Transcript Charleston Naval Complex - www.brownfieldsconference.org

Charleston Naval Complex
Using Brownfield
Tools at a
BRAC Installation
David Criswell P.E.
Navy BRAC Program
Management Office-Southeast
Charleston Naval Complex
Brownfield Tools Used at Charleston
Naval Complex (CNC)
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Interim Leasing (reuse vs environmental)
FPIEC
Early Transfer without Privatization
Voluntary Cleanup Contract
Property Sales
Charleston Naval Complex
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100-year old shipyard and Naval Station
Slated for closure by the Base Realignment and
Closure (BRAC) commission in 1993.
Four Major Commands Closed
 Shipyard
 Naval Station
 Fleet and Industrial
Supply Center
 Fleet and Mine Warfare
Training Center
Operations on the complex ceased on 01 April 1996
Charleston Naval Complex
Charleston Naval Complex
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Loss of Jobs
♦ 8,722 military
♦ 6,272 civilian
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1,600 acres, 3 miles on Cooper River
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June 1994 - Charleston Naval Complex
Redevelopment Authority (RDA)
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Findings Of Suitability to Lease (FOSL)
completed for 600 facilities in 1996-1999
Interim Leasing
CMMC - 30 year sublease from RDA
 Detyens Shipyard & Metal Trades, Inc.
 100 + buildings - almost 1.9 million sf
 Three dry docks
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“Incubator” for more than 20 marine-related
repair and manufacturing support
companies
CMMC to buy property for $9 million from
RDA
Employs 1,500 workers
State Ports Authority
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Busiest container port in SE and Gulf
Ranks 6th in US
Long-term lease - breakbulk terminal
Sub-leased to Charleston International
Ports
SC Legislature directed the RDA to
transfer the southern half (minus
Federal Enclave) of CNC to State Ports
Authority
Charleston Naval Complex
Fixed Price, Indemnified Environmental
Restoration Contract (FPIEC)
 Reduced remediation cost & financially
capped environmental liability
 Provides rapid, fixed and adequate funding
 Accelerate the cleanup and redevelopment
 Provides opportunity for innovative
remediation alternatives and private sector
innovation
FPIEC Goals
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Competitive award (less than CTC)
Divest property as quickly as possible
Reduce asset management costs
(Caretaker)
Cap environmental liabilities
Fund all liabilities within current
budgets
FPIEC Challenges
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Site Not Fully Characterized
RCRA Permit
Review of Existing RFI Documentation
Remedies Not Selected or Approved
No precedence in contract type
No experience with insurance products
RDA liability concerns
FPIEC Scope
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Conduct investigations, remedial planning, and
remedial action to close 132 RCRA Sites and 70
UST Sites
Complete LBP abatement and asbestos surveys
Prepare property transfer documentation (FOST)
O&M of remedial systems during contract period
of performance (PoP, 20 years)
Liability for newly discovered sites during PoP
Provide indemnification
FPIEC Terms
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CH2M-Hill, 20 years, $28.8 million
Indemnity, backed by insurance and
pledged assets, to cover costs of up to $65
million over 20 years.
Outcome Based
Make Property Ready for Transfer
Close sites (RCRA Part B permit)
Pay for Completion, Not Progress
FPIEC Progress
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All of the original 132 contract
sites have achieved a NFA or NFA
w/LUC status except for the following:
12 sites have Regulatory approval for
MNA with LTM
7 other sites require LTM and/or other
corrective measures
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11 of 16 new sites with NFA status
Early Transfer
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225 acres transferred FED-to-FED
700 acres via FOST
September 2003 Navy submitted CDR to
Governor Sanford for Early Transfer
Conveyance of all remaining parcels at CNC
 440 acres
 Shipyard area and SPA property
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Navy retains cleanup and RCRA Permit
privatization)
(no
Early Transfer
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Enabled RDA to take title and transfer land
Facilitated sale of shipyard to CMMC
Facilitated transfer to City of North
Charleston and sale to Noisette Company
 340 acre sustainable, mixed-use urban hub
 Redevelop the adjacent 2,600 acres of private
residential neighborhoods, private commercial
structures, and municipal property
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Facilitated Voluntary Cleanup Contract
Early Transfer
Early Transfer without privatization
NTC Orlando, FL (3)
NOSL Louisville, KY
NWIRP Toledo, OH
NAS Memphis, TN
NWIRP Bristol, TN
FISC Oakland, CA
NTC San Diego, CA
FISC Alameda Annex, CA
Naval Complex Long Beach, CA
2002/2004
2003
2003
1999
1999
1999
2000
2000
2001
Voluntary Cleanup Contract
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Between new owners and SCDHEC
Provides Contribution Protection
Provides Third Party Liability Protection
Land Use Control Management
 Perform required LUC inspections
 Correct LUC deficiencies
 Notification and reporting to SCDHEC and Navy
 LUC mod/termination process
 IMWP for Interim LUCs or CMI final WP
Property Sales
Chicora Tank Farm
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23.9-acre former bulk-fuel storage
area in blighted part of North
Charleston
Six 1-2 million gallon tanks
Petroleum contamination – MOA with
SCDHEC
Thought to have little real estate value
($100,000)
Site ultimately sold for $1.4 million
Recovery from BRAC
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16,000 military & civilian federal employees
SPAWAR
Charleston AFB
Navy Nuclear Power Training School
Naval Weapons Station
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On the former CNC
Federal Law Enforcement Training Center
NOAA
US COAST GUARD
Defense Finance Accounting Service
Recovery from BRAC
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Since officially closing in 1996, the
partnership of the local, state, and federal
stakeholders has created 5,400 jobs with
$265 million in payroll
CMMC
State Ports Authority
Noisette Company
Academic Magnet High School
H.L. Hunley Museum and Laboratory Clemson