First, it was Kay Bailey Hutchison (no "n" in Hutchison). Second, the bill can be found
here, on THOMAS. Although the text of the bill isn't up yet, the introducing language is up. It's bill S. 3068, if anyone cares.
Third, this is not a good idea. If there was ever a time to grow our spaceflight industry it's now, at the inflection point. Saying that it will lose us space is just silly: who do they think we will contract with after Soyuz? Arianne? This is exactly how you
win space, by spurring private sector investment in space transportation for its own purposes. Rocketry is mature enough for the start-ups, so get NASA to do things others cannot: major spaceflight research. Look at what Bigelow is doing with inflatable modules and is planning on doing going forward. If we can get such major tech in the hands of industry and provide a guaranteed market, I think we're well on our way to owning spaceflight.