The government of Guam’s efforts to plan to meet infrastructure challenges caused by the buildup of military forces and facilities are in the initial stages, and existing uncertainties associated with the military buildup contribute to the difficulties Guam officials face in developing precise plans. These challenges are somewhat analogous to challenges communities around continental U.S. growth bases face. Government of Guam officials recognize that the island’s infrastructure is inadequate to meet the projected demand; however, funding sources are uncertain. These same officials are uncertain as to whether and to what extent the government of Guam will be able to obtain financial assistance for projected infrastructure demands due to the military buildup. In September 2007, GAO reported that most communities experiencing civilian and military population growth at Army installations in the continental United States will likely incur costs to provide adequate schools, transportation, and other infrastructure improvements, and many of these communities are also seeking federal and state assistance.

 

Mr. Chairman and Members of the Committee:

I appreciate the opportunity to be here today to discuss the planning effort for the buildup of U.S. forces and facilities in Guam and to describe the associated challenges for the Department of Defense (DOD) and the local community in accommodating the expansion of DOD’s military presence on Guam. To reduce the burden of the U.S. military presence on Japanese communities while maintaining a continuing presence of U.S. forces in the region, the U.S.-Japan Defense Policy Review Initiative1 established a framework for the future of U.S. force structure in Japan, including the relocation of American military units in Japan to other areas, including Guam. As a part of this initiative, DOD plans to move 8,000 Marines and their estimated 9,000 dependents from Okinawa, Japan, to Guam by the 2014 goal. At the same time, the other military services are also planning to expand their operations and military presence on Guam. For example, the Navy plans to enhance its infrastructure, logistic capabilities, and waterfront facilities; the Air Force plans to develop a global intelligence, surveillance, and reconnaissance strike hub at Andersen Air Force Base; and the Army plans to place a ballistic missile defense task force on Guam. As a result of these plans and the Marine Corps realignment, the total military buildup on Guam is estimated to cost over $13 billion and increase Guam’s current population of 171,000 by an estimated 25,000 active duty military personnel and dependents (or 14.6 percent) to 196,000. The government of Japan is expected to contribute about $6.1 billion toward the costs of the Marine Corps move, although a portion of these funds could be repaid over time by the U.S. government.

We have issued several reports on DOD’s integrated global presence and basing strategy2 and its overseas master plans for changing U.S. military infrastructure overseas as required by the fiscal year 2004 Senate military

1DOD officials refer to the process through which the United States and Japan negotiated the initiatives that realign U.S. forces in Japan as the Defense Policy Review Initiative. The realignment initiatives were the result of Security Consultative Committee meetings in 2005 and 2006 between U.S. and Japan officials. The Security Consultative Committee is made up of the U.S. Secretaries of State and Defense and Japan’s Minister of Foreign Affairs and Minister of State for Defense. The committee sets overall bilateral policy regarding the security relationship between the United States and Japan. The results of these meetings established a framework for the future U.S. force structure in Japan, including the Marine Corps move from Okinawa, Japan, to Guam.

2GAO, Defense Management: Comprehensive Strategy and Annual Reporting Are Needed to Measure Progress and Costs of DOD’s Global Posture Restructuring, GAO-06-852 (Washington, D.C.: Sept. 13, 2006).

 
construction appropriation bill report.3 Most recently, in September 2007, we reported on DOD’s overseas master plans for changing its infrastructure overseas and on the status of DOD’s planning effort and the challenges associated with the buildup of military forces and facilities on Guam.4 In that report, we found that DOD’s planning effort for the military buildup on Guam was in its initial stages, with many key decisions and challenges yet to be addressed. Additionally, we found that the potential effects of the increase in military forces on Guam’s infrastructure—in terms of population and military facilities—had not been fully addressed. Also, in September 2007, we reported how communities in the continental United States are planning and funding for infrastructure to support significant personnel growth in response to implementing base realignment and closure, overseas force rebasing, and force modularity actions.5

As requested, my testimony today will focus on three principal objectives. First, I will address DOD’s planning process for the military buildup on Guam. Second, I will point out potential challenges for DOD and the government of Guam associated with the military buildup. Third, I will describe the status of planning efforts by the government of Guam to address infrastructure challenges to the local community caused by the buildup of military forces and facilities.

My testimony is based largely on findings of our September 2007 report on DOD’s overseas master plans and information from a prior report on issues related to reducing the effects of the U.S. military presence in Okinawa.6 My testimony is also based, in part, on preliminary observations

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3GAO, DOD’s Overseas Infrastructure Master Plans Continue to Evolve, GAO-06-913R (Washington, D.C.: Aug. 22, 2006); Opportunities Exist to Improve Comprehensive Master Plans for Changing U.S. Defense Infrastructure Overseas, GAO-05-680R (Washington, D.C.: June 27, 2005); and Defense Infrastructure: Factors Affecting U.S. Infrastructure Costs Overseas and the Development of Comprehensive Master Plans, GAO-04-609 (Washington, D.C.: July 15, 2004).

