Military Buildup on Guam: Costs and Challenges in Meeting Construction Timelines
Abstract
The military buildup on Guam is likely to cost about $7.5 billion in military construction funding from fiscal years 2009 through 2016, according to the latest estimates by DOD. However, DOD has yet to fully identify some costs associated with the buildup. For example, DOD has not developed cost estimates for the air and missile defense task force that may be placed on Guam. In addition, construction for future facilities for the Air Force Guam Strike initiative is expected to occur over a 16-year period, which extends beyond the current costs that the Air Force has estimated through fiscal year 2015. Moreover, DOD?s total costs will be higher once life-cycle costs are included in these estimates. In addition, the Government of Japan is expected to provide up to an additional $6.09 billion in funding for infrastructure and facilities to support the Marine Corps relocation, which includes directly funding up to $2.8 billion in military construction projects on Guam, including utilities and site improvements for future facilities. Japan is also expected to fund up to $3.29 billion in special purpose entity loans and equity investments for installation support infrastructure for utilities and for military family housing, and, according to DOD officials, Japan is expected to recoup most of these funds over time in the form of repayments from the U.S. government and rents paid by Marine Corps servicemembers through their housing allowances. The Government of Guam is largely responsible for obtaining funding for needed off-installation infrastructure projects, such as off-base roads and utilities, and it estimated that it needs approximately $3.2 billion for buildup-related projects and programs. In addition, we found that DOD, the Government of Japan, and the Government of Guam total cost estimates for the Guam-based military buildup are almost $23.9 billion to date, including the $3.29 billion that Japan is expected to recoup over time.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jun 27, 2011
- Accession Number
- ADA545791
Entities
Organizations
- United States Government Accountability Office