[United States Statutes at Large, Volume 118, 108th Congress, 2nd Session]
[From the U.S. Government Publishing Office, www.gpo.gov]

118 STAT. 3974

Public Law 108-492
108th Congress

An Act


 
To promote the development of the emerging commercial human space flight
industry, and for other purposes. NOTE: Dec. 23, 2004 -  [H.R.
5382]

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress NOTE: Commercial Space Launch
Amendments Act of 2004. assembled,

SECTION 1. NOTE: 49 USC 70101 note. SHORT TITLE.

This Act may be cited as the ``Commercial Space Launch Amendments
Act of 2004''.

SEC. 2. AMENDMENTS.

(a) Findings and Purposes.--Section 70101 of title 49, United States
Code, is amended--
(1) in subsection (a)(3), by inserting ``human space
flight,'' after ``microgravity research,'';
(2) in subsection (a)(4)--
(A) by striking ``satellite''; and
(B) by striking ``services now available from'' and
inserting ``capabilities of'';
(3) in subsection (a)(8), by striking ``and'' at the end;
(4) in subsection (a)(9), by striking the period and
inserting a semicolon;
(5) by adding at the end of subsection (a) the following new
paragraphs:
``(10) the goal of safely opening space to the American
people and their private commercial, scientific, and cultural
enterprises should guide Federal space investments, policies,
and regulations;
``(11) private industry has begun to develop commercial
launch vehicles capable of carrying human beings into space and
greater private investment in these efforts will stimulate the
Nation's commercial space transportation industry as a whole;
``(12) space transportation is inherently risky, and the
future of the commercial human space flight industry will depend
on its ability to continually improve its safety performance;
``(13) a critical area of responsibility for the Department
of Transportation is to regulate the operations and safety of
the emerging commercial human space flight industry;
``(14) the public interest is served by creating a clear
legal, regulatory, and safety regime for commercial human space
flight; and
``(15) the regulatory standards governing human space flight
must evolve as the industry matures so that regulations

[[Page 3975]]
118 STAT. 3975

neither stifle technology development nor expose crew or space
flight participants to avoidable risks as the public comes to
expect greater safety for crew and space flight participants
from the industry.'';
(6) in subsection (b)(2)--
(A) by striking ``and'' at the end of subparagraph
(A);
(B) by inserting ``and'' after the semicolon in
subparagraph (B); and
(C) by adding at the end the following new
subparagraph:
``(C) promoting the continuous improvement of the
safety of launch vehicles designed to carry humans,
including through the issuance of regulations, to the
extent permitted by this chapter;''; and
(7) in subsection (b)(3), by striking ``issue and transfer''
and inserting ``issue permits and commercial licenses and
transfer''.

(b) Definitions.--Section 70102 of title 49, United States Code, is
amended--
(1) by redesignating paragraphs (2) through (17) as
paragraphs (3), (4), (5), (6), (7), (8), (9), (10), (12), (13),
(14), (15), (16), (18), (21), and (22), respectively;
(2) by inserting after paragraph (1) the following new
paragraph:
``(2) `crew' means any employee of a licensee or transferee,
or of a contractor or subcontractor of a licensee or transferee,
who performs activities in the course of that employment
directly relating to the launch, reentry, or other operation of
or in a launch vehicle or reentry vehicle that carries human
beings.'';
(3) in paragraph (4), as so redesignated by paragraph (1) of
this subsection, by inserting ``, crew, or space flight
participant'' after ``any payload'';
(4) in paragraph (6)(A), as so redesignated by paragraph (1)
of this subsection, by striking ``and payload'' and inserting
``, payload, crew (including crew training), or space flight
participant'';
(5) in paragraph (8)(A), as so redesignated by paragraph (1)
of this subsection, by inserting ``or human beings'' after
``place a payload'';
(6) by inserting after paragraph (10), as so redesignated by
paragraph (1) of this subsection, the following new paragraph:
``(11) except in section 70104(c), `permit' means an
experimental permit issued under section 70105a.'';
(7) in paragraph (13), as so redesignated by paragraph (1)
of this subsection, by inserting ``crew, or space flight
participants,'' after ``and its payload,'';
(8) in paragraph (14)(A), as so redesignated by paragraph
(1) of this subsection, by striking ``and its payload''
inserting ``and payload, crew (including crew training), or
space flight participant'';
(9) by inserting after paragraph (16), as so redesignated by
paragraph (1) of this subsection, the following new paragraph:
``(17) `space flight participant' means an individual, who
is not crew, carried within a launch vehicle or reentry
vehicle.'';

