article: SECTION 1. SHORT TITLE. This Act may be cited as the ``Launch Services Corporation Act of 1994''. SEC. 2. DEFINITIONS. For purposes of this Act-- (1) the term ``Corporation'' means the Launch Services Corporation created under section 4 of this Act; and (2) the terms ``launch'', ``launch property'', ``launch services'', ``launch site'', and ``launch vehicle'' have the meaning given such terms under section 4 of the Commercial Space Launch Act (49 U.S.C. App. 2603), except that the provisions of this Act shall not apply to activities relating to suborbital trajectories. SEC. 3. FEDERAL RESPONSIBILITIES. (a) President.--The President shall-- (1) coordinate the activities of Federal agencies with space launch responsibilities, so as to ensure that there is full and effective compliance at all times with this Act; (2) ensure that timely treaties, trade agreements, and other appropriate arrangements are made, and appropriate regulations are issued, to enable foreign customers to obtain launch services from the Corporation and to otherwise participate in the launch services system established pursuant to this Act; and (3) after consultation with appropriate Federal agencies, issue a statement of the technical requirements of the Federal Government for the system referred to in paragraph (2). (b) Research and Development.--The National Aeronautics and Space Administration and the Department of Defense shall cooperate with the Corporation on research and development related to the purposes of the Corporation. (c) Federal Agencies in General.--The Federal Government shall-- (1) procure, to the maximum extent feasible, needed launch services from the Corporation; (2) pay fair market value for services provided to the Federal Government by the Corporation; (3) extend to the Corporation first priority for access to launch property and launch sites in a mutually agreeable manner; (4) furnish range safety for launches from Government-owned facilities; and (5) to the extent feasible, furnish other services to the Corporation as may be required in connection with the establishment and operation of the Corporation. SEC. 4. LAUNCH SERVICES CORPORATION. (a) Creation.--There is authorized to be created a Launch Services Corporation, a for-profit corporation which shall not be an agency or establishment of the United States Government and which shall be incorporated under the laws of a State of the United States. (b) Purposes.--(1) The purposes of the Corporation shall be-- (A) to broaden and speed the economic use of space; (B) to enhance the economic competitiveness of the United States launch services industry and all industrial, commercial, and financial businesses related thereto; (C) to enhance national security; (D) to serve the launch needs of-- (i) the Federal Government; (ii) private sector customers in the United States; and (iii) appropriate foreign customers; and (E) to remain a viable and competitive corporation. (2) It shall not be a purpose of the Corporation to construct launch vehicles. (c) Process of Organization.--The President shall, as expeditiously as possible, appoint incorporators, by and with the advice and consent of the Senate, who shall serve as the initial board of directors of the Corporation until the first annual meeting of stockholders or until their successors are elected and appointed under subsection (d) and qualified. Such incorporators shall arrange for an initial stock offering and shall take whatever other actions are necessary to establish the Corporation, including the filing of articles of incorporation, subject to the approval of the President. (d) Directors and Officers.-- (1) Directors.--The Corporation shall have a board of directors consisting of 15 individuals who are citizens of the United States, of whom one shall be elected annually by the board to serve as chairman. Three members of the board shall be appointed by the President, by and with the advice and consent of the Senate, for terms of three years or until their successors have been appointed and qualified, except that one of the members first appointed under this sentence shall be appointed to a term of one year, and one of such members shall be appointed to a term of two years. Any member appointed to fill a vacancy shall be appointed only for the unexpired term of the director being replaced. The remaining 12 members of the board shall be elected annually by the stockholders. (2) Officers.--The Corporation shall have such officers as may be named and appointed by the board, at rates of compensation fixed by the board, and serving at the pleasure of the board. No individual other than a citizen of the United States may be an officer of the Corporation. No officer of the Corporation shall receive any salary from any source other than the Corporation while employed by the Corporation. (e) Financing.-- (1) Stock.--The Corporation may issue and have outstanding, in such amounts as it shall determine, shares of capital stock, without par value, which shall carry voting rights and be eligible for dividends. The stock shall be sold in a manner to encourage the widest distribution to the public. No company, including any company controlling, controlled by, or under common control with such company, may hold more than 15 percent of the capital stock of the Corporation. (2) Additional instruments.--The Corporation may issue, in addition to the stock authorized by paragraph (1), nonvoting securities, bonds, debentures, and other certificates of indebtedness. (f) Powers.--In order to achieve its purposes, the Corporation may-- (1) plan, initiate, own, manage, and operate itself, or in conjunction with other business entities, a commercial launch services system; (2) furnish, for hire, launch services to public and private entities of the United States and, except as otherwise prohibited by law, to foreign customers; (3) own and operate launch property, launch sites, and one or more types of launch vehicle, provide or contract for range safety operations at those launch sites, and provide or contract for any other such services as may be required to carry out its purposes; and (4) conduct appropriate research and development. (g) Recoupment.--Not later than 180 days after the date of enactment of this Act, the President shall establish procedures for the repayment by the Corporation to the Federal Government of an amount equal to the amount of Federal funding that has been provided to the Corporation. SEC. 5. FOREIGN BUSINESS NEGOTIATIONS. Whenever the Corporation shall enter into business negotiations with respect to launch property, operations, or services authorized by this Act with any international or foreign entity, it shall notify the Department of State of the negotiations, and the Department of State shall advise the Corporation of relevant foreign policy considerations. Throughout such negotiations the Corporation shall keep the Department of State informed with respect to such considerations. The Corporation may request the Department of State to assist in the negotiations, and that Department shall render such assistance as may be appropriate. SEC. 6. REPORTS TO THE CONGRESS. (a) President's Report.--The President shall transmit to the Congress in January of each year a report which shall include a comprehensive description of the activities and accomplishments of the Federal Government and the Corporation during the preceding calendar year under this Act, together with an evaluation of such activities and accomplishments in terms of the purposes of the Corporation and any recommendations for additional legislative or other action which the President may consider necessary for such purposes. (b) Corporation's Report.--The Corporation shall transmit to the President and Congress, annually and at such other times as it considers appropriate, a comprehensive and detailed report of its operations, activities, and accomplishments under this Act. SEC. 7. SUNSET. No Federal funding shall be provided to the Corporation after December 31, 2000, except as payment for services provided to the Federal Government by the Corporation.
summary: Launch Services Corporation Act of 1994 - Authorizes the creation of a non-Federal, for profit Launch Services Corporation to provide space launch services to the Federal Government and other domestic and foreign customers. Ends Federal funding (except for payment of services) for the Corporation after the year 2000.