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HomeMy WebLinkAboutMINUTES - 11141995 - C82 Contra To: BOARD OF SUPERVISORS Costa FROM: Supervisor Tom Torlakson County DATE: November 14, 1995 SUBJECT: ENDORSE POSITION PAPER BY THE BAY AREA DEFENSE CONVERSION ACTION TEAM TO IMPROVE THE BASE CONVERSION PROCESS. SPECIFIC REQUEST(S)OR RECOMMENDATION(S)AND JUSTIFICATION RECOMMENDED ACTION: (1) Endorse the position paper(attached) by the Bay Area Defense Conversion Action Team (BADCAT) entitled, "Expediting Economic Development on Closing Bay Area Military Bases: A Proposal to Improve the Base Conversion Process." (2)Authorize the Chair to send a letter in behalf of the Board of Supervisors to our State legislative delegation and key federal officials outlining the Board's support for the position paper. (Please reference attached list.) (3) Direct the County Administrator's Office to send copies of the support letters to BADCAT, which is managed by the Bay Area Economic Forum. BACKGROUND INFORMATION: The Bay Area faces both the greatest number of military base closures and the most severe economic impacts. Over 15% of the national base closures and 30% of the national civilian job losses resulting from the closures will occur in the Bay Area. Additionally, the Navy estimates that approximately$1.05 billion will be lost to the Bay Area from the closure of just the naval facilities. The Bay Area Defense Conversion Team was established to produce a comprehensive regional action program which maximizes economic leveraging, minimizes duplication, and generates greater resources in addressing other human, community and environmental needs. BADCAT has identified a number of obstacles to the economic conversion of the Bay Area's closing military bases. It is important that our federal officials are informed about these obstacles and that there is a broad base of support throughout the Bay Area for improving the current base conversion process. CONTINUED ON ATTACHMENT:_ YES SIGNATURE. RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S) ACTION OF BOARD ON November 14, 1995 APPROVED AS RECOMMENDED: g OTHER: HEREBY CERTIFY THAT THIS IS A TRUE AND CORRECT COPY OF AN ACTION TAKEN AND ENTERED ON THE MINUTES OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. ATTESTED November 14, 1995 PHIL BAT R,CLERK OF THE BOARD OF SUP SO D COUNTY ADMI T VOTE OF SUPERVISORS: BY DEPUTY X _ UNANIMOUS(ABSENT ------- ) AYES: NOES: ABSENT: ABSTAIN* cc: Supervisor Torlakson County Administrator BADCAT BAY AREA EXPEDITING ECONOMIC DEVELOPMENT ECONOMIC ON: > , I~ 0 R U M CLOSING BAY AREA MILITARY BASES: A of rt pf the rAssociationencs A PROPOSAL TO IMPROVE of 6rJy Arta Governments and the Bay Arta Council THE BASE CONVERSION PROCESS Bay Area Defense BACKGROUND Conversion Action Team The Bay Area faces the greatest number of military base closures anywhere Partners in the nation. During the past seven years base closures targeted for the II(•I1rtLe4"--It,miuttr Bay Area comprise almost 15 percent of the national total. Additionally, of I'tfran atxi Regional Ih•rrirq,nirni over 30 percent of the total national civilian job losses resulting from Far)Bal c+�:: n sand Ilrinsrstn,rrr` military base closures will hit the Bay Area in the upcoming years. Bas arra Ifni) Specifically, 29,000 of the 75,000 national civilian job losses resulting 110%.TransilkmOnridinatnr'aOffice from militarybase closures will occur in the Ba Area. The 1995 proposed C:ity,rrf,aklaud y osed 13 p Oakland Base("no%rrsi.m 14,pn1 base closures will increase the impact on the Bay Area. Office of FA'Inamuc Dr,-4 lmornt Can Francisco Br•drsrkgmir•nl Agrmc). Alameda(•rant, The magnitude of these base closures coupled with the effects on former FA'»nm„r Ifrcrkq%nr n Advisory Board base employees and their families, local communities and businesses, and 01y of Alanteda As..iali..o of Day A,ra G-ernn,rnts the Bay Area economy requires that the base conversion process support, Ilan Arra Council rather than inhibit, local and regional efforts to convert the appropriate City of Vallr;n military land and facilities into productive real estate. In their present state t.nnnaakla d.Sharrprirrntlkfonnxni most military base land and facilities have little economic value to the tJakiarrd Sharing ifrr\'is&m C'ily ofCrmnyvale federal government, local communities or private sector investors and Urban Iand Insular businesses. Contamination of the bases delays title transfer long after the Iarnixta Alpha bases have been closed. Leasing facilities