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Transferring Army Land Containing UXO
Problems and Possible Solutions
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SUBSTANCE ABUSE
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S
ince 1988, the Department of Defense has
been closing bases that it no longer needs
and transferring them to other government agencies, including state and local
bodies, or to private organizations. Thus far, it has
closed more than 100 bases and transferred about
40 percent of the land.1 Because it still has more
bases than it needs, DoD is planning more closures
in 2005. It has been particularly difficult to transfer land containing unexploded ordnance (UXO)
left over from military training or weapons testing,
and the problem has been especially acute for the
Army. Of the approximately 90,000 acres containing UXO on installations slated for closure, the
Army has been able to transfer only about 10 percent. The Army would like to transfer land more
rapidly, and it asked RAND Arroyo Center first to
identify and assess obstacles to the transfer of land
containing UXO and then to identify innovative
ways to accomplish such transfer. Arroyo researchers report the results of their efforts in Transferring
Army BRAC Lands Containing Unexploded Ordnance: Lessons Learned and Future Options.
What the Research Showed
A survey of the status of closed bases reveals that
the Army has made ample progress in transferring land without UXO and very little progress in
handing over land with it. Furthermore, most of
the land with UXO that did transfer did so under
exceptional circumstances. In one case, the land
transferred before it was known that it had any
UXO, and in the second case, the land was transferred by an act of Congress. Only two significant
parcels of land have been handed over using conventional conveyance procedures.
Although the sample is not large, the two parcels of land that did transfer had several common
characteristics. First, the land did not contain
The data in this report are current as of May 2003. Some
closures have taken place since then.
1
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Key findings:
• The Army has had difficulty transferring
land that contains unexploded ordnance
(UXO)
• Although it has several ways to convey
land, none has proved particularly well
suited for land containing UXO
• Administrative and organizational changes
along with recent legislation permitting
conveyance to nonprofit conservation
groups without first clearing UXO may
expedite transfers
• The Army should also consider leading a
DoD-wide effort to consider other options
to transfer land, including a federal government corporation to oversee disposal of
land with and without UXO
much UXO and, second, only a few recipients were
involved in the transfer. Furthermore, the land was
quite valuable (one parcel was situated on the shores
of Lake Michigan in Chicago), so the recipients had
strong financial incentives to complete the transaction. Finally, the process of removing the UXO
was carried out with minimal regulatory oversight.
The research also revealed common characteristics for land that did not transfer. A key one
was not knowing the amount, type, and location
of UXO before deciding how the land would be
used. Compounding this problem was the inability
of detection technologies to ensure that all UXO
items had been located and removed. An absence
of established standards for UXO cleanup also
complicated transfers, as did an inability to meet
regulators’ requirements for reducing risk from
UXO.
Is There a Better Way?
The Army is already taking steps to address some of the problems
that hamper transfer of land with UXO. For example, it is developing an inventory of closed, transferred, and transferring training
ranges where ordnance may have been used and a database of UXO
characteristics on Army land. But because conventional procedures
have not worked well, it wishes to use other ways to transfer land
with UXO. The Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) requires the transferring
party to verify that the land poses no threat to human health and
the environment before land can transfer. Under the original Base
Realignment and Closure (BRAC) legislation, this meant that the
military departments had to complete all cleanup actions before
DoD could enter into transfer agreements. Meeting these requirements can take a long time and does not guarantee that the benefits
outweigh the costs. Another issue is that organizations are reluctant
to accept land with UXO because of concerns over liability.
Recognizing these issues, Congress authorized a waiver of
CERCLA’s pretransfer clearance requirements for federal facilities
in what is known as early transfer authority. This authority allows
deed transfer of federal property before completion of necessary
remediation. Other land-transfer conveyances like public benefit
and economic development are available as well. Congress has
also recently authorized conservation conveyance legislation that
allows the Army to transfer BRAC land to private, nonprofit landconservation groups without first clearing the UXO and dealing with
other environmental contamination. Congress authorized this mechanism to conserve ecologically valuable lands more expeditiously,
recognizing that a large-scale cleanup might not be necessary on
lands where human access and activities would be restricted. It is
too early to gauge the effect of this recent legislation, but the evidence shows that even with multiple conveyance mechanisms available to it, the Army is still not meeting its land-transfer objectives.
