[Congressional Record Volume 143, Number 107 (Friday, July 25, 1997)]
[Extensions of Remarks]
[Pages E1530-E1533]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




         ENERGY AND WATER DEVELOPMENT APPROPRIATIONS ACT, 1998

                                 ______
                                 

                               speech of

                        HON. STEVE C. LaTOURETTE

                                of ohio

                    in the house of representatives

                        Thursday, July 24, 1997

       The House in Committee of the Whole House on the State of 
     the Union had under consideration the bill (H.R. 2203) making 
     appropriations for energy and water development for the 
     fiscal year ending September 30, 1998, and for other 
     purposes:

  Mr. LaTOURETTE. Mr. Chairman, it has recently come to my attention 
that the Army Corps of Engineers is planning to restructure its Great 
Lakes and Ohio River Division by first severely reducing the number of 
employees, particularly those with decision-making authority, at its 
Chicago office and eventually closing it down entirely. This plan is 
documented in an internal Army Corps memo that I have obtained from the 
International Federation of Professional and Technical Engineers Local 
777. This plan would leave the Great Lakes region with only one office, 
in Cincinnati, and would obliterate the institutional memory that is so 
vital to Army Corps operations in this region. Losing the Chicago 
division office to Cincinnati will mean that the Great Lakes will most 
likely lose resources, funds, and priority consideration for projects 
in this region.
  Last year, when this Congress passed the Energy and Water Development 
Appropriations Act for fiscal year 1997, the Army Corps was directed to 
reduce its divisions to no less than six and no more than eight. The 
Department of the Army's Office of Civil Works submitted a plan to the 
Congress which detailed the restructuring plan, approved by the 
Secretary. This plan stated that, ``The Great Lakes districts of the 
North Central Division will be combined with the districts of the Ohio 
River Division to form the Great Lakes and Ohio River Division. 
Division headquarters will remain in both Chicago and Cincinnati, each 
with a regional deputy commander and SES.''
  The closure of the Chicago office would affect my State as well as 
the entire Great Lakes region, and I am troubled by this action on the 
part of the Army Corps. When the Appropriations Committee wrote the 
language directing the Army Corps to reduce its overall division 
structure, I do not believe that it was the Committee's intention that 
a region with projects as important as those in the Great Lakes should 
suffer disproportionately. The operations directed at the Chicago 
office are vital to projects conducted on the Great Lakes, and its 
closure would impede progress on many projects that my colleagues in 
the Great Lakes and I consider important.
  Mr. Speaker, I would like to include for the Record two documents 
that are the basis for my concern. The first is a January 22, 1997, 
outline of the plan submitted by the Army Corps and approved by the 
Secretary of the Army to reorganize its division structure pursuant to 
the Energy and Water Development Appropriations Act of fiscal year 
1997. This plan clearly indicated that the Army Corps intended to 
maintain dual Division headquarters offices in both Chicago and 
Cincinnati, each with decision-making staff. The second document that I 
am submitting for the Record was provided by the International 
Federation of Professional and Technical Engineers Local 777 in 
Chicago, IL. It includes an internal Army Corps memorandum from the 
Commander of the Great Lakes and Ohio Division regarding Division 
restructuring dated May 27, 1997. This memo states clearly the Army 
Corps' intention to severely reduce and eventually to close the Chicago 
Division office of the Great Lakes and Ohio Division. Mr. Speaker, 
thank you for allowing me this opportunity to bring this matter to my 
colleagues' attention.

