Published
for the Fort Bliss/El Paso, Texas Community
August
12, 2004
Military
housing privatization program comes to Bliss
Diane Borges
GMH Military Housing
In February 1996, President Clinton signed into law the Military Housing
Privatization Initiative, which provides the military services with
alternative authorities for construction and improvement of military
family housing. Under
these authorities, the services are provided a way to maximize their
limited housing construction funds, government-owned land and existing
facilities to encourage private sector developers’ to invest and
to assume these responsibilities, all in an effort to improve the quality
of life for Soldiers and their families.
Prior to this legislation and with such budgetary constraints for housing,
the military could not afford to upkeep, renovate and replace existing
housing or build any new housing for the increased number of Soldiers
and their families. As Soldiers and their families know, most homes
are 50+ years old and in great need of repair. There is also a shortage
of housing at many installations causing many families to find housing
off the base.
Privatizing family
housing will enable private sector developers to repair, renovate, replace
and build new family housing, which develop new communities, as soon
as they take over. Improvements will be seen immediately.
The Residential Communities Initiative is the program developed and
managed by the Office of the Assistant Secretary of the Army (Installations
and Environment), on behalf of the Secretary of the Army to pursue the
privatization of Army military family housing and solve the Army’s
serious family housing issues. RCI is dedicated to building quality
residential communities. Under RCI, the Army establishes long-term business
relationships with private sector developers for the purpose of improving
military family housing communities. The Army will provide the developers
long-term interest in both land and family housing facilities. The source
of financial return for the developers is the revenue generated from
the rents paid by the military personnel.
Private sector developers submit very detailed development proposals
for review and approval. OASA (I&E) awarded the Fort Bliss RCI project
to GMH Military Housing, LLC (GMH). Fort Bliss has partnered with GMH
for the purpose of improving the military family housing community,
utilizing applicable legislative authorities and the provision of the
Army’s RCI Program to enter into a 50 year ground lease agreement
and partnership. GMH Military Housing-Fort Bliss/White Sands LLC will
be responsible for the development, construction, maintenance and management
of family housing at Fort Bliss.
The Army’s RCI program is designed to eliminate inadequate family
housing and provide the Soldiers and their families with housing communities
equal to, if not better than, those non-military housing developments.
This program is giving the Services the opportunity to provide better
homes and communities faster than the traditional military construction
methods. It attracts quality developers and ensures that the military
families receive quality homes and services at the best cost.
Questions can be directed to the RCI office located at 1741 Marshall
Road or by phone at 568-5309.