Leveraged ESOP and tax exempt bond capitalized mars colonization; The ethical choice

Leveraged ESOP and tax exempt bond capitalized mars colonization

English Colonization of North America often took the form of a joint stock company to finance the ship and voyage not always successfully initially. Voyages funded this way often had the features of the participants funding his own voyage along with other fellow colonists. The closest analogy to this would be to days Employee Stock ownership program and Coops. In the United States of America, the risky proposition of the self-funded ESOP is permitted. This is the concept of a leveraged ESOP with borrowed capital. Profits on capital loaned to a ESOP is tax free.

Another concept worth mentioning is community support in exchange for employment through the issue of tax free bonds. A ESOP/SpaceX subsidiary would manufacture components for the $500mars colony in the community or state issuing the bonds. The most common form is the municipal tax free bond. I propose to study the tax effects of the municipal tax free bond loaned to the ESOP.These ESOP-owned intitys are legaly independent in many cases from SpaceX and can purchase competing products and services from ULA and Blue Origins 

We have several ESOPS that agree to have the IRS rule are related to one another to provide ESOP portability. This most likely would mean some sort of SpaceX minority ownership but not as SpaceX subsidiary’s. One ESOP would provide Mars colony services to SpaceX for a fee so in effect the Mars colony ESOP is paying for a part of its passage to Mars with earnings from SpaceX, however it should be noted that we propose that the Mars colony be a special tax district with property and sales taxes that would then pay a fee to the ESOP for mars Municipal services.

The mars spaceport outside of town might become a busy enough place to charge a fee for services itself.

The leveraged ESOP could fund a fleet of ITS vehicles acting as an airline to earn income from other non-ESOP and ESOP funded passage. SpaceX could then sell ITS vehicles for an immediate return of capital to be reinvested in new projects.

1 million X $500,000 = $500 Billion / by 20 years = $25 Billion per year

1 Million / by 20 years is 50,000 persons a year so the hypothesis of this white paper is that this scenario is likely to operate better in the out years, IE it’s unlikely for this number of yearly immigrants to become a reality early. Any ESOP feasibility study will reflect this. This means that SpaceX and other public private funding sources are the revenue to fund the mars and earth based ESOPs. “ISRU” funding of a Mars based ESOP society would be a small portion of a leveraged ESOP’s funded liability’s so the second hypotheses of this white paper are we are bootstrapping multiple ESOP; s for services provided in “ISRU” and in the first decades this is only partially from an internal colony (profits and municipal taxes to pay bonds) back on earth, however, the municipal bonds are paid early from manufacture of goods for transport to Mars.

100 passengers X $500,000 + $50 Million

B Corporation, we pledge our happiness and honor to one another and to all us all and state we are here on a mission for humanity and to those of us here

We pledge to own automated machines together or to lease automated machines to our commonly owned endeavors as a part of our pledge we make to one another, this is true when we all deal with commonly owned business of our close neighbors.

Mars family of ESOP’s borrows $100 Billion over 20 years to build infrastructure that is for private use(sold) and is for public use or is part of the Mars Commons. Over 20 years this is $5 Billion per year. Gradual implementation of a mars property and VAT tax over time takes over the expansion of the commons and the upkeep of the existing commons, works best 10 to 20 years after colonization.

• (1) SpaceX contracts with a subsidiary that’s majority ESOP owned for goods for transport to mars. (2) there are many of these but we aim to incorporate them as B Corporations with majority ESOP ownership (*) (C) We will perform ESOP feasibility studies as to the risk of an earth based ESOP also taking on the risk of ownership of space or Mars based leveraged ownership (**) (D) Earth based leveraged ESOP/s may be involved in CDC and leveraged tax exempt bonds to build mars bound cargoes and we need to factor this possibility into ESOP feasibility studies. ESOP’s as pension plans do not pay federal income taxes, still levering an ESOP assets with CDC municipals bonds may be safer than the market leveraging the ESOP(E) levering an ESOP in a zip code that has lent its support to a long-term earth based manufacturer of Mars based goods makes for good public corporate policy (***).
• (1) Representative examples of B corporation incorporation and the majority ESOP owned entity. The Mars colony will need a construction crane that is designed like earth based ones except it’s made of carbon fibers and titanium. The SpaceX ITS with its crane could deploy this construction crane alongside the ITS. The Mars crane could assemble mars domes up to 20 to 30 stories. (2) the crane manufacturer and the deployment at mars are performed by an B corporation ESOP that is leveraged with borrowed capital and over 10 to 15 years SpaceX pays the ESOP a fee to this ESOP for manufacture and deployment. (3) repeat 2 above for a crane at a Mars spaceport and this smaller crane might be the first deployed(?)
• (1) How to entice 100 passengers at $500,000 each? The ESOP borrows(leverages) the $500 K fair as a business expenses the 100 are ESOP employees of a Mars transport space line. They own the transporter and will profit from its reuse. The problem here, of course, is ERISA and the IRS require that the 100 passengers be employees so this idea requires work.
• $100 Billion over 30 years as an example loaned to a large collection of ESOP’s comes out to $3,333,333,000 per year, If the last capitalization to a leveraged ESOP occurs 30 years’ from now then our mutual enterprises are paid off 60 years from now

