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Posts Tagged ‘defense real estate’

Plan to Consolidate Exchanges, Commissaries Would Mitigate Budget Cuts

  • March 31, 2014
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A proposal from the Army & Air Force Exchange Service (AAFES) to consolidate military commissaries and base exchanges could provide an alternate means to generate some of the savings required under the Pentagon’s plan to trim the annual subsidy for military grocery stores over the next three years. The AAFES proposal, submitted March 17 to senior DOD officials, concluded that a consolidation could save $250 million to $450 million a year in commissary overhead …

Only Two Services Used Privatization Authority for Unaccompanied Housing

  • March 30, 2014
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The four military services have come to varying conclusions regarding the feasibility of relying on privatized housing for unaccompanied personnel, with only the Army and Navy taking advantage of the authority, according to a new report by the Government Accountability Office (GAO). Analyses conducted by the services about the potential of privatizing housing for personnel with no dependents considered a number of factors, including the availability of the basic allowance for housing (BAH) — which provides a stream of revenue in the form of rent payments for the projects — for junior unaccompanied personnel …

House Panel Demands Data on Excess Federal Property

  • March 26, 2014
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Two top members of the House Oversight and Government Reform Committee are pressing the Office of Management and Budget (OMB) to provide data on federal property holdings needed to support legislation intended to streamline the process for disposing of underutilized property. A March 24 letter sent by Chairman Darrell Issa (R-Calif.) and Subcommittee Chairman John Mica (R-Fla.) repeats a request from December 2011 for Federal Real Property Profile data on property valued at $50 million or more which does not currently meet federal government needs …

Closures of On-Base Eateries Likely Related to New Minimum Wage Rules

  • March 25, 2014
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Six restaurants located on military installations, including three McDonald’s outlets and two name-brand eateries, have closed recently or are planning to shortly, with new minimum wage requirements for workers on federal contracts believed to have played a role in the decisions. Last week McDonald’s restaurants closed at Naval Weapons Station Charleston, S.C., and at Naval Support Activity, Bethesda, Md.; a third McDonald’s will close next week at Naval Base Kitsap-Bremerton, Wash. A fourth restaurant, I Love Country, has notified Navy Exchange Service Command that it will close next week at Naval Station Pearl Harbor, Hawaii …

Housing Investors Face Uncertainty under BRAC, Downsizing

  • March 24, 2014
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Dramatic reductions in military end strength, along with a new round of base closures, could harm holders of $24 billion in military housing privatization bonds, which have financed the construction of more than 190,000 residences since 1996. A quarter of the bonds are uninsured, reports Barron’s. In addition, the developers and operators of most of DOD’s housing privatization projects are not protected against changes in occupancy stemming from BRAC …

Air Force Renewable Energy Projects Advance toward One Gigawatt Goal

  • March 2, 2014
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Air Force officials are envisioning one of the military’s largest energy ventures to take shape at Joint Base McGuire-Dix-Lakehurst, a project expected to generate at least 50 to 60 megawatts of renewable energy. Last November, the Air Force Civil Engineer Center selected the team of Starwood Siemens, with lead developer Energy Management, to develop energy projects on four separate parcels at the central New Jersey installation through an enhanced use lease …

Agreement Progressing over UAS Park at Grand Forks AFB

  • February 10, 2014
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Grand Forks County is expected shortly to sign an agreement with its chosen developer for the Grand Sky unmanned aerial systems (UAS) park at Grand Forks Air Force Base, N.D. Last week, the county commission supported a plan to ensure that it would be “held harmless” in the event the base does not receive payments due under the enhanced use lease (EUL) project, reported Prairie Business. The commission is waiting for the results of an Air Force environmental study before signing the agreement with its developer, FDSL. Northrop Grumman is expected to be the first tenant at the EUL project, which is intended to advance the development of unmanned aerial systems.

One Cost-Cutting Measure Could Jeopardize Health of Housing Privatization Projects

  • February 2, 2014
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The Defense Department has discussed a number of reforms needed to rein in costs and sustain a robust force structure, with changes to compensation and benefit costs one of its highest priorities. One adjustment officials have broached, however, reducing or freezing the basic allowance for housing (BAH), could “seriously impair” the military’s housing privatization program, according to a commentary in Multi-Housing News. Because initial investment decisions in individual projects were predicated on modest increases in the monthly allowance given to service members for housing costs, an across-the-board rate increase or a tiered reduction based on rank will have an immediate impact on owners and managers of privatized housing projects, writes Paula Cino, senior director of energy and environmental policy for the National Multifamily Housing Council …

Robyn to Write about Obstacles to Achieving Agencies’ Infrastructure, Energy Goals

  • January 31, 2014
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Dorothy Robyn, who previously held the Pentagon’s top installations slot, this week said she would step down in March as commissioner of the General Services Administration’s (GSA) Public Buildings Service. In an interview with the Washington Post, Robyn said she next will write about shortcomings in the government preventing effective management of federal infrastructure and improvements in energy conservation. “I’ve been a part of some tremendous work both here at GSA and at DOD and I want to go write about that and also write about the impediments to GSA and DOD doing it better,” she told the paper. “It’s been a joy to be part of the work, but I’ve been frustrated by the impediments,” Robyn added. She left DOD in September 2012 after being selected for the GSA post.

Arizona Utility to Build Solar Project at Luke AFB

  • January 26, 2014
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The Air Force has selected the electric company that serves much of Arizona to build a photovoltaic solar generation facility at Luke AFB under an enhanced use lease. Arizona Public Service proposes to construct, operate and maintain the project on 106 acres at the base located northwest of Phoenix. The power generated would be used to meet Luke’s renewable energy generation goals. Officials from the Air Force Civil Engineer Center (AFCEC) and the utility now will begin negotiating a lease and environmental requirements. The project’s original timeline has slipped due to the discovery of cultural artifacts dating back 5,000 years, according to the AFCEC website.

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