US Army Corps of Engineers BUILDING STRONG ® Military Programs Update Great Lakes and Ohio River Division US Army Corps of Engineers Don Johantges, PMP Chief, Military Integration Division 20 March 2013

Military Missions Program Trends FY01-16 Program ($Millions) Fiscal Year As of 16 Apr 12

What is Changing in Military Programs?  Reduction in MILCON program and number of projects ► Significant reduction in the Army and the Air Force programs. DOD programs reduce but not as great as Schools and Hospitals are being funded  Increased potential requirements for Restoration and Modernization of existing facilities  Emphasis on design and material requirements for reduced energy demand and sustainability due to Executive Orders and Human Resources Command at Ft Knox VA Center in Ann Arbor, MI

BUILDING STRONG ® ASHRAE is our standard. (version 2009) LEED Certification – FY 12 NDAA prohibition on expending appropriated funds for anything above LEED silver. We believe AHRAE will get us to the LEED silver level. A Life Cycle Cost Analysis, (LCCA) is required for all energy enhancement measures exceeding ASHRAE Tri-service initiative underway for design proposals to include a LCCA for evaluation Energy and Sustainable Design 4

BUILDING STRONG ® Provides a holistic approach for ENERGY, WATER, and WASTE at Army installations Enables the Army to appropriately steward available resources, manage costs and provide Soldiers, Families and Civilians w/sustainable future Net Zero approach is comprised of five interrelated steps:  reduction  re-purpose  recycling and composting  energy recovery  disposal Each step is a link towards Achieving Net Zero. Army Net Zero Initiative 5

BUILDING STRONG ® 6 Renewable and Alternative Energy Production for Federal Installations HNC IDIQ Supports the DOD goal to produce or consume 25 percent of its total energy use from renewable sources by year 2025 Purpose is to procure reliable, locally generated, renewable and alternative energy through power purchase agreements or other contractual equivalents Intent of the government to purchase energy produced; not to acquire generation assets Allows for the purchase of energy up to $7B total over a period of 30 years or less from renewable energy plants that are constructed and operated by contractors using private sector financing

Look into the Future  FY14 Facility Investment Strategy  Sufficient facilities to meet mission at least cost with acceptable quality and quantity  Adjust Grow the Army mindset to a more constrained resource environment  Provide basis for future MILCON by f ocusing investments of reduced resources on leadership priorities  ACSIM controlled Sustainment, Restoration and Modernization (SRM) Program of ~$500M/year 7

What does that mean to us?  Installations will need support to develop project proposals that show Life-Cycle Costs that meet or beat new construction  Retrofit facilities to support functional changes – Flexible Use  Reduce reliance on national grid utilities  Reduce Demand  Use on-site renewable energy source 8

LRD Military Integration Division Mission Areas  Military Construction (MILCON) - $450M-$550M/yr ► Army/Army Reserve ► Air Force/Air Force Reserve ► Other DOD Agencies (DoD Med, DoDDs, SOF, …)  Installation Support – up to $200M/yr  Environmental - ~$110M-$140M/yr ► Formerly Used Defense Sites Program (FUDS) ► IRP/MMRP* - Active Sites ► Environmental Quality (EQ) – Active Sites ► Base Realignment And Closure (BRAC) – Legacy/2005 ► Formerly Used Sites Remedial Action Program (FUSRAP- Civil) ► Superfund/Environmental IIS (Civil)  Interagency and International Services (IIS) - ~$100M/yr *IRP = Installation Restoration Program/MMRP = Military Munitions Response Program 9

LRD Military Outlook: Total Military Program 10 $M

Michigan Indiana Kentucky Illinois Lake Michigan Lake Superior Lake Huron Lake Erie Ohio River N Ohio 15 Installations Scott AFB Fort Campbell Fort Knox Wright-Patterson AFB DSCC Anchor Installations Other Installations Rock Island Arsenal C.M. Price Center Newport AAP Grissom ARB Bluegrass Youngstown ARB Detroit Arsenal Selfridge ANG (BRAC05) Lima ATP Crane Naval AD LRD MILCON Programs 11 Army Air Force Other DoD

