Leading Democrats on the House Science, Space and Technology Committee are raising concerns regarding the cuts to a lesser-known but rapidly growing space office within NOAA, part of the recent layoffs at the agency.
NOAA’s Office of Space Commerce is responsible for managing commercial and military satellite traffic in space to prevent collisions, as well as the licensing and regulation of commercial satellite systems. The office has recently garnered attention in Washington as a vital government entity for commercial space companies.
The already small team lost eight personnel during the first round of layoffs in late February, which accounts for about 30% of its workforce, according to multiple sources. Although three leadership staff members were reinstated afterward, lawmakers remain concerned about the potential ramifications.
Members of Congress are urging for the immediate reinstatement of all employees dismissed from the office. Earlier this month, those who were terminated were placed on administrative leave after their dismissals were challenged by a federal court ruling.
In a letter to Commerce Secretary Howard Lutnick, which was obtained by CBS News, lawmakers, including the committee’s ranking member Zoe Lofgren from California, expressed that the firings might jeopardize the office’s public safety initiatives and threaten U.S. leadership in space.
They also raised concerns about a potential conflict of interest due to Trump adviser and DOGE leader Elon Musk‘s involvement with SpaceX.
“If OSC is severely impacted, the damage to America’s economy, national security, and public safety will affect everyone negatively — except possibly SpaceX, which could absorb the fallout more easily than other companies in the commercial space sector,” the letter states in part.
“As the largest and most profitable commercial satellite operator, SpaceX has already attained a size and scale that far exceeds its competitors, allowing the company to handle market disruptions and uncertainties with significantly less difficulty than its lesser-established rivals,” it adds.
In addition to Lofgren, the letter has been signed by Democratic House members Valerie Foushee from North Carolina, the ranking member of the Subcommittee on Space and Aeronautics, and Emilia Sykes from Ohio, the ranking member of the Subcommittee on Investigations & Oversight.
Former NOAA officials also contend that the significant cuts to the office seem to contradict policy objectives established during the initial Trump administration aimed at managing the burgeoning commercial and civil space traffic.
Admiral Timothy Gallaudet, who served as acting administrator of NOAA during Trump’s first term, described the cuts as “self-defeating,” emphasizing that the office was created to support the expanding commercial space sector. Gallaudet is now a consultant for space companies.
“One of our overarching goals was to bolster these evolving tech industries, among them space, and we saw growth,” Gallaudet told CBS News. “If that office loses staff, the time needed to process licenses for new companies will increase.”
Project 2025, the Heritage Foundation’s conservative policy framework, even called on Republicans to “elevate” the Office of Space Commerce, asserting that it “should serve as the mechanism for a new Administration to establish a comprehensive and cohesive whole-of-government commercial space policy that solidifies U.S. leadership in one of the most vital future industries.”
One of the employees still on leave, Cole Donovan, worked as an international affairs specialist within the Office of Space Commerce. His responsibilities involved navigating regulations and coordinating between private space firms in the U.S. and the European Union.
“For my division specifically, we no longer have an expert on EU law and regulations,” he mentioned. “We had been assisting U.S. companies in navigating that process.”
Committee Democrats inquired with Secretary Lutnick whether an impact assessment on the U.S. space industry was conducted prior to the layoffs. They also sought to know if there were any communications between SpaceX representatives and officials from the Department of Commerce, NOAA, or the Office of Space Commerce.
The lawmakers also requested clarification on whether the Office of Space Commerce would be required to allow DOGE access to proprietary information from SpaceX’s competitors that could potentially be disclosed to Musk and SpaceX.
“These unprecedented conflicts of interest pose a threat to destabilize the entire U.S. commercial space sector if not addressed immediately,” they expressed in the letter.
CBS News has reached out to the Department of Commerce, DOGE, and NOAA for comments, as well as SpaceX.
Read the complete letter below:
