Union Calendar No. 438
104TH CONGRESS
2D SESSION
H. R. 3936
[Report No. 104–801, Part I]
A BILL
To encourage the development of a commercial
space industry in the United States, and for
other purposes.
SEPTEMBER 17, 1996
Reported from the Committee on Science with an
amendment
SEPTEMBER 17, 1996
Referral to the Committee on Government Reform and
Oversight extended for a period not later than Septem-
ber 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
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. STOCK-
MAN, 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 provi-
sions 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 or-
dered to be printed
[For text of introduced bill, see copy of bill as introduced on August 1, 1996]
A BILL
To encourage the development of a commercial space
industry in the United States, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Space Commercialization Promotion Act of 1996’’.
(b) TABLE OF CONTENTS.—
Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
TITLE I—PROMOTION OF COMMERCIAL SPACE OPPORTUNITIES
Sec. 101. Commercialization of space station.
Sec. 102. Commercial space launch amendments.
Sec. 103. Exceptions to employment restrictions.
Sec. 104. Launch voucher demonstration program.
Sec. 105. Promotion of United States Global Positioning System standards.
Sec. 106. Purchase of space science data.
TITLE II—REMOTE SENSING
Sec. 201. Land Remote Sensing Policy Act of 1992 amendments.
Sec. 202. Acquisition of earth remote sensing data.
TITLE III—FEDERAL ACQUISITION OF SPACE TRANSPORTATION
SERVICES
Sec. 301. Requirement to procure commercial space transportation services.
Sec. 302. Acquisition of space transportation services.
Sec. 303. Launch Services Purchase Act of 1990 amendments.
Sec. 304. Use of excess intercontinental ballistic missiles.
SEC. 2. DEFINITIONS.
For purposes of this Act—
(1) the term ‘‘Administrator’’ means the Admin-
istrator of the National Aeronautics and Space Ad-
ministration;
(2) the term ‘‘commercial provider’’ means any
person providing space transportation services or
other space-related activities, primary control of
which is held by persons other than Federal, State,
local, and foreign governments;
(3) the term ‘‘payload’’ means anything that a
person undertakes to transport to, from, or within
outer space, or in suborbital trajectory, by means of
a space transportation vehicle, but does not include
the space transportation vehicle itself except for its
components which are specifically designed or adapt-
ed for that payload;
(4) the term ‘‘space-related activities’’ includes
research and development, manufacturing, processing,
service, and other associated and support activities;
(5) the term ‘‘space transportation services’’
means the preparation of a space transportation vehi-
cle and its payloads for transportation to, from, or
within outer space, or in suborbital trajectory, and
the conduct of transporting a payload to, from, or
within outer space, or in suborbital trajectory;
(6) the term ‘‘space transportation vehicle’’
means any vehicle constructed for the purpose of oper-
ating in, or transporting a payload to, from, or with-
in, outer space, or in suborbital trajectory, and in-
cludes any component of such vehicle not specifically
designed or adapted for a payload;
(7) the term ‘‘State’’ means each of the several
States of the Union, the District of Columbia, the
Commonwealth of Puerto Rico, the Virgin Islands,
Guam, American Samoa, the Commonwealth of the
Northern Mariana Islands, and any other common-
wealth, territory, or possession of the United States;
and
(8) 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
the manufacture of major components
and subassemblies); and
(II) significant contributions to
employment in the United States; and
(ii) the country or countries in which
such foreign company is incorporated or or-
ganized, and, if appropriate, in which it
principally conducts its business, affords re-
ciprocal treatment to companies described
in subparagraph (A) comparable to that af-
forded to such foreign company’s subsidiary
in the United States, as evidenced by—
(I) providing comparable oppor-
tunities for companies described in
subparagraph (A) to participate in
Government sponsored research and de-
velopment similar to that authorized
under this Act;
(II) providing no barriers to com-
panies described in subparagraph (A)
with respect to local investment oppor-
tunities that are not provided to for-
eign companies in the United States;
and
(III) providing adequate and ef-
fective protection for the intellectual
property rights of companies described
in subparagraph (A).
TITLE I—PROMOTION OF COM-
MERCIAL SPACE OPPORTUNI-
TIES
SEC. 101. COMMERCIALIZATION OF SPACE STATION.
(a) POLICY.—The Congress declares that a priority
goal of constructing the International Space Station is the
economic development of Earth orbital space. The Congress
further declares that free and competitive markets create the
most efficient conditions for promoting economic develop-
ment, and should therefore govern the economic development
of Earth orbital space. The Congress further declares that
free market principles should be used in operating and add-
ing capabilities to the Space Station whenever possible.
