Defense Infrastructure: DOD Funding for Infrastructure and Road  
Improvements Surrounding Growth Installations (01-APR-08,	 
GAO-08-602R).							 
                                                                 
The Department of Defense (DOD) is simultaneously implementing a 
number of force realignments that contribute to personnel growth 
at military installations throughout the United States. DOD plans
to execute over 800 actions from the 2005 Base Realignment and	 
Closure (BRAC) round, which entail relocating over 123,000	 
personnel. Concurrent with its BRAC 2005 actions, DOD is also	 
implementing or planning to implement other extensive worldwide  
transformation initiatives, which include relocating about 50,000
soldiers primarily from Europe and Korea to the United States;	 
transforming the Army's force structure from an organization	 
based on divisions to more rapidly deployable, brigade-based	 
units (known as Army modularity); and increasing its active duty 
end strength by 92,000, all of which will affect DOD's facilities
infrastructure. These force realignments will result in dramatic 
growth at some DOD installations across the United States. Based 
on data provided by the services, the DOD Office of Economic	 
Adjustment (OEA) had identified, as of January 2008, 20 locations
where expected growth as a result of force realignments in fiscal
years 2006 through 2012 will adversely affect surrounding	 
communities. The National Defense Authorization Act for Fiscal	 
Year 2008 mandated that we assess the impact on military	 
installations caused by an increase in assigned forces or	 
civilian personnel as a result of the 2005 BRAC or other force	 
realignments. Our specific objectives were to (1) determine	 
whether military facility requirements (including quality-of-life
projects) will be met before the arrival of assigned forces and  
(2) determine whether DOD has programmed sufficient funding to	 
mitigate community traffic congestion in accordance with the	 
Defense Access Roads (DAR) program.				 
-------------------------Indexing Terms------------------------- 
REPORTNUM:   GAO-08-602R					        
    ACCNO:   A81491						        
  TITLE:     Defense Infrastructure: DOD Funding for Infrastructure   
and Road Improvements Surrounding Growth Installations		 
     DATE:   04/01/2008 
  SUBJECT:   Base realignments					 
	     Construction contracts				 
	     Cost analysis					 
	     Defense economic analysis				 
	     Eligibility criteria				 
	     Evaluation criteria				 
	     Federal aid for highways				 
	     Federal facilities 				 
	     Force structure					 
	     Funds management					 
	     Internal controls					 
	     Military facilities				 
	     Military facility construction			 
	     Military forces					 
	     Military personnel 				 
	     Population growth					 
	     Program evaluation 				 
	     Public roads or highways				 
	     Traffic regulation 				 
	     Cost estimates					 
	     Defense Access Road Program			 
	     DOD Base Realignment and Closure Program		 

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GAO-08-602R

   

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United States Government Accountability Office: 
Washington, DC 20548: 

April 1, 2008: 

Congressional Committees: 

Subject: Defense Infrastructure: DOD Funding for Infrastructure and 
Road Improvements Surrounding Growth Installations: 

The Department of Defense (DOD) is simultaneously implementing a number 
of force realignments that contribute to personnel growth at military 
installations throughout the United States. DOD plans to execute over 
800 actions from the 2005 Base Realignment and Closure (BRAC) round, 
which entail relocating over 123,000 personnel. Concurrent with its 
BRAC 2005 actions, DOD is also implementing or planning to implement 
other extensive worldwide transformation initiatives, which include 
relocating about 50,000 soldiers primarily from Europe and Korea to the 
United States;[Footnote 1] transforming the Army's force structure from 
an organization based on divisions to more rapidly deployable, brigade-
based units (known as Army modularity); and increasing its active duty 
end strength by 92,000,[Footnote 2] all of which will affect DOD's 
facilities infrastructure. These force realignments will result in 
dramatic growth at some DOD installations across the United States. 
Based on data provided by the services, the DOD Office of Economic 
Adjustment (OEA) had identified, as of January 2008, 20 locations where 
expected growth as a result of force realignments in fiscal years 2006 
through 2012[Footnote 3] will adversely affect surrounding communities. 

The National Defense Authorization Act for Fiscal Year 2008[Footnote 4] 
mandated that we assess the impact on military installations caused by 
an increase in assigned forces or civilian personnel as a result of the 
2005 BRAC or other force realignments. Our specific objectives were to 
(1) determine whether military facility requirements (including 
quality-of-life projects) will be met before the arrival of assigned 
forces and (2) determine whether DOD has programmed sufficient funding 
to mitigate community traffic congestion in accordance with the Defense 
Access Roads (DAR) program. 

The DAR program provides a method for DOD to pay for public highway 
improvements required as a result of sudden or unusual defense-
generated traffic impacts. According to DOD Transportation Engineering 
Program guidance, when the commander of a DOD installation determines 
that improvements to a public road are needed, it is the responsibility 
of that commander to bring deficiencies to the attention of the 
appropriate state or local transportation authority.[Footnote 5] In 
cases where the owning transportation authority cannot or will not 
correct the deficiency, the installation commander can request the 
improvements under the DAR program. Within DOD, the Military Surface 
Deployment and Distribution Command [Footnote 6] is responsible for 
determining whether such transportation projects meet the DAR program 
criteria and ensuring the proper execution of eligible projects. 
Projects are eligible for funding if they meet one of the following 
criteria[Footnote 7]: 

* A new access road to an installation is needed to accommodate a 
defense action. 

* A defense action causes traffic to double. 

* A new or improved access road is needed to accommodate a temporary 
surge in traffic to or from an installation because of a defense 
action. 

* A new or improved access road is needed to accommodate special 
military vehicles, such as heavy equipment transport vehicles. 

* A replacement road is required for one closed because of military 
necessity. 

If the Military Surface Deployment and Distribution Command determines 
that a request meets DAR program eligibility criteria, the services are 
responsible for requesting funding for those projects in their military 
construction appropriations. 

Summary: 

While DOD has made progress in initiating construction of military 
facilities to accommodate growth, it is too early to determine whether 
all required facilities will be constructed prior to arrival of 
assigned forces because contracts must still be let, the progress of 
construction may affect timelines for the arrival of forces, and the 
services are still requesting or expecting to request $6.4 billion in 
funding. At the 11 installations we reviewed, representing over 85 
percent of expected population growth, the Army, Navy, and Marine Corps 
have received about $7.3 billion for fiscal years 2006 through 2008 for 
growth-related construction projects, which is approximately 54 percent 
of the total estimated funding requirement for growth related 
construction at those installations through 2011. As of March 2008, at 
the 11 installations we reviewed contracts have been awarded for 
approximately $4.1billion--about 56 percent of the available funds--and 
base officials plan to award contracts for most of the remaining funds 
in fiscal year 2008. The services have requested or plan to request 
just under $6.4 billion in funding to implement remaining growth: the 
services have requested about $4.2 billion in fiscal year 2009, and 
plan to request $2 billion in fiscal year 2010 and $196 million in 
fiscal year 2011 for growth-related projects at the installations 
included in our review. 

DOD has requested funding for off-base road improvements around growth 
installations for all projects that met the DAR program criteria and 
the DAR program office had already completed the assessment process at 
the time of our review. As of March 2008, DOD had requested $36.2 
million for one project under the DAR program. In addition, four other 
projects totaling just over $37.7 million were still being assessed by 
the installation or DAR program officials to determine whether they 
meet DAR eligibility criteria. Although other off-base road 
improvements around growth installations have also been identified, few 
of these projects meet the criteria for funding under the DAR program 
and consequently will need other sources of funds. Generally, state and 
local government support is the primary means by which these off-base 
road improvements to mitigate traffic congestion at growth 
installations are funded. At the time of our review, base officials 
estimated that state and local governments were funding or plan to fund 
just over $657 million in growth related off-base road improvements 
around the 11 installations included in our review. 

