MINUTES OF THE MEETING OF THE BOARD OF COUNTY COMMISSIONERS

BREVARD COUNTY, FLORIDA

 

 

August 9, 2007

 

 

The Board of County Commissioners of Brevard County, Florida, met in special/workshop session on August 9, 2007, at 1:30 p.m. in the Government Center Florida Room, Building C, 2725 Judge Fran Jamieson Way, Viera, Florida.  Present were:  Chairperson Jackie Colon, Commissioners Truman Scarborough, Chuck Nelson, Helen Voltz, and Mary Bolin, County Manager Peggy Busacca, and County Attorney Scott Knox. 

 

 

 

Bill Parsons, Center Director for John F. Kennedy Space Center (KSC), advised it has been a very busy five days; Saturday, August 4, 2007, at 5:26 a.m., the Phoenix Spacecraft launched from the Cape Canaveral Air Force Station headed to Mars and is doing great; yesterday was the Shuttle launch STS-118; and it was a beautiful launch, exactly on time, they are in orbit now, and things are going well.  He stated there are about fourteen Space Shuttle launches scheduled between now and 2010, the retirement of the Space Shuttle Program; the Endeavor and the other two orbiters will not need to have any major maintenance done on them between now and 2010; and all of the other missions will go to the International Space Station (ISS) to complete the Station by 2010, except for one, which is a Hubble Resurface Mission.  He noted the next three missions will take up international partner elements; the European Columbus Lab will go up next; after that, the Japanese Kibo Module, which is a laboratory, will go up on the Space Shuttle; and then the Canadian Dexter, which is a manipulating arm that can move things around in orbit outside of the ISS will go up.  He noted on September 30, 2010, the Space Shuttle Program will retire; they saved a little margin because flights do not always go off exactly when planned; the new focus will be on the Constellation Program; and the first human space flight of the Constellation Program is planned for the first quarter of 2015.  He stated between now and then, in April 2009, there will be a test launch of an Aries 1 vehicle; it will have some mockups on it but it will not be the full vehicle or manned; and another vehicle is being reserved so there may be another test in 2012.  He advised the organization would love to shorten the gap between the Shuttle retiring and the new vehicle but there is very little confidence that can happen with the current budget situations; there is a lot of construction and design already ongoing at KSC getting ready for the Constellation Program; it is modifying a launch control center firing room to get it ready for a launch of the first vehicle; it is designing a mobile launch platform; and in addition to that it is making some modifications of the Vehicle Assembly Building.  He noted the Board has probably heard a lot about Commercial Orbital Transportation Systems (COTS); NASA has funded two companies of about $250,000,000 each, SpaceX and Rocketplane Kistler; and those companies are looking to try to provide some cargo capability to the ISS.  He stated SpaceX had a couple of test launches out of Kwajalein Atoll in the Marshall Islands and they are moving along quite well; they have also reached an agreement with the 45^th Space Wing to take over Complex 40 to launch their Falcon Rocket; and KSC hopes SpaceX can meet all the parameters that are set out in front of them so they can do re-supply to the ISS.  He noted from the time the Shuttle retires until either COTS or the Constellation Program gets up and running, the U.S. has no capability to send cargo to the ISS other than buying space on the Russian Progress Vehicle, the Soyuz; it is believed the Europeans  and  maybe  even  the Japanese  will  soon  have a   re-supply  vehicle;  both are in

 

design right now; neither one of them have flown yet; but the organization looks forward to them having some cargo capability in the future.  Mr. Parsons advised KSC has about fifteen thousand people that work out there; there is going to be a gap from the time the ISS is complete and the Constellation Program is running; that gap is anywhere from three to five years; and it is looking closer to a five year gap right now.  He stated the President went in for a budget that went to Congress in ’07; Congress did not pass the budget so it went on a Continuing Resolution; what that means is that the organization stayed at the ’06 levels; and it sent a budget to Congress to get an increase for ’08, which Congress is currently looking at.  He noted if the President vetoes the increase, NASA’s budget would be held to the ‘06 levels not only in ‘07 but in ‘08 as well; it would lose another large amount of money; it would also stretch the gap between the end of the Shuttle and the Constellation Program out even further; and it does not know how the budget will work out but again it is something the organization is watching very closely.  He stated there will be fewer people involved in the Constellation Program than there were on the Shuttle Program because the vehicle will be more efficient and less labor intensive; there will need to be a transition from the kind of workforce that is there today to the workforce that will be needed for tomorrow; if the gap in between programs is too great, a lot of the workforce will go find jobs in other places; and the organization is working on tentative plans to hold on to the skilled workers until the end of the Shuttle Program and to the workforce that is required until the Constellation Program gets up and running.  He noted KSC is important to the area and the entire State of Florida; it has some great partnerships who are working hard for them; Steve Kohler of Space Florida, the EDC, and Lynda Weatherman work very hard for KSC; and it recently was able to work with the State and get $35 million to bring the Orion Project Production into the Operations and Checkout Facility.  He stated not only did that help with some jobs here, but it brought non-traditional work to KSC; it set a model of things that the organization can do; everybody came together and worked so hard to be able to do that; and it was extremely important.  He advised KSC continues to have expendable missions such as the Phoenix going to Mars; it still has science missions that will be flying out of Cape Canaveral Air Force Station and Vandenberg Air Force Base; there are fewer of those than there were in the past; and there is still a long ways to go before it can see exactly what the impact is going to look like on that.

 

Commissioner Scarborough expressed congratulations on a successful launch, with all of the Commissioners adding their agreement.  Mr. Parsons stated it was a very clean countdown; the weather cooperated the whole time; the crew was ready; and it was a beautiful launch.

 

Chairperson Colon stated it was very exciting; people come from all over the world; it is incredible the things Brevard County residents take for granted; and expressed her appreciation to Mr. Parsons and everyone at NASA for making it possible.  Mr. Parsons stated the workforce at KSC is just fantastic; they are dedicated and committed; they love the business and are very proud to be a part of it; and he is proud to be a part of it as well.  He stated the organization is in a somewhat constrained budget environment; but the NASA budget is growing a little bit so there is at least as much money in the future as it has had so far; he has a commitment from NASA Administrator Mike Griffin that he is looking at the entire Agency’s budget and he does not want one center to grow at the expense of another center; and what work can be moved from other areas will be to kind of keep the playing field level at all the centers.  He stated Mr. Griffin is looking for other things that might come to KSC, just like the Orion Project moving here for production; everyone needs to help him with that; and KSC, EDC, Space Florida, and the Board all need to keep an eye on that as well to make sure the right skills are here to take on that different non-traditional work that may come to KSC.

 

Mr. Parsons noted the workforce that is at KSC now needs to be categorized so the organization can understand exactly what it is that is there today, then project what the future workforce needs to look like; from there it will be able to see what will be required to move employees over into the new skills; and obviously some people will leave, but hopefully new people will come in with the skills that are required for the future.

 

Commissioner Voltz inquired if the people who are out there now are starting to leave for other jobs since the Space Shuttle Program is going away in 2010; with Mr. Parsons replying not so far; right now there is still a lot of work ahead and the folks are really dedicated to the Space Shuttle Program; it will be a little tougher at the end of 2008 or the beginning of 2009; but hopefully there will be incentives it can offer to keep the highly skilled workforce in place until the end.  He stated the partnerships the organization has will hopefully help to manage that; the transition from Apollo to the Shuttle was traumatic for this area but Brevard County is a lot more diverse than it was at that time; there is a lot more stuff going on and that will help the overall economy; and it will help a lot of the workforce find other things to do as well.

 

Commissioner Voltz requested he tell the workforce that the Board appreciates their dedication.  Mr. Parsons stated he will; the workforce is the best; and KSC is a special place.

 

Commissioner Scarborough stated Mr. Griffin is very aware; and he would like for Mr. Parsons to convey, on the part of the community the Board’s appreciation to him personally for his concern not just for a viable NASA but for the community.  Mr. Parsons stated Mr. Griffin is attached to human space flight; he is helping the vision to go back to the Moon and on to Mars; he really understands KSC’s role in all that; and he really appreciates what goes on here at KSC.

  

 

 

Ronald Magee, Assistant Director for Space Operations, and Glade Woods, Chairman for Partners for Stennis presented a PowerPoint presentation on the strategies used at SPC for growth and walked the Board through it by phone including key components of diversity of businesses and agencies, location of business core, mitigation of environmental issues, types of shared institutional services, partnership with State Agencies for outreach, partnership with agencies for job training, and higher education, training, and research.