         Department of the Army, Office of the Secretary of the 
           Army,
                                                   Washington, DC.
     Information for Members of Congress
       The Energy and Water Development Appropriations Act of 
     fiscal year 1997 (PL 104-206) requires that the Secretary of 
     the Army develop a plan that reduces the number of U.S. Army 
     Corps of Engineers divisions to no less than six and no more 
     than eight, with each division responsible for at least four 
     district offices. The Secretary has approved such a plan; the 
     purpose of this paper is to inform you of its provisions.
       An outline of the plan is attached. The key elements of 
     this plan are as follows:
       1. The Corps will convert New England Division to district 
     status and assign it under the North Atlantic Division.
       2. The Alaska District will be transferred from the North 
     Pacific Division to the Pacific Ocean Division (POD). POD 
     headquarters will remain in Honolulu.
       3. The Great Lakes districts of the North Central Division 
     (NCD) will be combined with the districts of the Ohio River 
     Division to form the Great Lakes and Ohio River Division. 
     Division headquarters offices will remain in both Chicago and 
     Cincinnati, each with a regional deputy commander and SES.
       4. The districts of the North Pacific Division (less 
     Alaska) will be combined with the districts of the Missouri 
     River Division to form the Northwestern Division. Division 
     headquarters offices will remain in both Portland and Omaha, 
     each with a regional deputy commander and SES.
       5. Two districts located along the Mississippi River 
     (currently assigned to NCD) will be combined with the 
     districts currently assigned to the Lower Mississippi Valley 
     Division. The division will be renamed as the Mississippi 
     Valley Division.
       6. One district will be transferred from the Southwestern 
     Division to the South Pacific Division.
       A briefing on the components of this plan will be provided, 
     if desired. Please contact the Director of Civil Works, 
     Headquarters, U.S. Army Corps of Engineers at (202) 761-0108 
     to request such a briefing.
       Furnished by: Office, Assistant Secretary of the Army 
     (Civil Works)

 U.S. ARMY CORPS OF ENGINEERS DIVISION RESTRUCTURING PLAN, Jan. 22, 1997
------------------------------------------------------------------------
             Current alignment                   Final configuration    
------------------------------------------------------------------------
                                                                        
Engineering and Support Center,             No change.                  
 Huntsville, Alabama.                                                   
Transatlantic Programs Center, Winchester,  No change.                  
 VA..                                                                   
    Transatlantic Programs Center                                       
     (Europe).                                                          
South Atlantic Division...................                              
    Mobile, Jacksonville, Savannah,         No change.                  
     Charleston, Wilmington.                                            
North Pacific Division....................                              
    Alaska, Portland, Seattle, Walla        North Pacific and Missouri  
     Walla.                                  River divisions combined to
                                             form the Northwestern      
                                             Division. Alaska District  
                                             transferred to POD.        
                                             Division HQ offices        
                                             retained in Omaha and      
                                             Portland, each with        
                                             regional deputy commander  
                                             and SES.                   
Missouri River Division...................                              
    Omaha, Kansas City.                     Omaha, Portland, Seattle,   
                                             Kansas City, Walla Walla.  
Pacific Ocean Division....................                              
    Honolulu, Far East (Korea), Japan.      Pacific Ocean Division.     
                                            Honolulu, Far East (Korea), 
                                             Japan, Alaska.             
New England Division......................  Division functions          
                                             eliminated; renamed New    
                                             England District (office   
                                             remains in Waltham).       
                                             Assigned to North Atlantic 
                                             Division.                  
North Atlantic Division...................                              
    New York, Philadelphia, Baltimore,      North Atlantic Division: New
     Norfolk.                                York, Philadelphia,        
                                             Baltimore, Norfolk, New    
                                             England.                   
Southwestern Division.....................                              
    Little Rock, Albuquerque, Fort Worth,   Southwestern Division:      
     Galveston, Tulsa.                       Albuquerque District       
                                             transferred to South       
                                             Pacific Division. Little   
                                             Rock, Fort Worth,          
                                             Galveston, Tulsa.          
South Pacific Division....................                              
    San Francisco, Sacramento, Los          South Pacific Division: San 
     Angeles.                                Francisco, Sacramento, Los 
                                             Angeles, Albuquerque.      
North Central Division....................                              
    Chicago, St. Paul, Rock Island,         Ohio River and North Central
     Detroit, Buffalo.                       divisions combined to form 
                                             the Great Lakes and Ohio   
                                             River Division. St. Paul   
                                             and Rock Island districts  
                                             transferred to Mississippi 
                                             Valley Division. Division  
                                             HQ offices retained in     
                                             Chicago and Cincinnati,    
                                             each regional deputy       
                                             commander and SES.         
Ohio River Division.......................                              
    Louisville, Huntington, Pittsburgh,     Louisville, Chicago,        
     Nashville.                              Pittsburgh, Nashville,     
                                             Buffalo, Huntington,       
                                             Detroit.                   
Lower Mississippi Valley Division.........                              
    Memphis, Vicksburg, New Orleans, St.    Mississippi Valley Division:
     Louis.                                  Memphis, Vicksburg, New    
                                             Orleans, St. Louis, Rock   
                                             Island, St. Paul           
------------------------------------------------------------------------



