[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H. Res. 572 Engrossed in House (EH)]


                 In the House of Representatives, U.S.,

                                                       October 5, 1998.
    Resolved, That, upon the adoption of this resolution, the House shall be 
considered to have taken from the Speaker's table the bill H.R. 1702 together 
with the Senate amendment thereto, and to have concurred in the Senate amendment 
with an amendment as follows: In lieu of the matter proposed to be inserted by 
the Senate amendment, insert the following:

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Commercial Space 
Act of 1998''.
    (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. Launch voucher demonstration program.
Sec. 104. Promotion of United States Global Positioning System 
                            standards.
Sec. 105. Acquisition of space science data.
Sec. 106. Administration of Commercial Space Centers.
Sec. 107. Sources of Earth science data.
     TITLE II--FEDERAL ACQUISITION OF SPACE TRANSPORTATION SERVICES

Sec. 201. Requirement to procure commercial space transportation 
                            services.
Sec. 202. Acquisition of commercial space transportation services.
Sec. 203. Launch Services Purchase Act of 1990 amendments.
Sec. 204. Shuttle privatization.
Sec. 205. Use of excess intercontinental ballistic missiles.
Sec. 206. National launch capability study.

SEC. 2. DEFINITIONS.

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

          TITLE I--PROMOTION OF COMMERCIAL SPACE OPPORTUNITIES

SEC. 101. COMMERCIALIZATION OF SPACE STATION.

    (a) Policy.--The Congress declares that a priority goal of 
constructing the International Space Station is the economic 
development of Earth orbital space. The Congress further declares that 
free and competitive markets create the most efficient conditions for 
promoting economic development, and should therefore govern the 
economic development of Earth orbital space. The Congress further 
declares that the use of free market principles in operating, 
servicing, allocating the use of, and adding capabilities to the Space 
Station, and the resulting fullest possible engagement of commercial 
providers and participation of commercial users, will reduce Space 
Station operational costs for all partners and the Federal Government's 
share of the United States burden to fund operations.
    (b) Reports.--(1) The Administrator shall deliver to the Committee 
on Science of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate, within 90 days 
after the date of the enactment of this Act, a study that identifies 
and examines--
            (A) the opportunities for commercial providers to play a 
        role in International Space Station activities, including 
        operation, use, servicing, and augmentation;
            (B) the potential cost savings to be derived from 
        commercial providers playing a role in each of these 
        activities;
            (C) which of the opportunities described in subparagraph 
        (A) the Administrator plans to make available to commercial 
        providers in fiscal years 1999 and 2000;
            (D) the specific policies and initiatives the Administrator 
        is advancing to encourage and facilitate these commercial 
        opportunities; and
            (E) the revenues and cost reimbursements to the Federal 
        Government from commercial users of the Space Station.
    (2) The Administrator shall deliver to the Committee on Science of 
the House of Representatives and the Committee on Commerce, Science, 
and Transportation of the Senate, within 180 days after the date of the 
enactment of this Act, an independently-conducted market study that 
examines and evaluates potential industry interest in providing 
commercial goods and services for the operation, servicing, and 
augmentation of the International Space Station, and in the commercial 
use of the International Space Station. This study shall also include 
updates to the cost savings and revenue estimates made in the study 
described in paragraph (1) based on the external market assessment.
    (3) The Administrator shall deliver to the Congress, no later than 
the submission of the President's annual budget request for fiscal year 
2000, a report detailing how many proposals (whether solicited or not) 
the National Aeronautics and Space Administration received during 
calendar years 1997 and 1998 regarding commercial operation, servicing, 
utilization, or augmentation of the International Space Station, broken 
down by each of these four categories, and specifying how many 
agreements the National Aeronautics and Space Administration has 
entered into in response to these proposals, also broken down by these 
four categories.
    (4) Each of the studies and reports required by paragraphs (1), 
(2), and (3) shall include consideration of the potential role of State 
governments as brokers in promoting commercial participation in the 
International Space Station program.

SEC. 102. COMMERCIAL SPACE LAUNCH AMENDMENTS.

