[Senate Report 104-155]
[From the U.S. Government Publishing Office]




   104th Congress 1st            SENATE                 Report
         Session
                                                       104-155
_______________________________________________________________________



                                                       Calendar No. 204

 
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION AUTHORIZATION ACT, FISCAL 
                               YEAR 1996

                               __________

                              R E P O R T

                                 OF THE

           COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION

                                   on

                                S. 1048



                                     

 October 11 (legislative day, October 10), 1995.--Ordered to be printed
       SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
                      One Hundred Fourth Congress
                             first session

  LARRY PRESSLER, South Dakota, 
             Chairman
ERNEST F. HOLLINGS, South Carolina   BOB PACKWOOD, Oregon
DANIEL K. INOUYE, Hawaii             TED STEVENS, Alaska
WENDELL H. FORD, Kentucky            JOHN McCAIN, Arizona
J. JAMES EXON, Nebraska              CONRAD BURNS, Montana
JOHN D. ROCKEFELLER IV, West VirginiaSLADE GORTON, Washington
JOHN F. KERRY, Massachusetts         TRENT LOTT, Mississippi
JOHN B. BREAUX, Louisiana            KAY BAILEY HUTCHISON, Texas
RICHARD H. BRYAN, Nevada             OLYMPIA SNOWE, Maine
BYRON L. DORGAN, North Dakota        JOHN ASHCROFT, Missouri
  Patric G. Link, Chief of Staff
Kevin G. Curtin, Democratic Chief 
    Counsel and Staff Director

                                  (ii)
                                                       Calendar No. 204
104th Congress                                                   Report
                                 SENATE

 1st Session                                                    104-155
_______________________________________________________________________



NATIONAL AERONAUTICS AND SPACE ADMINISTRATION AUTHORIZATION ACT, FISCAL 
                               YEAR 1996

                                _______


 October 11 (legislative day, October 10), 1995.--Ordered to be printed

_______________________________________________________________________


      Mr. Pressler, from the Committee on Commerce, Science, and 
                Transportation, submitted the following

                              R E P O R T

                         [To accompany S. 1048]

    The Committee on Commerce, Science, and Transportation, to 
which was referred the bill (S. 1048) ``A Bill to authorize 
appropriations for fiscal year 1996 to the National Aeronautics 
and Space Administration for human space flight; science, 
aeronautics, and technology; mission support; and Inspector 
General; and for other purposes'', having considered the same, 
reports favorably thereon with an amendment in the nature of a 
substitute and recommends that the bill as amended do pass.

                          Purpose of the Bill

  The purpose of the bill is to authorize appropriations to the 
National Aeronautics and Space Administration (NASA) totalling 
$13,779,800,000 for fiscal year (FY) 1996 as follows:

------------------------------------------------------------------------
                                                           Committee    
         Fiscal year 1996             Budget request     authorization  
------------------------------------------------------------------------
Human space flight................     $5,509,600,000     $5,272,800,000
Science, aeronautics, and                                               
 technology.......................      6,006,900,000      6,049,900,000
Mission support...................      2,726,200,000      2,439,800,000
Inspector general.................         17,300,000         17,300,000
------------------------------------------------------------------------

                          Background and Needs

  NASA is the world's premier space agency. Since its creation 
in 1958, NASA has successfully managed a broad range of 
research, development, and flight activities in aeronautics and 
space. With current Congressional efforts to balance the budget 
and reduce the federal debt, NASA is faced with two challenges. 
The first is to maintain America's aerospace leadership. The 
second is to accomplish this leadership goal within the 
confines of a balanced federal budget. To its credit, NASA 
began the year with an aggressive plan to meet both challenges. 
It developed a plan to cut $5 billion over five years, while 
still maintaining core aeronautics and space functions. 
However, later in the year, Congress developed a budget 
resolution which assumed even deeper cuts for the agency, 
particularly in the near term. This added budget pressure has 
forced an indepth comprehensive review of NASA's entire 
operation, including its huge civil servant and contractor 
workforce and its massive infrastructure of field centers. This 
review also embraces the Space Shuttle program, where cost 
cutting is often more problematic because of concerns relating 
to Shuttle crew safety. The effort to streamline the agency is 
made more complicated by the fact that NASA is embarking on one 
of the most complex and expensive missions in its history--the 
Space Station--and the Space Shuttle will soon be asked to 
satisfy unprecedented launch demands in order to assemble the 
Space Station.
  To meet successfully these new budget and program challenges, 
NASA cannot settle for changes at the margin, but must reassess 
its traditional ways of doing business. In carrying out its 
goals and missions, NASA will need to make more use of cost-
sharing partnerships with industry, academia, and non-federal 
entities as well as with other spacefaring nations. The agency 
will also need to explore the possibilities of privatizing 
those activities that can be more cost-effectively performed by 
the private sector and of purchasing goods and services on a 
commercial basis when appropriate. Equally important, in 
justifying its budget, NASA must make special efforts to ensure 
that its missions and programs are relevant, not just to the 
narrow group of individuals and interests directly involved, 
but to the general public. For instance, the global climate 
change research of Mission to Planet Earth, if managed 
properly, has the potential to make enormous impacts in the 
work of real people in such diverse areas as agriculture, 
forestry, mineral exploration, water resource management, and 
land use planning.
  Notwithstanding this new budget environment, NASA requires a 
certain minimal level of funding to plan and carry out the 
space activities that define the agency. Funding must be 
sufficient to support core ongoing programs as well as new 
initiatives to address future aerospace needs. This 
authorization legislation for FY 1996 is intended to provide 
the agency with the funding and policy guidance necessary to 
maintain a robust and balanced space program in this 
environment.

                          Legislative History

  On February 6, 1995, the Administration submitted its FY 1996 
budget request for NASA to the Congress. The Subcommittee on 
Science, Technology, and Space held four oversight hearings on 
the NASA budget request and related policy matters. On March 1, 
the Subcommittee held a hearing on the FY 1996 budget and 
programs of NASA, the Office of Commercial Space Transportation 
(OCST) of the Department of Transportation (DOT), and the 
Office of Air and Space Commercialization (OASC) of the 
Department of Commerce at which testimony was heard from NASA 
Administrator Daniel Goldin, OCST Director Frank Weaver, and 
OASC Director Keith Calhoun-Senghor. On May 16, the 
Subcommittee held a hearing on NASA's Space Shuttle program and 
its proposed Reusable Launch Vehicle initiative. Testimony was 
heard from Wayne Littles, Associate Administrator, NASA Office 
of Space Flight; John E. Mansfield, Associate Administrator, 
NASA Office of Space Access and Technology; and representatives 
from the American Institute of Aeronautics and Astronautics, 
NASA's Aerospace Advisory Panel, and George Washington 
University's Space Policy Institute. On May 23, the 
Subcommittee held a hearing on the International Space Station 
program. At that hearing, Associate Administrator Wayne Littles 
again testified before the Subcommittee, along with a separate 
panel of outside witnesses representing the Congressional 
Research Service, the National Space Society, the Space 
Transportation Association, and the Space Science Working Group 
of the Association of American Universities. Finally, on June 
13, the Subcommittee held a hearing on NASA's Mission to Planet 
Earth program, receiving testimony from Charles Kennel, 
Associate Administrator, NASA Mission to Planet Earth, and 
various representatives of the civilian user community for 
remote sensing satellite data.
  On July 19, Chairman Pressler, along with Senator Burns, 
introduced S. 1048, a bill to authorize appropriations for NASA 
for FY 1996. On July 20, the Committee met in open executive 
session and, on a voice vote, ordered the bill reported with an 
amendment in the nature of a substitute. The amendment includes 
provisions authorizing appropriations for FY 1996 for NASA and 
OCST and making changes in OCST's organic act that would expand 
that office's existing licensing authority over U.S. commercial 
launches to cover other types of commercial space activities.

                      Summary of Major Provisions

  For FY 1996, the bill, as reported, authorizes a total of 
$13,779,800,000 for NASA and $7,000,000 for DOT's OSCT.
  The $13,779,800,000 authorized for NASA is allocated among 
its major accounts as follows: $5,272,800,000 for Human Space 
Flight, $6,049,900,000 for Science, Aeronautics, and 
Technology; $2,439,800,000 for Mission Support, and $17,300,000 
for the Office of the Inspector General.

     SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION NASA BUDGET SPREAD SHEET FOR FISCAL YEAR 1996    
                                    [By fiscal year, in millions of dollars]                                    
----------------------------------------------------------------------------------------------------------------
                                                                       Proposed                                 
                                         Fiscal year   Fiscal year   fiscal year                                
                                            1995           1996      1996 Senate              Comments          
                                       appropriations    request    authorization                               
----------------------------------------------------------------------------------------------------------------
I. Human space flight................        5,514.9       5,509.6       5,272.8                                
    1. Space station.................        1,889.6       1,818.8       1,818.8                                
        Construction of facilities--            20.2          14.8          14.8                                
         Neutral buoyancy laboratory.                                                                           
    2. US/Russian Cooperative Program          150.1         129.2         129.2                                
    3. Space shuttle.................        3,155.1       3,271.8       3,031.8   Shuttle goes to single       
                                                                                    contractor; Zero Based      
                                                                                    Review [ZBR] process yields 
                                                                                    $100m in savings and        
                                                                                    unspecified reductions yield
                                                                                    $40m.                       
        ASRM (Iuka, MS)..............                         60.0           0.0   $60m left over from ASRM     
                                                                                    cancellation is eliminated. 
        Construction of facilities...           12.3          17.4          17.4                                
            Modernize firex system,              4.8           5.0           5.0                                
             pads A and B.                                                                                      
            Replace space shuttle                              4.9           4.9                                
             main engine processing                                                                             
             facility.                                                                                          
            Replace chemical analysis                          7.5           7.5                                
             facility.                                                                                          
    4. Payload and utilization                 320.1         315.0         293.0                                
     operations.                                                                                                
        Spacelab.....................           98.6          97.0          97.0                                
        Tethered satellite system....            7.4           3.8           3.8                                
        Payload processing and                  36.3          30.3          30.3                                
         support.                                                                                               
        Advanced projects............           12.2          12.2           7.2   Low priority activity to be  
                                                                                    cut by $5m.                 
        Engineering and technical              165.6         171.7         154.7   ZBR derived savings of 10%.  
         base.                                                                      ($17m).                     
II. Science, aeronautics, and                5,943.6       6,006.9       6,049.9                                
 technology.                                                                                                    
    1. Space science.................        2,012.6       1,958.9       1,958.9                                
        A. Physics and astronomy.....        1,195.5       1,131.1       1,131.1                                
            AXAF.....................          234.3         237.6         237.6                                
            Gravity Probe-B..........           50.0          51.5           0.0   NASA conditioned GP-B funding
                                                                                    on pending review.          
            Global geospace science             40.0           5.4           5.4                                
             (Wind/Polar).                                                                                      
            Payload and instrument              53.9          33.1          33.1                                
             development.                                                                                       
            Explorers................          120.4         129.2         129.2                                
            Mission operations and             432.4         428.6         428.6                                
             data analysis.                                                                                     
            Research and analysis....           75.4          90.4          90.4                                
                Space infrared                                15.0          15.0                                
                 telescope facility                                                                             
                 [SIRTF] definition.                                                                            
            Suborbital Program.......           67.2         106.7         106.7                                
                SOFIA................                         48.7          48.7                                
            Information systems......           26.1          25.9          25.9                                
            Launch services..........           95.8          74.2          74.2                                
        B. Planetary exploration.....          817.1         827.8         827.8                                
            Cassini..................          255.0         191.5         191.5                                
            Mars instruments.........            2.1           1.4           1.4                                
            Discovery Program........          129.7         103.8         103.8                                
                Lunar prospector.....                         36.6          36.6                                
            Mars surveyor............           59.4         108.5         108.5                                
                Mars global surveyor            58.0          58.2          58.2                                
                 spacecraft.                                                                                    
                Future Mars missions.            1.4          50.3          50.3                                
            New Millennium Spacecraft           10.5          30.0          30.0                                
             Program.                                                                                           
            Mission operations and             117.2         127.8         127.8                                
             data analysis.                                                                                     
            Research and analysis....          108.4         109.1         109.1                                
            Launch services..........          134.8         155.7         155.7                                
    2. Life and microgravity sciences          483.1         504.0         507.0                                
     and applications.                                                                                          
        Construction of facilities--                           3.0           3.0                                
         addition to microgravity lab                                                                           
         (MSFC).                                                                                                
    3. Mission to Planet Earth.......        1,340.1       1,341.1       1,360.1                                
        EOS..........................          591.1         591.1         591.1                                
            EOS-AM series............          260.8         202.2         202.2                                
            EOS-PM series............           88.8         127.3         127.3                                
            Chemistry spacecraft.....           10.3          27.7          27.7                                
            Special spacecraft.......           85.5          69.7          69.7                                
            Algorithm development....           58.3          85.4          85.4                                
            Landsat 7................           87.4          78.8          78.8                                
        EOSDIS.......................          230.6         289.8         289.8                                
        Earth probes.................           81.6          36.9          36.9                                
            NASA scatterometer                  15.4           3.9           3.9                                
             (NSCAT).                                                                                           
            TOMS.....................           14.9           8.5           8.5                                
            TRMM.....................           51.3          24.5          24.5                                
            TopSat (radar satellite).                         15.0          15.0   $15m is included to begin    
                                                                                    phase A and B studies for   
                                                                                    new radar satellite program.
        Payload and instrument                  19.5           4.9           4.9                                
         development.                                                                                           
        Applied research and data              344.3         308.4         318.4                                
         analysis.                                                                                              
            MTPE science.............          227.8         209.9         219.9                                
                Upper Plains States'                          10.0          10.0   $10m is included for this    
                 Hydrology Research                                                 scientific investigation,   
                 Program.                                                           which is part of the GEWEX  
                                                                                    Program.                    
            Operations, data                   116.5          98.5          98.5                                
             retrieval and storage.                                                                             
                CIESIN...............            6.0           6.0           0.0   CIESIN is not essential to   
                                                                                    NASA mission (non-NASA);    
                                                                                    finding is eliminated ($6m).
                Ocean color data                 1.1           0.4           0.4                                
                 purchase.                                                                                      
        Global observations to                   5.0           5.0           5.0                                
         benefit the environment                                                                                
         [GLOBE].                                                                                               
        EOS launch services..........           48.7          88.0          88.0                                
        Construction of facilities--            17.0          17.0          17.0                                
         Earth System Science                                                                                   
         Building.                                                                                              
    4. Aeronautical Research and               882.0         917.3         891.3                                
     Technology.                                                                                                
        High performance computing              76.1          75.2          49.2   $26m is cut to reflect low   
         and communications.                                                        priority of this activity.  
        Construction of facilities--            22.0           5.4           5.4                                
         aeronautical facilities                                                                                
         revitalization.                                                                                        
    5. Space Access and Technology...          642.4         705.6         766.6                                
        Advanced space transportation          162.1         193.0         186.0                                
            X-33.....................  ..............         49.0          49.0                                
            X-34.....................  ..............         30.0          30.0                                
            RLV Technology and DC-XA   ..............         80.0          80.0                                
             Program.                                                                                           
            Transportation technology  ..............         34.0          27.0                                
             support.                                                                                           
                Solid Propulsion       ..............          7.0           0.0   Low priority post-Challenger 
                 Integrity Program                                                  activity looking at solid   
                 [SPIP].                                                            propulsion; elimination     
                                                                                    yields $7m savings.         
        Spacecraft and remote sensing          144.3         177.5         230.5                                
            Earth applications                  49.8          71.1         141.1   $70m ``plus-up'' is for      
             systems.                                                               reflight of SIR-C.          
            Space and planetary......           50.5          60.1          50.1   Freeze at fiscal year 1995   
                                                                                    level yields savings of     
                                                                                    $10m.                       
            Partnership for next                 5.0           7.0           0.0   Not essential to NASA mission
             generation vehicle                                                     (non-NASA). Elimination     
             (Clean Car).                                                           yields $7m savings.         
        Space processing.............           18.3          18.1          13.1   Low priority. $5m cut (not   
                                                                                    meant to impact CCDS's).    
        Commercial Technology                   45.8          40.4          60.4                                
         Programs.                                                                                              
            Rural technology transfer  ..............          5.0           5.0   Help for states which are    
             and commercialization                                                  primarily rural or sparsely 
             center.                                                                populated ($5m).            
            Special technology         ..............         15.0          15.0   $15m for grants aimed at help
             enhancement grants.                                                    for states which are        
                                                                                    primarily rural or sparsely 
                                                                                    populated).                 
    6. Mission Communication Services          481.2         461.3         461.3                                
    7. Academic Programs.............          102.2         118.7         104.7   Freeze at fiscal year 1995   
                                                                                    level yields savings of     
                                                                                    $19m.                       
        Rural Teacher Resource Center  ..............          1.0           1.0   Help for states which are    
                                                                                    primarily rural or sparsely 
                                                                                    populated ($1m).            
        Aerospace Education Services             6.2           6.3           9.3                                
         Program (AESP).                                                                                        
            Pavilion Regional Science  ..............          3.0           3.0                                
             Outreach Center.                                                                                   
        EPSCoR.......................            4.9           5.9           6.9   Help for states which are    
                                                                                    primarily rural or sparsely 
                                                                                    populated ($1m increase).   
III. Mission support.................        2,589.2       2,726.2       2,439.8                                
    1. Safety reliability and quality           38.7          37.6          37.6                                
     assurance.                                                                                                 
    2. Space Communication Services..          226.5         319.4         219.4                                
        TDRSS Replinishment Program..           42.0         195.8          95.8   $100m savings from deferring 
                                                                                    procurement because of TRW  
                                                                                    challenge of award to Hughes
                                                                                    and possibility of obtaining
                                                                                    service commercially.       
    3. Research and Program                  2,189.0       2,202.8       2,047.8   Savings from elimination of  
     Management.                                                                    unused fiscal year 1995     
                                                                                    buyout funds (yields $108m).
    4. Construction of facilities....          135.0         166.4         135.0   Freeze at fiscal year 1995   
                                                                                    level (yields savings of    
                                                                                    $31.4m).                    
IV. Inspector General................           16.0          17.3          17.3                                
                                      --------------------------------------------                              
      Totals.........................       14,463.7      14,260.0      13,779.8                                
----------------------------------------------------------------------------------------------------------------

