spacetoday.net: NASA budget includes funding for prizes, Kistler

Posted: Thu, Feb 5, 2004, 2:35 PM ET (1935 GMT)
NASA

NASA's fiscal year 205 budget, released this week, includes small amounts of funding for a number of innovative new projects, including prizes, as well as support for a reusable launch vehicle (RLV) developer. The $16.2-billion budget includes $10 million for a flight demonstration program designed specifically for emerging commercially-developed launch systems. SPACE.com reported Tuesday that NASA also plans to exercise a 2001 contract it signed with Kistler Aerospace, a startup trying to develop the K-1 RLV. The $227.4-million contract would largely be paid out to the company upon the completion of flight demonstrations, but up to $54.2 million could go to the company beforehand. The company, which has yet to complete the first K-1, filed for Chapter 11 bankruptcy protection last year and is trying to line up new financing to permit the company to continue vehicle development. The budget also includes $20 million for "Centennial Challenges", a series of prizes designed to stimulate development of advanced technologies and other capabilities required for future exploration missions.