Source: https://www.govinfo.gov/content/pkg/USCODE-2011-title47/html/USCODE-2011-title47-chap6.htm
Timestamp: 2019-01-20 03:48:22
Document Index: 422612081

Matched Legal Cases: ['§102', '§1', '§1', '§101', '§501', '§303', '§146', '§103', '§703', '§4', '§721', '§201', '§304', '§151', '§731', '§301', '§304', '§301', '§304', '§302', '§304', '§302', '§304', '§303', '§1', '§303', '§304', '§5', '§303', '§305', '§741', '§401', '§402', '§403', '§404', '§304', '§2051', '§751', '§502', '§303', '§503', '§303', '§753', '§504', '§754', '§304', '§505', '§506', '§507', '§757', '§505', '§508', '§505', '§304', '§304', '§761', '§601', '§3', '§2', '§3', '§2', '§761', '§602', '§3', '§763', '§621', '§3', '§628', '§1', '§2', '§1', '§1', '§1', '§2', '§3', '§1', '§1', '§1', '§1', '§1', '§763', '§622', '§3', '§763', '§2', '§623', '§3', '§763', '§624', '§3', '§3', '§763', '§625', '§3', '§765', '§641', '§3', '§151', '§765', '§642', '§3', '§3', '§765', '§643', '§3', '§151', '§765', '§644', '§3', '§765', '§645', '§3', '§3', '§765', '§646', '§3', '§765', '§647', '§3', '§765', '§648', '§3', '§767', '§661', '§3', '§681', '§3']

CHAPTER 6 - COMMUNICATIONS SATELLITE SYSTEM
CHAPTER 6—COMMUNICATIONS SATELLITE SYSTEM
Satellite service report.
SUBCHAPTER II—FEDERAL COORDINATION, PLANNING, AND REGULATION
SUBCHAPTER III—COMMUNICATIONS SATELLITE CORPORATION
731 to 735. Omitted.
741 to 744. Omitted.
SUBCHAPTER V—INTERNATIONAL MARITIME SATELLITE TELECOMMUNICATIONS
751, 752.
SUBCHAPTER VI—COMMUNICATIONS COMPETITION AND PRIVATIZATION
Part A—Actions To Ensure Pro-Competitive Privatization
Federal Communications Commission licensing.
Incentives; limitation on expansion pending privatization.
Part B—Federal Communications Commission Licensing Criteria: Privatization Criteria
General criteria to ensure a pro-competitive privatization of INTELSAT and Inmarsat.
Specific criteria for INTELSAT.
763b.
763c.
Space segment capacity of the GMDSS.
Encouraging market access and privatization.
Part C—Deregulation and Other Statutory Changes
Access to INTELSAT.
Signatory role.
765b.
Elimination of procurement preferences.
765c.
ITU functions.
765d.
Termination of provisions of this chapter.
765e.
765f.
Satellite auctions.
Exclusivity arrangements.
Part D—Negotiations To Pursue Privatization
Methods to pursue privatization.
Part E—Definitions
Section, Pub. L. 87–624, title I, §102, Aug. 31, 1962, 76 Stat. 419, which related to Congressional declaration of policy and purpose, ceased to be effective Apr. 15, 2005, pursuant to section 765d(4) of this title.
Pub. L. 108–39, §1, June 30, 2003, 117 Stat. 835, provided that: “This Act [amending section 763 of this title] may be cited as the ‘ORBIT Technical Corrections Act of 2003’.”
Pub. L. 106–180, §1, Mar. 17, 2000, 114 Stat. 48, provided that: “This Act [enacting subchapter VI of this chapter] may be cited as the ‘Open-market Reorganization for the Betterment of International Telecommunications Act’ or the ‘ORBIT Act’.”
Pub. L. 87–624, title I, §101, Aug. 31, 1962, 76 Stat. 419, provided that: “This Act [enacting this chapter] may be cited as the ‘Communications Satellite Act of 1962’.”
Pub. L. 87–624, title V, §501, as added by Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2392, provided that: “This title [enacting subchapter V of this chapter] may be cited as the ‘International Maritime Satellite Telecommunications Act’.”
Pub. L. 103–414, title III, §303(f), Oct. 25, 1994, 108 Stat. 4296, provided that: “The Communications Act of 1934 [47 U.S.C. 151 et seq.] and the Communications Satellite Act of 1962 [47 U.S.C. 701 et seq.] are amended so that the section designation and section heading of each section of such Acts shall be in the form and typeface of the section designation and heading of this section [108 Stat. 4294].”
Pub. L. 99–93, title I, §146, Aug. 16, 1985, 99 Stat. 425, provided that:
“(a) Policy.—The Congress declares that it is the policy of the United States—
“(1) as a party to the International Telecommunications Satellite Organization (hereafter in this section referred to as ‘Intelsat’), to foster and support the global commercial communications satellite system owned and operated by Intelsat;
“(2) to make available to consumers a variety of communications satellite services utilizing the space segment facilities of Intelsat and any additional such facilities which are found to be in the national interest and which—
“(A) are technically compatible with the use of the radio frequency spectrum and orbital space by the existing or planned Intelsat space segment, and
“(B) avoid significant economic harm to the global system of Intelsat; and
“(3) to authorize use and operation of any additional space segment facilities only if the obligations of the United States under article XIV(d) of the Intelsat Agreement have been met.
