[105th Congress Public Law 303]
[From the U.S. Government Printing Office]


<DOC>
[DOCID: f:publ303.105]


[[Page 112 STAT. 2843]]

Public Law 105-303
105th Congress

                                 An Act


 
   To encourage the development of a commercial space industry in the 
 United States, and for other purposes. <<NOTE: Oct. 28, 1998 -  [H.R. 
                                1702]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress <<NOTE: Commercial Space Act of 
1998.>> assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This <<NOTE: 42 USC 14701 note.>> Act may be cited 
as the ``Commercial Space Act of 1998''.

    (b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.

          TITLE I--PROMOTION OF COMMERCIAL SPACE OPPORTUNITIES

Sec. 101. Commercialization of Space Station.
Sec. 102. Commercial space launch amendments.
Sec. 103. Launch voucher demonstration program.
Sec. 104. Promotion of United States Global Positioning System 
           standards.
Sec. 105. Acquisition of space science data.
Sec. 106. Administration of Commercial Space Centers.
Sec. 107. Sources of Earth science data.

     TITLE II--FEDERAL ACQUISITION OF SPACE TRANSPORTATION SERVICES

Sec. 201. Requirement to procure commercial space transportation 
           services.
Sec. 202. Acquisition of commercial space transportation services.
Sec. 203. Launch Services Purchase Act of 1990 amendments.
Sec. 204. Shuttle privatization.
Sec. 205. Use of excess intercontinental ballistic missiles.
Sec. 206. National launch capability study.

SEC. 2. <<NOTE: 42 USC 14701.>> DEFINITIONS.

    For purposes of this Act--
            (1) the term ``Administrator'' means the Administrator of 
        the National Aeronautics and Space Administration;
            (2) the term ``commercial provider'' means any person 
        providing space transportation services or other space-related 
        activities, primary control of which is held by persons other 
        than Federal, State, local, and foreign governments;
            (3) the term ``payload'' means anything that a person 
        undertakes to transport to, from, or within outer space, or in 
        suborbital trajectory, by means of a space transportation 
        vehicle, but does not include the space transportation vehicle 
        itself except for its components which are specifically designed 
        or adapted for that payload;
            (4) the term ``space-related activities'' includes research 
        and development, manufacturing, processing, service, and other 
        associated and support activities;
            (5) the term ``space transportation services'' means the 
        preparation of a space transportation vehicle and its payloads

[[Page 112 STAT. 2844]]

        for transportation to, from, or within outer space, or in 
        suborbital trajectory, and the conduct of transporting a payload 
        to, from, or within outer space, or in suborbital trajectory;
            (6) the term ``space transportation vehicle'' means any 
        vehicle constructed for the purpose of operating in, or 
        transporting a payload to, from, or within, outer space, or in 
        suborbital trajectory, and includes any component of such 
        vehicle not specifically designed or adapted for a payload;
            (7) the term ``State'' means each of the several States of 
        the Union, the District of Columbia, the Commonwealth of Puerto 
        Rico, the Virgin Islands, Guam, American Samoa, the Commonwealth 
        of the Northern Mariana Islands, and any other commonwealth, 
        territory, or possession of the United States; and
            (8) the term ``United States commercial provider'' means a 
        commercial provider, organized under the laws of the United 
        States or of a State, which is--
                    (A) more than 50 percent owned by United States 
                nationals; or
                    (B) a subsidiary of a foreign company and the 
                Secretary of Transportation finds that--
                          (i) such subsidiary has in the past evidenced 
                      a substantial commitment to the United States 
                      market through--
                                    (I) investments in the United States 
                                in long-term research, development, and 
                                manufacturing (including the manufacture 
                                of major components and subassemblies); 
                                and
                                    (II) significant contributions to 
                                employment in the United States; and
                          (ii) the country or countries in which such 
                      foreign company is incorporated or organized, and, 
                      if appropriate, in which it principally conducts 
                      its business, affords reciprocal treatment to 
                      companies described in subparagraph (A) comparable 
                      to that afforded to such foreign company's 
                      subsidiary in the United States, as evidenced by--
                                    (I) providing comparable 
                                opportunities for companies described in 
                                subparagraph (A) to participate in 
                                Government sponsored research and 
                                development similar to that authorized 
                                under this Act;
                                    (II) providing no barriers, to 
                                companies described in subparagraph (A) 
                                with respect to local investment 
                                opportunities, that are not provided to 
                                foreign companies in the United States; 
                                and
                                    (III) providing adequate and 
                                effective protection for the 
                                intellectual property rights of 
                                companies described in subparagraph (A).

[[Page 112 STAT. 2845]]

          TITLE I--PROMOTION OF COMMERCIAL SPACE OPPORTUNITIES

SEC. 101. <<NOTE: 42 USC 14711.>> COMMERCIALIZATION OF SPACE STATION.

