L.A. Times Report Gives California's Commercial Space Efforts

WSpaceport@aol.com
Tue, 14 Oct 1997 14:51:18 -0400

<paraindent><param>left</param>Somehow WSpaceport@aol.com began writing
to us. He's a very well-spoken apologist for the NASA Cassini launch. I
think this is an important thread, for those who are interested.

Ellen Thomas

</paraindent>

On October 12, 1997, WSpaceport@aol.com wrote prop1@prop1.org:

Background Note: WhiIe offline and on the road last week on business
with

Celestis, Inc., this gem of an article came out in the L.A. Times.

I've posted it -- in hopes you'll be motivated to take action on it --
since

the author takes a wide swipe with a broad brush at everything we (NSS,
SFF,

CSDC, International Coorperation in Space, etc.) all stand for in
developing

commercial space launch capabilities.

Essentially what happened was this: Former congresswoman Andrea
Seastrand,

executive director for the California Space & Technology Alliance --
and

other key commercial space players in and around the Vandenberg area --

hosted Jonathan Weber, editor of the "Cutting Edge" column of the Los
Angeles

Times' Business section. The all-day event also included viewing the
most

recent, on-time launch of the Delta II - IRIDIUM communications
satellite

system.

After reading his ensuing article (in fact, the first couple of
sentences),

you'll be asking yourself the same question: Was Mr. Weber reporting on
the

same planet?

In A Nutshell: Vandenberg rolled out the Red Carpet for Mr. Weber -- and
he

took a dump on it.

Those of you receiving this posting (either openly or via BCC) can submit
a

rebuttal to Mr. Weber at: <<jonathon.weber@latimes.com> Feel free to
re-post

far and wide.

Please CC: me any correspondence you send him (for future "Inside NSS"
and/or

"SpaceFront" article).

Regards,

Jim Spellman - NSS/Western Spaceport Chapter (Region 1 Chapter
Organizer)

President - California Space Development Council

***********************************************************************

Monday, October 6, 1997 Technology Special (L.A. Times Business
Section)

Page D1 - Right Column

"INNOVATION"

Launch Industry In California: 'All Systems Maybe'

VANDENBERG AIR FORCE BASE -- Scattered almost invisibly across 98,000
acres

of central coast scrubland, the gawky metal towers, massive cement
platforms

and other accouterments of the rocket-launching operations at this vast

military outpost represent the military-industrial complex at its
finest.

Thousands of engineers and technicians, working mostly for the Air Force
and

for Boeing and Lockheed Martin, put together the delicate mixture of

electronics, sheet metal and explosive rocket fuel that makes it possible
to

lift nuclear warheads -- or communications satellites -- into the sky.

There is billions of dollars' worth of infrastructure: eight launch
sites,

for starters, and rocket assembly buildings and railroad tracks and a
radar

tracking system that can see much of the Eastern Pacific.

So the question I kept asking myself as I toured the base recently was:
Is

this any place for entrepreneurship?

The question is important, because the state of California is renewing
its

efforts to encourage the development of a commercial space industry on
the

central coast, partly in response to competition from other states and
other

countries. It's an effort that seems like a good idea in theory, but
carries

lots of risks in practice.

The theory sounds right because a new generation of commercial satellites
is

creating enormous demand for satellite-launching capabilities.

An international consortium, led by Motorola, is building a
66-satellite

system called Iridium to provide wireless phone service anywhere on the

planet. (Five of the satellites were launched by a Boeing Delta rocket
here

late last month). About half a dozen groups, including one backed by

Microsoft chairman Bill Gates and cellular telephone mogul Craig McCaw,
have

plans for massive satellite "constellations" for phone and data
services.

Because Vandenberg sits at a bend in the coastline, a rocket fired south
from

the base flies over nothing but water until it reaches Antarctica --
making

it a very good spot for putting satellites into a polar orbit required
by

most of the new communications systems.

There is, however, a lot of competition for satellite launches of all
kinds.

Arianespace, a European consortium, is the world leader, and Russia
and

China -- building on their military missile capabilities -- are major

players. Domestically, there's Cape Canaveral in Florida, and Kodiak
Island

in Alaska and even sites in Virginia and New Mexico that hope to get in
on

the action. Boeing is modifying an oil-drilling platform to serve as a

mobile, sea-based launch platform based in Long Beach.

California officials, and especially local politicians in Santa Barbara
and

San Luis Obispo counties, are eager to assure that Vandenberg gets its
share.

They want to support development of cheaper launch vehicles and
facilities,

and help jump-start futuristic projects such as those aimed at space
tourism.

To this end, a nonprofit group called the Western Commercial Space Center
was

formed in 1992 and designated as the California Spaceport Authority by
the

state Department of Trade and Commerce. The aim was to support
commercial

space initiatives at Vandenberg, and provide a vehicle by which the
state

might match Air Force and NASA space commercialization grants.

The group and its for-profit affiliate negotiated a lease on a

multibillion-dollar Vandenberg launch complex that was built for the
space

shuttle but never used -- the post-Challenger revamp of the shuttle
program

cut out Vandenberg, dealing a huge blow to the local economy -- and
began

developing a private satellite preparation and launch facility.

But a despute broke out over whether WCSC was unfairly favoring its
affiliate

in the competition for state and federal grants. Another nonprofit
entity,

the California Space Technology Alliance, emerged on the scene.
Legislation

passed last month in Sacramento was supposed to clarify the situation,
but

instead produced an illogical compromise: CSTA has authority over
something

called the California Space Flight Competitive Grant Program, and WCSC
is

given authority over the Highway to Space Competitive Grant Program.
The

descriptions of the two programs' objectives are identical.

Fortunately, there isn't much money involved at the moment. Each group
will

get $200,000 for operating expenses and $500,000 to disburse as grant
funds

-- and the final decision on who gets that money will actually be made by
the

Trade and Commerce agency.

Now, consider all this in the context of an industry that by its very
nature

is dominated by big business and the military. The newest launch pad
at

Vandenberg, built by Lockheed Martin for the Air Force, cost a cool
$240

million. The commercial launches at the base don't contribute a penny to
the

enormous overhead costs: Under federal rules, they have to pay only
the

"direct costs" imposed on the launch site operators -- the Air Force
and

NASA.

While private ventures -- with help from government grants --- have
carved

out a role in the business of preparing satellites for launch and
developing

small launch vehicles, it's not clear that a commercially funded launch
site

that really paid its own way would be viable. The shuttle site project
has

financial backing from ITT -- in addition to the grants that helped get
it

going -- but work is stalled for the moment as the company awaits firm
launch

commitments.

The communications companies, the Air Force and NASA all support
commercial

initiatives that might reduce launch costs and expand capacity.
Taxpayers

would benefit if military payloads and scientific missions could be
lofted

more cheaply. But there is a clear danger of government-backed
commercial

space initiatives descending into boondoggles that benefit a few

well-connected companies.

The final irony, of course, is that the big defense contractors that
dominate

the commercial space arena are just as happy to work with their
erstwhile

enemies -- the Russins and the Ukrainians and the Chinese -- as they are
to

supporting a strong industry in California.

There's no doubt that Vandenberg, as well as Edwards Air Force Base and a
few

other facilities, is an important asset, and that the space business

represents a big opportunity for California. But Andrea Seastrand, the

former congresswoman who heads the California Space Technology Alliance,
and

other commercial space advocates have their work cut out for them in

demonstrating that locally based public-private partnerships are
effective

vehicles for promoting this most unusual industry.

-- Jonathon Weber (jonathon.weber@latimes.com) is editor of The
Cutting

Edge

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