“(b) Preconditions for Intelsat Consultation.—Before consulting with Intelsat for purposes of coordination of any separate international telecommunications satellite system under article XIV(d) of the Intelsat Agreement, the Secretary of State shall—
“(1) in coordination with the Secretary of Commerce, ensure that any proposed separate international satellite telecommunications system comply with the Executive Branch conditions established pursuant to the Presidential Determination No. 85–2 [49 F.R. 46987]; and
“(2) ensure that one or more foreign authorities have authorized the use of such system consistent with such conditions.
“(c) Amendment of Intelsat Agreement.—(1) The Secretary of State shall consult with the United States signatory to Intelsat and the Secretary of Commerce regarding the appropriate scope and character of a modification to article V(d) of the Intelsat Agreement which would permit Intelsat to establish cost-based rates for individual traffic routes, as exceptional circumstances warrant, paying particular attention to the need for avoiding significant economic harm to the global system of Intelsat as well as United States national and foreign policy interests.
“(2)(A) To ensure that rates established by Intelsat for such routes are cost-based, the Secretary of State, in consultation with the Secretary of Commerce and the Chairman of the Federal Communications Commission, shall instruct the United States signatory to Intelsat to ensure that sufficient documentation, including documentation regarding revenues and costs, is provided by Intelsat so as to verify that such rates are in fact cost-based.
“(B) To the maximum extent possible, such documenation [documentation] will be made available to interested parties on a timely basis.
“(3) Pursuant to the consultation under paragraph (1) and taking the steps prescribed in paragraph (2) to provide documentation, the United States shall support an appropriate modification to article V(d) of the Intelsat Agreement to accomplish the purpose described in paragraph (1).
“(d) Congressional Consultation.—In the event that, after United States consultation with Intelsat for the purposes of coordination under article XIV(d) of the Intelsat Agreement for the establishment of a separate international telecommunications satellite system, the Assembly of Parties of Intelsat fails to recommend such a separate system, and the President determines to pursue the establishment of a separate system notwithstanding the Assembly's failure to approve such system, the Secretary of State, after consultation with the Secretary of Commerce, shall submit to the Congress a detailed report which shall set forth—
“(1) the foreign policy reasons for the President's determination, and
“(2) a plan for minimizing any negative effects of the President's action on Intelsat and on United States foreign policy interests.
“(e) Notification to Federal Communications Commission.—In the event the Secretary of State submits a report under subsection (d), the Secretary, 60 calendar days after the receipt by the Congress of such report, shall notify the Federal Communications Commission as to whether the United States obligations under article XIV(d) of the Intelsat Agreement have been met.
“(f) Implementation.—In implementing the provisions of this section, the Secretary of State shall act in accordance with Executive order 12046 [set out under section 305 of this title].
“(g) Definition.—For the purposes of this section, the term ‘separate international telecommunications satellite system’ or ‘separate system’ means a system of one or more telecommunications satellites separate from the Intelsat space segment which is established to provide international telecommunications services between points within the United States and points outside the United States, except that such term shall not include any satellite or system of satellites established—
“(1) primarily for domestic telecommunications purposes and which incidentally provides services on an ancillary basis to points outside the jurisdiction of the United States but within the western hemisphere, or
“(2) solely for unique governmental purposes.”
(1) the term “communications satellite system” refers to a system of communications satellites in space whose purpose is to relay telecommunication information between satellite terminal stations, together with such associated equipment and facilities for tracking, guidance, control, and command functions as are not part of the generalized launching, tracking, control, and command facilities for all space purposes;
(2) the term “satellite terminal station” refers to a complex of communication equipment located on the earth's surface, operationally connected with one or more terrestrial communication systems, and capable of transmitting telecommunications to or receiving telecommunications from a communications satellite system.
(3) the term “communications satellite” means an earth satellite which is intentionally used to relay telecommunication information;
(4) the term “associated equipment and facilities” refers to facilities other than satellite terminal stations and communications satellites, to be constructed and operated for the primary purpose of a communications satellite system, whether for administration and management, for research and development, or for direct support of space operations;
(5) the term “research and development” refers to the conception, design, and first creation of experimental or prototype operational devices for the operation of a communications satellite system, including the assembly of separate components into a working whole, as distinguished from the term “production,” which relates to the construction of such devices to fixed specifications compatible with repetitive duplication for operational applications; and
(6) the term “telecommunication” means any transmission, emission or reception of signs, signals, writings, images, and sounds or intelligence of any nature by wire, radio, optical, or other electromagnetic systems.
(7) omitted;
(8) the term “corporation” means the corporation authorized by subchapter III of this chapter.
(9) the term “Administration” means the National Aeronautics and Space Administration; and
(10) the term “Commission” means the Federal Communications Commission.
(Pub. L. 87–624, title I, §103, Aug. 31, 1962, 76 Stat. 419.)
Par. (7) of this section, which defined the term “communications common carrier”, ceased to be effective Apr. 15, 2005, pursuant to section 765d(4) of this title.
§703. Satellite service report
The Federal Communications Commission shall review competitive market conditions with respect to domestic and international satellite communications services and shall include in an annual report an analysis of those conditions. The Commission shall transmit a copy of the report to the Senate Committee on Commerce, Science, and Transportation and the House of Representatives Committee on Energy and Commerce.
The Commission shall include in the report—
(1) an identification of the number and market share of competitors in domestic and international satellite markets;
(2) an analysis of whether there is effective competition in the market for domestic and international satellite services; and
(3) a list of any foreign nations in which legal or regulatory practices restrict access to the market for satellite services in such nation in a manner that undermines competition or favors a particular competitor or set of competitors.
