[House Report 118-41]
[From the U.S. Government Publishing Office]
118th Congress } { Report
HOUSE OF REPRESENTATIVES
1st Session } { 118-41
======================================================================
SECURE SPACE ACT OF 2023
_______
April 25, 2023.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mrs. Rodgers of Washington, from the Committee on Energy and Commerce,
submitted the following
R E P O R T
[To accompany H.R. 675]
The Committee on Energy and Commerce, to whom was referred
the bill (H.R. 675) to amend the Secure and Trusted
Communications Networks Act of 2019 to prohibit the Federal
Communications Commission from granting a license or United
States market access for a non-geostationary orbit satellite
system if the license or grant of market access would be held
or controlled by an entity that produces or provides any
covered communications equipment or service or an affiliate of
such an entity, and for other purposes, having considered the
same, reports favorably thereon with amendments and recommends
that the bill as amended do pass.
CONTENTS
Page
Purpose and Summary.............................................. 2
Background and Need for Legislation.............................. 3
Committee Action................................................. 3
Committee Votes.................................................. 4
Oversight Findings and Recommendations........................... 6
New Budget Authority, Entitlement Authority, and Tax Expenditures 6
Congressional Budget Office Estimate............................. 6
Federal Mandates Statement....................................... 6
Statement of General Performance Goals and Objectives............ 6
Duplication of Federal Programs.................................. 6
Related Committee and Subcommittee Hearings...................... 6
Committee Cost Estimate.......................................... 7
Earmark, Limited Tax Benefits, and Limited Tariff Benefits....... 7
Advisory Committee Statement..................................... 7
Applicability to Legislative Branch.............................. 7
Section-by-Section Analysis of the Legislation................... 7
Changes in Existing Law Made by the Bill, as Reported............ 8
The amendments are as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Secure Space Act of 2023''.
SEC. 2. PROHIBITION ON GRANT OF CERTAIN SATELLITE LICENSES, UNITED
STATES MARKET ACCESS, OR EARTH STATION
AUTHORIZATIONS.
(a) In General.--The Secure and Trusted Communications Networks Act
of 2019 (47 U.S.C. 1601 et seq.) is amended--
(1) by redesignating sections 10 and 11 as sections 11 and
12, respectively; and
(2) by inserting after section 9 the following:
``SEC. 10. PROHIBITION ON GRANT OF CERTAIN SATELLITE LICENSES, UNITED
STATES MARKET ACCESS, OR EARTH STATION
AUTHORIZATIONS.
``(a) In General.--The Commission may not grant a license for, or a
petition for a declaratory ruling to access the United States market
using, a geostationary orbit satellite system or a nongeostationary
orbit satellite system, or an authorization to use an individually
licensed earth station or a blanket-licensed earth station, if such
license, grant of market access, or authorization would be held or
controlled by--
``(1) an entity that produces or provides any covered
communications equipment or service; or
``(2) an affiliate (as defined in section 3 of the
Communications Act of 1934 (47 U.S.C. 153)) of an entity
described in paragraph (1).
``(b) Definitions.--In this section:
``(1) Blanket-licensed earth station.--The term `blanket-
licensed earth station' means an earth station that is licensed
with a geostationary orbit satellite system or a
nongeostationary orbit satellite system.
``(2) Gateway station.--The term `gateway station' means an
earth station or a group of earth stations that--
``(A) supports the routing and switching functions of
a geostationary orbit satellite system or a
nongeostationary orbit satellite system;
``(B) may also be used for telemetry, tracking, and
command transmissions;
``(C) does not originate or terminate communication
traffic; and
``(D) is not for the exclusive use of any customer.
``(3) Individually licensed earth station.--The term
`individually licensed earth station' means--
``(A) an earth station (other than a blanket-licensed
earth station) that sends a signal to, and receives a
signal from, a geostationary orbit satellite system or
a nongeostationary orbit satellite system; or
``(B) a gateway station.''.
(b) Applicability.--Section 10 of the Secure and Trusted
Communications Networks Act of 2019, as added by subsection (a), shall
apply with respect to the grant of a license, petition, or
authorization on or after the date of the enactment of this Act.
(c) Rules.--Not later than 1 year after the date of the enactment of
this Act, the Federal Communications Commission shall issue rules to
implement section 10 of the Secure and Trusted Communications Networks
Act of 2019, as added by subsection (a).