(b) REPORT.—The Administrator shall deliver to the
Congress, within 60 days after the date of the enactment
of this Act, a market study that examines the role of com-
mercial ventures which could supply, use, service, or aug-
ment the International Space Station, the specific policies
and initiatives the Administrator is advancing to encour-
age these commercial opportunities, the cost savings to be
realized by the international partnership from applying
commercial approaches to cost-shared operations, and the
cost reimbursements to the United States Government from
commercial users of the Space Station.
SEC. 102. COMMERCIAL SPACE LAUNCH AMENDMENTS.
(a) AMENDMENTS.—Chapter 701 of title 49, United
States Code, is amended—
(1) in the table of sections—
(A) by amending the item relating to 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.’’;
(C) by amending the item relating to sec-
tion 70109 to read as follows:
‘‘70109. Preemption of scheduled launches or reentries.’’;
and
(D) by adding at the end the following new
items:
‘‘70120. Regulations.
‘‘70121. Report to Congress.’’;
(2) in section 70101—
(A) by inserting ‘‘microgravity research,’’
after ‘‘information services,’’ in subsection (a)(3);
(B) by inserting ‘‘, reentry,’’ after ‘‘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 ‘‘con-
duct of commercial 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) in paragraph (5)—
(i) by redesignating subparagraphs (A)
and (B) as subparagraphs (B) and (C), re-
spectively; and
(ii) by inserting before subparagraph
(B), as so redesignated by clause (i) of this
subparagraph, the following new subpara-
graph:
‘‘(A) activities directly related to the prepa-
ration of a launch site or payload facility for
one or more launches;’’;
(C) by inserting ‘‘or reentry vehicle’’ after
‘‘means of a launch vehicle’’ in paragraph (8);
(D) by redesignating paragraphs (10)
through (12) as paragraphs (14) through (16),
respectively;
(E) by inserting after paragraph (9) the fol-
lowing new paragraphs:
‘‘(10) ‘reenter’ and ‘reentry’ mean to return or
attempt to return, purposefully, a reentry vehicle and
its payload, if any, from Earth orbit or from outer
space to Earth.
‘‘(11) ‘reentry services’ means—
‘‘(A) activities involved in the preparation
of a reentry vehicle and its payload, if any, for
reentry; and
‘‘(B) the conduct of a reentry.
‘‘(12) ‘reentry site’ means the location on Earth
to which a reentry vehicle is intended to return (as
defined in a license the Secretary issues or transfers
under this chapter).
‘‘(13) ‘reentry vehicle’ means a vehicle designed
to return from Earth orbit or outer space to Earth,
or a reusable launch vehicle designed to return from
outer space to Earth, substantially intact.’’; and
(F) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ each place it appears in para-
graph (15), as so redesignated by subparagraph
(D) of this paragraph;
(4) in section 70103—
(A) by striking ‘‘The Secretary’’ in sub-
section (a) and inserting in lieu thereof ‘‘Except
as provided in section 70122, the Secretary’’;
and
(B) in subsection (b)—
(i) by inserting ‘‘AND REENTRIES AND
STATE
SPONSORED
SPACEPORTS’’ after
‘‘LAUNCHES’’ in the subsection heading;
(ii) by striking ‘‘by the private sector’’
in paragraph (1) and inserting in lieu
thereof ‘‘and reentries by the private sector
and State sponsored spaceports’’ after
‘‘space launches’’; and
(iii) by inserting ‘‘and reentry’’ after
‘‘space launch’’ in paragraph (2);
(5) in section 70104—
(A) by amending the section designation
and heading to read as follows:
‘‘§ 70104. Restrictions on launches, operations, and re-
entries’’;
(B) by inserting ‘‘or reentry site, or to reen-
ter a reentry vehicle,’’ after ‘‘operate a launch
site’’ each place it appears in subsection (a);
(C) by inserting ‘‘or reentry’’ after ‘‘launch
or operation’’ in subsection (a)(3) and (4);
(D) in subsection (b)—
(i) by striking ‘‘launch license’’ and
inserting in lieu thereof ‘‘license’’;
(ii) by inserting ‘‘or reenter’’ after
‘‘may launch’’; and
(iii) by inserting ‘‘or reentering’’ after
‘‘related to launching’’; and
(E) in subsection (c)—
(i) by amending the subsection heading
to read as follows: ‘‘PREVENTING LAUNCHES
AND REENTRIES.—’’;
(ii) by inserting ‘‘or reentry’’ after
‘‘prevent the launch’’; and
(iii) by inserting ‘‘or reentry’’ after
‘‘decides the launch’’;
(6) in section 70105—
(A) by inserting ‘‘(1)’’ before ‘‘A person
may apply’’ in subsection (a);
(B) by striking ‘‘receiving an application’’
both places it appears in subsection (a) and in-
serting in lieu thereof ‘‘accepting an application
in accordance with criteria established pursuant
