[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2809 Reported in House (RH)]

<DOC>





                                                 Union Calendar No. 498
115th CONGRESS
  2d Session
                                H. R. 2809

                          [Report No. 115-649]

To amend title 51, United States Code, to provide for the authorization 
  and supervision of nongovernmental space activities, and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              June 7, 2017

   Mr. Smith of Texas (for himself, Mr. Babin, Mr. Bridenstine, Mr. 
  Perlmutter, Mr. Rohrabacher, Mr. Hultgren, Mr. Weber of Texas, Mr. 
 Higgins of Louisiana, and Mr. Kilmer) introduced the following bill; 
 which was referred to the Committee on Science, Space, and Technology

                             April 24, 2018

 Additional sponsors: Mr. Lamborn, Mr. Dunn, Mr. Calvert, Mr. Coffman, 
                  Mr. Soto, Mr. McCarthy, and Mr. Bera

                             April 24, 2018

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
[For text of introduced bill, see copy of bill as introduced on June 7, 
                                 2017]


_______________________________________________________________________

                                 A BILL


 
To amend title 51, United States Code, to provide for the authorization 
  and supervision of nongovernmental space activities, and for other 
                               purposes.


 


    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``American Space 
Commerce Free Enterprise Act of 2017''.
    (b) Table of Contents.--The table of contents is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings; policy; purposes.
Sec. 3. Certification to operate space objects.
Sec. 4. Permitting of space-based remote sensing systems.
Sec. 5. Administrative provisions related to certification and 
                            permitting.
Sec. 6. Technical and conforming amendments.
Sec. 7. Office of Space Commerce.
Sec. 8. Restriction on preventing launches and reentries of certified 
                            space objects.
Sec. 9. Report on registration of space objects.
Sec. 10. Comptroller General report.

SEC. 2. FINDINGS; POLICY; PURPOSES.

    (a) Findings.--Congress finds the following:
            (1) The United States, through existing authorization and 
        supervision mechanisms, satisfies and is in conformity with its 
        obligation under the Outer Space Treaty to authorize and 
        supervise nongovernmental space activities to assure such 
        activities are carried out in conformity with the international 
        obligations of the United States under the Outer Space Treaty.
            (2) The United States has a robust and innovative private 
        sector that is investing in, developing, and placing into outer 
        space, spacecraft and payloads.
            (3) Authorization and supervision mechanisms as of the date 
        of enactment of this Act could be improved to relieve 
        administrative burdens on new and innovative nongovernmental 
        space actors.
            (4) It serves the national interest to address 
        misperceptions of legal uncertainty through the establishment 
        of a general authorization and supervision certification 
        authority for nongovernmental outer space activities.
            (5) The private exploration and use of outer space by 
        nongovernmental entities will further the national security, 
        foreign policy, and economic interests of the United States.
    (b) Policy.--It is the policy of the United States that--
            (1) United States citizens and entities are free to explore 
        and use space, including the utilization of outer space and 
        resources contained therein, without conditions or limitations;
            (2) this freedom is only to be limited when necessary to 
        assure United States national security interests are met and to 
        authorize and supervise nongovernmental space activities to 
        assure such activities are carried out in conformity with the 
        international obligations of the United States under the Outer 
        Space Treaty;
            (3) to the maximum extent practicable, the Federal 
        Government shall interpret and fulfill its international 
        obligations to minimize regulations and limitations on the 
        freedom of United States nongovernmental entities to explore 
        and use space;
            (4) to the maximum extent practicable, the Federal 
        Government shall take steps to protect the physical safety of 
        space objects operated by the United States that do not involve 
        limitations on the freedoms of nongovernmental entities of the 
        United States; and
            (5) nongovernmental activities in outer space shall only be 
        authorized and supervised in a transparent, timely, and 
        predictable manner, with minimal costs and burdens placed on 
        the entities authorized and supervised.
    (c) Purposes.--The purposes of this Act and the amendments made by 
this Act are--
            (1) to enhance the existing outer space authorization and 
        supervision framework to provide greater transparency, greater 
        efficiency, and less administrative burden for nongovernmental 
        entities of the United States seeking to conduct space 
        activities; and
            (2) to ensure that the United States remains the world 
        leader in commercial space activities.
    (d) Definitions.--In this Act--
            (1) the term ``Agreement on the Rescue of Astronauts and 
        the Return of Space Objects'' means the Agreement on the Rescue 
        of Astronauts, the Return of Astronauts and the Return of 
        Objects Launched into Outer Space (signed at Washington, 
        Moscow, and London on April 22, 1968, ratified by the United 
        States on December 3, 1968; 19 UST 7570);
            (2) the term ``Convention on Registration of Space 
        Objects'' means the Convention on Registration of Objects 
        Launched into Outer Space (signed at New York on January 14, 
        1975, ratified by the United States on September 15, 1976; 28 
        UST 695);
            (3) the term ``covered treaties on outer space'' means--
                    (A) the Outer Space Treaty;
                    (B) the Agreement on the Rescue of Astronauts and 
                the Return of Space Objects;
                    (C) the Convention on Registration of Space 
                Objects; and
                    (D) the Liability Convention;
            (4) the term ``Liability Convention'' means the Convention 
        on the International Liability for Damage Caused by Space 
        Objects (signed at Washington, Moscow, and London on March 29, 
        1972, ratified by the United States on October 9, 1973; 24 UST 
        2389); and
            (5) the term ``Outer Space Treaty'' means the Treaty on 
        Principles Governing the Activities of States in the 
        Exploration and Use of Outer Space, including the Moon and 
        Other Celestial Bodies (signed at Washington, Moscow, and 
        London on January 27, 1967, ratified by the United States on 
        October 10, 1967; 18 UST 2410).

SEC. 3. CERTIFICATION TO OPERATE SPACE OBJECTS.

    Title 51, United States Code, is amended by adding at the end the 
following:

``Subtitle VIII--Authorization and Supervision of Nongovernmental Space 
                               Activities