 

Commissioner Scarborough stated Mr. Parsons recommended the Board listen to Stennis because Stennis is probably a more difficult location than Brevard; SPC’s successes indicate that things can be brought to a Center that are augmented; and some of the operational costs for KSC are carried by the Shuttle Program and as the Program diminishes, if NASA is to keep alive and viable at KSC, it is nice to bring other things in.  He stated KSC has done very well with marketing but one of the things it perhaps has not done is a complete analysis of what it has; it is spending a good deal of time determining what the job skills are and where it can transfer those skills; but the Center itself appears not to have been analyzed as an economic asset together with those resources to the fullest extent that Stennis has gone through that analysis.  He inquired who does that; and is that a joint effort between Stennis and its partners or did a university do an analysis.  Mr. Magee advised the Mississippi Development Authority has done some area economic development studies and targeted industries that would  be  successful;  Stennis  has  participated  in  those  and  narrowed  in  on  the  computer capabilities and remote testing industry; that is done from a marketing standpoint; and the marketing team looked at the capabilities here and said more of the same could flourish well there.  Mr. Magee advised part of what Stennis did early on was to identify where the excess capacity was; it knew that a certain amount of buildings were not going to be used anymore; in the case at KSC, maybe there will be some buildings that will not be used for a period of time that would be available to others to locate in; and that information may be something the Space Center can provide.  He noted what it does not want to do is turn KSC into something that does not look right or feel like high-tech; it does not want to diversify to the point where it gets diluted; it does not want to lose the technology edge that KSC has; and the marketing is going to be pushed in that direction and the economic development folks can do the marketing studies to do that. 

 

Mr. Woods advised one of the things that was done at Stennis, which was very helpful, was to put together an assessment of all of its assets such as buildings, calibration lab, computer labs, and all of the things that were important to Stennis Space Center as a whole; it was put together with a picture book and some text and it was called a capabilities document; and it was put together over a few years to not necessarily market Stennis so much but also it was something they had to take to Congress to show what fine assets Stennis had.  He advised KSC could take off on that and have some of its non-profit or non-government organizations go out and use some of that documentation, pictures, and so forth to form a marketing plan, a marketing strategy, and what particular components it wants to go for.  He stated there was a lot of technology at Stennis; there is probably more at KSC; and that spins off into instrumentation, sensors, cryogenics, or whatever may be there that they may want to find some partner during this period of time that it might diversify a little bit more with. 

 

Mr. Magee stated it cannot just market anybody; there are restrictions on who can be on a federal facility and so it is important; Stennis’ biggest success has been in attracting other government agencies; and there is no question that other government agencies can locate on a government facility but sometimes companies that one might think would be perfect for KSC may not be perfect if they have to have a lot of foreign nationals work for them or if they have customer traffic where they are constantly bringing in people from other countries.  He stated  those are difficult things in today’s world to accomplish on a federal facility; it takes a lot of pre-clearance and a lot of management of visitor control and it is not very attractive to companies that need that kind of traffic to be successful.  He stated in a NASA facility, he is not sure if they could even allow by law things that are incompatible with the Center’s technology or with Space related or aeronautical related activities; and requested everyone remember the premise that the Federal Government cannot be in competition with private industry.

 

 

* County Attorney Scott Knox’s absence and Assistant County Attorney Barbara Ammon’s presence was noted at this time.

 

Commissioner Voltz inquired what is the acreage on Stennis’ total complex; with Mr. Magee replying the facility itself is 13,800 acres and then it is surrounded by a 125,000-acre buffer zone; and the total is 138,800 acres. 

 

Commissioner Voltz inquired how long did it take Stennis to get to where it is today with all of the different agencies; with Mr. Magee replying from the time the Apollo Program went down in the early 70’s until today.  Mr. Woods stated late in 1968, the leaders and the Center Director started  moving  towards taking some actions to start that process; it has taken some time to get up to this speed and it is still a continuing process; but a big part of that was probably in the early 70’s and mid 70’s that a lot of the key elements came on like the Navy, the National Data Buoy Program, and the Environmental Protection Agency (EPA) Lab for the Gulf of Mexico; and the people from the NASA side as well as the other side will help to make that transition to bring those folks in and get them comfortable.  Mr. Woods stated the workforce at SPC did go down; there is no doubt about it; but there was an applied engineering group that helped stay very much involved in the process of transition.  Mr. Magee stated Stennis has lost agencies; there have been agencies come in, they are there for awhile and then they close the office and move to another location; there was a large ammunition plant located there for a period of time and that had to close, the Center lost about 2,000 employees, and that was huge; and so Stennis has gone through ups and downs but the diversity has helped to weather those better.  Mr. Woods advised it is very important to maintain a buffer zone and maintain the type of capabilities that come onto KSC that would be compatible with the Space Program because if it ever compromises, it will lose so much.  He stated he has seen many engine test labs go down in California where they had a buffer zone; development and commerce moved in to that area, people complained about the noise, the safety, or something like that and the labs would have to shut down; it is so key that the Center hold that space and make sure whatever it gets is going to be compatible with the future of the space exploration program.

 

Chairperson Colon expressed thanks to Mr. Magee and Mr. Woods on behalf of Brevard County; stated she hopes that Brevard County can call on them in the future; and everyone is so thankful to the Stennis Research Center for giving this insight.

 

 

 

Michael Marlaire, Director of Ames Research Center, advised the Board by telephone on growth strategies used at Ames Research Center.  Mr. Marlaire stated he has had a chance to get more information about Brevard County and after the cursory review he believes the County is a goldmine for new development; he understands the genesis of this was more on the potential for the loss of jobs; even Wikipedia says that a third of the Shuttle people may lose their jobs but it also predicts another third may retire; and he wants to touch on three things: the general outlook, a couple of short highlights of the NRP that he thinks are pertinent to Brevard, and some fundamental suggested steps and ideas he had since researching Brevard County. 

 