to subsection (b)(2)(D)’’;
(C) by inserting at the end of subsection (a)
the following: ‘‘The Secretary shall submit to the
Committee on Science of the House of Represent-
atives and the Committee on Commerce, Science,
and Transportation of the Senate a written no-
tice not later than 7 days after any occurrence
when a license is not issued within the deadline
established by this subsection.’’;
(D) by adding at the end of subsection (a)
the following new paragraph:
‘‘(2) In carrying out paragraph (1), the Secretary may
establish procedures for certification of the safety of launch
vehicles, reentry vehicles, safety systems, procedures, serv-
ices, or personnel that may be used in conducting licensed
commercial space launch or reentry activities.’’;
(E) by inserting ‘‘or a reentry site, or the
reentry of a reentry vehicle,’’ after ‘‘operation of
a launch site’’ in subsection (b)(1);
(F) by striking ‘‘or operation’’ and insert-
ing in lieu thereof ‘‘, operation, or reentry’’ in
subsection (b)(2)(A);
(G) by striking ‘‘and’’ at the end of sub-
section (b)(2)(B);
(H) by striking the period at the end of sub-
section (b)(2)(C) and inserting in lieu thereof ‘‘;
and’’;
(I) by adding at the end of subsection (b)(2)
the following new subparagraph:
‘‘(D) regulations establishing criteria for accept-
ing or rejecting an application for a license under
this chapter within 60 days after receipt of such ap-
plication.’’; and
(J) by inserting ‘‘, including the require-
ment to obtain a license,’’ after ‘‘waive a require-
ment’’ in subsection (b)(3);
(7) in section 70106(a)—
(A) by inserting ‘‘or reentry site’’ after ‘‘ob-
server 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 ‘‘operation
of a launch site’’; and
(ii) by inserting ‘‘or reentry’’ after
‘‘launch or operation’’;
(9) in section 70109—
(A) by amending the section designation
and heading to read as follows:
‘‘§ 70109. Preemption of scheduled launches or reen-
tries’’;
(B) in subsection (a)—
(i) by inserting ‘‘or reentry’’ after ‘‘en-
sure that a launch’’;
(ii) by inserting ‘‘, reentry site,’’ after
‘‘United States Government launch site’’;
(iii) by inserting ‘‘or reentry date com-
mitment’’ after ‘‘launch date commitment’’;
(iv) by inserting ‘‘or reentry’’ after
‘‘obtained for a launch’’;
(v) by inserting ‘‘, reentry site,’’ after
‘‘access to a launch site’’;
(vi) by inserting ‘‘, or services related
to a reentry,’’ after ‘‘amount for launch
services’’; and
(vii) by inserting ‘‘or reentry’’ after
‘‘the scheduled launch’’; and
(C) in subsection (c), by inserting ‘‘or re-
entry’’ after ‘‘prompt launching’’;
(10) in section 70110—
(A) by inserting ‘‘or reentry’’ after ‘‘prevent
the launch’’ in subsection (a)(2); and
(B) by inserting ‘‘or reentry site, or reentry
of a reentry vehicle,’’ after ‘‘operation of a
launch site’’ in subsection (a)(3)(B);
(11) in section 70111—
(A) 
by 
inserting 
‘‘or 
reentry’’ 
after
‘‘launch’’ in subsection (a)(1)(A);
(B) by inserting ‘‘and reentry services’’
after ‘‘launch services’’ in subsection (a)(1)(B);
(C) in subsection (a)(1), by inserting after
subparagraph (B) the following:
‘‘The Secretary shall establish criteria and procedures for
determining the priority of competing requests from the pri-
vate sector and State governments for property and services
under this section.’’;
(D) by inserting ‘‘or reentry services’’ after
‘‘or launch services’’ in subsection (a)(2);
(E) by striking ‘‘actual costs’’ in subsection
(b)(1) and inserting in lieu thereof ‘‘additive
costs only’’;
(F) by inserting ‘‘or reentry’’ after ‘‘com-
mercial launch’’ both places it appears in sub-
section (b)(1);
(G) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ in subsection (b)(2)(C);
(H) by inserting after subsection (b)(2) the
following new paragraph:
‘‘(3) The Secretary shall ensure the establishment of
uniform guidelines for, and consistent implementation of,
this section by all Federal agencies.’’;
(I) by striking ‘‘or its payload for launch’’
in subsection (d) and inserting in lieu thereof
‘‘or reentry vehicle, or the payload of either, for
launch or reentry’’; and
(J) by inserting ‘‘, reentry vehicle,’’ after
‘‘manufacturer of the launch vehicle’’ in sub-
section (d);
(12) in section 70112—
(A) in subsection (a)(1), by inserting
‘‘launch, reentry, or site operator’’ after ‘‘(1)
When a’’;
(B) by inserting ‘‘or reentry’’ after ‘‘one
launch’’ in subsection (a)(3);
(C) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ in subsection (a)(4);
(D) in subsection (b)(1), by inserting
‘‘launch, reentry, or site operator’’ after ‘‘(1) A’’;
(E) by inserting ‘‘or reentry services’’ after
‘‘launch services’’ each place it appears in sub-
