[House Report 106-509]
[From the U.S. Government Publishing Office]
106th Congress Report
HOUSE OF REPRESENTATIVES
2d Session 106-509
=======================================================================
OPEN-MARKET REORGANIZATION FOR THE BETTERMENT OF INTERNATIONAL
TELECOMMUICATIONS ACT (ORBIT ACT)
_______
March 2, 2000.--Ordered to be printed
_______
Mr. Bliley, from the committee of conference, submitted the following
CONFERENCE REPORT
[To accompany S. 376]
The committee of conference on the disagreeing votes of the
two Houses on the amendment of the House to the bill (S. 376),
to amend the Communications Satellite Act of 1962 to promote
competition and privatization in satellite communications, and
for other purposes, having met, after full and free conference,
have agreed to recommend and do recommend to their respective
Houses as follows:
That the Senate recede from its disagreement to the
amendment of the House and agree to the same with an amendment
as follows:
In lieu of the matter proposed to be inserted by the House
amendment, insert the following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Open-market Reorganization
for the Betterment of International Telecommunications Act'' or
the ``ORBIT Act''.
SEC. 2. PURPOSE.
It is the purpose of this Act to promote a fully
competitive global market for satellite communication services
for the benefit of consumers and providers of satellite
services and equipment by fully privatizing the
intergovernmental satellite organizations, INTELSAT and
Inmarsat.
SEC. 3. REVISION OF COMMUNICATIONS SATELLITE ACT OF 1962.
The Communications Satellite Act of 1962 (47 U.S.C. 701) is
amended by adding at the end the following new title:
``TITLE VI--COMMUNICATIONS COMPETITION AND PRIVATIZATION
``Subtitle A--Actions To Ensure Pro-Competitive Privatization
``SEC. 601. FEDERAL COMMUNICATIONS COMMISSION LICENSING.
``(a) Licensing for Separated Entities.--
``(1) Competition test.--The Commission may not
issue a license or construction permit to any separated
entity, or renew or permit the assignment or use of any
such license or permit, or authorize the use by any
entity subject to United States jurisdiction of any
space segment owned, leased, or operated by any
separated entity, unless the Commission determines that
such issuance, renewal, assignment, or use will not
harm competition in the telecommunications market of
the United States. If the Commission does not make such
a determination, it shall deny or revoke authority to
use space segment owned, leased, or operated by the
separated entity to provide services to, from, or
within the United States.
``(2) Criteria for competition test.--In making the
determination required by paragraph (1), the Commission
shall use the licensing criteria in sections 621 and
623, and shall not make such a determination unless the
Commission determines that the privatization of any
separated entity is consistent with such criteria.
``(b) Licensing for INTELSAT, Inmarsat, and Successor
Entities.--
``(1) Competition test.--
``(A) In general.--In considering the
application of INTELSAT, Inmarsat, or their
successor entities for a license or
construction permit, or for the renewal or
assignment or use of any such license or
permit, or in considering the request of any
entity subject to United States jurisdiction
for authorization to use any space segment
owned, leased, or operated by INTELSAT,
Inmarsat, or their successor entities, to
provide non-core services to, from, orwithin
the United States, the Commission shall determine whether--
``(i) after April 1, 2001, in the
case of INTELSAT and its successor
entities, INTELSAT and any successor
entities have been privatized in a
manner that will harm competition in
the telecommunications markets of the
United States; or
``(ii) after April 1, 2000, in the
case of Inmarsat and its successor
entities, Inmarsat and any successor
entities have been privatized in a
manner that will harm competition in
the telecommunications markets of the
United States.
``(B) Consequences of determination.--If
the Commission determines that such competition
will be harmed or that grant of such
application or request for authority is not
otherwise in the public interest, the
Commission shall limit through conditions or
deny such application or request, and limit or
revoke previous authorizations to provide non-
core services to, from, or within the United
States. After due notice and opportunity for
comment, the Commission shall apply the same
limitations, restrictions, and conditions to
all entities subject to United States
jurisdiction using space segment owned, leased,
or operated by INTELSAT, Inmarsat, or their
successor entities.