                                             
                                                                    ____
         International Federation of Professional and Technical 
           Engineers,
                                       Chicago, IL, July 21, 1997.
     Ms. Rochelle Sturtevant,
     Great Lakes Task Force, Office of Senator J. Glenn, U.S. 
         Senate, Washington, DC.
       Dear Ms. Sturtevant: The employees of the former North 
     Central Division are extremely grateful for the support 
     provided by Senator Glenn and the other representatives 
     within the Great Lakes Region. We are remiss in not passing 
     that sentiment on sooner. We waited because many feared what 
     General Ballard outlined was not what would occur. 
     Unfortunately, this appears to be the case.
       I want to share with you some correspondence with 
     significant implications for any continued presence, let 
     alone a full service, functional and decision making Great 
     Lakes Regional Office in Chicago.
       The first is a memo from the Chief of Engineers Lieutenant 
     General Joe Ballard, dated 27 May 1997, which approved the 
     Chicago Division Office as the Great Lakes Regional Office 
     under the Great Lakes and Ohio River Division (LRD). It 
     includes a request that the LRD Commander personally contact 
     LTG Ballard on designation of functional chiefs (where the 
     functional chiefs, i.e., Planning, Engineers, Construction 
     who will

[[Page E1531]]

     have most decision-making authority, will be located). Note 
     that the Chief made at least two of the decisions himself.
       The second item is Permanent Orders No. 29-1, from the 
     Headquarters Chief of Staff, dated 10 June 1997, which 
     directs that LRD will INITIALLY maintain two Division 
     Regional Headquarters, one of which is Chicago (emphases 
     added). Note that the Great Lakes Regional Office has its own 
     Unit Identification Code (UICs) while the Ohio River Regional 
     Headquarters has the same UICs as the Great Lakes and Ohio 
     River Division Office. That identifies that the Ohio River 
     Regional Headquarters and the Division Office are one and the 
     same.
       The third item is a memo from Colonel Jasen, the Acting 
     Commander of LRD, dated 23 June 1997. This memo formalizes 
     his decision designating the division POC's. Thirteen of the 
     functional chiefs are Cincinnati employees. Only two are 
     Chicago employees, Mr. Dwight Beranek and Mr. Mike Lee. Mr. 
     Beranek is an SES and could be transferred on short notice. 
     Mr. Lee is the contract administrator and does not make 
     decisions approving studies or projects. We question the 
     legality of creating a new division office and staffing it 
     non-competitively, with the only apparent qualification being 
     the state of residency.
       The last item is a May 7 e-mail memo from General Jeo 
     Ballard to General Albert Genetti in response to my May 2 e-
     mail message. Note that one month after implementation, the 
     Chief of Engineers already identifies that the two regional 
     office concept ``would not last forever.''
       Despite what we have been told, it appears that all future 
     decisions will be stacked against the Chicago office. The 
     decision making for the LRD will be controlled from 
     Cincinnati, and our ability to influence decisions on Great 
     Lakes projects and funding diminished. The number of Great 
     Lakes Regional Office employees will be reduced to 20-25. It 
     is questionable if we can be effective as such a small staff, 
     and it is probable that the Chicago Division office will 
     ultimately close. The new LRD Commander, General Van Winkle, 
     assumes command this week. He could reverse or at least 
     postpone the decision made by Colonel Jansen.
       We believe that the whole dual Regional Office concept was 
     simply a sham to allow the Chief of Engineers to transfer 
     half of our workload, and slash our budget allotment. It also 
     allowed time to drive employees out of our office with cash 
     incentives to retire or take early retirements. These actions 
     were taken before any consideration was given to what mission 
     this office would accomplish or what competencies would be 
     required. Our staff is being used to reduce the impact to 
     Ohio employees caused by the loss of Ohio's military 
     workload. By the time the truth becomes obvious to others, 
     the destruction of this office's capability to function will 
     be destroyed to the point that it will be irreversible. Of 
     course, the true intentions are more obvious to those of us 
     that see the continual indications of betrayal.
       For several years, the Great Lakes Region has fought to 
     keep this office open. Congress has rejected earlier plans 
     prepared by General Williams and his deputy, General Genetti, 
     as well as others. Congressional representatives were duped 
     into acceptance of a plan that had no facts to substantiate 
     it other than ``trust me'' we'll do what's right. At our 
     Townhall meeting, General Ballard proudly proclaimed that he 
     had no Corps experience. He was briefed on this issue by 
     General Williams and other HQUSACE staff members that had 
     long supported our closure. He made his decision in about one 
     month. General Genetti is currently General Ballard's Deputy 
     and is still available to continue to influence decisions. 
     General Genetti is also a former Ohio River Division 
     Commander and an excellent conduit to Colonel Jansen his 
     former deputy. General Van Winkle also has no Corps 
     experience and was briefed by his predecessor Colonel Jansen. 
     The deck was stacked from the start.
       We are looking to Senator Glenn, the Great Lakes 
     Congressional Task Force and Great Lakes Commission for 
     counsel on how we should proceed. Perhaps the Corps should be 
     asked to brief certain Representatives or staff, perhaps 
     slowing down the process while we collectively develop 
     language to be added to the next COE appropriations. The 
     language could note that the intention of Congress is to 
     preserve a functional, full service, decision making Corps 
     Division-level presence in Chicago to service the Great 
     Lakes.
           Thank you for your time.
                                                Duane A. Kowalski,
                                                        President.


     
                                                                    ____
                                                CECG, 27 May 1997.
     Memorandum for Commander, Great Lakes and Ohio River 
         Division.
     Subject: Division restructuring.
       1. Reference:
       a. Public Law 104-206.
       b. HQUSACE CECG memo dated 31 March 1997; Division 
     Restructuring Implementation Guidance.
       c. U.S. Army Corps of Engineers Great Lakes and Ohio River 
     Division Implementation Plan for Division Restructuring, 
     dated 2 May 1997.
       2. This headquarters has completed its review of the 
     restructuring plan submitted in reference 1c. Your plan is 
     approved for execution consistent with the comments which 
     follow.
       3. General comments for all division commanders:
       a. The pace of change. Each commander has presented a 
     timeline which aggressively implements the new organizational 
     structure. I appreciate the work that went into developing 
     your plans and commend all of you for the personal support 
     you are investing to ensure the plan becomes a reality. 
     However, I want to emphasize that there is no need to rush 
     into this restructuring. It is my intent that the pace of 
     transition to this new structure be deliberate and measured. 
     I want you to ensure we are properly taking care of our 
     people who may be impacted by these changes as well as keep 
     interested parties informed of our progress. So pace yourself 
     to do this right; it is more important that we do this smart 
     rather than fast.
       b. Resourcing. I also want to make it clear that I expect 
     real savings in General Expenses (GE) funding, GE full time 
     equivalent (FTE) staffing, and Operations and Maintenance, 
     Army (OMA) funding to emerge from this restructuring. Some 
     commanders have asked for staff increases. I am willing to 
     consider modest increases in specific situations where 
     individual division staff workload has truly been increased. 
     But these increases will be made in a zero-sum environment, 
     achieved through cross leveling throughout the Corps. There 
     will be no net increase in overall Corps staffing levels. You 
     need to understand and plan for the fact that division staffs 
     will likely decrease in size even more over the next few 
     years. Further guidance is provided in paragraph 4 below.
       c. Information management. The alignment of our automated 
     information systems (AIS) within the new organizational 
     structure is the most complex aspect of this restructuring. 
     We have identified 36 separate, Corps-wide systems that 
     require changes. Many of these are interconnected, sharing 
     data with external Department of Army systems and other Corps 
     systems. Converting these systems to the new EROC, UIC, and 
     office symbols will be time consuming and will directly 
     impact your execution timelines. I have appointed a taskforce 
     to determine the best way to accomplish this. This task force 
     will publish a detailed conversion schedule by mid-June. 
     Other AIS issues:
       (1) The CEAP cap and billing algorithm will remain as 
     currently structured for the remainder of FY97. The FY98 
     guidance will align billing with the new Division structure. 
     CEAP circuit relocations and upgrades will be based on 
     individual requirements of impacted Divisions.
       (2) For distress transferring from one division to another, 
     the transfer of FY97 AIS data and other electronic records 
     will be made to the gaining division. For divisions giving up 
     districts, plans must be developed to archive prior year AIS 
     data and electronic records at the current location (to 
     include the regional Omaha and Chicago offices). These plans 
     will be submitted along with the plan for records management 
     as requested in CEIM-IR memo, dated 4 April 1997, subject: 
     Division Restructuring Implementation--Records Management 
     Impact.
       (3) POC for information management issues is Ms. Cathy 
     Sheridan, CEIM-L, (202) 761-0468.
       d. FY99 Civil Works Operations and Maintenance roll-up. AIS 
     systems will not be converted to the new structure in time to 
     meet the FY99 Civil Works O&M Budget submittal suspense of 20 
     June. Consequently, districts who now report to a new 
     division headquarters will prepare their submittals in 
     coordination with that new division. Submittals will be made, 
     however, according to the old MSC structure. District and MSC 
     offices are currently engaged in putting their budget 
     submittals into the O&M Automated Budget System (ABS). The 
     budget will be arranged according to the new MSC 
     organizational structure by HQUSACE after the division budget 
     submittals have been received.
       4. Resourcing:
       a. Operations and Maintenance, Army (OMA): Fiscal Year 1997 
     OMA funds for division office staffing were distributed to 
     the MSCs at the beginning of the fiscal year. There are no 
     funds remaining in the headquarters for that purpose, nor 
     were any additional OMA funds appropriated specifically for 
     MSC restructuring. Further, Fiscal Year 1998 budget guidance 
     issued earlier this year depicts a 20 percent overall 
     reduction in funding compared with Fiscal Year 1997. Every 
     effort must be made to constrain operating costs within 
     current budgetary guidance. Any requirements over and above 
     the current budgetary guidance must be accommodated through 
     the Unfinanced Requirement (UFR) process through Resource 
     Management channels.
       b. General Expenses (GE): Fiscal Year 1998 GE funding and 
     staffing guidance has been developed based on headquarters 
     review of division restructuring plans, the President's 
     Budget request of $148 million, and projected outyear funding 
     levels. This FY 98 funding guidance as well as a five-year 
     resourcing plan will be provided under separate cover.
       c. Restructuring Costs ($000): Restructuring implementation 
     costs totaling $2.6 million Civil (GE) and $1 million 
     Military (OMA) were submitted. In some cases, requests for 
     funds duplicated or referred to requirements identified in 
     the joint GE/OMA Mid-Year Review. In other cases, 
     requirements were not clearly related to the restructuring 
     effort, and will require further review and coordination with 
     your staff to determine the appropriate source and level 
     funding needed as events unfold. The amounts shown for FY 97 
     will be allocated shortly, any additional requirements for FY 
     97 and FY 98 will require further justification incrementally 
     as funds