section (b);
(F) by inserting ‘‘applicable’’ after ‘‘carried
out under the’’ in paragraphs (1) and (2) of sub-
section (b);
(G) by striking ‘‘, Space, and Technology’’
in subsection (d)(1);
(H) by inserting ‘‘OR REENTRIES’’ after
‘‘LAUNCHES’’ in the heading for subsection (e);
(I) by inserting ‘‘or reentry site or a re-
entry’’ after ‘‘launch site’’ in subsection (e); and
(J) in subsection (f), by inserting ‘‘launch,
reentry, or site operator’’ after ‘‘carried out
under a’’;
(13) in section 70113 (a)(1) and (d) (1) and (2),
by inserting ‘‘or reentry’’ after ‘‘one launch’’ each
place it appears;
(14) in section 70115(b)(1)(D)(i)—
(A) by inserting ‘‘reentry site,’’ after
‘‘launch site,’’; and
(B) by inserting ‘‘or reentry vehicle’’ after
‘‘launch vehicle’’ both places it appears;
(15) in section 70117—
(A) by inserting ‘‘or reentry site, or to reen-
ter 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 IM-
PORT.—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, oper-
ation of a launch vehicle or reentry vehicle,
operation of a launch site or reentry site,’’;
and
(ii) 
by 
inserting 
‘‘reentry,’’ 
after
‘‘launch,’’ in paragraph (2); and
(16) by adding at the end the following new sec-
tions:
‘‘§ 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 or re-
entry vehicle;
‘‘(3) procedures for requesting and obtaining op-
erator licenses for launch or reentry;
‘‘(4) procedures for requesting and obtaining
launch site or reentry site operator licenses; and
‘‘(5) procedures for the application of govern-
ment indemnification.
‘‘§ 70121. Report to Congress
‘‘The Secretary of Transportation shall submit to Con-
gress 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.’’.
(b) EFFECTIVE DATE.—The amendments made by sub-
section (a)(6)(B) shall take effect upon the effective date of
final regulations issued pursuant to section 70105(b)(2)(D)
of title 49, United States Code, as added by subsection
(a)(6)(I).
SEC. 103. EXCEPTIONS TO EMPLOYMENT RESTRICTIONS.
(a) GENERAL RULE.—Section 207 (a) and (c) of title
18, United States Code, and section 27(f)(1) of the Federal
Procurement Policy Act (41 U.S.C. 423(f)(1)) shall not
apply to employees or former employees of the National Aer-
onautics and Space Administration seeking employment
with an entity that is awarded the Space Flight Operations
Contract for the Space Shuttle.
(b) EXCEPTIONS.—Subsection (a) shall not apply to
an employee who, while employed with the National Aero-
nautics and Space Administration, was actively and sig-
nificantly involved in the selection of the entity that is
awarded the Space Flight Operations Contract for the
Space Shuttle.
SEC. 104. LAUNCH VOUCHER DEMONSTRATION PROGRAM.
Section 504 of the National Aeronautics and Space
Administration Authorization Act, Fiscal Year 1993 (15
U.S.C. 5803) is amended—
(1) in subsection (a)—
(A) by striking ‘‘the Office of Commercial
Programs within’’; and
(B) by striking ‘‘Such program shall not be
effective after September 30, 1995.’’;
(2) by striking subsection (c); and
(3) by redesignating subsections (d) and (e) as
subsections (c) and (d), respectively.
SEC. 105. PROMOTION OF UNITED STATES GLOBAL POSI-
TIONING SYSTEM STANDARDS.
(a) FINDING.—The Congress finds that the Global Po-
sitioning System, including satellites, signal equipment,
ground stations, data links, and associated command and
control facilities, has become an essential element in civil,
scientific, and military space development because of the
emergence of a United States commercial industry which
provides Global Positioning System equipment and related
services.
(b) INTERNATIONAL
COOPERATION.—The Congress
therefore encourages the President to—
(1) undertake a coordinated effort within the ex-
ecutive branch to promote cooperation with foreign
governments and international organizations to ad-
vance United States interests with respect to the Glob-
al Positioning System standards and augmentations;
and
(2) ensure the operation of the Global Position-
ing System on a continuous worldwide basis free of
direct user fees.
SEC. 106. PURCHASE OF SPACE SCIENCE DATA.
(a) IN GENERAL.—To the maximum extent possible,
while satisfying the National Aeronautics and Space Ad-
ministration’s scientific requirements, the National Aero-
nautics and Space Administration shall, where cost effec-
tive, purchase from the United States private sector space
science data. Examples of such data include scientific data
concerning the elemental and mineralogical resources of the
moon and the planets, Earth environmental data obtained
through remote sensing observations, and solar storm mon-
itoring.
