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Exploring the Unknown - NASA's History Office

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<strong>the</strong> payment of appropriate fees, for making possible <strong>the</strong> users’ sharing of system<br />

costs beyond <strong>the</strong> costs of reproduction, and for requiring consistent pricing and<br />

ensuring nondiscriminatory availability of standard data products.<br />

5. Market Expansion<br />

• What market expansion should be authorized for <strong>the</strong> Federal system manager?<br />

6. International Aspects<br />

• How to encourage <strong>the</strong> growth of worldwide markets for U.S.-produced equipment,<br />

services and land remote sensing satellite data and standard data products?<br />

Document II-33<br />

Document title: Ed Harper, <strong>Office</strong> of Management and Budget, Memorandum to Craig<br />

Fuller/Martin Anderson, “Resolution of Issues Related to Private Sector Transfer of Civil<br />

Land Observing Satellite Activities,” July 13, 1981.<br />

Source: NASA Historical Reference Collection, NASA <strong>History</strong> <strong>Office</strong>, NASA<br />

Headquarters, Washington, D.C.<br />

The new Reagan administration, eager to reduce <strong>the</strong> federal budget and to transfer as many government<br />

functions as possible to <strong>the</strong> private sector, quickly reversed <strong>the</strong> key elements of President Carter’s<br />

approach to creating an operational framework for remote sensing and sought to commercialize <strong>the</strong><br />

program as soon as possible. In response, Comsat proposed that <strong>the</strong> government transfer <strong>the</strong> operation<br />

of both wea<strong>the</strong>r satellites and remote-sensing satellites to <strong>the</strong> private sector, arguing that <strong>the</strong> profits from<br />

selling wea<strong>the</strong>r imagery back to <strong>the</strong> government could be used to finance <strong>the</strong> long-term commercial<br />

development of remote sensing. The White House formed a Cabinet Council working group to consider<br />

this proposition.<br />

MEMORANDUM TO: Craig Fuller/Martin Anderson<br />

FROM.: Ed Harper<br />

July 13, 1981<br />

SUBJECT: Resolution of Issues Related to Private Sector Transfer of Civil<br />

Land Observing Satellite Activities<br />

The purpose of this memo is to request that a working group within <strong>the</strong> Cabinet<br />

Council system be established to consider <strong>the</strong> following two issues related to private sector<br />

transfer of civil land observing satellite activities:<br />

– What is <strong>the</strong> best mechanism to implement <strong>the</strong> current policy of transfer of civil<br />

land remote sensing systems (LANDSAT) to <strong>the</strong> private sector as soon as possible?<br />

– Should <strong>the</strong> Administration consider simultaneously private sector transfer of both<br />

civil wea<strong>the</strong>r and land remote sensing systems?<br />

Background<br />

OBSERVING THE EARTH FROM SPACE<br />

With <strong>the</strong> revisions to <strong>the</strong> 1982 Budget <strong>the</strong> Administration explicitly stated its intention<br />

to hand-off operational responsibilities for land remote sensing to <strong>the</strong> private sector in <strong>the</strong><br />

mid-1980’s or sooner, if possible. This policy reflected <strong>the</strong> judgment that <strong>the</strong> Federal

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