during the interim and potential Pacific(:as and Flectric Crm,pany permanent reuse are very difficult because buildings and other structures, Ke%•er klarslnrt Asaxratrs.Inc. utilities and roads do not conform to state and local standards. Thr 1llanin Gt•agr SF R Fast Bay 0.alsfe" American Iu more,[Arrhilrrls Yet the myth of income from real estate transactions continues to pervade Can Ftat~Rv,a rFnrrim n'te Arra Rfitiiars•!fast the federal perspective regarding the base closure and transition process. («••�K•••ar•• The Department of Defense's goal to demonstrate a rapid reduction in 11a5.ArrA Fr.mrnrnr F.noro operating costs for the closing bases by requiring local agencies to accept `f"'tiaIliming), responsibilities for infrastructure maintenance and public safety--activities which are critical for effective base reuse--creates a budget-breaking task for local communities. Thr/My Arra l:ronomir /-'aruuf fres fortnrd in 1988 to bring a regional perspertim While the President's Five-point Program and the Pryor Amendment are to economic imuts faring the Ray Ana. Through the Forum, intended to ease the burden on local communities seeking to acquire leaders in government, former military base property,progress is agonizingly slow due to conflicts husinrsa.labor and higher rduralion join jorrrs to between these two initiatives and other federal procedures which are done/op and remote nt th triggered when bases are designated for closure. Additionally, the conflict Policies that promote the y long-term rrouomirritalily between current federal budget reduction goals and federal responsibility of the)tap Arra. for environmental clean-up and economic transition costs at the closing BADCA•r military bases exacerbates the delays in reuse activities and augments the 181 Fremont St.,Suite 210 burden on local communities. San Francisco,CA lid 105 (.115)357-:3100 FAX (•115)357-3101 BAY AREA COLLABORATION The closing military bases present an unprecedented opportunity for the Bay Area to address a wide array of interests that together create livable communities and sustainable economic growth: parks, open space, and recreational facilities; meeting the needs of low-income and homeless populations; and addressing environmental and public trust purposes. While a comprehensive economic development program must strive to meet all of these public and community needs,the current base closure process inhibits successful economic conversion and deters Bay Area communities from leveraging limited resources. This proposal focuses on improving the process of economic conversion of the Bay Area's closing military bases. The bases are the last large tracts of land which can be developed for specialized commercial and industrial needs to generate new jobs and expand competitive growth industries. The skills and experiences of the base and defense workers can benefit Bay Area businesses and industries. To optimize these opportunities,a number of concerned organizations and agencies established a collaborative effort called the Bay Area Defense Conversion Action Team (BADCAT). The ultimate aim of this effort is to produce a comprehensive regional program which maximizes economic leveraging,minimizes duplication, and generates greater resources in also addressing other human,community and environmental needs. BADCAT's partners and participants have adopted a framework that emphasizes demand within the economy as the basis for developing military base reuse plans. Through its unique collaborative regional approach, BADCAT has developed key principles and action steps to modify the federal base conversion and closure processes. Adoption and implementation of these principles and action steps by the federal government will expedite economic conversion, thereby allowing the federal government,as well as local and regional communities,to realize the expected revenues from military base closures. KEY PRINCIPLES TO IMPROVE THE DEFENSE CONVERSION PROCESS This proposal suggests ways to modify the defense conversion process to be more responsive to the communities confronted with base closures. Three key principles must be adopted to guide and improve the base closure and economic conversion process: 1. Federal,state, and local military base closure processes must encourage public-private partnerships to carry out the economic development of the closing bases. This approach fosters private investment for economic conversion and provides the strongest potential for the federal government to realize any revenues from military base closures. 