(b) COMPETITIVE BIDDING.—(1) Contracts for the
purchase of space science data under this section shall be
awarded in a process of full, fair, and open competitive bid-
ding.
(2) Submission of cost data, either for the purposes of
supporting the bid or fulfilling the contract, shall not be
required of bidders or awardees of the contract, except in
cases where only one credible bid meeting the requirements
of the solicitation is received.
(3) Reasonable performance specifications, rather than
design or construction specifications, shall be used to the
maximum extent feasible to define requirements for United
States commercial providers with respect to the design, con-
struction, or operation of equipment used in obtaining
space science data under contracts entered into under this
section. This subsection shall not be construed to prohibit
the Federal Government from requiring compliance with
applicable safety standards.
(4) Contracts under this section shall not provide for
the Federal Government to obtain ownership of data not
specifically sought by the Federal Government.
(c) LIMITATION.—This section does not authorize the
National Aeronautics and Space Administration to provide
financial assistance for the development of systems for the
collection of space science data.
TITLE II—REMOTE SENSING
SEC. 201. LAND REMOTE SENSING POLICY ACT OF 1992
AMENDMENTS.
The Land Remote Sensing Policy Act of 1992 is
amended—
(1) in section 2 (15 U.S.C. 5601)—
(A) by amending paragraph (5) to read as
follows:
‘‘(5) Commercialization of land remote sensing is
a near-term goal, and should remain a long-term
goal, of United States policy.’’;
(B) by striking paragraph (6) and redesig-
nating paragraphs (7) through (16) as para-
graphs (6) through (15), respectively; and
(C) in paragraph (11), as so redesignated
by subparagraph (B) of this paragraph, by strik-
ing ‘‘determining the design’’ and all that follows
through ‘‘international consortium’’ and insert-
ing in lieu thereof ‘‘ensuring the continuity of
Landsat quality data’’;
(2) in section 101 (15 U.S.C. 5611)—
(A) by inserting the following after sub-
section (b)(4):
‘‘The Director of the Office of Science and Technology Pol-
icy shall, no later than 60 days after the date of the enact-
ment of the Space Commercialization Promotion Act of
1996, transmit the management plan to the Committee on
Science of the House of Representatives and the Committee
on Commerce, Science, and Transportation of the Senate.’’;
(B) in subsection (c)—
(i) by inserting ‘‘and’’ at the end of
paragraph (6);
(ii) by striking paragraph (7); and
(iii) by redesignating paragraph (8) as
paragraph (7); and
(C) in subsection (e)(1)—
(i) by inserting ‘‘and’’ at the end of
subparagraph (A);
(ii) by striking ‘‘, and’’ at the end of
subparagraph (B) and inserting in lieu
thereof a period; and
(iii) by striking subparagraph (C);
(3) in section 201 (15 U.S.C. 5621)—
(A) by inserting ‘‘(1)’’ after ‘‘NATIONAL SE-
CURITY.—’’ in subsection (b);
(B) in subsection (b)(1), as so designated by
subparagraph (A) of this paragraph, by striking
‘‘No license’’ and inserting in lieu thereof ‘‘Ex-
cept as provided in paragraph (3), no license’’;
(C) by adding at the end of subsection (b)
the following new paragraphs:
‘‘(2) The Secretary, within 6 months after the date of
the enactment of the Space Commercialization Promotion
Act of 1996, shall publish in the Federal Register a complete
and specific list of all information required to comprise a
complete application for a license under this title. An appli-
cation shall be considered complete when the applicant has
provided all information required by the list most recently
published in the Federal Register before the date the appli-
cation was first submitted. Unless the Secretary has, within
30 days after receipt of an application, notified the appli-
cant of information necessary to complete an application,
the Secretary may not deny the application on the basis
of the absence of any such information.
