entry 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) by inserting ‘‘or reentry services’’ after
‘‘or launch services’’ in subsection (a)(2);
(D) by inserting ‘‘or reentry’’ after ‘‘com-
mercial launch’’ both places it appears in sub-
section (b)(1);
(E) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ in subsection (b)(2)(C);
(F) 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
(G) by inserting ‘‘, reentry vehicle,’’ after
‘‘manufacturer of the launch vehicle’’ in sub-
section (d);
(12) in section 70112—
(A) by inserting ‘‘or reentry’’ after ‘‘one
launch’’ in subsection (a)(3);
(B) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ in subsection (a)(4);
(C) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ each place it appears in sub-
section (b);
(D) by inserting ‘‘applicable’’ after ‘‘car-
ried out under the’’ in paragraphs (1) and (2)
of subsection (b);
(E) by inserting ‘‘OR REENTRIES’’ after
‘‘LAUNCHES’’ in the heading for subsection (e);
and
(F) by inserting ‘‘or reentry site or a re-
entry’’ after ‘‘launch site’’ in subsection (e);
(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; and
(15) in section 70117—
(A) by inserting ‘‘or reentry site, or to re-
enter a reentry vehicle’’ after ‘‘operate a launch
site’’ in subsection (a);
(B) by inserting ‘‘or reentry’’ after ‘‘ap-
proval 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, op-
eration of a launch vehicle or reentry vehi-
cle, or operation of a launch site or reentry
site,’’; and
(ii) by inserting ‘‘reentry,’’ after
‘‘launch,’’ in paragraph (2).
(b) ADDITIONAL AMENDMENTS.—(1) Section 70105
of title 49, United States Code, is amended—
(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 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
a launch vehicle, reentry vehicle, or safety system, proce-
dure, service, or personnel that may be used in conducting
licensed commercial space launch or reentry activities.’’;
(D) by striking ‘‘and’’ at the end of subsection
(b)(2)(B);
(E) by striking the period at the end of sub-
section (b)(2)(C) and inserting in lieu thereof
‘‘; and’’;
(F) by adding at the end of subsection (b)(2)
the following new subparagraph:
‘‘(D) regulations establishing criteria for ac-
cepting or rejecting an application for a license
under this chapter within 60 days after receipt of
such application.’’; and
(G) by inserting ‘‘, or the requirement to obtain
a license,’’ after ‘‘waive a requirement’’ in subsection
(b)(3).
(2) The amendment made by paragraph (1)(B) shall
take effect upon the effective date of final regulations is-
sued pursuant to section 70105(b)(2)(D) of title 49, Unit-
ed States Code, as added by paragraph (1)(F) of this sub-
section.
(3) Section 70102(5) of title 49, United States Code,
is amended—
(A) by redesignating subparagraphs (A) and
(B) as subparagraphs (B) and (C), respectively; and
(B) by inserting before subparagraph (B), as so
redesignated by subparagraph (A) of this paragraph,
the following new subparagraph:
‘‘(A) activities directly related to the prep-
aration of a launch site or payload facility for
one or more launches;’’.
(4) Section 70103(b) of title 49, United States Code,
is amended—
(A) in the subsection heading, as amended by
subsection (a)(4)(A) of this section, by inserting
‘‘AND STATE SPONSORED SPACEPORTS’’ after ‘‘AND
REENTRIES’’; and
(B) in paragraph (1), by inserting ‘‘and State
sponsored spaceports’’ after ‘‘private sector’’.
(5) Section 70105(a)(1) of title 49, United States
Code, as amended by subsection (b)(1) of this section, is
amended by inserting at the end the following: ‘‘The Sec-
retary shall submit to the Committee on Science of the
House of Representatives and the Committee on Com-
merce, Science, and Transportation of the Senate a writ-
ten notice not later than 7 days after any occurrence when
a license is not issued within the deadline established by
this subsection.’’.