[[Page 3976]]
118 STAT. 3976

(10) by inserting after paragraph (18), as so redesignated
by paragraph (1) of this subsection, the following new
paragraphs:
``(19) unless and until regulations take effect under
section 70120(c)(2), `suborbital rocket' means a vehicle,
rocket-propelled in whole or in part, intended for flight on a
suborbital trajectory, and the thrust of which is greater than
its lift for the majority of the rocket-powered portion of its
ascent.
``(20) `suborbital trajectory' means the intentional flight
path of a launch vehicle, reentry vehicle, or any portion
thereof, whose vacuum instantaneous impact point does not leave
the surface of the Earth.''; and
(11) in paragraph (21), as so redesignated by paragraph (1)
of this subsection--
(A) by striking ``or'' at the end of subparagraph
(C);
(B) by striking the period at the end of
subparagraph (D) and inserting ``; or''; and
(C) by adding at the end the following new
subparagraph:
``(E) crew or space flight participants.''.

(c) Commercial Human Space Flight.--(1) Section 70103(b)(1) of title
49, United States Code, is amended by inserting ``, including those
involving space flight participants'' after ``private sector''.
(2) Section 70103 of title 49, United States Code, is amended by
redesignating subsection (c) as subsection (d), and by inserting after
subsection (b) the following new subsection:
``(c) Safety.--In carrying out the responsibilities under subsection
(b), the Secretary shall encourage, facilitate, and promote the
continuous improvement of the safety of launch vehicles designed to
carry humans, and the Secretary may, consistent with this chapter,
promulgate regulations to carry out this subsection.''.
(3) Section 70104(a) of title 49, United States Code, is amended--
(A) by striking ``License Requirement.--A license issued or
transferred under this chapter'' and inserting ``Requirement.--A
license issued or transferred under this chapter, or a
permit,''; and
(B) by inserting after paragraph (4) the following:
``Notwithstanding this subsection, a permit shall not authorize
a person to operate a launch site or reentry site.''.

(4) Section 70104(b) of title 49, United States Code, is amended by
inserting ``or permit'' after ``holder of a license''.
(5) Section 70104 of title 49, United States Code, is amended by
adding at the end the following new subsection:
``(d) Single License or Permit.--The Secretary of Transportation
shall ensure that only 1 license or permit is required from the
Department of Transportation to conduct activities involving crew or
space flight participants, including launch and reentry, for which a
license or permit is required under this chapter. The Secretary shall
ensure that all Department of Transportation regulations relevant to the
licensed or permitted activity are satisfied.''.
(6) Section 70105(a) of title 49, United States Code, is amended--
(A) in paragraph (1), by striking ``a license is not
issued'' and inserting ``the Secretary has not taken action on a
license application''; and

[[Page 3977]]
118 STAT. 3977

(B) in paragraph (2), by inserting ``(including approval
procedures for the purpose of protecting the health and safety
of crews and space flight participants, to the extent permitted
by subsections (b) and (c))'' after ``or personnel''.

(7) Section 70105(b)(1) of title 49, United States Code, is amended
by inserting ``or permit'' after ``for a license''.
(8) Section 70105(b)(2)(B) of title 49, United States Code, is
amended by striking ``an additional requirement necessary to protect''
and inserting ``any additional requirement necessary to protect''.
(9) Section 70105(b)(2)(C) of title 49, United States Code, is
amended--
(A) by inserting ``or permit'' after ``for a license''; and
(B) by striking ``and'' at the end thereof.