‘‘(3) The Secretary shall grant a license under this title
to any United States commercial provider (as such term
is defined in section 2 of the Space Commercialization Pro-
motion Act of 1996) whose application is in full compliance
with the requirements of this title.’’;
(D) in subsection (c), by amending the sec-
ond sentence thereof to read as follows: ‘‘If the
Secretary has not granted the license within such
120-day period, the Secretary shall inform the
applicant, within such period, of any pending
issues and actions required to be carried out by
the applicant or the Secretary in order to result
in the granting of a license.’’; and
(E) in subsection (e)(2)(B), by striking
‘‘and the importance of promoting widespread
access to remote sensing data from United States
and foreign systems’’;
(4) in section 202 (15 U.S.C. 5622)—
(A) by striking ‘‘section 506’’ in subsection
(b)(1) and inserting in lieu thereof ‘‘section
507’’;
(B) in subsection (b)(2), by striking ‘‘as
soon as such data are available and on reason-
able terms and conditions’’ and inserting in lieu
thereof ‘‘on reasonable terms and conditions, in-
cluding the provision of such data in a timely
manner’’;
(C) in subsection (b)(6), by striking ‘‘any
agreement’’ and inserting in lieu thereof ‘‘any
significant or substantial agreement relating to
land remote sensing’’; and
(D) by inserting after paragraph (6) of sub-
section (b) the following:
‘‘The Secretary may not terminate, modify, or suspend a
license issued pursuant to this title on the basis of an agree-
ment the Secretary receives notification of under paragraph
(6) unless the Secretary has, within 30 days after receipt
of such notification, transmitted to the licensee a statement
that such agreement is inconsistent with the national secu-
rity or international obligations of the United States, in-
cluding an explanation of such inconsistency.’’;
(5) in section 203 (15 U.S.C. 5623)—
(A) in subsection (a)(2), by striking ‘‘under
this title and’’ and inserting in lieu thereof
‘‘under this title or’’;
(B) in subsection (a)(3), by striking ‘‘pro-
vide penalties’’ and inserting in lieu thereof
‘‘seek, in a United States District Court with
personal jurisdiction over the licensee, penalties’’;
and
(C) in subsection (b), by striking ‘‘(a)(3),’’;
(6) in section 204 (15 U.S.C. 5624), by striking
‘‘may’’ and inserting in lieu thereof ‘‘shall’’;
(7) in section 205(c) (15 U.S.C. 5625(c)), by
striking ‘‘if such remote sensing space system is li-
censed by the Secretary before commencing operation’’
and inserting in lieu thereof ‘‘if such private remote
sensing space system will be licensed by the Secretary
before commencing its commercial operation’’;
(8) by adding at the end of title II the following
new section:
‘‘SEC. 206. NOTIFICATION.
‘‘(a) LIMITATIONS ON LICENSEE.—Not later than 30
days after a determination by the Secretary to require a
licensee to limit collection or distribution of data from a
system licensed under this title, the Secretary shall provide
written notification to Congress of such determination, in-
cluding the reasons therefor, the limitations imposed on the
licensee, and the period during which such limitations
apply.
‘‘(b) TERMINATION, MODIFICATION, 
OR
SUSPEN-
SION.—Not later than 30 days after an action by the Sec-
retary to seek an order of injunction or other judicial deter-
mination pursuant to section 203(a)(2), the Secretary shall
provide written notification to Congress of such action and
the reasons therefor.’’;
(9) in section 301 (15 U.S.C. 5631)—
(A) by inserting ‘‘, that are not being com-
mercially developed’’ after ‘‘and its environ-
ment’’ in subsection (a)(2)(B); and
(B) by adding at the end the following new
subsection:
‘‘(d) DUPLICATION OF COMMERCIAL SECTOR ACTIVI-
TIES.—The Federal Government shall not undertake activi-
ties under this section which duplicate activities available
from the commercial sector, unless such activities would re-
sult in significant cost savings to the Federal Government.’’;
(10) in section 302 (15 U.S.C. 5632)—
(A) by striking ‘‘(a) GENERAL RULE.—’’;
(B) by striking ‘‘, including unenhanced
data gathered under the technology demonstra-
tion program carried out pursuant to section
303,’’ and inserting in lieu thereof ‘‘that is not
otherwise available from the commercial sector’’;
and
(C) by striking subsection (b);
(11) by repealing section 303 (15 U.S.C. 5633);
(12) in section 401(b)(3) (15 U.S.C. 5641(b)(3)),
by striking ‘‘, including any such enhancements devel-
oped under the technology demonstration program
under section 303,’’;
(13) in section 501(a) (15 U.S.C. 5651(a)), by
striking ‘‘section 506’’ and inserting in lieu thereof
‘‘section 507’’;
(14) in section 502(c)(7) (15 U.S.C. 5652(c)(7)),
by striking ‘‘section 506’’ and inserting in lieu thereof
‘‘section 507’’;
(15) in section 506 (15 U.S.C. 5656)—
(A) by inserting ‘‘(1)’’ after ‘‘COMMUNICA-
TIONS COMMISSION.—’’ in subsection (a);
(B) by inserting at the end of subsection (a)
the following new paragraph:
‘‘(2) The Federal Communications Commission, with-
in 6 months after the date of the enactment of the Space
Commercialization Promotion Act of 1996, shall publish in
the Federal Register a complete and specific list of all infor-
mation required to comprise a complete application de-
scribed in paragraph (1). An application shall be consid-
ered complete when the applicant has provided all informa-
tion required by the list most recently published in the Fed-