(6) Section 70111 of title 49, United States Code,
is amended—
(A) in subsection (a)(1), by inserting after sub-
paragraph (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.’’;
(B) by striking ‘‘actual costs’’ in subsection
(b)(1) and inserting in lieu thereof ‘‘additive costs
only’’; and
(C) by inserting after subsection (b)(2) the fol-
lowing new paragraph:
‘‘(3) The Secretary shall ensure the establishment of
uniform guidelines for, and consistent implementation of,
this section by all Federal agencies.’’.
(7) Section 70112 of title 49, United States Code,
is amended—
(A) in subsection (a)(1), by inserting ‘‘launch,
reentry, or site operator’’ after ‘‘(1) When a’’;
(B) in subsection (b)(1), by inserting ‘‘launch,
reentry, or site operator’’ after ‘‘(1) A’’; and
(C) in subsection (f), by inserting ‘‘launch, re-
entry, or site operator’’ after ‘‘carried out under a’’.
(c) REGULATIONS.—(1) Chapter 701 of title 49,
United States Code, is amended by adding at the end the
following new section:
‘‘§ 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 li-
censes to operate a commercial launch vehicle and
reentry vehicle;
‘‘(3) procedures for requesting and obtaining
operator licenses for launch and reentry; and
‘‘(4) procedures for the application of govern-
ment indemnification.’’.
(2) The table of sections for such chapter 701 is
amended by adding after the item relating to section
70119 the following new item:
‘‘70120. Regulations.’’.
(d) REPORT TO CONGRESS.—(1) Chapter 701 of title
49, United States Code, is further amended by adding at
the end the following new section:
‘‘§ 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 Com-
mercial Space Transportation.’’.
(2) The table of sections for such chapter 701 is fur-
ther amended by adding after the item relating to section
70120, as added by subsection (c)(2) of this section, the
following new item:
‘‘70121. Report to Congress.’’.
SEC. 302. REQUIREMENT FOR INDEPENDENT COST ANALY-
SIS.
Before any funds may be obligated for Phase C of
a project that is projected to cost more than $75,000,000
in total project costs, the Chief Financial Officer for the
National Aeronautics and Space Administration shall con-
duct an independent cost analysis of such project and shall
report the results to Congress. In developing cost account-
ing and reporting standards for carrying out this section,
the Chief Financial Officer shall, to the extent practicable
and consistent with other laws, solicit the advice of exper-
tise outside of the National Aeronautics and Space Admin-
istration.
SEC. 303. OFFICE OF SPACE COMMERCE.
(a) ESTABLISHMENT.—There is established within
the Department of Commerce an Office of Space Com-
merce.
(b) FUNCTIONS.—The Office of Space Commerce
shall be the principal unit for the coordination of space-
related issues, programs, and initiatives within the De-
partment of Commerce. The Office’s primary responsibil-
ities shall include—
(1) promoting commercial provider investment
in space activities by collecting, analyzing, and dis-
seminating information on space markets, and con-
ducting workshops and seminars to increase aware-
ness of commercial space opportunities;
(2) assisting United States commercial provid-
ers in their efforts to do business with the United
States Government, and acting as an industry advo-
cate within the executive branch to ensure that the
Federal Government meets its space-related require-
ment, to the fullest extent feasible, with commer-
cially available space goods and services;
(3) ensuring that the United States Govern-
ment does not compete with United States commer-
cial providers in the provision of space hardware and
services otherwise available from United States com-
mercial providers;
(4) promoting the export of space-related goods
and services;
(5) representing the Department of Commerce
in the development of United States policies and in
negotiations with foreign countries to ensure free
and fair trade internationally in the area of space
commerce; and
(6) seeking the removal of legal, policy, and in-
stitutional impediments to space commerce.
SEC. 304. NATIONAL AERONAUTICS AND SPACE ACT OF 1958
AMENDMENTS.
(a) DECLARATION OF POLICY AND PURPOSE.—Sec-
tion 102 of the National Aeronautics and Space Act of
1958 (42 U.S.C. 2451) is amended—
(1) by striking subsection (f) and redesignating
subsections (g) and (h) as subsections (f) and (g),
respectively; and
(2) in subsection (g), as so redesignated by
paragraph (1) of this subsection, by striking ‘‘(f),
and (g)’’ and inserting in lieu thereof ‘‘and (f)’’.
