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Office of Economic Adjustment

Program Brieffor National Governors Association

Mr. Patrick O’Brien, DirectorJanuary 22, 2004

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Office of Economic Adjustment

Created in 1961 as a component of the Office of the Secretary of Defense, the Office of Economic Adjustment (OEA) provides overall procedural guidance and adjustment (primarily planning and organizational) assistance to communities, regions and States adversely affected by significant Defense program changes

Since 1978, OEA has been a field activity under the Office of the Secretary and responsible for the Defense Economic Adjustment Program under Executive Order 12788

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Office of Economic AdjustmentMission Statement

Provide assistance to states and local governments affected by significant Defense actions, including base closures, realignments, expansions, industry/contractor reductions, encroachment, personnel reductions

Help communities achieve productive civilian reuse and rapid economic development of closed military bases through timely and effective technical and financial assistance

Manage and direct the Defense Economic Adjustment Program, and coordinate and facilitate the involvement of federal agencies of the President’s Economic Adjustment Committee

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Office of Economic AdjustmentPrograms – Authorized under 10 U.S.C. § 2391

Base Realignment & Closure (BRAC) $144 million to over 100 impacted

communities from prior BRAC rounds Joint Land Use Study (JLUS) – urban

encroachment 34 projects presently underway

Intergovernmental Coordinated delivery of over $1 billion in

federal domestic assistance as well as the transfer of excess BRAC property to civilian users

Defense Industry Adjustment (DIA), Advanced Planning, State Adjustment Planning, and Growth

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Front-line Support to Military and Communities

Post-Closure Decision Policy Oversight• Base Reuse Implementation Manual, DoD

Instructions, and regulations• Inter-Service Working Groups

DoD Support• Defense Economic Adjustment Program • Conferences• Authority on community and reuse• Repository of BRAC data

Community Planning Assistance• technical and financial assistance for

organization, planning, and implementation

• community organizational and planning support

Economic Development Conveyance (EDC) Oversight

Office of Economic AdjustmentBase Reuse Assistance

Assistance Results

78 multi-time grant recipients, averaging $1.8 million each

24 one-time grant recipients, averaging $165,500 each

8 technical assistance publications

0

500

1000

1500

2000

2500

Dec-95

Dec-96

Oct-97

Oct-98

Oct-99

Oct-00

Oct-01

Oct-02

Oct-03

Survey Period

Lea

ses

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

Jobs

Leases Executed Jobs Created

129,649 total lost

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Office of Economic AdjustmentBRAC 2005 - Key Projected Dates

2004 Focus groups, preparation of guidance manuals, e-business

Summer 2004 Notice of Funding Availability for Advanced Planning Assistance

May 16, 2005 Deadline for Secretary’s BRAC recommendations to Commission and

Defense Congressional Committees [OEA 2391 BRAC Assistance is available – dual track, State grants]

July 1, 2005 GAO transmits analysis of SECDEF recommendations and selection

process September 8, 2005

Commission’s report due to President OEA [2391 BRAC – organizational seed grants]

September 23, 2005 President must approve or disapprove Commission’s

recommendations and transmit decision to Congress (if approved, recommendations are binding 45 days after transmission or adjournment sine die, unless Congress enacts joint resolution of disapproval) [Full OEA 2391 BRAC or BRAC Act assistance]

October 20, 2005 Commission deadline for submitting revised recommendations if

President disapproved initial recommendations November 7, 2005

President’s deadline for approving revised recommendations and transmitting approval to Congress or process ends (recommendations are binding 45 days after transmission or adjournment sine die, unless Congress enacts joint resolution of disapproval)

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Office of Economic AdjustmentState Grant Assistance

Assist a State in enhancing its capacities • to assist communities, businesses, and workers

adversely affected by a closure or realignment• to support local adjustment and diversification

initiatives; and,• to stimulate cooperation between statewide

and local adjustment and diversification efforts. Eligible activities

• Develop a State-wide adjustment or diversification strategy responding to base closures/realignments;

• Build staff capacity to assist or coordinate assistance to defense-impacted communities, firms, and/or workers

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Office of Economic AdjustmentPrevious State Initiatives

