This past week, the U.S. Army called for another round of Base Realignment and Closure, otherwise known as BRAC. Many economic development teams and regional leaders are obviously saddened. No community wants to lose a military base.
The BRAC program is a process the Department of Defense uses to restructure military bases in order to more effectively fund operations, innovation and modernization projects. Base closures become necessary as the military, in particular the Army, draws down active-duty soldiers. From a one-time wartime high of 570,000 soldiers, active-duty forces are now being reduced to 475,000.
More than 350 military installations have already been closed. In 2005, selected bases in New York, Virginia, Texas, Georgia, Mississippi, South Dakota, New Jersey, Connecticut, Maine, Pennsylvania and Massachusetts were closed. Other bases were merged in a joint base realignment process. Now, the process will begin again.
The Army submitted a report listing bases in 26 states that may be affected. The reason such reports create panic is obvious – military bases are big economic drivers for a region. In Texas, the federal government, because of the 15 military bases, is the state’s second largest employer and the bases generate more than $150 billion in economic stimulus.
Many innovative and successful initiatives have been created on military bases – at times when the bases were operational and also after a base closure. Fort Benning in Georgia launched a huge solar project – an innovative and successful partnership that will benefit the entire state. Georgia Power began construction of a $75 million solar panel farm that will generate energy for the state’s electric grid. Similar projects are being planned for Fort Gordon and Fort Stewart in Georgia and these efforts will undoubtedly propel the state into national and international prominence in the renewable energy-producing sector of the nation. All three projects are scheduled for completion by the end of 2016.
In Texas, El Paso’s Fort Bliss has a reverse-osmosis desalination plant that allows the Army to produce water for its own use and at a cheaper price. The plant resulted when El Paso Water Utilities and the military base both were in need of water. A partnership was launched and now El Paso has the largest groundwater desalination plant in the world. Additionally, Fort Bliss plans to construct a 20 megawatt solar panel farm within the base. The $120 million operation will consist of 94,000 solar panels and will be the largest of its type operated by the U.S. military.
In late 2013, after a base closing, construction began on a $500 million development to transform the Oakland Army Base in California into a logistics and warehousing center. The new facility, named The Oakland Global Trade and Logistics Center, makes available 1 million square feet of space. The new space will help the Port of Oakland improve cargo storage and shipping, reduce pollution and create thousands of jobs. Upon completion, the redevelopment project is projected to bring in $2.9 million a year in tax revenue.
In an early round of BRAC, Denver’s Lowry Air Force Base was targeted for closure. The base employed more than 7,000 people who spent money locally. It was a sad time for the city. However, after the closure, Denver experienced a real estate boom and developers moved in and used the existing base property. A community college, an ice rink and a museum were built. The redevelopment was so successful that more than $5.7 billion has been returned to the local economy.
Myrtle Beach Air Force Base was also closed years ago and the property is now a mixed-use facility – home to college campuses, sports fields, parks, commercial airport, general aviation terminals, a 400,000-square-foot business park, upscale restaurants and shops and more than 1,200 new homes. This is just one more example of many successful redevelopment projects.
No community wants to be listed on the upcoming BRAC report, but the history of successful redevelopment efforts offers encouragement. There is little doubt that visionary leaders throughout the country are already considering innovative, collaborative options that will be announced in the near future. Strategic Partnerships, Inc. will continue to follow the BRAC report outcome – stay tuned.