Additional administrative changes, more aggressive use of early
transfer authority, and promotion of the conservation conveyance
may speed up land transfers. But it is difficult to know in advance
how much effect these changes might have. Arroyo researchers
suggest that there is merit in exploring a more significant alternative organizational approach: establishing a federal government
corporation (FGC) whose sole responsibility would be to transfer
BRAC and other lands with and without UXO. FGCs operate at
the boundary of public and private organizations and share some
characteristics of each. Congress has created a number of them over
the years. In some cases they last for a long time, a good example
being the Tennessee Valley Authority, established in 1933. In other
cases they are created to carry out a specific task and disappear
once the task is completed. The Resolution Trust Corporation, set
up to dispose of assets from the savings and loan crisis, is an example of this type of FGC. Its charter enabled it to hire staff with the
expertise necessary to manage a host of assets and liabilities and
dispose of them efficiently and effectively, using market tools not
available to the government. Its work done, it ceased to exist. For
UXO-containing lands, Congress would have to establish an FGC
for land disposition and fund its operations. Further analysis would
be needed to determine the appropriate structure, organizational
goals, incentives, and oversight mechanisms to create an effective
FGC for this purpose.
Recommendations
As the Army moves toward BRAC 2005, it should consider the following recommendations:
• Make incremental changes to current Army procedures, especially
improving information about the location, amount, and type of
UXO on BRAC lands. Better information about UXO lies on
the critical path of virtually every other action. The Army should
also clarify UXO clearance protocols and improve cost/risk estimation procedures.
• Explore an alternative management approach that would consolidate expertise and guidance on the land-disposal process
within Army headquarters. This approach has the potential to
lower the Army’s transaction costs and lead to higher cost savings than the current approach, which relies considerably more
on expertise existing at the installation level. To this end, a
comparative study should be conducted on the Army, Navy, and
Air Force BRAC processes to ascertain whether a more centralized approach is likely to lead to greater cost savings and higher
transfer rates for UXO land.
• Take the lead in working with the other services and the Office
of the Secretary of Defense to conduct an in-depth study of the
concept of a federal government corporation that would handle
all transfers of excess DoD lands—with and without UXO—
from former and future BRAC rounds.
• Specifically for the BRAC 2005 selection process, ascertain the
value of acquiring additional information about environmental
contamination and UXO at candidate installations. Some of
these installations might be prime candidates for conservation
conveyance transfers rather than other options, which could lead
to higher cost savings and faster transfers.
These recommendations could immediately affect ongoing
BRAC land transfers from the previous rounds. Further, implementing and evaluating their effect on the current land inventory
would strengthen the Army’s position to implement BRAC 2005.
This research brief describes work done for RAND Arroyo Center documented in Transferring Army BRAC Lands Containing Unexploded Ordnance: Lessons Learned and Future Options,
by Jacqueline MacDonald, Debra Knopman, Noreen Clancy, Jimmie McEver, Henry Willis, MG-199-A (available at http://www.rand.org/publications/MG/MG199/), 2004, 186 pp.,
$24.00, ISBN: 0-8330-3636-X. MG-199-A is also available from RAND Distribution Services (phone: 310.451.7002; toll free: 877.584.8642; or email: order@rand.org). The RAND
Corporation is a nonprofit research organization providing objective analysis and effective solutions that address the challenges facing the public and private sectors around the world.
RAND’s publications do not necessarily reflect the opinions of its research clients and sponsors. R® is a registered trademark.
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This product is part of the RAND Corporation
research brief series. RAND research briefs present
policy-oriented summaries of individual published, peerreviewed documents or of a body of published work.
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