21 st Century Model for Space Access Mark Bontrager Vice President, Spaceport Operations 10 December 2013

Overview Space Florida 101 Space Industry Snapshot Future of Space in Florida Spaceport Planning

STRUCTURE & ROLE: Public Corporation & Independent Special District A Spaceport Authority Launch Complexes Space Life Sciences Lab / Exploration Park Shuttle Landing Facility An Economic Development Agency Creative Funding Tools Conduit Lease Finance Authority

Total # Aerospace-Related Companies* 11,638 Total # of Aerospace Industry Employees* 132,140 Total Aerospace Industries Sales/Revenues* $17,722,439,967 * From: 2013 Economic Impact of Aerospace in Florida by FSU Center for Economic Forecasting and Analysis Economic Impact of Aerospace in Florida

Space / Aerospace Industry Trends Strategic Assets Depleted Years of War. Decade Forecast of Stressed Federal Budgets Continued Industry Consolidations Continued Aging of the workforce International Technology Leveling

The Space Industry is Transitioning! … … … Private Sector Role Increasing! Global Space Industry Revenues from Commercial Sources, far exceed Government! Even without Sequestration, Federal Budgets for Space will be severely constrained. The Long-Standing Policy of Commercial Reliance in Government … … will Increase!

What Does Commercial Industry Mean? Private Sector at Risk, with Investment and a Management Team / Plan to reach Market! Will Include both NewSpace and OldSpace Companies … … many New Entrants. Government … Increasingly a Secondary Market Commercial & Flexible Contracting Structures CPFF  Fixed Pricing/Fixed Schedule More Commercial Off-the-Shelf

$290 Billion Space Economy! *Data from The Space Report 2012 SPACE TRANSPORTATION SATELLITES GOVERNMENT OPERATIONS GROUND SUPPORT & ENABLING HARDWARE COMMERCIAL SPACE PRODUCTS & SERVICES $1.94 B $5.12 B $72.77 B $99.24 B $ B Facing Space Market Growth Areas

Vision 2020 : Strategy Overview

Transportation & Advanced Aerospace Platforms Satellite, Robotic Systems & Payloads Ground & Operations Support Systems Agriculture, Climate & Environmental Monitoring Civil Protection & Emergency Management ISS & Human Life Sciences Communications & Cyber-Security Adventure Tourism Clean & Alternative Energy Applications Advanced Materials & New Products DIVERSIFICATION IS FLORIDA’S SPACE FUTURE! “VISION” FOCUS … … 10 TARGET MARKET SECTORS:

FAA Licensed Spaceports in Florida

ORBITAL LAUNCH FORECAST BASELINE SCENARIO GROWTH SCENARIO The growth scenario represents an increase of 8 to 10 launches per year

Suborbital Reusable Vehicles (SRV) At least six Companies Developing Capabilities Vertical Launch, Vertical Landing – Blue Origin, Masten Space Systems, UP Aerospace… Horizontal Launch, Horizontal Landing – Virgin Galactic, XCOR Aerospace…

Notional Flight Profile

SRV Market Opportunities

SUBORBITAL Launch Forecast BASELINE Scenario GROWTH Scenario The growth scenario represents an increase from 10 to 40 launches per year.

The Opportunity Positioning Florida as the most attractive place for public and private investment

Statewide Spaceport System Plan Cape Canaveral Spaceport Master Plan Space Florida Board Approved May 2013 Space Florida Board Approved October 2013

Florida Investments in CCS Infrastructure

Space Florida System and Master Planning

Florida Spaceport System Plan Goals Create a stronger economy where Florida’s spaceports and aerospace businesses can thrive Guide public and private investment into emerging and growing aerospace enterprises and maximize the use of existing aerospace resources Enrich our quality of life while providing responsible environmental stewardship Advance a safer and secure spaceport transportation system for residents, businesses, and others

