§ 1214.100 Scope.

This Subpart 1214.1 sets forth:

(a) The policy on reimbursement for Shuttle services which are provided by NASA to non-U.S. Government users (as defined in § 1214.101) under launch services agreements, and

(b) Responsibilities for putting such policy into effect and carrying it out.

§ 1214.101 Definition.

For the purpose of this subpart, the term "Non-U.S. Government Users" means:

(a) Private persons or Įživate organizations of the United States, including its territories, the District of Columbia, Panama Canal Zone, and Puerto Rico.

(b) Public organizations of the United States that are not part of the Government of the United States.

(c) Foreign governments or private persons and private or public organizations of foreign countries, except for the government of Canada and governments of the European Space Agency (ESA) member nations participating in Spacelab development when conducting experimental science or experimental applications missions, with no near-term commercial implications, undertaken on behalf of government agencies. The NASA Administrator

shall determine the missions which qualify for this exception.

(d) International

organizations,

except the ESA when conducting experimental science or experimental applications missions with no near-term commercial implications.

(e) Other U.S. Government agencies, Canadian government agencies and the ESA, requesting Shuttle services from NASA in connection with launch and other services being performed by such agencies for users listed in paragraphs (a) through (d) of this section.

§ 1214.102 Reimbursement policy.

(a) Features of policy. (1) All users will be charged on a fixed price basis; there will be no post-flight charges, except for prespecified optional services.

(2) The price will be based on estimated costs.

(3) The price will be held constant for flights in the first three years of Space Transportation Systems (STS) operations.

(4) Payments with respect to total operations costs shall be escalated according to the Bureau of Labor Statistics Index for Compensation per hour, Total Private. Payments with respect to the use charge shall not be escalated.

(5) Subsequent to the first three years the price will be adjusted annually to insure that aggregate costs are recovered over a twelve-year period.

(6) Pricing incentives are designed to maximize the proper utilization of the STS.

(b) Dedicated flight reimbursements. (1) For the purposes of this policy, a dedicated flight is one sold to a single customer.

(2) The policy is established for two distinct phases of Shuttle operations. The first phase is through the third full fiscal year of Shuttle operations and the second phase consists of nine full fiscal years subsequent to the first phase.

(i) For a dedicated Shuttle flight during the first phase, NASA shall be reimbursed in an amount which is a pro-rata share of forecast additive costs averaged over the first phase of three years, plus a use charge in lieu of depreciation for the use of facilities,

support equipment and the Shuttle fleet; however, the price shall not be less than a pro-rata share of forecast aggregate costs averaged over both the first and second phases of the twelveyear Shuttle operation period.

(ii) For a dedicated Shuttle flight during the second phase, NASA shall be reimbursed a pro-rata share of forecast aggregate costs over both phases to insure that total aggregate costs are recovered over the twelve year period.

(iii) The definition of the costs as specified in this Subpart are set forth in Appendix A to this subpart.

(iv) Subject to NASA approval, a dedicated flight user may apportion and assign STS services to other STS users provided they satisfy STS user requirements. The price of integrating additional payloads will be negotiated.

(v) A summary of standard Shuttle services included in the flight price is set forth in Appendix B to this subpart.

(vi) The prices of optional Shuttle services are being developed and shall be set forth in the Shuttle Price Book which is being developed. A summary of the optional services is set forth in Appendix C to this subpart.

(vii) For the user with an experimental new use of space or first time use of space of great public value, the reimbursement to NASA for the dedicated, standard Shuttle flight in either the first second phase shall be a pro-rata share of the average twelve-year additive costs as estimated at the time of negotiatios. Programs which qualify for this price will be determined by an STS Exceptional Program Selection Process. In all cases, the Administrator will be the selection official.

(viii) For dedicated flight users, NASA and the user will identify a desired launch date within a period of ninety days three years prior to flight. One year prior to the flight a firm launch and payload delivery date will be identified by NASA. The firm launch date will be within the first sixty days of the original ninety-day period. Launch will occur on the firmly scheduled launch date or within a period of thirty days thereafter. The payload must be ready to launch for the duration of that period.

(c) Shared flight reimbursements. (1) The price of a shared Shuttle flight will be a fraction of the dedicated Shuttle flight price. The fraction will be based on the length and weight of the payload and the mission destination at the time of contract negotiations. The formula for computing the fraction is set forth in Appendix D to this subpart.

(2) For shared flight users, NASA and the user will identify a desired launch date three years prior to flight. Launch will occur within a period of ninety days, beginning on the desired launch date. One year prior to flight a payload delivery date and a firm launch date will be coordinated among the share flight users. This firm launch date will be within the first thirty days of the original ninety-day period. The launch will occur on the firmly scheduled launch date or within a period of sixty days thereafter. The payloads must be ready to launch for the duration of that period.