He stated Ames has approximately 1,800 acres of real estate with a major airfield in the heart of Silicon Valley and the 10 to 12 million people in the Bay area; location actually has its pluses and minuses; the leaders of Brevard County are concerned and have everybody involved in this; that is huge; and Ames did not have that advantage.  He noted Ames was a small fish in what was the most competitive high tech pond in the world; and Ames is also in a gigantic State that NASA does not dominate to the degree it does with KSC in Florida or how important Stennis is to Mississippi.  He stated he started this back in 1998 and today Ames has over 60 companies on site and 14 universities; Ames believed fundamentally by partnerships, research, and development it could enhance and facilitate its own productivity while doing the technology transfer that has always been required by NASA under the Space Act; and it is a win/win scenario.  He noted Ames does not engage in a partnership unless it really looks at a fundamental diagram for the overlap between the two entities; the real phenomenon of the Park today after eight years is the partners partnering with the other partners; Brevard has got the willingness to really have all the groups together with the right kind of expertise to proceed; and the   diversity  aspect  is  key  to  this.  He  stated  KSC  will  have  to  analyze  its  core  of  what  KSC wants  to  do  programmatically  to  assess  its  talent  and expertise, such as why does someone want to come partner with KSC; usually when NASA does an assessment of talent it is to make sure the people are in the right spots and the right jobs; NASA is not looking at the capabilities of everybody with an eye towards how could a partnership help that NASA person do a better job and how does that partner gain from the partnership with NASA; and once KSC can answer those questions it makes it very easy to translate with the EDC to figure out those kinds of matches.  Mr. Marlaire stated he was shocked to read that the Milken Institute rated Brevard County number one out of the two hundred largest metro areas for overall job growth in 2005; it expects a 200,000 to 300,000 increase in population by 2020; those are amazing statistics; and even Forbes said Brevard County had more engineers per capita than Silicon Valley has.  He stated when first talking to Commissioner Scarborough what initially jumped out at him was the assessment of the craftsman-like skill bases and also the technology expertise of the people who did the Shuttle tiles; he has not analyzed the workforce but he feels sure there are a lot of those folks who are very conducive to the evolution of solar panels and the installation of solar panels; and Florida Solar Energy Center is there operated by some partnership with a university. He noted the other thing that was an interesting data point was Brevard has two of its hospitals that are among the top five employers in the County; Ames has a number of partnerships with major healthcare systems; when one starts a partnership that has mutual benefits to each of the parties, those people bring other people in; and it is a dynamic that really goes to the fundamental of how to partner.  He stated Ames was a research and development center with a major airfield; being in the heart of Silicon Valley it was a no-brainer to get a lot of the IT partnerships going on; then, with the biotech many of the university partnerships that Ames has brought in more and more companies and Ames has spun off three or four nano-companies; and so Ames is actually doing all of the research and Development things that it has always.  He stated his first recommendation would be KSC needs to do an internal assessment and really look at the fundamentals of the talent that is at KSC; it is going to astound the economic development folks; the talent there is really going to set the stage for what Kennedy can achieve through partnerships with the premises they are building on Kennedy property; and then KSC should look at what areas does it have a little bit of talent that could match up better with some expansion for the types of things that are unique in that environment and will induce more people to come in to partnership with KSC.  He noted the second thing, and this is key, is that Ames early on brought in focus groups; he made a whole panel of all the economic development leaders in the San Francisco Bay area, segmented them out into the different types of industries, and had focus groups with them; they came up with reports and asked the industry leaders of Biotech, IT, and others, what would a research park do for them if one was to develop there; and once they got that data back they got an explosion of ideas from the private sector on what they could gain from the talent that had already been assessed and the economic development agreements in studies that had already been generated.  He stated KSC already has local, State and federal; and once there are groups like that working together with a common purpose one is way ahead of the game.  He noted Ames is not a competitor to the private sector for a number of different reasons; one is it is not a commercial development; two is Ames only brings in partners that really fit and it has sent more people away than the ones it has brought in; and finally, when those partners start partnering with each other they bring in more outsiders.  He advised the dynamics from a core relationship really grow quickly and no one can truly predict what transpires after that; KSC is already there; and the other thing KSC has is land.  He stated KSC could call a national developers conference and find out the big ones that have gotten very good at building on federal property, predominately through base closures around the country, to come in and do the infrastructure.  He noted there is a reason for that; the developers will do the assessment that KSC cannot afford and will look at what  is  in  it  for the company;  a national  developers conference can be done via postcard; he would be happy to help; and always recommended bringing in the university partners.  Mr. Marlaire stated Ames happens to have the most prestigious universities in California and all of them are on site; there are master degree programs and all of the classes can be taken on site; the true change of developing a newer economy really comes from graduate students getting out and starting companies; that is the history of Google, SGI, and a whole bunch of them in the Bay area; and KSC wants to attract that intellectual base.  He stated Commissioner Scarborough told him a little bit about some of the rules and regulations to launch and who controls the launch stuff and it sounded to him like it was more of a political issue; other States around the country are developing new spaceports, particularly that one in New Mexico; even the State of Wisconsin is considering building a spaceport; and there are about six other States that are doing this right now.  He inquired are those competitors of KSC and why are the companies not looking at the launch capability and the expertise at KSC for this.  He noted what this is going to evolve into is all the new commercial launches to develop the new commercial economy; when he looked at all the factors and tried to compare them he realized Brevard is ahead of the game because the people are willing to work together; Brevard just has to develop the match between the economic development expertise and KSC’s ability to partner based on its core; and then things are really going to take off.  He inquired what is the new source of attraction for a new type of industry around KSC.  He stated companies like the Florida Solar Energy Center are looking for cheaper places to build their panels with talent and there are not very many areas in the country to do that; and inquired if Kennedy Space Center has looked into what can be a partnership for the increased ability to use solar power for the Extraterrestrial Program.  He stated Ames has a lot of interest in the Extraterrestrial Program because first of all there are a lot of billionaires that have money and are starting new companies because they are all green-tech orientated and they see there is money in that; Ames has a number of fledgling companies right now that are talking to it; but Ames is deep in the negotiations for a major campus with Google; and Google continues to diversify, which gives Ames a huge advantage because Google is on the border next to Ames.  He noted people want to be there because they want the collaborations, they want to be a part of the intellectual stew, and they are willing to pay more to be there.

 

Chairperson Colon stated it is exciting to hear that the expertise is already in Brevard County; it is really reenergizing; it needs to continue to improve on what it has but all the players are here and the leadership of the community is tremendous; and she is really excited.

 

Commissioner Scarborough expressed appreciation to Mr. Marlaire; stated Mr. Marlaire put a lot of time into studying Brevard County; and inquired if Mr. Marlaire would stay on the line to hear Steve Kohler with Space Florida and Lynda Weatherman who is the President of Brevard’s Economic Development Commission.  Mr. Marlaire replied he would be happy to.

 

 

 

Mr. Lee Arnold advised he is with Congressman Tom Feeney’s Office; he handles the Space issues; he wants to congratulate the Board on focusing on this very important issue; and the office  is trying to make the President’s vision move forward, both in getting political support and the crucial funding that is needed.  He stated the vision has three parts, which are to return the Shuttle to flight, complete the International Space Station, and then create a new generation of human space flight vehicle;  there  has  been  substantial  progress since the Columbia accident, which really forced this country to focus on what it wanted its human space flight program to do; he is happy to work with everyone; and Congressman Feeney’s Office is very concerned about this issue.  He noted it is the Congressman’s constant drumbeat to focus NASA on handling the transition issue.

 

Chairperson Colon expressed appreciation to Mr. Arnold for attending; and requested he thank Congressman Feeney on behalf of the Board for everything he has done for Brevard County.

 

Barbara Arthur, representing Senator Bill Nelson’s Office, stated she is a native of Brevard County; Senator Nelson is very much interested in NASA and all that is going to happen with the gap after the Shuttle ceases to fly; everyone will have an opportunity next Thursday at 2:30 p.m. to discuss this issue and any other issues with the Senator when the Board meets with him; and if she may be of any assistance at any time the Board should not hesitate to call her. 

 

Gina Peak, with Senator Mel Martinez’s Office, stated she is his Legislative Assistant for space issues and NASA related issues in the Washington D.C. office; she saw her first launch yesterday; Senator Martinez’s top priorities within the Space Community and KSC are to continue to support the vision for the Space Shuttle and the new Constellation Program and with that the funding; and she has been working to make that funding happen from a Florida coalition perspective and generate support for the program.  She stated the Senator wants to help wherever he can with the transition with jobs and helping to identify and then support proposals to help with the transition and support the workforce in Brevard County; she is here to listen and learn; but if there is anything that she can help with, the Board should let her know. 

 

Chairperson Colon noted the Senator was in Brevard County recently.  Ms. Peak advised Senator Martinez was here in July; he came down to get a briefing from the KSC staff directors on the progress with the Shuttle and the Constellation Program and some of the other research projects; and he did that so that he could then turn around and give a speech the following week to the Space Transportation Association breakfast where he got to share his love for space and the Space Coast with a number of Washington staff and directors for various space programs and space transportation corporations.  She stated the Senator is very riled up and excited about what is going on at KSC; and he has a passion even more now than he had before for seeing the vision through for space and also to help with the community in transition time. 

 

Chairperson Colon noted it is very positive for the people in the community to see that Senator Martinez and Senator Nelson have been working very closely on this issue; she spoke with both of them personally and was told this is a priority to them; and the community truly appreciates that.

 

Commissioner Voltz inquired why is the House trying to add another $500 million into NASA’s budget when the President has said he will veto it.  Ms. Peak stated as she understands, there are a number of programs, not just space programs, in the CJS Bill that NASA falls under; Senators Martinez and Nelson would want to see that if a cut needed to be made to the CJS Bill that it not come from the Space Program because that already has received several cuts over the last year; Senator Martinez is going to be working to try and get an additional billion dollars added in the Senate version of the Bill; and that is already an Amendment that is being discussed behind the scenes to cover costs that were lost with the Shuttle accident, then the hurricane season, and now the extra costs associated with returning the Shuttle to flight.

 

Mr. Arnold advised if the President vetoes the Bill, NASA will not be back to square one; what will happen is if there is a veto of this particular Bill, and the veto sustained, then the administration and the congressional leaders will sit down and hopefully negotiate what the final appropriations are; what that number will be is still up in the air; and he thinks Mr. Parsons was referring more to a worst case scenario of what could occur in the end game.  He stated he thinks there is both in the House and the Senate side and also in a very Bipartisan manner support for the President’s request for human space flight; he is cautiously optimistic that at the end of the day NASA will get what it has requested this year; having said that, it is a messy process; and the focus for both Senators and both Congressmen is on the bottom line number and preserving it.

 

Chairperson Colon inquired if there are any kind of discussions happening to make sure that the other U.S. Congressmen in the State of Florida unite in this particular cause; noted there is force in numbers; and it is important to lobby to the rest of the Congressmen in the State of Florida to be able to be on board.  Mr. Arnold noted he agrees; he understands the value of United States Delegations; certain States such as Alabama and Texas, are very good at doing that; Florida is the fourth largest State, soon to be the third largest State, and it reminds him a lot of California in its diversity and size of the State, so it is important to have a united Delegation. He noted Congressman Feeney being former speaker of the Florida House, knows perfectly well the value of building support across the State Delegation; it also helps to have a Governor’s Office that is strongly engaged in this; Governors can be a uniting force for State interests and in selling those interests in Washington; and urged the Board to explain to the Governor’s Office that this is an important issue and it should be one of the issues that his office champions in Washington on behalf of the State.