[[Page E1532]]

     are needed, such as the actual number and cost of approved 
     VERA/VSIPs, prior to allocation of funds. However, to the 
     extent funds are available, valid restructuring and related 
     costs will be funded. Additional requests should be presented 
     to the Directorate of Resource Management. ATTN: CERM-B, for 
     review and coordination.
       d. LRD specific GE and OMA staffing and restructuring 
     funding guidance:

------------------------------------------------------------------------
                                               FY 97           FY 98    
                                         -------------------------------
                                            FTE    $000     FTE    $000 
------------------------------------------------------------------------
Requested GE                                 N/A     209     145     650
Approved GE                               ......  \1\ 16                
                                                       0     121  \1\ 65
                                                                       0
Requested other civil                        N/A  ......      20  ......
Approved other civil                      ......  ......     TBD  ......
------------------------------------------------------------------------
\1\ Costs for ADP upgrades, new equipment purchases in FY 97 totaling   
  $149K and $500K for VERA/VSIPs in FY 98 need further review and       
  justification prior to funding. FY 97 amount excludes $97.3K requested
  for HR VSIP/VERA actions, which are to be funded as part of the Mid-  
  Year Review.                                                          

       e. The lead for coordinating FY98 FTE allocations to 
     districts being transferred to a new division is the 
     commander of the gaining division in coordination with the 
     commander of the losing division. Responsibility for 
     reallocation transfers to the gaining commander.
       f. POC for resourcing issues is Mr. Bronel Jerrell, CERM-B, 
     (202) 761-1104.
       5. Division specific issues.
       a. Dam safety: The plans do not discuss the activities 
     required for the transfer of division level Dam Safety 
     responsibilities. Since dam safety is an important function a 
     detailed dam safety transfer plan should be developed at the 
     earliest possible date and a copy of the plan furnished to 
     the HQUSACE Dam Safety Officer for information. The detailed 
     plan should address the 11 dams in the former North Central 
     Division that are being transferred to this division. A 
     portion of the plan should also address the 60 dams in the 
     St. Paul and Rock Island Districts that are being transferred 
     from the former North Central Division to the Mississippi 
     Valley Division. CECW-EP is available to assist as required. 
     POC is Mr. Charles Pearre, (202) 761-4531, or Mr. Robert 
     Bank, (202) 761-1660.
       b. Functional office chiefs. We have discussed the issue of 
     how and when to designate chiefs for your various functional 
     areas. Request you contact me personally to review your plans 
     for operating as one staff located in two locations.
       c. The Director of Resource Management will coordinate and 
     integrate the timing and structure of EROC code changes to 
     reflect the future division. Our short term policy will be to 
     retain separate EROC codes for each of the regional 
     headquarters. Our long term policy will be to move toward one 
     EROC code per commander for division headquarters. The AIS 
     team will recommend a time line which will coordinate and 
     integrate these changes with all of the other interrelated 
     AIS systems.
       6. POC, this headquarters, MG Russ Fuhrman, (202) 761-0099 
     or COL Rick Mogren, (202) 761-0108.

                                               Joe N. Ballard,

                                          Lieutenant General, USA,
                                                       Commanding.


     
                                                                    ____
                                       Department of the Army,

                                     U.S. Army Corps of Engineers,
                                    Washington, DC, June 10, 1997.
     Permanent Orders
     No. 29-1
     Restructure within the U.S. Army Corps of Engineers.
       Following organization/unit action directed:
       1. Action: Great Lakes and Ohio River Division (LRD) LTCs; 
     CEW072AA and CEW2SMAA. restructure will initially maintain 
     two Division Regional Headquarters: Great Lakes Regional 
     Headquarters (located in Chicago). UICs; CEW02208 and 
     CEW2SM08 and, Ohio River Regional Headquarters (located in 
     Cincinnati, UIC, CEW072AA and CEW2SMAA.
       Assigned to: Great Lakes and Ohio River Division, U.S. Army 
     Corps of Engineers.
       2. Action: Northwestern Division (NWD) UICs; CEW071AA and 
     CEW2SJAA restructure will initially maintain two Division 
     Regional Headquarters: North Pacific Regional Headquarters 
     (located in Portland), UICs; CEW071AA and CEW2SJAA and, 
     Missouri River Regional Headquarters (located in Omaha), 
     UICs; CEW07107 and CEW2SJ08. Assigned to: Northwestern 
     Division, U.S. Army Corps of Engineers
       Mission: Not Applicable
       Effective Date: 2 June 1997
       Military Structure Strength: NA
       Military Authorized Strength: NA
       Civilian Structure Strength: NA
       Civilian Authorized Strength: NA
       Accounting Classification: as provided by separate 
     directive.
       Authority: Public Law 104-206 and SECARMY approval of 
     Division Restructuring Plan.
       Special Instructions: EROCs and UICs will remain as 
     assigned in the initial implementation guidance until 
     conversion to one EROC and UIC for the division.
       Format: 740
       For the Commander.

                                                Otis Williams,

                                       Colonel Corps of Engineers,
                                                   Chief of Staff.


