MINUTES Committee on Veteran Affairs & Military Installations Wednesday, February 12, 2003 8:00 a.m. Capitol Extension Auditorium ***** Pursuant to a notice posted in accordance with Senate Rule 11.18, a joint public hearing of the Committee was held on Wednesday, February 12, 2003, in the Capitol Extension Auditorium at Austin, Texas. The Texas House of Representatives' Committee on Defense Affairs and State-Federal Relations, as well as the Texas Strategic Military Planning Commission, officially joined the Senate Committee in this hearing. ***** MEMBERS PRESENT: MEMBERS ABSENT: Senator Leticia Van de Putte, Chair Senator Craig Estes, Vice Chair Senator Troy Fraser Senator Frank Madla Senator Eliot Shapleigh (Both Estes and Madla arrived later) ***** Senator Leticia Van de Putte, Chair of the Texas Senate's Committee on Veteran Affairs and Military Installations, called the joint hearing to order at 8:07 a.m. The Clerk of that Committee, Mr. Gregory D. Watson, called the roll (results shown above). A quorum of that Committee was present. Representative Frank J. Corte, Jr., Chair of the Texas House of Representatives' Committee on Defense Affairs and State-Federal Relations, called the House Committee to order at 8:08 a.m. The Clerk of that Committee, Mr. Donovan Burton, called the roll of that Committee. A quorum of that Committee was likewise present. Mr. William J. Ehrie, CEcD, Chair of the Texas Strategic Military Planning Commission, called the Commission to order at 8:09 a.m., and himself ascertained that a quorum of that Commission was likewise present. A joint service color guard then ceremonially presented both the American Flag and the Texas Flag to the joint hearing. The pledge of allegiance to the American Flag was led by Miss Lauren Monat, daughter of Coast Guard Veteran, George Monat. The Invocation was offered by Chief Master Sergeant (Ret.) Asbury Mitchell. Senator Estes now present (8:15 a.m.) Senator Van de Putte made general opening remarks. Representative Corte made general opening remarks. Senator Fraser commented on Base Realignment and Closure (BRAC) issues. Senator Shapleigh likewise commented on BRAC. Representative Scott Campbell, of the House's Committee, commented as to the economic impact of military bases within the communities in which same are located. Representative Gene Seaman, of the House's Committee, likewise commented as to the economic impact of military bases within the communities in which same are located. Representative Tommy Merritt, of the House's Committee, commented as to the explosion of the Space Shuttle Columbia in the skies over eastern Texas and he commended the various local, state, and federal agencies which responded to that explosion. Representative Dianne W. Delisi, of the House's Committee, commented as to the economic impact of military bases within the communities in which same are located. Senator Van de Putte commented as to the heroic actions of agencies and private citizens relative to the explosion of the Space Shuttle Columbia and then discussed housekeeping matters relative to procedures for the Joint Hearing. She went on to describe the social and economic impact--and general security--of military bases within the communities in which same are located. She stressed that BRAC issues must be addressed during the current 78th Legislature. Senator Shapleigh commented as to the role of the new standing "Subcommittee on Base Realignment and Closure" (BRAC), of which he is Chair; he stressed that BRAC issues must be addressed during the current 78th Legislature and he went on to explain the attributes of proposed legislation--not yet filed in the 78th Legislature which would: align the agencies that deal with military preparedness under the umbrella of the Office of the Governor; create a Texas Military Preparedness Fund to make strategic state investments in military bases to enhance their value; Minutes Wednesday, February 12, 2003 page 3 establish priorities within state agencies that deal with military bases, such as the Texas Department of Transportation; reduce the costs of utilities charged to military bases; and focus upon how the children of military parents are to be educated. Senator Shapleigh went on to say that a strong effort should be made to obtain political support for this proposed--but not yet introduced--legislation. Representative Rick Noriega, of the House's Committee, now present (8:41 a.m.) Mr. William J. Ehrie came forward to testify as to the economic impact of military bases within the communities in which same are located--as well as the implications to the state and federal governments. He noted that it is crucial that the 78th Legislature take appropriate action on BRAC issues inasmuch as in late 2004 the very first steps of the closure process will begin and the 79th Legislature in 2005 will already be behind the curve and only be able to take "band-aid" measures to respond to any closure(s) which might occur. Communities, state government, and the federal government, must all work