``(C) National security, law enforcement,
and public safety.--The Commission shall not
impose any limitation, condition, or
restriction under subparagraph (B) in a manner
that will, or is reasonably likely to, result
in limitation, denial, or revocation of
authority for non-core services that are used
by and required for a national security agency
or law enforcement department or agency of the
United States, or used by and required for, and
otherwise in the public interest, any other
Department or Agency of the United States to
protect the health and safety of the public.
Such services may be obtained by the United
States directly from INTELSAT, Inmarsat, or a
successor entity, or indirectly through COMSAT,
or authorized carriers or distributors of the
successor entity.
``(D) Rule of construction.--Nothing in
this subsection is intended to preclude the
Commission from acting upon applications of
INTELSAT, Inmarsat, or their successor entities
prior to the latest date set out in section
621(5)(A), including such actions as may be
necessary for the United States to become the
licensing jurisdiction for INTELSAT, but the
Commission shall condition a grant of authority
pursuant to this subsection upon compliance
with sections 621 and 622.
``(2) Criteria for competition test.--In making the
determination required by paragraph (1), the Commission
shall use the licensing criteria in sections 621, 622,
and 624, and shall determine that competition in the
telecommunications markets of the United States will be
harmed unless the Commission finds that the
privatization referred to in paragraph (1) is
consistent with such criteria.
``(3) Clarification: competitive safeguards.--In
making its licensing decisions under this subsection,
the Commission shall consider whether users of non-core
services provided by INTELSAT or Inmarsat or successor
or separated entities are able to obtain non-core
services from providers offering services other than
through INTELSAT or Inmarsat or successor or separated
entities, at competitive rates, terms, or conditions.
Such consideration shall also include whether such
licensing decisions would require users to replace
equipment at substantial costs prior to the termination
of its design life. In making its licensing decisions,
the Commission shall also consider whether competitive
alternatives in individual markets do not exist because
they have been foreclosed due to anticompetitive
actions undertaken by or resulting from the INTELSAT or
Inmarsat systems. Such licensing decisions shall be
made in a manner which facilitates achieving the
purposes and goals in this title and shall be subject
to notice and comment.
``(c) Additional Considerations in Determinations.--In
making its determinations and licensing decisions under
subsections (a) and (b), the Commission shall construe such
subsections in a manner consistent with the United States
obligations and commitments for satellite services under the
Fourth Protocol to the General Agreement on Trade in Services.
``(d) Independent Facilities Competition.--Nothing in this
section shall be construed as precluding COMSAT from investing
in or owning satellites or other facilities independent from
INTELSAT and Inmarsat, and successor or separated entities, or
from providing services through reselling capacity over the
facilities of satellite systems independent from INTELSAT and
Inmarsat, and successor or separated entities. This subsection
shall not be construed as restricting the types of contracts
which can be executed or services which may be provided by
COMSAT over the independent satellites or facilities described
in this subsection.
``SEC. 602. INCENTIVES; LIMITATION ON EXPANSION PENDING PRIVATIZATION.
``(a) Limitation.--Until INTELSAT, Inmarsat, and their
successor or separate entities are privatized in accordance
with the requirements of this title, INTELSAT, Inmarsat, and
their successor or separate entities, respectively, shall not
be permitted to provide additional services. The Commission
shall take all necessary measures to implement this
requirement, including denial by the Commission of licensing
for such services.
``(b) Orbital Location Incentives.--Until such
privatization is achieved, the United States shall oppose and
decline to facilitate applications by such entities for new
orbital locations to provide such services.
``Subtitle B--Federal Communications Commission Licensing Criteria:
Privatization Criteria
``SEC. 621. GENERAL CRITERIA TO ENSURE A PRO-COMPETITIVE PRIVATIZATION
OF INTELSAT AND INMARSAT.