         ``CHAPTER 801--CERTIFICATION TO OPERATE SPACE OBJECTS

``Sec.
``80101. Definitions.
``80102. Certification authority.
``80103. Certification application and requirements.
``80104. Mitigation of space debris.
``80105. Continuing certification requirements.
``80106. Certification transfer.
``80107. Certification expiration and termination.
``80108. Existing license or pending application for launch or reentry.
``80109. Private Space Activity Advisory Committee.
``80110. Exemptions.
``80111. Protecting the interests of United States entity space 
                            objects.
``Sec. 80101. Definitions
    ``In this subtitle:
            ``(1) Agency.--The term `agency' has the meaning given the 
        term Executive agency in section 105 of title 5.
            ``(2) Agreement on the rescue of astronauts and the return 
        of space objects.--The term `Agreement on the Rescue of 
        Astronauts and the Return of Space Objects' means the Agreement 
        on the Rescue of Astronauts, the Return of Astronauts and the 
        Return of Objects Launched into Outer Space (signed at 
        Washington, Moscow, and London on April 22, 1968, ratified by 
        the United States on December 3, 1968; 19 UST 7570).
            ``(3) Convention on registration of space objects.--The 
        term `Convention on Registration of Space Objects' means the 
        Convention on Registration of Objects Launched into Outer Space 
        (signed at New York on January 14, 1975, ratified by the United 
        States on September 15, 1976; 28 UST 695).
            ``(4) Covered treaties on outer space.--The term `covered 
        treaties on outer space' means--
                    ``(A) the Outer Space Treaty;
                    ``(B) the Agreement on the Rescue of Astronauts and 
                the Return of Space Objects;
                    ``(C) the Convention on Registration of Space 
                Objects; and
                    ``(D) the Liability Convention.
            ``(5) Liability convention.--The term `Liability 
        Convention' means the Convention on the International Liability 
        for Damage Caused by Space Objects (signed at Washington, 
        Moscow, and London on March 29, 1972, ratified by the United 
        States on October 9, 1973; 24 UST 2389).
            ``(6) National of the united states.--The term `national of 
        the United States' has the meaning given such term in section 
        101(a) of the Immigration and Nationality Act (8 U.S.C. 
        1101(a)).
            ``(7) Outer space treaty.--The term `Outer Space Treaty' 
        means the Treaty on Principles Governing the Activities of 
        States in the Exploration and Use of Outer Space, including the 
        Moon and Other Celestial Bodies (signed at Washington, Moscow, 
        and London on January 27, 1967, ratified by the United States 
        on October 10, 1967; 18 UST 2410).
            ``(8) Secretary.--The term `Secretary' means, except as 
        otherwise provided in this subtitle, the Secretary of Commerce, 
        acting through the Office of Space Commerce.
            ``(9) Space-based remote sensing system.--The term `space-
        based remote sensing system' means a space object in Earth 
        orbit that is--
                    ``(A) designed to image the Earth; or
                    ``(B) capable of imaging a space object in Earth 
                orbit operated by the Federal Government.
            ``(10) Space debris mitigation.--The term `space debris 
        mitigation' means efforts to--
                    ``(A) prevent on-orbit break-ups;
                    ``(B) remove spacecraft that have reached the end 
                of their mission operation from useful densely 
                populated orbit regions; and
                    ``(C) limit the amount of debris released during 
                normal operations of a space object.
            ``(11) Space object.--
                    ``(A) In general.--The term `space object' means--
                            ``(i) a human-made object located in outer 
                        space, including on the Moon and other 
                        celestial bodies, with or without human 
                        occupants, that was launched from Earth, such 
                        as a satellite or a spacecraft, including 
                        component parts of the object; and
                            ``(ii) all items carried on such object 
                        that are intended for use in outer space 
                        outside of, and independent of, the operation 
                        of such object.
                    ``(B) Inclusion.--Such term includes any human-made 
                object that is--
                            ``(i) manufactured or assembled in outer 
                        space; and
                            ``(ii) intended for operations in outer 
                        space outside of, and independent of, the 
                        operations of such object in which the 
                        manufacturing or assembly occurred.
                    ``(C) Exclusions.--Such term does not include--
                            ``(i) an article on board a space object 
                        that is only intended for use inside the space 
                        object;
                            ``(ii) an article manufactured or processed 
                        in outer space that is a material; or
                            ``(iii) an article intended for use outside 
                        of a space object as part of the certified 
                        operations of the space object.
            ``(12) State.--The term `State' means each of the several 
        States of the United States, the District of Columbia, the 
        Commonwealth of Puerto Rico, the United States Virgin Islands, 
        Guam, American Samoa, the Commonwealth of the Northern Mariana 
        Islands, and any other commonwealth, territory, or possession 
        of the United States.
            ``(13) United states.--The term `United States' means the 
        States, collectively.
            ``(14) United states entity.--The term `United States 
        entity' means--
                    ``(A) an individual who is a national of the United 
                States; or
                    ``(B) a nongovernmental entity organized or 
                existing under, and subject to, the laws of the United 
                States or a State.
``Sec. 80102. Certification authority
    ``(a) In General.--Not later than 1 year after the date of 
enactment of the American Space Commerce Free Enterprise Act of 2017, 
the Secretary shall begin issuing certifications for the operation of a 
space object to any United States entity who submits an application for 
a certification in satisfaction of the requirements of this chapter.
    ``(b) Consultation.--The Secretary shall, as the Secretary 
considers necessary, consult with the heads of other relevant agencies 
in carrying out the requirements of this chapter, pursuant to section 
80311.
    ``(c) Certification Required for Operation.--Beginning on the date 
that is 1 year after the date of enactment of the American Space 
Commerce Free Enterprise Act of 2017, a United States entity may not 
operate a space object unless the entity holds a certification issued 
under this chapter for the operation of such object or the entity holds 
a valid payload approval for launch or reentry under section 50904 as 
part of a license issued under chapter 509, and that satisfies the 
requirements of section 80108(a).
    ``(d) Foreign Entities Prohibited.--The Secretary may not issue a 
certification under this chapter to any person who is not a United 
States entity.
    ``(e) Coverage of Certification.--The Secretary shall, to the 
maximum extent practicable, require only 1 certification under this 
chapter for a United States entity to--
            ``(1) conduct multiple operations carried out using a 
        single space object;
            ``(2) operate multiple space objects that carry out 
        substantially similar operations; or
            ``(3) use multiple space objects to carry out a single 
        space operation.
``Sec. 80103. Certification application and requirements
    ``(a) Application Process.--
            ``(1) In general.--To be eligible for a certification or 
        transfer of a certification to operate a space object under 
        this chapter, a United States entity shall submit an 
        application to the Secretary as provided in paragraph (2). Such 
        application shall include, for each required item or 
        attestation, sufficient evidence to demonstrate each fact or 
        assertion.
            ``(2) Contents.--An application described in paragraph (1) 
        shall include only the following information, with respect to 
        each space object and the operations proposed to be certified:
                    ``(A) The name, address, and contact information of 
                one or more nationals of the United States designated 
                by the applicant as responsible for the operation of 
                the space object.
                    ``(B) An affirmation, and a document of proof, that 
                the applicant is a United States entity.
                    ``(C) If available at the time of submission of the 
                application, the planned date and location of the 
                launch of the space object, including the identity of 
                the launch provider.
                    ``(D) The general physical form and composition of 
                the space object.
                    ``(E) A description of the proposed operations of 
                the space object that includes--
                            ``(i) when and where the space object will 
                        operate; and
                            ``(ii) when and where the operation of the 
                        space object will terminate.