(b) REPORTS TO THE CONGRESS.—Section 206(a) of
the National Aeronautics and Space Act of 1958 (42
U.S.C. 2476(a)) is amended—
(1) by striking ‘‘January’’ and inserting in lieu
thereof ‘‘May’’; and
(2) by striking ‘‘calendar’’ and inserting in lieu
thereof ‘‘fiscal’’.
(c) DISCLOSURE OF TECHNICAL DATA.—Section 303
of the National Aeronautics and Space Act of 1958 (42
U.S.C. 2454) is amended—
(1) in subsection (a)(C), by inserting ‘‘or (c)’’
after ‘‘subsection (b)’’; and
(2) by adding at the end the following new sub-
section:
‘‘(c)(1) The Administrator may, and at the request
of a private sector entity shall, delay for a period of at
least one day, but not to exceed 5 years, the unrestricted
public disclosure of technical data in the possession of, or
under the control of, the Administration that has been
generated in the performance of experimental, devel-
opmental, or research activities or programs funded jointly
by the Administration and such private sector entity.
‘‘(2) Within 1 year after the date of the enactment
of the Civilian Space Authorization Act, Fiscal Years 1998
and 1999, the Administrator shall issue regulations to
carry out this subsection. Paragraph (1) shall not take ef-
fect until such regulations are issued.
‘‘(3) Regulations issued pursuant to paragraph (2)
shall include—
‘‘(A) guidelines for a determination of whether
data is technical data within the meaning of this
subsection;
‘‘(B) provisions to ensure that technical data is
available for dissemination within the United States
to United States persons and entities in furtherance
of the objective of maintaining leadership or com-
petitiveness in civil and governmental aeronautical
and space activities by the United States industrial
base; and
‘‘(C) a specification of the period or periods for
which the delay in unrestricted public disclosure of
technical data is to apply to various categories of
such data, and the restrictions on disclosure of such
data during such period or periods, including a re-
quirement that the maximum 5-year protection
under this subsection shall not be provided unless at
least 50 percent of the funding for the activities or
programs is provided by the private sector.
‘‘(4) The Administrator shall annually report to the
Congress all determinations made under paragraph (1).
‘‘(5) For purposes of this subsection, the term ‘tech-
nical data’ means any recorded information, including
computer software, that is or may be directly applicable
to the design, engineering, development, production, man-
ufacture, or operation of products or processes that may
have significant value in maintaining leadership or com-
petitiveness in civil and governmental aeronautical and
space activities by the United States industrial base.’’.
SEC. 305. PROCUREMENT.
(a) PROCUREMENT DEMONSTRATION PROGRAM.—
(1) IN GENERAL.—The Administrator shall es-
tablish a program of expedited technology procure-
ment for the purpose of demonstrating how innova-
tive technology concepts can rapidly be brought to
bear upon space missions of the National Aero-
nautics and Space Administration.
(2) PROCEDURES AND EVALUATION.—The Ad-
ministrator shall establish procedures for actively
seeking from persons outside the National Aero-
nautics and Space Administration innovative tech-
nology concepts, relating to the provision of space
hardware, technology, or service to the National Aer-
onautics and Space Administration.
(3) SPECIAL
AUTHORITY.—In order to carry
out this subsection the Administrator shall recruit
and hire for limited term appointments persons from
outside the National Aeronautics and Space Admin-
istration with special expertise and experience relat-
ed to the innovative technology concepts with respect
to which procurements are made under this sub-
section.
(4) SUNSET.—This subsection shall cease to be
effective 10 years after the date of its enactment.
(b) TECHNOLOGY PROCUREMENT INITIATIVE.—
(1) IN GENERAL.—The Administrator shall co-
ordinate National Aeronautics and Space Adminis-
tration resources in the areas of procurement, com-
mercial programs, and advanced technology in order
to—
(A) fairly assess and procure commercially
available technology from the marketplace in
the most efficient manner practicable;
(B) achieve a continuous pattern of inte-
grating advanced technology from the commer-
cial sector, and from Federal sources outside
the National Aeronautics and Space Adminis-
tration, into the missions and programs of the
National Aeronautics and Space Administra-
tion;
(C) incorporate private sector buying and
bidding procedures, including fixed price con-
tracts, into procurements; and
(D) provide incentives for cost-plus con-
tractors of the National Aeronautics and Space
Administration to integrate commercially avail-
able technology in subsystem contracts on a
fixed-price basis.