``The President and the Commission shall secure a pro-
competitive privatization of INTELSAT and Inmarsat that meets
the criteria set forth in this section and sections 622 through
624. In securing such privatizations, the following criteria
shall be applied as licensing criteria for purposes of subtitle
A:
``(1) Dates for privatization.--Privatization shall
be obtained in accordance with the criteria of this
title of--
``(A) INTELSAT as soon as practicable, but
no later than April 1, 2001; and
``(B) Inmarsat as soon as practicable, but
no later than July 1, 2000.
``(2) Independence.--The privatized successor
entities and separated entities of INTELSAT and
Inmarsat shall operate as independent commercial
entities, and have a pro-competitive ownership
structure. The successor entities and separated
entities of INTELSAT and Inmarsat shall conduct an
initial public offering in accordance with paragraph
(5) to achieve such independence. Such offering shall
substantially dilute the aggregate ownership of such
entities by such signatories or former signatories. In
determining whether a public offering attains such
substantial dilution, the Commission shall take into
account the purposes and intent, privatization
criteria, and other provisions of this title, as well
as market conditions. No intergovernmental
organization, including INTELSAT or Inmarsat, shall
have--
``(A) an ownership interest in INTELSAT or
the successor or separated entities of
INTELSAT; or
``(B) more than minimal ownership interest
in Inmarsat or the successor or separated
entities of Inmarsat.
``(3) Termination of privileges and immunities.--
The preferential treatment of INTELSAT and Inmarsat
shall not be extended to any successor entity or
separated entity of INTELSAT or Inmarsat. Such
preferential treatment includes--
``(A) privileged or immune treatment by
national governments;
``(B) privileges or immunities or other
competitive advantages of the type accorded
INTELSAT and Inmarsat and their signatories
through the terms and operation of the INTELSAT
Agreement and the associated Headquarters
Agreement and the Inmarsat Convention; and
``(C) preferential access to orbital
locations.
Access to new, or renewal of access to, orbital
locations shall be subject to the legal or regulatory
processes of a national government that applies due
diligence requirements intended to prevent the
warehousing of orbital locations.
``(4) Prevention of expansion during transition.--
During the transition period prior to privatization
under this title, INTELSAT and Inmarsat shall be
precluded from expanding into additional services.
``(5) Conversion to stock corporations.--Any
successor entity or separated entity created out of
INTELSAT or Inmarsat shall be a national corporation or
similar accepted commercial structure, subject to the
laws of the nation in which incorporated, as follows:
``(A) An initial public offering of
securities of any successor entity or separated
entity--
``(i) shall be conducted, for the
successor entities of INTELSAT, on or
about October 1, 2001, except that the
Commission may extend this deadline in
consideration of market conditions and
relevant business factors relating to
the timing of an initial public
offering, but such extensions shall not
permit such offering to be conducted
later than December 31, 2002; and
``(ii) shall be conducted, for the
successor entities of Inmarsat, on or
about October 1, 2000, except that the
Commission may extend this deadline in
consideration of market conditions and
relevant business factors relating to
the timing of an initial public
offering, but to no later than December
31, 2001.
``(B) The shares of any successor entities
and separated entities shall be listed for
trading on one or more major stock exchanges
with transparent and effective securities
regulation.
``(C) A majority of the members of the
board of directors of any successor entity or
separated entity shall not be directors,
employees, officers, or managers or otherwise
serve as representatives of any signatory or
former signatory. No member of the board of
directors of any successor or separated entity
shall be a director, employee, officer or
manager of any intergovernmental organization
remaining after the privatization.