                    ``(F) A description of how the space object will be 
                operated and disposed of in a manner to mitigate the 
                generation of space debris.
                    ``(G) Information about third-party liability 
                insurance obtained, if any, by the applicant for 
                operations of the space object, including the amount 
                and coverage of such liability insurance.
                    ``(H) Whether the space object will include a 
                space-based remote sensing system.
            ``(3) Attestations.--An application described in paragraph 
        (1) shall contain an attestation by the applicant of each the 
        following:
                    ``(A) The space object is not a nuclear weapon or a 
                weapon of mass destruction.
                    ``(B) The space object will not carry a nuclear 
                weapon or weapon of mass destruction.
                    ``(C) The space object will not be operated or used 
                for testing of any weapon on a celestial body.
                    ``(D) All information in the application and 
                supporting documents is true, complete, and accurate.
    ``(b) Review of Application.--
            ``(1) Verification of information and attestations.--Not 
        later than 90 days after receipt of an application under this 
        section, the Secretary shall verify that--
                    ``(A) the application is complete, including any 
                required supporting documents;
                    ``(B) the application does not contain any clear 
                indication of fraud or falsification; and
                    ``(C) the application contains each attestation 
                required under subsection (a)(3).
            ``(2) Determination.--Not later than 90 days after receipt 
        of an application under this section--
                    ``(A) if the Secretary verifies that the applicant 
                has met the application requirements described in 
                paragraph (1), the Secretary shall approve the 
                application and issue a certification to the applicant 
                with or without conditions on the proposed operation of 
                the space object pursuant to subsection (c)(1)(A); or
                    ``(B) if the Secretary cannot verify that the 
                applicant has met the application requirements 
                described in paragraph (1) or if the Secretary 
                determines it is necessary to deny the application 
                pursuant to subsection (c)(1)(B), the Secretary--
                            ``(i) shall issue a denial of the 
                        application signed by the Secretary (a duty 
                        that may not be delegated, including to the 
                        Office of Space Commerce); and
                            ``(ii) shall, not later than 10 days after 
                        the decision to deny the certification--
                                    ``(I) provide the applicant with a 
                                written notification containing a 
                                clearly articulated rationale for the 
                                denial that provides, to the maximum 
                                extent practicable, guidance to the 
                                applicant as to how such rationale for 
                                denial could be addressed in a 
                                subsequent application; and
                                    ``(II) notify the Committee on 
                                Commerce, Science, and Transportation 
                                of the Senate and the Committee on 
                                Science, Space, and Technology of the 
                                House of Representatives of such 
                                rationale.
            ``(3) Automatic approval.--If the Secretary has not 
        approved or denied the application before the deadline under 
        paragraph (2), the certification shall be approved without 
        condition. The Secretary may not allow tolling of the 90-day 
        period under such paragraph.
            ``(4) Improper basis for denial.--The Secretary may not 
        deny an application for a certification under this section in 
        order to protect an existing certification holder from 
        competition.
            ``(5) Subsequent review.--The Secretary may not prejudice a 
        new application for the proposed operations denied pursuant to 
        paragraph (2)(B) if such new application contains remedies 
        addressing the rationale for such denial.
    ``(c) Compliance With the Outer Space Treaty.--
            ``(1) In general.--If the Secretary determines, with clear 
        and convincing evidence, that the proposed operation of a space 
        object under an application for a certification under this 
        chapter is a violation of an international obligation of the 
        United States pertaining to a nongovernmental entity of the 
        United States under the Outer Space Treaty--
                    ``(A) the Secretary may condition the proposed 
                operation covered by the certification only to the 
                extent necessary to prevent a violation of such 
                international obligation; or
                    ``(B) if the Secretary determines that there is no 
                practicable way to condition such certification to 
                prevent such a violation, the Secretary may deny the 
                application.
            ``(2) Limitation for determinations.--A determination under 
        paragraph (1) shall be limited as follows:
                    ``(A) The Federal Government shall interpret and 
                fulfill its international obligations under the Outer 
                Space Treaty in a manner that minimizes regulations and 
                limitations on the freedom of United States 
                nongovernmental entities to explore and use space.
                    ``(B) The Federal Government shall interpret and 
                fulfill its international obligations under the Outer 
                Space Treaty in a manner that promotes free enterprise 
                in outer space.
                    ``(C) The Federal Government shall not presume all 
                obligations of the United States under the Outer Space 
                Treaty are obligations to be imputed upon United States 
                nongovernmental entities.
                    ``(D) Guidelines promulgated by the Committee on 
                Space Research may not be considered international 
                obligations of the United States.
            ``(3) Presumptions.--In making a determination under 
        paragraph (1), the Secretary shall presume, absent clear and 
        convincing evidence to the contrary, that--
                    ``(A) any attestation made by an applicant pursuant 
                to subsection (a)(3) is sufficient to meet the 
                international obligations of the United States 
                pertaining to nongovernmental entities of the United 
                States under the Outer Space Treaty addressed by such 
                attestation; and
                    ``(B) reasonably commercially available efforts are 
                sufficient to be in conformity with the international 
                obligations of the United States pertaining to 
                nongovernmental entities of the United States under the 
                Outer Space Treaty.
            ``(4) Prohibition on retroactive conditions.--No other 
        modifications may be made, or additional conditions placed, on 
        a certification after the date on which the certification is 
        issued (except to account for a material change as provided in 
        section 80105(c) or the removal of a condition pursuant to 
        subsection (d)).
            ``(5) Nondelegable.--The responsibilities of the Secretary 
        under this subsection may not be delegated, including to the 
        Office of Space Commerce.
    ``(d) Authority To Remove Conditions.--The Secretary, as determined 
appropriate, may remove a condition placed on a certification pursuant 
to subsection (c).
``Sec. 80104. Mitigation of space debris
    ``(a) Plan Submission.--To be eligible for a certification under 
this chapter, each application shall include a space debris mitigation 
plan for the space object. Such plan--
            ``(1) shall take into account best practice guidelines 
        promulgated by the United States and the Interagency Debris 
        Coordinating Committee; and
            ``(2) may take into account that a space object may end 
        certified operations and be stored in a safe manner until such 
        time as the space object is permanently disposed of or 
        certified for further operations.
    ``(b) Implementation.--To the maximum extent practicable, a holder 
of a certification under this chapter shall notify the Secretary not 
later than 30 days before beginning to implement the disposal phase of 
a space debris mitigation plan described in subsection (a). Such 
certification holder shall, not later than 30 days after completing 
implementation of such phase, update the Secretary of the results of 
any space debris mitigation efforts.
``Sec. 80105. Continuing certification requirements
    ``(a) Notification Requirement.--A certification holder shall, in a 
timely manner, notify the Secretary if--
            ``(1) a certified space object has terminated operations; 
        or
            ``(2) a catastrophic event has occurred to a certified 
        space object, such as the unplanned destruction of a space 
        object.
    ``(b) Material Change.--The Secretary shall require certification 
holders to inform the Secretary of--
            ``(1) any material changes to the space object or the 