(3) A 20 percent discount on the standard flight price will be given to shared flight users who will fly on a space-available (standby) basis. NASA will provide launch services within a prenegotiated period of one year. Shared flight payloads must be flight deliverable to the launch site on the first day of the one-year period and sustain that condition until delivery to the launch site. The user will be notified sixty days prior to the firmly scheduled launch date which has been established by NASA. At that time, NASA will also establish a payload delivery date. The payload must be available at the launch site on the assigned delivery date and ready to launch for a period of sixty days after the firmly scheduled launch date.

(d) Small self-contained payloads. Packages under 200 pounds and smaller than five cubic feet which require no Shuttle services (power, deployment, etc.), and are for R&D purposes, will be flown on a space-available basis during both phases of Shuttle operation. The price for this service will be negotiated based on size and weight, but will not exceed $10,000 in 1975 dollars. A minimum charge of $3,000 in 1975 dollars will be made. If Shuttle services are required, the price will be

individually negotiated. negotiated. Reimbursement to NASA will be made at the time the package is scheduled for flight.

(e) Options. (1) Options for future flights will be made available to STS users already contracting for STS launch services. Fixed price options for flights in a given year beyond the three year fixed price period will be made available. For fixed price options, NASA shall be reimbursed the user's flight price compounded at 8 percent per year for each year beyond the fixed price period. The fee for this option is one million dollars in 1975 dollars. The option fee will be applied to the price of the user's flight. The user will exercise his option by contracting for the flight on the normal 33-month reimbursement schedule or the option fee will be retained by NASA.

(2) In order to insure that space will be available for flights in a given future year, scheduled launch options, where NASA will provide a launch during a ninety-day period, will be given to STS users already contracting for flights at a fee of $100,000 in 1975 dollars. The option fee will be applied to the price of the user's flight. The user will exercise his option by contracting for the flight on the normal 33-month reimbursement schedule or the option fee will be retained by NASA.

(3) In order to allow the user greater flexibility in selecting a launch date, the user may purchas a "floating launch date" option. At the time of contract execution, the user will begin to make payments according to a 33month reimbursement schedule for this launching. At any time during Phase 1 or 2, the user may exercise this option by informing NASA of his desired launch date for this option which will then be negotiated by NASA and the user. This launch date must be at least 33 months after the date of the first reimbursement payment. If the desired launch date is within one year of the date of declaration, the short term call-up option and associated fee will apply. If the desired launch is to occur in a year for which a new price per flight is in effect, the user will pay the new price. The fee

for this option is 10 percent of the user's flight price in effect at the time of contract execution and is payable at that time. This fee will not be applied to the price of the user's flight.

(4) Options must be exercised for a flight by the end of the second phase of operations or the option fee will be retained by NASA.

(f) Fixed price period and escalation. (1) The price will remain constant for flights during the first phase of Shuttle operation. For flights during the second phase, the price will be adjusted on a yearly basis, if necessary, to assure recovery of aggregate costs over a twelve year period. These adjusted prices will be applicable only to agreements executed after the adjustment is made.

(2) Shuttle services for both phases will be contracted on a fixed price basis. The payments in the contract will be escalated to the time of the payment using the Bureau of Labor Statistics Index for Compensation per hour. Total Private.

(g) Earnest money. Earnest money will be paid to NASA prior to contract negotiations. The earnest money required per contract shall be $100,000 in 1975 dollars; however, if the payload is a small self-contained payload, the earnest money shall be $500.00. The earnest money will be applied to the first payment made by the customer or will be retained by NASA.

(h) Reimbursement schedule. (1) Reimbursement shall be made in accordance with the reimbursement schedule contained in this subsection. No charges shall be made after the flight, except as negotiated in the contract for prespecified extra services. Those users who contract for Shuttle services less than three years before the desired launch date will be accommodated and will pay on an accelerated basis according to the reimbursement schedule.

(2) Standby payloads. (i) Before the establishment of a firmly scheduled launch date, the number of months before launch will be computed assuming a launch date at the mid-point of the designated one-year period.

This schedule holds unless there are offsetting advantages to the U.S. Governnent of an accelerated launch schedule.

(4) Contracts for Shuttle services made one year or less before a flight and up to three months before a flight will be made on a space-available basis unless the short term call-up option is elected.

(i) Short term call-up option. (1) For flights contracted one year or less before launch, but not less than three months before launch, short term callup will be provided to dedicated flight users at the dedicated flight price according to the reimbursement schedule.

(2) For dedicated flight users requiring short term call-up flights less than three months before launch, NASA will provide STS launch services on a space-availalble basis. NASA shall be reimbursed the dedicated flight price according to the reimbursement schedule plus short term call-up additional costs. The additional costs will be based on estimated costs to be incurred.

