Spaceport Act Authorizes $10 Million Yearly for Launch Infrastructure, Expands Grants to Commercial Needs

The Spaceport Project Opportunities for Resilient Transportation Act, or the SPACEPORT Act, is all about upgrading the launchpads and infrastructure that support the U.S. space industry. Essentially, this bill updates the federal grant program that helps fund space launch facilities, making it broader, more flexible, and more focused on the current realities of commercial space travel.

Who Gets to Play in the Space Race Now?

One of the biggest immediate changes is who qualifies for the federal funding. Before, the definition of a “public agency” eligible for these grants was narrower. Now, the law explicitly includes state agencies, local government subdivisions, airport authorities, and even “tax-support organizations.” This means more local and regional entities can apply for federal cash to build or improve their space infrastructure, which could be anything from a new launch tower to better access roads. For the average taxpayer, this is about ensuring that more of the infrastructure supporting the growing space economy—which includes everything from satellite launches to national security missions—gets modernized with federal help.

The 90% Rule Gets a Waiver

Typically, when the federal government funds infrastructure projects, they impose a limit, usually covering no more than 90% of the total cost; the rest has to come from local or state sources. The SPACEPORT Act gives the Secretary of Transportation a new power: the ability to waive this 90% limit if they decide the project is “truly in the national interest.” While this flexibility is great for high-priority projects—allowing the federal government to fully fund a critical piece of infrastructure—it introduces a potential concern for taxpayers. The term “national interest” is broad, and this power could be used to heavily subsidize projects that might otherwise require more local investment. This is a big asterisk on the bill: while it ensures critical work gets done, it also means the door is open for the federal government to shoulder the entire cost of certain local spaceport projects.

Commercial Space Takes the Co-Pilot Seat

The criteria for selecting which projects get funded are shifting significantly to reflect the modern space landscape. Historically, the focus was primarily on U.S. government needs. Now, the Secretary must consider the needs of civil, national security, and commercial space transportation, alongside international commercial needs. This is a clear signal that the U.S. government is serious about supporting the rapidly growing private space sector, including companies that launch satellites or run space tourism operations. Furthermore, the bill requires project evaluation to assess the impact on existing government launch ranges, ensuring that new commercial facilities don't interfere with military or NASA operations. To make this happen, the Secretary of Transportation is required to consult with the Department of Defense, NASA, and the Department of Commerce when making these funding decisions.

Planning for the Future (And Reporting Back)

This bill doesn’t just hand out checks; it requires strategic planning. Within two years of enactment, the Secretary of Transportation must deliver a comprehensive report to Congress. This report must analyze the demand for all types of space transportation services—from national security to commercial launches—and propose policy changes needed to keep the U.S. competitive. This report must be updated every four years thereafter. This mandatory, recurring check-up is designed to ensure that federal funding and policy are always aligned with the real-world demands of the space market, offering a roadmap for future investments and regulations. Finally, the bill authorizes up to $10 million for these grants annually, renaming the entire chapter to the more descriptive “Space Transportation Infrastructure Modernization Grants.”