``(D) Any successor entity or separated
entity shall--
``(i) have a board of directors
with a fiduciary obligation;
``(ii) have no officers or managers
who (I) are officers or managers of any
signatories or former signatories, or
(II) have any direct financial interest
in or financial relationship to any
signatories or former signatories,
except that such interestmay be managed
through a blind trust or similar mechanism;
``(iii) have no directors,
officers, or managers who hold such
positions in any intergovernmental
organization; and
``(iv) in the case of a separated
entity, have no officers or directors,
who (I) are officers or managers of any
intergovernmental organization, or (II)
have any direct financial interest in
or financial relationship to any
international organization, except that
such interest may be managed through a
blind trust or similar mechanism.
``(E) Any transactions or other
relationships between or among any successor
entity, separated entity, INTELSAT, or Inmarsat
shall be conducted on an arm's length basis.
``(6) Regulatory treatment.--Any successor entity
or separated entity created after the date of enactment
of this title shall apply through the appropriate
national licensing authorities for international
frequency assignments and associated orbital
registrations for all satellites.
``(7) Competition policies in domiciliary
country.--Any successor entity or separated entity
shall be subject to the jurisdiction of a nation or
nations that--
``(A) have effective laws and regulations
that secure competition in telecommunications
services;
``(B) are signatories of the World Trade
Organization Basic Telecommunications Services
Agreement; and
``(C) have a schedule of commitments in
such Agreement that includes non-discriminatory
market access to their satellite markets.
``SEC. 622. SPECIFIC CRITERIA FOR INTELSAT.
``In securing the privatizations required by section 621,
the following additional criteria with respect to INTELSAT
privatization shall be applied as licensing criteria for
purposes of subtitle A:
``(1) Technical coordination under intelsat
agreements.--Technical coordination shall not be used
to impair competition or competitors, and shall be
conducted under International Telecommunication Union
procedures and not under Article XIV(d) of the INTELSAT
Agreement.
``SEC. 623. SPECIFIC CRITERIA FOR INTELSAT SEPARATED ENTITIES.
``In securing the privatizations required by section 621,
the following additional criteria with respect to any INTELSAT
separated entity shall be applied as licensing criteria for
purposes of subtitle A:
``(1) Date for public offering.--Within one year
after any decision to create any separated entity, a
public offering of the securities of such entity shall
be conducted. In the case of a separated entity created
before January 1, 1999, such public offering shall be
conducted no later than July 1, 2000, except that the
Commission may extend this deadline in consideration of
market conditions and relevant business factors
relating to the timing of an initial public offering,
but such extensions shall not permit such offering to
be conducted later than July 31, 2001.
``(2) Interlocking directorates or employees.--None
of the officers, directors, or employees of any
separated entity shall be individuals who are officers,
directors, or employees of INTELSAT.
``(3) Spectrum assignments.--After the initial
transfer which may accompany the creation of a
separated entity, the portions of the electromagnetic
spectrum assigned as of the date of enactment of this
title to INTELSAT shall not be transferred between
INTELSAT and any separated entity.
``(4) Reaffiliation prohibited.--Any merger or
ownership or management ties or exclusive arrangements
between a privatized INTELSAT or any successor entity
and any separated entity shall be prohibited until 11
years after the completion of INTELSAT privatization
under this title.
``SEC. 624. SPECIFIC CRITERIA FOR INMARSAT.
``In securing the privatizations required by section 621,
the following additional criteria with respect to Inmarsat
privatization shall be applied as licensing criteria for
purposes of subtitle A:
``(1) Reaffiliation prohibited.--Any merger,
ownership of more than one percent of the voting
securities, or management ties or exclusive
arrangements between Inmarsat or any successor entity
or separated entity and ICO shall be prohibited until
15 years after the completion of Inmarsat privatization
under this title.
``(2) Interlocking directorates or employees.--None
of the officers, directors, or employees of Inmarsat or
any successor entity or separated entity shall be
individuals who are officers, directors, or employees
of ICO.
``(3) Preservation of the gmdss.--The United States
shall seek to preserve space segment capacity of the
GMDSS.
``SEC. 625. ENCOURAGING MARKET ACCESS AND PRIVATIZATION.