    (a) Policy.--The Congress declares that a priority goal of 
constructing the International Space Station is the economic development 
of Earth orbital space. The Congress further declares that free and 
competitive markets create the most efficient conditions for promoting 
economic development, and should therefore govern the economic 
development of Earth orbital space. The Congress further declares that 
the use of free market principles in operating, servicing, allocating 
the use of, and adding capabilities to the Space Station, and the 
resulting fullest possible engagement of commercial providers and 
participation of commercial users, will reduce Space Station operational 
costs for all partners and the Federal Government's share of the United 
States burden to fund operations.
    (b) Reports.--(1) The Administrator shall deliver to the Committee 
on Science of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate, within 90 days 
after the date of the enactment of this Act, a study that identifies and 
examines--
            (A) the opportunities for commercial providers to play a 
        role in International Space Station activities, including 
        operation, use, servicing, and augmentation;
            (B) the potential cost savings to be derived from commercial 
        providers playing a role in each of these activities;
            (C) which of the opportunities described in subparagraph (A) 
        the Administrator plans to make available to commercial 
        providers in fiscal years 1999 and 2000;
            (D) the specific policies and initiatives the Administrator 
        is advancing to encourage and facilitate these commercial 
        opportunities; and
            (E) the revenues and cost reimbursements to the Federal 
        Government from commercial users of the Space Station.

    (2) The Administrator shall deliver to the Committee on Science of 
the House of Representatives and the Committee on Commerce, Science, and 
Transportation of the Senate, within 180 days after the date of the 
enactment of this Act, an independently conducted market study that 
examines and evaluates potential industry interest in providing 
commercial goods and services for the operation, servicing, and 
augmentation of the International Space Station, and in the commercial 
use of the International Space Station. This study shall also include 
updates to the cost savings and revenue estimates made in the study 
described in paragraph (1) based on the external market assessment.
    (3) The Administrator shall deliver to the Congress, no later than 
the submission of the President's annual budget request for fiscal year 
2000, a report detailing how many proposals (whether solicited or not) 
the National Aeronautics and Space Administration received during 
calendar years 1997 and 1998 regarding commercial operation, servicing, 
utilization, or augmentation of the International Space Station, broken 
down by each of these four categories, and specifying how many 
agreements the National Aeronautics and Space Administration has entered 
into in response to these proposals, also broken down by these four 
categories.

[[Page 112 STAT. 2846]]

    (4) Each of the studies and reports required by paragraphs (1), (2), 
and (3) shall include consideration of the potential role of State 
governments as brokers in promoting commercial participation in the 
International Space Station program.

SEC. 102. COMMERCIAL SPACE LAUNCH AMENDMENTS.

    (a) Amendments.--Chapter 701 of title 49, United States Code, is 
amended--
            (1) in the table of sections--
                    (A) by amending the item relating to section 70104 
                to read as follows:

``70104. Restrictions on launches, operations, and reentries.'';

                    (B) by amending the item relating to section 70108 
                to read as follows:

``70108. Prohibition, suspension, and end of launches, operation of 
           launch sites and reentry sites, and reentries.'';

                    (C) by amending the item relating to section 70109 
                to read as follows:

``70109. Preemption of scheduled launches or reentries.'';

                and
                    (D) by adding at the end the following new items:

``70120. Regulations.
``70121. Report to Congress.''.

            (2) in section 70101--
                    (A) by inserting ``microgravity research,'' after 
                ``information services,'' in subsection (a)(3);
                    (B) by inserting ``, reentry,'' after ``launching'' 
                both places it appears in subsection (a)(4);
                    (C) by inserting ``, reentry vehicles,'' after 
                ``launch vehicles'' in subsection (a)(5);
                    (D) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(6);
                    (E) by inserting ``, reentries,'' after ``launches'' 
                both places it appears in subsection (a)(7);
                    (F) by inserting ``, reentry sites,'' after ``launch 
                sites'' in subsection (a)(8);
                    (G) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(8);
                    (H) by inserting ``reentry sites,'' after ``launch 
                sites,'' in subsection (a)(9);
                    (I) by inserting ``and reentry site'' after ``launch 
                site'' in subsection (a)(9);
                    (J) by inserting ``, reentry vehicles,'' after 
                ``launch vehicles'' in subsection (b)(2);
                    (K) by striking ``launch'' in subsection (b)(2)(A);
                    (L) by inserting ``and reentry'' after ``conduct of 
                commercial launch'' in subsection (b)(3);
                    (M) by striking ``launch'' after ``and transfer 
                commercial'' in subsection (b)(3); and
                    (N) by inserting ``and development of reentry 
                sites,'' after ``launch-site support facilities,'' in 
                subsection (b)(4);
            (3) in section 70102--
                    (A) in paragraph (3)--

[[Page 112 STAT. 2847]]

