NEW MEXICO SPACEPORT AUTHORITY COMPLETES REFUNDING OF BONDS TO SAVE TAXPAYER FUNDS

The New Mexico Spaceport Authority has completed the refunding of construction bonds in an effort to save $8.2 million in taxpayer funding for the development of Spaceport America. The high-interest bonds have been refinanced at a reduced annual interest rate of less than 0.8 percent and the savings are intended to directly serve taxpayers in surrounding counties. The refunding effort has been conducted to restore local support of the Spaceport after previous management utilized excess revenue from local taxes to bolster its operating budget. Controversy ensued in response to the misallocation as approval of local taxes to repay the construction bonds were supposed to be pledged toward local education efforts.

Spaceport America has been designed to serve commercial space travel and required $220 million of public funding to complete the construction of the facility. Virgin Galactic, a Spaceport America tenant, intends to provide suborbital flights for passengers beginning in 2022. The facility has also become home to UP Aerospace, SpinLaunch, and HAPSMobile/AeroVironment. Spaceport America is the world’s first purpose-built commercial spaceport and offers 6,000 square miles of restricted airspace to support rocket activity and a 12,000 foot by 200-foot runway.