To establish an education satellite loan guarantee program to facilitate the development of an integrated, national and global telecommunications system dedicated to instruction and used solely for communications among Federal, State, and local instructional institutions and agencies and instructional resource providers.

Authorizes the Secretary of Commerce to guarantee any lender against loss of principal or interest on a loan which is to be used solely to acquire and operate a communications satellite system dedicated to transmitting instructional programming (educational satellite loan guarantee program). Restricts such a loan to a non-Federal, nonprofit, public corporation: (1) whose sole purpose is to acquire and operate such a system; (2) whose governing board includes members representing elementary and secondary education, vocational and technical education, community and State colleges, and universities; and (3) whose charter is designed for affiliation with State and local instructional institutions and agencies and other distance learning and instructional resource providers.

Requires such a corporation, before a loan is guaranteed, to have: (1) investigated all practical means to acquire a communications satellite system; (2) reported its findings to the Secretary; and (3) recommended the most cost-effective, high-quality communications satellite system for the purposes of this Act.

Limits the amount of guaranteed loans to acquire such a system and to operate and manage it for up to three years.

Requires the lender to agree to assign to the United States, upon payment of such loan guarantee, its rights and interests in such communications satellite system or communications satellite system services.

Authorizes appropriations.