In the United States, commercial launch, reentry, and the operation of commercial spaceports is regulated by the Federal Aviation Administration’s Office of Commercial Space Transportation, which is part of the U.S. Department of Transportation. “Commercial” in the United States can be defined as operations run by the private sector with vehicles they own.
Instead of certifying launch and reentry vehicles, the FAA licenses the launch operation and focuses on public safety. The FAA’s licensing regime sets performance-based requirements that give industry the flexibility to meet safety objectives without specifying how safety must be achieved.
This enables the industry to grow with less oversight and increases technology innovation. With more flexibility, commercial companies can be safe and meet customer requirements, including those for government-owned payloads, through a launch services contract.
http://www.faa.gov/about/office_org...opportunites_Nield_paper_IAA_SEC_Dec_2013.pdf