     
                                                                    ____
                                                    June 23, 1997.
     Memorandum for Record.
     Subject: Commander's action on VSIP/VERA for CELRD regional 
       offices, June 1997.
       1. The following records the Division Commander's decisions 
     and guidance related to granting of VSIP and VERA to 
     employees of the division regional offices in Chicago and 
     Cincinnati, and related matters as made in a meeting with key 
     staff on 12 June 1997.
       2. Decisions on VSIP and VERA.
       a. The effective date for all approved NLT 3 October 1997 
     unless otherwise indicated. Extension of effective dates for 
     those approved for VERA to 3 October 1997 is made under the 
     delegation of this authority.
       b. HQUSACE. CEHR-E memorandum, 5 April 1995 subject: DOD 
     Voluntary Early Retirement Authority (VERA).
       b. Specific actions.
       (1) Great Lakes Regional Office. Chicago.
       AITLAND, Esther: VSIP approved. Effective date not later 
     than 3 January 1998, earlier if possible. Mr. Beranek to 
     attempt to negotiate earlier date. Aitland's position is to 
     be abolished.
       BOCHANTIN, Bernard: VSIP and VERA approved. Bochantin's 
     position is to be abolished.
       CAVINESS, Marie: VSIP approved. Caviness's position is to 
     be abolished.
       CHIN, Bing: VSIP approved. Effective date not later than 3 
     January 1998, or earlier on Mr. Beranek's decision. Chin's 
     position is to be abolished.
       GILLILAND, Betty: VSIP approved. Mr. Beranek to determine 
     position to be abolished from within GL DETS. Surplus HR 
     employee is not to be placed in GL DETS or elsewhere in GL 
     Regional Office as a result of this VSIP; need to get total 
     numbers down, not moved around internally. See additional 
     guidance below.
       HAIDINYAK, Julie: VSIP approved. Haidinyak's position is to 
     be abolished.
       KANDL, Gregory: VSIP and VERA approved. Kandl's position is 
     to be abolished.
       KOWALKOWSKI, Lorraine: VSIP approved. Kowalkowski's 
     position is to be abolished.
     Subject: Commander's action on VSIP/VERA for CELRD Regional 
         Offices, 1998.
       LATORUNEY, Paul: VSIP approved. Latourney's position is to 
     be abolished.
       LEINTZ, Barbara: VSIP and VERA approved. Leintz's position 
     is to be abolished.
       LEONARD, Donald: VSIP approved. Mr. Beranek to make 
     recommendation to division commander on how to structure 
     Chicago office for future end-state structure. However, the 
     Chief of DETS Engineering Division will be in OR Regional 
     Office, Mr. Beranek will be the division Director of 
     Engineering and Technical Services.
       LISUZZO, Gactano: VSIP and VERA approved. Lisuzzo's 
     position is to be abolished.
       METZ, Anada: VSIP and VERA approved. Metz's position is to 