Amend the title so as to read:
A bill to amend the Secure and Trusted Communications
Networks Act of 2019 to prohibit the Federal Communications
Commission from granting a license or United States market
access for a geostationary orbit satellite system or a
nongeostationary orbit satellite system, or an authorization to
use an individually licensed earth station or a blanket-
licensed earth station, if the license, grant of market access,
or authorization would be held or controlled by an entity that
produces or provides any covered communications equipment or
service or an affiliate of such an entity, and for other
purposes.
Purpose and Summary
H.R. 675, the ``Secure Space Act of 2023'' would amend the
Secure and Trusted Communications Network Act of 2019 by adding
a new section preventing the Federal Communications Commission
(FCC) from granting a license for, or a petition for
declaratory ruling to access the United States market using, a
geostationary orbit (GSO) satellite system or a non-
geostationary orbit (NGSO) satellite system, or an
authorization to use an individually licensed earth station or
a blanket-licensed earth station, if the license, grant of
market access, or authorization would be held or controlled by
an entity that produces or provides any communications
equipment or service on the FCC's covered list (a list
identifying communications equipment and services that pose a
unacceptable risk to U.S. national security) or an affiliate of
such entity (as defined in the Communications Act of 1934).
H.R. 675 would also require the FCC to issue rules one year
after the bill's enactment to implement this legislation.
Background and Need for Legislation
In the last few years, the United States has seen
significant advancements in the ability of satellites to
provide broadband internet and other critical services to
consumers and businesses throughout the country and the world.
In fact, American satellite operators are leading the world in
developing next-generation space technologies, services, and
applications. These developments have been especially
beneficial to Americans living in areas where other types of
technologies have not been built yet to provide communications
services to American homes and businesses due to geographic
considerations and other factors.
However, it is also the case that other countries,
including foreign adversaries of the United States, are making
aggressive moves to dominate the satellite industry. Indeed,
the Chinese Communist Party has placed satellite internet in
its list of priorities for new infrastructure,\1\ signaling
increased investment in this burgeoning sector. And in the last
few years, the combined satellite fleets of China and Russia
have grown by approximately 70 percent.\2\
---------------------------------------------------------------------------
\1\Makena Young & Akhil Thadani, Low Orbit, High Stakes, Center for
Strategic & International Studies (Dec. 14, 2022).
\2\Defense Intelligence Agency, Challenges to Security in Space
(2022).
---------------------------------------------------------------------------
In light of these developments, it is imperative that
Congress take the necessary steps to ensure that satellite
networks providing service in the United States are secure and
protected (along with their relevant supply chains) from
threats by untrusted actors. The United States cannot risk
having its satellite networks face the same national security
challenges that certain domestic terrestrial communications
networks have faced, especially given the global nature of
satellite network operations. Accordingly, H.R. 675 addresses
these concerns by preventing an entity producing or providing
communications equipment or services that have been identified
as a national security risk (or an affiliate as defined in the
Communications Act of 1934) from gaining access to the U.S.
satellite marketplace.
Committee Action
On February 2, 2023, the Subcommittee on Communications and
Technology held a hearing entitled, ``Launching Into the State
of the Satellite Marketplace.'' The Subcommittee received
testimony from:
Tom Stroup, President, Satellite Industry
Association
Julie Zoller, Head of Global Regulatory
Affairs, Project Kuiper at Amazon
Jennifer A. Manner, Senior Vice President of
Regulatory Affairs, Echostar Corporation
Margo Deckard, Co-Founder and Chief
Operating Officer, Lynk Global, Inc.
Kari Bingen, Director of the Aerospace
Security Project and Senior Fellow at the International
Security Program, Center for Strategic and
International Studies.
On February 8, 2023, the Subcommittee on Communications and
Technology held a hearing entitled, ``Liftoff: Unleashing
Innovation in Satellite Communications Technologies.'' The
Subcommittee received testimony on H.R. 675 from:
David Goldman, Senior Director of Satellite
Policy, SpaceX
Peter Davidson, Vice President of Global
Government Affairs & Policy, Intelsat
Whitney Q. Lohmeyer, Professor of
Engineering, Olin College of Engineering
Danielle Pineres, Vice President of
Regulatory Affairs & Compliance, Planet Labs
On March 8, 2023, the Subcommittee on Communications and
Technology met in open markup session and forwarded H.R. 675,
as amended, to the full Committee by a record vote of 26 yeas
and 0 nays. On March 23, 2023, the full Committee on Energy and
Commerce met in open markup session and ordered H.R. 675, as
amended, favorably reported to the House by a record vote of 46
yeas and 0 nays.