Scope and Methodology: 

We selected 11 of the 20 locations that DOD's OEA had identified that 
will experience significant growth as a result of BRAC and other major 
force realignments from fiscal year 2006 through fiscal year 2012. We 
chose the OEA-identified impact locations as a starting point because 
of OEA's position as DOD's primary source for assisting communities 
affected by defense actions, including base realignments and closures. 
The population at the 11 installations we selected is projected to 
increase by 25 percent or more and represents over 85 percent of the 
total estimated population growth across all 20 installations 
identified by OEA.[Footnote 8] 

To determine whether military facility requirements will be met before 
the arrival of assigned forces, we reviewed data on funding for planned 
growth implementation construction in fiscal years 2006 through 2011 
for each of the 11 growth installations we evaluated. We analyzed these 
data to determine the progress of contract awards and estimated 
completion dates for planned construction projects. 

To determine whether DOD has programmed sufficient funding to mitigate 
community traffic congestion under the DAR program, we reviewed the 
military services' military construction budget requests for fiscal 
years 2006 through 2011 and interviewed officials from the 11 growth 
installations we selected to determine the extent to which DOD had 
programmed or planned to request funding for off-base road improvements 
and the extent to which these projects would be completed prior to the 
arrival of realigned personnel. We discussed our analysis with the 
Military Surface Deployment and Distribution Command at Fort Eustis, 
Virginia, and officials from each affected installation. Finally, we 
interviewed state and local officials from 10 of 11 of the affected 
communities to obtain their views on DOD efforts to mitigate any 
projected off-base traffic congestion related to the increase in base 
population. We conducted this performance audit from January 2008 
through March 2008 in accordance with generally accepted government 
auditing standards. Those standards require that we plan and perform 
the audit to obtain sufficient, appropriate evidence to provide a 
reasonable basis for our findings and conclusions based on our audit 
objectives. We believe the evidence obtained provides a reasonable 
basis for our findings and conclusions based on our audit objectives. 

Agency Comments: 

In commenting on a draft of this report, DOD provided technical 
comments, which we incorporated as appropriate. 

We are sending copies of this report to the Secretaries of Defense, the 
Army, and the Navy and the Director, Office of Management and Budget. 
This report will also be available at no charge on our Web site at 
[hyperlink, http://www.gao.gov]. 

If you or your staff have any questions about this report, please 
contact me at (202) 512-4523 or [email protected]. Contact points for our 
Offices of Congressional Relations and Public Affairs may be found on 
the last page of this report. Key contributors to this report were Mike 
Kennedy, Assistant Director; Frank Cristinzio; Julie Matta; and Robert 
Poetta. 

Signed by: 

Brian Lepore: 
Director, Defense Capabilities and Management: 

Enclosure: 

List of Committees: 

The Honorable Carl Levin:
Chairman:
The Honorable John McCain:
Ranking Member:
Committee on Armed Services:
United States Senate: 

The Honorable Daniel K. Inouye:
Chairman:
The Honorable Ted Stevens:
Ranking Member:
Subcommittee on Defense:
Committee on Appropriations:
United States Senate: 

The Honorable Ike Skelton:
Chairman:
The Honorable Duncan L. Hunter:
Ranking Member:
Committee on Armed Services:
House of Representatives: 

The Honorable John P. Murtha, Jr.
Chairman:
The Honorable C.W. Bill Young:
Ranking Member:
Subcommittee on Defense:
Committee on Appropriations:
House of Representatives: 

[End of correspondence] 

Enclosure: Briefing Slides: 

GAO Observations on DOD Funding for Military Infrastructure and Road 
Improvements Surrounding Growth Installations: 

Briefing to Congressional Committees: 

April 1, 2008: 

Briefing Outline: 

* Objectives, Scope, and Methodology: 

* Background; 

* Objective #1: Growth-Related Construction: 

* Objective #2: Funding for Road Improvements under the Defense Access 
Road Program. 

