Facility Layaway Economic Analysis.
Abstract
The Army currently has a large number of excess facilities in its inventory. The uncertainty about future Army requirements raises questions regarding the wisdom of promptly disposing of these facilities. The three most likely alternatives for handling an excess facility are: demolish now and rebuild if the need arises, mothball the facility and care for it until it is needed, and 'walk away' from the facility with minimal preparation and interim care until it is needed again. A method is needed for rapidly assessing the costs and risks associated with the alternatives for dealing with excess facilities. This report describes an economic analysis tool capable of rapidly providing cost comparisons for the three alternatives. The tool is a Microsoft Excel workbook called the Layaway Economic Analysis (LEA) model. LEA has embedded cost databases and a simple user interface. The results of the analysis of the costs of the three alternatives for seven specific facility category groups using LEA are discussed. A portion of the current study was devoted to collecting data regarding both the cost of layaway and the deterioration rates of buildings in layaway. This aspect of the problem of excess facilities would benefit from a continued effort to collect data and develop accurate databases to test and validate the LEA model.
Document Details
- Document Type
- Technical Report
- Publication Date
- Aug 01, 1996
- Accession Number
- ADA315516
Entities
People
- Carol A. Subick
- Gonzalo Perez
- Ilker Adiguzel
- Jane Derose
- Samuel Hunter
Organizations
- Construction Engineering Research Laboratory