Committee Votes
Clause 3(b) of rule XIII requires the Committee to list the
record votes on the motion to report legislation and amendments
thereto. The following reflects the record votes taken during
the Committee consideration:
Oversight Findings and Recommendations
Pursuant to clause 2(b)(1) of rule X and clause 3(c)(1) of
rule XIII, the Committee held hearings and made findings that
are reflected in this report.
New Budget Authority, Entitlement Authority, and Tax Expenditures
Pursuant to clause 3(c)(2) of rule XIII, the Committee
finds that H.R. 675 would result in no new or increased budget
authority, entitlement authority, or tax expenditures or
revenues.
Congressional Budget Office Estimate
Pursuant to clause 3(c)(3) of rule XIII, at the time this
report was filed, the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974 was not available.
Federal Mandates Statement
The Committee adopts as its own the estimate of Federal
mandates prepared by the Director of the Congressional Budget
Office pursuant to section 423 of the Unfunded Mandates Reform
Act.
Statement of General Performance Goals and Objectives
Pursuant to clause 3(c)(4) of rule XIII, the general
performance goal or objective of this legislation is to
prohibit the Federal Communications Commission from granting a
license, market access, or an authorization to an entity
producing or providing communications equipment or services
that have been identified as a national security risk (or an
affiliate as defined in the Communications Act of 1934) to
operate a geostationary orbit satellite system or a non-
geostationary orbit satellite system, or to use an individually
licensed earth station or a blanket-licensed earth station, in
the United States.
Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII, no provision of
H.R. 675 is known to be duplicative of another Federal program,
including any program that was included in a report to Congress
pursuant to section 21 of Public Law 111-139 or the most recent
Catalog of Federal Domestic Assistance.
Related Committee and Subcommittee Hearings
Pursuant to clause 3(c)(6) of rule XIII, the following
hearings were used to develop or consider H.R. 675:
On February 2, 2023, the Subcommittee on Communications and
Technology held a hearing entitled, ``Launching Into the State
of the Satellite Marketplace.'' The Subcommittee received
testimony from:
Tom Stroup, President, Satellite Industry
Association
Julie Zoller, Head of Global Regulatory
Affairs, Project Kuiper at Amazon
Jennifer A. Manner, Senior Vice President of
Regulatory Affairs, Echostar Corporation
Margo Deckard, Co-Founder and Chief
Operating Officer, Lynk Global, Inc.
Kari Bingen, Director of the Aerospace
Security Project and Senior Fellow at the International
Security Program, Center for Strategic and
International Studies.
On February 8, 2023, the Subcommittee on Communications and
Technology held a hearing entitled, ``Liftoff: Unleashing
Innovation in Satellite Communications Technologies.'' The
Subcommittee received testimony on H.R. 675 from:
David Goldman, Senior Director of Satellite
Policy, SpaceX
Peter Davidson, Vice President of Global
Government Affairs & Policy, Intelsat
Whitney Q. Lohmeyer, Professor of
Engineering, Olin College of Engineering
Danielle Pieres, Vice President of
Regulatory Affairs & Compliance, Planet Labs
Committee Cost Estimate
Pursuant to clause 3(d)(1) of rule XIII, the Committee
adopts as its own the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974. At the time this report was
filed, the estimate was not available.
Earmark, Limited Tax Benefits, and Limited Tariff Benefits
Pursuant to clause 9(e), 9(f), and 9(g) of rule XXI, the
Committee finds that H.R. 675 contains no earmarks, limited tax
benefits, or limited tariff benefits.
Advisory Committee Statement
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
Applicability to Legislative Branch
The Committee finds that the legislation does not relate to
the terms and conditions of employment or access to public
services or accommodations within the meaning of section
102(b)(3) of the Congressional Accountability Act.
Section-by-Section Analysis of the Legislation
Section 1. Short title
This section designates that the short title may be cited
as the ``Secure Space Act of 2023''.
Section 2. Prohibition on grant of certain licenses, United States
market access, or earth station authorizations
This section would amend the Secure and Trusted
Communications Networks Act of 2019 by adding a new section to
prevent the FCC from granting a license for, or a petition for
declaratory ruling to access the United States market using,
GSO satellite system or NGSO satellite system, or an
authorization to use an individually licensed earth station or
a blanket-licensed earth station if the license, grant of
market access, or authorization would be held or controlled by
an entity that produces or provides any communications
equipment or service on the FCC's covered list or an affiliate
of such entity (as defined in the Communications Act of 1934).
This section would also require the FCC to issue rules one year
after the Act's enactment to implement this legislation and
defines key terms used in the legislation.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, 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
matter is printed in italics, and existing law in which no
change is proposed is shown in roman):
SECURE AND TRUSTED COMMUNICATIONS NETWORKS ACT OF 2019
* * * * * * *
SEC. 9. DEFINITIONS.