``(a) NTIA Determination.--
``(1) Determination required.--Within 180 days
after the date of enactment of this section, the
Secretary of Commerce shall, through the Assistant
Secretary for Communications and Information, transmit
to the Commission--
``(A) a list of Member countries of
INTELSAT and Inmarsat that are not Members of
the World Trade Organization and that impose
barriers to market access for private satellite
systems; and
``(B) a list of Member countries of
INTELSAT and Inmarsat that are not Members of
the World Trade Organization and that are not
supporting pro-competitive privatization of
INTELSAT and Inmarsat.
``(2) Consultation.--The Secretary's determinations
under paragraph (1) shall be made in consultation with
the Federal Communications Commission, the Secretary of
State, and the United States Trade Representative, and
shall take into account the totality of a country's
actions in all relevant fora, including the Assemblies
of Parties of INTELSAT and Inmarsat.
``(b) Imposition of Cost-Based Settlement Rate.--
Notwithstanding--
``(1) any higher settlement rate that an overseas
carrier charges any United States carrier to originate
or terminate international message telephone services;
and
``(2) any transition period that would otherwise
apply,
the Commission may by rule prohibit United States carriers from
paying an amount in excess of a cost-based settlement rate to
overseas carriers in countries listed by the Commission
pursuant to subsection (a).
``(c) Settlements Policy.--The Commission shall, in
exercising its authority to establish settlements rates for
United Statesinternational common carriers, seek to advance
United States policy in favor of cost-based settlements in all relevant
fora on international telecommunications policy, including in meetings
with parties and signatories of INTELSAT and Inmarsat.
``Subtitle C--Deregulation and Other Statutory Changes
``SEC. 641. ACCESS TO INTELSAT.
``(a) Access Permitted.--Beginning on the date of enactment
of this title, users or providers of telecommunications
services shall be permitted to obtain direct access to INTELSAT
telecommunications services and space segment capacity through
purchases of such capacity or services from INTELSAT. Such
direct access shall be at the level commonly referred to by
INTELSAT, on the date of enactment of this title, as `Level
III'.
``(b) Rulemaking.--Within 180 days after the date of
enactment of this title, the Commission shall complete a
rulemaking, with notice and opportunity for submission of
comment by interested persons, to determine if users or
providers of telecommunications services have sufficient
opportunity to access INTELSAT space segment capacity directly
from INTELSAT to meet their service or capacity requirements.
If the Commission determines that such opportunity to access
does not exist, the Commission shall take appropriate action to
facilitate such direct access pursuant to its authority under
this Act and the Communications Act of 1934. The Commission
shall take such steps as may be necessary to prevent the
circumvention of the intent of this section.
``(c) Contract Preservation.--Nothing in this section shall
be construed to permit the abrogation or modification of any
contract.
``SEC. 642. SIGNATORY ROLE.
``(a) Limitations on Signatories.--
``(1) National security limitations.--The Federal
Communications Commission, after a public interest
determination, in consultation with the executive
branch, may restrict foreign ownership of a United
States signatory if the Commission determines that not
to do so would constitute a threat to national
security.
``(2) No signatories required.--The United States
Government shall not require signatories to represent
the United States in INTELSAT or Inmarsat or in any
successor entities after a pro-competitive
privatization is achieved consistent with sections 621,
622, and 624.
``(b) Clarification of Privileges and Immunities of
COMSAT.--
``(1) Generally not immunized.--Notwithstanding any
other law or executive agreement, COMSAT shall not be
entitled to any privileges or immunities under the laws
of the United States or any State on the basis of its
status as a signatory of INTELSAT or Inmarsat.
``(2) Limited immunity.--COMSAT or any successor in
interest shall not be liable for action taken by it in
carrying out the specific, written instruction of the
United States issued in connection with its
relationships and activities with foreign governments,
international entities, and the intergovernmental
satellite organizations.
