Proposed Legislation: Space Investment Zones

Features: Current EventsCritical Path Innovation: Law effecting space travel, Space LegislationPeople: Bill Nelson

Bill Nelson, a US Senator from Florida has proposed the creation of 5 'space capital' investment zones within the United States. This proposal is outlined in an amendment to the 1986 Internal Revenue code titled 'Commercial Space Jobs and Investment Act 2010'.

The bill would set aside 5 locations, to be determined by the Commerce Secretary, which would provide investment monies and a 20% tax break for qualified 'commercial space entities'. The areas to be designated must have 'high unemployment and economic dislocation in the public space sector' and 'well developed human and capital infrastructure and the capacity to effectively use Federal tax incentives to promote progress in commercial space capability, including crew and cargo transportation systems, research and technology development and other potential activities in low-Earth orbit.'. There are a few other sections of the Bill that dictate the potential locations for the economic zones.

Time for a little prognostication! Since the bill doesn't explicitly lay out any zones, I get to guess. Most of the news stories cite The Kennedy Space Center as a given. I'll go ahead and believe them, especially since the Senator is from Florida. That leaves four. I'll say that two others are areas hit by the end of the space shuttle program: Houston, TX and Huntsville, AL. That leaves two. I'd wager that Lockheed and Boeing get in on this tax break action - so I'll say Southern California and the Seattle area are the last two. There may be a trade-off between southern California and the Colorado Springs area, but California will probably win the battle for Federal schwag.


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