     be abolished.
       MUELLER, Jewell: VSIP approved. Mueller's position is to be 
     abolished.
       OKONSKI, Jerome: VSIP approved. Effective date not later 
     than 3 January 1998. Okonski's position is to be abolished. 
     Director of Program Management to make recommendation of 
     division commander on future end-state structure. Director of 
     Program Management will be in OR Regional Office and will be 
     director for division.
       ORDONEZ, Jose: VSIP approved. Ordonez's position is to be 
     abolished.
       PRITCHARD, Barry: VSIP approved. Pritchard's position is to 
     be abolished. Mr. Steiner will be the Planning Division Chief 
     for the division.
       SMITH, Robert: VSIP approved. Smith's position is to be 
     abolished.
       SORENSON, Rosa: VSIP and VERA approved. Sorenson's position 
     is to be abolished.
       WESTALL, William: VSIP approved. Westall's position is to 
     be abolished.
       (2) Ohio River Regional Office, Cincannati.
       EBERHARDT, Berry Mae: VSIP approved. Eberhardt's position 
     is to be abolished.
       EMMERICH, John: VSIP approved. Emmerich's position is to be 
     abolished.
       GOLLADAY, Walter: VSIP and VERA approved. IM staff (between 
     two offices, to be reduced by one.)
       GREGORY, Phyllis: Disapproved. Key position as CEFMS 
     coordinator, cannot afford to lose her expertise at this 
     critical time.
       HUGENBERG, Thomas: VSIP and VERA approved. Effective date 
     not later than 21 November 1997. Hugenberg's position is to 
     be abolished.
       JAMES, Jackie: Disapproved. Chief of Audit position will be 
     in end-state structure in all likelihood. As both Chief 
     Auditors have applied, under DOD policy the one with the 
     senior Service Computation Date must be approved first. 
     Therefore VSIP and VERA were approved for Mr. Batburney and 
     disapproved for Mr. James.
       PERRY, Norman: VSIP approved. Mr. Mello's position is to be 
     abolished and be reassigned to Mr. Perry's position. 
     Effective date to be not later than 3 January 1998.
       STRACHN, Donna: VSIP and VERA approved. Effective date to 
     be not later than 3 January 1998. Strachn's position is to be 
     abolished and duties to be combined with Executive Liaison 
     position, to include supervision over Public Affairs 
     Specialists in both regional offices.
       SUPPLE, Mary: VSIP approved. Ms. Rosario's position in 
     Resource Management is to be abolished. Messrs. Basham, 
     Gibson, and White to decide how duties being performed by Ms. 
     McAlister, Rosario and Supple to be combined into remaining 
     positions in the trade directorates.
       TOWNSEND, John: VSIP and VERA approved. Townsend's position 
     is to be abolished.
       3. Other commander's decisions guidance:
       a. As the above actions are effected, the remaining staff 
     principles will be designated as

