COMMERCIAL SPACE LAUNCH ACT 1984

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FINDINGS AND PURPOSE

Congress found and declared that: the peaceful use of outer space continues to be important. growth of the private space technology and more potential growth in the future. the private sector in the United States is capable to develop and provide private satellite launching and associated services. the development of commercial launch activities would enable the United States to retain its competitive position internationally.

provision of commercial launch services is consistent with United States interests and would be facilitated by stable minimal, and appropriate regulatory guidelines. the united states should encourage private sector launches and associated services yet needs to regulate such services in order to ensure compliance with international obligations of the United States and to protect the public health and safety, safety of property, national security and foreign policy interests. ( US interests )

Purpose of the act: promote economic growth. encourage the United States private sector to provide space launching by facilitating the issuance and transfer of commercial launch licenses. to designate an executive department to oversee and coordinate the conduct of commercial launch operations and to issue and transfer licenses.

Requirement of license for private space launch operations: Within the United States: No one shall launch or operate a launch site unless authorized by a license issued or transferred under this act. Anywhere else in the world: No United States citizen (person or corporation) shall launch a launch vehicle or operate a launch site unless authorized by license issued or transferred under this Act ! <--- too much control? or reasonable because of liability issues? the above requirement does not apply if there was an agreement in force between the US and the foreign nation where the launch activities take place, that provides that the foreign nation shall exercise jurisdiction over the launch operations.

The holder of a launch license under this act shall not launch a payload unless that payload complies with the requirements of the relevant federal law. The Secretary according to this act has the upper hand in the licenses requirement with the authority to issue and transfer licenses. Requirements for the licenses : All federal law requirements which apply to the launch of a launch vehicle or the operation of a launch site are also requirements for a license under this act.

However, if the Secretary determines (after consulting the appropriate agency) that any requirement is not necessary, the Secretary may by regulation provide that such requirement shall not be required for a license under this act. The Secretary may prescribe additional requirements necessary to protect the US interests. The Secretary may (in individual cases) waive the application of any requirement for a license, if the Secretary determines that such waiver is in the public interest and will not jeopardize the US interests.

The License: anyone may apply to the secretary for issuance or transfer. the secretary prescribes the manner for the application and any related procedures. The secretary issues or transfer the license after the secretary determines in writing that the applicant complies and will continue to comply with the requirements. Secretary should inform the applicant of any pending issues after 120 days of receipt of application and shall make a determination not later than 180 days after receipt of the application.

The Secretary may suspend or revoke any license issued or transferred under this act if the secretary nds: 1-that the licensee has: substantially failed to comply with any requirement of this act, or any regulation issued under this act, Or, 2- that the suspension or revocation is necessary to protect the US interests. Unless otherwise specied by the secretary, any revocation or suspension under this act shall take effect immediately and continue in effect during any review of such action. Secretary shall notify the licensee in writing in the events of suspension or revocation of license.

More power to the Secretary! Emergency orders: The secretary may terminate, prohibit, or suspend immediately the launch of a launch vehicle or the operation of a launch site that is licensed if the secretary determines that such activity is detrimental to the US interests. any order by the secretary shall take effect immediately and continue in effect during any review of such order. Judicial review: applicants under this act shall be entitled to a determination on the record after an opportunist for a hearing of any decision of the secretary. Any nal action of the secretary under this act shall be subject to judicial review.

Monitoring of licensees: Each license issued or transferred under this act shall require the licensee to: Allow the secretary to place federal ofcers or employees or other individuals at any launch site, production facility or assembly site used by the licensee or any of his contractors or at any site where a payload is integrated with a launch vehicle, In order to monitor the activities of the licensee or the contractor to such extent that the secretary nds reasonable and necessary. licensee shall cooperate with such observers in the performance of their job.

Liability insurance: Each licensee under this act shall have in effect liability insurance at least in such amount considered by the secretary to be necessary for such operation, considering the international obligations of the United States. Secretary shall prescribe such amount after consultation with the attorney general and other appropriate agencies. Enforcement authority of this act: the secretary who may also delegate the authority to any ofcer or employee of the dep. of transportation or to any ofcer or employee of any other agency with the approval of the head of that agency.

In carrying out the authority section the secretary may: make investigations, take information from any person under oath concerning any matter relating to the enforcement of this act. enter at any reasonable time any launch site, production facility or assembly site of a launch vehicle or any site where a payload is integrated with a launch vehicle, for the purpose of inspecting any object which is a subject to this act or any relevant records. seize any such object, record, or report where there is a probable cause to believe that it was used, is being used or is likely to be used in violation of this act.

It is unlawful to violate the requirements of this act or any regulation issued under it. The violators may be subject to civil penalties.(set out in sec 19.) This act is a federal law (sec 21). a launch vehicle or payload shall not be considered an export. This act shall not apply to activities carried by the United States on behalf of the United States ( so only commercial activities ). The Secretary shall carry out this act consistent with any obligation assumed by the United States in any treaty in force between the United States and any foreign nation.

OVERVIEW

The act talks about the desire to encourage commercial space activities by facilitating and enabling the commercial launchers,but then places so much regulations and requirements for them to comply with. Balancing effect between regulations/control and encouraging the business. Captain Ken Ham Rules are written in blood! Questions?!

LIABILITY UNDER COMMERCIAL SPACE LAUNCH ACT

The Commercial Space Launch Act Amendments of 1988 established a tiered risksharing regime for third-party liabilities associated with commercial space launch. The purpose of the regime is to limit the liability of the launch companies (and the government) for claims made by the uninvolved public. How is this different than the liability convention? In the liability convention the launching State is strictly liable with no cap limit on the compensation. now back to the 3 tiers system for compensation for commercial launches:

1- Required Insurance

...

2- Indemnication by the US government.

3- Licensee must compensate by his own (or private insurance).

The first tier is the responsibility of the launch provider. As part of the FAA licensure process for the launch, the provider must purchase insurance that covers third parties, including the government, for injury, loss or damage up to a limit of $500 million. That limit on the statutory ceiling is determined by FAA as the maximum probable loss (MPL). The second tier is the indemnification portion. If a successful claim were to be in excess of the maximum probable loss, the government is authorized to pay, subject to appropriation, an amount up to a total of $1.5 billion in claims over the first tier. This ceiling is adjusted for inflation and represents approximately $2.7 billion as of 2012. The final tier is the responsibility of the launch provider. The company or legally responsible party is liable for claims in excess of the maximum probable loss and the authorized $2.7 billion indemnification.