Evaluation of Military base Closure Alternatives

This project defines a decisionsupport system developed to permitthe user to perform a cost - benefitanalysis for any military installationcited for closure, relocation, orprivatization. The procedurerecognizes both the economic costsand strategic benefits of a feasiblesolution. Though the cost estimatesfor a particular study may vary inmagnitude, the economic portion ofthe model must focus on the netsavings to the tax payer. Detailedcost estimates for each alternativehave been developed at a level sothat sensitivity analysis can beperformed on any of the inputparameters. Individual cost elementshave been summed to yield the netcost increase / decrease to theUnited States tax payer. Theresultant cost figures were convertedto an economic score. The paperalso describes a effective method toevaluate the benefits derived fromimplementing various alternatives. Byincorporating a group participativeprocess using multivoting and theDunn-Rankin technique, the valuesresulting fro m benefits have yieldeda benefits score. The Brown-Gibsonmodel, which considers bothsubjective and objective measures,was used to depict the combinationof economic and benefit scores toprovide an overall cost - benefitscore. A graphical illustrat ion of thecost - benefit tradeoffs serves as auseful tool in assessing the riskassociated with a decision.The results of the analysis havesupported the Department of theNavy's decision to privatize theNaval Air Warfare Center AircraftDivision, Indianapolis, IN. TheDepartment of Defense isconsidering alternatives for manymilitary installations, this process willfacilitate those decisions.