SpaceX sues California regulators, alleging anti-Musk bias in rocket rejection

Elon Musk’s SpaceX is suing the California Coastal Commission, just days after the agency tasked with protecting the state’s coast and beaches rejected a plan for the company to launch up 50 rockets into space this year.

In the federal suit, filed Tuesday in the Central District of California, the company accuses the state agency of “egregiously and unlawfully overreaching its authority,” and of engaging in “naked political discrimination” against its billionaire owner.

Tensions between the California Coastal Commission and SpaceX have been brewing for months since the company sought to rapidly increase the number of launches it does per year. The state agency has aired concerns about what the impacts will be on the state’s wildlife if rocket blasts significantly increase from Vandenberg Space Force Base, and have asked military officials to mitigate impacts and increase wildlife monitoring.

Those tensions came to a head Thursday, when the state panel denied a plan to increase the number SpaceX rocket launches, and some members of the commission cited Musk’s political posts on X and raised concerns about his companies’ labor record.

“Rarely has a government agency made so clear that it was exceeding its authorized mandate to punish a company for the political views and statements of its largest shareholder and CEO,” the company’s suit argued.

In the suit, SpaceX is asking for an order that would declare SpaceX Facon 9 launch program “federal agency activity,” meaning that the state agency could not regulate it through its permit process, and declare that the commission’s decision to reject the launch plan violated the 1st and 14th amendments of the Constitution.

A spokesperson for the coastal commission did not immediately respond to a request for comment Wednesday.

People walk on a pier beneath the contrail from a SpaceX Falcon 9 rocket carrying a payload of 22 Starlink internet satellites into space after launching from Vandenberg Space Force Base on April 1, 2024 in San Clemente, California. The launch was visible across much of Southern California.

(Mario Tama / Getty Images)

In 2023, the company — through the U.S. Space Force — had an agreement to launch just six rockets a year into space, but breached the agreement as it looked to quickly ramp up launch efforts. Now, the company is looking to launch 50 by the end of this year, and military officials said they expected to submit another request by March for up to 100 SpaceX rockets a year.

So far, SpaceX has launched 33 rockets from Vandenberg Space Force Base.

The commission, tasked with protecting the state’s coastline and beaches, aired concern about the effects of the significant increase in launches, and the effects that the blasts and sometimes accompanying sonic booms would have on nearby wildlife such as sea otters, bats, western snowy plovers and California red-legged frogs.

For months, the state agency aired frustrations that SpaceX officials declined multiple requests to appear before the board.

Although the California Coastal Commission can approve or deny permits from private companies and individuals that affect the coast, it can’t deny federal activity. Instead, the commission must reach an agreement with the military, known as a federal consistency plan, to regulate the impacts on the coast and wildlife.

As a leading contractor with Space Force, military officials argued SpaceX launches were considered a federal activity. However, the state agency has increasingly questioned that rationale, questioning in public meetings whether SpaceX should instead be forced to apply for launch permits since 80% to 87% of its rocket launches are not carrying U.S. government payloads, but satellites for one of Musk’s other private companies, Starlink.

The California Coastal Commission in August asked U.S. Space Force to increase its monitoring of wildlife inside and near the base, one of seven conditions it sought to agree for the significant increase in rocket blasts off the Santa Barbara County coast.

The plan also included a light management plan for night launches, steps to study the impacts on beach access, the fishing industry, and a written plan to mitigate the impacts of sonic booms, which the military recently acknowledged were reaching across about 100 miles of coastline.

Military officials initially rejected the plan, but last week conceded to the requests in an apparent effort to reach an agreement.

Despite the commission’s decision to reject the plan Thursday, military officials said they remained committed to reaching an agreement, and would still abide by the agreement to increase wildlife monitoring.

“The vote hasn’t changed the [Department of the Air Force] or Vandenberg’s unwavering commitment to preserving the California coastline and the precious species that reside there,” said Col. Mark Shoemaker, Space Launch Delta 30 commander in an email Tuesday. “The Space Force’s dedication to collaboration here is in many ways unprecedented — so is our commitment to ensuring dialogue continues.”

Members of the commission last week commended representatives of Space Force and Air Force, but reiterated it should be SpaceX representatives in front of the commission since most of the launches were for private use.

Members also cited concerns about Musk, who they said had inserted himself into the presidential race and had spread conspiracy theories about federal hurricane relief efforts, and derogatory comments about the transgender community.

“Elon Musk is hopping about the country, spewing and tweeting political falsehoods and attacking [the Federal Emergency Management Agency] while claiming his desire to help hurricane victims with free Starlink access to the internet,” said Commissioner Gretchen Newsom at Thursday’s meeting.

Newsom also cited injuries suffered by workers at Musk’s companies, including SpaceX and Tesla, as well as lawsuits the companies have faced where workers have alleged sexual harassment, discrimination and toxic work places.

“This company is owned by the richest person in the world with direct control of what could be the most expansive communications system in the planet,” said Commissioner Mike Wilson. “Just last week that person was talking about political retribution.”