 

Chairperson Colon noted Governor Crist is very supportive of what is going on in Brevard County; but it is very important to pass along the message, and it should start with the Congressmen.  Mr. Arnold noted he cannot impress upon the Board enough the need to emphasize that this is important and not just a regional issue during the discussions with the Governor; and it really is a Statewide issue.

 

 

 

Steve Kohler, President of Space Florida, stated congratulations to NASA and the entire NASA family on its successful launch; at the same time, Governor Crist announced the balance of the appointments to the Board of Space Florida making it fully accommodated from a Board’s perspective; and he is very happy for that.  He stated it has been interesting to hear from the last several presenters and their perspectives; he hopes to present to the Board a vision of the State’s position with respect to Space in general, with particular interest on the Center here and some of the things Space Florida is working on; and there are a lot of themes and discussion mentioned that he will touch on and answer any questions the Board may have. He introduced Dave Sadlowski, CEO of Space Florida; noted Mr. Sadlowski joined Space Florida several months ago; he was in Huntsville, Alabama working for the last five years; prior to that he was largely responsible for the building of the Kodiak Launch Complex for the Alaska Space Agency; and he has a perspective that is unique to add to the Space Florida staff.  He introduced Sonya Montgomery, VP of Communications; noted she has a considerable amount of Economic Development background with her prior experience with the EFI in Tallahassee; and Space Florida is starting to build its human capacity on the operational base to service the interests of Florida.  He  noted  Space Florida,  which   was  created  a  little  over  a year  ago by virtue of a Legislative Act and the board that was appointed by then Governor Bush and now reappointed by Governor Crist, has had several meetings and is moving forward; and one of the key issues that he will touch on is the development of and the statutorily required submission of the Company’s strategic business plan, which was done in March of 2007, and which highlights over 40 strategic objectives that are designed to accommodate the priority interests for the State of Florida with respect to space strategy and aerospace development.  Mr. Kohler stated from a vision standpoint, Space Florida wants to continue the focus and the effort to pursue and develop NASA agency-based space interests; these would be the vision for Space Exploration; but it also wants to be able to actively and aggressively pursue the emerging commercial space marketplace.  He noted the Company has taken considerable strides in that effort, as well as developing and continuing to promote the research and educational aspects of this area in order to get a balance, so that at the end of the day when one looks at the Cape and determines the level of activity, there should be a reasonable balance of strong agency and historical agency based space development, as well as a vital and vibrant commercial space industry and some additional emphasis on the defense department and security interests for more space activity in the area.  He stated the mission statement is driven around positioning the State of Florida and the Brevard County area to be not just a leader within the State but a leader among States; he believes that this State and this location is unique in the world; its brand is recognized globally and so the vision should be representative of global intent; and one of the most important features of the business plan is the fact that the Governor and the administration are solidly behind the effort and as such are signatory to the mission of the organization. 

 

Mr. Sadlowski advised Space Florida has license to operate the Mobile Access Structure at Space Launch Complex 46 at Cape Canaveral and it is in the process of dealing with some new customers currently that are looking at that very actively; there were only two flights that flew off Slip 46 and it needs to generate and get the Slip working again;  it also built and operates the Reusable Launch Vehicle (RLV) Hangar on KSC that currently is occupied by NASA, and is being used for storage, but the Company will be upgrading it to be able to carry a fueled aircraft; and there is a lot of prospect in that area coming up in the future.  He noted at Camp Blanding, which is in Northern Florida, there is a Solid Rocket Motor (SRM) Storage Facility; right now, the United Launch Alliance is leasing the facility to store the Solid Rocket Boosters or Atlas 5; Space Florida also co-manages the KSC Space Life Science Lab, which is a first class life sciences facility, and the organization is looking very strongly at partnering with other agencies and universities to utilize that at a full capacity.  He noted Kennedy Space Center really does essentially own a particular portion of the market for vertical launching; one of the things that has been an obstacle in recent times is that the process of developing the capacity as a commercial entity to fly from the range took quite a bit of time; and Space Florida is in the process of a customer service enhancement contract where it will develop the capability of taking the time it takes right now, which is roughly over two years to go through the process of getting the authorization to fly from the Space Coast, driving that number by 50%, which would obviously drive the cost down, therefore, encouraging commercial operators to come in.  He stated on the education side of the house, the Company has recently entered in with the ZERO G and also had the acknowledgement of Stephen Hawking to establish a Stephen Hawking Microgravity Research Center here; it wants to develop a Center that will be able to reach out to teachers and students throughout the State in experiencing the zero g experience; for future challenges, one of the first is the transition from the Shuttle fly out into the gap and then beyond that where that workforce is going to go; and there are several things on the table right now they are looking at to address this issue.  He noted the Company is also looking at the DOD and commercial activities and not just bringing in the launch activities but the manufacturing as well; in other words, it wants to drive into the supply chain to get more of that work  that  is  not  just what  is  here  now  but  going  back  into   more   manufacturing, Research, and development activity; another challenge Space Florida is looking at is the horizontal launch capability; and right now what is happening in the State is fundamentally vertically launched vehicles.  Mr. Sadlowski noted the other States like Oklahoma and New Mexico, are basically looking at horizontally launched vehicles and that is one area that had not in the past been looked at very strongly by Florida; but now there is a lot of activity in this area and Space Florida is helping with it; there is the Shuttle Landing Facility that has ideal location for horizontally launched vehicles; and Space Florida is working with the NASA family and the KSC family right now on the use of that facility.  He stated along with that core basis, the Company is also flowing out into capturing some more of the additional work that is coming with the vision for Space Exploration; it just did exercise some of that with the Operations and Checkout Facility at KSC; and it is now going to be doing some unprecedented processing of the Orion vehicle coming for final assembly.  He stated beyond that, the Company is working hand-in-hand with KSC to look at all the new programs that are coming down and they expect some new RFP’s coming out real soon in the future; beyond the manufacturing, the Company is also looking at the research and development side of it; there is considerable university capability not just in the area but throughout the State that Space Florida is talking to about partnering up; and the total vision is to look at launch infrastructure, pre-and post-launch manufacturing and support, payloads, satellites, technology development, research and development, and tourism.  He noted tourism is coming closer and closer to being a lead in the space business, which is very exciting because Brevard is already a location for tourism; and the bottom line is what Space Florida is focused on is to work locally, Statewide, nationally and globally to put Florida right where it needs to be as the international leader in space. 

 

Mr. Kohler advised the structure of Space Florida as a Special District with some enhanced capabilities is set up in such a way to enable the State of Florida to strategically link itself with other states as appropriate and necessary to further the interests of Florida and the Space Coast; one of the things that exists here thanks to NASA and a number of other organizations is there is approximately seven billion dollars worth of investment already in the ground; that is a value that the Company certainly wants to be able to amplify as it moves forward and that is only on the Space Coast; and it is a pretty compelling argument to start with.  He noted another point is academic achievement and the County’s ranking with respect to employment and the number of engineers per capita; everyone should be mindful of the competition off shore, particularly in China; they need to look at how to position the Space Coast and the State of Florida not only within the country but also globally; and this country has lost the greatest percentage of its commercial launch interests because they are all being conducted overseas.  He noted he has talked with the Congressional Delegation, both Senators and Congressmen, and the mindsets are the same, which is to organize as a community, focus the efforts in a way strategically to amplify the assets that exist here, and pursue those opportunities; another priority within Space Florida is to pursue aggressively an active research interest for this region; that needs to be done to position the region to be in a blended way covering all aspects of space and aerospace development; and there are a number of initiatives just in that realm alone that the Space Coast needs to pursue.  He advised he believes the mindset is right, the tactics that are put forth and the strategy by which it moves forward are the important pieces; the good news is everyone knows it is coming; everyone knows the window and the opportunity are there; and all that is needed is to get organized.  He expressed his appreciation to the Board for conducting the open forum; and noted it brings these issues out front and the leaders are able to help each other in terms of identifying a process for a go-forward strategy. 