(10) Section 70105(b)(2) of title 49, United States Code, is amended
by redesignating subparagraph (D) as subparagraph (E) and inserting
after subparagraph (C) the following new subparagraph:
``(D) additional license requirements, for a launch
vehicle carrying a human being for compensation or hire,
necessary to protect the health and safety of crew or
space flight participants, only if such requirements are
imposed pursuant to final regulations issued in
accordance with subsection (c); and''.

(11) Section 70105(b)(2)(E) of title 49, United States Code, as so
redesignated by paragraph (11) of this subsection, is amended by
inserting ``or permit'' after ``for a license''.
(12) Section 70105(b)(3) of title 49, United States Code, is amended
by adding at the end the following: ``The Secretary may not grant a
waiver under this paragraph that would permit the launch or reentry of a
launch vehicle or a reentry vehicle without a license or permit if a
human being will be on board.''.
(13) Section 70105(b) of title 49, United States Code, is amended by
adding at the end the following new paragraphs:
``(4) The holder of a license or a permit under this chapter
may launch or reenter crew only if--
``(A) the crew has received training and has
satisfied medical or other standards specified in the
license or permit in accordance with regulations
promulgated by the Secretary;
``(B) the holder of the license or permit has
informed any individual serving as crew in writing,
prior to executing any contract or other arrangement to
employ that individual (or, in the case of an individual
already employed as of the date of enactment of the
Commercial Space Launch Amendments Act of 2004, as early
as possible, but in any event prior to any launch in
which the individual will participate as crew), that the
United States Government has not certified the launch
vehicle as safe for carrying crew or space flight
participants; and
``(C) the holder of the license or permit and crew
have complied with all requirements of the laws of the
United States that apply to crew.
``(5) The holder of a license or a permit under this chapter
may launch or reenter a space flight participant only if--
``(A) in accordance with regulations promulgated by
the Secretary, the holder of the license or permit has

[[Page 3978]]
118 STAT. 3978

informed the space flight participant in writing about
the risks of the launch and reentry, including the
safety record of the launch or reentry vehicle type, and
the Secretary has informed the space flight participant
in writing of any relevant information related to risk
or probable loss during each phase of flight gathered by
the Secretary in making the determination required by
section 70112(a)(2) and (c);
``(B) the holder of the license or permit has
informed any space flight participant in writing, prior
to receiving any compensation from that space flight
participant or (in the case of a space flight
participant not providing compensation) otherwise
concluding any agreement to fly that space flight
participant, that the United States Government has not
certified the launch vehicle as safe for carrying crew
or space flight participants;
``(C) in accordance with regulations promulgated by
the Secretary, the space flight participant has provided
written informed consent to participate in the launch
and reentry and written certification of compliance with
any regulations promulgated under paragraph (6)(A); and
``(D) the holder of the license or permit has
complied with any regulations promulgated by the
Secretary pursuant to paragraph (6).
``(6)(A) The Secretary may issue regulations requiring space
flight participants to undergo an appropriate physical
examination prior to a launch or reentry under
this NOTE: Termination date. chapter. This subparagraph
shall cease to be in effect three years after the date of
enactment of the Commercial Space Launch Amendments Act of 2004.
``(B) The Secretary may issue additional regulations setting
reasonable requirements for space flight participants, including
medical and training requirements. Such regulations shall not be
effective before the expiration of 3 years after the date of
enactment of the Commercial Space Launch Amendments Act of
2004.''.

(14) Section 70105 of title 49, United States Code, is amended by
redesignating subsection (c) as subsection (d), and by adding after
subsection (b) the following new subsection:
``(c) Safety Regulations.--(1) The Secretary may issue regulations
governing the design or operation of a launch vehicle to protect the
health and safety of crew and space flight participants.
``(2) Regulations issued under this subsection shall--
``(A) describe how such regulations would be applied
when the Secretary is determining whether to issue a
license under this chapter;
``(B) apply only to launches in which a vehicle will
be carrying a human being for compensation or hire;
``(C) be limited to restricting or prohibiting
design features or operating practices that--
``(i) have resulted in a serious or fatal
injury (as defined in 49 CFR 830, as in effect on
November 10, 2004) to crew or space flight
participants during a licensed or permitted
commercial human space flight; or
``(ii) contributed to an unplanned event or
series of events during a licensed or permitted
commercial