4GAO, Defense Infrastructure: Overseas Master Plans Are Improving, but DOD Needs to Provide Congress Additional Information about the Military Buildup on Guam, GAO-07-1015 (Washington, D.C.: Sept. 12, 2007).

5GAO, Defense Infrastructure: Challenges Increase Risks for Providing Timely Infrastructure Support for Army Installations Expecting Substantial Growth, GAO-07-1007 (Washington, D.C.: Sept. 13, 2007).

6GAO, Overseas Presence: Issues Involved in Reducing the Impact of the U.S. Military Presence on Okinawa, GAO/NSIAD-98-66 (Washington, D.C.: Mar. 2, 1998).

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 from our ongoing review of DOD’s overseas master plans and its planning effort to address the challenges associated with the military buildup on Guam and on two separate reports of the effects of DOD-related growth on surrounding communities in the continental United States.7 As part of our ongoing work, we met with officials from the Office of the Secretary of Defense, U.S. Pacific Command, Marine Forces Pacific, Third Marine Expeditionary Force, and the Navy’s Joint Guam Program Office (JGPO)—the office established to plan and execute the military buildup on Guam—to discuss the planning process for DOD’s military realignments on Guam and to identify challenges associated with the buildup of military forces and infrastructure on Guam. We also met with the Governor of Guam and his staff, members of the Guam legislature, staff from the office of the Guam Delegate to the House of Representatives, and various Guam community groups to discuss their planning efforts and any challenges they may face related to the military buildup. We expect to report the results of our ongoing review to congressional defense committees later this year. We conducted this performance audit and our prior reports in accordance with generally accepted government auditing standards. Those standards require that we plan and perform the audit to obtain sufficient, appropriate evidence to provide a reasonable basis for our findings and conclusions based on our audit objectives. We believe that the evidence obtained provides a reasonable basis for our findings and conclusions based on our audit objectives.

DOD has established a framework for the military buildup on Guam; yet, many key decisions must still be made, such as the final size of the military population, which units will be stationed there, and what military facilities will be required. The U.S.-Japan Defense Policy Review Initiative established a framework for the future of U.S. force structure in Japan and the Marine Corps realignment to Guam. The U.S. Pacific Command then developed the Guam Integrated Military Development Plan8 to provide an overview of the projected military population and infrastructure requirements. However, the exact size and makeup of the forces to move to Guam and the housing, operational, quality of life, and service support

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7GAO, Defense Infrastructure: DOD Funding for Infrastructure and Road Improvements Surrounding Growth Installations, GAO-08-602R (Washington, D.C.: Apr. 1, 2008), and GAO-07-1007.

8U.S. Pacific Command, Guam Integrated Military Development Plan (Camp H.M. Smith, Hawaii: July 11, 2006).

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infrastructure required are not yet fully known. This part of the planning process is ongoing, along with the development of a required environmental impact statement. Before JGPO can finalize its master plan for the military buildup on Guam, it needs to complete the required environmental impact statement, currently expected to be issued in 2010. Prior to that date, DOD will submit its fiscal year 2010 budget request to Congress for the first phase of military construction projects on Guam. Thus, DOD may be asking Congress to fund the military construction projects without the benefit of a completed environmental impact statement or a final decision on the full extent of its facility and funding requirements. DOD officials said that the department often requests funding during the same period environmental impact statements are being developed for large projects, including major base realignments and closures. JGPO officials told us that immediately after the environmental impact statement is completed, DOD will commence construction of facilities in efforts to meet the 2014 goal identified in the Defense Policy Review Initiative. However, other DOD and government of Guam officials believe that this is an ambitious and optimistic schedule considering the possibility that the environmental impact statement could be delayed, the complexities of moving thousands of Marines and their dependents from Okinawa to Guam, and the need to obtain sufficient funding from the governments of United States and Japan to support the Marine Corps move.

DOD and the government of Guam face several significant challenges associated with the proposed military buildup on Guam. DOD’s challenges include obtaining adequate funding and meeting operational needs, such as mobility support and training capabilities. There are also challenges in addressing the effects of military and civilian growth on Guam’s community and infrastructure. For example, according to DOD and government of Guam officials, Guam’s highways may be unable to bear the increase in traffic associated with the military buildup, its electrical system may not be adequate to deliver the additional energy needed, its water and wastewater treatment systems are already near capacity, and its solid waste facilities face capacity and environmental challenges even without the additional burden associated with relocation of U.S. forces and their dependents.
 
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