A federal bill allowing spaceports to use tax-exempt bonds for infrastructure projects has been signed into law, creating a new financing tool for the commercial space industry.
The Secure U.S. Leadership in Space Act, introduced by Florida Sen. Ashley Moody in May, amends the federal tax code to give spaceports the same access to private activity bonds already available to airports, seaports, and other transportation hubs.
The change enables public and private entities to issue bonds for spaceport facilities with tax-exempt interest, reducing borrowing costs and potentially attracting more private investment to support launch sites, control centers, manufacturing facilities, and related infrastructure.
“In this modern-day space race, it is imperative that the U.S. remain ahead of the People’s Republic of China, and this law is a critical step to ensure our space program has the resources and support it needs,” Sen. Moody said. “I’ve seen firsthand how public and private entities are coming together on Florida’s Space Coast to make bold advances in innovation. We know the formula that works, and this law supercharges it.”
Florida officials and industry representatives have long advocated for spaceports to be treated on par with other modes of transportation in federal financing policy. Rob Long, president and CEO of Space Florida, said the law provides a clearer path for investment and development.
This is a long-overdue policy change that will bring more private capital investment into the development of space infrastructure, reduce costs and accelerate the growth of a more competitive, resilient, and innovative aerospace economy,” he said.
The law broadly defines eligible spaceport facilities, including launch and reentry sites as well as manufacturing, logistics, and control operations. It also supports public-private partnerships, a structure increasingly used in commercial space operations.
Moody’s legislation was co-sponsored by Sen. Ben Ray Luján of New Mexico and builds on previous versions introduced by Florida lawmakers including Sen. Marco Rubio and Rep. Neal Dunn. It passed with bipartisan support in both chambers of Congress.