[[Page 3979]]
118 STAT. 3979

human space flight that posed a high risk of
causing a serious or fatal injury (as defined in
49 CFR 830, as in effect on November 10, 2004) to
crew or space flight participants; and
``(D) be issued with a description of the instance
or instances when the design feature or operating
practice being restricted or prohibited contributed to a
result or event described in subparagraph (C).
``(3) NOTE: Effective date. Beginning 8 years after the
date of enactment of the Commercial Space Launch Amendments Act
of 2004, the Secretary may propose regulations under this
subsection without regard to paragraph (2)(C) and (D). Any such
regulations shall take into consideration the evolving standards
of safety in the commercial space flight industry.
``(4) Nothing in this subsection shall be construed to limit
the authority of the Secretary to issue requirements or
regulations to protect the public health and safety, safety of
property, national security interests, and foreign policy
interests of the United States.''.

(15) Section 70105(d) of title 49, United States Code, as so
redesignated by paragraph (15) of this subsection, is amended by
inserting ``or permit'' after ``of a license''.
(16) Chapter 701 of title 49, United States Code, is amended by
inserting after section 70105 the following new section:

``Sec. 70105a. NOTE: Deadlines. Experimental permits

``(a) A person may apply to the Secretary of Transportation for an
experimental permit under this section in the form and manner the
Secretary prescribes. Consistent with the protection of the public
health and safety, safety of property, and national security and foreign
policy interests of the United States, the Secretary, not later than 120
days after receiving an application pursuant to this section, shall
issue a permit 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 90 days after receiving
an application. NOTE: Notice. The Secretary shall transmit to the
Committee on Science of the House of Representatives and Committee on
Commerce, Science, and Transportation of the Senate a written notice not
later than 15 days after any occurrence when the Secretary has failed to
act on a permit within the deadline established by this section.

``(b) In carrying out subsection (a), the Secretary may establish
procedures for safety approvals of launch vehicles, reentry vehicles,
safety systems, processes, services, or personnel that may be used in
conducting commercial space launch or reentry activities pursuant to a
permit.
``(c) In order to encourage the development of a commercial space
flight industry, the Secretary may when issuing permits use the
authority granted under section 70105(b)(2)(C).
``(d) The Secretary may issue a permit only for reusable suborbital
rockets that will be launched or reentered solely for--
``(1) research and development to test new design concepts,
new equipment, or new operating techniques;

[[Page 3980]]
118 STAT. 3980

``(2) showing compliance with requirements as part of the
process for obtaining a license under this chapter; or
``(3) crew training prior to obtaining a license for a
launch or reentry using the design of the rocket for which the
permit would be issued.

``(e) Permits issued under this section shall--
``(1) authorize an unlimited number of launches and
reentries for a particular suborbital rocket design for the uses
described in subsection (d); and
``(2) specify the type of modifications that may be made to
the suborbital rocket without changing the design to an extent
that would invalidate the permit.

``(f) Permits shall not be transferable.
``(g) A permit may not be issued for, and a permit that has already
been issued shall cease to be valid for, a particular design for a
reusable suborbital rocket after a license has been issued for the
launch or reentry of a rocket of that design.
``(h) No person may operate a reusable suborbital rocket under a
permit for carrying any property or human being for compensation or
hire.
``(i) For the purposes of sections 70106, 70107, 70108, 70109,
70110, 70112, 70115, 70116, 70117, and 70121 of this chapter--
``(1) a permit shall be considered a license;
``(2) the holder of a permit shall be considered a licensee;
``(3) a vehicle operating under a permit shall be considered
to be licensed; and
``(4) the issuance of a permit shall be considered
licensing.
This subsection shall not be construed to allow the transfer of
a permit.''.

(17) Section 70106(a) of title 49, United States Code, is amended--
(A) by inserting ``at a site used for crew or space flight
participant training,'' after ``assemble a launch vehicle or
reentry vehicle,''; and
(B) by striking ``section 70104(c)'' and inserting
``sections 70104(c), 70105, and 70105a''.

