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Spaceport America says customers are growing despite Virgin Galactic pause; seeks support for capital and operating needs

Science, Technology & Telecommunications · September 22, 2025

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Summary

Spaceport America reported new tenants, about $39 million in capital projects underway, and a budget now nearer $12 million with 65% customer funding; officials warned recognition of revenue can lag audit cycles and asked for continued state backing as Virgin Galactic updates its fleet.

Spaceport America representatives told the Science, Technology & Telecommunications Committee that the facility is attracting new aerospace tenants, advancing capital improvements and preparing for a potential resurgence in suborbital tourism once Virgin Galactic resumes flights with next‑generation vehicles.

Mr. McLaughlin, speaking for Spaceport America, said Virgin Galactic has flown from New Mexico 10 times (including seven commercial flights), paused operations while developing a Delta‑class spaceship and expects to return to testing and flights in 2026–2027. He projected that, when operations resume, Virgin Galactic could reach a flight cadence that would bring substantial visitor and lodging activity to southern New Mexico.

The spaceport reported roughly $39,000,000 in committed capital projects — runway and utility fixes, new roads, the Stark Building and GTS roof replacement — and outlined FY26 operating needs in the $12,000,000–$14,000,000 range. Mr. McLaughlin said about 65% of operating costs are covered by customers and noted the spaceport holds a fund balance to manage timing mismatches when customers pay but revenue recognition follows audit cycles.

New or returning customers include Sirius Technologies (vertical hover/translate reusable rocket testing), LEAP Space (suborbital payload cadence), UP Aerospace and advanced‑air‑mobility and high‑altitude platform system users. The spaceport said it is pursuing an environmental impact statement that would cover orbital reentry licensing and is discussing potential DOD and Space Force test uses.

Committee members asked about hypersonics testing, advanced‑air‑mobility demonstrations and inland orbital launch readiness. Spaceport staff said inland orbital launch remains technically and logistically challenging — requiring improved vehicle reliability, expanded hazard corridors, fuel and commodities logistics (for example, pipeline/rail for methalox), and additional site‑ready utilities — but they are planning site improvements and environmental reviews to prepare for future opportunities.

Mr. McLaughlin warned that negative public statements about the spaceport damage recruitment and commercial negotiations and asked for continued political support to realize regional economic benefits from the growing commercial space economy.