                             Space Station

  The reported bill authorizes the full $1,818,800,000 
allocated in the President's FY 1996 budget request for the 
Space Station, but places a ceiling of $2.1 billion on total 
Space Station-related activities. This authorization level 
should permit NASA to maintain its current schedule which calls 
for a first element launch in 1997 and completion of 
construction in the year 2002. The bill also provides the full 
funding for the planned series of seven Shuttle missions to the 
Russian space station Mir between 1995 and 1997. The Shuttle/
Mir missions will help NASA and its international partners 
prepare for the construction of the Space Station.

                             Space Shuttle

  The reported bill authorizes $3,031,800,000 for the Space 
Shuttle program, a $200 million decrease from the President's 
budget request. This level should enable NASA to maintain a 
launch rate of seven flights per year. The $200 million cut 
assumes (a) $140 million in savings based on NASA's ability to 
identify cost savings and efficiencies that will not compromise 
performance or safety as a result of its agency-wide ``zero-
based review'' and its external and internal reviews of the 
Space Shuttle program, and (b) $60 million in savings 
associated with the cancellation of the Advanced Solid Rocket 
Motor program.

                             Space Science

  The reported bill authorizes the full requested level of 
$1,958,900,000 for the Space Science account. The funding level 
will permit a continuation of NASA's ongoing space science 
activities in physics, astronomy, and planetary exploration, 
including the Advanced X-ray Facility (AXAF), the Explorer 
program, the Cassini mission to Saturn, the Discovery program, 
and the Mars Surveyor mission. The bill specifically authorizes 
funding for three new space science initiatives: $48,700,000 
for the Stratospheric Observatory for Infrared Astronomy 
(SOFIA), $15,000,000 for the Space Infrared Telescope Facility 
(SIRTF), and $30,000,000 for the New Millennium program to 
develop microminiature spacecraft. Like the President's FY 1996 
budget request, the bill's Space Science authorization level 
assumes no FY 1996 funding for the Gravity Probe-B program.

             Life and Microgravity Science and Applications

  The reported bill authorizes $507,000,000 for the life and 
microgravity and applications program at NASA. This 
authorization is $3 million above the President's budget 
request, reflecting a specific allocation for the construction 
of an addition to the Microgravity Development Laboratory at 
Marshall Space Flight Center that was requested by NASA. The 
authorized level will support continuation of NASA's ongoing 
research in the space, biological, physical, and chemical 
sciences, and related work in technology development and 
applications.

                        Mission to Planet Earth

  The reported bill authorizes $1,360,100,000 to fully fund 
Mission to Planet Earth, NASA's effort to employ the latest 
satellite technology to understand and predict the global 
climate trends that affect our daily lives. Mission to Planet 
Earth is NASA's contribution to the multiagency U.S. Global 
Change Research Program. The authorized amount assumes full 
funding for each of the program's main components, including 
the Earth Observing System (and Landsat), the Earth Observing 
System Data and Information System, and the Earth Probes.
  The bill's authorization for Mission to Planet Earth also 
includes funding for two new initiatives: $15 million for 
design studies to begin an operational radar satellite program 
at NASA and $10 million for a hydrology study of the Upper 
Missouri River Basin. Because of the importance of the Earth 
Observing System Data and Information System (EOSDIS) to the 
successful collection, management, processing, and 
dissemination of the satellite data from Mission to Planet 
Earth, the bill expressly prohibits any downscaling or 
restructuring of the current baseline plan for EOSDIS. The bill 
also specifically allocates $17 million requested by NASA for 
the construction of the Earth Systems Science Building at the 
Goddard Space Flight Center. Finally, the bill assumes 
elimination of the $6 million requested for the Consortium for 
International Earth Science Information Networks (CIESIN), an 
activity viewed as non-essential and marginally relevant to the 
central goals and objectives of Mission to Planet Earth.

                  Aeronautical Research and Technology

  The reported bill authorizes $891,300,000 for NASA's 
Aeronautical Research and Technology program, a $26 million 
decrease from the requested level. This program is dedicated to 
ensuring U.S. leadership in aeronautics and transferring 
aeronautics technology to industry and government agencies such 
as the Department of Defense and the Federal Aviation 
Administration in order to promote better civilian and military 
aircraft and a safer national air space system. The authorized 
level will support continuation of the baseline program, 
including its subsonic, high-speed, and hypersonic research 
activities. The slight decrease from the requested level 
assumes a $26 million reduction in funding for program 
activities relating to the multiagency High Performance 
Computing and Communications (HPCC) Program. This funding cut 
is unlikely to have any significant adverse impact on either 
NASA or the $1-billion-a-year HPCC program in their ability to 
achieve their respective goals and missions. The bill also 
specifically allocates $5.4 million requested by NASA for the 
modernization of the Unitary Plan Wind Tunnel Complex at the 
Ames Research Center.

                      Space Access and Technology

  The reported bill authorizes $766,600,000 for Space Access 
and Technology, an increase of $61 million over the requested 
level. NASA's Space Access and Technology program is intended 
to stimulate the development of advanced space technologies to 
improve U.S. industrial competitiveness. Of the authorized 
amount, $159 million is authorized for the Reusable Launch 
Vehicle (RLV) program in the President's budget request. The 
RLV program is aimed at developing and flight testing the 
technologies that may lead to the eventual development of a 
replacement for the Space Shuttle.
  The bill also allocates funds for several new programs and 
projects dedicated to maintaining U.S. leadership in aerospace: 
$70 million for a third Shuttle flight for the Shuttle Imaging 
Radar-C; $15 million for Technology Enhancement Grants to 
strengthen the technology base in areas and States that have 
not fully participated in the Nation's aeronautical and space 
programs; and $5 million for the establishment of the first 
NASA Technology Transfer and Commercialization Center to serve 
the Rocky Mountains and Upper Plains States region. To 
partially offset the cost of the new activities, the bill 
assumes the following reductions from the requested levels: $10 
million by freezing the Space and Planetary account at the FY 
1995 level, $7 million by eliminating funding for ``Clean 
Car''-related activities, $5 million by reducing funding for 
the Space Processing account, and $7 million by elimination of 
funding for the Solid Propulsion Integrity Program (SPIP).

                    Mission Communications Services

  The reported bill authorizes Mission Communications Services 
at the President's budget request of $461,300,000. This 
authorized level will provide sufficient support for NASA's 
vast ground- and space-based communications systems which are 
essential to every NASA space mission.

                           Academic Programs

  The reported bill authorizes $104,700,000 for NASA's Academic 
Programs, which is a $19 million cut from the budget request 
but equals the FY 1995 funding level. This funding level should 
continue NASA's major activities in this account. To help 
address the unique requirements of our rural states, the bill 
specifically allocates $3 million for a science education and 
outreach center for the Upper Plains States and $1 million for 
a Rural Teacher Resource Center. Further, it assumes $6.9 
million for the Experimental Program to Stimulate Competitive 
Research (EPSCOR), a $1 million increase over the requested 
level. EPSCOR funds quality research projects in rural states.

               Safety, Reliability, and Quality Assurance

  The reported bill authorizes the President's budget request 
of $37,600,000 for the Safety, Reliability, and Quality 
Assurance programs, which are designed to reduce program risk 
throughout NASA.

                      Space Communications Systems

  The reported bill authorizes $219,400,000 for NASA's Space 
Communications Systems, $100 million less than the President's 
budget request. This account supports the tracking, telemetry, 
data acquisition, and data processing activities for all NASA 
spacecraft. Included among these activities is the Tracking and 
Data Relay Satellite (TDRS) program, which provides operational 
support for NASA and other domestic and international users of 
NASA's Space Network for space communications purposes. The 
$100 million cut assumes a delay in the procurement of the next 
TDRS satellite due to a pending legal challenge by the TRW 
Corporation to the award of that contract to the Hughes 
Corporation and the possibility of privatizing that activity.

                    Research and Program Management

  The reported bill authorizes $2,047,800,000 for the Research 
and Program Management account at NASA, a cut of $155 million 
from the requested level. This account funds the salaries, 
travel expenses, and other administrative expenses for NASA's 
personnel. The $155 million reduction reflects savings of $108 
million from eliminating unused FY 1995 funds intended to 
``buyout'' employees through early retirement and another $47 
million in savings from the implementation of changes suggested 
in NASA's comprehensive ``zero-based review'' of its entire 
operation to identify potential areas of cost savings.

                       Construction of Facilities

  The reported bill authorizes $135,000,000 for the 
Construction of Facilities account to fund the repair and 
upgrade of existing facilities and the construction of new 
facilities. The authorized level freezes spending at the FY 
1995 level, which is $31.4 million below the President's budget 
request for this account. The bill specifically authorizes each 
of the projects for which NASA requested funding, but leaves it 
to NASA's discretion how the total authorization should be 
allocated among them.

                           Inspector General

  The reported bill authorizes the President's budget request 
of $17,300,000 for the Office of the Inspector General, which 
is a statutorily-created independent organization within NASA 
charged with investigating cases of fraud, waste, and abuse at 
the agency.

                           DOT Authorization

  The reported bill authorizes $7,000,000 for DOT's Office of 
Commercial Space Transportation, the federal government agency 
charged with licensing U.S. commercial launches and promoting 
the U.S. commercial launch industry. The bill also makes 
changes in OCST's organic act to expand its licensing authority 
to cover reentry vehicles and in-space transportation 
activities.

                            Estimated Costs

  In accordance with paragraph 11(a) of rule XXVI of the 
Standing Rules of the Senate and section 403 of the 
Congressional Budget Act of 1974, the Committee provides the 
following cost estimate, prepared by the Congressional Budget 
Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                Washington, DC, September 15, 1995.
Hon. Larry Pressler,
Chairman, Committee on Commerce, Science, and Transportation, U.S. 
        Senate, Washington, DC
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 1048, the National 
Aeronautics and Space Administration Act, Fiscal Year 1966.
    Enacting S. 1048 would affect direct spending and could 
affect receipts. Therefore, pay-as-you-go procedures would 
apply to the bill.
    If you wish further details on this estimate, we will be 
pleased to provide them.
            Sincerely,
                                             June E. O'Neill, Director.

               congressional budget office cost estimate

    1. Bill number: S. 1048.
    2. Bill title: National Aeronautics and Space 
Administration Act, Fiscal Year 1966.
    3. Bill status: As ordered reported by the Senate Committee 
on Commerce, Science, and Transportation on July 20, 1995.
    4. Bill purpose: S. 1048 would authorize fiscal year 1996 
appropriations for the National Aeronautics and Space 
Administration (NASA) and for the Office of Commercial Space 
Transportation (OCST) in the Department of Transportation 
(DOT). The bill also would direct NASA to take steps toward 
privatizing space shuttle operations and developing advanced 
radar satellite programs. Other provisions would authorize NASA 
to convey a property known as the Yellow Creek Facility to the 
state of Mississippi without reimbursement and use funds 
authorized for the Human Space Flight program to purchase land 
and facilities for a neutral buoyancy facility. Finally, 
licensing of commercial space launch activities by OCST would 
be expanded to include in-space and reentry vehicles, 
activities, and sites.
    5. Estimated cost to the Federal Government: As shown in 
the following table, S. 1048 would authorize appropriations 
totaling $13.8 billion for 1996. Most of that amount would be 
authorized for NASA; $7 million would be authorized for OCST. 
CBO estimates that conveying property to the state of 
Mississippi without reimbursement would result in direct 
spending of $3 million in 1997 by eliminating offsetting 
receipts that are likely to occur in the absence of such 
conveyance.

----------------------------------------------------------------------------------------------------------------
                                                              1995     1996     1997     1998     1999     2000 
----------------------------------------------------------------------------------------------------------------
                                       SPENDING SUBJECT TO APPROPRIATIONS                                       
                                                                                                                
Spending under current law:                                                                                     
    Budget authority \1\..................................   13,887  .......  .......  .......  .......  .......
    Estimated outlays.....................................   14,610    5,249    1,127       53       21        9
Proposed changes:                                                                                               
    Authorization level...................................  .......   13,787  .......  .......  .......  .......
    Estimated outlays.....................................  .......    8,597    4,250      940  .......  .......
Spending under S. 1048:                                                                                         
    Authorization level \1\...............................   13,887   13,787  .......  .......  .......  .......
    Estimated outlays.....................................   14,610   13,846    5,378      993       21        9
                                                                                                                
                                           ADDITIONAL DIRECT SPENDING                                           
                                                                                                                
Estimated budget authority................................  .......  .......        3  .......  .......  .......
Estimated outlays.........................................  .......  .......        3  .......  .......  .......
----------------------------------------------------------------------------------------------------------------
\1\ The 1995 level is the amount actually appropriated.                                                         

    The budgetary impacts of this bill fall within budget 
functions 250, 400, and 800.
    6. Basis of estimate:
    Spending subject to appropriations.--This estimate assumes 
that the full amounts authorized will be appropriated and that 
outlays will occur at rates consistent with recent trends for 
each agency. The 1996 authorization level of $13.8 billion for 
NASA is $100 million below the agency's 1995 appropriation as 
adjusted for enacted rescissions. The 1996 authorization for 
OCST is $1 million higher than current funding for its 
operations.
    Direct spending and revenues.--Enacting this bill would 
result in a loss of offsetting receipts from the sale of 
surplus property but could generate revenues from the levy of 
civil penalties. Based on information provided by NASA, we 
expect that in the absence of this legislation, the agency 
would follow standard federal practices in disposing of the 
Yellow Creek property, which is no longer needed for agency 
programs. If the property were sold by the General Services 
Administration as surplus property, we estimate that the sale 
would take about one year to complete and would yield about $3 
million in net receipts. CBO estimates that the government 
would forgo such receipts, because NASA has signaled its intent 
to exercise the authority in S. 1048 to convey the property to 
the state.
    CBO estimates that any additional receipts from penalties 
resulting from this bill would be insignificant. DOT has never 
collected a penalty for a violation of the licensing and 
related requirements of the commercial space transportation 
program.
    7. Pay-as-you-go considerations: Section 252 of the 
Balanced Budget and Emergency Deficit Control Act of 1985 sets 
up pay-as-you-go procedures for legislation affecting direct 
spending or receipts through 1998. As shown in the following 
table, CBO estimates that enacting S. 1048 would affect direct 
spending because of the conveyance of the Yellow Creek 
properties to the state of Mississippi without reimbursement. 
The bill also could affect receipts because of provisions that 
authorize the collection of civil penalties by OCST, but we 
estimate that any changes in receipts would be zero or 
negligible.