                          (i) by striking ``and any payload'' and 
                      inserting in lieu thereof ``or reentry vehicle and 
                      any payload from Earth'';
                          (ii) by striking the period at the end of 
                      subparagraph (C) and inserting in lieu thereof a 
                      comma; and
                          (iii) by adding after subparagraph (C) the 
                      following:
        ``including activities involved in the preparation of a launch 
        vehicle or payload for launch, when those activities take place 
        at a launch site in the United States.'';
                    (B) by inserting ``or reentry vehicle'' after 
                ``means of a launch vehicle'' in paragraph (8);
                    (C) by redesignating paragraphs (10), (11), and (12) 
                as paragraphs (14), (15), and (16), respectively;
                    (D) by inserting after paragraph (9) the following 
                new paragraphs:
            ``(10) `reenter' and `reentry' mean to return or attempt to 
        return, purposefully, a reentry vehicle and its payload, if any, 
        from Earth orbit or from outer space to Earth.
            ``(11) `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.
            ``(12) `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).
            ``(13) `reentry vehicle' means a vehicle designed to return 
        from Earth orbit or outer space to Earth, or a reusable launch 
        vehicle designed to return from Earth orbit or outer space to 
        Earth, substantially intact.''; and
                    (E) by inserting ``or reentry services'' after 
                ``launch services'' each place it appears in paragraph 
                (15), as so redesignated by subparagraph (C) of this 
                paragraph;
            (4) in section 70103(b)--
                    (A) by inserting ``and Reentries'' after 
                ``Launches'' in the subsection heading;
                    (B) by inserting ``and reentries'' after 
                ``commercial space launches'' in paragraph (1); and
                    (C) by inserting ``and reentry'' after ``space 
                launch'' in paragraph (2);
            (5) in section 70104--
                    (A) by amending the section designation and heading 
                to read as follows:

``Sec. 70104. Restrictions on launches, operations, and reentries'';

                    (B) by inserting ``or reentry site, or to reenter a 
                reentry vehicle,'' after ``operate a launch site'' each 
                place it appears in subsection (a);
                    (C) by inserting ``or reentry'' after ``launch or 
                operation'' in subsection (a)(3) and (4);
                    (D) in subsection (b)--
                          (i) by striking ``launch license'' and 
                      inserting in lieu thereof ``license'';
                          (ii) by inserting ``or reenter'' after ``may 
                      launch''; and

[[Page 112 STAT. 2848]]

                          (iii) by inserting ``or reentering'' after 
                      ``related to launching''; and
                    (E) in subsection (c)--
                          (i) by amending the subsection heading to read 
                      as follows: ``Preventing Launches and Reentries.--
                      '';
                          (ii) by inserting ``or reentry'' after 
                      ``prevent the launch''; and
                          (iii) by inserting ``or reentry'' after 
                      ``decides the launch'';
            (6) in section 70105--
                    (A) by inserting ``(1)'' before ``A person may 
                apply'' in subsection (a);
                    (B) by striking ``receiving an application'' both 
                places it appears in subsection (a) and inserting in 
                lieu thereof ``accepting an application in accordance 
                with criteria established pursuant to subsection 
                (b)(2)(D)'';
                    (C) <<NOTE: Notice. Deadline.>> by adding at the end 
                of subsection (a) the following: ``The Secretary shall 
                transmit to the Committee on Science of the House of 
                Representatives and the Committee on Commerce, Science, 
                and Transportation of the Senate a written notice not 
                later than 30 days after any occurrence when a license 
                is not issued within the deadline established by this 
                subsection.

    ``(2) In carrying out paragraph (1), 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 licensed commercial space launch or reentry activities.'';
                    (D) by inserting ``or a reentry site, or the reentry 
                of a reentry vehicle,'' after ``operation of a launch 
                site'' in subsection (b)(1);
                    (E) by striking ``or operation'' and inserting in 
                lieu thereof ``, operation, or reentry'' in subsection 
                (b)(2)(A);
                    (F) by striking ``and'' at the end of subsection 
                (b)(2)(B);
                    (G) by striking the period at the end of subsection 
                (b)(2)(C) and inserting in lieu thereof ``; and'';
                    (H) by adding at the end of subsection (b)(2) the 
                following new subparagraph:
            ``(D) regulations establishing criteria for accepting or 
        rejecting an application for a license under this chapter within 
        60 days after receipt of such application.''; and
                    (I) by inserting ``, including the requirement to 
                obtain a license,'' after ``waive a requirement'' in 
                subsection (b)(3);
            (7) in section 70106(a)--
                    (A) by inserting ``or reentry site'' after 
                ``observer at a launch site'';
                    (B) by inserting ``or reentry vehicle'' after 
                ``assemble a launch vehicle''; and
                    (C) by inserting ``or reentry vehicle'' after ``with 
                a launch vehicle'';
            (8) in section 70108--
                    (A) by amending the section designation and heading 
                to read as follows:

[[Page 112 STAT. 2849]]

``Sec. 70108. Prohibition, suspension, and end of launches, operation of 
                        launch sites and reentry sites, and reentries'';

                and
                    (B) in subsection (a)--
                          (i) by inserting ``or reentry site, or reentry 
                      of a reentry vehicle,'' after ``operation of a 
                      launch site''; and
                          (ii) by inserting ``or reentry'' after 
                      ``launch or operation'';
            (9) in section 70109--
                    (A) by amending the section designation and heading 
                to read as follows:

``Sec. 70109. Preemption of scheduled launches or reentries'';