        planned operations of the space object prior to launch; and
            ``(2) any material anomalies or departures from the planned 
        operations during the course of operations.
    ``(c) Update to Certification.--Not later than 14 days after the 
date of receipt of information regarding a material change pursuant to 
subsection (b), the Secretary shall make a determination of whether 
such material change is substantial enough to warrant additional review 
under section 80103(b). Not later than 90 days after a determination 
that such review is warranted, the Secretary shall complete a similar 
such review process for such material change as is required for a 
certification applicant under such section.
``Sec. 80106. Certification transfer
    ``(a) In General.--Subject to subsections (b) and (c), the 
Secretary shall provide for the transfer of a certification under this 
chapter from the certification holder to another United States entity 
to continue the operations allowed under such certification.
    ``(b) Transfer Request Requirements.--To be eligible for a transfer 
under subsection (a), the certification holder shall submit to the 
Secretary a request that includes--
            ``(1) any identifying information regarding the proposed 
        transferee, including accompanying supporting documents, that 
        would be required under an initial application under section 
        80103; and
            ``(2) each attestation required under section 80103(a)(3), 
        including accompanying supporting documents, completed by the 
        proposed transferee.
    ``(c) Determination.--Not later than 90 days after a certification 
holder submits a request under subsection (b), the Secretary shall 
complete a similar review process for the request for transfer as 
required for a certification applicant under section 80103(b).
``Sec. 80107. Certification expiration and termination
    ``(a) Certification Expiration.--A certification issued under this 
chapter shall expire on the earlier of--
            ``(1) the date on which all operations approved under such 
        certification cease, including carrying out a space debris 
        mitigation plan of any space object approved under such 
        certification;
            ``(2) the date on which all space objects approved under 
        the certification no longer exist; or
            ``(3) the date that is 5 years after the date on which the 
        certification was approved, if no operations approved under the 
        certification have commenced by such date.
    ``(b) Certification Termination.--
            ``(1) In general.--The Secretary shall terminate a 
        certification under this chapter if an applicant or 
        certification holder is convicted of a violation of section 
        1001 of title 18 related to the certification process under 
        this chapter.
            ``(2) Eligibility.--A certification holder whose 
        certification is terminated under this subsection shall be 
        ineligible to apply for or receive a certification under this 
        chapter.
            ``(3) Space debris mitigation plan.--Upon termination of a 
        certification under paragraph (1), the Secretary may require 
        the certification holder to carry out the space debris 
        mitigation plan submitted by the certification holder under 
        section 80104.
``Sec. 80108. Existing license or pending application for launch or 
              reentry
    ``(a) Continuation of Existing License.--Any United States entity 
for whom a payload has been approved (and not subject to an exemption 
under section 80110) on or before the effective date of this section 
for launch or reentry under section 50904 as part of a license issued 
under chapter 509 may--
            ``(1) elect to be immediately considered certified for 
        operation under this chapter on such effective date, in which 
        case all terms and conditions applicable to the payload as 
        approved for launch or reentry as part of a license issued 
        under chapter 509 shall apply for the duration of the operation 
        of the payload; or
            ``(2) apply for a certification under this chapter for the 
        operation of the licensed activities and may continue to 
        operate pursuant to such license until such time as such 
        certification is issued.
    ``(b) Rescinding or Transfer of Pending License.--A payload of a 
United States entity that, on the effective date of this section, is 
pending approval under section 50904 as part of a launch or reentry 
license issued under chapter 509 may be, at the election of the 
applicant for payload approval--
            ``(1) rescinded without prejudice; or
            ``(2) transferred to the Office of Space Commerce and 
        deemed to be a pending application for certification under this 
        chapter.
    ``(c) Effective Date.--This section shall take effect on the date 
that is 1 year after the date of enactment of the American Space 
Commerce Free Enterprise Act of 2017.
``Sec. 80109. Private Space Activity Advisory Committee
    ``(a) Establishment.--The Secretary shall establish a Private Space 
Activity Advisory Committee (in this section referred to as the 
`Committee') consisting of 15 members who shall be appointed by the 
Secretary.
    ``(b) Chair.--The Committee shall designate one member as the chair 
of the Committee.
    ``(c) Membership.--
            ``(1) Limitation.--Members of the Committee may not be 
        Federal Government employees or officials.
            ``(2) Travel expenses.--Members of the Committee shall 
        receive travel expenses, including per diem in lieu of 
        subsistence, in accordance with the applicable provisions under 
        subchapter I of chapter 57 of title 5.
            ``(3) Qualifications.--Members of the Committee shall 
        include a variety of space policy, engineering, technical, 
        science, legal, and finance professionals. Not less than 3 
        members shall have significant experience working in the 
        commercial space industry.
    ``(d) Terms.--Each member of the Committee shall serve for a term 
of 4 years and may not serve as a member for the 2-year period 
following the date of completion of each such term.
    ``(e) Duties.--The duties of the Committee shall be to--
            ``(1) analyze the status and recent developments of 
        nongovernmental space activities;
            ``(2) analyze the effectiveness and efficiency of the 
        implementation of the certification process under this chapter;
            ``(3) provide recommendations to the Secretary and Congress 
        on how the United States can facilitate and promote a robust 
        and innovative private sector that is investing in, developing, 
        and operating space objects;
            ``(4) identify any challenges the United States private 
        sector is experiencing--
                    ``(A) with the authorization and supervision of the 
                operation of space objects under this chapter;
                    ``(B) more generally, with international 
                obligations of the United States relevant to private 
                sector activities in outer space;
                    ``(C) with harmful interference to private sector 
                activities in outer space; and
                    ``(D) with access to adequate, predictable, and 
                reliable radio frequency spectrum;
            ``(5) review existing best practices for United States 
        entities to avoid the harmful contamination of the Moon and 
        other celestial bodies;
            ``(6) review existing best practices for United States 
        entities to avoid adverse changes in the environment of the 
        Earth resulting from the introduction of extraterrestrial 
        matter;
            ``(7) provide information, advice, and recommendations on 
        matters relating to United States private sector activities in 
        outer space; and
            ``(8) provide information, advice, and recommendations on 
        matters related to the authority of the Secretary under this 
        chapter or to private sector space activities authorized 
        pursuant to this chapter that the Committee determines 
        necessary.
    ``(f) Annual Report.--The Committee shall submit to Congress, the 
President, and the Secretary an annual report that includes the 
information, analysis, findings, and recommendations described in 
subsection (e).
    ``(g) Sunset.--The Committee shall terminate on the date that is 10 
years after the date on which the Committee is established.
``Sec. 80110. Exemptions
    ``(a) In General.--A certification is not required under this 
chapter for any of the following operations:
            ``(1) Space object activities authorized by another country 
        that is a party to the Outer Space Treaty.
            ``(2) Launch or reentry vehicle operations licensed by the 
        Department of Transportation under chapter 509.
            ``(3) Space stations licensed by the Federal Communications 
        Commission under the Communications Act of 1934 (47 U.S.C. 151 
        et seq.).
    ``(b) Rule of Construction.--Nothing in this section shall be 
construed to exempt any entity from the requirement to obtain a permit 
to operate a space-based remote sensing system under chapter 802.
``Sec. 80111. Protecting the interests of United States entity space 
              objects
    ``The President shall--
            ``(1) protect the interests of United States entity 
        exploration and use of outer space, including commercial 
        activity and the exploitation of space resources, from acts of 
        foreign aggression and foreign harmful interference;
            ``(2) protect ownership rights of United States entity 
        space objects and obtained space resources; and
            ``(3) ensure that United States entities operating in outer 
        space are given due regard.''.