------------------------------------------------------------------------
                                 1995       1996       1997       1998  
------------------------------------------------------------------------
Change in outlays...........          0          0          3          0
Change in receipts..........          0          0          0          0
------------------------------------------------------------------------

    8. Estimated cost to state and local governments: Under 
this bill, the state of Mississippi would be given a 1,200-acre 
site related property near the city of Iuka, Mississippi 
without reimbursement and would receive $10 million of NASA's 
1996 funding, if these funds are appropriated, for modifying 
the facility. We estimate that the Yellow Creek facility would 
be valued at about $3 million if it were sold by the federal 
government as surplus property. Information provided by NASA 
suggests that the site could have a higher value to the state 
as an economic development center.
    9. Estimate comparison: None.
    10. Previous CBO estimate: CBO has transmitted two costs 
estimates for bills ordered reported by the House Committee on 
Science that authorize funding for NASA. An estimate for H.R. 
1601, the International Space Station Authorization Act of 1995 
was provided on July 10, 1995, and an estimate for H.R. 2043, 
the National Aeronautics and Space Administration Authorization 
Act, Fiscal Year 1996 was provided on August 4, 1995. 
Differences between the estimates reflect differences in the 
provisions in the respective bills.
    11. Estimate prepared by: Kathleen Gramp.
    12. Estimate approved by: Robert A. Sunshine for Paul N. 
Van de Water, Assistant Director for Budget Analysis.

                      Regulatory Impact Statement

  In accordance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee provides the 
following evaluation of the regulatory impact of the 
legislation, as reported.
  S. 1048, as reported, reauthorizes the programs and 
activities of the National Aeronautics and Space Administration 
for fiscal year 1996. In addition, the bill reauthorizes, for 
fiscal year 1996, the Office of Commercial Space Transportation 
of the Department of Transportation, which licenses U.S. 
commercial space launches and promotes the U.S. commercial 
launch industry. The bill also contains amendments to the 
Commercial Space Launch Act, as amended, to clarify OCST's 
licensing authority over commercial reentry vehicles and in-
space transportation activities. It is the Committee's judgment 
that the bill will not subject any individuals or businesses 
affected by the bill to additional regulation, will not 
increase the paperwork requirement for such individuals or 
businesses, and will not have an adverse impact on individual 
privacy.

                      Section-By-Section Analysis

Section 1.--Short title

  This section permits the bill to be cited as the ``National 
Aeronautics and Space Administration Act, Fiscal Year 1996.''

Section 2. Definitions

  This section defines ``[NASA] Administrator,'' ``NASA,'' and 
``institution of higher education'' for the purposes of the 
Act.

                Title I--Authorization of Appropriations

Section 101.--Human space flight

  This section authorizes a total of $5,272,800,000 for the 
Human Space Flight account allocated as follows:
          --Space Station, $1,818,800,000.
          --Russian Cooperation, $129,200,000.
          --Space Shuttle, $3,031,800,000.
          --Payload and Utilization Operations, $293,000,000.

                             Space Station

  The bill authorizes the full requested funding level for the 
Space Station program but in section 201, places a $2.1 billion 
ceiling on the total funding for all Space Station-related 
activities. The Space Station is by far NASA's most costly and 
complex program. The Space Station is aimed at constructing and 
operating an orbiting laboratory in space that will be used to 
conduct advanced materials research, study the effects of long-
term human spaceflight, and perform other work requiring a 
near-zero gravity environment. While the U.S. has the lead role 
in this effort, major contributions are being made by the 
European Space Agency, Japan, and Canada. In addition, as part 
of the 1993 redesign of the Space Station, Russia was added as 
a Space Station partner to build and supply critical Station 
hardware and to fly hardware and supplies to the Space Station. 
The bill's authorization should allow the Space Station to stay 
on schedule for First Element Launch in 1997 and Assembly 
Complete in 2002.
  The authorization of full funding for the Space Station 
reflects the Committee's recognition of the program's 
importance to the future of the Nation's human space flight 
program. It also reflects the tremendous potential of the 
program to generate breakthrough scientific and technological 
discoveries, strengthen the Nation's technology base, and 
stimulate U.S. aerospace competitiveness. The Committee 
believes that it would not be in the public interest to abandon 
the Space Station program this close to the start of the 
assembly phase after so much time and money has been invested 
in it. Through 1993, the U.S. had spent $9 billion on the 
program and, thus far, its foreign partners have contributed 
about $4 billion. This massive investment would be wasted if 
the program were cancelled at this time.
  However, the bill's authorization should not be viewed as a 
ringing endorsement by the Committee of the Space Station 
program. Since it was first funded in 1984, the program has had 
a troubled history of chronic schedule slippages and cost 
overruns. Originally scheduled for completion in 1992 at a 
total cost of $8 billion, the current plan calls for completion 
ten years after that date at a cost of $30 billion. Through the 
years, the Space Station has undergone five redesigns, each 
resulting in further reduction of its scientific capabilities.
  At its May 23rd hearing on the Space Station, the 
Subcommittee on Science, Technology, and Space heard testimony 
from NASA and outside witnesses raising concerns about the 
program's over reliance on Russian involvement. The current 
Space Station plan depends on the Russian contributions in 
almost every phase of its development. For example, under that 
plan, 44 of the 73 flights needed to assemble and service the 
Space Station will involve launches of Russian rockets from 
Russia; the core of the Space Station will be a Russian-built 
navigation and propulsion system; and the Space Station's two 
Crew Transfer Vehicles will be modified Russian Soyuz 
spacecraft. Although the Committee is aware that NASA has a 
viable contingency plan to permit the program to proceed in the 
event of a Russian withdrawal, there is little question that 
non-performance by the Russians would cause serious cost 
increases and schedule delays.
  The cost of the Space Station continues to be controversial. 
NASA's cost estimate for the Space Station through Assembly 
Complete is $30 billion and $70 billion through the anticipated 
end of its operational life in the year 2012. However, in its 
June 1995 report entitled ``Space Station -Estimated Total U.S. 
Funding Requirements,'' the General Accounting Office estimated 
the U.S. funding requirements to design, launch, and operate 
the Space Station through 2012 to be $94 billion. With NASA 
under pressure to cut its budget, the Committee is concerned 
that the Space Station could ultimately crowd out other space 
programs and activities, leaving the Space Station as NASA's 
only mission. Such a result is plainly not in the public 
interest.
  Finally, questions have been raised about whether the current 
Space Station design can even be executed. According to the 
Congressional Research Service, the current Space Station 
design will require 648 hours of spacewalking or extra-
vehicular activity (EVA), 214 hours more than the previous 
design. In 1993, the Vest Committee, which was appointed by the 
Vice President to oversee NASA's redesign of the Space Station, 
reported that ``EVA is an inherent risk to crew safety, and 
such heavy dependence on EVA threatens the success of station 
assembly.'' The Committee also notes that the Space Station 
construction will require 73 launches to take place on time and 
in sequence within a 55-month period, an unprecedented demand 
on the launch resources of the U.S. and its foreign partners.
  In light of these concerns, the Committee will closely 
monitor the progress of the Space Station to insure that it 
remains within budget and on schedule and that it does not 
jeopardize NASA's other missions and programs.

                          Russian Cooperation

  The bill authorizes the full $129,200,000 requested for the 
planned series of Shuttle missions to the Russian space station 
Mir to prepare for the assembly of the Space Station. These 
missions should increase the likelihood of Space Station's 
success by mitigating the risks in the design, assembly, and 
operation of the Space Station. The Committee commends NASA on 
its successful Shuttle docking with Mir in June, the first such 
docking since the Apollo-Soyuz rendezvous in July 1975. When 
the Shuttle and Mir connected, they formed the largest 
spacecraft ever assembled in space.

                             Space Shuttle

  The Space Shuttle account is authorized at $3,031,800,000, 
$200 million below the President's budget request. 
Notwithstanding the modest cut, this funding level should 
enable NASA to maintain Shuttle performance without 
compromising safety. Over the next decade, America will rely on 
the Shuttle as never before as construction of the Space 
Station begins. Between 1997 and the year 2000, the Shuttle is 
scheduled to fly 27 missions to deliver parts and supplies to 
the Space Station. At the same time, the Shuttle program is 
facing intense pressure to cut costs. While the Committee 
applauds cost cutting, safety must always come first. As NASA 
reduces personnel to reduce costs, it must guard against taking 
shortcuts that would place our astronaut crews at risk.
  To its credit, earlier this year, NASA conducted several 
studies to examine responsible strategies for streamlining the 
Shuttle program. In February, NASA issued a report on its 
internal review of the Shuttle program (the ``Littles 
Report''). The Littles Report concluded that the Shuttle 
program's 35,000-person civil servant and contractor workforce 
could be reduced by 5,900 people without safety concerns. The 
Littles Report was followed in March by the issuance of another 
report (the ``Kraft Report'') which published the findings of 
an independent blue-ribbon panel chaired by former Johnson 
Space Center director Dr. Christopher Kraft. The Kraft Report 
made a number of recommendations, including that: (1) Space 
Shuttle operations should be placed under the control of one 
prime contractor with NASA's role reduced to top level 
oversight; (2) NASA should rely on current Shuttle hardware and 
software, with minimal modifications and upgrades; (3) Shuttle 
requirements should be reviewed with the goal of reducing 
requirements based on NASA's decades of experience with the 
Shuttle; (4) payload processing and integration should be 
streamlined; (5) operational contracts with contractors should 
be restructured to provide greater incentives to accomplish 
safe and successful missions; and (6) NASA should consider 
further industry involvement and progression toward the 
privatization of the Space Shuttle. Equally significant was the 
Kraft Report's general theme that safety concerns not be used 
to avoid consideration of ways to downsize the standing army of 
NASA personnel and the massive infrastructure that operate and 
maintain the Shuttle. The Kraft Report noted that NASA 
continues to operate the decades-old Shuttle as an experimental 
vehicle, changing 150 items of Shuttle hardware after each 
flight even though an average of only 10 in-flight (mostly 
inconsequential) problems per Shuttle mission typically occur.
  The Committee believes that the bill reflects a responsible 
strategy for achieving cost savings in the Shuttle program 
without compromising safety. The bill authorization makes a 
modest cut from the requested level based on two assumptions. 
First, it assumes $140 million in cost savings from the 
implementation of cost savings measures identified or suggested 
in NASA's zero-based review and other studies. Second, it 
assumes the elimination of $60 million in funds left over in 
the NASA budget as a result of last year's termination of the 
Advanced Solid Rocket Motor (ASRM) program and the closing of 
the ASRM facility in Iuka, Mississippi.

                   Payload and Utilization Operations

  The bill provides full funding for Payload and Utilization 
Operations. This funding will support operation of Spacelab 
systems, a cooperative reflight of the Tethered Satellite 
System (TSS), and integration of various payloads to 
accommodate Shuttle requirements. The Spacelab is a laboratory 
facility that is placed in the Space Shuttle payload bay to 
permit an expansion of the number and types of experiments that 
can be performed using the Shuttle. In its pressurized module 
configuration, the Spacelab has the added advantage of enabling 
astronauts to conduct research in the payload bay in a ``shirt 
sleeves'' environment. The reflight of TSS will give NASA and 
its foreign partner in this effort, the Italian Space Agency, a 
second opportunity to achieve the mission goals that were not 
accomplished in the first flight of TSS in 1992. During that 
1992 mission, a mechanical problem prevented the full 
unspooling of the tether and the attached satellite, thereby 
preventing the completion of all of the planned mission 
studies. The payload integration account provides the support 
needed for payload buildup, testing, and servicing, 
transportation to the Shuttle, payload integration and 
installation, and related launch activities.

Section 102.--Science, aeronautics, and technology

  This section authorizes a total of $6,049,900,000 for 
Science, Aeronautics, and Technology allocated as follows:
        --Space Science, $1,958,900,000.
        --Life and Microgravity Sciences and Applications, 
        $507,000,000.
        --Mission to Planet Earth, $1,360,100,000.
        --Aeronautical Research and Technology, $891,300,000.
        --Space Access and Technology, $766,600,000.
        --Mission Communications Services, $461,300,000.
        --Academic Programs, $104,700,000.

                             Space Science

  A. Physics and Astronomy. The bill's authorization provides 
full funding at the requested level of $1,131,000,000 for all 
of the major activities in this account, including the Hubble 
Space Telescope (HST), the Advanced X-ray Astrophysics Facility 
(AXAF), and the Global Geospace Science (GGS) spacecraft. The 
authorization also supports continuation of the operations of 
HST, which has yielded remarkable scientific results since its 
repair in December 1993. AXAF, scheduled for launch in 1998, 
will be the next in NASA's series of Great Observatories aimed 
at examining a broad range of the universe's electromagnetic 
spectrum. The GGS spacecraft are designed to perform 
measurements providing a better understanding of the 
interactions between the Sun and the Earth.
  The bill specifically authorizes the three new starts 
proposed in the President's budget request: the Stratospheric 
Observatory for Infrared Astronomy (SOFIA), the Space Infrared 
Telescope (SIRTF), and the New Millennium program. SOFIA is a 
cooperative project with the German Space Agency to develop an 
infrared observatory for flight in a specially modified Boeing 
747 airplane. Intended as a replacement for the Kuiper Airborne 
Observatory, SOFIA is expected to advance our knowledge and 
understanding of star and planet formation and the composition 
of the Universe. A key factor in authorizing SOFIA was the 
Committee's understanding that, if SOFIA were not approved for 
FY 1996, the German Space Agency would likely withdraw from the 
project. SIRTF, planned for launch in the year 2002, would be 
the last of NASA's Great Observatories. SIRTF will use infrared 
technology to examine deep space in connection with advanced 
astrophysics studies.
  The bill assumes no new funding for Gravity Probe-B (GPB), a 
$51.5 million FY 1996 budget item, which was not funded in the 
President's budget request. Begun in the 1960s, GPB is an 
effort to test Einstein's theory of relativity by flying 
gyroscopes in space. Thus far, NASA has spent approximately 
$240 million on GPB, without a single mission having ever 
flown, and it would require an additional $292 million to 
complete the project for a scheduled launch in the year 2002. 
In recent years, some segments of the scientific community have 
questioned the scientific value and feasibility of the program. 
In fact, over the years, GPB has undergone at least 17 studies 
to answer questions about its merit. The President's budget 
request indicated that, if a National Academy of Sciences study 
requested by NASA in 1994 recommended funding GPB, NASA would 
have to find offsets in the budget to fund the program. At the 
March 1 hearing of the Subcommittee on Science, Technology, and 
Space on the NASA budget, NASA Administrator Goldin was asked, 
``If the latest National Academy of Sciences study does not 
find Gravity Probe-B to be a national priority, what do you 
think the possibilities of further funding in the program would 
be?'' His response was: ``Zero.''
  In May, the Academy issued its final report on the GPB study. 
Although the report did recommend continuation of funding for 
GPB, the text of the report was critical of the program. The 
report indicated that the panel was unable to reach a consensus 
on the relative value of the GPB, but noted that it would 
likely have less impact on the scientific world than the Cosmic 
Background Explorer (COBE) satellite. The report further noted 
that the possibility of GPB producing ``a great surprise'' was 
``remote.'' Equally troubling was the skepticism expressed by 
some panel members that the project is even technically 
feasible. In any event, the report clearly did not view GPB as 
a national scientific priority. In light of the failure of the 
Academy and the broad scientific community it represents to 
give GPB their unqualified endorsement, the Committee believes 
the $51.5 million for GPB would be better spent on cost 
reductions or other space science.
  B. Planetary Exploration. The bill authorizes at the 
requested level of $827,800,000 NASA's Planetary Exploration 
programs, including Cassini, Mars Surveyor, and the Discovery 
programs. The authorization will keep on schedule the Cassini 
mission to Saturn planned for launch in October 1997. The Mars 
surveyor program, the first Mars exploration program since the 
Viking spacecraft of the 1970s, would launch an orbiter to Mars 
in 1996 and launch another orbiter and a lander in 1998. The 
Discovery program is aimed at flying low-cost ($150 million), 
focused missions concentrating on the inner solar system 
planets. Funding for the Discovery program will continue 
development of the Mars Pathfinder and Near Earth Asteroid 
Rendezvous (NEAR) missions, as well as support a third 
Discovery mission, Lunar Prospector. Lunar Prospector will map 
the chemical composition of the Moon and study its magnetic and 
gravity fields.
  The bill also specifically authorizes the New Millennium 
spacecraft as a new start for FY 1996. The requested level of 
$30 million is authorized for this new activity, which is 
intended to reduce the size and development times of scientific 
spacecraft, while increasing their capabilities. The Committee 
approves the New Millennium program with the understanding that 
its program managers will work in concert with the Mission to 
Planet Earth program and other federal remote sensing 
activities such as Landsat so those programs and activities 
might implement any technological advances and breakthroughs 
that develop from New Millennium to reduce costs and increase 
capabilities. In that connection, the Committee asks that, 
within 60 days of the enactment of the bill, NASA submit to the 
Committee a strategic plan for how New Millennium will 
coordinate with and complement the activities of Mission to 
Planet Earth and other federal remote sensing programs.