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

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

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

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

``70120. Regulations.
``70121. Report to Congress.''.
            (2) in section 70101--
                    (A) by inserting ``microgravity research,'' after 
                ``information services,'' in subsection (a)(3);
                    (B) by inserting ``, reentry,'' after ``launching'' 
                both places it appears in subsection (a)(4);
                    (C) by inserting ``, reentry vehicles,'' after 
                ``launch vehicles'' in subsection (a)(5);
                    (D) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(6);
                    (E) by inserting ``, reentries,'' after 
                ``launches'' both places it appears in subsection 
                (a)(7);
                    (F) by inserting ``, reentry sites,'' after 
                ``launch sites'' in subsection (a)(8);
                    (G) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(8);
                    (H) by inserting ``reentry sites,'' after ``launch 
                sites,'' in subsection (a)(9);
                    (I) by inserting ``and reentry site'' after 
                ``launch site'' in subsection (a)(9);
                    (J) by inserting ``, reentry vehicles,'' after 
                ``launch vehicles'' in subsection (b)(2);
                    (K) by striking ``launch'' in subsection (b)(2)(A);
                    (L) by inserting ``and reentry'' after ``conduct of 
                commercial launch'' in subsection (b)(3);
                    (M) by striking ``launch'' after ``and transfer 
                commercial'' in subsection (b)(3); and
                    (N) by inserting ``and development of reentry 
                sites,'' after ``launch-site support facilities,'' in 
                subsection (b)(4);
            (3) in section 70102--
                    (A) in paragraph (3)--
                            (i) by striking ``and any payload'' and 
                        inserting in lieu thereof ``or reentry vehicle 
                        and any payload from Earth'';
                            (ii) by striking the period at the end of 
                        subparagraph (C) and inserting in lieu thereof 
                        a comma; and
                            (iii) by adding after subparagraph (C) the 
                        following:
        ``including activities involved in the preparation of a launch 
        vehicle or payload for launch, when those activities take place 
        at a launch site in the United States.'';
                    (B) by inserting ``or reentry vehicle'' after 
                ``means of a launch vehicle'' in paragraph (8);
                    (C) by redesignating paragraphs (10), (11), and 
                (12) as paragraphs (14), (15), and (16), respectively;
                    (D) by inserting after paragraph (9) the following 
                new paragraphs:
            ``(10) `reenter' and `reentry' mean to return or attempt to 
        return, purposefully, a reentry vehicle and its payload, if 
        any, from Earth orbit or from outer space to Earth.
            ``(11) `reentry services' means--
                    ``(A) activities involved in the preparation of a 
                reentry vehicle and its payload, if any, for reentry; 
                and
                    ``(B) the conduct of a reentry.
            ``(12) `reentry site' means the location on Earth to which 
        a reentry vehicle is intended to return (as defined in a 
        license the Secretary issues or transfers under this chapter).
            ``(13) `reentry vehicle' means a vehicle designed to return 
        from Earth orbit or outer space to Earth, or a reusable launch 
        vehicle designed to return from Earth orbit or outer space to 
        Earth, substantially intact.''; and
                    (E) by inserting ``or reentry services'' after 
                ``launch services'' each place it appears in paragraph 
                (15), as so redesignated by subparagraph (C) of this 
                paragraph;
            (4) in section 70103(b)--
                    (A) by inserting ``and Reentries'' after 
                ``Launches'' in the subsection heading;
                    (B) by inserting ``and reentries'' after 
                ``commercial space launches'' in paragraph (1); and
                    (C) by inserting ``and reentry'' after ``space 
                launch'' in paragraph (2);
            (5) in section 70104--
                    (A) by amending the section designation and heading 
                to read as follows:
``Sec. 70104. Restrictions on launches, operations, and reentries'';
                    (B) by inserting ``or reentry site, or to reenter a 
                reentry vehicle,'' after ``operate a launch site'' each 
                place it appears in subsection (a);
                    (C) by inserting ``or reentry'' after ``launch or 
                operation'' in subsection (a)(3) and (4);
                    (D) in subsection (b)--
                            (i) by striking ``launch license'' and 
                        inserting in lieu thereof ``license'';
                            (ii) by inserting ``or reenter'' after 
                        ``may launch''; and
                            (iii) by inserting ``or reentering'' after 
                        ``related to launching''; and
                    (E) in subsection (c)--
                            (i) by amending the subsection heading to 
                        read as follows: ``Preventing Launches and 
                        Reentries.--'';
                            (ii) by inserting ``or reentry'' after 
