Monday, November 03, 2008
Tweet[IWS] CRS: EMPLOYMENT & MILITARY BASE CLOSURES & ECONOMIC ASSISTANCE [16 October 2008]
IWS Documented News Service
_______________________________
Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
________________________________________________________________________
Congressional Research Service (CRS)
Order Code RL34709
Economic Development Assistance for Communities Affected by Employment Changes Due to Military Base Closures
October 16, 2008
Oscar Gonzales, Analyst in Economic Development Policy, Government and Finance Division
http://opencrs.com/getfile.php?rid=65338
Summary
Under the Base Realignment and Closure (BRAC) process, military facilities
were closed and realigned in 1988, 1991, 1993 and 1995. A fifth BRAC round was
authorized in late 2005 and must be completed by September 15, 2011. Under the
BRAC process: (1) the Department of Defense (DOD) prepares a list of military
bases to be realigned or closed; (2) an independent BRAC Commission reviews the
list, makes changes and sends a revised list to the President; (3) the President
approves and transmits the list to Congress; and (4) the BRAC recommendations are
implemented, unless a joint resolution is passed in Congress disapproving the
recommendations for closures and realignments.
The 2005 BRAC round includes the closure or realignment of 837 facilities and
involves an additional 160 facilities that will gain missions or resources, for a total
of 997 changes nationwide. Most of these changes are on a smaller scale, each
involving fewer than 300 direct job losses or gains, including military, civilian, and
contractor jobs. Unlike previous rounds, the 2005 BRAC round is focused on
creating the infrastructure needed to support a transformed, expeditionary armed
force concentrated more on shifting forces and installation assets to promote the
centralization of units in places from which they can be deployed rapidly. Thus, the
2005 BRAC round is characterized much more by realignment than closure. In 20
communities, an estimated increase of 170,000 workers is expected.
Important policy issues before Congress include (1) the impact of military base
closures and expansions on local employment; (2) the possible elimination of the of
the BRAC Commission and the resulting impact on federal economic and community
development programs such as the Community Development Block Grant
(CDBG) program and the Economic Development Administration (EDA) that
currently provide a preference for communities affected by BRAC; (3) the adequacy
and flat level of funding for federal assistance programs while anticipating an 80%
increase from $17 billion to $32 billion in construction costs; (4) housing for military
staff amidst the mortgage crisis; (5) funding for communities experiencing growth
through the defense access road program; (6) delays in environmental cleanup that
may cause difficulties in the economic redevelopment of military facilities; and (7)
redevelopment of military bases as refineries to promote economic growth.
In the 110th Congress, Title I of the Military Construction and Veterans Affairs
Appropriations Act of 2009 (H.R. 6599) and Title I of the parallel Duncan Hunter
National Defense Authorization Act (H.R. 5658), would allocate funding for BRACrelated
activities for road construction, military facilities, and housing assistance.
This report is intended to discuss the geographic impact of base closures and
realignments; summarize federal economic assistance programs for communities and
individuals affected by BRAC; and highlight issues for Congress. The report will be
updated as events warrant.
Contents
Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Spatial Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Employment Changes in Largest Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Employment Changes in Metropolitan Areas . . . . . . . . . . . . . . . . . . . . . . . . 5
Employment Changes at the State Level . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Net Employment Losses and Gains . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Inter- and Intra-State Employment Changes . . . . . . . . . . . . . . . . . . . . . 9
Employment Changes as a Share of Total Employment . . . . . . . . . . . . 9
Federal Economic Development Assistance to State and Local Governments . . 10
Office of Economic Adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Type of Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Funding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Economic Development Administration . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Community Development Block Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Other Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Department of Defense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Other Agencies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Federal Assistance for Individual Workers Displaced by BRAC activities . . . . . 16
DOD Worker Assistance Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Department of Labor Job Training Program for Dislocated Workers . . . . . 16
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Formula Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
National Emergency Grants (NEGs) . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Other Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Issues for Congress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Impacts on Communities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Elimination of the BRAC Commission . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Increase in BRAC Construction Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Housing for Military Staff Displaced by BRAC . . . . . . . . . . . . . . . . . . . . . 21
Defense Access Road Program . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
Environmental Cleanup . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
BRAC Facility Redevelopment for Refineries . . . . . . . . . . . . . . . . . . . . . . 22
Concluding Observations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
Appendix A. List of Federal Economic and Community Development Programs . . . . . 24
Appendix B. Direct and Indirect Employment Changes in Metropolitan Areas . . . . .. 30
List of Figures
Figure 1. Employment Losses and Gains at the Metropolitan Statistical Area (MSA) Level . . . . . . . .. 6
Figure 2. Employment Losses and Gains at the State Level . . . . . . . . . . . . . . . . 10
Figure 3. EDA Funding FY1993-FY2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
List of Tables
Table 1. Major Military Facilities to be Closed or Realigned, Ranked by Total Direct and Indirect Employment Changes . .. . . 4
Table 2. Rank of States by Total Direct and Indirect Job Losses and Gains Resulting from BRAC . .. . . . . . 7
Table 3. Appropriations for Office of Economic Assistance FY2001-FY2008 . . . . . . . . . . . . . . . 13
______________________________
This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.