(Pub. L. 109–34, §4, July 12, 2005, 119 Stat. 377.)
Section was not enacted as part of the Communications Satellite Act of 1962 which comprises this chapter.
§721. Implementation of policy
(1) to (7) omitted.
(1) to (10) omitted;
(11) make rules and regulations to carry out the provisions of this chapter.
(Pub. L. 87–624, title II, §201, Aug. 31, 1962, 76 Stat. 421; Pub. L. 103–414, title III, §304(b)(1), Oct. 25, 1994, 108 Stat. 4297.)
The Communications Act of 1934, as amended, referred to in subsec. (c), is act June 19, 1934, ch. 652, 48 Stat. 1064, as amended, which is classified principally to chapter 5 (§151 et seq.) of this title. For complete classification of this Act to the Code, see section 609 of this title and Tables.
§§731 to 735. Omitted
Section 731, Pub. L. 87–624, title III, §301, as added Pub. L. 103–414, title III, §304(b)(2), Oct. 25, 1994, 108 Stat. 4297, related to the creation of a communications satellite corporation.
A prior section 731, Pub. L. 87–624, title III, §301, Aug. 31, 1962, 76 Stat. 423, authorized creation of a for-profit communications satellite corporation not to be a Government agency, subject to this chapter and the District of Columbia Business Corporation Act, prior to repeal by Pub. L. 103–414, §304(b)(2).
Section 732, Pub. L. 87–624, title III, §302, as added Pub. L. 103–414, title III, §304(b)(2), Oct. 25, 1994, 108 Stat. 4297, related to laws applicable to the corporation.
A prior section 732, Pub. L. 87–624, title III, §302, Aug. 31, 1962, 76 Stat. 423, related to process of organization of the communications satellite corporation, prior to repeal by Pub. L. 103–414, §304(b)(2).
Section 733, Pub. L. 87–624, title III, §303, Aug. 31, 1962, 76 Stat. 423; Pub. L. 91–3, §1, Mar. 12, 1969, 83 Stat. 4; Pub. L. 103–414, title III, §303(b)(1), Oct. 25, 1994, 108 Stat. 4296, related to the board of directors and officers of the corporation.
Section 734, Pub. L. 87–624, title III, §304, Aug. 31, 1962, 76 Stat. 424; Pub. L. 97–410, §5, Jan. 3, 1983, 96 Stat. 2045; Pub. L. 103–414, title III, §§303(b)(2), (3), 304(b)(3), Oct. 25, 1994, 108 Stat. 4296, 4297, related to financing of the corporation.
Section 735, Pub. L. 87–624, title III, §305, Aug. 31, 1962, 76 Stat. 425, which related to powers of the corporation, ceased to be effective July 18, 2001, pursuant to section 765d(2) of this title.
§§741 to 744. Omitted
Sections 741 to 744 ceased to be effective Apr. 15, 2005, pursuant to section 765d(4) of this title.
Section 741, Pub. L. 87–624, title IV, §401, Aug. 31, 1962, 76 Stat. 426, related to the common carrier status of and laws applicable to the corporation.
Section 742, Pub. L. 87–624, title IV, §402, Aug. 31, 1962, 76 Stat. 426, related to foreign business negotiations of the corporation and required notice to the Department of State.
Section 743, Pub. L. 87–624, title IV, §403, Aug. 31, 1962, 76 Stat. 426, related to sanctions imposed upon the corporation for violations of provisions of this chapter.
Section 744, Pub. L. 87–624, title IV, §404, Aug. 31, 1962, 76 Stat. 426; Pub. L. 103–414, title III, §304(b)(4), Oct. 25, 1994, 108 Stat. 4297; Pub. L. 104–66, title II, §2051(a), Dec. 21, 1995, 109 Stat. 729, related to annual reports to the President and Congress by the corporation.
§§751, 752. Omitted
Sections ceased to be effective Mar. 17, 2000, pursuant to section 765d(1) of this title.
Section 751, Pub. L. 87–624, title V, §502, as added Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2392; amended Pub. L. 103–414, title III, §303(b)(4), Oct. 25, 1994, 108 Stat. 4296, related to congressional declaration of policy and purpose of this subchapter.
Section 752, Pub. L. 87–624, title V, §503, as added Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2392; amended Pub. L. 103–414, title III, §§303(b)(4), 304(b)(5), Oct. 25, 1994, 108 Stat. 4296, 4297, related to the corporation's status as the sole designated operating entity of the United States.
§753. Implementation of policy
(1) coordinate the activities of Federal agencies with responsibilities in the field of telecommunications (other than the Commission), so as to ensure that there is full and effective compliance with the provisions of this subchapter;
(2) omitted;
(3) exercise his authority in a manner which seeks to obtain coordinated and efficient use of the electromagnetic spectrum and orbital space, and to ensure the technical compatibility of the space segment with existing communications facilities in the United States and in foreign countries; and
(b) to (d) Omitted.
(Pub. L. 87–624, title V, §504, as added Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2394.)
Subsecs. (b) and (d) of this section ceased to be effective June 14, 2005, pursuant to section 765d(3) of this title. Subsec. (b) directed the President to supervise and issue instructions to the communications satellite corporation regarding activities with foreign governments, international entities, and INMARSAT. Subsec. (d) authorized the Federal Communications Commission to issue instructions to the corporation with respect to regulatory matters within the Commission's jurisdiction.