to keep the U.S. Department of Defense informed as to the needs of the community and of the state as to what each community has to offer to the nation's overall defense effort, he asserted. He specifically recommended state funding of efforts to retain all existing--and even attract new--military installations. He referred to "jointness" and "co-location" of military installations to make Texas more attractive to the Department of Defense. He noted the need to educate the children and spouses of military personnel and a need for smooth transfers from school to school or from university to university. Representative Noriega expressed concerns to Chairman Ehrie about "buffer space" and "encroachment" concerns in the Houston area near Ellington Air Force Base, particularly relative to rail lines carrying hazardous materials. Chairman Ehrie noted the need for the Texas Congressional Delegation to be fully aware of the implications of BRAC proposals and about "buffer space" and "encroachment" concerns. Representative Delisi asked what the Texas Military Strategic Planning Commission is doing to ensure that all efforts relative to BRAC are smoothly coordinated. Chairman Ehrie responded by saying that the Commission and its individual members are in frequent contact with the community, with local governments, with state government, and with the federal government on BRAC concerns. Chairman Corte noted that the Joint Hearing is in possession of Minutes Wednesday, February 12, 2003 page 4 two documents--2005 Base Realignment and Closure (BRAC) "Talking Paper" as of February 12, 2002, as well as a 2005 Base Realignment and Closure (BRAC) Plan, General Information & Timelines--both of which are available to the members of the Joint Hearing and the audience. Senator Fraser expressed concern about funding projects relative to ports or highways for deployment routes. He expressed a need to communicate with the Texas Department of Transportation (TxDOT), and with members of the Texas Congressional Delegation, to make specific requests as to specific roadway upgrade projects--rather than being generic--and within a time certain. Chairman Ehrie responded by saying that local governments must do more to communicate such needs to the Texas Congressional Delegation and to join with communications already being made by TxDOT and state legislators. Senator Van de Putte noted that two documents would be officially made part of the Joint Hearing's record, those being the Texas Strategic Military Planning Commission (TSMPC) State Recommendations and the TSMPC Federal Recommendations as to minimizing the negative impacts of military spending reductions. Mr. Ralph C. Gauer, Vice Chairman of the TSMPC, came forward to testify on previous rounds of military spending reductions occurring in years 1989, 1991, 1993, and 1995, and their lack of relationship with the current projected 2005 BRAC process. All experiences before 2005 were pegged on service-oriented reductions in structure--basically the armed services themselves determined what reductions would occur. In the upcoming 2005 BRAC process, Secretary Rumsfeld and the Office of the Secretary of Defense (OSD) community will control all aspects. Even the term "military value" itself has taken on an expanded meaning, covering large regions and even entire states, rather than localities. Now, quality-of-life issues will be measurable and quantifiable in measuring one state versus another state when deciding which military installations to close and which to keep operating. He recommended that in 2003 a fresh report be issued by the state to the federal government extolling the benefits of keeping in operation those military facilities located in Texas. Gauer also provided written testimony. Senator Van de Putte took a few moments to recognize the various local elected officials present in the audience. The slide presentation then commenced with information provided by Ehrie and Gauer. It was stressed that a statewide, cohesive effort must be made to retain military facilities and that there not be splinter groups pitting various parts of the state against other parts of the state. Results of the Military Partnership Survey were alluded to. Mr. Larry Silvey of the Texas Aerospace Commission appeared (in place of Mr. Bill Looke) and came forward to testify on the Minutes Wednesday, February 12, 2003 page 5 Community Military Partnership Survey and the meanings of its results. Data were collected from various sources and entered into a unified database. Community relationships, property, services, utilities, privatization, legislation, infrastructure, quality-of-life, military value, efficiencies, cost-savings, and real estate, were among the many factors taken into consideration. One of the strengths in Texas is the strong social relationship between military facilities in Texas and the local communities in which they are located. Mr. Silvey narrated a concomitant slide presentation. Representative Noriega then asked if discontinued military installations