            Life and Microgravity Sciences and Applications

  The bill fully funds the Life and Microgravity Sciences and 
Applications account at $507,000,000. This authorization will 
support NASA's ongoing study of the effects of weightlessness 
on humans and animals, as well as biomedical and materials 
research. The bill specifically authorizes the $3 million 
requested by NASA for the construction of an addition to the 
Microgravity Development Laboratory at Marshall Space Flight 
Center. NASA's life and microgravity sciences research will 
take on increasing importance when the Space Station assembly 
begins in 1997. The program also supports the joint NASA/
National Institutes of Health research in biotechnology and the 
Committee encourages NASA to pursue similar research 
partnerships with other federal, state, academic, and private 
organizations.

                        Mission to Planet Earth

  The bill authorizes $1,360,100,000 for Mission to Planet 
Earth, a $19 million increase over the President's budget 
request, reflecting the Committee's strong endorsement of this 
activity. Mission to Planet Earth is NASA's satellite program 
aimed at understanding and predicting global climate change by 
studying how the atmosphere, land, seas, and ice caps interact 
as a system. It is NASA's main contribution to the U.S. Global 
Climate Change Research Program. The bill assumes continued 
support for each of the program's components, including the 
Earth Observing System (EOS), the EOS Data and Information 
System (EOSDIS), Landsat, and the Earth Probes. The bill's 
authorization assumes elimination of funding for CIESIN, an 
activity which was deemed largely irrelevant to NASA's goals 
and missions and which has been severely criticized in the past 
by NASA's Inspector General. The bill also assumes funding for 
the radar satellite program authorized in Section 206 of the 
bill and the hydrology study authorized in Section 207.
  The central activity of Mission to Planet Earth is the 
development and launch of the EOS satellites. Beginning in 
1998, NASA will launch several series of EOS satellites, each 
of which will carry multiple instruments measuring different 
aspects of climate change. The three main satellite series are: 
EOS-AM (scheduled for a 1998 launch); EOS-PM (scheduled for 
2000), and EOS-CHEM (scheduled for 2002). Each series is 
designed to include up to three spacecraft that would be 
launched at up to 6-year intervals to permit climate change 
measurements over an 18-year period. The data from EOS will be 
collected, processed, and distributed by EOSDIS. Full funding 
for EOSDIS is essential if the huge volumes of data expected 
from EOS is to be properly distributed for the benefit of 
researchers, educators, government agencies, and other users of 
remote sensing satellite data around the Nation and the world.
  The Landsat activity at NASA will continue support for 
development and launch in 1998 of the Landsat 7 satellite. For 
the last twenty years, the Landsat program has provided high-
resolution satellite imagery of the Earth that has been used 
for climate and environmental research, land use planning, 
mineral exploration, and government missions. That imagery is 
archived at the Department of the Interior's EROS Data Center 
in Sioux Falls, South Dakota. The Landsat program currently 
relies on two aging satellites (Landsat 4 and 5). Because a 
1993 effort to deploy Landsat 6 failed, the successful and 
timely deployment of Landsat 7 is critical to maintaining this 
national asset and its data continuity. The Committee also 
urges NASA and DOD to resolve their dispute over the $25 
million in prior year appropriations that NASA claims DOD owes 
for the development work on Landsat 7 and requests that NASA 
provide the Committee with a written status report on this 
matter within 60 days of the enactment of this bill.
  NASA's Earth Probes are smaller satellites designed to 
complement the larger EOS satellites by focusing on specific 
aspects of global change. They are also intended to take 
advantage of unique opportunities for international 
cooperation. The bill's authorization would support three 
activities: the Total Ozone Mapping Spectrometer, the NASA 
Scatterometer, and the Tropical Rainfall Measuring Mission.
  The Committee believes Mission to Planet Earth is arguably 
NASA's most important and relevant mission and it views any 
effort to eliminate the program or undermine it through 
inappropriate budget cuts as short-sighted and not in the 
public interest. Mission to Planet Earth is one of the few NASA 
programs that will yield clear, direct benefits to American 
taxpayers, rather than the speculative spinoff benefits often 
promised by other space activities.
  In the Nation's agricultural states, many of which are 
represented on the Committee, the community's livelihood 
depends on weather and climate. Mission to Planet Earth may 
some day permit year-to-year climate prediction so farmers and 
ranchers would know in advance whether a particular year would 
bring floods, droughts, tornadoes, or other severe weather 
events. The program may also help us determine the location and 
rate of ozone depletion, which poses a particular threat to our 
agricultural community. Mission to Planet Earth may eventually 
enable farmers, sitting in front of their personal computers, 
to access the Internet to obtain soil moisture data on the 
fields they are cultivating on almost a foot-by-foot basis. For 
years, the manufacturing industry has applied new technologies 
to operate with more precision and efficiency. Mission to 
Planet Earth may eventually give the agricultural community 
that same capability.

                  Aeronautical Research and Technology

  The bill authorizes $891,300,000 for Aeronautical Research 
and Technology, an amount that assumes full funding for all of 
the activities essential to NASA's aeronautics mission 
requirements. The bill specifically authorizes $5.4 million 
requested for the modernization of the Unitary Plan Wind Tunnel 
Complex at the Ames Research Center. The authorization level 
assumes funding at the requested levels for all of the main 
aeronautics programs, including NASA's subsonic, supersonic, 
and hypersonic research programs. NASA's aeronautics program 
has been a major factor in maintaining U.S. leadership and 
industrial competitiveness in aerospace. Because of budget 
constraints, the authorization level assumes the elimination of 
$26 million from the $75.2 million requested for the High 
Performance Computing and Communications Program (HPCC). 
However, none of the $26 million cut shall be taken from the 
Yohkoh Public Outreach Project (YPOP), a NASA-funded project 
that supports important educational and public outreach 
activities using scientific data collected under the Japan/
U.S./United Kingdom Yohkoh solar physics mission. The reduction 
reflects the Committee's view that, since the HPCC activities 
are not essential to NASA's ability to perform its core 
aeronautics research, full funding cannot be justified in this 
budget environment.
  NASA's aeronautics program is focused around six strategic 
goals: (1) to develop high-payoff technologies for a new 
generation of environmentally compatible, economically superior 
U.S. subsonic aircraft and a safe, highly productive global air 
transportation system; (2) to ready the technology base for an 
economically viable and environmentally friendly high-speed 
civil transport; (3) to develop the technology options for new 
capabilities in high-performance aircraft; (4) to develop and 
demonstrate technologies for hypersonic flight; (5) to develop 
advanced concepts, physical understanding, and theoretical, 
experimental, and computational tools to enable advanced 
aerospace systems; and (6) to develop and maintain critical 
national facilities for aeronautical research and for support 
of industry, FAA, DOD, and other NASA programs. In accordance 
with these goals, the aeronautics program is intended to 
maintain laboratory strengths, and staff excellence; ensure 
timely domestic technology transfer; ensure strong university 
involvement; and ensure strong cooperation among NASA Research 
Centers, industry, and academia in a manner that uses the 
strengths of each partner.
  The Committee continues to strongly support the NASA 
aeronautics research and technology program as a critical 
element of the success of the U.S. aerospace industry in the 
world market. Because of leading-edge aeronautical research 
conducted by NASA and NASA's work on emerging technologies, the 
U.S. aerospace industry is now one of the Nation's leading 
trade surplus industries. In order to maintain this positive 
balance of trade in the aerospace industries, the Committee has 
authorized the full funding for all essential NASA aeronautics 
activities.
  The Committee strongly supports the NASA Research and 
Technology Base program that helps the U.S. lead the world in 
aeronautical breakthroughs and advanced aviation concepts. The 
program should develop technologies for all flight regimes from 
subsonic (including rotorcraft) through hypersonic. The 
Research and Technology Base program includes disciplines of 
aerodynamics; propulsion and power; materials and structures; 
controls, guidance and human factors; and flight systems. The 
Committee encourages cooperative agreements with industry and 
other Government institutions, but recommends that NASA ensure 
a core competency in NASA personnel at the Research Centers. 
The emphasis of the program should be on efficiency, safety, 
and new capabilities. The Committee continues to support 
strongly NASA's research in hypersonic flight and the 
application of magnetohydrodynamics technologies to hypersonic 
flight.

                      Space Access and Technology

  The bill authorizes $766,600,000 for Space Access and 
Technology account to continue current programs and initiate 
several new activities. This funding level will support NASA's 
ongoing work in spacecraft and remote sensing, technology 
development, advanced space transportation, flight programs, 
space communications, and technology transfer. Within the 
authorization, the bill specifically authorizes $70 million for 
a third Shuttle flight of the Shuttle Imaging Radar-C 
satellite, $5 million for a Rural Technology Transfer and 
Commercialization Center for the Rocky Mountains and Upper 
Plains States region, and $159 million for the new Reusable 
Launch Vehicle (RLV) program proposed in the budget request. 
The bill assumes elimination of the funding requested for the 
Solid Propulsion Integrity Program (SPIP), a cooperative effort 
with the Department of Defense (DOD) focused on solid rocket 
motor (SRM) development. In its July 3rd letter to Congress 
updating its FY 1995 operating plan, NASA indicated that it was 
reorienting SPIP away from SRM development and toward hybrid 
propulsion. In explaining its action, NASA cited its ``reduced 
priority for SRM development'' and DOD's increased commitment 
to that activity. To that end, NASA stated it would be 
reallocating funding for SPIP beginning in FY 1996. Given the 
lack of agency support for SPIP, the Committee has assumed no 
FY 1996 funding for that activity and cautions against 
initiation of the new hybrid propulsion program referenced in 
the July 3rd letter without specific Congressional 
authorization of that activity.
  The bill authorizes a third Shuttle flight for SIR-C to 
promote U.S. involvement in the development of radar satellite 
technology. Radar satellite technology holds the promise of 
taking conventional optical-based remote sensing capabilities 
like Landsat to the next level. Optical-based satellites cannot 
see through cloud cover so they often must wait for clear skies 
to obtain the desired imagery. Radar satellites do not labor 
under that constraint. Because radar satellites employ radio 
waves to generate their images, the radar satellites are 
unhampered by cloud cover. For rural states, radar satellites 
hold special interest since they can provide data about soil 
moisture, crop and vegetation classification and health, and 
the water content of snow. In addition, radar satellites can 
reveal elevation data, which can be integrated with current 
Landsat data to provide three-dimensional Earth images. Equally 
exciting, when these satellites are flown as clusters, they can 
measure ground movements of as little as one centimeter, 
producing data of enormous benefit to seismologists in 
understanding and predicting earthquakes around the world. The 
applications of this technology seem truly limitless. This fact 
is not lost on Japan and Europe, which already operate radar 
satellites, or on Canada, which is launching one this year. The 
Committee urges NASA to make the development of quality radar 
satellite capabilities an agency priority beginning in FY 1996 
and continuing thereafter.
  Also specifically authorized is a Technology Transfer and 
Commercialization Center for the Rocky Mountains and Upper 
Plains States region. Currently, NASA funds twelve regional 
technology centers, but none in the Rocky Mountains and Upper 
Plains States region. States in this region now have to work 
with a facility in Texas, which cannot adequately understand 
and meet the special needs of that region. The new center would 
focus on the unique interests and requirements of the region 
where there are often great distances between businesses and 98 
percent of the companies have 50 or fewer employees. The 
Committee strongly recommends that NASA give appropriate 
consideration to the placement of the new center at Montana 
State University (MSU). The Committee believes that MSU 
possesses the requisite experience, skills, resources, and 
outreach capabilities to serve the interests of the region and 
could draw on the existing Burns Telecommunications Center in 
Bozeman, Montana, for assistance in delivering programs and 
materials to the community.
  The bill provides the full requested level of $159 million 
for NASA's proposed RLV initiative to develop and flight test 
technologies that might lead to a privately developed and 
operated reusable space transportation system to replace the 
Space Shuttle in the next century. The bill assumes $49 million 
for the single-stage-to-orbit test vehicle, the X-33; $30 
million for a smaller launch vehicle, the X-34; and $80 million 
for underlying technology activities, including the ground and 
flight testing of the DC-XA (an upgrade of the DOD's successful 
DC-X test vehicle).
  The cost of putting useful cargo into low Earth orbit 
currently ranges from $3,000 per pound of payload to the Space 
Shuttle's $15,000 per pound cost. These high costs have kept 
this Nation from doing more in space, and, until access to 
orbit is made easier and less expensive, the U.S. will not be 
able to take full advantage of the scientific and commercial 
opportunities of space.
  The goal of the RLV program is to demonstrate cheap, 
reliable, frequent access to space through cooperative efforts 
with industry to develop experimental vehicles to test new 
approaches to spaceflight. The Committee notes this is an 
implementation of the President's August 4, 1994, National 
Space Policy (PDD/NSTC-4), which calls for a ``flight 
demonstration which would prove the concept of single-stage-to-
orbit.'' One of the strengths of experimental vehicles, like 
the X-33, X-34, and DC-XA vehicles, is that they focus on the 
development and demonstration of technologies, rather than on 
the accomplishment of operational mission goals.
  The Committee commends NASA's commitment to do business in 
new ways, as exemplified by its intention to require 
significant financial participation by its RLV contractors, as 
well as its decision to allow industry to take the lead in 
designing the X-33 and X-34. However, in conducting business 
differently, some new legal issues have arisen regarding the 
third-party liability of the contractors involved with the 
development and operation of the experimental vehicles in the 
program. The aerospace industry has raised valid legal 
questions about whether, under current law, its third-party 
liability can be restricted to an acceptable level. Until these 
questions are resolved, industry might be reluctant to move to 
the flight test phase of any of the RLV planned activities. To 
address this matter, the Committee requests that, within 60 
days of the enactment of this bill, NASA submit to the 
Committee a report that identifies the major legal and policy 
issues relating to the third-party liability and 
indemnification of contractors involved in RLV work, as well as 
any other issues NASA deems relevant, and that recommends 
possible options (including schedules) for resolving these 
issues in a manner which is satisfactory to NASA and the 
contractor community, but which also promotes the public 
interest.
  The Committee stresses that the ultimate goal of NASA's RLV 
program is to provide proven, demonstrated technologies 
enabling the private sector to build and fly single-stage-to-
orbit RLVs. In the case of the X-33 activity, there is the 
additional expectation of the development of an RLV capable of 
replacing the Shuttle in the next decade. In this budget 
environment, the federal government cannot afford to pay the 
more than $6 billion in estimated development costs for a 
Shuttle replacement vehicle. In its support for the RLV, the 
Committee assumes that any effort to build a Shuttle 
replacement will require industry to share approximately 10 to 
20 percent of the development costs. However, industry will not 
be disposed to share financing responsibilities if the vehicle 
concepts do not meet the commercial needs of its customers. On 
that point, the Committee is aware of concerns within the 
aerospace industry that the performance requirements for the X-
33 vehicle are too closely biased toward the goal of replacing 
the Shuttle. The Committee's approval of the proposed RLV 
program assumes that NASA will take immediate steps to resolve 
this problem so that the program continues to remain focused on 
the goal of producing a vehicle that will both satisfy 
government needs and respond to commercial market requirements.
  The authorization assumes funding for the Centers for the 
Commercial Development of Space (CCDSs). The Committee is 
concerned that the funding for this activity not evolve into an 
entitlement. The CCDSs were originally established to promote 
the development of new products using the unique microgravity 
environment of space. The Centers were expected to increase the 
U.S. business participation and investments in space-linked 
commercial goods and services in order to benefit the U.S. 
industries involved and the economy as a whole. The idea was 
that federal funds would be used in the early stage of a 
Center's existence as ``seed money'' until the Center could 
support itself with money from non-federal funding sources. In 
1993, NASA phased out support for 6 of the 17 Centers; however, 
the FY 1996 budget request assumes $19 million for 
subsidization of the remaining 11 Centers. Current budget 
realities require that NASA take aggressive steps with each of 
the remaining Centers to move it to self-sufficiency so its 
federal support does not develop into an entitlement. In that 
connection, the Committee requests that NASA submit to the 
Committee by April 1, 1996, a strategic plan for ending federal 
support for each Center and the plan shall include intermediate 
targets and timetables for achieving that end. The Committee 
further requests that such plan include an assessment of the 
current economic viability of each Center. Finally, the 
Committee requests that, in all future budget submissions to 
Congress, beginning with the submission for FY 1997, the total 
funding for the CCDSs, as well as the funding for each Center, 
be clearly identified.
  The Committee recommends that NASA allocate $1 million for 
the establishment of an Optical Sciences Institute. The 
Institute would be a partnership involving NASA, industry, and 
academia for conducting research and establishing educational 
programs in materials science, laser communications, laser 
materials, and sensing technologies. The work at the Institute 
on these technologies would not only benefit NASA's 
biotechnology, remote sensing and aeronautics activities, but 
would strengthen our technology base and our national security.
  The Committee urges NASA to develop policies and manage its 
programs and activities in a manner that promotes, rather than 
frustrates, the U.S. commercial space industry. In that 
connection, the Committee notes its concern about the failure 
of NASA and the U.S. Air Force to develop and implement a 
common pricing policy for launch property and launch services 
provided to the commercial space industry and state 
governments. Accordingly, the Committee requests that the two 
agencies develop and implement a common pricing policy without 
further delay and submit a report regarding that policy to the 
Committee no later than March 1, 1996. The Committee is also 
concerned about NASA's interpretation of direct costs which are 
charged to the commercial space industry and state governments. 
The legislative history of the Commercial Space Launch 
Amendments of 1988 indicates that direct costs are limited to 
additive costs, which would preclude the government from 
charging for the salaries of existing government and contractor 
personnel as well as equipment use fees. The Committee directs 
NASA to correct immediately its interpretation of direct costs 
to make it consistent with the legislative history of the 1988 
legislation and to submit a report to the Committee regarding 
its corrections no later than January 1, 1996.