[End of Briefing Outline] 

Objectives: 

The 2008 National Defense Authorization Act mandated that GAO examine 
military installations significantly impacted by an increase in 
assigned forces or civilian personnel as a result of the 2005Base 
Realignment and Closure (BRAC) round or other force realignments. 

* Key questions: 

1. Will military facility requirements be met before the arrival of 
assigned forces? 

2. Has the Department of Defense (DOD) programmed sufficient funding to 
mitigate community traffic congestion in accordance with the Defense 
Access Road (DAR) program? 

Scope and Methodology: 

The Office of Economic Adjustment, DODï¿½s primary activity for assisting 
communities adversely impacted by defense program changes, including 
base closures and realignment, identified 20 military installations 
where surrounding communities are expected to be significantly impacted 
by growth as a result of BRAC and other force structure initiatives. 

We selected 11 installations that are projected to grow by 25 percent 
or more, which represent over 85 percent of the total overall estimated 
growth. 

To determine the extent to which military facility requirements 
(including quality of life) will be met before the arrival of assigned 
forces we reviewed: 

* planned growth implementation construction projects and; 

* data on the progress of contract award and project completion dates. 

To determine the extent to which DOD considered the impact of growth on 
off-base traffic we: 

* reviewed military construction budget data and; 

* interviewed DAR program, installation, and state and local officials. 

We conducted this performance audit from January 2008 through March 
2008 in accordance with generally accepted government auditing 
standards. Those standards require that we plan and perform the audit 
to obtain sufficient, appropriate evidence to provide a reasonable 
basis for our findings and conclusions based on our audit objectives. 
We believe the evidence obtained provides a reasonable basis for our 
findings and conclusions based on our audit objectives. 

Background: DOD Installations Projected to Grow by 25 Percent or More: 

Table: 

Facility: Fort Bliss, TX; 
Fiscal year 2006 beginning population (10/1/2005): 19.500; 
Fiscal year 2013 beginning population (10/1/2012): 46,500; 
Estimated net gain in population: 27,000; 
Percentage population gain: 138. 

Facility: Fort Belvoir, VA; 
Fiscal year 2006 beginning population (10/1/2005): 19,600; 
Fiscal year 2013 beginning population (10/1/2012): 45,200; 
Estimated net gain in population: 25,600; 
Percentage population gain: 131. 

Facility: Fort Riley, KS; 
Fiscal year 2006 beginning population (10/1/2005): 14,900; 
Fiscal year 2013 beginning population (10/1/2012): 25,200; 
Estimated net gain in population: 10,300; 
Percentage population gain: 69. 

Facility: Fort Lee, VA; 
Fiscal year 2006 beginning population (10/1/2005): 13,000; 
Fiscal year 2013 beginning population (10/1/2012): 20,100; 
Estimated net gain in population: 7,100; 
Percentage population gain: 55. 

Facility: Fort Sam Houston, TX; 
Fiscal year 2006 beginning population (10/1/2005): 21,400; 
Fiscal year 2013 beginning population (10/1/2012): 31,400; 
Estimated net gain in population: 10,000; 
Percentage population gain: 47. 

Facility: Fort Carson, CO; 
Fiscal year 2006 beginning population (10/1/2005): 23,000; 
Fiscal year 2013 beginning population (10/1/2012): 32,800; 
Estimated net gain in population: 9,800; 
Percentage population gain: 43. 

Facility: Fort Benning, GA; 
Fiscal year 2006 beginning population (10/1/2005): 39,800; 
Fiscal year 2013 beginning population (10/1/2012): 55,700; 
Estimated net gain in population: 15,900; 
Percentage population gain: 41. 

Facility: Marine Corp Base Quantico, VA; 
Fiscal year 2006 beginning population (10/1/2005): [A]; 
Fiscal year 2013 beginning population (10/1/2012): 22,700; 
Estimated net gain in population: 6,200; 
Percentage population gain: 38. 