2. The defense conversion and closure process must continue to encourage participation by the diverse stakeholders in impacted communities. The best economic conversion plans will go nowhere unless there is widespread consensus and significant commitment to implementation. An on-going collaborative process involving the key stakeholders is, therefore,essential for ensuring successful'defense conversion in the Bay Area. Support from diverse stakeholders will increase the likelihood of successful economic conversion. 3. The defense conversion and closure process should support Bay Area communities in working collaboratively on shared issues and complementary projects to minimize duplication and more efficientiy use resources. ACTION STEPS TO IMPROVE THE MILITARY BASE CONVERSION PROCESS Federal programs which address economic conversion of the closing bases can be improved by strengthening the role of the local reuses authorities in base conversion decision making and by ensuring the availability of adequate resources.To remove obstacles from the base closure process and expedite economic conversion, the appropriate public agencies must take the following five short-term actions: 1. Ensure and encumber sufficient funding within the federal budget to complete environmental clean-up guided by local priorities and decisions. Presently, each fiscal year less than 1/2 of the projected costs needed for that year's clean-up activities is being budgeted. As a result,the clean-up process will extend well beyond the originally estimated timeframes. Without prompt completion of the necessary level of environmental remediation,transfer of the former bases to local agencies or private investors will be difficult if not impossible. The federal government's liability for the base property warrants exploration of environmental remediation methods and technologies that could reduce overall clean-up costs and expedite clean-up consistent with the level required by local reuse plans. The military should partner with local communities to share decision making on clean-up and to strengthen public oversight. Procedures should allow interested local communities to manage the clean-up using local environmental remediation businesses and local workers. 2. Address local planning considerations and requirements in the procedures for interim uses(licensing and leasing)and for.permanent transfer of the closing military bases. A. Require "Care and Custody Agreements" between the military and the local reuse authorities,at the option of the local authority,to assure that infrastructure maintenance and public safety are maintained by the federal government/military until final transfer takes place. Additionally,the federal government should prohibit the military from shedding such maintenance and public safety obligations at a rate faster than land is found "suitable for transfer"unless the local agency is willing to take on these responsibilities. Also,the federal government should resolve the procedures for transferring jurisdiction(retrocession)with the local community in the initial stages of the closure process,and assure that similar approaches to retrocession are taken across the various branches of the military. B. Assure participation of local reuse authorities in decisions about the upgrade of utilities,earthquake retrofitting,asbestos removal or building demolition and costs. Activities,such as completing clean-up and assuring the adequacy of infrastructure, must be addressed prior to transfer. The level of clean-up should be consistent with the local planned reuse. The terms of conveyance should reflect the conditions of buildings,roads,utilities and other structures. The federal government should either finance compliance with local codes including seismic retrofitting or demolition or should adjust the price of transfer by"the cost of cure." C. Use appraisal methods that estimate the value of real estate based on its future economic uses adjusted for preparation costs to assure buildings,utilities, and infrastructure meet state and local standards. To facilitate the appraisal process, at the option of the local community,the military and the local reuse authority should jointly select a single appraiser. D. Involve local reuse authorities in all phases of decision making on land title conveyance issues,such as public trust conveyances. E. Maintain the current process for federal public benefit conveyance process and encourage use in local planning processes to meet the education, health, homeless, and recreational needs of local and regional communities; clarify the eligibility and process for pubic benefit conveyance; and,consider allowing reversion to the local reuse authority, or right of refusal,should a public benefit conveyance fail to be completed following conveyance. 