in Texas would qualify under a community master plan to be included in programs for enterprise zones that the Texas Department of Economic Development operates. Silvey did not know the answer to that question. Noriega then observed that a discontinued military installation could be utilized for improved infrastructure and specifically flood-prevention efforts. Silvey responded that the observation was valid. Senator Madla now present (9:39 a.m.) Senator Madla noted in response to Noriega that, yes, discontinued military installations could--under very specific circumstances and with the enactment of specific legislation--qualify as enterprise zones. Senator Van de Putte noted the need for the House members of the Joint Hearing to recess in order to attend the session of the House of Representatives at 10:00 a.m. and she requested that witnesses keep their testimony brief in view of the fact that the Senate session would commence at 11:00 a.m. She noted that Texas is in competition with other states in retaining military bases. Mr. Tom Rumora, of the City of San Antonio, came forward to testify as to "encroachment" concerns and about approaches taken in other states to maintain their threatened military facilities and noted the existence of inter-governmental squabbling and poor organizational structure which then harmed efforts in other states to retain military facilities. He went on to note the potential for military installations to be utilized as educational and training facilities for average citizens. He noted the need to reduce utility expenses to military facilities. Representative Corte interjected at 9:52 a.m. that the House members would need to leave in order to register their presence at the session of the House of Representatives. That Committee recessed. Mr. Rumora continued his testimony relative to how other states and localities have failed to offer a unified front and consequently lost military facilities. He noted that, in general, state governments had been non-participatory in prior Minutes Wednesday, February 12, 2003 page 6 BRAC processes. He pointed out concerns relative to damage to the environment caused by some military facilities and tied it into infrastructure difficulties. He noted the need for statewide "jointness" between all levels of government. Senator Madla then asked what would be done--once a based is slated for closure--to make the federal government speed up the closure so that investors interested in converting the site can proceed quickly with the conversion process. Rumora agreed and responded by saying that there must be flexibility--currently lacking--in the final closure of an ill-fated facility. Senator Van de Putte noted the strategic positioning of U.S. Senator John Cornyn. She then introduced Mr. Gary Bushell, of the South Texas Military Facilities Task Force, who came forward to testify that Florida and Arizona have hired lobbyists to work in Washington, D.C., to retain military facilities. He did not see a need for Texas to hire any lobbyists for that purpose. He noted that California has undertaken a study of "encroachment" concerns. He pointed out that Texas must take a statewide, pro-active approach and present a unified front to the federal government in order to minimize the pain of potential military facility realignment and closure. He noted that some military installations have been converted into museums and into other community-enhancement facilities. He stressed the need to communicate constantly with the Department of Defense and the Texas Congressional Delegation. Senator Van de Putte noted that recent budget cuts at the state level barring or reducing out-of-state travel would hamper such contacts with persons in Washington, D.C. She went on to recognize persons in the audience who have played roles throughout the 77th Legislature's interim in BRAC-related discussions. General H. G. (Pete) Taylor (Ret.), Chairman, Military Child Education Coalition, came forward to testify as to the needs of--and problems connected with--educating the youth of parents who are serving in the military. Almost all of such youth in Texas attend public schools, he asserted. He spoke of the traumas of students moving from location to location to location and, therefore, from school to school to school, and how tremendously disruptive these changes are to the student's education. He addressed the issue of "high-stakes testing" exit exams--which are now required by the laws of numerous states--and the lack of comprehensive reciprocity agreements between the states regarding such exit exams. He noted that Texas law still requires such a student to re-take the exit exam despite the fact that he or she had already done so in another state. He mentioned House Bill No. 591, by Delisi, of the current 78th Legislature, which would establish such reciprocity. Senator Van de Putte echoed the need for such reciprocity. Minutes Wednesday, February 12, 2003 page 7 Taylor went on to state that the Texas Education Agency (TEA) should work