In this Act:
(1) Advanced communications service.--The term
``advanced communications service'' has the meaning
given the term ``advanced telecommunications
capability'' in section 706 of the Telecommunications
Act of 1996 (47 U.S.C. 1302).
(2) Appropriate national security agency.--The term
``appropriate national security agency'' means--
(A) the Department of Homeland Security;
(B) the Department of Defense;
(C) the Office of the Director of National
Intelligence;
(D) the National Security Agency; and
(E) the Federal Bureau of Investigation.
(3) Commission.--The term ``Commission'' means the
Federal Communications Commission.
(4) Communications equipment or service.--The term
``communications equipment or service'' means any
equipment or service that is essential to the provision
of advanced communications service.
(5) Covered communications equipment or service.--The
term ``covered communications equipment or service''
means any communications equipment or service that is
on the list published by the Commission under section
2(a).
(6) Customers.--The term ``customers'' means, with
respect to a provider of advanced communications
service--
(A) the customers of such provider; and
(B) the customers of any affiliate (as
defined in section 3 of the Communications Act
of 1934 (47 U.S.C. 153)) of such provider.
(7) Executive branch interagency body.--The term
``executive branch interagency body'' means an
interagency body established in the executive branch.
(8) Person.--The term ``person'' means an individual
or entity.
(9) Program.--The term ``Program'' means the Secure
and Trusted Communications Networks Reimbursement
Program established under section 4(a).
(10) Provider of advanced communications service.--
The term ``provider of advanced communications
service''--
(A) means a person who provides advanced
communications service to United States
customers; and
(B) includes--
(i) accredited public or private
noncommercial educational institutions,
providing their own facilities-based
educational broadband service, as
defined in section 27.4 of title 47,
Code of Federal Regulations, or any
successor regulation; and
(ii) health care providers and
libraries providing advanced
communications service.
(11) Recipient.--The term ``recipient'' means any
provider of advanced communications service the
application of which for a reimbursement under the
Program has been approved by the Commission, regardless
of whether the provider has received reimbursement
funds.
(12) Reimbursement funds.--The term ``reimbursement
funds'' means any reimbursement received under the
Program.
SEC. 10. PROHIBITION ON GRANT OF CERTAIN SATELLITE LICENSES, UNITED
STATES MARKET ACCESS, OR EARTH STATION
AUTHORIZATIONS.
(a) In General.--The Commission may not grant a license for,
or a petition for a declaratory ruling to access the United
States market using, a geostationary orbit satellite system or
a nongeostationary orbit satellite system, or an authorization
to use an individually licensed earth station or a blanket-
licensed earth station, if such license, grant of market
access, or authorization would be held or controlled by--
(1) an entity that produces or provides any covered
communications equipment or service; or
(2) an affiliate (as defined in section 3 of the
Communications Act of 1934 (47 U.S.C. 153)) of an
entity described in paragraph (1).
(b) Definitions.--In this section:
(1) Blanket-licensed earth station.--The term
``blanket-licensed earth station'' means an earth
station that is licensed with a geostationary orbit
satellite system or a nongeostationary orbit satellite
system.
(2) Gateway station.--The term ``gateway station''
means an earth station or a group of earth stations
that--
(A) supports the routing and switching
functions of a geostationary orbit satellite
system or a nongeostationary orbit satellite
system;
(B) may also be used for telemetry, tracking,
and command transmissions;
(C) does not originate or terminate
communication traffic; and
(D) is not for the exclusive use of any
customer.
(3) Individually licensed earth station.--The term
``individually licensed earth station'' means--
(A) an earth station (other than a blanket-
licensed earth station) that sends a signal to,
and receives a signal from, a geostationary
orbit satellite system or a nongeostationary
orbit satellite system; or
(B) a gateway station.
SEC. [10.] 11. SEVERABILITY.
If any provision of this Act, or the application of such a
provision to any person or circumstance, is held to be
unconstitutional, the remaining provisions of this Act, and the
application of such provisions to any person or circumstance,
shall not be affected thereby.
SEC. [11.] 12. DETERMINATION OF BUDGETARY EFFECTS.
The budgetary effects of this Act, for the purpose of
complying with the Statutory Pay-As-You-Go Act of 2010, shall
be determined by reference to the latest statement titled
``Budgetary Effects of PAYGO Legislation'' for this Act,
submitted for printing in the Congressional Record by the
Chairman of the House Budget Committee, provided that such
statement has been submitted prior to the vote on passage.