[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1707 Introduced in House (IH)]
107th CONGRESS
1st Session
H. R. 1707
To provide that the Secretary of Commerce has jurisdiction over exports
of commercial satellites and related items, to provide certain
procedures for exports of commercial satellites and related items, and
for other purpose.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 3, 2001
Mr. Berman (for himself and Mr. Rohrabacher) introduced the following
bill; which was referred to the Committee on International Relations,
and in addition to the Committee on Armed Services, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the Committee
concerned
_______________________________________________________________________
A BILL
To provide that the Secretary of Commerce has jurisdiction over exports
of commercial satellites and related items, to provide certain
procedures for exports of commercial satellites and related items, and
for other purpose.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Satellite Trade and Security Act of
2001''.
SEC. 2. EXPORT CONTROLS ON SATELLITES AND RELATED ITEMS.
Notwithstanding any other provision of law, all satellites and
related items that were on the Commerce Control List of dual-use items
in the Export Administration Regulations (15 C.F.R. part 730 et seq.)
on October 16, 1998, and any other dual-use communications satellites
and related items shall, subject to sections 3, 4, and 5, be controlled
under the Export Administration Act of 1979 (in effect or as continued
in effect under the International Emergency Economic Powers Act) or by
the Secretary of Commerce under any successor Act to the Export
Administration Act of 1979.
SEC. 3. EXPORT LICENSE PROCEDURES.
(a) Referral to Other Departments and Agencies.--The Secretary of
Commerce (in this Act referred to as the ``Secretary'') shall refer to
the Secretary of Defense, the Secretary of State, and the heads of
other departments and agencies that the Secretary considers
appropriate, all applications for licenses to export satellites and
related items.
(b) Required Consultations With Intelligence Community.--The
Secretary, the Secretary of Defense and the Secretary of State, as
appropriate, shall consult with the Director of Central Intelligence
during the review of any application for a license involving the
overseas launch of a commercial satellite of United States origin.
(c) Time Period for Referrals.--Within 30 days after the Secretary
refers an export license application under this section, each
department or agency to which an export license application has been
referred shall provide the Secretary with a recommendation to either
approve or deny the license application. A department or agency that
fails to provide a recommendation within that 30-day period shall be
deemed to have no objection to the decision of the Secretary on the
license application.
(d) Interagency Dispute Resolution Process.--If there is no
agreement among the Secretary, the Secretary of Defense, and the
Secretary of State to issue or deny a license to which this section
applies, then the Secretary shall refer the license application to an
interagency dispute resolution process established by the President.
The dispute resolution process shall be completed within a period of 60
days. A license pursuant to the application shall not be issued or
denied until the Secretary, the Secretary of Defense, and the Secretary
of State agree to issue or deny the license, or until the President
makes a determination to issue or deny the license.
SEC. 4. NATIONAL SECURITY CONTROLS ON SATELLITE EXPORTS TO CERTAIN
DESTINATIONS.
Notwithstanding any other provision of law, the following shall
apply to all licenses to export satellites or related items for launch
in, or by nationals of, any country that is not a member of the North
Atlantic Treaty Organization or a major non-NATO ally of the United
States:
(1) Mandatory technology control plans.--All export
licenses shall require a technology transfer control plan
approved by the Secretary of Defense and an encryption
technology transfer control plan approved by the Director of
the National Security Agency. The technology transfer control
plan shall be prepared by the Department of Defense and the
licensee, and shall set forth security arrangements for the
launch of the satellite, both before and during launch
operations.
(2) Mandatory monitoring and reimbursement.--
(A) Monitoring of proposed foreign launch of
satellites.--In any case in which a license is approved
for the export of a satellite or related items for
launch in a foreign country, the Secretary of Defense
shall monitor all aspects of the launch in order to
ensure that no unauthorized transfer of technology
occurs, including technical assistance and technical
data. The number of persons providing security for the
launch of the satellite shall be sufficient to maintain
24-hour, 7-day per week security of the satellite or
related items and related launch vehicle and other
sensitive technology.
(B) Contents of monitoring.--The monitoring under
subparagraph (A) shall cover, but not be limited to--
(i) technical discussions and activities,
including the design, development, operation,
maintenance, modification, and repair of
satellites, satellite components, missiles,
launch facilities, launch vehicles and other
related equipment;
(ii) satellite processing and launch
activities, including launch preparation,
satellite transportation, integration of the
satellite with the launch vehicle, testing and
checkout prior to launch, satellite launch, and
return of equipment to the United States;
(iii) activities related to launch failure,
delay, or cancellation, including post-launch
failure investigations; and
(iv) all other aspects of the launch.
(C) Reimbursement.--The Secretary of Defense shall
require the licensee to agree to reimburse the
Department of Defense for all costs associated with the
provision of security for the launch vehicle or related
items. All reimbursements received under this paragraph
shall be credited to current appropriations available
for the payment of the costs incurred in providing such
services.
(3) Mandatory state department export licenses for post-
crash investigations.--In the event of the failure of a launch
from a foreign country of a satellite of United States origin--
(A) the activities of United States persons or
entities in connection with any subsequent
investigation of the failure are subject to the
controls established under section 38 of the Arms
Export Control Act, including requirements for licenses
issued by the Secretary of State for participation in
that investigation;
(B) officials of the Department of Defense shall
monitor all activities associated with the
investigation to insure against unauthorized transfer
of technical data or services; and
(C) the Secretary of Defense shall establish and
implement a technology transfer control plan for the
conduct of the investigation to prevent the transfer of
information that could be used by the foreign country
to improve its missile or space launch capabilities.
(4) Mandatory notification and certification.--All
technology transfer control plans for satellites or related
items shall require any United States person involved in the
export of a satellite of United States origin or related items
to notify the Department of Defense in advance of all meetings
and interactions with any foreign person or entity providing
launch services and require the United States person to certify
after the launch that it has complied with this notification
requirement.