§§754 to 756. Repealed. Pub. L. 103–414, title III, §304(b)(5), Oct. 25, 1994, 108 Stat. 4298
Section 754, Pub. L. 87–624, title V, §505, as added Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2395, related to study of structure and activities of corporation.
Section 755, Pub. L. 87–624, title V, §506, as added Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2395, related to study of public maritime coast station services.
Section 756, Pub. L. 87–624, title V, §507, as added Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2396, related to study of radio navigation systems.
§757. Definitions
(1) the term “person” includes an individual, partnership, association, joint stock company, trust, or corporation;
(2) the term “satellite earth terminal station” means a complex of communications equipment located on land, operationally interconnected with one or more terrestrial communications systems, and capable of transmitting telecommunications to, or receiving telecommunications from, the space segment;
(3) the term “space segment” means any satellite (or capacity on a satellite) maintained under the authority of INMARSAT, for the purpose of providing international maritime telecommunications services, and the tracking, telemetry, command, control, monitoring, and related facilities and equipment required to support the operation of such satellite; and
(4) the term “State” means the several States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin Islands, the Trust Territory of the Pacific Islands, and any other territory or possession of the United States.
(Pub. L. 87–624, title V, §505, formerly §508, as added Pub. L. 95–564, Nov. 1, 1978, 92 Stat. 2396; renumbered §505, Pub. L. 103–414, title III, §304(b)(6), Oct. 25, 1994, 108 Stat. 4298.)
A prior section 505 of Pub. L. 87–624 was classified to section 754 of this title prior to repeal by Pub. L. 103–414, §304(b)(5).
§761. Federal Communications Commission licensing
(a) Licensing for separated entities
(1) Competition test
The Commission may not issue a license or construction permit to any separated entity, or renew or permit the assignment or use of any such license or permit, or authorize the use by any entity subject to United States jurisdiction of any space segment owned, leased, or operated by any separated entity, unless the Commission determines that such issuance, renewal, assignment, or use will not harm competition in the telecommunications market of the United States. If the Commission does not make such a determination, it shall deny or revoke authority to use space segment owned, leased, or operated by the separated entity to provide services to, from, or within the United States.
(2) Criteria for competition test
In making the determination required by paragraph (1), the Commission shall use the licensing criteria in sections 763 and 763b 1 of this title, and shall not make such a determination unless the Commission determines that the privatization of any separated entity is consistent with such criteria.
(b) Licensing for INTELSAT, Inmarsat, and successor entities
In considering the application of INTELSAT, Inmarsat, or their successor entities for a license or construction permit, or for the renewal or assignment or use of any such license or permit, or in considering the request of any entity subject to United States jurisdiction for authorization to use any space segment owned, leased, or operated by INTELSAT, Inmarsat, or their successor entities, to provide non-core services to, from, or within the United States, the Commission shall determine whether—
(i) after April 1, 2001, in the case of INTELSAT and its successor entities, INTELSAT and any successor entities have been privatized in a manner that will harm competition in the telecommunications markets of the United States; or
(ii) after April 1, 2000, in the case of Inmarsat and its successor entities, Inmarsat and any successor entities have been privatized in a manner that will harm competition in the telecommunications markets of the United States.
(B) Consequences of determination
If the Commission determines that such competition will be harmed or that grant of such application or request for authority is not otherwise in the public interest, the Commission shall limit through conditions or deny such application or request, and limit or revoke previous authorizations to provide non-core services to, from, or within the United States. After due notice and opportunity for comment, the Commission shall apply the same limitations, restrictions, and conditions to all entities subject to United States jurisdiction using space segment owned, leased, or operated by INTELSAT, Inmarsat, or their successor entities.
(C) National security, law enforcement, and public safety
The Commission shall not impose any limitation, condition, or restriction under subparagraph (B) in a manner that will, or is reasonably likely to, result in limitation, denial, or revocation of authority for non-core services that are used by and required for a national security agency or law enforcement department or agency of the United States, or used by and required for, and otherwise in the public interest, any other Department or Agency of the United States to protect the health and safety of the public. Such services may be obtained by the United States directly from INTELSAT, Inmarsat, or a successor entity, or indirectly through COMSAT, or authorized carriers or distributors of the successor entity.
Nothing in this subsection is intended to preclude the Commission from acting upon applications of INTELSAT, Inmarsat, or their successor entities prior to the latest date set out in section 763(5)(A) of this title, including such actions as may be necessary for the United States to become the licensing jurisdiction for INTELSAT, but the Commission shall condition a grant of authority pursuant to this subsection upon compliance with sections 763 and 763a of this title.
In making the determination required by paragraph (1), the Commission shall use the licensing criteria in sections 763, 763a, and 763c 1 of this title, and shall determine that competition in the telecommunications markets of the United States will be harmed unless the Commission finds that the privatization referred to in paragraph (1) is consistent with such criteria.
(3) Clarification: competitive safeguards
In making its licensing decisions under this subsection, the Commission shall consider whether users of non-core services provided by INTELSAT or Inmarsat or successor or separated entities are able to obtain non-core services from providers offering services other than through INTELSAT or Inmarsat or successor or separated entities, at competitive rates, terms, or conditions. Such consideration shall also include whether such licensing decisions would require users to replace equipment at substantial costs prior to the termination of its design life. In making its licensing decisions, the Commission shall also consider whether competitive alternatives in individual markets do not exist because they have been foreclosed due to anticompetitive actions undertaken by or resulting from the INTELSAT or Inmarsat systems. Such licensing decisions shall be made in a manner which facilitates achieving the purposes and goals in this subchapter and shall be subject to notice and comment.