administratively on this and other closely-related concerns. Senator Van de Putte called upon Mr. Ed Davis, of the City of San Antonio, who came forward to testify relative to defense community initiatives. He noted that the City of San Antonio, at the municipal level, has taken a pro-active approach to try to avert military facility reductions. He noted that a $5 billion economic impact to the city and state exists presently in San Antonio. He pointed out the importance of the military value--not their local economic impact--as what truly concerns the federal government when it comes to evaluating the continuation or the closure of military facilities. He noted the many initiatives that the City of San Antonio has undertaken to prepare for the 2005 BRAC process and he pointed out just how beneficial the facilities in the San Antonio area are to the nation's military preparedness. Representatives Corte and John Mabry (a member of the House's Committee who was present earlier) returned to the Joint Hearing at 10:25 a.m. Davis' testimony continued in which he noted that at the now-closed Brooks Air Force Base, there are actually examples in which missions are still in progress and the federal government presently pays the City of San Antonio to conduct such missions at the now "Brooks City Base." Additionally, the City of San Antonio pays for utilities to the facility, thereby saving the federal government even more money. Representatives Merritt and Noriega returned to the Joint Hearing at 10:32 a.m. Chairman Dick Messbarger, Texas Defense Aviation, Aerospace Alliance, came forward to testify on the subject of privatization of military housing. He noted legislation in Washington, D.C. offered by U.S. Representative Solomon Ortiz and by U.S. Senator Kay Bailey Hutchison. He stated that private-public ventures have been successful in providing quality military housing at a reasonable cost to the taxpayer. Reference was made to a "Military Preparedness Act," to a "Brooks City Base," and to a "Brooks Development Authority." Representative Delisi returned to the Joint Hearing at 10:47 a.m. Chairman Corte, at 10:47 a.m., gaveled the House's Committee on Defense Affairs and State-Federal Relations back into session and its Clerk, Mr. Donovan Burton, called the roll. A quorum of that Committee was again announced present. Messbarger then concluded his testimony by pointing to the benefits of local initiatives, and that waiting upon the federal Minutes Wednesday, February 12, 2003 page 8 government to take initiatives is unwise. He did note, however, the wisdom of partnering with the Department of Defense. Representative Noriega discussed with Messbarger what the cost per unit would be of the military housing that Messbarger referred to in his testimony. Representative Campbell returned to the Joint Hearing at 10:49 a.m. General Paul Roberson, of San Antonio, came forward to testify relative to the economic impact of military facilities in the San Antonio region and the 1995 closure of Kelly Air Force Base. He outlined the subsequent history of Kelly and the purposes for which that facility has been used since it left federal control. He also referred to the Brooks City Base "model" in which a municipal government steps in to salvage and then revitalize a closed military installation. He referred to the Fort Sam Houston "model" which is still largely a continuing, active installation--but with a new hospital constructed by private developers and constitutes "enhanced leasing" for private purposes. It could, however, one day return to public usage, he indicated. Assessment of military value should use past closures as models of success--or for mistakes to avoid. Senator Van de Putte introduced to the audience the staff of the Senate Committee and then she recessed the Senate Committee at 10:54 a.m., subject to the call of the Chair. Commissioner Robert Nichols, of the Texas Department of Transportation, then came forward to testify on the transportation concerns relative to the 2005 round of BRAC. He addressed problems relative to deployment routes. He noted Senate Bill No. 907 of the 77th Legislature which prompted TxDOT to conduct a study relative to the roadway routes leading to military facilities and to improve access to such facilities--especially military personnel utilizing such routes to travel to and from military facilities. He noted the economic impact of ease of access to military facilities. He noted that TxDOT will be highly sensitive to the transportation needs of military facilities and the needs of those who interact with military facilities. At 11:00 a.m., there being no further business to transact, Representative Campbell, seconded by Representative Mabry, moved that the Joint Hearing adjourn. There being no objection, the motion carried. _______________________________________________________ Senator Leticia Van de Putte, Chair Minutes Wednesday, February 12, 2003 page 9 _______________________________________________________ Gregory D. Watson, Committee Clerk