                    Mission Communications Services

  The bill authorizes the requested level of $461.3 million for 
Mission Communications Services. Mission Communications 
Services manages the provision of telecommunications services 
needed to support NASA's exploration, science, and research and 
development programs. This authorization will enable this 
activity to continue at the level required to meet mission 
goals.

                           Academic Programs

  The bill authorizes $104.7 million for NASA's Academic 
Programs, which is $19 million less than the budget request, 
but equal to the FY 1995 appropriated level. This activity is 
aimed at enhancing scientific and technological competence 
through a broad range of educational outreach activities 
addressed to both pre-college and higher education. Of the 
authorized amount, $3 million is allocated to support the 
establishment of an Upper Plains States regional science 
education and outreach center and $1 million is allocated for 
the establishment of a Rural Teacher Resource Center.
  The funding for the science education and outreach center 
would support the Science Discovery Center project presently 
under development in Sioux Falls, South Dakota. Currently, the 
Sioux Falls community is working diligently to convert an 
unused high-school facility into a high-tech center that would 
be used to enhance and expand the educational experiences at 
the K-12 level and to increase the knowledge and understanding 
of the entire community and region of science and technology. 
Once completed, the Center would be the only facility of its 
kind in the region. The Center has broad support in the local 
community, which is currently financing the ongoing development 
work on the project.
  The new Rural Teacher Resource Center authorized in the bill 
would be the tenth NASA Teacher Resource Center (TRC). The TRCs 
maintain a collection of NASA-related materials and make them 
available to the communities they serve. Each of the current 
TRCs is located at a NASA field center. While the decision to 
co-locate the TRCs at NASA facilities is understandable, it has 
meant that those in the Plains States region have not been 
served by the TRCs. The authorization of an additional Rural 
TRC should rectify this problem. The Committee recommends that 
the Rural TRC be located at Montana State University, whose 
location, knowledge of the area, and outreach capabilities 
uniquely qualify it to manage the TRC in a way that would serve 
the special needs of the entire region.
  In order to increase the effectiveness of NASA's academic 
programs, the Committee encourages NASA to work with non-profit 
organizations to enhance the development of aerospace education 
programs through state-based teacher outreach. The goals of 
such partnerships should include streamlining the 
administration of NASA's education programs, stimulating state 
participation in the civilian space program, evolving the role 
of aerospace science in the classroom, and supporting teacher 
training in aerospace science. The Committee believes that 
space education is important to the Nation and encourages 
efforts like those of the Spaceweek International Association, 
which holds an annual event with government, industry, and 
education organizations across the United States to educate the 
public about space. The Committee supports these kinds of 
initiatives and recommends scheduling them during the school 
year to maximize student participation and stimulate student 
interest in mathematics and science.

Section 103.--Mission support

  This section authorizes a total of $2,439,800,000 for Mission 
Support allocated as follows:
          --Safety, Reliability, and Quality Assurance, 
        $37,600,000.
          --Space Communications Services, $219,400,000.
          --Research and Program Management, $2,047,800,000.
          --Construction of Facilities, $135,000,000.

               Safety, Reliability, and Quality Assurance

  The bill authorizes the requested level of $37,600,000 for 
NASA's safety, reliability, and quality assurance programs. 
This activity funds NASA's safety oversight of all of its 
missions and programs. The funding reflects the importance the 
Committee places on NASA's safety-related functions.

                     Space Communications Services

  The bill authorizes $219,400,000 for Space Communications 
Services, a reduction of $100 million from the President's 
budget request. This account funds the tracking, telemetry, 
data acquisition, and data processing activities for all NASA 
spacecraft. Included among these activities is NASA's Tracking 
and Data Relay Satellite (TDRS) system of geosynchronous 
satellites and its associated ground stations. The $100 million 
reduction from the authorized level assumes the elimination of 
any funds for the procurement of TDRS replenishment spacecraft. 
The Committee did not fund this item for two reasons. First, 
the award of the procurement contract to the Hughes Corporation 
is the subject of a pending legal challenge by a competitor, 
the TRW Corporation. It is impossible to predict how long it 
will take to resolve this dispute and the procurement cannot 
proceed until this matter is resolved. Second, funding this 
procurement may discourage NASA from considering privatization 
options for meeting its future TDRS requirements. With the 
explosive growth of commercial satellite communications systems 
and the need to reduce federal spending, the Committee would 
want absolute assurance that TDRS-type services cannot be 
obtained commercially before it approves funding for a new set 
of TDRS spacecraft.

                    Research and Program Management

  The bill authorizes $2,047,800,000 for Research and Program 
Management, the account which funds the salaries, travel 
expenses, and other administrative expenses at NASA. The 
authorization level is $155 million less than the budget 
request, reflecting savings from the elimination of unused FY95 
funds reserved for buyouts of NASA personnel and the 
implementation of cost savings measured recommended or 
suggested by NASA's zero-based review and other studies.

                       Construction of Facilities

  The bill authorizes $135,000,000 for Construction of 
Facilities, which maintains funding at the FY 1995 level. This 
account funds the repair and renovation of existing facilities 
and the design and construction of new facilities, except for 
discrete construction projects funded as part of the 
authorization of the Human Space Flight and Science, 
Aeronautics, and Technology accounts in Sections 101 and 102 of 
the bill.

Section 104.--Inspector general

  This section authorizes the requested $17,300,000 for NASA's 
Office of Inspector General (OIG). The OIG conducts audits, 
inspections, and investigations to assist NASA to achieve 
efficiency and effectiveness in the administration of its 
programs and to prevent and detect fraud, waste, and abuse. The 
OIG's role is particularly critical in the area of procurement 
since about 90 percent of the agency's total obligations are 
for procurement. In recent years, the OIG has been criticized 
for failing to maintain the level of independence from the 
agency management that was contemplated under the Inspector 
General Act. In certain cases, that failure may well have 
compromised the effectiveness and integrity of the OIG's 
investigations and undermined staff investigators. In a 
February 1994 report, the GAO released the results of its 
investigation into allegations of misconduct by the individual 
serving as Inspector General at that time. The GAO reviewed 
allegations in three areas: (1) prenotification of senior NASA 
employees who were targets of impending OIG investigations; (2) 
unauthorized disclosure of grand jury-related information; and 
(3) premature closing of selected audits and investigations. 
The GAO found no support for allegations in the last two 
categories; however, with regard to the ``prenotification'' 
charge, the GAO found that the Inspector General's practice 
appeared to constitute ``a failure to exercise due professional 
care and could be viewed as an impairment of his office's 
execution of investigations.'' The Committee expects the OIG to 
adopt appropriate policies and guidelines to ensure against a 
repeat of this practice. While the OIG need not develop an 
antagonistic posture towards agency management, it must 
maintain an appropriate distance and independence from 
management in its operations and interactions in order to 
discharge properly its statutory mandate.

Section 105.--Office of Commercial Space Transportation

  This section authorizes $7 million for DOT's Office of 
Commercial Space Transportation (OCST), a $459,000 increase 
over the President's budget request. Since 1984, OCST has been 
the government's lead agency for the regulation and promotion 
of the U.S. commercial launch industry. OCST issues licenses 
for U.S. commercial launches and commercial space launch 
facilities. It also sets insurance requirements for the 
protection of persons and property and assures that space 
transportation activities are in compliance with U.S. domestic 
and foreign policy. The mission of OCST also includes the 
promotion and facilitation of the U.S. commercial launch 
industry.
  The funding increase for OCST is intended to enable it to 
handle an expected increased workload arising from the 
anticipated growth in the number of U.S. commercial launches. 
Additional demand on its resources can also be expected as a 
result of many new developments in commercial space. For 
example, some of the new commercial launch vehicles under 
consideration or development will be reusable or will employ 
reusable components. Novel launch concepts are also emerging 
where the launch would take place from aircraft or other 
platforms such as balloons or oil rigs. Finally, work is 
proceeding on four commercial spaceports in Alaska, New Mexico, 
California, and Florida, which should generate more licensing 
work for OCST. [To clarify OCST's statutory authority to 
license the reentry activity and other in-space commercial 
transportation, Title III of the bill amends the Commercial 
Space Launch Act to provide express authority to license those 
activities.]
  The Committee commends OCST for the central role it has 
played through the years in promoting a favorable regulatory 
environment for the growth of the U.S. commercial launch 
industry. However, there are two areas of concern that require 
OCST's immediate attention. First, the OCST is years overdue in 
issuing regulations on the insurance requirements of commercial 
launch companies established by the Commercial Space Launch 
Act, as amended. To date, the OCST has adequately handled such 
matters on a case-by-case basis, but the promulgation of 
regulations would provide clearer guidance in this area for the 
government, the launch providers, and the insurance industry. 
Accordingly, the Committee requests that, no later than April 
1, 1996, the Department of Transportation publish for notice 
and comment proposed regulations to implement the statutory 
provisions relating to the insurance requirements for launch 
providers or provide the Committee with a written explanation 
of the reason for having failed to do so. Second, the Committee 
is also concerned about overlaps between OCST's 
responsibilities and those of NASA and the Office of Air and 
Space Commercialization (OASC) of the Department of Commerce. 
For instance, there has been no resolution of the continuing 
debate between OCST and NASA regarding their respective 
jurisdictions over commercial launch services purchased by 
NASA. With regard to OASC, OASC's mission to develop policies 
to promote U.S. commercial space industry duplicates in large 
measure the promotional activities of OCST. The Committee 
requests that the Administration, through the Office of Science 
and Technology Policy, resolve both of these issues and, by 
April 1, 1996, submit to the Committee a plan which (a) 
delineates and clarifies the respective regulatory 
responsibilities of the three civilian space agencies so that 
duplication and conflict among their operations are minimized 
and (b) establishes a policy for cooperation and coordination 
among those agencies in formulating and implementing U.S. 
civilian space policy.

              title ii--limitations and general provisions

Section 201.--Space station limitation

  This section limits to $2,100,000,000 the total amount 
authorized to be appropriated for Space Station-related 
activities in FY 1996. This limitation is consistent with 
NASA's baseline plan to maintain an annual ceiling of $2.1 
billion for Space Station-related activities through the 
scheduled completion of the Space Station in the year 2002.

Section 202.--Experimental program to stimulate competitive research

  This section authorizes $6,900,000 for the Experimental 
Program to Stimulate Competitive Research (EPSCoR), an increase 
of $1 million over the budget request. While the program is 
currently funded out of the Academic Programs account, the 
Committee intentionally did not specify the funding source for 
this activity to provide NASA with the flexibility to reprogram 
moneys from other accounts to support this activity. EPSCoR is 
one of the genuine success stories in the federal science and 
technology enterprise. EPSCoR provides critical funding for 
quality research proposals from institutions in States that 
have been left out of the mainstream of federally supported 
research. Through the years, NASA's EPSCoR program and similar 
programs at the National Science Foundation and other science 
agencies have played a central role in ensuring that rural, 
small-city states are allowed to contribute to the Nation's 
technological revolution. The funding level reflects the 
Committee's strong endorsement of this activity.

Section 203.--Special technology enhancement grants

  This section authorizes $15,000,000 within the Space Access 
and Technology account for technology enhancement grants for 
areas or States that have not fully participated in NASA's 
space and aeronautics programs in the past. This new program 
will help expand the technology base in rural areas and, in so 
doing, strengthen our economy and national security. These 
technology grants should also complement the highly successful 
EPSCoR program at NASA, a similar program which concentrates on 
scientific research.

Section 204.--Clear Lake development facility

  This provision was requested by NASA to give the agency 
authority to acquire a parcel of land, and the Clear Lake 
Development Facility located thereon, in Clear Lake, Texas, to 
establish a training facility for the Space Station program. 
NASA is directed to acquire the real estate for no more than 
$35 million.

Section 205.--Yellow Creek facility

  This provision, requested by NASA, authorizes NASA to convey 
the Yellow Creek Facility to the State of Mississippi, without 
reimbursement, and further authorizes NASA to transfer $10 
million to the State for transitional activities. The facility, 
an abandoned nuclear plant that has never been activated, was 
to be used by NASA for the Advanced Solid Rocket Motor program 
until the program was cancelled last year by Congress. This 
provision would help bring this matter to a final conclusion.

Section 206.--Radar remote sensing satellites

  This section authorizes $15 million within the Earth Probes 
account to conduct Phase A and B studies to initiate a new 
radar satellite program to make use of this advanced 
technology. The section requires NASA to submit to the 
Committee on Commerce, Science, and Transportation of the 
Senate and the Committee on Science of the House of 
Representatives an implementation plan within 90 days of the 
enactment of the bill. At a time when three other nations 
operate, or are developing, radar satellite systems, the 
Committee believes it is in the national interest for NASA to 
develop an operational radar satellite system for the U.S. The 
radar satellite program would complement and strengthen the 
capabilities of our current remote sensing assets and generate 
benefits for industry, academia, and the government. The 
Committee requests that this new radar satellite be coordinated 
with Mission to Planet Earth, any reflights of the Shuttle 
Imaging Radar-C or similar follow-on spacecraft, and other 
remote sensing activities at NASA or other government agencies.

Section 207.--Study of the hydrology of the Upper Missouri River Basin

  This section authorizes $10 million from the Mission to 
Planet Earth account to be used for a project to conduct 
research on the hydrology of the flood-plagued Upper Missouri 
River Basin. The project will use the enormous volumes of data 
from Mission to Planet Earth for research to inform public 
policy decisions relating to the Upper Missouri River Basin. 
The research will focus on a broad range of subjects, 
including: the development of better management and 
investigation of floods and natural disasters, the impact of 
natural events and water management on the food-producing 
capabilities of the region, and the development of models for 
hydrology research and water management policy which can be 
transferred to other large river basins around the world. The 
project would be managed by a broad consortium of regional 
academic, government, and private sector institutions led by 
the South Dakota School of Mines and Technology, which has a 
distinguished track record in the area of hydrology research 
and development.