California • Staff, newsletter, coordination, oversee

matching grant program

Colorado• Statewide response, administrative capacity

Indiana• Identify state dependencies, coordinate state

and regional resources

New York• Coordinate state resources

South Carolina• Coordinate resources, identify statewide

defense impacts, formulate diversification strategies

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Office of Economic AdjustmentSupplemental Slides

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Aviation• 36,792 acres at 27

installations

Interior• 49,697 acres at 33

installations

Education• 3,151 acres at 19

installations

Justice• 6,150 acres at 18

installations

Health and Human Services• 334 acres at 17 installations

Transportation• 2,308 acres at 16

installations

Maritime Administration• 737 acres at 4 installation

Office of Economic AdjustmentReuse Program - Intergovernmental Assistance

Excess Property Disposed Federal Funding Assistance (mil)

$592$210

$386

$144

Economic Development Administration

Department of Labor

Federal Aviation Administration

Office of Ecojnomic Adjustment

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Office of Economic AdjustmentBase Reuse Program - Project Locations

NAS MemphisMemphis DDD

Umatilla AD

McClellan AFB

NSWCLouisville

Loring AFB

Pease AFBAMTL

Plattsburg AFB

Griffiss AFB

K.I. Sawyer AFB

WurtsmithAFB

Newark AFBGrissom AFB

Ft. SheridanNAS Glenview

RickenbackerAGB Ft. Ben Harrison

Chanute AFB

Jefferson PGRichards Gebaur

ARS

Lexington AD

Eaker AFB

England AFB

NADEP Pensacola

NAS Cecil Field

Myrtle Beach AFB

NS, NSY, NSC Charleston

NTC, NH Orlando

Homestead AFB

NS Mobile

NASChaseField

Bergstrom AFB

Carswell AFB NAS

Dallas

Ft. Wingate

Williams AFB

Pueblo AD

Lowry AFBTooele AD

NS Sand Point

HawaiiGuam

NAS Barbers Pt

NS, NSY, NH Long BeachMCAS Tustin

MCAS El ToroNH/NTC San Diego

Bay Area

19881988

19911991

19931993

19951995

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Ft. Ord

MacDillAFB

Ft. ChaffeeRed River AD

Ft. Polk

378

21

910

1113

MCAS

Cherry Pt.

1. Ft. Devens, MA2. NCBC Davisville, RI3. NS Staten Is., NY3. NS Brooklyn, NY4. Ft. Monmouth (Camp Kilmer), NJ5. NAWC Trenton, NJ6. Ft. Dix, NJ7. NSY, NH, NS Philadelphia, PA7. DPSC Philadelphia, PA8. NAWC Warminster, PA9. Ft. Meade, MD10. Cameron Sta., VA11. Vint Hill Farms, VA12. HDL Woodbridge, VA13. NADEP Norfolk, VA13. NRTF Suffolk, VA14. Stratford Army Engine Plant, CT15. Bayonne Milit. Ocean Term., NJ16. Ft. Richie, MD17. Ft. Pickett, VA18. NSWC Annapolis, MD19. NUWC New London, CT 20. Rosslyn AGS, NY21. Bellmore Logistics Activity, NY22. Camp Pendricktown, NJ23. MSWC White Oak, MD24. Ft. Totten, NY25. Kelly Support Facility, PA

CannonAFB

Mt. Home AFB

NCEL Port Hueneme

ReeseAFB

FISC/SRFNS Agana

Kelly AFB

Sierra AD

Sacramento ADMather AFB

George AFBNorton AFB

March AFB

Hamilton AAFPresidio of SFNSY Mare Is.NSY Hunters Pt.NS Treasure Is.FISC/NH OaklandPt. MolateNAS/NADEP Alameda Oakland Army BaseOnizuka AFS

CastleAFB

Ogden DDD

Fitzsimons AMC

Savanna AD

Aviation-TroopCommand

Ft. McClellan

NAWC Indianapolis

NAS South Weymouth

Seneca ADLetterkenny

AD

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15

16

Ft. Greely, AK

NAF Adak , AK

1217

Detroit Arsenal

HancockField

18

19

Gentile AFS

NAS Key West

25

4

2021

226

24

Camp Bonneville

Rio Vista ARC

OntarioAGS