eral Register before the date the application was first sub-
mitted. Unless the Federal Communications Commission
has, within 30 days after receipt of an application, notified
the applicant of information necessary to complete an ap-
plication, the Federal Communications Commission may
not deny the application on the basis of the absence of any
such information.’’; and
(C) by adding at the end the following new
subsection:
‘‘(e) FEES.—The Federal Communications Commis-
sion shall ensure that any licensing or other fees that a pri-
vate remote sensing space system operator subject to the li-
censing requirements of title II is required to pay such
Commission shall be proportional to the cost to the Commis-
sion of the radio licensing process for such person relative
to the cost to the Commission of licensing other entities sub-
ject to the fee.’’; and
(16) in section 507 (15 U.S.C. 5657)—
(A) by amending subsection (a) to read as
follows:
‘‘(a) RESPONSIBILITY OF THE SECRETARY OF DE-
FENSE.—The Secretary shall consult with the Secretary of
Defense on all matters under this Act affecting national se-
curity. The Secretary of Defense shall be responsible for de-
termining those conditions, consistent with this Act, nec-
essary to meet national security concerns of the United
States, and for notifying the Secretary promptly of such
conditions. Not later than 60 days after receiving a request
from the Secretary, the Secretary of Defense shall rec-
ommend to the Secretary any conditions for a license issued
under title II, consistent with this Act, that the Secretary
of Defense determines are needed to protect the national se-
curity of the United States. If no such recommendation has
been received by the Secretary within such 60-day period,
the Secretary shall deem activities proposed in the license
application to be consistent with the protection of the na-
tional security of the United States.’’;
(B) by striking subsection (b) (1) and (2)
and inserting in lieu thereof the following:
‘‘(b) 
RESPONSIBILITY
OF
THE
SECRETARY
OF
STATE.—(1) The Secretary shall consult with the Secretary
of State on all matters under this Act affecting inter-
national obligations of the United States. The Secretary of
State shall be responsible for determining those conditions,
consistent with this Act, necessary to meet international ob-
ligations of the United States and for notifying the Sec-
retary promptly of such conditions. Not later than 60 days
after receiving a request from the Secretary, the Secretary
of State shall recommend to the Secretary any conditions
for a license issued under title II, consistent with this Act,
that the Secretary of State determines are needed to meet
international obligations of the United States. If no such
recommendation has been received by the Secretary within
such 60-day period, the Secretary shall deem activities pro-
posed in the license application to be consistent with the
international obligations and policies of the United States.
‘‘(2) Appropriate United States Government agencies
are authorized and encouraged to provide to developing na-
tions, as a component of international aid, resources for
purchasing remote sensing data, training, and analysis
from United States commercial providers.’’; and
(C) in subsection (d), by striking ‘‘Secretary
may require’’ and inserting in lieu thereof ‘‘Sec-
retary shall, where appropriate, require’’.
SEC. 202. ACQUISITION OF EARTH REMOTE SENSING DATA.
(a) ACQUISITION.—To the maximum extent possible,
while satisfying the National Aeronautics and Space Ad-
ministration’s scientific requirements, the Administrator
shall, where cost effective, acquire space-based and airborne
Earth remote sensing data, services, distribution, and ap-
plications provided by the United States private sector to
meet Government goals for Mission to Planet Earth.
(b) STUDY.—(1) The Administrator shall conduct a
study to determine the extent to which the baseline scientific
requirements of Mission to Planet Earth can be met by the
private sector, and how the National Aeronautics and Space
Administration will meet such requirements which cannot
be met by the private sector.
(2) The study conducted under this subsection shall—
(A) make recommendations to promote the avail-
ability of information from the National Aeronautics
and Space Administration to the private sector to en-
able the private sector to better meet the baseline sci-
entific requirements of Mission to Planet Earth;
(B) make recommendations to promote the dis-
semination to the private sector of information on ad-
vanced technology research and development per-
formed 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 sub-
section shall be transmitted to the Congress within 6 months
after the date of the enactment of this Act.
(c) ADMINISTRATION.—This section shall be carried
out as part of the Commercial Remote Sensing Program
at the Stennis Space Center.
TITLE 
III—FEDERAL 
ACQUISI-
TION OF SPACE TRANSPOR-
TATION SERVICES
SEC. 301. REQUIREMENT TO PROCURE COMMERCIAL SPACE
TRANSPORTATION SERVICES.
(a) IN GENERAL.—Except as otherwise provided in
this section, the Federal Government shall acquire space
transportation services from United States commercial pro-
viders whenever such services are required in the course of
its activities. To the maximum extent practicable, the Fed-
eral Government shall plan missions to accommodate the
space transportation services capabilities of United States
commercial providers.
