Official: Japan didn’t consider inflation in Marianas buildup project

Lt. Col. Rudy Kube, operations director of the Joint Guam Program Office which oversees work that must be done ahead of the relocation of the more than 12,000 American troops and their dependents to Guam, said talks are ongoing between Japan and the U.S. on the funding issue.

Japan agreed to put in 60 percent or $6.09 billion of the $10.27 billion initial funding for the relocation project touted as the largest since the Vietnam War.

“More money is needed,” said Kube. “One example I would give you is from our point of view, we see the $6 billion that they (Japanese) are contributing as inflation adjusted dollars. So as the years go by, they would adjust it for inflation. But they see it differently. They say, ‘We’ll give you $6 billion on Jan. 1, 2008.’ That’s it.”

“We’re constantly working with them trying to figure out what we agreed to because all the people who participated in the initial agreement were no longer in the U.S. or the Japanese governments,” he added.

The more than 12,000 troops and their dependents to be relocated will increase Guam’s population by 25 percent.

Studies show this may put a strain on the already stressed infrastructure and other resources of the island, thus, construction for the facilities that will accommodate them and their families must begin by 2010.

The troops, which account for more than half of those assigned in Okinawa, are targeted to be moved to Guam from 2012 through 2014.

Kube said the housing and utilities project for the troops alone will cost $3.29 billion.

By the time the military buildup project is completed in 2014, Japan and the U.S. will end up spending up to $15 billion, studies show.

But Japan expects to gain from its military investment by giving Japanese-owned firms preference in the anticipated multibillion construction projects.

The housing projects and facilities to be built in Guam go beyond the construction phase as they have to be operated and maintained all the time.

The U.S. military said Guam will need 12,000 to 15,000 more foreign workers to finish the construction projects.

“Our plan for workforce is Guam first. You look for Guam. Now, we’re working with Guam Community College and other entities on Guam to try to train the workforce,” said Kube.

“But Guam, obviously, won’t be able to produce the entire workforce that we need. So we will look for the CNMI and then the other islands. And then to other countries such as the Philippines to train another 12,000 to 15,000 workers,” he added.

Japan and the U.S. agreed in 2005 to relocate their troops to Guam amid Okinawans’ concern over the negative impact of the military’s presence on their island.

Several rape and other violent cases were recorded in Okinawa involving enlisted personnel.

The agreement also came in the wake of the need to strengthen their forces in the ongoing fight against international terrorism in the Asia-Pacific Region.

The U.S. considered Thailand, the Philippines, Australia and Singapore to relocate its Okinawa-based troops but in the end decided to move them to Guam — home to one of its largest aerial and naval bases in the Asia-Pacific Region.

Although the troops would be stationed on Guam, the military will extend their presence to the Northern Marianas for regular aerial, sea and land training activities.

 

 

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