Chamber of Commerce of Huntsville/Madison County, Alabama
Federal Budget Situation
U.S. Human Space Flight & Exploration Policy
A fiscal “sword of Damocles” hangs over our national defense. Defense budgets, already slashed by nearly one-half trillion dollars, face the prospect of another crippling cut of an additional $500 billion if Congress fails to develop an alternative to the sequestration budget scenario. The serious degradation to national security that sequestration will have on the DOD budget is well known by the administration and the Congress. A number of very serious alternatives are being considered including better use of information technology; reduction of contract services (e.g. Systems Engineering and Technical Assistance); deferral of some Military Construction; Base Realignment And Closure (BRAC) in 2013 and 2015; elimination of two forward-stationed Army heavy brigades; and consideration of maintaining a smaller nuclear force. The coming elections and a possible lame-duck session dealing with deferred decisions on sequestration, taxes, debt, and transportation, all contribute to another year of acrimonious indecision which is neither in the best interests of our Nation’s security nor Huntsville’s economic future.
We are grateful to the members of our Congressional Delegation for their leadership in the debate regarding our nation’s space policy. Global competition for preeminence in space is challenging the once-dominant U.S. position. With the recent retirement of the Space Shuttle, the U.S. no longer has the capability to transport its astronauts to and from orbit on its own transportation systems – placing our Nation in an unseemly position. The NASA Authorization Act of 2010 calls for the development of a Multi-Purpose Crew Vehicle and Space Launch System (SLS) by 2016 to explore beyond Low Earth Orbit, and to serve as a backup transportation system for the International Space Station (ISS). Over 1,900 local jobs are currently supporting the SLS and ISS. A smooth transition to the follow-on Space Launch System and recognition of MSFC’s National leadership role in space transportation systems development is critical to a healthy MSFC and surrounding Redstone community. Finally, it is important that MSFC’s Center Management and Operations activities are adequately funded from NASA’s Cross Agency Support budget line.
Community Impacts: While direct impacts on the Huntsville community are moderated by the diversity of our broad based capabilities, there are segments of our aerospace and defense industrial base that will see reductions. We anticipate some loss of jobs and growth opportunity as a direct result of the decisions made by the President and DOD particularly as it relates to Aviation Modernization and the drive to reduce reliance on contract services (SETA) while at the same time accepting cuts in governmentally resourced positions. Although the Huntsville community deplores the loss of a single job, the impacts of the Budget Control Act of 2011 on the non-sequestered 2013 Budget appear manageable. Based on the diversity of our community, and the recent completion of BRAC 2005 decisions, we find that Huntsville/Madison County and Redstone Arsenal are well positioned to become home to displaced organizations around our Armed Forces should a renewed round of BRAC be initiated.
• Support full funding for the Space Launch System ($2.64B) and Multi-Purpose Crew Vehicle ($1.4B) as defined in the 2010 Authorization Act. In doing so, ensure that Space Launch System funding is focused toward the development of the flight vehicle and not ground processing systems and facilities. Also, ensure that Multi-Purpose Crew Vehicle test flights are not financed with Space Launch System funds.
Sequestration, on the other hand, would have devastating implications. Alabama ranks fourth in the nation for defense spending at 8.6 percent of its GDP. About half, or $7 billion, of the state’s defense revenue went to contractors and defense personnel at Redstone Arsenal in Huntsville/Madison County. Huntsville/Madison County ranks 5th in the nation for communities who received the most defense money. Huntsville/Madison County Chamber of Commerce figures show Redstone Arsenal agencies, including NASA, and program offices currently employ more than 36,000 people who manage more than $100 billion in total pass through annual federal budgets. Sequestration would have a major effect on the Huntsville/Madison County community potentially creating an additional ten percent reduction in defense spending. The resultant loss in income directly tracks to reductions in tax revenues affecting schools, roads, public services, housing, etc. This is on top of the cost to our nation’s defense and aerospace programs, and the gutting of the infrastructure that supports these.
Requested Action: • The Chamber encourages the Congressional delegation to continue their efforts to take the necessary action to avoid a protracted Continuing Resolution situation, repeal sequestration, and insure a more equitable distribution of debt reduction among all federal programs without further cuts in the aerospace and defense industry beyond the Budget Control Act of 2011.
Requested Action:
• Ensure that the Space Launch System is capable of delivering at least 130 metric tons to Low Earth Orbit, is in service by no later than 2017, develops the core and upper stages in parallel, and is focused on enabling beyond Earth orbit applications as soon as possible. • Support the SLS advanced booster and advanced development efforts as a means of bringing more affordable solutions to NASA. • Support Marshall’s leadership role in the management of the Space Launch System and its National role in enabling future government and commercial space transportation systems. • Support core MSFC operations by fully funding NASA’s Cross Agency Support budget line item.
Small Satellite and Launch System Initiative During the last two years, Huntsville has gained recognition in the development and operation of very small satellites (less than 400 pounds). The U. S. Army Space and Missile Defense Command/ Army Forces Strategic Command (USASMDC/ARSTRAT, or SMDC) demonstrated that SMDC-ONE (a 9 pound nanosatellite) could provide effective military utility. NASA MSFC’s FASTSAT (a 400 pound microsatellite) proved to be a cost effective platform for six key DOD and NASA payloads, and validated the ability of a microsatellite to deploy a cubesat (nanosatellite). The key enabling technologies, systems engineering, and propulsion expertise required for the design, development, launch and operation of nanosatellites, microsatellites and small spacecraft constellations reside in Huntsville area industries, research universities and government agencies. As importantly, the Army, NASA MSFC, local government, industry and academia have established collaborative relationships that synergistically combine this expertise to develop small satellites. The ability to launch