Facility: Fort Lewis, WA; 
Fiscal year 2006 beginning population (10/1/2005): 34,600; 
Fiscal year 2013 beginning population (10/1/2012): 47,500; 
Estimated net gain in population: 12,900; 
Percentage population gain: 37. 

Facility: Navy Medical Center Bethesda, MD; 
Fiscal year 2006 beginning population (10/1/2005): [A]; 
Fiscal year 2013 beginning population (10/1/2012): 7,000; 
Estimated net gain in population: 1,700; 
Percentage population gain: 33. 

Facility: Fort Bragg, NC; 
Fiscal year 2006 beginning population (10/1/2005): 55,800; 
Fiscal year 2013 beginning population (10/1/2012): 72,000; 
Estimated net gain in population: 16,200; 
Percentage population gain: 29. 

Source: GAO analysis of Army Headquarters and Navy installation data. 

[A] Fiscal year 2006 beginning population data not available. Estimated 
net gain in population based on fiscal year 2007 beginning population 
of 16,500 at Marine Corps Base Quantico and a fiscal year 2008 
beginning population of 5,200 at Navy Medical Center Bethesda. 

[End of table] 

Background: DAR Program: 

The DAR program provides a method for DOD to pay for public highway 
improvements required as a result of sudden or unusual defense-
generated traffic impacts. 

Projects may be eligible for funding under five criteria: 

* A new access road to a facility is needed. 

* A defense action causes traffic to double. 

* A new or improved access road is needed to accommodate a temporary 
surge in traffic due to a defense action. 

* A new or improved access road is needed to accommodate special 
military vehicles. 

* A road is needed to replace one closed for defense needs. 

Base commanders must request that off-base road improvements be 
assessed by the DAR program office against the eligibility criteria. 
The services use Military Construction Appropriation funds for DAR 
projects. 

Objective #1: Growth Related Construction: 

DOD has made progress in initiating construction of military facilities 
to accommodate growth. 

It is too early to determine whether all required facilities will be 
constructed prior to the arrival of assigned forces because: 

* contracts must still be let; 

* progress of construction may affect time lines for the arrival of 
forces; and; 

* only a portion of funding for growth related construction has been 
received. 

At the 11 installations we reviewed, the Army, Navy, and Marine Corps 
have received about $7.3 billion in fiscal years 2006 through 2008 for 
growth-related construction projects, which is about 54 percent of the 
total estimated funding requirement for growth-related construction at 
those installations through fiscal year 2011. 

As of March 2008, at the 11 installations we reviewed contracts have 
been awarded for approximately $4.1 billionï¿½about 56 percent of the 
fiscal years 2006 through 2008 available funds. Base officials plan to 
award contracts for most of the remaining funds in fiscal year 2008. 

As of March 2008, the services are still requesting or expecting to 
request about $6.4 billion in funding for growth related construction 
at the installations included in our review. This includes about $4.2 
billion requested for fiscal year 2009, and $2.0 billion for fiscal 
year2010 and $196 million for fiscal year 2011 the services plan to 
request. 

[End of Objective #1] 

Objective #2: DAR Program Funding: 

DOD has requested funding for off-base road improvements around growth 
installations for all projects that met the DAR program criteria and 
had completed the assessment process by the DAR program office at the 
time of our review. 

Other off-base road improvements around growth installations have also 
been identified. However, few of these projects meet the criteria for 
funding under the DAR program. 

Four growth installations have identified the need for a DAR program 
project. As of March 2008, funds have been budgeted for only one 
project. 

* The Armyï¿½s fiscal year 2009 budget request includes $36.2 million for 
one growth-related road project to provide a new access road to Fort 
Belvoir, Virginia. If approved by Congress, base officials expect this 
project to be completed by the end of fiscal year 2010. 

* Four installations have projects that base officials have submitted 
or are planning to submit in the future: 
- Fort Lee has a $4.5 million project based on doubling of traffic; 
- Fort Bliss has a $7.2 million project for a new access road; 
- Fort Carson has a $1 million project for a new access road; 
- Fort Bragg has a $25 million project for a replacement road. 