Section 208.--Shuttle privatization

  This section directs NASA to conduct a feasibility study of 
the major recommendation of its own independent review team 
(the Kraft commission) that the Shuttle be privatized. The 
study would look at all the main policy and legal issues that 
must be resolved before NASA could responsibly proceed toward 
privatization. Within 60 days of the enactment of the bill, 
NASA is required to complete the study and submit a report 
thereon to the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on Science of 
the House of Representatives. The section also requires that, 
within 180 days of the bill's enactment, NASA take all 
necessary and appropriate actions to consolidate current 
Shuttle operations under one contractor as a transitional step 
toward privatization. It is the Committee's understanding that 
a private company would be able to manage and operate the 
Shuttle for far less than the $3 billion a year the program now 
costs the taxpayer and that complete privatization, whereby 
NASA would be reduced to the role of customer, would produce 
even greater efficiencies and savings.

Section 209.--Use of funds for construction

  Subsection (a) authorizes NASA to use funds appropriated for 
purposes other than for the construction of facilities, 
research and program management (excluding research operations 
support), and Inspector General accounts for the construction 
of new facilities, and additions to, or repair, rehabilitation, 
or modification of, existing facilities at any location in 
support of the purposes for which such funds were appropriated. 
Subsection (b) prohibits the use of funds under subsection (a) 
for any project whose cost exceeds $750,000, unless the 
Administrator provides the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on Science of 
the House of Representatives with 30 days' notice of the 
nature, location, and cost of such facilities.

Section 210.--Construction of facilities

  This section provides that the amounts appropriated for any 
construction of facilities project may be increased by (a) up 
to 10 percent at the discretion of the Administrator, or (b) up 
to 25 percent to meet unusual cost variations if the 
Administrator provides the Committee on Commerce, Science, and 
Transportation of the Senate, and the Committee on Science of 
the House of Representatives with 30 days' written notice 
describing the circumstances of such action. The section 
further provides that no amounts may be obligated until 30 days 
after a written report describing the nature of the 
acquisition, construction, conversion, rehabilitation, or 
installation, its cost, and the reasons for the acquisition is 
provided to the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on Science of 
the House of Representatives. Subsection (d) provides that if, 
pursuant to subsection (a), funds are used for grants to 
institutions of higher learning or to non-profit institutions 
for the purchase or construction of additional facilities, 
title to such facilities would vest in the U.S. unless the 
Administrator determines that the national program of 
aeronautical and space activities would be best served by 
vesting title in the grantee institution.

Section 211.--Availability of appropriated amounts

  This section provides that appropriations authorized under 
the bill will remain available without fiscal year limitation.

Section 212.--Consideration by committees

  This section provides that NASA may not use appropriations 
for any program deleted by Congress from the budget request and 
that NASA may not use appropriations for a program in excess of 
the amount authorized (exclusive of construction of facility 
projects) unless NASA provides 30 days' notice of such action 
to the Committee on Commerce, Science, and Transportation of 
the Senate and the Committee on Science of the House of 
Representatives. The section is intended to discourage the use 
of appropriations for requested NASA programs and activities 
not approved by Congress and spending for projects in excess of 
the amounts authorized.

Section 213.--Use of funds for scientific consultations or 
        extraordinary expenses

  This section authorizes the use of up to $35,000 in Mission 
Support funds for scientific consultations or extraordinary 
expenses upon the authority of the Administrator.

Section 214.--Reporting requirements

  This section amends the National Aeronautics and Space Act of 
1958, as amended, to authorize the annual Aeronautics and Space 
Report in May rather than January and to submit the report on a 
fiscal-year, rather than calendar-year, basis. In July 1990, 
the Office of Management and Budget directed NASA to publish 
the Aeronautics and Space Report on a fiscal-year basis and on 
a more timely basis. The reports had been issued on a calendar-
year basis and were published about two or three years after 
the year they covered. Since FY 1990, the reports have been 
written on a fiscal-year basis. To conform current law with 
NASA's actual practice, the bill changes the word ``calendar'' 
to ``fiscal,'' and, to provide NASA with sufficient time to 
prepare the report, changes the word ``January'' to ``May.''

Section 215.--Independent research and development

  This section indicates that Congress finds it is appropriate 
for costs contributed by a contractor under a cooperative 
agreement to be considered as allowable independent research 
and development costs for the purposes of the federal 
procurement regulations if the work would have been allowable 
as independent research and development costs had there been no 
cooperative agreement. It further directs the Administration to 
seek a revision in the regulations to reflect the Congressional 
finding.

Section 216.--Restructuring of the Earth observing system data and 
        information system

  The Administrator is prohibited from restructuring the data 
management portion of Mission to Planet Earth unless, 60 days 
before undertaking such action, he has provided the Committee 
on Commerce, Science, and Transportation of the Senate and the 
Committee on Science of the House of Representatives with a 
written report detailing the nature, reasons, and impact of the 
action. The Committee is pleased with the baseline plan for 
Mission to Planet Earth, particularly its data management 
component, the Earth Observing System Data and Information 
System (EOSDIS). Through its network of regional Distributed 
Active Archive Centers (DAACs), EOSDIS will collect and process 
an unprecedented volume of satellite data and distribute that 
data to over 100,000 users in business, education, agriculture, 
and the general public. As the troubled history of the Space 
Station program shows, nothing is more destructive to a mission 
of this size and complexity than repeated downscalings and 
restructurings. Such program changes typically reduce 
scientific content, increase long-term costs, and produce 
schedule delays. This section is intended to ensure that NASA 
honors its commitment to the baseline plan for EOSDIS and does 
not take unilateral action to restructure, downsize, re-
compete, or make fundamental changes in EOSDIS. The Committee 
cautions NASA that it will not condone any unauthorized plan to 
restructure EOSDIS or, for that matter, any other major space 
activity that Congress has already approved. Significant 
changes to EOSDIS should be made only through the enactment of 
appropriations or authorization legislation.

           Title III--Commercial Space Launch Act Amendments

Sections 301 through 318.--Reentry vehicles and sites

  These sections amend the Commercial Space Launch Act by 
expressly extending the licensing authority of the Office of 
Commercial Space Transportation (OCST), which issues licenses 
for U.S. commercial launches, to cover emerging ``reentry'' and 
orbit-to-orbit activities. These statutory changes were 
requested by OCST to clarify its authority to regulate the 
reentry of reentry vehicles, the operation of reentry sites, 
and orbit-to-orbit space transportation. These specific types 
of commercial space activities were not contemplated when the 
Commercial Space Launch Act was enacted.

Section 319.--Space advertising

  This section prohibits the Secretary of Transportation from 
issuing or transferring any license for the launch of a payload 
containing material to be used for purposes of obtrusive space 
advertising. The section also requests that the President enter 
into negotiations with other spacefaring nations for the 
purpose of reaching an agreement prohibiting obtrusive space 
advertising. These provisions were in response to indications 
that private companies might attempt to launch into orbit 
billboards large enough to be seen from Earth by the unaided 
eye.

                        Changes in Existing Law

  In compliance with paragraph 12 of rule XXVI of the Standing 
Rules of the Senate, changes in existing law made by the bill, 
as reported, are shown as follows (existing law proposed to be 
omitted is enclosed in black brackets, new material is printed 
in italic, existing law in which no change is proposed is shown 
in roman):

[Note: Changes in existing law are shown as that law is carried 
in the United States Code, whether or not a particular title 
has been enacted into positive law. Changes to tables of 
sections are not shown.]

                TITLE 42. THE PUBLIC HEALTH AND WELFARE

                   CHAPTER 26. NATIONAL SPACE PROGRAM

                           GENERAL PROVISIONS

Sec. 2454. Access to information

  (a) Information obtained or developed by the Administrator in 
the performance of his functions under this Act shall be made 
available for public inspection, except (A) information 
authorized or required by Federal statute to be withheld, (B) 
information classified to protect the national security, and 
(C) information described in subsection (b): Provided, That 
nothing in this Act shall authorize the withholding of 
information by the Administrator from the duly authorized 
committees of the Congress.
  (b) The Administrator, for a period of up to 5 years after 
the development of information that results from activities 
conducted under an agreement entered into under section 203(c) 
(5) and (6) of this Act, and that would be a trade secret or 
commercial or financial information that is privileged or 
confidential under the meaning of section 552(b)(4) of title 5, 
United States Code, if the information had been obtained from a 
non-Federal party participating in such an agreement, may 
provide appropriate protections against the dissemination of 
such information, including exemption from subchapter II of 
chapter 5 of title 5, United States Code.
  (c)(1) The Administrator may delay, for a period not to 
exceed 5 years, the unrestricted public disclosure of technical 
data, related to a competitively sensitive technology, in the 
possession of, or under the control of, the Administration that 
has been generated in the performance of experimental, 
developmental, or research activities or programs conducted by, 
or funded in whole or in part by, the Administration, if the 
technical data has significant value in maintaining leadership 
or competitiveness, in civil and governmental aeronautical and 
space activities by the United States industrial base.
  (2) The Administrator shall publish biannually in the Federal 
Register a list of all competitively sensitive technology areas 
which it believes have a significant value in maintaining the 
United States leadership or competitiveness in civil and 
governmental aeronautical and space activities. The list shall 
be generated after consultation with appropriate Government 
agencies and a diverse cross section of companies--
          (A) that conduct a significant level of research, 
        development, engineering, and manufacturing in the 
        United States; and
          (B) the majority ownership or control of which is 
        held by United States citizens.
  (3) The Administrator shall provide an opportunity for 
written objections to the list within a 60-day period after it 
is published. After the expiration of that 60-day period, and 
after consideration of all written objections received by the 
Administrator during that period, NASA shall issue a final list 
of competitively sensitive technology areas.
  (4) For purposes of this subsection, the term ``technical 
data'' means any recorded information, including computer 
software, that is or may be directly applicable to the design, 
engineering, development, production, manufacture, or operation 
of products or processes that may have significant value in 
maintaining leadership or competitiveness in civil and 
governmental aeronautical and space activities by the United 
States industrial base.

Sec. 2476. Reports to the Congress

  (a) Presidential Report; Transmittal.--The President shall 
transmit to the Congress in [January] May of each year a 
report, which shall include (1) a comprehensive description of 
the programed activities and the accomplishments of all 
agencies of the United States in the field of aeronautics and 
space activities during the preceding [calendar] fiscal year, 
and (2) an evaluation of such activities and accomplishments in 
terms of the attainment of, or the failure to attain, the 
objectives described in section 102(c) of this Act [42 U.S.C. 
Sec.  2451(c)].
  (b) Recommendations for Additional Legislation.--Any report 
made under this section shall contain such recommendations for 
additional legislation as the Administrator or the President 
may consider necessary or desirable for the attainment of the 
objectives described in section 102(c) of this Act [42 U.S.C. 
Sec.  2451(c)].
  (c) Classified Information.--No information which has been 
classified for reasons of national security shall be included 
in any report made under this section, unless such information 
has been declassified by, or pursuant to authorization given 
by, the President.

                        Title 49--Transportation

            Chapter 701--Commercial Space Launch Activities

Sec. 70101. Findings and purposes

  (a) Findings.--Congress finds that--
          (1) the peaceful uses of outer space continue to be 
        of great value and to offer benefits to all mankind;
          (2) private applications of space technology have 
        achieved a significant level of commercial and economic 
        activity and offer the potential for growth in the 
        future, particularly in the United States;
          (3) new and innovative equipment and services are 
        being sought, produced, and offered by entrepreneurs in 
        telecommunications, information services, microgravity 
        research, and remote sensing technologies;
          (4) the private sector in the United States has the 
        capability of developing and providing commercial space 
        transportation services, including in-space 
        transportation activities and private satellite 
        launching and associated services that would complement 
        the launching and associated services now available 
        from the United States Government;
          (5) the development of [commercial launch vehicles] 
        commercial space transportation including commercial 
        launch vehicles, in-space transportation activities, 
        reentry vehicles, and associated services would enable 
        the United States to retain its competitive position 
        internationally, contributing to the national interest 
        and economic well-being of the United States;
          (6) providing [launch] launch, in-space 
        transportation, and reentry services by the private 
        sector is consistent with the national security and 
        foreign policy interests of the United States and would 
        be facilitated by stable, minimal, and appropriate 
        regulatory guidelines that are fairly and expeditiously 
        applied;
          (7) the United States should encourage private sector 
        [launches] launches, in-space transportation 
        activities, reentries and associated services and, only 
        to the extent necessary, regulate those [launches] 
        launches, in-space transportation activities, reentries 
        and services to ensure compliance with international 
        obligations of the United States and to protect the 
        public health and safety, safety of property, and 
        national security and foreign policy interests of the 
        United States;
          (8) space transportation, including the establishment 
        and operation of launch [sites and complementary 
        facilities, the providing of launch] sites, in-space 
        transportation control sites, reentry sites, and 
        complementary facilities, the providing of launch, in-
        space transportation, and reentry services, the 
        establishment of support facilities, and the providing 
        of support services, is an important element of the 
        transportation system of the United States, and in 
        connection with the commerce of the United States there 
        is a need to develop a strong space transportation 
        infrastructure with significant private sector 
        involvement; and
          (9) the participation of State governments in 
        encouraging and facilitating private sector involvement 
        in space-related activity, particularly through the 
        establishment of a space transportation-related 
        infrastructure, including launch sites, in-space 
        transportation control sites, reentry sites, 
        complementary facilities, and launch site support 
        facilities, is in the national interest and is of 
        significant public benefit.
  (b) Purposes.--The purposes of this chapter are--
          (1) to promote economic growth and entrepreneurial 
        activity through use of the space environment for 
        peaceful purposes;
          (2) to encourage the United States private sector to 
        provide [launch vehicles] commercial space 
        transportation services, including launch vehicles, in-
        space transportation activities, reentry vehicles, and 
        associated services by--
                  (A) simplifying and expediting the issuance 
                and transfer of commercial launch licenses; and
                  (B) facilitating and encouraging the use of 
                Government-developed space technology;
          (3) to provide that the Secretary of Transportation 
        is to oversee and coordinate the conduct of commercial 
        [launch] launch, in-space transportation vehicle, and 
        reentry operations, issue and transfer [commercial 
        launch] licenses authorizing those operations, and 
        protect the public health and safety, safety of 
        property, and national security and foreign policy 
        interests of the United States; and
          (4) to facilitate the strengthening and expansion of 
        the United States space transportation infrastructure, 
        including the enhancement of United States launch sites 
        and launch-site support facilities, in-space 
        transportation vehicle control facilities, and 
        development of reentry sites with Government, State, 
        and private sector involvement, to support the full 
        range of United States space-related activities.

Sec. 70102. Definitions

  In this chapter--
          (1) ``citizen of the United States'' means--
                  (A) an individual who is a citizen of the 
                United States;
                  (B) an entity organized or existing under the 
                laws of the United States or a State; or
                  (C) an entity organized or existing under the 
                laws of a foreign country if the controlling 
                interest (as defined by the Secretary of 
                Transportation) is held by an individual or 
                entity described in subclause (A) or (B) of 
                this clause.
          (2) ``executive agency'' has the same meaning given 
        that term in section 105 of title 5.
          (3) ``launch'' means to place or try to place a 
        launch vehicle and any payload from Earth, including a 
        reentry vehicle and its payload, if any--
                  (A) in a suborbital trajectory;
                  (B) in Earth orbit in outer space; or
                  (C) otherwise in outer space.
          (4) ``launch property'' means an item built for, or 
        used in, the launch preparation or launch of a launch 
        vehicle.
          (5) ``launch services'' means--
                  (A) activities involved in the preparation of 
                a launch vehicle and payload for launch; and
                  (B) the conduct of a launch.
          (6) ``launch site'' means the location on Earth from 
        which a launch takes place (as defined in a license the 
        Secretary issues or transfers under this chapter) and 
        necessary facilities.
          (7) ``launch vehicle'' means--
                  (A) a vehicle built to operate in, or place a 
                payload in, outer space; and
                  (B) a suborbital rocket.
          (8) ``payload'' means an [object] object, including a 
        reentry vehicle and its payload, if any, that a person 
        undertakes to place in outer space by means of a launch 
        vehicle, including components of the vehicle 
        specifically designed or adapted for that object.
          (9) ``in-space transportation vehicle'' means any 
        vehicle designed to operate in space and designed to 
        transport any payload or object substantially intact 
        from one orbit to another orbit.
          (10) ``in-space transportation services'' means--
                  (A) those activities involved in the direct 
                transportation or attempted transportation of a 
                payload or object from one orbit to another;
                  (B) the procedures, actions, and activities 
                necessary for conduct of those transportation 
                services; and
                  (C) the conduct of transportation services.
          (11) ``in-space transportation control site'' means a 
        location from which an in-space transportation vehicle 
        is controlled or operated (as such terms may be defined 
        in any license the Secretary issues or transfers under 
        this chapter).
          (12) ``obtrusive space advertising'' means 
        advertising in outer space that is capable of being 
        recognized by a human being on the surface of the earth 
        without the aid of a telescope or other technological 
        device.
          (13) ``reenter'' and ``reentry'' mean to return 
        purposefully, or attempt to return, a reentry vehicle 
        and payload, if any, from Earth orbit or outer space to 
        Earth.
          (14) ``reentry services'' means--
                  (A) activities involved in the preparation of 
                a reentry vehicle and its payload, if any, for 
                reentry; and
                  (B) the conduct of a reentry.
          (15) ``reentry site'' means the location on Earth to 
        which a reentry vehicle is intended to return (as 
        defined in a license the Secretary issues or transfers 
        under this chapter).
          (16) ``reentry vehicle'' means any vehicle designed 
        to return substantially intact from Earth orbit or 
        outer space to Earth.'';
          [(9)] (17) ``person'' means an individual and an 
        entity organized or existing under the laws of a State 
        or country.
          [(10)] (18) ``State'' means a State of the United 
        States, the District of Columbia, and a territory or 
        possession of the United States.
          [(11)] (19) ``third party'' means a person except--
                  (A) the United States Government or the 
                Government's contractors or subcontractors 
                involved in launch [services] services, in-
                space transportation activities, or reentry 
                services;
                  (B) a licensee or transferee under this 
                chapter;
                  (C) a licensee's or transferee's contractors, 
                subcontractors, or customers involved in launch 
                [services] services, in-space transportation 
                activities, or reentry services; or
                  (D) the customer's contractors or 
                subcontractors involved in launch [services] 
                services, in-space transportation activities, 
                or reentry services.
          [(12)] (20) ``United States'' means the States of the 
        United States, the District of Columbia, and the 
        territories and possessions of the United States.

