June 22, 2004

MEMORANDUM

To: Members of the House
From: CWMTF Trustee Phil Baddour & Executive Director Bill Holman
Re: SB 1064/HB 1227 and Protection of our Military Bases

As you know in 2005 the US Department of Defense will recommend closing and realigning military bases (BRAC) across the country.

Last year the NC Advisory Commission on Military Affairs, Co-Chaired by General Hugh Shelton and Troy Pate, found that “the number one training and operational readiness concern of North Carolina military bases is urban encroachment around the installations. Encroachment jeopardizes training and readiness because it forces bases to make compromises on when and where they train, and with which weapon systems…”

The Clean Water Management Trust Fund (CWMTF), Natural Heritage Trust Fund (NHTF), and Parks & Recreation Trust Fund (PARTF) are the major tools that the State has to acquire conservation easements or land in fee to reduce encroachment around our military bases. For example, last year the Wildlife Resources Commission acquired the 2500-acre Beck tract adjacent to Camp Lejeune in Onslow County with funds provided by CWMTF, NHTF, and the Marines.

The Senate has passed SB 1064, Finance Parks, Heritage, and Clean Water, sponsored by Senator John Kerr. Representative Gordon Allen has introduced a companion bill, HB 1227. The House Committee on Finance may recommend a House Committee Substitute for SB 1064 this week.

SB 1064 authorizes the PARTF, NHTF, and CWMTF to ask the Governor, Treasurer and Council of State to issue special indebtedness to acquire critical properties for conservation consistent with the procedures set out in Article 9 of Chapter 142 of the General Statutes. The priority projects for use of special indebtedness are protection of our military bases and expansion of Lake James State Park in Burke County.

The debt would be paid from the dedicated sources of funding – state deed excise stamp taxes – for PARTF and NHTF and from the statutory appropriation for CWMTF. The total debt is capped. Security for the debt could be provided by the newly purchased lands.

The Air Force, Army, and Marines have identified over 75,000 acres around Camp Lejeune, Cherry Point, Fort Bragg/Pope, and Seymour Johnson that need to be protected from encroachment by incompatible development.

Land prices in North Carolina are increasing at rates much higher than interest rates. Owners of large tracts of land, such as timber companies and power companies, are quickly selling them off. It will be cheaper for the State to borrow funds to acquire some critical properties at today’s prices than to try to acquire them at tomorrow’s prices – if the properties are still available.

Landowners will work with State, local governments, and land trusts on conservation around military bases if they believe that the State can move quickly to acquire easements or land in fee. SB 1064 would enable the State to acquire some large tracts around our military bases from willing sellers at reasonable prices in fiscal year 2004-2005.

SB 1064 would demonstrate the State’s commitment to protecting our military bases and the environment to the US Department of Defense before the BRAC process in 2005.

Please contact us if you need more information. Thank you for your consideration.