SEC. 4. PERMITTING OF SPACE-BASED REMOTE SENSING SYSTEMS.

    (a) Findings.--Congress finds the following:
            (1) The commercial market for space-based remote sensing 
        technologies and information has experienced significant growth 
        since the passage of the Land Remote Sensing Policy Act of 
        1992.
            (2) It is in the interest of the United States to foster 
        new and novel space-based remote sensing applications and 
        services and to help facilitate their continued domestic 
        growth.
            (3) Since the passage of the Land Remote Sensing Policy Act 
        of 1992, the National Oceanic and Atmospheric Administration's 
        Office of Commercial Remote Sensing has experienced a 
        significant increase in applications for private remote sensing 
        space system licenses as authorized under section 60121 of 
        title 51, United States Code.
            (4) Many of the applicants for commercial space-based 
        remote sensing licenses have encountered significant delays and 
        unnecessary obstacles in the application process.
            (5) The current licensing paradigm must be updated as to 
        not discourage the continued growth of the United States space-
        based remote sensing industry. It must be updated in a way that 
        satisfies the needs of commercial remote sensing market as well 
        as the national security of the United States.
            (6) In order to protect United States leadership and 
        commercial viability in remote sensing technologies, the 
        Federal Government should not limit commercial entities from 
        providing remote sensing capabilities or data products that are 
        available or reasonably expected to be made available in the 
        next 3 years in the international or domestic marketplace.
    (b) Policy.--It is the policy of the United States that, to the 
maximum extent practicable, the Federal Government shall take steps to 
protect the national security interests of the United States that do 
not involve regulating or limiting the freedoms of United States 
nongovernmental entities to explore and use space. Federal Government 
agencies shall mitigate any threat to national security posed by the 
exploration and use of outer space by United States citizens and 
entities, to the maximum extent practicable, changing Federal 
Government activities and operations.
    (c) Amendment.--Title 51, United States Code, is further amended by 
adding at the end the following:

    ``CHAPTER 802--PERMITTING OF SPACE-BASED REMOTE SENSING SYSTEMS

``Sec.
``80201. Permitting authority.
``80202. Application for permit.
``80203. Continuing permitting requirements.
``80204. Permit transfer.
``80205. Agency activities.
``80206. Annual reports.
``80207. Advisory Committee on Commercial Remote Sensing.
``80208. Continuation of existing license or pending application.
``80209. Commercial Remote Sensing Regulatory Affairs Office.
``Sec. 80201. Permitting authority
    ``(a) In General.--Not later than 1 year after the date of 
enactment of the American Space Commerce Free Enterprise Act of 2017, 
the Secretary is authorized to permit persons to operate space-based 
remote sensing systems.
    ``(b) Consultation.--The Secretary shall, as the Secretary 
considers necessary, consult with the heads of other relevant agencies 
in carrying out the requirements of this chapter, pursuant to section 
80311.
    ``(c) Limitation With Respect to System Used for Other Purposes.--
In the case of a space object that is used for remote sensing and other 
purposes, the authority of the Secretary under this chapter shall be 
limited to the remote sensing operations of such space object.
    ``(d) De Minimis Exception.--
            ``(1) Waiver.--The Secretary may waive the requirement for 
        a permit for a space-based remote sensing system that the 
        Secretary determines is--
                    ``(A) ancillary to the primary design purpose of 
                the space object; or
                    ``(B) too trivial to require a determination under 
                section 80202(c) relating to national security.
            ``(2) Guidance.--Not later than 1 year after the date of 
        enactment of this subsection, the Secretary shall issue 
        guidance providing a clear explanation of the criteria used by 
        the Secretary to grant a de minimis waiver under paragraph 
        (1)(B) for a space-based remote sensing system that is too 
        trivial to require a determination under section 80202(c).
    ``(e) Coverage of Permit.--The Secretary shall, to the maximum 
extent practicable, ensure that only one permit is required under this 
chapter to--
            ``(1) conduct multiple operations carried out using a 
        space-based remote sensing system;
            ``(2) operate multiple space-based remote sensing systems 
        that carry out substantially similar operations; or
            ``(3) use multiple space-based remote sensing systems to 
        carry out a single remote sensing operation.
    ``(f) Prohibition on Operation.--Not later than 1 year after the 
date of enactment of the American Space Commerce Free Enterprise Act of 
2017, no person may, directly or through any subsidiary or affiliate, 
operate any space-based remote sensing system without a permit issued 
under this chapter.
    ``(g) Responsible Party.--In any case in which the applicant for a 
permit under this chapter is not a United States entity, the applicant 
shall identify a United States entity that consents to be responsible 
for the permitted operation of the space-based remote sensing system.
    ``(h) Operation of Space-Based Remote Sensing System.--For purposes 
of this chapter, the operation of a space-based remote sensing system--
            ``(1) begins when the system--
                    ``(A) is located in outer space; and
                    ``(B) can meet the minimum threshold and objective 
                capabilities for the system's stated need; and
            ``(2) shall not cover the acts of distribution, sale, or 
        transfer of data, information, or services to persons, foreign 
        or domestic, including any such acts taken pursuant to an 
        agreement with such persons.
``Sec. 80202. Application for permit
    ``(a) Application Process.--
            ``(1) In general.--To receive a permit to operate a space-
        based remote sensing system under this chapter, a person shall 
        submit an application to the Secretary as provided in paragraph 
        (2). Such application shall include, for each required item, 
        sufficient evidence to demonstrate each fact or assertion.
            ``(2) Contents.--An application described in paragraph (1) 
        shall include only the following information, with respect to 
        each space-based remote sensing system and the operations 
        proposed to be permitted:
                    ``(A) The name, address, and contact information of 
                one or more United States entity identified by the 
                applicant, pursuant to section 80201(g), as responsible 
                for the operation of the space-based remote sensing 
                system.
                    ``(B) If available at the time of submission of the 
                application, the planned date and location of the 
                launch of the applicable space object, including the 
                identity of the launch provider.
                    ``(C) The general physical form and composition of 
                the space-based remote sensing system.
                    ``(D) A description of the proposed operations of 
                the space-based remote sensing system that includes--
                            ``(i) when and where the space-based remote 
                        sensing system will operate;
                            ``(ii) when and where the operation of the 
                        space-based remote sensing system will 
                        terminate; and
                            ``(iii) any additional information 
                        necessary to make a determination under 
                        subsection (c) regarding a significant threat 
                        to national security, as prescribed in advance 
                        in regulation by the Secretary.
                    ``(E) A description of how the space-based remote 
                sensing system will be operated and disposed of in a 
                manner to mitigate the generation of space debris.
                    ``(F) Information about third-party liability 
                insurance obtained, if any, by the applicant for 
                operations of the space-based remote sensing system, 
                including the amount and coverage of such liability 
                insurance.
    ``(b) Review of Application.--
            ``(1) Verifications.--Not later than 90 days after receipt 
        of an application under this section, the Secretary shall 
        verify that--
                    ``(A) the application is complete pursuant to 
                subsection (a); and
                    ``(B) the application does not contain any clear 
                indication of fraud or falsification.
            ``(2) Determination.--Not later than 90 days after receipt 
        of an application under this section--
                    ``(A) if the Secretary verifies that the applicant 
                has met the application requirements described in 
                paragraph (1), the Secretary shall approve the 
                application and issue a permit to the applicant with or 
                without conditions on the proposed operation of the 
                space-based remote sensing system pursuant to 
                subsection (c)(1)(A); or
                    ``(B) if the Secretary cannot verify that the 
                applicant has met the application requirements 
                described in paragraph (1) or if the Secretary makes a 
                determination to deny the application under subsection 
                (c)(1)(B), the Secretary--
                            ``(i) shall issue a denial of the 
                        application signed by the Secretary (a duty 
                        that may not be delegated, including to the 
                        Office of Space Commerce); and
                            ``(ii) shall, not later than 10 days after 
                        the decision to deny the application--
                                    ``(I) provide the applicant with a 
                                written notification containing a 
                                clearly articulated rationale for the 
                                denial that, to the maximum extent 
                                practicable--
                                            ``(aa) provides guidance to 
                                        the applicant as to how the 
                                        articulated rationale for 
                                        denial could be addressed in a 
                                        subsequent application; and
                                            ``(bb) includes all 
                                        classified information included 
                                        in such rationale for which the 
                                        applicant has the required 
                                        security clearance; and
                                    ``(II) submit a notification of the 
                                denial to the Committee on Commerce, 
                                Science, and Transportation of the 
                                Senate and the Committee on Science, 
                                Space, and Technology of the House of 
                                Representatives that--
                                            ``(aa) contains the clearly 
                                        articulated rationale for the 
                                        denial; and
                                            ``(bb) in the case of a 
                                        denial pursuant to a national 
                                        security determination under 
                                        subsection (c)--