Another concept that might prove useful in a Mars colonization attempt that would complement the family of ESOP’s would be condominiums associations of many ESOPS and individual homeowners who would share in individual tunnels costs of boring and infrastructure costs. Condominiums allow joint private ownership of shared building and infrastructure costs. In the 1980’s I proposed that the SEIU fund leveraged ESOP’s to build Condominiums that would lead to Unionized buildings and in the case of apartments for rent the Building would end up under the ownership of the doorman housemen and the building manager.

My research back then uncovered a flaw in my idea that involved the ownership of capital in the form of real estate to be owned by just a few employees under ERISA in the 1980’s prohibited this sort of concentration. On the other hand, there are IT firms that have few employees that are ESOP owned. My solution was that a San Francisco high-rise worth tens of millions of dollars but with only 10 to 15 employees could have in the lobby an employee intensive restaurant union represented restaurant. High end service restaurants in san Francisco’s union square and pacific heights are often near the apartment house districts. A study of SF building codes and zoning may turn up no outright prohibition to an apartment house having a retail lobby’s hotels often have a retail lobby and on Mars habitual real estate may be at a premium so it might be our artists license to take a page from the Asian city with its small alleyways full of people and commerce. Once there was a plan to have BART subway stops full of people with their BBQ ducks hanging from their feet and retail spaces to help pay down BART bonds. It never came to be and today BART is a sterile lobby in all its stations.

Mars, I believe must be s closer friendlier society built on closer ties as well as closer proximity to one another. ESOP theory is that employees are more happy and innovative when charged with and allowed to be so. It’s no accident that microbrewery industry is full of ESOP’s the craft of brewing artisanal products is an invitation to innovation in production and management by the whole team. The mars colony is a place where it may not make economic since to have wage workers in the earth concept of the thing but May I suggest another read of the Hogan novel of the “voyage to yesteryear” in it the colonist of an exoplanet have no concept of capital as having ownership, the computers and robots and free energy provide for all. The concept of people gathering to eat together and for people to want to serve others persists. On mars, perhaps they might want to operate restaurants for the pleasure of it.

In the case of the owned housing, a condominium like a leveraged ESOP is a funding mechanism for the boring of the tunnel utilizing mortgages paid down over time to fund tunnel borings of these costs will be shared by the future municipal commons such as sharing tunnel wall costs with housing and retail ESOPS and condominium associations.

The idea of wage workers on Mars does not sound plausible with a $500,000 ticket for passage and the idea mars colonists would want to gather to be served by robots so the idea of the ESOP takes on new meaning; The cost of passage could be amortized by an ESOP as a cost of doing business but this cost would reflect a price on the product. Perhaps skilled passengers with a love of food and wine or the arts could have that time-honored part time business. Early Mars colonists will have to grow their own food without regard to profit. It’s important that early colonists who are tasks with auxiliary tasks to have some interests in those tasks. Early ESOPS and other ventures must take into consideration the multiple part time ventures of each individual and take into consideration the ERISA rules on hours worked as a part of the formula for ESOP share ownership. 100 fare paying passengers cannot own equally the ITS space ship in a ESOP because it does not take over time all 100 of them to be employees at any single time. For many being a part time worker over time for many ESOPS most closely matches the highly skilled astronaut worker colonists. This brings us almost full circle. ESOP’s work best with an engaged innovated effort. Highly skilled workers are at their best when multiskilled in small groups and it’s this that best describes the colonists of our future.

Another possibility is that those who show a passion for the arts of the trades make their passage as some form of indentured servant to others, this should never be a model for a future world indeed the B corporation model, indeed a wage skilled artisan ESOP should never be indentured or exploited by the other ESOP’s