(2) CERTIFICATION.—Upon solicitation of any
procurement for space hardware, technology, or serv-
ices that are not commercially available, the Admin-
istrator shall certify, by publication of a notice and
opportunity to comment in the Commerce Business
Daily, for each such procurement action, that no
functional equivalent, commercially, available space
hardware, technology, or service exists and that no
commercial method of procurement is available.
SEC. 306. ACQUISITION OF SPACE SCIENCE DATA.
(a) ACQUISITION FROM COMMERCIAL PROVIDERS.—
The Administrator shall, to the maximum extent possible
and while satisfying the scientific requirements of the Na-
tional Aeronautics and Space Administration, acquire,
where cost effective, space science data from a commercial
provider.
(b) TREATMENT OF SPACE SCIENCE DATA AS COM-
MERCIAL ITEM UNDER ACQUISITION LAWS.—Acquisitions
of space science data by the Administrator shall be carried
out in accordance with applicable acquisition laws and reg-
ulations (including chapters 137 and 140 of title 10, Unit-
ed States Code), except that space science data shall be
considered to be a commercial item for purposes of such
laws and regulations (including section 2306a of title 10,
United States Code (relating to cost or pricing data), sec-
tion 2320 of such title (relating to rights in technical data)
and section 2321 of such title (relating to validation of
proprietary data restrictions)).
(c) DEFINITION.—For purposes of this section, the
term ‘‘space science data’’ includes scientific data concern-
ing the elemental and mineralogical resources of the moon,
asteroids, planets and their moons, and comets, Earth en-
vironmental data obtained through remote sensing obser-
vations, and solar storm monitoring.
(d) SAFETY STANDARDS.—Nothing in this section
shall be construed to prohibit the Federal Government
from requiring compliance with applicable safety stand-
ards.
(e) LIMITATION.—This section does not authorize the
National Aeronautics and Space Administration to provide
financial assistance for the development of commercial
systems for the collection of space science data.
SEC. 307. COMMERCIAL SPACE GOODS AND SERVICES.
The National Aeronautics and Space Administration
shall purchase commercially available space goods and
services to the fullest extent feasible, and shall not conduct
activities that preclude or deter commercial space activi-
ties except for reasons of national security or public safety.
A space good or service shall be deemed commercially
available if it is offered by a United States commercial
provider, or if it could be supplied by a United States com-
mercial provider in response to a Government procurement
request. For purposes of this section, a purchase is fea-
sible if it meets mission requirements in a cost-effective
manner.
SEC. 308. ACQUISITION OF EARTH SCIENCE DATA.
(a) ACQUISITION.—For purposes of meeting Govern-
ment goals for Mission to Planet Earth, the Administrator
shall, to the maximum extent possible and while satisfying
the scientific requirements of the National Aeronautics
and Space Administration, acquire, where cost-effective,
space-based and airborne Earth remote sensing data, serv-
ices, distribution, and applications from a commercial pro-
vider.
(b) TREATMENT AS COMMERCIAL ITEM UNDER AC-
QUISITION LAWS.—Acquisitions by the Administrator of
the data, services, distribution, and applications referred
to in subsection (a) shall be carried out in accordance with
applicable acquisition laws and regulations (including
chapters 137 and 140 of title 10, United States Code),
except that such data, services, distribution, and applica-
tions shall be considered to be a commercial item for pur-
poses of such laws and regulations (including section
2306a of title 10, United States Code (relating to cost
or pricing data), section 2320 of such title (relating to
rights in technical data) and section 2321 of such title
(relating to validation of proprietary data restrictions)).
(c) STUDY.—(1) The Administrator shall conduct a
study to determine the extent to which the baseline sci-
entific requirements of Mission to Planet Earth can be
met by commercial providers, and how the National Aero-
nautics and Space Administration will meet such require-
ments which cannot be met by commercial providers.