Sec. 70103. General authority

  (a) General.--The Secretary of Transportation shall carry out 
this chapter.
  (b) Facilitating Commercial [Launches] Space Activities.--In 
carrying out this chapter, the Secretary shall--
          (1) encourage, facilitate, and promote [commercial 
        space launches] commercial space transportation 
        services by the private sector; and
          (2) take actions to facilitate private sector 
        involvement in commercial space transportation 
        activity, and to promote public-private partnerships 
        involving the United States Government, State 
        governments, and the private sector to build, expand, 
        modernize, or operate [a space launch] space 
        transportation infrastructure.
  (c) Executive Agency Assistance.--When necessary, the head of 
an executive agency shall assist the Secretary in carrying out 
this chapter.

Sec. 70104. [Restrictions on launches and operations] Restrictions on 
                    launches, in-space transportation activities, 
                    operations, and reentries

  (a) License Requirement.--A license issued or transferred 
under this chapter is required for the following:
          (1) for a person to launch a launch vehicle or to 
        operate a launch [site] site, an in-space 
        transportation operations site, reentry site, or 
        reenter a reentry vehicle, in the United States.
          (2) for a citizen of the United States (as defined in 
        section 70102(1)(A) or (B) of this title) to launch a 
        launch vehicle or to operate a launch [site] site, an 
        in-space transportation operations site, reentry site, 
        or reenter a reentry vehicle, outside the United 
        States.
          (3) for a citizen of the United States (as defined in 
        section 70102(1)(C) of this title) to launch a launch 
        vehicle or to operate a launch [site] site, an in-space 
        transportation operations site, reentry site, or 
        reenter a reentry vehicle, outside the United States 
        and outside the territory of a foreign country unless 
        there is an agreement between the United States 
        Government and the government of the foreign country 
        providing that the government of the foreign country 
        has jurisdiction over the [launch or operation.] 
        launch, in-space transportation activity, or reentry 
        operation.
          (4) for a citizen of the United States (as defined in 
        section 70102(1)(C) of this title) to launch a launch 
        vehicle or to operate a launch [site] site, an in-space 
        transportation operations site, reentry site, or 
        reenter a reentry vehicle, in the territory of a 
        foreign country if there is an agreement between the 
        United States Government and the government of the 
        foreign country providing that the United States 
        Government has jurisdiction over the [launch or 
        operation.] launch, in-space transportation activity, 
        or reentry operation.
  [(b) Compliance with Payload Requirements.--The holder of a 
launch license under this chapter may launch a payload only if 
the payload complies with all requirements of the laws of the 
United States related to launching a payload.]
  (b) Compliance with Payload Requirements._The holder of a 
license under this chapter may launch a payload, operate an in-
space transportation vehicle, or reenter a payload only if the 
payload or vehicle complies with all requirements of the laws 
of the United States related to launching a payload, operating 
an in-space transportation vehicle, or reentering a payload.
  (c) [Preventing Launches.--]  Preventing Launches, In-space 
Transportation Activities, or Reentries._The Secretary of 
Transportation shall establish whether all required licenses, 
authorizations, and permits required for a payload have been 
obtained. If no license, authorization, or permit is required, 
the Secretary may prevent the [launch] launch, in-space 
transportation activity, or reentry if the Secretary decides 
the [launch] launch, in-space transportation activity, or 
reentry would jeopardize the public health and safety, safety 
of property, or national security or foreign policy interest of 
the United States.

Sec. 70105. License applications and requirements

  (a) Applications.--A person may apply to the Secretary of 
Transportation for a license or transfer of a license under 
this chapter in the form and way the Secretary prescribes. 
Consistent with the public health and safety, safety of 
property, and national security and foreign policy interests of 
the United States, the Secretary, not later than 180 days after 
receiving an application, shall issue or transfer a license if 
the Secretary decides in writing that the applicant complies, 
and will continue to comply, with this chapter and regulations 
prescribed under this chapter. The Secretary shall inform the 
applicant of any pending issue and action required to resolve 
the issue if the Secretary has not made a decision not later 
than 120 days after receiving an application.
  (b) Requirements.--
          (1) Except as provided in this subsection, all 
        requirements of the laws of the United States 
        applicable to the launch of a launch vehicle or the 
        operation of a launch [site] site, an in-space 
        transportation control site, or a reentry site or the 
        reentry of a reentry vehicle, are requirements for a 
        license under this chapter.
          (2) The Secretary may prescribe--
                  (A) any term necessary to ensure compliance 
                with this chapter, including on-site 
                verification that a [launch or operation] 
                launch, in-space transportation activity, 
                operation, or reentry complies with 
                representations stated in the application;
                  (B) an additional requirement necessary to 
                protect the public health and safety, safety of 
                property, national security interests, and 
                foreign policy interests of the United States; 
                and
                  (C) by regulation that a requirement of a law 
                of the United States not be a requirement for a 
                license if the Secretary, after consulting with 
                the head of the appropriate executive agency, 
                decides that the requirement is not necessary 
                to protect the public health and safety, safety 
                of property, and national security and foreign 
                policy interests of the United States.
          (3) The Secretary may waive a requirement for an 
        individual applicant if the Secretary decides that the 
        waiver is in the public interest and will not 
        jeopardize the public health and safety, safety of 
        property, and national security and foreign policy 
        interests of the United States.
  (c) Procedures and timetables.--The Secretary shall establish 
procedures and timetables that expedite review of a license 
application and reduce the regulatory burden for an applicant.

Sec. 70106. Monitoring activities

  (a) General Requirements.--A licensee under this chapter must 
allow the Secretary of Transportation to place an officer or 
employee of the United States Government or another individual 
as an observer at a launch [site] site, in-space transportation 
control site, or reentry site the licensee uses, at a 
production facility or assembly site a contractor of the 
licensee uses to produce or assemble a launch [vehicle,] 
vehicle, in-space transportation vehicle, or reentry vehicle or 
at a site at which a payload is integrated with a launch 
[vehicle.] vehicle, in-space transportation vehicle, or reentry 
vehicle. The observer will monitor the activity of the licensee 
or contractor at the time and to the extent the Secretary 
considers reasonable to ensure compliance with the license or 
to carry out the duties of the Secretary under section 70104(c) 
of this title. A licensee must cooperate with an observer 
carrying out this subsection.
  (b) Contracts.--To the extent provided in advance in an 
appropriation law, the Secretary may make a contract with a 
person to carry out subsection (a) of this section.

Sec. 70108. [Prohibition, suspension, and end of launches and operation 
                    of launch sites] Prohibition, suspension, and end 
                    of launches, in-space transportation activities, 
                    reentries, or operation of launch sites, in-space 
                    transportation control sites, or reentry sites

  (a) General Authority.--The Secretary of Transportation may 
prohibit, suspend, or end immediately the launch of a launch 
vehicle or the operation of a launch [site] site, in-space 
transportation control site, in-space transportation activity, 
or reentry site, or reentry of a reentry vehicle, licensed 
under this chapter if the Secretary decides the [launch or 
operation] launch, in-space transportation activity, operation, 
or reentry is detrimental to the public health and safety, the 
safety of property, or a national security or foreign policy 
interest of the United States.
  (b) Effective Periods of Orders.--An order under this section 
takes effect immediately and remains in effect during a review 
under section 70110 of this title.

Sec. 70109. [Preemption of scheduled launches] Preemption of scheduled 
                    launches, in-space transportation activities, or 
                    reentries

  (a) General.--With the cooperation of the Secretary of 
Defense and the Administrator of the National Aeronautics and 
Space Administration, the Secretary of Transportation shall act 
to ensure that a launch or reentry of a payload is not 
preempted from access to a United States Government launch 
[site] site, reentry site, or launch property, nor shall an in-
space transportation activity or operation be preempted, except 
for imperative national need, when a launch date commitment or 
reentry date commitment from the Government has been obtained 
for a launch or reentry licensed under this chapter. A licensee 
or transferee preempted from access to a launch [site] site, 
reentry site, or launch property does not have to pay the 
Government any amount for launch [services] services, or 
services related to a reentry, attributable only to the 
scheduled launch or reentry prevented by the preemption. A 
licensee or transferee preempted from access to a reentry site 
does not have to pay the Government agency responsible for the 
preemption any amount for reentry services attributable only to 
the scheduled reentry prevented by the preemption.
  (b) Imperative National Need Decisions.--In consultation with 
the Secretary of Transportation, the Secretary of Defense or 
the Administrator shall decide when an imperative national need 
requires preemption under subsection (a) of this section. That 
decision may not be delegated.
  (c) Reports.--In cooperation with the Secretary of 
Transportation, the Secretary of Defense or the Administrator, 
as appropriate, shall submit to Congress not later than 7 days 
after a decision to preempt under subsection (a) of this 
section, a report that includes an explanation of the 
circumstances justifying the decision and a schedule for 
ensuring the prompt launching or reentry of a preempted 
payload.

Sec. 70109a. Space advertising

  (a) Licensing._Notwithstanding the provisions of this chapter 
or any other provision of law, the Secretary shall not--
          (1) issue or transfer a license under this chapter; 
        or
          (2) waive the license requirements of this chapter;
for the launch of a payload containing any material to be used 
for the purposes of obtrusive space advertising.
  (b) Launching._No holder of a license under this chapter may 
launch a payload containing any material to be used for 
purposes of obtrusive space advertising on or after the date of 
enactment of the National Aeronautics and Space Administration 
Authorization Act, Fiscal Year 1996.
  (c) Commercial Space Advertising._Nothing in this section 
shall apply to nonobtrusive commercial space advertising, 
including advertising on commercial space transportation 
vehicles, space infrastructure, payloads, space launch 
facilities, and launch support facilities.

Sec. 70110. Administrative hearings and judicial review

  (a) Administrative Hearings.--The Secretary of Transportation 
shall provide an opportunity for a hearing on the record to--
          (1) an applicant under this chapter, for a decision 
        of the Secretary under section 70105(a) of this title 
        to issue or transfer a license with terms or deny the 
        issuance or transfer of a license;
          (2) an owner or operator of a payload under this 
        chapter, for a decision of the Secretary under section 
        70104(c) of this title to prevent the [launch] launch, 
        in-space transportation activity, or reentry of the 
        payload; and
          (3) a licensee under this chapter, for a decision of 
        the Secretary under--
                  (A) section 70107 (b) or (c) of this title to 
                modify, suspend, or revoke a license; or
                  (B) section 70108(a) of this title to 
                prohibit, suspend, or end a launch or operation 
                of a launch [site] site, in-space 
                transportation control site, in-space 
                transportation activity, reentry site, or 
                reentry of a reentry vehicle, licensed by the 
                Secretary.
  (b) Judicial Review.--A final action of the Secretary under 
this chapter is subject to judicial review as provided in 
chapter 7 of title 5.

Sec.  70111. Acquiring United States Government property and services

  (a) General Requirements and Considerations.--
          (1) The Secretary of Transportation shall facilitate 
        and encourage the acquisition by the private sector and 
        State governments of--
                  (A) launch or reentry property of the United 
                States Government that is excess or otherwise 
                is not needed for public use; and
                  (B) launch services, in-space transportation 
                activities, or reentry services, including 
                utilities, of the Government otherwise not 
                needed for public use.
          (2) In acting under paragraph (1) of this subsection, 
        the Secretary shall consider the commercial 
        availability on reasonable terms of substantially 
        equivalent launch or reentry  property or launch 
        [services] services, in-space transportation 
        activities, or reentry services, from a domestic 
        source.
  (b) Price.--
          (1) In this subsection, ``direct costs'' means the 
        actual costs that--
                  (A) can be associated unambiguously with a 
                commercial [launch] launch, in-space 
                transportation activity, or reentry effort; and
                  (B) the Government would not incur if there 
                were no commercial [launch] launch, in-space 
                transportation activity, or reentry effort.
          (2) In consultation with the Secretary, the head of 
        the executive agency providing the property or service 
        under subsection (a) of this section shall establish 
        the price for the property or service. The price for--
                  (A) acquiring launch property by sale or 
                transaction instead of sale is the fair market 
                value;
                  (B) acquiring launch property (except by sale 
                or transaction instead of sale) is an amount 
                equal to the direct costs, including specific 
                wear and tear and property damage, the 
                Government incurred because of acquisition of 
                the property; and
                  (C) launch [services] services, in-space 
                transportation activities or services, or 
                reentry services is an amount equal to the 
                direct costs, including the basic pay of 
                Government civilian and contractor personnel, 
                the Government incurred because of acquisition 
                of the services.
  (c) Collection by Secretary.--The Secretary may collect a 
payment under this section with the consent of the head of the 
executive agency establishing the price. Amounts collected 
under this subsection shall be deposited in the Treasury. 
Amounts (except for excess launch property) shall be credited 
to the appropriation from which the cost of providing the 
property or services was paid.
  [(d) Collection by Other Governmental Heads.--The head of a 
department, agency, or instrumentality of the Government may 
collect a payment for an activity involved in producing a 
launch vehicle or its payload for launch if the activity was 
agreed to by the owner or manufacturer of the launch vehicle or 
payload.]
  (d) Collection by Other Governmental Heads._The head of a 
department, agency, or instrumentality of the Government may 
collect a payment for any activity involved in producing a 
launch vehicle, in-space transportation vehicle, or reentry 
vehicle or its payload for launch, in-space transportation 
activity, or reentry if the activity was agreed to by the owner 
or manufacturer of the launch vehicle, in-space transportation 
vehicle, reentry vehicle, or payload.