(5) Mandatory intelligence community review.--The Secretary
of Commerce shall provide to the Director of Central
Intelligence copies of all export license applications and
technical assistance agreements submitted for approval in
connection with launches of satellites in foreign countries to
verify the legitimacy of the stated end-user or end-users.
(6) Mandatory sharing of approved licenses and
agreements.--The Secretary of Commerce shall provide copies of
all approved export licenses and technical assistance
agreements associated with launches of satellites in foreign
countries to the Secretary of State, the Secretary of Defense,
the Secretary of Energy, and the Director of Central
Intelligence.
(7) Mandatory notification to congress on licenses.--Upon
issuing a license for the export of a satellite or related
items for launch in a foreign country, the Secretary of
Commerce shall so notify Congress.
(8) Mandatory reporting on monitoring activities.--The
Secretary of Defense shall provide to Congress an annual report
on the monitoring of all launches in foreign countries of
satellites of United States origin.
(9) Safeguards program.--The Secretary of Defense shall
continue its program to recruit, train and maintain a staff
dedicated to monitoring launches in foreign countries of
satellites and related items of United States origin.
SEC. 5. DEFINITIONS.
In this Act:
(1) Major non-nato ally of the united states.--The term
``major non-NATO ally of the United States'' means a country
designated as a major non-NATO ally for purposes of the Foreign
Assistance Act of 1961.
(2) Related items.--The term ``related items'' means the
satellite fuel, ground support equipment, test equipment,
payload adapter or interface hardware, replacement parts, and
nonembedded solid propellant orbit transfer engines described
in the report submitted to Congress by the Department of State
on February 6, 1998, pursuant to section 38(f) of the Arms
Export Control Act (22 U.S.C. 2778(f)).
(3) United states person.--The term ``United States
person'' means any United States resident or national (other
than an individual resident outside the United States and
employed by other than a United States person), any domestic
concern (including any permanent domestic establishment of any
foreign concern), and any foreign subsidiary or affiliate
(including any permanent foreign establishment) of any domestic
concern which is controlled in fact by such domestic concern,
as determined under regulations of the President.
SEC. 6. CONFORMING AMENDMENTS.
(a) 1999 NDAA.--(1) Section 1513(a) of the Strom Thurmond National
Defense Authorization Act for Fiscal Year 1999 (22 U.S.C. 2778 note) is
repealed.
(2) Section 1513(c) of that Act is amended by striking ``(1)
Subsection (a)'' and all that follows through ``(2)''.
(3) Section 1514 of that Act, and the item relating to that section
in the table of contents of that Act, are repealed.
(b) 2000 NDAA.--(1) Section 1404 of the National Defense
Authorization Act for Fiscal Year 2000 (22 U.S.C. 2778 note) is
amended--
(A) in the matter preceding paragraph (1), by striking
``1514 of the Strom Thurmond National Defense Authorization Act
for Fiscal Year 1999 (22 U.S.C. 2778 note)'' and inserting ``4
of the Satellite Trade and Security Act of 2001''; and
(B) in paragraph (1), by striking ``1514(a)(1) of the Strom
Thurmond National Defense Authorization Act for Fiscal Year
1999 (22 U.S.C. 2778 note)'' and inserting ``section 4(1) of
the Satellite Trade and Security Act of 2001''.
(2) Section 1409 of that Act (22 U.S.C. 2278 note) is amended--
(A) in subsection (a)(7), in the matter preceding
subparagraph (A), by striking ``1514(a)(2)(A) of the Strom
Thurmond National Defense Authorization Act for Fiscal Year
1999 (Public Law 105-261; 112 Stat. 2175; 22 U.S.C. 2778
note)'' and inserting ``4(2)(C) of the Satellite Trade and
Security Act of 2001''; and
(B) in subsection (b)(1), by striking ``1514(a)(8) of the
Strom Thurmond National Defense Authorization Act for Fiscal
Year 1999'' and inserting ``4(8) of the Satellite Trade and
Security Act of 2001''.
(3) Section 1410 of that Act, and the item relating to that section
in the table of contents of that Act, are repealed.
(4) Section 1411 of that Act is amended--
(A) by striking subsection (a); and
(B) by redesignating subsections (b) and (c) as subsections
(a) and (b), respectively.
(5) Section 1412(d) of that Act is amended by striking ``Secretary
of State'' and inserting ``Secretary of Commerce''.
(c) Additional Conforming Amendments.--(1) Section 1309 of the
Admiral James W. Nance and Meg Donovan Foreign Relations Authorization
Act, Fiscal Years 2000 and 2001 (as enacted by Public Law 106-113; 113
Stat. 1501A-460) is amended--
(A) by amending the section heading to read as follows:
``SEC. 1309. OFFICE OF DEFENSE TRADE CONTROLS.'';
(B) by striking subsections (a) and (c); and
(C) in subsection (b), by striking ``(b) Financial and
Personnel Resources.--''.
(2) The table of contents of that Act is amended by striking the
item relating to section 1309 and inserting the following:
``Sec. 1309. Office of Defense Trade Controls.''.
SEC. 7. EFFECTIVE DATE.
(a) In General.--This Act and the amendments made by this Act shall
take effect on the date of the enactment of this Act, and shall apply
to any export license application made under the Arms Export Control
Act before such date of enactment which is pending on such date, and to
any export license application made on or after such date.
(b) Transfer of Pending Applications.--Any export license
application made under the Arms Export Control Act before the date of
the enactment of this Act, to which section 2 of this Act applies and
which is pending on such date of enactment, shall be transferred to the
Department of Commerce upon the enactment of this Act.
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