                                                    ``(AA) includes an 
                                                explanation of how, and 
                                                clear and convincing 
                                                evidence that, to the 
                                                maximum extent 
                                                practicable, the 
                                                Federal Government took 
                                                steps to mitigate a 
                                                significant threat to 
                                                the national security 
                                                of the United States 
                                                posed by the operation 
                                                of the applicant's 
                                                space-based remote 
                                                sensing system by 
                                                changing Federal 
                                                Government activities 
                                                and operations; and

                                                    ``(BB) may contain 
                                                classified information.

            ``(3) Automatic approval.--If the Secretary has not 
        approved or denied the application before the deadline under 
        paragraph (2), the application shall be approved without 
        condition. The Secretary may not allow tolling of the 90-day 
        period under such paragraph.
            ``(4) Improper basis for denial.--The Secretary may not 
        deny an application for a permit under this section in order to 
        protect an existing permit holder from competition.
            ``(5) Subsequent review.--The Secretary may not prejudice a 
        new application for the proposed operations denied pursuant to 
        paragraph (2)(B) if such new application contains remedies 
        addressing the rationale for such denial.
    ``(c) Addressing National Security Threat.--
            ``(1) In general.--If the Secretary determines, with clear 
        and convincing evidence, that the proposed operation of a 
        space-based remote sensing system under an application for a 
        permit under this chapter poses a significant threat to the 
        national security of the United States as provided in paragraph 
        (2)--
                    ``(A) the Secretary may condition the proposed 
                operation covered by the permit only to the extent 
                necessary to address such threat; or
                    ``(B) if the Secretary determines that there is no 
                practicable way to condition such permit to address 
                such threat, the Secretary may deny the application.
            ``(2) Significant threat to national security.--For 
        purposes of a determination under paragraph (1), a significant 
        threat to the national security of the United States is a 
        threat--
                    ``(A) that is imminent; and
                    ``(B) that cannot practicably be mitigated through 
                changes to Federal Government activities or operations.
            ``(3) Reasonably commercially available efforts.--To the 
        maximum extent practicable, the Secretary shall only place a 
        condition on a permit that is achievable using reasonably 
        commercially available efforts.
            ``(4) Notification.--Not later than 10 days after the 
        decision to condition the proposed operation covered by a 
        permit pursuant to this subsection, the Secretary shall--
                    ``(A) provide the applicant with a written 
                notification containing a clearly articulated rationale 
                for the condition that, to the maximum extent 
                practicable--
                            ``(i) provides guidance to the applicant as 
                        to how the articulated rationale for condition 
                        could be addressed in a subsequent application; 
                        and
                            ``(ii) includes all classified information 
                        included in such rationale for which the 
                        applicant has the required security clearance; 
                        and
                    ``(B) submit a notification of the condition to the 
                Committee on Commerce, Science, and Transportation of 
                the Senate and the Committee on Science, Space, and 
                Technology of the House of Representatives that--
                            ``(i) contains the clearly articulated 
                        rationale for the condition;
                            ``(ii) includes an explanation of how, and 
                        clear and convincing evidence that, to the 
                        maximum extent practicable, the Federal 
                        Government took steps to mitigate a significant 
                        threat to the national security of the United 
                        States posed by the operation of the 
                        applicant's space-based remote sensing system 
                        by changing Federal Government activities and 
                        operations; and
                            ``(iii) may contain classified information.
            ``(5) Prohibition on retroactive conditions.--No other 
        modifications may be made, or additional conditions placed, on 
        a permit after the date on which the permit is issued except to 
        account for a material change as provided in section 80203(c).
            ``(6) Nondelegable.--The responsibilities of the Secretary 
        under this subsection may not be delegated, including to the 
        Office of Space Commerce.
    ``(d) Limitations on Conditions.--
            ``(1) Same or similar capability.--No operational condition 
        under subsection (c) may be placed on a space-based remote 
        sensing system that has the same or substantially similar 
        space-based remote sensing capabilities as another system 
        permitted under this chapter with no such condition.
            ``(2) Conditions that exceed permitted conditions.--The 
        Secretary may not place a condition on a permit for a space-
        based remote sensing system that exceeds a condition placed on 
        an existing permitted system that has the same or substantially 
        similar capabilities.
    ``(e) Commercially Available Capability.--
            ``(1) Exception.--The Secretary may not deny an application 
        for, or place a condition on, a permit for the operation of a 
        space-based remote sensing system for which the same or 
        substantially similar capabilities, derived data, products, or 
        services are already commercially available or reasonably 
        expected to be made available in the next 3 years in the 
        international or domestic marketplace. The exception in the 
        previous sentence applies regardless of whether the marketplace 
        products and services originate from the operation of aircraft, 
        unmanned aircraft, or other platforms or technical means or are 
        assimilated from a variety of data sources.
            ``(2) Clear and convincing evidence.--Each denial of an 
        application for, and each condition placed on, a permit for the 
        operation of a space-based remote sensing system, shall include 
        an explanation of, and clear and convincing evidence that, the 
        exception under paragraph (1) does not apply with respect to 
        the proposed permitted operations of such system.
            ``(3) Database.--The President shall--
                    ``(A) maintain a database of commercially available 
                capabilities described in paragraph (1);
                    ``(B) update such database not less than once every 
                3 months; and
                    ``(C) submit to the Committee on Commerce, Science, 
                and Transportation of the Senate and the Committee on 
                Science, Space, and Technology of the House of 
                Representatives a report containing the contents of the 
                database upon each update required under subparagraph 
                (B).
            ``(4) Applicant submissions.--An applicant for, or holder 
        of, a permit for the operation of a space-based remote sensing 
        system may submit to the Secretary evidence of, or information 
        regarding, a commercially available capability described in 
        paragraph (1) for consideration for inclusion in the database.
            ``(5) Nonapplication of condition.--In any case in which 
        the Secretary determines that the exception under paragraph (1) 
        applies with respect to a permit for the operation of a space-
        based remote sensing system for which the Secretary has placed 
        a condition under subsection (c), such condition shall no 
        longer apply with respect to such permitted operations.
    ``(f) Authority To Remove Conditions.--Nothing in this section 
shall be construed to prohibit the Secretary from removing a condition 
placed on a permit pursuant to subsection (c).
``Sec. 80203. Continuing permitting requirements
    ``(a) Notification Requirement.--A permit holder shall, in a timely 
manner, notify the Secretary if--
            ``(1) a permitted space-based remote sensing system has 
        terminated operations; or
            ``(2) a catastrophic event has occurred to a space-based 
        remote sensing system, such as the unplanned destruction of 
        such system.
    ``(b) Material Change.--The Secretary shall require permit holders 
to inform the Secretary of--
            ``(1) any material changes to the space-based remote 
        sensing system or the planned operations of such system prior 
        to launch; and
            ``(2) any material anomalies or departures from the planned 
        operations during the course of operations.
    ``(c) Update to Permit.--Not later than 14 days after the date of 
receipt of information regarding a material change pursuant to 
subsection (b), the Secretary shall make a determination of whether 
such material change is substantial enough to warrant additional review 
under section 80202(b). Not later than 90 days after a determination 
that such review is warranted, the Secretary shall complete a similar 
such review process for such material change as is required for a 
permit applicant under such section.
``Sec. 80204. Permit transfer
    ``(a) In General.--Subject to subsections (b) and (c), the 
Secretary shall provide for the transfer of a permit under this chapter 
from the permit holder to another person to continue the operations 
allowed under such permit.
    ``(b) Transfer Request Requirements.--To be eligible for a transfer 
under subsection (a), the permit holder shall submit to the Secretary a 
request that includes any identifying information regarding the 
transferee that would be required under an initial application under 
section 80202.
    ``(c) Determination.--Not later than 14 days after the date on 
which the Secretary receives a transfer request pursuant to subsection 
(b), the Secretary shall make a determination of whether such material 
change is substantial enough to warrant additional review under section 
80202(b). Not later than 90 days after a determination that such review 
is warranted, the Secretary shall complete a similar such review 
process for such transferee as is required for a permit applicant under 
such section.
    ``(d) Material Change.--Any transfer of a permit under this chapter 
constitutes a material change under section 80203(b).
``Sec. 80205. Agency activities
    ``(a) Utilization of Federal Government Vehicle.--A person may 
apply for a permit to operate a space-based remote sensing system that 
utilizes, on a space-available basis, a civilian Federal Government 
satellite or vehicle as a platform for such system. The Secretary, 
pursuant to this chapter, may permit such system if it meets all 
conditions of this chapter.
    ``(b) Assistance.--The Secretary may offer assistance to persons in 
finding appropriate opportunities for the utilization described in 
subsection (a).
    ``(c) Agreements.--To the extent provided in advance by 
appropriation Acts, an agency may enter into an agreement for the 
utilization described in subsection (a) if such agreement is consistent 
with the agency's mission and statutory authority, and if the space-
based remote sensing system is issued a permit by the Secretary under 
this chapter before commencing operation.
``Sec. 80206. Annual reports
    ``(a) In General.--The Secretary shall submit a report to the 
Committee on Commerce, Science, and Transportation of the Senate and 
the Committee on Science, Space, and Technology of the House of 
Representatives not later than 180 days after the date of enactment of 
the American Space Commerce Free Enterprise Act of 2017, and annually 
thereafter, on--
            ``(1) the Secretary's implementation of this chapter, 
        including--
                    ``(A) a list of all applications received in the 
                previous calendar year;
                    ``(B) a list of all applications that resulted in a 
                permit;
                    ``(C) a list of all applications denied and an 
                explanation of why each application was denied, 
                including any information relevant to the adjudication 
                process of a request for a permit;
                    ``(D) a list of all applications that required 
                additional information; and
                    ``(E) a list of all applications whose disposition 
                exceeded the 90-day deadline, the total days overdue 
                for each application that exceeded such deadline, and 
                an explanation for the delay; and
            ``(2) a description of all actions taken by the Secretary 
        under the administrative authority granted by section 80301.
    ``(b) Classified Annexes.--Each report under subsection (a) may 
include classified annexes as necessary to protect the disclosure of 
sensitive or classified information.
``Sec. 80207. Advisory Committee on Commercial Remote Sensing
    ``(a) Establishment.--The Secretary shall establish an Advisory 
Committee on Commercial Remote Sensing (in this section referred to as 
the `Committee') consisting of 15 members who shall be appointed by the 
Secretary.
    ``(b) Chair.--The Committee shall designate one member as the chair 
of the Committee.
    ``(c) Membership.--
            ``(1) Limitation.--Members of the Committee may not be 
        Federal Government employees or officials.
            ``(2) Travel expenses.--Members of the Committee shall 
        receive travel expenses, including per diem in lieu of 
        subsistence, in accordance with the applicable provisions under 
        subchapter I of chapter 57 of title 5.
    ``(d) Terms.--Each member of the Committee shall serve for a term 
of 4 years and may not serve as a member for the 2-year period 
following the date of completion of each such term.
    ``(e) Duties.--The duties of the Committee shall be to--
            ``(1) provide information, advice, and recommendations on 
        matters relating to the United States commercial space-based 
        remote sensing industry;
            ``(2) analyze the effectiveness and efficiency of the 
        implementation of the space-based remote sensing system 
        permitting process under this chapter;
            ``(3) provide recommendations to the Secretary and Congress 
        on how the United States can facilitate and promote a robust 
        and innovate private sector that is investing in, developing, 
        and operating space-based remote sensing systems;
            ``(4) identify any challenges the United States private 
        sector is experiencing with the authorization and supervision 
        of the operation of space-based remote sensing systems under 
        this chapter; and
            ``(5) provide information, advice, and recommendations on 
        matters related to the authority of the Secretary under this 
        chapter or to private sector space activities authorized 
        pursuant to this chapter that the Committee determines 
        necessary.
    ``(f) Annual Report.--The Committee shall submit to Congress, the 
President, the Secretary, and the Director of the Office of Space 
Commerce, an annual report that includes the information, analysis, 
findings, and recommendations described in subsection (e).
    ``(g) Sunset.--The Committee shall terminate on the date that is 10 
years after the date on which the Committee is established.
``Sec. 80208. Continuation of existing license or pending application
    ``(a) Continuation of Existing License.--Any United States entity 
for whom a license for the operation of a space-based remote sensing 
system issued under subchapter III of chapter 601 that is valid on the 
effective date of this section may--
            ``(1) elect to be immediately considered permitted for 
        operation under this chapter, in which case all terms and 
        conditions of a license issued under such subchapter with 
        respect to the operation of such system shall apply for the 
        duration of the license; or
            ``(2) apply for a permit for operation under this chapter 
        and may continue to operate pursuant to such license until such 
        time as such permit is issued.
    ``(b) Rescind or Transfer of Pending License.--An applicant with an 
application for a remote sensing license under subchapter III of 
chapter 601 that is pending on the effective date of this section may 
be, at the election of the applicant--
            ``(1) rescinded without prejudice; or
            ``(2) transferred to the Office of Space Commerce and 
        deemed to be a pending application for a permit under this 
        chapter.
    ``(c) Effective Date.--This section shall take effect on the date 
that is 1 year after the date of enactment of the American Space 
Commerce Free Enterprise Act of 2017.
``Sec. 80209. Commercial Remote Sensing Regulatory Affairs Office
    ``On the date that is 1 year after the date of enactment of the 
American Space Commerce Free Enterprise Act of 2017, the Commercial 
Remote Sensing Regulatory Affairs Office of the National Oceanic and 
Atmospheric Administration is abolished.''.