 

Commissioner Voltz noted there had been discussion about the importance of the Florida Delegation  in Washington being  on the same page; Space  Florida is  a State Agency; inquired would it be Space Florida’s responsibility to bring all those legislators together to ensure everyone is on the same page; and has there been a study done on the importance of KSC to some of the other local communities from Miami to Tallahassee.  Commissioner Voltz noted a study would be very important to get everybody on the same page; and it should say what the economic impact is on each community if the Space Center goes away or if it is decreased by x amount of jobs.  Mr. Kohler replied no, a formal study from Space Florida to that effect has not been done but anecdotal information has been collected; he has personally met with the elected officials as well as the economic development interests from the other regions in the State to get their perspective and impressions on space within the State of Florida and how it could or may effect them; he wants to study and accurately understand the impact of this effort, not just the shuttle retirement but all of space, on the balance of the State because unless they are able to relate to the effect across the State, it mitigates the ability to pursue a concerted effort in Washington.  He stated there is some study work under way; the EDC is doing some value chain examination throughout the technology corridor, which is important; but in terms of a formal study his answer would be there is not one that it has done but it should.  He noted to get to Commissioner Voltz’ other point about is it the responsibility of the State to pursue, he feels that if it is not the State, then it is an obligation Space Florida has given its  structure to be able to advocate for the entire State; that is precisely what Space Florida is set up to do; and it is the Company’s intention to do so, and not only coordinate the interests and serve as a focal point for the State’s Congressional and Senatorial interests in a consistent manner on a space basis but also the capacity to be able to create strategic alliances with other States where the common goals can be met and can strengthen the capacity to engage opportunities, given seniority, positions, and leadership that exists in Congress.  He stated on August 22, 2007 Space Florida is going to be conducting a forum to get specific input from the stakeholders and some of the major corporations, not only here in Florida, but throughout the country with respect to the shuttle retirement issue as it affects the workforce. 

 

Commissioner Voltz inquired if Mr. Kohler is saying that Space Florida should be doing that; with Mr. Kohler replying absolutely.  Commissioner Voltz inquired if they were going to do it relatively quickly; with Mr. Kohler replying obviously it is a priority given the timing of the retirement; the Company’s goal is to move and conduct all of its affairs with a sense of urgency; and everyone is here in part for that purpose. 

 

Chairperson Colon noted in the beginning of the year the Board sent out a letter to all of the U.S. Congressmen in the State of Florida and shared the concerns of the County, so it has already started the ball rolling; and she will make sure to send Mr. Kohler a copy of the letter so he can see how crucial the Board feels this is.

 

Commissioner Bolin noted Mr. Kohler used the word aggressive and stated action needs to be immediate; she wants to reiterate to Mr. Kohler that this is a take-action community and it knows what it is up against; there is not a lot of time; and the Board is pushing very strong.  She stated Brevard County as a whole community is picking up the baton and running with it; it is taking charge of its own destiny here; and inquired if Mr. Kohler could give her any feedback at this time of where there might be some allies to help carry this baton throughout the rest of the State.  Mr. Kohler replied Space Florida from a Statewide perspective certainly is an ally; he has had discussions about the interests in other parts of the State such as Southern Florida, Palm Beach County, and Jacksonville; there is a lot of consistent interest; and there are unique attributes that exist only here.  He stated the geography here is what it is and that is why the Cape and Brevard County are in the position that they are; and the obligation that Space Florida has as a Statewide organization is to coalesce all of those interests into a focused effort that is comprehensive in the space industry.

 

Chairperson Colon advised the Board is very eager to know how it can partner with Space Florida; and it is a priority to the Board even in the midst of a very tight budget.

 

Commissioner Scarborough stated he heard it mentioned to go look at where everything is headed; modern society is in constant transition so one should not only look at what it has and how it can evolve fundamentally but also how to find the major shifts and with the major shifts what is happening; 90% of the engineers in the world will be in Asia in a decade or two; and if there is something that seems to be moving, it is the whole educational component.  He commented on Ames’ relationship with Google; noted NASA has a key role in communicating not just with KSC but by moving it through relationships like what Ames is doing with Google and others; he does not think this country is going to succeed without a NASA; and Stephen Hawking said man will not progress unless he progresses in Space.  He noted they all need to be advocates of that same philosophy; and creativity is key. 

 

Mr. Kohler stated Commissioner Scarborough is precisely right; Space Florida’s focus on the emerging commercial marketplace is significant; it expects some major movement in that direction in a very positive way for this region very soon; and it recognizes, as strong and as vital as the Agency has been, the need globally to recognize this change and pursue it.

 

 

The meeting recessed at 3:54 p.m. and reconvened at 4:05 p.m.

 

 

Chairperson Colon stated there is a lot of exciting information today; the Board feels good to be reinforced that it is on the right track; and the Board has heard the Federal and State perspective and now it will hear the County perspective.

 

  

 

Lynda Weatherman, President of the EDC, advised it is very interesting to hear all of this; she was very happy to hear what Mr. Marlaire from Ames Research Center had to say about Brevard County; she thinks of the EDC as on the front line of this endeavor to address the upcoming shifts in the workforce tied to KSC and then transition from the shuttle to the Constellation Program; and it is on the local level where economic development becomes part of a community’s identity and directly impacts its people.  She advised it takes on a personal dimension; it is not just jobs and investment but it is the history and the community; and it becomes profoundly personal because everybody in the room probably knows somebody that could be impacted.  She stated she will have each of the space advisors speak on a specific role and program that they are working on; the EDC’s space program is designed like its other programs; they are both tactical and strategic approaches; the tactical approaches are short-term strategies where fruition is seen in the next twelve to thirty-six months through immediate job creation and business development; and the strategic approaches are more long-term and focus on business climate, policy development, and monitoring business and financial changes in industry sectors that will benefit long term in the local community.  She noted the space advisors specific areas of discussion will include and emphasize both on a tactical and strategic level, range, range access, infrastructure, business development both NASA and non-NASA driven, opportunities that will be leveraged from past successes such as the Orion, and opportunities from new NASA endeavors and commercial space endeavors.  She noted she wants the Board to hear the diversification of the EDC’s approach; while it is attempting and has had success in mitigating job loss tied to the retirement of the shuttle, the vision goes beyond just capturing the work related to the Constellation Program; and in all of the EDC’s endeavors it wants to exploit and tie to opportunities in research, policy development, nontraditional launch and launch customers, commercial operators, and aerospace.  She noted a positive aggressive successful economic development program is one that exploits a dynamic shift occurring in industrial land use or economic sector in order to prepare for a change, whether that change is good or bad; on a personal note, the impending shift with the retirement of the Shuttle Program would terrify most economic developers but she is ready to take it on and excited about it; and she is excited about not just the opportunities that will be exploited but with the Board’s support the EDC has built a strong team, and obtained the talent and the necessary tools needed to get the job done.  She stated the economic development plans, programs, and strategies have simply got to work because everyone is in this together; together they will make it work by having a diligent, realistic plan to tell the world that this is truly the most cost effective hardworking site for development of current and future launch research and manufacturing opportunities; everyone knows what the stakes are in this endeavor but everyone is also invigorated by the opportunities; and as a community they are poised to meet the challenge by having a vision not one of vulnerability or to simply maintain the status quo in the space industry but to enhance, leverage, exploit, and fulfill these opportunities that are coming this way.  She advised the EDC will do so working with the County as it always has in a positive, passionate, and persistent manner. 

 

