SPA Update

UPDATE FROM SPACEPORT AMERICA (Zach De Gregorio, CFO) on 2020 Budget recently passed by the Legislature:

General Appropriation

Spaceport America received NO increase in General Appropriation for FY20. The Agency had requested a $700k increase. The General Appropriation will remain flat from FY19 at 985.4k. This is very problematic. The Agency will experience an increase in aerospace operations, but is only budgeted to stay the same size. Agency management is currently re-evaluating the financial plan for FY20.

Although there are many supporters of the Spaceport in Santa Fe, there are some people who do not believe Spaceport America is making progress and did not feel the Agency needed more money. The Agency’s request for an increase was de-prioritized for other financial needs in the budget bill.

The Agency also received $10M to construct a new hangar, under the contingency that the Agency signs a new major Aerospace tenant at Spaceport America. These funds expire at the end of FY20.

Capital Outlay

Spaceport America received $19M in Capital Outlay funds for FY20. These funds can only be used for construction and cannot be used for the Agency’s operating budget. The Agency had requested $61.5M for five construction projects to address the new infrastructure needs of a growing Spaceport. While the Capital Outlay bill falls short of the Agency request, it is still a substantial sum to complete one of the construction projects. The legislature did not specify which specific project to assign the funds to, and left that discretion to the Agency. Dan Hicks will be identifying the construction project for these funds in the next few months, construction to start July 1.

Spaceport America also received 100k in capital funds to perform environmental work and surveys. This is needed for the additional customers wanting to perform work in undeveloped parts of the campus.

NOTE from Anne Watkins: In addition, two other appropriations related to space development in the State:

---$150K to the Economic Development Department for space economic development, and

---$170K for the STEM Boomerang program.