                    (B) in subsection (a)--
                          (i) by inserting ``or reentry'' after ``ensure 
                      that a launch'';
                          (ii) by inserting ``, reentry site,'' after 
                      ``United States Government launch site'';
                          (iii) by inserting ``or reentry date 
                      commitment'' after ``launch date commitment'';
                          (iv) by inserting ``or reentry'' after 
                      ``obtained for a launch'';
                          (v) by inserting ``, reentry site,'' after 
                      ``access to a launch site'';
                          (vi) by inserting ``, or services related to a 
                      reentry,'' after ``amount for launch services''; 
                      and
                          (vii) by inserting ``or reentry'' after ``the 
                      scheduled launch''; and
                    (C) in subsection (c), by inserting ``or reentry'' 
                after ``prompt launching'';
            (10) in section 70110--
                    (A) by inserting ``or reentry'' after ``prevent the 
                launch'' in subsection (a)(2); and
                    (B) by inserting ``or reentry site, or reentry of a 
                reentry vehicle,'' after ``operation of a launch site'' 
                in subsection (a)(3)(B);
            (11) in section 70111--
                    (A) by inserting ``or reentry'' after ``launch'' in 
                subsection (a)(1)(A);
                    (B) by inserting ``and reentry services'' after 
                ``launch services'' in subsection (a)(1)(B);
                    (C) by inserting ``or reentry services'' after ``or 
                launch services'' in subsection (a)(2);
                    (D) by striking ``source.'' in subsection (a)(2) and 
                inserting ``source, whether such source is located on or 
                off a Federal range.'';
                    (E) by inserting ``or reentry'' after ``commercial 
                launch'' both places it appears in subsection (b)(1);
                    (F) by inserting ``or reentry services'' after 
                ``launch services'' in subsection (b)(2)(C);
                    (G) by inserting after subsection (b)(2) the 
                following new paragraph:

    ``(3) The Secretary shall ensure the establishment of uniform 
guidelines for, and consistent implementation of, this section by all 
Federal agencies.'';

[[Page 112 STAT. 2850]]

                    (H) by striking ``or its payload for launch'' in 
                subsection (d) and inserting in lieu thereof ``or 
                reentry vehicle, or the payload of either, for launch or 
                reentry''; and
                    (I) by inserting ``, reentry vehicle,'' after 
                ``manufacturer of the launch vehicle'' in subsection 
                (d);
            (12) in section 70112--
                    (A) in subsection (a)(1), by inserting ``launch or 
                reentry'' after ``(1) When a'';
                    (B) by inserting ``or reentry'' after ``one launch'' 
                in subsection (a)(3);
                    (C) by inserting ``or reentry services'' after 
                ``launch services'' in subsection (a)(4);
                    (D) in subsection (b)(1), by inserting ``launch or 
                reentry'' after ``(1) A'';
                    (E) by inserting ``or reentry services'' after 
                ``launch services'' each place it appears in subsection 
                (b);
                    (F) by inserting ``applicable'' after ``carried out 
                under the'' in paragraphs (1) and (2) of subsection (b);
                    (G) by inserting ``or Reentries'' after ``Launches'' 
                in the heading for subsection (e);
                    (H) by inserting ``or reentry site or a reentry'' 
                after ``launch site'' in subsection (e); and
                    (I) in subsection (f ), by inserting ``launch or 
                reentry'' after ``carried out under a'';
            (13) in section 70113(a)(1) and (d)(1) and (2), by inserting 
        ``or reentry'' after ``one launch'' each place it appears;
            (14) in section 70115(b)(1)(D)(i)--
                    (A) by inserting ``reentry site,'' after ``launch 
                site,''; and
                    (B) by inserting ``or reentry vehicle'' after 
                ``launch vehicle'' both places it appears;
            (15) in section 70117--
                    (A) by inserting ``or reentry site, or to reenter a 
                reentry vehicle'' after ``operate a launch site'' in 
                subsection (a);
                    (B) by inserting ``or reentry'' after ``approval of 
                a space launch'' in subsection (d);
                    (C) by amending subsection (f ) to read as follows:

    ``(f ) Launch Not an Export; Reentry Not an 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, 
respectively, for purposes of a law controlling exports or imports, 
except that payloads launched pursuant to foreign trade zone procedures 
as provided for under the Foreign Trade Zones Act (19 U.S.C. 81a-81u) 
shall be considered exports with regard to customs entry.''; and
                    (D) in subsection (g)--
                          (i) by striking ``operation of a launch 
                      vehicle or launch site,'' in paragraph (1) and 
                      inserting in lieu thereof ``reentry, operation of 
                      a launch vehicle or reentry vehicle, operation of 
                      a launch site or reentry site,''; and
                          (ii) by inserting ``reentry,'' after 
                      ``launch,'' in paragraph (2); and
            (16) by adding at the end the following new sections:

[[Page 112 STAT. 2851]]

``Sec. 70120. Regulations

    ``(a) In General.--The <<NOTE: Deadline.>> Secretary of 
Transportation, within 9 months after the date of the enactment of this 
section, shall issue regulations to carry out this chapter that 
include--
            ``(1) guidelines for industry and State governments to 
        obtain sufficient insurance coverage for potential damages to 
        third parties;
            ``(2) procedures for requesting and obtaining licenses to 
        launch a commercial launch vehicle;
            ``(3) procedures for requesting and obtaining operator 
        licenses for launch;
            ``(4) procedures for requesting and obtaining launch site 
        operator licenses; and
            ``(5) procedures for the application of government 
        indemnification.

    ``(b) Reentry.--The Secretary of Transportation, within 6 months 
after the date of the enactment of this section, shall issue a notice of 
proposed rulemaking to carry out this chapter that includes--
            ``(1) procedures for requesting and obtaining licenses to 
        reenter a reentry vehicle;
            ``(2) procedures for requesting and obtaining operator 
        licenses for reentry; and
            ``(3) procedures for requesting and obtaining reentry site 
        operator licenses.

``Sec. 70121. 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.''.

    (b) Authorization of Appropriations.--Section 70119 of title 49, 
United States Code, is amended to read as follows:

``Sec. 70119. Authorization of appropriations

    ``There are authorized to be appropriated to the Secretary of 
Transportation for the activities of the Office of the Associate 
Administrator for Commercial Space Transportation--
            ``(1) $6,275,000 for the fiscal year ending September 30, 
        1999; and
            ``(2) $6,600,000 for the fiscal year ending September 30, 
        2000.''.

    (c) Effective Date.--The <<NOTE: 49 USC 70105 note.>> amendments 
made by subsection (a)(6)(B) shall take effect upon the effective date 
of final regulations issued pursuant to section 70105(b)(2)(D) of title 
49, United States Code, as added by subsection (a)(6)(H).

SEC. 103. LAUNCH VOUCHER DEMONSTRATION PROGRAM.

    Section 504 of the National Aeronautics and Space Administration 
Authorization Act, Fiscal Year 1993 (15 U.S.C. 5803) is 
amended--

[[Page 112 STAT. 2852]]

            (1) in subsection (a)--
                    (A) by striking ``the Office of Commercial Programs 
                within''; and
                    (B) by striking ``Such program shall not be 
                effective after September 30, 1995.'';
            (2) by striking subsection (c); and
            (3) by redesignating subsections (d) and (e) as subsections 
        (c) and (d), respectively.

SEC. 104. <<NOTE: 42 USC 14712.>> PROMOTION OF UNITED STATES GLOBAL 
            POSITIONING SYSTEM STANDARDS.

    (a) Finding.--The Congress finds that the Global Positioning System, 
including satellites, signal equipment, ground stations, data links, and 
associated command and control facilities, has become an essential 
element in civil, scientific, and military space development because of 
the emergence of a United States commercial industry which provides 
Global Positioning System equipment and related services.
    (b) International Cooperation.--In order to support and sustain the 
Global Positioning System in a manner that will most effectively 
contribute to the national security, public safety, scientific, and 
economic interests of the United States, the Congress encourages the 
President to--
            (1) ensure the operation of the Global Positioning System on 
        a continuous worldwide basis free of direct user fees;
            (2) enter into international agreements that promote 
        cooperation with foreign governments and international 
        organizations to--
                    (A) establish the Global Positioning System and its 
                augmentations as an acceptable international standard; 
                and
                    (B) eliminate any foreign barriers to applications 
                of the Global Positioning System worldwide; and
            (3) provide clear direction and adequate resources to the 
        Assistant Secretary of Commerce for Communications and 
        Information so that on an international basis the Assistant 
        Secretary can--
                    (A) achieve and sustain efficient management of the 
                electromagnetic spectrum used by the Global Positioning 
                System; and
                    (B) protect that spectrum from disruption and 
                interference.

SEC. 105. <<NOTE: 42 USC 14713.>> ACQUISITION OF SPACE SCIENCE DATA.

    (a) Acquisition From Commercial Providers.--The Administrator shall, 
to the extent possible and while satisfying the scientific or 
educational requirements of the National Aeronautics and Space 
Administration, and where appropriate, of other Federal agencies and 
scientific researchers, acquire, where cost effective, space science 
data from a commercial provider.
    (b) Treatment of Space Science Data as Commercial Item Under 
Acquisition Laws.--Acquisitions of space science data by the 
Administrator shall be carried out in accordance with applicable 
acquisition laws and regulations (including chapters 137 and 140 of 
title 10, United States Code). For purposes of such law and regulations, 
space science data shall be considered to be a commercial item. Nothing 
in this subsection shall be construed to preclude

[[Page 112 STAT. 2853]]

the United States from acquiring, through contracts with commercial 
providers, sufficient rights in data to meet the needs of the scientific 
and educational community or the needs of other government activities.
    (c) Definition.--For purposes of this section, the term ``space 
science data'' includes scientific data concerning--
            (1) the elemental and mineralogical resources of the moon, 
        asteroids, planets and their moons, and comets;
            (2) microgravity acceleration; and
            (3) solar storm monitoring.

    (d) Safety Standards.--Nothing in this section shall be construed to 
prohibit the Federal Government from requiring compliance with 
applicable safety standards.
    (e) Limitation.--This section does not authorize the National 
Aeronautics and Space Administration to provide financial assistance for 
the development of commercial systems for the collection of space 
science data.

SEC. 106. <<NOTE: 42 USC 14714.>> ADMINISTRATION OF COMMERCIAL SPACE 
            CENTERS.

    The Administrator shall administer the Commercial Space Center 
program in a coordinated manner from National Aeronautics and Space 
Administration headquarters in Washington, D.C.

SEC. 107. <<NOTE: 42 USC 14715.>> SOURCES OF EARTH SCIENCE DATA.

    (a) Acquisition.--The Administrator shall, to the extent possible 
and while satisfying the scientific or educational requirements of the 
National Aeronautics and Space Administration, and where appropriate, of 
other Federal agencies and scientific researchers, acquire, where cost-
effective, space-based and airborne Earth remote sensing data, services, 
distribution, and applications from a commercial provider.
    (b) Treatment as Commercial Item Under Acquisition Laws.--
Acquisitions by the Administrator of the data, services, distribution, 
and applications referred to in subsection (a) shall be carried out in 
accordance with applicable acquisition laws and regulations (including 
chapters 137 and 140 of title 10, United States Code). For purposes of 
such law and regulations, such data, services, distribution, and 
applications shall be considered to be a commercial item. Nothing in 
this subsection shall be construed to preclude the United States from 
acquiring, through contracts with commercial providers, sufficient 
rights in data to meet the needs of the scientific and educational 
community or the needs of other government activities.
    (c) Study.--(1) The Administrator shall conduct a study to determine 
the extent to which the baseline scientific requirements of Earth 
Science can be met by commercial providers, and how the National 
Aeronautics and Space Administration will meet such requirements which 
cannot be met by commercial providers.
    (2) The study conducted under this subsection shall--
            (A) make recommendations to promote the availability of 
        information from the National Aeronautics and Space 
        Administration to commercial providers to enable commercial 
        providers to better meet the baseline scientific requirements of 
        Earth Science;
            (B) make recommendations to promote the dissemination to 
        commercial providers of information on advanced technology 
        research and development performed by or for the National 
        Aeronautics and Space Administration; and

[[Page 112 STAT. 2854]]

            (C) identify policy, regulatory, and legislative barriers to 
        the implementation of the recommendations made under this 
        subsection.

    (3) The results of the study conducted under this subsection shall 
be transmitted to the Congress within 6 months after the date of the 
enactment of this Act.
    (d) Safety Standards.--Nothing in this section shall be construed to 
prohibit the Federal Government from requiring compliance with 
applicable safety standards.
    (e) Administration and Execution.--This section shall be carried out 
as part of the Commercial Remote Sensing Program at the Stennis Space 
Center.
    (f ) Remote Sensing.--
            (1) Application contents.--Section 201(b) of the Land Remote 
        Sensing Policy Act of 1992 (15 U.S.C. 5621(b)) is 
        amended--
                    (A) by inserting ``(1)'' after ``National 
                Security.--''; and
                    (B) by adding at the end the following new 
                paragraph:

    ``(2) <<NOTE: Federal Register, publication.>> The Secretary, within 
6 months after the date of the enactment of the Commercial Space Act of 
1998, shall publish in the Federal Register a complete and specific list 
of all information required to comprise a complete application for a 
license under this title. An application shall be considered complete 
when the applicant has provided all information required by the list 
most recently published in the Federal Register before the date the 
application was first submitted. Unless the Secretary has, within 30 
days after receipt of an application, notified the applicant of 
information necessary to complete an application, the Secretary may not 
deny the application on the basis of the absence of any such 
information.''.
            (2) Notification of agreements.--Section 202(b)(6) of the 
        Land Remote Sensing Policy Act of 1992 (15 U.S.C. 5622(b)(6)) is 
        amended by inserting ``significant or substantial'' after 
        ``Secretary of any''.

     TITLE II--FEDERAL ACQUISITION OF SPACE TRANSPORTATION SERVICES

SEC. 201. <<NOTE: 42 USC 14731.>> REQUIREMENT TO PROCURE COMMERCIAL 
            SPACE TRANSPORTATION SERVICES.

    (a) In General.--Except as otherwise provided in this section, the 
Federal Government shall acquire space transportation services from 
United States commercial providers whenever such services are required 
in the course of its activities. To the maximum extent practicable, the 
Federal Government shall plan missions to accommodate the space 
transportation services capabilities of United States commercial 
providers.
    (b) Exceptions.--The Federal Government shall not be required to 
acquire space transportation services under subsection (a) if, on a 
case-by-case basis, the Administrator or, in the case of a national 
security issue, the Secretary of the Air Force, determines that--
            (1) a payload requires the unique capabilities of the Space 
        Shuttle;

[[Page 112 STAT. 2855]]

            (2) cost effective space transportation services that meet 
        specific mission requirements would not be reasonably available 
        from United States commercial providers when required;
            (3) the use of space transportation services from United 
        States commercial providers poses an unacceptable risk of loss 
        of a unique scientific opportunity;
            (4) the use of space transportation services from United 
        States commercial providers is inconsistent with national 
        security objectives;
            (5) the use of space transportation services from United 
        States commercial providers is inconsistent with international 
        agreements for international collaborative efforts relating to 
        science and technology;
            (6) it is more cost effective to transport a payload in 
        conjunction with a test or demonstration of a space 
        transportation vehicle owned by the Federal Government; or
            (7) a payload can make use of the available cargo space on a 
        Space Shuttle mission as a secondary payload, and such payload 
        is consistent with the requirements of research, development, 
        demonstration, scientific, commercial, and educational programs 
        authorized by the Administrator.

Nothing in this section shall prevent the Administrator from planning or 
negotiating agreements with foreign entities for the launch of Federal 
Government payloads for international collaborative efforts relating to 
science and technology.
    (c) Delayed Effect.--Subsection (a) shall not apply to space 
transportation services and space transportation vehicles acquired or 
owned by the Federal Government before the date of the enactment of this 
Act, or with respect to which a contract for such acquisition or 
ownership has been entered into before such date.
    (d) Historical Purposes.--This section shall not be construed to 
prohibit the Federal Government from acquiring, owning, or maintaining 
space transportation vehicles solely for historical display purposes.

SEC. 202. <<NOTE: 42 USC 14732.>> ACQUISITION OF COMMERCIAL SPACE 
            TRANSPORTATION SERVICES.

    (a) Treatment of Commercial Space Transportation Services as 
Commercial Item Under Acquisition Laws.--Acquisitions of space 
transportation services by the Federal Government shall be carried out 
in accordance with applicable acquisition laws and regulations 
(including chapters 137 and 140 of title 10, United States Code). For 
purposes of such law and regulations, space transportation services 
shall be considered to be a commercial item.
    (b) Safety Standards.--Nothing in this section shall be construed to 
prohibit the Federal Government from requiring compliance with 
applicable safety standards.

SEC. 203. LAUNCH SERVICES PURCHASE ACT OF 1990 AMENDMENTS.

    The Launch Services Purchase Act of 1990 (42 U.S.C. 2465b et seq.) 
is amended--
            (1) <<NOTE: 42 USC 2465b.>> by striking section 202;
            (2) <<NOTE: 42 USC 2465c.>> in section 203--
                    (A) by striking paragraphs (1) and (2); and
                    (B) by redesignating paragraphs (3) and (4) as 
                paragraphs (1) and (2), respectively;
            (3) <<NOTE: 42 USC 2465d, 2465e.>> by striking sections 204 
        and 205; and
            (4) <<NOTE: 42 USC 2465f.>> in section 206--

[[Page 112 STAT. 2856]]

                    (A) by striking ``(a) Commercial Payloads on the 
                Space Shuttle.--''; and
                    (B) by striking subsection (b).

SEC. 204. <<NOTE: 42 USC 14733.>> SHUTTLE PRIVATIZATION.

    (a) Policy and Preparation.--The Administrator shall prepare for an 
orderly transition from the Federal operation, or Federal management of 
contracted operation, of space transportation systems to the Federal 
purchase of commercial space transportation services for all 
nonemergency space transportation requirements for transportation to and 
from Earth orbit, including human, cargo, and mixed payloads. In those 
preparations, the Administrator shall take into account the need for 
short-term economies, as well as the goal of restoring the National 
Aeronautics and Space Administration's research focus and its mandate to 
promote the fullest possible commercial use of space. As part of those 
preparations, the Administrator shall plan for the potential 
privatization of the Space Shuttle program. Such plan shall keep safety 
and cost effectiveness as high priorities. Nothing in this section shall 
prohibit the National Aeronautics and Space Administration from 
studying, designing, developing, or funding upgrades or modifications 
essential to the safe and economical operation of the Space Shuttle 
fleet.
    (b) Feasibility Study.--The Administrator shall conduct a study of 
the feasibility of implementing the recommendation of the Independent 
Shuttle Management Review Team that the National Aeronautics and Space 
Administration transition toward the privatization of the Space Shuttle. 
The study shall identify, discuss, and, where possible, present options 
for resolving, the major policy and legal issues that must be addressed 
before the Space Shuttle is privatized, including--
            (1) whether the Federal Government or the Space Shuttle 
        contractor should own the Space Shuttle orbiters and ground 
        facilities;
            (2) whether the Federal Government should indemnify the 
        contractor for any third party liability arising from Space 
        Shuttle operations, and, if so, under what terms and conditions;
            (3) whether payloads other than National Aeronautics and 
        Space Administration payloads should be allowed to be launched 
        on the Space Shuttle, how missions will be prioritized, and who 
        will decide which mission flies and when;
            (4) whether commercial payloads should be allowed to be 
        launched on the Space Shuttle and whether any classes of 
        payloads should be made ineligible for launch consideration;
            (5) whether National Aeronautics and Space Administration 
        and other Federal Government payloads should have priority over 
        non-Federal payloads in the Space Shuttle launch assignments, 
        and what policies should be developed to prioritize among 
        payloads generally;
            (6) whether the public interest requires that certain Space 
        Shuttle functions continue to be performed by the Federal 
        Government; and
            (7) how much cost savings, if any, will be generated by 
        privatization of the Space Shuttle.

    (c) Report to Congress.--Within 60 days after the date of the 
enactment of this Act, the National Aeronautics and Space Administration 
shall complete the study required under subsection

[[Page 112 STAT. 2857]]

(b) and shall submit a report on the study to the Committee on Commerce, 
Science, and Transportation of the Senate and the Committee on Science 
of the House of Representatives.

SEC. 205. <<NOTE: 42 USC 14734.>> USE OF EXCESS INTERCONTINENTAL 
            BALLISTIC MISSILES.

    (a) In general.--The Federal Government shall not--
            (1) convert any missile described in subsection (c) to a 
        space transportation vehicle configuration; or
            (2) transfer ownership of any such missile to another 
        person, except as provided in subsection (b).