Army Reserve MILCON Program Puerto Rico USARC HQ Fort Bragg, NC 81 st RSC HQ Fort Jackson 99 th RSC HQ Fort Dix 88 th RSC HQ Fort McCoy 63 rd RSC HQ Moffett Field 12

13 FY13 MILCON from President’s Budget LRD Total LRD (26) : $552M PROGIDStLocationDescription MCAKYFort KnoxAutomated Infantry Squad Battle Course* MCAKYFort CampbellBattalion Headquarters Complex* MCAKYFort CampbellLive Fire Exercise Shoothouse* MCAKYFort CampbellUnmanned Aerial Vehicle Complex* SpecOpsKYFort CampbellHangar Addition Spec OpsKYFort CampbellGroup Support Battalion ECIPILRock IslandSolar Wall ECIPILRock IslandFactory Lighting Improvements MCA/SpecOps/ECIP (8) PROGIDStLocation Description MCARCATustinArmy Reserve Center MCARILFort SheridanArmy Reserve Center MCARNVLas VegasArmy Reserve Center/AMSA* MCARWIFort McCoyCentral Issue Facility* MCARMDAberdeen Proving GroundArmy Reserve Center MCARWAJoint Base Lewis-McChordArmy Reserve Center* MCARMADevens RFTAAutomatic Record Fire Range* MCARMDBaltimoreAdd/Alt Army Reserve Center MCARCAFort Hunter LiggettORTC* MCARNJJoint Base McGuire-Dix-LakehurstAutomated Infantry Squad Battle Course* MCARMADevens RFTACombat Pistol/MP Firearms Qualification* MCARWIFort McCoyDining Facility* MCARWIFort McCoyECS TEMF* MCARCAFort Hunter LiggettUPH Barracks MCAR (14) PROGIDStLocationDescription Health AffairsILScott AFBMedical Logistics Warehouse* Defense LogisticsINGrissom AFBHydrant Fuel System* DOD Educ Act.KYFt CampbellReplace Barkley Elem School DISAILScott AFBConstruct New DISA Facility * Already Advertised. All others imminent.Other DOD (4)

14 FY14 MILCON Projected within LRD President’s Budget is Not Yet Released. Total Projected for LRD ~$575M

Joliet Army Ammunition Plant (IRP) Military Environmental

Environmental Workload Trends ($ M) Steady next few years but declining as program goals met 16

Lake Erie Lake Ontario OH PA NY Luckey Niagara Falls Seaway Bliss & Laughlin Painesville Guterl Linde Bliss & Laughlin Ashland1/Seaway D/ RS Creek & Ashland 2 PA/SI RI/FS RD/RA COMPLETE Harshaw Shallow Land Disposal Area (Located in Parks Township) IN Joslyn Superior Steel LRD FUSRAP Program

Interagency and International Services Program  USACE provides 100% reimbursable support and technical assistance to non-Department of Defense (DOD) Federal, State, and Local agencies and organizations  Provide planning, engineering design and construction management, environmental services, and technical assistance related to water, natural resource, buildings and infrastructure  All seven LRD Districts are currently providing IIS support  LRD has identified 4 Strategic IIS Customers & Regional Accounts: ► EPA ► VA ► DOE ► DHS Interagency Agreements Customer Relationship Management 18

Interagency Support Program FY10 $111.2MFY11 $120.5M 19 Top Ten IIS Customers in FY12 Environmental Protection Agency Department of Veterans Affairs Department of Energy Department of Homeland Security Department of Agriculture State/Local/Private Department of Interior General Accounting Office Tennessee Valley Authority Department of Commerce FY12 $116.3M

QUESTIONS