(3) For shared flights contracted one year or less before launch, but more than six months before launch, users may elect to short term call-up option. The user shall reimburse NASA the standard shared flight price according to the reimbursement schedule plus a load factor-recovery fee. The load factory-recovery fee is half the difference between a dedicated flight price and the user's shared flight price or the difference between a dedicated flight price and the total adjusted reim

bursements from all shared users, whichever is less.

(4) For shared flights contracted six months or less before launch, but more than three months before launch, users may elect the short term call-up option. The user shall reimburse NASA the standard shared flight price according to the reimbursement schedule plus a load factorrecovery fee which is the difference between a dedicated flight price and the total adjusted reimbursement from all shared flight users.

(5) Shared flights contracted three months or less before launch will be flown on a space-available basis. NASA shall be reimbursed the shared flight price according to the reimbursement schedule plus short term call-up additional costs. These additional charges will be based on estimated costs to be incurred.

(6) For the purposes of this paragraph, "adjusted reimbursements" is defined to be reimbursements assuming all shared users are non-U.S. Government.

(7) The load factor-recovery fee will never be less than zero.

(8) The load factor-recovery fee is payable upon receipt of NASA's billing therefor.

(j) Accelerated launches. For users who reschedule a launch so that it occurs earlier than the planned launch, the user will pay on an accelerated reimbursement schedule. The user will reimburse NASA to make his payments current on the new accelerated reimbursement schedule. If the time from notification of acceleration is less than one year from the new

launch date, short term call-up reimbursements will also apply.

(k) Postponements—(1) Non-standby payloads. (i) A user can postpone a flight of his payload one time with no additional charge if postponement occurs more than one year before launch. For subsequent postponed flights more than one year before launch, the user shall reimburse NASA a postponement fee of 5 percent of the user's flight price. For postponements one year or less before launch, the user shall reimburse NASA 5 percent of the user's flight price plus an occupancy fee according to the occupancy fee schedule in Appendix E to this subpart.

(ii, If the postponement of a flight causes the payload to be launched in a year for which a different price per flight has been established, the new price shall apply if it is higher than the originally contracted price.

(2) Standby payloads. (i) For flights postponed more than six months prior to the beginning of the negotiated one-year period, NASA shall renegotiate a new one-year period during which launch will occur. No additional fee will be imposed.

(ii) For flights postponed six months or less prior to the beginning of the negotiated one-year period, the user shall reimburse NASA 5 percent of the user's flight price plus an occupancy fee according to the occupancy fee schedule set forth in Appendix E to this subpart.

(3) Postponement fees are payable upon receipt of NASA's billing therefor.

(4) Flights postponed will henceforth be treated as newly scheduled launches according to the reimbursement schedule. The number of months prior to launch will be taken as the total number of months between the date postponement is elected and the new launch date. Short-term call-up options and associated fees shall apply.

(5) Minor delays (up to three days) caused by the users will not constitute a postponement. No fee will be charged for a minor delay.

(1) Cancellations. (1) Non-standby payloads. Users who cancel a flight more than one year before launch

shall reimburse NASA 10 percent of the user's flight price. For a cancelled flight one year or less before launch, the user shall reimburse NASA 10 percent of the user's flight price plus an occupancy fee as set forth in Appendix E to this subpart.

(2) Standby payloads. (i) Users who cancel a flight more than six months prior to the beginning of the negotiated one-year period shall reimburse NASA 10 percent of the user's flight price.

(ii) For a flight cancelled six months or less prior to the beginning of the negotiated one-year period, the user shall reimburse NASA 10 percent of the user's flight price plus an occupancy fee as set forth in Appendix E to this subpart.

(3) Cancellation fees are payable upon receipt of NASA's billing therefor.

§ 1214.103 Reflight guarantee.

(a) A fee for a reflight guarantee is included in the price charged the user. In consideration of that fee, NASA guarantees one reflight of:

(1) The launch and deployment of a free flying payload into a Shuttle compatible mission orbit if, through no fault of the user, the first launch and deployment attempt is unsuccessful and if the payload returns safely to earth or a second payload is provided by the user.

(2) The launch of an attached payload into its mission orbit if the first launch attempt is unsuccessful through no fault of the user, and if the payload returns safely to earth or a second payload is provided by the

user.

(3) A launch of a Shuttle into a payload mission orbit for the purpose of retrieving a payload if the first retrieval attempt is unsuccessful through no fault of the user. This guarantee only applies if the payload is in a safe retrievable condition as determined by NASA.

(b) This reflight guarantee will not be applicable to payloads or upper stages placed into orbits other than the Shuttle mission orbit.