Marshall Heard, Space Consultant, advised he is a business development person in the aerospace industry and has been for close to 50 years; there are two things that matter in the world of business development; one is where is the money and the second is what are the requirements; and sometimes those converge, but not always.  He stated there are basically three opportunities; in this business the big money comes from the federal government; the NASA budget and the Air Force budget swamp everybody else’s budget so one would be foolish not to look for work that involves NASA or the Air Force; and the second is the commercial market.  He noted it is not as big but it has a lot of different characteristics; it is much more flexible; it is made up of people who make decisions quickly; and it is made up of people who are motivated by profit and expect to do things different than a highly structured bureaucratic company does.  He noted the third is education and research and development; those are the things that pay off in the long run that make the first two things possible; the EDC has had some success and that can be traced back to the Board because two years ago, the Board put up some seed money to go look at the space initiative in the EDC; and with that $200,000 or so that the Board gave the EDC, Lynda Weatherman bought the services of himself, Lee Solid, and Frank DiBello to tell her what the economy of Brevard would look like in the post-Shuttle environment.  He stated they did that and actually wrote a document; it is available if anyone would like to see it; what was immediately obvious was nobody was pursuing the Crew Exploration Vehicle (CEV); fortunately the charter that the Board gave Ms. Weatherman was broad enough that she was able to redirect the efforts to the CEV; and that turned into a great success story.  He stated the State granted the EDC’s request and appropriated $3 million so the Board’s $200,000 already was multiplied by a factor of 15; and there is now a $3 million budget and a charter to capture Constellation work.  He stated they then looked at what are the challenges involved in a crew exploration vehicle building program as seen by the companies; and then there was an inventory on all of the assets in the community to lower the risks to the company.  He noted a complete survey was done of all the facilities available at KSC plus a few that were not on the property and a survey of the workforce capability and labor rates; it was packaged together and brought to two competing teams; both of those people agreed they should do the final assembly and check out here; and so  it  was  an  enviable  win/win situation.  Mr. Heard stated it did not matter who won because the County was the winner; they put together an incentive package that had two components; one was $35 million that was appropriated by the Legislature; and there was another package that involved training, which brought the total offer up to approximately $50 million.  He stated Lockheed was the winner and has augmented that money with program money and some Lockheed money; there is now a contract to overhaul the ONC building that is worth more than $50 million; all of that work is being done in the County and all from the simple $200,000; there are now hundreds of jobs essentially in perpetuity plus the prospect for more; and that model of thinking in terms of customers’ requirements is one that ought to be endorsed for future projects.  He noted everything is not through with the CEV; the initial CEV work was for $4 billion; there is an option in the Contract that NASA can exercise that has another $4 billion worth of potential; and so in one program it will be $8 billion.  He advised within that same Contract the prime contractor is told that they must have so much business that is dedicated to small businesses of various classifications all the way from the small Disabled American Veteran business to minority owned; the Constellation Program intends to keep doing that on all contracts; the minimum small business set aside is 14% and the highest number is 22%; and it will add up to billions of dollars for small businesses.  He noted one of the things that the EDC is doing now is compiling a list of all the known manufacturers in the Florida high-tech charter sorted out by capability, goods, and services, and whether or not they are certified small businesses; August 23, 2007 is the Small Business Conference, the first of which is focused just on Brevard County; so in addition to going after the final assembly and checkout, the EDC has also penetrated the supply chain one layer down and found even more jobs through small businesses; and that is the model they should continue to pursue as other Constellation work unfolds.  He advised there are a number of facilities within the reservation at KSC that have to be modified for use by the CEV and the new CLV (Crew Launch Vehicle); those are hundreds of millions of dollars worth of contracts for construction in Brevard County; those contracts will start in the immediate future; and the first of those contracts is being sought right now and will play out over the next two to three years.  He noted it is also looking at what comes next in the Constellation program; a handful of opportunities have been identified at this point, most of which involve either system engineering and integration, which is a nontraditional task for Brevard County or they involve design and fabrication work; and KSC can now build a reputation for having the design and final assembly and checkout capability.  He advised the device that launches the second portion of the Exploration Program is called Aries 5; it is a very large rocket about the size of the Saturn; and there is a good chance that some of that design work can be brought to Brevard County.  He noted there is a device that allows the crew to go from the CEV to the surface of the moon and then come back, called the Lunar Surface Asset Module; it goes both ways, up and down; there is an opportunity to bring the design and fabrication of that vehicle to Brevard County; and all of this is coming because the Board put up $200,000 way back when.  He advised there is one last exciting opportunity; in 2005, when Congress authorized the money for NASA, it very quietly declared that the International Space Station (ISS) was now a National Laboratory; that is a very significant phrase; and there are only 21 National Laboratories in the United States.  He stated KSC is the gateway to the Space Station, which means it is now the gateway to the National Laboratory; so how the National Laboratory develops from a policy issue becomes extremely important to the people of Brevard County; at the very least KSC will be processing all of the equipment that goes to the laboratory; but it might be able to bring research and development contracts to the County that precede doing the experiment on the laboratory and this is a breakthrough, one that will see KSC regain its presence in life science.  He stated it will allow the area to go back into the life sciences laboratory and exploit the full potential of that facility; it will allow the companies that are local and in the life sciences business to have a resurrection;  and   how  that  plays  out  is  very  important   to  the  County’s  future.   He noted  the work the EDC has done and the work that Space Florida is doing today are complementary; both are trying very hard to make sure to not duplicate each others efforts; they are trying hard to carve out distinct things that each person will do; and they are working hard at the communication path between the entities.

 

Lee Solid, Space Consultant, noted the team was focusing on elements of the Constellation Program; this new initiative came along because NASA realized that service to the Space Station is certainly going to be hampered by the fact that the Shuttle stops and there is nothing in its place for a long period of time; initially the CEV was going to service the Station and it may still, but that leaves a gap; and NASA’s preferred approach to supporting the Space Station after the Shuttle is by commercial services.  He advised the idea is that the commercial community can take over access to low earth orbit; if indeed, that community is going to take over service to the Station, whatever it comes up with has got to be highly reliable and cost effective or NASA will use assets that exist today or develop new ones to go do that job; and so the folks that are pursuing that commercial world are doing so to prevent from having to go to foreign entities.  He noted there were something like 24 proposals and SpaceX and Rocketplane Kistler were selected; the Consultants will help the two companies set up their operations here because it only makes sense; the two contractors had already attempted to set up launch operations here and ran into difficulty in getting access to the federal range; and the consultants knew that if they did not deal with that, then it would not stand a chance of capturing the contractors.  He noted the goal would be to get them fully committed to launching from the Space Port, and not only that, but bring other parts of their operation here such as final assembly and check-out of their vehicles and any refurbishment they have to do to their vehicles; one of the contractors has a requirement to land because he has a fully reusable vehicle; and the consultants are working with them and with NASA to identify a landing zone that the contractor can use.  He advised in the process NASA has now signed Unfunded Space Act Agreements; the team of consultants is working with another five contractors to get them interested in launching from here; then there is the fact that NASA has to supply and resupply the Space Station so it may even go beyond what the COTS contractors can provide; and in fact he expects there to be an RFP that the big companies like Lockheed, Boeing, and the other large contractors might respond to on how to service the station.  He stated there is a good deal of opportunity there for this area, all of which can mean a significant number of jobs.

 

Chairperson Colon expressed her thanks for taking the initiative and making sure the Board was able to help out in that manner; noted the competition is incredible not just in the United States but all over the world; the safety factor and the protection of the community must never be compromised; but by the same token there is so much red tape.  She stated it is critical that they help the private sector with that, otherwise, those companies will never even consider KSC.

 

Mr. Solid stated the Air Force has been very cooperative and worked in reducing the processing time significantly; the two COTS contractors are the pathfinders for making this process work; there have been some rather significant gains into reducing the access time and getting others who have walked away from this range interested in returning here and looking at how they might reengage; and there is a Commander at the range who is very interested in getting that business back here.

 

Commissioner Scarborough stated what the team of consultants has accomplished is remarkable; it moved this area forward; and inquired if the Ariane in South America is a challenge as far as what the team is trying to accomplish. Mr. Solid inquired if Commissioner Scarborough was talking about the  APV  that  is  going  to go up on the Ariane.   Commissioner Scarborough replied yes, to service the International Space Station.  Commissioner Scarborough stated it is a new means to go up there and there has been a lot of money put into it.  Mr. Solid replied interesting enough, it is the European’s Space Craft Launch on the European’s vehicle.   Commissioner Scarborough inquired once someone creates the methodology to go up there and return, do they not basically have a leg up on somebody who is trying to start from scratch; with Mr. Solid responding yes, except it is interesting because each one of the entrepreneurials has a spacecraft.

 

Commissioner Scarborough inquired if Mr. Solid thought it was a major threat; with Mr. Solid responding it was in the plan all along; the Ariane and their business model is a threat to this area; and it has been and will be.  Frank DiBello stated generally he who controls the access or the transportation to a remote outpost and has control of the doors has a distinct advantage over everyone; that is one of the reasons why the U.S. is pushing and NASA has supported very aggressively these COTS developments; it adds to the area’s arsenal of transportation services the ability to get back and forth and to service and supply the Space Station; and the U.S. does not want to be in a position where only the Russians and Europeans can get there.  Mr. DiBello noted the Station is an International Station and so a portion of that clearly is going to be owned and operated by some of the international partners in this.

 

Chairperson Colon stated time is of the essence; and whatever is started now, the fruits of the labor will not be seen for three to five years from now.