(c) Additional considerations in determinations
In making its determinations and licensing decisions under subsections (a) and (b) of this section, the Commission shall construe such subsections in a manner consistent with the United States obligations and commitments for satellite services under the Fourth Protocol to the General Agreement on Trade in Services.
(d) Independent facilities competition
Nothing in this section shall be construed as precluding COMSAT from investing in or owning satellites or other facilities independent from INTELSAT and Inmarsat, and successor or separated entities, or from providing services through reselling capacity over the facilities of satellite systems independent from INTELSAT and Inmarsat, and successor or separated entities. This subsection shall not be construed as restricting the types of contracts which can be executed or services which may be provided by COMSAT over the independent satellites or facilities described in this subsection.
(Pub. L. 87–624, title VI, §601, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 48.)
Section 763b of this title, referred to in subsec. (a)(2), was repealed by Pub. L. 109–34, §2, July 12, 2005, 119 Stat. 377.
Section 763c of this title, referred to in subsec. (b)(2), was amended generally by Pub. L. 109–34, §3, July 12, 2005, 119 Stat. 377, and no longer relates to specific criteria for Inmarsat privatization.
Pub. L. 106–180, §2, Mar. 17, 2000, 114 Stat. 48, provided that: “It is the purpose of this Act [see Short Title of 2000 Amendment note set out under section 701 of this title] to promote a fully competitive global market for satellite communication services for the benefit of consumers and providers of satellite services and equipment by fully privatizing the intergovernmental satellite organizations, INTELSAT and Inmarsat.”
§761a. Incentives; limitation on expansion pending privatization
Until INTELSAT, Inmarsat, and their successor or separate entities are privatized in accordance with the requirements of this subchapter, INTELSAT, Inmarsat, and their successor or separate entities, respectively, shall not be permitted to provide additional services. The Commission shall take all necessary measures to implement this requirement, including denial by the Commission of licensing for such services.
(b) Orbital location incentives
Until such privatization is achieved, the United States shall oppose and decline to facilitate applications by such entities for new orbital locations to provide such services.
(Pub. L. 87–624, title VI, §602, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 50.)
§763. General criteria to ensure a pro-competitive privatization of INTELSAT and Inmarsat
The President and the Commission shall secure a pro-competitive privatization of INTELSAT and Inmarsat that meets the criteria set forth in this section and sections 763a through 763c 1 of this title. In securing such privatizations, the following criteria shall be applied as licensing criteria for purposes of part A of this subchapter:
(1) Dates for privatization
Privatization shall be obtained in accordance with the criteria of this subchapter of—
(A) INTELSAT as soon as practicable, but no later than April 1, 2001; and
(B) Inmarsat as soon as practicable, but no later than July 1, 2000.
The privatized successor entities and separated entities of INTELSAT and Inmarsat shall operate as independent commercial entities, and have a pro-competitive ownership structure. The successor entities and separated entities of INTELSAT and Inmarsat shall conduct an initial public offering in accordance with paragraph (5) to achieve such independence. Such offering shall substantially dilute the aggregate ownership of such entities by such signatories or former signatories. In determining whether a public offering attains such substantial dilution, the Commission shall take into account the purposes and intent, privatization criteria, and other provisions of this subchapter, as well as market conditions. No intergovernmental organization, including INTELSAT or Inmarsat, shall have—
(A) an ownership interest in INTELSAT or the successor or separated entities of INTELSAT; or
(B) more than minimal ownership interest in Inmarsat or the successor or separated entities of Inmarsat.
(3) Termination of privileges and immunities
The preferential treatment of INTELSAT and Inmarsat shall not be extended to any successor entity or separated entity of INTELSAT or Inmarsat. Such preferential treatment includes—
(A) privileged or immune treatment by national governments;
(B) privileges or immunities or other competitive advantages of the type accorded INTELSAT and Inmarsat and their signatories through the terms and operation of the INTELSAT Agreement and the associated Headquarters Agreement and the Inmarsat Convention; and
(C) preferential access to orbital locations.
(5) Conversion to stock corporations
Any successor entity or separated entity created out of INTELSAT or Inmarsat shall be a national corporation or similar accepted commercial structure, subject to the laws of the nation in which incorporated, as follows:
(i) shall be conducted, for the successor entities of INTELSAT, on or about June 30, 2005, except that the Commission may extend this deadline in consideration of market conditions and relevant business factors relating to the timing of an initial public offering, but such extensions shall not permit such offering to be conducted later than December 31, 2005; and
(ii) shall be conducted, for the successor entities of Inmarsat, not later than June 30, 2005, except that the Commission may extend this deadline to not later than December 31, 2004.
(B) The shares of any successor entities and separated entities shall be listed for trading on one or more major stock exchanges with transparent and effective securities regulation.
(C) A majority of the members of the board of directors of any successor entity or separated entity shall not be directors, employees, officers, or managers or otherwise serve as representatives of any signatory or former signatory. No member of the board of directors of any successor or separated entity shall be a director, employee, officer or manager of any intergovernmental organization remaining after the privatization.