SEC. 5. ADMINISTRATIVE PROVISIONS RELATED TO CERTIFICATION AND 
              PERMITTING.

    Title 51, United States Code, is further amended by adding at the 
end the following:

 ``CHAPTER 803--ADMINISTRATIVE PROVISIONS RELATED TO CERTIFICATION AND 
                               PERMITTING

``Sec.
``80301. Administrative authority.
``80302. Consultation.
``80303. Appeal of denial or condition of certification or permit.
``80304. Exclusive authority for determination of international 
                            obligations.
``80305. Limitation on certain agency supervision.
``80306. Commercial exploration and use of outer space.
``80307. Rule of construction on concurrent application submission.
``80308. Federal jurisdiction.
``80309. Global commons.
``80310. Regulatory authority.
``80311. Consultation with relevant agencies.
``80312. Authorization of appropriations.
``Sec. 80301. Administrative authority
    ``(a) Functions.--In order to carry out the responsibilities 
specified in this subtitle, the Secretary may--
            ``(1) seek an order of injunction or similar judicial 
        determination from a district court of the United States with 
        personal jurisdiction over the certification or permit holder 
        to terminate certifications or permits under this subtitle and 
        to terminate certified or permitted operations on an immediate 
        basis, if the Secretary determines that the certification or 
        permit holder has substantially failed to comply with any 
        provisions of this subtitle, or with any terms of a 
        certification or permit;
            ``(2) provide for civil penalties not to exceed $10,000 
        (each day of operation constituting a separate violation) and 
        not to exceed $500,000 in total, for--
                    ``(A) noncompliance with the certification or 
                permitting requirements or regulations issued under 
                this subtitle; or
                    ``(B) the operation of a space object or space-
                based remote sensing system without the applicable 
                certification or permit issued under this subtitle;
            ``(3) compromise, modify, or remit any such civil penalty;
            ``(4) seize any object, record, or report, or copies of 
        materials, documents, or records, pursuant to a warrant from a 
        magistrate based on a showing of probable cause to believe that 
        such object, record, or report was used, is being used, or is 
        likely to be used in violation of this subtitle or the 
        requirements of a certification or permit or regulation issued 
        thereunder; and
            ``(5) make investigations and inquiries concerning any 
        matter relating to the enforcement of this subtitle.
    ``(b) Review of Agency Action.--Any holder of, or applicant for, a 
certification or a permit who makes a timely request for review of an 
adverse action pursuant to paragraph (2) or (4) of subsection (a) shall 
be entitled to adjudication by the Secretary on the record after an 
opportunity for any agency hearing with respect to such adverse action. 
Any final action by the Secretary under this subsection shall be 
subject to judicial review under chapter 7 of title 5, as provided in 
section 80303 of this chapter.
    ``(c) No Cost for Certification or Permit.--The Secretary may not 
impose a fee or other cost on a holder of, or applicant for--
            ``(1) a certification under chapter 801; or
            ``(2) a permit under chapter 802.
    ``(d) No Authority To Set Conditions.--The Secretary may not impose 
a substantive condition on, or any other requirement for, the issuance 
of a certification or permit except as specifically provided in this 
subtitle.
    ``(e) FOIA Exemption.--Paragraph (3) of section 552(b) of title 5 
shall apply with respect to any filing relating to a certification or a 
permit under this subtitle.
    ``(f) Limitation on Exceptions to Administrative Procedures.--The 
exceptions under section 553(a)(1), section 553(b)(B), or section 
554(a)(4) of title 5 shall not apply with respect to a certification or 
permit under this subtitle.
``Sec. 80302. Consultation
    ``(a) Sense of Congress.--It is the sense of the Congress that--
            ``(1) the United States Government has assets in Earth 
        orbit critical to national security, scientific research, 
        economic growth, and exploration;
            ``(2) such assets represent a considerable investment of 
        United States taxpayers; and
            ``(3) it is in the national interest of the United States 
        to facilitate opportunities to provide for the protection of 
        such assets.
    ``(b) Review.--Not later than 30 days after the Secretary issues a 
certification under chapter 801, the Secretary shall review the 
operations of any space objects covered by the certification to 
determine whether the interaction between such operations and the 
operations of a Federal Government space object present a substantial 
risk to the physical safety of a space object operated by either party.
    ``(c) Requirement To Participate in Consultation.--If the Secretary 
makes a determination that a substantial risk identified under 
subsection (b) exists, the Secretary may require that the certification 
holder participate in a consultation under this section.
    ``(d) Parties to a Consultation.--
            ``(1) In general.--A consultation under this section may be 
        held, with respect to a substantial safety risk identified 
        under subsection (b), between--
                    ``(A) a certification holder responsible for the 
                certified space object operations; and
                    ``(B) any entity of the Federal Government 
                operating a potentially affected space object.
            ``(2) Participation.--The Secretary may not impose any 
        requirement on a party pursuant to participation in the 
        consultation.
    ``(e) Mitigation of Safety Risk.--In carrying out a consultation, 
the Secretary shall--
            ``(1) facilitate a discussion among the parties to the 
        consultation;
            ``(2) encourage a mutual understanding of the safety risk; 
        and
            ``(3) encourage, to the maximum extent practicable, 
        voluntary agreements between the parties to the consultation to 
        improve the physical safety of affected space object operations 
        or mitigate the physical safety risk.
    ``(f) Duration of Consultation; Notice.--Not later than 90 days 
after the Secretary requires a consultation under this section, the 
Secretary shall--
            ``(1) complete all activities related to the consultation; 
        and
            ``(2) submit to Congress a written notification with 
        respect to such consultation, that includes--
                    ``(A) the names of each party to the consultation;
                    ``(B) a description of the physical safety risk at 
                issue;
                    ``(C) whether any voluntary agreement was made by 
                the parties; and
                    ``(D) the content of any such agreement.
    ``(g) Rule of Construction.--Nothing in this section shall be 
construed to grant any additional authority to the Secretary to 
regulate, or place conditions on, any activity for which a 
certification or permit is required under this subtitle.
``Sec. 80303. Appeal of denial or condition of certification or permit
    ``An applicant who is denied a certification under section 
80103(b)(2)(B), an applicant who is denied a permit under section 
80202(b)(2)(B), or an applicant whose certification or permit is 
conditioned pursuant to section 80103(c) or section 80202(c), 
respectively, may appeal the denial or placement of a condition to the 
Secretary. The Secretary shall affirm or reverse the denial or 
placement of a condition after providing the applicant notice and an 
opportunity to be heard. The Secretary shall dispose of the appeal not 
later than 60 days after the appeal is submitted. If the Secretary 
denies the appeal, the applicant may seek review in the United States 
Court of Appeals for the District of Columbia Circuit or in the court 
of appeals of the United States for the circuit in which the person 
resides or has its principal place of business.
``Sec. 80304. Exclusive authority for determination of international 
              obligations
    ``Except for the Secretary as authorized by this subtitle, no 
agency may impose a requirement or make a finding with regard to an 
international obligation of the United States pertaining to a 
nongovernmental entity of the United States under the Outer Space 
Treaty relating to--
            ``(1) the operation of a space object certified under 
        chapter 801; and
            ``(2) the carrying out of a space debris mitigation plan of 
        a space object for which a certification was issued under 
        chapter 801.
``Sec. 80305. Limitation on certain agency supervision
    ``(a) In General.--Not later than 1 year after the date of 
enactment of the American Space Commerce Free Enterprise Act of 2017, 
no other agency shall have the authority to authorize, place conditions 
on, or supervise the operation of space objects required to be 
certified under chapter 801 or space-based remote sensing systems 
required to be permitted under chapter 802 except--
            ``(1) the Department of Transportation with respect to 
        launch or reentry vehicle operations licensed under chapter 
        509; and
            ``(2) the Federal Communications Commission with respect to 
        space stations licensed under the Communications Act of 1934 
        (47 U.S.C. 151 et seq.).
    ``(b) Agreement Limitations.--Nothing in this section shall be 
construed to prevent an agency from including additional terms, 
conditions, limitations, or requirements, consistent with applicable 
provisions of law, beyond those required in this subtitle in a contract 
or other agreement with--
            ``(1) the holder of a certification under chapter 801 for 
        the operation of the applicable space object; or
            ``(2) the holder of a permit under chapter 802 for the 
        operation of the applicable space-based remote sensing system.
``Sec. 80306. Commercial exploration and use of outer space
    ``To the maximum extent practicable, the President, acting through 
appropriate Federal agencies, shall interpret and fulfill international 
obligations, including under the covered treaties on outer space, to 
minimize regulations and limitations on the freedom of United States 
nongovernmental entities to explore and use space.
``Sec. 80307. Rule of construction on concurrent application submission
    ``Nothing in this subtitle shall be construed to prevent an 
applicant from submitting to the Secretary concurrent applications for 
a certification under chapter 801 and a permit under chapter 802. The 
Secretary shall provide for applications under chapter 801 and chapter 
802 to be filed concurrently or at different times, at the discretion 
of the applicant. To the maximum extent practicable, the Secretary 
shall avoid duplication of information required in concurrently filed 
applications.
``Sec. 80308. Federal jurisdiction
    ``The district courts shall have original jurisdiction, exclusive 
of the courts of the States, of any civil action resulting from the 
operation of a space object for which a certification or permit is 
required under this subtitle.
``Sec. 80309. Global commons
    ``Notwithstanding any other provision of law, outer space shall not 
be considered a global commons.
``Sec. 80310. Regulatory authority
    ``(a) In General.--The Secretary shall issue such regulations as 
are necessary to carry out this subtitle.
    ``(b) Reducing Regulatory Burden.--In issuing regulations to carry 
out this subtitle, the Secretary shall avoid, to the maximum extent 
practicable, the placement of inconsistent, duplicative, or otherwise 
burdensome requirements on the operations of United States 
nongovernmental entities in outer space.
``Sec. 80311. Consultation with relevant agencies
    ``(a) In General.--Subject to subsection (b), the Secretary shall, 
as the Secretary considers necessary, consult with the heads of other 
relevant agencies in carrying out this subtitle.
    ``(b) Exclusive Authority of the Secretary.--The consultation 
authority provided by subsection (a) shall not be interpreted to alter 
the exclusive authority of the Secretary to authorize, place conditions 
on, and supervise the operation of space objects under chapter 801 and 
space-based remote sensing systems under chapter 802, as provided in 
and subject to the limitations of section 80305.
``Sec. 80312. Authorization of appropriations
    ``There are authorized to be appropriated $5,000,000 to the Office 
of Space Commerce for fiscal year 2018 to carry out this subtitle.''.