 

Frank DiBello, Space Consultant, noted the most powerful economic development tool that this area has available is the workforce; the job at hand is to minimize the impact of the Shuttle retirement to the degree that it can and to capitalize on that resource; one of the other key elements of the success of the Space Station as a National Lab is going to be market users of the Space Station; and he will briefly cover related commercial space activities as well as some non-space industry targets.  He stated the strategic plan is a broad array of areas and the team is going to try and focus on commercial space and those market areas that will likely be able to use Brevard County’s principal asset, its workforce as KSC goes through transition; fortunately while the Board provides the leadership it has two divisions of front line troops; money is always spent on the division of troops to defend the borders when under attack; and this is a case where the two divisions have been out there working.  He noted in one case there are the workforce organizations, the Workforce Development Board, and like organizations that are focused on identifying areas of the workforce and putting in place a comprehensive range of services that can help them transition and train; and it is counseling, education, and training services that will be needed when the workforce is impacted near shuttle retirement so that it can transition to new job opportunities.  He stated the other division of troops is the economic development organization which is out there finding new opportunities so they can create a rich and robust work opportunity environment for that workforce so it has someplace to transition to; and the term robust opportunity environment is a key part of the EDC’s strategic plan.  He stated there are both strategic and tactical elements to it; one of the areas not yet talked about is applying space technology to new industrial applications, whether they be on the ground or in orbit; there is a broad array of those kinds of companies such as materials science companies, manufacturing process companies, and life sciences companies; and these are people who hope to learn something in space and then come back and apply it on the ground.  He noted the Director of Recruitment is in California this week trying to recruit new life science companies and taking advantage of other assets to this area; but the key asset is also the Brevard County workforce; the companies that are likely to want to place operations here to take advantage of the workforce or to engage in some kind of work on the Station are in two different communities;  and  one  community  is  supported  by  the  universities in the U.S. and generally is conducting research normally funded by other federal agencies.  Mr. DiBello stated there is an outreach program needed to find the companies that are working with those university researchers who will be willing to eventually use the Station and place operations here because this is close to the point of launch and close to where they want to do a lot of the analysis; the other group is the corporations that want to use some attribute of the Space Station or space to do work that can help them improve their processes here on the ground; and this program of outreach is not only a current program but it is a long range activity that the EDC will be involved in to identify users of the Space Station who will want to locate here.  He noted there is one of the international partners that is looking at the feasibility of placing an operations processing center for its payloads here because it expects many of the payloads will go back and forth to the Station from Canaveral; the company wants access to this area’s life sciences capabilities; and that is a specific target that is identified that will result in jobs here.  He advised there is a German-based materials research company that is looking at a subsidiary here specifically for the purpose of doing materials research in conjunction with universities that are also doing materials research here; even though they are German-based, this is the place they want to operate from; and there are a number of life sciences opportunities.  He stated a related opportunity has to do with helping companies prepare for even longer range utilization of space; and that has to do with the Lunar surface.  He advised there is a company the EDC is in contact with that is looking at the development of a lunar simulation and testing facility in Florida; eventually it will essentially be a facility under glass, complete with lunar, that could involve testing new construction methods, new habitat experience methods, power generation, and other things that could take advantage of the KSC’s strong expertise in the areas of ground support equipment and facilities; that is something KSC really has a strength in; and this group wants to take advantage of it.  He noted these are mentioned only to point out that there are ways of extending beyond the surface level of providing infrastructure for the Station and for getting back and forth; in some of the other non-space and commercial areas there is a group that has approached the EDC that is looking at a complete supply chain solution to the wind-power industry; the towers would be manufactured and assembled here; and this takes advantage of a market requirement because worldwide there is a shortage of people who can build those towers.  He stated the towers are not very complicated; all of the skills associated with the assembly of those towers or manufacturing those towers are now in the workforce here in Brevard; in addition to the towers there is the wind drive system and the gear box; and all of that production is something that could eventually be placed here.  He advised there is a third element to that, which is the turbine manufacturing to take the power and then feed it to the grid; the total number of jobs associated with an initiative like that could be somewhere between 1,200 and 1,500 jobs; and while many of the targets the EDC is looking at are anywhere from 20-50 to even 100 employees per company, there are some large targets out there as well.  He noted there is a manufacturing entity that is on the target list that is a DOD-related propulsion system and is looking to start a manufacturing facility in this area; there is another manufacturer of remotely piloted vehicles and while there may be a civil defense application, coastal monitoring application, and maybe even some DOD application for those vehicles, the production could be located here; all of the examples utilize Brevard’s richest asset, its human capital, and they are targets the EDC very much wants to go after.  He stated the strategic plan for the EDC has, on average, about 20 active targets and about four times that number of opportunities that are tracked and rise as a function of their urgency; all of those are opportunities that everyone should be excited about; while no one denies that the number of workers that are currently operating the shuttle will be fewer once the CEV and related space-flight operations start, those same skills that the workforce has are highly transferable to the kinds of newer operations the EDC is looking at;  and the workforce has a culture of safety, quality  assurance,  and  rigid  adherence  to discipline  and  documentation  that are required for human space flight.  Mr. DiBello noted major commercial companies spend large amounts of money trying to cultivate that culture in the workforce and Brevard has it in depth so that is very exciting; and even though there will be some impact as Brevard moves forward, the workforce should be considered not in terms of impact, but in terms of economic development opportunity.

 

Ms. Weatherman advised these are accomplished gentlemen in their fields; the EDC is very lucky to have them; and they are devoted to the County and to the mission of the EDC.

 

Commissioner Scarborough stated he does not think the Board could thank these consultants enough; but it genuinely appreciates all the efforts. 

 

Chairperson Colon expressed her appreciation to the gentlemen on behalf of the citizens; noted sometimes people get worried about what is in front of them but when one looks at the bigger picture, he or she will see there is going to be an even bigger blessing; the history of KSC shows how it overcame every single obstacle with things such as Challenger and Columbia; and it is great to hear the testimonials today and know that everything being done is exactly on track.  She stated she is not claiming everything is perfect; there is always room for learning; and that is what today is about.  She expressed her appreciation to everyone present; noted the issue is big; people’s futures are at stake; and she wants to be able to say to those people that the County is doing everything in its power to make sure this happens.

 

Commissioner Scarborough noted he has become tremendously interested in the non-lineal concepts because the non-lineal looks at patterns and then creates positive attractors; the concept is even though one does not know what is going to happen, one knows what will make good things happen; Brevard County’s positive attractors are at the table; and this is what is going to make it work because the EDC is able to look beyond the lineal progress.

 

Chairperson Colon advised it has a duty to continue that kind of level of education for the next generation to come; each one of the Commissioners believes that and it shows; this is going to be one of many workshops because the Board does not expect to solve all of the problems today; but it is a great start.

 

 

 

Dr. David Hosley advised he has a passion for aviation and space; time is urgent; competition is staring them in the face; and commented on the restrictions in launching from the eastern range.   

 

Chairperson Colon expressed her appreciation to Dr. Hosley for his comments; and offered her congratulations on his new appointment to the TiCo Airport Authority Board. 

 

 

 