Stuart Basefsky
Director, IWS News Bureau
Institute for Workplace Studies
Cornell/ILR School
16 E. 34th Street, 4th Floor
New York, NY 10016
Telephone: (607) 255-2703
Fax: (607) 255-9641
E-mail: smb6@cornell.edu
****************************************
_______________________________
Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
________________________________________________________________________
Congressional Research Service (CRS)
Order Code RL34709
Economic Development Assistance for Communities Affected by Employment Changes Due to Military Base Closures
October 16, 2008
Oscar Gonzales, Analyst in Economic Development Policy, Government and Finance Division
http://opencrs.com/getfile.php?rid=65338
Summary
Under the Base Realignment and Closure (BRAC) process, military facilities
were closed and realigned in 1988, 1991, 1993 and 1995. A fifth BRAC round was
authorized in late 2005 and must be completed by September 15, 2011. Under the
BRAC process: (1) the Department of Defense (DOD) prepares a list of military
bases to be realigned or closed; (2) an independent BRAC Commission reviews the
list, makes changes and sends a revised list to the President; (3) the President
approves and transmits the list to Congress; and (4) the BRAC recommendations are
implemented, unless a joint resolution is passed in Congress disapproving the
recommendations for closures and realignments.
The 2005 BRAC round includes the closure or realignment of 837 facilities and
involves an additional 160 facilities that will gain missions or resources, for a total
of 997 changes nationwide. Most of these changes are on a smaller scale, each
involving fewer than 300 direct job losses or gains, including military, civilian, and
contractor jobs. Unlike previous rounds, the 2005 BRAC round is focused on
creating the infrastructure needed to support a transformed, expeditionary armed
force concentrated more on shifting forces and installation assets to promote the
centralization of units in places from which they can be deployed rapidly. Thus, the
2005 BRAC round is characterized much more by realignment than closure. In 20
communities, an estimated increase of 170,000 workers is expected.
Important policy issues before Congress include (1) the impact of military base
closures and expansions on local employment; (2) the possible elimination of the of
the BRAC Commission and the resulting impact on federal economic and community
development programs such as the Community Development Block Grant
(CDBG) program and the Economic Development Administration (EDA) that
currently provide a preference for communities affected by BRAC; (3) the adequacy
and flat level of funding for federal assistance programs while anticipating an 80%
increase from $17 billion to $32 billion in construction costs; (4) housing for military
staff amidst the mortgage crisis; (5) funding for communities experiencing growth
through the defense access road program; (6) delays in environmental cleanup that
may cause difficulties in the economic redevelopment of military facilities; and (7)
redevelopment of military bases as refineries to promote economic growth.
In the 110th Congress, Title I of the Military Construction and Veterans Affairs
Appropriations Act of 2009 (H.R. 6599) and Title I of the parallel Duncan Hunter
National Defense Authorization Act (H.R. 5658), would allocate funding for BRACrelated
activities for road construction, military facilities, and housing assistance.
This report is intended to discuss the geographic impact of base closures and
realignments; summarize federal economic assistance programs for communities and
individuals affected by BRAC; and highlight issues for Congress. The report will be
updated as events warrant.
Contents
Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Spatial Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Employment Changes in Largest Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Employment Changes in Metropolitan Areas . . . . . . . . . . . . . . . . . . . . . . . . 5
Employment Changes at the State Level . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Net Employment Losses and Gains . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Inter- and Intra-State Employment Changes . . . . . . . . . . . . . . . . . . . . . 9
Employment Changes as a Share of Total Employment . . . . . . . . . . . . 9
Federal Economic Development Assistance to State and Local Governments . . 10
Office of Economic Adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Type of Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Funding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Economic Development Administration . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Community Development Block Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Other Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Department of Defense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Other Agencies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Federal Assistance for Individual Workers Displaced by BRAC activities . . . . . 16
DOD Worker Assistance Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Department of Labor Job Training Program for Dislocated Workers . . . . . 16
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Formula Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
National Emergency Grants (NEGs) . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Other Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Issues for Congress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Impacts on Communities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Elimination of the BRAC Commission . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Increase in BRAC Construction Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Housing for Military Staff Displaced by BRAC . . . . . . . . . . . . . . . . . . . . . 21
Defense Access Road Program . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
Environmental Cleanup . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
BRAC Facility Redevelopment for Refineries . . . . . . . . . . . . . . . . . . . . . . 22
Concluding Observations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
Appendix A. List of Federal Economic and Community Development Programs . . . . . 24
Appendix B. Direct and Indirect Employment Changes in Metropolitan Areas . . . . .. 30
List of Figures
Figure 1. Employment Losses and Gains at the Metropolitan Statistical Area (MSA) Level . . . . . . . .. 6
Figure 2. Employment Losses and Gains at the State Level . . . . . . . . . . . . . . . . 10
Figure 3. EDA Funding FY1993-FY2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
List of Tables
Table 1. Major Military Facilities to be Closed or Realigned, Ranked by Total Direct and Indirect Employment Changes . .. . . 4
Table 2. Rank of States by Total Direct and Indirect Job Losses and Gains Resulting from BRAC . .. . . . . . 7
Table 3. Appropriations for Office of Economic Assistance FY2001-FY2008 . . . . . . . . . . . . . . . 13
______________________________
This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.
Stuart Basefsky
Director, IWS News Bureau
Institute for Workplace Studies
Cornell/ILR School
16 E. 34th Street, 4th Floor
New York, NY 10016
Telephone: (607) 255-2703
Fax: (607) 255-9641
E-mail: smb6@cornell.edu
****************************************
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