The Impact of BRAC on the Old Line State

1. The Impact of BRAC on theOld Line State Daraius Irani, Ph.D. March 14th, 2007

2. Base Realignment and Closure Commission (BRAC) • BRAC is the commonly used acronym for the formal name of the Defense Base Closure and Realignment Commission. The BRAC Commission is an independent entity that submits its findings and recommendations to the President of the United States. • The 2005 BRAC Commission is authorized by Congress through the Defense Base Closure and Realignment Act of 1990 (P.L. 101-510), as amended.

3. Base Realignment and Closure Commission (BRAC) • There are nine commissioners who have been appointed to serve on the BRAC Commission by President Bush. • The BRAC Commission was created to provide an objective, thorough, accurate, and non-partisan review and analysis, through a process determined by law, of the list of bases and military installations which the Department of Defense (DoD) has recommended be closed and/or realigned.

4. Base Realignment and Closure Commission (BRAC) • The Commission is required to assess each recommendation to ensure it meets the eight selection criteria set forth by Congress in P.L. 108-375. • Recommendations by DoD that substantially deviate from these selection criteria can be modified or rejected by the Commission by a simple majority vote of the Commissioners.

5. Base Realignment and Closure Commission (BRAC) • Military Value (1) The current and future mission capabilities and the impacts in operational readiness of the total force of the Department of Defense, including the impact on joint war fighting, training and readiness. (2) The availability and condition of land, facilities, and associated airspace at both existing and potential receiving locations.

6. Base Realignment and Closure Commission (BRAC) • Military Value (cont.) (3) The ability to accommodate contingency, mobilization, surge and future total force requirements at both existing and potential receiving locations to support operations and training. (4) The cost of operations and the manpower implications.

7. Base Realignment and Closure Commission (BRAC) • Other Considerations (5) The extent and timing of potential costs and savings, including the number of years, beginning with the date of completion of the closure or realignment, for the savings to exceed the costs (6) The economic impact on existing communities in the vicinity of military installations.

8. Base Realignment and Closure Commission (BRAC) • Other Considerations (cont.) (7) The ability of the infrastructure of both the existing and potential communities to support, missions, and personnel. (8) The environmental impact, including the impact of costs related to potential environmental restoration, waste management, environmental compliance activities.

10. BRAC IMPORTANT FACTS • 70% of the jobs will be vacant…only 30% of the jobs will move with an actual person • Service/Infrastructure Jobs (Retail, Teachers, Healthcare, Hospitality) are 1:1 with the BRAC direct related jobs • 40,000 – 60,000 jobs • 50% of the jobs will have a 50-60+ person in the job when it is moved to MD • 17% of the BRAC related jobs require less then a bachelors degree • High Skill and High Salary Range positions on all levels of education

11. BRAC Analysis: Findings We estimate that the BRAC decisions will generate: • over 45,000 jobs of which 15,000 are direct jobs, 22,000 indirect jobs and the balance are induced jobs; • the average wages of all these new jobs are over $70,000; • the average household income of households likely to move to Maryland due to BRAC exceeds $100,000; • the annual income and property tax revenues (local and state) approach half billion dollars derived from the nearly 30,000 new households estimated to locate to Maryland;

12. BRAC Analysis: Impacts

13. Maryland BRAC Job Impacts

14. Maryland BRAC Wage Impacts

15. Baltimore City BRAC Job Impacts

16. Baltimore City Wage Impacts

17. Baltimore City Household Impacts

18. Education Levels: BRAC

19. Age Distribution of Existing BRAC Job Holders

20. BRAC Occupations • Electronics Engineering Series • General Engineering Series • Computer Engineering Series • Computer Science Engineering • Information Technology Management Series. • Computer Science Series • Operations Research Series • Telecommunications Series

21. BRAC Occupations (cont.) • Management and Program Analysis Series • Program Management Series • Management and Program Clerical and Assistance Series • Financial Management Series • Financial Administration and Program Series • Budget Analysis Series • Contracting Series

22. BRAC Occupations (cont.) • Miscellaneous Administration and Program Series • Secretary Series • Mail and File Series • Data Transcriber Series • Miscellaneous Administration and Program Series • Technical Writing and Editing Series • Equipment Operator Series

23. BRAC Occupations (cont.) • Logistics Management Series • Inventory Management Series • General Supply Series • Supply Program Management Series • Human Resources Management Series • Human Resources Assistance Series

27. *These occupational series also have specific educational requirements

30. SECURITY CLEARANCE PROCESS AND MARYLAND • Education/Information • Pipeline of Qualified People • 80-90 Percent of the jobs coming to Maryland related to BRAC (excluding the service and infrastructure jobs) require some type of clearance • Process for educating secondary and post-secondary students in MD needs to be developed and implemented • Process for identifying and the transition of veterans (new and retired) through the clearance process needs to be developed and implemented in MD • Pipeline of companies and government agencies to sponsor individuals

31. THANKS FOR YOUR TIME AND ATTENTION Dr. Daraius Irani • Towson University • EDA University Center • Regional Economic Studies Institute • 410-704-6363 • dirani@resiusa.org • FOR MORE INFORMATION OR A COPY OF THE PRESENTATION EMAIL US…THANKS!