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Asset Strategy

Historically, the metric used to gauge economic sustainability within NASA is the aggregate Current Replacement Value (CRV). CRV represents the total extent of real estate holdings and the corresponding costs to operate and maintain these facilities. While no specific CRV reduction targets are in place for KSC, it is generally acknowledged that CRV should be reduced proportional to declining operating budgets.

While CRV reductions are an important data point in determining the fiscal health of the agency and center, the CRV methodology and subsequent goals do not fully take into account the work being done at KSC to evolve to a multi-user spaceport. For instance, a real property asset, and the operation and maintenance of a facility may be transferred to another non-NASA entity, but the CRV of the asset still remains on the government ledger.

Traditionally, the only way to reduce CRV is through demolition. While KSC recognizes that there are many facilities that need to be shed, some of the assets are one of a kind, and demolition is not the only solution to right-size the asset base.  In this phase of change, KSC will continue to form partnerships and try to expand its authority to allow for the public-benefit conveyance of real property assets in order to preserve the center’s and nation’s crucial launch infrastructure.

The KSC multi-user spaceport of tomorrow will be composed of NASA, state and commercially owned and operated facilities. Facilities and infrastructure will be funded through a mix of federal, state and commercial dollars. The federal government, state government and private investments will all be used in concert for the benefit of the spaceport. KSC will continue to seek ways to allow for the offset of funds from other entities to be used with its appropriation.

Multi-Use Assets

As KSC continues to enhance the multi-user spaceport, commercial users are increasingly sharing assets and working in closer proximity to existing NASA operations.  Sharing services, resources, and personnel will grant NASA partners a greater opportunity to take advantage of KSC’s unique infrastructure.  KSC continues to refine its strategy to determine which facilities and property are appropriate for shared operations.  These multi-use facilities are classified as Industrial Operating Zones (IOZs) and are governed by adapted safety policies that accommodate a partner’s safety programs.  NASA’s safety requirements ensure that coordination between NASA operations and partner operations is communicated effectively, and both entities are protected from shared workplace hazards.  These requirements are defined in NASA KSC’s KNPR 8715.3 Volume 2 Safety Procedural Requirements for Partners Operating in Joint-Use Facilities.

NASA Assets

Major NASA facilities have been surveyed for potential use by non-NASA entities in planning efforts undertaken by KSC. Some of these facilities have been designated to remain dedicated to NASA Programs, while others can be designated for use by non-NASA entities, the state, or multiple users.  In the near term, the NASA programs in operation at KSC as well as offices providing mission support will be the principal users of KSC facilities.  The NASA Asset Strategy will continue to support meeting current NASA mission requirements as well as providing the flexibility necessary to meet future missions.

Commercial Assets

Consistent with the Core Strategies of the Master Plan, produced immediately after the retirement of the shuttle program, KSC released a Notice of Availability (NOA) seeking potential industry interest and uses for center assets no longer required by NASA.  Numerous assets and infrastructure have since been divested to non-NASA users. 

All entities (including non-NASA) must abide by federal law for safe workplace operations at KSC.  “Commercial Operating Zones” (COZ) can be implemented that allow commercial entities the opportunity to conduct work in adherence to essential federal law and their own organization’s safety programs.  NASA safety requirements for these zones include a minimum set of policies that ensure hazards are communicated when they impact outside of a partner’s property.  These requirements are defined in NASA KSC’S KNPR 8715.3 Volume 3 Safety Procedural Requirements for Partners Operating in Exclusive-Use Facilities.

KSC continuously assesses its asset inventory to determine which assets are no longer needed by NASA and could be better utilized by commercial users.  These efforts are coupled with market analysis to evaluate industry demand, forming a divestment strategy for each facility that meets both of these criteria.  A competitive announcement in the form of a NOA, Request for Information (RFI), or Announcement for Proposal (AFP) is released to determine what assets and/or land has been identified for divestment.  Click here to learn what facilities are or will be operated by commercial entities.