Chester Straub, Executive Director of Technical Research and Development Authority, expressed his appreciation to the Board for inviting TRDA  to the  meeting;  noted  TRDA  is  not  an  aerospace  or  space  exploration-orientated organization but it is one that works in the development and deployment of technologies; and that relates directly to some of the issues that were discussed today such as building upon existing expertise, retention of existing workforce and personnel, and taking advantage of existing technologies and moving them into the commercial sector.  Mr. Straub advised there are three points he wants to emphasize; and those are the importance of entrepreneurship to economic development, the TRDA role in the support of innovation and entrepreneurs, and what TRDA has in the way of current and future activities and what are some of the things that TRDA and the County might do together to specifically build upon the need to support entrepreneur activity.  He stated a generally recognized view is that the region’s economic future is based on its ability to capture and retain the required technology, talent, and capital to develop innovative economy in industry sectors; Brevard County is facing some uncertainty in the future; but it is certainly in a good position to create opportunities for economic growth by continuing to provide a focal point to attract where appropriate, retain where necessary, and train across-the-board individuals necessary to support and nurture high growth activity, high growth entrepreneurs, and start-up business activity.  He noted entrepreneurs are those who lead typically smaller companies based on innovative technologies or processes; it could be a product-based or a service-based activity; the companies are designed for quick and rapid growth, typically somewhere in the 15-20% annual range; and small businesses and entrepreneurs are important principally because technology and innovation are portable.  He advised it can be used anywhere; entrepreneurs tend to cluster; and the idea is to take advantage of technologies coming from the aerospace industry and the growing biotech industry in the State but also from other parts of the Country and utilize the workforce and the expertise that already resides here to expand and diversify the local economy.  He stated the Small Business Administration has identified roughly 26 million firms across the country of various sizes; of that, 98% are firms that are below 20 people; and small businesses account for roughly 50% of the non-agricultural gross domestic product and anywhere from 60-80% of new job creation over the past decade.  He advised the numbers for entrepreneurial businesses are even more dramatic; from 1990-2001, the entrepreneurial firms have created employment at a growth rate of 125% higher than other small firms; they have had 50% higher wage growth and 109% higher productivity; while small businesses are still a major driver for economic activity in the Country, entrepreneurial activity is even more so; and anything the TRDA can do to nurture that type of activity is important.  He stated successful entrepreneurship is based upon three principal things; and it is something that has been identified in his own organization; but it is also something that has been promoted by groups like the Calfin Foundation, which is one of the leading think tanks and policy organizations in the area of entrepreneurship.  He stated for successful entrepreneurship three things are needed; people are needed; advisors for corporate entities are needed; and peer networks are needed so there is interaction between individuals, as well as access to quality personnel.  He stated traditional forms of capital are needed, as well as non-traditional sources; and access to basic infrastructures is needed to support activity.  He advised the TRDA has been working to support entrepreneurship across a variety of activities; but there are three he wants to emphasize.  He noted one is through education; the TRDA has been working aggressively to support teachers and exposing them to various technologies through summertime professional development programs that place teachers in technology-based businesses so they have a greater appreciation of what technology and innovation really are; and the goal is to have the teachers go back to the classroom and be able to encourage their students to move into those areas.  He advised the TRDA has also run educational workshops across the State that have brought technologies to the teachers that they can use in a classroom; the TRDA has been involved in 59 counties and administered State and federal money to run that program;  and it has had  over 4,000 teachers involved over the  last 10 years in  the  effort.   He  stated  the  other area is tech transfer; the TRDA has been very aggressive in bringing aerospace technologies to small and medium sized businesses through the Space Alliance Technology Outreach Program; the TRDA has administered that since its inception, utilizing NASA and other funds to support the program in the State, as well as nationally; and recently, the Program passed the half-billion threshold in new economic activities.  Mr. Straub stated the TRDA recently worked with the Florida Manufacturing Extension Program on an H-1-V workforce training program utilizing the fees from the visas to support domestic training to fill the gaps.  He stated business incubation, if done correctly and with a comprehensive approach, can provide a wide array of support, resources, and services that help companies go from concept to prototype to full-scale production.  He advised business incubation can provide strategic partners, networks and professionals, as well as access to capital sources that are necessary.  He commented on the historical success of business incubation on the local level, State level, and the national level through technical and financial programs; noted most recently, the TRDA created a Business Innovation Center; and the goal of the Center is to provide guidance, technical assistance, and consulting tailored to young entrepreneurial companies.  He noted the facility itself has been open for two months; it is 31,000 square feet of space with over 50 offices with typical offices and manufacturing space; and there have been many partners including the County, the City of Melbourne, NASA, the U.S. Department of Commerce, and the Melbourne Airport Authority.  He stated the Center is approaching the programs at a variety of levels; the organization will devote its personnel; and the TRDA has close to 90 years of experience within the principal personnel of the organization.  He advised the TRDA is looking to bring expertise from the community and from the nation to the program as well. He stated the TRDA is in the process of creating an emerging business network, which is comprised of business professionals from Brevard County and up and down the east coast of Florida.  He advised the TRDA will be finalizing and announcing the formation of a national advisory board comprised of half a dozen individuals who are investment bankers, venture capital specialists, technology developers, and others; and they are going to act as part of the network into the national financial realm.  He commented on impacts that have been recognized by the Program; stated the Center is at 68 percent occupancy; four principal companies are now occupying the space representing a diverse array of technologies; and one thing that is common is that they all have an innovative approach to a particular need or issue.  He commented on the different firms and what they offer; stated the companies have only been at the facility for approximately one month; two of them have begun to secure financing directly through the networking activities; and $2 million of equity investments have been raised in that short period of time allowing one of the companies to move to a full scale production and the other to advance its research and development.  He stated the TRDA has a series of workshops that will be running on a regular basis, which are intended to give companies an opportunity to do some self analysis to determine whether or not they have what is necessary to be a start-up entrepreneurial fast-growth company; and it is intended to help the TRDA to identify participants in the program; but it is also a tool for companies that are not necessarily looking for an incubation program.  He noted the TRDA is also going to be initiating a series of training seminars with the University of Central Florida to give businesses a greater opportunity of accessing small business innovation research grants; and those will be held a couple of times a year.  He stated the TRDA still needs to be effective at developing partnerships with the Municipal Economic Development Offices, the Florida High Tech Corridor, and the EDC in the Space Coast area.  He advised the TRDA will be initiating a defense showcase working with organizations in New York as well as Maryland; and the program will be designed to aid the Department of Defense in licensing its technologies and moving them from governmental use to civilian use.  He stated in the Fall, the TRDA will be initiating a program with Georgia Tech, which will be the NASA Alliance for Small Business Opportunity Program, aimed  at  providing  technical  assistance  as well  as  matching  grants to companies that have already accessed the Small Business Innovation Research Program.  Mr. Straub stated the EDC has done a good job promoting Brevard County as a home of innovation; and that is important to continue.  He stated in closing, the TRDA was started 20 years ago with the purpose of helping Brevard County expand and diversify its economy by transferring technologies from the Space Program into the private sector; and the TRDA continues to do that, but over time it has added a variety of additional tools. 

 

Chairperson Colon thanked Mr. Straub and encouraged him to attend and be part of the August 24, 2007 Workshop; and stated the Board wants to look at everything and not leave any stone unturned.  Mr. Straub stated the TRDA would be happy to be available whenever the Board feels it is necessary.

 

 

 

Chairperson Colon stated she would like to hear from Lisa Rice, although the Board will hear her in more detail at the August 24, 2007 Workshop.  Legislative Delegation Coordinator Leigh Holt advised the Board has an Agenda Item to change the date of the Workshop from August 24, 2007 to September 5, 2007. 

 

Lisa Rice, Workforce Development Board, stated the most interesting thing heard today at the Workshop is that every speaker spoke about workforce; and it is the greatest asset the County has.  She stated on September 5, 2007 the Board is going to see a weaving of all of this together; and it brings in the EDC’s efforts and things that have to happen along those lines.  She stated she is thankful the Board brought in some of the speakers on the phone because it triggered some ideas for her; and she thinks it will continue with the discussions the Board has been having.  She thanked the Board for its leadership.

 

 

Eddie Pauley stated he has heard a lot of great things today; and thanked the Board for bringing everybody together.  He stated one of the gentlemen mentioned a program that Brevard Community College is involved in that is a nationwide program that links colleges with the NASA Centers; and he was involved in that program when it started in 1993 or 1994.  He stated he noticed the apprehension the Board had in regards to the possible threat of a veto to the Commerce Justice Science Bill; and that is entirely a possibility; but there are a couple of avenues the Bill will probably take as opposed to coming back to Congress and being whittled down.  He noted one avenue would be that when the Bill comes back to Congress, they have the votes to override the veto, which is two-thirds majority or 233 votes.  He stated the second most likely scenario would be that there are three or four must-pass appropriation Bills; military quality of life, defense appropriations, and homeland security; and some of the Bills that will be vetoed will be tacked on those must-pass Bills. 

 

Chairperson Colon thanked Mr. Pauley. Mr. Pauley advised the Water Resources Development Act has passed; it has taken six years to get finished; and he would like to recognize Virginia Barker and Mike McGary from Natural Resources Management Office, as they are knowledgeable about the issues and are great to work with.

 

 

Chairperson Colon stated she would like to thank all the speakers for attending.  Commissioner Bolin stated she would like to thank Commissioner Scarborough.  Chairperson Colon stated she would also like to thank Leigh Holt.  Commissioner Nelson stated he had a reminder of how deeply the space community runs into the community two years ago; he had jury duty on a trial associated with the Space Program, between NASA and a contractor; and when Judge Moxley asked that anyone associated with NASA, or with a contractor, or who knew somebody who works with the other contractor to stand up, everybody stood up. 

 

Michael Marlaire stated he heard most of the discussion and thinks all the speakers were wonderful.  He advised as for the discussion of the ISS as National Lab, Ames is hosting on October 2 and 4, 2007 a Workshop; Ames has a large team with a lot of partnerships with the entrepreneurial space companies; and if the Board wants to send someone, he will send Commissioner Scarborough an invitation in the next couple of weeks.  Commissioner Scarborough stated representatives from Brevard County are already planning to attend; he has been to Ames; and it is a wonderful center. 

 

 

 

Commissioner Scarborough stated he has been advised that the greatest downside risk the Board has is approximately $50,000; and if the Board does not take action this afternoon, he has been advised the Board will lose the contract.

 

Motion by Commissioner Scarborough, seconded by Commissioner Voltz, to approve waiving the environmental issues (encumbrances) for the parcel to be acquired from Donald R. and Marjorie R. Feguer, needed for the Chain of Lakes Park Project in Titusville.  Motion carried; Chairperson Colon voted nay.

 

 

The Board reached consensus to approve a Workshop for 9:00 a.m. on Wednesday, September 5, 2007, with Brevard Community College Space TEC, Brevard Workforce Development Board, Florida Institute of Technology, and Economic Development Commission of Space Coast in the Florida Room. 

 

 

 

 

Upon motion and vote, the meeting was adjourned at 5:47 p.m.

 

 

                                                                                                                                               

                                                                                  JACKIE COLON, CHAIRPERSON

                                                                                  BOARD OF COUNTY COMMISSIONERS

ATTEST:                                                                   BREVARD COUNTY, FLORIDA

 

 

SCOTT ELLIS, CLERK                             

 

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