Rocket racing tops list of news about the spaceport

New Mexico’s fledgling commercial space industry got a boost today when the Rocket Racing League finally announced, after two years of delays, an exhibition race schedule that includes a contest in Las Cruces.

The Las Cruces race will coincide with the 2008 X Prize Cup in October, but the date and exact location of the race haven’t been announced. The league made the announcement today along with announcements of two other exhibition races. One will be held Aug. 1 and 2 at EAA AirVenture in Oshkosh, Wis., the largest air show in the world, and the other will be held Nov. 8 and 9 at Aviation Nation, an air show that will be held at Nellis Air Force Base in Las Vegas, Nev.

“The first exhibition race of the Rocket Racer is an important milestone in the progression of the Rocket Racing League,” said Granger Whitelaw, the company’s chief executive officer. “We look forward to sharing the experience and thrill of rocket racing with the public.”

It is an important milestone, but one that was supposed to take place in October 2006 at the X Prize Cup. The company hasn’t been able to recruit teams as easily as it originally anticipated and has had funding delays. But the league broke ground on its first hangars at the Las Cruces airport in January – it plans to locate its headquarters near the airport – and is now setting up exhibition races. It appears things are finally getting off the ground.

The league plans races that pit up to 10 racers against each other on virtual, closed-circuit tracks in the sky. The racers can fly at up to 320 mph, and the league plans to eventually hold races at Spaceport America.

Other spaceport news

Which brings us to the upcoming April 22 spaceport tax vote in Sierra County. The state has already appropriated more than $100 million for the spaceport, and Doña Ana County has approved a tax increase that would provide $49 million, but only if another county also raises taxes.

That means the Sierra vote is critical for the project, which two studies have predicted could create thousands of new jobs and insert hundreds of millions of dollars of new money into the Las Cruces-area economy.

The Rocket Racing League’s announcement, made today, is one of several in recent days designed to fill the news with positive headlines in advance of next week’s vote in Sierra County. State officials did the same just before the Doña Ana County tax vote last year.

Here’s the other news:

• Last week, the state announced that the Spaceport Authority had voted to give Executive Director Steve Landeene the authority to sign a legally binding “development agreement” with planned anchor tenant Virgin Galactic. The agreement would commit the firm to a 20-year lease at the spaceport, but it is not a lease itself. The agreement does not include financial terms, which the state says will come at a later date.

UP Aerospace, the company that has twice launched rockets into space from a temporary facility at Spaceport America, announced with the Spaceport Authority a memorandum of understanding for a 10-year agreement to make the spaceport its home for launches. The agreement is not legally binding.

Microgravity Enterprises Inc. has entered into a memorandum of understanding to operate from Spaceport America. The company pays to fly ingredients into space for use in consumer products and also plans to do educational and pharmaceutical work. This is another non-legally binding agreement.

The problem with nonbinding memorandums

You might recall that, just before last year’s tax vote in Doña Ana County, Virgin Galactic signed a memorandum of understanding that wasn’t legally binding but included exact rates the state said would be included in an eventual lease with Virgin. The company pledged to sign a lease as soon as Doña Ana County voters approved the tax, which voters did in April 2007.

Virgin has still not signed a lease. Now it may sign what the state is calling a “precursor” to a lease – an agreement that commits it to a lease but not to any dollar amount. Last year’s agreement was called, at the time, an “immediate precursor” to a lease by the man who was, at the time, the spaceport authority director.

What happened to the rates Virgin and the state agreed to last year? If there’s nothing in the document the state wants Virgin to sign that would prevent the state from eventually offering it a 20-year lease for $1, the new “development agreement” isn’t much better than the nonbinding memorandum Virgin signed last year.

And these memorandums with other companies that have been announced in the last few days aren’t legally binding. So what is their value? We’ve already seen that the memorandum Virgin signed last year meant little. The most important fact in that memorandum was the statement that Virgin would pay $27.5 million over the course of the 20-year lease. That’s still not in any legally binding document, so it’s not set in stone.

That gives fuel to the arguments of those who say these memorandums are nothing more than publicity stunts to push Sierra County voters to approve the tax. Others will argue that they’re significant steps toward legally binding documents – and they may be – but I still haven’t received a good answer about why Virgin hasn’t signed the lease it said it would last year.

Two public forums on spaceport

Want to ask questions or learn more information about the spaceport? There are two forums on Tuesday that will provide people with the opportunity.

The first is at 1:15 p.m. It’s a presentation to the Hot Springs High School student body in the school’s gym, located at 1200 N. Pershing Street in T or C. The event is open to the press but not the public.

The second forum is at 6 p.m. at the same place and is open to the public. Both meetings will be attended by Will Whitehorn from Virgin Galactic, Lt. Gov. Diane Denish and Landeene. Land Commissioner Pat Lyons will also attend the 6 p.m. meeting.

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