Objective #2: Many Identified Off-Base Road Improvements Do Not Meet 
DAR Program Eligibility Criteria: 

Although other off-base road improvements around growth installations 
have also been identified, few of these projects meet the criteria for 
funding under the DAR program and need other sources of funds. Fort 
Belvoir submitted 13 projects to the DAR program office. However, DAR 
program and base officials noted that some of these projects did not 
meet DAR program criteria because they were either not off-base 
projects, were transit projects (which historically have not been 
funded by the DAR program), did not meet the doubling of traffic 
eligibility criteria, or provide new access to the installation. 

Fort Lee officials submitted five projects to the DAR program office. 
However, only one met the DAR program criteria for doubling of traffic. 
Base officials stated that they submitted all projects because they 
wanted to demonstrate to the local community that they are willing try 
to meet part of the off-base transportation needs associated with 
defense-related growth. 

Objective #2: State and Local Government Funding of Road Improvements: 

Generally, state and local government support is the primary means by 
which these off-base road improvements to mitigate traffic congestion 
at growth installations are funded. 

* At Fort Bliss, the Texas Department of Transportation has 
approximately $360 million of work in progress to improve a major 
roadway that allows traffic to bypass the Fort Bliss area. This project 
is expected to be completed by August 2010. 

* At Fort Carson, the Colorado Department of Transportation has three 
projects under way or planned, at a total estimated cost of $70 million 
to mitigate increases in traffic at existing or new gates. All three 
projects are expected to be completed by 2010. 

* At Fort Benning, the Georgia Department of Transportation plans to 
begin approximately $48 million in improvements to a major interstate 
that provides primary access to Fort Benning. This project is expected 
to be completed in the summer of 2009. 

* At Fort Lee, state and local governments are funding approximately 
$6.8 million in road and intersection improvements to an access road. 
This project is expected to be completed by 2012. 

* At Fort Belvoir, state and local governments are funding an extension 
of a major roadway to provide access roads to a growth area of the base 
at an estimated cost of $114 million. Fort Belvoir officials expect 
this project to be completed by the end of fiscal year 2010. 

* At Fort Sam Houston, the Texas Department of Transportation and the 
City of San Antonio are funding approximately $13.6 million in road and 
bridge improvements to a major base access road. This project is 
expected to be completed by 2011. 

* At Navy Medical Center Bethesda, the state government is funding 
approximately $45 million in improvements to off-base intersections. 

* At Fort Riley, the Kansas Department of Transportation is expected to 
fund a project to widen a section of a major highway that provides 
access to the base. 

* At Fort Bragg, the North Carolina Department of Transportation will 
provide funds for part of a project to move an access road off base. 
The DAR program office is negotiating with the state of North Carolina 
to determine the DOD share of funding for this project. 

[End of Briefing Slides] 

Footnotes: 

[1] About 15,000 of these soldiers are included in the 123,000 
personnel mentioned above. The Army plans to relocate the remaining 
soldiers in realignment actions not related to BRAC. 

[2] The Army plans to seek an increase in its active duty end strength 
of 65,000 and the Marine Corps plans to seek an increase in active duty 
end strength of 27,000 over the next several years. 

[3] OEA is working with six additional installations that may be added 
to the list of growth installations. 

[4] Pub. L. No. 110-181, ï¿½ 2709 (2008). 

[5] DOD Transportation Engineering Program, Washington, D.C., November 
17, 2003. 

[6] The Military Surface Deployment and Distribution Command is the DOD 
focal point for ensuring cooperation between DOD and civil authorities 
on defense use of public highways. 

[7] Federal Highway Administration Federal-Aid Policy Guide 
nonregulatory supplement, December 9, 1991. 

[8] OEA is working with six additional installations that may be added 
to the list of growth installations. 

[End of section] 

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