(2) The study conducted under this subsection
shall—
(A) make recommendations to promote the
availability of information from the National Aero-
nautics and Space Administration to commercial
providers to enable commercial providers to better
meet the baseline scientific requirements of Mission
to Planet Earth;
(B) make recommendations to promote the dis-
semination to commercial providers 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 recommenda-
tions 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.
(d) SAFETY STANDARDS.—Nothing in this section
shall be construed to prohibit the Federal Government
from requiring compliance with applicable safety stand-
ards.
(e) ADMINISTRATION AND EXECUTION.—This section
shall be carried out as part of the Commercial Remote
Sensing Program at the Stennis Space Center.
SEC. 309. EOSDIS REPORT.
Not later than 90 days after the date of the enact-
ment of this Act, the Administrator shall transmit to the
Committee on Science of the House of Representatives
and the Committee on Commerce, Science, and Transpor-
tation of the Senate a report which contains—
(1) an analysis of the scientific capabilities,
costs, and schedule of the Earth Observing System
Data and Information System (EOSDIS);
(2) an identification and analysis of the threats
to the success of the EOSDIS Core System; and
(3) a plan and cost estimates for resolving the
threats identified under paragraph (2) to the
EOSDIS Core System before the launch of the
Earth Observing System satellite known as PM–1.
SEC. 310. SHUTTLE PRIVATIZATION.
(a) POLICY AND PREPARATION.—The Administrator
shall prepare for an orderly transition from the Federal
operation, or Federal management of contracted oper-
ation, of space transportation systems to the Federal pur-
chase of commercial space transportation services for all
nonemergency launch requirements, including human,
cargo, and mixed payloads. In those preparations, the Ad-
ministrator shall take into account the need for short-term
economies, as well as the goal of restoring the National
Aeronautics and Space Administration’s research focus
and its mandate to promote the fullest possible commercial
use of space. As part of those preparations, the Adminis-
trator shall plan for the potential privatization of the
Space Shuttle program. Such plan shall keep safety and
cost effectiveness as high priorities. Nothing in this section
shall prohibit the National Aeronautics and Space Admin-
istration from studying, designing, developing, or funding
upgrades or modifications essential to the safe and eco-
nomical operation of the Space Shuttle fleet.
(b) FEASIBILITY STUDY.—The Administrator shall
conduct a study of the feasibility of implementing the rec-
ommendation of the Independent Shuttle Management Re-
view Team that the National Aeronautics and Space Ad-
ministration transition toward the privatization of the
Space Shuttle. The study shall identify, discuss, and,
where possible, present options for resolving, the major
policy and legal issues that must be addressed before the
Space Shuttle is privatized, including—
(1) whether the Federal Government or the
Space Shuttle contractor should own the Space
Shuttle orbiters and ground facilities;
(2) whether the Federal Government should in-
demnify the contractor for any third party liability
arising from Space Shuttle operations, and, if so,
under what terms and conditions;
(3) whether payloads other than National Aero-
nautics and Space Administration payloads should
be allowed to be launched on the Space Shuttle, how
missions will be prioritized, and who will decide
which mission flies and when;
(4) whether commercial payloads should be al-
lowed to be launched on the Space Shuttle and
whether any classes of payloads should be made in-
eligible for launch consideration;
(5) whether National Aeronautics and Space
Administration and other Federal Government pay-
loads should have priority over non-Federal payloads
in the Space Shuttle launch assignments, and what
policies should be developed to prioritize among pay-
loads generally;
(6) whether the public interest requires that
certain Space Shuttle functions continue to be per-
formed by the Federal Government; and
(7) how much cost savings, if any, will be gen-
erated by privatization of the Space Shuttle.
(c) REPORT TO CONGRESS.—Within 60 days after
the date of the enactment of this Act, the National Aero-
nautics and Space Administration shall complete the study
required under subsection (b) and shall submit a report
on the study to the Committee on Commerce, Science, and
Transportation of the Senate and the Committee on
Science of the House of Representatives.
SEC. 311. LAUNCH VOUCHER DEMONSTRATION PROGRAM
AMENDMENTS.
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. 312. USE OF ABANDONED AND UNDERUTILIZED
BUILDINGS, GROUNDS, AND FACILITIES.
