“Big Isle Spaceport on Pad,” screamed the headline across the top of Page One of The Honolulu Advertiser of May 27, 1993. The article below carried news of the announcement, made by the governor’s office of what Governor John Waihe’e described as a “breakthrough” in the state’s enduring efforts to get private industry interested in developing a launch facility in Ka’u.
The state had exchanged letters of agreement with Lockheed Missiles & Space Co., Inc., with each party committing “to cooperate on the development of the commercial spaceport project proposed for the Big Island,” according to a news release from the governor’s executive chambers.
On the Big Island, the announcement was greeted somewhat more skeptically. “Spaceport breakthrough or PR?” was the headline over the article in the Hilo Hawaii Tribune-Herald on May 28.
Environment Hawai’i has obtained copies of the letters of agreement. The first one was from Albert E. Smith, vice president of advanced government and commercial systems, of Lockheed Missiles & Space Co. His letter, to Mufi Hannemann, is dated April 23, 1993. The corresponding letter to Smith from Hannemann bears the date of May 18, 1993. Both letters follow:
From Lockheed
“I wish to thank Admiral Hayward and the Office of Space Industry Staff for meeting with us on 27 March 1993, to discuss our mutual interests in the Hawai’i Space Port (HSP) Project. As we discussed, Lockheed Missiles & Space Company Inc. (LMSC) is considering the development and operation of a commercial spaceport, and the HSP project is a leading candidate. In order to proceed in establishing the feasibility of this project, it would be desirable for LMSC and the State of Hawai’i to cooperate in the performance of various technical, financial, regulatory and land use studies and analyses. We would therefore appreciate you advising us of your willingness to support LMSC in the following cooperative activities:
“(1) Cooperate in the performance of the necessary land use, technical, financial and environmental studies. It is envisioned that this cooperation will consist in the free and open exchange of pertinent technical and financial information and periodic meetings.
“(2) LMSC intends to (I) perform technical and financial trade studies and analyses and provide launch vehicle and other technical data to the State of Hawai’i; (II) to the extent feasible, cooperate in appropriate on-site EIS mitigation activities; (III) prepare HSP implementation strategies plans and schedules; (IV) support the preparation of a HSP Business Financing Plan, including the possible establishment of a domestic/international consortium; and (V) investigate and pursue the acquisition of Federal finding, including but not limited to, Defense Conversion grants, as appropriate.
“(3) The State of Hawai’i support is requested in (I) developing a programmatic environmental impact statement (EIS) satisfying both State and Federal Government requirements; (II) to the extent feasible, supporting mitigation of EIS issues that relate to off-site infrastructure; (III) providing off-site infrastructure support to the HSP; (IV) assistance in possible land acquisition and land use permits so as to minimize land use cost and issues; (V) consideration of various means of finding infrastructure improvements including the use of general revenue bonding and/or tax relief incentives; (VI) consideration of establishing a foreign trade zone designation; (VII) supporting LMSC in its efforts for the development of a HSP Business/Financing plan, including the possible establishment of a domestic/international consortium; and (VIII) providing cooperation and support to LMSC in seeking appropriate Federal finding including, but not limited to, Defense Conversion grants.
“LMSC also requests that the State of Hawai’i work solely with LMSC on the HSP project while the above described activities are being mutually pursued.
“Please advise us if you are interested in engaging in the activities outlined in this letter. We would welcome the opportunity to work closely with you on this project and believe that the HSP project presents an exciting opportunity for both the State of Hawai’i and private industry.”
Hannemann’s Response
“Thank you for your letter of April 23, 1993 expressing interest in the feasibility of developing and operating a commercial spaceport in Hawai’i and for meeting with Admiral Hayward and his staff to express your need for the cooperation of the State of Hawai’i in the pursuit of your interests.
“As you are aware, one of the primary, long-term goals of Governor John Waihe’e’s Administration is the development of a commercial space launch facility on the Big Island of Hawai’i. Therefore, we are most desirous of assisting private industry to the maximum extent possible in the creation of such a commercial spaceport. To that end we will:
“(1) develop a programmatic environmental impact statement (EIS) which will satisfy both state and federal government requirements;
“(2) to the extent feasible, support the mitigation of EIS issues that relate to off-site infrastructure;
“(3) assist with problems related to necessary land acquisition and land use permits so as to minimize land use costs and issues;
“(4) assist in the consideration of various means of funding infrastructure improvements, including the use of general bonding and/or tax relief incentives;
“(5) assist in the establishment of a foreign trade zone designation for the HSP;
“(6) support Lockheed Missiles & Space Company, Inc. (LMSC) in its efforts to develop an HSP business/financing plan, including the possible establishment of a domestic international consortium; and
“(7) cooperate and support LMSC in seeking appropriate federal funding including, but not limited to, Defense Conversion grants.
“The State of Hawai’i will not seek other developers while LMSC is actively pursuing its project, and will instead, seek to assist LMSC to the extent permissible in reaching its goal of developing a commercial spaceport in Hawai’i.
“We welcome the opportunity of working closely together on your HSP project in order to advance our mutual goals.”
Volume 4, Number 1 July 1993
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