DeGette Statement on BRAC Hearing Regarding Future of DFAS Denver

FOR IMMEDIATE RELEASE
August 8, 2005

DeGette Statement on BRAC Hearing Regarding Future of DFAS Denver

WASHINGTON, DC - U.S. Rep. Diana DeGette (D-CO) released the following prepared remarks provided to the Base Realignment and Closure Commission (BRAC) hearing held today in Monterrey, California concerning the future of the Defense Finance and Accounting Service (DFAS) Denver facility, located in the First Congressional District:

I would like to take the opportunity today to join my colleagues from Colorado in expressing my strong support for the Secretary of Defense's 2005 BRAC recommendations. As you all know, this proposal would consolidate the Defense Finance and Accounting Service (DFAS) into three sites, one of these being DFAS Denver, located in Colorado's First District. While I understand the concerns that brought the BRAC Commission to place DFAS Denver on the list of installations to be considered for closure or realignment, I have every confidence that an independent, fair, and equitable evaluation of the Defense Department's proposal and methodology will only prove to reinforce the Secretary's recommendation.

DFAS Denver, housed in the Buckley Air Force Annex on the former Lowry Air Force Base in Denver, was selected by the Secretary of Defense as one of three DFAS locations for consolidated realignment. The criteria used in this selection process represent a wide range of concerns, from military value and personnel costs to economic and environmental impact. The Department of Defense (DOD) selected these criteria in order to perform a thorough analysis designed to reduce infrastructure and support the evolving needs of our nation's armed forces. The result is a streamlined DFAS structure that will allow for a more efficient administration of the largest pay system in the world.

The BRAC Commission expressed the need to reevaluate the DFAS realignment for valid reasons. I applaud their goal of reducing personnel and facility costs, while minimizing the economic impact that realignment or closure would have on local communities. These are important standards to examine when deciding the fate of 26 installations and thousands of employees. The optimal outcome would assign the DFAS Denver facility an expanded role in the Secretary of Defense's vision of an efficient military.

Even when the decision to realign or close certain bases gives greater weight to economic impact or personnel and facility costs than other factors, any fair and independent analysis would keep DFAS Denver.

In addition to its proven ability to manage administrative and payroll services for the DOD, DFAS Denver is uniquely positioned to expand its capacity. As you know, the 600,000 square foot facility is located on 73 acres of land owned by the DOD, and is currently not fully occupied. Approximately 30,000 to 40,000 square feet are currently vacant. This does not account for additional space that is expected to come available when the Air Reserve Personnel Center, currently located at the Buckley Annex, moves to Randolph Air Force Base in Texas, as per the Secretary's BRAC recommendations.

Coloradoans understand that there is the possibility of a loss whenever a round of base closures and realignments comes around. When Lowry Air Force Base closed in 1994, metro Denver took a huge economic hit. Roughly 7,000 jobs and $300 million disappeared from the local economy. The redevelopment at Lowry was a great success, and the sustained presence of the Buckley Annex and DFAS provided an anchor to the redevelopment plan that was instrumental to the transition. If the BRAC Commission were to close the DFAS Denver facility outright, metro Denver would suffer the loss of thousands more jobs and $170 million in the local economy. But even if the Commission chooses to challenge the recommendation of the Secretary of Defense and not realign the 26 DFAS sites, metro Denver will still lose the hundreds of jobs and tens of millions of dollars generated by the Air Reserve Personnel Center at the Annex.

The real concern of the Commission, it seems, is that the personnel costs of operating in Denver are high and the DOD did not give enough weight to this in its evaluation. If one takes into account the skills necessary for the tasks performed by DFAS and the talent pool available, these costs are justified. By concerning itself with value, rather than simple cost, DOD recommended what it considered the best value for its money.

The Department of Defense selected the best criteria for an equitable and efficient evolution of its infrastructure, and it understood that several competing concerns must be considered when recommending base closures and realignments. In doing so, it came to the right conclusion. For these reasons, I support the recommendation of the Secretary of Defense to realign the Defense Finance and Accounting Service at the Buckley Annex.

I would like to finish by expressing my sincere thanks to the BRAC Commission for undertaking such an incredibly difficult task, and extending my admiration for the dignity with which it has been conducted.

http://www.house.gov/apps/list/press/co01_degette/050808.html