FY13 Legislative Action - Commercial Space Launch Cooperation (CSLC)

1. FY13 Legislative Action - Commercial Space Launch Cooperation (CSLC) May 2013

2. Why DoD Proposed CSLC • Situation on DoD Space Launch Ranges • Range transformation and associated efficiencies drive downsizing of ranges to minimum essential DoD asset base • Increasing demands to sustain a deteriorating infrastructure with decreasing budgets means retaining excess capacity is not an option • Non-DoD range support services available to commercial and state launch entities are limited • Growing commercial presence and needs (e.g., SpaceX at Cape Canaveral and Vandenberg) highlighted limitations in previous law • Limitations of Law and Space Policy • Law and policies clear on use of excess capacity and direct cost charging for usage but ambiguous on commercial contributions • Title 10 is silent on this topic, even though DoD owns primary U.S. ranges • Bottom Line: DoD infrastructure is currently sized for DoD needs, limiting commercial users to billing for direct costs and access to excess capacity, with no DoD legal authority for non-federal contribution

3. What CSLC Can Provide • Potential Benefits of CSLC • Clarify intent/ability of US Law to implement National Space Policy • Enable lower range costs, increases range capacity, and expands use of national resources to enhance commercial Space and national security • Expand Title 10 to enable beneficial DoD-industry partnerships via commercial contribution and resource sharing • Potential Benefits for commercial Space industry • Increase access to, and right sizes, DoD launch and range infrastructure • Reduce costs via shared services and facilities (avoids duplication) • Enable “smart business” contributions to launch/range infrastructure • Potential Benefits for DoD • Enable fair sharing of costs for infrastructure, ops, and maintenance • Increase opportunities for efficiencies that benefit customers and DoD • DoD retains assets & configuration control for future use of capabilities

4. Status • FY13 NDAA added authority to accept non-federal contributions in support of DoD space transportation infrastructure • Contributions may include funds, services, equipment and requests for range support and services in DoD contractual requirements • Language requires congressional appropriation • Authorities under this provision currently reside at SECDEF level • Air Force is working implementation plan with OSD

5. Summary • Conflicts existed in law and National Space Policy that precluded commercial contributions to launch/range infrastructure • Narrow focus on “excess capacity” and “direct costs” overshadowed provisions for commercial contributions and cost sharing • Title 10 is silent on topic although DoD owns/operates primary ranges • Legislation added Section 2276, Commercial Space Launch Cooperation, to Title 10 to foster commercial contribution/cost sharing • Synchronizes Title 10 with National Space Policy • Enables partnerships to expand launch/test opportunities, make launch and tests more affordable, and maximize infrastructure improvements • Recognizes that commercial contributions can benefit national space launch and test range infrastructure