``(3) No joint or several liability.--If COMSAT is
found liable for any action taken in its status as a
signatory or a representative of the party to INTELSAT,
any such liability shall be limited to the portion of
the judgment that corresponds to COMSAT's percentage of
the ownership of INTELSAT at the time the activity
began which led to the liability.
``(4) Provisions prospective.--Paragraph (1) shall
not apply with respect to liability for any action
taken by COMSAT before the date of enactment of this
title.
``(c) Parity of Treatment.--Notwithstanding any other law
or executive agreement, the Commission shall have the authority
to impose similar regulatory fees on the United States
signatory which it imposes on other entities providing similar
services.
``SEC. 643. ELIMINATION OF PROCUREMENT PREFERENCES.
``Nothing in this title or the Communications Act of 1934
shall be construed to authorize or require any preference, in
Federal Government procurement of telecommunications services,
for the satellite space segment provided by INTELSAT, Inmarsat,
or any successor entity or separated entity.
``SEC. 644. ITU FUNCTIONS.
``(a) Technical Coordination.--The Commission and United
States satellite companies shall utilize the International
Telecommunication Union procedures for technical coordination
with INTELSAT and its successor entities and separated
entities, rather than INTELSAT procedures.
``(b) ITU Notifying Administration.--The President and the
Commission shall take the action necessary to ensure that the
United States remains the ITU notifying administration for the
privatized INTELSAT's existing and future orbital slot
registrations.
``SEC. 645. TERMINATION OF COMMUNICATIONS SATELLITE ACT OF 1962
PROVISIONS.
``Effective on the dates specified, the following
provisions of this Act shall cease to be effective:
``(1) Date of enactment of this title: Paragraphs
(1), (5) and (6) of section 201(a); section 201(b);
paragraphs (1), (3) through (5), and (8) through (10)
of section 201(c); section 303; section 304; section
502; section 503; paragraphs (2) and (4) of section
504(a); and section 504(c).
``(2) Upon the transfer of assets to a successor
entity and receipt by signatories or former signatories
(including COMSAT) of ownership shares in the successor
entity of INTELSAT in accordance with appropriate
arrangements determined by INTELSAT to implement
privatization: Section 305.
``(3) On the effective date of a Commission order
determining under section 601(b)(2) that Inmarsat
privatization is consistent with criteria in sections
621 and 624: Sections 504(b) and 504(d).
``(4) On the effective date of a Commission order
determining under section 601(b)(2) that INTELSAT
privatization isconsistent with criteria in sections
621 and 622: Section 102; section 103(7); paragraphs (2) through (4)
and (7) of section 201(a); paragraphs (2), (6), and (7) of section
201(c); section 301; section 302; section 401; section 402; section
403; and section 404.
``SEC. 646. REPORTS TO CONGRESS.
``(a) Annual Reports.--The President and the Commission
shall report to the Committees on Commerce and International
Relations of the House of Representatives and the Committees on
Commerce, Science, and Transportation and Foreign Relations of
the Senate within 90 calendar days of the enactment of this
title, and not less than annually thereafter, on the progress
made to achieve the objectives and carry out the purposes and
provisions of this title. Such reports shall be made available
immediately to the public.
``(b) Contents of Reports.--The reports submitted pursuant
to subsection (a) shall include the following:
``(1) Progress with respect to each objective since
the most recent preceding report.
``(2) Views of the Parties with respect to
privatization.
``(3) Views of industry and consumers on
privatization.
``(4) Impact privatization has had on United States
industry, United States jobs, and United States
industry's access to the global marketplace.
``SEC. 647. SATELLITE AUCTIONS.
``Notwithstanding any other provision of law, the
Commission shall not have the authority to assign by
competitive bidding orbital locations or spectrum used for the
provision of international or global satellite communications
services. The President shall oppose in the International
Telecommunication Union and in other bilateral and multilateral
fora any assignment by competitive bidding of orbital locations
or spectrum used for the provision of such services.