(i) have a board of directors with a fiduciary obligation;
(ii) have no officers or managers who are officers or managers of any signatories or former signatories; and
(iii) have no directors, officers, or managers who hold such positions in any intergovernmental organization.
(E) Any transactions or other relationships between or among any successor entity, separated entity, INTELSAT, or Inmarsat shall be conducted on an arm's length basis.
(I) the successor entity has achieved substantial dilution of the aggregate amount of signatory or former signatory financial interest in such entity;
(II) any signatories and former signatories that retain a financial interest in such successor entity do not possess, together or individually, effective control of such successor entity; and
(III) no intergovernmental organization has any ownership interest in a successor entity of INTELSAT or more than a minimal ownership interest in a successor entity of Inmarsat;
(ii) the successor entity provides such financial and other information to the Commission as the Commission may require to verify such certification; and
(iii) the Commission determines, after notice and comment, that the successor entity is in compliance with such certification.
(G) For purposes of subparagraph (F), the term “substantial dilution” means that a majority of the financial interests in the successor entity is no longer held or controlled, directly or indirectly, by signatories or former signatories.
(7) Competition policies in domiciliary country
Any successor entity or separated entity shall be subject to the jurisdiction of a nation or nations that—
(A) have effective laws and regulations that secure competition in telecommunications services;
(B) are signatories of the World Trade Organization Basic Telecommunications Services Agreement; and
(C) have a schedule of commitments in such Agreement that includes non-discriminatory market access to their satellite markets.
(Pub. L. 87–624, title VI, §621, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 51; amended Pub. L. 107–77, title VI, §628, Nov. 28, 2001, 115 Stat. 804; Pub. L. 107–233, §1, Oct. 1, 2002, 116 Stat. 1480; Pub. L. 108–39, §2, June 30, 2003, 117 Stat. 835; Pub. L. 108–228, §1, May 18, 2004, 118 Stat. 644; Pub. L. 108–371, §1, Oct. 25, 2004, 118 Stat. 1752; Pub. L. 109–34, §1, July 12, 2005, 119 Stat. 377.)
Section 763b of this title, referred to in text, was repealed by Pub. L. 109–34, §2, July 12, 2005, 119 Stat. 377.
Section 763c of this title, referred to in text, was amended generally by Pub. L. 109–34, §3, July 12, 2005, 119 Stat. 377, and no longer relates to specific criteria for Inmarsat privatization.
2005—Par. (5)(D)(ii). Pub. L. 109–34, §1(1), (2), struck out subcl. (I) designation after “managers who” and substituted “signatories; and” for “signatories, or (II) have any direct financial interest in or financial relationship to any signatories or former signatories, except that such interest may be managed through a blind trust or similar mechanism;”.
Par. (5)(D)(iii). Pub. L. 109–34, §1(3), substituted “organization.” for “organization; and”.
Par. (5)(D)(iv). Pub. L. 109–34, §1(4), struck out cl. (iv) which read as follows: “in the case of a separated entity, have no officers or directors, who (I) are officers or managers of any intergovernmental organization, or (II) have any direct financial interest in or financial relationship to any international organization, except that such interest may be managed through a blind trust or similar mechanism.”
Par. (5)(A)(ii). Pub. L. 108–371, §1(1), substituted “June 30, 2005” for “June 30, 2004”.
Par. (5)(F), (G). Pub. L. 108–371, §1(2), added subpars. (F) and (G).
§763a. Specific criteria for INTELSAT
In securing the privatizations required by section 763 of this title, the following additional criteria with respect to INTELSAT privatization shall be applied as licensing criteria for purposes of part A of this subchapter:
(1) 1 Technical coordination under intelsat agreements.—Technical coordination shall not be used to impair competition or competitors, and shall be conducted under International Telecommunication Union procedures and not under Article XIV(d) of the INTELSAT Agreement.
(Pub. L. 87–624, title VI, §622, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 53.)
§763b. Repealed. Pub. L. 109–34, §2, July 12, 2005, 119 Stat. 377
Section, Pub. L. 87–624, title VI, §623, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 53, related to specific criteria for INTELSAT separated entities.
§763c. Space segment capacity of the GMDSS
The United States shall preserve the space segment capacity of the GMDSS. This section is not intended to alter the status that the GMDSS would otherwise have under United States laws and regulations of the International Telecommunication Union with respect to spectrum, orbital locations, or other operational parameters, or to be a barrier to competition for the provision of GMDSS services.
(Pub. L. 87–624, title VI, §624, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 54; amended Pub. L. 109–34, §3, July 12, 2005, 119 Stat. 377.)
2005—Pub. L. 109–34 amended section catchline and text generally, substituting provisions relating to space segment capacity of the GMDSS for provisions relating to specific criteria for Inmarsat privatization.
§763d. Encouraging market access and privatization
(a) NTIA determination
(1) Determination required
Within 180 days after March 17, 2000, the Secretary of Commerce shall, through the Assistant Secretary for Communications and Information, transmit to the Commission—
(A) a list of Member countries of INTELSAT and Inmarsat that are not Members of the World Trade Organization and that impose barriers to market access for private satellite systems; and
(B) a list of Member countries of INTELSAT and Inmarsat that are not Members of the World Trade Organization and that are not supporting pro-competitive privatization of INTELSAT and Inmarsat.
The Secretary's determinations under paragraph (1) shall be made in consultation with the Federal Communications Commission, the Secretary of State, and the United States Trade Representative, and shall take into account the totality of a country's actions in all relevant fora, including the Assemblies of Parties of INTELSAT and Inmarsat.