Statewide Spaceport System Vision

Cape Canaveral Spaceport Complex Master Plan Goals

Spaceport Master Plan Objectives/Goals Advance Commercial Heavy Lift Support Commercial Crew and Cargo Attract New Emerging Space Systems Expand Horizontal Launch and Landing Expand Statewide Space Capacity

FY14/15 ELIGIBLE PROJECTS

New Initiatives Horizontal Site Development Initiatives Shuttle Landing Facility (SLF) Cecil Spaceport... Others under consideration Florida Unmanned Systems Initiative Sites - statewide for UAS Operations New Commercial Site Initiative (Shiloh)

COMMERCIALIZE SHUTTLE LANDING FACILITY NASA’s formal decision June 2013 Multiple customers engaged for operations Assessing KSC Future Development Concept studies & designs for common infrastructure improvements, partnership & leverage opportunities Commercialization Roadmap Transfer Decision Agreement development Operations standup SLF improvements

FLORIDA’s Unmanned Aircraft System Initiative Aviation Management Florida’s UAS Team – Creating Opportunities Supporting the FAA ‘s safe, prudent integration of UAS technologies into National Air Space. State-wide capabilities includes ranges & air space, simulation & research centers, unique FAA approved next generation systems, university curriculums and industry partners. FAA UAS Test Site solicitation response submitted 6 May / Selection advertised for December 2013 / FAA Site verification visits / Formalizing agreements & procedures / Continuing operations opportunities UAS Industry Market Analysis GAO Report 15 Feb 2013 $89B Global Market $28.5B in Research 62% in US Research GUSC Indiantown Airport

Commercial Vertical Launch Initiative - Shiloh Targeting commercial launch market to complement the existing federal market & launch infrastructure Commercial launch operators addressing market demand for non- federal launch environment Effort aligned to FAA Office of Space Transportation (FAA-AST) Site Operators license process Shiloh Environmental Impact Statement (EIS) in work NASA concurred with FAA Office of Space Transportation as Lead Agency with NASA KSC as Cooperating Agency for Shiloh EIS

What’s The Future?

31 FLORIDA TEAM APPROACH Governor Rick Scott

Space Florida Contacts Jim Kuzma, Chief Operating Officer ext 243 Bernie McShea, VP Business Development ext. 254 Mark Bontrager, VP Spaceport Operations Ext. 235

Questions

Market Projections Source: Space Florida Report: Suborbital Reusable Vehicles: A 10-Year Forecast of Market Demand 530 Virgin Galactic Reservations July 2013

Space Florida shall develop a Spaceport Master Plan for the expansion and modernization of space transportation facilities within spaceport territories… the plan shall contain recommended projects to meet current and future commercial, national and state space transportation requirements… Space Florida shall submit the spaceport master plan to the Department of Transportation (F.S ) Cape Canaveral Spaceport Definition: The territory consisting of areas within the John F. Kennedy Space Center and the Cape Canaveral Air Force Station may be referred to as the “Cape Canaveral Spaceport.” (F.S ) “Spaceport Territory” defined in F.S

Own & lease real estate, and machinery & equipment Hold rights to intellectual property Issue revenue bonds, assessment bonds, and conduit or other debt instruments consistent with fulfilling mission Create and update a statewide Spaceport Master Plan Exercise most powers of local government within the designated Spaceport territory (per the Spaceport Master Plan) SPACE FLORIDA: Powers Under Florida Law

The Eastern Range is over 15 million square miles. Historically, the Range can reconfigure from one launch vehicle to another in less than 48 hours.

COMMERCIALIZING ORBITER PROCESSING FACILITY 3 (C3PF) - PHASE I COMPLETED

Space Launch Complex 46 Orion Abort Test Booster Launch Support Infrastructure Refurbishment of Gantry Moveable Platform Compressed Air System Refurbishment Upgrade Electrical System Communications System Modernization FireEx System Replacement Area 57 Refurbishment

Payload Integration and Encapsulation Facility at Launch Complex 40

COMMERCIAL CREW AND CARGO C3PF – PHASE 2