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1 (May 18, 2005)

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                                                                Order Code RS22147
                                                                        May 18, 2005



 CRS Report for Congress

               Received through the CRS Web



                   Military Base Closure:

                   Socioeconomic Impacts

                             Tadlock Cowan
           Analyst in Rural and Regional Development Policy
                Resources, Science, and Industry Division

                               Baird Webel
                          Analyst in Economics
                    Government and Finance Division

Summary


     Congress has authorized the U.S. Department of Defense to begin its fifth round
 of military base realignment and closing since 1988. A list of bases that the department
 recommends closing or realigning was presented to the recently established Base
 Realignment and Closure (BRAC) Commission for its consideration on May 13, 2005.
 The department-generated list recommends 33 major closures and 29 major
 realignments by 2011. In addition, 48 bases are recommended for significant expansion.
 The loss of related jobs, and efforts to replace them and implement a viable base reuse
 plan, will pose significant challenges for affected communities. While the base closures
 and realignments create substantial socioeconomic distress in communities initially,
 research has shown that they generally have not had the dire effects that many
 communities expected. For rural areas, however, the impacts can be greater and the
 economic recovery much slower. Drawing from existing studies, this report assesses the
 potential community impacts and proposals for minimizing those impacts.


    Background. To better confront the military demands of a post-Cold War world,
as well as to reduce costs of maintaining excess military infrastructure, Congress
authorizes the Department of Defense to realign or close military bases.' Following an
examination of its military forces and installations, the department compiles a list of
recommended Base Realignment and Closing (BRAC) actions. This proposed list of base
closures and realignments is presented to the independent BRAC Commission, which


1 10 U.S.C. Section 2687 authorizes the Base Realignment and Closing (BRAC) process for
military installations at which at least 300 civilian personnel are authorized to be employed, or
the realignment of any military installation where at least 300 civilian personnel are authorized
to be employed and where it is intended to reduce the work force by more than 1,000 or by more
than 50% of the number of civilian personnel authorized to be employed at the installation.

       Congressional Research Service +o The Library of Congress

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