FAA: Human Space Flight Requirements for Crew and Space Flight Participants
“The FAA has established requirements for human space flight of crew and space flight participants as required by the Commercial Space Launch Amendments Act of 2004. The information collected is used by the FAA, a licensee or permittee, a space flight participant, or a crew member. The FAA uses the information related to public safety to ensure that a launch or reentry operation involving a human on board a vehicle will meet the risk criteria and requirements with regard to ensuring public safety.”
The FAA should mind their own business once the craft leaves the atmosphere. Atmospheric flight and reentry are fair game, but the last thing needed is regulations that will only increase costs. The market for this application itself is dependent on the survivability of participants, that alone is a satisfactory control at this time.