``SEC. 648. EXCLUSIVITY ARRANGEMENTS.
``(a) In General.--No satellite operator shall acquire or
enjoy the exclusive right of handling telecommunications to or
from the United States, its territories or possessions, and any
other country or territory by reason of any concession,
contract, understanding, or working arrangement to which the
satellite operator or any persons or companies controlling or
controlled by the operator are parties.
``(b) Exception.--In enforcing the provisions of this
section, the Commission--
``(1) shall not require the termination of existing
satellite telecommunications services under contract
with, or tariff commitment to, such satellite operator;
but
``(2) may require the termination of new services
only to the country that has provided the exclusive
right to handle telecommunications, if the Commission
determines the public interest, convenience, and
necessity so requires.
``Subtitle D--Negotiations To Pursue Privatization
``SEC. 661. METHODS TO PURSUE PRIVATIZATION.
``The President shall secure the pro-competitive
privatizations required by this title in a manner that meets
the criteria in subtitle B.
``Subtitle E--Definitions
``SEC. 681. DEFINITIONS.
``(a) In General.--As used in this title:
``(1) INTELSAT.--The term `INTELSAT' means the
International Telecommunications Satellite Organization
established pursuant to the Agreement Relating to the
International Telecommunications Satellite Organization
(INTELSAT).
``(2) Inmarsat.--The term `Inmarsat' means the
International Mobile Satellite Organization established
pursuant to the Convention on the International
Maritime Organization.
``(3) Signatories.--The term `signatories'--
``(A) in the case of INTELSAT, or INTELSAT
successors or separated entities, means a
Party, or the telecommunications entity
designated by a Party, that has signed the
Operating Agreement and for which such
Agreement has entered into force; and
``(B) in the case of Inmarsat, or Inmarsat
successors or separated entities, means either
a Party to, or an entity that has been
designated by a Party to sign, the Operating
Agreement.
``(4) Party.--The term `Party'--
``(A) in the case of INTELSAT, means a
nation for which the INTELSAT agreement has
entered into force; and
``(B) in the case of Inmarsat, means a
nation for which the Inmarsat convention has
entered into force.
``(5) Commission.--The term `Commission' means the
Federal Communications Commission.
``(6) International telecommunication union.--The
term `International Telecommunication Union' means the
intergovernmental organization that is a specialized
agency of the United Nations in which member countries
cooperate for the development of telecommunications,
including adoption of international regulations
governing terrestrial and space uses of the frequency
spectrum as well as use of the geostationary satellite
orbit.
``(7) Successor entity.--The term `successor
entity'--
``(A) means any privatized entity created
from the privatization of INTELSAT or Inmarsat
or from the assets of INTELSAT or Inmarsat; but
``(B) does not include any entity that is a
separated entity.
``(8) Separated entity.--The term `separated
entity' means a privatized entity to whom a portion of
the assets owned by INTELSAT or Inmarsat are
transferred prior to full privatization of INTELSAT or
Inmarsat, including in particular the entity whose
structure was under discussion by INTELSAT as of March
25, 1998, but excluding ICO.
``(9) Orbital location.--The term `orbital
location' means the location for placement of a
satellite on the geostationary orbital arc as defined
in the International Telecommunication Union Radio
Regulations.
``(10) Space segment.--The term `space segment'
means the satellites, and the tracking, telemetry,
command, control, monitoring and related facilities and
equipment used to support the operation of satellites
owned or leased by INTELSAT, Inmarsat, or a separated
entity or successor entity.
``(11) Non-core services.--The term `non-core
services' means, with respect to INTELSAT provision,
services other than public-switched network voice
telephony and occasional-use television, and with
respect to Inmarsat provision, services other than
global maritime distress and safety services or other
existing maritime or aeronautical services for which
there are not alternative providers.
