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CCP 06-09-2003
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CCP 06-09-2003
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<br />only slowed the pace of redevelopment efforts, but also resulted in <br />increased caretaker requirements on the part ofDOD while these <br />negotiations were ongoing. Negotiations created tension between the . <br />military department and the local community. <br /> <br />In October 1999, Congress authorized the no-cost EDC, which allows <br />the transfer of property from the military department to an approved <br />LRA at no-cost, if the transfer supports the LRA's long-term job <br />creation and economic redevelopment efforts. This legislation is <br />designed to address the two major hurdles base closure communities <br />currently face while attempting to effectively reuse closed or realigned <br />bases. First, delays in obtaining control or possession of former base <br />assets delay planning, infrastructure improvements, and job creation. <br />Second, the costs of basic infrastructure work at a former base <br />necessary to allow these assets to compete for new economic activity <br />is typically extremely high. The "no-cost EDC" authority provides an <br />opportunity for a collaborative relationship by assisting communities <br />with creating new jobs on the former bases and relieving the DOD of <br />needless caretaker expenses. <br /> <br />. Leaseback authority <br /> <br />Often, large parcels of surplus BRAC property are conveyed to an <br />LRA for use in accordance with the LRA's redevelopment plan. But <br />federal users have priority claim on the property, and claim small <br />parcels or even individual buildings within or adjacent to the large . <br />parcel. When the federal entity departs the property in the future, <br />federal law requires that the GSA dispose of that property. This <br />requires the community to go through another lengthy federal real <br />property disposal process, may result in uses that are incompatible <br />with the community's redevelopment plans, and disrupts local <br />economic recovery efforts. <br /> <br />In 1996, Congress provided DOD with a new property conveyance <br />authority called a leaseback. A leaseback is when the DOD transfers <br />nonsurplus BRAC property (property that is still needed by the federal <br />government) by deed or through a lease in furtherance of conveyance <br />to an LRA. The transfer requires that the LRA lease the property back <br />to the federal government for no rent to satisfY a federal need for the <br />property . <br /> <br />Congress recognized that this piecemeal approach could be harmful to <br />long-range planning and development opportunities. As a result, <br />Congress changed the law to enable more community control over <br />redevelopment while stilI allowing the federal government the ability <br />to utilize government property without additional costs. The leaseback <br />authority is designed to be used in those situations where small parcels <br />or individual buildings needed by the federal government are <br />surrounded by, or adjacent to, a large parcel of property which \viIl be <br />conveyed to the local community. It is not intended to convey property . <br />that is needed by DOD or another federal agency that is easily <br />segregated from thc rest of the property being conveyed to the <br />community for redevelopmcnt purposes. The leaseback authority is <br />especially useful when a federal entity only requires use of part of a <br />
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