3. Maintain an adequate level of federal and public sector investment to support economic conversion. In addition to the planning funds made available through the Departments of Defense and Commerce,a Defense Conversion Action Grant Program should be established and implemented to alleviate the costs of the federal mandate for base reuse implementation that has been placed on local communities without adequate funding. The federal government should capitalize local revolving funds through existing programs,and establish more flexible investment funding mechanisms. 4. Establish incentives for private capital investment. A public-private partnership framework should be made available to interested local communities and reuse authorities. The framework for such a public-private partnership should provide that the local community, federal government,and private sector share decision making,risk, and return. Implementation of a public-private partnership approach to military base conversion would encourage all parties to expedite closure,transfer,and economic conversion of the former military bases. Additionally, other public financing mechanisms should be developed to attract private investment. 5. Develop stronger linkages between economic conversion programs and displaced base workers and affected communities. To ameliorate the economic downturns that inevitably affect communities facing base closures,economic conversion must address job training,human services and economic needs of displaced workers as well as of low- income populations in the affected communities. Federal funding for economic conversion activities should require that local reuse plans incorporate strategies and create linkages to address low-income and homeless housing,human service and economic needs. The federal government should also consider taking a sixth longer term and more comprehensive action: 6. Establish a commission on national military base conversion which includes representation of involved federal and state agencies, local reuse authorities, and local communities facing military base closures or a congressional military base conversion committee to streamline base closure procedures to expedite economic conversion. The federal base conversion process must be reformulated to vest decision making authority,representation and funding in one coordinating entity. A single purpose organization mandated to expedite economic conversion can be more effectively partner with local communities to minimize duplication, leverage limited resources, and realize the enormous potential of the closing military bases. C:\worddoc\documents\rinstrat.doc CALIFORNIA CONGRESSIONAL DELEGATION Senator Barbara Boxer Representative Zoe Lofgren (D-36) 1700 Montgomery Street, #240 635 N. First Street San Francisco, CA 94111 San Jose, CA 95110 Senator Dianne Feinstein Representative Robert T. Matsui (D-5) 1700 Montgomery Street,#331 650 Capitol Mall#8058 San Francisco, CA 94111 Sacramento,CA 95814 Representative Bill Baker(R-10) Representative George Miller(D-7) 1801 N. California#103 367 Civic Drive#14 Walnut Creek, CA 94596 Pleasant Hill,CA 94523 Representative Ronald V. Dellums (D-9) Representative Norman Mineta(D-15) 1301 Clay Street#1000-N 1245 S. Winchester Blvd. #310 Oakland, CA 94612 San Jose, CA 95128 Representative Anna G. Eshoo (D-14) Representative Nancy Pelosi (D-8) 698 Emerson Street 450 Golden Gate Avenue Palo Alto, CA 94301 San Francisco,CA 94102 Representative Vic Fazio (D-3) Representative Pete Stark(D-13) 722B Main Street 22320 Foothill Blvd. #500 Woodland, CA 95695 Hayward, CA 94541 Representative Tom Lantos (D-12) Representative Lynn Woolsey (D-6) 400 S. El Camino Real 1101 College Ave. #200 San Mateo, CA 94402-1708 Santa Rosa, CA 95404 KEY FEDERAL OFFICIALS Leon Panetta William Perry Chief of Staff Secretary, Department of Defense White House 1000 Defense Pentagon 1600 Pennsylvania Ave. Washington, DC 20301 Washington, DC 20500 Sherri Wasserman Goodman Joshua Gotbaum Deputy Under Secretary of Defense Asst. Secretary for Economic Security (Environmental Security) 1000 Defense Pentagon, 3E808 Office of the Under Secretary of Defense Washington, DC 20301 Washington, DC 20301-3000