(a) IN GENERAL.—In meeting the needs of the Na-
tional Aeronautics and Space Administration for addi-
tional facilities, the Administrator, whenever feasible, shall
select abandoned and underutilized buildings, grounds,
and facilities in depressed communities that can be con-
verted to National Aeronautics and Space Administration
facilities at a reasonable cost, as determined by the Ad-
ministrator.
(b) DEFINITIONS.—For purposes of this section, the
term ‘‘depressed communities’’ means rural and urban
communities that are relatively depressed, in terms of age
of housing, extent of poverty, growth of per capita income,
extent of unemployment, job lag, or surplus labor.
SEC. 313. COST EFFECTIVENESS CALCULATIONS.
In calculating the cost effectiveness of the cost of the
National Aeronautics and Space Administration engaging
in an activity as compared to a commercial provider, the
Administrator shall compare the cost of the National Aer-
onautics and Space Administration engaging in the activ-
ity using full cost accounting principles with the price the
commercial provider will charge for such activity.
SEC. 314. FOREIGN CONTRACT LIMITATION.
The National Aeronautics and Space Administration
shall not enter into any agreement or contract with a for-
eign government that grants the foreign government the
right to recover profit in the event that the agreement or
contract is terminated.
SEC. 315. AUTHORITY TO REDUCE OR SUSPEND CONTRACT
PAYMENTS BASED ON SUBSTANTIAL EVI-
DENCE OF FRAUD.
Section 2307(h)(8) of title 10, United States Code,
is amended by striking ‘‘and (4)’’ and inserting in lieu
thereof ‘‘(4), and (6)’’.
SEC. 316. NEXT GENERATION INTERNET.
None of the funds authorized by this Act, or any
other Act enacted before the date of the enactment of this
Act, may be used for the Next Generation Internet. Not-
withstanding the previous sentence, funds may be used for
the continuation of programs and activities that were
funded and carried out during fiscal year 1997.
SEC. 317. LIMITATIONS.
(a) PROHIBITION OF LOBBYING ACTIVITIES.—None
of the funds authorized by this Act and the amendments
made by this Act shall be available for any activity whose
purpose is to influence legislation pending before the Con-
gress, except that this subsection shall not prevent officers
or employees of the United States or of its departments
or agencies from communicating to Members of Congress
on the request of any Member or to Congress, through
the proper channels, requests for legislation or appropria-
tions which they deem necessary for the efficient conduct
of the public business.
(b) LIMITATION ON APPROPRIATIONS.—No sums are
authorized to be appropriated to the Administrator for fis-
cal years 1998 and 1999 for the activities for which sums
are authorized by this Act and the amendments made by
this Act, unless such sums are specifically authorized to
be appropriated by this Act or the amendments made by
this Act.
(c) ELIGIBILITY FOR AWARDS.—
(1) IN GENERAL.—The Administrator shall ex-
clude from consideration for grant agreements made
by the National Aeronautics and Space Administra-
tion after fiscal year 1997 any person who received
funds, other than those described in paragraph (2),
appropriated for a fiscal year after fiscal year 1997,
under a grant agreement from any Federal funding
source for a project that was not subjected to a com-
petitive, merit-based award process. Any exclusion
from consideration pursuant to this subsection shall
be effective for a period of 5 years after the person
receives such Federal funds.
(2) EXCEPTION.—Paragraph (1) shall not
apply to the receipt of Federal funds by a person
due to the membership of that person in a class
specified by law for which assistance is awarded to
members of the class according to a formula pro-
vided by law.
(3) DEFINITION.—For purposes of this sub-
section, the term ‘‘grant agreement’’ means a legal
instrument whose principal purpose is to transfer a
thing of value to the recipient to carry out a public
purpose of support or stimulation authorized by a
law of the United States, and does not include the
acquisition (by purchase, lease, or barter) of prop-
erty or services for the direct benefit or use of the
United States Government. Such term does not in-
clude a cooperative agreement (as such term is used
in section 6305 of title 31, United States Code) or
a cooperative research and development agreement
(as such term is defined in section 12(d)(1) of the
Stevenson-Wydler Technology Innovation Act of
1980 (15 U.S.C. 3710a(d)(1))).
SEC. 318. NOTICE.
(a) NOTICE OF REPROGRAMMING.—If any funds au-
thorized by this Act or the amendments made by this Act
are subject to a reprogramming action that requires notice
to be provided to the Appropriations Committees of the
House of Representatives and the Senate, notice of such
action shall concurrently be provided to the Committee on
Science of the House of Representatives and the Commit-
tee on Commerce, Science, and Transportation of the Sen-
ate.
(b) NOTICE
OF REORGANIZATION.—The Adminis-
trator shall provide notice to the Committees on Science
and Appropriations of the House of Representatives, and
the Committees on Commerce, Science, and Transpor-
tation and Appropriations of the Senate, not later than
15 days before any major reorganization of any program,
project, or activity of the National Aeronautics and Space
Administration.
SEC. 319. SENSE OF CONGRESS ON THE YEAR 2000 PROB-
LEM.
With the year 2000 fast approaching, it is the sense
of Congress that the National Aeronautics and Space Ad-
ministration should—
(1) give high priority to correcting all 2-digit
date-related problems in its computer systems to en-
sure that those systems continue to operate effec-
tively in the year 2000 and beyond;
(2) assess immediately the extent of the risk to
the operations of the National Aeronautics and
Space Administration posed by the problems re-
ferred to in paragraph (1), and plan and budget for
achieving Year 2000 compliance for all of its mis-
sion-critical systems; and
(3) develop contingency plans for those systems
that the National Aeronautics and Space Adminis-
tration is unable to correct in time.
SEC. 320. NATIONAL OCEANOGRAPHIC PARTNERSHIP PRO-
GRAM.
The National Aeronautics and Space Administration
is authorized to participate in the National Oceanic Part-
nership Program established by the National Oceanic
Partnership Act (Public Law 104–201).
SEC. 321. NATIONAL SCIENCE FOUNDATION ANTARCTIC
PROGRAM.
If the Administrator determines that excess capacity
is available on the Tracking Data Relay Satellite System
(TDRSS), the Administrator shall give strong consider-
ation to meeting the needs of the National Science Foun-
dation Antarctic Program.
SEC. 322. BUY AMERICAN.
(a) COMPLIANCE WITH BUY AMERICAN ACT.—No
funds appropriated pursuant to this Act or the amend-
ments made by this Act may be expended by an entity
unless the entity agrees that in expending the assistance
the entity will comply with sections 2 through 4 of the
Act of March 3, 1933 (41 U.S.C. 10a–10c, popularly
known as the ‘‘Buy American Act’’).
(b) SENSE OF CONGRESS.—In the case of any equip-
ment or products that may be authorized to be purchased
with financial assistance provided under this Act or the
amendments made by this Act, it is the sense of Congress
that entities receiving such assistance should, in expending
the assistance, purchase only American-made equipment
and products.
(c) NOTICE
TO RECIPIENTS
OF ASSISTANCE.—In
providing financial assistance under this Act or the
amendments made by this Act, the Administrator shall
provide to each recipient of the assistance a notice describ-
ing the statement made in subsection (a) by the Congress.
SEC. 323. UNITARY WIND TUNNEL PLAN ACT OF 1949
AMENDMENTS.
The Unitary Wind Tunnel Plan Act of 1949 is
amended—
(1) in section 101 (50 U.S.C. 511) by striking
‘‘transsonic and supersonic’’ and inserting in lieu
thereof ‘‘transsonic, supersonic, and hypersonic’’;
and
(2) in section 103 (50 U.S.C. 513)—
(A) by striking ‘‘laboratories’’ in sub-
section (a) and inserting in lieu thereof ‘‘labora-
tories and centers’’;
(B) by striking ‘‘supersonic’’ in subsection
(a) and inserting in lieu thereof ‘‘transsonic, su-
personic, and hypersonic’’; and
(C) by striking ‘‘laboratory’’ in subsection
(c) and inserting in lieu thereof ‘‘facility’’.
Passed the House of Representatives April 24, 1997.
Attest:
Clerk.