(b) Imposition of cost-based settlement rate
(1) any higher settlement rate that an overseas carrier charges any United States carrier to originate or terminate international message telephone services; and
(2) any transition period that would otherwise apply,
the Commission may by rule prohibit United States carriers from paying an amount in excess of a cost-based settlement rate to overseas carriers in countries listed by the Commission pursuant to subsection (a) of this section.
(c) Settlements policy
The Commission shall, in exercising its authority to establish settlements rates for United States international common carriers, seek to advance United States policy in favor of cost-based settlements in all relevant fora on international telecommunications policy, including in meetings with parties and signatories of INTELSAT and Inmarsat.
(Pub. L. 87–624, title VI, §625, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 54.)
§765. Access to INTELSAT
(a) Access permitted
Beginning on March 17, 2000, users or providers of telecommunications services shall be permitted to obtain direct access to INTELSAT telecommunications services and space segment capacity through purchases of such capacity or services from INTELSAT. Such direct access shall be at the level commonly referred to by INTELSAT, on March 17, 2000, as “Level III”.
Within 180 days after March 17, 2000, the Commission shall complete a rulemaking, with notice and opportunity for submission of comment by interested persons, to determine if users or providers of telecommunications services have sufficient opportunity to access INTELSAT space segment capacity directly from INTELSAT to meet their service or capacity requirements. If the Commission determines that such opportunity to access does not exist, the Commission shall take appropriate action to facilitate such direct access pursuant to its authority under this chapter and the Communications Act of 1934 [47 U.S.C. 151 et seq.]. The Commission shall take such steps as may be necessary to prevent the circumvention of the intent of this section.
(c) Contract preservation
Nothing in this section shall be construed to permit the abrogation or modification of any contract.
(Pub. L. 87–624, title VI, §641, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 55.)
The Communications Act of 1934, referred to in subsec. (b), is act June 19, 1934, ch. 652, 48 Stat. 1064, as amended, which is classified principally to chapter 5 (§151 et seq.) of this title. For complete classification of this Act to the Code, see section 609 of this title and Tables.
§765a. Signatory role
(a) Limitations on signatories
(1) National security limitations
The Federal Communications Commission, after a public interest determination, in consultation with the executive branch, may restrict foreign ownership of a United States signatory if the Commission determines that not to do so would constitute a threat to national security.
(2) No signatories required
The United States Government shall not require signatories to represent the United States in INTELSAT or Inmarsat or in any successor entities after a pro-competitive privatization is achieved consistent with sections 763, 763a, and 763c 1 of this title.
(b) Clarification of privileges and immunities of COMSAT
(1) Generally not immunized
Notwithstanding any other law or executive agreement, COMSAT shall not be entitled to any privileges or immunities under the laws of the United States or any State on the basis of its status as a signatory of INTELSAT or Inmarsat.
(2) Limited immunity
COMSAT or any successor in interest shall not be liable for action taken by it in carrying out the specific, written instruction of the United States issued in connection with its relationships and activities with foreign governments, international entities, and the intergovernmental satellite organizations.
(3) No joint or several liability
If COMSAT is found liable for any action taken in its status as a signatory or a representative of the party to INTELSAT, any such liability shall be limited to the portion of the judgment that corresponds to COMSAT's percentage of the ownership of INTELSAT at the time the activity began which lead to the liability.
(4) Provisions prospective
Paragraph (1) shall not apply with respect to liability for any action taken by COMSAT before March 17, 2000.
(c) Parity of treatment
Notwithstanding any other law or executive agreement, the Commission shall have the authority to impose similar regulatory fees on the United States signatory which it imposes on other entities providing similar services.
(Pub. L. 87–624, title VI, §642, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 55.)
Section 763c of this title, referred to in subsec. (a)(2), was amended generally by Pub. L. 109–34, §3, July 12, 2005, 119 Stat. 377, and no longer relates to specific criteria for Inmarsat privatization.
§765b. Elimination of procurement preferences
Nothing in this subchapter or the Communications Act of 1934 [47 U.S.C. 151 et seq.] shall be construed to authorize or require any preference, in Federal Government procurement of telecommunications services, for the satellite space segment provided by INTELSAT, Inmarsat, or any successor entity or separated entity.
(Pub. L. 87–624, title VI, §643, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 56.)
The Communications Act of 1934, referred to in text, is act June 19, 1934, ch. 652, 48 Stat. 1064, as amended, which is classified principally to chapter 5 (§151 et seq.) of this title. For complete classification of this Act to the Code, see section 609 of this title and Tables.
§765c. ITU functions
(a) Technical coordination
The Commission and United States satellite companies shall utilize the International Telecommunication Union procedures for technical coordination with INTELSAT and its successor entities and separated entities, rather than INTELSAT procedures.
(b) ITU notifying administration
The President and the Commission shall take the action necessary to ensure that the United States remains the ITU notifying administration for the privatized INTELSAT's existing and future orbital slot registrations.
(Pub. L. 87–624, title VI, §644, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 56.)
§765d. Termination of provisions of this chapter
(1) March 17, 2000: Paragraphs (1), (5) and (6) of section 721(a) of this title; section 721(b) of this title; paragraphs (1), (3) through (5), and (8) through (10) of section 721(c) of this title; section 733 of this title; section 734 of this title; section 751 of this title; section 752 of this title; paragraphs (2) and (4) of section 753(a) of this title; and section 753(c) of this title.
(2) Upon the transfer of assets to a successor entity and receipt by signatories or former signatories (including COMSAT) of ownership shares in the successor entity of INTELSAT in accordance with appropriate arrangements determined by INTELSAT to implement privatization: Section 735 of this title.
(3) On the effective date of a Commission order determining under section 761(b)(2) of this title that Inmarsat privatization is consistent with criteria in sections 763 and 763c 1 of this title: Sections 753(b) and 753(d) of this title.
(4) On the effective date of a Commission order determining under section 761(b)(2) of this title that INTELSAT privatization is consistent with criteria in sections 763 and 763a of this title: Section 701 of this title; section 702(7) of this title; paragraphs (2) through (4) and (7) of section 721(a) of this title; paragraphs (2), (6), and (7) of section 721(c) of this title; section 731 of this title; section 732 of this title; section 741 of this title; section 742 of this title; section 743 of this title; and section 744 of this title.
(Pub. L. 87–624, title VI, §645, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 56.)
Section 763c of this title, referred to in par. (3), was amended generally by Pub. L. 109–34, §3, July 12, 2005, 119 Stat. 377, and no longer relates to specific criteria for Inmarsat privatization.
§765e. Reports to Congress
The President and the Commission shall report to the Committees on Commerce and International Relations of the House of Representatives and the Committees on Commerce, Science, and Transportation and Foreign Relations of the Senate within 90 calendar days of March 17, 2000, and not less than annually thereafter, on the progress made to achieve the objectives and carry out the purposes and provisions of this subchapter. Such reports shall be made available immediately to the public.
The reports submitted pursuant to subsection (a) of this section shall include the following:
(3) Views of industry and consumers on privatization.
(4) Impact privatization has had on United States industry, United States jobs, and United States industry's access to the global marketplace.
(Pub. L. 87–624, title VI, §646, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 57.)
Memorandum of President of the United States, Aug. 21, 2000, 65 F.R. 52289, provided:
By the authority vested in me by the Constitution and the laws of the United States of America, including section 301 of title 3 of the United States Code, I hereby delegate to you the functions vested in me by section 646 of the ORBIT Act (Public Law 106–180) [probably means section 646 of Pub. L. 87–624, as added by Pub. L. 106–180, 47 U.S.C. 765e], relating to submission of annual reports to the appropriate congressional committees regarding the privatization of intergovernmental satellite organizations. The authority delegated by the memorandum may be further redelegated within the Department of State.
§765f. Satellite auctions
(Pub. L. 87–624, title VI, §647, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 57.)
§765g. Exclusivity arrangements
No satellite operator shall acquire or enjoy the exclusive right of handling telecommunications to or from the United States, its territories or possessions, and any other country or territory by reason of any concession, contract, understanding, or working arrangement to which the satellite operator or any persons or companies controlling or controlled by the operator are parties.
In enforcing the provisions of this section, the Commission—
(1) shall not require the termination of existing satellite telecommunications services under contract with, or tariff commitment to, such satellite operator; but
(2) may require the termination of new services only to the country that has provided the exclusive right to handle telecommunications, if the Commission determines the public interest, convenience, and necessity so requires.
(Pub. L. 87–624, title VI, §648, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 57.)
§767. Methods to pursue privatization
The President shall secure the pro-competitive privatizations required by this subchapter in a manner that meets the criteria in part B of this subchapter.
(Pub. L. 87–624, title VI, §661, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 58.)
(3) Signatories
The term “signatories”—
(A) in the case of INTELSAT, or INTELSAT successors or separated entities, means a Party, or the telecommunications entity designated by a Party, that has signed the Operating Agreement and for which such Agreement has entered into force; and
(B) in the case of Inmarsat, or Inmarsat successors or separated entities, means either a Party to, or an entity that has been designated by a Party to sign, the Operating Agreement.
The term “Party”—
(A) in the case of INTELSAT, means a nation for which the INTELSAT agreement has entered into force; and
(B) in the case of Inmarsat, means a nation for which the Inmarsat convention has entered into force.
(7) Successor entity
The term “successor entity”—
(A) means any privatized entity created from the privatization of INTELSAT or Inmarsat or from the assets of INTELSAT or Inmarsat; but
(B) does not include any entity that is a separated entity.
(12) Additional services
The term “additional services” means—
(A) for Inmarsat, those non-maritime or non-aeronautical mobile services in the 1.5 and 1.6 Ghz band on planned satellites or the 2 Ghz band; and
(B) for INTELSAT, direct-to-home (DTH) or direct broadcast satellite (DBS) video services, or services in the Ka or V bands.
The term “Headquarters Agreement” means the International Telecommunication 1 Satellite Organization Headquarters Agreement (November 24, 1976) (TIAS 8542, 28 UST 2248).
(15) Operating Agreement
The term “Operating Agreement” means—
(A) in the case of INTELSAT, the agreement, including its annex but excluding all titles of articles, opened for signature at Washington on August 20, 1971, by Governments or telecommunications entities designated by Governments in accordance with the provisions of the Agreement; and
(B) in the case of Inmarsat, the Operating Agreement on the International Maritime Satellite Organization, including its annexes.
(Pub. L. 87–624, title VI, §681, as added Pub. L. 106–180, §3, Mar. 17, 2000, 114 Stat. 58.)
1 So in original. Probably should be “Telecommunications”.