(b) EXCEPTIONS.—(1) The Federal Government shall
not be required to acquire space transportation services
under subsection (a) if, on a case-by-case basis, the Admin-
istrator or, in the case of a national security issue, the Sec-
retary of Defense, determines that—
(A) a payload requires the unique capabilities of
the space shuttle;
(B) space transportation services that meet spe-
cific mission requirements would not be reasonably
available from United States commercial providers
when required;
(C) the use of space transportation services from
United States commercial providers poses an unac-
ceptable risk of loss of a unique scientific opportunity;
(D) the use of space transportation services from
United States commercial providers is inconsistent
with national security objectives; or
(E) it is more cost effective to transport a pay-
load in conjunction with a test or demonstration of
a space transportation vehicle owned by the Federal
Government.
(2) Determinations under paragraph (1) shall be made
by the Administrator or the Secretary of the Air Force.
(c) PARTNERSHIPS.—The acquisition of space trans-
portation services in connection with a payload with re-
spect to which the Federal Government has provided a
greater amount of the funding required for construction and
operation than any other source, shall be subject to the re-
quirements of this section.
(d) DELAYED EFFECT.—Subsections (a) and (c) shall
not apply to space transportation services and space trans-
portation vehicles acquired or owned by the Federal Govern-
ment before the date of the enactment of this Act, or with
respect to which a contract for such acquisition or owner-
ship has been entered into before such date.
(e) HISTORICAL PURPOSES.—This section shall not be
construed to prohibit the Federal Government from acquir-
ing, owning, or maintaining space transportation vehicles
solely for historical display purposes.
SEC. 302. ACQUISITION OF SPACE TRANSPORTATION SERV-
ICES.
(a) COMPETITIVE BIDDING.—(1) Contracts for the ac-
quisition of space transportation services by the Federal
Government shall be awarded subject to applicable Federal
law requiring full, fair, and open competition, including
section 2304 of title 10, United States Code, and section
311 of the National Aeronautics and Space Act of 1958 (42
U.S.C. 2459c).
(2) Bidders for a contract for the acquisition by the
Federal Government of space transportation services shall
not be required to provide cost data for the purpose of sup-
porting such a bid or fulfilling such a contract, except in
cases where only one credible bid meeting the requirements
of the solicitation is received.
(b) SPECIFICATION SYSTEMS.—Reasonable perform-
ance specifications, rather than design or construction spec-
ifications, shall be used to the maximum extent feasible to
define requirements for United States commercial providers
bidding to provide or providing space transportation serv-
ices to the Federal Government. This subsection shall not
be construed to prohibit the Federal Government from re-
quiring compliance with applicable safety standards.
SEC. 303. LAUNCH SERVICES PURCHASE ACT OF 1990
AMENDMENTS.
The Launch Services Purchase Act of 1990 (42 U.S.C.
2465b et seq.) is amended—
(1) by striking section 202;
(2) in section 203—
(A) by striking paragraphs (1) and (2); and
(B) by redesignating paragraphs (3) and
(4) as paragraphs (1) and (2), respectively;
(3) by striking sections 204 and 205; and
(4) in section 206—
(A) by striking ‘‘(a) COMMERCIAL PAY-
LOADS ON THE SPACE SHUTTLE.—’’; and
(B) by striking subsection (b).
SEC. 304. USE OF EXCESS INTERCONTINENTAL BALLISTIC
MISSILES.
(a) IN GENERAL.—The Federal Government shall
not—
(1) convert any missile described in subsection
(c) to a space transportation vehicle configuration or
otherwise use any such missile to place a payload in
space; or
(2) transfer ownership of any such missile to an-
other person,
except as provided in subsection (b).
(b) AUTHORIZED FEDERAL USES.—(1) A missile de-
scribed in subsection (c) may be converted for use as a space
transportation vehicle by the Federal Government if—
(A) except as provided in paragraph (2), at least
120 days before such conversion the agency seeking to
use the missile as a space transportation vehicle
transmits to the Committee on National Security and
the Committee on Science of the House of Representa-
tives, and to the Committee on Armed Services and
the Committee on Commerce, Science, and Transpor-
tation of the Senate, a report that contains—
(i) a certification that the use of such mis-
sile—
(I) would result in significant cost sav-
ings to the Federal Government when com-
pared to the cost of acquiring space trans-
portation services from United States com-
mercial providers; and
(II) meets all mission requirements of
the agency, including performance, schedule,
and risk requirements; and
(ii) comments obtained from United States
commercial providers in response to prior public
notice published in the Commerce Business
Daily;
(B) the use of such missile is consistent with
international obligations of the United States; and
(C) the Secretary of Defense approves of such
conversion.
(2) The requirement under paragraph (1)(A) that the
report described in that subparagraph must be transmitted
at least 120 days before conversion of the missile shall not
apply if the Secretary of Defense determines that compli-
ance with that requirement would be inconsistent with
meeting immediate national security requirements.
(c) MISSILES REFERRED TO.—The missiles referred to
in this section are missiles owned by the United States that
were formerly used by the Department of Defense for na-
tional defense purposes as intercontinental ballistic missiles
and that have been retired from service in compliance with
international obligations of the United States.