SEC. 6. TECHNICAL AND CONFORMING AMENDMENTS.

    (a) Table of Chapters.--The table of chapters of title 51, United 
States Code, is amended by adding at the end the following:

``Subtitle VIII--Authorization and Supervision of Nongovernmental Space 
                               Activities

``801. Certification to Operate Space Objects...............     80101 
``802. Permitting of Space-Based Remote Sensing                  80201 
                            Systems.
``803. Administrative Provisions Related to Certification      80301''.
                            and Permitting.
    (b) Repeals.--
            (1) In general.--Title 51, United States Code, is amended 
        as follows:
                    (A) Subchapter III of chapter 601 is repealed.
                    (B) Section 60147 is repealed.
                    (C) The table of sections for chapter 601 is 
                amended by striking the item relating to section 60147.
                    (D) The table of sections for chapter 601 is 
                amended by striking the items relating to subchapter 
                III.
            (2) Effective date.--The amendments made by paragraph (1) 
        shall take effect on the date that is 1 year after the date of 
        enactment of this Act.
    (c) Technical Corrections.--
            (1) In general.--Title 51, United States Code, is amended--
                    (A) in section 20302(c)(2), by striking ``means has 
                the meaning'' and inserting ``has the meaning'';
                    (B) in section 50702(c)(5), by striking ``Space-
                Based Position'' and inserting ``Space-Based 
                Positioning''; and
                    (C) in section 71102(1), by striking ``tracking 
                device'' and inserting ``tracking device to''.
            (2) Chapter 513.--The table of chapters of title 51, United 
        States Code, is amended by striking the item related to chapter 
        513 and inserting the following:

``513. Space Resource Commercial Exploration and Utilization   51301''.
            (3) Chapter 701.--The table of chapters of title 51, United 
        States Code, is amended by striking the item related to chapter 
        701 and inserting the following:

``701. Use of Space Launch System or Alternatives...........   70101''.

SEC. 7. OFFICE OF SPACE COMMERCE.

    Section 50702 of title 51, United States Code, is amended--
            (1) in subsection (a), by adding at the end before the 
        period ``, which shall be located in the principal physical 
        location of the Office of the Secretary of Commerce'';
            (2) in subsection (b), by striking ``a senior executive and 
        shall be compensated at a level in the Senior Executive Service 
        under section 5382 of title 5 as determined by the Secretary of 
        Commerce'' and inserting ``appointed by the President and 
        confirmed by the Senate. The Director shall be the Assistant 
        Secretary of Commerce for Space Commerce and shall report 
        directly to the Secretary of Commerce''; and
            (3) in subsection (c)--
                    (A) in paragraph (4), by striking ``and'' at the 
                end;
                    (B) in paragraph (5), by striking the period at the 
                end and inserting a semicolon; and
                    (C) by adding at the end the following:
            ``(6) to authorize and supervise the operations of United 
        States nongovernmental entities in outer space, pursuant to 
        chapter 801 of this title;
            ``(7) to authorize and supervise the operations of space-
        based remote sensing systems pursuant to chapter 802 of this 
        title; and
            ``(8) to facilitate and promote the development of best 
        practices among operators of space objects and space-based 
        remote sensing systems under this subtitle to address 
        substantial risks to the physical safety of Federal Government 
        space objects, including the risk of on-orbit collisions.''.

SEC. 8. RESTRICTION ON PREVENTING LAUNCHES AND REENTRIES OF CERTIFIED 
              SPACE OBJECTS.

    Section 50904(c) of title 51, United States Code, is amended by 
adding at the end the following: ``No launch or reentry may be 
prevented under this authority on the basis of national security, 
foreign policy, or international obligations of the United States, 
including under the covered treaties on outer space (as defined in 
section 80101) if the payload has received a certification to operate 
as a space object under chapter 801.''.

SEC. 9. REPORT ON REGISTRATION OF SPACE OBJECTS.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Secretary of Commerce, acting through the Office of 
Space Commerce and in consultation with the Private Space Activity 
Advisory Committee established under section 80109 of title 51, United 
States Code, shall submit to the Committee on Science, Space, and 
Technology of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate a report on the 
implementation of the space object registration obligations of the 
United States and other countries under Article VIII of the Outer Space 
Treaty and the Convention on Registration of Space Objects.
    (b) Contents of Report.--The report required under subsection (a) 
shall include--
            (1) an identification of the practices and procedures among 
        countries that are members of the Outer Space Treaty and the 
        Convention on Registration of Space Objects in implementing and 
        complying with the registration obligations contained in the 
        treaties;
            (2) a description of any existing practices and procedures 
        of the Federal Government for the registration of 
        nongovernmental space objects; and
            (3) recommendations on how the registration of space 
        objects in the United States could be improved to benefit the 
        United States, including enabling United States leadership in 
        commercial space activities.

SEC. 10. COMPTROLLER GENERAL REPORT.

    Not later than 180 days after the date of enactment of this Act, 
the Comptroller General of the United States shall submit to Congress a 
report on removing the Office of Commercial Space Transportation from 
under the jurisdiction of the Federal Aviation Administration and 
reestablishing the Office under the jurisdiction of the Secretary of 
Transportation. Such report shall include--
            (1) the identification of key practices for successful 
        organizational transitions;
            (2) the advantages and disadvantages of the removal and 
        reestablishment with respect to the ability of the Office to 
        continue to coordinate and communicate with Federal Aviation 
        Administration on airspace issues; and
            (3) the identification of any issues that are preventing 
        the Office from fully carrying out its statutory mandate, and 
        if such issues would persist regardless of organizational 
        location of the Office within the Department of Transportation.
                                                 Union Calendar No. 498

115th CONGRESS

  2d Session

                               H. R. 2809

                          [Report No. 115-649]

_______________________________________________________________________

                                 A BILL

To amend title 51, United States Code, to provide for the authorization 
  and supervision of nongovernmental space activities, and for other 
                               purposes.

_______________________________________________________________________

                             April 24, 2018

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed