H.R. 5602 — LAUNCH Act

This section directs the Secretary of Transportation, not later than 120 days after enactment, to evaluate the Federal Aviation Administration's (FAA) implementation of part 450 of title 14, Code of Federal Regulations—which governs commercial space launch and reentry licensing—and its impacts on the commercial spaceflight industry, including assessments of increased uncertainty, launch delays, and review timelines (particularly the incremental review process); and, not later than 90 days after completing the evaluation, to submit a report to the Senate Committee on Commerce, Science, and Transportation and the House Committee on Science, Space, and Technology containing findings, recommendations to reduce delays and inefficiencies without additional personnel or funding, and estimated timelines and funding for implementation. This section further (1) requires the Secretary to continue supporting an Aerospace Rulemaking Committee of commercial space launch and reentry providers to recommend amendments to part 450 and serve as a long-term industry forum, without duplicating the Commercial Space Transportation Advisory Committee; (2) directs the Secretary, on an ongoing basis, to identify license requirements under 51 U.S.C. chapter 509 that can be modified or eliminated to encourage innovative technologies and operations; and (3) amends 51 U.S.C. §50905 to (A) require acceptance of applicants' reasonable safety rationales, including new approaches (previously permissive); (B) mandate assignment of a licensing team lead to each applicant to streamline reviews; and (C) require timely adjudication under the incremental review process (14 C.F.R. §450.33 or successor) and elimination or streamlining of duplicative interagency reviews, particularly for Federal ranges.

This section requires the Secretary of Transportation, not later than 60 days after enactment, to develop and maintain a digital licensing, permitting, and approval system for commercial space launch and reentry license applications that accepts applications, tracks status from receipt through final approval or denial, provides electronic notifications to applicants on milestones (e.g., receipt, completeness determination, interagency referrals with agency identifications, questions, and decisions), and includes minimum elements such as dates of receipt and referrals, requests for additional information, final decisions, and timeline success rates. The Secretary must make system information publicly available on a Department of Transportation website updated not less frequently than quarterly and utilize a commercially available off-the-shelf system. This section further deems an application complete upon electronic submission in standard digital format with all required information and authorizes up to $5 million from amounts available to the Federal Aviation Administration for Commercial Space Transportation Safety Research and Development for FY2025 to develop the system.

This section requires the Secretary of Transportation to brief the appropriate congressional committees by March 31 of each year on the processing of commercial space launch and reentry license applications under 51 U.S.C. 50905 (which generally requires the Secretary to issue or transfer a license within 180 days of accepting an application, or notify the applicant of pending issues by 120 days). The briefing must cover, for the prior calendar year, (1) the average number of days from application submission to final approval or denial; (2) the frequency and average duration of tolling on applications; (3) the number of applications exceeding statutory review timelines; (4) efforts to streamline processes under 50905(d); (5) a summary of data from the digital licensing system under 50905(e), including any other relevant information; and (6) an assessment of whether the review process promotes U.S. commercial space industry global competitiveness. The appropriate committees are the Senate Committees on Commerce, Science, and Transportation and Appropriations; and the House Committees on Science, Space, and Technology, Transportation and Infrastructure, and Appropriations.

This section directs the Secretary of Transportation to use direct hire authorities (i.e., noncompetitive hiring procedures as they existed prior to enactment) for positions in the Office of Commercial Space Transportation related to commercial space launch and reentry licensing and permitting. It further requires the Secretary to submit annual reports to the Senate Committee on Commerce, Science, and Transportation and the House Committee on Science, Space, and Technology on the use of such authorities within the Commercial Space Transportation Administration.

This section establishes within the Department of Transportation the Commercial Space Transportation Administration, headed by an Administrator who reports directly to the Secretary of Transportation. The Administrator exercises the Secretary's authorities with respect to commercial space launch and reentry activities under 51 U.S.C. chapter 509 (which regulates commercial space transportation, including licensing launches, reentries, and operations).

This section expresses the sense of Congress that flight safety analysis is critical to public safety for commercial space launches and reentries from Federal ranges (i.e., Department of Defense-owned sites such as Cape Canaveral and Vandenberg); that expertise exists within the Department of Defense, Department of Transportation, and National Aeronautics and Space Administration; and that greater interagency cooperation is needed due to the increasing pace of such activities. It further requires the Secretary of Transportation, in consultation with the Secretary of Defense and NASA Administrator, to submit a report to specified congressional committees within 180 days of enactment identifying executive branch roles, responsibilities, expertise, and knowledge related to flight safety analysis for space launch and reentry licensing. Finally, it authorizes the Secretary of Transportation, upon completion of the report, to enter into a memorandum of understanding with the Secretary of Defense and NASA Administrator allowing Federal range personnel to support such flight safety analysis.

This section streamlines licensing of private remote sensing space systems (i.e., commercial satellites collecting imagery and other data of Earth's surface). Specifically, it (1) excludes from remote sensing regulation instruments the Secretary determines in writing are used primarily for mission assurance or technical purposes (e.g., on-board self-monitoring for spacecraft health, flight reliability, navigation, or payload deployments); (2) requires the Secretary to assign a dedicated licensing officer for each application to facilitate the process, minimize license conditions, and expedite review to the extent authorized by law; and (3) directs the Secretary to enhance transparency (including specifying tiering determination bases), minimize review timelines, and annually reevaluate satellite tiering criteria with a goal of expeditiously recategorizing Tier 3 systems (i.e., higher-risk) to lower tiers without temporary conditions.

This section directs the Comptroller General of the United States to submit to the Senate Committee on Commerce, Science, and Transportation and the House Committee on Science, Space, and Technology, not later than one year after the date of enactment, a report on the Department of Commerce's policies, regulations, and practices with respect to the private remote sensing space industry (i.e., companies providing satellite-based Earth observation data licensed by NOAA). The report must include (1) an assessment of the extent to which such policies, regulations, and practices promote or inhibit a robust domestic private remote sensing industry, including any restrictions impeding innovative capabilities; and (2) recommendations for changes to promote U.S. industry leadership, including on determining whether costs of on-site ground station visits outweigh benefits and possible compliance alternatives; assessing what license application information constitutes a material fact and the justification for such treatment; incorporating industry feedback; and increasing transparency through wide dissemination of guidance, clear application instructions, and written precedents of Department actions.