GAO sees Guam buildup challenges

According to GAO, the buildup on Guam is likely to cost about $7.5 billion in military construction funding from fiscal years 2009 through 2016. However, the Department of Defense has yet to fully identify some costs associated with the buildup.

The report also noted that the government of Guam will largely be responsible for obtaining funding for needed “off-installation infrastructure projects,” such as off-base roads and utilities. GAO estimated that GovGuam would need approximately $3.2 billion for buildup-related projects and programs.

In response, Sen. Judi Guthertz, chairwoman of the military buildup committee, said she found it “troubling that the report suggests that the funding of island infrastructure projects to handle the buildup — like roads, water and sewer, electric power —  has yet to be settled.”

Guthertz said she learned that a draft of the plan is circulating in Washington, with the final version to be released in July; however, this has yet to be made available to Guam leadership.

The senator also noted that the compilers of the GAO report had acknowledged contacting numerous federal and military offices on the issue, but apparently talked to no one from GovGuam.

“I expect that it will be the same with the Guam master plan, whenever they get around to releasing it,” Guthertz said.

Responding to the GAO report, Congresswoman Madeleine Z. Bordallo said: “The GAO report highlights nearly $93 million in cost savings with military construction projects for Guam in fiscal years 2009 and 2010.”

Bordallo said the savings are a direct result of a competitive construction market on Guam. But she noted that cuts to military construction projects will likely diminish this competitive market and reduce similar savings in the future.

Bordallo said last week’s 2+2 meeting between Secretary of State Hillary Clinton, Secretary of Defense Robert Gates and their Japanese counterparts reaffirmed the U.S. and Japan’s commitment to the buildup, but also confirmed that the 2014 completion date is unrealistic.

“This will give construction firms more time to plan and support the buildup, which could result in additional cost savings over time. The report also re-emphasizes a point that I have made before, which is that the Department of Defense needs to provide the Congress with a finalized master plan so we can provide appropriate oversight of the program,” she added.

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