(18) Section 70107(b) of title 49, United States Code, is amended--
(A) by inserting ``(1)'' before ``On the initiative''; and
(B) by adding the following new paragraph at the end:
``(2) The Secretary shall modify a license issued or
transferred under this chapter whenever a modification is needed
for the license to be in conformity with a regulation that was
issued pursuant to section 70105(c) after the issuance of the
license. This paragraph shall not apply to permits.''.

(19) Section 70107 of title 49, United States Code, is amended by
redesignating subsections (d) and (e) as subsections (e) and (f),
respectively, and by inserting after subsection (c) the following new
subsection:
``(d) Additional Suspensions.--(1) The Secretary may suspend a
license when a previous launch or reentry under the license has resulted
in a serious or fatal injury (as defined in 49 CFR 830, as in effect on
November 10, 2004) to crew or space flight participants and the
Secretary has determined that continued operations under the license are
likely to cause additional serious or fatal injury (as defined in 49 CFR
830, as in effect on November 10, 2004) to crew or space flight
participants.

[[Page 3981]]
118 STAT. 3981

``(2) Any suspension imposed under this subsection shall be
for as brief a period as possible and, in any event, shall cease
when the Secretary--
``(A) has determined that the licensee has taken
sufficient steps to reduce the likelihood of a
recurrence of the serious or fatal injury; or
``(B) has modified the license pursuant to
subsection (b) to sufficiently reduce the likelihood of
a recurrence of the serious or fatal injury.
``(3) This subsection shall not apply to permits.''.

(20) Section 70110(a)(1) of title 49, United States Code, is amended
by inserting ``or 70105a'' after ``70105(a)''.
(21) Section 70112(b)(2) of title 49, United States Code, is
amended--
(A) by inserting ``crew, space flight participants,'' after
``transferee, contractors, subcontractors,''; and
(B) by inserting ``or by space flight participants,'' after
``its own employees''.

(22) Section 70113(a)(1) of title 49, United States Code, is amended
by inserting ``but not against a space flight participant,'' after
``subcontractor of a customer,''.
(23) Section 70113(f) of title 49, United States Code, is amended by
inserting at the end the following: ``This section does not apply to
permits.''.
(24) Section 70115(b)(1)(D)(i) of title 49, United States Code, is
amended by inserting ``crew or space flight participant training site,''
after ``site of a launch vehicle or reentry vehicle,''.
(25) Section 70120 of title 49, United States Code, is amended by
adding at the end the following new subsections:
``(c) Amendments.--
(1) NOTE: Deadlines. Regulations. Publication. Not later than 12
months after the date of enactment of the Commercial Space Launch
Amendments Act of 2004, the Secretary shall publish proposed regulations
to carry out that Act, including regulations relating to crew, space
flight participants, and permits for launch or reentry of reusable
suborbital rockets. Not later than 18 months after such date of
enactment, the Secretary shall issue final regulations.
``(2)(A) Starting 3 years after the date of enactment of the
Commercial Space Launch Amendments Act of 2004, the Secretary
may issue final regulations changing the definition of
suborbital rocket under this chapter. NOTE: Effective
date. No such regulation may take effect until 180 days after
the Secretary has submitted the regulation to the Congress.
``(B) The Secretary may issue regulations under this
paragraph only if the Secretary has determined that the
definition in section 70102 does not describe, or will not
continue to describe, all appropriate vehicles and only those
vehicles. In making that determination, the Secretary shall take
into account the evolving nature of the commercial space launch
industry.

``(d) Effective Date.--(1) Licenses for the launch or reentry of
launch vehicles or reentry vehicles with human beings on board and
permits may be issued by the Secretary prior to the issuance of the
regulations described in subsection (c).
``(2) NOTE: Guidelines. As soon as practicable after the
date of enactment of the Commercial Space Launch Amendments Act
of 2004, the Secretary shall issue guidelines or advisory
circulars to

[[Page 3982]]
118 STAT. 3982

guide the implementation of that Act until regulations are
issued.
``(3) Notwithstanding paragraphs (1) and (2), no licenses
for the launch or reentry of launch vehicles or reentry vehicles
with human beings on board or permits may be issued starting
three years after the date of enactment of the Commercial Space
Launch Amendments Act of 2004 unless the final regulations
described in subsection (c) have been issued.''.

