Costs and Savings for 1993 Defense Base Realignments and Closures.
Abstract
This audit was requested by the Under Secretary of Defense for Acquisition and Technology. The Department of Defense is projecting that, during the Defense base realignment and closure (BRAC) implementation period ending in 2001, the four BRAC rounds will cumulatively incur one-time implementation costs of $22.9 billion, while achieving total savings of $36.5 billion and anticipated land sales revenue of $214 million. The Under Secretary requested assistance in obtaining a better understanding of actual experience to date, and in determining how estimating and budgeting processes could be improved. The overall audit objective was to compare the estimated BRAC costs and savings reported in the "DoD Base Realignment and Closure, Executive Summary and Budget Justification, FY 1998/1999 Biennial Budget Estimates," February 1997, with actual experience. Specifically, we used the 1993 round of Defense base realignments and closures as an auditable case study to evaluate the 6-year estimated implementation costs and savings; the methodology for tracking costs and savings over the BRAC implementation period; and whether management controls were adequate for reliably determining BRAC implementation costs and savings. The findings in this report relate only to the 1993 BRAC round. Each BRAC round has been unique in terms of the mix of the involved installations. The DoD initial budget estimates of the positive fiscal impact of BRAC 1993 were understated by as much as $3.2 billion.
Document Details
- Document Type
- Technical Report
- Publication Date
- May 06, 1998
- Accession Number
- ADA368165
Entities
Organizations
- Office of the Inspector General, U.S. Department of Defense