[[Page E1533]]

     the division staff officer for both regions and all seven 
     districts. This includes the following directors/office 
     chiefs: (RM action to officially designate)
       Programs Management--Mr. Michael White (pending assignment/
     selection of an SES to the position).
       Engineering and Technical Services--Mr. Dwight Beranek; 
     Planning Division--Mr. Daniel Steiner, Engineering Division--
     To be recruited with duty location in Ohio River Regional 
     Office, Cincinnati, Real Estate Division--Mr. Dominick Lijoi.
       Audit--Mr. Jackie James.
       Contracting--Mr. Michael Lee (Chicago).
       Division Counsel (approved by the Chief of Engineers)--Mr. 
     Terry Kelley.
       Equal Employment Opportunity Officer--Ms. Juleana Frierson.
       Human Resources--Mr. William St. John.
       Information Management--Mr. Walter Golladay.
       Logistics Management--Mr. Gary Thomson.
       Provost Marshal/Inspector General--MAJ Joanne Dewberry.
       Public Affairs--Ms. Donna Strachn (until retirement, then 
     combined as indicated above).
       Resource Management (as approved by the Chief of 
     Engineers)--Mr. Paul Gibson.
       c. I previously made the decision to abolish all Human 
     Resources (HR) positions in the former NCD operating HR 
     office and conduct a Reduction in Force (RIF); HR employees 
     in that office will be afforded bump and retreat rights under 
     RIF to occupied positions only. All positions in the Great 
     Lakes Regional Office which are not presently permanently 
     encumbered by an employee will be officially abolished along 
     with those indicated above.
       d. Mr. Michael Loesch from GL Regional Office is to be 
     offered the position in OR DETS, Construction-Operations 
     Division vice Sherm Gee.
       e. Mr. Timothy Monteen is to be offered a management 
     directed reassignment to the OR DETS, Construction-Operations 
     position vice Dave Patuson.

                                          Alexander R. Jansen,

                                      Colonel, Corps of Engineers,
                                                       Commanding.


     
                                                                    ____
       General Ballard: I am writing regarding a problem that has 
     developed during the writing of the Corps' division 
     restructuring plans. The problem is the perception that 
     Regional Offices in Chicago and Omaha are subservient to 
     their co-regional office.
       The perception is caused by a general lack of information 
     or communication to the divisions, and HQUSACE staff. The 
     staff in Cincinnati has not had a Town Hall meeting to 
     explain the dual regional office concept or the transition 
     plan. One staff member was reported as saying something to 
     the effect of ``We have 90 new employees and don't know what 
     to do with them''. The transition teams have worked together 
     to prepare a plan that should be acceptable to all.
       However our sense of well being falters when we hear 
     statements that are opposite of what we heard from you. What 
     is even worse, is receiving correspondence from HQUSACE that 
     does not exhibit the intent of the restructuring plan. One 
     such example was the 31 Mar 1997 memo on Restructuring 
     Implementation Instructions which identified Office Symbols, 
     EROC's and UIC's for Corps offices. There was no 
     organizational element identified as the Ohio River Regional 
     Office. We understand that those concerns were heard, 
     understood and being acted upon.
       The worst example of HQUSACE insensitivity to this issue is 
     the Corps' Home Page on the Internet. Again, there is a Great 
     Lakes Regional Office in Chicago. But, no mention of a 
     Regional Office in Cincinnati, only the Great Lakes Ohio 
     River Division Office.
       We have taken you at your word and hope that these are only 
     errors of ignorance, and that the Home Page has not been 
     corrected due to other IM efforts required to implement your 
     restructuring plan. Perhaps a few words to the HQUSACE Chief 
     of Information Management would clarify the perception the 
     Home Page gives to all that see it, and identify it as a high 
     priority item.
           Thank you for your assistance.

                                            Duane A. Kowalski,

                                                        President,
                                                 Local 777, IFPTE.