(26) The table of sections for chapter 701 of title 49, United
States Code, is amended by inserting after the item relating to 70105
the following new item:

``70105a. Experimental permits.''.

SEC. 3. NOTE: Contracts. STUDIES.

(a) Risk Sharing.--Not NOTE: Deadline. later than 60 days after
the date of enactment of this Act, the Secretary of Transportation shall
enter into an arrangement with a nonprofit entity for the conduct of an
independent comprehensive study of the liability risk sharing regime in
the United States for commercial space transportation under section
70113 of title 49, United States Code. To ensure that Congress has a
full analysis of the liability risk sharing regime, the study shall
assess methods by which the current system could be eliminated,
including an estimate of the time required to implement each of the
methods assessed. The study shall assess whether any alternative steps
would be needed to maintain a viable and competitive United States space
transportation industry if the current regime were eliminated. In
conducting the assessment under this subsection, input from commercial
space transportation insurance experts shall be sought. The study also
shall examine liability risk sharing in other nations with commercial
launch capability and evaluate the direct and indirect impact that
ending this regime would have on the competitiveness of the United
States commercial space launch industry in relation to foreign
commercial launch providers and on United States assured access to
space.

(b) Safety.--The NOTE: Reports. Secretary of Transportation, in
consultation with the Administrator of the National Aeronautics and
Space Administration, shall enter into an arrangement with a nonprofit
entity for a report analyzing safety issues related to launching human
beings into space. In designing the study, the Secretary should take
into account any recommendations from the Commercial Space
Transportation Advisory Committee and the National Aeronautics and Space
Administration's Aerospace Safety Advisory
Panel. NOTE: Deadline. The report shall be submitted to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Science within 4 years of the date of
enactment of this Act. The report shall analyze and make recommendations
about--
(1) the standards of safety and concepts of operation that
should guide the regulation of human space flight and whether
the standard of safety should vary by class or type of vehicle,
the purpose of flight, or other considerations;
(2) the effectiveness of the commercial licensing and
permitting regime under chapter 701 of title 49, United States
Code, particularly in ensuring the safety of the public and of
crew and space flight participants during launch, in-space
transit, orbit, and reentry, and whether any changes are needed
to that chapter;

[[Page 3983]]
118 STAT. 3983

(3) whether there is a need for commercial ground operations
for commercial space flight, including provision of launch
support, launch and reentry control, mission control, range
operations, and communications and telemetry operations through
all phases of flight, and if such operations developed, whether
and how they should be regulated;
(4) whether expendable and reusable launch and reentry
vehicles should be regulated differently from each other, and
whether either of those vehicles should be regulated differently
when carrying human beings;
(5) whether the Federal Government should separate the
promotion of human space flight from the regulation of such
activity;
(6) how third parties could be used to evaluate the
qualification and acceptance of new human space flight vehicles
prior to their operation;
(7) how nongovernment experts could participate more fully
in setting standards and developing regulations concerning human
space flight safety; and
(8) whether the Federal Government should regulate the
extent of foreign ownership or control of human space flight
companies operating or incorporated in the United States.

SEC. 4. TECHNICAL AMENDMENT.

Section 102(c) NOTE: 49 USC 70105 note. of the Commercial Space
Act of 1998 is repealed.

Approved December 23, 2004.

LEGISLATIVE HISTORY--H.R. 5382 (S. 1260):
---------------------------------------------------------------------------

SENATE REPORTS: No. 108-111 accompanying S. 1260 (Comm. on Commerce,
Science, and Transportation).
CONGRESSIONAL RECORD, Vol. 150 (2004):
Nov. 19, 20, considered and passed House.
Dec. 8, considered and passed Senate.