    (b) Authorized Federal Uses.--(1) A missile described in subsection 
(c) may be converted for use as a space transportation vehicle by the 
Federal Government if, except as provided in paragraph (2) and at least 
30 days before such conversion, the agency seeking to use the missile as 
a space transportation vehicle transmits to the Committee on National 
Security and the Committee on Science of the House of Representatives, 
and to the Committee on Armed Services and the Committee on Commerce, 
Science, and Transportation of the Senate, a certification that the use 
of such missile--
            (A) would result in cost savings to the Federal Government 
        when compared to the cost of acquiring space transportation 
        services from United States commercial providers;
            (B) meets all mission requirements of the agency, including 
        performance, schedule, and risk requirements;
            (C) is consistent with international obligations of the 
        United States; and
            (D) is approved by the Secretary of Defense or his designee.

    (2) The requirement under paragraph (1) that the certification 
described in that paragraph must be transmitted at least 30 days before 
conversion of the missile shall not apply if the Secretary of Defense 
determines that compliance with that requirement would be inconsistent 
with meeting immediate national security requirements.
    (c) Missiles Referred to.-- The missiles referred to in this section 
are missiles owned by the United States that--
            (1) were formerly used by the Department of Defense for 
        national defense purposes as intercontinental ballistic 
        missiles; and
            (2) have been declared excess to United States national 
        defense needs and are in compliance with international 
        obligations of the United States.

SEC. 206. <<NOTE: 42 USC 14735.>> NATIONAL LAUNCH CAPABILITY STUDY.

    (a) Findings.--Congress finds that a robust satellite and launch 
industry in the United States serves the interest of the United States 
by--
            (1) contributing to the economy of the United States;
            (2) strengthening employment, technological, and scientific 
        interests of the United States; and
            (3) serving the foreign policy and national security 
        interests of the United States.

    (b) Definitions.--In this section:
            (1) Secretary.--The term ``Secretary'' means the Secretary 
        of Defense.
            (2) Total potential national mission model.--The term 
        ``total potential national mission model'' means a model that--

[[Page 112 STAT. 2858]]

                    (A) is determined by the Secretary, in consultation 
                with the Administrator, to assess the total potential 
                space missions to be conducted in the United States 
                during a specified period of time; and
                    (B) includes all launches in the United States 
                (including launches conducted on or off a Federal 
                range).

    (c) Report.--
            (1) In general.--Not <<NOTE: Deadline.>> later than 180 days 
        after the date of enactment of this Act, the Secretary shall, in 
        consultation with the Administrator and appropriate 
        representatives of the satellite and launch industry and the 
        governments of States and political subdivisions thereof--
                    (A) prepare a report that meets the requirements of 
                this subsection; and
                    (B) submit that report to the Committee on Commerce, 
                Science, and Transportation of the Senate and the 
                Committee on Science of the House of Representatives.
            (2) Requirements for report.--The report prepared under this 
        subsection shall--
                    (A) identify the total potential national mission 
                model for the period beginning on the date of the report 
                and ending on December 31, 2007;
                    (B) identify the resources that are necessary or 
                available to carry out the total potential national 
                mission model described in subparagraph (A), including--
                          (i) launch property and services of the 
                      Department of Defense, the National Aeronautics 
                      and Space Administration, and non-Federal 
                      facilities; and
                          (ii) the ability to support commercial launch-
                      on-demand on short notification, taking into 
                      account Federal requirements, at launch sites or 
                      test ranges in the United States;
                    (C) identify each deficiency in the resources 
                referred to in subparagraph (B); and
                    (D) with respect to the deficiencies identified 
                under subparagraph (C), include estimates of the level 
                of funding necessary to address those deficiencies for 
                the period described in subparagraph (A).

    (d) Recommendations.--Based on the reports under subsection (c), the 
Secretary, after consultation with the Secretary of Transportation, the 
Secretary of Commerce, and representatives from interested private 
sector entities, States, and local governments, shall--
            (1) identify opportunities for investment by non-Federal 
        entities (including States and political subdivisions thereof 
        and private sector entities) to assist the Federal Government in 
        providing launch capabilities for the commercial space industry 
        in the United States;
            (2) identify one or more methods by which, if sufficient 
        resources referred to in subsection (c)(2)(D) are not available 
        to the Department of Defense and the National Aeronautics and 
        Space Administration, the control of the launch property and 
        launch services of the Department of Defense and the National 
        Aeronautics and Space Administration may be transferred from the 
        Department of Defense and the National Aeronautics and Space 
        Administration to--
                    (A) one or more other Federal agencies;

[[Page 112 STAT. 2859]]

                    (B) one or more States (or subdivisions thereof);
                    (C) one or more private sector entities; or
                    (D) any combination of the entities described in 
                subparagraphs (A) through (C); and
            (3) identify the technical, structural, and legal 
        impediments associated with making launch sites or test ranges 
        in the United States viable and competitive.

    Approved October 28, 1998.

LEGISLATIVE HISTORY--H.R. 1702:
---------------------------------------------------------------------------

HOUSE REPORTS: No. 105-347 (Comm. on Science).
SENATE REPORTS: No. 105-198 (Comm. on Commerce, Science, and 
Transportation).
CONGRESSIONAL RECORD:
                                                        Vol. 143 (1997):
                                    Nov. 4, considered and passed House.
                                                        Vol. 144 (1998):
                                    July 30, considered and passed 
                                        Senate, amended.
                                    Oct. 5, House concurred in Senate 
                                        amendment with an amendment.
                                    Oct. 8, Senate concurred in House 
                                        amendment.

                                  <all>