Sec.  70112. Liability insurance and financial responsibility 
                    requirements

  (a) General Requirements.--
          (1) When a license is issued or transferred under 
        this chapter, the licensee or transferee shall obtain 
        liability insurance or demonstrate financial 
        responsibility in amounts to compensate for the maximum 
        probable loss from claims by--
                  (A) a third party for death, bodily injury, 
                or property damage or loss resulting from an 
                activity carried out under the license; and
                  (B) the United States Government against a 
                person for damage or loss to Government 
                property resulting from an activity carried out 
                under the license.
          (2) The Secretary of Transportation shall determine 
        the amounts required under paragraph (1)(A) and (B) of 
        this subsection, after consulting with the 
        Administrator of the National Aeronautics and Space 
        Administration, the Secretary of the Air Force, and the 
        heads of other appropriate executive agencies.
          (3) For the total claims related to one [launch,] 
        launch or reentry, or to the operations of each in-
        space transportation vehicle, a licensee or transferee 
        is not required to obtain insurance or demonstrate 
        financial responsibility of more than--
                  (A) (i) $ 500,000,000 under paragraph (1)(A) 
                of this subsection; or
                  (ii) $ 100,000,000 under paragraph (1)(B) of 
                this subsection; or
                  (B) the maximum liability insurance available 
                on the world market at reasonable cost if the 
                amount is less than the applicable amount in 
                clause (A) of this paragraph.
          (4) An insurance policy or demonstration of financial 
        responsibility under this subsection shall protect the 
        following, to the extent of their potential liability 
        for involvement in launch [services,] services, in-
        space transportation activities, or reentry services at 
        no cost to the Government:
                  (A) the Government.
                  (B) executive agencies and personnel, 
                contractors, and subcontractors of the 
                Government.
                  (C) contractors, subcontractors, and 
                customers of the licensee or transferee.
                  (D) contractors and subcontractors of the 
                customer.
  (b) Reciprocal Waiver of Claims.--
          (1) A license issued or transferred under this 
        chapter shall contain a provision requiring the 
        licensee or transferee to make a reciprocal waiver of 
        claims with its contractors, subcontractors, and 
        customers, and contractors and subcontractors of the 
        customers, involved in launch [services] services, in-
        space transportation activities, or reentry services 
        under which each party to the waiver agrees to be 
        responsible for property damage or loss it sustains, or 
        for personal injury to, death of, or property damage or 
        loss sustained by its own employees resulting from an 
        activity carried out under the applicable license.
          (2) The Secretary of Transportation shall make, for 
        the Government, executive agencies of the Government 
        involved in launch [services,] services, in-space 
        transportation activities, or reentry services and 
        contractors and subcontractors involved in launch 
        [services,] services, in-space transportation 
        activities, or reentry services a reciprocal waiver of 
        claims with the licensee or transferee, contractors, 
        subcontractors, and customers of the licensee or 
        transferee, and contractors and subcontractors of the 
        customers, involved in launch [services] services, in-
        space transportation activities, or reentry services 
        under which each party to the waiver agrees to be 
        responsible for property damage or loss it sustains, or 
        for personal injury to, death of, or property damage or 
        loss sustained by its own employees resulting from an 
        activity carried out under the applicable license. The 
        waiver applies only to the extent that claims are more 
        than the amount of insurance or demonstration of 
        financial responsibility required under subsection 
        (a)(1)(B) of this section. After consulting with the 
        Administrator and the Secretary of the Air Force, the 
        Secretary of Transportation may waive, for the 
        Government and a department, agency, and 
        instrumentality of the Government, the right to recover 
        damages for damage or loss to Government property to 
        the extent insurance is not available because of a 
        policy exclusion the Secretary of Transportation 
        decides is usual for the type of insurance involved.
  (c) Determination of Maximum Probable Losses.--The Secretary 
of Transportation shall determine the maximum probable losses 
under subsection (a)(1)(A) and (B) of this section associated 
with an activity under a license not later than 90 days after a 
licensee or transferee requires a determination and submits all 
information the Secretary requires. The Secretary shall amend 
the determination as warranted by new information.
  (d) Annual Report.--
          (1) Not later than November 15 of each year, the 
        Secretary of Transportation shall submit to the 
        Committee on Commerce, Science, and Transportation of 
        the Senate and the Committee on [Science, Space, and 
        Technology] Science of the House of Representatives a 
        report on current determinations made under subsection 
        (c) of this section related to all issued licenses and 
        the reasons for the determinations.
          (2) Not later than May 15 of each year, the Secretary 
        of Transportation shall review the amounts specified in 
        subsection (a)(3)(A) of this section and submit a 
        report to Congress that contains proposed adjustments 
        in the amounts to conform with changed liability 
        expectations and availability of insurance on the world 
        market. The proposed adjustment takes effect 30 days 
        after a report is submitted.
  (e) [Launches] Launches, In-space Transportation Activities, 
or Reentries Involving Government Facilities and Personnel.--
The Secretary of Transportation shall establish requirements 
consistent with this chapter for proof of financial 
responsibility and other assurances necessary to protect the 
Government and its executive agencies and personnel from 
liability, death, bodily injury, or property damage or loss as 
a result of a launch or operation of a launch [site] site, in-
space transportation control site, or control or an in-space 
transportation vehicle or activity, or reentry site or a 
reentry involving a facility or personnel of the Government. 
The Secretary may not relieve the Government of liability under 
this subsection for death, bodily injury, or property damage or 
loss resulting from the willful misconduct of the Government or 
its agents.
  (f) Collection and Crediting Payments.--The head of a 
department, agency, or instrumentality of the Government shall 
collect a payment owed for damage or loss to Government 
property under its jurisdiction or control resulting from an 
activity carried out under a license issued or transferred 
under this chapter. The payment shall be credited to the 
current applicable appropriation, fund, or account of the 
department, agency, or instrumentality.

Sec.  70113. Paying claims exceeding liability insurance and financial 
                    responsibility requirements

  (a) General Requirements.--
          (1) To the extent provided in advance in an 
        appropriation law or to the extent additional 
        legislative authority is enacted providing for paying 
        claims in a compensation plan submitted under 
        subsection (d) of this section, the Secretary of 
        Transportation shall provide for the payment by the 
        United States Government of a successful claim 
        (including reasonable litigation or settlement 
        expenses) of a third party against a licensee or 
        transferee under this chapter, a contractor, 
        subcontractor, or customer of the licensee or 
        transferee, or a contractor or subcontractor of a 
        customer, resulting from an activity carried out under 
        the license issued or transferred under this chapter 
        for death, bodily injury, or property damage or loss 
        resulting from an activity carried out under the 
        license. However, claims may be paid under this section 
        only to the extent the total amount of successful 
        claims related to one [launch--] launch, operation of 
        one in-space transportation vehicle, or one reentry--
                  (A) is more than the amount of insurance or 
                demonstration of financial responsibility 
                required under section 70112(a)(1)(A) of this 
                title; and
                  (B) is not more than $1,500,000,000 (plus 
                additional amounts necessary to reflect 
                inflation occurring after January 1, 1989) 
                above that insurance or financial 
                responsibility amount.
          (2) The Secretary may not provide for paying a part 
        of a claim for which death, bodily injury, or property 
        damage or loss results from willful misconduct by the 
        licensee or transferee. To the extent insurance 
        required under section 70112(a)(1)(A) of this title is 
        not available to cover a successful third party 
        liability claim because of an insurance policy 
        exclusion the Secretary decides is usual for the type 
        of insurance involved, the Secretary may provide for 
        paying the excluded claims without regard to the 
        limitation contained in section 70112(a)(1).
  (b) Notice, Participation, and Approval.--Before a payment 
under subsection (a) of this section is made--
          (1) notice must be given to the Government of a 
        claim, or a civil action related to the claim, against 
        a party described in subsection (a)(1) of this section 
        for death, bodily injury, or property damage or loss;
          (2) the Government must be given an opportunity to 
        participate or assist in the defense of the claim or 
        action; and
          (3) the Secretary must approve any part of a 
        settlement to be paid out of appropriations of the 
        Government.
  (c) Withholding Payments.--The Secretary may withhold a 
payment under subsection (a) of this section if the Secretary 
certifies that the amount is not reasonable. However, the 
Secretary shall deem to be reasonable the amount of a claim 
finally decided by a court of competent jurisdiction.
  (d) Surveys, Reports, and Compensation Plans.--
          (1) If as a result of an activity carried out under a 
        license issued or transferred under this chapter the 
        total of claims related to one launch is likely to be 
        more than the amount of required insurance or 
        demonstration of financial responsibility, the 
        Secretary shall--
                  (A) survey the causes and extent of damage; 
                and
                  (B) submit expeditiously to Congress a report 
                on the results of the survey.
          (2) Not later than 90 days after a court 
        determination indicates that the liability for the 
        total of claims related to one launch may be more than 
        the required amount of insurance or demonstration of 
        financial responsibility, the President, on the 
        recommendation of the Secretary, shall submit to 
        Congress a compensation plan that--
                  (A) outlines the total dollar value of the 
                claims;
                  (B) recommends sources of amounts to pay for 
                the claims;
                  (C) includes legislative language required to 
                carry out the plan if additional legislative 
                authority is required; and
                  (D) for a single event or incident, may not 
                be for more than $1,500,000,000.
          (3) A compensation plan submitted to Congress under 
        paragraph (2) of this subsection shall--
                  (A) have an identification number; and
                  (B) be submitted to the Senate and the House 
                of Representatives on the same day and when the 
                Senate and House are in session.
  (e) Congressional Resolutions.--
          (1) In this subsection, ``resolution''--
                  (A) means a joint resolution of Congress the 
                matter after the resolving clause of which is 
                as follows: ``That the Congress approves the 
                compensation plan numbered -------- submitted 
                to the Congress on ---- --, 19--.'', with the 
                blank spaces being filled appropriately; but
                  (B) does not include a resolution that 
                includes more than one compensation plan.
          (2) The Senate shall consider under this subsection a 
        compensation plan requiring additional appropriations 
        or legislative authority not later than 60 calendar 
        days of continuous session of Congress after the date 
        on which the plan is submitted to Congress.
          (3) A resolution introduced in the Senate shall be 
        referred immediately to a committee by the President of 
        the Senate. All resolutions related to the same plan 
        shall be referred to the same committee.
          (4)(A) If the committee of the Senate to which a 
        resolution has been referred does not report the 
        resolution within 20 calendar days after it is 
        referred, a motion is in order to discharge the 
        committee from further consideration of the resolution 
        or to discharge the committee from further 
        consideration of the plan.
          (B) A motion to discharge may be made only by an 
        individual favoring the resolution and is highly 
        privileged (except that the motion may not be made 
        after the committee has reported a resolution on the 
        plan). Debate on the motion is limited to one hour, to 
        be divided equally between those favoring and those 
        opposing the resolution. An amendment to the motion is 
        not in order. A motion to reconsider the vote by which 
        the motion is agreed to or disagreed to is not in 
        order.
          (C) If the motion to discharge is agreed to or 
        disagreed to, the motion may not be renewed and another 
        motion to discharge the committee from another 
        resolution on the same plan may not be made.
          (5)(A) After a committee of the Senate reports, or is 
        discharged from further consideration of, a resolution, 
        a motion to proceed to the consideration of the 
        resolution is in order at any time, even though a 
        similar previous motion has been disagreed to. The 
        motion is highly privileged and is not debatable. An 
        amendment to the motion is not in order. A motion to 
        reconsider the vote by which the motion is agreed to or 
        disagreed to is not in order.
          (B) Debate on the resolution referred to in 
        subparagraph (A) of this paragraph is limited to not 
        more than 10 hours, to be divided equally between those 
        favoring and those opposing the resolution. A motion 
        further to limit debate is not debatable. An amendment 
        to, or motion to recommit, the resolution is not in 
        order. A motion to reconsider the vote by which the 
        resolution is agreed to or disagreed to is not in 
        order.
          (6) The following shall be decided in the Senate 
        without debate:
                  (A) a motion to postpone related to the 
                discharge from committee.
                  (B) a motion to postpone consideration of a 
                resolution.
                  (C) a motion to proceed to the consideration 
                of other business.
                  (D) an appeal from a decision of the chair 
                related to the application of the rules of the 
                Senate to the procedures related to resolution.
  (f) Application.--This section applies to a license issued or 
transferred under this chapter for which the Secretary receives 
a complete and valid application not later than December 31, 
1999.

Sec.  70115. Enforcement and penalty

  (a) Prohibitions.--A person may not violate this chapter, a 
regulation prescribed under this chapter, or any term of a 
license issued or transferred under this chapter.
  (b) General Authority.--
          (1) In carrying out this chapter, the Secretary of 
        Transportation may--
                  (A) conduct investigations and inquiries;
                  (B) administer oaths;
                  (C) take affidavits; and
                  (D) under lawful process--
                          (i) enter at a reasonable time a 
                        launch site, in-space transportation 
                        control site, or reentry site, 
                        production facility, assembly site of a 
                        launch [vehicle,] vehicle, in-space 
                        transportation vehicle, or reentry 
                        vehicle or site at which a payload is 
                        integrated with a launch [vehicle] 
                        vehicle, in-space transportation 
                        vehicle, or reentry vehicle to inspect 
                        an object to which this chapter applies 
                        or a record or report the Secretary 
                        requires be made or kept under this 
                        chapter; and
                          (ii) seize the object, record, or 
                        report when there is probable cause to 
                        believe the object, record, or report 
                        was used, is being used, or likely will 
                        be used in violation of this chapter.
          (2) The Secretary may delegate a duty or power under 
        this chapter related to enforcement to an officer or 
        employee of another executive agency with the consent 
        of the head of the agency.
  (c) Civil Penalty.--
          (1) After notice and an opportunity for a hearing on 
        the record, a person the Secretary finds to have 
        violated subsection (a) of this section is liable to 
        the United States Government for a civil penalty of not 
        more than $ 100,000. A separate violation occurs for 
        each day the violation continues.
          (2) In conducting a hearing under paragraph (1) of 
        this subsection, the Secretary may--
                  (A) subpoena witnesses and records; and
                  (B) enforce a subpoena in an appropriate 
                district court of the United States.
          (3) The Secretary shall impose the civil penalty by 
        written notice. The Secretary may compromise or remit a 
        penalty imposed, or that may be imposed, under this 
        section.
          (4) The Secretary shall recover a civil penalty not 
        paid after the penalty is final or after a court enters 
        a final judgment for the Secretary.

Sec.  70117. Relationship to other executive agencies, laws, and 
                    international obligations

  (a) Executive Agencies.--Except as provided in this chapter, 
a person is not required to obtain from an executive agency a 
license, approval, waiver, or exemption to launch a launch 
vehicle or operate a launch [site.] site, perform in-space 
transportation activities or operate an in-space transportation 
control site or reentry site, or reenter a reentry vehicle.
  (b) Federal Communications Commission and Secretary of 
Commerce.--This chapter does not affect the authority of--
          (1) the Federal Communications Commission under the 
        Communications Act of 1934 (47 U.S.C. 151 et seq.); or
          (2) the Secretary of Commerce under the Land Remote-
        Sensing Commercialization Act of 1984 (15 U.S.C. 4201 
        et seq.).
  (c) States and Political Subdivisions.--A State or political 
subdivision of a State--
          (1) may not adopt or have in effect a law, 
        regulation, standard, or order inconsistent with this 
        chapter; but
          (2) may adopt or have in effect a law, regulation, 
        standard, or order consistent with this chapter that is 
        in addition to or more stringent than a requirement of, 
        or regulation prescribed under, this chapter.
  (d) Consultation.--The Secretary of Transportation is 
encouraged to consult with a State to simplify and expedite the 
approval of a space [launch] launch, perform an in-space 
transportation activity, or reentry activity.
  (e) Foreign Countries.--The Secretary of Transportation 
shall--
          (1) carry out this chapter consistent with an 
        obligation the United States Government assumes in a 
        treaty, convention, or agreement in force between the 
        Government and the government of a foreign country; and
          (2) consider applicable laws and requirements of a 
        foreign country when carrying out this chapter.
  [(f) Launch Not an Export.--A launch vehicle or payload that 
is launched is not, because of the launch, an export for 
purposes of a law controlling exports.
  [(g) Nonapplication.--This chapter does not apply to--
          [(1) a launch, operation of a launch vehicle or 
        launch site, or other space activity the Government 
        carries out for the Government; or
          [(2) planning or policies related to the launch, 
        operation, or activity.]
  (f) Launch Not an Export or Import._A launch vehicle, reentry 
vehicle, or payload that is launched or reentered is not, 
because of the launch or reentry, an export or import for 
purposes of a law controlling exports or imports.
  (g) Nonapplication._This chapter does not apply to--
          (1) a launch, in-space transportation activity, 
        reentry, operation of a launch vehicle, in-space 
        transportation vehicle, or reentry vehicle, or of a 
        launch site, in-space transportation control site, or 
        reentry site, or other space activity the Government 
        carries out for the Government; or
          (2) planning or policies related to the launch, in-
        space transportation activity, reentry, or operation.

Sec.  70120. Report to Congress

  The Secretary of Transportation shall submit to Congress an 
annual report to accompany the President's budget request 
that--
          (1) describes all activities undertaken under this 
        chapter, including a description of the process for the 
        application for and approval of licenses under this 
        chapter and recommendations for legislation that may 
        further commercial launches and reentries; and
          (2) reviews the performance of the regulatory 
        activities and the effectiveness of the Office of 
        Commercial Space Transportation.

                                
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