                        ``prevent the launch''; and
                            (iii) by inserting ``or reentry'' after 
                        ``decides the launch'';
            (6) in section 70105--
                    (A) by inserting ``(1)'' before ``A person may 
                apply'' in subsection (a);
                    (B) by striking ``receiving an application'' both 
                places it appears in subsection (a) and inserting in 
                lieu thereof ``accepting an application in accordance 
                with criteria established pursuant to subsection 
                (b)(2)(D)'';
                    (C) by adding at the end of subsection (a) the 
                following: ``The Secretary shall transmit to the 
                Committee on Science of the House of Representatives 
                and the Committee on Commerce, Science, and 
                Transportation of the Senate a written notice not later 
                than 30 days after any occurrence when a license is not 
                issued within the deadline established by this 
                subsection.
    ``(2) In carrying out paragraph (1), the Secretary may establish 
procedures for safety approvals of launch vehicles, reentry vehicles, 
safety systems, processes, services, or personnel that may be used in 
conducting licensed commercial space launch or reentry activities.'';
                    (D) by inserting ``or a reentry site, or the 
                reentry of a reentry vehicle,'' after ``operation of a 
                launch site'' in subsection (b)(1);
                    (E) by striking ``or operation'' and inserting in 
                lieu thereof ``, operation, or reentry'' in subsection 
                (b)(2)(A);
                    (F) by striking ``and'' at the end of subsection 
                (b)(2)(B);
                    (G) by striking the period at the end of subsection 
                (b)(2)(C) and inserting in lieu thereof ``; and'';
                    (H) by adding at the end of subsection (b)(2) the 
                following new subparagraph:
            ``(D) regulations establishing criteria for accepting or 
        rejecting an application for a license under this chapter 
        within 60 days after receipt of such application.''; and
                    (I) by inserting ``, including the requirement to 
                obtain a license,'' after ``waive a requirement'' in 
                subsection (b)(3);
            (7) in section 70106(a)--
                    (A) by inserting ``or reentry site'' after 
                ``observer at a launch site'';
                    (B) by inserting ``or reentry vehicle'' after 
                ``assemble a launch vehicle''; and
                    (C) by inserting ``or reentry vehicle'' after 
                ``with a launch vehicle'';
            (8) in section 70108--
                    (A) by amending the section designation and heading 
                to read as follows:
``Sec. 70108. Prohibition, suspension, and end of launches, operation 
              of launch sites and reentry sites, and reentries'';
                and
                    (B) in subsection (a)--
                            (i) by inserting ``or reentry site, or 
                        reentry of a reentry vehicle,'' after 
                        ``operation of a launch site''; and
                            (ii) by inserting ``or reentry'' after 
                        ``launch or operation'';
            (9) in section 70109--
                    (A) by amending the section designation and heading 
                to read as follows:
``Sec. 70109. Preemption of scheduled launches or reentries'';
                    (B) in subsection (a)--
                            (i) by inserting ``or reentry'' after 
                        ``ensure that a launch'';
                            (ii) by inserting ``, reentry site,'' after 
                        ``United States Government launch site'';
                            (iii) by inserting ``or reentry date 
                        commitment'' after ``launch date commitment'';
                            (iv) by inserting ``or reentry'' after 
                        ``obtained for a launch'';
                            (v) by inserting ``, reentry site,'' after 
                        ``access to a launch site'';
                            (vi) by inserting ``, or services related 
                        to a reentry,'' after ``amount for launch 
                        services''; and
                            (vii) by inserting ``or reentry'' after 
                        ``the scheduled launch''; and
                    (C) in subsection (c), by inserting ``or reentry'' 
                after ``prompt launching'';
            (10) in section 70110--
                    (A) by inserting ``or reentry'' after ``prevent the 
                launch'' in subsection (a)(2); and
                    (B) by inserting ``or reentry site, or reentry of a 
                reentry vehicle,'' after ``operation of a launch site'' 
                in subsection (a)(3)(B);
            (11) in section 70111--
                    (A) by inserting ``or reentry'' after ``launch'' in 
                subsection (a)(1)(A);
                    (B) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(1)(B);
                    (C) by inserting ``or reentry services'' after ``or 
                launch services'' in subsection (a)(2);
                    (D) by striking ``source.'' in subsection (a)(2) 
                and inserting ``source, whether such source is located 
                on or off a Federal range.'';
                    (E) by inserting ``or reentry'' after ``commercial 
                launch'' both places it appears in subsection (b)(1);
                    (F) by inserting ``or reentry services'' after 
                ``launch services'' in subsection (b)(2)(C);
                    (G) 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.'';
                    (H) 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
                    (I) by inserting ``, reentry vehicle,'' after 
                ``manufacturer of the launch vehicle'' in subsection 
                (d);
            (12) in section 70112--
                    (A) in subsection (a)(1), by inserting ``launch or 
                reentry'' 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 or 
                reentry'' after ``(1) A'';
                    (E) by inserting ``or reentry services'' after 
                ``launch services'' each place it appears in subsection 
                (b);
                    (F) by inserting ``applicable'' after ``carried out 
                under the'' in paragraphs (1) and (2) of subsection 
                (b);
                    (G) by inserting ``or Reentries'' after 
                ``Launches'' in the heading for subsection (e);
                    (H) by inserting ``or reentry site or a reentry'' 
                after ``launch site'' in subsection (e); and
                    (I) in subsection (f), by inserting ``launch or 
                reentry'' after ``carried out under a'';
            (13) in section 70113(a)(1) and (d)(1) and (2), by 
        inserting ``or reentry'' after ``one launch'' each place it 
        appears;
            (14) in section 70115(b)(1)(D)(i)--
                    (A) by inserting ``reentry site,'' after ``launch 
                site,''; and
                    (B) by inserting ``or reentry vehicle'' after 
                ``launch vehicle'' both places it appears;
            (15) in section 70117--
                    (A) by inserting ``or reentry site, or to reenter a 
                reentry vehicle'' after ``operate a launch site'' in 
                subsection (a);
                    (B) by inserting ``or reentry'' after ``approval of 
                a space launch'' in subsection (d);
                    (C) by amending subsection (f) to read as follows:
    ``(f) Launch Not an Export; Reentry Not an Import.--A launch 
vehicle, reentry vehicle, or payload that is launched or reentered is 
not, because of the launch or reentry, an export or import, 
respectively, for purposes of a law controlling exports or imports, 
except that payloads launched pursuant to foreign trade zone procedures 
as provided for under the Foreign Trade Zones Act (19 U.S.C. 81a-81u) 
shall be considered exports with regard to customs entry.''; and
                    (D) in subsection (g)--
                            (i) by striking ``operation of a launch 
                        vehicle or launch site,'' in paragraph (1) and 
                        inserting in lieu thereof ``reentry, operation 
                        of a launch vehicle or reentry vehicle, 
                        operation of a launch site or reentry site,''; 
                        and
                            (ii) by inserting ``reentry,'' after 
                        ``launch,'' in paragraph (2); and
            (16) by adding at the end the following new sections:
``Sec. 70120. Regulations
    ``(a) In General.--The Secretary of Transportation, within 9 months 
after the date of the enactment of this section, shall issue 
regulations to carry out this chapter that include--
            ``(1) guidelines for industry and State governments to 
        obtain sufficient insurance coverage for potential damages to 
        third parties;
            ``(2) procedures for requesting and obtaining licenses to 
        launch a commercial launch vehicle;
            ``(3) procedures for requesting and obtaining operator 
        licenses for launch;
            ``(4) procedures for requesting and obtaining launch site 
        operator licenses; and
            ``(5) procedures for the application of government 
        indemnification.
    ``(b) Reentry.--The Secretary of Transportation, within 6 months 
after the date of the enactment of this section, shall issue a notice 
of proposed rulemaking to carry out this chapter that includes--
            ``(1) procedures for requesting and obtaining licenses to 
        reenter a reentry vehicle;
            ``(2) procedures for requesting and obtaining operator 
        licenses for reentry; and
            ``(3) procedures for requesting and obtaining reentry site 
        operator licenses.
``Sec. 70121. Report to Congress
    ``The Secretary of Transportation shall submit to Congress an 
annual report to accompany the President's budget request that--
            ``(1) describes all activities undertaken under this 
        chapter, including a description of the process for the 
        application for and approval of licenses under this chapter and 
        recommendations for legislation that may further commercial 
        launches and reentries; and
            ``(2) reviews the performance of the regulatory activities 
        and the effectiveness of the Office of Commercial Space 
        Transportation.''.
    (b) Authorization of Appropriations.--Section 70119 of title 49, 
United States Code, is amended to read as follows:
``Sec. 70119. Authorization of appropriations
    ``There are authorized to be appropriated to the Secretary of 
Transportation for the activities of the Office of the Associate 
Administrator for Commercial Space Transportation--
            ``(1) $6,275,000 for the fiscal year ending September 30, 
        1999; and
            ``(2) $6,600,000 for the fiscal year ending September 30, 
        2000.''.
    (c) Effective Date.--The amendments made by subsection (a)(6)(B) 
shall take effect upon the effective date of final regulations issued 
pursuant to section 70105(b)(2)(D) of title 49, United States Code, as 
added by subsection (a)(6)(H).

SEC. 103. 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. 104. PROMOTION OF UNITED STATES GLOBAL POSITIONING SYSTEM 
              STANDARDS.

    (a) Finding.--The Congress finds that the Global Positioning 
System, including satellites, signal equipment, ground stations, data 
links, and associated command and control facilities, has become an 
essential element in civil, scientific, and military space development 
because of the emergence of a United States commercial industry which 
provides Global Positioning System equipment and related services.
    (b) International Cooperation.--In order to support and sustain the 
Global Positioning System in a manner that will most effectively 
contribute to the national security, public safety, scientific, and 
economic interests of the United States, the Congress encourages the 
President to--
            (1) ensure the operation of the Global Positioning System 
        on a continuous worldwide basis free of direct user fees;
            (2) enter into international agreements that promote 
        cooperation with foreign governments and international 
        organizations to--
                    (A) establish the Global Positioning System and its 
                augmentations as an acceptable international standard; 
                and
                    (B) eliminate any foreign barriers to applications 
                of the Global Positioning System worldwide; and
            (3) provide clear direction and adequate resources to the 
        Assistant Secretary of Commerce for Communications and 
        Information so that on an international basis the Assistant 
        Secretary can--
                    (A) achieve and sustain efficient management of the 
                electromagnetic spectrum used by the Global Positioning 
                System; and
                    (B) protect that spectrum from disruption and 
                interference.

SEC. 105. ACQUISITION OF SPACE SCIENCE DATA.

    (a) Acquisition From Commercial Providers.--The Administrator 
shall, to the extent possible and while satisfying the scientific or 
educational requirements of the National Aeronautics and Space 
Administration, and where appropriate, of other Federal agencies and 
scientific researchers, acquire, where cost effective, space science 
data from a commercial provider.
    (b) Treatment of Space Science Data as Commercial Item Under 
Acquisition Laws.--Acquisitions of space science data by the 
Administrator shall be carried out in accordance with applicable 
acquisition laws and regulations (including chapters 137 and 140 of 
title 10, United States Code). For purposes of such law and 
regulations, space science data shall be considered to be a commercial 
item. Nothing in this subsection shall be construed to preclude the 
United States from acquiring, through contracts with commercial 
providers, sufficient rights in data to meet the needs of the 
scientific and educational community or the needs of other government 
activities.
    (c) Definition.--For purposes of this section, the term ``space 
science data'' includes scientific data concerning--
            (1) the elemental and mineralogical resources of the moon, 
        asteroids, planets and their moons, and comets;
            (2) microgravity acceleration; and
            (3) solar storm monitoring.
    (d) Safety Standards.--Nothing in this section shall be construed 
to prohibit the Federal Government from requiring compliance with 
applicable safety standards.
    (e) Limitation.--This section does not authorize the National 
Aeronautics and Space Administration to provide financial assistance 
for the development of commercial systems for the collection of space 
science data.

SEC. 106. ADMINISTRATION OF COMMERCIAL SPACE CENTERS.

    The Administrator shall administer the Commercial Space Center 
program in a coordinated manner from National Aeronautics and Space 
Administration headquarters in Washington, D.C.

SEC. 107. SOURCES OF EARTH SCIENCE DATA.

    (a) Acquisition.--The Administrator shall, to the extent possible 
and while satisfying the scientific or educational requirements of the 
National Aeronautics and Space Administration, and where appropriate, 
of other Federal agencies and scientific researchers, acquire, where 
cost-effective, space-based and airborne Earth remote sensing data, 
services, distribution, and applications from a commercial provider.
    (b) Treatment as Commercial Item Under Acquisition Laws.--
Acquisitions by the Administrator of the data, services, distribution, 
and applications referred to in subsection (a) shall be carried out in 
accordance with applicable acquisition laws and regulations (including 
chapters 137 and 140 of title 10, United States Code). For purposes of 
such law and regulations, such data, services, distribution, and 
applications shall be considered to be a commercial item. Nothing in 
this subsection shall be construed to preclude the United States from 
acquiring, through contracts with commercial providers, sufficient 
rights in data to meet the needs of the scientific and educational 
community or the needs of other government activities.
    (c) Study.--(1) The Administrator shall conduct a study to 
determine the extent to which the baseline scientific requirements of 
Earth Science can be met by commercial providers, and how the National 
Aeronautics and Space Administration will meet such requirements which 
cannot be met by commercial providers.
    (2) The study conducted under this subsection shall--
            (A) make recommendations to promote the availability of 
        information from the National Aeronautics and Space 
        Administration to commercial providers to enable commercial 
        providers to better meet the baseline scientific requirements 
        of Earth Science;
            (B) make recommendations to promote the dissemination to 
        commercial providers of information on advanced technology 
        research and development performed by or for the National 
        Aeronautics and Space Administration; and
            (C) identify policy, regulatory, and legislative barriers 
        to the implementation of the recommendations made under this 
        subsection.
    (3) The results of the study conducted under this subsection shall 
be transmitted to the Congress within 6 months after the date of the 
enactment of this Act.
    (d) Safety Standards.--Nothing in this section shall be construed 
to prohibit the Federal Government from requiring compliance with 
applicable safety standards.
    (e) Administration and Execution.--This section shall be carried 
out as part of the Commercial Remote Sensing Program at the Stennis 
Space Center.
    (f) Remote Sensing.--
            (1) Application contents.--Section 201(b) of the Land 
        Remote Sensing Policy Act of 1992 (15 U.S.C. 5621(b)) is 
        amended--
                    (A) by inserting ``(1)'' after ``National 
                Security.--''; and
                    (B) by adding at the end the following new 
                paragraph:
    ``(2) The Secretary, within 6 months after the date of the 
enactment of the Commercial Space Act of 1998, shall publish in the 
Federal Register a complete and specific list of all information 
required to comprise a complete application for a license under this 
title. An application shall be considered complete when the applicant 
has provided all information required by the list most recently 
published in the Federal Register before the date the application was 
first submitted. Unless the Secretary has, within 30 days after receipt 
of an application, notified the applicant of information necessary to 
complete an application, the Secretary may not deny the application on 
the basis of the absence of any such information.''.
            (2) Notification of agreements.--Section 202(b)(6) of the 
        Land Remote Sensing Policy Act of 1992 (15 U.S.C. 5622(b)(6)) 
        is amended by inserting ``significant or substantial'' after 
        ``Secretary of any''.

     TITLE II--FEDERAL ACQUISITION OF SPACE TRANSPORTATION SERVICES

SEC. 201. REQUIREMENT TO PROCURE COMMERCIAL SPACE TRANSPORTATION 
              SERVICES.

    (a) In General.--Except as otherwise provided in this section, the 
Federal Government shall acquire space transportation services from 
United States commercial providers whenever such services are required 
in the course of its activities. To the maximum extent practicable, the 
Federal Government shall plan missions to accommodate the space 
transportation services capabilities of United States commercial 
providers.
    (b) Exceptions.--The Federal Government shall not be required to 
acquire space transportation services under subsection (a) if, on a 
case-by-case basis, the Administrator or, in the case of a national 
security issue, the Secretary of the Air Force, determines that--
            (1) a payload requires the unique capabilities of the Space 
        Shuttle;
            (2) cost effective space transportation services that meet 
        specific mission requirements would not be reasonably available 
        from United States commercial providers when required;
            (3) the use of space transportation services from United 
        States commercial providers poses an unacceptable risk of loss 
        of a unique scientific opportunity;
            (4) the use of space transportation services from United 
        States commercial providers is inconsistent with national 
        security objectives;
            (5) the use of space transportation services from United 
        States commercial providers is inconsistent with international 
        agreements for international collaborative efforts relating to 
        science and technology;
            (6) it is more cost effective to transport a payload in 
        conjunction with a test or demonstration of a space 
        transportation vehicle owned by the Federal Government; or
            (7) a payload can make use of the available cargo space on 
        a Space Shuttle mission as a secondary payload, and such 
        payload is consistent with the requirements of research, 
        development, demonstration, scientific, commercial, and 
        educational programs authorized by the Administrator.
Nothing in this section shall prevent the Administrator from planning 
or negotiating agreements with foreign entities for the launch of 
Federal Government payloads for international collaborative efforts 
relating to science and technology.
    (c) Delayed Effect.--Subsection (a) shall not apply to space 
transportation services and space transportation vehicles acquired or 
owned by the Federal Government before the date of the enactment of 
this Act, or with respect to which a contract for such acquisition or 
ownership has been entered into before such date.
    (d) Historical Purposes.--This section shall not be construed to 
prohibit the Federal Government from acquiring, owning, or maintaining 
space transportation vehicles solely for historical display purposes.

SEC. 202. ACQUISITION OF COMMERCIAL SPACE TRANSPORTATION SERVICES.

    (a) Treatment of Commercial Space Transportation Services as 
Commercial Item Under Acquisition Laws.--Acquisitions of space 
transportation services by the Federal Government shall be carried out 
in accordance with applicable acquisition laws and regulations 
(including chapters 137 and 140 of title 10, United States Code). For 
purposes of such law and regulations, space transportation services 
shall be considered to be a commercial item.
    (b) Safety Standards.--Nothing in this section shall be construed 
to prohibit the Federal Government from requiring compliance with 
applicable safety standards.

SEC. 203. LAUNCH SERVICES PURCHASE ACT OF 1990 AMENDMENTS.

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

SEC. 204. SHUTTLE PRIVATIZATION.

    (a) Policy and Preparation.--The Administrator shall prepare for an 
orderly transition from the Federal operation, or Federal management of 
contracted operation, of space transportation systems to the Federal 
purchase of commercial space transportation services for all 
nonemergency space transportation requirements for transportation to 
and from Earth orbit, including human, cargo, and mixed payloads. In 
those preparations, the Administrator shall take into account the need 
for short-term economies, as well as the goal of restoring the National 
Aeronautics and Space Administration's research focus and its mandate 
to promote the fullest possible commercial use of space. As part of 
those preparations, the Administrator shall plan for the potential 
privatization of the Space Shuttle program. Such plan shall keep safety 
and cost effectiveness as high priorities. Nothing in this section 
shall prohibit the National Aeronautics and Space Administration from 
studying, designing, developing, or funding upgrades or modifications 
essential to the safe and economical operation of the Space Shuttle 
fleet.
    (b) Feasibility Study.--The Administrator shall conduct a study of 
the feasibility of implementing the recommendation of the Independent 
Shuttle Management Review Team that the National Aeronautics and Space 
Administration transition toward the privatization of the Space 
Shuttle. The study shall identify, discuss, and, where possible, 
present options for resolving, the major policy and legal issues that 
must be addressed before the Space Shuttle is privatized, including--
            (1) whether the Federal Government or the Space Shuttle 
        contractor should own the Space Shuttle orbiters and ground 
        facilities;
            (2) whether the Federal Government should indemnify the 
        contractor for any third party liability arising from Space 
        Shuttle operations, and, if so, under what terms and 
        conditions;
            (3) whether payloads other than National Aeronautics and 
        Space Administration payloads should be allowed to be launched 
        on the Space Shuttle, how missions will be prioritized, and who 
        will decide which mission flies and when;
            (4) whether commercial payloads should be allowed to be 
        launched on the Space Shuttle and whether any classes of 
        payloads should be made ineligible for launch consideration;
            (5) whether National Aeronautics and Space Administration 
        and other Federal Government payloads should have priority over 
        non-Federal payloads in the Space Shuttle launch assignments, 
        and what policies should be developed to prioritize among 
        payloads generally;
            (6) whether the public interest requires that certain Space 
        Shuttle functions continue to be performed by the Federal 
        Government; and
            (7) how much cost savings, if any, will be generated by 
        privatization of the Space Shuttle.
    (c) Report to Congress.--Within 60 days after the date of the 
enactment of this Act, the National Aeronautics and Space 
Administration shall complete the study required under subsection (b) 
and shall submit a report on the study to the Committee on Commerce, 
Science, and Transportation of the Senate and the Committee on Science 
of the House of Representatives.

SEC. 205. 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
            (2) transfer ownership of any such missile to another 
        person, except as provided in subsection (b).
    (b) Authorized Federal Uses.--(1) A missile described in subsection 
(c) may be converted for use as a space transportation vehicle by the 
Federal Government if, except as provided in paragraph (2) and at least 
30 days before such conversion, the agency seeking to use the missile 
as a space transportation vehicle transmits to the Committee on 
National Security and the Committee on Science of the House of 
Representatives, and to the Committee on Armed Services and the 
Committee on Commerce, Science, and Transportation of the Senate, a 
certification that the use of such missile--
            (A) would result in cost savings to the Federal Government 
        when compared to the cost of acquiring space transportation 
        services from United States commercial providers;
            (B) meets all mission requirements of the agency, including 
        performance, schedule, and risk requirements;
            (C) is consistent with international obligations of the 
        United States; and
            (D) is approved by the Secretary of Defense or his 
        designee.
    (2) The requirement under paragraph (1) that the certification 
described in that paragraph must be transmitted at least 30 days before 
conversion of the missile shall not apply if the Secretary of Defense 
determines that compliance with that requirement would be inconsistent 
with meeting immediate national security requirements.
    (c) Missiles Referred to.-- The missiles referred to in this 
section are missiles owned by the United States that--
            (1) were formerly used by the Department of Defense for 
        national defense purposes as intercontinental ballistic 
        missiles; and
            (2) have been declared excess to United States national 
        defense needs and are in compliance with international 
        obligations of the United States.

SEC. 206. NATIONAL LAUNCH CAPABILITY STUDY.

    (a) Findings.--Congress finds that a robust satellite and launch 
industry in the United States serves the interest of the United States 
by--
            (1) contributing to the economy of the United States;
            (2) strengthening employment, technological, and scientific 
        interests of the United States; and
            (3) serving the foreign policy and national security 
        interests of the United States.
    (b) Definitions.--In this section:
            (1) Secretary.--The term ``Secretary'' means the Secretary 
        of Defense.
            (2) Total potential national mission model.--The term 
        ``total potential national mission model'' means a model that--
                    (A) is determined by the Secretary, in consultation 
                with the Administrator, to assess the total potential 
                space missions to be conducted in the United States 
                during a specified period of time; and
                    (B) includes all launches in the United States 
                (including launches conducted on or off a Federal 
                range).
    (c) Report.--
            (1) In general.--Not later than 180 days after the date of 
        enactment of this Act, the Secretary shall, in consultation 
        with the Administrator and appropriate representatives of the 
        satellite and launch industry and the governments of States and 
        political subdivisions thereof--
                    (A) prepare a report that meets the requirements of 
                this subsection; and
                    (B) submit that report to the Committee on 
                Commerce, Science, and Transportation of the Senate and 
                the Committee on Science of the House of 
                Representatives.
            (2) Requirements for report.--The report prepared under 
        this subsection shall--
                    (A) identify the total potential national mission 
                model for the period beginning on the date of the 
                report and ending on December 31, 2007;
                    (B) identify the resources that are necessary or 
                available to carry out the total potential national 
                mission model described in subparagraph (A), 
                including--
                            (i) launch property and services of the 
                        Department of Defense, the National Aeronautics 
                        and Space Administration, and non-Federal 
                        facilities; and
                            (ii) the ability to support commercial 
                        launch-on-demand on short notification, taking 
                        into account Federal requirements, at launch 
                        sites or test ranges in the United States;
                    (C) identify each deficiency in the resources 
                referred to in subparagraph (B); and
                    (D) with respect to the deficiencies identified 
                under subparagraph (C), include estimates of the level 
                of funding necessary to address those deficiencies for 
                the period described in subparagraph (A).
    (d) Recommendations.--Based on the reports under subsection (c), 
the Secretary, after consultation with the Secretary of Transportation, 
the Secretary of Commerce, and representatives from interested private 
sector entities, States, and local governments, shall--
            (1) identify opportunities for investment by non-Federal 
        entities (including States and political subdivisions thereof 
        and private sector entities) to assist the Federal Government 
        in providing launch capabilities for the commercial space 
        industry in the United States;
            (2) identify one or more methods by which, if sufficient 
        resources referred to in subsection (c)(2)(D) are not available 
        to the Department of Defense and the National Aeronautics and 
        Space Administration, the control of the launch property and 
        launch services of the Department of Defense and the National 
        Aeronautics and Space Administration may be transferred from 
        the Department of Defense and the National Aeronautics and 
        Space Administration to--
                    (A) one or more other Federal agencies;
                    (B) one or more States (or subdivisions thereof);
                    (C) one or more private sector entities; or
                    (D) any combination of the entities described in 
                subparagraphs (A) through (C); and
            (3) identify the technical, structural, and legal 
        impediments associated with making launch sites or test ranges 
        in the United States viable and competitive.

            Attest:

                                                                 Clerk.