``(12) Additional services.--The term `additional
services' means--
``(A) for Inmarsat, those non-maritime or
non-aeronautical mobile services in the 1.5 and
1.6 Ghz band on planned satellites or the 2 Ghz
band; and
``(B) for INTELSAT, direct-to-home (DTH) or
direct broadcast satellite (DBS) video
services, or services in the Ka or V bands.
``(13) INTELSAT agreement.--The term `INTELSAT
Agreement' means the Agreement Relating to the
International Telecommunications Satellite Organization
(`INTELSAT'), including all its annexes (TIAS 7532, 23
UST 3813).
``(14) Headquarters agreement.--The term
`Headquarters Agreement' means the International
Telecommunication Satellite Organization Headquarters
Agreement (November 24, 1976) (TIAS 8542, 28 UST 2248).
``(15) Operating agreement.--The term `Operating
Agreement' means--
``(A) in the case of INTELSAT, the
agreement, including its annex but excluding
all titles of articles, opened for signature at
Washington on August 20, 1971, by Governments
or telecommunications entities designated by
Governments in accordance with the provisions
of the Agreement; and
``(B) in the case of Inmarsat, the
Operating Agreement on the International
Maritime Satellite Organization, including its
annexes.
``(16) Inmarsat convention.--The term `Inmarsat
Convention' means the Convention on the International
Maritime Satellite Organization (Inmarsat) (TIAS 9605,
31 UST 1).
``(17) National corporation.--The term `national
corporation' means a corporation the ownership of which
is held through publicly traded securities, and that is
incorporated under, and subject to, the laws of a
national, state, or territorial government.
``(18) COMSAT.--The term `COMSAT' means the
corporation established pursuant to title III of the
Communications Satellite Act of 1962 (47 U.S.C. 731 et
seq.), or the successor in interest to such
corporation.
``(19) ICO.--The term `ICO' means the company
known, as of the date of enactment of this title, as
ICO Global Communications, Inc.
``(20) Global maritime distress and safety services
or gmdss.--The term `global maritime distress and
safety services' or `GMDSS' means the automated ship-
to-shore distress alerting system which uses satellite
and advanced terrestrial systems for international
distress communications and promoting maritime safety
in general. The GMDSS permits the worldwide alerting of
vessels, coordinated search and rescue operations, and
dissemination of maritime safety information.
``(21) National security agency.--The term
`national security agency' means the National Security
Agency, the Director of Central Intelligence and the
Central Intelligence Agency, the Department of Defense,
and the Coast Guard.
``(b) Common Terminology.--Except as otherwise provided in
subsection (a), terms used in this title that are defined in
section 3 of the Communications Act of 1934 have the meanings
provided in such section.''.
And the House agree to the same.
Tom Bliley,
Billy Tauzin,
Michael G. Oxley,
John D. Dingell,
Edward J. Markey,
Managers on the Part of the House.
John McCain,
Ted Stevens,
Conrad Burns,
Fritz Hollings,
Daniel K. Inouye,
Managers on the Part of the Senate.
JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE
The managers on the part of the House and the Senate at
the conference on the disagreeing votes of the two Houses on
the amendment of the House to the bill (S. 376) to amend the
Communications Satellite Act of 1962 to promote competition and
privatization in satellite communications, and for other
purposes, submit the following joint statement to the House and
the Senate in explanation of the effect of the action agreed
upon by the managers and recommended in the accompanying
conference report:
The House amendment struck all of the Senate bill after
the enacting clause and inserted a substitute text.
The Senate recedes from its disagreement to the amendment
of the House with an amendment that is a substitute for the
Senate bill and the House amendment.
The managers on the part of the House and Senate met on
February 29, 2000, and reconciled the differences between the
two bills.
Tom Bliley,
Billy Tauzin,
Michael G. Oxley,
John D. Dingell,
Edward J. Markey,
Managers on the Part of the House.
John McCain,
Ted Stevens,
Conrad Burns,
Fritz Hollings,
Daniel K. Inouye,
Managers on the Part of the Senate.